Presented by Elevation Point Wealth Partners, LLC in collaboration with Triton Wealth, featuring insights from Mike Ryan, Founding Partner of Triton Wealth.
As Financial Literacy Month draws to a close and we enter a season that celebrates caregivers, parents, and graduates, we’re reminded of one simple truth: financial literacy is one of the most impactful gifts we can give. While many assume financial literacy fundamentals apply only to beginner investors, their value deepens over time and throughout the wealth cycle.
Drawing on the collective expertise of our advisors and the seasoned guidance of Mike Ryan, Founding Partner of Triton Wealth, here are key financial literacy principles that we believe have enduring value:
1. Leverage the Power of Compounding
Compound interest is a force multiplier. For younger investors, starting early (even with small amounts) has potential to yield extraordinary long-term growth. For more established investors, passing this principle on can help instill financial literacy across generations.
2. Create a Reframed Budget. Income – Savings = Expenses
Viewed in this way, this simple formula puts saving first and reframes how we prioritize wealth-building. For affluent families, it’s also a way to model intentional financial behavior for heirs who may not feel the same sense of financial urgency.
3. Build an Emergency Fund
Even for those with significant assets, liquidity matters. A dedicated emergency reserve ensures flexibility and peace of mind without needing to disrupt long-term investments or complex portfolios in times of uncertainty.
4. Understand Tax Implications of Your Earnings
Tax efficiency is critical at every income level, but especially so for high earners. Understanding how income is taxed across ordinary income, capital gains, and other sources can unlock meaningful savings and smarter strategies.
5. Always Pay Yourself First
Automated savings and investment contributions are one of the easiest habits to establish, and one of the most effective over time, thanks to the power of compounding. The journey to lasting wealth begins with habits rooted in consistency and intentionality.
6. Use Debt Strategically
Even for high-net-worth individuals, unnecessary debt can lessen financial flexibility and future opportunities. While leveraging debt strategically (such as for tax optimization or asset growth) can be smart, be cautious of liabilities that don’t serve a clear purpose. Unnecessary debt can compromise liquidity, complicate estate planning, and introduce needless risk.
7. Build a Multi-Generational Plan
Prepare heirs for the future through trusts, family governance, and financial education. Without proper planning, wealth transfers can lead to mismanagement and erosion of assets.
8. Revisit your Plan Regularly
Wealth brings complexity, requiring thoughtful and ongoing attention. Regularly revisit your estate plan to ensure it reflects your current goals and changing circumstances.
Whether you’re guiding early financial decisions or shaping multi-generational legacies, these financial literacy principles remain powerful and timeless.
Disclosure: Elevation Point Wealth Partners, LLC (“Elevation Point”) is an SEC-registered investment adviser. Registration does not imply a certain level of skill or training. This material is provided for informational and educational purposes only and should not be construed as personalized investment, legal, or tax advice. Readers should consult their own financial, legal, or tax professionals before acting on any information contained herein.
The views and opinions expressed in this communication are those of the individual authors or contributors and do not necessarily reflect the views of Elevation Point or its affiliated advisors. Any references to financial planning concepts, strategies, or investment principles are intended to be general in nature and are not intended as a recommendation or endorsement of any specific strategy, product, or service. Past performance is not indicative of future results.
Insights presented in this piece may include input from affiliated advisors, including Mike Ryan, Founding Partner of Triton Wealth, and are based on their professional experience. Appropriate documentation is maintained by Elevation Point to support the inclusion of such insights. No compensation was provided for advisor contributions, and no client testimonials or endorsements are included.
Triton Wealth is a business name (doing business as, or d/b/a) of Elevation Point Wealth Partners, LLC, and is not a separate legal entity.
For more information about Elevation Point and its services, please visit www.elevationpoint.com.
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