By Ted Stricker, CFP®
With the past election year and market volatility, it would be understandable if you felt a little uneasy and concerned about what’s to come as 2025 unfolds. Uncertainty takes many forms and is a constant presence in life, yet it sometimes feels the present turbulence is greater than what we remember from the past.
When it comes to our finances, this uneasiness can lead to emotional decisions or paralysis, since money matters might have a significant effect on our future. Along this train of thought, you might be wondering: How do high-net-worth families navigate in this environment to protect themselves and their wealth?
Start With Having a Plan
Most prosperous families and individuals start with having a solid financial plan that outlines income sources, asset value growth, and how lifestyle expenses will be paid—and also incorporates the inevitable ups and downs of the economy, investment returns, inflation, and potential life events. Planning for these contingencies and minimizing their impact can reassure a wealthy family that their lifestyle and future is stable.
These families also work with a team of advisors and consultants whose collaborative skill and experience can help in making decisions, evaluating adjustments and changes in strategy, and in providing reassurance when tumultuous periods occur. While you may not have the means to utilize legions of such advisors, having qualified tax and financial planning counselors could certainly meet your more modest needs.
Wealthy families also tend to stick to their plan as the foundation of how they manage their money and financial affairs. They live below their means, keep their debt under control, and have reserved emergency funds for the inevitable unknowns that arise.
Keep the Reins in Your Hands
There is the well-known adage that asks for the strength and serenity to accept what is out of one’s control, the courage to change what is within control, and the wisdom to know the difference. Those who have accumulated wealth know this well and focus on what they can control, maintaining balance or equanimity in their lives. The financial markets are a perfect example of this. There are so many variables affecting markets that it’s impossible to anticipate or forecast what will happen next, but carefully crafted portfolios that address unexpected changes in the market may provide some measure of reassurance.
The same attitude should be applied to the current political and economic environment. Our office has already received client inquiries about the coming new Administration and Congress and how they should prepare. While there are some indications of what might transpire, nothing is certain or should be acted upon until matters develop further. In short, accept what is and don’t let uncertainty control you.
Remember to Consider Accountability and Support
One of the most effective ways to stay focused during uncertain times is to build a network of accountability partners. Regular check-ins with trusted family members, friends, and professional advisors can help keep you aligned with your long-term goals and values. Having people who will candidly discuss your decisions and challenge your assumptions is invaluable – they can help prevent emotional reactions and maintain perspective when markets get turbulent. This support system not only provides guidance but also helps reinforce discipline and commitment to your financial strategy. Consider scheduling regular reviews with your advisory team and having open discussions with family members about financial decisions to maintain this accountability structure.
It’s (Mostly) Noise
One aspect about daily life often forgotten is how much access we have to news and media information. In fact, it’s often difficult to escape the daily avalanche of “breaking news” and “must-see” information threads we encounter. While there’s nothing wrong with being informed, much of this has little to do with your individual life and won’t truly affect you, now or in the future.
The wealthy seldom fret about the news-of-the-day or call their portfolio manager to inquire about how a particular event will affect their long-term investments or financial plan. They recognize that today’s big event that spooked the stock market will likely be a distant memory soon and know that their trusted advisor can help them work through difficult market periods.
If You Have Questions, Speak With Us
One of our most valuable services to our clients is serving as a steady foundation during troubled times. We incorporate risk management and uncertain periods within your overall financial planning and long-term goals, and our assistance could be beneficial to your financial future. With our Certified Public Accountants and CERTIFIED FINANCIAL PLANNER® professionals, Bernath + Rosenberg stays current with the latest in tax laws and planning strategies to help you pursue a rewarding and comfortable retirement, according to your unique and special objectives.
To get started and make the most of your hard work, schedule a meeting by calling (212) 221-1140 or email tstricker@brwealth.com.
About Ted
Ted Stricker is a partner and financial advisor at Bernath + Rosenberg, a full-service accounting, tax, and wealth management firm with offices in Monsey, NY, Lakewood, NJ, Cedarhurst, NY, and Miami Beach, FL. The firm demonstrates a personalized approach to custom-tailored solutions and an unwavering commitment to client service. With over 26 years of experience in the financial services industry, Ted manages the firm’s wealth management team, and specializes in designing financial plans for business owners and affluent families. Since joining the team in 2015, he provides practical and sound advice, combining innovative approaches and solutions that reflect clients’ personality, lifestyle, and goals.
For the ninth year in a row, Bernath + Rosenberg has been named as one of the leading CPA firms in financial planning by Accounting Today, a publication that receives hundreds of submissions each year and features the Top 150 Firms in the nation. Ted is a CERTIFIED FINANCIAL PLANNER® practitioner and is a member of the Financial Planning Association. To learn more about Ted, connect with him on LinkedIn.