Buy Like Buffett: Personal Finance Goals in Preparation for New Years 2011

Well it's almost 2011. You are probably still recovering from Christmas and looking forward to your plans for New Year's Eve, but before you say goodbye to 2010 you should start writing your financial goals list for 2011. Whether you are trying to reduce your debt or increase your earnings power, the time to start planning is now.

Listed below are a couple of financial matters that you should take care of to make sure that you have a prosperous 2011.

Check your insurance policies.

Be sure that your life, health, home, and automobile policies are up to date. You want to make certain that they meet your current needs and standard of living. Too many people buy insurance and never update their policies. There is a good chance that your living conditions have changed since you first got the policies. You may have gotten married, had children, or increased your net work. Your coverage amounts need to be increased so that they are in line with these new realities.

Make sure that your loved ones are provided for.

Nobody likes to think about death but it is important that you have a estate plan in place so that your family members are taken care of. Make sure that your will or trust is up to date. Add any new beneficiaries and remove any old ones that you would like to take off. Consult with an attorney to make sure that your estate passes easily to your heirs and does not linger in probate.

Finally get out of debt.

I know that everyone says that every single year. "This is the year that I am going to be debt free." Just because you say it every year doesn't mean that you can't bring it to fruition in 2011. Grab a pen and write out all of your debts on one piece of paper. List them in order going from the smallest amount to the largest. Now start making payments and eliminate each debt one by one throughout the year.

Max out your retirement plan contributions for 2010.

That's right for 2010. It's still not too late to max out your contributions to your IRA for 2010. You probably thought that you only had 3 days left. That's not the case. You can contribute to your IRA all the way up until April 15th, 2011. Why leave a tax deduction on the table? Max out your contributions over the next few months so that you can receive the maximum deduction on your taxes.

Completing all of the items on this list will be a sacrifice, but you will be so happy when 2012 comes around and your financial house is in order!

Mark Riddix is the founder and president of New Horizons Financial Management, an independent investment advisory firm that provides personalized investing and asset management consulting. Mark is a regular contributor to Seeking Alpha and has written financial columns for Baltimore and Washington, D.C. area newspapers. Mark publishes his own financial blog, BuylikeBuffett.com and has written the book Your Financial Playbook.