As Thanksgiving approaches, so do those warm, candid conversations around the dinner table. It's a time when family members catch up, and yes, financial topics often pop up between bites of stuffing and cranberry sauce. Here are five frequent financial questions that advisors hear during the holidays.

1. The Power of Compound Interest

Ever hear of "interest on interest"? It’s the magic behind compound interest, a critical concept that can dramatically grow your savings over time. For instance, investing $10,000 with a 7% annual return can grow to over $76,000 by the time you’re 65. The earlier you start, the more you benefit from the compounding effect.

2. Benchmarks for Savings Goals

Savings benchmarks serve as useful guides. Aim to save 15–20% of your gross income annually. By age 35, having saved 1–2x your salary is advisable, and by retirement, about 10x. Consistency is key, even if you're not hitting perfection.

3. Principles of Financial Independence

Financial independence means having the freedom to choose your retirement age. It’s about living within your means, avoiding lifestyle inflation, and not overspending on housing. These steps pave your path to financial freedom.

4. The Value of Diversification

Let’s debunk the "what’s hot to invest in now" mindset. Diversification involves spreading your investments across different asset classes, sectors, and geographies. This reduces risk and supports long-term stability.

5. The Case for Long-Term Investing

Avoid the temptation to time the market. Stick to your long-term plan, ride out market volatility, and focus on consistent growth. Patience and perseverance are your best allies in investing.

As you reflect on these financial topics, remember that asking questions is a smart step toward better financial health. Feel free to reach out if you're eager to delve deeper into any of these areas or start a personalized financial planning discussion.