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Welcome to the June edition of The Wealth Chronicle. Key planning & investment dates in June and July include June 30th - The federal deadline for filing your FAFSA student aid form.and July 31st is the deadline to file Form 5500 with the IRS. Form 5500 is required for the annual reporting of any pension and benefit plans (Profit Sharing Plans, 401(k)s, ....)

The Greek Drama - Second Act

The growing threat of Greece's exit from the Euro rattled financial markets across the world this past week. Greece's financial issues are not new, but this week there was a sudden breakdown between the negotiations of Greece and European officials. What were they negotiating?Greece owes a lot of people money, but doesn't have any to pay out. Greece announced that they would default on a payment to the International Monetary Fund on June 30. Just like a bookie who is owed money, the European Union doesn't like being told that it is not going to be paid back when they expect to be paid.

How does this impact US stocks. According to Funstrat's Tom Lee, he doesn't believe it will have much of an impact. Here's why:

Most of Greece's debt is held by the Euro-area government, and "the world is better prepared for Grexit today." The so-called bank run, where many customers are yanking their cash at the same time, exists only within Greece.

It's possible that there's some huge hedge fund out there that is significantly exposed to Greek markets, and so stands at risk. However, the consensus is that Greece is not a great place to be invested in right now, and that's more likely what rings true.

The European Central Bank would adjust its quantitative easing program to cope with the crisis in Greece. The Fed in the US would also provide support, if it has to come to that.

If investors decide to pile into safer assets in a risk-off' trade, it just improves the risk/reward profile for stocks. At the end of the day, the trend for stocks into the end of 2015 is up - consumers are spending again and the impact of lower oil prices and a stronger dollar are fading.

I think the markets are less worried about Greece leaving the Euro than it is about a contagion occurring and countries like Spain and Italy become the next hot spot for financial problems. Right now that doesn't look like a possibility, but it is worth keeping a watch on.

Financial Advice From "The Gronk"

There are countless stories of financial athletes making millions of dollars playing their sport and then spending it just as quick. So taking financial advice from a professional athlete is not

something you hear too often. Suggesting that you take financial advice from New England Patriots tight end Rob Gronkowski is probably even more of a shock. After winning the Super Bowl in February "The Gronk" has spent the offseason partying and even has a Gronk Party Bus with it's own twitter handle

Gronkowski recently published a book "Its Good to be Gronk", where he revealed that:

To this day, I still haven't touched one dime of my signing bonus or NFL contract money. I live off my marketing money and haven't blown it on any big-money expensive cars, expensive jewelry or tattoos and still wear my favorite pair of jeans from high school. ... I don't hurt anyone (except Gord with the occasional kick to the groin), I don't do drugs, I don't drive drunk, I don't break the law. ... I'm a 23-year-old guy just looking to have a fun time.

In 2012, Gronkowski signed a six-year, $54 million extension with New England. That came on the heels of his rookie contract, which means he already had quite a bit of money in the bank.

Gronkowski is utilizing a form of the envelope strategy to manage his expenses. He budgets a certain amount of money for spending/partying (his marketing contracts). When he goes through those funds, the party is over, he doesn't dip into his savings envelope (his football contract). When Gronkowski is done playing football he willl be in good shape not to run out of money. Even people who aren't professional athletes can benefit from this strategy. We may not have two separate income streams like Gronkowski does, but we can split our paycheck into a save and a spend bucket to automate saving a portion of it every month.

New Office Location

We are pleased to announce that Bautis Financial will be opening a new office location starting July 1st.

The address of the new office is 7 North Mountain Ave, Montclair, NJ 07042.

Our fax number will change to 201-340-6503. All other contact info will remain the same.

We are still keeping our Rutherford office and will be available to meet there or in the new Montclair location.

The Watercooler

$10,000 - That's the amount that an Arizona woman donated to charity so she could use a Taser on Glendale Mayor Jerry Weiers. Her anger at the mayor stems from when he announced that he would the local hockey team, the Phoenix Coyotes out of the area. One thing I learned is that hockey fans are maniacal. It's brings up an interesting question. Would you let someone taser you for $10k?

American Pharoah bettors leave $315k at the track. We saw the first horse to win the Triple Crown this year since 1978. The majority of the bettors at Belmont who had bet $2 on American Pharoah winning the race opted to hold on to their ticket as a piece of history rather than cashing it in. Over 90,000 bettors with that $2 winning ticket haven't cashed it in yet. The ticket is worth $3.50

According to Wisebread, one of my favorite financial blogs, here are 10 Things you should always order on Amazon - http://www.wisebread.com/10-things-you-should-always-order-on-amazon and here are 10 things you should never order on Amazon - http://www.wisebread.com/5-things-you-shouldnt-order-on-amazon

Please contact me regarding any of the articles above, or if you would like to discuss your personal or business finances

Sincerely,

Marc Bautis
Bautis Financial
201-842-7655

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