Financial Bootcamp for Women – The Basics

By Tina PowellBeacon Wealth ManagementMonday, November 4, 2013

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Important Disclosure

Everything in this presentation today is intended to be educational in nature, and hopefully will assist you in reaching your financial goals. However, it is all general in nature, and not specific to any of you or your circumstances.Nothing we say here today can replace real investment advice that is rendered after a thorough review of your financial situation.

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Tonight’s Agenda

• A Personal Story – Tina Powell• Women and Money – Research and Insights• Bootcamp Action Plan – Mark Germain, CFP®, MBA, ADPA®• Getting Your Financial House In Order• Retirement: Start Early• Defining Your Investment Strategy• Tax Efficiency• Estate Planning Basics• Frequently Asked Questions

• Next steps

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Personal Story

Me and my dad in Houston, Texas - 2003

Managing Member/Director of Business Management, Beacon Wealth Management

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The house does not rest upon the ground, but upon a woman. ~Mexican Proverb

Read

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Health and Life Expectancy

• A woman turning age 65 today can expect to live, on average, until age 86.

• A man reaching age 65 today can expect to live, on average, until age 84.

• About one out of every four 65-year-olds today will live past age 90, and one out of 10 will live past age 95.

Source: Social Security Administration

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Source: Social Security Life Expectancy Calculatorhttp://www.ssa.gov/cgi-bin/longevity.cgi 7

Women, Work, and Caregiving

• The percentage of family or informal caregivers who are women range from 59% to 75%.

• The average caregiver is age 46, female, married and working outside the home earning an annual income of $35,000.

• The toll that caregiving takes is not just financial; higher levels of depression, anxiety, and other mental health challenges are common.

• Female caregivers may spend as much as 50% more time providing care than male caregivers.

• The value of the informal care that women provide ranges from $148 billion to $188 billion annually.

Source: Family Caregiver Alliance 8

The Female Caregiver

• Significantly less likely to receive a pension and, when they do, the pension is about half as much as those that men receive.

• Likely to spend an average of 12 years out of the workforce raising children and caring for an older relative or friend.

• Caregivers who return to full-time employment after caregiving are more likely to: • Earn lower wages• Have a “benefit-poor” job• Receive reduced retirement benefits.

Source: Family Caregiver Alliance

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Bootcamp Action Plan

Mark Germain, CFP®, MBA, ADPA® – Founder and CEO Norman Sohn, MD, MBA – Managing Director

Beacon Wealth Management

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Your Financial House In Order

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First Step

Organize financial

documents

What you own

What you owe

Formulate plan

Where Is It? Partial List• Birth certificate• Passport• Valid driver’s license• Marriage license• Divorce decree• Prenup agreements• Bank accounts• Saving accounts• Investment accounts• Retirement accounts• College savings accounts

• Tax returns• Wills• Trusts• Powers of attorney• Health care proxy• Insurance policies• Real estate deeds• Credit cards• Keys/combinations• Online passwords• Bills

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Online Tools to Make It Easy

Mint.com• Free online tool • Aggregates checking,

savings, investment accounts

• Create personal statements

• Analyze spending and create budgets

eMoney Advisor• For Beacon clients• Aggregates checking,

savings, investment accounts plus miles, hotel, etc.

• Create personal statements• Analyze spending and

create budgets• Online repository to store

important info you can access from anywhere 14

Retirement: Start Early

• 401k• IRA• ROTH IRA• ROTH 401k• Contribution limits• RMDs – Required

Minimum Distribution

15Graph Source: The Digerati Life

Calculating Retirement

• How much do I need for retirement?• Do you want to maintain your current lifestyle?• Are you married? Different tax and social security benefits• Location of residency makes a difference• Calculate based on a % of pre-retirement income or desired

income• Establish goals and time horizons

1. Increase savings rate2. Adjust retirement lifestyle3. Work longer at current job4. Work part-time during retirement

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Defining Your Investment Strategy

Asset allocation is the practice of dividing resources among different categories such as stocks, bonds, mutual funds, investment partnerships, real estate, cash equivalents and private equity.

The theory is that the investor can lessen risk because each asset class has a different correlation to the others; when stocks rise, for example, bonds often fall.

Your investment horizon and long-term financial goalsYour return requirementsYour risk toleranceYour constraintsYour tax situation 17

Source: About.com

Tax Efficiency

Sale of stock• Capital Gains Tax• Long-term• Short-term

• Dividend Income Tax

• Cost-basis• Wash rule• RMDs

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Estate Planning Basics

• Must work with an estate planning attorney• Wills and trusts• All required documents

• Important decisions to make• Beneficiaries and contingent beneficiaries• Naming an executor• Guardianship of your children• Appointing a trustee• Passing assets to next generation

• While you are alive• Health care proxy• Living will• Power of attorney

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Frequently Asked Questions

• What is the difference between the Dow, S&P 500, and Nasdaq?• Why should I care about how the stock market did today if I don’t

own stocks?• Can you explain the role of the Federal Reserve and Janet Yellen?• What is inflation? Is it something I have to worry about?• Do I need insurance and long-term care?• Is social security going to end?• I’m not rich. Do I still need to do a will?• What is considered a good rate of return on my investments?• How good are annuities and reverse mortgages?

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Next Steps

1. Join our mailing list2. Participate in the Financial Bootcamp for Women Series3. Follow us on Beacon Blog, LinkedIn, and Twitter4. Enjoy a complimentary 1-hour consultation 5. Financial Bootcamp for Women Package - $2,500. • Scans of your original documents• Help you organize your financial information• Traditional organizer• Set up an online eMoney personal financial profile• 2nd opinion of your current investment accounts

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ContactTwitter LinkedIn Facebook YouTube

Tina PowellTel: (201) 447-9500E-Mail: tina@bwmllc.com

@tinacpowell www.linkedin.com/in/tinapowell

www.facebook.com/tina.s.powell

www.youtube.com/user/shecapital

Pinterest SlideShare Google+ Blog

www.pinterest.com/tinacpowell

www.slideshare.net/tinacpowell

www.google.com/+tinapowell

www.shecapital.com

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Twitter LinkedIn Website Blog YouTube

Mark Germain, CFP®, MBA, ADPA®Tel: (201) 447-9500E-Mail: mark@bwmllc.com

@mark_germain www.linkedin.com/in/mark-germain

www.bwmllc.com www.youtube.com/user/beaconwealthnj

Beacon Wealth Management, LLC505 Main Street, Suite 214, Hackensack, NJ 07601Tel: (201) 447-9500 www.beaconwealthmanagement.com

Thank you!Special thanks toLois Blumenfeld-Sohn and Norman Sohn, MD, MBA

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