As a financial advisor, I focus on four different areas for my clients: Protection, Accumulation, Income, and Legacy (PAIL). In the spirit of the new year and my favorite acronym, here are four financial resolutions to help guide you throughout 2017!
1. Play defense with insurance.
Make 2017 the year that you find the insurance that makes sense for you. Your ability to earn an income affects almost every aspect of your life, and it must be protected. If you need help finding insurance that meets your unique needs, I offer life, disability, and long-term care insurance to my clients and help them find the right coverage for the right cost that fits their budgets.
2. Get Rid of Debt
I know paying off debt sounds out of place in the accumulation phase, but it is really difficult to accumulate wealth when you are paying high interest rates on things like credit cards, car loans, and student loans. Even with today’s low interest rates, there are a lot of people paying double digit interest rates on credit cards.
It is always a difficult decision when it comes to paying off debt or investing for the future. One simple question to ask is “Can I make a higher rate of return on my investment than the interest rate that is being charged by the lender?” If not, focus on paying off the debt first. One exception is to make sure you are getting the maximum match from your employer sponsored retirement plan.
3. Make your investments count.
You work for your money, and it should work for you too. The way you make this happen is through investing wisely. Look for dividend paying investments and don’t be tempted to chase unreasonable returns. With the proper asset allocation, your portfolio can see healthy growth without risky investments. The markets can be confusing and volatile, so if you’d like a second opinion on your financial investments and planning, there’s help out there.
4. Start defining your legacy.
The beginning of the new year is an excellent time to reflect on what matters most to you and what you want your legacy to be. The work you are doing now, investing, saving, and insuring helps build the foundation on which your legacy is built. How can you support your favorite charities? What do you want to leave behind for your family? How can you create generational wealth? These are important questions that your financial advisor should be able to help you answer.
If you can keep these four resolutions, you’ll be well on your way to reaching your financial goals and building a fantastic future. If I can help you keep these resolutions, please don’t hesitate to reach out to my office at (505) 369-1224 or email firstname.lastname@example.org.
About Kevin Brown
Kevin Brown is an independent financial advisor serving individuals and families in New Mexico. It is his goal to give unbiased recommendations and impartial guidance based on every client’s individual and unique needs and goals. Kevin enjoys helping people to feel confident in their financial future by developing a plan to help insure against what can go wrong so they can enjoy the luxury of investing for what can go right! Call his office today at (505) 369-1224 or email email@example.com.