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Manage your finances creating your empanada of success

Are you ready to manage your finances and make smart decisions about your wealth for once and for all? Our contributor Aquiles Larrea from Larrea Wealth Management has announced the launch of his book Your Money and You: The Ultimate Guide to Wealth Management for Latino Entrepreneurs and Executives, the definitive resource for Latino business owners and professionals looking to make smart decisions about their wealth.

Aquiles Larrea manage your finances

Find Aquiles Larrea book signing event at 2016 LatinasinBusiness.us Best Business Awards.

Written by experienced wealth manager Aquiles Larrea, the book gives readers a framework for coordinating their entire financial lives that empowers them to:

1. Solve their biggest financial challenges

2. Capture new financial opportunities

3. Position their wealth to build the life they truly want for themselves and their families.

Main challenges Latinos confront in wealth management

Confronting many challenges, successful Latinos and their families share numerous financial concerns and goals today such as growing and preserving wealth to meet life’s most important goals and achieve financial freedom and independence.

“For those purposes, gaining the knowledge and confidence to manage your finances effectively and maximize the positive impact they can have on family and community is instrumental. Better yet if they are guided by a team of professionals that Latinos can trust and that speak their own ‘language,’ not only in terms of mother tongue but also culturally,” Aquiles said.

The accomplished financial expert believes that most Latino entrepreneurs and executives have been building successful businesses that thrive for years—and generations—to come. “Do they want to see their effort gone or do they prefer to transfer such wealth safely to heirs to ensure that loved ones have a strong financial foundation on which to build meaningful lives?” he asked.

Finally, Aquiles believes that knowledge can help them protect such wealth from those who would take it unjustly. “You can manage your finances to make a difference in the lives of family, friends, community and the world at large, values that are very important to all Latinos,” he added.

A comprehensive approach to manage your finances

Aquiles Larrea manage your finances

Buy this book now by clicking on the image!

Addressing these many and diverse issues requires a comprehensive approach—one that brings together a broad range of resources and expertise to coordinate all the strategies that must work together to build true, meaningful and lasting financial success.

That approach is comprehensive wealth management—a framework for making smart financial decisions that consists of three key components:

  1. Investment Consulting—investing assets to achieve the growth and preservation needed to reach key financial goals.
  2. Advanced Planning—solving the most important non-investment objectives, including reducing taxes, passing wealth on to heirs, safeguarding assets and having a charitable impact.
  3. Relationship Management—assembling and managing a network of experts to help create and oversee a wealth management plan for financial success.

“There’s no question that comprehensive wealth management stands in stark contrast to how the vast majority of Latino entrepreneurs and executives—as well as most financial professionals—make decisions about the most important aspects of their financial lives,” Aquiles said. “This book and our team are ready to help you make this change happen!”

Armed with the information, insights and strategies outlined in Your Money and You: The Ultimate Guide to Wealth Management for Latino Entrepreneurs and Executives, successful Latinos and their families will find themselves better able than ever before to build, preserve, protect and leverage the wealth they have worked so hard to create.

Leave a comment for Aquiles Larrea and congratulate him for his book!

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women and financial matters

Financial matters are women reluctant to talk about money?

A new study asserts that women feel uncomfortable discussing financial matters. Is it telling the whole story?

women and financial matters

The latest Money FIT Study from Fidelity Investments is generating some conversation within the financial industry. The investment giant commissioned an online poll of 1,542 female participants in its retirement plans, and 80 percent of the respondents indicated that talking about financial matters was “too personal” or “uncomfortable” for them, even if the other party was someone they knew closely.1,2

If this were 1965, this kind of response might seem reasonable … but in 2015?

Keep in mind that this was an online poll. The involved survey firm, Kelton, conducted it with the usual wide parameters. Responses were collected from both retired and working women. Respondents were aged 18 and up.2

 Two other key factoids from the study seem incongruous with this first one.

In the same online poll, 92 percent of the respondents said they wanted to learn more about financial planning within the next year. Additionally, 83 percent noted that they would like to take more control over their personal finances in the next 12 months. Accomplishing both objectives implies talking about money and personal finance issues.1

 Another positive: female baby boomers seem to have more financial literacy

Digging deeper into the study’s findings, 70 percent of the boomer women surveyed felt confident about retirement saving and making a retirement transition, compared to 54 percent of Gen X women and 62 percent of Gen Y women. Also, 63 percent of women in this demographic said they knew where to invest; just 48 percent of Gen X women and 60 percent of Gen Y women did.

Why do we see this disconnect in the data?

Women and money financial matters

Infographics showing women and money behaviors by Ellevate

If women want to learn more about money and/or possess reasonable financial knowledge, what accounts for their apparent reluctance to talk about financial matters with spouses, partners and friends? Is there a lack of confidence, a fear of seeming ill-informed? Is the topic just boring?

Perhaps the answer to the last two questions is “yes.” The poll asked how likely respondents would be to discuss certain issues with their spouses or partners, and while 78 percent said they would likely have conversations about health issues, just 65 percent said they would be likely to chat about investment ideas. Fidelity and Kelton also discovered that 65 percent of these workplace retirement plan participants aren’t drawing on financial or investment guidance offered as a complement to the plan. In fact, just 47 percent of these women indicated they would be confident discussing money and investments in the presence of a financial professional.

Finding the right professional to share concerns about financial matters

At the typical company, workers of both genders would rather head out for lunch than set aside a lunch hour for a meeting about “boring financial stuff.” Such a meeting, however, might help them see the big picture of what they need to do for retirement and might motivate them more than any website or article possibly could.

When financial professionals overcome that perception, employees awaken to the opportunity that a workplace retirement plan presents and see its value; the topics of saving and investing become much more compelling. When that perception remains in place, fewer employees ask for guidance and many effectively do not know where to start, and that may promote discomfort and awkwardness in chats about personal financial matters.

Women seem to invest capably whether they like talking about money or not

Fresh data from SigFig (formerly WikiInvest) bears this out. In analyzing 750,000 investment portfolios, SigFig found that the median 2014 net return for a woman investor was 4.7 percent. For men, it was 4.1 percent. SigFig also made an even more intriguing discovery: while women tend to invest more conservatively than men prior to age 55, after age 55 they actually allocate a higher percentage of their portfolios to equities than men do.1

The new Fidelity study is a conversation starter, but it might best be taken with a few grains of salt. Structure a multiple-choice survey question (and its answers) two or three different ways and you may get two or three different responses. Your individual response to the challenge of saving, investing and planning for retirement should be a confident one.

 

Aquiles Larrea Jr. AIF® may be reached at 212-390-8918 Option 1 or Aq@larreawealth.com.

www.larreawealth.com

 

This material was prepared by MarketingPro, Inc., and does not necessarily represent the views of the presenting party, nor their affiliates. All information is believed to be from reliable sources; however we make no representation as to its completeness or accuracy. Please note – investing involves risk, and past performance is no guarantee of future results. The publisher is not engaged in rendering legal, accounting or other professional services. If assistance is needed, the reader is advised to engage the services of a competent professional. This information should not be construed as investment, tax or legal advice and may not be relied on for the purpose of avoiding any Federal tax penalty. This is neither a solicitation nor recommendation to purchase or sell any investment or insurance product or service, and should not be relied upon as such. All indices are unmanaged and are not illustrative of any particular investment.

   

 

 

Early retirement forced to retire

4 Steps to deal with sudden retirement when forced to retire early

 Welcome to our new wealth coach and contributor Aquiles Larrea Jr.! Aquiles specializes in coaching entrepreneurs and business owners as well as working Latinas and Latinos who’d like to plan their present and enjoy their future.

Early retirement forced to retire

 

What if you are laid off or forced into early retirement before 65, or even before 60? If that happens to you, what do you do in response to the next phase of your life starting sooner than you planned? Here are some steps you might want to consider if this sudden situation happens to you.

  1. Gauge where you stand financially

It could be that the full-time job you just left will be your last. It could be that you have been thinking seriously about retirement. Depending on your outlook, you may see your glass as half-empty or half-full – but no matter your outlook, you need to assess your financial position.

With no income from work, your household will be more reliant on your spouse’s income or savings (assuming you are married at the time). So how big is your emergency fund? Is your cash position strong enough so that you can lean on it for a while until you decide how much you want or need to keep working?

Do you want (or need) another full-time job? Do you see yourself transitioning into part-time work? Or are you looking forward to retirement? Regardless of your employment prospects, you will have to calculate the amount of income you receive (or can potentially receive) from other sources – the pension or termination payout you were (hopefully) given, your investments, and other sources of passive income.

If that income doesn’t appear to be enough, should you apply for collecting Social Security as soon as you can? Many financial professionals will tell you no, and here is why: for each year you delay filing for Social Security benefits, your benefits grow by about 8% (from age 62 to age 70). If you were born in 1954 and you file for Social Security benefits at 62 in 2016, you will reduce your monthly Social Security benefit by 25 percent as a consequence.1,2

On the other hand, some people really need the money and/or are in poor health, so they would rather have the income sooner than later. Your projected lifetime Social Security benefit remains the same regardless of the date you first file for benefits, so even healthy retirees sometimes sign up as early as they can. In fact, in a June survey of more than 600 retirees taken by the Nationwide Retirement Institute, 76% of Americans who had been retired less than 10 years and 68% of Americans who had been retired 10 years or longer said that looking back, they felt they applied for Social Security at the right time.1

Nevertheless, a time like this is a great time to examine Social Security claiming strategies with help from a financial professional –especially if you are married or have been married. The wrong move could leave a great deal of money on the table.

  1. Can you take advantage of any benefits as you leave work?

Talk to the HR officer. If you have not been informed of your eligibility for severance pay or an early retirement package, ask about it. Depending on the circumstances of your exit, you may also qualify for Social Security disability benefits or unemployment benefits.

It will not be cheap to secure health insurance if you need it. If you are lucky, you worked for a big company, giving you COBRA eligibility. Maybe you are even luckier – perhaps your employer offered you the option of retiree health benefits when you were hired. (Hopefully, that offer still stands.) 

Early retirement planning

  1. See what you can do to reduce spending and taxes

Leaving work early might mean that your retirement is longer than anticipated. This calls for a reassessment of your retirement income strategy and your probable retirement expenses, including your day-to-day spending habits.

What fixed expenses are non-negotiable? What can you trim? If you are married, you and your spouse should be on the same page regarding how much you spend and what you spend money on. Perhaps gifts to children or grandchildren should be ceased. Maybe you could sell the house and move someplace cheaper. Maybe just one car is enough. You could eat out less. Spending less on mere wants is appropriate in your situation.

Every tax dollar you can save is a dollar back in your wallet. So pay attention to investment location and the impact of taxes on your portfolio, as you may be deriving income from investment accounts.

  1. Stay positive

You may not have left work on your own terms, but you have an opportunity in your hands –the chance to change, and perhaps even reconceive the way you live and work from this moment forward. If you have significant retirement savings, you may even be surprised at the potential your future holds.

 

 

This material was prepared by MarketingPro, Inc., and does not necessarily represent the views of the presenting party, nor their affiliates. This information has been derived from sources believed to be accurate. Please note – investing involves risk, and past performance is no guarantee of future results. The publisher is not engaged in rendering legal, accounting or other professional services. If assistance is needed, the reader is advised to engage the services of a competent professional. This information should not be construed as investment, tax or legal advice and may not be relied on for the purpose of avoiding any Federal tax penalty. This is neither a solicitation nor recommendation to purchase or sell any investment or insurance product or service, and should not be relied upon as such. All indices are unmanaged and are not illustrative of any particular investment.

Citations.

1 – cnbc.com/2015/09/23/when-you-should-file-for-social-security-benefits.html [9/23/15]

2 – ssa.gov/retire2/retirechart.htm [10/22/15]

 

 

Aquiles Larrea profile

Aquiles Larrea Jr. wealth management coach and contributor

Aquiles Larrea profileWelcome to our new coach and contributor Aquiles Larrea Jr. AIF®, who operates as the personal CFO for successful Latino and Latina executives and entrepreneurs allowing them to pursue their passion and purpose-filled life on their own terms.

Having witnessed his mother’s true-life challenges after she was laid off from a downsizing in the garment industry, Aquiles decided to go into wealth management to help others make smart financial decisions.

For the last 20 years, he has enjoyed helping clients transform their professional and personal lives through his unique wealth management systems and processes.

In 2002, Aquiles started his own independent firm, Larrea Wealth Management with the belief that providing private clients with a simple, elegant experience and a highly skilled team of experts could help them and their loved ones achieve new levels of accomplishment.

Aquiles put himself through college and earned a BS from St. John’s University. He also has a huge passion for Karate. He holds a Third-Degree black-belt in Shotokan Karate and was a member of the US World Cup Karate Team.

Aquiles lives in Manhattan with his wife, Rosabelle, and their two kids, Aquiles Jr. and Alexandria.

Aquiles Larrea Jr. AIF® may be reached at 212-390-8918 or Aq@larreawealth.com.