The Gentlemen’s Corner W/ Colin Furcht -Guide to Financial Planning

For the record, I am NOT a Certified Financial Planner, a CPA or have any degrees in Finance. I am just a guy who has lived through several recessions/depressions, worked for a company that went Bankrupt in my 30’s and had to rebuild my personal portfolio more than once. The advice I will be sharing is that of a concerned Brother, Uncle, Father and Friend. As we’ve talked about many times before, Men are generally the caretakers and breadwinners. Certainly, times have changed where many families find themselves as dual income, with shared responsibility while preparing for a future and a family. 

Where do I start?

With the limited space I have to fill every few weeks, we certainly will not get to everything. I will do my best to share some general areas of focus and strategy to help make sure you are not only able retire someday, but also to live a reasonably comfortably life until then. That said, remember that life is hard and has no guarantees, so you need to live YOUR life, every single day. Never let any one challenge overwhelm you.

1. Saving today is key to a comfortable lifestyle tomorrow. Compound interest is your friend. If you are reading this and are under 30, PLEASE start a retirement plan. If you work for a company that offers a 401K plan, this is an absolute must, even if only a few percentage points from each paycheck for now. If your company doesn’t offer one, consider starting one on your own. Putting just $25 a week into a retirement savings program could yield you almost $200,000 by the time are 65. That’s not taking into consideration a 401K where you get matching funds and increases as you get older where you can put more into it year after year. 
2. How much do I need? Well, that’s a tough question to answer but I can tell you what the average person has in retirement savings today: 

Under 35: $49,130, 35–44: $141,520, 45–54: $313,220, 55–64: $537,560, 65–74: $609,230, and 75 or older: $462,410.

I can also tell you that in 30 years, none of this will be enough. I don’t want to scare you but without a plan now, especially when you are young, it will be much easier to handle than if you start at 50.

3. While you are saving, watch your spending. Do you get that $10 Starbucks coffee every day? Do you have a half dozen streaming services? Maybe you just bought that new car. Creating and sticking to a budget is so important. Starting this early in your adult life will pay you back many times over. Never try to ‘Keep up with the Jones’.’
4. Find online banks that automatically take money out each week. Even if you are putting it in a savings account right now, it’s better than nothing. Easy investments like Money Market and CD’s can offer you safe investment outcomes.
5. Stay off the credit card. Today, in America, we have over $1.1 Trillion in credit card debt. The works out to about $6300 per person. That’s up almost 6% from last year. With credit card rates around 20%, you will never be able to dig out AND save for retirement at the same time.

What do I do now?

I am sure some of you are already freaking out about this. Don’t. Awareness is key and I can’t stress enough how important a budget, planning and personal responsibility will play in your future. Being an adult is hard sometimes. Financial discussions are uncomfortable. You need to have them with a trusted relative, friend or a professional. Living within your means sometimes mean doing without. Eat in more, buy a used car next time, shop online and look for better deals. Frugality is not something to be ashamed of. Many rich folks live that way, hence how they keep their money.

I get it, no more spending but what about making more?

Exactly! We’ve covered Side Hustles in previous weeks. We’ve also talked about how to learn to fix and do things yourself. See how all of this comes together? I can’t promise any of you a high paying job or even one that will keep you 40 years. Those days are over. We, as the Men in the family, need to always be looking for ways to do it ourselves, caring for and protecting our families and sometimes that means having the hard conversations about spending.

I can assure you that your brothers are dealing with these same challenges. Having a small circle of guys that you can trust with these discussions is so important. Don’t be embarrassed to ask for someone’s insights when it comes to finances. Sharing challenges and fears with those you trust will not only show you are not alone, but I promise it will take your stress levels down too. Build that Brotherhood and continue to support each other!

Colin Furcht- BRO Beard Products CEO

Colin has been a long time Lake Norman resident and has been very active in the community. From Commissioner to founding the Lake Norman Lighted Christmas Boat Parade to now a featured Author and small business owner! His desire is to bring men together and encourage them to reach out. He has always said, ‘look out for yourselves and each other.’ All men need a Brotherhood. www.brobeardproducts.shop