Many Americans today are more concerned about paying off their debt than saving for retirement. I’m o.k. with that, to a point. I feel that making yourself debt free, or at least getting rid of all debt but your mortgage, is a great idea. Interest rates on consumer debt add years to paying off what may have been a reasonably priced purchase. If you are carrying debt, often, you are not paying your credit card bills in full each month. It happens, I understand. The interest rates and compounding schedules are crazy; this can extend the life and cost of a debt tremendously.
If you were to cut back on your long term retirement savings while paying extra toward your debt so you can wipe it off the books, great. Please remember to increase your long term retirement savings when that debt is finally gone.

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We were promised that the Affordable Care Act (ACA) would provide choice, innovation, lower premiums, and no need to change your Doctor. We have seen that this has not actually been the case. The biggest concern for many of us now is the insurance companies are dropping like flies.
Soon, many counties across the country will only have one choice of a provider, most likely a Blue Cross company. Premiums in most cases have increased, out of pocket costs have increased, all while the competition has decreased. Choice and flexibility have gone away for most of us.
The only advice I can share is to look at every feature of the offers you receive, crunch your numbers, and next time vote carefully.

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As a victim of identity theft, I spend a minute each day looking at my bank account and credit card activity. How do you spend your money minute? Each day, you should spend a bit of time on financial activities so you will not be overwhelmed at the end of each month. Here are a few quick things you can do daily:
As I do, check your bank balance to see if checks have cleared and deposits have been made correctly.
Pay a bill or two.
Make a donation to that charity you love.
I’m sure there are some small items that tug at the back of your brain financially, so take a minute out of your day and check it off your list.

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Are you in the midst of a life change? Are you about to retire? Has a loved one passed? Are your kids finally on their own? These are just some of the reasons that someone would hire a Certified Financial Planner Professional. ™ Hiring a CFP® can be a good investment; however, the planning process can be a confusing one. When planning your financial future, having a road map is a must. One put together by an impartial and unemotional professional can provide the best answers.
Ask yourself these questions:
Do you feel lost when planning your future? Do you find that you just don’t want to deal with money?  If your answer to these questions is yes, that is why you would hire me.
The bottom line is this: if you are set with emergency cash but beyond that are not sure where to go, it will be well worth your time  to potentially avoid that one bad money decision that will change your future.  Contact me at: nancy@financialgroup.com

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Yesterday I was reviewing a retirement plan with a single man age 56 who wants to retire at age 62. It turns out that he will have to work to age 65, but will have to watch his pennies, mostly due to future health care needs. As a typical employee, he pays very little out of pocket right now for health care. I discussed with him the potential increases he will have to pay toward health care in retirement. Needless to say, he was shocked. When he retires at age 65 he will apply for Medicare and he will also have to look into the variety of supplements necessary to cover what Medicare does not. If you then add in deductibles and out-of-pocket costs, it adds up fast. A 65 year old retiring today may need an additional $130,000 just to cover long term care needs such as home health aids, assisted living, or full nursing home. Another point to consider is inflation as health care cost have been going up an average of 3%/year and this trend probably will probably continue.
Please make sure you do your health care homework prior to retirement. A well researched decision is the best one.

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Going into 2009, we were all hyped up about renewable energy, especially solar energy. A lot of investors bought stock or mutual funds that invested in solar and natural gas to take advantage of this hype. Who would have guessed that some of the best areas to invest in over the past 7 years would have been gun manufactures and anything in personal defense?
My point is, you cannot invest into hype of any kind, Presidential or otherwise. You need to invest in what you know and invest in what will provide a balanced, diversified portfolio for the long term. Trying to guess trends is more in line with gambling, not investing.
Stick to a portfolio that matches your risk tolerance and your investing time horizon.

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I am not a fan of leaving money with a company that you no longer work for. You might be surprised as to how many former employees actually do this. Here is another reason you may want to rollover that account to an IRA.
In 1984, President Reagan signed in law the rule that proclaims, “no longer will one member of a married couple be able to sign away survivor benefits for the other.” This protection for surviving spouses can negate named beneficiaries in a corporate plan. Here is an example:
A husband has a 401(k) and the wife passes away. The husband now names his children as primary beneficiaries. A few years later he re-marries but keeps his kids as primary beneficiaries on his plan. Sadly, he soon passes away. Under the 1984 law, the second spouse can now claim as the full and sole beneficiary on the 401(k), disinheriting the children.
Please, keep your planning current so you can make sure that the beneficiary you name will inherit as you wish.

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We are creatures of habit, most people put their garage door opener on their visor, and I am here to tell you to stop doing that. Just think about where your car is most of the time. Our cars do not spend most of the day in the safety of our garages. We park in open lots while at work. We park in shopping mall parking lots and those of restaurants. Living in Central Florida, many of us also leave our cars in the lots of theme parks. You are leaving yourself open to theft. Just think about it, a thief breaks into your car and the only thing you may notice missing is the garage door opener, if you even notice that. Do you keep you car registration in your glove box – most of us do. What information is available on that piece of paper? A stranger now has your garage door opener and your address along with enough other information to steal your identity.
Hide your garage door opener. It is an easy thing to do to protect yourself.

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A generation or so back, many people retired with a pension, social security, and personal retirement savings. This is no longer the case. Hardly anyone receives a pension, we still have social security, but the personal savings rate is so low it is scary. A survey conducted in 2014 by the Federal Reserve has shown that over a third of Americans have no retirement savings. NO RETIRMENT SAVINGS! Many of those Americans never plan to retire. Many are working well into their 80’s just trying to make ends meet while dealing with health issues. What is the solution?
You do not need a company plan to save for retirement. If you have earnings you can open a Traditional IRA. It does not matter how much or little you set aside, just do it. Another excuse for not saving that I often hear is: my company does not match in the 401(k). I say “who cares.” A match is gravy. Every dollar you save pre-tax in your company plan, is a dollar less you pay in federal tax. The money is leaving your paycheck anyway – just put it in your pocket.
Take responsibly toward building your own stool. One that is strong – built out of your own hard work.

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Over the weekend, my husband and I went out to dinner. It was a restaurant where the tables are a bit close to one another and it is hard not to hear others’ conversations. The man at the table next to me stated that at age 59 he was tired of working. He could not wait until he reached 62 so he could file for social security and hang it all up. I wanted to turn around and tell him he was about to make one of the biggest retirement mistakes he could make.
If he goes down this path and does take social security at age 62, he will take a permanent 25% cut in his social security. If he then finds that this is not enough to maintain his lifestyle and goes back to work, he will have more headaches. Since he is below the stated full retirement age for social security benefits, he will have to pay $1 tax for every $2 earned over $15,720.
I really hope this guy was just speaking out of frustration and does not resign himself and his family to a permanent 25% cut in retirement income.

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