I like to describe myself as a financial advisor who looks at the “whole” picture before making recommendations to my clients. Too often I see families making decisions in a vacuum without looking at the complete picture of their financial lives.
It is my goal to not let this happen to my clients. I like to provide them with education about their finances so they can potentially make the best long term financial decisions for their families.
Below you can hear Win Damon and I review this comprehensive approach to financial planning. We chat about pertinent tax and financial topics on Radio 106.1 FM WNBP.com every Tuesday morning at 8:30.
Stuart Steinberg of Eaglerock Financial, Inc. has worked with families for more than 20 years, helping them work toward their financial goals through a holistic, well rounded approach rooted in objectivity, education, and empowerment. Stu is highly regarded by clients and colleagues for his unique combination of investment, CPA and entrepreneurial experience in the high net worth market.
1) Will I outlive my money? This is the number one concern for seniors and more people are worried about this than actually passing away. As a result, seniors often look for investment options that are safe and produce earnings that are sufficient to cover their living expenses. Folks living on a fixed budget are very aware of how much money they need to draw out of their investments each month to cover their bills. If this earning power is diminished due to market fluctuations than seniors fear that they will run out of money. I had to tell a woman in my office the other day that if our assumptions hold true she will run out of money by age 82. This is not what she wants to hear but it is
information I have to report, and changes will have to be made.
2) Loss of Independence. Seniors often lose their will if they do not maintain their independence. If seniors lose control of their financial lives and decision making process this will surely lead to a loss of independence. No one wants to live with their kids when they are 70 or 80 and as a result the advanced planning becomes even more vital.
3) Beware the unscrupulous financial advisor. This can happen on many levels. First, many advisors are more interested in meeting sales goals or selling a product that has a higher commission. When this happens, seniors can get locked in to investments that were not best for them in the first place. I recommend the senior has a child or personal representative with them when meeting with an advisor and to have all their questions ready ahead of time. They should also interview the advisor him/herself and really learn about their business and where they work best.
Second, the scam artists are in full gear when it comes to internet and seniors. I have 2 clients who have parents who have been scammed sending their personal banking information to someone in Nigeria or Kenya. These cases happen far too often. Seniors can also fall victim to ponzi schemes, or fall victim to abuse of power of attorney to transact business that is not in the seniors best interest.
4) How to battle the rising cost of healthcare. How can seniors get affordable and quality healthcare? Modern medicine has made some tremendous strides and the human race is living longer and longer. As people age we are more likely to need health care. Seniors who have set up their plans in advance often include long term care policies to help protect with the potential cost of in home care, assisted living,
or nursing home care.
Listen below as Stu discusses this topic with Win Damon of WNBP 106.1 FM and wnbp.com
Stuart Steinberg of Eaglerock Financial, Inc. has worked with families for more than 20 years, helping them work toward their financial goals through a holistic, well rounded approach rooted in objectivity, education, and empowerment. Stu is highly regarded by clients and colleagues for his unique combination of investment, CPA and entrepreneurial experience in the high net worth market.
The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. To determine which investment(s) may be appropriate for you, consult your financial advisor prior to investing. There is no guarantee that a diversified portfolio will enhance overall returns or outperform a non-diversified portfolio. Diversification does not protect against market risk. Stock investing involves risk including loss of principal.
Securities offered through LPL Financial, Member FINRA/SIPC.
I remember it well. It was October 2007, and the stock market was at a high point. By the time we had reached March of 2009 the market had lost 52.9% of its value. We were losing close to $750,000 in jobs a month. There was legitimate panic in families of all shapes and sizes, including the so called 1% families. I know this to be true because as a CPA and financial advisor, I have chosen my life’s work to consult with families each and every day, and I found myself in the trenches like never before.
Most of my clients are hearty Northeasterners living in New York and New England, in addition to the locals who have escaped to points further south. Many of the 35–55 year olds I work with are caring for elderly parents and raising dependent children. I see a cross section of educated professionals who work in many fields including technology, healthcare, education, and small business entrepreneurship. I have many clients like the electrician or the plumber next door who are raising families and paying their bills and investing for the long term.
Client contact was at an all-time high during the winter of 2008-2009.
“I am going to cash all my accounts in and put the money in my safe” was a common comment.
“I am never buying the stock market again” was another.
“How am I ever going to be able to retire or educate my kids” was a question I heard all too much.
Most of the advice I gave was to “hang in there” and “things will get better”. I made sure that the mix of investments, (i.e. the client’s financial plan), was still best for the particular individual situation. I did a lot of handholding, and I educated, consulted and advised at a rapid rate. The panic everywhere was real and the media fanned the flames of anxiety. I stayed steady. I wanted to help my clients. This was the darkest time of their financial lives.
Now let’s fast forward to today. The economy and taxes are still a concern. We are not where we need to be. But the recovery is happening, slowly but surely. And guess what? The rampant fear is gone. Businesses of all sizes are doing better. Most of the businesses I consult with or patronize are all doing better than they were in late 2008 or early 2009. I know this because I ask the owners or the managers themselves. I get their real world opinions and it helps me become a more informed advisor. Our economy has now had 2 ½ straight years of monthly job gains. In 3 ½ short years the market has gained back almost all of its losses. Clients turned to me to help chart a steady course for them during the toughest financial market since the great depression and the most embarrassing political time of America’s existence, with approval ratings for Congress sliding down to about 10%, a 38 year low in that poll!
I get rewarded every day in my job. I feel blessed every day to work in a field where I can truly make a difference in the lives of every day Americans.
Listen below as Win Damon and I review this very topic on WNBP.com FM radio 106.1 in Newburyport
The opinions expressed in this material do not necessarily reflect the views of LPL Financial and are for general information only and are not intended to provide specific advice or recommendations for any individual. To determine which investment(s) may be appropriate for you, consult your financial advisor prior to investing. All performance referenced is historical and is no guarantee of future results.
EAGLEROCK FINANCIAL IS PLEASED TO INTRODUCE A SPECIAL PRESENTATION
“Invest for Life: A road map for your financial future”
Thursday October 18, 2012 at 1 p.m.
As Lao Tzu said “A journey of a thousand miles begins with one step” Planning your financial future can take many twists and turns. You are the navigator of your future financial success. There are many steps in securing your future financial future.
** Learn how to Set Goals
** Working with the right financial advisor
** Mapping a personalized strategy
**Checking your progress through benchmarking and personal goals
**Selecting investment types
**Understanding assets and classes
**Principles of investing
Stuart Steinberg of Eaglerock Financial, Inc has worked with families for more than 20 years, helping them work toward their financial goals through a holistic, well rounded approach rooted in objectivity, education, and empowerment
The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. To determine which investment(s) may be appropriate for you, consult your financial advisor prior to investing. Investing in mutual funds involves risk, including possible loss of principal
Investors should consider the investment objectives, risks, charges and expenses of the investment company carefully before investing. The prospectus contains this and other important information about the investment company.
Securities Offered through LPL Financial, Member FINRA/SIPC
I wish I had a dime for every time someone called me with a hot tip or a new investment idea. Boy I certainly would be a rich man. I am glad I did not take all that advice for sure. Every single investor is different and has varying needs, wants, and desires. Here are some common myths about money and investing:
1) You need a lot of money to invest. It is actually the opposite. The sooner you start with a disciplined, long term, financial strategy, the better. I always say: “Start with $50/month for a while. As life progresses, and your career advances, your monthly savings will increase as well. Your long term plan will be off and running!
2) You need to find a more complex investment strategy to beat the market. While some portfolios need to be more complex and further diversified because of the large size of the investment, although no strategy assures success or protects against loss, often times it is the simple buy monthly and hold, value oriented strategy that does the best over time. Yes, I know this is boring. But some of the best long term strategies I have seen over the years are the simplest, even if the personal or business assets get into the millions! Sometimes it is best to remain simple, and truly understand the investments you are making.
3) You need to shoot for aggressive “home run” investments to get to where you want to be. Again the goal here is really the opposite. Let’s say your friend at work has a great tip on an investment. You decide to invest $100,000, the entire amount of your bank account! Of course, the investment does not work out and you lose ½ and sell the asset netting $50,000. A loss of 50%! What will it take now to get back to where you started? A 100% gain! This of course will be very challenging to reach in many situations. So instead of trying to hit a home run, it is often best to hit many quality singles and build for the long term.
4) You need to study the market constantly in order to beat the market. It is best to have a basic understanding of the various markets you are investing in, and to know what they are doing. But it is often best to stop there. At this point, I would rather you study yourself, and what makes you tick. Study your needs and wants and desires and see how they all fit in with your big picture financial plan. It is important to not get swallowed up in the latest stock or tip or what the media says. With the help of a trusted advisor you may able to take some or all of the emotion out of the actual investment and really benefit from the understanding of the process.
5) You need to do what your friends, family, and co-workers dowith their money. Believe it or not, this is what many people do. They follow the herd and do whatever everyone else is doing. It is obviously not the recommended path for anyone to take. It is the foundation of emotional investing, and it is also commonly seen in certain consumer behavior as well as in politics. In dealing with the public and their money for over 23 years, I can truly say that no 2 clients are the same. Even the best of friends or brothers and sisters!
6) You NEED to own a home because renting is like throwing money away. Rent is like other household money you spend like gas, food, and utilities that gets used up over time but is necessary for basic living. You would not consider those expenses as throw away, would you? Buying a home to live in is certainly an investment, but I like to think of it as my home as opposed to a certain investment that needs to make money. Besides, with a traditional 30 year fixed rate at 4% on a $300,000 mortgage. After 5 years you will have made ~$86,000 in payments yet still owe ~$271,000 on the mortgage. Many would consider that throwing away ~$57,000 in interest.
Listen below to hear Win Damon and I review this very topic on WNBP Radio 1450 and wnbp.com. Win and I have educational financial chats every Tuesaday morning at 8:30!
The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. To determine which investment(s) may be appropriate for you, consult your financial advisor prior to investing. There is no guarantee that a diversified portfolio will enhance overall returns or outperform a non-diversified portfolio. Diversification does not protect against market risk. Stock investing involves risk including loss of principal.
Securities Offered through LPL Financial, Member FINRA/SIPC
STUART STEINBERG OF EAGLEROCK FINANCIAL IS PROUD TO INTRODUCE A SPECIAL PRESENTATION:
“Five Tips for Surviving Market Volatility Presentation”
Thursday October 4, 2012 at 1 p.m.
There are many factors that contribute to market volatility including consumer confidence, inflation, credit rates, oil prices, and even corporate earnings. How severe will these factors be? How long will they last? How much of an impact will this have in your financial planning? In this presentation you will:
** Learn about the factors that contribute to market fluctuations and to put the volatility in better perspective
** Learn the importance of taking a long-term approach to your financial plan
** Implement a diversified investment strategy
** Maintain realistic expectations regarding your investments and your plan
Stuart Steinberg of Eaglerock Financial, Inc. has worked with families for more than 20 years, helping them work toward their financial goals through a holistic, well rounded approach rooted in objectivity, education, and empowerment. Stu is highly regarded by clients and colleagues for his unique combination of investment, CPA and entrepreneurial specialist in the high net worth market.
The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. To determine which investment(s) may be appropriate for you, consult your financial advisor prior to investing.
Securities Offered through LPL Financial, Member FINRA/SIPC
STUART STEINBERG OF EAGLEROCK FINANCIAL IS PROUD TO INTRODUCE A SPECIAL PRESENTATION:
Wealth Management Strategies Presentation (Tracking #540179)
Thursday September 27, 2012
Learn how to talk to your advisor about planning and savings, and potentially turn the money you have into the money you will need. In this seminar you will:
** Identify potential sources of income in retirement
** Help you identify your estate planning needs
** Get an overall snapshot of your net worth and planning
Stuart Steinberg of Eaglerock Financial, Inc. has worked with families for more than 20 years, helping them work toward their financial goals through a holistic, well rounded approach rooted in objectivity, education, and empowerment. Stu is highly regarded by clients and colleagues for his unique combination of investment, CPA and entrepreneurial expertise in the high net worth market
The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. To determine which investment(s) may be appropriate for you, consult your financial advisor prior to investing. Investing in mutual funds involves risk, including possible loss of principal
Investors should consider the investment objectives, risks, charges and expenses of the investment company carefully before investing. The prospectus contains this and other important information about the investment company. You can obtain a prospectus from your financial representative. Read carefully before investing.
Stuart Steinberg is a registered representative with and Securities Offered through LPL Financial, Member FINRA/SIPC (www.finra.org, www.sipc.org)
Eaglerock Financial, Inc. and LPL Financial are unaffiliated entities.
The following commentary exresses the political view of the author and in no way represents the views of LPL Financial. The assumptions made are based on the proposed 2013 budget and tax provisions, which have yet to be approved by Congress and are subject to change.
The Supreme Court of the United States of America has upheld the health care law. The provision in the law that requires people without insurance to purchase insurance or pay a fee was deemed constitutional under the power of Congress. I hear a ton of fallacies from the American public, mostly because people do not understand the complexities of the law or how it will impact them specifically. Also, many folks are simply moaning about the liberal president and how this awful law will destroy America. Well, of course it will not, despite the efforts of Republicans who have voted 33 times to repeal the law, wasting some $50 million (and counting) of taxpayer funds. I am fairly certain that many low income taxpayers who are against Obamacare do not even realize that they will be helped by the provisions of the law.
But what does this all mean for you? Let’s review some of the key provisions of the Affordable Care Act, and its effect on your particular situation:
1) Some changes already went into effect in 2011 and 2012, most importantly that children can now stay on their parents plan until they are 26 and that insurance companies can no longer deny insurance to children who have pre-existing conditions. Tax credits are available to small businesses to help cover the cost of the premiums.
2) In 2013 many of the big changes will take effect. Upper income earners will be the ones hit the hardest. If you are single and make more than $200,000 or married and make more than $250,000, you will pay a .9% additional Medicare surtax. That translates into $1800 for the single taxpayer and $2250 for the married taxpayer. If your income doubles, than the tax is doubled. Self-employed taxpayers will take the hit here too. A couple making $500,000 will pay $4500 extra in tax for 2013.
3) A 3.8% Medicare surtax on unearned income will be imposed in 2013. Income includes interest, dividends, capital gains, annuities, and passive income from rental properties. The same income limits apply, $200,000 for singles and $250,000 for married tax payers. So for example, let’s say a married couple with $400,000 modified Income has a dividend form general Electric stock totaling $20,000. This family will pay an extra $760 in the Medicare surtax.
4) Other items which will take effect in 2013 include the limitation on the deduction for medical expenses for filers under 65 years old, a 2.3% tax on certain medical devices, payins to flexible spending accounts will be capped at $2500/year, and the retiree drug plan that is federally subsidized will not be tax deductible
5) In 2014, Medicaid will expand to cover those families that are at the 133% poverty line, equal to a salary of $30,657 for a family of four. This is sure to help out these families in need in a tremendous way. Insurance companies will have to cover everyone in 2014, regardless of race, color, creed, health history, or religious preference. Also, every citizen is required to have insurance or pay a fine. The penalty will be capped for families in 2014 at $285, although the cap does rise sharply by 2016 to $2085/family. Families making less than $88,000 will get some tax credits to help them offset the cost of the insurance. Employers take a hit in 2014 also, especially the ones with more than 50 employees and no health plan. The fine is $2000/employee
6) By 2018, a 40% excise tax will be levied on the insurer on policies with premiums over $10,200 for individuals or $27,500 for family coverage (indexed for inflation).
The bottom line here is this: The IRS’s role in health care is only going to get larger. The government will attempt to pay for the reform by potential savings in Medicare and Medicaid, and future taxes and fees that are yet to be determined. But one thing still holds true: prevention is the key. If we can get people to be healthier and to see a doctor more frequently, we can hopefully prevent the chronic care that is so costly. In 2009, 7 out of 10 deaths were caused by chronic conditions such as obesity, poor diet, physical inactivity, and tobacco use. If we can help these individuals proactively, we can potentially help them live a happy and healthy life, and lower our long term health care costs as a nation along the way!
Listen below to WIn Damon and Stu review this very topic on radio 1450 AM Newburyport and WNBP.com every Tuesday morning at 8:30 AM.
Stuart Steinberg, CPA, MBA has been dealing with families and their money issues since 1988. He can be reached at 55 Pleasant Street Newburyport and at (978)864-9581 and stu@eaglerockfinancial.net
The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. To determine which investment(s) may be appropriate for you, consult your financial advisor prior to investing.
This information is not intended to be a substitute for specific individualized tax advice. We suggest you discuss your specific tax issues with a qualified tax advisor.
Securities Offered through LPL Financial, Member FINRA/SIPC
For me it has always been slow and steady wins the race. When it comes to financial planning that is. What do I mean by that? I mean over the years I have seen people make all sorts of mistakes with their money in many different types of investments. In this day and age, everybody is an expert and has access to an incredible amount of information.
So what gives? Why do many people fail when it comes to long term investing? For the same reason many fail when it comes to any kind of investing. They either get greedy, they get emotional, or they are uneducated about the actual products they are buying. They make decisions at warp speed with the advice of their top 20 people and websites or gurus and they don’t remain focused and change plans without really knowing what to do! Or they ask everyone in the cubes working near them or all their neighbors what they do with their finances. This is not the way to go!
Here are 4 top ideas to help you remain slow and steady in your investment program:
1) Understand what you are doing. Get educated. Choose your advisor from a trusted referral if possible. Ask him/her as many questions you may have about fees or prepayment penalties or any investment related ideas. While this may sound simple it really isn’t for many folks. They actually often say they are too busy to understand this now. I never can believe this when I hear this. The bottom line is that you are in control of the entire process, so if you choose education, and you take your time, you will plan more efficiently and you will do it with potentially less stress and anxiety. Please don’t overanalyze too much either, just get the facts and make a good, educated decision.
2) Don’t get emotional about your investing. Easier said than done. Just because your neighbor or person who works near your cube at work has a hot new tip doesn’t mean you have to jump on board. You are chasing a dream when you invest that way. Is the investment really right for you just because it is right for them? Is it even right for them in the first place? You emotions should not get in the way of what your long term focus needs to be. So dont get over excited and buy high just to become an investor who asks himself “ How could I let this happen to me” when the investment falters
3) How much risk are you willing to take to get to where you want to be? This is a key factor in any planning situation. You must understand that risk is inherent in any situation. Look, you are not going to get to where you need to be by stuffing the money in the mattress. And there’s risk there too that someone could steal the cash! But you must understand fully how much risk you need to take on to accomplish your goals, and set the plan in motion accordingly. Any extra risk is not recommended
4) Choose an advisor who understands the emotional mindset of the average person and who also looks at the long term himself. There can be no better tip than this!
Listen below to hear Win Damon and I review this very topic on WNBP Radio 1450 and wnbp.com. Win and I have educational financial chats every Tuesaday morning at 8:30!
Stuart Steinberg, CPA, MBA has been dealing with families and their money issues since 1988. He can be reached at 55 Pleasant Street Newburyport and at (978)864-9581 and stu@eaglerockfinancial.net
The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. To determine which investment(s) may be appropriate for you, consult your financial advisor prior to investing.
Advisory Services offered through LPL Financial, a Registered Investment Advisor.
Securities Offered through LPL Financial, Member FINRA/SIPC
STUART STEINBERG OF EAGLEROCK FINANCIAL IS PROUD TO INTRODUCE A SPECIAL PRESENTATION:
Invest in Your Child’s Future Presentation (Tracking #634953)
Thursday September 20, 2012 at 1 p.m.
Many Americans feel that sending their kids to college is an essential part of the American dream. However, the cost of this education is spiraling out of control. There is a need to create awareness of the various college savings vehicles available to parents, and even grandparents!
** Understand how college planning is similar to retirement planning
** Learn the importance of taking a long-term approach to your college plan
** Review the various investments that may apply to your particular situation
** Learn to maintain realistic expectations regarding your college plan
Stuart Steinberg of Eaglerock Financial, Inc. has worked with families for more than 20 years, helping them work toward their financial goals through a holistic, well rounded approach rooted in objectivity, education, and empowerment. Stu is highly regarded by clients and colleagues for his unique combination of investment, CPA and entrepreneurial specialist in the high net worth market.
The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. To determine which investment(s) may be appropriate for you, consult your financial advisor prior to investing.
Securities Offered through LPL Financial, Member FINRA/SIPC
I like to describe myself as a financial advisor who looks at the “whole” picture before making recommendations to my clients. Too often I see families making decisions in a vacuum without looking at the complete picture of their financial lives.
