Paddock Financial Planning

Happy !

It's fair to say that April made it easier to find reasons for concern than hints of optimism.

Still, I take the view that the headwinds we've faced so far in 2022 represent discomfort masking long-term opportunity and a fundamentally resilient economy.

That said, it's wise to acknowledge the prevailing pessimisms:

- The U.S. gross domestic product shrank in the first quarter.
- Inflation remains high.
- There is no clear end to the Russia-Ukraine war.
- Each major market index was down for the month.

As the markets are forward-looking, we would be equally remiss to ignore the good news underneath:

- Measures of domestic demand are strong, and consumer savings are higher than ever.
- Month-over-month inflation in April is expected to be milder, lowering the year-over-year inflation rate.
- Supply chain data from the Federal Reserve Bank of New York suggests an easing of disruptions.
- First quarter corporate earnings growth was generally strong.
- Corporate savings are empowering shareholder-friendly policies.

Meanwhile, all eyes are on the U.S. Federal Reserve. If the wave of inflation doesn't break, the interest rate-setting committee may feel additional pressure to stabilize prices with the tool at its disposal, which could cost economic growth.

The bottom line: In the near term, volatility will likely remain elevated. However, these concerns may be fully priced into the market already.

Meanwhile, there is evidence suggesting some of the largest headwinds will ease this year, presenting opportunities to long-term investors.

As always, the market and the world remain in flux and I'm here to support you to navigate these conditions together.

Why do so many people never obtain the financial independence they desire? It's often because they don't take the first step – getting started. Can you relate?

Do you feel like investing is too risky, complicated or time consuming?

Do you tell yourself that investing and financial advisors are only for rich people? Wrong! You just haven't found the right person to help you.

I meet with people every day who don't feel "wealthy enough," and you know what? They are all FAR wealthier than they think.

So, if you're waiting until your finances are perfect, or you have zero debt, or you get that raise, or you feel more confident, or you are "wealthy enough" to ask for help, chances are you'll never reach out.

…and chances are you are missing opportunities to grow your wealth.

Call me. DM me. Email me. Take the first step – get started.

[email protected]
831-417-0714

Reminder – Show your CPA some love!

Fact: Taxes are the worst. Raise a hand if you agree!

But they're a part of our lives that are here to stay, and we need to be thankful for those who take care of the heavy lifting for us.

With tax returns due on Monday, April 18, your accountants and CPAs are in a flurry getting your taxes done. Show them some love by dropping by a cup of coffee, a food delivery gift certificate, or maybe a lovely thank you note!

…even better, tag them here, so we can all love on them!

Are your finances stressing you out? I can help!
I can help you with:

- Dialing in your budget
- Managing your investments
- Saving for the future
- Cleaning up and consolidating old accounts
- Educating you on your options during life transitions
- Talking through your feelings about money

…and much, much more!

There's no reason to continue to lose sleep over your money. Contact me to start the conversation! I'm here for you.

It's everyone! Here's what happened in March...

The volatility of recent months continued in March, driven by geopolitical events that I believe are unlikely to dissipate soon, a more hawkish Federal Reserve and higher prices.

Despite headwinds, domestic equity markets rallied toward the end, making up for some of the earlier losses. The general economic backdrop remains favorable as U.S. consumers, flush with cash, continue to spend, despite rising prices; manufacturing and business spending remain healthy; and the labor market remains robust.

Key takeaways for the month:

- As expected, the Federal Open Market Committee raised the federal funds rate 25 basis points at its March meeting and indicated that further increases will be needed to return inflation to its 2% goal.

- The Russian invasion of Ukraine has lifted oil prices globally, exacerbating inflation and prompting renewed interest in alternative energy sources.

- Earnings trends remain solid and valuation multiples have become more compelling. In addition, I believe that higher Treasury rates coupled with wide spreads and increased municipal/Treasury ratios should bode well for income buyers in both the corporate and municipal markets.

The bottom line: Overall, volatility tied to geopolitical risk is likely to persist over the medium term and adds complexity to the global economic outlook. Despite uncertainty, the U.S. economy looks to have room to grow, and higher equity prices seem likely.

We are constructive on equities and believe that investors should view temporary choppiness as a buying opportunity.

I mean really - is there any better way?!

Financial preparedness can feel overwhelming - I get it! Sometimes starting with small tasks can get the ball rolling in the right direction.

So, here are 3 ways you can start laying the foundation for your financial journey!

1. Establish a cash reserve - It will take time to build it up, but opening an account and having an automatic contribution to it monthly will get you started.

2. Protect your income - When our income goes away, we lose the ability to support ourselves and our families. We risk the ability to have a roof over our heads and food on the table. Depending on your age and phase of life, there are different ways to do this. Talk to a financial professional (like me!) to learn about your options.

3. Review titling of your accounts & beneficiaries - If you died tomorrow, do you know if your assets would go to probate? Do you know who would get your money? If you don't, then it is time to take a look at your account titles and beneficiaries. These items should be reviewed annually.

Want more tips on being financially prepared? Join me on Tuesday, March 15 at 12:00 p.m. PST for an educational webinar with Wanda Vollmer of ! Link to register below.

https://us06web.zoom.us/meeting/register/tZAld--qpjIoG9Bruge6Dw9TlOqfUWHIUMST