I’m 34-years old and barely a millennial. I’ve worked in finance for 10 years, which relatively speaking, is not a long time, but enough to look back with insight and a vested eye on the future. I grew up in Kansas and double majored in History & Sociology at the University of Kansas so I don’t even have a business or finance degree to impress you with. In college, my interests aligned more with understanding socioeconomic status and how groups of people are treated, rather than supply chain management, retirement savings and investment banking. And if I were going to be really honest with you, my biggest concern during my formative college years was making sure there were enough handbills around the KU campus to promote my rock band’s next show at the Granada Theater.
This all changed after my parents’ divorce. Their divorce immediately threw me into the realm of understanding discount points on mortgages, cost basis calculations on taxable investments, and estate and insurance planning in an effort to help my mother. During the marriage, she never earned much and always relied on my father to handle the finances. After the divorce, she had to rely and trust in others. This included an investment professional who, despite my mother being fresh off a divorce, low income, and insufficient savings, put her in a variable annuity. More on that in a minute.
And then there is my wife who, in her late 20’s, also sought guidance in an advisor. At that time, she was single, no kids, had heaps of school loans, zero IRA’s and insufficient emergency savings. Yet, she left a meeting with a trusted advisor with a term AND a whole life insurance policy. What she failed to leave with was a strategy on how to pay off her student loans or a plan for retirement savings.