As we approach the final 209 days of 2024, there’s still ample opportunity to make the most of this year. To help you finish strong and set a solid foundation for the new year, we at Bowline have put together a list of eight practical steps. Let’s dive in and see how you can maximize your success as we close out 2024.
First, consider saving $1,000 by setting aside just $5 each day for the remainder of the year. This simple habit can help you build a financial cushion or reach a specific savings goal with minimal daily effort.
Next, aim to max out your retirement accounts. For 2024, the contribution limit for a 401(k) is $22,500, or $30,000 if you’re 50 or older. For a Roth IRA, the limit is $7,000, or $8,000 if you’re 50 or older. Contributing the maximum amount can significantly boost your retirement savings.
If you have any old 401(k) accounts from previous employers, now is an excellent time to roll them over into a current retirement account. This move can streamline your investments and potentially reduce fees. However, be aware that rolling a 401(k) into a post-tax account like a Roth IRA will require you to pay taxes on the amount rolled over.
Consider moving some of your cash into a high-yield savings account (HYSA). HYSAs typically offer higher interest rates compared to traditional savings accounts, which can help your savings grow faster.
Take advantage of the gift exclusion limit for 2024, which allows you to give up to $18,000 per person without incurring any gift tax. This is a great way to support loved ones financially while reducing your taxable estate.
Review your budget and identify areas where you can cut back or reallocate funds. Small adjustments now can lead to significant improvements in your financial health. If you expect an end-of-the-year bonus, plan how you will use those funds wisely.
Start preparing for the holiday season early by setting aside money each week for gifts and expenses. Consider affordable gift options like homemade gifts or experiences, and organize any travel plans in advance to secure better deals.
Lastly, schedule a meeting with a financial advisor. Enter 2025 with a clear, updated plan and some financial momentum already in place. This proactive step can help you navigate the new year with confidence.
If you need assistance with any of these steps, don’t hesitate to reach out. Let’s make the most of the final days of 2024 and set ourselves up for a successful 2025!
