Wealth and Wisdom: Week of July 4, 2022

I heard someone say this week that the best thing about 2022 is that it’s half over. That’s a sad way to look upon things as we celebrate our nation’s founding, but there’s plenty of evidence to support the current malaise: persistent inflation, rising interest rates, falling stock prices – not to mention a great deal of recent social and political turmoil.

And yet, for those with enough patience and imagination, there are some sparse, early signs of hope. For example, prices for many items we buy – home appliances, men’s clothing, jewelry, computer software, tickets to sporting events – are actually falling. Shipping bottlenecks are beginning to ease a little: Kiplinger’s reports that transit times from China to the West Coast have fallen from 83 days to 73.

And the recent bounce in stock prices reminds us that if history is any guide, much of the market’s decline might well be behind us. The future is known to no one, of course, but bear market peak-to-trough declines since World War II have lasted 12 months on average. The current downturn began almost exactly six months ago.

Is your glass half-empty or half-full?

We’re getting paid more to save

The flip-side of rising interest rates is that you can now earn more on bank deposits and similar savings vehicles. (Reading time: 3 minutes)

Retirees wish they’d saved more

Most retirees now say inflation is the number-one worry keeping them up at night – and if they could do it over, they would start saving sooner. (Reading time: 3 minutes)

Help might be on the way

There’s broad bipartisan support in Congress for a plan that would allow us to save more for retirement. Here’s an update on SECURE Act 2.0. (Reading time: 7 minutes)

'Stretch IRAs' live on for some

The first SECURE Act took away the ability to stretch out withdrawals from inherited IRAs over a lifetime – but there are some big exceptions. (Reading time: 3 minutes)

Be careful with online retirement calculators

They are no substitute for financial planning – and in some cases they can be downright dangerous. (Reading time: 4 minutes)

You can now view our webinars

We do live webinars for our clients every month – and we have now started posting the recordings on our web site. The latest is on IRA strategies. (Viewing time: 54:09)

Don’t let debt ruin your retirement

More than 60% of senior households are in debt, and the number is climbing dramatically. Here are five ways to get it under control. (Reading time: 5 minutes)

When parents start to decline

It’s a tough conversation to have, but the earlier you address cognitive decline in a loved one the easier it will be for you both to cope. (Reading time: 4 minutes)

Understanding how COBRA works

This federal law allows you to temporarily maintain employer health benefits when you leave a job – but don’t assume it will be your cheapest option. (Reading time: # minutes)

Mike’s Pro Tip of the Week

If you’re an Amazon shopper – and who isn’t these days – there’s a way to save up to 70% on some purchases. You don’t have to be an Amazon Prime member to get the best prices, but you do need to know where to look for them. Here’s a comprehensive guide to Amazon Warehouse.

Words to the Wise

“Investment wisdom begins with the realization that long-term returns are the only ones that matter.”
– Peter Bernstein

Raymond James and its advisors do not offer tax or legal advice. You should discuss any tax or legal matters with the appropriate professional.

The foregoing information has been obtained from sources considered to be reliable, but we do not guarantee that it is accurate or complete, it is not a statement of all available data necessary for making an investment decision, and it does not constitute a recommendation. Any opinions are those of Brown Family Wealth Advisors and not necessarily those of Raymond James. Investing involves risk and you may incur a profit or loss regardless of strategy selected. Expressions of opinion are as of this date and are subject to change without notice. Past performance does not guarantee future results. Prior to making an investment decision, please consult with your financial advisor about your individual situation.