August 4, 2017

Preparing for Long Term Care

Most Americans aren’t prepared when it comes to long-term healthcare. Whether it’s the care of a loved one or your own, long-term care is something we should all be prepping for. In previous generations, elderly parents and grandparents could count on moving in with relatives when they were no long able to live alone. However, today’s ever-changing family dynamics means many Americans are reluctant to burden their families with caregiving duties. Long-term care are services needed to support someone who is elderly, chronically ill, disabled, or unable to care for themselves for a long period of time. Most long-term care is focused on helping people with daily activities like dressing, bathing, cooking, and using the bathroom. The associated costs are quite alarming as well. One study projected that healthy 65-year-old couples could expect to spend $260,000 on healthcare in their remaining years. Though we cannot fully cover a topic as complex as long-term care in a single post, here are several questions to help you start assessing your future needs. 1. What are the costs of long-term care? Most Americans can rely on Medicare for mamy routine medical issues and hospital procedures after age 65. However, there are limits to […]
July 29, 2017
Debt Reduction

Pay my Mortgage Debt or Invest? Which Should I Do?

The thought of being debt free sounds like a dream come true for most of us. Many folks are wrapped up in credit card debt, car payments, mortgage payments, etc. However, there’s one debt that freeing yourself from could do more harm than good, from a mathematical standpoint. That is your mortgage debt. Honestly, it’s often not a good idea to pay it off or even pay extra on it before age 50. I know individuals in their 30s who received big inheritances, went out and paid cash for a house to avoid a mortgage payment. To them, it was a good idea. I also know individuals that decided they wanted to pay their home off as fast as possible. As a matter of fact, I have some friends that are also clients that ended up in this exact scenario. They bought a house in another state during the downturn of the market. Recently, they sold it and made $100k, to which they planned to pay off the mortgage on their current home making them debt free. I said to him, “You know that sounds good and I understand, but you‘re dealing with about a million dollar decision right now. […]
July 21, 2017
prioritize your savings plans

Prioritize Your Savings Plans

I’m sure you’ve heard the old adage, “money doesn’t grow on trees”. Don’t you wish it did though? However, since it doesn’t how do you decide the best way to spend or save the money you do make? “There’s more than one way to skin a cat,” right? Let’s review the decisions parents face today. Should they save for a child’s college education or knock out their mortgage quicker? Or do both?Making the choice that’s best for you and your family comes down to priorities. Prioritizing Here’s the thing. Both paying down the mortgage and saving for college are noble causes. However, there is one particular priority I’d suggest placing above all else. RETIREMENT! You can fund college a lot of different ways. There’s financial aid, student loans, scholarships, etc. While those can help put your child through school, they won’t get you through retirement. Funding your retirement accounts also won’t count against your college student when it comes to financial aid too. If it’s a Roth IRA, you can even use the money for qualifying educational expenses. Now as for whether your focus should be college or your mortgage. I’m gonna say college and this is why. Most people don’t […]
June 29, 2017
pay yourself first no matter what

Pay Yourself First No Matter What

Pay Yourself First No Matter What As a business owner, you’re often working hard to cover all the expenses of the business. Whatever those expenses are, don’t forget to pay yourself first no matter what!