      In this week’s show, Doug’s son, Efraim, an aspiring real estate mogul, pops into the studio and asks Doug questions about investing in real estate. In the past decade real estate prices have shot up, is now a good time to buy a house or did you already miss the chance to buy at a good price? How does the increase in housing costs relate to the steady growth of the stock market?   Is it better to buy physical property or a REIT? If a REIT, what kind?   Learn how you can diversify your account and invest in real estate at the same time.   Doug and Efraim discuss how one could invest in real estate without worrying about the tenants. And should one try doing it on his own or though some real estate agent as one of the real estate agent’s investors, so he makes all the decisions?   Efraim is a first-year business student, former IDF officer, and an entrepreneur, launching the “Day with an Officer” business. Contact him at: efraim@goldstein.co.il 

What is a REIT and Should I Invest in One or directly in Real Estate?

The Goldstein on Gelt Show is a global investment and financial planning radio show designed to educate and entertain its listeners with financial strategies and investment tips. Douglas Goldstein, CFP® hosts the weekly show, which can also be heard at www.goldsteinongelt.com, and is the director of Profile Investment Services, Ltd., www.profile-financial.com.

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      We all wish that one day we’ll get a call that a distant family member, who lived a long and happy life, left us a large inheritance. What would you do if you inherited a substantial sum unexpectedly? The financial decisions that follow such an event are crucial.   Join Goldstein On Gelt host, Douglas Goldstein, CFP® and discover some considerations for managing newfound wealth in retirement, including the balance between capital growth of the inheritance and preservation, generating a steady income, and reducing risk. Learn some critical steps retirees must take to secure their financial future.   Some key takeaways:    Assess the needs of your portfolio based on current priorities and risk tolerance.   Understand how the new wealth can change your portfolio’s balance.   Seek a financial advisor who tailors a plan to your needs and risk tolerance        Navigating an Inheritance During Retirement: A Practical Guide   Picture this: You're comfortably settled into your retirement, your days filled with leisure and newfound hobbies, when out of the blue, you receive an inheritance. It's an unexpected windfall that promises to secure your financial future—if managed wisely. But where do you begin? Let's explore how you can handle this boon with care and confidence.   Step One: Take Stock of Your Financial Landscape   Before you let the excitement take over, pause and evaluate your current financial situation. How does this inheritance fit within your existing retirement plan? It’s not just about adding a couple of zeroes to your savings account; it’s about integrating this amount in a way that supports your long-term financial health without overwhelming you. Start by assessing your income needs, your regular expenses, and how long you expect your current funds to last.   Step Two: Align Your Investments With Your Current Needs   As a retiree, your financial priorities have likely shifted from growing your wealth to preserving it. It’s crucial to review the inherited assets—whether they’re stocks, bonds, or real estate—and ensure they align with your current lifestyle, which is presumably more focused on stability than risk. For instance, if the inheritance includes high-volatility stocks, consider rebalancing by investing in lower-risk options like bonds or bank deposits that offer steady, predictable returns.   Step Three: Rebalance Towards Income-Generating Investments   Transforming part of your investment portfolio into one that generates income can be a strategic move. This might include dividend-paying stocks, real estate investment trusts (REITs), and other assets that provide regular payouts. Such a shift not only offers a steady income stream but also helps preserve the core of your inheritance, allowing you to maintain your lifestyle without depleting the principal amount too hastily. Remember, these are not specific investment recommendations but rather ideas to discuss with a financial professional.   Step Four: Consult With a Financial Advisor   Handling an inheritance, especially a significant one, can get complex. It’s wise to seek guidance from a financial advisor who can offer personalized advice suited to your situation. They can help you understand the tax implications of your new assets, suggest appropriate investment strategies, and plan for future needs such as healthcare or family support.   Step Five: Regularly Review Your Investment Portfolio   As the market fluctuates and your personal needs change, it's important to keep a close eye on your investments. Regular reviews and adjustments will ensure that your portfolio continues to meet your financial objectives and stays within your comfort zone regarding risk. This proactive approach can help you maximize the benefits of your inheritance.   Step Six: Honor Emotional Connections   Inheriting assets from a loved one is not just a financial transaction; it can also be an emotional journey. Acknowledge these feelings and let them guide your decisions about the inheritance. While it might be meaningful to keep certain assets as they are to honor the benefactor, ensure that they align with your financial goals and risk tolerance.   By carefully considering these steps, you can ensure that your unexpected inheritance supports your retirement dreams in a meaningful and sustainable way. It’s all about making your money work effectively for you, in harmony with both your current financial scenario and your aspirations for the future.   Note: This article is for educational purposes only and not to be taken as specific financial, legal, or tax advice. Always consult a professional for guidance tailored to your circumstances.   If you're not already receiving updates on new episodes, sign up now, and as a special bonus, receive Doug's free ebook The Retirement Planning Book. 

Receiving an Unexpected Inheritance in Retirement

      Are you married to a non-US citizen? Make sure to protect your wealth! Estate taxes can cost you millions if you don’t plan carefully.    What can you do about it?   Give lots of gifts when you’re alive! Discover how gifting to your spouse and children during your lifetime can help mitigate estate tax burdens Learn about the benefits of setting up a QDOT (Qualified Domestic Trust) and how it can defer estate tax, providing an income stream to your non-American spouse Understand the importance of discussing your estate plan with professionals, and ensuring clarity to avoid potential legal disputes in the future     The insights shared in this episode could save you millions of dollars in estate tax (of course, that depends how much money you have)! Remember, The Goldstein On Gelt Show and its host, Douglas Goldstein, are not tax advisors. Consult with your own tax professionals before making any changes.      If you're not already receiving updates on new episodes, sign up now, and as a special bonus, receive Doug's free ebook The Retirement Planning Book. 

Avoiding Costly Mistakes: Planning for U.S. Estate Tax When Married to Non-Americans

      Managing U.S. pension plans and IRAs from abroad can be challenging. Difficulties with pension companies and tax consequences can be tough.    Discover the pros and cons of moving your pension plan into a U.S.-based IRA account, and how to effectively manage your portfolio.    Here are some key takeaways:  Evaluate your pension plan and consider the option of moving funds to an IRA with the help of an expert Research and find a suitable IRA account provider that caters to expatriates, offering reasonable fees and access to various investments Initiate the transfer of funds and work with a financial advisor to optimize the tax benefits and diversify the portfolio effectively  Maximize your retirement savings, by making sure you have a well-built financial plan! 

Managing U.S. Pension and IRA Plans from Israel

 Financial planning is always important, but it’s especially crucial when health issues arise. A well-built plan allows you and your family to focus on health and family connections, without worrying about the day-after. How can you make sure you are setting yourself up for a smooth transition of wealth to your family? Tune in and learn about the nuances of managing shared accounts, the pros and cons of transferring control to family members, and the critical role of clear communication in preserving both wealth and relationships.  Some key insights:  Learn how to effectively shift financial authority to a trusted individual within the family, balancing legal necessities with personal dynamics. Learn about the importance of transparent discussions about financial matters with family members, especially in light of health changes. Discover some of the tools available, such as powers of attorney and trusts, that allow your wishes be followed. Professional advice from financial and legal advisors is crucial in creating a seamless and effective estate plan that aligns with your long-term goals.  For more information, visit the show notes at https://goldsteinongelt.com/personal-finance/financial-planning-for-illness-and-death 

Financial Planning for Illness and Death

      Are You Overlooking the Importance of a Financial Plan?   When was the first time you spoke with a financial planner? Let me tell you about a retired couple who I met who had never spoken to a financial planner before. The couple's lack of understanding about the role of a financial planner and the way their investment portfolio was built, highlighted a common misconception among individuals when it comes to managing their finances.   When sitting down with a Certified Financial Planner™ practitioner (CFP®) who is dedicated to understanding your unique financial situation, and guiding you through the complexities of investing, you are setting yourself up for success.    Building a comprehensive financial plan and working with a professional team (financial planner, accountant, and lawyer) can lead you to financial well-being.    A few points to consider:   1. Importance of a Financial Planner: Many individuals often focus solely on their investment portfolios without considering the broader financial picture. A Certified Financial Planner™ practitioner can help guide you through essential aspects of financial planning, including retirement goals, family, expenses, insurance, and health—providing a comprehensive view of your finances.   2. Understanding Your Investments: Having a clear understanding of all your investments and their implications on your overall financial situation is crucial for proper financial well-being.   3. Partnering with Professionals: Partnering with a financial planner (and other professionals) doesn't mean surrendering control. Instead, it equips you with a supportive team who can handle administrative tasks and provide advice, while you remain in charge of making the final decisions.   4. Empowerment and Peace of Mind: When you have a strong financial team in place, it empowers you to focus on the bigger financial picture. It can alleviate concerns about making financial decisions, especially during times of illness or unexpected events, offering you and your family peace of mind.   To learn more about managing your finances and gaining a deeper understanding of the role of a financial planner, tune in to The Goldstein On Gelt Show and explore the valuable insights provided in each episode.   Remember, taking charge of your financial well-being is one of the most important steps you can take for a secure and stress-free future!   If you're not already receiving updates on new episodes, sign up now, and as a special bonus, receive Doug's free ebook The Retirement Planning Book. 

What is a REIT and Should I Invest in One or directly in Real Estate?

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