You Don't Know What You Don't Know

Financial advisors-in-a-box drive me nuts. I've had serious conversations with seemingly rational, intelligent people who will stand on their soapbox and defend to the death the advice they received from their advisor-in-a-box.

I've read the books by these "advisors" so I could know and understand what their followers are being sucked into. The flavor of Kool-aid they are drinking this week. So many times I've held back laughter at the ideas they sprinkle all over their readers as if every person reading their words is identical in situation, goals, and ability.

The most fun is watching their respective television shows and hearing them give advice, without a license, to the desperate poor in our country. Their target audience are those who have a large amount of debt, have been irresponsible in their past, and/or are in complete denial about what they should or should not own. Even more entertaining is when I run into someone who is definitely NOT in their target market, meet none of their criteria as an audience, and these people still follow their incomplete and nonsensical advice.

Just prior to writing this entry I was doing a little internet surfing and listening to one of their do-it-yourself shows and heard the best advice ever to their single, 30-something viewer. "Save $1,000 each month, that's $12,000, into a Roth IRA and then save as much as you can with a match into your 401(k)." Woooow. Really? Wouldn't that be great? The IRS allows $5,000 max in 2008 and 2009 unless you are over 50, then you can tack on another thou for a grand total of $6,000. Not to mention there are income limitations and not everyone can contribute to a Roth IRA. Many normal people wouldn't have a clue, thus proving my point that they have no idea what they are talking about.

I heard another television advisor answering questions about life insurance products and the question was one that I understood clearly, but judging by the words and direction of this person's answer she didn't possess the knowledge and understanding of the product to even know that there was a question.

Yet, you are out there in the world and here I sit. Criminal. Absolutely criminal.