One of the many challenging questions for parents is how to teach kids about money. Right now, with so many news stories shouting that “the financial sky is falling,” it’s even more of a challenge. How can we teach kids to be careful about money without scaring them to death? How do we help them learn the value of thrift without instilling money scripts that will turn them into fearful misers?

Trust me, if I had the definitive answer to this question, I would write another book and it would become an overnight best seller. In the meantime, here are a few suggestions that might help you come up with your own answers. Continue Reading »

During a recent interview with a reporter, I mentioned the importance of living on what you make. To me, this is a no-brainer. It’s the most basic of financial precepts and the foundation of financial health.

Her response was both fascinating and frightening. She said something along these lines: “Our popular culture no longer supports the idea of living within your means. At least among celebrities, sports stars, TV shows, and music intended to appeal to the younger generations, living on what you spend isn’t something to admire. It’s geeky.” Continue Reading »

Last Thursday Rick spent an hour and a half answering your burning questions about the economy. The topics included:

• Have we hit the market bottom?
• How is this recession different?
• What can we expect for a recovery and when?
• How to avoid big money mistakes?
• What to do if I am still scared?

For any KFG client that missed the Town Hall presentation in March, THIS IS A MUST LISTEN!! We urge you to listen to this presentation prior to your next review. Log into the Client Only Area on the website and click on “Teleclass/Workshop” in the drop down box to bring up the April 9th webcast. You can listen to just audio or both the audio and video.

Here is a very good article in The Wall Street Journal by Shelly Banjo on selecting a financial planner. Click here to read it.

A local television station, KOTA, ran a story last night on their evening news titled, “With deadline looming, taxpayers prepare to protest.” The report suggested that while the average current tax burden is down somewhat this year, thousands are preparing to protest in tomorrow’s nationwide tea parties.

Matt Hunter further underscored that South Dakotans pay the third lowest overall taxes in the nation and asked a number of citizens what all the fuss was about. Rick suggests the concern isn’t so much about the current tax load, but the future tax load being mandated by the unprecedented spending Congress recently enacted.

A recent study indicates that revenue from income taxes accounts for only 50% of the total annual spending approved by Congress. The rest comes from borrowing. Taxes will need to double just to balance the budget, and that doesn’t include doing a thing to pay down the expanding national debt. In a poll just conducted by KFG, participants were asked, “What needs to be done to resolve this crisis and keep it from happening again?” The number one response, with 75% agreeing or strongly agreeing, was “a significant reduction in government spending.”

You can view the report by clicking here.

Rick was the featured columnist in the April edition of Wealth Manager magazine’s last page editorial, “Parting Shot.” Rick discussed the need for advisors to empathetically listen to their clients express their fears and financial losses rather than avoid the subject completely or tell clients how they “should” be feeling. Click here to read the article

Rick was at Waldenbooks on April 11th for a book signing on his new book Wired for Wealth, co-authored with Drs. Ted and Brad Klontz. Many thanks to Waldenbooks for their efforts and support in making this event come to pass!

When you think about charitable giving, the first name that comes to mind probably isn’t Ebenezer Scrooge. Just the opposite is more likely, since Charles Dickens’s character is so memorably stingy that his name has become a synonym for “miser.” Yet President Obama’s proposals to reduce tax deductions for charitable contributions made me think about Mr. Scrooge.

Early in A Christmas Carol, two men come to ask Scrooge for contributions for the poor. He responds, “Are there no prisons? And the Union workhouses?… Are they still in operation?” Told that they are, he is glad to hear it, and he refuses to donate any money to help the poor. He says, “I help [through his taxes] to support the establishments I have mentioned: they cost enough: and those who are badly off must go there.”

If the Obama plan passes, more Americans may be thinking Scrooge’s position was not that cold-hearted or ungenerous, but more a consequence of poor government policy. Continue Reading »

Marilyn Kennedy Mela, a reporter with Bankrate.com, recently spoke to Rick regarding tips for real estate buyers during these troubled times. Even though Rick is retired from actively brokering real estate, his 30 years in the industry makes him a valuable resource for real estate issues both to the media and his clients. The article was picked up today by Scripps News. You can read the article here.

Here is an opportunity for those of you that live near New York city to attend a great, introductory workshop to money and relationships. Dr. Trachtman, the director of MORE Service for Money & Relationships, will conduct this 2 hour seminar. Dr. Trachtman specializes in money and relationships counseling and psychotherapy.

We all know that irrational and unconscious beliefs and feelings about money can affect our behavior and undermine our sense of well-being and our relationship to those we love and to money itself. This workshop will combine lecture, exercises, and audience participation, with questions being offered for group discussion.

The workshop is offered on Wednesday, May 27 from 7:00 PM – 9:00 PM at The JCC in Manhattan, 334 Amsterdam Ave. at 76th St. (Program room assignments will be available at the The cost is $20, a bargain in my book. You can call 646-505-5708 for more information.