Your Green Financial Future
Over the next few weeks, Newday will provide information to help you prepare for your financial future and clean up your portfolio, so you can find comfort in what your capital represents.
I’ve been told there are many ways to financially prepare for the future. The following is my shortlist of collected wisdom, to varying degrees of utility:
outsmart your competitors;
never get a boat;
take your high school math teacher’s advice and slowly grow a meager chunk of your paycheck into a million dollars;
buy up a lot of cheap land and plant palm trees (one of my personal favorites);
and the essential: if you’re not making money as you sleep, you're losing money.
According to a 2019 Northwestern Mutual study, around 20% of Americans have less than $5,000 saved for retirement, and around 20% have less than $5,000 in personal savings. And for many more of us, the past few months have cast a mean look on the ways we manage our money; that is to say, we are largely unprepared and relief has not been exactly smooth.
For example, most small businesses owned by people of color were shut out of the Paid Protection Program (PPP)—which was supposed to benefit and prioritize them.
No matter our position, or how well we’ve individually fared the pandemic and economic down-spiral, it is clear that everyone needs to start re-understanding money as a powerful form of social, political, and environmental currency at every point in the system. Whether you have $200 dollars in a savings account, or hundreds of thousands in a diversified investment portfolio—in the coming months we all have an opportunity to align our financial management with our values.
After my own family’s precarious sprint through the PPP, we found a smaller, local bank to be abundantly more helpful and available than Wells Fargo, where we do most of our banking, and are now officially switching to a community bank. Chances are your big bank also finances fossil fuels, which you can check out here; whereas belonging to a community bank often means you’re investing back into your local community and businesses.
Over the next few weeks, Newday will provide information to help you prepare for your financial future and clean up your portfolio, so you can find comfort in what your capital represents and can contribute all you’ve got to the causes that matter to you. It’s easier than it sounds.
First up is a workshop to Green Up Your 401k on May 14th at 1:00 pm PDT, co-hosted by our partners at HIP Investors with The Silicon Valley Green Team Network.
As an organization, value-aligned investments can both empower and attract employees. According to a LinkedIn study, “71% of professionals say they would be willing to take a pay cut to work for a company that has a mission they believe in and shared values. Additionally, nearly 2 in 5 (39%) professionals would leave their current job if their employer were to ask them to do something they have an ethical or moral conflict with.”
Greening your organization’s 401k is one way to signal your collective values and strengthen your team. You have a role to play whether you’re a new employee, middle-manager, or in the c-suite. The interactive work session includes a breakout session where you can begin drafting your changes.