This week, Mike discusses concrete steps you can take to set your self up for retirement success. He walks you through each decade of your retirement planning journey and points out how your priorities – and strategies – must change as you go along. Listen to this episode to hear how you can have the retirement you’ve always dreamed of!

Listen to Previous Episodes: https://moneymatterswithmike.com/episodes/

Connect with Mike: https://moneymatterswithmike.com/contact/ | (704) 560-1573

Subscribe to our YouTube Page: https://www.youtube.com/@MoneyMattersWithMike

About the show:
On the show, you’ll learn key strategies to help protect and grow your wealth and provide for lifetime guaranteed income. Mike is committed to helping retirees hold onto more of their hard-earned wealth and is a big advocate of helping his clients reduce the total taxes they’ll be required to pay during their retirement.

Quote of the Day
Market Update Icon

10.4.24: Audio automatically transcribed by Sonix

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

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

Speaker2:
Welcome to Money Matters with Mike, with your host, Mike Zeno. Get set for a full hour of financial information and economic news affecting your bottom line. Mike works hard each day to educate Americans like you on how to reach the financial freedom they've worked so hard for. And he can help you too. So now let's start the show. Here's Mike Zeno.

Speaker3:
What's up people? Happy Saturday and welcome to the show. I am Mike Zeno, coming to you from Fort Mill, South Carolina, and we have got a ton of great information for you today as we're going to show you how to plan for the future amid so much uncertainty. As always, I have the distinct honor and privilege of being joined by the one and only my co-host and producer extraordinaire, Mr. Matt McClure. Matt, how are you doing today, brother?

Speaker1:
I'm doing great, Mike. I hope you've had a nice, busy week in a in a good way anyway. Yes.

Speaker3:
Um, I'm I'm, I got the opportunity to go play some, uh, famous golf courses this week out in Northern California. So, um, I thoroughly enjoyed my time this week. I took a little time for myself so that I could recharge and better serve each of each of my, uh, my clients.

Speaker1:
That's absolutely great. And it's, you know, it's much needed. You got to have a little you time to recharge, to reset a little bit, and then be fresh and ready to go, not only for a new week, of course, here on the show, but for a new week, working with folks, helping them build a better financial future. Because that's what it's all about. I mean, that's what the show is all about. But that's really what every day is all about for you, and what you do and how you help folks here in the greater Charlotte area and upstate of South Carolina every single day. Absolutely.

Speaker3:
And, Matt, I actually work nationally. All right, there's this, uh, this technology called zoom. There's another technology called FaceTime. Another one, believe it or not, that some people still use called Skype, Google Meet. We can go on and on. Teams. Right? We I see people all across these great United States, and I love meeting with them to discuss how we can actually help them reach their retirement and financial goals, whether that be with retirement planning, with risk management, with estate planning, as well as a whole lot more, because building sound financial plans for my listeners is what I do best.

Speaker1:
And if you want one of those 100% complimentary consultations, it's very easy to get one set up right now, whether it is in person or through zoom or, you know, down at the local coffee shop, Mike and Mike will meet you just about anywhere. And I say just about, you know, there are certain places maybe you won't go, but there are almost no lengths to which Mike Zunino won't go to meet with you. But seriously, all you have to do to get it set up is go to Money Matters with mike.com and schedule that consultation there. That's Money Matters with mike.com. You can also call him at (704) 560-1573. 704560 1573.

Speaker3:
And folks, if you have not checked us out on the socials, if you haven't been to the Money Matters with Mike Facebook page, I urge you to go check it out. You can comment on any of our posts. You can ask questions. We can have some dialogue, whether that be on private, um, messenger or right there. Because chances are, if you're thinking of a question, there are thousands of other people who have thought about that asking that exact same question. And we can help a lot of people with your participation on Facebook. So just search. Money matters with Mike by going to the Facebook.

Speaker1:
Yep. And do the same thing on YouTube as well. Just go to the YouTube app or youtube.com in your web browser. Search for Money Matters with Mike and he'll be glad to help you there. Also, you know you can go there and see a bunch of highlights from the show. Speaking of that, you can also get the full episodes of the show going back. You know, two plus years now about about two and a half years now, we've been doing this. And you can do that via any podcast app that you can think of. I mean, anywhere you subscribe to podcasts already, go there, search for Money Matters with Mike and get all of those previous episodes. Chances are, as you said Mike, about the, you know, people having the same sorts of questions. Um, because, you know, there are a lot of things out there, of course, that you're not alone. If you have a question about this, that or the other regarding your financial life. Chances are somebody else has that same question. Well, also, chances are we've talked about it on an episode of the show as well. So you can just go and search through those episodes and see if you find something that that suits your fancy there as well. All right. Let's get started here as we've got a bunch of stuff to get to over this next half hour of the show. We'll start off as we do each and every time around with our financial wisdom. Quote of the week.

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

Speaker1:
And this time around, the quote comes from author H. Jackson Browne, known for his motivational book. Really? That was a big hit back in. I think they're the late 80s, early 90s kind of time frame. I remember I think my mom had this book called Life's Little Instruction Book, and it was something that she very much enjoyed. And so here is the quote from H. Jackson Brown. The best preparation for tomorrow is doing your best today. I absolutely love that quote. It actually says a lot with just a few words.

Speaker3:
It does. I mean, Matt, the future is uncertain, right? So this week we are focusing on the importance of taking action now in order to secure a better future, especially when it comes to retirement planning. The steps that we take today can greatly impact our lives tomorrow. So I want to dive into some essential retirement planning strategies and provide you with information that you absolutely need to know, so that you can make the most of your today and ensure a comfortable tomorrow.

Speaker2:
Hungry for something to chew on. Here's some meat on the bone.

Speaker3:
Jackson's quote emphasizes that success in the future depends on taking meaningful and intentional steps in the present, and this idea directly applies to retirement planning, as the actions you take at each stage of life set the foundation for a secure and fulfilling retirement. So here is how you can do your best today at each decade of life to help you prepare for tomorrow. So in your 20s and 30s, I'm going to group those two decades together. What you're really doing is you're laying the foundation. This is the time where you need to build strong habits early enough so that you can set yourself up for long term success. So all of that starts with saving early, right? The earlier you start saving, the more time that you give compound interest to work in your favor. So if you are offered a 401 K or a 403 B, if you're a federal employee a thrift savings plan, make sure you're contributing to those employer sponsored plans. If you're not offered any of those plans, then open up your own IRA or other type of retirement account as soon as possible. So I love it when coaches, you know, when I think of Bill Belichick or, um, Nick Saban or yes, I said Satan. Um, I hated him when he coached Alabama because I'm a Georgia dawg. What can I say? But his words were, you know, very, very profound or even Kirby Smart.

Speaker3:
You know, the thing is, do your job well. If I turn that around, it's do your best, but do it today, because even small contributions early on can have a huge impact over time. So you want to aim to contribute at least enough to capture any employer match that. Um, they, you know, your employer will do for you. And if possible, automate your contributions to make that saving habitual because what you are doing is investing in yourself, right? While saving is important, investing in your education and in your skills is also crucial because that will give you higher earning potential, uh, which means more savings opportunities later on in life. So again, do your best today by focusing on developing professionally in order to increase your earning power. Uh, to avoid lifestyle inflation, keep your spending in check. So that raises and bonuses can go towards savings rather than unnecessary expenses. And then many people in their 20s and their 30s have student loans. They have credit card debt, and managing the debt wisely is essential to your financial health. So doing your best today involves prioritizing paying off those high interest debts and avoid accumulating new, unnecessary debt and balancing the debt repayments with saving for the future. How do you think about those two decades, Matt, in your 20s and your 30s.

Speaker1:
I well, what I think is, I wish that I knew Mike Zeno when I was in my 20s and 30s because then I'd, you know, I'd probably be in a better spot than I am right now in my life, in my 40s. But yeah. No, it's it's true, like the greater emphasis that you put on, you know, saving and investing and making sure that you are putting something aside because, as you said, even those small contributions early on can really add up because you put the power of compound interest to work for you. I think you did this illustration a couple of weeks ago, maybe a few weeks back now on the show where, you know someone who is young, uh, contributed, you know, just a little bit of, of money early on. But then you contributed a lot of money later on in life and never caught the person who contributed that little amount of money early on because of compound interest. And they just got interest added on top of interest, on top of interest for years and years and years. And the power of that really is something. So yes, start off early, save early and often.

Speaker3:
No doubt there's a reason Albert Einstein called compound interest the eighth wonder of the world. So, um, in your 40s, this is the time to really build momentum. If you think of a train that's loaded down with cargo right in your 20s and 30s. It's just starting to go right. But then once it gets up into about 40 miles an hour, it's building, you know, that momentum. And so the key idea in your 40s is to make sure that we're maximizing savings, and we're fine tuning our financial strategy. So by your 40s your income is likely much higher allowing you to increase your retirement contributions. So doing your best today, if I'm talking to anybody in the 40s, is encouraging you to shoot to save at least 15 to 20% of your income toward retirement, if possible, max out your 401 K or IRA contributions and take advantage of any of those employer matches. Okay? Make sure that your investments align with your long term goals as well as your risk tolerance, and consider diversifying beyond traditional accounts like maybe real estate or other income generating investments.

Speaker3:
Do your best today by reassessing your portfolio to ensure that it is balanced, and making those adjustments based on market conditions and your own risk tolerance to maximize the growth potential, while at the same time protecting your assets and then start visualizing your retirement. Okay, at this stage, retirement is still maybe a decade and a half to a couple decades off, but it is important to start thinking about what you want your retirement to look like. Okay. By setting specific retirement goals where you want to live, what you want to do, the lifestyle you want, and the income needed to support it, this will inform your savings and retirement Environment strategies. Okay. Um, planning for college? If you have children, the 40s are often when college savings becomes a priority because that's when your kids are going to be college age. So doing your best today involves balancing retirement savings with other financial goals, like college savings, maybe through a 529 or similar type account while you remember. Okay. You must remember that your retirement should still take precedence over the college education of your children.

Speaker1:
And that's a difficult thing maybe sometimes to keep in mind because, you know, parents and I don't have any kids myself other than the four legged kind. But, you know, we often tend to put the, the kids, so to speak, in my case, before ourselves a lot, a lot of the time. And I know that the, you know, the parents that I know, including like my, my sister with my niece and all that will will sacrifice a lot for the sake of the kids. But you've got to make sure that your priorities are in line and and really have those priorities set in order. That makes sense. And here's the thing to me, I think this is actually a perfect time to mention this. If you are having a hard time setting those priorities, if you're having a hard time making sure that everything is aligned as it needs to be, call Mike Zeno 704 56015737045601573, or you can go online. Money matters with mike.com is the website and get that free consultation because you know he'll be able to analyze your situation, all the specifics there and get you pointed in the right direction of where you need to go, no matter your stage in life.

Speaker3:
Yeah, I think that's really, really important. Matt. I sit down with people all the time that have sacrificed so much for their children. And, you know, I'm a parent. I've got two adult daughters. Um, one's 28 and one's 20 are going to be 28 here in a couple of months, and the other one's 23 and just got her first big girl job in Washington, DC. And so, you know, there are lots of things that we want to do, but we should not do those at the detriment to our own retirement. Hopefully you have raised them right. You've equipped them with all of the skills necessary to go out and succeed in life. And so obviously we want to take care of our kids. But doing so to your own detriment, especially in retirement, just doesn't make sense. Because, I mean, after all, if you struggle so much to make sure that they are successful and their college is paid for and that lands you in a detrimental state of retirement, then that's not really doing for your kids, because they're going to be the ones that are going to have to bail you out, potentially in your retirement. And wouldn't it be a much better scenario to where you are in a position to equip them to succeed? Still help them as you're able, while still planning for your own retirement, so that by the time you are there, you're even more able to help them should they need it. I think most people would agree that makes a lot more sense, Matt.

Speaker1:
It 100% does. And that is again, goes back to having those priorities in line again, do for your kids. But also don't do that to the detriment of your own future, because it won't be in anybody's best interest to do that. Um, okay. So we covered, what, the 20s and 30s, then the 40s. What about getting on into our 50s?

Speaker3:
Yeah, so in our 50s and I'm in my 50s right now, here is where we are catching up and then refining. Okay. And I think it's real important to note that you're able to contribute a lot more to your retirement savings the year in which you turn 50 so you don't actually have to wait until your birthday. But the year in which you turn affords you that ability and opportunity to do so. Well, why would you do that? Because, Matt, you mentioned you kind of screwed up in your 20s and 30s and guess what? So did I. And if I were to poll the majority of our listeners, they would agree. Yeah, I wasted a lot of money during those two decades. That necessitates, um, you catching up in your 50s. So maximize your catch up contributions by contributing the most that you possibly can to your 401 and other employer sponsored plans, as well as IRAs, because that can significantly boost your savings. Okay, reassess your risk tolerance. When you were in your 20s and 30s and 40s, you were probably taking on a lot of risk because you still had a lot of time before you needed the money. Well, as you approach retirement, you might consider shifting to a little bit more conservative investment strategy to make sure that you protect what it is that you have actually saved, and rebalancing your portfolio to reduce exposure to those high risk investment will ensure that a market downturn won't have a major impact on your savings as retirement nears.

Speaker3:
Okay, we mentioned earlier, healthcare and long term care planning at this point is crucial. Why? Because healthcare costs in retirement can be substantial. So in your earlier 50s, this is when you want to start preparing for them. So you might consider investing in health savings accounts because they offer tax advantages for healthcare expenses in retirement. Also, research long term care insurance to cover potential costs like, you know, assisted living. In-home health care. Nursing home care and then envision retirement lifestyle in a lot more detail. Start thinking about the practical aspects of your retirement lifestyle. How many income streams are you going to have? Are you going to relocate? Are you going to downsize? Okay. By refining your retirement budget, estimating your expenses, and assessing how well your savings will cover that desired lifestyle that is going to help you get where you want to go much, much more smoothly.

Speaker1:
And that's what you want is that smooth ride into your retirement years especially, you know, as you continue ramping up in your 50s and that that crucial, crucial decade. And you can see, you know, folks, as we're going through here, kind of how the focus needs to change and evolve. Because obviously, you know, at these different stages in your life, you don't need to be focused necessarily on the same things. Yeah, you still want to be accumulating and you still want to be building up that nest egg, so to speak, for your retirement years. But you've got to be now changing that focus a little bit to say, okay, how am I going to now take this money that I have saved or invested or I'm still saving or investing? How am I going to then take that? And, you know, ten, 15 or so years and turn that into a retirement income. That's really where you need to get those plans started to, to be put in place, no doubt.

Speaker3:
Because once you reach your 60s and beyond, this is the time when you're going to start to transition and more importantly, start to enjoy your retirement, right? So, you know, things like deciding when to claim Social Security is going to become a topic, right? Timing your Social Security benefits is crucial. And while you can start claiming at 62 Waiting until your full retirement age or beyond can significantly increase that monthly benefit. So do your best today by calculating the optimal age at which to claim your Social Security, based on your health, based on your financial needs, as well as your long term goals. Because waiting until age 70, especially if you have a expect to live a lot longer because you have great life expectancy within your family and a clean bill of health, right? That will, um, provide a significantly larger benefit for you in the long term. And then here's where you're going to finalize your retirement budget, okay. And obviously when I say finalize it's finalize it for that decade because it's going to adjust as well. But by now you should have a clear idea as far as your expected income sources, whether that be a pension from your company or a personal pension that you've created, whether that's Social Security or any of your different retirement accounts, and then maybe some diversified income, passive income like rental income or dividends, as well as calculating all of your expenses. So making sure that your budget, your spending plan is sustainable, okay, and leaves room for unexpected expenses is just how you do your best today.

Speaker1:
That is so great. And I and I love, you know, taking that journey through those decades and looking at this quote from, you know, this very prolific author who wrote so many inspirational things, but just this simple quote and really applying it to those different periods in life. I absolutely love that because, you know, as I mentioned a moment ago, those priorities change as you go on through your life. And then, you know, especially in your 60s and beyond, making sure that you have that income plan in place so that your money lasts as long as you do. At the very least, because that's going to be the priority, then, is making sure that you are not going to run out of money. That is the number one fear of retirees today. And Pre-retirees. We've seen it survey after survey. And even more than death itself, people fear running out of money. So that's got to be the the big focus at that stage in life, no doubt.

Speaker3:
And to take that a little bit farther, I mean, maybe you have the ability to work part time and it gives you social and physical and mental interaction. Plus puts a little money in your pocket. Maybe you have a skill set that you could land, a consulting gig that provides extra income and keeps you engaged because, I mean, I don't know, I'm thinking about ways that I can plan for legacy and, you know, start thinking about what I want to leave behind for my loved ones or maybe to different charitable causes. So, you know, I just think his quote highlights the importance that the best preparation for tomorrow is what you do today. And it could not be truer when it comes to retirement planning, because at every stage of life, you have opportunities to make decisions that will lead to financial security, will lead to comfort, and will lead to fulfillment. Or if you fail to make it, uh, any of those decisions, it's going to lead to the opposite. All right. So the key is to stay proactive, adjust your plan as needed, and then commit to small, steady improvements each and every single day, each and every single year. And definitely each and every single decade. Matt.

Speaker1:
Yeah. Stay proactive and not reactive. That is very, very important. And an action that you can take today is by going to Money Matters with Mike comm. You can do that. It's very easy to do. Just let your fingers do the typing there on the old computer or on your phone or wherever you can get to a website, go to Money Matters with mike.com, schedule a free consultation, or you can pick up that phone and actually use the phone app on your phone. You know, we've got these super computers that we keep in our pockets all the time now, and we do just about anything on them, aside from talking on the phone a lot of the time. So I actually use the phone and call Mike (700) 456-0157 three. He is the guy who does talk on the phone to folks just like you all the time. 704 5601573 and in our last like minute and a half here, Mike, talk about what that whole process is like when somebody reaches out and gives you a call.

Speaker3:
Yeah. I mean, so the first call that we have, I just like to call it a discovery call, I'll tell you a little bit about me. I'll get to know you a little bit more and find out where you are currently and where maybe you're even thinking about going or where you would like to be. And if you haven't thought that far, I'll give you some homework. And then when we sit down in a full consultation, we're going to dive deep. We're going to start looking at each and every single aspect of your financial lives. And it's not to, you know, embarrass you. It's to wake you up and to get you to start, you know, taking accountability for your own financial future. And so, you know, my goal is to, you know, look at all of the pieces of the puzzle, no matter where they're coming from. Bring them all together for a very comprehensive plan that you can have confidence in. You know, because when you have that confidence and you have that piece of mind, Matt, that's just something people cannot put a price tag on.

Speaker1:
Can't put a price on it at all. Once again, Money Matters with mike.com is the website. Well Mike that's going to do it for this week's show. It has come and gone quickly here. But I thank you, as always for the things that you bring to the table each and every week. And we'll do it again next time.

Speaker3:
Matt, thank you for everything you bring to the table. But most of all, I say this every week because I mean it. Okay. Thank you to each and every single one of our listeners who tune in locally, uh, who tune in globally on the podcast. Without you folks, we don't have a show. So if anything, uh, on today's show gave you pause, gave you, uh, a moment to kind of think, hey, I need maybe need a little bit help there. Just reach out to me. If anything on these shows that we do each and every single week. Uh, you think anybody else in your family or friends could benefit from? Please share the show. Okay, whatever you're doing this weekend, I hope you enjoy it to its fullest extent. And as always, make it a great day.

Speaker2:
Thanks for listening to Money Matters with Mike. You deserve to work with a licensed financial and insurance professional who can offer strategies for protecting and growing your hard earned money. To schedule your free, no obligation consultation, visit. Money matters with Mike. Com or pick up the phone and call 704 560 1573. That's 704 5601573. Not affiliated with the United States government. Mike Zeno does not offer tax, legal or investment advice. Consult with your tax advisor or attorney regarding specific situations. Opinions expressed are subject to change without notice. These opinions are not intended as investment advice, nor do they predict future performance of any product. All information provided is believed to be from reliable sources. However, we make no representation or warranty as to the accuracy of any statement. This information is intended to be educational in nature and does not provide a guarantee or a specific result. All copyrights and trademarks are the property of their respective owners. Amara Life assumes no responsibility or liability for the content of this message. The information contained herein is provided on an as is basis with no guarantees of completeness, accuracy, usefulness, timeliness, or the results obtained from the use of this information.

Speaker1:
Remember, all of Mike's listeners receive a free financial consultation just for listening to the show. Visit Money Matters with mike.com to learn more and schedule an appointment. Thanks for listening to Money Matters with Mike and subscribing wherever you listen to podcasts.

Speaker2:
Nationwide's peak ten fixed indexed annuity is designed to help protect and grow your savings to generate income you can never outlive. Peak ten also has an optional rider that offers an immediate 20% bonus based on your principal. Apply to your income benefit base. Call us now at (704) 560-1573. That's (704) 560-1573. Guarantees and protections referenced within 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.

Sonix is the world’s most advanced automated transcription, translation, and subtitling platform. Fast, accurate, and affordable.

Automatically convert your mp3 files to text (txt file), Microsoft Word (docx file), and SubRip Subtitle (srt file) in minutes.

Sonix has many features that you'd love including generate automated summaries powered by AI, powerful integrations and APIs, world-class support, advanced search, and easily transcribe your Zoom meetings. Try Sonix for free today.