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

Financial Wisdom from Mark Twain

June 13, 2024

In the latest episode of the Retirement Ready Podcast, Eric invites us to explore the timeless wisdom of Mark Twain and how it applies to modern financial planning. Mark Twain, known for his wit and keen observations, offers quotes that are surprisingly relevant to today’s financial landscape. Eric takes these quotes and translates them into practical advice for those planning their retirement.

Read More

Understanding Bonds in Today’s Market

June 6, 2024

Are bonds really the safe investment we’ve always been told they are? What percentage of assets should a retiree or pre-retiree hold in bonds? In today’s episode, Eric addresses some of his most frequently asked questions about the world of bonds…

Read More

Understanding Your Financial Statements

May 30, 2024

Financial statements can often feel like a foreign language, filled with jargon and numbers that seem to have little relevance to your everyday life. However, understanding these documents is crucial for effective retirement planning. In the latest episode of the Retirement Ready Podcast, Eric breaks down the essentials of reading and interpreting your financial statements.

Read More

From Graduation to Retirement

May 23, 2024

This one goes to the grads! Whether you know someone graduating high school, college, or even preschool, graduation marks a new stage and season in life. Similarly, retirement is a new chapter in life. It’s a time of change, celebration, and sometimes, uncertainty. On today’s show, we talk through the similarities between leaving school and entering retirement.

Read More

401(k) Mistakes

May 16, 2024

Your 401(k) likely plays a major role in your retirement savings. That’s why it’s important that it’s set up and functions in the way that’s most beneficial to you. Following our last podcast about beneficiary mistakes, now we focus on common mistakes people make with their 401(k).

Read More

Beneficiary Mistakes

May 9, 2024

In this episode of the Retirement Ready Podcast, Eric guides us through the critical yet often overlooked details of beneficiary designations. Learn the simple yet vital steps to prevent beneficiary blunders that could lead to unnecessary headaches for your heirs. Eric calls these errors “low hanging fruit” because they’re easy to fix yet can save your family from future heartache.

Read More

How Emotions Can Impact Your Retirement Plan

May 2, 2024

Dive into the world of financial emotions in this episode with Eric Peterson. Discover how greed, fear, hope, and pride can make or break your investment strategy. Eric unravels the complexities of managing emotions to ensure a secure and enjoyable retirement.

Read More

Retirement Planning Statistics

April 25, 2024

Retirement is closer than you think, but are you ready? With a staggering number of people lacking confidence in their retirement savings, Eric shares the misconceptions people have and what mistakes can derail someone’s financial future. Many people feel inadequate when it comes to what they have saved in their nest egg, uninformed about the pitfalls of target date funds, and unprepared about the reality of leaving the workforce earlier than expected.

Read More

Mailbag: Should I Fire My Broker?

April 18, 2024

Navigating life’s financial crossroads can be tricky, especially when it involves your financial future. In this episode of Retirement Ready, Eric addresses these complex issues head-on. How do you best evaluate your broker and your investment performance against the S&P 500? Eric says a lot of that comes down to setting expectations and understanding the risks. Then, Holly wants to know what to consider before making a midlife career change.

Read More

Putting It Off

April 11, 2024

We are all guilty of procrastinating from time to time. Financially speaking, though, this can get you into a lot of trouble. Let’s talk about the areas where it might feel better to kick the can down the road.

Read More

Leave a Comment