Episode Transcript
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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 nines 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 (00:53):
Good morning, and welcome to the Haven Financial Group Radio Show.
Speaker 3 (00:57):
Thanks for listening.
Speaker 2 (00:58):
Feel free to give us a call at six one
two five zero four eighty four hundred, or visit us
online at Hanfinancialgroup dot com. All kinds of great retirement
tools on the site, even down to recipes and things
that others have shared with others, and again our classes,
we teach them almost weekly. Kim, and by the way,
great to be with you, So feel free to come
(01:20):
on out there educational.
Speaker 3 (01:21):
There's no cost.
Speaker 2 (01:22):
We provide all the materials and we even have a
little fun with topics that might be a little bit dry.
Speaker 4 (01:29):
I love that. Yeah, that's terrific. And we'll tell folks
more about some of those educational seminars that are coming
up in the area as the program progresses. Each week
we like to take a look at different aspects of retirement,
and today we want to talk a little bit about
some of the questions that guide a good retirement. I'll
bet you those of you listening have lots of questions.
(01:52):
Maybe you're in your you know, early to late fifties,
and you're trying to determine when you should retire and
if you're ready, and the big question everybody as is
do I have enough money to retire? So these are
some of the things that we're going to try to
address as we progress through this show. Today. First off,
we're going to talk about the age that's best to retire,
and then understanding retirement savings at the age of fifty.
(02:16):
So in other words, we're going to be talking to
some of our younger listeners, and then estate planning, a
family conversation, and finally we'll round things out with retirement
accounts and your taxes. We can't talk enough about taxes
and tax planning in retirement and before retirement, just how
important that is. So Larry, as we get started today,
(02:36):
we're going to talk about what age you should retire.
And I feel like the answer to that question is
one that I've heard from you numerous times, and that's
it's such an individual thing.
Speaker 2 (02:47):
Well it is, I'm circumstances. Do I want to work?
Do I hate work? Do I am I sick of it?
Or do I love my work? And there's a variety
of things that go into that. It's the biggest question
do we get when should I retire? When should I
start thinking about retirement? And by the way, it's never
too early to start thinking. And hopefully but that first
time you ever saved money in your four oh one
(03:08):
k now you already started thinking, So it's never too early.
In fact, they're earlier the better. The power of compounding
and everything that goes into saving money. As you get
closer though. We're going to take you know, social security
is a big discussion piece. You know, do I take
it early?
Speaker 3 (03:24):
Do I not?
Speaker 2 (03:26):
You know, do I earliest to sixty two? What's my
full retirement age? It's going to be somewhere between sixty
fives and sixty seven. The latest you're going to take
it is seventy. That's going to be a discussion. And
then we're going to look at what all your what
are all your income streams? Do you are you fortunate
enough to have a pension? You know, what type of
investment accounts do you have? What are the sources And
(03:47):
we're going to roundtable that and have that so thought
should go into it.
Speaker 3 (03:51):
It's never too early.
Speaker 2 (03:52):
And by the way, if people have questions, there's all
questions are good questions because it's your question. Our job
description and what we love to do is answer those questions.
It kind of bothers me when I hear this over
the years, that and I've had a question for twenty years, Well,
I wish you would have asked it or I would
have known you, because we want to get answers to
(04:12):
those questions. If we don't know, we're going to find
out the answers because those answers are extremely important.
Speaker 4 (04:19):
Absolutely. Well, when we discussed this issue of when should
you retire, let's just start with the fact that Uncle
Sam has made some decisions about what is the retirement age.
So if you want to full benefits of people can
draw their Social Security at sixty two. But now retirement
age for anyone born after the nineteen sixty correct is
(04:42):
now sixty seven years old versus sixty five.
Speaker 3 (04:46):
Yeah.
Speaker 2 (04:46):
Correct, There's been changes. There's going to have to be
other changes. The solvency of Social Security isn't where it
needs to be. But be careful, you know, everything is
political these days. Everything is political. The Republicans, you know,
don't have to out at raising the retirement age. Yeah,
kind of Democrats want to keep it the same Congress.
You know, they got a tough you know, they're in
(05:08):
a tough position. We're not going to get into, you know,
are they you know, robbing the cookie jar to pay
some other stuff which also has been a Social Security
has been highly politicized for years.
Speaker 3 (05:18):
Do I think it's going to be here?
Speaker 2 (05:19):
Absolutely, And that's just one of the you know, retirement
income streams that you should be looking at. Have I
said it numerous times on my show. Do I think
many Americans have become too reliant on it?
Speaker 3 (05:32):
Yes?
Speaker 2 (05:33):
It was never designed to be your whole, comfortable lifetime income.
Now with that said, I understand circumstances and life happen,
and sometimes it's not fair. But there's going to have
to be some changes in Kim.
Speaker 3 (05:48):
We're not going to like these changes right right.
Speaker 4 (05:50):
Well, besides the idea of changing the age, I know
there's been talk about maybe even doing what they do
in Australia, which is a flat benefit.
Speaker 2 (06:00):
Yeah, that proposed reform that have to have a transition period,
of course. It's a flat social security benefit that's really
equal to the individual over the sixty five poverty threshold
and available to all retirees regardless of work history. Now
that would be a that would be a drastic change.
(06:21):
Is it possible, Well, anything's possible.
Speaker 3 (06:23):
You know.
Speaker 2 (06:24):
Other of the types of things that they're talking about.
The reforms they've talked about that I said won't make
us happy because you know, listeners and myself and you
we've been paying into the system for years. Of course
we want some of our money back. And these reforms
they're talking about, like lowering them ount that they're going
to send you, Well, that doesn't make.
Speaker 3 (06:43):
Me very happy. Or if you've done if you you know,
means testing program.
Speaker 2 (06:48):
You know, if you've done such a good job working, working,
and yours is well, then we're not going to give
you so security you're not going to get it means testing,
delaying the retirement h you know, I've heard recent discussions
that's seventy they're talking about raising it to seventy possibly,
you know, I know a couple of summers ago in
France they raised it from sixty two to sixty four
(07:09):
and there was.
Speaker 3 (07:10):
Rioting in the streets.
Speaker 2 (07:11):
Yes, I hope that ever comes to America. You know,
raising the income age, that maybe they could tax all
of your income. It's possible. Sure, it would make it
people happy. And you know the one that they also
was discussed is social security is a formula. It is
a formula. Now we're not going to get into the
weeds of the formula. But what if they change the
(07:34):
formula and I cut and I say, I'm.
Speaker 3 (07:37):
Sure they would discuss that. They'd discuss that.
Speaker 2 (07:39):
With us first, right, Kim, Oh, sure they would. I'm
sure they won So yeah, exactly they'll change it and
then let us know and then we'll read it afterwards.
Speaker 3 (07:50):
Right, Okay, we won't go there.
Speaker 2 (07:52):
Today, but at the end of the day, these are
all the things regarding social security.
Speaker 3 (07:57):
So here's the deal. Evaluate what you have.
Speaker 2 (08:00):
This is in our process that we use at Haven
Financial Group. You know, what are your goals, what are
your objectives, what do you have to deal with? And
let's face it, sometimes people bury their head in their
sand and they're embarrassed. Or whether you have a little bit,
you're listening and have a little bit or a lot
or everything in between, whether you're twenty or a hundred
and you're listening. Whatever your situation is, your situation, don't
(08:23):
feel bad, don't feel that. You know, come on in.
There's nothing to lose, there's no cost. We're not there
to sell anything whatsoever. We're there to help our clients
navigate through retirement, through the good, the bad, and everything
in between, and answer questions. And you know, when you
have more conversations and you develop the confidence, and you
(08:44):
only get that by having a partner that really cares. Okay,
and we need to care and we do care, and
that's that's what our clients feel. And you know, retirement
is it's a feel You know, you got to feel
good because otherwise you're not going to sleep at night,
and that doesn't do anybody any good.
Speaker 4 (09:00):
No, absolutely not. And you've worked too hard all of
your life to get to those golden years and be
miserable because you didn't ask the kind of questions that
you needed to ask and make the kind of decisions
early enough about what would make you comfortable. Six one
two five zero four A four zero zero. That is
the number you can call. That'saven Financial Group. Tell them
(09:20):
you heard us here on the radio and that you'd
like to come in and you have some questions that
you'd like answered, and you'd like to talk with the
experts there to learn a little bit more about the
services and to talk to them about some of the
things that you'd like to accomplish in your golden retirement year.
Six one two five zero four A four zero zero.
Speaker 1 (09:39):
You can also go.
Speaker 4 (09:40):
To Havenfinancialgroup dot com. I really really want to I
want to stress to the folks who are listening that
this is a great website. Take a look at it.
As Larry said earlier, there's all kinds of fun things
there on the website, but there's also information about educational
seminars that Haven offers. We talk about these every week
and can't tell you enough about how great they are.
(10:03):
They're free to anyone. You don't have to be a client,
but they do like a headcount and they do fill
very quickly and you will find there when you go
to Havenfinancialgroup dot com all of the different topics that
are being taught. Education is the key, isn't it When
it comes to.
Speaker 2 (10:21):
Education is the potential for power. Yeah, education is the
potential for power. It's what you do with that that matters. Look,
sometimes the financial landscape changes. Tax rates can change, Medicare changes,
contribution limits, interest rate, environment change, or something else.
Speaker 3 (10:39):
You know, these are the things.
Speaker 2 (10:40):
That we address on an ongoing basis to our existing
clientele and to those that come out to the classes,
and anybody that knew that comes in and visits. These
are the things that we're going to keep you abreast
of to make sure that you're not missing out in
something I call it unforced airrors. We're trying to avoid
the unforced areas or the mistakes that other people make.
Speaker 3 (11:00):
Let's try to avoid.
Speaker 4 (11:01):
Them absolutely, all right, Larry, When we come back. Let's
talk a little bit about understanding retirement savings while you're
in your fifties. Fifties, you know, that's when when you
start to talk a little bit more about maybe what
some of your goals are and you start to wonder,
am I on the right track. So we're going to
talk a little bit more about that right here on
the Haven Financial Group Radio Show.
Speaker 1 (11:21):
Don't go too far. We're gathering more important insights and
retirement ways DEVI 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 Kulvig and Kim Karragan. Now back to
(11:41):
the show.
Speaker 2 (11:42):
Good morning once again, and welcome to the Haven Financial
Group Radio Show.
Speaker 3 (11:46):
Thanks for listening.
Speaker 2 (11:47):
Give us a call six one two five zero four
eight four zero zero or visit us online at Havenfinancialgroup
dot com. Every week, Kim, we talk about retirement mistakes,
things to do, not to do, and again these topics
now aren't necessarily the most fun things to talk about,
but they are so important whether you're fifty years from
(12:10):
retirement or five years, or maybe you're listening in your
in retirement things change. Of course, you and I don't
change km, but everything.
Speaker 4 (12:18):
Else changes, right, everything around us?
Speaker 2 (12:21):
Yeah, right, keep up to date on these changes because
just when you figure it out, then they change the rules.
Speaker 4 (12:26):
Yeah, that is so true. And you know, I know
that you keep saying it's not a fun topic, but
it really it can be fun because you can start,
you know, thinking about and dreaming about what those retirement
years will be. If you've got a good plan in
place and you're comfortable, it can be a really positive experience.
And in your fifties, I think is when you really
(12:47):
start to think about that and you start looking at
the you know, the bottom line. When it comes to
your four one K and you start looking into some
of your investments, you start to wonder, am I in
you know, stocks that are too risky? These are the
times when you start to have a lot of questions.
So let's talk about where you should be in your fifties.
And again, Larry, I know that it's not cookie cutter.
(13:08):
This is not everybody, but just some general points starting
with your four h one K. At that point, where
should you sort of be?
Speaker 2 (13:15):
Yeah, you mentioned fun, Kim, anybody that's been into Haven
knows that we like to have as much fun with
serious topics as we possibly can. Whether it is investments,
or it's medicare or state planning, we do like to
have as much fun because again, some of these topics
can get dry, but they are so very important. But
you're right, you get close to your fifties, Well, really,
any anybody that's been disciplined should have started saving for
(13:38):
retirement when they first got a job and had a
four oh one K. And because again the power of
compounding is so powerful, and those that did start early
are going to reap the reward. Those that started later
are going to look back and go, why didn't I
start earlier? And you know, the things of the past,
like pensions that used to be the reward people were
(14:00):
given for working in a position of the company for
a long period of time. Those have been on the
decline for many years now, and historically they were replaced
by employer sponsored plans four oh one k's, four O
three b's, deferred comp TSP. Those are all different names
that are synonymous with employer plans, and they can have
(14:20):
tax advantages in the form of pre tax that can
reduce your tax liability in the given year. It could
be wroth that are taxed upfront but never to be
taxed again.
Speaker 3 (14:32):
And if you have that.
Speaker 2 (14:34):
Available, make sure you look at the way the pros
and the cons and then eventually you'll have to start
taking money out of those.
Speaker 3 (14:41):
But when I.
Speaker 2 (14:42):
Say make sure that which ones are right for you,
it comes back. It comes back to the tax discussion.
If you're a high income earner, maybe they're getting that
pre tax. Pre tax makes a lot more sense to
reduce your tax liability in the given year. There are
some income threat Schultz for roth contributions. If you make
(15:04):
too much money, you might not be able to contribute,
but you might be able to do backdoor roths, which
we won't get into the weeds of that, but I
do have clients that are in that situation and they
do backdoor. They put it into an IRA, don't get
the tax benefits, and then they back it in that way.
So there there's sometimes a method to the madness that
if you're not if you're doing it alone or not
(15:27):
working with somebody, you might miss those opportunities.
Speaker 3 (15:31):
Catch up contributions.
Speaker 2 (15:33):
If you're over fifty, you know you can put up
to eight thousand dollars, you know, the seven thousand plus
the additional one thousand. You know, these are the types
of things you want to be doing. You know, over
time they can make a very big difference for the
success or potential success for your retirement.
Speaker 4 (15:49):
So give us some points, if you will. You know
that people listening can just sort of put themselves in.
When you're in your fifties and you're working, where should
your dollars be when it comes for one case.
Speaker 2 (16:07):
Well, I can't tell you based upon a study by
Fidelity here recently Fidelity Investments, which we our investment team.
We use Fidelity and we use Charles Schwab as our
trading platform and manage quite a bit of wealth.
Speaker 3 (16:19):
We're not small by any means.
Speaker 2 (16:21):
There's a discodect Americans that they have saved less now
of these days than ever before, and they're below the
averages of what we would like to see. And you know,
I'll tell you this the media if you want to
just kind of put yourself on the grid medium for
when K balances for those in the fifties today is
just over sixty grand, probably not adequate by any stretch.
(16:42):
And that's that's a problem. Average for a one K
balance for Americans in their fifty the average is about
just under two hundred thousand.
Speaker 3 (16:50):
Okay, now we're in the game.
Speaker 2 (16:52):
Now this is individual and if you're behind the eight
ball and you've been slow and haven't been doing it, well,
now it's a good time to start look at doing it.
But why have people why is the WHI are Americans lacking?
Speaker 3 (17:05):
Why are they behind? Well?
Speaker 2 (17:08):
Number one, we've seen extremely high inflation. We talk frequently
on the show about however, the costs so much housing
costs and methemtical and all that stuff. So the savings
rates have really been deprived, especially in recent years. And
for many people, even listeners, I'm sure they might have
even depleted their liquid accounts here in recent years, they've
(17:29):
had to tap into them. And if you can turn
the corner and start building those bags back up. I
do talk about we talk about frequently we like to
see for retirees, you know, fifty to one hundred grand
liquid liquidity is important. And then making sure that you
have the right amount of risk investments, the right amount
(17:51):
of risk, not the wrong amount of risk and mayble
some investments that you don't have any risks that are
getting some decent returns. So we're going to look at
all the different options that are on the menu, not
just some of the options, all of the options, and
try to come up with some strategies and solutions that
one may have not thought about before and that they
(18:11):
maybe should be thinking about. Maybe that's conversions. We help
a lot of people in that area. And again, if
you're not if you don't have a partner to lean
on in investments, in taxes, in healthcare, in a state planning,
now's a good time to come up with a partner.
And again, Kim, these should be coordinated because all of
(18:35):
these things go together in retirement, and you and I
talk about it every week.
Speaker 4 (18:39):
Some of those solutions, I know you've already mentioned them.
You can get involved with catch up contributions for your
your for one k the timing of taking your Social
Security benefits. Are there other strategies.
Speaker 2 (18:52):
Well, maybe you're relying, you're going to rely on an inheritance.
Maybe there's an inheritance that's coming your direction point. And
we hope those loved ones, whoever's we hope they live
a long, fruitful life. It embarrasses me times when I
see folks that are well, I'm gonna get an inheritance,
but they can't wait for that person to pass away.
It's like, are you kidding me? How are you owed anything?
(19:15):
But having an estate plan is a good is important.
You know, Carrie and Anna and Keith are estate planning attorneys.
We're able to help a lot of people in this
area because it's extremely important to have a will, to
have powers of attorney, to look at maybe having a trust.
Do you want to avoid probate? You know, we've had
Carrie on the show here a couple of times. It's
(19:36):
great to have her on once in a while, just
to hear it from an estate planning attorney specifically. But
are you counting on that inheritance? Be careful there, maybe
be more reliant on your own plan rather than somebody
else's legacy plan. How is that inheritance if you are
going to get it, how is it going to be taxed? Again,
(19:59):
there's difference between states, of course, and let's face in
Minnesota as a high tax state, there's no doubt about it.
And how will that inheritance fill the gap of income
if that's what you're relying on it to do? So again,
there's strategy there can be immediate strategies, there can be
some delayed strategies. We're going to look for solutions and
(20:23):
remedies that a lot of times if you're doing it alone,
or you're doing yourself, or that you may not have
thought of. Again, that's where it comes back to education
is so important, Lari.
Speaker 4 (20:34):
We've talked about for one case, there's certainly a way
to save for retirement, but not everybody has access to
a four or one K and they're not the only
thing out there. So what are some of the things
that you might talk to somebody in their fifties about.
Speaker 2 (20:49):
Well, brokerage accounts, after tax moneyes. Maybe you don't have
access to an employer sponsored plan, maybe you're self employed.
What about a SEP plan? What about a simple plan?
Those are important and by the way, HSA plans, if
you do have that available and you're listening, please max
that out. We love probably HSA is more than we
(21:09):
like roths, although we do like roths a lot as well.
Speaker 3 (21:12):
But you know, give it some thought.
Speaker 2 (21:14):
You know, four O one case can be great, but
maybe there's some other options that are on the menu
that have it looked at. Look at the tax advantages
now tax advantages later? What brings more value to that?
You know, four O one k's aren't the only retirement
tool out there. And if you're not sure, and if
you're not sure how to maximize and you're not sure,
(21:36):
that means you have questions, and that means why not
give us a call six one two five four eighty
four hundred or just come in and a visit with
us to see am I on track? How do I
get on track? And what does on track look like?
Based upon my age?
Speaker 3 (21:50):
Right now? Hey? Why not?
Speaker 2 (21:52):
You have nothing, nothing, nothing to lose and feel and again,
don't feel like, oh my goodness, I'm so embarrassed. Well,
we're all going to be embarrassed at some point in life.
And if this isn't anything to be embarrassed of, if
you're not on track, why not get back on track
right now?
Speaker 4 (22:09):
Absolutely? When we come back, well, let's talk a little
bit more about a state planning and how important that
is when it comes to putting together your retirement portfolio.
You're listening to the Haven Financial Group Radio show.
Speaker 1 (22:21):
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. Larry Kolvig is back and ready to
help you find your financial safe Haven.
Speaker 2 (22:43):
Good morning once again, and thank you for listening to
the Haven Financial Group radio show. I'm Larry Kalvig, founder
and CEO of the Haven Financial Group. Feel free to
give us a call at six one two five zero
four eight four zero zero or visit us online Havenfinancial
Group dot com.
Speaker 3 (22:59):
Check out the classes that.
Speaker 2 (23:00):
We have almost every week and those range from Maximize
Social Security and Tax to Medicare Made Simple classes to
Annuity the Truth about Annuities class Kim. I think it's
coming up in a couple months as state planning, wills,
trust and legacy planning. All of these related to retirement,
whether you're years from it, are in it.
Speaker 3 (23:23):
Hey, education can be very, very powerful.
Speaker 2 (23:26):
And maybe you haven't looked at your stuff or whatever
you have, and maybe you don't have anything. What if
you haven't looked looked at it in a long time.
This isn't something you just throw on the shelf and
never look at it again. This is an ongoing thing.
And again, what better than a good partner that's going
to that you have to lean on. So you know, Kim,
is state planning another one of those topics.
Speaker 4 (23:47):
Yes, it certainly is, and it's not an easy one.
You know, nobody really. I know that as a child,
I never really want to sit down with my parents
and talk about their estate planning and you know where
they want things to go and how they wanted to
do because you want to just say, oh, no, everything
is going to be okay. But unfortunately life isn't going
to always be okay. And I know that my kids
(24:08):
have absolutely no interest in talking about that. They're very
quick to cut us off. So these are hard conversations.
Speaker 2 (24:14):
To have, extremely extremely difficult, and all families are different.
Speaker 3 (24:18):
You know, some can.
Speaker 2 (24:19):
Handle this a lot better than other families. Some families
have circumstances that maybe you can talk about, or maybe
unfortunately you're dealing with a child that has drug or
alcohol problems or a variety of different things that can
really throw a curveball into this discussion. Now, you got
to treat this conversation with empathy and compassion and a
(24:40):
certain sort of personability. This can be very emotional. Again,
beneficiaries are so important, but you know having something when
we think of on a state plan what are your wishes?
Now you got to think of it to state planning
as when you're living and when you're gone. And you know,
what's the old saying, Kim, Life doesn't always cooperate with
(25:02):
our calendar. Nothing's ever going to happen. Nothing's ever going
to happen until something happens, and eventually something will happen,
especially when it comes to mortality, because last time I checked,
that's one hundred percent. I heard there's an exception and
it is Sunday morning. We could talk about that as well.
But at the end of the day, you know, when
you're living, you know powers of attorney, Well, my spouse
(25:24):
is my power of attorney? How so well just by automatic?
Not true, there is no automatic. I've appointed my wife, Rachelle,
to be my lawful attorney. In fact, if something happens
where I can't speak, God forbid, I get an accident,
and if she can't then obviously now I've appointed. My
father and my mother are still with us, and at
some point I'll make our four daughters. But we'll have
(25:46):
that discussion for decision making, ability, for financial decisions, for
health care, decisions, medical decisions. You know, a living will.
It's not going to be fun to fiddle out. It's
not going to be fun to talk about. But if
you don't have control of your affairs, then who has
control of your affairs?
Speaker 3 (26:05):
Is it the state?
Speaker 2 (26:07):
Through conservatorship and guardianship? Guardianship meanings now the state is
your parent. Conservatorship means the state has your checkbook. I
don't want them to be my parent or have my
checkbook because I can't speak. This is applicable, Kim, to
anybody that's eighteen years old and I like to carry
our state planning partner. She gives that as a gift
(26:28):
to kids when they turn eighteen and they graduate from
high school.
Speaker 3 (26:32):
What a great gift because it applies to them.
Speaker 2 (26:36):
So these are when you're living, and then of course
when you pass away, that's a whole other set of
documents that you don't have to do. You don't have
to there's nobody going to make you do anything. But
if you don't die with a will, the state already
created a will for you. I know that's not the
will that you want it for you and your spouse
and your family. So creating a will, looking at the
(26:59):
trust if it's necessary. You know, don't get talked into
something that you know you don't need. You know, I
do know that there are people that try to talk
to people that everybody into getting a trust, a revocable trust. Now,
they can be a great benefit for many, many individuals
and couples and families. But if you don't need something, don't.
Speaker 3 (27:17):
Get it right.
Speaker 2 (27:18):
But if you do, I sure hope you have it.
You don't for many you only get one chance, and
if it doesn't work, you don't get a redo. I
get kick out of I love people that, you know,
like to do things themselves. You know, I like to
save a buck where I can save a buck. But
when I get on the plane, I'm going to let
the pilot fly the plane. People that try to do
(27:38):
their own legal documents, you know, we're in a very
litigious society. Doing it yourself in the legal work world
can be very costly, and you don't want to you
don't want to shortcut something, especially like a state planning. Now,
don't pay more than you need to. But having the
right documentations, having your beneficiaries word it properly, all this
(28:00):
is so extremely important, Larry.
Speaker 4 (28:02):
One of the things I feel confident it's happening right now.
People who are listening to us are thinking, well, I
really don't have enough, so it's really not an issue.
I'll just help you know my son that he can
take this house, and that's that. And that's not the case.
Speaker 3 (28:18):
I hear it.
Speaker 2 (28:19):
Well, I'm not rich or wealthy, so this doesn't apply
to me, right, Well, probate in Minnesota is seventy five
thousand dollars of assets. It doesn't take a lot to
get to seventy five thousand for a formal probate. Well,
trusts are only for rich people. That is completely not true.
Now they are for wealthy people if they have an
estate tax problem. So, but you don't have to have
(28:39):
an estate tax problem to want to avoid probate or
incondestibility provisions, or maybe you have a special needs situation
with one of your kids. There's a lot of different
control control mechanisms that can be put in place, you know,
simplifying and consolidating.
Speaker 3 (28:57):
We do a lot of that.
Speaker 2 (28:58):
When it comes to investments. People have things spread out
all over. Well, that can be a headache for folks
if somebody passes away. So all this is part of
the big picture of state planning is a very broad topic. Yes,
there's legal documents that you should have. Yes, it's not
fun to talk about, and it can be very emotional.
(29:19):
And you really got it. You really got a tiptoe
around the best of your ability. But you also, you know,
I tell you this, we also see unfortunate situations. And
right now we have a client that has a mom
that they have multiple kids, and the son is trying
to strong arm the mom into doing it his way,
(29:41):
and mom is in well in her eighties and she
doesn't want to do it that way, and you know,
we're you know, we're in a position that this is
mom's situation. The son trying to strong arm that's a
no no. So again, some of this can get really dicey,
and it's our whoever you're working with, to really help
(30:02):
you navigate through that to avoid this. A couple last
week that was in We've been with us for several
years and after their tax meeting with Lance, Lance does
their taxes. I went back to Lance and I said, well,
how'd that go? Well, taxes for them went great, but
unfortunately they lost he lost the WAFE lost mom and
dad last year and mom and Dad didn't have adequate
(30:25):
estate planning, and because of that, there's a lot of
moving pieces, unfortunate moving pieces, and tax implications and headaches,
if you will, that could have been avoided had they
been done properly. And again it's too late. The kids
are having to deal with it, but avoiding these mistakes
could have happened. And again I hope they're going to
(30:45):
avoid it because now they know absolutely.
Speaker 4 (30:48):
I feel sure that what you've just said rings true
with a lot of people. Whether you're someone who maybe
has lost loved ones who were not prepared, or you're
not prepared and you want to make sure that you are.
You can give the folks that Haven Financial Group a
call six one two five zero four four zero zero
(31:09):
six one two five zero four eight four zero zero.
You don't have to be worth millions and millions of
dollars to take these kinds of steps. As Larry said,
the threshold in Minnesota seventy five thousand dollars. And if
you own a home, or you own a couple of cars,
you own, you know that a life insurance it all
(31:30):
becomes something. So be sure that you give them a call.
This is all Larry, part of we've talked about it.
But you know, this is all part of a full
plan for retirement because state planning, you know, is really
important in all of this big portfolio plan.
Speaker 2 (31:48):
Everything's connected in the retirement cam. It really really is carrying.
Anna and Keith are our state planning partners. And by
the way, if you're listening and your ears are ringing
and go, wow, I just don't know if my stuff's
in order or not, there is no cost for a
thirty to forty five minute consultation with them. Just call
us up and set us up here at the office
at Haven Financial Group.
Speaker 3 (32:10):
But it is it's a state.
Speaker 2 (32:11):
Planning encompasses your investments, the right beneficial interest on your accounts,
to taxes, to medicare and healthcare, long term care, all
those retirement puzzle pieces. Either they're working together or they're
working a part. And if you're trying to piece me
a it, they could very well be working in different
(32:33):
directions and you can. We're celebrating our ten year anniversary
here at Haven Financial Group, and the goal when I
started the company ten years ago was truly to have
multiple personalities in all these different arenas underneath the same roof.
Now you don't have to have them all under the
same roof, but it's very difficult to coordinate all these
retirement puzzle pieces.
Speaker 3 (32:54):
If they're not now it can be done.
Speaker 2 (32:56):
But the number one complement, and again our tenyear anniversary
this year, the number one compliment, and I'm very proud
of it, and I think I should be is when
I get this, Larry, it's so nice to have all
these different personalities in the same office where they're connected
and they're talking to each other.
Speaker 3 (33:14):
And that's a big, big plus.
Speaker 2 (33:15):
And that's a big, big asset for us as we
try to help people, but also for our clients knowing
they're being well taken care of in all these areas.
Speaker 3 (33:25):
And again we're.
Speaker 2 (33:26):
Very proud to have you having our tenure anniversary this year.
Speaker 4 (33:28):
Well, congratulations to you and all the hardworking folks there
at heven Financial. All Right, folks, when we come back
retirement accounts and your taxes Texas Texas taxes, it's tax season.
Are you prepared? Maybe you weren't prepared for this year,
but you want to get prepared for next. We're going
to discuss that when we come back right here on
the Haven Financial Group Radio Show.
Speaker 1 (33:50):
Don't go too far. We're gathering more important insights and
retirement payeevinent 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 Kulvig and Kim Karragan. Now back to
(34:11):
the show.
Speaker 2 (34:12):
Good morning once again, and welcome to the Haven Financial
Group Radio Show. I'm Larry Kolvig, Founder and CEO of
the Haven Financial Group. Give us a call at six
one two five zero four eighty four hundred. Visit us
online at Havenfinancialgroup dot com. We teach classes almost weekly,
a variety of different classes, all related to retirement, very
appealing and all educational, no costs materials are provided and
(34:37):
we encourage that with existing clients as well as new
folks we've never met. Because education is so so very important.
And when I'm finding Kim as these classes are so
being so well attended, people want to learn and they
don't know where to go. Yes, you could do it yourself,
but where do you start and actually what do you believe?
(35:00):
The internet can be a great resource, but you can
find anything you want on the internet, whether it's true
or not true. You can find anything you want. Sure,
so Wor's a reliable resource. And we've been doing this
for again our ten year anniversary, and again it's nice
to see people that want to learn. And again that's
why they're so well attended and we love doing them,
(35:20):
we really do.
Speaker 4 (35:21):
Yeah. So again, folks Havevenfinancialgroup dot com. Take a look.
No doubt there'll be something of interest to you. Be
sure you sign up. They are free and you don't
have to be an existing client. You do need to
sign up, however, because they need a headcount. Let's talk
about taxes and retirement accounts. You know, taxes are some
of the biggest expenses that some people face in their retirement.
(35:42):
So you want to do everything you can to prepare
and to make sure that you're you're paying your part
but not more than what you are expected to pay.
And there are strategies out there that exist if you
work with a partner like Haven, that can cut down
on that tax bill. What do you think is the
biggest mistake people make in retirement when it comes to taxes.
Speaker 2 (36:04):
Well, let me ask the listeners, what is your tax plan?
You know, if taxes rise, what are you going to do.
Is your retirement strategy as it secure you? Are you
a forward thinking tax planner? Do you do any tax
planning or not? Or are you just the one last
week that brought your box of statements into your tax prepair,
dropped it off and then you'll pick it up and
not even talk about it. I can tell you, Kim,
(36:24):
that's what a lot of people are doing, and they're
not getting the attention that they deserved. And I will
tell you, and you know this and the listeners, no
taxes will probably affect you more in retirement than ever before.
And again that's not a good thing to leave with
the listeners on our fourth segment on this show. But
it's real and it's true. So what are you doing?
Do you have a partner? Are you doing tax planning?
(36:46):
Lances are in house CPA. It's tax season. If you
don't have somebody good or if you're paying too much,
give the office a call, get on his calendar. He
is very educational. He loves his whiteboard. He loves to
explain things. Just this past week, a newer client that
her tax prepare raised her prices dramatically and it's like
(37:06):
and she goes, I just listened to you on the show,
and she came in and visited with Mitche on Social Security.
Speaker 3 (37:11):
She came in with Glenn.
Speaker 2 (37:13):
I met with her and I said, what about tax
She goes, I already have my meeting with Lance. She
goes and she told them how much that they were
the last CPA. It was actually wasn't even CPA. Actually
Lance is a CPA. How much they were charging. And
she goes and Lance is very fair. Plus she goes,
I get to have conversations with all of you, and
I didn't have any of this attention before. So taxes
(37:35):
drives investments, It drives your income plan and distribution plan
when you retire. Where do you draw from? What types
of accounts? These are the discussions. You worked hard all
your life to get the dollars you have, small, medium
or lard. You want to take out the money out
in the most tax efficient way possible.
Speaker 4 (37:56):
Yeah, what are some of the tools out there, the
retirement tools that help you with axes?
Speaker 3 (38:01):
Well?
Speaker 2 (38:01):
Iras again pre tax or wroth iras. What's right for you?
Speaker 3 (38:07):
Don't know?
Speaker 2 (38:07):
I just know that they probably both are right for
the listeners, depending upon your income. Employer sponsored plans. We
taught four oh one k's deferred com all those different
ones take advantage of them that don't take it out
early and get penalties. We want to avoid any penalties, interests,
or find any charges. We certainly want to avoid that.
(38:28):
Understand contribution limits, you know, can I contribute to a
wrath if it makes sense?
Speaker 3 (38:33):
Can I not? What are those limits? You know?
Speaker 2 (38:37):
Every year they continue to change, and we'll go over
those changes if folks come in, because there's way too
many to list on this show. Sure discussing does you
know in those early retirement years which we deal a
lot of folks, that they retire maybe earlier than expected
for a variety of reasons, whether they wanted to or not.
And maybe they say, have some lean years of income
(38:58):
where they're delaying so security because it makes sense, or
they're delaying their pension because it makes sense because maybe
it's still growing and maybe they're going to live off
savings or something of that nature. Now, this is where
we get into the discussion of is now a good
time to do conversions?
Speaker 3 (39:15):
Everybody we to visit with.
Speaker 2 (39:16):
We'll have a fourth quarter discussion about roth conversions filling
up that twelve percent tax bracket.
Speaker 3 (39:24):
What are those limits? What are the.
Speaker 2 (39:26):
Limitations given your individual situation? When I say individual, everybody's
situation is different. The problem is, and this is why,
on a weekly visit, in my conversations with many folks,
including many of my staff members' conversations with folks come
in missed opportunities. Did you do this last year? Nope,
our tax preparer told us too late, or nobody told us, well,
(39:50):
we have had a great opportunity to do tax planning
in these recent years and for the next several years
because of the low tax brackets that are currently exists.
Problem is, many people are going to look back and go,
why didn't anybody tell me? Why didn't I have this conversation?
And if you're just dropping off your taxes and picking
(40:10):
them up and not having a discussion, I will almost
guarantee you you're missing out on something.
Speaker 4 (40:16):
Well, let's talk about that just for a moment. The
Tax Cut and Jobs Act, it expires in twenty twenty six.
Because the administration changed, chances are very good it will
stay in place. But that's something that and no one
knows yet. And I know for the last you know,
year and a half two years, you've been talking about
(40:37):
the fact that people need to plan for that, which
may mean making some changes now to take advantage of
where we're see it.
Speaker 2 (40:44):
For certain now I almost I'm quite certain they're going
to extend it, which will give people an opportunity. But
eventually there's going to be changes and taxes are going
to go up. And if you're in this, you know
anywhere sixties, at sixty five and ten years, you're all
going to have to take required minimum distributions because based
upon how old you are right now, the R and
(41:06):
D age where the government forces you take it out
is that's seventy three. Now, many listeners might be confused.
I thought it was seventy and a half for years.
It was seventy and a half. For a year ago
or two, I went to seventy two. Last year I
went to seventy three. It currently is seventy three, and
then seven years it goes to seventy five. So what
this means is anybody that's put a lot together, and
(41:27):
a lot of the Baby Boomer generation and others have
pre tax large balances and they get to that age
and now they're forced to take it out. Kimp And
so what do I hear Oh my goodness, Larry, we
make more money now than we did when we were working. Congratulations.
Now you may owe more taxes. So anything we're able
(41:48):
to do to minimize taxes early on in retirement planning
could minimize taxes later on. But if you're not having
those discussions to find out what makes sense and what
doesn't make sense, then you're probably doing yourself a disfavor.
We are constantly talking about taxes, not because it's such
(42:09):
a fun thing to talk about. What's fun is avoiding
surprises and knowing you're doing what you can to keep
more money in your account than Uncle Sam's account. And
again that's why forward thinking tax planning. And we don't
charge extra for that lance he does tax We do
tax planning from the tax deadline in April fifteenth throughout
(42:34):
the rest of the year.
Speaker 3 (42:35):
That will be tax.
Speaker 2 (42:36):
Planning from January through tax day. That's tax preparation. I
like people to avoid this. Oh my goodness, Larry, we
owe ten grand or five grand, and I didn't see
this coming. Why didn't you see it coming? Had you
had a discussion and maybe had better withholdings, or had
somebody guide you, this would have been a surprise. That
(42:59):
didn't happen, could leave the office with a smile on
your face going I didn't know anything, or I might
have even got a little a few dollars back.
Speaker 4 (43:06):
Sure, absolutely, Yeah, So I mean giving Haven a call
right now and setting up an appointment so that you
can begin that preparation, not necessarily for twenty fours taxes,
but for twenty fives taxes, and the sooner the better,
that would be a smart move. That number is six
one two five zero four eight four zero zero six
(43:28):
one two five zero four eight four zero zero. Call
them and let's get on Lance's schedule so that you
can get in and talk to him about maybe what
you're paying for twenty four and what you don't want
to pay in twenty five.
Speaker 2 (43:42):
Right, Yeah, maybe it's just coming up with some tax
strategies nobody's talk to you about, or if you have
questions about how not to pay more taxes ideas there.
Lance's goal is to abide by the tax code, but
not give any more money to the government than possible.
And I've said this many times. Tax code doesn't always
make sense. Use it in your favor where you can,
(44:04):
because that is the tax code. Taxes will affect you
more in retirement than ever. Make sure you're doing your
part to minimize that.
Speaker 4 (44:13):
Well, Larry, today we have tried to answer some questions,
but I know that our listeners have lots of questions
related to retirement, and again they can get those questions
answered by calling six one two five zero four eight
four zero zero. Be sure you check out that website.
It's evenfinancialgroup dot com. Like always, this has been a delight.
Speaker 3 (44:32):
It's your ass, Kim.
Speaker 2 (44:33):
You know retirement puzzle pieces, put them all the pieces
together to the same puzzle. Taxes, investments, and if you're
worried about the volatility of the market, stress free stress
fee or stress tests that portfolio. Keep your costs down
as much as possible. If you're retiring soon, that Medicare discussion, healthcare,
a state planning, which we talked about on this show.
(44:55):
Maybe you're worried about the nursing home. I just had
a client that just went in and unfortunately they were
not prepared, and that's what we're trying to help people avoid.
Speaker 3 (45:04):
Again, Kim, always good to be with you.
Speaker 2 (45:06):
I encourage listeners there's no cost to come in and
visit six' one two five oh four eighty four hundred
Or Havenfinancial group dot com And. Kim we like to
have a little bit of fun there and we're coffee
snobs and we do like good.
Speaker 4 (45:19):
Cookies have a great, Week, lary you as.
Speaker 3 (45:23):
Well Kim take.
Speaker 5 (45:24):
Care 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 investments and
(45:47):
guaranteed income streams only refer to fixed insurance. Products they
do not refer in any way to securities or investment advisory.
Products fixed insurance and annuity product guarantees are subject to
the claims paying ability of the issuing.
Speaker 1 (45:59):
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 nines 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 (00:53):
Good morning, and welcome to the Haven Financial Group Radio Show.
Speaker 3 (00:57):
Thanks for listening.
Speaker 2 (00:58):
Feel free to give us a call at six one
two five zero four eighty four hundred, or visit us
online at Hanfinancialgroup dot com. All kinds of great retirement
tools on the site, even down to recipes and things
that others have shared with others, and again our classes,
we teach them almost weekly. Kim, and by the way,
great to be with you, So feel free to come
(01:20):
on out there educational.
Speaker 3 (01:21):
There's no cost.
Speaker 2 (01:22):
We provide all the materials and we even have a
little fun with topics that might be a little bit dry.
Speaker 4 (01:29):
I love that. Yeah, that's terrific. And we'll tell folks
more about some of those educational seminars that are coming
up in the area as the program progresses. Each week
we like to take a look at different aspects of retirement,
and today we want to talk a little bit about
some of the questions that guide a good retirement. I'll
bet you those of you listening have lots of questions.
(01:52):
Maybe you're in your you know, early to late fifties,
and you're trying to determine when you should retire and
if you're ready, and the big question everybody as is
do I have enough money to retire? So these are
some of the things that we're going to try to
address as we progress through this show. Today. First off,
we're going to talk about the age that's best to retire,
and then understanding retirement savings at the age of fifty.
(02:16):
So in other words, we're going to be talking to
some of our younger listeners, and then estate planning, a
family conversation, and finally we'll round things out with retirement
accounts and your taxes. We can't talk enough about taxes
and tax planning in retirement and before retirement, just how
important that is. So Larry, as we get started today,
(02:36):
we're going to talk about what age you should retire.
And I feel like the answer to that question is
one that I've heard from you numerous times, and that's
it's such an individual thing.
Speaker 2 (02:47):
Well it is, I'm circumstances. Do I want to work?
Do I hate work? Do I am I sick of it?
Or do I love my work? And there's a variety
of things that go into that. It's the biggest question
do we get when should I retire? When should I
start thinking about retirement? And by the way, it's never
too early to start thinking. And hopefully but that first
time you ever saved money in your four oh one
(03:08):
k now you already started thinking, So it's never too early.
In fact, they're earlier the better. The power of compounding
and everything that goes into saving money. As you get
closer though. We're going to take you know, social security
is a big discussion piece. You know, do I take
it early?
Speaker 3 (03:24):
Do I not?
Speaker 2 (03:26):
You know, do I earliest to sixty two? What's my
full retirement age? It's going to be somewhere between sixty
fives and sixty seven. The latest you're going to take
it is seventy. That's going to be a discussion. And
then we're going to look at what all your what
are all your income streams? Do you are you fortunate
enough to have a pension? You know, what type of
investment accounts do you have? What are the sources And
(03:47):
we're going to roundtable that and have that so thought
should go into it.
Speaker 3 (03:51):
It's never too early.
Speaker 2 (03:52):
And by the way, if people have questions, there's all
questions are good questions because it's your question. Our job
description and what we love to do is answer those questions.
It kind of bothers me when I hear this over
the years, that and I've had a question for twenty years, Well,
I wish you would have asked it or I would
have known you, because we want to get answers to
(04:12):
those questions. If we don't know, we're going to find
out the answers because those answers are extremely important.
Speaker 4 (04:19):
Absolutely. Well, when we discussed this issue of when should
you retire, let's just start with the fact that Uncle
Sam has made some decisions about what is the retirement age.
So if you want to full benefits of people can
draw their Social Security at sixty two. But now retirement
age for anyone born after the nineteen sixty correct is
(04:42):
now sixty seven years old versus sixty five.
Speaker 3 (04:46):
Yeah.
Speaker 2 (04:46):
Correct, There's been changes. There's going to have to be
other changes. The solvency of Social Security isn't where it
needs to be. But be careful, you know, everything is
political these days. Everything is political. The Republicans, you know,
don't have to out at raising the retirement age. Yeah,
kind of Democrats want to keep it the same Congress.
You know, they got a tough you know, they're in
(05:08):
a tough position. We're not going to get into, you know,
are they you know, robbing the cookie jar to pay
some other stuff which also has been a Social Security
has been highly politicized for years.
Speaker 3 (05:18):
Do I think it's going to be here?
Speaker 2 (05:19):
Absolutely, And that's just one of the you know, retirement
income streams that you should be looking at. Have I
said it numerous times on my show. Do I think
many Americans have become too reliant on it?
Speaker 3 (05:32):
Yes?
Speaker 2 (05:33):
It was never designed to be your whole, comfortable lifetime income.
Now with that said, I understand circumstances and life happen,
and sometimes it's not fair. But there's going to have
to be some changes in Kim.
Speaker 3 (05:48):
We're not going to like these changes right right.
Speaker 4 (05:50):
Well, besides the idea of changing the age, I know
there's been talk about maybe even doing what they do
in Australia, which is a flat benefit.
Speaker 2 (06:00):
Yeah, that proposed reform that have to have a transition period,
of course. It's a flat social security benefit that's really
equal to the individual over the sixty five poverty threshold
and available to all retirees regardless of work history. Now
that would be a that would be a drastic change.
(06:21):
Is it possible, Well, anything's possible.
Speaker 3 (06:23):
You know.
Speaker 2 (06:24):
Other of the types of things that they're talking about.
The reforms they've talked about that I said won't make
us happy because you know, listeners and myself and you
we've been paying into the system for years. Of course
we want some of our money back. And these reforms
they're talking about, like lowering them ount that they're going
to send you, Well, that doesn't make.
Speaker 3 (06:43):
Me very happy. Or if you've done if you you know,
means testing program.
Speaker 2 (06:48):
You know, if you've done such a good job working, working,
and yours is well, then we're not going to give
you so security you're not going to get it means testing,
delaying the retirement h you know, I've heard recent discussions
that's seventy they're talking about raising it to seventy possibly,
you know, I know a couple of summers ago in
France they raised it from sixty two to sixty four
(07:09):
and there was.
Speaker 3 (07:10):
Rioting in the streets.
Speaker 2 (07:11):
Yes, I hope that ever comes to America. You know,
raising the income age, that maybe they could tax all
of your income. It's possible. Sure, it would make it
people happy. And you know the one that they also
was discussed is social security is a formula. It is
a formula. Now we're not going to get into the
weeds of the formula. But what if they change the
(07:34):
formula and I cut and I say, I'm.
Speaker 3 (07:37):
Sure they would discuss that. They'd discuss that.
Speaker 2 (07:39):
With us first, right, Kim, Oh, sure they would. I'm
sure they won So yeah, exactly they'll change it and
then let us know and then we'll read it afterwards.
Speaker 3 (07:50):
Right, Okay, we won't go there.
Speaker 2 (07:52):
Today, but at the end of the day, these are
all the things regarding social security.
Speaker 3 (07:57):
So here's the deal. Evaluate what you have.
Speaker 2 (08:00):
This is in our process that we use at Haven
Financial Group. You know, what are your goals, what are
your objectives, what do you have to deal with? And
let's face it, sometimes people bury their head in their
sand and they're embarrassed. Or whether you have a little bit,
you're listening and have a little bit or a lot
or everything in between, whether you're twenty or a hundred
and you're listening. Whatever your situation is, your situation, don't
(08:23):
feel bad, don't feel that. You know, come on in.
There's nothing to lose, there's no cost. We're not there
to sell anything whatsoever. We're there to help our clients
navigate through retirement, through the good, the bad, and everything
in between, and answer questions. And you know, when you
have more conversations and you develop the confidence, and you
(08:44):
only get that by having a partner that really cares. Okay,
and we need to care and we do care, and
that's that's what our clients feel. And you know, retirement
is it's a feel You know, you got to feel
good because otherwise you're not going to sleep at night,
and that doesn't do anybody any good.
Speaker 4 (09:00):
No, absolutely not. And you've worked too hard all of
your life to get to those golden years and be
miserable because you didn't ask the kind of questions that
you needed to ask and make the kind of decisions
early enough about what would make you comfortable. Six one
two five zero four A four zero zero. That is
the number you can call. That'saven Financial Group. Tell them
(09:20):
you heard us here on the radio and that you'd
like to come in and you have some questions that
you'd like answered, and you'd like to talk with the
experts there to learn a little bit more about the
services and to talk to them about some of the
things that you'd like to accomplish in your golden retirement year.
Six one two five zero four A four zero zero.
Speaker 1 (09:39):
You can also go.
Speaker 4 (09:40):
To Havenfinancialgroup dot com. I really really want to I
want to stress to the folks who are listening that
this is a great website. Take a look at it.
As Larry said earlier, there's all kinds of fun things
there on the website, but there's also information about educational
seminars that Haven offers. We talk about these every week
and can't tell you enough about how great they are.
(10:03):
They're free to anyone. You don't have to be a client,
but they do like a headcount and they do fill
very quickly and you will find there when you go
to Havenfinancialgroup dot com all of the different topics that
are being taught. Education is the key, isn't it When
it comes to.
Speaker 2 (10:21):
Education is the potential for power. Yeah, education is the
potential for power. It's what you do with that that matters. Look,
sometimes the financial landscape changes. Tax rates can change, Medicare changes,
contribution limits, interest rate, environment change, or something else.
Speaker 3 (10:39):
You know, these are the things.
Speaker 2 (10:40):
That we address on an ongoing basis to our existing
clientele and to those that come out to the classes,
and anybody that knew that comes in and visits. These
are the things that we're going to keep you abreast
of to make sure that you're not missing out in
something I call it unforced airrors. We're trying to avoid
the unforced areas or the mistakes that other people make.
Speaker 3 (11:00):
Let's try to avoid.
Speaker 4 (11:01):
Them absolutely, all right, Larry, When we come back. Let's
talk a little bit about understanding retirement savings while you're
in your fifties. Fifties, you know, that's when when you
start to talk a little bit more about maybe what
some of your goals are and you start to wonder,
am I on the right track. So we're going to
talk a little bit more about that right here on
the Haven Financial Group Radio Show.
Speaker 1 (11:21):
Don't go too far. We're gathering more important insights and
retirement ways DEVI 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 Kulvig and Kim Karragan. Now back to
(11:41):
the show.
Speaker 2 (11:42):
Good morning once again, and welcome to the Haven Financial
Group Radio Show.
Speaker 3 (11:46):
Thanks for listening.
Speaker 2 (11:47):
Give us a call six one two five zero four
eight four zero zero or visit us online at Havenfinancialgroup
dot com. Every week, Kim, we talk about retirement mistakes,
things to do, not to do, and again these topics
now aren't necessarily the most fun things to talk about,
but they are so important whether you're fifty years from
(12:10):
retirement or five years, or maybe you're listening in your
in retirement things change. Of course, you and I don't
change km, but everything.
Speaker 4 (12:18):
Else changes, right, everything around us?
Speaker 2 (12:21):
Yeah, right, keep up to date on these changes because
just when you figure it out, then they change the rules.
Speaker 4 (12:26):
Yeah, that is so true. And you know, I know
that you keep saying it's not a fun topic, but
it really it can be fun because you can start,
you know, thinking about and dreaming about what those retirement
years will be. If you've got a good plan in
place and you're comfortable, it can be a really positive experience.
And in your fifties, I think is when you really
(12:47):
start to think about that and you start looking at
the you know, the bottom line. When it comes to
your four one K and you start looking into some
of your investments, you start to wonder, am I in
you know, stocks that are too risky? These are the
times when you start to have a lot of questions.
So let's talk about where you should be in your fifties.
And again, Larry, I know that it's not cookie cutter.
(13:08):
This is not everybody, but just some general points starting
with your four h one K. At that point, where
should you sort of be?
Speaker 2 (13:15):
Yeah, you mentioned fun, Kim, anybody that's been into Haven
knows that we like to have as much fun with
serious topics as we possibly can. Whether it is investments,
or it's medicare or state planning, we do like to
have as much fun because again, some of these topics
can get dry, but they are so very important. But
you're right, you get close to your fifties, Well, really,
any anybody that's been disciplined should have started saving for
(13:38):
retirement when they first got a job and had a
four oh one K. And because again the power of
compounding is so powerful, and those that did start early
are going to reap the reward. Those that started later
are going to look back and go, why didn't I
start earlier? And you know, the things of the past,
like pensions that used to be the reward people were
(14:00):
given for working in a position of the company for
a long period of time. Those have been on the
decline for many years now, and historically they were replaced
by employer sponsored plans four oh one k's, four O
three b's, deferred comp TSP. Those are all different names
that are synonymous with employer plans, and they can have
(14:20):
tax advantages in the form of pre tax that can
reduce your tax liability in the given year. It could
be wroth that are taxed upfront but never to be
taxed again.
Speaker 3 (14:32):
And if you have that.
Speaker 2 (14:34):
Available, make sure you look at the way the pros
and the cons and then eventually you'll have to start
taking money out of those.
Speaker 3 (14:41):
But when I.
Speaker 2 (14:42):
Say make sure that which ones are right for you,
it comes back. It comes back to the tax discussion.
If you're a high income earner, maybe they're getting that
pre tax. Pre tax makes a lot more sense to
reduce your tax liability in the given year. There are
some income threat Schultz for roth contributions. If you make
(15:04):
too much money, you might not be able to contribute,
but you might be able to do backdoor roths, which
we won't get into the weeds of that, but I
do have clients that are in that situation and they
do backdoor. They put it into an IRA, don't get
the tax benefits, and then they back it in that way.
So there there's sometimes a method to the madness that
if you're not if you're doing it alone or not
(15:27):
working with somebody, you might miss those opportunities.
Speaker 3 (15:31):
Catch up contributions.
Speaker 2 (15:33):
If you're over fifty, you know you can put up
to eight thousand dollars, you know, the seven thousand plus
the additional one thousand. You know, these are the types
of things you want to be doing. You know, over
time they can make a very big difference for the
success or potential success for your retirement.
Speaker 4 (15:49):
So give us some points, if you will. You know
that people listening can just sort of put themselves in.
When you're in your fifties and you're working, where should
your dollars be when it comes for one case.
Speaker 2 (16:07):
Well, I can't tell you based upon a study by
Fidelity here recently Fidelity Investments, which we our investment team.
We use Fidelity and we use Charles Schwab as our
trading platform and manage quite a bit of wealth.
Speaker 3 (16:19):
We're not small by any means.
Speaker 2 (16:21):
There's a discodect Americans that they have saved less now
of these days than ever before, and they're below the
averages of what we would like to see. And you know,
I'll tell you this the media if you want to
just kind of put yourself on the grid medium for
when K balances for those in the fifties today is
just over sixty grand, probably not adequate by any stretch.
(16:42):
And that's that's a problem. Average for a one K
balance for Americans in their fifty the average is about
just under two hundred thousand.
Speaker 3 (16:50):
Okay, now we're in the game.
Speaker 2 (16:52):
Now this is individual and if you're behind the eight
ball and you've been slow and haven't been doing it, well,
now it's a good time to start look at doing it.
But why have people why is the WHI are Americans lacking?
Speaker 3 (17:05):
Why are they behind? Well?
Speaker 2 (17:08):
Number one, we've seen extremely high inflation. We talk frequently
on the show about however, the costs so much housing
costs and methemtical and all that stuff. So the savings
rates have really been deprived, especially in recent years. And
for many people, even listeners, I'm sure they might have
even depleted their liquid accounts here in recent years, they've
(17:29):
had to tap into them. And if you can turn
the corner and start building those bags back up. I
do talk about we talk about frequently we like to
see for retirees, you know, fifty to one hundred grand
liquid liquidity is important. And then making sure that you
have the right amount of risk investments, the right amount
(17:51):
of risk, not the wrong amount of risk and mayble
some investments that you don't have any risks that are
getting some decent returns. So we're going to look at
all the different options that are on the menu, not
just some of the options, all of the options, and
try to come up with some strategies and solutions that
one may have not thought about before and that they
(18:11):
maybe should be thinking about. Maybe that's conversions. We help
a lot of people in that area. And again, if
you're not if you don't have a partner to lean
on in investments, in taxes, in healthcare, in a state planning,
now's a good time to come up with a partner.
And again, Kim, these should be coordinated because all of
(18:35):
these things go together in retirement, and you and I
talk about it every week.
Speaker 4 (18:39):
Some of those solutions, I know you've already mentioned them.
You can get involved with catch up contributions for your
your for one k the timing of taking your Social
Security benefits. Are there other strategies.
Speaker 2 (18:52):
Well, maybe you're relying, you're going to rely on an inheritance.
Maybe there's an inheritance that's coming your direction point. And
we hope those loved ones, whoever's we hope they live
a long, fruitful life. It embarrasses me times when I
see folks that are well, I'm gonna get an inheritance,
but they can't wait for that person to pass away.
It's like, are you kidding me? How are you owed anything?
(19:15):
But having an estate plan is a good is important.
You know, Carrie and Anna and Keith are estate planning attorneys.
We're able to help a lot of people in this
area because it's extremely important to have a will, to
have powers of attorney, to look at maybe having a trust.
Do you want to avoid probate? You know, we've had
Carrie on the show here a couple of times. It's
(19:36):
great to have her on once in a while, just
to hear it from an estate planning attorney specifically. But
are you counting on that inheritance? Be careful there, maybe
be more reliant on your own plan rather than somebody
else's legacy plan. How is that inheritance if you are
going to get it, how is it going to be taxed? Again,
(19:59):
there's difference between states, of course, and let's face in
Minnesota as a high tax state, there's no doubt about it.
And how will that inheritance fill the gap of income
if that's what you're relying on it to do? So again,
there's strategy there can be immediate strategies, there can be
some delayed strategies. We're going to look for solutions and
(20:23):
remedies that a lot of times if you're doing it alone,
or you're doing yourself, or that you may not have
thought of. Again, that's where it comes back to education
is so important, Lari.
Speaker 4 (20:34):
We've talked about for one case, there's certainly a way
to save for retirement, but not everybody has access to
a four or one K and they're not the only
thing out there. So what are some of the things
that you might talk to somebody in their fifties about.
Speaker 2 (20:49):
Well, brokerage accounts, after tax moneyes. Maybe you don't have
access to an employer sponsored plan, maybe you're self employed.
What about a SEP plan? What about a simple plan?
Those are important and by the way, HSA plans, if
you do have that available and you're listening, please max
that out. We love probably HSA is more than we
(21:09):
like roths, although we do like roths a lot as well.
Speaker 3 (21:12):
But you know, give it some thought.
Speaker 2 (21:14):
You know, four O one case can be great, but
maybe there's some other options that are on the menu
that have it looked at. Look at the tax advantages
now tax advantages later? What brings more value to that?
You know, four O one k's aren't the only retirement
tool out there. And if you're not sure, and if
you're not sure how to maximize and you're not sure,
(21:36):
that means you have questions, and that means why not
give us a call six one two five four eighty
four hundred or just come in and a visit with
us to see am I on track? How do I
get on track? And what does on track look like?
Based upon my age?
Speaker 3 (21:50):
Right now? Hey? Why not?
Speaker 2 (21:52):
You have nothing, nothing, nothing to lose and feel and again,
don't feel like, oh my goodness, I'm so embarrassed. Well,
we're all going to be embarrassed at some point in life.
And if this isn't anything to be embarrassed of, if
you're not on track, why not get back on track
right now?
Speaker 4 (22:09):
Absolutely? When we come back, well, let's talk a little
bit more about a state planning and how important that
is when it comes to putting together your retirement portfolio.
You're listening to the Haven Financial Group Radio show.
Speaker 1 (22:21):
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. Larry Kolvig is back and ready to
help you find your financial safe Haven.
Speaker 2 (22:43):
Good morning once again, and thank you for listening to
the Haven Financial Group radio show. I'm Larry Kalvig, founder
and CEO of the Haven Financial Group. Feel free to
give us a call at six one two five zero
four eight four zero zero or visit us online Havenfinancial
Group dot com.
Speaker 3 (22:59):
Check out the classes that.
Speaker 2 (23:00):
We have almost every week and those range from Maximize
Social Security and Tax to Medicare Made Simple classes to
Annuity the Truth about Annuities class Kim. I think it's
coming up in a couple months as state planning, wills,
trust and legacy planning. All of these related to retirement,
whether you're years from it, are in it.
Speaker 3 (23:23):
Hey, education can be very, very powerful.
Speaker 2 (23:26):
And maybe you haven't looked at your stuff or whatever
you have, and maybe you don't have anything. What if
you haven't looked looked at it in a long time.
This isn't something you just throw on the shelf and
never look at it again. This is an ongoing thing.
And again, what better than a good partner that's going
to that you have to lean on. So you know, Kim,
is state planning another one of those topics.
Speaker 4 (23:47):
Yes, it certainly is, and it's not an easy one.
You know, nobody really. I know that as a child,
I never really want to sit down with my parents
and talk about their estate planning and you know where
they want things to go and how they wanted to
do because you want to just say, oh, no, everything
is going to be okay. But unfortunately life isn't going
to always be okay. And I know that my kids
(24:08):
have absolutely no interest in talking about that. They're very
quick to cut us off. So these are hard conversations.
Speaker 2 (24:14):
To have, extremely extremely difficult, and all families are different.
Speaker 3 (24:18):
You know, some can.
Speaker 2 (24:19):
Handle this a lot better than other families. Some families
have circumstances that maybe you can talk about, or maybe
unfortunately you're dealing with a child that has drug or
alcohol problems or a variety of different things that can
really throw a curveball into this discussion. Now, you got
to treat this conversation with empathy and compassion and a
(24:40):
certain sort of personability. This can be very emotional. Again,
beneficiaries are so important, but you know having something when
we think of on a state plan what are your wishes?
Now you got to think of it to state planning
as when you're living and when you're gone. And you know,
what's the old saying, Kim, Life doesn't always cooperate with
(25:02):
our calendar. Nothing's ever going to happen. Nothing's ever going
to happen until something happens, and eventually something will happen,
especially when it comes to mortality, because last time I checked,
that's one hundred percent. I heard there's an exception and
it is Sunday morning. We could talk about that as well.
But at the end of the day, you know, when
you're living, you know powers of attorney, Well, my spouse
(25:24):
is my power of attorney? How so well just by automatic?
Not true, there is no automatic. I've appointed my wife, Rachelle,
to be my lawful attorney. In fact, if something happens
where I can't speak, God forbid, I get an accident,
and if she can't then obviously now I've appointed. My
father and my mother are still with us, and at
some point I'll make our four daughters. But we'll have
(25:46):
that discussion for decision making, ability, for financial decisions, for
health care, decisions, medical decisions. You know, a living will.
It's not going to be fun to fiddle out. It's
not going to be fun to talk about. But if
you don't have control of your affairs, then who has
control of your affairs?
Speaker 3 (26:05):
Is it the state?
Speaker 2 (26:07):
Through conservatorship and guardianship? Guardianship meanings now the state is
your parent. Conservatorship means the state has your checkbook. I
don't want them to be my parent or have my
checkbook because I can't speak. This is applicable, Kim, to
anybody that's eighteen years old and I like to carry
our state planning partner. She gives that as a gift
(26:28):
to kids when they turn eighteen and they graduate from
high school.
Speaker 3 (26:32):
What a great gift because it applies to them.
Speaker 2 (26:36):
So these are when you're living, and then of course
when you pass away, that's a whole other set of
documents that you don't have to do. You don't have
to there's nobody going to make you do anything. But
if you don't die with a will, the state already
created a will for you. I know that's not the
will that you want it for you and your spouse
and your family. So creating a will, looking at the
(26:59):
trust if it's necessary. You know, don't get talked into
something that you know you don't need. You know, I
do know that there are people that try to talk
to people that everybody into getting a trust, a revocable trust. Now,
they can be a great benefit for many, many individuals
and couples and families. But if you don't need something, don't.
Speaker 3 (27:17):
Get it right.
Speaker 2 (27:18):
But if you do, I sure hope you have it.
You don't for many you only get one chance, and
if it doesn't work, you don't get a redo. I
get kick out of I love people that, you know,
like to do things themselves. You know, I like to
save a buck where I can save a buck. But
when I get on the plane, I'm going to let
the pilot fly the plane. People that try to do
(27:38):
their own legal documents, you know, we're in a very
litigious society. Doing it yourself in the legal work world
can be very costly, and you don't want to you
don't want to shortcut something, especially like a state planning. Now,
don't pay more than you need to. But having the
right documentations, having your beneficiaries word it properly, all this
(28:00):
is so extremely important, Larry.
Speaker 4 (28:02):
One of the things I feel confident it's happening right now.
People who are listening to us are thinking, well, I
really don't have enough, so it's really not an issue.
I'll just help you know my son that he can
take this house, and that's that. And that's not the case.
Speaker 3 (28:18):
I hear it.
Speaker 2 (28:19):
Well, I'm not rich or wealthy, so this doesn't apply
to me, right, Well, probate in Minnesota is seventy five
thousand dollars of assets. It doesn't take a lot to
get to seventy five thousand for a formal probate. Well,
trusts are only for rich people. That is completely not true.
Now they are for wealthy people if they have an
estate tax problem. So, but you don't have to have
(28:39):
an estate tax problem to want to avoid probate or
incondestibility provisions, or maybe you have a special needs situation
with one of your kids. There's a lot of different
control control mechanisms that can be put in place, you know,
simplifying and consolidating.
Speaker 3 (28:57):
We do a lot of that.
Speaker 2 (28:58):
When it comes to investments. People have things spread out
all over. Well, that can be a headache for folks
if somebody passes away. So all this is part of
the big picture of state planning is a very broad topic. Yes,
there's legal documents that you should have. Yes, it's not
fun to talk about, and it can be very emotional.
(29:19):
And you really got it. You really got a tiptoe
around the best of your ability. But you also, you know,
I tell you this, we also see unfortunate situations. And
right now we have a client that has a mom
that they have multiple kids, and the son is trying
to strong arm the mom into doing it his way,
(29:41):
and mom is in well in her eighties and she
doesn't want to do it that way, and you know,
we're you know, we're in a position that this is
mom's situation. The son trying to strong arm that's a
no no. So again, some of this can get really dicey,
and it's our whoever you're working with, to really help
(30:02):
you navigate through that to avoid this. A couple last
week that was in We've been with us for several
years and after their tax meeting with Lance, Lance does
their taxes. I went back to Lance and I said, well,
how'd that go? Well, taxes for them went great, but
unfortunately they lost he lost the WAFE lost mom and
dad last year and mom and Dad didn't have adequate
(30:25):
estate planning, and because of that, there's a lot of
moving pieces, unfortunate moving pieces, and tax implications and headaches,
if you will, that could have been avoided had they
been done properly. And again it's too late. The kids
are having to deal with it, but avoiding these mistakes
could have happened. And again I hope they're going to
(30:45):
avoid it because now they know absolutely.
Speaker 4 (30:48):
I feel sure that what you've just said rings true
with a lot of people. Whether you're someone who maybe
has lost loved ones who were not prepared, or you're
not prepared and you want to make sure that you are.
You can give the folks that Haven Financial Group a
call six one two five zero four four zero zero
(31:09):
six one two five zero four eight four zero zero.
You don't have to be worth millions and millions of
dollars to take these kinds of steps. As Larry said,
the threshold in Minnesota seventy five thousand dollars. And if
you own a home, or you own a couple of cars,
you own, you know that a life insurance it all
(31:30):
becomes something. So be sure that you give them a call.
This is all Larry, part of we've talked about it.
But you know, this is all part of a full
plan for retirement because state planning, you know, is really
important in all of this big portfolio plan.
Speaker 2 (31:48):
Everything's connected in the retirement cam. It really really is carrying.
Anna and Keith are our state planning partners. And by
the way, if you're listening and your ears are ringing
and go, wow, I just don't know if my stuff's
in order or not, there is no cost for a
thirty to forty five minute consultation with them. Just call
us up and set us up here at the office
at Haven Financial Group.
Speaker 3 (32:10):
But it is it's a state.
Speaker 2 (32:11):
Planning encompasses your investments, the right beneficial interest on your accounts,
to taxes, to medicare and healthcare, long term care, all
those retirement puzzle pieces. Either they're working together or they're
working a part. And if you're trying to piece me
a it, they could very well be working in different
(32:33):
directions and you can. We're celebrating our ten year anniversary
here at Haven Financial Group, and the goal when I
started the company ten years ago was truly to have
multiple personalities in all these different arenas underneath the same roof.
Now you don't have to have them all under the
same roof, but it's very difficult to coordinate all these
retirement puzzle pieces.
Speaker 3 (32:54):
If they're not now it can be done.
Speaker 2 (32:56):
But the number one complement, and again our tenyear anniversary
this year, the number one compliment, and I'm very proud
of it, and I think I should be is when
I get this, Larry, it's so nice to have all
these different personalities in the same office where they're connected
and they're talking to each other.
Speaker 3 (33:14):
And that's a big, big plus.
Speaker 2 (33:15):
And that's a big, big asset for us as we
try to help people, but also for our clients knowing
they're being well taken care of in all these areas.
Speaker 3 (33:25):
And again we're.
Speaker 2 (33:26):
Very proud to have you having our tenure anniversary this year.
Speaker 4 (33:28):
Well, congratulations to you and all the hardworking folks there
at heven Financial. All Right, folks, when we come back
retirement accounts and your taxes Texas Texas taxes, it's tax season.
Are you prepared? Maybe you weren't prepared for this year,
but you want to get prepared for next. We're going
to discuss that when we come back right here on
the Haven Financial Group Radio Show.
Speaker 1 (33:50):
Don't go too far. We're gathering more important insights and
retirement payeevinent 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 Kulvig and Kim Karragan. Now back to
(34:11):
the show.
Speaker 2 (34:12):
Good morning once again, and welcome to the Haven Financial
Group Radio Show. I'm Larry Kolvig, Founder and CEO of
the Haven Financial Group. Give us a call at six
one two five zero four eighty four hundred. Visit us
online at Havenfinancialgroup dot com. We teach classes almost weekly,
a variety of different classes, all related to retirement, very
appealing and all educational, no costs materials are provided and
(34:37):
we encourage that with existing clients as well as new
folks we've never met. Because education is so so very important.
And when I'm finding Kim as these classes are so
being so well attended, people want to learn and they
don't know where to go. Yes, you could do it yourself,
but where do you start and actually what do you believe?
(35:00):
The internet can be a great resource, but you can
find anything you want on the internet, whether it's true
or not true. You can find anything you want. Sure,
so Wor's a reliable resource. And we've been doing this
for again our ten year anniversary, and again it's nice
to see people that want to learn. And again that's
why they're so well attended and we love doing them,
(35:20):
we really do.
Speaker 4 (35:21):
Yeah. So again, folks Havevenfinancialgroup dot com. Take a look.
No doubt there'll be something of interest to you. Be
sure you sign up. They are free and you don't
have to be an existing client. You do need to
sign up, however, because they need a headcount. Let's talk
about taxes and retirement accounts. You know, taxes are some
of the biggest expenses that some people face in their retirement.
(35:42):
So you want to do everything you can to prepare
and to make sure that you're you're paying your part
but not more than what you are expected to pay.
And there are strategies out there that exist if you
work with a partner like Haven, that can cut down
on that tax bill. What do you think is the
biggest mistake people make in retirement when it comes to taxes.
Speaker 2 (36:04):
Well, let me ask the listeners, what is your tax plan?
You know, if taxes rise, what are you going to do.
Is your retirement strategy as it secure you? Are you
a forward thinking tax planner? Do you do any tax
planning or not? Or are you just the one last
week that brought your box of statements into your tax prepair,
dropped it off and then you'll pick it up and
not even talk about it. I can tell you, Kim,
(36:24):
that's what a lot of people are doing, and they're
not getting the attention that they deserved. And I will
tell you, and you know this and the listeners, no
taxes will probably affect you more in retirement than ever before.
And again that's not a good thing to leave with
the listeners on our fourth segment on this show. But
it's real and it's true. So what are you doing?
Do you have a partner? Are you doing tax planning?
(36:46):
Lances are in house CPA. It's tax season. If you
don't have somebody good or if you're paying too much,
give the office a call, get on his calendar. He
is very educational. He loves his whiteboard. He loves to
explain things. Just this past week, a newer client that
her tax prepare raised her prices dramatically and it's like
(37:06):
and she goes, I just listened to you on the show,
and she came in and visited with Mitche on Social Security.
Speaker 3 (37:11):
She came in with Glenn.
Speaker 2 (37:13):
I met with her and I said, what about tax
She goes, I already have my meeting with Lance. She
goes and she told them how much that they were
the last CPA. It was actually wasn't even CPA. Actually
Lance is a CPA. How much they were charging. And
she goes and Lance is very fair. Plus she goes,
I get to have conversations with all of you, and
I didn't have any of this attention before. So taxes
(37:35):
drives investments, It drives your income plan and distribution plan
when you retire. Where do you draw from? What types
of accounts? These are the discussions. You worked hard all
your life to get the dollars you have, small, medium
or lard. You want to take out the money out
in the most tax efficient way possible.
Speaker 4 (37:56):
Yeah, what are some of the tools out there, the
retirement tools that help you with axes?
Speaker 3 (38:01):
Well?
Speaker 2 (38:01):
Iras again pre tax or wroth iras. What's right for you?
Speaker 3 (38:07):
Don't know?
Speaker 2 (38:07):
I just know that they probably both are right for
the listeners, depending upon your income. Employer sponsored plans. We
taught four oh one k's deferred com all those different
ones take advantage of them that don't take it out
early and get penalties. We want to avoid any penalties, interests,
or find any charges. We certainly want to avoid that.
(38:28):
Understand contribution limits, you know, can I contribute to a
wrath if it makes sense?
Speaker 3 (38:33):
Can I not? What are those limits? You know?
Speaker 2 (38:37):
Every year they continue to change, and we'll go over
those changes if folks come in, because there's way too
many to list on this show. Sure discussing does you
know in those early retirement years which we deal a
lot of folks, that they retire maybe earlier than expected
for a variety of reasons, whether they wanted to or not.
And maybe they say, have some lean years of income
(38:58):
where they're delaying so security because it makes sense, or
they're delaying their pension because it makes sense because maybe
it's still growing and maybe they're going to live off
savings or something of that nature. Now, this is where
we get into the discussion of is now a good
time to do conversions?
Speaker 3 (39:15):
Everybody we to visit with.
Speaker 2 (39:16):
We'll have a fourth quarter discussion about roth conversions filling
up that twelve percent tax bracket.
Speaker 3 (39:24):
What are those limits? What are the.
Speaker 2 (39:26):
Limitations given your individual situation? When I say individual, everybody's
situation is different. The problem is, and this is why,
on a weekly visit, in my conversations with many folks,
including many of my staff members' conversations with folks come
in missed opportunities. Did you do this last year? Nope,
our tax preparer told us too late, or nobody told us, well,
(39:50):
we have had a great opportunity to do tax planning
in these recent years and for the next several years
because of the low tax brackets that are currently exists.
Problem is, many people are going to look back and go,
why didn't anybody tell me? Why didn't I have this conversation?
And if you're just dropping off your taxes and picking
(40:10):
them up and not having a discussion, I will almost
guarantee you you're missing out on something.
Speaker 4 (40:16):
Well, let's talk about that just for a moment. The
Tax Cut and Jobs Act, it expires in twenty twenty six.
Because the administration changed, chances are very good it will
stay in place. But that's something that and no one
knows yet. And I know for the last you know,
year and a half two years, you've been talking about
(40:37):
the fact that people need to plan for that, which
may mean making some changes now to take advantage of
where we're see it.
Speaker 2 (40:44):
For certain now I almost I'm quite certain they're going
to extend it, which will give people an opportunity. But
eventually there's going to be changes and taxes are going
to go up. And if you're in this, you know
anywhere sixties, at sixty five and ten years, you're all
going to have to take required minimum distributions because based
upon how old you are right now, the R and
(41:06):
D age where the government forces you take it out
is that's seventy three. Now, many listeners might be confused.
I thought it was seventy and a half for years.
It was seventy and a half. For a year ago
or two, I went to seventy two. Last year I
went to seventy three. It currently is seventy three, and
then seven years it goes to seventy five. So what
this means is anybody that's put a lot together, and
(41:27):
a lot of the Baby Boomer generation and others have
pre tax large balances and they get to that age
and now they're forced to take it out. Kimp And
so what do I hear Oh my goodness, Larry, we
make more money now than we did when we were working. Congratulations.
Now you may owe more taxes. So anything we're able
(41:48):
to do to minimize taxes early on in retirement planning
could minimize taxes later on. But if you're not having
those discussions to find out what makes sense and what
doesn't make sense, then you're probably doing yourself a disfavor.
We are constantly talking about taxes, not because it's such
(42:09):
a fun thing to talk about. What's fun is avoiding
surprises and knowing you're doing what you can to keep
more money in your account than Uncle Sam's account. And
again that's why forward thinking tax planning. And we don't
charge extra for that lance he does tax We do
tax planning from the tax deadline in April fifteenth throughout
(42:34):
the rest of the year.
Speaker 3 (42:35):
That will be tax.
Speaker 2 (42:36):
Planning from January through tax day. That's tax preparation. I
like people to avoid this. Oh my goodness, Larry, we
owe ten grand or five grand, and I didn't see
this coming. Why didn't you see it coming? Had you
had a discussion and maybe had better withholdings, or had
somebody guide you, this would have been a surprise. That
(42:59):
didn't happen, could leave the office with a smile on
your face going I didn't know anything, or I might
have even got a little a few dollars back.
Speaker 4 (43:06):
Sure, absolutely, Yeah, So I mean giving Haven a call
right now and setting up an appointment so that you
can begin that preparation, not necessarily for twenty fours taxes,
but for twenty fives taxes, and the sooner the better,
that would be a smart move. That number is six
one two five zero four eight four zero zero six
(43:28):
one two five zero four eight four zero zero. Call
them and let's get on Lance's schedule so that you
can get in and talk to him about maybe what
you're paying for twenty four and what you don't want
to pay in twenty five.
Speaker 2 (43:42):
Right, Yeah, maybe it's just coming up with some tax
strategies nobody's talk to you about, or if you have
questions about how not to pay more taxes ideas there.
Lance's goal is to abide by the tax code, but
not give any more money to the government than possible.
And I've said this many times. Tax code doesn't always
make sense. Use it in your favor where you can,
(44:04):
because that is the tax code. Taxes will affect you
more in retirement than ever. Make sure you're doing your
part to minimize that.
Speaker 4 (44:13):
Well, Larry, today we have tried to answer some questions,
but I know that our listeners have lots of questions
related to retirement, and again they can get those questions
answered by calling six one two five zero four eight
four zero zero. Be sure you check out that website.
It's evenfinancialgroup dot com. Like always, this has been a delight.
Speaker 3 (44:32):
It's your ass, Kim.
Speaker 2 (44:33):
You know retirement puzzle pieces, put them all the pieces
together to the same puzzle. Taxes, investments, and if you're
worried about the volatility of the market, stress free stress
fee or stress tests that portfolio. Keep your costs down
as much as possible. If you're retiring soon, that Medicare discussion, healthcare,
a state planning, which we talked about on this show.
(44:55):
Maybe you're worried about the nursing home. I just had
a client that just went in and unfortunately they were
not prepared, and that's what we're trying to help people avoid.
Speaker 3 (45:04):
Again, Kim, always good to be with you.
Speaker 2 (45:06):
I encourage listeners there's no cost to come in and
visit six' one two five oh four eighty four hundred
Or Havenfinancial group dot com And. Kim we like to
have a little bit of fun there and we're coffee
snobs and we do like good.
Speaker 4 (45:19):
Cookies have a great, Week, lary you as.
Speaker 3 (45:23):
Well Kim take.
Speaker 5 (45:24):
Care 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 investments and
(45:47):
guaranteed income streams only refer to fixed insurance. Products they
do not refer in any way to securities or investment advisory.
Products fixed insurance and annuity product guarantees are subject to
the claims paying ability of the issuing.
Speaker 1 (45:59):
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