Most people are down 30% or more in their retirement accounts and they are looking for financial planners in Arizona that have a different approach. Good financial planners in Arizona will provide a plan that protects your money from market losses, gives you a great return and protects your income from future tax increases. Although this sounds like the obvious, common sense approach, most financial planners in Arizona will not offer you this type of program.
Why? Back in the day, (before the mid seventies) most people had a pension. The pension was your guaranteed income. You did not have to worry about losing your money. You knew it would be there. This system worked very well until Wall Street decided it had a better plan for you…
Starting in the mid seventies, IRA’s and 401k’s were designed originally to supplement your pension NOT replace your pension. Wall Street quickly learned how much could be made by charging fees on these accounts – nearly half of your retirement income – according to a recent “60 Minutes” episode. Pensions were taken out of insurance products and invested in the market. Companies dropped pensions entirely and left it up to you to put your money at risk. Now, after over 30 years, most financial planners in Arizona simply sell stock and mutual fund portfolios. Unfortunately, this is why in 2008 Americans lost over $2 Trillion in their retirement accounts. Whether you live in the Phoenix area or elsewhere this financial planning strategy has failed.
It is already hard enough to save money. Most Americans simply cannot afford to lose money. Financial planning that puts your life savings at risk in the stock market is not appropriate and unnecessary for most people – whether you live in Arizona or anywhere in the U.S. Yet, when it comes to the Phoenix area, the financial planning advice most people are still getting is to keep their money in the market and hope the next decade will be better than the last.
Thankfully there is a time tested, proven financial planning strategy that is an alternative to what most financial planners in Arizona are offering. Before pensions went away or were lost in the stock market, they were nothing more than insurance products. Either annuities that grow tax-deferred or life insurance which grows tax-free. The insurance products of today provide the same or better rates of returns than that of mutual funds and stocks with the added benefit that they are guaranteed against market losses.
They do just what they have been doing for over 200 years in America…growing money and keeping it safe. At our office in the Phoenix area, financial planning with these vehicles has dramatically outperformed the average brokerage account by over 100% in some cases. You can learn more about this on the Safe Investing and Investing Tax Free sections of the website.
Now that you know there is an alternative to what most financial planners in Arizona are offering, only invest in the stock market with money you can afford to lose.
It still surprises me that most financial planners in Arizona don’t even offer these valuable safe accounts. As a result most people in Phoenix have lost money due to the financial planning provided to them.
If you live in the Phoenix area or anywhere in Arizona and have a financial planning question call me at my office in Scottsdale – 480-970-5663. If you are looking for financial planners and you are not in Arizona call me toll free at 1-877-970-5663. You can also visit our financial planners Arizona section of the website.
