God's Got a Blessing Waiting For You.
Interview with Mrs Lynne henning
The Black Financial Advisors Network (BFAN) interviewed our very own Lynne Henning and we say congratulations.
The Black Financial Advisors Network (BFAN) has such a strong sense of purpose, and we know we will emerge from the pandemic stronger than ever. We are ready to move forward with renewed commitment to working toward our founding goals: to recruit, develop and retain the best and brightest among Black professionals in financial services.
Interview with Lynne Henning
LYNNE HENNING Vice President, Investments Smith Campbell Group of Raymond James Jackson, Tennessee Husband: Jeff Children: Jocelyn and Janita Grandchildren: Autumn, Gavin, Donovan, Maddox and Haylyn, Ava, Mason and Skye: Lynne is a member of Progressive Community Baptist Church where she serves as the church clerk. She serves on the board for Hands Up Preschool and on the Business Advisory Committee for Jackson State Community College. She is a former board member of Area Relief Ministries, City of Jackson Micro Loan Committee, Jackson Family YMCA, and Talks Mentoring Program. Lynne is a member of the Jackson Exchange Club and a past president of the Jackson Exchange Club. Honors: Lynne was a recipient of the 2013 Sterling Award, which is given to the 20 most influential women in West Tennessee. Interests: Golf, travel and spending time with her grandchildren
Lynne Henning was 6 when her father, who ran grocery stores, taught her to make change for customers. In her 10th grade business class, she recalls being the only one excited about balancing a check book. She has always been intrigued by money. After many years in banking, including managing a main office for several years in her hometown of Jackson, Tennessee, someone she trusted asked her to be his partner at Morgan Keegan – to be a financial advisor. And though Lynne would never question that every step in her life has its purpose, she does wish she’d found her way to being a financial advisor earlier. Twenty years later, she is still too often the only Black financial advisor in the room. After Raymond James acquired Morgan Keegan, Lynne became a member of the Women’s Financial Advisor Network and was encouraged by the formation of the Black Financial Advisors Network (BFAN) a few years later. As a member of the BFAN Advisory Council, she is determined to see more people of color enter the financial services industry.
Q. How did you come to a career as a financial advisor? My father ran a couple of community grocery stores, and I was always underfoot. I knew I wanted to pursue a career working with money, but I didn’t know what direction it would lead me. I spent many years in banking. My first job out of college was at Norwest, where I met the person who is now my partner, Jonathan Campbell. I was his boss and he told me he didn’t plan to be there long because he wanted to be a financial advisor. Years later, I was managing the main office of a bank in Jackson when he asked me to come work with him as a partner in 2001. I did the training and passed all my tests. It was a difficult time because the markets were in a downturn after 9/11, but I persevered and I look up and it’s 20 years later. I’ve enjoyed every moment of it.
Q. What challenges did you face? I had to hustle and get out there and find business, just like everybody else does. I had to meet people and network and let them know who I was, even though I had built relationships with people in banking. There were people who didn’t want to talk to me because of my color. Unfortunately, we live in an environment where that still exists. I move on to the next thing. It’s more their loss than it is mine. I don’t seek to change anyone’s mind or perception of me. I’m 63. That might have been the case earlier in my career, but not at this stage. I’m very secure in who I am. “Having somebody I know can be a sounding board that will understand where I’m coming from, not just as a woman, but as a Black person. It’s so valuable to have those relationships. ”
Q. How often were you the only Black person in the room? That was the case my whole career until the Black Financial Advisors Network. And there are still too few people of color in this industry – not just at Raymond James, but as a whole. I believe only 1% to 2% of the advisor population is people of color. I was the only Black officer at the bank. I was the only Black manager. Sadly, 40 years later, it’s still that way to some extent. Thankfully, Raymond James is making an effort to try and shed some light on that.
Q. What can we do to bring more people of color and more women of color into financial services? Whatever efforts were taken with the Women Financial Advisors Network, it’s the same. The women’s network has been around for more than 25 years. We didn’t have a women’s network at Morgan Keegan, so it’s a tremendous resource. Now, we need to have the same efforts with people of color. We need to have a presence at the HBCUs, the historically Black colleges and universities.
Our industry is kind of a phantom for people of color – they don’t think of it as a career choice. Even with Jonathan insisting and even though I was an investor, I was still hesitant at first to go from a salaried position to commission. But I’m sure glad I did. Every opportunity I have to speak to young people about considering being a financial advisor, I take it.
Q. What makes being an advisor a great choice for you? I love working with people. I love the opportunity to help people see their goals come to fruition. I love having a relationship with someone where they will entrust their children’s finances and future investment goals with you. It’s a source of pride to say I’m a financial advisor. I wish I was 20 years younger and I could work 20 more years. But I know that my time is winding down before too very long. Maybe.
Q. What role does BFAN play in your work life? I’m on the Advisory Council, and that has been rewarding to know I have been a part of helping to set standards for the firm in coming up with ideas that promote Black financial advisors. It’s valuable having a community of people who can relate to situations and maybe the problems I’ve experienced. Having somebody I know can be a sounding board that will understand where I’m coming from, not just as a woman, but as a Black person. It’s so valuable to have those relationships.
Q. What is the relationship between increasing the number of Black financial advisors and creating wealth in the Black community? Both of those go hand in hand. My father, who is 92 years old, was always a CD-buying, bank-account saver. He never invested a single dollar in the stock market until I came to work here. One, he didn’t know anyone. Two, he didn’t know anyone he could trust to invest his money. When you have people who look like you and come from where you come from, it’s easier. I had a new client recently who said, “I’m so glad my aunt referred me to you. I can look you in the eye and you’re not using language I don’t understand.” I want to help people participate in that wealth building system we call the investing world.
Q. You have eight grandchildren – can we assume they understand the value of investing? Oh, yes. Anytime we talk about money, it always leads to investing. With my daughters, who are 40 and 42 now, it was always about making sure they paid their bills on time to make sure they had good credit. They understood that good credit could take them a long way, make it possible to buy houses and cars. They’ve both done extremely well and now they are both investors, as well. With my grandchildren, who are ages 3 to 20, I talk to them about investing every opportunity I get. The two oldest have accounts and I buy them stocks for their birthdays and for Christmas. They still spend their money on things that I don’t think are necessarily the best things to spend money on, but at least they got started. They can’t say they don’t know about investing – and I’m trying to help them see the power of investing.
Establishing a Budget: LYNNE.HENNING@RAYMOND JAMES.COM
Additional Information
Establishing a Budget
Do you ever wonder where your money goes each month? Does it seem like you're never able to get ahead? If so, you may want to establish a budget to help you keep track of how you spend your money and help you reach your financial goals.
Examine your financial goals
Before you establish a budget, you should examine your financial goals. Start by making a list of your short-term goals (e.g., new car, vacation) and your long-term goals (e.g., your child's college education, retirement). Next, ask yourself: How important is it for me to achieve this goal? How much will I need to save? Armed with a clear picture of your goals, you can work toward establishing a budget that can help you reach them.
Identify your current monthly income and expenses
To develop a budget that is appropriate for your lifestyle, you'll need to identify your current monthly income and expenses. You can jot the information down with a pen and paper, or you can use one of the many software programs available that are designed specifically for this purpose.
Start by adding up all of your income. In addition to your regular salary and wages, be sure to include other types of income, such as dividends, interest, and child support. Next, add up all of your expenses. To see where you have a choice in your spending, it helps to divide them into two categories: fixed expenses (e.g., housing, food, clothing, transportation) and discretionary expenses (e.g., entertainment, vacations, hobbies). You'll also want to make sure that you have identified any out-of-pattern expenses, such as holiday gifts, car maintenance, home repair, and so on. To make sure that you're not forgetting anything, it may help to look through canceled checks, credit card bills, and other receipts from the past year. Finally, as you list your expenses, it is important to remember your financial goals. Whenever possible, treat your goals as expenses and contribute toward them regularly.
Evaluate your budget
Once you've added up all of your income and expenses, compare the two totals. To get ahead, you should be spending less than you earn. If this is the case, you're on the right track, and you need to look at how well you use your extra income. If you find yourself spending more than you earn, you'll need to make some adjustments. Look at your expenses closely and cut down on your discretionary spending. And remember, if you do find yourself coming up short, don't worry! All it will take is some determination and a little self-discipline, and you'll eventually get it right.
Monitor your budget
You'll need to monitor your budget periodically and make changes when necessary. But keep in mind that you don't have to keep track of every penny that you spend. In fact, the less record keeping you have to do, the easier it will be to stick to your budget. Above all, be flexible. Any budget that is too rigid is likely to fail. So be prepared for the unexpected (e.g., leaky roof, failed car transmission).
Tips to help you stay on track
- Involve the entire family: Agree on a budget up front and meet regularly to check your progress
- Stay disciplined: Try to make budgeting a part of your daily routine
- Start your new budget at a time when it will be easy to follow and stick with the plan (e.g., the beginning of the year, as opposed to right before the holidays)
- Find a budgeting system that fits your needs (e.g., budgeting software)
- Distinguish between expenses that are "wants" (e.g., designer shoes) and expenses that are "needs" (e.g., groceries)
- Build rewards into your budget (e.g., eat out every other week)
- Avoid using credit cards to pay for everyday expenses: It may seem like you're spending less, but your credit card debt will continue to increase
Refer a friendTo find out more click hereRaymond James & Associates, Inc., member New York Stock Exchange/SIPC
This information, developed by an independent third party, has been obtained from sources considered to be reliable, but Raymond James does not guarantee that the foregoing material is accurate or complete. This information is not a complete summary or statement of all available data necessary for making an investment decision and does not constitute a recommendation. The information contained in this report does not purport to be a complete description of the securities, markets, or developments referred to in this material. This information is not intended as a solicitation or an offer to buy or sell any security referred to herein. Investments mentioned may not be suitable for all investors. The material is general in nature. Past performance may not be indicative of future results. Raymond James does not provide advice on tax, legal or mortgage issues. These matters should be discussed with the appropriate professional.
Prepared by Broadridge Advisor Solutions Copyright 2021.
The information contained within this commercial email has been obtained from sources considered reliable, but we do not guarantee the foregoing material is accurate or complete. Please click here to unsubscribe from Broadridge Advisor Solutions emails.
lynne.henning@raymond james.com
A financial plan is essential in helping you reach your financial goals.
A financial plan is essential in helping you reach your financial goals
Lynne Henning Financial Advisor, Vice President of Investments at Raymond James. Advisor to P and G;
Kellogg & other employees and retirees.
Click on the link for even more information
https://raymondjames.com/commentary-and-insights/family-life-events/2018/05/01/a-brighter-financial-futureRaymond James & Associates, Inc. member NYSE/SIPC.
A Brighter Financial Future
Consider talking to your kids or grandkids sooner, rather than later, about basic financial management.
A recent Money Matters on Campus survey revealed that more than 40% of new college students didn’t feel prepared to manage their money. Some were reluctant to even check their bank accounts for fear of what they might find. Clearly, some advice would be helpful.
Over 40% of new college students don’t feel prepared to manage their money.
Consider talking to your kids or grandkids sooner, rather than later, about basic financial management. These skills are much easier to learn before they become financially independent, as there are fewer financial factors to consider. Teaching them a few basic principles now will leave them better equipped to deal with more complicated matters down the road, such as mortgages, healthcare and tradeoffs that may need to be made in retirement.
Start with these five basics.
1. Determining how much money they have
Although most college students are more likely to consult an app than an actual paper bank statement, it’s essential that they understand what they’re looking at. Explain any unfamiliar terms, such as “posted” vs. “available” balance. This way, they’ll know exactly how much cash they have on hand.
2. Understanding credit and loan offers
College students are easy prey for predatory lending practices. Teach yours to recognize the differences between good offers and bad ones. While it’s important to establish a credit history, it’s even more important to understand how credit works and how to use it responsibly.
3. Distinguishing between wants and needs
Building a solid financial foundation requires understanding the difference between wants and needs. Since most young adults have had their needs taken care of by their parents, they’re used to spending their own money on wants. As they grow older, it’s crucial they learn to put needs before wants.
4. Establishing a simple budget
The sooner young adults learn to budget, the easier it will be to grasp the basic skills. Teach them the importance of developing a plan for their income, and how to prioritize. Perhaps help them build a spreadsheet or set up an app to track and categorize their expenses.
5. Thinking about tomorrow
Teach your kids to think beyond today, and encourage them to save for themselves, the future and others. It’s never too soon to save for retirement and to start thinking philanthropically. And everyone can use a rainy day fund to help get them through the unexpected.
Next Steps
- Make sure your kids have mastered financial basics by checking in with them from time to time
- Follow up on any new questions that may have surfaced after their initial money management attempts
- Help them quickly recognize when they need financial help, and where to turn for solutions
Source: Moneymanagement.org
Estate Planning
Click on the link for even more information
LYNNE HENNING
8 Essential Documents for Your Estate Plan
Your estate plan should include more than just a will. Review the documents you’ll want to prepare and the role each one plays in carrying out your intentions.
Estate planning is more than just creating a will. Here’s a look at the different documents you may need to prepare for yourself and your family.
1. Last will and testament
A legal document used to distribute property to heirs, specify last wishes, name guardians for minors and identify who is responsible for managing the estate and implementing your wishes. Every adult needs one. If you don’t decide who will take care of your children and who gets your possessions, the state will.
2. Durable financial power of attorney
A durable power of attorney gives someone you trust authority to handle your financial and legal decisions if you’re unable to do so yourself. Of course, the person selected needs to be someone who will represent your best interests. This role also has particular importance for individual retirement accounts – if you become incapacitated, your power of attorney assumes management of those assets, not the beneficiary listed to receive them in the event of your death.
3. Durable medical power of attorney
You assign a healthcare proxy or durable power of attorney to make medical decisions for you when you are incapable to do so for some reason. This person will need relevant health information, so be sure to include a HIPAA provision that gives your physicians permission to disclose your medical information.
4. Living will and medical directives
A living will lets you specify what types of medical treatment you want to sustain your life, if you’re terminally ill or are in a vegetative state. Medical directives apply if you become incapacitated and are unable to communicate your wishes for treatment.
5. Revocable or living trust
In many states, a living trust can be used to distribute property a little more privately than a will. It also can help avoid a costly and stressful probate court process and may offer substantial tax benefits. Living trusts can also be used to transfer assets in an orderly, and private, manner. You can even stipulate provisions for the bequests, if you wish.
6. Beneficiary forms
For insurance policies, retirement accounts and some other assets, the beneficiary form prevails over the will. So whomever you’ve named will receive those assets unless you update the form. It’s a good idea to keep current copies, as well.
7. Letters of instruction
A way to share any wishes not covered by a will, such as preferences for your funeral, how to care for your pets or whether you want to donate your organs. You may also want to document how you’d like your digital assets to be handled – if so, be sure to include instructions for accessing the relevant accounts and files.
8. List of contacts
A detailed list of people to contact in certain circumstances, including family, friends and the professionals who oversee your legal, financial, insurance and health matters. Consider signing a contact authorization form to authorize a third person (such as an advisor or attorney) to communicate with a designated contact person if there are questions or concerns regarding your health status, including mental capacity.
Raymond James financial advisors do not render advice on tax or legal matters. You should discuss any tax or legal matters with the appropriate professional.
Understanding IRAs
An individual retirement arrangement (IRA) is a personal savings plan that offers specific tax benefits. IRAs are one of the most powerful retirement savings tools available to you. Even if you're contributing to a 401(k) or other plan at work, you might also consider investing in an IRA.
What types of IRAs are available?
The two major types of IRAs are traditional IRAs and Roth IRAs. Both allow you to contribute as much as $6,000 in 2021 (unchanged from 2020). You must have at least as much taxable compensation as the amount of your IRA contribution. But if you are married filing jointly, your spouse can also contribute to an IRA, even if he or she has little or no taxable compensation, as long as your combined compensation is at least equal to your total contributions. The law also allows taxpayers age 50 and older to make additional "catch-up" contributions. These folks can contribute up to $7,000 in 2021.
Both traditional and Roth IRAs feature tax-sheltered growth of earnings. And both give you a wide range of investment choices. However, there are important differences between these two types of IRAs. You must understand these differences before you can choose the type of IRA that's best for you.
Note: Special rules apply to certain reservists and national guardsmen called to active duty after September 11, 2001.
Learn the rules for traditional IRAs
Practically anyone can open and contribute to a traditional IRA. You can contribute the maximum allowed each year as long as your taxable compensation for the year is at least that amount. If your taxable compensation for the year is below the maximum contribution allowed, you can contribute only up to the amount that you earned.
Your contributions to a traditional IRA may be tax deductible on your federal income tax return. This is important because tax-deductible (pre-tax) contributions lower your taxable income for the year, saving you money in taxes. If neither you nor your spouse is covered by a 401(k) or other employer-sponsored plan, you can generally deduct the full amount of your annual contribution. If one of you is covered by such a plan, your ability to deduct your contributions depends on your annual income (modified adjusted gross income, or MAGI) and your income tax filing status:
For 2021, if you are covered by a retirement plan at work, and:
- Your filing status is single or head of household, and your MAGI is $66,000 or less, your traditional IRA contribution is fully deductible. Your deduction is reduced if your MAGI is more than $66,000 and less than $76,000, and you can't deduct your contribution at all if your MAGI is $76,000 or more.
- Your filing status is married filing jointly or qualifying widow(er), and your MAGI is $105,000 or less, your traditional IRA contribution is fully deductible. Your deduction is reduced if your MAGI is more than $105,000 and less than $125,000, and you can't deduct your contribution at all if your MAGI is $125,000 or more.
- Your filing status is married filing separately, your traditional IRA deduction is reduced if your MAGI is less than $10,000, and you can't deduct your contribution at all if your MAGI is $10,000 or more.
For 2021, if you are not covered by a retirement plan at work, but your spouse is, and you file a joint tax return, your traditional IRA contribution is fully deductible if your MAGI is $198,000 or less. Your deduction is reduced if your MAGI is more than $198,000 and less than $208,000, and you can't deduct your contribution at all if your MAGI is $208,000 or more.
What happens when you start taking money from your traditional IRA? Any portion of a distribution that represents deductible contributions is subject to income tax because those contributions were not taxed when you made them. Any portion that represents investment earnings is also subject to income tax because those earnings were not previously taxed either. Only the portion that represents nondeductible, after-tax contributions (if any) is not subject to income tax. In addition to income tax, you may have to pay a 10% early withdrawal penalty if you're under age 59½, unless you meet one of the exceptions. You must aggregate all of your traditional IRAs — other than inherited IRAs — when calculating the tax consequences of a distribution.
If you wish to defer taxes, you can leave your funds in the traditional IRA, but only until April 1 of the year following the year you reach age 72. That's when you have to take your first required minimum distribution (RMD) from the IRA.1 After that, you must take an RMD by the end of every calendar year until you die or your funds are exhausted. The annual distribution amounts are based on a standard life expectancy table. You can always withdraw more than you're required to in any year. However, if you withdraw less, you'll be hit with a 50% penalty on the difference between the required minimum and the amount you actually withdraw.
Learn the rules for Roth IRAs
Not everyone can set up a Roth IRA. Even if you can, you may not qualify to take full advantage of it. The first requirement is that you must have taxable compensation. If your taxable compensation in 2021 is at least $6,000, you may be able to contribute the full amount. But it gets more complicated. Your ability to contribute to a Roth IRA in any year depends on your MAGI and your income tax filing status:
- If your filing status is single or head of household, and your MAGI for 2021 is $125,000 or less, you can make a full contribution to your Roth IRA. Your Roth IRA contribution is reduced if your MAGI is more than $125,000 and less than $140,000, and you can't contribute to a Roth IRA at all if your MAGI is $140,000 or more.
- If your filing status is married filing jointly or qualifying widow(er), and your MAGI for 2021 is $198,000 or less, you can make a full contribution to your Roth IRA. Your Roth IRA contribution is reduced if your MAGI is more than $198,000 and less than $208,000, and you can't contribute to a Roth IRA at all if your MAGI is $208,000 or more.
- If your filing status is married filing separately, your Roth IRA contribution is reduced if your MAGI is less than $10,000, and you can't contribute to a Roth IRA at all if your MAGI is $10,000 or more.
Your contributions to a Roth IRA are not tax deductible. You can invest only after-tax dollars in a Roth IRA. The good news is that if you meet certain conditions, your withdrawals from a Roth IRA will be completely income tax free, including both contributions and investment earnings. To be eligible for these qualifying distributions, you must meet a five-year holding period requirement. In addition, one of the following must apply:
- You have reached age 59½ by the time of the withdrawal
- The withdrawal is made because of disability
- The withdrawal is made to pay first-time home-buyer expenses ($10,000 lifetime limit)
- The withdrawal is made by your beneficiary or estate after your death
Qualified distributions will also avoid the 10% early withdrawal penalty. This ability to withdraw your funds with no taxes or penalties is a key strength of the Roth IRA. And remember, even nonqualified distributions will be taxed (and possibly penalized) only on the investment earnings portion of the distribution, and then only to the extent that your distribution exceeds the total amount of all contributions that you have made. You must aggregate all of your Roth IRAs — other than inherited Roth IRAs — when calculating the tax consequences of a distribution.
Another advantage of the Roth IRA is that there are no required distributions. You can put off taking distributions until you really need the income. Or, you can leave the entire balance to your beneficiary without ever taking a single distribution.
Choose the right IRA for you
Assuming you qualify to use both, which type of IRA is best for you? Sometimes the choice is easy. The Roth IRA will probably be a more effective tool if you don't qualify for tax-deductible contributions to a traditional IRA. However, if you can deduct your traditional IRA contributions, the choice is more difficult. The Roth IRA may very well make more sense if you want to minimize taxes during retirement and preserve assets for your beneficiaries. But a traditional deductible IRA may be a better tool if you want to lower your yearly tax bill while you're still working (and probably in a higher tax bracket than you'll be in after you retire). A financial professional or tax advisor can help you pick the right type of IRA for you.
Note: You can have both a traditional IRA and a Roth IRA, but your total annual contribution to all of the IRAs that you own cannot be more than $6,000 for 2021 ($7,000 if you're age 50 or older).
Know your options for transferring your funds
You can move funds from an IRA to the same type of IRA with a different institution (e.g., traditional to traditional, Roth to Roth). No taxes or penalty will be imposed if you arrange for the old IRA trustee to transfer your funds directly to the new IRA trustee. The other option is to have your funds distributed to you first and then roll them over to the new IRA trustee yourself. You'll still avoid taxes and the penalty as long as you complete the rollover within 60 days from the date you receive the funds.
You may also be able to convert funds from a traditional IRA to a Roth IRA. This decision is complicated, however, so be sure to consult a tax advisor. He or she can help you weigh the benefits of shifting funds against the tax consequences and other drawbacks.
Note: The IRS has the authority to waive the 60-day rule for rollovers under certain limited circumstances, such as proven hardship.
1If you reach age 72 before July 1, 2021, you will need to take an RMD by December 31, 2021.
Refer a friendTo find out more click hereRaymond James & Associates, Inc., member New York Stock Exchange/SIPC
This information, developed by an independent third party, has been obtained from sources considered to be reliable, but Raymond James does not guarantee that the foregoing material is accurate or complete. This information is not a complete summary or statement of all available data necessary for making an investment decision and does not constitute a recommendation. The information contained in this report does not purport to be a complete description of the securities, markets, or developments referred to in this material. This information is not intended as a solicitation or an offer to buy or sell any security referred to herein. Investments mentioned may not be suitable for all investors. The material is general in nature. Past performance may not be indicative of future results. Raymond James does not provide advice on tax, legal or mortgage issues. These matters should be discussed with the appropriate professional.
Prepared by Broadridge Advisor Solutions Copyright 2021.
The information contained within this commercial email has been obtained from sources considered reliable, but we do not guarantee the foregoing material is accurate or complete. Please click here to unsubscribe from Broadridge Advisor Solutions emails.
Download the Budget Worksheet and print
Additional Information
T
Make a Budget Use this worksheet to see how much money you spend this month. Then, use this month’s information to help you plan next month’s budget. Some bills are monthly and some come less often. If you have an expense that does not occur every month, put it in the “Other expenses this month” category. MONTH YEAR My income this month Income Monthly total Paychecks (salary aer taxes, benets, and check cashing fees) $Other income (taxes) for example: child support $Total monthly income My expenses this month Expenses Monthly total Rent or mortgage $Renter's insurance or homeowner's insurance (like electricity and gas) Internet, cable, and phones Other housing expenses (like property taxes) Groceries and household supplies Meals out Other food expenses $Public transportaon and taxis $Gas for car $Parking and tolls $Car maintenance (like oil changes) $Car insurance $Car loan $Other transportation expenses $HOUSINGFOODTRANSPORTATION
