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Life in a 50-50 World - What Financial Impact Will It Have on CRNAs?

Life in a 50-50 World - What Financial Impact Will It Have on CRNAs?

January 28, 2021

Another Inauguration Day has passed, and while it was historic, as always, it also felt different this time. Certainly, the country remains split on where we’re headed. One party is optimistic for the future, while the other is concerned about what’s to come.

There’s no question we live in unprecedented times. The rise of social media coupled with the changes in news coverage affect our perception of the world which, in turn, can affect the market.

So how can CRNAs best prepare for the year(s) ahead? Let’s address some of the concerns and discuss what steps you can take to protect your financial future.


Stock Market & Stimulus

Everyone agrees that more stimulus money will likely be released, which adds to the nearly $7 trillion that’s been pumped into the economy thus far. The government’s goal is to boost the economy through spending, and while that is happening, we’ve also seen the gap between the bottom and top increase. People who really need the money are spending it on essentials, while people at the top are investing and seeing returns through stocks and real estate growth.

Speaking of the stock market, a common question being asked right now is what is happening on Wall Street? When we watch the news and read the headlines, it’s impossible to avoid negativity and uncertainty, but when you check the markets, prices are going higher and higher.

The first thing to understand is that the market is forward-looking, so it doesn’t always react to the day-to-day news. The second thing, and maybe the most important, is that the stimulus money has helped boost the stock market along with the economy. All the extra money has continued to push the value of companies higher, but we see it as a 'sugar high'. Hopefully the market can catch up and level off, but it wouldn’t be a surprise to see a market pause after the stimulus payments stop.


National Debt & Taxes

Another big concern for people is what the stimulus will mean for the country’s debt. What will happen with taxes as a result? We’re seeing some tax increases in certain states, but we don’t know yet what it means on a national level. Most experts expect tax rates to rise at some point, possibly during this administration. It may not happen during the pandemic, but it should be on your planning list for 2022.

But don’t necessarily look at the party in charge to determine what you should expect economically. History has shown us that policy, rather than party, has the greatest impact.


Going Forward

So how should you be investing this year with all of these factors in mind? We can’t give you specific financial advice, but we do work with CRNA clients everyday to come up with strategies that benefit each individual. A good strategy has many factors, including time horizon and risk tolerance, but diversification does matter. The market is cyclical so having a variety of investments can reduce risk as sectors move up and down.

One thing is clear: market volatility and event-driven economic issues are always going to be a part of life. Looking back through the years, the list of disruptive events is long and consistent. So how are you preparing for the next slowdown? The key is to pay attention and to have a plan in place. Lean on a Certified Financial Planner who understands the unique needs of CRNAs to help you build a plan and keep you on track during these unpredictable times.

If you want to learn more about your financial plan, connect with us at CRNA Financial Planning.

To listen to this week’s podcast and learn more, click here.

With decades of experience working exclusively with CRNAs, CRNA Financial Planning® has the knowledge to help you save more of your hard earned money and determine appropriate tax minimization strategies. Schedule a free introductory phone call to discuss your current situation and needs. You can also call our office at 855.304.3748 or email us at

The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual security. To determine which investment(s) may be appropriate for you, consult your financial advisor prior to investing.
The S&P 500 Index is a capitalization-weighted index of 500 stocks designed to measure performance of the broad domestic economy through changes in the aggregate market value of 500 stocks representing all major industries.
All performance referenced is historical and is no guarantee of future results. Indexes are unmanaged and cannot be invested into directly.
All investing involves risk including loss of principal. No strategy assures success or protects against loss.
Investment Advice offered through Private Advisor Group, LLC, a Registered Investment Advisor.