In this episode we discuss the staple of retirement planning: the search for your number.
Doing the Math
- Changing plans: at what age will it run out?
- Should you increase savings from 10% to 15%?
- Should you decrease retirement income from 75% to 70%?
- Should you delay retirement another two years to accomplish your goals?
We can go over your numbers to fine tune and provide you with a clearer picture.
- If you are saving for retirement in a 401K (or something like it) you will be limited to the menu options presented. You might be forced to have a taxable account.
- Did you know that you can hold virtually anything in a IRA except life insurance and certain collectibles?
Did you know that some REITS may be tax inefficient with relatively high dividends that might be fully taxable as ordinary income?
Passive Investments Plagued by Momentum
Pros find value stocks and purchase. They sell the idea to Prime Brokers then researchers report positive things about companies. Investment banks would raise expectations to a “buy.” While all this pumping up of portfolios is happening, the big boys are dumping those cheap stocks on the unsuspecting public.
Everyone wins except the public.
S&P/Dow Jones indices reports 88% of large cap mutual funds trailed their benchmark indexes over the past five years. Have you checked your portfolio, and if not, why not? Have you been called by your advisor, and if not, why not?
Did you know equities are richly valued? There has been a downturn in economic growth despite what the news says.
Political uncertainty. The answer is to reduce exposure
David Stockman, former advisor to Ronald Reagan, believes stocks will crash 30% to 40% this year.
Money Market reports that there are up to 17 different fees in 401ks and other retirement plans.