SAN FRANCISCO, Ca, November 12, 2015 – Yeske Buie was selected as the winner of the 2015 Trailblazer IMPACT AwardTM, part of Schwab’s IMPACT Awards® program created to recognize excellence in the business of independent financial advice. The Trailblazer IMPACT Award honors a firm for its dedication to helping the industry as a whole reach new heights through focused initiatives or the passionate commitment to service excellence. The award was selected by a judging panel of industry experts and presented to Yeske Buie at IMPACT® 2015 in Boston, MA on November 12th. The entire Yeske Buie team was in attendance for the prestigious ceremony.
“I’m very proud that our firm is being recognized in this way,” said Yeske Buie managing director, Dave Yeske, “and I’m also tremendously proud of our talented team members without whom this would not have been possible.”
Yeske Buie is a leading wealth management firm providing financial planning and asset management to over 200 clients around the world. The firm’s founders and principals, Dr. Dave Yeske, CFP® and Elissa Buie, CFP®, have almost 60 years of combined experience practicing financial planning and leading the profession. The firm is known nationally for its volunteer service and the Principals’ leadership in the profession and their writing and presentations on topics such as Evidence-Based Financial Planning® and Policy-Based Financial Planning. Their philosophy of Live Big® and Creative Strategies – Grounded Wisdom® form the pillars for their company vision and strategy and contribute to their primary focus of delivering an exquisite experience to their Clients. Internally, the firm has a culture of excellence, learning, team work, constant improvement and fun.
Yeske Buie’s Financial Planning Resident Program, Give Big philosophy, and ambitious technology strategy are among the reasons why Yeske Buie earned this award. Yeske Buie’s innovative Financial Planning Resident program, fashioned after a Medical Residency at a teaching hospital, equips aspiring financial planners with three years of hands-on guidance and foundational training necessary to qualify to be a CFP® licensee. In return, the firm gains additional capacity and helps contribute to the pipeline of new planners entering the financial planning profession adequately prepared to work with Clients. Additionally, one of Yeske Buie’s defined core values is a commitment to sharing their time, their intellect, and their resources; they call this philosophy, Give Big. The Give Big philosophy encompasses community service, domestic and international speaking engagements, high-level involvement in professional associations, educational engagement, and more. Yeske Buie has incorporated these activities into a culture and a lifestyle that they embody both as individuals and as a team. Finally, Yeske Buie continuously seeks technologies that will leverage internal processes and external communication and will contribute to their primary focus of delivering an exquisite experience to their Clients. They have adopted many technology platforms to achieve these goals including their Client Private Page® which streamlines internal report generation while maximizing the frequency and quality of client reporting. These are just some of the initiatives that defined Yeske Buie as a pioneer in the industry.
As part of the Trailblazer IMPACT Award, Charles Schwab & Co., Inc. will make a $15,000 donation on behalf of Yeske Buie to the Foundation for Financial Planning, an organization devoted to providing pro bono financial planning services to the underserved. Yeske Buie has a strong involvement with the Foundation; in addition to serving many years on the Board of Trustees, Elissa Buie also served a two year term as Chair of the Foundation, and the Yeske Buie Financial Planning Team makes regular donations to the organization.
Yeske Buie and its employees are independent of and are not employees or agents of Charles Schwab & Co., Inc. (“Schwab”). Schwab does not prepare, verify or endorse information distributed by Yeske Buie. The Trailblazer IMPACT AwardTM, part of Schwab’s IMPACT Awards® program, is not an endorsement, testimonial endorsement, recommendation or referral to Yeske Buie with respect to its investment advisory and other services.
It is estimated that Social Security has 2,728 different rules1 and that there are more than 8,000 claiming strategies for married couples alone2. As these staggering numbers suggest, Social Security is a complicated topic. As a result, there is often a knowledge gap for hopeful retirees which may have a bigger impact than they would believe to be true. Last week, AARP and the Financial Planning Association (FPA) released the results of a survey conducted to discover what pre-retirees do and don’t know about Social Security. Some of the most striking gaps, according to the survey, include not knowing the earliest retirement age or not knowing how much they would receive in additional benefits by waiting until the Full Retirement Age (or that they would receive any additional benefit at all!).
With the results of the survey being a hot topic among the financial planning profession, Dave sat on a panel at FPA’s Annual Conference in Boston last week to discuss the topic. The other panelists included Gary Koenig, AARP’s Vice President, Economic and Consumer Security, and Thomas L. Hungerford, Ph.D. – Associate Commissioner, Office of Retirement Policy at the Social Security Administration. The panel discussed questions such as,
What role does Social Security play in pre-reitree/retiree retirement planning?
Do consumers know important claiming strategies and are they taking advantage of them?
How are planners helping their clients address Social Security in retirement?
With 25 years of experience in helping Clients with their financial needs, Dave noted to CNBC reporter Shelly Schwartz that, “The average consumer seems to assume Social Security will represent a much larger proportion of their income in retirement than financial planners would estimate, which means they may have less incentive to aggressively save on their own, either through employer-sponsored retirement plans or independently.” Furthermore, Dave spoke with Richard Eisenberg, contributor for Forbes Personal Finance, and said, “Their [consumers] understanding of Social Security is pretty good, but there was a huge lack of knowledge about the impact of deferring benefits and about spousal benefits.” But why is this knowledge gap so significant? Dave explains that “The choices people make about collecting Social Security retirement benefits could have a huge impact on the benefits they receive over the next 30 or 40 years.”
If you consider yourself to be one of the many consumers confused by Social Security, don’t be too hard on yourself. The three panelists acknowledged that making the right decision regarding Social Security can be difficult. Dave agreed with the panelists noting “that financial planners even use Social Security software”. So what can you do to ensure you are maximizing your Social Security benefits? Many agree that enlisting the help of a CFP® professional will lead to better decisions and more secure finances in retirement. At Yeske Buie, we assist our Clients in making the best decision by preparing an analysis based on the individual’s benefit amounts, age, and specific needs. When a Client is nearing age 60, Yeske Buie requests current copies of a Client’s Social Security Statement to begin our evaluation of a Client’s potential claiming strategies. Our preferred software, Social Security Analyzer, will create a graph – similar to the image below – based on the specific Client information inputted into the system. With this graph, we will recommend a claiming strategy and have a discussion with the Client. By preparing this analysis at around age 60, we allow the Client to consider their options for some time before committing to a decision.
In the end, choosing the right Social Security strategy is equally complicated as it is important. Whether you chose to gain more knowledge on the topic yourself or ask a financial planner for help, Dave offers one generic guideline to ensure you make the right decision: “Don’t wait until you’re about to file for benefits”.
In June, we announced that Yusuf Abugideiri, Financial Planner in our Virginia office, was named co-chair of the Recent Alunmi Board of the Pamplin College of Business. The Board is a diverse group of young professionals whose work is aimed at advancing the present and future community of Pamplin College. The Board is composed of twenty-five professionals who have graduated from the Pamplin College in the last two to ten years with careers as CEOs, entrepreneurs, managers, and consultants. Yusuf will serve a three year term as co-chair with the Board and will have responsibilities including supporting current students in finding post-undergraduate careers, developing and strengthening relationships with recent alumni, and advocating for the Pamplin College to increase awareness with employers and potential students. After graduating from Virginia Tech in 2009, Yusuf has been invited back as an alumnus to speak at Virginia Tech on several occasions: he has talked to prospective students at Hokie Focus, to accepted students at Orientation, and to incoming freshmen at Hokie Camp.
Recently, Yusuf spoke with the Zach Hoopes, Collegiate Times’ correspondent for the Pamplin College of Business, about the Board’s long-term initiatives and early mentoring efforts that will help shape the impact of the Board. By aggregating a group of successful professional alumni, the Board hopes that forming relationships between Board members and students early on will assist in their success after graduation. Yusuf shared his thoughts with the Collegiate Times affirming, “We wanted to take advantage of the opportunity to connect with students right at the beginning of their career. Be those mentors, those change agents for them at the early onset of their career at Tech”. Yusuf also says, “We add an extra layer of mentorship for the freshmen and the upperclassmen. We will be meeting with them once or twice a semester. The payoff of that is hopefully you have a career that looks like someone on the Recent Alumni Board, giving them a tangible example of what they are aiming for.”
The next big event for Yusuf and the Board comes on December 4th at the Gala for the 50th Anniversary of the Pamplin College of Business. As co-chair, Yusuf will be presenting the Board’s progress thus far and the outlook for 2016. Stay tuned for updates!
A recent article by Miriam Rozen on FinancialPlanning.com asserts that alternative investments are rapidly becoming of more interest to advisors. As a result of the booming interest, Rozen explains that many advisors are committing to lengthy training programs to efficiently educate themselves and their Clients on the details of the investments. Dave shared his thoughts on alternative investments with Rozen arguing that “Advisors who are tempted to spend time on alternatives-training programs, should instead ‘take a graduate course in economics or finance theory'” as he believes “With that kind of education, advisors will grasp the basics that should underpin any evaluation of prospective investments, whether they are tagged as alternatives or not.” As Rozen delves into the pros and cons of the investments, Dave is quoted saying “‘We share the skepticism’ about alternative investment products”. Rozen continues to capture Dave’s thoughts saying,
“Among some of the so-called liquid alternatives, product wholesalers have lumped together assets that have little in common and don’t make much sense as a category, Yeske says. The only trait they share is a common sensitivity to inflation, he says.
Yeske believes investments should be assembled in a fund or packaged as a strategy only if they share ‘a common economic driver at their core.’ Too many fund options offered as alternatives include real estate or oil and other commodities. ‘If you lump them together,’ he argues, ‘you lose the opportunity to ride the commodities’ cycle in a more nuanced manner.'”
“The financial planning profession has evolved significantly in the two years since the Financial Planning Competency Handbook was first published. The second edition has been revised accordingly, giving financial planning practitioners, students and educators a one-stop resource on issues facing today’s financial planning professionals as they seek to meet their clients’ changing needs,” said the book’s editor, CFP Board Director of Academic Programs and Initiatives Dr. Charles Chaffin. “With nearly two-thirds of the handbook’s content brand new, CFP Board is continuing to work to expand the body of knowledge in the financial planning profession.”
“The fully updated second edition includes brand new content based upon the new Principal Knowledge Topics developed through the most recent Job Task Analysis. Each of these topics are explored from both a theoretical as well as a practical perspective through connections diagrams, practitioner profiles, and vignettes. There is also a detailed case that runs through each stage of the financial planning process. In addition, a completely new section is devoted to the interdisciplinary nature of financial planning, including diverse fields like psychology, behavioral finance, communication, the aging population, and marriage and family therapy.” – CFP® Board Press Release
In a recent article from Kiplinger’s Personal Finance, Jane Bennett Clark reviews the pros and cons of renting vs. buying for retirees looking to downsize their living space. While the article specifically addresses retirees, the decision between renting vs. buying is becoming more prevalent for all age groups. Throughout the article, Clark describes the advantages of renting and the advantages of buying as it relates to her personal decision to downsize her home and also asks Dave for his thoughts on the decision:
Advantages of Renting
Flexibility: “If you decide you hate your new digs, you can move again without a hassle”, says Clark.
More Stable Housing Expenses: Generally, rental prices stay competitive with the local real estate market while homeowners associations fees can rise based on maintenance and upgrade costs.
More Fluid Equity: Clark asked Dave for his thoughts on this matter. Dave says, “Short of selling your condo, the only way to access the equity is by paying a lender for the privilege. But if you rent and invest your money you can use the earnings to defray the rent.”
Advantages of Buying
Ownership: You can fully customize your space when you buy it; whether that means knocking down walls or installing hard wood floors, you have the ability to make the place your own.
Price Appreciation: You enjoy any price appreciate the property gains during your time as an owner.
Tax Deductions: “If most of your income is derived from tax-deferred accounts, the tax deduction will come in handy, even if your income is smaller than it used to be”, says Clark.
After considering the advantages of each option, Clark offers additional circumstances related to her personal finances that help her to make her decision. As always, Yeske Buie is available to discuss any questions or opportunities you may have about a decision such as this; please do not hesitate to contact us!
A recent article by Lou Carlozo, The 20 Fears That Are Keeping You From Being Rich, outlines behaviors that oftentimes come between you and your potential wealth. It seems ironic that while many feel additional wealth would be the answer to their financial fears, it may be fear that is holding them back from the additional wealth. Dave contributed his thoughts for Lou’s article to help identify two of the twenty fears and how you can mitigate these fears and change them into positive thoughts:
You’d Rather Not Be a Target: Money can inspire envy and jealousy from competitors, family members and friends — and who needs that? “As the old proverb goes: ‘The nail that sticks up gets pounded down,’” said Dave Yeske, managing director at the wealth management firm Yeske Buie and director of the financial planning program at Golden Gate University. “Then again, the other proverb says: ‘Nothing ventured, nothing gained.’”
Rejection, Rejection, Rejection: If you still pout about getting shot down for a junior prom date, you might loathe the thought of a venture capitalist or potential business partner dismissing your vision. “I’ve known a number of people with a great project proposal who never got anywhere because they were never quite confident enough to just take what they had and present it,” Yeske said. So if you fear you have everything to lose, reframe it: You probably have nothing to lose.
For those who find that even one of these fears resonates with them, we offer the following quote from Marianne Williamson that we infuse into our culture at Yeske Buie as a reminder to lose those fears and replace them with powerful thoughts:
“Our deepest fear is not that we are inadequate. Our deepest fear is that we are powerful beyond measure. It is our light, not our darkness that most frightens us. We ask ourselves, Who am I to be brilliant, gorgeous, talented, fabulous? Actually, who are you not to be? Your playing small does not serve the world. There is nothing enlightened about shrinking so that others won’t feel insecure around you. We are all meant to shine. And as we let our own light shine, we unconsciously give others permission to do the same. As we are liberated from our own fear, our presence automatically liberates others.” ~Marianne Williamson
The engagement of a couple instantly triggers a waterfall of congratulations, wedding plans, and questions for the bride and groom-to-be. The planning of a wedding involves countless decisions including selecting a wedding date, creating a guest list, planning a honeymoon and more. And while the couple most certainly takes into consideration the cost of their big day, it can be easy to overlook the legal, tax, and financial decisions and questions that result from getting married. Recently, Dave talked with Kathleen Pender, business columnist for the San Francisco Chronicle, about money tips for newly weds. Before making any decisions regarding taxes, insurance, separate vs. community property, retirement accounts, and estate plans, Dave suggests that the couple schedule a time each week to talk about money. “It can be fun,” Dave said. He also provided a several questions that can initiate productive conversations, including:
What is you first money memory?
How did it feel to get your first paycheck?
What did you learn about money from your mother?
What did you learn about money from your father?
“The single biggest cause of strife in a marriage is money,” Dave said. Having such conversations “is the basis for defusing strife and somehow finding your way to the same page.”
In addition to having important financial conversations, Kathleen’s article “Money Tips for the Newly Married” lists eight tasks for newly wed couples to consider before getting married. When it comes to insurance, Dave notes “If you have auto, renters or homeowners insurance, make sure both spouses are named as an insured on each policy. If you have life insurance, change the beneficiary to your spouse, unless you have a good reason not to.”
If you or a loved one is engaged to be married, Yeske Buie can provide a variety of tools for the engaged couple to help start financial conversations so that for rich or for poor, the couple starts off their marriage with a strong foundation.
VIENNA, Va, June 23, 2015 /PRNewswire/ — The Pamplin College of Business at Virginia Tech, ranked in the top 10% of accredited business schools, has named Yusuf Abugideiri, CFP® as co-chair of its inaugural Recent Alumni Board effective June 22, 2015. The Recent Alumni Board of the Pamplin College of Business is a diverse group of young professionals whose work is aimed at advancing the present and future community of Pamplin College. The Board is composed of twenty-five professionals who have graduated from the Pamplin College in the last two to ten years with careers as CEOs, entrepreneurs, managers, and consultants. Members hail from companies across the country including NBC Universal, BB&T, IBM, General Electric, and Boeing. Potential candidates for the board were nominated by staff within the Pamplin College; the Pamplin Advisory Council then selected candidates for the Board based on the candidates’ leadership roles, engagement with the college, professional goals, and community involvement. Only one-third of the nominees were named to the Board.
Yusuf will serve a three year term as co-chair with the Board and will have responsibilities including supporting current students in finding post-undergraduate careers, developing and strengthening relationships with recent alumni, and advocating for the Pamplin College to increase awareness with employers and potential students. He will do this by participating in speaking engagements in various business courses at Virginia Tech and by designing initiatives to be launched in the coming months as the Board devises a plan of action for the coming years.
Yusuf graduated in 2009 after earning a Bachelor’s of Science in Finance from Virginia Tech’s CFP® Certification Education Track, a CFP® Board-Registered Program. Yusuf has been invited back as an alumnus to speak at Virginia Tech on several occasions: he has talked to prospective students at Hokie Focus, to accepted students at Orientation, and to incoming freshmen at Hokie Camp. He has also been a guest speaker in several financial planning courses and information sessions where he meets with students to answer questions and provide advice on effectively using their time in college as a launching point for their careers. “I am most looking forward to being able to give back in a bigger way to the university that gave me so much,” said Yusuf Abugideiri, CFP®. “So much of my success can be attributed to people seeking me out, giving me advice, and being a mentor to me and for that I am very grateful. Now, I want to be that person for someone, or ten people, or one hundred people and being on the Recent Alumni Board gives me the platform to do that.”
Yusuf has been a Financial Planner at Yeske Buie for six years and is a member of the Financial Planning Association® (FPA®). He served on the Financial Planning Day and Career Day committees through FPA’s National Capital Area chapter and is a member of FPA’s NexGen community. He is also a graduate of FPA’s Residency Program. Yusuf is currently pursuing a Master of Arts in Economics at George Mason University. In addition to his visits to Virginia Tech, he also makes regular visits to The Washington Center to speak about financial planning and assist students with their career development.
Dave recently gave his thoughts to Lou Carlozo, contributor for the Huffington Post, to help compile a list of 15 major financial and lifestyle moves you can make to help you retire early. When asked about actionable tips people can use to retire before the standard retirement age, Dave noted that there’s a degree to which the financial forces at work when you plan for retirement are a little bit like the laws of physics: there’s no free-lunch and there are inevitable tradeoffs that cannot be avoided. Specifically, you have three levers or dials at your disposal when you try to manipulate your plan: Time-to-Retirement, Savings-Level, Spending-in-Retirement. Once you set any two of those, the last one is out of your control. If you choose to dial down the Time-to-Retirement dial and aim for an early retirement, you’re left with two choices, you’ll have to either increase your Savings-Level or reduce your Spending-in-Retirement. In this instance, the major financial moves are going to have to come in one of those two realms. Dave’s advice on how to dial down in both of these realms appeared in Lou’s recent article, 15 Ways to Retire Early:
Jump on Employer Stock Purchase Plans
How about some free money? The ESPP typically works by payroll deduction, with the company converting the money into shares every six months at a 15 percent discount. If you immediately liquidate those shares every time they’re delivered, it’s like get a guaranteed 15 percent rate of return,” said Dave Yeske, managing director at the wealth management firm Yeske Buie and director of the financial planning program at Golden Gate University. “Add the after-tax proceeds to your supplemental retirement savings.”
Don’t Let Your Money Sit Idle
To get to an early retirement, you have to periodically revisit your IRA, 401(k) or other retirement account to make sure your money doesn’t grow cobwebs. For example, the way your retirement account is diversified shouldn’t put too much emphasis on low-yield investments — such as money market funds and low-yielding bonds. “Dividends can pile up in the money market account, typically earning one one-hundredth of a percent,” Yeske said. “Make sure your cash is invested properly.”
Start That Retirement Account Today
That is, the earlier the better. Millennials who kick off retirement accounts early will reap big rewards later. A 25-year-old who socks away $4,000 a year for just 10 years (with a 10 percent annual return rate) will accrue more than $883,000 by the time she turns 60. Now then: Can’t you just taste those pina coladas on the beach?
Plan Smart Vacations and Travel — and Invest the Difference
There’s no sense in depriving yourself of every single thing, especially well-deserved time off. But Yeske points out that you can save a ton in 150 countries through a service called HomeExchange.com. “My wife and I have stayed for free in London, Amsterdam, New York and Costa Rica,” he said. “And when you’re staying in someone’s home or apartment, you don’t have to eat out at a restaurant for every meal, so your food costs nothing more than if you were at home.”
“Our deepest fear is not that we are inadequate. Our deepest fear is that we are powerful beyond measure. It is our light, not our darkness that most frightens us. We ask ourselves, Who am I to be brilliant, gorgeous, talented, fabulous? Actually, who are you not to be? Your playing small does not serve the world. There is nothing enlightened about shrinking so that others won't feel insecure around you. We are all meant to shine. And as we let our own light shine, we unconsciously give others permission to do the same. As we are liberated from our own fear, our presence automatically liberates others.” ~Marianne Williamson