TFP #040: 5 Ideas to Save Taxes With Your RSUs

Read Time: 4 minutes

Welcome to the 40th edition of the Tech Financial Planning (TFP) newsletter.

If you work at a public tech company, RSUs can represent a significant portion of your total compensation

While you can’t control the timing of when your RSUs are taxed, there are ways to use your RSUs to lower your total tax bill.

Either now or in the future.

In this newsletter we’ll break down 5 possible ways to use your RSUs to reduce taxes, run through an example, and importantly, consider when you don’t want to use these strategies.

TFP #039: 5 Money Myths

Read Time: 5 minutes

Welcome to the 39th edition of the Tech Financial Planning (TFP) newsletter.

Over the past few years of working with tech professionals, I’ve discovered a number of myths and half-truths that people believe.

And more importantly, they are driving people’s behavior around money.

In this newsletter, we’ll break down 5 common myths I have heard and why they aren’t true.

TFP #037: Covered Calls - A Case Study

Read Time: 4 minutes

Welcome to the 37th edition of the Tech Financial Planning (TFP) newsletter

If you have a big bunch of company stock, figuring out what to do with it can be paralyzing

While the textbook answer is to sell most (all) and diversify, that is easier said than done.

In this newsletter, we’ll break down a case study of how we are using covered calls to diversify a client’s holdings while generating thousands of dollars in income

TFP #036: 2 Questions To Ask Yourself When Your RSUs Vest

Read Time: 5 minutes

Welcome to the 36th edition of the Tech Financial Planning (TFP) newsletter.

If you receive RSUs, you’ll need to decide what you will do when your shares vest.

Otherwise you may be sitting on a ticking (tax and financial) time bomb.

In this newsletter we’ll break down the 2 questions you should be asking yourself when your RSUs vest, plus 2 planning examples based on client scenarios we’ve worked through.

TFP #035: 7 Common Mistakes People Make With Their Stock Options

Read Time: 5 minutes

Welcome to the 35th edition of the Tech Financial Planning (TFP) newsletter.

Uncle Ben (of Spiderman) famously said “with great power comes great responsibility.”

And if Uncle Ben were a financial advisor talking about stock options, I think he’d expand on this quote and say with “with great stock options comes great responsibility, and if you’re not careful, great mistakes.”

(Insert groaning at this awful attempt at humor)

In this newsletter we’ll break down 7 common mistakes people make with their stock options.

TFP #034: Reflections On 3 Years In Business

Read Time: 8 minutes

Welcome to the 34th edition of the Tech Financial Planning (TFP) newsletter.

It’s crazy to think that Coastal Capital Advisors (CCA) has been a business for over 3 years now.

What started as an idea in late 2019 became us quitting our jobs and starting in April of 2020.

Chris quit his job in early 2020 with a 3 month old and I quit in March 2020 as Procore gave the work from home order as the pandemic started.

Not what I’d call an ideal time to start a business.

In many ways, it feels like we just started yesterday. 

But if CCA was a college student, we’d be entering our senior year - this blows my mind.

So I wanted to use this as a time to reflect on the last 3 years, and spend a little time looking forward.

TFP #033: Is Renting Really Throwing Money Away?

Read Time: 4 minutes

Welcome to the 33rd edition of the Tech Financial Planning (TFP) newsletter.

A common reason I hear people say they want to buy a house is because they want to “stop throwing money away at rent.”

I certainly empathize with that sentiment, but does that make it a good financial decision?

In this newsletter we will break down why this is partially true, because you “throw money away” when you own a home too.

TFP #032: Is Buying A House A Good Financial Decision?

Reading Time: 4.5 minutes

Welcome to the 32nd edition of the Tech Financial Planning (TFP) newsletter.

Is buying a house a good financial decision?

People often say buying a house was the best financial decision they’ve ever made.

Or people say that they need to buy a house so they “stop throwing away money in rent.”

In this newsletter we will dive into the true math on home ownership, the many “hidden costs,” and what the different outcomes are.

TFP #031: A Framework For Your Equity Comp

Welcome to the 31st edition of the Tech Financial Planning (TFP) newsletter.

If you Google “what to do with my equity compensation” you get 823 million results!

How the heck are you supposed to make a good, wise, financial decision?

Particularly if you are new to equity comp or have more complex situations? 

In this newsletter we’ll break down a framework for making decisions for your equity comp and review 3 specific scenarios with some real life examples.

TFP #030: Two Secrets To Creating Wealth

Read Time: 3 minutes

Welcome to the 30th edition of the Tech Financial Planning (TFP) newsletter.

Whenever we hear about wealth, we mostly think about the uber wealthy and the overnight successes.

If you're looking for a magic formula for getting rich quick, you're in the wrong place. 

But if you're ready to learn the secrets of building wealth slowly and steadily, read on.

TFP #029: 6 Financial Planning Mistakes Tech Professionals Make

Read Time: 3 minutes

Welcome to the 29th edition of the Tech Financial Planning (TFP) newsletter.

Over the past 3 years I’ve met with hundreds of tech professionals, and I’ve seen 6 common financial planning mistakes.

These can cost thousands or even millions of dollars.

In this newsletter, we will explore 6 common financial planning mistakes tech professionals make and some possible ways to avoid them.

TFP #028: A Better Approach To Budgeting

Read Time: 5 minutes

Welcome to the 28th edition of the Tech Financial Planning (TFP) newsletter.

Most of us, myself included have tried and failed with traditional budgeting.

If pouring over spreadsheets isn’t for you, meet reverse budgeting.

In this newsletter we will discuss why reverse budgeting may be the solution for those who struggle with traditional budgeting, and how it can help you take control of your finances.

TFP #027: A Strategy To Generate Income On Your Concentrated Position

Read Time: 5 minutes

Welcome to the 27th edition of the Tech Financial Planning (TFP) newsletter.

If you have a big bunch of stock in one company, one of the hardest decisions is to deciding when to sell.

For tech professionals with larger, concentrated positions, covered calls can be a great strategy to generate some extra cash, while limiting some downside.

In this newsletter, we’ll break down what covered calls are, why you would use them, go through a rough framework, and run through an example.

TFP #026: Price Targets Beware

Read Time: 5 minutes

Welcome to the 26th edition of the Tech Financial Planning (TFP) newsletter

A prospect refused to sell his company stock because all the analysts said the stock would go up another 25% in the next 12 months.

Enter 2022 - the value of the stock dropped over 50% and cost them over $500,000

In this newsletter, we’ll break down why I believe price targets are useless at best and how they can lead to poor investing decisions

TFP #025: Walter White's Method For Estimating Life Insurance Need

Read Time: 4 minutes

Welcome to the 25th edition of the Tech Financial Planning (TFP) newsletter.

In Breaking Bad, Walter White is figuring out how much money he needs from selling meth to provide for his family.

After doing some math, he comes to the conclusion: “$737,000. That is what I need.”

In this newsletter, we’ll break down if you need life insurance, how much you need, and taking a look at how much Walter White needed.

TFP #024: What Do I Need To Think About If I Get Laid Off?

Read Time: 1 minute

Welcome to the 24th edition of the Tech Financial Planning (TFP) newsletter.

2022 and 2023 have been brutal for tech employees - so far in 2023 there’s been nearly 150,000 people laid off.

Losing your job can be extremely stressful, both professionally, personally, and financially.

in this newsletter, we will share a checklist that covers key areas to consider if you or someone you care about loses their job.

TFP #023: A Tool for Easy 401k Rollovers

Read Time: 4 minutes

Welcome to the 23rd edition of the Tech Financial Planning (TFP) newsletter.

The average person changes jobs 12 times in their lifetime.

This could mean 12 different retirement plans in 12 different places

In this newsletter we will discuss your options when you leave a job, the issue with 401k rollovers, and an awesome tool that can make it easier

TFP #022: Avoiding The "Double Tax" On Your Equity Comp

Read time: 5 minutes

Welcome to the 22nd edition of the Tech Financial Planning (TFP) newsletter.

As we enter tax season, there’s an easy mistake that can cost tech professionals big time.

The dreaded double tax on their stock compensation.

In this newsletter we’ll break down what the double tax is, how it happens, and how to avoid it.

TFP #021: A Case For Optimism

Read time: 4 minutes

“To be a successful investor, you’ve got to be an optimist. You have to believe in the innovations that come from the human mind and the human spirit.”

Charles Schwab

As we come off a rough 2022 for markets, it’s easy to be pessimistic.

The headlines are almost all bad news

  • Experts predict a recession

  • Companies are laying people off

  • Inflation is still high

  • Home prices are dropping

And so forth.

I’d like to use this newsletter as a measured case for optimism.

First and foremost, I believe we live in the greatest time in human history.