FINANCIaL
FIELd NOTES
Is Social Security Running Out? 2022 Edition
Will there be anything left when I retire? Will my benefits get cut? These are some of the most frequent questions I get when it comes to someone’s retirement plan. And the media loves to talk about the Social Security problems.
Fortunately, there is data to answer these questions. Every year the Board of Trustees for Social Security reviews the financial status of the trust fund that pays out Social Security benefits. Recently, the board released its 2022 report, and below is my summary…
What I'm Teaching My 5 Year-Old About Money
Zeke just turned 5! I have to say, despite how crazy these past few years have been, they are so, so sweet. I told Emily this week that I would do his ages 3 to 5 on repeat for the rest of my life and be perfectly happy.
If you’ve ever stepped inside a Costco food court, the churro has probably called your name. This is the story for Zeke every time we walk by the food court on our way out from buying our 10-year stockpile of toilet paper. “Dad, I neeeeeed it” Zeke whined pointing at the churro…
Knowing Your Personal P/E Ratio Can Bring Comfort in a Bear Market
This first half of the year was the worst for a balanced portfolio in decades, with both stocks AND bonds performing terribly. If there is any silver lining, it is that valuations have come down.
That might seem obvious if your investments are down, but that is not always the case. Sometimes, companies can start earning much less, so valuations stay high even in a down market. In this bear market, earnings expectations have held up reasonably well…
Retirees Are Not Spending Enough
Would you rather spend money on that vacation now or have your children spend that money when you’re gone? This is a question I ask might ask a client who is living well below their means.
I am coming across more individuals who are not spending nearly as much as they could. And now the data seems to support it…
The Hidden Taxes In Tax-Free States
Moving to an income tax-free state in retirement may not lead to the tremendous savings retirees expect. The question to ask yourself when considering a new location is “How is this government funding itself?”
Oftentimes, the answer in states like Texas is property taxes. For example, in several counties in Texas, the property tax rate is over 2%, whereas it might be .5% to 1% in states with income taxes…
When Should You Take Social Security?
I’ve written extensively in the past about the decision of when to take Social Security.
But recently I came across this beautiful decision tree on when to take Social Security that I had to share…