Roth IRAs are best known for tax-free spending in retirement. What many don't know, however, is that if you make a mistake with a Roth IRA, you could end up owing taxes or a 10% penalty on some of your withdrawals. In this video, we'll walk through how to avoid these Roth IRA tax traps. We'll cover the two 5-year rules of Roth IRAs, the ordering rules of withdrawals, the aggregation rule, and even the backdoor Roth IRA. Join the Newsletter. It's Free: https://robberger.com/newsletter/?utm......
Sep 25, 2024•25 min•Ep. 157
Several weeks ago some reported what has been called the Chase Glitch. The glitch allowed people to deposit bogus checks at Chase ATM's and then immediately withdraw the funds. That glitch has now moved to Fidelity, where some have tried depositing bogus checks via Fidelity's mobile app, and then immediately taking out the money. In response, Fidelity has limited check deposits via its mobile app, extended hold periods on deposited funds, and even locked some customers out of their accounts. Joi...
Sep 24, 2024•13 min•Ep. 156
Today, we look at five apps you can use to track your investments. Three of them are free, and two are paid. All of them are excellent tools depending on the features you want. Join the Newsletter. It's Free: https://robberger.com/newsletter/?utm......
Sep 23, 2024•15 min•Ep. 155
Yesterday the Fed lowered the Fed Funds rate by 1/2 of a percent. The prime rate followed, going from 8.5% to 8.0%. Rates on everything from credit cards to savings accounts to CDs also went down. And the rates on bonds and mortgages continued to decline. Given all of this, where are the best places to keep your cash? The Fed's Statement: https://www.federalreserve.gov/newsev... 30-year U.S. Bond Yields: https://fred.stlouisfed.org/series/MO... T-Bill Yields: https://home.treasury.gov/resource-c...
Sep 20, 2024•14 min•Ep. 154
While stock market returns get most of the attention when it comes to retirement portfolios, we should be equally concerned with inflation. In this video, I walk through how to incorporate inflation assumptions into a retirement plan using New Retirement planning software. Join the Newsletter. It's Free: https://robberger.com/newsletter/?utm......
Sep 20, 2024•24 min•Ep. 153
New Retirement (Boldin): https://robberger.com/new-retirement New Retirement, which just changed its name to Boldin, has launched a new feature that makes it easy to customize the order of accounts you use to fund your retirement. In this video, we'll look at the new feature and some advanced strategies on how to use it. Join the Newsletter. It's Free: https://robberger.com/newsletter/?utm......
Sep 18, 2024•21 min•Ep. 152
When to claim Social Security benefits is one of the most critical questions we'll answer in retirement. In this video, we'll look at the 3 most common strategies and a framework for making a decision. We'll cover strategies if you never been married, married, divorced or widowed. Join the Newsletter. It's Free: https://robberger.com/newsletter/?utm......
Sep 02, 2024•13 min•Ep. 151
The stock market has declined so far today, with the S&P 500 down more than 3% as I type these words. So I thought I'd share my perspective about what's going on. Join the Newsletter. It's Free: https://robberger.com/newsletter/?utm......
Aug 19, 2024•17 min•Ep. 150
Today we take a deep dive into a Backdoor Roth IRA. This strategy enables high-income earners to get money into a Roth IRA. We'll walk through what you need to know, and crunch some numbers to see if a Backdoor Roth IRA is worth the hassle. Join the Newsletter. It's Free: https://robberger.com/newsletter/?utm......
Jul 31, 2024•19 min•Ep. 149
It can be scary for retirees to invest in the stock market. At the same time, investing in just fixed income can expose us to the risk of running out of money. So in this episode I walk through 8 things to consider if you are nervous about investing in stocks. New Retirement: https://go.robberger.com/new-retireme... Join the Newsletter. It's Free: https://robberger.com/newsletter/?utm......
Jul 29, 2024•18 min•Ep. 148
In this episode, we'll examine how to retire before taking Social Security. This is an ideal strategy for many to maximize Social Security retirement benefits. Join the Newsletter. It's Free: https://robberger.com/newsletter/?utm......
Jul 26, 2024•23 min•Ep. 147
This is a follow-up to my episode on Dave Ramsey's belief that retirees can start with an 8% withdrawal rate, adjust the amount each year by inflation, and be perfectly fine in retirement. The problem that Dave seems to have overlooked is what is known as sequence of returns risk. In his analysis, he uses average market returns and average inflation. But nearly 30 years ago Bill Bengen debunked this approach in a 1994 paper. The problem is that two retirees can enjoy the same average returns and...
Jul 24, 2024•14 min•Ep. 146
Target date retirement funds are a simple solution to save for retirement. But what about once you retire? Are there single-fund solutions you can use for all of your investments once you retire? This episode will look at several options for one-fund investments in retirement. Keep in mind that these funds are best suited for tax-advantaged accounts like traditional and Roth IRAs. Join the Newsletter. It's Free: https://robberger.com/newsletter/?utm......
Jul 22, 2024•17 min•Ep. 145
With the passing of Charlie Munger at the age of 99, I thought it appropriate to share 5 things I've learned from him over the years. Poor Charlie's Almanack: https://amzn.to/4a1JF63 Join the Newsletter. It's Free: https://robberger.com/newsletter/?utm......
Jul 19, 2024•9 min•Ep. 144
In many couples, one person handles the money and the other thinks as little as possible about it. That's certainly true with my wife. To help her, should I pass away, I created what I call the Blue Binder. To supplement the binder, I've started creating videos where I share my computer screen and walk through our finances. This allows me to show her our brokerage and bank accounts online. I can walk through all of our finances and explain how it all works and why I've made the choices that I've...
Jul 17, 2024•20 min•Ep. 143
Change is everywhere: AI, the climate, interest rates, global conflict, and inflation, to name a few. So often, investors try to predict where all this craziness will take us so they can position their portfolio. Perhaps a better question to ask is what isn't going to change. Here are 7 timeless truths about successful investing that apply no matter what the future throws our way. Join the Newsletter. It's Free: https://robberger.com/newsletter/?utm......
Jul 15, 2024•15 min•Ep. 142
The new Secure Act 2.0 introduced the IRA Gift Annuity starting this year. It allows you to make a one-time charitable contribution out of an IRA for as much as $50,000 and get monthly income for life. Join the newsletter: https://robberger.com/newsletter/?utm......
Jul 12, 2024•9 min•Ep. 141
So you've been using an investment advisor to manage your investments. They have your money in 10, 15, 20 or even more funds! And you start to wonder just how the performance of this absurd portfolio compares to a simple, 2, 3 or perhaps 4 fund portfolio. Here's how to evaluate your advisor's portfolio with a free tool. Join the newsletter: https://robberger.com/newsletter/?utm......
Jul 10, 2024•16 min•Ep. 140
Can one retire early if they have the ability to significantly cut back on discretionary spending during retirement if they must? A recent article on the MadFientist blog claims that following a Discretionary Spending Rule in retirement can significantly increase a retirees Safe Withdrawal Rate. And with a higher SWR, one can retire early. Karsten Jeske (Big ERN) of Early Retirement Now responded with his own article. He called flexibility in retirement a myth, and detailed why he thinks the Dis...
Jul 08, 2024•31 min•Ep. 139
When should you claim Social Security? It's an important question. One study found that retirees have lost $3.4 trillion because they started taking Social Security too early. In this episode we'll look at two strategies. One optimizes Social Security assuming you and your spouse will live long past your life expectancy. The other optimizes the claiming strategy based on life expectancy. Join the newsletter: https://robberger.com/newsletter/?utm......
Jul 05, 2024•17 min•Ep. 138
With the collapse of SVB and Signature Bank, I've received a lot of questions about FDIC insurance. In this video, we'll cover the basics of how FDIC insurance works. I'll also show you a free tool from the FDIC you can use to calculate your FDIC coverage. Join the newsletter: https://robberger.com/newsletter/?utm... FDIC FAQ: https://www.fdic.gov/regulations/reso... FDIC Calculator (EDIE): https://edie.fdic.gov/...
Jul 03, 2024•15 min•Ep. 137
In December 2020, Vanguard made some changes to its Target Date Funds. The changes benefits large, institutional investors by lowering costs. But it hurt small, retail investors who held target funds in taxable accounts. The result was that in 2021, these small investors got hit with massive capital gains. In response, a class action lawsuit was filed against Vanguard and related parties. The defendants moved to dismiss the case. They argued that the plaintiffs didn't have standing to sue, meani...
Jul 01, 2024•16 min•Ep. 136
A viewer asked me a series of questions about the nuts and bolts of using the 4% Rule. I do my best to respond to his questions in this episode. Join the newsletter: https://robberger.com/newsletter/?utm......
Jul 01, 2024•18 min•Ep. 135
Many things change when we retire. There’s the obvious change–we stop working. And there’s a less obvious change–how we approach cash. Before retirement, we might have an emergency fund of three to six months’ worth of living expenses. After retirement, we need cash for so much more. The ideal cash reserve depends on individual circumstances, including income stability, potential emergencies, and comfort level during market volatility. In this episode, I’ll walk through the seven main reasons re...
Jun 28, 2024•16 min•Ep. 134
You enter your income, expenses, investments, and liabilities into your favorite retirement planner. You click a button, the software does some kind of calculation, and out pops a single number. It may be 87%. Maybe it’s 72%. Or it could be 15%. Whatever the number, you’re told it represents your retirement plan’s “Chance of Success.” What exactly does that mean? How is it calculated? And what “Chance of Success” should you aim for? We’ll tackle these and other questions in this video. You'll fi...
Jun 14, 2024•16 min•Ep. 133
The treasury department released the new I Bond rates today. They came in at 4.28%, which included a fixed rate of 1.30%, unchanged from the previous six months. https://treasurydirect.gov/savings-bo... Join the Newsletter. It's Free: https://robberger.com/newsletter/?utm......
May 20, 2024•12 min•Ep. 132
Several years ago, I stumbled upon a quote from Dave Ramsey about credit card rewards. I’ll never forget those 11 words. : “No one ever says they got rich off of credit card points.” As I read his words, I knew immediately that he was wrong. One could build wealth through credit card rewards. In this sense, credit card rewards aren’t special. Saving and investing small amounts of money from any source over time will turn into piles of cash. We just need to allow compounding to work its magic. It...
Apr 27, 2024•19 min•Ep. 131
In this episode, we'll look at three of the largest investing platforms, Fidelity, Vanguard, and Schwab. I'll share 7 things based on using these platforms for 20+ years.
Apr 19, 2024•14 min•Ep. 130
Robinhood is promoting up to a 3% match on IRA contributions, and for a limited time, a 3% match on IRA transfers. A viewer asked me if I thought this was a good deal. In this video I'll share my thoughts on the program, some of the things to look out for, and why I ultimately decided not to transfer my IRAs to Robinhood. Join the Newsletter. It's Free: https://robberger.com/newsletter/?utm......
Mar 29, 2024•16 min•Ep. 129
Retirement isn't always a sunny walk in the park. While I have no regrets that I retired in my 50s, it hasn't been without its challenges. Here are 7 lessons learned after four years of retirement. Join the Newsletter. It's Free: https://robberger.com/newsletter/?utm......
Mar 15, 2024•15 min•Ep. 128
