Brooklynn Chandler Willy – Marketer

Ideas and Inspiration for a Cozy Living Space

Creating a cozy living space can make all the difference in how you feel when you come home after a long day. It’s essential to make your space feel warm and inviting, and many different ways exist. In this blog, we’ll explore some ideas and inspiration for a cozy living space that will make you never want to leave home.

Layer Textures
One of the easiest ways to create a cozy living space is by layering textures. This can be achieved by adding soft blankets, pillows, and rugs to your room. Faux fur and chunky knit blankets add a cozy touch, while area rugs can warm hardwood or tile floors. Adding different textures can create a sense of depth and warmth in your space.

Add Warm Lighting
Lighting can make all the difference in creating a cozy atmosphere. Consider adding warm, soft lighting to your space, such as table lamps or floor lamps with warm bulbs. Avoid harsh, bright lighting that can make your space feel cold and sterile. If you have overhead lighting, consider installing a dimmer switch to adjust the lighting to your liking.

Incorporate Natural Elements
Incorporating natural elements into your space can add warmth and a sense of calm. Consider adding indoor plants or a vase of fresh flowers to your living room. Natural materials like wood and stone can also add warmth and texture to your space. Consider adding a wooden coffee table, accent table, or a stone fireplace.

Choose Cozy Furniture
Choosing cozy furniture can make all the difference in creating a comfortable living space. Consider a plush, comfortable couch or armchair in a soft, comfy fabric. Oversized furniture can also create a cozy feel, allowing you to curl up and relax. Consider a love seat or a cozy reading chair if you have a smaller space.

Display Personal Items
Displaying personal items in your living space can add warmth and personality to your home. Consider displaying family photos or personal mementos on a shelf or a side table. This can make your space feel more inviting and cozy.

Create a Reading Nook
Creating a cozy reading nook can be a great way to add comfort and relaxation to your living space. Consider adding a comfortable chair or a chaise lounge, a soft blanket, a small table for your favorite books, and a cup of tea. This can be a great place to unwind and relax after a long day.

Use Cozy Colors
Using warm, cozy colors in your living space can create a sense of comfort and relaxation. Consider using warm neutrals, such as beige or taupe, or warm shades of gray or blue. Rich, deep shades of red, green, or purple can add warmth and coziness to your space.

Designing a cozy living space can significantly affect how you feel at home. By incorporating textures, warm lighting, natural elements, personal items, and comfy furniture, you can create a comfortable and inviting space you’ll never want to leave. The colors you choose can also create a cozy atmosphere, so consider warm neutrals and rich, deep shades.

Remember that creating a cozy living space doesn’t have to be expensive or time-consuming. Small touches like adding a soft blanket or a few indoor plants can make a big difference. Take the time to think about what makes you feel cozy and comfortable, and incorporate those elements into your living space. Your home should reflect your personality and style, so don’t be afraid to experiment and try new things.

Ultimately, a cozy living space can help you feel more relaxed and at ease, improving your overall well-being. So take the time to create a warm and inviting space, and enjoy the comfort and relaxation that comes with it.

A Guide to Reading Financial Statements for Small Business Owners

Although you may be familiar with the various financial statements that are presented to a business owner, you may need help to interpret them correctly. This guide will provide you with the necessary information to make informed decisions. Financial statements are composed of various components such as the income statement, cash flow statement, and balance sheet.

The Income Statement
An income statement shows a company’s income, expenses, and net income for a specific period. It’s important to note that the amount of money the business makes and spends during a specific period is shown. When reading an income statement, look at the revenue or sales section. This will show how much your business makes from selling products or services. Next, look at the cost of goods sold section, which shows the expenses directly related to producing the products or services sold. The difference of revenue and cost of goods sold is the gross profit.

After gross profit, the income statement will show operating expenses. These expenses can include rent, utilities, salaries, and marketing expenses. The difference between gross profit and operating expenses is the operating income or loss. Lastly, the income statement will show non-operating income and expenses, such as interest income and taxes, ultimately leading to the net income or loss for the period.

The Balance Sheet
The balance sheet provides a snapshot of a business’s financial position at a certain point in time. It shows what your company owns, owes, and what is left over for the owners or shareholders.

When reading a balance sheet, start with the assets section, which shows what your business owns, such as cash, accounts receivable, inventory, and equipment. Next, look at the liabilities section, which shows what your business owes, such as loans, accounts payable, and taxes owed. The equity section shows the difference between assets and liabilities, which shows what is left over for the owners or shareholders.

The equity section is further broken down into two parts: contributed capital, the money invested by the owners or shareholders, and retained earnings, which is the money earned and reinvested by the business.

The Cash Flow Statement
Inflows and cash outflows for a particular time are documented in a cash flow statement. The specific time reflected in a cash flow statement is typically a month, quarter, or year. It shows how much cash your business generated from operations, investing, and financing activities.

When reading a cash flow statement, start with the operating activities section. This section will outline the cash inflows and outflows related to the day-to-day operations of your business. Next, look at the investing activities section, which shows the cash inflows and outflows associated with buying and selling assets, such as equipment or real estate. Lastly, look at the financing activities section, which shows the cash inflows and outflows in conjunction with borrowing or repaying loans, issuing or buying back shares, and paying dividends.

Tips for Reading Financial Statements
Look for trends over time. By comparing financial statements from different periods, you can see how your business performs and identify improvement areas.
Pay attention to ratios. Ratios, such as the debt-to-equity ratio and the gross profit margin, can provide valuable insights into the financial health of your business.
Feel free to ask for help. If you need help reading or interpreting financial statements, consider hiring a financial professional or consulting with a mentor or advisor.
Understanding how to read and interpret financial statements is essential for small business owners. By understanding the income statement, balance sheet, and cash flow statement, you can gain valuable insights into the financial health of your business and make informed decisions about its future. It’s essential to look for trends over time, pay attention to ratios, and seek help when needed. Remember that financial statements are just one tool in your financial management toolbox and should be used with other financial management strategies, such as budgeting and forecasting.

How to Restore Your Budget After a Blunder

We all make financial mistakes occasionally, whether a surprise bill or overspending on a shopping spree. These financial blunders can wrench our budget and leave us anxious and stressed. Luckily, the good news is that you can restore your budget after a misstep. Below are some steps you can take to get your budget back on track.

Face the Reality of the Situation
The first step in restoring your budget after a blunder is to face the reality of the situation. Take a deep look into your finances to identify the extent of the damage. This may be uncomfortable, but it’s essential to be honest with yourself about the situation so you can take the necessary steps to correct it.

Cut Back on Unnecessary Expenses
Once you’ve identified the extent of the damage, the next is to cut back on unnecessary expenses. This may mean canceling subscriptions, eating out less frequently, or putting a hold on non-essential purchases. Reducing your costs can free up more money to restore your budget.

Prioritize Your Bills
If you’ve missed a bill payment, it’s important to prioritize which bills to pay first. Start with bills with the highest interest rates or late fees to avoid further financial damage. This may mean putting off other bills for a short period, but it’s essential to communicate with your creditors and make a plan to get caught up.

Create a Repayment Plan
Creating a repayment plan is crucial if you’ve incurred debt or fallen behind on bills. This means determining how much you owe, how much you can pay each month, and the time it will take to pay off the debt. Be realistic in your repayment plan and ensure it’s manageable with your current income.

Build an Emergency Fund
Growing an emergency fund is one of the best ways to prevent future financial blunders. This means setting aside monthly money for surprise expenses like a car repair or medical bill. By building an emergency fund, you can avoid piling up debt or falling behind on bills if a financial emergency arises.

Get Help if You Need It
If you’re struggling to restore your budget after a blunder, don’t be afraid to seek help. This may mean contacting a financial advisor or credit counselor for professional guidance. You may also be able to negotiate payment plans or debt relief options with your creditors.

Learn From Your Mistakes
Learning from your mistakes and making changes is essential to prevent future financial blunders. This may mean creating a budget, tracking expenses, or setting financial goals. By learning from your mistakes and changing your financial habits, you can improve your financial situation and prevent future blunders.

Restoring your budget after a blunder requires taking a hard look at your finances, cutting back on expenses, prioritizing bills, creating a repayment plan, building an emergency fund, seeking help, and learning from your mistakes. It may take time and effort, but you can restore your budget and improve your financial situation with a solid plan. Remember to be patient with yourself and stay focused on your financial goals.

Strategies for Managing Your Tax Burden in Retirement

Retirement is a time of relaxation and enjoyment after years of hard work, but it can also be a time of financial uncertainty. One of the critical concerns of retirees is managing their taxes, which can significantly impact their income and overall financial security. Fortunately, there are several strategies that retirees can use to manage their tax burden and maximize their revenue.

Plan Ahead
The first and most important strategy for minimizing your tax burden in retirement is to plan. This means carefully considering your income sources, such as Social Security, pensions, and investments, and developing a tax-efficient withdrawal plan. It’s also essential to keep up-to-date with changes in tax laws and regulations and adjust your plan accordingly.

Consider Roth Conversions
Converting traditional IRA or 401(k) funds to a Roth account can be an intelligent move for retirees looking to manage their tax burden. Roth accounts are funded with after-tax dollars, meaning retirement withdrawal is tax-free. However, the conversion process can trigger a tax bill, so it’s essential to consider your tax situation carefully and consult with a financial advisor before making the switch.

Utilize Tax-Advantaged Accounts
Retirees could use tax-advantaged accounts, such as 401(k)s, IRAs, and Health Savings Accounts (HSAs), to manage their tax burden. Contributions to these accounts are tax-deductible or made with pre-tax dollars, which means that retirees can reduce their taxable income and lower their tax bill. Additionally, qualified withdrawals from these accounts are taxed lower than regular income.

Manage Your Social Security Benefits
Despite the significant source of income that Social Security provides for many retirees, it can still trigger higher taxes if your combined income exceeds a certain threshold. This can affect the amount of money you can collect from these benefits.

Donate to Charity
Charitable donations can be a great way to reduce your tax bill in retirement. Donating to a qualified charitable organization can lower your taxable income and reduce your tax bill. Additionally, retirees aged 70 ½ or older can make tax-free charitable contributions directly from their IRA through a Qualified Charitable Distribution (QCD).

Manage Your Investment Portfolio
Managing your investment portfolio is also a great strategy for managing your tax burden in retirement. For example, retirees can use tax-loss harvesting to offset gains in their portfolio and lower their tax bill. Additionally, retirees can invest in tax-efficient funds designed to manage tax liabilities.

Consider State Taxes
Retirees should also consider state taxes when planning their retirement finances. Some states have high income or property taxes, which can significantly impact retirees’ finances. Consider moving to a state with lower taxes or adjusting your financial plan accordingly.

Minimizing your tax burden in retirement requires careful planning and strategy. By considering your income sources, utilizing tax-advantaged accounts, managing your Social Security benefits, donating to charity, managing your investment portfolio, and evaluating state taxes, you can reduce your tax bill and maximize your income in retirement. Working with a financial advisor who can help you develop a customized plan that considers your unique financial situation and retirement goals is essential.

Pursuant to requirements imposed by the Internal Revenue Service, any tax advice contained in this communication (including any attachments) is not intended to be used, and cannot be used, for purposes of avoiding penalties imposed under the United States Internal Revenue Code or promoting, marketing or recommending to another person any tax-related matter. Please contact us if you wish to have formal written advice on this matter.

Converting an employer plan account or Traditional IRA to a Roth IRA is a taxable event. Increased taxable income from the Roth IRA conversion may have several consequences including but not limited to, a need for additional tax withholding or estimated tax payments, the loss of certain tax deductions and credits, and higher taxes on Social Security benefits and higher Medicare premiums. Be sure to consult with a qualified tax advisor before making any decisions regarding your IRA.

Insurance products, tax preparation services, and estate planning services are offered through Texas Insurance Advisory, Texas Tax Advisory, and Texas Estate Advisory, respectively, all of which also do business as Texas Financial Advisory. Insurance products, tax preparation, and estate planning are offered separate from investment advisory services. Neither Queen B Advisors nor Texas Financial Advisory offer tax or legal advice.

Brooklynn Chandler Willy of San Antonio Texas on Retirement Planning for Young Adults

Retirement may seem far away for young adults, but there is still time to start planning for the future. By saving and investing early, young adults can take advantage of the time to build a solid financial foundation for retirement. Here are some tips for retirement planning for young adults:

Start Saving Early
The earlier you start saving for retirement, the more time you have to take advantage of the power of compounding. Even small contributions made early in your career can grow significantly over time.

Employer-Sponsored Retirement Plans
Many employers offer retirement plans, such as 401(k)s or pensions, which can be a valuable tool for retirement savings. If your employer offers a retirement plan, take advantage of it and contribute as much as possible.

Invest for the Long Term
Investing in stocks and bonds can provide higher returns over the long term, but it’s important to remember that these investments can be volatile in the short term. Young adults have a longer time horizon for retirement, which means they can afford to take more risks with their investments.

Diversify Your Investments
Diversifying your investments across different asset classes would be best to help manage risk and potentially maximize returns. These asset classes include stocks, bonds, and real estate. It’s vital to review and rebalance your portfolio regularly. With a regular review, you can ensure that it remains aligned with your goals and risk tolerance.

Consider a Roth IRA
A Roth IRA is a retirement account that allows you to contribute after-tax dollars and withdraw tax-free. This can be advantageous for young adults, as they are in a lower tax bracket now than in retirement.

Pay Off Debt
Paying off debt, such as student loans or credit card debt, can free up money to save for retirement. It can also help improve your credit score, which can be beneficial when applying for loans or credit in the future.

Plan for Healthcare Costs
A significant expense in retirement that can be overwhelming is health care. Planning for these costs and considering options such as long-term care insurance is essential.

Consult with a Financial Advisor
Retirement planning can be complex, and navigating all the options and considerations alone can be challenging. For this reason, many young adults choose to work with a financial advisor to help them develop a comprehensive retirement plan.

A financial advisor can help you choose your retirement savings goal, choose the correct retirement account, and develop an appropriate investment strategy for your needs. They can also help you monitor your progress and make adjustments as needed.

Retirement planning is essential for young adults who want to build a solid financial foundation for the future. By starting to save early, taking advantage of employer-sponsored retirement plans, investing for the long term, diversifying investments, considering a Roth IRA, creating a budget, paying off debt, planning for healthcare costs, and consulting with a financial advisor, young adults can take proactive steps to ensure that they are on track for a more confident retirement.

Diversification Disclosure:

Diversification does not guarantee a profit or protect against a loss in a declining market. It is a method used to help manage investment risk.

Rebalancing Disclosure:

Rebalancing/Reallocating can entail transaction costs and tax consequences that should be considered when determining a rebalancing/reallocation strategy.

Brooklynn Chandler Willy Discusses Renting vs. Buying in San Antonio

Financial advisor of San Antonio Brooklynn Chandler Willy discusses the pros and cons of renting or buying a home in San Antonio, Texas.

Deciding to rent or buy a home in San Antonio is a complicated one that requires careful consideration from a financial perspective. Both renting and buying have pros and cons, and weighing them carefully before deciding is important. Renting a home can offer lower upfront costs, no maintenance expenses, and flexibility. Buying a home can allow you to build equity, take advantage of tax deductions, and have more control over your living space.

Before deciding, it's crucial to evaluate the pros and cons of renting vs. buying a home in San Antonio from a financial perspective to help you make an informed decision about your housing situation.

Pros of Renting a Home in San Antonio
Lower Upfront Costs
When renting a home in San Antonio, you typically only need to pay the first and last month's rent and possibly a security deposit. This can be significantly less than the upfront costs of buying a home, including a down payment, closing costs, and other fees.

No Maintenance Costs
When renting a home, the landlord is responsible for maintenance and repairs. This can save you money on maintenance costs, which can be significant when owning a home.

Flexibility
Renting a home provides flexibility regarding location and the ability to move without the financial burden of selling a home. This can benefit those who need to move frequently for work or other reasons.

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Cons of Renting a Home in San Antonio
No Equity
When renting a home, you are essentially paying someone else's mortgage. This means that you need to build equity in a property, which can be a disadvantage in the long run.

Rent Increases
Rent increases are expected in San Antonio and can be difficult to predict. This can make it challenging to budget for housing expenses over the long term.

Limited Control
When renting a home, you have limited control over the property. This can be frustrating if you want to make changes or upgrades to the house but can only do so with permission from the landlord.

Pros of Buying a Home in San Antonio
Building Equity
When you own a home, you are building equity in the property. This can be a significant financial advantage over time as property values increase.

Tax Deductions
Homeowners in San Antonio can deduct mortgage interest and property taxes on their federal income tax returns. This can result in significant tax savings over the long term.

Control
When you own a home, you have complete control over the property. This means that you can make changes and upgrades as you see fit without needing permission from a landlord.

Cons of Buying a Home in San Antonio
Upfront Costs
Buying a home in San Antonio can require significant upfront costs, including a down payment, closing costs, and other fees. This can make it difficult to afford a home, especially for first-time homebuyers.

Maintenance Costs
As a homeowner, you are responsible for all maintenance and repairs. This can be expensive, especially if you are not handy or need more time to repair yourself.

Fluctuating Property Values
Property values in San Antonio can fluctuate over time, impacting your home's value. This can be a disadvantage if you must sell your home during a down market.

The decision to rent or buy a home in San Antonio is a personal one that requires careful consideration of the pros and cons from a financial perspective. Renting a home can benefit those who want lower upfront costs, no maintenance costs, and flexibility. Buying a home can help those who want to build equity, take advantage of tax deductions, and have more control over their living space.

Ultimately, deciding to rent or buy a home in San Antonio depends on your financial situation, goals, and lifestyle. Consider working with a financial advisor or real estate professional to help you make the best decision for your financial future.

Brooklynn Chandler Willy of San Antonio, Texas | The Power of Positive Thinking: Building a More Positive Outlook

Brooklyn Chandler Willy is a talented and knowledgeable San Antonio-based entrepreneur who operates within the financial services industry in her career in Texas. As the Founder and President of Texas Financial Advisory, her career was hard won through perseverance and determination.

Positive thinking is a mindset that focuses on the good in life and cultivates an optimistic attitude. It’s a powerful tool that can help improve mental health, reduce stress, and increase happiness. Building a positive outlook takes practice and effort, but the benefits are worth it. Here are some tips for harnessing the power of positive thinking:

Practice Gratitude
Practicing gratitude means recognizing and appreciating the good in your life. It can help shift your focus away from negative thoughts and formulate a more positive mindset. Practicing gratitude can be as simple as keeping a gratitude journal or taking time each day to reflect on what you are thankful for.

Reframe Negative Thoughts
Negative thoughts can be a significant obstacle to positive thinking. When negative thoughts arise, try to reframe them positively. For example, instead of thinking, “I can’t do this,” try thinking, “I may struggle at first, but with practice, I can improve.”

Surround Yourself with Positive People
Surrounding yourself with positive people can help reinforce a positive mindset. Seek out friends and family members who are supportive and optimistic, and try to spend less time with those who are negative or critical.

Self-Compassion Practices
To practice self-compassion, you must treat yourself with kindness and understanding. It can help reduce self-criticism and negative self-talk, significant barriers to positive thinking. When negative thoughts arise, try offering yourself the empathy and compassion you would offer a friend.

Focus on Solutions
When faced with a problem or challenge, it’s easy to get stuck in negative thinking. Instead, focus on solutions and take proactive steps to address the issue. Shift your mindset from one of frustration to one of empowerment.

Engage in Positive Activities
Engaging in positive activities, such as exercise, hobbies, or spending time with loved ones, can help boost mood and increase positive thinking. Set aside enough time for activities that bring you joy and help you feel fulfilled.

Mindfulness
Mindfulness means being present and fully engaged in the current moment. It can help reduce stress, increase self-awareness, and cultivate a positive mindset. Try practicing mindfulness through meditation, yoga, or deep breaths.

Practice Positive Affirmations
Statements that reinforce positive beliefs and qualities about yourself are known as positive affirmations. They can help shift your mindset from one of self-doubt to one of self-confidence. Try repeating positive affirmations to yourself daily, such as “I am capable and strong” or “I am worthy of love and respect.”

Celebrate Small Wins
Celebrating small wins can help reinforce positive thinking and build momentum toward larger goals. Take time to acknowledge and celebrate even the most minor accomplishments, and use them as motivation to continue moving forward.

Cultivate a Growth Mindset
A growth mindset believes your abilities and qualities can be developed and improved over time. It can help reduce self-doubt and increase confidence. Focus on learning and growth, and embrace challenges as opportunities for improvement.

Building a positive outlook takes practice and effort, but the benefits are worth it. By practicing gratitude, reframing negative thoughts, surrounding yourself with positive people, practicing self-compassion, focusing on solutions, engaging in positive activities, practicing mindfulness, using positive affirmations, celebrating small wins, and cultivating a growth mindset, you can harness the power of positive thinking and improve your overall well-being. Remember, positivity is a choice that can profoundly impact your life.

Brooklynn Chandler Willy of San Antonio, Texas | The Benefits and Challenges of Being a Solopreneur

Brooklynn Chandler Willy is a multitalented entrepreneur and small business owner in the San Antonio, Texas, Community. She is the Founder and President of Texas Financial Advisory, a position she’s held since 2008 when she founded the boutique Tax, Investment, and Estate Advisory firm.

Being a solopreneur can be an attractive option for many who want to start their own business. As the name suggests, a solopreneur is a business owner who operates alone, without any employees. While there are many benefits to being a solopreneur, some unique challenges come with this type of business ownership. Here are some of the benefits and challenges of being a solopreneur:

Benefits of Being a Solopreneur
Solopreneurship has become increasingly popular for individuals looking to start their businesses. One of the most significant benefits of being a solopreneur is your complete control over your business, from setting your schedule to making all the decisions. Additionally, solopreneurs can work from anywhere, keep overhead costs low, build stronger customer relationships, and experiment with new ideas.

Complete Control
One of the most significant benefits of being a solopreneur is complete business control. You can make all the decisions, schedule, and build the business according to your vision.

Flexibility
Solopreneurs have the flexibility to work from anywhere at any time. This can be especially appealing for those who want to travel or work remotely.

Lower Overhead Costs
Without any employees, solopreneurs can keep overhead costs low. This can benefit those who are just starting or have limited resources.

Stronger Relationships with Customers
Solopreneurs have the opportunity to build stronger relationships with their customers. With no employees to manage, they can focus on providing personalized service and building customer loyalty.

Greater Creativity
As a solopreneur, you can try new things and experiment with different ideas. This can lead to greater creativity and innovation in your business.

Challenges of Being a Solopreneur
Being a solopreneur has many benefits. However, there are also unique challenges that come with running a business alone. Solopreneurs are responsible for all aspects of their business, from marketing and sales to accounting and more. They can also feel isolated without the support of employees or partners. Additionally, solopreneurs may struggle with time management, burnout, and limited growth potential.

Limited Resources
As a solopreneur, you are responsible for all aspects of the business, including marketing, sales, accounting, and more. This can be challenging if you have limited resources or expertise in certain areas.

Lack of Support
Without any employees or partners, solopreneurs can feel isolated and lack the support of others. This can be incredibly challenging during difficult times or when facing a significant challenge.

Time Management
As a solopreneur, you are responsible for managing your own time and staying productive. This can be challenging, especially if you are easily distracted or have a lot of responsibilities outside of work.

Burnout
Solopreneurs can quickly become overwhelmed with the demands of running a business. With employees to delegate tasks to, taking time off or finding a work-life balance can be easy.

Limited Growth Potential
Without any employees, solopreneurs may have limited growth potential. They may be limited by their own time and resources and need help to take on larger projects or expand the business significantly.It can be both rewarding and challenging to be a solopreneur. While solopreneurs enjoy complete control, flexibility, and lower overhead costs, they need more support, time management, burnout, and limited growth potential. To be successful as a solopreneur, it’s crucial to have a clear vision, strong time management skills, and the ability to adapt to changing circumstances. Seeking support from other business owners or a mentor can also be beneficial in navigating the challenges of solopreneurship.

Brooklynn Chanlder Willy of San Antonio, Texas | The Importance of Building an Emergency Fund

A dedicated financial services professional, Brooklynn Chandler Willy is a talented entrepreneur and the Founder of Texas Financial Advisory, operating out of San Antonio.

Unexpected expenses can arise anytime, whether it’s a medical emergency, a car repair, or a job loss. Without an emergency fund, these unexpected expenses can significantly strain your finances and cause you to accumulate debt.

That’s why building an emergency fund is crucial for someone who wants to achieve financial stability. Here are some reasons why building an emergency fund is so important:

Provides a Safety Net
An emergency fund provides a safety net to help weather unexpected expenses or emergencies. Without an emergency fund, you may rely more on credit cards or loans to cover unexpected bills, which can lead to a cycle of debt.

Emergency funds can provide peace of mind. Having an emergency fund lets you know that you have a financial cushion in case something unexpected happens.

Helps You Avoid Debt
If you do not have an emergency fund, you may be more inclined to rely on credit cards or personal loans to cover unexpected expenses. This can quickly lead to high levels of debt, which can take time to repay.

An emergency fund is essential to help you avoid debt by providing the funds you need to cover unexpected expenses without relying on credit.

Helping You Stay on Track with Your Financial Goals
Unexpected expenses can quickly derail your financial goals. With an emergency fund to help with unforeseen costs, you’ll be better able to stay on track with your financial goal. These financial goals include paying off debt, saving for a down payment on a house, or investing for retirement. Having an emergency fund lets you stay on track with your financial goals even when unexpected expenses arise.

Provides Flexibility
Having an emergency fund provides flexibility in your finances. It can allow you to decide based on what’s best for you and your family rather than being forced to choose based on financial constraints.

For example, if you have an emergency fund, you can take a lower-paying job you enjoy more rather than being forced to take a higher-paying job you don’t like because you need the money.

Helps You Avoid Stress
Mental and physical health can be greatly affected by financial stress. By having an emergency fund, you can avoid the stress of unexpected expenses and economic uncertainty.

Tips for Building an Emergency Fund
Building an emergency fund takes time and effort but is worth it in the long run:

Set a Savings Goal
Setting a savings goal is the first step to building an emergency fund. A general rule of thumb is to save about three to six months of living expenses in your emergency fund.

Create a Budget
Creating a budget is essential for building an emergency fund because it helps find areas you can cut back on or free up money to save.

Automate Your Savings
Automating your savings can make it easier to build an emergency fund. Set up automatic monthly transfers from your checking account to your savings account.

Prioritize Your Emergency Fund
Make building your emergency fund a priority. Treat it like any other bill and contribute to it each month.

Avoid Temptation
It can be tempting to dip into your emergency fund for non-emergencies. However, it’s essential to keep your emergency fund separate from your other accounts and avoid using it for anything other than true emergencies.

Brooklynn Chandler Willy of San Antonio, Texas | Retirement Planning for Self-Employed Individuals

For a dedicated and knowledgable partner in investment and insurance, look no further than Brooklynn Chandler Willy – JD RFC CDFA – a financial services professional specializing in Retirement Planning. Operating in San Antonio, Texas, Brooklynn is the President of Texas Financial Advisory, which she founded in 2008.

Retirement planning is essential for everyone, but it can be incredibly challenging for self-employed individuals. Unlike employees, self-employed individuals cannot access employer-sponsored retirement plans, such as 401(k)s or pensions. As a result, self-employed individuals must take proactive steps to ensure they are saving enough for retirement.

Here are some tips for retirement planning for self-employed individuals:

Open a Retirement Account
One of the easiest ways for self-employed individuals to save for retirement is to open a retirement account. There are several types of retirement accounts available, including Individual Retirement Accounts (IRAs), Simplified Employee Pension (SEP) plans, and Solo 401(k)s.

IRAs are available to anyone with earned income and offer tax advantages that can help retirement savings grow more quickly. SEP plans, and Solo 401(k)s are designed specifically for self-employed individuals and offer higher contribution limits than IRAs.

When choosing a retirement account, it is essential to consider factors such as contribution limits, tax advantages, and investment options. Consult with a financial advisor to determine which retirement account suits your needs.

Set a Retirement Savings Goal
Once you have opened a retirement account, setting a retirement savings goal is crucial. This will help you stay motivated to save and give you a concrete target to work toward.

To determine your retirement savings goal, consider your current age, your expected retirement age, and your expected retirement expenses. Consider factors such as inflation and potential investment returns.

Using a retirement savings calculator to determine the amount you will need to save each year to reach your retirement savings goal can be helpful.

Make Regular Contributions
Once you have set a retirement savings goal, it is essential to make regular contributions to your retirement account. This will help ensure that you progress toward your goal and that your retirement savings are growing over time.

If you have a SEP plan or Solo 401(k), you can contribute as both the employer and the employee, which can help maximize your retirement savings. It is important to note that contribution limits can change yearly, so staying up-to-date on the latest rules is essential.

Invest Wisely
When saving for retirement, it is crucial to invest wisely. This means choosing investments that are appropriate for your risk tolerance and that have the potential to provide strong returns over time.

It can be helpful to diversify your investments across different asset classes. These assets include stocks, bonds, and real estate. This can help manage risk and potentially maximize returns. It is also essential to monitor your investments regularly and make adjustments as needed. This may involve periodically rebalancing your portfolio or changing your investment strategy based on market conditions.

Consider Working with a Financial Advisor
Retirement planning can be complex, and navigating all the different options and considerations on your own can be challenging. For this reason, many self-employed individuals choose to work with a financial advisor to help them develop a comprehensive retirement plan.

A financial advisor can help you evaluate your retirement savings goal, choose the proper retirement account, and develop an appropriate investment strategy for your needs. They can also help you monitor your progress and make adjustments as needed.

Retirement planning is essential for self-employed individuals who do not have access to employer-sponsored retirement plans. By opening a retirement account, setting a retirement savings goal, making regular contributions, investing wisely, and considering working with a financial advisor, self-employed individuals can take proactive steps to ensure they are saving enough for retirement.

Diversification Disclosure:

Diversification does not guarantee a profit or protect against a loss in a declining market. It is a method used to help manage investment risk.

Balancing Family and Running Your Own Business

Brooklynn Chandler Willy is a multitalented entrepreneur and small business owner in the San Antonio, Texas, Community. She is the Founder and President of Texas Financial Advisory, a position she’s held since 2008 when she founded the boutique Tax, Investment, and Estate Advisory firm.

Many new business owners aspire to achieve a balanced life, but only a select few can. Being able to start and run a company while simultaneously raising a family is challenging for parents. Here are some essential factors to consider when it comes to balancing your family and business.

Time Management

You should not start a new venture while expecting a child in the next couple of months, as both your business and your new parenthood require a tremendous amount of energy to succeed. You should wait until you have settled into the parenting phase.

Teamwork

If your partner supports your business idea, you should create a game plan to help you manage your family life. This may entail hiring a nanny or a part-time worker, asking your parents to help with the kids while you’re at work, and picking them up from school. Having a plan will make it easier for you to focus on your business.

Take Your Time

You don’t necessarily have to rush into starting a company. It can take some time for a business to grow and establish itself, and you can begin to slowly or while you’re still at your current job. This may be a great alternative if you need more money to start a company immediately.

Healthy Mindset

It will take a lot of work to give both your attention to the company and your family simultaneously, as both are competing for your attention. One of the most critical factors you can consider is to focus on one task at a time. If you’re in the office, focus on the task, not your kids. On the other hand, when you’re at home, mentally lock off work, think, and focus on your family.

Self-Care

It’s easy to forget about taking care of yourself when it comes to juggling entrepreneurship and parenthood, but neglecting one’s mental, physical, and spiritual health can harm one’s performance as a caregiver or boss. Between exercise, sleep, and relaxation, finding time to recharge can help make you more effective at your job.

Conclusion

​​Taking on a significant personal and professional undertaking simultaneously is a good challenge. Remember that your business and family are essential, and you should always give your all.

Mistakes to Avoid as a First-Time Business Owner

Brooklynn Chandler Willy is a multitalented entrepreneur and small business owner in the San Antonio, Texas, Community. She is the Founder and President of Texas Financial Advisory, a position she’s held since 2008 when she founded the boutique Tax, Investment, and Estate Advisory firm.

Everyone is familiar with the success of small business owners. There are countless stories about successful startups being purchased by large corporations. However, running a small business can take a lot of work. In order to make your business a success, here are some mistakes to avoid.

Lack of Business Plan

A good business plan is a vital part of any plan to establish a successful business. It shows the potential revenue you can expect to receive and the money you’ll need to start and run your company. Getting a good business plan can be time-consuming and challenging, so you must assemble it before working on your business. Many small business owners begin without a plan, then realize that their ideas must be revised to work out how they expected.

No Marketing Campaigns

Your marketing plan should go hand in hand with the business plan since, with proper publicity, your company will be able to attract potential customers. Your marketing plan should include identifying your ideal customer and developing a strategy that will allow you to differentiate yourself from the competition. It should also have ways to measure its success.

Overspending Habits

Many small business owners get into trouble because they lack control over their expenses. It’s important to be conservative with your spending until your company has a strong track record of profitability. When taking on debt, it’s essential to consider how you will pay it back. As a new company owner, you will likely have to sign a personal loan guarantee, ensuring you will be responsible for the payments.

Failing to Collaborate

Although most entrepreneurs are self-sufficient, learning to delegate and limit your tasks is vital to ensure your company’s success. Having a good understanding of your limits can help you focus on the things that you’re good at and enjoy doing. You should start a business with the intention of it succeeding, but you should also be careful not to rush into it. Give yourself time to grow and develop the business.

Not Protecting Your Brand

If you create software, artwork, music, or inventions that are used in producing goods and services, then your creations can be protected by copyright or patent law, and the name and logo you have for your company may also be eligible for federal and state trademarks. Keeping track of your intellectual property is important to protect it. Registering it with government agencies can help prevent other companies from using it.

How to Successfully Pay Off Your Debt

Brooklynn Chandler Willy is a multitalented entrepreneur and small business owner in the San Antonio, Texas, Community. She is the Founder and President of Texas Financial Advisory, a position she’s held since 2008 when she founded the boutique Tax, Investment, and Estate Advisory firm.

Although it may have taken a couple of months for overconsumption and unemployment to accumulate credit card debt, it may take longer to pay them off. To avoid falling behind, stick to a strategy and stay positive. Slow and steady progress leads to zero balance. You must have a plan to pay off debts, regardless of how they happened. Here are a few strategies to help you get on track.

Budgeting

You need a budget to start paying off debt. Having a plan will allow you to keep track of how your finances are being managed and identify areas where you can make further savings.

After creating a budget, it’s time to start planning on how to pay off your debts. One of the most important steps that you can take is to subtract from your income to create a free cash flow. This will allow you to use the money that’s available to cover your variable expenses.

Reduce Bills

If you still need to figure out how to pay off debt, consider reducing your monthly expenses. Doing so will allow you to save more money and contribute to the efforts to reduce your debts.

Some of the unnecessary expenses that you can cut include: cable and Netflix for a couple of months. Doing this will allow you to free up money and focus on other areas of your life. If your heating bills are out of control, a free energy audit from a utility company can help you identify ways to reduce your energy usage.

Start Saving

Getting out of debt is more challenging than it sounds, especially if you have an unexpected car repair. Having an emergency savings account will allow you to focus on paying off debt while also helping you manage your finances.

If you have extra money, you can use it to pay off your credit card balance. However, you might owe it again if you don’t have enough money to cover an emergency. According to experts, you should have at least three to six months’ worth of living expenses for savings. Having a budget will also help you keep track of your savings.

Getting Secondary Income

Nowadays, having a side hustle is almost as common in America as apple pie. People are also taking advantage of the opportunities offered by these platforms by working as a dog-sitter, a ride-share drivers, or even selling jewelry on eBay. With that in mind, one might start thinking about ways to pay off debt.

Retirement Lifestyles to Consider

Brooklynn Chandler Willy is a multitalented entrepreneur and small business owner in the San Antonio, Texas, Community. She is the Founder and President of Texas Financial Advisory, a position she’s held since 2008 when she founded the boutique Tax, Investment, and Estate Advisory firm.

Even though it may seem like a long time away, it’s still possible that you’ll retire without working one day. It’s okay to wait until you have a better idea of how you want your retirement to look. Having the necessary details can help you save enough to retire comfortably. There are a few common retirement lifestyles that people should consider when it comes to planning their retirement.

Simple Living

Many people believe they can live more simply in retirement, though a smaller nest egg may not be enough to achieve this. Planning ahead is essential for a comfortable lifestyle.

According to the Bureau of Labor statistics, housing is expected to be the most significant expense you’ll face during retirement. Relocating to a less expensive area can lessen these costs. If you plan to stay in the place, paying off your mortgage early can also help lower your monthly expenses. Another expense most people will likely face during retirement is transportation, which is the second-highest. You can probably give up on your car if you’re close to a public transportation hub or an area with plenty of amenities.

New Ventures

There are many possibilities for retirement, such as going back to school or working on a passion. You can decide what you want to do if you have the necessary budget.

In addition to living expenses, consider how much tuition you’ll need to cover if you plan to return to school. Many universities and colleges provide reduced or free education for people who are already retired, and what you learn may lead to additional income.

Some people who are already retired decide to continue working, whether they are in their current field or an entirely new one. They can take on a passion project, work fewer hours, or turn their hobby into a business. Working allows individuals to maintain their sense of purpose and social connection.

Traveling

Not only do retirees want to take a break from work, but they also want to do various things that they’d put off during their time working. One of these is traveling, whether it’s to visit distant relatives or the world.

It’s important to plan big and get specific about your objectives. Having a rough idea of how many trips you plan on taking can help determine the cost of traveling. Ask yourself questions such as where and how you want to go. By adding these goals to your plan now, you can increase the likelihood that your retirement savings will support your desire to travel.

Top Small Business Strategies to Know for 2023

There is no secret way to success when it involves growing a small business. Instead, there are many effective practices and strategies that you can implement to help your company grow. In this article, you’ll learn a few effective strategies to help your company plan for growth in 2023.

Revisit Business Stages

The various stages of business growth can help entrepreneurs prepare for the inevitable obstacles of running a company. Each stage also provides a guide to successful business expansion. Reviewing the various stages allows you to identify areas where your company can improve and make necessary changes.

Emphasize Business Development

The first step in any business is to develop an idea. This stage is crucial in turning a concept into a successful product. Before starting a company, it’s vital that you thoroughly research the market—the development stage changes depending on a company’s maturity and growth stages. For instance, focus on the market, brand extension, and product during the growth stage.

Develop a Candidate Pool

Finding the ideal candidate for a job can take a lot of time. If you only have a few people to hire, consider other candidates who may not meet the position’s requirements but can still contribute to the company’s future needs.

Revamp Your Brand

Your brand is the most essential aspect of any company’s identity. It includes the company’s logo, mission statement, and design. A strong and positive brand can help potential customers easily recognize you. A memorable brand is also essential to retain your customers and attract more potential ones. According to studies, it costs about five times more to acquire a new customer than to maintain an existing one.

Updated Marketing Strategy

Marketing aims to get the word out about your business at the right time to increase sales and improve the company’s performance. Since you’re in your growth stage, it’s time to implement new strategies to help you achieve this.

Conclusion

Leaders of small businesses often define growth differently. For instance, some entrepreneurs focus on the continuous increase in revenue. Others are more likely to receive offers from the press, influencers, and brands. Instead of comparing yourself to others, focus on your company’s progress.

Finding Your Personal Brand as an Entrepreneur

A personal brand is like choosing a wardrobe. Before you start shopping for one, it’s essential that you first have a good understanding of yourself and the people who are trying to influence you. Understanding yourself will allow you to make informed decisions and find comfortable clothes.

Creating a personal brand is similar to a tailored suit can make you feel great and put you in a position to land a job or close the sale. When creating a personal brand that’s more like a tailored suit, it’s essential to get to the heart of who you are. To define your brand, ask yourself these five questions:

What Are Your Goals?
One of the first steps people usually take when establishing their online image is setting goals. However, these goals don’t include the necessary work to create a personal brand. Getting more business online requires that you start generating various forms of activity. Some of these include social media marketing and PR initiatives.

Before you start implementing any digital activity, it’s crucial that you first set goals. Otherwise, you might waste a lot of opportunities by not knowing where you want to be in the future. Having a clear goal will allow you to focus on the positive aspects of your online presence.

Do You Have Unique Values?
Marketing a business is only done once you have determined the value of your product or service in the marketplace. Your brand will also be similar to a business in that it will focus on your unique value. Before you start working on a blog or a social media activity, you’ll want to identify the value you’re trying to achieve.

The goal of establishing a personal brand is to identify the value you offer to the people looking for it. This will help you identify the areas of your business in which you can excel.

You should first determine why you are passionate about your work. This will allow you to identify the areas in which you can excel and how you can help others.

Is There a Personal Story For You to Tell?
Your own story will be the foundation of your brand narrative. It will help you connect with your audience and tell your story in a way that they will remember. Before you start writing a personal brand, it’s crucial that you first ask yourself questions about yourself. Try talking to someone else about this to get away from the story you’re currently holding. Imagine being asked a question about your own story if you’re planning on doing it on your own.

What Is Your Character Personality?
Your personality is a vital component of who you are as a person. Remember that others will likely describe you differently as you start to think about your own traits. Since your audience will be the ones who will be engaging with your online image, your perception of yourself should be based on theirs.

Avoid using an ineffective or inauthentic brand. Instead, ask your colleagues, friends, and family to describe you using adjectives they would use. List down the adjectives that they would use and connect with the most.

What Will Your Brand State?
After gathering all of these details, it’s time to create a brand statement. This will help you maintain consistency throughout your digital strategy. Use the information you’ve collected to create an incredibly boring or exciting brand statement. Your brand statement should be compelling enough to help guide your efforts online. Livening it up can also make it more effective.

Saving Tips for the New Year

Are you planning on setting aside more money for savings? You are not alone. An Equifax survey revealed that about half of Americans plan to save more money and improve their credit score. Another third is planning on establishing a personal budget.

Planning your financial goals for the upcoming year is ideal. More savings can help you with future expenses, such as costly purchases and possible investments. It can be easier to accomplish these goals if you are willing to improve your habits and utilize budgeting tools. Here are a few easy ways to save more money in 2023.

Budgeting Apps
Despite the negative connotations of “budget,” it’s still essential to follow a budget to ensure you’re living a meaningful and happy life. A budget can help you monitor spending and set goals to ensure you get the most out of your money. Numerous budgeting apps allow you to set goals and manage your finances.

High-yield Savings Account
Setting aside money for emergencies should be prioritized, and placing it in a high-yield savings account is crucial. A low APY account can prevent you from earning more interest, and switching accounts could increase your account balance and yield better returns. Currently, numerous high-yield accounts pay competitive rates.

Automatic Transfers
Setting aside money can be challenging if you’re not following your savings goals. However, with automatic transfers, you can quickly transfer money from your checking account into your savings account regularly. This practice can help keep you on track and ensure you’re not falling behind.

Negotiate Bills
Another way to free up some cash is by negotiating your bills, as some providers may be able to provide you with a better rate by asking nicely. For instance, if your ISP offers you a lower promotional rate, you can use the money saved to set aside for savings.

Subscription Management
If you’re not using many services, paying for them can be a waste of money. One way to avoid this is by canceling or pausing your subscriptions. Doing this will allow you to reach your savings goals and avoid getting hit with multiple bills.

How to Adjust to New Responsibilities or Changes to Your Finances

If you are facing a sudden change or shift in your financial situation, such as having recently lost your income or are considering buying a home, you must re-evaluate your budget to ensure that you are still in control of your financial situation. A budget is a vital tool that can help keep you on track and maintain a stable financial position.

Look Over Your Finances
Although you may already have a good idea of where you are financially, you must take the time to review your finances and make a more comprehensive analysis. This will allow you to identify areas where you can save and improve your financial situation. List all of your expenses and find ways to reduce them. This will allow you to take a break from your routine and focus on the most important things. This will also help you feel less stressed and improve how you spend your money.

After all, this, create a budget that will prioritize your financial responsibilities and stick to them. Review your spending to identify potential savings. Also, read our article about preparing for the unexpected.

Make the Most of Your Resources
After you have put your financial house in order, it’s time to start taking advantage of available opportunities. Assess your assets, such as investments, retirement, and short-term savings accounts. These can be used to supplement your cash flow. Also, look at your real estate, vehicles, and emergency fund.

It would help if you also sought financial support from the government. For instance, you can find helpful information about the IRS and the consumer financial protection bureau if you are an individual. On the other hand, if you are a small business owner, numerous programs can help you.

Adjust Your Financial Strategy
It may be tempting to use all your available money to pay off your debts. According to our research, many parents prioritize debt reduction before the COVID-19 outbreak. However, this should be something other than your priority, as interest rates are starting to decrease and payment deferrals are available.

If you have credit card debt, you must analyze your current interest rate and determine if it’s worth prioritizing the high-interest debts harming your credit.

Don’t make changes to your financial planning strategy unless it’s necessary. You should continue to monitor your long-term goals and stick to investing and saving, even if it’s only a tiny amount. Some expenses, such as gas and childcare, have decreased for many families due to the pandemic. If you’re still employed and have a full salary, you can use the extra money to boost your savings.

Track Earnings and Spending
It’s crucial that you firto continually analyze your spending and earnings. This will allow you to monitor how much money you have available and how you spend it. Even if you have done an initial analysis of your finances, this is something that should be done regularly. Having a monthly budget will also help you keep track of your expenses.

This will allow you to save for your goals and reduce your non-essential expenses. Even small amounts of money, such as $5 to $10, can be noticed. A system that allows you to monitor and control your expenditure will help you avoid financial mismanagement.

Diversify Your Portfolio
One of the most critical factors you should consider when investing is the market’s volatility. Having more than one asset class can lead to significant losses if the market is volatile. Especially if your financial situation changes, it’s recommended to diversify your portfolio into various types of assets, such as bonds, stocks, and real estate.

Every investor should seek a financial advisor to help manage risks and create a diversified portfolio.

Retirement Resolutions to Keep in Mind

Most people make New Year’s resolutions to improve their lives in various ways. For instance, they can save more, lose weight, and spend less. However, these resolutions can also be very effective for those already retired or planning on retiring. In this article, we’ll talk about four different resolutions that can help improve the quality of life for both pre and post retired individuals.

Although you’re probably already used to making resolutions, what goals should you set for yourself when you retire?

Resolution #1: Ensure Your Finances Are in Order
One of the most common resolutions people make is to have a clear understanding of their finances. This is very important for newly retired individuals as it will allow them to make informed decisions regarding their finances. Having a budget can help you track what’s happening in your finances and ensure that you have the necessary resources to support your partner or family.

To ensure that your finances are in order, start by listing the areas that need to be covered. Then, divide these into five equal parts. This will allow you to get the job done quickly and easily.

Resolution #2: Start Exploring New Locations to Live
If you were working, your house might have been an excellent place to raise a family and commute to your job. However, after your children have left home and your primary career has ended, you might not be able to live in the same house for the next few decades.

Before you start looking for a new home, it’s essential that you first think about the location and the community that will allow you to meet your most critical needs—having a list of the requirements that you want to address can help you find a suitable home.

Resolution #3: Consider Your Activity and Engagements
Contrary to popular belief, it could be better to go on a vacation for several years. Instead, consider retirement a phase of your life filled with activities you’re eager to participate in. Studies also suggest that retired people have solid reasons for getting up early each morning.

If you’re planning on working for income, you must consider the different jobs that will allow you to meet your needs. Many people who are retired and pre-retirees want to have more flexibility than they did in their careers. However, finding a suitable job for you may take time due to the current economic situation. Volunteering is one of the most effective ways to get out of the house.

Resolution #4: Understand the Ins and Outs of Retirement
It can be challenging to retire successfully. However, you can make it easier to live on by developing a plan and adjusting it as needed. There are many things that successful retirees have learned from their experiences. You can also learn a lot from experts who have been talking about retirement for a long time.

What to Know About Entering Into Retirement in 2023

Although it is straightforward to start planning for your retirement, it is also essential to remember that there are various moving parts you need to take into account. Proper knowledge about these changes can help you get the most out of your plan. To help you out, here are five things you should know about retirement planning in 2023.

New Limits on 401(k)
A workplace retirement plan like a 401(k) is popular among Americans. You can set aside money for your financial needs through a plan which allows people to invest a portion of their paycheck. You can also choose to spread the funds among various options, and you will pay taxes on the earnings once you retire.

The limit is adjusted yearly; in 2022, it was $20,500; in 2023, it was $22,500. Also, those 50 and above can make catch-up contributions. In 2022, the catch-up was $6,500, and in 2023, it will be $7,250. This will allow individuals with a total of $30,000 to make contributions.

IRA Limits
An individual retirement account is a good choice if you cannot access a workplace retirement plan due to certain factors. An IRA is a type of retirement plan that works similarly to a traditional pension, except that it is operated by yourself. In 2022, the maximum amount individuals can make in contributions to an IRA is $6,000; in 2023, the limit will go up to $6,500.

Phase-Out Range on IRA Income
People who make large contributions to their IRAs will see their limits go down if a workplace retirement plan also covers them. The phaseout range for traditional IRAs starts at $73,000 for individuals with a taxable income of $83,000 in 2023. This means that if an individual’s earnings exceed this amount, they will not be able to contribute to their retirement accounts.

Roth IRA Income Phase-Out Range
Traditional IRAs work similarly to Roth IRAs, except that money is withdrawn once you retire. No taxes are applied when this happens. The phase-out range for individuals’ retirement accounts in 2023 is $138,000 for singles and $153,000 for heads of household. In 2022, it was $129,000. In 2023, the maximum amount couples filing jointly can make in retirement accounts is $218,000. In 2022, the figure was $204,000.

Social Security Update
Although Social Security is not always enough to retire on your own, it is a vital part of many people’s retirement plans. In 2023, the monthly payments will increase. The cost of living adjustment, or the “COLA,” for Social Security payments will be 8.7% in 2023. This will increase the payments by around $140.

How to Use a Credit Card Responsibly

A credit card can help you build a solid financial future and establish a good credit score, but it can also lead to a large pile of debt you need to pay off. Before you use a credit card, it’s essential to understand the various steps that will help you avoid problems later.

Budget
Although a credit card can help make purchases and earn rewards, it shouldn’t be used to buy things you can’t afford. Having a realistic budget will help keep you from getting carried away.

A budget that follows the 50/30/20 method will allow you to allocate half of your take-home pay to pay for necessities, such as groceries and housing, while the other half will go toward paying off debts and savings. This will help keep your credit card expenses aligned with your income and savings goals.

Monitor Spending
The first step is to determine how much you can afford to spend. After that, keep track of your monthly purchases using a credit card’s website or app.

Once you reach your limit, stop using the card until you have paid off the balance. This discipline will help you build a credit score and avoid financial strain.

Do Not Max it Out
It’s tempting to carry a large credit card balance, but it’s essential to remember that carrying a large debt can negatively affect your credit score.

One of the most significant factors affecting your score is your credit utilization, which is how much of your limit you’re using. Carrying a large debt can also set the foundation for a long-term financial problem.

Pay Your Bill on Time
The minimum payment you have to make on a credit card is only a portion of the total amount you owe. Paying the minimum payment may seem relatively low-cost, but it can cost you money over time.

Paying the minimum each month will add interest to your credit card bill until you reach the end of the term. Your balance will decrease each month slightly, as a portion of your payment will be used to pay accrued interest.

Redeem Benefits
If you’re a new user of a rewards credit card, ensure you understand its terms and conditions. Using your card to shop for restaurants and gas can help you earn rewards points or cash back.

Keep your rewards from getting lost, as some cards have an expiration date, so you’ll have to use them or lose them. Some cards also have various perks you can redeem, such as a statement credit or a check.

Why is Branding Important?

Your brand is more than just a collection of colors and logos. It is the core identity of your business, and it gives you personality. Today, there are a lot of companies out there that need to go the extra mile to stand out from the crowd. One of the most important factors businesses need to consider is their brand. Having the right brand will allow them to control how people perceive their business.

Recognition
Branding is one of the most important factors businesses need to consider to stand out from the crowd. It can help them get recognized more often and attract more potential customers. Strong branding will allow people to take note of your business and keep it in their minds for a long time.

A company with a distinct logo, attractive colors, and other visual elements will be more memorable. Although people may initially see your brand for a brief moment, they will most likely still remember it if it sticks out positively. This means that even if they don’t use your services or products right away, they’ll still come back to you eventually.

Trustworthiness
With the proper branding, people will most likely trust them. If you had to choose between a company with a professional-looking brand and one that hasn’t made an effort to create it, you could choose the latter. Having the right brand can help people identify with your business and give them a reason to believe that you are an established organization. This is an investment that your company is making to improve its image.

Advertisement
When advertising your company, you want to ensure that everything you do is cohesive and represents your values and identity. You need to take the time to develop a brand to capitalize on the many opportunities that come with an effective campaign. Good branding can help boost the recognition of your brand, and it can help you get noticed when all of your advertising is combined.

Company Culture
Besides providing value to your employees, having the proper branding can also help boost your company’s culture. It can help employees feel like they are part of a team. Moreover, a solid brand can help people feel like they are part of something bigger than just a job.

In addition to being able to attract new customers, you also want to ensure that you have the proper branding to keep your employees motivated. This includes having the right logo and various other visual elements that can help boost the morale of your workers.

Is Paying Off Your Mortgage Before Retirement a Good Idea?

In retirement, it is a smart idea to minimize your expenses. Doing so will allow you to eliminate a high cost and ensure you are not forced to become homeless. Repaying your mortgage can also help ease your financial stress and provide peace of mind. Paying off your mortgage before you retire is a decision that differs from person to person. Here is a breakdown of reasons you should and shouldn’t pay your mortgage before retirement.

Why You Should:
Reduced Monthly Expenses

Taking care of your mortgage early can help lower your monthly expenses if you retire with a fixed income. Since it takes up a large amount of money each month, you can live on less once it is no longer in your financial situation.

Lowered Interest Rate

Your loan payments will eventually need payed, and you will likely spend a significant amount on interest. Doing so will allow you to free up some money for something else. Although you may be unable to deduct mortgage interest, the lower payments will make you more likely to claim your taxes. Also, you can claim more on your taxes as interest payments decrease.

Risk-free Rate of Return

A risk-free rate of return refers to an investment that doesn’t involve risk. For instance, a three-month Treasury bill rate of return is typically considered risk-free. However, if your mortgage’s interest rate is higher than that of other low-risk investments, it might be better to settle your loan rather than invest in them.

Why You Shouldn’t
Chance of High-Interest Debt

If you have too much high-interest debt, it could put your financial security at risk. To avoid this, make sure that you prioritize your debts, such as credit cards, which have higher interest rates. One way to prevent this is to pay your credit card bill monthly regularly. This will allow you to avoid getting carried away by the large balance you might accumulate later.

You Won’t Have a Safety Net

One of the most critical factors you should consider when setting aside money for emergencies is having a cash reserve. This will give you a cushion if you need to make an unexpected expenditure. A cash reserve of around three to six months can provide you with a cushion.

Need to Increase Your Savings

If you have insufficient money for retirement, you should focus on boosting your nest egg. You can grow your money tax-free until you retire with accounts such as IRAs and retirement savings accounts. You can boost your retirement reserves by contributing to these savings.

Putting Inclusive Leadership Into Practice

What makes people feel included in an organization? In addition to being treated fairly, they feel valued and belong to the company. This consists of the organization’s mission, policies, and practices.

Most of the time, it comes down to how leaders do their job. What a leader says and does can make a huge difference. In addition to being treated fairly, people feel valued and belong to the company.

The Characteristics of an Inclusive Leader
Inclusive leadership is a critical capability that organizations can use to adapt to the changes brought about by diverse customers, markets, and talent. According to a study, inclusive leaders share characteristics that help them lead effective teams. These characteristics are visible commitment, humility, awareness of bias, curiosity about others, cultural intelligence, and effective collaboration.

One of the most important characteristics people can identify with a leader is their awareness of bias. Seeing a leader’s bias can make them feel more inclusive.

Demonstrating Inclusive Leadership
One of the most effective ways to demonstrate inclusive leadership is by establishing a personal advisory board (PAD) composed of people close to the leader. These individuals can give leaders feedback on their daily interactions, which can help them make informed decisions about making their teams more inclusive.

One of the most important questions that people can ask a leader is if they use a wide variety of imagery when talking about diversity. For instance, if the leader talks about inclusiveness while addressing a diverse audience, do they use imagery that only represents one group? Having a personal advisory board can help leaders continuously monitor their progress.

Another strategy that leaders can use to demonstrate their commitment to being more inclusive is sharing their learning journey about addressing and recognizing biases. They can discuss their 360 assessment results or hold a town hall meeting. During these meetings, they can also create a standing item that they can use to talk about their progress on being more inclusive.

These actions show humility, a vital component of being an inclusive leader. It can help leaders develop their role models and insights in addressing biases.

Another strategy that leaders can use to demonstrate their commitment to being more inclusive is by immersing themselves in new and uncomfortable situations. For instance, they can attend an employee resource group meeting or sit in different parts of the office each week. Exposure and open-ended questions can help leaders develop new ideas and expand their horizons.

Being an inclusive leader is very important to ensure that employees have the opportunity to develop their diverse thinking skills. Unfortunately, several leaders do not have the necessary confidence in their ability to lead and challenge the status quo.

Awareness of one’s blind spots is fundamental to self-development, but it is also not enough to be isolated. Leaders need to develop their perspective and humility on their own biases. This can be done through the development of a circle of learning.

Accepting criticism and criticism about their own biases is very important for leaders to develop their humility and empathy. This can help them build their perspective and make others feel more included. Besides being open to criticism, these behaviors can also help leaders develop their inner peace.

What Does Financial Stability Really Mean?

Financial confidence is a concept that people often define as being able to live in a financial position where they don’t worry about money, whether they have a job or not. Stability is a concept that people often define as being able to control their finances and life choices. Unfortunately, many people are still working their tails off and feeling trapped in their current situation.

Break Out of the Financial Prison
Unfortunately, many people get trapped in financial traps that prevent them from making informed decisions. For some, this means going without the necessary lifestyle and investing in products that will destroy their wealth. Getting out of financial traps is as easy as taking the necessary steps to avoid getting tricked into doing something that will cause economic imprisonment.

The exact steps involved in achieving this goal may seem straightforward. However, getting in shape is not as easy as it sounds. It requires a lot of discipline and conscious effort. The only way to avoid financial imprisonment is to follow the same path the rich have followed for generations. This means that no matter your background, you have the same tools the rich have used to create wealth for their families.

Years of Financial Stability
Everyone can build financial stability that they can live with. However, it will take a bit of time for financial stability to become a reality. The main factors that will determine this are your control and freedom over your finances.

You must first ask yourself what financial stability means to you. Once you have an idea, you can ask yourself what is most important.

Finding What’s Important
For instance, if you have a goal to visit the culture of your ancestors, then start by writing down what it is that you want to experience in life. This will help you determine what it is that financial stability is all about. Continue to do this until you have a deeper understanding of what it is that you want to achieve.

By doing this exercise, you will have already identified the reason behind your desire to pursue financial stability. This will help you make informed decisions and improve the quality of your life. financial stability is about more than just generating wealth. It is also about determining what is most important to you.

The Definition of Financial Stability Will Vary
financial stability can be defined as having the ability to live in a financial position that you don’t need to work in. It can also mean taking a lower-paying job to pursue something you love. Some people define financial stability as having the ability to own their houses and cars outright. Others may need to know they have enough money to fund their travel without relying on others.

Others may want to give money to charitable organizations or do mission work. Regardless of the reason behind your desire to pursue financial stability, it is crucial to determine what it means to you. Once you clearly understand what you want to achieve, it is time to start planning how to achieve it.

This blog/website is only made available for educational purposes. It is designed to give visitors general information and a general understanding of select financial topics. It is not intended to provide specific financial or investment advice. Conduct your own due diligence or consult a licensed financial advisor/broker before making any and all financial/investment decisions.

Retiring in your 30s or 40s: Is It a Good Idea?

You can retire in your 50s if you have the necessary savings and are planning on doing so. However, if you’re still passionate about financial confidence and believe you should retire early, you should start planning on it now and retire at 40 or even 30.

This lifestyle is not for everyone. However, it’s a possibility for specific individuals. Before adopting this lifestyle, you must understand what you’re getting into if you decide to join the “financial confidence, retire early” movement, also known as “FIRE.”

Retiring in Your 30s
Most Americans would have thought that it was impossible to retire at 30. However, various factors have changed the outlook on this matter, such as the rise of zero-commission online investing and the changing workplace dynamics. Even though it’s possible to retire at 30, it’s still not feasible for most people. Here are the steps that you need to take to achieve this goal.

What Your Savings Should Look Like

If you want to retire at 30 years old, you will need to save more than 75% of your income.

For instance, if you’re in good health and have a strong family history of living long., your life expectancy could be 80. If you retire at 30 years old, you’ll have 50 years of retirement. Not only that, but you’ll also have less than ten 10 to earn all that money, as your work career will almost certainly end after that.

If you want to retire at 30 years old, you’ll need to save about $3.9 million to reach your desired annual income of $60,000. However, if you invest your savings with an average yearly return of 5%, you’ll need around $2.15 million. By doing this, you’ll be factoring in the 3% annual increase in withdrawals to keep up with inflation.

The Setbacks

One of the most overlooked factors when it comes to planning your financial stability is that you may not be able to receive Social Security benefits. To qualify for these benefits, you’ll need to earn around 40 “quarters of coverage,” which is 10 years of work.

If you start working at age 20 or younger, then your Social Security benefits will not be enough to cover you. Even if you reach the total benefit amount, your earnings will only be used to calculate your benefit. Since 25 or more of your years will have zero earnings, your benefit will be smaller.

Retiring in Your 40s
Although it’s more realistic to retire at 40 than 30, it’s still not feasible for most people. You’ll still need to save more than 50% of your income and make wise investments.

What Your Savings Should Look Like

Using the same assumptions, you’ll need around $3.3 million in your savings to retire at 40. However, if you invest your money at 5% a year until you reach 95, then you’ll need around $2 million. This is less than you’ll need at 30 as you’ll have more time to compound your returns and fewer years of withdrawals.

The Setbacks

One of the biggest mistakes people make when doing their financial planning is assuming they’ll easily retire at 40. They’ll be stepping away from the workforce right when their earnings are getting higher, and their expenses will rise.

Before you retire, it’s essential to factor in all of these variables into your calculations. Since you’ll be living on a fixed income, it’s critical to factor these into your strategy.

This blog/website is only made available for educational purposes. It is designed to give visitors general information and a general understanding of select financial topics. It is not intended to provide specific financial or investment advice. Conduct your own due diligence or consult a licensed financial advisor/broker before making any and all financial/investment decisions.

Putting Inclusive Leadership Into Practice

What makes people feel included in an organization? In addition to being treated fairly, they feel valued and belong to the company. This consists of the organization’s mission, policies, and practices.

Most of the time, it comes down to how leaders do their job. What a leader says and does can make a huge difference. In addition to being treated fairly, people feel valued and belong to the company.

The Characteristics of an Inclusive Leader
Inclusive leadership is a critical capability that organizations can use to adapt to the changes brought about by diverse customers, markets, and talent. According to a study, inclusive leaders share characteristics that help them lead effective teams. These characteristics are visible commitment, humility, awareness of bias, curiosity about others, cultural intelligence, and effective collaboration.

One of the most important characteristics people can identify with a leader is their awareness of bias. Seeing a leader’s bias can make them feel more inclusive.

Demonstrating Inclusive Leadership
One of the most effective ways to demonstrate inclusive leadership is by establishing a personal advisory board (PAD) composed of people close to the leader. These individuals can give leaders feedback on their daily interactions, which can help them make informed decisions about making their teams more inclusive.

One of the most important questions that people can ask a leader is if they use a wide variety of imagery when talking about diversity. For instance, if the leader talks about inclusiveness while addressing a diverse audience, do they use imagery that only represents one group? Having a personal advisory board can help leaders continuously monitor their progress.

Another strategy that leaders can use to demonstrate their commitment to being more inclusive is sharing their learning journey about addressing and recognizing biases. They can discuss their 360 assessment results or hold a town hall meeting. During these meetings, they can also create a standing item that they can use to talk about their progress on being more inclusive.

These actions show humility, a vital component of being an inclusive leader. It can help leaders develop their role models and insights in addressing biases.

Another strategy that leaders can use to demonstrate their commitment to being more inclusive is by immersing themselves in new and uncomfortable situations. For instance, they can attend an employee resource group meeting or sit in different parts of the office each week. Exposure and open-ended questions can help leaders develop new ideas and expand their horizons.

Being an inclusive leader is very important to ensure that employees have the opportunity to develop their diverse thinking skills. Unfortunately, several leaders do not have the necessary confidence in their ability to lead and challenge the status quo.

Awareness of one’s blind spots is fundamental to self-development, but it is also not enough to be isolated. Leaders need to develop their perspective and humility on their own biases. This can be done through the development of a circle of learning.

Accepting criticism and criticism about their own biases is very important for leaders to develop their humility and empathy. This can help them build their perspective and make others feel more included. Besides being open to criticism, these behaviors can also help leaders develop their inner peace.

What Does Financial Stability Really Mean?

Financial confidence is a concept that people often define as being able to live in a financial position where they don’t worry about money, whether they have a job or not. Stability is a concept that people often define as being able to control their finances and life choices. Unfortunately, many people are still working their tails off and feeling trapped in their current situation.

Break Out of the Financial Prison
Unfortunately, many people get trapped in financial traps that prevent them from making informed decisions. For some, this means going without the necessary lifestyle and investing in products that will destroy their wealth. Getting out of financial traps is as easy as taking the necessary steps to avoid getting tricked into doing something that will cause economic imprisonment.

The exact steps involved in achieving this goal may seem straightforward. However, getting in shape is not as easy as it sounds. It requires a lot of discipline and conscious effort. The only way to avoid financial imprisonment is to follow the same path the rich have followed for generations. This means that no matter your background, you have the same tools the rich have used to create wealth for their families.

Years of Financial Stability
Everyone can build financial stability that they can live with. However, it will take a bit of time for financial stability to become a reality. The main factors that will determine this are your control and freedom over your finances.

You must first ask yourself what financial stability means to you. Once you have an idea, you can ask yourself what is most important.

Finding What’s Important
For instance, if you have a goal to visit the culture of your ancestors, then start by writing down what it is that you want to experience in life. This will help you determine what it is that financial stability is all about. Continue to do this until you have a deeper understanding of what it is that you want to achieve.

By doing this exercise, you will have already identified the reason behind your desire to pursue financial stability. This will help you make informed decisions and improve the quality of your life. financial stability is about more than just generating wealth. It is also about determining what is most important to you.

The Definition of Financial Stability Will Vary
financial stability can be defined as having the ability to live in a financial position that you don’t need to work in. It can also mean taking a lower-paying job to pursue something you love. Some people define financial stability as having the ability to own their houses and cars outright. Others may need to know they have enough money to fund their travel without relying on others.

Others may want to give money to charitable organizations or do mission work. Regardless of the reason behind your desire to pursue financial stability, it is crucial to determine what it means to you. Once you clearly understand what you want to achieve, it is time to start planning how to achieve it.

This blog/website is only made available for educational purposes. It is designed to give visitors general information and a general understanding of select financial topics. It is not intended to provide specific financial or investment advice. Conduct your own due diligence or consult a licensed financial advisor/broker before making any and all financial/investment decisions.

Retiring in your 30s or 40s: Is It a Good Idea?

You can retire in your 50s if you have the necessary savings and are planning on doing so. However, if you’re still passionate about financial confidence and believe you should retire early, you should start planning on it now and retire at 40 or even 30.

This lifestyle is not for everyone. However, it’s a possibility for specific individuals. Before adopting this lifestyle, you must understand what you’re getting into if you decide to join the “financial confidence, retire early” movement, also known as “FIRE.”

Retiring in Your 30s
Most Americans would have thought that it was impossible to retire at 30. However, various factors have changed the outlook on this matter, such as the rise of zero-commission online investing and the changing workplace dynamics. Even though it’s possible to retire at 30, it’s still not feasible for most people. Here are the steps that you need to take to achieve this goal.

What Your Savings Should Look Like

If you want to retire at 30 years old, you will need to save more than 75% of your income.

For instance, if you’re in good health and have a strong family history of living long., your life expectancy could be 80. If you retire at 30 years old, you’ll have 50 years of retirement. Not only that, but you’ll also have less than ten 10 to earn all that money, as your work career will almost certainly end after that.

If you want to retire at 30 years old, you’ll need to save about $3.9 million to reach your desired annual income of $60,000. However, if you invest your savings with an average yearly return of 5%, you’ll need around $2.15 million. By doing this, you’ll be factoring in the 3% annual increase in withdrawals to keep up with inflation.

The Setbacks

One of the most overlooked factors when it comes to planning your financial stability is that you may not be able to receive Social Security benefits. To qualify for these benefits, you’ll need to earn around 40 “quarters of coverage,” which is 10 years of work.

If you start working at age 20 or younger, then your Social Security benefits will not be enough to cover you. Even if you reach the total benefit amount, your earnings will only be used to calculate your benefit. Since 25 or more of your years will have zero earnings, your benefit will be smaller.

Retiring in Your 40s
Although it’s more realistic to retire at 40 than 30, it’s still not feasible for most people. You’ll still need to save more than 50% of your income and make wise investments.

What Your Savings Should Look Like

Using the same assumptions, you’ll need around $3.3 million in your savings to retire at 40. However, if you invest your money at 5% a year until you reach 95, then you’ll need around $2 million. This is less than you’ll need at 30 as you’ll have more time to compound your returns and fewer years of withdrawals.

The Setbacks

One of the biggest mistakes people make when doing their financial planning is assuming they’ll easily retire at 40. They’ll be stepping away from the workforce right when their earnings are getting higher, and their expenses will rise.

Before you retire, it’s essential to factor in all of these variables into your calculations. Since you’ll be living on a fixed income, it’s critical to factor these into your strategy.

This blog/website is only made available for educational purposes. It is designed to give visitors general information and a general understanding of select financial topics. It is not intended to provide specific financial or investment advice. Conduct your own due diligence or consult a licensed financial advisor/broker before making any and all financial/investment decisions.

Your Checklist Before Starting a Business

Getting started is often challenging, especially when starting a business. There are so many things to do, and it can be hard to track them.

It’s also a good idea to diversify your income sources to avoid experiencing a financial crisis. Having a business can be a great way to start a new venture. Here are five things that you should do first.

Create a Concept

Having an idea is the first step in starting a business. Although you don’t have to reinvent the wheel, it’s essential to consider how you will put your stamp on it. Before you start working on a business, it’s crucial that you first ask yourself the question, “What would people want from me?” This will help you determine what you stand for and how you will make your product or service work.

Develop a Plan and Timeline

Before you start a new venture, you must have a plan and a timeline. A well-written business plan will help you secure the necessary funding and ensure you’re on track to achieve your goals. Having a timeline allows you to set goals and keep track of your plan’s details. Having a plan should not be set in stone, as it can allow you to change the direction of your business.

Business Admin

One of the most critical factors you should consider when starting a new venture is being open to new ideas. A well-written business plan will help you secure the necessary funding and ensure you’re on track to achieve your goals. Having the proper administrative tools can also help you run a successful business. Some tasks that should be completed include: securing financing, registering for a bank account, obtaining a business license, and applying for business insurance.

Find Your Drive

It can be easy to get carried away by the idea of starting a business hoping to make money. However, while there is nothing wrong with wanting to make a small amount of money, most people who start businesses are founded by individuals who have a passion for their business.

Make Sure You Have a Vision

A well-written business plan will help you secure the necessary funding and ensure you’re on track to achieve your goals. A clear understanding of what success looks like can help keep you focused on the task.

Top Women Entrepreneurs of 2022

Women have been making significant contributions to the innovation and growth of the entrepreneurial industry due to their hard work and dedication. Their ideas have been instrumental in developing various business domains and have inspired many aspiring female entrepreneurs. Today here are some of the top female entrepreneurs in the industry:

Jaimee Kort

Jaimee Kort is a force to be reckoned with in the entertainment industry. As the owner of Edge Entertainment, she has caught the attention of some of the most prominent players in the industry, such as Disney’s Fairytale Weddings. Her company was able to provide the DJ and MC for the wedding of the year on the company’s massive cruise fleet.

She has been featured in various publications and conferences, such as the Wedding MBA, where she has been able to speak to wedding industry leaders. She has also been a part of an organization focused on empowering female entrepreneurs.

Cindy Maram

Cindy Maram was an innovative pioneer in 2008 when she launched Dig IN Magazine, a digital publication focusing on celebrity news and entertainment. Due to her passion and determination, she was able to create an environment that was conducive to the growth of her company. She invited some of the most prominent individuals in the industry to her exclusive events. She has also been a producer and insider at the Venice Film Festival and the Hollywood Film Festival.

Crystal Bonnet

Through her online school, Crystal has created various classes focused on using raw food. She wanted to reach out to a broader audience and share her passion for helping others improve their health. Crystal’s goal is to help people incorporate whole, plant food into their lives. Aside from being able to create amazing recipes, she also focuses on the presentation of her classes.

Shreyasee Konar

She is the founder of the global online exhibition platform, which is known as the Creacin. She has been able to be featured in various media outlets and publications. Through her work, she has created an alternative universe for her audience.

Conclusion

These women’s stories have inspired young entrepreneurs and people looking to become successful business owners. They have shown that no magic formula can lead to success in entrepreneurship. While this list is only a tiny sample of the many great female leaders running the world independently, it is still important to note that they have been running their businesses successfully.

Why Millennials Are Being Blamed for Inflation

The rising cost of living puts investors on edge and raises fears of a recession. This week, the government reported that consumer prices in the US increased by 9.1% in June. Janet Yellen, the head of the Federal Reserve, said that inflation is too high.

The rising cost of living is attributed to various factors, such as the conflict in Ukraine and the high prices for energy and commodities. However, experts believe that one of the most significant factors is millennials.

Although millennials are responsible for rising prices, their choices are not causing it. Instead, it’s the size of their generation that’s responsible. There are around 92 million millennials in the US, most of whom are in the 27 to 42 age group.

According to Bill Smead, the chief investment officer of Smead Capital Management, the number of millennials exceeds that of Gen Xers. This means more people are willing to spend money on necessities like cars and houses. Smead was a baby boomer when the population of this age group peaked at 75% higher than the previous generation.

During the 1970s and 1980s, he experienced the Great Inflation. He attributed the price rise to various factors, such as the OPEC oil embargo and, most notably, the federal budget deficits. He also blamed the Great Society, a series of policies introduced by President Lyndon Johnson, for the high inflation.

During the 1970s, the baby boom generation entered the phase of “necessity spending.” This means that they were starting to establish households. Unfortunately, many people were spending the same time during this period, leading to an inflation binge.

Although there are similarities between millennials and baby boomers, the latter had waited five to seven years to get married, have kids, and start a family. More millennials also have college degrees, which gives investors hope for the future.

Economists have claimed that the price hikes would eventually be short-lived and that the supply chain would recover. However, experts disagree. They believe the current inflation rate of around 9% will eventually disappear. Instead, he thinks the country will experience long-term inflation of 5%.

This blog/website is only made available for educational purposes. It is designed to give visitors general information and a general understanding of select financial topics. It is not intended to provide specific financial or investment advice. Conduct your own due diligence or consult a licensed financial advisor/broker before making any and all financial/investment decisions.

What Is a Bear Market?

A 16th-century proverb says it’s not a good idea to sell a bear’s skin before it can be caught. This is one of the reasons why Wall Street types often refer to people who sell a stock as a “bear” when the price of the asset declines.

What is a Bear Market?
The term “bear market” refers to a market where the value of various assets such as stocks and commodities is declining. On the other hand, when assets rise over time, it is called a “bull market.”

The term bear market refers to a period when the broad market index, known as the S&P 500, falls by 20 percent or more. A bear market is a market in which the index falls by 20 percent or more. On the other hand, a bull market is a market in which the index rises by 20 percent or more over time.

Indices are unmanaged, and investors cannot invest directly in an index. Unless otherwise noted, the performance of indices does not account for any fees, commissions, or other expenses that would be incurred. Returns do not include reinvested dividends.

The Standard & Poor’s 500 (S&P 500) is an unmanaged group of securities considered representative of the stock market in general. It is a market value-weighted index with each stock’s weight in the index proportionate to its market value.

Since the S&P 500’s peak on January 3, it has lost about 24 percent. This means that the index, composed of companies commonly known in the US, has entered a bear market. Despite the broad market’s decline, many analysts still refer to it as a bear market. For instance, in March 2020, when the S&P 500 fell 34 percent weeks after the coronavirus pandemic, many analysts still referred to it as a bear market.

A correction is a type of bear market that occurs when asset prices decline by around 10 percent to 20 percent from their previous peak. According to some analysts, there have been 26 bear markets within the S&P 500 over the past 90 years.

The average duration of these bear markets was 289 days, with a drop of around 36 percent. The longest was in 1973-74 and lasted over 600 days. There have only been 24 distinct bull markets in the S&P 500. Despite their shorter duration, these markets usually last for several years.

Why Do They Matter?
Although a bear market doesn’t necessarily signal a recession, it can be a sign that the economy is about to enter a recession. Since the Second World War, there have only been three bear markets that didn’t trigger a recession. The impact of a bear market on an individual’s retirement account is typically severe, especially for recent retirees.

This blog/website is only made available for educational purposes. It is designed to give visitors general information and a general understanding of select financial topics. It is not intended to provide specific financial or investment advice. Conduct your own due diligence or consult a licensed financial advisor/broker before making any and all financial/investment decisions.

Should Students Prioritize Retirement?

Although it is generally recommended to start saving for retirement as soon as possible, it is not always a good idea to put aside money for it when you are still working on finishing your degree. You will end up paying more interest than you earn, and it is not ideal to start contributing to your retirement while you are still in school.

Assess Priorities
One of the most essential factors you should consider when investing in your future is your education. A good education will allow you to earn more and retire with more money.

When investing in your future, one of the first factors you should consider is your studies. Doing so will allow you to prepare for the job market and improve your chances of succeeding. Another critical factor that you should consider is your grades. Good grades will allow you to earn more and retire with more money.

Stay Out of Debt
Your job is one of the most critical factors you should consider when investing in your future. A good job will give you the extra monthly money you need to put aside. You should also make sure that you don’t have any debt. Once you graduate, the sooner you can start paying off your debts, the better chance that you will have of having a successful retirement.

Learn About Finances
If you are still in college, you might want to take a course on money management or investing. This will allow you to get an up-close look at the market and learn how it works. It will also allow you to make informed decisions about investing. Having a good understanding of the market will allow you to feel more comfortable when it comes to making decisions.

Conclusion
As a student, you must make sure you are getting good grades and building connections so you can eventually land a good job after graduating. Then, start planning for the future by planning for retirement and homeownership. While you are in school, try to be frugal, but it is also okay to put off saving for retirement until you graduate.

This blog/website is only made available for educational purposes. It is designed to give visitors general information and a general understanding of select financial topics. It is not intended to provide specific financial or investment advice. Conduct your own due diligence or consult a licensed financial advisor/broker before making any and all financial/investment decisions.

Is It Financially Better to Retire at Home or In a Retirement Community?

Deciding whether or not to move into a retirement community or leave your home is a big decision worth taking a look at. There are many factors to consider, such as the cost of living and the likelihood that you’ll be unable to return to your old home. Besides the financial aspect, there are also other emotional factors that you should take into account.

Staying Home
If you’re still living at home, you have a good idea of what you’ll be paying for in the future. However, if you’re planning on staying at home, you might also need to consider other costs such as in-home health care and renovations. To find out more about these costs, contact a contractor or look into the cost of health care in your area.

Before you start a home renovation project, you must talk to a contractor about the cost of adding various features to your home. These include the possibility of having walk-in bathtubs, more expansive halls, and exterior ramps.

Retirement Community
Before you move into a retirement community, it’s vital that you thoroughly research the various options that are available to you. There are different retirement communities, such as assisted living, nursing homes, and active adult communities. Continuing-care communities, which are also known as life-plan communities, provide a variety of environments that are designed to meet your needs.

The cost of living in a retirement community varies depending on various factors, such as the type of community, the care level, and the location. It can also determine whether you plan on renting or buying a home.

You Can Always Change Your Mind
Although it’s possible to move into a retirement community without breaking the bank, it’s essential to build an escape hatch strategically. One way to do this is to keep your current home. Although it’s not feasible for everyone, this option can give you a taste of the community.

Some communities allow you to stay in their homes for a couple of visits before signing up. This allows you to get a taste of the community and its environment. You can also choose a community where you have friends and talk to the residents about their potential new home. Another option is to avoid communities that have a buy-in fee.

Conclusion
Regardless of where you are in life, moving can be a risky decision. If you’re undecided about where to live, you must consult an unbiased financial adviser, therapist, or counselor. These individuals can help you make an informed decision regarding your retirement community.

This blog/website is only made available for educational purposes. It is designed to give visitors general information and a general understanding of select financial topics. It is not intended to provide specific financial or investment advice. Conduct your own due diligence or consult a licensed financial advisor/broker before making any and all financial/investment decisions.

Finding a Good Mentor as an Entrepreneur

Finding the right mentor can help you achieve success in your business. A good mentor can help you develop a plan and manage your expectations. They can also provide you with valuable advice and encouragement.

How to Start Looking
Before you start looking for a mentor, list your needs and ask yourself if you need someone who can help you with financial or IT expertise. A good mentor should be able to provide you with the necessary experience and knowledge to help you reach your goals. They should also be honest and take into account your plans and aspirations.

Make sure that you know what you want from the relationship before committing to a mentor. A clear understanding of what you want from the relationship will allow you to make an informed decision.

What a Good Mentor Looks Like
A good mentor should also be able to provide you with a supportive sounding board. Even if the person you are meeting with is a relative, friend, or peer, make sure that you are prepared to talk about your goals and business plan. A clear understanding of what you want from the relationship will allow you to make an informed decision.

You should also be able to keep your confidence high by agreeing to this requirement before you start interacting with a mentor. This is a requirement that should be discussed up front, and it should be done in a way that doesn’t involve leaking any of your mentor’s confidential information.

A good mentor should also be able to play the devil’s advocate, as some of the advice you receive will not be ready to use immediately. Sometimes, it will be hard to swallow, and the discussion will likely involve personal development advice. However, the most crucial role of a mentor is to help you see the things you could be doing differently.

Although a mentor may not be your cheerleader, they should still be able to provide inspirational advice, especially if you are struggling with motivation. A healthy detachment from yourself can help you get the insight you need.

What the Relationship Should and Shouldn’t Look Like
If you are genuinely interested in receiving advice and assistance, be honest with yourself and your mentor. If you cannot provide the necessary information to help your mentor, then be honest with yourself. Doing so will allow you both to make an informed decision and improve the quality of the relationship. Half-truths are also no use as they prevent an adviser from being able to evaluate and assess the situation properly.

Before you start interacting with a mentor, make sure that you thoroughly evaluate the advice that you are receiving. If you still feel that the guidance is not in line with your values and vision, then ask your gut to help you make an informed decision. This is the time to evaluate if the mentor is still right for you.

If you are still rejecting the advice that you are receiving, then take a step back and reflect on the situation. This will allow you to make an informed decision and improve the quality of the relationship.

Before you start interacting with a mentor, make sure that you thoroughly evaluate the advice that you are receiving. If you are considering investing in the services of a coach or mentor, make sure that the latter knows what the purpose of the interactions is. Also, if you are given tasks or resources that are related to the project, do your part. Having the necessary information will allow you to make an informed decision and improve the quality of the relationship.

One of the most important factors that you should consider when it comes to choosing a mentor is the power that they can give you. They can help you reach your goals and overcome obstacles that have been hindering you. Having a mentor can also help you feel like you have a powerful resource that can help motivate and change your life.

How to Improve Your Business’s Website Traffic

Are you a small business that needs more online traffic? We have all the necessary information that will help you get more customers to your website, and ultimately convert them into sales. Unfortunately, it can be very easy for small businesses to get lost in the mix of websites that large corporations currently use.

As of now, you probably have many questions about getting people to notice your website. Although it is relatively easy to start, it takes a lot of planning and strategy to get people to notice your site.

Utilize Social Media and Promotion
Social media is a great way for small businesses to reach out to their potential customers. However, it is still very important that they take advantage of this free opportunity. One of the most important factors that you should consider is how you can make your page more effective. In addition to providing a variety of promotional posts, you also need to ensure that your page is well-designed.

One of the most effective ways to promote a sale is by posting a link to your website on social media. This can be used to promote a purchase or a blog post. Besides this, you can also use this strategy to drive traffic to your website.

It’s imperative to consider how you can make your social media posts more effective. Constant updates and consistent content will allow you to remain relevant to your potential customers. Having links to your website will also help boost traffic to your site.

Don’t forget to include links to your website in your social media profiles. Not only will these allow you to show your customers what they need, but they will also help drive traffic to your site.

Create an SEO Strategy
If you are still not sure what SEO is, then it’s essential to do some research before creating an SEO strategy. Search engine optimization (SEO) is a process that involves improving the efficiency of your website by getting it featured in search results.

Although search engine results can be very beneficial for small businesses, they are only as good as their strategies. The proper tools and techniques will allow them to get their website featured in search results.

In addition to creating high-quality content, you also need to ensure that your website is well-designed and optimized. The proper tools and techniques can help you get your website featured in search results. It will also allow you to get your website featured in search results.

Have a Mobile-Friendly Site
Mobile-friendly websites are not only more likely to have a positive impact on your website’s performance, but they are also more likely to contribute to it. One of the most important factors that search engines consider when ranking websites is having it be a mobile-friendly site. Having a site that is easy to navigate on mobile is very beneficial, but so are other search engines.

A mobile-friendly website is also essential to search engines as it will help them position your website higher in their results. A well-designed and optimized website is also vital to ensure that your customers are satisfied with their results. Creating a mobile-friendly website is also very important to search engines as it will help them position your website higher in their results.

What If Partner Spends Beyond Your Joint Budget?

The first rule step to getting your funds in order is to develop a household budget and spending strategy based on a practical examination of your income, expenses, wants, and needs.

It can be frustrating when you take all the necessary frugal steps only to find that your partner or household member exceeded the agreed-upon budget with a spontaneous purchase. Finances are known for ruining relationships. So if your partner or household member exceeds the agreed-upon spending budget, here are the steps to restore financial order to your household.

Mindfully Identify the Source of the Slip
When one partner falls short, it’s natural for the other partner to react angrily, but that is not enough to prevent a repeat occurrence. So instead, take a breath and try to use the failure to figure out the problem. Ask questions such as what triggered the drastic expense. This is essential because when you better comprehend the disconnect, it facilitates a solution and plans for spending money that meets everyone’s standards and expectations.

Discuss the Impact, Not the Money
When a partner does slip, try to emphasize the financial aspect but what that money represents. When a partner isn’t sticking to the budget, be open with them about its influence on you, your goals, and your aspirations. Tell them that it’s causing you stress, and they’ll be more likely to stick to a budget if they understand its impact on you. But first and foremost, you must be open with them and tell them how you feel.

Review Your Plan Consistently
Spending plans require checkups, check-ins, and maintenance. Once your partner agrees on a budget, the stakeholders must revisit their progress regularly, but it will only be effective if you do it on a consistent schedule.

Get Everyone on Board
If the household has children, they should also be involved in the household’s spending plan. When it comes to children, make sure it is fun. Create a mission where you compete to see who can spend the least or set goals, which, once achieved, end with some sort of prize. Adding some fun to it might make it more doable.

This blog/website is only made available for educational purposes. It is designed to give visitors general information and a general understanding of select financial topics. It is not intended to provide specific financial or investment advice. Conduct your own due diligence or consult a licensed financial advisor/broker before making any and all financial/investment decisions.

Small Ways to Improve Your Credit Score

There’s no timeline for rebuilding your credit. How long it takes to boost your credit scores relies on what’s hurting your credit and taking steps to rebuild it. The specific actions that can help you improve your credit score depending on your unique credit situation. But nevertheless, there are small general steps that can help almost anyone’s credit.

Pay credit card balances strategically.

Credit utilization is one of the most significant factors in improving your credit score. You want a low balance when the card issuer reports it to the credit bureaus because that factor is used when assessing your credit score. An easy way to do that is to lower the balance before the end of a billing cycle or pay several times throughout the month.

Ask for higher credit limits.

When your credit limit increases and your balance stays neutral, it quickly lowers your credit utilization, which then improves your credit score. If your income has gone up or you’ve had consistent years of positive credit, it raises your chance of getting a higher limit.

Become an Authorized User

If a family member has a credit card account with a high credit limit and a good history, ask to be an authorized user. That adds the existing account to your credit reports every billing cycle, so its credit limit can help your utilization. A trusted user status allows you to benefit from the primary user’s positive payment history.

Pay Bills on Time

You cannot improve your credit score if you continually pay late. Your payment history is one of the most critical factors in assessing your credit scores, and a consistent history of on-time payments can help you achieve healthy scores. Make sure you don’t miss any loans or credit card payments by more than 29 days.

Expand Your Credit Portfolio

An additional credit account can help your credit, especially if it is a type of credit you don’t already own. For example, try getting a loan if you only own credit cards. You can also do the opposite. If you have loans or a few credit cards, a new credit card can help.

Should You Buy Bitcoin For Your Retirement Plan?

Bitcoin is one of the latest investing trends, and some people may wonder if it’s an excellent strategy to incorporate some digital assets into their retirement plans. The choice to invest in Bitcoin and other cryptocurrencies have been non-existent in 401(k) plans. Bitcoin was not designed nor intended to become an investment asset, but it has transformed into one due to influences outside the control of the community of developers.

If you’re considering investing in crypto for your retirement, it’s essential to understand the gamble associated with this option and how its volatile nature can impact your portfolio. Here are a few things you should know about investing in crypto and why many experts say to stay away from it.

Bitcoin Isn’t Backed
The price of Bitcoin has skyrocketed in recent years after starting from nothing, which gave the impression that it may have an underlying value to the cryptocurrency. But it’s vital to understand that Bitcoin is not backed by anything, unlike stocks or bonds. Stock investments are much safer because of the assets and cash flow of that underlying business.

But that does not apply to Bitcoin because there’s nothing behind it, no assets or cash flow that protect its value.

Bitcoin is Unpredictable and Risky
The lack of fundamental value makes Bitcoin highly unpredictable and risky. Moreover, the price is driven by sentiment alone because it has no inherent value to the cryptocurrency. Investors have no rational or fundamental way to determine the value of Bitcoin.

Successful Investors Are Skeptical
On top of these fundamental issues, Bitcoin and other cryptocurrencies are not even drawing attention from notable investors, including many of the most widely respected.

Conclusion
Although many businesses are implementing Bitcoin into their 401(k) accounts, that doesn’t mean it is the right choice for you. It is wise to talk to a financial advisor familiar with cryptocurrency before deciding.

An expert can help you place your Bitcoin into your portfolio as a strategic investment plan. Or instead, recommend sticking with a time-tested means of generating wealth – buying and holding a well-diversified portfolio of high-quality investments and then adding to your portfolio over time.

Crypto Disclosure:

Cryptocurrency is a digital representation of value that functions as a medium of exchange, a unit of account, or a store of value, but it does not have legal tender status. Cryptocurrencies are sometimes exchanged for U.S. dollars or other currencies around the world, but they are not generally backed or supported by any government or central bank. Their value is completely derived by market forces of supply and demand, and they are more volatile than traditional currencies. Cryptocurrencies are not covered by either FDIC or SIPC insurance. Legislative and regulatory changes or actions at the state, federal, or international level may adversely affect the use, transfer, exchange, and value of cryptocurrency.

Purchasing cryptocurrencies comes with a number of risks, including volatile market price swings or flash crashes, market manipulation, and cybersecurity risks. In addition, cryptocurrency markets and exchanges are not regulated with the same controls or customer protections available in equity, option, futures, or foreign exchange investing.

Diversification Disclosure:

Diversification does not guarantee a profit or protect against a loss in a declining market. It is a method used to help manage investment risk.

What Is the Retirement Bucket Strategy?

A retirement bucket strategy is an investment approach that segregates sources of income into three buckets. Each bucket has a defined purpose based on when the money is for immediate, intermediate, and long-term. The idea behind this strategy is to have access to cash in the short term, so the person will not have to worry about the fluctuations in the stock market.

How to Use the Retirement Bucket Strategy
To benefit from the retirement bucket strategy, it is essential to follow specific plans for each bucket. Here is how to manage each bucket and how much money to add to each bucket.

The Immediate Bucket
Cash and other liquid investments belong in the immediate bucket. These investments include short-term CDs, U.S. T-bills, and high-yield savings accounts. Fill this bucket with liquid investments, which are converted into cash. While earning interest on these funds is appealing, the main focus is managing risk and ensuring that the money is there whenever needed.

The Intermediate Bucket
This intermediate bucket covers expenses from Year 3 to Year 10 of retirement. Money in the intermediate bucket should continue growing to keep pace with inflation—however, it is essential to avoid investing in high-risk assets.

The Long-Term Bucket
Long-term investments mimic historical stock market returns. These assets grow a nest egg more than inflation while refilling the last buckets. Long-term buckets are invested in riskier assets that may be volatile but have growth potential over ten years or more.

How to Maintain the Retirement Bucket Strategy
While the retirement bucket strategy informs where one should hold money, it is not a complete strategy. It does not mention what types of investments to hold, the rate to withdraw, or how to rebalance them. This retirement bucket strategy does not advise selling some of the long-term to manage risk and capture some of those gains. For this reason, experts recommend a rebalancing strategy on top of the bucket strategy.

Conclusion
The retirement bucket strategy withstands short-term dips in the market to prevent investors from selling low to cover monthly expenses. The strategy has shortcomings that require the layering of additional strategies to manage risk.

This blog/website is only made available for educational purposes. It is designed to give visitors general information and a general understanding of select financial topics. It is not intended to provide specific financial or investment advice. Conduct your own due diligence or consult a licensed financial advisor/broker before making any and all financial/investment decisions.

How to Share the Spotlight as an Entrepreneur

As an entrepreneur, there will be times when achievements are made, goals are reached, and the spotlight will shine on you. While the role of the business leader is essential, too many entrepreneurs want to bask in that spotlight alone. The best entrepreneurs know that the recognition for both effort and results doesn’t belong solely to them. Everyone hopes to get that spotlight, but how can entrepreneurs share that recognition most effectively?

Understand Why You Should Share
There are both ethical and practical reasons for sharing the spotlight for goals met by the team in business. The ethical reason is that you did not do the work. You could have led the project, but you did not participate with the team. Therefore, taking the spotlight for great results is genuinely irresponsible for an entrepreneur.

From a practical view, when you share the spotlight, or even better if you shift the recognition from yourself to other members, you will show the team you are trustworthy and that you value them. When your peers feel that way about you, the motivation to achieve again will skyrocket.

Convince Yourself
As an entrepreneur, you must want to do it before you can share or shift the spotlight or recognition. It would be best to decide what you will do long before the spotlight moment. As the leader, your role in the team’s ultimate success starts early. Help the team see the end goal and help them get excited about the prospects afforded by the accomplishments of the work. It will be easy to know that you can’t do it alone when you set that vision. When you shift your perspective about your role and the role of the team, you will create an even better team and be the person people want to work with. And the chances are that it will become a more satisfying spotlight for you to experience because it is much more meaningful.

Conclusion
If you ask for advice from any prominent entrepreneur, one of the first things they’ll tell you is to build a team. Creating a group of leaders around you will ensure you’re surrounded by those aligned with your vision while adding value to it simultaneously. Allowing individuals you’ve personally trained and developed to hold the spotlight will humble you and help you keep your ego in check.

The Importance of a Backup Budget

With inflation rising and COVID-19 still prevalent worldwide, funding and risk capacity have become unpredictable. This article will introduce how a backup budget can be a helpful resource for accurately measuring risk capacity.

What is a Backup Budget?
A Backup Budget is a minimum amount you would be willing to spend on your living standard. There are a few ways someone can calculate their backup budget. The first and traditional method is to go through your regular budget and remove any nonessential spending by category. Perhaps that country club membership is something you could sacrifice for the ability to take more stock risk. Or maybe you could stop dining out frequently and start cooking at home. Second, your spending during the pandemic might be a good proxy for a Backup Budget. Whether this method to risk capacity makes sense to you may come down to how flexible you are willing to be about your living standard. A Backup Budget may be an excellent option depending on how you answer the following prompts. First, are you flexible in terms of your living standard? And secondly, are you currently living within your means?

Spending Variations
There are three types of households when it comes to spending and finances. First are people who are spending more than what they can afford. In other words, these households’ spending habits exceed their sustainable living standard. Second, are households whose spending is pretty much equal to what they can afford. And lastly are households who spend less than what they could afford. This type of spending leads to a surplus. What they do not spend on everyday necessities, they save.

When a household spends less than their living standard, they create an opportunity for financial flexibility. A backup budget is a good choice for people who reach a flexible living standard. A backup budget would allow you to take even more risk — more than just the surplus, but you may have to decrease your typical spending habits if market returns are poor. Nevertheless, if you live within your means and your living standard is not flexible, there is no reason for a backup budget. Overall, your current living situation dictates risk capacity.

Conclusion
Ultimately, lots of variables can influence a household’s risk capacity. Working for a more extended period, downsizing your living situation later in life, or accessing home equity with a reverse mortgage can increase financial flexibility.

A backup budget under specific circumstances is another factor that can inform risk capacity. If your spending is flexible and you like the idea of a backup budget, you should contact your financial advisor about incorporating this approach into your financial plan.

This blog/website is only made available for educational purposes. It is designed to give visitors general information and a general understanding of select financial topics. It is not intended to provide specific financial or investment advice. Conduct your own due diligence or consult a licensed financial advisor/broker before making any and all financial/investment decisions.

Will Inflation Postpone Your Retirement Plan

Currently, Americans’ finances are going through a rough time as inflation raises prices on everything from rent to groceries to gasoline. As a result, 25 percent of Americans will have to delay their retirement, according to the BMO Real Financial Progress Index. The survey found that putting off retirement plans is primarily due to disrupted savings from increased prices.

In addition, thirty-six percent of survey respondents have reduced their savings, and 21% are putting away less for retirement to keep up with growing costs. With a current inflation rate of over 8 percent and hitting a 40-year high, on top of a stock market facing a double-digit percentage, people’s concerns aren’t misplaced. Younger Americans feel the most impact – over 60% of those aged 18-34 said they had to reduce contributions to their savings.

Why Inflation Matters
Inflation is how prices for goods and services increase across an economy. While a bit of inflation is healthy and acceptable, rapid growth or decline in prices can adversely affect the economy.

The rate at which prices change can impact many areas of the economy — influencing people’s purchasing power, economic growth, and raising or lowering interest costs on the national debt. Understanding and adequately monitoring inflation is just one key element to promoting a healthy, sustainable economy.

How to Combat Inflation’s Effect on Retirement
If your retirement plan and your budget after inflation are experiencing a decline, you may need to reconsider the timing of your workforce exit or the way you spend your money. The good news is that people are actively changing their budgets to combat rising prices. This quarter, more Americans are setting yearly budgets, writing down a financial plan to follow, and meeting with their financial advisors monthly. A few steps you can take are:

Reconsider spending habits

Rethinking significant purchases can be beneficial if higher prices make your retirement budget feel claustrophobic.

Work longer

Staying in the workforce has a massive effect of allowing you to save more for retirement, allowing your funds to continue to grow, and postponing withdrawals during what might be a down market.

Wait to collect Social Security.

The longer you wait to collect your Social Security benefits, the higher your benefits.

Conclusion
No matter which direction inflation eventually goes, the key is having a plan that can help you to live the life you want. Collaborating with a financial professional can help create a personalized strategy to combat inflation.

This blog/website is only made available for educational purposes. It is designed to give visitors general information and a general understanding of select financial topics. It is not intended to provide specific financial or investment advice. Conduct your own due diligence or consult a licensed financial advisor/broker before making any and all financial/investment decisions.

Real Estate and Retirement

Whether you invest in a physical property, such as an apartment building, or an investment in a real estate investment trust or mutual fund, many financial-planning professionals say that income-producing real estate is essential for a well-performing retirement portfolio. A study of asset returns in developed countries over the last 150 years found that real estate investing for retirement offers the best of both worlds.

Real estate investing for retirement can provide a ton of benefits. You can capitalize on your property to raise retirement income fast and safely, and it may allow you to retire young or catch up on your retirement savings later in adulthood. Here are a few ways real estate can improve your retirement plan:

Ongoing income
Purchasing a property in the city where you live or owning a house in a popular vacation spot can help generate income that can later be used in retirement. For example, you could buy an apartment, lease it to tenants and collect monthly rent. Moreover, if you buy a cabin in the mountains, you could use it as a home away from home and rent it to others when you are not using it. It is crucial to carefully consider whether the property’s rental income will be enough to cover the related expenses. This can be achieved by calculating the expected revenue and then subtracting the costs.

Returns can Adjust for Inflation.
Realistically, ongoing income doesn’t stay static. Property owners can increase the rent each year to match or even surpass the current inflation rate. Your monthly mortgage payment will remain the same, even as your rent grows. Additionally, that leaves a gap between your rent and your mortgage payment, a margin that disproportionately grows each year.

Rising Equity and Net Worth
Your net worth will rise over time instead of decreasing because you don’t have to sell off any assets to generate income.

Property owners will see their equity grow from both directions because their rental properties usually appreciate, over time, growing in value. Moreover, their residents pay down their mortgage, so their debt shrinks as the property value rises. The goal is that their tenants pay off the mortgage entirely, leaving them with a free and clear rental property and even greater cash flow for retirement income.

This blog/website is only made available for educational purposes. It is designed to give visitors general information and a general understanding of select financial topics. It is not intended to provide specific financial or investment advice. Conduct your own due diligence or consult a licensed financial advisor/broker before making any and all financial/investment decisions.

How Covid Could Affect Retirement Planning

In 2020, COVID-19 changed the way humans interacted with the world. It has brought with it countless changes, health risks, and financial burdens. While many Americans were able to get short-term help in stimulus checks, there are still many financial concerns to contend with.

Until we can fully understand the long-term effects of COVID-19, it may not be possible to fully understand the financial impacts that it will bring with it. This raises concerns about retirement plans already in play and any retirement plans that will be created shortly.

Statistics

According to SHRM, 37.4% of workers between the ages of 45 and 63 lost their jobs during the pandemic. This will have a direct impact on their savings, as they are that much closer to retirement.

Furthermore, another 36.4% of Americans close to retirement (within the next 20 years) believe that they will have to delay their retirement directly due to COVID-19. Almost half of Americans believe that it will take more than six months to recover from the pandemic, with slightly more than that number dipping into their savings already.

Dipping Into Savings Early

Many Americans have already been forced to dip into their savings to make it through the pandemic. Unfortunately for many, that does include retirement savings. There is some good news for those dipping into retirement funds – they are currently not facing any penalties for doing so.

Part of the CARES Act negated all of the fees involved with pulling money out of savings funds. While this may not sound like much, a little does go a long way. It is worth mentioning that there is a cap, as $100,000 can be pulled before those fees will come back into play.

Deferring Savings

As mentioned above, many Americans are now facing the fact that they will have to push off their retirement. With the instability that the pandemic brought, this was the only option. Layoffs, furloughs, and other financial changes are already showing an impact on many private bank accounts.

While many are pushing back retirement, others are pushing back their savings. Meaning that many Americans simply cannot afford to be putting money into their retirement savings – no matter how badly they need it later. This will have a long-term and negative impact on their savings.

Economic Downturn

Compounding all of the problems already listed are the concerns surrounding the stock market. Many retirement plans depend on healthy stock markets as part of the investment process.

The stock market crashed in 2020, causing untold damage to the accounts already working hard to accrue money for retirement. The market is starting to turn around now, but it will take some time to balance out from the market’s loss.

Mitigating the Negatives

There are certain things that people can do to help mitigate these negative financial effects. For starters, don’t withdraw from an account unless it is necessary. Look for new investments that may help to even out portfolios, and while you’re at it – diversity (*reference footnote) the portfolio you have. The more diverse it is, the less likely a future crash will hit it as hard.

*Diversification does not guarantee a profit or protect against a loss in a declining market. It is a method used to manage investment risk.

This blog/website is only made available for educational purposes. It is designed to give visitors general information and a general understanding of select financial topics. It is not intended to provide specific financial or investment advice. Conduct your own due diligence or consult a licensed financial advisor/broker before making any and all financial/investment decisions.

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Preparing for Life’s Most Essential Financial Moments

The most significant moments in our lives also tend to have a direct impact on our finances. That doesn’t mean people should avoid these moments – the opposite, but it does mean that some planning should come into play.

Creating a financial plan for these moments and all of the changes they bring can help to guarantee stability. It’ll help alleviate the burden of financial stress that may otherwise be lingering in the air.

Going to College

More significant than getting your first car or signing up for your first credit card is the thought of heading to college. Not only will it have a significant impact on your future career – but it brings with it a certain level of financial burden.

There are countless guides out there to help students and parents alike prepare for this moment. Some of the primary options include a 549 Plan (*reference footnote), Coverdell Education Savings Account, UGMA/UTMA Custodial Account, and General Investment. Plus, the traditional route of taking on loans should be thoroughly researched when the time comes.

Getting Married

Getting married brings with it two significant financial changes. The first is the wedding itself. Weddings are typically more expensive affairs, though it is up to the couple to decide how much they want to spend on the celebration. It is important to budget to avoid starting the marriage with debt.

Then there’s the fact that marriage combines two finances into one. This requires a lot of adjustment, naturally. Couples preparing for a wedding should start the conversation early – learn to be honest about finances. If there is any debt in the air, discuss it and come up with a plan together. Now is also the time to start working on credit as a team. It’s also wise to create a savings account for the future.

Buying a Home

The process of buying a home can be intimidating and complex. Much research goes into the process, not to mention the financial side of things. Searching homeowners must take the time to understand their budget – that is to say, what sort of house they can afford.

Likewise, several different types of mortgages (fixed-rate, adjustable-rate, interest-only, jumbo, construction, and affordable housing) must be considered. Picking the right one from the start will help to smooth out the process.

Starting a Family

Starting a family can be a joyous occasion – but it’s also a moment that should be planned for—the average cost of having a child in the U.S.is $10,000. The price can quickly go up if there are any complications.

New parents should expect and plan for these fees, as well as other out-of-pocket healthcare expenses. Then there’s also the concern of starting an emergency fund, savings account, and preparing for any family leave that may occur.

Planning for Retirement

Planning for retirement is a moment that many people tend to put off, but the sooner one starts it, the better off they will be. Many employers offer retirement plans these days – so be sure to take advantage of them as early as possible. There are other alternatives worth researching and investing in, from stock investments to Individual Retirement Accounts.

*A 529 plan is a college savings plan that allows individuals to save for college on a tax-advantaged basis. Every state offers at least one 529 plan. Before buying a 529 plan, you should inquire about the particular plan and its fees and expenses. You should also consider that certain states offer tax benefits and fee savings to in-state residents. Whether a state tax deduction and/or application fee savings are available depends on your state of residence. For tax advice, consult your tax professional. Non-qualifying distribution earnings are taxable and subject to a 10% tax penalty.

This blog/website is only made available for educational purposes. It is designed to give visitors general information and a general understanding of select financial topics. It is not intended to provide specific financial or investment advice. Conduct your own due diligence or consult a licensed financial advisor/broker before making any and all financial/investment decisions.

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Adjusting to Customers’ Behavior Change as an Entrepreneur

Any entrepreneur that has been in the business world for a decent amount of time will understand that change is a part of life. That is especially true in business, where the industry and customer demands can change without notice.

Entrepreneurs and their businesses must prepare for these potential changes. More importantly, an entrepreneur should know how to adjust as customers’ behavior changes.

Gather Information

The first step in predicting and preparing for change comes with research. Always stay up to date with industry news, either by reading articles, following podcasts, and other readily available options.

It is vital to take advantage of available marketing research to understand the current climate. This will help an entrepreneur spot and potential change on the horizon and ensure that their business is fitting current needs.

Thinking Ahead

Entrepreneurs are comfortable in their role as business leaders. However, it’s essential to consider their position from the other side. Look at the business like a potential customer or client would.

Are the services or products meeting current demands? How can you see that demand changing over the next few years? Have there been any significant events (such as a global pandemic) that may influence these demands?

As a business owner, it’s easy for you to see what makes your business unique or different. Now ask yourself how the customers will know the company. What will make them want to keep coming back?

Interaction

The next step is perhaps the most visible yet essential step in interacting with the customers. It’s time to talk directly with the people who support your business, figure out how they feel about the company.

An easy way to gauge customer feelings is by asking open-ended questions. This will have the added benefit of giving the customer the impression that their opinion really does matter.

Businesses can take this a step further by asking customers these questions through social media and other outreach methods. Remember that each generation has its preferred platform, which will, in turn, affect the answers given.

Analyze

Now, it is time to go over all of the information gathered during the first steps in this process. That means now is the time to ask yourself the hard questions. Are customer behaviors shifting? If so, how quickly? Have you identified potential customer reactions to your business? Are these changes being influenced by an external factor? How long will the behaviors (or elements) last?

Adaptation

When a customer’s behavior changes, it is vital to keep up. Failure to do so can have a negative impact on the business – especially if these changes tend to be on the more permanent side.

Take the lessons learned from all of the earlier steps and implement them. Create new business strategies that incorporate the changes and ideas on how to cooperate with them.

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