Missional Money Podcast: Recent Episodes
Jim Munchbach
Welcome to The Missional Money Podcast where you build a compelling Financial Plan Online with CFP® Professional Jim Munchbach. Each week you get Tips, Tools, and Toys to Save More Money, Pay Lower Taxes, And Build a Better Retirement." This dynamic podcast is specifically designed for DIY Investors, Families, and Small Business Owners, empowering you to take control of your financial future. 💼💰🏠
Join us on this engaging podcast journey as we provide invaluable insights and practical wisdom to help you navigate the complex world of personal finance and wealth management. Whether you're a DIY Investor looking to grow your investments, a Family striving for financial security, or a Small Business Owner aiming for sustainable success, The Missional Money Podcast has something for everyone. 💡🌟📈
Throughout each episode, we deliver a treasure trove of Tips, Tools, and Toys to Make Your Money Count. From time-tested strategies to cutting-edge resources, we leave no stone unturned in equipping you with the necessary tools for financial success. Expect in-depth discussions on investment strategies, tax optimization techniques, retirement planning insights, and much more. 💼💡🔑🚀
Crafting a compelling Financial Plan is not just a service we offer; it's a transformative process we guide you through. We understand that financial success is a journey, and we provide The Blueprint for Financial Success as our framework for helping you create a compelling Financial Plan in all the important areas of your financial life:
🏦 Financial Independence or Retirement Planning 🛡️ Risk Management or Insurance Planning 📜 Estate Planning 🎓 Education Planning 💰 Tax Planning Strategies 📊 Investment Management Strategies 💸 Cash Flow Management
With our assistance, you'll gain clarity, direction, and the confidence to achieve your dreams while building a better financial future. 📈💼💪
The Missional Money Podcast is your go-to resource for mastering the essentials of personal finance and wealth management. Together, we'll embark on a transformative journey, equipping you with the skills, knowledge, and resources to thrive financially. Tune in now and join our community of DIY Investors, Families, and Small Business Owners on The Missional Money Podcast. Your financial freedom awaits! 🌟💼💰
Succession Planning for Business Owners, Investors, and Financial AdvisorsSuccession Planning: 7 Critical Steps
Succession planning is a critical process that impacts both investors and their investment advisors. Understanding this process ensures that clients' financial interests are protected and that advisors can smoothly transition their businesses when necessary. Here’s a guide to help you and your investment advisor navigate this important journey together.
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Purpose-Centered Financial Planning
Sponsored by BayRock Financial For Women of Wealth, Business Leaders, and Financial Planning Professionals
Purpose-Centered Financial Planning: Aligning Your Financial Goals with Your ValuesIn today's complex financial landscape, many individuals and business owners struggle to find financial advice that truly aligns with their values and long-term goals. Purpose-Centered Financial Planning aims to bridge this gap by focusing on What Matters Most to clients, offering a holistic approach that integrates their personal and professional aspirations.
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Day 7: Clarifying What Matters Most - to You 📽‼️
Welcome to Day 7 of "30 Days to Make Your Money Count." Today, we embark on a journey of self-discovery and clarity as we explore the importance of defining what matters most to you.
Click Here to Download Chapter 3 Powered by Purpose
Meet The Millionaire Next Door
The Millionaire Next Door was written by Thomas J. Stanley and William D. Danko. The Millionaire Next Door was originally published in 1996.
The book explores the concept of wealth accumulation and challenges common misconceptions about millionaires.
The authors conducted extensive research to understand the characteristics, habits, and lifestyles of millionaires in the United States.
The main premise of the book is that many millionaires are not the flashy, extravagant individuals often portrayed in the media.
Instead, the millionaires next door tend to live modest and unassuming lives. The authors identify seven key characteristics of these “millionaires next door”:
- Frugality: Many millionaires are diligent about controlling their expenses and living within their means.
- Savings and Investing: Millionaires focus on saving a significant portion of their income and investing wisely. They prioritize long-term financial goals over short-term consumption.
- Education: Education is highly valued among millionaires. They tend to be lifelong learners and invest in their own knowledge and skills.
- Entrepreneurship: A significant portion of millionaires are self-employed or own small businesses. Entrepreneurial ventures have contributed to their financial success.
- Avoiding Debt: Millionaires tend to avoid excessive debt and are cautious about taking on financial liabilities.
- Ownership of Appreciating Assets: Millionaires often invest in assets that appreciate over time, such as real estate, stocks, and businesses.
- Discipline and Persistence: Achieving millionaire status requires discipline, hard work, and perseverance over the long term.
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30 Days to Make Your Money Count
Over the last decade a small, secret group of Jesus Followers have been working to raise up a new breed of wealth managers.
This special group of wealth managers is focused on helping people create a better plan for using their money, to make a difference. To make a difference in their communities. To make a difference in culture. To make a difference, in the world. And, as always, to make a difference in the lives of the people they love.
We all know, that true wealth, is not about having more toys and trinkets. True wealth is about influence, and impact.
Money is tangible, but money is also emotional in nature. It's necessary for the exchange of goods and services, but money is also, often, what divides spouses and families. Money is a primary source of permanent scars among loved ones. It's used to rebuild entire nations and their infrastructure, but money is equally vitalto support the poorest among us, for food and shelter.
If you're a Financial Advisor, and if you want to learn more about our special group of financial influencers, join me, on The Salty Advisor Podcast.
In each episode, we take a fresh dive into the principles, and the process, of building wealth. If you're ready to take your Financial Planning Process to the next level, Enroll today at MissionalMoney.com
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Amazon Employee Investment Strategies
Hey Amazon employees, welcome to an enlightening episode of The Missional Money Podcast. Today, we're exploring Amazon 401k Optimization Strategies with an eye on maximizing returns and minimizing risk. Back in 2019, Nick had $100,000 invested solely in the VANGUARD TARGET 2040 Blended Fund. However, after meeting with me (Jim Munchbach, CFP® Professional, for a quick Financial Planning Review, I suggested that Nick consider putting a couple of my favorite investment strategies to work in his Amazon 401k plan. I wanted to test my marketing team with our new army of AI soldiers (too many to list here in this post, much more to come in future posts about AI and the AI Tools we use at BayRock Financial).
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What is Fiduciary Advice?* What is Fiduciary Advice by Investopedia * What is Fiduciary? Let's Ask Clark * Independent Fiduciary Advice vs. Financial Advisor * Fiduciary Advice vs. Financial Planning Education * Fiduciary Advice vs. Financial Coaching * Independent Fiduciary Advice Fee Structure * Hidden Fees and Conflicts of Interest * Fiduciary Advisory Client Onboarding * Client Onboarding Risk Tolerance * Client Intake Forms * Client Onboarding Legal Documents * Client Onboarding Agreements * Fiduciary Advice and Advisor Coordination * The Financial Planning Gap Analysis
Watch The Video - Click HereHi, I'm Jim Munchbach, CFP® Professional and Independent Fiduciary Advisor. As CEO of BayRock Financial, I provide Financial Planning and Investment Management services to clients who pay me a fee to be their Independent Fiduciary Advisor.
I also provide lots of free Financial Coaching for DIY Investors with educational content on my blog and social media platforms. I specialize in helping small business owners Save More Money, Pay Lower Taxes, And Build a Better Retirement 💼💰
📚 Background & Expertise: I spent the first half of my career on Wall Street, learning the secret sauce of wealth management. As a Certified Financial Planner™ Professional (CFP®), Chartered Life Underwriter (CLU®), Chartered Financial Consultant (ChFC®), and Chartered Property Casualty Underwriter (CPCU®), I possess the knowledge and skills to help you navigate the complexities of the financial world. 💼📚
💡 Value I Offer: As an Independent Fiduciary Advisor, I'm dedicated to helping individual investors, families, and business owners manage the risk and opportunity of everyday life, recover from the unexpected, and realize their highest purpose.🚀
🔹Independent Fiduciary Advice at BayRock Financial, a Texas based RIA. Jim Munchbach, CEO and CFP® Professional.
🔹📽️ https://bayrockfinancial.com 🎙️🔹
FinancialPlanning #Podcast for DIY Investors, Families, and Small Business Owners
📽️Jim Munchbach, Host at The Missional Money Podcast: 🎙️
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Financial Planning Podcast for Financial Advisors
📽️Jim Munchbach, Host at The Salty Advisor Podcast:
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Connect with Jim Munchbach on YouTube, LinkedIn, Twitter, Facebook, and Telegram: @JimMunchbach
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Getting Started on your Financial Planning JourneyGetting started can be a little scary. Or, it can be exciting. I'm getting started with a new Fitness Coach - Justin Howell. Today's lesson is Getting Started, you can watch Justin's video on YouTube
Here's how Justin opens his video: "Thoreau once said that human life is wasted in waiting."
“Heaven is under our feet as well as over our heads.” “A man is rich in proportion to the number of things which he can afford to let alone.” “Rather than love, than money, than fame, give me truth.” “For my greatest skill has been to want but little.”
Let him practise the minor virtues. How much of human life is lost in waiting! let him not make his fellow-creatures wait. How many words and promises are promises of conversation! Let his be words of fate.
Justin talks about the concept of wasting time and waiting instead of taking action to pursue happiness and do things we love. It emphasizes the importance of not just waiting for the right time to start making positive changes in our lives, such as improving nutrition and exercise habits, but also having a plan that fits our individual needs and motivations.
Justin suggests seeking guidance from fitness professionals and being open to their advice, even if it involves facing challenges because it will be hard.
Justin offers support and complimentary consultations to those who are committed to changing their lifestyle and achieving their goals and he encourages us to start now by thinking about what we want to accomplish and researching ways to help us succeed.
The key message is to not give up hope, seek assistance, and be honest with ourselves when creating a plan for personal growth.
Turning Point - Watch the Video - Click Here
About 30 Days to Make Your Money Count
30 Days to Make Your Money Count is our FREE online course for DIY Investors and Small Business Owners. You'll have full access to our Premium Planning Portal, RiskAlyze portfolio checkup, #AskMeAnything Weekly Zoom Meetings, One-On-One coaching and much more. Our online Financial Planning Courses are generally designed to help you Save More Money, Pay Lower Taxes, And Build a Better Retirement.
Sign Up for 30 Days to Make Your Money Count Click Here
Missional Money Membership OfferMissional Money Membership for DIY Investors, and Financial Advisors. Get full access to our RightCapital Planning Portal, all Premium Courses, Make Your Money Count, The Blueprint, and much more. Lock in our introductory price of $24.95 per month.
Bucket List: buck·et list
INFORMAL noun
a number of experiences or achievements that a person hopes to have or accomplish during their lifetime.
"making this trip is the first thing on my bucket list"
What's On Your Bucket List? Do you have a Bucket List? * Do you have a plan for your Bucket List? * 3 things I have on my Bucket List*
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Jim Munchbach on Telegram - 25 Tweets to Make you Smile"Just joined Telegram to share my money-saving secrets! Apparently, they don't accept dollar bills as currency here, only emojis. 😂 #MissionalMoney #Telegram"
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Jim Munchbach, CERTIFIED FINANCIAL PLANNER
Host at The Missional Money Podcast:
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Welcome to Missional Money
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AI Mania What Could Possibly Go Wrong?Consider a few of the potential risks and challenges associated with the recent AI frenzy and what could possibly go wrong. I'm thinking about...
- The Dark Side of Artificial Intelligence,
- Ethical Concerns, and
- The Impact On Jobs And Privacy
AI InvestingArtificial Intelligence (AI) has gained immense popularity in recent years, with its applications being integrated into various industries and sectors. The rapid advancement and adoption of AI have led to an AI frenzy, where businesses and individuals are enthusiastic about leveraging its potential. However, it is essential to carefully consider the potential pitfalls and challenges that accompany this AI frenzy.
Asking for Donations Requires SkillAsking for Donations requires skill, in this episode we'll share some tips, tools, and strategies for Christian Missionaries who need a better approach to Asking for Donations.
Does your Christian Missionary friend need a better approach when Asking for Donations? For anyone who wants to overcome your fear of asking for donations, or just become far more successful in asking for donations, here are a few tools, tips and strategies from my own experience and a couple of experts. Asking for donations is an essential skill for anyone trying to build support for a ministry. In this episode you will discover the power of community, alternative routes to reach a larger audience, and creative approaches to fundraising success.
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Welcome to Missional Money
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SVB Bank Crisis Your Next Steps
Given the enormity of the Silicon Valley Bank collapse, I wanted to share a few thoughts, insights and suggestions for your investments and more importantly for your financial plan. Here's a link to the Video on my new YouTube Channel.
Watch the first video in our SVB Banking Crisis Series on YouTube!SVB Bank Crisis Your Next Steps* What to Watch * What to Avoid * What to Do
What to Watch
Hopefully, you're not doing what I'm doing... Watching the markets on a daily, hourly, and sometimes minute-by-minute basis. That's my job as your Investment Advisor and I am doing my job!
Last week was a wild and rocky ride on Wall Street. Banking Crisis drama at Silicon Valley Bank, jobs growth (again!), and a persistently hawkish Fed all fueled the headlines. There was no shortage of fireworks, and major U.S. equity indexes markets fell sharply.
In fact, the S&P 500 fell to levels not seen since January.
Tallying last week, the S&P 500 declined by
4.55%, the Nasdaq 100 fell by 3.75%, and the Dow Jones Industrial Average decreased by 4.44%.
What to AvoidWall Street and Silicon Valley California were in full panic mode over this past weekend demanding that the FED and Treasury intervene to pull their chestnuts out of the fire.
A few leaders have kept a cool head in this so called banking crisis—but billionaire hedge-fund operator Bill Ackman and venture investor David Sacks (SVB Panic Brokers) had a vested interest in spreading panic.
The FDIC closed SVB, and the agency will try to find a private buyer for the bank. The FDIC was holding an auction that closed Sunday afternoon.
Market Silicon Valley Bank
Venture capitalists and tech startups felt pain last week as Silicon Valley Bank became insolvent, sparked by the company’s need for liquidity, which resulted in an old-fashioned bank run.
The majority of the forty-year-old institution’s clients are venture capitalists and tech startups. The California Department of Financial Protection and Innovation (DFPI) took possession of the bank last week and appointed the Federal Deposit Insurance Corporation (FDIC) as its receiver.
SVB and the ensuing fallout is an ongoing story. The latest information shows that the U.S. government has indeed stepped inand will backstop depositors and financial institutions associated with Silicon Valley Bank. This occurrence is reminiscent of the Too Big to Fail phenomenon from 2008.
What to Do NextThere are some things that SVB Bank could have done to avoid the crisis, ironically, some of those same things are helpful for every investor. Mike Tyson was right about one thing. Everybody's got plans - until they get hit. Before the next wave of market volatilty and uncertainty comes our way, I hope you'll take me up on my offer to help you do the following 3 things BEFORE we get hit...
- Update Your Financial Plan
- Know Your Risk Number and What's In Your Portfolio
- Let's Have That Conversation
Your Next Steps Visit BayRockFinancial.com when you're ready to work on your financial plan. * Get Your Risk Number CLICK HERE to take our 5 minute Risk Survey * Book your Free Consultation with a Certified Financial Planner™ Professional * Connect with Jim Munchbach on LinkedIn * Subscribe to the Missional Money Podcast in iTunes and everywhere Podcasts are Played * Subscribe to BayRock News for updates on the SVB Bank Crisis and Your Next Steps*
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Missional Money Intro 2023
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Jim Munchbach Contact Page
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Mentioned in this episode:
Welcome to Missional Money
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About Money Study Group for Students of Personal Finance at the Bauer College of Business at University of Houston Missional Money Financial Planning CourseMissional Money Financial Planning is an online self-study self-paced https://skills.munchbach.com/courses/missional-money (course) designed to help investors create a compelling financial plan in 30 days. Save More Money Pay Lower Taxes Build a Better Retirement
Principles and ProcessMissional Money Financial Planning is based on the principles and process outlined in Jim Munchbach's books: Make Your Money Count, What Matters Most, and Allied for Success. The online course features https://missionalmoney.com/podcast/bayrock-pricing-page-updates/ (The Blueprint for Financial Success)™.
Investment Scams involving cryptocurrencyAt BayRock, we’re committed to helping you protect your assets. One way we do that is by raising awareness of the increase in fraudulent investment schemes (“scams”) involving cryptocurrencies and digital assets. While investing involves taking some risks, being scammed shouldn’t be one of them. What do Investment Scams look like? Investment scams target investors by promising quick, guaranteed returns. Although “investment sales pitches” vary, using fraudulent cryptocurrency investment opportunities to entice targets is a common approach. Once targeted investors indicate interest, they are often instructed to wire funds abroad or to a third party’s personal account, or to transfer cryptocurrency. Fake websites and/or applications often create the illusion of a legitimate trading or investment platform and gain trust. However, once funds have been transferred, they are difficult to trace and retrieve. Investment Scams 5 Red Flags “Guaranteed” high investment returns, supposedly with little or no risk, and sounding too good to be true. Unlicensed or unregistered sellers. Use Investor.gov to check out the background of anyone offering you an investment in securities. Skyrocketing account values. Investments that appear to rapidly increase in value are often fake. Fake testimonials. Investment Scams or Scammers often pay people to provide fake reviews, so never rely solely on testimonials in making an investment decision. Fake contacts. Take caution if someone approaches you through social media with an investment opportunity. Pretending to be a friend or to have a mutual acquaintance is a common tactic used to gain trust.
Schwab Investor Resourceshttps://click.email.schwab.com/?qs=85917da3c45cc907de34b05971057573465538c3e698ec92f4fffcb730c6c620262d70b98fa8da467075c85c2204a71debe3fbb952189a33 (Set up your account alerts) to always get notified when activity occurs in your account. For more security tools and steps you can take, visit our https://www.schwab.com/schwabsafe (SchwabSafe®) to view our latest resources and learn more about how you can safeguard your personal information and assets. And while you’re at it, check out Schwab's https://click.email.schwab.com/?qs=85917da3c45cc907ada4d46da77e3f710628b3c5db73658332f23d495d5a968375dccd5d8c85f8f4036a35a549b5a57a79b11b6c8026f956 (Security Knowledge Center).
The 3 Big QuestionsQuickStart Financial Planning course was designed to quickly answer your 3 Big Questions: When can I stop working? How can I reduce my tax bill? Where can I improve my Investments?
Build a Better Retirement
ETF Investing and Why We Love to Trade ThemETF Investing is better than Mutual Fund investing, but you do need to learn a few things about ETF investing. If you’re new to trading or just beginning you may have never heard of ETF investing. Let's take a closer look at ETF Investing. Starting with ETFs; what they are, how do they work, the different types of ETFs; the pros and cons of ETFs and how they benefit (or hurt) you as a trader. Much of this post comes from https://www.investopedia.com/terms/e/etf.asp (Investopedia.com) which is IMO the best source of information for all things investing, including ETF Investing.What is an ETF?The acronym stands for exchange-traded funds. So what does this mean? An ETF represents a basket of assets. Basically, that is a portfolio of stocks, bonds, options, and other tradable assets. that are put together by a professional money manager and put on the stock exchange for investors to buy and sell quickly. When you’re investing in an ETF you’re investing in multiple companies that represent or mirror an index. For example, if you were interested in investing in the S&P 500, you don’t actually invest in the index itself. Instead, you would invest in an ETF that represents a portion of that index. The ETF for the S&P 500 is “SPY”. When investing in SPY, instead of buying all 500 companies that the S&P represents you are participating in that index at a fraction of the cost. There are two main types ETFs, “Market” or “Index” ETFs. Like the name suggests, Market ETFs or Index ETFs replicate the index of a market. There are different ETFs for the different indexes. For example, as talked about earlier, the S&P 500 is known as SPY and the NASDAQ 500 is referenced as QQQ. The second type of ETFs is known as Sector ETFs. These let you invest in specific sectors of the markets such as healthcare, or tech stocks. Like the Index ETFs each sector is represented by a unique ticker. So, for investing in the healthcare sector the ETF would be represented as XLV. What Makes Them Different from Mutual Funds:Although ETFs have basic similarities to the two and can often be very comparable, they do present slight differences. Unlike mutual funds, ETFs can be traded throughout the day versus only being able to trade at market close. They also present lower fees than mutual funds. Generally, mutual funds charge a 1.42% fee while fees on average for ETFs are 0.53%. Further, the total price you pay for ETFs is the share price times the number of shares. Basically, you can’t place an ETF order for a dollar amount as you can’t place a mutual fund order for a number of shares. ETFs take about 3 days to settle versus the 1 day it takes for mutual funds. Lastly, minimum investment price of ETFs and the function of automatic reinvesting. ETFs typically have a very low investment minimum compared to mutual funds, and this price depends on what the price of the share is at the time.
Happy Independece DayToday is Friday July 1, 2022 and I'm posting this episode of the Missional Money Podcast live on Facebook and YouTube. Hope you’re doing great and getting ready for a big "bang" of a long weekend! I sent out an email to all my friends with a bit of trivia in honor of Independence Day. In case you missed the email, here it is...Did you know it was actually on July 2, 1776, that Congress voted to free the U.S. from British rule? However, it wasn’t until two days later that John Hancock signed the first signature to the Declaration of Independence—the document that would spread the news of the vote. Here's to celebrating freedom on Independence Day - and everyday! Be Blessed! Jim Cash Flow Planning GuideThe health of every financial plan depends heavily on sound cash flow planning. Creating a cash flow plan is a helpful exercise conducted in the financial planning process. This article was originally posted on our website for https://bayrockfinancial.com/financial-planning/cash-flow-planning-guide/ (BayRock Financial) as part of the https://bayrockfinancial.com/checklist/high-inflation/ (Inflation Planning) series. Cash Flow and InflationWhile we already tend to know what we should be doing with respect to our budget (spending), in reality we often fall short of taking even the most basic steps toward tracking and managing our cash flow. You can have a dramatic long-term impact on your financial future by simply increasing your awareness of your spending habits. One small discipline that can make a big difference is being accountable for every dollar you spend. To help guide you toward creating and managing a cash flow plan that supports your lifestyle and goals, we have created this https://missionalmoney.com/wp-content/uploads/2022/06/Cash-Flow-Planning-Guide.pdf (cash flow planning guide). It covers cash flow planning basics, including: Income sources Essential and discretionary spending Debt and taxes Goal funding Monitoring strategies
High Inflation ChecklistHigh inflation has been on everyone’s mind, and many are wondering what they can do to take action.With this https://missionalmoney.com/wp-content/uploads/2022/06/High-Inflation-Checklist.pdf (High Inflation Checklist), you can explore ways to address high inflation and set your financial expectations appropriately. Get ahead and be better-prepared as you plan for high inflation in the future. The https://missionalmoney.com/wp-content/uploads/2022/06/High-Inflation-Checklist.pdf (high inflation checklist) covers key issues to consider when dealing with periods of high inflation, such as: The impact inflation may have on your cash flow and budgeting. The effects of inflation on your assets, and solutions that may be considered to mitigate those effects. Certain tax planning ideas that may be relevant to you in light of high inflation. Other miscellaneous areas of your financial plan that may be affected by high inflation.
Market Correction ChecklistThis https://missionalmoney.com/wp-content/uploads/2022/06/Market-Correction-Checklist.pdf (market correction checklist) covers many of the issues to consider during a recession or market correction. It addresses some strategies particularly useful when the valuations of the markets are low (such as Roth conversions and gifting strategies) as well strategies to mitigate the negative impact (cash flow becoming tight). This can help turn your focus away from one of fear of the future to one where you consider strategies to take advantage of low valuations. Home Buying ChecklistBuying a home is one of the biggest financial moves that you will ever make. There are a number of issues you should be aware of, including how the costs of purchasing and owning a home will impact your overall financial planning goals.In...
Options Trading Strategies for Managing RiskOne of the tools in my investment management toolbox is Options, specifically Covered Call Options and Naked Put Options. I'm reaching out to a number of my clients to recommend that we set up Options. These two Options Strategies work best in volatile markets like what we've had in 2022. Options provide better risk management while allowing us to create an additional income stream within your IRA Account.Margin and OptionsThis post is specifially for Tax Qualified accounts. We can use additional strategies in Non-Tax Qualified accounts with Margin. Each strategy has its own set of Risk Metrics. In this post, I've grabbed some helpful content from Investopedia, my favorite source for Investor Education. What are Options from https://www.investopedia.com/terms/d/derivative.asp (Investopedia)Options are a form of https://www.investopedia.com/terms/d/derivative.asp (derivative) contract that gives buyers of the contracts (the option holders) the right (but not the obligation) to buy or sell a security at a chosen price at some point in the future. Option buyers are charged an amount called a https://www.investopedia.com/terms/o/option-premium.asp (premium) by the sellers for such a right. Should market prices be unfavorable for option holders, they will let the option expire worthless and not exercise this right, ensuring that potential losses are not higher than the premium. On the other hand, if the market moves in the direction that makes this right more valuable, it makes use of it. Options are generally divided into "call" and "put" contracts. With a https://www.investopedia.com/terms/c/calloption.asp (call option), the buyer of the contract purchases the right to buy the https://www.investopedia.com/terms/u/underlying-asset.asp (underlying asset) in the future at a predetermined price, called https://www.investopedia.com/terms/e/exerciseprice.asp (exercise price) or https://www.investopedia.com/terms/s/strikeprice.asp (strike price). With a https://www.investopedia.com/terms/p/putoption.asp (put option), the buyer acquires the right to sell the underlying asset in the future at the predetermined price.
Credit Crush AssignmentThe Most Important Screenshot Debt ManagementBefore You Apply Any Action Items, review the following elements in the Debt Management section of your plan. You’ll need to grab a “BEFORE” screenshot of these elements.Strategy Balance of selected debt — grab a screenshot Payment Proposed payments for next month — grab a screenshot Details — Before (Annual works better than Monthly)
Remember to Grab a “Before” Screenshot of each of your Data Cards which you will compare with the “After” Screenshots. About the Credit Crush AssignmentThe Credit Crush Assignment is all about understanding the cost of credit and how to apply simple strategies to eliminate debt so that you can build wealth. In this week's assignment, you'll enter your 3 big purchases in your BayRock financial planning portal: Home, Car, and Credit Card spending spree. Desired OutcomesUnderstand The Cost of Credit Identify Simple Strategies for Debt Management Eliminate Debt/Become 100% Debt Free Build Wealth by Investing Instead of Paying Interest
Step One — Update Your Data CardsMortgage Loan Type = Mortgage Original Amount of Loan Monthly Payment Balance Interest Rate Loan Term — 15 or 30 Year
Car Loan Loan Name = Type of Car Loan Type = Car Loan Monthly Payment Balance Interest Rate
Credit Card Account Name Balance (at least $10k) APR — Annual % Rate (at least 10%) Student Loan (optional)
Step Two — Take BEFORE ScreenShots of Your Data CardsIf your data cards were correctly completed from last week’s assignment, just pop those images into this week’s article. If you made updates to your data cards, be sure to create a new, updated screenshot of your data cards:Mortgage Car Loan Credit Card Student Loan (optional)
Questions June 24, 2022 Debt Strategy - No Data?I am Melina from your BUSI 3300-13465. I am messaging you regarding my debt management portal on my assignment. I followed your class videos and I was wondering if I did something wrong seems like there is not any data. Questions from Students June 24, 2022Mortgage Payoff in One MonthI am attempting to complete assignment 6 and I have run into an issue with the Bayrock portal. I setup my mortgage, car payment, and credit card debt, but when I view the debt management tab, it expects me to pay the mortgage back within a month. I even changed my numbers to match your example and I still get the same issue. Attached is a pdf showing what I am seeing in my portal.
Every Family Needs a Will by #https://www.investopedia.com/articles/pf/08/what-is-a-will.asp (Investopedia)Your Will spells out who will get your assets after you die. A will is a legal document that puts in writing your wishes regarding the distribution of your property and the care of any minor children. If you die without a will, your wishes may not be carried out. And your heirs will end up spending additional time, money, and emotional energy to settle your affairs after you're gone. Obviously no single document can resolve every issue that arises after your death, your will—officially known as a last will and testament can come pretty close. Here's what you need to know about these vital documents. FactoidsA https://missionalmoney.com/estate/last-will-and-testament/ (will) is a legal document that spells out your wishes regarding the care of your children, as well as the distribution of your assets after your death. Failure to prepare a will typically leaves decisions about your estate in the hands of judges or state officials and may also cause family strife. You can prepare a will yourself, but you should have the document witnessed to decrease the likelihood of successful challenges later. To be completely sure everything is in order, consider having your will prepared by a trusts and estates attorney.
More About Why You Need a Will Some people think that only the very wealthy or those with complicated assets need wills. However, there are many good reasons to have a will. You can be clear about who gets your assets. You can decide who gets what and how much. You can keep your assets out of the hands of people you don't want to have them (like an estranged relative). You can identify who should care for your children. Without a will, the courts will decide. Your heirs will have a faster and easier time getting access to your assets. You can plan to save your estate money on taxes. You can also give gifts and charitable donations, which can help offset the estate tax.
How to Setup Your BayRock PlanThere are a few key steps in setting up your plan in BayRock and in this post, I'll outline the steps and some information to help you get the most out of your experience. This article is intended for Students of Personal Finance at the Bauer College of Business at University of Houston. However, the steps outlined below will help you get started whether you're a UH Student or a BayRock client, or if you're just wanting to follow along and build your first financial plan, welcome! Getting StartedSubscribe to ourhttps://lovethepodcast.com/munchbach ( Podcast in iTunes and everywhere Podcasts are played) https://skills.munchbach.com/enroll/1684183?price_id=2203851 (Enroll) in https://skills.munchbach.com/enroll/1684183?price_id=2203851 (Money Study Group Online) Update Your Plan using this link - https://www.rightcapital.com/sign-up?referral=HYsFHOU_bUflLBhSSNB2tw&type=client (CLICK HERE NOW.)
Jump in and start tracking your financial progress right away. Once you get started , I'll be able to see monitor your activity from my advisor dashboard. You will be prompted to enter a password and create an account. Please bookmark the page and be sure to save your password. For your convenience, we've included easy links at the top of our pages and posts on our websites at https://bayrockfinancial.com/ (BayRock Financial) and also at https://missionalmoney.com/ (Missional Money).
Download the RightCapital Mobile AppThe RightCapital mobile app is available for iPhone and Android devices. Clients can visit the App Store or Google Play store to download the App.RightCapital mobile app download links:https://help.rightcapital.com/article/206-rightcapital-mobile-app-download#apple-app-store-download (Apple App Store download) https://help.rightcapital.com/article/206-rightcapital-mobile-app-download#google-play-store-download (Google Play Store download)
Apple App Store downloadSearch for RightCapitalClick the blue Get button Once the download is complete, click the blue Open button Insert your https://www.rightcapital.com/sign-up?referral=HYsFHOU_bUflLBhSSNB2tw&type=client (login information) when prompted
Google Play Store downloadBayRock and RightCapital Mobile AppSearch for RightCapital Click the green Install button Once the download is complete, click the green Open button Login using the same email and password you used to create your account in previous step.
Sound Blooper This is what happens when you forget to change your mic setting before you hit the record button on your https://missionalmoney.com/podcast/budgets-and-bayrock/ (epic LiveStream...)
t Your BayRock Planning PortalBy now, you should have completed the following steps:Congrats, You're Enrolled in Money Study Group! Now, Register for your https://www.rightcapital.com/sign-up?referral=HYsFHOU_bUflLBhSSNB2tw&type=client (Online Planning Portal at BayRock) Download the Mobile App (optional)
Week 2 CapstoneGet Started with Your Plan by Completing 6 Data CardsFamily Profile Income (remember to do a little research to come up with a good estimate of your FUTURE income, assuming you’re out of college and working in your chosen vocation. Savings Net Worth Expenses - Detailed Worksheet (remember to consider all of the expenses that will be a part of your “Budget” after you graduate and are living on your own. Goals - For the Capstone, you will list all of the goals you want to achieve in the next 25 years, but don’t worry about getting them all listed for this assignment. Just list the goals you know you want to include right now.
Moving forward, we’ll talk about the Capstone Assignment in our Weekly Zoom Meetings every Tuesday at 10 am.Part Three: Review Your Detailed Expenses (in your planning portal)Do your best, but don’t spend too much time making your budget perfect — you’ll spend more time working on your income and expenses later. For now, just jump into your financial planning portal and update your income and the detailed expenses as seen in this week’s video tutorial for this assignment.When I grade this assignment, I’ll be especially interested in seeing your “Income and Expenses” so make sure to grab a screenshot of this section of your plan. Want Full Credit?You will get full credit for this assignment only IF you provide screenshots from your planning portal. Remember to create your budget categories based on you paying all your own expenses (even if in reality your parents are paying all of your current expenses). As you build your financial plan this semester, you will be doing a little research to come up with real life expectations regarding the following financial planning issues. Feel free to comment on any of these items as you complete this week's assignment: How much will you earn after you graduate (assuming you get your dream job) How much will you spend to purchase your first home How much will you spend in all categories of your budget How much will you save in an Emergency Fund How much will you save for Retirement
What is a Financial Plan?What is a financial plan - to you? That's a question I've been asking in my Personal Finance class at the Bauer College of Business at University of Houston. Long before I started teaching Personal Finance on a college campus, I learned that the definition of a financial plan is different from one person to the next. Season Two: What is a Financial Plan. Over the course of this semester at UH and also in Season Two of the Missional Money Podcast, I'll be unpacking the essential elements of financial planning while answering the question WHAT IS A FINANCIAL PLAN. I hope you'll join me.Let's Make Your Plan!As a http://www.letsmakeaplan.org/choose-a-cfp-professional/find-a-cfp-professional/Details/?key=c0cb668f-9436-44b1-8b7d-eea62ebf7b4c&SimpleSearch=False&Latitude=0&Longitude=0&AreasOfSpecialization=&FirstName=Jim&LastName=Munchbach&Page=1&Session=87326 (Certified Financial Planner™ Professional), I've learned a thing or two about financial planning. https://moneystudygroup.com/ (Money Study Group) is an online self-study self-paced course designed to teach students how to become a millionaire by age 50. The course was developed at the Bauer College of Business at University of Houston and is in its 13th year of production. https://skills.munchbach.com/enroll/1684183?price_id=2203851 (Enroll) in Money Study Group for a https://skills.munchbach.com/enroll/1684183?price_id=2203851 (one-time fee of $75.95) After enrolling in Money Study Group, there is no cost for you to create, update, and manage your financial plan using our favorite planning tool; RightCapital is our premium planning software brought to you by https://bayrockfinancial.com/ (BayRock). BayRock Purpose Statement https://bayrockfinancial.com/ (BayRock) is dedicated to helping individual investors, families, and business owners manage the risk and opportunity of everyday life, recover from the unexpected, and realize their highest purpose. How it Works Subscribe to ourhttps://lovethepodcast.com/munchbach ( Podcast in iTunes and everywhere Podcasts are played) https://skills.munchbach.com/enroll/1684183?price_id=2203851 (Enroll) in https://skills.munchbach.com/enroll/1684183?price_id=2203851 (Money Study Group Online) https://www.rightcapital.com/sign-up?referral=HYsFHOU_bUflLBhSSNB2tw&type=client (Update Your Plan using this link.)
Get started tracking your financial progress today, I'll be able to see monitor your activity from my dashboard.
Special Offer for Podcast Listeners!$500 UpFront Fee Waived for Podcast Listeners, offer good through the end of summer 2022.BayRock Subscription-Based Financial Planning services are offered at three pricing levels designed to address three different levels of financial planning needs from simple to more complex. Each subscription level provides additional services. For example, level three includes all of the services listed in levels one and two as well as the “additional services” listed in level three. The Subscription-Based Financial Planning Fee arrangement is designed to deliver a better value for clients who need ongoing financial advice, planning, and coaching. The Subscription-Based Financial Planning services can be cancelled at any time by the client or by BayRock if either party determines that the Subscription-Based Financial Planning service is no longer providing value. Three Price LevelsWealth Builder: Starting at $125 per Month Retirement Strategies: Starting at $250 per Month Family and Business: $500 per Month
Level One – Wealth Builder Blueprint, $500 upfront planning fee plus a $125 monthly retainer. Ideal for beginners with typically under $500,000 of investable assets.The $500 upfront planning fee includes… Gathering client data,Building a comprehensive financial model,90 minute Discovery Meeting,The Blueprint for Financial Success™$500 UpFront Fee Waived for Podcast Listeners, offer good through the end of summer 2022.
RightCapital or https://bayrockfinancial.com/moneyguidepro-vs-rightcapital/ (MoneyGuidePro)Why BayRock switched to RightCapital from MoneyGuidePro.RightCapital has (almost) everything MoneyGuidePro has and RightCapital has a few features that MoneyGuidePro is missing. BothRightCapital and MoneyGuidePro are fantastic tools for Financial Planning, for Certified Financial Planner™ Professionals, and for clients managing wealth. So, why did I switch to RightCapital from MoneyGuidePro? Why Buy RightCapitalRightCapital helps BayRock Deliver Smarter Strategies and Better Results. As a CFP® Professional, I needed solutions, not obstacles. While https://bayrockfinancial.com/moneyguidepro-vs-rightcapital/ (MoneyGuidePro) was a great tool, the version we used at Morgan Stanley was bogged down with all kinds of added junk required by the Big Bank on Wall Street. When I became and Independent https://bayrockfinancial.com/team/fiduciary/ (Fidcuciary), I wanted my company - BayRock Financial - to have the best tools in the wealth management business. I absolutely believe that and that every family needs and deserves a quality financial plan. RightCapital off the shelf allows me to deliver Smarter Strategies and Better Results - at a lower cost than MoneyGuidePro. RightCapital Offers:A lower cost of ownership. MoneyGuidePro requires add-on fees for account aggregations, business intelligence, and client marketing materials, which are all included in RightCapital Premium. A simple 6-step client onboarding. RightCapital doesn't require extensive data entry to get started. Just enter the basic financial data you need for a specific analysis such as retirement, insurance needs, or social security optimization. Goal-based AND cash flow-based planning options. Toggle between either goal- or cash flow-based planning approach depending on your client's needs or your preference.
https://youtu.be/RAzPQxmpJCc (Watch Video)
Missional Money Podcast TrailerSeason One, Getting to know the Big Blue Buttons on the top of each page. Also, introducing our new #Podcast Host - Mr. Cartoon Head.Meet Mr. Cartoon Head
Bull and Bear Market Update for May 23, 2022If you pay any attention to the news, especially the financial news, you're seeing a lot of stories with headlines that are designed to create panic. Sometimes they actually work. The #Fed is always a source for headlines because they have the power to turn a #Bull Market into a #Bear Market with one policy decision. The Fed has done spoken and the markets have reacted the way the Fed wanted the markets to react - and much more, IMO. Daily ReflectionsEveryday, I read at least 20 financial stories from a number of sources. Sometimes I just stumble on something that catches my attention (that's never a good way to be informed). Below is a story that caught my attention today from CNN. I'm a huge "NOT a fan" of CNN but I wanted to like this story even though my advice is don't trust anything you get from CNN. Nonetheless, I'm adding this story to my 2022 Market Watch Wiki so I can quickly share it with a client or an investor who may be momentarily gripped by fear. And, yes, I'm occasionally one of those investors myself because I hate losing money and I double hate losing money for my clients.3 Charts Say Don't PanicMarkets are down, but these charts explain why investors shouldn't panic, even if they feel like a #Bear Market is imminent.From CNN Business May 23, 2022 — What goes up must come down, and what goes #bull must go #bear. The conventional wisdom is that a bit of market madness is inevitable, cyclical and should give investors a potential buying opportunity. But unfortunately this downswing doesn't appear to be the devil we know. Markets are contending with inflation rates at 40-year highs, Russia's invasion of Ukraine, supply chain kinks and food shortages, rising interest rates, widespread predictions of a recession and https://www.cnn.com/2022/05/16/economy/fed-ben-bernanke-jerome-powell-recession/index.html (former Fed leaders openly questioning the actions of the current regime). Even the investors themselves are different. Covid-era stimulus checks, elevated unemployment and trading platforms aimed at young generations introduced a whole new group of up-and-coming traders to markets. About 20 million people https://www.cnn.com/2022/05/23/investing/premarket-stocks-trading/index.html (started investing in the past two years). A 2021 survey by Schwab found that 15% of all US stock market investors said they first began investing in 2020. #FactoidThese market players have never been through a period of high inflation and high interest rates, and the sudden change in the economic environment is adding to market turbulence, said Leo Grohowski, chief investment officer at BNY Mellon Wealth Management. "What we're seeing is a weeding out of investors that were flushed with liquidity. They bought first and asked questions with meme stocks, SPACs, NFTs, there was a lot of what I call indiscriminate buying. And now we're seeing some indiscriminate selling," he said. Most investors are not prepared for this trading environment, Joshua Brown, co-founder and CEO of Ritholtz Wealth Management, said in a recent blog post. "This is one of the most treacherous environments I have ever seen, and I traded during the dot com meltdown, 9/11, Enron and Tyco and WorldCom and Lehman," and a host of other crises. As Berkshire Hathaway's Charlie Munger said during the company's recent shareholder meeting, the stock market has become "almost a mania of speculation." He added that "we've got people who know nothing about stocks, being advised by stockbrokers who know even less." Still, as markets flirt with #bear territory — when a major index falls 20% or more from a recent high — some technical analysts don't think there's too much to worry about. These three charts show why it may not be time to hit the panic button. At least not yet. https://missionalmoney.com/podcast/3-charts-say-dont-panic/ (Bull...
Tesla Structured Note ExampleTesla Structured Note example Disclosure: The following content is for educational purposes. The Tesla Structured Note described is fictional. Sample Morgans Stanley Cup 2.5 Year Tesla Structured NoteFeatures: 20% Quarterly DistributionTSLA is the ticker for TeslaAutoCall (60%/60%)Issuer Sample Morgans Stanley Cup Underlyings Tesla (TSLA) Pricing / Settle Date Friday the 13th of May, 2022 / May 25, 2022 Maturity Date November 27, 2024 (2.5ac6m) Price 100 Interest Rate 20% subject to TSLA closing above 60% of initial Principal Barrier 60% of initial on TSLA (observed only at maturity, Cash Settle) Callable November 27, 2022 Automatically if all > initial (Quarterly Thereafter) Coupon Frequency Quarterly Observation / Quarterly Pay Payment at Maturity - If the Final Value is greater than or equal to 60% of initial: Par- If the Final Value is less than 60% of initial: Par + return of least performer. Cusip 123456789 Prospectus The Actual Prospectus - Link to Prospectus STRATEGY OVERVIEW / EXAMPLES Investors will receive a coupon of 20% if the closing value TSLA is equal to or above 60% of initial on observation day. If TSLA closes at or above 60% of initial, you will receive the relevant annualized coupon for that period. If TSLA closes below 60% of initial, you will receive a 0% annualized coupon for that period. If TSLA closes above 100% of initial on a relevant observation date the note is automatically called at par + coupon. If TSLA closes below 60% of initial at maturity, the investor realizes full downside of least performer. For example, if TSLA is down 41% at maturity, the note will mature at 59%.
Structured Notes are Not for Most Investors - https://pro.riskalyze.com/embed/9b6ec80d5e4d1357a9ad (Get Your Risk Number Click Here)
DIY Investor MistakesAre you a DIY Investor? Good for you! I'm a DIY kind of guy. I do my own pool maintenance, cut my own lawn, and change my own oil. Believe it or not, I cut my own hair. I became a DIY Investor just about the time Enron imploded. The first company stock I bought was TICO because I watched PBS interview https://en.wikipedia.org/wiki/Dennis_Kozlowski (Dennis Kozlowski) and I thought, I like that guy. I trusted him and I bought his stock the next day. https://en.wikipedia.org/wiki/Dennis_Kozlowski (Big mistake.) As a DIY Investor I've made every mistake imaginable. In 2007, December 14 (my 25th wedding anniversary) I hired my first Wall Street Financial Advisor at https://www.cnbc.com/2020/12/07/merrill-lynch-to-pay-26point25-million-to-settle-churning-allegations-.html (Merril Lynch). That was one of the https://www.nhpr.org/nh-news/2020-12-07/merrill-lynch-agrees-to-fines-25m-in-restitution-after-broker-scammed-former-gov-benson (biggest mistakes) of my financial life. One of the things I really appreciated about my Financial Advisor (even thought he worked in a very broken system on Wall Street) was having someone on my team who had access to tons of tools and information that I just didn't have. DIY Investor InvitationIf you're a DIY Investor, I want to invite you to take advantage of BayRock Financial. I built BayRock to appeal to DIY Investors. My first recomendation is simple: Get Your Risk Number. Visit BayRockFinancial.com and click on the Blue Button at the top of the page next to the BayRock logo and take our 5 minute risk survey. If you want to email me your investment statement, I'll do a portfolio review to show you how much risk you have compared to how much risk you want. I'll tell you what I'm doing with my money now and you'll get to see why I recommend the BayRock Bull Bear Strategy for many (not all) of my current clients. How BayRock Helps DIY Investors:BayRock is dedicated to helping individual investors, families, and business owners manage the risk and opportunity of everyday life, recover from the unexpected, and realize their highest purpose. https://pro.riskalyze.com/embed/9b6ec80d5e4d1357a9ad (Get Your Risk Number) Subscribe to the https://lovethepodcast.com/munchbach (Missional Money Podcast) https://skills.munchbach.com/courses/make-your-money-count (Free Online Course: Make Your Money Count) https://www.rightcapital.com/sign-up?referral=HYsFHOU_bUflLBhSSNB2tw&type=client (Update Your Plan!) Track Your Progress Download our https://bayrockfinancial.com/podcast/rightcapital-mobile-app/ (Mobile App (RightCapital))
DIY Investor BlueprintWhether you're a DIY Investor or a professional Investment Advisor, you need to have a good plan for managing your wealth and while that includes managing your investment portfolio, there is much more to consider. In my book, https://bayrockfinancial.com/podcast/free-copy-of-make-your-money-count/ (Make Your Money Count), I outline a holistic process for financial planning. The metaphor I use in the book is The Blueprint for Financial Success™. The Blueprint for Financial Success™ DIY Investor StrategiesAll good investment strategies are designed to maximmize returns and minimize risk. When I went to work on Wall Street at Morgan Stanley in the Wealth Management department, I was hoping to discover the secret sauce of the world's best investment managers. I did learn a lot but the most valuable lesson I learned was that there is no perfect investment strategy no matter how sophisticated and no matter how smart the manager. As a DIY Investor, you have access to the best investment strategies available and the cost is lower than ever before. With free trading and an almost infinite number of investments to choose from, the biggest problem for a DIY Investor is figuring out how to put it all together so that you have a higher probability of success. What's
Gas Prices may have grabbed your attention, see my list below for 4 ways you can offest higher gas prices this summer. More importantly, however, I wanted to encourage you to book a quick Zoom Meeting with me to review your portfolio as well as your account features. I posted this article today: https://bayrockfinancial.com/financial-planning/bear-market-portfolio-review-time/ (Bear Market Portfolio Review Time) https://calendly.com/familyplan/cfpconsult (Book Your Bear Market Portfolio Review - Click Here)Gas PricesGas prices don't look like they will be coming down anytime soon—at least not as far as many of us would like. With the summer season fast approaching, I thought it might be helpful to send over some information on why prices are rising, what you can expect to pay this summer, and a few tips for keeping costs as low as possible. Why gas prices are risingHigher gas prices can be traced back to the COVID-19 pandemic, but prices have been pushed even higher recently by the Russo-Ukrainian war, https://www.cbsnews.com/news/gas-prices-high-expensive-come-down-cbs-news-explains/ (said Patrick De Haan), GasBuddy's head of petroleum analysis, to CBS. In addition, the post-pandemic demand for gas, cuts to oil production, and U.S. sanctions on Russia (and their impact on the global market) are holding gasoline prices high above normal. Gas Prices and Your Summer BudgetAmericans are already trimming the grocery budget; it now appears the gas budget is next in line. According to one Wall Street estimate, a typical family may need to find https://www.cbsnews.com/news/gas-prices-household-impact-2000-a-year/ (an additional $2,000 in the budget) this year to pay for gasoline. This summer, the average per-gallon price could reach $5. It already has in some areas of the country, such as in California, where https://gasprices.aaa.com/?state=CA (some drivers reported paying $5.75 per gallon) in April 2022. That is to say, if you’re paying anything south of $5 per gallon, consider yourself a tad lucky, at least for this summer. How to Offset Higher Gas PricesHere are 4 ways you can offset higher gas prices this summer:Check out apps like https://www.waze.com/ (Waze) and https://www.gasbuddy.com/ (GasBuddy). If you’re not a Waze user, you should be. Not only does it help you get from point A to point B quickly and safely, but it can also locate the cheapest fuel nearby. One unique feature with GasBuddy? You can search for gas based on fuel type.
Look into joining a warehouse store: Places like Sam’s Club, Costco, and BJ’s offer discounts on fuel. The average discount is around $0.10 less per gallon than other gas stations. With a basic membership running around $50 per year, joining for the gas savings alone might make sense. The only hiccup? The stations are only found at warehouse locations. Time your fill-ups. Experts also say the best days to fill up are https://www.usatoday.com/story/money/2019/04/09/gas-prices-gasbuddy-best-day-to-fill-up/3399198002/ (Mondays and Tuesdays). That’s when gas is cheapest during the week. Also, consider “stacking” your daily outings, so you don’t backtrack all over town and use more fuel than you need to. Another idea? Carpool whenever you can or take public transit. Consider E15 gasoline: On April 12, President Biden announced https://www.cnn.com/2022/04/12/politics/us-gas-prices-waiver-joe-biden/index.html (an emergency waiver allowing year-round sales of E15 gasoline), which contains a 15% ethanol blend. Its sale is typically prohibited from June to mid-September because of air quality concerns. According to the White House, E15 can save consumers around 10 cents per gallon on average, so the next time you’re at the pump, look for E15 and save.
Gas prices aside, I hope you and your family are planning some quality time together. When you're ready to...
Fund Your Roth IRA before Tax DayTax Day is Monday, April 18th Choose from a wide variety of investment products Refine your retirement strategy with innovative tools and calculators Take advantage of potential tax benefits
IRA contribution limitsLearn about income and contribution limits for contributing to traditional and Roth IRAs.2021 and 2022 traditional & Roth IRA contribution limits Total annual contributions to your traditional and Roth IRAs combined cannot exceed:2021: $6,000, 2022: $6,000 (under age 50) 2021: $7,000, 2022: $7,000 (age 50 or older)
Roth IRA vs Traditional IRAContributing To My Roth IRA Vs. My Traditional IRAShould I Contribute To My Roth IRA Vs. My Traditional IRA?When saving for retirement, clients will often ask which account they should be making contributions to – a traditional IRA or a Roth IRA? The answer depends on several different factors that should be considered and discussed. To assist in this conversation, we have prepared the “Should I Contribute To My Roth IRA Versus My Traditional IRA?” flowchart. This flowchart considers: Eligibility to deduct contributions to a traditional IRA Eligibility to make contributions to a Roth IRA Current tax rates vs. future tax rates Ability to max out the contributions RMD impact
Contributing To My Roth IRACan I Contribute To My Roth IRA?A Roth IRA is a great option for clients looking to save after-tax dollars, offering the opportunity for tax-free growth and relaxed distribution rules. Unfortunately, eligibility to contribute to a Roth IRA is subject to restrictions, which can cause confusion. To help make the analysis easier, we have created the “Can I Contribute To My Roth IRA” flowchart. It addresses the key eligibility considerations, including: Earned income Other (traditional) IRA contributions Filing status-based MAGI thresholds
https://missionalmoney.com/wp-content/uploads/2022/03/Should-I-Contribute-To-My-Roth-IRA-Vs-My-Traditional-IRA-2022MM.pdf (Download our Roth IRA Checklist) Roth IRA Deadline NoticeIR-2022-52, March 8, 2022WASHINGTON — The Internal Revenue Service reminds taxpayers they may be able to claim a deduction on their 2021 tax return for contributions to their https://www.irs.gov/retirement-plans/individual-retirement-arrangements-iras (Individual Retirement Arrangement (IRA)) made through April 18, 2022. An IRA is a personal savings plan that lets employees and the self-employed set money aside for retirement and can have tax advantages. Contributions for 2021 can be made to a https://www.irs.gov/retirement-plans/traditional-iras (traditional) or https://www.irs.gov/retirement-plans/roth-iras (Roth) IRA until the filing due date, April 18, but must be designated for 2021 to the financial institution. Generally, eligible taxpayers can https://www.irs.gov/retirement-plans/plan-participant-employee/retirement-topics-ira-contribution-limits (contribute) up to $6,000 to an IRA for 2021. For those 50 years of age or older at the end of 2021, the limit is increased to $7,000. Qualified contributions to one or more traditional IRAs may be deductible up to the contribution limit or 100% of the taxpayer's compensation, whichever is less. There is no longer a maximum age for making IRA contributions. Those who make contributions to certain employer retirement plans, such as a 401k or 403(b), an IRA, or an Achieving a Better Life Experience (ABLE) account, may be able to claim the https://www.irs.gov/retirement-plans/plan-participant-employee/retirement-savings-contributions-savers-credit (Saver's Credit). Also known as the Retirement Savings Contributions Credit, the amount of the credit is generally based on the amount of contributions, the adjusted gross income and the taxpayer's filing status. The lower the taxpayer's income (or joint income, if applicable), the higher the amount of the tax credit. Dependents and full-time students...
Missional Money is a https://lovethepodcast.com/munchbach (podcast), an https://skills.munchbach.com/courses/make-your-money-count (online course), and a https://www.rightcapital.com/sign-up?referral=HYsFHOU_bUflLBhSSNB2tw&type=client (premium planning portal) all designed to help individual investors, families, and business owners manage the risk and opportunity of everyday life, recover from the unexpected, and realize their highest purpose. Hi, I'm Jim Munchbach, http://www.letsmakeaplan.org/choose-a-cfp-professional/find-a-cfp-professional/Details/?key=c0cb668f-9436-44b1-8b7d-eea62ebf7b4c&SimpleSearch=False&Latitude=0&Longitude=0&AreasOfSpecialization=&FirstName=Jim&LastName=Munchbach&Page=1&Session=87326 (CFP® Professional) and CEO of https://bayrockfinancial.com/ (BayRock Financial) in Houston, Texas. I created Missional Money to provide financial education for BayRock clients, our families, and my students at the https://www.bauer.uh.edu/search/directory/profile.asp?firstname=Jim&lastname=Munchbach (Bauer College of Business at University of Houston) where I teach Personal Finance. https://lovethepodcast.com/munchbach (Missional Money Podcast) is available in iTunes and everywhere podcasts are played. I try to post an episode each week, typically on the weekend. Each episode is also posted on our YouTube channel: Missional Money. Feel free to https://lovethepodcast.com/munchbach (Leave a 5 Star Review) and subscribe to our YouTube channel. Post your questions or comments in your iTunes review or in https://www.youtube.com/channel/UCnTvrv4vaxzHPc4FV8XANuw (YouTube) comments and I'll give a shoutout on the next episode of the Missional Money Podcast. https://skills.munchbach.com/courses/make-your-money-count (Make Your Money Count) is the title of our free online course and its based on my book by the same name.
Who is Make Your Money Count for?Everybody, All the TimeMany books about financial management focus almost exclusively on those who are deeply in debt. That’s a significant audience, but the financial principles that bring fulfillment and adventure apply to all of us. Getting out of debt brings tremendous relief, but connecting our resources to what matters most produces a delicious blend of contentment and excitement. I believe that’s what most of us long for. The message of this book is for three distinct audiences: those in their 20sand 30s, who are just starting out and facing new responsibilities, those in their 40s and 50s, who are in their most productive years, and those in their 60s and above, who live with either great joy or regret because of past choices. Let me describe these audiences a bit more. • 20s and 30sI talk to a lot of young singles and couples who realize that their new responsibilities of work, marriage, children, and a home require them to learn to manage their money. Just out of college, many of them spent every penny they made on clothes, cars, ski trips, and anything else their friends were doing. But now, they want to get serious about their finances, and they’re looking for some good advice. • 40s and 50sMany people in their 40s and 50s have settled into habits that are established—and maybe as hard as concrete. They’ve found a peer group they want to run with, and they have determined that they need to spend a certain amount of money to be accepted by them. In some cases, these habits include sound financial management, but often, these habits are monsters that need to be fed with more and more money. They’re making a lot of money, but they’re spending virtually all of it. Others in this stage of life have a lot of money in home equity and in various investment and retirement accounts, but their finances leave them with a mysterious sense of emptiness. Beyond a comfortable retirement, they aren’t sure what their money is for. Some in this stage have only a modest amount of money in retirement accounts, but not nearly enough to provide the security their families need.Unless things change, they know they’ll need to work until the day they die. • Over 60 Older people who come to my office seem to be full of either hope or despair. In most cases, their best income-producing years are over, and they look back on their decisions with either thankfulness or regret. Important lessons,however, are learned either way, so they still have a wonderful opportunity to impart wisdom to their children and grandchildren and leave a strong legacy. Vision, Intention, and MeansA Very Personal Journey. In my own life and in the lives of countless people I’ve counseled, I’ve realized that change happens most readily and permanently if people have a clear picture of the future, a commitment to take steps of progress, and good handles on the steps they need to take. Elements of change, then, are vision,intention, and means. This book is structured with these three features in mind: Clarifying Your Vision, Values, and PurposeThe first three chapters focus on creating or clarifying our vision or our purpose in life. As we got though those chapters, some people may think,Why is he taking so long to get to the nuts and bolts of budgeting and investing? The reason is that these three chapters are essential to give us direction and motivation for the choices we make in the rest of the book. The Blueprint for Financial Success™Chapter 4 takes us through “The Blueprint for Financial Success.” The analysis we do in this step stimulates our intention to make the changes we need to make. The rest of the book, chapters 5 through 8, describes the principles and resources we can use to achieve the goals we set in the Blueprint. Small Steps, Big PayoffsWhatever you do, don’t miss Chapter 6, “Small Steps, Big Payoffs.” This chapter shows how seemingly insignificant choices in our daily lives...
First Market CrashOn this day in 1792, https://link.investopedia.com/click/27085492.25554/aHR0cHM6Ly93d3cuaW52ZXN0b3BlZGlhLmNvbS90aW1lbGluZS1vZi1zdG9jay1tYXJrZXQtY3Jhc2hlcy01MjE3ODIwP3V0bV9zb3VyY2U9cGVyc29uYWxpemVkJnV0bV9jYW1wYWlnbj1ib3VuY2V4XzMmdXRtX3Rlcm09MjcwODU0OTI/569f216a18ff43d6669b7248B5a40b8f5 (Wall Street had its first major crash) in history, on "Black Monday," as Treasury bonds lost 10% of their value and shares in the Bank of the United States dropped 12%. The Panic of March 19, 1792Prior to the Financial Crisis of 1791–92, the Bank of the United States over-expanded its credit creation, which led to a https://link.investopedia.com/click/27085492.25554/aHR0cHM6Ly93d3cuaW52ZXN0b3BlZGlhLmNvbS90ZXJtcy9zL3NwZWN1bGF0aW9uLmFzcD91dG1fc291cmNlPXBlcnNvbmFsaXplZCZ1dG1fY2FtcGFpZ249Ym91bmNleF8zJnV0bV90ZXJtPTI3MDg1NDky/569f216a18ff43d6669b7248Bae7ce7e3 (speculative) rise in the securities market. When a number of speculators ultimately defaulted on their loans, it set off panic selling of securities. In response, then-Secretary of the Treasury https://link.investopedia.com/click/27085492.25554/aHR0cHM6Ly93d3cuaW52ZXN0b3BlZGlhLmNvbS93aG8taXMtYWxleGFuZGVyLWhhbWlsdG9uLTUyMDUwMjg_dXRtX3NvdXJjZT1wZXJzb25hbGl6ZWQmdXRtX2NhbXBhaWduPWJvdW5jZXhfMyZ1dG1fdGVybT0yNzA4NTQ5Mg/569f216a18ff43d6669b7248Bb3f6be19 (Alexander Hamilton) cajoled many banks into granting discounts to those in need of credit in multiple cities, in addition to utilizing numerous policies and other measures to stabilize U.S. markets. First Credit CrisisThe Panic of 1792 was the first credit crisis in the US Stock Market. It occurred during the months of March and April 1792. The first market crash was precipitated by the expansion of credit by the newly formed Bank of the United States. With rampant speculation on the part of William Duer, Alexander Macomb, and other prominent bankers at the time. Duer, Macomb, and other speculators tried to inflate prices of US debt securities and bank stocks. They defaulted on their loans causing prices to fall which caused a "run on the bank". At the same time, the Bank of the United States was "tightening credit" which (as always) intensified the initial panic of 1792. Alexander Hamilton was Secretary of the Treasury at that time. Hamilton jumped into action by providing banks with "easy money" which allowed the banks to make open-market purchases of securities. Hamilton's actions helped the market to stabilize by May 1792. First Market Crash TimelineThe Last 100 Year History of Market Crashes. Mostly from https://www.investopedia.com/ (Investopedia)When we have a stock market crash, it's often the result of events that cause investors to react out of fear which means selling their securities. Bad news about the economy along with current sentiment and current events always have the potential to set off a chain reaction that leads to a market crash. This type of market crash has happened regularly throughout history. US stock market crashes go all the way back to the 18th century and while there is no official market crash timeline for the US Stock Market here's a few highlights you may find helpful: Market Crash HighlightsA Market Crash can have major economic impact and it can take a significant amount of time for "the market" to get back to its pre-crash level. The earliest market crash is known as the "Dutch Tulip Bulb Market Bubble". Also known as Tulipmania, which took place in 1637. The first US market crash was the Credit Crisis of 1791–92. Some call this market crash "Black Monday" The market crash of Oct. 19, 1987 is better known as "Black Monday" and it marked the biggest single day market crash in history. The Coronavirus Market Crash of 2020 is our most recent example. This market crash lasted only a few months yet many folks in New York City are still wearing masks when they go outside to exercise.
Missional Money...
What's Your Plan?"Everybody's got plans . . . until they get hit."—Mike Tyson For the Next Market CorrectionWhat Issues Should I Consider During A Recession Or Market Correction?This checklist covers many of the issues to consider during a recession or market correction. It addresses some strategies particularly useful when the valuations of the markets are low (such as Roth Conversions and gifting strategies) as well strategies to mitigate the negative impact (cash flow becoming tight). This can help to pivot a conversation away from one of fear of the future to one where you consider strategies to take advantage of low valuations. CASH FLOW ISSUESWill your cash flow be tight? You may need to prioritize your obligations, and take advantage of opportunities to extend due dates or alter payment schedules, minimizing fees, penalties, and any negative impact upon your credit. Reexamine your budget looking for areas to reduce spending, especially discretionary expenses. Fund any shortfalls strategically, using the most advantageous source of cash. Do we need to review or increase your emergency fund? If so, let's evaluate the size of your fund and assess the number of months that it can support your living expenses.
TAX PLANNING ISSUESDo you have an annual gifting strategy in place to pass assets to your heirs? If so, consider gifting assets (up to $16,000, per person, gift tax-free) now, while valuations are low, and while support may be particularly helpful to the donee. Are you in a position to help family members in need of financial assistance? If so, consider making intrafamilial loans when the AFR is low. This avoids gift tax, locks in a favorable interest rate for the borrower, and can act as an “advance” on an inheritance when structured with your heirs. Do you need to update your estate plan?If so, consider the following: Review the impact of any change in asset values upon the ultimate distribution of your estate including probate and non-probate assets. Consider implementing wealth transfer techniques that take advantage of low valuations and rates (such as GRATs, CLATs, IDGTs, and private annuities). Reference the https://missionalmoney.com/wp-content/uploads/2022/02/What-Issues-Should-I-Consider-When-Reviewing-My-Estate-Planning-Documents-MM-22.pdf (“What Issues Should I Consider Before I Update My Estate Plan?“ checklist.)LONG-TERM PLANNING ISSUESDo you have a mortgage or debts?If so, consider if you should refinance any debts now while interest rates are low. Do you want to rebalance your investment and retirement accounts? If so, consider the following: Revisit your target asset allocation and overall investment philosophy. Identify holdings that you have retained only because of their low basis, and consider reducing your position while valuations are low, minimizing realized gains. As always, exercise discretion and discipline, taking a long-term view and prudent action. Do you have extra cash that is not earmarked for an upcoming expenditure? If so, consider investing it to take advantage of low valuations. Do you typically make contributions to a traditional IRA or Roth IRA? If so, consider making a contribution now, to take advantage of low valuations. Are you a small business owner? If so, you may be eligible for a small business loan, or other forms of federal, state, and community relief. What's Your Plan?For Saving More MoneyWhat Type of Account Should I Consider To Save More?When you have a surplus cash on hand that you want to save for the future, you often need help identifying all of the different account types to consider. This checklist provides a structured outline to guide you conversations regarding available and appropriate saving strategies It covers accounts across the following categories:Foundational SavingsHealthcare SavingsRetirement...
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Make Your Money Count (Online Course)FREE for Faculty and Students at the Bauer College of Business at University of Houston.Your Family Members Your Friends and Your Associates
Invest Without Guessing About Riskhttps://pro.riskalyze.com/embed/9b6ec80d5e4d1357a9ad (Take our 5 Minute Risk Survey)Putting Your the Risk Number at the center of your planning process helps you manage the risk and opportunity of everyday life, recover from the unexpected, and realize your highest purpose. We'll use your Risk Number to analyze and monitor every single security in your portfolio We then run a cross-correlation analysis under the hood and roll it up for your family's portfolio This ensures the highest possible level of transparency You get sophisticated analytics to help you manage the risk — and opportunity — of everyday life.
Let’s Talk About https://pro.riskalyze.com/embed/9b6ec80d5e4d1357a9ad (Your Risk Number)Rather than getting caught up in the ocean of information available online and elsewhere, it’s important to focus on reliable sources of data that have stood the test of time – delivered to you in a format you can easily understand. Let's Put https://pro.riskalyze.com/embed/9b6ec80d5e4d1357a9ad (Your Risk Number) at the center of your planWe'll use your Risk Number to analyze and monitor every single security in your portfolio We'll run a cross-correlation analysis under the hood of your entire portfolio We'll give you the highest possible level of transparency into your investments We'll deliver sophisticated analytics to help you manage the risk — and opportunity — of everyday life.
How to Build a Better RetirementJim Munchbach is dedicated to helping individual investors, families, and business owners manage the risk and opportunity of everyday life, recover from the unexpected, and realize their highest purpose. Save More Money Invest More Carefully Pay Less Taxes
Tax Efficient Planning StrategiesThe second law of personal finance is the law of Tax-Advantaged Investing. The IRS makes the law. Your job is to take advantage of the law. By creating a Tax-Advantaged Investment Plan, you will pay lower taxes, save more money and build a better retirement. How to Setup Your Plan
How to Invest in a Super Bubble Super Bubble is an old idea. The News people say we very well may be in, near, or around the Super Bubble level. We've definitely seen Super Bubble activity in the Stock Market in several sectors. Before you reach for your mouse to make your next trade, let me share a few thoughts, ideas, and strategies to help you Make Your Money Count in this Super Bubble season.Jeremy Grantham has been broadcasting what investors should own when the super bubble pops. I'd like to help you see both sides of the Super Bubble so that you can have a better chance of making money when the market soars, sinks, or just floats along while the super bubble inflates over time. Grantham the guru says holding cash, avoiding US stocks, and bargain hunting in emerging markets is the name of the Super Bubble game. Grantham is right about owning high-quality US stocks that can weather serious market downturns like the one we're in this month, February 2022. Grantham has predicted that the US is in our 4th super bubble of the past hundred years. His warning is that the S&P 500 will crash over 40% to around 2,500 after the super bubble pops. But timing is a tricky piece of business when you're playng with Mr. Market. Jeremy Grantham has a lot more experience than I do and far be it from me to pretend that I have a better strategy for making money than the veteran investor and GMO cofounder. But I do know that one thing he's not saying is a lot more critical than anything I've heard him say so far... 3 Things To Do NowCreate a compelling Financial Plan Review your investment portfolio Learn how to Make Your Money Count
Let's Make a PlanBuy Low, Sell High, and Make Your Money Count every step of the way. Investment management is certainly important but if you don't have a well defined, and well-coordinated financial plan, your chances of success will be severely limited. With a good, up to date, well coordinated financial plan, you can make mistakes in your investment portfolio and still maintain a very high probablity of success. RiskAlyze Your InvestmentsYou can invest a lot of time and energy trying to hedge your portfolio against a series of historic market bubbles. Be carefully aware of the daily frenzy of media noise makers and their agenda of selling their news. Yes, the Super Bubble that may get popped by Putin's invasion of Ukraine. But before we go 100% to cash -- or worst jump into Gold, let's take a closer look at a few of the tools and strategies we have available to manage risk - and opportunity. You always need some cash reserves because when the Super Bubble busts, there will be some great buying opportunities. Owning a small amount of gold and silver in your portfolio is great, but today's more likely the day to take some profit. Today would not be the day to buy gold or silver IMO. Grantham thinks its time to start avoiding US stocks. What do you think? Or, what do you think I think? I think we might want to look at a chart of two. I agree with Grantham about owning high-quality US Stocks but we all know what will happen to every asset class on the planet when the Super Bubble pops. S&P 500 stocks generally do better than global in pullbacks like we're having now. Subscribe to Make Your Money Count Today we're officially launching our online course: Make Your Money Count. The course is sponsored by BayRock and its free for clients of BayRock, family members, and faculty at the Bauer College of Business at University of Houston. Listen to Missional Money PodcastIn each episode moving forward, I'll use the Missional Money podcast to teach you everything I know about financial planning and investment management. Here are just a few of the topics we'll cover in the online course. And each weekly episode of podcast will include a short segment to highlight What Matters Most and to help you Make Your Money Count. Market OutlookThe Coming...