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JANUARY/FEBRUARY 2025
Financial Horizons Your Connection for Wealth, Lifestyle & Legacy
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Financial Plans Need Tidying Too WHY FINANCIAL PLANS NEED REGULAR MAINTENANCE
So, here’s a little story: I decided to tackle the pantry. You know how it is — things get chaotic with family life. Empty boxes, open snack bags, and items shoved in wherever they’ll fit. Cans disappear behind stacks of snacks, and there’s always that forgotten item in the back nearing expiration. So, I took nearly an hour to sort it all out, putting every single thing in its place. For a moment, it was perfect — labels facing forward, shelves neatly arranged. And it stayed that way — well, for nearly a week before the chaos crept back in. Just like my pantry, a financial plan is never truly ‘done.’ Many people feel relieved after creating their initial financial plan, thinking that’s all there is to it. But, as with the pantry, life has a way of shifting things around, and it often requires a little maintenance to keep everything in order. It’s no secret life’s messiness is unavoidable, and that’s why financial planning isn’t a one-time project but a continual process.
Think about it this way: A financial plan can’t be a static document in a drawer. While a solid plan may serve as a strong foundation, like my neatly arranged pantry, it needs ongoing maintenance and adjustments. LIFE HAPPENS AND CIRCUMSTANCES CHANGE Just like my pantry started to revert to chaos as new items appeared, your financial plan may need tweaking as life shifts. In the same way kids rummaging for snacks can mess things up, unexpected life events can disrupt financial stability. Take changes in tax laws, for example — new IRS code can impact your tax strategies, requiring adjustments to stay as tax-efficient as possible. Market shifts or changing income needs are other factors that might prompt us to reallocate investments or adapt strategies as your financial picture evolves. Family changes, job transitions, and new plans, like a desire to travel, can also alter your financial needs. And that’s why we see financial planning as an ongoing process, staying responsive to these changes as they come. REGULAR MAINTENANCE FOR YOUR FINANCIAL PLAN That’s where regular reviews, like a quarterly pantry check, come in. Just as I might tidy up my pantry every now and then to keep things easy to find, regular financial check- ins can ensure your plan stays ready for whatever comes next.
Think of these check-ins as a quick reorganization: We assess where things stand, making sure each “item” in your financial pantry is aligned with your current goals and any changes life has brought your way. For example, a check- in might reveal a need to update your investment strategy, adjusting risk to account for changing circumstances. By meeting regularly, we’re able to adjust to changing circumstances with the objective of keeping your financial strategy aligned with your goals. THAT’S WHERE WE COME IN! Here’s the best part: You don’t have to do this alone. Our relationship is here to keep that financial pantry tidy. At McBeath Financial Group, we’re your ongoing partner and constantly think about ways to keep your plan working for you, even as life evolves. When you’re part of our client family, we proactively look ahead for you, make adjustments, and think ahead to what’s next. Through our regular meetings, we continually adjust to life’s changes, with the goal of keeping your financial strategy aligned with your unique goals. For our clients, it’s about ensuring that we’re always positioned to respond to new circumstances and keep your plan on track, like a well-organized pantry. –Krista McBeath
THE ILLUSION OF STABILITY — ‘EVERYTHING’S FINE’ Often, people come in wanting a one-
and-done financial plan, thinking it’ll cover everything they need for the future. And initially, that might feel true — just like a freshly organized pantry can seem like it’ll stay neat forever. But life has a way of surprising us. Health expenses, market shifts, family changes — all these things creep up over time, shifting our priorities. And just like discovering expired food in the back of the pantry, these surprises can throw off even the best-laid financial plans if we’re not checking in regularly.
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Understanding the Future of Social Security
Why You Can Still Count On It
With all the headlines about the potential depletion of Social Security, it’s understandable to feel concerned about whether you’ll receive the benefits you’ve been counting on. While it’s true that the Social Security system faces some challenges, there’s reassuring news: the majority of your benefits are secure, even in a “worst-case” scenario. Let’s look at what’s happening and why there’s no need to panic. THE TRUTH ABOUT SOCIAL SECURITY FUNDING Most of the money used to pay Social Security benefits comes from payroll taxes, not from a “trust fund” that might eventually run dry. Both workers and their employers contribute to Social Security through the Federal Insurance Contributions Act (FICA), each paying 6.2% on wages. So, even if the trust fund reserves are depleted — currently projected for 2035 — Social Security would still pay out a significant portion of scheduled benefits using ongoing payroll tax revenues. Even if no changes are made to the current system, Social Security could still cover about 83% of benefits in 2035, gradually declining to 73% by 2098, according to the 2024 annual report of the Social Security Trustees. Although a reduction in benefits may sound concerning, it’s important to clarify that this doesn’t mean Social Security will vanish altogether — a common misconception. WHY LEGISLATIVE ACTION IS LIKELY Given the importance of Social Security for millions of Americans, especially retirees who rely on it as a major source of income, lawmakers are highly likely to step in to prevent even these partial reductions. Several policy options could help extend the solvency of the program. For instance, a modest increase in payroll taxes or raising the Full Retirement Age (FRA) could significantly reduce the funding gap without dramatic cuts to benefits. According to the 2024 Social Security Trustees’ report, a 3.33% increase in payroll taxes would close the 75-year funding shortfall. Raising the FRA or making slight adjustments to benefits for future retirees could also address the issue. WHAT THIS MEANS FOR YOU For current Social Security recipients, there’s no immediate cause for concern. The system is expected to continue paying full benefits for at least another decade, and even in the event of reductions, you would still receive a significant portion of your scheduled benefits.
financial plan. Many policy changes — such as increases in payroll taxes or adjustments to benefits — are likely to focus on future earnings, meaning they would have a smaller impact on those already retired or close to it. A REALISTIC PERSPECTIVE The headlines may be alarming, but Social Security is not on the brink of collapse. Even in the worst-case scenario, most benefits will still be paid. Moreover, the likelihood of legislative action to protect and sustain the system is high, so you can reasonably expect to receive the benefits you’ve earned. The key takeaway is that while Social Security’s future may involve some adjustments, there’s no need for panic. Your financial plan can adapt to these changes, and with ongoing adjustments to tax policies and benefits, the system will likely remain a crucial part of your retirement income. Social Security benefits are considered an integral part of McBeath Financial Group’s comprehensive financial planning process. However, we are not affiliated with the Social Security Administration and do not provide specific estimates of Social Security benefits. Please note that Social Security rules and regulations are subject to change. Always consult with your local Social Security office before making any decisions based on the information provided in this article. Data and projections referenced herein are sourced from the 2024 Annual Report of the Social Security Trustees and the U.S. Social Security Administration.
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For those nearing retirement or still working, the potential changes are worth considering but shouldn’t lead to drastic changes in your
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Sugar Smarts
SUDOKU
Essential Steps to Balance Blood Sugar as You Age
People tend to pay more attention to their overall health and fitness as they age. If you ignore your aches, pains, and injuries, they’re more likely to worsen, which is why so many of us go out of our way to track specific health measurements. One measurement you should track, especially if you’re showing symptoms of prediabetes, is your blood sugar. Maintaining low blood sugar helps prevent cognitive decline, kidney disease, nerve damage, and more. However, many don’t know how to lower their blood sugar if it’s starting to reach dangerous levels. Here are two lifestyle changes that can help keep blood sugar low while improving other aspects of your health.
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EXERCISE REGULARLY. Exercise becomes increasingly important as we age, but this doesn’t mean you have to go all out every time you strap on your running shoes or go to the gym. Experts recommend that you get around 150 minutes of exercise every week, and it doesn’t have to be any more strenuous than a brisk walk. You’ll see much better results if you pick a routine that’s easy to maintain and follow. CUT BACK ON ULTRA- PROCESSED FOODS. When people try to keep their blood sugar balanced, they usually make an added effort to reduce their intake of sweets. However, nearly all processed carbs pose a risk. Even eating things like bread, pasta, noodles, and white rice can raise sugar levels. Pay attention to what you eat, and your body will thank you.
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INSIDE
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A Little Regular Maintenance Keeps Finances on Track
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Will Social Security Run Out? A Realistic Look at What’s Ahead
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Simple Lifestyle Tweaks to Keep Your Blood Sugar in Check
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Remembering the Great French Mustache Strike
SOLUTION
The Great French Mustache Strike of 1907 Advisory services are offered through Landmark Wealth Management Inc, dba McBeath Financial Group, an SEC Registered Investment Advisor firm. Insurance products and services are offered through McBeath Tax and Financial Services, LLC. McBeath Financial Group and McBeath Tax and Financial Services, LLC are affiliated. All content of this newsletter is for informational purposes only. Opinions expressed herein are solely those of McBeath Financial Group and our editorial staff. Material presented is believed to be from reliable sources; however, we make no representations as to its accuracy or completeness. All information and ideas should be discussed in detail with your individual financial professional prior to implementation. © 2025 McBeath Financial Group.
Workers usually go on strike to improve wages and working conditions. Leave it to the French to mount a historic strike for the right to grow a mustache. A full mustache was a prestigious mark of men’s social class in Europe in the early 20th century. Policemen were required to grow them to project authority and masculinity. Waiters rebelled when restaurant owners forced servers to shave their faces clean as a sign of their lower-class social status. During the dinner hour on April 17, 1907, an
They had support in Parliament, where one socialist deputy proposed a bill to outlaw mustache bans (which also applied to domestic servants and priests). The deputy called the restaurants’ mustache rule “grotesque and humiliating.” After 16 days, restaurant owners caved to servers’ mustache demands and implemented a fairer pay structure. The waiters, however, lost their bid for one day off each week.
constitutional right in France, whether you are a union member or not.
And the mustache had long been a mark of status in Europe. Centuries earlier, Germany only permitted soldiers who had distinguished themselves in battle to grow mustaches. In France, the military requirement to wear mustaches became so strict that soldiers who couldn’t grow one had to wear a fake mustache. No wonder the French waiters took their facial hair so seriously. Being required to shave relegated them to the domestic servant class. As one French newspaper of the time declared, the waiters’ victory secured the right “to finally show that they are men, free men … who can wear at their ease this symbol of the all- powerful male, the mustache. Oh! The beautiful independence!”
estimated 500 servers stopped
The French have long been famously quick to stage work stoppages.
dishing food, took off their aprons, and walked out, clustering on the street as diners looked on.
At 112 days on average, the country leads the industrialized West in days lost to strikes each year. The nation’s strike culture is linked to its history of revolt, including the 1789 French Revolution. Withholding one’s labor is a
The waiters also demanded a share of diners’ tips and the right to take one day off a week.
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