How I moved from Saver to Spender in Retirement -- 4 easy steps.

[@joekuhnlovesretirement]

------------------------------------------------------------- *_PLEASE STOP USING Spreadsheets!_** It falls way short optimizing every retirement factor* Retirement Tool Link I reference and use and recommend -- New Retirement. Free 2 week trial. $120/yr after. You will buy this after trying (I have purchased for 3 years). www.newretirement.com/?nr_product=NRC&nr_a=35&nr_medium=affiliate& -------------------------------------------------------------------- *Need a CFP to create your retirement plan for a one time fee?* My Recommendation: Neil Fortwendel [phone]. Neil created my plan. Plan updates as you wish for a smaller fee. Check Neil out on Facebook and LinkedIn. ---------------------------------------------------------------------- *DO NOT GO IT ALONE!!!!!!!* *Money Pickle - FREE! use link to set up a FREE 45 minute dialog with a Financial Advisor* No obligation. Get answers to your questions. Get an expert to look at your plan. moneypickle.com/joekuhn --------------------------------------------------------------------- *Plant Manager, Maintenance Manager and Career Consulting -- 1 hour virtual via Teams/Cell Phone* sowl.co/s/bQifp ------------------------------------------------------------------------- Most Popular VIDEOS *Health Insurance before Medicare* kzbin.info/www/bejne/gYHWZYWOhLSGbJY *You Cannot retire with these 4* kzbin.info/www/bejne/aqLPdJWcnt-il6s *2 shocking surprises in retirement * kzbin.info/www/bejne/pnSng2Vvfd-npLM *15 things you must let go to retire * kzbin.info/www/bejne/fpiTn6l6mrJkjpY *My retirement budget* kzbin.info/www/bejne/d2azdKeVaZiFq9E * 5 early retirement regrets* kzbin.info/www/bejne/b6Kmk6l5e5eGrc0 *this convinced me to retire* kzbin.info/www/bejne/mYaZonqVrahoebc *Timing of Social Security* kzbin.info/www/bejne/i36rZYiDaKtmd8k *How I fill my buckets* kzbin.info/www/bejne/rHyweJ2YZrKsrJI *How I document my retirement plan* kzbin.info/www/bejne/l4rQmouKor90o9U *What I have learned from 300 retirement coaching clients: * kzbin.info/www/bejne/e6K9pqeuh8iei9ksi=dqz8JoLrcpfgjj9t --------------------------------------------------------------------------- RECOMMENDED FINANCIAL ADVISOR - Assets under Management or one time plan creation Neil Fortwendel with Northwestern Mutual ph: 812 471 2492 Video by Lean Driven Reliability LLC This is not investment advice. For entertainment ONLY. Seek professional help to understand your unique situation. #retirement #retirementplanning #retireearly #retireearlyandtravel #financialfreedom #financialindependence #retirementincome #retirementstrategy #findingpurpose #keto #ketodiet #ketovore #hiit #hiitworkout #healthylifestyle #howmuchcanIspend

[@WillParffit34]

I've been so focused on saving for so long, I don't know how to actually enjoy it.

[@Larry1-pl2wq]

I know what you mean. I've been living paycheck to paycheck for the past few years because of inflation and everything. Now I have this lump sum and I'm terrified of messing it up.

[@Bigwilli123]

Well, I'm not gonna lie, I've gone from saver to spender pretty quickly. But it's been a blast! I've taken two vacations already this year, and I'm planning another one for the fall.

[@Andres_853]

You have to factor in inflation when creating your budget. Maybe set aside a little extra each month for unexpected costs.

[@camela8445Mar]

And what about investments? Should I be selling stocks now that I'm retired?

[@Andres_853]

I'm not a financial advisor, but I would talk to a professional about that. They can help you create a plan based on your specific needs and goals. Look for an advisor with at least 20 years of experience, they sure know what they are doing.

[@BenBak-wt7qi]

My aunt passed and I inherited some of her portfolio and cash savings, I’m 28 with about 400k cash in savings and as usual everybody’s preaching invest, so what stocks are a good long term buy, only major purchase I intend to make is buying a home in 5years from my returns

[@AnkurYo]

Lucky you, I’d buy a lot of tech stocks and Dividend portfolios with that.

[@simone_maya]

Don’t come to KZbin looking for KZbin advise, instead contact a fiduciary for proper guidance.

[@AadhilaEesha]

Same, I just use KZbin for research purposes, I run all my major investment through an investment adviser, the market is just too unstable to handle things on your own.

[@BenBak-wt7qi]

How do I reach out to a financial advisor? my portfolio has been struggling since 2022 and I’ve been holding on by the skin of my teeth.

[@AadhilaEesha]

The decision on when to pick an Adviser is a very personal one. I take guidance from ‘Monica Mary Strigle‘ to meet my growth goals and avoid mistakes, she's well-qualified and her page can be easily found on the net.

[@stevejohnson2108]

Spending for the sake of spending is totally stupid. What I did just before I retired at 58 (I am now 61) is create 3 bucket lists. One was mandatory spending for essentials. The next one was things my wife and I enjoy, like weekly dinners with friends, weekend getaways once a month, a yearly trip to Cancun with the kids, an annual cruise, etc. The 3rd list is FU money. Sports car payment, trips to Europe, and this year, Australia and New Zealand, etc etc. And because the market has been going nuts I added to my kids' breakage portfolio because I know the more they have in there now that they are young the better it will be in the future. Once you have the essentials covered handle, the rest is up to you on what you want to do.

[@ron-je2yr]

I've been watching yours's and a few other sites on early retirement info for a while. I'm just 59 in AZ and have been figuring to retire in a year or so. My financial advisor has showed me we will be fine with my savings and low monthly expenses/no debt. Work offered a nice separation package expectantly so it looks like retirement is sooner than later. This video will help a lot transitioning from saving to spending issues. I figured it would be a hurdle to get through. Thanks for all you do and sharing your info and experience.

[@joekuhnlovesretirement]

Thanks Ron

[@marcialitebraus6192]

Love your videos. Can’t imagine ever retiring. Work 3.5 days a week for myself. I get paid for work I love ~ inspiring to listen to your advice tho

[@jimrinard1969]

Nearly three weeks in to my retirement. I’m just now beginning to learn how to spend. It may take me a year to get comfortable with my plan. I’ve said this here before but, Joe, I give you credit for the confidence you have given me that lead to me retiring early. Keep up the great work.

[@joekuhnlovesretirement]

Thanks Jim. You’re why I make videos. Congratulations to you

[@Bob-yh7ir]

Hi Joe. Retiring in 1 day !!!! YAY !! A layoff has never been so sweet - haha. Have built a similar bucket strategy. 4 years in cash, brokerage account spitting out dividends for steady income in any market, some bonds but not much, and IRAs for longer term gains, spend. Have formed friendships with people who have been early retirees for years and learned a lot from them. funny thing is by tracking our money over the years, it takes poverty level spending for household of 2 to keep the lights on. That's awesome to know ! When I turn my SS on early, it more than covers all our household spend and then some. So my wifes SS and investments are just going to be funny money.

[@aaronmartinburke]

Congratulations. Layoffs are why I started FIREing. Moving your income from external control to internal control is powerful.

[@dvmdoc]

Wow been following you for a while Joe and learning so much - this vid really spoke to me as life circumstances forced me to be an excellent saver/investor and while I've blown up the balloon really well I'm having a hard time letting it deflate....55yo semi-retired

[@yarnmotivated-joyceswensso9744]

We're here in South California and working towards retirement in less than 2 years.

[@adelineChulack]

I retired last year but one needs to work with an expert if you want to make sufficient passive income. Imagine investing 200k and getting 5% profit, thats too low when people are raking up big amounts with the same capital

[@McKnightCutkosky]

Yes I agree with you, despite having no prior investment knowledge, I made about a million last year by working with an expert. people don't know how much it helps to outsource.

[@iuordanmatkov261]

how can I reach this advisers of yours? because I'm seeking for a more effective investment approach on my saving and you sound very confident.

[@GeorgeWilliamSinclair]

I'm interested in trying this out. who is your advisor, and how can I contact them?

[@McKnightCutkosky]

Her name is "Dianne Sarah Olson" just research the name. You'd find necessary details to work with a correspondence to set up an appointment.

[@conureron3792]

I went with an annuity. It does give me confidence to spend. I calculated my anticipated retirement budget/expenses and the annuity fills the gap between those monthly expenses and what my social security is expected to be. The annuity also gives me peace of mind in regards to my growth bucket. My anticipated draw from my other retirement funds will cover inflation and some extra “go-go” expenses.

[@jcort21]

@@conureron3792 hi. What type of annuities, fixed index ??

[@conureron3792]

@@jcort21 - nationwide fixed index

[@freedomlife3623]

Same here. Glad I bought it while rate was high. In Canada, we just had two 0.25 rate cuts.

[@John-fh3yp]

Very helpful message from you, Joe! When you mention the stock market downturn and the time it took to recover, please let the viewers be aware that even though when the market indexes had “zero”gain at that point, one could still make very significant gains if more shares are purchased at lower prices and/or dividends are also counted in the final calculations. In my 30 years of experience, these gains are more than twice of the stock index gains.

[@joekuhnlovesretirement]

All great stuff in accumulation

[@thomasberry4090]

Appreciate the bucket strategy as a means of dealing with the psychology of an extended down market. I will always keep a couple of years of cash on hand, however, I intend on continually rebalancing at least annually, so I'm able to buy stocks on sale during a downturn. This is the investing psychology embedded within me that keeps me confident. Targeting a 65/35 portfolio.

[@joethecomputerguy1]

Was easy for me. 20 cruises in the last 2 years. I just booked another for this Saturday. I know I am NOT living forever. I have enough to live my life comfortably. Die with zero is my goal. Would be awesome if I accomplished it but I will probably not live long enough. That is just being realistic.

[@southlove]

That’s an excellent attitude. Wishing you well, happy cruising!

[@wisulliv]

Very good for you. Enjoy! You earned it.

[@rarelycares8416]

I love cruising but I think 10/year is too much for me. I have a 5 week cruise planned for next March, starting to look for the next one after that. Die with zero is cutting it too close for me, expect to have at least a million left when I'm done.

[@joethecomputerguy1]

@@rarelycares8416 Clearly you have more than I. Heck I don't even have a million now.

[@blownaway13]

Hey Joe! I have tracked my expenses in years past. I have an annual income target. In January i fund my annual income into an separate account with a higher interest rate (vanguard treasurymm). In addition i have another account (several) that have individual mm accounts for bigger regular or none regular expenses, like health care, property tax, travel. I yearly fully fund those accounts from the vanguard account mentioned above. This maybe too complicated to explain but it gives me the comfort knowing at the end of the month if i have under or overspent....

[@liverpool3469]

Alberta, Canada... Joe, my plan is very simple: 1) Bucket 1 - 5 years cash; 2) Bucket 2 - everything for growth. I am 51. So far I have zero in bucket 1 and I have 600k in bucket 2. No pension is coming. Planning for retirement at 60. How am I doing?

[@DamianCarlos-f3z]

Aged individuals need recommendations on how to improve on their financial stands based on retirement planning . We just to know the key to financial stability in retirement

[@GibsonJames-gr3on]

Creating a sustainable withdrawal strategy to enhance social stability benefit.

[@hwardick]

The problem with this video is that it tries to answer an emotional question (how do you get the confidence to spend) with a rational answer (build a good plan and have someone else check it). This does not really consider the psychology of going from a frugal, saving & investing mentality to a spending, rich-life mentality. Some books on this topic that I have heard are good include The Psychology of Money and The Power of the Past.

[@davidperry2725]

I'm really lucky to have a decent pension. I'd be a mess spending just from my retirement accounts. Looking at Annualized Rolling Returns of S&P 500, there are some really bad 10 year periods in its history.

[@happy_exmo9422]

I am much the same. Wife and I have pensions that will sufficiently cover expenses. So I always keep a 20% hoard of cash sitting in our 401K's so that if the market should take a serious dive I can buy in near the bottom (>35% drop in the S&P). It is also nice just to have that reserve sitting there if we want to tap into it.

[@corydoyal8709]

Great topic Joe. I’m anticipating having this problem. I used to be a “consumer” making recreational trips to the mall to see what I might need. In the past 5-6 years, I too have gotten really good at saving and piling up the money. I hope that having an stress-tested plan will give me that confidence to spend in retirement.

[@scotteastin1433]

Decatur GA thanks for all of the wisdom!

[@lindahurley5642]

This is the thing that’s keeping me working. Confidence to spend. Fear of no paycheck.

[@LagunaRider1961]

The company I spent 30 years with paid for certified financial planners which was a great perk and I used that extensively. I now pay the firm where my savings are at (Schwab) to manage my retirement. They have a planner that I meet with quarterly, I’m just not disciplined enough to do that on my own and they’ve been doing a great job so far. It’s definitely much harder shifting to a spending mentality after saving my entire life but I have no intention of leaving too much for my kids 😂

[@Dave-FIREd]

I'm a Schwab client as well, and was told they no longer provide financial advisory services. Are you paying a 3rd party financial advisor, someone outside of Schwab?

[@LagunaRider1961]

@@Dave-FIREd the guy I’m working with happens to be a financial advisor, not sure if he’s doing it in an unofficial capacity but I’ve been working with him since 2013 and have been very happy

[@richardwysocki7490]

So are my calculations right.. 80% of your $ is in growth but you have 10 years worth in buckets 1 and 2. Impressive

[@freedomlife3623]

It’s all depends on how much is the expense. Should spend more, missing the opportunity enjoying life while still young. Can’t never buying used cloth to live on.

[@richardwysocki7490]

@@freedomlife3623 I just don't think spending $ means enjoying life more. Personally, I'd buy some used clothes. I've done it many years ago. Clothes are a thing. Rather spend my $ on experiences/ vacations. In Life, everything is a choice, but I'd rather save more now knowing I can spend more later. Just my choice

[@aaronmartinburke]

Did you talk about specific spending goals? One way for me to practice spending is to set a one-time goal. This helps me flex and strengthen that spending muscle. For example, my pre-retirement budget had $150 in restaurants. But in retirement I'm going to double it and challenge myself to spend it wisely. I'll do one nice restaurant and two fast-casual. I know I'll be safe to spend because my Monte Carlo simulations support the plan.

[@wimpywilly]

Yoda is upside down.:)

[@hanwagu9967]

Grogu...the stapler and tape dispenser are also missing from his desk😂

[@dforrest4503]

@@hanwagu9967uh oh, is this going to turn into “find the seven things changed on Joe’s desk?” 😂

[@hanwagu9967]

@@dforrest4503 yeah, his videos are becoming Highlights magazine.

[@loborocket]

Not retired yet, but starting to "exercise" my spending muscles. I have always been a saver and pretty good at it. Now, I am 52, I am making enough $ to max out my 401K, My ROTH, my wife's ROTH, my HSA, and my Employee stock purchase plan. I am Maxed out across the board on every "advantaged" saving tool I have. At the end of the month, the checking account still has a surplus in it. So I figure spend as I wish and if the checking account still has $ and all other saving tools are maxed, I am in an ok spot.

[@tiarewilliams9186]

If you or the wife are planning on retiring early, do you have accessible money in non-retirement accounts so you can pay bills, buy outrageously expensive health insurance, do your go-go stuff?

[@loborocket]

@@tiarewilliams9186 yep we have a fairly good sized brokerage account as well. Currently have about 2.5x gross annual income in after tax brokerage account. Planning “early” retirement at ~57, but will have access to 401k via rule of 55 if needed.

[@brianh6680]

yes, definitely put extra money into a brokerage account. it gives you tremendous flexibility to control your taxes in retirement.

[@loborocket]

@@brianh6680 yes of course. We have brokerage accounts totaling ~2.5x our gross annual income. I get what both comments are saying, but maxing out everything as I said in my OP we are saving close to $70k per year. Can’t we use >some< of our $ for fun now? After all the video title was about transitioning from saver to spender. If I am saving 70k per year I need to STILL be saving and not learning how to spend a little?

[@hanwagu9967]

If you are doing catchup contributions, too, your socking away just under $80k this year...nice! Taxable brokerage is still advantaged, given 0% and 15% cap gains rates. You should have money in taxable accounts, too, and not just retirement accounts. Treasury bills for your excess cash are tax advantaged if you are living in a state/local tax jurisidiction, too. At least hold your cash in a brokerage settlement account that is paying over 5% 7-day sec yield rather than your checking.

[@kingcastro-s1p]

joe , I’d be retiring or working less in 8 years, and considering this financial recession, Im deciding to begin taking up skilled trades. I’m curious to know best how people split their pay, how much of it goes into savings, spendings or investments, I earn around $120K per year but nothing to show for it yet.

[@jamespatrick7796]

you should contribute to your retirement diligently, or better still look into financial planning don't come to youtube for advise, consult a local or trusted online broker/plannner

[@sheldongardner3150]

i agree with the comment above. I feel fortunate to have been introduced to money management at a young age. I started working full-time at 19 and bought my first home at 28. Fast forward to today, I'm 61 and although I was laid off in March 2020 during the lockdown, it turned out to be a blessing in disguise. I sought the advice of a financial planner to stay financially stable and made some savvy investments, which have brought me within 15% of reaching my goal of $1 million in wealth.

[@gennavievaddi5535]

This is huge! I am eager to build up my reserves irrespective of the economic conditions. My 401k has significantly declined since early 2022, Can you point me in the right direction?need to rebuild

[@sheldongardner3150]

I’ve shuffled through a few experts in the pst, but settled with monicamary Strigle’. The strategy sh uses is recession-proof, more specifically profit-oriented, and most likely, she's a renowned advsr.Just research the name. You’d find necessary details to work with

[@gennavievaddi5535]

i truely appreciate this share.I looked up her full name online and found her page. I emailed and made an appointment to talk with her; hopefully, she gets back to me.

[@theoh6260]

Great video!! Interesting topic, but good content. Never thought of it that way. Something to think about before I retire. Thanks.

[@joefilbrun]

Southwest Ohio - hey neighbor! Great topic. I feel like this problem will be the most pronounced in the years after turning off the paycheck but before you're able to turn on social security and medicare. During those years, you're in this period where your health insurance costs likely go up significantly,, and you also have to live without a regular income stream you've been accustomed to having for decades. Kind of a double whammy to deal with right out of the gate unless you want to wait until the traditional retirement age. If the numbers work, they work, but physiologically, it's a hurdle to get over the fear of multiple changes.

[@brennenpowaski3290]

Good video. It’s a struggle!

[@MichaelThigpen-q3o]

Hi Joe. Learning from you as I prepare for my impending retirement in South Carolina. Thank you for sharing what you’ve learned / are learning with us!

[@jimdude61]

Anaheim CA. Always informative

[@kennyhart2699]

I thought I would never buy an annuity, but I bought one a month ago to kind of be my bond fund. 10 year fixed at 5.60 pct. I can take the earnings at any time and as much as I want

[@MidlifeCrisisManagement]

dang it, Joe. there you go tempting me with the New Retirement software again. 😂 you're going to get me eventually.

[@joekuhnlovesretirement]

😁

[@joekuhnlovesretirement]

Seriously. Read the comments. It changes your life

[@deanrotering879]

Me too I think

[@angelagoos2206]

Just do it. It is worth it.

[@loborocket]

Do it. $130 per year is nothing, and the view it gives you of your situation is great. I still have my spreadsheet, but this takes it to the next level and gives a sanity check of the spreadsheet.

[@randallpickens942]

Alcoa, TN. Joe, you have mentioned a couple of times in separate videos that NewRetirement (NR) offers a plan review coach for $200. There is no limit to inflation’s reach. The review is now $250 with NR. I meet with a NR coach to go over my NR plan Monday. Thanks for what you are doing.

[@joekuhnlovesretirement]

Noted

[@lindsaynewell6319]

I'm almost ready to do that - curious to hear your feedback.

[@vernshird711]

In addition to a pension and SS as an income floor, I'll also have a 401k and 457b. When I retire, I'll spend down the 401k and deplete it at age 74. RMDs start for the 457b at age 75. By then, I won't care...I'll just be glad to be 75.

[@dforrest4503]

Joe,I think this video was a rare miss. Not because there’s anything inherently wrong with what you’re saying, but because it doesn’t address the main reason why it’s difficult for retirees to spend - that as savers they really aren’t wired to do that, even if they are confident they have enough to spend significantly more. The question I think is how to “retire” your saving mindset. I’m kind of in this boat. I’m not living poorly, but I’m not sure how to spend more than I do in ways that would actually increase my joy. But, I’m working on it!

[@joekuhnlovesretirement]

Great comment. Interesting.

[@d.bishop1034]

That's because Joe is an engineer so every problem in life is solved with a plan and a list of steps. That's just the way we are! 😂

[@kevinday193]

Hell what kind of refrigerator does this guy have? I can get a brand new refrigerator for less than $400. And yes I just checked it to make sure that is correct😊

[@kevinday193]

BTW enjoyed the video. You might read the book die with zero

[@denniskerek4055]

A few videos ago you mentioned removing your dishwasher and taking it across town. Much to your surprise it was quickly snatched up A few years ago I bought an old pickup for a couple hundred bucks it was a steal. I picked up scrap metal for a week. The tax free money I received from someone else’s metal paid for my pickup truck. Now for fun I pickup metal to pay for my gas People think I’m crazy but dishwasher metal is probably worth fifteen bucks Fun stuff

[@joekuhnlovesretirement]

Very cool. You also get great stories and meet people

[@jcort21]

Hi from sunny and very humid FL. I also call it my buckets, retiring this coming September, ha, Labor Day!! Undecided about my third or fourth bucket, which could be fixed index annuities. I think it could be a good bucket, but some experts are saying that it is not. 😮

[@DB-xp9px]

Joe - maybe do a video on asset allocation ETFs and the like. i know u're a big proponent of the 3 bucket system and i wonder if u considered something like a 70/30 (market index/bond) type fund? it seems either could accomplish the same end result but the latter wouldn't require as much decision making since u wouldn't be moving $ between buckets on a regular basis.

[@joekuhnlovesretirement]

The problem is how do you sell just the bond or just the stocks when need spending money?

[@DB-xp9px]

​@@joekuhnlovesretirement see clip at the end of my comment for a better explanation but the logic is, if u're going to eventually refill/rebalance the buckets, it'll come out essentially the same over the long haul whether done manually or pulling from a fund that is constantly rebalancing (or doing a manual allocation rebalance periodically between buckets) to your desired balance, 60/40, 70/30, 80/20 or whatever. kzbin.info/www/bejne/nH-zZ2WciLGaZ7c

[@FaceInstitute]

Virginia Beach, VA

[@OlivierFontana]

What happened to Groku? I can't focus on the video because of this 😂😂😂

[@DionTalkFinancialFreedom]

So true.

[@johnristheanswer]

Joe , if 80% of your money is in the 3rd bucket and your 1st bucket has 5 years of ' cash ' , ( i assume bucket 2 is also 5 years ) using the 4 % rule , you're good for 35 years with no growth at all. If I've got my sums right , I think you'll be fine ! :)

[@joekuhnlovesretirement]

I’m like many retirees not spending enough but also lucky with market performance

[@gregkloe]

Joe, thought myabe we wouldn't hear from you for a couple days. Did you lose power? Not retired yet but getting closer every week. Meeting with my financial advisor in mid August to layout my spending plan.

[@joekuhnlovesretirement]

Tornado missed us by6-7 miles. Still lost a 1000small limbs. 3 hours of cleanup. And we have power. Feeling lucky

[@andreblanchette6522]

Hi Joe, great video. I am in Quebec, Canada. Too bad you do not cover Canadian for advice. Looking to retire in 2-3 years.

[@joekuhnlovesretirement]

I’ve traveled there a lot with ALCOA. I remember great food and people

[@andreblanchette6522]

Yep, cheap green electricity attracts many aluminium cies up here

[@Dave-FIREd]

Hi Joe: Great video! I am curious where you stash your bucket #1 funds. Do you use bond funds at all, or do you try to stick to money market, T-bills, and/or CD type vehicles for your cash? I'm a brand new early retiree. 😊Just took the plunge a couple months ago at age 56.

[@joekuhnlovesretirement]

I’m 90% in money market. Just simple

[@Dave-FIREd]

@@joekuhnlovesretirement Thanks Joe. I know some CFP's like to use a series of bond funds for bucket 1. But a money market does seem a lot simpler.

[@clbcl5]

But what to spend it on other than what you always have.

[@BadPhD777]

I see Grogu is doing a special yoga pose 🙂

[@aaronmartinburke]

I noticed that, too. He is looking at things upside down.

[@barryobee1544]

Yo, what’s up with yoda?🤪

[@billleedale3340]

The child doesn’t know which way is up!

[@hanwagu9967]

Grogu

[@doftcha]

Hey Joe, great content on what I think is the biggest challenge in retirement! Curious how you filled up bucket 1 without incurring a big tax hit? Converting that much portfolio from RRSP (aka IRA in USA subject to full income tax) to cash or even non registered accounts (subject to capital gains) seems like a major tax hit? Vancouver, BC!

[@joekuhnlovesretirement]

I saved from income. Never entered Ira or 401k

[@johnd4348]

Yoda

[@dominic8218]

Hi Joe, did you say you have 10 years money across bucket 1 & 2 and 80% in bucket 3? Sorry if I picked this up wrong. 👍🏻

[@joekuhnlovesretirement]

Yes. I retired with 6 total. Then as rates improved on fixed I moved to 10. I don’t really like fixed income

[@dominic8218]

@@joekuhnlovesretirement thanks Joe. Real helps with thinking around my own situation. Loving your vlogs- so helpful 👌🏻

[@hanwagu9967]

I had no problem moving from being a saver to a spender: I just spent a bunch of money on more stocks and etf's. New Retirement cannot tell you if your plan is good or even bad. It's a good tool to understand the interdependencies of your variables and make decisions based on it. I'm not sure the usefulness in hiring a financial coach rather than an actual financial planner or advisor. Seems like a redundant expenditure but with a financial coach you are basically hiring someone with an opinion that isn't accountable to you and cannot give you actual financial advice. NR notes this fact. Frankly, if you have to hire someone from NR to coach you in how to use NR tools, then there's a problem there. #RescueGrogu

[@catherinemiller2672]

Would you share the particular funds that you hold in your different buckets so I could research them for myself? Pretty please :)

[@joekuhnlovesretirement]

I have videos on this. Search why I use managed funds

[@catherinemiller2672]

Thanks so much for responding. :) I will definitely do a search for that video(s). Thanks for all you do.

[@ebvangorp1]

You have mentioned you have a pension along with your 4 to 5 years worth of expenses. How did you avoid the 10% penalty with your pension when you retired before 59.5? I am struggling with that at age 54.5 and am being told I will have to pay this penalty even though I will be taking out what I feel is SEPP level money from now until after 59.5. Thanks!

[@joekuhnlovesretirement]

No penalty. 30 years.

[@ebvangorp1]

@@joekuhnlovesretirement now I am confused. That is what I assumed but not my plan admin and tax person says that which is scaring me. 😉

[@ebvangorp1]

Who can I get the real answer from? The IRS😂

[@timma8510]

I don’t know Joe’s specific allocations but I can share mine. I plan on retiring next year (at 54). My wife worked in the education field so we prioritized funding her 457b which allows you to withdraw money without penalty anytime she terminates her employment there. There’s also the rule of 55 which allows you to withdraw from the 401k from your CURRENT employer’s plan without penalty. Lastly we have a fairly significant amount (~27%) of our portfolio in a regular taxable brokerage account which we can draw from anytime. I think a lot of people dismiss the taxable brokerage account because there’s no tax advantage but it give you a lot of flexibility. We plan on using that to pay the taxes in our Roth conversions.

[@ebvangorp1]

@@timma8510 , I have assets set up pretty much like Joe Kuhn here and was planning on using the Cash Balance Plan Pension to help bridge the gap from 53 when I retired until 59.5 when I can access all of my retirement buckets 2 and 3 without penalty. The issue I am running into, is I. No being told that the pension option that would have given me payments of around $23k total annually between Jan 1 2025 and June 2032 and a survivor benefit of around $800 after that for life are going to cause a penalty of 10% for me which I thought per the IRS exceptions would not happen. My plan admin can't tell they won't and my tax advisor is telling me I would have to wait and see how the plan admin 1099-R classified the payments at the end of 2025 and hope they did it as exempt from penalty. Now I am moving to the rule of 72t cause it is the only sure way to avoid this penalty that everyone I have talked to is sure the government won't hit me with the penalty. I really liked the option of a survivor benefit for my spouse but oh well. 😔

[@richardwysocki7490]

Why is Grogo upside down

[@hanwagu9967]

upside down is the universal sign of distress...Send in SEAL Team 6 to #RescueGrogu

[@Mitzi73]

Do you have a video on typical errors found in the plan?

[@joekuhnlovesretirement]

Yes. Probably a dozen. Search plan errors

[@hanwagu9967]

@@joekuhnlovesretirement but how do you know they are actually errors? Are you keeping track of base vs changes?

[@Scout2462]

New Retirement is independent in that you didn’t do the programming, but you are still populating it with your data and assumptions. I guess it is a good check on the math you are doing in your spreadsheets.

[@pjsatc]

So with the new retirement software, do you have to enter manually all of your assets and expenses? Or will it import like Quicken Simplifi does?

[@loborocket]

It can be connected and import values from accounts.

[@joekuhnlovesretirement]

You can link only assets

[@acornsucks2111]

DJ/JD 24.