Retire Smarter

What type of investor are you? Are you conservative, moderate, or aggressive?   These qualitative descriptors are how most think of risk. But what is conservative to you may not be conservative to another.  Rather than using non-measurable descriptions of risk, your customized retirement plan needs to be the foundation to objectively measure risk. Then and only then can the three types of risk -- required return, risk capacity, and risk tolerance -- be accurately evaluated and aligned. Why is this important? Take too little risk and it can be a conservative way to go broke. Take too much and you may go broke more quickly. Like the story of the Three Bears you want it just right.   Timestamps: 2:20 - What is risk tolerance? 8:30 - How this applies to our planning. 12:38 - Taking emotions out of the risk conversation 18:14 - Client examples 22:45 - Ongoing process for every individual     Contact: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-893-7526 Schedule: http://bit.ly/calltruewealth

Many think retirement planning is all about number crunching. While undoubtedly important, you first need to consider the personal and social aspects of your ideal life and retirement. Then align your resources to best support it.   You may recall from your studies psychologist Abraham Maslow's work on the Hierarchy of Needs. Maslow's work translates to retirement quite well. Interestingly, many types of needs are met at least in part through work. Take work out of the equation and those needs remain. So how do you meet them in retirement, so you can be a happy and fulfilled self-actualizer?   Hear Kevin discuss Maslow's work and how it relates to retirement. He'll discuss real-life stories of how clients have retired but struggled to meet needs without work with the hope of helping you avoid the same.     Timestamps: 0:58 - Back from first successful camping trip 4:03 - What does this hierarchy have to do with finance? 6:39 - Looking back on undergrad school 12:37 - Moving up the pyramid 15:27 - Client stories to illustrate this idea 26:12 - Differences between gender 30:21 - Exploring these levels with clients     Contact: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-893-7526 Schedule: http://bit.ly/calltruewealth

Having reasonable assumptions for investment returns is critically important for many reasons. These assumptions will impact your retirement plan, investment allocation, and your peace of mind. Why peace of mind? Well, if you are expecting something unreasonable, no doubt you're likely to be dissatisfied and more likely to be undisciplined. Hear Kevin review 10-year return forecasts from leading money managers Blackrock and Research Affiliates. What are domestic and foreign stocks likely to do? How about bonds and real estate? Tune in to find out and become a more informed investor.   Timestamps: 4:05 - Gauging Expectations For A Retirement Plan 11:32 - Why 10 Years? 14:50 - Diving Into The Data 29:07 - How Well Have These Predictions Done? 33:51 - How Kevin Uses These Expectations When Putting Together A Retirement Plan   Contact: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-893-7526 Schedule: http://bit.ly/calltruewealth

One of the beginning steps in every retirement plan is to value your assets and project their values into the future. Valuing assets like stocks and bonds is easy (though making accurate projections becomes more difficult.) Complexity increases even more when you consider illiquid assets like real estate and business ventures. Hear Kevin discuss how to model illiquid assets in your retirement plan. Learn why focusing on rental income is shortsighted and how scenario analysis with low to high values can be helpful for business owners. If you ever plan to sell real estate, this episode will be helpful. And the more of your net worth is in illiquid assets, the more you need to understand these key concepts to have a well-constructed retirement plan.   Timestamps: 3:34 - Illiquid Assets 8:04 - What's Caused More Interest In Real Estate? 10:00 - Common Mistakes In Real Estate 16:09 - Treat It Like A Business 19:47 - Incorporating This Into A Retirement Plan 21:47 - Projecting Illiquid Assets   Contact: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-893-7526 Schedule: http://bit.ly/calltruewealth

Hear Kevin describe a conversation he recently had with a podcast listener aged 57. He's planning on working for several more years and was wondering if now is too soon to get serious about planning for retirement. Kevin discussed the qualitative and quantitative benefits clients often get from the Retire Smarter Solution as well as some time-sensitive issues you need to address well before you retire. While it's never too early to start, as your time becomes more valuable, your assets accumulate, and the cost of a mistake becomes larger, it tends to make sense to hire an expert. This way you can make sure you're making the most of what you have.   Timestamps: 1:24 - Ray's Call With Kevin 4:54 - Getting Clarity 6:37 - Putting Together A Spending Plan 10:08 - Concrete Information 12:22 - Are Clients Better Off The Earlier They See An Advisor? 17:26 - Make The Most Of What You Have   Contact: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-893-7526 Schedule: http://bit.ly/calltruewealth

In the last episode, Kevin answered a listener question on inflation. He explained why retiree spending patterns in part combat inflationary risk retirees face. Now hear Kevin delve deeper into retiree spending patterns. If you don't want to work longer than you have to or want to spend more in retirement, this is an episode you'll want to listen to. Traditional retirement advice of having a steadily increasing income for life is wrong for most. Rather, spending tends to decline with age at a real rate of 1% yearly although increasing healthcare costs at the end of life are common. Carefully modeling these age-related changes and monitoring your plan over time will help you Retire Smarter.   Timestamps: 2:14 - Different Stages Of Spending In Retirement 8:42 - Chase Bank’s Retirement Spending Data 14:02 - David Blanchett’s Health & Retirement Study 17:06 - Getting Accurate Spending Data Into Your Plan   Contact: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-893-7526 Schedule: http://bit.ly/calltruewealth

Your money today will buy less next year. This decline is due to inflation, which is often believed to be the silent killer for a retirement income portfolio over time. After all the 4% spending rule had it's worst result starting in 1966 -- a time when inflation began to rise and peaked in the 1970s while economic growth was choppy at best. Might the future resemble this difficult time? Hear Kevin answer a listener question on inflation and whether the high levels of government spending and rising deficits are likely to lead to high inflation. And, if so, what changes should be made to your planning and investing strategy?   Timestamps: 1:07 - Dan’s Question About Inflation 2:53 - Fundamentals Of Inflation 10:00 - What Can We Expect? 13:09 - Why Inflation Has Been Low In Recent Years 16:51 - Measuring Inflation 24:05 - Closing Thoughts   Contact: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-893-7526 Schedule: http://bit.ly/calltruewealth

The government's money-printing machine is ripping. Here comes round 3 of stimulus checks and larger healthcare tax credits for many pre-Medicare retirees. Hear Kevin discuss the 3 rounds of checks, income phaseout ranges, and planning strategies to get yours. In some cases, you may want to file your 2020 tax return sooner and in others, you may want to wait. For many retirees, we are modifying our tax-smart distribution plan midyear 2021, lowering our taxable income targets and reducing Roth conversions, to reap benefits. Otherwise, you may lose out on thousands. As the saying goes, there is no such thing as a free lunch. We're all paying for this in the long run. May as well try to get yours now.   Timestamps: 3:49 - Tax Season Is Upon Us 6:07 - Eligibility & Phase Out Threshold For All 3 Stimulus Checks 19:20 - Short Term Solutions 22:07 - More Changes To Be Aware Of 27:02 - Healthcare Tax Credits   Contact: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-893-7526 Schedule: http://bit.ly/calltruewealth

It's not easy to hire a professional service provider. Even the most astute consumer only scratches the surface of truly understanding a profession they are not part of. The information gap is huge. So how do you ensure you find a competent and trustworthy advisor? Hear Kevin nine questions to ask your advisor. He will unpack some of the industry gobbledygook, share disclosures from brand-name Wall Street firms that will surprise you, and help you become a more informed financial-advice consumer. Whether you currently have an advisor or are considering hiring one, this episode is a worthwhile listen.   Timestamps: 5:05 - Questions To Ask A Financial Advisor 11:13 - Are You A Fiduciary Legally Acting In My Best Interest 100% Of The Time? 15:49 - How Do You Get Paid? 25:19 - What Are Your Qualifications? 32:44 - Planning Process 34:21 - What’s Your Investment Philosophy? 39:45 - How Many Clients Do You Have? 43:32 - How Will Our Relationship Work? 48:06 - Will You Require Me To Sell All My Investments To Work With You? 49:36 - Who’s Your Custodian?   Contact: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-893-7526 Schedule: http://bit.ly/calltruewealth

Fish mislabeling was once rampant in the US. Thought you were getting Red Snapper? Surprise! You get porgy or tile fish. Deceptive marketing for profits at best and exposing consumers to serious health risks, including food allergens and heavy metals in pregnant women at worst. Sadly, many 'financial advisors' are similarly mislabeled and may cause financial harm. After all, you just need a 70% on a multiple-choice test and a high school diploma to become registered (and the high school diploma is optional.) So how do you ensure you're hiring a true professional: one who is both competent and trustworthy? Listen to Kevin Kroskey, CFP® and special guest Tyler Emrick, CFP® share a behind-the-scenes conversation on the training (or lack thereof) they received when entering in the profession. Hear Tyler describe his journey from starting a top-10 firm (in terms of advisor headcount) where sales were prioritized over clients, and then spending a decade at one of the largest custodians where having in excess of 500 customers precluded personal relationships and quality advice. And learn why being a CERTIFIED FINANCIAL PLANNER Professional is the minimum competency to be a professional, but is just the minimum and not indication the definition of a good advisor. This inside-baseball-type conversation will shed light to help you become a more informed consumer and help you get your Red Snapper throughout your retirement. Tyler's Bio: https://www.truewealthdesign.com/team/tyler-emrick/   Timestamps: 1:45 - Tyler’s Background 5:14 - Fish Mislabeling 9:09 - Large Firm Experiences 15:17 - Lack Of High-Level Planning 20:48 - Seeking More 24:46 - Biggest Surprise When Working With Clients   Contact: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-893-7526 Schedule: http://bit.ly/calltruewealth

Putting the odds of investing and retirement success in your favor should be a given as is being diversified. But what does diversification really mean? Ten stocks? One hundred stocks? Two asset classes or ten? Building on the concept of standard deviation -- or degree of variability -- in investment returns, hear Kevin take the idea of diversification farther. Diversification is not just minimizing variability or owning the S&P 500. It's also reducing the risk of underperformance by owning the stocks and assets classes that will deliver higher returns and reducing the variability in dollar outcomes from your portfolio. Miss just a few of the best performing stocks each year or abandon an underperforming asset class whose future returns are now higher, and your portfolio will deliver more disparate results that are more likely to put you into the poorhouse. And that's no way to run a retirement portfolio to last your lifetime. The geek alert is sounded again for this episode but you don't have to be an investment geek to get significant value from this one.   Timestamps: 6:41 - Terminal Wealth Dispersion 11:23 - Reducing Risk 14:20 - Bill Bernstein’s Studies 18:32 - How This Impacts Retirement Planning   Contact: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-893-7526 Schedule: http://bit.ly/calltruewealth

If your head is in the freezer and your feet in the oven, on average you may feel quite comfortable despite suffering from two extremes. San Diego type weather on the other hand will leave you consistently comfortable over time. Averages are commonly used to discuss investment returns, but they are an oversimplification. You don't receive average returns. Compound returns drive your dollar growth and the variability in returns -- or standard deviation -- causes the compound return to always be less than the average return. Listen to Kevin discuss this core building-block concept and how it relates to your investments, risk, diversification, and retirement planning success. You may hear the geek alert on this episode, but having an understanding of standard deviation can help you be a better, more disciplined investor and put the odds of retirement success more in your favor.   Timestamps: 3:54 - Re-Cap On Topics From Episode 65 6:28 - Bell Curve 10:49 - Health Analogy 15:00 - Proper Expectations   Contact: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-893-7526 Schedule: http://bit.ly/calltruewealth

Inevitably you will have some investments perform better than others in your portfolio. A normal, human response is to seek pleasure and avoid pain or sell the underperformer and buy what has done well. But does that make investing sense? Listen to Kevin discuss critical concepts of diversification and probability and why process matters more than outcomes. Hear an example of this being applied in professional basketball and playing probabilities in blackjack. In sticking to a good process, good outcomes are more likely to result. In focusing on outcomes, you are more at risk of stampeding over the cliff with the uninformed herd and wrecking retirement.   Check the four-part Your Investing Process Series, mentioned in this episode: https://www.truewealthdesign.com/your-investing-process-part-1/ https://www.truewealthdesign.com/your-investing-process-part-2/ https://www.truewealthdesign.com/your-investing-process-part-3/ https://www.truewealthdesign.com/your-investing-process-part-4/   Timestamps: 0:43 - Defining Underperforming Investments 2:12 - Is The Investment Or Asset Class Underperforming? 4:32 - Metrics To Consider When Choosing Investments 6:57 - Getting Rid Of Underperforming Stocks 8:35 - Terminal Wealth Dispersion 12:32 - People Don't Invest Rationally 14:47 - Using Probability In Your Favor 20:38 - Planning For Different Outcomes   Contact: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-893-7526 Schedule: http://bit.ly/calltruewealth

What a year 2020 was. Pandemic. Contested elections. Civil unrest. Rollercoaster investment markets. As Churchill wrote, "Those that fail to learn from history are doomed to repeat it." Listen to Kevin discuss investment lessons you can learn from 2020 to be a smarter investor and keep your retirement on track for years to come.   Timestamps: 2:04 - What Stood Out In 2020? 8:02 - The Market Is Forward Looking 11:53 - Make Sure You Are Diversified 13:22 - Politics & The Market 21:57 - Sticking To The Plan   Contact: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-893-7526 Schedule: http://bit.ly/calltruewealth

Most Americans donate to charity and many have distinct goals in their retirement plan to meet annual charitable donations. Most also give cash ... the easiest but also least tax-efficient way to give. Hear Kevin discuss three ways to tax-optimize your charitable giving. Whether through in-kind transfers of appreciated stock, using a donor-advised fund, or via Qualified Charitable Distributions, each can help you gain a bigger tax break and meet your charitable goals in the Retire Smarter way.   Timestamps: 6:48 - Making Direct Gifts Of Stocks, Or Shares Of Mutual Funds 10:58 - Navigating Donor-Advised Funds 22:05 - Using IRA Money 26:29 - Two More Considerations For QCDs   Contact: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-893-7526 Schedule: http://bit.ly/calltruewealth

Pension lump sums will be much higher in 2021 than 2020. Listen to Kevin discuss timing considerations on how to optimize your pension benefits by understanding the key variables that determine your lump sum. Company pension plans specifically discussed include Akron Children's Hospital, Bridgestone, FirstEnergy, Goodyear, Mercy Health, and Rockwell Automation. Whether you have a pension from your company or not, you'll benefit from this episode. Why? Anyone can invest money with an insurance company and receive a lifetime income in the form of annuity payments. So these considerations are universal in crafting your retirement income plan. Want more information on pension claiming strategies? Listen to Episode 38. https://www.truewealthdesign.com/ep-38-pension-lump-sum-or-monthly-payment/   Check out Episodes 12 & 13 for more details about annuities. https://www.truewealthdesign.com/episode-12-behind-the-curtain-of-annuities-and-free-steak-dinners/ https://www.truewealthdesign.com/episode-13-beating-up-on-variable-annuities/   Timestamps: 2:58 - What Has Changed With Pension Lump Sums? 8:56 - Why These Changes Matter 10:33 - Segment Rates 16:11 - What To Expect In The Future 20:39 - Spreadsheet Story 25:04 - Closing Thoughts   Contact: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-893-7526 Schedule: http://bit.ly/calltruewealth

We're excited to make a big announcement on this episode of Retire Smarter. Kevin is joined by True Wealth Design's newest partner, Ron Wyatt, who brings more than 25 years of financial planning experience to the firm. A lot of existing listeners will be hearing from Ron for the first time, so we'll spend some time today getting to know his background and professional journey. And new listeners will also get to learn more about Kevin's experiences. The two will also cover why they've chosen to join forces now, and why it's going to be a benefit for all current and future clients. Join us as we celebrate the growing of True Wealth's footprint from northeast Ohio and southwest Florida to Pittsburgh!   Timestamps: 1:11 - Introducing Ron Wyatt 2:21 - Ron shares a little about his background 5:58 - Kevin gives a brief review of his background, including his time as a high school physics teacher 8:23 - Kevin tells us about one of his first clients, Tom, and the lessons learned from an emotional meeting in 2009 10:55 - Ron explains why he and Kevin are joining forces at True Wealth Design 16:56 - How does this impact clients? How will their experience change or remain the same with this transition? 24: 53 - Big picture: becoming a "bigger small firm"   Contact: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-893-7526 Schedule: http://bit.ly/calltruewealth

The purchase price of your car is one factor to consider. But the Total Cost of Ownership -- adding in costs for insurance, fuel, maintenance and repairs, as well as the residual value upon sale -- is a better way to evaluate financial aspects of a car purchase. In doing so, the cheapest vehicle is often more expensive than initially perceived. Same too goes for selecting investments. Many solely use the expense ratio to determine what fund to buy. But while the expense ratio is important and easily observable, it does not tell the whole story. In fact, it may tell only a small part. Listen to Kevin describe total investment costs and related factors to consider when choosing your investments. Having a more complete view will help you make smarter decisions.   Timestamps: 0:53 - The Election 8:55 - Kevin’s Burrito Story 12:51 - Expense Ratios 17:24 - Securities Lending Revenue 21:16 - Helping A Client Understand This Process 24:49 - How Do You Reach A Conclusion?   Contact: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-893-7526 Schedule: http://bit.ly/calltruewealth

Healthcare is a primary concern, especially for retirees. Transitioning from employer-provided coverage you've been on for decades is stressful. Now you have more complexity and choices than ever before. And, yes, costs may seem sky high after retiring and before Medicare. Listen in to hear Kevin and health insurance expert Zig Novak discuss health insurance options from the time you retire to before you can begin Medicare at age 65. Should you take COBRA? What types of plans and are available for Affordable Care Act (ACA or Obamacare) plans, and how much do they cost? How do ACA tax credits work, and how valuable are they? Get informed. Get destressed. Know what you need to about this important topic to Retire Smarter.   Timestamps: 4:00 - Pre-65 Healthcare Planning 8:15 - Floating Cobra 14:27 - ACA Plans 26:00 - Tax Credits 31:37 - Verifying Your Income   Contact: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-893-7526 Schedule: http://bit.ly/calltruewealth

Healthcare is a primary concern, especially for retirees. Transitioning from employer-provided coverage you've been on for decades is stressful. Now you have more complexity and choices than ever before. Listen in to hear Kevin and health insurance expert Zig Novak discuss Medicare-related topics. What will it cost? How may costs change as you age? What are the pros and cons of supplemental and advantage plans, and how do you decide which may be better for you? Get informed with useful information to help you Retire Smarter.   Timestamps: 2:56 - Special Guest Zig Novak 5:18 - Alphabet Soup Of Medicare 8:09 - The Costs Of The Different Parts 21:28 - Services That Medicare Doesn’t Cover 23:24 - Advantage Versus Supplemental Plans 33:25 - Switching Between Plans   Contact: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-893-7526 Schedule: http://bit.ly/calltruewealth

Proper investment diversification works ... even when you don't want it to. With the US stock market and particularly large technology stocks having the wind at their backs recently, many are eschewing diversification to chase these high flyers. As the saying goes, if we forget history, we are doomed to repeat it. In that spirit, hear Kevin tell a tale of two decades. First is the Lost Decade of the 2000s when, after the Tech Bubble burst, US investors lost money for an entire decade from 2000 to 2009. Second is the recent decade from 2010 to 2019 where US stocks screamed. The two are starkly different and instructive. Combining the entire 20 years allows you to clearly see the benefits of discipline and diversification. What will the 2020s hold? Only time will tell, but today resembles the late 1990s in some ways. Importantly, in retirement, you can't afford to have a Lost Decade.   Timestamps: 6:15 - The Problem With Stock Splits 13:41 - Our Current Environment Is Similar To The Late 1990’s 18:50 - Areas That Are Not Doing Well 22:11 - The Way Diversification Works 25:12 - Avoiding Recency Bias   Contact: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-893-7526 Schedule: http://bit.ly/calltruewealth

Biden or Trump? Republicans or Democrats? Who will be better for the economy and your investments? These are questions many are asking with the election quickly approaching. Many let their political beliefs influence their investment strategy, but should they? Hear Kevin discuss what the evidence shows and how our political beliefs may influence our perceptions of reality. Get ready to check your alternative facts at the door and get real.   Timestamps: 6:24 - Keep Politics Separate From Investing 10:47 - Pew Research Poll 14:33 - Perception Becomes Reality 19:49 - Peter Schiff Making The Right Economic Call, But Not The Right Investing Call 29:39 - We Have Beliefs, But 200 Years Of History Is More Insightful

Paying a lower tax rate today vs. what you would otherwise pay in the future on pre-tax IRA/401k dollars is a good move. They way you can do so is by converting money to a Roth IRA and paying tax in the year of the conversion. The 2017 Tax Cuts and Jobs Act (TCJA) lowered tax rates and significantly widened tax brackets on individuals. Current law has the tax rates under the TCJA in effect through the 2025 tax year and increasing to pre-TCJA rates and brackets in 2026. Yet, tax rates may go higher sooner. Many election models are currently forecasting Biden to win and for the Senate to flip blue. Assuming these come to fruition, the Biden Tax Plan calls for tax increases to occur before 2026. Then there are the trillions of dollars in unprecedented fiscal stimulus added to the government’s books to deal with the COVID crisis. At some point, the mounting debt has to be paid for, and various taxes are the way it must be paid. Thus 2020 may be the last best year for conversions. Hear Kevin discuss these considerations in detail to empower you to take action to reduce your tax risk and improve your after-tax, spendable wealth.   Timestamps: 4:16 - Why Roth Conversions Should Be Considered Right Now 12:34 - Current Law  16:09 - What Could Be Potentially Coming Down The Road 20:15 - Items To Consider When Tax Planning 25:55 - Sense Of Urgency

Some 24% of those 56 and older say the pandemic has caused them to push back their planned retirement date, according to a survey conducted by The Harris Poll on behalf of The Nationwide Retirement Institute. Hear Kevin discuss key variables you should consider as you plan through the COVID-induced uncertainty, including items that may nudge you to retire now and others that result in waiting.   Timestamps: 6:45 - Kevin's First Impressions On Postponing Retirement Due To Pandemic 10:35 - Case Study (Mark And Linda Consider Pros And Cons Of Retiring) 16:28 - It All Starts With A Plan 18:04 - Unemployment Considerations 20:47 - Healthcare Considerations 21:56 - Further Considerations In Delaying Retirement

65% of Institutional Investors surveyed in late June believe the market is factoring in the long-term impact of the coronavirus "too little" while only 5% said "too much," implying the market is overvalued. Yet, the market has continued to go up. Has it come too far too fast? Hear Kevin discuss the topic in detail and explain why our brain function predisposes us to make investing mistakes, including blindly chasing investment returns and firmly entering the world of speculation (while abandoning principled and process-based investing). He even attempts to work in stories about Homer Simpson, Halloween, Thanksgiving, and pre-modern man to illustrate his points. Quite a feat to attempt. You won't be disappointed.    Timestamps: 5:34 - Are Markets Factoring In The Impact Of The Coronavirus Appropriately? 9:54 - How Do We Define The Term “Market?” 15:34 - Too Big, Too Fast? 19:19 - An Important Lesson From The Simpsons 25:00 - Breaking The Herd Mentality

Investing should be scientific and process-based. Speculating is more akin to gambling and lacking fundamental support. At extremes, it is easier to discern the two but can be shades of grey in between. Hear Kevin discuss the forward-looking nature of the stock market and times why it can make investing sense (not speculating) to look through bad economic news. And be sure to listen to the end where Kevin discuss process-based portfolio changes made in March, as a result of changing inputs, and why Vanguard's DIY investors' portfolio inaction was the wrong thing to do.   Timestamps: 2:30 - Assumptions That Need To Be Made 9:20 - Looking Back On The Pandemic 13:29 - Looking Forward To The New Normal 22:30 - Rapid Changes

Like your work but hate your job? Bad boss. Terrible commute. Whatever the reason. Hear Kevin share a story of a client who retired in her late 50s. She loved her work and taking care of her customers but hated other aspects of her job. She worked long hours and had a long commute. Taking care of her household on the weekend and trying to have a bit of fun left little space and time to seriously consider her retirement and life after work. Perhaps this is why she was in a state of disbelief after her retirement plan showed she could retire in her 50s. The sheer thought of retiring was new and a bit scary. And be sure to pay attention to the end to hear how things are going for her now four years retired and how she has defined phases and varied strategies to her retirement distribution planning.   Timestamps: 4:47 - About The Client 8:58 - The Realization Of Being Able To Retire 14:12 - Padding The Expenses  19:44 - Healthcare When Retiring In Your 50’s 25:59 - Present-Day Planning

You cut the paycheck cord and enter retirement. Then a spending goal unexpectedly increases...significantly. You can't simply continue to work longer, so what do you do? Hear Kevin discuss real-life cases where clients had to provide financial support to their daughter going through a messy divorce and another situation where a client desired to buy a 2nd home. Though the situations were starkly different, the process to rework the retirement plan and evaluate tradeoffs was similar. Life throws curveballs. Best to have a plan and process in place in advance on how to deal with them.   Timestamps: 4:18 - Client Story: Life Happens, Things Change 8:07 - Reworking The Plan For A Second Home 14:26 - Picking Up New Spending Goals 17:09 - Potentially Downsizing 18:12 - Taking A Second Look At Travel Expenses 20:14 - Providing Clarity 22:21 - Helping Clients Make Informed Decisions

You live below your means and invest for your future ... similar to your parents. Now your parents are getting older, and it seems fairly clear they'll be leaving you an inheritance at some point. Meanwhile you're still working. Should you include the potential inheritance in your retirement plan? Banking on an expected inheritance for your retirement plan involves risk. Hear Kevin discuss real-life cases where it was appropriate and another where it was too risky.   Timestamps: 6:25 - Market Update: We Are Not Out Of The Woods Yet 17:57 - Lean Towards The Conservative Side When Incorporating An Inheritance In Your Financial Plan 24:25 - 1st Client Case - Open Communication About Finances 30:03 - 2nd Client Case - Less Certainty About What The Future Holds 36:51 - 3rd Client Case - An Awkward Conversation Can Make A Great Impact On A Financial Plan

The five biggest tech stocks -- Amazon, Apple, Facebook, Google, and Microsoft -- are great businesses. They've been so successful over the last decade that they comprise about 20% of the total S&P 500 market capitalization -- a level of concentration not seen since the late 1990s. They also command higher prices (valuation) than the market as a whole. While these companies have provided outsized growth rates and returns to investors over the last decade, there is no logical reason you should expect similar outsized growth rates and returns over the coming decade. Whether it is due to the magnitude of their success, capitalism or regulation, it will be nearly impossible to repeat their growth and success moving forward. Listen to Kevin describe a simple thought experiment illustrating why it's mathematically impossible for past to be prologue for these tech darlings. Eventually, the music will run out. Investors will again learn the lesson that price matters ... just as they learned the same at the end of the Tech Bubble.   Timestamps: 6:24 - Why Do Tech Stocks Get So Much Attention? 9:46 - Looking Back At Tech Stock Growth From 2010-2019 14:57 - Why Growth Will Be Much More Difficult Going Forward 25:00 - Why Prices Matter

Interesting parallels can be seen in modeling retirement projections and the Coronavirus pandemic. Small changes to inputs -- such as the rate of return or infection spread rates -- can have magnified effects on outputs -- such as ending wealth or total infections (and ultimately deaths), given similar exponential growth traits. What is important to understand in both are the concepts of risk and uncertainty. Risk can be modeled. Uncertainty cannot yet must be planned for. Misunderstand either and things can quickly go wrong. Hear Kevin discuss these two critical concepts. He also gives his opinion on why Ohio Governor Mike Dewine was prudent in the aggressive economic shut down in face of Coronavirus uncertainty. However, Ohio, and the U.S. at large, now need to transition back to economic functioning in light of Coronavirus risks being better understood, significantly less than what was initially believed, and to avoid second-order effects becoming more severe than those from the virus itself.   Timestamps: 3:45 - How Risk And Uncertainty Affect Investing 14:37 - What Is Non-Linear Modeling? 17:32 - An Example Of Non-Linear Modeling 21:33 - The Math And Science Of The Coronavirus 35:09 - Known Unknowns

Control risk? Buy low and sell high? Higher returns? Who doesn't all of these in their portfolio! And that's what portfolio rebalancing can do. While rebalancing sounds simple in theory it quickly gets complex in practice. Hear Kevin describe rebalancing from the simple to complex and the emotional hurdles to overcome as well. Be sure you or your advisor is taking advantage of the high-probability benefits rebalancing is expected to add to your net investment returns when done right. Have questions? Need help making sure your investments and retirement plan are on track? Use this link to schedule a free 15-minute call with one of True Wealth's CFP® Professionals. http://bit.ly/calltruewealth   Timestamps: 4:32 - What Is Rebalancing And Why Is It Important? 7:37 - Historical Data 9:47 - Problems With Rebalancing 16:43 - Examples Of Complications 

Suppose you have to have surgery. Does exploratory surgery sound like something you would volunteer to undergo? Or, does a pre-determined surgical plan sound better? If you're like me, having a plan and a repeatable process sounds less risky and what I would prefer. The same goes for retirement. Retirement spending. Health Insurance. Social Security. Investing. Taxes. These are all key and complex areas where you need to make smart decisions for retirement. So how do you thoughtfully consider and carefully integrate them into a well-crafted retirement plan?  Listen to Kevin describe True Wealth's Retire Smarter Solution™ that aligns your money to your goals, overlaid with tax-smart strategies, so you can retire with confidence. If you are a DYI'er that no longer wants to perform exploratory surgery or are unsure if your current advisor is doing the same, reach out to the True Wealth Team at 855-TWD-PLAN or https://www.truewealthdesign.com/ for a free 15-minute call with an experienced CFP® professional to learn how the Retire Smarter Solution™ can help you.   Timestamps: 1:22 - Exploratory Surgery Is Not The Solution 4:10 - What’s The Big Picture? 5:27 - What Are You Actually Spending? 8:57 - Where Is Your Income Coming From? 9:52 - Factoring In Various Risks 11:44 - Having A Concrete Plan Alleviates Fear 15:41 - Making Sure Investments Match The Plan 16:01 - Using A Tax-Smart Distribution Strategy

Retirement planning (done right) has always been a continuous process. With the turmoil caused by the Coronavirus, prudent planning is having to be done and redone in short order. Things are changing quickly and you need to take a dynamic approach to your planning and investing to avoid dangers and capitalize on opportunities. Hear Kevin dissect a ten-year client's dynamic retirement story. Learn why their withdrawal rate was more than twice the 4% rule of thumb and how their portfolio allocation has changed over time. And be sure to pay attention to the end to discover why their prudent planning has afforded them the luxury of taking a conservative investment approach or allows them to now be opportunistic. Have questions? Need help making sure your investments and retirement plan are on track?  Use this link to schedule a free 15-minute call with one of True Wealth's CFP® Professionals.  http://bit.ly/calltruewealth    Timestamps: 1:16 - You Can’t Teach Experience 9:30 - Kevin Talks About Initially Meeting John And Jane 13:48 - Reducing Stock Allocation 16:47 - Appropriate Withdrawal Rate 19:47 - John And Jane In 2020 26:55 - Proving Your Worth Everyday

Hear Kevin give an update on the current state of the markets and financial planning to-do's that need to be done through the Coronavirus turmoil. Proper execution of your financial and investment plans is required in large amounts to make sure you stay on track. It's not all bad news out there. Many opportunities are being created that you can capitalize on. And be sure to listen to why you may want to reconsider your Roth Conversion strategy and Social Security claiming decision in light of current circumstances.   Get show notes and additional resources here: https://www.truewealthdesign.com/podcast/    Timestamps: 5:02 - High Quality Bond Behavior 12:06 - Considerations For Client’s Portfolios 18:13 - What Makes A Good Advisor 26:00 - How True Wealth Is Operating Currently    

We're in a crisis ... different from 2008. The pandemic and prudent, social-distancing response is causing fear, uncertainty, and now panic in financial markets. Listen to Kevin explain the current state of the markets and how this crisis is currently materially different from 2008. Be sure to pay attention to why -- from a financial perspective -- our country is better positioned to navigate through these troubled times by dusting off 2008's playbook, and what you need to do to keep your plan on track. Have questions? Need help making sure your investments and retirement plan are on track? Use this link to schedule a free 15-minute call with one of our Certified Financial PlannerTM Professionals ---> http://bit.ly/calltruewealth   Get show notes and additional resources here: https://www.truewealthdesign.com/podcast/    Timestamps: 0:57 - Update: The Podcast Is Moving To Weekly Installments 3:41 - How Kevin & His Team Have Adapted To The Situation 8:21 - Where We Stand Now 21:20 - How The Bond Market Has Been Affected 34:11 - Keeping A Level Head With All Of The Changes

Timing the market sounds great, especially during times of market distress like that caused by Cornovirus (COVID-19) concerns. Who wouldn't want to participate only in the ups while avoiding the downs!? Sadly, the only way market timing will work is for you to get lucky, which is no way to invest your life savings. Listen to Kevin describe the theoretical reasoning about why market timing does work and investigate both the academic research as well as the actual record of mutual funds that follow timing strategies. It's interesting to see how the research has been verified in practice by these funds. Instead of falling victim to the allure of market timing, Kevin describes the current situation and prudent, processed-based response to help you tune out the noise and stay on track. Episode 27 Investing Process: https://retiresmarter.podbean.com/e/your-investing-process-part-1/ Timestamps: 3:15 - Cluster Effect 7:58 - Different Types Of Asset Allocations 14:00 - Why Staying In The Market Long Term Is So Important Instead Of Market Timing 21:56 - Mutual Fund Evidence 25:52 - Things Are Bad Right Now, But Market Timing Isn’t The Answer

Shocks like the Coronavirus (COVID-19) or Russia's assault on oil prices can't be predicted. Yet, your financial life plan must be able to weather shocks and your investment strategy respond appropriately.Investors are not only concerned about their health but are questioning what to do about their money. Listen to Kevin describe the current situation and prudent, processed-based response to help you tune out the noise and stay on track. Timestamps: 2:45 - Kevin looks to put the past week of volatility into perspective. 8:54 - A lot of people have been reaching out recently to address their financial picture. 14:47 - Kevin is still making 401(k) contributions personally, despite the down market. 16:35 - All we tend to hear on the news is negativity. 21:25 - A look back at the health of the economy before the Coronavirus impact and what that tells us about when we get through this crisis. Useful Info: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-TWD-PLAN or 855-893-7526

Congress has agreed on something! Your retirement accounts are not estate planning vehicles. (Sigh.) Provisions in the SECURE Act are now law as of 2020 and impact all IRA owners. Listen to Kevin simplify the laws and unpack the 3 key changes. The good news is that if you're doing proper planning, you are likely less at risk than conventional media headlines and other financial advisors are reporting. And be sure to pay listen at the end, when Kevin describes what premortem and postmortem strategies could help you and your family keep more of your hard-earned money. Useful Info: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-TWD-PLAN or 855-893-7526

Pension lump sums are higher in 2020 than 2019. But which should you prefer? Listen to Kevin discuss how to financially evaluate the decision as well as what research shows retirees prefer.Whether you have a pension from your company or not, you'll benefit from this episode. Why? Anyone can invest money with an insurance company and receive a lifetime income in the form of annuity payments. So these considerations are universal in crafting your retirement plan.Company pension plans specifically discussed include Akron Children's Hospital, FirstEnergy, Goodyear, Mercy Health, and Rockwell Automation. Useful Info: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-TWD-PLAN or 855-893-7526

Sue is a recent widow and has gone through significant life and money transitions. Listen to Sue's unique story and learn why her financial concerns are likely the same as yours. And be sure to listen to why Sue refused to shake hands at the end of our initial meeting and what she did instead. Useful Info: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-TWD-PLAN or 855-893-7526

Avoiding Ohio income tax is key for many snowbirds. The old adage of just having to be out of Ohio for 6 months never was correct. Listen to Kevin explain the key steps in documenting your Ohio nonresidency. Useful Info: Request The Ohioan's Guide To Snowbirding In Florida: https://www.truewealthdesign.com/contact/ True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-TWD-PLAN or 855-893-7526

It's that time of year again. The northern states are filled with grey skies and cold, wind, and snow. If you're thinking of heading south for the winter, here are four key considerations to making your snowbird experience a success. Useful Info: 10 Best Retirement Cities Episode: https://retiresmarter.podbean.com/e/top-10-best-retirement-cities/ Request The Ohioan's Guide To Snowbirding In Florida: https://www.truewealthdesign.com/contact/ True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-TWD-PLAN or 855-893-7526

Things in life and planning aren't necessarily cut and dry. You may take several paths to reach your destination. But which one may be best? Listen to Kevin discuss a retirement situation where several strategic paths existing and how he and his team came to the preferred path in creating an integrated, tax-smart distribution plan. Useful Info: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-TWD-PLAN or 855-893-7526

It's common to see articles or to-do lists for year-end tax planning. But these often lack substance and fail to answer why a strategy may or may not make sense for you. Listen to Kevin describe a simplified framework to understand your tax situation and then how to thoughtfully consider what tax-smart strategies make sense for you. Useful Info: Randall Munroe's "What If" Book: https://www.amazon.com/What-Scientific-Hypothetical-Questions-International/dp/0544456866 True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-TWD-PLAN or 855-893-7526

We want it all in life and for our retirement. We want the city where we live to have it too -- affordability, a plethora of activities, fantastic quality of life, and great healthcare. Learn the 10 best cities as ranked by Wallethub and what makes them great. Some may even surprise you. Tune in and start envisioning where you want to be in retirement and plan for how to get there. Useful Info: Wallethub Article: https://wallethub.com/edu/best-places-to-retire/6165/?fbclid=IwAR2ZvsUK1mW06MMlHootGpCS_2QJGllrLSgaa6NDKVlKdBoQNjBEIRiI31Y True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-TWD-PLAN or 855-893-7526

You made it to retirement and seem to have enough. Now how do you go about recreating your paycheck and distributing money from your savings and investments and to do so in a tax-smart way. How do you do it? Listen to Kevin describe the process True Wealth goes through to make sure these important distribution details are handled to help you stay on your retirement track and pay no more than your fair share in tax. Useful Info: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-TWD-PLAN or 855-893-7526

While your asset allocation recipe is the most important portfolio decision, we still want good ingredients. Listen to Kevin explain the broad differences in active and passive (indexed) ingredients, the evidence behind each, and some exceptions to where an indexing approach may not work as well. Useful Info: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-TWD-PLAN or 855-893-7526

Your asset allocation recipe is the most important portfolio decision, and there are a few different flavors of asset allocation. Listen to Kevin describe the differences and what the evidence shows works best. Useful Info: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-TWD-PLAN or 855-893-7526

Now that you understand the basic building blocks of an investing process, listen to Kevin explain what key factors investing science has shown to drive stock and bond returns over time and which to favor to build a better portfolio. Kevin also explains a recent phenomenon in stock prices that is reminiscent of the late 1990s Tech Bubble as it relates to one of the key factors that drive stock returns. Useful Info: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-TWD-PLAN or 855-893-7526

Do you have an investment process? Most people don't understand their advisor's process (if they have one). Yet, in investing, you cannot control your investment results, but you can control your process, which should lead to better results over time. Listen to Kevin give you a high level of a science-based investing process you can understand without having to get a graduate degree in Finance. For related content, click here to listen to Episode 14 on Expected Investment Return Forecasts. Useful Info: True Wealth Design Website: http://www.truewealthdesign.com/ Call: 855-TWD-PLAN or 855-893-7526