Is Market Panic Costing You Your Retirement Dreams?

0:00People need an income that's guaranteed to them. If you lose money to taxes, you're never getting that money back. You need to get serious about adding some lower risk. Grease! I don't like crease! The thing to be afraid of, honestly, is the thing that we're not thinking of the black swan of that. Is this tsunami coming? Come on, I'm on! Welcome to Retirement Coffee Talk with Sherees Rivers. Just coffee talk. There's a lot of noise, a lot of chatter. Who do you listen to? Who do you not listen to? You have to stay focused. A fun and informative look at the issues of wealth, retirement, and protecting your life savings. These advisors out there that were trained to sell, sell, sell, and have all these fees, fee fees. They don't want to talk, talk, talk about this product that they make less, less, less money. And now Retirement Coffee Talk with Sherees Rivers. Hello again and welcome to Retirement Coffee Talk with Sherees Rivers at Zinnia Wealth. Online, as always, Zinnia Wealth.com, ZINNIA Wealth.com.

1:01This is a show where we talk about you and your retirement. And today we're going to talk about markets. We're going to talk about retiring early. We're going to talk a little bit about Medicare, because that window is coming up and building your paycheck and retirement lots to do today. But before we do, it's always in this first little section here, the Adventures of Sherees. Because... How are you doing today, by the way? I'm doing great, and I have a few more Pokemon cards in my head prior. So if you missed us last week, Sherees and her son Eli have taken on this whole Pokemon thing, and it's kind of a together mom and son kind of a thing. And then you really have gotten into it, and you were going on a trip, and you found out there was a Pokemon card convention out in San Francisco, and you said, I'll go into your early. So give us a update. How did it go? It's so funny. Sometimes I just... I get curiously obsessed about things. And it's actually that... It's a restful space for me, believe it or not, when I do something outside the financial world.

2:05So it actually is good for me. So it's a new little hobby. But yeah, I was headed to San Francisco, and I heard about this collecticon, where there's like 800 vendors going to be there. So I'm this older lady, right? Walking in with my glasses on, I got jeans on, a white t-shirt, and a backpack. And I hit in two days, 800 vendors, every single one of them. And my very first vendor stop, I said, I'm looking for gold cards, and he twisted his neck. Like something was wrong with me. Like you're looking for gold cards, I went, yeah, they're gold star cards. And he says, no, I wish I had them. Doesn't know what's in the next vendor. And I did the same thing. I'm like, do you have any gold cards? Because they have tons of cards. But I'm only asking for these gold star cards. And he twisted his neck. He looked at me, he's like, you're buying gold star cards? Like I shouldn't. Maybe I don't know why. So out of 800 vendors, all of them said, I wish I had them, and only eight vendors actually had them.

3:05So I guess I was really picking the right cards. I'll keep back with a couple of nice cards. And my son couldn't go, because he was in school, and he was upset I went. But he was happy I learned so much, because I brought back a lot of data and information as we're starting our new little hobby. I can see the whispers out there. Hey, there's a mom over there, and she's putting down big money on the gold cards. Who is that? I know. It's funny. Oh my gosh, you're going to become the gold card broker of the United States. No, not doing that. You know, we're doing all kinds of stuff. Cosmetics and all those things that you have, no clue what I'm talking about. Some vintage and just some everything and I think we're just having fun with it because my son loves it. And he's trading and he's making a little bit of money along the way. So he's learning about finance. That's a whole point is he's learning about finance. Mom and son are bonding. And we have a purpose and a plan, at least for the next couple of months over the weekend.

4:06I love it. I love it. Well, you know what? Strategic or being strategic. We're going to we're going to call it a lesson in financial literacy. Okay, because it's not well, let you know how this works out in a couple of months from now. Alrighty. Why do we get down to it here? Because in this first section, we usually talk a little bit about the stock market. And there's a lot going on out there right now and a lot of different opinion. I mean, we've been going along for a while and now it's starting to get a little funky, little little, little right now. And so they bring all these things up, you know, market history. A bull market usually goes three years. There's ones gone for and then they'll talk about being overvalued. You've heard that word out there. They talk about the inflation. They talk about the midterms. They talk about all these different things. And you know, Sheree and I will talk about this a lot. And we always end up with the same statement. Nobody knows. Nobody knows where the market is. But those headlines, Sheree, still might have people walking the halls at 2 a.m. And I don't want that for any retiree. And I know you don't want either. So if people come in and they say, I just, it just worries me what I hear and what I see.

5:09How do you calm people down? What are the steps that you use in the planning process to help? Yeah. We start out by number one having real conversations. The price to admission when you're in the stock market is that it's going to go down. The price to admission to being a stock market is that you're likely going to keep up with inflation. And we're going to, you know, have some moonshots at the same time, potentially, right? And it's going to go sky high. So when you're chasing the tail of the rocket ship, here's the deal. Eventually you're going to get burned. And so we don't know when we're going to get burned and the stock market is going to crash. And we're going to start this really close to ride. And we don't know when we're going to have a 10 or 15% correction. All as I know is that our clients as a start to learn the zinni away and learn our, our zinni a five pillar strategy. They're not as worried because not all of their money is in the market. And they start to realize as they're getting ready to retire and or in retirement that not all of our money has to shoot for to the moon, right?

6:14It doesn't make 10 and 20%. Maybe we want some of our money to do that. Like we have a technology stock that trades. And yeah, that one's probably going to do between 30 and 40%. But do we want all of our money in there? No. Because what happens if you're going to make 30 and 40% in a portfolio, if it's a great year, you can also lose 50% in a down here. So as long as you have your income coming in every month and every year and you know where it's coming from for the next five to seven years, then you're going to keep your emotions and control. You're not going to sell in the market crash. As in case you are that person is like, I want the tech stop. I want the Amazon, the SpaceX and video, the apples, the Google I want all those trees. And you can have those. And we love those portfolios. But we know they're going to go up and down, but you're not going to be as worried because where people worry is when there's too much in the stock market and they're living off that money and they're watching their accounts go down and they still see, oh my gosh, I had to pull 2000 month out.

7:14I had to pull $4,000 a month out to cover the gap. That's when people panic. That's when they make some decisions. And that's when they sell when the market starts to bottom out. And that's when you don't want to sell because conventional financial wisdom is always told us don't sell the bottom. That's the worst thing to do. Don't sell the way down. Hold strong. That's the price admission in the stock market and just write it out. And you can't write it out if you need the money because now you're risking running out of money. Right. So you have to strategize. So it's not like when you are working and you're contributing and you weren't even spending the money to you. You had paychecks coming in. You didn't have to worry about it. Now you're not working. Now you're not contributing. Now you're living off your money. You are managing your 401k is you are your own pension manager. So yeah, the time has turned and you have less time on your watch. So this is why it's okay to have the risk as long as you know where incomes coming and you will not pace up and down the hallway when the market crash is saying, could a what a shitta. If you have a really good sound plan in place when we call that your written plan one out of five retirees have this written income plan. I don't know why, but that's just the way it is.

8:23We provide that and that gives people that peace of mind to make the decision if they want to spend more. And then it also helps them say, okay, if I can spend a little bit more and the market goes down, where do we pull from? Oh, here we go. We're going to pull from these buckets because that's our safe, funny strategy. That means while everybody else has stopped booking their their cruises and all their trips for the next five years waiting for the market to come back up because the market goes down to years, it takes five years to four years to come back up. Your booking your cruises, your booking your trips, you haven't changed your lifestyle because it was dictated on the stock market. You're doing the same thing, whereas a lot of other people have to stop doing those things because they never had a plan, they never trusted an advisor, they're like, why do we pay an advisor. I get it, you should not just walk into any advisor office and pay them because yes, that same exact thing is going to happen, they're going to make money when you don't and the market goes down and yes, you're not going to be able to book your cruises. But if you work with the right advisor, the retirement planner, the retirement advisor that actually understands the five folds of retirement that's working on the income planning, not just the investment planning and we talked about this not too long ago.

9:28Investment planning is one piece of the five pies, right. You got to have the income plan. The income plan is the foundation of all things that's going to dictate what you can and cannot do. This is going to dictate how much money is probably going to be left over 30 years from now and if you have money for long term care, so that has to be both out. That's the number two. Now, when you come in and see us, we'll coach you on all five of them. But number two is one of the most important pieces we have to focus on. I think we've said it for many, many years, if market headlines make you shook, if it makes you worried, if it has you walking the halls at 2 a.m. That means you probably have too much risk. That just means you need to sit down with Sherees and have that conversation about how much money do you want in that market? And if you want very much less, you have that income conversation that she's talking about as well. Having the income and having less risk in your retirement plan is the thing, the secret ingredient, I guess you could say, to not worrying about some of these headlines. Let's have that conversation. It's no cost or obligation. Give Sherees a call. Look at the website. Let's start right there. Zinnie a wealth.com ZINN I a wealth.com. There's a gold box. It says complimentary retirement consultation. Just click on that. Follow those prompts there. You'll be on your way. Sherees and the team will give you a call and start down the road to helping you with your retirement planning or skip all that and just give them a call. It's 833 368 368 0.

10:54So people retire for a lot of different reasons. Some of them are forced into it. Some of them can do it on their own terms. And sometimes it's kind of the universe telling you, hey, it's just time. I got a story here that I found in money wise of a couple of brothers. They're both in their 50s. And then all of a sudden one has a heart attack and passes away and just shoots shock waves through the entire family. So the other brothers 57 years old and he says that's it. I'm not going to sit in a job that I hate because look what happened to my brother. And so he comes into his financial advisor and says I want to retire at 57. And that's pretty early. So he says he's going to try a soft retirement. He's going to go get a part time job. He's going to conserve those savings. He's going to get his way to social security. Make his way to Medicare and go with it after that. So Sherees, I'm sure you've dealt with people. Like this before in all different shapes and sizes. What is it that are the biggest challenges for this kind of a person? Yeah. So quite a few challenges. And we have retired people that early, but not too many people. That's really early.

11:58We're far from Medicare. We're far from collecting social security as early as 62. And when the big things are going to back up again. So I know I always say, hey, don't let healthcare costs stop you from retiring. But I will say more people than not has not saved quite enough at age 57. You need a couple more years. Healthcare costs can easily be $1,000 a month. So you have that. We don't get social security till 62. And then finding a part time job, you know, you can't get health insurance at part time. Right. So you have to look at all those things. Now if this gentleman has saved enough and he's gotten an income plan, it shows, okay, I'm not collecting social security. So 62 maybe even 65. And I can cover that extra $1,000. And if you're married, you probably need $1,800 if the spouse isn't working. If you can cover that nut entirely because you saved enough. Then yeah, it's all doable. But there are less people that can do that. Just that is a matter of fact from what I've seen in the industry. And I know people want to do these encore careers.

13:01They see people pass away and the like life is too short. I need to enjoy this. What else can I do? And sometimes those on-car careers can you can make just as much. Maybe it's opening a business. You just there's you can go independent if you have a really interesting job that can allow that. So I think it's worth checking out because everybody kind of says, hey, it'd be nice to retire at 57, right? But what would you do when you retire at 57? Because my other question to this gentleman would be, are you going to travel? Okay, so you're not going to work all the time. But what are you going to do? So you're going to travel and be like, I want to travel the world. Have you thought about the cost of that? So now we don't have this paycheck coming in. Now I got insurance. Now I've got all this travel plans. And you know, really working out that plan. It's very doable and it can be done. But this is why that written income plan is incredibly important, especially at a younger age. Because really if you're 57 and you realize 10 years later at 67, gosh, I really did retire too soon. I really have spent too much money.

14:05You don't want to go back to work then. So you want a second eyeball on that. So I would, if that is you come in and I'll give you a second opinion review because I just I don't like seeing anybody having to go back to work because I'm not going to work. I mean, having to go back to work because going back to work at 67 is harder to get hired at that time of life, right? And you said something to me a couple of weeks ago about trade offs. You know, some people may have in their mind exactly what they want their retirement to be. A couple of things on their bucket list. I want to, you know, give some money down to my kids and that kind of thing like that or my grandkids. But sometimes you have to make a little trade off there and maybe some of that legacy planning that you planned on may have to come to you and the money that you spend will be on you and not necessarily on them. So I mean, that's all in the conversation, isn't it? It is. And if you have a history of family that has had heart attacks and cancers early on in life, you know, I'm going to be a candidate that's going to push for you to retire because it's a possibility. It could just flow through to everyone in the family. And if that is the case and people just don't live past 70. Yeah, why would we keep working? Yeah, let's retire at 55 57 if that is the case because it's just like retiring at 62 and making it into 82, right?

15:17Just and then again, you could live longer and be the anomaly, right? So you got to look at that. So we have to waver all that in. But I don't know if I answered your question, Randy. Well, you did. I mean, what it really comes down to is a conversation. And if people are pushing that off and saying, yeah, there's time for that. I'll go see a financial advisor when I'm about ready to retire. You know what? Maybe you see a financial advisor and sit down with somebody like Cherisa a couple of years before you think you're going to be retired because who knows? Maybe you can retire early or maybe you can retire differently than what you thought and and the money that you've saved, you might be surprised of how far it will go and what can get you in retirement. Let's have the conversation at least 8333683680 8333683680 or use the website on your phone on your iPad on your computer, zinniowelf.com, ZINNINIAWELF.com. There's a gold box there. It says complimentary retirement consultation. That's a free meeting to sit down and talk through your retirement again, zinniowelf.com. All right. So you've seen these stories. I mean, over the years coffee is bad for you. Then later on, that's not so bad.

16:29It's all herbs are bad. Eggs are bad. Wine is bad. And then just a couple of years later, they change your mind and go, well, maybe we were a little hasty with that. And you know, in the mean time everybody who's making bread is going, help me here. You're saying carbs are bad. And you're killing us here. Well, you remember when 10,000 steps a day, we always had to have 10,000 steps a day. So we all went out and bought FitBits and we were doing 10,000 steps a day. Well, the new data says once you're 60, 8,000 steps is going to be just fine. is going to be just fine for you. It says anything more is fine, but the benefits aren't life changing. 8,000 is just fine. So I was thinking about that, Cherries. That's kind of the same that we talk about with return rates. How much do I need to get back from that stock market or that bond or that annuity that I have? Sometimes 5% gets the job done. Everybody wants 10%. That's fine, but 5% will get it done. So do you have people that don't grasp that whole idea

17:29and their whole life they've been going for 10, 15, 20? And now 5 is fine. And they have a hard time adjusting to that. Every day. OK. I hit a nerve here. Good. Yeah. We know what we know, and then we don't know what we don't know. And what I've been doing for 20 years day in and day out is helping people retire and helping them all the way through retirement until their 90s. And the one thing I have to talk people off the ledge with is we no longer have to shoot for the stars. The goal is we're not trying to get rich because you already got to that point. We don't want to try to get rich in retirement, but we want to mainly try not to get poor. So if you have a million dollar portfolio and the stock market goes up 25% and you only make 15%, well, that's pretty good. But some people are like, well, why did I make 20%? Maybe we need to go heavier. And it happens two years in a row. I was like, because you're in a moderately conservative portfolio.

18:30And I said, but that stock market, when you do make 30 or 35% and it goes up on your million dollars, it will also go down 50% or more. So I said, if you have a million dollars and you make 30%, you're not going to get rich, right? I said, but if you have a million dollars and you lose 30%, you're going to feel pretty poor because you cannot touch that money because if it goes down for two years, you have to make, we have to make 43% to get back to even. You're like, okay, well, that's no problem. Well, it is a problem because you think it could happen over in one year when you lose 30%, maybe two years, it takes nearly four to five years to get back to even because you're not starting at a million or starting at 700,000, so your money has to work harder. And God forbid that you have to pull any money out at the same time, so that's the other problem people run against. So again, we don't want you to make you rich, we don't want to make you poor. We just want a steady-eddy plan so that you can draw your income

19:31and still have your portfolio grow. And there is a really great way to do that and it's called balance and diversification. And balance and diversification does not equal 60, 40 portfolio. Zero strategy there. I'm talking about going outside the box and having six legs of investment and only one of the legs would be the 60, 40 portfolio. That is what we do. So there's five other legs doing other things totally different to whether the ups and downs of the stock market and still take advantage of the movements. And so that is what I have learned in 20 years is best strategy for just an even Stephen conservative portfolio but still giving you what you want. Hey, protecting you from 50 and 30% losses on a total portfolio, like a 60, 40 portfolio will do. So it's hard to coach people to do that but they start to listen because they like streets that came into you because I trust you and your team and your advisors, you make sense of all this. And that's why I've retired finance professors.

20:33That's why I've retired financial advisors because they're really not sure how to make it work, especially moving forward in the environment we're in today. And so when I'm retiring finance people, that means I am doing something right here. And so we want to help as many people retire well and if you're in retirement, we want to help you make great decisions and continue a fruitful retirement and then show you those strategies as well. You know at my house, I am the conservative one. I don't like the stock market. My wife is always the riverboat gambler. She says we got to get all we can get. So between the two of us, we have to come to school middle ground. So I look at her, I said, huh, this particular account over here's running hot. And this particular account over here is running very conservative. So if the market goes way up, the hot account goes up and if it goes down, the other side helps. And she seems to be okay with that. That's okay. She understands it. She gets it. So I mean, that is that whole bucket of money

21:34kind of explanation is that you got a bucket of money that's 10 years from now that you're going to use. You can run a little hotter with that one, but there's got to be a bucket of money that doesn't react to the stock market like that. That's the risk conversation. And that is a great conversation for you and Sherees. Give her a call, give her a look on the website. Here's the number 833-368-3680. 833-368-3680. You can also see the website which is zinneowelth.com. There's a gold box there. It says complimentary retirement consultation. That you click on and that'll kind of get you through the process. They are getting the information to Sherees and the team and they'll reach out to you and say, okay, what's on your mind? How can we help? Let's get your questions out of the table. Your concerns out on the table and let's get them answered. Again, zinneowelth.com, Z-I-N-N-I-A, wealth.com. All right. So most of us as we go into retirement, we're going to have social security. We're going to have some kind of savings. And according to the Motley Fool, people with multiple sources

22:35of income retire with more confidence and security. That makes total sense, kind of obvious. But the question is, yeah, I've got a 401k. Yeah, I've got an IRA. Yeah, I've got a savings account. But how does that become monthly income? Do we just draw off those things? But Sherees, they bring the pieces to the table and you've got to take the pieces and make them pay. So how do you do that? How does that all work? You know what's interesting that I've learned in 20 years? Is that I thought the investment plan, like the stocks, it's all the types of investments would be people's biggest worry. But you know one of the biggest worries that I see come in out of all those things that could go wrong is people are worried about the withdrawal strategy. And I started hearing this years ago. And like Sherees, we have IRAs. We have 401ks, we have taxable accounts, we have brokerage accounts, we have Roth IRAs. We have, should we sell our houses first in the VATO money? Like all these things, like it really stresses the retiree out.

23:36Because they're like, I just don't know what's the most tax-efficient way to pull money. And if we have all these investments Sherees, what do we want to be pulling out first? Which is our job to let them know. So that is a huge worry retirement. But this is why you want different legs of rate of returns, some safe money legs, some moderate risky, and to non-risky to make very risky legs. If you're somebody's like, I still want mine, Amazon's and Teslas and SpaceX's, et cetera. So, but some people will sprinkle in an annuity. And then they'll also sprinkle in a 60-40 portfolio, and then they'll sprinkle in a CD, and then we'll sprinkle in a dividend portfolio, and then we'll sprinkle in a technology portfolio, and then we'll sprinkle in a structure note. So we sprinkle all these little things in because they make money a different way, and some are more protected than others, and some are 100% protected. So I think people can see that, and then we say, hey, for the first five years, we're going to pull this income out of here, the next five years we can pull out here.

24:38But if this happens, and interest rate chains are market chains, and we're actually going to flip flop it. So we'll give them the original plan, but our plans are living, breathing documents, because we cannot predict the future, right? If interest rates go up, yeah, we're going to see CDs go up. So more people are going to want to invest into the short-term products that we have. And some of those annuities, because when interest rates go up, they give a higher rate of return. When interest rates go up, bond values go down, so you'll see that we have less bonds in a portfolio and we're managed that. And if you do have a 60, 40 portfolio, that means 40% in bonds and fixed income, and interest rates go up. Well, we know bond values in the go down, so guess what we're doing inside our portfolios without our clients permission, because it's active trading. Our team is selling those bonds for shorter-term bonds, because when interest rates go up, the shorter-term bonds do better. So just knowing how the system works and bobbing and weaving is our job, and us communicating to our clients is very valuable.

25:40And we can take less risk during high volatility times, depending on how interest rates and bonds move, so that's something else we do behind the scenes, which is really good. So we want diversification, we want allocations to be changed from time to time, the income plan is going to change from time to time on where we would draw all those dollars from, because if the stock market's going down, we better have some money market CDs and new needs and structured notes to pull from, because we don't want to pull from the stock market when it goes down, because that is how people run out of money. We're taking money out of a leaky account, and whenever we're going to get those returns back, so we have to be smart about our strategy. And the nice thing is that we build out this menu, we show them where we think they should go based on their income needs, and then the client gets to choose it. It's like, no, I want to all on CDs, or oh, I want it all here, then that's where we go, or no, you know what, let's sprinkle it all, Sherees, that's what we do. So we just, we provide the information, we coach you up, and we let you decide based on what we advise, and then you pick. And you know, many times on the show,

26:42we've said that it's so important to come in early, don't you know, yeah, you can come in six months before you retire, but if you came in three years before you retire, look at all the different options that you would have, Sherees, most of us who are retiring now, don't have pensions, all that money that we are putting away for retirements in a 401k, so it's taxable. So what you're saying here, I think, is that we're going to take some of that money and we're going to sprinkle it in different places, but every time you take money out of that 401k, or that IRA, there's a tax bill to pay. So you have to really keep an eye on that, don't you, because you can say, okay, this is going to have to be a three year, a four year, a five year kind of strategy. We want to get a bunch of money over into this place, but we don't want to take more than 50 or $75,000, otherwise we're going to get into your Medicare, and that's going to go up, or you're going to have your Social Security tax. So there's a balancing act that goes on there, and she wasn't there. There's an absolute tax balancing act. I've heard a advisor say, well, you can't be the jack of all trades, and I say, if you are not the jack of all trades,

27:44helping your clients and you are not doing your job, meaning the jack of all trades, I heard one advisor, well, you should be good at investments and just do the investments, and not worry about the taxes in the state plan. I looked at him like he was absolutely insane. I'm like, how could you advise your clients' investments if you don't know the tax plan? Tax plan 101, investment 101 says, know the tax plan before you invest the money. So for us, we do a backwards and another advisor. I look at your taxes, I look at your tax plan, I see where you saved your money, taxable tax for your tax afford, and then we figure out your investments, because you know where all the advisors across the country screw up Randy, which ticks me off, is that somebody will sell a house, and they'll have a hundred grand, and the $100,000 is going to go into, let's say, a mutual fund, or a stock, or something like that. And I would say, for the best examples, they put that money into a mutual fund, which is a bad plan, you never take cash and put it into a mutual fund, and advisors don't even understand when I say this, they don't even get it, and they'll say,

28:44well, why sure is, advisors ask me this, and clients do too. I said, because that mutual fund, if you're with fidelity, and you have a blue chip fund, and fidelity quarterly meets with their board, and says, hey, we're gonna sell Coca-Cola, they're doing bad, plays it with Pepsi, well, guess what, you get a phantom game, you get a $10.99, that lovely letter from the IRS, and you have to pay taxes, and you don't want surprise taxes, if you're own IRAs over to Roth, or if you're just hitting that borderline before you hit the next tax return, or if you're just barely meeting that penalty with Irma with your Medicare Part B, and so I see it day in and day out, and the problem is, is that nobody cares, because I like working to stay in our little bubble, and just do the investment strategy, and I'm like, how can I help my clients be a real fiduciary if I just stay in the investment bucket? That's why we broke out and said, we're not gonna be like anybody in this universe, we're gonna start creating this other, we have our investment bucket, and then we're gonna have this income bucket, and it's gonna be living, breathing, and we're always gonna be changing it based on what's going on, and then we have this tax planning bucket, so we can make sure that we keep every dollar

29:46we can for our client, because why would we do that to them, when we could take that mutual fund from that cash, you just sold it from that house, and put it into an exchange-shared fund or index fund, because if I share sales Coca-Cola and vice Pepsi, you don't have to worry about the taxable amount, so this is common sense for a financial advisor that does not understand it, and so if you have a brokerage account that's sending mutual funds, you already know you're working with somebody that's not a clue. Period point blank, I have nothing else to say about that. Sorry, I get a little passionate about it. I love when you get passionate. I get when these opinionated advisors are writing these columns and talking on these radio standards, showing you shouldn't be a jack of all trades, you need to work with the advisor that is the jack of all trades, that understands some planning, investment planning, tax planning, your Medicare of planning, long-term care planning, and by Goli, works with elder attorneys on the daily to help you when you get to that phase of life, so I call that lazy investing, and I'm done with this. You're listening to somebody who's not lazy, and that is Sherees Rivershead, Zidia Welf. You're listening to retirement coffee talk, and we get passionate sometimes

30:47about helping you in retirement, and this is an example of that. Let's figure out where you are as far as your retirement goes. You've got your things that you wanna do, and let's put all the whole thing together into the salad bowl and see what comes out, and not just look at it from what's your return going to be, but what is it gonna be with taxes? How is it going to be with healthcare? How is it going to be with legacy playing? All of these pieces need to fit together. Yeah, and let me add one more thing, Randy. If you're just looking for one or two percent higher rate of return, don't do it in the stock market. Do it in the tax plan. That's how you do it over the next 30 years. And a lot of people don't understand that, because nobody's ever taught them that. If we work on this tax plan for the next 10 years, the 20 years thereafter, you're gonna see a much higher rate of return overall in your portfolio, and you're gonna actually see wealth grow by hundreds of thousands, and sometimes millions of dollars, I will show it to you and prove it to you. You're listening to Retirement Coffee Talk with Sheree's Rivers, give her a call,

31:48and let's sit down and talk about your retirement, specifically you. What's going on with your money? What's going on with your hopes and dreams about retirement? Let's put it all together. It takes a meeting, 833-368-3680. Again, 833-368-3680, or online, zinnia-wealth.com. Z-I-N-N-I-A-WELF.com. There's a gold box there. It says complimentary retirement consultation. Just click on that. You'll be on your way. All right, so we're moving our way into October here, and you may have received something from Medicare, not long ago called the Annual Notice of Change. And it tells you, here's all the stuff that's changing on Medicare this year. And so line number one, there's a thing in there about all the drugs that they're gonna drop, or that will cost you more. You're gonna find out if your doctor still takes Medicare. You're gonna find out about deductibles and premiums, and how things go up, and how things go down. Well, nothing goes down. It all goes up. Yeah. I mean, humana is pulling out of a bunch of advantage plans,

32:49and there's over 600,000 people in the country that are on that plan, so they're gonna have to search for other things. The Medicare window opens up on October the 15th, not long from now, and it goes through December 7th. And this is a fact that I found kind of shocking. When people retire, they choose their Medicare, and seven and 10 people never change it throughout their entire retirement. So Sherees, this is a topic that you're very passionate about. This is how really you started in the business as helping people with their Medicare. So let's talk about the meetings that you're going to have over the next couple of months. Do you find that a lot of people come in and they change their declarations, they change their way, a place where they get their healthcare? So now there's two conversations here. You could be somebody, well actually there's three conversations. You could have an employer plan for the rest of your life, for health insurance. You could have a Medicare supplement for the rest of your life, and you could have a Medicare Advantage plan. If you have an employer plan,

33:49you'll probably never leave the employer plan because it's probably pretty glorious. But I have run into years later while C premiums go up $800 a month. So when you see premiums get really high, even though maybe your pension is paying for it, it is usually time to leave because we could save you $500 a month per person, right? So, but that happens very few foreign between. The second conversation is the person who has the Medicare supplement. So I would say this is correct. Seven out of 10 people will never change their Medicare choices if they're on a Medicare supplement because let's say you buy United Healthcare Medicare Supplement G plan. They used to be J plan and F plan. You all know what I'm talking about. When you get on those plans, there's no need to leave. You should always stay because you're in this, you've got in, you got into this guaranteed period, and you're not gonna really probably find much better unless you find a company that saves you $20 a month, maybe $30 a month. So if you're trying to save $20, $30 a month, you can change from a supplement. That's where you get that seven to 10 people.

34:49Now, here's the Medicare Advantage plan. This is a third conversation to Medicare. Those are your HMOs and PPOs. This is where people really mess up and they get lazy because they're with a plan. Let's say you're with, I'm not picking on any plan. This is used to, so nobody gets mad at me. You can use, let's use HMOs for, so the Freedom Health Plan and the Wellcare Plan that there are HMOs. A lot of people get on those plans and some of those plans will offer a part of their premium back, the Part B premium and sometimes all of it. But what happens is you get, so you used to getting that check back all the time, you're not paying attention. Did prescription drugs come off? Did your doctor come off? What happens is once you're in them and you're just like, all right, what I would ever change, I get the money back, well, those plans change and doctors do change. Then you get stuck on the plan. I see so many people get disgruntled because I'm like, well, I need my doctor. I need this prescription drug, so I'm getting this money back, but I'm actually not really getting into this count

35:51because my drugs went up. I would say nine out of 10 people do not change those plans. Sometimes they'll do some shopping because there's a lot of people out there offering them. This is my advice. If you have an employer plan, just double check the premium hasn't really gone up much. If you have a Medicare supplement, stay strong. You probably don't need to go anywhere with it. And if you think you do, let me give you a second opinion on that because I don't believe in people hopping from playing to playing to playing because sometimes you pay more. So it's just not worth the effort most of the time. And the third one, the Medicare Advantage plan, I started my business on all this Medicare stuff. So I know it very well. Paul here in my office, he's like our other Medicare guru. We can help you kind of put a fine line to what is probably best for you. We do not sell Medicare Advantage plans here anymore. There is a reason we do Medicare supplements, Medicare Advantage plans. You have to jump through hoops to sometimes you can't get coverage. You have to get prior authorization. I'm just like, good gracious.

36:51Why do these Advantage plans make people go through this? This is your right to have this. You've been paying for it your whole entire life. But yet we can't get coverage. So my advice is every year, if you have a Medicare Advantage plan only, or even a prescription drug plan separately, double check and make sure your drugs are in those Advantage plans and they have not changed and they haven't doubled or they haven't totally come out of the plan. And the same thing with the drug plan. The other part about these Medicare Advantage plans, whether it's an HMO or PPO, make sure you're calling your doctors and confirm with them. Say, hey, I see you in the doctor provider list for 2027. Are you really there or have you come off because they don't change it till next year and you won't even know they come off because the books are never accurate. I can guarantee you that much. And if you want to say that doctor, I advise you to call them. If they say no, we hopped off of them, they weren't paying us. But we did go to this other plan and you want to say that doctor,

37:52maybe then look at that plan. So I have been through the ring and back again with the advantage plans for the last 20 years. So I understand how it works. I've helped people through the doctor's process, getting the clearance for all these different things. And you just want to make sure you're spot checking your plans. Do not pay more than you need to because guess what? Your Medicare Barbe B premium is going to go up in 2007 to $209.50. The annual deductible for hospitals going up to $1,788. And your part B deductible is going up to $297. So prices are going up. So let's make sure you're on the right plan for your budget and for the four walls and the roof of your house because everybody's going to be a little bit different. You know, one of the things that has impressed me over the years about working with Sherees is this particular topic. And one of the things that I love when you sit down and have a conversation with somebody, and that is what is the doctor say recently? I just got the diabetes diagnosis

38:54or I have a new heart condition. I'm going to need rehab. I need a knee replacement. I need a hip replacement. And Sherees knows what places and what doctors are covered and where your best options are to go to Mayo or wherever you need to go locally. That is such an unbelievable advantage to having Sherees who lives right here and has been doing this for all these years and knows these things. It's not 1-800 financial advisor, 1-800 Medicare help. It is Sherees who lives here and helps people who have these difficulties here. And Sherees, that I think puts you heads and tail above everybody else in that area. It really has, you know, so funny. I've retired plenty of doctors over the years and one of the very first doctors I ever met 20 years ago retired and she didn't know that I came into our office like talking about all the Medicare plans and how I can help back in the day.

39:56And she didn't connect at all. So she became a client. I was like, do you remember this time? She's like, oh my gosh, that was you. And, you know, because I have this history here and you stay connected with their staff and their staff likes to say we got a client and he's helped with Medicare. They would send them to us and just always doing the right thing. So we know a lot of the offices in town. We understand how they work. We know what most retirees need. I mean, we have been ground floor on every moving living part to the retiree, Andy. I mean, you know, it started with Medicare and advanced plans and meeting and greeting doctors and understanding these thoroughly. Then, you know, once a estate planning working with all these different attorneys from estate attorneys to liability protection attorneys to elder attorneys. So we have walked the walk for 20 years, trying to make sure we understand every step that these clients are gonna have to go through all the way to your investment plan. That's really the easiest part out of all these steps to the tax plan. That was the hardest one to learn, but by golly, I'm so glad I wasn't scared

40:56and we went outside the box and decided to do things differently than most advisors. And I was advised not to do it by many people, but I went, you know, we always challenged the status quo here. Like, why are these people saying, don't get into the taxes with your clients? There's a compliance issue. There's zero compliance issue. I call it a lazy issue and we just like to be in the know so we can help all of our clients and all realms. And then when I really started digging into the income plan, all this take is all like full circle. You know, your income plan is a factor in Medicare. I want a Medicare plan you get, right? So if we need to adjust your income line, because now we're going from an HMO to PPO to a Medicare supplement, because an HMO PPO, usually you don't have to pay a premium and a Medicare supplement you do, then we gotta readjust your income plan and say, can we afford it? And the answer is yes, you can afford it. And I like the Medicare supplements better than the advantage plan. So it's HMOs and PPO's because you have freedom of choice. Like you said, you can go to Mophie, you can go to Mayo and go anywhere in the United States as long as it's medically necessary. And the doctor takes Medicare. So there's so much we have learned and uncovered

41:58about Medicare as a sham number one. That's my opinion. And learning like where the pitfalls are, what really works and what doesn't work. And what can people really afford? And you just pay for what you get. So if you want a really good souped up premium plan where you pay a premium remunth, we're going to help you with that. And if you do want to advantage plan, we're going to refer you out to people who do those plans. Well, this is a great example of, you know, this show you think is just for pre-retirees, people who are getting ready for retirement and talking about how to get there and get your plan. But this is also an example of once you are retired and some of the things that you're going to need as you go through retirement and Sheree says right there with these kind of skills and these kind of options for you as well. Give her a call, let's sit down and talk through your retirement, your retirement needs and know that you've got that ongoing support as you continue on through retirement. Here's the website, zinniowelth.com, ZINNINIAWELTH.com. There's a gold box there. It says complimentary retirement consultation. If you go in there, you'll have to fill in a little information

43:00there and the team reaches out to you. Let's just get the conversation going or skip all that and just give them a call. It's 833-368-3680. All right, Sheree, we have just a couple of minutes here for a goofy story that I have. One of our favorite guys, Kevin O'Leary, Mr. Wonderful on Shark Tank is at it again. He talks a lot about retirement these days and sometimes he says good things and sometimes he says things like this. O'Leary says, lose the car, lose the cable, maybe even lose the cat. You need to practice being poor. And I'm like, what are you talking about, dude? That is exactly opposite of everything that Sheree says. Wow. What is with this guy? I mean, the last time he walked into a grocery store. Good point. Mike doesn't even do his own laundry. He doesn't even know what costs of diet, even costs. So you have these big talking eggs and these big wigs. You will never have to practice being poor in retirement if you work at Zinno Wealth Management

44:01and we are part of your team. That is the most insane thing. How stinking rude. He's probably scared so many people. I can imagine what that has done. I just think I'm so much closer and our team and our advisors are so much closer to reality and the people because we're sitting with them every single day. Yes, that guy has millions and millions and billions of dollars. So we're not even listening to that talking head, right? We love him. He's fun. He's marketable. He's selling himself. So he's got to say these offshoot things to get notoriety and to get people listening. But listen, you do not have to practice being poor and quite frankly, when you come in on average, I would say nine out of 10 people, we are helping them live off more money than they ever planned or ever intended to because of the well built system that we have in place for you. Right? So we have the Zinno Five. It's your retired by design plan

45:02and those things click in. And I'm going to tell you, if you are working with someone or you're on your own, manage your money and you're like, okay, I have this income and I'm afraid to take more money. Shreece, how do you do this? What is the strategy? Come in and see us because there have been on many occasions, well, we have provided 35% to 40% more income than the person ever intended to take their first 10 years of retirement. But they didn't know how it would turn out, 20 years down the road, 30 years down the road because people don't want to run out of money. That is my job. This is what I am good at. I built these systems just for you. Take advantage of them because we do not charge for these consultations. And by the way, you can come after a lot of things in my life but do not touch my cats, okay? I just adopted two new kittens. I love them like life and I'm having a big time with them. So do that. Talk about my cats. That's so fun. That's hilarious. Cat food. You're listening. Oh my gosh, that's a line item now.

46:02No, that's it. In our retirement plan for sure. You're listening to retirement coffee talk with Shreece Rivers Ed Zinniowelth. Online as always, zinniowelth.com. If it's time to talk about your retirement, let's not put that off anymore. Give Shreece and the team a call. Here's the number 833-368-3680. 833-368-3680. Or use the website zinniowelth.com. Z-I-N-N-I-A-Welth.com. Hit that gold box there. It's his complimentary retirement consultation. Fancy words for a fun meeting to sit down and talk about your retirement and the excitement that we want you to feel as you go into this next chapter of your life. Shreece, this is the end of the show. We've gone through an awful lot today, so let's bring it to an end here. If you want to spend more in retirement, pay less potentially in taxes and be more diversified, you're going to want to hear this show. So as usual, live by design and not by default and we'll see you here next week. This has been Retirement Coffee Talk.

47:03To find out more about how the strategies we've discussed on this program you can build the retirement you've been wanting. Call Zinniowelth at 352-368-3680. Or visit us online at zinniowelth.com. Investment Advisory Services offered through Zinniowelth Advisory, LLC, a registered investment advisor. The firm only conducts business in states where it is properly registered or is excluded from registration requirements. Registration is not an endorsement of the firm by securities regulators and does not mean the advisor has achieved a specific level of skill or ability. Insurance products are offered through Zinniowelth Management, LLC, Florida License L078655 and Cherice Rivers, Florida License P037744. Zinniowelth Advisory, LLC and Zinniowelth Management, LLC, are affiliated entities. The information presented is believed to be current. It should not be viewed as personalized investment advice. All expressions of opinion reflect the judgment of the presenter on the date of the podcast and our subject to change. The information presented is not an offer to buy or sell or a solicitation of any offer to buy or sell

48:03any of the securities discussed. You should consult with a professional advisor before implementing any of the strategies discussed. Any legal or tax information provided in this podcast is generally nature. Always consult an attorney or tax professional regarding your specific legal or tax situation. Any client experience discussed on this show are unique to that client. A newty and life insurance guarantees are subject to the claims paying ability of the issuing insurance company. If you withdraw money from or surrender your contract within a certain time after investing, the insurance company may assess a surrender charge. Withdrawals may be subject to tax penalties and income taxes, persons selling annuities or other insurance products receive compensation for these transactions. These commissions are separate and distinct from fees charged or advisory services. Insurance products also contain additional fees and expenses. Social security rules and regulations are subject to change at any time. Always consult with your local social security office before acting upon any information provided herein. References to specific investments should not be construed as being past-specific recommendations. The returns for various indices discussed in this podcast do not represent the performance of the firm or any of its advisory clients.

49:04Returns do not reflect the impact that advisory fees will have on an investment. Past performance may not be indicative of future results. All investment strategies have potential for profit or loss. Different types of investments involve higher and lower levels of risk. There is no guarantee that a specific investment strategy will be suitable or profitable for an investor's portfolio. Historical performance returns for investment indexes and or categories usually do not deduct transaction and or custodial charges or advisory fees, which would decrease historical performance results. There are no guarantees that a portfolio will match or outperform a specific benchmark. Investments in fixed income products are subject to liquidity risk, market risk, index rate risk, credit risk, inflation risk, purchasing power risk and taxation risk. Because bond prices fluctuate continually or yields change constantly.