Here's What We Think

What is the FIRST and MOST IMPORTANT part of the Financial Life Planning process? When we begin a new client's Financial Life Plan, we seek to answer 3 key questions that revolve around cash flow. We want you to be able to answer these questions definitively at the end of our planning process. This is all before we even touch on investments, tax coordination and insurance coverage...

As a financial planner for mid-career professionals, I get versions of this question all the time, “Should I use my annual bonus to pay down the mortgage balance?” Like any nuanced financial decision, the answer is far from black and white so let’s explore when it does and does not make sense to pay off your mortgage more aggressively.

There's a difference between HOPING that you will become financially independent and doing what it takes to get there. In my experience in working with my personal CPA and estate attorney, I've come to realize that cost is only a factor in the absence of value. In those relationships, where I'm the client, if I feel I'm getting the value that I want, I am HAPPY to pay these professionals their keep. They are doing work I can't do, don't want to do, and are going above and beyond to take care of me? Yup, I'm a happy camper.

If you work in tech as its likely that Restricted Stock Units are a part of your Equity Compensation package. Making decisions around your RSUs can be overwhelming. Read this blog to learn more about how RSUs can can impact your financial plan.

There is one gap in plans I see relentlessly and repeatedly from our planning clients. Even those clients that are doing everything else right and have a 95%+ chance of long term plan success... Here it goes: The one planning deficiency that consistently comes up with our young professional high income earning clients (30-49 years old and making north of $250k as a household) is... They do not have enough term life insurance.

Every so often, I hear prospective clients seeking to attain "passive income" usually by way of rental properties; "How do I earn passive income," "How can I quickly increase my passive income," and the list of questions I hear continues...

Today I am rounding up my 5 key takeaways on the proposed legislation that may affect some of the tax planning strategies we often implement with our HENRY clients, such as the Mega Backdoor Roth IRA.

Wondering what actually occurs in our planning process? In part one I explained why having the answer to 3 specific questions is the very first step. In part two I will cover what happens once we have those answers... Have you answered these 3 questions?

As HENRYS (high earners, not rich yet) continue to contemplate their big city life over fleeing to the suburbs there are several questions that should first be considered. If you are one of these people who have started wondering whether you should continue to rent or take the steps necessary to purchase a home, keep reading.

Understanding the difference between volatility and risk is the single most important idea for us young people to understand as the stock market (and the economy) are going crazy all around us. The market right now is EXTREMELY volatile...I'm speaking with clients all day and believe me, it's scary out there. We all just need to hold onto one truth: market volatility is normal and so are market corrections! Understanding that nothing has changed for you as a long term investor will give you the fortitude and the faith to keep holding on...which is the single best decision you can make for your financial future right now.

I can't think of a better, more meaningful time to appreciate the inevitable upward trajectory of the stock market (and the economy at large) than right now...when it all looks so bleak!! Knowing these truths, and acting upon them, when everything around us seems to be crumbling will give us the power and conviction to get through it not just this time around...but every time after this too! The next few months are going to suck. Companies will be temporarily thrown off their game. The economy will lag. And then all of a sudden, they won't. They'll adapt. The economy will rebound. And the world will advance beyond this. it is the only way. There is nothing on Earth I'm more confident in.

The past 7 years the markets have been so consistently positive with little volatility that any downturn now seems apocalyptic. We’ve gotten too comfortable. Market volatility is normal. From 1980 through 2016, as an example, the S&P 500 has had an average inter-year swing of 14% annually! In other words, stuff goes up and down, a lot.