Retirement Reality Podcast

Not everyone wants to leave a financial legacy behind, but for those that do, it’s important to eliminate the common estate planning mistakes. We’ll identify five key missteps that people make when building and managing an estate plan so that you’ll be able to leave exactly what you want to the people that mean the most to you.

Show Notes and Additional Resources: https://principalpreservationservices.com/5-critical-estate-planning-mistakes-to-avoid/ 

On This Episode:  

1:20 – It’s been a busy but great year.

2:22 – Today our topic is avoiding estate planning mistakes.

2:45 – Mistake 1: Failing to plan for expenses that can be foreseen like healthcare.  

4:30 – Mistake 2: Failing to update beneficiary designations.

6:18 – Which accounts should you be starting with when you go back to update beneficiaries.

7:34 – Mistake 3: Failing to take those steps to avoid conflict among heirs and family members.

11:01 – Mistake 4: Transferring your real estate while you’re still living instead of at death.

13:56 – Mistake 5: Not considering the tax implications of your estate.

With all of the things in the financial world that you can’t control, why would you sabotage your own retirement by messing up the thing you can control? It’s time to discuss the ways in which people damage their retirement and hurt their long-term financial health.

Show Notes and Additional Resources: https://principalpreservationservices.com/these-mistakes-could-sabotage-your-retirement/ 

On This Episode: 

1:32 – Mike gives us an update on his daughter’s wedding.

2:31 – In the News: Social Security Administration announced a 1.6% cost of living adjustment on their monthly benefits in 2020. Is this a big deal?

4:18 – Our main topic today is sabotaging your own retirement.

4:35 – Obsessing about the short term ups and downs of the market.

6:04 – Choosing to start Social Security at the wrong time.

7:29 – Mike shares a client story about Social Security benefits timing.

8:21 – Not planning for nursing home care.

9:57 – Underestimating how much money you’ll need in retirement to fund the lifestyle you want to have.

12:01 – Not funding your retirement accounts enough.

12:45 – Pulling money out of your retirement accounts early to help your children or grandchildren.

There are things we'd all like to avoid talking about with our advisor because it makes us feel uncomfortable or awkward, but some topics have to be addressed if you want to build a strong retirement portfolio. We’ll take a look at how advisors should help clients navigate various tricky situations.

Full Show Notes: https://principalpreservationservices.com/are-you-having-these-tough-financial-conversations/ 

On This Episode: 

1:19 – Mike shares a Black Friday story from a time he waited in line.  

3:38 – We’re talking about awkward conversations on today’s show.

4:15 – Mailbag question: It’s seems counterintuitive to move out of a house I’ve already paid off, but I’m thinking about selling my home and moving into a rental to avoid taxes and repairs. Is that a good or bad idea?

7:20 – Starting to discuss conversations you should be having with your advisor and we begin with the death of a spouse.

9:19 – Another conversation is nursing home care and how will we afford it.

11:28 – The next topic you need to be discussing is whether you need to work longer than you expected.

13:55 – You need to sit down with your children and discuss your estate plan.

16:09 – The last conversation you need to have is with your advisor if that person doesn’t fit with your plans.

No one wants to reach retirement and wonder what might have happened if they made a few small changes. Simple mistakes can lead to larger financial regrets later in life. On today’s show, we’ll explore some of the things you can do to avoid living with regret in retirement.

Show Notes: https://principalpreservationservices.com/4-tips-for-retiring-without-regret/

Today's Rundown: 

1:17 – What does the holiday season look like for the Kojonen family?

2:29 – Previewing our main topic for this episode.

2:58 – Retire without regret: Don’t make any sudden decisions.

4:17 – Retire without regret: Do your research.

6:51 – How does Mike help a client make the right choice?

7:47 – Retire without regret: Work with a professional you can trust.

9:27 – An advisor can help you sort through all of your investments and help you develop a plan.

11:08 – Retire without regret: Have an actual plan for retirement.

While there are some factors that are different for everyone in retirement planning, there are also constants that affect everyone, no matter the specifics of your situation. How do we plan around these constants? We’ll explore that question on this episode

Show Notes: https://principalpreservationservices.com/retirement-constants-that-affect-everyone/

Today's Rundown:

1:06 – Mike’s daughter is getting married in a couple days.

2:29 – Previewing today’s show.

2:48 – Mailbag question: Most of my 401k is invested in company stock. Is that a bad thing?

4:28 – Mailbag question: How long should I be meeting with my advisor? I get a birthday card every year but that’s about it.

5:48 – Let’s move to our main topic on retirement constants.

6:18 – Retirement constant: Inflation

7:24 – Mike shares the story of the first car he bought.

9:36 – Retirement constant: Rising taxes

11:22 – Retirement constant: Market volatility

13:42 – Retirement constant: Healthcare costs

15:59 – Retirement constant: Fees and commissions

Retirement planning is most effective when it’s tailored to a specific individual’s needs but what factors should you pay the most attention to? We’ll discuss five retirement variables that will change from person to person but need to be considered when building a financial plan.

Show Notes: https://principalpreservationservices.com/retirement-variables-that-need-to-factor-into-your-plan/

Today's Rundown:

1:00 – Mike and his team have moved into a new office in Wisconsin office.  

1:58 – Previewing our main topic today.  

2:40 – Getting to Know Mike: What is your favorite movie genre?

4:28 – Retirement variable 1: How much income will we need in retirement?

7:55 – Retirement variable 2: Taxes

10:32 – Retirement variable 3: Our life expectancy

12:09 – Retirement variable 4: At what age should I take Social Security.

15:32 – Retirement variable 5: Risk

No one wants to play the guessing game when it comes to retirement and waiting until the last minute to iron out your plan will leave you unsure about your readiness. That’s why that final decade of work is very important from a retirement planning perspective. Get this list of items in order and you’ll be in great shape when that retirement day arrives.

On this episode:

1:36 – Mailbag question: I’ve heard people say the only type of life insurance you should by is term insurance. Is that true?

2:55 – Mike is a fan of some of the index universal life policies.

4:39 – Mailbag question: I’ve owned my own business and haven’t paid a lot into Social Security even though I’ve had a nice income. Is this going to be problematic for me in retirement?

6:37 – Moving into the main topic on why the last decade of work is so important for retirement planning.

7:41 – First thing to do is decide what’s most important to you.

8:27 – The next thing is getting a handle on your numbers.

10:04 – Next you should estimate your income streams and get an idea of how much to expect in retirement.

11:41 – As you’re planning for retirement, keep in mind the cost of healthcare.

12:58 – The final thing to keep in mind is things will change during retirement.

Show notes and additional resources: https://principalpreservationservices.com/ep-8-why-the-final-decade-of-work-is-so-important-for-retirement/

We’ve been enjoying a long bull run over the past decade and that’s made many people fearful that a major downturn is right around the corner. So what might that look like and when could it happen? We discuss the next market crash and how to prepare yourself for it.

Today's rundown:

1:20 – Mike’s team is moving into a new office.

2:37 – Mailbag question: Should I work with a younger advisor with less experience or someone my age that will retire the same time I do?

5:17 – It’s valid to ask an advisor what their plan is when they retire. Who will take care of you?

6:00 – Mailbag question: I’m retiring in six months and worried about a market crash before I get to the finish line. Will I be ok?

7:41 – So what will the next market crash look like? Let’s discuss.

8:07 – When is the next market crash coming?

9:34 – When it does happen, should we plan for it to be as severe as 2008?

10:52 – If someone is worried, is it best to pull your money out of the market and just wait?

12:19 – What our team does to protect our clients from a downturn.

15:30 – An advisor can help you understand investment options you might not even be aware of.

Show notes and additional resources: https://principalpreservationservices.com/ep-7-what-will-the-next-market-crash-look-like/

When was the last time you took a flight? Did you think at all about how that process related to investing? Probably not, but there are actually some pretty great parallels between retirement planning and flying that we will talk about on this episode. Buckle up and prepare for takeoff. 

On this episode: 

2:36 – Introducing our topic on today’s show. 

3:32 – In the news: 37% of households are ‘free and clear.’ Is that number high or low?

4:49 – 75% of our clients are free and clear and the others are pretty close. 

5:44 – Beginning our main topic of what flying teaches us about retirement

6:09 – The first lesson: You need a flight plan.

7:42 – You need someone with experience to build the correct flight plan.

8:51 – The third lesson: Turbulence effects different people in different ways. 

10:15 – Your plan, like an airplane, is built to withstand the ups and downs. 

11:00 - The final lesson:  You need help along the way to get from point a to point b. 

11:50 - Past success can really hurt you. Here’s why.

Get the full show notes and additional resources by clicking here: https://principalpreservationservices.com/what-flying-can-teach-us-about-retirement/

You can’t criticize people that take a proactive approach to their future by putting away savings as they earn, but you can offer up ways to improve the way that they save. Believe it or not, even responsible savers make mistakes because the transition into retirement can be a major lifestyle change. Let’s talk about some of those missteps that happen along the way.

Today's rundown: 

2:01 – What we’ll talk about on today’s show.

2:43 – Wedding loans are a new trend where young couples take out money to pay for their ceremony. Mike shares his thoughts on this.

6:01 – Moving into the main topic – even responsible savers make mistakes.

6:22 – Mistake: Getting too enamored with cash.     

8:00 – Mistake: Taking too much risk to accumulate savings.   

10:11 – How often you should be evaluating your portfolio with an advisor.

10:45 – Mistake: Not preparing for that tax time bomb.

14:21 – Mistake: You aren’t enjoying the savings you’ve accumulated.

Get the show notes and additional resources by visiting our website here: https://principalpreservationservices.com/even-responsible-savers-make-these-mistakes/