Your 2021 Monthly Financial Planner

Maura Schauss |

By The CFP® Team at Washington Wealth Advisors

Updated from 2/1/2021

Welcome to June and summer 2021!  We are checking in on those 2021 New Year’s resolutions. 

As plans for outings and events begin in earnest as our communities open more fully since the pandemic, we encourage you to review your financial plans as well.  If your progress has stalled or you have yet to begin, not to worry. 

We’re re-sending our financial to-do list to help keep your financial life on track in 2021.

January and February: Review Your Situation and Investments

After a year like 2020, it’s probably time for a solid financial checkup. Write down the answers to questions such as:

  • Did your income change last year? By how much?
  • How much did you spend?
  • How much did you save?
  • Have your financial goals changed?

These answers should help you know whether you’re on the right track with your financial goals. And, if you’re not on track, now is a perfect time to determine the appropriate strategies to help you return to your plan.

In addition, focus on your investment accounts. Review your asset allocations and determine whether your current portfolio is properly positioned for your circumstances and risk tolerance.

March: Make Final Contributions

6/1/21 Update - Make a Plan for 2021 Contributions

With the approaching tax deadline, it’s time to make final contributions to IRA Accounts and HSA accounts. 2020 IRA and Roth IRA contribution limits are $6,000, or $7,000 for individuals over 50. HSA contribution limits are $3,550 for individuals or $7,100 for families. People over 50 can contribute an additional $1,000.

April: Organize Your File System

6/1/21 Update - Get a file folder to put all tax related documents in to ease 2021 filing process.  Don't forget to create a folder on your computer for your soft-copy tax documents and charitable contribution receipts. 

It’s tax season! This month clean out and organize your financial filing system. Decide which documents you need to keep and which ones you can shred. If you haven’t gone paperless yet, could 2021 be the year to make the switch?

May: Assess Your Cash Situation

There is such a thing as having too much cash. Look at your emergency fund. Most households need 3-6 months’ worth of emergency fund money in cash. An experienced wealth advisor can help you find the right balance.

June: Update Investment Objective Statements

An Investment Objective statement is important for you and your advisor to ensure your investments are helping you reach your goals. If you’re retired or are approaching retirement, you may want to complement your objectives with a retirement policy statement that addresses your retirement spending strategies.

July: Conduct A Portfolio & Plan Checkup

Mid-year is a good time to check up on your portfolio and the viability of your financial plan. If the first half of the year threw unexpected surprises your way and you had to adjust financially, now is the time to get back on track.

August: Protect Your Loved Ones

This month focus on your estate plan and make sure your loved ones are protected. In addition to building or updating your estate plan, review your beneficiary designations on your accounts and insurance policies so the right people will be cared for if the worst should happen.

September: Protect Yourself

If August was the month of protecting your loved ones, September is the month of protecting yourself. Almost 70% of people turning 65 this year will need long-term care support during retirement,[1] and long-term care is costly. This month discuss with your advisor the likelihood that you will need long-term care, as well as your options and strategies for affording it.

October: Plan for Education Needs

Fall is in the air, and hopefully this fall our kids will all be safely back at school. If you’re planning to help your children or grandchildren with higher-education costs, you have options to save that money efficiently. Spend this month reviewing your plan or learning about 529 accounts and other college-funding accounts to decide which is best for your family.

November: Review Your Insurance

Most companies in the U.S. offer open enrollment for health insurance in November, so this month is a good time to review your coverage. While you’re at it, review your other insurance policies such as homeowner’s insurance and auto insurance. Shopping for insurance annually may save you hundreds of dollars a year.

December: Conduct A Year-End Portfolio Review

Congratulations on reviewing different aspects of your financial plan every month this year! Reward yourself with a year-end portfolio review and take stock of the tax implications you’ll face on any losses or gains you experienced in 2021.

December is also the season of giving, and while charitable giving is a good thing in and of itself, it can also lower your tax bill.

Don’t Go It Alone

You don’t have to do all this financial planning on your own. Working with a trusted CFP® financial professional from our team allows you the opportunity to efficiently plan and resolve tough financial scenarios and questions. If you’d like to work with a partner who provides advice centered around your best interests, call us at 703.584.2700, email or schedule time with us using our online calendar.




Washington Wealth Advisors is a fee-only registered investment advisory firm serving busy families, executives, women building wealth, and small business owners. We provide Wealth Advisory Services—financial planning coupled with asset management—guided by a personalized investment strategy based on each client’s unique goals. Our unbiased advice, independent approach, and proactive investment management help to support our clients’ overall financial peace of mind.