by Doug Goldstein CFP® | Nov 8, 2016 | Financial Plan |
Handing over financial responsibility to someone else, even if that someone is your own child, is a very sensitive issue. You may think that letting go is the equivalent of resigning from a game of chess when you are in a winning position. Yet handing over responsibility for your monetary affairs at the right time, to the right person, is what will help you win your financial endgame. This issue raises the following questions: Under which circumstances should you relinquish control? How much control should you give to others? Can you trust your children enough to give them so much responsibility over your personal situation, or should you choose someone else? When should this be done? Time to let go As senior citizens age and face more mental cognition issues, it becomes more difficult to keep on top of finances. Aging tends to make people forgetful. Even senior citizens who are healthy and do not suffer from dementia or Alzheimer’s may forget to pay a bill or sign a check. At this point in your life, it is much easier to hand over the pressure of financial responsibility to someone you trust. Who should take the reins? For some people, that’s an easy question to answer. Their children are trustworthy, and they can simply pass financial responsibility over to them. But what about people who have no children, or who don’t have a healthy relationship with their offspring? Then it’s time to involve professionals, such as a financial planner, lawyer, or accountant. You should never feel that you are alone or that there’s no one you can trust. By... Click for more
by Doug Goldstein CFP® | Sep 27, 2016 | Financial Plan |
How often should you review your financial plan? If you haven’t looked at your plan in more than six months, then you’re overdue. When people build a financial plan, they spend a lot of time thinking about their goals and sitting with a financial advisor to find out the best way to achieve them. But what happens once the portfolio is created and the investments are in place? Is it time to go on automatic pilot? In a world with volatile markets and changing personal circumstances, autopilot isn’t a smart idea. In the words of chess player Paul Morphy, “Help your pieces so they can help you.” If you just leave your pieces (i.e., your investments) alone, they may not perform at their best. But if you periodically review your portfolio’s composition, and make sure all is following your financial plan, you can help your money be more effective. It is a good idea to review your finances twice a year, and more if you undergo significant life change such as marriage, divorce, having children, or a career change. As your life circumstances change, so do your needs and levels of risk. Download the Rich As A King poster book for inspirational reminders to help your pieces help you! Although the price of the book is $9.99, we are presently giving it away for free. So hurry up and download your copy while it’s still free. Douglas Goldstein, co-author of Rich As A King: How the Wisdom of Chess Can Make You A Grandmaster of Investing, is an avid chess fan, international investment advisor and Certified Financial... Click for more
by Douglas Goldstein | Sep 20, 2016 | Financial Plan, Financial Strategies, Podcasts |
What’s the best way to improve your investment results? Learn to filter out distractions and give your plan a chance to work. Listen to this financial podcast to find out why it’s important to stick to your financial plan, rather than continually moving your investments around. In the same way that a chess player ignores the constant barrage of comments from onlookers, and stay focused on the game, you need to stay focused on your financial plan. Get information about our upcoming real-life finance course and send your financial questions to... Click for more
by Douglas Goldstein | Aug 23, 2016 | Financial Plan, Podcasts |
If you are still working, here’s one retirement planning opportunity you don’t want to miss out on? As many as 68% of working people in America don’t take advantage of this simple retirement savings technique. What should they do? Maximize the amount you put into an employer-sponsored savings plan or IRA. Listen to this financial podcast to learn what happens to your contributions to a traditional or Roth IRA. What do you need to know if you are 50 or over? Get information about our upcoming real-life finance course (full of other retirement planning ideas) and send your financial questions to... Click for more
by Douglas Goldstein | May 31, 2016 | Financial Plan, Podcasts |
How can you make more money by consolidating your investments? If your investments are scattered among different companies not only is it difficult to know what you own, but you may end up paying more in fees. Not to mention, your asset allocation may not be as diversified as you think. Organizing your investments isn’t a guarantee that you’ll make more money, but it is an effective strategy to increase investment returns. Get a link to a free tracker that will help you see your financial situation clearly and... Click for more
by Doug Goldstein CFP® | May 19, 2016 | Behavior finance, Financial Plan |
When you look at your investment portfolio, what do you see? Are you able to focus on all of its details at once? Many investors think they are looking at the big picture when they read over their financial portfolio, but many important details escape their attention. Their inattention to small details can have a negative effect on the decisions they make. What important information are you missing? Looking at a whole picture but missing the most significant details is actually very common. How many times have you searched for a certain item, looking all over the place, when the object you were seeking was sitting right in front of you all the time? This phenomenon has a name – “the illusion of attention,” and it occurs in many spheres of life. Examples of this are found in the popular book The Invisible Gorilla by Christopher Chabris and Daniel Simons. Click here to watch short video clips about the illusion of attention that were compiled by Chabris and Simons. How does this affect you as an investor? Do you read financial summaries and news articles often? If so, don’t rush to give yourself a pat on the back. That is because even though you are immersing yourself in financial information, you may overlook certain critical details because a minor point might have attracted your attention, distracting you from what is really important. For this reason, don’t just skim over your investment portfolio or other financial information. Pay attention to both the whole picture, as well as the small details. If you don’t know what is important or not, consult... Click for more
