1 in 5 Americans have a zero, or negative net worth (Institute for Policy Studies). Let that sink in for a moment. It seems the American Dream is a mountain of debt and living paycheck to paycheck? According to an Article from Market Watch, the top 25 wealthiest Americans own more wealth than the bottom 56 percent? That's not 25 percent, that's 25 individuals, so how do you fix it?
Gone are the days of working for a company 30 years, and drawling a pension and social security in retirement. Social security in itself is a completely different topic, but a growing number of people are working and not planning or putting away anything for their future. Also, the companies they work for do little to push them in the right direction. Let's take the Post Office for example. What was once considered the "Golden Handcuff", where you made so much in monthly pension after a career at the Post Office, no one could ever leave. Everyone knew a career at the Post Office would provide a nice and stable retirement. The only planning needed was how to stay healthy enough to make it till the end. Today, that has been replaced by a pension no one could live off of and the opportunity to invest a percentage of pay into a 401k vehicle called, Thrift Savings Plan. No one ever shows up and actually explains anything about TSP to the employees though. I worked at the post office for 8 and half years and not once did someone come talk to me about it. What should you be invested in, how much should you give, what investments are inside the funds your choosing? What does retirement look like? You are left to answer these questions yourself. If this is beginning to sound like your own personal situation, you don't even have to be affiliated with the Post Office, most companies today are like this.
This means it's on you to save for a better future and 3CM Capital Management is here to help. Finding out Where You Are Today, the first step in the 3CM Strategy will help you plan for a better tomorrow. By asking the right questions, identifying your current needs and understanding your financial picture, we will pinpoint exactly where you stand today. Some of these questions you ask yourself everyday, and others you may need to dig up the information. Some of the information you need to provide is personal, so you need to be fully committed to having a better financial future. As they say, "You can lead a horse to water, but you can't make it drink". People feel like financial planning is just investing, and while investing is one part of the equation, financial planning is about a better financial future. You go to your job and work hard for a future promotion. You send your kids to school for a better future. You work out, eat healthy and visit your doctor and dentist. Why would you not sit down and do the things for your finances? We have no asset requirements and have programs design specifically to get people on the right path. It really doesn't matter if you just got your first job, or retiring in the next few years, the first step is figuring out Where You Are Today. So let one of our Chartered Retirement Planning Counselors get you started.
We will discuss the 2nd step in the process and one of my favorite discussions in the next step, Your Dreams. Stay tuned, and contact us if you are looking to start your Path to Success.