How are those New Year’s resolutions going? Oh it’s March….how could I ask that? Once again, the gyms are empty, the running trail in downtown Austin is less crowded, and the $800 Vitamix is packed in the back of a cabinet. Like so many things in life, we know what to do… yet we don't do it. The #1 cause of death in the United States is heart disease, yet heart-straining diets and habits thrive. Cigarettes are practically the equivalent of choosing cancer, yet I just overheard two people discussing COVID-19 fears during a smoke break. COME ON!! And, financially, straight-forward tasks like spending less than you make and investing in a suitable manner for your personal risk tolerance can go a long way. Yet, 25% of Americans have ZERO socked away for retirement, and 82% of Americans don’t have a plan. We know what to do – why aren’t we doing it!? Discipline is a key driver of success for many things, including financial well-being. However it's particularly hard to be disciplined during volatile times like right now...Q1 2020. So, consider the following points as you resolve to stay focused on your long-term financial goals:
So, what are you going to do? Stay disciplined. Revisit your plan and make sure it remains appropriate for your personal headlines and your risk appetite. And, if you’re one of the 82% of Americans who doesn't have a plan, work with a financial advisor to develop one. There are so many things in life that cannot be controlled, but at 994 Group, we strive to hold ourselves and our clients accountable for the actions and behaviors we can. By staying disciplined, we can have a greater degree of confidence and peace of mind in the midst of the corona virus and whatever the next cause of volatility will be.
Sources: Financial Advisor Magazine Why Most Americans Lack a Written Financial Plan April 23, 2019, CNBC.com 25% of Americans Have No Retirement Savings May 24, 2019, Dimensional Fund Advisors US Equity Returns Following Sharp Downturns July 26-December 2019, Dimensional Fund Advisors Reacting Can Hurt Performance 1990-2018
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