Retirement Planning - Redefined

Take the Fork: Yogi’s Wisdom on Making Financial Choices

In this episode, we’re diving into some famous words by the one and only Yogi Berra. You might know him for his legendary baseball career, but Yogi was also a goldmine of wisdom. We'll spin some of his classic quotes into financial advice. It's all about viewing things through the right lens—so let's see what financial insights we can uncover from Yogi’s memorable sayings!
 
Helpful Information:
PFG Website: https://www.pfgprivatewealth.com/
Contact: 813-286-7776
Email: info@pfgprivatewealth.com
 
Disclaimer:
Speaker 1:PFG, Private Wealth Management LLC is an SEC registered investment advisor. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. The topics and information discussed during this podcast are not intended to provide tax or legal advice. Investments involve risk and unless otherwise stated are not guaranteed. Be sure to first consult with a qualified financial advisor and or tax professional before implementing any strategy discussed on this podcast. Past performance is not indicative of future performance insurance. Products and services are offered and sold through individually licensed and appointed insurance agents.
Marc Killian:In this episode, we're going to dive into some famous words from Yogi Berra. We're right in the heart of baseball season, so it seems fitting to do a little classic wisdom from Yogi and some financial lessons here with the guys. This is Retirement Planning Redefined with John and Nick.
Speaker 3:The rules of retirement have changed. No longer can most of us rely on social security or a single pension to fund our futures. We're living longer and retirement doesn't just last a handful of years anymore. Instead, you might stay retired for 20 or 30 years and maybe even more. We need to look at retirement through a new lens with fresh eyes, with a new approach and plan of attack. Here to answer the call are financial advisors John Teixeira and Nick McDevitt of PFG, Private Wealth Management, serving you throughout the Tampa Bay area. This podcast is Retirement Planning Redefined, and it starts right now.
Marc Killian:Hey, everybody, welcome into the podcast. Thanks for tuning in to the podcast here with John and Nick and myself. And I don't know why I said podcast twice, but I did. Thanks for hanging out with us and we're going to talk about Yogi Berra. We're going to take the fork in the proverbial road, and have a conversation with the guys and just get some financial lessons from some classic Yogi-isms. This guy had some great, great, great quotes through the years. Fantastic baseball player, obviously a legend, but his quotes were pretty good as well. So we're going to talk about that this week here on the podcast. What's going on, Nick? How are you, my friend?
Nick McDevitt:Doing pretty good. Getting over a little bit of a cold, but finally turned the corner.
Marc Killian:Yeah. Okay. I know you're a football fan. Are you a baseball fan as well?
Nick McDevitt:I grew up a big baseball fan. My grandfather... My mom's side of the family is Cuban, so baseball's a huge deal. And I grew up a Mets fan, which is torture, but really kind of phased out of baseball probably over the last maybe seven, eight years, harder to kind of hold the interest.
Marc Killian:Gotcha, okay. All right.
Nick McDevitt:Yeah, but did grow up really enjoying baseball.
Marc Killian:Nice, nice. Well, John, how are you doing, my friend? And what about you? Did you enjoy your baseball growing up or are you a fan?
John Teixeira:More of a basketball and football fan, but no. Growing up in Boston, you kind of automatically get sucked into the Red Sox aura. Growing up, I could understand Nick's pain, but then they kind of pulled through as in my college years. But I will say I'm excited. The Celtics is just won the NBA Championship, so-
Marc Killian:This is true. Again, yeah.
John Teixeira:That's a good thing I'm happy about so.
Marc Killian:Yeah, and they've got quite the team, so there's a good chance you might see them again next year in the run for it as well.
John Teixeira:Yeah, yeah, let's hope so. Let's hope so.
Marc Killian:They're stacked pretty well.
John Teixeira:Marc, real quick question as we talk about football is what do you think of Drake Maye? He was there in North Carolina.
Marc Killian:Yeah, it was interesting. Curious to see how he's going to do. I don't know. I mean, he played pretty well here, so we'll see how it translates. When they go to the NFL, you never know, right? It's a crapshoot. Didn't work out so well for Trubisky when he went to Chicago.
John Teixeira:No, it didn't. No, it didn't.
Marc Killian:So we'll see how it goes for Drake, but let's get into some baseball here. We'll talk about some Yogi Berra Again, this guy had some classic lines here, so this should be a little fun. And really they're kind of fitting not only to just finance, but just our world seems today. Yogi's been gone for a while now, but these things kind of fit with our society and the crazy world that we're living in. So let's jump in. Whoever wants to take this first one here. Pretty apropos considering what we've been facing the last couple of years, when Yogi said a nickel ain't worth a dime anymore. Boy, that's the truth, isn't it? Right now?
John Teixeira:Yeah, that couldn't be any more true than right now in the kind of time we're in. Inflation over the last few years, really, post COVID has just gotten, ramped it up with the supply chain issues and then the influx of cash going in. It's just a double whammy with what's been happening and as it relates to planning, I've seen a lot of clients happen to really pick and choose what they're spending money on because primarily the cost of food. And I could tell you myself personally, I feel like my food bill has doubled, but not 6 or 7%. I feel like certain things have doubled in the last few years. So inflation is a big thing you got to be aware of when you're doing your finances. And then here in Florida, and Nick can speak to this, and what we've seen is the homeowners insurance is outrageous.
Marc Killian:Oh, I bet. Yeah.
Nick McDevitt:Homeowners and car insurance have really been a huge, basically like a rocket ship. As far as expenses, John mentioned the groceries. One of the things that we do from a planning standpoint is, especially in times like this, I think where some people kind of make a mistake is they start to really mess with the inflation rate that they use in the planning instead of just repricing where their expenses are now versus where they were maybe a couple of years ago. But from the standpoint of between groceries, car insurance, homeowners insurance, we have a huge section of clients that those numbers, those three categories specifically have probably doubled in the last three or four years.
Marc Killian:After the hurricane a couple of years ago, I imagine some of that got worse too, yeah?
Nick McDevitt:Yeah, but we have hurricanes every couple of years.
Marc Killian:That one was just obviously pretty massive.
Nick McDevitt:For sure. And the hurricanes have a big impact on the car insurance. So a lot of people-
Marc Killian:Right. That's what I was thinking. Yeah.
Nick McDevitt:... yeah, don't necessarily think about that per se.
Marc Killian:All the flooding and stuff, yeah.
Nick McDevitt:Yeah. Some of the other laws that are in the state of Florida based around insurance make it on the higher side in general, but companies have really ramped those up.
Marc Killian:Oh, I'm sure. Yeah.
Nick McDevitt:I think Citizens, which is kind of the insurer of last resort, which is state-backed, just I think applied and got approved for, I want to say a 14% increase. So there's a lot of pressure on people right now, especially in Florida.
Marc Killian:For sure. All right, well a nickel ain't worth a dime anymore. Yogi had that one, right? How about this one, guys? I mean, you got to love the simplicity of his lines. If you don't know where you're going, you might wind up someplace else. Yeah, I mean if you don't know where you're going, you could end up someplace completely different.
Nick McDevitt:Yeah. It is funny when reading through some of these how apropos they tend to be and how they line up from an industry standpoint where having a plan, having stated goals that you're working towards, having a clear vision of what it is that you want in retirement, make a really huge impact on your habits and overall the probability of having a successful retirement. So these quotes have really kind of stood the test of time.
Marc Killian:Oh, for sure. Yeah. Johnny, he said the future ain't what it used to be. And again, if you think about the world we're living in right now, how many people of a certain age are like, "Man, that could not be more true." But even from a society standpoint, but also even just in what you guys do, it's not what it used to be when it comes to finance and retirement planning, even just a couple of years ago.
John Teixeira:Things have changed drastically. You look at my parents, they worked for the most part at one place, had a pension, retired, and it was pretty easy for them from a retirement standpoint. They had to really keep their expenses in check. But when they retired, it was Social Security, pension, luckily cost of living adjustments on both of those things to keep up with what we discussed there with inflation, but it was much easier. But what's happened throughout the last, I'd say 10, 15 years, maybe 20 years or so, as the companies have been putting the risk onto their employees to say, "Hey, you know what? We're not going to do the pension anymore, but we'll still give you a benefit. But retirement, your investment is now going to be your responsibility."
"While you're working to make sure you're investing the right amount and picking the right options, and then while you retire, now it's on you to figure out what's the best solution for supplementing your retirement income." So it's definitely ain't what it used to be, which is very important to make sure that when you do retire, it's a different game where it's not accumulation. You have to realize that money needs to last throughout your retirement and you have to put together different strategies to make sure that it does do that, not just like you have a pension that's going to guarantee for life so.
Marc Killian:Yeah, all the changes to the Secure Act, both versions, clearly the onus is more and more things have been put saying, "Hey, this is on us to do what we got to do for our futures here." And they're putting some rules in place to kind of help out a little bit, but at the same time, if you're not reading the tea leaves, you're going to get left behind there. And that's why you got to work with a financial professional to really help you get sound advice so that you can be set for retirement. I should have segued it this way because, Nick, if you don't, it's going to be like deja vu all over again, which is another Yogi-ism, which is classic.
Nick McDevitt:Yeah, it's things changing rapidly. It's interesting because there's always kind of the perspective of zoom out. We talk about that a decent amount where from a smaller sample size or even if we look at things from a micro standpoint, yes, the way that the tools in investing change rapidly or have changed quite a bit in the last few years, how AI is coming along and what the impact of that's going to be and those sorts of things.
But when you zoom out, these things are cyclical. So even though the technology may be very new and the way that maybe things react are different than they were before, there's been other times in history where the technology at that point has been new and the way that things react are different. And there's a lot of different quotes out there about how history is really kind of the greatest teacher. And when you zoom out, so many of these things have happened before. The subplots are different, but so many of these different things have happened before. And it kind of goes back to having a good plan, having the ability to adapt to what's going on, kind of not painting yourself in the corner because really the only certainty that we have is change. So it's pretty wild.
Marc Killian:That's a good point. And John, I think for this kind quote was like deja vu all over again. Most people kind of feel that way about the market. It's like, "Oh man, here I go again." Especially if you got burned at any time for any amount, it's like even a little dip here or there. And it gets you a little panic, especially if you are over 50 because you start thinking, "I can't afford to get rocked again." Even though... And the weird thing about the current time that we're in is news is always changing and always causing issues, but sometimes this market kind of just kind of rebounds and you think what's going to be the next thing that does it? And soon as you think it's going to happen, it doesn't happen. So it's very hard to read right now.
John Teixeira:Yeah. Yeah. It is definitely hard to read because people... Just looking at clients, it's, "It is now the right time to put money that's been on the sideline to get back in?" And it's always hard to determine when that is and try to time things. It comes back to the kind of fundamentals of staying the course and not really panicking depending on what's going on. Because like Nick said, there's always going to be something happening. Things may change a little bit, but there's always going to be something happening in the world. So you stay the course, stick to the plan, and you find those people do much better than the ones that kind of jump around based just looking at behavior.
Marc Killian:Okay. Well let's wrap it up here with a final Yogi-ism, for us sports fans of any kind for your team if they're not doing well, it works appropriate for that, because it ain't over till it's over. And that's pretty classic line for any kind of sports mantra. You still got a chance maybe to come back in. I mean, just look at what's going on right now as you guys are in Florida with the Stanley Cup, right? So we're taping this episode here before the final game seven's going to happen, and who would've thought that being up 3-0, Florida would mess up and allow Edmonton to get back in it and tie it up and go to a game seven? So it's not over until it's over, depending on what your viewpoint is, and I guess you could say the same thing from a financial standpoint. If you've made some mistakes, it doesn't mean it's completely over. Get a strategy, start working on it.
Nick McDevitt:We've had kind of conversations recently with people where there's been a good run. COVID was an up and down year, but outside of the market drop in last year, which a lot of people have almost forgot about, things have been good, really post recession, Great Recession. So we're talking 10 plus years at this point, and some people have kind of taken a step back and some of these changes that are happening with the inflation that we talked about and maybe a little bit more volatility, we're in an election year, all these sorts of things. It's important to make sure that you keep updating, try to stay on top of things, don't necessarily just kind of check out. So I think it's important to stay engaged and involved.
John Teixeira:Going through the ups and the downs of planning, talking about the Stanley Cup here, you want to make sure also when you're building a plan, you want to stress test things to understand when things do really get tough, what is your plan going to look like? So we just did this with a few of our clients where we test market downturns. Things have been good for a while. What happens in your plan if all of a sudden we have two years of negative 15, negative 20%? How does your plan look? If it doesn't look good, what are we going to do to adjust it? You can stress test it with taxes, inflation. Just making sure that whatever happens, whatever scenario you run in, you're flexible to adapt to it. And if you currently can adapt, making sure we understand how do we make you adapt.
Nick McDevitt:And even just to kind of add to that, and this ties in with some of the things that we had already talked about. A little perspective is always good from the standpoint of three years ago, four years ago, whenever we were a couple of months into the pandemic, in reality this was an event that most of the people alive had never been through before. Everything changed and then there's still obviously fallout from it, but we got through it. And when you think about it from a planning perspective and markets and all that sort of thing, sometimes taking perspective of what you've actually been through, what you've seen, and the fact that we were able to move through it is really important.
Marc Killian:Yeah, for sure. I mean, when it first started, the market first started dropping, that initial bit there, people were having the reaction that we're going to see it drop 50% like it did in 2008 or '09. It wound up maybe being 30 or so percent. But then it also rebounded within just a couple of months, so a lot faster than people thought. So it is not over till it's over. So these are some good Yogi-isms, and it all kind of works really well with financial planning and strategizing. So if you need some help with that, make sure that you're reaching out to John and Nick. If you're already working with them, that's fantastic.
Make sure you subscribe to the podcast. If you're not, maybe share the podcast with others who might benefit from checking out the message and the conversation. And you can find them online at pfgprivatewealth.com. That's pfgprivatewealth.com. And you can subscribe to Retirement Planning Redefined on Apple or Spotify or whatever platform you like using. Just type in Retirement Planning Redefined or again, visit them on their website for all the tools, tips and resources at pfgprivatewealth.com. Guys, thanks for hanging out. And John, good luck with the new puppy you got.
John Teixeira:Thanks, appreciate it.
Marc Killian:Appreciate it. Nick, hope you're feeling better, my friend. We'll see you next time.
Nick McDevitt:Thank you.
 

Retirement Questions The Baby Boomer Generation Is Asking

Each generation is currently navigating a unique part of the retirement planning experience. With many baby boomers preparing for the transition into retirement, we're going to focus on some of the top questions this age group is asking in today's episode. Stay tuned to see what you can learn from John and Nick this week on Retirement Planning Redefined!
 
Helpful Information:
PFG Website: https://www.pfgprivatewealth.com/
Contact: 813-286-7776
Email: info@pfgprivatewealth.com
 
Disclaimer: PFG Private Wealth Management, LLC is an SEC Registered Investment Advisor. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. The topics and information discussed during this podcast are not intended to provide tax or legal advice. Investments involve risk, and unless otherwise stated, are not guaranteed. Be sure to first consult with a qualified financial advisor and/or tax professional before implementing any strategy discussed on this podcast. Past performance is not indicative of future performance. Insurance products and services are offered and sold through individually licensed and appointed insurance agents.
 
Marc:
Every generation is currently navigating a unique part of retirement planning experience. No matter what generation you're in, there's going to be different questions that you might want to tackle. So on this week's episode, we're going to talk about that from the baby boomer standpoint, here on Retirement Planning Redefined.
 
Welcome to another edition of the podcast, folks. Retirement questions that every generation should be asking themselves is the docket this week, and we're going to touch on the baby boomers. We may come back around to some of the other generations right now, but I think for most of our listening demographic, the boomers are certainly going to be ones that want to pay attention. It's interesting, guys, the boomer term has become polarized. It used to be one thing to say just baby boomers or whatever, but now they get a little offended, I think, with the whole boomer thing. It hasn't gone very well on social media the last couple of years, but either way, we're going to talk about that demographic from 1946 to 1964.
 
It's so funny with these age things, they keep changing it. I was looking at the one for generation X, which is what I am, and now they're saying late '70s when it used to be like '83 or something. So I think they just changed these numbers based on what they want to have happen for conversation pieces. But anyway, we're going to get into that with John and Nick this week. What's going on, John? How you doing, buddy?
 
John:
Doing all right. Actually getting ready for, Nick and I are bringing some Easter baskets to the local children's hospital here. We're going to be handing them out this coming up Friday.
 
Marc:
Oh, very cool.
 
John:
We're excited for that.
 
Marc:
Yeah, very cool. That's nice, you guys are always doing some cool charity things going from around the area, so very, very cool. What's happening, Nick? How are you doing, buddy?
 
Nick:
Good. Staying busy, along the lines of what John was talking about, the group that we're involved in, we're working on a big derby party here in St. Pete, so big event. So that's fun to works the other side of the brain, and then we're just staying busy with... We've got one thing that's been interesting, John and I were talking about it earlier, this area is growing pretty rapidly, and it feels like we've had more clients than ever that are looking to move out of the area and slow down a little bit. So, it's starting to become a little bit of a trend recently, so.
 
Marc:
To move away from Tampa?
 
Nick:
Yeah, yeah. Move away from Tampa or further out to more of the outskirts of the area, but we've had some clients recently like Panhandle, Georgia, North Carolina. The growth here has just been pretty overwhelming.
 
Marc:
Monstrous, yeah.
 
Nick:
Yeah, and-
 
Marc:
There's a lot of states that are that way, right? I mean, there's a number of states where I think people, everyone's flocking from places like New York and California, and it's just like, okay, stop. We can't handle it.
 
Nick:
Yeah, it's interesting because this area, the east coast of Florida has always been like the Atlantic coast south, and then the west coast of Florida where we are has always been a little bit more low-key. Still a decent size, but a little bit more low-key, and it has that feeling like developers and everybody is trying to make it more similar to the East Coast. I think that's kind of pushing some people out, but even because obviously Texas has been a place that's been a popular area for people to move to for some of the similar reasons, whether it's taxes or just how the government runs or whatever their reasoning is. But one of the biggest differences, just reading about Austin, which is I would say Austin's most similar to this area in certain ways from a size perspective and all that, but they've had a huge drop, cost-wise in housing because they've been able to maintain supply. Whereas the housing here is just completely insane at this point, especially in St. Pete.
 
Marc:
I was going to say, across the country, it seems like it's really inventory's low. So, just a lot of people that just aren't selling, well, because the prices of houses through the roof, so you're not selling the one you're in because you know that when you buy another one, it's going to cost you just as much or more. So, it's interesting.
 
Nick:
For sure, that's definitely had an impact. This area specifically because of the influx, there's also been some interesting articles about how much corporate owned, single-family housing there's been. But I mean, you're talking 11, 1,200 square foot houses in St. Pete for 800 and up, [inaudible 00:04:23] how things shift.
 
Marc:
It was on my list, a roundabout way to talk about some different questions that every generation should ask themselves. So housing certainly can apply to any generation. I mean, even folks in our baby boomer conversation today could have been thinking about downsizing or whatever the case is in retirement and that certainly could play into that question. So that's one we tackled without really even setting it up to tackle it. So we'll just jump in and talk about a few more of these things.
 
But again, with everything being so wild right now, it seems like from a financial standpoint all across the spectrum, whether it's inflation, housing costs, food costs, whatever the case is, how do you manage all that? So risks, whatever risks guys, is going to be top of mind, especially if you're a senior. My mom is 82 going on 83, and she's constantly worried about the various different kinds of risks that may affect her at that age. Market volatility, social security, whatever it might be. So let's just start with the market volatility. Whoever wants to take that one.
 
Nick:
Yeah, so from a market volatility standpoint, it's very interesting from the perspective of how things seem to work these days from a market perspective. I don't have the exact numbers, but I know last year, essentially needed to... The majority of the growth in the market, although we had a great year, the majority happened within a seven to 10 day market window. So your chances of if you're not just holding and studying the market, your chances of really getting the returns that you're looking for are very difficult. So volatility, the swings up are substantial and the swings down can be. I think a lot of that has to go, can be attributed to the algorithm based trading and high frequency trading and things like that have an impact on that.
 
Marc:
And if you're a senior, none of that interests you, right? So I mean, that's [inaudible 00:06:18].
 
Nick:
No. No. Yeah, absolutely not. But for a lot of people in that generation, they're used to the returns being more steady throughout a single year or the perception from that perspective at least versus like, hey, if you miss a month and it was a good month, then your returns could be next to nothing. So it's pretty interesting.
 
Marc:
Yeah, managing that risk, for sure.
 
Nick:
Yeah, it goes back to that classic perspective of the asset allocation continues to be as important as ever.
 
Marc:
Yeah, for sure. John, if you think he just mentioned steady income. So if you're a senior, best approach for transitioning from a steady income like your job, for example, to retirement withdrawals, that's usually a massive hurdle for anybody going into retirement but obviously right now, these are the boomers. I just read actually today that we're taping this guys, I think four million people were going to be retiring this week, four million this week.
 
John:
It's a good number.
 
Marc:
Crazy, right? So, how do you deal with that scared-ness of, okay, I had a paycheck last week and now I don't, I got to use my retirement money and turn that into paychecks. That's a big hurdle for people.
 
John:
It's a huge hurdle for people. This is one of the biggest things we see when we're doing retirement planning for clients that are transitioning. It's, I used to work and get my paycheck every biweekly, whatever it is, and now it's gone. There's a fear of spending their money they've been saving all these years. I'll tell you, the best thing to do in our opinion, is to develop a financial plan and a strategy for retirement income. So you really have to put the pen to the paper and determine, okay, what are my expenses? How much do I need? That's going to be the first step. Then after that, it's looking at, hey, what are my income sources? We talked about social security last week, we'll touch on it a little bit more here, but hey, how much is social security going cover? Okay, what other sources do I have? Really evaluating where's the money going to come from? Once most people see it, it provides peace of mind and a little bit of, okay, this is what I'm doing. You got to have the blueprint. Once the blueprint's there, you feel much better about what your approach is.
 
Marc:
Well, we all want to know we got mailbox money coming. We all want to know that when we go out, and I know most of us don't go to the mailbox anymore to get it right, but it's the same idea that when you go open the mailbox, the check is there. That's what you need to know. That's that comfort factor that you need to know. So that's turning these accounts that you've been building up through your working years into this retirement income. So certainly, that is an importantly huge question for baby boomers to ask themselves.
 
We're talking about wealth and building wealth and working through the years. Nick, I'll throw this one at you. I'm going to hop around here a little bit, but passing on wealth to the next generation without sacrificing your own retirement, is also another huge question that boomers are asking themselves because they want to know that they are going to be fine, but a lot of times they want to leave something behind. I just was looking this up real fast. Experts are putting that number between 40 and $100 trillion right now that they're estimating in the great wealth transfer conversation, which is what boomers will be leaving to their kids and grandkids over the next 20 years. $100 trillion. Man, that's crazy money.
 
Nick:
Yeah, it's pretty wild. What's interesting is I think the baby boomer generation has done a good job of accumulating assets and saving.
 
Marc:
Oh yeah, great job.
 
Nick:
There's also, I would say, versus maybe their parents' generation, they spend a little bit more. It's interesting, a lot of the people, I wouldn't even call it half-and-half, maybe around 30, 35% or 40%, leaving money for them is incidental, where their focus is primarily on themselves. A lot of times these are people that have done a good... They've helped the kids get through college, kids have good careers, and-
 
Marc:
Right, we've saved it, it's ours, let's party, right?
 
Nick:
Yep, so they want to travel. Obviously travel is the most popular thing that people tend to want to do. So having that conversation changes things. For those that are highly focused on leaving the money, and what's interesting is where I've seen it happen a little bit more is because people like to, in their mind, it makes it easier for them to segregate money. So we've had a few recently where their retirement plan looks good, their thought process with the money that they have saved and accumulated and leaving it to their kids is incidental like, hey, if there's money there, great, if not, we want to take care of ourselves first. But, they've also inherited money maybe from their parents or a brother or sister, and they say, all right, well this is going to be the money. I consider this found money, and so this will be money that I'll try to leave and pass down. So it's been interesting seeing that thought process.
 
But with the way that current estate tax exemptions are from a tax perspective and avoiding estate taxes, that sort of thing, for most people, that's not an issue. But for those that are, maybe they've got kids that are high-income and they would like to leave them money that has less of an impact from a tax perspective, depending upon their situation, we might look into life insurance options or even converting to Roth options to help them pass on money and not have a major negative impact to their overall plan.
 
Marc:
Yeah, because you want to figure out how to... If you do have it in your mindset to transfer some wealth upon passing, and I think probably the healthy approach that a lot of people take is, we're going to do what we want to do, we're going to be fine, and whatever's left at the end, fine, transfer that over to the kids or grandkids. You want to make sure that you're doing that as efficiently as possible. So some strategizing there is certainly going to go into play.
 
John, I'll throw this back to you, whether it's leaving money behind or even how you set up your social security, because you talked about it a minute ago and readdressing social security. Maximizing social security could impact what you do have left over at the end to leave behind because that's not something you can pass on. So it's a matter of figuring out how you want to structure these things to maximize your benefits and get everything out of it that you can while you're still here.
 
John:
Yeah, yeah, if you're able to maximize your social security and figure out what's best for you, what that ultimately does is you're dipping into your own investments a little bit less because you have that strong social security income stream. So if there's more investments left over, your beneficiaries, whoever your beneficiaries are, will have a bigger balance coming to them. So definitely, we talked about it before, we always stress on it. You don't want to take social security decision lightly. You want to make sure that you're strategizing for your situation on how to maximize those benefits.
 
I believe it was last week that we talked about the cost of living adjustment in social security. So if you delayed yours, people have been getting 6% or 7% increases, and if you were taking yours later, you get a bigger balance. Those 6% or 7% over the past few years have really added up. So, very important to make sure that you take what's best for you in social security and not just take it lightly. I hate to say this, but you don't want to listen to your neighbor on what they did because you'll be surprised how many times we're meeting with people, it's like, my neighbor's doing this, and it's just like, huh, okay, well-
 
Marc:
That's your neighbor, right.
 
John:
What does your neighbor do? Well, they're in tech. It's like, okay, well.
 
Marc:
It's a little bit different, yeah. Well, thinking about that social security conversation, so getting a maximization ran, going through the planning process, going through a strategy session with you guys, and having it stress tested and having that maximization ran will help you see that because that's a great point. Are you riding the horse that brought you, which is your retirement, or the government one? I know technically it's our money, the social security, the government, but it's like figuring out the best balance between those two when you're going to start pulling things from whatever account. So, good stuff right there to think about when you're talking about for generations. Go ahead.
 
John:
One thing Mark, with that. With social security maximization, a lot of people don't realize is there are these calculators that you can look at and say, hey, you put in your numbers, you put in a spouse's number, and it will shoot out, hey, this is the strategy, but it doesn't take into account other factors, as far as, do you have a pension? Things like that. How you want to figure out what's the best strategy is when you look at your social security and how it affects all your other assets and income streams, then you can figure out what the best approach is because when you just look at social security in a vacuum, there's other factors in there that really make a big difference on what the best strategy is. A lot of people will just go online, hey, what's the strategy, maximization strategy, but it doesn't give the overall picture.
 
Marc:
A great point, really good point right there. So let's wrap it up with one final piece here to think about, Nick. Of course, we could go forever on this topic, but we'll just... Some couple of concise points to think about when you're talking about addressing healthcare costs in retirement. Obviously for boomers, this is a huge concern, really for anybody, if you're alive and human right now on the planet. Healthcare is obviously growing out of control, but certainly a big concern when you're elderly.
 
Nick:
Yeah, I think, and this is almost a tiered approach. So the first thing or aspect that needs to be addressed is if you plan to retire before you're eligible for Medicare. So having a plan in place and understanding what those costs could look like. So for the majority of people, if they want to retire before age 65 and they need to get healthcare coverage outside of their former employer, then we tell them to typically budget between $800 and $1,000 a month per person. For most people, that's going to be a huge increase in costs. They might be able to float it and they also might be able to reduce that cost substantially if they have money saved that are non-retirement funds. So non-qualified accounts where we can keep their income on paper down and they might be able to qualify for a subsidy. So that's phase one.
 
Then phase two is, once you are eligible for Medicare at age 65, making sure that we're budgeting somewhere between 4,000 and $5,000 a year and having them talk to a person, and we've got a couple of resources that we're very happy with and we refer people to, because depending upon their overall situation. Again, if they, especially people that are coming from working for a large company that maybe had really good benefits and they're used to paying maybe a couple hundred bucks a month for coverage for themselves, that may actually be an expense that goes up.
 
Then the phase leading into those two things are, are you eligible for a health savings account at work? Are you putting money in? Then that money that is getting put in maybe something that we could use to help mitigate some of these costs and be efficient from a tax perspective. Then also help you cover maybe potential large, actual purely out-of-pocket medical expenses that start to approach and happen down the road when you get to your 70s, 80s, etc, where these things pop up. People live longer, whether it's some sort of acute care or if it's some sort of need for long-term care, which is expensive, but-
 
Marc:
Yeah, crazy 
 
Nick:
Really, the key to that is the overall plan, making sure that we test those numbers out in the plan and that we've got a strategy to approach it.
 
Marc:
Yeah, because if you don't take a strategy into account with that, if you're married and you're a senior and you're like, hey, we're going to just take care of each other because it's just going to be cheaper, it's a wonderful sweet and noble sentiment that has no basis in reality because it's just not smart. It's such a taxing physical thing, a mental thing, to take care of one another without having some sort of help in there. So you've got to plan and strategize for it, whether or not it is daunting to do, yes, but if you don't start having those conversations, it's only going to get worse.
 
I mean, my wife jokes with me all the time. I mean, I'm 52, and she's like, I can't pick you up now, I can't imagine trying to pick you up when you're 72. She's 70, it's just not going to work. So you've got to have a good strategy for healthcare to address the rising cost because it is going to continue to do so. Again, these are some questions for boomers to really think about and ask themselves.
 
If you need some help, if you need to sit down and start that planning session, that strategy conversation because you've been putting it off or you've addressed a few things, not all the things, whatever it looks like, reach out to John and Nick and get yourself onto the calendar at pfgprivatewealth.com. That's pfgprivatewealth.com for a consultation and a strategy session of your own. Don't forget to subscribe to the podcast, Retirement Planning Redefined on Apple, Spotify, Google, YouTube platforms, whatever, you can find us on all those major platforms. Just type into the search box, Retirement Planning Redefined, or again, go to pfgprivatewealth.com. That's going to do it for us this week for John and Nick, I'm your host, Mark. We'll catch you next time here on the podcast.
 
 

Don't Make These Income Planning Mistakes

Are you planning for your retirement with the confidence that you're making all the right moves? In today's episode, we'll unveil the crucial income planning mistakes that could jeopardize your retirement and show you how to craft a financial plan that's built to last decades, not just years. Tune in to ensure your retirement strategy is foolproof against common pitfalls and ready to secure your financial future.
 
Helpful Information:
PFG Website: https://www.pfgprivatewealth.com/
Contact: 813-286-7776
Email: info@pfgprivatewealth.com
Disclaimer:
PFG Private Wealth Management, LLC is a registered investment adviser. All statements and opinions expressed are based upon information considered reliable although it should not be relied upon as such. Any statements or opinions are subject to change without notice. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investment involve risk and, unless otherwise stated, are not guaranteed. Information expressed does not take into account your specific situation or objectives and is not intended as recommendations appropriate for any individual. Listeners are encouraged to seek advice from a qualified tax, legal, or investment adviser to determine whether any information presented may be suitable for their specific situation. Past performance is not indicative of future performance.
Transcript of Today's Show:
For a full transcript of today's show, visit the blog related to this episode at https://www.pfgprivatewealth.com/podcast/

Money Mistakes You'll Regret and How to Avoid Them

“Learn from the mistakes of others. You can’t live long enough to make them all yourself.” – Eleanor Roosevelt… Ever wish you could foresee financial missteps before they happen? On today’s episode explore some real-life stories of regret and arm yourself with the essential dos and don'ts to ensure your money works for you, not against you.
 
Helpful Information:
PFG Website: https://www.pfgprivatewealth.com/
Contact: 813-286-7776
Email: info@pfgprivatewealth.com
Disclaimer:
PFG Private Wealth Management, LLC is a registered investment adviser. All statements and opinions expressed are based upon information considered reliable although it should not be relied upon as such. Any statements or opinions are subject to change without notice. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investment involve risk and, unless otherwise stated, are not guaranteed. Information expressed does not take into account your specific situation or objectives and is not intended as recommendations appropriate for any individual. Listeners are encouraged to seek advice from a qualified tax, legal, or investment adviser to determine whether any information presented may be suitable for their specific situation. Past performance is not indicative of future performance.
Transcript of Today's Show:
For a full transcript of today's show, visit the blog related to this episode at https://www.pfgprivatewealth.com/podcast/

Retirement Planning’s “Hidden” Questions

The retirement planning world is filled with plenty of advice and suggestions, but there are critical questions lurking in the shadows – the unasked, the overlooked. These are the questions that can help define the comfort and security of your retirement future. On this episode, we unearth and tackle these hidden, but essential questions about retirement.
 
Helpful Information:
PFG Website: https://www.pfgprivatewealth.com/
Contact: 813-286-7776
Email: info@pfgprivatewealth.com
Disclaimer:
PFG Private Wealth Management, LLC is a registered investment adviser. All statements and opinions expressed are based upon information considered reliable although it should not be relied upon as such. Any statements or opinions are subject to change without notice. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investment involve risk and, unless otherwise stated, are not guaranteed. Information expressed does not take into account your specific situation or objectives and is not intended as recommendations appropriate for any individual. Listeners are encouraged to seek advice from a qualified tax, legal, or investment adviser to determine whether any information presented may be suitable for their specific situation. Past performance is not indicative of future performance.
Transcript of Today's Show:
For a full transcript of today's show, visit the blog related to this episode at https://www.pfgprivatewealth.com/podcast/

Till Debt Do Us Part: Resolving Financial Sources of Tension Between Couples

Money can't buy love, but it can certainly start some spicy debates between you and your better half. In this episode, we're digging into the financial face-offs that make Monopoly fights look like child's play and exploring some money minefields that can test even the most solid relationships. Listen in as we explore how to resolve some of the most common financial sources of tension between couples.
 
Helpful Information:
PFG Website: https://www.pfgprivatewealth.com/
Contact: 813-286-7776
Email: info@pfgprivatewealth.com
Disclaimer:
PFG Private Wealth Management, LLC is a registered investment adviser. All statements and opinions expressed are based upon information considered reliable although it should not be relied upon as such. Any statements or opinions are subject to change without notice. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investment involve risk and, unless otherwise stated, are not guaranteed. Information expressed does not take into account your specific situation or objectives and is not intended as recommendations appropriate for any individual. Listeners are encouraged to seek advice from a qualified tax, legal, or investment adviser to determine whether any information presented may be suitable for their specific situation. Past performance is not indicative of future performance.
Transcript of Today's Show:
For a full transcript of today's show, visit the blog related to this episode at https://www.pfgprivatewealth.com/podcast/

Mastering Retirement Cash Flow: Understanding Income

Get ready for part two of our Retirement Cash Flow series! This time, we're diving into the income side of the equation. In our first two episodes, we tackled the ins and outs of your expenses in retirement. Now, it's all about understanding the crucial role of income analysis. We'll uncover the secrets of guaranteed income versus the uncertain stuff and shed light on the consequences of retiring without a clear income plan. Don't worry if you're feeling lost - we've got your back with practical solutions and expert guidance. Tune in and take charge of your retirement cash flow!
 
Helpful Information:
PFG Website: https://www.pfgprivatewealth.com/
Contact: 813-286-7776
Email: info@pfgprivatewealth.com
Disclaimer:
PFG Private Wealth Management, LLC is a registered investment adviser. All statements and opinions expressed are based upon information considered reliable although it should not be relied upon as such. Any statements or opinions are subject to change without notice. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investment involve risk and, unless otherwise stated, are not guaranteed. Information expressed does not take into account your specific situation or objectives and is not intended as recommendations appropriate for any individual. Listeners are encouraged to seek advice from a qualified tax, legal, or investment adviser to determine whether any information presented may be suitable for their specific situation. Past performance is not indicative of future performance.
Transcript of Today's Show:
For a full transcript of today's show, visit the blog related to this episode at https://www.pfgprivatewealth.com/podcast/

Mastering Retirement Cash Flow (Part 2): Understanding Changing Expenses

On this episode, we will continue our conversation on what expenses may change when you enter into retirement.
Helpful Information:
PFG Website: https://www.pfgprivatewealth.com/
Contact: 813-286-7776
Email: info@pfgprivatewealth.com
Disclaimer:
PFG Private Wealth Management, LLC is a registered investment adviser. All statements and opinions expressed are based upon information considered reliable although it should not be relied upon as such. Any statements or opinions are subject to change without notice. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investment involve risk and, unless otherwise stated, are not guaranteed. Information expressed does not take into account your specific situation or objectives and is not intended as recommendations appropriate for any individual. Listeners are encouraged to seek advice from a qualified tax, legal, or investment adviser to determine whether any information presented may be suitable for their specific situation. Past performance is not indicative of future performance.
Transcript of Today's Show:
For a full transcript of today's show, visit the blog related to this episode at https://www.pfgprivatewealth.com/podcast/

Mastering Retirement Cash Flow (Part 1): Understanding Changing Expenses

In this episode, we’ll explore many of the expenses in your life that might drastically change (one way or another) in retirement. We’ll break those expenses down further to see which ones are the top priorities and analyze some of the other factors that impact your cash flow in retirement.
Helpful Information:
PFG Website: https://www.pfgprivatewealth.com/
Contact: 813-286-7776
Email: info@pfgprivatewealth.com
Disclaimer:
PFG Private Wealth Management, LLC is a registered investment adviser. All statements and opinions expressed are based upon information considered reliable although it should not be relied upon as such. Any statements or opinions are subject to change without notice. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investment involve risk and, unless otherwise stated, are not guaranteed. Information expressed does not take into account your specific situation or objectives and is not intended as recommendations appropriate for any individual. Listeners are encouraged to seek advice from a qualified tax, legal, or investment adviser to determine whether any information presented may be suitable for their specific situation. Past performance is not indicative of future performance.
Transcript of Today's Show:
For a full transcript of today's show, visit the blog related to this episode at https://www.pfgprivatewealth.com/podcast/

Ep 60: Top Social Security Myths, Part 2

This is part 2 of our Social Security conversation. We will be debunking the remaining 5 myths on today's show.
Helpful Information:
PFG Website: https://www.pfgprivatewealth.com/
Contact: 813-286-7776
Email: info@pfgprivatewealth.com
Disclaimer:
PFG Private Wealth Management, LLC is a registered investment adviser. All statements and opinions expressed are based upon information considered reliable although it should not be relied upon as such. Any statements or opinions are subject to change without notice. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investment involve risk and, unless otherwise stated, are not guaranteed. Information expressed does not take into account your specific situation or objectives and is not intended as recommendations appropriate for any individual. Listeners are encouraged to seek advice from a qualified tax, legal, or investment adviser to determine whether any information presented may be suitable for their specific situation. Past performance is not indicative of future performance.
Transcript of Today's Show:
For a full transcript of today's show, visit the blog related to this episode at https://www.pfgprivatewealth.com/podcast/