Tending To Your Retirement Garden

Today’s Prep:

What does retirement planning have in common with growing a garden? Both need patience, vision, determination, and the proper tools to succeed. Eric Peterson explores all the comparisons on this week’s podcast.

(Click the featured times below to jump forward in the episode)

Equipping Points:

[1:06] Plants don’t grow overnight

  • If you want to have a BLT for dinner, you can’t buy a tomato plant and stick it in the ground and expect to eat tomato that evening.
  • A lot of clients who retire want to go into gardening because it’s something that you do almost every day but also something that makes you focus on a longer-term goal. Some people struggle, however, with that level of patience. This is true in a lot of younger people who don’t have enough of a long-term focus and don’t see how they need to build up their financial future.

[4:18] Keep the weeds and pests away

  • If you don’t pull the weeds in your garden, they’ll take it over and choke out your plants and prevent them from growing.
  • In the financial world, hidden fees are the weeds.
  • Keep in mind which investments carry fees. If you’re investing in things like stocks and mutual funds, there are fees present and you need to be aware of their existence.
  • You can’t always eliminate weeds or fees, but you can at least keep them under control and in check.
  • Unlike weeds, which aren’t really ever helpful, fees can still be worth paying if you’re getting good value from the service or strategy to make them worth it.

[7:00] You need the right tool for the right task

  • Your neighbors would laugh at you if they caught you trying to use a water hose to dig a hole or if they found you watering your plants by scooping tiny amounts of water out of a bucket with a shovel and dumping the water on the plants.
  • For a financial parallel, consider CDs and money market accounts. These aren’t designed for long-term investing or keeping up with inflation. That doesn’t mean they’re terrible tools, they just aren’t right for that job or responsibility. So, don’t shun a tool just because you don’t understand it, or you’ve used it for the wrong function in the past.

Related Podcasts:

Misconceptions With Annuities

Delayed Gratification

Financial Junk Food

Today’s Takeaway:

More From Eric:

The host: Eric Peterson - Contact - Call: (515) 226-1500

Subscribe To The Podcast:

Apple Podcasts  -  Google Podcasts  -  Spotify  -  Stitcher  -  iHeartRadio  -  TuneIn

Check out some other recent episodes

How To Handle Financial Pain Points in Retirement

September 19, 2019

When planning for retirement, there are a number of pain points that can come up to cause stress and fear for the future. What are some ways you can address these pain points now?

Read More

Can Financial Planning Be A DIY Job?

September 12, 2019

Wondering whether or not you really need a financial advisor or if you could just figure it out on your own? Why do people choose to approach financial planning like a DIY project, and why do some of those DIYers later change their mind?

Read More

What’s In Your Financial Junk Drawer?

September 5, 2019

We all have that drawer in the house with random odds and ends–some of it valuable and some of it you have no idea what to do with. What about in your financial files or folders? Do you know what’s what and what needs to go?

Read More

What You Should Ask (But Probably Forgot) When Planning For Retirement With Your Spouse

August 29, 2019

Did you take the trash out? Oh, and what is our income plan after one of us dies? One of these is a question you might ask your spouse regularly after dinner while the other one is important but often overlooked. We’ll talk about five questions you should start to ask now when it comes to planning your retirement with your spouse.

Read More

Strategizing for Retirement (Just Like In Chess)

August 22, 2019

The fun and challenge of games such as chess is a bit similar to planning for retirement. We’ll talk about how it takes a lot of pieces and the right plays to win in the end.

Read More

How To Ask Better Financial Questions

August 15, 2019

Asking questions is always a good thing. The more you ask, the more you understand. But sometimes you don’t get the answer you need until you ask the right question. These four common financial questions are a bit better when they are rephrased and reconsidered.

Read More

Financial Mythbusting: Making A Financial Plan Based On Reality

August 8, 2019

Do you know the difference between a financial myth and financial reality? When you make a plan for your future, you want to make sure it is based on what’s true. We’ll talk through four ideas to discover whether they are myths and real.

Read More

Should You Take House Debt Into Retirement?

August 1, 2019

What do you do when…? Eric answers three pressing questions from the mailbag in today’s podcast. Whether you are being thrust into an early retirement or are considering delaying retirement due to debt, financial advice from an advisor will set you in the right direction.

Read More

Watch Out For These Red Flags When Working With A Financial Advisor

July 25, 2019

When you are working with an advisor, you want your relationship to be built on trust and quality expertise. But how do you know if an advisor is a bad fit? What red flags should you avoid? We’ll tell you in this episode.

Read More

Financial Debates – Debt, Mortgages, Life Insurance & Mutual Funds

July 18, 2019

Inside of a mutual funds, the actions of others can impact you. If a lot of people are trying to sell that mutual fund, the manager has to sell some stuff to meet the redemptions and that can negatively impact you.

Read More

Leave a Comment