Phil's Tax Hacks

For a long time most people have targeted 65 for retirement, which is older than most countries, but that might even go higher in the next few years. Those ages are already rising in countries like France and Spain as they move towards 67. Should you expect a later retirement date? And how does that impact planning? That’s what we’ll discuss today. Show notes and additional resources: https://philstaxhacks.com/podcast/ep-25-will-retirement-age-continue-to-rise/ Today's rundown: 1:34 – Betty White turned 98 years old and attributes it to vodka and hot dogs. 2:40 – IRS increased contribution limits. What is Phil’s reaction to the news? 4:23 – Mailbag Question: I could sell the house for $500,000 and I only owe $100,00. I’m 57 and I’m thinking about getting a smaller place and using that cash to retire early. What are your thoughts? 8:07 – Let’s talk about this article in CNBC on retiring age. 8:45 – Countries around the world are already raising retirement age. 10:13 – Is Phil seeing this trend of working longer from his clients? 11:55 – Is there a major planning difference from 65 to 67? 13:28 – It might only seem like two or three years but there’s a bigger compounding effect longterm. 13:53 – Then there’s the Social Security factor to shifting age. 15:30 – Mailbag Question #2: I’d really like to hire an advisor but my husband wants to do it himself. Is it okay to do this without help? 18:40 – Getting to Know Phil: What’s your favorite TV channel?

Do you believe you need to be completely debt free to retire successfully? Or are you comfortable carrying some balances beyond your working years? Having a strategy for managing your debt along with the amount of cash you possess are two key pieces to a successful retirement. Show notes and additional resources: https://philstaxhacks.com/podcast/ep-24-managing-cash-debt-in-retirement/ Today's rundown: 0:42 – It’s that time of the year for brutal weather. 3:01 – We’re talking about cash and debt and how they can get us into a retirement predicament. 3:30 – We all love cash but is too much of it a bad thing? 4:19 – What are the best uses for cash? Phil uses a three bucket structure. 5:57 – With cash you give up growth because inflation. 6:56 – How much cash to you recommend someone having? 8:11 – What about people that are comfortable having a lot of cash? 9:35 – How many months should your emergency fund cover? 12:51 – Do you need to be debt free when you retire? 16:15 – Is debt management a part of the plan when we work with clients? 19:58 – Mailbag Question: I have about $50K in cash value in an old life insurance policy. I don’t really need the insurance anymore. Should I cash it out and invest the money some place else?

How closely do you pay attention to the sources that provide you with information about investing? Just like other outlets of media, financial news is not immune from bias. Let’s discuss the landscape today and how you can protect yourself from being misled by incorrect information. Show notes and additional resources: https://philstaxhacks.com/podcast/ep-23-beware-of-bias-in-financial-media/ Today's rundown: 1:17 – We’re well into 2020 at this point but make sure you’re writing out the full year to prevent scams. 1:58 – The Stretch IRA has been eliminated as part of the SECURE Act. How important is this? 6:30 – Let’s talk about our main topic: financial media bias. 7:19 – Today it seems like you have to look at multiple sources of information to get the complete picture. 8:40 – Financial news is no exception. There often seems to be a motive or an angle to a headline. 9:32 – Be aware of paid placement material. 11:42 – Every advisor has their own opinion and investors should expect that. 12:38 – It also could be good advice but maybe it’s intended from someone else and not applicable to you. 14:24 – Another thing to keep in mind is someone providing the info just might not be up-to-date on a specific product. 18:14 – Mailbag Question: I told myself that once I hit $1 million in my portfolio, I’d move that money to cash. But now that I’m there, I’m wondering if I can get to $1.2 million first. What do you think?

Have you ever heard someone tell you they don’t want to retire? Sometimes they might mean it, but other times it’s just a defense mechanism for the fact that they don’t feel prepared for retirement. Let’s take a look at some of the most common excuses and what they might actually mean. Show Notes and Additional Resources: https://philstaxhacks.com/podcast/ep-22-are-these-excuses-keeping-your-from-retirement/ Today's Rundown: 1:19 – Happy new year! Should be an interesting year. 2:31 – Let’s talk about excuses that may keep us from retiring. 3:49 – Excuse: ‘I love my career.’ 6:08 – Excuse: ‘I would be bored if I retired.’ 11:17 – Excuse: ‘We don’t have enough money to retire.’ 13:29 – Excuse: ‘I don’t have enough confidence in my plan to walk away from work.’ 15:55 – Planning for retirement is like planning a road trip. 19:25 – Mailbag Question: My husband’s military pension has been a very nice benefit but I’ll no longer get a penny of that after he passes away. This was a mistake in retrospect but what can we do moving forward?