Do Finances Stress You Out?

Are you empowered or stressed about your financial picture?

Do You Really have a financial plan?

What should a financial plan include?

Is your money working as hard as you are?

Who is working harder you or your money?

 

Recently a successful business owner came into my office and started the conversation by saying “I am great at making money with my business, but I am not great at having my money make money.  I am too busy with my company and my family and I do not have the time, resources, expertise or interest in managing this I would rather grow my business and be with my family.”

A financial plan should outline the goals you are working towards and what you have to do to reach those goals on a monthly basis.  If it is then verified mathematically, scientifically based on facts not opinions then it should provide you with financial confidence and get the fulfillment of being financially independent now so you can live an empowered life rather than one worried about your finances.  Here are a few steps to get started:

  1. Your money should be in motion – how can $1 do the work of many. i.e grow and compound interest at a competitive rate, be accessible for emergency and opportunity, avoid taxes1, help reduce costs and fees.
  2. Keep only what you need in bank accounts that aren’t earning anything and deploy the rest to go to work everyday for you. Money can work for you 7 days a week!  Keep 3 months of expenses in the bank and then put the rest to work for you in an investment2.
  3. Save 20% of your gross income automatically every month. This could be put in a retirement account like a IRA or 401k, investment account, mutual funds, life insurance, and tax free investments that are accessible.  Savings rate is more important than rate of return.
  4. Protect what is most important to you. If you have a layer of protection around your wealth from lawsuits, emergencies, taxes, volatility, unexpected events, it will allow you to do different things with your money to make more money for you. You can be more aggressive because you are in control and protected.

Here is a short checklist of things you should have in place: Investment account you have access to, retirement plan such as IRA or 401k, Umbrella Insurance3, Will & Estate plan, income protection i.e. disability insurance, life insurance, debt reduction plan, creative tax strategies, retirement distribution plan and projection, monthly automatic savings plan.

 

1Guardian, its subsidiaries, agents, and employees do not provide tax, legal, or accounting advice. Consult your tax, legal, or accounting professional regarding your individual situation.

2All investments and investment strategies contain risk and may lose value.

3Guardian does not issue nor advise for Umbrella Insurance.

 

Registered Representative and Financial Advisor of Park Avenue Securities LLC (PAS). OSJ: 800 Westchester Avenue 4th Floor Suite N409, Rye Brook, NY 10573, 914-288-8800. Securities products and advisory services offered through PAS, member FINRA, SIPC. Financial Representative of The Guardian Life Insurance Company of America® (Guardian), New York, NY. PAS is an indirect, wholly-owned subsidiary of Guardian. Trueview Financial LLC is not an affiliate or subsidiary of PAS or Guardian.

Material discussed is meant for general informational purposes only and is not to be construed as tax, legal, or investment advice. Although the information has been gathered from sources believed to be reliable, please note that individual situations can vary. Therefore, the information should be relied upon only when coordinated with individual professional advice.

 

2019-86550 Exp. 09/21