Making Margin

Making Margin PodcastEpisode 53 - Spending with IntentWelcome to the Making Margin podcast! Greenway’s team is here to discuss common financial mistakes and to help you navigate them. Meet the voices behind this episode of Making Margin:NickJeffNatalie AllieJenIn this episode, we continue our conversation on using your finances to live your values, focusing on spending with intent. The discussion is inspired by Morgan Housel's blog post titled ‘A Few Thoughts on Spending Money,’ sharing our own ideas and tweaks to his advice. Join us as we chat about getting intentional with our spending!Questions:“There are two ways to use money. One is as a tool to live a better life. The other is as a yardstick of status to measure yourself against others. Many people aspire for the former but get caught up chasing the latter.” Is that true? Are there only two ways to use money? “Money is a tool you can use. But if you’re not careful, it will use you. Sometimes the stuff you spend money on has so much influence over your autonomy and sanity that it’s not clear whether you own things or the things own you.” Where do we see this happening? “How you spend money can be a reflection of what you’ve experienced in life. To someone who grew up snubbed by poverty, owning a fancy car might be the ultimate symbol of what you’ve overcome. To an old-money family, it might be the ultimate symbol of ego and insecurity. People don’t just spend money on things they find fun or useful. Their decisions often reflect the psychological wounds of their life experiences.”Does this explain a lot of what we see? “The more money you have, the harder it becomes to know how to spend it in a way that will make you happy. And that confusion sets in at fairly low levels of income. Luke Burgis writes: ‘After meeting our basic needs as creatures, we enter into the human universe of desire. And knowing what to want is much harder than knowing what to need.’”

Making Margin PodcastEpisode 52 - Defining Your Destination Welcome to the Making Margin podcast! Greenway’s team is here to discuss common financial mistakes and to help you navigate them. Meet the voices behind this episode of Making Margin:NickJeffJenNatalie In this episode we talk about applying your values to your finances. We think it’s important to create a structure that allows you to live out what’s most important to you, and to view money in a way that provides you the opportunity to do that. Every spending (or giving, or saving) decision can then be viewed through this lens.

What happens when you fail at market timing?: https://www.dimensional.com/us-en/insights/what-happens-when-you-fail-at-market-timing The Periodic Table of Investment Returns: https://www.callan.com/research/2022-classic-periodic-table/ Dave guessing his Mom's Thanksgiving Pies: https://www.youtube.com/watch?v=1xa_ICrQHCM

So this is the New Year! In Episode 50(!) of the Making Margin podcast, we offer our ideas for New Year's Financial Resolutions; easy things that anyone can do to put themselves in a better position financially.

Welcome to the Making Margin podcast! Greenway’s team is here to discuss common financial mistakes and to help you navigate them. Meet the voices behind this episode of Making Margin:NickNatalie JeffAllieSince its inception, the 529 has been a popular education savings vehicle. Over the years, it has received a few enhancements, but none better than the most recent one thanks to the Secure Act 2.0. We’ll talk about the 529, the changes, and how it might fit into a financial plan.In 1996, U.S. Senator Bob Graham of Florida, where a prepaid plan was well established, and U.S. Senator Mitch McConnell of Kentucky, which had a savings trust, led a bipartisan effort to provide federal tax relief for all plans, resulting in the creation of Section 529 of the Internal Revenue Code (IRC).QuestionsWhat have been the changes to 529 plans, previously and in 2023?How should a plan most appropriately be utilized? Who does it make sense for?Resources:https://www.collegesavings.org/history-of-529-plans#:~:text=In%201996%2C%20U.S.%20Senator%20Bob,Internal%20Revenue%20Code%20(IRC).https://finaid.org/savings/state529deductions/

Making Margin PodcastEpisode 48 - The Psychology of SpendingWelcome to the Making Margin podcast! Greenway’s team is here to discuss common financial mistakes and to help you navigate them. Meet the voices behind this episode of Making Margin:NickJeffNatalie Allie“A subtle problem with money is that assets are easy to measure but liabilities can be hidden.”-Morgan HouselToday we’re talking about the psychology of spending, and why setting arbitrary limits that are well below what you can currently “afford” can make it easier to build wealth.QuestionsDo you set arbitrary spending limits on certain things, even those things that you enjoy and can afford?What influences cause people to overspend, either relative to what they can spend or what they should spend? Resources:https://www.apa.org/monitor/2023/06/psychology-of-spendinghttps://collabfund.com/blog/rich-and-anonymous/https://spectrum.mit.edu/winter-1999/the-psychology-of-spending/

Making Margin PodcastEpisode 47 - These Are The Biggest Money Mistakes That We See People Make Welcome to the Making Margin podcast! Greenway’s team is here to discuss common financial mistakes and to help you navigate them. Meet the voices behind this episode of Making Margin:NickJeffAllieNatalie DrewWe often talk to our clients about the importance of avoiding mistakes with their money. So much about personal finance isn’t about trying to hit home runs; it’s consistently hitting singles and avoiding mistakes. But what are the most common mistakes we see people make with their money?We’re looking at an old Nick Magguilli (Mah-Julie) post from his blog Of Dollars and Data to guide our discussion, and where we agree and don’t agree with his assessment. Discussion Topics:What does he get right, what does he get wrong?Any other things that we would add? Resources:https://ofdollarsanddata.com/biggest-money-mistakes/

QuestionsWhat happened to SVB? Explain it to me like I’m 5. What’s the risk of broader contagion? How do these events impact your 2023 market forecast? What should we be doing differently with our money? Resources:https://www.investopedia.com/what-happened-to-silicon-valley-bank-7368676https://www.investopedia.com/terms/t/twofactor-authentication-2fa.asp

With so many negative headlines, is there a reason to be optimistic about the markets (and life in general) this year? What about in future years?QuestionsThe Dow is currently at ~34,000. Will it end the year higher or lower than 34,000? Michael Burry: why is pessimism so popular? Personally (and for the market) are you optimistic or pessimistic over the near-term? What about in the intermediate-long term?  Resources:https://www.bloomberg.com/news/articles/2023-02-01/will-stocks-fall-michael-burry-says-sell-in-ominous-tweet-ahead-of-fed

Resources:https://www.kiplinger.com/retirement/bipartisan-retirement-savings-package-in-massive-budget-billhttps://www.schwab.com/learn/story/secure-20-how-does-it-affect-retirement-plans

We’re back with some year-end financial planning ideas to make sure you start 2023 with a bang.

The recent implosion of cryptocurrency exchange FTX has thrown the entire crypto market into (even more) turmoil. What does it mean for the future of crypto as an asset class? In this episode, we revisit a conversation we had in the fall of 2021 to find out if anything has changed for us and our clients.

Making Margin PodcastEpisode 41 - Student Loan ForgivenessWelcome to the Making Margin podcast! Greenway’s team is here to discuss common financial mistakes and to help you navigate them. Meet the voices behind Making Margin:NickJeffDrewOn Aug. 24 Biden announced that his administration will waive student loan debt for qualifying Americans — $10,000 for individuals earning less than $125,000, plus an additional $10,000 for those who had received Pell Grants, which support tuition for lower-income students. We discuss everything we know about it. Resourceshttps://www.cnbc.com/2022/08/30/how-to-get-ready-to-apply-for-student-loan-forgiveness.html?utm_content=Main&utm_medium=Social&utm_source=Twitter#Echobox=1661945050-1https://www.politifact.com/article/2022/aug/30/joe-bidens-student-debt-forgiveness-plan-legal/

Making Margin PodcastEpisode 40 - Skimp or SplurgeWelcome to the Making Margin podcast! Greenway’s team is here to discuss common financial mistakes and to help you navigate them. Meet the voices behind Making Margin:NickJeffAllieNatalie DrewToday we’re talking about skimping and splurging. Lifestyle choices have an enormous impact on people’s financial futures. It’s important to align your expenses with your values if you want to experience financial success. But that might mean skimping some places and splurging in others. So where do we skimp and where do we splurge? Discussion Topics:ShoppingClothesFoodTravelRestaurantsCarsHousehold stuff Resourceshttps://ringgitohringgit.com/saving-money/rules-splurge-skimp/

Making Margin PodcastEpisode 39 - Has the Housing Bubble Burst? Welcome to the Making Margin podcast! Greenway’s team is here to discuss common financial mistakes and to help you navigate them. Meet the voices behind this episode of Making Margin:NickJeffAllieNatalie DrewToday we’re talking about the housing market. Mortgage rates for 30-year fixed loans hit roughly 6% in June, up from a little over 3% a year ago, according to Bankrate data. Now there are early signs that some places have excess inventory. How should would-be homebuyers react?Discussion Topics:How would we expect interest rates to impact the housing market overall?What should first time homebuyers do?    Resources:https://www.marketwatch.com/picks/im-the-director-of-forecasting-for-the-national-association-of-realtors-here-are-6-things-you-should-know-about-the-housing-market-now-01656706585https://fred.stlouisfed.org/series/MORTGAGE30US

Making Margin PodcastEpisode 38 - How Low Can You GoWelcome to the Making Margin podcast! Greenway’s team is here to discuss common financial mistakes and to help you navigate them. Meet the voices behind this episode of Making Margin:NickNatalie JeffDrewToday’s topic is all about the current market. The US Stock market (S&P 500) suffered the worst first half since 1970 - down nearly 20% since the beginning of 2022. People are mostly blaming inflation. So what’s to come? And how should investors prepare?Discussion Topics:How are our clients handling the market insanity so far?What should people be doing to make sure they’re in the best possible place financially?Where does it go from here?VOO 10 year average annual return 12.92%. Reversion to the mean?    Resources:https://www.cnbc.com/2022/06/30/the-markets-worst-first-half-in-50-years-has-all-come-down-to-one-thing.html*When the S&P 500 plunged 21% in the first half of 1970, it promptly reversed those losses to gain 26.5% in the second half and eke out a gain for the year.*https://www.wsj.com/articles/mutual-funds-managers-positive-returns-11656881703https://www.dimensional.com/us-en/insights/so-whats-your-plan-for-the-bear-market

Making Margin PodcastEpisode 36 - To Roth or Not to Roth Welcome to the Making Margin podcast! Greenway’s team is here to discuss common financial mistakes and to help you navigate them. Meet the voices behind this episode of Making Margin:NickJeffDrewToday we’re talking about Roth IRA and 401(k); something we discuss with almost every client. What are the advantages and disadvantages? Who do they make the most sense for?Discussion Topics:A quick overview of Roth rulesWho should take advantage of the Roth option?Tax diversificationRMDsLegacy Resources:https://www.schwab.com/ira/roth-ira/what-is-a-roth-irahttps://www.schwab.com/resource-center/insights/content/should-you-consider-roth-401k

Making Margin PodcastEpisode 35 - Marriage & MoneyWelcome to the Making Margin podcast! Greenway’s team is here to discuss common financial mistakes and to help you navigate them. Meet the voices behind this episode of Making Margin:NickNatalie JeffDrewAllieToday’s topic is all about money & marriage. What are the key ingredients for couples to be successful financially?Discussion Topics:How do you and your spouse approach money (practically and theoretically)?What are some common traits held by our married clients of ours who seem to have found some success financially?Couples who succeed financially relate to money similarly, and execute a plan based on shared vision and goals.Resources:https://www.amazon.com/Important-Money-Decisions-Every-Couple/dp/0736946225?asin=0736946225&revisionId=&format=4&depth=1https://financialtherapyassociation.org/find-a-financial-therapist/

In this episode we discuss cash. How much should you have? Where should you hold it? How much is too much?

Making Margin PodcastEpisode 34 - The Benefits of GenerosityWelcome to the Making Margin podcast! Greenway’s team is here to discuss common financial mistakes and to help you navigate them. Meet the voices behind Making Margin:NickJeffAllieNatalie DrewToday we’re talking about generosity. Part of our mission as a firm is to become more generous and to develop a culture of generosity with our clients. What does that actually mean though, and why would we do that?It turns out that being generous is really beneficial not only for the recipient, but also for the giver.In a recent study linked below, people were asked about how generous they were, how likely they were to donate, to voluntarily do something for someone else, to give directions to a stranger, and high-generosity respondents were more than twice as likely to be "very satisfied" with their life over the past year.Discussion Topics:When was the first time you remember giving money or time to something that was meaningful to you?What are some smart ways for people to think about giving (taxes, assets, etc.)How would you recommend someone who hasn’t participated in giving start doing so?Resourceshttps://www.fool.com/the-ascent/research/study-it-pays-be-generous/