Looking at money through a perspective like ‘blow it, mow it or grow it’ provides some fun rewards and a sense of confidence at the same time. And that’s certainly not boring.
St. Joseph, MO (PRWEB) February 24, 2017
No stranger to being featured in local and national media outlets, Dan Danford, CEO of Family Investment Center, recently wrote a column for the Kansas City Star about how to manage investments related to “surprise” income – such as tax refunds, bonuses, inheritance or even long-shot lottery or game show winnings.
Danford’s column, titled “Blow it, Mow it and Grow it: Tax Refunds and Other Windfalls,” touches on three concepts: splurging on fun items; putting money toward debts, home maintenance and education; and making investments to grow the newly acquired money.
Danford said he is aware that the topic of personal finance has a public perception as being boring, but he rejects that notion. He said the reason many people fail at putting together a strategy for their personal finances is because they envision it as boring.
“The remedy to the boredom challenge is to add some spice toward accomplishing goals,” Danford said. “Looking at money through a perspective like ‘blow it, mow it or grow it’ provides some fun rewards and a sense of confidence at the same time. And that’s certainly not boring.”
In the Kansas City Star article, Danford says money that arrives as a windfall or unexpectedly should satisfy a person’s basic human instincts as well as accomplish some good.
Danford, who has more than 30 years of finance and investment management experience, said people do best when they enjoy their money on splurges, but not all of it. For example, taking a weekend vacation or a cruise might be something that allows people to sufficiently splurge and enjoy themselves without blowing through all the money – the “blow it” concept.
Describing the “mow it” strategy, Danford says part of that money can be put toward more practical expenditures, such as fixing a roof, paying off debt or ordering software that helps track money coming in and out. These tasks and others are considered “maintenance” tasks, similar to mowing the lawn.
The third option is to reroute the money into a retirement account or college fund where compound interest allows it to grow (i.e., grow it). Danford says that many times, maximum growth is experienced through long-term investments of a decade or more. Consistency is key, along with choosing a professional investment advisor who can help maintain a focus on the long-term goals can also boost an investor’s confidence.
However, Danford adds in the article that “growing” money through investing isn’t the only option. “Personal growth is a powerful use for money. Books, lessons, seminars and experiences all bring lasting value for the dollars spent. Some of that value might translate into increased earnings or lower expenses,” says Danford.
Read the full Kansas City Star article here: http://www.kansascity.com/news/business/personal-finance/article131486059.html
About Dan Danford and Family Investment Center
Danford is author of the recently-published book “Stuck in The Middle: The Mistakes that Jeopardize Your Financial Success and How to Fix Them.” The book asks the question “What if your middle class background is holding you back from the financial success you want?” Danford answers the question by explaining that many middle class money beliefs are just plain wrong, and he explains why in simple terms.
Dan Danford serves as Founder/CEO of Family Investment Center, a full-service, commission-free investment advisory firm. Based in St. Joseph, MO, Family Investment Center also serves clients in the Kansas City Northland area and across the country.
Danford holds an MBA and in 2012, he was featured in the book “America’s Top Financial Advisors.” A 2009 Wall Street Journal article outlined Danford’s unique birthday messages to clients, complete with a $2 bill inside the envelope. In 2009, Danford was also quoted on “ABC News” for his insight into how parents can protect funds for their children’s college education. He is a CFP® and was listed as one of the 150 Best Financial Advisors for Doctors in 2008 and 2009 by Medical Economics magazine. A 2006 article in The New York Times quoted Danford’s insights on working with a financial advisor. In 2014, Danford was featured in an article exploring solutions to math anxiety in the Voices section of the Wall Street Journal.