Cutting Back is The New Black

The spending trend of the country is changing to a saving trend. It is a core reaction to tough economic times. Cutting back is now all the rage.

 A large group of families and individuals do not understand where they spend money. With juggling family responsibilities who has the time? The people that make progress on savings goals and establish wealth, they make the time. 

It is all about choices. 

When helping clients understand expenses the discussion often starts with “We don’t know where the money goes or where we can find more to save?”  When they really assess how money is spent, opportunities for savings appear.  This enables progress on financial goals or a bridge through a tough financial time.  

 Making better choices  – It is not about giving up everything. Choices are daily decisions and compromises on where to spend money. Changing your language to “making choices” will help change your attitude towards reducing expenses.

Reducing expenses is choosing to keep your morning Dunkin Donuts coffee, but bringing your lunch. It is the choice between keeping snacks in the car or emergency stops at McDonald’s.

•  Eating out – Make better choices of when and where you eat. Bistros to chain restaurants are offering deals, especially during the week.
• Google  – Search for coupons codes before online shopping. www.retailmenot.com or www.momsview.com.
• Mortgage– If you haven’t taken advantage of low mortgage rates, check out refinancing to save each month and thousands over the life of the mortgage.
• Cars – Keep your car 1, 2 or 3 more years than planned.
• Insurance – Shop around for auto, home and umbrella insurance with a broker. Brokers work with multiple companies and are paid to shop around for you.
• Entertainment, Memberships, Subscriptions & Lessons – These small items add up. Select what your family really enjoys.

Advisory Services offered through Axiom Advisors, LLC. A registered Investment Advisor Securities offered through Cambridge Investment Research, Inc. a Broker/Dealer member FINRA/SIPC Axiom Advisors, LLC and Cambridge Investment Research, Inc. are not affiliated. 

 

Preparing for Financial and Professional Change – Surviving a layoff

It is hard to attend any function whether a school play or cocktail party without running into someone who has lost their job or worried about losing their job. Reducing financial and emotional stress will assist your family in getting through the situation.

Financial Preparation

• Assess spending
• Develop monthly cash flow and budget for a potential layoff situation.
• Increase emergency reserves
• Determine where to rollover your 401(k)

Professional Preparation

Gather your data

• Ensure you have examples of your major accomplishments.
• Have the numbers behind your accomplishments for resume, such as years of growth, revenue and growth percentages.
• Understand your company and unemployment benefits.

Arm yourself for the search

• Start your resume now!
• Contact a resume writer or use online service (www.resumeedge.com)
• Take advantage of every outplacement service you are offered.
• Line up references.
• Network, network, network
• Call former managers; let them know you are looking.
• Find your cheerleaders!

Networking 101

• Get comfortable speaking about your job situation. Being able to easily discuss your situation and briefly tell someone what you are looking for will be a key to success.
• Be as positive as possible in all social situations so contacts will want to help you.
• Utilize networking tools such as Linked.com In to keep track of contacts.
• Print business cards for job search (Available free at vistaprint.com, you just pay shipping )

New job – Financial Recovery & Success

• Maximize 401(k) contribution to boost savings and reduce taxes.
• Establish/re-establish emergency fund
• Utilize new budget and cost-cutting skills to determine sustainable lifestyle expense.
• New savings can be invested.

Advisory Services offered through Axiom Advisors, LLC. A registered Investment Advisor Securities offered through Cambridge Investment Research, Inc. a Broker/Dealer member FINRA/SIPC Axiom Advisors, LLC and Cambridge Investment Research, Inc. are not affiliated.