Education - Purposely Empowered

Money is integrated with every one of life’s necessities. From food to houses and cars to children and clothing all the way through retirement, money impacts many of our major decisions and the quality of the life we live. Unfortunately, personal finance is not taught in school and we lack the knowledge of how money works. Therefore, we make many of our major life decisions and how we spend our money blindly, without a guide or plan as to what will benefit us the most in the long run.

What I find funny is that when we are in school we are given a curriculum as to what courses we need to complete to graduate. Yet, when it comes to money, we are not given the tools to make our financial futures successful.

The good news is that there is an entire financial services industry dedicated to helping you maximize your money. Unfortunately, there are tons of myths regarding financial professionals, which makes seeking advice confusing, frustrating, and scary.

Below, I wish to debunk 5 of those myths to help you build your knowledge about professionals within the industry and feel more confident seeking advice and help with your money.

Myth 1: I am not old enough to work with a financial professional
Truth: Money and time go hand in hand. The longer you have the more time for your money to grow over time. The earlier easier building new habits and wealth will become. The younger you are the easier it is to right the ship of your financial future. When it comes to the time value of money, I often tell people to start now, save regularly, and be patient. Money needs time to truly work to your advantage.

Myth 2: I don’t have enough money to talk with a professional
Truth: Unfortunately, there are many people in the industry who only focus on high-net-worth clients. But, if you look within the industry, you will find plenty of advisors who are willing to help you no matter what your income level. Don’t let the few who only serve the elite stereotype others who will help.

Myth 3: I don’t need a financial professional, I can do it all by myself
Truth: According to a recent Vanguard study, financial professionals add about 3% more in returns for their clients than those not working with a professional. 3% may not seem like a lot initially, but over time that 3% could be the difference of several hundreds of thousands of dollars when you retire, and that is a big deal. Even if you are a do-it-yourselfer, don’t you think starting early with a professional giving feedback and assessment would be key to the longevity of your finances?

Myth 4: I am scared to reveal my money habits to a professional
Truth: Just like you have to have the right doctor, you have to have the right financial professional. A good professional knows that no one is perfect and that you are seeking knowledge and help. The right advisor should listen to your concerns and be empathetic. He or she should make you feel safe and not judged when discussing your money challenges.

Myth 5: All a financial professional will do is play the stock market and I don’t want to risk my money that way
Truth: Financial professionals should look at the whole picture and develop a comprehensive plan to set you up for success long term. This goes way beyond playing the stock market. Many times, you will get advice on your savings account and emergency funds. We will examine debt. We will want to create short, middle, and long-term plans, and discuss risk tolerance. Our job is then to develop a balanced and well-diversified portfolio. Our goal is to develop an investment strategy that is appropriate for your individual situation so that you can feel in control and have confidence in the plan.

Hopefully, your fears are debunked. A good advisor is a coach, teacher, and guide. They will be there to help you feel more knowledgeable and confident with every stage of life and every major decision. They will be there to offer options that best suit you and provide encouragement and accountability to hit your goals. Do yourself a favor and seek guidance from a professional today to enhance your financial tool belt and build more security for yourself and your family.

Recently I read an article from Morgan Stanley stating that by 2030 women are going to control over $30 Trillion dollars. That is 2/3 of all the assets in our nation. WOW! Talk about a great wealth transfer. Unfortunately, over the last few months, as I have met with dozens of women, I have realized that women lack the knowledge, confidence, and time to really understand personal finance. So it raises the question, what is this wealth transfer going to be like? How are we going to control this money? My personal thoughts can be summed up in one word: YIKES. I foresee an overwhelming number of women feeling crazed and scared simply because we don’t get it.

Today, it is critical that women understand money. But if you don’t, I can’t place the blame on you. Personal finance is not taught in many public schools, which makes financial concepts elusive, complicated, and extremely frustrating. People simply don’t get it because we were never taught it, and this lack of knowledge creates problems in our families, from sleepless nights wondering how a bill will get paid to maxing out credit cards. Most Americans blame money and finance for so many of their issues.

The lack of understanding, available education, and the wealth transfer to women is why I entered the industry. For over 20 years I specialized in coaching, educating, empowering, and giving accountability to women. I also know that women are underserved in the financial services industry because when you lack understanding of something, like money, talking about it becomes taboo, and seeking help becomes hard. Because of this problem, many women believe that working with an advisor is only for the wealthy, a stereotype I need to break because that is not who I am. I am someone who listens to understand what is going on. I love to meet people where they are and develop a map to get them to where they want to be. I am someone who checks in and pays attention in order for you to follow through on making your goals a reality. I am someone who understands that sometimes it takes a little extra motivation to reach a goal and that progress towards that goal is always more important than giving up. I believe in people even when they have a hard time believing in themselves. Ultimately, I transform lives. And that job title is amazing.

The future of money is female, and it is critical that women begin to understand it so we don’t screw up what is our responsibility. It is time we jump into growth mode and begin to properly educate ourselves. It is time we grow in confidence as we inherit wealth from our parents and spouses. It is time that we feel empowered and in control of our spending. This isn’t a pitch to come talk to me, though I am here to provide a judgment-free space to listen to and understand your concerns and questions and to educate you on how money can work for you. But, this is a plea that you take your knowledge about money more seriously. In just 6 years the need for women to understand money is going to change drastically. Start learning now. Put it on your goals list. Take action by asking questions. Build that confidence. Spread the need to others in your life. Support one another, grow together, and take this transfer with control, power, and excitement. I want to change that thought about the wealth transfer from YIKES to YESSSS!

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