Three Kinds of Money
There are essentially three kinds of money in our lives.
The first is called Lifestyle Money. This is the money we use to support us in our everyday life to pay for things like bills, housing and entertainment. Basically any money that goes towards supporting our standard of living as we have come accustomed to.
Next is our Accumulated Money. This is the money we have held out of our lifestyle money and set aside to grow and to be used for our future use such as buying a home, sending the kids to college or for our retirement.
The last category is Transferred Money. Transferred money, is the money that we are unknowingly and unnecessarily allowing to be transferred away from us, possibly to someone else’s accumulated money account.
Transferred Money is where we have a tendency to let things slip, often because we do not know any better. Some examples of transferred money are interest and principal payments for loans. When you work with an AllianceGroup advisor, you will complete a Wealth Transfer Analysis as a starting point and learn how to minimize wealth transfers in your life.