You should follow investments on a regular basis but don't obsess over daily fluctuations in stocks and mutual funds -- especially if they're in a 401(k) or IRA retirement account.

Saving for retirement or a kid's college education requires long-term thinking. Adjustments should be made two or three times a year -- not two or three times a month.

The decision to buy or sell a particular stock or fund should be based on its performance over a period of years.

The best way to filter out the market's short-term volatility is to evaluate the change in value four times a year, at the end of each quarter (March 31, June 30, September 30, December 31).

It's also a great time to add up the total value of your investments, celebrate your progress and use it as an incentive to keep saving.

Click here for more advice on how to make the most of your retirement savings.