Transcript Slide 1

Get It Together:
Organize Your Financial Records
Brought to you by
NASA Federal Credit Union
Seminar Objectives
Learn:
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Benefits of getting organized
Why some record-keeping systems fail
How to develop efficient bill-pay system
What records to keep, where, and how long
How to take a home inventory
What to have handy in case
of natural disaster
 Where to go for help
How Organized Are Your Records?
Ask Yourself:
• Do I have a well-labeled record keeping
system that someone else could easily
follow?
• Do I know where all my legal documents
are located, and would my loved ones be
able to find them quickly?
• Do I review my active records annually
and discard or update information?
• Do I have a back-up plan if my electronic
files are erased, or my hard copies are
stolen or destroyed by a fire or flood?
• Do I have another family member or close
friend who can access my electronic
records—or find hard copies—in case of
an emergency?
• Do I have a list of important contacts and
data, such as credit union and insurance
representatives, brokers, tax preparers,
creditors, employers, and credit card
account numbers?
• Do I have an updated household inventory
of major possessions?
• Do I have a safe deposit box for legal
papers, contracts, deeds, wills, and so on?
• Are my home office files updated, and do
they include hard copies or software for
important financial documents related to
tax returns, net-worth statement, spending
plan, and so on?
Benefits of Getting Organized
 Have more time, energy, space
 Find papers/receipts quickly
 Reduce/eliminate late fees
 Become clutter-free
 Find key documents in
case of disaster
 Gain peace of mind
Costs of Not Getting Organized
 Zaps energy
 Wastes time
 Wastes money
 Increases stress
 Creates tax-time stress
Why Some Record-Keeping Systems Fail
 Not comprehensive
 Too complicated
 User isn’t consistent
Preparation
Materials you may need
 Envelopes, budget or bill
organizers, shredder, file folders,
hanging files, file cabinet,
fireproof safe
 Spreadsheet or budget pages
 Computer software, if desired
 Storage containers or boxes
File Guide
Examples of major
categories:
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Auto
Correspondence
Credit cards
Credit union accounts
Employment
Health
Housing
Insurance
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Investments
Tax
Warranties
Owner’s manuals
Develop Efficient Bill-Pay System
 Decide when, where
 Gather and keep all bill-pay materials
in one location
 Organize, record expenses regularly
Envelopes/boxes for receipts
Spreadsheet
Account book
Quicken, Microsoft Money, or other software
 Balance checkbook monthly, or
 Check accounts regularly online
Organizational Tips
 Touch it once! Deal with it, file it, or shred it
 File regularly; color-code your files
 Reduce unwanted credit card solicitations
 Optoutprescreen.com or call 888-5opt-out
 Reduce unwanted catalogs
 Catalogchoice.org
 Put bills to be paid first at top of stack
 Mail bills 7-9 days before due date, or pay
electronically 2-3 days before due date
More Organizational Tips
 Use direct deposit and
payroll deduction
 Keep all tax records in
one place
 Read disclosures, then toss
 Review all bills for accuracy
 Discrepancy? Call immediately
 Use online banking/bill-pay/ACH
Benefits of Online Banking
 Reduce paperwork
 Check balances, view statements—24/7
 Move money between accounts—24/7
 Download account information—24/7
Online Banking with NASA FCU is Simple, Safe, & Free!
eBranch
 Get real-time balances on all your Credit
Union accounts
 Download account history to Quicken or
Excel
 Transfer funds between your linked NASA
FCU accounts on either a one-time or recurring
basis, including making payments to a linked
installment loan or mortgage
 Open and fund certificates
 Request to Skip-A-Payment on one of your
installment loans
 Perform self-service account maintenance
such as re-ordering checks, requesting copies
of paid checks, placing stop payments,
changing your address and phone, and more
 Communicate with us using secure email
Mobile Banking
 Mobile Banking gives you added control over
your finances in the way that best fits your
lifestyle and your mobile device.
 MobileApp: Use your smartphone to check
account balances, view transaction histories,
transfer funds, make payments, find ATMs or
even perform personal financial assessments on
the go with handy balance and expense graphs.
 MobileWeb: Use any mobile device with web
capabilities to instantly access account balances,
see detailed transaction histories, make NASA
FCU loan payments, transfer money between
your accounts or even locate your nearest
branch or ATM.
 MobileText: Use your phone's text messaging
feature to check account balances, view
transaction history, or even transfer funds on
the go.
Benefits of Automatic Bill-Pay
 Set up regular payments
 Make payments to creditors
on time every month
 Make payments on the
date you select
 Avoid late or missed
payments
 Save time, postage costs, and check writing
Efficient Bill Pay System at NASA FCU
 Person-to-Person Payments—Pay anyone, from your babysitter to the
landscaper, conveniently and electronically.
 eBills—Save time and paper by having your bills sent directly to your
BillPay+ account.
 Gift Pay*—Send personalized gift checks for all your gift giving needs.
 Expedited Payments*—Make next day or second day payments quickly
and easily.
 Charitable Donations*—Send donations to charities electronically in
anyone's name.
 Payment & Reminder Calendar—See scheduled payments and set
payment and personal reminders.
 eNotifications—Receive emails and text messages with payment
reminders and more!
 Enhanced Security—Enjoy peace-of-mind knowing your transactions are
more secure.
What to Keep, and How Long
 De-clutter: Don’t keep records
longer than necessary!
 Many people keep records too long,
or can’t find what they keep!
Get Rid of Unneeded Paper
eStatements
 Faster than paper statements
 Conveniently archived for
more than 12 months so you
can view past statements
without digging through piles
of paper
 More secure than paper
statements because they're
accessed using your account
log in
 Environmentally-friendly
What to Shred
 Statements (credit, retail,
gas cards)—after payment
is credited. Keep only for
warranty or insurance
purposes.
 Cancelled checks—after
balancing statement. Keep
 checks that document tax deduction.
 Monthly money market statements—after getting
annual summary or 1099.
 Credit card offers
Financial Documents
 Cash-flow statement*
 Net-worth statement*
 Personal property inventory*
 Estate-planning documents
 Financial notebook
*Documents can be electronic
with hard copy in Financial notebook
Disaster-Proof Important Papers
Plan ahead … in case you have only a few minutes to
clear out of your home
 Identify single location for crucial papers and
backup disks (fireproof box, or safe deposit box)
 Make certified copies of birth certificates to provide
to government agencies
 Put papers in plastic covers
 Scan documents into a “virtual lock box”
Financial Notebook
 Blueprint of your finances
 Road map for loved ones
 Faced with leaving your home
quickly? Grab your financial
notebook!
What to Include in Financial Notebook
Account information
• Credit union account numbers and contact
information
• Brokerage account numbers and contact
information
• Financial advisers and contact information of
agent and company
Estate planning/legal documents
• Wills, trusts
• Advance directives
• Powers of attorney
• Letters of instruction, funeral instructions
Family information
• Family members and contact information
• Education records
• Employment records
Financial documents
• Cash-flow statement
• Net-worth statement
• Spending plan (budget)
• Loans
• Tax records, including copies of tax returns
Insurance and health records
• Copies of all policies (agent name,
company, contact information) for auto,
homeowners/renters, health, life, disability,
long-term care
What to Include in Financial Notebook
Inventories
Property records
• Personal property/household inventory
• Vehicles
• Safe deposit box contents
• Real estate
• Wallet contents
• Investments (stocks, mutual funds, bonds,
other investments)
Personal records
Retirement planning documents
• Certificates: birth, adoption, citizenship,
marriage, divorce, death
• Pension benefit statements
• Financial goals
• Social Security Earnings and Benefits
Estimate Statements (review for accuracy)
• Location of important documents
• Tax-deferred and individual retirement
plans (IRAs)
Personal Property Inventory
 Use lists, photos, and/or video
 Document everything in each room—
including furniture, clothing, jewelry,
electronics, appliances, tools, and so on
 Document estimated value and history
 Attach copies of receipts for some items
Where to Keep Documents
 Home active file
 Carry with you
 Home permanent records
 Home inactive file—long-term
storage
 Safe deposit box or fireproof safe
 Virtual lock box
Where to Keep Documents
Home active files
Carry with you
 Bills to pay
 Credit, debit, ATM cards
 Important papers before
transferring to permanent file
 Driver’s license
 Spending plan (budget)
 Identification
 Insurance cards (auto, health)
 Medical cards (allergies,
diseases, donor)
 Membership cards (example:
auto clubs)
Where to keep Documents
Home permanent files
Automobile records
Financial accounts
• Maintenance/repair records
• Brokerage and other accounts
• Registration receipts
• Share draft/checking (cancelled checks, statements,
registers, transfer information)
Credit card records
• Share/savings (statements, deposit slips, share book)
• Cardholder agreements
• Contact information if card is lost or stolen
Housing records
• Deposit records (security, utility)
• Statements that document deductions, warranties,
large purchases
• Equipment serial/model numbers, warranties
• Instruction manuals
Educational records
• Lease or rental agreements
• Transcripts, diplomas, certificates
• Mortgage payment records
Employment records
• Property tax records
• Contracts
• Utilities (gas/electric, phone, water, sewer)
• Employee handbook and benefits manuals
• Pay stubs (compare with W-2 forms, then shred)
Insurance records
• Résume
•
Claim forms
•
Household inventory (for claims process)
•
Policies
Where to Keep Documents
Home permanent files
Investments
• Earnings statements
• Reference information/documents
• Transaction receipts
Keys
• Car, house, safe deposit box
Legal documents/estate planning (copies only)
• Advance directives
• Powers of attorney
• Wills, trusts
Medical records
• Vaccinations, immunizations, surgeries
Memberships
• Organizations, road service, frequent traveler
programs
• Renewal information
Military records
• Benefits, service records
Pets
• Health, microchip, and license records
Retirement
• Pension and annuity records
• Retirement account information
Social Security records
• Cards (copies)
• Earnings and Benefit Estimate Statements
Subscriptions
• Names, renewal information
Tax-related information
• Deductible expenses for current year
• Past returns (keep the past two years in permanent files)
Where to Keep Documents
Home inactive file
Safe deposit box or fireproof safe
• Cancelled checks/receipts (for tax
purposes, large purchases,
warranties)
• Certificates (birth, death, marriage, adoption,
citizenship, divorce)
• Debt repayment receipts/proof of
payment
• Guardianship agreements
• Home improvement receipts/records
• Licenses (professional)
• Mortgage refinance records
• Passport
• Medical/health records (3+ years
old)
• Stock, bond, and securities certificates
• Tax returns—(3+ years old, 1099s,
W-2s)
• Valuables (jewelry, silver, rare coins)
• Contracts/leases
• Household inventory (lists, photos, video)
• Titles/deeds
• Wills, trusts (copies)
Get Started!
 Set goals
 Develop action plan
 Communicate plan to family
Questions?
www.nasafcu.com/goddard
www.nasafcu.com/wff
Charlie Hudson
Phone: 301-249-1800 x267
Email: [email protected]
www.nasafcu.com/jsc
Thank You!
www.nasafcu.com/goddard
www.nasafcu.com/wff
Charlie Hudson
Phone: 301-249-1800 x267
Email: [email protected]