May/June 2000
Springtime
(Financial)
Cleaning Checklist
While
you're cleaning windows and sweeping away the cobwebs this
spring, spend some time sprucing up your financial closets
too. A few tips:
-Records support your tax
returns
(such as canceled checks
and receipts) generally can be thrown away after five
years. Sort through your files and determine which ones
can go. Consider keeping returns for years in which you
had unique taxable events such as transfers of assets or a
divorce.
|
-Store
documents that would be difficult to replace in a safe,
fireproof place. Examples include wills, birth
certificates, marriage licenses, adoption papers
papers, Social Security cards, military records, and
inventories (or videotapes) of your personal possessions.
-Review your home- owners or renters insurance.
Does it cover at least 80% of the replacement value (not the
purchase price) of yur home and possessions? If not,
increase your coverage and shop around for the best price.
|
-If
you have valuables, such as jewelry, antiques, or art, a
standard homeowners policy likely won't cover their full
value. Consider purchasing a floater policy to provide
extra coverage. Also make sure you get
"all-risk" coverage, meaning the insurance company
will reimburse you no matter what the cause of the loss.
-With better weather here, take some time to weatherproof
doors and windows now to save money on next winter's heat
bills. Also, have appliances such as air conditioners or
furnaces checked and repaired before seasonal demand inflates
prices. |
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This newsletter
provided by:
Dana C. Sydney
Clarence Barney
CFA Asset
Management, Inc.
1801 N. Kickapoo
Lincoln, IL 62656
(217) 732-1528
Securities offered through H.D. Vest
Investment Securities, Inc., Member: SIPC, 6333 North State
Highway 161, Fourth Floor, Irving, TX 75038, (972) 870-6000
Take
the Money
and Run? More
often, many job-hoppers are asking themselves what to do with money
sitting in their 401(k) plans when they switch employers.
According to a study by the consulting and human resource firm Hewitt
Associates, 57% of 401(k) plan participants choose to take cash payments
when changing jobs, instead of rolling over the balance to their new
employer's plans or into personal IRAs. The
study also indicated that, the smaller the balance, the more likely the
employee is to take cash payment. For example, 31% of 401(k)
proceeds were paid directly to participants with balances ranging from
$25,001 to $50,000 and 17% were paid to those with balances ranging from
$50,001 to $100,000. |