As a fiduciary financial advisor in Mooresville, Holland Capital helps you see whether your savings are on pace, decide what to do with your workplace plan and company stock, and manage your investments to one written plan. We work with clients in Mooresville by video and phone, and meet in person by appointment at the Regus center on South Main Street in downtown Mooresville.
Most of what you have saved may be sitting with your employer.
The 401(k) takes its share of every paycheck, and the match lands next to it. There may be shares you bought through work at a discount, or stock that came as part of your pay. Outside of work there may be less: a savings account, maybe an IRA from a job you left years ago.
From the plan website, it is hard to tell whether any of it is enough.
The question is usually a plain one. Are we on pace, and what should we change?
What “On Pace” Means
On pace is a real number, not a feeling. It means that by the date you choose, your savings and Social Security can pay for the life you expect, with room left over for the years nobody can predict.
We start with that date and that level of spending, then work back to today. What should the 401(k) be worth by then? Is your contribution rate enough, or should it rise with the next raise? Would some of it do more good in a Roth, given where your income is heading?
If you are ahead, you may have more room for the mortgage or a child’s tuition. If you are behind, it is better to know while you still have time to adjust what you save. Our guide on getting more from your 401(k) covers contribution choices, and our retirement planning page shows how the pieces fit together.
When Your Employer Is Also Your Investment
If you work at Lowe’s headquarters, or at another company that pays partly in stock, your employer’s shares can become one of your largest holdings without anyone deciding they should.
A discounted purchase plan here, a vesting grant there, a company stock fund inside the 401(k). Each looks small on its own. Added together, they can tie both your paycheck and a large part of your savings to the same company.
That is not automatically a mistake. It is a choice worth making on purpose. You need to know what selling would cost in tax and what the rest of your portfolio would hold instead.
Leaving the company brings the same question in a new form. A 401(k) can stay put, move to a new employer’s plan or roll to an IRA. Company stock inside the plan can carry its own tax treatment, called net unrealized appreciation. That is worth checking before anything moves. Our 401(k) rollover guide compares the options.
Your Accounts as One Portfolio
When the savings are split between a workplace plan, company shares and a couple of small accounts, each one tends to be invested on its own. Together they can add up to more risk than you meant to take, or to the same fund bought three times.
We look at all of it as one portfolio. We write the plan down as an investment policy statement. It records what the money is for, when it will be needed, how much the portfolio can move up and down without changing the plan and how each account is taxed. We then choose and manage the investments to fit it, including the choices inside a 401(k) we do not hold.
That is what investment management means at Holland Capital: carrying out one plan across every account, starting with what you already own.
How We Work with Clients in Mooresville
Holland Capital Management is an independent registered investment adviser and a fiduciary. M. Chad Holland, CFA, CFP® works directly with clients and is responsible for the planning and advice.
For a first meeting, bring what you have. Your latest 401(k) statement, a pay stub and anything showing company stock or a purchase plan give us enough to begin.
We will tell you whether you look on pace, where the biggest risk sits and what we would do first.
The first conversation is free. If there is work worth doing after that, we will define the scope and cost before you decide whether to move forward.
Our offices are in Charlotte, North Carolina and Winter Park, Florida. We work with clients in Mooresville primarily by video or phone. When an in-person meeting makes sense, we meet by appointment at the Regus center at 500 South Main Street in downtown Mooresville.
We work with clients throughout North Carolina. You can see the other North Carolina communities we serve here.
Our what we do page explains how a planning engagement works.
RETIREMENT ENGINEERING™
The Order Matters
Five retirement decisions and why timing matters.
Frequently Asked Questions
What Does a Fiduciary Financial Advisor Owe Me When I Leave My Job?
Leaving a job usually means a decision about the 401(k), and sometimes about company stock. Holland Capital acts as a fiduciary when providing financial planning and investment advice. That means the recommendation has to put your interests first.
Rolling a 401(k) into an IRA that we manage would add to our fee. If that is what we recommend, we tell you before you decide, and we show you how it compares with leaving the money where it is.
How Much of My Savings Should Be in My Employer’s Stock?
There is no single right percentage. The answer depends on how secure your job feels, how much else you own and how soon you will need the money.
One question helps: if the company had a bad year, how much would that hurt your paycheck and your savings at the same time? If the answer is “a lot,” it may be worth reducing the stock gradually, while considering the tax cost.
Where Do We Meet in Mooresville?
At the Regus center on South Main Street in downtown Mooresville, by appointment.
Shorter reviews of your statements and benefits can happen by video or phone.
Photo: Cdtew / Wikimedia Commons / CC BY-SA 3.0, cropped.
