Ep 49: What To Do As You Count Down The Days To Retirement

On This Episode

We’ve assembled a list of priorities to keep in mind as you count down the days to retirement.

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PFG Private Wealth Management, LLC is an SEC Registered Investment Advisor. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. The topics and information discussed during this podcast are not intended to provide tax or legal advice. Investments involve risk, and unless otherwise stated, are not guaranteed. Be sure to first consult with a qualified financial advisor and/or tax professional before implementing any strategy discussed on this podcast. Past performance is not indicative of future performance. Insurance products and services are offered and sold through individually licensed and appointed insurance agents.

Here is a transcript of today’s episode:


Mark: Hey everybody. Welcome to the podcast. It’s retirement planning, redefined with John and Nick and myself talking about the countdown to retirement. What to do on those days, as we’re getting closer, working our way towards it. We’ve assembled a list of priorities to keep in mind, as you are counting down those days to retirement. And we were getting ready to get this podcast started and we were kind of laughing at some of the things that we seem to run out of in this whole supply chain issue, had ourselves a good giggle along the way. So hopefully we’ll have a good podcast for you to tune into as we talk about these things, because there’s some good stuff on here. And guys at the time we’re dropping this, I think we’re going to drop this right after Memorial Day if I’m not mistaken. Anyway, it’s right around it.


Mark: And Memorial Day is kind of the unofficial kickoff to summer. It’s not technically summer yet, right? I think it’s what June 20th or something like that. But when we get to 50 and a lot of times, if you want to think about this countdown 50 plus, it’s kind of the unofficial kickoff to retirement. We’re not actually retired yet, but we start thinking about it, paying more attention to it. So on and so forth. So John, the first one on my list is getting healthy and staying healthy. Many of us develop chronic issues in our 50s. So it’s a good time to put some thought onto this so that you can actually enjoy those golden years.


John: Yeah, 100%. I would even because I’m sure, I don’t know in the previous podcast I talk about my health issues, but I think it’s important for everyone at any age, especially though I will say 50.


Mark: True.


John: Focusing on health and getting to the gym and just do whatever makes you feel good. But when you have an health issue and you can’t do the things you were doing, I’ll tell you it’s quite a, it’s a challenge. It’s quite upsetting. And I’ll say from the clients that we work with, we see a big difference in those that actively in retirement are working out, maybe seeing a trainer a couple of days a week to those that are not. And as you age, I think it’s more, it’s very important just to stay active because you’re not recovering like you were in your 20s.


Mark: No, I think that’s a great point. I like that too. Yeah, we should start sooner. Right. But if you kind of want to put a, some sort of a time table or something to it when we get, and it kind of works with our conversation for retirement, just get there, start making some of these changes. So you can really enjoy what we call the go go years. Right. So when we first get to that early days of retirement. And then this is a really big one, we could kind of merge two and three together, but we’ll do them a little bit separately, but two Nick, is the free time. Now there’s a lot of it. And maybe silver lining in the pandemic has been the fact that many couples got to realize life together, 24/7 working from home, being at home.


Mark: Because that’s what retirement is. That’s a big shift that we don’t often talk about. We put a lot of focus on saying, yeah, we want a big travel and we want to go out and play a ton of golf or whatever. But like there’s a lot of free time and you’re spending it with that significant other that maybe you guys didn’t see each other for eight, 10, 12 hours a day. Now you’re together all the time. I don’t know how many advisors I talk to where they’re like, they have funny stories about one spouse or the other saying get them out of my house. They’re driving me nuts.


Nick: Yeah. The time challenge can be significant. I can tell you two things that I would recommend against. And those things would be watching a lot more news and,


Mark: Right.


Nick: Deciding that social media is going to be your new hobby.


Mark: It’s not your friend. Right.


Nick: If anything, there’s a pretty good documentary on Netflix. I forget what it’s called, but it’s about social media and really kind of the big data side of things and how the algorithms work and really kind of feed into things. And in general, there’s been a lot to handle for people over the last few years with the pandemic and everything else going on. So can not underestimate the importance of having constructive hobbies, doing things that kind of keep you sharp or engaged. And even from the standpoint of being social, things that you can do both alone and with others. The relief that people get from a psychological standpoint of being engaged with others and doing different things, kind of being out and about is really, really important and it’s going to help keep you fresh. It’s going to help you be able to focus on the things that are important versus the things that aren’t, and that you don’t have control over. And so, making sure that you’re developing hobbies, and we would say that that’s even separate from things like travel and that type of thing where,


Mark: Right, right.


Nick: Being inquisitive, doing things that have your brain still working are really important.


Mark: That’s a great point. And John, I mentioned blending two and three together. So two was determining what you want to do with your free time. Three, we put post retirement career, maybe career is too heavy of a term, but a post retirement something. Right. Retire away, like if you hate your job, let’s just say you despise it and you can’t wait to retire and you’re leaving with nothing else to go to. Like, I get that frustration, but I think people tend to be happier if they’re retiring to something. And maybe that’s not necessarily another career, but something like, even if you took a year off and literally did nothing, I’m sure you guys have story upon story of retirees who first enjoy doing nothing. But as humans, I think we crave some sort of structure, something to help us kind of fill the time and fill the days.


John: That’s 100%. It’s important to really start thinking about that. And I can’t tell you how many times we’ve been in meetings and it’s when do you want to retire? And the response is, well, I don’t know if I’m ever going to retire, but I want to leave this job at this age.


Mark: Right. Right.


John: So it turns into what am I going to do next? And I think kind of what you said there. My mother watches my kids and that’s kind of a level of importance to her and she watches them two or three days a week, and there’s actually a study where grandparents that kind of are helping out their children, watch their grandchildren actually live a little bit longer. And I think it’s all about that level, feeling important.


Mark: Yeah.


John: So whether that’s watching grandkids, my clients had started to be a realtor and they actually end up making more money than they were at their previous job. So whatever it is, it’s just making some type of level of importance. Whether it’s making money, helping out family, volunteering is just feeling like you got to get up and do something in the morning.


Nick: And a good way to kind of sum that up as purpose.


Mark: Purpose. There you go.


Nick: Purpose. When people feel like they have a purpose for both themselves and those around them, they tend to do a lot better.


Mark: Yeah. No I’m with you there. And we used to retire at let’s say 65 and you probably were passing away at 67, right? So sitting on the porch for a year or two and doing nothing felt great because we were tired. We were worn out. The concept of retirement is a little less than a 100 years old. So a lot of stuff is actually changed quite a bit. So a post retirement, something or another post retirement purpose instead of career. I like that. Thanks, Nick. We’ll use that. And going forward is a great way to think about that on this countdown days to retirement list. Let’s go to number four, Nick. So why don’t you throw us some things to think about in the opportunity to save more. Again, I mentioned 50, right? So at 50 plus, some stuff starts to change and there’s actually some good time to catch up a little bit or just cycle a bit more away if you need to.


Nick: Yeah. Oftentimes whether it’s in their 50s or early 60s, people have, maybe they have children coming off the payroll and they don’t necessarily plan to figure out how are they going to be able to recapture some of those dollars that they’re used to spending on the kids and kind of help them really build up their retirement and maybe catch up from all those years of taking care of the kids. That can be something that’s a big deal. One thing that’s come up multiple times in the last, I’d say three to four weeks with what’s been going on in the market is, we have clients emailing or calling us asking, Hey, the market’s down, should we stop saving? And, the way that we try to kind of explain to people is that markets are cyclical.


Nick: We have had this period of time, 10, 12 years, where the markets have generally gone up and people’s conception of what, or I should say, perception of what, typically happens in normal cycles, one to three to four year cycles is a little bit thrown off, but an easy way to think about this is that this is why we have a plan in place. You want to continue to save. And if anything the thought process is that you’re buying at a discount from what things were previously. So in a lot of ways, the market’s on sale. And so continuing to average in and chipping away and taking advantage of the benefits of being able to save money pre-tax, or those sorts of things is an important thing.


Mark: Yeah. It can make a huge dent, right? We’re hopefully making the most money we’ve ever made and all that good kind of stuff. So 50 plus there’s should be some good opportunities to sock a bit more away. And that might help John with number five, which is reducing down the debt. So even if you’re not necessarily putting more away into a retirement account, because you’ve done a good job or whatever, maybe the focus is take some of that extra money with the kids being off the payroll and get rid of some of that, especially bad debt.


John: Yeah. 100%. I mean, with rates being as low as they have been, we have seen a lot of people go into retirement with mortgages, but you’re at 2.6%, that’s nothing crazy, but let’s take mortgage out of it. Other debt definitely recommend trying to get that down and off completely, but get it off your books because when you go to retire, it’s a big cash flow, where’s your income coming from? Social security, pension, investments. The last thing you want at that point where there’s no longer a paycheck coming in is debt. What that’s doing at that point, it’s really eating into kind of things you want to do, which we talked about for hobbies or enjoyment. And then on top of it, it actually adds some stress level to Hey, I need more income coming in to pay out all these bills and all this debt. So definitely before you hit retirement, it’s good to be debt free. It’s easier to pay off the debt in your working years than when you’re not working.


Mark: Yeah. And on the concept of the house, right, there’s always the arguments back and forth there, the different things. So certainly, that can also still be on the get debt free list if you’d like. I don’t think it’s a bad idea to necessarily get rid of it, but just make sure that you’re doing that smartly and not being house rich cash poor as the saying goes or whatever the case is. So just kind of bear that in mind.


Mark: But yeah eliminating, if bought an RV or the big plans where the RV in retirement, maybe getting that paid down, if you bought it a little early or whatever, or boat, or I don’t know, muscle car, whatever it might be. Right. Just get rid of the stuff that you’ve got some debt on. And then Nick, the final one here, number six on the list on just counting down stuff is the risk conversation. So if we’re reducing our debt, maybe we ought to also think about reducing our risk. Now last year, people would’ve said, I’m not reducing my risk, the market’s on fire, but right now they’re like, okay, well let’s maybe reduce the risk. Point being at 58 should we be investing like we’re 38?


Nick: Yeah. So risk is an interesting word. And we wanted to take a little bit of time to kind of chat about this because there are different types of risk, and depending upon who you talk to, how they rank the different types of risk via priority is different. So for example, inflationary risk, which is something that we’re dealing with right now, that’s a risk. So in other words, losing the spending power of our money via inflation is something that we need to keep and take into consideration. However, we’re in this kind of perfect storm where taking too much risk, if you’re shifting money out of cash per se and moving substantial amounts of money into the market, you’re dealing with a significant amount of market risk. And then we have interest rate risk from the perspective of, as they’ve increased interest rates, that’s really pushed down the prices of bonds and bond funds.


Nick: And one conversation that we’ve been having with people is them not necessarily realizing that the bond market and even if you look at the most general bond index is down almost 10% year to date. And so we’ve been trying to take a lot of time in one-on-one meetings with people to try to explain how this has an impact and really this is a, with what we’re dealing with right now is probably the best case in the last 15 years or so to show people why it’s important to be diversified and understand that trying to fully time the market, whether it’s from the stock side to the bond side, to the cash side, real estate, et cetera, it can be really tricky. And when things are going great, it’s hard to remember that, but right now it’s showing us that it’s really important to make sure that when we think about our risk, that we’re taking into consideration poor times, not just great times and understanding that just because maybe throughout the majority of your investing career, taking less risk has meant, Hey, let’s reduce our stock exposure and increase our bond exposure.


Nick: It doesn’t mean that that’s always going to stay flat or go up, there’s risks along with that too. So, diversification, understanding that sometimes we do run across periods of time where we just kind of have to take our medicine where all markets have been up for the most part over the last 12 years. There’s going to be times where we run into corrections, which is kind of what we’re dealing with now. And we have to be patient and try not to go overboard with overreacting to the short period of time. Sometimes looking at the lens through the last, even one year, two year, three year period of time and realizing that in the scheme of things we need to just kind of stay steady.


Nick: But yeah, in general, I would say that making sure that you kind of do an update on what you feel comfortable with from a risk parameter. Now is a good time to reevaluate that. Because what we have seen is that people have been comfortable with a certain amount of risk over the last 10 years, because things have just been going up. And so now that things aren’t just going up, what they thought of risk and how they feel comfortable managing it is substantially different than it has been.


Mark: Yeah. Oh definitely. Our risk tolerance level’s been like, yeah, I’m fine. I’m fine with the risk. I’m fine. Whoa, wait a minute. I’m not so fine now, right?


Nick: Yeah. The risk over the last 10 years has been okay. I’m okay getting 8% instead of 15%,


Mark: Right.


Nick: Not oh, I’m okay being down negative 11 versus negative 20.


Mark: Yeah. Yeah.


Nick: Everything’s been more on the positive side of things and even with COVID, we had the fastest bear market in history where it boomeranged right back up. And so even though that only happened a couple years ago, people have already forgotten about that.


Mark: Oh yeah. Yeah.


Nick: So, yeah. And I can’t emphasize enough the importance that this sheds on having a plan and thinking longer term.


Mark: Well, there you go. So that’s some countdown items to think about for the days towards retirement, sixth list, list of six things there, excuse me, that you can think about and address towards your retirement strategy. And those are the things that you’ll go through when you have a plan put in place when you’re working with a team like the team at PFG Private Wealth. So if you’re not, then reach out to them and have a conversation, set up some time to get that started, pfgprivatewealth.com, that’s pfgprivatewealth.com. That’s got all the tools, tips, and resources there. You can schedule some time. You can reach out to John and Nick and the team and get started that way. Of course, you can also find the podcast, subscribe to us on whatever platform you like to use there. So you can catch future episodes as well as check out past episodes. Again, pfgprivatewealth.com. That’s going to do it this week for the podcast for John and Nick. I’m your host Mark. We’ll see you next time on Retirement Planning Redefined with John and Nick from PFG Private Wealth.

Ep 48: Secret To Retirement Success: Get Out Of Your Own Way

On This Episode

There are plenty of external factors that often negatively influence our chances of having a successful retirement. But often, failure comes from within. On this episode, we’ll talk about some of the common ways people get in their own way when it comes to financial planning.

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More Episodes

Check out all the episodes by clicking here.



PFG Private Wealth Management, LLC is an SEC Registered Investment Advisor. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. The topics and information discussed during this podcast are not intended to provide tax or legal advice. Investments involve risk, and unless otherwise stated, are not guaranteed. Be sure to first consult with a qualified financial advisor and/or tax professional before implementing any strategy discussed on this podcast. Past performance is not indicative of future performance. Insurance products and services are offered and sold through individually licensed and appointed insurance agents.

Here is a transcript of today’s episode:


Mark: Hey, everybody. Welcome into another edition of the podcast. It’s Retirement Planning Redefined with John, and Nick, and myself. And we’re going to talk about the secret to retirement success. Here, it is. Get out of your own way. Typically, we are the success or the reason for failure, one of the two, because we tend to muck up the works ourselves by often injecting our emotions and thoughts into these things. And rightfully so, because that’s part of it, which I think, again, we’re going to talk about the value of working with a team and some professionals like John and Nick, because we tend to get in our own way. And I think we all realize that we do that in many aspects of life, and certainly money is one of those. What’s going on, guys? How you doing this week, Nick? What’s up buddy?


Nick: Everything’s great. Perfect.


Mark: Yeah. Rock and rolling?


Nick: Yep.


Mark: Feeling good?


Nick: Yep. It’s great.


Mark: That’s fantastic. John, how you feeling my friend?


John: Doing all right. A little upset over the weekend. The Celtics lost game three to the Miami Heat, but there’s another game tonight. So-


Mark: Another chance.


John: Hoping that they could tie up the series.


Mark: There you go. Fantastic. Well…


Nick: Yeah. I’ll throw in a good gold [inaudible 00:01:01] lightning, our own fire.


Mark: Okay.


Nick: Free nothing as we record this.


Mark: Nice. Very nice. So what do you think about my statement there, getting out of our own way? There’s lots of external factors obviously, that negatively influenced stuff in our retirement world. Right? We can’t control the markets, but we can control how we react to them. Do you feel like that’s a fairly accurate assessment of finding some keys to success sometimes is, getting out of your own head?


John: Yeah. Yeah. I would 100% agree with that. And we’re seeing that right now where the market is, it’s down year to date. There’s a lot of negative news out there and, there’s always negative news out there. But there’s a lot of things happening in the world and it’s creating a lot of fear. And what that does is it really eats into people’s perceptions of what’s going on with their portfolios. So naturally what’s happening is, hey, when is the bleeding going to stop? Do I need to pull out of the market? Do I need to get more conservative? What should I do? So this is really a period of time where, important to get out of your own way and just stay the course.


Mark: Yeah.


John: And we harp on it quite a bit in all of our podcasts, but this is where the plan is essential, because we’ve had some reviews and people are nervous and rightfully so. But when they see the plan, it’s like, how does this 10% pull back, whatever it is at the time, affect your overall plan? And they look at it and they say, oh, it doesn’t really affect that much, just yet.


Mark: Right.


John: And when they see that, it’s like, oh, okay, that makes you feel a little bit better. See where I’m at. So yeah, 100%, stay the course and definitely get out of your own way so you make good decisions.


Mark: And I think if we’re talking with the market being the first one on the list, fear and greed, that’s the normal stuff, jumping in and jumping out. And we tend to feel like it’s the only thing we can do are these two things anyway. A lot of people, we’re going to touch on that in a minute as well, but often it’s well, all I can do is the market are cash and the market’s scaring, the pa jeepers out of me so let me just jump out, and that’s typically when we’re making the wrong decision, especially if you don’t have a plan. So having a strategy in there, because yes, it stinks when we’re losing, we talked a little bit about on the last episode. Everybody’s fine with risk when the markets have been on fire for 12 and a half years or whatever, but when they get real shaky for a few months, that’s when people tend to get in their own way and allow that fear or greed to jump in there.


Mark: So since we covered that one on your initial part there, John, I’m going to jump to number two. No, go ahead. If you’ve got something else.


John: Yeah, yeah. One, actually you mentioned greed there and actually, it plays into the fear thing as well-


Mark: Okay.


John: Because, we’ve talked about the markets running up and when that’s happening it’s, I only got X percent this year. If I was more aggressive, I would’ve got a little bit more. So we have had those conversations where it’s like, hey, should I get more aggressive? And the answer is no. Go to the plan, look at your risk tolerance, stay the course because when you try to get greedy and then all of a sudden, let’s say you do go to a more aggressive portfolio.


Mark: Right.


John: And we have a big pullback in the S&P and in equities and all of a sudden, you’re more nervous than you should be because you’re taking more risk. And now you start to jump out and you get to that fear stage and you just make bad decisions.


Mark: Yeah. Great point. Great point. Well, Nick, talk to me a little bit about getting in our own way, when it comes to picking an investment or doing something solely because we think it’s a tax help, right. It’s not part of the plan, it doesn’t make sense in other arenas. The idea is, no I’m doing this simply for the tax advantage. Is that a bad move?


Nick: Yeah. A really good example of this would be towards the end of last year, early this year, we made a pretty big cycle in client’s portfolios from the growth side of the market to the value side of the market. And so that did cause some capital gains and probably a bigger capital gain shift than we typically have for clients that are in taxable portfolios. But again, the premise was that we felt strongly that moving forward, it was going to be something that benefited them from a performance standpoint, which is the number one priority. And that’s really turned out to be the case where really the value markets are down closer to 3% or 4%. The growth markets are down close to 30%. So that’s kind of a perfect real world, real life example of, yes, nobody likes taxes, but sometimes taking some gains and recycling the portfolio and shifting to where we think things are going to look better moving forward, is something that makes sense.


Mark: Yeah.


Nick: Taxes are again, something that people don’t like and when we want to, we avoid it, but it should rarely ever be the number one priority in any sort of financial decision making.


Mark: Yeah. Don’t let the tax tail wag the dog, as the saying goes, don’t do something solely for the tax advantage, especially if it doesn’t fit well into the overall strategy. And I’m glad that you brought up that point there where, looking at that and saying, hey, we do things, they all work together. There’s a lot of these puzzle pieces that ebb and flow and move in and out together. So sometimes you do one thing and it has a ripple effect to another. And that’s a great point. So I’m glad you brought that up.


Mark: John, another one on here is the cash conversation. I mentioned a minute ago, people tend to think there’s only two options, the market or cash. And when it gets choppy, we go heck with this, I’m getting out and going to cash. And then we can even, maybe even just right now, we might even find this need to justify it by going, well, the Fed’s ticking the rates up so I’ll get a little bit more in cash, right. Even though it’s nothing compared to inflation, but anyway, that can be a bad decision. You’re getting in your own way. And then you might wind up just sitting there too long. And I mean, what if you jumped out in April of 20, when the pandemic was happening, we’re down 30%, you jump out, you sell, you get your losses locked in and you stayed in cash the rest of 20. Well, you missed a heck of a second half.


John: Yeah. That that’s accurate. And that’s why it’s always important to stay the course, because timing to get back in is almost impossible. Because the rallies up happen really within, if look at historically, it’s always a couple of days or a week or two.


Mark: Right.


John: And if you miss it, you miss a majority of it. So important to stay the course. Be in the right risk tolerance so you don’t go to cash or something like that. And then we have seen this quite a bit as well with cash in the sideline. And it can happen in an upmarket where we’re hitting all time highs constantly, because it’s like, hey, I don’t want to put this money in because we keep hitting highs, it’s going to come down at some point. And then now where it’s the reverse, where we’re having a pull back and it’s like, well I don’t want to put the money in because it’s currently going down. So strategy against that would be dollar cost averaging into the market. Just piecemealing it and that typically will help some people get back into it with less risk.


Mark: Yeah.


John: And there are other strategies involved, but definitely you got to put your money to work [inaudible 00:08:15] pace inflation and especially nowadays.


Mark: That’s a great point for sure. All right. So Nick helped me out here, buddy. I don’t want to fall to fear. I don’t want to necessarily fall to greed. I don’t want to make bad choices from a tax standpoint. I don’t want to go to cash and do nothing. Well now I don’t know what to do, I’m just stuck. That’s number four on my list. We overthink it to the point where we just freeze and we do nothing. And as the song says from the great Canadian rock band Rush, if you choose not to decide, you still have made a choice. So doing nothing is just as bad sometimes as doing something in the wrong way.


Nick: Yes. The overthinking side of things is definitely something I have empathy for people with. It takes me about a month to book a trip and probably sitting down five different times with 20 tabs open each time. So I get the process issue.


Mark: Well, humans procrastinate. Doesn’t make you bad, it just-


Nick: Yes. Yeah.


Mark: We all do it. Yeah.


Nick: For sure. But what this does and people hear this a lot from us because we talk about it a lot is, it’s the importance of the plan. So a lot of times what ends up happening is, the reason that people are frozen with indecision is because they’re worried about their process. They’re worried about the outcome and usually the fear of the unknown is more fragile and worse than actually knowing, having some certainty on what things look like, even if they’re not ideal. So when we have people that are overthinking things or are really fretting about a certain decision, usually what we try to do is go back to the plan. So hey, let’s re-review the plan. Let’s look and see what things look like. And one of the things that we emphasize with clients that work with us from a planning perspective, is trying to help them start to make decisions differently.




Nick: And so the way that we do planning, the way that we’re able to model out different situations and scenarios, we’ll joke with people, let us tell you no. Because a lot of times what happens is people are limiting themselves out of concern of the unknown. And so, let us be your guardrails a little bit, let us be the bumpers in the lane to use an analogy and we’ll help you work through these decisions, but instead of worrying about what the outcomes are. It’s almost impossible for people to figure out all the outcomes on their own.


Mark: Yeah.


Nick: And so let us help you figure out, let’s see the potential outcomes, let’s see what we can do to mitigate some of the risks associated with it. And we can really narrow down. And so having that open door policy with clients and having them work with us, to work through these sorts of decisions where, we’re a team member versus them trying to figure it out on their own is really important.


Mark: Nah, I like that. And I’m a heck of a bowler with the bumpers up. I’m just saying, so.


Nick: Yeah. Yeah. For sure. It definitely increases the average.


Mark: It did a little, just a little bit. So to check this out, John, let’s do one more here on this conversation about getting in our own way. So a friend of mine, super nice guy, we’re chatting the other day and this is what he says to me. Tell me what your reaction to this. So he says, Hey, my neighbor and I, we’re good buddies. We’re the same age. And our house costs the same amount of money, roughly that, where we live here. He’s going to cash. And he’s like, and I know you talk about stuff on podcast and stuff all the time. He’s going to cash and he’s advising me to do the same thing. I think it’s a good move. And I said, why? Because you’re the same age and your house costs roughly the same? Don’t you think there’s like about a million more things you could base this on?


Mark: So my point being is, is getting advice from people who really don’t need to give you advice. I’m sure his friend and his neighbor didn’t have any ill intention, but that just seemed like a goofy scenario to me. It’s water cooler talk, so many of us do that.


John: Yeah. Yeah. We see that quite a bit where people are, my friend’s doing this or like you said, my neighbor’s doing this, but we have to constantly remind [inaudible 00:12:20] everyone that every situation’s completely different. Something that might be good for someone else isn’t good for you. And that’s the importance of really getting the plan and making sure all your decisions are based on your plan.


Mark: Yeah.


John: And not your neighbor, not your cousin, not whoever-


Mark: Cousin Eddie. Yeah. Right.


John: Yeah. What we typically find with this is everyone always tells you about their good decisions. Like, oh yeah. I went for cash and this is what happened. They don’t tell you when they didn’t make a good decision.


Mark: Yeah.


John: It’s not exciting to talk about when you lost money or lost an opportunity. So definitely want to leave it to the professionals and not a neighbor, a buddy that really doesn’t have much experience in navigating these environments.


Mark: Yeah.


Nick: Yeah. It’s the whole wins in Vegas scenario.


Mark: Exactly. Exactly.


Nick: People always talk about the wins and I just want to jump in on this one-


Mark: Sure. Go for it.


Nick: Because one of the things that I’ve been trying to emphasize with clients as well, especially those that are new to maybe, having an advisor or a planning relationship is that the advice that we’re giving for them is the advice that we’re giving at that set place and time. And so meaning, people tend to feel more comfortable when there are like general rules of thumb or those sorts of things. And so maybe it’s a question like, a basic one that happens all the time is extra payments towards the mortgage or not. And so one of the things we’ve been trying to really get through people’s heads is that, hey, we may be telling you to not do that right now, but it’s because we have goals over the next one to three years that we’re trying to hit because of X, Y, Z factors. And that might be something that we target three years down the road, but right now, it’s more important for you to do these other things, to put yourselves in a better position to be able to do that.


Nick: And so what having that kind of conversation with people have seen the light click on quite a bit, because giving them the situation where, Hey, let’s take you and your friend, and let’s say that nine out of ten factors are the same, but that one factor can dramatically change-


Mark: Yeah.


Nick: The advice. And so even though you might feel like you have a twin in so many different ways, that one factor can be a huge differentiator on the sort of advice or the sort of strategy that you should have in place from a financial perspective. And really, you hear people talk about, each situation’s unique, but really being more specific in helping them realize that has been something that has been helpful for some people lately, especially with the choppy waters that we’ve been in the last four or five months.


Mark: Oh, absolutely. I mean, you listen to this podcast and there’s three guys on here having a conversation, but the three of us need different things for the time of life that we’re in and whatever’s going on. You two might be similar in age for example, but one’s got kids, one doesn’t.


Nick: Exactly.


Mark: I’m older than exactly you guys. So there’s a million variations could go into what you need individually. So again, I don’t think that the neighbors or coworkers or cousin Eddie or whatever it might be mean any ill will, but it’s just not the best advice. So again, getting in our own way sometimes is listening to those people who really we shouldn’t be listening to. So that’s going to wrap it up this week for the podcast. So the secret to retirement success is you and how willing you are to not get in your own way, to make sure that you realize the things that you know, and the things that you can do, and then turning to those people to help you in those shortcoming areas.


Mark: I don’t pretend to try to rebuild my car from the ground up, because I have no idea how to do that. Sure, I can change some spark plugs and change the oil, but that’s the limit of my knowledge. So I’m not going to tear the whole thing apart and start from the ground up. Same kind of idea. So that’s the conversation, make sure that you reach out to John and Nick. If you’ve got some questions, if you’re worried about sabotaging yourself, doing some things you shouldn’t be, especially in these choppy waters, as Nick mentioned, it’s easy to do. It’s easy to let that little fear monster jump up and nibble in our ear. So reach out, have a conversation with the team at PFG Private Wealth, before you take any action, especially if you feel like you need to make a change.


Mark: I think that’s a fundamental thing that we do as humans as well. Sometimes we feel like if we’re not doing something, we’re doing something wrong and often not doing anything could be a good move for your situation, but you need to find out through the process of getting a plan put together or just reexamining the plan that you may already have in place. So pfgprivatewealth.com is how you make it happen. That’s where you can find John and Nick and the team at PFG Private Wealth. Again, pfgprivatewealth.com. Pretty easy to remember and reach out to him if you got some questions or concerns, get on the calendar, hit the subscribe button for whatever platform you like to use. Athol, Google, Spotify, so on and so forth. For John and Nick. I’m your host Mark. We’ll see you next time here on Retirement Planning Redefined.