Finances

Getting Started

Step 1: Set financial goals.

To make a strong financial plan, start by setting goals for your future. Identifying your goals will help you adopt the healthy financial behaviors you need to practice and stick to them when you’re tempted to splurge on nonessentials. For help setting goals and creating a financial plan, connect with Edelman Financial Engines (EFE) through www.NetBenefits.com.

Step 2: Review your current financial situation.

Order a free credit report from a reputable source, such as Experian , Equifax , or TransUnion , and use financial assessment tools, such as the Fidelity Retirement Score Calculator or Fidelity Financial Wellness Checkup to see where you stand.

Step 4: With your budget in mind, build and maintain an emergency fund.

Some situations — like a car repair or a death in the family — need immediate attention, but you don’t want to dip into your savings and throw your whole financial plan off track. Ideally, you should have three to six months of living expenses handy in an account that you otherwise don’t touch — just in case. But if that seems daunting, you can start small with a goal like $500 or $1,000.

Step 5: Reduce — or eliminate — your debt.

Do what you can now to systematically pay off your loans and credit card debt while you’re still earning income. Here are three methods to consider:

Step 6: Save to meet your retirement goals.

Save what you can for retirement. Take advantage of FMP’s 401(k) Savings Plan and matching contributions. You can also consider IRAs and other vehicles. For more information about reaching your retirement income goals and how you’ll fund your lifestyle, head to Funding Your Retirement.

Step 7: Adjust your strategy as you get closer to retirement.

Are you considering retiring in the next ten years? If so, it’s time to start thinking about how you’re going to make the transition from receiving a paycheck from the company to creating your own retirement “paycheck.”

• Take advantage of 401(k) catch-up contributions if you’re age 50 or older and consider contributing (or increasing current contributions) to an HSA.
• Your 401(k) contributions affect the taxes you will owe in retirement. So, think about whether your future contributions should be before-tax, after-tax, Roth, or some combination of the three.
• Consider whether it’s time to start investing some of your savings in more conservative options, keeping in mind your retirement savings may need to last 20 to 30 years.
• Make a withdrawal strategy to address both how much you should withdraw each year to make your savings last throughout your retirement and how to make your withdrawals tax-savvy  so you pay your taxes in the most efficient way and avoid financial penalties. Don’t forget to factor in the age you plan to start claiming your Social Security benefits.

You can find more information on many of these topics by logging in to your 401(k) account on www.NetBenefits.com. It’s also a good idea to consult with a professional financial advisor.

Step 8: Plan how you will pay for health care.

While many expenses decrease when you retire, your need for health care services may increase, which is why it’s important to plan for expected and unexpected health care expenses — now and after you retire.

Consider saving in a Health Savings Account (HSA), which is a tax-exempt account you can use to pay for qualified health care expenses now and in retirement, making it a great vehicle to help you financially plan for the future. For more information on eligibility and how HSAs work to pay for qualified health care expenses, visit the Health Savings page.

Financial Help

FMP partners with Fidelity and Edelman Financial Engines (EFE) to offer financial services that can help you plan, save and invest for retirement.

Financial services, such as creating wills or establishing powers of attorney, are also available through the Employee Assistance Program (EAP)  and MetLife.