Kris-Miller-tag-line

The Top Three Myths of Financial Planning

Most people who have a 401K or an IRA have little idea of where their money is
invested. When you ask them, “Whereʼs your retirement money?” they reply, “At the bank” or “With my broker.” No wonder so many people are financially unprepared for retirement.

The fact is that if you want to be financially secure in your Golden Years, you must take
control of your investments…today! Handing over your money to a broker and hoping someone else will look out for you is a recipe for disaster. Imagine saving and investing for 40+ plus years, only to find out at age 65 or 70 that you donʼt have enough money to retire. Itʼs a common scenario that happens every day.

But with so much financial planning information available, why are so many people still financially unprepared for retirement? Because there are certain financial planning myths that simply wonʼt go away. And the more you believe the myths, the more of a struggle your retirement will be. Letʼs clear up these myths once and for all so you can take charge of your financial future and be prepared for retirement.

[feature_headline type=”left, center, right” level=”h2″ looks_like=”h3″ icon=”lightbulb-o”] Myth #1 Put Your Money at Risk [/feature_headline]

Most 401Ks and IRAs are invested in the stock market. But the stock market is the riskiest place to put your money. Youʼve likely heard “market experts” say that now is a good time to invest in the stock market. Really? A broken watch tells the right time twice a day, but thatʼs no reason to wear one. According to the experts, stocks, on average provide about ten percent return annually. But this assumption goes back to the 1800s and no longer applies in the 21st century. Today, your typical annual return from investing in the stock market is closer to five percent.

Likewise, youʼve likely heard people say, “Our economists are forecasting…” Ask your broker if the firmʼs economists predicted the most recent recession, and if so, when? Warren Buffett once said that forecasters make fortunetellers look good. If you want to earn higher returns, most brokers tell you that you have to take more risk. This must come as a surprise to Mr. Buffett, who prefers investing in boring blue chip industries.

Here’s the truth: Thereʼs no reason for your money to be at risk. You can make money with safer investments, such as fixed index annuities, which are like a savings account with an insurance company. In fact, even during the Great Depression, not one person lost money with a fixed index annuity. Theyʼre safe, they have liquidity, and they offer better rates than most other products.

[feature_headline type=”left, center, right” level=”h2″ looks_like=”h3″ icon=”lightbulb-o”] Myth #2 Your Broker Only Makes Money When You Do [/feature_headline]

Itʼs nice to think that your broker only cares about you and your financial future, but thatʼs not 100 percent true. While your broker likely does want the best for you, hereʼs what usually happens when you let him or her invest your money.

Your broker buys shares of stocks and mutual funds. The market can then go in one of three directions: up, down, or stagnant. Wall Street canʼt control the market, and neither can your broker.

Here’s the Truth: Hereʼs the important point: Brokers donʼt make money when you do. Sure, theyʼd likeyou to make money, but they actually make their money by managing your money. They make money when the market goes down; they make money when the market goes up; they makemoney when the market is flat. In other words, they always win. Their clients, however (and that would be you), only win in one of those three directions. Brokers win in all three directions. Thatʼs why even though you always hope for the best, all too often you end up with a cooked goose instead of the fatted calf.

[feature_headline type=”left, center, right” level=”h2″ looks_like=”h3″ icon=”lightbulb-o”] Myth #3 Maintain a Stock Portfolio is Inexpensive [/feature_headline]

Even though you may be putting money into your retirement account on a regular basis, hidden fees may be slowly draining your account. The disclosed fees are simple to find; look at the expense ratio, which is found in the prospectus. These fees are commonly referred to as “ management fees.” Administration fees are in addition to the management fees and are much harder to find. At first, you may think that a small fee here and a nominal fee there is no big deal.

After all, how much could these administration fees possibly be? Well consider this: acording to the U.S. Department of Labor 401K fee website, “Assume you are an employee with 35 years until retirement and a current 401K account balance of $25,000. If returns on investments in your account over the next 35 years average 7 percent and fees and expenses reduce your average returns by 0.5 percent, your account balance will grow to $227,000 at retirement, even if there are no further contributions to your account. If fees and expenses are 1.5 percent, however, your account balance will grow to only $163,000.

The 1 percent difference in fees and expenses would reduce your account balance at retirement by 28 percent.” Thatʼs a huge fee!

Therefore, be sure to look for and ask your broker about the following fees:

  • Plan Administration Fees
  • Investment Fees
  • Individual Service Fees

Whether you plan to retire today or in another 30 years, you need to take control of your retirement accounts right away. Understanding how your money is invested and making sure itʼs working for you in the most efficient way will give you both peace of mind and future security. By dispelling the key myths of financial planning and investing a little time and energy creating your future financial plan, you can rest assured that your retirement years will be pleasurable…and prosperous.

104 thoughts on “The Top Three Myths of Financial Planning

  1. minecraft

    Hi there, the whole thing is going sound
    here and ofcourse every one is sharing information, that’s genuinely excellent,
    keep up writing.

  2. minecraft

    Greetings! I know this is kinda off topic however I’d figured I’d ask.
    Would you be interested in exchanging links or maybe guest writing
    a blog article or vice-versa? My website addresses a lot of the same topics as yours and I think we
    could greatly benefit from each other. If you are interested feel free to shoot me an e-mail.
    I look forward to hearing from you! Superb blog by the way!

  3. minecraft

    I love your blog.. very nice colors & theme. Did you create this website yourself or
    did you hire someone to do it for you? Plz answer back as
    I’m looking to design my own blog and would like to find
    out where u got this from. kudos

  4. minecraft

    Hi there i am kavin, its my first time to commenting anywhere,
    when i read this piece of writing i thought i could also create comment due to
    this brilliant article.

  5. minecraft

    Good way of telling, and pleasant paragraph to obtain facts on the topic of my presentation topic,
    which i am going to convey in university.

  6. minecraft

    Sweet blog! I found it while browsing on Yahoo News. Do you have any tips on how to
    get listed in Yahoo News? I’ve been trying for a while but I never seem to
    get there! Appreciate it

  7. minecraft

    I think this is among the most vital information for me.

    And i’m glad reading your article. But want to remark on few general things, The site style is great, the articles is really great :
    D. Good job, cheers

  8. minecraft

    Hey I know this is off topic but I was wondering if you knew of any widgets I could add to my blog that automatically tweet my newest twitter updates.

    I’ve been looking for a plug-in like this
    for quite some time and was hoping maybe you would have some experience with something like this.
    Please let me know if you run into anything. I truly enjoy reading your blog
    and I look forward to your new updates.

  9. minecraft

    Thanks for the marvelous posting! I genuinely enjoyed reading it,
    you may be a great author.I will always bookmark your blog and will eventually come back later in life.
    I want to encourage yourself to continue your great work, have
    a nice weekend!

  10. minecraft free download 2018

    Hi there! This post could not be written much better!
    Looking through this article reminds me of my previous roommate!

    He always kept talking about this. I most certainly will send this
    post to him. Fairly certain he’ll have a good read. Thanks for sharing!

  11. minecraft free download 2018

    It’s perfect time to make some plans for the future and it’s time to be happy.
    I’ve read this post and if I could I wish to suggest you few interesting things or tips.
    Perhaps you can write next articles referring to this article.
    I wish to read more things about it!

  12. minecraft free download 2018

    Yesterday, while I was at work, my cousin stole my iPad and tested to see if it can survive a 25 foot drop, just so she can be a youtube sensation. My apple ipad
    is now destroyed and she has 83 views. I know this is completely off topic but I had to share it with someone!

  13. tinder dating site

    Hey There. I found your blog using msn. This is a really well written article.

    I will be sure to bookmark it and return to read more of your useful information.
    Thanks for the post. I’ll certainly return.

  14. Benefits of Coconut Oil

    I know this if off topic but I’m looking into starting my own blog and was
    curious what all is required to get set up? I’m assuming having a blog like yours would cost a pretty penny?
    I’m not very internet smart so I’m not 100% certain. Any recommendations
    or advice would be greatly appreciated. Thanks

  15. Coconut Oil Benefits

    Hey! Quick question that’s totally off topic. Do you know how to make your site mobile friendly?
    My weblog looks weird when viewing from my apple iphone.
    I’m trying to find a template or plugin that might be able to resolve this problem.
    If you have any recommendations, please share.
    Many thanks!

  16. Coconut Oil Benefits

    Excellent blog right here! Also your web site loads up fast!
    What host are you the usage of? Can I am getting your associate hyperlink
    for your host? I desire my web site loaded up as quickly as yours lol

  17. Benefits of Coconut Oil

    Somebody essentially lend a hand to make significantly articles I might state.
    That is the very first time I frequented your website page and so
    far? I surprised with the research you made to make this particular
    submit amazing. Magnificent activity!

  18. Benefits of Coconut Oil

    Awesome blog! Do you have any suggestions for
    aspiring writers? I’m hoping to start my own website soon but I’m a little
    lost on everything. Would you propose starting with a free platform
    like WordPress or go for a paid option? There are so many options
    out there that I’m totally overwhelmed ..
    Any suggestions? Appreciate it!

  19. Coconut Oil Benefits

    Hey There. I found your blog using msn. This
    is an extremely well written article. I’ll make
    sure to bookmark it and come back to read more of your useful information. Thanks
    for the post. I will definitely comeback.

  20. descargar facebook

    Have you ever considered creating an e-book or guest authoring
    on other blogs? I have a blog based upon on the same information you discuss and would love to have
    you share some stories/information. I know my subscribers would enjoy your work.
    If you’re even remotely interested, feel free to send me an e mail.

  21. descargar facebook

    My brother recommended I would possibly like this blog. He used to be entirely right.
    This publish actually made my day. You can not consider just how
    so much time I had spent for this info! Thanks!

  22. quest bars cheap

    Thanks a bunch for sharing this with all people you actually know what you are speaking approximately!
    Bookmarked. Please additionally consult with my
    web site =). We can have a hyperlink exchange arrangement
    between us

  23. quest bars cheap

    Quest bars cheap fitnesstipsnew1 quest bars cheap 516999410492780544 quest bars
    cheap
    Howdy! This post couldn’t be written any better! Reading through this post reminds me of my
    previous roommate! He always kept talking about this. I’ll
    send this article to him. Fairly certain he’s going to have a good read.
    Thank you for sharing! Quest bars cheap fitnesstipsnew1 quest bars cheap 516999410492780544 quest bars cheap

  24. Quest Protein Bars

    My spouse and I stumbled over here coming from a different page and thought I may as well check things
    out. I like what I see so now i am following you.

    Look forward to looking at your web page yet again.

  25. quest bars

    Its like you read my mind! You seem to know a lot about
    this, like you wrote the book in it or something. I think that you could do with some pics
    to drive the message home a bit, but instead of that, this is magnificent blog.
    A fantastic read. I will certainly be back.

  26. Quest Bars Cheap

    Oh my goodness! Awesome article dude! Thank you, However I am going through
    issues with your RSS. I don’t know why I can’t subscribe to it.
    Is there anybody else getting identical RSS problems?
    Anybody who knows the solution can you kindly respond?

    Thanx!!

  27. Sling TV

    Hello there! This article could not be written any better!
    Looking through this post reminds me of my previous roommate!
    He always kept preaching about this. I’ll forward this information to him.
    Pretty sure he’ll have a very good read. I appreciate you for sharing!

  28. Sling TV

    When someone writes an piece of writing he/she maintains the plan of a user in his/her mind that how a user can know it.
    Therefore that’s why this paragraph is perfect. Thanks!

  29. Sling TV

    Hey There. I found your blog using msn. This is a
    very well written article. I will make sure to bookmark it and come back to read more of your useful info.

    Thanks for the post. I will certainly comeback.

  30. Sling TV

    I think what you typed made a great deal of sense. But, consider this, what
    if you were to create a awesome title? I am not saying your
    content is not solid, however what if you added a title to possibly
    grab a person’s attention? I mean The Top Three Myths of Financial Planning | Early Retirement
    Planning is kinda plain. You should peek at Yahoo’s front page and note how they write news titles to get people
    interested. You might try adding a video or a picture or two to get people interested about everything’ve got to say.
    Just my opinion, it could make your website a little bit more
    interesting.

  31. What Equipment is Needed for Sling TV

    It’s appropriate time to make some plans for the future and it is time to be
    happy. I’ve read this post and if I could I wish to suggest you few interesting things or advice.
    Perhaps you can write next articles referring to this article.
    I desire to read more things about it!

  32. What Equipment is Needed for Sling TV

    Definitely consider that that you stated. Your favourite reason appeared to be on the internet the easiest factor to take into account of.
    I say to you, I certainly get annoyed while other folks
    think about concerns that they plainly do not know about.
    You managed to hit the nail upon the top and also outlined out the entire thing with
    no need side-effects , folks can take a signal.
    Will likely be again to get more. Thank you

  33. sling tv coupons and promo codes for november 2018

    Sling tv coupons and promo codes for november 2018
    Hi there very cool website!! Guy .. Excellent ..

    Amazing .. I will bookmark your blog and take the feeds also?
    I am glad to seek out so many helpful information here within the publish, we want work out more techniques in this regard, thanks
    for sharing. . . . . . Sling tv coupons and promo codes for november 2018

  34. What Equipment is Needed for Sling TV

    Hey excellent website! Does running a blog such as this
    require a large amount of work? I have absolutely no understanding of
    programming however I had been hoping to start my own blog in the near future.
    Anyway, if you have any recommendations or techniques for new blog owners please share.
    I understand this is off subject nevertheless I simply had to ask.
    Thank you!

  35. What Equipment is Needed for Sling TV

    What i do not understood is in fact how you’re not really a lot more neatly-appreciated than you might be now.

    You’re very intelligent. You realize thus considerably in terms of this matter, produced me individually believe it from
    so many various angles. Its like women and men aren’t involved until it
    is one thing to accomplish with Lady gaga!
    Your personal stuffs outstanding. All the time take care of
    it up!

  36. descargar facebook

    My brother recommended I might like this blog. He was
    totally right. This put up truly made my day.
    You cann’t believe just how so much time I had spent for this information! Thank you!

  37. GSA Auto Approve List

    Did you know that my lists can be used with GSA?

    They can. I’m always working hard to improve the quality
    of my lists. Check them out and see if you can put them to good use.
    Thanks for visiting my site and have a great day.

  38. Free Expired Web 2.0 List

    Here is where I put all of my expired web 2.0 accounts.
    I scrape massive lists and then check to see if they’re expired.
    I think you’ll be surprised by the number of accounts that I come
    across. Hopefully, you’ll be able to put these expired
    accounts to good use.

  39. Free Proxy List

    Every 60 minutes there are new public proxies
    added. You can directly import these into your SEO tools or do it manually.

    There are proxies for ScrapeBox and all other tools.
    Let me know if you need free public proxies for other tools.
    I’ll try to add them if I can.

  40. Free Expired Domain List

    This is the part of my site where I list all of the expired domains
    from sites that I scrape. I scrape the most popular sites on the internet to produce lists of expired domains.
    All the lists are free, and I try to update them as often as possible.

  41. Sammy Grzybowski

    hi!,I like your writing very so much! share we communicate extra approximately your article on AOL? I need an expert in this space to resolve my problem. May be that is you! Looking ahead to look you.

  42. Sammie Mcsorley

    Hi there this is kind of of off topic but I was wondering if blogs use WYSIWYG editors or if you have to manually code with HTML. I’m starting a blog soon but have no coding expertise so I wanted to get guidance from someone with experience. Any help would be greatly appreciated!|

  43. 7 day flat belly challenge

    You are so cool! I do not think I’ve read a single thing like this before. So nice to discover somebody with some unique thoughts on this topic. Really.. thanks for starting this up. This site is something that’s needed on the internet, someone with a little originality!|

  44. zcode system manual

    Thank you, I’ve recently been looking for information approximately this topic for a long time and yours is the greatest I have found out till now. But, what about the conclusion? Are you sure concerning the source?|

  45. boob

    I’m not sure exactly why but this web site is loading
    extremely slow for me. Is anyone else having this isse or is it a issue on my end?

    I’ll check back later and ssee if the problem still exists.

  46. descargar facebook

    This is very attention-grabbing, You’re an overly professional blogger.
    I have joined your feed and stay up for in search of more of your wonderful post.
    Additionally, I have shared your website in my social networks

  47. descargar facebook

    Attractive section of content. I just stumbled upon your web site and in accession capital
    to assert that I acquire in fact enjoyed account your blog posts.
    Any way I’ll be subscribing to your augment and even I achievement
    you access consistently quickly.

  48. Precio De Las Criptomonedas

    Appreciating the time and effort you put into your blog and detailed information you provide. It’s awesome to come across a blog every once in a while that isn’t the same unwanted rehashed information. Fantastic read! I’ve saved your site and I’m including your RSS feeds to my Google account.

  49. debt consolidation loans

    Its such as you read myy thoughts! You seem to kno so much about
    this, such as you wrote the ebokk in it orr something.
    I think that you just coluld doo with some p.c. to pressure the message home a little bit,
    but other than that, that is wonderful blog.

    A fantastic read. I will certainly be back.

  50. compare car insurance

    Great post. I was checking constantly this blog and I am impressed!

    Very helpful information specially thee last part 🙂 I
    care for such info a lot. I was seeking this particular info for a
    long time. Thank you and good luck.

Leave a Reply

Your email address will not be published.