It’s no secret, the pace of our lives has slowed since the COVID-19 shutdowns. We’re working from home, traveling less and have fewer appointments. So, now is a great time to tie up some loose ends in your financial world and give yourself something to look forward to. Here are eight things to do while you have COVID-19 downtime.
{AUDIO} Eight Things to Do During COVID-19 Downtime
Review Your Estate Plan. Maybe it’s time to take a look at your current estate plan and review your important documents. Or, is it time to finally make one? Remember the major documents included in an estate plan is a will, power of attorney and a health care directive.
Check Life Insurances. Check and update your beneficiaries. Make sure you have an adequate amount of coverage since your life may have changed since the previous update. Also, review the type of insurance you currently own. Is it a term or permanent policy? And does that policy still fit your needs?
Review Your Risk Tolerance. You need to understand where you are comfortable with the risk in your portfolio. Before COVID-19, it was easy to get comfortable with too much risk because the markets were positive for so long. Many times trials are a good time to reflect and do some self-awareness checks regarding risk.
Consider Roth Conversions.The markets are lower than they were a few months ago. But, also our tax rates are low. With the government stimulus money that was distributed because of the CARES Act, it’s easy to speculate tax rates are going to increase making now an ideal time to do Roth conversions.
Review Your 401(k). It’s easy to forget about your 401(k) when markets are good. So, now is a great time to review where your contributions are being allocated and do a reassessment of your risk profile moving forward.
Get Your Taxes Done. Even though the tax deadline has been changed to July 15th, get them done now. Don’t wait until the summer and America begins to re-open to start taking steps to file.
Plan a Vacation. Start dreaming about what things will be like when COVID-19 passes. We need something to look forward to. Don’t underestimate the emotional and psychological toll these shutdowns have had on us.
Laugh. Enough said.