Retire Right 07.02.17 Seg2.mp3


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

Do you. You're listening to retire right with Allan Becker on the retirement. News network. I its mega Mose and from the retirement news network I'm here with Alan backer of retirement solutions group. You can begin building the retirement of your dreams when you call talent and get started with him on his round table retirement review process is number 936859. Or two to. 91368590. Port 22 you can also log on to his fantastic website goatee or retire right Casey dot com today honor show we've been discussing inflation at what it means for your retirement nest eggs so. Now Allen to talk about ways people can go about protecting themselves and their retirement nest egg from the loss of their purchasing power overtime. So are we helpless against inflation or do you think there are things we can do to counteract it. I feel we're far from helpless when it comes to fighting the effects of inflation who we have to be Smart about it and we. Mean there's a lot of noise out there and I and I truly feel that the media. Pushes things the direction they want us to run sometimes. I like let's talk about cost of living adjustments or pull and you know most pension plans don't have a cost of living adjustment. Some long term care plans that built and I think that's a great feature so that you can. Know that your long term care policy and be there are you need the Social Security's one of the biggest misunderstood. Things out there I mean there's a cola on Social Security. And most the media would say that means it's you know peg for the Consumer Price Index and I mean this realm. Tivoli. Immune to inflation and I totally disagree with that you know what I look at social security act. Quite frankly never to a plan or hassles security ever inflating because my experience over these last eighteen years as as those security inflates thirty you know with Medicare. Costs so as our health care rises. They're gonna take that out rising cost for health care. Right out our cost of living for Social Security so we don't see the matter of fact shall Exel security and Medicare so it's unfortunate so we really have to look at it more in our investment planning to make sure that. Well there's a couple things we go look at. And one thing is just making sure that we're not. Overly aggressive on our investments taking on too much risk Abby wanting to definitely look at other ways they're using the right type of vehicle. OK so when we're talking about those vehicles the right types of vehicles Alan I know that Social Security. In and of itself that is not enough for retirees to live on. US and strategies. I guess to protect some of our other income sources from inflation. Sure most people they can't survive council's security alone it was never designed to cover everything is designed to cover thirty to 40% of you know our retirees budget so to speak end I mean I guess that really is relative to how much you're used to living on but you know we have to look at the bigger picture what other income sources. Came we relied upon to meet our needs your retirement so weak they are stock dividends. And that's looking specifically. At investments that are producing dividends which dividends are cash vs just the hope of a investment going up at about and we have to be willing to part from an investment that's going up in value. If we needed to live on a stock dividends are re occurring revenue off of those stocks that we don't have to liquidate your receipt bonds or another one that. Right now I'd be a little cautious up because we just. Went out of and over thirty year bull market on bonds as interest rates start rising. I think bonds are going to be a bigger concern for a lot of people but for many years. Bonds have been the safe play I think most investment advisors dilute or is using bonds. In the sense it still adds interest rate risk in longevity risk. Am call rate risk in your portfolio. Where many of us one eliminate as many risks as possible that's why are typically look towards a fixed indexed annuity because then like him. Put that risk on the shoulder of really high rated insurance carrier. And comes up what options that can give us in town. In one of the flash if you are the products I like happy increasing income. Which how come back to the title of my book return on investment or reliability of income the true meaning of borrower and golden years. And reliability and and that's where an annuity can really command give us a consistent. And sometimes increasing income. For the rest of not only our lives our spouses like to. And I think that's just a very good thing to look at it retire and it acts like social skewer your pension. I think there's just so much noise out there that scares a lot of our listeners from calling in in finding out Allen and duty can benefit them and Akashi gets and I I call. What you're not here and another thing we can look at as a retirement calico forward care hiring or look that your own pensions that are options that you have or even looking at life insurance is an asset class and if you have that about ten years to prepare. Using life insurance to put money away to get a tax free income. In the future and I think at tax free income has a lot of times the best type have been commuting area so several ways to find a way to get to retirement and through retirement. Without run out of money but you have to be open to. Planning to looking at a solution finding a solution or Treo. Now so we hear concerned about your present financial situation. It can be hard to think about the future but if you put off thinking about your retirement you get in a sacrificing. The future you always imagined for yourself that's just not right. I know planning ahead can be very difficult and that's why for the first ten college today. Offering or retire around Avery you rob take a look at your current financial position get a handle your future goals and provides recommendations. For the hyper retirement strategy we can create together. Tell you meet those goals preparation is definitely the key so called well. And I went 36859422. That's 9136859. B or 22. We're located at 435 and madcap very convenient whether or not you're already have retire plan now is a great time to start or get a second opinion. Whatever you need we can assist 9136859442. Allen's web site if you haven't checked it out mixture do you head on over to re tire right Casey. Dot com Alan how do you craft a retirement plan that factors on risks like inflation. Well is such a strategy that's going to provide growth and steps aimed their writing protection by that I mean. Strategies that help your money grow and to keep pace with inflation and whether that prevailing rate happen whatever that prevailing rate happens Debbie. So our entire planet fails to account for inflation a potential decline of purging the power and they work fine for Persian early in their retirement that somewhere down the line. You're gonna come up short Harmon has 203040. Years of unemployment. So that means you're not bringing in are replenishing your prime you're stockpile of cash as you go and three retirement. So we need to. Really creep plan that looks at all the different areas and are out there retire process is designed to help our clients achieve simplicity. And more financial security during the second half of their lives and focused around providing you a five star. Planning experience of the five year is of your financial life so those are gaming income planning investment planning. Tax planning. Let legacy planning and health care clinic go five areas that most of us truly the most helpless and we do this. And a fiduciary approach to everything we do is focused on your best interest in your money your retirement. We believe that it just shouldn't be that hard to give you advice that is truly best for you with no conflicts of interest are. Alan we're looking at strategies to combat inflation what are the other options out there what are the other Smart financial tools that you're using with your clients. Always started touched on this a bit earlier you know annuities are something that I think should not be overlooked is the right ones I'm not a fan of variable annuities. Anything that or uses the word variable means that it had just or changes. Like the word fixed were fixed index. Because then you're looking at policies that have been designed actual wearily and you know the Mac does in the numbers and numbers not lie. So when you're looking at something that's actually early bill is designed do you view income for the rest of your life. And I know you you want to leave a lot of money for the kids coming Seles do some of those don't even care. But the end of the day at a new music contracts. That's between you and an insurance carrier it is based on claims paying ability of that insurance you're seeing what a picker you know a good one. There's so many things that come in the mine when I when I talk about these and there's so many objections. Plants will bring up like is my money liquid in her is you know Keogh can get it back out there what happens is the insurance company goes under. Maybe those are great questions and would definitely be addressed when you come in and visit but I also tell you if you've got money in the market and a market corrects how much of your money guaranteed. How accessible is that your waiting for correction in the market. And Howell. Well he knew whether this or retirement if you're fighting off a correction in the market as say 1020%. We need that money to live on for the rest your life so these insurance contracts only address our long term care concerns. They address our concerns are running out of money date can also addressed the concerns of inflation because there are products out there. That have increasing income built into them where they're the payment is gonna go up every year. For the rest that you and your spouse's life. And that's just a fantastic thing there's also life insurance policies that are. Uses an asset class and I say let it turns and a lot of people like to announce hello I don't elect her on in my. Cracked and as a life insurance as an asset class. Means that you're saying okay this is an asset and I get money out of here as a investment at its modified ballot counter drug money out of it. Tax free if it's set up appropriately. And tax free money. Is a pretty darn good thing specially the page for the rest of your life so there are ways. To utilized safe money vehicles to address long term care concerns to address inflation in June dress the risks are running out of money. Which taking consideration tax efficiency. And you can do that all by using. The market or you can do at all using the insurance oral or you can more or somebody whose license of both areas and use the appropriate amount for you where you can use. Both parts together and that's what we do here retirement solutions group we. Use our insurance license to provide some safety and security we use our securities licensed for fights and growth and you open up the strategies for. If broader. Environment. To give you ability to invest those companies that you find value in. But really the point of investing is to make money appoint. Having a good cup for retirement is to be end of the inside vehicles. Whether their bottoms whether it of paying dividend paying stocks or whether their insurance contracts that are gonna give you back the money you need to live. And to keep inflation enjoy the lifestyle that you want because you can't take it with you I don't think any of our listeners have ever seen. A Hearst on U haul it just isn't physically able to take it with us so what we need to do. Is build a plan. And a strategy. That's gonna work with our family dynamic. And addressed the concerns and issues that we have and that's what we do each and every day here retirement solutions group. Would love the ability. To do that for our listeners so when it comes to planning for retirement. The first step it can definitely be the hardest knowing where to start it can be difficult and thinking of over twenty or thirty years of unemployment. Those are the years in the future back and be just overwhelming so for the first ten collar today. I'm proper retire router review to make this process a little easier this is a great opportunity to talk to an experienced financial professional. About your current financial situation your life goals and how we can develop a retiree strategy that takes both in the consideration and when we meet we're gonna look at how to maximize Social Security benefits analyze how much riskier Kirk or close taking and how much risk. You're willing to be taking make sure your council tax efficient protecting all the money that is rightfully yours. And developer and income planned to make sure you don't run out of money retirement for you or your spouse. And it's all done very tax sufficiently. There's a great processor great reviews and give me a call 91368594229136859422. Alan I'm really excited about your conversation coming up with David Bach you sit down with him you talk about the market the fluctuations in how people should be positioned. Going forward in this environment for retirement. Yet David Bach is a wonderful gentlemen I have had dinner with them and that's a great conversation on him and his wife and I just I look forward to sharing this day interview with our listeners you're gonna enjoy it. Absolutely stay tuned for that you don't want to miss it he is a bestselling author Ares one of America's most trusted financial experts. Much more with Alan backer as he sits down with David Bach coming up next you're listening to retire right. With Allan Becker. This is retire right with the Allan Becker on the retirement. News network. Whether you're approaching retirement or already retired transitioning into retirement can be a daunting thought we would get income what does the market drops. How she takes Social Security doing retirement solutions through an RST investments for a discussion about these factors in homes all well retirement solutions group treats you to a complimentary dinner. I chose tasty barbecue in only fast. Do you think it takes 6 PM on Tuesday July 11 points Thursday July 13 at just easy barbecue you know laid back. Reservations are required to call 913685. Nine point 222 reserves Dorsey today it's 9136859422. Seating is limited so call now to learn more about these events and how you can attend retirement solutions group. 91368598422. Or online at retire by Casey dot com. Investment advisory services offers you eight. LLC. You are listening to retire right with Allan Becker on the retirement. News network which. Yeah. This is Al Becker retiring radio and I'm very excited about the gas we have on the share right now. His name is David Bach that David you've been in the financial industry for nearly three decades. And you're the author of nine bestselling books including the automatic millionaire Smart women finish rich and Smart couples finish rich. You bit guest on the Oprah Winfrey Show several times and you're considered one of America's most trusted financial experts. You can find out more about David at finish rich back prop. David thanks for joining me so glad to have you on the show today as you know the stock market is near all time highs interest rates are at. Near all time lows there's lots of volatility in the global marketplace and numerous other things are affecting today's investors. I mean with clients all the time that haven't changed their approach even as they retired. There's still investing like an accumulation phase instead of the distribution base. One thing I like to tell people is if you've won the game. Why do you keep playing the only thing that can happen is you're gonna eventually lose that's for making sure your portfolio matches your ability to stomach Chris is so important. Well that's right your exact. And alumni now it's true when you won the game you know certainly keep flying itself. What does that look like I think at the foundation the financial planning and I can go back to the basics. Why do people do you financial play the number one reason they do them is they want another going to be okay. When you ask them what OK means that means they want another renowned enough income to live the rest are. Most people who retire no desire to cut back analyst. In fact they have never desire to increase your life stuff. So I think the financial playing come back to the foundation which is how much income you need tell me what you wanna go do next two or three years is great to catch to. Run the income up the rest your lifetime let's take a look at these next two per you're using when you retire you're gonna Google bunch of stuff right away. You're gonna neutrality could be extremely active. You're gonna be more active typically right after retired then you will be 5101520. Years later a lot of these on health. But also lots is based on you how do you wanna do and the first thing that happens retirement you know Tony did you. So often you'll spend more money in the first two years retirement. Which is fine provided your financial plan has been created true culprit. So take a look at how much income you need how you generated. You need guarantee your income. How much risk you wanna take to get out and come and again what you don't do retirement what's really mapped out mountains are all you need good financial questions to be asking yourself. And if you're in a relationship in your married. These are really good questions be doing together because sometimes retirement can be very stressful for couples. Lot of times when spouses retired and the other one's not there already all home the other how lunch every day itself. Having a vision of what retirement is gonna look like that to you. How you're gonna merge and clean your life is going forward on how not conversation with a financial professional can really. Smoothed the path and make it even easier to meet other get to retirement you bolt won this is out record I'm joined by David Bach. He's the author of nine. Best selling financial books and considered by many as one of the best. Financial experts in the country David besides not having a plan what are some of the other mistakes people make when it comes to planning for their financial future. I know of a couple that come to mind particularly. Ones I've addressed on the show. It to us. And using I just didn't interview for a millennial radio shell cast and you're the number one mistake leno's new exit they're not. So this is often by the way a problem for lots young people a lot of young people like us and turn. As I see each year an idea this year you I am just a few weeks away from eating my seat deeper then. And it's amazing because I started investing your retirement account when I was in my early twenties and huge toll that easier to go like this I'd never. Wouldn't believe it and I also wouldn't believe how much money out there because. It's amazing that these compound interest charts you'll see when you're young most people don't do it. I actually work so. Yeah I think the biggest mistake is not seeding when you're young. Not signing up here retirement accounts at work so often we see people if they do user long kick lands. They're only putting the minimum in those plans like three or 4% off not because somebody told them. Only putting into the company matches and then stop that is a huge mistake I will tell you the best advice you could ever be given. Is Max out your retirement accounts you can. I recommend that young people know what at least an hour review of their income. If he's in one hour endearing coming your twenties you'll never have to worry about money the rest your life to be in great financial shape. What happens is and and our twenties we don't think about money in her thirties we start to think about it in our forties we worry about it. And typically in her fifties Easter diaper valid so no older people always tell younger people. It by only you know you're telling them what I knew now we're starting when I'm younger so star. He's young and you're listening start now the second the only telling him. For young people. Is that since recession like young people are not buying homes com. You know we're becoming a near being the community where we're not buying things right now is we're using it isn't and that can were from a lifestyle standpoint. But from an investment standpoint. Is very hard to build well if you're gonna be a renter of the rest shall homeownership. Is forced savings. And we know in this country to homeowners are anywhere from thirty to forty times wealthier than the average renter America. Stop horseshoes really important for young people seeking to buy that first home. Getting in your first property can be won in the most critical components. Of whether or not shall build real well you get older. And then the next thing comes down to us you people just accumulating way too much. And not paying off. Keeping their credit card debt paid off. And then again on mortgage debt I recommend that people paid as more resolved earlier. Because as soon you pay more job that you want to retire you have the option to retire my clients became union retired nerve. Mid to late fifties which is really most cases five to ten years sooner than average purse retires. The reason they can retires because of the mortgage Ella. And then I would say that. Another mistake I see is people. Like you said earlier start to approach retirement. Often they have kept their portfolios. In a growth mode which is fine cut to a certain extent. But once you hit that age retirement does not need to go from growth to see all in cash. But you may want to pull back on the global risk that you are taking and that's where you really again go back to. Looking. At the asset allocation that you had looking at how much risk you're taking. And recognize as you get older you're not gonna have a 101520 more years you've working so you may not want. To be quite as risky as your sixties. As you were report. David he probably can answer this better than most because you've toured the country spoke to hundreds of thousands of people. What are the most common fears or misconceptions you hear when it comes to people waiting for their financial future. Yeah the biggest misperception I see you on what Kabul is first is that. But he is playing difficult. That's can take a lot of time. It's not you know when my son did you tell people look I don't care how big of a mess you think you have financial viruses seem at all. I mean. I had people coming in my office can literally. Have fifteen retirement accounts have. What counts in 45 or six all 401K plans have accounts and mutual funds knew when he is in multiple banks. And that's only one person writes I had a couple come and. And it's fifteen times too and they've got over thirty account to their own beer it's like oh we have done always things you know it's probably too hard prix of figure out. It's not hard for he's advisor to figure out your mass and it's not hard you clean up your nest. In good financial lives are sitting down what you can help you get organized completely. And create a clean and usually. In two appointments maybe three appointments masks so. You how long do those appointments to get out of money is need of financial lies are when it took an hour. Until we look tuna come into our office in the first. Maybe for the first time never relax we know what your outburst didn't ninja loans are all your assets are. You have some idea around the risk you're right now taking and what your keys are to your pain. That's the first point that's a lot. In the second appointment a good financial laws reckoning gives you a land that shows you how to take it you've got. Nature lasts a lifetime to where to invest that money so does run. That's appointments. And so what I see is you know the average person will work over your lifetime somewhere between 78101980000. Hours. Let's how many hours will work. And yet the idea often taking two or three hours to work on a financial plan seems intimidate. What I will tell anyone is listening if you are within five years of retirement or even ten years of retirement. Taking two or three hours to future financial had organized. You can protect yourself your handling maybe the best power you have heard past. And easier than you think in most cases and also tell you. You're probably in better shape than you not often people are richer than their draws near you're richer than you think. You may even be close to being able to retire and so a lot of times people were afraid you knew of the financial planner and you're gonna find out that we're the rest who left. Often shocked to find out that they're actually much closer to. Being in retire. Never would have imagined not going to be a really fun puzzle me. Yeah I have data those are my favorite meetings when I can tell some on the comes in the seeming not only. Will they be taking care retirement that they might even be able to start retirement right now. I know it's important that people took control what their financial advisor that all involved are on the same page when it comes to retirement planning your retirement solutions group. We will help you to create. That plan then worked poured your retirement goals. Give me a call 9136859422. Once again that's 9136859422. Again thanks for your time David and I look forward to talking with you against him think he's so much for having me on your show in great spirits you day. To get your customized analysis you must have at least 250000. Dollars saved for retirement. Call now like 9136859422. That's 9136859422. It never hurts to get a second opinion on your retirement plan. 9136859422. You've been listening to retire right with Allan Becker on the retirement. News network. Investing involves risk including the loss of principal no investment strategy can guarantee a profit or protect against loss in periods of declining values any references to protection benefits or lifetime income generally referred to a fixed insurance products never securities or investment products insurance and annuity product guarantees are backed by the financial strength and claims paying ability of the issuing insurance company are firm may be able to identify potential retirement income gaps and me introduce insurance products like annuities as a potential solution talk to your financial professional and your tax advisor about -- Social Security benefits can fit into a complete retirement income strategy financial professionals are able to provide you with information but not guidance or advice related to Social Security benefits Allan Becker is an investment advisor representative and insurance professional with retirement solutions group retirement solutions group is an independent financial services firm that helps people create retirement strategies every day using a variety of insurance and investment products to work toward meeting their specific goals we are not permitted to offer and no statement made during -- show shall constitute tax or legal advice -- should talk to a qualified professional before making any decisions about your personal situation we are not affiliated with the US government or any governmental agency investment advisory services offered you -- wealth management LLC.