Retirement Planning Show

June 17th, 2023

Episode Transcript

(00:00):
Yes, Welcome to the Retirement PlanningShow with host Dave Kopak. In the
financial services business for over thirty fiveyears. Their Retirement Planning Group LLC is
a registered investment advisor. David M. Kopak is also a registered representative of
persh kaplan Sterling Investments Incorporated PKS intheir separate capacities. A registered representative of

(00:22):
PKS, David M. Copack mayrecommend the implementation of securities through PKS instead
of Retirement Planning Group LLC. PursCapitlan Sterling Investments and Retirement Planning Group LLC
are not affiliated companies. Now it'stime for the Retirement Planning Show on WGY.

(01:03):
In a room of sand, bendingin the room by your eyes,
I have to f are you.I won't stop my life. I can't

(01:37):
see on the nights on hurrying.Good morning, good morning, good morning.
It is the weekend, which isgreat, and we're gonna be here

(02:00):
until nine o'clock. I'm Dave Kopeck. This is the Retirement Planning Show,
but on the radio for a longlong time, over twenty five years now
doing radio and it's always good toshow up and have a chat and see
my good buddy Zach and hopefully we'llget some phone calls. This swarning got

(02:21):
a pretty I think important topic totalk about. But that song the Bgs,
I just do you know that they'reall dead except one. All those
brothers have passed. The only onethat's left is Barry, which is hard
to believe. Robin and Maurice diedin twelve and three, and then the

(02:44):
youngest one, Barry, not Barry, trying to think of the other one
that passed away. He was veryyoung, overdosed. So pretty good week.
The market keeps on chugging. Themarket keeps on chugging. Hey,
what do you think about this nonsensewith Antonio Brown? Zach? Are they

(03:09):
gone? The football team? Theare they like officially gone, like bye
bye. As of right now,they're gone, but we'll see what happens
in the future. Oh my god, this guy drove everything, drove people
out of town, drove the businessinto the ground. Terrible. You go
from champagne to the outhouse, seeyou later, alligator, they kick you

(03:35):
out. That's terrible. It's terribleto the community. It's also terrible to
the the arena. That's a lotof money that they lose out on as
far as revenue. But this hasbeen a crazy week. You can tell
by my voice. I'm still beingchallenged a little bit here with this bug

(03:58):
that's going around. My wife Julieand my son Christopher were home this week
with it, the stomach virus.It's it's bad, folks, it is
bad. And if you get it, stay home, because I'll tell you
what it is, really, really, really, you get sick big time.

(04:25):
So I know that my wife ishome still curled up in bed.
Went to Smith's in Coho's last night. My wife's family is originally from Cohoes,
still has relatives there. We wentand saw her an honey after dinner,

(04:48):
who's ninety three honey Stippara and hada wonderful, wonderful chat with her
on the porch. But go toSmith's. What a beautiful, beautiful,
beautiful place inside. I think theydid a little TLC. Inside. The
back room is gorgeous. They've gotlike a lounge ay by, a fireplace,

(05:12):
back, dining room, unspectacular,bar, spectacular. Check it out
Smith's and co host. I thinkthey call it Smith's Public House now.
But you won't be disappointed. Idon't think you will. We weren't.
We weren't disappointed. Food was goodand atmosphere packed packed. Saw a lot

(05:35):
of good buddies of mine from sportsguys I used to play basketball against down
at the co Host Community Center.It was great to see them. And
as always, you know, it'sa great community. It's a community that
has a ton of history. Myfather used to have a milk root.

(05:59):
His father owned Riverview Dairy or theCopeck and Sons. My father used to
pedal milk through cohoes and Waterford.And that project's going good. We have
dismantled the barn. The footings andfoundation are in and hopefully next week we're

(06:19):
going to start reconstructing the barn onmy property in half Moon. Very exciting,
very exciting. I know my cousinCarol is she says she's going to
do drive buys. Well, Carol, my love, you can pull in,
Okay, you don't have to dodrive bys. You can pull in
anytime. So all right, we'regonna get into it here a little bit.

(06:43):
As I said, good week,good week in the market and the
key. The Fed kept rates unchangedthis week. They paused, so they've
increased had funds rate by the largestamount in more than four decades, five

(07:04):
hundred basis points. If you don'tknow what five hundred basis points is,
it's five percent. And we anticipatedthis. It was kind of a no
brainer. I think it was kindof deer in the headlights. We knew
it was coming. But with thatbeing said, was it sufficient enough?
And my belly says it isn't that. I think they're going to come back

(07:27):
because inflation is still running over fivepercent and they have said they want to
get back to round two two anda half percent. So last week's release
of what we were looking for,the CPI came into to your low four

(07:49):
percent, which was a kind ofa boost for the Fed and the policy
that they wanted to come out with. So so the Fed's decision not high
rates, I think is a prudentone. Inflation is falling, the economy
is slowing. Importantly, monetary policyacts with a lag when it comes to

(08:16):
the broad economy, so it takesa little while for it to filter through.
We think it's appropriate for the FEDto use his pause right now to
basically evaluate incoming data. Monetary policyis often more of an ax than a
scalpel. We want a scalpel,but we do view this move as the

(08:41):
right one in limiting the risks ofthe FED overtightening to already a softening economy.
And some of the statistic numbers Iwon't bore you with because most of
you won't even understand what it's allabout. But basically, what they're trying
to do is they're trying to takethe engine of the train that's going down

(09:03):
a hill and put the brakes ongently, not too hard. So during
the last thirty years, core inflationhas averaged two point four percent when the
FED shifted to the sidelines and pausedrates. Today I said it's five point
three percent, So you don't haveto be a rocket scientist. The bottom

(09:28):
line is is that you know theFED is monitoring everything extremely closely. Whether
or not the FED must, youknow, take another leg another Hiker two
tightening phase, but it'll be criticalfor the FED not to exit stage left

(09:48):
prematurely, which means, in myopinion, after forty one years of being
in the business, means the nextfew months may cause markets to be a
little bit vol a little bit volatile. I don't think we're gonna see the
volatility that we saw But bottom lineis is that if you look at the
markets, it really has been anoutstanding year. I mean I just looked

(10:13):
at some of our positions are onepositions, and the triple ques is up
almost forty percent year to date fortyfour. Oh. But the dial is
up one point two percent for theweek. It's actually making a move.
It's up three and a half onthe year. SMP is up about fifteen
percent, was up two point sixpercent. Nasdaq was up a very strong

(10:35):
three point two again, thirty pointeight. Be careful some of those stocks,
folks, some of them have nosebleed multiples. Might not be a
bad idea. Harvest some gains,put some cash on the sidelines. The
video, if you take a lookat that, that's a high flyer,
but it's got an astronomical pe ratioright now. Yeah, of course,

(10:56):
oil we're at seventy one eighty eight. You know, we'll see what happens
with oil. You know, Opakis saying that they're going to cut back.
And if we look at the tenure, treasury were at three point seven
six percent. The swarning we're goingto talk about, there's a lot of

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government employees locally here in the CapitalDistrict region. What do I mean by
government employees? United Postal Service,the federal government, you know, and
they have what we call a TSPthrift savings plan. And we've had a

(11:37):
lot of people come in recently abouttheir TSPs, what to do with them.
I think a lot of it wasdriven by the past year or so
year and a half. And we'lltalk about the TSPs. What are the
pros and cons? You know,should you roll it over to a self
directed IRA with one of the investmentbanking firms, should you stay put?

(12:00):
And we'll go through the pros andcons. I am a big believer of
controlling your destiny but also controlling yourlegacy. There's a reason that I'll get
into this, but bottom line,this is a live show. I'm here
live, I'm looking at the raincoming down. If you would like to
partake, participate, it's one eighthundred talk to bg Y. That's one

(12:22):
eight hundred eight two five fifty nineforty nine. This is a retirement planning
show. If anything that we're discussingis of interest to you. We have
four locations, Oneana. Our corporateheadquarters is in Malta, downtown Albany on
eighty State Street, and of coursewe have a satellite office up in the
Glens Falls area. Give my officea call to five one eight five zero

(12:43):
one nine one nine. That's fiveone eight five eight zero one nine one
nine if you'd like to come inand have a chat, sit down and
see if we could be of assistanceto your overall wealth management plan. We've
got some very exciting stuff going on, folks, very excited. Make an
announcement pretty soon what's going on atthe Retirement Planning Group, and I think

(13:05):
everybody is going to be taken backa little bit, but we are very
excited about some of the things thatwe are discussing and hopefully implementing in a
very very very short period of time. So again, though we have four
locations. In those four locations,I'll either come to you, you can

(13:28):
come to me whatever, whatever's theeasiest, we can do it by zoom.
We try to make it as simpleas possible for you, the consumer,
the client, the one that's basicallykicking tires and seeing if there's some
other ideas, there's suggestions out there. And as I always say, you
never get hurt by getting a secondlook an opinion by an outside source.

(13:52):
We're gonna be right back after thisquick message, and we're talking about TSPs
today the eighty six percenters. Doyou know that eight six percent of the
population has no defined benefit pension plan. For most of us, we have
to take our life savings and createa paycheck for the rest of our lives
in retirement. What is your planfor retirement income distribution? How will you
manage your assets during the most criticalyears of your lifetime. Nobel Prize winning

(14:16):
economists William Sharpe has called retirement incomedistribution the nastiest, hardest problem in finance.
He points out that investment, uncertainty, and mortality can derail the most
careful laid out retirement income plan.Call our offices today to start the process
of building your retirement income distribution plan. After forty one years of being in
the financial services business, you needto start taking action to start building your

(14:41):
own personal retirement income distribution plan.How do you do that? To take
action? Five one eight five eightzero one nine one nine. That's five
one eight five eight zero one nineone nine or RPG retire on the web.
Don't procrastinate, motivate to start buildingyour retirement income distribution Plan five one
eight five eight zero, one nineone nine. If you have any questions,

(15:03):
please call in now at one eighthundred eight two five fifty nine forty
nine. That's one eight hundred talkw g Y, one eight hundred talk
w g Y. We are livein studio to answer your questions. My

(15:58):
mess There ain't no one with mebut Tavari's ruties. How many people out

(16:32):
there remember Tavarre's at Ruti's what ajoint outstanding ban out of Boston, all
right? Talked a little bit aboutTSPs. What is it? The TSPs

(17:03):
are the thrift saving plan for governmentemployees. Billions of dollars or in TSPs,
and a lot of times people willcome in and they'll say, you
know, what should I do?Should I keep the money in my TSP

(17:29):
or should I roll it out toa self directed IRAQ. Well, I'll
tell you my personal feeling is isthat it depends. And I know that
sounds, you know, kind oflike you know, putting it on the
back burner, but it really doesdepend on your personal situation and also how

(17:52):
much wealth has been created inside theTSP. I think the reason why we
had so many people that we're concernedabout the TSPs last year because a lot
of people got kicked in the teethnot only on the investments of the bonds,
but also the investments of course withthe stocks and the bonds did not

(18:15):
act as a ballast as they havedone in the past. And the bottom
line gets down to is that whenyou retire, these are all pretax dollars
the government. The government wants youto start taking the distributions out of these
portfolios based on life expectancy, bothyou and your spouse. So I'll go

(18:42):
through briefly some pros and cons,and then i'll go through why our position
is. It depends because it reallyis specific to the individual that we're sitting
in front of and ultimately how theywant to transfer wealth to the next generation.
Ird is always a big word whenyou're dealing with qualified assets, income

(19:10):
and respect to a deced. Whatthat means is that if you don't take
it out and pay the tax,the person that's receiving the money is going
to take the money out and receivethe tax liability. And typically, typically
historically it's been when it's in theirprime time, when they're making the most

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money. You live well into yourseventies, eighties, whatever may be.
And your children are now in theirfifties leaked forties, fifties, prime time
making good money. Now they've gotthese accounts that it's going to be dumping,
you know, thousands, if nothundreds of thousands of dollars on their
lab as far as tax liability.So what are the pros? Go through

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the pros first, you know,what's what's the pros of the TSP.
Well, the big thing is,of course, um they typically have UM
a menu of investments that are verysimplified. There's only about four or five

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investments, and then they have targetdate funds, which I'm not a big
fan of at all. So theTSP gives you, you know, limited
limited investment options and then of coursethe expense ratio on most of these because
their index funds are very low competition. Okay, as far as uh,

(20:52):
you know, the different investment optionsthat are sometimes in portfolios of four O
one k's TSPs s four L threebs can be daunting for the individuals that's
trying to select an asset allocation model. This keeps it pretty simple, So
that's one of the pros. Theother thing is is that we live in

(21:15):
a state here in New York,right, not federal, but New York,
New York does not tax distributions offa TSPs. Now husband and wives
get twenty thousand dollars a piece inNew York stayed off a qualified plans for
a total of forty thousand dollars.So you'd have to do some math to

(21:37):
see does it make sense for meto move this tax wise? But that's
only one component of whether you shouldstay in the TSP or you should lead
the TSP. Credators predators, theprotection from credators is important to consider,
with the TSP providing more protection thanan IRA because sometimes you're qualified plans,

(22:07):
qualified plans, pension plans are protectedfrom creditors and predators. State specific.
That is not true with iras.State specific that is not true with iras,
Okay, so you need to beaware of that also. And the

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final one is that if you continueto work for the federal government and you
don't want to be subject to RMDrequired minimum distribution because it's in the TSP
and you're over the age of seventythree, guess what, there's no RMD.
You do not have to take rmdsat the age of seventy three,

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because you're still employed. This isnot common that people will continue to be
employed. No, those are thepros of staying. Diversification, you got
a fixed account, they don't overwhelmyou with investment options, low expenses.

(23:21):
Right, you can leave the assetsthere if you want to. If you
continue to work, you could stillmake contributions after R and D the age
of seventy three and creditors and predatorsthe protection that it gives you. But
I will qualify that with being statespecific for the IRA if you do the

(23:42):
IRA roll over, which should beconsidered seriously, especially if you're worried about
slipping on a banana peal and youhave no long term care insurance, because
that state specific also depending on whereyou're gonna end up. But when we
come back, I gotta take myfirst break here. We're going to continue

(24:02):
with the TSPs. If you haveany specific questions, give me a buzz
one eight hundred talk to w Gy one eight hundred eight two five fifty
nine forty nine. We'll be rightback after the news. Don't have st

(25:18):
all right. Every time I hearthat song, I think of John Travolta.
Disco, the disco days. Iheard a I listened a lot of

(25:44):
satellite radio. There was a guybeing interviewed and satellite just recently, and
they asked the guy, and Ican't remember who it was. It was
on I think the Groove and theysaid, what do you think that disco
is back? And the guy justleft. He goes disco never left.

(26:10):
It says, what planet you've beenliving on? You go to a disco
when you go out dancing, whatdo you think that music is? It's
disco? So I gotta kick outof that. But crazy, crazy times
I hear this music that brings meback. It's like being transported back to
the seventies and eighties, especially whenI hear tavaries. But we're talking about

(26:34):
TSPs. We're talking about how youhave to make a decision, tax consequences,
investments decisions. Does it make senseto roll over the money to a
self directed IRA. We talked aboutall the positives to keep it right,

(27:02):
and then we'll talk about how we'regonna set it up if we do the
IRA rollover with the retirement planning groupat Fidelity. Here's my position. It

(27:22):
doesn't have to be all doesn't haveto be all. It could be some
of the money, a good portionof the money. But let's just take
an example. Mom and Dad arestill alive. They're in their late seventies
or eighties. They've got a significantamount of money in the TSP. And

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mom and dad have three kids,Bobby, Billy and Jill. Bobby,
Billy and Jill all great kids,but they've got a dynamic estate and they
want to simplify how they're going toget the money to the children. Because
mom and dad have procrastinated with thispot of gold and now it's a seven

(28:08):
figure account. Let's just say it'sa million dollar account, just to keep
it simple. They did well,had pensions, they both had you know,
qualified assets. But the TSP isreally the Achilles Heal because of ird
income and respect to a deced.So that means that the money that's coming

(28:32):
out there's all going to be taxed. There's ordinary income, states specific what
happens to the states. Depending onthe state that you live in, there
might not be any tax. Butthe thing is is that the reason why
I say is that we live ina society today that people want to get
equalization of assets for children and sometimespercentages just don't work out, right,

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So the TSP got a million dollars. We sit down with the client,
I say, a client, whathappens to your pension when you pass away?
Well, my wife gets fifty percentor whatever it is, and then
she gets the higher the two soulsecurity benefits. And now we have a

(29:17):
substantial amount of money coming in already. So does she really need the million
dollars in order to have wealth replacementwhen you go through the pearly gates?
He says, well, we needsome of it, but we're not going
to do all of it. Isaid, okay, good, So tell

(29:37):
me about Bob, Billy and Jill. Tell me about them. How are
they doing. Bob's doing great,and Bill's doing better than Bob. But
Jill, we worry about Jill.Jill's not doing as well as we would
like her to do. And youknow, we want to do something for
Jill to make sure she's going tohave some money at the end of the

(30:02):
road. So Jill's a starving artistsnever had a job that really paid any
substantial benefits. It was more aboutthe passion of the work than the pension
or the benefits. So Jill's kindof in a situation that she's coming around
the first turn and Bob and Billare coming down the stretch. Bob and

(30:30):
Bill are way ahead of her inregards to comfort, security and retirement.
Well, do you want to disinheritBob and Bill. No, we don't
want to disinherit Bob or Bill.But what we do want to do is
we're not going to give Bob andBill as much as Jill. We can
make it up with the other assetsthat we have, real estate, camps,

(30:56):
other non qualified assets that we have. What we're gonna do because we're
gonna go back with our magic formulaE money in our E money software.
We're gonna put all this data intoand then we're gonna bring Mom and Dad
back and we're gonna have a chat. This is what we think you should
do. Okay, we know thatBob and Bill are doing great. They

(31:21):
have a wonderful life. They're makingall sorts of money. Mom and Dad
are gonna, you know, beOkay, it's just a question of how
much money is Mom gonna need whenDad passes away. So we're gonna take
two hundred and fifty thousand dollars andwe're gonna keep it in the TSP,
and that's gonna be the wealth replacementplan for Mom when Dad passes away.

(31:45):
We're gonna take that pool of moneyand we're gonna turn it on as an
income stream because you can take monthlydistributions off of your TSP, and we're
gonna have that money paid out basedoff of her life expectancy. Bobby,
Billy, and Jill. After discussionswith Mom and Dad, we're gonna open

(32:09):
up self directed IRASE. So we'regonna take seven hundred and fifty thousand dollars
and we're gonna put five hundred thousanddollars in Jill's account, and we're gonna
put one hundred and twenty five thousanddollars each in Bob and Bill's account.

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So that gives usus ding ding Dinga total of a million dollars to fifty
for Mom, five hundred thousand forJill. Billy and Bob would get one
twenty five. And there will beequalization of the estate with the other assets,
whether it's real estate or non qualifiedassets. Seybody walks out of the
meeting when they settle the estate,or they sit down with the attorney and

(32:51):
say this is the reason why momand dad did this, or if you're
fortunate enough and you have an openrelationship with your children, you tell them
at a time, you tell themahead of time. So everybody seems to
think that they've got this big IRAor TSP or you know, I got

(33:12):
to keep it in one account forestate planning purposes, folks, that doesn't
make sense. It doesn't make sense. You should have multiple iras for multiple
goals, whether it's legacy planning,wealth replacement for the surviving spouse, transfer
of wealth in order to create apension benefit for who Jill the daughter,
the starving artist daughter who lives inWoodstock, Vermont, and as an artist,

(33:37):
how's that song? Which is abeautiful part of Vermont? Now what
else? What does that eliminate?That eliminates one of the biggest problems that
if you're retaining assets and mom slipson a banian appeal or slips on a

(34:00):
banana peel, and you need longterm care assistance. When dad passes away,
Mom's still alive. Let's just saystatistically she's going to live longer.
And she does come into a bumpin the road and she doesn't have long
term care. Guess what seven hundredand fifty thousand dollars of money that was
inside their estate is gone because nowthey have self directed iras for Bobby,

(34:22):
Billy and Jill, and the moneyis not attachable by our good friends and
the counties or the state for medicaidspend down. Does it sound like a
good plan. This is one ofmany that you can do just using this
as a hypothetical. Have we donethis before? The answer is absolutely yes.

(34:45):
That's why I just used this asan example. And when I say
there are always good reasons for IRArollovers, really the two biggest ones that
I would say is consolidation, simplification, and the third would be efficiency.

(35:07):
The third would be efficiency, andthe apples that you can pick off the
tree with a self directed IRA arenumerous, too many to even talk about.
Where the TSP allows you to havelimited limited investment options. And the
thing is is that it's a goodreason, in my opinion, to roll

(35:32):
your money into your IRA and createa simplified, tax efficient portfolio. And
folks, there's a lot of greatfinancial advisors out there. There's also q

(35:53):
LAX. Those are investments, thoseare annuities that you can purchase that will
limit limit the amount of distribution thatyou have to take as far as rmds
required minimum distributions. So I guesswhat I'm trying to do is give you
some ideas as far as tactical tacticalideas and suggestions, and then of course

(36:22):
you have the ability to disclaim assets. A lot of people that we have
have charitable intent. Charitable intent,whether it's the American Cancer Society, the
synagogue, the church, the universitythat they went to. Pets. I'm

(36:45):
astonished by pets. I'm astonished bypets as far as the amount of business
sets out there, whether it's veterinarian, whether it's products, whether it's food.
We use Benson's up in Clifton Parkfor our three dogs, and I'm

(37:07):
always astonished when I walk in there, the amount of product that they have,
the different types of things that theyhave for animals. And I love
the bird, the parrot. Oh, it's just it's so cool, the
latch's bird talk. And of coursethe biggest reason is financial advice. You're

(37:37):
working with the team, you're workingwith the individuals that are rubbing elbows with
you, sitting at the table,and they control the levers. What needs
to get done. So when Isay it's specific, the example that I
just used for you, we didn'ttake all the money. We took a

(37:59):
portion of the money because of whatwas needed as far as legacy transfer of
wealth to the next generation. Tosimplify it. To simplify it, because
when Dad passes away, the moneygoes to Billy and Bobby and Jill,
and then Mom's only retaining two hundredand fifty thousand of the money in order
to have wealth replacement or quality oflife if she is sitting in a situation.

(38:27):
If Mom is in a situation atthat time that she has health issues
and everybody knows knows that she doesn'tneed this money, she's going to be
sitting there receiving these distributions, notbecause she wants it. But now R
and D required minum distribution is kickingin. She can have the three kids

(38:50):
named as beneficiaries, which she wouldprobably do anyway, and as long as
they have it's set up right,she can disqualify those assets as far as
wealth transferred to her and the moneygoes to the kids, so the kids
get the whole pot of gold.This is planning. This is not you

(39:12):
know, one specific question, doesit make sense to keep my money at
the TSP. Fortunately, fortunately foryou, the consumer of financial products,
in today's world, it is acomplicated landscape which offers you much help and

(39:36):
assistance with financial advice, more sothan ever before, more so than ever
before. I've been doing it forforty one years, and I can tell
you right now I'm astonished and flabbergasted. I had a wonderful comment this week
by a good friend of mine who'sin the investment banking business, and I've

(39:58):
known him for years, and hesays, you know what, I love
your team. Why what are youtalking about? He goes, I just
love your employees. You've got sucha great team. And I go,
what brings this on? He goes, you don't realize, youth. You've
got two financial advisors in there,Nicholas and Christopher, that are in their

(40:22):
twenties. And he says, youknow, it's really hard to find people
today that are in their twenties thatwant to get into the investment banking business.
And we've worked with Nico now fora little bit and we're just kind
of astonished how much he knows alreadyabout the financial planning business. And I

(40:44):
said, well, you realize he'sbeen with me now for almost seven years.
He came as an intern out ofsea in a college internship, right
into working as a financial advisor,financial analyst, and a financial advisor.
Christopher is a financial analyst now andalso ultimately will transfer to be a financial
advisor. So if any of youyoung female and male, recent graduates from

(41:20):
college or about ready to graduate fromcollege, think about the financial services industry.
It's a great business, you mean, wonderful people. Is it stressful
absolutely? Is it rewarding absolutely?And we'll talk a little bit about that

(41:43):
when we come back. But ifyou want to sit down, if you
have a TSP, whether it's asmall amount of money or a large amount
of money, we don't care whetherit's five thousand or five million. We
don't tell anybody. No, you'renot wanting one of the people that call
my office, let's say day weneed help, we welcome in the door.

(42:05):
We welcome them in the door becausewe don't have a minimum amount of
money in order for us to workwith you. So if you want to
sit down, it's five point eightfive eight zero one nine one nine.
That's five one eight five eight zeroone nine one nine or check us out
on the web rpgretire dot com againfour locations Oneana, Albany, Malta and

(42:29):
Glen's Falls. We'll be right backthe eighty six percenters. Do you know
that eighty six percent of the populationhas no defined benefit pension plan? For
most of us, we have totake our life savings and create a paycheck
for the rest of our lives inretirement. What is your plan for retirement
income distribution? How will you manageyour assets during the most critical years of
your lifetime. Nobel Prize winning economistsWilliam Sharpe has called retirement income distribution the

(42:53):
nastiest, hardest problem in finance.He points out that investment uncertainty and mortality
can derail the most careful laid outretirement income plan. Call our offices today
to start the process of building yourretirement income distribution plan. After forty one
years of being in the financial servicesbusiness, you need to start taking action

(43:13):
to start building your own personal retirementincome distribution plan. How do you do
that? To take action? Fiveone eight five eight zero one nine one
nine. That's five one eight fiveeight zero one nine one nine or rpg
retire on the web don't procrastinate,motivate to start building your retirement income distribution
plan five one eight five eight zeroone nine one nine. If you have

(43:36):
any questions, please call in nowat one eight hundred eight two five fifty
nine forty nine. That's one eighthundred talk WGY, one eight hundred talk
WGY. We are live in studioto answer your questions. Interview you can

(44:01):
you do what's in out of theday. We threw at least fund away
what the streets every trying to finda new career. Now you getta go

(44:29):
attack, but that in danger onyour back. Do an offend you day.
Baby can have a chance. Itonly takes a mine to love,

(44:49):
to love, It only takes aminute. All right, Tavaris, Happy

(45:09):
weekend. Hopefully you're enjoying yourselves.A lot of sickness out there. Be
careful. The stomach virus that's goingaround is ug lee ugly. It's been
through my house. I had it, my wife had it. My son's
Christopher he's had it, my sonDavid had it. My daughter. I

(45:31):
can't find her. She's hiding underneaththe bed or something. She doesn't Michael
has been a wall for a while. I don't know where she is.
She's hiding somewhere, staying at hergirlfriend's house. My daughter's graduating from high
school on Friday, My baby girl, my last one out the door,

(45:52):
my love, my heart, willbe going to Lemoine College. And very
proud of her, very very veryproud of her. And I can't tell
her enough, how how much momand dad love her. And you know,
there'll be a lot of tears whenwe dropped her off at school,

(46:14):
but that's what happens. They growup and they go away. But she's
gonna fly. She's a beautiful girl. She went to the prom this past
weekend. Just amazing, just amazing. So time goes by quickly, folks,
Time goes by too quick. I'ma little guy with young kids.

(46:37):
But you know one thing, Idon't know what happened in the last ten
years. It was like a blinkof an eye. And everybody I talked
to U says the same thing.You realize today's the seventeenth that we're already
regarding it. We're going in,we're going into the second half of the
year. Already in twenty and twentythree, my cousin Danny's coming in from

(46:58):
the West Coast. Danny Kopeck.He's a computer guy, an it guy.
He's got a brain for it.And he's going to come and spend
a couple of days with us duringthe holiday weekend. And I look forward
to seeing him because he's coming tosee the barn. He's ecstatic that we're

(47:20):
resurrecting my grandfather's barn and putting iton the property. He's very talented.
He has a lot of ideas asfar as like a wall that we're gonna
do, pictures and history of theCopeck family and all of the spokes of
the wheel, all the Sweeney's andAnnie Seski's and Stascos. Go through the

(47:44):
whole laundry list of family members thatare affiliated from the Copeck family into the
other families. If you live inthis area, folks, I'm amazed,
and I never realized this until justrecently, well not just recently, but
half Moon where I half Moon,even though it's a mechanical address, I
actually live in half Moon. Mostof those farms were all Polish immigrants.

(48:07):
Yany Saski Garnikowski Garbowski Garnikowski just amazing. Go through the whole laundry list of
all the farms that are up there, and most of them are all Polish

(48:28):
people. So look forward to reallylook forward to putting this jigsaw back together.
One last point with TSPs, it'sfor people, well those which I
talked about, that have charitable intent. Qualified charitable distributions can be a powerful

(48:52):
way to give it to a charityin avoiding paying taxes on your retirement savings
withdrawals. Right, we all knowthat the amount transfers okay is excluded from
income and most importantly, the transfercan count towards the RMD of that IRA
owner. What that means though,is this. This means that if a

(49:15):
federal or mare military retiree with aTSP account wants to do a q CD
qualified charitable distribution to avoid an RMDwhile acting charitably, then the account holder
must have to first transfer his orher TSP account to an IRA. It

(49:39):
has to go to an IRA.You can't do it from the TSP.
Let's go to the IRA. Thenyour charitable distribution extremely extremely important because if
you do it, you goof itup. You've got a huge tax liability

(50:00):
and you're gonna say, well,I thought I got a tax credit.
No that's all taxes ordinary income foryou because you didn't do it right.
So anytime you're dealing with these assets, you want to make sure you're holding
hands with somebody that does it ona daily basis. Lisa, our operations
manager, has been in the businessfor decades. She's been with me for

(50:20):
almost twelve years now. She understandsthis stuff inside and out. My son
Christopher helps her assist her. Ithink it's important that you start from the
ground you work your way. Heneeds to know the mechanics of the business,
how things work from the ground floorup. You know, that's how
I started in the business. Julieand I when we opened up the Retirement

(50:42):
Planning Group, we did everything fromlicking the stamps, doing the paperwork.
You know, one percent of itwas my wife and I when I started
this. So make sure that you'reworking with someone that basically has an understanding
of how to take distributions of atTSPs iras. It is critical that they

(51:02):
understand that. So that was aquick one hour. We're gonna come back.
We're gonna be talking a little bitabout the markets and how you can't
time it, how you can't timethe market, especially where We sit right
now at the end of June almostand some of these portfolios have had significant
gains. So again, if you'dlike to participate, we're live and we're

(51:24):
going to be back here in abouttwo or three minutes. Give us a
qual if you have any questions oninvestments, asset protection legacy. I'm Dave
Kopeck. Welcome to the Retirement PlanningShow with host Dave Kopeck. In the
financial services business for over thirty fiveyears. Their Retirement Planning Group LLLC is
a registered investment advisor. David M. Kopac is also a registered representative of

(51:49):
perish Kaplan Stirling Investments Incorporated PKS intheir separate capacities. A registered representative of
PKS, David M. Copeck mayrecommend the implementation of securities through pks instead
of Retirement Planning Group l LC.Pers Capital and Sterling Investments in Retirement Planning
Group l ELSE are not affiliated companies. Now it's time for the Retirement Planning

(52:10):
Show on w g y J.You just what you mean to me?

(52:55):
You got so much you want totake away? All right? We are
back. A little break, littlecoffee, stretch my legs. When outside

(53:20):
did a hundre yard dash ran backin lifting weights right now, that's called
a donut. Yeah, m hm, God bless everybody. Hopefully you're not
going through the sickness that is goingthrough our community. I actruly said that

(53:44):
there's a lot of kids and teachersout at school also. So we live
in a society today that you gottahave a sales pitch, right You think

(54:05):
of every major company has like asome kind of a logo or a brand
or some kind of a statement.And that's true in the financial services business.
You know, I laugh about itand a lot of my staff and

(54:25):
our clients and prospective clients when Italk about the screaming monkeys, you know
how smart they are. It's alwayson a Monday too, that they're smart.
It's not on a Wednesay or Thursdayor Friday. It's on you know,
Monday, Monday morning quarterbacks. Well, I knew that was going to

(54:45):
happen. But I think what youreally have to do. People are very
smart today. They digest information extremelywell, and they can tell substance to
bs within a very short period oftime. And one of the things that

(55:07):
I've always tried to do is totake the chatter the noise out of the
equation. Just tell me the facts, you know, Joe Friday, Just
tell me the facts, man,Just want the facts. And I think
when you're in the stock market,in the bond market, there's always a

(55:30):
four letter word called risk, right, That's why there's prospectuses and disclaimers and
all sorts of stuff when you invest. But when you invest right, you
got to have some kind of agut feeling, right, a gut feeling

(55:52):
I feel good about this, orI've done my research and I think,
you know, we got a prettygood chance of doing pretty good here with
this particular stock or investments right asan example, and this is the disclaimer

(56:12):
because I own the stock. Okay, let's take Ge as an example.
They couldn't bury Gene. They couldn't. I mean they were burying the whole
to put ge in. About ayear or two years ago, this guy,
Larry Colp. Colp was the biggestjerk on earth. He didn't know

(56:35):
what he was doing. You know, he's splitting the company up in threes.
And you know what is this guydoing. You know, he's basically
he's gonna take anything that's good andhe's going to throw it into the garbage
can and sell it off and getrid of it. And he's just basically
building a stockpile of cash for himself. Well, have you seen ge stock

(56:57):
this year? Folks, Gee closedone oh six point two nine for the
year. As of the close onFriday, the stock is up sixty percent.
Jim Kramer, you know Jim Kramer, right, Jim Kramer this week
is beating his chest. Boom boomboom the gorilla Gee Healthcare loves it,

(57:22):
loves it, screaming body says.Now that's stock here to date is up
forty percent. That's why I saythere's some stocks that just have substantial gains.
This yere folks substantial gains. Nowthere is five point three trillion dollars

(57:46):
in cash, the most in history, sitting on the sidelines. And as
I've said over the last few weeks, when that starts coming back into the
market, I think there's gonna besome smiles people's faces because you're trying to
time the market. Right. Usedto triple q's as an example, Triple

(58:12):
qs Invesco, that's the one thatwe utilize. Right, that particular position
for the year is up forty percent, almost forty a little less than forty
percent. So all these people theygot shaken out of the market that didn't

(58:37):
go back in, or they hadtheir knees and knocking, and you guys
are bums and you don't know whatyou're talking about. Blah blah blah blah
blah. They just missed a hellof a move in the market. Right
now they want to get back in. I know that with risk assets over

(58:57):
the last few years, there wasthere's no other place to go in order
to get yourself a competitive radar return. You had bond portfolios that were buying
equities inside their portfolios for the dividendsof stocks bond portfolios. You had people
that were purchasing assets that probably werenot suitable for them based off of their

(59:22):
risk tolerance. How much volatility canthey accept in a portfolio before they jump
out of the boat. And whathappens when our brains down on Wall Street
are telling everybody, well, youknow, we don't single digit returns this

(59:43):
year probably most likely, you know, we're probably not going to see too
much out of the market this year. And it's just, you know,
it's the same thing. If youremember Wall Street Week with Ruis Rukheiser they
had the l Every year we're makingpredictions, and every year they were wrong.

(01:00:07):
So the people that stayed in geand ge stock because it was a
legacy. My dad gave it tome. I know that we have tons
of people, there are clients ofours, the almost twelve hundred clients that
we have, I can tell youright now, there's a good portion of
them that held on to ge becausethey didn't want to give it away,

(01:00:27):
or they didn't want to sell itbecause it was heartfelt and they wanted to
keep it because it meant so muchto them as far as their mom or
dad, whoever worked there. Thatwas transferred to them. And guess what
you're being rewarded. I know thata guy called here not too long ago,
the gentleman from Connecticut, and Isaid, do you bet the horse
or the jockey? You bet thehorse of the jockey the Belmont. Did

(01:00:54):
you bet the horse? Did youbuy the jockey? I bet you.
A lot of people bet the jockeywith Ge. I bet the jockey.
I bet Larry Coulp. This guyis a cool cat, and he knows
what he's doing, and he's gotnothing, nothing, nothing. He's wrapped
his arms around and said, Ilove this so much about ge I would

(01:01:15):
never get rid of it because he'san outsider that came in to slice and
dice to get the ship back on. Now people will say to me,
Dave, how much time do youspend on analyzing stocks and doing research?

(01:01:37):
Zero? Zero. That's why wehave Fidelity. We are part of Fidelity
Institutional Wealth Advisors. We have ateam that works with us CFAs PhDs doctorates.
That's all they do all day longis to analyze stocks and bonds and

(01:01:59):
build out portfolios for us for ourclients. We just had a conference call
on Thursday with one of our largestclients and one of the analysts talked to
him in detail about their specific portfolioand what they thought some of the things

(01:02:20):
that were necessary in order for themto reach the goals that they have.
So what does that lead me into? When I got into the business years
ago, there was a thing calledthe efficient frontier, the efficient market alternatively

(01:02:51):
known as the efficient market theory,and it states that share prices reflect the
information in consistent. Alpha generation isimpossible. So what does Wall Street tell
you? Wall Street tells you theycan find the alpha. This research says

(01:03:14):
they're full of you know what.So, according to the efficient frontier,
stocks always trade at their fair valueand exchanges, making it impossible for investors
to purchase undervalued stocks or sell stocksfor inflated prices. Therefore, it should

(01:03:39):
be impossible to outperform the overall marketthrough expert stock selection or market timing,
and the only way an investor canobtain higher returns is by purchasing riskier investments.

(01:04:00):
Why do you think Vanguard has ataj Mahal down in Pennsylvania. It's
called passive index investing, and it'sbeen proven that it consistently outperforms active management

(01:04:23):
by about eighty percent, eight outof ten times. So theoretically, neither
technical nor fundamental analysis can produce riskadjusted returns alpha alpha, and only inside
information you can result in outsized riskadjusted returns. That's fact, right,

(01:04:47):
That's not you know, hypothetical,this is fact. So when people come
in and they need to start buildingretirement income distributions, that's a whole different

(01:05:09):
apple because now you have to dowhat create a check because eighty six percent
of us are not receiving a check. So that means that you have to
go out and you have to builda portfolio that will satisfy income right and
hopefully satisfy your appetite for risk,so you're not jumping off the boat.

(01:05:30):
How many are you listening right nowdid not partake or participate in these recent
gains in the market. I cantell you a whole hell of a lot
because there's five point three trillion dollarsout there in cash and cash equivalence,
and you went to treasuries or CDsor money market accounts because you got scared.

(01:05:53):
You got scared. So when wecome back, we're gonna talk a
little bit more about the efficient frontierand why there's a big difference between accumulation,
preservation and distribution. There's a hugedifference. Know what your own,

(01:06:13):
feel comfortable with it, and takea pill and take a nap. Take
a pill and take a nap,and stop staring at the damn market every
day, in every minute, everysecond, because you're going to drive yourself
nuts. We'll be right back theeighty six percenters. Do you know that
eighty six percent of the population hasno defined benefit pension plan. For most
of us, we have to takeour life savings and create a paycheck for

(01:06:35):
the rest of our lives. Inretirement. What is your plan for retirement
income distribution? How will you manageyour assets during the most critical years of
your lifetime. Nobel Prize winning economistsWilliam Sharpe has called retirement income distribution the
nastiest, hardest problem in finance.He points out that investment, uncertainty,
and mortality can derail the most carefullaid out retirement income plan. Call our

(01:07:00):
offices today to start the process ofbuilding your retirement income distribution plan. After
forty one years of being in thefinancial services business, you need to start
taking action to start building your ownpersonal retirement income distribution plan. How do
you do that? To take action? Five one eight five eight zero one
nine one nine. That's five oneeight five eight zero one nine one nine

(01:07:20):
or RPG retire on the web.Don't procrastinate, motivate to start building your
retirement income distribution plan five one eightfive eight zero one nine one nine.
If you have any questions, pleasecall in now at one eight hundred eight
two five fifty nine forty nine.That's one eight hundred Talk WGY one eight
hundred talk WGY. We are livein studio to answer your questions. Yeah,

(01:08:08):
what's out of the dream. Wego at least fund away the streets,
happy, trying to find a newcareer. Now you get a bull
attack, but that indangit on yourback at day, Get right on me

(01:08:40):
and a girl. Great song,Crank that up on the way home.
Play that. Tell Gallagher he's playingmusic for the whole hour after me today.
We're not gonna listen to him babblefor one hour. I'll tell you
what. Let's lock him up inthe closet when he walks in, Gallagher,

(01:09:03):
we'll lock him up for an hour. We'll just play music. Zach,
you're talking about the efficient frontier.How many people missed out on this
market and how many people partook andended up getting some nice returns in their

(01:09:24):
portfolio. So efficient frontier means thatyou don't try to time it, you
buy into the market. It emphasizesthat stocks trade at a fair value on
exchanges. Robbie Bayer, there's aseller proponents benefit from investing, of course,

(01:09:46):
in low costs passive portfolios. WhatI just talked about index portfolios,
our friends, Vanguard, Fidelity,Schwab. You go through the whole laundry
list of I shares, you knowthere's tons of ETFs and passive ways to
invest. Now the cost are extremelycheap. It's just a question how do

(01:10:09):
you make the mix? You know, I went over to Smith's last night,
Delicious marinera sauce delicious. I wantedto say to them, what's your
recipe? How'd you make the sauce? They're not going to tell me.

(01:10:30):
That's the secret recipe. And that'swhat's the secret for retirement? What is
the secret sauce in order to getto your final destination where you don't run
out of money, where you don'trun out of money. There's all different
ways that people talk about it.We talk about it as the buckets of
money. Been doing that for years. We talk about the red zone.

(01:10:54):
We talk about baseline income because Ithink it's easy for people to relate to
certain things. Baseline income is prettyeasy, right. This is how much
I need to pay my bills,and this is how much I need in
order for me to stay afloat anythingover and above that. This is going
to be a gravy train. ButI do know hypothetically that if I invest

(01:11:14):
in the market over an extended periodof time five to ten years, I
should get a pretty competitive rate ofreturn in regards to those assets for what
milk, eggs, butter, taxes, heat utilities, electricity. When you

(01:11:39):
get in this business, you haveto take an exam. It's called the
Series seven exam when we first gotinto it. Now it's different with the
IRA, the RAA platform, youdon't have to take the seven. But
you know, I am a huge, huge, huge advocate of young professionals
to sit for that exam because itis tough and you learn a whole hell

(01:12:02):
of a lot about investing in orderto get that certification that you are Series
seven license, And it's tough.I don't know what the success rate is
right now in that, but Iknow it's a very tough exam. But
guess what it does. It makesthe advisors sit there and go through a

(01:12:23):
lot of these fundamentals in topics thatthey wouldn't even think about thinking about.
You know, used to be inthis business. You got the license as
quick as she can, and goget the money right, Go get the
money right. You say, yougot that desk, you got that phone,
you got that quote drime machine.Your job is smile and dial and

(01:12:44):
get the money in the door.Those days are gone. That's why I
chuckle when I hear these morons talkabout, well, the only reason why
the financial advisor is recommending an annuityis because they get a big fat commission
seven percent, and you know there'ssharks and they don't care about you.
That is just total absolute bs bsbs. It's a game, it's a

(01:13:15):
sales pitch. We're better than anannuity because you know what, we're gonna
have you sitting under the edge ofyour chair when the market goes down thirty
percent because we're smart. Some peopledon't want the roller coaster. Some people
want safety and guarantees. Well,with those types of guarantees, if you
stay fully invested into into an annuitycontract and there are low cost annuities folks

(01:13:42):
with no surrender charges, low fees, you know, no expenses that you
wouldn't have through a traditional portfolio manager. Right, that's the truth. That's
the fact. Okay. But thething is is that what's great about that
is ultimately you can take a portionof that money or some of it and

(01:14:05):
turn it into a guaranteed income stream. Right, you want to stay fully
invested, that's the key. Ifthere's anything that we've learned over the last
twelve or eighteen months. You wantto stay fully invested. You know,

(01:14:27):
I listened to some of the guys. Well, we bought gold and we
sold gold. We got we gotbitcoin, but we got out of bitcoin.
You know. I bought bitcoin,but a I didn't like it,
you know, and I got outof it. Well, you didn't do
your homework. Then you need todo your homework. Why he would you
buy something and a few months lateryou're jumping out of it. You gotta

(01:14:48):
stay fully invested. Look at bitcoin? What's a trade net? Now?
I mean I'm not an advocate ofbitcoin. I know nothing about it,
to be honest with you. Andif I don't know anything about it,
I'm not going to put it intoour client's portfolios. But the thing is
is that if I look at iton a historical basis, yeah, it's

(01:15:10):
down, but over the last sixto twelve months, it's up dramatically.
So does the efficient frontier have anyvalidity? There are investors who have done
extremely well, one in particular,whose family was from Scatticoke, if you

(01:15:32):
can believe it or not, theBuffett family Buffett Warren Buffett, whose investment
strategy focuses on what undervalued stocks,has made billions. But here's the other

(01:15:53):
side of the coin hedge fund managers. Right, they have one good year
and everybody flocks to him, andthen they bomb and they start liquidating positions,
and then they shut the thing downand out the money goes to the
investors. They've lost their you knowwhat, and they say, Wow,

(01:16:15):
why did I just get myself involvedin? You know? That was a
two and twenty. The advisor waspaying two percent. The portfolio manager the
headpunge guy, and he took twentypercent of the profits after ten percent.
But most of them go away,folks, They evaporate. Right, fulghazi,

(01:16:35):
right, fairy dust. So marketsallocating money, figuring out how you
ultimately want to have your cash allocatedin your retirement years is critical, is

(01:16:56):
critical. Should you have some moneyin your sandbox account, absolutely knock yourself
out, But build a portfolio inyour retirement years that is specific for you
and your family and the master planthe legacy that you wish to create in
order for you to have assets thatwill transfer the most tax efficient way to

(01:17:23):
your family and loved ones. Igot a horror story about that when we
come back. But this is DaveKopak. This is the Retirement Planning Show.
We're here until the top of thehour. Nine. If you have
any questions or comments, it's oneeight hundred talk WGY. That's one eight
fifty nine. Give us a call. We're live in the studio. We'll
be right back. M justifacts man, just the facts. You want answers.

(01:17:51):
I think I'm entitled. You wantanswer the truth. You can't handle
the truth. It's all the fugazi. You know what, poor Gaisy,
it's a fake, grazy for guzzy. It's a way, it's a woozy,
it's very dush, it doesn't exist. Don't be the money. I
need to feel you. Jerry,show me the money, Jerry Boddy out,

(01:18:12):
show me the fun. Where's thepeat, where's the feet? Hey?
Where's the beat? Tumble out abit and a stumble to the kitchen,
pulled myself a cup of ambition andyour own, and stretch and try

(01:18:35):
to come to line. Jumping theshower and the blood starts pumping out on
the streets, the traffic starts tuppingand books like me on the job for
nine to five, working night,to find water, where to make living
heavy, getting by, It's alltaking and no get just use your mind

(01:19:00):
then never give me credit for serviceand what deserve emotion? Want to move?
Hell, the boss won't seem tolet me sign to fuck Dolly here

(01:19:30):
just to watch your shadow, You'rejust to step on the boss man.
Can't wait to the Barnes done.So we get some holdowns, some country
music. I'm really looking forward toit, all right. This is kind

(01:19:53):
of a warning, the d dotdot warning. You know, you get
the broadcast over the radio that makesthat horrible sound. You know, in
a world that we live in today, it's not hard to get in the

(01:20:16):
weeds and you procrastinate and you don'tmotivate, and we see it all the
time. You know, it's prettyeasy for me to see it because I've
been doing it for forty one years. And sometimes we have very difficult conversations

(01:20:38):
with people. Told you one justrecently, or where the guy got up.
He wouldn't even shake my hand,and out the door he went because
I basically said to him, isthat his wife knew nothing about what was
going on, and as something happenedto him, she's in deep weeds.
Right. He didn't care. Hejust didn't want to hear what I had

(01:20:59):
to say. And rather than sittingand talking about it in a logical professional
way, it was his way orthe highway. I actually felt bad for
the woman. I apologize to her, and I basically said to her,
I'm just trying to be an advocateadvocate for you, you know, because
I don't want you to be ina situation where you're lost. Oh she'll
be all right, she'll figure itout. Is that really a financial plan?

(01:21:25):
Well, I had a client thatlike to keep money all over God's
creation, and we did a lotof work with both the husband and wife,
and he was really the point person, and he wanted to have assets

(01:21:55):
at certain locations because of an affinitythat he had with those groups. He
was a military guy, and hewanted to have an affiliation with USAA and
a couple of other organizations that hewas heartfelt with. Well, he died

(01:22:15):
unexpectedly. He died unexpectedly. Itcame on and when his wife took the
reins, I honestly think that becauseof the stress, the shock, she
got into a situation where I thinkthere was some mental issues and I'm saying

(01:22:42):
it politely, and she had aserious, serious problem trusting people. So
I would go visit. I wouldsit down with her. Everything was fine.
You know, she just had thisone account blah blah blah blah blah,

(01:23:02):
and she was keeping it there becauseof her husband. And I said,
okay, that's fine. Whatever youwant to do is fine by me.
Now we are big believers and consolidationand simplification for this particular reason.
They get a phone call I won'tmention from one of her family members a

(01:23:26):
couple of weeks ago. Wants totalk to me on the telephone. All
right, set it up, Isaid to Brenda. Set up a conference
call. I'll be more than happy. Or bring him in face to face.
Let's have a chat in the office. So the phone call goes out.

(01:23:46):
I don't want to come in theoffice. They want to have it
order the telephone. Because the wife'swork and he's working. It's easier for
them just to do it by telephone. They said, okay, that's great.
We can do it by telephone.We have a service where we everybody
calls into this one one line andwe do it as a conference call.
You don't have to put anybody onhold. You call it and you hit

(01:24:08):
a button and you go live intothe call. So we get on the
call, and we had done somepretty major estate planning for this people,
and to the point where it wasa considerable amount of money that was being
transferred tax free inside of trust tothe children and the grandkids. So the

(01:24:35):
rocket scientists, the son of lawgets on the phone. Hell's wrong with
you, guys, what are youtalking about? What's wrong with us?
He goes, well, we're goingthrough the paperwork in the house, and

(01:24:56):
you know Ma had all this moneyand she had the a fishiary as her
estate. Well, I guess that'swhat mom wanted, because Mom never told
us about that money. And Momwas very specific that she had assets that
she was going to leave at certainlocations because there was a heartfelt feeling about

(01:25:20):
those affiliations with your father in law. Blah blah blah blah. Longer I
talked to the guy, I cantell he's getting and more. You know,
the anger's coming through the telephone.I said, listen, okay,

(01:25:42):
I can give suggestions, and Ican give recommendations. Then it's up to
the individual to either motivate or siton the fence. And to keep it
simple, she is elected to siton the fence and God rest her soul
now that she's passed away, youknow that was her prerogative. It's not
what I would have recommended to her. But the bottom line goes down to,

(01:26:06):
you've got a huge tax liability nowbecause what did she do? She
had ira assets that were paid intothe estate to the tune of a couple
hundred thousand dollars and now it's alltaxed what it's all taxes ordinary income in

(01:26:28):
one year because there was no namedbeneficiary on the account. Well, why
didn't they say something to her?I can't answer that. Why didn't you
say something to her about it?Because we didn't. We weren't handling the
money. We didn't even know aboutthe money. So the end of this

(01:26:53):
story does not end well because Iknow that when they see the tax liabuild
with some of the other assets thatwere held outside her estate and what the
attorney's going to charge them now forprobate, he's going to be a rocket
flying to the moon. That's whathappens with you don't listen to advice,

(01:27:19):
And this is what happens sometimes topeople that like to sit on the fence
and procrastinate, and that motivate andget things done and buttoned up. There's
always special considerations. But the mostimportant document, or one of the most

(01:27:41):
important documents that you have within yourpower to simplify and keep things easy for
your loved ones is called a beneficiaryform. Trump's the will. So there's

(01:28:04):
been horror stories about beneficiary forms becauseSusie took care of Mommy, and Susie
said, Mom, let's change theIRA, I'll take care of the boys,
don't worry about it, and Mommychanged it to Susie. And then
when Mom passed away, Susie gotthe money and mom didn't say that.

(01:28:29):
Mom wanted me to have it.And guess what, folks, Once that
form is signed, it's locked.That's where the money goes. That's where
the money goes. So sometimes inour situation, we have to have very
difficult conversations with loved ones, familymembers. Just like I talked about the

(01:28:57):
TSPs earlier today, Are you gonnaset up buckets of money? Should we
one big pot? Where are wegoing to take care of Bobby and Billy
and Jill? How are we goingto take care of them and also have
adequate amounts of wealth replacement for thesurviving spouse. It's your plan Our job
is to facilitate. We're facilitators.So what I would say to you is

(01:29:24):
that anything that we've talked about todayis of interest to you. We are
extremely busy, but that's good.That means that our message is resonating.
People are taking the ball and they'rerunning with it and they're coming in to
the Retirement Planning Group. If wecan be of assistance to you, give
us a call. Our telephone numberis five eight five eight zero one nine

(01:29:46):
one nine. That's five eight fiveeight zero one nine one nine or RPG
retire on the web. RPG retireon the web. And again our telephone
number. We have four locations onI think I've been Onlyana next week.
Oneana Albany Beautiful Office is in Albanyon eighty State Street. Malta's our corporate

(01:30:10):
headquarters and then of course our satelliteoffice that we have up in Glen's Falls.
So give us a call five eightfive eight zero one nine one nine
and say listen, I listened toDave on the radio. I want to
come in and have a chat.I want to have a complimentary consultation and
we will facilitate it if you wantto do it over the web Zoom.

(01:30:30):
We'll do that too, but we'llbe right back the eighty six percenters.
Do you know that eighty six percentof the population has no defined benefit pension
plan. For most of us,we have to take our life savings and
create a paycheck for the rest ofour lives in retirement. What is your
plan for retirement income distribution? Howwill you manage your assets during the most
critical years of your lifetime. NobelPrize winning economists William Sharpe has called retirement

(01:30:56):
income distribution the nastiest, hardest problemin finance. He points out that investment,
uncertainty, and mortality can derail themost careful laid out retirement income plan.
Call our offices today to start theprocess of building your retirement income distribution
plan. After forty one years ofbeing in the financial services business, you
need to start taking action to startbuilding your own personal retirement income distribution plan.

(01:31:20):
How do you do that? Totake action? Five one eight five
eight zero one nine one nine.That's five one eight, five eight zero
one nine one nine or RPG retireon the web. Don't procrastinate, motivate
to start building your retirement income distributionplan. Five one eight five eight zero,
one nine one nine. If youhave any questions, please call in

(01:31:41):
now at one eight hundred eight twofive fifty nine forty nine. That's one
eight hundred Talk WGY, one eighthundred Talk WGY. We are live in
studio to answer your questions. I'vebeen walking these streets so long, singing

(01:32:04):
the same old song. I knewit'll be cracking these dirty sidewalks, a
broadway where hustle's the name of thegame and nice guys get washed away like
the snow and the rain. There'sbeen a lord of compromising on the road

(01:32:33):
to my horizon. But I'm gonnabe where the lights are shining on me
like a rhyme starm cowboy. Iain't got on a horse set of star
spang around yard like a rhynstow.I love that guy. Rest his soul

(01:33:04):
too, all right, I'm gonnakind of wrap up here a little bit
and kind of summarize some of thethings that we talked about today. First
and foremost, I know that wetalked about m Yga's or the last couple
of weeks. They're ticking down,folks, And I mentioned the last couple

(01:33:27):
of weeks that you might want toget if you're looking for a guaranteed rate.
Right now, the five year Ithink is at four point seven.
It was high, as you know, a few weeks ago, five point
two five, So it is tickingdown. I had a woman called me
the other day and she goes,look at you know, I'm adverse to

(01:33:53):
risk. I want to put somemoney aside and I want to get into
something that's guaranteed. So I saidto her, I said, well,
what's what's the money set up forit? She goes, really, it's
it's not set up for anything.I'm not going to need it most likely,
but if I have to get toit, um, you know,
I want to get to some ofit or income. I just I just

(01:34:15):
need to know that I have accessto it if I need to get to
it. And I said fine.So I went through treasuries with her,
right, you know, doing ladderedbond treasuries, and they're you know,
on Friday, treasuries closed at fivetwenty two for the three months and the
twelve month is almost exactly the same. It's five to twenty one five.

(01:34:38):
I mean, that's a good rateof return. That's why your money market
accounts are giving you such a highrate of return right now. But the
two year is still not too badeither. It's a four seventy one on
a treasury. But you have torealize one thing, you know. She
says, well, I know,I know the treasureies are guaranteed, and
blah blah blah. You know,but treasuries are guaranteed, folks. But

(01:34:58):
the bottom line is is that theyare risk assets, meaning that yes,
they're as long as you hold themto maturity, you buy them at a
discount to their fair market value.But if you want to liquidate them before
the maturity, you could get lessor more depending on the interest rates scenario.
Just be aware of that, okay, just be aware of that.
So maybe if you're gonna need somecash, maybe you ladder it out.

(01:35:20):
You do a three month, asix month, a one year, and
then of course you do a twoyear. It's but nyga's the guaranteed fixed
annuity contracts, just like a CDfour point seven percent right now, that
was as it'll close on Friday.That's not a bad ready to return.
You're locking in for five years andyou don't have to worry about it.

(01:35:41):
All right, Let's go to Danieland Hudson Morney Daniel, Good morning.
How are you, sir? Prettygood? Thanks for asking. I have
a question please, Yeah, Ihave. I have a in my name,

(01:36:02):
a supplemental needs trust, and Iwas wondering if I have the right
to change who the trustee is whoestablished this trust? My parents did and
my county trustee was appointed by acounty judge. It's really a legal question.

(01:36:30):
I would say that you should probablyseek legal advice on that. A
lot of times the trustee on thoseare specific and a lot of times,
like with the trust that we do, we use the trust services through Fidelity.
Who is the act who's actually actingin the trust services? Is it

(01:36:51):
a bank or a financial institution?It's it's one attorney and as a practice,
Okay, they charging you a feeum every every year, or they
take money out of the trust bysending a bunch of statements to the county.

(01:37:16):
Okay, Well, I'd have tolook at the document. We have
an attorney in our office that worksout of our office that can review it
for you. So if you'd likeme to take a look at it,
I'd be more than happy to dothat. Um. You know, I'm
down on that neck of the woods, not a lot, but I do
go down there. I could probablystop, take a look at it,

(01:37:36):
and maybe make a copy of itand give you some answers. Or I
don't know. Are you mobile?Are you able to move? Or do
you have handicaps at all? Areyou able to physically you know, move?
Um, I am somewhat physically handicapped, but I am also unculi mobile,

(01:37:58):
I can go anywhere. Right,Well, maybe we can get together
in one of our offices and Ican sit down with you and leave at
least give you some guidelines as faras what's possible and what is impossible.
And I'd be more than happy todo that, sir, Well, I
would. I would also be veryinterested in doing that. Okay. Then

(01:38:19):
I'll give you my telephone number atmy office and just let them know when
you call that you spoke to meon the radio on Saturday and you'd like
to set up an appointment with meface to face. Okay, all right,
I appreciate it. Do you havea pen, piece of paper?
I'm ready. It's five on eightfive eight zero one nine one nine five

(01:38:45):
eight five eight zero one nine onenine Okay, got it? Thanks?
Okay, I look forward to talkingto you Monday. All right, God
bless you, thanks for your help. Yeah, God bless you sir.
All right, Yeah, it's kindof gotta be careful something like that.

(01:39:09):
You got to make sure that you'redyeing your eyes and crushing your teas.
Depends on how that's the trust isdrafted, if they can change the trustee,
the fiduciary who's basically working on itand his benefit. So getting back,
I was kind of summarizing here alittle bit. Probably have opportunity for

(01:39:31):
one more phone call if you wantto call in one eight hundred talk to
b g Y. That's one eightfifty nine. I'll tell you kind of
a funny here I went. Iopened a corporate membership at McGregor Country Club
because my staff, my kid,my specifically my wife and I, my

(01:39:53):
son Christopher, and we all golfJim and Nicholas and myself, Jim,
Nick, myself and Christopher went golfingyesterday and this this, these guys are
just Nico is like a scratch golfer. I mean, he can just kill
it, kill it. The finalHoly it was like three hundred somebody yards.

(01:40:15):
He drove to the green, tothe green you know, and here
I am, you know, theold man on the hill here trying to,
you know, get to the Greenin two or three. But the
bottom line gets down to is thatif you haven't been up to McGregor country
Club, and that's Saratoga area,that's a there's a development around it called
the Greens. We have quite afew clients in the Greens. It's just

(01:40:36):
such a beautiful, beautiful town upthere. Saratoga is just such I don't
know if you've been up there recently, but it's just booming all sorts of
construction. My daughter when she didher pictures for her prom, they went
to the casino and where the wherethe horses are, the carousel, and

(01:40:57):
they took photographs in that park,which is absolutely beautiful part. So,
I mean, we live in sucha beautiful part of this country. It's
just amazing what we have in ourbackyard. I have to get my butt
down. I want to take Iwant to take my family this year,
maybe some friends and loved ones downto the Baseball Hall of Fame. I'm

(01:41:19):
not too sure if they do aHall of Fame game, but the induction
ceremonies and stuff, I've never partookenthat and I want to definitely do this
year because that's supposedly just a greattime and it's a great community. I've
only been there a couple of times. Julie and I went there once in
order to spend the night, andI think it's Otasaga Hotel, which was

(01:41:41):
gorgeous. It's like the White House. I mean, it's just unbelievable.
It's magnificent. But we're here tohelp you. If you need assistance,
you want a second opinion, that'sour job. I'm very proud of my
team, very proud of our organizationor affiliation with Fidelity bring a lot of
firepower with fidelities far as our backoffice technical analysis, all the financial analysts

(01:42:06):
that work for our team, andif we could be of assistance, it
would be a privilege to sit downwith you on a face to face meaning
again to over emphasize, we havefour locations, Oneanna, Aubany, Malta
and Glen's Falls or I'll come toyou. Be more than happy to get
in the car. I love toride. I love to get out see

(01:42:26):
the countryside. A horrible situation upin Manchester, Vermont treat Williams ended up
getting a motorcycle accident last weekend,ended up getting killed. Just a horrible
I know that road very well becauseJulie and I drive it pretty frequently to
go over to Dorset, Vermont.So God rest his soul. Another one
gone too soon. But again,if we can be of assistance, we

(01:42:48):
would love to have the opportunity tosit down with you. And hopefully the
weekend is going to clear out,and I know that tomorrow Father's Day,
which I want to say, spenda couple of minutes on. I just
want to thank the listeners, allthe dads out there. We have a
lot of clients that we work with. The worst day of my life in

(01:43:10):
nineteen sixty eight was when my dadpassed away. I was a very young
man, and you know, itstill hurts even talking about it. But
if you got a dad and yougot any friction in the family, get
rid of it, get rid ofit. You know, you only got
one dad and one mom, Andyou know the thing is is that it's
a day in order to pick upthe telephone or go visit them and give

(01:43:32):
him a big hug and a kissand say, let's let bygones be bygones.
I love you. So to allthe dads, God bless you,
to all the minds that support thedads, God bless them, and we'll
be back. I'll be live todayfrom twelve to one in order to do
Retirement Ready. That's a topic specificshow, So if you'd like to tune

(01:43:53):
in at twelve to one Retirement Readywith myself, be safe, have an
absolutely fabulous Father's Day tomorrow, andGod bless you. All the information provided
is for educational informational purposes only.It does not constitute investment advice and it
should not be relied on as such. It should not be considered a solicitation
a buyer or to offer a salessecurity. It does not take into account

(01:44:15):
any investors particular investment objectives, strategies, tax status, or investment horizon.
You should consult your attorney or taxadvisor. Thank you for listening to the
Retirement Planning Show hosted by David Kopeck. If you would like to talk with
Dave or someone at the Retirement PlanningGroup, call five one eight five eight
zero one nine one nine. That'sfive one eight five eight zero one nine
one nine during business hours, orvisit us at RPNG retire dot com The

(01:44:39):
Retirement Planning Group has three convenient officeslocated in Albany, Malta and Glen's Falls.
Retirement Planning Group LLC is a registeredinvestment advisor. David M. Kopeck
is also a registered representative of PerschKaplins Sterling Investments Inc. PKS in their
separate capacities. A registered representative ofPKS, David M. Kopeck may recommend

(01:44:59):
the implementation of securities through pks insteadof Retirement Planning Group LLC. Persh Caamplin
and Sternlin Investments and Retirement Planning GroupLLC are not affiliated companies. Tune in
again next week for Retirement Planning Strategieswith David Kopeck on the Retirement Planning sh