What if you could focus on just two key lessons to build and protect your wealth? Rory O’Hara, CFP®, CRPC™, founder of Ausperity Private Wealth, shares decades of financial expertise in this quick and insightful video.
- Pay yourself first.
- Prevent taxes from eroding your wealth.
These simple yet transformative lessons can make a significant impact on your financial journey.
Video Transcript
Two Core Lessons for Wealth Management
Every day at Ausperity Private Wealth, we consult clients on many different retirement strategies. But if I could narrow down wealth management to just two core lessons, they would be to pay yourself first and understand how to prevent taxes from eroding your wealth.
Why Paying Yourself First is the Key to Building Wealth
My advice to pay yourself first isn’t just a simple rule. It’s a fundamental philosophy I recommend to all my clients for building wealth. I think of it as a philosophy because paying yourself first means you prioritize saving and investing before you shell out money on discretionary spending. By considering savings and investments as necessary expenses, you can make consistent contributions towards your financial objectives.
Creating a Proactive Approach to Saving
All it takes is a proactive, disciplined approach. Start by determining how much of your income you want to allocate towards saving and investing. This percentage you come up with should include your goals, such as retirement savings, a large purchase or a down payment on a first home, maybe even a specific vacation.
Automate Savings for Long-Term Success
Then, set up automatic transfers from your checking account to your savings or your investments on payday. That’s it. Just remember to regularly review and adjust your percentages as your priorities change.
Minimize Tax Erosion with Strategic Wealth Management
The second wealth management tip is understanding how to mitigate your tax burdens. It’s true that taxes can significantly erode your wealth over time, reducing your potential for growth and the rewards of compound interest. Things like capital gains taxes, income taxes, and estate taxes all contribute to wealth erosion.
Strategies to Lower Your Tax Burden
But the good news is there are ways to mitigate this tax impact.
- Utilize tax-incentivized accounts such as 401(k)s and Roth IRAs.
- Consider Roth conversions and health savings accounts.
- Leverage charitable contributions, estate planning, and strategic tax-loss harvesting.
Keep More of Your Wealth for a Prosperous Future
These strategies can all lower your tax obligations. The goal is for you to keep more of your hard-earned money and give less of it to Uncle Sam, putting it to work for a prosperous financial future.
Why Partner with Ausperity Private Wealth
With over 40 years of experience, our young and dynamic team at Ausperity Private Wealth has proven to be invaluable partners to our clients. Visit our website at ausperityprivatewealth.com to book an appointment to discuss not only these tips but others to help you unlock the true potential of your wealth.
