Is Warren Buffett Giving Contradictory Advice?
A Discussion of Passive vs. Active Warren Buffett is widely acknowledged as the greatest investor alive today. Last year he was ranked the third wealthiest person in the world, down from number one a few years back. Despite his roots as a value investor whose favorite holding period is forever, in recent years he has […]
Laddering versus Chunking
Many times clients come to us to find a better rate than what their bank is offering when a CD is coming due. Sometimes they are looking for the best short term rate because they fear interest rates are going up and want to have the money available sooner rather than later. Other times they […]
Memorial Day – Remembering the Ultimate Sacrifice
Five of Chattanooga’s own gave their lives last year for their country and our community. Memorial Day is a time to recognize those who have paid the ultimate price for our freedom. It’s one of the few federal holidays that everyone is in agreement on: a day set aside to honor the military men and […]
Which One Are You: #1 or #2?
“Forecasting is difficult because we don’t know what is going to happen in the future” – Yogi Berra It’s interesting how people tend to extrapolate into the future. They erroneously assume that what has happened recently will continue at the same pace for the foresee-able future. It is a behavioral trait that many exhibit that […]
Is a “Back Door” Roth IRA Right for You?
Have you ever known something was right for you and been told you couldn’t have it? It can be pretty frustrating. Many high-income earners, who would like to contribute directly to Roth accounts, cannot do so because of IRS income limits. However, that doesn’t mean it’s impossible for high-earners to reap the benefits associated with […]
7 Reasons for Roth IRAs: Why Not Now?
It’s almost tax time. During April, many people take advantage of the opportunity to reduce taxes by funding a Traditional IRA. While that makes sense for some Americans, others may benefit by contributing to a Roth IRA that offers no immediate tax break, but has other tax advantages, such as tax-free growth potential and tax-free […]
Social Security Offices Are Misleading Retirees
Last month I had a client ask me about a social security strategy that is going away on April 30th of this year. They wanted to explore the possibility of using the file and suspend strategy. In this case both spouses were 63 years of age. Of course, this issue is confusing because the file and […]
Did You Miss the Gorilla?
Last week we hosted our first session of Brain Games in which we found as many ways as we could to trick the audience. We unveiled to them their own biases and ways their own instincts work against them, especially when it concerns investing. It’s especially interesting to see how most people believe that they […]
Got Milk?
**Since yesterday was a big down day in the market, I’ve got a quick thought at the end of this blog. Once upon a time in the country there worked a dairy farmer who was having trouble getting his cows to produce milk. They seemed well fed but as the cows grew fatter and fatter, […]
