Components of a Complete Financial Plan
Components of a Complete Financial Plan Show Notes
So many people want to know the answer to the question, “How much do I need to retire?” More and more people have become less and less patient with getting that answer and just use a retirement calculator that gives them a quick answer. But we can guarantee that isn’t the right answer. Those retirement calculators don’t factor in so many important items—such as inflation, Social Security, Required Minimum Distributions, and your goals for retirement. Those are all components of a complete financial plan, which is what you need to figure out how much you need to retire.
Logan DeGraeve joins Dean Barber on The Guided Retirement Show to review the components of a complete financial plan. These are critical things to think about before and during retirement, so you won’t want to miss what Dean and Logan have to share.
In this podcast interview, you’ll learn:
- The differences between traditional and Roth 401(k)s/IRAs.
- Your goals are a crucial component of your financial plan.
- Taxes and health care are the two biggest wealth-eroding factors in retirement.
- The components of a complete financial plan should come together to take you to and through retirement … and maybe legacy is important to you as well.
How You Save and Where You Save Matters
If you think that retirees and those who are nearing retirement are the only people who need to understand the components of a complete financial plan, think again. Planning for retirement starts sooner than a lot of people realize.
“At the end of the day, the way that someone who is 25, 30 years old is saving to their retirement plan will dictate where they’re going to take their money from. What are the taxes going to be on those dollars. It’s not just, ‘Hey, I’m 50 years old. I need to start planning for retirement.’ Don’t wait to start saving.” – Logan DeGraeve
Dean always says that you shouldn’t put money into anything until you know what the rules are for taking it out. Most people understand that traditional 401(k) contributions are tax-deferred when you take them out, but a lot of people don’t realize that up to 85% of your Social Security can become taxable.
“Our industry did a disservice to a lot of people early in their careers where it encouraged them to simply look at their 401(k) as their retirement vehicle and start saving into it as soon as possible. That’s especially true for people who have started saving into their 401(k) after 1997. That was when the Roth IRA became available. Subsequently, the Roth 401(k) became available.” – Dean Barber
Revisiting Traditional vs. Roth
Roth or traditional? That’s one of the biggest questions to be asking when it comes to saving for retirement. The traditional 401(k) plan is the most popular plan. Most of the people that our CFP® Professionals meet with for the first time have a bulk of their assets in it. You don’t pay taxes on it at the time of the contribution. It grows tax-deferred and then when you’re 59½, you can begin taking withdrawals with a 10% penalty.
Will You Be in a Higher or Lower Tax Bracket in Retirement?
But if you don’t do anything, you must begin taking Required Minimum Distributions at 73. That’s when you must start taking money out of your IRA or 401(k) and pay the taxes. Everything that comes out of a traditional 401(k) or IRA is treated as ordinary income. A lot of people aren’t very concerned about that because they think they’ll be in a lower tax bracket in retirement. But let’s hear from Dean about why that might not be true.
“That’s what I was taught early in my career. When I broke into the industry nearly 37 years ago, people were told to put their money in a tax-deferred account. But then, we started specializing with working with people nearing retirement or in retirement. We realized many years ago that if people are going to have the same lifestyle in retirement as they did when they were working, they’re not going to be in the same tax bracket. In some cases, people will be in a higher tax bracket in retirement.” – Dean Barber
Painting Yourself into a Tax Corner
Logan recently showed one of his newest client their projected taxable income for seven years from now. He was going to be two brackets higher than he had ever been. He understandably wanted to know how that would have happened.
Unfortunately, he did too good of a job saving to his 401(k). His first Required Minimum Distribution is set to be $150,000. That client was going more money than he needed to spend once he added in Social Security. And he had a pension. His income was projected to be around $300,000 a year despite never making more than $200,000 in his career.
“He painted himself into a tax corner because he didn’t have someone coaching him early on that he should be saving some money to the Roth portion of his 401(k).” – Dean Barber
With the Roth, you’re paying the tax up front when you contribute. Why is that a good thing? That money is never taxed again and grows tax-free for the rest of your lifetime. People don’t want to do that because they don’t want to pay that tax up front.
When to Contribute to Roth or Traditional
So, you’re probably wondering now, when should you contribute to Roth and when should you contribute to traditional?
“Hypothetically speaking, if you started working or are in a lower income year, you want to do the Roth. Let’s pay pre-pay that tax now. And you get used to paying the tax up front. If you switch that halfway through your career, it’s painful on what you take home. If you’re a single filer and/or a high earner, you might want to look at the traditional because you get to defer those taxes. Without having all the proper components of a financial plan, you can’t answer those questions.” – Logan DeGraeve
What Are the Components of a Complete Financial Plan?
While what Logan outlined is typical true, the decision of whether to contribute to Roth or traditional is going to depend on your unique situation. What we really want to get into are the components of that financial plan that Logan just mentioned.
This Is Your Financial Plan
We can’t stress enough that this is your financial plan. It’s not your neighbor’s financial plan. It’s not your coworker’s financial plan. And it’s not your kid’s financial plan. It’s your financial plan. To build your financial plan, we need to know what’s important to you. What do you want to accomplish?
“What does your money or resources need to do for you? That’s where we want to start.” – Logan DeGraeve
The Two Biggest Wealth-Eroding Factors in Retirement
If you just put into a retirement calculator that you want $5,000 or $6,000 net a month to spend in retirement, you won’t truly know that you’re on track for that. A retirement calculator doesn’t account for all the components of a financial plan. What makes up that $5,000 or $6,000? What about health care costs in retirement and taxation? Those are the two biggest wealth-eroding factors in retirement.
“Until we truly understand someone, we won’t know how to build their plan. Once we get some information about them, we put their goals into the plan.” – Logan DeGraeve
What Are Your Goals?
When we’re building someone’s plan, we take them through a prioritization exercise to find out the most important things to them and their spouse. And since your goals will change over time, we’ll review your goals with you at least every couple of years to make sure your plan is up to date.
When and How Are You Going to Take Social Security?
Once we find out someone’s goals, we want to figure out what resources they have. What do you have for Social Security? That’s a big component of your plan. When and how are you going to take Social Security? That’s a huge decision.
“The typical 62-year-old couple—assuming the same earnings history and life expectancy—is going to have between 600-700 iterations of how they can claim Social Security. The difference between the best and worst decision is usually more than $100,000 of additional Social Security that will come out over that same lifetime.” – Dean Barber
When we’re looking at Social Security as a component in a financial plan, we’re not just looking at Social Security in a vacuum. Why’s that? Because when and how you claim Social Security changes your taxation. Social Security is taxed differently than any other source of income in retirement.
Do You Have a Pension?
So, Social Security is one component of a financial plan. But do you remember what else Logan mentioned in his example from earlier? His client had a pension. Do you have any pensions?
“They’re kind of a dying art, but we still work with people who have them. A lot of government employees have them. When and how are you going to take your pension? Are you going to have a survivor benefit? Do you have a lump sum? A lot of lump sums went down last year because of rising interest rates. They work inversely. How does that pension constitute things?” – Logan DeGraeve
And what happens if one spouse were to pass early? That’s going to dictate your pension, survivor benefits, Social Security with the higher earner, and taxation because you’re going to be in a higher tax bracket at a lower income level.
What About Insurance?
Let’s shift gears to another component of a financial plan: insurance. When we start working with a lot of retirees, that mortgage is almost or completely paid off and their children have moved out. So, maybe that same life insurance that they had isn’t necessary. But if you don’t have the insurance plan, how do you know if one spouse passes at 65 or 70 and other spouse lives to 90 that you have enough?
“You don’t know unless you’ve built a plan. You’re going to guess, but the smaller Social Security check always goes away. And it could be that a pension gets cut in half or maybe it doesn’t continue on to the surviving spouse. But if you have all the components of a financial plan, you can project all the income sources, what it looks like for you to both of you living a long, happy, healthy life, and what happens if somebody passes away early. Does the plan still succeed? Can you still do the things that you want to do? And if you can’t, that means that you need to carry some insurance into retirement for some period of time.” – Dean Barber
What Dean is talking about there is self insurance and making sure that you don’t need insurance, Maybe you can let it lapse.
Long-Term Care Insurance
Another thing that can destroy a retirement is getting sick and the healthy spouse not being able to take care of them any longer. They wind up with long-term care expenses. You need to stress test the plan
“People should never just go out and buy long-term care. They need to understand what the risk is if somebody goes into a nursing home. How does it impact a surviving spouse? How does it impact the legacy objectives? If the survivor and the legacy isn’t greatly impacted, you may say that you’re self-insured and not want to do it.” – Dean Barber
When you’re insuring it’s sometimes not just long-term care. Because what we what do we know about life insurance? It’s the only insurance policy that you’ll ever buy that if you hold it until you die, you’ll get more money out of it than you ever put into it. There’s some planning that goes into that.
Estate Planning Is a Big Component of a Financial Plan
That leads us right into estate planning, which is a key component of a financial plan. What’s going to happen when you pass away? What’s going to happen when your spouse passes away? Where do you want the money to go? Do you need a trust? Most people do. Most people want to have some sort of control.
“A lot of people think that a trust is only for the wealthy individuals. A good trust is for when you’re alive and when you passed. Why when you’re alive? Well, because it’s got all your directives in there. If you become incapable of making financial decisions, the trust dictates to a successor trustee how you want your financial affairs handled.” – Dean Barber
Keeping Your Estate Plan Up to Date
Let’s just talk about real life examples here that we unfortunately see quite often with some of our aging clients. Maybe they’re slipping mentally and aren’t as sharp as they were early on in retirement. We have a financial power of attorney in those estate planning meetings so we can make sure that we understand what’s going on. We can’t have those people in those meetings and talk to them without that document.
“It’s not as simple as, ‘This is my son, Bob. He can talk to you on my behalf.’ That’s not how it works.” – Logan DeGraeve
Let’s also think about people who might be in their 30s and 40s. What about guardianship provisions for the kids? That’s always that something you need to think about. It’s also not as simple as saying who gets guardianship next if something happens to them. Your estate plan needs to be updated or at least reviewed every couple of years.
Understanding What Accounts You Own
With your estate plan, you need to think about your wishes when you pass. There are different types of accounts where there needs to be an overlay with taxation on that as well. IRAs and 401(k)s are examples of that.
Maybe you want to leave some money to charity. Well, you don’t want to leave the Roth to charity because it’s tax-free. Think about step-up in basis, those taxable accounts. It’s not as easy as having a trust and thinking that you don’t need to worry about it. What accounts go where?
Reviewing Your Beneficiaries
If you do that under the SECURE Act 2.0 and you have the trust as the beneficiary of your IRA, it becomes a non-negligible designated beneficiary. That means the money is going to be forced out over a 10-year period whether that’s to your surviving spouse or whoever. Having a charity as a component of the trust messes up having a trust as a beneficiary of an IRA or 401(k).
“Beneficiaries need to be reviewed on a regular basis. That’s a component of a financial plan. We never want to talk about the fact that we’re all mortals and tomorrow is no guarantee. But I’ve witnessed multiple times where somebody has had a 401(k), got divorced, remarried, put their kids on as the beneficiary of the 401(k), but never had their new spouse sign a waiver that says that they waive their rights to that 401(k). The person that owns the 401(k) passes away and then their kids try to claim it as beneficiaries. But guess what? If there’s no spousal waiver that’s been signed, that new spouse is going to get that money. And there’s not a darn thing that the kids can do about it.” – Dean Barber
Trusts Can Be Tricky
Let’s assume they did get the waiver signed and that the kids are 25. If those were your kids, would you trust them with half your assets? Those are conversations that need to take place. There are so many complicated rules when it comes to beneficiary for IRAs and 401(k) that people just don’t know. Hopefully we’ve highlighted the many problems that can arise.
What Other Components Are There in a Complete Financial Plan?
So, we talked a little bit about how important it is to discuss your wants, wishes, and dreams as components of a financial plan. What do you want to do? You need to talk about how often you want to replace a vehicle. Where do you want to go on vacations? How much are those vacations going to cost? And you need to talk about inflation.
Planning for Unexpected Expenses
What about home repairs? How old is the roof on your home? How old is the HVAC system on your home? Those are the surprise expenses that hit us from time to time. While you’re working, you’ve got a known income source. But once you get into retirement, If you haven’t planned for those unexpected expenses, those can deteriorate the lifestyle that you wanted to have during retirement.
“How do you plan for those unexpected expenses? There are unexpected expenses that you don’t have in the plan. We like to talk about to our clients are the worst-case scenarios. What are the things, if anything, that can derail your financial plan? And we talk about probabilities of success. We always tell our clients that if they’re you’re at a 99% or 100% probability of success, we’re robbing them of something. Because you can spend more, give more, or retire sooner. You’re overfunded for the lifestyle that you want to live.” – Logan DeGraeve
Or maybe you want to reduce risk in your portfolio. In that case, the conversation is a little bit different. Let’s say that you don’t want to leave $4 million behind to your kids, but you also don’t want to spend anymore money. Something needs to give there. You can’t just stay on the same trajectory you’re on. If you do that, you’re going to leave a lot of money behind to your kids that you’re not wanting to leave behind. You’re also robbing yourself of everyone’s most precious commodity, which is time.
What Does Your Probability of Success Mean?
If you’re at a 99% probability of success, you have some wiggle room. We explained that having a 99% probability of success means that you’re overfunded, but we still need to thoroughly explain what your probability of success entails.
When we say probability of success in a plan, we’re running 1,000 different simulations of your lifetime. It’s taking all the historical data that’s ever been kept on the asset classes, mixing it up, and giving 1,000 random lifetimes. If your probability of success is 99%, that means your plan could survive the worst of the worst market conditions, higher inflation, etc. But it doesn’t need to because all those things aren’t going to hit at once.
“If you’re at a 90% probability of success, which is on the high side of what we call the comfort zone, that means 90% of the time from a historical perspective, you could have gone through retirement, getting the raises that you wanted every year, using the inflation rate that you built in, and never have to adjust your income. There’s a 10% chance that you may have to make a slight adjustment to your income at some point in retirement. So, being at 99% is too high.” – Dean Barber
Applying an Inflation Factor(s) to Your Plan
Let’s go back to the example of someone using an online retirement calculator that just wants to spend $6,000 net a month in retirement.
There are a couple of ways we can challenge that. First, what inflation factor are you applying to your plan?
That’s actually a trick question. Why’s that? Well, the basket of goods at the grocery store, even though they’re inflating like crazy, still aren’t going to inflate long-term like college and health care. Are you thinking about retiring before 65 and need private insurance since you won’t be Medicare eligible when you retire? Is that $6,000 a month going to cover that?
Or maybe you’re 85 and on Medicare. Still, would $6,000 a month be including things like home repairs, a new car, or a hot water heather? Those are things that retirees aren’t usually thinking about until they need them.
The Art and Science of Financial Planning
When you have all the components of a financial plan and it’s done properly, it looks at what you want the rest of your life to look like, the resources that you have today, and marries your life to your money for probably the first time ever.
“Once the CFP® Professional understands all the resources that a person has and what they want the rest of their life to look like, that’s when you can start to perform the art part of financial planning. There’s an art and a science to financial planning, The science part is the numbers and the math. The art takes place when a good CFP® Professional coaches somebody to and through retirement and educates them on the right decisions to make.” – Dean Barber
The Most Critical Component of Financial Planning: Tax Planning
Sometimes, that coaching is harder than other times. This leads into what we haven’t talked about a lot yet. The most critical component of financial planning is tax planning. Again, health care and taxes are going to be the two largest wealth eroding factors in retirement. But a lot of people think that taxes are matter of fact. They think that the tax code is what it is and that they have no control, but that’s not true.
“Retirement is the first time in your life that you can begin setting the chessboard of what your taxes look like. In January, if I know what you’re going to take out of an IRA account, I know what your income is going to be for the year. If you have Social Security, I know what your income is going to be for the year. These are variables that we can control. It’s not like when you’re working and maybe you’re an hourly worker. We don’t know if you’re going to work overtime or what exactly it’s going to be. But if you know what your taxes are going to be in retirement, why would you not begin setting the chessboard early on when you’re five, 10 years out from retirement to pay the least amount of taxes over your retirement?” – Logan DeGraeve
Looking at Your Current and Future Tax Rates
Let’s say that you’ve recently retired. Based on your Social Security, distributions from IRA, dividends, interest, and things that, you’re still going to have, say, $20,000 left in the 22% bracket. But you can also look forward to when Required Minimum Distributions start. Suddenly, you’re not going to be in the 22% bracket. You’re going to be in the 32% bracket.
Why wouldn’t you go ahead and maximize that 22% bracket? Take that $20,000 out of your IRA and convert it over to a Roth IRA so that you can start getting some tax-free growth.
“That’s why the coaching can be hard sometimes. When you talk to clients about this and they retire, they’re like, ‘I want to have my taxes low. It’s the first time in my life I have these low taxes.’ But we can’t be shortsighted. We can’t just look for a one-or two-year period. We need to look for the five, 10, 15-year periods. When you do tax planning, it is going to be painful at times. I have clients that have paid $400,000-$500,000 in taxes over long-term tax plans. They prepaid them and it was painful. But every dollar they can pay at 10%, 12%, and 22% when they’re going to be at 32% in the future, why wouldn’t they pay it?” – Logan DeGraeve
The Tax Savings from Tax Planning
We can quantify that with a plan. If you don’t do that tax planning, we can show you what your total lifetime tax bill will be without the tax planning. If you do this that tax planning, we can show you the tax savings.
“Having a CPA sitting down with the CFP® Professional and the client can create $250,000 in tax savings over a lifetime for somebody that has $1 million saved for retirement. And we’ve seen numbers much higher than that.” – Dean Barber
Creating Tax Diversification
So, how do you go about setting yourself up success? You need to save to different buckets of money. It’s all about creating tax diversification. If you just retire with a 401(k), there’s not a whole lot you can do from a tax planning perspective. Every dollar you take out is ordinary income.
“You want that tax diversification. You want a taxable piece or a brokerage account, a bank account—that type of bucket that you can get to that you have capital gains, dividends, and interest on. The tax-deferred is going to be a piece. That’s your 401(k)s, IRAs. Then, you want the tax-free bucket. We’d like to have all our money there if we could. But the reality is, if you don’t have money in that first bucket, it’s hard to do Roth conversions. If you do a Roth conversion and you owe $20,000 to the government, where are you going to get the money from?” – Logan DeGraeve
You can withhold the taxes from the conversion, but it’s just not as powerful. So, for anyone who is 35 or 40 and think that they don’t need to start planning for retirement, think again. The Roth is great, but having that taxable piece gives you a lot of flexibility.
Avoiding Early Withdrawal Penalties
Let’s talk about something else that we run into a lot. Let’s say that someone is 52 and they’ve saved enough money to retire. However, they have an issue. Nearly all their money is in their 401(k).
We know the Rule of 55, 72(t), etc., but hypothetically speaking, you don’t want to not take money out of an IRA until you’re 59½ so you don’t have any penalties. But if you had a taxable bucket or even a Roth bucket—although it’s not ideal to spend money from the Roth bucket at that point if you don’t need to—that can set you up for an earlier retirement.
“You can bridge that gap from 53 to 59 or 53 to 55, whatever it may be. I’ve sat down with people many times and a lack of tax diversification has prevented some of them from retiring when they want to.” – Logan DeGraeve
Reviewing the Components of a Financial Plan
So, let’s review the components of a financial plan that we’ve discussed that a CFP® Professional should be going through with you.
- Getting to know who you are, what your goals are, and how you want to live in retirement.
- Figuring out all potential future expenses.
- Properly factoring in inflation.
- Doing forward-looking tax planning to mitigate taxes to the highest degree possible.
- Maximizing Social Security through proper Social Security planning.
- Putting together an estate plan.
- Maximizing a pension if you have one.
- Looking at whether you need to carry insurance into retirement.
Once the CFP® Professional reviews those components of a financial plan with you, they need to review your resources. It’s after the complete plan has been put together that you get the answer to the question, what does my money need to do to do all those things? That then drives how you invest your money.
“You can’t talk about investments as part of the plan until the plan is completed because you have no idea what the money needs to do. If all you’re going to do is talk about investments and if you’re working with an advisor that only talks about the investments, you’re going to make all your investment decisions based on two very strong emotions. Those are fear and greed. Your plan is going to be based on a plan of hope and it’s not going to work.” – Dean Barber
Understanding Sequence of Return Risk
When our advisors finish putting together someone’s financial plan, they enjoy showing them how much risk they need to take to give them the best probability of accomplishing the things they want to do. When our advisors ask people what is most important to them, growing their money as big as possible usually isn’t the answer. It’s usually spending time with family, traveling, giving to their kids, or some combination of those.
It’s powerful for our advisors to show people that they can have anywhere from around 40% stocks to 70% stocks and they’ll still have the same or a very similar probability of success. If the market stresses you out and you don’t sleep well when we have years like 2022, go to that smaller risk level. Again, your probability of success likely won’t change.
“That gives a lot of people the ability to exhale. Sequencing of return risk is a real thing. If you’re taking 5%-6% of your portfolio because you’re not on Social Security yet and you’re truly portfolio dependent, if your account goes down 20%, you took out a lot more than 6%.” – Logan DeGraeve
A Dynamic Withdrawal Strategy
When you start having that conversation about sequence of returns, if you utilize a bucket strategy along with a dynamic withdrawal strategy, that can mitigate the sequence of return risk. You should typically have about two years of desired withdrawals in something very safe in your account. That’s your short-term bucket of money within your account. It can all be in one account, but you need to earmark that piece as your short-term bucket money.
You need to have some that’s going to be your three-to eight-year money. You can be a little bit more moderate with that. Then, you can have your bucket of money that’s eight-to 10-years plus. When those buckets of money that are moderate or more growth-oriented have a better return in a given year, harvest that return within the account and move that over to the safe bucket.
Financial Planning Is Complex
You don’t want to get overloaded in the safe bucket, but that’s a way that you can know where your income is coming from. You know that these pieces are going to fluctuate a little more. It’s OK. But someone that’s going to retire in the next two to three years should understand where that first withdrawal is going to come from.
“We could do another article on sequence of return. The important part for everybody to realize is that financial planning is complex. There is an art and a science to financial planning. Financial planning can very rarely be done by a single individual well and be comprehensive. You need to involve the CPAs, estate planning attorneys, risk management specialists, and investment specialists. The CFP® Professional is the quarterback. They’re coordinating the team to win on your behalf.” – Dean Barber
Getting a Financial Checkup
Logan recently had a conversation with a family friend who does all their financial planning on their own. Logan compared seeing a CFP® Professional to seeing a doctor for a physical. Why wouldn’t you want to also have financial checkups? Is there anything new that’s come up? You just want to make sure you’re OK.
“Why would you not want to do that with your finances as well to find out if you’re OK? At the end of the day, more often than not, people are more than OK. They’re robbing themselves of experiences in life. But without a plan, I can’t tell you if you are OK.” – Logan DeGraeve
Being the CEO of Your Finances
Dean believes that when someone retires that they become the CEO of their own finances. They have the vision and know what they want to accomplish and what they want life to look like. But imagine if Dean was a CEO and he tried to be the Chief Legal Counsel, Chief Tax Counsel, and the chief investment person. He can’t do all those things. He’ll be the first to admit that it takes a team of financial professionals.
“No successful CEO says that they don’t need CPAs, attorneys, and other financial people on their team. They rely on those people. People need to simply take a step back and see that when they’re creating a good financial plan and have a that team, they’re the CEO. And as the CEO, you’re the one that’s calling the shots. You’re the one telling the team what you want to have happen. But you need to have the team surrounding you that can make that happen.” – Dean Barber
The interesting thing is that ultra-wealthy people expect to have that team working for them. But the average millionaire next door not only doesn’t expect it. They don’t even know that it exists, but it does.
Make Sure That You Have a Team of Financial Professionals Working for You
We’ve outlined what are the components of a good financial plan. And the deeper you get into financial planning, the more complex the issues are that come up. There is a lot that goes into building a good financial plan and it requires a team to tackle all those components of the financial plan. That team needs to be working in a coordinated effort.
Do You Understand the Components of a Complete Financial Plan?
It’s easy to not fully understand how important each component of a financial plan is when creating a plan on your own. Our team wants to make sure that you don’t fall into that category and is ready to start helping you build your financial plan. If you don’t have a plan or just want to start by asking some questions about some of the components of a financial plan, let us know. We can walk you through that during a 20-minute “ask anything” session or a complimentary consultation with one of our CFP® Professionals.
Again, this is your financial plan. You can see how each component of a financial plan can impact you within our financial planning tool. It will take you through everything that Dean and Logan covered and more. You can get started on building your plan at no cost or obligation with the same tool that our CFP® Professionals use by clicking the “Start Planning” button below.
Then, if you have any questions as you’re building your plan, you can always reach out to us. We can meet with you for a 20-minute “ask anything” session or complimentary consultation to help get your plan in motion. That meeting can be in person, virtually, or by phone—it’s whatever you’re most comfortable with. We hope to hear from you soon so you can see what a big difference all the components of a financial plan can make for you.
Components of a Complete Financial Plan with Logan DeGraeve| Watch Guide
00:00 – Introduction
01:23 – CFP® Professional on Proper Planning Elements
03:00 – Roth vs. Traditional 401(k)
03:55 – Painting Yourself into a Tax Corner
06:47 – What Are the Components of a Complete Financial Plan?
30:50 – Reviewing the Components of a Financial Plan
Resources Mentioned in This Podcast
- How Much Do I Need to Retire?
- 9 Items Retirement Calculators Miss (That Our Tool Doesn’t)
- Is Inflation Slowing?
- Maximizing Your Social Security Benefits
- Considering RMDs Before and After Retirement
- The Guided Retirement System
- Starting the Retirement Planning Process
- 8 Tips on Saving for Retirement
- What Are the Tax Buckets?
- Avoiding Costly Mistakes When Claiming Social Security with Ken Sokol
- Traditional Versus Roth 401(k)
- RMD Age for 2023: What’s Your Required Beginning Date?
- What Are Tax Brackets?
- Converting to a Roth IRA: What Are the Pros and Cons?
- 5 Types of Financial Plans
- Navigating Health Care Costs in Retirement with Taylor Garner
- Taxation on Retirement Income
- Claiming Your Social Security
- The Effect of Rising Interest Rates on the Economy
- Life Insurance in Retirement: Do I Still Need It?
- Rising Long-Term Care Costs
- Stress Testing Your Financial Plan
- Family Financial Planning with Matt Kasper
- Securing Your Estate Plan
- Charitable Giving in Retirement
- Understanding the SECURE Act 2.0
- 10 Ways to Fight Inflation in Retirement
- What Is a Monte Carlo Simulation?
- ABCs of Medicare
- How to Mitigate Inflation on Health Care Costs
- Health Insurance Options for Retirees Under 65
- What Is Tax Planning?
- What Is Tax Diversification?
Investment advisory services offered through Modern Wealth Management, LLC, an SEC Registered Investment Adviser.
The views expressed represent the opinion of Modern Wealth Management, LLC, an SEC Registered Investment Adviser. Information provided is for illustrative purposes only and does not constitute investment, tax, or legal advice. Modern Wealth Management, LLC, does not accept any liability for the use of the information discussed. Consult with a qualified financial, legal, or tax professional prior to taking any action.