Three Steps to Get Ready for Your Review

As the new year approaches, it’s an ideal time to assess progress toward financial goals. Whether meeting in person or via video conferencing, preparing in advance ensures a productive discussion about aligning aspirations with financial strategies. Here are three key areas to review beforehand.

Budget (and Paystubs)

Tracking household spending is the foundation of any strong financial plan, whether someone has been budgeting for years or is just starting out.

For those still working, paystubs are a valuable tool to review before a meeting. They provide essential details such as retirement contributions and tax withholdings, helping determine if adjustments are needed. Paystubs essentially act as a blueprint for cash flow, offering insight into how income is allocated before it reaches the bank account.

Last Year’s Tax Return

Having a copy of last year’s tax return—either digital or hard copy—on hand is highly beneficial. While not tax professionals, advisors use the information in a return, such as adjusted gross income and deductions, to inform financial recommendations.

For example, changes in income may suggest a shift from a Roth IRA to a Traditional IRA. Tax returns provide the numbers needed to identify strategies that align with an individual’s financial situation.

Future Expenses

While a budget, paystubs, and tax return paint a clear picture of past finances, they don’t provide insight into future plans. It’s helpful to consider any significant upcoming expenses before a financial meeting.

These might include major purchases like a home, car, or boat; tuition for children or grandchildren; long-term care for a loved one; or medical procedures. Identifying these in advance allows the advisor to better prepare strategies that accommodate future needs.

Taking time to organize these details before a meeting helps ensure the conversation focuses on what matters most—personal goals, upcoming plans, and strategies designed to support long-term success.