We are going to talk about a double edged sword, some of the wisdom of Will Rogers, and interesting financial segments along with your email questions.

Main Questions Asked:

• How can I protect my gains and minimize taxes?
• How to put an inheritance to the best use?
• How do I reduce risk, but maximize gains?

Key Lessons Learned:

The Financial Double Edged Sword

• You want to sell stock to take advantage of growth, but you don’t want to deal with taxes. We are due for a market correction and want to take some money off of the table. To alleviate capital gains keep the money in your brokerage account, but sell some of the stocks in your 401k or IRA to change your asset allocation. You could also harvest some losses to offset gains.
• You just received a big inheritance, but you are also mourning the loss of a loved one. You have to be prudent with the money you have inherited. You want to get good advice and honor the money being left to you.
• You want to put money in a Roth to grow tax free, but you also want to put money in a traditional IRA. It’s an individual decision before you can be advised one way or another. Sometimes it depends on the flexibility you may want in the future.
• You want to reduce the risk in your portfolio, but you don’t want to miss out on potential growth. People want to reduce risk, but can miss a gain and leave money on the table. Asset allocation and where your personal goals and needs are the key. There are also tools that can help. You need to protect against the downside with your asset allocation.

Wisdom of Will Rogers

• There are three kinds of men. The one that learns by reading. The few who learn by observation. The rest of them have to pee on the electric fence for themselves.
• Some people are more academic and need to read and research things. Other’s like to learn by observation either personal or other people’s behavior. Make a blind experiment not knowing what the results will be.
• The only difference between death and taxes is that death doesn’t get worse every time Congress meets.
• We just had a big tax overhaul and it might take three or four years to find out who is right or wrong about the tax plan being good. This comment by Will Rogers still rings true today. We have to take control over our own financial future.
• When you’re satisfied your successful for that’s all there is to success is satisfaction.
• Personal satisfaction, peace of mind, and happiness all have nothing to do with money. Don’t try to chase a certain net worth. Look at what matters in life. Realize what is really important.
• It’s not what you pay a man, but what he cost you that counts.
• One of the greatest investments I can make in my business is employees. Looking at employees as costs is a bad road to go down.
• I’m not as concerned on the return on my money as I am on the return of my money.
• This is perfect advice if you are over 55 years old. You want to make sure you preserve your principal with a reasonable rate of return. The priority should be protection of your principle with a reasonable rate of return.

Links To Resources Mentioned

Money Map Retirement Review

1-800-757-0436

Will Rogers

Thank you for listening!