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  • REITs Investing: How to Earn Real Estate Income

    REITs Investing: How to Earn Real Estate Income

    What Are REITs and How Do They Work?

    Imagine owning a slice of a Manhattan skyscraper, a portfolio of apartment complexes across the Sun Belt, or a chain of medical office buildings — without ever signing a mortgage or dealing with a single tenant. That’s exactly what a Real Estate Investment Trust, or REIT, allows you to do.

    A REIT is a company that owns, operates, or finances income-producing real estate. Congress created them in 1960 to give everyday investors access to large-scale commercial real estate — the same asset class that wealthy institutions had been using to build wealth for decades.

    Here’s how they work in plain English: a REIT pools money from many investors, uses that capital to buy or finance properties, collects rent or interest income, and then distributes at least 90% of its taxable income back to shareholders as dividends. That last part is not optional — it’s an IRS requirement for a company to maintain REIT status.

    There are three main types of REITs you’ll encounter:

    • Equity REITs: Own and operate physical properties (apartments, malls, warehouses, hospitals). This is the most common type.
    • Mortgage REITs (mREITs): Lend money to real estate owners or invest in mortgage-backed securities. They earn income from interest.
    • Hybrid REITs: Combine both equity and mortgage strategies.

    Most REITs are publicly traded on major US stock exchanges like the NYSE, which means you can buy and sell shares just like you would with any stock — through your brokerage account, often with as little as $10 to $50 per share.

    Key Benefits of Investing in REITs

    According to the National Association of Real Estate Investment Trusts (Nareit), US REITs owned approximately $4 trillion in gross real estate assets as of recent data, with publicly listed REITs accounting for over $1.3 trillion in equity market cap. That scale hints at why so many investors treat REITs as a core portfolio allocation.

    Here’s why REITs deserve serious consideration in your investment strategy:

    1. Consistent Dividend Income

    Because REITs are legally required to distribute at least 90% of taxable income to shareholders, they tend to pay significantly higher dividends than the average S&P 500 company. The average dividend yield for publicly traded equity REITs has historically ranged between 3% and 5%, often exceeding what you’d find in most bond funds.

    If you’re building a passive income strategy — or approaching retirement and need regular cash flow — that yield matters enormously. For context, the S&P 500’s average dividend yield hovers around 1.3% to 1.5%.

    2. Inflation Hedge

    Real estate values and rental income tend to rise with inflation over time. When inflation climbs, landlords can raise rents, which flows through to REIT dividends. That’s a meaningful advantage when inflation erodes the purchasing power of cash or fixed-rate bonds.

    3. Portfolio Diversification

    REITs have historically shown low correlation with stocks and bonds over long periods. Adding them to a traditional 60/40 portfolio (60% stocks, 40% bonds) can smooth out volatility and improve risk-adjusted returns, according to research from Vanguard and Morningstar.

    4. Liquidity vs. Direct Real Estate

    Selling a rental property can take months. Selling REIT shares takes seconds. That liquidity is a genuine advantage, especially in retirement when you may need to access funds quickly.

    5. Access Without a Down Payment

    A single-family rental might require a 20% down payment — often $60,000 to $100,000 or more in today’s market. REITs let you gain real estate exposure for a fraction of that cost, making them accessible whether you’re just starting to invest or diversifying a larger portfolio.

    If you’re already building passive income through dividend investing, REITs can serve as a natural complement — adding real estate exposure to your income-focused strategy.

    How to Start Investing in REITs: Step-by-Step

    Getting started with REITs is more straightforward than most people expect. Here’s a clear, step-by-step path:

    1. Choose your investment account. You can hold REITs in a taxable brokerage account, a Roth IRA, a Traditional IRA, or a 401(k) if your plan offers REIT funds. Holding REITs inside a tax-advantaged account like a Roth IRA can be particularly powerful, since REIT dividends are typically taxed as ordinary income rather than at the lower qualified dividend rate — sheltering them in a Roth lets that income grow and withdraw tax-free.
    2. Decide between individual REITs and REIT ETFs or index funds. If you’re new to this space, a REIT ETF — like the Vanguard Real Estate ETF (VNQ) or the iShares Core U.S. REIT ETF (USRT) — gives you instant diversification across dozens of REITs with a single purchase. Individual REITs require more research but can be rewarding for experienced investors who want to target specific sectors.
    3. Research the REIT’s sector and fundamentals. REITs operate in specific property sectors: industrial, residential, retail, healthcare, data centers, self-storage, office, and more. Each behaves differently in various economic cycles. Key metrics to review include Funds from Operations (FFO) — which is to REITs what earnings per share is to regular stocks — dividend yield, debt-to-equity ratio, and occupancy rates.
    4. Check the payout ratio and dividend history. A REIT paying out more than 100% of its FFO is a red flag. Look for consistent dividend history — ideally companies that have maintained or grown dividends through market downturns.
    5. Start small and add systematically. You don’t need to commit thousands upfront. Many investors use dollar-cost averaging — investing a fixed amount monthly — to build their REIT allocation gradually.
    6. Monitor annually, not daily. REITs are long-term investments. Checking your portfolio obsessively won’t improve returns, and it often leads to poor emotional decisions during market dips.

    If you’re working toward a structured retirement plan, understanding how REITs fit alongside your Roth IRA contributions is worthwhile. Our detailed breakdown on Roth IRA conversion strategy can help you think through optimal account placement.

    Costs, Fees, and Real Risks You Should Know

    No investment is without its downsides, and REITs are no exception. Understanding these risks upfront protects you from unpleasant surprises.

    Tax Treatment of REIT Dividends

    This is the single most misunderstood aspect of REIT investing. Most REIT dividends are classified as ordinary income — meaning they’re taxed at your marginal income tax rate, which could be as high as 37% for top earners. They do not receive the preferential 0%, 15%, or 20% rates that qualified dividends from regular corporations enjoy.

    However, the Tax Cuts and Jobs Act of 2017 introduced a 20% deduction for pass-through income (Section 199A), which may reduce the effective tax rate on REIT dividends for eligible investors. Consult a CPA to determine how this applies to your specific situation.

    Interest Rate Sensitivity

    REITs tend to be sensitive to rising interest rates. When rates go up, REIT dividends become less attractive relative to bonds, which often pushes REIT share prices down. During the Federal Reserve’s aggressive rate hike cycle that began in 2022, publicly traded REITs sold off sharply — a reminder that liquidity cuts both ways.

    Non-Traded REIT Fees

    While publicly traded REITs are generally transparent and liquid, non-traded REITs are a different story. These are sold through brokers, often carry upfront sales commissions of 7% to 10%, have limited liquidity, and have historically underperformed their publicly traded counterparts. The SEC and FINRA have both issued investor alerts warning about the risks of non-traded REITs. Approach them with significant caution.

    Sector-Specific Risks

    Not all real estate sectors perform the same. Office REITs struggled dramatically as remote work reshaped demand after 2020. Retail REITs faced pressure from e-commerce. Meanwhile, industrial and data center REITs thrived. Understanding the sector you’re investing in is essential.

    Leverage Risk

    REITs typically carry substantial debt to finance property acquisitions. In a rising rate environment or during economic downturns, high debt loads can strain operations, reduce dividends, or in worst cases, lead to dilutive equity raises. Always check a REIT’s debt-to-equity ratio before investing.

    Common REIT Investing Mistakes to Avoid

    Even experienced investors make avoidable errors with REITs. Here are the most costly ones:

    Mistake 1: Chasing the Highest Yield

    An unusually high dividend yield — say, 12% or 15% — is often a warning sign, not a gift. It typically means the market is pricing in significant risk that the dividend will be cut. Always pair yield with FFO payout ratio and balance sheet health. A REIT with a 4% sustainable yield is almost always better than one paying 12% that later slashes its dividend.

    Mistake 2: Ignoring Account Placement

    Holding REIT ETFs in a taxable account when you have room in an IRA or Roth IRA is a missed opportunity. Because REIT dividends are taxed as ordinary income, keeping them in a tax-advantaged account can meaningfully improve your after-tax returns over decades. Run the math — or ask your advisor to — before defaulting to your taxable brokerage.

    Mistake 3: Treating All REITs as the Same

    A healthcare REIT and a mortgage REIT are about as similar as a savings account and a junk bond. Their income sources, risk profiles, and behavior during recessions differ dramatically. Lumping them together in your analysis leads to poor allocation decisions. Study the specific sector before buying.

    Mistake 4: Panic Selling During Rate Hikes

    Publicly traded REITs can drop 20% to 40% during interest rate cycles without any change in their underlying properties or rental income. Investors who sold during the 2022 rate hike selloff locked in losses and missed the subsequent recovery. REITs are long-term investments — your time horizon should be measured in years, not months.

    Mistake 5: Buying Non-Traded REITs Without Full Due Diligence

    As noted above, non-traded REITs carry high fees and illiquidity. The CFPB and SEC regularly remind investors to read all offering documents carefully and understand redemption restrictions before committing capital. If your broker is pushing a non-traded REIT hard, ask why — and get a second opinion.

    Alternatives to REITs Worth Considering

    REITs are a compelling option for real estate exposure, but they’re not the only one. Depending on your goals and financial situation, these alternatives may be worth exploring:

    1. Real Estate Crowdfunding Platforms

    Pros: Platforms like Fundrise or CrowdStreet allow accredited (and sometimes non-accredited) investors to invest in specific commercial real estate projects. You may get exposure to deals not available on public markets.
    Cons: Much lower liquidity than public REITs, longer lock-up periods (often 3-7 years), and higher minimum investments. These are best suited for investors who’ve already maxed out more liquid options.

    2. Direct Rental Property Ownership

    Pros: Maximum control, potential for leveraged appreciation, and valuable tax deductions (depreciation, mortgage interest, repairs).
    Cons: Requires significant capital, active management, and exposes you to concentrated single-property risk. Not practical for everyone, especially those without the time or expertise to be a landlord.

    3. Real Estate-Heavy Index Funds

    Pros: Some broad market index funds include real estate sector allocations automatically. If you simply invest in a total US market fund, you’re getting some REIT exposure without any extra effort.
    Cons: The allocation is typically small (around 3-5% of the total fund), so you won’t get the targeted real estate income that dedicated REIT ETFs provide.

    If you’re still building your overall financial foundation — tackling high-interest debt, building an emergency fund, or optimizing your budget — getting those basics right before layering in REITs is the smarter sequence. Our guide on zero-based budgeting is a great place to start strengthening your financial base.

    Frequently Asked Questions About REIT Investing

    Can you invest in REITs through a Roth IRA?

    Yes — and in many cases, you should. Holding REIT ETFs or individual REITs inside a Roth IRA shelters their dividends from ordinary income tax. Since REIT dividends don’t qualify for preferential dividend tax rates in taxable accounts, the Roth’s tax-free growth is especially valuable here. The 2026 Roth IRA contribution limit is $7,000 ($8,000 if you’re 50 or older).

    How much of my portfolio should be in REITs?

    Generally speaking, most financial planners suggest a real estate allocation of 5% to 15% of a diversified portfolio, depending on your age, income needs, and risk tolerance. Investors approaching or in retirement who need reliable income may lean toward the higher end. This is a personalized decision — consult a licensed financial advisor for guidance specific to your situation.

    Are REITs safe during a recession?

    It depends on the type of REIT and the severity of the recession. Healthcare REITs and self-storage REITs have historically shown more resilience during downturns, as demand for those property types remains relatively stable. Office and retail REITs tend to be more vulnerable. No REIT is recession-proof, but well-managed ones with strong balance sheets generally weather downturns better than over-leveraged ones.

    What is FFO and why does it matter?

    Funds from Operations (FFO) is the standard profitability metric for REITs. Because real estate companies can use large depreciation deductions that suppress net income, traditional earnings per share (EPS) understates their actual cash generation. FFO adds depreciation back to net income and adjusts for property sales, giving a more accurate picture of operating performance. Always evaluate a REIT’s dividend payout relative to FFO, not just net income.

    What’s the minimum amount needed to invest in REITs?

    Publicly traded REIT ETFs can be purchased for the price of a single share — often $20 to $100. Many brokerages, including Fidelity and Charles Schwab, also offer fractional shares, meaning you can start with as little as $1 or $5. There’s no meaningful barrier to entry for public REITs, which is one of their biggest advantages over direct real estate investing.

    Final Thoughts: Are REITs Right for You?

    REITs offer something genuinely valuable: real estate income and diversification without the complexity of becoming a landlord. For working professionals and small business owners building long-term wealth, a carefully allocated REIT position — ideally inside a tax-advantaged account — can meaningfully boost portfolio income and reduce overall volatility.

    That said, REITs are not a one-size-fits-all solution. Your tax situation, time horizon, income needs, and existing portfolio all shape whether they make sense and in what proportion. The best first step is to review your current allocation, understand how REIT dividends will be taxed in your specific situation, and consult with a licensed financial advisor before making any significant moves.

    Start simple. A low-cost REIT index ETF, held in the right account, is a solid foundation. From there, you can deepen your knowledge and refine your strategy over time.

    Financial Disclaimer: This article is for educational purposes only and does not constitute financial, tax, or investment advice. Always consult a licensed financial advisor, CPA, or attorney before making financial decisions.

  • Dividend Investing: Build Passive Income Step by Step

    Dividend Investing: Build Passive Income Step by Step

    What Is Dividend Investing and How Does It Work?

    Dividend investing is a strategy where you build a portfolio of stocks, funds, or REITs that pay you a portion of their earnings on a regular schedule — typically quarterly. Instead of relying solely on price appreciation, you collect cash payments just for holding shares.

    According to data from Hartford Funds, dividends accounted for roughly 40% of the total return of the S&P 500 since 1930. That’s not a trivial slice — it means dividend income has been a serious wealth-building engine for generations of American investors.

    Here’s how the mechanics work: a company earns a profit and decides to distribute part of that profit to shareholders. The board sets a dividend per share amount, announces a record date (who qualifies to receive it), and sends payments on the payment date. You simply own shares before the ex-dividend date and the cash shows up in your brokerage account.

    Dividend investing applies to a wide range of assets:

    • Individual dividend stocks — companies like utilities, consumer staples, and financials with long payout histories
    • Dividend ETFs — funds that hold baskets of dividend-paying stocks (see our guide to ETFs Explained: Your Guide to Flexible Investing)
    • Real Estate Investment Trusts (REITs) — legally required to distribute at least 90% of taxable income to shareholders
    • Dividend mutual funds — actively or passively managed funds focused on income-producing equities

    This strategy suits investors who want their portfolio to generate real, spendable cash — not just numbers on a screen.

    Key Benefits of Dividend Investing

    The Federal Reserve’s Survey of Consumer Finances consistently shows that households with multiple income streams carry significantly less financial stress. Dividend investing is one of the most accessible ways to create a secondary income stream without a side hustle.

    1. Passive Income You Can Count On

    When you own shares in companies with a strong dividend track record, your income becomes relatively predictable. The S&P 500 Dividend Aristocrats — companies that have raised dividends for 25+ consecutive years — include household names like Johnson & Johnson, Procter & Gamble, and Coca-Cola. These businesses have paid and grown dividends through recessions, pandemics, and market crashes.

    2. Compounding Acceleration Through DRIPs

    A Dividend Reinvestment Plan (DRIP) automatically uses your cash dividends to purchase more shares. Over time, this creates a compounding snowball: more shares generate more dividends, which buy even more shares. A $50,000 portfolio with a 3.5% yield and a 6% annual dividend growth rate — with dividends reinvested — could grow to over $200,000 in 20 years, depending on market conditions.

    3. Inflation Hedge Through Dividend Growth

    Companies that consistently raise dividends help offset inflation. If your dividend income grows at 5–7% per year while inflation runs at 3–4%, your real purchasing power is increasing. This matters enormously for retirees and pre-retirees planning long-term income.

    4. Tax Advantages on Qualified Dividends

    The IRS taxes qualified dividends at the long-term capital gains rate — 0%, 15%, or 20% depending on your taxable income — rather than your ordinary income rate. For most working Americans, that’s a meaningful tax break compared to interest income from bonds or savings accounts. Always verify current IRS guidelines with a tax professional, as rates can change.

    How to Start Dividend Investing: A Step-by-Step Plan

    Getting started doesn’t require a finance degree or a large lump sum. Here’s a practical framework you can follow today.

    1. Define your income goal. Decide how much annual dividend income you want to generate. If your goal is $10,000 per year and your target portfolio yield is 3.5%, you need roughly $285,000 invested. If you’re starting smaller, map out a timeline with regular contributions.
    2. Choose your account type wisely. A taxable brokerage account gives you flexibility to access dividends at any time. A Roth IRA lets dividends grow tax-free — no tax on qualified withdrawals in retirement. For context, see how Roth accounts work in our breakdown at Index Funds: The Beginner’s Guide to Smarter Investing. If your employer offers a 401(k) with dividend-focused fund options, that’s worth exploring too — check out Your Essential 401(k) Guide for details.
    3. Screen for quality dividend stocks or funds. Use free tools on Morningstar, Fidelity, or Vanguard’s website. Look for:
      — Dividend yield: 2%–5% is generally sustainable; above 7% can signal risk
      — Payout ratio: the percentage of earnings paid as dividends; under 60% is generally healthier
      — Dividend growth history: consistent increases over 5–10+ years
      — Earnings stability: companies with volatile earnings are more likely to cut dividends
    4. Diversify across sectors. Don’t concentrate in one industry. Spread holdings across utilities, consumer staples, healthcare, financials, and real estate. A sector shock (like rate hikes hitting REITs) won’t wipe out your entire income stream.
    5. Set up automatic contributions. Most brokerages allow automatic monthly investments. Even $300–$500 per month, invested consistently, builds meaningful dividend income over 10–15 years.
    6. Enable DRIP if you’re in the accumulation phase. If you don’t need the income right now, reinvesting dividends automatically accelerates compounding. Switch to cash payouts when you actually need the income.
    7. Review your portfolio annually. Check if companies have cut, frozen, or raised their dividends. A dividend cut is a warning signal that something has changed in the business fundamentals.

    Costs, Fees, and Risks You Must Understand

    Dividend investing is not risk-free. Understanding the downsides is essential before committing capital.

    Dividend Cuts Are Real

    During the COVID-19 pandemic in 2020, more than 60 S&P 500 companies suspended or cut their dividends, according to S&P Dow Jones Indices. Even blue-chip companies aren’t immune. Boeing, Disney, and several major banks reduced or eliminated payouts during that period.

    High Yield Can Be a Trap

    A yield of 9% or 10% can look attractive, but it often signals the market expects a dividend cut. This is known as a "yield trap." If a company’s stock price has fallen 50% due to deteriorating fundamentals, the yield inflates artificially — and the cut usually follows.

    Interest Rate Sensitivity

    When the Federal Reserve raises interest rates, dividend stocks — especially REITs and utilities — often fall in price. Higher rates make bonds more attractive relative to dividend stocks, causing investors to rotate out. This doesn’t necessarily mean dividend income disappears, but your portfolio value can drop significantly.

    Tax Drag in Taxable Accounts

    Even at the preferred qualified dividend rate, you owe taxes each year on dividends received in a taxable account — even if you reinvest them. This creates a drag on compounding. In high-income years, this can push dividends into the 20% bracket plus the 3.8% Net Investment Income Tax (NIIT), per current IRS rules.

    Fund Expense Ratios

    Dividend ETFs typically carry expense ratios between 0.06% and 0.50% annually. While low compared to actively managed funds, these fees compound over decades. Always compare expense ratios before choosing a dividend fund.

    Common Mistakes Dividend Investors Make

    Even experienced investors trip over these pitfalls. Knowing them in advance could save you thousands.

    Mistake #1: Chasing the Highest Yield

    Selecting stocks purely based on the highest yield is one of the most costly errors. A 12% yield on a company with a 120% payout ratio — meaning it’s paying out more than it earns — is mathematically unsustainable. Always pair yield analysis with payout ratio and free cash flow review.

    Mistake #2: Ignoring Total Return

    Some investors focus so heavily on dividend income that they ignore share price erosion. A stock paying a 5% dividend but declining 10% per year in price is still a losing investment. Dividend income is only one component of total return — capital appreciation (or depreciation) matters too.

    Mistake #3: Lack of Diversification

    Loading up on just one or two high-yielding sectors — utilities and REITs are common culprits — leaves your entire income stream vulnerable to one economic event. In a rising rate environment, for example, both sectors can be hit simultaneously. A well-constructed dividend portfolio spans at least 5–7 sectors.

    Mistake #4: Neglecting Tax Location Strategy

    Holding high-yield dividend stocks in a taxable account while keeping growth stocks in a Roth IRA is the wrong approach. Generally speaking, dividend-heavy assets belong in tax-advantaged accounts (traditional IRA, Roth IRA, 401(k)) to minimize annual tax drag. Consult a CPA or financial advisor to build a tax-efficient allocation.

    Mistake #5: Not Reinvesting During the Accumulation Phase

    Spending dividend income before retirement — when you’re still building wealth — dramatically slows compounding. Even using dividends for small discretionary expenses can cost tens of thousands of dollars in future portfolio value. If you don’t need the income now, reinvest every dollar.

    Alternatives to Consider

    Dividend investing is a strong strategy for many investors, but it’s not the only path to building income and wealth. Here are three alternatives worth understanding.

    1. Total Return Investing

    How it works: Instead of focusing on dividends, you invest in broadly diversified index funds and periodically sell a small percentage (typically 3–4% per year) to fund living expenses. This is the basis of the widely-studied 4% Rule in retirement planning.

    Pros: Greater tax efficiency (you control when to realize gains), broader diversification, potentially higher long-term growth.
    Cons: Requires discipline to sell in down markets; psychologically harder than receiving passive dividend checks.

    2. Bond Laddering

    How it works: You purchase bonds with staggered maturity dates (1, 3, 5, 7, 10 years). As each bond matures, you reinvest or use the proceeds. This creates predictable income with lower volatility than stocks.

    Pros: Very predictable income, lower correlation to stock market swings, capital preservation.
    Cons: Lower long-term returns than equities, inflation erosion risk over long periods.

    3. High-Yield Savings and CDs

    For investors who need income without market risk, high-yield savings accounts and certificates of deposit (CDs) offer FDIC-insured returns. These are lower yield but carry zero default risk. Learn more about how these compare in our guide to High-Yield Savings Accounts: Are They Worth It?

    Pros: FDIC-insured, no market risk, fully liquid (savings) or predictable terms (CDs).
    Cons: Returns typically lag inflation over long periods; not suitable as a primary wealth-building strategy for younger investors.

    Frequently Asked Questions

    How much money do I need to start dividend investing?

    You can start with as little as $100 through fractional shares offered by most major brokerages like Fidelity and Charles Schwab. That said, to generate meaningful passive income — say $500 per month — you’d need approximately $170,000 invested at a 3.5% yield. Building toward that goal with consistent monthly contributions is realistic over 10–15 years for most working professionals.

    Are dividends guaranteed?

    No. Dividends are declared at the discretion of a company’s board of directors and can be reduced or eliminated at any time. Unlike bond interest, there is no contractual obligation to pay dividends. This is why dividend history, payout ratio, and business fundamentals matter so much in stock selection.

    Do I owe taxes on dividends even if I reinvest them?

    Yes — in a taxable brokerage account, the IRS considers dividends taxable income in the year you receive them, regardless of whether you reinvest them through a DRIP. However, dividends in a Roth IRA or traditional IRA are not taxed when received (they’re taxed differently upon withdrawal or not at all in the Roth case). Consult a CPA for your specific situation.

    What is a good dividend yield to target?

    Generally speaking, a yield between 2.5% and 4.5% is considered a sustainable sweet spot for most dividend stocks. Yields below 1.5% may offer little income benefit, while yields above 6–7% warrant deeper scrutiny. The right yield target depends on your income goals, risk tolerance, and time horizon.

    Should I invest in individual dividend stocks or dividend ETFs?

    For most investors — especially those without time to research individual companies — dividend ETFs offer instant diversification, lower research burden, and reasonable expense ratios. Individual stocks can deliver higher yields and allow greater customization, but require ongoing monitoring. Many investors combine both: ETFs for core stability and a handful of individual stocks for targeted exposure.

    Building Your Dividend Income Strategy

    Dividend investing is one of the most proven, accessible ways for working Americans to build a reliable passive income stream over time. It rewards patience, consistency, and discipline — not timing the market or chasing the latest trend.

    Start by clarifying your income goal, selecting your account type strategically, and building a diversified portfolio of quality dividend payers. Reinvest dividends aggressively while you’re in the accumulation phase, and transition to cash income when you need it in retirement.

    Avoid the common traps: yield chasing, lack of diversification, and ignoring tax placement. Review your holdings annually and don’t panic when a company cuts its dividend — reassess and adjust.

    Every dollar of dividend income you build today is a dollar of financial freedom tomorrow. The earlier you start, the more powerful the compounding effect becomes.

    This article is for educational purposes only and does not constitute financial, tax, or investment advice. Always consult a licensed financial advisor, CPA, or attorney before making financial decisions.