Urban Thought Collective

We hit an exciting milestone a couple of years ago. The 20th anniversary year of our practice serving the community!

CONCERNS OVER MONEY
During our most recent strategic planning session, we spent time identifying the top four concerns that most people have about money. We came up with the following list of desires that most seem to have:

• Achieving full career potential (i.e. climbing the corporate ladder, successfully changing careers and/or becoming an entrepreneur. All options intended to lead to a comfortable retirement).
• Enough money to provide for family in case of an untimely death.
• Getting paid adequately and what you’re worth.
• Generating enough money to live the desired lifestyle.

WHAT ARE YOUR FINANCIAL PRIORITIES?
Rank in order 1 – 11 (1 being the most important)

________ Church/Favorite Charities (monetary donations)
________ Current credit card debts
________ College bills (i.e. student loans/continuing education)
________ Financial support of Child(ren)/Parent(s)/other relatives
________ General living expenses (food/rent or mortgage)
________ Hobby (i.e. golf, sailing, deep sea fishing, hiking, tennis)
________ Luxury Items (i.e. high end vehicle/new car, 1st class accommodations)
________ Personal Pampering (Hair cuts/perms, Spa, manicures/pedicures)
________ Retirement Savings [IRA/Roth IRA/401(k)]
________ Vacations/Homecomings/Out of town trips
________ Weekly entertainment (i.e. movies/social events/dining out)

WHAT ARE SOME OF THE NEXT STEPS?
After you identify your priorities, perform some research to help you start to develop your plan and some strategies. For those on the web, you can visit a number of websites including: www.aaii.com; www.aicpa.org/financialliteracy; www.blackenterprise.com; www.cambridgeadvisors.com; www.financial-planning.com; www.kiplinger.com/personalfinance; www.masteringyourmoney.com or www.wealth.bloomberg.com.

If you are not on the web, you can visit your local library and checkout any number of books including some of the following to get you started:

• Facing Financial Dysfunction: Why Smart People Do Stupid Things with Money, by Bert Whitehead, JD
• Girl, Get Your Money Straight: A Sister’s Guide to Healing Your Bank Account and Funding Your Dreams in 7 Simple Steps, by Glinda Bridgforth
• Rich Dad Poor Dad, by Robert T. Kiyosaki and Sharon L. Lechter, CPA
• The New Retirementality: Planning Your Life and Living Your Dreams…at Any Age You Want, by Mitch Anthony
• The Millionaire Next Door, by Thomas J. Stanley, PhD and William D. Danko PhD

DO YOU NEED MORE HELP?
Although many people handle their own taxes, estate/legacy planning, financial and business planning, how do they know if they’re identifying the most relevant data for their circumstances or taking advantage of the best practices?

One of the most challenging concepts is identifying what you don’t know or where there is a gap between theory and practice. Most professional advisors will agree that the value they normally add to their clients is the wisdom gained through years of experience.

Knowing what questions to ask and what definitely does and does not work puts your advisor at an advantage without you having to be the first guinea pig.

Remember, your best friend’s brother’s cousin (who you are not paying) might provide some direction but most likely will not be engaged throughout the entire process, that’s not his job and free advice is just that, free and not customized to your unique situation.

Remember, if you decide to have a checkup with a professional, you want to have a brief phone conversation to determine if his/her knowledge meets your needs. It is especially important to ask around the community about reputation and read materials generated by the office such as brochures, websites, articles, etc. If you need financial planning including investment advice, it is recommended that you use someone who is a registered investment advisor and holds a certification such as Certified Financial Planner (CFP), Personal Financial Specialist (PFS), Chartered Financial Consultant (ChFC) or other licensed individuals. The key is selecting an experienced individual who continues to study in the financial planning arena and has taken the time to become a licensed professional.

Always remember, knowledge is power!

Genevia Gee Fulbright, CPA is President & COO of Fulbright & Fulbright, CPA, PA, a business strategist, tax advisor and author of Make the Leap: Shift from Corporate Worker to Entrepreneur and most recent book Make the Leap: From Mom & Pop to Good Enough to Sell (Infinity Publishing). Her sound financial planning advice tips can be read regularly on www.urbanthoughtcollective.com. Visit Fulbright at www.makeleap.com.