November 23, 2025 • 45 mins
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Speaker 1 (00:00):
You worked hard for your money, but do you know
how to make it work hard for you. You need
a team with experience, vigilance, and a strategy to help
you live the retirement you deserve. Find your financial safe
haven with Haven Financial Group. Today you're listening to the
new and improved Haven Financial Group Radio Show, where we
bring you comprehensive weekly financial wisdom from the professionals. It's
(00:23):
all about helping you solve retirement problems so you can
make your nest egg last. Your tune to the Haven
Financial Group Radio Show with your host Larry Kolvig and
Kim Karrigan your guides to weekly retirement confidence. If you're
interested in protecting and growing what you have, let us
be your financial safe haven. The phone lines are always
(00:43):
open at six point two five oh four eighty four hundred.
Now get your financial questions ready because the Haven Financial
Group Radio Show starts now.
Speaker 2 (00:55):
Good morning, and welcome to the Haven Financial Group Radio Show.
I'm Larry kolvigphone and CEO of the Haven Financial Group
on with Kim Carrigan. Kim, good to be with you.
We've got a lot to talk about again this week.
Speaker 3 (01:06):
Yeah, it's great to be with you as well. I
was going to check in with you to see if
you guys are getting all ready for Thanksgiving?
Speaker 4 (01:13):
Can you believe it?
Speaker 3 (01:14):
Here?
Speaker 4 (01:14):
It is Thanksgiving week?
Speaker 2 (01:17):
It's hard to believe that we're going to be coming
into Thanksgiving week? Am I getting ready? As ready as
I ever will get ready? Which doesn't take much. My
wife's amazing cook, and I just show up and I'm
told where to go about that?
Speaker 4 (01:32):
Now? Will all the ladies be at home for the Halloween?
Speaker 2 (01:35):
We will be fortunate to have all four daughters and
we go to locally to my youngest brother's place in
Maple Grove and my parents. So a good family event
because you know, you know, with the busy schedules, time
just doesn't permit.
Speaker 5 (01:50):
So it'd be great to have them all together.
Speaker 4 (01:52):
Yeah, you know, it's Thanksgiving.
Speaker 3 (01:55):
I love Christmas, but I love Thanksgiving because you don't
have that pressure of gifts and it's just all about
family and eating, and my goodness, does it get any
better than that?
Speaker 5 (02:04):
Right? It does not be right?
Speaker 2 (02:07):
You know, Christmas comes earlier and early and earlier, and
I've been of the sound mind that we don't start
Christmas until Thanksgiving happens. Let's give thanks first, and then
we'll go on to Christmas.
Speaker 3 (02:17):
And let's get it started. Well, we got a great
show today. We're going to talk about whether you're asking
the important questions when it comes to retirement. And probably
the first.
Speaker 4 (02:28):
Thing that people are thinking is, well, what are those questions? Right?
Speaker 3 (02:31):
So we're going to try to answer that for everybody.
We're going to start with this retirement age too low?
Then we'll talk a little bit about four one case,
and you know, give some target numbers where you should
be along the way social security? Is it enough and
if not, then what's next for you? And finally, how
are my retirement accounts taxed? Taxes being one of the
(02:54):
biggest bills. Retirees sometimes have that in healthcare, so it's
really important to be aware of what's being taxed and how. So, Larry,
let's get started with is the retirement age too low?
I think this is such an interesting question and really
kind of a political one, isn't it.
Speaker 2 (03:13):
It is depending on which side of the get a
eel you're on, you got two differences of opinion. You know,
Republicans say they tell raising the retirement age, which many
including Larry Fink from Blackrock, says that the retirement age
is too low, and you know, I might side a
little bit on that that it is a little bit.
So Security has some serious solvency issues. We got seven
(03:36):
years without any change before we run into some serious issues,
meaning we're not going to have them enough money to
pay all the obligations. The other side, the Democrats, they
want to keep it the same. You know, Congress may
eventually come to a happy medium, but something is going
to have to give. Because I just mentioned seven years,
we have an insolvency problem. So how do we What
(03:59):
are some of the reforms that they're talking about.
Speaker 5 (04:02):
None of these are going to make you or I
are the.
Speaker 2 (04:04):
Public excited or happy because we've been paying in our
whole life. We all want something back. I get it
for sure. But some of the ways they're talking about, well,
let's just tax all of your income, and that's a possibility.
They could change the Social Security formula and now we're not
going to get into the weeds of what that social
Security formula looks like. My joke is, I'm sure they
(04:27):
would consult with us first. Highly doubtful.
Speaker 3 (04:32):
I'm not sure you had to even say that was
a joke. I think we would have fall picked up
on it so.
Speaker 5 (04:37):
They could change the formula.
Speaker 2 (04:39):
One that really gets people up in arms is if
you've done a good job saving for retirement or saving
for social Security, or excuse me, saving for retirement on
your own, you've been a great saver, then you're not
going to get social Security, which is means testing, which
I think is flat out mean. See, we're not going
to like any of these changes, but something is gonna
(05:00):
have to give. Because back in nineteen thirty five, when
Social Security was really signed into law by Roosevelt, it
was designed to be really a two year window of
collecting income. Women's life expectancy were somewhere between sixty sixty
five to sixty seven. Men's was like sixty three to
(05:21):
sixty six. You could collect at age sixty five, so
you could say social Security was designed for a two
year window. Fast forward to twenty twenty five, ten year,
twenty years, even thirty year window. I think a few
years ago at Haven Financial Group, I was curious to
see how many of our clients had been collecting for
(05:43):
thirty plus years, and at that time we had nine
of them thirty years of collecting social Security. It's a
big number, and therefore something is going to have to give,
and again none of us are going to like it,
but something has to happen.
Speaker 4 (05:58):
Yeah. Absolutely.
Speaker 3 (06:00):
You know, it's really interesting if you just talking about those,
you know, life expectancy numbers when Social Security came to
be and changing the retirement age. I mean, we are
all much healthier and living much longer lives. So it
really does sort of make sense that we need to
start to push this back a bit, right.
Speaker 5 (06:20):
It does.
Speaker 2 (06:21):
In fact, many would say social Security is an outdated system.
It dates back to the in my research, the Ottoman Empire,
so many many many.
Speaker 5 (06:29):
Years ago, so you could say it's outdated. You know.
Speaker 2 (06:33):
Others the thoughts are Australia says their law is one
flat benefit for everybody. I think that's going to be
hard to pass in the United States. Raising the retirement age,
that seems like a very logical one because we already
have done that a couple times.
Speaker 5 (06:50):
That comes with some.
Speaker 2 (06:53):
Concerns as well, because France a couple of summers ago
raised there's from sixty two to sixty four, and we
know there was writing in the streets and there was
an uproar, and we hope that doesn't come to the
United States, but raising the retirement age a lot of
conversations I'm hearing and what I'm reading is raising it.
Speaker 5 (07:09):
To the age seventy.
Speaker 2 (07:10):
We'll see, We'll see, but it is depending on what
side of the aisle. There's two school of thoughts here
and time will determine what changes are going to happen.
Speaker 5 (07:18):
But we have to have some change. Well.
Speaker 3 (07:20):
Social Security Trust Fund that pays retirement and survivor benefits
is projected to run out by twenty thirty three. Do
you anticipate, whatever the change may be, it's going to
happen before twenty twenty three, or you know, are we
going to like we do the budget, are we going
to push this right up to the very edge and
then see what happens?
Speaker 2 (07:42):
I would bet politicians do what politicians do, and that
push it up right to the edge and then panic
and then you know, that's my guess, But I guess
it's in. I guess anybody knows it's kaim. It's why
we teach a lot of social security classes.
Speaker 5 (07:56):
Sure listeners can.
Speaker 2 (07:58):
Go to a Havenfinancialgroup dot com check out all our classes,
social Security and tax investment classes, Medicare classes, We just
had another fraud prevention two classes that were full teaching
on senior and fraud prevention. So we're very big into
the education piece, and we've always big it into social
security education because there's a lot of worry and concern.
Speaker 5 (08:21):
Do I turn it on at sixty two?
Speaker 2 (08:23):
Ironically, seventy percent of Americans turn on right away, one
to two percent way till the age of seventy, which
is the latest, which tells me there's a lack of education.
When you take it is a personal decision. But having
all the information, having all the facts, you know, knowing
what you can make prior to full retirement age, but
which by the way, is determined by your birthday. It
(08:46):
could be aged sixty five, sixty six, two months, four
months up to age sixty seven. So having all the
facts are very important and that's what we help people with.
When they come out to a class, they'll have the
ability to come into listeners or anybody that anybody would
come across could come in. We'll run a social security
maximization report people. I call it the roadmap to social Security,
(09:09):
and just by having conversation, you'll know this is the
most optimum time to take it. For us personally or
maybe as a couple and as a family, and that's
the rood of it. That's how you make good, educated decisions.
Speaker 3 (09:22):
Sure, absolutely, So what I hear you saying, Larry, is
that for people who are listening right now and they're
not sure exactly when it would be most beneficial for
them to turn on their social security, maybe they're approaching it,
maybe they're sixty right now, late fifties, and they're trying
to set.
Speaker 4 (09:38):
Forth a plan.
Speaker 3 (09:40):
A great way to do that would be number one,
attend one of the seminars and learn more about social
security and then call the folks that have in financial
group and sit down and you can actually put together
a customized social security plan that's best for your life.
What's right for your brother, right for your neighbor is
(10:00):
probably not right for you, or most likely wouldn't be.
Speaker 2 (10:03):
Yeah, I mean hear it all the time. Well, I
just thought everybody turned it on at sixty two. Well
my best friend did, so why wouldn't I? And there's
all kinds of variables. Are you working, are you not working?
How much can I make? Do you need the money?
Speaker 1 (10:16):
You have?
Speaker 5 (10:16):
Longevity in your family?
Speaker 2 (10:18):
The surviving spouse consideration that surviving spouse could live ten
twenty years, and the higher social security remains, the smaller
one falls off. And I would think most of us
would want to leave our spouse in the best position possible.
So if this is ringing your ears, if you're hearing something,
come on in, have a conversation and guess what you
(10:38):
have nothing to lose whatsoever?
Speaker 3 (10:41):
Six one two five zero four eight four zero zero.
That's where you start. You give them a call at
Haven Financial Group telling me you hurt us here on
the radio, and you'd like to talk about a social
security plan as well as maybe putting together a retirement
portfolio and so many other things. Again that number six
one two five zero four eighty four hundred up that appointment.
Now when we come back, we're answering, by the way,
(11:03):
some questions questions that you should be asking yourself as
you approach retirement. Coming up next, we're going to ask
how much money should I have in my four oh
one k in my fifties or maybe my early sixties.
We're going to talk about that coming up next right
here on the Haven Financial Group radio show.
Speaker 1 (11:20):
Don't go too far. We're gathering more important insights and
retirement poys Devin The Haven Financial Group Radio Show. We'll
be right back. Stick around. You've got questions, We've got answers.
Your tune to the Haven Financial Group Radio Show with
your host Larry Kolvig and Kim Karragan. Now back to
(11:41):
the show.
Speaker 2 (11:43):
Good morning once again, and welcome to the Haven Financial
Group Radio Show. I'm Larry Koalvig, founder and CEO of
the Haven Financial Group, celebrating our ten year anniversary. Yes,
ten years, I can't believe if fast that went. But
if you're listening and you have questions, worries, concerns about retirement,
the lack of a plan, no plan, give us a
(12:04):
call at six one two five zero four eighty four hundred,
or visit us online at Haanfinancialgroup dot com. All kinds
of retirement tools, all different types of tools.
Speaker 5 (12:14):
A community website.
Speaker 2 (12:16):
Pretty cool that we have a great Haven community site,
very interactive amongst our clients and the public.
Speaker 5 (12:23):
Right now.
Speaker 2 (12:23):
And my wife likes to do certain things and today
this month, our clients are sharing their most popular family recipes.
Love thanks any time, and wow, there's a lot of
good ones that I'm going to have to try out
that's for sure.
Speaker 3 (12:40):
I'm assuming you won't be whipping those up. You'll just
be hoping your wife makes them so you can try them.
Speaker 5 (12:44):
You're the taste tester, right, I'm the taste tester.
Speaker 2 (12:47):
I'll just point out the ones that i'd like to
hear to experiment in.
Speaker 5 (12:51):
Let's put it that way.
Speaker 1 (12:53):
Oh, I love it.
Speaker 4 (12:54):
Oh that is such a fun idea. I absolutely love
that idea.
Speaker 3 (12:57):
Be sure you check that out, folks.
Speaker 4 (12:59):
It's haven financial.
Speaker 3 (13:01):
We're talking about questions that you should be asking yourself
as you're approaching retirement. And one of those questions and Larry,
I know this is kind of a tough one for
you to answer because you don't necessarily like this idea
of preconceived you must have this much for this or that,
because again, everything is individualized. But what we're going to
(13:22):
talk about is just sort of a bit of a
benchmark related to your four to one K or your
iras when you get into your fifties, late fifties, maybe
even early sixties, where you should be. Is there a
number that you like to kind of play around with.
Speaker 2 (13:42):
There absolutely is not a number. We've made this a
numbers game, and I don't like it. To be a
numbers game because of all the years I've done this
across the board, all of us have a different number.
What I do know is as a society, many people
have not saved appropriately. I think the media and four
(14:02):
oh one K balance for Americans in their fifties is
something just under sixty one thousand. Only the average four
oh one K balance for Americans in their fifties that
just under two hundred thousand. For most that's not going
to be enough, but it's more than a number, and
we stress this in our conversations we have with folks
that we sit down with. It's really about income. What
(14:26):
income streams do you have the replacement of a pension,
because most people won't have pensions, including me and my
wife and many listeners don't have pensions. So if you
don't have a pension, then you'll have Social Security at
some point, and I think the fear of them doing
away with is one hundred percent because there's too many
people relying on it. But so you have social Security,
(14:47):
then how much other income do you need to generate
from retirement accounts?
Speaker 5 (14:51):
Because those pensions.
Speaker 2 (14:52):
Were replaced by four to oh one ks four h
three bs TSPs deferred comp a variety of synonymous names,
synonymous names that are all talking about employer plans. That's
that's what we like to talk about. And then what
tax classifications is it? Roth IRA is a traditional IRA.
(15:14):
You know, when do you start drawing? What percent should
you start drawing? Throw taxes in that conversation, because what
are the tax implications if you're if you're contributing to
a four to one k right now, and I hope
you are, especially if their company is matching, which I
know fewer and few companies are matching, take advantage of that,
(15:35):
maybe an open up your own individual iras or wroth iras.
It's fourth quarter? Should you be doing a contribution? Are
you of the age over fifty to do catch up contributions?
These are the continued conversations that we like to have
many times. Talking about money is not necessarily fun, and
for some people it makes it maybe be uncomfortable, but
(15:58):
it's important to have these to find out are you
should you be doing something you're not doing? Do you
have a partner that you can rely on to find
out about these things? And are you getting continued education
in all of these areas, because just when you get
the information things change, the financial landscape and our economy changes,
(16:20):
and we get.
Speaker 5 (16:20):
Older, so that that's a change. How do you how
do you get what do you how do you react
to some of these changes?
Speaker 2 (16:28):
These are the conversations in the areas where we like
to help people. And again it starts with the education.
Speaker 5 (16:34):
Again.
Speaker 3 (16:35):
Sure, absolutely, all right, So we don't want to put
a number. You gave us an idea of what for
one case, maybe the averages highs and lows are right
now here in the country. But I think you would
you've you've already said, you know, if you have the
opportunity to put money in a for one k, you
hope that someone is doing it. It's never too early, right,
(16:57):
It's never too early.
Speaker 2 (16:59):
You got to start some way to get somewhere. A
failure to plan as a plan to fail. I know
in those earlier years because I remember my wife, my wife,
and I remember the kids are young. There's only so
much money to go around. They're in kids' sports and events,
and it's like, oh my gosh, there's nothing left over.
But start somewhere. Maybe start with a percentage. Increase it
(17:20):
annually one percent. You might not even notice it. Out
of sight out of mind.
Speaker 5 (17:25):
So if you're.
Speaker 2 (17:26):
Listening and you're quite young, or you're on your latter
part of your accumulation years, contribute as much as you
possibly can. Take advantage of the contribution changes which have
happened recently where you can put more money away.
Speaker 5 (17:41):
The big beautiful bill.
Speaker 2 (17:42):
We just did a class on that, and how does
it relate to you as you plan for retirement.
Speaker 5 (17:48):
And then the one that we don't want to not
lose sight of.
Speaker 2 (17:52):
But if you're blessed and fortunate to maybe getting an inheritance,
you know, the great Wealth transfer. There's a lot of
books to a lot of columns that are written on
the great Wealth transfer. Maybe you're going to inherit something now.
First and foremost, I hate to see when folks come
in and they go they're just waiting to get an
inheritance for the person to pass away.
Speaker 5 (18:13):
It's like, seriously, but if you.
Speaker 2 (18:15):
Are fortunate to maybe receiving an inheritance, how is that
going to come to you? And how much if you're
open with these people that you're getting there, how much
are you going to get?
Speaker 5 (18:26):
How will it be taxed?
Speaker 2 (18:29):
And it's why it's so important to having a state
plan individually, as a couple, as a family, and hopefully
the people you're inheriting from having.
Speaker 5 (18:37):
A state plan.
Speaker 2 (18:38):
Unfortunately, sometimes that it can go to the state and
federal governments from the form of taxes and not all
to where it's to the recipient that should be receiving it,
so you know, fill in the gaps having a state plan.
I've said many times Carrie and Keith are state planning attorneys.
Carrie has been on with me several times over the
(18:59):
last few years. They do great work. They're not stuffy attorneys.
They start with a conversation, do you need a trust,
do you have a will, powers of attorney? All those
documents and you say, well, I'm too young for that.
If you're eighteen and listening, you should have some of
these documents. It applies to you. And we've made a
(19:20):
state planning a senior topic. It was never designed to
be a senior topic. It was designed for when you
became an adult, accumulated some assets, got married, bought a house,
that's what this was designed for. Yet weekly we sit
down with folks that are in there, well in the sixties, Well,
(19:41):
how long you've been thinking about putting a will together?
Speaker 5 (19:44):
Oh forty five years.
Speaker 2 (19:46):
Oh, you've been thinking about it for forty five years
and it just still hasn't happened. And I'm not making
light of it. But human element is procrastination. There is
nothing better to the see when just this last week
I had a couple in I just described them.
Speaker 5 (20:01):
They've been putting it off for years. They finally got
it done.
Speaker 2 (20:05):
In their case, it was a revocable trust with poor
overwills and all the ancillary documents they got done. We
notarized that, we witnessed all the documents, and they had
a sense of Wow, we finally achieved something, and there
was a feeling of peace of mind for them, each
other and their family. And that's what I like. I
(20:26):
call that success, and that's what we really like to
help people.
Speaker 3 (20:30):
So, Larry, let's back up if we could for just
one section. So let's say that you've done a good
job and you've saved a lot of money in your
four or one K because you've been saving it since
you went to work at twenty one, and you've rolled
it over from job to job and so on and
so forth, and you've got iras and you've done a
really great job and you get out here and you retire,
(20:53):
and now what because now I have these accounts and
I don't know what to do.
Speaker 4 (20:57):
That's something that you.
Speaker 3 (20:58):
Folks at Haven can also help with how to start
to use that as income.
Speaker 2 (21:04):
Yeah, there's something to say about simplification and consolidation. You know,
sometimes maybe you hopped around and you have I just
said somebody in the last week and a half they
were a consultant and they had together I think like
eight orphaned four o one k's. They weren't contributing out
of sight, out of mind. They were just all lingering
out there and obviously nobody's paying attention. They weren't paying attention.
(21:27):
The custodians weren't paying attention. We like to look at
this retirement and investment planning holistically. Is everything working together?
What types of accounts are they? Should you be doing
some four to one K rollovers, simplifying the amount of
accounts that you have, yet still maintaining diversification. If you're
fifty listing in your fifty nine and a half and
(21:50):
still working, you can do that right now. The federal
government says and allow as in ninety nine percent of
employer plans, Hey, you're getting closer to retirement. Oh, you
may want to explore other investment options outside of your
four oh one K, still contribute and the employer will
still match. I just had a three M retiree forty
(22:13):
some years with three M and been a great saver,
great saver. Her and her husband really built up her
four to one K a lot, and she's like, you know,
I'm on a year from retirement. I don't want to
gamble in the market with all of my four to
one K anymore. I just don't, and they don't have to.
And so she moved about seventy percent of hers outside
(22:33):
of the four to one K, put some protective measures
in there, and whatever happens in the next year with
the markets won't have a huge negative effect, which it
would have had she been kept it where it's at
and then the market not cooperate in the next twelve months.
So there's a method to the madness, and that's where
we help people. But again knowing what types of accounts,
(22:57):
making sure that every everything's flowing the ways, and then
of course eventually we'll set up an income distribution tax
plan to make sure we're drawing from the right accounts
in the most tax efficient way possible.
Speaker 3 (23:09):
Six one two five zero four eight four zero zero.
Are we hitting a chord with you? And you've got
some questions about your four oh one K and you're
getting close to retirement and you're wondering, how do I draw?
Speaker 4 (23:22):
How can I possibly?
Speaker 3 (23:23):
You know you have orphan four one ks out there
and you need to get them all consolidated. Give the
folks at Haven Financial Group a call.
Speaker 4 (23:30):
It's six one.
Speaker 3 (23:31):
Two five zero four eighty four zero zero. They can
answer those questions. And all of your retirement needs.
Speaker 4 (23:37):
Coming up next.
Speaker 3 (23:38):
Social Security isn't enough, so what's next? That's right here
on the Haven Financial Group Video Show.
Speaker 1 (23:45):
Ready to find your financial safe haven. Your dream retirement
is in reach. Don't go away, The Haven Financial Group
Radio Show will be right back. Are you worried that
your financial strategy might be missing something, Well, you're in
the right place. Larrklvig is back and ready to help
you find your financial safe haven.
Speaker 5 (24:07):
Welcome back listeners.
Speaker 2 (24:09):
My name is Larry Kolvig, founder and CEO of the
Haven Financial Group, And if you're just tuning in, you're
listening to the Haven Financial Group Radio Show, where weekly
we discuss crucial retirement and financial topics that can make
the difference between surviving retirement and thriving through it. And
the golden years, we want to make sure they're as
golden as possible. So if you're listening today and you
(24:30):
have questions, worries, concerns, reservations, again, do I have a plan?
Speaker 5 (24:35):
Do I not have a plan?
Speaker 2 (24:37):
Or maybe you just are unaware that all this stuff
exists out there, Feel free to give us a call
again six one two five zero four eighty four hundred,
or visit us online at Havenfinancialgroup dot com.
Speaker 5 (24:50):
Come to some of our classes. They're informative.
Speaker 2 (24:53):
We have all kinds of educational tools and you can
get a lot of those questions answered, and it could
start there.
Speaker 3 (24:59):
Heave of our show too is are you asking the
right questions related to your retirement? And the next segment
here we want to talk about social security. And you know,
Larry has been very clear about the idea that social
security for most people is not enough income in those
golden years. So if social security is not enough for you,
(25:21):
what are other means by which you can draw income?
And there are a number of different Obviously, you have
retirement funds, you have those kinds of things. But there's
also Larry annuities which function very much like social security
but and aren't great for everyone all the time. But
there are some benefits to maybe annuities.
Speaker 2 (25:44):
Yes, there is. This is a great debate. You probably
have seen ads over the years which I have. I
hate annuities, You should hate annuities. Everybody should hate annuities.
And quite frankly, that's a real generalization. And what it
tells me is somebody's trying to market to you. You
trying to distract you my encouragement. Again, it comes back
to get all the facts. Are they appropriate for everybody?
(26:07):
The answer is no. Can they be used effectively?
Speaker 5 (26:11):
Yes?
Speaker 2 (26:12):
Can they be used as part of an overall plan
within the side of a retirement portfolio? For many the
answer is yes, But when used appropriately. And here's where again,
over the course of the years, every year I do
about a handful of the class. It's called the truth
about annuities because I see them used high percentage of
(26:34):
the time in the wrong way. Some of that is
because somebody's trying to sell you on something. Maybe that's
the only thing they got in their toolbox, and they
don't have all the other things in their quiver and
they're just trying to sell you. You have to be
very careful. And here's what I mean by that. There's
four types of annuities. Okay, I'm going to simplify this
to the best of my ability. There's four types. There's
(26:57):
immediate annuities, which people might turn your money over to
an insurance company, because all annuities are through insurance companies,
all annuities. Then there's the variable annuity, which is oftentimes
the most popular, that's in the stock market, sub accounts.
It's got risks in the market, and oftentimes they have
(27:18):
much higher fees than you're aware of. My encouragement if
you're listening and you don't know what kind of annuity.
If you do have an annuity, come on in and
get an annuity review and annuity exam.
Speaker 5 (27:29):
I call it.
Speaker 2 (27:30):
Variable annuities are the highest paying financial commission product in
the industry. Not saying that's good or bad or indifferent,
but maybe that's why they're trying to sell them.
Speaker 5 (27:38):
I'm just saying I don't know for sure.
Speaker 2 (27:41):
And then you have fixed annuities, which are just like
bank CDs but through an insurance company. And you have
fixed indexed annuities which can be They can be used
as an accumulation piece.
Speaker 5 (27:54):
They're fixed.
Speaker 2 (27:56):
The last two I mentioned don't have to have any
fees variables to have higher. So I'd start with saying,
should you have one? Does it make sense if you
do have them? Do you have the right ones? And
there's a variety of different reasons which I can get
into as to why one would have them or not
have them.
Speaker 3 (28:15):
Okay, well let's talk about that, like, for example, income predictability, right,
that would be one reason to have one.
Speaker 5 (28:22):
Yeah, you hit it. For income.
Speaker 2 (28:24):
Annuities can guarantee a certain lifetime income based upon the
amount you put in for the rest of your life
without annuitizing my recommendation, because whatever the balance in the
account is when you pass it goes to your spouse
or to your loved ones like any other beneficial interest.
So they can be used very good for guaranteeing income.
Problem is, I'll give you an example. I just helped
(28:47):
the client, a newer client. If she owns a practice,
a dental practice over in the western suburbs, and she
came in because she was referred to us. She had
a fixed index annuity. Two of them about one point
three million. One point two million was all in two
fixed indextinuities, which was designed for income. Well, guess what, Kim,
(29:09):
she's within two years of retiring. She's never gonna need income.
She's gonna have an income problem, if that's even possible,
but it is, which leads to a tax problem. So
somebody sold her two fixed indextinuities for designed for income,
very minimal to little growth, and she's never gonna need income.
And number two, which is you should never have that
(29:33):
much of your investments in annuities. There's rules and regulations
you should never have more than half or less in
an annuity, and unfortunately I see that way too often,
real quickly. The others that are used for long term
care rids on a fixed indextinuity. We just had a couple.
They're very concerned about the nursing home. They've done a
(29:55):
good job for saving They each put two hundred and
fifty thousand of qualified money into a fixed indextinuity with
a long term care rider. And there's much better ones
than there used to be, and now they have some
significant protection from the nursing home as far as paying
those bills. So again, an example what they can be
utilized for and what we utilize it for in our portfolios,
(30:18):
most often for accumulation purposes, or a bond replacement to
fit into the portfolio of stocks, bonds, fixed indextinuity for accumulation,
and it can create some great diversification, which ultimately is
what we're looking for.
Speaker 4 (30:36):
All right, very good.
Speaker 3 (30:38):
So in the end, I think what I've heard you
say is that if annuities are something that you're interested in,
before you step into an annuity, be sure that you
sit down with a partner, like the folks that have
in financial group, walk through what your financial situation is
and what you're thinking about, so you can maybe get
(30:59):
some vice from someone who really knows the business and
who's not necessarily in the business of selling annuities, but
instead in the business of advising. Because Larry, unfortunately, the
lovely woman that you spoke about that had so much
money in those annuities, there's no coming out, there's no
turning back.
Speaker 2 (31:18):
We had to develop a systematic plan over time, because
one has to understand is all annuities have terms terms.
Speaker 5 (31:26):
What are the terms to yours? What kind you have?
Speaker 2 (31:29):
What's the liquidity factor of those accounts because usually they're
ten percent penalty free or less. These are the questions
you want to ask, and we're ask all the questions.
Speaker 5 (31:41):
Get the answers.
Speaker 2 (31:42):
Now you can make an educated decision because it is
a contract.
Speaker 5 (31:46):
It is a contract.
Speaker 2 (31:47):
Some would say it's written in a foreign language, and
I would say, you don't speak that language, but you
should speak the language before you get a contract. Understand,
talk through it. Are the effective for income? Yeah, I'm
not going to downplay that. We call with annuities for income,
we call it mailbox money.
Speaker 5 (32:04):
The fear of out living my money.
Speaker 2 (32:07):
An annuity for income can take care of that because
the income can last for the rest of your life
and your spouse is again get all the details.
Speaker 3 (32:15):
Sure, absolutely, And if you already have an annuity but
you really don't know what that annuity is all about,
Larry and his team can take a look at that
and talk to you as he has just mentioned numerous
clients who have come to him with annuities and walk
through it and if some kind of plan needs to
be put together to make your annuity situation more beneficial
(32:37):
to you, if that's possible. Certainly, the folks that have
in financial group.
Speaker 4 (32:41):
We're going to do that.
Speaker 3 (32:42):
So how do we get started.
Speaker 4 (32:44):
We got to give him a call.
Speaker 3 (32:45):
It's six one two five zero four eight four zero zero.
Speaker 4 (32:49):
Call.
Speaker 3 (32:50):
Tell whomever answers the phone that you heard us here
on the radio, and that you'd like to come in
sit down, and you'd like for someone on the team
to look through annuities that you already have, or you'd
like to talk about annuities, or maybe you need to
put together a retirement portfolio, any kind of retirement issues
that you may have. The folks there at Haven can
certainly address them.
Speaker 4 (33:10):
Again.
Speaker 3 (33:11):
It's six one two five zero four eight four zero zero.
Speaker 4 (33:15):
Coming up next, we're.
Speaker 3 (33:16):
Going to talk about the dreaded taxes. Larry, it's your
favorite subject, he sure is.
Speaker 4 (33:21):
That's coming up next. Yere on the Haven Financial Group
Radio Show.
Speaker 1 (33:25):
Don't go too far. We're gathering more important insights and
retirement pays the Haven Financial Group Radio Show. We'll be
right back. Stick around. You've got questions, We've got answers.
Your tune to the Haven Financial Group Radio Show with
your host Larry Kolvig and Kim Karragan. Now back to
(33:45):
the show.
Speaker 2 (33:47):
Good morning once again, and welcome to the Haven Financial
Group Radio Show. We thank you for listening this morning.
Feel free to give us a call at six one
two five zero four eighty four hundred, or visit us
online at Haven Financial dot com.
Speaker 5 (34:00):
Set up a time, just come on, come on in
and visit with us.
Speaker 2 (34:04):
By now, you know, after all the years I've been on,
we are coffee snobs and we like fresh cookies for
all our meetings. You know, the important, the important finer
things in life.
Speaker 5 (34:15):
Uh.
Speaker 2 (34:16):
And on top of it, you can get all the information,
ask all the questions you want, because it really does
start with questions. And I can't believe how many times
we hear, well, how long have you had this question?
I've had this question a very very long time. Our
job description, i'd say, is to answer questions because if
you have questions and you get answers, then you can
(34:37):
avoid some of these mistakes that people make planning for retirement.
Speaker 5 (34:41):
And that's what we're trying to do.
Speaker 3 (34:43):
Yeah, we're answering questions that you should be asking as
you approach retirement or if you are in retirement, and
one of those is related to taxes of course, and
just making sure that you are protecting yourself from Uncle
Sam the best that you can. He's the uncle that
we'd rather not pay as frequently as we all do.
Speaker 4 (35:05):
Folks.
Speaker 3 (35:05):
You may not know this, but one of the largest
expenses you may have in retirement are taxes. So how
do we go about protecting our dollars and keeping from
having to write those big checks every year? Larry, I
think one of the first things you would say is
that you've got to have a plan. You can't just
go in and take your taxes and drop them off
and go pick them up.
Speaker 4 (35:26):
You've got to have a plan.
Speaker 2 (35:28):
Yeah, avoiding the same mumbles every year and alive every year.
I owe this money every year, I owe this money.
Why do I owe this money? We hear it the
grapes every single tax season. And my suggestion is, why
don't you fix the problem so next year you don't
have the same problem, have the proper withholdings. Why is
(35:48):
it you have a big bill every year? But if
you're not tax planning and you're just getting taxes prepared,
and you're like many today that I just drop them
off and I pick them up, I don't even talk
to my tax preparer anymore. You're not getting the attention
that you really deserve to avoid a lot of these
tax pitfalls that.
Speaker 5 (36:07):
Could be avoided.
Speaker 2 (36:08):
So Number one, work with somebody that likes to plan
throughout the course of the year. Lance Larson and assistant
Melissa Lance has been on and he would say this
January through April fifteenth is tax preparation, but the rest
of the year is tax planning. And by proper tax planning,
you can avoid the grumbles come April fifteenth. In fact,
(36:31):
it's possible because I've seen them many, many, many times.
You could leave tax that tax meeting April fifteenth and
guess what, have a smile on your face to go, wow,
it worked out exactly the way I thought it was
going to work out.
Speaker 5 (36:46):
But that takes tax planning, not just drop off and
pick up.
Speaker 1 (36:50):
Right.
Speaker 3 (36:50):
Well, let's talk about some of the tools that really
are in your toolbox and maybe you don't even realize
it when it comes to trying to keep that tax
build down.
Speaker 2 (36:59):
Well, are you making contributions to those iras your four
oh one k's many, not all, but many for one k's.
Are those types of accounts have wroth options? Should you
be based on your circumstances, should you be putting one
hundred percent of it in the pre tax, fifty percent
in pre tax, fifty percent in WROTH. You know what
(37:20):
makes the most sense with your situation, we'll have that conversation.
Are you are you taking advantage of the catchup limits
if you're over fifty, I hope you are, whether it's
you and or for your spouse, to make sure, how
do you reduce that tax liability.
Speaker 5 (37:37):
In any way possible. I'll tell you what.
Speaker 2 (37:40):
It's fourth quarter, and I want to say that we
did probably a couple dozen irate of WROTH conversions for
clients this week because it's this time of the year
where we're sitting down and by the way, tax brackets
are historically low. They have been will continue for the
next three years for sure, and this gives a lot
(38:00):
of folks that we sit down with an opportunity, not
for all, to make sure, depending upon their income situation,
to fill up that twelve percent bracket. Make sure you
fill it up. Pay twelve now or fifteen or higher
in the future. They're not going to be lower. So
if that's five thousand or fifty thousand and irate a
(38:20):
ROTH conversion, yes, it starts a five year timeline and
you can't touch the earnings, but that's part of the
overall plan.
Speaker 5 (38:29):
Or maybe you need.
Speaker 2 (38:30):
To pad your savings account. We've talked about emergency liquid funds,
the need for it. Take an IRA distribution, pay the
twelve percent, fill your savings account up, whatever it takes.
That's what the planning process is. In the fourth quarter,
every January February, every new year, I'll sit down with
new folks, have a conversation and by the way, based
(38:52):
upon our conversation, did you put twenty or convert?
Speaker 5 (38:57):
Oh?
Speaker 2 (38:57):
No, our tax person never told us. Well, the deadline
for that is the end of the year, not April fifteenth.
So these timelines are very important. The element of time
becomes that much more important, and cam what we're trying
to do in those earlier years of retirement. We're trying
to do this to minimize the effect of required minimum
(39:18):
distributions when you turn seventy three, which that is the
age now, and in seven years it's going to go
to age seventy five. So this just isn't a nonchalant
I'll just do it because it sounds cool.
Speaker 5 (39:30):
It's there's a reason for doing.
Speaker 3 (39:32):
It right, and you have to have that long term
plan to really understand that full reason that you're doing
it again, those minimum distributions. All of a sudden, your
income becomes bigger, so you want to.
Speaker 4 (39:45):
Take care of that.
Speaker 3 (39:46):
Prior to talk, if you will, Larry, I know you've
shared a few stories in the past, but share a
story or two, if you will, about clients who maybe
didn't get help and then all of a sudden they
start getting income and they're being text higher than they
were when they were working.
Speaker 2 (40:03):
Oh yeah, I mean I have numerous stories. One resented
this past six months, a newer client. We're doing his
taxes and actually he was talking Medicare and healthcare. In Medicare,
there's a two year look back and a couple of
years ago, his financial advisor thought of this great idea,
which if it is a good idea, people should do it.
But in this case they did a huge irate of
(40:25):
wrath conversion.
Speaker 5 (40:27):
Sounds great.
Speaker 2 (40:28):
Two years later, two year lookback. Because of that big conversion,
it put them over the threshold for Medicare. Now he
pays more and it cost them thousands of dollars in medicare. See,
these things have to work together, and if they're not
working together, meaning the investments, the insurance, the taxes, the medicare,
(40:50):
any of these by doing something can affect the other
and cost you can be very costly. So these retirement
puzzle pieces, they need to be part of the same puzzle.
And if they're not talking to each other and working
together or coordinated, it could be cost you anymore.
Speaker 5 (41:09):
And you shouldn't pay.
Speaker 2 (41:11):
By the way, if you're listening and you don't know
what you're paying your guy or gal to manage your money.
Speaker 5 (41:17):
No, that's a no note. You should know exactly what
you're paying.
Speaker 2 (41:19):
Nothing's free, but weekly I see people paying two to
three times the going rate in the industry just because
people don't know. Don't be afraid to ask the question.
Number two, you shouldn't be paying extra for the added
value of tax planning. Yes, we charge lance charges for
tax preparation. Very fair. He's been a CPA for years.
(41:41):
I see a lot of people retire. He's using these
big box tax prepare houses. You can if you want,
but many of them are just tax preparers and some
of them charge a hefty amount. So awareness of costs,
having somebody qualified to help you a partner in these
areas and then modify these things and change as change happens.
(42:02):
Life's calendar doesn't always cooperate with our calendar, right, so
it's adjusting on the fly.
Speaker 3 (42:07):
Well, it brings us full circle now to talk about
Haven Financial Group. This is a full service financial organization.
They don't just prepare taxes. They don't just manage your
functioning money. But we've heard Larry talking about it today.
They educate about social Security, they put together plans, they
talk about taxes, they talk about Medicare, they talk about
(42:29):
estate planning. All of that can be done under one roof.
That's what really makes the place special, Larry.
Speaker 4 (42:35):
Because you're right.
Speaker 3 (42:36):
If the right hand isn't talking to the left hand,
all of a sudden, you've got a big problem for sure.
Speaker 2 (42:42):
You know, ten years ago when they had the privileges
starting the company, the ultimate goal was to put multiple
personalities in all of these different retirement areas. Thankfully, fast
forward to twenty twenty five, we've been able to do
that with Kerry and Keith and our estate plan. We
got Isabella and Glenn, and by the way, Medicare, we
probably help many many hundreds, if not thousands in Medicare.
(43:05):
Annual enrollment is coming to a close here December seventh.
If you left it to the end, give us a call,
long term care, life insurance reviews, anewity exams. I've got
a great investment team of twelve, wealth management, portfolio management,
tax planning prep, all of those under one roof. Now
they don't have to be under the same roof, but
(43:27):
it is the number one compliment I get. Wow, it's
so nice to have it all here at one stop shop.
And quite frankly, that is the greatest compliment. And pretty
much everything starts with education, and not just new folks
off the streets. We're constantly educating our existing clientele and
guess what in ten years, word of mouth happens. We
(43:51):
get lots of referrals. Now are we humans? Is there
a human element?
Speaker 5 (43:56):
Yes?
Speaker 2 (43:57):
But we pride ourselves on twenty four our response times.
Speaker 5 (44:01):
I don't We don't want to be the stigma.
Speaker 2 (44:03):
Wow, I called my guy two weeks ago and I
still haven't got a call back. That's not the stigma
that I want in for Haven Financier Group. And we're
very blessed and fortunate just have a great staff and
because of that we get to help a lot of
wonderful people. Just like the listeners that are listening this morning.
Speaker 3 (44:22):
So are you asking the important retirement questions that's been
the theme today and we've answered some of them. But
if you have other questions, if you have other issues
that you'd like addressed, call the folks at Haven Financial Group.
It's six one two five zero four eight four zero
zero six one two five zero four eighty four hundred.
So as I look at this Larry great show. By
(44:44):
the way, we will not be chatting with one another
before Thanksgiving or the listeners.
Speaker 4 (44:50):
So happy Thanksgiving to you.
Speaker 5 (44:52):
Yes, happy Thanksgiving to you.
Speaker 2 (44:54):
We're very fortunate, we're very blessed, So enjoy family time
and happy Thanksgiving to everybody.
Speaker 3 (45:00):
Investment advisory service is offered through Guardian Well Strategies LLC,
Haven Financial Group and Guardian Well Strategies LLC are not
affiliated companies, and investments involve risk, and, unless otherwise stated,
are not guaranteed. Please consult with the qualified financial advisor
and or tax professional before implementing any strategy discussed herein
and comments regarding it Safe and secure.
Speaker 1 (45:21):
Investments and guaranteed income streams only refer to fixed insurance products.
Speaker 5 (45:25):
They do not refer in any way to securities or.
Speaker 1 (45:27):
Investment advisory products.
Speaker 3 (45:29):
Fixed insurance and annuity product guarantees are subject to the
claims paying ability of the issuing company.
You worked hard for your money, but do you know
how to make it work hard for you. You need
a team with experience, vigilance, and a strategy to help
you live the retirement you deserve. Find your financial safe
haven with Haven Financial Group. Today you're listening to the
new and improved Haven Financial Group Radio Show, where we
bring you comprehensive weekly financial wisdom from the professionals. It's
(00:23):
all about helping you solve retirement problems so you can
make your nest egg last. Your tune to the Haven
Financial Group Radio Show with your host Larry Kolvig and
Kim Karrigan your guides to weekly retirement confidence. If you're
interested in protecting and growing what you have, let us
be your financial safe haven. The phone lines are always
(00:43):
open at six point two five oh four eighty four hundred.
Now get your financial questions ready because the Haven Financial
Group Radio Show starts now.
Speaker 2 (00:55):
Good morning, and welcome to the Haven Financial Group Radio Show.
I'm Larry kolvigphone and CEO of the Haven Financial Group
on with Kim Carrigan. Kim, good to be with you.
We've got a lot to talk about again this week.
Speaker 3 (01:06):
Yeah, it's great to be with you as well. I
was going to check in with you to see if
you guys are getting all ready for Thanksgiving?
Speaker 4 (01:13):
Can you believe it?
Speaker 3 (01:14):
Here?
Speaker 4 (01:14):
It is Thanksgiving week?
Speaker 2 (01:17):
It's hard to believe that we're going to be coming
into Thanksgiving week? Am I getting ready? As ready as
I ever will get ready? Which doesn't take much. My
wife's amazing cook, and I just show up and I'm
told where to go about that?
Speaker 4 (01:32):
Now? Will all the ladies be at home for the Halloween?
Speaker 2 (01:35):
We will be fortunate to have all four daughters and
we go to locally to my youngest brother's place in
Maple Grove and my parents. So a good family event
because you know, you know, with the busy schedules, time
just doesn't permit.
Speaker 5 (01:50):
So it'd be great to have them all together.
Speaker 4 (01:52):
Yeah, you know, it's Thanksgiving.
Speaker 3 (01:55):
I love Christmas, but I love Thanksgiving because you don't
have that pressure of gifts and it's just all about
family and eating, and my goodness, does it get any
better than that?
Speaker 5 (02:04):
Right? It does not be right?
Speaker 2 (02:07):
You know, Christmas comes earlier and early and earlier, and
I've been of the sound mind that we don't start
Christmas until Thanksgiving happens. Let's give thanks first, and then
we'll go on to Christmas.
Speaker 3 (02:17):
And let's get it started. Well, we got a great
show today. We're going to talk about whether you're asking
the important questions when it comes to retirement. And probably
the first.
Speaker 4 (02:28):
Thing that people are thinking is, well, what are those questions? Right?
Speaker 3 (02:31):
So we're going to try to answer that for everybody.
We're going to start with this retirement age too low?
Then we'll talk a little bit about four one case,
and you know, give some target numbers where you should
be along the way social security? Is it enough and
if not, then what's next for you? And finally, how
are my retirement accounts taxed? Taxes being one of the
(02:54):
biggest bills. Retirees sometimes have that in healthcare, so it's
really important to be aware of what's being taxed and how. So, Larry,
let's get started with is the retirement age too low?
I think this is such an interesting question and really
kind of a political one, isn't it.
Speaker 2 (03:13):
It is depending on which side of the get a
eel you're on, you got two differences of opinion. You know,
Republicans say they tell raising the retirement age, which many
including Larry Fink from Blackrock, says that the retirement age
is too low, and you know, I might side a
little bit on that that it is a little bit.
So Security has some serious solvency issues. We got seven
(03:36):
years without any change before we run into some serious issues,
meaning we're not going to have them enough money to
pay all the obligations. The other side, the Democrats, they
want to keep it the same. You know, Congress may
eventually come to a happy medium, but something is going
to have to give. Because I just mentioned seven years,
we have an insolvency problem. So how do we What
(03:59):
are some of the reforms that they're talking about.
Speaker 5 (04:02):
None of these are going to make you or I
are the.
Speaker 2 (04:04):
Public excited or happy because we've been paying in our
whole life. We all want something back. I get it
for sure. But some of the ways they're talking about, well,
let's just tax all of your income, and that's a possibility.
They could change the Social Security formula and now we're not
going to get into the weeds of what that social
Security formula looks like. My joke is, I'm sure they
(04:27):
would consult with us first. Highly doubtful.
Speaker 3 (04:32):
I'm not sure you had to even say that was
a joke. I think we would have fall picked up
on it so.
Speaker 5 (04:37):
They could change the formula.
Speaker 2 (04:39):
One that really gets people up in arms is if
you've done a good job saving for retirement or saving
for social Security, or excuse me, saving for retirement on
your own, you've been a great saver, then you're not
going to get social Security, which is means testing, which
I think is flat out mean. See, we're not going
to like any of these changes, but something is gonna
(05:00):
have to give. Because back in nineteen thirty five, when
Social Security was really signed into law by Roosevelt, it
was designed to be really a two year window of
collecting income. Women's life expectancy were somewhere between sixty sixty
five to sixty seven. Men's was like sixty three to
(05:21):
sixty six. You could collect at age sixty five, so
you could say social Security was designed for a two
year window. Fast forward to twenty twenty five, ten year,
twenty years, even thirty year window. I think a few
years ago at Haven Financial Group, I was curious to
see how many of our clients had been collecting for
(05:43):
thirty plus years, and at that time we had nine
of them thirty years of collecting social Security. It's a
big number, and therefore something is going to have to give,
and again none of us are going to like it,
but something has to happen.
Speaker 4 (05:58):
Yeah. Absolutely.
Speaker 3 (06:00):
You know, it's really interesting if you just talking about those,
you know, life expectancy numbers when Social Security came to
be and changing the retirement age. I mean, we are
all much healthier and living much longer lives. So it
really does sort of make sense that we need to
start to push this back a bit, right.
Speaker 5 (06:20):
It does.
Speaker 2 (06:21):
In fact, many would say social Security is an outdated system.
It dates back to the in my research, the Ottoman Empire,
so many many many.
Speaker 5 (06:29):
Years ago, so you could say it's outdated. You know.
Speaker 2 (06:33):
Others the thoughts are Australia says their law is one
flat benefit for everybody. I think that's going to be
hard to pass in the United States. Raising the retirement age,
that seems like a very logical one because we already
have done that a couple times.
Speaker 5 (06:50):
That comes with some.
Speaker 2 (06:53):
Concerns as well, because France a couple of summers ago
raised there's from sixty two to sixty four, and we
know there was writing in the streets and there was
an uproar, and we hope that doesn't come to the
United States, but raising the retirement age a lot of
conversations I'm hearing and what I'm reading is raising it.
Speaker 5 (07:09):
To the age seventy.
Speaker 2 (07:10):
We'll see, We'll see, but it is depending on what
side of the aisle. There's two school of thoughts here
and time will determine what changes are going to happen.
Speaker 5 (07:18):
But we have to have some change. Well.
Speaker 3 (07:20):
Social Security Trust Fund that pays retirement and survivor benefits
is projected to run out by twenty thirty three. Do
you anticipate, whatever the change may be, it's going to
happen before twenty twenty three, or you know, are we
going to like we do the budget, are we going
to push this right up to the very edge and
then see what happens?
Speaker 2 (07:42):
I would bet politicians do what politicians do, and that
push it up right to the edge and then panic
and then you know, that's my guess, But I guess
it's in. I guess anybody knows it's kaim. It's why
we teach a lot of social security classes.
Speaker 5 (07:56):
Sure listeners can.
Speaker 2 (07:58):
Go to a Havenfinancialgroup dot com check out all our classes,
social Security and tax investment classes, Medicare classes, We just
had another fraud prevention two classes that were full teaching
on senior and fraud prevention. So we're very big into
the education piece, and we've always big it into social
security education because there's a lot of worry and concern.
Speaker 5 (08:21):
Do I turn it on at sixty two?
Speaker 2 (08:23):
Ironically, seventy percent of Americans turn on right away, one
to two percent way till the age of seventy, which
is the latest, which tells me there's a lack of education.
When you take it is a personal decision. But having
all the information, having all the facts, you know, knowing
what you can make prior to full retirement age, but
which by the way, is determined by your birthday. It
(08:46):
could be aged sixty five, sixty six, two months, four
months up to age sixty seven. So having all the
facts are very important and that's what we help people with.
When they come out to a class, they'll have the
ability to come into listeners or anybody that anybody would
come across could come in. We'll run a social security
maximization report people. I call it the roadmap to social Security,
(09:09):
and just by having conversation, you'll know this is the
most optimum time to take it. For us personally or
maybe as a couple and as a family, and that's
the rood of it. That's how you make good, educated decisions.
Speaker 3 (09:22):
Sure, absolutely, So what I hear you saying, Larry, is
that for people who are listening right now and they're
not sure exactly when it would be most beneficial for
them to turn on their social security, maybe they're approaching it,
maybe they're sixty right now, late fifties, and they're trying
to set.
Speaker 4 (09:38):
Forth a plan.
Speaker 3 (09:40):
A great way to do that would be number one,
attend one of the seminars and learn more about social
security and then call the folks that have in financial
group and sit down and you can actually put together
a customized social security plan that's best for your life.
What's right for your brother, right for your neighbor is
(10:00):
probably not right for you, or most likely wouldn't be.
Speaker 2 (10:03):
Yeah, I mean hear it all the time. Well, I
just thought everybody turned it on at sixty two. Well
my best friend did, so why wouldn't I? And there's
all kinds of variables. Are you working, are you not working?
How much can I make? Do you need the money?
Speaker 1 (10:16):
You have?
Speaker 5 (10:16):
Longevity in your family?
Speaker 2 (10:18):
The surviving spouse consideration that surviving spouse could live ten
twenty years, and the higher social security remains, the smaller
one falls off. And I would think most of us
would want to leave our spouse in the best position possible.
So if this is ringing your ears, if you're hearing something,
come on in, have a conversation and guess what you
(10:38):
have nothing to lose whatsoever?
Speaker 3 (10:41):
Six one two five zero four eight four zero zero.
That's where you start. You give them a call at
Haven Financial Group telling me you hurt us here on
the radio, and you'd like to talk about a social
security plan as well as maybe putting together a retirement
portfolio and so many other things. Again that number six
one two five zero four eighty four hundred up that appointment.
Now when we come back, we're answering, by the way,
(11:03):
some questions questions that you should be asking yourself as
you approach retirement. Coming up next, we're going to ask
how much money should I have in my four oh
one k in my fifties or maybe my early sixties.
We're going to talk about that coming up next right
here on the Haven Financial Group radio show.
Speaker 1 (11:20):
Don't go too far. We're gathering more important insights and
retirement poys Devin The Haven Financial Group Radio Show. We'll
be right back. Stick around. You've got questions, We've got answers.
Your tune to the Haven Financial Group Radio Show with
your host Larry Kolvig and Kim Karragan. Now back to
(11:41):
the show.
Speaker 2 (11:43):
Good morning once again, and welcome to the Haven Financial
Group Radio Show. I'm Larry Koalvig, founder and CEO of
the Haven Financial Group, celebrating our ten year anniversary. Yes,
ten years, I can't believe if fast that went. But
if you're listening and you have questions, worries, concerns about retirement,
the lack of a plan, no plan, give us a
(12:04):
call at six one two five zero four eighty four hundred,
or visit us online at Haanfinancialgroup dot com. All kinds
of retirement tools, all different types of tools.
Speaker 5 (12:14):
A community website.
Speaker 2 (12:16):
Pretty cool that we have a great Haven community site,
very interactive amongst our clients and the public.
Speaker 5 (12:23):
Right now.
Speaker 2 (12:23):
And my wife likes to do certain things and today
this month, our clients are sharing their most popular family recipes.
Love thanks any time, and wow, there's a lot of
good ones that I'm going to have to try out
that's for sure.
Speaker 3 (12:40):
I'm assuming you won't be whipping those up. You'll just
be hoping your wife makes them so you can try them.
Speaker 5 (12:44):
You're the taste tester, right, I'm the taste tester.
Speaker 2 (12:47):
I'll just point out the ones that i'd like to
hear to experiment in.
Speaker 5 (12:51):
Let's put it that way.
Speaker 1 (12:53):
Oh, I love it.
Speaker 4 (12:54):
Oh that is such a fun idea. I absolutely love
that idea.
Speaker 3 (12:57):
Be sure you check that out, folks.
Speaker 4 (12:59):
It's haven financial.
Speaker 3 (13:01):
We're talking about questions that you should be asking yourself
as you're approaching retirement. And one of those questions and Larry,
I know this is kind of a tough one for
you to answer because you don't necessarily like this idea
of preconceived you must have this much for this or that,
because again, everything is individualized. But what we're going to
(13:22):
talk about is just sort of a bit of a
benchmark related to your four to one K or your
iras when you get into your fifties, late fifties, maybe
even early sixties, where you should be. Is there a
number that you like to kind of play around with.
Speaker 2 (13:42):
There absolutely is not a number. We've made this a
numbers game, and I don't like it. To be a
numbers game because of all the years I've done this
across the board, all of us have a different number.
What I do know is as a society, many people
have not saved appropriately. I think the media and four
(14:02):
oh one K balance for Americans in their fifties is
something just under sixty one thousand. Only the average four
oh one K balance for Americans in their fifties that
just under two hundred thousand. For most that's not going
to be enough, but it's more than a number, and
we stress this in our conversations we have with folks
that we sit down with. It's really about income. What
(14:26):
income streams do you have the replacement of a pension,
because most people won't have pensions, including me and my
wife and many listeners don't have pensions. So if you
don't have a pension, then you'll have Social Security at
some point, and I think the fear of them doing
away with is one hundred percent because there's too many
people relying on it. But so you have social Security,
(14:47):
then how much other income do you need to generate
from retirement accounts?
Speaker 5 (14:51):
Because those pensions.
Speaker 2 (14:52):
Were replaced by four to oh one ks four h
three bs TSPs deferred comp a variety of synonymous names,
synonymous names that are all talking about employer plans. That's
that's what we like to talk about. And then what
tax classifications is it? Roth IRA is a traditional IRA.
(15:14):
You know, when do you start drawing? What percent should
you start drawing? Throw taxes in that conversation, because what
are the tax implications if you're if you're contributing to
a four to one k right now, and I hope
you are, especially if their company is matching, which I
know fewer and few companies are matching, take advantage of that,
(15:35):
maybe an open up your own individual iras or wroth iras.
It's fourth quarter? Should you be doing a contribution? Are
you of the age over fifty to do catch up contributions?
These are the continued conversations that we like to have
many times. Talking about money is not necessarily fun, and
for some people it makes it maybe be uncomfortable, but
(15:58):
it's important to have these to find out are you
should you be doing something you're not doing? Do you
have a partner that you can rely on to find
out about these things? And are you getting continued education
in all of these areas, because just when you get
the information things change, the financial landscape and our economy changes,
(16:20):
and we get.
Speaker 5 (16:20):
Older, so that that's a change. How do you how
do you get what do you how do you react
to some of these changes?
Speaker 2 (16:28):
These are the conversations in the areas where we like
to help people. And again it starts with the education.
Speaker 5 (16:34):
Again.
Speaker 3 (16:35):
Sure, absolutely, all right, So we don't want to put
a number. You gave us an idea of what for
one case, maybe the averages highs and lows are right
now here in the country. But I think you would
you've you've already said, you know, if you have the
opportunity to put money in a for one k, you
hope that someone is doing it. It's never too early, right,
(16:57):
It's never too early.
Speaker 2 (16:59):
You got to start some way to get somewhere. A
failure to plan as a plan to fail. I know
in those earlier years because I remember my wife, my wife,
and I remember the kids are young. There's only so
much money to go around. They're in kids' sports and events,
and it's like, oh my gosh, there's nothing left over.
But start somewhere. Maybe start with a percentage. Increase it
(17:20):
annually one percent. You might not even notice it. Out
of sight out of mind.
Speaker 5 (17:25):
So if you're.
Speaker 2 (17:26):
Listening and you're quite young, or you're on your latter
part of your accumulation years, contribute as much as you
possibly can. Take advantage of the contribution changes which have
happened recently where you can put more money away.
Speaker 5 (17:41):
The big beautiful bill.
Speaker 2 (17:42):
We just did a class on that, and how does
it relate to you as you plan for retirement.
Speaker 5 (17:48):
And then the one that we don't want to not
lose sight of.
Speaker 2 (17:52):
But if you're blessed and fortunate to maybe getting an inheritance,
you know, the great Wealth transfer. There's a lot of
books to a lot of columns that are written on
the great Wealth transfer. Maybe you're going to inherit something now.
First and foremost, I hate to see when folks come
in and they go they're just waiting to get an
inheritance for the person to pass away.
Speaker 5 (18:13):
It's like, seriously, but if you.
Speaker 2 (18:15):
Are fortunate to maybe receiving an inheritance, how is that
going to come to you? And how much if you're
open with these people that you're getting there, how much
are you going to get?
Speaker 5 (18:26):
How will it be taxed?
Speaker 2 (18:29):
And it's why it's so important to having a state
plan individually, as a couple, as a family, and hopefully
the people you're inheriting from having.
Speaker 5 (18:37):
A state plan.
Speaker 2 (18:38):
Unfortunately, sometimes that it can go to the state and
federal governments from the form of taxes and not all
to where it's to the recipient that should be receiving it,
so you know, fill in the gaps having a state plan.
I've said many times Carrie and Keith are state planning attorneys.
Carrie has been on with me several times over the
(18:59):
last few years. They do great work. They're not stuffy attorneys.
They start with a conversation, do you need a trust,
do you have a will, powers of attorney? All those
documents and you say, well, I'm too young for that.
If you're eighteen and listening, you should have some of
these documents. It applies to you. And we've made a
(19:20):
state planning a senior topic. It was never designed to
be a senior topic. It was designed for when you
became an adult, accumulated some assets, got married, bought a house,
that's what this was designed for. Yet weekly we sit
down with folks that are in there, well in the sixties, Well,
(19:41):
how long you've been thinking about putting a will together?
Speaker 5 (19:44):
Oh forty five years.
Speaker 2 (19:46):
Oh, you've been thinking about it for forty five years
and it just still hasn't happened. And I'm not making
light of it. But human element is procrastination. There is
nothing better to the see when just this last week
I had a couple in I just described them.
Speaker 5 (20:01):
They've been putting it off for years. They finally got
it done.
Speaker 2 (20:05):
In their case, it was a revocable trust with poor
overwills and all the ancillary documents they got done. We
notarized that, we witnessed all the documents, and they had
a sense of Wow, we finally achieved something, and there
was a feeling of peace of mind for them, each
other and their family. And that's what I like. I
(20:26):
call that success, and that's what we really like to
help people.
Speaker 3 (20:30):
So, Larry, let's back up if we could for just
one section. So let's say that you've done a good
job and you've saved a lot of money in your
four or one K because you've been saving it since
you went to work at twenty one, and you've rolled
it over from job to job and so on and
so forth, and you've got iras and you've done a
really great job and you get out here and you retire,
(20:53):
and now what because now I have these accounts and
I don't know what to do.
Speaker 4 (20:57):
That's something that you.
Speaker 3 (20:58):
Folks at Haven can also help with how to start
to use that as income.
Speaker 2 (21:04):
Yeah, there's something to say about simplification and consolidation. You know,
sometimes maybe you hopped around and you have I just
said somebody in the last week and a half they
were a consultant and they had together I think like
eight orphaned four o one k's. They weren't contributing out
of sight, out of mind. They were just all lingering
out there and obviously nobody's paying attention. They weren't paying attention.
(21:27):
The custodians weren't paying attention. We like to look at
this retirement and investment planning holistically. Is everything working together?
What types of accounts are they? Should you be doing
some four to one K rollovers, simplifying the amount of
accounts that you have, yet still maintaining diversification. If you're
fifty listing in your fifty nine and a half and
(21:50):
still working, you can do that right now. The federal
government says and allow as in ninety nine percent of
employer plans, Hey, you're getting closer to retirement. Oh, you
may want to explore other investment options outside of your
four oh one K, still contribute and the employer will
still match. I just had a three M retiree forty
(22:13):
some years with three M and been a great saver,
great saver. Her and her husband really built up her
four to one K a lot, and she's like, you know,
I'm on a year from retirement. I don't want to
gamble in the market with all of my four to
one K anymore. I just don't, and they don't have to.
And so she moved about seventy percent of hers outside
(22:33):
of the four to one K, put some protective measures
in there, and whatever happens in the next year with
the markets won't have a huge negative effect, which it
would have had she been kept it where it's at
and then the market not cooperate in the next twelve months.
So there's a method to the madness, and that's where
we help people. But again knowing what types of accounts,
(22:57):
making sure that every everything's flowing the ways, and then
of course eventually we'll set up an income distribution tax
plan to make sure we're drawing from the right accounts
in the most tax efficient way possible.
Speaker 3 (23:09):
Six one two five zero four eight four zero zero.
Are we hitting a chord with you? And you've got
some questions about your four oh one K and you're
getting close to retirement and you're wondering, how do I draw?
Speaker 4 (23:22):
How can I possibly?
Speaker 3 (23:23):
You know you have orphan four one ks out there
and you need to get them all consolidated. Give the
folks at Haven Financial Group a call.
Speaker 4 (23:30):
It's six one.
Speaker 3 (23:31):
Two five zero four eighty four zero zero. They can
answer those questions. And all of your retirement needs.
Speaker 4 (23:37):
Coming up next.
Speaker 3 (23:38):
Social Security isn't enough, so what's next? That's right here
on the Haven Financial Group Video Show.
Speaker 1 (23:45):
Ready to find your financial safe haven. Your dream retirement
is in reach. Don't go away, The Haven Financial Group
Radio Show will be right back. Are you worried that
your financial strategy might be missing something, Well, you're in
the right place. Larrklvig is back and ready to help
you find your financial safe haven.
Speaker 5 (24:07):
Welcome back listeners.
Speaker 2 (24:09):
My name is Larry Kolvig, founder and CEO of the
Haven Financial Group, And if you're just tuning in, you're
listening to the Haven Financial Group Radio Show, where weekly
we discuss crucial retirement and financial topics that can make
the difference between surviving retirement and thriving through it. And
the golden years, we want to make sure they're as
golden as possible. So if you're listening today and you
(24:30):
have questions, worries, concerns, reservations, again, do I have a plan?
Speaker 5 (24:35):
Do I not have a plan?
Speaker 2 (24:37):
Or maybe you just are unaware that all this stuff
exists out there, Feel free to give us a call
again six one two five zero four eighty four hundred,
or visit us online at Havenfinancialgroup dot com.
Speaker 5 (24:50):
Come to some of our classes. They're informative.
Speaker 2 (24:53):
We have all kinds of educational tools and you can
get a lot of those questions answered, and it could
start there.
Speaker 3 (24:59):
Heave of our show too is are you asking the
right questions related to your retirement? And the next segment
here we want to talk about social security. And you know,
Larry has been very clear about the idea that social
security for most people is not enough income in those
golden years. So if social security is not enough for you,
(25:21):
what are other means by which you can draw income?
And there are a number of different Obviously, you have
retirement funds, you have those kinds of things. But there's
also Larry annuities which function very much like social security
but and aren't great for everyone all the time. But
there are some benefits to maybe annuities.
Speaker 2 (25:44):
Yes, there is. This is a great debate. You probably
have seen ads over the years which I have. I
hate annuities, You should hate annuities. Everybody should hate annuities.
And quite frankly, that's a real generalization. And what it
tells me is somebody's trying to market to you. You
trying to distract you my encouragement. Again, it comes back
to get all the facts. Are they appropriate for everybody?
(26:07):
The answer is no. Can they be used effectively?
Speaker 5 (26:11):
Yes?
Speaker 2 (26:12):
Can they be used as part of an overall plan
within the side of a retirement portfolio? For many the
answer is yes, But when used appropriately. And here's where again,
over the course of the years, every year I do
about a handful of the class. It's called the truth
about annuities because I see them used high percentage of
(26:34):
the time in the wrong way. Some of that is
because somebody's trying to sell you on something. Maybe that's
the only thing they got in their toolbox, and they
don't have all the other things in their quiver and
they're just trying to sell you. You have to be
very careful. And here's what I mean by that. There's
four types of annuities. Okay, I'm going to simplify this
to the best of my ability. There's four types. There's
(26:57):
immediate annuities, which people might turn your money over to
an insurance company, because all annuities are through insurance companies,
all annuities. Then there's the variable annuity, which is oftentimes
the most popular, that's in the stock market, sub accounts.
It's got risks in the market, and oftentimes they have
(27:18):
much higher fees than you're aware of. My encouragement if
you're listening and you don't know what kind of annuity.
If you do have an annuity, come on in and
get an annuity review and annuity exam.
Speaker 5 (27:29):
I call it.
Speaker 2 (27:30):
Variable annuities are the highest paying financial commission product in
the industry. Not saying that's good or bad or indifferent,
but maybe that's why they're trying to sell them.
Speaker 5 (27:38):
I'm just saying I don't know for sure.
Speaker 2 (27:41):
And then you have fixed annuities, which are just like
bank CDs but through an insurance company. And you have
fixed indexed annuities which can be They can be used
as an accumulation piece.
Speaker 5 (27:54):
They're fixed.
Speaker 2 (27:56):
The last two I mentioned don't have to have any
fees variables to have higher. So I'd start with saying,
should you have one? Does it make sense if you
do have them? Do you have the right ones? And
there's a variety of different reasons which I can get
into as to why one would have them or not
have them.
Speaker 3 (28:15):
Okay, well let's talk about that, like, for example, income predictability, right,
that would be one reason to have one.
Speaker 5 (28:22):
Yeah, you hit it. For income.
Speaker 2 (28:24):
Annuities can guarantee a certain lifetime income based upon the
amount you put in for the rest of your life
without annuitizing my recommendation, because whatever the balance in the
account is when you pass it goes to your spouse
or to your loved ones like any other beneficial interest.
So they can be used very good for guaranteeing income.
Problem is, I'll give you an example. I just helped
(28:47):
the client, a newer client. If she owns a practice,
a dental practice over in the western suburbs, and she
came in because she was referred to us. She had
a fixed index annuity. Two of them about one point
three million. One point two million was all in two
fixed indextinuities, which was designed for income. Well, guess what, Kim,
(29:09):
she's within two years of retiring. She's never gonna need income.
She's gonna have an income problem, if that's even possible,
but it is, which leads to a tax problem. So
somebody sold her two fixed indextinuities for designed for income,
very minimal to little growth, and she's never gonna need income.
And number two, which is you should never have that
(29:33):
much of your investments in annuities. There's rules and regulations
you should never have more than half or less in
an annuity, and unfortunately I see that way too often,
real quickly. The others that are used for long term
care rids on a fixed indextinuity. We just had a couple.
They're very concerned about the nursing home. They've done a
(29:55):
good job for saving They each put two hundred and
fifty thousand of qualified money into a fixed indextinuity with
a long term care rider. And there's much better ones
than there used to be, and now they have some
significant protection from the nursing home as far as paying
those bills. So again, an example what they can be
utilized for and what we utilize it for in our portfolios,
(30:18):
most often for accumulation purposes, or a bond replacement to
fit into the portfolio of stocks, bonds, fixed indextinuity for accumulation,
and it can create some great diversification, which ultimately is
what we're looking for.
Speaker 4 (30:36):
All right, very good.
Speaker 3 (30:38):
So in the end, I think what I've heard you
say is that if annuities are something that you're interested in,
before you step into an annuity, be sure that you
sit down with a partner, like the folks that have
in financial group, walk through what your financial situation is
and what you're thinking about, so you can maybe get
(30:59):
some vice from someone who really knows the business and
who's not necessarily in the business of selling annuities, but
instead in the business of advising. Because Larry, unfortunately, the
lovely woman that you spoke about that had so much
money in those annuities, there's no coming out, there's no
turning back.
Speaker 2 (31:18):
We had to develop a systematic plan over time, because
one has to understand is all annuities have terms terms.
Speaker 5 (31:26):
What are the terms to yours? What kind you have?
Speaker 2 (31:29):
What's the liquidity factor of those accounts because usually they're
ten percent penalty free or less. These are the questions
you want to ask, and we're ask all the questions.
Speaker 5 (31:41):
Get the answers.
Speaker 2 (31:42):
Now you can make an educated decision because it is
a contract.
Speaker 5 (31:46):
It is a contract.
Speaker 2 (31:47):
Some would say it's written in a foreign language, and
I would say, you don't speak that language, but you
should speak the language before you get a contract. Understand,
talk through it. Are the effective for income? Yeah, I'm
not going to downplay that. We call with annuities for income,
we call it mailbox money.
Speaker 5 (32:04):
The fear of out living my money.
Speaker 2 (32:07):
An annuity for income can take care of that because
the income can last for the rest of your life
and your spouse is again get all the details.
Speaker 3 (32:15):
Sure, absolutely, And if you already have an annuity but
you really don't know what that annuity is all about,
Larry and his team can take a look at that
and talk to you as he has just mentioned numerous
clients who have come to him with annuities and walk
through it and if some kind of plan needs to
be put together to make your annuity situation more beneficial
(32:37):
to you, if that's possible. Certainly, the folks that have
in financial group.
Speaker 4 (32:41):
We're going to do that.
Speaker 3 (32:42):
So how do we get started.
Speaker 4 (32:44):
We got to give him a call.
Speaker 3 (32:45):
It's six one two five zero four eight four zero zero.
Speaker 4 (32:49):
Call.
Speaker 3 (32:50):
Tell whomever answers the phone that you heard us here
on the radio, and that you'd like to come in
sit down, and you'd like for someone on the team
to look through annuities that you already have, or you'd
like to talk about annuities, or maybe you need to
put together a retirement portfolio, any kind of retirement issues
that you may have. The folks there at Haven can
certainly address them.
Speaker 4 (33:10):
Again.
Speaker 3 (33:11):
It's six one two five zero four eight four zero zero.
Speaker 4 (33:15):
Coming up next, we're.
Speaker 3 (33:16):
Going to talk about the dreaded taxes. Larry, it's your
favorite subject, he sure is.
Speaker 4 (33:21):
That's coming up next. Yere on the Haven Financial Group
Radio Show.
Speaker 1 (33:25):
Don't go too far. We're gathering more important insights and
retirement pays the Haven Financial Group Radio Show. We'll be
right back. Stick around. You've got questions, We've got answers.
Your tune to the Haven Financial Group Radio Show with
your host Larry Kolvig and Kim Karragan. Now back to
(33:45):
the show.
Speaker 2 (33:47):
Good morning once again, and welcome to the Haven Financial
Group Radio Show. We thank you for listening this morning.
Feel free to give us a call at six one
two five zero four eighty four hundred, or visit us
online at Haven Financial dot com.
Speaker 5 (34:00):
Set up a time, just come on, come on in
and visit with us.
Speaker 2 (34:04):
By now, you know, after all the years I've been on,
we are coffee snobs and we like fresh cookies for
all our meetings. You know, the important, the important finer
things in life.
Speaker 5 (34:15):
Uh.
Speaker 2 (34:16):
And on top of it, you can get all the information,
ask all the questions you want, because it really does
start with questions. And I can't believe how many times
we hear, well, how long have you had this question?
I've had this question a very very long time. Our
job description, i'd say, is to answer questions because if
you have questions and you get answers, then you can
(34:37):
avoid some of these mistakes that people make planning for retirement.
Speaker 5 (34:41):
And that's what we're trying to do.
Speaker 3 (34:43):
Yeah, we're answering questions that you should be asking as
you approach retirement or if you are in retirement, and
one of those is related to taxes of course, and
just making sure that you are protecting yourself from Uncle
Sam the best that you can. He's the uncle that
we'd rather not pay as frequently as we all do.
Speaker 4 (35:05):
Folks.
Speaker 3 (35:05):
You may not know this, but one of the largest
expenses you may have in retirement are taxes. So how
do we go about protecting our dollars and keeping from
having to write those big checks every year? Larry, I
think one of the first things you would say is
that you've got to have a plan. You can't just
go in and take your taxes and drop them off
and go pick them up.
Speaker 4 (35:26):
You've got to have a plan.
Speaker 2 (35:28):
Yeah, avoiding the same mumbles every year and alive every year.
I owe this money every year, I owe this money.
Why do I owe this money? We hear it the
grapes every single tax season. And my suggestion is, why
don't you fix the problem so next year you don't
have the same problem, have the proper withholdings. Why is
(35:48):
it you have a big bill every year? But if
you're not tax planning and you're just getting taxes prepared,
and you're like many today that I just drop them
off and I pick them up, I don't even talk
to my tax preparer anymore. You're not getting the attention
that you really deserve to avoid a lot of these
tax pitfalls that.
Speaker 5 (36:07):
Could be avoided.
Speaker 2 (36:08):
So Number one, work with somebody that likes to plan
throughout the course of the year. Lance Larson and assistant
Melissa Lance has been on and he would say this
January through April fifteenth is tax preparation, but the rest
of the year is tax planning. And by proper tax planning,
you can avoid the grumbles come April fifteenth. In fact,
(36:31):
it's possible because I've seen them many, many, many times.
You could leave tax that tax meeting April fifteenth and
guess what, have a smile on your face to go, wow,
it worked out exactly the way I thought it was
going to work out.
Speaker 5 (36:46):
But that takes tax planning, not just drop off and
pick up.
Speaker 1 (36:50):
Right.
Speaker 3 (36:50):
Well, let's talk about some of the tools that really
are in your toolbox and maybe you don't even realize
it when it comes to trying to keep that tax
build down.
Speaker 2 (36:59):
Well, are you making contributions to those iras your four
oh one k's many, not all, but many for one k's.
Are those types of accounts have wroth options? Should you
be based on your circumstances, should you be putting one
hundred percent of it in the pre tax, fifty percent
in pre tax, fifty percent in WROTH. You know what
(37:20):
makes the most sense with your situation, we'll have that conversation.
Are you are you taking advantage of the catchup limits
if you're over fifty, I hope you are, whether it's
you and or for your spouse, to make sure, how
do you reduce that tax liability.
Speaker 5 (37:37):
In any way possible. I'll tell you what.
Speaker 2 (37:40):
It's fourth quarter, and I want to say that we
did probably a couple dozen irate of WROTH conversions for
clients this week because it's this time of the year
where we're sitting down and by the way, tax brackets
are historically low. They have been will continue for the
next three years for sure, and this gives a lot
(38:00):
of folks that we sit down with an opportunity, not
for all, to make sure, depending upon their income situation,
to fill up that twelve percent bracket. Make sure you
fill it up. Pay twelve now or fifteen or higher
in the future. They're not going to be lower. So
if that's five thousand or fifty thousand and irate a
(38:20):
ROTH conversion, yes, it starts a five year timeline and
you can't touch the earnings, but that's part of the
overall plan.
Speaker 5 (38:29):
Or maybe you need.
Speaker 2 (38:30):
To pad your savings account. We've talked about emergency liquid funds,
the need for it. Take an IRA distribution, pay the
twelve percent, fill your savings account up, whatever it takes.
That's what the planning process is. In the fourth quarter,
every January February, every new year, I'll sit down with
new folks, have a conversation and by the way, based
(38:52):
upon our conversation, did you put twenty or convert?
Speaker 5 (38:57):
Oh?
Speaker 2 (38:57):
No, our tax person never told us. Well, the deadline
for that is the end of the year, not April fifteenth.
So these timelines are very important. The element of time
becomes that much more important, and cam what we're trying
to do in those earlier years of retirement. We're trying
to do this to minimize the effect of required minimum
(39:18):
distributions when you turn seventy three, which that is the
age now, and in seven years it's going to go
to age seventy five. So this just isn't a nonchalant
I'll just do it because it sounds cool.
Speaker 5 (39:30):
It's there's a reason for doing.
Speaker 3 (39:32):
It right, and you have to have that long term
plan to really understand that full reason that you're doing
it again, those minimum distributions. All of a sudden, your
income becomes bigger, so you want to.
Speaker 4 (39:45):
Take care of that.
Speaker 3 (39:46):
Prior to talk, if you will, Larry, I know you've
shared a few stories in the past, but share a
story or two, if you will, about clients who maybe
didn't get help and then all of a sudden they
start getting income and they're being text higher than they
were when they were working.
Speaker 2 (40:03):
Oh yeah, I mean I have numerous stories. One resented
this past six months, a newer client. We're doing his
taxes and actually he was talking Medicare and healthcare. In Medicare,
there's a two year look back and a couple of
years ago, his financial advisor thought of this great idea,
which if it is a good idea, people should do it.
But in this case they did a huge irate of
(40:25):
wrath conversion.
Speaker 5 (40:27):
Sounds great.
Speaker 2 (40:28):
Two years later, two year lookback. Because of that big conversion,
it put them over the threshold for Medicare. Now he
pays more and it cost them thousands of dollars in medicare. See,
these things have to work together, and if they're not
working together, meaning the investments, the insurance, the taxes, the medicare,
(40:50):
any of these by doing something can affect the other
and cost you can be very costly. So these retirement
puzzle pieces, they need to be part of the same puzzle.
And if they're not talking to each other and working
together or coordinated, it could be cost you anymore.
Speaker 5 (41:09):
And you shouldn't pay.
Speaker 2 (41:11):
By the way, if you're listening and you don't know
what you're paying your guy or gal to manage your money.
Speaker 5 (41:17):
No, that's a no note. You should know exactly what
you're paying.
Speaker 2 (41:19):
Nothing's free, but weekly I see people paying two to
three times the going rate in the industry just because
people don't know. Don't be afraid to ask the question.
Number two, you shouldn't be paying extra for the added
value of tax planning. Yes, we charge lance charges for
tax preparation. Very fair. He's been a CPA for years.
(41:41):
I see a lot of people retire. He's using these
big box tax prepare houses. You can if you want,
but many of them are just tax preparers and some
of them charge a hefty amount. So awareness of costs,
having somebody qualified to help you a partner in these
areas and then modify these things and change as change happens.
(42:02):
Life's calendar doesn't always cooperate with our calendar, right, so
it's adjusting on the fly.
Speaker 3 (42:07):
Well, it brings us full circle now to talk about
Haven Financial Group. This is a full service financial organization.
They don't just prepare taxes. They don't just manage your
functioning money. But we've heard Larry talking about it today.
They educate about social Security, they put together plans, they
talk about taxes, they talk about Medicare, they talk about
(42:29):
estate planning. All of that can be done under one roof.
That's what really makes the place special, Larry.
Speaker 4 (42:35):
Because you're right.
Speaker 3 (42:36):
If the right hand isn't talking to the left hand,
all of a sudden, you've got a big problem for sure.
Speaker 2 (42:42):
You know, ten years ago when they had the privileges
starting the company, the ultimate goal was to put multiple
personalities in all of these different retirement areas. Thankfully, fast
forward to twenty twenty five, we've been able to do
that with Kerry and Keith and our estate plan. We
got Isabella and Glenn, and by the way, Medicare, we
probably help many many hundreds, if not thousands in Medicare.
(43:05):
Annual enrollment is coming to a close here December seventh.
If you left it to the end, give us a call,
long term care, life insurance reviews, anewity exams. I've got
a great investment team of twelve, wealth management, portfolio management,
tax planning prep, all of those under one roof. Now
they don't have to be under the same roof, but
(43:27):
it is the number one compliment I get. Wow, it's
so nice to have it all here at one stop shop.
And quite frankly, that is the greatest compliment. And pretty
much everything starts with education, and not just new folks
off the streets. We're constantly educating our existing clientele and
guess what in ten years, word of mouth happens. We
(43:51):
get lots of referrals. Now are we humans? Is there
a human element?
Speaker 5 (43:56):
Yes?
Speaker 2 (43:57):
But we pride ourselves on twenty four our response times.
Speaker 5 (44:01):
I don't We don't want to be the stigma.
Speaker 2 (44:03):
Wow, I called my guy two weeks ago and I
still haven't got a call back. That's not the stigma
that I want in for Haven Financier Group. And we're
very blessed and fortunate just have a great staff and
because of that we get to help a lot of
wonderful people. Just like the listeners that are listening this morning.
Speaker 3 (44:22):
So are you asking the important retirement questions that's been
the theme today and we've answered some of them. But
if you have other questions, if you have other issues
that you'd like addressed, call the folks at Haven Financial Group.
It's six one two five zero four eight four zero
zero six one two five zero four eighty four hundred.
So as I look at this Larry great show. By
(44:44):
the way, we will not be chatting with one another
before Thanksgiving or the listeners.
Speaker 4 (44:50):
So happy Thanksgiving to you.
Speaker 5 (44:52):
Yes, happy Thanksgiving to you.
Speaker 2 (44:54):
We're very fortunate, we're very blessed, So enjoy family time
and happy Thanksgiving to everybody.
Speaker 3 (45:00):
Investment advisory service is offered through Guardian Well Strategies LLC,
Haven Financial Group and Guardian Well Strategies LLC are not
affiliated companies, and investments involve risk, and, unless otherwise stated,
are not guaranteed. Please consult with the qualified financial advisor
and or tax professional before implementing any strategy discussed herein
and comments regarding it Safe and secure.
Speaker 1 (45:21):
Investments and guaranteed income streams only refer to fixed insurance products.
Speaker 5 (45:25):
They do not refer in any way to securities or.
Speaker 1 (45:27):
Investment advisory products.
Speaker 3 (45:29):
Fixed insurance and annuity product guarantees are subject to the
claims paying ability of the issuing company.
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