www.smallwoodwealth.com John L. Smallwood, CERTIFIED FINANCIAL PLANNER™ from Shrewsbury, New Jersey demonstrates that everyone has a wealth curve potential and that pressure from taxes, inflation, market volatility, inflation, planned obsolescence, technological change, global black swan events, fees, premature death, disability, long term care cost plus so many other factors are pushing down your wealth potential. An effective long term plan must take into all of the factors to be potentially successful. Visit us on the web at: www.smallwoodwealth.com or call us   800-797-1000         What direction is your wealth curve of heading? We all have a lifetime wealth curve potential. We start out as a young person when we begin to become aware of money and wealth. Every decision we make in our lives impacts this curve. We begin to earn money, put it in an investment vehicle, hoping to earn a high rate of return. We have our eyes set on a future where we can accumulate a massive amount of money, leave the rat race, go sit on an island, while our assets continue to grow and our incomes continue to grow, until one day we get the opportunity to pass this on to the younger generation. Perfect. Then, reality sets in. You realize that there's a tremendous amount of financial pressure pushing down on your wealth curve and its potential. If the wealth curve were purely mathematical, it would always grow exponentially. But it doesn't. Taxes, federal, state, FICA, Medicare, sales tax, consumption tax, excise tax, more and more taxes. Fees, bank fees, surcharges, investment fees, transaction costs, commissions, surrender charges, hidden expenses. Interest costs, on credit cards and mortgages and student loans and car loans. Market volatility creating this average versus actual return gap. Insurance costs, car, home owners, disability, health insurance, life insurance, insurance losses above coverage limit. Lifestyle and our inability to keep it in check for some. Loss of employment, under-employment. Inflation. Technological changes, cell phones and data plans. What's next? Planned obsolescence. Everything we own is wearing out and will need to be replaced at a much higher cost, unfortunately. Theft, identify theft, money being stolen. Our college plus our children going to college. Our parents not being prepared, having to more back into our homes, or us having to help them out or care for them financially or in reality. Our siblings not being prepared, or our kids never launching, staying in the home. Events that we dreamed of; wedding for our children and sweet 16s. We think they're going to cost X and they Y and a lot more. Black swan event, these global macro destructors of wealth, not to mention the impact of long-term care and disability, premature death, death at life expectancy, law suits, estate taxes. All of this pressure is constantly mounting and become larger as our wealth grows and our incomes grow. The sequence in which these things come and the outcome cannot be predicted. For many people, this pressure becomes so great that their curve collapses and begins to deteriorate their wealth and often they run our of assets. You look back at the curve. The most important drivers of wealth were the ability to save money in the return times the length of time that it can sit there. When we retire, we remove the savings rate, so now, the curve is being propped up by one component as opposed to two. And then economic conditions change and maybe that return collapses, like we're experiencing now. What direction is your curve trending? Most advisors and people spend all of their time focusing on the rate of return on their money. While we believe this is important to focus on, true success comes from identifying where the pressure is in your plan and developing strategies to minimize the impact of the pressure. If your plan does not have contingencies or have thought about the pressure, you don't have a real plan. At Smallwood Capital, we believe that a strategic plan must include a complete evaluation of all potential pressure. Through a collaboration, you have the ability to create a wealth plan that is more prepared for this pressure. To get started, click this link, www.smallwoodwealth.com download your new client kit, and request a time to meet with us. Look forward to seeing you soon. Thank you, This communication is strictly intended for individuals residing in the states of CA,CO,FL,MA,ME,NC,NH,NJ,NY,PA,RI,SC,TX,VA. No offers may be made or accepted from any resident outside these states due to various state regulations and registration requirements regarding investment products and services. Securities and advisory services offered through Commonwealth Financial Network®. Member FINRA, SIPC, a Registered Investment Adviser. www.FINRA.org/www.SIPC.org. Privacy Policy

• published: 14 Mar 2014
• views: 16301