The economic consequences of the global Covid-19 outbreak and the associated decline in economic activity from quarantines, business closures, and social distancing have been staggering.

This is the hardest part. Stick to your plan. Don’t panic.

Many people have the perception that their tax bill each year is chiseled into stone and an unchangeable result of their financial situation. But the reality is that there is many things you can do each year to optimize your taxes,

Many people keep putting off things they need to do until the “start of the year”.  Following a budget, saving for retirement, opening an IRA, refinancing the house, and a host of other things fall into this category. 

So, the SECURE act is now law, and there are many changes for Americans that are actively using an IRA, college savings plan, inherited IRA, making charitable donations and more. 

That is, compound interest has massive benefits to your investments over time, particularly if your dividends and interest are being reinvested to buy additional shares, and you’re receiving a free match through your employer retirement plan like a 401k.

A Health Savings Account (HSA) is an investment account that allows savers to invest capital into traditional assets (stocks, bonds, etc.), and then later use that money to help pay for medical expenses. 

The average person is going to need somewhere between 60-80% of their current income to maintain their standard of living during retirement. Why is the estimate for retirement lower than current income?

So what is a good recession strategy? Evaluate your risk tolerance, allocation, and emotional ability to withstand losses BEFORE a recession, so that when it happens, you’re adequately able to deal with the results.

It can be hard for many people to remove the emotional aspect of making investment and trading decisions. Numerous studies have shown that the majority of people under perform compared to professionals because of poor decision making and impulsivity.

The insurance industry sows confusion by calling their salespeople “financial advisors”, when in reality they are annuity or life insurance salesmen. Once you wade through the sea of insurance salespeople, it is then possible to find a Certified Financial Planner CFP.

I define a financial vampire as an asset whose value rapidly depreciates shortly after purchase and continues to decline in value as time goes on.