When our financial growth is going well it can create a false sense of overconfidence. You want to stay vigilant about protecting your financial plan.  On today’s episode, we are going to discuss places in our finances that we can be overconfident in. Even if the stock market has been great for the past 10 years, that’s no indication of how it will look in the next 5 or ten years. Some of us have an ideal number we want to reach in order to retire, but this may cause a false sense of security and overconfidence. So, how should we prepare for these circumstances and protect our overall retirement plan?   Get additional financial information: https://principalpreservationservices.com/ep-79-overconfidence-in-retirement-planning/   What we discuss:  0:44 – Pride cometh before the fall 1:53 – Mike goes to Greece 3:38 – The stock market 7:16 – 1 million dollars for retirement 9:11 – Rules of thumb 11:40 – Investment products 13:55 – Decision-making process 17:59 – Mailbag: Do I really need an emergency fund? 19:06 – Mailbag: My advisor doesn’t reach out to me?  

Retirement Reality Podcast

Episode 79: Overconfidence in Retirement Planning

Pension options, Social Security, and investments are all among the topics that you should be addressing with your significant other. Finding the right balance between both of your risk tolerances can help you better manage your future income. Even if you both have a plan on saving for retirement, you will also need to plan on what your retirement will look like. Do you both want to travel or stay close to family? Should you sell your current home or the vacation home? On today's episode, we are talking about some common financial mistakes couples make and what decisions you need to address together.   Read and get additional financial information: https://principalpreservationservices.com/ep-78-retirement-decisions-to-make-as-a-couple/   What we discuss:  1:00 – Couples as clients 2:06 – Pension options 6:27 – Social Security 8:59 – Should spouses come in together? 10:24 – 401k and IRAs 12:49 – Managing risk together 15:14 – Retirement planning together 19:22 – Mailbag: Am I in trouble with investing? 21:35 – Mailbag: Roth or Traditional 401(k

Ep 78: Retirement Decisions to Make as a Couple

When it comes to our finances, there are certain things that we shouldn't wait to address. A few of the most common things people tend to put off in their finances include taxes in retirement planning, paying off debt, Social Security, and making a financial plan. Whether you can wait on some of these topics will depend a lot on your situation. Mike is going to discuss some general rules and advice about waiting to act on these financial decisions.   Read and get additional financial information: https://principalpreservationservices.com/ep-77-can-you-wait-on-these-financial-decisions/   What we discuss on the episode:  1:24 – Catching up with Mike 3:29 – Paying taxes on investments 5:43 – Paying off debt 9:01 – Legal and estate documents 12:09 – Taking out Social Security 15:29 – Creating a financial plan 18:27 – Mailbag: Starting a business 20:35 – Mailbag: Required minimum distributions

Ep 77: Can You Wait on These Financial Decisions?

So you’re experiencing some concerning symptoms with your finances? Let’s visit with the money ‘doctor’ Mike Kojonen to see what financial prescriptions you might need to keep your retirement on track.   Read more and get additional financial resources here: https://principalpreservationservices.com/ep-76-what-the-financial-doctor-ordered/    What we discuss on this episode:  1:17 – Summer update   4:34 – Dizziness from market volatility  6:44 – Paralysis in financial decision-making because of too many options  8:40 – Anxiety from watching the news everyday  10:21 – High blood pressure from anger about receiving bad advice in the past   12:58 – Losing sleep about not having enough money for retirement  16:40 – Mailbag question on which accounts to withdraw from first 18:19 – Mailbag question on robo advisors 

Ep 76: What the Financial Doctor Ordered

If they age is the price we pay for wisdom, then we should possess a strong fundamental understanding of our finances by the time we reach retirement. As we get older, our view of money changes and our perspective of what’s most important in our retirement plan will evolve.   Read more and get additional financial resources here: https://principalpreservationservices.com/ep-75-how-age-wisdom-play-into-financial-planning/    What we discuss on this episode:  1:55 – Perspective of money changing with age 3:59 – What would you have done differently?   6:22 – Worry more or less later in life? 7:59 – Leaving a legacy   12:36 – How we view risk   15:38 – Mailbag questions on giving money to children    17:37 – Mailbag question on dividend-paying stocks  

Ep 75: How Age & Wisdom Play Into Financial Planning

All the hard work and time you spend during your working career should be enjoyed in retirement, but what type of motivation do you have? Let’s explore some of the primary motivations that people have for retirement and how planning can help you reach that.   Read more and get additional financial resources here: https://principalpreservationservices.com/ep-74-what-retirement-are-you-living-for/    What we discuss on this episode:  1:52 – Spending more time with your family 3:53 – Want to buy stuff 6:10 – The desire to travel 8:56 – Helping your grandchildren with college   11:15 – Donating to a charity 13:32 – Mailbag question on money creating stress in a relationship 14:30 – Mailbag question on Social Security

Ep 74: What Retirement Are You Living For?

So much of the financial world is focused on accumulating money and you can find plenty of advice on how to save and invest. But there aren’t nearly as many resources for navigating the period of time after your retirement through decumulation. On this episode, we’ll point to 5 things you need to know about spending down and managing the assets you’ve accumulated throughout life.   Read more and get additional financial resources here: https://principalpreservationservices.com/ep-73-5-things-you-must-know-about-decumulation-to-retire-successfully/    What we discuss on this episode:  2:20 – Lack of support 4:16 – Fear of spending is real 5:56 – Risks in retirement 7:29 – Focusing on tax consequences 9:59 – Leveraging your lifetime income 12:34 – Mailbag question on divorce settlement 14:17 – Mailbag question on saving and interest rates

Ep 73: 5 Things You Must Know About Decumulation to Retire Successfully

Just about everyone is familiar with the phrase diversification and what it means in financial planning, but what does it take to be properly diversified? On this episode of the podcast, we’ll break it down to the three worlds of money and explain why finding balance among these will provide you with the diversification you need to have a successful retirement. Each of these play a key role in planning and it’s important that you find the right mix for investing your money. You can listen to the full episode or use the timestamps below to find a specific segment. 1:12 – The Banking World 5:25 – The Insurance World 10:37 – The Wall Street World 17:18 – Finding balance with our clients 20:23 – Mailbag question on old 401K accounts 22:12 – Mailbag question on taxes in retirement   For additional financial planning resources, visit us online at http://principalpreservationservices.com 

Ep 72: The Three Worlds of Money

If financial planning was simple, no one would need help. Even when we know what we’re supposed to do, it’s not always a certainty that we will. On this episode of the Retirement Reality podcast, we’ll go through some common sense financial statements that ring true to all of us and Mike will explain why we often fall short in following this guidance. If you find yourself getting off-track, make sure you lean on an advisor to help you keep retirement planning on the right path. You can listen to the full episode or use the timestamps below to find a specific segment.  1:14 – Buy Low, Sell High 4:04 – Don’t pay more in taxes than you have to. 7:02 – Keep expenses low. 9:56 – Don’t put all your eggs in one basket. 12:04 – Market timing is virtually impossible. 17:01 – Mailbag question on capital gains taxes 18:48 – Mailbag question on IRAs   For additional financial resources, visit us online at http://principalpreservationservices.com 

Ep 71: Learning Through Uncommon Sense

On part two of our estate planning conversation with attorney Patrick Boley, we turn our attention to life after death to discuss the documents you need to have in place. That includes a detailed discussion on wills and trusts, along with the role probates play in the estate process.   Read more and get additional resources here: https://principalpreservationservices.com/ep-70-estate-planning-for-life-after-death-with-patrick-boley-part-2/    Check out Part 1: https://principalpreservationservices.com/ep-69-the-living-side-of-estate-planning-part-1/    What we discuss on this episode: 1:14 – Interview begins 2:44 – What happens if you don’t have documents in place? 3:58 – The Will 6:19 – Probate & the Transfer on Death Deed 10:16 – Stepped-Up Value   11:52 – Formal or Informal Probate 13:44 – Mike shares a personal story   17:48 – Client story about a will getting contested 18:55 – Revocable Living Trust 22:41 – Putting house in a trust   28:22 – Second marriages 30:30 – Dangers of doing it yourself 33:24 – Protection from nursing home 35:13 – Updating your documents

Ep 70: Estate Planning for Life After Death with Patrick Boley (Part 2)

Through years of working with clients, we’ve seen that the estate side of planning often gets overlooked. That’s why we’ve asked attorney Patrick Boley of Eckberg Lammers to come on and talk to us about the living documents that every person needs in part one of a two-part series on estate planning.   Read more and get additional resources here: https://principalpreservationservices.com/?p=39915&preview=true    What we discuss on this episode:  1:01 – Welcome in Patrick Boley 2:09 – Background on Patrick 5:37 – Healthcare directive   8:04 – Specific statutes that need to be in place  14:45 – Mike shares story about how a catastrophic event can unfold.  16:46 – What if you have an adult college student and need access to medical records?  18:02 – Definition of Durable Power of Attorney  19:36 – Standard Power of Attorney 21:31 – Little things to think about 26:31 – How long is the process to get these living documents in place?

Ep 69: The Living Side of Estate Planning with Patrick Boley (Part 1)

You can't talk about financial planning without discussing risk, but what does that mean exactly? Risks comes in multiple forms and you have to guard against each when building a plan. Today we'll tell you about the different types of risk and how we help clients manage it.  Read more and get additional financial resources here: http://principalpreservationservices.com  What we discuss on this episode: 2:00 - Market Risk4:31 - Interest Rate Risk6:47 - Inflation Risk9:44 - Taxes12:01 - Longevity risk14:35 - Mailbag question on variable annuities17:25 - Mailbag question on flipping houses

Ep 68: Understanding the Different Risk Types

On today’s episode, we’re talking about things that drive your financial advisor crazy about the financial world.    Read more and get additional financial resources here: https://principalpreservationservices.com/retirement-reality-podcast/  What we discuss on this episode: 1:21 – Coronavirus vaccine3:10 – Hidden fees5:08 – Advisors who put their own goals ahead of their clients7:00 – Cookie cutter (one-size-fits-all) sales pitches9:15 – Big companies who push products11:12 – Buzzwords and jargon that don’t mean anything to the average person13:25 – Financial plans that consist of dozens of pages that no one can understand16:48 – Mailbag: Should we refinance our house?

Ep 67: Things That Drive Your Financial Advisor Crazy

On today’s episode, we’re talking about things nobody says in the financial planning world and Mike explains why that’s the case.  Read more and get additional resources here: https://principalpreservationservices.com/ep-66-things-nobody-says-in-the-financial-planning-world/  What we discuss on this episode: 3:08 – I really regret putting money into my Roth IRA every year4:33 – I should have spent more and saved less6:00 – Life insurance payment was insulting8:10 – It makes me feel patriotic to pay more in taxes10:56 – I love big market corrections13:35 – Mailbag: How to stay out of craziness of the market

Ep 66: Things Nobody Says in the Financial Planning World

Our country has been through some major market crashes over the years. What happened during those events and what can we learn from them? Read more and get additional financial resources here: https://principalpreservationservices.com/ep-65-lessons-learned-from-biggest-market-crashes-of-all-time/  What we discuss on this show: 1:59 – Black Tuesday3:50 – Dot com crash6:25 – 20088:42 – 2020 coronavirus pandemic10:34 – Lessons learned14:28 – Contact Mike and his team16:15 – Mailbag: Should I take Social Security?18:03 – Mailbag: Husband doesn’t want to plan for retirement?

Ep 65: Lessons Learned From Biggest Market Crashes of All-Time

Weekly financial and retirement planning guidance with Mike Kojonen of Principal Preservation Services. Mike serves western Wisconsin and the Twin Cities areas of Minnesota. He's the co-author of Momma's Secret Recipe for Retirement Success and will impart financial wisdom each week on this podcast.

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Retirement Reality Podcast

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