Life moves fast, and it’s easy to lose track of your financial goals amid the hustle and bustle of everyday responsibilities. But as we hit the year's halfway mark, now’s the perfect time to take a step back and assess your position. Are you making the progress you hoped for? Or have unexpected expenses disrupted your plans?

The Importance of Financial Wellness

Financial wellness extends beyond money in the bank; it involves total financial stability, including retirement, budgeting, debt, and more. It also means having peace of mind knowing your financial future is secure and you’re prepared for unexpected expenses.

According to a recent survey, 9 out of 10 investors with a financial plan report that their mental well-being is either excellent, very good, or good.

Financial advisors can be crucial in helping you achieve this sense of wellness. By guiding you through smart money management practices, they help you align your financial decisions with your long-term goals, ensuring you survive and thrive.

Why Mid-Year Financial Check-Ups Matter

Don't neglect your financial health—just like you wouldn't skip a doctor's appointment if your health were at risk. A mid-year check-up is a critical opportunity to assess your financial situation, make adjustments, and ensure you’re still on track to achieve your goals.

This is particularly important when you consider that 52% of Americans say money negatively impacts their mental health. From worries about rising inflation and interest rates to concerns about job stability and the economy, there is plenty to stress about. 

A thorough check-up of your financial situation can help you stay proactive and quell the anxiety that often accompanies financial uncertainty.

Reviewing Your Financial Goals: Are You on Track?

At the beginning of the year, you likely set some financial goals—maybe to build an emergency fund, save for a big purchase, or boost your retirement savings. But halfway through the year, it’s time to ask: are those goals still realistic? Have your priorities shifted?

Certified financial planner Barbara Pietrangelo sums it up nicely: “Having saving goals is incredibly useful in a money-saving process because then you’ll have a concrete number you are working towards, which allows you to keep track of how you are doing against that goal, keeping you both accountable and motivated.”

Revisiting your financial goals now allows you to make necessary adjustments. For instance, if you’ve had unexpected expenses, you might need to revise your savings targets or reallocate funds.

Reassessing Your Budget: Making Adjustments Where Needed

Your budget is the foundation of your financial wellness. It dictates where your money goes and helps ensure you live within your means. But budgets are not static; they require regular adjustments to accommodate changes in your life.

Maybe you moved and now have more expenses, or you’ve received a raise and have more disposable income. Either way, revisiting your budget during a mid-year check-up is important to see if it still aligns with your financial goals.

Given that 40% of consumers are depositing less money into savings or investment accounts due to economic concerns, revisiting your budget is more crucial than ever. With the fear of economic instability, 21% are shifting their budget towards paying off debt, which is a worthwhile goal. 

The current state of economic uncertainty also makes this an excellent time to build up your emergency fund. Reassessing your budget helps you prioritize the financial concerns that are most important to you right now.  

Retirement Planning: Staying the Course

Retirement might seem far off, but your actions today can significantly impact your financial security later in life. Mid-year is an excellent time to review your retirement accounts, such as 401(k)s or IRAs, and ensure you’re contributing enough to stay on track.

If your financial situation has changed, now is the time to adjust your contributions. Remember to take advantage of employer matches, which are essentially free money that boosts your retirement savings. Consistent and disciplined saving is the key to financial freedom in retirement.

Mid-year can also be a good time to check if your retirement portfolio needs rebalancing. You want to make sure that your investment strategy still fits your risk tolerance and retirement goals. 

Tax Planning: Looking Ahead

Tax season might seem far off, but planning ahead can save you from a last-minute scramble. Mid-year is a great time to review your tax situation and make any necessary adjustments to your withholdings.

If you’ve had a significant life change—like getting married, having a child, or buying a home—these can all impact your tax liability. Planning ahead can avoid surprises and potentially reduce your tax bill.

Stay on Track with Help From a Financial Advisor

Reviewing your financial wellness on your own can be challenging. That’s where a financial advisor comes in. These professionals offer personalized advice tailored to your unique financial situation, helping you make informed decisions.

Checking in with a financial advisor mid-year can be the difference between staying on track and falling behind. As a quick comparison, 68% of Americans surveyed were worried about not having enough for retirement. In contrast, 80% of those who work with a financial advisor are confident about their retirement.

Whether you’re looking to revise your budget or save for retirement, a financial advisor can provide the expertise and guidance you need to stay on track and achieve your financial goals.

The Aligned Perspective: Financial Wellness

A mid-year financial check-up is more than just a quick review—it’s an opportunity to take control of your financial future. By reassessing your goals, adjusting your budget, and planning for taxes, you’re setting yourself up for long-term success.

With the help of a financial advisor, you’ll have the support and guidance you need to make informed decisions that lead to financial wellness and freedom. So, don't hesitate to schedule your mid-year check-up today to ensure you are on track to achieve your financial goals.