TPWM 7-3-21 FINAL.mp3: Audio automatically transcribed by Sonix

TPWM 7-3-21 FINAL.mp3: this mp3 audio file was automatically transcribed by Sonix with the best speech-to-text algorithms. This transcript may contain errors.

Speaker1:
Take point on retirement, a well rounded show from a well-rounded team leading you into retirement. Listen, Saturday mornings for an hour of simple retirement advice from your friends at take point to wealth management. Saturday Mornings 730 Eric Arnet is an investment advisor, representative of Retirement Wealth Advisors LLC and SEC registered advisor Pequeno Wealth Management. This station and RWA are not affiliated. Exposure to ideas and financial vehicles discussed should not be considered investment advice or recommendation to buy or sell any financial vehicle. Any comments regarding safe and secure investments in guaranteed income streams refer to fix insurance products. They do not refer in any way to securities or investment advisory products. Fixed insurance and annuity product guarantees are subject to the claims paying ability of the insurance company and are not offered by retirement wealth adviser. Hey, welcome to Saturday Morning. Holiday weekend. J.W. here with you. Got some friends in the studio I want to share with you here. Every Saturday, judiciary services up and down the Nature Coast. They're close by within our backyard. Makes it so simple for our stress free retirement. And that's why they're in the studios to share that experience with you, that professionalism in all that they have to offer. My friends at take point wealth management, of course, lead advisor, retirement planner Eric Arnet, once again, busy, but Randy Woodruff, a certified public accountant, real estate agent and team take point member, is in our studios once again. And of course, we welcome Randy Woodruff. I'm glad you're here. Erik is once again busy training. Last week he did

Speaker2:
Training last week, came back. He had a good chance to spend a few hours together yesterday going over everything he learned up there. He's excited about some of the new, I'll say, products. I use that term loosely services, ideas, concepts that we can discuss with our clients. And so a lot of great things he came back with. I'm sure he's looking forward to getting on the radio, being able to talk about that, but more importantly, getting in the office with our clients and current clients and new clients and talking with them as well and seeing what things we can can change potential in their portfolio to help them increase their income and live a more stress free retirement. So that's what we're all about.

Speaker1:
Yeah, take point. Wealth management, of course, it's in the name wealth management. And take point comes from the military because Eric, of course, served in the military as a veteran of our armed forces. He has created Take Point Wealth Management with Randy Woodruff right here along the Nature Coast with offices in Tampa, Springhill, Springhill. Wonderful, great. And expanding and expanding absolutely. Daily. So they do that with your help. If you need a few delivery service, you need to contact take point wealth management. I did their phone numbers three five to six one six zero five one one Main Street. That's what you'll find to take point. Wealth Management,

Speaker2:
Thank you for that opening up today. You've heard Eric and I talk a lot about Roth IRAs. Yeah. Believe very strongly in them. We've discussed the benefits of Roth. IRA is one of the ones. The main thing we feel very strongly about is that some point taxes are going to have to go up, unfortunately. Be nice. Your spending went down, but that's probably going to be the case. Yeah. So taxes are going to have to go up and go up on potential. All of us, they're always going to hit the rich people first, or so they say, but eventually it's going to trickle down to mainstream America. So as you go through life, the idea of having some tax free income is very appealing, especially as you as you age. You don't have any opportunity to make any more money as we age and retire in terms of going out earning income. So we're looking to have more income in retirement is always an attractive option. So if you have tax free income, you can you can take that income out and it's tax free. So depending upon your tax bracket, you could have an extra 10, 15, 20 or more percent extra, I'll say cash flow.

Speaker2:
And I have to pay tax on the money pulling out of retirement. So try to plan, if you can, to have some of that tax free income in retirement. You won't be disappointed. But having that option plus it's easier with with your financial planner, as you're planning every year we've talked about before, if you have a big event, they sell a piece of property, may sell a stock position off that you've had for a long time and be a big part of your portfolio. You've had for a long time that was in one stock. So it caused a pretty big, significant tax increase that year while allowing us to pull from non taxable income sources. That year is always ideal because you're always going to be an elevated tax position. So you're, again, just giving us more options as planners to achieve the the best, most tax efficient retirement plan for you every year in terms of your income distributions is is really beneficial for both of us being able to plan and for more importantly, for you as the as the as the client being able to take the income that you need and see the lowest tax rate possible.

Speaker1:
And that's where you come in handy. Of course, you're the tax man. Randy Woodruff. Yes. CPA, certified public accountant and big part of take point wealth management. I would call him partner with Eric Arnet, lead advisor, retirement planner. You've got these folks, these professionals and so many more at your fingertips right here along the Nature Coast within our listening area. And they're here every Saturday to share that expertise they have and of course, those years of experience with you and their professionalism. Every Saturday, seven thirty to eight thirty right here, only on this station. Sereny Woodruff once again in our studios. We're talking to him from Take Point Wealth Management. If you need a does every service, you need to reach out to them three five to six one six zero five one one. And Randy, the Roth IRA sounds like such a great idea. Of course, that's what I believe anyhow. And a Roth IRA myself is a great product.

Speaker2:
It definitely is. And as we talked on this show so many times about Roth IRAs, one of things we haven't talked to often, managers are Roth IRA and Kaye as well. That's right. That most folks really haven't heard of. So in some cases, the answer may be that that both are a good, good choice. Should you have a Roth IRA Roth for when, as we say here and playing, whether it be for financial planning or tax planning and all depends upon your personal situation is which one's best for you or maybe are both best for you.

Speaker1:
So now do you have to be employed or retired to be able to reap the benefits from either or

Speaker2:
So to be to be able to participate in a Roth IRA when it's offered to your employer? Oh, OK. I think these are still they're still fairly new. I don't think many employers offer Roth for one case. I'm actually looking into into I have a simple IRA at my CPA firm and I'm not looking at converting now, rolling into dissolving the simple IRA and opening up a Roth 401k. What I want to do is go through some of the differences in the pros and cons between both and here again, which one is best for the listener if for our clients? It is depends on your situation and where you're at in life. Perhaps the biggest advantage offered by a Roth IRA is that they are not subject to the required minimum distributions. Most of you that are listening probably have heard of it 70 and a half. He has to take out R&D, are required minimum distribution out of your IRA account now that age is bumped up to 72. A good thing. It's a good thing. Okay. Yeah, you can still pull from it if 59 and a half and there's no 10 percent penalty for doing that. But at 72 now you have to start taking money out of it. But with a Roth IRA, there are no R&D said that will allow that money if you don't need the money continuing to keep accumulating in your IRA and it's still growing, growing tax free.

Speaker2:
So not having to take R&D can be a powerful tool for both retirement and estate planning. The ability to allow the assets in the account to continue to grow tax free can happen to help continue to accumulate retirement savings that can be withdrawn tax free if needed during retirement. The estate planning aspect is critical with the new inherited IRA rules for most non spousal beneficiaries. Under the Secure Act, inherited IRAs were passed tax free to beneficiaries, even with the 10 year rule, as long as the original Roth IRA account holder had met the five year rule requirements prior to their death. A Roth IRA will allow a broader range of investment options in a Roth 401k, where the menu is limited to the options provided by the plan sponsor what that means. The last point I was making about the Roth IRAs, having a broader range of investment options, and Roth, for one case, if he worked an employer and they have a 401k plan or a simple IRA or you can retirement plan, you know, they usually have a plan trustee or plan sponsored plan administrator that basically picks out a variety of investment options. And then you get to go in and meet with that person and pick the ones that you specifically want. And so you have very limited choices. But if you have a Roth IRA or a traditional IRA or any type of investment with Eric and I, the sky's the limit in terms of what you can invest in.

Speaker2:
And we aren't limited by a priest determined idea or selection that we can offer to our clients. And we'll call it a downside. That's a limiting side to a Roth IRA when you're not going to have all of the investment options that that might get you the desired returns that that you would like to have, that you may be able to achieve in a regular IRA or traditional IRA or any other account managed by a professional advisors who regulates that regulates the investments inside their or so typically the four one K plan or Roth for one K plan or any other company investment plan. Those investments are probably decided upon by the trustees in conjunction with like a plan trustee or plan administrator in conjunction with a investment adviser. But you know, if you work at let's say you work, I pick a big company, Wal-Mart. OK, OK. Wal-Mart has a I'm sure for one K plan and they've worked at Wal-Mart. So I don't know their process, but I doubt that they have a financial adviser sitting down with every single employee when they want to sign up for the four one K plan and advising them on all the you know, on everything. There probably is a very private process that that they go through and then they get to pick certain mutual funds. And that's all they have to pick from.

Speaker2:
Right. So here again, I'm assuming that that's the case and haven't been through their process. But I do have other clients that have four one K plans. And it's basically you get to pick from a I should say, they had they participate in four one K plans at other companies and they get to pick from a set assortment of mutual funds. And that's all they get, which is a mistake. It's a bad thing, but it's just, you know, you don't get all the investment options that you can get when you work with a personal financial adviser. Yeah, but again, it's definitely if you do have an available ability for a four one K plan at your place of employment, strongly concerned, you take a look at it. Even if you are participating in a forwent Rothera one K plan or for one K plan at your place of employment. You know, Eric and I can still offer some investment advice on what you should be investing in. And we can we can kind of get into the underlying mutual funds of what's in there and we can help you maybe be more strategic on when you may pull some money off the table, when the market might be heading for a bit of a reset or a bit of a correction so we can still work with you. It's just more difficult when we're not managing the money.

Speaker1:
So let's say I'm employed, I'm working, I've got a 401k plan through my employer. I can bring that plan to you or the paperwork necessary. And you can take that and switch me over to a Roth IRA or a one K No, it's not that easy.

Speaker2:
No, you're the plan at your employer. We can't. The Roth for one K is an employer sponsored plans, employer owned plan. So you can't bring a Roth 401k to us. Now, what you can do is if you're leaving a company and you now want to retire or transition to a new company, you can roll the money out of your Roth 401k plan to Eric and I to manage in a Roth IRA for you. I got you. But while you're still employed by the employer, you know, those funds have to stay under that plan, OK, and manage by the plan. Another, I'll say, drawback to a Roth IRA, which we have really talked in this year. I guess that will be a drawback is just compared to a Roth IRA when it's a drawback in one of the biggest downsides to a Roth IRA account are the income limitations on the ability to contribute and the relatively low annual contribution limits. For a twenty twenty one, the overall IRA contribution limit is six thousand dollars, with an additional one thousand dollar catch up contribution available for those 50 and over at any point during the year. There's also some income limitations when you have a Roth IRA. So income phase out starts for single filers at one hundred twenty five thousand dollars and at one hundred and forty thousand dollars, you can no longer make a contribution to a Roth IRA and it's 140000 dollars of modified adjusted gross income.

Speaker2:
The phase out for joint filers starts at one ninety eight and you're capped at at two 08. It's a downside, if you will take two downsides to Roth IRAs is contribution limits and also the income thresholds that once you exceed the threshold, you can no longer contribute to a Roth IRA. Let's switch over to to four one K plans to Roth for one K plans contributions to your Roth for one K are made with after tax dollars, just like a Roth. Iara, also like a Roth IRA qualified distribution's mate after age 59 and a half, are still tax free as well. Here's one of the things I like. One of the biggest advantages of a Roth forwent is that there are no income limits on your ability to contribute to your Roth account. In the plan, you were able to contribute up to the full amount of salary deferrals allowed by the current calendar year, regardless of how high your income is. So that's important because as we mentioned earlier with some of the Roth IRAs we just mentioned that you have an income limitation.

Speaker2:
I gave the numbers out there for single and for being married. If you work at an employer that offers a Roth for one K, there's no income limitations there. So that's really nice. Also, the contribution amounts are nineteen thousand five hundred dollars if you're under 50 and there are twenty six thousand dollars if you're 50 and older. So again, that's a really great benefit. And those numbers, the 19, five and twenty six dollars are the same for traditional for LINQ and they make it the same for the Roth for one. So again, if you have the option, if your employer has the has a Roth for one K, I highly recommend you look at participating in it. If you're out there listening in your own your own company or know somebody who owns their own company and they want to have them consider a Roth for link. As I mentioned earlier, I'm looking to say dissolve my simple IRA plan and move to a Roth for one K plan. Hmm. And I really think these are great. Let's go ahead and break and then we'll get back on and we'll talk about some other good topics in the next segment.

Speaker1:
There you go. Looking forward to that and so much more in our program each and every Saturday called Take Point on Retirement, brought to you by take point wealth management, judiciary services, up and down the Nature Coast within our listening area, heard every Saturday at this time and only on this station. Randy Woodruff, certified public accountant and team take point member. Let's take point wealth management, check them out online, give them a call today, three five to six one six zero five one one. By the way, before we go today, I've got an opportunity for you to receive a blueprint on retirement. It's a service that they offer you. Fifteen hundred dollars value your is for the asking and being a listener of take point on retirement. We'll be back after this, folks. Take point well, does not provide accounting tax or legal advice, investors should be aware that a determination of the tax consequences to them should take into account their specific circumstances and that the tax law is subject to change in the future or retroactively. Investors are strongly urged to consult with their own tax advisor regarding any potential strategy, investment or transaction. And as we continue with the important information you need to know you deserve from our friends and take point wealth management. It's called take point on retirement, all about your retirement, that stress free retirement, that financially secure a future.

Speaker1:
You want to feel secure about your financial future. You need to reach out and take point. Wealth management, make your appointment today and three five to six one six zero five one one. They'll sit down with you. I'll give you a consultation, financial analysis, evaluation forever as long as it takes, because it's all about you. Fiduciary services are about you. It's not about them. And they're going to take over your portfolio and they're going to build a new one for you. Whatever they got to do to get the job done, they're here for you. I take point wealth management. And speaking of which, that take point blueprint on retirement is yours for the asking a fifteen hundred dollar value. That's right. That financial analysis, evaluation, consultation. Fifteen hundred dollar value yours for the asking. Just tell them when you call that you want that blueprint on retirement, they'll make an appointment. They either see you, you see them or whatever the case may be. We'll get it done, they'll get it done online. Even as they do appointments over the Internet. There are No. Three five to six one six zero five one one. Check them out online. Take point. Well, not. Com. In the meantime, once again in our studios, Irini Woodruff, certified public accountant, real estate agent and team take point member.

Speaker2:
One of the things that we get asked are we ask. I get asked and get asked in retirement is what am I going to do? And we ask where clients are. More importantly, where are they going to do retire and what's going to be their retirement lifestyle? It's interesting, as we have these conversations, what responses we get sometimes the couple are totally different pages, page, right. They wonder how they're going to retire together at all. That kind of thought about this? My self, I'm only fifty, but the other fifteen, twenty years I'm going to be at that age where I'm going to want to be, you know, probably some. I retired by then and what am I going to retirement. One of the things that I've been thinking about, we encourage our clients to do this as well, depending upon finances and how it fits in their overall long term strategy is live a little now. You know, even though you're not retired yet, you know, go ahead, live a little now, you know, because as we all know, as we age, your health doesn't stay intact like we think it's going to. And we have health issues or other issues that come up that don't allow us to get to take that trip or go visit so-and-so or or do whatever we want to do. If you're not retired yet, you you got a hunch or a desire to go out and do whatever it is, go do it.

Speaker2:
You know, you got the money to do it, live a little, have some fun. And I think they call those the go go years. Oh, you get out and go and do the things that you want to do. And because trust me, folks, if you don't spend all your money, your kids are definitely going to spend it for you when you when you pass away. So you've worked hard. You've earned it. You deserve it. Enjoy yourself and enjoy those definitely those retirement years, but those pre retirement years also. We have a lot of fun in those years out there and have some fun. One of the things we talked about on this show, we've also had a couple of attorneys in here on the show with us both. Sean, hang us back. And Daryl Johnston is talk about legal documents. You know, everybody should at least have a will, a living will, a durable power of attorney, health care, power of attorney in place. Different states may have different documents they want you to have in place based on the laws of that state. But definitely if you're in Florida, you know, those are the those are the main ones you want to have in addition to a trust, depending upon what kind of assets you have and how how you want to arrange your affairs. Other states may have different requirements. So please check in with the state that you find a competent estate planning attorney in your state to help you out with those documents.

Speaker2:
If you live in Florida, can't stress enough how important that is. We talked on this show many times about that. You know, having a will is great, but having a trust pending to have a sizable net worth and sizable doesn't need to be twenty million dollars. You know, sizable can be a million dollars depending upon the assets that you have. It can help with the transition of your estate. It can make it a lot smoother, a lot quicker, a lot less expensive. So here, again, definitely want to want to seek out some advice and see if having a trust is the right, is the right part or a part of your estate plan. Definitely don't put that off because usually when you need it, if you put it off and put it off, sometimes you wait too long and then it's hard to really get it done properly in terms of you may not be in your proper mental state. You may hey, you may be seriously may have gotten an accident or something, may have they've had a stroke or whatever, so definitely want to do it while you are in the early part of your retirement, even pre-retirement. You want to have all these documents, but definitely you don't have them in place. You know, in retirement. You want to make sure you had them fully in place and you're up to date.

Speaker1:
Things change over the years. So your documents have to be up to date.

Speaker2:
That's very true. Yeah. And your personal situation may change, right? Exactly. Or make sure you account for all those changes as well.

Speaker1:
And like you mentioned and you brought up a great point, we have a lot of people moving down here to Florida from other states. So you want to make sure that you make you don't have those documents certified state of Florida. So you can direct people, by the way, if you contact take point wealth management, they. I have a slew of professionals at their fingertips, and they can lead you in the right direction, whatever the case may be, but you need to build that file, you need to plan ahead, and you need to have that file with all the correct paperwork to help you into that stress free retirement. And like I said, things change along the way. Some grandkids can come along the way.

Speaker2:
And grandkids, great grandkids, your grandkids.

Speaker1:
You got a plan for that as well?

Speaker2:
Yes, sir. I'm not going to talk about this too much, but prepare for tax changes. We've talked about that on this show quite often about, you know, how we think taxes are going to be going up in the future. So make sure you've got that factored into your portfolio planning and retirement planning. Here's one that may strike some of our listeners as kind of odd. And it's save for retirement over college, you know, and they strike you as kind of odd. I'm not suggesting everybody do that. But just take a look at the situation. You know, your situation. There are a lot of options now to pay for college, for students to pay for their own college. I mean, I'm not suggesting that parents don't help out, but at the same time, the last thing you want to do is wind up your whole life spending, spending, spending and trying to get your kids out of the house and you get to retirement and you've got nothing saved, you know? So everybody's got to kind of look at this and work at this together. And I'm sure I'm sure your your children. But I want you to be well taken care of in retirement, too. So here again, I'm in no way advocating, you know, help your kids out in college and those kind of things, but just kind of do an honest assessment of where are you really at in life and can you really afford to, you know, fully pay for that? Maybe you help out somehow, but definitely be honest with yourself, have a sit down with them and have a strategy and help them out where you can, of course.

Speaker2:
But last thing you want to do is to wind up your retirement with with their retirement savings, because that's going to be tough on you. And I know we all want to help our children and help our kids out and and get everything we can for them. But same time in retirement, we want to make sure that once you get to retirement, it's hard to make up any more money. So when you get there, you got what you got. So is it just a thought here? Again, it's not it's not a thought for everybody. It's but discouraging people to, I guess, think outside the box kind of test some of the things they've always thought that might be happening and get my kids out of college. And that's a great thing. And if you can afford to do it, by all means, do it. Also, think about your long term health, your long term retirement, your long term happiness as well, and kind of find a way to blend those all together because there is a way it may take some creativity, but there's always a way

Speaker1:
And sooner the better. You get this plan together and you get these documents in place once again, the sooner the better, because you never know what tomorrow brings. We can plan for the future. We can't see it, but we can plan for it. And without a plan, you're going to fail because we always say

Speaker2:
Failure to plan is a plan

Speaker1:
To fail. So that's right. Take point. Wealth management, give those folks a call now three five to six one six zero five one one. They'll put that plan in place with that fifteen hundred dollar value of yours. The blueprint on retirement. Just for the asking and for our listeners today, three five to six one six zero five one one. Randy Woodruff.

Speaker2:
So next thing on the list is keep working. Some people actually enjoy what they do. They actually don't want to fully retire. Let's just say the magical age of 65. They want to keep working and some people may need to keep working. You know, they they just may have not had the ability to save up enough money for retirement. So that may be the only option you have in retirement is be thinking about that. And as long as your health permits and you're happy doing it, keep working. But again, hopefully you'll be able to be a situation. We don't have to. It's a want to not and not to have to in retirement, but definitely keep that mine is an option. I'm giving to charity is a good option for folks. We see this planning strategy come up quite often. People want to give to charity and help out and you want to make sure that you do that in a tax efficient way. And so one of the things we talk with our clients about is that they want to give away and appreciated asset like let's say they want to give away.

Speaker2:
Let's just say they bought Microsoft stock back in the 90s and they've held it for thirty years and now they want to sell it or sell part of it off and give to charity. But they should do is not sell the stock, but just give the stock directly to the charity. That way that capital gain on that stock doesn't transfer through their tax return. They still get the full deduction for the fair market value of the stock, but not to pay any any other tax associated with the gain at that stock chart over the years. They've held it also to on the inverse. If you're going to give stock that you've lost value on, if you bought stock at a higher price and now it's at a lower price, you want to donate it to charity? Definitely. Go ahead and sell that stock in your name and lock in that capital loss on your tax return. That would be a benefit to you this year and potentially future years, depending upon the size of the laws.

Speaker1:
Great information also

Speaker2:
To one given to charity. We'd like to recommend our clients take a look at giving from their IRAs or tax deferred accounts. In that way, that money doesn't flow through your tax return either. So you can give money right out of your IRA account, right to the charity. And here again that that you'll give you'll get the deduction, but you don't get the income, either

Speaker1:
One lump sum or maybe monthly basis, either war.

Speaker2:
I think either or I haven't seen anybody do it monthly. IRA, it may be that may be a on a case by case basis depend upon the whoever's managing the money, what their what their what their say laws are on national state laws. But restrictions are rules on that. But I know I see it happen more annually where so much look at. I want to give X number of dollars to this charity, and it comes right out of the IRA tax purposes. Gotcha. OK, on to some other things in retirement, pick up side gigs. As I mentioned earlier, you know, some people are they get to retirement and they're retired for a few months, a couple of years, and they get bored. See people sometimes that I've gone into different places and I see somebody working somewhere and I'm like, you know, they're well past retirement and they probably are. They're just because they want to get out of the house and have something to do. So it keeps them busy, keeps them active. And if they're healthy and and they're being productive, I think they should do that. So also to overestimate health, overestimate health care costs, I think that we all know that we've experienced it last and I must say 20 years or more. We've seen a significant increase in health care costs almost every year. And it's probably not going to go down. And we all we all know as we age our body ages and so more things break down and need to be repaired of like an old car. So and there's no warranty. We we as humans have no warranties and it's coming out of your pocket to get it fixed. So fact here by Fidelity that a 65 year old couple retiring in 2021 can expect to spend 300000 dollars in health care medical expenses throughout retirement as three hundred thousand dollars

Speaker1:
Hiring this year. Wow.

Speaker2:
That's a that's a lot of money. So you definitely to make sure you've estimated for your health care cost, well, sync up with your spouse. You need to make sure you and your spouse were on the same page on your financial goals for retirement and actually what you plan on doing in retirement. This one kind of interesting. It's rent instead of own. And I hear people sometimes as they get older, they've you know, they've had a large tract of land. They've, you know, 10, 15, 20 acres. They maintain and mow. They may have had dogs or horses or cows. And there's always something to do in the yard. And sometimes folks are looking to, as they age, cut those chores out or minimize them and spend more time on the road if they can, traveling and visiting family or just vacationing to a new spot. We see sometimes retirees are selling their house and they're renting. And it kind of a a condo or a townhouse where there is no maintenance or very little maintenance and they can just, you know, lock the door, turn the lights off and pack up and go for a few months if they want to. So that's something that's something to consider, especially right now if you're looking to buy a house. We've talked on this show in the past. You've had some real estate updates as well. We all know how how hot the real estate market is right now. So now maybe it's time to sell your house and rent for a while until things cool off, until you can find that, especially if you're transitioning from a larger house to a smaller house you may want to sell. So your your larger house or larger property rent until the right property becomes available to transition into. So are things to consider as as you transition into this next phase of life, retirement and how you plan on spending those years, be thinking about housing and what kind of housing structure situation that's going to best fit your new lifestyle.

Speaker1:
Well, here we go, retirement warriors, a call to order at your turn and your chance to set up that financial secure future, that stress free retirement. I recommend the folks at Take Point Wealth Management. They're here ready to assist you. All you got to do is give them a call, three five to six one six zero five one one. By the way, your retirement warriors out there, your chance to pick up a take point blueprint on retirement, a 500 dollar value. Yours for the asking just by contacting take point wealth management, no obligations, no upfront fees, just a chance to sit down with you, to consult, to do a financial analysis, to evaluate your future. You deserve it and take point. Wealth management has got it for you. Take point. Wealth management. Give them a call today, three five to six one six zero five one one up and down the Nature Coast. We'll be back with take point on retirement after this. Retirement is important. That's why I would like to introduce you to Take Point Wealth Management, a group ready to lead you into the best years of your life with financial responsibility, market management, asset protection and Medicare resources to simplify your future with stability, honor, integrity and plain old hard work. Take advice from those with your best interest at heart. Take point wealth, dotcom taking point for you and sometimes uncertain territory. Past performance is not indicative of future results, which may vary the value of investments and income derived from investments can go down as well as other future returns are not guaranteed and a loss of principal may occur.

Speaker1:
Are you looking for financial peace of mind, simple investment advice, planning, portfolio management, estate trust, retirement, look no further than take point, wealth management, investment and tax advisors to lead you into retirement and beyond, working hard to protect your assets, investments in retirement dreams, taking point in your financial future, leading you every step of the way. Take point. Wealth management is ready to take point on your retirement. Take point wealth dotcom. Take point on retirement. A well rounded show from a well-rounded team leading you into retirement. Listen Saturday mornings for an hour of simple retirement advice from your friends at take point to wealth management Saturday Mornings seven thirty. All the information you need to know and have at your fingertips is right here. And Take Point. Wealth Management, a program called Take Point on Retirement from our friends at Take Point Wealth Management three five to six one six zero five one one. And keep that number handy. I guarantee you're going to want to contact them soon. A lot of people moving into the state of Florida and of course, they're going to take their finances with them and they need a place to secure those finances through a portfolio was whatever the case may be. Rossborough One case we've got to take point. Wealth management say they've got it under control. I take point wealth management. I'm talking about Eric Arnet, lead advisor, retirement planner, and, of course, certified public accountant, real estate agent Randy Woodroffe. Eric, not here today, but Randy is once again this week. Randy Woodruff,

Speaker2:
Thank you, J.W.. I want to talk this next segment about we're going to call it the financial red zone and the red zone. To use a sports analogy, I guess in sports, there's some red zones really being football or other other different types of sports. There's always that that zone where you're about to score or where the other team's about to score. So and it's a critical area. And yeah, when you're in your 50s, I would say that your financial and retirement red zone, where you know the decisions you make there and the effort you put into building up your nest nest egg really has an impact on your retirement. You know, typically folks in their 50s say they're your kids are out of the house and the college responsibilities of raising kids, that's all behind him. Now, they can really start socking away money for retirement. And, you know, that's as those are the years that you really need to try and shore up your retirement because you're you're in the red zone that much time left. And they want to make sure that you make you have as much saved up for retirement as possible, meaning you need to become a super saver. Where you are is saving everything that you can to make sure you're you're ready for retirement. Again, some people just in life, they've just had their life has taken him in a direction where they've had to, you know, spend money on family and different things and and things just haven't worked out with job.

Speaker2:
You know, here again, we had the Great Recession that happened, you know, starting back in 08. For many people. They had a job for quite a while. Yeah. Even once jobs came back, especially here, especially this part, this part of Florida, it took a while to come back New Years. And so there was kind of like that lost decade. And so, you know, if you're if you're in your 50s and you lose that that decade, you have a lost decade in your 50s. I can really have a negative impact on you when you retire. So you want to make sure that that if you are behind that you become a super saver. What's a super saver? I think it depends on what your needs are to get you ready to be retirement. And we talk about where you need to be retirement. You need to sit if you don't know where you need to be, is probably going to sit down with retirement planner and and put together a plan and then you'll know where you need to be or you know where you're not at. You know what you gotta do to get there. Yeah. Yeah. Because if you don't know the whole plan, if you are planning to plan to fail.

Speaker2:
Yeah. Another thing I want to talk about here is you're paying off debt. Yeah. We all the first one we want to talk about is paying off credit cards and and perhaps even your car loans. You know, credit cards especially carry you typically the highest interest rate out there compared to most conventional types of debt, whether it be mortgage or car loans. Credit cards are significantly higher than those other types of debt. So you're looking to pay down debt and you're paying, you know, 10, 12, 15, 20 percent interest on a credit card. If you're if you're saving interest, it's just the same way as making that that much interest at the bank. So if you have a credit card at charging you fourteen point nine percent interest and you're paying that credit card down, you're saving the interest. It's the same thing is making that that much by an interest. So definitely take a look at take a look at your your debts that you have. Take a look at the ones that had the highest interest rates and focus on getting those paid off first and then just working your way down, down to car loans and then next to your mortgage. You know, for years, years I say for decades, people were talking about, you know, pay your house off, pay your house off, pay your house off are still good advice.

Speaker2:
But same time, it's good to be aware of where we're at today with interest rates. Interest rates are at historic lows. And so definitely, definitely not suggesting that you don't pay your house off, but you may want to see if there's other alternative investments out there that you can get involved in. They're going to pay a higher interest rate or return than what your mortgage is charging you. So it's good. Just to had that to have that evaluation, because you may be surprised at, hey, it may be OK to have a mortgage on my house because I'm paying, let's say, two point five or two point nine percent interest on that. But I'm making over here five, six, seven, eight percent interest. So I'm actually getting ahead by not paying the house off. Could be the result of that analysis. So it's good to come in, get an analysis and get through some of the work to determine what's the best strategy for you. But overall, definitely good to get your credit cards paid off, cars paid off, and then the house last thing typically, and then take a look at and take a look at that and see what's the best strategy for that as well.

Speaker1:
Yeah, that financial analysis that you do, I take point wealth management. You put that sucker through a stress test or your life basically through a stress test, your retirement through a stress test, and you weigh the risks and advantages of all. And that's why it's so important to plan. And you can do that through take point wealth management. But you put it through various scenarios. Yes. Everything that you talked about this morning and then some. So that's why it's so important. Things we never even think of, things we don't think of are things we don't plan for. We may be missing out

Speaker2:
Test that that the software we have throws in someone's portfolio.

Speaker1:
And we're talking to Eric Arnet, lead advisor retirement plan, or, of course, Randy Woodruff, take point wealth management team. Randy in the studios with us this morning.

Speaker2:
Yeah, nothing more to come in and talk to us about your portfolio and have us run running through our our stress test. Eric does a good job with that and can and definitely help you help identify any potential holes in your portfolio in areas that need to be shored up or retirement. We talked about tax breaks many times on this show. And here, again, as people are in their 50s, are usually in their highest earning years. And so they can measure in your higher earning years, you're also paying probably higher taxes. Yes. You want to look for ways to minimize your tax liability, you know, catch up contributions to 401K and and other retirement plans is a great way to do that.

Speaker1:
And you've mentioned in the past as a super saver to take advantage of any discounts that you may get as a senior 50 plus.

Speaker2:
You know what? That's a great idea to didn't even think about that. You know, there are a lot of discounts available out there to seniors. All you gotta do is ask. That's right. You know, I do is ask. Nobody likes to admit there at that point in life. But, hey, if the discounts are, you might as well take it.

Speaker1:
Yeah. I mean, a lot of us clip coupons throughout our entire lives. I mean, what's the difference. Exactly, Penny. What is it? The old saying a penny saved his opinion.

Speaker2:
Penny saved. Is a penny earned these days? It's you know, I remember talking to my my dad when I first got into the CPA practice. I know in the eighties when I was in high school, my dad would take, you know, in summertime, the long weekends every week, and we go up to Crystal River and go scuba dive and go spear fish and go fish and everything like that. And it's just, you know, I just think if you talk to someone that's been around a long time, it's just become more and more difficult to make a living. So to your point, about a penny saved is a penny earned. It's become harder and harder to make a living so you can save a penny. All the more reason to do it these days. There's more and more difficult to make a living. So, yes, or also avoid gaps in health insurance. You know, one of the things I talk to clients about with is as they're getting close to retirement is can't get on Medicare. So I'm 65, so I got to keep working down to 65 because health care insurance is so expensive. And I've actually had talked to clients that one spouse is still working. That may work at an employer that has offers health insurance plan, that one spouse is still working just because they get great health insurance, because health insurance does get more and more expensive as we age.

Speaker2:
I'm on the board of a hospital, other health care related industries. And so I know how expensive health care costs are. And so you definitely don't want to find yourself without coverage because it can be it can be catastrophic, you know, to someone's, you know, finances. I definitely want to make sure you are you're not going to have any gaps in your health insurance if you can avoid it. Next up, I want to talk about Social Security briefly. You know, we've talked about social care on the show and we're just highlighting it again here. You know, we get asked, I take it at 62, I take it at 65 to weight on seven and a half. And there are so many factors that go into that, like so many decisions when it comes to financial planning and retirement, you know, everybody has their own set of circumstances. So there's no one answer that fits. Everybody know. So if I have a client that is not healthy, they want to go ahead and retire at 62. I say, hey, go ahead, take Social Security, because you know how long you're going to be here. The unfortunate reality of it, if other people want to wait until they're full retirement age and some folks that wait till they're seven and a half, you know, one of the big things to keep in mind is that if you start drawing Social Security at 62 and between 62, until you reach full retirement age, you're limited in what you can earn.

Speaker2:
So an earned income is what you actually go out there and work a job or break your break your back for toilet toilet every day for so earned income is not dividend in kind of rental income or interest income or income from selling stocks and other investments. So make sure your earned income has things like make below like seventeen eighteen thousand dollars between 62 and full retirement age are going to take back one. For every two dollars they give you, so it's a pretty stiff penalty for going over that threshold, so it's all about having a plan and the playing the time to have a plan is not when you get in retirement is years and years before you get to retirement. And I can tell you right now we've got clients that have been planning for years and years. When they get there, they've you know, they've got it figured out and they have the money they need for retirement and they have a good, happy, stress free retirement. So.

Speaker1:
And hopefully they've passed on that responsibility onto their kids and their kids and so on and so forth through the generations, because, as Randy said, the earlier you plan, the better. Failure to plan is a plan to fail. All your retirement warriors will be back with our last segment after a short message from our sponsor. Of course, take point. Wealth management, judiciary services up and down the nature coast. But so much more than that, as you can hear from Randy Woodruff, certified public accountant and take point team member, take point wealth management, three five to six one six zero five one one three five to six one six zero five one one. Check them out online. The program called Take Point on retirement every Saturday at this time and only on this station. We'll be back, folks, after this. Take point, wealth management is on a mission to honor, protect and utilize the values, ethics and principles learned through military service to our country, to our community, building strong relationships, investment tax advisers guiding you every step of the way into retirement. Take the advice of someone with your best interest at heart. Take the hand of a leader. Take point wealth management.

Speaker1:
We'll take point on your retirement today. Take point. Wealth, dotcom, citrus. Hernando Pasko. Well, with offices up and down the Nature Coast within our listening area, Hughes, take point wealth management, they were available for you, but you got to give em a call. You got to reach out to the peak point. Wealth management, judiciary services, once again, up and down the Nature Coast, three five to six one six zero five, a one one talking point on your stress free retirement. That's three five to six one six zero five one one. Don't forget to ask for that financial analysis, evaluation, consultation. Fifteen hundred dollars value and no obligation offer for you today as our listener. Take advantage of that free five to six one six zero five one one. Check them out online. Take point wealth dotcom. Eric Arnet, lead advisor, retirement planner, and Randy Woodruff, a certified public accountant, real estate agent. We're going to find out in this last segment how the real estate market is doing. Plus, we've got some questions to answer from our listeners once again as we wrap it up today with Take Point on retirement every Saturday, seven thirty to eight thirty.

Speaker2:
Randy Woodruff. Thank you, J.W.. Or we get into the questions. I want to talk a little bit about the real estate market. As you mentioned in the show, you're also a licensed realtor. And I have a team of folks that work with me, a Berkshire Hathaway. And I think everybody knows how hot the real estate market is, right? Goodness gracious. I mean, if Vernon if you have if you're selling property, you're in a great spot to be in right now. If you're buying if you're trying to buy something, it's tough. Yeah, it's very tough. I talked to a friend of mine. She lives down in a community down towards she actually lives in Sarasota and has a putting in an offer. Someone's putting putting it put in an offer on a house that they were trying to buy. They were seventy five thousand dollars over the asking, oh my gosh. Oh, cash. And still this month and get the home.

Speaker1:
They went to my house.

Speaker2:
Yeah, really. So, you know, Sarasota is a bit different, Mark, especially Lakewood Ranch area down there. But I mean, it's just, you know, it's not a Hernando Pasco citrus phenomenon. It's statewide in terms. And I say that's mostly nationwide. Yeah, we're hearing it not just here, but it's probably more acute here in Florida because folks are looking to move here to Florida, more so than most parts of the country. One of the things I've talked to folks that we're having a trouble finding a house is may we consider building, if you can wait and you had the time, building a house may be your best option because it's, you know, trying to go through that roller coaster of finding the exact house that that fit your needs and then trying to, you know, in in trying to get approved by the seller to accept your bid is is your contract is really tough, especially getting financing. They need financing almost. They just go ahead and start by building. Yes, that would be discouraging. Right. But it is if you need financing and if you've got the 20 percent down and don't end, you really don't have any ability to waive the appraisal contingency, your finance contingency.

Speaker2:
You're not going to get out right now. It's just it's just unfortunate truth, you know? You know, you may get lucky and I wouldn't be discouraging. So if you're looking to put which 20 percent down is a great amount to put down, it's the traditional financing that's great. But in this market right now, you can have a hard time finding something. So you may want to pivot to building that. We had several great builders here in the area that are building houses, and I heard that lumber futures have dropped significantly here recently. So I'm not trying to imply prices in new homes are going to drop significantly. But I think the pressure to keep increasing the price of new homes is going to be a little less than what it has been, because some of these commodities are are starting to level off in price or drop due to due to, you know, supply chain interruption because of covid.

Speaker1:
So so you looking are you seeing more folks that are looking to move right in something that set up? Because in order to build, you've got to have vacant property. Is it easier to get vacant property now then, of course, than home?

Speaker2:
And you can still there's still plenty of vacant lots around, but they're here again. They're getting expensive, too. Yeah. Yeah. So and we need to start approving more subdivisions, in my opinion, here and in the county because or start getting them ones that are approved, built out because we are starting to drive through Spring Hill. There's not a whole lot of empty lots left in Spring Hill, there's a few here and there and hailers is starting to really pick up. So we're going to need some more lots to build on to keep up with demand here in Hernando County.

Speaker1:
And there were some defunct subdivisions, too, that need to, like you said, revitalize. And I don't know why they become defunct, I guess run out of money. But they've been sitting for years. This property has been sitting for years. They've had all the development but just haven't moved anywhere. So, yeah, yeah.

Speaker2:
There's ones that are really just going to get the get the roads and start building houses. So, yeah, the challenges there of real estate are going to and they're not going to in my opinion, it's just an opinion. But I think it's going to be here for a while. What could be two or three years with this with this market the way it is? You know, we have some. Major geopolitical crisis, but here again, if you're if you're selling, it's good for you. If you're buying, it's going to be tough. And here again, strongly recommend that you if you can't, you can wait. Look, look, the build questions from some of our listeners. We have Jim and Springhill. Jim is 61 years old, never married, no kids. And he put that. He's not bitter about that. He want to highlight that for us as well. For Jim and good for Jim. Exactly. But his question is, how much retirement planning do I really need to do since I don't care if there's any money left for anyone, for anyone when I die. Great question. Yeah. You know, so you're not really. Of course you are 61, Jim. Still playing time to get married. And so don't don't assume that that's not going to happen to you. It may very well happen to you. You may be you may spend your retirement years the happiest you've ever been.

Speaker2:
Hopefully that's what happens for you. But you bring up a good point. You know, it is always good to plan, you know, so you want to make sure that you are planning to make sure that you have enough money to see you through retirement and and make sure that there's no here again, no gaps in any kind of health care coverage. Course, you're going to be reaching 65 here shortly. And so you get on Medicare, but then, you know, even though you're sixty one and single or 65 or 70 single, you still have the money to go do the things that you want to go do. So you're really not planning for anybody else other than yourself, but want to make sure that you plan to have a great and happy retirement just for yourself or here again, hopefully meet somebody and now you're even happier. But you're getting there's there's there's in my opinion, you always want to have a plan, no matter what your situation, as you may think, your situation is less complicated than somebody else's. And that may be the case. But still, you want to have a plan and you want to plan, you know, to make sure you don't run out of money in retirement and you start to have a plan plan for

Speaker1:
That a and not to get too deep. But Jim, in his 60s or even someone in their 70s, maybe marrying for the first time, is it is a best at that age, and especially if you're in retirement. I don't know if I'm overstepping or getting too deep, but is it best to keep everything separate? Because you all these years, you've built up your own separate little investment retirement type plan and your spouse now your new spouse or the person that you meet has their own plan. And so is it best to keep them separate or combine them?

Speaker2:
You know, they say is they say as we age and if we're single for the longer we're single, the harder it is to meet somebody and to bring somebody into your life and as you kind of get set your way. So so to your point, I think that means you are if you are going to get married and you are planning and having a life with someone that you need to begin thinking about, how do you blend your lives together? Does it need to be where you, you know, makes your finances up and and all that kind of you need to have have separate accounts and investment investment advisors even. But you do want to have some kind of plan to bring your finances together. E want to know at least what the other person has in their finances and how how their finances are going to impact yours and and how you can blend your life together. So I'm not recommending that you open up everything and joint accounts or keep it all separate. I think it's going to depend upon the couple what they're comfortable with as well and how they want to blend their life together. Sometimes it happens quickly, sometimes it takes a long time. Sometimes it never happens. In terms of the finances coming together and blending together. And that's fine, too. Right now we want to make sure that if you wind up getting married late in life, that you go back and adjust your estate planning documents. Oh, OK. Yeah, that's always a very important thing to keep in mind, too.

Speaker1:
And somebody maybe bring in some kids or grandkids to that relationship as well. So you have to plan for that. And that's why we recommend to professionals, we recommend those that are here and ready to assist you at tech point wealth management. We're speaking with Randy Woodruff with Take Point Wealth Management at this time.

Speaker2:
We have next up Paul and Paul just puts it he's in Citrus County. So I'm not sure where he's he's listening from. But his question is, is there a good rule of thumb for how much of my IRA should be invested in safe investments at age 60? Or is it just a matter of personal preference? Here we go. A question and I'm on this show. We've talked about the rule of 100 quite often. And so the rule of 100 is if you're 60, you should have 60 percent of your investments in safe and safe, safe assets and 40 percent in something that's more, I'll say, riskier, more aggressive. They can produce a higher rate of return. And so, generally speaking, we recommend that as a person ages their their investment strategy become more and more safe. And we've got to play, as we call it, smart, safe and smart risk. And and we have those plans and like to encourage you to come into the office and talk about those plans with us. We can show you how those plans can benefit you in retirement. But I, I personally, myself, personally, I'm I'm fifty. And I'm not that I've invested recklessly, you know, my my life, but I've definitely taken more aggressive type positions and things like that. And and I think they were they were they were smart risk, you know, they were they were well thought out decisions and. But I think as I'm aging now, I'm starting to think, OK, I probably need to maybe I should just pull back and and like I'm talking to Eric now, I'm thinking about buying an annuity and I'm 50. And my next question is going to be an annuity for the first time in my life, because I'm thinking I need to probably start having some smart, safe money. And I've got some smart, safe money, but nothing really in in an annuity product. So I think it's good as we go through life that we constantly reassess and where we're at and make sure that our assets and other goals are going to get us to where we need to be in retirement.

Speaker1:
And by the way, Take Point. Wealth Management offers a book called Annuity 360. It's yours for the asking free of charge, of course, three five to six one six zero five one one. All you got to do is call them or reach out via Internet and ask for Annuity 360 at your yours free just for the asking. Once again, take point. Wealth management take point. Wealth Dotcom three five to six one six zero five one one. I have another question. We have time for one more. Have time for one more. All right.

Speaker2:
Mike in Weeki Wachee is is has a great question here. This question is, I'm having trouble justifying the concept of paying someone to manage my money for me. With all the information that's available to the average person today, what can a financial adviser really do for me that I couldn't do for myself? Because that is a great question, because and you bring up a great point. There is a ton of information out there that's available to anybody. And no matter what age you are, no matter where you're at in your in your retirement, I say journey, no matter if you're pre-retirement, no matter where you're at, if you've been investing your whole life, if you're a new investors, all kinds of information out there. And that's also part of the problem. There's all kinds of information about

Speaker1:
The birth of the Internet.

Speaker2:
Yes, there's this there's endless information. And so you really have to really have to not just have access to information, but you have to have the knowledge and wisdom and apply that information. And that's where experience and training and education comes in. Like with Eric and I, you know, we've been doing this, you know, each of us were collectively 50 years plus collectively combined experience. And so we've seen all kinds of situations and been advising clients for years. And so that knowledge and that experience and that wisdom only comes of time and it comes with other experiences. And of course, we have you know, Eric was away last week in Nashville, days of training, you know, and it's concentrated training, you know, and so and also to it's it's one thing for someone to go on the Internet and to read something. Think they understand it. It's another thing for someone that does this every day to hear the same topic and really understand it and then can apply it and teach it to somebody else. And so I think it's a really good question. And we never want to make someone feel like they have to use our services. We're always here to help out and want to help our clients out there. Just can't be enough said for experience and wisdom in being able to apply all of the information out there and apply it correctly.

Speaker2:
At some point, taxpayers are going to have to go up, unfortunately. Be nice your spending went down, but that's probably not going to be the case. So taxes are going to have to go up and go up on potentially all of us. They're always going to hit the rich people first, or so they say, but eventually it's going to trickle down to mainstream America. So as you go through life, the idea of having some tax free income is very appealing, especially as you as you age. You don't have any opportunity to make any more money as we age and retire in terms of going out earning income. So we're looking to have more income in retirement is always an attractive option. So if you have tax free income, you can you can take that income out and it's tax free. So depending upon your tax bracket, you could have an extra 10, 15, 20 or more percent extra, I'll say, cash flow. And I have to pay tax on the money pulling out of retirement. So try to plan, if you can, to have some of that tax free income in retirement. You won't be disappointed. But having that option plus it's easier with with your financial planner as you're planning every year.

Speaker1:
That's why we recommend take point wealth management there every Saturday in our studios, of course, prerecorded program played for your enjoyment and your educational purposes. So once again, take point wealth management, whose I recommend and suggest give them a call the day three five to six one six zero five one one and together combined. Randy Woodruff, you have many years experience, 50 years. There you go. See, it speaks for itself. Once again. We appreciate you being with us this morning. We're here every Saturday morning. Seven thirty eight thirty only on this station at this time. In the meantime, reach out to take point wealth management locations up and down the nature coast to serve you right here within our listening area. They'll contact you, you contact them. Whatever the case may be, you need to get together and take advantage of that 1500 dollar no obligation offer. That's the take point blueprint on retirement years. Just for the asking and for listening to the show today. Take point on retirement. We'll see you next week, folks. Eric Arnet, lead advisor, retirement planner, of course, Randy Woodruff, certified public accountant, real estate agent, and so much more. The professionals at your call are through point wealth management. Fixed annuities, including multi-year guaranteed rate annuities, are not designed for short term investments and may be subject to restrictions, fees and surrender charges as described in the annuity contract guarantees are backed by the financial strength and claims of Papillion inability of the issuer annuity disclosure to past performance may not be indicative of future results.

Speaker1:
Different types of investments involve varying degrees of risk, including the risk of loss or principal. And there can be no assurance that the future performance of any specific investment investment strategy or product made reference to directly or indirectly in this presentation will be profitable, equal any corresponding indicated historical historical performance levels or be suitable for your portfolio. Investment Advisory Services offered through Take Joint Wealth Management and Registered Investment Advisor. Take Point Wealth, Independent Insurance Products and other services are not offered through Take Boyd Wells, but are offered and sold through individual licensed and appointed agents. Any comments regarding safe and secure investments and in guaranteed income streams refer only to fixed insurance products. They do not refer in any way to securities or investment advisory products. Fixed insurance and annuity product guarantees are subject to claims paying ability of the issuing company and are offered by take point. Wealth management. Indexed or fixed annuities are not designed for short term investments and may be subject to caps or restrictions, fees and surrender charges as described in the annuity contract. Take Point on retirement, a well rounded show from a well-rounded team of experts leading you into retirement. Listen Saturday mornings for an hour of simple retirement advice from your friends at take point to wealth management Saturday Mornings 730.