• Budgeting

    How to Talk to Your Kids About Money

    Written By: David Hessel, Fiduciary Financial Advisor in Brookfield Wisconsin

    Opening up and starting conversations about how to handle money and finances with your kids may seem overwhelming, but it doesn’t have to be.

    As a parent, it is your role to serve as a positive influence in their lives to get them on the right financial track. Here are five things to consider as you embark on helping your children understand the importance of being responsible with their finances. 

    Start Simply, When They Are Young

    Start discussing money with even the littlest ones by including by including them in everyday activities, such as grocery shopping or budgeting. This allows money to become a tangible concept and not some abstract thing that they cannot see. You can also ask them questions such as “We have 5 dollars to buy a treat, would you pick gelato or cookies?”.  These types of conversations help children to understand that their are trade-offs to any decision, and that money is not infinite.

    Be Truthful  

    Being honest with your kids is a great first step to opening the door to discussing finances. You can share the family budget for items like groceries or entertainment, and explain remind them of this limit when they ask for items that don’t fit within it.

    Additionally, if there are things in your financial past, such as going into debt, that you are not proud of, share that with your kids. Honest moments with your kids are very valuable and will help build trust. Keep in mind that the more open and honest you are with your kids, the more open they will be with you, so being truthful about your own finances is a great place to start. 

    Talk About Values 

    Encourage your kids to consider what is important to them for their future. Start by asking questions such as “Do you want to own a house or rent when you grow up? or “What splurges would you like to be able to make when you grow up (travel, cars, etc)?”.

    Helping kids to visualize what they want for the future is a crucial component to talking to kids about money and financial goals. Talking about what they value and hope to have in their future allows them to take a long-term view, which is critical to the concepts of saving, budgeting, and paying down debts.

    Establish Family Goals 

    As a family, talk about your budgeting methods and set specific goals together. For instance, perhaps you set a weekly grocery limit of $150. Take your children to the store with you when you shop and have them help look for sales or clip coupons to keep your cart under budget. Involving your children however you can with the family finances is a great hands-on way to educate them and give them a chance to see real-life examples of how their financial habits will impact them in the future. 

    Lead By Example 

    There may be certain financial topics that you are not as knowledgeable about, and that’s okay! Take the opportunity to learn with your kids. Showing your kids that you are interested in growing your understanding of financial topics will heighten their interest in it as well. 

    Talking to your kids about money may seem like a daunting conversation to have if you don’t know how to approach it properly. However, broaching the subject sooner rather than later will reap many benefits for you and your kids. Ultimately, you want your kids to have the knowledge and skills they need to handle their own finances responsibly as they grow up. As a parent, it’s your job to instill this knowledge in them and to open the door to an often taboo subject so that you can help them get off on the right foot with their finances. Financial habits are formed young, so it’s critical that you start early and start the conversation today. Make your kids feel comfortable to talk about finances with you by using these tips. 

    Looking for more guidance on how to be financially stress-free? Schedule a 30-Minute Phone Call with David Hessel, Fiduciary Financial Advisor in Brookfield Wisconsin, here or send him an email at dhessel@gvcaponline.com.

    You can find the original article here.

    GVCM is an SEC Registered Investment Advisory firm, headquartered at N14W23833 Stone Ridge Drive, Suite 350, Waukesha, WI 53188. PH: 262.650.1030. David Hessel is an Investment Adviser Representative (“Adviser”) with GVCM. Additional information can be found at: https://www.adviserinfo.sec.gov/IAPD/Global View Capital Insurance, LTD. (GVCI) insurance services offered through ASH Brokerage and PKS Financial. David Hessel is an Insurance Agent of GVCI. Global View Capital Advisors, LTD is an affiliate of Global View Capital Management, LTD (GVCM). This content is developed from sources believed to be providing accurate information, and provided by Twenty Over Ten. It may not be used for the purpose of avoiding any federal tax penalties. Please consult legal or tax professionals for specific information regarding your individual situation. The opinions expressed and material provided are for general information, and should not be considered a solicitation for the purchase or sale of any security.

  • Budgeting

    Finances: The No. 1 Reason Americans are More Anxious Than Ever Before (+ How to Manage it)

    Written By: David Hessel, Fiduciary Financial Advisor in Brookfield Wisconsin

    As we get older, more and more expenses end up on our plate. From mortgages to car repairs, it can feel like there are endless bills to pay. And as we all know, with more bills, comes more pressure, anxiety and stress. In fact, the American Psychological Association found that money is Americans’ number one stressor.1 Finances have remained at the top of the list since the survey began in 2007.2

    When it comes to stress, the numbers don’t lie. The Proceedings of the National Academy of Sciences conducted a study that evaluated heart health changes before, during and after a recent financial crisis and found that during the recession, both blood pressure and blood glucose levels increased in respondents, signaling a worsening in heart health.3

    While many of us dream of being financially secure, most of us can agree that traditional education in our public schools does not properly equip us with the knowledge and resources necessary to be effective financial decision-makers. There seems to be a growing gap between financial literacy and our population, causing many people to lose hope and get trapped in a deeper hole of debt.

    However, when it comes to money, there are four ways you can more effectively manage your finances so you remain in control of your spending habits.

    Tip #1: Automate Your Savings

    It can be difficult to set aside money every month, especially after you’ve been anxiously awaiting to get your paycheck. If you’re someone who struggles with putting money away, consider setting up an automatic transfer from your checking account to your savings account each month to make sure that no matter what, you’re continuously growing your nest egg. Whether you want to be prepared for any emergencies that may come up or have a dream of buying a house one day, adding money to your savings account every month — even if it’s only $100 — can get you closer to the financial stability you need to feel confident about your future.

    Tip #2: Stay Away from Impulse Purchases

    With so many products out there — ranging from new gadgets to the latest ‘must-have’ accessories — it can be difficult to put a cap on your spending habits. Instead of putting yourself right in front of your guilty pleasures, consider putting your money towards experiences, rather than material items. If your favorite past-time is going to the mall, swap window shopping with a picnic out in the park or a day out at your local museum (some museums offer discounted prices over the weekend). While retail therapy may seem like the solution to your problems, oftentimes, you end up feeling worse than if you had spent your time making memories instead. With these memories, your craving for consumerism may gradually die down, leaving you with more time to enjoy the simple pleasures in life.

    Tip #3: Focus on What You Can Control

    While it’s difficult to effectively plan ahead for every single expense we’re going to have, you can at least have an initial game plan for where your money is going to go. Theoretically, every month, you know you’re going to have to pay rent or a mortgage, buy groceries, pay other utility bills and fill up on gas a few times. So, after you get your paycheck, subtract all of these expenses from your total amount. This will give you a clear idea of how much “fun” money you have to spend each month. And, if you plan to put some money into your savings account, you’ll want to make a note of that too.

    The purpose of this exercise is to make yourself more mindful of the money you’re spending each month. When you know — without a doubt — certain specific expenses are going to come up, you can start planning ahead to make sure you’re not spending more money than you have.

    Tip #4: Be More Goal-Oriented

    For some people, the thought of having a goal can be terrifying as it means there is a chance they might fail. However, if you never set goals for yourself, you’ll never have complete control over your financial life. To get started, begin with a realistic goal that can ideally be achieved in less than five years, such as paying off your credit card debt. Once you’ve identified what you want to accomplish, write it down.

    Oftentimes, the simple act of writing down your goals can make it feel more real, therefore making you more accountable. Next, create a rough timetable of how you are going to achieve your objectives. This timetable could include information such as how much money you’re going to save every month, as well as milestones for each payment you’re going to make. Over time, you’ll begin to gain more confidence about your finances, in turn leaving you feeling more in control — and capable — of managing your money on your own.

    Looking for more guidance on how to be financially stress-free? Schedule a 30-Minute Phone Call with David Hessel here or send him an email at dhessel@gvcaponline.com.

    You can find the original article here.

    1. https://www.apa.org/news/press/releases/2015/02/money-stress
    2. https://www.marketwatch.com/story/one-big-reason-americans-are-so-stressed-and-unhealthy-2018-10-11
    3. https://www.pnas.org/content/115/13/3296

    GVCM is an SEC Registered Investment Advisory firm, headquartered at N14W23833 Stone Ridge Drive, Suite 350, Waukesha, WI 53188. PH: 262.650.1030. David Hessel is an Investment Adviser Representative (“Adviser”) with GVCM. Additional information can be found at: https://www.adviserinfo.sec.gov/IAPD/Global View Capital Insurance, LTD. (GVCI) insurance services offered through ASH Brokerage and PKS Financial. David Hessel is an Insurance Agent of GVCI. Global View Capital Advisors, LTD is an affiliate of Global View Capital Management, LTD (GVCM). This content is developed from sources believed to be providing accurate information, and provided by Twenty Over Ten. It may not be used for the purpose of avoiding any federal tax penalties. Please consult legal or tax professionals for specific information regarding your individual situation. The opinions expressed and material provided are for general information, and should not be considered a solicitation for the purchase or sale of any security.

  • Wedding

    The Perfect Dress

    Ladies, we know wedding dress shopping can be an amazing and fun time where you get to try on extravagant, beautiful dresses that make you feel confident and beautiful as you walk down the aisle to your future spouse, who is crying tears of pure joy. However, the price tag on these dresses may make you cry tears of pure stress.

    Season 4 Drinking GIF by Friends - Find & Share on GIPHY

    According to the Huff Post, American brides spend an average of $1,289 for their wedding dress – that’s a lot of dough.

    If you are on a budget, there are options to get the dress of your dreams while not breaking the bank and I have composed a list of a few:

    • Attend a Bridal Show: Often times when you attend a bridal show, dress shops will give discounts just for setting up an appointment to shop and try on dresses. This is a great way to begin planning a date to shop for dresses, and if you find “the one,” you already have a sweet discount waiting for you.
    • Sample Dresses: Say you find that one perfect dress, but it is WAY over your budget. Some bridal shops will hold sales to buy sample dresses and floor models, so you can get that dress for a discounted price. You can also look online and, if you know the style and fit you want, there are a ton of sites that offer sample sales.
    • Go With a Less Traditional Color: This option is not for everyone. But if you are not stuck on a white wedding dress, picking a different color could be a great option. These are less common, so it is easier to find at a lower price.  
    • White Bridesmaids Dress: If simple is more your style, choosing a white bridesmaid dress could save you a lot of money. Still beautiful, still elegant, and no one will know the difference!
    • Reuse and Upcycle: Typically, you only wear your wedding dress one time. Why not buy it second-hand? Doing this will give you an amazing dress, still in good quality, but for a fraction of the price. And if there are things you don’t like or want to change to make it perfect, you can find a seamstress to fix it to your liking (within their ability). This option allows you to customize your dress while keeping money in the bank.
    •   Rent, Don’t Buy: Realistically, you are going to wear your wedding dress one time. If you don’t plan to keep it, consider renting. This is a great way to not only save money, but now you also don’t have to keep the dress tucked away in your closet taking up space.

    These are just a few ways you can save money shopping for a wedding dress. While this can be a big expense, it doesn’t have to be overwhelming and stressful. There are so many ways to save money for the perfect dress. If you have any additional recommendations, leave a comment below! We would love to share your ideas to help a fellow bride.

    Written By: Dakota Otis

  • Budgeting,  Podcast,  Wedding

    Face The Fear Podcast – Wedding Planning with Event Extraordinaire, Andi Jo Clark!

    Join us as we chat with Andi Jo Clark, Event Director at Union 12 about all things weddings, planning and budgeting for your big day! (We even dish out some non-financial wedding tips!) 🙂 

    Andi Jo Clark – Event Director at Union 12 (Event Center & Banquet Hall):

    Face The Fear: 

  • Podcast,  Retirement Planning

    Face The Fear Podcast – Erin Martin, Retirement Plan Adviser, Take 2!

    In this episode, we welcome back Erin Martin, Retirement Plan Adviser at Phillips Financial to talk about 401(k)’s, retirement accounts, vesting and withdrawing money from your 401(k) and how that can impact your long term goals.

    Joining us in this episode is Nick Lucas and Nick Shoemaker, students at the University of St. Francis!

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    Don’t forget to subscribe, leave a review and share!

    XOXO – Nicole and Kaitlyn

  • Credit Cards

    Credit Cards: The Good, The Bad, The Ugly

    Credit cards. A number of different images may flash through your head when you hear those two little words. Do you picture yourself freezing your card in a block of ice? Putting it through a shredder? Lighting it on fire?

    Or do you see yourself casually strolling out of a store, shopping bags in hand, feeling elated about all the fabulous things you just bought and didn’t have to pay for…(yet)?

    Either way, credit cards are a polarizing topic that seems to divide people faster than Donald Trump’s tweets. Some people equate credit cards with financial disaster and endless debt. Others view them as a way to build credit and save money through cash back and perks. Personally, I fall somewhere in the middle of the spectrum. Here’s a few of my own pros and cons of credit cards that will (hopefully) help you decide if owning a credit card is a good financial decision for you.

    Let’s start with the bad news first.

                Con #1: CREDIT CARDS CHARGE INTEREST – LOTS OF IT!

                You’re probably thinking, “DUH.” But, let’s just say it like it is. The #1 reason why credit cards have a bad reputation is the high interest charged on unpaid balances. Even though most people know credit cards can charge high interest, many overlook the details. For example, exactly how much interest is your credit card charging? When does interest begin to accrue? On what amount does the interest apply? Does your credit card offer a grace period? All of these details can be found in the fine print, usually in confusing legalese than can make you feel like a chimpanzee trying to do calculus. In summary, the best way to avoid interest altogether is pay your full credit card balance on time every month. If you don’t, you’ll be that chimpanzee trying to do calculus to figure out how in the world your $200 new TV (it was such a great deal!) ended up costing you $500 (OUCH). 

    (Also, side note, there is a myth floating around out there that you need to carry a balance on your credit card and pay interest in order to earn good credit. This is absolutely false. Carrying a balance may hurt you, not help you. That’s all. Carry on).

                Con #2: Credit Cards Can Be The Gateway Into A Deep Dark Debt Hole

                Credit cards can be the gateway drug into a seriously dangerous debt problem. Why? Because they are so easy to obtain and so easy to use. Here’s a personal example for you. When I started my first job out of college as a social worker, I was making about $32,000 per year. I signed up for my first credit card and was given a credit limit of $4,000. Wow – $4,000! That’s a lot of cash! My credit card company must think I’m really responsible…

    HOLD UP. Let’s do some math: Say my hypothetical take-home pay (after tax) was $28,000 annually. $28,000 / 12 months = $2,333 net monthly income. With a credit card limit of $4,000, I could choose to max out the credit card in the first month, buying a $4,000 all-inclusive vacation to Hawaii. Aloha to me!

    The problem is, in order to pay the balance off, I would have to use my entire $2,333 paycheck over the next few months to pay off the full credit card balance. This is nearly impossible, because I would have no extra cash left over to pay for rent, food, transportation, clothes, or anything else for that matter. As a result, that remaining unpaid balance gets carried over from month to month – and is charged interest in the meantime. And that, ladies and gentlemen, is why credit cards can be a gateway drug. Easy to obtain. Easy to use. Easy to spiral out of control.

                Thankfully, I didn’t fall into this debt trap. I never used more than 25% of my credit limit and made sure I could pay the balance in full at the end of every month. Ironically, because I was using my credit responsibly, I received about five credit card offers in the mail every week and was offered a credit limit increase. All of this is great until too much of a good thing becomes a bad thing. It can be easy to become addicted to borrowing money – even if you are responsible with paying it back. Having $10,000 in debt and a great credit score is still not as good as having no debt at all. 

                Con #3: Credit Cards Aren’t Necessary

                That’s right. You don’t need ‘em. In today’s culture, having a credit card is equivalent to having a cell phone. If you don’t have one, you’re living in the dark ages. But in reality, you really don’t need a credit card – especially if you’re able to build up credit through other sources, like student loan payments. Side note: credit cards + social media = disaster waiting to happen. Why? When we constantly see posts of people taking luxurious vacations, buying a new home, getting their dream car, or wearing designer clothes, we often (even subconsciously) feel like we’re missing out. In order to “keep up with the Jones’,” we swipe our credit cards to pay for a lifestyle we can’t afford. Guess what. A lot of people who appear to have it all on social media may actually be drowning in debt to keep up with the image they want to portray. Don’t fall into that trap. (Okay, I’ll get off my soapbox now. Thank you for coming to my TedTalk). 

    And now for the good news:

    Pro #1: Credit Cards Help Build a Good Credit Score

                This is true – IF (and that’s a big IF) you diligently pay your full balance each pay period. And, as stated in Con #3, you really don’t need a credit card to build up your credit score. Other methods of building credit include paying off student loans, getting a secured loan or secured credit card (backed by your own pre-deposited money), or becoming an authorized user on someone else’s credit card (ideally someone with good credit history). In fact, I would argue that building credit through one of these methods is a much safer option than diving head first into an unsecured credit card. 

                As a disclaimer, here is my personal story. I graduated college without any student loans, and I will remain eternally grateful to my parents for their sacrifice to make that happen. As a result, I vowed to never put myself into unnecessary debt, since my family worked so hard to keep me out of it. But, this also meant I had no credit to my name. I started with one universal credit card with no annual fee and some small perks. I only used this card for a few designated expenses, like rent and gas, so my spending wouldn’t get out of hand. Over the next couple years, I paid this card on time each month and also added a couple store cards as well. I was able to build a solid credit score in a relatively short period by consistently paying the full balance, using different lines of credit, and keeping my credit limit usage under 25% at all times. BUT, this is my personal story. It is not the universal solution to building credit. Find a method that works best for your personal financial situation. 

                Pro #2: Credit Cards Provide Points and Perks

                If I’m being honest, this Pro could also be a Con. Here’s why: while most credit cards offer some incentive for use (like cash back or airline miles), the benefits may not outweigh the expenses. For example, if you have an airline credit card with a $100 annual fee, but you only take 2 flights per year to earn $50 in airline miles, then you really lost money by using the card (especially if you were charged interest on unpaid balances from month to month). Make sure if you’re purchasing a card with an annual fee, you calculate whether or not the annual fee will produce enough benefits to justify the cost.

    NerdWallet has an excellent credit card comparison tool to help narrow down which credit card will be the best fit for your lifestyle. (#NotSponsored). In fact, I used this tool to find my first two credit cards, based on my spending habits, credit score, and desired benefits. One of the cards I decided upon is the Amazon Prime Visa card (Again, #NotSponsored. But, Amazon, if you wanna slide in my DMs…)

     I already buy the majority of my essentials on Amazon, everything from dish soap, to cat food, to breakfast bars. By using the Amazon Prime credit card to make these purchases, I also earn 5% cash back on these transactions and 1% back on everything else. What makes this really valuable is, nearly every time I go to order some of these essentials Amazon, I have anywhere from $5-$25 cash back to use toward my purchase. Again, this is what works best for me, but it may not be the best fit for you. Try out the NerdWallet calculator to find your best credit card fit. 

                Pro #3: Credit Cards Teach Financial Discipline

                Just because you could eat a whole box of donuts in one sitting doesn’t necessarily mean you should.

    Similarly, just because you could spend your full credit limit in one month doesn’t mean you should. Using credit cards effectively requires discipline and discernment. Many people get themselves in deep debt trouble when they begin to disassociate their actual cash money from the motion of swiping their credit card. In other words, it’s easy to forget about the pain of paying for purchases when you have the ability to enjoy something instantly without paying a single penny upfront. Credit cards themselves are not the enemy. It’s the emotional and psychological response of purchase without pain that gets us in trouble. The good news is, we have the ability to acknowledge the mental pitfalls of credit card usage and shift our mindset to avoid them. Here’s a rule I personally follow to keep my finances in perspective: I never make a credit card purchase if I don’t have enough money in my checking account to cover it immediately. Credit cards make it easy to spend money we don’t have, but they don’t need to lead to financial ruin. A shift in mindset and a healthy dose of discipline is all you need to make sure your credit cards are working for you, not against you.

    **P.S. If you read this and thought, “Well, shitake mushrooms. I’m already up to my eyeballs in credit card debt. Now what?” No fear! We will be tackling debt reduction planning in our future content very soon!

    Written By: Kaitlyn Duchien

    Contact Us: facethefearfw@gmail.com

  • Podcast

    Face The Fear Podcast – John Redmaster, CFP – Where should Millennials put their money first?

    John Redmaster, Certified Financial Planner and fellow Millennial, joins us to break down where Millennials should focus their money first. Should we pay down student loans or credit card debt? Save for a home? Invest in a 401(k)? Build up an emergency fund? John helps us find answers to these questions and more on this week’s episode:

    • What tips would you give to Millennials who just graduated college (or are several years into the workforce) who feel like their student loan debt is unmanageable?
    • Since you have the CFP designation, can you explain a little bit about what exactly that designation means and why it may be important to consider when seeking a financial advisor?
    • What can Millennials do TODAY to get their finances on track?

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  • Podcast,  Retirement Planning

    Face The Fear Podcast – Father’s Day Chat with Darrell and Allison Perry

    On this special Father’s Day episode, we chat with Darrell and Allison Perry, a father-daughter duo! We hear from Darrell, the father of Allison on how he raised his two kids, advice he has given them in regards to finances and how that influenced Allison so far in her life. You won’t want to miss what they have to say!

    And if you like us, don’t forget to subscribe and leave a review! XOXO

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