A recent headline on a story of James Caan’s estate read, “Estate of James Caan Whacked in Tax Case.” As you might guess, there is a lot to learn from others’ misfortunes. In this case, some unfortunate planning and advice put James Caan and his estate on the wrong side of the IRS. In the end, his estate owed almost $1 million in taxes and penalties. On this week’s show, we’ll discuss estate planning and the best ways to avoid tax consequences. Next, Heidi will discuss the economy and opportunities you might take advantage of given the anticipated eventual decline of interest rates. You might be surprised what these might mean and the thought leaders weighing in on this. We can’t always predict the future, but we can see indicators that can be very helpful in ascertaining where things might go. Last, Deann will provide us with plenty of stats to bolster and bring additional background to our discussion.
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Giving can be a good thing, so on today’s show we’ll discuss how you might do that and where might be the best place to utilize those funds. We’ll also continue by reviewing some deep and complex questions financial advisors asked Ed Slott at a recent conference in September. These questions will help with the everyday issues advisors are facing with their clients. Also, during our class last week, the Ed Slott team expressed their own frustrations with the complexity of new regulations and the questions still unanswered by the IRS. So we’ll shed some more light on these issues to hopefully help you navigate your finances and help with your ultimate best interest (no pun intended)!
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As we near the end of 2023, which is only about seven weeks out (can you believe it!?), it’s time to focus on end-of-the-year financial planning strategies as well as what’s in store for 2024. On this week’s show, we’ll discuss Ed Slott’s most recent newsletter, and questions to Ed from financial advisors at his most recent Successful IRA workshop. This will help us be aware of planning options with IRAs as well as learn some useful, not-so-common strategies. Natalie Choate will weigh in on charitable thoughts for IRAs that will help expand our potential. Next, Heidi will discuss new contribution amounts available for 2024 in IRAs and other retirement accounts, which are almost all increasing, giving you ever more flexibility with your retirement investments. Last, Deann will share new stats that will shed more light on these subjects. Your questions are always welcome! So tune in and take control!
Look out! Here comes the economy! So much to talk about and so little time should be the theme for this week’s show as we dive into what the major money management and economic firms are saying. You may ask, “What does this mean for me?” We’ll talk about how the markets are doing; how you can play offense in a very defense-oriented environment; and how you might further your own situation to actually take advantage of today’s higher interest rates. We’ll help you think through your options and potentially make better choices for your future. History can be very useful in helping us all gain more perspective about our current world. As always, questions are welcome! Call or text during the show and we’ll do our best to provide answers. Tune in and take control!
Social Security! Just when you thought you could do without it, here comes the check in the mail! (Just kidding, of course.) Last year at this time, we had Bob Simpson, Manager of our local Social Security office, on the show to speak about Social Security and the COLA (cost-of-living adjustment) that was announced. On today's show, Bob will talk about another recent COLA made for those taking benefits starting January of 2024. While this is helpful information, there are several other changes being made to Social Security that we need to discuss, as well as benefit questions we continue to receive from our clients that you should be made aware of. As always, your questions are always welcome as we continue to navigate the complexities of retirement together. Bob is an extremely knowledgeable Social Security representative who should be helpful in answering your questions.
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November is just a few weeks away, which means the December 31, 2023, deadline for retirement planning is quickly approaching. Now is the time to wrap up the year with RMD, QCD and Roth conversion planning and focus on retirement planning for 2024.
On today’s show, Heidi will discuss the key features to the SECURE 2.0 Act provisions that will become effective January 1, 2024. It’s important for the advisors, as well as clients, to stay up to date and plan ahead for the important changes ahead. Nathan will discuss the five tax moves retirees should consider before December 31, as well as some strategies to help make your retirement income last. Deann will bring the stats with updates on our economy and the topics discussed.
So tune in and take control!
According to the Center for Medicare Advocacy, as of March 2023, nearly 65 million people are enrolled in Medicare, an increase of almost 100,000 since September 2022. Deciding on healthcare is a significant part in planning for your retirement. There are many factors to consider when educating oneself in the complex field of Medicare. Fortunately, there are professionals who specialize in this and can help navigate eligible enrollees through the process … and we know two of them!
Laverna Witkop and Dawn McConnell from Ford Insurance Agency will join us LIVE on the show today. They will cover all the basics of Medicare as well as talk about the open enrollment period, known as the Medicare Advantage and Prescription Drug Plan annual election period, or AEP, which is October 15 through December 7. It’s time to review and pay attention to changes. This also might be a good time to jump in! Open enrollment for individual health insurance plans is from November 1 to January 15, 2024. Now’s the time to ask the experts, so have your questions ready.
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Today’s show will feature a special guest, Jennifer Ewing, who has lived in Traverse City for more than 25 years and has worked in the Human Resources field for more than 32 years. Unfortunately, Jennifer lost both of her parents, but she has gained much firsthand knowledge as the executor of her parents’ estate. Deann and Nathan will discuss Jennifer’s experience, covering all the helpful tips – what she wishes she had known, what she’s glad she knew prior to her parents’ deaths, and all the nuggets of knowledge in between.
Though this is a sobering topic, we hope to share some vital information for both parents and their children in planning for and ultimately facing the inevitable. Know there are financial professionals who can and will help navigate you through the details. Know to be tenacious and keep asking questions. Know that you’re not alone. Jennifer’s experience and contagious energy are sure to bring a lively show.
So tune in and take control!
We all remember the famous Wendy’s ad a couple of decades ago in which an older woman asked where the beef was in her burger. On today’s show, we’ll try to answer that question in terms of investment and/or allocation opportunities for you. Sometimes opportunity doesn’t knock … you must open the door! Capital Group, which oversees American Funds Group, recently published an update whose title is both intriguing and apropos: “As rate hikes near end, historic investor opportunity may begin.” The advisors at Capital Group believe we’re on the cusp of a major transition, where long-term investors can find attractive income opportunities as central banks pivot from restrictive monetary policies to something much more accommodative. Both Heidi and I (Dennis) will discuss these issues related to your longer-term investments and what your options might be to control risk and take advantage of the potential opportunity. Nathan will bring the stats, and there are a fair number this week, with updates on inflation and many others as we delve into the world of your money.
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When taxes decline, many questions typically arise. In the case of the State of Michigan rolling back the retirement tax, copious amounts of questions and confusion seemed to reign. Today on New Retirement Radio, we will discuss the graduated change in the tax. For all Michigan taxpayers, the income tax rate dropped to 4.05% in 2023, down from 4.25% in 2022. Pension income for public servants like police officers and firefighters, state troopers and others will be fully exempt from paying state income tax in 2023. Others who receive a pension may face a graduated change in their tax through 2026. This is a big change and will have a significant impact on all Michigan residents! So be nice to your tax preparer, as they may ultimately play a more important role for you going forward! Next, Nathan will discuss less well-known benefits of life insurance policies, including utilizing cash values at or near retirement. Last, Deann brings the stats on taxes as well as stories of fishing for salmon.
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The new economy continues to show itself to us. While (of course) we cannot guess the future, the present certainly cannot be discounted as to what it provides in terms of usable information. What indicators can tell us how the economy is doing? Are those who are most pessimistic wrong? Do we maintain or change our holdings given the reality of rising short-term interest rates and what seems like increasing risk in our markets? On today’s show, we’ll investigate what these indicators are and give our best in terms of real strategy to assist you in allocating your portfolio for an uncertain future. We’ll also learn some of the new rules for retirement accounts. Heidi will shed light on how to use today’s relatively lower taxes to your advantage. And Deann will weigh in on the economic front.
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The September 2023 edition of Ed Slott’s newsletter comes with stories and insights about elder abuse, where scammers within families steal retirement account funds, resulting in significant losses as well as tax penalties. This is another example of why accountability needs to prevail within families, especially when larger retirement account balances are involved. Of course, on top of the losses are the significant issues related to family and the difficulty in many cases of ever getting these funds returned. On today’s show, we’ll discuss what to do to arm yourself and your loved ones against this threat. Also, Heidi will discuss how to avoid scams and scammers, and how cyber security plays a key role in protecting yourself. Deann joins us as well to bring the stats related to our subject and shed more light and learning on this.
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Too much cash! Who would have ever thought this would be a problem? Given how rates for conservative fixed income investments – including CDs, Treasury Bills and all the rest – have risen so dramatically, the pressure to get out of low-yielding money market and savings accounts has risen significantly. Investors who rushed for the exits last year and plowed trillions into money market funds, now around $5 trillion, may be wondering if it’s time to retrace a bit. With so much to talk about and so little time, on today’s show, we’ll discuss what you might want to consider and how to cash in on today’s higher rates. We’ll also discuss how to get attractive income options, and what exactly those are. Heidi will discuss the article “The Five Biggest Mistakes People Make When Picking a Medicare Plan.” How complex can it be? You may be surprised! Last, Deann has the stats to bring as well as to where and how interest rates and the economy are showing up. We look forward to the show and your questions. Tune in and take control!
On our August 10 New Retirement Radio show, a caller asked about a recent article by Ray Dalio in The Wall Street Journal. Dalio has written and spoken extensively about the economy, including his November 2021 book, Principles for Dealing with the Changing World Order, which I think is a research masterpiece and have discussed on previous radio shows. The caller’s question piqued my interest in revisiting Dalio, so today we will discuss his take on the current economic situation as discussed by Spencer Jakab in the August 12 issue of The Wall Street Journal. Given Dalio’s experience in running the world’s largest hedge fund, we think you’ll find his comments pertinent and interesting. Then Heidi will weigh in on saving and planning for retirement by Generation Xers (people born between 1965 and 1980). Given their unique challenges, the advice may be helpful to us all in planning through our own set of circumstances. And Deann will share all stats wise and wonderful to add to the conversation! Tune in and take control!
Jon Sluis, CPA, joins us today to help us catch up on 2023 tax law changes as well as look out for future adjustments we need to be aware of. As you know, proper tax planning requires being aware of not only what’s new, but what has changed from the previous year. And you guessed it … there are lots of changes and updates for 2023 you need to know about. New retirement provisions that recently took effect will make a difference for your long-term planning. We will also discuss the impact of staying up-to-date on beneficiary designations to allow for maximum flexibility in the settlement of your retirement accounts. As we’ve seen with our own clients’ accounts, custodians of IRAs and other retirement accounts who are not aware of the current provisions within the law may negatively affect you and your loved ones.
Your bottom line can be impacted by these tactics, so tune in and take control!
The morning haze has made for some beautiful sunrises here in Northern Michigan recently. However, a similar type of “haze” continues to envelop our current economic situation. Are we in for a soft landing? What about interest rates, recession and the business cycle? Housing prices are another big unknown, with many professionals weighing in on the current housing market. On today’s show, we’ll continue the conversation about the current economy, even looking at whether global temperatures affect economic growth. Heidi will discuss the younger person’s use of summer earnings to start a Roth IRA, and how that might benefit your child or grandchild, and help them learn about the long-term benefits of starting a saving mindset. Last, Deann discusses a recent article in The Wall Street Journal about Northern Michigan and the stats surrounding the economy as well. Tune in and take control!
In a May 2023 Kiplinger article, Chris Abeyta, in discussing the transition from asset growth to income and protection, warns us of the “Retirement Hazard Zone” – the four to five years right after the pivotal age of 59½ that can greatly impact the rest of your retirement. In essence, Abeyta cautions readers to take action to protect their nest egg from significant losses while still growing it. Part of this equation deals with the reality that, for some, they need to take income from their portfolio. For others, it’s about the need for greater preservation as their mindsets have changed. And for a few, it’s about strategic allocation and utilizing diversification to its maximum potential while limiting downside risk in a volatile market environment.
Regardless of your situation, on today’s show we will discuss the “why” and “how” of the three phases of your retirement journey. Next, Heidi will discuss the IRS RMD (required minimum distribution) waiver for non-spouse beneficiary IRA accounts, as well as a 60-day rollover relief option for traditional IRA RMDs taken inadvertently because of the newly incepted age change to 73. You were probably thinking that no changes were in store after all the adjustments that were made recently, but these are to cover for individuals needing to catch up with the new rules. Last, Nathan, who is filling in for Deann, will give us the best of stats to help us along on the journey and pinpoint more economic and retirement reality.
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The beautiful summer weather seems to have everyone in a trance of warmth, ice cream, sandy beaches and the great outdoors (including the bugs)! Today, we’ll talk about the power of being a contrarian in a world that seems more confusing by the day. Included in this will be historical examples of those with very big voices who have been very wrong about the future. One example is the current residential housing market, which has stumped so many to continue strong despite ever-rising interest rates. Another is the continuing Fed attempts to rein in the economy with ever-widening interest rates, only hurting itself and our very own dollar in the process, and the future statistics on what that could look like. Next, Heidi will discuss mid-year frequently asked questions about Social Security planning for retirement. This includes what we might possibly see on adjustments to Social Security to control the cost. All of this, including great stats from Deann to bolster and add to the conversation.
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In a recent article in Kiplinger, Chris Abeyta explains how your retirement journey breaks down into three phases. Phase 2: “The Retirement Hazard Zone,” are the four to five years right after turning the pivotal age of 59-1⁄2. According to Abeyta, this is the time to take action to protect your nest egg from significant losses while still growing it. Part of the equation deals with the reality that for some, they need to take income from their portfolio. For others, it’s about the need for greater preservation as their mindsets have changed. For a few, it’s about strategic allocation and utilizing diversification to its maximum potential while limiting downside risk in a volatile market environment. Regardless of where you fall, we will discuss the why and how of the three phases of your retirement journey. Next, Heidi will cover a very timely article from Andy Ives of the Ed Slott team about what and how to deal with a retirement account when an owner dies. As a beneficiary, we’ll discuss the steps you will need to remember to take as you deal with what can be a very difficult time. I believe this will be an article of lasting importance and we will be posting this on our website for permanent reference. Last, Deann will cover the best of stats to help us along on the journey.
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How many times have you heard the phrase, “Talk is cheap”? We even alluded to this on last week’s show regarding the market’s response to Fed Chair Jeremy Powell’s proclamation that rates would begin to rise at the Fed’s July meeting on the 25th and 26th. On this week’s show, we’ll continue to discuss the rate environment and its impact on the economy. Why? Because the implications are very important and dynamically changing. What camp are we in? Currently, we agree with Simon White of Bloomberg who recently had this to say: “Rising global rate expectations are likely to be disappointed as slowing inflation significantly tightens real rates through the rest of the year, allowing central banks to deliver fewer rate hikes than predicted.” Currently, the stock and bond markets appear to be signaling this very outcome, and we think this continues to be a great subject to stay on top of with you, our listening audience! Heidi will also discuss the difference between Treasury Bills and Bonds and the two critical differences between them. And Deann will bring those stats to bolster the conversation along with your questions!
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So, you’d like to retire? Before taking the plunge, there’s a lot you need to think about. What are the common and not so common issues and financial hurdles for pre-retirees and retirees alike? What are the steps to consider or adjustments you have to make to move the needle in your direction in the face of a volatile economic environment? We’ll discuss these issues and more as we review several articles giving insight from the financial standpoint as well as practical input from our many years spent with clients and pondering these very same issues.
Next, Heidi will review and discuss this month’s Social Security Advisor article titled, “Harsh Reality: Americans Do Not Understand Social Security.” Many stats and results will follow pointing up the importance of understanding the impacts, inflation and the financial benefits of learning more about you and your loved ones’ options for taking Social Security benefits. Last, Deann will take us into the stats side to continue the conversation and shed more light on our knowledge base. Tune in and take control!
Have you ever felt the need to know more? Like you’re missing out on crucial news and information … especially for your financial well-being? While this can sound like a tall order, today’s show will be all about giving you the current, prevailing economic conditions. While we can only guess where the resultant markets might lead, we can glean more information to help in our decision making. We’ll discuss some of the current stats and information that you probably haven’t heard or perhaps even been able to process.
Heidi will also review recent article in which workers are claiming they’ll need more than $1 million to retire comfortably. Workers are scrambling to make that figure a reality, and we will discuss how you might achieve that goal. And Deann will have plenty of stats to bolster this and add to the storyline. Tune in and take control!
Whether it’s by phone, email or text message, it seems like the number of scam artists out there trying to get your money or personal information is at epidemic proportions. And thinking that “this only happens to the older set” could not be further from the truth … no one is immune. Another issue we’ve heard from our connections in the banking sector is that those taken in by these scams are utterly embarrassed and, as such, are unwilling to discuss this issue and allow the education one gets from others with similar life experiences.
Today, we’ll discuss the scam explosion that’s occurring and how to protect yourself. We’re on a mission to inform and expose this terrible crime foisted on so many. And the confusion and complexity of today’s financial world doesn’t help matters either. We’ll discuss not only the fact set surrounding how today’s very sophisticated scams occur, but also the psychological attitudes that surround the experience of those while they are in these situations to shed as much light as possible to help you and your family avoid this and understand when it may be occurring. The numbers are staggering as to the dollars involved. So let’s go there, and please call in with your stories! Tune in and take control!
There has been a lot of press lately about the future of AI, or Artificial Intelligence. Understandably, most are concerned about its impact on our lives – historically, socially and economically. Regarding investments, how do we navigate the companies involved in this advancing technology? What are some of the possible dangers that will be part of our new world. Some have likened this new technological revolution to the impact the railroads had on our nation about 150 years ago. The question always becomes, “Should I be worried?” and “What are the opportunities?” While we can never know all the dangers associated, on today’s show we’ll discuss what AI is, how it works and what it might mean to us. We’ll also discuss the companies involved that we are aware of and the opportunity they have in this new environment. Next (and you heard it here first!) Nathan will explain why the Roth IRA may not always be a good idea. Given that we are always talking up Roth accounts, you might be surprised at this! Lastly, Deann provide lots of stats on AI that will help us navigate the details! As always, tune in and take control!
You may have heard the song “If” by the ’70s group Bread. The beginning lyrics are: “If a picture paints a thousand words, then why can’t I paint you? The words will never show the you I’ve come to know.” Unfortunately, we can’t even come close to turning a traditional IRA into a ballad, but we can perhaps help you to soar a bit higher than you thought possible by using the most highly taxed account you own for a higher purpose: charitable giving. In essence, how could you leverage a highly taxable asset to do the good you can help others accomplish more readily than you can on your own? On today’s show, we’ll discuss an article Dennis wrote for Ed Slott’s newsletter called “Why Leaving an IRA to Charity Makes Sense.” We’ll review all the benefits and options for gifting some or all your IRA to charity. Then Heidi will follow with Vanguard’s outlook for financial markets and their perspective on everything from inflation to markets here and around the world. Deann, of course, will include stats to keep the conversation engaging. Please remember … your questions are welcome! Tune in and take control!