The Game Plan

Are you basing your financial plan on a bunch of financial myths? Or, are you trying to plan for retirement by asking the wrong questions? On today’s episode of The Retirement Playbook, Dale helps you better strategize by debunking financial myths and equipping you with the right questions to ask.

Some people seem to think that financial advice is delivered by the pound. But the hefty plans with dozens of pages might be just full of filler, instead of a clear and understandable plan. Does your plan cut to the chase and outline a clear direction for your retirement?

If your assets seem simple, is a will enough to cover everything? What about your funeral wishes or your current bills or online accounts? After you’re gone, will your spouse be able to live on half of your current monthly income? Consider what happens to your Social Security, your pension, or even an annuity after the first spouse passes.

Once you retire, should you be shifting your investments into bonds primarily? While it may seem safer, there are a lot of variables that you should consider first. Finding a financial advisor who can consider your unique situation can help you determine how to balance your investments to best fit your needs.

It’s important to ask the right questions when it comes to retirement in order to make the right decisions. You may ask, “How much money do I need to save for retirement?” But a better question focuses on how much income you can bring in each month vs. what your expenses are. Another common question is, “Should I buy long-term care insurance?” A better question may be, “What are all of my options to cover long-term care expenses?”

Instead of asking how to get the highest return, think about making sure your money gets returned. Rather than looking for the lowest fees for an advisor, consider where you can get the best value for the advice you’re getting. Finally, it might feel better to pay less in taxes now, but ask, “What you can do to save money that can be accessed tax-free in the future?”

The X’s & O’s

Listen to the full episode to hear Dale debunk all the myths and rework your questions or click on the timestamps below to hear more about a specific myth or question.

[0:52] – Myth: The more a financial plan weighs, the more valuable. 

[2:00] – Myth: A will is all I need to have my affairs in order.

[3:07] – Myth: My spouse will be fine when I’m gone, they will only need half as much income anyway.

[4:35] – Myth: When I retire, I need to dramatically shift from stocks to bond.

[5:51] – How much money should I save to retire?

[7:05] – Should I get long-term care insurance?

[7:52] – How can I get the highest possible return on my money?

[9:22] – Where can I pay the lowest fees for financial advice?

[10:35] – What can I do to pay less in taxes this year?