During this pandemic, you’re probably not thinking about celebrating 401(k) Day, especially since it occurs on the first Friday in September after Labor Day, which happens to be 9/11 this year.

But, let me tell you why you should.

Every year, National 401(k) Day, which originated with the Plan Sponsor Council of America, reminds everyone to do a personal checkup, just like New Year’s Eve reminds us to plan for the new year.

Think about these important questions: Are you participating in your company’s 401(k) plan? Are you taking full advantage of your company’s matching contribution? Are you maximizing your salary deferral? If you just started working at a new job, have you checked out eligibility requirements?

Everyone who works for a company that sponsors a 401(k) plan needs to know the answers to these questions. You owe it to yourself to participate and maximize the benefits your plan offers. If you are just starting out, my best advice is to contribute to your 401(k) as soon as you become eligible.

There is simply no better way to save for retirement. First, it’s easy to do: set up a salary deferral through payroll deductions. You won’t need to think about it again after your deferrals are in place.

Second, review your tax withholding allowances to consider reducing your withholding. By doing that, you can keep your paycheck as high as possible even though you are saving money. The rationale behind this move is this: Your salary deferral is not subject to income taxes; in fact, if you look at your W-2 after enrolling, you’ll see your taxable income decline by the amount of your salary deferral. The deferral is not reported as taxable income on your W-2.

Third, select your investment options from a menu that has been chosen for you by the sponsor of your plan, your employer. Your plan may offer target-date options that simplify investment choices -- just choose the plan that matches your age.

Last, but certainly not least, take the advice of Laura Dobbins, one of three 2020 winners of the 401(k) Champion® Award, which my company (Jackson, Grant) and I sponsor annually (see tinyurl.com/y25v5h4g).

Laura started saving small amounts of money through her 401(k) at work when she was 23; 18 years later, her 401(k) had grown to more than $300,000. What would her future retirement be like if she hadn’t started at 23? “More than likely I’d be working well into my 70s, living in a small apartment on a fixed income with no room to splurge on things I enjoy. ... I want that time of my life to be my best years, not my worst.”

Take some time now to do a personal financial checkup. It’s an investment in your future retirement.

On another note, if you are interested in learning how to set objectives to meet your personal goals through saving and investing, join me for a virtual presentation, “Investment Basics I: How to Set and Meet Investment Objectives,” on Friday, Sept. 18, at 10:00 a.m. EDT, sponsored by the Greenwich Library. To register, go to tinyurl.com/yyxmjytw or contact Yang Wang, 203-622-7924, ywang@greenwichlibrary.org.

Julie Jason, JD, LLM, a personal money manager (Jackson, Grant Investment Advisers Inc. of Stamford, Connecticut) and award-winning author, welcomes your questions/comments (readers@juliejason.com). Please visit www.juliejason.com.

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It seems that seniors will never get a break. Fraudsters continue to prey on them with all sorts of scams. If you have a senior in the family, there’s no better time than now to talk about just a few of the tricks that most people -- of any age -- may not be aware of.

Take this example: You get a phone call from the IRS. You check your caller ID to make certain it’s not a scammer, and sure enough, the caller ID confirms that the Washington, D.C., number that is calling is the IRS. You take the call. The “IRS” warns you that you will be sued and/or arrested if you don’t pay your “tax bill” (usually by wire transfer or a prepaid debit or gift card).

Or, you receive a letter congratulating you on winning $1 million. To claim the jackpot, you’ll need to send in a small processing fee.

The Justice Department investigates such frauds. The first example is possible with technology that tricks your caller ID with a fake phone number. The second example is a longtime scam; it just won’t go away.

But fraudsters are being caught. For example, earlier this week, four people were charged with “defrauding thousands of elderly and vulnerable victims.” The fraud? Mailings of prize notices that requested money be sent in order to “win” a bigger payment. The charge? “[C]onspiracy to commit mail fraud and multiple mail fraud and wire fraud counts for running a fraudulent mass-mailing scheme that tricked thousands of consumers into paying fees for falsely promised prizes.” The National Council on Aging has put prize scams among the top 10 financial scams targeting seniors.

What’s the likelihood of being approached with a potential scam? You tell me. Have you received spam emails? A safe guess is “Yes, indeed.”

What you need to know is this: Federal authorities are very much aware of the threats, and they are pursuing ways to inform seniors of the dangers. According to a Justice Department Agency Priority Goal Action Plan from July of this year, every U.S. Attorney’s Office (USAO) will be conducting elder fraud outreach. The goal is to provide a “channel through which comprehensive elder fraud prevention and disruption messaging can flow to local communities.”

What can you do now? Be alert to potential scams. A good start is the Federal Trade Commission’s “10 Things You Can Do to Avoid Fraud” at tinyurl.com/y4ogmptd. Also, the National Council on Aging has “8 Tips for How Seniors Can Protect Themselves From Money Scams” at tinyurl.com/ycmk7rud.

You can stay informed about scams by receiving alerts from the Federal Trade Commission via email. Go to ftc.gov/scams to sign up. And if you are a victim of a scam, you can report it at ftc.gov/complaint.

In March, the Justice Department launched the National Elder Fraud Hotline to report potential scams. The number is: 1-833-FRAUD-11 (1-833-372-8311). According to the department, “Reporting can help authorities identify those who commit fraud, and reporting certain financial losses due to fraud as soon as possible can increase the likelihood of recovering losses.” The hotline is staffed seven days a week, from 6:00 a.m. to 11:00 p.m. EDT. Don’t hesitate to report.

As Attorney General William Barr said in his remarks at the White House in June, “Studies show that older Americans are sometimes embarrassed to report fraud, but they should not be. The sooner fraud is reported, the better the chances of catching the perpetrator and recovering the victim’s money.”

Julie Jason, JD, LLM, a personal money manager (Jackson, Grant Investment Advisers Inc. of Stamford, Connecticut) and award-winning author, welcomes your questions/comments (readers@juliejason.com). Please visit www.juliejason.com.

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COVID-19 has had an effect on all of our lives, affecting not only health, but also jobs and personal finances. Some people are encountering new challenges, such as being unable to pay bills on time.

A July survey of the pandemic’s financial impact released by TransUnion, one of the three major consumer credit-reporting agencies, showed that concern about being able to pay bills and loans was at 77% for consumers who were financially impacted by the pandemic, rising to 87% for those who had lost their jobs. Credit card bills were the biggest concern of those surveyed, followed by utility bills, mobile phone bills and rent payments.

The TransUnion survey also found that nearly one out of three renters said they would not be able to pay their rent.

Liane Fiano, engagement and outreach specialist at the Consumer Financial Protection Bureau (CFPB), a U.S. government agency, advises that people who are having trouble paying their bills should reach out to their creditors.

When you talk to your creditors, discuss what options you have. You might be able to defer payments or make partial ones, but it’s important to explain your situation fully. Look on your bill for the phone number of the creditor and check out the company’s website to see what information might be available there.

There are some key questions you must ask during these discussions, according to Fiano, including how long a hardship payment situation can last, when you will need to start repaying the obligation, and what happens when the time comes for repayment and you are still experiencing hardships. She advises that you prepare a list of questions in advance so you are sure to cover everything.

If you make agreements with creditors, be sure to check your credit reports to make sure they reflect any agreement you have made. Your payments (or nonpayments) are reported to credit agencies by your creditors and vendors, such as your utility companies, your cellphone provider and your mortgage company (or your landlord), among others. The TransUnion poll found that more than a third of consumers indicated monitoring their credit was very or extremely important, with an increase to 45% for those who had received a financial accommodation.

The poll also found that among those consumers who had accommodations, more than half said they were still making normal payments on their auto loans, mortgages and personal loans.

All three credit reporting agencies -- Equifax, Experian and TransUnion -- are providing free weekly credit reports through April 2021. Visit AnnualCreditReport.com to get more information.

What happens if your situation ends up with a debt collector? The Fair Debt Collections Practices Act details your rights and sets guidelines as to what debt collectors can and cannot do. The CFPB offers help in handling the situation as part of its “Your Money, Your Goals” toolkit. Download “When debt collectors call” at tinyurl.com/y5y3tn6d. Also be sure to check out the other offerings in the toolkit.

To read the full COVID-19 Pandemic’s Financial Impact on U.S. Consumers, Financial Hardship Report by Transunion, go to: tinyurl.com/y3j4g9n6.

The important thing is to be proactive, talk to your creditors and find out your options.

Julie Jason, JD, LLM, a personal money manager (Jackson, Grant Investment Advisers Inc. of Stamford, Connecticut) and award-winning author, welcomes your questions/comments (readers@juliejason.com). Please visit www.juliejason.com.

DISTRIBUTED BY ANDREWS MCMEEL SYNDICATION