Guest Post: 11 Tips to Spring Clean Your Finances

by

Andrea Woroch

If the thought of spring cleaning your home is overwhelming, why not turn that energy towards your financial situation and make sure everything is in order. With just a little time and effort, you can shape things up and enjoy some peace of mind. So scrub up your finances with these 11 tips.

1. Organize Bank Accounts
Streamline your online statements and bill payments. Toss out old statements and checks, then consolidate your accounts at one or two institutions. If you've moved or found better service and rates at another bank, you might have left some cash behind in an old account. Close them out and move your money to where it will work for you, before bank fees throw you into overdraft status.

2. Review Investments and Retirement Planning
Update beneficiaries. Re-balance and consolidate accounts. Move old 401(k) accounts into one at your present place of employment or move them into a self-directed IRA through such mutual-fund companies as Fidelity or T. Rowe Price.

3. Clear Up Debt
Get over that holiday hangover by wiping Christmas debt off the books. Credit cards carry the highest interest rates, so they're the first debts you should tackle. Then, try to buy gifts throughout the year to avoid end-of-year purchasing binges, or commit to budgeting more effectively come November.

4. Slash Your Spending
Once you're on track to reduce your debt, cultivate good spending habits to ensure you're not paying down debt again next year. Use coupons where you can, and buy gift cards at a discount from such sites as GiftCardGranny to save instantly on gifts and everyday purchases.

5. Adjust Tax Withholdings
If you're receiving a big tax refund this year, you're not withholding enough money from your monthly paycheck or quarterly payment. Don't let the government play with your cash all year; Make it work for you now. Use the IRS's 2012 Publication 15 as a guide.

6. Review Monthly Bills
Look for areas you can trim. You can save up to $50 per month by simply canceling your movie channels. It's a lot cheaper to download or stream films, and you'll have access to your favorites much faster. Or you might just read more books.

7. Organize for 2012 Taxes
Instead of tossing all your receipts into one shoebox, set up a filing system to separate health-care forms, travel records, 401(k) contributions, etc.

8. Meet With a Financial Expert
Get some professional help to go through your IRA, 401(k) and 529 College Savings Plans to understand where all your money is going and whether it's working for you. The Wall Street Journal offers some good advice on how to select a financial adviser.

9. Review Your Budget
Even if your income hasn't changed, spring is a good time to look over your budget and see if it still works for you. Or, if you've put off creating a budget, now is the time to establish where you'll spend your money and how much you can sock away for the future. Kiplinger has an easy budget form to get your started.

10. Address Estate Planning
Create or update your will or trust. Look into setting up a living will and power of attorney, should the unthinkable happen. Destroy old documents so there's no confusion when you're gone.

11. Update Insurance Policies
Call around or surf the Net for new quotes on car, home and life insurance policies. Update the beneficiaries on your life insurance. Rates have gone down of late, so you may be paying much more than you should.

Andrea Woroch is a nationally-recognized consumer and money-saving expert who helps consumers live on less without radically changing their lifestyles. From smart spending tips to personal finance advice, Andrea transforms everyday consumers into savvy shoppers. She has been featured among top news outlets such asGood Morning America, NBC's Today, MSNBC, New York Times, Kiplinger Personal Finance, CNNMoney and many more. You can follow her on Twitter for daily savings advice and tips. 

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Guest Post: 5 Tips For Using Up Your Gift Card Balance

by

Andrea Woroch

If the answer to the question "What's in your wallet?" includes gift cards with a useless balance -- say $2.34 -- you'll be pleased to hear about a bill passed May 25 by the Oregon legislature. Fed up with the serious amount of unused plastic in their wallets, house members voted to require businesses let customers exchange their gift cards for cash, if the balance is under $5.

According to The Oregonian, the state's citizens are presently encumbered with $100 million worth of unredeemed gift cards.

It may not be long before other states follow suit but, until then, here are five ways to deal with pesky balances on those glorified plastic coupons.

1. Know The Balance
This is easier than it sounds. Check your gift card balance to determine if your balance is $2.50 or $25. GiftcardGranny.com, which also allows you to buy and sell discount gift cards, offers a simple method of checking your balance for more than 300 merchants. You could also call the retailer's 1-800 number, but this method could mean a lot of time spent on hold.
Some cards require you to register your card to check your balance, but this can be useful if that piece of plastic is lost or stolen.

2. Keep Track of the Balance
Some gift cards have a little box on the back where you can note your remaining balance. If your card doesn't have one of these, write the total amount on a sticky note and wrap it around the card.

3. Add to the Balance
Amazon and Walmart allow you to add any increment to a gift card, so if the balance is $2.95 and you want to make an online purchase, calculate the total cost at checkout then go back and buy a gift card for the remaining amount. With any luck, this policy will catch on with other merchants and services.

4. Know a Merchant's Policies
Some stores allow card holders to pay for purchases in multiple ways, so you can empty the card and fork over cash or use a credit card to complete the transaction. You'll also want to check whether a store takes less-frequently accepted gift cards, such as Discover and American Express.

5. Know Your Spending Habits
Will you likely spend $50 at a store and never visit again? Then purchase a card with a $50 balance and avoid a dangling balance. Merchants with whom you shop more frequently, such as grocery stores, may call for a $100 gift card, since you know you'll use up the balance. Keep in mind you can buy discount cards for less than the face value, which can save you anywhere from 15% to 50%.

Consumer Savings Expert, Andrea Woroch,  has been featured as a media expert source on NBC's Today Show, FOX & Friends, MSNBC, ABC News NOW and many more. To view recent interviews or find more information, visit AndreaWoroch.com.