Before Labor Day, Complete These Six Financial Tasks | Mid-Year Financial Planning

Summer has a way of disrupting our routines. Between vacations, long weekends, family gatherings and kids being out of school, it’s easy to put financial planning on the back burner.

But before summer comes to a close, it’s worth taking a few moments to check in on your financial life.

Labor Day marks more than the unofficial end of summer — it also signals the start of a busy stretch that includes the fall, the holidays and year-end financial planning. By tackling a handful of important tasks now, you’ll be better positioned to make thoughtful decisions before the calendar fills up and deadlines begin to approach.

Whether you’re saving for retirement, managing investments or simply trying to stay organized, here are six financial tasks to complete before Labor Day.

1. Revisit Your Financial Goals

Life rarely stands still for long. A promotion, a new home, a growing family, retirement plans or even changes in your spending habits can all affect your financial priorities.

Take a few minutes to ask yourself:

Have my financial goals changed since the beginning of the year?
Am I still saving enough to meet those goals?
Have there been any major life events that should be reflected in my financial plan?
Do my investments still support what I’m trying to accomplish?

Your financial plan shouldn’t be something you create once and forget about. It should evolve as your life changes. Even if your goals haven’t shifted dramatically, revisiting them can help ensure your day-to-day financial decisions remain aligned with your long-term objectives.

2. Review Your Retirement Contributions

If you’re contributing to a 401(k), IRA, Roth IRA or Health Savings Account (HSA), now is a great time to see whether you’re on pace to meet your annual savings goals.

Many people set their contribution amounts at the beginning of the year and don’t think about them again. But a mid-year review gives you an opportunity to make adjustments while there’s still time left in the year.

Consider asking yourself:

Am I contributing enough to receive my full employer match?
Have I received a raise that would allow me to increase my contributions?
Could I comfortably increase my savings rate by just 1% or 2%?

Small increases may not feel significant today, but over the course of many years, they can make a meaningful difference in your retirement savings.

3. Make Sure Your Portfolio Still Matches Your Risk Tolerance

Markets rarely move in a straight line. After months of gains or losses, your investment allocation may no longer reflect the level of risk you originally intended to take.

For example, if stocks have outperformed bonds, your portfolio may now be more heavily weighted toward equities than your target allocation. On the other hand, if you’ve been holding extra cash while waiting for “the right time” to invest, you may find that your portfolio has become more conservative than your long-term plan calls for.

This is where rebalancing can help.

Rebalancing isn’t about trying to predict where markets are headed next. Instead, it’s a disciplined way to bring your portfolio back in line with your investment strategy by adjusting allocations when they drift too far from your intended targets.

Regular portfolio reviews can also help identify concentrated positions, unintended risks and opportunities to improve diversification.

Related: Get Your Personalized Risk Score

4. Review Your Insurance Coverage and Beneficiary Designations

Financial planning isn’t just about growing your wealth — it’s also about protecting it.

Take time to review your insurance coverage to make sure it still reflects your current circumstances. Depending on your situation, that may include life insurance, disability insurance, homeowners or renters insurance, umbrella liability coverage or long-term care planning.

While you’re reviewing your accounts, check your beneficiary designations as well.

Beneficiary forms often override what’s written in a will, making them one of the most important — and frequently overlooked — parts of an estate plan.

If you’ve experienced a major life event, such as marriage, divorce, the birth of a child or the loss of a loved one, it’s especially important to confirm that your beneficiaries are up to date.

5. Organize Your Financial Documents and Begin Thinking About Year-End Tax Planning

Although tax season may feel far away, many tax-saving opportunities require planning well before December.

Now is a good time to organize important financial documents, including:

Estate planning documents
Insurance policies
Recent tax returns
Investment account information
Retirement account statements
Records of charitable donations

Having everything in one place can make future planning discussions much more productive.

It’s also an ideal time to begin considering strategies that could reduce your tax bill before year-end. Depending on your circumstances, that might include harvesting investment losses, making charitable gifts, evaluating Roth conversion opportunities or preparing for Required Minimum Distributions (RMDs).

Starting these conversations early gives you more flexibility and more options than waiting until the final weeks of the year.

6. Schedule a Review Meeting

Even if you feel confident about your financial progress, there’s tremendous value in stepping back and reviewing the bigger picture.

A review meeting can help answer questions like:

Am I still on track for retirement?
Has my investment strategy drifted from my goals?
Are there tax planning opportunities I should consider?
Have there been changes to my estate plan or insurance needs?
Are there financial decisions I should make before year-end?

Financial planning isn’t about reacting to headlines or trying to perfectly time the market. It’s about making informed decisions consistently over time.

Meeting with your financial advisor can help identify opportunities, uncover potential blind spots and provide confidence that your financial plan continues to support your long-term goals.

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The strongest financial plans aren’t built through last-minute decisions in December. They’re built through consistent, thoughtful actions taken throughout the year.

By completing these six financial tasks before Labor Day, you’ll be in a better position to approach the remainder of the year with clarity, confidence and a plan for whatever comes next.

Bautis Financial LLC is a registered investment advisor. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investments involve risk and unless otherwise stated, are not guaranteed. Be sure to first consult with a qualified financial advisor and/or tax professional before implementing any strategy discussed herein. Past performance is not indicative of future performance.