The Best Laid Plans…

The Best Laid Plans…

General

“The best laid plans of mice and men often go awry.”

– “To A Mouse” by Robert Burns

Full disclosure…this post is lengthier and more somber than typical. It has little to do about money or finances, but more to do about my experience with sudden and unexpected change, grief, and personal growth. If this isn’t your cup of tea, I completely understand, but if you’re willing to oblige me with your audience for a few minutes, I would like to share my story with you in hopes of opening a channel of dialogue for others who want it or need it.

I believe there’s a value to be gained in the sharing of experiences, in good ones and bad, both for the sharer and the willing listener. What that value is, exactly, differs from person to person, and evolves and changes with each sharing.

This week marks an ominous anniversary for me and my family. Five years ago, my reality and my family’s reality was flipped on its head. Five years ago, my future and my family’s future was permanently altered. Five years ago, my mentor, my friend, my dad ended his life.

Disbelief. Confusion. Anger. Denial. Anger again. Thoughts of “Why didn’t I” or “If I had only”. More disbelief. Anger again…at him…at me…at everyone. And then more “What Ifs”. Then hopelessness. Then the apathy. And then the g-d fog takes over…and it stays.

The fog is heavy and feels like it will never lift…in the beginning. But it does…and it did. But buckle up because the cycle repeats…over and over and over, year after year. The emotional roller coaster never really gets easier, but it does get shorter. What was once months at a time is now only days or sometimes even hours.

Early on, I tried to forcibly will my way through the grief. No joke, I remember literally googling the five stages of grief and measuring my progress along the path trying to figure how it would last and how to get to the last stage of Acceptance, so that the nightmare would be over and life could be normal again. Funny thing, though, you can try to speed up the grieving process, but what nobody tells you is that it’s not a convenient ladder to be climbed step-by-step. It’s a maze…and you’re blindfolded…and there are surprise trap doors that send you back to the beginning just when you least expect it.

Grief is weird. We will all deal with it at some point, but the circumstances that cause grief and the different ways that we grieve are infinite. Your experience will no doubt be different than mine. Growing up, there’s no handbook or coursework to prepare you for handling it…and there’s little guidance on how to help others cope with it. So many go it alone and grieve in silence.

Thankfully, over the years, I’ve found healthy ways to cope with my grief. Running, woodworking, writing, helpful strangers, shared memories with good friends and a loving family. I’m still working my way through the grief though. Someday…one day…eventually…if I’m lucky…I will get to that fifth stage. But until then, I can only be patient and take it one moment at a time.

I’m sharing this with you for two reasons: one, for my own therapeutic relief; and, two, because I’m not isolated in my grief and my struggles. I see it and hear it every week, both spoken and unspoken, in my conversations with my clients, my colleagues, my family, and my friends. It’s not always about grief from death, sometimes it’s about struggles with a career, sometimes it’s about the end of a career, sometimes it’s about the kids, sometimes it’s about the parents, sometimes it’s the changing of the family dynamic, sometimes it’s the loss of a dream, and sometimes it’s the struggles in pursuit of a dream.

We live in a world where the best versions of our lives and our neighbors’ lives are proudly and continuously displayed all over Facebook, Twitter, and Instagram. Rarely do we share the struggles, though, but the grief and struggles are there, often unspoken, and the burden carried alone out of fear of judgment or isolation because “we’re the only one”. Sometimes the struggles are short-lived and we find a way through, but sometimes they’re deeper, more pervasive, and more permanent.

My hope is that, by sharing my experience, it may provide some value or validation for you, but if not to you, then someone you know. Share your struggle…recognize the struggle in others…talk about the struggles…write about them…with a spouse, with a friend, or with a stranger.

“There is no grief like the grief that does not speak.” -Henry Wadsworth Longfellow

Not Enough

Not Enough

Weekend Pivot Points


Stop me if this sounds familiar…”I didn’t sleep enough”…”I wasn’t present enough with the kids”…”I didn’t get enough done”…”I don’t have enough money”…”I don’t have enough time”.

If you’ve never said this to yourself, stop reading now because you’re already one of the lucky ones and part of the small minority that has broken the cycle. For the rest of us, however, these are monthly, weekly, or even daily mantras we inevitably find ourselves repeating. I know most of these phrases have been uttered in my house in the past week alone.

It’s called “The Scarcity Mindset”. In a great read (How to Overcome the Scarcity Mindset), blogger Khe Hy suggests that the scarcity mindset originated from and is a holdover feature of our eat-what-you-kill, survival-of-the-fittest past.

More interestingly though, he breaks down the biggest scarcity myths we still allow ourselves to believe: there’s not enough, more is better, and it’s the way it’s supposed to be. Look at your significant other, look at your co-worker, look in the mirror…most of us are guilty of believing these myths in one form or another, whether we’re aware of it or not.

Before you get another chance to tell yourself something’s “not enough”. I highly encourage giving the article a read to better understand where these myths are truly coming from and how to change our mindsets to one of sufficiency rather than scarcity.


Here’s what caught my eye this week:

MONEY: The Will To Survive (Of Dollars and Data)
“…the key to being a successful investor was not in winning, but in not losing. By avoiding the big mistakes that befall most investors, you can come out ahead in the long run. This means avoiding leverage, short-term thinking, and a host of other behavioral biases that have plagued investors since the dawn of capital markets. So, don’t try to win. Just survive.”

LIFE: The Fearsome Nightmare Entrepreneurs Never Talk About (Inc.)
“Discreetly, a surprising number of entrepreneurs, even very successful ones, confess that they clearly remember their bouts with it. For many, it appears regularly and even becomes an undercurrent of their life. For others, it is an intermittent visitor, unpredictable, and unwelcome.”

Looking Back to Look Forward

Looking Back to Look Forward

General

This question found it’s way into my email inbox this week and I can’t stop thinking about it. It’s simple, but it can provide a ton of insight and direction in its answer.

“If we were sitting here three years from now in this exact same place, sitting in these exact same chairs, what would need to happen for each of us to be happy with those three years?”
(h/t Carl Richards – Your Future Should Be Bigger Than Your Past. Here’s How to Do It.)

If you feel unsure about where it is that you’re headed, answer the question. Not just in your head, actually articulate it. Grab your spouse, a friend, a sibling, a stranger, anyone and ask each other the question.

It may feel awkward. You may squirm in your seat a bit (like I did) or even brush it off at first as being too idealistic, but once you let it sink in and really give it thought, you will come away reenergized and with a greater focus and direction on your future plans.

Give it a try. If you don’t have someone to share the question with, reach out. I’ll be your sounding board. Let me know how it goes.

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Here’s what caught my eye this week:

MONEY & LIFE: I Planned for Widowhood but Got a Lot Wrong (ThinkAdvisor)
My lovely mother actually put this article back on my radar a couple of weeks ago. The article is a few years old but continues to get recirculated year-after-year in part because of its unique first-person perspective of a woman who has and still is experiencing the journey of widowhood. The author, Ellen Uzelac, recounts her journey through the fog of grief and gives some tips on how to prepare for and navigate your financial life in the wake of grief.

Kentucky Teachers’ Pension Update

Kentucky Teachers’ Pension Update

Teachers

The Kentucky pension reform that was passed in the 11th hour of the 2018 Kentucky General Assembly has been officially and unanimously overturned by the Kentucky Supreme Court.

So, as of this moment, the Kentucky teachers’ pension will remain as it was before. Current teachers’ and retirees’ pensions are unchanged, and new teachers will NOT be placed into the proposed hybrid plan.

What does that mean for the pension moving forward?

The teachers’ pension “health” actually improved slightly from 2017 to 2018. Most of the improvement can be attributed to the State funding a higher percentage of their “required” portion of the contributions and, to a lesser extent, better-than-projected investment returns. The current state budget includes funds to fully fund the required contributions for 2018 and 2019 (which hasn’t happened in over a decade). This should continue to improve the pension’s health in the short-term.

Long-term, though, I think the biggest risk to the pension’s health will continue to be the state’s ability to fund their portion of required contributions. As long as the state continues to operate on a tight budget and pension funding continues to be one of the biggest expenses in the budget, pension reform will be a popular conversation in the state government.

As of yesterday, current pension reform is dead, but I wouldn’t be surprised to see the debate get revived in 2019.

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Here’s what caught my eye this week:

MONEY: When Your Neighbors Move In To Your Investment Portfolio (The Wall Street Journal)

Recent data shows that our tolerance towards investment risk is influenced by where we live and who we associate with. It turns out that the geographic region that you live in actually influences how you may react to your investments…and, surprisingly, predicting which regions would be considered conservative vs. aggressive investors isn’t as simple as you’d think.

LIFE: What Straight-A Students Get Wrong (The New York Times)

Studies have revealed that academic success doesn’t necessarily translate to career success. The correlation between G.P.A. and career success diminishes over the first couple of years post-college and then almost completely disappears after a handful of years. Students that strive for the perfect G.P.A. may be missing out on the important skills that translate to career success, like creativity and social skills.

KENTUCKY PENSIONS: Kentucky Supreme Court strikes down pension reform law (The Courier-Journal)

This is a good resource if you’re looking for more detail and a recap of the pension reform timeline.

Finding Money in the Washer

Finding Money in the Washer

General

Is there a better feeling than unloading the washer and finding money laying at the bottom? Don’t lie…you’re smiling right now just thinking about it.

Whether it’s $5, $10, $20, it doesn’t really matter. It brings the same amount of joy…because you didn’t expect it. You didn’t know it was missing.

What if we lived in a crazy world where after every load of laundry we knew there would be $5 waiting for us at the bottom of every load…amazing, right?

Now…in this magical laundry world, what if you suddenly discovered that while you find $5 after each of your loads, your friend finds $10…he uses the same type of detergent, the same type of washer, but he lives on a different street, so, therefore, you find less money than him…how do you feel now? Different, right? I mean…on the one hand, you’re still finding money you didn’t have before…but on the other hand, now you know that it’s possible to find more money.

As crazy as it sounds. welcome to the world of employer retirement plans! This is how 401(k)’s, 403(b)’s, and other retirement plans work. Not all plans are created equal, despite seeming to be.

I was reminded of this fact, recently, while reviewing 401(k) accounts for a client. Husband and wife work for two different employers. Both save into their respective employer’s 401(k) plan. Both have the exact same investment options available to them…but the investments in Wife’s 401(k) actually cost about 7.5 times more than the very same investment in Husband’s 401(k).

You would hardly notice this difference in their account balances after one month or even one year of saving…but thanks to compounding interest, 30 years down the road that cost discrepancy adds up to a $100,000+ difference in account balances at retirement…for using the exact…same…investment.

Does that mean the wife shouldn’t save into her 401(k)? Not necessarily. Cost is only part of the equation and should never be the leading factor when making investment decisions. It should only be considered as part of the bigger picture along with other factors like risk, diversification, taxation, and employer matching.

Cost can’t always be controlled, but when it can, it should be because there’s money to be found.

 

Here’s what caught my eye this week:

 

LIFE: 5 Reasons Why Non-Digital Time Management Is More Productive (Tim Maurer)
I’m not a great multi-tasker by any stretch of the imagination, and that is never more apparent than in my time management. I’ve tried and tried over the last year and a half to find a digital time management system that works for me…but I always revert back to pen and paper, in some form. I ordered a Bullet Journal to give the non-digital time management style a try starting in January. Fingers crossed.