See how starting early—not saving more—can be the most powerful move you make for your long-term future.

In 1964, The Rolling Stones released the hit single, “Time Is on My Side.” Who knew they were talking about personal finance? What does it mean to put time on your side? To The Rolling Stones, it was a song about confidence and patience with love. To investors, it’s about confidence and patience when investing for long-term goals, such as retirement.

As a young investor, you have a powerful ally on your side: time. The earlier you start saving, the more opportunity your investments have to increase in value.

The power of compounding. Many people underestimate it, so it is worth illustrating. Let’s take a look at the long-term performance of an investment account using a hypothetical 5 percent rate of return.

How does it work?

A simplified example goes like this: If you were to start with a $1,000 principal in an account that earns 5 percent interest per year, and contribute $1,000 a year to the account, you would end up with $69,671 after thirty years, with $16,511 earned in compound interest from $30,000 in contributions. That compounding continues, even if you stop making deposits.1

The 30-Year Snowball Effect
$1,000/year · 5% annual return · No starting balance

The Power of Starting Early: Let Time Do the Heavy Lifting

When it comes to building wealth, most people focus on how much they can save and the kinds of returns they can earn. While those are important, there is a third factor that is often much more powerful: Time.

The math of compound interest rewards those who start early, even if they save less in total than someone who starts later. To illustrate this, let’s look at two hypothetical investors:1

The Early Starter

Contributes $10,000 a year for just 10 years, then stops entirely.
TOTAL CONTRIBUTED $100,000
ENDING BALANCE $850,608

The Late Starter

Waits 10 years, then contributes $10,000 a year for 30 years straight.
TOTAL CONTRIBUTED $300,000
ENDING BALANCE $888,298

Investor Balance Over Time
Hypothetical 6% annual rate of return

The visualization above highlights a startling reality of the financial world: effort does not always equal results. Investor 1 put in a total of $100,000 over a single decade and then let the market do the rest. Meanwhile, Investor 2 contributed $300,000—three times as much capital—over 30 years.

As you can see from the trajectories, Investor 2 spends their entire career playing “catch-up.” Even though their total balance eventually edges out Investor 1 by a small margin at age 62 ($888,298 vs $850,608), the “efficiency” of their money is far lower. Investor 1 essentially bought themselves a 30-year head start, proving that in the world of compounding, a small amount of money plus a long time is often superior to a large amount of money plus a short time.

1 This is a hypothetical example used for illustrative purposes only. It is not representative of any specific investment or combination of investments.
The content is developed from sources believed to be providing accurate information. The information in this material is not intended as tax or legal advice. It may not be used for the purpose of avoiding any federal tax penalties. Please consult legal or tax professionals for specific information regarding your individual situation. This material was developed and produced by FMG Suite to provide information on a topic that may be of interest. FMG Suite is not affiliated with the named broker-dealer, state- or SEC-registered investment advisory firm. The opinions expressed and material provided are for general information, and should not be considered a solicitation for the purchase or sale of any security. Copyright FMG Suite.

An article explaining 530A Accounts.

In 2026, families across the United States will gain access to a new financial tool designed to enhance their children’s financial futures: the 530A account, commonly known as “Trump Accounts.” This account is specifically crafted for newborns, but it also has another, lesser-known feature. The federal government plans a $1,000 contribution to each account for children born between January 1, 2025, and December 31, 2028, through a pilot program.1,2

What is a 530A Account and Who Can Open One?

The 530A account was introduced under the One Big Beautiful Bill Act. Accounts are available for all American children under age 18, which has been largely overlooked. The attention has been on the $1,000 federal seed money that’s for babies born between Jan. 1, 2025, and Dec. 31, 2028.1,2

To establish the account, the minor must possess a Social Security number and be under 18 years old as of December 31 of the year the account is opened. Each child is permitted only one account.

Opening a 530A Account

Parents, legal guardians, adult siblings, or grandparents can open a 530A account for eligible children by submitting Internal Revenue Service (IRS) Form 4547. The form serves as the election to create the account.1,2

Availability and Contribution Guidelines

530A accounts will become available in 2026, with contributions commencing after July 4, 2026. Contribution limits are $5,000 per child per year. This limit includes contributions from parents, families, and up to $2,500 from employees and other organizations.1,2

How much could your child’s account be worth before they graduate high school?

Adjust the inputs below to see how contributions, interest, and the $1,000 federal seed impact long-term growth.

Annual contribution
$/ yr
$0$5,000 max
Assumed annual return
%
1%8% max
Include $1,000 federal seed money
Value at year 18
$166,654
Total contributed
$91,000
Growth from interest
$75,654

At these settings, interest alone adds $75,654 — money your family never had to save.

Hypothetical example. Actual results will vary.

This is a hypothetical example used for illustrative purposes only. It is not representative of any specific investment or combination of investments. Actual results will vary. Contributions are subject to annual limits and eligibility requirements. Past performance is not a guarantee of future results.

Investment and Withdrawal Regulations

Investments must adhere to the criteria set by the U.S. Treasury Department. The account will be subject to the same required minimum distribution (RMDs) rules as a traditional IRA, which means once you reach age 73, you must begin taking distributions in most circumstances. Withdrawals are taxed as ordinary income and, if taken before age 59½, may be subject to a 10% federal income tax penalty.1,2

Integration into Family Financial Strategy

530A accounts provide practical experience in saving and investing. Contributions from external sources, such as employers, governments, and charitable organizations, may make the accounts even more attractive.1,2

Can it be converted to a Roth IRA?

Yes. The initial guidance indicates a Roth IRA starting in the year the individual turns age 18. Once the Roth IRA is open, the new account could have decades of tax-free growth from the money that was originally placed in the account.

Remember, the original Roth IRA owner is not required to take minimum annual withdrawals. Plus, Roth distributions must meet a five-year holding period and occur after age 59½ to qualify for the tax-free and penalty-free withdrawal of earnings. In certain other circumstances, tax-free and penalty-free withdrawal can also be taken, such as following the owner’s death.

“Trump accounts” may not be right for everyone, but they may be worth exploring. Let’s discuss what role a 530A account can play in your future.

1. IRS.gov, December 4, 2025
2. House.gov, March 31, 2026
The content is developed from sources believed to be providing accurate information. The information in this material is not intended as tax or legal advice. It may not be used for the purpose of avoiding any federal tax penalties. Please consult legal or tax professionals for specific information regarding your individual situation. This material was developed and produced by FMG Suite to provide information on a topic that may be of interest. FMG Suite is not affiliated with the named broker-dealer, state- or SEC-registered investment advisory firm. The opinions expressed and material provided are for general information, and should not be considered a solicitation for the purchase or sale of any security. Copyright FMG Suite.

Alternative investments are going mainstream for accredited investors.

It’s critical to sort through the complexity.

Recent years have witnessed the mainstreaming of alternative investments for certain accredited investors. In fact, alternative investments are expected to reach $32 trillion by 2030.1,2

The impetus behind this projected growth is the belief that alternative investments offer the potential to enhance the risk/reward characteristics of a traditionally diversified portfolio.3

“Alternative investments” is an umbrella term for a disparate range of investment strategies and assets that might be best defined as investments that use a different approach from traditional instruments.

While today’s portfolios may benefit from some diversification to alternative investments, it should be emphasized that the risk, return, and market correlations will vary widely among them. Consequently, individuals need to consider what their objective is for adding alternative investments and select the appropriate strategy to pursue their needs.3

Types of Alternative Investments

Private Equity — Seeks to participate in the growth of private companies. Private equity is an illiquid asset class that seeks long-term appreciation away from public markets.

Hedge Funds — Investments that have broad flexibility in the types of strategies they can employ to follow their stated investment objectives.

Commodity Pools — Enterprises that attract funds from people who are looking for pool managers to engage in commodity-related trades.

Alternative investments are geared to “accredited” or “qualified” investors who are considered high-net-worth individuals with investment experience, and these investments usually have high minimum investment requirements. Some investment companies have structured mutual funds after alternative investments, providing individuals with access to the investment strategy while offering daily liquidity at lower minimum investment requirements.

Mutual funds are sold by prospectus. Please consider the charges, risks, expenses, and investment objectives carefully before investing. A prospectus containing this and other information about the investment company can be obtained from your financial professional. Read it carefully before you invest or send money.

1. CNBC.com, November 5, 2025
2. Alternative investments include direct participation program securities (partnerships, liability companies, and real estate investment trusts, which are not listed on any exchange), commodity pools, private equity, private debt, and hedge funds. These programs may offer high-net-worth accredited investors tax benefits, but they have significant risks associated with them. Typically, alternative investments are illiquid investments, and their current values may fluctuate from the purchase price. Statements for such investments represent their estimate of the value of the investor’s participation in the program. The estimated values may not necessarily reflect actual market values or be realized upon liquidation.
3. Diversification is an approach to help manage investment risk. It does not eliminate the risk of loss if security prices decline.
The content is developed from sources believed to be providing accurate information. The information in this material is not intended as tax or legal advice. It may not be used for the purpose of avoiding any federal tax penalties. Please consult legal or tax professionals for specific information regarding your individual situation. This material was developed and produced by FMG Suite to provide information on a topic that may be of interest. FMG Suite is not affiliated with the named broker-dealer, state- or SEC-registered investment advisory firm. The opinions expressed and material provided are for general information, and should not be considered a solicitation for the purchase or sale of any security. Copyright FMG Suite.

It’s important to understand how inflation is reported and how it can affect investments.

“If the current annual inflation rate is less than 3 percent, why do my bills seem like they’re 10 percent higher than last year?”1

Many of us ask ourselves that question, and it illustrates the importance of understanding how inflation is reported and how it can affect investments.

What Is Inflation?

Inflation is defined as an upward movement in the average level of prices. Each month, the Bureau of Labor Statistics releases a report called the Consumer Price Index (CPI) to track these fluctuations. It was developed from detailed expenditure information provided by families and individuals on purchases made in the following categories: food and beverages, housing, apparel, transportation, medical care, recreation, education and communication, and other groups and services.2

How Applicable Is the CPI?

While it’s the commonly used indicator of inflation, the CPI has come under scrutiny. For example, the CPI rose 2.4 percent for the 12 months ending in September 2024. However, a closer look at the report shows movement in prices on a more detailed level. Transportation services prices, for example, rose 8.5 percent during those 12 months. CPI is a basket of goods, and your basket of goods may not reflect the basket of goods represented by the CPI.1

Are Investments Affected by Inflation?

They sure are. As inflation rises and falls, three notable effects are observed.

First, inflation reduces the real rate of return on investments. So, if an investment earned 6 percent for a 12-month period and inflation averaged 1.5 percent over that time, the investment’s real rate of return would have been 4.5 percent. If taxes are considered, the real rate of return may be reduced even further.3

Second, inflation puts purchasing power at risk. When prices rise, a fixed amount of money has the power to purchase fewer and fewer goods.

Third, inflation can influence the actions of the Federal Reserve. If the Fed wants to control inflation, it has various methods for reducing the amount of money in circulation. Hypothetically, a smaller supply of money would lead to less spending, which may lead to lower prices and lower inflation.

Empower Yourself with a Trusted Professional

When inflation is low, it’s easy to overlook how rising prices are affecting a household budget. On the other hand, when inflation is high, it may be tempting to make more sweeping changes in response to increasing prices. The best approach may be to reach out to your financial professional to help you develop a sound investment strategy that takes both possible scenarios into account.

1. USInflationCalculator.com, 2025. As of August 2025.
2. BLS.gov, 2025
3. This is a hypothetical example used for illustrative purposes only. It is not representative of any specific investment or combination of investments. Past performance does not guarantee future results.
The content is developed from sources believed to be providing accurate information. The information in this material is not intended as tax or legal advice. It may not be used for the purpose of avoiding any federal tax penalties. Please consult legal or tax professionals for specific information regarding your individual situation. This material was developed and produced by FMG Suite to provide information on a topic that may be of interest. FMG Suite is not affiliated with the named broker-dealer, state- or SEC-registered investment advisory firm. The opinions expressed and material provided are for general information, and should not be considered a solicitation for the purchase or sale of any security. Copyright FMG Suite.

In this article, explore the benefits of the Federal Student Grant Program

You may have heard of the Free Application for Federal Student Aid, or FAFSA, if you or someone you know has plans to attend a college, career school, or university. Last year, nearly 50% of high school seniors submitted a FAFSA to the Department of Education to secure financial assistance. But what many prospective and current students may overlook are the various federal grants awarded to students in need each year.1

Granted value

Most federal grants, unlike loans, function as sources of funding. There are some exceptions, though. For example, if a student is awarded a grant but withdraws from the program in which they’re enrolled, they may be required to pay back all or a portion of that grant.2

Know your grants

The Department of Education offers multiple aid packages as part of the Federal Student Grant Program. The following three are granted most often, and each has different requirements for eligibility. The information below applies to the 2025-2026 academic year:

  • Federal Pell Grants – With a maximum award of $7,395, Pell Grants are reserved for undergraduate students who have exceptional financial need and have not earned a bachelor’s, graduate, or professional degree yet.2
  • Federal Supplemental Educational Opportunity Grants (FSEO) – FSEO Grants award a maximum of $4,000 to those who demonstrate exceptional need and have not yet earned a bachelor’s or graduate degree. FSEO Grants also give priority to Pell Grant recipients over other applicants.2
  • Teacher Education Assistance for College and Higher Education (TEACH) Grants – TEACH Grants award a maximum of $3,772, and they’re reserved for students who are enrolled in teaching preparation programs and agree to teach for a minimum of 4 years at the elementary or secondary school level in a high-need field.2

FAFSA Required

No matter who you are or your financial situation, you may want to consider submitting a FAFSA. After all, the grants listed above do require recipients to have an application on file with the Department of Education. And who knows? The potential financial benefit that you could secure may surprise you.

1. NCAN.org, 2025
2. StudentAid.gov, 2025
The content is developed from sources believed to be providing accurate information. The information in this material is not intended as tax or legal advice. It may not be used for the purpose of avoiding any federal tax penalties. Please consult legal or tax professionals for specific information regarding your individual situation. This material was developed and produced by FMG Suite to provide information on a topic that may be of interest. FMG, LLC, is not affiliated with the named broker-dealer, state- or SEC-registered investment advisory firm. The opinions expressed and material provided are for general information, and should not be considered a solicitation for the purchase or sale of any security. Copyright FMG Suite.

Longer, healthier living can put greater stress on retirement assets; the bucket approach may be one answer.

 

John and Mary are nearing retirement and they have a lot of items on their bucket list. Longer life expectancies mean John and Mary may need to prepare for two or even three decades of retirement. How should they position their money?1

One approach is to segment your expenses into three buckets:

  • Basic Living Expenses— Food, Rent, Utilities, etc.
  • Discretionary Spending — Vacations, Dining Out, etc.
  • Legacy Assets — for heirs and charities

Next, pair appropriate investments to each bucket. For instance, Social Security might be assigned to the Basic Living Expenses bucket.2

For the discretionary spending bucket, you might consider investments that pay a steady dividend and that also offer the potential for growth.3

Finally, list the Legacy assets that you expect to pass on to your heirs and charities.

A bucket plan can help you be better prepared for a comfortable retirement.

Call today and we can develop a strategy that may help you put enough money in your buckets to complete all the items on your bucket list.

1. John and Mary are a hypothetical couple used for illustrative purposes only. Diversification is an approach to help manage investment risk. It does not eliminate the risk of loss if security prices decline.
2. Social Security benefits may play a more limited role in the future and some financial professional recommend creating a retirement income strategy that excludes Social Security payments.
3. A company’s board of directors can stop, decrease or increase the dividend payout at any time. Investments offering a higher dividend may involve a higher degree of risk. Keep in mind that the return and principal value of stock prices will fluctuate as market conditions change. Shares, when sold, may be worth more or less than their original cost.
The content is developed from sources believed to be providing accurate information. The information in this material is not intended as tax or legal advice. It may not be used for the purpose of avoiding any federal tax penalties. Please consult legal or tax professionals for specific information regarding your individual situation. This material was developed and produced by FMG Suite to provide information on a topic that may be of interest. FMG Suite is not affiliated with the named broker-dealer, state- or SEC-registered investment advisory firm. The opinions expressed and material provided are for general information, and should not be considered a solicitation for the purchase or sale of any security. Copyright FMG Suite.
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