Valley View Blog

It's All About Control!

Hi all, my name is Chad Nehring, and I’m a Certified Financial Planner™ and “recovering spender.” I’m your new host of the Financial Friday blog that I took over from my former colleague, Nathan Gehring, who has decided that Florida winters are somehow warmer than Wisconsin winters, and joined a firm in Florida.

My goal over the next several hundred Fridays is to share with you some wisdom, some wit, and some practical advice for your finances. You should keep in mind that what I preach is not a “one size fits all” type of scenario. Your situation is bound to be a little bit different than the next person’s, and I encourage everyone to seek the help of a professional financial advisor (preferably a Certified Financial Planner™ professional…I’m a little biased about that!). And yes, if you want to see me in person, you can e-mail me for an appointment or check out the rest of our services at www.cfpi-wis.com or www.myfirstfinancialplanner.com.

For the last 4 years, I’ve been fortunate to have worked on a contract with a firm contracted to the Department of Defense to provide financial education for our servicemembers. I’ve given hundreds of briefings on financial topics, and one common theme is the issue of control.

What’s really in our control?

I think the first step is recognizing what you can and cannot control. Call it the “Serenity Prayer” for finances, if you will.

I, as an individual, have no control over the daily volatility of the stock market. I have no control over whatever “bailouts” our government decides to give, and who they give it to. I have no control over an executive’s salary or stock option awards; nor do I have control over if that executive decides to close a factory that has been employing generations of hardworking employees. No control whatsoever. And that bugs the hell out of me.

I’m a “Type A” kind of a guy. I like to be in control. I like to evaluate, analyze, and then make a decision and move on. Woe to those who get in my way after I’ve made a decision, but as I learned, “Be flexible.” Macro issues in finance are beyond my control. No matter how much the media hypes things up, I still have really no say in the matter.

So, what am I capable of controlling?

Simple.

My emotions and my emotional response to volatility.
My budget.
My spending.
My saving.
My debt.

As we move through the next few Fridays, I’ll address each of these topics, and more. I’ll also give you some practical ideas that you can put into place NOW to help gain some control back.

Until next Friday…getting you on track and keeping you there,

Chad Nehring, CFP®

Chad Nehring, CFP® writes weekly in his Financial Friday column. He can be contacted via email at cnehring@cfpi-wis.com.