Can Money Buy You Happiness in Retirement?

9.15.23: Audio automatically transcribed by Sonix

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

Producer:
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.

Producer:
Welcome to The Buckeye Advisor with your host, Woody Bowling. Woody is a fiduciary licensed financial advisor and Medicare expert who always places your needs first. Woody 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 Woody Bowling.

Woody Bowling:
Good morning and welcome to another exciting, fun filled informational episode of The Buckeye Advisor and I am The Buckeye Advisor. My name is Woody Bowling. As you can guess by the name, I am a Buckeye by birth. I am located in southwestern Ohio, in between Dayton and Cincinnati. And I'm also an advisor. What kind? You ask? A fiduciary advisor. I help people with retirement planning, Medicare, life insurance and much more. And you're going to find out a lot more about what I do to help people generate great ideas and great plans for retirement and make that retirement comfortable, affordable and secure. And that's what we're all about. And welcome, if you're listening on the podcast because you have the luxury of listening anytime you want, wherever podcasts are available. But today we're coming at our listeners on 94.5 FM Dayton The Answer Dayton's conservative radio program. Love this station. Great content during the week. Without further ado, I want to introduce the glue that holds everything together with The Buckeye Advisor Show. Week after week, he shows up, he puts up with me and he even smiles and acts like he's enjoying it sometimes. And that's our favorite guy. Our producer and co-host Matt McClure. He's coming to us from Atlanta, Georgia. Welcome, Matt. And hello to you.

Producer:
Hello, Mr. Bowling. I appreciate it, sir. And you know what? I don't even have to pretend I do enjoy being part of the show. And, you know, I have to I don't have to put up with you. I feel like you got to put up with me. So there we go.

Woody Bowling:
Well, it's always good to have you. We're we're super psyched up. I mean, this is our 61st episode number 61. I can't believe it. We're taking a little bit of a different approach. We're going to be really down in the trenches today with our listeners about why you need a tactical approach to your retirement. I think this is going to be some content that many of our listeners have never even thought or heard about from their current financial advisors. If they have one, maybe it's an advisor at the bank or a broker with the one of the big box brokerages. We're going to share some information that's going to be really important for them to listen, and we hope they stay tuned to both halves of the show because we have put a lot of effort into getting ready for this. And I think it's going to be very helpful for quite a few people today.

Producer:
Yeah, I think so too, Woody. I mean, you know, it's we've got some terminology to kind of educate listeners on today, and I think it's such a good thing and such an important thing to do because you out there listening, you might hear some, you know, different terminology that kind of just makes your eyes glaze over when you hear people talking about it. Maybe you're watching, you know, CNBC or Fox Business or Bloomberg or you're hearing some reports on on the news or whatever about things going on with finances, with the stock market, with all of that. And you wonder what it means and you kind of tune out because you don't know what it means. Well, we are going to keep you from tuning out because we're going to explain what it means and we're going to do that in a way that really brings it home. And and you can understand. Right. And that's really the biggest part I feel like of the show here, Woody, is is educating people and really, you know, bringing bringing stuff home for them, you know, in a way that they can really understand.

Woody Bowling:
Yeah. You know, the one thing I do, I like to tell people that I work with all my clients. You know, they have access to me, lots of access to me. They have my cell phone number. And, you know, occasionally a client will call me on a Saturday, sometimes even a Sunday or maybe in the evening at 730, 8:00 at night. Most people don't have access to their advisor that easily. And I very, very happy to provide that access because ultimately people need to feel secure in their relationship with the person that's helping them with their financial information, their financial products, their financial accounts, their retirement accounts, investment accounts. I help people with Medicare, life insurance and some other things as well that all come together in their overall plan to make sure that that retirement is put together and ready to go when they're ready to step into it. I also help a lot of people that over the years that have gotten referred to me and some have heard my show and they have called me, they're already in retirement and they want a second opinion on the plan that they've already put in place, maybe their investments, their 100% in the market, and they're not comfortable with that. We're going to talk a little bit about security along the way in our show today. So all kinds of reasons. If you're 50, 60, 70, 80, I can still.

Woody Bowling:
Debut up front. Good advice. That's not going to cost you anything. And then if we decide mutually that we want to work together, then we'll continue on the relationship after that. But that's the thing. I want to dispel that myth right away. I'm not just working with people that are, you know, really ready to retire right this minute or the next six months. I work with a lot of people that are already looking at retirement or already in it, as well as people that are a few years away. They're in that retirement red zone and we've mentioned that term before, Matt. Really, it's ten years before and ten years after because it's never too late to make changes in your behavior if you're getting ready to retire. And also once you're retired 5 or 10 years into it, it's not too late to make crucial changes to help preserve that retirement and perhaps create some much needed income that would give you some peace of mind rather than have all of your money percolating in the stock market every day. We know how that goes. It goes like a roller coaster ride at Kings Island or Six Flags. It's up. It's down. It's up, It's down. But we're going to talk some more about that in the show. Matt, how can listeners find us if they're looking for The Buckeye Advisor besides the radio today?

Producer:
I mean, you know, we're pretty much everywhere. Woody We got TheBuckeyeAdvisor.com website that is The Buckeye Advisor. All one word and with an o r at the end of advisor by the way TheBuckeyeAdvisor.com or you can call Woody bowling do it the old fashioned way folks he will answer his phone which amazes me every time because so many people today and even advisors feel like, you know, you talked about Woody people not having access to their advisors. They will have access to you because you will answer your phone. And I know that from experience. (937) 974-6201. That's (937) 974-6201. You can also find us online at youtube.com and you go there you search for The Buckeye Advisor. You'll find highlights from past shows and everything else that we have done here, maybe some special content and things like that all up on that YouTube channel. And of course, as Woody said, wherever you listen to podcasts, subscribe to us, you can get notifications for every new episode As what he said. This is number 61 here. And so you can go back into the archives, listen to all the past episodes there and get notifications for all of the new ones as well.

Producer:
So great, great stuff there. We are pretty much just everywhere on the old interwebs, as they say, and by they mean me. But anyway, well, we've got a great show as we've been teeing up here. We're going to get into the meat of it with our Quote of the week momentarily. And then we also have a question to ask that you sort of teed up here a moment ago. Are your retirement savings being tactically managed? Well, we can help you find that out and we will do so. Also, why your expense ratio matters. That is another one of those terms we'll talk about today that's very, very important for our listeners. So Social Security cuts and how those could affect retirees if and when they are to happen in the future. And also maybe get to a little bit more content in the show, but just a lot to cram in here. So an action packed hour of radio and podcasting that we have to do. So let's get right to it. What do you say with our quote of the week.

Producer:
And now wholesome financial wisdom, It's time for the quote of the Week.

Producer:
And our words of wisdom this time around. Mr. Bowling come from Daniel Kahneman, who is an economist and psychologist, winner of the 2002 Nobel Prize in Economic sciences. And so someone who we should all think, listen to and can can glean something from his words of wisdom here. And they're very, very good this week. It's this quote, Money doesn't buy you happiness, but a lack of money certainly buys you misery. Got to love that. Wow.

Woody Bowling:
That is very true. And the fact that Mr. Kahneman has that Nobel Prize 21 years ago, very, very impressive. They don't just hand those out like candy, you know what I mean? Especially around Halloween. So kudos to him for his Nobel. But I couldn't have said it better. Money doesn't buy happiness, but you know, it's a necessary evil. I tell people, I've told my kids that I tell other folks I talk to because, look, when we and we deal with the primary. Topic that we deal with each week is retirement. And we know at some point there's a finite timeline where you're going to say, okay, I'm pretty much going to call it quits on working. What have I done to get ready for that, right? So that's where we're at. But a lack of money certainly buys you misery. There is no doubt about that. There's a on the flip side, I can tell you there's a lot of people that I know that don't have much money at all, and they are the happiest people you could ever meet. So God love those people as well, because it's true. Money doesn't make you happy just to have it, but it's good to have it, especially when it comes to retirement, to being able to take trips to leave money behind for your kids and grandkids. It's a nice thing to have, but at the end of the day, it can't necessarily buy you good health. There's a lot of people that have lots of money in their savings and investment accounts and they have bad health and they would trade lots of that money to have good health again. So only God knows about our health situation. But great quote this week, Matt and couldn't agree more.

Producer:
Yeah, it really, really is one that that hits home for a lot of a lot of folks it is a necessary evil and that's why we we spend so much time as human beings worrying about it, talking about it, thinking about it and why we are here, to help educate the listeners about it as well and hopefully give you some peace of mind so that you don't have that misery that comes with having none of it. All right. And speaking of it and it being money, if you have an investment portfolio right now that you are hoping to put to good use one day when you retire, whether that's not so far away, maybe a few years down the road or if it's several years down the road coming up, whatever your case may be, you want to make sure that that is going to be there and is going to be as large of a pot of of money as possible and some, you know, as large of a sustainable income in retirement as possible as well. And one of the ways that a lot of people like to do that is through tactical management. And so we wanted to ask the question to you, the listener today, are your retirement savings being tactically managed? So what do you talk about that tactical management, what that means for our listeners and why they should know about it?

Woody Bowling:
Yeah, I think most of the listeners today or whenever they're listening to this podcast think the answer would be probably, I don't know. Right. I think most people don't know if they're in a 401. K and your primary source of retirement savings is in that 401. K. I can tell you it's not being tactically managed because when you do a 401. K signup, you're presented with options and you're going to get a handful of mutual funds that you can pick, or even worse, in some cases, they're given a target date of mutual funds and it's just made up of stocks and bonds within that mutual fund. And it's based on your projected year of retirement. So what it automatically does is adjust each year the amount of stocks versus bonds, and it reduces the stock over the years. Unfortunately, when you get into some years that I've I saw it with someone I did about three years ago, they're return on their 401. K and it was very sizable. It was like a $300,000 401. K their return was only 5.7%. Well, guess how much the market went up that year? The market went up 2,627%. On. So let's figure the difference. 20% on over $300,000. That individual missed $60,000 in gain because their employer and this guy was in his late 50s, their employer chose to automatically put him in a target date fund. He didn't remember choosing that.

Woody Bowling:
He was shocked when he discovered the loss. So, look, there's the tactical asset management that involves actively managing the money. It moves the money it can trade. Often it's really best probably for a short to medium term horizon for you as an investor. So let's say 1 to 3 years, somewhere in there, you know, versus a strategic asset allocation, that's where you pretty much that's where you find the 401. Ks A lot of people also set up their own retirement accounts, investment accounts with a broker or financial advisor. The advisor puts them in a family of mutual funds. They spread them out over ten, 15 different mutual funds and they pretty much they use a buy and hold strategy. And if you're an investor, a lot of people are familiar with that buy and hold. That just means you buy the mutual fund, you buy the individual stock and you plan on holding it and you don't really switch it around much. So that's more of a strategic based on long term horizon. Well, I'm going to retire in five, seven, ten, 20 years. So if you do it at the the further out you are from retirement, the more aggressive you can afford to be because you have a you have a longer time span to make up losses when the market does have bad years and we know those bad years happen.

Woody Bowling:
And then you can kind of mix all that together and you can really reach. What we try to do is we really with the people that we have, the traders, the staff that we have at Brookstone, Capital Management on the investment money management side of my business, you know, we try to blend those together, strategic and tactical, because we want to take the emotion. And as an advisor, I've had lots of clients over the years where we I do what's called talk them off the ledge and people get emotional. People get nervous when the market goes down and if their counts down 10 or 15%, which happens sometimes. So you've got to understand, have an advisor. There's value in talking to me and having me work with your situation because we're going to hold your hand through those bad times when they happen. But we're also going to, for the most part, try not to have all of your money in the market. That's one thing that I do for a lot of my clients. But. You know, tactical asset allocation along with strategic. When you mix the two together, you get a little bit lower level of risk and you get a focus on diversification and you can really take advantage of the most positive features of both. So that's what I try to do on the investment money management side of our business.

Producer:
Yeah. And that diversification, such an important thing. We'll get more into that as we as we go along here as well. And also, you know, minimizing your risk because as you said, Woody, you know, as people get a little older and further on in our years, we want to take less risk, generally speaking. So that's also a very important thing. And just to sort of, you know, bring these these points home here, we've got a few reasons. Seven, as a matter of fact, to consider a tactical approach to your retirement savings and how that could be advantageous to you. The first one, I mean, you really illustrated it great there, Woody. And that was sort of on the opposite side of this, you know, talking about missed gains. Well, this is a, you know, missed decline in the market is the first reason, because you can protect yourself from market declines with something like this. You know, tactical asset management that we're talking about.

Woody Bowling:
Yeah, no doubt about it. And that's so it's so important if any of our listeners are they know someone or they themselves have an old 401. K with a prior employer or a 403. B, Don't leave it there. Call me. Contact me. Let's talk about why it makes sense in today's show illustrates perfectly because that 401. Company doesn't care about your or their 401. K. They're going to leave it alone. They're going to send a quarterly statement. They're going to answer the call at an 800 number. You have a bank phone, bank of advisors that take calls there and that's it. Most of the time they're not going to give any sort of advice on where you should be because they don't want to take that responsibility. But as a fiduciary advisor, we're going to move that 401. K or 403 B into an IRA. Maybe it makes sense to do it as a traditional IRA where we don't have any tax consequences. Or maybe it makes sense depending on your age and the size of it and all that. Maybe it makes sense to convert all of it or part of it to a Roth IRA. And guess what? If you do that, you absorb that tax hit the first year or the 2 or 3 years that you convert it. After that, your earnings and growth on that Roth IRA are what we love to call the manna from above tax free for the remainder of your life.

Woody Bowling:
So it's a big deal. And tactical money management with what we use if you're portfolio is being looked at quarterly and quarterly, there are adjustments made to what's performing based on that market sector that those companies are in. That's a big part of strategies that I use for my own money and also for client assets. So it's a big deal. It's very important because we want your account. My objective is for your account to grow and as your account does better, I do better. You know, we charge a flat gross fee that's mutually agreed upon at the beginning of our relationship, and that's it. So there's no transactional fees and you won't get a quarterly or monthly statement. You get a monthly statement with us. And that's not going to show a bunch of transactional charges. It's going to show one fee. That's it based on your balance at the end of the month preceding. So it's a big deal to use tactical money management. And I want to encourage people, if you know somebody and many people do that, change jobs and maybe they had A41K, they just left it alone. It's an important time to consider talking to someone like me. (937) 974-6201 about why it makes sense to roll it over into an IRA to help protect it and grow it in the long term.

Producer:
Yeah, that would be a great thing for you to do. Get in touch with Mr. Woody Bowling at TheBuckeyeAdvisor.com. You can also call (937) 974-6201. Sort of covered this point a minute ago. We won't go into too much detail on it to to follow up but just to mention it again avoid emotional investing that's another reason to consider a tactical approach for your retirement savings. Don't let your emotions get in the way of potential growth in in your investment portfolio.

Woody Bowling:
Yeah, couldn't have said it better, Matt. It happens all the time. People don't like to admit it. They like to put on a brave front. But I've talked to people DIYers do it yourself investors. I've talked to them over the last three years during Covid. I talked to 2 or 3 after the Covid initial drop, and then when the market raised a few months later, they admitted that they bailed out, they went to cash and they missed most of the upswing back into the market increase. So that's what I do as an advisor. We're not going to stray from the strategies that we set forth upon starting our relationship, working together because it's too important. I'm not going to let people bail out just to bail out and because it just doesn't make sense, there are people that are pulling money out of their accounts monthly to supplement their Social Security and pensions. That's normal. That's what we do. That's why we help people do this. But overall, you need somebody to help you stay focused on the long term plan and don't stray from it by bailing out and saying, Oh my gosh, I need to go to cash.

Producer:
Yeah, that's not a good thing. You know, the money's not going to be doing you any good, you know, under your mattress or even just in a regular checking account savings account kind of a thing because you can get much, much more growth in other vehicles. So this is the reason folks reach out to Woody Bowling and he can help you with all of these things. You can also, Woody, through tactical asset management, receive the income that you need.

Woody Bowling:
Right? You can mean actually just touched on it. And it's true. I'm here to be as flexible and helpful for clients as possible. Number one, we want to grow your assets for retirement and in retirement. Number two, we want to come up with strategies that are going to provide income for you to help offset expenses. Inflation. Inflation is still around. High interest rates are still around. But hopefully in retirement, you're not borrowing much in retirement, if any, other than maybe a new vehicle or something occasionally or whatever the case. Hopefully you got your house paid off and all that. So income is a big deal. We pull it out of our investment accounts for clients and we also pull it out of the protected portion of the retirement assets that I do for clients, which is a fixed indexed annuity. That's a great place to park a portion of your retirement assets. We can guarantee income for life from that portion. And I can tell you people, Matt, are still shocked at how much income we can produce from a much smaller pool of money than they thought would be needed to produce that sort of income.

Producer:
Yeah, There you go. And just a little less than two minutes here left. Woody in this first half of the show. But that very point that you just made is so, so important for people because of the number one fear of retirees. We've seen it in survey after survey, and that is running out of money in retirement and protection against that. You know, another reason to consider this, you know, sort of strategy of tactical asset management.

Woody Bowling:
Yeah, it is. I mean, people don't want to run out of money. I don't want you to run out of money. We're going to do we're going to pool all of our knowledge, all of our resources as an independent financial adviser and agent, We're going to find you the best options to protect that money, to grow it. But at the same time, we're looking also to not just do all that, but we want to generate a respectable, solid return long term to help you grow it in retirement, pass it on to your beneficiaries so that that will still be around to provide a blessing for your offspring and their offspring.

Producer:
That is a big part of what this is all about, is not only setting yourself up for success, but setting up future generations for success as well. Well, just about time for us to take our first break. This is The Buckeye Advisor. Stick around. Much more to come.

Producer:
Thanks for listening to The Buckeye Advisor. If you like what you're hearing, subscribe to our YouTube channel to watch videos from this program and other recent episodes where you. Missed part of today's show. The Buckeye Advisor is available wherever you listen to podcasts and online at TheBuckeyeAdvisor.com.

Producer:
Welcome back. This is The Buckeye Advisor. I am Matt McClure. And you might think, oh, that guy sounds like he could be The Buckeye Advisor, but you would be wrong. The Buckeye Advisor is Woody Bowling and he's here with me on The Buckeye Advisor Show each and every week. I'm just the co-host and producer, but you know, I try not to give myself too big of a head because I work with such a great guy as Woody Bowling. You can go to TheBuckeyeAdvisor.com that is TheBuckeyeAdvisor.com to reach out about anything that you hear on the show and to get a full retirement plan consultation completely complimentary to you as a listener of the show. We'll talk more about that coming up here in just a moment. You can also do it the old fashioned way by calling Woody at (937) 974-6201.

Producer:
The marriage counselor loves them, keeps him in business. It's the dad joke of the week.

Producer:
You know on a lot of the show what do we get? We get serious. We talk about some serious topics and then we like to let loose a little bit and have some fun. And this is that portion of the show where no matter what goes on, no matter what's happening each and every week, we like to have fun with the good dad joke.

Woody Bowling:
Yeah. So you're saying we let our hair down a little bit is what you're saying?

Producer:
That's right. That's right. But, you.

Woody Bowling:
Know, I wear my hair short, and you do, too. I'm just saying, I'm not into the manbun thing. You know, I'm a Reds fan and 3 or 4 of those players have man buns. I'm not a big fan. But anyways, whatever. Whatever people go. So, Matt, I got to say, we're going back to the well with a great blonde joke this week and whatever percentage of the blondes out there. I love everyone. I'm equal opportunity, blondes, brunettes, redheads. I love them all. I've got different shades in my family. And my wife is a blonde, a beautiful blonde as she loves a good blonde joke as well. Matt, how do you make a blonde laugh on Saturday?

Producer:
I don't know. How do you make a blonde laugh on Saturday?

Woody Bowling:
Tell her a joke on Wednesday.

Woody Bowling:
Okay.

Producer:
Like that one.

Woody Bowling:
I like it too.

Woody Bowling:
Yes, it is. Wife wifey.

Producer:
Approved. I was going to say, as long as it's wife approved, then we're good. Nobody's going to get in trouble. And just just put that out there. Disclaimer folks, Wife approved and she is a blonde. Well, I.

Woody Bowling:
Do spend a little time in the doghouse each week, probably, but it's usually not because of a blonde joke.

Woody Bowling:
Yeah, there you go.

Producer:
For different reasons. Right. But, you know, we'll we'll let him let this one slide as far as the blonde jokes go. But. Okay, Woody, let's let's sort of wrap up our conversation about tactical asset management in a nice little bow here. Just to recap, folks, if you are just joining us here for the second half of the show, we've been talking about tactical asset management, a tactical approach to your retirement savings and how that could be beneficial to you. Basically, it's, you know, more active management of your assets, right? Instead of just buy and hold, the person who is managing those assets is is making moves more often to take advantage of different conditions that are going on and not just sitting there and and letting things play out as they are. Right. So we've been going through seven reasons to consider a tactical approach for your retirement savings. And we went through these increased protection from market declines, avoid emotional investing, receive the income that you need, and avoid the number one fear of retirees that is running out of money. All very important things. But Woody, this one also important that we didn't quite get to last segment, so we're picking it up here is outpacing inflation. I mean, that's huge because it's been so rampant over these last couple of years. Yeah.

Woody Bowling:
Inflation when it when it began raising its ugly head a couple of years ago, I mean, it came back in full throttle mode. And I'm going to tell you, these seven things we're talking about, I don't want to rush through them. We don't have a need. But I can tell you, I love this outline of the show. These topics are very important for people to understand. And, you know, usually if people go to a dinner seminar or something like that, they're going to get pushed towards one product or they're going to get pushed towards this or that. And most people go to those without any intention of doing anything other than eating the free meal, let's face it. And you're getting free content from us today and that's okay. We don't know. You're getting free content. We don't know who you are until you call us. So that's okay. But we know eventually some of this information is going to sink in and you're going to say, Man, this guy actually knows what he's talking about.

Woody Bowling:
And I think he.

Woody Bowling:
Might be a good partner for me to really complete the full circle of this retirement picture and make it all work together. So, you know, outpacing inflation. The banks biggest thing about a bank, there's two things. Number one, most banks do, they have an investment services side and they're going to push you to have all your money that you invest in your 401. K rollover or your investment accounts for retirement. They're going to want it to all be in the market. They're going to tell you stocks and bond mutual funds. That's the way to go. Don't worry about it. When the market goes down, ride it out. It's okay. Guess what? Most of those people are committed to a certain amount of production through certain mutual fund families, and they try to fulfill those obligations monthly. That's just the unfortunate side of the business. As an independent fiduciary advisor, I am under no such whim of anybody that tells me what to do with my client's money and assets and where to put it. The person who helps me do that is the listener, my client, and we're going to come up with the plan together so you can keep all your money in the investment side. You're going to be in the market, you're going to up and down like crazy.

Woody Bowling:
It's going to be they're not going to manage it strategically. The other side of the bank, they want your money in a savings account, paying you basically nothing. And they also want to give you the option to have a CD. Well, if you have a CD, they're going to limit your liquidity and all that. They'd prefer you not to touch it. It's going to forfeit interest and all that. But guess what? When you take out a CD with the bank, the bank can go out and lend 6 or 7 times that amount and they can lend it to people, giving them high interest rate credit cards, auto loans and all those things. So who's making money in that situation? Not you, primarily. If inflation is at five and a half, six and a half, and it's been up to 9% and you were making 3% or 2% or one who's coming out ahead, not you. So that's the thing. So when we look at safe money strategies, when we can offer people a blending of strategies that are investment related on a portion of their retirement savings and the other portion is protected, the principal is protected like a CD, but it's not a CD. A fixed indexed annuity can also offer indexed driven returns. So if part of your money in that fixed indexed annuity with no fees and it has a cap at one year cap right now of around 8.5% and the market goes up 9.5%, the S&P 500 does one year from now, you get credit for 8.5% interest on your on your fixed indexed annuity.

Woody Bowling:
That's crazy. Good. Most brokers are never going to tell their clients about that. If they talk annuities, they're going to talk one kind of annuity, and that's a variable annuity and that has mutual funds in the subaccounts that make it up. Guess what? Listeners and folks, a variable annuity has fees somewhere between two and a half. That's the lowest I've ever seen, all the way up to around 5% annually on that variable annuity. It is true if you have one, if you have an annuity that can go up and down in value, that's a variable annuity. You may not know it by that name. You're the person that sold you that may never have told you that. It's unfortunate. A lot of that happens and I've run into it all the time. So we want to outpace inflation with your savings and we can do it a couple different ways. And you need to talk to me for more details and the plan that's going to be right for your situation.

Producer:
Yeah, that's really what it's all about is is coming up with a plan that is right for you because everybody's situation is different. And we'll talk more about about that here just momentarily. But another advantage of something like tactical asset management, which we've been talking about here, is managing risk over time. I mean, you know, we talk about you risk a lot on the show and for good reason. As we say, you know, what are the older that we get, the less risk generally we want to take.

Woody Bowling:
And that's 100% true with the exception I have a I have a couple or a handful of clients that do like to trade individual stocks and aggressive, risky type stuff, let's call it. And they do that. But it's with a finite amount of money. They do it on the side. They do it on their own account. I don't manage that money and I tell them I won't manage that money. I would, but I'd put it in one of our strategies we use that makes more sense. So that's almost like gambling. And it sickens me to see all the gambling ads on TV now and every other ad during a sporting. The event is about a new online casino. It's crazy. So. Most people, as you said, they don't want as much risk as they get older. We're going to help them manage that. We're going to do a risk profile questionnaire. We're going to show you the answers and we'll add them up. And I'll tell you, your moderately aggressive, your moderate, your aggressive. So we're going to put you in strategies on that part of your savings that match that profile. And the other part of your money, we're going to look at protecting a portion of that with something that's going to do what we talked about a little bit earlier, principle protection with good outcomes, potential from that index that you follow. Very, very important because, Matt, we've talked about this once or twice. If you're in retirement and you start out with $300,000, that's a good number.

Woody Bowling:
Some people will say, well, that's not I should have way more. But you know what? 300,000 is a good number. So be happy with what you've accumulated. You're not going to change the world if you're 65 and you've got 300,000, more than likely you're not going to build that to a million after that. So that's what we specialize in, helping people understand what you have saved, how we can best put it to use. But if you lose 20% during that first year or year and a half and you're pulling money out, if you just lost the 20%, you have to make 25% gains to make that up to get back to level, get back to zero starting point. Okay. But a lot of people, when they retire, not everyone, but a lot of people say, okay, it's time. I've worked hard. I want to put this lump sum to use. I'm going to start pulling some money out. Let's deposit it in the bank every month from my account. Perfect. We do that. So if you're if you're in just a retirement account only, that's always market driven. You're pulling money out to start. The income starts, you kick it off and then you're also losing money. That account is going to be depleted way, way faster if that happens. That's why we think it doesn't make sense to be 100% market risk driven when you start getting into your early 60s, mid 60s or sooner, you need to start considering a break from being 100% in the market.

Producer:
Yeah, I mean that that's absolutely the case. And for more information about that, folks, you need to reach out to Mr. Woody Bowling. (937) 974-6201 is the number you can also go to TheBuckeyeAdvisor.com that's advisor with an Or at the end by the way and kind of wrapping this section of our discussion up Woody it is all about customization for each and every person. The last point that we have here on why you might want to consider tactical asset management for your retirement assets is because you can get this plan that is designed with you in mind. And all of that really starts out with taking a deep dive into your situation through a full retirement plan consultation, which I know you provide to our listeners free of any cost, free of any obligation.

Woody Bowling:
Well, you told me in one of the shows earlier I was not allowed to charge for that. We have to say free consultation.

Woody Bowling:
That's right.

Woody Bowling:
I follow your instructions, Matthew. But anyways, listen, you couldn't have said it better. Very well said. And I hope our listeners can tell that I'm passionate about this because this is what I do for a living for the last 1415 years. I'm very passionate about it. We need to be told the truth. People, I think advisors, there's a lot of advisors out there that by not disclosing certain features of what they're doing with people's money, I think that's they're, they're okay with that because they're saying, Well, I didn't tell a lie, but if you don't tell people everything to me, that's a lie. So I don't take kindly to that. So I want people to know this is what you're getting, this is why we're doing it. This is how much your money is going to save strategy, how much is going to be in the market. So think full disclosure only can be done after I know the entire situation with my client and with with someone who wants to talk with me. Give me all you got. We're going to ask a lot of questions. We're going to gather it up. We're going to do research. We're going to come up with strategies. Do you have the right amount of life insurance? Do you have a will or a trust? If not, you probably definitely should consider a trust based on the amount of assets you have, and I can help guide you through that process. So all those things are very important when choosing an advisor, and I'm always blessed to work with great people and I'm happy to talk to people. I value the opportunity to talk to people. I'll answer my phone on Saturday or Sunday if you want to chat after listening to this program. If I miss your call, leave me a message and I'll call you back. But we will talk. I will go the extra mile to make sure that you understand your entire situation and explain the. Commendations so that they're all crystal clear.

Producer:
Getting crystal clear information is so important when you're talking about your retirement and your future, your financial future, especially. Just go to TheBuckeyeAdvisor.com that is The Buckeye Advisor with an or.com or you can call Woody at 93797462019379746201. All right so we teed this up and so I want to deliver to the people got to give the people what they want and you got to give the people what they were promised. So we're promising a look at expense ratios now and people. Okay. You know, I can hear you sighing listening to the radio or the podcast saying, oh, this sounds exciting, but it really is so, so super important. It really, really is an expense ratio. Woody, First off, what is it and why is it really, really important for people to to know and be aware of?

Woody Bowling:
Yeah, it's.

Woody Bowling:
Super important because the long term, when you add it up over a number of years and that number of years can be very, very long at times it's the management fees that are, you know, being charged in that portfolio portfolio. Easy for me to say, divided by the total investment in the fund.

Woody Bowling:
The problem.

Woody Bowling:
The trouble with a lot of statements today that clients see is they don't see some of the underlying expenses within the mutual funds and other marketing fees and things like that. So. People don't know. A lot of times people don't ask and their broker's not going to disclose what they're paying. And I think what we do is the right thing. On the investment portfolio, things that I do for clients, we charge a flat fee. I charge a flat fee. It's an annual fee. It's going to be split up over 12 months based on the balance at the end of the month previously. And as your account grows, that means I do better as well. So it's a fair trade off If your account's down, you know, we're down on our side on the fee as well. But the important thing people need to know is there's no additional fees within their account or, you know, if we adjust the portfolio. We talked about tactical money management earlier. If we adjusted, we're not charging them transaction fees. We don't charge them. This fee, that fee, the other fee, miscellaneous fees, all that get layered in. So that's the way I think. Fair. It's fair clear Disclosure advisors are definitely overcharging their clients. They put them in different things. And look, if you're in a bond mutual fund or a bunch of them and that bond fund is not doing well as it hasn't done the last couple of years, you know, that bond fund is supposed to be a counterbalance to stocks, is supposed to provide a safe haven. Well, it's done anything but that. And in 2022, it was the worst year ever for bonds. So we just think that old paradigm forms like bonds being the only way to go are not true anymore. And fixed indexed annuities should make up that portion. I've got some outstanding opportunities for clients that I've done over the last few years and even more new ones coming along each week.

Woody Bowling:
No fees.

Woody Bowling:
Excellent growth opportunity. So why would you pay an advisory fee of one, one and a half, 2%? I've seen all those different fee levels. Why would you pay that on bond funds that aren't really providing the safety and security that people need for a portion of their retirement assets? It just doesn't make sense.

Producer:
Yeah, it really does. And you know why overpay for something that's underperforming? You know, it really just doesn't make sense at all. And there are better options out there, especially in the in the environment that we find ourselves in today. A lot of people doing bond replacement with something like fixed indexed annuities, which you've talked about on the show. And yeah, I mean that relationship, that sort of, you know, inverse relationship between stocks and bonds that had lasted for decades and decades really has not been the case this time around in this very strange economy that we've been experiencing over these past couple of years. That's caused a lot of investment portfolios to suffer kind of needlessly here because there are other options and better options. And, you know, speaking of of paying those fees, what do you mean? I would imagine there are a ton of people out there and a lot of people who you meet with who just really have no idea how much they're paying in fees because I feel like a lot of those fees are kind of, you know, hidden away in in different parts of of things and might not be clearly listed on statements, might be wrapped in other things. And so, you know, it's so important to know and I think that, you know, as part of that free consultation, that's what you can do is help people determine what kind of fees they're paying. And, you know, even if they're even if they're kind of hidden creatively.

Woody Bowling:
Yeah, exactly.

Woody Bowling:
And you couldn't have said it better. Matt, I have done this time and time and time again. I've sat with people. They have an annuity sometimes it's a fixed indexed annuity, but it's an older one. It's a variable annuity or just a regular investment account. And we will sit down together in your home. I will call that company with you sitting by my side. We'll call them on speakerphone and we will ask about all the fees that you're paying. And it can be very enlightening when we do that because you're hearing it from the mouth of the customer service representative on the other line for that company. When people find out that they're paying for four and a half, 4.7, 5% on a variable annuity in annual charges, they are shocked when they find out they're paying two, two and a quarter, two and a half on their investment account.

Woody Bowling:
They're shocked.

Woody Bowling:
And I want to tell people, if you have a if you're over 59.5 and you have a 401. K with your current employer, not just an old one with your other employer, we definitely want to look at that. But if you have a current 401 K at 59.5, most companies will allow you to do what's called an in-service withdrawal. That's where I come in with folks. We can look at moving that into an array, strategically manage it for you. And then also it doesn't affect the fact that you can still keep participating in that 401. K. So you're going to work a while longer. That's great. You can keep doing that. Doesn't impact your ability to contribute, nor will it change your employer's ability or desire to contribute. Everything remains the same. You just start back sort of from ground zero for the next few years while you're working. And with that lump sum, we move it to an IRA and then we strategically manage it more suitably based on where you are at in your desire and your risk profile today.

Producer:
And that, again, is really what it's all about bringing that home, that that level of customization to you because, you know, a generic plan is not really a plan. It's just, you know, some numbers and maybe ratios and stuff like that that are thrown out there. But it's not a plan for you. And if it's not a plan for you, it's not going to be as effective as it could be. It could be detrimental to your particular situation. So that is why you need to reach out to Mr. Woody Bowling. He is otherwise known as The Buckeye Advisor. You can go to the website, The Buckeye Advisor with an Or at the end.com that's TheBuckeyeAdvisor.com or you can call him at (937) 974-6201. Well Woody just almost time for us to wrap things up boy I tell you what these shows keep on going by faster and faster. Kind of like the years keep going by faster and faster as we get older. But you know, the show, they say time flies when you're having fun and we like to have fun around here. So anything else that you wanted to say here before we have to run in the last kind of minute and a half that we have?

Woody Bowling:
Well, you know, we've.

Woody Bowling:
Heard of the wildfires in in Maui a couple of weeks ago. Huge, huge loss of life and of property. I've been to Maui. It's been several years. I the Lahaina, the town that got destroyed. I've been there. It was a quaint little town. Very, very sad to see the devastation from the wildfires there and sending prayers to all those people. It's very, very sad. And, you know, at the same time, I feel privileged to come to each week to work with you and to work with our listeners and to provide information and education that we hope is helpful. That's why we come every week. Hopefully, we're helping people understand financial concepts and other things that can help you really as you. Plan and start preparing for retirement. Or if you're already in it, you just want a second opinion. You want to look at a different direction. That's what we're here for. We've I feel very blessed to do it with you, Matt, and with you, the listener. Catch our podcast. We hope to see you and hear everybody back next week and we hope everybody has a blessed week as well as you.

Producer:
Thanks for listening to The Buckeye Advisor. You deserve to work with an experienced and licensed expert who will strategically work to protect and grow your hard earned assets to schedule your free no obligation consultation with Woody, visit TheBuckeyeAdvisor.com or pick up the phone and call (937) 974-6201. That's (937) 974-6201.

Producer:
Investment Advisory Services offered through Brookstone Capital Management, LLC, BCM, a registered investment advisor, BCM and The Buckeye Advisor are independent of each other. Insurance products and services are not offered through BCM, but are offered and sold through individually licensed and appointed agents. Investments involve risk and unless otherwise stated, are not guaranteed. Past performance cannot be used as an indicator to determine future results.

Producer:
Fixed annuities, including multi year guaranteed rate annuities, are not designed for short term investments and may be subject to restrictions, fees and surrender charges as described in the annuity. Contract guarantees are backed by the financial strength and claims paying ability of the issuer.

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