Planning Matters Radio

Investing can seem complex and confusing, and you may wonder whether you're doing all you can to achieve your goals. In this video, Peter with Richon Planning and Erin Kennedy talk through 5 mistakes you might be making and how to turn things around. Here are those mistakes:

1. Getting out when the going gets tough

2. Taking on too much (or too little) risk

3. Not rebalancing your portfolio regularly

4. Paying too much in taxes

5. Not seeking professional advice

As for that last mistake, ask yourself: Do I have the skills to do this? Do I have the time to do this? And, maybe most importantly, do I want to do this? If the answer is 'no' to any or all of those, it may be worth asking for some advice. If you'd like a second opinion on your plan, or to find out if you're on track, please call Peter at (919) 300-5886 or visit www.RichonPlanning.com

A new bill, called the Social Security Fairness Act, was just signed into law and will increase payments for nearly 3 million current and former public employees. As Peter with Richon Planning explains to Erin Kennedy, the law repeals the Windfall Elimination Provision and the Government Pension Offset, which limited benefits for recipients with other pensions.

That means teachers, firefighters and police officers, among other public-sector occupations, will soon receive benefits in the full amount.

If you think you may be eligible for the Social Security Fairness Act benefits, please reach out to Peter to talk through the changes you can expect. You can set up a complimentary appointment by calling (919) 300-5886 or visit www.RichonPlanning.com

Join Peter Richon on Dash Town - highlighting local businesses making an impact in Fuquay! Today, we visit with Colton Owczarzak, owner of Iron Varsity, a physical therapy and sports performance business dedicated to helping athletes move, recover, and perform at their best.

Colton holds a Doctorate in Physical Therapy from High Point University and a Bachelor's in Exercise Physiology from California State University - Chico. His experience includes working at EXOS, where he provided care for NFL, NBA, and MLB athletes, as well as time at Cincinnati Children's Hospital, specializing in orthopedic rehab for young athletes. As the former Director of Clinical Services at Youngs PT and Sport Performance, he worked with athletes of all levels to improve movement and recovery.

At Iron Varsity, Colton uses his experience to help athletes build strength, recover from injuries, and perform at their best. To learn more or schedule an appointment, you can reach him at [email protected] or call (919) 285-4596.

It's that time of year, time to get ready for tax day. Yes, it's stressful, but as Peter with Richon Planning explains to Erin Kennedy, with a little bit of preparation, it doesn't have to be.

To set yourself up for success and a stress-free filing, Peter outlines:

-The steps you should take now to ensure you're fully prepared for tax season

-How to avoid common tax filing mistakes

-How to maximize deductions and credits

If you'd like help getting prepared for tax day, or if you'd like a second set of eyes on your return before you file, please feel free to reach out to Peter by calling (919) 300-5886 or visit www.RichonPlanning.com

Annuity sales set new records in 2024. In the first nine months of the year, we saw a 23% increase to $331.2 billion! In this video, Peter with Richon Planning and Erin Kennedy walk through why annuity sales have seen a huge jump in sales, and they discuss whether the Fed's decision to lower interest rates will affect their returns.

People often turn to annuities to create sustainable income in retirement. If you'd like to learn more about annuities, how they're taxed, and whether they make sense as part of your financial plan, or if you'd like a second opinion about an annuity you recently bought, please reach out to Peter by calling (919) 300 - 5886 or visit www.RichonPlanning.com

Roth IRAs are a great way to create wealth. Roths offer tax-free withdrawals of contributions and earnings in retirement. Plus, that money can grow tax-free indefinitely because Roths are not subject to required minimum distributions. However, as Peter with Richon planning explains to Erin Kennedy, there is a catch: you can only contribute to a Roth IRA if your income is below $165,000 for single filers and under $246,000 if you filed married.

If you're over that limit, there are still 4 ways to contribute to your Roth account, including:

1.Roth 401(k)

2. Roth conversion

3. Backdoor Roth

4. Mega-backdoor Roth IRA

Some of these strategies are more complex than others, so if you're above those income limits and are considering one of these strategies, please reach out to Peter by calling (919) 300 - 5886 or visit www.RichonPlanning.com

According to the @Bureau of Labor Statistics, the average annual expenses for people 65 plus in 2021 was about $52,141.00, which works out to about $4,345 a month.

But as Peter with Richon Planning explains to Erin Kennedy, no two people are alike, so figuring out how much money YOU will need depends on your lifestyle and your unique retirement goals. To determine what you'll need for a comfortable, monthly retirement income, first walk through these prompts:

1. Picture your ideal retirement

2. Create a spending plan

3. Consider common risk factors

4. Build a robust nest egg

5. Create a legacy plan

nb If you'd like to speak with Peter to build a personalized retirement plan that addresses your unique goals, please give him a call at (919) 300 - 5886 or visit www.RichonPlanning.com

For the first time this year, on the 2024-25 FAFSA, students are no longer required to report cash gifts from a grandparent or contributions from a grandparent-owned 529 savings plan. As Peter with Richon Planning explains to Erin Kennedy, that means, grandparents can now use a 529 plan to fund a grandchild's education without impacting the child's financial aid eligibility. Peter also walks through the benefits of contributing to a 529 plan, including perhaps the biggest perk following the passage of the SECURE Act 2.0: up to $30,000 of unused funds in a 529 account can be rolled over into a Roth IRA for your grandchild, giving him or her a leg up on retirement planning! If you'd like to talk about how to open a 529 account, or if you'd like to learn about other ways to help your grandchildren financially, please call Peter at (919) 300 - 5886 or visit www.RichonPlanning.com

Let's address the number one fear of most retirees: running out of money. One way to make your nest egg last longer... figure out how to keep all of it in your pocket, as opposed to sharing it with the government.

In this video, Peter with Richon Planning explains to Erin Kennedy how converting your tax deferred accounts to Roth accounts can add years to your retirement nest egg. Not only will you likely pay less in taxes in retirement you'll reap other advantages like keeping your provisional income lower, which could decrease the taxes you pay on your Social Security benefit.

Now is the time to consider Roth Conversions; we are living in a historically low tax rate, and those rates are set to increase at the end of 2025. To crunch the numbers with Peter, please call (919) 300 - 5886 or visit www.RichonPlanning.com

Back in 2022 when inflation was through the roof, we were able to buy I Bonds, or inflation bonds, with a 9.6% return! Now though, the rate of return is just over 3%. In this video, Peter with Richon Planning and Erin Kennedy discuss whether investors should redeem those I Bonds and invest in something else.

The short answer is yes. There are several places you can put your money right now that are considered "low risk" and still have a higher rate of return than 3%. That being said, if you sell your I Bond before its 5-year maturity date, you will lose the last 3 months' interest.

If you'd like to crunch the numbers with Peter, and discuss alternate investments, please call (919) 300 - 5886 or visit www.RichonPlanning.com