Today’s Prep:
Do you need as much life insurance as you have? Or should you factor in eventual inheritance money when deciding when to retire? Eric answers three questions from the mailbag in this week’s podcast.
(Click the featured times below to jump forward in the episode)
Equipping Points:
Whether you are near retirement or already in it, there are a lot of questions that come up regarding your financial plan. On today’s episode of the podcast, Eric answers three questions from the mailbag.
Anna in Des Moines plans to stay near her mom to help care for her and then later move out of state. The problem is, she hates her job and wants to retire early if she can. Would it be unwise to retire now at 60, even if the money is less than ideal since she will inherit money from her mother? Eric says to make sure your numbers work only on your own assets for now. There are a few different ways to make your goals possible though. Can you work part-time instead of fully retiring? What do you have saved now?
Barry in Waukee has life insurance through his job, a term life policy, and a whole life policy he bought several years ago. Does he really need this much life insurance? Eric asks, what were the reasons you originally bought it? Perhaps to cover a mortgage or kids? Now look at it from another angle. Is this a strategic way to transfer assets from a tax perspective? How does this work into your plan?
Stan from Ames planned to start Social Security this year but never got around to it. Instead, he’s been pulling money from his savings account. Should he continue doing this while he can? Look at it from a tax perspective. Then, consider longevity. What if something happens to you?
Do you have questions for Eric? Be sure to reach out!
Listen to the entire episode of the podcast or click on the individual questions using the timestamps below.
0:46 – Mailbag: Can I retire early and count on inheritance money coming later?
3:59 – Mailbag: Do I need this much life insurance?
6:56 – Mailbag: Should I pull from savings before Social Security in retirement?
Today’s Takeaway:
“Social Security is an important aspect of income coming in. Social Security only passes to a spouse, it doesn’t pass to your family.“
-Eric Peterson
Related Resources:
What Goes Into a Customized Financial Plan?
Subscribe To The Podcast:
Apple Podcasts - Google Podcasts - Spotify - Stitcher - iHeartRadio - TuneIn
Check out some other recent episodes
What to Know About Retiring Today
When you work with a financial advisor, you aren’t just talking about money. Saving for your retirement also includes thinking about what kind of retirement lifestyle you want to have and what you need to keep in mind for the long-run. Do you want to work, by choice? What kinds of expenses will you have and how are they different in retirement? Is your money going to last for 30 years of retirement? Eric has seen his clients through all of these decisions and shares what to keep in mind about retirement.
Read More
Common Pre-Retiree Tax Mistakes
Let’s talk about the different tax mistakes retirees are prone to make. Between changing rules and a lot of financial documents to manage, you’ll want to avoid these tax mistakes. Eric talks us through where people get tripped up and why. What you pay in taxes can make a significant impact on your nest egg, so be sure to work with a financial profes-sional who can help you navigate them in retirement.
Read More
What Is Your Financial Personality?
What kind of personality do you have when it comes to money? Before you put together a financial plan, it’s important to understand the way you think and approach money. We talk through a few different personalities Eric commonly sees and how he advises them. Whether you are spending whenever you get a good excuse to or more of an intentional spender, it’s good to be cognizant of how you handle it and what possible downfalls you may face.
Read More
Investing Strategies by Profession
From teachers to engineers, there are a variety of people who work with Eric and his team to build a solid financial plan. Those in similar professions tend to have similar mindsets when it comes to finances. We discuss what similarities Eric sees across different industries and how he approaches each of them. Do any of these relate to you and your financial mindset? Find out what strategies a financial advisor might suggest pursuing.
Read More
Life Insurance 101
While no one really likes to talk about it, life insurance can be an important part of your financial plan. We talk about why people cringe when they hear the term, who most needs it, and why you might want to reconsider your preconceived notions about it. Life insurance sometimes gets a bad rap, but it can be a powerful tool. If you care for someone else and you hate taxes, look at life insurance.
Read More
Financial Wisdom from Ron Swanson
Today, we take some quotes from the gruff but beloved Parks and Recreation character, Ron Swanson. He’s got a lot of dry sarcasm that can be hilarious, and surprisingly, can teach us a thing or two about financial planning.
Read More
Outdated Financial Strategies
Some of the strategies of yesteryear might not be the right strategy for you today. We talk through different financial strategies people have used and what makes the most sense for your financial plan.
Read More
What Is Non-Correlated Income?
The term might sound fancy, but non-correlated income doesn’t have to be confusing. Ask, which one of these is not like the other? In retirement planning, you want to have some income that is not dependent on something else, such as the stock market.
Read More
Fact or Fiction: Financial Situations in Retirement
We play a game of fact or fiction when it comes to these five financial statements. Eric explains which one is which and shares why these ideas are true or false. As you make a financial plan, it’s crucial to base it on facts and reality so you can best prepare for retirement.
Read More
Avoiding Possible Financial Disasters
No one wants to find themselves in a financial disaster. Having a plan is a great way to start. On today’s show, we talk about simple strategies that can make a huge difference in your financial future.
Read More