1. Do I Actually Know My Net Worth?
The Challenge
A 401(k) here, a brokerage account there, a few credit card balances—with accounts across platforms, it can be hard to assess your net worth (which is everything you owe minus everything you own). About one third of Americans don’t know how to measure this key indicator of their financial health, which makes it difficult to accurately plan toward financial goals and manage sudden life changes.
The Solution
The Empower Personal Dashboard™ maps all of your money in one centralized location so you can accurately evaluate your finances as a whole. The integrated service allows you not only to track your net worth in real time but also to manage all of your accounts and investments in one place.
“People may have a broad sense of how much they make and how much they spend, but they’re often surprised when confronted with the actual numbers,” notes Birk. “Truly being able to see your full financial picture is game-changing and eye-opening.”
SEE IF YOU KNOW YOUR TRUE NET WORTH
2. What Am I Really Saving For?
The Challenge
Whether saving for retirement, paying down debt, building a travel fund or putting aside money for their children’s education, most people have multiple ambitions for their money, but 80% of Americans struggle to manage those competing financial goals. Without a blueprint, people often save haphazardly or react emotionally to life changes like layoffs, says Birk. “Selling stocks during a market dip, missing out on a 401(k) match or paying whichever credit card bill comes in first are all examples of acting without a plan.”
The Solution
FORECAST YOUR OWN "WHAT IF" FINANCIAL SCENARIOS
Empower offers a “What If” worksheet you can use to forecast outcomes of various scenarios: What would happen if you were to, say, invest in your child’s college fund, convert your 401(k) into a Roth IRA, put $10,000 in a high-yield savings fund or lose your job? That foresight can help you make strategic decisions about your money—and mitigate panic if there’s turmoil in your financial life or a sudden turn in the economy.
“There are so many things you can do to be resilient through those times,” says Carol Waddell, President of Personal Wealth at Empower. “We're really focused on helping ensure that people are strategic about their actions and reactions to what's going on.”
3. Am I Getting The Right Advice?
The Challenge
Investing wisely requires in-depth knowledge about the implications of taxes and inflation, how to balance growth and protection and how to make changes when markets turn. With so many online resources, it can be easy to find financial information—but knowing which strategy is best for your situation and whom to trust? Not as simple.
The Solution
See how a financial advisor can help grow
your wealth with a free consultation
A qualified financial advisor can work with you to develop a personalized portfolio that helps minimize and offset tax loss, limits your exposure to any one sector and is regularly rebalanced to potentially take advantage of market opportunities. Empower’s investment checkup tool offers 24/7 visibility into your finances so you get the full picture of real-time risk assessments, past performance and individualized asset allocation.
Waddell says personalizing your strategy with the help of a professional empowers people to take charge of their financial journey, regardless of how big or small their assets may be. “It’s not really about a number, it’s not about amassing a certain amount [of money],” she says. “Financially secure means you know what you’re going to accomplish with your money.”
The Challenge
High-interest debt can make it feel impossible to start saving for future goals. Add inflation into the mix, and it can seem like you’re treading water to stay afloat. It’s easy to take on debt by paying off credit cards in the wrong order, defaulting to paying minimum payments or focusing only on whichever bills seem the most urgent.
The Solution
map out your own debt payoff plan
Empower offers a debt pay down solution that helps you prioritize your debt and create a customized payoff schedule so you can monitor your progress. Meanwhile, its free financial calculators help users design monthly budgets and uncover potential saving areas.
Leaning on a financial partner to navigate the stress of debt is key to both financial and personal wellness, Waddell says. “[Empower] supports people that are just getting started…or are faced with some pretty complex and emotional decisions,” she says. “Financial wellness [is] a state of mind. It's a feeling that you understand your financial picture and have a plan to tackle it.”
4. Could I Have A Better Plan For Debt?
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