What Can We Learn About Finances From Elvis

Financial Symphony
Saturday, October 14th

Richard answers listener questions and explains how Elvis going from a 250 square foot house to Graceland shows us how to manage our finances.

00:44:05

Transcript - Not for consumer use. Robot overlords only. Will not be accurate.

No financial Simpson. Harmonious financial plan and getting your portfolio in June so sit back. Well always strike up the the financial simple it's starts now. Greetings everybody welcome to the show this week this is the financial symphony I'm your host today Mark Killian and it's time for us to check in with your financial simply advisor. Right here in the Charlotte metro area and that is Richard who'd you really Richard is an investment advisor with Carolina retiree sources. With offices in hunter's bill North Carolina and Rock Hill South Carolina and of course Richard is available to you by simply calling 80646. 5996. At 800. 6465996. To help but make sure you're on the right track when it comes to retirement welcome back to the show Richard how are you today. I'm angry at mark how are you doing very well that so low we'll see how it goes for the day we got a good show lined everybody out there so hopefully once sticks around and enjoys it and if you want to go ahead and dive Friday and use our mailbag and just get started with some questions from around the area and suvs helps the folks out Shelley. Germans here are our first one comes into us today here on the show. Firm Allen and hunter's bill and Alan says I Richard I'm hesitant to pay off my house because I don't have many other tax deductions. At this point but I do have a 100000 in the bank and I only know around 45000 on the house. So it's really kind attempting to just pay them off what are your thoughts. I understand that temptation to you know Alan. You know perhaps the least modeled. But most important factor to consider and mortgage payments is the long term effects. Inflation. You know many financial planners and investment advisors will discuss the merits of putting money in stocks or bonds rather than into a mortgage but. You know you have to consider inflation to determine whether it makes sense to pay your home off or not so with that said the most important time. To pay extra on your loan and early is in the early years from these things. At that point in time most of the payment is futures related. Rather than principle if you do pay extra the first fears those payments are generally applied directly to. Paying down principal and reduce your principal early on is effectively compound in your read your investment. Because principal is paid off his principle that you won't have to pay interest on the next twenty to thirty years. I also think it's important to remember that your loan principal. That amount will not change in relation to inflation. So if you make a 25000 dollar payment now your payment is valued in today's dollars which are worth a lot more than they will be next year. If you wait you'll be paying your mortgage with inflated dollar. There for you if you make payments over time those dollar will be significantly less valuable in terms of what you could do with the money today. That's supposed inflation despite a little more. And averages let's say you know 5% or more over the next few years you know I weighed in. You will save money you know this may sound counterintuitive that first you know how can you possibly save money you're paying more dollar well. We've inflation your dollar worth less over time. If the prices of goods go up accident rate of your loan. You know with the chargers are with respect to interest on that alone you effectively. Making money by not paying down and that loan if your mortgage rate. He's nearly inflation rate you'll get little benefiting constant dollars about paying off your home. Personally I prefer to let inflation gradually eat away at the value of the principal. I would most likely not pay off the homeless there were some extenuating mr. OK so a lot of good information and their great question by the way Alan so. A lot of information a lot of things to think over in that situation and if you. Really needed dive into that further anybody who finds himself on a similar type situation and give Richard a call 80646. 5996. We appreciate you listen to the so Allen and that peoples with. All right we have another question here forests Richard from Tracy in Charlotte and Tracey says I make too much money to contribute to a Roth. Or a traditional IRA. After a Max out my 401K. Where else am I supposed to save money for retirement. I'm too real nice problem half that's that's. You know I since the income. And it's on not on a Roth conversions were removed in 2010. You know higher income individuals who are not eligible to make Rauf Harry contributions. Have been able to make an indirect or backdoor Roth contribution instead. By simply contributed to a non deductible higher rate which can always be done regardless of income. And converted shortly thereafter and out but keep in mind. There're several caveats to this strategy so you're gonna certainly wanted to consult with your tax advisor before finalizing any decision with respect to that back or Roth. Another opportunity for you Tracy used to save additional funds. In a life insurance contract reddish structure for wealth accumulation. You know these the accumulation cool sure many of the tax free attributes a Roth higher rate in that withdrawals are tax free. And with these policies you're fine and as little death benefit as possible as required by the higher risk. While stuffing as much money into it as the RS allows you know historically. These life insurance retirement plans have been reserved for the very wealthy. But these plans have been re engineered and by capturing the tax free qualities of a rock fiery and a low cost way. These plans can now benefit the everyday investor and finally you can always contribute to a taxable or an individual account. You know I I I advise my clients to limit how much they put into these accounts. Typically about six to twelve months worth of expenses and and and basically acts as an emergency fund. In the event of a short term emergency. You know listen the ideal retirement has a tax deferred account for tax free account. And a taxable account. And that will allow you better manager taxes and retirement so you have to you have a couple opportunities there for yourself to put some more money away. Are you you certainly wanna do your due diligence to make sure that you qualify your decision based on an education you received. Well again great problem to have Tracy and certainly if you need some help richer can certainly do that. For you by giving him a call 806465996. You are listening to the financial symphony with the Richard hooch really. Carolina retirement resources again 80646. 599. D.s sakes our final question this week. Richard comes to us from Phil and more is builds. And bill says that no matter what I do heights is scans seem to get my wife engaged in the financial planning process. Do you think that's OK Richard are doing need to figure out a way to get her involved in this. You know those the uncertainty that comes. With how you manage your finances to generate income. In retirement. You know it's it's stressful. Com and for many of you the biggest obstacle. Two getting started Asia is your spouse I mean all too often once bounced just doesn't want to be involved. I'm so yeah how do you go ahead and create a plan. When only one half is interest as well. You know we ought ever assurance and weaknesses and and sharing your life with your spouse doesn't mean you must do everything together. You know so if you're better and more interested in your personal finances and your spouse isn't. You know I don't see a problem there I think it's fine you know move on the north spearhead the project can get it done you know don't wait for your spouse to get interested that you might be waiting a long time. But you know you wanna play your spouse. Do what she does best and you go ahead and do what you do best and even so. You will have to. After talked her at some point when it comes to finalize your goals for retirement that. That's probably where you need the most help from her is this just deciding what's best for you movement forward which where you wanna live. How do you wanna live. What your travel plans are your hobbies things like that carry. If she has concerns certainly want to listen to them. And take those concerns in the consideration when developing your plan. Regardless of any obstacles make sure that you meet with professional and they not be able to help you transition that concern. Listen Phil I understand your frustration. They don't have enough bounce that doesn't wanna purchase the page can be one of the most frustrating aspects of managing your finances. But it doesn't help that your spouse be sure nagging her or hound and on the money all the time you know you just don't distress. In my home I do all the plan I keep my wife informed her she knows which accounts for income from which accounts are for growth. And I pick a time when I have her on divided country and you don't like driving to Florida on vacation. And at that point in time I'll start the conversation is summarize our plan which inevitably leads to more conversation which includes her dreams her desires and so one. So go ahead and get your plan put together filled. And just keep current form as best she can along the way. What I like to do is I send my wife emails and I find that works out real well thank you might some might find out that works well for you Q. Don't listen in the financial world every situation is different. You can't just look at a product or strategy and labeling is good or bad across the board it all depends on your specific needs and nuances that your situation. Haven't a plan is a great start in fact. Act haven't a plan is a must but having one that fits you and your specific needs for your retirement. He's the only way to help insure your return your will be everything you want him to be. Listen it all boils down to the fact that there are all these different pieces of the puzzle. On your retirement puzzle and all those pieces need to fit together and so what I'd like to do is offer the opportunity creating content for complete financial review. And I'll offer this review for free to all listeners who have at least 200000 dollars saved for retirement. I'll talk through all the different puzzle pieces that you need to consider. You know such as how much risk you're taking your portfolio. And is that amount of risk appropriate for your age and for the amount of return to her actually again. How much do you pay any fees and commissions with your current plan. What about tax implications on your statement is there a way to save money in taxes down the road by planet proactively today. Do you have an income plan in place to be sure that you aren't in danger of running out of money if you end up Livan thirty or more years and retirement. Do you have a plan to address inflation in future decades as the cost of everything continues to rise obviously there's a lot that we need to discuss. And we have found that most people just haven't planned for early enough to address all these issues. Again this review is complementary to anyone who has at least 200000 dollars saved for retirement. But the calendar does fill up quickly so go ahead and give us a call right now so that we can make sure that we have a spot reserved for you. And the number to call is 806465996. That is 8064659. 96 it's a perfect opportunity to make sure you're on the right track for retirement got to get this planning process started and you gotta make that have. And by taking some action that's reaching out to Richard at 80646. 5996806465996. To talk with Richard which are really the Carolina retirement. Resources you're listening to the financial symphony and there's much more to come on today's show stick around they'll forget Paul Richards 8064659. Your best. It's time for a another musical connections where we blend the worlds of music in finance together. Here's friend of the show and financial advisor and musician mark lawyers. With bronze stunts aside for another musical connections so mark let's talk about financial planning and what we can learn about that. From the life of Elvis Presley. Walled old movie eagle rock and roll and a when your all time favorites. It is really is he's over mount Rushmore for sure yeah. We'll talk about small beginnings and you know things end up big time sometimes but they start small Ellis was born in a tiny two room house in Tupelo Mississippi. And a market award to Louis zone. Actually drove through there one time going through a Little Rock, Arkansas and it made me wanna have a to learn jelly sandwich is like your home. Well short jelly doughnuts we'll have a Joey and all of me your hands if you're a lot better and I was gonna say to lows near one bullet. So if it falls I'll be room third cymbal crash test. That the how. That Elvis was born and was built by his dad. As roughly 250 square feet can you believe that well think about that does that help small let us not very small it's now a tourist attraction in Tupelo and stands in striking contrast. To the mansion and the Graceland mansion where Elvis died. In my question to you Marc and I know that you can make sense out of all this because you've makes sense on just about anything. What can we learn about financial planning from that story about Elvis. Yeah this like about 250 foot square house in Tupelo. To the Graceland mansion. In Memphis you know a comet sounds like. When we first start video were you a young married couple we just starting out. We got eulogy Robert too you know both thousands working in what are we doing we're saving. We're starting to save and invest. For our financial future down the road and hit and many others especially me I'm put my hands up and raise the money anybody can see me do it and I'm raising my hand at the rose had a lot of credit card debt. A I document. So Michelle and I worked very hard getting rid of our credit card debt taking the highest interest rate cards in those off first at the same time very very diligent in saving into our you know back in the old days are except retirement are IRA retirement and then hours the company got bigger our 401K. But over many years of safe and investing you know most families were able to accumulate. A nest egg that looks. More like gracefully you know something that you have worked hard for that now you can now look got to say OK is this enough to live comfortably for the rest of my life. Now most people don't feel like they're sitting on a fortune but it's actually pretty amazing when you compare what your nest egg is today. Verses. When you first started. So even if you don't feel very wealthy. You know it's very very important as your nest day has matured. But you're working with the an advisor who understands exactly. How many years. It book. For you to save that disciplined investing discipline saving. That it took for you to get to the point you why are. And how much to think about that as you're listening out here to us today look at just think about what is the balance in your retirement account right now go back. How many years did it take you to make that balance up. To invest it and accumulate that balance. It is so so important. That that money is preserved that money still continues to grow that money's preserve especially. When you sit here and think about it. How overvalued. The markets are right now. Man I'm loving this ride we have in the market and you've got issues going on geo politically we can't get anything through congress. We just had a massive hurricane. And we're still watching the markets be very resilient and still Grove's trees but a load. I'd love not the markets are still growing and this market is even though is so overvalued it is gonna come to a time. Where is still does go to change and it's gonna come backwards the other way so there's gonna. Happened that calls is that that that is so important that you ride this wave while the wait is still there but you managed the downside volatility you manage the risk and I don't care if you've got 350000. Dollars or if you got three and a half million dollars what every yield accumulated this point it's just important CU and out Rama I want to tell the folks how they can keep this money save this money and how we can help them accumulated. And at the same time preserve it for their future Ron tellem how to make that. Happen to speed up the phone call 806465996. That's 806465996. In got a complementary review of your financial plan. Just call now at a take advantage 806465996. Or. It's time crew fireside chats as we get to know your local. Financial symphony maestro. Well it's getting to know you time here on the financial since many. The fun part of the show where we step away from the financial chatter for a moment or two tickets and Richard boots are really just a bit better outside the financial realm if you will. And Richard you know a lot of house we ask crazy questions on here they can be something goofy like what kind of animal would you be here. What's your favorite piece of pie or who knows what we go all over the map with this and this one's actually kind of an interest in fund one. To see what's your which are mine might take you to you if you could be present for just one event in history one event. Would it be. Crucial minutes that. But I would choose the sign in of the declaration of independence. For me that was probably the most historical moment in the history of our country and it would have been really exciting to be present when that occurred. Now he wanted to be in the room incredible witness it listen to the debate like all of that that's kind of wrap them there and just in and see those guys sign that. Yes I I would love to have seen. You know of them future act especially Ben Franklin Thomas Jefferson and John Adams you know James Madison who it is these were intelligent folks and then it would have been exciting for me to sit there. And just be a fly on the wall and watch everything. Yeah I can't imagine that that debate prior to signing that was probably pretty intense I can imagine all this. Those guys and their kicking things around and discussing how things are gonna work out in the conversation must've been. Pretty a pretty impressive and well obviously to you know I diehard patriots. And it's true fan of you know being American. Would be a seminal moment where of the of the feelings would just well up inside you wants a man and and him being present and and again and see them all compromise and come to a solution and finalize there's a right here on unlike today right. Yeah exactly what a novel concept. And there at that what do you give us are getting to know you've heard this week. That's a pretty good advantage media to be president or that ask yourself out there really if you can be president we'll. One event only in history would have been quite that big. And when it comes to financial event. Richard future really can certainly help you out on that front. You're listening to the financial sadly we'll get back to the financial going to just go home. It's remarkable sometimes the emotions and feelings music brings to our daily lives it was there for graduation and. On her wedding day. And sometimes even resonates on our darkest days. So as you look back online and remember the music strikes aren't you take a moment to look forward to your retirement. That he time ripe with uncertainty. Oh really the time of Julie. If you are spot and now when you think your current plan deserve that kind of celebration when you reach retirement. It's time to get a second opinion. Come visit with your financial my strength Richard Richard Allen. Serving the Charlotte metro area. Call 806. Or 65996806465996. Johnny cashes estate was approached by an advertising companies asking permission to use the ring of fire on an ad for hemorrhoids greens. The request was freaky. On a similar note here's the financial Stephanie we requested that Johnny Cash the state allow us to use Folsom prison blues is our theme song. That request was also reviews. But keep listening anyway. You back here with us on the financials symphony thanks for tuning into the show today Mark Killian your host alongside Richard pooch a rally of Carolina retirement resources. Here in the Charlotte metro area you'd like to reach out to Richard he's convenient to get a hold of he's got an office and hunters hill North Carolina and Rock Hill South Carolina. And he's available to you by dialing 806465996. If you need some help. Have a conversation about your retirement situation and how things are shaping up or not sitting up he can certainly help you. Dive into that little further 8064659968064659. 96. You know Richard problem solving is a big part of what you guys do in the financial services industry. I'd earlier big baseball fan and our panel to clean it like this. I think a lot of casual fans of this border people that we're watching baseball may just think it's the simple act of you know you gotta get he hits and runs and score and that's it but there's a lot of strategy is a lot more going on to baseball. Then just that via the general consensus that people have about you know scoring right. And that they say a thing applies to financial services I think a lot of people sometimes think that most of what you guys do is just. Pick stocks but there's so much more going on there's so much more behind the scenes. And a lot of it has really problem solving and strategy. So let's talk about that on the next couple segments today here on the show can. Sure so would you agree with that do you would you agree with my summation there. Absolutely I retirement plan and is is not just about investment that your accumulation years. Thank you know retirement is a fundamental change in your life and you know your portfolio. And how do you manage that portfolio how you manage your savings needs to fundamentally changes wells he's shifting gears from a push for accumulation strategy. 21 that employs preservation and development of income. Certainly want growth but you want their growth to be managed to risk first and foremost. Yet couldn't agree more and so problem solving becomes really Paramount in this endeavor so we're gonna talk about problems solving. And I'll give you some things in some situations that may. Come up or that you may face. When you have clients or potential clients command and we'll talk about those individually and just how you might adapt to some of those for example. Maybe someone comes in with the problem that you need to solve. Of early retirement but in this case maybe they were forced into an early retirement how does that shake out when you're doing. Retirement planning. Went on start to see this I'm more frequently aerial every year. There are more and more retirees there for an early retirement and back. I recently read a study that said almost half of retirees and her retirement earlier than they plan. On of those early retirees only 25% of them choose to retire early willingly. The same study also indicated that the most common and uncontrollable situation that can work for person to retire early. Our poor health. Haven't take care of a family member or just simply a job layoffs no matter what the circumstances are collagen. That are causing you retire earlier on in play and you're gonna have to make some adjustments in your your retirement plan. Or if you don't have a plan you're gonna need to implement one as soon as possible. Don't most of my clients who were forced. Into early retirement mark. Many of them found new jobs. But those jobs typically resulted in lower income. And I think that's to be expected since it will be very difficult to match the income. That you had with your present drop the one that you just lost. And and often many choose to take on a part time position rather than a full time job. And I certainly encouraged that is dependent on your age I think that day you should continue to work. You know sometimes forced retirement you know things like that will will force a a change in your spending habits or should. Fortunes change your spending habits I mean obviously wanna reduce overall expenses. Unfortunately that can include selling your home. You might have to relocate. Certainly tighten the budget to include or exclude excuse me. All those unnecessary expenses that we end up spent an Armani on. Without thinking twice about it you know and certainly you want to be Smart about collective Social Security a lot of people. Who were fortunate situation won't collect Social Security early. You know but if you're married for at least ten years you have many ways to claim benefits of doing it right could mean. Collective significantly more so be sure to get some advice to ensure your collect as much as you can. And if at all possible and don't forget if you get laid off. Probably eligible for unemployment you know you've paid into the system all your working life. And there's no shame in taking the benefit you know those you know those of you there are forced to retire early because of illness. You know some of you might be eligible for disability benefits he certainly wanna look into that as well. Actually for many of my clients that we're fortunate early retirement. Eight included are severance package that was based on their annual salary. And they are years of service with the company you know this is exactly what happened to one of my clients recently. She's 56 soon to be 57. And has received an offer that will pay her income for the next eighteen months. Her goal is to find another less stressful job you know something that she's more passionate about. Tom and that eighteen month a severance package for sure contribution though. In the meantime she plans on rolling most ever for one K in her pension to a shelf directed account. And develop a long term retirement income plan that's a plan that will include say my strategy for lifetime income. And our growth portfolio for additional income in the future. The emphasis is on risk management has these funds will need to ensure her equality like sorrow for the entirety of your retirement years shall. Are there are options out there everybody's situation is different but you certainly want to go through and look at every option and not and not jump in and make quick decisions. We're talking about problem solving with Richard future rally of Carolina retirement resources 806465. 996. A lot of times potential clients think they're advisors just pick stocks and so on so forth. But really it's about problem solve out of different scenarios in this case Richard maybe attacks related so. There you know just keep in mind that the key focus of all retirement plans and ensuring you have enough money to live to retirement lifestyle you want. You know why you were work and you took advantage of the workplace savings accounts searches for one case. And maybe higher res. You know individual retirement accounts and and what you did as you deferred taxes you were educated to defer taxes. Now if you're hiring is a lot to count you don't have to worry about tax issues because of you pay taxes on the money before you put it into a Roth higher rate. And earnings have grown tax free that means you don't all the higher risk anything on on your risk rolls once you retire. But if your retirement savings is primarily a traditional IRA or 41 K you'll owe taxes you never paid income taxes on your 401K. Or your deductible hiring contributions plus. At the earnings on these accounts are tax deferred meaning you owed tax at your ordinary income tax rate on money you would raw upper income in retirement. And if you delay distributions and postpone those taxes you're required to spur taken those distribution when he turns seventy in half. Let's and taxes don't and when you stop work and in fact. They won't likely be much higher than you anticipated for many reasons and taxes are the single biggest factor that will separate you from your retirement savings. And when it comes to taxes you want to pay taxes at your lowest possible rate. For example. I have a couple that's all their tax bill increase dramatically you know all of their retirement savings are in tax preferred accounts and now they must take those distributions and pay taxes. One solution. Is to make a qualified. Charitable distributions from your higher rate. You know since this couple was already make an existent donations totaling some 2530000. Dollars a year. What they can do is they can transfer funds from their higher rate to a qualified charity. The money donated satisfy your R&D requirement. And it lowers your adjusted gross income and you pay less taxes. You know let's just. CPA. The people that we get our advice from foreign taxes. They've been trained to teach you to defer taxation. That's what they do they encourage you to defer taxation during your shape in years and I see them doing the same thing wonder when you're in retirement. So let's assume your fifteen years old you have fifteen years. Left to save and you're saving high out 101000 a year in tax deferred vehicle. Let's also assume the account has grown by 7% a year and you'll take withdrawals. For thirty years you know do understatement jeers you're gonna receive 2500. Dollars in taxes deferred annually. And the cumulative effect of this is a 150000. Going into the plan. And deferral of 37500. Dollars in taxes. Doran your spending fazed however and retirement many of you forget that you have a silent partner in your retirement plan and that's Uncle Sam. Now when you begin withdrawals at age 65. You'll withdraw 20250. Dollars annually. And the IRS claims 5063. Every year in taxes. The cumulative effect is 607500. In total withdrawal over thirty years. And a 151890. Dollars and taxes being paid. Here's the bottom line. He put off paying 37500. Dollar cost saving and but it cost you 15100890. And retirement. So it's given me opportunity. Would you flip the script on the IRS. Would you go ahead and pay to 37500. While Saban to avoid face in the larger tacked on retirement. The point I'm making news is that tax plan and pay tax preparation are two different animals. And this is why I am really passionate about you being well prepared for retirement and I want to expand an opportunity for you right now to help you be sure that your well prepared. I'm off and a couple of Mary financial review to anyone who called in the next fifteen minutes and has at least 200000 dollars saved for retirement. I'll talk about your retirement income needs. Where that incomes gonna come from how he'll outpace inflation pay as little as possible and taxes and make sure that you don't outlive your money. Now you might say I don't really have to comb the next fifteen minutes and yes it's true you can probably take care of it next week or next month but here's the deal. And the coaching people on retirement plan for a long time. And I've learned that it's really easy to procrastinate or get distracted so if you don't start the process now. There's a very good chance that you're not gonna do it at all so the first coach and I'm gonna give you was from encourage you to take the first step right now. For almost everybody that's the hardest part from there it's not a painful process so you're ready to finally get at a planned plate give us a call right now. 8064659. 96 that is 806465996. As Richard said take that action take that piece of coaching advice. And reach out to him today 806465996. To command sit down and have a conversation with Richard culturally. A Carolina retirement resources. Get that planning process guard Richard can help you in a lot of ways that he can't do any of it maybe doesn't get the chance the milieu so you can call 80646. 5996. Minutes 8064659. Six and you'll sing to the financial center we'll be back just a moment or. We all see the finished product to the music superstar. The sold out performances the TV and magazine covers and the eventual acceptance speech at the dreamy. You don't often see is what it take to get your next stage. Hours and hours of practice the traveling that critics improvement he's. All those little details happen in the background without us noticing and you know what your financial maestro which together a financial plan for you in much the same planes. And naming process easy for you on the surface. And you'll get tomorrow while it's hot yeah you're playing now. But don't forget about all import duty till I have been going on in the background to crash your financial masterpiece. And remember your client should be in the beauty come visit with the financial my stroke Richard that you really starting to Charlotte metro area. Call 80646. 99680646. KB 996. Sweet sounds and has amassed more than ninety guitars and is his career including at least 23 vendors Madagascar's. Twelve Gibson left calls and when he won Gibson as she's. And our local financial Meister is all around the country yes smashed the fees that hundreds of portfolios to save their client thousands of dollars. He listening to the financial symphony. Well our crews and down the homestretch here on the financial symphony the show that helps strike a right core if you will in your retirement plan. Everything try to be harmonious and working together and of course Richard future really of Carolina retirement resources can certainly help you strike that right court. Reach out to Richard 8064659. 96 at 806465996. To get on the calendar and talk with Richard future railing. We're having a good conversation today talking about problems solving. And how it affects and how different kinds of problems affect. What's gonna happen in your retirement plan and how your advisor could possibly potentially be working through some of those problems we touched on a few but there's so many out there. I'll be if from forced early retirement the loss of a spouse prematurely. Faster than anticipated if you will. Tax related issues of divorce. Lots of different things go into that. Maybe also a situation where you've gotten bad. Or. And fortunate advice that wound up sending you down the wrong path may be from. A different broker or advisor in the past how does that change things Richard and obviously you need to work through that problem as well. Yeah how you know. Pretty subjective. From individual to individual. Tom but that you know if you sit down with someone and they explained to you than an investment guarantees of certain returned. And that investment fails to perform as such than the broker may have been the misleading you. In fact any time someone shows you an investment is guaranteed. And they aren't talking about something like a certificate of deposit. On or other guarantee fixed income instruments you know he would you wanna be very cautious. Even if there are guarantees for an investment could probably come with a significant fees so. You know there is also the case were broker may simply omit information altogether. You know common example of this is when the advice you. They invite you to purchase. A mutual fund that has a front load or commission. And yet they failed to mention it prior to the sale. Listen. Unless you specifically tell your broker or barker by X number of shares of stock. Any recommendations that they make must be within your suitability. And you know most of barges will do a basic suitability testing data reformation about your financial situation. Before making any recommendations but not always you know so if you meet with someone. And they hardly ask any questions about future income investment objectives risk tolerance. Or anything of that nature you know again being extremely cautious for example. I have had many clients that bought variable annuities thinking that the annuity guaranteed a six or 7% rate returned. Unfortunately there are no guaranteed rate of return to using variable annuities variable annuities. May lose value because the sub accounts or mutual funds are correlated to market mania and when the market goes down so does your account values. So for those of you who thought you couldn't lose any money because of the guarantee. You found out the hard way that you can. You know variable annuities have lifetime benefit riders and it's those writers that provide the guarantees. Your account value is not guaranteed but the income generated by the Trier is. The writers so do not come free according to Morningstar pennies short retirement institute. They say that these writers average over 1% annually. And and the team that he is on top of other fees such as mutual fund expenses that they also had averaged about two and a half percent. And most of the funds in these terrible annuities are proprietary funds. You know at on a death benefit rider and the fees increase even further. Philosophies and their owners can be as high as five and 6% and that is somewhat shocked into a lot of individuals. Once I bring that to their attention. You want to be sure that you understand. What's being recommended here and you wanna make sure you do your due diligence Pastor Wright questions. And if you have any questions feel free to call I'll be happy to help. You're listening to the financial symphony Richard future really of Carolina retirement resources as Richard said if you'd like to reach out to them call 80646. 5996. That's 8064659. 96 were talking about problems solving here today on the show there's so many facets that goes into retirement planning and financial planning in general but obviously as you approach retirement. It's definitely something that you want to. I need to make sure that your doing the right things because any misstep can be magnifies as our our time arise lower and lower closer to retirement. And that health problems Richard you touched on that earlier in the last segment. That can have a lot of effects to a lot of aspects of our life but definitely the financial aspect as well. When you're hit where they may be a major health problem. Or recurring health problems it can certainly do Wendell and affect your financial plan especially if you're not planning accordingly correct. That's true. You know one of the most surprising and and rising costs in retirement is cost of medical care. In fact it's much larger than most of you were prepared for and many of you believe Medicare will cover everything or nothing and neither of which is true. You know until you're experiencing yourself you know most of you make assumptions based on misinformation which means there will be some uncomfortable surprises ahead. Listen health care costs and longevity go hand in hand. You know it stay healthy retirees attending and up with a higher lifetime health care costs simply because they live longer. And the biggest cost is custodial care while long term care. Know some clients will reap the ability to pay for long term care a priority because they just finished taking care of a parent and know all too well how much it costs. The fact. My father in law who recently passed receive long term care for more than five years at about 6000 dollar per month. You know custodial care is not sheep and will be much more expensive for most of us you need to plan for today. For many of my clients that requires invests in a portion of their statements and insurance products that help cover their cost for example. Many of my clients have life insurance contracts that provide an accelerated death benefit. That accelerated death benefit. Is that benefit their can be attached to a life insurance policy. That enabled the policy hole to receive cash advances against the death benefit in the event of inertia Homestake or even after being diagnosed with a terminal illness. And in most cases. Accelerate got benefits are not subject to federal income taxes and if you never need care your heirs receive an income tax free death benefit and if you ever need to actually sure money you can make tax free withdrawals is what I call an all inclusive product you know listen. Financial decisions folks. Are among the most important decisions you'll make adorn your lifetime and it's important. That these potential financial problems are understood and minimized in fact you'll see the most important principle on which debate sure investment education. Is simply good common sense I'm very passionate about my belief that you deserve secure independent retirement. And that's why I offer free consultation to our radio listeners to help keep you on that path. If you call me in the next fifteen minutes and have at least 200000 dollar safe retirement. I'll offer you this free consultation to help you determine how prepared you are to handle retirement pitfalls like inflation. Health emergencies stock market volatility. Taxation. And health related expenses. You've worked hard for your money so we'll work just as hard to help you protecting growers thorough wide variety of tools and services available on the financial world. I'll show you how to harness those tools and services to create a plan that's tailored just for you. And I'll show you how to achieve a lifetime of security thanks to a lifetime of income. So let's get to work now after the you can get that back space her purse that you deserve and get better answers to your financial challengers and objectives give me a call on next fifteen minutes and I'll work with you to get you on that road to financial security and independence. All right let's head down that road together 806465996. That is your number to call to reach out to Richard future really of Carolina retirement resources we're talking to retirees and pre retirees. It's a great chance to just make sure you're headed in the right financial direction. As you plan for retirement Richard can look at to a portfolio show you where you are now but more importantly help you get to where you need to be for that successful retirement. But you do have to take that action and make that phone call. 806465996. That's your number to call. 806465996. To get yourself on the calendar. Come in and have a consultation with the Richard which really sit down and have a nice conversation about your unique specific financial situation. Again Richard literally 806465996. At Carolina retirement. Resources Richard thanks for being here on the show with me again this week we certainly appreciate it every week we appreciate your time and it was the you're welcome I jury and we certainly enjoy having you here again as we depart 806465996. 806 or 65996. You've been listening to the financials have been. Information is for administrative purposes only. And does not constitute tax investment or legal advice always consult a qualified investment legal or tax professional before taking any action. Investment advisory services officer Brookstone capital management LLC an SEC registered investment advisor.
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