Your Comprehensive May Financial Checklist
As we step into May, it’s the perfect time to refresh not just your home, but your finances too. With tax season behind us and summer approaching, this is a great opportunity to realign your goals, review your budget, and make strategic adjustments for the second half of the year. Let’s dive into our May financial checklist on great areas of your plan to check in.
Start by taking a closer look at your recent tax return. If you owed more than expected or received a sizable refund, consider adjusting your tax withholding or estimated payments. This is also a great opportunity to identify any deductions or credits you want to better track throughout the year—like charitable donations, medical expenses, or education costs—so you’re more prepared next tax season.
As summer approaches, your budget may need a seasonal update. Costs for travel, home maintenance, camps, or family activities tend to rise during the warmer months. Revisit your spending plan, evaluate your cash flow, and ensure you’re still saving intentionally. If your income or priorities have changed recently, adjust your savings rate and make sure your goals remain realistic and measurable.
Midway through the year is also a good time to reflect on your financial goals. Whether you’re saving for a home, planning for retirement, or paying down debt, take a moment to check your progress. Are you ahead, behind, or right on track? Revisit your goals, adjust your timelines or targets, and recommit to the habits that will get you there. If you haven’t set any goals yet this year, there’s still plenty of time—just make sure they’re clear and actionable.
Don’t forget to do a little spring cleaning in your financial life. Declutter your paper files and automate where possible—go digital. Review your list of subscriptions and cancel any that no longer serve you. Organize your documents, update passwords, and shred outdated records you no longer need.
This is also a smart time to revisit your insurance coverage. If you’ve recently renovated your home, bought a new car, or experienced a major life change like marriage or a new child, your policies may need an update. Review your homeowners, auto, life, and disability coverage to ensure your protection is aligned with your current needs. You might also explore bundling discounts or new providers for potential savings.
This is also a great time to review your investment accounts and retirement savings. Check whether your portfolio needs rebalancing based on current market conditions or your risk tolerance. Evaluate your contributions to retirement accounts like a 401(k) or IRA, and make sure you’re on pace to meet any end-of-year targets or the max limit. If applicable, explore strategies like Roth conversions while staying mindful of tax implications.
Finally, if you haven’t met with your financial advisor yet this year, May is an ideal time to check in. A mid-year review can help you recalibrate your plan, navigate any recent changes in your life or the markets, and ensure your strategy is still aligned with your short-, medium-, and long-term vision. Whether you’re facing new opportunities or potential challenges, it’s helpful to talk them through with a trusted professional.
May is more than just a month of warmer weather—it’s a strategic midpoint that offers the chance to pause, reflect, and take control of your financial future. Spend a little time this month giving your finances the attention they deserve so you can enjoy the summer with clarity and confidence. If you have any questions, email info@shermanwealth.com or schedule a complimentary intro call here.