The Truth About Retirement Income: It’s Not About “The Number”

Episode 58: Audio automatically transcribed by Sonix

Episode 58: this mp3 audio file was automatically transcribed by Sonix with the best speech-to-text algorithms. This transcript may contain errors.

Speaker1:
Hey, it's Matt McClure of Active Wealth Management and host of Take Pride in Retirement. How would you like guaranteed growth for your retirement investment? Nationwide's peak ten fixed indexed annuity offers an 8% simple interest roll up for the first ten years or until your first withdrawal, whichever comes first. When you choose the lifetime Bonus Income Plus rider for an additional cost with Nationwide Peak ten, you will also receive protection for your principal, keeping your initial investment safe even during market downturns. Growth opportunities linked to market performance without direct market risks and guaranteed lifetime income. Helping to create a more secure retirement. Call me today at 85524692 11 or go to take pride in retirement. Com to connect with me and start building a brighter future that's take pride in retirement. Investment advisory services offered through Brookstone Capital Management LLC, a registered investment advisor. Guarantees and protections referenced are subject to the claims paying ability of Nationwide Life and annuity insurance company. Nationwide. Peak 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. 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. Welcome to Take Pride in Retirement, the podcast dedicated to helping members of the LGBTQ+ community protect and grow their hard earned money.

Speaker1:
Get set for a show full of education and insights with your host and advisor, Matt McClure. We recognize every family is unique. The goal of the show is to help you achieve financial freedom so you and your loved ones can have the retirement you've always dreamed of, a retirement you can take pride in, no matter who you are, where you're from, or who you love. So now let's start the show. Here's Matt McClure. Hello once again and welcome to another edition of Take Pride in Retirement. I'm Matt McClure, your host, your advisor, your friend, your pal, and your confidant. Thanks so much for being a part of things. This is the show where we blend smart retirement planning with LGBTQ+ empowerment. I mean, it's all about you. It's all about your individual situation. It's all about you being able to be who you are in your life and taking pride in that, and then being able to build a retirement that you can take pride in as well. So whether you're you're married, you're partnered, you're flying solo. Whatever the deal is, this show is for you. And today, a good one. Um, not that, you know, they're not all good, but today I'm going to say an especially good one. Um, I've got a lot of information about how a solid income strategy is really more important than having just one big number in retirement, right? Like when it comes to your retirement savings.

Speaker1:
Like you spend all your life. All of your working life, anyway, building up that big nest egg, right? Just building up that. That one big number, whatever number you might have your sights set on. At least this is true for most of us. And then, you know, in retirement, it's like, okay, we're supposed to be handed like a big pot of money. And, you know, they say, good luck. Good luck with that. Um, that is not a plan. That's like just kind of throwing whatever at the wall and seeing what sticks. So having a plan for income in retirement. Absolutely essential. And so I'm going to break down a couple of different things when it comes to income and planning. So a three bucket strategy I'm going to talk about that I'll reevaluate the 4% rule. It's something that we've mentioned before on the show. It's something that I've talked about and it's something that, you know, is it as useful as it used to be as a rule. Or is it more of a guideline now? I don't talk about that as well and then help you confidently shift from saving to spending in retirement. Also, do not forget I offer complimentary consultations for listeners and you can meet with me one on one. I'll look at your financial goals with everything taken into account. Whether you're in the retirement red zone, that's that's that 5 to 10 years before retirement or 5 to 10 years into retirement.

Speaker1:
Or if you're just starting to think about what retirement might look like for you, you know, I can help you work on a plan that's going to get you there. If you've just got that sort of retirement vision in mind. So head to take pride in retirement comm. Or you can give me a call 85524692178552469211. Uh, also hit me up on the socials. I am on Instagram. I'm on the Facebooks. I am on the threads. Ends. Also on YouTube. Big presence on YouTube. They're all of the full episodes are now being uploaded to YouTube each and every week. I would love it if you would like and subscribe. Hit the bell so you don't miss an episode. Boy, would I appreciate that. That would be, um, just fantastic. So yeah, if you could, I would love it. Youtube and search for take Pride in retirement. And one more thing though that we're going to talk about today or go over go through uh, have on the show today however you want to say it, um, I've got a guest coming on to talk about recent market volatility and how you can kind of help weather that storm, or I guess from Synovus Bank is going to join me, and we're going to talk about that. But right now, let's actually get a little inspiration for our conversations, shall we? Let's shall. And it's our quote of the week.

Speaker2:
And now for some financial wisdom. It's time for the quote of the week.

Speaker1:
This time around, the quote really does speak to the mission here at Take Pride in Retirement, and it's this retirement is not just about money. It's about maintaining your dignity, independence and identity. And that's something that was said by the group sage. Sage that's services and advocacy for LGBTQ plus elders. And you know what? It really sums up what we're all about here. I mean, retirement, sure. There's a lot about numbers that we always talk about. There's a lot about things like, okay, what's my time horizon? What's my risk tolerance? What are all of these things that I have to take into account? What are my goals for retirement from a money standpoint? But it's also, you know, it's not just about the numbers. It's about your life. It's about being able to be you. It's about being able to be fully Yourself in your retirement years, having the the funds, having the income to be able to do that, setting yourself up for success in those retirement years. And that really is what the show is all about each and every single week. And, you know, we're going to talk a lot today about income and income. You know, I've found is a lot more important than that one big number. As I was saying at the top of the show, it's income is really where it's at. It's like, how are you going to pay your bills? How are you going to make sure that all of the basics are covered? Well, you need an income to do that.

Speaker1:
Um, and you can do that, you know, one of several different ways. There are many different strategies for income. The easiest, um, is, is something called an annuity. I'll go over that, of course, as we, as we talk here. But the other strategies that we look at can be maybe a little more complicated, but they may be a better fit for you and your life, and where you are and where you're going. Where you see yourself going in retirement. But the goal should be to make sure that you've got that steady stream of income that's guaranteed to be around as long as you are, and then make sure that that number, whatever that, that monthly number that you're getting makes sure that that covers your expenses so that anything else that you have is a cherry on top. It can be your play money. It can be your vacation money. It can be your, you know, whatever else I have, money like Social Security could be instead of something that you live on. It could be something that you really do live on. You know, you experience life on, right? Instead of just paying the bills and keeping a roof over your head. So that is the goal here. And you know, what I'm going to do here is kind of start with reality, because LGBTQ plus retirees face unique challenges. We do. It's just a fact of life. Historic discrimination, lower average earnings, um, late or no access to spousal benefits under Social Security, those can all impact your financial readiness.

Speaker1:
Obviously, we've seen, you know, changes in the, um, the federal government, certainly in the past several months. Those changes, you know, lead to a lot of people questioning, okay, what are my government benefits going to be when I do decide to retire? Are they going to be there or is something going to happen with all these changes? It's going to take that away. Well, my goal is to give you peace of mind and saying that, okay, that first of all, I think, I think don't write this in a stone tablet and, you know, bring it down from the mountain or anything. But I think that that is not going to happen. I am, you know, cautiously or cautiously optimistic. But that aside, No matter what does happen, I want to get a plan in place for you that you can have confidence in, that no matter what does happen on the federal level, on a state level, wherever you are, that that is just, you know, something that's not going to affect your bottom line. In other words, that you have enough money to make it month by month, year by year, decade by decade throughout your retirement, and then you are going to, as a result, thrive. Right. I want you to thrive in your retirement. I want you to be proud. I want you to be you, and I want you to thrive in your retirement years. Period. End of sentence.

Speaker1:
You deserve that. You should have a retirement that you can take pride in. And that's the goal. Um, those, you know, concerns, of course, are real that people have. But I want to get you to a place where you can just see Social Security, as I was saying, as kind of the cherry on top. Right. Um, and according to sage, which is that the group where, um, actually had a guest from sage on just a few weeks ago, if you want to go back and look at that. And Christina, really great guest. Um, talking a lot about their work and, and especially a financial app that they have that helps older LGBTQ plus adults track their finances. Love that. So just go back a few weeks here and you'll you'll find it. But according to sage, older adults in the LGBTQ plus community are twice as likely to live alone and four times less likely to have children. And so that means that our, you know, community often has fewer family based support systems. Chosen family? Sure. Um, you know, friends who are around? Sure. I you know, I hope that you have those support systems if you fall into either of those groups that I just mentioned. But whoever you are and whatever your circumstances, building a reliable, personalized income stream one that's guaranteed for the rest of your life is absolutely crucial. And so, you know, one of the ways that I like to do that, for people to get that guaranteed income for the rest of your life.

Speaker1:
And again, the any guarantees that I ever speak about are based on the claims paying ability of the issuer. So just bear that in mind. But it really and truly only work with the highest rated insurance carriers and annuity companies, um, that have been around for a long, long, long, long time. So that gives you peace of mind there. But they will guarantee that they will back up the fact that they can, you know, give you an income for the rest of your life. Right. And so that's one way. I mean, there are different kinds of annuities that have gone into annuities, you know, several times here on the show. Um, but, you know, one of the, the most, um, Um, stable and, well, not stable, but one of the one of the most, um, um, I don't know, one of the best. I should say that I like to use annuities. Try to think of the right word there. One of the best annuities that I like to use for a lot of people, not for everybody, but for a lot of people, is called a fixed indexed annuity. It's kind of like a little bit of the Goldilocks. You know, it's not a regular old fixed annuity where you just get a certain rate of growth 4 or 5, 6%, maybe over a certain period of years. And it's not something that is completely indexed to the market. So it's not like it's, you know, you're 100% invested in the market.

Speaker1:
And so everything's at risk or you have some risk, you know, right. You have no market risk in a fixed indexed annuity because it's that Goldilocks you've got the upside potential the market and no downside potential because you can gain but you can't lose right. So that is what's good on the growth side about a fixed indexed annuity. And then in retirement you take that. You flip a switch essentially, you know, um, the, the proverbial switch, you flip it and you turn on income, and that income stream is there for the rest of your life, no matter how long that life is now. It's funny, I was just I was talking to a client this past week, and if he's listening to the show, he knows who he is. Um, but he was like, wait a minute. The thing that you gave me only, uh, said that I can live till 90 or 95 or whatever it was. And I was like, no, no, no, that's just because we'll give you during that initial consultation or as part of the initial consultation, will give you, um, an illustration of an annuity, if that's something that we want, you know, and determine it's going to be part of your plan, we give you an annuity illustration. And a lot of times those annuity illustrations will only illustrate out to a certain number of years to like age 90 or 95, sometimes 100, but usually it's 90 or 95. And, um, he's like, well, I can only live till that.

Speaker1:
So I'm going to come live with you, you know, on my 96th birthday or whatever. And I said to laugh. I was like, no, no, that's just how far the the illustration went. It'll that check will still be coming after that. I promise you that the, um, the insurance company, the annuity company promises you that that check is going to keep on coming after that. And that's going to be income that that you can literally take to the bank, because it'll be there for the rest of your life. And so that is really the beauty of a fixed indexed annuity is growth. When you need growth, the potential for growth due to that, that upside potential of the market, um, protection from losses and then that solid, steady, stable income in your retirement years, no matter how long you live. So that is one of the strategies that I like to use for income. And we'll get into more of them as we go along here. One of the things that people talk about a lot, by the way, is um, is a three bucket kind of strategy, right? And so it might say like buckets do I need I need buckets like, do I need to go to the garage and get my buckets? No, um, you don't need to go out to the garage. You don't need to get your buckets. What you need is are separate, um, you know, proverbial buckets for your money. So one of the ways to kind of give you peace of mind when you're looking at a plan is a three bucket strategy.

Speaker1:
And what we'll do is, if this is something that you want to explore, is kind of divide things into three sort of imaginary buckets. Right. So bucket number one is short term two is intermediate. Term three is long term. I'll take you through these and tell you what they mean here. Bucket number one as I said is that short term money. So this is this is like stuff that you're going to need access to quickly. It's going to be more liquid. Um, it's we're talking, you know, cash savings, maybe a high yield savings account hopefully. Um, migas. Those are multi-year guaranteed annuities. So those are shorter term, uh, three, four, five years a lot of the time where it operates like a CD at the bank, right. So you put money in there. It grows at a certain rate for a certain number of years, usually pretty short term. And then you can get that money after that term. And a lot of that money in that short term bucket, the vast majority of it should be something that you can tap into when you need it. And there's no volatility with that because those are very low risk or no risk places to put your money. Cash savings, migas, all of those things. Even CDs. If you want to do a bank CD now, that money will be locked away for a couple of years, but then at the end of that, you'll have some growth and you can get that money out and then, you know, use that to pay those short term or immediate needs.

Speaker1:
Now bucket number two is money. That is for the intermediate term the medium term right. So we're talking like year six through ten. So you could think of things like maybe bonds or um REITs. Rights. Those are real estate investment trusts. Um, you know, those are income producing assets. Right. And and those the goal there with those is to keep pace with inflation. And you know, you don't want to be falling behind inflation obviously. But the goal is to to either at least keep pace with inflation but hopefully beat inflation. It's been a difficult thing to do over the last few years. Uh, but to beat inflation, um, with these um products or places, you know, investments that will still have safety involved in a lot of ways but are higher risk. So higher reward potentially than that short term bucket. So more risk but more potential reward there in that medium term. And so that's going to be money that you'll need. And 6 to 10 years. And then at the end of the first five let's say the money in the intermediate term bucket kind of will sort of, you know, roll into the short term bucket essentially, and then that it just sort of recycles itself. You know, it's it's, you know, lather rinse, repeat. Um, and then so the long term bucket you're looking at years 11 plus the growth assets.

Speaker1:
So stocks ETFs things that are going to grow over time. And that intermediate term bucket will get replenished by the long term funds. And then into the short term funds and things like that. So as I said it just sort of recycles. It just lives on itself and grows over time as well. Because if you've got those growth assets like stocks and ETFs over time, we've seen historically those will grow. And so you know you replenish the other buckets with that bucket. And another thing to note here is if you're caring for a partner, if you're caring for a spouse a chosen family member, that strategy can also make sure that income is always there, even in emergencies. Right. You'll always have that short term bucket of funds that you can draw from to pay for x, y, z. And so if you want to know more about that and, and kind of how that works, or if it's something that you might want to explore for yourself, take pride in retirement. Com is the website. It's take pride in retirement. Com. You can reach out on the website and book an appointment directly into my calendar. Just click on Schedule an appointment right there on the homepage. Take pride in retirement. Com or call 85524692 11 (855) 246-9211. I'm speaking with Brent Suriano, director of private wealth at Synovus Bank. Brent, thanks so much for taking a few minutes for me. Appreciate your time.

Speaker3:
No, it's my pleasure. Good morning. Thank you.

Speaker1:
Well, you know, a lot of folks have been kind of scared to look at the, you know, 401 S or their IRAs and any investments that they might have here since just about a little after the beginning of the year. Things have been really, really volatile. And, you know, I mean, people might say, well, okay, okay, well that's because of tariffs or that's because of this, that or the other. From your perspective there. Why have we seen so much volatility in these recent months. And is it going to continue into as we come up here, you know kind of on the second half of the year.

Speaker3:
Yeah, I mean it's a great question. And obviously it's on everyone's mind. I think, you know, for 2025 is unique in a sense to where I think there's three factors that are really sort of kind of creating this uncertainty in the equity markets. And as we both know, you know, equity markets like certainty. Right. Um, and the market volatility is not a new thing. It's just depends on sort of what these external factors tend to happen. And and this year, you know I look at it from sort of three approaches. You know, number one you look at Liberation Day, you know back in February, you know, even though tariffs are not a new thing, Trump administration really put forth kind of a shock in the markets with the size of the tariffs that they were throwing out there, which caused some uncertainty, you know, from, you know, businesses and reciprocal tariffs and what the cost is going to look like. And so that kind of created some uncertainty early on this year. Now of course you look where we are now. We've sort of kind of brought some of that back with some new countries coming to the table and some negotiations starting to happen, but still, you know, kind of the first part of that is that kind of created some uncertainty. When you look at number two, you know, it's really we've been kind of stuck in this interest rate environment.

Speaker3:
What's the fed going to do, you know, going into 2025. There was talk around 5 or 6 rate cuts. Now we're probably looking more at two. If any really kind of depend on what side of the balance sheet the fed is going to play on from job stability and growth to inflation. But again, still creates uncertainty for higher interest rates for longer, which will have an impact on consumers and small businesses as that kind of plays out. And when you kind of tackle all that with higher rates for longer with, you know, an increase in the debt of around 36 trillion. Can the United States sustain that longer term? Does that kind of creates uncertainty in point number two? Then the final point really comes down to the administration's tax and budget proposal, known as the big beautiful bill, so to speak. And you know, I think if, you know, obviously passing the House now, it's the Senate. There's probably some version that will get get done. But I think the administration's target date is July 4th. So when you add the uncertainty of what the tax landscape for individuals may or may not happen going into next year, you add all three of those together. And we're kind of this perfect storm of just uncertainty and why you're seeing the market kind of react on a day to day basis.

Speaker1:
Yeah, that's kind of what it all boils down to. Yeah.

Speaker3:
Yeah. No. On the second half of the year, you know, like we're in now. Listen, if we get some good news with, you know, the tax and budget proposal going through, we get some more countries come to the table with, you know, putting together some, some tariff plans. We get a little more certainty towards the back half on what the rate environment will look like. You know, with the economy going, going the way it is and companies still having some fairly good earnings, I think we're we're primed for a good second half. We just need some stuff, some wind in the sails with some of these things we just talked about.

Speaker1:
Yeah. Yeah. They need to be, uh, catching catching that, uh, wind in the sails. Definitely. And, you know, I mean, all of this, as you said, you know, a minute ago, it boils down to the uncertainty all around. And the same is true for for individual investors as well. Those people who I spoke about scared to look at their 401 and everything. I mean, how do you approach helping people, encouraging people to, um, not necessarily stay the course, obviously, but make some make some smart adjustments, perhaps, but not to freak out. And, and, you know, if the market has a really bad day, pull everything out and go to cash and put money under the mattress. You know, they've got to have a plan, right? And a long term plan that doesn't, um, have really emotions involved in it.

Speaker3:
Yeah, exactly. I mean, there really has to be a disciplined approach when it comes to intermediate and longer term financial planning and really that that approach kind of starts with each individual investor and their families defining what that longer term term goal is. When you write those goals out of what you're trying to achieve from a financial perspective, whether that's a certain lifestyle or income or education or philanthropic giving, your your North Star is always going to be trying to achieve those end goals and the intermediary ups and downs of the market. That's all that is. Versus taking your financial plan, which, by the way, it's not a static instrument. A financial plan is a tactical living and adjustable breathing document that as our personal lives unfold and external dynamic forces come into play and changes in your own personal life, the financial plan should adjust accordingly as well. And so when you kind of put a framework in place of what you're trying to accomplish, Plus, I think it allows us to shoulder some of the emotional turmoil we might go over because we because we always can reference back to am I on pace to achieve these qualitative results that I want to accomplish for me and my family? And I always make kind of like a joke. Like, you know, in most cases nobody gets injured on a roller coaster unless you jump off midway, right? And so you kind of kind of take it to the end and define that, that, that track.

Speaker1:
That's very that's the first time I've heard that one. I like that a lot. Um, and so just not a whole lot of time left here. Uh, Brent. But I just wanted to ask, you know, what is the is the best advice that you would have for folks going forward here? I mean, any closing sort of thoughts or something that you haven't touched on that that comes to mind that you'd like to mention?

Speaker3:
Yeah, I would just say stay disciplined to your plan. You know, if you don't have a plan, defined the plan, if you're not working with an individual or a group of other health professionals to help you manage some of the behavioral reactions that we tend to have as human beings. Partner with the team. Align your philosophies, your level of service. Define the plan, and just make sure you're updating and reviewing that plan at minimum on an annual basis and adjusting accordingly. And in the long run, I think you'll find that you'll get there where you want, what you want to achieve, essentially.

Speaker1:
Very good. Well, Brent Soriano is director of private wealth at Synovus Bank. Brent, thank you so much. I really do appreciate your time, sir.

Speaker3:
Thanks so much. It's great being.

Speaker1:
Here, and I really do appreciate him once again being on the show. A lot of great talk there about volatility taking the emotion out of investing as well. It's so so important. And another thing that you know is is important when you're planning for retirement. You're thinking about how to um in the once you get past the growth phase, the accumulation phase, and you turn the switch into the decumulation phase, which we'll go into more, more depth in a moment. But when you do turn that corner, it's like, okay, how much do I withdraw every year, every month? And for years, the 4% rule was treated like the gospel truth, right? It was withdraw 4% of your nest egg each year and adjust for inflation. Um, that, you know, idea was hatched decades and decades ago. And for a long time it did sort of work. But things like we were just talking about with market volatility, inflation, longer life expectancies, especially relevant if you are healthy and you're planning for longevity. Those things make this rule a not quite so reliable anymore. It could be a good suggestion for you, a good starting point, a good thing to think about, maybe a think about it a little bit like a benchmark of of okay, if I'm using this as a guideline, am I somewhere close to that? Is that a good place for me and then, you know, kind of crunch the numbers and see where things land.

Speaker1:
Um, it also assumes kind of a 5050 stock and bond portfolio and a traditional retirement setup, you know, through, um, you know, investment portfolio and, and 401 K and things like that. So it doesn't really account for any of the, you know, things that have happened since in the many years since this particular strategy was developed. And so what I like to think of is a 4% guideline rather than a 4% rule. You know, there are some rules that we do, um, you know, like to follow the rule of 100 is one that I sort of like to treat as a guideline as well. Um, because people's risk tolerance is different. But that one says, you know, you take the amount of risk you should be taking in the market is essentially you take the number 100, you subtract your age from that number, and then whatever's left over is the amount that should be at risk in the market. So if you're 40 years old, 60% should be at risk in the market. If you're 60 years old, 40% should be at risk in the market. See how that works? It's like as you get older, you're taking less risk and you're putting more money into safety. That works in general. It could be, you know, tweaked here or there for individual situations, but that works in general because of the fact that the older you get, the less you can afford to take big losses in in the market, you want to make sure you've got a cushion, you've got some protection there, you've got quite a bit of protection by the time you want to call it quits from your job.

Speaker1:
And so that is a rule that you can use kind of as a guideline. Or maybe if it works for you, a hard and fast rule, who knows? The 4% rule kind of got to think of it maybe as a little bit more of a guideline, right? So there are some alternatives to to that though like um, flexible withdrawal strategies. There's like a guardrails approach that some people, um, will will use where there's like, you know, their um, income that they take from their retirement can fluctuate, um, between certain guardrails. Um, you know, they can, you know, withdraw more one year less the next, that kind of thing, depending on how, uh, the economy is doing, how their personal finances are doing as a result of the economy and all that. So that's something where, you know, you could have a bit of consideration of doing an alternative like that. You could set an income floor with Social Security and then annuities as well to cover all your essentials. My goal would be to cover your essentials with annuities.

Speaker1:
That's a guaranteed income stream, and then having Social Security with the cost of living adjustments, hopefully keeping up with inflation. Um, be on top of that so that you can then use that money in your retirement years to do the things that you want to do. And then that way your investments can handle the rest, and you're not stressed. When the market dips, you are not stressed. You are too blessed to be stressed. Uh, when the market dips and when you've got, you know, big time volatility and all that kind of thing. Right. So, you know, I talked about a moment ago, um, making that shift right from accumulation to decumulation like turning on, you know, you've been in growth mode your entire working life, and then you want to flip that switch to taking income. Well, that is making that shift from saving to spending. Decumulation is what we call it. It's a big word. It always reminds me of, uh, Jack McFarland on Will and Grace, where he says he uses big. He's so smart. He uses big words like delicatessen. Um, this is one of those big delicatessen words. Decumulation. And you know it can be a bit scary if you're not prepared for it. It can be quite scary if you're not prepared for it. Like, kind of like I said in the beginning of the show.

Speaker1:
You work for a certain number of years from a company. You save up all or for yourself. You save up all this money in a 401 K or an IRA or something. You know, a Sep, IRA, um, whatever. Type 403 b tsp. If you're a federal employee, all of the different things, you set those up and you put money into them, they grow over time. And then you've got this big pot of money and you're, you know, sent out into the world. And they say, good luck. Um, so that can be a bit scary, a bit intimidating, right? But step one, to sort of overcome this is you've got to know what is coming in and what's going out in your retirement, right? I mean, categorize expenses. You've got to have a couple of categories there your essentials and your discretionary spending. So discretionary spending is going to be stuff like here's what I want to do. Essentials of course here's what I have to do. I got to keep a roof over my head. I got to keep the lights on. I got to keep the water going through the faucet. I've got to keep, um, the car paid for and the insurance paid for. And all of those different things. The utilities, um, like, you know, I got I got to keep the internet going in the house and all of that stuff.

Speaker1:
Got to pay the cell phone bill. So those are the essentials. Discretionary is like, I want to spend the summer in Bora Bora. You know, so make sure that you know what's coming in and what is going out. And do you really know how much is going out each month? I bet if I, if I asked you and you said a number, and then we sat down and went through everything, all of your expenses with a fine tooth comb, that number would be potentially quite different than the number that you said, because a lot of people I mean, you know, you've got maybe 5 or 10 subscriptions to streaming things like your Netflix and your Prime's and all the things. And then you've also got maybe subscriptions to other things that get delivered to your door. A bark box if you have a dog or whatever. Um, and then, you know, anything like, um, food subscriptions and, uh, they've got them for everything. Medical things, um, vanity things. There are subscriptions these days. There are all the things. Right? And so those are things that can really just kind of sneak up on you. I know that that has been true in my life, and I know that it's easy to kind of set those and forget about them. And then you take a look at your, your account and you're like, wait a minute, where did that money go? Um, oh yeah, I subscribed to this, that or the other.

Speaker1:
So you've got to know what is going in and know exactly what is going out. Then you match your income sources to your expenses. Guaranteed income, like annuities, like Social security. Those should fund essentials and or, you know, have one of those streams big enough, the annuity stream big enough where it funds your essentials. And then Social Security can be on top of that. Or if you're lucky enough to not have a lot of expenses in retirement, maybe Social Security will cover your expenses. You know, maybe you've paid off the house. Maybe you've paid off the car. Maybe you don't have all these big dollar bills, dollar bills, dollar dollar bill, y'all. Um, you don't have all these big bills each and every month. And so you can pay all of those essentials with your Social Security. And then on top of that, you can have your annuities or whatever other income stream you want to set up. It's all up to you and your individual situation. And really that is the key here. And something that I say often, and I say it often because it bears repeating and because it is so important. And that is everything is up to your individual situation. It's based on what your deal is in life, right? It's not based on me.

Speaker1:
It's not based on what I want or what I need or what I think I might, you know, see in my crystal ball for your future because my crystal ball is broken, let me tell you. Um, but it's all about what is really right for you. And as a fiduciary, I am bound legally and morally. Um, and I always say I would do it anyway, but I'm bound legally to do what's in your best interest and not my own. So that's the that is kind of what it all comes down to, is your needs really, and your, um, the essentials of your life and not anything to do with me. So match those income sources to your expenses, get guaranteed income sources to fund those essentials, then adjust your portfolio and that withdrawal strategy as you go along. Don't just set it and forget it like the old infomercials. Set it and forget it. Maybe a great thing for, you know, your your countertop rotisserie, but not a great thing for your retirement plan. And you also need to plan for healthcare. I mean, LGBTQ plus folks are more likely to experience chronic conditions and long term care needs than others, according to Ta statistics. So having a financial cushion just for your health, that is smart planning. It's not a waste. It's not something that you're not going to use.

Speaker1:
It's it's going to be something that likely you will need later on in life. Because, you know, as we go along and as we get older, the body likes to give out on us. And so we're going to have health expenses. It's just how much are they going to be? And so having a plan for that is essential as well. And speaking of income, there are other income annuities out there that will double your income if you are confined to a nursing home or other long term care facility. Um, after a certain period of time. And those are things that maybe you could think about taking advantage of as well. Um, because that is really, you know, giving you a living benefit when you need it the most. Doubling that income. If you're confined to long term care, that could be something that could really, really be life changing, right? And so, listen, um, just about time to run here. But the thing that I want you to remember, the thing I want you to take away from this, is it's not just about when it comes to retirement, it's not just about hitting a number. It is about creating a plan that honors you, that honors your life, your goals, your values. And it's it's about making sure that you are going to have that retirement that you can take pride in, no matter who you are, no matter where you come from, who you love, how you identify, how much money you have, any of the things, any of the things that you think would potentially be barriers to working with a financial advisor.

Speaker1:
Anything that you think might be a barrier to having that retirement, you can take pride in that. None of that is a factor in whether or not I will work with you. Certainly I will work with anyone. Um, but as a member of the LGBTQ plus community as well, I get it. Like I understand and work with people from all different walks of life from all different places, um, from all different situations in life, from all different, you know, monetary circumstances as well. And so what I want you to keep in mind, especially if you're within the first 5 to 10 years of retirement or if you've recently retired. So the retirement red zone, we call it, if you're there, that's really kind of the most critical time to test the strength of your plan. And so I encourage you to schedule that free consultation. Just go online, take pride in retirement. Take pride in retirement. Com is the website once again. 85524692 11 is the number (855) 246-9211. And I'll show you how to protect what you've built and turn that into lasting income. Income that's going to last for the rest of your life.

Speaker1:
Well, that's going to do it for this edition of the show, folks. Hope you have enjoyed it. Hope you've gotten something from the show. Again, take pride in retirement. Com you can schedule an appointment directly with me right there in the web form that's on the site. I mean literally goes directly into my calendar, right. Just click on schedule a consultation at Take Pride in Retirement. Com I'd love to help you out if I can and if I can't or if it's, you know, you're in good shape and I say look you've got a great plan in place. That's wonderful. Let's go get a coffee. You know, it's. It could be that kind of a situation. Um, no. No hard feelings, no pressure. Right? It's it's a very, um, sort of a low, low, low key thing. Low pressure thing. Um, we'll take a look at your finances and see if we can make them better. Chances are I can, right? If I can't, I'll tell you. But chances are I can improve your finances to get you to that place where you have a retirement that you can take pride in. So again, that's going to do it for this edition of the show. But thank you so much for being a part of things. Until next time, take pride in yourselves and take care of each other. We'll see you then.

Speaker4:
Thanks for listening to Take Pride in Retirement. Members of the LGBTQ plus community deserve to work with a fiduciary financial advisor who puts their needs first. To schedule a free, no obligation consultation with Matt McClure and the team at Active Wealth Management, call (855) 246-9211 or go online to take pride in retirement investment advisory services offered through Brookstone Capital Management, LLC, a registered investment advisor. Bcm and Active Wealth Management Incorporated are independent of each other. Insurance products and services are not offered through BCM, but are offered and sold through individually licensed and appointed agents. Matt McClure, an active wealth management, are not affiliated with or endorsed by the Social Security Administration or any other government agency. Could your retirement income plan use a boost? Nationwide's peak ten fixed index annuity gives you a 20% immediate bonus added to your income benefit base right from the start. When you choose the Lifetime bonus Income plus rider for an additional cost. You will also receive an 8% guaranteed simple interest roll up for the first ten years or until your first withdrawal, whichever comes first. Guaranteed lifetime income and protection for your principal even during market downturns and periods of volatility, this combination can offer a strong foundation for your financial future. Call us now at 46 9211 or go to take pride and retirement to connect with an advisor and learn how Peketon can help secure your financial future.

Speaker1:
Investment advisory services offered through Brookstone Capital Management, LLC, a registered investment advisor. Guarantees and protections referenced are subject to the claims paying ability of Nationwide Life and annuity insurance company nationwide. Petn 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. Any comments regarding safe and secure investments and guaranteed income streams refer only to fixed insurance products. They do not in any way refer to investment advisory products. Rates and guarantees provided by insurance products and annuities are subject to the financial strength of the issuing insurance company, not guaranteed by any bank or the FDIC. 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 To.a item for. For additional information.

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