Apr 5, 2019
The emotional and logical parts of your brain often conflict.
The emotional part usually has more influence, but the logical part
thinks it's in charge. This lends itself to justifying emotional
decisions with (bad) logic. We'll explore some of the excuses
What You'll Learn:
2:45 – A Quote Of The Week.
"There is a gigantic difference between earning a great dal of
money and being rich."
- Marlene Dietrich
4:30 - Excuses Surrounding Poor Social Security
- You're eligible to start withdrawing your Social Security at
age 62, but that's not always the best decision. However, you might
try to justify your longing to withdraw early by suggesting you've
"earned" it. You might even suggest it's the logical thing to do.
Regardless, you need to make a calculated decision that's based
upon your unique financial situation.
Excuses Surrounding Risky Decisions.
- If you're taking too much risk, you might suggest you're doing
it to make up for long time. While it's understandable you want to
play "catch up," you need to be careful with your portfolio as you
8:44 - Excuses Surrounding Your Cash.
- Perhaps you're risk averse, and you have too much money in
cash. While it seems like a safe decision to put your money in
cash, doing so could hurt you as much as keeping your money in
risky investments. Consider the effects of inflation on your
13:51 - You Need To
Know How Your Advisor Gets Paid.
- It's a simple
question. Don't be afraid to ask it. Any good financial advisor
will be candid with you about this information.
15:47 - Watch Out For Big Brands.
- We tend to gravitate towards brands we recognize. However, this
doesn't mean they're doing the best job for you. Make sure you're
working with a fiduciary.
18:06 - Stop Nodding And Smiling.
- Ask questions, and don't be afraid to ask for clarification as
you're speaking with your advisor about complex concepts. You need
to know what's going on with your finances. Don't pretend to know
what's going on when you're clueless. That's a dangerous approach,
and your advisor should be able to explain concepts in a way that's
easy for you to understand.
19:38 - Work With An Age-Appropriate
- Your advisor should work with other people who are also in your
stage of life. If you're approaching retirement, and your advisor
exclusively works with young people who are looking to build
wealth, you might need to consider finding a new advisor.
"Stop making excuses and justifying poor financial decisions.
Become an informed investor. Work with an advisor who can help you
make calculated decisions." - Money Wisdom
ScheduleYour Money Map Review: http://retire.johnsonbrunetti.com/contactjohnsonbrunetti
For further exploration of this topic and additional resources,
check out our blog here: https://johnsonbrunetti.com/three-dangerous-excuses/