Planning Matters Radio

Recently, stocks closed out their worst quarter since 2022. The S&P 500 and the Nasdaq logged their worst performance since Russia's invasion of Ukraine. While these headlines can be upsetting, as Peter with Richon Planning explains to Erin Kennedy, the market downturn can also provide some very specific opportunities for smart investors, including:

Put Your Cash to Work – Lower valuations let you buy quality investments at a discount for long-term gains.

Consider Tax Loss Harvesting – Selling at a loss can offset taxes now or in the future, turning dips into tax savings.

Roth Conversions – Converting in a down market means paying less tax now and maximizing future tax-free growth.

If you'd like to learn how to take advantage of this market downturn, please feel free to give Peter a call at (919) 300-5886 or visit www.RichonPlanning.com

The "retirement red zone" is the 5 years before and after retirement—a critical time when your decisions about investments, income, and risk can have a lasting impact on your retirement security. In this video, Peter with Richon Planning and Erin Kennedy zero in on the 10 Steps to Prepare for Retirement:

✅ Define Your Budget – Why knowing what you'll spend is the foundation of your plan.

✅ Define Your Sources of Guaranteed Income – Create a predictable income stream.

✅ Define Your Income Gap – Identify how much more you'll need to cover expenses.

✅ Strategize on Social Security – One of the biggest decisions you'll make in retirement.

✅ Formulate an Income Plan – Bridge the gap between income and expenses.

✅ Understand Your Risk Exposure – How much risk is too much as you approach retirement? ✅ Consider Taxes – Plan ahead for what may be one of your biggest expenses.

✅ Consolidate "Like-Qualified" Accounts – Simplify your retirement portfolio.

✅ Consider Inflation – Protect your purchasing power over time.

✅ Review & Update Your Legal Documents – Why this final step is crucial for protecting your wishes.

Ready to take action? Download "The Countdown to Retirement"—a guide that challenges conventional wisdom and helps you craft a plan that safeguards your lifestyle, comfort, and peace of mind. Visit www.RichonPlanning.com, or call Peter at (919) 300-5886. 📚

Once people retire, their spending habits often change. Housing, healthcare, and groceries will still make up a significant part of your budget, however, as Peter with Richon Planning explains to Erin Kennedy since retirement often means more free time, you'll probably be spending more "fun money" on these common expenses:

1. Travel

2. Recreational Vehicles

3. Vacation Home

4. Hobbies

If you'd like to talk with Peter to create a realistic retirement spending plan that accounts for your own unique retirement goals, please call (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 Sarah Wills, who works in sales for Spray-Net, a home improvement company specializing in exterior painting and kitchen cabinet refinishing.

She holds Bachelor's degrees in International Studies and Spanish with focus areas in Latin American Studies and Ethnobiology from Capital University. Her experience includes 18 years of leadership across multiple industries, 7 years of recruiting, and 5 years in sales, as well as time as a Scrum Master, where she helped teams improve collaboration and efficiency. She integrates her background in customer service and restaurant management to create meaningful connections and deliver standout experiences.

At Spray-Net, Sarah uses her experience to help homeowners transform their spaces through customized exterior painting and kitchen cabinet refinishing, offering durable, factory-quality results with a personalized touch. To learn more or get an estimate, you can call (919) 759-6363

Investing during market volatility or downturns requires a very different approach. In light of recent volatility and stubborn inflation rates, Peter with Richon Planning and Erin Kennedy walk through a few tips, including:

-Is Cash Really King?

-Defensive Stocks: healthcare, utilities, and consumer staples like food and beverages are fairly recession proof

-Dividend Stocks and Fixed Income Investments like Bonds and Structured Notes

-Keep Investing, a strategy known as Dollar Cost Averaging

If you'd like to speak with Peter to create a financial plan that can withstand volatility, or if you'd just like to talk through these recent headlines, feel free to give him a call at (919) 300-5886 or set up a complimentary appointment by visiting www.RichonPlanning.com

Everyone's most favorite retirement account, the 401(k), is a great way to save, but it is just a tool, not a strategy. As Peter with Richon Planning explains to Erin Kennedy, without proper planning, you could face unexpected taxes, income gaps, and market risk.

There's a reason 401ks are known as tax time bombs: beyond being tax-deferred (which means you will pay taxes at an unknown and probably higher rate in the future), the Required Minimum Distributions can push you into a higher tax bracket in retirement.

We are living in a historically low tax rate right now, and taxes are set to increase at the end of 2025. If you'd like to work with Peter to create tax-free income in retirement, please call (919) 300-5886 or visit www.RichonPlanning.com

Roth Conversions can be one of the best strategies to create tax-free income in retirement. And those accounts can grow tax-free indefinitely because they don't have required minimum distributions. In this video, Peter with Richon Planning and Erin Kennedy talk through the pros and the cons of converting your tax deferred accounts to Roth accounts while you're still working.

Keep in mind, when you convert those funds, you'll need to pay the taxes upfront, and it's best if you can pay that bill in cash (pro: if you're working, you may have more financial flexibility). But keep in mind, those dollars are also counted as taxable income, which, without proper planning, could push you into a higher tax bracket.

There is no cookie-cutter answer to this question; the answer will depend on your current tax bracket, your projected future tax bracket, and your unique financial circumstances. If you'd like to crunch the numbers with Peter, please call (919) 300 - 5886 or visit www.RichonPlanning.com

According to @Vanguard's "Advisor's Alpha" study, a good financial advisor can add about 3% in net returns *per year* through behavioral coaching, asset allocation, rebalancing, and tax planning. In this video, Peter with Richon Planning and Erin Kennedy discuss, in detail, the reasons behind that performance gap. DIY investors often underperform the market because they tend to react emotionally to market movement versus sticking to a risk appropriate financial plan. For more information, please read this study by @DALBAR titled Investor Behavior Continues to Hinder Returns. hyperlink https://www.dalbar.com/Portals/dalbar/Cache/News/PressReleases/QAIB2024_PR.pdf A good financial advisor should provide concrete value to clients, beyond just portfolio returns. If you'd like to have a no obligation chat with Peter to determine if you could benefit from having a personalized financial plan, give him a call at (919) 300-5886 or visit www.RichonPlanning.com

Before you retire, there are very specific questions you should ask your advisor. In this video Peter with Richon Planning and Erin Kennedy talk through those questions, which, when answered, can give you a much clearer picture as to whether you are really ready to retire. Those questions are:

1. Am I financially ready to retire?

2. What income sources will I rely on in retirement?

3. How can I minimize taxes on my retirement income?

4. What adjustments should I make to my investment portfolio?

5. Do I have enough saved to account for inflation and unexpected expenses?

6. Do I have a plan for long term care?

And keep in mind, if your advisor can't answer these questions, it might be time for a new advisor. If you feel like you're ready to retire, but would like to talk it through with a professional, please give Peter a call at (919) 300-5886 or visit www.RichonPlanning.com

Taxes don't disappear in retirement. In fact, understanding tax implications becomes even more important when you're retired. In this video, Peter with Richon Planning and Erin Kennedy talk through the 4 tax questions you should ask your financial advisor before retiring, including:

1. How will my tax situation change once I retire?

2. Are there strategies to reduce my tax liability in retirement?

3. Should I consider a Roth conversion before I stop working?

4. What are the tax implications of withdrawing from my various accounts?

If you'd like to learn if you're tax-ready for retirement, please give Peter a call at (919) 300-5886 or visit www.RichonPlanning.com