Countdown to Prosperity!

What a year!  I don’t know about you, but it feels like 2020 and 2021 merged into one loooong year.  Anyone else feeling like we all need a month long vacation in a beach hut or a peaceful forest cabin?  What would that Federal legislation be called?  Relax America?  Vacations to Support Mental Health?  (Insert sarcasm here… although I fully support everyone taking a vacation in 2022… go, start checking out dream lodging on Airbnb!).

 

9!

 

Despite the exhaustion many of us have experienced, and are experiencing from the last two years, let’s talk about ways to tee up 2022 for a less tiring year.  At least financially speaking.  Pull on your “Adulting” hat, grab your fav beverage and note taking paraphernalia.  Deep breath, and…

 

8!

 

Here we go!  Now is a great time to review your spending habits.  Wait, what did you just mutter under your breath?  You’d rather binge watch holiday movies on The Hallmark Channel?  Nope, we’re gonna do this and get you ready BEFORE New Year’s Eve for your mandatory financial health resolution. (You can toast your awesomeness on NYE with a glass of bubbly knowing you already thoughtfully prepared your financial goals for 2022.  Go on with yo’ bad self!). 

 

7!

 

If you have an app like Mint, or a spending tool on your banking platform, brace yourself and take a peek.  Be honest with yourself.  Are you comfortable with your spending habits, or did your stomach twist up and you visibly cringe over the results?  Regardless of which knee jerk reaction you had, take a deep breath and jot some notes down (honest ones… these are just for you, so don’t sugar coat them).  

 

6!

 

Now, take a sip of your fav beverage, and check in on your savings.  Look at your balances and performance in your retirement account.  Do you have an HSA or FSA?  Take a peek at those if you do.  Have an emergency fund? (Most people don’t, so no judgment either way).  Do you have enough in that fund to live off of for a month or three?  Lastly, check out your toilet paper stock… did you over buy during the Great Toilet Paper Shortage of 2020 and still have some left over?  (This has nothing to do with finances, I’m just curious to see if the memes from last year were accurate, lol).

 

5!

 

Take a sec to breathe, you’re doing great!  So… did you open an investment account to invest in meme stocks or dip your toe into options trading?  Or did you already have an investment account?  Buy some crypto on Venmo or in your Coinbase wallet?  If you answered “yes” to any of these questions, I bet you can guess what I’m going to say… yup, log in and check out your performance!  Are you happy, shoulder shruggingly okay, or did your head hit the table when you dropped it in disgust?  Don’t worry, I’ve got some good advice for you, just keep reading and doing.  You’ve got this!

 

4! 

 

Brace yourself.  It’s time to check out your debt (if you just screamed at the screen because you wanted to skip this part… I feel you, I’ve been there too).  It’s like ripping off a band-aid, just do it!  List out your credit card debts, your student loans, car loans, mortgage, home equity loans, all of them.  Done?  If you don’t feel overwhelmed right now, I’m sincerely proud of you and applaud your hard work to reduce or eliminate your debt!  If you feel scared, depressed, or anxious about your debt level, that’s okay too… just don’t allow yourself to get stuck in these emotions.  We’ve got work to do.

 

3!

 

So now we have a full view of your financial puzzle.  Good news is the pieces to this puzzle are interchangeable, so if you don’t like what you see, we can change that.  How?  Well, not through get rich quick schemes, multi level marketing, or finding that pot of gold at the end of the rainbow.  It’s going to take time, dedication, and some good ol’ fashioned honesty.  There’s no fast fix to finances. 

 

Love the picture you built?  Go ahead and do a happy dance!  Celebrate!  Then sit down and keep reading.

 

2!

 

Here’s where you write down everything you love and hate about your current financial situation.  And I do mean everything.  Hate your tax bill?  Want an emergency fund?  Student loans feel insurmountable?  Want better performance in your 401(k)?  Happy with your savings level?  Write it down.  

 

Then write down goals for yourself for every item.  Don’t leave any out.  

 

1! 

 

So now what?  There are a multitude of options.  First, go talk to your financial advisor and show them everything you just worked out.  Don’t have a financial advisor?  Hire one… like the savvy advisors at Verde Capital.  Or at your local bank or credit union.  Or an interactive app.  Believe me, it helps to have an objective supporter in your corner when it comes to your finances (just don’t buy or sign up for any products!).  

 

Second, post those notes in a spot where you can see them.  Hold yourself accountable so you can work towards a better financial future in 2022.  Are you going to meet all your goals in 2022?  No, but you’ll make progress if you stick to it and remember that financial health is like physical health: both take regular hard work to maintain and improve!  

 

Third, set rewards for yourself when you accomplish goals.  Nothing extravagant, but something that makes you happy nonetheless.  List those out next to your goals where you posted them on your fridge.

 

Fourth, schedule time to measure how you’re doing EVERY WEEK!  Don’t wait for a month to check on your spending, debt, savings, or meme stock performance.  Check in every week and make notes.  Be honest.  What can you do the following week to work towards your goal?  It doesn’t need to be huge, in fact it should be a small, realistic step.  

 

Fifth, don’t be too hard on yourself if reaching your specific financial security and wellness goals takes longer than you originally planned.  That’s life my friend.  Just keep working towards your goals, keep your head up, and keep moving forward.

 

HAPPY NEW YEAR!

 

From everyone at Verde Capital Management, we wish you a wonderful, safe, and bountiful 2022!

The holidays are for family (and cookies!)

The holidays are a time for creating memories, celebrating the joys of family and friends, enjoying delicious food, and buying thousands of dollars of gifts… (insert record scratch here)… wait, that last part isn’t right!  

 

It seems the holidays are quickly becoming a reason to buy and this year is no exception.  Large retailers have been pushing consumers to purchase holiday gifts since September due to supply chain challenges, leading some to purchase gifts often and early.  I’m not sure if these challenges have worsened or improved at the time of publication since this article was written in early November.  Regardless, let’s review some ideas for those of you who may have left your holiday purchasing until now.

 

First, the holidays are more than just buying the perfect gift for a loved one.  Sure, everyone adores a beautifully wrapped package, its contents selected with love.  However, no one wants their loved one going into debt for months or years to come.  If you haven’t already, make sure you set a budget for your holiday spending and STICK TO IT!  

 

Second, when building your budget make sure to include everyone: family members, friends, co-workers (ahem, your delightful presence is gift enough), your children’s teachers, caregivers, etc.  Then evaluate if you can give the gift of time instead of a gift purchased with your hard earned money.  Be creative and sincere, and don’t give a gift of time if you’re not really interested in spending time with that person.  

 

Third, gift cards are great budget-friendly gift options.  Crafting a well written note to accompany these often maligned gifts can make one mean just as much as that fancy coffee mug with cat cartoons printed all over it that’s sitting in your Amazon cart (hit “delete” don’t “save for later”).

 

Fourth, try shopping locally.  There are some amazing artisans, and organizations in your area with an abundance of beautiful gift options.  While I appreciate the speed and convenience of shopping on my phone with large retailers, I truly enjoy selecting unique presents from a local vendor.  You can also check out websites like Etsy (just be sure to check on shipping costs before you buy!).

 

Fifth, if you’ve already completed your shopping for the season and are currently wondering how to dig out from under the mountain of brown cardboard boxes and shopping bags (and are avoiding looking at your credit card bill), have no fear.  You can still return unwrapped and unused gifts if necessary.  If that’s not an option, sit down with a plate of holiday cookies or your fav snack, and take a good hard look at what you spent.  Now is a good time to create a plan to pay off any accumulated holiday debt, and evaluate what your budget should be for next year.  

 

At the end of the day, make sure you spend time with those you love this holiday season – the memories you’ll create with them are more important than any gift you can purchase!

 

Verde Capital Management, Inc. is a federally registered investment adviser. The information, statements and opinions expressed in this material are provided for general information only, are based on data we believe to be accurate at the time of writing, and are subject to change without notice. This material does not take into account your particular investment objectives, financial situation or needs, is not intended as a recommendation to purchase or sell any security, and is not intended as individual or specific advice. Investing involves risk and possible loss of principal capital. Diversification does not ensure a profit or protect against a loss. Past performance is not indicative of future returns. Advisory services are only offered to clients or prospective clients where Verde Capital Management, Inc.  and its representatives are properly licensed or exempt from licensure. No advice may be rendered by Verde Capital Management, Inc. unless a client service agreement is in place.

Gratitude

We’ve heard it said over the last two years that we should each be “grateful” for the “little things” in life that “truly matter.”  In the last year an invisible wall of social distance and stay at home orders kept most of us from spending the quality time we were accustomed to with family and friends.  The news and social media were full of dire reports about a novel virus, poorly balanced with futile soundbites pointing out the silver linings to a country filled with fear induced shortsightedness.  

 

While the world felt more divided and scary during the last two years, there were our usual constants that we light heartedly poke fun of in easy-to-predict holiday movies, and cherish less often then we should.  Family.  Friendship.  Intangible things we too often take for granted, and so often fail to appreciate fully until they vanish due to time or neglect.  

 

As the world started to return to “normal” the news was full of statistics about soaring retail and restaurant sales.  Most recently it’s been about buying often and early for the holidays to prevent supply chain shortages from ruining this year’s gift giving opportunities.  As I read the news over the last six months I often wondered if we truly failed to learn as a society one of the greatest lessons the last two years tried to teach us.  

 

Gratitude.  

 

Sure, Oprah had gratitude journals years ago that were sold in brick-and-mortar bookstores (or on a new fangled bookselling website called Amazon).  If you check out social media, you can find new fangled gratitude journals (for those youngins not around for the Oprah version) sold in every color and material type, with fancy pens too.

 

It makes me tired just thinking about the material, retail business around gratitude.  An intangible thing we too often take for granted, but we’ll spend $29.95 on (not including shipping and handling… the fancy pen is extra too).

 

Maybe, just maybe, before the holiday season fully revs up its march towards the end of the year, we can pause for a moment and ponder.  What are YOU truly grateful for?  Have you expressed your gratitude to the people who matter in your life?  I’m not just talking about family, although I’ll get to them shortly (you can skip your goofy cousin with the hairbrained get-rich-quick schemes they pitch to you over turkey and mashed potatoes… seriously, it’s okay).  

 

Have you said a heartfelt “thank you” to the often invisible people who help you every day?  Your banker?  Your pet groomer?  Your hair stylist?  Your barista?  Your mail person or delivery person?  No, don’t go Google a list of “service people I should say thank you to.”  Just take the time to pause, make eye contact, and say what you’ve got to say to the people you appreciate.  

 

Spur of the moment works best.  It doesn’t need to be a soliloquy (that would be kinda awkward) and don’t rehearse it (that would also be kinda awkward… maybe more so).  Just be sincere and honest.  See what happens.  And go ahead and quash that urge you may have to go out and buy gifts for everyone – this isn’t about material items.  It’s about gratitude.  I’ve heard it’s a keystone for the season or some such nonsense (insert sarcasm here).

 

Now, on to those people we choose to have in our lives, and those we’re stuck with.  I’m not talking about our coworkers and the tax man (see the paragraph above re: your coworkers… and add your CPA or tax preparer to that list too for good measure).  

 

I’m talking about your friends and family.  Write a note in a holiday card, draft a handwritten letter, or carve out some quality time to share your gratitude.  It’s okay to get a bit sappy with these (maybe awkward to get sappy with others… except your barista, I mean, we all missed our baristas during lockdown).  Again, be sincere (don’t rehearse it) and speak from the heart.  I bet you’ll feel better about sharing your love and appreciation for each person then you will about giving each a tangible gift.  I promise you, the impression and memories you’ll both create by giving and receiving your gratitude through words will last a lifetime. 

 

Because really, at the end of the day when we Marie Kondo our lives all we have are the intangibles.  The relationships.  The love.  The memories.  The skills.  The knowledge.  The moral code.  The manner in which we lived our lives.  The way our deeds and words affected others in the world in ways we may never comprehend.  If we focused on these intangible items a bit more and let go of the material, bigger, better, tangible things, we might just have learned something these last two years after all. 

 

Happy Holidays y’all.  

 

Verde Capital Management, Inc. is a federally registered investment adviser. The information, statements and opinions expressed in this material are provided for general information only, are based on data we believe to be accurate at the time of writing, and are subject to change without notice. This material does not take into account your particular investment objectives, financial situation or needs, is not intended as a recommendation to purchase or sell any security, and is not intended as individual or specific advice. Investing involves risk and possible loss of principal capital. Diversification does not ensure a profit or protect against a loss. Past performance is not indicative of future returns. Advisory services are only offered to clients or prospective clients where Verde Capital Management, Inc.  and its representatives are properly licensed or exempt from licensure. No advice may be rendered by Verde Capital Management, Inc. unless a client service agreement is in place.