I want to share an email I received from a couple currently working in Boston, but live in Rockford, IL.
The couple was looking for help in getting their investment game plan in order. Here is an example of a young couple, married for 3 ½ years. The wife has been a stay at home Mom for the last 2.5 years, and the husband is a “contract” nurse. The family never stays in one location for more than 3 or 4 months at a time.
Their story reminds me of ancient nomadic people who don’t stay in one place. Sometimes they’re in Boston, Illinois, or Alaska.
Here are excerpts of their email:
“Dear Bill, My husband has been working so hard and we truly have so much to be grateful for! While that has been very tough on family life, we have managed to live as frugal as possible, and have managed to pay off $90,000.00 worth of college school loans”.
She goes on to say;
“I was brought up in a single parent home on welfare, food stamps, Medicaid, the works. It was a hard situation to be in but I’m thankful for the motivation it gave me to build a more financially stable future for our family! My childhood was wonderful in many ways, but it was a struggle, and I know if we put in some effort and exercise patience, we can do greater things.”
We scheduled a Skype video conference call, and one of the things they credit for getting out of debt, is following The Seven Baby Steps of Dave Ramsey. Dave Ramsey provides biblically based, common-sense education and empowerment that gives HOPE to everyone in every walk of life. The book is available on Amazon for .01 & $3.99 in shipping.
Dave Ramsey’s method of paying off debt is to ignore conventional wisdom which says to attack the highest interest rates first. Dave says to ignore the interest rate and focus on reducing your debt, lowest amount to highest. Then once the smallest debt is paid off, you start making extra payments on the next largest debt. It creates a snowball effect on debt. Proceed in this fashion by gaining momentum, until you are completely out of debt.
It took 3 years, but now this couple is out of debt, and opened Individual Retirement Accounts with $5,500. Now they’re saving; not spending their tax refund. The husband credits his wife for all the hard work and sacrifice. They’re saving for a house.
This couple has so much passion and drive, that Cenacle Capital is “suspending” our minimum size just to take them on as clients.
For example, a $10,000 account is going to pay $125 annually. There is no excuse not to hire an advisor for $125.00 a year. Our fee works out to less than going out to the movies once a month or a one year subscription to Netflix.
I have a whole new perspective towards new investors. I feel more now than ever, that I have an obligation to provide portfolio management services for anyone who asks for and is willing to take it. Contact us if you are passionate about investing!
Bill