The Best Holiday Gift is Financial Stability

The holiday season brings thoughts of family, delicious food, gifts and January debt.e tend to throw logic out the window as we spend money buying gifts for loved ones as well as everyone else, on what seems to be, an endless holiday gift list. All of this is fun until January when we find ourselves exhausted, five pounds overweight and broke. Why do the holidays make us overindulge? I think it is because of group behavior - we see so many people doing the same thing. Unfortunately, it is easier to lose a few holiday pounds than it is to pay off holiday debts. This year could be different. This year you should give yourself and your family the gift of financial stability.

I feel that most people spend much more time planning what gifts they are going to buy their family than spending time planning a holiday gift budget. Let's face it - overspending is stressful. Despite the holidays being a happy time of the year, many people are digging themselves into a big financial hole. Financial planning helps to provide you confidence in a complex financial world. We recommend including a holiday budget within the context of your overall financial plan. Financial peace of mind has the obvious advantage of providing the comfort and security of knowing that the money you are spending during the holidays is saved money - equity, and not future debt. Unlike many governments, our personal debt must be paid off, usually with the additional high cost of interest or worse.

What can you do to make this holiday season different? We suggest that you meet with a financial advisor at Gerber Kawasaki and put together an overall financial plan that includes a budget for the holiday season. If you make a gift list in advance that also approximates the cost of the gifts, you can make adjustments based on your overall holiday gift budget. It is an old but very true saying that loved ones care about the thought of the gift, not the cost of the gift.

One great gift idea is the gift of opening a college education or 529 plan for your children. The holidays are a perfect time to open a college education plan and show your family that you care about their future needs while you celebrate the season. The gift of life insurance is another way to give financial peace of mind.

I feel that the holidays also provide a perfect time to give the gift of kindness and compassion to those who have no family or are unable to provide for themselves. There are myriad organizations that welcome us and our children to join them in serving holiday meals to those less fortunate, and to give comfort to those who need our help. There are also tax advantages to making financial contributions to reputable organizations who need our support throughout the year. We can provide for our family as well as our community as we enjoy the spirit and joy of the holidays.

Lastly, I think that we should gift ourselves the peace of mind of getting our financial house in order. Give yourself the gift a a financial plan and make a New Year's resolution to meet with your financial advisor at least twice a year. Enjoy the Season and try not to overindulge.

Ross Gerber

Gerber Kawasaki Wealth Management
2716 Ocean Park Blvd #2020
Santa Monica, CA 90405


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This material contains forward looking statements and projections. There are no guarantees that these results will be achieved. Investing involves risk including potential loss of principal.