Dollar Wise Podcast

Welcome to a festive edition of the Dollar Wise podcast! Jason Gabrieli and Catherine Allen-Carlozo, both Certified Financial Planners at HFM Investment Advisors, delve into the latest world of Artificial Intelligence (AI)stocks. Tune in to hear them discuss the recent trends of investing in AI and the massive influx of AI-related companies. You will explore the risks, opportunities, and misconceptions surrounding AI investments and understand the need for caution and well-informed decisions. It's a conversation packed with insights, making it a must-listen for anyone curious about AI's role in the future of investing.

Tune into this episode to also learn:

• What defines an AI stock, and how has the AI investment landscape evolved recently?
• What are the potential risks and benefits of investing in AI stocks, and how can investors navigate this field wisely?
• How do major companies incorporate AI into their business models, and what does this mean for investors?

What we discussed

• [00:01:19] The emergence and impact of AI stocks in the market
• [00:03:34] The parallels between AI stocks and other investment trends like dot com and cannabis companies
• [00:05:18] Why established companies are key players in AI development and how this affects investment strategies
• [00:07:22] The buzz around AI and its influence on stock market trends
• [00:09:15] The psychological factors like FOMO affecting investment decisions in trendy sectors
• [00:10:24] Strategies for balanced and responsible investing in AI stocks

3 Things To Remember

1. AI stocks represent a diverse and rapidly evolving investment landscape, requiring thorough research and cautious decision-making.

2. Established companies with AI integration may offer more stable investment opportunities compared to new AI startups.

3. Balancing excitement for AI investment with a diversified portfolio and sound financial planning is crucial to mitigate risks.

Memorable moments:

(03:59) “ It's very interesting to me how much is going into health care and data management processing, the iCloud, as we all know, FinTech. Financial data sets and cyber security. I think that's going to be very important.”

(08:33) “That's what scares me about if someone just says, Oh, I'm going to do a little research. First of all, you better have a lot of time on your hands to be able to do the kind of research to research 4,600 companies just in the U.S. To decide whether you should be investing in these companies.”

(12:03) “As long as you're not derailing your whole financial plan to chase the next hot thing, because I don't think AI is going to be the next NFTs, but it can just be gone in a year. It is going to change things. It probably is going to make our society different for sure, but it's something that you still shouldn't all of a sudden take a left turn on your entire investing to pursue.” 

Useful Links

Connect with Jason Gabrieli: [email protected] | LinkedIn

Like what you’ve heard…

Learn more about HFM HERE

Schedule time to speak with us HERE

Check out our Financial Wellness Program – HFM Ignite

Jason Gabrieli is joined by recurring guest Bill Webb from Saratoga Medicare Advisors to dive into the topic of Medicare. They recognize that Medicare can be a complex subject and often misunderstood, leading to surprises regarding coverage. Jason and Bill aim to provide valuable insights and dispel misconceptions about Medicare. They start by breaking down the different parts of Medicare, exploring what they cover and who is eligible. They also discuss the options available regarding Medicare supplement and Medicare Advantage plans, highlighting the differences and benefits of each. Whether you're approaching Medicare eligibility or just looking to expand your knowledge, this episode is packed with valuable information to help you make informed decisions about your healthcare coverage.

Tune into this episode to also learn: 

• What are the different parts of Medicare, and what do they cover?
• How do Medicare supplement plans differ from Medicare Advantage plans, and what are the benefits of each?
• Who is eligible for Medicare, and how can one avoid misconceptions surrounding its coverage?

What we discussed

[00:01:30] Explaining Medicare's parts and covering gaps

[00:07:40] How the government outsources Medicare to private insurance with varying coverage

[00:10:20] The choice between Medicare supplement and Advantage is reversible but can be complex

[00:12:55] The Inflation Reduction Act changes Medicare Part D, majorly affecting catastrophic coverage

[00:16:26] Formulary: List of covered drugs; yearly changes can affect out-of-pocket costs

3 Things To Remember 

1. Medicare, though beneficial, can be a maze with its intricate facets and is often misinterpreted, resulting in unforeseen challenges regarding coverage.
2. Understanding the various components of Medicare, including the distinct options between Medicare supplement plans and Medicare Advantage plans, can guide you in making an enlightened choice tailored to your healthcare needs.
3. Seeking expert insights, as provided in this episode, can help ensure that you're well-equipped to navigate the intricacies of Medicare, promoting confidence in your healthcare decisions.

Useful Links

Connect with Jason Gabrieli: [email protected] | LinkedIn

Like what you’ve heard…

Learn more about HFM HERE

Schedule time to speak with us HERE

Check out our Financial Wellness Program – HFM Ignite

Whatever happened to that old 401(k) at your first job? Today, learn how to manage old employer retirement plans. Throughout this episode, gain insight into the various paths you can take with accrued retirement balances from past employment ventures. Jason reviews the options available to you, discussing the benefits and drawbacks of each to aid you in making informed choices regarding your retirement nest egg. As the conversation unfolds, you'll be acquainted with options such as retaining the plan with its current status, merging it into a new employer's arrangement, shifting it to an IRA, or opting for a lump sum withdrawal.

Tune into this episode to also learn: 

• What are the pros and cons of leaving your 401K balance with your old employer?
• How can transferring your retirement plan to an IRA benefit you in the long run?
• What should one consider before opting for a lump sum withdrawal from their retirement plan?

What we discussed

[00:00:46] Options and considerations for managing old 401K plans

[00:02:52] Pros and cons of rolling old 401K into new employer's plan

[00:05:52] Lump sum withdrawal pros and cons including potential taxes and penalties

[00:7:51] Exploring retirement plan options post-employment

3 Things To Remember 

1. Navigating the management of old employer retirement plans offers several paths, each with its unique set of advantages and downsides, which can be meticulously weighed to make an informed decision.
2. A key decision point in managing your 401K balance from previous jobs includes evaluating options such as retaining it where it is, initiating a rollover into a new employer’s plan, transferring it to an IRA, or extracting it as a lump sum.
3. Making a prudent choice concerning your retirement savings now can set a firm foundation for financial security in the later stages of life, and consulting with an expert can be a step toward making an informed decision.

Useful Links

Connect with Jason Gabrieli: [email protected] | LinkedIn

Like what you’ve heard…



Learn more about HFM HERE

Schedule time to speak with us HERE

Check out our Financial Wellness Program – HFM Ignite

Would it ever make sense to sell your house for a few bucks? Jason Gabrielli dives into the world of estate planning, specifically focusing on the ownership of your house. Jason addresses a common misconception about selling your house to your kids for a low price, debunking the idea that it can help avoid taxes. He explains the federal estate tax exemption and the absence of estate tax in New Jersey, shedding light on why most people don't have to worry about estate taxes. Jason also discusses the concern of protecting your house from the cost of care and the potential downside of transferring ownership. Additionally, he touches on probate avoidance and the ease of estate administration in New Jersey. You will learn the importance of understanding the liability that comes with transferring ownership to your children, potential drawbacks, and considerations.

Tune into this episode to also learn: 

• What are the potential benefits and drawbacks of selling your house to your children for a reduced price?
• Why has the concept of selling your house to your kids for a few dollars become a common consideration in estate planning?
• What are the legal and financial implications to be aware of when considering such a transaction?

What we discussed

[00:01:59] Federal estate tax exemptions are high; no NJ estate tax

[00:04:14] Most won't face death taxes; considering home protection from care costs

[00:06:15] NJ probate is reasonable; selling home to kids raises liability issues

[00:9:17] Selling a house to kids for $10 can cause significant tax issues

3 Things To Remember 

1. Many people don't need to sell their house to their kids for $10 to avoid taxes, thanks to high federal estate tax exemptions and no estate tax in New Jersey.
2. Giving your house to your children might protect it in some cases, but it can bring big risks like potential legal troubles for your children affecting your living situation.
3. In New Jersey, passing on your assets through probate is generally simple and affordable, so selling your house to your kids for $10 to avoid it might not be necessary.

Useful Links

Connect with Jason Gabrieli: [email protected] | LinkedIn

Like what you’ve heard…



Learn more about HFM HERE

Schedule time to speak with us HERE

Check out our Financial Wellness Program – HFM Ignite

Jason Gabrieli zeroes in on a topic he often discusses with clients: investing for the younger generation in your family. Jason reviews the options available to you as a parent, grandparent, or guardian to begin fostering a secure financial future for them. Jason reviews several options, including accounts available under a custodian's supervision, individual or joint investment accounts, and, of course, the classic 529 college savings plan.

Tune into this episode to also learn: 

• What makes UTMA and UGMA accounts a secure choice for investing in the younger generation's future, and what are the caveats?
• How does opening an investment account in your or your spouse's name work, and what control does it grant you over the funds designated for your children or grandchildren?
• What is the 529 college savings plan, and what are the stipulations for the tax reliefs it offers?

What we discussed

[00:01:20] Exploring UTMA/UGMA accounts for child investments

[00:03:02] Maintaining control with child-earmarked personal investment accounts

[00:03:36] 529 plans: state-sponsored, tax-deferred college savings

[00:08:17] Roth IRAs for kids: great benefits but requires earned income

3 Things To Remember 

1. UTMA and UGMA accounts allow minors to hold assets with a custodian until a specific age, offering a flexible yet controlled approach to early-age investments.
2. Setting up an investment account individually or jointly with a spouse grants you the liberty to dictate the terms of fund usage, helping to maintain a secure financial future for the younger members of your family.
3. The 529 college savings plan is a government-backed initiative facilitating tax-free growth of savings for educational purposes, albeit with the condition that the funds be used for approved educational expenses.

Useful Links

Connect with Jason Gabrieli: [email protected] | LinkedIn

Like what you’ve heard…

Learn more about HFM HERE

Schedule time to speak with us HERE

Check out our Financial Wellness Program – HFM Ignite

HFM is shining the spotlight on the crucial topics of elder law planning and life care planning. CERTIFIED FINANCIAL PLANNER Jason Gabrieli is joined by Brittany Tedesco, Esq. from Bratton Law Estate and Elder Attorneys, a seasoned expert in the field,  guides listeners through the various aspects and timelines associated with these services. The conversation centers around the practical side of end-of-life planning and the resources available to those navigating this process,  with the objective is to ease the pressure on the family and the client, allowing them to focus on their roles without worrying about technical aspects.

Tune into this episode to also learn: 

• What is the importance of pre-crisis planning in elder care?
• How does the role of a Care Coordinator in an elder law firm help in facilitating the process of elderly care?
• What are the different factors considered when planning for elder care services?

What we discussed

[00:01:42] Elder law attorney offers comprehensive life care planning

[00:05:17] Life care planning involves understanding client's concerns, goals, and financial state to provide personalized care plans

[00:09:08] Seek advice for elder care and caregiver burnout

[00:10:30] Estate planning firms offering life care planning can provide peace of mind for the future

3 Things To Remember 

1. Elder law attorneys provide much more than just wills and powers of attorney, they can provide guidance beyond that including what they call life care planning services. 
2. Having a care coordinator can relieve the family and the client of a lot of pressure and make sure they can focus on being the child or the parent and not worry about uncomfortable conversations or making big decisions.
3. It's good to think about these things in advance and have a plan for emergencies. 

Useful Links

Connect with Jason Gabrieli: [email protected] | LinkedIn

Like what you’ve heard…

Learn more about HFM HERE

Schedule time to speak with us HERE

Check out our Financial Wellness Program – HFM Ignite

CERTIFIED FINANCIAL PLANNER and Registered Social Security Analyst Catherine Allen-Carlozo sits with Jack McGee to delve into the world of social security and retirement planning. They emphasize the value of informed decision-making when it comes to social security benefits and retirement age. The discussion centers around exploring various options and strategies to maximize social security earnings. Accurate income figures take the spotlight, dispelling prevalent misconceptions about social security. Tune in as Catherine and Jack shed light on these crucial aspects of financial planning on this insightful episode of Dollar Wise.

Tune into this episode to also learn: 

• What factors should be considered when deciding when to start collecting social security?
• How can understanding the income figures and formulas for social security help in making informed retirement decisions?
• What strategies can be employed to maximize social security benefits and ensure a comfortable retirement?

What we discussed

[00:02:15] Social Security analysis provides informed decisions for retirement strategies

[00:05:11] Analysis can bring confidence and excitement to retirement decisions

[00:09:32] Education empowers smart decisions, debunking myths about social security's future

3 Things To Remember 

1. Importance of education: The more educated you are about social security, the better decisions you can make regarding retirement planning.

1. Analysis and visualization: Through detailed analysis and visual presentations, you can see the actual numbers and projections, helping you make informed decisions about social security and your retirement income.

1. Debunking fears and misconceptions: Addressing common concerns and myths about social security, such as it running out of money, provides reassurance and confidence in its long-term benefits.

Useful Links

Connect with Catherine Allen-Carlozo : LinkedIn

Like what you’ve heard…

Learn more about HFM HERE

Schedule time to speak with us HERE

Check out our Financial Wellness Program – HFM Ignite

Although the two might be used interchangeably, rich and wealthy have two meanings in financial planning.

CERTIFIED FINANCIAL PLANNERS Jason Gabrieli and Catherine Allen-Carlozo discuss the importance of saving, building wealth, and aligning spending with financial goals. They emphasize the role of net worth and assets in achieving financial freedom, dispel the belief that wealth is only about lifestyle and consumption, and stress the significance of living below one's means and making wise financial choices. They provide examples and insights to encourage long-term wealth building and advise against get-rich-quick schemes.

Tune into this episode to also learn: 

• Is income alone enough to determine wealth?
• How can you prioritize building net worth and assets?
• What are the benefits of living below your means?

What we discussed

[00:02:04] Net worth measures wealth; income indicates lifestyle

[00:04:01] Income and wealth levels in the US

[00:08:02] Income doesn't matter, spending does

[00:11:58] Building wealth takes time and consistency

[00:13:45] Choices and investments lead to financial freedom

3 Things To Remember 

1. Building wealth is not just about earning a high income, but also about saving and managing your finances effectively
2. Net worth is a key indicator of wealth, measuring the value of your assets minus your liabilities
3. Financial freedom varies for everyone, and it's important to live below your means and make wise financial choices to build wealth over time

Useful Links

Connect with Jason Gabrieli: [email protected] | LinkedIn

Connect with Catherine: LinkedIn

Like what you’ve heard…

Learn more about HFM HERE

Schedule time to speak with us HERE

Check out our Financial Wellness Program – HFM Ignite

On this episode of Dollar Wise, Jason Gabrieli and Catherine Allen Carlozo dive into the topic of gold as an investment. Recent events like COVID-19 and stock market fluctuations have made people lose faith in their sources of security, leading to increased demand for gold investment. However, investing in gold should only be done with moderation and should be evaluated in terms of where it fits into an investor's portfolio and long-term goals. They also discuss the risks and benefits of investing in gold, as well as its performance in the short and long term. Ultimately, listeners are urged to seek advice from a qualified tax, legal, or investment advisor to determine whether investing in gold is appropriate for their specific situation.

Tune into this episode to also learn: 

• Is investing in gold a good idea?
• Should gold make up a large percentage of a long-term portfolio?
• What are some important things to keep in mind when investing in gold?

What we discussed

[00:00:54] The allure of gold: Tangible, yet its value fluctuates

[00:04:06] The perception of gold as a safe haven: Short-term value, long-term limitations

[00:08:36] Gold ownership involves moderation and diversification within a long-term portfolio

[00:11:36] Diversification is key, including understanding gold's role in a portfolio

3 Things To Remember 

1. Recent events such as banking system failures, COVID-19, and stock market fluctuations have led to uncertainty, causing people to lose faith in their sources of security
2. Gold should only make up a small percentage of a long-term portfolio, especially for retirement
3. It's important to avoid getting distracted from a long-term investment plan by short-term trends in the market, such as rising interest rates or fluctuating bank accounts. Additionally, buying and storing gold is expensive and risky, and commission rates and taxes for selling gold are high. Investing in ETFs or keeping it simple may be a better option

Useful Links

Connect with Jason Gabrieli: [email protected] | LinkedIn

Like what you’ve heard…

Learn more about HFM HERE

Schedule time to speak with us HERE

Check out our Financial Wellness Program – HFM Ignite

The real estate market is as competitive as ever, even for the most qualified buyers. And if you’re like most people and need to place contingencies in your offer, such as needing to sell your home first or getting approved for a mortgage, the seller would incur greater risks with you and so they would likely choose a cash offer instead.

Thomas Bickett from AnnieMac Home Mortgage joins Jason to discuss how anyone can become a cash buyer with their Cash2Keys Program, a game-changing solution that empowers buyers to secure their dream homes with confidence.

Tune into this episode to also learn: 

• Will 2008 repeat itself? 
• Why sellers keep rejecting your offers 
• How to make an offer a seller cannot refuse

What we discussed

(00:31) Buying a single family home

(02:34) Why sellers don’t accept conditional offers

(03:08) Are we in a real estate bubble?

(04:56) Are interest rates too high? 

(05:48) How anyone can become a cash buyer 

(10:16) How Cash2Keys works 

3 Things To Remember 

1. Reasons the real estate market is nothing like 2008: (a) people are overqualified for their mortgages rather than underqualified, and (b) there is more demand than supply. 
2. Using the Cash to Keys program, you can buy a new home without any contingencies. You can buy a new home now and sell your existing home later. 
3. Here’s how cash to keys works: get prequalified → cash to keys buys your house and helps you put in a cash offer that stands out → you buy it back from cash to keys as soon as you’re ready

Useful Links

Cash to Keys: Cash2Keys | Thomas Bickett (annie-mac.com) 

Thomas Bickett: LinkedIn | Phone: (856) 375-8679

AnnieMac Home Mortgage: https://thomasbickett.annie-mac.com/ 

Connect with Jason Gabrieli: [email protected] | LinkedIn

Like what you’ve heard…

Learn more about HFM HERE

Schedule time to speak with us HERE

Check out our Financial Wellness Program – HFM Ignite