February 16, 2012

GET OUT THE MAGNIFYING  GLASS

In a recent study conducted by AARP, 71% of workers surveyed said they believed they weren't paying any fees at all for their company sponsored retirement plan account!

It might be time to wake up and realize that no retirement plan is free!  According to David Loeper, CEO of Financeware, Inc and author of the book, Stop the Retirement Rip Off, "The industry has been creatively hiding these fees for so long the public isn't aware of them."

A fee savings of 1.5%/year for someone who has been working for 35 years and contributing $10,000/year, amounts to a staggering additional $248,000 in the retirement account - maybe that's enough for you to get out the magnifying glass!

January 27, 2012

JOE

By Chip Addis

I was raised Penn State.  The Penn State culture that the world is learning more about since Joe Paterno’s death is imbedded in me.  Since my hero died, I have come to realize that all Penn Staters are carrying around some of Paterno inside all of us.  It might appear odd to those on the outside, but, the man’s endearing qualities give us all something to aspire to:  Unconventional, simplicity, team, vision, integrity, trust and the list could go on and on.

I have spent a lot of time in the past few days thinking about Paterno’s impact on my life.  I have come to realize that the culture has had a profound influence on my business as well.  Unknowingly, we have molded our organization after these same characteristics and culture.  These qualities are also the ones that make all types of organizations really successful – just look at Apple as an example outside the world of sports. 

So, rather than debate the subjective questions of morality, I’d like to encourage you to think about your own culture and what values are imbedded in you and to hang out there, do business there, and learn there.  It is only there that you will feel at home and will find the meaningful interactions that can enrich your life.  And, or course, if you feel you are looking for some guidance in this area of your life, just listen to those of us who have lived it at Penn State.

Thank you, Joe.


January 12, 2012

DIGGING OUT

14 feet of snow plus more than 44 inches of rain since November 1st has the Alaskan fishing town of Cordova reeling.  Fortunately, fifty new 26 inch Yukon Sleigh Scoop shovels purchased with emergency funds are on the way to help the residents and the national guard dig out.


Have you wondered if there is some kind of new financial tool, product, or service that can help you dig out of the past decade?  Extremely low interest rates, lack of investment returns, dropping real estate values, along with job and personal pressures all equate to quite a never ending “snow storm”!

There is no easy answer or quick solution – it’s one shovel load at a time.  But, a new kind of shovel in the financial advisory business is the fee-only approach to doing business:

-          No sales gimmick up anyone’s sleeve

-          Fiduciary responsibility to act in clients best interests

-          No potential for conflicts of interest

-          Not associated with a big company who is calling the shots

-          INDEPENDENCE           

You may want to give that new shovel a try in 2012!