Happy 4th of July! Celebrating independence and a look at our WHY

Michelle Bertram and Beverly Bertram are financial advisors living in Mineral Point WI and serving the surrounding communities. Michelle Bertram does financial planning for retirees along with business consulting. Beverly Bertram specializes in retirement planning and income planning for her clients. Michelle Bertram and Beverly Bertram are authors of the book, Creating You DREAM Retirement and creators of the DREAM Retirement Process. Serving Madison WI, Verona WI, Mount Horeb WI, Barneveld WI, Dodgeville WI, Dubuque IA, Platteville WI, Lancaster WI, Cuba City WI, Fennimore WI, Darlington WI, Monroe WI, Spring Green WI, Black Earth WI and beyondEveryone has a purpose, a why they do the work they do and while everyone may define that differently, a core value is usually financial security. This is the ability to do what you want when you want with who you want and make the impact you want. Some people’s why may be working at this point or continuing to work; others may be why may be wrapped in retiring with dreams to is to travel the world, or to spend their days gardening or fishing or being with grandkids. Financial security is important, but the meaning is more important than math.

Just like our country had to overcome challenges to gain freedom and security, we have to overcome challenges to achieve financial security. One of the greatest challenges is the mindset.

The founders of our country had the ability to dream big, to see beyond what was to what could be, and to challenge the thinking of others.
When it comes to financial security, we too need to start by doing the same.

Status quo bias says that people will stay where they are, no matter how bad the circumstances because it is easier than making a change.
Too often we see this, the status quo bias keeping people from living their dream, their why.

As we have talked before, there are challenges unique to planning as you enter different stages, which require a shift in mindset. Those who truly live their why are willing to look at ideas that are new to them and the ways they have been doing things for life.

For example, have you ever heard of someone making more than you and paying less tax than you? As Justice Learned Hand once said, “There are two systems of taxation, one for the informed and one for the uninformed.” There is just one tax code; some people use it to their advantage; others do not. Many times the difference is in mindset, in breaking the status quo bias.

Retirement income planning is another example. It uses to be savers could just take the interest of their investments and create a good retirement income, not so today. Taking income from investments means as a rule of thumb, you can only take about 4% annually, but if you break out of the status quo and look for other opportunities, you may actually be able to generate a much higher income and do it while paying fewer taxes.

Mindset is key. Sometimes breaking the status quo, achieving financial security means understanding that there is a whole universe of specialized skill and knowledge – strategies, tools, and resources that you may not be aware of that could help you live your why.

Happy 4th here’s to financial security!