A new year always seems to make us excited about our personal goals and business endeavors. Sometimes starting a new year makes it easier to erase something that was unpleasant from the previous year. With that being said, I have put together 14 things to make 2014 a more proactive and positive year for you and your loved ones.
1. Develop a plan (goals) for your business and your personal life
Annual planning can help you survive and thrive too. Evaluate where your money comes from and goes, by looking at the last 12-24 months of your financial reports. Set long and short term goals to reach your plan for 2014. Be specific and try to attach numbers to each goal. Prioritize good ideas and choose which actions you’ll take on for 2014 and which you’ll set aside. This will give you an action plan for 2014, and get your year off to a great start!
2. Make a will
A properly drawn will, identifying your chosen beneficiaries, is the easiest and least expensive method of transferring your property at death. Alternative approaches such as living trusts, while fine in theory, are typically expensive to set up and require ongoing attention throughout life.
3. Incorporate your Business
Operating a business in one’s personal name invites trouble. Personal liability for business risks makes your non-exempt personal assets available to business creditors. Also, deductions for corporate expenses are often an added benefit.
4. Insulate your Personal Assets
Personal assets can be held in separate legal entities which create barriers for creditors or claimants in law suits. Why hold property in ways that make you an easy target?
5. Examine Your Insurance Coverage
Think about the ways you could be liable for a claim. The list would include a car wreck, property damage, business mistakes, product failure, physical injury or illness, and of course, death. While we are all subject to such occurrences, every situation is different. Evaluate your circumstances with your age, your dependents and financial condition in mind.
6. Get Business Records in Shape
No one knows your business like you do. Whether for purposes of tax reporting, collections, defending your actions or leaving something other than chaos for your heirs, it makes good sense to organize and maintain proper records for your business and personal activities. It is also cheaper in the long run.
7. Get a Power of Attorney
There is no need for a Power of Attorney if you never become incapacitated, never travel beyond reach of a phone, fax or email, never encounter a situation when you need or desire to have someone else take action on your behalf. Unfortunately, no one can predict when he or she will encounter one or more of these circumstances.
8. Get a Directive to Physicians
Take the burden off your loved ones. Don’t leave them guessing about your wishes. Furthermore, it can save your loved ones from disputes with health care providers that may be acting towards their best interest instead of the welfare of your family.
9. Get a Medical Power of Attorney
If you are unable to make medical treatment decisions for yourself, who do you trust to make them? Providing authority to a spouse, family member or trusted friend can insure that you are given proper treatment consistent with your personal wishes. It can also serve to avoid unduly expensive or unnecessary treatment.
10. Check Bank Account Records for Ownership
Banks require account documentation identifying the owner of each account and the relationship between multiple owners. These provisions usually dictate what happens at the death of any owner. Be sure you are aware of how each of your accounts is set up. You might be in for a surprise!
11. Check Beneficiary Designations on your Insurance and Investments
Simply being certain that the important designations are as you desire can give you peace of mind and avoid a tragic mistake.
12. Get a Medical Check-Up
Many lives are saved and many more are extended due to a routine checkup. Serious conditions are sometimes asymptomatic and require testing for detection. Don’t assume you are fine just because you are not in pain. This is especially important for persons over fifty years of age.
13. Save Every Week
The Bible mentions that riches quickly gained maybe quickly lost. While that may or may not be the case in every situation, it pays to focus on saving routinely. Put something away from every pay check. Make it a habit and you will be surprised at the way your savings will grow. It may also change your attitude toward spending.
14. Pay Off Your Debts
The old saying that the borrower is the servant of the lender could not be truer. Debt and all the things that go along with it can be a huge part of anxiety. While it may not be possible to pay cash for everything, it is wise to adopt a general philosophy that unless you can pay for it, you should not buy it!
Our office provides a wide variety of services to business clients by assisting in negotiating and preparing business agreements, consulting on the sale or purchase of businesses, business operations, as well as dissolutions of businesses. If you need assistance with your business please call us at 281-358-7035 or visit our website at www.hubbardlawgroup.com.