Judson Meinhart, CFP®, BFA™, CTS™’s Post

I’ve got an unpopular opinion And this one might offend some folks… Financial planning makes ZERO business sense This is one of the best takeaways I learned from listening to Joe Duran (Kitces 300) Quick background -   Joe founded United Capital, Grew it to $29,000,000,000 AUM, Then sold it to Goldman Sachs for $750,000,000 $75M - Not a bad payday. He says - Investment management is where the money is  Build a model portfolio of funds and ETFs Collect the assets from customers Charge a 1% management fee Rinse and repeat It’s a highly scalable, highly profitable business But what about financial planning? It’s a very low margin activity Plans are very time consuming to create A full plan can require 10 to 50 hours or more They also rely on human expertise (which is expensive) And they should be updated regularly because life happens If you’re an investment manager, Running a high margin business Why would also do financial planning? Here’s why I believe it’s important: 1/ Financial planning is about decisions that you can control. You can’t control the markets You can manage risks with insurance You can lower your lifetime effective tax rate You can dictate who gets and how they use your assets I’d rather focus on what I can control and plan for what I can. 2/ Financial planning helps you achieve your goals. If want to go somewhere you need two things: a car and a map Investments are the car. They’re very important, but without a clear understanding of where you’re going, they’re worthless. The financial plan is the map that sets the course for your journey.  Don’t leave home without it. 3/ Financial planning informs confident decisions Can we afford that house? Can I stay home with the kids? Can I take a lower paying job for more flexibility? When can I stop working for money and do what I want? These are big, hairy questions. A financial plan gives you clarity to answer them confidently. How about you? Why do you think financial planning is important?

Dear "𝘈𝘯𝘰𝘯𝘺𝘮𝘰𝘶𝘴 𝘸𝘩𝘰𝘭𝘦𝘴𝘢𝘭𝘦𝘳 𝘸𝘩𝘰𝘮 𝘐'𝘷𝘦 𝘯𝘦𝘷𝘦𝘳 𝘴𝘱𝘰𝘬𝘦𝘯 𝘵𝘰," Natural disasters are not a marketing opportunity. Sincerely, Everyone

The OPPOSITE of fear is bravery, but The ANTIDOTE to fear is curiosity We tend to “puff our chests” When instead we should be asking “why?” This IS investment advice

So you think hiring a financial advisor is about picking investments? You’ll want to read this one to the end I met with a client via Zoom last Tuesday. Over the course of our conversation they shared that they’re going to turn a trailer on their property into a short-term rental. They live on a picturesque 5 acres near a tourist town [Sounds like “Nashville” but without the “N”] That led to: -A discussion why they should open an LLC for the rental -Confirmed they had an umbrella policy to cover liability -Floated the idea of qualifying for real estate professional status They also shared that their son just took a job as a campus minster And they’ve been supporting his work financially He ministers under a 501(c)3, so we discussed opening a Donor Advised Fund and funding it with highly appreciated stock -They’ll avoid paying the capital gains tax -They’ll get a nice tax deduction this year -AND they can increase their financial support to their son Here’s the best part (as if identifying $1,000s in potential tax savings wasn’t good enough) As I was closing windows after our 60 minute meeting I realized I still had their performance report open. We had been so busy catching up and discussing opportunities with all the moving pieces in their lives we didn’t even review their investment performance. I guess we’ll do that in the spring ------------ Ready to up your advice game? You can Ask Me Anything (AMA) If you have questions about money -and you’re over asking friends or the internet -you can book an AMA and get some answers Click “book and appointment” under my name -and select AMA

Here's a question any golfer Which would you rather have? -Hole-in-one -Even par over 9 holes There is no right answer, but when I've surveyed golfers most would prefer to have the hole-in-one. A lucky shot, with a great story. How about this one... Scenario 1: -Your drive lands in the rough -Your approach shot falls short into the bunker -You hit a great sand shot to 10 feet -You nail the par putt Scenario 2: -Your drive lands in the middle of the fairway -Your approach shot lands 20 feet from the pin -Your birdie putt just grazes the edge of the cup -You tap in for par Both scenarios result in a 4 -But they took wildly different paths to get there Money functions in a very similar fashion. In this Master the Green you'll learn: 💰 Why there’s no pictures when it comes to wealth 💰 The 12 point financial swing tune-up AND ⛳ The difference between grinding and scrambling One part golf, all parts money Let's tee this one up 🏌️♂️

You might have a goal of $1,000,000 net worth But not all net worths are created equal Let’s look at two more scenarios: Both are couples in their mid-40s Both have a net worth of $1,000,000. On the surface they look the same, but – Couple A: -Household income of $500,000 -They lease two luxury cars -Both work well over 50 hours/week -Have a nanny to watch their children after school -One of them is usually working on the weekend -They take multiple first class vacations each year -They save aggressively and dabble in investment real estate -They want to “slow down” from work in the next 5-10 years Couple B: -Household income of $200,000 -Their cars are modest, but paid off -They never miss a kid’s sporting event -One spouse works full-time and earns alot -The other works part-time but doesn’t make much -They spend a week at the beach every summer -Their only savings are their 401(k)s and a small IRA -They plan on working into their 60s, with the part-time spouse even returning to full-time work when the kids are older Which sounds better to you? Here’s the thing – there is no “right” answer There’s just “right for you” And that’s alignment Tomorrow’s Master the Green is all about finding “right for you” Including a 12-point financial swing alignment check If the relationship between your money and your life could use a tune up, you won’t want to miss this one. ------------------------------- Hi, I’m Judd 👋 If we haven’t met, I’m an author, advisor, and I write a weekly newsletter for high achievers who’d rather be golfing. It’s called Master the Green and I publish it weekly on Wednesdays. You can subscribe using the link in my bio or ➕ give me a follow and I’ll send you an invite.

This Monday, make me a promise. Promise me that you’ll work smarter this week. Your time, effort, and attention are precious. Bring some intentionality to how you invest them. The all-nighter at the office, and Leaving work early for your kid's soccer game -Each choice comes with long-term benefits that come at a cost Pick either. But know what you're trying to gain. And accept what you’ll be sacrificing.  

You can choose to run around in circles, doing the same thing over and over, or You can build a upward spiral, improving with each iteration.  Both are repetitive One is winning

We all need 6 things to live on the next level This is according to Marshall Goldschmidt and it’s the best thing I heard all week. If you’re not familiar with Marshall, he’s a renowned executive coach and leadership expert. He’s one of the top business thinkers globally and he has worked with over 150 CEOs and their leadership teams, including the U.S. Army and Red Cross. Marshall’s 6 things: 1. Health 2. A moderate, middle class income 3. Great relationships with people you love ⬆️These three are the baseline ⬇️These three are the next level 4. Ambitions: things you hope to do Think, “One day I will…” 5. Aspirations: your purpose or your “who” Think, “I hope to be…” 6. Achievements: your day-to-day activities Think, “Today I will…” The trick is getting these last three to align. When you’re able to do that, you’re on the next level Try it yourself: I hope to be __________ So that one day I will__________ To achieve that, today I will ___________

It’s Friday. Time to grab yourself a drink and learn something from my mistakes ***wait until after work for the drink but you can learn something now*** I was a bartender -Before I was a Director of Financial Planning -Before I was a nonprofit executive -Before I was an SBDC consultant -I slung drinks for a living At my first gig, my manager was a TGI Friday’s vet - They were the Navy SEALS of bartending in the 90s She knew her stuff And I didn’t have a clue But I was too arrogant to know better That was a problem because on my first day One of the regulars came in. His name was Ed Scotch and soda with extra rocks was his drink “Let me show you how to make it,” she said. “I got this,” I told her as I waiver her off I scooped the ice Grabbed the scotch, poured a two count Then hit it with soda from the speed gun As I delivered my concoction both Ed and my manager looked at me with puzzled faces Something was wrong I thought “soda” meant “Coke” I polluted Ed's drink with Coke instead of club soda (They didn’t cover that nuance in my online course) My first drink For a very important customer And I totally screwed it up Fortunately, my boss noticed my mistake At we all had a good laugh - Ed included Albeit at my expense Lessons – 1/ You don’t need to know it all The sooner you realize this, the better off you are Orient yourself towards acquiring knowledge Instead of trying to show it off 2/ It’s not about the flare Flipping bottles and lighting stuff on fire is cool But that’s not what earns you the best tips Connecting with your audience does 3/ We all make mistakes I can say there is a 100% certainty that you will fail How you fail matters more than failure itself Grace and humility go a long way PS - Ed still left me a great tip to celebrate my first day What professional lessons did you learn at early jobs that you carry with you today?