Don’t Let a College Savings Plan Crack Your Retirement Nest Egg

Wednesday, January 18 at 09:15 AM
Category: Personal Finance

Balancing saving for retirement and saving for your child's college can be tricky. Here are some tips to help you manage both at the same time.

LOWELL, Ark.  Two of the largest savings plans consumers need to fund and manage in their lifetime are saving for their child’s college and for their personal retirement. These are plans that take time to adequately build, but one doesn’t have to negate the other. Both can be managed successfully and simultaneously through early planning.

“Above all, start saving for both as soon as possible,” said Donny Rogers, President of Arvest Bank Trust. “From the moment you get your first job to the moment you learn you’re going to be a parent, set aside money and let it grow.”

Rogers says the balancing act begins with determining how much of the college expense parents want to fund and what other big-ticket expenses they may also cover for their children. 

“It’s smart to focus on saving for college, but the reality is that there are a few other large expenses that require long-term budgeting,” Rogers said. “If you plan on buying your teenager their first car or paying for a daughter’s wedding, you need to factor those expenses into your budget so you segment your savings plans across the board. I always tell parents that it’s fair to require some ‘sweat equity’ from their kids so they contribute to the expense of paying for a car or shouldering a portion of any student loans. There’s no expectation that parents pay 100 percent of all of those expenses.”

A 529 Plan offers a tax-free savings option for college that is specifically earmarked for post-secondary education. These state-specific plans have different rules of engagement but typically can be used to fund expenses from tuition to housing to other necessary items for school. Significant supplemental funding is also available in the form of academic, athletic and arts scholarships.  

While you can borrow for college expenses, you can’t do the same for retirement savings. Therefore, it’s critical to begin saving early for your retirement nest egg and to budget in parallel with other savings priorities. Maximizing an employer’s 401(k) matching option puts “free money” in your account. In the event you need to adjust your savings more heavily toward college, be sure not to reduce your retirement savings below the level of employer matching. It’s recommended that 10 percent of your income be allocated toward retirement every year.

“Regardless of how well you plan, there will inevitably be change and the need for adjustments along the way, and that’s perfectly normal,” Rogers said. “Consistency will reward your efforts when you need to utilize those funds.”

The so-called “catch-up plan” that allows individuals age 50 and over to make extra contributions can help consumers make up for lost ground during the saving process, once college and major expenses have been paid for, but Rogers advises customers not to lean too heavily on that option. He says the number of variables involved in retirement planning can sometimes cause consumers to miss significant savings. Those may include the length of time one plans to work, or is able to work; the kind of lifestyle one wants to lead after retirement; the security of their career and other potential factors or risks.

In addition, the rate of inflation and the rising cost of college tuition will affect how much of an impact savings for college and retirement have on the larger family budget, making that early foundation and steady savings plan even more important in the long run.

Tags: College, Financial Education, Press Release, Retirement, Savings
 

Friday Financial Forum Jan. 20 in Bartlesville, Okla.

Tuesday, January 17 at 04:45 AM
Category: Arvest Community News

Join us Friday, Jan. 20 at 10 a.m. for our Friday Financial Forum. We will meet at the Friday Forum Room at Arvest's East Side Branch, located at 4225 S.E. Adams Rd. in Bartlesville, Okla.*

This week Val Callaghan, managing director of the Bartlesville Community Center will be bringing an update of what’s happening this year at the Bartlesville Community Center. Val was born and raised in Southern Africa and moved to Bartlesville to attend OKWU. She came to the Bartlesville Community Center in 2008 as executive assistant and was named managing director of the center in November 2010. 

The Bartlesville Community Center opened in January of 1982 and was immediately recognized as one of the finest performing arts halls in the country. The modern architectural design was the vision of William Wesley Peters, apprentice and protégé of Frank Lloyd Wright, as well as former chief architect of Taliesin West and was created to mesh seamlessly with other remarkable examples of architecture found in Bartlesville, such as the famous Price Tower, Frank Lloyd Wright's only skyscraper.

Frank Lloyd Wright's widow, Olgivanna Lloyd Wright, selected most of the decor, adding a modern, elegant finish to the interior. Perhaps most notably, remarkable are the crystalline light fixtures suspended like icicles from the ceiling in Community Hall. The world’s largest cloisonné artwork, a mural that is 25-feet long which depicting a stylized northeastern Oklahoma countryside can be seen upon entering the foyer.

The acoustically superb performance hall seats over 1,700 and is the main focus of the Bartlesville Community Center and has played host to an amazing array of events, world-renowned symphony performances, concert events, ballet, Broadway in Bartlesville stage productions and musicals, lectures and seminars.

We will also have a special Inauguration Day presentation beginning at 10:45 a.m. (11:45 a.m. Washington D.C. time!) that you will not want to miss!

What you can also expect at the event:

  • Information: Community leaders share topical, local and state information (Sen. Julie Daniels, Rep. Earl Sears & Rep. Travis Dunlap) 
  • Stock Report and Economic Update: Josh Randolph**, Arvest Wealth Management, and Sonya Reed**, Arvest Wealth Management
  • News: "The Scoop"  all about business and community happenings in Bartlesville (Billie Roane, Arvest Bank) 
  • Hilarious Anecdotes: Jim Bohnsack, Arvest Bank

Invite a friend and come enjoy delicious homemade cookies and hear about what’s going on in the Bartlesville area!   

If you have any questions or would like to be included on the invitation email list, please contact Billie Roane at (918) 337-4358. We look forward to seeing you there!

Links marked with * go to a third-party site not operated or endorsed by Arvest Bank, an FDIC-insured institution.

**Josh Randolph Oklahoma Insurance License #122041 and Sonya Reed Oklahoma Insurance License # 111796

Tags: Bartlesville, Community Support, Oklahoma
 

Gable Sloan Bakes for Charity – People Helping People Series

Monday, January 16 at 04:10 PM
Category: Arvest Community News
Gable Sloan, now a sixth grader, found her passion for baking when she was 7 years old. She realized her passion could turn into something bigger – a business selling her baked goods. While most kids might spend their money, Gable wanted to do more with her earnings. She started donating her money to different charities. Gable has awarded one scholarship and plans to award another scholarship to a graduating high school senior this year. By the time she’s 18, Gable hopes to raise $100,000 for different charities and scholarship funds! Watch Gable in action.

Gable’s story is part of Arvest Bank’s People Helping People series featuring citizens giving back to their community. 

Keep an eye on our social media channels for both videos and written stories highlighting the good works of dedicated citizens in the communities Arvest Bank serves.  

Links marked with * go to a third-party site not operated or endorsed by Arvest Bank, an FDIC-insured institution.  

Tags: Arkansas, Charitable Giving, College, Community Support, Fayetteville, People Helping People
 

MLK Reception in Fayetteville, Ark. Successful

Monday, January 16 at 03:15 PM
Category: Arvest Community News
Arvest Bank in Fayetteville hosted its annual Dr. Martin Luther King, Jr. reception at 2 p.m. today. The annual reception honors the life and work of the great civil rights leader, and this year featured guest speaker Joseph K. Wood, the Holcomb Honor Choir and winners of the Yvonne Richardson Center essay contest. 

Wood is the newly elected Washington County Judge and former Deputy Secretary of State for Arkansas. Before that, he worked for Walmart Stores, Inc. corporate office as head of international recruitment and staffing. 
 
“The speaker and reception honoring Dr. Martin Luther King, Jr. is one of the most anticipated events we host each year,” said Gaye Wilcox, EVP and Sales Manager of Arvest Bank in Fayetteville. “We look forward to it as a great way to honor Dr. King while remaining open to serve our customers.”
 
Winners of the essay contest are Isaiah Stevenson, a fourth grader from Asbell Elementary in first place, Selah Anderson, a third grader from Asbell Elementary in second place and Emily Jarmon, a fourth grader from Washington Elementary in third place. Tenisha Gist, director of the Yvonne Richardson Center and R. Janae Pitts-Murdock, program recreation assistant, accompanied the essay winners to the reception where each were encouraged to read their entry to the audience. Arvest Bank provided the prizes for the contest: a $75 gift card for first place, a $50 gift card for second place and a $25 gift card for third place.
 
Wood started out his life as a foundling abandoned on the streets at birth and spent the first few years of his life in an orphanage. Adopted into a family that included two brothers and a sister, he grew up in the tough neighborhoods of Chicago. His parents, a construction worker and an educator, stressed hard work and education along with serving the community. 
 
He earned his business administration degree from Iowa State University in 1987 and finished his Master of Christian Leadership degree in 2016. 
 
Wood has a variety of business experience, including owning his own career consulting firm and working as assistant director of admissions for the University of Chicago Graduate School of Business. He also formerly worked as a state bank examiner. 
 
Among his many community service activities, Wood serves on the board for KIPP (Knowledge Is Power Program), Delta Public Schools, is a board member for Youth Bridge, is a state representative for Sister Cities International, serves on the Region 2 Selective Services board and is a member of the Board of Governance for Ecclesia College in Springdale. He formerly served on the University of Arkansas Chancellor’s Diversity Advisory Board and on the board for the NWA American Red Cross. 
 
Wood and his wife of 24 years, June Wood, moved to Washington County in 1997 and share their home with June’s mother. The couple has three daughters and two grandsons. The family attends Christian Life Cathedral in Fayetteville.  
 
Tags: Arkansas, Community Support, Fayetteville
 

Belford Joins Commercial Banking Team in Edmond, Okla.

Monday, January 16 at 05:15 AM
Category: Arvest Community News

Industry veteran brings expertise in commercial lending.

EDMOND, Okla. – Arvest Bank is pleased to announce the hiring of Shandy Belford.

As Senior Vice President, Commercial Banker, Belford will generate, evaluate and approve commercial loans, among other duties. She will office at Arvest’s 1501 W. Edmond Rd. branch in Edmond, Okla.

Belford has 12 years of banking and commercial lending experience, most recently at BancFirst. She also worked previously at MidFirst Bank and Bank of Oklahoma.

A resident of Edmond, Belford earned a bachelor’s degree from Southwestern Oklahoma State University. She is active in numerous civic groups and holds leadership positions with the Edmond Public Schools Foundation (board member) and the Edmond Area Chamber of Commerce (chair of Leadership Edmond). Belford and her husband, Chris, have three children.

Tags: Associates, Oklahoma, Oklahoma City, Press Release

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