Spring has finally sprung, so you might be thinking of not only tidying up your closet but also your finances.
Here are four financial tips you should follow this season:
1. Make a last-minute IRA contribution.
If it’s not too late, an individual retirement account contribution can decrease your tax bill or even boost your refund.
2. Consider using your refund for your IRA.
If your IRA contribution will help boost your refund, consider using those funds to make the contribution. After all, it is not money you missed in the first place, so why not put it back into savings?
3. Maximize your 401(k) match.
Many employees don’t take full advantage of their employer’s matching contributions. That said, make sure you set your contribution percentage at least as high as the maximum matching percentage offered by your employer.
4. Check your W-4.
It’s important to make sure you set the correct withholding amount for your W-4, or you could end up owing money next year. This is especially crucial this year, as many people found that the changes to the tax laws and payroll calculations started in 2018 resulted in under-withholding.
Each of these tips can be used to help you better plan for your retirement, but there are plenty of other tips and tricks you can use to help you clean up your finances.