MONEY ON MY MIND

Creative Financial Planning Strategies

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EMPOWER • Educate Yourself and Others; • Manage Income &Expenses; • Plan for The Unknown; • OWN Your Choices and use • Wisdom; controlling • Emotional Spending and • Reap the DIVIDENDS

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Educate Yourself and Others

Financial Planning: What, When, Where, How Assessment of Decisions

Financial Plans Include the following Basic Elements: Goals Monthly Budget [Bi-Weekly (if easier)] Long Term and Short Term Goals Accountability Check In

Customize your plan to your goals!!

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Dispel the Myths CHANGE YOUR MIND I’m only a high school student I just started college I am going back to school and

have already made credit decisions

I already have student loan debt. I do not have a lot of money

Wife, Kids, Post Graduate

Education, Grooming

Student Loans, Car Note,

Rent/Mortgage, Entertainment,

Hygiene

Dependent Care and

Elderly Care

Why should I invest? How can I invest? What should I invest in? Am I going to loose my money?

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Manage Your Income and ExpensesYou Do the Math…..

• Monthly Budget– What to include

• Rent, Mortgage• Day-To Day Expenses• Student Loans• Unsecured Debt• Secured Debt

• Savings• Spend for “You”• Emergency Fund• Survival Kits• Retirement

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A Financially Fit Heritage

There are 21 African American owned banks with assets totaling approximately $4.7 billion or approximately 0.43 percent of African America's $1.1 trillion in buying power. In 1994, there were 54 African American owned banks according to the FDIC. Now, there are 21. 

THEN…. NOW….

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Plan for The Unknown cont’d

Credit versus Cash; Pros and Cons Credit

• $5k Auto Loan– @ 7% intr. For 5yrs = $940

in interest

• $5k Credit Card– @ 17% intr paying

minimum of 4% rate of $200/mo = 130/mo with total pmt of $7,627.46

• $5k Student Loan– 5yrs @ 6% = $799.84

Investment • $5k Lockheed Martin Corp

(LMT)– Feb 12, 2011 – Feb 11, 2016 = $12,000

• $5k CD– @ .25% for 5yrs compounded = $5,062

• $5k Investment– @ average 6.5% for 5yrs = $6,850

• $5k retirement w/ $100/mo– @ average 6.5% for 30yrs = $139,700

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Plan for The Unknown cont’dStrategies for Financial Success and Stability Categorize Your Money; How do you Classify Your Money

Planning Pro Actively Smart Use of Credit Cards Smart use of Student Loans Smart Use of Retirement Funds Insurance Plans

Budgeting for Others (BFO) (family, friend loans) Just say No Provide Other Resources BFO Responsibly

Strategies for Saving – Accounts in the Market, Taxes Discipline

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Plan for The Unknown cont’dStreams of Income– Work Study– Part Time Employment– Steady Employment

• Salary Negotiations• Signing Bonuses• Retention Payments

– Entrepreneurs – 401 K; Roth; My IRA Contributions– Insurances– FEAR

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OWN Your ChoicesReal Talk for Real Money Issues

The Panel Gets Open About Money MistakesTransparency in the Mirror Learn from Other’s Choices, Experiences and

Outcomes– Your Own Experience Does not Always have to

be the Best Teacher

Lessons Learned

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Wisdom; Controlling Emotional SpendingInvestment or Impulse….

Really….what are you spending your

money on?

Are you forward thinking on all your purchases?

Let’s talk about rewarding yourself within the realms of still making smart money decisions?

Retail Therapy?? Image?? Status?

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Reap the DIVIDENDS What’s in it for YOU??

Written Goals Your Definition of Success Financial Stability Debt Free Accomplishment Reduced Mental Stressors Enjoy Life

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Questions/Comments/Remarks