The theme this week on the Retirement Quick Tips Podcast is: Stupid Stock Market Predictions

Today’s stupid prediction is from Harry Dent and his book The Great Crash ahead. 

A lot was wrong with Harry’s book, but much of it made sense at the time based on what was happening in the world. 

“To Harry Dent, the injection of over $800 billion in stimulus funds into the economy represented so much debt and uncertainty that a market crash was inevitable.”

There was an article about this over at wealth management.com. The article says: “Few authors have been so bold in their predictions. Dent predicted that the Dow, hovering around 11,000 for most of 2011, would fall by three orders of magnitude by 2013 to between 3,000 and 3,800. Few predictions survive the collision with reality. In 2013, the Dow was up 26.5% to an average closing price of 15,009. Dent also forecast a deflation in prices and the bursting of the bubble in China. Both forecasts also turned out to be without merit.”

There are a couple of lessons that I take away from a prediction like this. First, I would never recommend reading a book like this. There are always ways to weave a story together into a prediction that makes sense. So let’s assume you read the book and believe it to be a fair and accurate prediction of what’s likely going to happen in the future?  If you took the advice, and sold your stock portfolio, you would have missed one of the best 10 years for stocks ever. 

The 2nd takeaway is this: Never take bold action on a doom and gloom scenario. I hear all kinds of good reasons why the stock market, our economy, our society, and our democracy will collapse. Some of these theories make a lot of sense and are backed by smart people who know what they’re talking about. But they can’t see the future, and the world has an interesting way of throwing curveballs.

In order to be a successful investor, you have to stick with quality investments over the long-haul and not throw in the towel on your investment portfolio or your financial plan. It’s a recipe for disaster every time, and it requires that you have faith and hope in the future and make prudent decisions.

That’s it for today. Thanks for listening! My name is Ashley Micciche and this is the Retirement Quick Tips podcast. 

---------

>>> Subscribe on Apple Podcasts: https://apple.co/2DI2LSP

>>> Subscribe on Amazon Alexa: https://amzn.to/2xRKrCs

>>> Visit the podcast page: https://truenorthra.com/podcast/ 

----------

Tags: retirement, investing, money, finance, financial planning, retirement planning, saving money, personal finance

The theme this week on the Retirement Quick Tips Podcast is: Stupid Stock Market Predictions

Today’s stupid prediction comes from Paul Krugman, a Nobel Prize winner in economics, in 1998: “The growth of the Internet will slow drastically…most people have nothing to say to each other! By 2005 or so, it will become clear that the Internet’s impact on the economy has been no greater than the fax machine.”

Ouch! Those are fightin words! And looking back on this prediction, it’s laughable. No one could have possibly predicted how reliant we are on the internet and how it has drastically changed the economy. Forget social media. Just think about how everything you do at work and at home relies on the internet. If you’ve ever had the wifi go out at work, for most of us that means we can’t do anything. You might as well just go home for the day. 

A far cry from Krugman’s prediction that the internet will have as much influence as the fax machine. 

How spectacularly wrong Paul Krugman was in this analysis, but the lesson in today’s stupid predictions example is one of the most important you can learn when it comes to listening to the opinions and predictions of others. 

Paul Krugman isn’t some random guy. He is one of the most influential economists of our time. He is a New York Times columnist, lecturer, bestselling author, and winner of a Nobel Prize for his theories on international trade and economies of scale.

If you were sitting across from him at a coffee shop and he told you that the internet is just a bunch of bologna, you’d have every reason to believe him. He obviously knows what he’s talking about.

But despite his credentials he was still spectacularly wrong, and it’s important to understand that smart people who confidently pontificate on the future are very often wrong. It’s easy to rely on the opinion of someone like Krugman, because one could assume that he’s done his homework, he knows more than I do, and he’s smarter than me so I’ll just take his word for it. 

But when it comes to investing and trying to figure out the trends, hot stocks and what’s going to change the world…that’s hard to predict with any regularity. Bold predictions are usually wrong and one shouldn’t rely on the credentials of others to shortcut your decision making..that’s the takeaway from today’s episode. 

That’s it for today. Thanks for listening! My name is Ashley Micciche and this is the Retirement Quick Tips podcast. 

----------

>>> Subscribe on Apple Podcasts: https://apple.co/2DI2LSP

>>> Subscribe on Amazon Alexa: https://amzn.to/2xRKrCs

>>> Visit the podcast page: https://truenorthra.com/podcast/ 

----------

Tags: retirement, investing, money, finance, financial planning, retirement planning, saving money, personal finance

The theme this week on the Retirement Quick Tips Podcast is: Stupid Stock Market Predictions

Today, I’m talking about the prediction that came over 2 decades too late: Dow at 36,000. “Dow 36,000 was a book published in 1999, predicting that the Dow would reach 36,000 within a very short period of time - 3 to 5 years at the most. The Dow at the time was trading in the 10,000 range at the time, so this was a pretty bold prediction. 

This book was published right before the stock market tech bubble burst in the early 2000s and it took about 22 years, not 3 to 5 for the prediction to materialize. 

What’s the lesson here? Well, I think that it shows just irrationally exuberant investors were at the time, because this wasn’t some fringe book. It was a popular bestseller with endorsements from the likes of John Bogle, founder of Vanguard. The danger is that investors always feel the most optimistic when the stock market is at or near the top. In fact, one of the best ways to tell if you should start taking some gains and moving your money out of stocks and into something else is when everyone around you is optimistic about future stock market returns and telling you how the stock market is going to more than triple in value within just a few short years. 

It’s a pattern that repeats continuously in markets - whether stocks, real estate, or bitcoin, and it’s dangerous to get swept up in the thinking that you must jump on the bandwagon too without another thought so you don’t miss out. 

That’s it for today. But before you go, I have a request…I’m working on an upcoming theme for the podcast about financial goals, so if you made a new year's resolution or a goal for 2022 related to your finances, I want to hear from you. If you have a goal for 2022 that’s related to your finances or retirement, send me an email and let me know what your goal is and your game plan for achieving it. 

I’ll pick my favorite submissions and feature them on the podcast in the next few weeks. You’ll benefit from my feedback and insight, and help inspire other listeners to achieve their own financial goals for the new year. 

My email is [email protected]. That’s [email protected].

Thanks for listening! My name is Ashley Micciche and this is the Retirement Quick Tips podcast. 

----------

>>> Subscribe on Apple Podcasts: https://apple.co/2DI2LSP

>>> Subscribe on Amazon Alexa: https://amzn.to/2xRKrCs

>>> Visit the podcast page: https://truenorthra.com/podcast/ 

----------

Tags: retirement, investing, money, finance, financial planning, retirement planning, saving money, personal finance

Welcome to a new week here on the Retirement Quick Tips podcast. I’m your host Ashley Micciche, co-owner of True North Retirement Advisors, an independent financial advisory practice managing $340 million in client assets. I’m a Chartered Retirement Planning Counselor, and I started this podcast because I love helping people just like you gain clarity and make a plan for the retirement you envision. 

The theme this week on the podcast is: Stupid Stock Market Predictions

So this week on the podcast, I’ll talk about the stupidest stock market predictions, to give you clues about why you should take every prediction with a very big grain of salt, when you should just tune someone out completely, and most importantly why you should always ignore the most pessimistic predictions, since these are the most tempting to act on, yet they are also the most dangerous for your finances. 

I hope what I have to share with you this week will help you make smart and thoughtful decisions with your retirement. And while I am careful to not lead you astray, personal finance is not an exact science. There is no one-size-fits-all solution for everyone, so I encourage you to disregard anything I say that may not be helpful for you, and to consult your own financial, tax, and legal advisors regarding your own individual situation. 

That’s it for today. But before you go, I have a request…I’m working on an upcoming theme for the podcast about financial goals, so if you made a new year's resolution or a goal for 2022 related to your finances, I want to hear from you. If you have a goal for 2022 that’s related to your finances or retirement, send me an email and let me know what your goal is and your game plan for achieving it. 

I’ll pick my favorite submissions and feature them on the podcast in the next few weeks. You’ll benefit from my feedback and insight, and help inspire other listeners to achieve their own financial goals for the new year. 

My email is [email protected]. That’s [email protected].

Thanks for listening! My name is Ashley Micciche...and this is the Retirement Quick Tips podcast.

----------

>>> Subscribe on Apple Podcasts: https://apple.co/2DI2LSP

>>> Subscribe on Amazon Alexa: https://amzn.to/2xRKrCs

>>> Visit the podcast page: https://truenorthra.com/podcast/ 

----------

Tags: retirement, investing, money, finance, financial planning, retirement planning, saving money, personal finance

It’s Sunday, which means...it’s recap time here on the Retirement Quick Tips Podcast

This week the theme was: How To Max Out Your Retirement Savings in 2022

Tomorrow, come on back, because we’re starting a brand new theme: Stupid Stock Market Predictions

It’s the beginning of a new year, so economic and stock market predictions abound. It’s easy to fall into the trap of believing many of these predictions. The people making them are usually smart and their reasons for why their latest prediction will materialize are compelling, despite the fact that they’ve likely been wrong and missed the mark many times in the past. No one tends to keep score on that fact, and we tend to believe that just because someone seems to be smart, credentialed and featured on national financial news, that they should be believed as if what they’re preaching is gospel. However, it’s critical to understand that no matter how much they would like you to believe otherwise, they still cannot predict the future, and most importantly, it can be dangerous for your finances if you go all in on a prediction that turns out to be wrong. 

So next week on the podcast, I’ll talk about the stupidest stock market predictions and give you clues about when you should tune someone out, and especially why you should ignore the most pessimistic predictions, which can be the most dangerous for your finances. 

Thank you so much for listening this week! If this podcast is valuable for you (and hopefully it is otherwise you wouldn’t be listening), please share the show with a friend or co-worker who is getting close to retirement. Just go to your favorite podcasting app, hit the share icon, then text or email the show link to a friend and say, “I love this podcast and thought you might enjoy a listen.”

Thanks for sharing the love and spreading the word. My name is Ashley Micciche, this is the Retirement Quick Tips Podcast and lastly, I hope you have a blessed Sunday.

----------

>>> Subscribe on Apple Podcasts: https://apple.co/2DI2LSP

>>> Subscribe on Amazon Alexa: https://amzn.to/2xRKrCs

>>> Visit the podcast page: https://truenorthra.com/podcast/ 

----------

Tags: retirement, investing, money, finance, financial planning, retirement planning, saving money, personal finance

The theme this week on the Retirement Quick Tips Podcast is: How To Max Out Your Retirement Savings in 2022

Today, I’m talking about where to look next if you’ve already maxed out your 401k, your HSA, and other retirement accounts. 

• A frequent question…what to do after fully utilizing 401k, HSA…maybe you’ve contributed to a Roth as well or your income is too high?
• Mentioned earlier this week, to look at taxable accounts…that’s where I would look next. But I’m biased…
• You could also look to real estate depending on how much income and cash you have and how much debt you’re willing to carry.
• The only real estate I own is my house. Some people would think I’m crazy, but I generally subscribe to the save, invest, and not have to worry about changing a lightbulb in my rental approach. 
• But that doesn’t mean that I wouldn’t be open to real estate as an investment if I stumbled upon the right opportunity. Some of the most successful, savvy, and wealthiest clients I know have real estate holdings in addition to their stock and bond portfolio that’s a sizable portion of their net worth. 
• My point here: if you’re on track for retirement, you’re already taking full advantage of the savings that are offered to you and you’ve tapped those out…the world is your oyster. You have a lot of options from conservative investments like tax-free municipal bonds to buying bitcoin to something more middle of the road like real estate. 
• You should also consider upping your charitable giving, which in addition to the obvious societal and personal psychological & spiritual benefits, will also provide a meaningful break on your taxes if done correctly. 

That’s it for today. Thanks for listening! My name is Ashley Micciche and this is the Retirement Quick Tips podcast. 

----------

>>> Subscribe on Apple Podcasts: https://apple.co/2DI2LSP

>>> Subscribe on Amazon Alexa: https://amzn.to/2xRKrCs

>>> Visit the podcast page: https://truenorthra.com/podcast/ 

----------

Tags: retirement, investing, money, finance, financial planning, retirement planning, saving money, personal finance

The theme this week on the Retirement Quick Tips Podcast is: How To Max Out Your Retirement Savings in 2022

Today, I’m talking about why you should fund a HSA first before your 401k and before even a Roth IRA for retirement, especially if you already have money saved in these other accounts for retirement but nothing in a HSA. 

• I believe that a Health Savings Account, or an HSA, is the best retirement plan you can utilize in saving for retirement. So few people use it for its intended purpose though - to plan and save for healthcare costs in retirement…which is perplexing because the HSA allows you to save for healthcare costs today and get a massive tax break for it! 
• You’ll be able to sock away up to $8,300 in your HSA account in 2022 if you’re over 55. If you’re younger than 55, the limit is $7,300. 
• With an HSA, you get the holy grail of tax benefits, something that no other retirement savings account can match - not your 401k, not even a Roth…Money going into an HSA is tax deductible. Then, once it’s inside the account, those HSA contributions grow tax-free...and as long as the money on the way out is used for qualified medical expenses, it’s not taxed on the way out! 
• Because of these massive tax benefits - tax deductible contributions, and no taxes on growth or withdrawals - many financial gurus argue that you should max out your HSA before you save in your 401k, because the tax benefits are so phenomenal. I agree! 
• Where many people miss the benefits of the HSA is in how the account is invested. They fund it and use it to pay for medical expenses now. But that misses out on the massive future opportunity that comes from tax-free growth. So if you’re going to fund a HSA, you should be setting aside a significant portion of the account to be invested in a diversified portfolio - not just sitting in cash, earning $3 of interest per year! 

That’s it for today. Thanks for listening! My name is Ashley Micciche and this is the Retirement Quick Tips podcast. 

----------

>>> Subscribe on Apple Podcasts: https://apple.co/2DI2LSP

>>> Subscribe on Amazon Alexa: https://amzn.to/2xRKrCs

>>> Visit the podcast page: https://truenorthra.com/podcast/ 

----------

Tags: retirement, investing, money, finance, financial planning, retirement planning, saving money, personal finance

The theme this week on the Retirement Quick Tips Podcast is: How To Max Out Your Retirement Savings in 2022

Today, I’m talking about how much is the right amount to save for retirement in 2022.

• How much should you save for retirement in 2022?
• • Good advice: 10% of your income consistently over your entire working life
  • Most people save far less than this, or wait too long to save, so you may need to save more or less than this amount of your income depending on your situation
  • The tricky part…saving more in later working years has less of an impact compared to working longer 
  • If you want more personalized guidance on how much you should be saving at this stage of life, given your age, income, and how much you already have saved for retirement, then I recommend downloading the retirement success forecaster. at www.truenorthra.com/retirementsuccess.There you can Download a copy of my Retirement Success Forecaster and fill out the short-2 page questionnaire to get your FREE personalized results. Again, that’s www.truenorthra.com/retirementsuccess.

That’s it for today. Thanks for listening! My name is Ashley Micciche and this is the Retirement Quick Tips podcast. 

---------

>>> Subscribe on Apple Podcasts: https://apple.co/2DI2LSP

>>> Subscribe on Amazon Alexa: https://amzn.to/2xRKrCs

>>> Visit the podcast page: https://truenorthra.com/podcast/ 

----------

Tags: retirement, investing, money, finance, financial planning, retirement planning, saving money, personal finance

The theme this week on the Retirement Quick Tips Podcast is: How To Max Out Your Retirement Savings in 2022

Today, I’m talking about 2022 Retirement Plan Contribution Limits

• Know the max and adjust accordingly
• • Story of a client who was “maxing out” at $16,500 (in 2011!)
• The contribution limit for employees who participate in 401(k), 403(b), most 457 plans, and the federal government's Thrift Savings Plan is increased to $20,500. On top of this, you can save an additional $6,500 catch-up contribution if you’re 50 or older
• Limits on contributions to traditional and Roth IRAs remains unchanged at $6,000 + $1,000 additional if you’re over 50
• Roth phase-outs:
• • $129,000 to $144,000 - Single taxpayers and heads of household
  • $204,000 to $214,000- Married, filing jointly

That’s it for today. Thanks for listening! My name is Ashley Micciche and this is the Retirement Quick Tips podcast. 

----------

>>> Subscribe on Apple Podcasts: https://apple.co/2DI2LSP

>>> Subscribe on Amazon Alexa: https://amzn.to/2xRKrCs

>>> Visit the podcast page: https://truenorthra.com/podcast/ 

----------

Tags: retirement, investing, money, finance, financial planning, retirement planning, saving money, personal finance

The theme this week on the Retirement Quick Tips Podcast is: How To Max Out Your Retirement Savings in 2022.

Today, I’m talking about the 3 accounts you should max out for your retirement savings in 2022, and how your savings in these accounts should be prioritized.

• Saving in 3 different accounts - HSA, 401k, & Roth (if eligible and taxable, if not) 
• • Maximize current and future tax savings 
  • Diversify because of the different tax treatment of the different types of accounts
  • Know the rules on eligibility (HD plan) & income limits
  • Tomorrow…I’ll talk about 2022 limits to maximize each of these types of accounts 

That’s it for today. But before you go, you probably know someone who is close to retirement and could benefit from listening to this podcast. If so, please share this podcast with them and encourage them to check it out by adding it to their flash briefing in Alexa or subscribing wherever they listen to podcasts! 

Thanks for listening! My name is Ashley Micciche and this is the Retirement Quick Tips podcast. 

----------

>>> Subscribe on Apple Podcasts: https://apple.co/2DI2LSP

>>> Subscribe on Amazon Alexa: https://amzn.to/2xRKrCs

>>> Visit the podcast page: https://truenorthra.com/podcast/ 

----------

Tags: retirement, investing, money, finance, financial planning, retirement planning, saving money, personal finance