Jul 11 Financial Planner Take on Jobs

Right now, the economic data coming out of Europe as well as the U.S. economy IS very important.

"But, all these numbers don't mean anything to me - Why should I care?"

This is a common comment/question I hear as a financial planner - and believe me I do "get it." I like numbers and am comfortable with them ... but that is not case for many people. I have some really smart friends who just don't think in terms of numbers.

But the data CAN tell you a lot about the challenges and opportunities that you will be facing so unless you'd like to let life hit you in the face and live through some really brutal surprises, somehow understanding what the numbers are saying would be good for your financial future.

That is what a good financial planner can do to help you.

Don't process all the numbers, yourself. Your financial planner should do that work for you. If they are good at what they do, they should also be able to communicate the essense of what the data suggests in a way that you CAN get your head around it and therefore make better decisions with your money.

Jobs Data

Last Friday the latest jobs numbers were released ... and they were ugly. We aren't even keeping up with population growth much less putting unemployed people back to work.

And that Trillion or more dollars we spent to "create jobs" has done nothing, either. It may have stopped us from losing more jobs, but nothing else - and that is a lot of money to spend on nothing.

U.S. Debt Ceiling

The talks about the U.S. Debt Ceiling are also going to be a big factor in growth of the U.S. economy (and jobs) in the near future. The pols in Washington D.C. are having a hard time coming to any agreement. I still think they will come to some kind of deal - but I have no idea how good or bad it will be.

No matter what happens, any kind of meaningful cuts to the deficit will mean a greater drag on our already frail U.S. economy. If you thought the employment picture in this country was bad (I too know far too many people who either are not working or are grossly overqualified for the jobs they have managed to find), it isn't likely to get much better any time soon.

This is just one more reason to brace yourself.

Financial Planning Steps

The first thing your financial planner should be telling you to do is to understand what you already have. What are your financial strengths? Where are you vulnerable?

The second planning step is to protect yourself. Limit exposure to your vulnerabilities. Understand the kinds of threats you are likely to face in the next few months/years and figure out a gameplan you can use to navigate those rough waters and keep the important stuff from getting lost.

If you haven't done so already, register for my weekly investment advisor emails or send me an email and you will receive a free report on simple ways you can save more money without sacrificing anything that is really important to you in your life.

John