Education Center

4 Tips to Reach Your Financial Goals

How to set achievable financial goals

Setting attainable and realistic financial goals is key to reaching success, however knowing how to reach them and which to prioritize can be tricky. Whether you decide on a money-related goal because of a substantial change happening soon, such as buying a car, making major renovations, or just to improve your financial wellbeing, it is important to consider your priorities and make sure your financial goals are clear and concise. Here are four realistic financial goals that can help improve your financial health, as well as tactics you can use to help achieve these objectives.

1) Pay down debt
Owing money on things such as mortgages, credit cards, student loans, and vehicles is a reality many Americans face. As frustrating as those debts may be, it is best to break them down and simplify them: look at your debt and decide on a percentage you would like to reduce it by. Also keep in mind not all debt is created equal, so determine the best approach to achieve each goal.

2) Track your spending
If the thought of maintaining and setting a budget sounds a bit overwhelming, you might choose to just track your spending, so you have a better idea of where your money is going.
Technology can be a huge asset in helping keep track of your spending. Apps, along with online and mobile banking, offer solutions for not only tracking your spending but identifying areas where you can make cuts.

3) Make savings simple
If you set a goal to save a big amount in a set timeframe, there’s a chance you’ll fall short.
Instead, give yourself smaller more specific, short-terms goals, such as seasonal goals. Maybe you want to take a vacation, have your eye on a birthday gift or the newest iPhone. If a big-ticket item is the end goal, consider setting certain targets along the way so you can achieve the same effect while still taking longer to save.

4) Invest in yourself
Many Americans struggle to save for retirement. It is best to start saving for retirement as soon as possible, so your money has more time potential for growth. This is just one of many ways to invest in your future self!
Take time to research what options are available, such as certain retirement plans, 401(k), IRA and do your research of the ones that make the most sense for you.

Insure Your Love

Each person has a unique reason for getting life insurance, but those reasons can be distilled into one: we love someone and want to make sure they are protected financially. That’s why Life Happens created and coordinates the Insure Your Love campaign.

Whether through words or actions, love can be expressed in many ways, and the way we express love each day strengthens our relationships and makes those close to us feel valued. Getting life insurance is an expression of love that goes beyond words. It shows loved ones—with certainty—that we care about protecting their future. Not only can life insurance help cover final expenses, but also it can be used cover daily living expenses, mortgage or rent payments, outstanding loans, college tuition and more.

If you haven’t taken that step to get life insurance yet, there’s no better time than now to get started. Whether you're a newly wed, have a growing family or an empty nest, our experienced professionals at First Fed Insurance Agency can customize an insurance policy that is tailored to meet your specific needs. Our goal is to ensure that you and your family are prepared at every stage of life. When you're ready to discuss the policies available to you, give us a call at (815)434-2699.

Keep Your Data Safe in the New Year

As 2021 winds down, lots of us are making resolutions for a fresh start in the New Year — maybe to exercise regularly, get our finances in order, or spend more time with friends. But your list isn’t complete until you add “update my security software” and “protect my personal information” to the mix. Here are some steps you can take to help protect yourself and your information:

• Secure Your Devices: Criminals look for week points to exploit before software companies can fix them, which is why it is important to update your security software, internet browser, operating system regularly – as soon as a newer version comes out. This helps make sure you have critical patches and protections against security threats. If possible, set your devices to update automatically.
• Secure Your Accounts: While banks work to protect your identity, personal information and banking privacy, you also play an important role in protecting your account(s). In order to ensure that your information is safe, use strong passwords, multi-factor authentication and security questions only you know the answer to.
• Protect Your Home Network: Think of your router as the connecting point between your devices and the internet. If malware gets onto any of your connected devices, it can spread to the other devices connected to your network. Some basic steps you can take to help protect your devices from getting hacked are encrypting your network, upgrading your router, updating your router software, using strong passwords, turning off the remote management (WPS) and Universal Plug and Play (UPnP) feature, and setting up a guest network for other users.
• Protect Yourself on Wi-fi: You can control how secure your home network is, but you can’t do the same for public Wi-Fi. It’s always best to assume public Wi-Fi is not secure, so avoid online shopping or completing any financial transactions until you’re on you’re on a trusted network.
• Report Identity Theft: If you think someone has gotten into your accounts or has your personal information, contact your financial institution immediately and visit identitytheft.gov to report it. From there, you will receive steps to take to find out if you identity has been misused and how to recover from it. 

Can You Spot a Phishing Scam?

Every day, thousands of people fall victim to fraudulent emails, texts and calls from scammers pretending to be their bank. And in this time of expanded use of online banking and mobile payment services, the problem is only growing worse. In fact, the Federal Trade Commission’s report on fraud estimates that American consumers lost a staggering $3.3 billion to phishing schemes and other fraud in 2020. That’s nearly double what was lost in 2019, which means it’s time to put scammers in their place!

At First Federal Savings Bank, we’re committed to helping our customers protect their financial information and identity, which is why we partnered with the American Bankers Association (ABA) and other banks across the country in nationwide effort to fight phishing—one scam at a time.

Online scams aren’t so scary when you know what to look for, and we want every bank customer to become a pro at spotting phishing scams and other fraudulent schemes. Being knowledgeable in tactics that scammers use to commit fraud provides an extra layer of security and protection for your account. Because when you know how to spot scams and identify red flags, you’ll be less likely to be fooled.

Learning how to outsmart the scammers and spot them with one simple trick starts with these four words: Banks never ask that.

These top 3 phishing scams are full of red flags:

• Text Message: If you receive a text message from someone that claims to be from your bank and asks you to sign in, or offer up your personal information, it’s a scam! #BanksNeverAskThat
• Email: If you receive an email from a sender that claims to be from your bank and asks you to login, click a suspicious link or provide personal information, it’s a scam! #BanksNeverAskThat
• Phone Call: If you receive a phone call from a person claiming to be from your bank and asks you to verify your account number, it’s a scam! #BanksNeverAskThat

You’ve probably seen or experienced some of these scams before, but that doesn’t stop a scammer from trying! If you’re ever in doubt that a text, email or phone call is legitimate, just hang up and call the bank directly at the number you trust. We would be more than happy to help you verify the details of the request!

The more scamspotters there are, the harder it is for phishing criminals to catch their next victim, so we encourage you to share these tips with your family and friends! For more best practices and tips on how to spot scams, connect with us on social media or visit  www.BanksNeverAskThat.com.

5 Tips for a New Year

2021 will soon be coming to a close, which means the beginning of doing your part to make sure your 2022 runs like clockwork. While we can’t predict what may happen in the coming year, we can position ourselves to be as prepared as possible. Here are some tips to ensure you finish the year strong and set yourself up for success in 2022.

1. Review your spending and savings plans, and set goals for 2022.
   
   This is one of the most important considerations at year end. It is important to make sure your budgeting and spending habits are in line with what you can afford. A good place to start is by reviewing your savings or debt payoff goals and then developing a spending plan around those goals. Start by paying yourself first with each paycheck, and then work towards paying off your debt. Little by little, it all adds up. You may want to work on paying off one credit card at a time. It’s easy to get discouraged if you get a little off track and splurge on that item that you’ve been dreaming about. It’s ok, we all are worthy of treating ourselves every now and then. The important thing to remember is to get back on track with your 2022 plan.
2. Replenish your emergency fund is your 2021 finances got a little off track.
   
   We’ve all heard the sage old advice of making sure you have at least 6 months of living expenses tucked away. The emergency fund should be considered separate from your savings goals. Life happens quickly and by being prepared it will eliminate much anxiety if you find yourself out of work for awhile or sidelined with health emergencies.
3. Review your insurance coverages
   
   Life events can change at any moment. A new baby, new drivers in the house, a new home and not to mention our health. Any change warrants a review of your insurance coverages to ensure they are in line with your needs. The last thing you would want to realize is your insurance coverage may be deficient. It’s important to review your coverage if you made any significant purchases or improvements and additions to your home. If you haven’t checked your liability coverage recently, this would be a good time to speak with someone from First Fed Insurance Agency, Inc. Reviews and quotes are complimentary from our experienced and knowledgeable representatives.
4. Review how your accounts are set up and your beneficiary designations
   
   It is important to review all your beneficiary designations and keep these up to date. Circumstances can change and the last thing you would want is to find out at a time when it is most inconvenient. By making sure these are up to date and accurate you could save a lot of unnecessary time and frustration when it’s least needed.
5. Review your credit report
   
   It’s easy to let an entire year go by without checking in on your credit. However, with identity theft on the rise it is vital you stay on top of this. One thing to consider is making sure you review your credit report from all three credit bureaus, especially if you are planning for a significant borrowing or purchase in 2022. You can contact each of the credit bureaus for a free credit report (one per year), or you can order a combined free report from AnnualCreditReport.com.