CCybulski, CFP®

Former journalist current Financial Planner and CFP® helping business owners and equity compensated folks who need a plan, process, and partner.

[CCybulski, CFP® @cybulski_c]

One huge red flag in family buy-outs I've seen are settling up kids to fail. I've seen parents put their kids in charge who aren't ready to lead. Remember, you built this business.

[CCybulski, CFP® @cybulski_c]

Selling to your employees could be a great way to exit your business. An Employee Stock Ownership Plan isnt for everyone though. Your business needs to be a certain size, have stable/profitable income, and a strong core management team.

[CCybulski, CFP® @cybulski_c]

RSU's are taxed as ordinary income in the year they vest. This means you're taxed at YOUR tax rate.

[CCybulski, CFP® @cybulski_c]

Fees are still such a mystery to most investors. We need to do better as an industry. My one suggestion is put internal expenses on statements. Anyone have any other ideas?

[CCybulski, CFP® @cybulski_c]

Studies have shown that 85-90 percent of returns can be attributed to asset allocation, and not to choice of instruments.

[CCybulski, CFP® @cybulski_c]

The main problem I have with employer sponsored plans (401k/403b) is that the employee bares the responsibility. I think it's a dangerous amount of responsibility for the average person.

[CCybulski, CFP® @cybulski_c]

What if we forced employees to save X% into a 401k? Would the country be better off?

[CCybulski, CFP® @cybulski_c]

The sad truth for many is that an early death is a major part of their retirement plan.

[CCybulski, CFP® @cybulski_c]

Here is a sobering fact about NOT saving for retirement. You can face a future of working indefinitely in an uncertain job market, and depend on government programs that are perpetually threatened by government cuts.

[CCybulski, CFP® @cybulski_c]

Did you know that the 401k was created in 1978? Seems pretty recent.

[CCybulski, CFP® @cybulski_c]

This is most people's investment policy: "Beat the market every year, predict each crash and get out of the market before it, time the bottom, buy the best companies each year." Unfortunately batting 100% on those terms is impossible in the long term.

[CCybulski, CFP® @cybulski_c]

Retirement planning is easy. All you have to do is:
-predict when you'll retire, be laid off, can't physically work.
-Predict when you'll die
-Save enough for an ambiguous set of goals.

Anyone can do it.

[CCybulski, CFP® @cybulski_c]

Let's say your business is worth $3mm and your basis is $1mm. So, when you sell you have a gain of $2mm. (Yes, It's more complicated than this). When you die your heirs get a 'step-up' in basis to the value at your death.

[CCybulski, CFP® @cybulski_c]

If you're a business owner who won't leave your company until you die, you may be in luck. Passing that equity after death and letting your heirs sell could save them a ton of taxes.

[CCybulski, CFP® @cybulski_c]

Financial planning is a waste of time until you waste years investing without a purpose.

[CCybulski, CFP® @cybulski_c]

Many people who have gone to cash earlier this year, but plan on getting back in the market at some point. They ask "when is the best time to invest?" I ask them when they need the money. Start with your time horizon and risk tolerance.

[CCybulski, CFP® @cybulski_c]

There is nothing easier to sell than doom and gloom.

[CCybulski, CFP® @cybulski_c]

If you are a DIY investor, a financial planner can help. DIY couple saved well and built an amazing portfolio, but didn't have a will, life insurance, or thought through roth conversions. We helped them put a plan together and connected them to the right pros. They're good to go!

[CCybulski, CFP® @cybulski_c]

What is the easiest "estate-planning" you can do? Add beneficiaries to your accounts. That was they can pass "outside" of probate. It is so simple to add them, and you'll save your loved ones a lot of time.

[CCybulski, CFP® @cybulski_c]

I see very few retirement plans that account for home repairs/remodels. Roofs need changings, A/Cs break, kitchens and bathrooms need updating. If you really have a "holistic" plan, you should account for some basic things.