What To Do With Unexpected Extra Cash & Other Mailbag Questions

Today’s Prep:

While many are hitting hard times financially, maybe you are among the few who are doing well and trying to make the most of it like Grace in Ames. Eric gives some advice on what to do with extra cash as well as answering two other questions from the mailbag.


 

Equipping Points:

Is now a bad time to do a rollover? What should you do if you happen to be in an extra good place financially right now? On today’s episode of Retirement Ready, Eric answers a few of your questions from the mailbag.

Patrick in Urbandale is two old 401(k)s that he never rolled over. Now that he has the time to focus on it, he wants to know if this is a good time or a bad time to take care it? What does the rollover process consist of and what’s the risk of doing it now in a more volatile market?

Grace in Ames feels a bit guilty given the current circumstances, but she recently received a big tax refund, a surprise inheritance, and the stimulus check. What should be her priority with all of this money? Always start with a plan. Leave it in the bank until you have a thorough plan to decide what makes the most sense for you, whether it’s to donate, pay off debt, investing in the market, buy an investment property or a little bit of everything.

Ronnie in Indianola wonders if it is a good or bad idea to have all investments, taxes, legal documents and estate planning all handled by the same firm. There are pros and cons that you’ll want to consider if you choose to do this. Is it all run by the same person? Or is it a team of people working under the same roof?

To get help with any of these situations, make sure to reach out to a fiduciary you can trust to set the plans and ensure you are continuing toward your financial goals.

0:47 – Mailbag: Should I rollover my 401(k) now?

2:24 – What do you miss out on when moving your 401(k) to an IRA?

4:31 – Mailbag: How should I best invest extra money right now?

7:32 – Mailbag: Is it good or bad to have taxes, legal documents, and investments all handled by the same firm?

 

Related Resources:

5 Frequently Asked 401k Questions

Don’t Mistake Good Intentions for Sound Financial Advice

What You Should Know About Leaving an Inheritance

 

Today’s Takeaway:

[spp-tweet tweet= “We can give you that second opinion to see if what you’re doing is the right path. If it is, we’re going to tell you to do that. If we can improve your situation, we’ll tell you how to improve it and you can decide if you want us to help you with that.  Eric Peterson“]

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

Mailbag – Roth IRA, Emergency Funds & Tax-Deferred vs. Tax-Free

April 24, 2025

Making more money is great, but what happens when it becomes a roadblock for contributing to a Roth IRA? And how can you make your emergency fund work smarter for you? In today’s episode, we pull from the mailbag and answer a mix of listener questions. Eric addresses concerns that reflect the real-life hurdles many face on the road to retirement.

Read More

Early Retirement: Dream Come True or Financial Trap?

April 10, 2025

Ever fantasize about leaving your 9-to-5 before traditional retirement age? You’re not alone, but is early retirement even possible? In today’s episode, Eric explores what it really takes to retire early including how to tackle healthcare costs, how to make money last longer and the importance of shifting your mindset from spender to saver.

Read More

What 400+ Advisors Say Really Keeps Retirees Up at Night

April 3, 2025

What are Americans really concerned about when it comes to retirement? In this episode, we unpack the results of an insightful survey from Financial Advisor Magazine, which was completed by over 400 financial advisors. We’ll also compare these answers with the real-world concerns we hear every day from the clients in our own practice.

Read More

Bracket Busters and Stock Flops: The Risky Game of Picking Winners

March 27, 2025

March Madness is here, and just like filling out a bracket, picking individual stocks can feel like a thrilling gamble. But the odds of winning big are slim. In fact, history shows that most stock picks, like most brackets, end up busted.

Read More

Are Hidden Fees Draining Your Retirement Savings?

March 20, 2025

In this episode, Eric reveals the true cost of investing and how to protect yourself from unnecessary financial drains.

Read More

What Game Night Can Teach Us About Financial Planning

March 13, 2025

In this episode, Eric breaks down the surprising financial lessons hidden in classic board games, offering valuable insights to help you navigate your retirement strategy.

Read More

Mailbag – Upsizing, Financial Advisors & Business Owner Planning

March 6, 2025

Join us as we answer questions about the challenges of downsizing, the emotional aspects of planning for family gatherings, and the realities of transitioning into a financial advisory career.

Read More

Planning for Unique Situations in Retirement

February 27, 2025

While many face the same general retirement concerns, each individual’s situation is unique, requiring tailored solutions.

Read More

Planning for Kids, Grandkids, & Your Future

February 20, 2025

As many nearing retirement age are discovering, adult children and grandchildren can significantly influence financial strategies, making it crucial to understand how to navigate these relationships effectively.

Read More

Leave a Comment