Principal Shield Financial - September 2020

Principal Shield Financial - September 2020

SEPTEMBER 2020

WISE & WEALTHY NEWSLETTER

(619) 994-1110 WWW.PRINCIPALSHIELD.COM

But I’m Still Here and Able to Help You in More Ways Than Ever Before! MAYBE OUT OF SIGHT, MAYBE OUT OF MIND

Welcome to the inaugural edition of my Wise & Wealthy Newsletter.

much left you alone. I assumed you would contact me if you needed me. And I’m honored to say many of you did just that — you called me when you needed me, even if you had to Google me to find me. And I have always been grateful for that. I thought I was doing you a favor by not filling your mailbox with a bunch of pamphlets, flyers, and offers, or interrupting your dinners by calling you every time interest rates dropped. I figured you had enough stuff going on in your own lives that you didn’t need me hounding you. That sure backfired, so I decided to change that. Before you panic, that doesn’t mean that I’m now going to litter your mailbox with pamphlets, flyers, and offers, and it doesn’t mean that I’m going to call you all the time and join you for a virtual dinner. It means that every month, you’ll be receiving a copy of my new Wise & Wealthy Newsletter in your mailbox that is chock-full of updates (and believe me when I tell you that there are some big ones), financial advice, and stories about my life as a California dad who’s obsessed with finance and mortgage. I hope that every month you will learn something, are entertained by my antics, and, most importantly, remember that I am still here. I absolutely remember you, and I’ve never stopped caring about you. That being said, you’re probably wondering what the first big shock of my professional life was. It was the event that reminded all of us of the old adage “what goes up must come down”: — the Great Recession of 2008. I lost 70% of my income almost overnight. Not long after, my wife was laid off after 15 years with her employer and it literally took her a year to find a new job.

I recently experienced what I thought was the biggest shock of my professional life, and I have to admit, it really took me by surprise. But the more I thought about it, the more I realized that I have actually experienced a bigger shock. And to be perfectly honest, the second shock is a direct result of the first. In fact, these two shocks are precisely why you’re getting this newsletter. As you can imagine, with interest rates as low as they are, I’ve been receiving lots of calls from my clients about refinancing. But two calls in particular really stood out to me. The first call was from a client of more than 20 years. She called to refinance, but she couldn’t remember how to get in touch with me, so she had to Google me. The second call was from another longtime client. She also called to refinance, but she didn’t know if I was still “in the business.” That is an epic failure on my part, and these failures have served as a serious wake-up call. While you should always remember me because of my breathtaking good looks, my sparkling personality, and my gut-busting sense of humor, it is not your job to remember me. It is my job to stay in touch with you and make sure you’re aware of the variety of ways I can help you improve your financial life. My first thought was “How could this happen?” It didn’t take long to realize it happened because I’ve done a crappy job of staying in touch with you. Sure, I mailed an occasional letter or I sent an occasional email, but other than that, I pretty

We needed money fast, and with almost all of our money tied up in our 401(k)s, we were forced to cash them out just to survive. After the stock market took 50%, and the government took 40% of what was left through early withdrawal penalties and taxes, we got to keep very little of the money we’d worked so hard to save. In short, we were broke, and I couldn’t afford to stay in touch with you. We even had to sell our dream home. That whole ordeal made me realize just how vulnerable we were, and I decided right then and there that I never wanted to experience that again. So I studied, researched, and studied some more, and ultimately became a multi- licensed financial advisor. Now I help my clients, and those who they refer, with their financial lives and their mortgages. In fact, I used my COVID-19 downtime to write my first book! The title is: “Who’s Stealing Your Retirement? 7 Cunning Thieves Who Are Trying to Ransack Your Nest Egg (And How You Can Catch ‘Em).” Stay tuned for a lot more on that in the coming months.

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Want to get a workout in with the same people who train Jennifer Lopez or Selena Gomez? You don’t have to pay thousands of dollars — in most cases, all you need is an Instagram account! The pandemic might’ve forced many gyms to shut their doors for a few months, but celebrity trainers have been busier than ever, providing free resources for everyone staying at home. Here are some recommendations to empower your at-home workout routine! WANT FREE WORKOUTS FROM CELEBRITY TRAINERS? Instagram Is the Best Place to Start!

We live in an incredible age. Technology has come so far, and connecting with people around the world is as easy as clicking buttons. Social media provides advantages galore, but it also creates opportunity for wayward activity. Kids new to social media are often unaware of the risks of using it, which is why it’s up to their parents to help keep them safe. Get Family Protection Programs exist to help control and block potentially dangerous websites, enforce time limits, monitor online activity, and track online conversations. If your children frequently use social media, installing one of these programs is a great way to stay in touch with what they’re doing so you can take action as necessary. Also be aware that kids are getting more savvy about circumventing these locks and protections, so it’s important to stay up to speed with the latest advancements and have conversations about best practices. Set Up Private Profiles Because of certain privacy laws, websites that require individual profiles allow users to set those up as “private.” If you put your child’s account in “privacy mode,” sometimes called “kids mode,” then strangers have a much harder time accessing their profiles and interacting with them on those sites. Coupled with the right protection plan, you can even prevent your kids from tampering with their privacy settings after you’ve left the room. Recognize ‘Facebook Depression’ Research has shown that looking at social media posts of happy events in other people’s lives can make some kids who have compromised self-esteem feel worse. Seeing pictures of people enjoying family vacations or parties with friends can make kids question the activities in their own lives. Take time to explain that what they see on social media is not a reflection of everyday real life, and posted images only tell part of the story. Everyone is human, and your kids might need help realizing that so they don’t think less of themselves and their activities. Your kids don’t have to be scared when they use social media, but they do have to be smart. Educating them starts with you and your willingness to make sure they can enjoy social media and all its excitement as much as the rest of us do. PROTECTION STARTS WITH PARENTS 3 Ways to Keep Kids Safe on Social Media

Michael Maloney | @teammaloney on Instagram

Every day, Karlie Kloss’ trainer Michael Maloney has been posting “homework” to his Instagram feed. If you’re looking for daily exercises to do from home with minimal equipment, this is the place to go! Kloss and Maloney even do quick workouts together on Instagram Live. You can easily follow along, and they only require a mat.

David Kirsch | @davidkirsch on Instagram

Jennifer Lopez always looks incredible, in large part thanks to David Kirsch’s guidance. He’s been creating 10-minute, all-inclusive videos that work for different fitness levels and even the whole family! Check out his Instagram Live streams that combine workout moves and healthy lifestyle tips.

Angela Manuel-Davis | @AARMY on Instagram

Angela Manuel-Davis is a personal trainer and teacher to celebs like Beyoncé, Kerry Washington, and David Beckham, and she is teaching the masses on Instagram Live with AARMY, the fitness studio she co-founded. The studio hosts workouts every day throughout the day, including cycling, boot camps, and even mindfulness exercises.

Don Saladino | @donsaladino on Instagram

Ryan Reynolds and Blake Lively adore their trainer, Don Saladino, and for good reason! Saladino is friendly and a great teacher, and he provides lessons on Instagram Live every day at 3:30 p.m. EST. You’ll get a peek into his routine and even get to learn the benefits of electrolytes. All of these trainers are incredible, and the fresh workout inspiration is helping many people stay motivated! Check them out, and you just might find something new, healthy, and exciting to add to your routine.

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1990S SLANG VS. 2020S SLANG A List So Fly, You Might Even Say It’s on Fleek

If you spend a lot of time around Generation Z, you may have had to look up “oof.” What could that possibly mean? The confusion is totally understandable, and sometimes, we need a good comparison of the slang from different generations to really bridge the gap. So, don’t worry, pal — we have all that and a bag of chips. ‘Alrighty then’ vs. ‘Oof’ Let’s say you just explained a sad story to a Gen Z kid, and all they say is “oof.” You might think it means “whatever” (another ‘90s slang word), but it’s a little closer to using a non-sarcastic “alrighty then” used in the same context. “Oof” is often used when something concerning is happening. The speaker knows they should say something, but there might not be anything else to say.

“Alrighty then” was popularized by comedian Jim Carrey in his role as Ace Ventura in “Ace Venture: Pet Detective.” It was a favorite sarcastic reply for many in the ‘90s, along with “talk to the hand” or “whatever.” ‘All that and a bag of chips’ vs. ‘Iconic’ In the ‘90s, if you wanted to say someone or something was really, really cool, you’d say, “They’re all that and a bag of chips.” These days, you call them “iconic.” Those jeans? Iconic. Those glasses? Iconic. Their laugh? Iconic. ‘I’m buggin’ vs. ‘Salty’ You can be buggin’. Someone you know could be buggin’. Made popular by the movie “Clueless,” the term “buggin’” means someone is freaking out or acting in an unusual way, usually under stress. “Salty” is used in a similar context, but it mainly describes the feeling of being upset or bitter. So, you could be buggin’ because you feel salty toward yourself for procrastinating on an assignment. Or, “I’m so salty right now. I’ve been in the drive-thru for 30 minutes, and I’m buggin’.” There’s also some overlap between ‘90s slang and recent slang. For example, “wack” was popularized as slang after the ‘90s anti-drug slogans like “Crack is Wack,” and people continued to use it to describe other things as “wack,” meaning weird or lame. It was mostly forgotten until recently, when a meme surfaced of Hannibal Buress saying “wack” with a hilariously dozed-off expression. So, at least we can agree: Slang is silly and fun, but sometimes, it’s wack!

BREAKFAST SAUSAGE KEBABS

TAKE A BREAK

Inspired by TasteOfHome.com

Ingredients

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7 oz frozen, fully cooked breakfast sausage links, thawed 20 oz pineapple chunks, drained

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10 medium-sized, fresh mushrooms

2 tbsp butter, melted Maple syrup, to taste

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Equipment

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5 metal or soaked wooden kebab skewers

Directions

1. Cut sausages in half. Thread alternating sausage halves, pineapple chunks, and mushrooms onto kebab skewers. Brush with butter and syrup. 2. Grill over medium heat, regularly turning and basting with syrup, until sausages are lightly browned, about 8 minutes.

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PRST STD US POSTAGE PAID BOISE, ID PERMIT 411

INSIDE 1

Welcome to the First Edition of My Newsletter! How to Keep Your Kids Safe on Social Media Want FREE Workouts From Celebrity Trainers? 1990s Slang vs. 2020s Slang Good Morning Breakfast Kebabs

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Make the Right Choice for Your 401(k)

WHAT TO DO WITH YOUR 401(K) WHEN YOU CHANGE EMPLOYERS

The government’s response to COVID-19 has left many suffering from varying degrees of financial hardship. For this reason, a common question we’ve received lately is, “What should I do with my 401(k)?” When you have a 401(k) but are switching employers, you’ll have to decide what you want to do with it. In all cases, you have four options. 1. Leave it in your former employer’s plan. If you do, you will no longer be able to contribute to or borrow from the plan. Your investment options will be limited by that employer’s plan, and your money will be subject to the stock market. There’s really no advantage to this option. 2. Roll it into your new employer’s plan. Some employers allow you to transfer your 401(k) from a former employer into their company’s plan. But just as above, your investment options will be limited by your new employer’s plan, and your money will be subject to the stock market. Again, there’s not much advantage to this option. 3. Cash it out. If you cash your 401(k), you could be subject to early withdrawal penalties, regardless of the reason for doing so. Sometimes the need for cash is greater than the cost of obtaining it, but remember: If you cash it out, you’ll be starting your retirement savings from zero, and you’ll have lost the time it took you to save that money.

4. Roll it over to an IRA. If you do a non-taxable rollover to an IRA, you’ll have access to a wider array of investment options. You can also protect your money from the inevitable losses that come from the stock market, while maintaining your ability to participate in gains. You’ll also have the opportunity to create retirement income you won’t outlive. When comparing your four options for your 401(k), the smartest choice is pretty obvious: Roll it over to an IRA. So if you have a 401(k) and find yourself changing employers, contact Principal Shield Financial so we can help you protect your money.

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(619) 994-1110

Published by The Newsletter Pro • www.newsletterpro.com