Fall is the REAL Start of the New Year!
Here are five financial steps you should take now, ahead of the crowd:
1. Assess your retirement plan asset allocation. Even if the market weren't volatile, this would be a good time to make adjustments, before the year-end rush to lock in gains and harvest losses. If you can't do it alone, seek advice from a fee-only financial planner - or from the management services at major mutual fund companies. Or go to www.TerrySavage.com and click on the link to Financial Engines, which will get you a year's free advice from this investment adviser to major company retirement plan participants.
2. Check your credit report and credit score. Do this before the holiday shopping rush. Go to www.AnnualCreditReport.com for your free report from each of the three major credit bureaus. (It's not necessary to sign up for a credit protection service.) You can get a free credit score at www.CreditKarma.com (or on your Discover card monthly statement, among other places.)
And if you don't plan on shopping for a major purchase, such as a home, a car, or life insurance, you might want to pay a small amount to "freeze" your credit, so that scammers can't open a new account in your name.
3. Do a life insurance checkup. Ask your insurance agent for an "in-force ledger" which will reveal how your cash value policy is doing. Many of these policies were sold years ago, with illustrations that there would be enough cash buildup to maintain the policy into your old age. Now, after years of low interest rates, those policies are running out of money - -necessitating huge premiums to keep them in force.
And if you can't find that agent, you might consider the service offered by insurance guru James Hunt at www.evaluatelifeinsurance.org. It costs $100 to get an impartial look at the performance of your policy, and an additional $70 for each additional policy submitted at the same time.
4. Make holiday reservations immediately. The longer you procrastinate, the more expensive flights will be - especially this year, with a strong economy. If you're not sure, make the reservation and purchase trip insurance. Even that extra cost is likely to save you money over the price you will pay if you delay.
5. Start your holiday shopping early. Don't wait for year-end sales around Christmas to do your shopping. The same facts about the relatively strong economy mean that supplies may be limited and prices are likely to stay firm - especially for toys and technology.
And finally, buy your holiday turkey now. No joke. The avian flu has hit poultry farmers hard. Supplies will be down - and you can expect headline stories about the cost of Thanksgiving turkeys being at least 20 percent higher. If you have a big freezer, buy your bird before retailers use the headlines to boost prices even more. Just an extra "Terry's Tip"!
If you're one of those people who was well-trained during your school years, this column about starting the New Year in fall will make intuitive sense. And it will give you a head start to financial success. That's the Savage Truth.
-- This feed and its contents are the property of The Huffington Post, and use is subject to our terms. It may be used for personal consumption, but may not be distributed on a website.