Posts by Marisa Mullis

6 Ways Prioritizing Your Health Can Save You Money

It can be easy to lose focus on your own health needs, especially if you have other obligations.

This can be an expensive mistake for several reasons. Consider these ways putting your health first can help you both physically and financially.

 

Outrun medical costs

While finding the time to exercise can pose a challenge, it can reap big rewards in the long run. That’s because leading an active lifestyle may help you dodge health conditions like heart disease, high blood pressure, and cancer, each of which can come with pricey medical expenses, such as for prescriptions and doctor visits. By staying healthy and avoiding these costs, you may have more money to contribute to long-term financial goals, such as saving for retirement or paying off your mortgage.

Reduce food bills

Preparing healthy meals for yourself may require careful planning, but you might find it’s worth the effort. Americans spent about $2,375 on restaurant and takeout food in 2022. Since food made at home is generally cheaper, you could save by preparing your own healthy meals. Then you could possibly put some money toward time away at a spa or other restful location.

Pay less for transportation

You can spend less on maintaining your car or for bus, cab, or train fare if you walk or bicycle instead when possible. Plus, you’ll enjoy numerous health benefits that can possibly stave off expensive medical care. The additional exercise can strengthen your lungs, muscles, and joints. You might also be able to enjoy the many benefits sunshine can provide, such as improving your levels of vitamin D, which can help regulate your blood pressure and blood sugar levels.

Maintain your weight

Weight fluctuations can be costly since these changes may necessitate a new wardrobe. If you can keep your weight steady through activities like exercising, watching what you eat, and getting enough sleep, you might find yourself putting more money in the bank and less toward what you wear.

Use your benefits

Failing to use your paid vacation time is like losing money you worked hard to earn. So take some time for rest and relaxation. Doing so could lower your stress, prevent burnout, and maybe even help you to earn more.

Don’t fund bad habits

Finally, if you break yourself of unhealthy and expensive routines, you might burn less money. For instance, those who quit smoking a pack of cigarettes a day could save about $3,033 a year. (They may also enjoy a longer life—studies show that a smoker might live at least ten years less than a nonsmoker would.) Or perhaps you could swap the soda you drink daily for free cups of water. Some changes like these might not be hard, but they can make a big difference—and you could even be happier, healthier, and richer for it.

 

This article was prepared by ReminderMedia.

LPL Tracking #478642

The Role of Insurance in Your Financial Plan

A critical part of financial planning that is often overlooked is insurance. Having various insurance policies will provide different benefits to your financial plan, ranging from protection to tax breaks. In fact, insurance is a component of most financial plans, and some financial professionals are licensed to sell it themselves. Read on to learn more about the role insurance plays in financial planning and what policies you might consider.

Risk Coverage

All insurance policies are designed to mitigate risks. They help offset the potential financial loss you may experience due to a foreseen event. From death to hospitalization to a house damaged in an earthquake, insurance will help to absorb some of the financial burdens.1

Tax Benefits

Insurance policies also provide tax benefits for the holder as well. Money paid toward life insurance premiums will be able to be deducted under Section 80C of the tax code. The premiums you pay for your health insurance may also be deducted from Section 80D of the tax law. Additionally, any death benefit from a life insurance policy will be tax-free, so your loved ones won’t be saddled with an additional tax burden.2

Insurance Policies You Should Have in Your Portfolio

While there are insurance plans to cover everything from your jewelry to your long-term care, there are a few types of policies that you will want to have in your financial portfolio.

  • Life Insurance: A term life insurance policy will provide a death benefit in the event of premature death. These policies are crucial to your financial planning as they will provide needed funds should the family’s provider pass away and the family faces a significant financial loss.
  • Home Insurance: One of your most significant assets is your home, and the sudden loss of it would likely cause significant financial hardship. Home insurance may help repair your home in the event of major and costly damage and replace it in the event of a total loss.
  • Health Insurance: Medical bills are one of the leading causes of debt among those without coverage and may add up quickly enough to eat away at your savings. Having a health insurance plan that covers at least major medical expenses will reduce the risk of depleting your savings to take care of health concerns.
  • Auto Insurance: Vehicle insurance is a must and, in most states, a requirement to legally drive a vehicle. This type of insurance may help you repair your car if it becomes damaged in an accident, but even more importantly, it may cover medical costs for other drivers and passengers if you were found to be at fault for the accident.1

Having proper insurance coverage is an essential part of life and your financial future. Not sure what coverage and how much you will need? Talk with a financial professional today to determine what policies will help complete your financial portfolio.

 

 

Important Disclosures:

This material contains only general descriptions and is not a solicitation to sell any insurance product(s), nor is it intended as any financial or tax advice. For information about specific insurance needs or situations, contact your insurance agent. This article is intended to assist in educating you about insurance generally and not to provide personal service. They may not take into account your personal characteristics such as budget, assets, risk tolerance, family situation or activities which may affect the type of insurance that would be right for you. In addition, state insurance laws and insurance underwriting rules may affect available coverage and its costs. Guarantees are based on the claims paying ability of the issuing company. If you need more information or would like personal advice you should consult an insurance professional. You may also visit your state’s insurance department for more information.

All information is believed to be from reliable sources; however, LPL Financial makes no representation as to its completeness or accuracy.

This article was prepared by WriterAccess.

LPL Tracking #1-05370165

Footnotes:

1 Insurance As The First Step In Financial Planning, Forbes, https://www.forbes.com/advisor/in/personal-finance/insurance-as-the-first-step-in-financial-planning/

2 Role Of Insurance In Financial Planning, Outlook Money, https://www.outlookmoney.com/insurance/role-of-insurance-in-financial-planning-5723

3 Key Money Moves Every Parent Should Make

Whether you are expecting your first child or have been a parent for years, finances and building a future for your family go hand-in-hand. Luckily, there are money moves you can make now to help manage financial stress, support yourself and your loved ones, and help your children as they get older. Here are three key financial moves all parents should consider making.

Review and Update Your Life Insurance

For many, life insurance is a necessary but unmanaged expense for a good reason. It is not pleasant to consider a situation where your life insurance policy may become relevant to your loved ones. However, for parents, in particular, having adequate life insurance might be the difference between your children struggling or enjoying a comfortable future.

Many employers offer life insurance to their employees, often at a specific multiplier of their salary. For some families, this amount may be adequate; but in other cases, you may need to purchase an additional term policy that provides coverage until your youngest child is an adult. It is worth reviewing how much coverage you have, then comparing this with your average projected earnings over the next decade or so.

Also, update your beneficiaries after any major changes. A divorce decree does not remove an ex-spouse’s name from a life insurance policy. For any changes in your marital status or if a named beneficiary passes away, you must update your list of beneficiaries with your insurer.

Consider a College Savings Account

As anyone who is still paying their student loans could confirm, college costs may be a major expense. For many, student loans are second only to the cost of a home purchase. Fortunately, time is on your side when saving for college for those with young children. The funds you put toward your child’s future college education may have years to grow. In many states, contributing to a 529 college savings account might even provide you with a state tax credit.

Additionally, 529 funds do not have to be for a specific child. If your child gets a scholarship or decides not to attend college, you are free to change the beneficiary to someone else, even yourself. These accounts may also pass down and can be used by grandchildren.

Check Your Health Insurance Coverage

Health care costs might also be a huge part of any family’s budget. And while many employer-sponsored health insurance plans may provide you with decent coverage at a reasonable cost, this is not always the case. Some families with fixed annual health care expenses may benefit from a lower deductible plan that provides more coverage, while other families with infrequent health care costs might find a high-deductible health plan with lower premiums is an easier expense in their budget.

If you are not sure about your options, a financial professional or insurance broker may be able to provide more information.

 

 

Important Disclosures

The opinions voiced in this material are for general information only and is not a solicitation to sell any insurance product or security, nor is it intended as any financial or tax advice. For information about specific insurance needs or situations, contact your insurance agent. This article is intended to assist in educating you about insurance generally and not to provide personal service. They may not take into account your personal characteristics such as budget, assets, risk tolerance, family situation or activities which may affect the type of insurance that would be right for you. In addition, state insurance laws and insurance underwriting rules may affect available coverage and its costs. Guarantees are based on the claims paying ability of the issuing company. If you need more information or would like personal advice you should consult an insurance professional. You may also visit your state’s insurance department for more information.

Prior to investing in a 529 Plan investors should consider whether the investor’s or designated beneficiary’s home state offers any state tax or other state benefits such as financial aid, scholarship funds, and protection from creditors that are only available for investments in such state’s qualified tuition program. Withdrawals used for qualified expenses are federally tax free. Tax treatment at the state level may vary. Please consult with your tax advisor before investing.

This article was prepared by WriterAccess.

LPL Tracking #1-05268284

Homeownership: What It Could Mean for Your Estate Plan

There is one thing that we will most likely all do one day: regardless of your status in society, position at work, or whether you are tall or short, you may pass down assets to loved ones. When that day arrives, an estate plan is essential for managing and distributing those assets without too many hiccups. Physical real estate is one of the more valuable items on your asset list.

It is critical that you are knowledgeable of how the process works in your state and how to design an estate plan that can suit your wishes.

 

Ownership

How the property was owned can be the determining factor in what happens to it during the distribution phase of your assets. Depending on your estate plan, the home or the amount of equity you have in a home can transfer to heirs, beneficiaries, or surviving owners unless otherwise specified.

There are several ways to purchase real estate. Understanding these types of ownership and how they could impact you and your beneficiaries is crucial.

 

Sole ownership

Sole ownership is the possession by an entity or individual who is legally eligible to hold the title. Typically, sole ownership is held by single people, or married individuals who hold property apart from their spouse.

  • Pros
    • It is easier to complete transactions as no one needs to authorize the process.
    • You control what happens to your property.
  • Cons
    • The transferring of ownership from one owner to another is not a simple process especially if the owner didn’t have a will.
    • Your heirs will probably have to probate your estate to transfer the title.

Community property

This is a type of ownership by spouses during their marriage where they choose to own property together, equally.

  • Pros
    • Transferring assets to the surviving spouse may help them avoid being subject to probate.
    • There may be tax benefits.
    • Real estate acquired during a common-law marriage may also be held as community property.
  • Cons
    • Risk of the possibility of divorce.
    • There is a potential lack of flexibility if the agreement needs to be amended or revoked and both parties don’t agree.
    • Only certain states recognize community laws and benefits. Pay attention to the laws in your state.

Joint tenancy

Consists of an estate or property jointly held by two or more parties, with each party’s share passing to the other or others on death.

  • Pros
    • You may be able to bypass probate.
    • It is a means to address property gets passed to a specific party in the event of death.
  • Cons
    • If a co-owner has debts, their creditors may be able to seize an interest in your home.
    • If you are experiencing a testy divorce a joint tenancy could complicate matters.

 

Tenants in common (or joint ownership without right of survivorship)

This is a legal arrangement in which multiple parties share ownership rights in real estate property or land. It differs from joint tenancy as interests don’t have to be equal shares.

  • Pros
    • Upon death, you can bequeath your share of the property to a named beneficiary.
    • Shares in the property don’t have to be equal.
    • There is no right to survivorship (when one tenant dies, the other tenants’ shares increase in the amount of your interest).
  • Cons
    • All parties involved are responsible for monthly bills and other property payments.
    • If one tenant wants to sell the property, this can be problematic for others in the agreement.

 

Tenants by the entirety (TE)

TE is a type of ownership where each spouse owns an undivided interest in the property. Right of survivorship also applies here. Unlike community property, creditors of an individual spouse are not allowed to seize and sell the debtor spouse’s interest. They must have a judgment against both parties.

  • Pros
    • Allows the survivor to work to bypass probate.
    • Safeguards the home from claims against the other tenant while alive.
  • Cons
    • TE is not available in all states; and limits may apply to those where it is.
    • If one spouse dies, the surviving spouse is subject to debt or judgments that may be against them.

 

Ways to distribute real estate

  • Distribution of property to beneficiaries, either through probate, a trust, or other methods like a transfer-on-death deed.
  • Donating the home to charity.
  • Giving the home to a town or local college.

 

Consult a financial professional

Homeownership and estate planning can be extremely complex, and it is highly encouraged that you seek the help of a financial professional.

 

 

Important Disclosures:

This material was created for educational and informational purposes only and is not intended as legal advice. If you are seeking legal advice specific to your needs, such advice services must be obtained on your own separate from this educational material.

 

All information is believed to be from reliable sources; however, LPL Financial makes no representation as to its completeness or accuracy.

 

Sources:

 

Joint Tenancy: Benefits and Pitfalls (investopedia.com)

How Property Ownership Impacts Estate Planning | Trust & Will (trustandwill.com)

Tenancy In Common (TIC) Explained: How It Works and Compared to Joint Tenancy (investopedia.com)

What Is Tenancy by the Entirety? Requirements and Rights (investopedia.com)

Tenancy By Entirety: Defined And Explained | Rocket Mortgage

Tenancy By The Entirety States and Community Property States – Business Formations, Incorporate or Form an LLC and Protect Assets (companiesinc.com)

right of survivorship | Wex | US Law | LII / Legal Information Institute (cornell.edu)

 

This article was prepared by LPL Marketing Solutions

 

LPL Tracking # 565374

The Surprising Benefits of Getting Life Insurance Later in Life 

A common piece of standard life insurance advice is to get it as early as possible — and there are good reasons why. If you’re young and in relatively good health, purchasing a term life insurance policy is usually much cheaper than it will be a decade or two later.

But while it can seem counterintuitive, there are actually several surprising benefits to getting life insurance later in life. Continue reading to learn more about what you can expect if you purchase life insurance in your 50s, 60s, or beyond.

Coverage for Final Expenses

Many people who buy life insurance in their 20s or 30s consider income replacement. If you have a spouse or minor children at home, it can be critical to leave enough in life insurance proceeds to help cover lost income or pay your children’s college expenses.

But once your children leave the house, you no longer need an enormous life insurance policy. Instead, you may want to focus on covering more specific costs, like funeral expenses, medical bills, or the cost of settling your estate. This life insurance can help you plan (and pay for) exactly what you want without placing any financial burden on your loved ones.

Supplemental Retirement Income

Term life insurance covers a certain term of years and pays out only if you pass away during this period. But other types of life insurance, like whole life or permanent life insurance, will accumulate cash value over time. If you purchase these policies later in life, you can use this cash value as an extra source of retirement income—whether via a policy loan or a withdrawal.

Estate and Legacy Planning Tools

Life insurance can be crucial in estate planning, especially for people with significant assets or complex financial situations. This insurance can help cover any estate taxes and provide your heirs with liquidity, which can help ensure a smooth transfer of wealth to the next generation.

For those who want to leave their loved ones with a financial legacy, purchasing life insurance later in life lets you leave behind a tax-free investment or charitable gift.

Long-Term Care Benefits

Some permanent life insurance policies offer long-term care benefits or riders that can help cover the costs of assisted living or nursing home care. These policies may have more favorable terms than long-term care insurance policies, usually covering just a few years up to a maximum cap.

While purchasing life insurance at a younger age is generally more affordable, there are still a variety of valuable benefits to getting coverage later in life. Whether it’s providing financial protection for loved ones, supplementing retirement income, or facilitating your estate planning goals, it’s never too late to invest in life insurance.

 

 

Important Disclosures:

This material contains only general descriptions and is not a solicitation to sell any insurance product or security, nor is it intended as any financial advice. For information about specific insurance needs or situations, contact your insurance agent. This article is intended to assist in educating you about insurance generally and not to provide personal service. They may not take into account your personal characteristics such as budget, assets, risk tolerance, family situation or activities which may affect the type of insurance that would be right for you. In addition, state insurance laws and insurance underwriting rules may affect available coverage and its costs. Guarantees are based on the claims paying ability of the issuing company. If you need more information or would like personal advice you should consult an insurance professional. You may also visit your state’s insurance department for more information.

This information is not intended to be a substitute for specific individualized tax or legal advice. We suggest that you discuss your specific situation with a qualified tax or legal advisor.

This article was prepared by WriterAccess.

LPL Tracking # 553026

Exercise, Diet, and Financial Wellness – 3 Tips to Ensure You’re in Good Financial Health for Retirement 

To maintain good physical health, most people must exercise regularly, eat a balanced diet, and keep stress to a minimum. Achieving financial wellness is no different. It requires careful planning, smart decision-making, and consistent efforts toward improvement. Below, we discuss three tips to help you gain and maintain top financial health in retirement.

Figure Out Your Retirement Number

Just as you set concrete fitness goals for yourself, like running a half-marathon or losing 10 pounds, it’s crucial to set clear financial goals for retirement. The most critical of these goals is determining how much money you’ll need to maintain your desired lifestyle once you leave the workforce for good.

You’ll want to start with your current annual spending level to get a rough ballpark of this number. Then, subtract any budget items that will be reduced or eliminated in retirement, like clothing, dry cleaning, parking expenses, gas, and vehicle wear and tear. If you plan to pay off your mortgage or downsize your home in retirement, you can also eliminate these costs from your projected budget.

Next, add any additional costs for healthcare coverage, travel, and other leisure activities that aren’t part of your current budget. By crunching these numbers, you’ll have a much better idea of how much you’ll need each month.

Once you have your retirement budget, you can work backward to see how much of a nest egg you’ll need to cover these expenses. (Don’t forget your Social Security income!) Your retirement number can vary depending on when you’d like to retire. The younger you are at retirement, the longer you’ll be retired, and the more money you’ll need.

Create a Budget and Stick to It

Budgeting is like following a diet—it helps you track your spending, identify areas for reduction, and ensure you’re living within your means.

Start by tracking your expenses and categorizing them into essential and discretionary spending. Essential spending includes non-negotiable costs like your mortgage or rent, utilities, and debt payments. Discretionary spending includes categories with more wiggle room, like food and entertainment. Keeping your essential costs as low as possible will free up more funds for saving and discretionary spending.

Pay Down Debt and Potentially Avoid Financial Pitfalls

Debt can weigh you down, just like extra weight can affect your physical health. Prioritize paying off high-interest debt, like credit card balances, personal loans, and auto loans. This can go a long way toward reducing financial stress and freeing up funds for saving and investing.

Much of wise money management isn’t in what you do but in what you avoid. You’ll be ahead of the game by steering clear of the most common financial pitfalls—overspending, borrowing beyond your means, or failing to save for emergencies. Just like crash diets can cause your weight to quickly rebound once you resume your normal habits, quick-fix financial solutions can have adverse consequences in the long run.

 

 

Important Disclosures:

The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual.

This article was prepared by WriterAccess.

LPL Tracking # 552909

 

How Will My Children Pay for College? 7 Tips to Help You Plan, Save, and Pay

As a parent, one of the most significant concerns is ensuring that your children have the financial resources they need to pursue higher education. With college tuition costs continuously rising, it’s no surprise that many parents stress about their children’s future college expenses. It is never too early to start planning and saving for college or changing spending habits to prepare for education expenses.

  1. Start saving early

The best way to ensure you have enough funds for your children’s college education is to start saving as early as possible. Thinking about college expenses when your children are still young may seem unusual. However, the earlier you start, the more time you have to save and plan. Even small contributions can add up over time and make a significant difference in covering the cost of college. Here are some education savings strategies to consider:

529 Plans
529 plans are tax-advantaged savings plans designed to save and pay for college. There are two types:

  • Education savings plans- Education savings plans grow tax-deferred, and withdrawals are tax-free when the monies are used for qualified education expenses.
  • Prepaid tuition plans- Prepaid tuition plans allow the account owner to pay today’s tuition rates for future attendance at a college or university.

Coverdell Education Savings Account
A Coverdell Education Savings Account, also known as an ESA, is a tax-deferred account where earnings and distributions are tax-free as long as the funds are used for educational purposes.

  1. Cut unnecessary expenses

Look at your current monthly expenses and identify areas to cut back. It could be as simple as eating out less, canceling unused subscriptions, or finding more budget-friendly entertainment options. You can free up extra cash for your children’s college fund by cutting unnecessary expenses.

  1. Create a budget

Creating a detailed monthly budget can help you track your spending and identify areas where you can save. Ensure you include all your expenses, including groceries, utility bills, and other necessary expenditures. Stick to your budget and find ways to save even more each month.

  1. Consider a side hustle
    In addition to cutting expenses, you can also look for ways to increase your income. Consider taking on a part-time job or picking up a side hustle. Many people have found extra income by freelancing, selling items online, or providing tutoring or pet-sitting services. The extra income can go a long way in supplementing your children’s college fund.
  2. Explore financial aid options

Feel free to explore all available financial aid options. Your children can apply for numerous scholarships, grants, and loans to help cover their college expenses. Many schools also offer work-study programs that allow students to earn money while studying.

  1. Involve your children

It’s essential to involve your children in the conversation about college expenses. Let them know the realities of the costs and the importance of planning and saving, and encourage them to research and apply for scholarships and grants to help mitigate their financial burden.

  1. Consider alternative pathways

Lastly, it’s essential to remember that there may be better options than a traditional four-year college for your children. Consider alternative pathways such as trade or vocational schools that offer specialized training and qualifications that may lead to well-paying jobs.

In conclusion, paying for your children’s college education can seem daunting, but it is achievable with planning and changes to your spending habits. By starting early, cutting unnecessary expenses, creating a budget, and exploring financial aid options, you can alleviate some of the financial burdens of college. Remember to involve your children and consider alternative pathways if necessary. With these tips, you can help set your children up for a productive and independent future.

 

 

Important Disclosures:

The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. To determine which college plan(s) may be appropriate for you, consult your financial professional.

Prior to investing in a 529 Plan investors should consider whether the investor’s or designated beneficiary’s home state offers any state tax or other state benefits such as financial aid, scholarship funds, and protection from creditors that are only available for investments in such state’s qualified tuition program. Withdrawals used for qualified expenses are federally tax free. Tax treatment at the state level may vary. Please consult with your tax advisor before investing.

All information is believed to be from reliable sources; however, LPL Financial makes no representation as to its completeness or accuracy.

This article was prepared by Fresh Finance.

LPL Tracking #552474

Sources:

https://money.usnews.com/money/personal-finance/articles/ways-to-save-for-your-childs-college-education

https://www.investopedia.com/terms/1/529plan.asp

Senior Cyber Safety – How to Avoid a Cyber Identity Crisis

You may have thought your digital identity was safe and not a likely target of a cybercriminal until one day, the bank calls wondering if purchases made at a store that you have never been to, 2,000 miles away, were made by you. Every day, similar scenarios play out for unsuspecting victims across the country and the world. Cyber scams and other cybercrimes have proven to be an escalating problem that requires people to be especially vigilant when using electronic devices.

 

Senior citizens, in particular, may be an attractive target for cybercrime because thieves may assume that they are not as technologically savvy or that they are easier to manipulate and convince to part with their money. According to Morgan Stanley, senior citizens lost an estimated $1.7 billion from cybercrime last year alone. [i]

 

It could be helpful to enlist the assistance of a financial professional who can help monitor your retirement and investment accounts to help eschew malicious behavior from cybercriminals. We want to share several ways seniors can work to circumvent falling victim to a cyber-predator.

 

6 Precautionary Measures to Help Seniors Identify and Avoid Cybercrime

 

Use a strong password – Safeguard access to your electronic devices and accounts with a secure password. Do not share this passcode with anybody you do not know or trust.

 

Enable multi-factor authentication – In many cases, you can turn on a second layer of defense via multi-factor authentication. A two-factor authentication process may require a fingerprint or facial scan (biometric login) and a one-time code that gets sent to your phone. [ii]

 

Ensure cybersecurity software is installed and up-to-date – Having proper protection software can thwart malware attacks, viruses, or other malicious attempts from criminals to infiltrate your computer and steal your information.

 

Avoid public Wi-Fi hotspots – When you are in a public space, like a bookstore or café, it is tempting to use the free Wi-Fi. However, this is not a secure place to perform actions online like financial transactions, banking, or even shopping because criminals may be able to steal your information.

 

Don’t just click – Pay close attention before clicking on anything. Where did the email or link come from? Sometimes criminals will send you emails or texts pretending to be a family member or friend. If you are unsure, call that person on the phone, and ask them if they sent you an electronic message.

 

Utilize a Virtual Private Network (VPN) – Encryption technology using a VPN can be a powerful measure that can shield your information from being seen by the government, social media, cybercriminals, search engines, and even your service provider. A VPN is essentially a secure tunnel between your device and the internet. For individuals interested in obtaining a VPN, there are different options available and numerous resources online that can help with selecting the appropriate one. [iii]

 

In addition to being cautious and taking preventive measures to mitigate the risk of having your information compromised, consider consulting a financial professional who can be another set of eyes on your retirement and investment accounts. It is better to be cyber safe than sorry.

 

Important Disclosures

The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual.

 

All information is believed to be from reliable sources; however LPL Financial makes no representation as to its completeness or accuracy.

 

This article was prepared by LPL Marketing Solutions

 

Footnotes:

[i] Internet Safety and Cybersecurity for Seniors | Morgan Stanley

[ii] 4 Things You Can Do To Keep Yourself Cyber Safe | CISA

[iii] 10 Best VPN Services Of 2023 – Forbes Advisor

 

 

LPL Tracking # 1-05359940

 

Wealth, Success, and Mental Health: Finding the Balance Between Wealthy and Healthy 

April marks Stress Awareness Month, which provides a great opportunity to shed light on a topic often overlooked in the world of high-net-worth investors, which is mental health. For anyone who is used to managing substantial wealth, the pressure to sustain success may take a toll on your mental well-being.

Here are some of the mental health challenges that high-net-worth individuals may face, how to address stigmas surrounding the issues, and a few practical tips to help you prioritize your mental health while continuing to pursue wealth and success.

Isolation and Loneliness

Wealthy individuals often find themselves isolated due to the challenges of managing significant assets. Common fears of being misunderstood or taken advantage of may further contribute to feelings of loneliness, particularly for those who grew up in lower-income families and then became wealthy.

Perfectionism and High Expectations

Pursuing success may breed perfectionism and high expectations. Constantly striving for excellence may lead to chronic stress, anxiety, and a never-ending quest for validation along the way.

Fear of Failure and Financial Stress

Even when you have financial success, the fear of an economic downturn or other crisis may be a constant source of stress. The pressure to maintain a certain lifestyle may also create a perpetual cycle of anxiety.

Stigma Around Mental Health

It’s common for high-net-worth individuals to hesitate to seek help due to the stigma surrounding having mental health problems. The misconception that money equals happiness may deter people from acknowledging, let alone addressing, their mental health struggles.

Tips to Help You Prioritize Your Mental Health

Here are some tips to up-level how you deal with your mental health.

Break the Silence

Challenge mental health stigmas by openly discussing mental health issues within your social and professional circles. By sharing your experiences, you may also create a supportive environment that encourages others to seek help.

Get Professional Guidance

Just as you consult financial professionals for wealth management and attorneys for legal advice, enlist the help of mental health professionals to navigate any struggles or challenges with your emotional and mental well-being. Therapists and counselors may provide valuable insights and coping strategies you may not be able to discover on your own.

Establish Work-Life Balance

Integrate regular downtime into your schedule to help avoid burnout. Setting aside time for hobbies, family, and self-care may help you maintain a healthier work-life balance and leave work-related stress at work.

Set Realistic Expectations

It’s important to understand that perfection is unattainable. Establishing realistic goals may alleviate the self-imposed pressure that comes from trying to maintain unattainable standards.

Practice Mindfulness and Stress Reduction Techniques

Incorporate mindfulness practices like meditation, yoga, and deep-breathing exercises into your routine to help manage stress and promote mental well-being.

Wealth, success, and mental health are intricately intertwined. This Stress Awareness Month, we want to encourage a more holistic approach to success that encompasses financial prosperity and mental well-being. After all, true wealth isn’t just found in your bank accounts but also in the overall happiness and fulfillment you find in life.

 

 

Important Disclosures:

The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual.

This article was prepared by WriterAccess.

LPL Tracking #540923

Asking for Help Is a Strength, Not a Weakness. Here Are 10 Ways a Financial Professional Can Assist You.

Often, there is a misconception that seeking financial help indicates incompetence or lack of financial self-sufficiency. However, seeking help is the exact opposite. High-performing individuals who excel in their respective fields adopt a more pragmatic approach – they understand the importance and benefits of employing a financial professional’s services.

Seeking the help of a professional to assist in one’s wealth planning leaves more time for them to focus on their primary specialty area, thus driving efficiency in managing results. Often, these individuals are focused on their careers, are business owners, or are high achievers with many goals. Here are ten ways a financial professional can assist high-performing individuals work toward improving their financial health.

  1. Planning for goals

A financial professional can develop a customized plan considering income, expenses, financial goals, risk tolerance, and investment strategies. This holistic plan considers all aspects of a high-performing individual’s financial life and aligns them with their goals.

  1. Planning for retirement

It’s vital to start planning early to maintain your desired lifestyle while working and after retirement. Financial professionals will work to understand your retirement lifestyle goals and devise a comprehensive plan based on your goals, risk aversion, and timeline.

  1. Investment advice based on your situation

Investing can be a complex process. A financial professional can help with investment diversification and recommend suitable investment strategies to help manage financial goals.

  1. Tax planning

Efficient tax planning can result in significant financial savings. Financial professionals are equipped to recognize your tax liabilities and objectively propose strategies to mitigate taxes.

  1. Risk management and insurance

From health insurance to life and property insurance, financial professionals can help you understand the importance of appropriate insurance coverage. Your assets may avoid early depletion with suitable insurance, making insurance essential to asset preservation.

  1. Debt management

Too much debt can hinder financial independence. Financial professionals work with you to determine appropriate strategies for prioritizing and paying off debts, maintaining a healthy credit score, and working toward financial confidence.

  1. Estate planning

Comprehensive estate planning ensures efficient wealth transfer to beneficiaries. Financial and legal professionals together will help guide you through complex processes such as drafting a will, setting up trusts, and tax implications based on your situation.

  1. Education funding

Whether you’re funding your child’s education or returning to school yourself, a financial professional can guide you on appropriate strategies for paying for education without jeopardizing your financial goals.

  1. Emergency funding

Unexpected situations that require immediate financial resources may arise. A financial professional will help develop a strategy for creating an emergency fund and determine the appropriate amount to set aside as you work toward a fully funded emergency fund.

  1. Behavioral coaching

Money decisions often involve a lot of emotions; market ups and downs and other significant life events can derail your long-term financial goals. If your emotions dictate your investment decisions, a financial professional can help you manage them to keep you on track toward pursuing your goals.

Remember, financial wellness is not just about acquiring wealth; it’s also about managing and preserving it for the future. High-performing individuals must seek guidance in this endeavor, as managing finances requires the help of a financial professional, time, and continuous effort.

 

Important Disclosures:

This material was created for educational and informational purposes only and is not intended as tax, legal, insurance or investment advice. If you are seeking advice specific to your needs, such advice services must be obtained on your own separate from this educational material.

All information is believed to be from reliable sources; however, LPL Financial makes no representation as to its completeness or accuracy.This article was prepared by Fresh Finance.

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Sources

https://www.forbes.com/advisor/investing/financial-advisor/what-is-a-financial-advisor/