Retirement Planning Show

July 22nd, 2023

Episode Transcript

(00:00):
Yeah, 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. Perscapitlan Sterling Investments and Retirement Planning Group LLC
are not affiliated companies. Now it'stime for the Retirement Planning Show on WGY.

(00:46):
Welcome Back, Your dreams were yourticket, Welcome Back. You can
remember the show that same remember welcomeBack one of my favorite shows up.
No, let's say that's called youknow who was in that Joes and uh

(01:11):
became a major, major movie star, John Travolta. Yeah, really,
yeah, look it up. WelcomeBack, Cotter. That's your homework for
today. We're not going to talkabout two things. The Mets are the
Yankees, Oh my god, aboutthe Diamondbacks. We talk about the Diamondbacks.
They do I think They're a mildcard position, are they right?

(01:32):
Yeah, they're playoff contenders. Theycan't think. I can't even look at
the Yankees anymore. They gotta youknow, that's all over the internet.
Sweethhouse. They really got to makesome major changes. But Nico's here this
morning. Morning. Nico, Iam, good morning. This is a
retirement planning a show. If you'rea new listener, we talk about pre
impost retirement planning, investment management,asset protection, legacy planning, and of

(01:56):
course retirement income distribution. If youhave any questions or comments, We're gonna
be here until nine am, nineam, and you simply do that by
picking up the phone and saying helloat one eight hundred talk w g Y.
That's one eight hundred eighty two fivefifty nine forty nine. Can I
can somebody please? I got aquestion here. They were sitting in line

(02:21):
for an hour and forty five minutesto get a chicken sandwich. Does that
make sense? It does not.I drove by because I was gonna do
it, but then I saw theline of cars and an hour and forty
five minutes for a chicken sandwich.The line was wrapping around Clifton Park Mall.
They had the line going around fora chicken sandwich. Yeah, that

(02:45):
must be one hell of a chickensandwich. Yeah, and then the nuggets
and the chicken. The nuggets havegot to be just melt in your mouth,
and the chicken must be the mostyou know, I've had it before.
My daughter Michaela loves chick Fili.Yeah, but for an hour and
forty five minutes, they've got theI think they're doing one in East Greenbush
too, that opened too. Yeah, there was one they opened down there.

(03:07):
One Clifton Park opened up, theone over in East Greenbush opened up,
and the airport they got one that'sbeen there. And they say they're
waiting in line this morning. They'rewaiting in line for the place to open
up in order to get a chickensandwich. It's like they never had it
before. So cluck cluck, weneed a waffle house up here. Have
you ever been to a waffle house? Of course I have. Those are

(03:29):
the best, of course I have. I'm going to dallash on it next.
I won't be here next weekend.You got to take care of the
ship here, all right, Okay, So you gotta bring a couple of
guests. I'm the captain. Nowyou're the captain of the captain. Now,
yeah, we've got a major announcement. We've got a major announcement.
Here do you want to tell everybodywhat's going on? And it's one of
the reasons I'm back this weekend finallyhere that's studying. I was in a

(03:51):
cave and I took my Certified FinancialPlanning or Certified Financial Planner UM exam Tuesday
and I got the results back andI passed. It's great. So it's
a huge accompliment. We are weare moving forward. Huge accomplishment. We're
very proud of you. I knowthat. For people that don't know,

(04:17):
you know that's I got the CRPSthrough the College of Finance. I started
with the CFP, but I wentto the CrPC become a Chartered Retirement Planning
Counselor because I just wanted to focuson pre and post retirement planning. But
Nico did the CFP, did allthe courses to the final exam. It
was a tough exam. You say, it's comparable to the bar exam for

(04:40):
people that are trying to become anattorney. So we applaud Nico. Now
it's he's got all of his wingsand he's time to fly. And so
I know that you've got to waita little while before you can officially put
it under your business cards, rightI do. I have to wait a
little bit for the official official resultsto come back. I got a eliminary
pass that one hundred percent of time. Usually you don't get a failed after

(05:02):
that. But I have to waitfor the official results, and then it's
got to go through the board,so the CEFP board and then um,
my ethics and everything like that asto get approved. Oh, that's a
tough one. There are a lotof questions. You had a good week
though, you think about it.You pass the exam. He shot minus
negative two on the golf course,Well is it? So you had a

(05:25):
good week? Two persons scramble.You shot out the thirty five, So
we bowgias one of the holes.Who'd you play with? My father?
And who'd you play against? Weplayed against Chris, not your son Chris,
a client Chris. And then um, what's Eddie, Eddie? Eddie
was playing against us? He's funny, Eddie. It was Eddie. Oh

(05:46):
I gotta tell you a story aboutbreak Yeah, Eddie. Oh my god.
Well, of course we do agolf leak. So here a little
bit of house keeping here, uh, September twenty eight, Swing for a
Cure. It's for a cancer researchSo if you would like to partake,
it's a wonderful day. We giveout a lot. Everybody leaves with something,

(06:08):
folks. There's lots of gifts andprizes, and it's a beautiful day.
We have it at Fairways a halfmoon. Mister Tansky does a fantastic
job of helping us out and puttingit together. It's a beautiful course,
beautiful facility. So September twenty eightSwing for a Cure. One percent of

(06:29):
the proceeds this year we'll go tocancer to the American Cancer Society here locally
in the Capital Disagreegion. Last yearwe jendered gross about twenty thousand. That's
our goal. Let's twenty five.I want to do twenty five thousand this
year. So if you can't makeit, you can still contribute. Yeah,
Ji Jim does a great job settingthat up. If you want to

(06:50):
participate, just give our office tocall numbers five eight, five eight,
zero one nine one nine if youwant to sit down and have a chat
with us. About your own financialsituation, what you've got going on.
We can also do that again.The numbers five eight, five eight,
zero one nine one nine Swing fora Cure. Who won last year?
Do you remember there was no therewas those the four guys that the young

(07:15):
guys. They saw it on Fairwayswebsite. They saw it on fairy Waves
website, and they came and theypartake and they kicked it. They really
did extremely well. I think theywere like minus sixteen. Jim's building a
group this year. Yeah, Ithink he should have a child. I
know, who does he Who's hegot in this group already? He just
got probably are the best golfer outof our clients. We went golfing with

(07:38):
up In McGregor. Okay, hisname's Jim Okay, and so Jim and
Jim, and then he grabbed Martyand then either Matt Big Matt. What
you know, He's always trying tobut he can't win. He's trying to
pull fast, but he can't winbecause because he's part of the so's,
he's setting those guys up for notwinning anything. That's what ye those to

(07:58):
tell those guys. All right,let's get into a little bit for people
that are in four O one Kprograms. There's some changes coming and are
coming pretty soon January first to twothousand and twenty four. There's going to
be some modifications to the ketchup provisions. And what that means is that if
the taxpayer has income of at leastone hundred and forty five thousand dollars there's

(08:20):
not a lot of money folks intoday's world, especially if you live in
a metro New York area, youhave at least one hundred and forty five
thousand, the Ketchup contribution must betreated as a Roth contribution. So what
does that mean. That means ifyour employer does not give you the Wroth
option, which we don't right now, which we're going to change, which

(08:43):
we're going to change with our TPA. But the bottom line is is that
the one hundred and forty five thousandincome threshold, okay, will be the
number if you can do pre tax, pre tax traditional four on one K.
If you hit that number, you'regoing to have to do after tax.

(09:03):
So your catchup contribution is going tohave to go into the Roth bucket.
So if your employer has not communicatedthis with you, you need to
communicate with them if you're over theage of fifty. The catchup contributions,
of course extremely important because so muchof us have to build our own pre

(09:24):
impulse retirement plans. Yeah. Imean, if your employer doesn't offer a
ROTH option you're four O one K, you can also look at potentially doing
just roth iras and contributing on theroth IRA side if you qualify income wise.
Yep, That's what I'm looking atright now. That the other thing
is too. I was thinking aboutthis the other day, Nico, the
non qualified institutional annuities like nationwides,Yeah, where you basically there's like no

(09:50):
cost at all to these annuities,and there's like four hundred investment options and
you get all the benefits of taxdeferral for long as you want, for
as long as you want, andyou know it's after tax dollars, so
you might you might be better offwith that than you would be with the
ROTH simply because of the investment options. And if you wanted to, you

(10:15):
could take that annuity and turn thatinto an income for life. For life,
you could, and then there'd bean exclusion ratio too. But I
mean, you don't get the taxbenefit upfront. With these non qualified annuities,
you get the tax benefit during theyears that you hold the non qualified
annuity. I mean I also inthe CFP when I was going through the
courses that exclusion ratio that they calculateon the payouts, I never realized that

(10:39):
they're basing it on your life expectancy. Yeah, that when you annuitize it,
so then once you reach your lifeexpectancy from then on then it's fully
taxable. So you do need tobe careful when you start looking at these
non qualified annuity. Make sure yousee the ingredients that are in the sauce.
Yeah right, make sure you understandknow what you own, know what

(11:00):
you own. But to all ofour clients out there, again, Swing
for a Cure. I know thatwe're going to have people that are going
to commend from all over the worldto partake in this all over the world.
So if you would like to play, Hey, Zach, you're gonna
come and play this year for aSwing for the Cure. You don't play
golf, I bet you you toosmall to play golf. This is the

(11:24):
club bigger than you or is it? Is it because you can't? You
just don't. You can't swing theclub after that defensive move on the basketball.
All right, we'll be right backthe eighty six percenters. Do you
know that eighty six percent of thepopulation has no defined benefit pension plan.

(11:48):
For most of us, we haveto take our life savings and create a
paycheck for the rest of our livesin retirement. What is your plan for
retirement income distribution? How will youmanage your assets during the most critical years
of your lifetime. Nobel Prize winningeconomists William Sharpe has called retirement income distribution
the nastiest, hardest problem in finance. He points out that investment, uncertainty,

(12:09):
and mortality can derail the most carefullaid out retirement income plan. Call
our offices today to start the processof building your retirement income distribution plan.
After forty one years of being inthe financial services business, you need to
start taking action to start building yourown personal retirement income distribution plan. How
do you do that? To takeaction? Five one eight five eight zero

(12:31):
one nine one nine. That's fiveone eight five eight zero one nine one
nine or RPG retire on the web. Don't procrastinate, motivate to start building
your retirement income distribution plan five oneeight five 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,

(12:54):
one eight hundred talk WGY. Weare live in studio to answer your questions.
Nothing to do to save his like, oh his wife? Then nothing

(13:15):
to save? But why to day? How's your boy? Then? Nothing
to do? It's unto you.It had so much different music, the
Beatles, So you know you likethe Beatles. I like the Beatles too
big Beetles guy over here, Yeah, I just it wasn't good morning until

(13:35):
you started picking on me. Guys, well you're the only guy you know.
They can't go backwarth on defense.That was a one time deal and
I trust that tripping over his ownfeet. Yeah, you're smiling out.
Your head must be better. You'repretty grumpy for a while. Now you're
smiling again, which it is goodto say. Where you don't be smiling

(13:56):
pretty soon because one of your unfavoritepeople will be calling you unlet's scratch your
head. I'll talk to you.Have to break about that one, all
right. This is a retirement planningshow. I'm Dave Copacerre with Nicholas doomas
a brand new, right out ofthe box, certified financial planner. We
were very proud of him at theRetirement Planning Group, his accomplishments. To

(14:18):
graduate of CIANDA Finance, what youget your degree in finance and economics.
You have major in finance and thena minor and economics. We're at CNA.
So this morning we're talking a littlebit about the markets because I don't
have to tell you is that thestocks have rallied sharply off the October low,
recouping probably pretty much of the twentysix percent decline between January and October.

(14:43):
The trends and jobless claims, laborhourly earnings can go through the whole
economic environment. But despite some mixedsignals near term, there's reasons for investors
to be optimistic. I've been talkingabout this for the last few weeks,
and this week, if you lookat the indussees, what we're starting to

(15:05):
see is the value NICO is starting. Value is starting. The Dow was
up two point one percent this week, It's still only up six point three
for the year. S and Pfive hundred was up about seventy bases points
eighteen percent, and the nasdeck soldoff a little bit. And that's where
I'm going to say, buyer bewhere some of these NAZDEC stocks, folks

(15:26):
are trading nosebleed territory. These peratios are on a historical base, So
I think you could see a littlebit of a sell off. You can
see some cash come out of techrotation. You probably will see that in
my opinion, where portfolio managers thatare tactical will probably go more towards value.

(15:46):
I think that's my gut. Yeah, and I don't disagree with you.
I mean, the technology is upto thirty six percent here to date,
again depending on the index or thefun that you're invested in. So
it's been on a but on ahot streak, and usually that's the time
to start shifting some assets around,capture your gains, and move into a
more favorable area where you can spendless for earnings. Dave talked about pees

(16:11):
price they're earning, so it's whatyou're willing to spend for every dollar the
company earns, so higher pees.If they're training around seventy eighty price their
earnings, that's pretty high. Youwant to stay lower and make sure that
you're you're actually speaking to a financialadvisor about what you're invested in and what
makes the most sense for your portfolio. We also, I know that we

(16:37):
did the triple Qus this year,and we've been invested in the triple ques
four years, but why am Ibringing it up? If you invested in
the triple ques, you're to date, you're up well over forty percent just

(16:57):
in that one position. Yeah,it's had a great run, the triple
queues. We've been around it forquite a few years now, so but
yeah, I mean there's other areasin the market too. Right now,
if you want to be more sectorfocused, we've been looking at financials,
energy, healthcare. You can reallydiversify your money through these different areas.

(17:19):
Will also just targeting long term growthin case one of these pops off and
the others kind of stay consistent.You want to make sure you have exposure
to the different areas. I'm abig fan of m I do like where
fixed incomes trading right now. Yes, the Feds meeting next week, and
also interest rates are in a risingtype of environment. You start looking at
some of these longer duration holding soso longer, maybe eight to ten year

(17:45):
duration on these these funds, thesethese single individual positions. They might be
trained around seventy five eighty dollars,so you can get some some real pop
over the next five, six,seven years. We had the into a
presentation I can't remember who it was, and they said that the sweet spot
right now is in corporates, corporateside, yield, investment grade and high

(18:07):
yield, and you can't find alpha, and you know the you know,
depending on the next six to twelveeighteen months, you should really see if
you're early competitive rate of return asfar as total return with fixed income,
where we haven't seen that for quitesome time because of the declining interest rates.
But the triple q's is up fortytwo just that one position, you

(18:32):
know that we haven't in our portfolio'striple Q. But like anything else,
you can't allocate too much to anyone position. I think you're going to
start seeing people take some of themoney off the table and repositioning it,
especially as we get towards the endof the summer. I can't believe it.
Next week, next week is alreadyAugust first. I mean we're gonna

(18:53):
blink our eyes and we're through.Yeah, you know, it's just summer
goes by so quick here especially,it's such a horrible July as far as
rain, one of the worst amountof rainfall that we've had. Next thing,
you know, it would be theChristmas party. Jim say, we're
gonna have three hundred and fifty peoplethis year. I have to bring them
in by helicopter. Where you parking, Well, we're gonna park over by

(19:17):
Saratoga Lake. All right, I'llbring the chopper over, he says.
We got to have to have itat the Civic Center. Really, yeah,
because we've got so many people thatwant to come. We haven't had
it for about three years now.The Civic Center. They've got a little
side rooms up there. And lookat the wholesalers. Get all the wholesalers
to show up. They can flipme a check. I don't know.

(19:37):
I don't know. We'll see allright. Uh. One other thing that
I wanted to talk a little bitabout, and I think it's important.
Uh, this is the time ofthe year. You know that we're all
out doing our vacationing, and nextthing you'll know that the kids will be
back to school. It's also agood time for you to call your financial
team and have a chat with them. For the last four months of the

(20:00):
year September, October, November,December, get in the schedule. I
know that we're extremely booked out asfar as our clients coming in to have
visits with us, but I thinkit's a good time for you to see
see where you are. You're todate. How do you think we handled
so far two thousand and twenty threeas far as just our overall portfolios,

(20:21):
and maybe we've done well. Yeah, I mean we're solving our clients needs.
I just met with a gentleman onThursday. It was Thursday, and
we're up four percent for the quarter. Ye and he said he's completely happy
with that. And you're looking atif we keep doing that sixteen for the
year. I mean, that's agreat return. Again, that's not guaranteed

(20:44):
in any way. Well, thebig thing for us is that we have
so many of our clients to takeincome off their portfolios, which you're going
to talk a little bit about inthe next half hour as far as retirement
income distribution in some investment options andthings to consider. But when you take
dividends off the portfolio, if you'regetting capital appreciation. That's kind of a
you know, we had one clientthe called that you talked to this week,

(21:07):
and he's down in Florida and hehas a home up here on the
on the Great Lakes and he's newto the new to the platform. He
just needs to realize is that youknow, he's taking like six percent off
the portfolio, right yea. Ifhe's taking six percent off the portfolio,
his net return, you know,he's got to get some capital appreciation to

(21:29):
see plus you know, plus plusin the portfolio. As far as the
dollars growing, yeah, I meanthere's a lot of folks out there taking
four or five six percent and theyexpect the portfolio to be up with the
market. Yeah. They don't accountfor the distributions that we're sending off the
account either. We've been doing alot more of earnings. So just take
the earnings off the portfolio right now. You can do that and it could

(21:52):
solve your income needs if we canget maybe four and a half five and
a half percent depending on what we'rein. Best thing, and I mean
you can also target growth. Soif you get six seven percent yield off
the fixed income side, then yougot some growth funds that are maybe kicking
off two because they're more geared towardsgrowth. Right, then you probably average
out somewhere around four and a halffive percent in the portfolio. Again depending

(22:15):
on the waiting, but it dependson what you're taking and if we're just
doing the earnings, and I thinkit gives a portfolio a lot more chance
to grow over the long term.I was watching Maria Bartomo the other day
and she had a portfolio manage aroundone of the large investment banking firms,
and they basically did a highlight ofwhat this guy's prediction was in January,

(22:37):
and he wasn't even close to whathas transpired here. There's a lot of
portfolio managers, there's a lot ofpeople out there that are very kind of
taken back, especially with technology.How much technology is roared here. You
got some individual stocks are up almostone hundred percent year to date, just
kind of crazy as far as whatthe net returns have been. So if

(23:00):
you've been in technology, you're probablydancing in the street, you know.
I'm kind of in the camp thatwhen certain sectors get kicked in the teeth,
which I think we've been right I'vebeen we've been talking about XLF financials
and financials. I had a unbelievablerun the last couple of weeks. So,

(23:21):
but we're gonna talk about retirement incomedistribution. We're gonna talk about whatever
you want to discuss. We arelive, we're here in the studio.
We would love to hear from you. Our telephone number is one eight hundred.
Talk to w g Y one eighthundred, talk to WGY. We
offer a complimentary consultation in any ofour offices Oneanna, Aubany, Malta and

(23:41):
Glens Falls. Give us a callfive win eight five eight zero one nine
one nine five one eight five eightzero one nine one nine or RPG retire
on the web. You've got moretime. You've taken more time off before
the rest this summer, and Idon't think I have anything. No,
um, I took my week.Did you last week? Did you?

(24:03):
I was studying. Oh that doesn'tfin that doesn't come. All right,
listen, we're gonna be right backafter the news. We'll see on the
other side. I look at whatyou wanted to be, she said,
Baby, can't you see I wantto be fabos stall the scream. But

(24:27):
you can do something in between.Baby, you can drive my car.
Yes, I'm gonna be a song. Baby, you can tie my Callaby,
I love you. I told thatgirl that my prospects we're doing.

(24:52):
She said, baby, and understood. Where give a peanut. It's all
very fine, all right, verytalented people. This is a retirement planning

(25:22):
show. I'm Dave Kopeck. I'mhere with Nicholas Dumas Nico. Again,
we applaud Nico. He finished,the CFP is now a certified financial planner.
It's an unbelievable accomplishment. And wetip our hat and we congratulate them.
So we're gonna be talking a littlebit about the markets and where we

(25:42):
stand year to date. Of course, Uh, the labor marker remains in
great shape if you look at iton a historical basis, there's early signals
that some softness sum is emerging.Initial jobs claim are, in our view,

(26:03):
a fairly credible leading indicator. Andyou want to trends in jobless claims,
labor turnover and hourly earnings, andour estimates are signaling some fatigue,
which the Fed wants. And Isaid, the last couple of weeks,

(26:23):
it looks like they might be ableto land the ship a soft landing,
which a lot of people were concernedabout as far as how much destruction they
were going to do to the economy. And as I said, long term
rates, the tenure treasury yield.If you look at treasuries right now,

(26:47):
it's basically saying that the Fed isdone that. You know, they're probably
going to go another twenty five basispoints and they're gonna pause for a while.
So we're actually pretty bullish on thelater part of two thousand and twenty
three leadership the market. As Isaid, technology, as some of the

(27:17):
PE ratios are at nosebleed territory,and you know we're coming into earning season.
Banks have fared well. Corporate earningsare a powerful driver of the overall
markets direction. Earning season is goingto be going into high gear this week.

(27:38):
So there's two things that I thinkthat are very positive for the market.
We're approaching the end of rate hikesalong with some relief on the expense
front because the cost of goods andservices are going down a little bit,
so that bolsters what the E andPE, which ultimate means more earnings means

(28:00):
more capital appreciation of the stock soI think we're fairly bullish for the second
half of two and twenty three.On the value side, I think,
yeah, increased interest rates. Imean, what is the FED doing right
now? They're implementing higher interest rates, and what does that mean? That

(28:21):
means more contractionary type of movements forgrowth companies, for small cap I like
large cap value right now, Ithink it makes a lot of sense to
put some dollars in an area wherecompanies have strong balance sheets. Right now,
they have a lot of cash onhand, not too much debt.
It's gonna be expensive, expensive tomanage that debt moving forward in a high

(28:47):
interest rate environment. We see homeequities right now. I mean, if
you look at people taking out homeequity line of credits or they have one
that's variable, it's up to ninemaybe ten percent, depending So taking on
loans of difficult for the individual investoris also happening on the corporate side.
So you need to to to thinkabout where your dollars are allocated, and

(29:07):
if you haven't, we can alsodo that for you. We do portfolio
evaluations help people with their four ownk's, their individual retirement accounts, their
high raise. So feel free togive us a call on that. Yeah,
the big thing too. I meanI just looked at the rates Nikom
right now, the three month isat five forty, the six month is

(29:30):
at five. This is treasury yields, folks. The six month is at
five forty five, the twelve monthis at five twenty eight. And if
you look at the two years,we're at four eighty four and the ten
years at three eighty three. Sowe did get a little bit of a
bump with the anticipation that the Fedis going to increase twenty five basis points.

(29:51):
But you know, if you canget a two year piece of paper
or a twelve month piece of paper, you can blend it. You get
five percent a triple a paper intothe portfolio. Then negat about treasuries is
you don't get dividend. Yeah,you got to hold them to maturity because
they traded a discount. So ifyou need yield off the portfolio, I
mean, treasuries are a good,you know, ballast in order to have

(30:12):
capital preservation. But if you're lookingfor income, we're in the camp that
you're better off using an actively managedportfolio with a professional money manager to give
you that coupon because they do.The ones that are very good at it
earn their money. I mean wecould dollar cross the average into income.
And some of these zero coupon someof these tea bills have some maturing every

(30:36):
quarter monthly. I mean, whateveryou want to do, you could buy
a three month, a six month, a nine month, and a one
year, and then as the threemonth comes to maturity, you keep buying
a one year, and then onceyou get past that first year, you'll
have earnings coming in every quarter offthese treasury bills once they hit maturity.
So well, here's the thing thatconcerns me. You know, GDP seventy

(31:00):
percent, you and I seventy percentof GDPs, you and I consumption of
goods and services and what's happening,which is a great matter of fact.
I talked to Droello about this nottoo long ago, because he's seeing a
lot more people. We're close toone trillion dollars in credit card debt.

(31:21):
Yeah, one trillion. That meansthat there are people out there that are
paying these crazy rates. Twenty Ithink the average they say right now for
some of these credit cards is almosttwenty one percent twenty point nine two.
Okay, for annualized rate to putmoney on a credit card. Please,
folks don't do that. So that'swhy you're seeing a lot of this refinding.

(31:44):
Even at eight or nine percent,it still makes sense for them to
do it to get rid of thatcredit card debt. Yeah, I could
see that. I mean, yougo for the lower rate, so you
take on a home mac when youpay off your credit cards. You do
what you gotta do to try tosave money in the long run. There's
also options. I mean for folksout there, if you want to transfer
credit card, they do maybe twentytwenty two months, zero zero percent interest.

(32:07):
You've got some time to pay thatdown instead of it continuing to accumulate
on top of itself. So there'sways to get out. So I don't
think you're you're stuck in a hole. Um, we can help you.
There's debt management strategies. You targethigher interest paying credit cards and then kind

(32:28):
of go down the list once youkeep paying those off. But some great
people from down the Coble School areaCoble School you, Cobal School area that
are big Dave Ramsey's fans. AndI'm a Dave Ramsey fan. I believe
Dave Ramsey has a great, greatmessage, you know, greens and beans,
don't extend yourself too far, youknow own but you want, you
know, don't put it out therethat you're you know, driving the BMW

(32:51):
in the big house and you're bitingyour fingernails every month in order to pay
the bills. But you know,we're a society that loves debt. Where
you were at seventeen trillion dollars rightnow, I just said, we've got
about a trillion in college loans onepoint five trillion and auto loans, one
point six trillion in student debt anda lot of money. When he added

(33:14):
it all up, it's seventeen trilliondollars of obligations that are currently out there
that we have to pay for.Yeah, it's it's unsettling. I mean,
that's a lot of debt. Umyou talk about student debt college savings,
there's a lot on that on theCFP preparation course. As far as

(33:35):
starting to save um, there's somesome benefits that I could talk to you
about if you are someone with achild who's maybe three, four or five
years old to start playing. Letme ask you a question, you big
believer, Now in the five twentynine. I'm I've shifted from upma's more
towards five twenty nins now since theCFP. Yeah, I think it makes

(33:58):
a lot more sense because the upwas they get included when you start looking
at FASTVA right, and the studentsassets which are they take twenty percent of
that into account where his parents arefive point six. Okay, so five
twenty nine you're considered parents. I'mmore of a believer of sending it up
for the grandparent to fund the fivetwenty nine because grandparents' assets are well.

(34:20):
If you remember Frank, Frank Lainecame in and he talked about the irrevocable
trust. When his two daughters weregoing to college, him and his wife,
he had some health issues and hewas battling you know, some health
health things. Yeah, so hedid an irrevocable trust with all of his
assets, his home equity and allthat into the irrevocable trust day one,
dollar one. Even though they controlledthe assets, you know, the kids
act as the trustees. It's excluded. It's excluded. It does it's like

(34:45):
it doesn't exist. So he gotlike a windfall of scholarship and grants and
aid because simply by doing the irrevocabletrust, all those assets evaporated, but
he still had access to him inorder to facilitate what he wanted to do
for the kids. Yeah, Imean one of the cons of a five
to twenty nine if you do setit up for a grandparent to fund it

(35:07):
as the custodianum, that's something that'seligible for for Medicaid to come after if
if something happened to you. Ohreally, because that's an asset in the
grandparents possession, so they could comeafter those dollars. And I've had those
conversations with clients. But for thefive twenty nine, do you get the
tax benefits and if you use itfor qualified educational expenses you get tax benefits

(35:30):
on the distributions as well. Butin the past, with grandparently held five
twenty nine plans, if you sentdistributions or you put dollars into that for
a child to be regarded the child'sincome, and then there'd be a fifty
percent inclusion because that's considered the child'sincome, and it's fifty percent is included

(35:52):
when it comes to fast for filing, So you had to be careful.
But that's no longer the case.Now um, those laws or those however
it was registered was was changed.So uh, I learned a lot about
college funding. That was a thatwas a big thing in the CFP UM
just some other they taken into accountthe e f C so the UH or

(36:15):
the f the family contribution, theexpected family contribution EFC, so that's what
they're looking at, e f ces, expected to expected FIELM A g E.
I've got mumble brains more uh,but now it's a uh. Yeah,

(36:44):
I was in I was in acave for a week, and it's
it's hard talking today. I wastalking to my dad the day before the
exam. I went and just shotbasketball for twenty minutes to get out of
the out of the apartment, andI was like, I've got tunnel vision,
right. Why I told you WhenI took my Series seven exam,
I literally went away for a monthbecause the company that I was working for

(37:06):
is if you passed the exam,you had a seat. If you didn't
pass the exam, you're down theroad. So I couldn't afford to be
down the road, so I literallylocked myself in a cave for like thirty
days in order to pass the exam. And when I you know, back
in those days, you didn't hita button. You didn't hit a button.
Actually, I was in a lowerManhattan in a school and they gave

(37:30):
us the exam and then he handedin and it takes you, like I
don't know, a week to getthe answer. It's around pins and needles.
So would you take it on atypewriter? No, I took it.
I took it. I took it. I actually took it on paper,
pen and paper, you know,number two pencil, Yeah, number

(37:50):
two pencil to give you like sureor four of them a little you know
a little pad of paper and stuff. Now everything's with technology. But you
know, when I found out thatI had passed it, I actually got
an eighty seven on it, whichI was shocked. I was actually shocked.
But the thing is is that Itook I don't know how many practice
exams just over and over and overand over and over, and I just
I just refused, refused to lose. Yeah, refuse to get beat.

(38:15):
So but um, let's talk alittle bit more about the You got some
topics that you want to discuss today, Nico. Um, Yeah, there
was so I wanted to kind ofgo through the CFP curriculum UM with what
they kind of focused on and ethicswas a huge piece, but also the
general planning piece on h what what'sinvolved in structuring a total plan for a

(38:40):
client. It's not just a clientcomes in, I've got this IRA account,
manage it for me. It's whatare you having your current for one
K? What are you current currentlycontributing? What do you have as far
as protection, risk management strategies?UM isn't isn't it more holistic? It's
very holistic. UM the approach.You need to account for everything that's going

(39:00):
on. These questions that they askyou. They give you a client situation
and they tell you a thousand differentvariables and maybe half of them you don't
need to take into account for thatquestion, but they're giving you everything.
There's a case study you go through. You go through a balance sheet for
a client and income statement, cashflow, what they've got coming in,
what they've got going out, andwhat they have. As far as protection,

(39:22):
there's umbrella policies. You need toknow ins and outs of that and
when that comes into effect, anda client's plan their liability coverage. So
there's a lot to go through ina plan. It's not just picking the
triple ques or one of these ETFsin the market that you want to invest
in. You need to take intoaccount the full plan. So the big
thing was learning and understanding the clientsituation. You need to understand before you

(39:47):
implement, before you start figuring outa plan, what they're doing now versus
different courses or different pathways down thefuture for these clients. So I think
understanding is a huge piece of therelationship and hearing. If you go to
an advisor that just tells you youneed to do this and you need to

(40:08):
do that, I think that's notan appropriate approach. I'm more of a
listener. I try to listen andunderstand what's going on, and then you
need to figure out their goals andobjectives and how we're going to reach those
goals and objectives. So, well, what's the word that we hear all
the time, which I think isa to me, it's a marketing ploy

(40:28):
because I think you and I bothknow that this is a business that is
very scrutinized by our compliance department.Well, a matter of fact, this
week we just had a meaning thatevery week now, for one hour we've
carved off one hour just for compliancein our office to make sure that we're
doing the right thing and dot inour eyes and crossing our teas. But

(40:49):
I think one of the biggest thingsthat I see that I find as a
marketing piece, I'm Dave Kopek,and I I'm a fiduciary. Yeah,
I'm Nicholas Dumas. You know I'ma fiduciary. I mean, we're all
fiduciaries. We have to act inour client's best interests. Whether you work

(41:10):
for X Y Z one of themajor investment banking firms, whether it's Morgan
Stanley, Merrill Lynch, go throughthe whole laundry list. Those guys are
just not you know, trading people'saccount because they're trying to make money.
You have to you have to actin a way that is the client comes
first, Yeah, not you oryour pocketbook or any and you know,

(41:30):
you see the paperwork. I hadBob Vandy on about a month or so
ago from Insurance Broker Advisors, andhe was saying, is that you know
these new laws that are in effectthat basically protect the client or not only
on the investment side, but they'realso on the insurance side. Yeah,
there's a there's a bunch of lawsand regulations, and especially with the CFP

(41:50):
board, I mean they go throughthe there's the duty of care, the
duty of loyalty, the duty ofdiligence, the duty of whatever you want
to say, right, there's amillion different duties that you need to apply
by and you need to stand byfor your client, need to make sure
that you disclose any information that mightbe material. You need to make sure
that you keep your client in theloop. And we do that continuously at

(42:13):
the Retirement Planning Group. And againwe live by always do the right thing
and ad tr T brother and typicallyif you live by that rule, you
are complying, you're doing the rightthings. You're you're living by correct ethics.
And that's a huge thing when itcomes to choosing a financial advisor to
to be your partner in this thingwe called life. So I know that

(42:36):
there's a section in the CFP thattalks about insurance products and how insurance fits
into an overall financial plan. Didyou find that that's really the foundation of
where you should start with your overallinvestment? I mean, you know,

(42:57):
do you have the protection in placethat I thumping should ever happen to either
you or your spouse during your accumulationyears and also your retirement years. I
think risk management was one of theprimary principles. And it's not only life
insurance. You're talking home insurance.We're going through homeowners policies HO one's HO
two is HOS THREEES renters, HOfours, h O six for condos.

(43:22):
What's covered under those plans? UM, you need to know what you have
as far as liability coverage on theproperty in case something happens. And then
UM also on the risk management side, when it comes to life insurance for
your for your partner, for yourspouse, for your family. UM.
There's different types of approaches capital needs, human life approach, capital retention.

(43:43):
You're going to keep that income streamthat was coming in prior to the to
the deceased, So you need toaccount for future income that this person would
provide, or what's that person's actualworth, What is the worth on his
or her head. UM, it'skind of more. You don't tell my
wife this one, but you needto figure it out. Julie turned the

(44:07):
radio down. There there's a dollaramount that's the value of that boy.
And if he's in that sade thatcasket. So yes, I think insurance
was a primary topic, and it'sone of the one of the pieces that
comes to the forefront when you're whenyou're designing a plan. I think the

(44:28):
bottom line it's simple. I mean, if you look at fiduciary meaning,
it's pretty simple in our business,and basically it gets down to is that
you are obligated. The financial advisoris obligated to work in the best interests
of their client. And that's whywhen I hear people say that that they

(44:51):
have a bias or don't do thisor don't do that because it's the wrong
thing for you to do that,that's not acting in a fiduciary capacity.
See, that's a bias, andthat's somebody that's already got, you know,
a giddy up or some kind ofpersonal situation that they don't think that
certain investments or products are suitable.You and I both know that insurance protection

(45:16):
is critical for individuals, not onlyduring the accumulation years, but also during
you know, I met with debI won't mention her last name. An
error. There's a perfect example ofthe state which I know that you want
to talk about some of the thingsthat state retirees need to think about the

(45:37):
big thing. I'll start with numberone. It's life insurance. Yeah,
because the state in New York givesyou a three time multiple of your salary,
and if you don't get to yourfinal destination for your pension benefit,
you don't get the pension, youget the life insurance. So if you're
making a hundred grand and you gota sixty thousand dollars a year pension benefit

(45:58):
right from the state, then you'regonna get three hundred thousand dollars. And
now you're gonna have to get twentypercent on that three hundred thousand to net
to net the sixty for the restof your life. Yeah, well it's
not realistic, right, unattainable.It's unattainab you're going to spend on the
assets. Yeah, take sixty thousanda year off three hundred. So you
need to evaluate that and make sureyou have enough coverage, whether it's a

(46:20):
term policy just to get you tothat pension, or you do something more
permanent that you want to last forthe maybe the next generation. But again,
that pension's one of your greatest benefits, but it could also be one
of your greatest liabilities if you don'tmake it to that finish line. Well,
I made a big mistake. AndI always say this to people over
and over. I've told you this, I told JT this, I've told
everybody in our office. One ofthe things that I did that was a

(46:42):
big mistake is I never got enoughterm insurance for an extended period of time.
My insurance is going away this year. This year, my insurance is
going away. When Julie and Igot married, I got level term.
And I should have did it formore money, and I should have did
it all the way to eight seventyand I did do it. Unfortunate that
you know, we're in pretty goodshape that if something did happen to me,

(47:04):
she would be okay, but probablynot as good as she should be
if I had done the right thing. So costs you a million bucks to
renew that term? Yeah, itwould probably what it could cost me a
million to get a million colin.Ye old Grandpa, sign this up.
Grandpa. You could also do there'sdecreasing term, so you could decrease every

(47:27):
maybe five years. The term willdrop a little bit because you're you need
less coverage over the years most likely, So there's options for decreasing term coverage
too, and that's just not thefinancial advisor that acts in a fiduciary capacity
either. You know, you're talkingabout these things of what we need to
do in the insurance protections. Attorneys. A lot of attorneys act in a
fiduciary capacity in the manage of states. You know, I was quizzing Frank

(47:52):
the other day, you were yeah, because I did had the estate planning
section. Yeah, I was askingif you knew about FLPs and what did
you say? He did? Becauseit was a very it was. There's
a lot tested on family limited partnerships, and it's good. It's a great
way if you're a business owner,a big business owner, transferring the business

(48:13):
to the next generation the over yearsby giving them limited partnership shares, but
you still maintain control with the generalpartnership shares. But yeah, Frank,
he acts. Does he act ina fiduciary Yes, he does. Yes.
And the thing is is that youknow the fiduciary, you can give
them a lot of control over yourestate, over your estate should you pass

(48:37):
away. A lot of times you'llsee this with individuals trust fund babies right
where they get upset because of thefiduciary. Typically a bank or an attorney
is managing your assets based off ofthe powers of the trust, and they
said, you know, I don'twant a million a year, I want
two million a year. And thenthe thing is is that it also there's

(49:00):
sometimes there's terms to it and sometimesthere isn't where it's you know, for
indefinitely that they can manage these assetsuntil the child passes away. But we've
got a situation in the world todaywhere you've got a lot of drug addiction,
you have children that have special needs. You know this you're dealing with
in your own family. And thething is is that you have to start

(49:23):
thinking long term, something does happento me, what happens to that child
or that loved one or a sisteror a brother, and who's going to
step up? And typically you haveto bring someone in to act in a
fiduciary capacity, yeah, to makesure that the assets are managed appropriately and
the incomes being distributed to whoever isin need or whoever the beneficiary on that

(49:45):
trust is. So you need tomake sure you have somebody that's that's there
and understands the trust and understands yourwishes. The last thing you want to
do is set of the estate intest eight, So what does that mean?
That means you don't have any theselegal documents set up, You don't
have a will, power of attorney, healthcare proxy, trust beneficiaries on your

(50:07):
accounts. And what happens then thenthe state decides how your assets are going
to be distributed. And do youwant your estate in the hands of New
York State? I would say no, personally, absolutely. This can also
cost can also cost a lot oftime, a lot of money, a
lot of resources, and it's publicinformation at that point if you leave it

(50:29):
for the state to decide. So, if you want privacy, you want
to save money, I would say, you start cleaning up your state,
you start talking about your state plan, you start communicating with that, you
start communicating with an attorney about thator with us, and we can start
the process and get you to theright place. Yeah, I think it's
important that you have all the teammembers, all the team members at the

(50:52):
table. That's why you know,a lot of times in this world that
we live in, it's great ifyou've accumulated quite a bit of money.
Problem we see and we're going todiscuss it a little bit. We're going
to discuss there's so many people thatcome into our office that are top heavy.
They have way too much money oftheir net worth and qualified assets four

(51:13):
on one k's iras, etc.And that becomes extremely burdensome as you age,
simply because of R and D andird income and respected the decedent and
income tax liability. So when wecome back, we're gonna talk a little
bit about that. But we're herelive. Give us a call Winny one
hundred talk WGY. We'll see onthe other side of the news. Yeah,

(51:36):
Welcome to the Retirement Planning Show withhost Dave Kopak. In the financial
service as a business for over thirtyfive years. Their Retirement Planning Group LLLC
is a registered investment advisor. DavidM. Kopac is also a registered representative
of perish Kaplan Sterling Investments Incorporated PKSin their separate capacities. A registered representative

(51:57):
of PKS, David M. Copackmay recommend the plementation of securities through pks
instead of Retirement Planning Group l ELSE. Pirst Capital and Sterling Investments in Retirement
Planning Group l ELSE are not affiliatedcompanies now It's time for the Retirement Planning
Show on w g Y. It'sgot too I used to get mad at

(52:23):
my school. Teaches a jop meone good, holding me down, n
fill me up with your rooms allright? Hello, Hollo. David Kopeck

(52:50):
here with Nicholas Dumas. Nicholas isa financial planner with the Retirement Planning Group,
and he is now right out ofthe wrapper, brand new certified.
Nope, nope, nope no,what are you? I have passed I
preliminary passed, the preliminary pass thisCFP exam. That's right. So soon

(53:14):
soon we're gonna be able to doa monument on the eighty seven North.
You'll see a big statue Nicholas.We got to. We want to congratulate
them and tell them how wonderful itis that he now has that behind him
and he can fly now. Sohow you doing their Nico? I feel
light? Yeah, you feel good, don't you? Later you'll feel a

(53:37):
lot better. What you're on bythat boat on Lake George. Not going
on a boat. You're not goingon a boat. Can go hang out
up there? Yeah, it's anice day. I hang out with some
friends, have a have a beer, beautiful Listen, We're gonna talk about
retirement income distribution, and we're goingto talk about how daunting how you can
make your own retirement income plant,especially in this environment right now, because

(54:00):
you have many more options than youhad over the last three, four,
five, six years because of thesehigher interest rates, and of course everyone's
situation is unique. In retirement incomestrategies should embody such differences, right,
You know, what I want isnot necessarily the same thing that my wife
or my buddy here Niko would want. But there's basic general principles that we

(54:24):
use at the Retirement Planning Group inorder to facilitate income income for life.
And I think the first one,Niko, that we want to talk about
is baseline income. Yeah, Ithink that's the most important thing. And
why that's so important. I mean, once you're exiting the workforce, you're

(54:45):
not going to have that paycheck comingin and how do you solve for that?
And we do a lot of incomeplanning at Retirement Planning Group. Typically,
you want to start planning well beforeyour retirement, those years that Dave
likes called the red zone maybe threeto five I think maybe even longer than
that three to five years, maybesix to seven years. Start planning,

(55:05):
especially if you're over fifty nine anda half, you have the ability to
do it an in service distribution withyour four oh one K take a percentage
of that and while you're still workingand roll it into a self directed IRA
account. You can start managing itin a way to start creating cash and
cash flow within the account so thatwhen you do retire, that next paychecks
coming in right away. I neverthought until over the last few years,

(55:30):
with these lower interest rates, howcritical and how important point of entry was.
Yeah, you know, when Iactually pull the plug and I walk
out of my office and I nolonger in receiving a check from my employer,
and now I'm going to have totake the money that I've accumulated in
my investments. What my selection isfor still security. If I'm fortunate enough

(55:52):
to have a pension, which mostof us don't, you know, how
will I cover the cost of myquality of life? And what approach should
I use? Because everybody's got adifferent way in order to manage assets.
But the thing is is that whatapproach is good for you? When can
you stay the course? And Ithink that's the big thing Can I stay

(56:13):
the course? Yeah, I meantypically once you do into retirement, you're
gonna spend maybe seventy eighty percent ofpreretirement expenses on expenses. So a lot
of folks I see, they kindof have the plan, I'm gonna work
till sixty two and then I'm gonnastart taking Social Security. So I mean,
yes, I mean that could workfor some folks, But you want

(56:37):
to have an understanding of what youhave accumulated during during your working years.
What do you have as far asa four one? Kay? Can you
retire earlier than sixty two? Dowe want to delay Social Security? Because
if you take at sixty two,maybe you're a full retirement age just sixty
seven. If you take at sixtyfour, that's eighty percent of your benefit
that you're gonna be receiving the threeyears prior to sixty seven. So thinking

(57:01):
about future income streams and what youhave as far as assets currently, that's
going to account for when you makethose decisions when you turn on Social Security,
when you start taking distributions off yourIRA versus your roth IRA, whether
you're going to utilize an annuity.One of the biggest risks in retirement one
of the biggest liabilities is longevity.People live long, and you want to

(57:22):
account for that longevity so that youdon't run out of eggs, you don't
run out of I don't know whatyou want to call it, but butter
chicken, a little bit of tuna, fish to napo, a little mayonnaise.
You want to make sure you caneat keep eating those turkey sandwiches.

(57:45):
So yeah, it's critical. Imean, the thing is is that I
mean, we chuckle about it,but the bottom line is is that you
know, for a lot of people, the last couple of years, especially
the year two thousand and twenty two, was not fun. You know,
when you see, you know,your your portfolio go down. On the
average, I would say most ofthe people that we see the portfolios went

(58:06):
down about twenty percent. Would youagree, yeah, I would say twenty
Yeah, some even you know,accelerated that. I mean, we're moving
on up. And you know theproblem is is that a lot of people
have sat in cash that did notreallocate it or trying to time the market.
And there's trillions of dollars in thecash money market account right now,
and I think that's probably one ofthe worst things you can do because not

(58:30):
only do you have to be investmentsmart, you have to be tax smart,
and you also have to make sureyou've approached it the proper way on
the front end. On the frontend, because you don't want to sell
assets. You don't want to sellassets when the market is down. Yeah,
and I want to kind of discussefficiency. I don't want to get

(58:52):
two into the weeds, but youwant to make sure your portfolios efficient.
If you're someone that thinks you canmanage your own assets and just dump your
money into different mutual funds that youheard were good from a friend, or
you just like this specific company,so you invest in that specific company's mutual
funds. There's ways to see howefficient those funds are, so you can

(59:13):
measure the performance relative to the riskthat you're taking. So if you could
find something with lower risk that offersthe same return, why wouldn't you do
that or the same expected return?Why wouldn't you put your assets into something
less risky to capture that? Soour squared I'm not going to get into
it, but that's just one wayof measuring systematic risk and what's going on

(59:36):
in your portfolio. Well, letme ask you a question. Okay,
you've been now with the retirement plana group. This is what you're six
year yep six almost seven almost sevenyears. So as far as retirement income
distribution funding it during your retirement yours, how STRATEGU do you have to be?

(01:00:01):
I think on the income side,I think you need to be a
little more tactical because interest rates change. The type of fixed income you're in
there might become more attractable yields withdifferent companies. So I think the fixed
income side, I'm becoming more ofa believer you need to be more tactical

(01:00:22):
on that side. On the equity, the stock side, some of the
younger folks ETFs might make sense morepassive type of management on the long term,
but for folks in their retirement years, you do need to be a
little bit more strategic. I thinkbecause they need their their portfolios for the
rest of their lives. You can'ttake on too much risk for too long
a duration. If you get agood run, there might be an unbalanced

(01:00:45):
in the account, so you needto restructure, you need to rebalance.
So I'm a big I think youdo need to be tactical, but to
a certain extent. Well, I'mgonna go back to what I say consistently
baseline income and at the Retirement Plentygroup, we basically generally recommend that covering,

(01:01:05):
covering the essentials with predictable sources ofincome, your soul security, your
pension that I talked about, theannuities that we recommend, interest income from
fixed income right now, latter bondportfolios. Uh, you know, corporate
bonds are giving you a coupon himanywhere from six to eight percent right now.
Uh, these these are dancing inthe street yields that we haven't seen

(01:01:30):
in years, you know, asfar as the yield you can kick off
a portfolio. So when people say, you know, I can get you
five percent guaranteed, which we canright now five percent guaranteed. Uh,
if you said that a year ago, two years ago, people would be
you know, they'd be standing ina line just like Chick fil a.
You know, they'd be two mileslong for the five percent CD for Dave's,

(01:01:52):
Yeah, Dave's d Dave's Chicken sandrentists. We're going to cover it all
of CDs, CDs, treasury baility, Treasury bills, and then we're gonna
wrap it up and I've Ben Franklin. Lot folks are they're they're happy with
with five percent um. They likeguarantees, they like there's multi year guaranteed

(01:02:13):
annuity contracts. You can get agig um there's a three to five seven
year and you can take the interestoff of it each year um, which
is different from like a T billor something like that, one of those
zero coupon discount type of securities.So, uh, there's options. There's
options for everybody out there. Itjust depends on who you are, what's
your risk tolerance, what your whatyour objectives are, what your goals are,

(01:02:37):
and how we're going to accomplish thosegoals. Um. The main thing
is seeing where you're at now,what you've done to this point, and
what alternatives might create a better chanceof success. So, well, we're
not gonna well that's that's you justsaid something. That's a key word right
there, because there's a lot ofpeople that have allocated some of their money
into these alternative investments without truly understandingthe dynamics of them and as far as

(01:03:04):
their ability to get out of them, and some of these alternative investments you
can't get out of them. Theportfolio manager basically controls the entry and the
exit. And the thing is isthat for some individuals that either need some
of that corpus or principle, theymight not be happy because the portfolio manager

(01:03:24):
might be saying, I don't thinkit's an opportune time right now in order
for us to liquidate for our shareholders. Right, who is the investor that
wants to get out? Yeah,I mean the control is in the partner's
hand, so whatever they deem isappropriate for the fund. I mean,
you're kind of you just have togo with whatever they say. There are

(01:03:46):
shareholder meetings and you can do votesand try to liquidate. But a lot
of these partnerships, they might beinvolved in an oil or an equipment and
you have to go through selling thoseequipments, so it might take some time.
Alternate investments were a huge thing lastyear. His interest rates are so
low at the beginning of the year, you didn't get anything unfixed income.
So whe're gonna go and a lotof these individuals, we're going to alternative

(01:04:09):
investments reets to try to try toget some form of some form of a
yield. And I'll tell you whatsome of those roots, right, now
are really having a hard time becausecommercial commercial property. You'd see it right
here in our own backyard. Imean with the mall here in Albany.
Yeah, you know, they're youknow, basically having a hard time making

(01:04:29):
their payments. Who's going to ownit? Yeah? I was gonna say,
didn't he didn't? I think heforeclosed there? Yeah they did foreclosed,
Yeah they did. So the thingis is that you know, if
you've got to read, you know, everybody says, you know, in
a in an interest rate environment whereyou need coupon, you need yield.
A lot of people were you know, pushing people to real estate investment trust

(01:04:50):
and right now some of these reatsare in deep weeds. I mean I've
been in office buildings here in theCapital of Disagreegion for fifty percent of the
building is all empty. You know, we live in a society today with
technology, probably what ninety percent ofour meetings right now are in zoom?
Would you say, I'm zoom?Yeah, when we have to talk to

(01:05:10):
wholesalers that we got to talk.I mean the conference calls that I've had
with Fidelity, most clients are faceto face, but yeah, yeah,
with wholesalers, and we deal withfidelity all the time. That's that's all
through the zoom. Yeah, everytime we meet with those guys. It's
not I mean occasion that they'll cometo the office, but ninety percent of
the time the meetings that I've had, Yeah, it's with technology. So
what does that mean? What isit's going to mean to the real estate

(01:05:32):
market? So just buy or bewhere you know. I am a big
believer. Don't get into anything thatyou can't get out of. Yeah,
because I've been involved in investments thatstarted off great when I was first in
this business and they were given thecoupon that they suggested. I was in

(01:05:55):
oil and gas programs. I wasin real estate deals, equipment leasing deal
Some of them worked out and someof them didn't. But I am a
big believer after forty one years ofdoing this. Buy something that you control
your destiny and liquidity. Don't buysomething that you don't have an exit.
Yeah. I'm more of a driverin a car. I like having my

(01:06:16):
hands on the wheel rather than apassenger. I saw the video you showed
me, you sent me the video. Yeah, the Chevelle, the Velle,
But yeah, I mean cross gateswould be a nice office space.
David, I don't know not atall. Put a big chick folil there.
I'll tell you what they could wraparound it around up thousand times.

(01:06:36):
Alright, Cross Gates is now achick la. We need a waffle house.
We need a waffle house over there. All right, we're gonna take
a break. We gotta take abreak. We got we gotta pay some
bills here, so we're gonna beback after this quick break. We're talking
about retirement income distribution. We're talkingabout the new landscape that we're in with
the higher coupons, the higher interestrates. If we can be of assistance

(01:06:59):
to you of four offices Oneana Albany, Multi Glens Falls, give us a
call of five one eight five eightzero one nine one nine five one eight
five eight zero one nine one nineor RPG retire on the web the eighty
six percenters. Do you know thateighty six percent of the population has no
defined benefit pension plan? For mostof us, we have to take our
life savings and create a paycheck forthe rest of our lives in retirement.

(01:07:23):
What is your plan for retirement incomedistribution? How will you manage your assets
during the most critical years of yourlifetime. Nobel Prize winning economists William Sharpe
has called retirement income distribution the nastiest, hardest problem in finance. He points
out that investment, uncertainty, andmortality can derail the most careful laid out

(01:07:43):
retirement income plan. Call our officestoday to start the process of building your
retirement income distribution plan. After fortyone years of being in the financial services
business, you need to start takingaction to start building your own personal retirement
income distribution plan. How do youdo that? To take action? Five
one eight five eight zero one nineone nine. That's five one eight five

(01:08:03):
eight zero one nine one nine orRPG retire on the web. Don't procrastinate,
motivate to start building your retirement incomedistribution plan five one eight five eight
zero one nine one nine. Ifyou have any questions, please call in
now at one eight hundred eight twofive fifty nine forty nine. That's one
eight hundred talk WGY one eight hundredtalk w g Y. We are live

(01:08:27):
in studio to answer your questions.I need somebody, not just anybody,
you know, I need some longall right, we are back. We
are here to help you. DaveKalpack Nicholas Doumas. We are the retirement
Planning Group for locations Oneano, Albany, Malta, Glens Falls. You're concern

(01:08:53):
you're trying to build a retirement plan. We're here to help you facilitate the
plan. Big believers in a plan, not just by you know. I'm
going to retire in another few months. I'm going to start trying to figure
this out. You want to have, Like Niko said, three to five
years before you retire, you shouldbe talking with us more of the five

(01:09:14):
than the three to build out yourfuture retirement income distribution plan. Eighty six
percent of the population does not havea pension, so you're gonna have to
try to figure out all that moneyyou've accumulated in your lifetime plus soul security.
Plus if one of you do havea pension, which is extremely advantageous,
how do you set it up?When do you take it? One's

(01:09:36):
the best time to take your soulsecurity? On's the best time to take
the pension. I just found outwith Julie's pension. My wife, Yeah,
she has the option as she delaysit. The longer she delays it,
the mohere she gets with the schooldistrict. So we're trying to figure
that out right now. I actuallyhave to get into money. You guys

(01:10:00):
come in and see me E money, E money. I went to Lisa's
go ahead. I went to Lisa'sobvious. The other day, I go,
Lisa, you need to be myadvisor right now because I couldn't make
a decision on something. But itwas I got like a fifty dollars check
from an old four oh one k. Yeah that my old company I used
to work for. That's what youdecide to do? Yeah, yeah,

(01:10:24):
any gas? Any gas with mypickup the Uh, let's talk a little
bit about our software package, becauseI think it's really critical that people understand
Emney Echo and how it works andwhy it's beneficial for our prospective clients.
You know, it's it's not uncommonfor people to come in. They have
assets over in multiple locations, multipleI raise, multiple four o one ks,

(01:10:48):
They inherit money from parents, lovedones, they're in different locations.
You got annuities, you got inheritedI raise, you've got trust accounts.
E money kind of puts the wholepackage together. It does. It's a
it's a great one stop shop.We can put all your assets, whatever
you currently hold, into this emoney program, and it gives you a

(01:11:09):
screenshoto where you currently are and fromwould you say it's like a P and
L a profit and loss. Yeah, it's almost like you know exactly where
you stand as far as your obligationsversus your net worth. Yeah. Yeah,
it gives you a net worth.So it shows your your liabilities,
whether it's your mortgage, whether youhave whether you're one of those folks out
there with a good amount of creditcard debt. We're able to see all

(01:11:30):
the liabilities and uh, compare themagainst your assets. And then from there
we take it to the next level, and that's when we start looking at
an actual plan for retirement and tospend level. So we're able to show
you, based on your current assets, your retirement date in three or four
years, Um, this is whatyou're going to be expected to spend in
retirement. We're going to turn socialSecurity on it this age. This is

(01:11:51):
what your Social Security amounts project projectedto be. And then um, we
can also look at, like yousaid, if you inherit assets, if
you sell a property in a certainyear, we're able to incorporate that into
the plan and really start mapping outthe whole income phase of your retirement.
And then from there, that's whenwe take E money and we start looking

(01:12:14):
at the estate. This is whatyou're gonna have as far as assets at
retirement. Maybe it's one maybe it'stwo million dollars, and how they're titled,
and how you want to start lookingat the estate plan side of things
and making sure you got your tea'scrossed, your eyes dotted so that you
don't become one of those folks thatdies in testate. And then your assets

(01:12:34):
get divvied up based on what thestate says over years instead of days.
I like their marketing piece to seebring your financial picture to life with Fidelity
and E Money E Money Advisor andI only gives you a comprehensive picture of
your assets, liabilities, net worthand goals that also shows you how your

(01:12:55):
future decisions today affect your plans forthe future. Yeah. I also think
a decision not made is a decision. Yeah. Procrastination is easy, Yeah,
motivation is hard. You're not doingsomething, you're pretty much making a
no decision. Yeah. And thething is is that most people have a

(01:13:16):
tendency because their lives are busy.Everybody has certain things that they need to
do on a daily, weekly basis. Sometimes the most important things that need
to get done get put on theback burner because of your everyday life.
Yeah, you know, they seeit all the time. Folks get concerned
with the day to day. Theydon't think about the long term. Taking

(01:13:39):
a couple hours here or there toactually plan for their future and figure it
out might save you a couple ofyears of work or restructuring your portfolio.
Taking an hour to actually understand whatyou have in there that could save you
a lot of money in the longrun. So well, I know that
one thing that a lot of peoplehave always worry about, and we've been
talking about this in detail. We'reactually gonna have a special guests on that

(01:14:03):
Droela is going to facilitate for us. Is living your house, the structure
that you live in. You know. Yeah, I just said to Julie
last night, Michael has graduated fromShen David's moving to Tampa, right,
Chris has gone more than he's homeTampa. Yeah, David's gonna move to

(01:14:23):
Tampa. He's gonna go to Tampa. Nough, did you see MESSI he
played his first game. Did hefor Miami? He did? He scored?
He scored the game winner? Yeah, penalty kick? Did he really?
Upper left ninety? Did he really? I was watching it this morning.
I was up at like five.Yeah, yeah, I'm up.

(01:14:43):
I'm up that early every day.So Timmy ads like half the day is
going at five am. But theSo, how many people were there for
MESSI? Do you know, Zach, how many people were there for MESSI?
The stands were packed. You haveno idea, no a lot?
Yeah, well I they paid himan astronomical amount of money, didn't they
to come and play here? Yeah, that was one of the I think

(01:15:04):
it was one of the biggest dealsin MLS. MLS, that's true.
So a soccer is big, man. I'm not a big soccer guy.
I like soccer, but I gotto be in the mood for it.
It's like baseball. I like baseball, but how many people have three hours
to sit and watch a baseball game. That's why they sped it up.
It's like you with the clock,Like you, if you like playing golf,

(01:15:25):
play it now, because once youget married and you have kids,
it all goes away. I don'tknow. I don't know about it.
It all goes away. It's justhey, honey, I'm going out.
I'm gonna play golf for five hours. Like you know what you are get
over. Here's your list? Iinterrupted, where are you going with?
Here's your list? Okay, here'syour honey, jo, I'll give you

(01:15:47):
a golf bring it back. Youwere talking about the kids. Dave's going
to Tampa, Dave's Dave's leaving.He's gonna live in Florida. Uh,
Michael is going to Lemoyne College,so she'll be home for you know breaks.
And Christopher, of course is youknow, spends a lot of time
with his girlfriend, and that meansthat we're kind of like empty nesters pretty

(01:16:14):
pretty soon. Our house is abig, big, big, big house,
and you know, where you livehas a big impact on you know,
your finance and economics, taxes,upkeep, maintenance. My house is
twenty five years old. Guess whatit needs to recycle? Yeah, and
anytime you have a twenty five yearold house with two boys and a girl

(01:16:34):
that lived in it, and youknow, things need to get done.
So in the financial planning process,I think one of the things that people
put on the back burner is clarifyingyour housing goals. You know, we
talk about investment goals and the stateplanning goals, but housing plays very important.
I mean, my next door neighbormoved from half Moon Clifton Park.

(01:16:57):
He saved himself almost a thousand dollarsa month by leaving New York going to
the Carolinas as far as his costutility taxes, all that twelve thousand dollars
in your pocket, that's uh,that's by changing zip codes. There's a
big deal. It's a lot ofmoney. It's a lot of money.
See a lot of folks up heredownsize too. As they get older.

(01:17:17):
You might go from that two storyhouse to a to a ranch to um
just because he can't get upstairs anymore. Stuff like that. So the housing
is always changing as well, andit's something it's important to talk about.
So all right, we got abreak. We'll be back after the news.
We'll see on the other side.This is retirement ready. Gee?
Why mmmmmmm? Just the facts,man, Just the facts. You want

(01:17:44):
answers. I think I'm entitled.You want the truth. You can't handle
the truth. It's all the fugaziYou know what if you guys, he
is poo gazy. It's a fakegas for gazy. It's a WASI,
it's a woozy, it's a verydashes and exist. Show me the money,
I feel J show me the money, jaringbody. Else where's the peat?

(01:18:10):
Where's the Beatle? Except for therice in the church where a wedding
is being all right, we areback in the dream the Beatles. We're

(01:18:38):
talking about retirement income distribution. Andthe thing is is that we're we don't
talk a lot in detail sometimes aboutsoil security, how critical soul security is
a matter of fact for most ofus will be the only source of income

(01:18:58):
that is guaranteed for life, thathas a cola across the living adjustment.
And I know that Nico has somenumbers and some statistics on it that he
wants to go over with you.But this is huge, folks. Your
social security selection, say that's fastsocial security selection. Social security selection.

(01:19:19):
Five point five million people a yearstart receiving social security benefits. Almost six
million people a year are turning ontheir social security and is it the right
choice? Should you delay, shouldyou have taken earlier. It's a big
conversation. And like they was saying, there's a cost of living adjustment associated

(01:19:40):
with with it, which is great. So it's something that will increase over
the years relative to inflation. Butagain it's always it's a big decision if
you take early. Generally, ifyou take three years earlier, you're looking
at it an eighty percent benefit comparedto what your full retirement age benefit would
have been. So we take atsixty four, that'd b and then you're

(01:20:00):
looking even the last if you takea sixty two. I don't have the
exact math, but I know threeyears is I know. I'm still I'm
struggling in my head. I knowone thing for sure, Okay, a
lot of people are delaying taking theirsoul security because they're working longer. The

(01:20:21):
other thing is is that soul securityfor a lot of us will be critical
for wealth replacement for a surviving spouse. We live in a society today where
there's been sometimes two marriages, threemarriages. You can do selection on your
previous spouse if the marriage lasted forten years or longer. I don't even

(01:20:44):
know where it is. I hearmy phone, but I hear I apologize
folks that my phone is going off. Probably my cousin Eddie's looking for money.
He's the only guy that you'll say, Hey, listen, I'm I'm
gonna bring I'll bring some off toyour party. But you know, uh,
you need to give me twenty bucks, fire me some money. We

(01:21:10):
get these cookies. But the bottomline gets down to is that you know
it's with soul security planning. Youwant to make sure that you're doing the
right thing. Because it used tobe when you made your sole security selection,
you could go back and change itat any time. All you had
to do is just pay back themoney. Right. That's not the case

(01:21:30):
anymore. That's not the case anymore. Now you've got twelve twelve months,
twelve months and that's it. Andthen if you uh, you made the
wrong decision, too bad, thecake is baked. You're locked in.
Um. Yeah, SOLI security ishuge. And like they've said, if
you're working longer, so folks areplanning on working longer. Um, you

(01:21:53):
start taking your sole security at sixtytwo, you gotta be careful. There's
a there's income limitation, so SocialSecurity would would take a dollar for every
two you earn over that earnings limit, which is around twenty thousand dollars.
Yeah, which is great. Visual, Yeah, which is crazy. I
mean, the thing is is thatI think a lot of people get the
benefit, they don't realize that there'sa tax consequence to the Social Security so

(01:22:15):
they end up making decisions that arereally not economically because they're going to send
a good chunk of that back.So, you know. The thing is
is that retirement income distribution today isso much more complicated than it's ever been,
not because of the selection process,but because the responsibility is on you,
folks. You you it's not theemployer anymore that has the ability to

(01:22:41):
send you a check every month,because they do not want that responsibility anymore.
That's why so many of these majorcorporations are getting away from defined benefit
plans and doing define contributions, whichare four own case. Let's go to
Pat an AMSTERDM. Hey Pat,Hey, good morning guys. How are
you doing doing great? How areyou doing? Hey? Um, I

(01:23:03):
have a question on the distribution incomewhich you're just talking about. I'm about
ready to retire. I'm doing somepart time. I'm well actually so at
work part time full time, youknow, so I can keep the insurance
going before I go on. Oldfolks, insurance of medicare. So my
my thing is I have somebody talkingto me and before I start taking money

(01:23:27):
out to live off of because Ihave a you know, investment income and
there's no no pension, so Ihave to live off of that, plus
what I have in my savings acouple of things. I was wondering if
to live off for a while,maybe a year off my low income the

(01:23:47):
bank account, allow the investments togrow. Is that a possibility to do
it that way for a while.Well, if you have enough assets in
your bank account, I mean,yeah, you're correct, Pat, I
mean, if it's a low interestbank account, I think it would make
some more sense to kind of liveoff those assets for a little bit,
maybe give the market time to continueto rebound here before you start drawing assets

(01:24:12):
off of off of the investments.But again, have you you've been working
with an advisor? You said yes, So I says, I just wanted
to get some different opinions and whatwe can narrow annount to what I really
wanted to do. Yeah, andI thought about that. But also he
had mentioned, um, I say, we did a budget, so with

(01:24:35):
my soilstens care, I'm cluecting now. I was throwing everything into my four
o one K or my investments onthose type of investments, you know.
And I was wondering because I askedthem, since when you start taking money
out of say the investment fund,now, do you have to really take
out the shares whatever your shares areyou having that you sell the shares get

(01:25:00):
the money or do you take themoney out and can keep the shares for
what you have to live off of. So it depends how your your accounts
invested. Pat So if you havelike fixed income interest producing securities, then
those will kick off interests and dividendsand those can be sent out to you,
or the advisor might have it setup right now so that they're being
reinvested and um, and at thatpoint they'd have to sell out of shares

(01:25:24):
to get you income on a monthlybasis. Generally, once you get closer
your retirement here at the retirement Planninggroup, we like to start building a
bucket of cash so that you couldstart taking from the cash rather than selling.
How do those those shares to getyou income? How far away are
you from retirement? When do youactually want to walk out the door and
not work anymore? Very very soonbetween now. Well, I actually had

(01:25:49):
to sign the paper at work becauseI'm working thirty hours a week and they're
kind of based it on probably beforeOctober, so I'm thinking around some timber.
I do have to have an operationyet, so I want to keep
the assurance of this operation for myshoulders, and I think that's once I
have that, then it's I'm notgoing back. I have enough to live

(01:26:10):
off. I have enough. That'snot the issue is how I'm going to
spread the money around to go throughwith it. Well, this is what
I'll say to you, Okay,at the retirement planning group, we are
not big believers in selling assets tosatisfy income. You should have your portfolio
already set up in regards to thebuckets of money as far as cash bucket,

(01:26:31):
medium term and then the long termbucket as far as how your money's
allocated. And there should be aformula that's already set up that Nico just
talked about as far as how muchare your fixed expenses what we call baseline
income, and do we have adequateamounts of resources? So I wouldn't necessarily
go that low interest rate account rightnow and start depleting it until you get

(01:26:55):
a second opinion. What I wouldsay is, come, I didn't have
a chat with us, because youknow what, everybody has a different way
to make their sauce. Our saucemight be a little bit better than the
sauce that you're currently receiving. Butyou know, I'm just using that as
analogy. I'm just saying to youis that there's different ways to structure retirement
income. But we are never bigbelievers in either depleting assets or cashing assets

(01:27:19):
out in selling shares exactly, Idon't really know how much. I don't
have that much in shares, ismostly a lot of it Now I switch
everything over to the interest accounts.I do have one one account that's in
shares. The rest well, becauseI have my EYR account, which is
is kind of small amount. Ican only put seven thousand a year into

(01:27:41):
that. So everything else is intointerest accounts, which at four percent or
whatever it is, I think it'saround four percent, is not bad,
so I like it there. Sowhat what most of your money is wear
right now? In a four ohone K? No? I actually I
took the four o one k outbecause I looked at a percentage of interest.
I was doing. It was less. It's almost what my bank account

(01:28:05):
was given me. I says,now I'm gonna put in is a four
percent interest account? Okay? Whatwas that? A CD guaranteed? No,
just just regular monument fund to whateverit is. I think it is
around four percent or four point fourpoint five or something like that. Okay,
Well, if you want a secondopinion, we'd be more than happy

(01:28:25):
to sit down with you. Butthe thing is is that, uh,
you know, I wouldn't sit onthe fence. I would get motivated.
And you know that the software packagewe just talked to you about money that
we have through Fidelity basically gives youa pretty good roadmap of where you are
and what your probability of success.That's what I like about it. It
will actually show you your probability.I do have Fidelity at work, and

(01:28:47):
they sent me some things where mylines are, that's where we the budget.
Well what they said, I'm doingreally good? Okay, Well why
why why don't you give us aqual at our office? We give out
the telephone number at break and we'llsay we'll see if we can help your
brother. Okay, good, atbreak, you'll give that the number,

(01:29:08):
right, Okay, well you gota pen and a piece of paper.
Now I'll give it to you rightnow. Okay, what is it?
Then? I got it? It'sfive on eight five eight zero zero one
nine one nine one nine one ninefive eight zero one nine one nine.
Say that you want to talk toNico or David and Pat? What's what's
what's going on with your shoulders?You a powerlifter? Is that where you

(01:29:30):
gotta get some froh? No,No, I just I think it was
throughout the time of uh, youknow, football time. I did some
little lifting, but most of itwas up here in the country with the
snow coming down. I had toget up like three thirty a going to
work, so I had to reallyuh get out to shovel three three to
snow you know how this past?No was hent you do so I couldn't

(01:29:53):
only get out, so definitely justwent. Sounds like you're leaving town.
You're getting on the train. It'sall right. That is nice talking man.
Hopefully we see you all right,brother. Okay, let's go to
Rick and Latham. Hey, Rick, gentlemen, morning, how are your

(01:30:15):
brother? I am doing really well? And congratulation sunko. That is a
major certification. Thank you, thankyou, thank you. I wish I
wish him the best going forward.Hey, I'm just curious if you could
briefly discuss the potential impact on yourclients. It's in fact that new bricks
currency evolves to be released later thisyear. You broke up on us Rick,

(01:30:40):
I didn't hear what you said.I'm sorry, Yeah, I was
wondering. I'm just wondering if youcould discuss the impact on your client base.
It's in fact that that new digitalbricks currency evolves, evolves to become
a reality Disaugust. It's scheduled tobe released in artist this year. I

(01:31:03):
think, you know, digital isalready here. Blockchain you can go through,
you can go through a whole laundrylist. Bitcoin, Uh, you
know, there's a lot of currenciesthat people are extremely positive on. I
think it's more of a mint.I think it's uh, you know,
I think it's more of a mentalstate than it is as far as a
fundamental and what I mean about thatand what I mean by that. Some

(01:31:26):
people think that it's pie in thesky. It will never materialize and it
will never get to the be theyou know, the US dollar backed by
the US federal government. Because whenyou think about it, all all of
these currencies that you're talking about,crypto, Yah, what are they backed
up? What are they backed by? You're right, that's for sure.

(01:31:46):
Yeah. And the thing is isthat that's the big that's the big gift.
If I buy something today, andI know I buy it with a
dollar, I know I got adollar. Uh last year when bitcoin was
down at you know, seventeen eighteenthousand dollars, I know that it's much
higher now. People that bought bitcoinare probably dancing in the street. The
ones that bought it at sixty thousandare still crying. You're right, you're

(01:32:12):
right, yeah, right. SoI do have a small you know,
stability. I think. I don'tthink it's going to be our generation,
because I know that you're about myage. But I do know one thing.
I think the younger generation that's probablyyou're going to see changes, modifications,
adjustments to it, and I thinkit will become more the norm than
you know, outside the box.Yeah you agree, Yeah, I absolutely

(01:32:39):
do. Yeah, let me sharethis with you. I'll let you go.
I read at the Turn of think. I read at the Turn of
century back in two thousand, thatthe the nineteenth century belong to Europe,
that the twentieth century belong to theAmericus, and that the twenty first century
will belong to China, Japan,in the Middle East. And you know,

(01:33:03):
China is very aggressive. They havea plan for world dominance, and
I think this sprints currency is prettymuch a part of that plan. Well,
you know, if you think aboutChina, their their their whole game
plan is centuries where ours is thenext election cycle here, right, we

(01:33:25):
live six years at a time now. Yeah, I mean, you know
they're already they're already talking about thechanges that are going to happen with the
new administration. Uh, you know, in two thousand and twenty four,
we're like a ship that keeps ongoing in different directions. There's just no
you know, straight line. Everyadministration has a different philosophy what direction this

(01:33:46):
country should go in, whether it'sfinancial, tax wise, whether it's our
military or foreign policy, geopolitical,just the world that we live in,
the world that we live in.I agree, thanks, brother, Well,
have a good weekend. Plus allright, we got to take a
break. We got to pay somebills here and Zach is going to dance

(01:34:08):
and when we come back, 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

(01:34:31):
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 a 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.

(01:34:57):
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 retire onthe web. Don't procrastinate, motivate to
start building your retirement income distribution plan. Five one eight five eight zero one
nine one nine. If you haveany questions, please call in now at
one eight hundred eight two five fiftynine forty nine. That's one eight hundred

(01:35:20):
talk w g Y, one eighthundred talk w g Y. We are
live in studio to answer your questions. Cold name. But Joe Nap was

(01:35:42):
a two bad four five. Hey, we are back. Joe Gallagher's in
there doing the jerk, wearing hisNehru jacket, his bell bottom pants.

(01:36:05):
Days of the Beatles. Boy,hard to believe all those diets have gone
by. So all are we talkingabout retirement income distribution? We've had some
great phone calls from people with somecomments, and the big thing is sooner
is always better than later. AndI'll give you a philosophy here. You

(01:36:28):
want to have your buckets of moneyfull when you walk out the door.
You don't want to have point ofentry like we had last year and your
buckets aren't full, and you're worryingabout am I in a bear or a
bull market? Because dividends are themother's milk of a retirement income distribution plan,
whether it's dividends off a fixed incomeequity, alternative investments, annuities,

(01:36:50):
sol security. As we keep onsaying over and over and over again.
We live in a society today wherethe monkey is on our back. Personal
responsibility is to create a pension benefitthat will last a lifetime, a lifetime,
longevity your lifetimes. Yeah, howmuch did the cls? How much

(01:37:11):
did the CFP course go through?As far as longevity l word um,
A lot, a lot there were. It was mainly to do with risk
management. Yea, longevity. It'sa huge risk living a long time.
UM annuities. When it talks aboutannuities, you're always talking about longevity.
Um. But again, just peopleare living a long time. You need

(01:37:33):
to account for that in a retirementplan. Well, I think John just
turned what eighty five? Yeah,he's doing somersaults in the office. I
know, the guy's unbelievable. Oneof our clients, John, I won't
mention his last name. A brotherof Nico's from Mechanical. He's actually related
to me? Is he through thegreat vine? Does he? He's my
sister in law's great uncle or somethingsomething like that, or maybe just uncle.

(01:37:59):
You know that Mechanical was a screwycommunity for a long time. Okay,
Mechanical is a great, great littleIt is a great town. It's
a city. My actual malis eventhough I live in half Moon is mechanical.
You know that. I did knowthat. Actually you're a mechanical too.
Well, I'm considered mechanical as faras my zip code, but I

(01:38:21):
actually live in half Moon. HalfBone is like it's like weird. It
doesn't have its own zip code.Half Moon's big too. Half Moone is
either Clifton Park, Waterford or mechanical. Half Moon goes through it's the north
part of Root nine. Yeah,it goes through there. I never knew
that. Yeah, it goes It'scrazy. It's crazy, and uh,

(01:38:42):
you just never know. Um youknow who your relatives are going to be
a mechanical. Well, I camefrom Canada, so not real. If
John's listening was born in Nisky Unit, I'm always you know, John lives
right down the road for me,John, Yeah, John, right down.
He talks about your home. Hesees you on your tractor doing my
circles. Woman said to me theother day, boy, you're so tan.

(01:39:04):
Why are you so tan? Isaid, it's called the yard.
It's called the yard and a tractorgo, I do my circles in my
tractment about tanning booth in the basement, A little heart on your stomach the
other day. All right, let'stalk. Let's finalize the last thing about
retirement income distribution planning, because it'sone that I think that a lot of

(01:39:24):
individuals do not do not put intotheir calculation. And it's the one I
just talked about the impact of yourhome, the one that you choose the
limit during your retirement years, becausehousing expenses go beyond mortgage or rent right.
Utilities, insurance, and taxes areall part of your housing expense.

(01:39:45):
And if you are living in Floridaright now, your insurance costs are going
through the roof. Because I justsaw a thing on TV the other day
where a gentleman is elected not tohave insurance his house because his premium is
more than twofold as far as theexpense and he just can't fit into his

(01:40:06):
his budget. Yeah, so he'sretaining the risk with insurance. You're transferring
a risk to the insurance company bypaying that premium. Some folks that might
make sense to retain at that pointbecause of the cost of premiums like Florida.
Well, I think there are alot of people right now have made
that decision you and I see itall the time with clients of ours and
people that have been clients of ours. They they they make their decision by

(01:40:30):
New York State, by check itout, by putting it for sales sign
up, and they're going to otherstates Tennessee, Alabama, Carolina's, Florida,
Floria's. You know, I thinkwe have over sixty households now in
Florida as far as clients of ours. So you know, when when you
sit down and you're trying to figureout what is the best route for me
to go in regards to have qualityof life, you know, the house

(01:40:58):
is a big events. And youknow we're going to talk in the next
week or two about reverse mortgages andhow they can facilitate quality of life.
Yeah, you know, I seea lot of people say I'm going to
one of these states where there's nostate income tax, which I mean,
yes, it makes sense from thestate income tax standpoint, but other costs
rise to account for that in thosestates, So you need to account for

(01:41:19):
that also, sales tax in Texas, sales tax in Florida. UM,
it's going to be hired to accountfor the no state income tax. UM.
But no, I mean, yeah, the expenses can drive people certainly
out of New York Um California againthe two highest expense states. And when
it comes to taxes, but youneed to account the other thing, hwave

(01:41:40):
fees. Yeah, homeowners because they'renot locked in like a mortgage. HI
Wave fees for a lot of thesecommunities have risen dramatically. The cost of
maintenance, upkeep mowing, taxes gothrough the whole laundry lists. Condos might
make a lot of sense when youstart thinking about it, moving to one

(01:42:02):
of those areas because I think,like you know that movie vacationry, just
that thing's look right into the backof the pickup truck national they get in.
We're going well with the condos youthink about it. I mean,

(01:42:23):
if you're just doing a condo,then the general owner of that property would
have to have insurance for the otherliabilities outside of your condo. So the
general structure and stuff like that.So let's highlight. Let's highlight retirement income
distribution and what people should be doingand how they get a hold of us.
So retirement distribution. You're going tostop work and you need an income

(01:42:45):
stream. We specialize in retirement incomePlanning would be more than happy to help
you with your own situation. It'snot just about the income site either.
And we've been talking about a stateplanning, so security planning. If you
want to call our office numbers fiveon eight five eight zero nine one nine,
we could sit down, look atyour situation, get you into e
money to software program. It's verypowerful. Shows you where you are right

(01:43:08):
now, where you need to beat retirement. If you want to send
a certain or if you want tospend a certain amount during your retirement years.
If you're someone that has no cluewhat you could spend based on your
asset level, we can give youan expense level based on what you have
and expected market returns, expected inflationover the next thirty forty fifty years.
We talk about longevity. People aregoing to live longer, the health health

(01:43:30):
has been increasing dramatically, so healthservices. So you're gonna be able to
live a long, healthy life.But what about that person in California that
one one billion dollars. You thinkthey'll they'll give us a call. I
hope, So, I hope,So, I hope they gave their less
a call for Yeah, we wantto make sure that you can spend forty

(01:43:50):
million will be back next week.The information provided is for educational informational purposes
only. It does not constitute investmentadvice and it should not be relied on
as such. It should not beconsidered a solicitation to buyer or to offer
a sales security. It does nottake into account any investors particular investment objectives,
strategies, tax status, or investmenthorizon. You should consult your attorney

(01:44:13):
or tax advisor. Thank you forlistening to the Retirement Planning Show hosted by
David Kopeck. If you would liketo talk with Dave or someone at the
Retirement Planning Group called five one eightfive eight zero one nine one nine.
That's five one eight five eight zeroone nine one nine during business hours,
or visit us at RPG retire dotcom. The Retirement Planning Group has three
convenient offices located in Albany, Maltaand Glens Falls. Retirement Planning Group LLC

(01:44:36):
is a registered investment advisor. DavidM. Kopec is also a registered representative
of Perschcaplin Sterling Investments Inc. PKSin their separate capacities. A registered representative
of PKS David M. Kopeck mayrecommend the implementation of securities through pks instead
of Retirement Planning Group LLC, Pershcaplin, Sterlin. Investments in Retirement Planning Group

(01:44:58):
LLC are not affiliated compan Tune inagain next week for retirement planning Strategies with
David Kopeck on The Retirement Planning Show.