Do you love Halloween? I do. I think it’s a great cultural tradition and lots of fun. It’s especially fun seeing the littlest among us in their costumes. I really like that it’s a fun tradition for all of us regardless of most religious affiliations, political affiliation, and even ethnicity. Everyone who wants to participate can participate if they choose. Halloween is also becoming a major contributor to the GDP. For 2023, the National Retail Federation projects Americans will spend $10.6 billion - with a 'B' - on Halloween candy, decorations, and costumes this year. Personally, I think I might contribute more than my fair share. I usually add one or two new costumes to our household's growing collection, we also decorate when we're home, and we spend more per trick-or-treater than those who buy candy. Read on and I’ll explain.

Last week, we discussed why the ‘save money’ mantra is ineffective for many people. Especially those folks who earn in the lower quintiles. This week, I want to flip that script just a bit and address those who do have better incomes and can save some cash, but simply are not. A reminder, if you will, that saving money really is a necessity. And, that you should save as much as possible.

We’ve all heard that for a successful retirement, we need to save money. With that admonishment usually comes stats about how much to save, how much to have saved by a certain age, and if we would just give up that one latte every day we could all retire as millionaires! This post is aimed at those who struggle to save, or who have insufficient income to save. So, why don’t more people cut costs and save money?

A change in the SECURE Act 2.0 that mostly affects higher earners who contribute to their qualified workplace plan, and make age 50 catch-up contributions, has been delayed until January 1, 2026. Starting in 2024, the change would have affected those earning wages of more than $145,000, who contribute to their 401(k), 403(b), or 457(b) workplace plan, and make the age 50 catch-up contribution. The change will require that the catch-up contribution amount be made as a Roth contribution. This mandatory Roth catch-up contribution requirement has now been delayed until 2026.

I still find people who tend to pooh-pooh being told to use an IRA to save for retirement. They assume that they’re saving enough through their workplace plan, or that they are going to hit the jackpot just in time with their company equity, or that Social Security will take care of them. Ok, not really a plan, but nice to dream about. You may be saving the maximum through your employer plan, but do you really want all of your money for retirement to be in that one account? And who doesn’t want more money in the future? There are many reasons to save additional in an IRA and it can make a big difference. Let’s take a look at some basics, and some projections.

Although President Biden's campaign promise to cancel up to $10,000 ($20,000 for Pell recipients) in Federal student loan debt was challenged by Republicans and defeated, there is still some good news on the student loan front. Further, it looks like some borrowers may still hear good news in the coming months thanks to actions via the temporary IDR Account Adjustment. The program retroactively adjusted the number of payment credit years that had not been properly credited to bring more borrowers into relief status for having made 20 or 25 years of payments as required. Even though this action corrected a wrong, Republicans are challenging the IDR Account Adjustment and trying to prevent borrowers the relief they are qualified for and were originally promised under their loan terms.

We have all been there. Struggling with how to juggle living and enjoying life while managing our money in the most advantageous way is a real challenge.  We want the best out of life, but at times we can be our own worst enemy. For some, lack of knowledge leads to indecision.  For others, a little knowledge can be a dangerous thing. I see people either making no decision, making a decision too slowly, or rushing and making the wrong decision based on too much confidence and not a deep enough understanding of the topic.  Let’s take a look at bad money habits to break

To be honest, any time is perfect for estate planning. The time to plan is now. You don't have to be old or super wealthy to need an estate plan. It may be possible for you to go DIY if you have a very simple situation, or you can hire an estate planning attorney for a more comprehensive package. The important thing is to do something sooner rather than later.

For decades we’ve been told to first max out our 401(k) or other qualified workplace plan, then save more in an IRA and a taxable brokerage account. But, is this really the best approach? Having long since crossed the infamous age 50 milestone, I am rethinking how I would have liked to have saved. I generally relied on the approach of 401(k) first, any additional savings into an IRA, and then a brokerage account. Mostly because when I started working and saving, we didn’t have a Roth account option. Now, I am starting to think we’ve relied too heavily on the workplace plan and that we should maybe give more thought to our saving and investing approach. Especially for those under age 50, and especially until the end of 2025.

The up markets may have you in a good mood these days.  We’ve just come off of the best continuous run the markets have seen since 2019. The Fed may show up this Wednesday and be a bit of a Grinch, but you don’t have to be. If you are looking to be generous, now is a good time to start your Christmas shopping. Yep, it’s Christmas in July! Not the actual day of celebration, but some tips for preparing for Christmas and the other year-end holidays. Christmas is just under 22 weeks away as of this writing. My gift to you is some advice on how to handle that extra expense. Not everyone celebrates Christmas but for a large number of families this is a major holiday and a very big expense. Christmas can be fun, but it puts many folks into a financial tailspin and creates unnecessary stress. So, how do you prepare for the expense in your budget to avoid the tailspin and reduce stress in a year when inflation is up and a recession may be looming?

According to AARP the low-tech crime of check washing is on the rise. There are various reasons for this increase, but the main reason is that it works! Lots of folks are still using paper checks to pay their bills and thieves are taking advantage. Read on for more about what it is, how it happens, and what you can do to avoid being a victim.

We just wrapped up June and celebrated July 4th. which means we are at the midyear point. This is a crucial time in financial planning. Although most of us are checked-out for summer, now is a key review time given that we are half way through our calendar year. There are several reasons for a midyear review but one key reason is that your adviser would love to hear from you. Everyone is at a different stage in their financial journey, but let’s take a look at a few key reasons to have a midyear review even if there are no changes.

Enjoy your 4th. of July holiday with friends and family! There will be a new post next Tuesday.

Ready or not here come student loan payments! After a three year pause on payments for Federal student loans, repayment is starting in October. Interestingly, loan interest will start accruing again on Federal student loans as of September 1, 2023. What does this all mean for you if you have a Federal student loan?

Working with folks over the years, I am still surprised that a lot of qualified workplace plan elements still seem to be confusing, if not a mystery to many. This week, I am talking specifically about the match that usually accompanies 401(k) and other qualified workplace plans. I’ve found that most folks are a little unclear about what it is, how much it is, and how it works. This is not surprising since companies offering these plans have a lot of options when designing their plan.

The summer travel season is kicking off and given the inflation spike, fuel prices, and lingering pent-up demand due to the pandemic, it can be a challenge to reign in those vacation costs. Lots of us are fighting the urge to splurge on a fabulous vacation. Memorial Day officially launches the summer travel season. June is a very busy month with festivals, concerts, special events, weddings and many people taking time off while the kids are out of school.  A good summer vacation or remote work trip doesn’t have to break the bank and bust your budget.  Consider the following tips to save money.

Summer is fast approaching and it’s time for my annual reminder to have a Grab-N-Go emergency binder! We jokingly say that we have four seasons here in California: flood, fire, earthquake, and riot. These days, given the recent pandemic, disease is playing a part as well. It’s necessary to have an emergency binder for other reasons. Most notably, a medical emergency. It’s not a pleasant thought, but a disaster or health crisis is an event for which we should all plan ahead.

I know this blog covered some of the changes and updates to the 529 plan back in March. You can read 529 Plans May be More Valuable Than Ever to learn about the big Roth rollover opportunity.  Given that yesterday, May 29th., was 529 Day, or 529 College Savings Day, it seems like a good time to share more about the 529 Plan. 529 Day was created to raise awareness of these plans and to increase college savings in general.

I am frequently asked how to save for competing goals. This is a challenging aspect of personal finance. Often, we have multiple goals competing for our limited extra cash and all sharing the same timeline. It’s challenging, but there are tips to employ to help you reach these competing goals.

Consumer debt is increasing – A LOT! As a nation our credit card debt is at the highest level ever. How much? Try a whopping $986 billion according to LendingTree.com.  The top three states with the highest average credit card debt are Connecticut ($9,408), New York ($9,165), and New Jersey ($9,044). Surprisingly, California is not even in the top 10. We come in at number 15 with an average credit card debt of $7,758. For those of us who control our cash flow and are diligent and pay off our cards in full each month (about 35% of cardholders), this seems horrendous. For those struggling to pay debt, read on for some tips to tackle your debt.