Volatility-Proof Your Retirement: Minimizing Risk & Maximizing Confidence

8.8.25: Audio automatically transcribed by Sonix

8.8.25: this mp3 audio file was automatically transcribed by Sonix with the best speech-to-text algorithms. This transcript may contain errors.

Speaker1:
Any examples used are for illustrative purposes only, and do not take into account your particular investment objectives, financial situation or needs and may not be suitable for all investors. It is not intended to predict the performance of any specific investment, and is not a solicitation or recommendation of any investment strategy.

Speaker2:
Welcome to Retirement Results, the national radio show and podcast for listeners like you who want to protect and grow their hard earned money. In a world filled with so much uncertainty and financial risk, we seek to cut through the noise and build successful plans for hardworking Americans on their road to financial freedom. Retirement results is powered by Active Wealth Management, a team of fiduciary advisors who always place your needs first and now your host. He's a registered social security analyst, member of the Forbes Finance Council, an author of multiple books on retirement planning. Here is your chief financial advisor, Ford Stokes.

Speaker3:
And welcome to retirement Results. Drivers on Ford Stokes your chief financial advisor. Got a new co-host with me this week. It's that time of year. Yes, it's the summer. We welcome back Matthew McClure. Matt McClure is back with us. He's our roving reporter for 65 License Advisor. And is Bradley newly licensed and certified as a registered Social security analyst. Matt, welcome to the show. Thanks so much for doing the co-hosting of the show with Sam out in Kansas City, playing in a member guest golf tournament this weekend with his father in law. I mean.

Speaker1:
You know, a good excuse for him to to be going somewhere. I guess there are worse excuses in the world, but no, I'm any excuse that I get to be on the show here with you. I love it, so thank you for having me, is the thing.

Speaker3:
Oh that's awesome. So for those of you who don't know who Matt McClure is, Matt was the reporter on the floor of the New York Stock Exchange for a year and a half. Two years with New York one. Um, there's pictures to prove it, actually. Um, and we'll put we'll put the one of those pictures on this episode if you want to check it out at retirement results. Com forward slash episodes, you just go click the episodes section. Um, we'll put it on the transcript for this, this show. So I'll tell you, Matt, it's so great to have you here instead of Sam, because both of us are registered Social Security analysts. And when the two of us are going to get on an actual show. We're going to talk about Social Security. And the number one topic for the title for this show is navigating your Social Security income benefits. We're going to give you that roadmap to smarter claiming and more lifetime income, if that's of any interest to anybody. And then we're also going to talk about the new 6040 portfolio. Matt's got a problem solver that he's done for a gentleman. I have a problem solver as well. We'll try to cover Matt's in segment three. We'll cover mine in segment four. First of all, I'm just so glad you're here with us there, Matt. It's awesome. But, Matt, can you go ahead and share the financial wisdom quote of the week for the folks?

Speaker4:
And now for some financial wisdom. It's time for the quote of the week.

Speaker1:
This week's quote comes from Warren Buffett, the Oracle of Omaha himself. And he said this, and I love it. Never depend on a single income. Make investment to create a second source. I mean, never depend on a single. And, you know, very apropos of this week to Ford because, you know, this week's show is so much about Social Security and so many people, survey after survey has shown so many people rely only on Social Security as that primary source of income in retirement. Far too many.

Speaker3:
Yeah, for sure. It's either the number one or number two source of retirement income for a majority of Americans out there. And the decision of when you're going to take Social Security, when your spouse is going to take Social Security is going to be likely the number one or number two decision regarding retirement income you're going to make throughout your entire 30 plus year retirement. So we want to make sure we help you do a great job with that. Matt and I would be remiss if we didn't tell you how to get in touch with us and how to actually get your XML files from SSA gov. So if you go to sign up, get your your account with SSA gov and instead of downloading the PDF or they're aggregating certain decades and they're 5% off to your detriment. By the way we encourage you to download the X files the x ray Mary Lima file. That's what it stands for. There's those three letters XML. If you can get that to us, we'll get your top 35 earning years. And we can run your SSA roadmap which is a Social Security maximization report. Matt, you and I are doing that for folks all the time. You recently had a seminar over at South Spout Springs Library in Hall County, where you and Josh live. I gotta tell you, it was 100% of the people that were there were like, yeah, I want that answer as a roadmap. So what we need to do, Matt, is make sure that 100% of the people that are listening to us on the radio are going to maximize their Social Security and get in touch with us at retirement results. Comm. They can also go to retirement results, comp plan, put their information and we'll call them get started right away that again that's retirement results. Com forward slash plan. But Matt your thoughts on the on the wonder and information that is included in a registered social security analyst roadmap.

Speaker1:
I mean it really is priceless information because it gives you an entire look in depth at your different options for filing Social Security. You know, we often we'll talk about and it's very true. You know, you can max out your benefit by waiting until age 70 to file for that benefit. But does it make sense for you in your individual situation or your situation with your spouse and your family. You know it can. Also, it takes into account not only what you've earned and what what the you know, Social Security Administration will tell you what you know, what you've earned in the past. It can, you know, project out, you know, projected earnings in the future until you plan to retire and take that into account, and then also take things like longevity into account. So if you live to age 95, you know what would be the smartest strategy? It really is. It's less about maybe, I guess, maximizing Social Security benefits and more about optimizing Social Security benefits for you and for your situation. And it really will give you, you know, not only the maximum option, but also will give you three more options of when you and or you and your spouse can file and and you kind of, you know, can see mapped out what that's going to mean over the rest of your life. It really it's a it's a big deal.

Speaker3:
Yeah, I agree, I think it's great. And um, it's not just optimizing but it's it's also understanding you really get an understanding of your Social Security income benefits. And also we encourage people not to just trust whoever they're talking to, the Social Security Administration, because those folks are not fiduciaries. They're not there to put your needs ahead of their own. They're busy folks. They've got all the things to do. And I would encourage you to listen to a licensed fiduciary and a certified registered Social Security analyst. And Matt and I are two of the 23. We're almost 10% of the registered Social Security analysts in the state of Georgia. So pick up the phone and give us a call at (770) 685-1777. Again, that number (770) 685-1777. And we're happy to get back to you and help you better understand and optimize your Social Security income benefit. So let me give you an understanding of the rest of today's show. We're going to give you an overview, if you will. Uh, we're going to talk about the truth about timing and when to claim your Social Security benefits will give you that breakdown of pros and cons of claiming at age 62 for retirement age or even age 70, and how to make the timing work for your goals. Because we don't want you to withdraw money from your portfolio.

Speaker3:
We want you to stay within that 4% withdrawal rate, or lean on some fixed indexed annuities as a bond replacement strategy, and or consider Roth ladder conversion plans between now and when you turn 73 years young. When RMDs kick in, we're also going to talk about the hidden costs of going it alone, and why the Social Security Administration can't give you advice, and how misinformation leads to costly Social Security mistakes for retirees. We're going to discuss spousal and survivor benefits and what most people actually miss. Matt, you're going to talk specifically about the powerful and often overlooked benefits available to married couples, divorced spouses and widows, and how to unlock them. We're going to talk about how you shouldn't leave money behind and other benefits you might qualify for to look at disability benefits and dependent benefits and restricted applications. If you are part of, you know, a second family where the husband's a little bit older, uh, you may have high school aged kids that are eligible for benefits as well. We'll talk about, you know, we'll help answer. The question is finally, is is your Social Security actually taxed? And hopefully the current administration will do something about taxation on Social Security benefits. Since you've already put money in there.

Speaker3:
We'll learn the thresholds, formulas and how to manage your other income sources to avoid surprise tax bills, and then also will future proof your income plan. And we'll we'll also talk about, you know, those problem solvers that fit right into this. And um, I'm just super excited about it. We're also in segment two. I want to talk about the new 6040 portfolio that also has something to do with income, and also how we work with high level and high quality custodians so that there's no made off of your money situation. And we've only got a couple of minutes left in this segment. But Harry Markowitz came up with modern portfolio theory in 1952. 52. It's it's over 70 years old. That strategy and it said 60% stocks and 40% bonds. And it'll generate an efficient investment frontier for you because the premise is when money rushes out of stocks or rushing into bonds. We're not seeing that these days anymore. And, you know, Matt and I'll talk about this right when we come back for the break, but I'll just share this. I mean, bonds did very poorly over the last 4 to 5 years and the the rising interest rate environment. And I were really concerned about people being too highly leveraged in bonds, especially with a go forward PE ratio of 135 to 1.

Speaker3:
I don't know if I necessarily trust somebody that's got to get 135 times their earnings to pay me my money back. I would prefer to be invested into fixing the annuities, replace those bonds, also be invested with high quality custodians and managed portfolios, and tactically and strategically managed portfolios that we offer, even structured note ladders, all kinds of different strategies that are available to you when you work with a private wealth management firm, you work with advisors like Matt, Sam and myself. We can help you do that absolutely at no cost to you. All you've got to do is give us a call at (770) 685-1777 or visit retirement results. We give you a free financial plan and a free portfolio analysis with a registered Social Security analyst roadmap. Absolutely no cost to you on the front end. It's a $2,500 value. All you got to do is reach out to us at (770) 685-1777. And we come back for the break. We're going to dive into everything. So security we're going to talk about the truth about timing and when to claim benefits. Right. We come back with break your list to retirement results on Am not in the answer. And Matt McClure's former radio station as a radio host.

Speaker2:
One call (770) 685-1777 to schedule your free, no obligation meeting with us today. You're listening to retirement results. Schedule your free, no obligation consultation today by visiting retirement results.com. Now back to the show.

Speaker3:
And welcome back. Result drivers to retirement results I'm for Stokes your chief financial advisor. And we got Matt McClure here with us, one of our senior financial advisors and our roving reporter for retirement results. He is in the building folks. He's in the studio this week. And Matt, we just mentioned it right before the break. We're now airing around the lake. And you live, you and Josh live in in Hall County. You actually do seminars in Hall County at Spout Springs, libraries and other places. You are now on your former station where you got your start in radio.

Speaker1:
Yeah. It's kind of crazy over, over 20 years ago. Um, my one of my longtime friends and mentors in this business, uh, Bill main, uh, who is the general manager and, uh, I think senior VP some, some big, lofty title, you know, decided he was going to take a chance on a, on a college kid. Um, working at at the radio station. And I'm so glad that that he did. I was on what then was, uh, the oldies format. Magic 102.9. Um, and then on one on the Am side. But now, of course, they are one, and it's on both the Am and the FM as one, but it's so it's, it's, uh, wild to be back. And I absolutely love it. Um, because, you know, it's nostalgia for me. I can't help myself.

Speaker3:
Really good stuff. It's also nice that your back is a series 65 license advisor, a registered social security analyst, life and health licensed. You're helping families protect and grow their hard earned and hard save money. You're probably one of the few reporters who actually reported on the floor of the New York Stock Exchange, who actually became a financial advisor. So that's pretty great stuff. You and I are talking about Social Security work, this whole show, and we're talking about the truth about timing and when to claim benefits here. You know, when to claim your Social Security income benefit. Like we said in the last segment, is one of the biggest decisions you'll make in retirement planning and claiming at 62 full retirement age or around 66 to 67, depending on if you're born before or after 1960. Congratulations. If you're born after 1960, your full retirement age is 67. Um, or if you want to go all the way to 70 years old, you can do that. The difference in lifetime payouts is significant. Matt, talk to the folks. Don't you think they deserve a little bit more than just $0.70 on the dollar if they take it at age 62.5?

Speaker1:
Yeah. You know, I mean, people a lot of times I feel like we'll say, you know, as soon as I'm eligible for it, I'm just going to take the money and run, you know, like the old song. And, uh, it's it's not always the best thing. It could be the best thing for you in your situation. But don't just go into it blind and say, oh, I'm, I got to got this money. I've got to take it right now. Right? Waiting to at least get to that full retirement age. So you get 100% of your benefit that you are eligible for and entitled to then is, you know, you know, you got the money that you deserve in that way, you know, but then you can also max out your benefit by waiting. If your full retirement age is 67, just wait three more years and you get 124% of your benefit at age 70. So that could be advantageous, especially if you've got longevity on your side. If your people tend to live into their 90s and upwards of 100, that could definitely be something that you want to really think about. But, you know, if your people tend to croak out in their 60s, then, you know, you might want to look at the other end. It's, you know, you gotta you got to take all things into consideration. And that's where, you know, working with us as RSA is that registered Social Security analyst can really help, because you could look at all of those different options and taking your situation, your longevity into account and all of that.

Speaker3:
Well, now we've you've coined a new phrase that's very technical in nature. Croak out. Yeah. So that's that's interesting.

Speaker1:
It's you know, I just like to invent things, I guess.

Speaker3:
Let's go through let's go through these three big buckets on when a lot of people file out. I'll take the claiming at 62. You can take the claiming it for retirement age and then we'll I'll try. We'll both try to take claiming at age 70. So if you claim at 62.5 the pros are you get your benefits early. Um, it can help if you need income due to job loss or health issues or limited savings. A lot of people did that when Covid hit. Um, and they took early retirements, things like that, but they also lost a lot of earning years, and they lost a lot of growth years, too. And they lost deferred growth on their Social Security income benefit to the cons on this is your monthly benefit is permanently reduced by about 25 to 30%. We think you deserve more than $0.70 on the dollar. We really do. This lower amount also reduces survivor benefits for your spouse as well. Also remember, folks, if you are going to file spousal benefits, your spouse must file before you file for you to receive the spousal benefits. Also, it's best for those with shorter life expectancies those people that croak out too early. Like Matt just said, um, or if folks that have immediate financial need. Um. And go ahead, Matt, why don't you take kind of the pros and cons and what it's best for for folks claiming at their full retirement age?

Speaker1:
Yeah. So if you are listening to the sound of my voice right now, um, and have not yet claimed Social Security, chances are your full retirement age is either 66, 66 and some months or the age of 67 is, Ford said a few minutes ago. Everybody born after 1960 is the age of 67. And so that is the the number that you need to keep in mind as your full retirement age. Whatever the case is for you now, the pros are. Yeah, you receive your full monthly benefit at your full retirement age. No reductions, no penalties there. Um, it avoids, you know, any income restrictions. If you keep working, you know, you're not going to have to worry about, am I going to have a higher taxable income if I claim Social Security and I keep working? What's my tax burden on that going to be? Well, if you're not claiming Social Security, obviously you don't have to pay taxes on Social Security, at least not yet. Um, and then the cons though, we have to wait longer to start receiving income, obviously. So, you know, you're not claiming at 62 or 3 or 4 or 5 or, you know, 66, if you're full retirement ages later than that, you're you're claiming at that 66 age or 67. So you've got to wait. You've got a, you've got a longer time period, maybe between when you quit working and when you claim income, and then you have to look and see, okay, well, who is this going to be best for? Well, it's best for retirees who are in good health. People who don't croak out a little bit earlier and they can cover their expenses, you know, without taking benefits early. So if you've got your monthly expenses covered, if you don't have a lot of debt, if you don't have, you know, a lot of monthly payments that you've got to be making early in retirement could be a good strategy for you, for sure.

Speaker3:
And then claiming at age 70, I'll take the pros, you can do the cons and who's the best for. So the pros on this is your benefits increase 8% per year beyond your full retirement age is what we call an 8% roll up. So you're getting 8% rolled up into additional income guaranteed your maximum monthly benefit, a $2,000 check at 67 becomes $2,480 at age 70. Bigger survivor benefits for your spouse as well. Um, there's a couple cons there. There's a con. And then also Matt. Really? Who is this best for?

Speaker1:
Yeah, Yeah. So the con is, you know, you've got a delay again. You know, you're waiting farther beyond, even farther beyond your full retirement age. So you're eligible at 62. Right. But you get that penalty. So if you want to max things out though, you've got to wait another eight years beyond age 62. So that would be the con is the kind of the timing thing there. But it's really best for as I said earlier, those people who have longevity on their side, their family tends to live longer. And so maybe it's it's those folks and they also have other income to kind of cover that gap between age 62 and age 70 as well. So you don't necessarily need that Social Security income. And you can let it grow for a few more years.

Speaker3:
Yeah. You bet. So some of the timing strategy tips here, you want to think just beyond the numbers. You want to consider your health, your work plans and also your family situation. Uh, Matt and I also would urge you just please understand, like what Dave Ramsey says, your income is your greatest wealth generator. It's even better than what? What Matt and I can do for you from an income perspective. We'd like you to work that extra year, if you could. Um, just because you really enjoy retirement that much more. Um, as George Foreman said, it's not really at what age I want to retire. It's what income I want to retire at. And, um, you know, you gotta trust the guy that came up with, you know, that was the licensee on the George Foreman Grill. I mean, you got to love the George Foreman Grill. So, um, also coordinating flaming strategies, like one spouse claiming early while the other delays can boost lifetime income as well. Um, that's a big deal. And then Social Security decisions can also affect Medicare enrollment and income taxes. So please plan accordingly. There is a two year lookback on Medicare. So if you're thinking, oh, I'm going to be good, I'm not going to have Medicare surcharges because I'm not going to be working this this past year. Guess what? They're looking back at your income the year before as well. So you gotta make sure you understand there's a two year lookback on Medicare, too.

Speaker3:
We provide listeners with free consultations and retirement income gap analysis, too. All you got to do is reach out to us at retirement results. I've got my brand new book, The Smart Retirement Plan. It's chock full with 193 pages of great information, with 16 different information packed chapters for you to check out. But also if we announce this a little bit over a month ago. Matt, the audiobook is out. So if you want to just listen to the audiobook in 2.9 hours, you're done. You don't have to keep reading. Michael Jost did a great job narrating the book. It was. I was very disappointed that Sam wouldn't produce the book this time like he did the annuity 360 book, so I wasn't able to read it. But everybody benefits. They don't have to hear my voice. Michael Josh is one of the most prolific and successful narrators of books on audible, and we were very fortunate that he agreed to do that. When we come back, we're going to talk more about what we can do for you, and we'll talk about the three important Social Security facts you need to know, and the cost of going at it alone. If you're making decisions on when it takes up security. You're listening to retirement results right here on Am 912. The answer, and.

Speaker2:
We'll be back in just a moment to continue helping you navigate your financial journey. Stay tuned for more retirement results.

Speaker5:
If something strange in your neighborhood.

Speaker3:
Hey, there's Ford Stokes with Active wealth Management and the Retirement Results radio show. Are you worried about outliving your retirement savings? Nationwide's peak ten fixed index annuity is designed to help you feel secure and confident with Nationwide Peak ten. You will receive protection for your principal, keeping it safe from market downturns. Growth opportunities tied to market indexes but not invested directly in the market. Guaranteed lifetime income and protection for your loved ones with spousal income options and a death benefit. Call us now at (770) 685-1777 or visit Active Wealth. Com to connect with an advisor and learn how peak ten can help you retire with confidence.

Speaker2:
Investment advisory services offered through Brookstone Capital Management LLC, a registered investment advisor. Guarantees and productions referenced are subject to the claims paying ability of Nationwide Life and Annuity insurance Company nationwide. Pg ten is issued by Nationwide Life and Annuity Insurance Company, Columbus, Ohio. Neither nationwide nor its other entities are associated or affiliated with Active Wealth Management. Get started on your free portfolio analysis and financial plan right now by visiting Retirement results.com.

Speaker3:
And welcome back result drivers I'm for structure chief financial advisor. I've got Matt McClure here with us. He is a special guest with Sam Davis out at a member guest in Kansas City, Missouri with his father in law, which is pretty cool that he got invited, by the way, Matt to play golf with his father in law. Many people don't know this, but, um. Bailey was adopted by her mid 20s. Cheer coach when her father died. And she was part of recommending that her adopted mother date this guy, and he's now her adopted father. And he's been very successful, which is great. And so Bailey did a great job vetting and getting the right person for her adopted mother to absolutely date and Mary. So she did a great job there. And she also did a great job, um, marrying Sam. Sam's a great guy. And I just think it's a big deal that your adopted father in law will ask you to go play golf. I mean, it shows the kind of quality guy that Matt is. I mean, that Sam is. But that was a big deal. And so we're really glad you're here with us. Matt. It's great to have a former reporter on the floor of New York Stock Exchange. Thanks for being here, man.

Speaker1:
Yeah, no. No problem. It's, um, it's great to be here on the show anytime, but I feel like the stars all aligned this week because the the plan was anyway to talk about Social Security and then Sam's like, peace out, you know. So.

Speaker3:
Right. It's like, well there's not many times you're going to get two registered Social Security analysts talking about Social Security and on one show. So that's that's good. Hopefully we won't bore you too bad guys and gals. Let's give them three important Social Security facts. I'll let you give each one of these. We're going to talk about the cost of going it alone a little bit to Matt on Social Security and why you really shouldn't do that. And then I really want you to share your problem solver in segment three here before we get done in this segment.

Speaker1:
Yeah. Sure thing. So yeah, three important Social Security facts to to know here. Um, as we kick off this part of the conversation. And number one really is that Social Security is an individual benefit. You know, I mean, even if you're married, right, each person has to qualify and apply for their own benefit. It's not like there's some sort of joint Social Security account. Out. You can, though, qualify for a benefit based on your spouse's earnings record, but you've got to file for those benefits individually, right? It's not going to be an automatic thing that's given to you. So it really is an individual benefit. But if your spouse's primary insurance amount, which is the amount that they get at full retirement age, if that's more than twice yours, then it would behoove you to then take that spousal benefit and then that'll that'll basically top off what your own benefit would be to then be 50% of your spouse's benefit at full retirement age. So there is that as well. And a lot of people don't know that I'm I'm finding as I talk to more people about Social Security and the benefits that are out there, um, and you can sort of alluded to this earlier, you can work and still collect if you're, you know, past full retirement age, if you're past the age 62, even, you know, you can still work, you can earn, um, the, uh, Social Security paycheck every month. You can get that, receive that check every month, and you can still work if you're past your full retirement.

Speaker1:
And you can work and earn any amount without reducing your Social Security benefits past that point. But you got to think about the tax implications of all of that as well, and how much taxable income you're going to have and how much of your Social Security benefit, because up to 85% of it could be subject to taxes at this point. And another Social Security fact that you need to know is there are these things called colas. And you're thinking to yourself, oh, I love cola. You know, a little Coke, a little Diet Coke, you know, maybe, maybe a doctor Pepper or, you know, Mountain Dew every now and then. Not that kind of cola. We're talking about a cost of living adjustment cola. Right. And so that adjusts for inflation each year. Now there have been years where there's been a zero Cola because you know inflation has been just minute. Right. But then there are years that we had just a couple of years ago where we saw, you know, 9% essentially, um, increase in the cost of living adjustment because of high inflation. Now, as to whether or not the Cola actually keeps up with the real rate of inflation. Um, probably not, but it is at least adjusted. So it's, you know, you do get that raise pretty much, um, each and every year.

Speaker3:
Yeah. It's helpful. Uh, hopefully Congress will figure out what's going on with the old Age Survivors Insurance Trust Fund and make sure that that's fortified and not set to deplete as it is set right now in year 2035, a few years ago, as soon as 2033. But I got pushed out a little bit, I think. Also, the current administration working on reducing waste, fraud and abuse will help as well. I do think they're going to have to extend the 6.2% that you pay, and the 6.2% of the company pays in FICA for Social Security. I think they're going to extend that for the full year, not just but part of the year based on up to an income level. Um, now let's talk about the cost of going at it alone. So here's the problem. The Social Security Administration or the SSA can give you information, but they can't give you advice. I mean, that distinction really matters. Martin are super passionate about this. It means the SSA staff won't tell you when to claim how to coordinate with your spouse, or how taxes and Medicare premiums could impact your actual income. Three things the SSA can't and won't do.

Speaker3:
Number one is they will not recommend when to start your benefits based on your life expectancy or your own personal finances. Number two is they will not advise on spousal strategies or survivor benefits. And those strategies and benefits are really important in optimizing and maximizing your Social Security income benefit for both you and your spouse. And then number three is they will not help you evaluate how taxes or Medicare premiums impact your net income. Either. You need to work with a registered Social Security analyst to do that. We're happy to help you do that. All you got is reach out to us at (770) 685-1777 or visit retirement results. Com click that schedule a consultation button in the upper right corner, and Matt and I are happy to help you with your registered Social Security analyst needs. The phone number one more time is (770) 685-1777. Schedule your free social Security consultation and financial consultation right now. You can go and visit retirement results. Com and Matt, why don't you go ahead and share what's going on with your problem solver. How much you helped this one gentleman out in who lives in midtown.

Speaker2:
It's time for this week's Problem Solver.

Speaker1:
This one particular client who came to mind here. And it just shows you how things can change in life, you know, I mean, I often say my crystal ball is broken. It's been at the shop for a long time, and they just can't figure out what in the world is going on with it? So my crystal ball is broken. I have no idea what's going to happen in the future. And that was the case for this particular client as well, who said initially, when I met with him last year, he had planned on continuing to work until right around the age of 67. And so that's the plan that we put in place for him in his situation. You know, that we got him into a fixed indexed annuity that is going to grow until that point, and then he's going to turn on an income stream from that. Well, circumstances changed. He's a guy who works in the tech business. He's got his own tech business, actually, and contracts out with some big companies. And one of the big companies that he's worked steadily with over the past several years has sort of sent signals that that contract, which is renewed on an annual basis as of next year, may not renew. So he just said, look, regardless of what happens, he said, I'm just going to take the initiative and just retire. He's like, I can't go into that blind and maybe I'll have a job. Maybe I'll have income, maybe I won't.

Speaker1:
So what we were able to do is bridge that gap. You know, I mean, he has that, um, you know, just it will be at the time about a 5 or 6 year, almost, almost a six year gap between when he's going to retire and when he thought he was going to retire. And so to fill that gap, we needed to create an income. And we were able to get him into another annuity that's going to start paying out next spring and will generate an income for him that he can live on. Um, and then sum each and every month up until the age of 67. And then he turns on income from that other stream from the other, uh, fixed indexed annuity that we got him in. And then that income is going to be there for the rest of his life, no matter how long that life is. And so, you know, the problem, obviously, was how do I fill this income gap that I have for these years that I thought I was going to be fine? And we came up with that solution for him. And I'm so glad that we were able to because, you know, absolutely great, great guy. And really, you know, things do change and you've got to know what, um, the answers are to the questions in life and the what ifs in life. And that's why you come to people like us here at retirement results.

Speaker3:
Yeah. For me it was a big deal because this gentleman is 61. Yeah. He he wasn't even at 62.5 to be able to start Social Security. He also wasn't at Medicare age. So he's got to figure out his health care as well. And you were able to get him. Great solution. Get him to the incoming needs where he really doesn't have to turn on Social Security until 65, 67. He's probably going to turn on at 67. And that retirement income gap analysis was crucial. But also just understanding his portfolio and getting a lot safer replacing the bonds in his portfolio, considering a Roth ladder conversion plan later. There's just so much that you did for him in a short period of time. Um, I just think it was just a great result. And I'm so glad you shared that problem solver. When we come back, we're going to talk about the risk of doing it yourself and going it alone and making your own decisions on Social Security myths that can actually cost you money, and also working while claiming we want to make sure you know the rules and how it's really not just about Social Security. And I've got a great problem solver as well. And segment four come right back or listen to retirement results.

Speaker2:
Don't go away. Retirement results will be right back. To schedule your free no obligation consultation visit retirement results.

Speaker1:
Registered investment advisors and investment advisor representatives act as fiduciaries for all of our investment management clients. We have an obligation to act in the best interests of our clients and to make full disclosures of any conflicts of interest, if any, exist. Refer to our firm brochure, the ADV two A page for for additional information. Any comments regarding safe and secure products and guaranteed income streams refer only to fixed insurance products. They do not refer in any way to securities or investment advisory products. Fixed insurance and annuity product guarantees are subject to the claims paying ability of the issuing company and are not offered by BWR.

Speaker2:
As part of today's show, Retirement Results is available wherever you listen to podcasts and online at Retirement Results.

Speaker3:
And welcome back to Retirement results. Result. Drivers on Ford stocks the chief financial advisor. We got Matt McClure here with us. Standing in for Sam Davis who's out there hitting a little white golf ball with his father in law and a member guest in Kansas City, Missouri. Um, so, Matt, it's just great to have you here. We're going to talk a little bit more about the risk of kind of going it alone and doing your own thing with Social Security versus working with a registered Social Security analyst like ourselves. Um, and then also a lot of people might be wondering who a driver is. We keep talking about result driver every break a result driver is somebody that wants to build a tax efficient, fee efficient and market efficient portfolio. Uh, Diana and her team are standing by at (770) 685-1777 to take your calls, and they'll get you in touch with Matt and myself again. You can just call us at (770) 685-1777 to get your free registered Social Security Analyst roadmap, which is a Social Security maximization optimization kind of understanding report, if you will. And let's talk now about the risk of going it alone and kind of the the DIY decisions. If you make Social Security decisions without guidance, that can lead to costly, irreversible actual mistakes. I mean, claiming two early locks in a reduced benefit for life, claiming too late without a backup plan could force you to burn through your savings. Many retirees lose out on tens of thousands in potential income by guessing. Believe it or not, when they do studies like this, it's over 90% of people are missing out on benefits. They're making a mistake. There's over 2000 decision points within Social Security. Let us run an RSA roadmap and kind of take the wonder out of it and help you make the right decisions. Also, Matt, can you share like, the myths that kind of cost folks money here a little bit?

Speaker1:
Yeah. No, it's um, there are a lot of them surrounding Social Security, and that's one of the things that we learn, you know, more and more, I think, every day about all the different myths that are out there. And so there's more than 2000 decision points with Social Security. There's probably about 2000 myths out there that we've run across. But some of the most persistent ones that push people into those making those bad DIY decisions, like you were talking about. Um, number one is, you know, it's going broke. I got to take it now. And that is often false and financially harmful. Yeah. You know, the Social Security Trust Fund is slated to run out of money in about a decade. But that doesn't mean that Social Security itself will then go away. That means the benefits could be reduced if nothing is done. But I am of the belief that Congress is going to do something to shore that up in the meantime, because otherwise, you know, political suicide there. But that is just that's my personal opinion. But I'm the the Social Security trust fund may run out of money, but benefits would still continue, even if that were to happen. Uh, the second one that we hear about a lot is if I don't claim early, I'll lose it.

Speaker1:
You know, if I don't claim early, I'll lose it. Know that that's a misunderstanding of how benefits are guaranteed and protected. Right. So, like, if you don't claim as soon as you're eligible, you're not going to lose your Social Security benefit. If you wait, you're actually going to receive more each and every month than you would if you were to claim when you're first eligible, or even at full retirement age. Now, don't wait until past age 70, because there's no point in doing that, because it doesn't go up past age 70. But 124% of your benefit amount is what you would be eligible for if you were to push it out until age 70. And that could be a thing, a good thing for you. And I mean don't. The thing that we want you to know about these myths surrounding Social Security don't follow fear instead of facts, because that's the thing that leads to premature decisions. It leads to uneducated decisions, and then it leads to lower claims, and then you're stuck with that benefit amount for the rest of your life. There's no do over.

Speaker3:
Yeah. Also, there's a couple of things that you and I like to share. So if you if you work and you start claiming before your full retirement age, they're going to tax one and every $2. But if you wait till after you turn 67, your full retirement age and you're still working, they're going to tax one and $3 and they give you a much higher earnings test credit, if you will. And you're going to see that you're going to be able to hold on a lot more of your Social Security benefits, because quite honestly, the US government wants you to go to age 67 at least before you're claiming so they can get, you know, help pay other people. Right. In 1950, there were 16.1 workers for every Social Security recipient. Today, there's 2.6 workers for every Social Security income benefit recipient. So we need to make sure that we try to wait a little bit longer, but also we don't want to overdraw. We don't want to draw more than withdraw more than 4% of our assets in a given year. Also, Matt and I could help you figure out how to generate a consistent income, even plan for that eventual loss of 33%, at least of your Social Security income that comes into the household when there's a death of a spouse. We actually Build income plans for just that.

Speaker3:
All you have to do is reach out to us. At retirement results, click that schedule a consultation button in the upper right corner. We're happy to help you do that. And listen, it's not just about Social Security. Um, your choice can make all kinds of ripples. It can also affect your Medicare surcharges. It can also force you to take larger withdrawals from your phone or your IRAs, just all kinds of different things you really need to consider when you're considering taking Social Security and when you're going to do that for your retirement. And the last thing here, I just kind of want to talk through spousal and survivor benefits real quick. You've got, you know, somebody, let's say the husband works and he gets $30,000 a year. The wife kind of works in the home but doesn't work outside the home. And she's filing spousal at age 67. Um, and she's getting 15 grand a year, so it's 45,000 coming to the household. If he dies, she gets his and and and she loses hers and she'll lose 33% that comes into the household. That's a concern. You got to have a plan for that. Matt, I can help you. Like we said and that, but also for spousal. Let's say she falls for her and let's say she's getting like $900 a month or whatever.

Speaker3:
But then when she comes to age 67, she can then file spousal. It will top off her income benefits that spousal plus her her normal which dedicated for her own Social security benefits. And so many couples Matt that we see do that wrong. They have a they don't really do a good job. They either take it early, never file the spousal. Uh, my stepmother was one of those people until I caught it. Um, and there's just a lot of opportunities. Also, remember to get spousal benefits. You got to be married at least ten years if you're married. Ten years and less one day, you don't qualify. If you're married. Ten years to the day you do qualify for spousal benefits and also divorce spousal benefits as well. There's also survivor benefits, where you could receive up to 100% of your late spouse's benefit. Survivor benefits can be claimed as early as age 60 or fiftieths if disabled, but earlier claiming equals reduced payments. If you're eligible for both survivor and your own retirement benefit, you can strategically switch between the two. To maximize your income, we can help you do that. And obviously, if you're a divorced spouse, you do need to have a plan and we can help you do that too. Matt, your thoughts on this spousal and survivor benefits aspect to it?

Speaker1:
Yeah, I think it's probably some of the most misunderstood, um, aspects of Social Security benefits. And, you know, because I, one of the, you know, you mentioned earlier, um, the Spouse Springs library, uh, seminars that that we did and at one of them I remember specifically. And it was, you know, great turnout for this one. And and the there was a few people there who wanted me to explain and then explain these different, especially spousal and survivor benefits because they didn't quite understand exactly how it all worked. And so, you know, what I would encourage people to do is, is reach out retirement results. Um, you know, go there, schedule a consultation. You can schedule, you know, that it's absolutely free of any cost or any obligation. And we can provide you with that free analysis of your own individual situation that goes in depth into all of the different scenarios that you could possibly claim social Security and going to show you what the maximized version of that plan is. I mean, it's really a great a great thing. And it's available free of charge. There's a there's a lot of value there provided absolutely free.

Speaker3:
Yeah, I would hopefully people take advantage of that. And we only have a just a little bit of time for our final countdown.

Speaker6:
It's the final countdown.

Speaker2:
So let's recap what you may have missed. It's the final countdown.

Speaker6:
The final countdown.

Speaker3:
So on this week's show, we had Matt McClure here with us filling in for Sam, who's running around playing golf with his father in law in Kansas City, Missouri. Um, Matt is a registered nurse. Matt is a registered social security analyst and a licensed financial advisor in the series 65 license, life and health license, all that great stuff. And we talked about navigating Social Security benefits because Matt and I are two of 23 registered Social Security artists in the state of Georgia. And we talked about truth about timing, when to claim benefits, hidden costs of going it alone. And we also talked about spousal and survivor benefits and what people miss the absolute most. We hope you enjoyed this special edition of Retirement Results. Thanks so much for being with us and have a great week everybody.

Speaker2:
Thanks for listening to retirement results. You deserve to work with an independent team of fiduciary advisors that will strategically work to protect and grow your hard earned assets. To schedule your complimentary financial consultation, call us now at (770) 685-1777. That's (770) 685-1777. To connect with a qualified advisor. To learn more about our mission and our team visit. Retirement results. Investment advisory services offer through Brookstone Capital Management, LLC, VCM, a registered investment Advisor, VCM and Active Wealth Management are independent of each other. Insurance products and services are not offered through BCI, but are offered and sold through individually licensed and appointed agents. Investments involve risk and, unless otherwise stated, are not guaranteed. Past performance cannot be used as an indicator to determine future results.

Speaker1:
Registered investment advisors and investment advisor representatives act as fiduciaries for all of our investment management clients. We have an obligation to act in the best interest of our clients and to make full disclosures of any conflicts of interest. Please refer to our firm brochure, the ADV two day item for for additional information. Not affiliated with or endorsed by the Social Security Administration or any other government agency. I am speaking with Rebecca Kinney, director of the Office of Healthcare Information and Counseling at the administration for Community Living. Rebecca, thanks so much for taking a few minutes for me. Really do appreciate it.

Speaker7:
Hello. Thank you for having me.

Speaker1:
No problem at all. Well, you know, Medicare is a topic we talk about quite a bit around here in, in the work that I do. And it can be really confusing for a lot of people. The good news, though, there is, um, some, some help that's available out there and it's not going to cost an arm and a leg either, which is always good news for folks. And we're talking about specifically state health insurance assistance programs. What are those. And really how do they work.

Speaker7:
Yeah. Thank you. So the state health insurance assistance programs, also known as the ship ship, uh, we lose the A there in the acronym is a nationally federally funded program that is available in every state, D.C., Puerto Rico, Guam, and the U.S. Virgin Islands. And this grant based program funds a network of over 12,000 local team members who have been fully screened, trained, and certified in Medicare to help folks really navigate and understand their Medicare options and benefits and how to access those benefits and use them. We work really hard to try to make sure that our folks are available. This program is free because it is a federally funded program. There is no charge for the service if you call the ship for help. And as I said earlier, these programs are available nationwide, and we have folks in your local community available to provide assistance, either over the phone or in a lot of cases, you can set up an in-person meeting with a counselor to really sit down and talk through whatever your questions may be to to help out.

Speaker1:
Very good. And so are these services available for people who are already on Medicare, or maybe people who are about to age into the system, perhaps during the annual enrollment period? I know which is coming up, of course, later on in the year, but who can call these lines and get help?

Speaker7:
So we help anyone who is enrolled in Medicare or eligible for Medicare. We also will assist caregivers. So if you're helping take care of a parent or spouse, in some cases, even a child who is Medicare eligible and you need help understanding how to navigate those plan choices available to you or access certain benefits, you can contact the ship. We will help anyone, as I said, who is Medicare eligible or Medicare enrolled. And because those Medicare plans change every year, we do get a lot of calls during open enrollment to help folks really look at and understand how the choices are changing for the next year and how those changes match up to our individual needs. But we're available year round to help whether someone is newly eligible to Medicare or if you're struggling to pay for your Medicare, the premiums, co-pays and whatnot. There are programs available to help pay for Medicare, and we provide assistance in screening and getting enrolled in those as well.

Speaker1:
Very good. And and also, you know. You know, from, I think one, one thing that a lot of people might be really confused about are, um, things like Medicare supplements, Medicare Advantage plans and things like that, which differ from state to state, is that, I guess one of the advantages of having people in every state, in your local community, being able to help you is to to be able to help sort of navigate any differences that might be there for you, the plans that are available in your particular state or location.

Speaker7:
Exactly. The ships are actually created along with the standardization of the Medigap back in 1990. For that exact reason, um, Congress wanted to make sure that there were unbiased individuals available in local communities to help folks really understand what are their Medicare plan options available to them, and how does that work with what's happening locally, with your provider networks with your the prescriptions that you need. And so uh, also some states offer state pharmaceutical assistance programs which help pay for prescriptions in some cases. Uh, there might be other programs and things available locally to help pay for your health care, but also possibly transportation, nutrition and the ships having individuals that are so local, community based, not just state based, but community based. Um, they have that knowledge of what is happening locally to really help folks understand the full breadth of options and benefits that are available to them. One 800 Medicare is a great resource for information, but they don't have that local information that our ship team members have.

Speaker1:
Great. And so one last thing for me here. Um, how can people actually find their local, uh, ship in their community and get more information.

Speaker7:
So you can find your local ship at our national website, which is located at Schiphol Airport. That's one word. S h p h e o g. Schiphol airport. And there is a locator there where you can put in your. Select your state and get the phone number for your local organization. Also a website for your local organization. Alternatively, we also have an 800 number that will route you to your local program based on where you're calling from. And that toll free number is 1-877-839-2675. Again it's 1-877-839-2675. And either that phone number or that website can get you to your local program.

Speaker1:
Very good. Rebecca Kenney, director of the Office of Health Care Information and Counseling at the administration for Community Living. Rebecca, thanks so much for taking the time. Really do appreciate it.

Speaker7:
Thank you. Thank you for having me.

Speaker3:
Hey, this is Ford Stokes with active wealth management and retirement results. You've gotten used to getting higher interest rates on your savings accounts and bank CDs, but the fed has been lowering rates. If you're a 55 or older and have at least $250,000 to invest, and you'd like to lock in to higher interest rates, we can help. Currently, we can lock in income payout rates as high as 8%, 9%, or even 10% guaranteed for life. Even if interest rates drop back down to 1% or lower, you'd be locked in to higher income payout rates for as long as you live. You can do this with your IRA for 143. Be pension, rollover, current bank savings, or even brokerage accounts. Schedule your free meeting with us at Active Wealth com, and we will help you battle lower interest rates by locking in great income payout rates for the rest of your life. Call our office today at (770) 685-1777 or visit Active Wealth.

Speaker1:
Investment advisory services offer through Brookstone Capital Management LLC, a registered investment advisor. Guaranteed income streams referred to fixed insurance products only and are subject to the claims paying ability of the issuing company.

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