Retirement Answer Man

Latest Episodes:

How to Plan Your Agile Retirement: Stage 2 - A Feasible Retirement Strategy Mar 16, 2022

Show notes

“Our mind is dyed with the color of our thoughts”--unknown. If this is true, then how are you thinking about retirement in the right way? To have confidence in your retirement plan you need to be thinking about the things that you can control and focusing on what has the biggest impact on your life.

On this episode of Retirement Answer Man, you’ll learn how to create a feasible retirement strategy by analyzing your goals against where you are now. You’ll then learn about the three types of capital and how to build a net worth statement so that you can create a retirement plan of record. You won’t want to miss this important stage in developing your retirement plan, so press play now. Contrast your goal with where you are now

According to the latest goal-setting research, merely setting goals alone isn’t that empowering. It is important to cast your vision; however, you also need to contrast your goal with your current state of affairs. This way you can see where the gaps lie. These gaps may make you uncomfortable, but acknowledging the incongruency will help you understand how far you need to go to reach your goals. This way you can also start collecting the little wins that inch you closer to your goals. The 3 types of capital to fund your retirement

To create a feasible plan of record, you have to examine the resources that you have to fund your spending. To do this, you need to understand the different types of capital available to you in retirement.

The first resource to consider is your social capital. Social capital is the payments you receive from a collective program like Social Security or a pension. These are guaranteed payments for the rest of your life. You’ll need to have a good estimate of what those payments are and when they start.

Human capital is next. You may not realize it, but you have used human capital as your primary resource for your entire working life. Human capital is the work you use to create income.

Traditionally in retirement, this resource is absent, but many people now choose to work differently during, what I call, pretirement. You may choose to do a bit of consulting, open a small business, or do some part-time work for a few years. No matter how small the income may be, include it in your plan of record. Project when will it start, when will it end, how much you plan to make.

Whatever human capital and social capital don’t pay for has to come from your financial capital. Your financial capital is simply your money. You will need financial capital to fill the gap between your retirement goals and your projected income.

You can gain a better understanding of your financial capital by creating a net worth statement. Make sure you’re signed up for this week’s 6 Shot Saturday newsletter to receive a net worth statement template that you can use to create your own. How to know whether your plan is feasible

To understand whether your plan is feasible you’ll need to create your net worth statement by listing your assets and your liabilities. Even if you have no debt, you’ll want to list your future consumption as a liability to understand how your assets and liabilities balance out. By comparing both sides of the net worth statement you’ll understand your fundedness level.

Listen in to hear how I use two ways to calculate fundedness to see whether a financial plan is feasible. On next week’s episode, you'll learn how to make your plan resilient, so make sure to check it out. OUTLINE OF THIS EPISODE OF THE RETIREMENT ANSWER MAN PRACTICAL PLANNING SEGMENT

[3:38] Contrast your ideal retirement with your current situation
6:35] How to create a feasible plan of record
[14:28] Your assumptions will be incorrect
[18:03] How to know whether your plan is feasible
[28:20] What does feasible mean?

LISTENER QUESTIONS

[30:10] Jim’s question on Social Security
[34:05] Moving from a balanced fund to a stable value fund
[38:30] Mark’s question about using I bonds in bond ladders

TODAY’S SMART SPRINT SEGMENT

[41:52] Take baby steps to create micro wins

Resources Mentioned In This Episode
Social Security detailed calculator
LTCI Partners
Rock Retirement Club
Roger’s YouTube Channel - Roger That
BOOK - Rock Retirement by Roger Whitney
Work with Roger
Roger’s Retirement Learning Center

How to Plan Your Agile Retirement: Stage 1 - Your Vision Mar 10, 2022

Show notes

Retirement is a journey into the unknown that can be intimidating. This is why you need to build up confidence in your plan so that you can rock retirement. To build your confidence it is important to master the fundamentals which simply means that you must practice them over and over again.

Last week you learned to let go of the things that are out of your control and how to concentrate on working with the controllables by using an agile approach. This will give you the agency you need to prosper in retirement.

Today we’ll focus on developing an inspiring goal for your future. Over the rest of the month, we'll explore the pathways to get you to your goal. If you are ready to learn how to rock retirement press play now. 4 roadblocks that could hinder fulfilling your vision

With retirement on the horizon, you are ready to jump right in, but there can be some things that could hinder your progress. The paradox of choice

Who do you want to be when you grow up? This is a challenging question when you are already in your 50s or 60s. You have competency and interest in many domains at this stage of life, so it can be hard to choose what you want for your future. Or you may feel that when you set your goals they are set in stone since there's not a long time to change course. Don’t worry about this because you will change your mind. Life unfolds in twists and turns and plans will change. Don’t let the paradox of choice paralyze you. Start retirement with a clean slate

If you are like most of us, your life has been organized around your work or children. When you retire, your commute disappears and your kids are will have been sprung. You can now design your life any way you want. Think about how you can start your new life fresh from a clean slate. The accumulation mindset

You have been a good saver your whole life and at this point, you have built up your net worth. Having these assets is comforting, so it can be challenging to begin to use your savings. However, you chose to defer that income to provide for your life in retirement. Eventually, the balance in your retirement accounts will level off or go down. You’ll have to overcome the fact that your savings are no longer growing. It is important to get over your frugality mindset to enjoy all that you have accumulated. Tomorrow is the day

We often plan retirement thinking about tomorrow. We think that tomorrow is the day that we will start x, y, or z. But it is important to remember that we are not guaranteed any tomorrows. To truly rock retirement you have to live for today. Today is the day to show up and pay attention to your life. Life is happening now, so rock your life today. How to create a vision for your future

Before you begin to financially plan for retirement you need to create a vision for your future. One way to do that is to use the wisdom from those at the end of their lives to make the most of your own. Listen in to hear the top 5 regrets of the dying to help you make the most of your own life.

Have you given much thought to your values? Spend some time establishing your values so that you can envision building a life that is true to yourself. Once you have created a vision for your future you can create a plan to make it feasible. Don’t miss next week’s episode to learn how to create the pathways to reach your retirement vision. OUTLINE OF THIS EPISODE OF THE RETIREMENT ANSWER MAN PRACTICAL PLANNING SEGMENT

[3:57] Who do you want to be when you grow up?
[6:05] Your life is organized around your work
[9:07] Tomorrow is the day
[12:02] A 3 step process to create a vision for your future
[19:10] How to bring these goals into a financial perspective

LISTENER QUESTIONS

[25:57] A question on the 4% expected return used in the Retirement Plan Live webinar
[29:43] Why use a 5% expected return rate?
[33:35] A question on delaying taking RMDs
[35:50] How I pick case studies for Retirement Plan Live
[40:03] What to do with an inherited IRA

TODAY’S SMART SPRINT SEGMENT

[44:08] Create a compelling vision for your retirement

Resources Mentioned In This Episode
Check out Boomer Benefits for all your Medicare questions!
BOOK - Wooden by John Wooden
BOOK - The Top 5 Regrets of the Dying by Bronnie Ware
Rock Retirement Club
Roger’s YouTube Channel - Roger That
BOOK - Rock Retirement by Roger Whitney
Work with Roger
Roger’s Retirement Learning Center

How to Plan Your Agile Retirement: Why You Need to Be Agile Mar 02, 2022

Show notes

We can be easily distracted by the bright shiny objects of retirement planning which is why it is important to master the fundamentals first. Understanding the fundamentals of retirement planning will help you to create a solid foundation so that you can cope with all of the uncertainty that retirement brings.

Here on the Retirement Answer Man show, I typically dive into the foundational concepts of retirement planning in bits and pieces by answering questions. However, I haven’t taken a deep dive into teaching the fundamentals here on the show.

Over the course of this 5 week segment, we will start at the beginning and explore the fundamentals of retirement planning in greater detail so that you gain a working knowledge that will give you the confidence to execute your plan. If you have been wondering what Agile Retirement Management is this is the perfect time to press play. Areas where traditional retirement planning is lacking

There are so many uncertainties surrounding retirement, but most people are worried about just one thing: running out of money.

Traditional retirement planning methods help people build a financial plan to ensure that they don’t run out of money. In conventional planning, retirement becomes a one-dimensional math problem to be solved with investment products. Retirees are asked to place all their trust in the numbers of long-term returns and hope that all will be well.

These planning methods focus solely on the financial future and without considering the person’s life goals. While it is important to plan for the future, life exists now. Retirement should be about living life to the fullest extent that you can. An agile approach to retirement helps you balance the future while living a great life today. What is an agile approach to retirement?

I designed the agile approach to retirement planning by using a project management methodology. Agile retirement management focuses on achieving an objective by focusing on one thing at a time without trying to figure everything out all at once. With this approach, people are able to quickly iterate as needed as their situation changes.

The key to an agile methodology lies in understanding the fundamentals of retirement planning so that you can increase your agency and control the controllables. This ensures that you can refine your goals and dreams based on what you can control. The principles of an agile approach to retirement planning

An agile approach accepts that you can’t figure out everything. There is no way to predict what will happen with inflation, markets, or even your life in the future. This is why it is important to try not to dial in exactly what will happen 20 years from now. By staying agile, you’ll be able to quickly respond to any shifts in life or the markets and consider how to improve your reactions.

These are the principles to developing an agile approach to retirement:

Collaboration - It’s important to collaborate rather than delegating someone to plan your retirement. Use your strengths to inform your decision-making. Being creative together allows you to discover joint solutions

Flexibility - You can't figure out everything at once, so value optionality and flexibility.

Prioritize - Try as you might, you can’t do everything at once. With so many levers to pull, it can be easy to focus on the wrong thing. Prioritize to improve focus and find the areas that will make the biggest impact on your life.

Communication - Even if you do it on your own, you still need to have the right communication. Use a series of little conversations to check in with your plan to make sure that you are on the right track. Take action then review the action once it is complete. Periodically evaluate risks and opportunities in your plan.

Traditional retirement planning doesn't allow you to explore the things that matter in life. You don’t want to miss out on the ride of life, so master the fundamentals of retirement planning. OUTLINE OF THIS EPISODE OF THE RETIREMENT ANSWER MAN PRACTICAL PLANNING SEGMENT

[2:55] Why it is so important to master the fundamentals of retirement planning
[9:40] What is an agile approach?
[11:50] Principles of an agile approach

LISTENER QUESTIONS

[19:34] Worries about the long term stability of Anne’s annuity
[23:29] Chen was relieved to hear Dom’s story
[24:45] A life insurance question
[26:41] How to determine payout options when the female has the pension

TODAY’S SMART SPRINT SEGMENT

[30:28] Review the controllables that were discussed in your last retirement plan meeting

Resources Mentioned In This Episode
Episode 422 - with Don’s interview
LTCI Partners
Rock Retirement Club
Roger’s YouTube Channel - Roger That
BOOK - Rock Retirement by Roger Whitney
Work with Roger
Roger’s Retirement Learning Center

What Investments Help Protect Me from Inflation? Feb 23, 2022

Show notes

Welcome to the last episode in the 4 part series on inflation in retirement. If you are just now joining in, consider heading over to the first episode in this series which covers what inflation is and how to measure it. The second installment discusses the ways that inflation impacts retirement and the previous episode helped you build a framework for combating inflation in your retirement plan.

I create these deep-dive series as a way to sharpen my own skills as a financial advisor and to refresh my thinking on a topic. The order of the episodes allows me to think through a subject in an organized way. This is why I encourage you to listen to the series in order so that you can understand the progression of the subject at hand. Press play now if you have already listened to the preceding episodes so that you can learn the tactical ways to fight inflation in your retirement plan. Strategy vs. tactics

Before we dive into the tactical ways to fight inflation, it is important to understand the difference between strategy and tactics. A strategy is a framework for how you achieve a long-term goal. Tactics are the smaller steps that have a shorter time frame. Unlike strategy, tactics are easily started and discarded. They are a means to an end that complement and enhance the strategy.

Your overall long-term goal is rocking retirement, and hopefully, after the last episode, you have begun to create your strategy to combat inflation so that you can rock retirement. Listen in to learn tactical measures that will enhance that strategy. The current tactical situation regarding inflation

We are all wondering where this inflation is taking us. Are we experiencing a monumental shift away from the low inflation and low-interest rates of the past 20 years? At this point, we can’t say for certain that inflation is here to stay, but we can analyze the current situation.

In January, we experienced 7.5% inflation. If this trend continues, we will see rising interest rates as a result. Rising interest rates can lead to changes in the financial dynamics across the board. Bond and money market rates will rise, but on the flip side, the cost of borrowing money will rise as well. Rising inflation has a financial impact on every part of the economy and we will see a shift of capital across the world.

It is important to understand that we don’t know for certain what will happen in the future. All we can do is educate ourselves and have a sound strategy in place. Tactics to use if rising inflation becomes the new trend

If inflation continues to rise there are many ways that you can adjust your tactics in line with your overall retirement strategy.

Buy I bonds - These bonds adjust the amount of interest-based on inflation to preserve the purchasing power of the dollar over time
Check out Treasury inflation-protected securities (TIPS)- TIPS are more like a traditional treasury bond. They adjust the principal balance of the bond based on an inflation factor to achieve the same goal. The price fluctuates based on interest rates and other factors.
Hold money market funds - Hold more money market and cash assets. As interest rates rise you can lock in at higher interest rates.
Use more debt to buy things - take advantage of the current low-interest rates to purchase things that are likely to rise in price in the future
Buy in bulk - Buy at today’s prices rather than tomorrow’s.
Change jobs - The labor market is tight right now and wages have not kept up. This means that companies are starting to bid up.
Invest - Investing in real estate, companies with pricing power, and commodities have historically been a good idea during times of inflation.

Although there are many tactics you can use to fight inflation risk, it is important to do so with a sound strategy in place. Listen in to hear why you shouldn’t take extreme measures to tackle inflation. OUTLINE OF THIS EPISODE OF THE RETIREMENT ANSWER MAN PRACTICAL PLANNING SEGMENT

[4:20] Coming next month…
[6:30] Where to go if you can’t afford a full-time financial advisor
[8:42] Strategy vs. tactics
[12:38] What is the current tactical situation regarding inflation?
[20:20] Tactics to use if rising inflation is the new trend
[26:55] What I am doing tactically to fight inflation

COACH’S CORNER WITH KEVIN LYLES

[35:05] How retirement calculators treat inflation
[39:34] What else inflates in retirement?

TODAY’S SMART SPRINT SEGMENT

[43:05] Define the guardrails for your tactics

Resources Mentioned In This Episode
Check out the Stacking Benjamins book tour–I’ll be at the Dallas event with Joe Saul-Sehy on March 1
Episode 417 with Joe Saul-Sehy
Rock Retirement Club
Roger’s YouTube Channel - Roger That
BOOK - Rock Retirement by Roger Whitney
Work with Roger
Roger’s Retirement Learning Center

How Do I Manage Inflation Risk? Feb 16, 2022

Show notes

Inflation will affect your retirement one way or another. It’s up to you to create a strategy to manage that risk. On this episode of Retirement Answer Man, you’ll learn how you can build your own strategy to deal with the creeping risk of inflation.

In the past two episodes, you learned what inflation is and how it can affect your retirement. Next week you’ll learn how to use tactics to tweak your strategy to optimize it for specific situations, but first, let’s go learn how to come up with your own plan to combat inflation. Data vs noise

It is important to understand the difference between noise and signals when coming up with a strategy. It’s easy to be distracted by the everyday noise that surrounds us and fail to heed the signals that we should actually be watching for.

In today’s overly connected world, we have access to information that is being transmitted instantly. Rather than learning from the signals that can help us create a course of action, we get distracted by the constant noise. As data flow increases, we tend to get overloaded with information.

According to Nassim Taleb in his book, Antifragile, data is toxic in large and even moderate quantities because it increases our tendency to overreact to the noise. This is an important factor to recognize when coming up with a risk management strategy which is what a retirement plan really is. Strategies start with vision

Coming up with a strategy for retirement planning is like checking a recipe before you go to the grocery store. You want to make sure that you have all the ingredients so that you can put them together in the correct portions to create a meal. If you don’t plan before your trip to the supermarket you could come home with plenty of food but nothing that will help you prepare a healthy meal. To ensure a healthy retirement, make sure that your retirement starts with your vision for life. How to create a strategy to manage inflation

Now you understand that you need to have a goal in mind before you create a retirement strategy. The two risks that you must balance in retirement are sequence of return risk and inflation risk. Sequence of return risk is a near-term risk that occurs when your stocks go down in value shortly after you begin withdrawing from your accounts. The risk of inflation means that the value of your dollar decreases over a longer period of time.

Your retirement strategy needs to balance these near-term and long-term risks. Listen in to hear how you can manage inflation risk while at the same time considering sequence of return risk.

If some of the terminology I use confuses you, make sure to listen in the month of March. I plan to explain the fundamentals of retirement planning in greater detail. You’ll learn about the pie cake, agile retirement planning, and the retirement plan of record. OUTLINE OF THIS EPISODE OF THE RETIREMENT ANSWER MAN PRACTICAL PLANNING SEGMENT

[3:29] Noise vs. signals
[5:35] What is a strategy?
[12:57] How to create a strategy to manage inflation

LEARNING FROM DONALD’S SITUATION

[20:40] Learning from Donald’s retirement plans
[25:46] What happened to Donald’s wife
[29:15] How Donald’s perspective has changed
[33:08] How Donald’s financial plans have changed
[35:20] Use the technology you have to record your loved ones

TODAY’S SMART SPRINT SEGMENT

[36:47] Evaluate your reaction to inflation

Resources Mentioned In This Episode
LTCI Partners
WSJ article - The Trouble with a Stock Market Bubble by Jason Zweig
FILM - The Social Dilemma
BOOK - Antifragile by Nassim Taleb
Rock Retirement Club
Roger’s YouTube Channel - Roger That
BOOK - Rock Retirement by Roger Whitney
Work with Roger
Roger’s Retirement Learning Center

How Will Inflation Impact My Retirement? Feb 09, 2022

Show notes

Inflation is on everyone’s mind these days. If you have been wondering how inflation will affect your retirement, you’ve come to the right place.

This is the 2nd episode in a 4 part series on inflation. Last week we defined inflation, today, we’re discussing the impact of inflation on retirement, next week we get strategic, and in the final episode, we’ll get tactical and answer your questions on inflation.

Press play to learn what you need to know about the effects of inflation on your retirement. Just choose a number

Inflation is nothing new. It has been affecting us over the course of our entire lives. This is important to remember when planning retirement so that you don’t overthink how you plan for inflation as you build your retirement plan of record.

When building your retirement planning model, you’ll need to assume some number to plan for inflation. This number can be chosen based on history or another method. You don’t need to worry too much about where the number comes from as long as you’ve done a bit of research to get it. The most important thing to remember when choosing a number to assume for inflation is to leave it alone. It’s important to stay agile

You’ll be consistently iterating and tweaking your retirement plan of record as your lifestyle changes from year to year. Even though inflation rates will fluctuate over the course of your retirement, leave your assumed inflation estimate alone.

You won’t get any more accuracy from your model by tinkering with this number. Instead, you’ll end up tilting the numbers one way or another based on your proximity bias. Iterate based on the reality of your lifestyle rather than some projected assumption. Let your spending habits change based on your life choices. How does inflation impact your retirement?

The best way to understand how inflation can impact someone over time is to crunch the numbers.

If you spend $9,000 per month today and assume a 3% inflation rate, in 15 years your standard of living will decrease by 36%. If you change the inflation rate to 7%, the standard of living will worsen by 64%.

Although these numbers can seem scary, you will have a bit of optionality in the way you spend your money. If inflation is high, you may choose to scale back your spending in many areas. Areas where you can’t scale back

There are a couple of areas in life where you won’t be able to scale back spending. A healthcare event is not a choice and will need to be cared for whether you are ready or not.

Unfortunately, due to the healthcare renaissance in medical technology, inflation in the medical field has risen by 3 times the average of other goods and services. Healthcare and long-term care are two areas that have higher than average inflation and you have little control over your need for them.

Even though inflation will cause prices to rise, you will have a safety feature built into your retirement by way of social capital. Social Security has a cost of living adjustment built into the system based on CPI-W. Listen in to hear how these adjustments in addition to your human capital can help you combat inflation in your retirement. OUTLINE OF THIS EPISODE OF THE RETIREMENT ANSWER MAN PRACTICAL PLANNING SEGMENT

[3:30] Be careful with your assumptions
[10:01] How does inflation impact your retirement?
[21:48] How stocks and bonds react to inflation

LISTENER QUESTIONS WITH TANYA NICHOLS

[28:40] How Frank can decide if he can continue with his early retirement
[35:20] Where can someone with modest means go for retirement advice?
[40:02] What is the role of bond funds in a retirement portfolio with a low-interest rate environment?
[47:28] Clarification on signature requirements for IRAs

TODAY’S SMART SPRINT SEGMENT

[51:17] Review your inflation assumptions

Resources Mentioned In This Episode
Episode 405 - Don’t Let Perfect Be the Enemy of Good
Lutheran Social Services Financial Services
XYPN
Align Financial
BOOK - So Good They Can’t Ignore You by Cal Newport
BOOK - The Good Entrepreneur by Nick Kennedy
Rock Retirement Club
Roger’s YouTube Channel - Roger That
BOOK - Rock Retirement by Roger Whitney
Work with Roger
Roger’s Retirement Learning Center

How to Manage Inflation in Retirement: What Is Inflation and How Is It Measured? Feb 03, 2022

Show notes

Inflation is quite the buzzword lately. Every news network reports that inflation is on the rise which is apparent at the grocery store, the car dealerships, and even in the housing market. If you are planning on retiring soon, worries about inflation could keep you up at night. This is why over the next 4 weeks, we are going to study how to manage inflation in retirement.

Today you’ll learn what inflation is and how it is measured. In week two of this series, we’ll discuss how inflation affects retirement, the following episode will study how to manage inflation from a strategic level, and our last episode on this topic will explore the investment vehicles that are available to help protect our portfolios against inflation. What is inflation?

Everywhere you look you can see that inflation is on the rise which is why we are studying this topic in depth. Before we can learn how to battle it, we must first understand what it is.

Inflation is the decline of purchasing power of a particular currency over time. This means that over time, your dollar will buy less of a particular good or service.

We often reflect on the good ole days when a gallon of gas was less than a dollar, but we can see how inflation occurs across the board. Today a gallon of milk costs $3.59, but in 1995 it cost $2.50. A dozen eggs are $2.80 today, whereas, in 1990, that same dozen was only $1. This is inflation.

The way we see inflation from a retirement perspective is that the purchasing power of your dollar buys less over time. A look at average historical inflation rates

Since the 1920s, the average rate of inflation has been 2.88%. However, this does not mean that each year the inflation rate has been the same inflation fluctuates from year to year. The highest inflation rate was in the 80s and was 15.61%.

In the past 20 years, the inflation rate has been lower than that 100-year average at 2.06%. Over the past 10 years, we really haven’t worried about inflation and we have had the added benefit of enjoying excellent return rates from the market, so if you retired in 2011, there hasn’t been much to worry about. But this isn’t always the case.

In the 1970s, inflation was at 7% per year which was coupled with a rough decade in investment returns, this perfect storm could cripple retirements. Inflation risk can be compared to sequence of return risk as you enter into retirement. How inflation affects retirement planning

When you are planning your retirement you want to understand how much things cost so that you can predict how much money you will need each year. If you spend $9000 per month now, in 20 years you’ll need much more to have that same purchasing power.

No one can predict what will happen in the future, but if you study the past and take measures to protect your portfolio, you can hedge against this ever-present risk. Learn how inflation is measured why that is important to plan your retirement on this episode of Retirement Answer Man. OUTLINE OF THIS EPISODE OF THE RETIREMENT ANSWER MAN PRACTICAL PLANNING SEGMENT

[5:00] What is inflation?
[12:10] How inflation affects retirement planning
[13:46] What causes inflation?
[19:00] How do we measure inflation?

LISTENER QUESTIONS WITH ANDY PANKO

[26:30] Is it better to do a Roth conversion or take advantage of a 0% capital gains tax rate?
[34:55] The difference between Roth conversions and Roth contributions
[39:59] How to adjust the Social Security calculator for early retirement
[46:45] Is inflation risk higher when one retires early?

TODAY’S SMART SPRINT SEGMENT

[56:55] Think about your optimization to see if you have enough slack in your system

Resources Mentioned In This Episode
Taxes in Retirement Facebook group with Andy Panko
Tenon Financial Group
LTCI Partners
Watch the Retirement Plan Live replay here!
BOOK - Antifragile by Nassim Nicholas Taleb
Rock Retirement Club
Roger’s YouTube Channel - Roger That
BOOK - Rock Retirement by Roger Whitney
Work with Roger
Roger’s Retirement Learning Center

Retirement Plan Live: Establishing a New Life Jan 26, 2022

Show notes

We learned in the first episode of Retirement Plan Live that Joelle and her husband Mike had moved to a new area to pursue their retirement dreams. Joelle and Mike are now learning how to build community and purpose in their new home. Listen in to learn how Joelle plans to make social connections and find purpose in retirement as she creates her new life. The Rock Retirement Club is open

The Rock Retirement Club will be open for enrollment for ten days starting on 1/27. If you have been thinking about joining, this is the right time to act.

We have implemented this short-term enrollment window so that new members can make connections with each other while working to build their retirement plan of record. This way, RRC freshmen can come in as a cohort and fully participate in their membership by taking full advantage of everything that the club has to offer. New members will participate in meetups and have access to the masterclass, retirement planning tools, and the private RRC podcast.

Even if you are too late to join this enrollment, fill out the application and get on the waiting list so that you will be first in line when enrollment opens again. What will Joelle do with her time in retirement?

Once you finally reach retirement you have to figure out what to do with all of your time. When Joelle moved to her new home in Washington she knew that she would need to find a way to fill 40 hours of her time that was previously spent working.

Joelle has found a new yoga and pilates class to keep fit and connect with others and through these exercise classes, she was even able to connect with a hiking group.

Exercise and connecting with others are important components of retirement. However, finding a purpose in retirement is even more important. Joelle understands that the success of her retirement hinges on finding a purpose which is why she sought out a nonprofit organization to volunteer with shortly after moving to her new home. Listen in to hear how Joelle found this organization and what she plans to do with her time in retirement. Making friends in a new place

Moving to a new place can be challenging and when you do so upon retirement it is important to get involved in the community. Without workplace interactions, making friends is even more difficult than in the working years. Joelle has thrown herself into participating in her new exercise classes and volunteering with the nonprofit organization. Although she still doesn’t have anyone that she can truly call a friend, she has several acquaintances with whom she is looking forward to making a deeper connection.

Do you have any strategies for making friends in a new place? How will you expand your friendship base in retirement? OUTLINE OF THIS EPISODE OF THE RETIREMENT ANSWER MAN RETIREMENT PLAN LIVE WITH JOELLE

[1:30] What will Joelle do with her time in retirement?
[10:18] Making new friends can be a challenge
[16:09] Volunteering will give her a sense of purpose

LISTENER QUESTIONS

[19:13] Greg is worried that the Social Security system will run out of money
[25:04] Strategies to improve the longevity of the Social Security system
[27:20] How to find a retirement financial planner
[29:58] Roth conversions vs. earned income
[30:53] Where to find a retirement plan of record template
[32:14] Using human capital and financial capital to retire early and receive ACA credits
[36:07] Health savings account beneficiaries

TODAY’S SMART SPRINT SEGMENT

[38:44] Think about your strategy to create community and connections in retirement

Resources Mentioned In This Episode
RetireAgile.com
LiveWithRoger.com
BOOK - How to Begin by Michael Steiner Bungay
Rock Retirement Club
Roger’s YouTube Channel - Roger That
BOOK - Rock Retirement by Roger Whitney
Work with Roger
Roger’s Retirement Learning Center

Retirement Plan Live: Creating Our Retirement Paycheck Jan 19, 2022

Show notes

As you embark on your retirement journey, life’s question changes from what can you do to what will you do? You have so many choices that are available to you that the question of what to do next can be daunting. I explore these questions with Michael Bungay, author of the new book, How to Begin.

Michael’s interview isn’t the only thing that’s in store for you today on the Retirement Answer Man show. This is the third installment of Retirement Plan Live with Joelle. Last week Joelle shared her dreams for retirement, so today we crunch some numbers to see how she will create her retirement paycheck. Make sure to sign up for the webinar on January 27 to see whether Joelle’s retirement will be feasible. What will you do next?

Often in midlife, you reach a crossroads where you have to decide what’s next. At this age, you have experience, contacts, and resources which opens a wealth of opportunities. So, how can you figure out what you should focus on in your next chapter? Think about what will bring out the best in yourself. Should you create You+ or You 2.0?

Michael likes to compare this process of reinventing yourself to technology. You have the choice of creating You+ or You2.0.

You+ is like getting a new app on your phone. It will improve your life for a while, but then you begin to plateau and you have to think about what is next. You 2.0 is like getting an entirely new operating system that can last for decades. Take this time to think about what your You version 2.0 will be.

Michael’s book, How to Begin, lays out the process to help you figure out how to create You 2.0. You’ll learn how to set a worthy goal and make a difference that lights you up all while moving you towards the edge of what is possible. How to begin the process with fresh eyes?

Systems start breaking down once you reach the next level in anything that you do. The same holds true for reinventing yourself. To begin again you need to start by thinking about who you are so that you can set a worthy goal. Your first guess won’t be the best one, but as you work through the process it will help you to polish and refine your goal.

The next step is to commit. Before you commit yourself to your goal, you’ll want to weigh your choices. Think about the prizes and punishments for completing or not completing your goal.

Finally, it is time to make progress on your worthy goal. Goal setting is a challenging process, that is why it is important not to waste your time on the wrong goals. Your goals should be important to you and make the world a better place. What impact do you want to make on the world?

If you are trying to figure out who you will become in the next phase of your life, check out How to Begin by Michael Bungay to help you get started. OUTLINE OF THIS EPISODE OF THE RETIREMENT ANSWER MAN RETIREMENT PLAN LIVE WITH JOELLE

[3:37] Joelle feels content with her retirement dreams
[7:18] Looking at Joelle’s social capital
[12:40] Joelle won’t have any human capital
[16:16] Let’s look at Joelle’s financial capital

MICHAEL BUNGAY INTERVIEW

[25:25] Who is Michael Bungay?
[29:36] Michael’s second mountain
[32:50] The difference between Michael+ and Michael 2.0
[35:38] How to begin the process with fresh eyes

TODAY’S SMART SPRINT SEGMENT

[53:46] Challenge yourself to see whether you are improving yourself or can you reimagine a new operating system

Resources Mentioned In This Episode
BOOK - How to Begin by Michael Bungay
BOOK - The Coaching Habit by Michael Bungay
PODCAST - 2 Pages with MBS
BOOK - The Second Mountain by David Brooks
BOOK - From Good to Great by Jim Collins
Erin Weed - The Dig
Retirement Plan Live Webinar January 27
LTCI Partners
Social Security Detailed Calculator
Rock Retirement Club
Roger’s YouTube Channel - Roger That
BOOK - Rock Retirement by Roger Whitney
Work with Roger
Roger’s Retirement Learning Center

Retirement Plan Live: Dreams for Our New Home Jan 12, 2022

Show notes

Welcome to the second installment of Retirement Plan Live. This is the episode where we run the initial numbers for Joelle’s retirement. We’ll walk through the 3 categories to define Joelle’s base needs, wants, and wishes and put number values to each of these areas.

In addition to the interview with Joelle, you’ll hear listener questions about how to feel comfortable about retirement, converting 401Ks to Roth IRAs, and how my personal journey finding health insurance has turned out.

As a bonus, you’ll hear an interview with Joe Saul-Sehy from the Stacking Benjamins podcast who has written a new book called Stacked. Listen in to hear if it is worth the read. Check your email this weekend to receive a free retirement planning worksheet

If you are following along with Retirement Plan Live and creating your own retirement plan, make sure that you are signed up for the 6-Shot Saturday weekly newsletter. In this Saturday’s newsletter, you will receive a link to a simple worksheet that will help guide you through your own retirement plan the way that I am walking through Joelle’s retirement plan.

6-Shot Saturday is full of tips, news, listener questions, and more, straight from the Retirement Answer Man to your inbox. Simply head on over to RogerWhitney.com, scroll down to the bottom of the page, and enter your name and email address to sign up. Financial behavior is at the heart of all money management issues

Have you ever listened to the Stacking Benjamins podcast with Joe Saul-Sehy? If so, you’ll want to check out his new book, Stacked. If you haven’t heard his podcast, check it out on your favorite podcasting app. Joe joins me today to discuss why he wrote his new book, how he wrote it, and why it’s important.

Did you know that 150 million Americans have cried about money? This number doesn’t only include people who live paycheck to paycheck, people who earn more are also concerned about money. These people aren’t crying about the loss of the mega backdoor Roth or cryptocurrency. They are crying about their financial behavior.

Many people who are educated about money and finances still struggle with their financial behavior. Mastering your finances isn’t about what you know, it's about what you do.

Stacked helps readers take action to improve their financial situation

Traditional finance books often overcomplicate finances or hype certain complicated financial strategies. Stacked helps readers understand what they should be thinking about when it comes to financial matters and why they should think about them.

Since Joe discovered that people need actionable items to complete to successfully change their financial behavior he decided that his book should help readers change their financial behavior through action. The book is based on achievements that are built on micro-actions. Its format is award-based, similar to the way that many educational apps gamify learning. Joe begins financial planning with the end in mind

Joe’s book begins with the end in mind. It is goal-based and helps readers create a timeline to put their goals in perspective. Since most of us are visual learners, the book helps to plot things visually so that readers can begin to work on their financial problems.

As you read, you’ll be able to visualize your goals so that you can put a list together to understand what you truly value and how that applies to your financial plan. Check out Stacked if you are interested in a light-hearted approach to a serious subject matter that gives you actionable items to get you closer to your financial goals. OUTLINE OF THIS EPISODE OF THE RETIREMENT ANSWER MAN RETIREMENT PLAN LIVE WITH JOELLE

[3:04] Joelle’s base spending needs
[8:50] Joelle’s future expenses
[20:25] Budgeting will be a new experience for Joelle and her husband
[23:49] Joelle’s aspirations
[29:35] They plan to age in place

LISTENER QUESTIONS

[34:25] A 401K to Roth transfer question
[38:39] How to help Tracy’s husband retire again
[43:04] My health insurance journey
[46:10] Reverse mortgages

JOE SAUL-SEHY INTERVIEW

[47:09] Money management can be stressful
[51:22] How Joe wrote his book
[59:23] Begin with the end in mind
[1:07:00] Joe’s goals for his book

TODAY’S SMART SPRINT SEGMENT

[1:10:19] What will you wish you would have done at the end of this year?

Resources Mentioned In This Episode
BOOK - Stacked by Joe Saul-Sehy
BOOK - How to Begin by Michael Bungay Stanier
BOOK - Half Time by Bob Buford
BOOK - The Second Mountain by David Brooks
PODCAST - Stacking Benjamins with Joe Saul-Sehy
NeuYear.net
Powell’s Books

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