What exactly is lifestyle creep? Lifestyle creep is the gradual increase of your spending as your income increases. The danger of lifestyle creep is that it happens gradually over an extended period, making it hard for you to notice. If you want to make sure you are building wealth as your income increases read these four points to keep your financial life on the right path.
Ideally, no one wants to enter retirement during a prolonged and significant market decline. After all, a market shock reduces a client portfolio's value, diminishing the amount that can safely be withdrawn. There are levers that can be pulled to help increase your chances of meeting your retirement goals even during dips in your account values.
Environmental, social and governance (ESG) investing is growing in popularity among investors and financial advisors. With this increased popularity comes a growing list of funds and specialized strategies to use in an asset allocation plan. One reason more people are shifting money towards ESG investments is greater research by academic and investment institutions showing potential risk and performance benefits by businesses who implement ESG policies.
Covid-19 has created multiple challenges for how we live, work and invest. For those close to or in retirement the pandemic has impacted their emotions around money, lifestyle expectations, and how much to withdraw from their accounts. Through the ups and downs of different types of investments it is best to focus on what you can control and follow these general withdrawal strategies during retirement.
I moved my family and financial planning practice, Peterson Wealth Advisory, to Crossville, TN in 2013. This was going to be a great opportunity to share the difference a comprehensive financial planning advisor can make towards meeting client financial and retirement goals. Individuals, families and businesses in Crossville, Fairfield Glade and the Upper Cumberland region would now be able to work with a fee-only, fiduciary, Registered Investment Advisor firm with an advisor who holds the Certified Financial Planner™ certification.
It can be tough to pass up a tax break by choosing Roth 401(k) contributions over traditional deferrals, but you need to think ahead when saving for retirement. Paying taxes now might help you save thousands – or even tens of thousands – in net taxes. That is additional money that can come in handy in retirement.
