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03/02/2026 Retire Right Radio with John Burdette · WCHS Network Podcasts

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Speaker 1: The views and opinions expressed on this program do not
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Speaker 1: necessarily reflect the views and opinions of five eight WCHS,
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Speaker 1: its employees or WVRC Media. This is Retire Right Radio,
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Speaker 1: a weekly show from John Verdett at Fourth Avenue Financial
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Speaker 1: that aims to answer your questions about financial planning, investing,
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Speaker 1: and how to retire right. Fourth Avenue Financial is located
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Speaker 1: in downtown Charleston at one seventy Court Street. More information
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Speaker 1: online at Fourth Avenue Financial dot com. Join the conversation
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Speaker 1: by calling three oh four three four five fifty eight
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Speaker 1: fifty eight or text three oh four nine three five
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Speaker 1: fifty oh eight. On Retireing Radio, it is less Golive.
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Speaker 2: To Astoria which host and John Vernekinsovent Financial filling in
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Speaker 2: for Del Cooper. John Bredett is here Fourth Avenue Financial
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Speaker 2: and John we come on the air, and we just
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Speaker 2: finished here in Pete Hexith with the Department of Defense
0:58
Speaker 2: with the Trump administration and the Secretary giving his first
1:02
Speaker 2: briefing on the situation with the military action in Iran.
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Speaker 2: We know that those type of things impact the market
1:10
Speaker 2: and those type of things, so I just I wonder
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Speaker 2: you know how this will make investors as we head
1:19
Speaker 2: into the new week here, well, I'm.
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Speaker 3: Sure it'll make some investors nervous. I think, you know,
1:24
Speaker 3: last week the market was down a little bit and
1:27
Speaker 3: down Friday, and I wonder if some of that wasn't
1:32
Speaker 3: kind of projecting out and seeing we're kind of reading
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Speaker 3: the tea leaves that something was brewing. Obviously it wasn't
1:37
Speaker 3: a big secret to anybody but maybe the ayatola. But
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Speaker 3: you know, these things do happen regularly, and the market
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Speaker 3: still rolls along and reaches records oz It's never failed
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Speaker 3: to do that. I doubt it will fail to do
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Speaker 3: that this time. That doesn't mean there can't be short
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Speaker 3: term volatility. I'm sure we're going to be down. It
2:02
Speaker 3: looks like from the futures today, the oil prices have
2:07
Speaker 3: spiked up a little bit. I'm sure you're going to
2:09
Speaker 3: see that creep into the pump prices. And you know,
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Speaker 3: the question is how long does it persist and and
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Speaker 3: and and what is the outcome? But even at that,
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Speaker 3: companies adjust, and you know, things tend to settle out
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Speaker 3: in relatively short order.
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Speaker 2: And really it's it's uh, you know, that also has
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Speaker 2: kind of a worldwide effect. Obviously, absolutely absolutely.
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Speaker 3: I mean, you have all kinds of oil going through
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Speaker 3: that straight oh hor moves and right now it's not
2:47
Speaker 3: a good place to be sailing. So and and what's uh,
2:52
Speaker 3: what's interesting about that. It's not always because the the
2:56
Speaker 3: ships are under attack or anything like that, but the
3:00
Speaker 3: threat that's there increases the insurance for the shipping and
3:06
Speaker 3: makes it economically unfeasible to travel traverse those routes. And
3:12
Speaker 3: so you know that is more so than you know,
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Speaker 3: obviously there's a threat in a war zone, but it's
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Speaker 3: the economics behind it that really, you know, is more impactful. Now,
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Speaker 3: how long that will last, Like I say, I don't
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Speaker 3: have any idea or crystal ball, but it's not going
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Speaker 3: to last forever. And it's not as vital to the
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Speaker 3: United States as it used to be because we now
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Speaker 3: produce most of the oil and the fuels that we
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Speaker 3: need here. So we'll see how it plays out. But
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Speaker 3: I think that we'll look back in a couple of
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Speaker 3: weeks and probably think that, you know, everything's going to
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Speaker 3: return to normal to a degree. You know, the fact
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Speaker 3: is most of economic activity is made up by decisions
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Speaker 3: that we make every day. Where do we go eat lunch,
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Speaker 3: and what do we you know, put inner grocery cart,
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Speaker 3: that sort of thing, and most of the earnings are
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Speaker 3: based on that activity and that will.
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Speaker 2: Continue on you are. You talk a lot about diversification,
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Speaker 2: you know, and this is and this is just another
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Speaker 2: kind of blinking red light of why diversification is good.
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Speaker 3: Yeah, and you see that in portfolios, particularly if you're
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Speaker 3: a well first of all, if you're a young person,
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Speaker 3: on the markets down over the next few days or
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Speaker 3: weeks and you're not anywhere near retirement, that doesn't change
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Speaker 3: your life at all all. You're still working, you're still
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Speaker 3: saving for retirement. The contributions you're making if the market
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Speaker 3: is down are actually buying more shares. You know, if
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Speaker 3: you think about it correctly. As a young person, this
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Speaker 3: this volatility can be an opportunity for you if you
5:18
Speaker 3: don't kind of get nervous and panic. A person that's
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Speaker 3: closer to retirement should and most likely has a bigger
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Speaker 3: mix of fixed income in their portfolio, bonds and things
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Speaker 3: of that nature. What happens in times of turmoil, Well,
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Speaker 3: there's a people get nervous of quote risk assets like
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Speaker 3: stocks that are a little more volatile, and the money
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Speaker 3: that was in the stock market. If people sell has
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Speaker 3: to go somewhere, well where does it go? It generally
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Speaker 3: flows into the fixed income markets. And so what are
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Speaker 3: you saying if you have a if you're a closer retirement,
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Speaker 3: and you have a balanced portfolio of stocks and bonds. Yes,
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Speaker 3: maybe the stocks are down for a few days, but
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Speaker 3: the bond market is up and interest rates are falling
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Speaker 3: because of that flight to safety and flight to quality
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Speaker 3: that you see in times like this with particularly with
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Speaker 3: the you know, US treasuries and and that's playing out.
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Speaker 3: So it helps helps balance the portfolio of that diversification.
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Speaker 3: The volatility of the market only hurts you if you
6:35
Speaker 3: need the money right then. And a couple of points
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Speaker 3: to that is one, what's you don't need all of
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Speaker 3: your money at one time. If you're a retiree, you
6:47
Speaker 3: probably are taking a monthly check an income off off
6:52
Speaker 3: of your portfolio. Well, if you're balanced, you're not going
6:56
Speaker 3: to get as wild of a swing in the valuation
6:59
Speaker 3: of your portfolio. So if you have those stocks and
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Speaker 3: bonds in the mix, So that's one way to battle
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Speaker 3: it out. Also, the income need that you have every month,
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Speaker 3: you know, if you're having that balance in your portfolio.
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Speaker 3: It allows you to choose in what spot to exit.
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Speaker 3: You know, if the stocks are down, don't sell the stocks,
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Speaker 3: you know, liquidate and liquidate the fixed income that is up.
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Speaker 3: It gives you a cushion and a kind of a
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Speaker 3: runway to even as a retiree, make sure that you're
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Speaker 3: not liquidating at the wrong time, liquidating more volatile assets
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Speaker 3: at the wrong time. And that's that's really the power
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Speaker 3: of that diversification as a retiree. You can choose where
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Speaker 3: to take those distributions.
7:50
Speaker 2: One thing you do at Fourth Avenue Financial and job
7:52
Speaker 2: Fordet's with us as he is every Monday here and
7:55
Speaker 2: retire Right Radio, is that you help people make plan
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Speaker 2: right for retirement to make sure they are you know,
8:04
Speaker 2: they're at a certain level. And you talk a lot
8:08
Speaker 2: about you know, people are different what they want to
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Speaker 2: do in retirement, They have different needs, going to have
8:14
Speaker 2: different income needs. How many times John say a plan,
8:19
Speaker 2: say say a couple where somebody has a plan for
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Speaker 2: retirement and they're going to take so much, get us
8:26
Speaker 2: so much of a retirement check right, and you've worked
8:28
Speaker 2: out the plan. You guys have worked out the plan together.
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Speaker 2: How many times does that change? Does it change. Often
8:34
Speaker 2: circumstances in life, I mean those type of things.
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Speaker 3: Well, circumstances in life can certainly change the plan and
8:40
Speaker 3: change how we allocate the resources. Like say, if you
8:43
Speaker 3: have a maybe you have a new goal that's more
8:45
Speaker 3: short term. Okay, we need to look at the portfolio
8:49
Speaker 3: and decide this is no longer a long term asset.
8:53
Speaker 3: This is not a growth asset. This is something we
8:55
Speaker 3: have to preserve a little more to make sure that
8:59
Speaker 3: it's aailable when the goal you have, you know, set happens.
9:03
Speaker 3: You know, retirement is more of a long term goal.
9:05
Speaker 3: Even as a renewed retiree, you've got a long term
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Speaker 3: that you're going to have to fund your retirement, you
9:11
Speaker 3: still need some growth assets that in that type of portfolio.
9:15
Speaker 3: So certainly, when life changes happen, you need to review
9:19
Speaker 3: that allocation to make sure that it's still online. The
9:22
Speaker 3: other thing you need to do, and this is everybody
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Speaker 3: young or old, is to make sure that your portfolio
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Speaker 3: maintains its balance. You know, volatile stocks tend to grow
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Speaker 3: the fastest. Fixed income doesn't grow as fast, but it's
9:40
Speaker 3: not volatile. You know, that's the trade off. You take
9:43
Speaker 3: lower returns for less risk well, over time, those volatile
9:48
Speaker 3: assets tend to produce a higher return. So let's say
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Speaker 3: your your stock portfolio grows by ten or twelve percent
9:57
Speaker 3: a year, but your bond portfolio only grows before.
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Speaker 2: Five a year.
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Speaker 3: In two years in if you leave that unchecked, what
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Speaker 3: will happen The sixty percent stocks that you wanted to
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Speaker 3: allocate it to your portfolio has now turned into seventy
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Speaker 3: five or eighty percent. What happens to your portfolio? It
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Speaker 3: becomes more volatile. It introduces more short term volatility to
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Speaker 3: the portfolio. And what has happened to you? You're probably well,
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Speaker 3: you're definitely older and closer to your goal that you
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Speaker 3: have set. So the actual opposite thing is happening in
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Speaker 3: your portfolio, then you prudently should have happened because you're
10:39
Speaker 3: not looking at it and rebalancing, and you know, it's
10:46
Speaker 3: a whole lot easier if you're thirty years old saving
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Speaker 3: for retirement, you're four, oh, okay to kind of set
10:50
Speaker 3: that allocation and forget it if you're in the even
10:54
Speaker 3: if you're in the stock market, because the volatility is
10:58
Speaker 3: short term. The growth that's you're expecting this long term,
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Speaker 3: but that that math changes as you get closer.
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Speaker 2: To retirement, cross time squeezes, that's right, right, Yeah, yeah,
11:09
Speaker 2: so you so you look at that so you know,
11:12
Speaker 2: so people and circumstances maintain they may need a little
11:16
Speaker 2: more like their allocation check. They may need a little more, yes,
11:20
Speaker 2: or a little less, just depending on things happen.
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Speaker 3: Yeah. Now, you know you also don't want to be
11:26
Speaker 3: so active that you're quote tinkering, right, your portfolio. That's
11:29
Speaker 3: a big, big financial term tinker, right, but uh, you know,
11:35
Speaker 3: generally once a year or so, you know, you want
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Speaker 3: to look at the balance and check in. If you
11:41
Speaker 3: do it too often, you're just going to be whip
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Speaker 3: sawed by the short term volatility. Mean that like, for
11:47
Speaker 3: instance of if the marks down a couple of percent
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Speaker 3: over the last week, in this week or whatever may
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Speaker 3: end up being. You know, if you're going in and
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Speaker 3: tinkering that you're you're not really rebalancing at that point.
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Speaker 3: You're just nervous and trying to time the market different things.
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Speaker 2: Right, right, And you also want, don't you, John, and
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Speaker 2: I'm sure you I've heard you talk about this, is
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Speaker 2: that you know, when you retire, that's your portfolio or
12:16
Speaker 2: your your for a one K balance for instance. Okay,
12:20
Speaker 2: that's the balance. But you can continue to earn money, right,
12:24
Speaker 2: I mean, oh, I mean you can. You can continue
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Speaker 2: to invest that and that that you know that it
12:30
Speaker 2: doesn't just stop because you quit working.
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Speaker 3: That's right. Let's let's say you have five hundred thousand
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Speaker 3: dollars in your portfolio and you retire. Well what do
12:40
Speaker 3: you do? You Well, you need income to live, So
12:42
Speaker 3: where do you get it? Certainly social security is a
12:45
Speaker 3: part of that mix. You might have a pension. Some
12:49
Speaker 3: people still have pensions, although they're less than.
12:51
Speaker 1: They used to be.
12:54
Speaker 3: You know, maybe you have an outside income somewhere, maybe
12:56
Speaker 3: a piece of frontal property something like that. Well, what
13:00
Speaker 3: for that shortfall is you have to make up through
13:02
Speaker 3: your portfolio. And in that case, five hundred thousand dollars
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Speaker 3: might be worth let's say twenty thousand a year in
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Speaker 3: retirement income, Well, five hundred thousand dollars. If it grows
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Speaker 3: by eight percent, that's forty thousand dollars a year in growth,
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Speaker 3: and you're taking twenty out. So your your a pool
13:25
Speaker 3: of money is still growing in that case. And what
13:30
Speaker 3: does that do? That gives you one a cushion for
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Speaker 3: volatility because it's not going to grow in a straight
13:35
Speaker 3: line at eight percent, for instance, you know some years
13:40
Speaker 3: you're going to be down. And the risk and retirement
13:43
Speaker 3: with volatility there again, that's where you have to make
13:48
Speaker 3: those adjustments to your portfolio. That volatility becomes a risk
13:51
Speaker 3: as you're taking the income out. You know, if you
13:54
Speaker 3: allow your portfolio to, for instance, go down thirty percent
14:00
Speaker 3: because we have a bear market and you're one hundred
14:02
Speaker 3: percent in the stock market, well it's down thirty percent,
14:06
Speaker 3: and we know historically it always comes back, never failed
14:10
Speaker 3: to do that in history. So what's the risk there?
14:14
Speaker 3: Just well, the risk is you have an income need.
14:17
Speaker 3: So now the market is down and you're taking money out.
14:20
Speaker 2: You're taking out, not putting in.
14:22
Speaker 3: That's right now. The market could go up ten percent
14:26
Speaker 3: the next year and begin to recover. But now your
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Speaker 3: distributions no longer the twenty thousand in an example is
14:35
Speaker 3: no longer roughly a four percent distribution. Now it's a
14:40
Speaker 3: much larger percentage of the portfolio. It's very hard. You
14:44
Speaker 3: get into a trap that it's hard to get out
14:47
Speaker 3: of if your portfolio is too volatile when you are
14:51
Speaker 3: taking distributions. There again, you have to find a balance though,
14:55
Speaker 3: because if you take no risk in your portfolio as
14:57
Speaker 3: a retire let's say you just take it down to
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Speaker 3: the bank and put it in a savings account or
15:03
Speaker 3: a money market or a short term CD and you
15:07
Speaker 3: have an income to eed and you pull that interest off.
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Speaker 3: The pool of money's not growing anymore. But what happens
15:13
Speaker 3: over time. You know, five hundred thousand dollars twenty five
15:17
Speaker 3: years ago was a whole lot better than five hundred
15:20
Speaker 3: thousand dollars today because of inflation. So you've protected yourself
15:25
Speaker 3: from the volatility risk of the market, but now you've
15:29
Speaker 3: fully exposed yourself to the cost of living risk and
15:32
Speaker 3: longevity list risk in your portfolio. So you know, there's
15:38
Speaker 3: no perfect solution. It's a balancing act. And it's a
15:41
Speaker 3: balancing act based on how we interact as the advisor
15:46
Speaker 3: and the client to discover what is the time horizon
15:49
Speaker 3: and what is the goal of that portfolio, so we
15:52
Speaker 3: can customize it around that.
15:54
Speaker 2: And I hear your commercials here on the air, and
15:58
Speaker 2: you talk about and I think a common question, am
16:01
Speaker 2: I going to a round of money?
16:02
Speaker 1: Right?
16:03
Speaker 3: Right?
16:04
Speaker 2: Yeah?
16:04
Speaker 3: And and and that's a question that you know it's
16:08
Speaker 3: it's also not only a negative. A lot of times
16:10
Speaker 3: folks think, you know, you're going to come in to
16:12
Speaker 3: see a financial advisor and he's just going to tell
16:15
Speaker 3: me I can't spend any money on anything, And that's
16:18
Speaker 3: not the case at all. You know, there are many
16:22
Speaker 3: people that come in that are have been prolific savers
16:28
Speaker 3: and investors that have accumulated a lot of times more
16:31
Speaker 3: money than than they will use in retirement. Yeah, that's correct,
16:37
Speaker 3: and it's in it in a way. They do that
16:39
Speaker 3: because psychologically sometimes it's the fear of running out is
16:44
Speaker 3: so great. Well, how do we look at history and
16:48
Speaker 3: try to find a prudent path forward? And if you're
16:51
Speaker 3: not going to spend the money, then what's going to
16:54
Speaker 3: happen to it? What are you going to do with it?
16:56
Speaker 1: You know?
16:56
Speaker 3: Or do you have goals and plans for it afterwards?
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Speaker 3: Which may be a fine goal. Maybe you don't want
17:02
Speaker 3: to spend as much because you have a purpose in
17:04
Speaker 3: mind for that money, but really having that conversation will
17:08
Speaker 3: help you get the most out of it, you know.
17:11
Speaker 3: In other words, you know, I have people sometimes they
17:15
Speaker 3: want to buy an RV or a boat or a
17:17
Speaker 3: place at the beach, whatever the case may be. And
17:23
Speaker 3: sometimes it's fine to do that. You know, it's not
17:26
Speaker 3: always a no obviously, you know, if it's important to
17:30
Speaker 3: you and you have the resources to prudently and responsibly
17:37
Speaker 3: take that action, but then take it. That's why you
17:39
Speaker 3: worked and why you saved. It's just knowing, you know,
17:45
Speaker 3: what is that balancing act and how does it look
17:48
Speaker 3: for you? Because, like I say, we're all different, all
17:50
Speaker 3: different goals, all different psychological makeups on how we respond
17:56
Speaker 3: to that volatility and risk. It's just inherent in the market. Yeah,
18:00
Speaker 3: it's a I call it a feature of the market,
18:02
Speaker 3: not a flaw, right, It's just what it is.
18:05
Speaker 2: And that's and that's what party you do that. That's
18:07
Speaker 2: a big part of what you do. You help people plan,
18:09
Speaker 2: you help people map it out, and that's got to
18:13
Speaker 2: be I mean, you obviously like doing that and you
18:16
Speaker 2: like taking the different circumstances of life and helping people
18:19
Speaker 2: through them.
18:20
Speaker 3: Absolutely, And it's a and for the client, it's a
18:23
Speaker 3: confidence builder. I Mean a lot of times folks know,
18:25
Speaker 3: I know, I've saved enough money, but then how do
18:28
Speaker 3: you turn that money that you've worked and saved for
18:31
Speaker 3: at retirement into that income stream, What do I need
18:35
Speaker 3: to adjust to make that happen? How do I make
18:38
Speaker 3: sure that I don't run out of money? You start
18:41
Speaker 3: having those conversations and you start putting it down as
18:44
Speaker 3: a plan, the confidence level rises. And what happens when
18:48
Speaker 3: the confidence level rises. Well, now, when you want to
18:51
Speaker 3: take that five thousand dollars vacation, you don't have to
18:56
Speaker 3: worry that you're splurging or spending beyond what what you should.
19:01
Speaker 3: If it fit in your plan and your budget, you'll
19:05
Speaker 3: even enjoy it more.
19:08
Speaker 2: Wait a minue, a financial planner just said, enjoy something,
19:10
Speaker 2: enjoy it.
19:11
Speaker 3: Yeah, you'll even enjoy.
19:12
Speaker 2: And always say though, all right, we're gonna take a break.
19:16
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Speaker 3: Retirement should feel like freedom, not fear. Visit Fourth Avenue
21:34
Speaker 3: Financial dot com. Let's get started the day. Fourth Avenue
21:37
Speaker 3: Financial Retirement done Right.
21:39
Speaker 1: Securities offered through Jenamco Financial Incorporated member fin Recipic Advisory
21:43
Speaker 1: services offered through Jenimco Advisors Incorporated. This is retire Right
21:48
Speaker 1: Radio with John Burdett from Fourth Avenue Financial, taking your
21:52
Speaker 1: calls at three oh four three four five fifty eight
21:55
Speaker 1: fifty eight or texts on three oh four nine three
21:58
Speaker 1: five fifty oh eight.
22:01
Speaker 2: All righty, John is here and thanks for joining us
22:03
Speaker 2: here on five hs Befourse, Charleston, Jeff Jenkins on this
22:08
Speaker 2: Monday morning, first Monday March, and we're talking about retirement.
22:14
Speaker 2: I'm going to getting ready for retirement and your portfolio
22:18
Speaker 2: and different things. And John, so we're kind of talking
22:21
Speaker 2: off the break, say that I've that just recently. You
22:25
Speaker 2: know you've paid off your home. You know you've paid
22:28
Speaker 2: off you've paid off your mortgage. Uh, it was it
22:32
Speaker 2: was one of because most mortgages I think are your
22:35
Speaker 2: mortgage plus your escro right, your your home insurance, your uh,
22:41
Speaker 2: your taxes. Yeah. So now you've got that big payment
22:46
Speaker 2: that's no longer there. Now you still need to be
22:48
Speaker 2: make sure you're paid on your own your taxes and
22:51
Speaker 2: your house insurance. Uh, but you've got that mortgage. It's
22:56
Speaker 2: no longer there. So you've got some income that's their base.
23:00
Speaker 2: The clay and there's options, right, absolutely, do with.
23:03
Speaker 3: That absolutely well. I mean, if you've paid off your house, congratulations,
23:07
Speaker 3: that means lunches on, Jeff, there you go. But no,
23:13
Speaker 3: that that is something and it's not always just a house.
23:17
Speaker 3: Sometimes a lot of times people pay off their cars,
23:20
Speaker 3: which yeah, can be very large. It really comes down
23:28
Speaker 3: to the plan. What are you trying to achieve and
23:31
Speaker 3: and now how do you tell that money what to do?
23:36
Speaker 3: If you don't tell it what to do, it will
23:38
Speaker 3: disappear amazing, it will run away. You are the boss
23:43
Speaker 3: of your money.
23:44
Speaker 2: Same way with pay raises too, absolutely.
23:46
Speaker 3: Absolutely, so you have to deliberately say, okay, this five
23:49
Speaker 3: hundred dollars, this one thousand dollars a month that I
23:51
Speaker 3: was paying out, I'm not doing it anymore. Where do
23:54
Speaker 3: I direct that money? If you just allow it to oh,
23:59
Speaker 3: it'll just keep me in my checking account and I'll
24:01
Speaker 3: do something with it later, Chances are a lot of
24:06
Speaker 3: that money is going to leak out into ways that
24:08
Speaker 3: you have no idea where it went. And so be
24:12
Speaker 3: very deliberate with that opportunity that you now have, the
24:15
Speaker 3: success that you've achieved, allow that success by paying it off,
24:19
Speaker 3: Allow that success to compound into something productive of your choosing.
24:25
Speaker 3: You know, if you're financially sound and you've paid off
24:28
Speaker 3: your house, now you've got an extra thousand dollars a month.
24:31
Speaker 3: It doesn't have to go into an investment. You might
24:34
Speaker 3: have a hobby you want to invest in, you might
24:37
Speaker 3: have a vacation that you want to take. Well, now
24:40
Speaker 3: you have the resources to achieve those things, which is
24:43
Speaker 3: perfectly fine if you're meeting all the other goals that
24:47
Speaker 3: you have. You know, but even at that, if you
24:52
Speaker 3: don't tell it, even if it's to spend that money
24:55
Speaker 3: for a vacation, for instance, if you don't tell it
24:58
Speaker 3: to do that, you won't even achieve that, even though
25:03
Speaker 3: on paper it looks like you should. Because you didn't
25:05
Speaker 3: make the decision to direct that money there for that purpose,
25:10
Speaker 3: it just it just goes away. It just runs away.
25:13
Speaker 3: Money likes to live where it's treated well, and if
25:17
Speaker 3: you treat it well and put the boundaries on it,
25:20
Speaker 3: it'll do it.
25:20
Speaker 2: It'll do the I mean, one of the options could be,
25:25
Speaker 2: you know, you you you don't write a check for
25:28
Speaker 2: your mortgage anymore, but you you write that check, you
25:31
Speaker 2: send it to your savings account. Sure that same amount. Yeah,
25:35
Speaker 2: I mean, i'd be one of the options savings account.
25:37
Speaker 3: You might look at your four oh one k O
25:40
Speaker 3: work and say, you know, I can afford now to
25:43
Speaker 3: max this this plan out that I couldn't do before.
25:46
Speaker 3: And if you're over fifty, there are catchup provisions which
25:49
Speaker 3: allow you to put even more money in into your
25:51
Speaker 3: four oh one k. You can fund brokerage accounts, you
25:55
Speaker 3: could fund self directed IRA accounts. We could help you
25:59
Speaker 3: at mile off us to set up systematic investment plans.
26:03
Speaker 3: So if that money was coming out of your checking
26:05
Speaker 3: account to pay for the house payment, the house payment's
26:09
Speaker 3: no longer there next month, you could direct that same
26:13
Speaker 3: amount of money out and now put it in an
26:16
Speaker 3: investment account and we can automate that so you don't
26:19
Speaker 3: have to think about it anymore. And now you've told
26:22
Speaker 3: that money what to do and it will do its job.
26:26
Speaker 2: Yeah, that's good device because you're exactly right. Money gets
26:29
Speaker 2: it's amazing if you don't tell it where to go.
26:33
Speaker 2: And that's a big thing of the Ramsey solutions. You know,
26:36
Speaker 2: tell your money where to go, it will It will
26:41
Speaker 2: go somewhere, and you'll have a difficult time figuring out
26:44
Speaker 2: where it went.
26:45
Speaker 3: Yeah, And even if you are one of those people
26:48
Speaker 3: who it won't leak away on if you just let
26:51
Speaker 3: it set in a checking account, what are you earning there?
26:56
Speaker 3: You let it set in money market account, what are
26:58
Speaker 3: you really earning. Let's say you roll it into CDs
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Speaker 3: every so often. Not a problem with those things for
27:04
Speaker 3: your short term needs, your liquidity that you need. But
27:08
Speaker 3: beyond a certain point, that money, I call it lazy money.
27:12
Speaker 3: It's not being put to work. You know, you need
27:15
Speaker 3: emergency funds, You need things money available to you to
27:20
Speaker 3: deal with things that pop up in the world and
27:22
Speaker 3: life that are unexpected. That way, your long term investments
27:27
Speaker 3: aren't disturbed when those things happen because you can deal
27:30
Speaker 3: with it with that emergency fund. But that emergency fund
27:34
Speaker 3: should be three to six months roughly of your living expenses.
27:37
Speaker 3: You know, if you take let's say it takes you
27:41
Speaker 3: three thousand dollars a month to live for your basic needs.
27:45
Speaker 3: You know, if you've ha eighteen twenty thousand dollars twenty
27:48
Speaker 3: five thousand dollars, you start pushing it. Well, beyond that,
27:52
Speaker 3: that's lazy money. That's not being put to work. It's
27:55
Speaker 3: not growing, it's not working towards your goals anymore, and
27:59
Speaker 3: you have to be very deliberate and uh make sure
28:04
Speaker 3: that that you have your money broken down for its purpose.
28:10
Speaker 3: Lazy money, you know, it might keep up with inflation,
28:14
Speaker 3: but there's very little real return there. It's hard to
28:18
Speaker 3: it's hard to just save your way to financial security.
28:22
Speaker 3: You have to you have to invest, and logically that
28:28
Speaker 3: makes sense, and a lot of people, you know, taking
28:31
Speaker 3: that step, there's some fear interrepidation about moving into investments
28:36
Speaker 3: because they have that volatility, But it really comes back
28:40
Speaker 3: to serving people, being valuable to people. You know, in
28:46
Speaker 3: our in our jobs, we go do our jobs and
28:50
Speaker 3: what are what is the result of that. The purpose
28:54
Speaker 3: of that is to be valuable to someone. If you're
28:57
Speaker 3: not valuable to somebody, why would anybody give you their
29:01
Speaker 3: hard earned money. They do for the goods and services
29:05
Speaker 3: that you produce because you're valuable. The companies you own
29:11
Speaker 3: are doing the same thing that you are doing when
29:13
Speaker 3: you work. They're trying to be valuable to people. They're
29:17
Speaker 3: trying to provide goods and services. They're trying to innovate
29:21
Speaker 3: and make life more efficient. That's what they're trying to do,
29:25
Speaker 3: and they earn money doing that, just like you and
29:27
Speaker 3: I earn money in our daily jobs. So really, all
29:33
Speaker 3: you're doing when you save for retirement, when you invest
29:36
Speaker 3: in the market is trying to provide that service through
29:41
Speaker 3: the companies you own, so that one day you won't
29:44
Speaker 3: have to directly serve yourself. That's all you're trying to
29:47
Speaker 3: do when you own parts of the stock market. And
29:51
Speaker 3: if you are not afraid of going to work, then
29:56
Speaker 3: really you shouldn't be afraid to own investments the stock
30:00
Speaker 3: market to get your money growing for you, because it's
30:03
Speaker 3: it's almost identical to what you're doing in your daily life.
30:06
Speaker 2: Right right, Good point eight fifty two here on the
30:10
Speaker 2: Retire Right Radio with John Burdett, Fourth Avenue Financial, Jeff
30:13
Speaker 2: Jenkins with you, and so John set this up. You know,
30:18
Speaker 2: and I know you meet with people all across the board.
30:20
Speaker 2: I mean people who are just started to work, people
30:22
Speaker 2: who are a couple of years from retirement, maybe people
30:25
Speaker 2: were a few months from retirement pushing the panic button.
30:28
Speaker 2: How how does it work with you guys? I mean,
30:30
Speaker 2: how do the meeting start? You know, how does a
30:33
Speaker 2: conversation get underway?
30:35
Speaker 3: Well, generally, you know, a phone call coming in or
30:39
Speaker 3: an email to us that says, hey, I'd like to
30:41
Speaker 3: talk to you Kathy in my office. You generally will
30:47
Speaker 3: take that get get you on the calendar. We have
30:51
Speaker 3: a little questionnaire that we ask you to fill out
30:54
Speaker 3: before you come in, just your basic information. You know,
30:57
Speaker 3: where do you work, and you know what are some
31:00
Speaker 3: of your goals, those type of things, just to get
31:02
Speaker 3: an overview of where you are and what our first
31:05
Speaker 3: conversation will be about. You come in for the meeting
31:09
Speaker 3: and all we do is talk to one another. We
31:12
Speaker 3: don't pick pickstocks or investments, so we just try to
31:16
Speaker 3: discover where you are on your money journey. Where you
31:21
Speaker 3: are on the timeline of saving. Are you at the
31:24
Speaker 3: beginning of towards the end? How are you invested now,
31:27
Speaker 3: how have those investments worked out? How do you feel
31:29
Speaker 3: about those investments? You know what prompted you to come
31:34
Speaker 3: into my office? You know a lot of times we
31:39
Speaker 3: certainly have young people, lots of young people come into
31:42
Speaker 3: the office, but.
31:44
Speaker 1: I would sales stay.
31:45
Speaker 3: The most common is somebody about three to five years
31:50
Speaker 3: away from retirement. That's where the reality sets in that
31:54
Speaker 3: retirement is around the corner. And now, hopefully all along
31:58
Speaker 3: you've been doing a lot of the right thing as
32:00
Speaker 3: far as the savings go, and and and we're just
32:03
Speaker 3: trying to come up with the distribution plan and come
32:06
Speaker 3: up with the end game plan on on how to
32:09
Speaker 3: how to invest and and take that income distribution that
32:13
Speaker 3: you'll need to take in retirement. You know, if if
32:17
Speaker 3: you wait until you retire and you haven't done enough,
32:23
Speaker 3: then you know, we've we're going to have some real
32:27
Speaker 3: planning and probably some disappointment in in that in that process.
32:31
Speaker 3: That's why it is so important to try to engage
32:34
Speaker 3: and start as young as possible saving and investing. That
32:40
Speaker 3: compound interest is powerful.
32:42
Speaker 1: You know.
32:43
Speaker 3: You know how powerful compound interest is. If you've ever
32:46
Speaker 3: had a credit card debt, you keep paying payments and
32:50
Speaker 3: it seems like it never never goes away. Well, that's
32:55
Speaker 3: the power of compound interest. You want to have that
32:57
Speaker 3: earning for you rather than paying it out. I mean,
33:01
Speaker 3: that's the whole trick. You're want to be the interest earner,
33:03
Speaker 3: not the interest payer. And the sooner you can do
33:07
Speaker 3: that in your financial life, the less you're gonna have
33:10
Speaker 3: to worry when retirement comes in and you need an
33:13
Speaker 3: income need from it.
33:16
Speaker 2: Okay, so you get the conversation started, you have a
33:18
Speaker 2: couple of meetings, and yeah, after.
33:21
Speaker 3: That, after we after we kind of discover where we
33:23
Speaker 3: are and what your goals are, then typically I will
33:31
Speaker 3: take some time. We'll schedule a secondary appointment if you
33:34
Speaker 3: want to move forward, if we feel like we're a
33:35
Speaker 3: good fit for to work together, to any accounts that
33:41
Speaker 3: that need to be moved and in accounts need to
33:45
Speaker 3: be opened, and you know those type of things. That's
33:49
Speaker 3: that's that's for that secondary appointment after I've had time
33:52
Speaker 3: to put a proposal together for you that matches with
33:55
Speaker 3: what you're trying to accomplish. Right, So there's no you know,
34:00
Speaker 3: that's that's not part of that first appointment at all,
34:03
Speaker 3: you know, So don't feel like you're going to come
34:04
Speaker 3: in and I'm going to tell you buy this. Well,
34:06
Speaker 3: I can't tell you to buy that if I don't
34:09
Speaker 3: know what your goal is and what you want out
34:14
Speaker 3: of it. So that's why that first meeting is just
34:16
Speaker 3: to get to know one another, make sure that I've
34:19
Speaker 3: answered all the questions that you may have about the process,
34:23
Speaker 3: and make sure that you know we're a good fit.
34:27
Speaker 3: Because people are people, you know, not everybody is a
34:33
Speaker 3: responds to the same way to the same people. You know,
34:35
Speaker 3: maybe maybe you're not comfortable, maybe I'm not comfortable, you
34:40
Speaker 3: know that sort of thing. That's what that first meeting
34:42
Speaker 3: is all about.
34:43
Speaker 2: Well, and I would think John that that's important because
34:47
Speaker 2: you know, probably when you meet with somebody, it's the
34:49
Speaker 2: first time they've ever met with somebody right right in
34:53
Speaker 2: this and they may have worked forty years. Yeah, I mean,
34:56
Speaker 2: you know what I'm saying.
34:56
Speaker 3: And it truly is a relationship. I mean I have
34:59
Speaker 3: clients now that have been with me for twenty five years.
35:02
Speaker 3: You know, it's important who you select to work with
35:08
Speaker 3: because you know, when something happens in your life, you
35:14
Speaker 3: know that could impact your investments. I need to know
35:16
Speaker 3: about those things, you know, life changes that happen along
35:19
Speaker 3: the way. You know, you need to find somebody that's
35:22
Speaker 3: not just oh he's he's my money guy. You need
35:26
Speaker 3: to find somebody that you're comfortable talking to about life,
35:32
Speaker 3: because life is how we direct the money. You know.
35:34
Speaker 3: That's and and so that's why it's so important, you know,
35:39
Speaker 3: it's it's that's why AI and robo advising will not
35:46
Speaker 3: you know, take everything over, because it will be able
35:48
Speaker 3: to build portfolios that's the easy part of the job.
35:52
Speaker 3: Anybody can build a portfolio. The key is building a
35:57
Speaker 3: portfolio for you and your individual will temperament your individual
36:01
Speaker 3: goals and that's a relationship.
36:04
Speaker 2: Yeah, all right, And so what's the best way to
36:06
Speaker 2: do that to get in contact again with you guys, Well.
36:09
Speaker 3: You could call us. Obviously, the phone's still in the
36:14
Speaker 3: internet age. The phone is still are effective. It's a
36:17
Speaker 3: three zero four seven four six seven nine to seven seven.
36:22
Speaker 3: Just call the office, tell them, hey, I want to
36:25
Speaker 3: set up an appointment and we'll get that process ball
36:29
Speaker 3: rolling for you. Get you on the calendar, get the
36:31
Speaker 3: worksheet out to you, and get it going. If you
36:35
Speaker 3: are particularly tech computer savvy, if you go to our
36:38
Speaker 3: website which is Fourth Avenue Financial dot com, all spelled
36:42
Speaker 3: out f O U R T H, it will prompt
36:47
Speaker 3: you if you'd like to set an appointment up online yourself.
36:51
Speaker 3: It'll prompt you to do that and you can. You
36:52
Speaker 3: can do it on your own, okay, And at that
36:54
Speaker 3: point we'll reach out to you to get that questionnaire done.
36:57
Speaker 2: Okay, John, good seeing, Yeah you too. You guys care Okay,
37:00
Speaker 2: We're going to do a special shore by John Purchasing
37:02
Speaker 2: baseball cards that's coming up. Oh no, no, be quiet,
37:07
Speaker 2: all right, sorry about that, all right, ABC, there's this next.
37:11
Speaker 2: This is five AD w c HS.
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Speaker 1: W C H s A N W two four three
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Speaker 1: D r F M Charleston, W two A three hqu
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Speaker 1: Coross Lanes, a w VRC media station. We're proud to
37:32
Speaker 1: live here too,