Money Moves You Keep Neglecting to Make But Should

This week, our big Money Move is to start the process of changing our main bank. We’ve been using Wells Fargo since we first got married 14 years ago, and honestly, it’s way past time to move on to a more friendly bank. So we’re going to be moving our main hub for our money to a local credit union instead.

However, as anyone who’s ever done this before knows, it’s a pain in the neck. It’s easier to stay with Wells Fargo than it is to change banks. But that doesn’t solve some of the issues we’re having now. The reality is it’s a lot easier to do nothing about it and make zero changes than to go through the effort to swap all.the.things to a new bank. But in the end, we’d still be left with the issues we’re having from Wells Fargo and nothing changes.

That’s why we’ll be making this much-needed pain-in-the-neck money move this week. I thought I’d compile a list of other not-so-easy but totally necessary money moves that we should all make if we haven’t already! So, here are five money moves you might be neglecting to make:

1. Roll that Old 401(k) Over.

Yep. If you’ve changed jobs and left behind your 401(k), it’s time to move that. You can either move it into the 401(k) that your current employer has or move it into a Traditional IRA. It’s totally up to you, but don’t let your money just sit there lost in the shuffle. If you are really overwhelmed by the thought of doing this, I recommend using a service to help you. You definitely don’t have to use a service, but I know from personal experience how overwhelming it can be to figure this stuff out. So, if you’re overwhelmed, consider using a service to help you. But you can also do it yourself as well. The goal is to get it done and move that money!

2. Open Up a HYSA.

If you don’t already have a HYSA (high-yield savings account) set up for your Emergency Fund, I recommend getting that done today! Word of caution, though. It’s easy to get lost in the “who has the higher rate” rabbit hole. So my recommendation is to just pick a bank with a high yield rate that you’re comfortable with and go with it. Don’t overthink it. We personally use CIT Bank for our Emergency Fund and our kids’ Life Accounts. But there are several other amazing online banks too. Again, don’t get lost in the rabbit hole of finding the perfect one. The rates change all the time.

3. Life Insurance

If you’re married and/or have children or other folks that depend on you, YOU NEED LIFE INSURANCE. Seriously. Stop playing around. And even if you’re single with no dependents, I still recommend burial insurance. Many employers offer burial (and sometimes life) insurance as part of their benefits package, so first check there. However, you need to make sure that you’re not leaving your loved ones to pay to bury you. That’s why I recommend, even if you’re single, having burial insurance. Trust me, even cremation is expensive (my daddy was cremated, and it is still a lot of money that I’m grateful his life insurance policy paid for). Do you know how many loved ones’ ashes are sitting at funeral homes unclaimed for years because no one could afford to pay for the service??? Seriously – go ask your local funeral home. You will be shocked. So, please bless your loved ones with at least burial insurance if you’re single.

If you’re married and you’ve got folks that depend on you financially, you need life insurance. The standard recommendation is ten times your annual salary, but in reality, any amount you can afford to pay the premium for is good. And remember, you want a TERM life policy, not Whole life. Whole Life is typically marketed as a great investment vehicle, but it’s not. All you need is term life, and you’re good to go.

4. Conduct a Spending Audit

If it’s been a while since you had a hard, honest look at your spending, then it’s time to get digging! It’s important to know where your money is going every year – and yes, you read that right, I said year. We can get too caught up in our busy lives to notice that we’re spending money on things that aren’t even important. So let’s dig deep and make those tough calls on where we want our money to actually go. Head here to this blog post for more on conducting a spending review and for my process.

5. Switch Banks

Had to include this one since it’s our Money Move this week. When was the last time you paid attention to your bank account fees? Are you paying them? If so, then it may be time to change banks. Are you happy with the customer service of that bank? If not, it may be time to change banks. Of course, maybe it’s not time for you because you love your bank and they have no fees. But if you find yourself feeling very frustrated by the bank you currently use, change it. In our day and age in time, we shouldn’t just keep staying put in a situation that’s costing us our time/money/health because it’s easier than changing. Because once the switch is done, it’s done.

Alright, what would you add to this list?