In this episode of The Financially Mindful Podcast, Eric Lazzari of Baystate Fiduciary Advisors joins Dan and Jim to cover the often overlooked ins and outs of what might be your largest asset: your 401(k). Eric shares what employees need to know about enrollment, savings rates, allocations, target date funds, 401(k) loans, and more. If you have your 401(k) on “set and forget” mode, this episode of The Financially Mindful Podcast might have you reconsider!

Daniel James

Dan is Founder and CEO of CanopyLife, a platform committed to building families’ financial resilience to deal with major life events. Dan founded CanopyLife after experiencing the financial and emotional cost of losing his dad to cancer, and wanting to help families avoid the same pitfalls. A Kellogg School of Management grad, Dan previously led new product development at Capital One and has nearly a decade of experience working in product development at startups focused on consumer, fintech and insurtech. In a prior life, Dan was a consultant at BCG and worked in Equities for Goldman Sachs and ABNAMRO.

James V. Grace

Jim Grace is the Director of Wealth Management at Silver Pine Capital in Medfield, Massachusetts. ​Jim has more than a decade of experience in the financial services industry, leading Silver Pine’s financial planning and broader wealth management service offering. He has worked for MetLife and has managed for First Niagara (LPL Financial) and United Northeast Financial Advisors (Infinex Investments). He is father to two children.

About our Guest:

Eric Lazzari is Accredited Investment Fiduciary at Baystate Fiduciary Advisors, where he assists plan sponsors in the implementation of fiduciary best practices in 401(k) and 403(b) plans. With over 20 years in the business, Eric works with businesses to make sure they have the right types of plans in place and to help employees enroll and make investment decisions.

Insight from this episode:

  • Best practices of 401(k) investing at any age or risk tolerance.
  • Strategies on setting up an initial allocation strategy, including details to help you understand target date retirement funds.
  • Tips if you are thinking of actively managing your 401(k) and how to know if this is the right path for you.
  • How to advocate for yourself to get the best 401(k) plan options from your employer.
  • The Dos and Don'ts of taking out a loan from your 401(k).

Quotes from the show:

  • “Where am I on my path, my journey, to becoming financially secure, and am I taking full advantage of this plan that’s available to me and saving enough to get me to where I want to go?” –Eric Lazzari The Financially Mindful Podcast Ep. #4 (6:00)

  • “3% is not enough for anyone to retire. We want participants to save for 10% for at least 25 years, and you’re going to be in good shape.” –Eric Lazzari The Financially Mindful Podcast Ep. #4 (7:57)

  • “Am I on track to where the rule of thumb says I’m supposed to be? If I’m not, you need to start doing more. You need to save more. You can be a little more aggressive. You can change your target date from the year you turn 65 to the year you turn 70.. There’s certain steps you can take to get back on track but not get discouraged.” –Eric Lazzari The Financially Mindful Podcast Ep. #4 (10:00)

  • “20 years ago, we didn’t realize we needed to save this much in our 401(k) plans, so people are behind the 8 ball if you’re in your 40s, 50s, 60s.” –Eric Lazzari The Financially Mindful Podcast Ep. #4 (10:25)

  • “The more you can get involved in something, the better… You don’t have to take what you have and just deal with it. They can become advocates for themselves as well.” –Eric Lazzari The Financially Mindful Podcast Ep. #4 (29:24)

  • On 401(k) loans: “If they put the terms and conditions into it like they do a retail loan, you’d probably not agree to it.” –Eric Lazzari The Financially Mindful Podcast Ep. #4 (35:26)

  • “When it comes to finances, people say I’ll do it myself… It’s one of the few areas that people skimp and save, and yet there’s a reason there are people who are experts in this space, there’s a reason why it’s actually sometimes worth paying a little bit more to get access to that expertise.” –Dan James The Financially Mindful Podcast Ep. #4 (38:00)

  • “Open the statement. Take a look. Ask the questions, how am I invested? How much am I saving? It is our responsibility now to save for and plan for retirement, and this is the vehicle that all of us have to do so.” –Jim Grace The Financially Mindful Podcast Ep. #4 (39:03)

Stay Connected:

Daniel James

LinkedIn: Daniel James

Website: CanopyLife

James V. Grace

LinkedIn: James Grace

Website: Silver Pine Capital

Eric Lazzari

Website: https://www.bfa401k.com/team/eric-lazzari

Phone: (866) 411-401k

Email: elazzari@bfa401k.com

LinkedIn: Eric Lazzari

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This episode was produced and managed by Podcast Laundry (www.podcastlaundry.com)

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