Highlights for Saturday December 31 Your Safe Money Show

On this Saturday's (12-31-16) Your Safe Money Show I'll explain what to do with an inherited IRA or 401(k). There are specific things you need to do in a timely manner to avoid tax implications. And what is your money personality type? Once you understand your type you can make better financial decisions. Tune into KBEK 95.5 FM at 7:30 a.m.They also stream live at kbek.com. 

Student loan repayment and Social Security

How important is it to pay off student loan debt? Well many people don’t realize that the Federal government can garnish your Social Security check to pay off federal student loans. The Department of Education, which provides federal student loans to borrowers, say it tries to work out payment plans with people who fall behind on their loans. A spokesman for the department, said that accounts aren’t sent off to collections until almost two years of non-payment; if collection doesn’t yield results, the loan balance goes to the Treasury Department, which can reduce Social Security checks.
For its part, the Treasury Department said it reaches out to borrowers twice to set up a payment plan or otherwise resolve their debt before offsetting money from their Social Security check. And the Treasury won’t withhold money from monthly checks that total $750 or less.
Sometimes student loan debt is from someone co-signing for a child or grandchild, sometimes it’s from someone seeking higher education later in life. Just be aware student loan debt can follow you right into retirement.

Your Safe Money Show Fed Rate Hike 12 24 16

Your Safe Money Show Finding your retirement age 12 17 16

Highlights for December 17 Your Safe Money Show

How much do you spend on holiday gifts? I have information on what the average American spends and ways to not overspend.
 LED light bulbs are being used more and more today we’ll find out the pro’s and con’s using those lights.
 And finding the right retirement age for you is never an easy task but I’ll have tips that can help you with that decision.  
Listen at 95.5 FM KBEK at 7:30 a.m., stream live at kbek.com, check out our podcast page.

Renter's Insurance

According to the Insurance Information Institute, only 37% of renters have insurance.

Many people who rent don’t think they need renter’s insurance because they either think that their landlord’s insurance takes care of their personal possessions, or they think they don’t have a lot of “stuff” so they don’t purchase coverage.

Renters insurance protects you from all kinds of disasters (fire, storm, theft, etc.). And what many people don’t know is that renter’s insurance even covers your belongings if they are damaged outside of your home. It also covers you for the kind of disasters you may never think of, like personal liability. Liability insurance covers you if a guest in your home hurts himself and they try to hit you up for medical expenses.

And lastly, most renter’s insurance policies will help you pay for temporary living expenses and food if you find yourself suddenly homeless after a fire or other disaster. The best part about renter’s insurance is how cheap it is. The average policy costs just 15 to 30 bucks per month. Most policies come with deductibles starting around a few hundred dollars. Call 320-679-5183 and ask for Dennis Norby.

Your Safe Money Show Protecting Your Personal Information 12 10 16

Setting a budget this holiday season will save you heart ache in January

Highlights for Saturday December 10 Your Safe Money Show

I have “timely” information for this week's Your Safe Money Show. Malware infections on your computer spike this time of year, I’ll have ways to protect your personal information.
We all use credit cards more than ever and there is a little known trap that I want to warn you about.
And do you have an FSA account? With flexible spending accounts if you don’t use them, you lose the money in them by year’s end, so I’ll have the best ways to use that money up so you don’t lose it.
Tune in Saturday morning at 7:30 to 95.5FM KBEK. They also stream live at kbek.com. Hear podcasts of recent shows at yoursafemoneyshow.com.

Ways to pay off a home loan sooner

Chances are your home mortgage is the largest debt you'll ever have. Let's look at ways to pay off your home loan sooner.
Round up your payments. If your mortgage payment is $932 a month round it to $1000 or more. You’ll be surprised how many years you can shave off your mortgage.
Make one extra payment a year. This can add up and shorten the mortgage and save on interest.
Refinance into a shorter loan. You will pay more a month but if you choose a shorter-term loan— like a 15-year fixed-rate loan instead of a 30-year fixed-rate loan — you stand to save a lot of money over the long haul.
Is refinancing cost-effective? I would recommend talking to your mortgage lender and be sure it’s correct for your situation.
Pour every bit of extra cash into your mortgage.
Obviously, pay off the highest-interest debt first. But if you have an adequate emergency savings fund and your mortgage is your only debt, add it to your mortgage payment, designating it as additional principal. The less interest you pay the more money in your pocket.

Your Safe money Show Give Roth IRA as a Gift 12 3 16

Your Safe Money Show Are you underinsured 11 26 16

Your Safe Money Show A closer look at 401k's 11 19 16

Highlights for November 19 Your Safe Money Show

Employer sponsored 401(k) plans have become a popular investment vehicle at many companies. However, there’s still confusion on all the ins and outs, so I thought we’d do a “401(k), 101 basic class for you.

 With all the talk about health insurance these days, medical debt has become a bigger issue so we’ll look at ways to avoid or minimize that debt. 
Listen at 7:30 a.m. at 95.5 FM KBEK. They stream live at kbek.com. Otherwise recent shows are podcast here at the website yoursafemoneyshow.com.

Retirement planning

There’s more to a retirement plan than the finances, but let’s be realistic, the money piece is very important. If you can be sure that you will have income that will last all the way through your retirement, that’s a huge weight off your shoulders. As pensions, have gone away, we have to be responsible for our own retirement income. I’ve seen people so confused on where to start and what to do. Instead of meeting with a financial professional they do nothing. It can be overwhelming. There’s a lot to consider. Inflation which has been low for a while, needs to be factored in for a 20 to 30-year retirement plan. Healthcare has become such a big money drain that we must move that into the top concerns in a retirement plan. WHEN you decide to take your Social Security, benefits can make a huge difference in how much income you’ll have. So, you want to make sure you get all you have coming in benefits. Minimizing outstanding debt and taxes in retirement is key to long term planning. Let’s start your plan today. 

Your Safe Money Show Money and Marriage 11 12 16

Highlights for November 12 Your Safe Money Show

On this week's Your Safe Money Show, I’ll be speaking about good financial habits to have in your 20’s.
Also, retiring boomers at Boeing shows the future jobs issues in U.S. manufacturing. We'll discuss what that means across the board.
And money and marriage how can we be more on the same page with our decision process? Listen Saturday mornings at 7:30 at 95.5FM KBEK. They also stream live at kbek.com. To hear recent podcasts check out the website yoursafemoneyshow.com.

A little humor for your day

MnSure information

There seems to be a bit of confusion about MnSure.
 To clarify, MNsure is Minnesota’s health insurance marketplace, where you can shop, compare and choose health coverage. It is the only place you can qualify for financial help through federal tax credits or MinnesotaCare and Medical Assistance.
 MnSure does not set the prices for health insurance, the health insurance companies do.
 We are again serving as a MNsure Broker Enrollment Center during the 2017 open enrollment period, which runs November 1, 2016, to January 31, 2017. Keep in mind that if you need your insurance to start January 1^st you will need to get coverage by December 15^th. So if you want to learn more about your health insurance options or you need help with the application or enrollment process you’ll want to get an appointment as soon as possible. Call 320-679-5183 or go to the website yoursafemoneyshow.com. 

Your Safe Money Show Snowbird to do list 11 5 16

Highlights for November 5 Your Safe Money Show

Many of my clients head south during the winter months, you hear the term “snowbirds” used when talking about these folks. Well before you head south I have some tips to consider before you leave. 
When I talk with someone about a retirement plan, I have questions for them to answer that are important to having a successful retirement. I’ll go over what those questions are so you can start thinking about your answers. And a recent study says Americans are living longer. We’ll see what the study found. Tune in Saturday morning at 7:30 at 95.5FM KBEK, they also stream live at kbek.com.

MnSure clarification

There seems to be some confusion about MnSure. To clarify MNsure is Minnesota’s health insurance marketplace, where you can shop, compare and choose health coverage. MnSure does not set the prices for health insurance. The various insurance companies set the rates.

Booking Scams

According to the American Hotel and Lodging Association, American travelers make approximately 15 million fake hotel bookings on rogue sites every year. And travelers lose $1.3 billion dollars every year on booking scams as rogue sites pose as real hotels, they take your credit card number, and possibly leave you without a reservation.

 Several members of Congress introduced the Stop Online Booking Scams Act on Feb. 9. If passed, the bill would require third-party sites to clearly state that they are not affiliated with the hotel the customer is attempting to book. The bill would also give states more power in pursuing scammers in federal court but for right now, the best thing travelers can do to protect themselves is to be alert when booking a hotel online. Probably the best tip if you don’t book directly with the hotel, be sure to use one of the more well-known sites -- like Expedia, Orbitz, Priceline -- and approved by the Better Business Bureau (BBB). 

Your Safe Money Show Anxiety Index 10 29 16

Highlights for Saturday October 29 Your Safe Money Show

We’ll go over changes you need to know about with Social Security coming in 2017.
I get this question often, how much should I keep in my checking and saving accounts? And we’ll take a look at the “anxiety index” in regards to money and how we can minimize our own anxiety.

Renovations that don't pay

Prices for houses right now are up, as we are in what’s called a sellers’ market. If you’re thinking of doing some renovations on your home to increase the value to sell, know that not all renovations add value, in fact some will hurt the value.

For example:  A swimming pool: many buyers won’t purchase a home with a swimming pool. Pools require a ton of upkeep. And they’re potentially dangerous, scaring away many buyers with younger children. A permanent home office: Most buyers would prefer an extra bedroom instead of a home office. Turning that garage into a bedroom: Many buyers want a garage when purchasing a home. If you can’t offer them one, you might limit the number of interested buyers forcing you to reduce your asking price. Too much landscaping: An overly landscaped backyard requires a lot of upkeep, and many buyers don’t want to spend their weekends in the dirt. Too much color: Careful when painting, if you have bright colors you might want to mute those for an easier sale. So be choosy when making renovations. 

Your Safe Money Show Good deals in October 10 22 16

Your Safe Money Show Medicare Summary 10 15 16

Highlights for October 15 Your Safe Money Show

On this weeks Your Safe Money Show:
Medicare open enrollment starts October 15th and runs through December 7th so we’ll discuss how important it is to look at your coverage.Plus we'll give other insight into Medicare from out of pocket costs to penalties if you miss a deadline. 
Also we’ll look at travel insurance, after the Kim Kardashian robbery in Paris, might be some good information to have when you travel.
Tune in this Saturday morning at 7:30 to KBEK 95.5FM, they also stream live at kbek.com. Listen to recent shows at our podcast page at yoursafemoneyshow.com.

Avoiding car break downs

According to the American Automobile Association (AAA), more cars broke down on the side of the road in 2015 than in any other year. Dead batteries, flat tires and key problems contributed to 32 million drivers needing to pull over and call for assistance.
Cars five years old and younger experience more key-related issues compared to older cars. The problem is that keyless entry remotes (also known as fobs), continue to transmit signals to the receiver when left in the car. Over time, this can drain your battery. Remember to always take your keys when you exit the car.
If you have a newer car, you might’ve noticed that it didn’t come with a spare tire. With no spare, when you have a flat tire you will have to call a tow truck — which in some cases could cost you more than just buying a spare tire.
Low fuel alerts and range estimators allow drivers to push their tanks to the limit. Unfortunately, some drivers take it too far, which is why a growing number of people are running out of gas on the side of the road. Easy fix, fill your tank at the half way mark. 

Your Safe Money Show Retirement Playbook 10 8 16

Highlight's for October 8 Your Safe Money Show

Roth IRA’s and retirement planning go hand in hand and I’ll tell you why they’re a good fit.
We’ll also look at “retirement all-stars” and what they have done to ensure they have the retirement they want and deserve.
And there’s talk about getting rid of one hundred dollar bills what will that mean for the average consumer?

When to buy plane tickets

Many people wonder when is the best time to buy plane tickets? Well according to Cheap Air dot com, the best time to buy domestic airplane tickets in 2015 was 54 days in advance. 
Ticket prices fluctuate so it's hard for fliers to always get the lowest fares, but if you book during the prime booking window, which is about 3.5 months to three weeks in advance, you're likely to catch the best price.
People who did get a low price airfare, on average, saved $345 compared to someone who bought at peak time.
All the rules go out the window when it comes to traveling during major holidays. When booking flights for Thanksgiving and Christmas, earlier is always better. The same goes with popular destinations during spring break and summer.
The single biggest factor that determines the prices for a flight is how full it is. The fuller the flight, the more expensive remaining seats will be. But like so many things in life IF you can PLAN ahead it can save you money. Planning is the key! 

Your Safe Money Show Biggest Income Gains in 50 Years 10 1 16

Highlights for Saturday October 1 Your Safe Money Show

What's on this week's Your Safe Money Show?
The headline reads “Biggest income gains in 50 years”, sounds good right? We’ll look at what that means for the country and our financial future.
Making good decisions during open enrollment for your health care is extremely important. I will explain what not to do during open enrollment.
And FAFSA has made some changes that you need to know if you or a loved one is headed to college.
Listen Saturday mornings at 95.5FM at 7:30, live streamed at kbek.com.

IRS Changes

I have some good news regarding the IRS and how they handle rollovers to IRA’s. 
Previously, if you were moving money from a 401(k) to an IRA, or from one IRA to another, you could only have those funds in your possession for 60 days before depositing them into the next retirement account. If you missed that window you generally owed taxes on the full amount and, if you were under age 59½, an additional penalty on top of that.
Well the IRS is relaxing that rule a bit. They are now saying taxpayers can avoid the negative tax implications, in certain circumstances, including if they lost the distribution check or deposited it into an account they mistakenly thought was a qualified retirement account.
Now you can write a self- certification on why you missed the 60 day deadline. Just as a rule of thumb, ideally when rolling over from one account to another, have the transfer be from one financial institution to the other financial institution. That way you never take possession of the money…problem solved! 

Your Safe Money Minute Lessons from Founding Fathers 9 24 16

Highlights for September 24 Your Safe Money Show

On this week's Your Safe Money Show, at every age we need to have an understanding of what money goes out every month. When you’re in retirement unforeseen costs can hurt because you’re more limited in how to pay for them. So I’ll have ways to prepare for these “unforeseen” costs.
The housing market right now is seeing record sales. If you’re a buyer, whether you take a 30 year mortgage or a 15 year mortgage can make an unbelievable difference in your financial future. We’ll look into those differences.
And I found simple financial lessons from our founding fathers that still are relevant today.
Listen to Your Safe Money Show at 7:30 a.m. Saturday on KBEK 95.5 FM. They also stream live at kbek.com.

Financial Education

How important is financial education in our schools? New data released recently shows that high school students who are required to take personal finance courses have better average credit scores and lower debt delinquency rates as young adults.
Like it or not your credit score determines how much you pay for auto and home insurance. How much your mortgage or rent will be? Being a credit risk can cost you, so the sooner you understand how all this works the better off you’ll be. Let’s face it, when you learn good habits, you tend to have better outcomes. Financial education varies widely by state. Some require that standards be implemented starting in primary school. Others merely suggest that high school classes in economics or personal finance be offered, while others require students to pass those courses to graduate.
To be successful, most kids don't need to learn about collateralized debt instruments, but they do need to know how to open a bank account, how much they need to save each month to reach their goals and, how does interest work when borrowing or saving?
I would love to see all schools at every level teach basic finances. Start in elementary school with age appropriate lessons and continue right through High School.

Your Safe Money Show Hiding Money 9 17 16

Highlights for Your Safe Money Show for September 17

On this week's Your Safe Money Show. We’ll start with a new survey saying we want to work as long as possible. Well we’ll explore what that really means for all of us going forward.
I also wanted to explain some basic financial concepts and how they affect your bottom line.
And are you hiding an account or money from your spouse? Well you’re not alone, trust can be a problem and we’ll see what to do about this concern.
Tune in Saturday mornings at 7:30 on KBEK 95.5FM, you can also stream the show live at kbek.com. Listen to the show at your convenience by going to our podcast page at yoursafemoneyshow.com.

Listen to Your Safe Money Show Saturday's at 7:30 a.m. at 95.5 FM KBEK or listen anytime by going to yoursafemoneyshow.com and clicking on the podcast page.

Unclaimed Money

Unclaimed money. I always find it hard to believe that there might be money out there that people don’t even know it’s there. 
Each year thousands of income tax refund checks are returned to the IRS as undeliverable because the taxpayer has moved, changed his or her name, or simply because the check has an incomplete or improper address. Right now, thousands of Americans are missing money that is legally owed to them. Contact the IRS, to track down any lost tax refunds or unclaimed money.
There is a website, unclaimed.org, which provides a way for you to search for unclaimed property. Common forms of unclaimed property include savings or checking accounts, stocks, uncashed dividends or payroll checks, refunds, traveler's checks, trust distributions, unredeemed money orders or gift certificates, insurance payments or refunds and more. At unclaimed.org click on a state, territory, or province from the map or drop box to find all your potentially lost money, check every state where you’ve lived.

Your Safe Money Show Intro to KBEK 9 10 16

Is insurance worth the cost?

I wanted to talk about insurance today. I’ve worked in the insurance field for over 20 years and I know many people feel insurance is a necessary evil. When it comes to most insurance today you have to have it, driving a car, owning a home, even with health insurance. As much as we hate to pay every month for coverage for our home, vehicles, health, and life, without it if something bad happens, it could devastate you and your family’s lives. Your home burns, you’re in a bad car accident, the loss of a loved one, with insurance coverage you can pick up the pieces with the financial backing you’ve paid for. What’s that worth to you? 

At Sjoberg & Holmstrom Financial Services we work with many companies to offer you the best protection and equitable solutions for the coverage you need.  Having the right kind of insurance is an important part of a good financial plan. 

 Call us and find out what we can do for you. 

Your Safe Money Show Planning

Traits of frugal people

Have you ever heard someone say “I am not cheap, I am frugal”? Well bottom line is frugal people usually have ways of saving that the average person might not have ever considered. For example they may pay themselves first. They do this by investing in their retirement fund or other savings accounts first, then pay other bills using the money that is left. 
Most people pay their bills first, and then save or invest if there is any money left. Frugal people realize that having money to invest is the most important priority, and they take care of that priority first. If there is not enough money left to pay the bills, then frugal people find ways to make their bills smaller so they can fully fund their investment goals. Other ways they save, they eat out less, live in a smaller house, and they make spending decisions in terms of needs and wants, while most people think in terms of having more and better stuff than their friends and neighbors. We can definitely learn some saving ideas from frugal people.

Your Safe money Show High Cost of Education 8 27 16

Highlights for August 27 Your Safe Money Show

The cost of a college education has put an enormous strain on not only the student but parents as well. We will examine this problem from a couple different angles and see what we can do to minimize the long term costs.
Also on this weeks Your Safe Money Show, storing stuff at self-storage units is getting more expensive we’ll see if de-cluttering might be the answer. 

SSA and New Security Measure

If you have an online account with Social Security understand that they’ve added a new step to protect your privacy. When you sign in atssa.gov/myaccount with your username and password, they will ask you to add your text-enabled cell phone number. A text message with a code is than sent to your phone. You then enter that code on the website to get access to your account.
A new code is required each time you log in because it expires after 10 minutes. So if you don't have a cellphone that receives texts, you can no longer log in to your account.
Many people have voiced their complaints about this change and Social Security responded by saying they recognize that not every mySocialSecurity account holder may have a cell phone, have consistent cell service in a rural area, or be able to receive a text message. However at this point they can’t offer alternative methods. We’ll see what the future brings but keeping sensitive information needs to be a top priority.

Your Safe Money Show Texting and Social Security 8 20 16

Your Safe Money Show Texting and Social Security 8 20 16

Rule of 72

Many times as a retirement income planner I am asked “How long will it take to double my money”? I find using the rule of 72 is a simple way to figure out the number of years it takes to double your money at an annual rate of return. You divide the rate, as a percentage into 72. So as an example: an investment with a 6 percent compound annual rate of return will take 12 years to double in value.

72 divided by 6 (rate of return) = 12 (number of years it will take to double an investment)
Financial planners like this formula because it’s easy to understand and it shows the value of saving even with modest or a reasonable rate of return on your investment. You can also use the rule of 72 for expenses like inflation or interest: If inflation rates go from 2% to 3%, your money will lose half its value in 24 years instead of 36. The rule of 72 is just math, but it's an extremely helpful rule of thumb to put the marathon of investing into perspective. Think through what you use your savings for, and make sure you use them in a way that allows your money to reach its full potential.

Your Safe Money Show Security Show 8 13 16

Your Safe Money Show Best of Show 8 6 16

Highlights for this week's August 6, Your Safe Money Show

For this week's Your Safe Money Show we'll be sharing highlights from shows from the past six months. Specifically we'll touch on unclaimed money, financial literacy, real rate of return, retirement accounts, and understanding national debt.

Procrastination and 401(k)'s

I would say one of the most significant psychological factors that keep people from achieving their saving and or retirement goals is procrastination…doing nothing. One way people procrastinate is with 401(k) plans.When a company offers to match a portion of what an employee contributes, that's free money, take it! Unfortunately procrastination sets in; it’s much easier to just imagine doing the right thing in the future. Many more employees say they plan to take action and enroll, than actually do. That’s why more companies have found success with automatic enrollment: In one company that adopted automatic enrollment (when employees first become eligible for the savings plan, they’re automatically enrolled unless they opt out), 401(k) participation rates for new workers increased from 49% to 86%. So automating aspects of your finances, could not only simplify your life, but also eliminate the tendency of procrastination.

Your Safe Money Show Save money When Moving 7 30 16

Exciting News!

Starting Monday August 1st, you can hear Your Safe Money Minute on KBEK Radio at 95.5FM. They also stream "live" at kbek.com.

Highlights for this week's Your Safe Money Show July 30.

We have a couple interesting topics for you this week on Your Safe Money Show. First when it comes to Social Security payments, what people think they’re going to receive and what they end up getting, can be two different things. So how can we plan for that? I think this is important for you to understand.

And, very few of us live in the same place our whole life. Moving can be expensive and I want to share with you ways to make a move more affordable. 

Social Security

No one said that retirement planning is easy, especially when it comes to Social Security. Did you know there are 2,728 rules that govern how much you’re entitled to receive from Social Security? It’s enough to confuse even the sharpest financial minds out there.

Social Security benefits have become for many retirees at least 50% of their income in retirement. And for others they rely on Social Security benefits for 90% of their income. When and how to file for your benefits will be one of the most important decisions you make.

Ask for Your Guide to Social Security, the booklet is absolutely free, and can answer many of the questions most people have before signing up for benefits. I have software that can show you how to maximize your benefits. After all you’ve worked hard all your life, you deserve to get all you have coming in retirement. At Sjoberg & Holmstrom Financial Services we can create your personalized retirement income plan and show you how to maximize your Social Security benefit, and there’s no cost or obligation to you.

Exciting News

Your Safe Money Minute will now be broadcast on KBEK 95.5 FM starting Monday August 1st.

http://www.kbek.com/

Your Safe Money Show Mind Your Money 7 23 16

Highlights for Your Safe Money Show for the week of July 23

We have a great show for you this week. Summertime, people are headed to their cabins or vacation homes. Many of these places have been in the family for years. I will have four questions to ask before you pass the vacation home onto your children.

Also how does your mind work when it comes to money? We’ll look at common money mindsets that can hold you back and how your brain gets in the way of making smart money decisions. The best part is we can “change” our minds for the better and I’ll tell you how.

Budgeting

Over my 20 plus years in the financial service field, I have helped many of my clients find their way to financial freedom, by establishing a “budget”. My advice is to save every bill statement, receipt, or check for one month, three months would be better.
A great way to really know what you’re spending, write it down in a notebook. The idea is to discover what you’re spending your money on. Obviously there are required services like utilities (electric, gas, sewer, water) but there’s also not-required utilities (internet and cable). I am sure some feel internet is a must these days. But as you really fine tune what your spending your money on, you can find ways to save. Once you’ve accumulated a months’ worth or longer of bills, receipt’s ect. balance that against what money your taking in via a paycheck or other monies. With that information you can now decide where you can save. Usually the cuts in spending are easier than you think. 
If you need help setting a budget call me for an appointment 855-226-6639.

Your Safe Money Show Selling On Line 7 16 16

Highlights for this week's (July 16th) Your Safe Money Show

On this week's Your Safe Money Show, I found a comprehensive report of 1 million U.S. consumers and how lower gas prices have impacted them in many ways. The report gives us an accurate picture of what people have done with their extra income from lower gas prices, and what that means for our economy.

In this day and age more and more people are selling items online. We’ll see what it takes to be profitable.
And people are refinancing their mortgages like crazy right now. Why is that? 

Your Safe Money Show Is our economy rigged 7 9 16

Highlights for this weeks July 9 Your Safe Money Show

For this weeks Your Safe Money Show, I want to start by talking about when you turn seventy and a half, you have to start paying on tax deferred savings accounts. Turns out the oldest baby boomers reach that magic seventy and a half this week with more to follow. So I'll explain taking those RMD's (required minimum distributions) and what tax implications might follow.
I also found an eye opening article on how Americans feel that our economy is rigged, and more people are unhappy in retirement than ever before. We'll see why people feel the way they do on both topics. 

401(k)'s

Since pensions are few and far between these days, 401(k)’s have become a retirement saving vehicle for many companies. During the 1980’s the costs of running pensions climbed and employers started replacing them with 401(k)’s.

The name 401(k) is for the section of the tax code that governs them. A 401(k) is a retirement savings plan sponsored by an employer. It lets workers save and invest a piece of their paycheck before taxes are taken out. Taxes aren’t paid until the money is withdrawn from the account. Many 401(k)’s have a match which is usually a percentage maybe 3%, so if you put in an amount the employer will match up to that percent. I always say whatever you do take the match that’s “free” money!

Over years of working, someone could have several 401(k)’s from various jobs and consolidating and rolling those accounts over to a safe money account can make a lot of sense since fees can eat up gains and even move you backward. These days we have to be in charge of our own retirements.

Your Safe Money Show Brexit what does it mean 7 2 16

Highlights for this week's July 2 Your Safe Money Show

With the 4th of July weekend at hand, I hope you can find time to listen to this week's Your Safe Money Show.
We'll look at why people in Britain voted to leave the European Union, how that decision has affected markets, and how it will impact you and your money. 
The Social Security and Medicare's annual report was released recently, we'll see what the report found. 

Annual Report from Social Security and Medicare

The Social Security and Medicare trustees annual report was released recently. They’ve been saying funds could run out by 2034 for a while now. This means at that point the program will only have enough revenue coming in to pay 79% of promised benefits. So, if you're expecting to get $2,000 a month, the program will only be able to pay $1,580.

In terms of Medicare, the trustees project the trust fund for Part A, which covers hospital costs for seniors, will run dry by 2028. By 2028, Medicare Part A would only be able to pay out 87% of expected benefits -- a figure that would fall to 79% by 2043 before gradually increasing to 86% by 2090.

Adjustments to these programs are inevitable, and sooner would be better than later. 

Fallout from Brexit

Britain leaving the European Union has had markets reeling and we are seeing the fallout day to day. I will be talking about this on this week's Your Safe Money Show. In the mean time this link provides some insight into this complex situation.

Brexit is a mess

Getting your priorities straight

The other day I was using our DVR, some people have a TiVo, they are devices that record programs and store them for later playback. Inside the program list you can prioritize what shows you want at the top of the list.
This got me thinking about how important it is to get life priorities straight. With each phase of our life those priorities change. For many they get caught up in raising children and having a career and the next thing you know the kids are grown and you’re looking toward retirement.
If you haven’t started sooner, once you get over 50, it’s time to have your retirement plan moved to the top of your priority list.
There are many factors to consider in a plan. Inflation, healthcare costs, family longevity, Social Security benefits, taxes, and more. Since were individuals, each of the factors vary, plus we need to also factor in your wants and needs into the equation. As a retirement income planner my goal is to make the process of getting a retirement plan as simple and beneficial for my clients as possible.