Checkpoint Magazine - Winter 2022

Celebrating a Season of Hope

The Pink Walk: Honoring, Remembering, and Celebrating

Unique Ideas for Holiday Giving

Types of IRAs: Which One is Right for You?

The True Cost of Giving a Pet for the Holidays

IN THIS ISSUE:

3Letter from the President

4 Community & Events

6

In the Spotlight: THE PINK WALK: HONORING, REMEMBERING, AND CELEBRATING

9 Feature: UNIQUE IDEAS FOR HOLIDAY GIVING

13

What We Read: THE PARADOX OF CHOICE – HOW THE CULTURE OF ABUNDANCE ROBS US OF SATISFACTION

14

16

Money Management: TYPES OF IRAS: WHICH ONE IS RIGHT FOR YOU?

Lifestyle: THE TRUE COST OF GIVING A PET FOR THE HOLIDAYS

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Copyright ©2022 by Spero Financial and The Brand Leader. All foreign and U.S. rights reserved. Contents of this publication, including images, may not be reproduced without written consent from the publisher. Published for Spero Financial by The Brand Leader.

HOLIDAY HOPE

Spreading Hope for the Holidays

Dear Members,

It’s hard to believe we’re already approaching the end of the year! Where did the time go? 2022 has flown by, and we couldn’t be prouder of all our members have achieved this year. From setting financial goals at the beginning of the year to making smart financial moves to reach those goals, we’ve taken an incredible journey together. The holidays are the perfect time to celebrate all those wins, big or small!

Of course, the holiday season is always busy. Family gatherings. Last-minute shopping. Festive parties. With so much to do, it’s easy to get overwhelmed. I’d like to encourage our members to stop, breathe, and reflect on the goodness of the past year. I recently saw a post on social media that resonated with me. It stated, “too much stimulation, not enough peace.” It paralleled the craziness of our lives and the need to be intentional and nourishing to ourselves and those we love. Let’s find ways to bring a little more peace and hope into this hectic season.

Speaking of hope, I’m thrilled to announce that Spero will be conducting Operation Holiday Hope again this year! By giving a $250 Visa gift card to four families in our community, we’re doing what we can to make the holidays a little merrier and brighter for those who need it the most. If you know of a family or individual in need, nominate them on our website and help us spread the spirit of holiday giving!

You probably picked up on it already, but this edition of Checkpoint is all about the holiday season! We’ll highlight some great gift-giving ideas for our members, help you plan for your Golden Years by taking a look at IRAs, and talk about The Paradox of Choice. This fantastic book can help us cultivate gratitude, especially at this time of year when it’s so easy to lose sight of the true reason for the season.

Thank you so much for being a part of our Spero family. I wish you a holiday season filled with peace and hope!

I appreciate you!

Letter from the President

Brian McKay P RESIDENT

Events

Community Organization Highlights

BEST PLACES TO WORK IN SOUTH CAROLINA Ranking 17th

This distinction is awarded by SC Biz News in partnership with the South Carolina Chamber of Commerce and Best Companies Group.

BEST OF THE UPSTATE WINNER FOR BEST TELLER Jeanie Barron, TellerLink Representative Jeanie has been part of Team Spero (then SC Telco) for 33 years – serving members since May 8, 1989.

More for Our Members

OPERATION HOLIDAY HOPE

Spero

LOUIS C. ADDISON COLLEGE SCHOLARSHIP

Applications are open until December

Apply at www.spero.financial/college-scholarship/

BEST WOMEN IN BUSINESS IN SOUTH CAROLINA

Jessica Baker, Chief Operating Officer

When asked to share the best advice she has received in business, Baker said, “You Do You.”

Best credit union to work for in the nation.

—by American Banker—

Community Spotlight

We are so thankful for a community that rallies together to support worthy causes like the Pink Walk. If you couldn’t attend this year but still want to donate to Play4Kay, it’s easy. Visit www.support.kayyow.com/SperoFinancialAUWBB to make your pledge.

The Pink Walk: Honoring, Remembering, and Celebrating

On Saturday, October 22nd, we gathered for the Pink Walk, our annual community event that raises awareness for those impacted by cancerfor those surviving and thriving, and also honoring those that we have lost. This event was hosted by our credit union and Anderson University Athletics. The AnMed Mammography Mobile, powered by Spero Financial, was also on-site to provide screenings to participants.

In the words of President and CEO Brian McKay, “Most of us have either been personally touched by cancer or know of someone who has, and that commonality ties us together as a community. There’s no question that working together with Anderson University and AnMed Health on this initiative is one of our most powerful efforts because it truly has life-changing impacts. By working together, we are stronger - which is what community is all about.”

According to the American Cancer Society, it’s estimated that 1.9 million new cancer cases will be diagnosed in 2022 alone. Numbers like these underscore the life-changing benefits of early detection and the continued need to find a cure.

In addition to awareness, the walk raised money for Play4Kay, a fundraising initiative that Anderson University Athletics participates in as part of the Kay Yow Cancer Fund. Each year, Anderson University Women’s Basketball hosts a Play4Kay Day. Spero Financial participates by sponsoring the Play4Kay Day t-shirts. For several years running, Anderson University has raised the most money of any Division 2 school in the entire country!

The vision of Play4Kay came directly from Hall-ofFame women’s basketball coach Kay Yow – to bring communities together in the fight against all cancers affecting women. It unites players, coaches, officials, and fans to do something for the greater good that goes beyond the wins and losses in competition.

We were also thrilled to have the AnMed Mammography Mobile at the event! Since 2017, this mobile unit has provided convenient, affordable screening to more than 9,000 women and diagnosed at least 27 instances of breast cancer that may have otherwise gone undetected.

What an honor and a privilege it is to partner with Spero Financial and AnMed for such a worthy cause that has impacted so many in our community. Together, as part of the Trojan family, we will continue to celebrate those who have beat cancer and fight for those who are still battling this disease."

Dr. Bert Epting, Jr. Vice President for Athletics at Anderson University

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CAROLYN P. Member since 1990

UniqueHoliday Giving Ideas for

The holiday season has become synonymous with gift giving, which isn’t necessarily a bad thing. Gifts are great! However, the joy of gift giving can often be overshadowed by an unnecessary need to meet the gift standards of our society.

While a constant barrage of ads and commercials tell us we need to buy more “stuff” for those around us, there’s another way to approach gift giving this year — and it doesn’t involve frenzied shopping or financial stress.

Let’s look at a few gifting alternatives you can consider this season.

1Find local charities or organizations that run specific holiday gift-giving programs.

If you and your family want to continue the holiday spirit, get more information about charities and organizations in your community that offer Christmas programs.

Examples:

THE SALVATION ARMY’S ANGEL TREE PROGRAM

Each year, the Salvation Army provides Christmas gifts to children in local communities. They offer several ways to get involved, including simple monetary donations, adopting a family, and volunteering time. Keep in mind that to apply to adopt a family, you must be a resident of the county where the Salvation Army resides. Contact your local center for more information.

TOYS FOR TOTS

Each year, the Toys for Tots program offers multiple ways to get involved with its mission. You can donate toys, money, or both — visit their website for more information.

2Donate or volunteer with local food banks or meal service organizations.

Volunteering is a fun way to get the whole family involved! Food banks and other meal service charities are typically situated in local communities. To find them, do a quick search for “food bank volunteering near me.” Some of these charities may have age restrictions on volunteers due to safety precautions, so research before you go.

Examples:

MEALS ON WHEELS

Many local Meals on Wheels locations benefit from monetary donations, meal prep volunteers, and delivery route drivers. Reach out to your local community’s Meals on Wheels to learn how you and your family can get involved.

HARVEST HOPE FOOD BANK

This organization serves the Upstate and Midlands and offers multiple ways to get involved. With Harvest Hope, you can become a volunteer, give monetary donations, donate food, and even host your own food drive.

3Get involved with a charity or organization that matters to you.

Charities don’t have to have a holiday-specific program to get involved during the holidays! Discuss with your family some causes you care about, then research local ways you can make a difference. This way, everyone can rally behind the organization they are passionate about and figure out the best way to make an impact — whether donating time, money, or materials.

4Look to the community around you and meet a need you see.

This creative approach to the holidays can encourage your family to become more aware of your community and consider the needs of others. If you have children, you could begin by asking them to pay attention to their peers in school, sports practices, or other activities they may participate in. What a great way to remind them that they should look for ways to help others and make someone else smile!

While this list isn’t exhaustive, we hope it will spark fun conversations about unconventional gift-giving options this holiday season. Whether you have children or not, there are many ways to get creative with your giving this year. After all, one of the greatest gifts we can receive is the joy of giving to others.

That Even

Can Swing

What We Read

The Paradox of Choice: How the Culture of Abundance Robs Us of Satisfaction

SYNOPSIS

American psychologist Barry Schwartz’s fascinating book is a social critique of our modern obsession with choice and how it results in less satisfaction, regret, and anxiety for consumers. All decision-making aspects of modern life have been inundated with an overabundance of alternatives, whether that means buying a new pair of jeans or picking out a new doctor. Our society is overwhelmed with decision overload.

WHY READ IT

This book details the interesting way that choice can sometimes lead to dissatisfaction after feeling that we’ve made the wrong decision, but it also offers some excellent advice on what we can do about that choice.

It puts this plethora of decisions into perspective and gives insight into how we can be content with our choices.

SPECIAL TAKEAWAY

“Learning to choose is hard. Learning to choose well is harder. And learning to choose well in a world of unlimited possibilities is harder still, perhaps too hard.” At this time of year, when we celebrate friends, family, and a spirit of gratitude, we are also bombarded with the idea of gifts — and stuff in general. It’s helpful to be reminded that having more options for materialistic choices doesn’t necessarily make us happier. Instead, the book reveals, “What seems to be the most important factor in providing happiness is close social relations.”

THE FINAL WORD

Decisions, decisions. We can’t avoid them, and we have to make them every day. Knowing this and understanding that we can control our response to all the choices we encounter can help us appreciate the things that we already have –which is especially important in the midst of the holidays!

Types of IRAs: Which One is Right for You?

Thinking about IRAs and saving for retirement is probably not top-of-mind to most of us during this time of year. However, as the holiday festivities wane and we move into the new year, it is a great time to get ahead on your retirement planning. As you do so, researching IRAs is the perfect first step. And the best part, we’ve done the heavy lifting for you - all you have to do is continue reading!

What is an IRA?

An IRA is an individual retirement account, a form of pension that provides tax breaks on retirement savings to the account holder. There are several types of IRAs to choose from, each with a distinctive tax advantage. Depending on your current situation and future goals, investing in multiple IRAs can be part of a well-rounded retirement strategy.

Still not sure what IRA is best for you?

Spero is ready to help! We offer Traditional and Roth IRAs and would love to help you determine which option is right for you. Contact a Spero representative today to get started!

Types of IRAs

TRADITIONAL IRA

A traditional IRA allows the account holder to make pre-tax contributions towards retirement. Required minimum distributions start when the account holder turns 72 years old, and the distributions are taxed at the current income tax rate of the account’s owner. Annual contributions are limited to $6,000 if you are younger than 50 and $7,000 if you're 50 or older.

ROTH IRA

Roth IRA's share the same contribution limits as a traditional IRA but your filing status and income level may affect what you can contribute. Contributions to a Roth IRA are made on an after-tax basis; therefore, your withdrawals are not taxed. This makes a Roth IRA a good choice for those who expect their tax bracket to be higher when they retire than it is currently.

SEP IRA

A SEP (Simplified Employee Pension) IRA is a type of traditional IRA that employers set up for their employees. Annual contributions to a SEP IRA are higher than other tax-favored retirement accounts. Employer contributions must be equal for all employees, regardless of the employer’s cash flow. Based on these considerations, SEP IRAs are typically a good choice for self-employed people or small business owners.

SIMPLE IRA

A SIMPLE IRA stands for Savings Incentive Match Plan for Employees. Similar to employersponsored 401(k)s, SIMPLE IRAs offer an attractive option for small businesses and selfemployed individuals. Contribution limits to SIMPLE IRAs are lower than contributions for 401(k)s, and employers must match up to 3% of the employee's compensation or maintain a fixed contribution of 2%.

NON-DEDUCTIBLE IRA

Much like a Roth IRA, the contributions to a Non-Deductible IRA made using funds that have already been taxed; therefore, your withdrawals are not taxed. These retirement accounts are a good option for those who earn more than the income limits set by a Traditional or Roth IRA. No matter the income of the account holder, they can contribute to their Non-Deductible IRA. It’s worth noting that Non-Deductible IRAs do not have the same tax benefits as other IRAs, as contributions can only be made with after-tax dollars.

SPOUSAL IRA

Spousal IRAs are a good option for married couples where one spouse earns little or no income. The couple must file a joint tax return and have taxable compensation to be eligible for a Spousal IRA. The working spouse contributes to the account under the name and social security number of the non-working spouse. Contribution limits are maxed out at $12,000 per year for those under 50 and $13,000 for those 50 and older.

True CostThe of Giving a Pet for the Holidays

It’s a common tradition for parents to surprise their children with a furry-friend come Christmas Day morning - nothing is more magical than that, right?

“Can we get a puppy?” Have you heard this a time or two? In fact, a survey conducted by OnePoll found that children ask for a pet on average 11 times per month starting at age 6! If you are wishing to make this dream a reality for the kiddos come this holiday season, first, consider the lifetime cost of a pet! The pros may definitely outweigh the cost, but the cost should also be carefully considered.

The pros we’re speaking of - according to The Ohio State Veterinary Medical Center, owning a pet can help lower stress, blood pressure, and heart rate. It can also provide social support, help owners stay in shape, and even prevent illnesses. No wonder why people love their pets!

Now, for the costs. We’ve broken down the costs of owning a dog or a cat so that you can be fully prepared to welcome a new pet into your life.

HOW MUCH DOES IT COST TO OWN A DOG?

Dog Cat

Dogs are the most popular pet in the US, but how much does it cost to get a dog and maintain care throughout its life? Let’s take a closer look:

One-Time Expenses

The first year of owning a dog will likely be the most expensive, as you’ll have to purchase many items for the first time. The good news is that many of these costs are one-time expenses.

• Adoption fee: $0-$400

• Spay/neuter: $100-$250

• Initial vet exam: $60-$150

• Food and water bowls: $5-$30

• Collar, tags, and leash: $20-$80

• Bed and crate: $70-$300

• Carrier: $40-$100

Total One-Time Expenses = $295-$1,310

Annual Expenses

After the one-time costs are covered, there are a few expenses that you can count on paying each year to care for your pup:

• Food: $120-$600

• Check-ups and vaccines: $60-$300

• Heartworm and flea medication: $80-$400

• Treats: $20-$50

• Toys: $30-$80

Total Annual Expenses = $310-$1,430

HOW MUCH DOES IT COST TO OWN A CAT?

Cats may be the second-most popular pet in the US, but they typically require less care and attention. In addition to making them perfect companions for busy lifestyles, their independence usually results in a lower cost of ownership.

One-Time Expenses

Like a dog, cats will be more expensive in the first year as you incur many of these one-time expenses:

• Adoption fee: $0-$200

• Spay/neuter: $100-$175

• Initial vet exam: $120-$150

• Collar and tags: $15-$70

• Litter box: $10-$100

• Bed: $20-$80

• Food and water bowls: $5-$25

• Carrier: $15-$50

Total One-Time Expenses = $285-$750

Annual Expenses

The yearly expenses for your cat will look something like this:

• Food: $100-$500

• Check-ups and vaccines: $60-$500

• Flea and tick medication: $60-$150

• Treats: $15-$30

• Toys: $10-$60

Total Annual Expenses = $245-$1,240

The totals above represent the expected expenses of owning a dog or cat. But, just like with anything else in life, unexpected costs can arise. Of course, your four-legged friend could get sick, injured, or eat something they aren’t supposed to and run up a costly vet bill. That’s why it’s always wise to set aside some money for unexpected expenses.

When you’re prepared to purchase everything your new pet needs to be happy and healthy, the expenses can be less jarring. You’ll be able to spend more time enjoying your newest family member, all while making memories of holiday mornings that your kiddos will treasure forever!

PO Box 10708 Greenville, SC 29603 www.spero.financial