Financial Planning Consultant Boise ID

Financial Planning Consultant Boise ID

4 Phases of Retirement

Posted by on Mar 12, 2019 in Certified Financial Planner Boise ID, Certified Senior Advisor Boise ID, Financial Advisor Boise ID, Financial Planner Boise ID, Financial Planners Boise ID, Financial Planning Consultant Boise ID, Financial Services Advisors Boise ID | Comments Off on 4 Phases of Retirement

4 Phases of Retirement   In your retirement planning, do you think about what you are going to do? For 8,000 days? Or 22 years – one third of your adult life. Many focus on what they are retiring FROM. Not enough emphasis is placed on what they are retiring TO. Dr. Joseph Coughlin of the MIT Aging Lab has divided the 8000 days of retirement into 4 phases.   1.Honeymoon Phase You spend time doing the things you wanted to do but work interfered. Many do a lot of travel. Their Facebook posts are full of the places they have been. You may discover the many roles work played in your life. The Rand study reports the top 4 reasons people continue to work. 90% Staying healthy 87% Money for extras 82% Staying socially active 79% The challenge   Work provided a structure – something that got you up in the morning. It gave you a sense of purpose and for many, a sense of identity. In retirement, you will need to explore a new purpose. What are your interests, hobbies What causes are you passionate about? Do you want to try a different career? Are there civic organizations where you would like to volunteer? I have observed that those who explore their interests while working, stay engaged in retirement. Those who are consumed with work frequently flounder in retirement. Often going back to work. Work is often a person’s social setting. How will you replace your relationships when you stop working? Studies are showing social interactions is important for your sense of well being. It impacts your health and your cognitive abilities. Don’t wait until you retire to replace that social network.   2.Big Decision Phase This phase pops up throughout the 8000 days of retirement. “Where will you live?” is a question that gets answered 3 to 4 times on average in retirement. Will you live near the grandkids? Will you downsize? Have less home to care for, free up equity. Or are there too many memories to leave behind? Or do you need the large home for family to come and visit?   Do you have a home you can age in place? Live with a family member? When is the right time to move to a retirement facility?  Many facilities have independent living, assisted living and memory care, allowing you to age on the same campus. In the aging process you want to think about maintaining your lifestyle, transportation to community activities, social engagements, doctor appointments. Family dynamics can be critical decisions in retirement. 61% of parents are helping adult children. 28% of adult children are helping their aging parents. These are financial decisions that can derail your own retirement if you are not careful.   3.Navigating Longevity Managing your health is important in all phases. As you age, that can consume more of your time. You may have multiple doctors to confer with. While you are now eligible for Medicare, the paperwork is still tedious. Area Offices on Aging have advocates to help you resolve issues. Or they may direct you to Senior Services. Caregiving becomes a bigger factor to consider. Frequently one spouse is caring for the other. Are you going to use outside help or expect family to help? How do you maintain your home with the added responsibilities of care giving?  If you are in your 60’s and newly retired, handling the aging process may seem to be a distant future. If you have been the caregiver for aging parents, it may be more relevant to plan for it now. Awareness...

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3 Ways To Know When You Are Ready To Retire

Posted by on Mar 5, 2019 in Certified Financial Planner Boise ID, Certified Senior Advisor Boise ID, Financial Advisor Boise ID, Financial Planner Boise ID, Financial Planning Consultant Boise ID, Financial Services Advisors Boise ID | Comments Off on 3 Ways To Know When You Are Ready To Retire

3 Ways To Know When You Are Ready To Retire

3 Ways to Know When You Are Ready to Retire   There’s a pretty good chance that your parents and grandparents retired just because they turned 65. Today’s retirement is a bit more complicated than that. While age is still an important factor, your ability to connect your financial resources to your lifestyle goals is what will truly determine if you’re ready to retire. Here are three important markers to cross before you crack open your nest egg: 1.You’re financially ready The most common question we field from our clients is, “How much do I need to retire?” While there’s no magic number to hit, a few key checkpoints are: You have a budget. Many clients who are preparing to retire tell us they’ve never kept a budget before. Time to start! If you have any big plans for early in your retirement, like remodeling your home or a dream vacation, let us know so we can discuss front-loading your annual withdrawal rate. Your debts are paid. No, you don’t necessarily need to pay off a fixed-rate mortgage before you retire. But try to reduce or eliminate credit card balances and any other loans that are charging you interest. You have a cash reserve for emergencies. Life still happens during retirement. Having ready cash prevents a problem from becoming a crisis. Your age, retirement accounts, and Social Security plan are all in-sync. If you’re planning on retiring early, be sure that your retirement accounts won’t charge you any early withdrawal penalties for which you’re not prepared. Also keep in mind that the earlier you take Social Security the smaller your payments will be. Can you afford to live without Social Security until age 70 to maximize your benefits? You and your spouse have a health care plan. Medicare insures individuals, not families. If only the retiree is 65, the younger spouse will need to buy health care elsewhere. 2.You’re emotionally ready We spend so much of our lives working that our jobs become a large part of our identities. Rediscovering who we are once we stop working can be a major retirement challenge. To prepare for this emotional transition: Talk to your spouse ahead of time. Don’t wait until your last day of work to discuss how both of you feel about retirement. What do each of you imagine life will be like? What are the things you’re excited to do? What are you afraid of? What can each of you do to make this new phase of life as fulfilling as possible? Make a list. What are the things you’re passionate about? Something you’ve always wished you knew more about? A skill you’d like to develop? A cause that’s important to you? An ambitious business idea that was too ambitious for your former employer? Spouses may not be ready to retire at the same time. One may enjoy their job while the other is ready for new adventures. Often health insurance is a big ticket expense before Medicare eligibility. Employer provided coverage may be necessary for a few more years. Check that your estate plan is in order. It’s understandable that many people avoid this part of their retirement planning. But putting together a legacy that could impact your family and community for generations can have tremendous emotional benefits. The peace of mind that comes from knowing the people you care about are taken care of can empower you to worry a little less and enjoy your retirement more. 3.You’re ready to do new things Ideally, the financial piece of this conversation should make you feel free enough...

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Personal Cyber Threat

Posted by on Feb 19, 2019 in Certified Financial Planner Boise ID, Certified Senior Advisor Boise ID, Financial Advisor Boise ID, Financial Planner Boise ID, Financial Planners Boise ID, Financial Planning Consultant Boise ID, Financial Services Advisors Boise ID | Comments Off on Personal Cyber Threat

Personal Cyber Threat

Personal Cyber Threat   IRS Scams   Tax season is here – Expect an uptick in tax phishing emails. 2018 saw a doubling of tax related scam incidents. Sometimes emails appear to come from tax preparers or the IRS itself.   The fraudulent emails often ask recipients for personal information. Or lead them to a website where they can input this data. Tax payers should be cautious when opening any email that asks for personal information.   When in doubt, delete the email and call the sender yourself to verify.   Credit Card Fraud   Credit card fraud continues to rise despite the rollout of chip based cards according to a report by Gemini Advisory. The new EMV chip cards were designed to reduce in-person fraud. The chip makes it difficult for card data to be stolen.   However, the study found fraud is on the rise. This may be due to the fact that many merchants have not upgraded to chip readers. Instead they ask customers to swipe the card’s magnetic strip which is much less secure.   Use the chip reader when ever you can. If your card’s chip is not working correctly, get your card replaced. Don’t default to the magnetic strip any longer than it takes to replace your card.   What does a Social Security number cost?   Why is identity theft & cyber security scams on the rise? Because it is easier and safer than stealing cars, robbing banks or dealing drugs.   In just a few minutes and $3, one can buy a Social Security number online. Experts report that so much data is online, it is quick and cheap to buy stolen personal information on the internet.   For example, a random Social Security number will run you 5 cents. The number of a specific person is $3. Your complete credit report costs $100; bank account username and password can be sold for $270 to $1,100 depending on your balance.   Protect your personal information. Freeze your credit report. Protect your banking information with a separate email for financial sources.   Be Smart! Stay Alert! . . . . #Trustedfinancialadvisor #boise #idaho #boiseidaho #taxbenefits #PLF #choosetosucceed #family #friends #financial #PeggyFarnworth #cpa #cfp #irsscam  #phishing #emails #tax  #taxpreparers   #emvchipreaders #socialsecurity #cybersecurity  #identitytheft #online #internet #creditreport #username #password #information #bankinginformation #fraud...

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5 Keys to Investing in 2019

Posted by on Jan 30, 2019 in Certified Financial Planner Boise ID, Certified Senior Advisor Boise ID, Financial Advisor Boise ID, Financial Planner Boise ID, Financial Planners Boise ID, Financial Planning Consultant Boise ID, Financial Services Advisors Boise ID | Comments Off on 5 Keys to Investing in 2019

5 Keys to Investing in 2019   2018 was turbulent for the stock market. Will 2019 be any better? American Funds has a great article every nervous investor should read. The 5 keys are: 1. Volatility is back. Prepare for more. 2. Don’t let declines or recessions derail your investment plan. 3. Stay balanced with a diversified equity portfolio. 4. It’s time to upgrade your bond portfolio. 5. Keep a long term view. The full version is below. 5 keys to investing in 2019 Capital Ideas Editorial Team January 9, 2019 What a difference a year makes. U.S. investors, who had cheered synchronized global growth and tax cuts at the start of 2018, had by the end of the year increasingly focused on geopolitical tensions abroad and plunging asset prices at home. What can investors expect in 2019? New challenges and compelling investment opportunities are sure to arise. Here are five key investment themes to help you navigate the markets this year. 1. Volatility is back. Prepare for more of it. An extended period of historic calm in equity markets came to a screeching halt in 2018 as volatility resurfaced in most markets. For example, after recording daily declines of 1% or greater only four times in 2017, the Standard & Poor’s 500 Composite Index fell by more than 1% on 32 separate days and more than 3% on five days. Overall, global stocks declined for the first time since 2015, as the MSCI ACWI slid 9.4% in U.S. dollar terms. Investors can expect volatility to continue throughout 2019 as the primary trends driving the turbulence last year are likely to persist. Among these are the ongoing trade dispute, rising U.S. interest rates and mounting debt levels. With regard to global trade, in early January leaders from the U.S. and China initiated discussions to resolve their ongoing dispute. However, investors are mindful that the disagreement could drag on as tariffs continue to disrupt the flow of goods among the U.S., China, Europe and other trade partners. After raising interest rates four times in 2018, contributing to some of the market turbulence, the U.S. Federal Reserve has recently indicated that it may pause or slow rate hikes in 2019. While this may be heartening to uneasy investors, the Fed continues to sell assets to reduce its balance sheet, contributing to tighter monetary conditions. The tighter conditions, along with uncertainty over how the Fed plans to proceed could fuel volatility going forward. Meanwhile, thanks to the historically low rates of recent years, debt levels have escalated as government agencies, consumers and companies have aggressively taken advantage of cheap debt. As debt-service costs rise, borrowers may have to limit their spending. Although volatility can be jarring, remember that it is part of how markets function. During times of market extremes, investors who can contain their emotions will be well served. Rather than taking rash action, make sure that portfolios are well diversified to weather market ups and downs. 2. Don’t let declines or recessions derail your investment plan. Signs pointing to a lengthy bear market or an economic slowdown tend to put investors on edge. That is understandable. Steep market declines feel horrible and can induce investors to abandon stocks to avoid further pain. And recessions do inflict real damage, including job losses as companies pull back. But history shows that establishing a long-term investment plan and sticking with it through recessions and bear markets can be rewarding. Indeed, a long-term focus can put economic slowdowns and down markets in perspective. Periods of turmoil and steep market declines have subsequently proven to be among the best times to invest. Since...

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Don’t let the Grinch steal your Christmas!

Posted by on Dec 21, 2018 in Certified Financial Planner Boise ID, Certified Senior Advisor Boise ID, Financial Advisor Boise ID, Financial Planner Boise ID, Financial Planners Boise ID, Financial Planning Consultant Boise ID, Financial Services Advisors Boise ID | Comments Off on Don’t let the Grinch steal your Christmas!

Don’t let the Grinch steal your Christmas! The market volatility of the fall has investors nervous.  Threats of trade wars, increasing interest rates feel like head winds. Listen to the video from Bob Carey, chief market strategist from First Trust.  He states stocks have gone “on sale”.  Corporate profit reports will be out in January showing profits companies have made for the year. https://www.ftportfolios.com/Commentary/MarketCommentary/2018/12/20/call-us-crazy—stocks-on-sale-as-we-head-into-2019 So take a deep breath and enjoy the holidays! . . . . . #Grinch #Christmas #investors #nervous #tradewars #increasinginterest #headwinds #bobcarey #chiefmarketstrategist #firsttrust #stocksonsale #corporateprofitreports #january #profits #companies #PLF #PeggyFarnworth #financialadvisor #wealth #choosetosucceed #portfolios #commentary #market #marketcommentary #calluscrazy #stocksonsale #2019 #breath #enjoy #holidays #cfp #cpa #financialservices...

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Freezing Your Credit is Now Free

Posted by on Oct 31, 2018 in Certified Financial Planner Boise ID, Certified Senior Advisor Boise ID, Financial Advisor Boise ID, Financial Planner Boise ID, Financial Planners Boise ID, Financial Planning Consultant Boise ID, Financial Services Advisors Boise ID, Peggy's Pearls | Comments Off on Freezing Your Credit is Now Free

  It’s Free! It is now free to freeze your credit with all 3 credit bureaus- Equifax, Experian and TransUnion. AARP did a survey in Massachusetts, only 13% of those who had fraudulent charges on their credit card took action. Many feel overwhelmed with all the security breaches occurring at companies holding sensitive data. They feel it is inevitable they will have their identity stolen. Don’t Give In! Thieves won’t exert extra effort to hack your identity. They will go for the low-lying fruit- don’t let it be yours. – Freeze your credit. A credit freeze is the best way to stop hackers from opening new lines of credit in your name. A credit freeze locks your files with a PIN. New credit can only be approved when the PIN is temporarily lifted from your account. In order to be secure, you must freeze your credit at all three of the big credit bureaus. This can be done online or over the phone. Equifax- www.Equifax.com – 1-888-548-7878 Experian- www.Experian.com – 1-888-397-3742 TransUnion- www.TransUnion.com – 1-800-916-8800 This is a relatively easy process. You do need to put your PIN for each credit bureau in a secure place. New credit can only be approved when the PIN is temporarily lifted from the account. Ask the creditor which bureau they use and lift the freeze for only 1 bureau. If you visit the websites, don’t get drawn into their credit protection program for a fee. You don’t want notification after a breach has occurred. You want to prevent it. Yes, they may cover costs of restoring your identity but so do most homeowner policies. A credit freeze won’t prevent an existing credit card from being used fraudulently. You will need to report the fraudulent use to have charges removed. You will also need to have a new credit card issued. These steps are minor to correcting Identity theft. That is a painful disruptive process that can take months to correct. Take preventive measures- Freeze your...

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