*Originally posted on andefrazier.com* The first step to finding a great money team is to recognize that ultimately you are 100% responsible for your financial decisions. This includes making sure you are educated and knowledgeable about not only “the what” of your plan, but “the why” as well. When finding great people to give you advice, they should have not only technical expertise but also behavioral competencies. Here are some great tips to help guide you as you build
Major life events can be happy, joyful, stressful, sad and many things in between. The one thing they have in common is that as each new event happens, it marks a new chapter in your life. Whether it’s a marriage, a birth, a death, a retirement, or a graduation - all of these events provide an opportunity to re-evaluate your current financial situation. The more you’re proactive in your addressing these important events, the better off your bank account and your peace of min
Have you ever felt like no matter how hard you try, you just can’t get ahead? “Financial rules” can seem to be set up so that they only benefit those who have made them. When planning for your financial future, it’s important that we understand these rules and how they can affect our success. Just like any game, you need to really understand the rules in order to win.
So, how can we become better equipped to play the game? If we are not careful when planning for our financ
Let’s talk about Millennials. Everyone tries to tell Millennials what they should be doing with their money. Save! Save! Save! - that’s pretty much the bottom line of all the articles out there about how you should become financially successful. Budget, save for retirement, know what you’re spending your money on, think about investing, be sure to start paying those student loans and oh, did I mention budget? This so called “ beginner's guide to money” can quickly start to se
Getting your financial life in order can seem overwhelming. And when we do think we have it together, it’s because we’ve set up a lot of “automatic” things that we think are keeping our financial future intact. Just because you are opting into things like a 401k, life insurance through work, or even if you have a financial professional, it doesn’t mean it’s handled. It’s not just set it and forget it. One of the biggest problems you could face when heading towards retirement
Women are basically ruling the American economy right now, holding more than 52% of management and professional related jobs in the US. And now 40% of women are the household breadwinners. The biggest kicker is that women are controlling 51% of personal wealth in the US and are expected to control $22 trillion by 2020! These are not numbers to be ignored. So with women killing it at pretty much everything we do, why are we still afraid of planning for our financial futures?
As financial professionals, we deal with many types of clients and each one usually has some preconceived notions about financial planning and what it should entail. Recently, I was having a conversation with Norman Barden, Financial Representative and Director of Operations for the Rome, Georgia Office of 21st Century Financial. I asked him to tell me about the types of people he interacts with and their perceptions about working with a financial professional.
In the world of personal finance, there is no shortage of information available, so how do you know what is right for you? If the advice you are getting doesn’t consider both facts and all the “what if’s”, you could potentially be putting yourself at risk for financial failure. So how can you spot the difference between bad advice and sound advice?
There are 2 ways people make decisions: deductive reasoning and inductive reasoning. Deductive reasoning, which is common in
People make dumb mistakes all the time, like taking bad advice from a friend or forgetting you had that dentist appointment that you’ve missed for the 4th time. A lot of times a dumb mistake is just that, a dumb mistake. But when it comes to your personal finances, a dumb mistake can really impact your financial future. These 3 money mistakes are ones that you definitely don’t want to make.
Borrowing from 401(k).
If you need money, borrowing from your 401(k) is not the ans
In the last few years, we have seen the world of financial planning evolve and change. With the emergence of technology, robo advisers, and more information available to provide education, the choices people have with which to plan for their financial future is more diverse than ever before. But when it comes to taking action on your financial decisions, are you really getting what you need to make smart and effective choices for you and your family?
The practice of an
Everybody, everywhere sets goals. At work, at home, with money, with weight, with success, with projects - you name it, someone has a goal for it. But, is setting goals doing more harm than good?
Now, no one is going to say that setting goals is a bad idea, but maybe they’re not as motivating as you think they are. Evidence suggests that goal setting can be counterproductive, especially when goals aren’t matched up with specific action plans and behavior modification. Des
For the most part, the retirement conversation is all around save, save, save. This makes sense considering the average 50 year old has only $42,797 saved for retirement, but there are many more decisions that have to be made. There are many different factors that impact your ability to have a successful and happy retirement. So, what is missing? Let’s look at just a few of the important issues to consider: Legal Documents - Get your legal documents in order. This starts
Did you know that women age 50 and older control a net worth of $19 trillion and own more than 3/4 of the nation’s financial wealth? That’s no small number. And it’s growing every day. In today’s world, many women are holding the power positions in their family. More and more women are working full time, and making more money than their male counterparts. These statistics go to show you how powerful women are in the American workforce, homes, and consumerism.
With women c
How can you recognize good advice and sound information? First, understand that every financial product has advantages and disadvantages. No one product can do it all, and no one product has all positive features. When working with a financial professional, make sure they are providing you with the transparency you deserve so you can maximize your wealth potential.
After all, what good is it to have a financial plan that doesn’t compensate for the disadvantages of the f
Understanding the financial traps and pitfalls that are all around you is paramount to building financial wealth. Unfortunately these pitfalls are not always obvious, therefore they can have devastating effects on your wealth building potential. What is even more troubling is that many financial professionals don’t explain these financial traps, which leaves you vulnerable. The good news is that once you have these eroding factors explained to you and understand their destr
When it comes to making decisions around money, a person’s beliefs and emotions play a large role. We often overlook this when evaluating the reasons why people are not successful financially…..it’s the white elephant in the room. Beliefs and emotions may be the reason our ability to make rational, logical decisions is impaired around personal finances.
Think back to some of the phrases that have been passed down through generations. “Money is the root of all evil”, “Mone
As financial professionals, we know that it is extremely important to protect yourself, save money and build for the future. Unfortunately, this is not the reality for many Americans. Here’s some surprising news. According to a survey conducted by the Federal Reserve Board, when Americans were asked how they would pay for $400 in an emergency, 47% of respondents said that they would cover the expense by borrowing or selling something, or they would not be able to come up wit
We all look forward to retirement. However, without forethought our retirement years could fall short of being all that we desire. After all, do you want to have to give up certain things during this valued time in your life because you didn’t plan for it correctly? Here’s something you may not have realized – planning for retirement is much more than just focusing on income. There are many different decisions that have to be considered when thinking about this stage of yo
Millennials now represent 25% of the U.S. populace, making them our nation’s single largest demographic group. This is a statistic that the life insurance industry cannot ignore. With many millennials already fallen behind in financial planning, it’s time to take a look at how we can work together to bring about more awareness around life insurance. Let’s start small:
Education: In a 2015 study from Life Happens and LIMRA found that 60% of millennials prioritize paying for m
Is it possible to be over-insured? The answer - No! Every life insurance company’s underwriting department is designed to make sure the no one is over-insured. One of the ways this is done is by evaluating someone’s Human Life or Economic Life Value. In addition to the insurance industry, other professions use this concept to evaluate the value of someone’s life. Attorneys use it when litigating wrongful death lawsuits and the 911 Commission used this as a basis for distri