Kevin L. Matthews II is a certified financial planner, number one bestselling author, and former financial advisor. Kevin holds a bachelor’s degree in Economics from Hampton University, obtained a certificate of financial planning from Northwestern University and a certificate in disruptive strategy from Harvard Business School. He has helped hundreds plan for their retirement in addition to managing more than $140 million in assets during his advisory career. By 2017, he was named one of the Top 100 Most Influential Financial Advisors by Investopedia. Kevin launched BuildingBread in 2010, to inspire millennials to set, simplify and achieve any financial goal. He joined us on Paychecks & Balances this Financial Planning Month to share his unique perspective on investing and personal finance. In this episode you’ll learn where and how to start investing with little money, financial trends to avoid, how to plan for the death of your parents or in-laws and Stock Market points vs. percentages.
- Figure out what you want to do with your finances. Are you looking to save, invest or pay off debt? The answer doesn’t have to be permanent and will vary with age and stages of life.
- Investment trends to avoid, like Cryptocurrency, penny stocks and the latest fad, the marijuana industry.
- African Americans tend to invest more in real estate than the stock market, which can be advantageous in a rising real estate market but can hurt you financially if you’re not taking advantage of a rising stock market due to historic factors, like redlining: the systematic denial of various services to residents of specific, often racially associated, neighborhoods or communities, either directly or through the selective raising of prices.
- Paper Trading by Investopedia is a great resource for beginners looking to invest but are confused or skeptical of the stock market. Paper Trading is a game that allows you to invest in real stocks with fake money, as a way to learn about the stock market.
- CD’s are a safe investment, however, you’re only going to make a couple percent on your money each year, barely higher than inflation rates.
- Sit with your spouse and discuss a strategy to help take care of the family for when your parents or in-laws pass away.
- Stock Market corrections happen every ten years on average. A correction is a decline of 10% or more. A stock market crash is when the market drops 20% or more.
- Stock Market percentages are what experts track and analyze, not points, which is a media buzzword.
- When you’re younger you’re going to want to put more of your income into investments. As you age you want to your income to savings ratio to eventually level out to 50/50.
- Your employer is the best place to get started investing. Most companies offer some type of 401k or investment plan. It’s a great jumping off point if you don’t know anything about investing.
The Takeaway: Avoid get rich quick investment trends, use your employer to invest, plan for the passing of your parents and don’t worry when the stock market drops a couple hundred points.
Kevin Matthews on Social Media:
- Website: BuildingBread.com
- Course: How to Start Investing in Just 3 Days
- Facebook: BuildingBread
- Instagram: BuildingBread
- Twitter: @BuildingBread
References from the Show
- The Beginner’s Guide to Investing ft. Kevin Matthews on His & Her Money
- Kevin Matthews Speaks with Experian: The Importance of Investing
- Investopedia’s Free Stock Simulator
- Forbes: Are You Your Parents Retirement Fund?
Our Fav Tools and Resources
- We created a free guide, The 15 Minute Paychecks & Balances Money Plan: Your Guide to Financial Freedom, exclusively for our email subscribers. Sign-up today and see why just 15-minutes can change the next 15 years of your life.
- Struggle saving money? Sign-up for Digit today!
- Digit analyzes your spending and automatically saves the perfect amount every day, so you don’t have to think about it. Read more on why we like this great tool.
- Need to collect money or invoice clients? Sign-up with Square!
- Marcus Debt Free or Die Trying book series is available on Amazon.com.
- Support Rich for #SXSW2018! It’s easy!! Just visit PickThisPanel.com, follow the instructions, and let’s send Rich to Austin Texas to spread the P&B greatness!!!
- Visit our *updated* PATREON page for more info! We revamped the page to include a new tier system and even more exclusive information for subscribers. We’re raising funds to grow the show so we can create more great content that helps you get ahead professionally and financially.
Support Paychecks & Balances
- Use PaychecksAndBalances.com/GBR to read all of Marcus GoBankingRates “Smart Money Squad” articles.
- Visit our Debt Free page for more info on available tools and resources. Want us to design a personal finance or career seminar tailored to your group? Contact us!
- LIKE us on Facebook.com/PaychecksandBalances or follow us on Twitter @PayBalances @IamRichJones @THEMarcusGarret and Instagram
Get Our Money Plan
Get our FREE 15-Minute Money Plan today! You'll also receive actionable work and money tips and interesting reads that'll keep you professionally and financially woke.