June 7, 2017
reasons you don't need an annuity

Reasons You Don’t Need an Annuity

In the world of finance, advisors are sometimes scolded for selling annuities. Dave Ramsey is especially popular for doing this. While I agree that annuities aren’t always the best option for every individual, there is a time and place for everything. When you’re trying to keep expenses to the client as cheap as possible, achieve an overall comprehensive plan, which includes everything, their asset protection, savings, investments, taxes, etc., an annuity considered holistically may not be the best recourse. However, I have used annuities for clients. So what are some reasons you don’t need an annuity? Reasons you don’t need an annuity The first is that you are smart enough to control your own money. You don’t have to allow annuity companies to manage it for you. Sometimes better investment tools exist, like mutual funds or exchange-traded funds. Even if you know nothing about investing you can typically invest money with a broker for cheaper than you can invest in an annuity. Another reason why an annuity might not be the best selection is, the fees are typically extremely high. While you may think they don’t cost you, there are several things you need to consider. How much is the surrender […]
May 24, 2017
liquid net worth matters

Liquid Net Worth Matters and Why

Finance is a multifaceted subject. It cuts across various aspects of human life and at certain times knocks the wind right out of us. For instance, today as I met with a client, we considered how to calculate liquid net worth. Yeah, I know liquid net worth doesn’t garner the attention that net worth alone does. However, both calculations have their place in your finances. So I’m going to share a little about why liquid net worth matters and how you can figure yours out. If you’ve never heard the term liquid net worth, then perhaps you are wondering what the difference between the two is anyway.  The difference is probably simpler than you think. Liquid net worth is more in depth than just net worth. With so many of us struggling to keep up with money as it is, let me explain in a little more detail. Imagine you walk into a bank, and the teller asks, “ What is your liquid net worth ?” Perhaps you look at the teller like a calf looks at a new gate?! (a little farming humor)  You’ve never took the time to figure it all up because you know liquid net worth is […]
April 28, 2017
5 Financial Do-Overs I Wish I Had

5 Financial Do-Overs I Wish I Had

Whether they’re personal or financial, life always comes with regrets. How many times in life have you uttered the words, “If I could do that over…” Probably many! Just like you I’ve wished for my fair share of do-overs. So today I’m going to share the 5 financial do-overs I wish I had, in hopes that you won’t make those same mistakes. 5 Financial Do-Overs I Wish I Had I wish I maxed out my ROTH contributions the moment I started making money. — If I’d put back $300-$500 a month back when I first began working at 16 years old, the compound interest alone would be unbelievable. However, like most young folks, I wasn’t looking toward the future. Obviously, I hadn’t grasped the concept of compound interest. Albert Einstein is attributed as saying, “Compound interest is the eighth wonder of the world. He who understands it earns it. He who doesn’t pays it.” Whether he said it or not, the truth behind that quote is undeniable. The power of compound interest is truly mind-blowing. I wish I had hatred of debt, the way I do today. — I hate debt! Hate it! I hate it! Hate it! I hate it! To see the crippling effect […]
December 31, 2016

17 Financial Resolutions for 2017

We all do it at the beginning of every year; make resolutions with the intention of keeping them. And while you may be ready to kiss 2016 goodbye, it doesn’t mean you’re ready to tackle 2017, especially when it comes to your finances. So we here at Financially Simple® decided to help you become happy, healthy and wealthy (to some degree) with 17 financial resolutions for 2017. 1. Start an Emergency Fund We’ve all been there. The car breaks down, while a water pipe bursts in your home and little Tommy falls out of a tree breaking his wrist. Misfortunes are in everyone’s future. No matter how you spin it, you’re likely to see an unexpected emergency with unexpected expenses this year. However, that doesn’t have to derail your financial plans IF you prepare. Don’t get caught without extra cash to spare your budget when life does happen, because we all know it will. If you don’t already have an emergency fund, start one today. We’ll help you get started here. 2. Budget! Then follow it!!! When it comes to budgeting, we Americans stink at it. Or at leas the sticking to it part. Just one in three actually take […]