Since 1975, the talented team at Montecito Bank & Trust has been committed to making the communities they serve better places to live and work. Here, Jorge Morales CFP, Financial Advisor at MB&T shares his expertise about the best ways to manage your money in the new year and beyond.
What’s new regarding financial planning in 2025?
In 2025, there will likely be updates in tax regulations and retirement account contribution limits, impacting how clients strategize their savings, investments and estate plan.
What do you foresee as the most important aspect(s) of planning for 2025?
The ultimate focus will be on adapting to inflationary pressures, changes in interest rates, new tax regulations, ensuring that portfolios remain resilient and diversified.
What is your advice for people just starting to formulate a financial plan?
Begin by setting clear financial goals and establishing a budget to understand your income and expenses; this foundation is crucial for effective planning.
How often should people meet with their financial advisor to review/adjust their financial plans?
At least annually, but more frequent check-ins are advisable during major life changes or market shifts.
Is there a certain time of year people should take stock of their finances/meet with their advisors?
The start of the year is ideal for annual reviews, but also consider post-tax season to reflect on the previous year’s financial situation.
Can you share some advice/guidelines regarding the following for 2025:
- Saving: Aim to save at least 20% of your income; automate your savings to ensure consistency.
- Investing: Diversify across asset classes and consider dollar-cost averaging to mitigate market volatility.
- Debt: Prioritize high-interest debt repayment while maintaining a manageable level of debt for essential needs.
- Gifts/Charitable donations: Consider tax-advantaged gifting strategies, such as donor-advised funds.
Any other financial information or advice you’d like to share?
Stay informed about market trends and regulatory changes and adjust your strategy accordingly to ensure your financial plan remains aligned with your goals.
What do you like about being a financial planner?
I enjoy the process of educating and fostering relationships with clients to help achieve their financial goals.
What is challenging about it?
Staying current with ever-evolving financial regulations and market dynamics can be demanding but is essential for effective advising.
Jorge Morales has 23 years of experience in financial planning, specializing in investment strategies and retirement planning. He holds a CFP designation and has a passion for empowering clients to take control of their financial futures.
The Financial Consultants at MB&T Advisors are Registered Representatives with, and Securities and advisory services are offered through LPL Financial (LPL), a registered investment advisor and broker-dealer (member FINRA/SIPC). Insurance products are offered through LPL or its licensed affiliates. Montecito Bank & Trust and MB&T advisors are not registered as a broker-dealer or investment advisor. Registered representatives of LPL offer products and services using MB&T Advisors and may also be employees of Montecito Bank & Trust. These products and services are being offered through LPL or its affiliates, which are separate entities from, and not affiliates of, Montecito Bank & Trust or MB&T Advisors. Securities and insurance offered through LPL,or its affiliates are:
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