Kemp Harvest Financial Group Harvest News

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1 Kemp Harvest Financial Group Harvest News Quarter 2, Small Ways to Save Big Money Instead of focusing a lot of effort on making many changes to your spending habits, these six areas of your financial life can yield big savings and earnings with just a few small tweaks. Insurance Many insurance carriers offer a bundling discount if you purchase multiple insurance plans through them. If you have two cars, insure both with the same firm and consider using that firm for your rental or home owners insurance too. Ask your broker for other discounts you might be eligible for. Another great way to save on auto insurance is to increase your deductible to lower your monthly premiums. Your Home If you re currently looking for a new home, try to purchase one that costs less than what you think you can afford, and don t forget to factor in association fees, taxes, homeowners insurance and other costs that come with owning a home. If you already own a home, consider refinancing to potentially save hundreds each month. Finally, making your home safer (such as by installing a smoke detector) can decrease your home owners insurance premiums. Debt Payment If you can, pay off your credit card bills in full each month so you won t ever have to pay interest. To prevent having to put large amounts of money on a credit card with a high interest rate, save up an emergency fund for unexpected expenses. If you ve already charged a sizeable debt, develop a debt repayment plan and work it into your budget so you can pay off your cards as soon as possible and pay less interest in the long run. If you re in good standing, it s worth it to contact your credit card company to request a lower interest rate. Spending Plan Think of your budget as a way to organize your spending, not necessarily limit it. You can automate your finances to make sure your savings and investing goals are always met and your bills are always paid on time. This will save you money by avoiding late fees and penalties. By having a budget, you re less likely to waste money on purchases you ll later regret. Automate your finances to make sure your savings and investing goals are always met and your bills are always paid on time. Taxes Make sure you re taking advantage of applicable deductions and credits. To lower your taxable income, contribute money to a 401(k), IRA, or 529 plan. To minimize your capital gains tax, consider selling some of your investments at a loss but make sure you re not using taxes as your main motivation for selling. Another easy way to get a tax deduction is to make a charitable contribution. Finally, a Health Savings Account is continued on next page

2 a tax-free way to save money for health expenses. The money goes into the account tax-free and is exempt from taxes upon distribution. Investing The best way to get a return on your investment is to start early. Open a retirement plan and begin contributing as soon as possible so your money can experience the magic of compounding that only happens over time. Keep in mind that frequent trading and investing small amounts over time may cost more in commission and fees. Research the fees associated with your investments to make more strategic decisions or consider switching to a lower cost plan. Sometimes the smartest financial moves (such as investing or buying insurance) can quickly eat away at your budget. By making small changes in these six areas, you can save significant amounts of money without significant effort. Food for Thought Money is another pair of hands to heal and feed and bless the desperate families of the earth. In other words, money is my other self. Money can go where I do not have time to go, where I do not have a passport to go. My money can go in my place and heal and bless and feed and help. A man s money is an extension of himself. -Author Bruce Larson It s time for Spring Cleaning and we are ready to help! Not everyone has a shredder at home, and shredding services can be expensive - feel free to bring your old tax forms, financial records, and documents with Personally Identifiable Information to our office. We will securely shred and dispose of your documents for you! If you have any questions, please call our office at (215) Be sure to mark your calendars with our upcoming events! Client Appreciation Event Philadelphia Trolley Tour, Philadelphia, PA Saturday, April 16th, Invitation Only Social Security Workshops Henning s Community Room, Harleysville, PA Thursday, April 14th from 1-3pm Monday, April 18th from 6-8pm Client Open House Kemp Harvest Office, Harleysville, PA Saturday, September 24th To register, please contact us at (215) or Heather at wismer@kempharvest.com. For more information on any of our events, visit the Upcoming Events page found at.

3 Teaching Kids About Money As a parent, it s your responsibility to teach your children about the world, including how to manage money. Financial literacy is one of the most important lessons you can impart on your children to make them successful in adulthood. Raise fiscally responsible children by teaching them the right lessons for their developmental level. Teach them the basics from a young age, and build on them as your children grow up. Young Children: 2-7 years old You can decide how early to begin teaching your child about money. Some experts suggest beginning as soon as a child shows an interest in money or starts asking for things at the store. You and your child should work through these educational goals during this period in the following ways: Recognizing money: Your child needs to be able to identify different coins and bills and differentiate between the value of each. Making correct change: Teach your child how to add and subtract money using bills and coins (real or pretend). Saving for a goal: If your child gets an allowance, help him or her stash some or all of it away in a piggy bank with a specific purchase goal in mind. Young children learn by modeling behavior, so take any opportunity you can to show your child your own responsible money use point out the cheapest options at the grocery store or tell the child what your savings goals are. Young children also learn by playing games, so try turning your living room into a store, or clipping coupons together. Elementary Age Children (8-12 years) Older children have more experience with math and a bigger capacity for understanding how money works. Now is the perfect time to teach your child where money comes from, how to earn it, and how to manage it. Banking: Open a bank account for your child and make regular trips to the bank together to deposit money for savings. As an incentive for savings, consider matching your child s savings contribution. Budgeting: Teach your child the difference between needs and wants, and help him or her allocate allowance money among savings, spending money, and charitable contributions. Smart shopping: Children need to know about comparison shopping, unit prices, coupons, generic goods and how value is tied to price. Have your child help you decide between comparable products at the store based on quality and price. Providing a weekly or monthly allowance is a great way to help children practice these new skills. It s important for your children want to budget and save money on their own, so they ll continue the practice when you re no longer controlling their cash flow. Teenagers (13-19 years old) By the time a child becomes a teenager, he or she is ready to learn about the more complex aspects of finances. Prepare your teenager for adulthood with these final fiscal lessons. Checking: Make sure your teen has his or her own checking account before college. Teens should be able to write checks, balance a checkbook, and avoid overdrawing. Getting a job: The best way for a teenager to learn the value of a dollar is to earn money from a job. Your child will practice skills such as interviewing and working with others, and they ll have a better idea of what their money is worth when they earn it themselves. Investing: Open an investment account for your child start simple with a money market account, CDs or savings bonds. Teach your child about the stock market and introduce the concept of diversifying. If you re responsible with your own money and model that behavior to your children from an early age, they will most likely follow suit. Keeping the lines of communication and education open is the key to ensuring that your children grow up fiscally literate. This article was written by Advicent Solutions, an entity unrelated to Kemp Harvest Financial Group. The information contained in this article is not intended to be tax, investment, or legal advice, and it may not be relied on for the purpose of avoiding any tax penalties. Kemp Harvest Financial Group does not provide tax or legal advice. You are encouraged to consult with your tax advisor or attorney regarding specific tax issues Advicent Solutions. All rights reserved.

4 Title: Business Development Manager Start Date: February 14th, 2011 Hometown: Warrington, Pennsylvania Employee Spotlight Three Words to Describe You: Loyal, Enthusiastic, and Decisive Get to know Melissa Tamaro! Family: I am loved by my amazing family: my daughter, Sam (22), my son, Nicholas (15), my boyfriend, Sean, and his daughters, Alex and Farrah. Hobbies: I love traveling, spending time with my family, and watching movies. Favorite Part of the Job: I am thrilled about my new role as Business Development Manager. I treasure the relationships that I have with our clients, and I envision extraordinary things for KHFG s future! Name One Thing On Your Bucket List: Have a home at the beach! From left to right: Sean, Farrah, Nicholas, Melissa, and Sam We are thrilled to announce Melissa s new role as Business Development Manager! Melissa is an invaluable member of our team, having taken on many different roles throughout her 5-year tenure. In Melissa s new role, she will be responsible for developing and maintaining long-lasting relationships with all of our clients. She is responsible for overseeing the client experience and will be available to clients and staff alike as a general resource for client support and questions. Since we opened our doors to your friends and family and clients outside of Verizon, our staff has been steadily growing. Melissa s role throughout this growth is to ensure we re providing the same family feel and experience you have become accustomed to when working with KHFG. Melissa s door is always open, so feel free to stop in and say hello next time you visit us!

5 What s going on in Quarter 2? April 18 - Tax Day 27 - Administrative Professionals Day May 8 - Mother s Day 30 - Memorial Day June 14 - Flag Day 19 - Father s Day Quotes Corner Want to learn more? Visit our YouTube page to see a brand-new series of videos created with you in mind! The 3 P s of Financial Planning 4 Ways to Classify Assets Average vs. Real Rate...just to name a few! H ave you heard us on the radio? Tune in every Saturday morning at 8:00am on WNPV AM1440 to hear Mark & Todd s radio show, Retirement Plain and Simple! Find us online! /Harvest-News Securities and advisory services offered through LPL Financial, a Registered Investment Adviser. Member FINRA/SIPC. LPL #

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