How to Break into Your Community’s Arts & Culture Scene

Hello everyone,

Hilda Gurney
Dressage Expert

Has anyone had a both humbling and exciting experience recently?  A few weeks ago I got to ride for Hilda Gurney, an internationally-known dressage rider, trainer and judge.  I first heard about Hilda from the lady who really introduced me to dressage in West Texas.  My trainer absolutely loved Hilda and said she was an amazing horsewoman.  So, when I had the opportunity to ride in a clinic with Hilda I jumped at the chance.  For those of you who don’t know, I am taking up my pursuit of dressage as an adult, so I feel a little behind the power curve with my strength and skill –but it doesn’t stop me from working towards my goal of Grand Prix every day.  My ride ended on the second day and Hilda summed up, “You have a great horse and now you just need to learn how to ride.”   All was not lost for me because I have done 90% of the training on my horse so I’ve contributed to our progress in a positive way.  And, learning how to ride is what I’m doing. I have a really nice piano at home but it doesn’t help me play a lot.

Inspiration

I want to share with you an amazing program called Leadership Pikes Peak (LPP) that I am working with in Colorado Springs that is really connecting me with the community.  This month we had Arts & Creativity Day.  My morning began with the concert master playing a violin solo, followed by an Improv teacher from the local theater playing with us “Yes, and then…”  In the afternoon we went to the Fine Arts center and had an art activity and got to see all of the art the museum has in the basement.  Did you know that a museum typically only shows 5-15% of their collection at a time!  Finally we were introduced to a new non-profit organization called Cultural Office of the Pikes Peak Region (COPPeR).  COPPeR has a great newsletter that summarizes all of the cultural events for the week making it so much easier to find a great weekend activity.   Apparently most cities around the country have a similar type of program and it is very cool to be integrating into the community at this level. 

PS.  Kris & I went to see the Colorado Springs Philharmonic with music director Shizuo Kuwahara. 

Personal Wisdom from Me to You

I just read a Harvard Review blog post by Tony Schwartz entitled 6 Keys to Being Excellent at Anything.  I felt like this was speaking to me directly about my journey to learn dressage as an adult.  I can tell you that I may be older but I am more focused on my goal and have a better understanding of what it is I am working to achieve.  I can tell you that for me dressage is inspiring and this positive experience bleeds over into all of my other endeavors—including the focus and creativity I bring to my investment advising business.  Take time this month to find your muse.

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5 Tips You Must Have To Survive the Holidays with Family   High Profile Expert, Author Robert Schwaninger Robert Schwaninger is President of Schwaninger & Associates, Inc., a Washington, D.C. law firm that specializes in telecommunications law.  He is also author of the book "A Married Man's Guide To Christmas".  Mr. Schwaninger has been quoted and interviewed by the Wall Street Journal, Newsweek, the Washington Post, the New York Post and other publications, and was a magazine columnist for nine years on areas related to telecommunications and finance.

5 Things Savvy People Know About Wine—How to Host an Amazing Holiday Event High Profile Expert—Graduate Level Sommelier, Drew Robinson  Drew Robinson is an accomplished wine expert with years of experience supported by top-notch credentials.  Amazingly, a sommelier at only 25, Drew has guided the development of wine programs in 10 different restaurants, has won 7 consecutive “Best of Award of Excellence” (only 800 worldwide), and holds a Level 3 Advanced Certificate by WSET (Wine & Spirits Education & Trust) based in London.  Most recently, The Blue Star Restaurant in Colorado Springs was awarded the “Award of Excellence” from the Wine Spectator under Drew’s leadership.  Currently working as a distributor, Drew knows how to guide people to the right wine and knows what you should pay for a bottle of wine.

Using Social Media to Expand Your Business Network and Add Value to Your Clients High Profile Expert—Entrepreneur, Sarah Martin, International Dressage Trainer and USDF Gold Medalist 

What Your Child Needs to Know about College Networking & Job Search Strategies—Dig the Well before you’re Thirsty!  High Profile Expert from Yale—University Career Services Professional, Kathy Douglas 

Also remember…

If you have questions and would like to learn a little more about me please visit my website www.taraenolan.com.

Cheers,

Tara J

www.taraenolan.com

The College Financing Bear: What are My Options?

Hello Everyone,

We have had an absolutely beautiful fall here in Colorado.  Kris and I have been getting up into the mountains.  We went on a trail ride with our horses, Donzer and Ava, at the foot of Mount Herman in Monument and we went hiking on the Argentine Pass.  We were trying to hike Mount Bierstat but it turns out the road to Guanella Pass has been closed for awhile due to a rock slide.  We were able to see some beautiful Aspen’s fall colors anyway.  My teacher friends are back to school and this brings me to this month’s topic:  Financing College. 

Current Cost of College

For those parents with children already in school, this will not be news but for folks with kids planning for college in a few years here are the current stats according to the College Board’s “Trends in College Pricing.” 

4-Year Public School in State            $15,213

4-Year Public School Out of State    $26,741

4 Year Private School                       $35,636

NOTE:  Under today’s laws, you cannot use student loans (federal or private) to file bankruptcy.

Research Sources

Wow, does this get your attention.  If you have a few years to go before college, you can see what target numbers you need to be saving for now.  But, there have to be a few more options out there.  So where can you find some information?  I found 2 great websites.

1. FinAid.org is designed to answer the question, “How do I finance my child’s education?”

2. FastWeb.com is designed to answer the question, “How to pay for college.” 

The expert behind these websites is Mark Kantrowitz, a noted financial aid and college planning author.  These websites are a great place to start your research.  In fact, it would be great to sit down with your child and look at the websites together.  Regardless of your current financial situation, this is a perfect opportunity to discuss the differences in grants, scholarships and loans.  It’s another chance to go over some decisions regarding loan terms, especially interest rates and payback options.  Arming your child with some financial knowledge will only help in their future endeavors.

Starting Discussion with your Child

One more way to get the discussion going with your college-bound child is a new book that has been in the media recently.   This book is written by a current college senior, Zac Bissonette entitled, “Debt Free U, How I Paid for an Outstanding College Education without Loans, Scholarships, or Mooching off My Parents” discusses how he was able to attend college without loans or direct help from his parents.  College planning is definitely worth researching to get out ahead of the challenges.  There are a lot of considerations and the time arrives more quickly that you think it will. 

Cheers,

Tara :) 

Is a Roth IRA Conversion for You? 5 Things to Consider

Hello Everyone,

Tara & Donzer

Before sharing information with you about Roth Conversions, I want to begin this month’s newsletter thanking my family, friends, and instructors for supporting me in my pursuit of dressage—I couldn’t do it without my team.  I can tell you that the last part of August and this first part of September has been a whirlwind of exciting events.  On the horse front, two exciting announcements.  First, Donzer and I, riding our best test of the year, placed third at the USDF Third Level Adult Amateur Championship.  I particularly enjoyed this ride because Donzer let me drive the whole way without adding any flair of his own.  For those of you that don’t ride I can tell you that when a 1300lb horse decides he is going to “help” there is not a lot you can do in the moment to argue without the judge noticing.  Second, I finally received my USDF Bronze Medal.  I began riding dressage 10 years ago on my quarterhorse, Red.  Red was able to take me through first level, but my new horse Donzer is going to be my partner for the next few years.  I can honestly say that I did not think it would take 10 years to earn my bronze medal scores when I began my endeavor.  Now there’s just a Silver and Gold medal to go!

One the business front, I made the decision to resign from my position with a broker dealer and have established my own company, Tara Nolan Advisory Services, ltd.  I have updated my website and have some more changes on the way.  I am very excited to be driving the train so to speak.  I have very definite ideas of how I want to take care of my clients and now I can provide exactly the kind of service I want to be known for—educational and inspiring!

The first new service I am instating for my clients is a Lifestyle based teleconference series.  I have solicited suggestions for topics from my current and future clients and my first call was:  

Kathy Douglas

What Your Child Needs to Know about College Networking & Job Search Strategies—Dig the Well before you’re Thirsty!  
High Profile Expert from Yale—University Career Services Professional, Kathy Douglas 

You can click here to listen to the call from my website.

I will continue to provide investment tips and food for thought in the monthly newsletters.  I am always open for topic requests and you can send your suggestions to tara@taraenolan.com.  

In this post I want to talk about Roth Conversion 2010:  Is it for me?

This question is challenging to answer in a purely mathematical way because assumptions have to be made and none of us has a crystal ball to know exactly what the future holds.  If you Google, Roth IRA conversion calculators, you will find a huge list of options.  In a sweeping generalization, one of the biggest assumptions is future tax rates.  If your future tax rate is significantly lower, then the conversion may not save much money.  However, it taxes rise, then a conversion is a simple yes answer.  You will also want to discuss with your advisor and possibly your CPA how you will handle paying the taxes incurred by a conversion to a Roth IRA. Let me break out these considerations for you:

5 Reasons Clients Should Consider at Least Partial Conversions

THOUGHT #1: Estate planning options: Roth assets left to heirs maximize the Roth benefits because of the longer period of tax-free build up. The tax payment itself lowers the value of the estate and consequently reduces estate taxes. We don’t know if or when the estate tax will be reinstated. There's something very satisfying about leaving a legacy that is free of all encumbrances.

THOUGHT #2: Live with your current Tax Rate: You know what you’re paying today and you are obviously making it work.  Do you want to take the chance that your taxes might go up and you’ll have to pay the higher rate on withdrawals from a Traditional IRA?  Or, do you think your tax bracket will be lower when you retire? Only you can answer this question for yourself. 

THOUGHT #3: Tax Diversification: When you have a variety of accounts from which to draw retirement income, taxable, tax deferred and tax free, you have much more flexibility in arranging your taxable income. We can't know for sure what tax rates will be in the future, but if they do go higher, a Roth conversion done now will hedge against that possibility.

THOUGHT #4: Tax Flexibility: With a Traditional IRA you are required to take dispersals which will contribute to tax basis for the year.  If you have a Roth IRA you have a source of income that will not impact your taxes. This can become a factor when you start receiving Social Security or Medicare.

THOUGHT #5: The Future of Tax Legislation: As the nation struggles with high deficits, our taxes may change. We've recently seen the new health reform law add a 3.8% Medicare tax on unearned income starting 2013 for high income households. To save on this and other potential tax hikes, it just makes sense to have a source of tax-free income alongside your taxable and tax-deferred accounts.

Of course, there are always exceptions:

• Income needs: If you need income from the IRA now or will soon, you probably shouldn't convert. It takes time to recover from the conversion tax hit. The longer the assets can remain invested, the more advantageous the Roth will be. Also, if you are close to retirement and know you will definitely drop to a lower tax bracket (confirm with a CPA), you probably shouldn't convert.

• 10% penalty: If you are under 59½ and do not have outside funds to pay the conversion taxes, there would be a 10% penalty on any funds that are taken out of the traditional IRA and not put into the Roth.

Also remember…

Make sure you’ve made your appointments for your annual financial plan review.  And, if you’re not already working with me, feel free to make an appointment for an initial free consultation.

If you have questions and would like to learn a little more about me please visit my website www.taraenolan.com.

Cheers,

Tara J

www.taraenolan.com