Wednesday, November 14, 2012

Tips for a Merry Financial Holiday Season



Enjoying the holiday season does not necessarily mean spending a small fortune, racking up debt and spending the next two to three years trying to pay off the gifts. Instead of making the season a financial mess, it is important to plan for the expenses and avoid the financial challenges. Working with an investment advisor to ensure the season doesn’t throw off the retirement plan is only part of making the season a budget friendly event.
Create a Budget
The holiday season is not the time to give up budget planning. According to Dave Ramsey, a budget is a necessary tool to staying on track financially throughout the next year. Working with a financial advisor to create a plan that works with personal finances, family members and the plan for the holiday season will make it easier to stay on track financially.
A budget should organize spending throughout the season based on the greeting cards, travel, food, parties and other events that can throw off the finances. Setting aside a set amount for necessities, gifts and other items will help reduce the risk of going into debt.
Start Saving for the Season Early
Saving is always the best way to plan for the holiday season. An investment advisor can help create a plan throughout the year that puts aside extra cash for the holidays, which is then available when the winter season rolls around.
Although it is important to begin saving from the beginning of the year, setting aside extra money throughout the months of November and December will provide a little extra cushion. The financially smart way to handle the holiday season is paying for gifts without going into debt. A financial advisor can help create a savings plan for extra cash to make the holidays special.
Put the Credit Cards Away
Dave Ramsey suggests that it is never a good idea to pay for holiday gifts on credit. Instead of going to the store with a wallet or purse full of cards, remove all of the cards and replace it with cash. Paying with cash will not only keep the budget on track throughout the season, it will also make it easier to avoid adding extra debt to the account.
It is tempting to pay for gifts, food and decorations with a credit card, but putting off the expense will only make the season more costly. Spending the money that was saved for the holiday season will prevent large amounts of debt and ensure that the budget stays on track.
Write a Shopping List
Before heading to the store, write out a shopping list and a plan of action to avoid unexpected impulse spending. During the holiday season, it is tempting to buy little extras on the way out of a store. By following a shopping list and creating a plan before entering the mall, store or shopping center, the risk of impulse spending is reduced.
Warm Hearts with Simple Gifts
The holiday season is about giving, but it does not necessarily mean going into debt or creating a financial burden for the next year. Working with an investment advisor to create a savings plan should work in a little extra for simple gifts.
The simple gifts, such as a greeting card or a cup of hot chocolate, are a great way to warm up others during the holiday season. Giving a greeting card to a stranger and wishing him or her a happy holiday will remind others about the joy of the season.
The holiday season is not the time to break away from the financial plan. By working with an investment advisor to create a budget that will not impact financial goals, it is possible to make the season a happy and stress-free time.

Investments For You, Inc. 
1040 N Maple St
Marysville, Oh 43040
(937) 644-1661

Tuesday, October 9, 2012

Budgeting For Financial Success


Many people look at creating a budget as enacting limitations, but really a solid monthly budget gives you freedom. When you create a well-thought out budget, you are giving yourself peace of mind that each month you are going to meet your minimum demands and have money left over to use for whatever you want. By setting aside money for retirement or investments, you are securing your future. Through allocating money to pay off debt, you improve your credit and know that in the foreseeable future you can free up resources for more important things. No matter what stage of life you are in, setting up a budget ensures that you meet your responsibilities, save for emergencies and are constantly moving toward a healthier financial future.

Budgeting
Making a budget may sound overwhelming, but once you sit down and do it you will reap the benefits for years to come. A budget is simply a plan. You and your financial planner can devise the best plan for your money based on your income, your expenses and your needs. A budget for a younger person saving for college or starting their first job will be different than for an adult getting ready to retire. What does stay the same though, is the importance of knowing where your money is going. Working with a financial planner to make a monthly budget could even help you find money you did not know you had.

Bills
Any budget you create must satisfy your financial obligations. You must consider your household expenses, taxes, insurance costs, debt, and basic entertainment. Regular expenses such as food, rent or mortgage payments, gas, utilities, student loan payments, credit card payments, car insurance, health insurance, and everything you need to survive should come out of the budget first. Adding up all your necessary expenses may not seem like a lot of fun, but you need to know what money you to work with after these costs are taken out of your income.

Investing
Once you know how much money you have to work with after your regular bills are paid, an investment advisor can help you make smart investments. This could be putting money into a college fund, a retirement fund, a savings account, or a CD. Your investment advisor can also help you select higher earning investments and financial products depending upon what is appropriate for your budget.

Paying off Debt
Any financial planner will tell you that debt repayment is crucial for financial wellbeing. Interest fees add faster than you can imagine. Many people believe that if they make their minimum payments, their debts will be repaid in a reasonable time. What you do not realize is that making only the minimum payments extends the life of your debt for years.

By sitting down with a financial planner and looking over your budget, you can find ways to make more than the minimums and pay off your debt faster, which can save you hundreds of dollars or more over the life of your loans.
What you should remember is that a budget is merely conscious spending. Following a budget prevents problems including running out of money before your next paycheck, not having anything set aside for unforeseen expenses, or wasting money on redundant expenditures and things you do not need. Your financial planner and investment advisor are invaluable to finding the best ways to budget and investment your money.

Investments For You, Inc.
1040 N Maple St
Marysville, OH 43040
(937) 644-1661




Monday, September 17, 2012

FIN 101 - Saving for College Tuition


If you are planning on returning to school you need a personal financial planner. The purpose of a financial planner is to help you accomplish long term savings goals and make your investment work for you not against you. Everyone has an opportunity to attend college if they choose, but not everyone can afford the cost.

Investing in prepaid college plans does not guarantee a great annual return. Instead, choose a plan that allows flexibility, with the option to transfer money from one account to another with incurring any fees.

Several educational plans are available to help you get started, including the IRS tax deferred investment plan 529. Learning more about the 529 college savings plan and how it works can increase your chances for success. The good news is it is never too late or too early to start preparing for a good college education.

According to Dave Ramsey, who is considered an expert financial planner, parents only get one shot at retirement. As much as they want to help their children with their college education they have to be reasonable. His advice on the subject of college savings is to invest in a 529 plan. This means developing a financial plan that will allow savings to occur for both retirement age and college.

Dave Ramsey’s advises parents and others wishing to attend college to search for cheaper alternatives. Investing in an insurance policy is not a good idea, but putting up to $2000 annually aside in a college savings account allows the money to grow without being penalized. Taking the money later and investing it into strong mutual stocks can increase the growth by 12%.

College tuition is increasing each year. The cost of attending a 2 year program in both private and public schools has almost tripled when compared to the last 2 years.

During the 2010 - 2011 school years the College Board witnessed an annual increase of 6% in the cost of college tuition. In 2010 the cost of attending a 2 year public college was $68,800. In 2028 the cost is projected to be $193,300. Although scholarships and financial assistance helps in paying for books and other school related activities, it is not nearly enough to cover the remaining high end costs.

Now is the time to start saving for the kids college education. Putting aside a few dollars per week out of each paycheck is a great way to start saving for the future. Money adds up and before long the account will be funded with more than half the cost of a college education.

It is not easy getting started especially when unexpected situations occur that can delay or prevent the initial process of saving. The easiest way to get started is to make a budget and stick with it. Eliminate excessive spending by cutting back on unnecessary purchases.

If necessary, consult a financial planner about other educational plans and possible invest opportunities available. Look into several college investment plans including state funded plans. Choose a plan that is simple, flexible and transferrable. Investing in the future starts now and it begins with a college savings account.

Investments For You, Inc.
1040 N Maple St
Marysville, OH 43040
(937) 644-1661

Monday, August 27, 2012


Taking Control of Your Investments

In a volatile market, there are times you feel that your money is in a whirlwind and you have no control over what happens. Some might feel like they have no idea what they are doing, and just throwing money at the financial markets from time to time. Then after we feel we have the slightest idea of what is going on, we let emotions run our buying and selling decisions and make them at the wrong time. 

In a recent newsletter from Dave Ramsey, “How to Take Control of Your Investments”, we found four easy ways to help give you control over your investments, and your future. 

First, how much you invest will set you up for the rest of your future.  Your income is the most powerful tool you have to building wealth, and making the right decisions with it will put you ahead of the rest in the long run. Set up a good plan that works for you and stick to it! Take advantage of your employer’s 401(k), and invest to maximize their match percentage.

The earlier you start the better, and waiting will cost you thousands in the long run. For every year you invest, that’s another year you can take advantage of compound returns, and earn money on your earned money!

Next, what you choose to invest in is in your control. There are endless options of financial products: real estate, stocks, bonds, antiques, or collectables. However, for the best returns, nothing beats the stock market. While certain stocks are very risky, there are other financial products like mutual funds, which blend return and risk for any investor.

Finally, how you invest is important in reaching your financial goals. Figuring out a good strategy and having the discipline to stick to it will be critical in maximizing investment potential.  A great investment advisor can really help take the emotion out of it and advise you how to make informed data driven decisions.  The Dave Ramsey newsletter states that “70% of wealthy investors rely on their financial advisors to help them with their investment decisions.”

If you need help finding an investment plan that works for you, or you would like help from an experienced investment advisor, we can help you reach your goals. Visit our website or call and speak with a financial advisor.

Investments For You, Inc.
1040 N. Maple
Suite A
Marysville, OH 43040
(937) 644-1661