Savings are so important to your financial goal. How many times have you started the year by resolving to put more money into savings and investments? If it’s more than once, it’s safe to say the resolution didn’t work. With New Year’s resolutions you may maintain your resolve for a few months, but if old habits take over, it’s back to the drawing board the following year. It doesn’t have to be that way. Here’s what we suggest to get out of the resolution loop.
“This is the year I’ll save more money”
We hear this theme frequently. An individual makes a first-of-the-year commitment to put away more money for the kids’ college fund, retirement or some other critical goal. But after a few months a distraction pops up – a dream trip, a big bill, inertia – and breaks the savings routine. Then it may be several months or another New Year before the discipline to save returns.
Without getting into the psychology of habits and will power, we all know how fragile a resolution can be, whether it involves diet, family, exercise or money.
How can you put some ‘solution’ into your ‘resolution’? We suggest making it automatic.
It’s extremely easy today to set up weekly or monthly transfers from your checking account into your investment account. If you time the transfer to quickly follow your payday, your money will be transferred before it can be distracted, diverted and spent on something else.
The best part is that you never have to remember to make the transfer or negotiate with yourself about skipping a month – it’s automatic discipline.
Make it easy
Money transfers are just one example of smart and necessary financial moves you can automate through technology. You or your advisor can handle it for you. The fewer decisions and actions you need to take to keep your financial plan on track, the better.
If you need some help with this, let us know.
Finally, Max and I wish you not just a Happy New Year, but one that’s prosperous, entertaining, adventurous, healthy, fulfilling, joyous, productive, inspired and one-of-a-kind.
John Osbon – firstname.lastname@example.org
This communication may include forward-looking statements. All statements other than statements of historical fact are forward-looking statements (including words such as “believe,” “estimate,” “anticipate,” “may,” “will,” “should,” and “expect”). Although we believe that the expectations reflected in such forward-looking statements are reasonable, we can give no assurance that such expectations will prove to be correct. Various factors could cause actual results or performance to differ materially from those discussed in such forward-looking statements.”
“Historical performance is not indicative of future results. The investment return will fluctuate with market conditions.
Past performance is not indicative of any specific investment or future results. Views regarding the economy, securities markets or other specialized areas, like all predictors of future events, cannot be guaranteed to be accurate and may result in economic loss to the investor.
Investment strategies, philosophies, allocations and holdings are subject to change without prior notice.
This communication is intended to provide general information only and should not be construed as an offer of specifically tailored individualized advice.
While the Adviser believes the outside data sources cited to be credible, it has not independently verified the correctness of any of their inputs or calculations and, therefore, does not warranty the accuracy of any third-party sources or information.
Adviser does not endorse the statements, services or performance of any third-party vendor.
Unless stated otherwise, any mention of specific securities or investments is for hypothetical and illustrative purposes only. Adviser’s clients may or may not hold the securities discussed in their portfolios. Adviser makes no representations that any of the securities discussed have been or will be profitable.
Any IPO alerts are purely informational and should not be construed as recommendations to invest.
Adviser is not licensed to provide and does not provide legal, tax or accounting advice to clients. Advice of qualified counsel or accountant should be sought to address any specific situation requiring assistance from such licensed individuals.
Any case studies or hypothetical client profiles are for demonstration purposes only. They illustrate the breadth and depth of the many clients we represent at various life stages. Any similarities to actual Adviser’s clients past or present are strictly coincidental. Individual advice and results will vary based on each client’s circumstances, objectives and prevailing economic conditions.