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5 Wealth Advisors Give Money Tips They’re Sharing With Their Clients For 2023


The year 2023 is near. And like every year, it promises to bring waves of economic change, both predictable and unexpected. Wealth advisors are helping their clients prepare for these potential changes by providing advice on how to protect and grow their wealth. We spoke with five wealth advisors about some of the key tips they give their clients in the new year.

1. Autumn K. Campbell, CFP®: Focusing on the Basics

With so much uncertainty coming your way in the new year, this can be a good opportunity to focus on the basics of your financial planning. One of those basic concepts would include Emergency Fund.

“The more uncertainty or planned change in your life in the coming year and the number of sources of income you have will directly affect the recommended size of your emergency fund,” says Autumn K. Campbell, certified financial planner and lead planner at Facet Wealth. While three to six months of your monthly costs tend to be the default rule, three to nine months may be more appropriate to account for the effects of inflationary and increased layoffs in some sectors of the economy.

In addition to assessing the strength of your emergency fund, Campbell is recommending its clients to prioritize and optimize. If you can’t meet all of your financial goals, consider making adjustments. “We often find that people want to save linearly for their long-term goals, but that can affect your ability to achieve your short-term goals more than you think,” Campbell says. “We often advise clients to reduce savings for their long-term goals so that they can save for their short-term goals within reasonable timelines.”

2. Cody Garrett, CFP®: Adjust Your Expectations

Although most investors expect that 2023 will see lower inflation and an upward trend stock market, it is important to control your expectations. “We should adjust our investment risk and return expectations when we need the money,” said Cody GarrettFinancial planner and owner of Measure Twice Financial.

Taking on too much risk in the markets can be expensive, especially if you need money in the short term. Garrett adds: “I encourage clients to keep the money that is expected to be spent over the next three years outside of the stock market with the investment objective of stability and liquidity rather than growth and income. “.

While investing can often drive the daily news cycle, there are other aspects of your finances that also need to be adjusted and evaluated. “I encourage families to review their financial inclusion ecosystem every year,” says Garrett. “Because income, expenses, savings, investments, insurance and taxes are interrelated, we need to put the pieces together to get the big picture.” By looking at your financial situation holistically, you can better understand where you are and be in a better position to make informed decisions going forward.

3. Brenton Harrison, CFP®: Be greedy when others are fearful

From rising interest rates, oil price volatility and international conflicts, 2022 is marked as a volatile year in the market. Despite this market volatility, savvy investors can take advantage.

“If properly planned, a period of broader economic fear can be a springboard for financial growth,” said Brenton Harrison, certified financial planner at New Money New Problems. “It’s all about making sure you’re ready when the fears of others create opportunities for those willing to take advantage of them.”

2023 could also be a good opportunity to focus on hedging against broader economic risks. The Federal Reserve predicts a slight increase in the unemployment rate next year as the central bank continues to raise interest rates. “We’ve seen mass layoffs in the tech industry — which was previously considered untouchable. That could be a harbinger of instability in the broader economy,” added Harrison. “Put a renewed focus on fundamentals: maintain cash reserves, eliminate consumer debt and invest consistently.”

4. Lauryn Williams, CFP®: Don’t panic, stick to the plan

Investors may be tempted to make drastic moves when they see sudden changes in the market, but it’s best to stick to your plan with small adjustments along the way. “If you’ve created a financial plan, it should accommodate small life-based changes, but make the changes,” says Lauryn Williams, certified financial planner at It is not advisable to grow up based on the feeling of the environment”. Well deserved victorya financial planning firm based in Dallas, TX.

Sticking to the plan can also include your response to stock market volatility. The S&P 500 is down about 14% in the first 11 months of 2022. “The market may not improve for a long time, but if you have 20 years left until retirement don’t panic. Let’s continue to maintain our positions. your investment contribution and what your future will look like. Thank you.”

Williams is also advising her clients to fight inflation by asking for a raise. “Ask for a raise but don’t panic if you don’t get a raise. Everyone is affected by inflation and rising incomes are the easiest way to cope,” she said. Another way to fight inflation is to switch jobs. According to a Pew Research Center study in July, 60% of individuals who move to a new employer have seen their income increase.

5. Tremaine Wills, MBA: Noise Adjustment

Technology has made our world more connected, and with that connection comes a wealth of information. With that much information, it’s important to remember to filter out the noise. “Every week there’s ‘breaking news’ on financial topics that would easily cause anxiety if you let it happen,” says Tremaine’s Willowner and financial advisor at Mind Over Money.

Remember that not every breaking news will result in a significant change to your long-term financial plan. “Our job into 2023 is to focus on our goals. Fear, stress and anxiety are not invited to join us on this journey.”

Like Williams, Wills is also focusing his message on clients about increasing their income. “I am also telling clients to make more money. The cost of living is going up and there is no creative way of budgeting that can make up for less purchases,” she said.

Carried away

No one can predict what will happen next year, but there are a few key things you’ll want to consider to ensure your financial goals are met while reducing the severity of difficulties. in the implementation process. Nearly every advisor mentioned the importance of hoarding cash or finding ways to increase income. But how much cash exactly will you need in the event of a severe recession or job loss? This is where a thorough review of your finances can come in handy.

“Consider going beyond the ‘3 to 6 month cost’ rule of thumb when calculating your emergency fund,” says Garrett. “Special risks such as job loss, insurance deductibles, disability insurance removal periods, major home repairs not covered by insurance, and family emergencies that may require travel much should be acknowledged.” With a good plan in place, it will serve as a guiding light in the new year.

This story was originally featured on Fortune.com

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