When it comes to managing your finances, there’s no one-size-fits-all approach. At TriaGen, we’re all about crafting a personalized plan that fits your specific needs and aspirations. So, whether you’re just starting out on your financial journey or looking to fine-tune your strategy, our Financial Planning Order of Operations Checklist is designed to help you navigate every step with confidence and clarity.

1. Build Your Emergency Fund

First things first: set up your emergency fund. This fund acts as your safety net during unexpected financial bumps, such as car repairs or unexpected medical expenses. We recommend starting with at least enough to cover essentials like deductibles, and ideally saving up 3-6 months’ worth of living expenses for extra security.

2. Protect What Matters

Next up, it’s crucial to ensure you’ve got the right insurance coverage in place to protect your loved ones and your assets. Whether it’s health insurance for peace of mind or life insurance to safeguard your family’s future, having the right coverage is key. And don’t forget about estate planning—think wills, healthcare directives, and guardianship plans—to guarantee your wishes are clear and your loved ones are cared for.

3. Maximize Your Match From Retirement Plans

Take advantage of any retirement plan matches offered by your employer. This is like getting free money! Depending on the match, you could have a 50%-100% rate of return! That’s why it goes ahead of step #4. Additionally, by contributing to your retirement savings early on, you’re setting yourself up for long-term financial security.

4. Tackle High-Interest Debt

Do you have debt with interest rates higher than what you’d potentially earn from investing? It’s time to prioritize paying that down. Getting rid of high-interest debt frees up your resources for future goals and reduces financial stress.

5. Invest Smart with Tax-Advantaged Accounts

Consider investing in Roth IRAs or Health Savings Accounts (HSAs) if you qualify. These accounts offer tax benefits that can boost your savings and reduce your tax bill in the long run. It’s a smart way to grow your money while minimizing your tax liability.

6.Allocate 20% of Your Income to Retirement Savings

Make it a goal to save at least 20% of your income towards retirement. If your current contributions don’t add up to this target, consider increasing them gradually until you hit the mark. It’s about securing your future while enjoying life today.

7.Save for Your Big Dreams

You’ve accomplished steps 1-6 and still have additional funds to save? Regardless if it’s buying a home, funding your kids’ education, or traveling the world, it is time to set up automated savings for your major life goals. This way, you’re making steady progress without even thinking about it.

8.Manage Low-Interest Debt and Finalize Your Estate Plan

Once you’ve tackled higher-priority financial goals, you can focus on paying down low-interest debt or “good debt.” At the same time, review and finalize your estate plan to ensure your assets are protected and distributed according to your wishes.

Following this personalized Financial Planning Order of Operations Checklist will help you take charge of your financial future. At TriaGen, we’re here to guide you every step of the way, making sure you feel confident and empowered in your financial decisions. Ready to get started? Reach out to us today—we can’t wait to help you achieve your financial goals!