Coffee to Car Payments

Nice to meet you! Now "Happy New Year!"

Well!  I'm sitting here on the last day of the year reflecting.  Mostly, I'm thinking of all of the great people I have met this year and I'd just like to acknowledge a few here and wish them a "Happy New Year!"

Larry Lehmer worked for the Des Moines Register for 24 years and has won 15 Pulitzer prizes.  His business, "When Words Matter" is dedicated to helping preserve, celebrate, and share your personal and family history.  Think about it.   What is it that you wish you knew about your grandparents?  There's a lot more to a legacy than money.

Art Dinkin and I often write about some of the same financial topics.  It's always enjoyable to sit down with Art over a cup of coffee and talk.  I've learned a lot from him.  It's refreshing to meet someone in the same profession who is willing to share their knowledge without feeling threatened by you.

Angela Maiers eagerly welcomes all learners.  Her profession is working with educators to better equip them to help their students reach their highest literacy and learning potential.  When you talk to Angela, her passion for helping others grow becomes very apparent.

Sandy Renshaw is a valuable resource for helping businesses improve their visibility using communication technologies and techniques.

Corey Garrison: Imagine for a second that all of your prospects are in one room, just to learn about you.  Corey and the team at REL Productions will help you craft a story that resonates with them.

Timothy Johnson is the Chief Accomplishment Officer at Carpe Factum.  "Carpe Factum” is the Latin equivalent of “Seize the Accomplishment.”  He also has two books so far to his credit.  I am partway through his latest one called GUST: The "Tale" Wind of Office Politics.

Adam Steen helps growing businesses seeking capital or other growth-related resources connect with the right people to form the "capital" relationship needed to succeed.

Rita Perea is a keynote speaker, leadership consultant, and executive and personal coach.  I only had the priveledge of talking to her once but the statement she made that sticks in my mind is "Everyone needs a cheerleader once in awhile....someone in their corner."

Sherry Borzo is an entrepreneural spirit with a passion for building a community of like-minded customers and businesses who share her desire to bolster the efforts of central Iowa entrepreneurs.

Drew McLellan is a branding and marketing expert and "top dog at McLellan Marketing Group".  He is also the author of "99.3 Random Acts of Marketing"

I wouldn't have met any of these great people that I've mentioned so far if I had not been introduced to them by the "Blogfather" of the Iowa Blogging Mafia, Mike Sansone, who coaches business leaders and random guys like me to use blogs and social media as platforms for conversation.

Last but not least, I would not have met Mike if we had not been introduced my friend Barb Gordon, who, along with CPA Brent McLure founded Business Network Group as another way for Central Iowa professionals to meet and share ideas, information, and referrals.

It was a pleasure getting to know all of you this year and, I look forward to many more conversations in 2008

Confused about how the Home Ownership Accelerator works?

Here is a video presentation that will help you understand it much better:

"Are we there yet?"

Another childhood memory I have is when my family went on vacation.  I was 21 before I ever went any further west than Omaha, Nebraska.  Most of our trips were in the eastern states.  We'd go to Tennessee, Illinois, Connecticut, Florida, and Toronto, Canada.  One thing that all of these trips had in common was the I-80 bridge going over the Mississippi river between Iowa and Illinois.  I remember looking out the window and thinking it was the greatest thing ever.  When we were starting out, I was excited because it meant we were leaving Iowa and, when we were returning, that was when I stopped asking "Are we there yet?"  because I knew it meant we were almost home.

Since I've learned to drive, I've made countless trips myself over that bridge.  It's still a landmark of sorts.  I don't get excited anymore but, on the return trip it still means I'm almost home. 

I never really thought too much about it until a couple years ago but, I started to think about why I am comfortable going across that bridge.  After all, there's a lot of water down there and I can't swim. 

Okay, I grew up in a strict Pentecostal church and it was pretty hard to swim in long sleeves and pants with dress shoes on.

Anyway, I thought about how much different I would feel going across that bridge if there were no guardrails.  I mean, I would drive slower, straddling the center line if there were no guardrails but, even if I were the best driver in the world, there would still be things that are beyond my control like other drivers.   

That is why I like to make sure, in my business, that my clients have some level of security in their financial future.  That's why I chose Bridges Financial as the name of my business.  You know, whether it's that bridge over the Mississippi or any other one I've driven over, I have never once used those guardrails, but I sure am glad they're there! 

Grandma loved puzzles

I remember growing up that one of my favorite things to do was help my Grandma put together puzzles.  We'd always dump the pieces out on the table.  Then we would sort out the edge pieces.  We would put all of the inside pieces back in the box.  Then we'd prop the box lid up so we could look at the picture and we'd go to work putting it together.

When I think about it, it's a lot like what I do when I meet a client and start the financial planning process.  First we get all the pieces out so we can see what we're working with.  Then, we make sure that the framework or foundation pieces are all there.  These pieces are the most important and should be looked at first.  Once we are finished with the foundation, we can go to work filling in the picture.  Think about it for a minute though.  How much harder would it be without the box lid?  First we have no idea what the finished picture looks like.  Secondly, we can't even count the pieces to make sure they are all there.  The box tells us how many pieces there are supposed to be.  We may find a couple random pieces that fit together.  Once that happens, we focus on that part of the "puzzle" and ignore the rest. 

That is why I use a Priority Planning Review.  It helps me see what is most important to my client and what the first step needs to be.  "Financial planning is a process, not an event and is never finished"

What's the Real Question?

My blog coach advises novice writers like myself to give readers an eye rest.  A fellow blogger astutely determined that there's not much that's easier on the eyes than Kate Walsh. 

In today's retirement game, the real question isn't about whether your plan is a tradional IRA or a Roth IRA.  The question isn't about Modern Portfolio Theory, asset diversification or the host of available investment options including mutual funds, hedge funds, exchange-traded funds, government bonds, annuities or any of that.  No, in today's retirement game, the real question is "Will you be able to generate enough income from the money you've saved to let you focus on the fun part of your retirement, and when you turn that income stream on, will it return the favor?"

So, when you are considering making changes to your retirement plan, don't forget to think about it in terms of income.  Many fixed-index annuities today include what is know as guaranteed lifetime withdrawal benefits.  They are structured so that if you were to move a portion of your retirement savings into one at say 45 years of age, you would know exactly how much income, at minimum, you could count on when you were 60 or 65 years old.  It could easily be compared to setting up your own pension. 

What if you wanted to meet me?

One thing that I really enjoy doing is sharing my thoughts and ideas with everyone who reads this.  I try to share things that someone may find useful.  Someday, maybe something I have shared will be of value to you and the timing will also be right.  Then what?

For example maybe you've been thinking about the Home Ownership Accelerator and would like to walk through the simulator together to see if it's right for you. 

You and I would start either playing phone tag or there would be a volley of emails.  Eventually, we would make contact and then be able to discuss whatever it was that you wanted to discuss. 

Well, I want to make it easy and convenient for you to work with me.  So I decided I'd try to provide a way for you to pick a time on my calendar that works for you.   You can schedule an hour-long appointment or just a quick phone call (10 min.).  You request an appointment and it's yours.  You pick a time for me to call and I'll call you.  No more phone tag or email volleys.  How does that sound?

I'm open to any feedback you have on this.  Let me know if you think it's a good idea.

What is it that you always wanted to do?

Retirement means different things to different people.  What would you do if it wasn't for the need to earn an income?  Maybe you want to travel, spend time with family, golf, fish, read, whatever.  Retirement is your golden opportunity to do whatever it was that you never got around to doing when you were busy working.  Maybe you always wanted to start your own business.  If so, it's likely that you have a passion for that line of work but providing for your family came first and you stayed at a job for 20 or 30 years to make sure that they had every thing they needed.  Well, it's never too late.  Forget bingo! 80 is the new 30. 

Then comes the question of how to finance your dream.  There are creative ways to finance your small business.  One that not may people know about is a self-directed IRA.  There are companies that can assist you in rolling over your IRA to a self-directed one that would then own your company.  That way, you don't get hit with taxes and maybe penalties for surrendering it.  Another advantage is that once your business becomes profitable, you are still in control of how much personal income you draw and the subsequent taxes you pay.  These companies usually charge a fee but it is worth it in the right situation because of all of the other benefits.  I have a company that I trust to handle these transactions for my clients.

Return of premium term

In a previous post , I wrote about choosing a life insurance policy and talked about the difference between ROP term and traditional term life insurance.  In a nutshell, you get the coverage you need for as long as you need it and your money back if you don't.

I just wanted to share this post where my friend, Art Dinkin, does a very good job of explaining how to analyze these policies to see if the extra premium is worth the investment.

Related articles

• Protect your family without breaking the bank [via Zemanta]

Now the goose is on the table.

College football is done for the year.  No tailgating at a Hawkeye bowl game this year.  You're wondering what to give that high school senior on your Christmas list.  Do you go to your wife's office Christmas party or yours if they fall on the same night (Hint: You always go to hers.).  You're finishing up all of those little project you started around the house this summer because the family is going to be staying with you. 

Somehow, you still want to make time to consider year-end tax strategies to ensure that you maximize your deductions for this year and set yourself up for a prosperous 2008.  Make sure you meet with your tax professional before the end of the year to make sure you don't overlook anything.