I had some terrible coaches when I played high school baseball. It boiled down to one thing. They yelled. Like, they yelled a lot. I never did enough. I never did anything right enough.
I felt hopeless. I had no confidence. I wasn't a courageous player or teammate. I was a shell of what I was before high school (in 7th and 8th grade---my glory years). It was awful enough to make me want to quit.
So I did. I quit playing baseball.
What does this have to do with money? Everything. If our financial life is a bit topsy-turvy, we need something that will inject hope into our situation, instill confidence when the odds are against us, and inspire us to act courageously when the world is telling us to buy another toy.
A financial coach does exactly that. How are you doing financially? Do you need some hope, some confidence, some courage?
You might just need a financial coach.
What's a financial coach? At its core, it's someone who helps you with budgeting, spending, saving, and planning for the future. It's someone who's there to instruct, guide, and hold you accountable. Even if you're doing amazingly when it comes to money, you may have questions about your next best move. A financial coach serves as an impartial friend no matter the situation.
In the end, just like in any sport, financial coaching is about caring well for you and equipping and empowering you to thrive with money. Plain and simple.
I'd be honored to come alongside you as your coach. So, get in touch.
Oh, and I promise I won't yell at you.
There's a good chance you'll get a refund on your taxes this year. In any given year, nearly 70% of Americans receive a refund from the IRS. The average refund was more than $2,890 in 2018.
The big question becomes, "What should I do with my refund?" This morning on my drive to work, one radio commercial tried to convince me to take mine and head to the dealership. Apparently, I need a 2019 Chevy Silverado.
Get behind me, Satan.
'Tis the season for companies telling you what to do with your tax refund. It's funny how it always seems to end up not in your bank account, but in theirs.
I get it. I feel the tug, too. A new car would boost your morale. That vacation to Italy would recharge your emotional battery. The 90s called and it wants its kitchen back. The temptations are endless.
But there's a better way. The good news is that you get to tell your refund what to do and where to go. Here's my recommendation: take that check---what could amount to essentially an extra paycheck---and deposit that cash right into a savings account and never look back.
Here's the hard truth that no dealership or interior designer or travel agent will tell you: you're going to need that cash for something this year. Someone will get sick or break an arm. The AC will die in mid-July. Your car's EGR valve will stop doing its job. In other words, a financial emergency will happen. Not this year? Then next year. Or the next.
Ever heard of Murphy's law? Something will go wrong. Do you have the cash to cover it?
A 2018 poll showed that only 39% of Americans have enough savings to cover a $1000 emergency. Another poll from 2017 revealed 57% of Americans couldn't pay cash for a $500 unexpected expense. It doesn't take much to get to those dollar thresholds. (In case you're wondering, that EGR valve will run you between $200-500 at your local mechanic.)
The first step to financial health is to build an emergency fund for when "life" happens. Start by getting $1,000 in there. Even better if it's your full tax refund. What if you have debt? Put $1,000 in that emergency fund and, if there's still some refund left, put it toward debt. Life doesn't care if you have debt or not. It is going to happen. And you'll need the cash to cover it.
Rehab Tip: Electronic filing with the IRS makes saving your refund easy. You can choose to receive your refund via direct deposit---right into your savings! Plus, when you choose direct deposit, you get your money much faster.