In this show you will learn about:- Strategies to extract value from your business while you are building and running it- What tax strategies can you focus on to ensure that you are getting the most value out of owning your own business?- How can an accountable reimbursement plan help you and your sales teams?-What kind of company retirement plans exist to help owners extract value via retirement savings?- Strategies to position your business for selling it-What is EBOC and why does it matter?-What role does net operating income, or profitability, play in getting the best valuation?-What are acquirers looking for? How does this vary across industries?-How to navigate the next phase after business ownership

Financial Detox® Show

How to Maximize Your Business’s Value

In this show you will learn about:-          Stats on Inflation:o   Inflation still dominates much of the headlines in the news. Google searches for “Inflation” are up over 100% and has dominated company conference calls by and increase of 350% for S&P 500 companies o   More than half of the total increase in CPI over the past two months has been due to used cars, rental cars, hotels, and airfare. o   These large price jumps in these small categories are due to reopening and supply chain disruptions, HOWEVER both of these are temporary o   When looking back to historical data, the last 30 years have actually experienced very little volatility in CPI and lower than average levels of inflation, (the average being 2.9% since 1926) so we should expect an increase and look at it as a sort of rebalancing. Too low of inflation can also even be a bad thing. o   One thing to point out is how everyone talks about what’s been going up in price, however there are some key sectors that have actually gone down in price being health insurance, airline fares, tickets to sporting events o   Health care costs take out a large portion of most people&apos;s paychecks and this decrease in costs isn’t talked about enough o   All in all, inflation is looking to be more transitory than long term with lumber prices dropping 40% in June alone-          Bondso   Why own them?o   The current status of the bond marketo   10-year Treasury yields have dropped significantly since late May, which at the time were at almost 1.75 to almost 1.2 as of late July (roughly a 30% drop) ○ This leads to the continued push and pull between Growth and Value stocks, however we maintain our barbell approach and direct exposure to Developed Market value stocks-          Real Estateo   What is causing the massive increase in prices locally?o   What are some of the best ways to incorporate real estate into your overall investment strategy given the current market conditions?-          Commodities-          Equities-          Alternative Investments

Inflation- Is it Transitory or Long Term?

Welcome to Financial Detox, where host Jason Labrum and co-host Alex Klingensmith simplify the complex, share industry secrets and provide proven strategies designed to take you from financial insecurity to financial independence. Today’s episode begins with an introduction to Jason and Alex and how they began this podcast. The world of financial advisory can feel convoluted and overwhelming, but this show aims to educate listeners and clarify fundamental concepts that will help you achieve financial success and peace of mind. Our hosts dive right into some fascinating topics, beginning with Cryptocurrency and Blockchain technology, and how it will change the way we think of and use money over the next ten years. They discuss the role of government regulation in currency, China’s refusal to accept Bitcoin due to their inability to manipulate it as a medium of exchange, and why socialism always fails as an experiment. You’ll also hear about the importance of allowing free market capitalism to play out, having a diversified portfolio, and investing in Cryptocurrency only if you are comfortable with a higher degree of volatility.Jason and Alex then move on to the very real topic of inflation. Warren Buffett recently stated that we are seeing substantial inflation and higher prices, but Jason and Alex explain that there are ways to adjust your portfolio to prepare for this. Certain assets perform better in inflationary environments, such as inflation protected bonds, real estate, stocks, and commodities. They also break down the four main components of a proposed tax increase under the current administration: Doubling capital gains tax rate; increasing corporate tax rate; increasing state tax rate and decreasing the exemption amount; and changing or eliminating step-up in basis. They explain why increasing corporate tax rates will be prohibitive for business owners, forcing them to spend less on innovation, computers, and hiring employees. Changes in state tax will also involve an estate tax, meaning people will have to pay even more tax on their hard earned income after they pass away, leaving less than 30% for their heirs. Eliminating the step-up in basis also means that those heirs will have to pay significantly more tax on the dividends of their inheritance as time goes on. And doubling capital gains tax simply punishes people for investing, and prevents them from using those gains to invest in local businesses, create jobs, and feed more families. There are certain strategies you can use to mitigate the effects of these possible tax increases, however, so be sure to ask your advisor about incorporating these tactics into your financial plan moving forward.For more podcasts and information, visit FinancialDetox.com. You can also call  (877) 707-8889 with questions, comments, or feedback. Thank you for listening.In this show you will learn about:-Cryptocurrency and government regulation of currency-Impending inflation-Proposed tax increases under the current administrationLinks:Financial Detox website

Cryptocurrency, Inflation and Impending Tax Increases

Show Description: Jason and Alex start off the show addressing a question that has been asked by more than one private client over the past couple of weeks. Given the US National Debt equal to 28.2 Trillion and the Federal Deficit at $4.5 Trillion and tack on all the recent stimulus money and Federal spending, what will be the effects on the market in the next 12 to 18 months? The topic for today’s show is based on the Federal debt, government spending and the effects it will have on the markets. Alex shares his perspective on stimulus money and the concept that stimulus money will make its way back into the market through the purchasing of goods and services. Jason interjects with adding that the real question is when does this artificial stimulus approach end? When will the country get back to making the economy work for itself? Alex reminds Jason that pre pandemic the economy was healthy, maybe the best economy we have ever experienced. Jason adds that the unemployment rates were the lowest across all ethnicities pre pandemic. After the first commercial break Jason and Alex respond to the question with optimism and more detail, stating that the public typically does not care about the current US National Debt, more interested in how much are they able to buy and spend. So, stimulus money will be positive in the short term. However, at some point taxes will have to increase. Jason and Alex spend some time discussing taxes and who pays for what currently and the effects it is having on further dividing our country. Will the current tax structure work to reduce the deficit?  Jason brings up the question where is the government getting money? Besides printing money and with interest rates at all-time lows will servicing the existing debt become an issue. Alex adds that if the government becomes crippled by debt service it will hurt us in other ways. Things that we rely on the government to maintain like infrastructures, national defense, and education.  If the government can borrow money at an incredibly low rate of 1.7% for 10 years, should they borrow a bunch of money and invest it ways to grow a higher rate of return. Alex responds that yes; with the first part of stimulus money, it is a bet on the people. A bet that the people will spend, and companies will invest, increasing the GDP growth. Jason brings to the conversation that free money tends to create laziness amongst many, further debilitating strong work ethic within the U.S.Jason and Alex close the question and show with a strong Intelligence Driven Advisers belief that trying to predict or time the market does not work. Creating a globally diversified investment portfolio that is designed to weather changes within the economy and other unknown events is the best solution to continued success with capital market investing.  In this show you will learn about:- Government Spending- Interest Rates- Investment Diversification

What is Debt?

Show Description: Jason and Alex started the show by taking a step back and reminding listeners and themselves why IDA’s team does not pick individual stocks and try to time the market. There are always unpredictable events that will happen with individual companies, such as Cox communication’s internet going down for multiple days unexpectedly. One of the biggest questions that clients and prospective clients have been asking is “What are you going to do to fight back against inflation?” Jason explained one of the main reasons that people are getting nervous about inflation is because the 10-year Treasury yield rose from approximately 0.5% up to around 1.7% in just a few months. Jason and Alex discussed the amount of debt in the U.S. that has grown to over $28 Trillion after the latest stimulus package. They explained how inflation is a general increase in prices and a fall in the purchasing value of money. A few examples of items that would be negatively affected would be food, gas, travel, real estate, etc. Jason talked about the crippling effect of shifting back to a country that is dependent upon other countries for oil and gas production, and this will really hurt the trucking industry and other workers that rely upon affordable gas prices to provide for their families at a sustainable level.  Alex asked a good question to find out what investments perform well during periods of higher inflation. This is a crucial aspect of the financial planning process to ensure IDA’s clients are able to keep pace with the purchasing power through the strategic allocation of their investment strategy. Jason explained how gold and broad commodities, natural resources, hard (tangible) assets such as real estate, and certain types of inflation protected bonds historically have performed much better during inflationary periods. Jason even touched on Bitcoin or cryptocurrencies in general being a good potential inflationary hedge in the coming years. This is still a speculative asset class to an extent, but it could become a more important piece of the overall portfolio in the near future. Jason also explained that now more than ever it is crucial to be careful with the types of bonds to own because we have been in a great 40-year period of bond performance while interest rates have been coming down and have remained low historically. Alex and Jason talked about the importance of not only being well diversified on the stock side of the portfolio, but also being well diversified on the fixed income or bond side of the portfolio.They stressed the importance of meeting with a Fiduciary adviser regularly, like the ones on the IDA team, especially at a time like this, to make sure that one’s financial plan is fully on track. Alex explained how now is not the time to have a large amount of cash in a client’s portfolio if a client’s main worry or risk is inflation. In this show you will learn about:- What should investors do to prepare for inflation?- Impacts of inflation- Types of investments that thrive in an inflationary period- Stress testing an investment portfolio to prepare for inflation

Impacts of Inflation and How to Prepare

Show Description: Jason kicks off the show with giving an overview of when to look towards the topic to today’s discussion, alternatives. Alternative Investments become a viable option for investing when the public markets start to look too high, and questions arise as to how long this market run up can continue. Alex joins the discussion with stating the reality for most, alternatives are difficult and can continue to stump even the most astute investors. So, Alex opens the discussion with a question for Jason; Who should look to alternatives as an investment vehicle and who should not? Jason responds with clarifying first, what alternative investments are. It is an investment that is not available in the traditional marketplace with traditional liquidity. Traditional meaning publicly traded stocks, bonds, cash, and CDs. Alex reminds listeners that our core investment philosophy at Intelligence Driven Advisers is based on investing in efficient markets, stocks, and bonds. So, Alex reiterates to Jason when do we dabble in alternatives and how do we do that with conviction? Alex confirms with Jason that alternatives are inefficient markets. Inefficient markets are defined as an investment opportunity where you are potentially able to capitalize on the inefficiencies of an investment. Jason adds, finding value where others do not and reminds listeners that with traditional investing, we at IDA believe that the markets are basically efficient, meaning that the price you pay for stock in a publicly traded company is fairly priced. After the break, Jason begins to answer Alex’s question as to why and when to use alternatives in a portfolio by describing non-correlated investments that have desirable return characteristics and how they add diversification to a correlated portfolio.  Shifting the efficient frontier. When to invest in alternatives tends to be hinged on government regulations. Alternative investments have investor qualification requirements based on the nature of the investment. For some alternative investments there is an accredited investor requirement and for “most” alternative investments there is a qualified investor requirement. To be a qualified investor, one must have 5 million dollars of investable assets not including your primary home.  Many alternative investments are illiquid for an extended period where you cannot gain access to your initial investment. The regulations are in place to protect the public. Alex circles the call back to crypto currency and asks if this is a poor man’s version of alternative investing. Jason responds as yes basically and reflects on the E*TRADE commercials where the baby is buying everything with the simple click of a button and ends up losing his investments. Point being, you need to do your due diligence on any investment, especially non-publicly traded investments. Jason spends some additional minutes on crypto currency and on the due diligence he has personally done. Gives his perspective on where the future may be for an alternative currency. Private equity has been a market in the alternatives space that Jason shares insight on. Stating that companies that in the past may have gone public quickly are staying as a private entity for longer than they ever had previously creating demand for private equity investors. Companies are changing ownership two even three times before going public, creating huge private equity capital gains events. Jason and Alex close this week’s show with reiterating the illiquidity of most alternatives and how important it is to be smart with your decisions do your due diligence if you plan to invest in alternatives.  In this show you will learn about:- Alternatives- Crypto Currency- Private Equity

Alternative Investments, the Why and When

Show Description: Jason and Alex started off the show by saying that we are not going to execute on any investment strategy or implement a philosophy unless they have a substantial amount of data to back this up. They discussed how too many investors implement an investment strategy that is driven and based off emotions, feelings, and news headlines. In an environment like we are in currently with so much uncertainty in the market, the global economy, and from an everyday life standpoint, it is easy to get wrapped up in the rapidly changing news headlines and get uneasy.Jason talked about how one of the most repeated questions that he gets from clients is “what should we do now?”. He discussed how the answer to that question never changes no matter what is going on in the world around us. People should make sure that their financial plan is comprehensive in nature with specific goals being on track, and they have a solid, diversified investment strategy in place to accomplish those goals and ride through periods of volatility and uncertainty. Jason explained how the real question people should be asking themselves is if they should hire an adviser or not. They talked about how the market has continued to go up and for a lot of individuals it seems like it is easy to make a ton of money in the stock market, when this IS NOT the case over longer periods of time. They invited listeners to send their questions to jason@financialdetox.com or call 877-707-8889, and they will send them the Investor Behavior Study. Also, we will conduct an initial complimentary discovery meeting to answer some initial questions, find out about IDA’s comprehensive range of services, and establish if there is a good mutual fit to accomplish their goals and objectives. They also discussed how IDA is looking to grow and has a core mission of helping as many people as possible while not letting the level of service and experience dip for existing clients. Jason did a great job comparing a story of his son saying something he should not have to a classmate and not wanting to admit it was inappropriate to a client not wanting to admit they made an emotional investment decision based on emotions or outside influences when they should not have been reactive. One of the hardest things in life is admitting that you don’t know something, or you need help with something. Our team is able to provide individuals with so much financial peace of mind when they are fully able to let go and allow us to guide them down a path to a prosperous investment experience. They explained how it will not always be smooth, but it will ultimately be successful if we stay true to an investment philosophy and a strategic process.Jason and Alex finished by talking about a client that is still suffering from the trauma of selling at the bottom back in 2008, and how it has taken years of coaching to get him back on track. The ultimate purpose of Financial Detox is to detoxify people from toxic financial guidance or news.In this show you will learn about:- Why should you hire an adviser?- How to achieve a successful investment outcome.- The importance of behavioral coaching.- The road to a peaceful investment journey.

Human Behavior and Patterns in Investing

In this show you will learn about:-          GameStop Short Squeeze-          Options Investing-          Robinhood vs Discount Brokerages vs Wirehouses-          The Nasdaq likened to a Porsche

Options Explained and What Happened with GameStop

Show Description: Today’s show starts off with Jason and Alex sharing stories about trucks and the potential benefits of depreciating company vehicles warming into the topic for discussion. Tax Planning.Jason begins the discussion by reminding listeners that now is the right time to start tax planning for 2021 tax year, while you are doing your taxes for 2020. Alex adds that tax planning is one of the least enjoyable planning exercising and unfortunately most individuals are just happy to get it over with and not investigate forward planning. Alex suggests that when you are with your tax advisor completing your 2020 returns ask for a list of action items that you could have done in 2020 that would have reduced your taxable exposure. Tip #1Max out your retirement savings. Maxing out your 401(k) contribution allows you to defer taxable income. In 2021 you can defer 100% of your income up to $19,500 or 26,000 if you are 50 years or older.  Individual Retirement Accounts (IRA) are also an investment vehicle not to be overlooked and can be utilized up until tax filing deadline of April 15th. Contribution limits for 2020 and 2021 in these investment vehicles are 6,000 and 7,000 for individuals 50 years old or older. Jason and Alex continue to share tax benefit options for different types of professions and businesses. Alex introduces Cash Balance and Defined Benefit Plans to the conversation and asks Jason to share his experience working with key self-employed clients on their complex business and retirement planning. Jason shares the benefits of these tax-deferred retirement vehicles and the large dollar amounts that can be deferred when tax planning is executed properly. Jason also touches on geographically relocating in retirement to reduce tax obligations.  Alex chimes in sharing his experience while working with business owners and that although these retirement vehicles may be a bit intimidating and difficult to comprehend at first, it is worth checking out because it can be a huge game changer. Profit Sharing in a 401(k) is another component that is worth evaluating and utilizing if you are a business owner. Jason shares a story about a group of doctors and their experience utilizing the profit-sharing component within their group 401(k). Alex adds that the small business owner is the heartbeat of the country and like most individuals they are also looking for ways to not pay too much of their earnings toward taxes. This is a conversation worth starting up with IDA. The best tax advantaged investment vehicles available are offered to business owners. Jason adds that they are not too complex and well worth the time to understand. So please call Intelligence Driven Advisers to start a conversation.  The last tax planning investment vehicle discussed is a Health Savings Account (HAS). If you have a high deductible health insurance plan you most likely are eligible to contribute to an HAS account. For 2021, maximum contribution for a family is 7200. Funded with pretax dollars and distributions eligible to be tax free if used for qualified medical expenses. This investment vehicle over a 30-year life span this will generate significant tax savings. Jason and Alex close the show with discussing some of the tax strategies that Intelligence Driven Advisers implements with all clients, specifically tax harvesting and the steps involved in properly executing this strategy. In this show you will learn about:- Individual Retirement Investment Vehicles- Tax advantaged Investment Vehicles for Business Owners- Benefits of Tax Planning

Tax Planning and Reducing your Maximum Exposure

Show Description:Jason and Alex started off the show by welcoming Jim Pupillo, a Senior Wealth Adviser at IDA, who has a ton of industry experience, and specializes in providing his clients with regular Fiduciary advice pertaining to the company retirement and private wealth areas of the business. Jason discussed how the IDA investment committee spends countless hours stress testing and analyzing the asset allocation of the client portfolios to make sure that they are optimized given the current environment. Jim and Jason discussed how the rating systems for investment funds is not always the best aspect of analysis to be looking at when choosing investments.Jim discussed how you cannot just use the star rating of a mutual fund solely and then pick investments for a portfolio. There must be a comprehensive analysis done using numerous different metrics to make sure you know exactly what area of the stock and bond market that fund is targeting. He explained that this is a crucial step in building a great asset allocation. Jim explained that the ratings agencies use either returns based style analysis or holdings-based style analysis, and those are used to determine the fund attributes or factors of a specific fund. Jim also used a great analogy comparing building the appropriate investment asset allocation to building a cake, and you must have the right pure ingredients (factors), proper allocation amounts, and right mix of investments to have a well-built cake.Alex explained how it is our job as a Fiduciary investment management team to filter all the available information and investment options down through a well thought out, precise process to build our client portfolios. Jim stressed the importance of finding a professional who truly knows how to use these investment analysis tools because if they don’t it is like giving a machine gun to a toddler and hoping for a positive outcome. Jason chimed in and said that a lot of investment advisors at some of the larger firms are still constructing portfolios how they were building them back in the 90s and early 2000s, and with no care and concern for allocations to specific factors. Some examples of factors are size, value, momentum, minimum volatility, quality, and profitability, and these specific factors play a crucial role in constructing an investment portfolio. These factors allow us to extract returns from the global financial markets in a well-diversified manner to achieve the maximum risk adjusted returns for our clients.Jim and Jason explained what liability driven investing is and the process of solving for a clients required rate of return. This is so important in the financial planning process to make sure that IDA clients live a financially peacefully life.In this show you will learn about:- Importance of proper mutual fund analysis.- Role of a Fiduciary investment management team in fund analysis and information siphoning.- What is factor investing and why this is extremely important.- The importance of investing to achieve a target rate of return.

Rating Systems and Target Rate of Returns

Show Description:In this episode, Jason and Alex open the show up to listener questions. Every couple months Jason and Alex collect questions from listeners, clients and firm advisers that are getting asked the most to share on the air.Question #1 - What should I expect from my portfolio if inflation happens?Inflation – Jason shares his thoughts and concerns around printing money and the growing deficit. Alex interjects stating that the government desensitized us with trillion-dollar figures. Regarding your investment, a well-diversified portfolio should contain hedges for inflation built into it. Jason continues with sharing some stories from older advisers from when he first entered the industry and thoughts from the tech bubble.Question #2 – One of the advisers in the firm, proposed a question around Crypto Currency. Is this something that we should be considering within our client’s portfolios? Jason comments, “this is a tricky one” and shares that he does own some bitcoin. Jason also, shares that there is an argument and a case for Bitcoin / Crypto Currency and Block Chain Technology. This is revolutionary technology and the process behind this technology will most likely have an impact on our day to day lives and usage of money. Alex adds that it is a purely speculative investment. Jason adds that currently, it is difficult to add bitcoin as a position within IDA client portfolios. Premiums are high within a bitcoin ETF, but eventually this will change. Jason and Alex add that as Bitcoin continues to stabilize and prove itself, you may want to put 1 or 2 percent of your portfolio toward it as a good inflation hedge.Between questions, Jason shares a new client experience. A new client to the firm that had created significant wealth over his career and is now retired. A client who had always had an advisor but had never received a comprehensive financial plan. For the first time, this investor could see the purpose of his years of investing through planning and “what if” scenarios. Jason closes this story with reminding listeners that too many investors and advisers focus only on the investments and not the planning process. The investment is only secondary to the bigger picture or financial well-being.Question #3 – Based on what the new administration seems to be focused on, what should I be looking out for? Jason responds that you must be willing to tilt your portfolio based on the global macro-economic environment. This does not mean you go in or out of the market completely. You keep your core portfolio is tact and make slight adjustments to remove where risks exist. IDA has the privilege of using a risk analyst tool that is the most sophisticated tool in the industry.Jason and Alex close the show with reminding listeners that whatever administration is in place, people with continue to use Amazon, buy cars, and participate in consumer buying. Human ingenuity will continue to prevail and if you are invested in a well-diversified portfolio you will do well. Especially if it is tied to professional management.In this show you will learn about:- Inflation Investing- Crypto Currency- Risk Analysis

Financial Detox® Listener Questions

Show Description:Jason and Alex reminisced on Joe Biden being inaugurated as the next President of the United States, and then signed 17 executive actions. Jason talked about there being a real problem in this country where we are being fed information and bias from a propaganda media machine. He said our country is turning more into countries like China and Venezuela, where the government only provides us with what they want us to hear. Alex and Jason talked about the importance of remaining informed as a wealth management team to make sure that our portfolios are representative of the changes in the global macroeconomic environment. Jason specifically talked about how IDA has strategic tilts in our portfolios to accomplish this and remain aligned with macroeconomic themes.Jason talked about the hypocrisy and barrage of misinformation from the mainstream media and difference of media opinions regarding the capitol riots and the “peaceful protests” that were not peaceful in fact. Jason and Alex talked about how 90% of all Americans would agree on most aspects of what they would want in life, generally speaking and politically, and there doesn’t need to be so much hatred and animosity. Alex brought up the great point of controlling what you can control, especially when it comes to investments and one’s personal relationships, because there are so many aspects of this life that we cannot control. They invited listeners to send their questions to jason@financialdetox.com or call 877-707-8889.Alex posed questions surrounding what this new presidency and shift in power means for the next four years from an investment outlook standpoint. Jason talked about how even though there is a Democratic President, House, and Senate there is still somewhat of a balance in power due to centrist leaning democrats in office that hopefully will not just say yes to any radical leaning or socialist agendas. We cannot predict the future, but Jason said that there could be some major shifts in production levels internationally versus the United States, particularly when it comes to oil and energy.Alex and Jason talked about how our firm bases all financial planning and investment recommendations on academic and historic evidence. There is consequential evidence that shows trying to guess and time the market is ultimately a fool’s errand. Our firm specializes in investment and planning strategies that are time-tested, and strategically aligned to provide clients with the most peaceful investment experience. The most important aspect of one’s financial life should be making sure that their financial plan is still on track to never run out of money for the rest of their lives while accomplishing any of their specific goals.In this show you will learn about:- The dangers of the media propaganda machine- What does a Democratic sweep mean for IDA’s investment outlook- Financial planning and investment strategies for periods of uncertainty- The importance of updating a financial plan with regularity

Inauguration and Beyond

Jason and Alex recap some of the predictions made by strategists in 2020. If there was ever a year that we were reminded of the difficulty of making stock market predictions, it was 2020. To exemplify the difficulty of making market forecasts, we can look in the rear-view mirror at several examples of 2020 market forecasts and see how they turned out. A well-known financial publication surveyed 10 Wall Street strategists to gather their outlook, below are a few takeaways:The consensus of the strategists was that the S&P 500 would rise 4.1% in 2020, a substantial difference from the 18.4% that the index returned, despite all the headwinds faced. Even the panel’s most bullish member undershot where the S&P 500 would end up, estimating the index would rise to 3500 by year end. The strategists predicted that the 10-Year Treasury would end the year yielding 1.89%, a number more than double the 0.919%2 that we saw on December 31st. The strategists also didn’t expect the Fed to lower the federal funds rate to the level where it sits today, a target of 0% – 0.25%. The lowest range any strategist put on the rate was 1.25% - 1.50%. From a sector standpoint, 8/10 strategists were overweight financials going into 2020; the financial sector ended up being one of four sectors that experienced loses in 2020. Only two of the strategists were overweight the technology sector which ended up being the best performing sector. On the contrary, only one member of the panel was underweight energy, the sector that saw the lowest returns for the year.Another interesting highlight was that while the dramatic downturn was swift and steep, with the S&P 500 falling 33.79% from peak to trough, the recovery would be just as quick, as the index followed that up with its best 50-day period in history and returned 70.18% from March 24th through year end. Jason and Alex remind listeners that success in the market doesn’t require making accurate predictions, it requires the ability to stay in the game. An investor who is able to stay disciplined with their financial plan that their adviser sets out for them will be better off than one who constantly makes decisions based on “expert” market forecasts. Then the show gets interesting. Jason and Alex, against their better judgement and purely for entertainment purposes, attempt to make predictions about how 2021 will play out. These predictions are not meant to be investment advice in any way, shape or form. In fact the point they are making is how fun it will be to see how their predictions pan out. Fun being the objective and not meant for a successful, long term investment strategy. Enjoy the show!This information is provided for registered investment advisors and institutional investors and is not intended for public use. Dimensional Fund Advisors LP is an investment advisor registered with the Securities and Exchange Commission. This information is not meant to constitute investment advice, a recommendation of any securities product or investment strategy (including account type), or an offer of any services or products for sale, nor is it intended to provide a sufficient basis on which to make an investment decision. Investors should consult with a financial professional regarding their individual circumstances before making investment decisions.Past Performance is no guarantee of future results. Indices are not available for direct investment.

2021 Predictions

Today’s show kicks off with Jason and Alex introducing guest Rick Labrum, founding adviser to Intelligence Driven Advisers also Jason’s Dad and mentor. Today’s show discusses Smart Goals for 2021. Jason shares a story of how he and his boys applied a S.M.A.R.T. goal to make the game of golf more enjoyable for young players.Using the acronym S.M.A.R.T. to help define a goal.Specific (simple, sensible, significant).Measurable (meaningful, motivating).Achievable (agreed, attainable).Relevant (reasonable, realistic, and resourced, results-based).Time bound (time-based, time limited, tie/cost limited, timely, time-sensitive).After briefly describing the smart goals acronym and how it can be used to structure a goal, Jason and Alex ask Rick to share his thoughts. Rick comments that, it is very structured and that you would probably be successful if you used it, but in addition, it needs to be “Exciting and Fun” and not supposed to look like work. Rick continues that with visualizing the achievement of a goal it should create excitement and the excitement is the motivator to complete the goal. Alex adds how he came up with the topic for this show and shares some of the new year initiatives that IDA has set in place for its employees.   After the break, Alex ties the discussion into applying these goals towards better financial wellbeing by providing three actionable goals to ideally complete within 30 days. The thirty-day challenge. Jason interjects and reverse engineers the discussion by using Rick’s earlier comments and asks the question, “Why” or what is the excitable motivator when it comes to achieving financial goals. Rick interjects that it starts with looking back and evaluating what you did last year and to create a list of things that you would like to improve on. Jason adds that incorporating the S.M.A.R.T. acronym to all aspects of your life will provide the necessary structure to achieve success. The conversation goes further into discussing the need for goals in general and the experiences each adviser has had from goal setting reviews with clients. The show closes with presenting the listeners with three actionable goals or the thirty-day challenge:1) Build a comprehensive financial plan that takes into consideration your investments, estate, tax, insurance, cash flow, and forecasts your entire future with the key objective to never run out of money. 2) Determine your target rate of return and savings goals to accomplish your financial plan. 3) Craft and implement an investment strategy that gives you the highest probability of successfully reaching your target rate of return across your lifetime. In this show you will learn about:- S.M.A.R.T. Goals- Levels of Goal Planning- Financial Goal Recommendations

S.M.A.R.T Goals

Jason and Alex kick off the show sharing stories of family and staying safe around the holidays attempting to hold on to the traditions that we all have, while recognizing the current COVID protocols. With this intro, the show segues into the “Season of Giving” a discussion around charitable giving and the benefits associated to reduce your taxable liabilities. Alex references some charitably inclined billionaires and the strategies that they have implemented to give back to society. Jason interjects that we are the most charitable country on the face of the earth and that even smaller charitable donations can and will add up. With clients, IDA has been creating family foundations that require (per the client’s wishes) a 5% donation every year to a specified non-profit charitable organization. An awesome way for them to save a little bit on tax, but truly a way to be focused on giving for years to come. There were big changes in 2020 regarding the number of deductions that you can take. The IRS moved the deductible amount to 100% of your Adjusted Gross Income (AGI), up from 60%.  In addition, there is discussion around the $300 dollar “above the line” deduction if you choose the standard deductions on your tax return. Alex adds that these adjustments were, in his opinion, a smart foresight by the legislators to recognize that this year will be an incredibly difficult year for non-profit organizations given the business closures and loss of income by many. Alex asks, what can individuals do to participate in charitable giving? Jason responds, that if you are donating to a qualified 501c3 charitable organization, you are participating and will receive the tax deduction. Jason also interjects, that he is a proponent of letting people decide what to do with their money rather than imposing higher taxes. By keeping taxes low and incentivize giving, you will better help the poor and less fortunate. Jason shares his experiences of being a board member of The Boys and Girls Club and the programs the organization has been able to provide. Alex adds his experience from this year’s Boys and Girls Club Gala and the amount of generosity given. Jason closes by saying that if people are left to their own devices, many will be inclined to give. Jason and Alex recap the topics covered, creating a Family Foundation, additional deductions offered in 2020, and individual 501c3 charitable giving. Jason elaborates on how wonderful and rewarding a family foundation can be if set up correctly.  Jason closes the show discussing the benefits of donating highly appreciated stock. Gifting a highly appreciated asset to a qualified charitable organization will remove the tax liability on appreciation and allow the recipient to sell the asset with no capital gain tax. Alex adds that this can also be an available benefit when taking required minimum distributions (RMD). Jason reminds the listeners that this is a great time to get with a professional adviser and incorporate a charitable aspect into your financial plan. Which may be the most rewarding legacy you can leave. In this show you will learn about:- Family Foundations- Charitable Giving 2020 Enhancements - Individual 501c3 Charitable Giving- Gifting Highly Appreciated Assets

Charitable Giving and the Impact on a Financial Plan

Welcome to the Financial Detox® Show—a show that’s dedicated to helping you retire with confidence. Your host, Jason Labrum is a Certified Financial Planner and Founder of Intelligence Driven Advisers. For over 20 years, he’s shown people how to steer clear of toxic advice, achieve financial peace of mind, and manage their wealth for maximum impact—and now, he wants to empower YOU to do the same! Join Jason and his co-host Alex Klingensmith every other week, as they simplify the complex, share industry secrets, and provide proven strategies that will take YOU from financial insecurity to financial independence. Topics will cover retirement planning, financial planning, estate planning, tax saving strategies, investment management, 401K, alternative investments, stocks, bonds, portfolio allocation, business strategies, business advice, and much more.

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Financial Detox® Show

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