Mid-Summer Retirement Planning

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Episode Transcript

(00:00):
The advice given on the following programdoes not necessarily represent the views of iHeartMedia
It's management and staff. Since individualsituations canon will be different. Please consider
this when exercising any options given byour guests. It's time to get your
retirement plan in order. Welcome tothe Empowered Retirement Show with Pete Simbolac and

(00:21):
Nick Tooman CFP. Reach out tothe Empowered Financial Team now at six oz
eight two one two seventy three hundredor visit their website empowered FFM dot com.
Now here's your host, Pete Simbolacand Nicktomy. Welcome back everybody to
a wonderful Saturday morning. This isthe Empowered Retirement Radio Show. Pete Simbolac

(00:43):
here and Nick Tooman, certified financialplanner from Empowered Financial Management over there in
Middleton. Nick, how are youdoing? It is a wonderful Saturday.
I'm doing fantastic. And the summeris moving, just trucking along. It's
going quickly. It is going fast, isn't it. I mean we're already
about half way through, by theway, folks, our phone number six
zero eight two one two seven threezero zero and our website Retire Madison dot

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Com. All right, now thatwe've got those formalities out of the way,
yeah, I mean we're halfway throughsummer already, folks. What have
you been doing. Has it beena good summer for you? Has it
gone by fast? I mean it'sbeen a hot one, right for outdoor
activities. The weather has cooperated.Not so much for the lawns in the
gardens, but if you want toget outside, get on the lake,
whatever it is, played golf.It's been a great summer I think weatherwise

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it has. But you know,when we're coming through on summer, We've
just got the month of August comingthrough and then school's going to be back
in and sports, right, we'reall excited about bad your football, and
if you're into the pro sports,you know, you're ready for the Packers
and all that kind of stuff.And hopefully the Brewers keep playing well for
you, Right, that's a bigthing. But we're halfway through summer and

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summers when if you're not retired,you might get a little opportunity to feel
like you're retired. Go out thereand take advantage of a vacation here and
there. I know, for example, just this week, I had a
golf lesson. Now, I've beenplaying golf for off and on for a
long time, and in the paston the radio program, we used to

(02:12):
talk about golf a lot back.When I mean way back, I'm talking
you know, we've been on sincetwo thousand and three, so I'm talking
probably two thousand and six seventy.We used to use golf illustrations all the
time. So I had a golflesson this week, and here I am
with the club pro and it's aputting lesson. And if any of you
have ever seen me putt, youknow I need putting lessons. And so

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I took putting lessons and he tellsme. I was telling Nick before the
show that he said I was hisfirst putting lesson all year. Totally surprised.
I mean, he's done lots oflessons, but it's either I'm chipping
or it's on the you know,the driver, whatever it is. But
you know, putting, it's somuch like a retirement. You know,
we make these comments in golf thatyou drive for show and putt for dough.

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Where the details, where the scoring, where the accolades actually happen.
Yes, you got to get tothe green, But when you're on the
green, you got to be ableto put it into that little hole.
And so retirement is like that.And so it's like a midsummer check up,
you know. That's what we wantto talk about. Just like I
had my golf lesson on the putting. We'll see how it helps me out

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right, But everybody needs that puttinglesson when it comes to return. When
you're talking about golf analogies, andI can follow you there, Pete,
I'm a big analogy guy. Peoplewho've listened to me, No, I
use sports analogies and in golf certainlycomparallel retirement. But you are a hundred
percent right. Putting, if youthink about it, might not be the
most sexy or exciting part of thegame. When you were sharing that with
me, I was surprised because Isaid, well, I wouldn't have taken

(03:44):
a putting lesson. I want toget out there with my driver and I
want to get to the range andhit hit the driver. A little bit
about like with your money, youlook at your investments. We're talking about
the market. How's the market doingthe ups and downs? But there's the
details. There's the other aspects ofretirement that are just as important to determine
if you're going to have longevity andsuccessful retirement. If you're going to have
a good score in a golf game, you have to have good driving and

(04:09):
good finishing right, good putting,good approach shots. But you can get
away with a mediocre driver. Youcannot get away with mediocre putting. So,
folks, when it comes to aretirement, that's what we're talking about.
We're doing a bit of a refreshertoday. We're gonna kind of talk
about go through an article that we'vetalked about for some retirement tips for twenty

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twenty three, talk a little bitabout income and where we're at, and
yeah, we just might relate itall back to golf for sports because it's
just kind of how it is rightnow. And hopefully that doesn't turn you
off, hopefully get you excited.This is the Empowered Detirement Radio Show where
we make your retirement amazing. Welcomeback everybody on a Saturday morning, summer

(05:00):
Saturday morning. This is Nick Toomand Pete Simblec the Empowered Retirement Radio Show
as always here on a Saturday tohelp make your retirement better folks. If
you want to get in contact,with us. Call us at six to
eight two one two seventy three hundred, or visit our website at retire Madison
dot com. And as I've beensaying for the past couple months, our
revised website a lot of good resources. If you visit retire Madison dot com,

(05:24):
you can see some articles we wrotefor Kiplinger magazine, listen to past
radio episodes, and I believe we'regoing to have on there the dates for
some upcoming retirement courses which are goingto happen again in the fall. So
for those of you who have inquiredabout upcoming retirement courses, you can write
this down. They're going to takeplace at Madison College. Our first course

(05:44):
in the fall is going to bein September on the nineteenth and twenty first
Pete. I believe that's a Tuesdayin a Thursday two hours Tuesday and Thursday
evening. And then the second course, if you can't make the event in
September, is going to be onOctober seventeenth and nineteenth, so it's a
two night event. We keep itto about an hour and a half maybe
two hours. It's a good timefor you to come out if you're within

(06:06):
maybe three to five years of retirement. You're a business owner, you're contemplating
selling your business. Maybe you've retiredand it just feels overwhelming. Come on
out to the course. There issomething to learn for everyone. Pete teaches
those courses. Pete, you've beenteaching courses for a number of years and
I think, no matter what,everybody leaves with something, it's valuable time

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well spent. I will say this, probably the first thing people pick up
from us in a course seeing mein person is why they only let me
on the radio. Right. Theyknow why I've got a face made for
radio, and that's why I sitin the back. So think of what
my face has made for So youknow, every time I tell that joke
my son, I can see himout there. He is shaking his head

(06:46):
in discuss well he does well atthe course. He's in the back with
me and he's shaking his head.So we have a good time with it.
But we would encourage everybody to contactus if you want to call a
six to eight two on two seventythree hundred, let us know if you're
interested, we'll reserve a spot foryou, or you can do that online
as well. Pete. We havea great show today, and you mentioned
in the first segment a little bitof a refresher. Of course, good

(07:06):
time of the year to refresh peopleon some ideas. And we're going to
talk very broadly about some things Ithink are important to understand as you're getting
ready to retire. So I'm goingto relate it back to the golf game.
Okay, you know, okay,it's easy when we look back,
Nick, you and I we've hadrelationship since the late nineties, right,
We've played a lot of golf togetherover the years we have, and for

(07:30):
the most part, golf for me, I'm not the most athletic person by
any means, but for me,golf has been just pretty much. You
know, you get out there recreationally, you hit the ball, and what
happens happens. And no, Imean you want to hit the you want
to hit it well, but you'rerecreational, meaning you're just out there playing.
You're not taking it real serious,You're enjoying yourself. What are typical

(07:50):
scores of people that are very recreational. Well, I think all the studies
and golf show us that a typicalrecreational golfer is going to hit a score
of like one hundred and twenty onehundred and ten. If they're not really
good, they're going to be onehundred and thirty hundred and forty, right,
especially if you're a beginner. Butyou know, again, seventy two

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is typically part. That's the goalpeople are starting with rights. That's the
equilibrium that everybody's trying to target,and of course pros can get way below
that, but the average golfer that'sa whole other story. So I played
golf, and I enjoyed golf,but I would just get out there and
hit the ball. But during COVIDthat was one of those things that you

(08:33):
could get out and do when everythingelse was locked down. You could get
out and play golf. And Igot out and played and so really it
was like August of twenty twenty,I started taking it serious. What do
I mean by taking it serious,well, actually watching videos and trying to
find out how you do the swingand understanding all the little parameters that actually

(08:54):
go in that can help you playbetter. And I got some new golf
clubs and I started swinging, andI worked my way down into about the
mid nineties. Within about a yearmaybe a year and a half. So
now then you again, you tryto I started with online lessons. I
don't know I resisted the in personlessons, but that's what I did.

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Probably not untypical of other people.But the one thing that people tell you
in golf if you really want toget better, is go get fitted.
So yes, you could go buygolf clubs off the shelf, but you
can actually have somebody look at yourswing, do analysis, work with you,
and put together a set of clubsthat actually works off your swing.
Who you are, well, loand behold. I start getting down into

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the mid eighties. Now it's amuch slower pace getting ahead of that since
then, but as you heard inthe opening, now all of a sudden,
I take lessons. And I startedout with the driver lessons and chipping
lessons, and now I'm into puttinglessons. Why do we do this because
we're trying to get better. There'sa lot of details, there's a lot

(09:58):
of things behind. Now to somebodyelse, maybe you know plan at one
thirty, one, forty, it'sjust fine, right, But to get
into the eighties and maybe break intohandicaps that are single digits, that's a
goal of mine. Just like whenyou're putting money away for retirement. Okay,
you're a casual, you're putting yourmoney away in a four or one

(10:20):
K of four H three B fourfifty seven to third comp whenever it is.
You got your You maybe have apension or not. Here in the
state, we've got more pension peoplethan other states. Point being is,
when you get serious about retirement,you do what I do. I now
have a coach, right, Iactually have a person that I go to

(10:41):
that analyzes all the parts of mygame, but in a much more serious
notice when it comes to retirement,lining up with the right advisor to put
a complete plan together to actually helpyou go through the golf game of life
and of retirement and get to thatputting green in a way to where your
score is right where you want it. And it's going to take a lot

(11:03):
of engineering. When you're telling thatstory, and I'm trying to relate this
to what our listeners are hearing whenthey relate golf to their money. When
you first played golf, you learnedto love the game. You weren't serious
in terms of lessons, You werejust out there playing, just like many
of our listeners. They've been reallygood savers, good stewards with their money.
They put money away every two weeks. They were disciplined, they deferred

(11:24):
pleasure. So they did the rightthings to learn to be disciplined with money.
Now to take it to the nextlevel, like you're doing with golf.
You're taking you to the next level. You're getting help, you're going
into the weeds a little more,you're practicing putting, you're getting a coach
to watch your swing. That's thefolks out there who are within three to
five years of retirement, or maybethey've retired, it just feels overwhelming and

(11:45):
they need that coach. But that'swhere I think this is a fantastic and
a very good analogy for people tofollow. Yeah, I would agree.
I think it's important for people tohave some sort of systematic to work their
way through. And yes, savings, you know, putting being a good
saver, get you out of thegate, get you on the course,
gate right right, get you onthe course. But if you really want

(12:07):
to score well in retirement, ifyou want what is it your dreams are?
Do you want to travel? Doyou want to pass on money to
your kids? Do you want tohelp other people. Do you just want
to sit on the beach and readbooks? I shouldn't say, Johnston.
I mean that's what some people wantto do. I say just because it's
simple as opposed to complex. CanI still one of your phrases that you
used in the retirement course and Itold you afterwards I loved it. Let's

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think through this a little bit.If you've been a good saver, let's
think through though what's going to happenif you're fifty seven years old. Just
think through what life's going to bewhen you're sixty five. What is life
going to be about? What doyou want this well to do? How
much wealth do you need? There'sa lot of questions when you just stop
and think through this. And that'swhat we're here trying to do is help

(12:50):
you to think through this. Soas you think through this, I'm going
to give one more little illustration andwe'll give that opportunity for people to set
up a golf lesson with us forretirement. Right. But the reality is,
in one of my fittings, oneof the things they did is they
changed my driver up on me,and they change the driver to help me.
Now, Nick, how many peopleon the golf course. Do you

(13:11):
see when they drive the ball dothey slice it? Folks, you know
what I mean when I talk abouta big slice, like it starts off
one way and comes way around onthe other, ends up on the other
side of the golfer right right,It ends up two holes over right.
Often fit. It was just likelast weekend at the Open. I think
I saw a professional golfer playing onanother hole's fairway because they had sliced the

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ball. Well, slicing is abad thing, but it's a very common
thing. So how do you stopslicing? Well, yep, you need
the right equipment. But you haveto change your swing. You have to
change your swing pattern. You haveto change your setup. You want your
hands in front of the club asyou follow through. You want your hips

(13:54):
equal with your hands as they followthrough. You want your shoulders equal with
your hips, that are equal withyour hands that are ahead of the ball
as you follow through. There's aprocess, there's a system. If you
can get those things down, youwill get a straight shot and you will
get rid of that slice. Itis the same thing with retirement. All

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right. Now we're on the courseand we've saved the money. But we
might not know exactly what our risktolerance is, or even what our goals
are, or have we separated ourmoney for its purpose. Without doing those
things, you're gonna hit a slice. No, you might have lots of
money, right, So in thiscase, you maybe you're super strong person.
You can hit a three hundred yards, you get a slice. You

(14:39):
still might be an okay shape.You just might be able to be strong
enough to get away with it fora little while. Well, it's the
same thing when it comes to retirement. People think they can get away.
I've got my million dollars, I'vegot my two million dollars. But if
we don't have the proper system,we're gonna slice, so to speak,

(15:01):
our retirement ball. Folks. Wedon't want to end up in the water.
We don't want to well, okay, we want to be on a
beach, right, but in golf, being in the water's a bad thing.
We don't want to be in thetrees. We don't want to be
in the bushes. We want tobe in the middle of the fairway where
you have the most control. Andyou get that in life in retirement by

(15:22):
taking your good savings and actually puttingit into a holistic panoramic plan. When
I say panoramic means you're covering allthe areas right, income planning, investment
planning, tax planning, healthcare,legacy, and who helps you walk through
those things together. Who's your caddy? Who's your caddy as you're going through

(15:45):
life, Well, that needs tobe your advisor. And you need to
have a good caddy that knows whoyou are and what your swing is,
what your capabilities are so you canget in the right position to get what
you want in life. That doesn'thappen by accident, Folks. It doesn't
happen just because we saved money.Happens because you have the proper planning to
make it happen. If you wouldlike that proper planning, I would suggest

(16:11):
you give us a call at sixzero eight two one two seven three zero
zero and be one of the firstsix callers that called her in the program
and get a complimentary visit. Andby the way, it's two visits if
we think about it in its holeright. The first one's getting to know
you, okay, swing analysis,what you're working with, who you are,
and whether if we're even the rightcaddier coach to help you through.
And if we think we are,then we go to the second visit where

(16:33):
we dig in and we actually lookfor holes in your plan. If we
find them, we're gonna tell youabout them. We're gonna tell you how
we'd fix some of those things.And by the end of the meeting you'll
have enough information to know whether you'dwant to work with us or not.
And if you do, fine,we'll sign and then we'll go through a
whole process after that of putting thingstogether. But if not, that's okay.

(16:53):
We part as friends. So,folks, give us a call six
zero eight two one two seven threezero zero. You can tell golfs on
my mind, golf on your can. I remind everybody if you call us,
the staff is of a Saturday.I want to get that in there
before the break that if you callus, leave your name, your number,
that you're interested in those complimentary visits, and then Calebile reach back out

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to you on Monday morning to schedulethat time. All right, folks,
when we come back, we'll leavegolf on the golf course. We're going
to talk about some basic tips thateverybody needs to remember. As we finish
up twenty twenty three heading towards retirement. This is the Empowered Retirement Radio Show.

(17:42):
Welcome back everybody to a wonderful Saturdaymorning pizza black Nick Toman, certified
Financial Planner. This is the EmpoweredRetirement Radio Show six zero eight two one
two seven three zero zero and ourwebsite retire Madison dot com. And for
those of you that have been listeningagain six or eight two one two seven

(18:02):
three zero zero if you want totake advantage of that offer for the console,
the complimentary that means free by theway, consultation. It can be
zoom on the phone. We reallydo prefer in person. Hopefully you do
as well. And uh yeah,I think that for those six people to
take advantage of it during the show, it'll be well worth it. As

(18:23):
we're looking at our midsummer Yeah,we've talked a lot of golf. We're
going to leave that behind. Yeah, I've I've done a lot of golfing
lately. So it's it's definitely it'sa good parallel. It's a good parallel,
and a lot of people enjoy golf. Not everybody does, and so
in retirement it's one of those things. But Nick, we do want to
go through a little bit of anarticle that we picked up from Forbes magazine

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that talks about, you know,some of the top ten retirement tips for
twenty twenty three, and I knowwe're not going to have enough time to
go through all of those, sowe would like to highlight and you know
what I of is one of thethings we teach people right up front about
retirement, especially investments. One ofthe real dangers out there that people don't
recognize is this thing called sequence ofreturns risk. And herefore starts out with

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that as well. So I feela little bit vindigated by mass media when
usually I'm not the biggest fan ofmass media. Yeah, when I see
a sequence of returns risk, andI think about the folks that I've worked
with over the years, and whenI ask them early on in our relationship
or at a retirement chorus at anevent, if they understand what that means,
what that's all about, just abasic idea of sequence of returns because

(19:37):
it is one of the if notthe biggest risk to your overall retirement success.
Most people don't really understand what thismeans. They've never heard of the
sequence of returns risk that came outto be in what the early mid nineties,
it was kind of this theory thatwho is the general William build bank

(19:57):
bank and I pronounced that runk.He came out with this in the mid
nineties, And basically what it saysis if you have a pot of money,
a pile of money, and youwithdraw only a certain amount every year,
you're not going to run out orthe probability is you're not going to
run out of wealth or money bythe time you know, thirty years have

(20:18):
passed. And I think the generalparameters were like a sixty forty portfolio fifty
fifty somewhere and there. And againthat's where the four percent rule comes from,
which has, by the way,folks, been pretty well thrown out
the window by most people because likein an environment today, it doesn't really
work real well where bonds are ata very different spot right than where stocks
are and interest rates and inflation.So it's really, you know, somebody

(20:44):
going into retirement, it's really theirworst nightmare as far as you know,
secure income if they're trying to getit from the market or from bonds.
And what happens is if you're relyingon the stock market to determine your income
every year in retirement. As youjust said, the worst nightmare is early
on in your retirement. So let'sjust easy example, Pete. Let's say

(21:06):
you retire at age sixty two,you take an early retirement, and the
first two or three years in retirementresult in negative returns in the market.
Let's say the markets down ten fivesix percent and three consecutive years like it
was in the early two thousands,and you're relying on the market to take
money or to live off of thatcan drain your pot. You're nesting much

(21:29):
quicker than you anticipate that any ofthese models projected, when you probably modeled
out prior retirement, how long yourmoney was going to last a little more
dramatic than that. Schwab has anexample out there that if you had a
million dollars and you're taking fifty thousanddollars a year out, but in year
one, just year one, youhad a fifteen percent loss, you run
out of money in year eighteen.But if you take that fifteen percent loss

(21:55):
in your ten of retirement, youend up with all sorts of money about
four hundred thousand dollars left over.The twenty ten horizons. That is a
difference just in that simple example,pet if somebody with a million dollars,
a four hundred thousand dollars difference justby the order in which the market returns
hit your money. And so whatwe're talking about here is going beyond just

(22:18):
allowing the market to dictate the ebbsand flows what your income is going to
look like in retirement. So I'mgonna I'm gonna go back pardon my,
I'm gonna bring golf back in itfor a moment, folks, because here's
what I'm talking about. Most peopleare taught in today's world by Wall Street
to do this four percent withdrawal rulefrom your money in Wall Street. But

(22:41):
there are these inherent risks that arethere. It's like golf without a driver
and you don't know how to hit. And do you understand what I'm trying
to say that that even Wall Streetgets this because it's Look, it's beneficial
to Wall Street for everybody keep theirmoney in the market all the time.
That's right. It doesn't become badpeople. You just have to understand where

(23:04):
their alliances lying. Folks. You'vegot to be aware of sequence of returns
and how risky it is to you. What if you just retired in the
last year, you lost twenty percentlast year, and you were taking money
out of the market at the sametime. That's the catch, right,
If you've got that trifecta going on, you put yourself in a spot that's

(23:26):
nearly nearly impossible to actually have along term success with that money. Did
you even know about it? Didyou even know about it? You have
to fix it. Where people gethung up on PETE when they prepare for
a time I believe is they usethe average annual rates of return and they

(23:48):
use that to project ahead. So, for instance, if they're expecting the
market's going to make eight percent ayear for thirty years whatever, I'm just
using an easy example, and Ican make seven and a half percent a
year in my portfolio, I willbe okay. There's a big distinction,
PETE, between using the average annurrate of return, which most advisors in
some form do to project out,and understanding when those returns hit your money.

(24:08):
That's what you need to understand.You might average seven percent, but
if the returns are negative early end, that's going to be devastating. Folks.
What are you doing about it?What are we doing about it?
What is your advisor doing about it? If you even have an advisor right
now, or do you do iton your own? Be aware of the
laws of averages, be aware ofthe sequence of returns. Take advantage of

(24:30):
the offer we've made for the firstsix callers that call to get a complimentary
visit six zero eight to one twoseven three zero zero. Give our office
a call right now and leave yourinformation. Give us your name, your
phone number, you know, maybeyour email to contact you, and then
we'll contact you back. Probably Cablewill calling you back on Monday to touch
base and set up a visit.The only thing you're going to decide enough

(24:53):
visit is whether you want to goto have a second visit. That first
visit is get to know you.It's the swing analysis. It's who are
you and what do you want toaccomplish? And what have you done so
far? And are we even theright people to help you get there?
From there? If it makes sense, we do the second visit, that's
also a complimentary If we decide bythe end of that second visit, which

(25:15):
is the deep dive, that's whenwe're looking for every nook and cranny we
can tell you is wrong. We'retrying to find things wrong, folks.
Why because if we can fix themnow, you don't have to fix them
when you're in troubles. Right onthe road six zero eight two one two
seven three zero zero six zero eighttwo one two seventy three hundred, or
you can go to retire Madison dotcom look on our little widget there and

(25:37):
also sign up for a complimentary visitthere also. And just like a swing
course, a swing coach, sorryswing course, a swing coach in golf
peat, they're there to evaluate wherethose problems are in their swing. They're
not necessarily there to tell you whatyou want to hear, and that's what
we're going to do. We're nothere to tell you necessarily what you want

(25:59):
to or some things we're going tolook at and say you've done really well,
and we'll tell you that. Butour job is to fix the holes,
fill the gaps the right way.And that's what these visits PETE are
going to be all about. Oldschool golf teaching, they used to try
to restructure your whole golf swing.These days they figured out all the body
types they learn how to restructure withinyour golf swing. That's really important to

(26:26):
understand when it comes to retirement.When we come to these meetings, we're
looking at who you are and whatyou've done, not try to make you
something you're not. That's right.This is the Empire Detirement Radio Show.
Catch us on the other side wherewe finish the conversation on these tips for
retirement. Welcome back everybody to thefinal segment of the Empowered Retirement Radio Show.

(27:02):
Nick Tooman and Pete Simbolack here ona Saturday morning, helping to make
your retirement better. Just a quickreminder, we mentioned this in the second
segment. We do have some upcomingretirement events scheduled for Septement one is on
October seventeenth and October nineteenth, Soif you're interested in attending those courses,

(27:22):
you can call us at six Oeight two one two seventy three hundred to
reserve a seat, or go toretire Madison dot com Madison dot com.
And as I said before, thereis something there for everybody who is within
let's just say three to five,three to six years of retirement. Some
of those people who've attended the past, their business owners are contemplating divesting themselves

(27:44):
of their business. They're moving toanother phase of life. This could be
for you if you've retired a fewyears ago and just the process of retirement
planning on your own is becoming overwhelming. And as you understand some of the
nuances, we're using golf as ananalogy, all those things that go into
planning. This is a good opportunityto learn, get the juices flowing.
So attend those courses if you havesome time on the nineteenth and twenty first

(28:07):
of September or the seventeenth and nineteenthof October, certainly a good hour and
a half each night's been folks.This has been a great Saturday, right.
I mean, we're at the midpointof summer. We're going through this
article on Forbes. We're having alittle fun with the golf analogies, maybe
a lound with the golf analogies.But we had talked about sequence of returns,

(28:27):
risks and how we feel validated becausehere's Forbes talking about this, and
often, you know, not toomany people do talk about it. A
lot of people don't know about it. They come to our retirement course,
we ask them about this, theydon't know about it. So I really
enjoy the fact that it does comein there. But there are a few
other things on this list that Ithink would really like to go through as

(28:49):
well. And I'd really like totalk about social security, okay, because
even you know, it was somebodyhad just gone off work and there with
a bunch of friends and the tablenext to me, and they're talking about
all these people you got to takeso security at sixty two as early as
you can, and they're just loudand boisterous, and of course it's not

(29:11):
my conversation, so I'm just listeningto the information but not really joining.
I'm eavestrapping, right. But thereality is, I think we would say
in Forbes in this article talks about, you know, delaying the starting of
social Security and the benefits of that. Delaying social security certainly an option,
and you mentioned hearing that conversation.Heck, at these retirement courses, it

(29:33):
is the most talked about when weask what people came to learn to be.
Most often somebody will raise their handright out of the gate and say,
I want to know when to takesocial Security, and folks, the
reality is, this is a veryspecific, very particular and customized choice and
decision when to begin benefits for everybody. This is not a topic or not

(29:56):
a decision that we make blanket recommendations. Now in this article, Pete,
it's suggesting there are some benefits ofdelaying soul security because people are just living
longer. Right, if you're livingin longer than what they realize they're going
to live, that's right. Andif you're living into your mid eighties and
your early nineties, yes, delayingtaking SOLI security because your checks are higher

(30:17):
probably is a good idea. Butwhen to take it, especially if you're
a couple and you're getting two SOLIsecurity checks and when one person passes to
higher those two checks lives, it'simportant to have a strategy before you pull
the lever, before you pull thetrigger, on when to start those benefits.
Peat. So we're going to saysome things are a little bit uncomfortable,
I think, and that is numberone. People that are taking SO

(30:40):
security early. The only reason inmy mind you should take so security early.
There's two you're you have poor health, right, that's kind of enough
fun to talk about. Or youhave absolute need, not want, not
luxury, not options, but youneed to take it. If you don't,
you won't really make it. Thoseare really the only good reasons I

(31:03):
see. You know you're going topass away early, your health is not
great. There's a reason to takeso security early. So that's okay.
If that's the case, you canstill build a retirement strategy around taking it
early. So we're absolutely saying notto. And if you're married, maybe
one takes it early to one takesit later. Whatever. But how many
people know their health is bad thatthey're not going to live long. Those

(31:27):
of you that are listening and knowthat you know who you are, everybody
else really ought to unless you absolutelyhave to to make it. You should
be able to defer social Security.And the really uncomfortable part about this is
I would tell you I would recommendto use some of your other resources before
you use your Social Security. Yougot two million dollars in your four oh

(31:49):
one K. Do you need tomillion dollars to live on? No?
Probably not. But what if youuse some of that IRA money up hunt
while we're getting our guaranteed you know, eight percent on social Security? That's
going to be that cornerstone of yourincome pillars. That's right, makes sense,

(32:10):
but it's hard for people to understandbecause don't we always think somebody's trying
to pull something over on us.That's right, that's that's this thing about
social soci security. Take it asearly as you can because the politicians are
going to take it away from youanyway. Well they're not. It is
a social safety net, that's right, it's there. It might have to
be modified to some extent. Folksthat are younger, it will affect you

(32:34):
way more than will affect older fund. But the people that are listening has
just said it might be modified.We hear every year that the trust fund
is running low, and whether it'stwenty nine twenty thirty, it's going to
be depleted. But it's a politicalissue too. In any politician, Democrat,
Republican, Independent that messes with socialsecurity and seniors checks to that degree

(32:57):
where they're losing fifteen twenty thirty percent, they will be run out of town.
Really fact. So we're not sayingit doesn't have to be fixed,
but this feels like an issue thatthe can will continue to be kicked for
a long time. And yes,my kids probably aren't going to collect soul
security in the same form as ourlisteners. But that reason for taking it,
I don't think is the best reasonfor taking it early. No,
it's a fear factor, right,anytime somebody's fear mongering you, Now,

(33:22):
look, we want to be aware. We want to be aware of our
surroundings. Right, Like that's right. You drive down the road, you've
got your indicator lights. When somebody'scoming up in your blinds by, you
don't just turn into that lane.Why because you got a warning somebody's there.
Now you don't have that indicator lightand you don't look, and you
don't see them, and you turnin that lane. All of a sudden,
there's an accident and everybody's life blowsup. We don't want those things

(33:44):
to happen. When it comes tosocial security, folks don't live in fear.
Use strategies for most people, Strategiesthat allow you to defer your social
security as long as possible me themost sense. Most of the time,
that's part of an income strategy.So if you're listening and you're going to

(34:07):
retire in a couple of years andyou don't have an income strategy, you
haven't thought through this specifically, youdon't know necessarily on your own, how
to coordinate your social security benefits withyour pension with your other investments. Come
talk to us and see how wemight be able to help you coordinate not
only an income strategy or investment strategy, but all those other areas of retirement

(34:29):
that for many of you have beenon autopilot. Your insurance, your legacy
planning, all those things that nowtake some thinking through. See if we
can help you and guide you throughthis next phase of life. If you're
interested, take advantage of the offerthat we've made throughout the show for the
first six people to contact us andschedule a complementary visit, which could be
two complementary visits, Pete. Ifwe decide to take a second visit together

(34:52):
more often than that, it isright. If we decide we might like
working together, and if what wedo is planning specialists, is what you
need and what you want. Totake advantage of that offer, you need
to call us at six O eighttwo one two seventy three hundred, and
our staff is off on the weekends, so you're going to need to leave
your name number. Just leave amessage and we'll call you back on Monday

(35:13):
to schedule that time. Or ifyou'd like to go to retire Madison dot
com, there's a little widget,you fill out some information, same thing.
We'll reach back out to you onMonday to schedule that time. That
visit can be done in person,which we prefer, we can do it
via zoom. It lasts about onehour, sometimes about an hour and fifteen
minutes. And after we're done withthat visit together, if we decide to

(35:34):
go to a next visit, anext complimentary visit, whereas Pete has described,
we take a deeper dive, welook at things, we find gaps,
we want to do that. We'llset up that visit at the end
of the first meeting. But it'sa very casual time together. It's over
a cup of coffee, and justlike those retirement courses, Pete, everybody
who comes in, I think walksaway with some valuable information. It's a

(35:54):
good time together. And if whatwe do is what you need, we
can move forward and walk through ourplanning process together. So our job is
to help you and make your retirementbetter awesome. So Nick, as we
go, we're getting ready to wrapup, the show's already coming to an
end. The next subject I wantto cover, that's a good tip from

(36:15):
this FORB article, is what's yourhealthcare game plan. So this is a
really this is one that's really closeto my heart. Everybody that's listening to
our program. I've talked about whatmy parents have gone through, things like
that, but I want you toget this. According to Forbes article Fidelity,
right, we all know who Fidelityis. They estimate that a typical

(36:36):
American couple will spend three hundred andfifteen thousand dollars on healthcare costs like Cope's,
additional premiums, other uncovered medical expenseslike that during their retirement years.
That's up from three hundred thousand lastyear. Folks, do you have that
three hundred and fifteen thousand dollars figuredinto your ironment budget. That's an area

(37:01):
that people don't realize a lot ofmoney whittles away, disappears, and they
didn't plan for it. One ofthe things Nick, we talk about is
having a purpose for your money.Part of that is planning for healthcare costs.
By the way, what about nursinghome, what about assisted living?
I know none of us will evergo there right yet. According to gen

(37:23):
Worth, according to some government statistics, seventy percent of people are going to
need some sort of long term caresysted living something like that. You put
these numbers together, this is prettyominous. It's a tough conversation. It's
not always a fun conversation. Thinkabout that number, three D fifteen thousand,
and sometimes we use the example Iretire with a million dollars. Have

(37:44):
you carved out from your million dollarsthree hundred thousand dollars? So yeah,
if you're taking your income from thatmillion dollars, and you should have three
hundred and fifteen thousand carved out forhealthcare. Oh, not to mention taxes,
but this is where planning comes that'sright, This is where planning comes
in. This is the importance.So going back to my kind of silly

(38:05):
and cheesy you know golf analysis andthe swings, you know analysis and things
like that. That's the reality.That's the truth. If you want to
lower your score in golf, youneed lessons. You got to work on
that short game, that golf puttingin retirement. If you want a successful
retirement where you cover all of theseitems, you have to do planning,

(38:27):
and you're going to need somebody todo the planning. Win I would suggest
given us a call at six zeroeight two one two seven three zero zero
and schedule that complimentary visit. Nick. Where'd the time go? It always
goes quick on a Saturday, Pete. And just like summer, summer just
flies right by. We're halfway throughsummer. Feels like we're already ready to
go into fallat I know, right, But that's how it is for retirement

(38:51):
too, and retirement flies folks.I hope this has been helpful. I
hope it's been fun. This hasbeen the empowered retirement radio show where we
your retirement dreams come true. Investmentadvisory services offered through Trek Capital Management,
LLC, an SEC registered investment advisor. Information presented is for educational purposes only

(39:13):
and it should not be considered specific. Investment advice does not take into consideration
your specific situation, and does notintend to make an offer or solicitation for
the sale or purchase of any securitiesor investment strategies. Investments involve risk and
are not guaranteed, and past performanceis no guarantee of future results. For
specific tax advice on any strategy,consults with a qualified tax professional before implementing

(39:37):
any strategy discussed here In