Welcome to the latest edition of the Healy Wealth Management newsletter, your monthly guide to navigating the financial complexities of life.
Let us know your thoughts. And if there’s something that could benefit a friend or family member, please send it their way.
Click below to hear Kathy answer questions about wealth management and more with John Ray, host of North Fulton Business Radio. Her thoughts include:
The more you take, the more you leave behind.
What am I?
Every January, gyms are packed with people motivated to stick to their New Year’s resolutions — losing weight, getting stronger, or improving overall health.
But what if we approached our finances with the same enthusiasm and commitment we bring to physical fitness goals?
Just like physical health, financial well-being requires discipline, consistency, and the right plan. The good news? You already have what it takes to flex those financial muscles and achieve your money goals this year!
Building cardio endurance takes time, patience, and consistency. You won’t run a marathon after a week of training, and the same principle applies to investing. Long-term investments grow stronger over time, even if progress feels slow.
Stay the course with your long-term investment strategy. Avoid the temptation to pull out during market fluctuations—just like you wouldn’t give up on your fitness routine after a few tough days. Financial endurance means keeping your money working for you over the long haul.
Every time we meet, we review your investment portfolio with you to ensure it still aligns with your long-term goals. Just like a personal trainer helps you reach your fitness goals by providing expert guidance and accountability, we can do the same for your financial goals.
Think of us as your “financial coach” who ensures you stay on track, makes adjustments when needed, and achieve the results you’re aiming for.
Achieving financial fitness doesn’t require drastic changes—it’s about making small, consistent improvements over time. Just like a successful exercise plan, your financial plan requires a tailored plan and accountability. The sooner you start, the better. We’re here to help you every step of the way.
The chart above shows the S&P 500 index alongside its trailing 12 months earnings-per-share.
Over the long run, the stock market tends to follow earnings. As earnings rise over time, investors inevitably recognize the increase in value.
Remember, good businesses are profitable. And they reinvest their profits to grow. Creating a value portfolio of good businesses is the best way to beat inflation over time!
Business owners often establish retirement plans to benefit both themselves and their employees. However, these plans come with legal requirements—particularly around nondiscrimination rules—that can trip up even well-intentioned employers.
Nondiscrimination rules are designed to ensure that retirement plans do not disproportionately favor highly compensated employees (HCEs) over non-highly compensated employees (NHCEs). These rules apply to 401(k)s, profit-sharing plans, and other qualified retirement plans.
When these rules are violated, businesses risk severe penalties from the IRS, including financial penalties and even plan disqualification. In extreme cases, plan disqualification can result in tax liabilities for both the business owner and employees, creating significant financial and legal headaches.
One of the most common mistakes business owners make is maximizing their own contributions while neglecting contributions for NHCEs. This imbalance can trigger nondiscrimination testing.
Annual nondiscrimination testing is critical to ensuring compliance. Skipping this step can result in costly penalties or plan disqualification.
Third Party Administrators (TPAs) can help ensure compliance with nondiscrimination rules and conduct annual testing. They provide expertise in managing the complexities of retirement plans and help identify potential issues before they become serious problems.
As your business grows and employee demographics change, your retirement plan needs to evolve. Regularly reviewing your plan structure ensures it remains compliant with current laws and continues to meet your business needs.
For our business owner clients, we work closely with the TPAs and attorneys to ensure retirement plans are compliant, well-structured, and tailored to meet our clients’ business needs.
“If you have a choice in Wall Street between being a great analyst or being a great salesperson, the salesperson is the way to make it.”
– Warren Buffett
(We pursue great analysis more than great sales)
Answer: Footsteps
Securities offered through LPL Financial, member FINRA/SIPC. Investment advice offered through IFG Advisory, LLC, a registered investment advisor. IFG Advisory, LLC, Healy Wealth Management, and Integrated Financial Group are separate entities from LPL Financial. The LPL Financial registered representatives associated with this page may only discuss and/or transact business with residents of the following states: AL, CA, DC, GA, KY, MD, MO, NJ, PA, SC, TX, and WA.
Securities offered through LPL Financial, member FINRA/SIPC. Investment advice offered through IFG Advisory, LLC, a registered investment advisor. IFG Advisory, LLC, Healy Wealth Management, and Integrated Financial Group are separate entities from LPL Financial. The LPL Financial registered representatives associated with this page may only discuss and/or transact business with residents of the following states: AL, CA, DC, GA, KY, MD, MO, NJ, PA, SC, TX, and WA.
