Today’s Prep:
Ever consider a retirement plan that seems a little unorthodox? There’s no one-size-fits-all when it comes to financial planning, so Eric answers three questions in the mailbag from people considering a less traditional decision to make their plan work for them.
Equipping Points:
When it comes to retirement, beyond the numbers, how do you want your life to look? Eric answers three questions from the mailbag this week that go beyond the basic financials and consider the retirement lifestyle and mindset listeners are most interested in pursuing.
Cathy in Ankeny has been a homeowner for more than 40 years and is tired of it. When she retires next year, she’s considering selling the house and renting for the rest of her life. Is there any problem with doing this? Eric talks about the maintenance required with owning a home as well as what benefits you might have as a renter. Consider if a condo or townhouse might be the best of both worlds. If you do rent, factor in an increase in rent to account for inflation overtime. What is it that you most want?
Chris in Des Moines is a widower, but has access to his late wife’s good health insurance. If he gets remarried though to his girlfriend, this insurance will be gone. What should he know ahead of time? Depending on how old you are, Medicare might be coming up. What are the possible downsides of not getting married?
Martin in Clive says investing seems simple if you just invest in dividend-paying stocks, live off the dividends, and not dip into the principal. Before you get too confident in that plan, remember that everything can change. Companies go up and down, so you’ll need to have diversification. Dividends are not guaranteed. What are safer and smarter ways to create an income stream? Having a proper plan will help you avoid facing a financial crisis.
Listen to the entire episode to learn more or click on the timestamps below to skip ahead to a particular question from the mailbag.
0:47 – Mailbag: Can I sell my house and rent instead in retirement?
4:58 – Mailbag: What happens to my insurance when I get remarried?
8:08 – Mailbag: Can I just invest in and live off of dividend-paying stocks?
Today’s Takeaway:
“Everything can change, so you need diversification. You need to have different income sources because dividends are not guaranteed.“
-Eric Peterson
Related Resources:
What Creates A Sense of Urgency With Your Financial Plan?
Mailbag: Retirement Planning With Separate Bank Accounts
Mailbag: Should I Use My Severance Package to Pay Off the House?
Subscribe To The Podcast:
Apple Podcasts - Google Podcasts - Spotify - Stitcher - iHeartRadio - TuneIn
Check out some other recent episodes
The Stress That Comes With Retirement
Eric discusses why this phase can be so daunting and offers strategies to ease the transition.
Read More
Finding Financial Silver Linings
Throughout our lives, there will be times when the markets rise and times when we experience downturns. Largely, we don’t have control over the circumstances we’re dealt, but we do have control over how we respond to those situations.
Read More
Unasked Retirement Questions You Shouldn’t Ignore
Tune in to this episode with Eric, as he breaks down some frequently unasked retirement questions that are very important to consider.
Read More
The Diverse Definitions Of Diversification
Diversification is one of those buzzwords you hear often in financial planning. While many people know it’s important, few are clear on what it actually means when applied to various aspects of their financial strategy. In today’s episode, Eric and Marc will bring you the diverse definitions of diversification.
Read More
The Use Of Technology In Financial Planning
As technology keeps advancing, it’s made our lives easier in so many ways. Tasks that used to need outside help can now be done on our own with just a few clicks. This shift has also brought more accessible online financial tools, but how accurate and helpful are they really?
Read More
Retirement Planning Conversations With Dorothy Parker
Dorothy Parker is one of the great writers of the 20th century. Her wit and prose have been appreciated by readers for generations. But are there any lessons we can learn when it comes to finance with some of Parker’s most well-known quotes?
Read More
Mailbag: Moving To A State With Income Tax And More
In this episode, Eric is answering your questions! We’ll cover a range of topics today, including key considerations for income taxes when moving to a new state, how to initiate financial conversations with parents or grandparents, and whether using a life insurance policy to save for a college fund is a wise choice.
Read More
What Is Lazy Money?
What is lazy money and why do you want to not have too much of it in your retirement portfolio? Simply put, lazy money is money that isn’t growing as much as it could be. Having your money grow and work for you is a key part of building a solid portfolio, so Eric breaks down some strategies to help get the most out of your money in this episode.
Read More
Retirement Planning Today Is Harder Than It Used To Be
Retirement planning simply isn’t the same as it used to be. From changes in life expectancy, the lack of pensions, and getting caught in the sandwich generation, there’s a lot to keep in mind when putting together your financial plan. Instead of taking advice from others who may have retired in a different era, it’s important to understand what strategy is right for you.
Read More
Social Security Variables That Impact Your Claiming Strategy
After so many years of paying into Social Security, you might feel ready to reap the benefits. But before you get too eager, it’s best to have a thorough understanding of the different variables and how to best leverage them.
Read More