Smart Levers

Key Takeaways

  • For important money decisions, always consider the potential for tax deductions, tax-deferment, and a mortgage interest tax deduction.
  • Each of the tax levers above can make a big difference when you start compounding your savings over time.
  • While adding a few hundred dollars extra to your monthly mortgage payment can shorten your loan term and save you thousands of interest in the long run, you should compare that to other tax advantaged options.

HECM: The Expanding Line of Credit


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 A New Breed of Home Equity Line

We typically advise clients to pay down debt, including the mortgage on their primary residence, as they approach and enter retirement. Even so, we encourage them to take out a home equity line of credit for unexpected contingencies, as a ‘just in case’ option.

Life’s unexpected turns can create an urgent need for immediate cash. You might end up needing money to cover the cost of long-term medical care; offer financial assistance to a struggling family member; finance a major home repair. When these things pop up, our clients come to us seeking advice in identifying the best source from which to withdraw funds.

If current markets make it an inopportune time to withdraw cash, or if the distributions will create a taxable event, a home equity line of credit allows our clients to quickly access cash on a tax-free basis.


Rockefeller Rules!

Key Takeaways

  • Saving before you spend, using other people’s money wisely and making compound interest work in your favor will give you a big leg up in your financial life.
  • Staying well-informed about taxes and applying time and discipline to investment management will keep you on the right track toward building wealth.
  • Saving 20 percent of what you earn is a great lifelong wealth-building discipline to have.

MTA, the New MBFA

Key Takeaways

  • Massively Transformative Aggregation is replacing Manual Brute Force Aggregation.
  • Now a great many people, not just a select few at the top, have the ability to change the world.
  • When it comes to wealth and your relationship with your advisors, you may want a transformative experience and the ability to have a life of meaning, value and purpose.