A Natural and Mandatory Relationship
You and your money have a relationship. It is natural. It is mandatory. It is good.
Alone, you have no need for money. Money exists only because of relationships. You learn much about your relationships with others by looking at where money is spent and why.
You become more clear about your identity when you look at where you actually spend your money, on what items and to what ends. With greater knowledge, you can clarify your intentions. The more clear your intentions, the less important the distractions that separate you from your wealth and your identity. The more money you have, the more resources you have to achieve what is most important to you.
Your money relationship is natural and uncomfortable and good. By pursuing wealth, you are pursuing your own true self. Money can be an expression of love. As evidence, I present to you your checkbook. Look at where you spend your money. Is it spent on people and on activities of importance?
It is natural and healthy to want more resources. Money enables us to spend time with people we love, doing activities that are pleasing to us, in places where we love to be.
Your money relationship is mandatory. A very wise CEO once told me, "Nothing worth doing is easy." She made a living being the first at everything. Whether you are an accomplished investor or this is your first step towards that end, you must take charge of your money to take charge of your life. Money and happiness are symbiotic and harmonious. Even if thinking about money gives you fits, the more you learn, the less stressful it becomes.
Do you feel concerned that you should have more money? Have you ever felt guilty about wanting more (because so many people have so much less)?
Or are you concerned, after having accumulated what you have, that you could be swindled? You don't know enough? You don't have anyone to trust?
It is time to recognize that these emotions drive your decisions. It is time to address your money relationship. Let's talk about it!
Weekly Economic Update
CONSUMERS UPBEAT IN MAY, SPEND LESS IN APRIL
Consumer spending slipped 0.2% in April, with a 4.4% drop in purchases of gas, electricity and other energy goods and services being a major influence. In better news, the Commerce Department noted a 3.4% rise in personal spending in Q1, and the two most-watched consumer confidence gauges beat consensus forecasts last week. The Conference Board's May survey came in at 76.2, topping the 72.5 projected by analysts polled by Briefing.com. The final May consumer sentiment survey from the University of Michigan rose to 84.5; the same group of forecasters had projected it at 82.5.(1,2)
HOME PRICES GAIN NEARLY 11% IN A YEAR
To be precise, 10.9%: that was the 12-month improvement across 20 cities noted in the March edition of the S&P/Case-Shiller Home Price Index. In other housing news, the National Association of Realtors announced a 1.5% rise in pending home sales for April, bringing the annualized gain to 7.0%.(3)
AN UPDATE ON MEDICARE'S LONG-TERM HEALTH
Last week saw the release of the 2013 Medicare and Social Security trustee reports. While Social Security is still projected for a shortfall in 2033, Medicare's board now forecasts that the program can run until 2026 without depleting its trust fund, citing projected savings from the Affordable Care Act. That is two years longer than previously projected. Friday, Health & Human Services secretary Kathleen Sebelius said she did not foresee an increase in Medicare Part B premiums in 2014.(4)
S&P 500 NOTCHES 7-MONTH WINNING STREAK
Even though it sank 1.14% for the week, the broad U.S. benchmark gained 2.08% for May, ending the month at 1,630.74. While the Dow (-1.23% to 15,115.57) and NASDAQ (-0.09% to 3,455.91) didn't advance last week either, they respectively gained 1.86% and 3.82% last month.(5)
|% Change||Y-T-D||1 Yr Chg||5-Year Avg|
(Source: cnbc.com, bigcharts.com, treasury.gov, (05/31/13). Past performance is no guarantee of future results. Indices are unmanaged, and investors cannot invest in them directly.
Create a beautiful week!
Karl Frank, MBA, MSF
Certified Financial Planner (R)
A & I Financial Services LLC
- http://latimes.com/business/money/la-fi-mo-personal-income-consumer-spending-economy-20130531,0,3433990.story [5/31/13]
- http://briefing.com/investor/calendars/economic/2013/05/27-31 [5/31/13]
- http://foxbusiness.com/news/2013/05/28/case-shiller-us-home-prices-rise-again-in-march/ [5/28/13]
- http://money.usnews.com/money/blogs/the-best-life/2013/05/31/social-security-deficit-outlook-remains-unchanged [5/31/13]
- http://cnbc.com/id/100779852 [5/31/13]
Securities offered through Geneos Wealth Management, Inc., member FINRA/SIPC. Investment advisory services offered through A&I Financial Services LLC, registered investment advisor.