Rotarians get money management advice
ROAD TOWN, Tortola, VI – Members of the Rotary Club Sunrise of Road Town received some very sound advice on how to manage their money, during a presentation at the Club's weekly breakfast meeting at Maria's By The Sea on Tuesday 20 July.
The guest speaker was Mr. Melvin M. (Mitch) Turnbull, Manager of MWM Financial Services Group Ltd. Mr. Turnbull, who is responsible for company sponsored and individual pension plans, investments for home, college or personal, also conducts financial planning seminars for companies and individuals.
With the world, and no less the Virgin Islands, still grappling with an economic crisis, this presentation was timely and provided much food for thought.
Mr. Turnbull said since the Great Depression, there have been so many changes that the economy has been uncertain and many persons have remained skeptical about money matters and investing. But he lauded the Rotary Club and those individuals and companies for having built up their investment portfolio, saying these investments, whether property, savings accounts or Certificates of Deposits (CD's), will continue to be of value.
The financial planner had specific advice as it relates to retirement. He said for persons approaching retirement age and even those not yet close to that age, "it is wise to put aside and invest money for the future as the cost of living continues to rise, so that you will be able to comfortably carry through life."
Mr. Turnbull said one's budget should line up with whatever financial goals one has in life. He said everyone needs to adapt the mentality of the banks, which is "to get money, get some more money and get more money".
In presenting a scenario, he pointed out that over one's working life, although a person would have made a million dollars, they would not necessarily have that disposable income available at any given moment. "If you look at inflation, your income is not necessarily rising as fast as the cost of goods, so what are you doing to bridge the gap between your salary and your needs?"
The guest speaker advised everyone to "get to the place where your money works for you before it starts working for others". He encouraged everyone to put aside at least 5% of their income towards retirement, pay yourself at least 10%, invest in the market – whether through stocks, mutual funds or government bonds – and continue to keep their investments safe.
According to Mr. Turnbull, among the top three reasons to save would be for retirement, healthcare and educational needs.