360° Coverage : Alexa von Tobel: How To Be The Master Of Your Financial Future

2 Updates
Alexa von Tobel: How To Be The Master Of Your Financial Future

Alexa von Tobel: How To Be The Master Of Your Financial Future

Jan 20 2014, 8:47am CST | by

I recently caught up with personal finance guru, Alexa von Tobel, on the tour for her New York Times bestselling book “Financially Fearless: The LearnVest Program for Taking Control of Your Money“....

Filed under: news

 
 
 

39 weeks ago

Alexa von Tobel: How To Be The Master Of Your Financial Future

Jan 20 2014, 8:47am CST | by

I recently caught up with personal finance guru, Alexa von Tobel, on the tour for her New York Times bestselling book “Financially Fearless: The LearnVest Program for Taking Control of Your Money“. Tobel is the founder and CEO of LearnVest.com, a company that intends to bring financial literacy to women everywhere.

A graduate of Harvard College, she was a trader at Morgan Stanley on their Proprietary Trading Desk, before leaving to be the Head of Business Development at Drop.io. From there, she attending Harvard Business School up until she took a leave of absence to launch her company. Tobel has received a lot of recognition in the past years including being listed on the Forbes 30 Under 30.

In the following interview I did with her, she talks about the origins of her company, her 50/20/30 financial plan that she offers people, her view on how Hollywood has portrayed her industry and her best advice.

Dan Schawbel: How and when do you originally create the LearnVest program and what did you do in order to get people to start looking at it as a viable option?

Alexa von Tobel: The LearnVest Action Program has been in the works for the past few years—it highlights best-in-class financial planning principles and puts them into a format that allows people to really make progress on their money.

Critical financial planning steps—like making sure you have the right insurance—can be daunting. Our 7-Step Program makes these steps actionable, and our team of LearnVest Experts holds our members accountable to take action.

Traditional financial plans cost something in the $3-$5k range, which is out of reach for most Americans. We think it’s important that financial planning not be a luxury, so we’ve worked hard to leverage technology to offer a subscription service with affordable pricing.

Since we’ve started, we’ve been spreading the word about LearnVest and Financially Fearless is a great way for people to engage with the company. Each copy of the book comes with a free check-in call with our LearnVest Experts and a $50 credit toward the Action Program.

Dan: Can you explain the 50/20/30 plan and share an example of someone who used it successfully?

Tobel: There are a lot of budgeting frameworks out there, but this is the method I like best as it gets straight to the big picture of your finances. Budgets don’t have to be synonymous with deprivation. This budget is about making room for your important financial goals, while also leaving room for you to enjoy what you earn. What’s the point of creating a budget if it’s not possible to follow through?

The 50/20/30 formula is a macro-level budget. It suggests that 50% of your take-home pay goes to your essentials (rent/mortgage, utilities, groceries and transportation to work), 20% goes to your future (emergency savings, debt repayment, retirement funds), and 30% goes to your lifestyle (travel, shopping, eating out, etc.).

One of the most important times to think through this method is when you’re in the process of moving. It’s so tempting to overspend on our homes, but whatever your home costs you, it’s recommended that it stays within your essentials. If you get the big stuff right, it’s much easier to stick to everything else.

Dan: What impact do you think movies like The Wolf of Wall Street and Boiler Room have on the financial industry and your business?

Tobel: Movies like The Wolf of Wall Street and Boiler Room often show the glamorous, “sexy” side of the financial services industry. They suggest that there’s massive wealth to be had with the right investment decisions and perhaps a few shady moves. The financial services industry has had a rocky reputation over the past few years, and that’s something LearnVest is actively trying to change. We’re committed to being a trusted and unbiased resource for people nationwide. Our mission is to help people feel amazing about their money—that’s what excites me and that’s what I’m passionate about.

Dan: Why do you believe that financial literacy isn’t taught in our school system? Do you have any plans to partner with schools?

Tobel: I can’t tell you exactly why personal finance is not part of our education system today, but I can tell you that it absolutely should be. I have a whole TED talk on the topic; there’s a negative domino effect to not educating our younger generations about money. I’m talking basics here—the importance of saving for retirement early, checking your credit score, being thoughtful about student loan debt./>/>/>

As LearnVest grows, financial literacy will remain a core mission of ours, and I hope to do more with bringing money education to schools. That’s part of why I’m so excited about the Financially Fearless America book tour—we’re speaking to thousands of people, students included, to spread the word.

Dan: What are your top three career tips?

Tobel

1. When everyone zigs, zag. Be a risk-taker. I dropped out of Harvard Business School in the heart of the Recession to launch LearnVest. Was it a crazy idea? Probably. But I was passionate about my mission and had a solid business plan in place. Diving in is a scary move, but the rewards make it all worthwhile.

2. It may sounds silly, but one of my favorite work mottos is get up, dress up, show up. It’s important to be ready to go, whatever day you have ahead of you. Show up with a smile and a great attitude.

3. Be OK with failure.

Dan Schawbel is a workplace speaker and the New York Times best-selling author of Promote Yourself. Subscribe to his free monthly newsletter for more career tips.

Source: Forbes Business

 
Update
2

7 weeks ago

Khazanah throws MAS RM6b lifeline

Aug 29 2014 5:01pm CDT | Source: Business Times Singapore

August 30, 2014 1:15 AMKHAZANAH Nasional will inject RM6 billion (SS$2.4 billion) over three years to resuscitate loss-making Malaysia Airlines (MAS) under a recovery plan that includes even an Act of Parliament. Other key moves are migrating its operations, assets and liabilities to a new company (NewCo) and slashing the w ...
Source: Business Times Singapore   Full article at: Business Times Singapore
 

 
Update
1

7 weeks ago

MAS posts loss of RM307m for Q2

Aug 28 2014 5:00pm CDT | Source: Business Times Singapore

August 29, 2014 1:13 AMMALAYSIA Airlines (MAS) registered a loss of RM307 million (S$122 million) for the second quarter to end-June, but warned of worse to come in the second half when the "full financial impact of the double ...
Source: Business Times Singapore   Full article at: Business Times Singapore
 

 

Don't miss ...

 

<a href="/latest_stories/all/all/30" rel="author">Forbes</a>
Forbes is among the most trusted resources for the world's business and investment leaders, providing them the uncompromising commentary, concise analysis, relevant tools and real-time reporting they need to succeed at work, profit from investing and have fun with the rewards of winning.

 

blog comments powered by Disqus

Latest stories

Budapest: the 'startup' capital of Eastern Europe
Budapest, Oct 21 (IANS/EFE) Barack Obama, the Dalai Lama and NASA all have one thing in common - the fact that they distributed live videos on Ustream, the app of the Hungarian startup that represents Budapest's potential to become a technology hotspot of Europe's eastern region.
 
 
Developing countries participate in half of world trade
Geneva, Oct 21 (IANS/EFE) The participation of developing countries in world trade accounts for nearly half of global trade, according to a report by the World Trade Organisation (WTO).
 
 
India showcases IPL as driver of economic development
United Nations, Oct 21 (IANS) The success of the Indian Premier League (IPL) in cricket embodies the emergence of sports as a global industry that promotes economic development and job creation in developing countries, India told the UN General Assembly (UNGA) Monday.
 
 
Cuba dispatches two new medical brigades to Africa
Havana, Oct 21 (IANS/EFE) Cuban President Raul Castro has announced that two health brigades from the island will be dispatched to Liberia and Guinea Conakry this week to collaborate in the fight against the Ebola virus disease epidemic.
 
 
 

Latest from the Network

1,074 new dengue cases in Chinese province
Beijing, Oct 18 (IANS) China's Guangdong province has reported 1,047 new cases of dengue fever, health authorities said Saturday. Six people have already died in Guangdong -- five in Guangzhou and one in adjacent...
Read more on Business Balla
 
Blake Lively 'always' wanted to be mum
Blake Lively has ''always'' wanted to be a mother. The 27-year-old actress is expecting her first child with husband Ryan Reynolds and she admits she's been dreaming of this moment since she was a youngster. Speaking...
Read more on Celebrity Balla
 
Kris Jenner 'torn apart' by Bruce's new relationship
Kris Jenner feels ''torn apart and angry'' that Bruce Jenner is dating her former assistant. The 58-year-old matriarch split from the 64-year-old Olympic gold medalist last October following 22-years of marriage but is...
Read more on Celebrity Balla
 
Cheryl Fernandez-Versini won't move to France
Cheryl Fernandez-Versini doesn't want to move to her husband's home country of France. The 'X Factor' judge, 31, who comes from Newcastle, is adamant she won't be relocating any time soon to suit her new spouse Jean-...
Read more on Celebrity Balla
 
Lance Bass sets wedding date
Lance Bass has set a date for his wedding. The former *NSYNC singer and his partner Michael Turchin, who have been dating for two-and-a-half years, are to tie the knot on December 20, 2014, a representative for the...
Read more on Celebrity Balla
 
Nepal avalanche toll reaches 39
Kathmandu, Oct 18 (IANS) At least 39 climbers died while hiking on a key Nepali route after it was hit by a major snowstorm and avalanches earlier this week, BBC reported Saturday citing officials. Over 350 stranded...
Read more on Politics Balla
 
Jake Gyllenhaal says society is complicit in 'nightcrawling'
Jake Gyllenhaal says almost everybody in society ought to relate to his new movie 'Nightcrawlers'. The eagerly-awaited film concerns those people who monitor police scanners and then race to crime scenes to film eye-...
Read more on Movie Balla
 
India eves look for first win in AFC U-16 qualifiers
Dhaka, Oct 18 (IANS) India will hope to register their first win of the 2015 Asian Football Confederation (AFC) Under-16 Women's Championship qualifiers when they take on hosts Bangladesh in a crucial encounter at the...
Read more on Sport Balla
 
Moyes mulling return to management
London, Oct 18 (IANS) Former Manchester United manager David Moyes said that he is ready to revive his managerial career six months after being sacked by the 'Red Devils'. "I am ready to return. I have enjoyed the...
Read more on Sport Balla
 
Ebola fears loom over Ghana hosting AFCON
Accra (Ghana), Oct 18 (IANS) The Ghana Medical Association (GMA) cautioned the government Saturday against hosting the 2015 African Cup of Nations (AFCON), despite a request by the Confederation of African Football (...
Read more on Sport Balla