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“]
Subscribe To The Podcast:
Apple Podcasts - Google Podcasts - Spotify - Stitcher - iHeartRadio - TuneIn
Check out some other recent episodes
Retirement Lessons Hidden in Walt Disney Quotes
Sometimes the best financial lessons come from the most unexpected places. Walt Disney built one of the most recognizable brands in history, but some of his most memorable quotes offer lessons that extend far beyond theme parks and animated characters.
Mailbag: Working Forever, Safety Nets, and Target Date Funds
A lot of people think they’ll work forever, until life changes the plan. In this special mailbag episode, Eric answers listener questions about retirement timing, backup planning, target date funds, and how to think about risk as retirement gets closer.
The Financial Impact of Losing a Spouse
Losing a spouse is one of the hardest realities anyone can face, and it can create major financial changes that you may not see coming. In this episode, Eric walks through the potential financial impact of becoming suddenly single in retirement, including Social Security changes, tax surprises, IRA rules, beneficiary updates, and income planning challenges.
Old Accounts Could Be Costing You
Today, Eric discusses why old financial accounts deserve a second look. He explains how reviewing these accounts can uncover missed opportunities, improve efficiency, and help create a more coordinated financial plan.
Good Intentions, Bad Advice: Well-Meaning Advice Can Cost You
Not all bad financial advice comes from bad sources. Sometimes it comes from the people you trust the most. Eric breaks down how well-meaning input from family, friends, professionals, and even the media can lead to the wrong decisions.
When Life Happens, Your Plan Needs to Change
Life doesn’t always go according to plan, and your finances need to be ready when things change. Eric walks through some of the biggest life events that can impact your financial future and why each one is a moment to revisit your plan. The goal isn’t to predict every twist and turn; it’s to be prepared when they happen. A solid plan gives you the flexibility to adjust without losing confidence.
Challenging What You “Know for Sure” About Retirement
Mark Twain once said, “It’s not what you don’t know that gets you into trouble, it’s what you know for sure that just ain’t so.” How can this wisdom apply to retirement planning?
Questions To Ask Your Advisor
Eric walks through the key questions that can reshape how you think about your plan and explains how the right questions can lead to better clarity, smarter decisions, and a more confident path into retirement.
How the 24/7 News Cycle Hurts Your Portfolio
In today’s 24/7 news cycle, financial headlines are designed to grab attention, not guide smart decisions. The result? Decisions driven more by noise than by strategy. In this episode, Eric explores how media influence, emotional reactions, and misunderstood risk tolerance can quietly derail a financial plan.
Why Most Of Your Financial Goals Fail
Many people talk about setting financial goals, but far fewer people know how to set the right ones, or how to turn them into something that actually works in real life. Eric walks through how to create financial goals that are both meaningful and achievable. It’s easy to aim high, but if your plan isn’t realistic, those goals often fall apart before they ever gain traction.