05/14/2026
There are 2 lessons with this situation:
𝐋𝐞𝐬𝐬𝐨𝐧 𝟏:
Sh*t happens all the time, we just don't know when.
To protect your financial health, you must have an Emergency fund.
Also, have a Brokerage Account in addition to your retirement accounts. It's my favorite investment account due to its flexibility, liquidity and tax planning opportunities.
We had some very high vet bills at the end of April and in May. You can see the spikes in the image. Money well spent. Jasper is OK now! He is 17.5 yrs old, so we are extra careful🐶😀
To cover these emergencies, we had choices. I love having choices. That's the point of Financial Planning.
A. Either use the emergency fund, and then replenish it until it is full again.
Or
B. Take advantage of lucky timing and sell stocks due to the recent stock market run up. I was looking to de-risk a bit of concentration in tech funds we hold and that was a perfect way to achieve multiple things at once. Brokerage account is fully accessible unlike 401Ks and IRAs.
So I sold specific tax lots to minimize taxes, got the cash for the vet bills, lowered overall risk, took some profits and our emergency fund is still fully funded. Financial planning for the win!
𝐋𝐞𝐬𝐬𝐨𝐧 𝟐.
Having a Cash Flow System is the true Wealth hack.
It is what builds wealth over time. Having awareness of where your cash is going is how you become intentional. It puts you in control of your finances. It's the foundation. And that applies to any income level, especially those households earning $200K or more.
I use Monarch Money personally and with clients. It is awesome when used consistently.
So ask yourself:
- Do you have an Emergency Fund?
- Do you use a Brokerage account to support your financial plan?
- Do you know where to pull money from when needed?
- Do you understand the flow of your money (income +expenses)?
- Are you financially organized?
- Are you going to be OK financially?
- Are you on track to meet your goals?
If you aren't sure about the above questions, reach out...
