139th News

The PFC’s Corner – August

  • Published
  • By Randy Gerard, CFP
  • 139th Airlift Wing

Welcome to the inaugural publication of The PFC’s (personal financial counselor) Corner! Each month I will use this space to share ideas, tips, strategies and maybe even case examples of financial planning. These will be relatively brief so I encourage you to contact me by phone, email or stop by to get additional information or to set an appointment. You’re also strongly encouraged to send me suggestions for future topics.

Kicking the Can Down the Road

“Procrastination” – the conscious choice to avoid or delay an activity, decision or even a thought that needs to be completed. You’ve just read probably the Number #1 reason more individuals and families don’t achieve a secure level of financial independence. Whether from fear of making a wrong choice, being judged, or sharing personal information, individuals find many reasons to “put off” getting assistance or a review of their finances. Yet, getting such a review (even as a second opinion) can many times discover areas where improvements could be made and in some cases, help establish a sound, flexible financial plan for the first time. The average annual salary is around $42,000 and if you work 30 years you will earn almost $1.3M. How well will you manage those earnings? If you established a program at age 19 to invest $2,000 per year ($167/month) for 8 years at 12% return but then stopped and let it compound until age 65, you would have invested $16,000 and have around $2.3M. If, for whatever reason, you procrastinated until age 27 but then invested the same $2,000 until you were 65 (39 years) you will have invested $78,000 but only have around $1.5M. So, don’t procrastinate and call/email me to set an appointment!

Randy Gerard, PFC