TPWM FOR 5-22-21 SEG FINAL.mp3: Audio automatically transcribed by Sonix

TPWM FOR 5-22-21 SEG FINAL.mp3: this mp3 audio file was automatically transcribed by Sonix with the best speech-to-text algorithms. This transcript may contain errors.

Speaker1:
The following paid program is prerecorded and sponsored by Take Point Wealth Management on the Nature Coast of Florida 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 730. Well, good Saturday morning to you and thank you for joining us on this beautiful Saturday morning. J.W. here got the people in the studio that you need to hear from, that you hear from every single Saturday. Glad you're with us on this beautiful Saturday morning. Take point on retirement, the name of the show brought to you by Take Point Wealth Management every Saturday at this time, one hour chock full of the information education you need to know to lead you into a stress free retirement, a financial future that's so important nowadays and to protect that financial future. That's why I take point is here for you and for me as well. I take it to take point. Judiciary services up and down the nature coast to help you, me, all of us within our listening area. They've got offices up and down the nature coast, got seminars, webinars. The first step is calling take point wealth management. Their phone number once again, three five to six one six zero five one one. Check them out online. Take point wealth and it'll take you to Garnette. Lead Advisor, Retirement Planner. Good morning, sir. Good morning. You right once again, Randy Woodruff, certified public accountant in another team member of that Take Point Wealth Management team. Thank you and welcome. In a couple of weeks since I'm

Speaker2:
Here, the dynamic duo is back. Hey, man, are you Batman and Robin? I love it. All right. Well, we'll figure that out later.

Speaker1:
Well, we got to look at the color of your tights. You got to see. Don't want

Speaker2:
To talk. Maybe you're somebody out there listening, can choose an email. Let us know who they're your names. The character name is there. So but no, I think we got a great show today, this week. I want to do a market update today. I want to talk about kind of the market situation with inflation and gas prices. And it's been a little bit crazy last week or so.

Speaker3:
The gas prices going up.

Speaker2:
Yeah, I don't know. Ask our listeners.

Speaker3:
You are. Can you buy gas these days?

Speaker2:
Yeah, well, that's if you can even buy it, right.

Speaker3:
Luckily, we're in Florida. We haven't had, to my knowledge, any real gas shortages here.

Speaker2:
But, well, I think I found one advantage for driving a diesel truck. Nobody was at the diesel pump.

Speaker3:
That's true. I agree with that.

Speaker2:
Yes, we'll get into that. I want to also talk about our tax free investments, our Roth IRAs and life insurance, and also going to give us some great examples on our smart risk and smart, safe investment planning. And we're going to talk a little bit about some real world examples with some clients and how we've managed to almost kind of hit a home run with the bond replacement strategies that we put in place, which we really started putting in place over a year ago for some of our clients. I got a real world example there with return from Annuity 360, How to generate your own pension. And we want to talk about that a little bit more on how we can introduce index annuities. And so a lot of good stuff to talk about. We're going to get into. I think Randy will be able to help us a little bit. We're going to talk a little bit about real estate and some examples of real estate in our client's retirement plans and and how those can affect your retirement long term. Some dos and don'ts, some ins and outs there and lot to go over and review. And let's get her done. Segment one. Let's go. Hey, John,

Speaker1:
Real quick, speaking about the bond replacement. Yes, I ran into something I thought was interesting. Late last year, the top U.S. banks made disturbing alterations to their depositor terms and conditions to include the word bank failure and what's required within 24 hours if they fail to unfreeze your account.

Speaker2:
Sounds like the banks are doing whatever they can do and they've always been that way. They're not in business to make sure

Speaker1:
Cds are with the banks, right? Oh, yeah.

Speaker2:
You see these all your deposit accounts. It's interesting in the small print, when you do hand that money over to the banks, it's really not it's not necessarily your money. They can do whatever they want with it. I think about loaning your money out and have all on those loans go bad or the economy crash, whatever. They have to shut the doors. They can keep your deposits. The FDIC insurance supposedly kicks in, but we know that there's not enough FDIC out there to cover all the deposits. It's kind of a smoking mirror, the safety of banks. So that's a whole discussion. I've written articles about it and go to our website, take point wealth management, dotcom, and read up on some of those articles that I've written in the past about the banks. And I remember vividly driving home one day, and I think it was 07 08 ish in that time frame. And I was driving. There was a bank at that time, I think it was Superior Bank here and and Springhill. And I was driving home and I and I saw this line of people out the door and all the way up the bank. And I was like, what the heck happened there? And did a little investigating me, a few phone calls. I mean, they shut the doors, they closed the bank, and all those people were lined up in a panic trying to get their money out of the bank. And guess what? The doors were locked. I'm not saying that that's going to happen again, but that was an interesting time. There's better ways for you to control your money, get the money working for you. And and that's why we're here on the show, are constantly trying to coach our clients and coach our prospects in our retirement warriors out there to do the right thing.

Speaker3:
And people I think I've forgotten it's a it's a long way back in the rearview mirror. We have such short memories. Hmm, yeah, that was only 08 at 13 years ago, and I think he kind of let people like you're saying, you drive driving home and say what's going on? So a lot of folks by surprise. And so to Eric's point, don't think it can happen again. It's just good as you plan you as you analyze your financial plan and make sure that your eggs in one basket and you're not trusting in the safety of your banks.

Speaker2:
Yeah, yeah, yeah. And that's why we work hard to help educate our retirement warriors like our listeners out there. You know, we're doing seminars. We're inviting people into the office to get their own personal, you know, seminar, really see how their plan is working and what the potential pitfalls going forward could be for their plan. We got a lot to battle through these days, all the political and economic craziness that's out there. You know, so we have put together what we think is a solid plan and we recommend that you stay invested in two primary ways, are smart risk and are smart, safe investing. So we've talked about this on the show many times. The smart risk is investing in an actively let me say that again, an actively managed portfolio. And Smart Safe is investing in a fixed index annuity with a highly rated insurance or annuity company where you can get market like gains without market risk. We absolutely have to replace the bonds with that going forward. In fact, folks, if you look at your statements and you look at the principal value of your bonds versus what they're actually work today, you will see a negative sign. Trust me, I'm looking at these statements all week long. And unfortunately, you know, we've been out there trying to help folks for quite a while and get repositioned out of those for now more than a year or so. And it sometimes it takes a while for it to set in. We really need to reposition portfolios in a smart, safe, smart risk plan. We're recommending that you consider a bond, that bond replacement strategy. If you really need to give us a call, come in. Let us put a plan together for you and talk to you about the bond replacement strategy.

Speaker1:
So you'll build a new plan for anyone that asks or you'll test a current plan. And you also provide a free financial analysis evaluation. You call the take point blueprint on retirement. You got it. And that's a fifteen hundred dollar value, by the way.

Speaker2:
Yeah, you got it. There's there's a lot of meetings, a lot of hours. There are some professionals out there. They'll sit down with you one time and just try to slam into an investment. We have a disciplined process. It's, you know, a minimum of of three appointments, a lot of time involved. We have a financial planning team of certified financial planners that put together the plans for us. We'll take your current plan, your current portfolio, and we'll test it. We'll put it through our software and we'll dig out all the metrics and the details and statistics and see if you truly have a market efficient, a fee efficient and a tax efficient portfolio. So those are the three things that we focus on once we take that portfolio or that that plan that you currently have. And we morphed into what we think is our superstrong strategy going forward, our blueprint, you're going to see the difference. And we're reducing fees, reducing risk, and we're reducing taxes. So that being said, we've talked about and of course, everybody else knows a lot of tax increases on the horizon to help pay for all this money that's going out and being printed trillions and trillions of dollars right now, which is causing some inflationary concerns. And that's why we've seen some volatility pick up in the market recently.

Speaker2:
And this is why we have stressed for so long that just having a passive portfolio of investments is really not going to do the job anymore. More than ever today, you need an actively managed portfolio. You need a strategy that can duck and move and move with, you know, rotation of all the different asset classes in the sectors that are out there, particularly if your advisor is not calling you and giving you a bond replacement strategy or hasn't been, then it's time to do that. And in fact, it was time to do that yesterday. And so we were willing to jump in and do that for you. Some good things market. The jobless claims are getting better. We had about four and 73000 jobless claims, which is a little bit better. And that's the job market's improving. I still think that, you know, the market is poised for reaching new highs. However, it is now a discretionary market. When I say that it's not a rising tide is going to float it all ships like we've seen in the last three or four or even ten years, you could just buy some kind of mutual fund, our growth fund, and you'd be fine. No, this is this is where it's time to have a professional money manager that can select the right areas of the market to be in.

Speaker2:
And that's why you're seeing volatility like today in the market. The market's selling off a little bit because big tech, big tech had such a huge run over last year. So those stocks got so overvalued. And so now there's profit taking and. That money is moving to other sectors of the market, like value stocks, mid-cap companies, mid-cap value cyclical stocks. Now it's time for some sector rotation in your portfolios. And I know that sounds like a big word, but let's keep it simple for you have a professional team that's actively managing it and and looking for opportunities and taking profit where it needs to be taken. And if volatility increases in growth and technology, for instance, then it's time to kind of like slowly get out of that and move into areas that don't have volatility. And so there's still a great deal of stocks out there that are going to offer some good returns. But you just can't have one passive strategy. And then we talked about this a week or so ago on our show. If you have a traditional traditional moderate portfolio, 50 50, 50 percent stocks for Rambus, if that 50 percent of your portfolio that's in bonds is negative and dragging down the stock portion, you know, what you're seeing on a daily basis probably is when the stock market goes up, you're not catching the upside.

Speaker2:
But when the stock market goes down, you're catching a lot of the downside. Plus, the bond market is also going down. So it's time to really make some adjustments with our smart, safe plan. We're going to talk a little bit about that more later on. A lot of people, you know, let's talk about the gas situation. A lot of people out there have been concerned about getting gas and what's going on in our economy and what's going on, what's going to happen to taxes. So anything that you're hearing, Randy, you're seeing on the tax side, I know I heard a little bit about there's been some pushback as far as the Democrats, a couple of moderate Democrats saying they're not going to approve those tax hike. So that might be a good a good thing. But we just don't know. They might put the squeeze on them and get them to vote the other way. So we talk about this all the time. I mean, taxes are on sale. Now is the time to make these changes, these shifts and get active in your portfolio and and shake things out a little bit.

Speaker3:
Yeah, good question. I mean, we remember talking to my my dad started our accounting business back in 1974. I came on in 94 and after a couple of years in this and I was like, what's going on? You're talking about going to a flat tax. We're going to be out of a job. You know, I make a career risk taking. What's going on? And I don't worry, it's not going away. Every time they talk about tax simplification, it becomes more complicated. And also, when it comes to come to taxes, you know, right now it is a hot topic. There's, you know, different proposals, different bills getting passed. You know, sometimes they've slowed some of these as they passed these big stimulus plans recently. They've passed some tax changes in there along with it. But I've heard, as you mentioned, we've been talking this show for months and months and months. And now they're talking about openly about raising taxes. They're talking about raising it just on folks making over. I've heard you're raising capital gains just on folks making over a million dollars an income. I've also heard taxing people, households making more than four hundred thousand thousand dollars. So right now, it's all it's all just talk. And to your point, there are some moderate Democrats who don't want to do that or they want to.

Speaker3:
I think one of the things I read about Joe Manchin, the senator from West Virginia, is that he's one of the moderate ones that that is his vote right now is very important is when it comes to corporate taxes. You know, right now they're at twenty one percent for corporations, Democrats, Joe Biden we're talking to. Twenty eight percent. Joe Manchin said they think it should be 25 percent. He still wants to increase them, but not by as much. So here again, this is all still just talk chatter of different people putting out different proposals. Lots of folks there putting out proposals have no idea how taxes work or or really have an idea what the government needs to do to to take in and taxes in order to speak their spending requirements. So we'll have to see how this all plays out. But I think we've been talking for months and months. Taxes are going to have to go up, you know, don't get caught up in the in the talking points on on the TV and the radio right now with somebody putting out some proposal. It's going to take some time to get through. But just stay tuned. But I think as you go forward, just keep in mind that taxes are going to have to go up.

Speaker2:
And let's talk about a couple of strategies that might work going forward for the very next segment.

Speaker1:
That sounds great. Here in our studios. The professionals are here every Saturday, seven, 30, day, 30, take point wealth management, judiciary services up and down the Nature Coast within our listening area offices to help serve you. They'll come to you, you go to them. Whatever the case may be, you need to contact them. Now, that blueprint. That's right, that take point blueprint on retirement that we talked about earlier is free. It's hundred dollar value. And that's for our listeners to day. But you've got to call take point wealth management, take advantage of it. Three five to six one six zero five one one. Take advantage of that plan to either look at your plan you have now make a new plan, whatever the case may be, the plan is to contact take point wealth management because they will put that all in place for you and that stress free financial future folks are retirement warriors out there. We will be back after this. Gain for financial peace of mind, simple investment advice, planning a portfolio management estate trust retirement look no further than take point wealth management, investment and tax advisors to lead you into retirement and beyond. Protect your assets. Investments in retirement dreams taking point in your financial future. Take point. Wealth management is ready to take point on your retirement, leading you every step of the way.

Speaker1:
Take point. Wealth Dotcom. And when you hear the music, you know, it's time for Take Point on retirement, the show brought to you every single Saturday at this time, only on this station, your friends, I take point wealth management are standing by to take care of your financial future. That's that stress free future they keep talking about, you keep hearing about. And you want it. You need it. You got to have it. The only way to get it is by calling take point wealth management three five to six one six zero five one one that's taken point wealth dot com. Check it out online. It's an easy name to remember, easy phone number to remember. And it's an easy step to take that first step. But you got to do it three five to six one six zero five one one. It's all about your future and the experts, the professionals there in the studios to help us through the rest of the morning, through the rest of the year and into retirement. Taking the lead on that retirement taking point is Eric Arnet, lead advisor, retirement planner and of course, certified public accountant Randy Woodruff. Good morning, gentlemen, once again.

Speaker2:
Thank you, sir. So wanted to really kind of focus and dive into we alluded to in the first segment on talk about bonds, a lot about bonds today and the bond replacement strategy that we think is so effective. And also we talked about obviously taxes are going to have to go up in the future. So if you're a young retiree or someone even in retirement and you plan on living at age 95, we still got a lot of planning to do for future taxation. And tax free investment income is traditionally if you're sitting down with an advisor or a broker or else, oh, let's go buy some tax free municipal bonds. Every municipal bond portfolio that I've looked at from new folks coming in is underwater. So they're losing money there. The yields aren't very good at all. And so even investing in new bonds at this time is just not the right thing to do. So just

Speaker3:
Because interest rates are so

Speaker2:
Low, yes, interest rates are so low. And as inflation sparks up, which we just had record inflation come out this past week, the inflationary numbers. And so inflation has I know everybody out there listening is feeling at home prices, gas prices, food prices. Oh, my gosh. Chicken wings. I can't get chicken wings. I love frickin chicken wings.

Speaker1:
Everything about that. Yes.

Speaker2:
I mean, we're laughing, but it's really funny. I went to a place the other day and say, hey, can I get our wages? We don't have them. We're out of wings and we don't buy them because they're so expensive. And I was talking to a guy, a client the other day. He went to some place. It was like twenty dollars for ten wings. Yeah. So it's getting it's crazy. So inflation on our food and everything, it's going through the roof. And so when inflation goes like that, so do interest rates. Interest rates are going to go up and when interest rates go up, your bond buyers are going to get hammered hard.

Speaker3:
And we should give you, our listeners kind of something to think about as relates to bonds. Right now, everybody is rushing to refinance their mortgage. Interest rates are at historic lows and interest rates are at a historic lows for mortgages. They're also at very, very lows for bonds as well. So that's right. I think just to give you a kind of a real life perspective on that, you probably you or your friends or your family have been have probably refinanced a mortgage in the last year. And that's the reason why, because interest rates are so low. So now is not the time to be investing in new bonds.

Speaker2:
Yeah. And that's why the value in the price of homes have gone up so much, because interest rates are low. And so your bond is almost very similar. So that's why we have found ways to consistently generate tax deferred retirement income, for instance, investing in a fixed indexed annuity and earn up to five to 11 percent a year with market like growth. Without market risk, you can get market growth without market risk. So your money is invested 100 percent into safe financial products. So I'm going to give you a breakdown of how these things work. What they do as insurance companies, which we only pick a rated companies, they invest your money into one hundred percent safe financial products like the 10 year U.S. Treasury bond. And the interest that is generated from that investment in the U.S. Treasury bond is invested into indexes like, for instance, the Barclays Atlas five folks, you can look it up, the Barclays Atlas five, one of the best performing indexes inside of an index annuity right now, or the Raven Pack. That's the Credit Suisse Raven Pack. These are indexes that are comprised of equities, bonds throughout the world. And so the insurance company and annuity company take the interest that they earn on those Treasury bonds and they simply buy options on those indexes.

Speaker2:
So your money is never invested in those indexes. The insurance company takes all the risk of investing that interest to try to get a return on those indexes. And when the indexes go up, you get the you get the money. If the indexes go down, you don't lose anything because your principles are 100 percent safe and protected. So it's just an awesome, awesome strategy. For instance, like we had a client I pulled up. Just want to give an example. They had a. Seven point five one percent growth rate in 2020 and one of our and the Barclays Atlas five index that we have inside of the Scilly Select Time bonus 14 index annuity, the Moodies Bond Index, Bayet rated bond and the Moodies bond index of the entire, which is a composite of all the bonds in the US, was only up three point two two in 2020. So, you know, we're getting that outperformance on the safe money side, the bond side, we're utilizing those index annuities to cross those bond returns. And the beauty of it is you don't have to worry about your principal going down like you do in a bond.

Speaker3:
Exactly. Let's go back over. Sure. I think people really need to understand because I think it gets it's it's lost. I don't think people really understand this, but talk about how the money is invested. Again, it's invested into US Treasuries.

Speaker2:
Yeah. So, like, OK, on the write in today, you and I were talking about the radioshow around discussion you had. You said you made a good point and that was, hey, we have we have the ability to make money for our clients, whether the markets are going up or going down and sideways or sideways. And that's because of the strategy that we that we put in place. So as an example, if you strip out that bond portion of your portfolio and you allow us to replace it with an index annuity, number one, we're getting rid of the fees. Number two, are getting ready to all the interest rate risk. And number number three, were protecting your principal 100 percent. So a lot of people, very sophisticated investors are a very sophisticated investment management firms. They do the same thing for their clients every day. They buy options on the markets. We don't have to do that. We leave it up to the insurance company. And and the beautiful thing is, is, you know, you and I know we used to work way back in the old days with some hedge fund guys that used to buy options on the markets and stuff, and you could lose your principal. There was a certain I'm not going to go into options strategy, but there's a certain point where if the market falls through your option, you lose your principal. Well, the insurance companies do that work for you. They tell you, No. One, we're going to guarantee your principal one hundred percent

Speaker3:
As they're putting they're putting all your principal on the Treasury. Yeah, yeah. That's or some other safe investing. Right. So all your money is not in the market. Right.

Speaker2:
By by law and by regulation. These insurance companies, in order to be in business and do this type of a type of investing and offer this type of product, they have to put 100 percent of the investments into safe investment.

Speaker3:
So important for our seniors out there listening because principal preservation is such an important. Yeah, yeah. So important for them, because once you as you get older, you can't make it up. There's no time to make it.

Speaker2:
Well, think about it. If you're trying to draw money out of your portfolio to live right now and you're in a safe, you know, bond type portfolio that's creating income, you're pulling money off a portfolio that's not getting that very good, good of a yield. And the principal's gone down. And so you're talking about three swords there. We call about double edge. So that's like a three edged sword there. You know, I was working with a new client the other day and big, big bond portfolio from some stockbroker guy up in New York. Doesn't know the guy from Adam just saw some product. This is the problem is that people are being sold the wrong things at the wrong times. And in his bonds were already drastically underwater, losing money because he told his broker, oh, I want dividends. I want high interest. Well, guess what, folks? If you tell a broker that investments that carry high dividends and high interest also carry high risk, that's the only way that they're offering those high dividends and high interest. So be careful if something's something's offering you more than two or three percent dividend or interest rate yield. Right now, there's some red flags there. These aren't safe investments, folks. In fact, this guy lost like it was six figures on one investment. He got to get these folks in. And I don't care what wealth category you're in, we've got to put the strategy in place for you.

Speaker2:
But by law, that money is all safe, 100 percent protected, and then they buy options on those indexes. So if the indexes go up, you make money. If the indexes go down, your principles protected. So if you're drawing money from a portfolio and you're not going and you're not getting negative returns in that portfolio, that portfolio is going to last a lot longer because you have the consistency in the returns and the consistency in the income. So and then on the on the on the stock market side, you have to have some in the stock markets depending on your age. You know, we talk about rule 100 as an example, not having too much risk, but you have to have some risk in some equities, but it has to be professionally and actively managed and are smart risk side of the portfolio. We are actively managing that a tactical portfolio, and we're placing the money in the very best money managers and he just discipline out there in the country. And then we monitor that they actively change the allocations based on the volatility that's out there in those particular markets. And so, you know, that's an active, consistent strategy, actually replacing the bonds. And it's it's super safe and it's just going to make. Everything more efficient, because if you think you're also paying fees on that bond side of your portfolio,

Speaker3:
That's going down in

Speaker2:
Value and down in value. So this is just a win win win. You got to educate yourself on it and come in. And and we're happy to do that for you. And it's a process, but it's a good process that you need to walk through.

Speaker1:
So I believe if you get to take point wealth dotcom, you have a little questionnaire there or a form that jessell out. OK, how does that work?

Speaker2:
Yeah, so great. I'm glad you brought that up because we spent some money on that and we'd like to have it utilized from side by side marketing, which is an awesome marketing firm in town, little free plug for side by side there. But thank you. These guys put a financial workbook on our Web sites, both of our Web sites. By the way, we have a Web site, take point on retirement radio, which is our radio website. And then we have our active wealth management site. Take point, wealth managers, dotcom. You can go either one of those sites in the top right hand corner. There's a button you click on. It says Financial Workbook, and it's going to lead you through some basic questions, some basic information. There's all highly safe, highly encrypted. It's going to come right directly to us at take point and gets the ball rolling and gets the ball started. Well, looked at over for you. And then also you can also write beside that button to set an appointment. You can click and set an appointment right there on the website as well. So you can do this from the comfort of your own home if you want to.

Speaker2:
I mean, we've got the technology, the staff. You can sit in your La-Z-Boy at home and we can drive you through the process if you want to. But the first thing is you have to take the first step. Folks, you know, those are listening out that you've got to take the first step, throw conventional wisdom out with what's that called the baby out with the bathwater. I'm not sure where that came from, but you've got to throw that old conventional wisdom that's out the door on the day of your grandpa sitting there at the kitchen table looking through the paper, looking for the best CD rates in town or, you know, those days are over, folks. I mean, we've got to implement this strategy for you. And we're so confident and it's been working. I mean, we've seen it now and fruition with our clients where we're crushing those bond rates, protecting the principle, lowering the fees, making the portfolio much more efficient. So we're just really excited about it. I'm so passionate about it. We got to get people out there to get active. Our retirement warriors need to activate.

Speaker1:
Here we are. The activation station time to activate is now active portfolio. You need to take advantage of what take point wealth management can do for you up and down. The Nature Coast Fishery Service is waiting to hear from you. All you got to do is take that first step. Like Eric Arnet, lead advisor, retirement planner, says three five to six one six zero five one one is the phone number or take point? Well, Dotcom, I'm there now. I'm looking at it online. You got a free portfolio analysis, a simple form that you can fill out. And I love the fact that you can actually click or drag a file into an area to upload it there as well. So it's just drag and drop. It's so easy to navigate through this Take Point Wealth Management website and also folks like Randy Woodroffe, certified public accountant. Part of that take point wealth management team standing by to help you as well to take care of your needs there. And they've got so many other professionals in their corner that are standing by to help you. Whatever the case may be, just ask take advantage of that. Fifteen hundred dollar financial analysis, free the take point blueprint on retirement. You're free for the asking our listeners today, get that 4500 dollar value for free, three five to six one six zero five one one the first week into the tax season. The tax deadline has come and gone. But if you filed for extension. Yeah, thank you. If you filed for an extension, well, so be it. I hear a lot of people have. But we'll talk to Randy Woodruff, certified public accountant here just a bit about what he's seen, this sexton and Eric Arnett, what we can see in the future. And we're looking at that now.

Speaker1:
I take point on retirement every Saturday at this time on this station. Be back, folks. Let's take a pause for station identification. You're listening to 1999 Filmworks, Jabe, Homosassa 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 up. Your returns are not guaranteed and a loss of principal may occur. 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 730. Well, we're smack dab in the middle of that program, one hour full of the information and education you need and deserve it from your friends and mine, I think point wealth management up and down the nature coast within our listening area offices that serve you. They do a lot of online presentations as well. And of course, they're looking to help you lead you into that stress free retirement. That fifteen hundred dollar blueprint on retirement offer advice. Take point. Wealth Management is yours free for listening. Today, our listeners need to call those three five to six one six zero five one one. Take advantage of it. Tell them you heard it here on Take Point on retirement they show brought to you by Datapoint Point Wealth Management lead adviser Eric Arnet, retirement planner Eric Garnette, and of course, certified public accountant Randy Woodroffe. Just two members of that well-rounded team of professionals standing by to assist and take point on your financial stress free future. And you know what we've played the last few months segments from a certain book that Eric is going to tell you about that he's offering as well for free.

Speaker2:
Yeah. Annuity 360. Great, great book. Super Easy. Read everything you need to know about annuities and then some and retirement planning and how it factors into your long term retirement plan. So awesome book. In fact, I was reading through Chapter nine the other day, just kind of taking some notes and Randy and I were discussing that and how important Chapter nine is these days because it talked about Chapter nine is how to generate your own pension. And so, you know, we have a lot of consultations on folks that are trying to decide, should I take this pension and should I take a lump sum? And what does this pension really going to do for me and how is it going to affect my taxes, my Social Security, my Medicare premiums? It all has ramifications on how you start taking income. It's great to have multiple sources. That's awesome. But sometimes, you know, taking that pension option with your employer is not the best option. You know, we feel pretty strongly that there's a lot more options available to you in this Chapter nine. An Annuity 360 is awesome. So reach out to us. Just request that free copy. We mail it right out to you. Had quite a few people do that already. And and just a super great read. We believe in educating our clients. The best clients and educated client, first and foremost is the educational process that we put them through

Speaker3:
Over and over. And your best clients and educated class?

Speaker2:
Yes. Yes. I love educated clients because once they're educated and they're comfortable and everything's clear and they're confident about things, they understand things. The phone doesn't ring. We do our annual reviews and that's it. And I mean, the phone just doesn't ring. Once folks are in this smart, safe, smart risk plan that we put together form that that take point portfolio is our blueprint. The phone just doesn't ring anymore. And that's nice for us because it can take care of a job. We can do our job, take care of other clients. And and so it's an awesome, awesome plan. We love it. But the the thing that is important is you truly understand your pension and how to take it. If you're about to get a pension, it's likely you can do better on your own by taking a lump sum on your pension and then investing that money into a fixed indexed annuity. We've seen up to 10 percent bonuses on the money right up front. There's a company out there right now called Select Tietjen Bonus fourteen. They're going to give you a 10 percent bonus. So Imagine had a client the other day, a new prospect we were working with. And he had the option of taking a lifetime annuity or taking a lump sum. And we showed him by taking the lump sum where you actually own the asset now and control, it could do much better over time.

Speaker2:
And this actually illustrated about a 10 percent annual return as well. He did a million. He's doing a million dollar pension roll out and he's getting a 10 percent bonus on it. So as a gift from the company right there, one hundred thousand dollars free money, that's a lot of money that is. And that immediately goes to your bottom line and starts earning dividends and interest on that amount. So it's hugely powerful. And that company is aggressive and it's a great company and they have awesome crediting strategies behind them, like Barclays and JP Morgan and Raven from BlackRock. So awesome, awesome products. It's just it's great for us in our industry because things are getting exciting and they're coming out every year with more and more sophisticated and better, better options for our clients. And it's a way to manage risk. You've got to get that risk off the table, folks. I really, honestly think that going forward here, it's going to be a rocky road. It's going to be a kind of a roller coaster ride can be thrilling. It's going to be a lot of ups and downs. And you might have fun on the ride, but you might not be wanting to be on that ride right now either, depending on where you're at.

Speaker2:
Right. And retirement. So, you know, utilizing these index annuities to replace growth, replace pensions and. Income and also to replace bonds. Imagine in this product just getting an immediate 10 percent growth on your lump sum pension just by choosing the right financial investment path that will keep your money safe based on the claims paying ability of this annuity company versus putting your money at risk in the market or accepting your pension as your company is dictating it to you. So most pensions are single premium, immediate annuities. Those products are very good at paying you your money back. Basically, all you're doing is getting your money back. There are not great at growing your money because the growth is not linked to an actively managed index like, for instance, the Credit Suisse Raven at or the Barclays Atlas five indices that we that we love and select right now, creating your own pension, taking control of your money. And then also when you're doing your taxes, if you're taking that pension out every year, which might be a large amount of income that goes directly to the bottom line and creates taxes on your Social Security, Medicare could throw you up in another income tax bracket, which have multiple implications in taxes.

Speaker3:
There is one thing to keep in mind, too, that I've talked to clients about is we see a lot of people moving down from up north. As we all know, those northern states, some of the north, some of the western states have high, high taxes as those states become more and more tax intensive. We just heard New York just raise this tax. It's going to be the highest taxed state in the country now for the amount of money. A good question to ask is, are those pension plans fully funded? You know, and if you're in here, if you're getting a pension, if you're about to retire and you retire from a government system up there, I'm in no way trying to imply that the pension is going to go bankrupt. But are they going to be able to continue to keep up with inflation in terms of the performance if they have a funding problem, taxes going up, if people are moving out of the state, they've already got huge liabilities on the books for pensions and past retirees. Do you want to stay a part of that?

Speaker2:
That's a job that brings up a great point. You know that we have the ability to look up your pension. What was the state pension, government pension and a corporate pension? We can it's public information. We have a reporting tool that can pull up that pension and show us the liabilities that that pension has and how solvent it is, you know, and whether it's going to be able to meet the demands of a growing baby boomer population that's living longer. There are some risk and pensions I've heard many times. I was working with a police officer years and years ago, and they reduced his pension amount and he was about ten years into retirement also. And boom, they're like, hey, we're reducing your pension. You don't have control over that stuff.

Speaker3:
And and sometimes your pension only gets increased by a cost of living allowance. So the market could be performing. Right. If you rolled your pension out, put it into one of these annuities that you're talking about, you get to participate in the market, increases your principles, protected if you leave your pension, managed by the government, if you will, or their advisers, depending upon the liabilities that that pension plan has, you may wind up with the cost of living increase every year in terms of your pension growth on an annual basis in terms of the income. Whereas if you roll it out, you could be enjoying a much higher annual income every year. So I would encourage everybody just to think about that. You know, if you're thinking about leaving one of those I know we're broadcasting here in Florida, but you got friends and family thinking about leaving, or maybe you could still potentially, even though you've already retired, maybe you can still opt out and take the rest of your pension plan. I don't know how that works. We I take a look at the pension plan to see if they allow for that. But, yeah, you left those states for a reason. You don't want to leave your retirement at risk by leaving it there. Manage there as well.

Speaker2:
Yeah. Great example of a we just met with a couple coming down from New York and they sold their home. They're going to walk away with like one point one million dollars and they're going to invest about four hundred fifty thousand of that into the CELAC Denali fourteen. And it's going to generate about twenty five thousand six hundred fifty dollars yearly. And that's just initially this will grow with inflation to their 74 and 77 years old and finally downsizing. So they're investing forty point nine percent of the proceeds from the sale of their home into a bond replacement strategy that will begin to pay them real money at the beginning of year two. So their income is going to increase as they age. And in this Credit Suisse Raven Pack index, it grows at an estimated eight point eight percent a year. That is remarkable growth without their money being at risk in the U.S. stock market. And they've also just sold their home probably close to the heider. I mean, a really good time to be selling real estate. You know, just an awesome, awesome opportunity strategy for those folks.

Speaker3:
Let's go back to that. Yeah, eight point eight percent estimated annual growth is anybody out there? And we received eight point eight percent cola from Social Security. Is anybody ever receive in eight point eight percent increase from your pension that you. Whether it be a workplace and or a state or local government, no. Right. So all the more reason to begin looking into other options. There are other options out there. You don't have to just take what they give you. Going back to an educated client is a great client. You know, educate yourself. Look at the options, because there are a lot more options out there than there were just 10 or 15 years ago.

Speaker2:
Yeah, good stuff. I know we had this other couple in and they're 55 and they wanted to defer money for ten years till 65 to where this gentleman retires and they want to start taking income. And we did an illustration that illustrated at ten point five, three percent average annual growth. And so think about that. You got some money, put it away for 10 years and it's going to average ten point five, three percent increase in income and growth. And in the future, I mean, that's huge. Huge. And that's that's getting out ahead of the curve. That's plan. And what do we say? Failure to plan as a plan. So you've got to believe it's never too early. It's never too late. Get a dive in and get active with with that strategy. So I want to talk in the next segment about more about real estate, how your home is likely your biggest and proudest purchase and what that means when you sell it, taxwise, certain things like that. We got Randy here for us to kind of help us out with that. So we'll talk a little bit about that Taxpayer Relief Act of 1997. And next week, folks, on our show, we're going to talk more about inflation and why why it is imperative that you stay invested in the market so your hard earned wealth will grow with inflation. So you do not lose valuable buying power throughout your retirement years. So we have two legs of our master plan in our portfolio. One leg is that active, managed tactical style for growth and beat inflation in the future. And Rule 100, we're not going to have more than 40, 50 percent over there in the rest of your wealth. And that smart, safe strategy, that's the other side of the leg. You know, we got the strong two legged stool here and that's going to be your bond replacement. Create your income, create your pension. Awesome, awesome tools that are exposure out there for that. So super excited about that. So let's wrap it up in the next segment. We're going to dive a little bit more into real estate folks.

Speaker1:
There you go. Your friends and professionals that take point, wealth management giving you the facts right here on take point on retirement each and every Saturday at this time, only on this station. And you are the last leg in that stool. You got to have a safe and a risk free retirement while the folks to see about that is take point wealth management at three five to six one six zero five one one, a number to call take point. Well, Dotcom, check it out online. If you have a question, we'll address that question. And Future shows the email for that is info INFP oh at ten point well, dot com. That's info at take point wealth, dotcom and either way go to their website. All the information's right there. It's so easy to navigate and it's user friendly, just like the folks that take point wealth management. And we'll be back to wrap up this segment of take point on retirement, the first week of the deadline or the federal tax season. We're going to talk more with certified public accountant Randy Woodruff about that in the home real estate market after this. Eric Arnet is an investment advisor, representative of Retirement Wealth Advisors LLC, and says he registered Viser Equity Wealth Management, this station and RWA are not affiliated.

Speaker1:
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 only 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 issuing company and are not offered by retirement wealth advisors. A little compliance disclosure to offer you and to give you to let you know that take coined wealth management is a few disagree service on your side right here along the Nature Coast, within our listening area offices to serve you or even online. Just check it out. Take point dwelleth dot com three five to six one six zero five one one. A program called Take Point on retirement every single Saturday at this time and only on this station, retirement planner lead adviser Eric Arnet and certified public accountant Randy Woodruff, just two members of that well rounded team of professionals here to assist you in anything and everything. All you got to do is ask, take point, wealth management. They're here for you now to wrap up this segment on this Saturday.

Speaker2:
So, yeah, I wanted to wrap up today and kind of dive into real estate. Obviously, the market's hot here in Florida. Randy has a lot of experience in this area of the market and planning for his clients being he's also a licensed realtor. And I'd say that he's in the game daily here at the local level as well as the national level. Hey, if you're if you're on I 75 right now and you're driving down here listening to us and you're coming down from New York or wherever, Philadelphia, those big cities that are kind of crumbling, in my opinion, and you're tired of being taxed to death and you're lucky to sell your home and get out of there. And you're coming to great old sunny Florida. Come on down as you're driving down the road, think about this. Is it a good time to sell your home or your property up there? And if you do, you're going to take a good profit. How can we reinvest that profit to create an income for you and maybe downsize, get a good home down here in Florida. So give us a call. If you're rolling down the road right now, listening, we're the team to help you out, Randy. OK, so a retiree or potential retiree, you know, they've got that primary home that they've had forever and, you know, they're kind of struggling with it. Is now the time to sell? What do I do? What's the best thing for my retirement? And maybe they're sitting on a million dollar home.

Speaker2:
Heck, I've seen the homes out there on Old Beach where I live in the last four or five months, I've seen the like doubled in value. So you might have a in fact, we have a gentleman, a friend of ours. He's all of a sudden he did a market evaluation on his home and he almost fell out of his chair or down the bench and he had a heart attack. I'm just kidding, folks, because he realized he was like, I can't believe how much my home is worth. I think it's time for me to sell. He's about 65, so I'll take the money, downsize, invest that money and create some income for me to supplement Social Security. So we're helping them through that whole process there. With his property is new property search listing his existing property and so and then also putting together strategies that he can feel comfortable. He knows once he grabs those proceeds, what he can do with them and how we're going to implement that strategy for him. So but talk a little bit about capital gains on primary homes and do you think it's a good time to sell right now for a retiree, you know, maybe hone in on just a retirement person around 65? What are what's your opinions all there with what's going on?

Speaker3:
Right. Question. So you mentioned in the last segment, as we wrap it up, the Taxpayer Relief Act of 1997, and that had a nice provision in that act as it relates to homeownership. And when you sell your home, how much of it is taxable? So for many, many years before that, there was a the rule was in place that if you sold your home and you had to keep buying a more expensive home, and then when you reached age 55, you could take the one time exclusion of one hundred twenty five thousand dollars, a gain that had that rule had been in place for many, many years. And so with the passage of this act in 1997, rule changed. Now, if you're married and as long as a house where your primary residence to out of the last five years, you could sell your house at the end of two years, have a half a million dollars and gain every two years and pay no tax on that gain. So here in this part of Florida, it's kind of hard to imagine every two years making half a million dollars on your home. But other parts of the country, real estate prices go up and down a lot more based on, you know, the economics of those areas. It's not sometimes unreasonable, but even still here in this part of Florida, especially now two or three years, home values, depending upon this age home, could go up one hundred two hundred three hundred thousand dollars or more in the two or three year period. If your home is big enough, it is is on the coast or, you know, a larger community. So there is such a huge tax savings. In fact, I've had some clients over the years that kind of use that as a as tax free income.

Speaker3:
You know, if they've got the ability to they get the flexibility, they'll buy a home they'll live in and they'll fix it up and they'll sell it every two or three years, make some money, go on to the next one. They usually find homes that need repair that they're getting as a foreclosure or some kind of a distressed property. They'll fix it up and turn it into something and then make some money and keep moving on and keep, you know, keep those tax free dollars for retirement. So great rule that came out of them. It's hard to believe it's been almost 25 years ago. I remember when that came out, I was like, wow, that's a huge change from here. Again, going from once in a lifetime when you turn fifty five and just being able to. Say taxes on that money, taxes, but save the taxes on one hundred twenty five thousand dollars sale now to five hundred thousand dollars every two years if you're married or 250 if you're single. So you're getting so selling your home best. Some think about some more than likely. Most folks are not going to have to pay any capital gains when they sell their home, if they meet those rules. That's huge and it is huge. And then so then buying a home. So if you're moving from up north, getting here in Florida, if you've been in the real estate market in terms of trying to buy a home in the last six months or a year, definitely the last six months, you realize how hard it is to buy something here.

Speaker1:
Yeah, get in line.

Speaker2:
That's something that I feel pretty strongly about. And I probably get this question every day and I deem you the expert, so I'm going to throw it out to you as the expert. Here's the question I get every day. So as an example, new client coming down from the northeast where home values are much higher on average than they are here in Florida, even though Florida has gone through the roof and our real estate prices are going higher and higher every day, we're still below that national average. You saw that million dollar home, which is, you know, probably just an average nice home up, up, up in the northeast. And you can come to Florida and pretty much have a nice, beautiful retirement home for 250, 300, whatever, you know. So that gives you a significant amount of money to put into an index annuity and create awesome returns and create good income for yourself as opposed to I hear this all the time. I think I'm going to take those proceeds and I'm going to go buy two or three rental properties and I'm going to manage those rental properties. And that's going to be my retirement income. Why? And I mean, at these prices, why in the heck would you do that, folks, when you could put that that money into an index annuity? It's going to create you residual income for the rest of your life. And you're not to lift a finger. You just collect the check

Speaker3:
And the valuation risk. Yeah.

Speaker2:
And with these kind of returns, maybe not even eight or 10 percent. If you just average six percent, you know, on these type of index annuities, why would you go through all that trouble of buying the property, bidding on the property, doing the search, doing all the negotiations, then then then purchasing, then the inspections and the closings and then all the maintenance and then renters and then the renters steal your stuff. And I mean, it's just like a nightmare, right? Unless you're really an experienced landlord, I just don't think I don't feel as though this is the time to do that. But that's just my opinion. Maybe like you're telling me, years ago, there was a better opportunity to pick up some of these rental properties and cash flow them. But it's starting to look to me like indexed annuities are going to win out. And that evaluation, I

Speaker3:
Would agree with that rental property, especially residential rental property, carries with it some risks of, you know, some tenant risk in terms of who you get in there. You have to be careful how you screen somebody. You know, there's some there's some rules you have to follow. And and then here game, when you get somebody in there on the way out, they can they can do a lot of damage and they can they can eat up a lot of profit that you would have made that year or in future years based on how much damage they do. So here again, with an annuity, you get your principles protected and you get the nice potential return every year, much better and stress free. And there's no maintenance and there's. Yes, stress free. There's no maintenance. To your point, if I was if I was in if I was moving down from up north, I sold my home for a million dollars and I was retiring. Yes. You're moving to Florida. You're definitely buying into a time here in Florida when real estate prices are high and there's a lot of activity, but you have to live somewhere.

Speaker3:
I would go ahead and buy that by my primary residence. Your primary residence, even though I feel like I may be paying more, I guess I get to live somewhere. If I'm not buying something, I'm renting something and renting something. You're just getting money to somebody else. So I really go ahead and buy something. If I'm paying a little too much for it over time, the market may drop a little bit. What goes up comes down at that. We're going to have anything like anything near like like we had back in 08 when when the real estate market started crashing here. Yeah, but we may have things may start to cool off when supply and demand meet, but can still you have to live somewhere I wouldn't be too concerned about maybe somewhat overpaying for my primary residence in these market in this market environment. But I definitely would not be buying additional rental properties. Right. Right now in this market environment as an investment, I would stick with an annuity.

Speaker2:
Yeah, I was watching a show last night. It's kind of a fun show. It's like young couples searching for their first home. And this couple was in Nashville and it was outside of Nashville. And some light bulbs went off for me because I couldn't imagine that Nashville, really, the suburbs of Nashville, they were looking at a thirteen hundred square foot house and had a decent sized yard, a little bit of property and everything. But it was an older home, old home, old brick home, too. It was like two hundred and eighty thousand dollars for thirteen now. Thirteen hundred square foot home here in the Springhill, Hernando area. I mean, you're still looking at probably under two hundred thousand. So I was thinking to myself, I'm like, well to me, Florida, the sunshine and all the. And all the people coming down still has a lot more to offer. Oh, yeah. So I'm thinking that we still have some room to grow here. We're below the national average. You could still come and get a nice home for around 250,

Speaker3:
A building brand new homes in Sugar Mill in Highlands. Nineteen hundred and seventy three square foot living 28 under roof. I just put under contract is going to close in a few months to 72 nine brand new home and a half acre lot on a paved road in rural highlands. Granite in the kitchen, family in the bedroom and in the living room and frazzling in the bedroom. Nice home 90 again, almost 2000 living under a roof, two car garage. So things are still very affordable here. Right. You mentioned, you know, back years ago I was flipping foreclosures and we were buying them on the courthouse steps for twenty five point thirty dollars per square foot living. And we'd sell them for around 50 to 55 or 60 bucks a square foot living that. I was doing that and it was seven, eight years ago. So in terms of how the prices have changed so dramatically since then, and I think people are caught up in they watch these TV shows that somebody is on TV doing a fix and flipping and that kind of stuff. And in that, I'm not saying you still can't make money doing that, but it's not near as easy as they make it. Look on TV, I've done it and it's not near as easy in this market to even find a home that you can buy as an investment because everybody is trying to buy the home just to live in.

Speaker2:
You bring up a good point. If you're going to be a landlord and you want to have some rental properties, you better be Mr. Fix it, too. And you better be really good at maintenance because good luck finding someone to fix it. Good luck finding the materials to fix it because there's such a shortage of materials. Good luck getting the permit the county to do that. You're waiting four or five months just to get a permit to doing so. Good luck with that whole strategy. I'd much rather just put my money into a nice indexed annuity passes rather than receiving coming out to worry about that stuff. But that's just me for your primary home. I still think there's an awesome opportunity here to get that primary home, that nice retired home, downsize a little bit and then reinvest those proceeds. It creates an income, a pension for life and other Social Security. Wow. I mean, that's just it sounds relaxing to me. Stress free.

Speaker3:
It definitely does. And I have two other partners, Anthony Canaris and Rob Rodriguez. We reform the Sancho's team. We all have our licenses at Berkshire Hathaway, great real estate company. You probably heard of the company that Warren Buffett has managed to manage successfully for so many years. And this is the only, say company he's put that the that brand on that national brand he's developed for 50 plus years on to a company in any of his portfolio companies. So we're very fortunate to have that name brand behind us and have him behind us. And we have Anthony, Rob and I had the Southern Coast team over Berkshire Hathaway. We've got several agents on the team. And so if you're listening and need help finding real estate, please give us a call. I'm going to give you Rob Rodriguez's cell phone number. He's our team lead is number three five two two three two zero four four nine or my cell phone number three. Fifty five eight five thirty eight forty one. Please give us a call again. It's tough right now to find real estate to purchase special residence. I would tell you that you will be one of many bidders if you're trying to find a house. You'd have to want to get prequalified before you start looking because there's so many offers coming in on houses that typically, unless you're prequalified with the ability a lot of money down or pay cash, your offer will not even be carefully reviewed.

Speaker2:
So so if I'm a listener out there, I'm sitting here listening to us. This is what I'm hearing. I can walk in to your office and I can get my taxes done. I can get my financial planning done. I can get my investment management done. I can get my real estate on

Speaker3:
Both commercial

Speaker2:
And residential done and handle all the taxes. And an LLC and the sales of that and the reinvesting of it sounds to me like an incredible one. Stop shop. I agree. I know Rantes is a great financial quarterback. He pulls it all together for folks. And wouldn't it be nice to just have one stop shop and one person to be your financial quarterback? I think it would be someone coordinating all of that, all of that complicated, intricate stuff and not having to worry about because it's now it's folks guess what? If you're coming down the road from New York or where you come from or you're even here and you're getting ready to retire, it's time for you to enjoy life stress free, stress free and free and retire and be happy and keep things simple so you can just do whatever you want and relax.

Speaker1:
No, I've got it. Take point. Wealth Management in a shout out to Randy Woodroffe, certified public accountant in the name of your tax services, by the way,

Speaker3:
Sancho's CPA group.

Speaker1:
There you go. It's all right here up and down the name Springhill in Spring Hill. All right. We'll take it. Everything up and down the Nature Coast is right here within the listening area of this radio station where you hear take point on retirement brought to you by take point wealth management, who also has offices up and down the Nature Coast. Only thing I'm interested in flipping is flipping that lure in the Gulf of Mexico and. Land in that next big catch or putting on in flip flops and crowns in the beaches here along the Nature Coast, that's what it's all about, stress free retirement, folks, you dreamed about it. Now live it through. Take point. Wealth management there. No, once again, three five to six one six zero five one one till next week. God bless you. And don't forget to a plan now. It's never too early.