Meet Sarah McCarthy: Reception Manager

American Investment Planners LLC

500 North Broadway, Suite 260, Jericho, NY 11753

(516) 932-5130 / (866) 932-5130

At American Investment Planners LLC, we work as a cohesive unit to develop and deliver the most beneficial solutions to each of our clients. We pride ourselves on the fact that our firm is built on a group effort, and since it is so, we invite you to become a part of our team by getting to know each one of our professionals individually.

Today, we would like to introduce you to the newest member of our team, Sarah McCarthy, our reception manager!

Sarah's first financial position was as a telemarketer for Chemical Bank when she was in college. Although this started out as a position that simply fit her schedule and met her financial needs (she was pursuing her BA in English at SUNY Stony Brook), it eventually led her to a full-fledged financial career upon graduation in 1995 - she spent 19 years in banking, working for Chase, Wachovia and Webster Bank! 

After having her son, Sarah spent some time working part time at a chiropractic office as a receptionist and office manager. Then, in September, we were very fortunate enough to have Sarah make her way to our firm! Thanks to her many years of professional experience Sarah has the financial background to understand what our clients need, and she also has a wonderful demeanor and personality that we know clients will truly appreciate when calling or visiting the office.

When asked what her most memorable experience has been professionally thus far, she explained that it was when she won a leadership award in 2000, which included a week-long trip to Naples, Florida. A few days after her return she was to be relocated to Rockland County to pursue a branch manager position, and although she was a bit apprehensive about all of the changes happening at once, the trip is one she is truly grateful for as she got to spend time with existing coworkers and future coworkers all at once!

Outside of the office, Sarah spends a lot of her time with her six year old son - typical activities include Legos, drawing and reading!

Sarah - we are so grateful to have you on our team and look forward to many wonderful years with you! We appreciate the hard work and dedication you have shown to us and our clients already, and we are very excited about our future together!

American Investment Planners LLC offers tax planning, estate planning, retirement planning and more to generations of families throughout the United States. More information about the services offered is available at www.americaninvestmentplanners.com.

Financial Habits of Very Successful People

American Investment Planners LLC

500 North Broadway, Suite 260, Jericho, NY 11753

(516) 932-5130 / (866) 932-5130

In a recent blog post, we discussed six characteristics that people who are debt-free tend to have in common. Today, we'd like to build upon that and get into some of the financial habits that people who are very successful tend to have. Let's take a look:

They save.
And when we say they save, we don't mean they just save a few dollars each month - rather, they save more than 10% of their paychecks. And in addition to saving for future milestones such as retirement, these people are also focused on saving for emergencies and other situations that require extra money to be spent so that they never feel like they're struggling.

They set it and check it, not forget it.
Automatic bill pay and banking can be very useful, and successful people realize how much easier it can make many financial processes. However, rather than just setting up automatic payments and money transfers and forgetting about it, they continue to check in regularly to make sure they know exactly where they stand financially. Having a strong sense of awareness about your finances is key!

They focus on giving.
What goes around, comes around, right? While some may say that being a go-getter is the best way to receive a financial benefit, very successful people have said that being a "go-giver" also produces great results. That said, these people will often look for ways that they can go the extra mile (and not just with money, but perhaps also with time, etc), as giving generously has proven to bring them positive results - the more you give, the more you get back.

Let's go back to point number one for just a moment - very successful people understand the importance of saving, and they're good at it! One of the best things you can do for yourself in order to experience success not just now, but also in the future, is to be ready and willing to save. Even if that means the amount you take home is a bit lower every month, what's important here is that you are preparing yourself to live comfortably several years from now, such as when you retire and no longer receive a paycheck.

If you want to set yourself up for financial success, set up an appointment with one of our financial advisors. The team here at American Investment Planners LLC has all of the tools and resources needed to help you meet your short and long-term financial goals, and we would love to develop a strategy with you.

To set up a meeting, please give us a call at (516) 932-5130 or email info@americaninvestmentplanners.com today.

Your Guide to Choosing Beneficiaries

American Investment Planners LLC

500 North Broadway, Suite 260, Jericho, NY 11753

(516) 932-5130 / (866) 932-5130

Most people are concerned with who is handling their money and their assets now, and although you may not want to think about it, it's equally as important to figure out who will take control upon your passing. This is where beneficiaries come in - by definition, a beneficiary is:

the person named in a life insurance policy, annuity, will, trust, or other agreement to receive a financial benefit upon the death of the owner, and it can be an individual, company, organization and so on.

If you recently started a new job and are in the process of setting up a 401(k), for example, you may have seen something about choosing a beneficiary for your account. And although you may already have someone in mind, there are a few things to consider before making an official decision about who you'll name as your beneficiary. Here are two quick things to remember:

1. Look for rules and restrictions. First, you should find out if there are any rules or restrictions for who you can name as your beneficiary - for example, if you are married but do not want to use your spouse, is there something you have to do in order to name someone else? 
2. Choose a primary and a contingent beneficiary. It isn't enough to just name a primary beneficiary - you should also have a contingent beneficiary as well. To help you better understand the two, a primary beneficiary is the person that you decide will receive all of your assets upon your passing. However, if that person passes before you, your death benefit will then be given to your contingent beneficiary.

Now it comes down to who you will actually choose. Should you choose a parent? A spouse? A child? Another relative? A friend? Here are some general guidelines that you can follow:

• If you are married, consider your spouse - this is the route many married couples take.
• If you have a child, you may want to consider including them as one of your beneficiaries, especially if your children are older and you are not married anymore. Keep in mind though that minor children cannot be chosen as beneficiaries, so if you want your minor child to receive a financial benefit, you'll want to look into a trust.
• If you are not married, select from a close friend, a sibling, a partner or even a charity - there are not usually many restrictions for who you can name under these circumstances.

Seeing as how choosing a beneficiary is an extremely important task and one that should not be taken lightly, we at American Investment Planners LLC want to help you so that you can rest assured knowing that you've made the right decision. If you need to choose a beneficiary for a certain policy or plan and/or have adult children who need to do the same, give us a call at (516) 932-5130 or email us at info@americaninvestmentplanners.com to set up an appointment with one of our advisors.

Back to Basics: 401(k) Plans for Beginners

American Investment Planners LLC

500 North Broadway, Suite 260, Jericho, NY 11753

(516) 932-5130 / (866) 932-5130

There are a lot of factors to consider before accepting a job - the salary, the hours, the work itself - but one factor in particular that is extremely important is the company's retirement options. Essentially, are there any retirement plans, such as a pension or a 401(k) available for you?

If you're just getting ready to enter the workforce, we know that there's a lot of information to take in, especially when it comes to retirement. That's why today, we're going back to the basics and breaking down 401(k) plans for you - here's what you need to know:

1. Most importantly, what is a 401(k) plan?
A 401(k) plan is a retirement plan that is funded through deductions from your paycheck on a pre-tax basis - the "pre-tax" aspect of this type of plan is just one factor that makes it so ideal. Within your account you can invest your funds in a number of ways, including stocks, bonds and mutual funds (more specifics available by contacting us!). 

2. Are all 401(k) plans the same?
No, all 401(k) plans are not the same. 401(k) plans are offered through the company that employs you, and each company typically has their own rules and regulations for their plan in addition to the rules and regulations that the IRS has. For example, X company may require you to contribute 5% in order to obtain an employer match, while Y company may only require 3%. On the other hand, some companies may not match at all. As you start to set up your account, it's important that you speak with your employer to learn all the ins and outs of the plan.

3. What are the benefits of a 401(k) plan?
Aside from the obvious benefit of helping you prepare for retirement, 401(k) plans are extremely beneficial due to their tax advantages, flexibility, loan options and more. As we mentioned in question number one, the funds you contribute are typically on a pre-tax basis, and moving onto another benefit, many employers offer a match program where they will contribute to your plan on your behalf too - that's basically free money if you think about it! Additionally, some plans have loan and hardship withdrawal options should you need to take your funds out early, and you really get to customize your plan however you want according to your financial goals.

4. Are there contribution limits?
Yes, there are limits to how much you can contribute to your 401(k) plan, and these guidelines are set forth by the IRS. There are two kinds of limits that apply to your contributions, and they are as follows:

1. A limit on total contributions to your plan, including employee elective deferrals, employer contributions and forfeiture allocations.
2. A limit on employee elective deferrals specifically.

This year, the deferral limit on employee elective deferrals for safe harbor and traditional plans is $18,000. More information on 401(k) contribution limits is available here.

Still have questions about the specifics of 401(k) plans? We're here to help! And in addition to going over the basics of 401(k) plans with you, we can also work with you to better understand your investment options. To set up an appointment with one of our financial advisors, please give us a call at (516) 932-5130 or email info@americaninvestmentplanners.com today.

The Right Way to Talk to Your Kids About Money

American Investment Planners LLC

500 North Broadway, Suite 260, Jericho, NY 11753

(516) 932-5130 / (866) 932-5130

Although children will develop their own feelings about money as they get older and start becoming financially responsible for themselves, a major factor that goes into their view on the matter is how their parents talk to them about money when they're young - do their parents talk positively or negatively about it as they're growing up?

Take a moment to think about your own experience - what feelings did you develop when you were young based on how you heard your parents speak about financial matters? Was money something that caused feelings of anxiety or did you always feel ok? If you want to ensure that your children grow up feeling comfortable with money and watch them make smart decisions as they get older, here are a few things you should do:

Walk them through a budget. 
Whether it's your budget or a budget you set up for them, it's important that children understand both the importance of a budget and how to stick to one. A great place to start would be to give them an allowance each week and work with them to keep track of how much they make, as well as what they can afford to do with it - savings included.

Emphasize goal-setting.
As much as we all wish it would, money doesn't grow on trees, and thus, there are going to be a lot of times where we have to wait and save for things that we want. If you have a child at home that wants the latest gadget or hot ticket item, discuss the overall cost with them and ask that they purchase it on their own - if they don't have enough money at the time, this is where you work with them to set a goal for themselves and discuss how they can achieve it (for example: tucking away X amount of dollars from each week's allowance in order to be able to purchase the item by X date).

Explain what it means to borrow.
It's extremely important for children to have a good grasp on borrowing so that they aren't surprised when they hear that they have to pay back debts one day. A good way to explain this to them is to use a real life example so that they can visualize what it means - for example, if there is something your child wants immediately but they do not have the funds for it, lend them what they need to cover the cost. But, don't do so until you explain that your child has to pay you back, and work with them to set up a schedule/plan for how this will be done.

Most importantly, the biggest thing to remember is that you should be open about talking about money. Even if you're experiencing a stressful situation, you don't necessarily want to hide things - if your child asks, be willing to communicate, as it is all a part of the learning experience for them.

Here at American Investment Planners LLC, we recognize how important it is for children to learn about money early, which is one reason why we want to be your whole family's financial planner! Let us help you help your family - give us a call at (516) 932-5130 or email info@americaninvestmentplanners.com to set up an appointment with yourself, your children, and an advisor today.

Let American Investment Planners LLC Be Your Family's Financial Planner!

American Investment Planners LLC

500 North Broadway, Suite 260, Jericho, NY 11753

(516) 932-5130 / (866) 932-5130

Financial planners aren't just for those who have a variety of investments to manage or a lot of wealth to protect - financial planners are there to help everybody regardless of their current financial situation and future financial goals. Here at American Investment Planners LLC, our mission is to help our clients achieve financial security and create a legacy that can be passed on, which is why we so strongly believe in working with their entire family. 

Our financial planning firm is available to assist with all of life's milestones, from as early as birth all the way to retirement and beyond. That said, we cannot stress enough how important it is for YOU to get started with a financial planner early if you haven't already, and when you do sit down with one, make it a priority to introduce your whole family too - your children, your grandchildren, etc.

Especially if you have adult children who are beginning to become financially responsible by preparing for new milestones such as starting a new or first full-time job; we can help them as they start tackling major tasks such as setting up their 401(k) or an IRA. Additionally, what about those adult children who are getting ready to purchase their first home or get married? Our advisors have all of the resources needed to help them start off the next phase of their life on the right foot financially, and can be a reliable source when it comes time for them to make complex financial-related decisions!

At American Investment Planners LLC we pride ourselves on being able to offer a wide variety of financial planning services that can can benefit your entire family - these services include:

• Portfolio and asset management
• Estate planning
• Retirement planning (including early and forced)
• Health-related financial planning
• College savings
• Taxes and accounting
• Insurance
• Elder care
• Relocation
• Surviving the loss of a spouse

We believe that part of the ultimate test of a financial plan is the legacy you can pass on to your family, so why not get your family involved from the beginning?

To set up an appointment for you and your family with one of our advisors, please give us a call at (516) 932-5130 or email us at info@americaninvestmentplanners.com.

Financial Fears and How to Avoid Them

American Investment Planners LLC

500 North Broadway, Suite 260, Jericho, NY 11753

(516) 932-5130 / (866) 932-5130

If you asked several people what their biggest fears are, some may respond to you with common answers such as heights, spiders, snakes and flying, but along with these phobias, another thing that a lot of people fear is money, and specifically, not having enough of it. 

In a study done by Northwestern Mutual this year, it was found that financial anxiety impacts the lives of many Americans each and every day. For example, they concluded that 70% of people say financial anxiety negatively impacts their happiness and mood, while 67% say it negatively impacts their health and 51% say it negatively impacts their social life. Additionally, 41% of people even go so far as to say that financial anxiety negatively impacts their career (more on the results of the study here).

Knowing this the next question becomes...what exactly are we fearing when it comes to money? Below, we dive into some of the top financial fears and share our advice for how you can avoid them.

Emergencies.
Unfortunately unplanned emergencies can become a big expense for a lot of people, but an easy way to alleviate some fear is by preparing for the unexpected. By this, we mean that you should have some type of savings account specifically dedicated to emergencies.

Insufficient retirement funds.
We understand that retirement can be scary, especially because income tends to change. However, you can easily prepare for this part of your life by working hard throughout your career to save! There are tons of retirement savings accounts out there, and our team can help you figure out which approach to saving would be most beneficial for you and your financial goals.

Poor credit.
Your credit score follows you throughout your whole life and impacts you in many ways - for example, it affects your ability to get a mortgage or buy a car. The good news, though, is that working on your credit is easy - a few strategies to raise your credit score include paying your bills on time every month and keeping your credit card balances low.

Becoming a victim of identity theft.
When someone steals your identity, it can certainly have a negative effect on your finances - especially if the thief is using your name to open up new credit cards and make large purchases. However, as long as you know how to protect yourself, you can reduce your risk of becoming a victim - here are some tips we shared recently on this topic.

Most importantly, we can't stress enough how important it is to work with a financial planner - working with a professional is one of the best ways to alleviate any financial fears you have!

If you and/or your family is in need of a financial planner, we'd love to be there for you - just give us a call at (516) 932-5130 or email info@americaninvestmentplanners.com to set up an appointment.

6 Characteristics of People Who Are Debt-Free

American Investment Planners LLC

500 North Broadway, Suite 260, Jericho, NY 11753

(516) 932-5130 / (866) 932-5130

Ever wonder what people who are debt-free have in common? Could it be that they are just naturally better at handling money? Or, are there certain traits or characteristics that they possess which help them manage their finances to a greater degree? We did some research to find answers to this, and here's what we were able to come up with thanks to time.com's Money:

1. They focus on the details. Those who are in good shape with their finances tend to be extremely detail-oriented, and are committed to keeping track of every financial move they make - if asked, they can most likely tell you where every penny came from and where every penny went.
2. They're practical. Everyone would love to have a fancy car and designer clothes, but making big purchases that are sometimes unnecessary is an easy way to fall into debt. That said, debt-free people are usually very practical with their purchases, and realize that no-name brands or less expensive items can work just as well as the more costly alternatives.
3. They're willing to wait. People who are debt-free understand that instant gratification isn't always possible and recognize that sometimes, they will have to save their money and wait. For example, if they are looking to take a family vacation this year but the funds just won't be around until next year, they'll hold off until their finances permit.
4. They understand credit cards. Credit cards are actually embraced by many people who are debt-free, but the difference with them is that they understand exactly how credit cards work and realize that if they do not pay their balance in full, they'll wind up spending more. That said, they aren't afraid to use credit cards, but they use them wisely.
5. They're savers. Even if there isn't much to save, people who are debt-free save as much money as they possibly can so that they're prepared for anything that comes their way. Unexpected emergencies are a source of debt for many people, but those who are debt-free work hard to prepare themselves for anything and everything.
6. They're responsible. Most importably, people who are debt-free are responsible and understand that it's up to them to keep themselves in a stable financial position. As a result, they also aren't afraid to accept responsibility for any financial mishaps and realize that they are the ones who control their financial success.

Although people who are debt-free tend to share many of the same qualities, we at American Investment Planners LLC know that being financially responsible may also require the help of a professional. If you have questions or concerns about your finances and need some help getting on the right track, our advisors are here for you! To make an appointment with us, please call (516) 932-5130 or email info@americaninvestmentplanners.com today.

How to Help Your Children Create Their Own Budget

American Investment Planners LLC

500 North Broadway, Suite 260, Jericho, NY 11753

(516) 932-5130 / (866) 932-5130

Being a parent comes with a lot of responsibilities, and one of those responsibilities is teaching children about money. This we know can be tough, but fortunately we have a few tips that can help!

If you have children at home who are at the point where they are starting to become financially responsible for themselves, the first step is to help them create a budget - here's what you can do:

1. Help them calculate their income. First thing's first - your children should have a clear understanding of what their income looks like. Before you do anything, outline all potential sources of income your child will have on a regular basis, such as a part-time or full-time job, depending on their age and current situation. Then, consider all other sources of income, such as if they have a babysitting job on the side or other part-time responsibilities.
2. Discuss their spending. What financial obligations do your children have? Are they at the point where they have bills of their own? Or, are they just required to use their own money when eating out, shopping and taking part in other activities with their friends? Here you'll want to clearly define what expenses your children have each month so that you/they can then determine how much of their income they'll have left over for other purposes.
3. Create a savings plan. It's important for everyone to start saving at a young age, so after you know how much money your children will have to use for entertainment purposes, you'll want to work with them to dedicate a portion of that to their savings. Although it may limit what they are able to do each month, they will most certainly be thankful that they have money stashed away when it comes time to do things like buy their first car or purchase their first home.

Once you've worked through a budget with your children on your own, the next step is to introduce them to a professional financial planner who can help them with more complex financial solutions such as how to save for retirement, how to set up a portfolio and so much more.

Here at American Investment Planners LLC, we want to be your whole family's financial planner - yours, your children's, your grandchildren's, you get the idea! If you're looking for an advisor, please give us a call at (516) 932-5130 or email us at info@americaninvestmentplanners.com to learn how we can get started with your family today.

Democrats vs. Republicans - Is One Better for the Economy?

American Investment Planners LLC

500 North Broadway, Suite 260, Jericho, NY 11753

(516) 932-5130 / (866) 932-5130

During an election year, it's not uncommon for investors to think about their financial strategy and wonder if the winning candidate will have any impact on their financial success. And while some people may believe that yes, one party tends to be better for the economy over the other, we're here to ease your mind a bit - truth is, stocks are going to rise and fall regardless of who winds up in office.

An article from MONEY explains that "history says presidential politics have a surprisingly small impact on your portfolio." Thus, it's important to remember that the true key to success when it comes to your finances this year is how you react to the election - are you going to immediately adjust your portfolio depending on the outcome, or are you going to see things through and focus on what lies ahead?

Remember, your investments should be chosen with long-term goals in mind, and while you may feel that you need to make some changes to your portfolio right now, it's important to consider all factors and think about how your immediate actions could impact your future. 

Here at American Investment Planners LLC, we understand that current events, such as the 2016 election, may encourage you to make some quick decisions about your investments and current financial strategy. But, with many years of combined experience between all of our advisors, we know how to approach portfolios under a variety of circumstances to deliver positive results.

If you have questions about your current investments or are concerned about how the election may effect your current financial situation, we encourage you to give us a call at (516) 932-5130 to speak with one of our financial planning professionals directly. We can also be reached via email at info@americaninvestmentplanners.com!