Student loan debt reached $1.48 trillion in America by the end of 2019, spread between approximately 45 million borrowers across the United States. That equates to about $33K per borrower. As we all adjust to the COVID-19 pandemic, many are experiencing financial instability. This means that for 45 million Americans, paying down student loan debt may be pretty low on their list of priorities.
A 25bp cut to the policy rate today would help to bring order back into the lending markets, but more help could be warranted in the near future to push the current economic expansion into "extra innings."
The bottom line is that there is no ideal way to charge a client. Each client should know how much they are paying their financial advisor and what the incentives are for their advisor. If your advisor is unwilling to tell you what they are paid and how that compensation aligns with your goals as a client, grab your wallet and run before you start a revolution!
They are often the ones who need the most guidance as they make important life decisions. These statistically younger investors are also the people who care as much about how they make their money as they do about how much wealth they accumulate over their lifetime. They are our future ... and I am optimistic!
It is finally that time of the year. No, not college basketball season - tax season! By now everyone should have received (or been able to download) their Forms 1099 and other important documents. Today (March 15) also marks the deadline to file your 2017 S-Corp or partnership tax returns and elect to file as an S-Corp for 2018. Roll up your sleeves, sharpen your pencils, and find your calculator.
