The Only Constant is Change: Navigating Your Financial Journey

If 2025 has taught us anything, it’s that the only constant in life is change.

From the One Big Beautiful Bill that affects all of us, to the ever-shifting landscape of investments, change is the name of the game. It reminds us that planning for the future is vital, but also that we shouldn't get too hung up on predicting exactly what tomorrow will bring. Tax laws change, our lives change, and investment returns certainly change.

So, how do I approach financial planning when I know everything is going to change?

Lessons from the Mountains

I think of it like this: A few years ago, I took a long-desired trip to Colorado to snowmobile in the deep snow. Everything about this trip was new to me—traveling alone, renting a sled, dealing with high elevation, and the risk of avalanches.

To make the most of it and, frankly, to stay safe, I hired a guide.

My guide did three things that parallel good financial advice:

1. They maximized the experience: Turns out, snow isn't everywhere in Colorado. My guide knew exactly where to go to find the best riding, saving me time and frustration.

2. They minimized danger: They steered us away from avalanche risks and other hazards, using their experience to reduce the chances of things going wrong (like breaking down or getting stranded).

3. They were prepared for the worst: They had a plan. Communication protocols, tools, satellite phones, and first aid kits. They even shared stories of past incidents, showing they were ready to deal with a breakdown, an injury, or even an avalanche, should it occur.

In a nutshell, that's how I view financial planning. We build a game plan based on the most likely scenarios, but we also ensure you have the tools and contingency plans to survive when the unexpected happens. I can’t eliminate risk, but I can help you navigate the known hazards and help provide clarity on your journey.

Adapt or Be Stuck

Just like a storm can roll into the mountains and cut your day short, life will throw curveballs. That's what 2025 has continually reminded us. We’ve seen market drops followed by strong recoveries. We've had on-again, off-again tariff talk that had everyone worried. But here we are, and for most investors, it’s been another really great year.

Planning with the Tax Code

The recent tax law changes have opened up some new tax planning opportunities.

When I’m advising you, I’m not just focused on this year. I'm trying to think about what might happen in the future, without painting us into a corner. For decades, the trend has been tax cuts. While I don't know if that will continue, I also won't automatically assume tax rates will skyrocket just because people have been "screaming" they must for the last 15 years (and have been wrong for 15 years).

I'm not trying to pinpoint your tax rate 30 years from now. I am doing a 30-year projection (or more or less depending on where you are in life) because it creates a guide—a game plan. That plan might need to change because your life changes, or because taxes change, but it gives us an idea of where you’re headed so we can make informed decisions today.

I'd rather make an informed decision that isn't perfect than sit back and let life happen to us.

Tax planning is also a team sport, it is important to me that we are working together with your tax professional.

My Simple Investing Philosophy

On a personal note, 2025 brought a lot of change for me too—my daughter turned one, and I left my job at a local firm after nearly a decade to build something myself.

This change allowed me to formalize how I want to serve people, particularly with my core investment belief:

I believe in making less changes and sticking with a plan that works for you in good times and bad.

My investment strategy is very simple: I'm not trying to outsmart the market. I take a simple approach because it likely yields better results.

It's easy to say "do as little as possible," but it’s hard to do it.

Take 2025: At the start of the year, all the chatter was about how the U.S. was the only place to invest. People ignored international stocks. Yet, as the year closes, international investments have often performed better than U.S. ones, sometimes delivering twice the return.

The market tested us with trade wars and tariff threats. Throughout the year, you would have been constantly tempted to make a lot of changes. But here’s the thing: Every time you make a change, you have to be right multiple times:

• Right when you sell.

• Right when you buy back in.

• Right on how long you hold.

• Right on overcoming any taxes you owe on the sale.

It’s incredibly hard to remove emotion from investing. The more you trade and change, the more you open yourself up to doing worse than if you had simply done nothing.

We have to expect things to not go as planned. Historically, the U.S. stock market has averaged roughly 10% annually over long periods, though past performance doesn't guarantee future results. In fact, in any given year, returns rarely land near that average.

When to Make Changes

While I advise against predicting the market, our lives change constantly, and that's when investment adjustments become necessary.

When you start investing, retirement might feel far off. You have less money, so market swings might not bother you as much.

As you get older, the money might have a different purpose. If you are retired and living off your portfolio, market fluctuations matter a lot more. If you need the money for bills, you could be forced to sell low.

Our job together is to figure out a reasonable expectation of what you will need from your portfolio and build your investments to support those needs in the immediate future and long-term. This is where we introduce more conservative investments—short-term bonds, cash—to prepare for your needs next month, next year, or even the next couple of years. The goal, limit the effect day-to-day chaos in the stock market has on your day-to-day life.

The Comfort Level

The other important aspect is your comfort level with fluctuation. This is your hard-earned money.

Nothing is risk-free, even cash. The risk with cash isn't seeing a drop on your statement; it’s that inflation eats away at your purchasing power. That dollar won't buy as much in the future. You might be okay with that risk, versus seeing your money fall and thinking, "I can't take this anymore."

We need to determine what level of fluctuation you are okay with to earn money on your money. This number will change over time as you and your situation change.

This is how we stay proactive: We have these conversations before things happen in the market so that when the inevitable change occurs, we have a plan ready to execute. That’s what’s important. We're not trying to be rigid by locking in the next 30 years, but we're also not just focusing on 2025. We're building a durable plan that can change as life does.

Change is the name of the game.

The information in this blog is the opinion of Nathan Tomkiewicz and does not reflect the views of any other person or entity unless specified. The information provided is believed to be  reliable and obtained from reliable sources, but no liability is accepted for inaccuracies. The information provided is for informational purposes and should not be construed as advice. Advisory services offered through Tomkiewicz Wealth Management, LLC, an investment adviser registered with the State of New York and Massachusetts.