My Smart Retirement

View Details

Are you ready to secure your financial future? Join Sean as he dives into the essential elements of a successful retirement plan. In this episode, Sean will guide you through maximizing your Social Security benefits, developing a strategic investment plan, and reducing tax liabilities. He also covers how to protect yourself against rising healthcare costs and ensure your legacy is preserved and your assets are passed on tax-efficiently. Sean emphasizes the importance of not only creating but also highly monitoring your plan, ensuring it adapts to your evolving needs over time. Whether you're nearing retirement or just starting to plan, Sean’s expert insights will help you navigate every aspect of retirement planning with confidence. Tune in to create a retirement plan that supports your dreams and secures your future!

View Details

In this episode, Sean breaks down the key questions you should ask when seeking advice from a Financial Advisor. With so many potential questions out there, it can be overwhelming to know which ones matter most. Sean cuts through the noise, sharing the questions he believes are essential to ask—and why. He also offers insight into the questions he thinks aren’t worth your time, giving you a clearer sense of what to prioritize when it comes to your financial future. Whether you're just starting to build wealth or looking to refine your financial strategy, this episode will guide you in asking the right questions to get the most out of your financial advisor.

View Details

In this episode we are giving helpful tips to discuss with your children and grandchildren. Help them understand the importance of compounding interest at a tax free growth. We Also discuss the importance of protecting the family at a low cost with term life insurance.

View Details

In this episode, Sean dives deep into the crucial decision of when to start taking Social Security benefits. Should you claim at 62 or wait until 67? Sean breaks down the long-term dollar differences and explores how delaying your claim could impact your financial strategy. He also discusses the challenge of finding supplemental income if you choose to wait—and how long it may take to make up for the benefits you delayed. With many of the old strategies for maximizing Social Security no longer available, Sean shares new approaches to make the most of your benefits. Since the decision is highly nuanced, Sean emphasizes the importance of working with a professional to craft a personalized plan that puts you in the best financial position.

View Details

In this episode, we take a deep dive into the world of annuities and uncover the truth behind the flashy promises often made by radio hosts, TV personalities, and seminar speakers. While many people are lured by gimmicks and bold claims, the reality is that what most individuals truly want is financial protection and reliable income. For those seeking both growth and security, annuities can be a great option—but it’s essential to understand how they actually work. We break down the importance of indexes, participation rates, and how advisors track these investments to ensure you're not falling for exaggerated claims. Many offers come with impressive-sounding participation rates, but the underlying data often tells a different story. We share how to evaluate these offers with a professional’s eye and explain why it's crucial to know the full details before making any decisions.

Additionally, we discuss how the financial stability of the company offering the annuity matters and why we only work with those we trust to keep their promises. If you're seeing an "amazing" offer in an ad, email, or seminar, don’t make a move until you talk to us first. We’re here to help you cut through the noise and make informed decisions that are right for your financial future.

Tune in for insights that can help you navigate the world of annuities and avoid falling for misleading gimmicks!

View Details

Welcome back! After a brief hiatus, we're thrilled to be podcasting again and excited for what 2025 has in store. In this first episode of the year, Sean shares the company's renewed focus on excellence in customer service, outlining the goals and strategies designed to better serve our clients. We’re committed to making a real impact and delivering exceptional service. Tune in as Sean discusses the company's vision for the year ahead and how we plan to raise the bar in financial services.

View Details

In this episode, Nancy shares some of the things she has learned throughout her 30 years of working in the field of retirement planning. As she heads into retirement herself, she reflects on her experiences with clients throughout the years and shares her major tips and takeaways for your retirement journey.

In this farewell episode, Nancy discusses the power of beginning your financial planning journey with the end in mind and envisioning retirement at a young age. She cautions against sacrificing important aspects of life for early retirement and highlights the need for a balanced approach, while still taking your finances seriously. Join us for an enlightening episode, as Nancy shares her thoughts on aligning your spending with your values and the need for effort, planning, and evaluation throughout your planning journey.

Here’s some of what we’ll discuss in this episode:

Beginning your retirement saving journey with the end in mind. (1:05)
Each chapter of life is valuable. (5:19)
The importance of understanding how to use your money. (7:59)
“If you don’t get serious about your money, you’ll never have serious money.” (11:50)
Find the leakage in your finances. (13:11)

Contact The Office 480-632-8770 Schedule A Visit https://bit.ly/3V4xihj For more, visit us online https://www.flemingfinancialservices.com/

View Details

Today, we're diving into a topic that affects everyone, regardless of age or financial status: how age and wisdom impact financial planning. No matter where you are in life, your financial goals and priorities will change over time, and it's important to have a plan that reflects your unique needs. In this episode, we'll explore the ways in which age and wisdom impact financial planning strategies and provide practical tips and insights to help you make informed decisions about your finances.

Join us for a thought-provoking discussion with Nancy as she explores how our financial goals evolve over time and emphasizes the value of integrating personal experiences into financial planning. She’ll discuss the impact of working with a seasoned financial advisor who has extensive experience working with a diverse set of clients and can help navigate whatever changes life throws your way. Tune in as we dive into the significance of maintaining emotional awareness and decision-making mindfulness throughout your financial planning journey and more.

Here’s some of what we’ll discuss in this episode:

Nancy reflects on her latest trip to California. (1:25)
Why does age matter in financial planning? (4:46)
Studies show that as we age, more decisions are made on feelings and intuition. (7:21)
The importance of incorporating life experiences and lessons into financial planning. (10:09)
How the aging process changes people’s perceptions about money. (12:35)

Contact The Office 480-632-8770 Schedule A Visit https://bit.ly/3V4xihj For more, visit us online https://www.flemingfinancialservices.com/

View Details

Are you finding it hard to transition into retirement after living frugally and saving diligently for many years? In today's episode, Nancy shares the story of a couple who struggled with the idea of spending their hard-earned savings on experiences after they retired. In today’s episode, Nancy will introduce the concept of a "memory bank" and explain how it can help retirees shift their mindset around retirement spending.

Join us as we explore the importance of sacrificing in the present so that you can prioritize the things you value in retirement. Nancy will also guide you through the process of finding your values in retirement and show you how the “memory bank” concept can be used as a guide to spending your retirement funds on the experiences that matter most to you.

Here’s some of what we’ll discuss in this episode:

A conversation about frugality and delayed gratification. (3:49)
Having a hard time spending money in retirement after living frugally. (6:31)
Transferring money from your financial bank to your memory bank. (8:17)
How will you make your memory bank full? (12:17)
Deciding what your values are in retirement. (14:53)
The importance of setting money aside for your memory bank. (16:28)

Contact The Office 480-632-8770 Schedule A Visit https://bit.ly/3V4xihj For more, visit us online https://www.flemingfinancialservices.com/

View Details

If you were given an inheritance, would you go ahead and spend it or find the best way to preserve it and make it last over a larger duration? We’ve found that there are two main types of money managers: those who choose to hold onto the money they have and others that are eager to spend it. These same principles apply to decisions about when to start taking Social Security.

Although the government incentivizes people to wait longer before claiming their benefits, many Americans still tap into Social Security as soon as they’re eligible. In fact, a recent study showed that most Americans are claiming Social Security at the wrong time, potentially losing out of tens of thousands of dollars.

So, when should you take Social Security? What are some best practices for doing so? This is a loaded question with many factors to consider. Join us as we discuss this topic and why it’s important to think about your life expectancy, health, and overall income picture before making the decision to take Social Security.

Here’s some of what we’ll discuss in this episode:

Most Americans are claiming their Social Security benefits at the wrong time. (1:39)
Health is a big factor to consider when it comes to taking Social Security. (5:37)
Only 4% of retirees wait until 70 to claim Social Security. (9:39)
What are some best practices for claiming Social Security? (10:39)

Contact The Office 480-632-8770 Schedule A Visit https://bit.ly/3V4xihj For more, visit us online https://www.flemingfinancialservices.com/

View Details

Typically, the things we desire most in life are also the most challenging and demanding, but they ultimately bring us the greatest satisfaction and yield the best outcomes. Just like gardening, well-planned financial plans require time and patience to succeed. In today’s episode, we explore the parallels between gardening and financial planning and the lessons we can learn from them.

While investing all your money into a single account may seem convenient, it is likely not the best approach for long-term success. Join us as we explain why it’s worth spending the time and effort to develop a diverse portfolio. We’ll also discuss the importance of staying vigilant and using the right tools to achieve your financial goals.

Here’s some of what we’ll discuss in this episode:

The importance of diversifying your investment portfolio and the potential risks of relying solely on one type of investment tool for income. (2:13)
Much like gardening, well-planned retirement strategies take time and patience to grow and produce rewards. (4:34)
The “weeds” and “pests” of the financial world to look out for. (6:33)
Using the right tools for your objectives. (10:28)

Contact The Office

480-632-8770

Schedule A Visit

https://bit.ly/3V4xihj

For more, visit us online

https://www.flemingfinancialservices.com/

View Details

Recent surveys have shown that Americans are feeling more financially stressed due to inflation, economic instability, and lack of savings. People are unsure about creating a budget, where to invest their money, and how to save for retirement. Some worry that their savings won't last and that they will have to rely on credit cards and debt. In today’s episode, we’re going to discuss some of these prominent stressors and the importance of taking action with your retirement plan in the midst of uncertainty.

Over the course of this episode, we'll explore a wide range of topics. We'll analyze the latest inflation rates, dissect some subcategories in the CPI report, review recent studies on financial stress in America, and address the concerns about the U.S. potentially losing its reserve currency status to China. Ultimately, Nancy will discuss why it’s more important than ever to pay attention to your financial decisions in today’s economy.

Here’s some of what we’ll discuss in this episode:

What surveys are showing about financial stress in America. (1:45)
Inflation rates slowed down in March. (3:19)
Reviewing some subcategories in the CPI report. (6:03)
The importance of sticking to your retirement plan even with these current pressures. (9:59)
The fear that the U.S. will lose its reserve currency status to China. (12:13)

Contact The Office

480-632-8770

Schedule A Visit

https://bit.ly/3V4xihj

For more, visit us online

https://www.flemingfinancialservices.com/

View Details

Have you ever wondered why you handle money the way you do? It turns out your financial behaviors can be traced back to your formative memories. In this episode, we explore how historic market crashes have left a lasting impact on our relationship with money.

From the Great Depression to the sudden COVID-19 market crash in 2020, we’re taking a journey through time to examine some of America’s most notable financial crises. By contrasting earlier events with more recent downturns, we gain a deeper understanding of how they may have influenced our financial perspectives and decision-making.

Join us for a fascinating exploration of financial psychology, as we reflect on the lessons of history and their relevance to today's economic landscape. Don't miss out on this thought-provoking episode!

Here’s some of what we’ll discuss in this episode:

The lasting impact of the Great Depression. (3:00)
The banking world took the forefront in the late 70s and early 80s because of high-interest rates. (6:12)
How the Dot-Com crash of 2000 changed the way people thought about investing in the stock market. (9:03)
The impact of the sudden COVID-19 market crash in 2020. (11:19)
These historical market crashes have impacted generations differently. (15:19)

Contact The Office 480-632-8770 Schedule A Visit https://bit.ly/3V4xihj For more, visit us online https://www.flemingfinancialservices.com/

View Details

Today we are following up on last week’s episode to talk a little more about taxes. Filing your taxes can feel overwhelming, and when you’re near or in retirement, there are some additional factors to consider. In today’s episode, we will answer some questions we received about filing taxes in retirement and provide you with more helpful tips to maximize your earnings.

We’ll cover a range of topics such as Roth conversion strategies, ways to save money on taxes when working a job on the side, and changing tax brackets. We’ll also take a moment to reflect on happy moments in life and talk about enjoying retirement throughout the financial planning process. Stay tuned for some helpful insight and real-life examples on how to best navigate taxes in retirement.

Here’s some of what you’ll learn in this episode:

Reflecting on happy moments in life and enjoying our time in retirement. (1:53)
Is it a bad idea to do a Roth conversion if I have a high income? (3:38)
Some ways to save money on taxes when earning extra income with a side job. (9:14)
Should I be making estimated payments on taxes every quarter if I change tax brackets? (11:39)
Helping family members navigate finances after the loss of a spouse. (17:51)

Contact The Office 480-632-8770 Schedule A Visit https://bit.ly/3V4xihj For more, visit us online https://www.flemingfinancialservices.com/

View Details

With Tax Day right around the corner, we wanted to record a timely episode to answer your tax questions for 2023. In fact, tax filing season might look a little different this year than it has in years past. In today’s episode, we’re going to cover some common tax pitfalls and how to avoid them.

We’ll dive into some interesting statistics on tax filing in the U.S. and talk about some recent bills and rule changes that you need to be aware of before filing this year. Should you hire a professional accountant to file your taxes? What happens if you push off filing your return? We’ll answer all these questions and more. Join Nancy for this informative episode so you can make the most of filing your taxes this season.

Here’s some of what you’ll learn in this episode:

We might see smaller refunds and jolting capital gains tax this year. (0:57)
Some interesting statistics on tax cheating. (3:38)
The tax change bill in 2018 that made it more difficult to itemize charitable donations. (5:32)
Should you hire a professional accountant to file your taxes? What statistics are showing about filing taxes through software programs. (8:33)
The consequence of putting off filing your return. (12:15)
The new rules for taking money out of inherited IRAs. (18:00)

Contact The Office

480-632-8770

Schedule A Visit

https://bit.ly/3V4xihj

For more, visit us online

https://www.flemingfinancialservices.com/

View Details

Do you ever feel like your retirement planning goals are always moving? You're not alone. We’ve found that people often move the goalposts in their own retirement planning, often to their detriment. In this episode, we're diving deep into the psychology of retirement planning and the dangers of moving the goalposts.

As life throws its ups and downs, it can be tempting to put off investing in our retirement while we deal with immediate needs. It might also be tempting to delay investing until you have accumulated a certain amount of money in your savings account. No matter what reason you might have for moving your goalpost, sticking to a financial plan is important so that you can retire when you’re ready.

In today’s episode, we’ll tackle questions such as “Should I push my retirement date back if I don’t have the details figure out?” and “How conservative do I need to be five years from retirement?” Join us as we dive into the complexities of retirement planning and offer insight to help you stay on track with your financial goals.

Here’s some of what we'll dicuss in this episode:

Should I push my retirement date back if I don’t have the details figured out? (2:40)
While having an emergency fund is important, it can be tempting to hold onto excess cash as a safety net instead of utilizing it to your advantage. (6:46)
Prioritizing retirement savings so that you are prepared for unexpected circumstances and can maintain a flexible retirement timeline. (9:42)
How conservative do I need to be five years from retirement? (11:29)
It is important to have a contingent, flexible retirement plan that prepares you for unexpected circumstances. (16:57)

Contact The Office 480-632-8770 Schedule A Visit https://bit.ly/3V4xihj For more, visit us online https://www.flemingfinancialservices.com/

View Details

No matter how much you plan or how well you prepare, life can sometimes stand in the way. You never know what the future has in store, and plans can change at a moment’s notice, leaving us with life’s other retirement plan.

In this episode, Nancy will share some of the conversations she’s had recently with new retirees who have faced difficult and unexpected life changes. It’s never easy, but that’s where an advisor can come in and provide support and guidance. In these examples, we’ll talk about Social Security and spousal benefits.

As we age, it can be difficult to come to terms with how we feel versus how we might be perceived, and we want to share a recent post on social media that really connected with us.

Here’s some of what you’ll learn in this episode:

Unexpected things that happen in retirement can change our entire plan. (1:47)
Accessing your spouse’s Social Security benefits. (7:11)
How the spousal benefits work. (10:15)
Keeping the right perspective as we age. (16:22)

Contact The Office 480-632-8770 Schedule A Visit https://bit.ly/3V4xihj For more, visit us online https://www.flemingfinancialservices.com/

View Details

Most of the people we work with in Arizona have utilized an IRA to help save for retirement. It’s one of the most popular tools out there for good reason, and it’s a big piece of many retirement plans.

But the IRA is also unique in a lot of ways from anything else you might use to save. In this episode, Nancy will tackle the ‘Dirty Dozen’ differences that an IRA has from other retirement accounts. There will probably be things on this list that you’re familiar with but we hope you’ll also pick up some new information during our discussion.

No matter how well-versed you are with IRA accounts, it’s important that you know these differences because they will impact your financial decisions and retirement strategies.

Here’s some of what you’ll learn in this episode:

How the IRA is passed on to beneficiaries and not through a will. (3:38)
IRAs are the only asset you own that require you to take money out even if you don’t want to. (5:02)
The IRA has its own complex set of rules for distribution. (6:24)
IRAs receive no step-up in basis upon death. (9:47)
No joint ownership or joint distribution. (17:02)

Contact The Office 480-632-8770 Schedule A Visit https://bit.ly/3V4xihj For more, visit us online https://www.flemingfinancialservices.com/

View Details

Retirement is an exciting time and should be a period where life is free from worry and responsibility. We work every day to help people in Arizona find that financial freedom, but that doesn’t mean that stress won’t creep up in retirement.

Today we want to talk about these stressors that people often deal with in retirement. Some of it stems from the unknown while other stress is created by the unexpected. No matter where it comes from, it’s important to us to help you through these experiences through proper planning and guidance.

Here’s some of what you’ll learn in this episode:

The things that are no longer stressful once you reach retirement. (0:38)
How do you fill your time in retirement? (2:01)
The unknown in retirement is stressful, including a down market early on. (4:38)
How planning can help ease the stress you have. (6:55)
Your plans in retirement could change completely but we want you to be able to do what you want. (9:00)

Contact The Office 480-632-8770 Schedule A Visit https://bit.ly/3V4xihj For more, visit us online https://www.flemingfinancialservices.com/

View Details

The Arizona Corporation Commission’s Securities Division released a warning to investors this month about self-directed IRAs, and it’s something that we immediately read through and processed.

In this episode, we’re going to give you the details in the alert and help you better understand what you need to be aware of. If this is an account you have or are thinking about opening, then you want to have all the information available to help you make the best decisions possible.

The self-directed IRA isn’t like a regular IRA. This product allows you to store other types of assets like real estate, promissory notes, precious metals, and other investments. When you’re dealing with this type of IRA, you increase the possibility of something not being legitimate and you incur additional risk beyond normal IRA investing.

The alert, which you can read here, makes points out a handful of risks you need to be aware of:

You are solely responsible for evaluating and understanding the investments.
There will be a lack of information and liquidity in these IRAs.
These are considered high-risk investment options.
This might be a fertile ground for fraud.
There are complex tax rules that you need to know about.

Join us as we break down this alert for Arizonans and provide an update on the latest inflation and monetary policies.

Here’s some of what you’ll learn in this episode:

Nancy’s feeling about all the monetary spending and inflation policies happening in Arizona. (3:21)
What concerns Nancy most with the recent inflation reports. (7:23)
Details on the five points in the self-directed IRA alert. (10:19)
How can you avoid these risks if you have or want to have a self-directed IRA? (20:30)

Contact The Office: 480-632-8770

Schedule A Visit: https://bit.ly/3V4xihj

For more, visit us online: https://www.flemingfinancialservices.com/

View Details

The first quarter of the year is always a time when people begin thinking about taxes just a bit more. That yearly filing will often stir up a few financial questions and get people asking about strategies to minimize taxes down the road.

In this episode, we’re following that theme as we open up the mailbag to take a few questions that all deal with some aspect of retirement and tax planning. From converting IRAs to Roth, withdrawing from and inherited IRA, and how to project taxes in retirement, Nancy will tackle each of these to give you a better idea of how to approach these planning items.

With it being the week of Valentine’s Day, we’ll also share a little nugget on the history of the holiday.

Here’s some of what you’ll learn in this episode:

· Is it a good idea to start converting as much as your IRA to a Roth if you’re retiring within 5-6 years? (2:00)

· Some Valentine’s Day trivia. (6:05)

· Rules for inherited IRAs and withdrawing money. (7:00)

· Should you be making estimated tax payments every quarter and how do you project your tax amount in retirement? (10:33)

Contact The Office 480-632-8770 Schedule A Visit https://bit.ly/3V4xihj For more, visit us online https://www.flemingfinancialservices.com/

View Details

One thing we’ve learned through the years of helping people prepare for retirement is that everyone has a different vision for how they want to spend that time. Retirements come in all shapes and sizes and having a good idea of what you want will help us build a portfolio that aligns with the life you want to live.

In this episode, Nancy and Sean will talk about the process for putting together a retirement life portfolio and why pre-retirees aren’t always prepared for the key transition points. They’ll also share a few different scenarios that they worked through with clients and give you a better idea of how the discussion goes.

If you’re at or near retirement, make sure you’ve taken the necessary time to think through your transition and what goals you have for the next chapter.

Here’s some of what you’ll learn in this episode:

· Investors will often come up with arbitrary numbers when building their portfolio. (0:38)

· What type of retirement do you want to have? (2:33)

· The important transition points leading up to retirement. (3:32)

· There are certain times a financial analysis might not help an individual. (4:59)

· Some different goals we hear from clients and how we plan for them. (7:25)

Contact The Office 480-632-8770 Schedule A Visit https://bit.ly/3V4xihj For more, visit us online https://www.flemingfinancialservices.com/

View Details

Saving in your 401(k) can be an easy and painless way to build your retirement savings. But because it’s so easy and painless, it can also be easy to ignore for long periods of time, which often leads to mistakes.

Since this retirement account is one of the most popular vehicles for saving, it’s important to make sure we’re doing all we can to get the most out of this money.

In this episode, Nancy will cover at least five of the mistakes people make in their 401(k)s and explain what you can do to avoid this with your own investments.

Here’s some of what you’ll learn in this episode:

What options does someone have when they aren’t comfortable with risk but want to generate better returns? (3:38)
What you should be doing with the money in an old 401(k) with a former employer? (9:46)
People fail to rebalance their 401(k) enough. (12:28)
Allocating too much money to a target date fund might not be giving you the customized solution you think. (13:35)
Don’t just assume that fees and costs are minimal because they aren’t clearly outlined. (15:27)
What you should do if you want to transfer your 401(k) to another custodian. (17:14)

Contact The Office 480-632-8770 Schedule A Visit https://bit.ly/3V4xihj For more, visit us online https://www.flemingfinancialservices.com/

View Details

Just like the lights on your dashboard can indicate if something is wrong with your car (like low tire pressure or leaking oil), there are indicators in your financial life that might point out that you have a problem that needs to be addressed.

On this episode of My Smart Retirement, Nancy Fleming breaks down at least four warning signs that should give you a clue something isn’t quite right with your financial and retirement plan.

Having no idea what it costs to fund your lifestyle, being overly focused on a specific dollar amount, or getting worked up over the financial impact of the day’s news stories are just some examples of the warning signs Nancy will explore.

And stay tuned for the end of the show where Nancy peels back the curtain on a new industry buzzword/phrase called “Next Chapter Advisors.”

Here’s some of what you’ll learn in this episode:

• Warning Sign #1: You have no idea what it costs to fund your lifestyle (3:00) • Warning Sign #2: You’re focused on attaining a certain net worth or account balance (5:37) • Warning Sign #3: Your mental image of retirement is based on what your parents had (7:23) • Warning Sign #4: You get worked up about current events because of the impact you feel that they have on your portfolio (11:07) • Nancy shares an analogy about comprehensive planning and balancing short and long-term goals and plans (12:57) • What are “Next Chapter Advisors”? (18:05)

When the warning light pops up on your dashboard, sometimes you know what needs to be fixed. Other times, you have to consult a professional to know what the problem is and how to fix it.

It’s the same thing in your financial life. Sometimes you’ll know the major areas where you need to improve, but a lot of times you’ll want a pro to help guide you and show you the way. If that’s the case, we’re always here to help, so don’t hesitate to reach out if you have any questions.

Contact The Office 480-632-8770 Schedule A Visit https://bit.ly/3V4xihj For more, visit us online https://www.flemingfinancialservices.com/

View Details

Another year is upon us and it’s a great time to assess how ready you are for retirement to kick off 2023.

If you’re retiring this year, it’s essential to have some concrete answers to these questions. If you’re still a few years from the milestone, tune in so you can start thinking about these critical conversations.

Running through this entire list of planning items will ensure that you’ve checked the most important boxes off your list so that you will be prepared to make the transition into retirement. If you aren’t sure how you’d answer any of these questions, make sure you get with a financial professional to have that discussion.

Here’s some of what you’ll learn in this episode:

How much income do you need every month? (2:52)
Which account should you start withdrawing from first in retirement? (3:50)
Do you have a plan to combat inflation? (7:45)
Do you have any current investments or products you don’t understand? (12:34)
The healthcare costs you need to be thinking about. (18:25)

Contact The Office 480-632-8770 Schedule A Visit https://bit.ly/3V4xihj For more, visit us online https://www.flemingfinancialservices.com/

View Details

Another round of retirement changes are on the way after President Biden signed a spending bill in December 2022 that included the SECURE Act 2.0. Retirees and pre-retirees need to understand what this legislation means, how it might impact you, and what planning opportunities this could open up.

With a significant number of changes beginning this year and next, we’re going to break the discussion up into two parts. In this first episode, Nancy will lay out the details for RMDs and the new age requirements. The rules will impact both account holders and spouses, and we’ll lay that out for you.

Plus, she’ll tell you about a big change to the 529 plan that will allow people to move money to a Roth. There are some specific rules you’ll need to follow to qualify, but it’s great to have that possibility down the road.

It will be another busy year for retirement planning so make sure you check in with your advisor to see what adjustments you’ll need to make based on this new legislation.

Here’s some of what you’ll learn on this episode:

The rules have changed for what age you have to take out Required Minimum Distributions. (2:32)
How these new rules will impact spouses. (8:23)
Changes to 529 plans will allow people to move that money to a Roth…with some qualifications. (12:31)
Catch-up contributions increase for the upcoming year. (19:37)

Contact The Office 480-632-8770 Schedule A Visit https://bit.ly/3V4xihj For more, visit us online https://www.flemingfinancialservices.com/

View Details

Many of us like to set New Years’ Resolutions. Today we will be discussing goals, but not resolutions in particular.

We want to help lay the foundation for goal setting so you will be able to achieve them whether they are financial or personal.

For this episode, you’ll want to take a moment to write out your goals and plan along with us as we discuss ways to help you achieve them.

Here’s some of what you’ll learn in this episode:

What kind of person do you want to be? (3:48)
Setting dates for your goals. (6:10)
“Ring out the false, and ring in the true” (9:42)
Prioritize your goals using this method. (12:00)

Contact The Office 480-632-8770 Schedule A Visit https://bit.ly/3V4xihj For more, visit us online https://www.flemingfinancialservices.com/

View Details

The New Year is approaching in a matter of days. This time of year, many of us enjoy getting our lives organized to some degree. The same can go for your financial life.

In this episode, we will be sharing 10 financial steps you should take to start 2023 off on the right track.

Here’s some of what you’ll learn in this episode:

Are you financially organized? (1:28)
Do you review your budget each year? (6:32)
Have you been meeting your savings goals? Do you have an emergency fund? (9:10)

Contact The Office 480-632-8770 Schedule A Visit https://bit.ly/3V4xihj For more, visit us online https://www.flemingfinancialservices.com/

View Details

On TV we often see moments that are exaggerated versions of reality. For example, when someone dies in a show or movie there is usually a will reading with the family present. Is that reality?

In this episode, we will be diving into some of the things that are shown one way, when reality may look very different.

Here’s some of what you’ll learn in this episode:

Picture it: A will is being read to the entire family, and your great aunt, thrice removed, gasps in outrage as she discovers she won’t be inheriting a slice of the family fortune. Is it reality? (0:24)
You suddenly get a letter in the mail about an investment you didn’t realize you had. Is this something that actually happens? (5:29)
Can some actually time the market successfully (and intentionally)? (12:22)

Contact The Office 480-632-8770 Schedule A Visit https://bit.ly/3V4xihj For more, visit us online https://www.flemingfinancialservices.com/

View Details

We came across this article that cites 35% of millionaires saying it’s “going to take a miracle” to be ready for retirement. Why are Americans feeling less confident? Is it realistic that millionaires can’t feel surer about their retirement futures? In this episode, we will discuss why some may be feeling uneasy about retirement.

Here’s some of what you’ll learn in this episode:

Even many millionaires feel unsure about retirement. (1:33)
Many are increasing their retirement savings. (10:20)
What to know about end-of-the-year planning this year. (13:38)

Contact The Office 480-632-8770 Schedule A Visit https://bit.ly/3V4xihj For more, visit us online https://www.flemingfinancialservices.com/

View Details

On today’s show, we are answering some of your questions. If you have any questions, please feel free to send us a message on our site so we can help answer you, too!

For now, listen to learn what you should do when your advisor doesn’t seem to know how to answer your questions and what to think about when you and your spouse are no longer on the same page about retirement.

Here’s some of what you’ll learn in this episode:

When should you think about starting your social security? (2:13)
What if your spouse wants to retire earlier than expected? (7:02)
Should you buy term, universal, or whole life insurance? (12:06)

Contact The Office 480-632-8770 Schedule A Visit https://bit.ly/3V4xihj For more, visit us online https://www.flemingfinancialservices.com/

View Details

Today we are going to be talking about Medicare Insurance. We all need coverage, and unfortunately, insurance coverage can be a mystery to most because it can become so complicated.

Let’s go over some of the basics of Medicare including some of your options, how they work, and some experiences that have been shared with me.

Here’s some of what you’ll learn in this episode:

The four parts of Medicare. (2:56)
What are the pros and cons of the options available to you? (6:55)
Here we help you understand something people are often confused by with Medicare. (14:55)

Contact The Office 480-632-8770 Schedule A Visit https://bit.ly/3V4xihj For more, visit us online https://www.flemingfinancialservices.com/

View Details

Happy Thanksgiving! In honor of Thanksgiving, this episode is dedicated to learning about the pilgrims that risked their lives to voyage to new lands.

Listen to learn details about their lives that many do not know, and gain insight into their living conditions, lifestyle, and the journey they embarked on.

Here’s some of what you’ll learn in this episode:

Have you heard the story of Richard Warren? (10:51)
Learn about Francis Cook, a gentleman who signed the Mayflower Compact. (13:12)
The sad story of Edward Fuller and his wife. (15:16)

Contact The Office 480-632-8770 Schedule A Visit https://bit.ly/3V4xihj For more, visit us online https://www.flemingfinancialservices.com/

View Details

Talking to our children about money can be difficult. Especially discussing our own net worth and what will be left to them.

Many people fear their children will only care about their money, they might lose the drive to work, or they simply feel it’s none of their business. Well, the flip side of this is that your children could end up with a large sum of money and no knowledge as to how to manage it.

In this episode, we will discuss a happy medium between these two scenarios so you can help your children leave their own legacy one day.

Here’s some of what you’ll learn in this episode:

How to navigate telling your children about your money. (1:44)
This is what can happen when you wait too long to talk to your children. (4:54)
Parents who teach their children about healthy financial habits. (8:27)

For more information: https://www.flemingfinancialservices.com/podcast

View Details

Today we will be discussing personal finances. People tend to dread this conversation, even if they have a large amount of money saved. All of your financial decisions and activities have an effect on your financial future

There are some financial “rules” that can help keep you on track to achieve your specific goals. Of course, every situation is different, but these are guidelines that have stood the test of time and could be a good starting point for many of you.

Here’s some of what you’ll learn in this episode:

Why you should calculate your net worth and how to do it. (4:46)
How we track your progression throughout retirement. (6:44)
What you should know about managing “lifestyle inflation”. (9:03)

For more information: https://www.flemingfinancialservices.com/podcast

View Details

Spoiler Alert: In The Sixth Sense, many of us know the famous plot line where a boy shares that he can see dead people, and the character played by Bruce Willis tries to help him, but we find out later that he was dead all along. In the beginning of the movie, we see Bruce Willis get shot and we never see him recover, but somehow we still don’t understand that he is a ghost until the “secret” is revealed.

Just like the movie, there are secrets in life, specifically the financial industry, that are out in the open for the world to see but are often missed. In this episode, we will discuss how people respond to information that they are convinced matters, but might not actually be what they think.

Here’s some of what you’ll learn in this episode:

A lot of times people don’t truly understand the history of the market. (3:01)
Most of the things we argue about, really aren’t that important. (5:10)
Here we share the story of a client that ended up with ‘paralysis by analysis’. (10:33)

For more information: https://www.flemingfinancialservices.com/podcast

View Details

Here’s some of what you’ll learn in this episode:

A lot of times people don’t truly understand the history of the market. (3:01)
Most of the things we argue about, really aren’t that important. (5:10)
Here we share the story of a client that ended up with ‘paralysis by analysis’. (10:33)

For more information: https://www.flemingfinancialservices.com/podcast

View Details

Navigating retirement planning can be overwhelming for some. We like to open our door to questions from our listeners so we can offer you educational answers that could help you on your journey to retirement.

Today, we will discuss the different types of investors: Aggressive and conservative. We will also touch base on different investment options you may have, as well as when to retire.

Here’s some of what you’ll learn in this episode:

At what age should an aggressive investor start to become more conservative? (3:34)
Here you can learn about what to do when your company starts to offer a Roth option. (9:20)
If I can retire at 60, but most people retire around 65, should I wait? (12:35)

For more information: https://www.flemingfinancialservices.com/podcast

View Details

Why do people fall into financial traps or hardships? We don’t have all the answers, but we do have some guidance that might help you to avoid them yourself.

There are a ton of gimmicks that entrap investors into paying large amounts of money for courses or information. These may have worked for a few, but they often hurt more than they help if you don’t have the aptitude for investing. In this episode, we will touch base on the different scenarios that often end up hurting people’s retirement portfolios

Here’s some of what you’ll learn in this episode:

Here we discuss different income replacement strategies. (4:10)
Financial planning is a collaborative effort, just be sure you’re getting help from the right places. (6:48)
Have you considered long-term care in your retirement plan? (13:01)

For more information: https://www.flemingfinancialservices.com/podcast

View Details

People have many reasons for procrastinating when it comes to putting a retirement plan together. Let’s explore some of those excuses, why they can be dangerous, and talk about how to overcome them.

Knowledge is power when it comes to financial planning, just like gardening. You’ll want to know everything you should, before putting seeds in the ground, so you’re set up for success when you are ready to harvest. We are here to guide you through each step of the process so your harvest will be plentiful when retirement comes.

Here’s some of what you’ll learn in this episode:

How some could benefit from deferring taxes now. (2:23)
Should you pay off your house early? (6:33)
Should you claim Social Security early? (7:57)
Could you live without a budget in retirement? (14:10)

For more information: https://www.flemingfinancialservices.com/podcast

View Details

While some people are eagerly waiting for retirement, or are already blissfully enjoying their newfound leisure, others can’t imagine leaving their careers. We have heard people say they fear they would be bored if they retire. Can you relate?

The other concern some pre-retirees have is insufficient funds. If you don’t have at least one million dollars saved/invested, will you still be able to retire? Well, it’s definitely possible! In this episode, we will dig deeper into the scenarios that might be getting in your way to retirement.

Here’s some of what you’ll learn in this episode:

It’s becoming more common for our clients to retire sooner than they expected. (0:23)
What if you love what you do, and aren’t ready to give it up? (2:16)
Are you worried that retirement will be boring? (5:30)
Some people feel they don’t have enough money to retire because they think they need more than they really do. (9:26)

For more information: https://www.flemingfinancialservices.com/podcast

View Details

Currently, people are feeling on edge with increased interest rates and inflation. Gas, food, and living expenses have changed significantly because inflation has increased at a faster pace than we have seen in the last 40 years.

We have had people ask us how inflation will impact their taxes. In this episode, we are going to answer your question and go over the various ways your taxes could be affected.

Here’s some of what you’ll learn in this episode:

How wage growth has been affected by taxes. (4:12)
Inflation might slow, but prices are very unlikely to go backward. (6:36)
How inflation can impact our taxes. (9:53)
The important things to note about how inflation affects capital gains. (14:43)

For more information: https://www.flemingfinancialservices.com/podcast

View Details

We have had people ask us how inflation will impact their taxes. In this episode, we are going to answer your question and go over the various ways your taxes could be affected.

Here’s some of what you’ll learn in this episode:

How wage growth has been affected by taxes. (4:12)
Inflation might slow, but prices are very unlikely to go backward. (6:36)
How inflation can impact our taxes. (9:53)
The important things to note about how inflation affects capital gains. (14:43)

For more information: https://www.flemingfinancialservices.com/podcast

View Details

Just about everyone has a question, or ten, that comes up while planning for retirement. Should I delay Social Security? Am I saving enough? The list goes on.

We want you to go into retirement with peace of mind, so we are answering more of your questions today. These questions are ones we have gotten frequently, so listen up, because we just might share an answer you have been looking for.

Here’s some of what you’ll learn in this episode:

Danny: I am going to work one more year and then I’m going to find part-time work for four more years to supplement my retirement income. Would it be better to work full-time for two more years and then retire? (2:28)
Catherine: Should I use a program that will help me pay off my mortgage faster by splitting it into biweekly payments? (6:40)
It’s a good time to be a little more defensive with your finances in today’s world. (9:43)
Bill: Someone said I should save 15% of our income for retirement, but we are only saving 10%. Are we in trouble? (11:47)

For more information: https://www.flemingfinancialservices.com/podcast

View Details

Just about everyone has a question, or ten, that comes up while planning for retirement. Should I delay Social Security? Am I saving enough? The list goes on.

Here’s some of what you’ll learn in this episode:

Danny: I am going to work one more year and then I’m going to find part-time work for four more years to supplement my retirement income. Would it be better to work full-time for two more years and then retire? (2:28)
Catherine: Should I use a program that will help me pay off my mortgage faster by splitting it into biweekly payments? (6:40)
It’s a good time to be a little more defensive with your finances in today’s world. (9:43)
Bill: Someone said I should save 15% of our income for retirement, but we are only saving 10%. Are we in trouble? (11:47)

For more information: https://www.flemingfinancialservices.com/podcast

View Details

We always talk about the money side of financial and retirement planning. But what about the mental aspect of that big life change? Today we’ll break down an article written by a Licensed Professional Counselor (Kate Schroeder) for Psychology Today, titled The Psychological Investment In Retirement.

Retirement can span 25-30% of our lives so we want to be as prepared for this next chapter as possible so the earlier we can embrace this side of planning, the more we’ll be able to fully enjoy retirement.

Here’s some of what you’ll learn on this episode:

Why it’s so difficult to walk away from a life and routine that’s defined you for years. (4:04)
Retirement is a time to embrace the person you’ve always wanted to be. (6:03)
The actions you can take to be better prepared for this psychological side of retirement. (7:43)
Some examples of ways our clients have found this meaning in retirement and what they’ve chosen to do. (11:58)
Why it’s not easy to figure this out once you’re in retirement. (15:34)

For more information: https://www.flemingfinancialservices.com/podcast

View Details

Here’s some of what you’ll learn on this episode:

Why it’s so difficult to walk away from a life and routine that’s defined you for years. (4:04)
Retirement is a time to embrace the person you’ve always wanted to be. (6:03)
The actions you can take to be better prepared for this psychological side of retirement. (7:43)
Some examples of ways our clients have found this meaning in retirement and what they’ve chosen to do. (11:58)
Why it’s not easy to figure this out once you’re in retirement. (15:34)

For more information: https://www.flemingfinancialservices.com/podcast

View Details

Now that people are traveling more again, many of us are packing our bags and going through the process of thinking through what goes into each suitcase.

Believe it or not, this is much like financial planning. You probably haven’t paid much attention to it before, but we will explain why packing a suitcase is very similar to preparing for retirement. If you’ve ever lost a bag or had a suitcase damaged, you know that it’s important to make sure that you don’t lose everything you need.

From what bags you plan on taking to how you want to group all of your things, we’ll have some fun taking you through this analogy.

Here are some of the things you’ll learn on this episode:

How to be prepared for losses through diversification. (2:05)
Why you need to organize things in different groups or bags. (5:18)
Greed can impact investing decisions negatively. (7:35)
Why you should be constantly evaluating your plan. (9:20)

If you’d like to learn more, visit us online and let’s set up a time to talk --> https://www.flemingfinancialservices.com/

View Details

Now that people are traveling more again, many of us are packing our bags and going through the process of thinking through what goes into each suitcase.

From what bags you plan on taking to how you want to group all of your things, we’ll have some fun taking you through this analogy.

Here are some of the things you’ll learn on this episode:

How to be prepared for losses through diversification. (2:05)
Why you need to organize things in different groups or bags. (5:18)
Greed can impact investing decisions negatively. (7:35)
Why you should be constantly evaluating your plan. (9:20)

If you’d like to learn more, visit us online and let’s set up a time to talk --> https://www.flemingfinancialservices.com/

View Details

One of the things we love about financial planning is that there are many different solutions for the same scenario. You have to weigh all the different factors for an individual’s situation to determine what their best outcome might be.

Today we’ll touch on a little of that as we open up the mailbag to find out what’s on your mind. The topics we’ll cover include conservative investing allocations, taking a loan out from your retirement account, lump sums or monthly payment, and handling planning on your own.

These things we talk about are just opinions based on a short scenario that came in through the mailbag. When you have a question, we need to gather a lot more information because every situation could have multiple solutions. Planning takes time and we need to get as many details as possible to help provide the best possible answer for your position. But we hope our answers help explain the things we’re thinking through to give you a general idea of how to proceed.

Here are some of the things you’ll learn on this episode:

The story of Wrigley gum and mass marketing. (0:50)
Is having 80% of your money in a money market fund too conservative? (5:01)
Where to draw money from if most of your savings are in retirement account. (10:00)
Should you take your sick leave payout in a lump sum? (15:11)
Can you have a successful retirement without a financial advisor? (17:43)

If you’d like to learn more, visit us online and let’s set up a time to talk  https://www.flemingfinancialservices.com/

View Details

We make education a key focus of what we do and we always make sure clients understand how things work before taking the first step in planning.

We understand that financial education isn’t provided to everyone and there are some common areas where people often get misled into believing something that they shouldn’t. This can lead to you innocently assuming certain people or companies are looking out for your best interest.

On this episode, we’re going to share some of the things we wish people knew when they first came into our office to meet with us.

Here are some of the things you’ll learn on this episode:

What’s the motivation behind the information you find online or on tv? (7:28)
An example of how annuities are used out of context. (3:35)
Why a big brand or company isn’t always the best option for you. (5:23)
Why we want people to be in a position for informed consent. (7:29)

MORE INFORMATION: https://www.flemingfinancialservices.com/podcast

View Details

We make education a key focus of what we do and we always make sure clients understand how things work before taking the first step in planning.

On this episode, we’re going to share some of the things we wish people knew when they first came into our office to meet with us.

Here are some of the things you’ll learn on this episode:

What’s the motivation behind the information you find online or on tv? (7:28)
An example of how annuities are used out of context. (3:35)
Why a big brand or company isn’t always the best option for you. (5:23)
Why we want people to be in a position for informed consent. (7:29)

MORE INFORMATION: https://www.flemingfinancialservices.com/podcast

View Details

You’ve most likely heard plenty of “rules” you’re supposed to follow to retire successfully. Some of these rules are stated so confidently, you’d be crazy not to immediately accept them as fact.

But we don’t mind the threat of being called crazy, so Nancy and Sean will dive into some of the most popular retirement “rules of thumb” to see if they truly lead us down the path of good financial guidance or run a chance of leading us astray.

You’ll always want to consult with your financial advisor for each of these rules because your situation might be different than someone else and you want the best plan for your future.

Here are some of the things you’ll learn on this episode:

How the rule of 100 is used to determine risk but not always perfect for each situation. (7:28)
The rule of 72 is a great way to determine how long it will take your money to double based on the rate of return you’re generating. (12:31)
Why dollars and percentages aren’t the same and example of how to view this. (14:02)
How to apply the rule of 5 about bear markets to investing. (15:45)
The rule of 10 tells us to have 10x our salary saved by the age of 67 but is this appropriate? (17:06)

MORE INFORMATION: https://www.flemingfinancialservices.com/podcast

View Details

You’ll always want to consult with your financial advisor for each of these rules because your situation might be different than someone else and you want the best plan for your future.

Here are some of the things you’ll learn on this episode:

How the rule of 100 is used to determine risk but not always perfect for each situation. (7:28)
The rule of 72 is a great way to determine how long it will take your money to double based on the rate of return you’re generating. (12:31)
Why dollars and percentages aren’t the same and example of how to view this. (14:02)
How to apply the rule of 5 about bear markets to investing. (15:45)
The rule of 10 tells us to have 10x our salary saved by the age of 67 but is this appropriate? (17:06)

MORE INFORMATION: https://www.flemingfinancialservices.com/podcast

View Details

One of the toughest things many people face in life is divorce, and it can weigh heavily on your financial health on top of all the emotional stress you experience. We understand how difficult this process can be but want you to know that there are people that will help you make it through it.

While everyone’s situation will be different and there are more factors that you might consider when it comes to sorting through the financial side of the divorce. We want to open your mind and give you some things to think about if you are going through this or might be in the future.

It’s easy to want to take the path of least resistance to just get everything over with, but a financial advisor can help you make the best decisions for yourself and your retirement.

Here are some of the things you’ll learn on this episode:

Why keeping the house might not be the best financial outcome for you. (2:42)
Are you factoring in the tax implications of all the assets getting distributed out? (5:06)
An important thing to remember about Social Security benefits after divorce. (6:14)
How the pension can be split if one spouse will receive one in retirement. (11:27)
This highly emotional process usually often sways decision-making and outcomes. (14:35)

MORE INFORMATION: https://www.flemingfinancialservices.com/podcast

View Details

On today’s episode, we’re going to explore the 4 phases in life, each being 8,000 days or 22 years: the honeymoon phase, the big decision phase, navigating longevity phase, and the solo journey phase. While they can be interchangeable each plays a special part in our lives and we have very similar phases in retirement.

The Honeymoon Phase (65 to 74)

This is where you are typically just entering retirement (while some people may retire earlier). These are your healthy years. You have an average of 20 more healthy years. Everything’s changed because you are retired, but physically not much has changed.

What are you going to do with your time? Will you travel? Or will you spend time exploring hobbies? A lot more people are considering working into retirement as the definition of retirement evolves. These are the go-go years.

The Big Decision Phase

This phase is characterized by more free time and you end up making more big decisions. The worries of work have faded from your mind and now you’re stuck making decisions about everyday life. Where are you going to live? How will you cope with housing repairs? Housing is a continuum rather than just somewhere you live while raising a family. Deciding what to do with the house is one of the biggest decisions a retiree makes.

Navigating the Longevity Phase

This is where the logistics of health planning and long-term care planning really become important and time-consuming. With increased appointments, prescriptions, and the possibility of limited mobility we need to consider how we’ll manage healthcare in our later years. The cost of healthcare becomes a lot more expensive after the age of 65.

The Solo Journey Phase

If your spouse passes away, are you prepared financially? The average age of widowhood is 59, so these phases aren’t chronological. The divorce rate over 50 has also doubled. While the kids are likely out of the house, you still need enough to support yourself if you find yourself on the solo journey.

Check out the full episode or use the timestamps below to hear a specific segment.

1:22 – Phases of life and retirement

5:11 – Honeymoon phase

8:58 – Interested in still working?

12:52 – The big decision phase

15:42 – Access to community

18:05 – Navigating longevity phase

22:32 – We live a long time

25:00 – The solo journey phase

29:40 – Seeing our own mortality

32:26 – Trust yourself!

For more, visit us online at http://flemingfinancialservices.com

View Details

Are you worried about taxes, particularly in retirement? Preparing for the tax bill now can save you a lot more in the future. On today’s episode, we are going to explore some common questions we get regarding taxes and break down some advice for saving on taxes.

What accounts are taxable?

Taxable income will come from qualified accounts. These are accounts you put money into during your working years that you didn’t pay the taxes on originally. These are often 401(k)s, 403(b)s, various IRA accounts, profit sharing plans, and traditional plans. Since the money has been growing tax-deferred you’ll owe those taxes at some time in the future when you begin taking income from them.

Social Security and Taxes

How your Social Security income is taxed depends on various factors like the other types of income you are receiving and from where that money is coming from. If you are still working that money will count towards your taxable income. The good news is only up to 85% of Social Security is taxable.

Annuities and Taxes

Annuities are designed to provide secured income throughout retirement. Whether annuities are taxed and by how much depends on the annuity you have and how you are taking income from that annuity.

Join us today as we explore these tax questions and more on non-taxable accounts, Roth IRAs, and much more.

Check out the full episode or use the timestamps below to hear a specific segment.

1:12 – Our summer trip

3:23 – Paying too much in taxes

4:49 – What are taxable accounts?

6:27 – Social Security

8:08 – Annuities

9:00 – non-qualified accounts

9:45 – Roth IRA

11:11 – Understanding income tax

12:15 – Changes impacting taxes

14:28 – Where you put your money matters

17:09 – Quick tips on Roth IRA

For more, visit us online at http://flemingfinancialservices.com

View Details

Let’s put retirement planning and preparation under the microscope. On today’s episode, we’re going to do a retirement planning pop quiz. Follow along and test your retirement planning skills and knowledge!

At what age should you start saving for retirement?

A. When you begin working

B. After you buy your first home

C. After you pay off all your debt.

Actually, the best time to start saving is now! The quantity you put away will change on your circumstances and age. Practicing this habit early helps with saving larger portions down the road.

Which of these is the best estimate of how much income you’ll need in retirement?

A. 50% of your current income

B. 85% of your current income

C. 100% of your current income

D. None of the above.

Generally speaking, we look at the amount of money coming into your bank account each month. Which is a piece of your current income. But the bills you have now may not be the same bills you have in retirement. For example, the mortgage may be paid off by then. What will you do with that extra income?

Join us today as we explore these questions and more!

Check out the full episode or use the timestamps below to hear a specific segment.

1:32 – Enjoying the summer

6:47 – At what age should you start saving for retirement?

9:27 – How much income will you need in retirement?

11:50 – Which of these are the best examples of diversification?

15:55 – Which of these do retirees fear the most?

17:18 – What percent should you withdraw from your portfolio each year?

For more, visit us online at http://flemingfinancialservices.com

View Details

Today, we’re opening up the mailbag and answering some retirement questions we get from our listeners and clients.

George says he has all of his retirement savings in one IRA. Should he move some of that money elsewhere to be diversified?

Since we don’t know how close George is to retirement and what his risk tolerance is we can’t give him a definite answer. Instead, what should he look at to determine the right move for him?

You want to look at whether the IRA you are invested in is all in one stock or has some diversification inside the account. Do you have only one or two mutual funds? What is the size of the IRA? A smaller IRA has different diversification needs than a larger IRA. It is possible to be diversified within an IRA instead of rolling that money into a different account.

Mark feels like he needs to reduce the risk in his portfolio, but he doesn’t know where to turn. He’s looked at bonds, annuities, and even cash. But all of these options have drawbacks he doesn’t like.

Unfortunately, there is no perfect financial instrument out there. We have to analyze each tool and what the benefits and drawbacks are. You know when bonds will mature and bonds mature at the cost of their core value. Cash is difficult because there is a low-interest rate on this type of savings. But having emergency funds is essential. Lastly, annuities can offer some protection but there is probably a certain amount of time that you have to keep hold of the annuity. Always ask yourself what the pro, the con, and the string attached is.

Doug says he doesn’t like the options in his 401(k), but his company says he is not eligible to roll his money into an outside account. He knows people have moved money out of their 401(k), how does this work?

The Federal government doesn’t have a rule against rolling over your 401(k) into an IRA, but it’s up to your company’s HR. Individual companies have their own rules and policies. Most of the time people are eligible to roll over their own contributions to an IRA once they are 59 ½. This doesn’t necessarily apply to the employer match. If you’re leaving the job, at that point you can roll over your money into a new account or into a new employment account.

Check out the full episode or use the timestamps below to hear a specific segment.

2:00 – Growing grapes!

3:13 – Should I move some of my money to be diversified?

8:07 – I want to reduce my risk, what should I do?

16:02 – How do I roll over the money in my 401(k)?

For more, visit us online at http://flemingfinancialservices.com

View Details

We hope you all had a great Fourth of July! Whether you are in retirement or you are getting close to retirement, the current market volatility may be worrying you. GDP hasn’t grown for a second-quarter indicating we are probably entering a recession. Is your retirement plan built well enough to withstand the storm?

If you did shopping for any kind for a BBQ this weekend you probably noticed how less your money stretches. On today’s episode, we’ll explore four things that you need to consider when it comes to planning a retirement around a recession.

Looking back at the great recession we saw Americans lose 19.2 trillion dollars of net worth. We also had a small recession when COVID hit. These events really impact how people think about their savings now.

Firstly, we need to consider healthcare. Some of you may be worried about whether your plan can keep up with rising healthcare costs. The studies show though, that if you’re 65 and you retired last year you can anticipate spending about $300,000 in healthcare and long-term care. This doesn’t happen all at once though; it’s spread out throughout retirement.

Next, we want to evaluate the assets you’ve accumulated and how it matches up with projections for the future. How much did you spend on food and rent last month? How well will your assets cover these expenses in the future?

If you’re still working, staying invested is important. But a lot of people wonder how much of their savings should be invested in the market during a recession? Well you need to calculate your risk tolerance. A lot of us don’t feel stressed investing a lot when the market is doing well, but when it starts to go down we may have a different comfort level.

Lastly, we need to consider the income gap. If you calculate your expenses and compare it to your retirement plan and you find you don’t have enough to cover those expenses you may experience this income gap. There are some other options to cover these gaps, such as annuities.

We don’t want to let the market dictate your lifestyle. Make sure you do the math now, to ensure you are protected now and in the future. You don’t need a bull market to guarantee a great retirement.

Check out the full episode or use the timestamps below to hear a specific segment.

2:08 – Firework story

3:34 – We might be entering a recession

4:55 – Looking back on history

7:20 – Factoring in the cost of items and travel

8:24 – The cost of healthcare

11:06 – Assets you’ve accumulated

14:11 – Investing in the market

18:34 – Having an income gap

22:09 – Don’t let the market dictate your lifestyle

For more, visit us online at http://flemingfinancialservices.com

View Details

Many of us want to keep our money in our pockets. We can use financial intelligence to direct that money in the ways we want to. But, what are some ways we are losing money? On today’s episode, we’re going to break down our philosophy on keeping money in our pockets and how it's about much more than just inflation.

Whenever we have federal government deficit spending, we are going to have inflation. Our incomes and the cost of living have become unbalanced. Some of this is seen in the increased costs of an item, increased taxes, and more. The government collects from various sources. So, we must ask ourselves, where is our money going?

The money we don’t keep and direct, determines where we can put money towards our lives. There is a sales tax, income tax, state income tax, and on top of that various fees on our utility bills and more. As you can tell, there is attrition coming out of the money we earn. There’s always another hand in our pocket.

When we talk about inflation, it’s often about the cost of goods. Everyone is feeling inflation when it comes to gas, but we also need to be aware of inflation through taxes. We also don’t talk enough about the deficit spending that reduces the buying power of Americans. So that's what we will explore on this episode.

Join us today as we take a look at government spending and how it impacts our personal finances through taxes, inflation, and much more.

Check out the full episode or use the timestamps below to hear a specific segment.

1:41 – 4th of July is around the corner

3:42 – Let’s talk about inflation

6:37 – Where is our money going?

8:50 – Inflation impacts taxes too

10:38 – Does high inflation stick around?

12:02 – Should we expect hyper-inflation?

13:12 – How is this impacting Social Security?

15:27 – Inspecting the budget as a fiscal conservative

17:29 – Some of the good things in this budget

For more, visit us online at http://flemingfinancialservices.com

View Details

If you’ve ever planned a trip, planned a wedding, or planned your retirement you may have realized how fun the anticipation of the adventure was. We can’t always predict the future and a lot of pre-retirees are getting started early on their bucket list before they are in retirement.

On today’s episode, we’re going to explore Mark and Mona’s journey to retirement. Theories about retirement planning are great but sometimes it’s nice to hear a true-life story. They recently retired, going through various steps and weighing their priorities before making the big change. How do your dreams, plans, and priorities compare?

Both Mark and Mona enjoyed their careers and Mark liked his so much he didn’t really want to retire. Mona wanted to explore more hobbies in retirement and decided to retire a little sooner than Mark.

For Mark and Mona, we set up multiple contingency plans. We prepared them for what would happen if they retired sooner or later, depending on their wishes. Because of Mona’s interests and Mark’s desire to continue working she retired before her full retirement age and took Social Security. She decided taking less of the benefit from Social Security sooner was the best fit for her. Mark on the other hand would be able to wait until full retirement age, meaning he got the full benefit.

After they solved the Social Security piece of their retirement, they needed to address their retirement accounts. When Mark decided to continue working he went to his 401(k) company and explained that he no longer wanted to keep that money in the market.

The closer they got to retirement the more likely a market downturn would hurt their plan. While they didn’t let him take all of it, Mark took a big chunk out of his 401(k) and put it away in a safe account. He didn’t let greed mislead him and protected what he had worked for. In 2022, he was able to retire comfortably without worrying about the recent market decline.

Check out the full episode or use the timestamps below to hear a specific segment.

1:07 – Anticipation!

2:17 – Mark and Mona

3:11 – Background on their retirement plan

5:40 – Contingency plans and Social Security

10:07 – Addressing their retirement accounts

13:10 – How Mark traded risk as he got close to retirement

14:35 – The last years before retirement

For more, visit us online at http://flemingfinancialservices.com

View Details

Let’s open up the mailbag and answer some of our listener’s questions about retirement, market volatility, and more.

Wanda says, “With my 6 siblings I inherited a 70-acre farm. 4 of my siblings want to sell and the rest of us want to keep it. Is it worth trying to buy out the rest of the farm? Or should we argue until we get to keep it all?”

We definitely don’t recommend arguing it out with your siblings. The four that want to sell it are in the majority so you’d probably lose out on that. We’ve seen too many family members fight during an estate settlement. If it’s possible to buy out the rest of the farm, that’s probably your best approach. Certainly, have a unified plan with your siblings that want to keep it.

Marty has been out of the market for several years. He’s missed out on a lot of growth. Should he wait to jump back in if there is a market crash?

There are no right answers in the market. We can’t predict whether there will be a crash or not. We suggest developing a long-term investment strategy. Depending on how far away you are from retirement determines how much risk you can take on.

Investing does involve a degree of volatility. Sometimes staying the course can be a bit intimidating, but preparing your plan to withstand volatility is your best approach.

Check out the full episode or use the timestamps below to hear a specific segment.

1:27 – Have you seen Top Gun?

2:55 – “Is it worth buying out the farm my siblings and I inherited?

7:52 – “Should I stay out of the market in case there is a crash?”

10:08 – Breaking down volatility

16:15 – You are doing this for the long term

For more, visit us online at http://flemingfinancialservices.com

View Details

The famous Elon Musk has recently predicted a recession and we often hear this worry from clients as well. It’s a big question being discussed with the down markets and high inflation. Are we entering a recession? On today’s episode, we’ll explore what it means if we are at the beginning of a recession and how well we are prepared for this possibility.

The net worth of American households has actually gone up in the past few years. If we are entering a recession, this increase in net worth will act as a bigger cushion for a lot of American families. This is especially true with the historically low debt Americans have. This savings boom has been unprecedented.

Businesses are also in a stronger place than they were at the beginning of the pandemic and we are currently seeing higher profit margins. This is important if we are entering a recession, stronger profits lead to fewer layoffs and spending cuts.

All of these factors are putting the American people in a stronger position than they were at the start of the 2008 financial crisis. As the year progresses, we’ll be able to see for sure whether this is a recession, but either way, it seems we are in a strong position to weather the storm.

Check out the full episode or use the timestamps below to hear a specific segment.

Check out the full episode or use the timestamps below to hear a specific segment.

1:47 – Enjoying Starwars

3:37 – Elon Musk’s predictions

5:21 – Where are we as a society

8:39 - Business is strong

9:18 – In a better place than 2008

10:14 – The Feds impact on the market

11:28 – Recessions have shorter durations

14:11 – Mailbag: “Should I wait to retire until I’m eligible for Medicare?”

16:46 – Mailbag: “Can I start giving my children their inheritance now?”

For more, visit us online at http://flemingfinancialservices.com

View Details

There are various debates out there around life insurance. But this investment tool can be invaluable to yourself and your family. On today’s episode, we’ll break down some good reasons you should think about getting life insurance and the benefits it could provide you and your family.

We most often think of life insurance as income replacement. When we are raising a family or have someone dependent on us, this is especially important. But, how is this different for a retired person? If you pass away, can your plan support your spouse? Life insurance is a way to ensure a surviving spouse is cared for.

Another reason to consider life insurance is the tax benefit. Your children, spouse, or other beneficiaries will be limited on the money they can take from your 401(k) or IRA. But when it comes to life insurance, those payouts are tax-free. This can also help them pay the taxes on the taxable parts of the estate they inherit.

The younger you start putting away into life insurance, the cheaper those premiums will be. Inflation will increase prices as well as your health. The older you get, the more likely you are to develop certain health conditions that raise your premium.

If you own a small business, your approach to life insurance may be a bit different. But this tool can play a big part in a succession plan. Life insurance can be a tool for a surviving business partner, allowing them to buy out the interest of the surviving family members.

Lastly, life insurance can be a way to fund long-term care. Many policies are being built today with living benefits. If you fell ill or were injured and needed long-term care, your insurance could help you pay those bills. This protects you and your family’s estate in the long run.

Join us today as we discuss various reasons to consider life insurance as a crucial part of your retirement plan.

Check out the full episode or use the timestamps below to hear a specific segment.

1:55 – Memorial Day

3:01 - Life insurance

4:40 - Income replacement

8:09 – Tax free income

9:11 – Life insurance premiums

11:08 – Small business owners

13:21 – Long-term care

14:48 – These benefits are tax-free!

For more, visit us online at http://flemingfinancialservices.com

View Details

When planning for retirement, we hear a lot about managing risk in our portfolios. On today’s episode, we are going to approach risk in a different light. How prepared are you for the risk of needing long-term care to cope with a chronic or lifelong condition? This is the least favorite topic of many pre-retirees and retirees because most of us want to plan for the fun things: vacations, hobbies, family legacy, etc. Yet, this is one of the most important components of a healthy retirement plan. 7 out of 10 people will need some type of care in their life. Despite this statistic, many people ignore this issue or assume family will be able to take care of them.

While this is a great sentiment, it doesn’t always work out this way. If you end up needing assistance, where will these funds come from? Preparing for this possibility protects us from the immense price of long-term care.

There are several solutions to this problem. Long-term care insurance isn’t offered as much as it used to be, but it is still an option for many people. You’ll need to decide on a type of benefit and how long you assume you’ll need coverage. While we hope we’ll never need this insurance, it’s very beneficial to have coverage if something were to happen.

Sometimes people assume long-term care costs are covered by Medicare. Medicare does not pay for long-term care, they pay for hospitals, doctors, and parts of rehabilitation. If you still need care after a medical event, the issue is considered chronic and the costs for care are up to you. When long-term care insurance payouts start is up to you and the policy you pick. You need to be considered legally chronically ill in order for these policies to pay.

Join us today as we break down some of the basics of long-term care planning and how you can reduce the risk this issue may pose to your retirement.

Check out the full episode or use the timestamps below to hear a specific segment.

1:22 – Today’s topic

2:07 – Do you have a plan for long-term care?

4:00 – Where will these funds come from?

4:54 – Long term care discussed in the workplace

5:49 - Long term care insurance options

9:49 - A client story on long term care insurance

11:38 – Does Medicare cover long-term care?

13:45 – When does insurance start to pay?

16:05 – Receiving long term care in home

19:02 – We can get ourselves prepared

For more, visit us online at http://flemingfinancialservices.com

View Details

There’s this consensus that people who obtain wealth just make a lot of money or they inherited a lot of money. But the reality is most people who have a lot of money are good savers.

A lot of wealth is built by people who just make a decent salary or even an average salary. They just live within their means. We’ll share some of the commonalities of people who are wealthy.

They buy used cars

Wealthy people often don’t buy a new car. Studies show that new car values go down in the first month by 10% and within the first year, 20%.

It’s not prudent to buy a vehicle that will lose that much value. The average person has a car that’s about 5 years old. If you’re constantly making payments on a car, you’re not using your money wisely.

By keeping the same car for a long time, you can save a lot. But that goes against the grain of what many people do.

They don’t buy a house they can’t afford

People often rationalize house purchases. But people who are good with money know a good piece of real estate is one you can afford. Most people want to have their house paid off before they retire or way before.

They don’t use credit cards or they pay them off each month

Credit cards get people in trouble. They can be a slippery slope. If you use them, you have to be extremely diligent and pay it off every month. Or, even better, don’t use credit cards at all.

Check out the full episode or use the timestamps below to hear a specific segment.

0:21 – What brings about wealth

2:05 – Buy used cars

6:15 – Don’t buy a house you can't afford

8:53 – Don’t use credit cards

11:36 – Don’t buy name brand

For more, visit us online at http://flemingfinancialservices.com

View Details

What does a soccer game have in common with retirement planning? On today’s episode, we are going to break down the retirement playbook and what lessons we can learn from retirement’s All-Star players. We’ll break down ten critical factors you need to have in your retirement plan to score big.

The big challenge for many retirement players is replacing income for an indefinite number of years in an ever-changing economic environment. Winners have one thing in common, they plan and prepare for retirement.

#1 Have a strategy

A financial strategy should be written out and will break down the moves you plan to use when you need income in retirement. Calculate how much you need to save and how much you need to generate once in retirement based on realistic expectations and your desired lifestyle.

#2 Start early

The sooner you start planning for retirement, the more likely you are to hit that big goal. Most of the time, retirement All-Stars, give themselves plenty of time to save. You are able to recover from market loss more easily and there’s more time for your assets to compound.

#3 Stick to a budget

Whether you call it a budget or a spending plan, practicing constraint in your spending is important. This helps you from spending more than you earn. The biggest way to do this is by cutting costs.

#4 Planning it out

Discipline is important as you enter retirement, you need to plan out how you’ll be spending your money. Do you want to pay off your house? Or build up a larger 401(k)? What’s the motivation behind these long-term goals?

#5 Tax-efficient strategies

Successful winners in retirement recognize that they aren’t helpless, including when it comes to your tax bill in retirement. As part of your plan, we want to look at your tax plan and strategize how you can mitigate the impact of taxes.

Join us as we break down these important retirement plays and more on today’s show!

TIMESTAMPS:

1:16 – Enjoying a soccer game

6:31 – Have a strategy

8:01 – Start early

9:35 – Stick to a budget

11:45 – Planning it out

13:47 – Tax-efficient strategies

16:39 – Healthcare costs

17:52 – Updating your plan

18:44 – Optimize Social Security

20:12 – Are you ready for retirement?

MORE INFORMATION: https://www.flemingfinancialservices.com/podcast

View Details

We had a question come up recently that got us thinking about music and some of the greatest artists that have enjoyed huge financial success outside of their careers. We thought that would make for a fun discussion on the podcast so that’s what we’re going to discuss today. Nancy will take you through a handful of the most successful artists, singers and composers across different genres and pull out the financial lessons we can learn from their ventures inside and outside of music.

The first person we’ll spotlight is composer Andrew Lloyd Webber, whose net worth rose to over a billion dollars. One way he did that was to create a company that help create residual income from the work he was doing, which is what we want to do with our retirement income as well. Using Social Security, pensions, and other tools allows us to create a guaranteed income for clients.

The next artist is the great Bono from the popular band U2. When you look through his portfolio, you’ll see that he has invested in major companies outside of music and it’s paid off huge. We can apply this to our own finances by making sure we’re diversified and not too reliant on any one investment.

Sean Combs, also known as P. Diddy, has become a mogul in the rap industry, but the majority of his assets are outside of music. He was the first rapper to build an empire through clothing, food, and other brands, and that shows the importance of investing in staples rather than fads. We want to stick to the tried and true methods that have stood the test of time.

And finally, we spotlight the wonderful and talented Dolly Parton. Her net worth stands at nearly a half-billion dollars. She shows what hard work and steady growth can do for someone that doesn’t come from a lot of money. Over time through singing and song-writing, Parton built her brand and image into one of the most familiar in our country.

We hope you enjoy this episode and this look through some of the great musicians of our lifetime. If you have any questions for us, please don’t hesitate to reach out. We’d love to hear from you.

TIMESTAMPS:

1:23 – Family update

2:52 – Question on inheritance

4:43 – Our topic today

5:17 – Andrew Lloyd Webber

7:24 – Bono from U2

8:40 – Sean Combs

10:10 – Dolly Parton

13:04 – Mailbag question on leaving a legacy

16:16 – Happy Mother’s Day

MORE INFORMATION: https://www.flemingfinancialservices.com/podcast

View Details

How often do you think about retirement? People who are not approaching retirement or who are not in retirement, rarely spend a lot of time thinking about it. But at the same time, 6/10 of retirees wish they had thought about this phase of life more often. More and more people are visualizing retirement as a brand-new chapter in life. Retirees in the U.S. are reporting higher levels of happiness due to their newfound freedom. Maybe you have more time to focus on the things you love: spending time with family, hobbies, or travel. Thinking about the values you want your retirement to reflect can enhance these years of your life.

On today’s episode, we are breaking down the four pillars of retirement: health, family, purpose, and finances. How do each of these play into our plan and into our future?

Pillar #1: Health

Having mental, physical, and spiritual health are all important for your well-being. Yet, 80% of Americans have a chronic condition. Sometimes we find our health spans don’t match our life spans. When we consider these numbers and how often people are experiencing longevity in their plans it’s important to consider long-term care and other health care options.

Pillar #2: Family

Family can be one of the greatest places to find comfort and your family may be an important consideration within your financial plan. Stronger relationships can be a core part of retirement once you are out of the workforce.

Pillar #3: Purpose

The pandemic showed a lot of people why and how to live their lives more purposefully. Similarly, in retirement, you want to have a purpose. Are you going to travel? Spend time with family? Or embark on a journey you’ve never had time to in the past? With more time, comes more time for finding your purpose.

Pillar #4: Finances

Personal finances, retirement, and the economy all play a massive role in the level of freedom you experience in retirement. Some people go to work part-time to have more spending money to enjoy. It’s important to keep learning about your finances, even as you get close to retirement.

TIMESTAMPS:

3:42 – 4 pillars of retirement

5:29 – Thinking more about retirement

7:06 – What does retirement planning look like now?

8:37 – A brand new chapter in life

13:15 – Pillar #1 health

17:19 – Pillar #2 family

19:36 – Pillar #3 purpose

21:23 – Pillar #4 finances

MORE INFORMATION: https://www.flemingfinancialservices.com/podcast

View Details

When it comes to understanding our finances, it may be easier to use comparisons when grasping new concepts. Financial literacy has become a lot more important as retirement has become more complex. Instead of relying solely on a pension or Social Security, you probably have various retirement tools to keep track of now.

On today’s episode, we are going to help you expand your financial literacy by breaking down some comparisons between a healthy lifestyle and a healthy retirement plan.

A lot of us struggle with assessing risk and uncertainty. Understanding is crucial to making wise decisions that will positively impact your future. With a steady bull market for the past decade, it’s no wonder investors are confused about the appropriate amount of risk they should be taking on. To understand this better, let’s compare it to your health. We all know the basics to be healthier: avoiding empty calories, working out, eating healthy foods, etc.

Empty calories come from things like donuts and soda. They taste good, but they don’t have a lot of nutritional value. In the financial world, empty calories come in the form of heavy and complex plans. You don’t always need a large retirement plan. A plan that you understand and are comfortable with is the best plan.

Drinks with added sugar aren’t great for us. Financially, this can look like hidden fees. While fees are a normal part of the financial world you should never feel misled. Don’t be afraid to ask questions about fees from your advisors and your investments.

Trans fats in retirement planning can look like taking on too much risk. You may be tempted by greed to continue to increase your risk for a bigger reward, but the market won’t keep going up forever.

The best way to avoid these unhealthy habits is to practice being content with what you have. Working with an advisor and constructing a plan that you can have confidence in can help you stay healthy and happy as you plan for retirement.

TIMESTAMPS:

1:08 – Easter party

2:36 – Does experience matter?

5:26 – Need for financial literacy

8:38 – Correctly assessing risk

11:20 - Empty calories

13:47 – Added sugar

15:10 – Trans fats

16:36 – Artificial sweeteners

MORE INFORMATION: https://www.flemingfinancialservices.com/podcast

View Details

As you approach retirement you may notice some milestone birthdays coming up. What important ages do you need to mark on your calendar? On today’s show, we’ll break down some key birthdays that will impact your retirement plan.

Age 50

Once you turn the big 5-0 you are eligible to start saving through catch-up contributions. This valuable tool is important if you feel behind on your retirement plan. You’re entering the final stretch of retirement and being able to save a bit more is always helpful.

Age 55

If you have a retirement account with your employer and decide to leave that position you can withdraw early from that account without penalty. Keep in mind though, it’s only the 401(k) with that employer that's eligible and it will be taxed.

Age 59 ½

At this age, you can start taking from any retirement account without penalty. You can do a lot of planning during this time and move money around or start taking that money out to live on.

Age 62

Many people watch this age closely as it is the earliest you can start taking Social Security. But should you? It is a reduced benefit at 62 and the longer you wait the larger the benefit will be. So, whether you take Social Security or not at 62 will depend on your plan.

Age 65

This is when you can enroll in Medicare. If you are still employed and have an employer-sponsored plan, you’ll have options. Otherwise, you’ll enroll in Medicare at 65.

Age 66 through 67

Depending on your birthday when you turn 66 through 67, you’ll be at full retirement age. This means you can start taking Social Security without any penalty.

Age 70

As an incentive for people to delay their Social Security benefits, each year you wait to take it adds to your benefit. Up till age 70, your benefits go up 8% per year. This means you’ll get the maximum benefit.

Age 72

From 59 ½ to age 72 you can take money out of your retirement accounts, optionally. But once you turn 72 you must take the required minimum distributions. In the first year, you’ll have a grace period, but you’ll want to plan for RMDs to avoid penalties.

Whatever birthday you are coming up on is the most important. It’s never too late to start planning for the future and for your retirement. If you are curious about how your plan is going or you want to make sure you are prepared for your next milestone birthday, give us a call!

TIMESTAMPS:

0:12 – Having a milestone birthday

1:31 – Milestone birthday party

2:36 – Age 50

3:47 – Age 55

5:54 – Age 59 ½

6:32 – Age 62

7:30 – Age 65

8:54 – Age 66 and 67

10:17 – Age 70

12:10 – Your next birthday

15:59 – Housing questions in retirement

18:55 – “Should I pay off the house quickly?”

20:38 – “How much money do you need to live on?”

MORE INFORMATION: https://www.flemingfinancialservices.com/podcast

View Details

We all go through chapters in life, especially as we approach and enter retirement. On today’s episode, we are going to discuss some age-related questions many pre-retirees and retirees have. Which ages are most important when it comes to your retirement plan?

Peg and Paul have already started Social Security, but regulations ended up changing their original Social Security strategy. So, Peg started taking this benefit at 62, which made for a reduced benefit. She ended up taking this lower benefit for the rest of her life despite this not being their original plan.

A lot of these regulatory changes don’t get reported on and this couple was doing their planning on their own. What they had set in place accidentally became set in stone. That’s why we encourage planning early and with an advisor that can keep track of regulatory changes for you.

Larry’s been working for the same company for 32 years. He wants to retire but is not 59 ½ yet, the age you must be to take out money from your retirement accounts. Is he stuck working until then?

There could be various options available for Larry. If he separates from his company there’s a rule that allows him to take money out of that employer-sponsored 401(k) after the age of 55.

So, he won’t have to wait until 59 ½, but this rule only applies to the company he retired from. If Larry has other accounts though, he’ll have to wait.

Steve is worried about his mother living on her own. He’s wondering if it’s a smart move to have her sign her house over to him instead of selling it when she needs to go into long-term care?

From this question, it sounds like Steve is hoping to retain his mother’s home and have the state pay for her care. But there is a five-year lookback. If this is five years before you think she’ll need care, you may be okay but if it’s going to be a sooner transition her home will be considered.

As we go through these changes in life, it’s always nice to sit back and reminisce. Retirement planning and life itself can be confusing, but you don’t have to navigate these questions alone.

TIMESTAMPS:

1:26 – Chapters in life

4:00 – Taking Social Security at 62

9:39 – Withdrawing money at 59 ½

13:37 – Buying my mom’s home

17:22 – Reminiscing through life

MORE INFORMATION: https://www.flemingfinancialservices.com/podcast

View Details

What are some signs you are in good financial health? When it comes to planning for retirement, we don’t want to rely on beginner’s luck. On today’s episode, we are going to discuss how to recognize when you are on the right track and how you can stay on the pathway to financial freedom.

You spend less than you make.

If you’re working and spending less than you make and putting money away for the future, that’s great. Even in retirement, a good sign of financial health and longevity is spending less than what you’re bringing in.

You understand the future tax implications of your savings.

Inevitably, we are all probably going to be faced with some kind of tax surprise in our lifetime. But we can better prepare ourselves for our tax bill in retirement if we understand these implications ahead of time on our retirement accounts.

If you’re married, both you and your spouse know enough about the retirement plan to be able to manage it if something were to happen to one partner.

This might be an obvious one to some of us, but you would be surprised how many couples rely on one partner to organize the finances. Pensions, life insurance, and Social Security plans are all things both partners need to be aware of. Do both of you know when and where you are taking income from?

You have a retirement income plan.

A lot of people put away money for retirement without considering how they’ll take that money out. If you don’t have an income plan, how do you know how much to take out on a monthly basis? You want to be sure you won’t run out of money in the long run.

You don’t worry about your financial future.

If you aren’t worried about your financial future, then you probably have most of these covered! You know that you are covered if something unexpected happens. Good financial health means you probably don’t worry about the financial future.

TIMESTAMPS:

1:29 – Being on the right track

2:40 – Spend less than you make

4:25 – You understand your tax implications

6:42 – Both partners know the retirement plan

9:06 – You have a retirement income plan

11:39 – You don’t worry about your financial future

12:52 – Once you are in the financial red zone

15:00 – Retirement date risk

17:01 – When is retirement planning easier?

19:37 – You’re more likely to be out of debt!

20:16 – You’ll know what you want to do with your life

MORE INFORMATION: https://www.flemingfinancialservices.com/podcast

View Details

What similarities do baseball and retirement planning share? On today’s episode, Nancy and her husband Brian will compare some basic baseball principles to retirement planning, which are surprisingly similar endeavors.

When you go to a baseball game you are probably hoping to see a home run or two. As we know though, the way to win a game has a lot more to do with the little steps and strategies baseball players take than the big glory shots. The single and double hits matter too. A strong retirement plan is built the same way. It’s not always the biggest score that matters the most. The more people try to hit a home run, the more they tend to strikeout.

In baseball, it’s not always about appearances. A lot of the time new players come in looking great for a few years but they tend to not last as long as some more reliable players. Similarly, there might be flashy investments out there but will they have those reliable returns?

Coaches and managers often look for 5 tool players. These are the most skilled and reliable players on the market. They can run, score, hit, cover the field, and throw. In retirement, you also need to focus on 5 important parts: your emergency fund, an income plan, long-term growth, a plan for healthcare or long-term care, and longevity.

Every great baseball team has a great coach and managers. When planning for your future having your own retirement coach can help guide you. An advisor can help you understand what kind of coverage you need, your retirement tax bill, how much you should save for healthcare, and much more. A coach guides the players to win the game, an advisor can guide you to win at retirement.

TIMESTAMPS:

1:16 – Spring training is here!

2:56 – Is a homerun the most important part?

6:53 – Not about the appearances

11:37 – The 5 tool players

17:11 – Emergency fund

18:13 – Regular income

18:47 – Long-term growth

19:39 – Healthcare and long-term care

21:05 – Keeping pace with longevity

21:37 – The importance of managers

MORE INFORMATION: https://www.flemingfinancialservices.com/podcast

View Details

Our world is full of myths. We use them to make sense of things. The financial world is no different. On today’s episode, we are going to explore some common financial myths and deconstruct the valuable information we can learn from each.

Myth #1: Shifting from stocks to bonds removes the volatility from your portfolio.

On a basic level, bonds are going to be less volatile than most stocks. But we have to remember that bonds don’t have principal protection so they depend on interest rates.

If you bought a bond and interest rates went up and you sell your bond you may end up with less money. The volatility with bonds just looks different than the risk associated with investing in stocks.

Myth #2: Once you are retired life insurance is no longer necessary.

This certainly isn’t true for everyone. Do you still have people who are depending on you financially? This might be children or a spouse. Life insurance can also be a form of protection against long-term care costs.

Myth #3: You will need less income when you are retired than you are working.

A lot of people assume they’ll be spending less in retirement but this isn’t always the case. You’ll probably have to pay for at least some medical expenses out of pocket. You also have more discretionary time to spend money.

Myth #4: You will be in a lower tax bracket in retirement. You may think since you aren’t working, you’ll be in a lower tax bracket but we often find this isn’t true. For most accounts like a 401(k) and IRA you’ll have a tax bill in retirement. It’s important to find the balance between how much money you need to live and how to keep your tax plan efficient.

Myth #5: Financial planning is easier to do without a professional. Some people think planning is easy and accessible in today’s world with our technology and knowledge. But saving for retirement is becoming more and more complex. Having an advisor can help you address nuances in your plan and prepare for the possibility of longevity.

TIMESTAMPS:

1:21 – Where do myths come from?

2:40 – Shifting from stocks to bonds is less risky

5:42 – Once you retire you no longer need life insurance

7:26 – You will need less income in retirement

10:35 – You will be in a lower tax bracket in retirement

13:02 – Financial planning is easier to do without a professional

17:40 – Looking for easy answers

MORE INFORMATION: https://www.flemingfinancialservices.com/podcast

View Details

The old saying goes “This Isn’t My First Rodeo.” We've seen similar rising gas prices in the 70s and 80s. It feels like it’s going up almost every day or so now. Adding this to inflation in the grocery store we are faced with more and more uncertainly in the market. A lot of people are rethinking traveling and employees that have to commute are feeling the pinch in their wallets. Because of this turbulent time, we are going to take some time to answer some of your questions when it comes to retirement planning.

Doug in Clean Creek says his company is not allowing him to move his 401(k) into an outside account. He’s heard of a lot of people doing so, but how does this work?

401(k)s have some broad rules, many of which are put in place by your employer. As far as the government is concerned there is no regulation on when you can do a rollover. What you have to be aware of then is what rules your employer has in place.

Commonly, people are eligible to roll over their own contributions at 59 ½. Others can’t roll over anything until they leave their employer. Often times if your employer is matching your contributions, you won’t be able to roll over that money until you leave your job.

Doris is in the middle of a divorce after 30 years of marriage. Will she be better off getting half of her husband's 401(k) or half of his pension?

Pensions can give a lot of people a sense of comfort and security in the form of a secured income. If you take the Pension, you could live off those payments and your Social Security.

You can sit down and calculate how much you’ll get with both benefits. However, if you are working another 10 years you can’t guarantee how much money will be put into your husband's 401(k). If you like the form of a guaranteed income taking the pension may be the better option.

James is wondering if he should change how much he is saving with interest rates going back up? He hasn’t been keeping much in the bank recently because of the historically low rates.

To determine this, we have to look at your age and need. If you are already retired, the recommendation is to have at least 6 months of living expenses in your savings account. The same rules apply if you are working. You want to keep pace with inflation but you need to ensure your emergency savings can support you if necessary.

TIMESTAMPS:

1:45 – At the rodeo

3:35 – Be aware of the history

8:40 – “How do I roll over my 401(k)?”

12:00 – Avoiding the snow

14:51 – “Half of my ex-husband's pension or 401(k)?”

19:25 – “Should I change how much I am saving?”

MORE INFORMATION: https://www.flemingfinancialservices.com/podcast

View Details

On today’s episode, we are going to have some fun and answer a potpourri of financial and retirement-related questions. We will explore some of the questions sent in to the show and how they relate to your financial future.

Pat asks “I have two old 401(k)s, is now a bad time to roll them over?” We are going to assume your 401(k) is inside of mutual funds. If you are immediately going to sell and put it somewhere else, there won’t be much of a big-time gap. In that case, it probably isn’t a big problem.

But if you were thinking about waiting for the market to recover before putting it into a Roth you want to be careful and discuss this with your advisor.

Lucy says, “As part of my divorce settlement I am receiving a portion of my ex-husband's pension for as long as he is alive. Should I take a life insurance policy out on him in case he dies before I die?”

If Lucy’s ex-husband dies before her, she could lose a big portion of her retirement income. If he is insurable and can afford it a life insurance policy would be a great way to protect herself.

In some divorce settlements, we see life insurance policies that cover this kind of situation. We don’t want to have anyone left with a big gap in their retirement income.

Chris says, “I owe $21,000 on my truck, but it’s the only debt I have. I just turned 59 ½ and I can take money out of my 401(k). Should I take a withdrawal to pay off my truck?”

What type of interest rate do you have on the truck? How long until you pay it off otherwise? Is there a pressing need for you to have no debt?

You need to consider these questions against your 401(k) earning and the tax bill you’ll owe. As you enter the retirement red zone, these decisions can become a little dicey, so you’ll want to consider the best decision for your situation with your advisor.

Rose asks, “How much is too much to spend on our forever home?”

The right price to pay for your forever home is going to depend on your retirement lifestyle. Let’s suppose you want to travel. Having a house without a large mortgage frees up money for travel and hobbies. A smaller home would be great for these retirees.

Other retirees want to be active at home. Do you want to do a lot of entertaining and host family and friends in your home? In this case, a bigger home might be the right fit. There isn’t a universal “correct amount” to pay for a home. You have to decide what will make you happy in the long run.

If you ever have questions similar to these and want more in-depth and personalized advice give us a call and we’d love to discuss your personal retirement future!

TIMESTAMPS:

1:41 – Putting together a community event

2:48 – “Is now a bad time to roll over my 401(k)s?”

4:21 – “I am getting a portion of my ex-husbands pension; should I take a life insurance policy out on him?”

9:00 – More about our community event

11:45 – “Should I make a withdrawal from my 401(k) to pay off my truck?”

15:30 – “How much is too much to spend on our forever home?”

MORE INFORMATION: https://www.flemingfinancialservices.com/podcast

View Details

The FIRE Movement started back in 1992 after the book Your Money or Your Life detailed the steps to financial independence in a new light. FIRE stands for financial independence, retire early. This lifestyle was characterized by saving 50% or more of your income.

Now that seems like a lot! But followers of this movement highlight the importance of optimizing their money to achieve happiness and leveraging their assets to achieve financial independence as early in life as possible. While much of this philosophy may seem extreme, there are some valuable things we can learn from the FIRE model. Many retirees save their entire life for retirement but are content not spending all of it down to the last dollar. Similar to a budget, with FIRE you track every dollar you spend.

With this mindset you buy what you need and nothing else. With less to buy or maintain, you save a lot of money. While the FIRE movement may not fit everyone’s lifestyle there are valuable money lessons to learn from this mindset.

Some people want to retire as early as possible. While others, enjoy their career and may spend a little more now and retire later in life. At the end of the day, the FIRE movement’s biggest lesson is about learning to be happy with what you have.

TIMESTAMPS:

0:21 – The FIRE Movement

5:24 – Having a similar mindset

7:10 – Tracking every dollar you spend

9:45 – Buy what you need and nothing else

11:12 – Wanting to retire later in life

15:40 – The generational cycle

MORE INFORMATION: https://www.flemingfinancialservices.com/podcast

View Details

You may not realize it, but most of us hold an engrained bias about money. On today’s episode, we’ll break down a recent study by Morning Star, that details why people make the decisions they make when it comes to their finances. How much could a money bias be costing you?

Everyone has their own attitudes about money. Those with a present bias focus on living today rather than contemplating long-term outcomes.

People with low a low level of present bias were three times more likely to spend less than their monthly income and seven times more likely to plan for the future. If your goal is instant gratification, you may be losing out on money.

Another common bias is base rate neglect. This is where you are judging the probability of something happening based on new information while ignoring the original assumption. We see this with over-selling and buying in investing. Those with a high level of base rate neglect generally have lower savings.

With overconfidence, we see people put too much weight into making their own financial decisions. Confidence is great, but you need to step back and look at things realistically. In contrast, those with a loss aversion bias are extremely fearful of losing money relative to the gains that they may get.

The study showed that respondents with lower financial bias experienced a healthier financial life. As Abraham Lincoln once said, “I am a slow walker but I never walk back.” One of the things we can do to change our financial mindset is to put speed bumps in our decision-making process. This can protect you from impulsive and emotional decisions.

It’s always a good idea to take some time for introspection and contemplate where you may be missing gaps in your retirement plan as a result of pre-conceived financial biases.

Morning Star Study: https://www.cnbc.com/2022/01/14/98-percent-of-americans-have-at-least-1-money-bias-study.html

What we discuss in this episode:

1:24 – Having a money bias

3:30 – 98% of us have a money bias

3:52 – The present bias

5:23 – Base rate neglect

6:26 – Overconfidence

7:09 – Loss aversion

7:50 – Having a lower financial bias

8:40 – Low level of present bias

11:06 - High levels of base rate neglect

13:30 – Putting speed bumps in your plan

14:28 – Trying to be objective

Get additional financial resources here: http://flemingfinancialservices.com

View Details

This time of year is filled with hearts, flowers and candy as we show our love for those closest to us on Valentine’s Day. It’s one of our favorite days of the year, but it can also be a reminder of negative feelings for others.

As we approach another Valentine’s Day, we wanted to spend some time talking about marriage and money. As most people are aware, money is often one of the top contributors to issues within a relationship. On this episode of the podcast, we want to talk about the primary problems that we see and how we help our clients improve their relationships with money.

The first issue that comes with money in a relationship is power. This power can emerge due to a few different dynamics. The first is when one spouse works and the other doesn’t. Another time this happens is when one spouse makes much more than their partner. And the other most common scenario where power plays come in is when one spouse’s family has much more money than the other.

When power plays into the relationship, it often leads to the one spouse making the money decisions for the couple. Many people will opt to use a joint account and think that will solve the problem, but that doesn’t always work in a power play situation.

Children are the next area where financial disagreements can often creep in are with children. Anyone that’s been blessed with a child knows how expensive it can be, but the arguments start to arise when you get beyond the necessities. How many toys do they need? Can you afford certain schools or extracurriculars? Does one spouse need to cut back on working hours? What’s the best way to take care of your child? All these money discussions will come up at one point or another.

The third issue we’ll discuss on the show is how to support extended family. This is one that the sandwich generation is facing all the time. They are having to decide how to support both parents and children and that puts a lot of stress on your own retirement.

With all of these, we always start with communication and honesty. Talk through how you feel and what you believe because both partners in a relationship need to be on the same page. Approach things with empathy and set your ego aside, and you’ll have much more success.

Make sure you listen to the full episode to hear everything we talk about. If there’s anything you want to discuss further, please get in touch and we’ll be happy to help.

What we discuss in this episode:

2:02 – Our annual couples and money show

3:32 – Some perspective on how blessed we are

6:25 – First issue: Power plays

8:43 – Second issue: Children

10:23 – Third issue: Extended Family

12:45 – How to handle these issues

15:11 – Dealing with debt

17:08 – Financial personalities

19:50 – Ego

Get additional financial resources here: http://flemingfinancialservices.com

View Details

Any sports fan that enjoys football knows how important the red zone is for their team’s success. If the team is able to execute and limit their mistakes, they’ll have a better chance at scoring a touchdown and maximizing their chances to win.

That same idea can be applied to your retirement as well. We call it the financial red zone and it’s the final 5-10 years before retirement and the first 5-10 years in retirement. This 20-year period is crucial for your financial health and long-term success, but it’s also a time where mistakes are magnified.

The truth is that time is no longer on your side when it comes to money. The investing strategies you used when you were in your 20s and 30s don’t apply anymore because there’s less time to make up for missteps. And that’s why we work diligently with our clients when they enter the financial red zone.

We want to ensure that we aren’t making the same mistakes that retirees before us made, and we can take lessons from 2000 and 2008 and apply them to our own finances moving forward. When it comes to the mistakes that happen in the red zone, one of the most common things we see is people trying to ramp up their investments in those final few years to try to squeeze out as much as they can before they stop working. But returns aren’t guaranteed and we saw that during the financial crises of the past two decades.

The next mistake we see is heading into retirement and that next chapter of life is doing so without a plan. You might have been able to slide by most of your career without putting one in place, but failing to have a plan now creates a lot more risk for yourself. Items like Social Security, healthcare, and RMDs that you haven’t needed to worry too much now need your attention. A financial advisor can help you prepare for everything you know you’ll need in retirement along with the things you can’t predict.

If you’re someone that’s been proactive with planning throughout your career, it will pay dividends in the red zone. Not only will it be a much less stressful process, but you’ll have a strong grasp on much of your finances. Let’s say you decide to retire early. It’s more manageable if you’ve already started the planning. Plus, predicting retirement income streams gets easier and easier as you closer to retirement and you’ve already gotten a jump on that as well.

There’s plenty more we’ll discuss with clients when they come in to meet with us in the red zone but these are some of the things to be thinking about. If you’re approaching retirement and want to get started on these items, get in touch and we’ll be happy to help.

TIMESTAMPS:

1:38 – Birthday party

2:39 – Being careful close to retirement

4:07 – The football comparison

5:44 – What is the Financial Red Zone?

6:17 – Mistakes we see

9:54 – Not having a plan

12:46 – Being proactive

15:54 – Eliminating debt

17:26 – Know your net worth

22:02 – Everyone’s situation is different

MORE INFORMATION: https://www.flemingfinancialservices.com/podcast

View Details

A lot has changed since last year. On today’s episode, we’ll be discussing the current state of the economy and how we can protect our plan as we look forward into 2022.

Taxes

Taxes are the big elephant in the room. We see politicians changing tax rules quite a bit. The advantage we have this year comes with the midterm elections. We probably won’t see tax hikes before the election.

Spending

If we look at the economy, a large percentage comes from spending. As a way to stimulate the economy last year, stimulus checks went out to Americans. Going forward, it doesn’t look like spending will slow down. Consumer net worth has actually increased. Power has also shifted back to employees through the Great Resignation. However, inflation is still going to have a big impact, especially when compared to wage growth.

Inflation

Inflation has hit historic highs of over 7%. Inflation may be peaking soon, but we have to remember that doesn’t necessarily mean we’ll see prices go back down. They could stay where they are. No one is predicting those prices are going to go backward. We have to be flexible when it comes to our plans and protect our future purchasing power.

Realistic Expectations

As we go forward into the new year it’s important to set realistic expectations. Stocks normally don’t rise as much as they did last year. Inflation can be a silent killer to your retirement plan. Bull markets can last a long time. The media doesn’t report good things. All of these are important to keep in mind.

TIMESTAMPS:

1:38 – Last year

3:10 – Tax changes

5:15 – Spending

8:16 – Inflation

10:31 – Economy growth

12:56 – Stock market

13:48 – Going to Maui

17:38 – Back on our own

19:31 – Realistic expectations

MORE INFORMATION: https://www.flemingfinancialservices.com/podcast

View Details

Have you ever said something you’ve come to regret? There are a lot of statements about retirement we may make and look back on with second thoughts. Let’s take a look at some of these statements today and discuss some better ways to think about these topics.

“I said I would get out of the market if I recovered my losses. But now that I have, I think I will continue doing what I’m doing.”

A lot of people probably told themselves they’d get out of the market if they ever recovered what they lost in 2008. Now that the money they’ve lost has been recovered they may have second thoughts on this approach.

When it comes to the market, people tend to have short memories. In 2000, a lot of people took this approach. They regained their lost money, but then 2008 hit. We don’t know when the market will dip again. We must act in a disciplined manner.

“Pigs get fed and hogs get slaughtered.”

When it comes to our decision to pull out of the market. Look at your accounts and ask yourself whether the money you have will be efficient for you to live on. If yes, you might want to reduce risk or exposure. Or if the volatility of the market has become too much for you to handle think about whether you can cut back on how much you are putting into the market.

“I like the security of cash, at least I know I won’t lose it.”

Having a comfortable reserve of cash is great, but if you are too conservative you could find yourself falling behind when it comes to inflation. It can impact the quality of your life, a lot.

There is security in not losing your cash in the market, but you are losing money on taxes and in your purchasing power. The cost of living is going to go up regardless. There are ways to protect yourself and still keep up with inflation.

“Nobody in my family has lived past 75, so I won’t either.”

Maybe it’s not common for your family members to live past 75. But this doesn’t mean you won’t. You may think you’ll only live 10 or 15 years into retirement, but we can’t predict the future. It’s better to over-plan than under plan. Don’t put an arbitrary date on your life!

“I won’t ever go into a nursing home.”

You can probably imagine how often this is said. The reality is many of us don’t want to face this situation. There are some things out of our control. We hope for the best, but let’s prepare for the worst.

If you do end up in an assisted living facility it will cost you financially. So, it’s better to prepare. There’s a lot of options out there to pay for long-term care and we can help you find something that will fit your situation.

What we discuss in this episode:

0:20 – “I’ll keep doing what I’m doing in the market”

3:40 – “Pigs get fed and hogs get slaughtered”

5:27 – “I like the security of cash, at least I know I won’t lose it”

9:57 – “Nobody in my family has lived past 75, so I won’t either”

13:44 – “I won’t ever go into a nursing home”

For more, visit us online at http://flemingfinancialservices.com

View Details

With the new year comes fresh starts. Maybe you are thinking of changing careers or retiring early. A recent Forbes article names the rise in people quitting their jobs the “The Great Resignation.” On today’s episode, we’ll explain this term and what it can mean for your retirement.

4.2 million people quit their jobs in October of 2021 alone. A lot of workers were able to re-evaluate their working lives these past few years. Many don’t want to commute back to the office. People are starting to value new priorities when it comes to working. If they are forced with the choice, many are choosing to retire early rather than return to the office.

Social Security Impacts

Whether you are changing jobs or retiring early you should think about how it will impact your Social Security.

If you spend time unemployed that’s money you are not putting into Social Security. This can impact how they calculate your payments later on. Develop a plan to cover this income loss if you need to.

401(k) Impacts

A significant amount of people took money out of their retirement accounts in 2020. Most of them did it to cover living expenses. If you are doing this as a respite from work, know this may harm your long-term retirement plan.

If you do have the opportunity to change jobs, should you leave your 401(k)? We generally recommend rolling it over to an IRA. With an old employer, it’s harder to manage and you can be subject to new fees. Oftentimes people even forget where their 401(k)s are.

You’ll also want to consider employer matching programs too. Is your current employer due to match your contributions? How long will it take for your new employer-sponsored plans to take place?

When you are making these big changes, you want to ask the right questions. Asking your advisor about retiring early is a great place to start.

Forbes Article: https://www.forbes.com/advisor/retirement/great-resignation/

What we discuss in this episode:

1:17 – Forbes article on “The Great Resignation”

3:20 – 4.2 million people quit in October

5:45 – Everything has a ramification

7:12 – Social Security impacts

10:32 – 401(k) impacts

11:53 – Procrastination quote

13:23 – Rolling over your 401(k)

16:15 – Will your old employer be matching?

19:22 – Medicare and health insurance

For more, visit us online at http://flemingfinancialservices.com

View Details

Do you have your 2022 goals and resolutions ready? Even if you can’t keep up with all of these throughout the year, try revisiting them and see how you can implement them within your life and financial plan.

Reduce Your Debt – This one is different for everyone. Whether you have student loan debt, consumer debt, or another type of debt it’s always a good idea to pay down debt.

Increase Your Savings – Once debt is out of the way this is much easier and can be done in a variety of ways. You’ll need both emergency and long-term savings. You can also save more in your retirement accounts.

Prepare for the Unexpected – If 2020 and 2021 taught us anything, prepare for the unexpected. Do you have a strong emergency savings?

Establish a Spending Program – Not everyone likes the word budget. So, let’s call it a spending program instead. What are your spending goals for different parts of your life?

Check Your Spending – Try to do this once or twice a year. Assess where your money is going and whether it aligns with your values.

Check Your Beneficiary designations – People will set their beneficiary designations and forget to update them later in life. Don’t do this! This often isn’t time-consuming at all.

Have Tough Conversations – Have you discussed long-term care with your spouse? Have you explained to your family your health care wishes? Even if you are perfectly healthy, these are tough conversations to have but they are necessary to protect yourself and your family.

Review Your Insurance – Do you have too much coverage or too little? Now’s a great time to look at your policies and how they match your needs. Car insurance, house insurance, health insurance, life insurance, etc.

Think About Refinancing – Interest rates are going to go up. Have you thought about refinancing? It won’t be a good fit for everyone, but it’s something to consider.

Organize Your Financial Life – Whether you like to organize with a binder, file cabinet, or in another fashion, get your important information organized. Make sure a trusted person knows where your account information and passwords are as well.

Check Your Credit – If you haven’t checked it in a while, do so! You get free reports every year. Make sure everything is in good standing.

Check Your Fees – What are the fees on your investments? Anything you own? Subscription services? If you are concerned about your investment fees ask yourself if they are worth it and discuss them with your advisor.

Review Your Tax Bracket – We’ll do this one in a few months again, but if you review your tax bracket now it can save you from being surprised later.

Plan Your Retirement Transition – You may have some time off during this time of the year. Do you like being off? What will your transition into retirement look like? Some people prefer retiring slowly and getting a part-time job. Others have plans to travel.

Consolidate Your Accounts – If you have multiple accounts, now may be the time to consolidate them. Having everything in one place helps with visualizing your finances.

What we discuss in this episode:

1:20 –Revisiting and reassessing our goals

2:57 – Reduce your debt

4:00 – Increase your savings goals

5:09 – Prepare for the unexpected

5:51 – Establish a budget or spending program

8:00 – Check your spending

8:51 – Time flies

10:09 – Check your beneficiary designations

11:17 – Have difficult conversations

12:04 – Review your insurance

12:34 – Think about refinancing

13:04 – Organizing your financial life

14:04 – Check your credit

14:17 - You can always begin again

14:31 – Check your fees

15:10 – Review your tax bracket

15:37 – Plan out your retirement transition

16:31 – Get excited about the future

17:39 – Consolidate your accounts

For more, visit us online at http://flemingfinancialservices.com

View Details

Christmas is just around the corner! On today’s episode, we’ll be discussing some of the things we can do as a gift to ourselves when it comes to retirement planning and our finances.

Don’t Overreact to the Headlines

Headlines come in a variety of forms. Make sure you aren’t overreacting to what you hear or read on the news. Particularly if it’s political or financial. Stay calm within yourself and make sure you are looking at things from a clear perspective. A lot of financial news is designed to get an emotional response from you.

Look for More Donation Opportunities

If you are charitably inclined, donating can be a tax-efficient opportunity. There are a lot of chances to help the poor, to help foster care, and more. No one is ever hurt by giving to a qualified charity. If you have a giving heart this is a great way to give back to the world.

Share Your Knowledge and Listen to More Episodes

If you are working with a financial advisor or if you’ve learned some helpful tips about planning for retirement this year, make sure you share your knowledge! This isn’t about stock advice but about sharing good resources. You probably know a lot of people that are facing big financial decisions, help them become a little more financially literate. It’s also a great time to go back and listen to more episodes of this podcast to refresh your own financial literacy.

Think About Legacy Planning

As we gather with our families this year think about your legacy plan. Is your will in place? Will you need a trust? Have you put in your power of attorney? Think about this for your own financial well-being and for your family. Sometimes people forget legacy planning is an ongoing process. You need to keep your plan updated.

We appreciate the year you have spent with us. Thank you for listening and sending in your questions. We wish you a Merry Christmas!

Resources for Giving:

https://azdor.gov/tax-credits/contributions-qcos-and-qfcos

https://azdor.gov/tax-credits

What we discuss in this episode:

1:28 – Trip to California during Christmas

6:29 – Don’t overreact to the headlines

8:42 – Look for more donation opportunities

11:10 – Share your knowledge

14:01 – Listen to more episodes

14:28 – Think about legacy planning

For more, visit us online at http://flemingfinancialservices.com

View Details

After paying into the system throughout your working career, many people believe that their Social Security benefits will be tax-free income in retirement. But the truth is you could end up owing quite a bit more depending on what other income you are generating.

We recently received a question from a couple that was trying to decide when to claim their Social Security if the other spouse wants to continue working. It’s a great question and one that needs time and attention so we’re glad this came into the show.

So the question is essentially this: will a spouse’s income impact the Social Security benefits for the other partner? Throughout this episode, we will dive into the different considerations and help you understand how the taxes are calculated. There are many different factors and it can get pretty complex.

One thing we want to make sure you know about is provisional income. It’s a word you’ll be using quite often once you start receiving Social Security so you’ll become more familiar with this. Nancy will explain it all in the show so listen through it, but once you determine provisional income, then you can determine how much of a person’s Social Security will be subject to tax.

One thing to remember is that 15% of your Social Security will always be tax-free and the rest of the benefit will be subject to tax based on the other income you have coming in. The key is having someone that can do the calculations and help you make the best decisions with income planning.

There’s a lot to this conversation so you’ll want to listen to the show but if you have any additional questions about what we discuss, please let us know.

What we discuss in this episode:

1:41 – Garden update

4:27 – Email question about Social Security

6:45 – Provisional income and what it means for taxes

10:11 – Another Social Security question

13:05 – Income scenarios and tax brackets

16:29 – Question about working into retirement

18:55 – Christmas memories

For more, visit us online at http://flemingfinancialservices.com

View Details

We all have some sort of understanding when it comes to personal finance. If you’re reading this or listening to the podcast, you’re probably above average when it comes to taking care of your money.

But there’s more to it than most people assume. Personal finance refers to how you manage your money and how you plan for the future. It’s not just the budgeting side of things. And when you take care of your personal finances, you’re setting yourself up for retirement success.

We’ve had a number of clients come in recently and tell us they want to retire early. Things have been going better than anticipated and they wanted to find out if that early retirement would actually be within reach. As we go through someone’s personal finance, we can see how much they’re spending and whether any adjustments need to be made in retirement.

That’s one of the reasons we wanted to talk about it on the podcast. This show will discuss what personal finance means to the planning process with our clients and how we help them get things in order.

So where do you start? The first thing that’s important to do is to determine your net worth. You do that by subtracting everything you owe from everything you own. Whatever is left over will drive your net worth figure. Now, we wouldn’t include the home in the net worth value and put that towards retirement because you always need a place to live. You might, however, be able to apply value to your net worth if you’re thinking about downsizing.

From there we enjoy helping clients put together a spending plan (or budget). This will help you determine where your money is going because you can check for leaks as well as plan for big-spending items.

The next thing we want to discuss is recognizing and managing your lifestyle inflation. This is a phenomenon where we see most people spend more as they move up in their careers and earn more. They are almost correlated because we spend what we have, right?

When you do each of these things, you’re able to really get a firm hold on your personal finances. We go into more detail on the show so have a listen when you get a chance. If you have any additional questions about what we discussed, please contact us.

What we discuss in this episode:

0:27 – Why this topic today?

3:05 – Crunching the numbers

4:42 – Starting point

7:32 – Developing a budget9

9:02 – Recognizing lifestyle inflation

11:30 – Clients wanting to retire early

For more, visit us online at http://flemingfinancialservices.com

View Details

Are you spending your money in a way that makes you happy? We all know the saying, "money can't buy happiness". However, studies have shown that the way we spend our money really does impact our overall happiness. On today's show, we will be going over some spending principles and their impact on our life. A lot of people win the lottery only to find out they are still unhappy once they are rich. So, what is the secret balance? You can't just throw your money against a wall.

Buy more experiences and fewer things.

Buying that new pair of shoes or the latest TV model may make us happy for a little bit, but that feeling is usually fleeting. Spending money on experiences, whether you are traveling or trying a new restaurant with a loved one can be much more valuable to our hearts. Studies have shown we reminisce on experiences rather than things. This is a great way to build our relationships with one another as well.

Enjoy the small things.

Sometimes we need to find joy in the small things rather than the big sporadic moments in life. A special dessert, a good book, or some nice flowers. Spending small amounts of money on things that give us delight means we can enjoy these things more often.

Use our money to help others.

It seems that whenever people tend to give money away, more money comes back to them. Using your spending power to help a charitable event or to help a neighbor is a great way to build relationships and bonds. Even having enough money to retire and donate your time instead of a monetary gift can be a great way to find happiness.

Avoid overpriced protections

We've all spent a little too much on an extended warranty that we probably never used or ended up expiring by the time we needed it. A lot of people bought warranties for electronics from Circuit City, only to find them out of business. Reports show that most extended warranties are probably not worth it... However, if you do want to invest in a warranty make sure to check manufacturer offers. It could save you a little bit of money.

Delayed Gratification

Perhaps the most important spending principle is learning to embrace delayed gratification. Instead of stopping for takeout, cook. Instead of purchasing a new cell phone model, wait a few weeks to think about it. A great example of this is when people freeze their credit cards and have to wait for them to melt in order to use them. Usually, by the time the ice has melted, they no longer want to buy the item they originally wanted to! Delaying our gratification usually makes the decision to buy something much more fulfilling in the long run.

At the end of the day, how you spend your money can affect your happiness. Is your money being used to support your values and the things you care about?

Listen to the full episode for more details or skip around to certain topics.

0:21 - Does spending create happiness?

1:30 – Winning the lottery

4:24 – Money is an opportunity for happiness

6:00 – Buy more experiences

6:39 – We don’t need the most amount

9:15 – The small things

10:21 – Using your money to benefit others

12:01 – Avoid overpriced protections

15:16 – Delayed Gratification

For more, visit us online at https://www.flemingfinancialservices.com/

View Details

Happy Thanksgiving! As we enter the holiday season, we start to think of traditions more and more often. Maybe you always made cookies with your grandmother or perhaps she told you stories about the Mayflower on Thanksgiving. On today's episode, we are going to talk about the first pilgrims and their voyage. How did they face the unknown with such bravery? What can we learn from these stories today? There are probably many reasons the first pilgrims decided to come to America. Maybe it was economic or spiritual, or a mix of both. It seemed like a pretty risky move to brave the unknowns. But they were led with a purpose and by passionate men such as Pastor John Robinson, Samuel Fuller, Peter Brown, and John Goodman.

Each of these people had their own story. Many of them left their wives and children at home and sought out to find new land. Later, their families joined them. The pilgrims faced many dangers including the cold and illness. Fuller taught himself to be a physician and spent his life taking care of others. Last year was the 400th anniversary of the Mayflower. We can learn many things from these stories and apply them to our own finances and our own life. We hope you have a great holiday!

Listen to the full episode for more details or skip around to certain topics.

1:24 – The pilgrims

2:54 – Pastor John Robinson

5:20 – How did it come about?

7:02 – Let’s look at the people

10:38 – Samuel Fuller

12:19 – Peter Brown and John Goodman

For more, visit us online at https://www.flemingfinancialservices.com/

View Details

We have reached the highest inflation rate in 30 years. What can old-time principles teach us about protecting our retirement plan against inflation? How can we protect ourselves? While inflation may seem like a problem for the country's economy, it is also a problem for us personally. On today's episode, we will discuss the inflation rate, wage growth, and how retirement accounts are changing to account for current economic times.

As of October, the annualized inflation rate is 6.2%. However, wage and income percentages are not keeping up. The wage rate growth is only 4.9%. This is a problem for those still working and for retirees. Employees aren't seeing their income keep up with inflation and retirees aren't seeing their savings keep up either. In many ways, inflation is a hidden tax.

Inflation affects us differently. Whether you are a couple in your 40s with children or a retiree enjoying their retirement in a new home, what you are spending money on looks different. Some things we have to purchase though. Always remember the consumer index report may not be an appropriate benchmark for your situation. If you are in the retirement red zone, the 5 years before retirement and the 5 years after retirement, inflation and market changes will impact you more dramatically. It's always a good idea to look at your unique plan with an advisor.

What is the government doing to help? New policies are coming out that are allowing higher contribution limits to certain retirement accounts. Unfortunately, not all retirement accounts are treated equally when it comes to these policies. Currently, those with a 401(K) can contribute $19,500 a year into that account. In 2022, this limit will be raised to $20,500. In contrast, IRAs are still limited to $6,000 a year or $7,000 a year if you are older than 50. As you can see an IRA has significantly more limitations and these accounts are often utilized by self-employed workers and small companies. If you are making your own Roth contributions as a single person your income limit will be $144,000 a year. The marriage penalty limits married couples to an income limit of $214,00 a year. Inflation is affecting many of our lives. From the gas, we buy to get to work to our retirement accounts. Make sure you have a strategy against inflation in your retirement plan.

Listen to the full episode for more details or skip around to certain topics.

1:34 – Buying things with inflation

3:30 – Inflation’s impact on us

5:36 – Inflation going above wage rate

9:46 – When will this problem be solved?

14:34 – Retirement account contributions in 2022

18:51 – Marriage penalty re-instated

19:44 – Write off IRA contribution

For more, visit us online at https://www.flemingfinancialservices.com/

View Details

Last week we discussed Social Security earning limits. Whether you want to work a few hours a week or continue with your current career it's important to understand how this impacts your Social Security. You've been paying into this program. You want to make sure you have a strategic Social Security plan. After our discussion last week, we had some listener questions come in. So we are going to answer some of these "Yes...but..." questions and clear some things up about the nuances of Social Security.

"What if I work in the year I reach full retirement age?"

The full retirement age is 66 or 67, depending on the year you were born. If you are younger than your full retirement age the earnings limit is $18,960 a year. If you are at full retirement age your earnings limit is $50,520. Now, if you are working leading up to your 66th or 67th birthday the lower earnings limit only applies to the months before your birthday.

"What if my spouse retires and I continue working?"

A lot of people decide to do this. This can be a great decision for couples and it's important to understand your spousal benefit options. If one spouse retires and one continues to work, the earnings of the working spouse don't count towards the retired spouse's earnings limit. It's going to be person to person.

"Why does the government take 20% of my 401(k) withdrawals?"

It's the law, it's the way it is. Sometimes there isn't a why to our questions, it's just a rule we have to follow. Now there are ways to mitigate this or prepare for this in your plan. You can roll your 401(k) over to an IRA. Your money stays tax-deferred. Then you won't have that 20% tax deduction when you pull out. However, you need to keep in mind that this is still a tax-deferred account and when you reach the age of 72 you will have to start taking required minimum distributions and you'll pay taxes on these distributions. Whether you decide to roll over your 401(k) or not will be specific to your situation. Maybe you are still working and your company is matching what you put in. Or maybe you are fully retired. Whatever your situation is, it's best to meet with a financial advisor that can customize your strategy and plan.

Listen to the full episode for more details or skip around to certain topics.

1:19 – New phone story

3:03 – Quick review on Social Security

5:09 – Working in the year you reach full retirement age

6:21 – What if my spouse retires and I continue working?

9:08 – Should I wait to start Social Security or start sooner?

11:28 – Doing things differently than someone else

12:56 – Why does the government take 20% of my 401(k) withdrawals?

14:23 – Can I get out of paying the 20% in tax?

15:25 – Should I move my 401(k) to an IRA?

For more, visit us online at http://flemingfinancialservices.com

View Details

We have paid into Social Security our whole working lives. However, maximizing your Social Security strategy can be confusing to navigate. We want to make sure you are strategically planning your retirement income. On today's show, we will be answering some questions about Social Security. Since retirees are one of the largest groups of small business owners and entrepreneurs earning limits are important to be aware of. We will be discussing earning limits, pension impacts on those earning limits, and how divorce impacts Social Security eligibility.

What is the earning limit for those eligible to take Social Security? Well, it depends on a few factors like your age and when you file. The full retirement age is 66 to 67 depending on when you were born.

If you are attempting to take Social Security before full retirement age your earning limit is $1,580 a month or $18,960 a year. If your earnings are more than this the Social Security office takes $1 from your benefits for every $2 you earn above the annual limit.

Now, if you are full retirement age your annual limit is $50,520. They will take $1 for every $3 you earn above this limit. These limits are also adjusted for inflation and may change by the time you are in retirement.

Does a pension and investment payout count as earnings by the Social Security office? They consider these streams of income very differently. Pensions and investments go on your tax return. Combined with 50% of your Social Security income, these forms of income will determine your tax bracket and therefore your Social Security payments.

Some divorcees worry about Social Security benefits after their separation. If you were a stay-at-home parent you are still eligible for some benefits after your divorce. You can qualify for 50% of your ex-spouses Social Security with no effect on them if you are still single at the time you apply. If they pass away before you do, you can apply for 100% of their benefits. This can be confusing to navigate so don't hesitate to give us a call and we can help you develop a maximized plan!

Listen to the full episode for more details or skip around to certain topics.

1:11 – Halloween story

3:21 – Am I earning too much to start Social Security?

7:00 – What does substantial self-employment services mean?

9:15 – What happens if I am above the earning limit?

10:52 – What about a pension and investments?

16:20 – How does a divorce impact Social Security?

For more, visit us online at http://flemingfinancialservices.com

View Details

A rose by another name is just as sweet... You've probably heard this saying or a variation of it before. The names we assign things can make our perception of them different, we hold different values towards them. On today's show, we will be discussing the importance of names and values, inflation, and how we can rebrand our retirement plans.

Inflation is everywhere in the news these days. The S&P is continuing to hit all-time highs. The cost of living continues to rise. Our perception of these things is often influenced by what we hear from others but they have real impacts on our retirement plans. We keep hearing that this round of inflation is "transitory" but that isn't really true. There has been a 34% increase in money pumped into the economy over the last 18 months.

What about inflation rates? It's hard to know when the Federal Reserve will raise them. It may be in July of next year or they may wait until after the midterm elections. Whenever they decide to raise them it's likely to only be a quarter of a percent.

So, what are names? What values do we hold in them? We think of rising gas prices when we think of inflation. One example of name importance is the ValuJet crash. In 1996 their jet sadly crashed in the everglades with 110 passengers on board. Afterward, the company had a hard time selling tickets. They combined and rebranded their company with AirTran. After the rebranding they became a successful airline, eventually selling to Southwest.

We see this in today's world as well. Did you know Google's real name is Alphabet? Or that Facebook is planning to change its name? These are examples of the power of names. So, when we think of our retirement plan it may be best to rebrand our approach. Instead of setting a budget let's create a spending plan. Rethinking parts of your plan can give you a fresh vision and help your plan grow.

Listen to the full episode for more details or skip around to certain topics.

1:01- Halloween Story

2:16 – Last quarter of the year

3:27 – S&P all-time high and inflation

5:42 – Increased money supply

8:00 – Inflation rates

10:00 – If you can dream it

15:54 – Names and rebranding

For more, visit us online at http://flemingfinancialservices.com

View Details

There are many phases of change we go through in life. Retirement is one of them. Changing for Good: A Revolutionary Six-Stage Program by John C. Norcross details the 6 stages of change. On today's show, we will be discussing the first 3 stages: pre-contemplation, contemplation, and preparation. These are the mental and emotional hurdles we must go through when we make a change. Learning about the way we transition is an important tool in navigating retirement.

The pre-contemplation phase could also be called the denial stage. At this point, you probably don't even recognize there is an issue that needs to be addressed. We see this with couples a lot, one spouse wants to lock down on their retirement planning while the other doesn't see the financial problems that need to be focused on. Usually, spouses are on different phases of change and they must work as a team to make things happen.

After getting past pre-contemplation, we move on to contemplation. Here you understand there is a problem that needs to be looked into. Maybe you are spending too much on takeout or perhaps you are still supporting your adult children. In many cases, this can cause issues in your own retirement. You may not be ready to make adjustments, but you are thinking about the problem and that is leading you down the path of change. You are contemplating how these financial issues are affecting your future and your goals.

The last mental phase is the preparation phase. Now you fully understand that something needs to change. Do you want to retire early? At this stage, you are making a plan to accomplish this goal. You start saving more and structuring your plan to support early retirement. This can be an emotional part of the change, making small easy attainable goals can help keep you on track.

So how do you know where you are? Have you acknowledged a problem that needs to be addressed? Do you realize what needs to take place? It's important to ask yourself these questions and do some self-reflection. You'll want to be emotionally prepared to make the financial decisions you need to. If we want to see changes in our life, we must make changes within ourselves.

Listen to the full episode for more details or skip around to certain topics.

1:16 – A new tree

2:40 – First 3 stages of change

6:22 – Precontemplation

8:30 – Contemplation

10:06 – Preparation

11:46 – What can we ask ourselves?

16:12 – Can you do this?

17:50 – Will you do this?

21:33 – Where these stories go

For more, visit us online at http://flemingfinancialservices.com

View Details

Sometimes we need to think outside the box when we are working on our retirement plan. There are many ways to fill your income stream, some more traditional than others. Today, we discuss a few unexpected ways you could be making income in retirement.

Once you retire you have a lot more time on your hands. You’ll be able to invest more into hobbies you’ve had before or learn new ones. One client of ours had been an avid gardener for years. After retirement, she was able to perfect her growing skills. She found herself making some extra spending money by selling her produce.

Investing in a Healthcare Savings Account is sometimes overlooked by people. However, saving in this type of account can come in handy once you are in retirement. HSAs are pretty liberal with what they allow you to spend the money on, but your taxes will be affected depending on where you use the money. If you use it for healthcare, it is tax-free. If it's for another expense you can expect to pay some taxes on the distribution. Having this extra account can be really helpful if there is an unexpected health crisis and it can protect the rest of your retirement savings.

Have you thought about renting property or getting a part-time job? In the past few years, people have been building small cottages or studios on their property to rent out. With the market rough for renters, this can be a great way to earn some extra cash. A lot of people also go back to work part-time. You’ve spent your whole working life developing certain skills that can be used in a wide variety of jobs that are low stress. This is also a great way to be social and have a routine during retirement! Speak with your advisor to learn other ways you can find unexpected income streams.

Listen to the full episode for more details or skip around to certain topics.

1:03 – Things unexpected

2:58 – Making money from hobbies

6:22 – Health savings account

11:26 – Renting property

12:35 – Part-time job

14:44 – Retirement navigator

For more, visit us online at http://flemingfinancialservices.com

View Details

We talk a lot about preparing for retirement. But what about those of us that don't want to retire, at least not yet? Today, we are going to discuss why people wait to retire and what impacts their decision.

Some people really love their careers and they've worked hard to get to their current positions. But do you have a plan if things were to change? Could you retire quickly if you needed to? Companies, health, and circumstances can all change. We want to make sure if things do shift, you have a contingency plan.

The fear of boredom, once we retire, is something many of us go through. What will we do with all that free time? Instead of working full time for the foreseeable future think about transitioning to shorter hours. Look into part-time work as a way to spend a few hours a week being social and making some extra cash. You'll want to assess your quality of life at your current job and see if it can be any better.

Are you scared you don't have enough money to retire? A lot of us have an idea of how much money we need to retire, a magic number. Many of us are scared we will never get there and will continue to work to reach that goal. However, you need to re-evaluate your plan and see what your money can do for you.

How can you utilize what you currently have to retire sooner? Once people meet with an advisor and get a good retirement plan assessment, they are often surprised to be in a better position than they thought. We don't want you to continue working simply out of worry.

Listen to the full episode for more details or skip around to certain topics.

0:34 – The people not ready to retire

3:26 – When things change

5:40 – I will be bored if I retire

9:30 – I don’t have enough money

11:51 – Not confident in your plan?

For more, visit us online at http://flemingfinancialservices.com

View Details

Unfortunately, there are a lot of things out there that we shouldn't trust: some people's advice, scams, gas station sushi. The list goes on. So today, we are going to be discussing a few financial items that you may want to look out for and whether you can trust them. Don't always trust what is on paper.

This can be a difficult thing to change. It can be exciting when an advisor shows us a document with our account goals and predictions on it. But in a situation like this, you should really be focusing on your overall plan with your advisor. At the end of the day, the plan will be how you will reach those exciting numbers.

Don't trust that you are done with fees.

Perhaps you have the idea that you paid fees when you first invested. Or maybe someone told you that you won't have to pay additional fees on an investment. Everything in investing has some type of fee. But don't think of them as burdensome. By investing, you are contributing to the overall growth of your portfolio.

Don't trust money scams.

This one might seem obvious, but they can sometimes be tricky to spot. You will want to stay wise to the internet to safeguard yourself against evolving scams. If something feels suspicious, it probably is.

Don't always trust the stock market.

The stock market changes every day and it is nearly impossible to predict and time. Just because the market was down today does not mean that it will be down tomorrow. No one can really know before it happens. Your best strategy is to make sure all of your eggs are not in one basket. The market always has a lot of potential for growth.

Listen to the full episode for more details on financial things you shouldn't trust.

0:20 – Story about trust

2:03 – What are some things we can’t trust?

2:52 – Timing the market

5:09 – Being told there are no fees

6:02 – Money scams

7:55 – Can we trust the stock market

For more, visit us online at http://flemingfinancialservices.com

View Details

Last week, on September 17th, we celebrated Constitution Day. As we reflected upon the constitution and its foundational importance to the success of our country, we began to think of the foundational importance of planning for our retirement lifestyle.

On today's episode, we will be discussing our retirement lifestyle choices. After we are done working we will have a lot more free time on our hands. With more time comes more freedom to make changes that we have always dreamt about. We will discuss some ideas we have heard from clients over the years and hope that some may inspire you on your foundational planning journey.

Perhaps you are looking for a bit of adventure after retirement like a couple of our clients who have been avid marlin fishers. As they reached retirement this is something they wanted to do more often. Similarly, the RV lifestyle has become very popular within the past few years. Some people even continue this into their 80s!

Other ideas include the 'two-house solution' and the 'front porch' lifestyle. Both are about enjoying what you have. The two-house solution is one where people take advantage of two homes in different locations of the country. The front porch lifestyle is about relaxation! Enjoy your free time and have a glass of lemonade on a warm summer evening.

Lastly, we wanted to highlight the importance of following your passion after you retire. Maybe there is something you have always felt called to do. Do you want to learn a new hobby? Donate your time to a non-profit? This is a perfect time to do it. It is always wonderful when our clients volunteer and get involved with projects they really enjoy.

Whether you know exactly what you want to do when you retire or you are just starting to formulate ideas, having this foundational knowledge will better prepare you for the future. You will be able to set up your financial and retirement plans in accordance with your lifestyle goals. Listen to the full episode for more inspiration!

What we discuss:

0:55 – Constitution celebration

3:13 – Constitution principles

7:51 – Founding our lifestyle

8:15 – Marlin fishing and a second home

10:14 – The RV lifestyle

11:11 – Two house solution

13:09 – If you can dream it segment

19:27 – Front porch idea

20:29 – Following a passion

For more visit us at:

https://www.flemingfinancialservices.com/

View Details

Retirement is a crossroads in life and we must choose a path to take. With this decision comes many questions.

As the famous poem by Robert Frost details, a crossroads is a time to reflect and think over our decisions. Today, we are going to discuss three big questions that may come up when it comes to retirement and which path you should be taking.

Our first question is about taking in income while also withdrawing from Social Security. A common reason that this happens is when someone decides to retire from the corporate world and start their own business. In this situation, you will want to make sure you are setting yourself up successfully when it comes to the taxes you will have to pay.

Another question a lot of our clients ask is whether there is a way around minimum distributions on our IRAs. 70 used to be the minimum distribution age, but it has now gone up to 72. Unfortunately, there are not many ways you can avoid meeting the minimum distribution without being penalized. Although if there is a market crash like in 2008 or after the coronavirus pandemic, sometimes minimum distribution requirements will be delayed. You can also decide to donate your minimum distribution to a charity in which case you will not be taxed.

Lastly, we want to discuss IRAs that are part of an employer's 401(k). Contributing to an IRA in a 401(k) has a few perks. While individually set up IRAs have an annual contribution limit, employer IRAs don't. Sometimes employers also match up to a certain percentage. Make sure you research your IRA and 401(k) to see how you can benefit.

Whether you are at the crossroads of retirement or developing your retirement plan these questions will provide you with valuable information on making the best decisions for yourself and your future.

What we discuss on today's episode:

1:33 – The questions people face

3:15 – Social security and owning a business

5:44 – Paying into Social Security

8:15 – Required minimum distributions

13:01 – If you can dream it segment

15:46 – 401k with a roth option

For more, visit us online at http://flemingfinancialservices.com

View Details

It’s easy to become overly confident with your retirement plan. You've been working on it for many years! But there are gaps in nearly every financial plan that can blindside us if we’re not careful.

On today's episode, Nancy goes in-depth on some of the common gaps she sees in planning for retirement and how we can address them now. We know that gaps are going to happen, but if we mind them now and plan accordingly, we will be able to have a better financial future.

After we retire, we will have a lot more responsibility when it comes to our income and insurance. We need to know how we are going to compensate for the paycheck we are no longer receiving. This can mean having savings we dip into until we are ready to pull from Social Security or simply starting Social Security payments right away.

In addition, we have to account for adjustments we may see between our employer's healthcare and Medicare. Insurance is one of the biggest factors in deciding a retirement age. By calculating these differences, we can adjust our plans to create a financial safety net for retirement.

Another factor we need to talk about is inflation. Inflation has been at the forefront of many financial conversations over the past few months and it is something you will need to mind as you plan for retirement. Your plan has to outpace inflation or you will see your buying power diminish. What you pay as a consumer today will be very different in ten or twenty years. It will cost you more money to live the same lifestyle and you will need to prepare whether that is by saving more money now or adjusting how you live after retirement.

These are just some of the financial gaps you may face once you are retired. Without acknowledging gaps, you can find yourself in a situation that is cumbersome to the health of your retirement plan. If you are not saving early on for a big financial event when that financial decision has to be made, it becomes a lot more difficult. A good financial plan anticipates and incorporates these gaps in life.

What we discuss on this episode:

1:25 – Plans change

3:42 – The paycheck gap

5:35 – Insurance gap

7: 27 – Inflation gap

12:47 – ‘If You Can Dream It’ segment

15:19 – The long term care gap

For more, visit us online at http://flemingfinancialservices.com

View Details

Every year we face new challenges to our financial plan, but it seems the past year brought us more than we’re used to. The pandemic changed a lot around our country, and it’s definitely impacted the economy.

On this episode of My Smart Retirement, we want to identify some of the key challenges that are facing investors right now so that you know what to be focusing on within your retirement plan. To help us do this, we asked Michael Sorrentino, CFA, to join the show to give us his insight on the economy. Sorrentino serves as the Chief Investment Officer for Darwin Asset Management and often appears as a guest on financial shows so he can really speak to what’s happening right now.

To understand how we’ve gotten to this point, we’ll begin by discussing the Fed’s decision to increase the supply of money due to the fear of liquidity drying up. That money was sent out to people in the form of stimulus checks but most people didn’t have the ability to spend it because of the pandemic. Now we’re seeing this significant increase in money supply in the economy, which we’ll explain why that’s so significant.

If you’ve watched or listened to anyone in the financial world over the past few months, you’ve also probably heard the topic of inflation come up. It’s a big concern for people, especially retirees who are worried about how long their money will last. We’ve already started to see prices tick up due to this rise in inflation, but how much longer can we expect it to last. That’s what we’ll try and learn from Sorrentino on the show.

Each of these things affects what you do with your money. From an investment standpoint, it makes the bond market incredibly more difficult to navigate. On the other side, it makes the equity market much more attractive. So we’ve seen this shift from investors as they try to outpace inflation.

Just look at interest rates. They’ve been at historically low levels for a long time, but many people expect them to begin going up again. Rising interest rates will likely come, but Sorrentino doesn’t believe it will happen in the near term. And once the increases begin, they will be very slow-moving.

These interest rates impact many areas of financial planning, especially cash and savings. Anyone that wants to keep their money in cash and play it safe is losing out to inflation over time. That means you have to find other places to put your money, which is what your advisor can help you with.

Just think about this nugget that Sorrentino shared on the show. The last time interest rates were almost non-existent for savings accounts was during the Great Depression, and it took 34 years for cash investments to yield 3.4%. That’s a staggering fact and one that leads many to believe that there could be a similar recovery now before we reach the interest rate levels of the early 2000s.

We’ll take you through all of these challenges on the show today and talk about how you can adjust to keep your retirement on track. The good news is that there is still plenty of opportunity out there for people that are willing to reassess their investments and make adjustments to account for what’s happening in our world today.

If you have any more questions about our conversation today or want to have us take a look at your financial plan, please get in touch and we’ll be happy to sit down and start that conversation.

Check out the full episode or use the timestamps below to hear a specific segment.

1:42 – Inflation

3:15 – Money Supply issue

5:59 – When will inflation go away?

7:40 – Interest rates and cash investments

10:06 – How this impacts your budget

12:12 – Client story

14:12 – Banks not incentivized to increase interest

18:46 – Interest rates will go up

22:31 – Investing differently than 20 years ago

For more, visit us online at http://flemingfinancialservices.com

View Details

We were recently out spending time with some friends over a meal when the fortune cookies came out. As we all cracked them open to see what piece of wisdom awaited us, it got us thinking about financial fortunes.

Who’s to say that you can’t take that message of inspiration and apply it to your financial plan, right? So that’s what we decided to do on this episode of the podcast. We’re going to run through a few of the quotes from inside that crunchy cookie and apply them to real-life scenarios that we encounter with clients.

Accept something you cannot change and you will feel better.

The first thing that immediately comes to mind are taxes. It’s a frustrating topic when you start thinking about how much money you are paying and will have to pay in taxes over your lifetime, but there’s nothing you can do about the laws. What you can do, however, is start taking action to limit your tax obligations in retirement. We do this through a variety of tax planning strategies and it can save you significant amounts throughout your life.

Don’t let statistics do a number on you.

We really on numbers and statistics quite a bit in this business, but they shouldn’t always drive your decisions. Just take health and longevity as an example. If you look to your parents and grandparents to try and determine how long you will live, it could directly impact the decisions you make within your retirement plan. If you think your chances of a long retirement are low, then you could put yourself in a position to run out of money in your 80s and 90s.

A foolish man listens to his heart.

When it comes to financial decisions, you want to act with your head and not with emotions. We had a perfect example of this recently when we received a question from a client that was considering selling his home to downsize in retirement but was worried about all of the emotional connections he might lose. The worry was that he was being foolish to hang onto the house when they could save so much more by selling it. We can work through the numbers for both scenarios to determine if the tradeoff will be worth it for you.

No matter what fortune you’re dealt, it’s important to think it through and have a plan for what you want to accomplish.

Check out the full episode or use the timestamps below to hear a specific segment.

1:32 – Why this topic?

3:58 – ‘Accept something you cannot change and you will feel better.’

9:02 – ‘Don’t let statistics do a number on you.’

14:07 – If You Can Dream It segment

17:11 – ‘A foolish man listens to his heart.’

For more, visit us online at http://flemingfinancialservices.com

View Details

As we move through life every day, we devote our attention to things that seem important in that moment. In doing so, we overlook many of the things that protect us in the event of an emergency.

Hopefully if the time ever comes when you need your smoke alarm to work or your airbags to deploy, everything is working properly. The same is true when it comes to financial planning. Much of the work we do is making sure you are taken care of when life throws us those unexpected events.

That’s what we want to talk about on this episode of the podcast. By bringing attention to these things that don’t matter until they do, we hope that it pushes you to action. You’ll want to go through each of these items with your advisor to make sure everything is updated and accurate.

The list we’ll run through includes:

Legal documents
Long-term care
Life insurance
Lifetime income streams

If any of those haven’t been accounted for and you’re approaching or in retirement, make it a priority to get with your advisor. We’ll explain why each is important and what you need to know during the show.

The other topic we want to cover on this episode is possible updates to the SECURE Act. This important retirement legislation took effect at the beginning of 2020 but lawmakers are already discussing additional proposals that could be adopted in the very near future. We’ll tell you all about them and why they could impact your planning.

Check out the full episode or use the timestamps below to hear a specific segment.

1:32 – Nancy shares an unusual experience on a recent trip

5:24 – Legal documents

7:57 – Long-term care

9:50 – Life insurance

10:56 – Lifetime income streams

12:34 – ‘If You Can Dream It’ segment

17:48 – Update on the SECURE Act

18:30 – RMD age increasing

19:17 – Automatically enrolling in 401k

20:29 – Catch up contributions

21:07 – Student loan payments

21:47 – National 401k database

For more, visit us online at http://flemingfinancialservices.com

View Details

Spending habits determine much of the success you have during your working career and then into retirement. That’s why budgeting is always one of the first steps towards retirement.

But being a responsible spender is much easier said than done. Otherwise retirement planning and managing finances would be a breeze.

So how should you spend your money? Of course there’s never going to be a cookie-cutter approach that works for everyone because you will always know what’s best for yourself and your family but following the guidance we provide our clients will help you financially over time.

In this episode of the podcast, we’ll share eight different principles to bolster your life satisfactions from spending the money you’ve earned in manner that will make you feel as happy and content as possible. You might know about most or all of these things we discuss but it’s will still serve as a good reminder of what’s important.

Spending often determines how successful your retirement ends up being. That’s why we develop income plans to cover the expenses you expect to have each month. If you aren’t sure what Think about a typical day in your life and what that might look like in retirement. That will really help you get a better estimate on what expenses might look like and where you might be spending your money.

Check out the full episode or use the timestamps below to hear a specific segment.

1:34 – Why we’re talking about this today

4:00 – Smaller purchases

6:31 – Spending is a science

9:26 – Making sure experiences are broken up

9:50 – Exchange material goods for experiences

12:15 – Use your money to benefit others

14:22 – Overpriced protections

15:37 – ‘If You Can Dream It’ segment

21:11 – Delay gratification

24:08 – Consider how purchases my affect your daily life

For more, visit us online at http://flemingfinancialservices.com

View Details

Building a retirement plan requires a mix of ingredients that a financial advisor can help you create, but it’s not all about assets and accounts. There’s much more to life than wealth and that becomes more and more clear in retirement.

That’s why we wanted to share a few circumstances with people we know who were both entering retirement or already in retirement and had questions for us. The circumstances are a little different but they have that common missing ingredient that many people don’t factor in, and that’s the feeling of accomplishment.

Getting that sense of an unexpected letdown is real when you stop working. All of a sudden your days have different meaning and often lack purpose. That’s why you want to have a plan for this second life and how you’ll spend your time. The friendship and fellowship is important, but that sense of accomplishment really helps us find happiness.

Until we feel like we’re achieving something, then people won’t be completely happy. It’s a feeling we have as humans that we need to keep striving to learn and improve so when that stops, it can have an impact emotionally.

That’s why you’ll hear the stories on this episode about people we know that retired but quickly started looking for work again because they no longer had that stability and purpose that their job provided them. Going back to the office isn’t a solution for everyone, which is why you want to work through all of these things with your financial advisor. Make sure the conversations go beyond expenses and income and to what you want your retirement to look like.

We’re more than happy to have these discussions with you and help you build a plan that ensures your retirement is spent how you want it.

Check out the full episode or use the timestamps below to hear a specific segment.

0:57 – Story about Nancy’s granddaughter

4:06 – Missing work in retirement

6:03 – The need for achievement

8:01 – Unexpected letdown when you reach retirement

9:51 – Is constant seeking a good thing?

12:00 – ‘If You Can Dream It’

16:45 – New opportunities that require you to dip into your savings

For more, visit us online at http://flemingfinancialservices.com

View Details

We’ve enjoyed very low inflation in recent years but there’s a lot of concern about how much that could change in the immediate future.

There’s no question that it’s a legitimate concern and one that you need to be addressing within your retirement plan. As inflation rises, your money loses its buying power which means you likely need to build a bigger nest egg.

On this episode of the podcast, we’re going to talk about the other factors that will be impacting your bottomline. It’s not just the increase in the cost of goods that will limit the amount of money you’re able to keep in your own pocket. There’s also the other inflation that hits us squarely in the wallet and that’s taxes.

Let’s think about taxes on top of inflation. Not only do you get the rise in costs but then you have added tax to pay because of the increase in price. Over the course of a year, all these things add up to the point where it’s important to be paying more attention to this.

If you live in Arizona, you’re probably aware of some recent tax proposals but Nancy is going to update you on what’s been happening and share a few stories about local decisions. We often get caught up in national politics but what’s happening closer to home makes a much bigger difference in most cases.

So as we move forward, we want to make sure we’re not only paying attention to our bottomline but also pay attention to other increases that are happening. Are they useful? When you’re working towards a retirement budget, these added costs and fees can have a major impact.

Check out the full episode or use the timestamps below to hear a specific segment.

1:13 – Lessons learned from childhood

3:30 – Taxes

4:40 – Nancy shares a story about local taxes

9:07 – Inflation

12:04 – ‘If you can dream it’ story

14:01 – Staying on track for your goals

15:21 – Arizona sales tax

16:45 – Nancy shares opinion on tax bill

19:41 – Planning

For more, visit us online at http://flemingfinancialservices.com

View Details

The last thing anyone wants to do in retirement is worry. This time in your life should be stress-free and spent however you’d like, but that can be disrupted if your financial plan hasn’t been thoroughly constructed.

So how do you do that? Well, it starts with a good advisor who can help you take the steps to build a comprehensive plan, and that’s what we’re going to talk about on this episode of My Smart Retirement. The goal today will be to help you identify some key areas of planning and develop a better understand of how we assist clients meet their goals.

Before you can do anything, think about what your retirement will look like. How do you want to spend your time? What do you want to do? Having a good idea of what you want that next chapter to be will allow you to make decisions that will align with that vision.

Once that’s done, that’s when we find the best way to help you get there. So many people focus exclusively on saving and growing that nest egg but that’s not enough. The market investment piece of your plan is vital to driving accumulation and getting you to the point of retirement, but then it takes a proper plan to take you through that next stage of life.

One of those key considerations is Social Security. Most people will rely heavily on this benefit for their income plan, and there’s plenty of strategy that goes into deciding when to start claiming that benefit. Plus, with possible adjustments coming in the future to keep Social Security in place and funded, it’s even more important to work with an advisor to prepare for what this could mean to your future.

There’s plenty to talk about, which we’ll do on this episode, but know that the proper plan is out there for you. Find an advisor that can work with you to build that and give you the confidence you deserve. And don’t forget, the longer you wait to do this, the harder it becomes.

Check out the full episode or use the timestamps below to hear a specific segment.

1:31 – Think about what you want to do in retirement

2:32 – Find the best way to get there

5:09 – The evaluation we do for people

8:52 – Social Security

10:51 – Changes that could come to Social Security

For more, visit us online at http://flemingfinancialservices.com

View Details

To understand how retirement planning has changed in recent years, you have to look no further than the demographics of today’s retirees.

It’s a topic that you’ve probably read about or discussed in some form, but how much have you noticed it impacting your retirement plan? On this episode of the podcast, we want to share some statistics with you to provide a clearer picture of what this means for planning.

Let’s start with the idea that overpopulation in this country is a problem. When you look at the birth rate, it’s not too different than what it’s been for previous generations? So why are we noticing it so much now? Well, that answer lies in the longevity we’re enjoying now.

The population of people over 65 is expected to climb to 20% in the near future, which is about a 50% increase from where it is now. It’s not that people are being born at a faster rate, it’s that they’re living longer. That’s great, right? Well, yes and no.

We love that our clients can enjoy more of their life and spend more years in retirement doing what they love, but it also means that more people are underprepared for potentially living into their 90s. What used to be a 10-15 year retirement could now be 25-30 years so making your money last becomes much more important.

That’s why you build an income plan that identifies your expenses and ensures that you have money coming in throughout retirement to cover those things. It’s the baseline for any plan and it’s essential for success in retirement. So we’ll dive into how we build that plan and what income sources most people rely on during this show.

If there’s something you’d like to learn more about, please reach out and let’s talk.

Check out the full episode or use the timestamps below to hear a specific segment.

0:20 – Overpopulation

1:11 – Population over 65 is growing

2:31 – Planning into your 90s

5:01 – Where does income come from?

7:41 – Income is the baseline for any plan

For more, visit us online at http://flemingfinancialservices.com

View Details

The idea of retirement planning is one that comes to fruition over the course of many, many years, and it’s always a wonderful thing to see.

That’s why we wanted to share the story of someone we know, who we’ll call Beth on this episode. She’s someone that we spoke to recently about the life her and her husband built through planning and thoughtful execution, but it all began when she created a vision for retirement at a very young age.

On this episode, we’ll share Beth’s story and use it to show you how a proper plan can take care of your family throughout retirement. As we go through it, you’ll hear about the three steps she took.

First, Beth laid out goals early on to not repeat the lifestyle she had growing up. But it wasn’t just a focus on her working years but also life in retirement. That’s where the vision is created. Then she determined how much income she would need and identified the sources for that income. And then she selected a lifestyle that she wanted to live in retirement so that she could create a plan to get her there.

It’s a great story and one that we hope will both inform and inspire.

Check out the full episode or use the timestamps below to hear a specific segment.

1:24 – Story about Beth

4:15 – Reflection

7:20 – Features of a retirement plan

10:04 – Let’s outline what Beth did

12:16 – Desire for retirement income

14:30 – Selecting a retirement style

For more, visit us online at http://flemingfinancialservices.com

View Details

We’d all love to be able to go back in time and apply the lessons we’ve learned through experience, but of course that’s not possible. What we can do, however, is use the information we’ve gained and apply that to our decision-making moving forward. This is very true of financial planning as well.

The reason we bring this up today is because a recent question came into the office about how much a person needs in savings. The general rule you often hear is 15-20x your annual salary. The expectation is that will cover you throughout retirement. Then you can apply the long-accepted 4% rule that says withdrawing 4% of your account each year will leave you with enough to last.

But many of these guidelines were put in place 20-30 years ago and a lot has changed. Just think back through the past two decades and you see how tumultuous it’s been for investors. Imagine retiring in 2000 and going through the devastation of 9/11 and then the collapse of 2008.

We have to be able to adjust a plan as life changes. The two main instruments pre-retirees utilize today are stocks and bonds. Even though stock prices might not be too different, the bonds are much more expensive. So you can’t do what’s always been done, which is what we talk about in-depth on the show today.

So to get back to the question that got us on this subject. Everyone’s savings number will be different and that depends on a variety of factors. But you have to start with a nest egg, whatever that number is for you personally, and then you have to lay out a plan to make sure that will help you meet your goal and enjoy a comfortable retirement.

Check out the full episode or use the timestamps below to hear a specific segment.

1:31 – Inspiration for today

2:37 – The 4% rule

5:06 – Record-low bond yields

6:03 – Someone that retired 20 years ago and relied on 4% rule

8:05 – Recent study findings

10:04 – Doing the math today

12:07 – ‘If You Can Dream It’

16:32 – First two decades of this century

17:32 – The dangers right now

19:38 – How we solve the problem

For more, visit us online at http://flemingfinancialservices.com

View Details

Today, we’re sharing some financial proverbs that you’ve probably heard before. We’ll explain how they can help your financial situation.

A bird in the hand is worth two in the bush

It’s better to have the thing you know you have, versus the potential of what you might get. People often think about this in terms of investing and being more conservative.

We know of a couple that was forced to retire sooner than they wanted. They took money from their 401k plan and bought a business that they we’re familiar with. It was extremely difficult, and they worked around the clock.

They were barely keeping the business afloat and decided to sell the business. They lost the growth of their 401k.

We sometimes see people have a retirement date and decided to be more aggressive, but as you’re reaching the last few years before you retire, you don’t want to incur for yourself retirement date risk. We saw this when the 2008-09 crash occurred, and people who wanted to retire then had to work longer.

A rising tide lifts all boats

If the market is going up and you’re invested, you’re going to make money. The same applies if the market is going down.

Don’t put all your eggs in one basket

In this case, a lowering tide will sink all boats. You need to be diversified.

Check out the full episode or use the timestamps below to hear a specific segment.

0:41 – Bird in the hand

3:39 – Stock market

7:33 – Rising tide

8:22 – Eggs in basket

8:56 – Trash and treasure

View Details

As we head into this Father’s Day weekend, we wanted to first stop and appreciate all of the dads out there. It takes a lot of work to play that important role in a child’s life and Nancy has a story she’ll share about her wonderful dad.

Now, let’s talk about financial planning. This conversation takes on an important question that we all have to evaluate in different aspects of life: Is the risk worth the reward?

We have to go back about 400 years to what might be the first instance of someone truly analyzing outcomes. That man was Pascal, a brilliant seventeenth-century philosopher that developed the idea that belief in God would provide an infinite upside but if you don’t believe it would only provide a finite upside. Although the term hadn’t been created yet, Pascal had complete a cost-benefit analysis to determine that there’s much to gain by believing than not.

This became known as Pascal’s wager over time and created the framework that’s used in all facets of life as we weigh potential outcomes from our decisions.

So how does this tie into planning? Well assume that you’ve accumulated enough wealth after several decades of savings and investing. Should keep trying to grow the nest egg with risk or shift to safer investments to protect your capital. Using the Pascal’s wager, we’ll run through potential scenarios that could play out with each option on the table.

We’ll also use a couple famous quotes from notable financial professionals tie into this idea of Pascal’s wager.

Check out the full episode or use the timestamps below to hear a specific segment.

1:56 – Pascal’s wager

4:27 – Applying this to retirement planning

7:53 – If you can dream it…

8:55 – Warren Buffet famous quote

10:29 – Risk

12:12 – Summarizing the discussion

For more, visit us online at http://flemingfinancialservices.com

View Details

Today we’re answering your questions about all things retirement and financial planning. Let’s jump into it.

Jim retired last month and wants to do part-time work, but he heard this can mess up his Social Security. Is that true?

This is a common question we get. If you retire prior to your full retirement age and you get earned income, then for every $2 you earn above the income limit, $1 is withheld from your Social Security benefit. This year, the earned income limit is $18,960.

In the year that you reach your full retirement age, you’ll have $1 withheld for every $3 you earn above the limit, which is $50,520.

Cathy has been separated from her husband for three years. They still file a joint tax return. Should they keep the status quo instead of divorcing to save on taxes?

If you are getting along great and you can file joint taxes, there are some advantages to that. If you’re married filing jointly, you have twice the income limit before changing tax brackets.

Jean is going through a divorce and is worried about what retirement will look like. Can she overcome a divorce financially in her late 50s?

Losing out on two Social Security checks and losing half of your assets, that is a real blow. You need to see where you stand financially. Since this happens quite often, we see people who are able to pull it together. Maybe you can’t retire as early as you wanted, but where there’s a will there’s a way.

Check out the full episode or use the timestamps below to hear a specific segment.

1:46 – Part-time work

4:59 – Divorce and taxes

6:35 – Divorce and retirement

8:26 – If you can dream it

13:05 – Husband doesn’t want to plan

16:14 – Variable annuity

For more, visit us online at http://flemingfinancialservices.com

View Details

Today, we’re focusing on financial decisions people made in the past that they regret. One of the biggest mistakes people regret is that they start living up to the amount of money that they made. It’s known as lifestyle creep. As your income increases, you spend more instead of saving more.

You need to ask yourself, “Can I afford it?” Don’t ask, “Can I afford the payment?” You can’t afford it if you can’t buy it outright. Save up for the things you want, and then buy them. You learn patience and delayed gratification. Frugality is a virtue that is often overlooked until we’re forced into it.

With retirement accounts, you know you’re not supposed to touch that money until you’re ready to retire. But some people like to dip into it early, which is a mistake.

If you have credit card debt or car payments, they will eventually go away. But you need to learn to be frugal to get rid of them faster.

With finances, it’s important to have goals. Some people want to pay for their children’s college so they have one leg up on life. But sometimes it hurts people’s retirement by helping their children. It seems like a worthwhile sacrifice, but you and your children may regret it if your children are helping you financially later in life.

Check out the full episode or use the timestamps below to hear a specific segment.

What we discuss on this episode:

1:46 – Two ways of thinking

4:04 – Regret

7:33 – Goals

10:33 – Responsibility of children

12:21 – Sandwich generation

For more, visit us online: http://flemingfinancialservices.com

View Details

If you’re a grandparent, have you ever tried talking to your grandchildren about money? It’s a great topic to share your knowledge and see what they know. Today, I’m interviewing two of my grandchildren to see what they think about money and what they’ve learned.

Calvin, just finished 5th grade

Calvin knows the difference between a want and a need. He says needs are food and water and toys are a want.

“Instead of getting a toy, you could save that money and use it on food storage or something,” said Calvin.

He also knows about gas prices and said the price depends on the state.

“When we were filling up on gas I looked, and I just added it up and the average was above $4,” said Calvin.

Kids are a lot more astute and a lot more aware of what’s going on around them then often we give them credit for.

Rosie, just finished 7th grade

Rose is in middle school and knows what taxes are.

“Taxes are when the government takes a certain percentage of the money you make a year, and they put it in to different things like building roads or paying for other stuff,” said Rosie.

She also knows how to have fun with friends and family without spending money. When it comes to shopping, Rosie likes a lot of different stores, including Hot Topic. She chooses clothes that are comfortable and look good instead of just popular brand names.

“I don’t usually spend my own money to buy clothes, but I know that my mom doesn’t always like to spend a ton of money buying clothes,” said Rosie.

Check out the full episode or use the timestamps below to hear a specific segment.

2:48 – Calvin

4:49 – Gas prices

5:55 – Wanting something

6:48 – Trading time for items

8:13 – Rosie

12:07 – Shopping

13:10 – Buying on sale

15:20 – Best thing she bought

16:42 – Friends

17:28 – Raising money

17:56 – Saving

18:46 – Setting goals

View Details

If you’re 10 years away from retiring, there are some critical things you should do to prepare for retirement.

First, you need to decide what’s important to you. Some people want to retire early. Maybe they want to spend more time with their children or grandchildren. Some want to pursue their hobbies or spend time on philanthropy. Some people live very simply and say they don’t need much money.

Others want to continue working. The most common reasons are they want more money to spend and a bigger financial blanket to feel more secure.

Once you know you have enough money, there’s always the legacy question that comes up. What will we do with what’s left over? How should we set it up? It depends on what’s important to you.

You need to know that, at age 72, you will be required to start taking required minimum distributions. If you don’t take the money out, the financial consequences will be severe. You need to create a retirement income plan to determine what income streams you have and how much money you’ll need.

Will there be changes in your retirement lifestyle that will change the amount of money you need? You often spend the most money in the first few years of retirement.

Check out the full episode or use the timestamps below to hear a specific segment.

1:27 – What’s important

3:02 – Legacy question

6:02 – Higher income in retirement

9:19 – Retirement lifestyle

15:03 – Medicare

16:58 – Your needs will change

18:19 – Inflation

For more, visit us online at http://flemingfinancialservices.com

View Details

Have you ever stopped and taken the time to think about what you want life to look like after your career is over? Many of us get too busy with life to think that far ahead and truly envision what we want tour futures to look like, but it’s an important thing to do.

The reason this came up now is because we saw a recent survey that asked people how they’d describe retirement. They surveyed multiple age groups and genders and the results were really interesting. The tone seemed to change throughout the different stages of life and work and women seemed to have a much more emotional attachment to retirement.

What we’ve seen from people that work with Fleming Financial is that those first few years of retirement are always fun. There’s a new zest for life as you have the opportunity to utilize time in ways you’ve always wanted. People seem to have extra pep in their step as they plan for that extra time, and that’s what gets us excited as well.

But what’s ultimately important is that you have a good grasp on what you want from retirement. Sure, that can always change, but this preference and perspective is what helps us build a comprehensive financial retirement plan for our clients. Once we know how you view retirement and what you expect that chapter of life to look like, then we can put a plan in place that works towards those goals.

And this is what Nancy will talk about on this episode of My Smart Retirement. Let’s look at what preferences and perspectives are common for people and how being honest with yourself is the best way to be successful financially.

We all tell ourselves lies about retirement, whether we truly believe them or not, that help us justify a lack of saving or investing. We’re going to run through the most common lies we hear and explain why they get people in trouble with retirement.

Check out the full episode or use the timestamps below to hear a specific segment.

0:39 – An interesting study on how we view retirement

2:21 – Words men and women used

3:25 – Words older people used

4:13 – What do our clients say about retirement?

6:40 – Preference and perspective

8:20 – I really can’t afford to put away for retirement right now.

10:23 – I’m counting on Social Security so I don’t need to save as much.

11:28 – I deserve to have fun with my money today.

14:19 – I have a big inheritance coming my way so I don’t need to save.

16:35 – Get my kids through college and then I’ll worry about retirement.

17:47 – I’ll start saving when the market improves.

19:57 – I plan to keep working during retirement.

View Details

With thousands of Baby Boomers retiring every year, we’ve worked with this generation quite a bit and have seen the concerns and worries that they have about retirement.

Baby Boomers are looking at a retirement landscape that is quite different than their parents were facing. Many things have changed over the past decade or two and there are far more uncertainties than before.

On this episode of My Smart Retirement, we’re going to dive into the challenges that are facing Baby Boomers today. We see and hear many of the same reasons for lack of confidence about retirement and it’s important to address these so that retirees and pre-retirees understand that solutions exist.

A few of the things we’ll cover today include pensions slowly disappearing, healthcare costs on the rise, and longterm care needs. Each of these can carry a heavy burden for planning and need to be addressed with a comprehensive approach.

And all of these tie into the main reason that Baby Boomers list for why they have concerns about their financial future and that’s the ability to realize a sustainable income throughout retirement. Social Security has been a primary income source for most people but will it be enough to cover your expenses and allow you to live the lifestyle you want?

We’ll discuss that and the other challenges we’re helping people overcome every day. If you have any concerns about your plan, please reach out and let us help you.

Check out the full episode or use the timestamps below to hear a specific segment.

0:56 – Reasons for lack of confidence

4:47 – Pension worries

6:27 – Working with an advisor

9:35 – Healthcare costs

11:05 – Longterm care needs

16:20 – Mailbag question about Social Security

For more, visit us online at http://flemingfinancialservices.com

View Details

It’s never too early to begin planning for your retirement, but that doesn’t mean there’s a long list of items to worry about early in your career. Even without the complexities that come closer to retirement, there are some things you can be reviewing and key decisions to be made.

On this episode of My Smart Retirement, Nancy Fleming will share some stories of past clients that we’ve worked with who were early in the planning process. It’s a time where a lot of people don’t feel the need to have a retirement plan but want to get a better idea of whether they’re on track.

When we sit down with these clients, there are some key areas that often come up during the discussion, like whether you want to pay off your mortgage before retirement. Or how much should you be saving and what amount should be invested to ensure you’re on track? What about the idea to open up a business to help you reach retirement?

These are all important questions and a few of the things we’ll discuss on this show. By laying out real examples, we hope to show you how the process works early on and give you some things to start thinking about.

Check out the full episode or use the timestamps below to hear a specific segment.

0:58 – Background on the clients

4:38 – Evaluating their portfolio

7:43 – Reviewing past trends

9:59 – Wanting to know where you stand

13:33 – Starting Social Security

16:58 – Starting your own business

For more, visit us online at http://flemingfinancialservices.com

View Details

The 1970s was a great decade for a lot of things but, financial speaking, there’s a lot that we want to leave in the past.

We seem to be coming to a crossroads in the country as spending continues to rise while taxes remain at low levels. It seems like the pandemic exacerbated the problem even further, and we’ve heard a number of proposals for generating revenue at a Federal level.

On this episode of My Smart Retirement, we’ll look back on that era of bellbottom jeans and disco balls and see what similarities exist with the 2020s. Our country was also dealing with such high inflation that the Federal Reserve forced the economy into a recession to get it under control.

The biggest concerns we’re hearing come relate to rising taxes and Social Security benefits running out. As for the latter, projections say the excess reserve could run dry by 2035 and benefits would be paid out through payroll taxes from there. But there are a number of proposals that are being presented to help solve this issue.

Regardless of whether it happens with the current administration or after, it seems inevitable that taxes will have to increase in many different areas. We’ll get into some of the most likely places where this could happen and discuss a recent report from the Tax Foundation.

Regardless of what happens, you can ensure you’re prepared by doing proper planning. Connect with us or another financial professional and begin taking the necessary steps towards retirement.

Check out the full episode or use the timestamps below to hear a specific segment.

What we discuss on this episode:

0:34 – What’s this topic all about

1:48 – Tax Foundation analysis

2:51 – Creating a donut hole

5:24 – Tax changes

7:16 – Capital gain taxes

8:45 – Benefits get capped, should taxes as well?

10:58 – Going back to the 1970s

13:25 – Inflation

14:10 – Supply and Demand analysis

16:16 – Consumer spending

19:25 – Wrapping up with final thoughts

For additional resources and planning help, visit us online at http://flemingfinancialservices.com

View Details

On this episode of My Smart Retirement, Nancy Fleming explains what a Roth IRA conversion is and whether it may be right for you.

Some employers are offering Roth options as part of their 401k options, so some people already have a Roth. One thing to keep in mind is taxes. You need to think strategically about the possibility of higher taxes and their affect on your retirement assets going forward. Higher taxes could begin in 2022, especially for higher income earners.

This year, 2021, is a key year for determining whether a Roth conversion would be a good idea for your portfolio. The strategy works like this – you transfer some of your assets from a tax-deferred account into a tax-free account.

You can transfer a 401k, SEP, 403b or traditional IRA assets to a Roth IRA and you pay income taxes on whatever asset is transferred. You’re paying taxes on your seed money instead of paying taxes on your harvest.

There are some complex rules around this type of conversion. If you’re converting after the age of 72, you have to take your required minimum distribution first.

Also, if you get the check, you have to make sure it gets deposited in the new Roth IRA account within 60 days of the distribution or it will not be considered a rollover conversion but a distribution and you’d get a 10% penalty if you’re under 59.5 years old.

Roth conversions are especially helpful if you’re younger. The tax will be less because the asset is smaller, and it gives it all these years to grow.

Check out the full episode or use the timestamps below to hear a specific segment.

1:16 – 2021 a key year

3:38 – Required minimum distribution

4:48 – Deposit your check

7:17 – When you can access the money

9:23 – Gap year

10:55 – Benefit of being younger

12:06 – Living off savings

13:19 – When does it not make sense to convert?

15:35 – What doesn’t make sense to convert?

17:35 – Inheritance planning

19:43 – Leaving IRA to a charity

20:10 – In summary

For additional financial resources, visit us online: http://flemingfinancialservices.com

View Details

Have you ever regretted something you’ve done in your life? We’re all human, and that means we’ve likely wished things would have been done differently at one time or another.

Today, we thought we’d talk about financial statements people would regret. Thankfully, these are things you won’t hear around our office and Nancy Fleming will explain why on this episode of My Smart Retirement.

The first one deals with putting money into a Roth IRA. Doing so over the course of your life isn’t something you’re going to regret. That’s simply not something people say because it’s the key to funding retirement. Delaying gratitude to later in life is how you enjoy the lifestyle of your choosing. Plus, the Roth allows you to enjoy tax-free withdrawals, which is always a great benefit. This goes along with saving in general because you’ll never look back and wish you saved less and spent more.

When you’re thinking about whether life insurance is worth the investment, consider that you’ll never hear someone tell you they felt insulted when their spouse left them a large life insurance payment. Knowing that a loved one is taken care of provides comfort and life insurance helps accomplish this. It might not be for everyone, but no one will be upset they received money because of your careful planning.

The next item we talk about on the show is taxes. We won’t hear people talk about how patriotic they felt paying more in taxes than they had to. Our goal is to help you keep as much of your money as possible and that’s accomplished through tax planning. Then you have the option to use that extra money how you see fit and giving back might be the goal. But let’s make sure you do it on your own terms.

Another statement we’ll touch on is a love for market corrections. Who would ever say 2008 was a lot of fun? Or what about what we saw in the first and second quarter of 2020? While you might not enjoy seeing all that volatility in your retirement accounts, there are different strategies that can eliminate that worry and keep you from getting anxious during the roller coaster ride that the market can be.

We’ll have a few more statements that we’ll share during the episode, and we’re happy to discuss any of these financial planning topics further. Feel free to reach out and set up an meeting and make sure your future is on track.

Check out the full episode or use the timestamps below to hear a specific segment.

1:32 – I really regret putting money into my Roth IRA every year.

3:01 – I should have spent more and saved less over the years.

5:12 – Life insurance payment I got was insulting.

7:11 – It makes me feel patriotic to pay more in taxes than I have to.

10:32 – I love big market corrections.

13:05 – It’s okay that I have hidden fees and don’t know about them.

14:48 – I really like a cookie-cutter approach to planning.

View Details

We’re right in the heart of tax season and since it’s top of mind, let’s talk about some of the most common tax obligations you’ll have from investing.

There are many different ways that the IRS will take a cut of your income, but that doesn’t mean investing shouldn’t be a key piece of your planning. The key is knowing what might come with an added tax obligation and how you can take steps to minimize that.

First up are the ones most investors are aware of like dividends, capital gains, and interest. Nancy will explain each of these a bit further on the show and help you understand what considerations you should be making.

Then there are mutual funds. These often carry overlooked tax events because fund managers are buying and selling within the fund. When that happens, it triggers a tax event that gets passed along to the investor. The problem is you likely won’t see the rebalancing as it happens but be aware that it will probably show up at the end of the year.

This is why it’s important to consider tax-deferred vehicles like a 401K. These retirement accounts don’t cause yearly tax obligations so you only have to worry about it when you make withdrawals.

Keep in mind that the nuances of the tax codes will impact everyone differently so don’t take this episode as specific guidance. Seek the assistance of an advisor and a tax professional to help you make investment decisions that give you the best outcome. And remember that taxes aren’t aways a bad thing because it means you made money.

Check out the full episode or use the timestamps below to hear a specific segment.

0:48 – Tax season

2:49 – Dividends

5:13 – Interest

7:12 – Capital gains

10:45 – Ways to lower tax bill

12:14 – Don’t take tax minimization too far

12:54 – Taxes mean you made more money

14:04 – Charitable contributions

For additional resources, visit us online at http://flemingfinancialservices.com

View Details

Where should you invest your money? That’s question is usually near the top of any person’s list when they sit down with an advisor.

The answer, as you might imagine, isn’t straight-forward. At least it shouldn’t be if you’re building a plan that’s tailored to your retirement goals. Every investment vehicle can serve multiple different objectives, and it’s our goal as planners to make sure the investment and the objective line up.

On this episode of My Smart Retirement, we’ll talk about why this can be difficult for many to do on their own. When you think about all of the information that’s available and the avalanche of opinions we hear everyday, it’s easy to see how many get distracted with what’s most important.

As we go through the show, we’ll try to help you understand what approach you should take to investing. One of the first things to realize is that where your are in life has a significant impact on where you need to invest. Different ages bring different goals and philosophies. Three basic things to consider are when you want to retire, how much do you want to live on, and what are you trying to accomplish. Those things are always going to dictate how and where you’re want to invest.

The other goal is to make sure your informed with everything that’s out there. We can’t cover that in one podcast, but we can point out some of the reasons why investments have different goals and why a solid financial plan can put you in things that fit multiple objectives. getting that from an unbiased advisor will give you the best results.

Your best bet for finding that information is going to be from an unbiased source so make sure you work with the right people to build your financial plan.

Check out the full episode or use the timestamps below to hear a specific segment.

0:30 – Different investment goals

2:29 – Social persuasion

4:19 – Client story

6:12 – Optimism on the future

8:47 – New ideas aren’t necessarily better

11:19 – Pension buyouts

14:18 – Get an unbiased opinion

For more financial resources, visit us online: http://flemingfinancialservices.com

View Details

If you talk to anyone working in the financial planning business, they’ll tell you that healthcare costs are one of the most significant you’ll face in retirement. Not only are these costs rising every year, but many people just are doing the proper planning for what could be a major expense down the road.

Once it comes time to decide on health insurance coverage after working, most people will turn to Medicare. The problem, however, is that Medicare can be very confusing. There isn’t always a lot of information available or its tedious to try and track down the answers you’re looking for.

We got a question recently about this topic and it made a lot of sense to go ahead and tackle this subject on the podcast. It’s not easy to just give a quick answer to the keys things you need to know about Medicare so we’ll do all that on this episode of My Smart Retirement. Nancy will talk about differences between Part A and Part B, prescriptions, when to sign up, and much more.

If you know someone that is looking for more information on Medicare, please pass this show along. We want as many people to know what they need to know.

We’ll also spend a few minutes at the start of the show talking about the recent relief package and stimulus bill. Will this latest injection of money into our economy solve the problems created by COVID? Find out how Nancy feels about the news on the show.

Check out the full episode or use the timestamps below to hear a specific segment.

What we discuss on this episode:

0:45 – Unemployment

3:44 – Interest Rates

8:40 – Question on Medicare

10:55 – Applying for Medicare

12:42 – Once you stop working

13:39 – Cobra

For more information and additional financial resources, visit us online: http://flemingfinancialservices.com

View Details

Next time you’re cleaning out the house, what do you think you’ll find in the junk drawer? You know the one we’re talking about. We all have one where things go to be forgotten.

The same thing happens in financial planning. There are certain products that don’t need your frequent attention on those items always end up becoming an afterthought. But what if you took the time to dig through those files and determined whether each investment was still useful?

That’s what we’re going to help you with on this episode of My Smart Retirement. Sean and Nancy will talk about the most common planning items and investments that end up in a person’s financial junk drawer and why they might not be as useful as they once were.

Think about things like a will or trust you put together much earlier in life. Or what about that old life insurance policy you bought years ago. Are you still getting what you want out of these things? If not, it might make a lot of sense to repurpose that money into something that will be worth your time or attention.

It’s part of the process when we work with clients to constantly be evaluating and assessing everything in your portfolio to make sure it aligns with your goals and your needs. Hopefully this episode will give you some things to talk about with your advisor next time you meet.

Check out the full episode or use the timestamps below to hear a specific segment.

0:58 – Social Security

1:54 – Will or Trust

3:20 – US Savings Bonds

4:04 – Old Life Insurance Policies

5:28 – Speculative Land Purchase

7:04 – The most successful investors

For additional financial resources, visit us online: https://www.flemingfinancialservices.com/

View Details

For many people, the dream of becoming wealthy seems out of reach. Maybe it’s because you don’t feel like you earn enough or maybe it’s because you come from a modest background.

Whatever the reason, it’s important to realize that wealthy people often have one common trait: they are great savers. Reaching a level of wealth that provides you with security and financial freedom doesn’t require an exorbitant paycheck. Instead, it relies on following a process and delaying your gratification.

On this episode of My Smart Retirement, Sean and Nancy will share the habits that they’ve found successful people routinely follow. These might not be groundbreaking but they do require diligence and consistency. By sticking to a plan, you’re able to reach your goals over time and achieve the financial security that a large nest egg can provide.

These are the only habits that wealthy people possess, but these are ones that everyone can apply to their own life. Ultimately, we all have to be prudent with our efforts to save for retirement and we do that by putting ourselves in the best position possible. Hopefully this episode will help you do just that.

Check out the full episode or use the timestamps below to hear a specific segment.

What we discuss on this episode:

0:32 – What brings about wealth?

2:19 – Never buy a new car

5:42 – Do not buy houses they can’t afford

8:33 – Credit Cards

11:17 – Stay prudent

For more, visit us online: http://flemingfinancialservices.com

View Details

Do you avoid money, or do you worship it? The way you approach finances and retirement can be telling.

Money avoidance

If you prefer to avoid money conversations, decisions or planning, it’s best to recognize that you feel that way and try to work around it, through it or with it instead of trying to battle it.

The issues tend to reside in the back of our minds, and really, they’re not as spooky as they seem once we get to the place where we understand them.

We tend to have mistaken beliefs about money, and these beliefs can be a huge hindrance to correcting our negative habits and having more peace in this area.

Some big misconceptions are rich people are greedy, and people get rich by taking advantage of others. That is true in some cases, but not all, so you shouldn’t avoid money because you worry about those things.

Money worship

These are the kinds of people who hit the news, because of their money worship. We do find that money worship comes about because they give money more characteristics than it just being a tool in order to help us provide for ourselves.

“Often in money worship we’ll see people feel like money is power,” said Nancy. “Or, people equate money with happiness.”

Check out the full episode or use the timestamps below to hear a specific segment.

2:09 – Money avoidance

4:30 – Mistaken beliefs about money

6:01 – Good people shouldn’t care about money?

11:58 – Money worship

14:21 – Money buys freedom?

15:17 – Net worth and charity

For more, visit us online: https://www.flemingfinancialservices.com/podcast

View Details

We like to do an annual talk about money and couples and how to have good communication. Money is one of the most common reasons that couples fight, and it is one of the top causes of divorce.

Here are some ways you can manage money with your mate. First, ask yourself these questions:

What are the three best purchases you have made as a couple? That will bring up some happy memories.
How does your partner feel about money? How you were raised plays a major role in how you feel about money. Focus on understanding each other’s mindset.
Do you know your greatest fear with finances? All of these feelings will play into your marriage.

Experts say talking about finances with your loved one is really important, even though it might be awkward. You need to talk about your debt, income, investments, financial obligations, etc.

“Talking about money is never talking about money. I have learned that money is the most emotional subject,” said Nancy. “Even in the best of times, money can be a little bit of trap. Sometimes it can be a time bomb in a relationship.”

In today’s episode, Nancy also shares:

How to align your financial goals with your spouse
Why she doesn’t like the word “budget”
Why keeping money secrets from your spouse is a terrible idea

Check out the full episode or use the timestamps below to hear a specific segment.

1:22 – Abraham Lincoln

2:50 – Managing money with your mate

4:42 – What are the three best purchases you have made as a couple?

5:28 – Talking finances is important

7:03 – How does your partner feel about money?

8:56 – Do you know your greatest fear with finances?

10:10 – Align your goals

12:44 – Why “budget” is a negative word

15:46 – Don’t keep secrets

17:09 – Set ground rules for talking about money

Read more and get additional financial resources here: https://www.flemingfinancialservices.com/podcast

View Details

In the U.S., income exploded last year. It was the best year for income in American history by far, but I’m not discounting Americans who lost their business. Also, debt affordability has never been better in modern history. Americans still hold a lot of debt, but a big question is can you afford the debt.

Back in 1930, the U.S. Treasury secretary said liquidate labor, stocks, farmers, real estate, purge the rottenest out of the system, and high costs of living will come down. Enterprising people will pick up the wrecks from less competent people. That's how it was until 2020 when the stimulus was born.

We need to be aware that in our country, our economic activity is all about spending. Our base growth comes down to a most basic component of how do we spend. Consumer and business spending makes up 87% of our U.S. economy.

Getting money into the hands of people is a good thing, but once people get money, it doesn’t mean they want to give it up.

Another thing to look at is mortgage payments. Before 2008, the percentage of income going to mortgages was about 8%. Now, it has declined to a generational low of 4%. We’re also seeing student debt and auto loans rising at the slowest rate in 10 years.

As income surged, debt fell dramatically and savings exploded. The American consumer is in the best financial shape in history.

Check out the full episode to hear Nancy discuss these topics. Use the timestamps below to hear a specific segment.

1:10 – We used to handle recessions differently

2:23 – How we spend

4:45 – Debt affordability

6:21 – Cash in banks

7:03 – More money in checking accounts

12:00 – The American consumer

15:06 – Asset allocation and business cycles

18:20 – Bonds and cash

19:38 – Innovation

For additional financial resources, visit us online: https://www.flemingfinancialservices.com/

View Details

The past 12 months have tested many people financially and the volatility doesn’t appear to be going anywhere. These are the times that can cause people to hurt their financial future by acting on fear.

What we’ve seen and heard from a lot of people recently is they have been worried about losing significant amounts of their personal wealth in the market so they moved to cash. The problem with is when you pull it all out and move to the sideline, you then lose out on the opportunity for the money to recover when the market comes back. Just look at how the market has bounced back from huge dips over the past year.

So what brings on that level of stress and causes people to hover over their long-term money? We’ve found it’s usually the result of failing to sit down and building a well thought out financial plan.

This leads to fear that you’ll lose it all and you subsequently make decisions based on that emotion. If you don’t develop a plan for your money, then you let life control you rather than the other way around.

Another problem area for many people is procrastination. We get so inundated with life that we fail to get our financial house in order. The result is people leave behind a mess for our loved ones when we pass if these things aren’t taken care of.

Be pragmatic about getting your planning tasks completed. Take a step back and look at it from someone’s else’s perspective. What type of paperwork do you need to put in order? What documents do you need to have prepared should something happen to you?

Here are some of the areas to pay attention to:

Power of Attorney
Name your beneficiaries
Make plans for inherited IRA changes
List your assets and passwords

Ultimately, our goal is to help you take your net worth and create something that will sustain you. We’re here to meet whenever you’re ready to take the next step, but go ahead and request the Building Your Fiscal House booklet we’ve put together and get some great information now.

Check out the full episode to hear Nancy discuss all of these things. Use the timestamps below to hear a specific segment.

0:44 – Treating your money like you could lose it all

4:21 – Procrastination

6:43 – How can you change your mindset?

7:47 – Power of Attorney

9:07 – Name your beneficiaries

11:16 – Changes to IRAs

14:51 – Passing on your house

16:01 – Keep a list of assets and passwords

For more financial information and resources, visit us here: https://www.flemingfinancialservices.com/

View Details

You’ve heard the old expression about putting your money to work for you, but what job are you going to give it? There are many different ways to invest and save your money but you have to know what results you’re trying to achieve.

When you think about your finances, ask yourself what does money represent and what do you want to get out of your money? There are many things you may look to accomplish, but the three primary things you hope to obtain are growth, safety, and liquidity.

The question we get a lot is what investment can achieve all three of these? Unfortunately, that’s the silver bullet of investing. You’re just not going to find it. So the key is building a portfolio that’s diversified by trying to accomplish two of the three qualities. Once you figure out the ‘job description’ of a specific account, you can determine what you want to do with the money.

Let’s look at investments that will help you get safety and liquidity. The first and most common is cash. Many people like to move more and more into cash as they get into retirement. Another option is savings bonds, which used to be used much more in prior decades. Something to think about with liquidity is it comes in different forms. You might need the money next week, in six months, or in a year. Different timeframes allows for different investment options.

If you’re looking for liquidity but you want to get growth out of your investments, the place most people turn is the market. We’d be dealing with individual stocks, bonds, ETFs, and mutual funds. This gives you the possibility of growth but also the option to access your money at any time.

Now let’s think about getting growth but also keeping the safety quality. Real estate is an investment that many people choose because it typically holds its value and appreciates over time. Annuities might also be in that category but it depends on the type of annuity. That’s something your advisor can assist you with.

The most important thing you can do is determine which objectives you have for each account you have and that’s where having a plan comes into play. We can look through your portfolio and see how balanced you are and whether you’re meeting those objectives. As you move forward, think about these qualities when evaluating an investment and it should make your decisions a little easier.

Use the timestamps below to hear a specific segment.

0:32 – What does qualities of money mean?

1:19 – The best investment to achieve all three

2:23 – Diversification is key

4:04 – How to get safety and liquidity.

6:30 – Different types of liquidity

7:58 – Liquidity and growth.

9:11 – Growth and safety

11:14 – Biggest thing for you to think about

13:08 – Here’s what we recommend

Thanks for listening! For additional financial resources, visit us online here: https://www.flemingfinancialservices.com/

View Details

In order for us to determine the direction we want to go with retirement planning, we’ve learned that it’s important to first get an idea of what we want our retirement lifestyle to look like. Everyone pictures something different and knowing that helps us build a plan that you can have confidence in.

On this episode of My Smart Retirement, Nancy Fleming will take you through six different retirement lifestyles that we commonly see clients choose. There are a few things to be thinking about as you go through this episode. If you’re in retirement, how is your lifestyle going? Are there any tweaks that you’d like to make?

If you’re getting close to retirement but haven’t stopped working yet, have you thought about how you want to spend all that extra time? Now is the chance to be thinking through that and envisioning what that lifestyle will look like without the stress of work.

With those things in mind, let’s look through the popular lifestyles for Arizona retirees that we’ll discuss.

Two-Location Solution

The first lifestyle we commonly see for people in our area is having two separate residences in different parts of the country. Maybe you want to spend the summer in a little cooler location or another place you really enjoy. The heat in Arizona isn’t for everyone so we work with a lot of clients that leave for a portion of the year. One way to get an idea if you like this lifestyle is to rent for a while in an area you think you’d like to live.

RV Life

The next lifestyle is the RV life. Some people choose to travel the country and see as much as they can at their own pace. They do that by living out of an RV for an extended period as they experience all the great things the country has to offer. This also gives people a chance to get a better idea of where they’d like to live in retirement so once they get off the road they decide to settle down.

Front Porch People

Some people are really happy with the home life and enjoy the activities they have around them. They don’t have drive to get up and be on the go all the time. This doesn’t necessarily mean you’re just sipping tea in a swing on the front porch, just that you won’t have as much travel to factor in.

College Town Living

Whether you want to continue learning or be close to a college or university that’s special to you, this is a lifestyle that you might consider. It allows you to be close to the action, whether it be concerts or sporting events or even top hospitals for medical care.

Living on the Water

Everyone knows that Florida and its beaches is always a popular retirement destination, but we have a lot of people in Arizona that love visiting the California coast for vacations. Maybe this is something you want to make more of a permanent thing in retirement.

Active Lifestyles

A lot of people just want to make sure they stay active in retirement, which is a great thing. This could typically include going to a good gym, playing golf a few times a week, or playing the growing sport of Pickleball

Passion for Giving

Something we see a lot of people devote their time to is helping others. They’ve had a passion for giving or volunteering but haven’t always had the free time to do as much as they’d like. Retirement is a great time to find a charity or a cause that is close to your heart and make that a core part of your daily life.

Whichever you choose, Fleming Financial Services can help you build a retirement plan that gets you to your preferred destination and lifestyle.

Get additional financial resources here: https://www.flemingfinancialservices.com/

Use the timestamps below to hear a specific segment:

0:34 – What we mean by retirement lifestyle

2:45 – Living two different locations through the year

4:58 – RV life

6:48 – Front Porch People

7:51 – College Town Living

9:10 – Living on the Water

10:06 – An Active Lifestyle

11:00 – Passion for Giving

13:55 – Let’s answer a question we’ve been getting a lot about Social Security

View Details

We’ve been spending a lot of time on the podcast discussing financial literacy and where the majority of people are falling short as it relates to planning and investing.

As we move forward this week, let’s start by talking about retirement concerns we continue to see. One of the biggest we’ve found is voluntary unemployment. The idea of giving up the career we’ve built and voluntarily give it all up to transition to a new chapter. Many times you might even be at the top of your game, and it can be a stressful and scary decision.

That’s why you want to as buttoned up as possible when it comes to your plan. The key question is to answer is how prepared and how knowledgeable do you feel today about retirement?

As we’ve pointed out before, a financial literacy quiz found that scores were actually lower in 2020 than they were in 2017. Many people did not pass the test and there wasn’t any section where scores were higher than 50%. That tells us that most people aren’t able to answer that question very well.

The good news is that many people in 2020 have at least been able to get a small preview into retirement because of the pandemic. Have you been able to spend less and be comfortable? Are you having trouble finding things to do when you’re at home all the time? These things have made people rethink retirement and whether they’re truly ready to transition.

So as you’re thinking more about that next chapter and what you need to do to get there, it’s critical that you get accurate information when it comes to finances. Whether that comes from us or other resources, you want to make sure you get it right. That’s why we’re clearing up a few misunderstandings on this show.

The first one we’ve seen comes with investing in bonds. Do you know how these change base on interest rates? Nancy will break it down on the show and explain exactly how the investment works and what causes the value to increase and decrease.

The next misunderstanding deals with small company stocks and dividends. Would you expect the yield to be higher or lower with a small company versus a large company? In general, the blue chip companies will pay a higher dividend because they are generating more revenue while the small company might have higher growth potential.

The third misunderstanding we want to clear up is actively managed funds and exchange traded funds. Only 28% of people in the survey knew the difference between the two, and most people will often lump them all into the category of mutual funds and assume they’re all the same thing. One big key is actively managed funds will have higher fees because someone is making investment decisions and managing the fund. You’ll want to compare the differences and understand the benefits of paying the higher amount for an actively managed fund, which we can help you sort through.

Hopefully this show will help you make better investing decisions, which is critical as more and more Baby Boomers move into retirement. We’re always here to help you with this so reach out and set up a complimentary consultation.

Use the timestamps below to hear a specific segment.

1:23 – A big concern we’ve found

2:40 – Financial literacy scores for 2020

4:52 – Being home this year allowed people to get a preview of retirement

5:58 – Clearing up misunderstandings

6:46 – Investing in bonds

9:07 – Small company stock

10:41 – Actively managed and Exchange Trade Funds

13:54 – Other categories of the financial survey that find

15:15 – Example of lifestyle changes that impact planning

17:23 – Make sure all of your affairs are in order

Read more and get additional financial resources here: https://www.flemingfinancialservices.com/

View Details

The biggest fear that anyone has for retirement is running out of money. No one wants to be forced to work if they’d prefer not to, and that’s where income planning comes in.

You might be surprised to know that less than half of all people are financially literate when it comes to retirement. Most people aren’t clued in on all the different aspects of planning and it can cause a lack of confidence in your financial future. But it’s not the individual’s fault. It just means more education is need and that’s the goal for this podcast.

After all, education is crucial to proper planning because we can base our decisions on correct information. There are a dozen different areas of planning and that requires advisors to spend time with their clients and help them understand the benefits and risks for every decision they make.

You’ll find that our process for planning is more extensive than most, but our goal is to give each client a sense of ownership in their plan. And that’s done by making sure they are looped in on each piece of the plan and why it’s a part of the overall process.

We’ll provide a couple examples on the show of times where mistakes can be made if you don’t have a complete understanding of an investment and how we worked with them to improve their situation.

Income planning is such a big piece to a successful retirement so let us help you build a portfolio that will provide you with the life you want to live. Give us a call us 480-632-8770 and let’s start putting a plan together.

Use the timestamps below to hear a specific segment.

2:00 – Why we’re talking retirement income

3:55 – Income literacy

5:12 – This is why having a planner is important

6:55 – How we help give you a sense of ownership in your plan

7:58 – Example of a client not fully understanding an investment

9:16 – The benefit of behavioral coaching

12:03 – 12 areas of retirement planning

13:32 – Our process is more extensive than most

15:44 – A lot of income considerations

Read more and get additional financial resources here: https://www.flemingfinancialservices.com/

View Details

As we approach the end of the year, people start thinking more about taxes and want to find ways to lessen their tax burden.

One area where you might already be lessening your tax burden and not fully realize it is through charitable donations. The holiday season brings that out even more so we want to make sure your contributions are being incorporated into your financial planning as we close out 2020.

On this episode of My Smart Retirement, Sean and Nancy will tell you about the three most significant tax changes that came with the Tax Cuts and Jobs Acts (TCJA_ from a few years ago. You might already know about these adjustments, but it’s important that everyone is aware of how they effect tax planning because it can be significant.

The first we want you to know about is that if you are making a cash contribution to a charity, you are allowed to deduct 60% of your adjusted gross income for that cash contribution. For example, if you have $100,000 of AGI and you make a contribution of $57,000, you can deduct that full amount. And don’t worry, an excess can be carried over into the next year.

Another thing the TCJA repealed is the ability to deduct a donation that’s used in exchange for buying a seat to a game. You used to be able to deduct 80% of that donation to a college or university but that’s no longer allowed. For many of the sports fans in our area, this has been a significant shift in their planning.

The third major change is that any charitable contribution in an amount greater than $200,000 has be documented in writing. Most charities will send you a letter thanking you for your donation or contribution so make sure you hang on to that.

With the changes in these laws, you have to itemize all your deductions for the charitable deductions to work. This is because standard deduction increased by a significant amount. The Tax Policy Center estimates that 9 out of 10 individuals will claim that standard deduction.

To help you understand when its best to use an itemized deduction, we’ll also break a few scenarios where this can be applied. Plus, we’ll share some strategies you might consider as you look to lessen that tax burden.

If you have any questions about charitable donations or tax planning after listening to the show, give us a call us 480-632-8770 and let us help you hold on to more of the money you’ve earned.

Use the timestamps below to hear a specific segment.

1:40 – Cash contribution deductions

2:19 – Another thing the TCJA repealed

4:18 – Third change has to do with getting record of your contribution in writing.

7:47 – The big caveat in this discussion

8:52 – What if you aren’t itemizing your deductions?

10:54 – Charitable donations as an RMD

13:10 – Another tip for itemizing deductions

For additional financial resources, visit us online here: https://www.flemingfinancialservices.com/

View Details

Regardless of what you know about annuities, you’ve probably heard an opinion about them. This investment tool, like any other, can be good or bad for your personal retirement plan, but is it?

Well, we’ve gotten a lot of questions about annuities recently because of all the market volatility. People are looking for ways to create reliable income and the annuity will always be a product that comes up in the conversation. So we want to use this episode of My Smart Retirement to educate you about how they work, why people choose them, and what our experiences have been.

Maybe the biggest thing we want to stress throughout the conversation is to do your homework. Ignore what you’ve heard about annuities and take the time to get the facts and become informed. They might not work for your goals but they might be exactly what you need. Every tool is valuable if used correctly and that’s no different with annuities.

One thing we’ve found is that the majority of people who need annuities are usually approaching retirement. The ages we normally see are between 55 and 75 with the peak around the early 60s. But when you get to this age, don’t just look up information online. This is such a nuanced product with so many different options that you need to take a detailed approach to planning.

That’s something we would be happy to work with you on. Give us a call and take advantage of our complimentary retirement plan.

Use the timestamps below to hear a specific segment.

1:08 – Why we’re talking about variable annuities today

2:09 – Annuities for many people are emotionally-driven

4:01 – Investments as a tool

6:41 – Get the facts and then form an opinion

8:11 – Annuities have been evolving from income to growth

11:20 – Indexed annuities

12:24 – First thing you need to decide

15:37 – Planning becomes key

17:06 – Look deeper into annuities

18:33 – Who needs an annuity?

Read more and get additional financial resources here: https://www.flemingfinancialservices.com/

View Details

If we’ve learned anything over the course of 2020, it’s that health needs to be a priority for all of us. The focus goes beyond the pandemic, which is obviously at the forefront right now.

But mental health issues have risen through the year and the usual causes of death are still as prevalent as they always are. It’s great to see that more and more people are paying attention to their health because it plays a huge part in your finances and retirement.

On this episode of My Smart Retirement, Sean and Nancy will talk about the role health plays in our lives. This topic isn’t one that we’ve spent a lot of time on the show but we want to change that because there’s no retirement to enjoy without good health. We feel retirement is about being relaxed and enjoying life and it all starts with taking care of your body and your mind.

Over the course of the show, we’ll talk about a few different areas of health in retirement, beginning with nutrition. It’s easy to look at the cost of eating healthy and the time it takes to cook nutritious meals, but think about how much it could save you over the course of your life in healthcare bills.

Then you have to talk about exercise as the next piece of the process. People can become complacent in retirement and lose the drive to stay active without a job to go to every day. Exercise doesn’t have to be over the top either. It can be an hour walk each day or gardening or even Pickleball. As long as you stay consistent and active, it will pay dividends over time.

We’ll also talk more about life insurance and the role it plays in a plan. Decisions will be impacted by your health, as will your options, so this is something else to think about when taking care of yourself.

Health should always be a priority but it’s easy to overlook when life gets busy. Hopefully this episode will help you refocus and remember what’s important.

Use the timestamps below to hear a specific segment.

0:32 – Health issues are at the forefront right now.

3:26 – What’s the cost of not getting correct nutrition?

6:27 – Other leading causes of death

8:04 – Along with nutrition, pay attention to exercise

10:27 – Retirement is about being relaxed and living a long life.

12:42 – Life insurance

15:30 – Ways to have a healthier, longer life

17:40 – Stress management

Read more and get additional financial resources here: https://www.flemingfinancialservices.com/

View Details

“Am I ready to retire?”

If it’s not the most common question asked during retirement planning, then it’s definitely near the top. Everyone wants to what kind of shape they’re in financially and if they are in a position to transition to that next chapter.

Everyone’s answer is going to be different and it depends on a variety of factors, but there are some questions you can ask yourself to get a better sense of where you stand. That’s what we’ll do on this episode of My Smart Retirement. Join us as we lay out five questions and tell you why each is so important when it comes to your retirement.

We’re covering spending, assets, budgeting, investing, and income planning. These are all key pieces of a comprehensive plan and it’s why this is good starting point. If you don’t do as well on this quiz as you hoped, we’re here to help you build a plan that will give you the confidence you need to retire. Connect with us and set up a time to meet and we’ll run through all of these areas and more.

Speaking of investing, you probably saw how the market reacted to positive vaccine news this week. We all welcome the progress towards getting the pandemic under control and investors showed that. Sean and Nancy will lead off this show with their reaction to what we saw from Wall Street this week and what it could mean for value stocks and interest rates.

It’s going to be a busy show but hopefully you’ll get a lot of valuable information along the way.

Use the timestamps below to hear a specific segment.

1:03 - Vaccine announcement was big news for the market

2:03 - What does this mean for interest rates?

3:10 - The DOW was up as well

3:57 - ‘Dumpster Diving’ in the market

6:29 - Are you prepared for retirement? First, do you know how much you have?

8:53 - Do you know how much you spend?

11:59 - Do you know how much risk you have?

13:58 - Do you know what you’re paying in fees?

15:21 - Do you know what your retirement income streams will look like?

For more on this show and additional financial planning resources, visit our website: https://www.flemingfinancialservices.com/

View Details

As if 2020 hasn’t been volatile enough, now we’re left sorting through election results days after voting has ended.

Although it appears Joe Biden is set to become the 46th President of the United States, plenty of questions remain about policy and the financial impact it could have on investors. So as we wait for the dust to settle, let’s try to answer the questions, what now?

Nancy is flying solo on today’s episode of My Smart Retirement and she wants to provide updates for those that are slow to act while things remain in limbo. The first thing we’ll talk about is what could things look like if all the results hold, meaning Democratic president, Republican Senate, and Democratic House. Divided government is typically positive for investors as it likely means taxes won’t see significant changes in the near-term.

That’s the item many people have questions about immediately because it affects every single one of us. It’s also a part of the financial planning process that we target as adjustments are being made.

The other areas Nancy will update you on the during the show are stimulus, policy, interest rates, and more. There’s a lot to be factoring in and it’s important to remain proactive with your financial future. That’s what we can help you with and hopefully this show will provide you with a little more clarity after an unsettled week.

Nancy will answer all these questions, plus tells you about an exciting finding scientists have made on the moon!

Use the timestamps below to hear a specific segment.

0:39 - Exciting announcement from NASA

1:44 - What we know about the election right now

2:48 - If Republicans hold the Senate, what we need to know about taxes

4:22 - Fiscal stimulus & other spending

6:18 - What we’re looking ahead for when building retirement plans

8:28 - Divided government could mean a positive for investors

9:43 - What recent history tells us

11:26 - Financial achievements for President Trump

13:15 - Prop 208 in Arizona

14:39 - Change will always happen so be proactive

Contact:

Website: https://bit.ly/31DO9OW

Phone Number: 480-632-8770

View Details

On today's show, Sean and Nancy give their take on where the major financial markets currently stand. They address some common concerns they have heard from their clients and give advice on how to navigate those challenges.

Contact:

Website: https://bit.ly/31DO9OW

Phone Number: 480-632-8770

View Details

Were you prepared for this most recent downturn? What you may need to do to be ready next time. "Fool's gold", aka some ideas that may give a false hope to retirement

View Details

The CARES ACT and what it did for retirement accounts, how the "Recovery Rebate" works for individuals and families with the phasing out at certain income levels.

View Details

My Smart Retirement: Recent Episodes

Nancy Fleming