Tips for Sticking to Your Financial New Year’s Resolutions

Studies show that only 8% of people stick to their New Year’s resolutions. If you resolved to save more money, pay off a debt, or improve your credit report, achieving your goals can be tough.

But, with a little hard work and determination, you can reach and surpass all of your 2017 New Year’s resolutions. Just follow these five tips from American Investment Planners, LLC:

Set SMART Goals.

Don’t set yourself up for failure by setting bad goals. Vague or unrealistic resolutions are far less likely to succeed than goals which are SMART:

Specific: “save more money” is too vague. How much more?

Measurable: how will you keep track of your progress?

Attainable: goals should not be impossible to achieve.

Reasonable: does your current income allow for your goal?

Timely: every goal should have a deadline.

Strength in numbers.

Everything is easier when you have someone by your side. Recruit a friend or family member to help you reach your goal -- even if you just need them to talk you out of splurging.

There’s an app for that.

There is no shortage of apps designed to help you achieve your financial goals. Whether you need assistance budgeting, investing, or simply keeping track of your spending, there’s an app for that. Check out this list of recommended apps from Business Insider.

Automate your transactions.

The number one factor in your credit score is your payment history. Don’t give yourself a chance to miss a payment; enlist in automatic withdrawals so your bill is always paid on time. Conversely, you can also set up automatic deposits into your savings account, so the money is put away before you are tempted to spend it.

Consult with a financial planner.

Even with all of the technological help available, nothing beats sitting down face-to-face with a professional financial planner. The qualified advisors at American Investment Planners have decades of experience helping people just like you achieve their goals. From your first job, all the way through retirement, we want to be by your side.

To schedule an appointment with one of our consultants, please call (516) 932-5130 or email info@americaninvestmentplanners.com.

Your End-of-Year Financial Checklist

The holiday season is always busy, but it is important to set aside some time at the end of each year to straighten out your personal finances. With that in mind, here is a list of tasks to tackle before 2017:

1. Max out your IRA contributions. Returns generated through IRA accounts compound without taxes for life. The more money you can put in now, the more money you get when it’s time for retirement. We encourage everybody to max out their contribution limit each year if it is financially possible.

2. Balance your portfolio. Diversification is a fundamental way to minimize investment risks. Now is a good time to go through all of your portfolios and make sure you are not becoming too weighted towards one asset; even if it has performed well recently.

3. Donate to charity. Donating to charity is a great way to minimize taxable income, all while helping those in need. December 31st is the deadline for all tax-deductible charitable contributions.

4. Use up money in your flexible spending account. If you have leftover money in your flexible spending account (FSA) for health care expenses, schedule a last-minute eye exam or dental cleaning. If you don’t use it, you lose it!

5. Double-check your beneficiaries. Events such as divorce or death could impact your beneficiaries, so it is a good idea to double-check them at least once per year.

6. Budget for 2017. Review your 2016 spending. What changes (either to your income or your expenses) do you foresee occurring within the next year? Use this information to draft a rough budget for 2017.

7. Schedule a meeting with your financial planner. This is the best time of the year to schedule a check-up appointment with your financial advisor. Not only can they help you wrap up these (and other) end-of-year tasks, they can also help you prepare for the year ahead.

Don’t have a financial planner? Now is the perfect time to schedule an initial consultation! American Investment Planners offers professional financial advisement services to individuals and families across the country. Don’t trust anybody else to help you achieve your short- and long-term financial goals.

Call (516) 932-5130 today to schedule your appointment, or email info@americaninvestmentplanners.com.

Good and Bad Financial Resolutions to Make in 2017

Thinking of what New Year’s resolutions you should make 2017? You’re not alone. It is estimated that over half of all Americans make New Year’s resolutions, but only 8% actually succeed.

Why is this? More times than not, the cause of failure is due to the goal itself. Whether it is too vague, immeasurable, or unrealistic, setting bad goals doesn’t give us a chance to succeed.

Confused? Not to worry. Here are five examples of bad financial resolutions, and how you can make them good:

Bad goal: “Pay off my debt”

Good goal: “Pay $___ towards my debt every month”

Paying off your debt isn’t necessarily a bad goal, it is just too vague. You are much more likely to accomplish something if you put a quantifiable number on it. If you truly want to get out of debt, make sure your goal includes a deadline and a set monthly dollar amount that accommodates your current financial situation.

Bad goal: “Save more money”

Good goal: “Add one month’s pay to my emergency fund”

In a perfect world, your emergency fund should cover you for a full year without pay. If you aren’t there yet, focus on chipping away little by little. Adding one month’s of pay to your emergency fund only requires you to set aside 8.3% of your monthly paycheck, which is attainable for most people. If you don’t have an emergency fund, make it your goal to start one.

Bad goal: “Make more money”

Good goal: “Send out two applications per week until I find a higher-paying job”

Everyone wants to make more money, but we aren’t going to pull it out of thin air. Instead, consider what tangible actions you can take to make this dream a reality. One obvious way to boost your salary is by finding yourself a job that pays more.

Bad goal: “Achieve a perfect credit score”

Good goal: “Boost my credit score by 20 points”

It is estimated that less than 1% of Americans have a perfect credit score. Instead of shooting for the stars, aim for something a little more realistic. Boosting your credit score by 20 points is certainly feasible in twelve months’ time, no matter your starting point.

Bad goal: “Plan for retirement”

Good goal: “Open an IRA or 401(k) account”

You’re never too young to think about retirement. On the contrary, the earlier you start planning and preparing for it, the more likely you will achieve it by your desired age. Make it a goal to open an IRA account or 401(k) this year. If you already have both, aim to increase last year’s contributions by 5% or more.

If you are struggling to set or achieve your financial goals, let the professional advisors at American Investment Planners help. We offer financial planning, advising, and investing solutions to clients of all ages and incomes. To schedule an appointment with one of our advisors, please call (516) 932-5130 or email info@americaninvestmentplanners.com.

Don’t Make These Money Mistakes!

Bestselling author Elizabeth Gilbert once said there are three types of people in this world:

1. People who never learn anything.
2. People who learn from their own mistakes.
3. People who learn from the mistakes of others.

Our goal is to help you be the third type of person – the one who learns the valuable lessons without enduring the pain and suffering that goes along with them. Countless people have made the money mistakes listed below; here’s how you can avoid being one of them:

Mistake #1: Not having a plan.

When it comes to personal finances, like most things in life, you should always have a plan. Without one, you will be blindly spending and saving your money with no idea how it is impacting your long-term goals. Sit down and take the time to map out your most important financial objectives; such as how you are going to get out of debt, fund your retirement, or send your children to college.

Mistake #2: Not having a budget.

Budgeting is the best way to take control of your finances. For best results, you should have both a short-term (monthly) and a long-term (yearly) budget. If you are new to budgeting, you can use the 50/30/20 rule to help get yourself started:

• 50% of your income to essential expenses: houses, transportation, groceries
• 30% of your income to lifestyle choices: travel, dining out, shopping
• 20% of your income to financial priorities: retirement, savings, debt

Mistake #3: Not understanding the importance of your credit score.

Your credit score shows potential lessors how you’ve managed your finances over time. A good credit score can save you thousands (or even tens of thousands) of dollars when it’s time to make large purchases, such as buying a home. Developing these habits now will put you on the path to a good credit score in the future:

• Pay your bills in full and on time every month.
• Don’t exceed more than 30% of your available credit.
• Check your credit score three times per year, and dispute any mistakes you may find.

Mistake #4: Not seeking help.

Navigating through your personal finances on your own is difficult. Having a professional financial advisor by your side can help you make tough decisions and avoid falling into common pitfalls -- such as the ones listed above. You may need to pay for their services, but the money you can save in the long run makes it a wise investment.

Looking for more money mistakes you should avoid making? Check out this article from Forbes.com.

American Investment Planners offers financial planning services to individuals and families across the country. Whether you are starting your first job, planning for retirement, or both, we can help you achieve and exceed your financial goals.

To schedule an appointment with one of our advisors, please call (516) 932-5130 or email info@americaninvestmentplanners.com.

Connect With American Investment Planners on Social Media!

At American Investment Planners, LLC, we are dedicated to helping our clients achieve all of their financial goals. In order to do this, it is important to provide them with the information they need to make educated decisions. This includes relevant industry news, objective insights, and tips from our trusted team.

One way we do this is through face-to-face meetings. When we sit down with our clients, we listen to them – about their financial situation, investment philosophy, and short- and long-term goals – before ultimately designing an individualized portfolio to meet their needs.

Unfortunately, we can’t meet with all of our clients every day of the week, and the world of finance is always changing. This is why we also take to the world of social media; to make this information and insight easily accessible for when you need it most.

We are currently active on a variety of social media platforms, and we would love to connect with you. You can find us on:

• Facebook
• Twitter
• LinkedIn
• Google+

After reading through our blog and social media pages, you may still have questions regarding your personal finances and investments. We are happy to help. To schedule an appointment with one of our advisors, please call (516) 932-5130 or email info@americaninvestmentplanners.com.

7 Easy Ways to Avoid Holiday Debt

American Investment Planners LLC

500 North Broadway, Suite 260, Jericho, NY 11753

(516) 932-5130 / (866) 932-5130

The holiday season is a fun time – but not so much for our wallets. The average person spends over $700 on gifts during this time of the year, and that doesn’t even account for food, travel, and other expenses. For many of us, debt is as much a holiday tradition as decorating the tree or building a snowman.

It’s hard to resist the urge to splurge around this time of year, but these seven tips from American Investment Planners can help keep you in the green:

1. Set a budget. Setting a budget is a consistent theme in all matters of finance; holiday shopping is no different. Find out how much you can afford to spend, set a limit, and stay under it.

2. Plan a gift exchange. Instead of purchasing smaller gifts for everyone in the family, a gift exchange will allow you to splurge on just one person.

3. Shop smart. Look online and compare several retailers to ensure you are getting a good deal.

4. Use gift cards. Maybe you have a stack of gift cards from past holidays burning a hole in your wallet. What better way to use them than purchasing a gift for someone else?

5. Save on your travels. If you are spending the holidays out of town, the cost of traveling can easily match or exceed the cost of your presents. Make sure you are actively seeking out the best deals on flights, rental cars, etc.

6. Be aware of your credit card rewards. Many credit card companies bolster their reward offerings during the holiday season. See if your cards can help you trim costs on travel or gifts.

7. Host a potluck dinner. Your grocery bill can quickly add up if you are responsible for the family feast. Encouraging every member to contribute just one food item can significantly lighten your load.

Looking for more ways to save during the holiday season? Check out these 15 tips from U.S. News Money.

American Investment Planners offers smart financial advisement solutions to homes and families across the country. From college savings funds, to retirement planning, to asset management and more, our comprehensive services will help you meet and exceed all of your financial goals.

To schedule an appointment with one of our advisors, please call (516) 932-5130 or email info@americaninvestmentplanners.com.