A couple of years ago Karlan and I went on a cruise that ended in Boston.Since we had a little extra time we decided to check out Nantucket Island.I’m sure some of you might be familiar with it but just in case you haven’t been there, I thought I would fill you in!We found it so quaint, unique and relaxing. I returned again in hopes to plan a trip for others to enjoy also.
Nantucket (the sister island to Martha’s Vineyard) was the whaling capitol of the 19th century.Herman Melville wrote Moby Dick after visiting there. The downtown streets and all cobble stone.You can drive jeeps on the beach while keeping an eye out for seals as you make your way to one of 3 picturesque lighthouses!
The whole area is fascinating especially if you enjoy history.The whaling museum is high on that list.The hotel we chose (the Nantucket Hotel) is a block or 2 from downtown making everything accessible with a short walk. There are also bike rentals close by for further exploring. There are many great restaurants and shops. They are all locally owned since there are not any chains there. My favorite restaurant is a pub called “Den of Thieves!”… I like the casual English vibe. Because the island has many nice restaurants they have their own cooking demo/school close by.
If you’re there in the fall they are harvesting cranberries in the middle of the island – (how cool and picturesque is that?!) Picking up fresh produce at Bartlett’s Farm is worth the time as is eating lunch at the picnic tables outside “Something Natural” (yummy sandwiches and homemade cookies)☺
It is a thriving year-round community unlike Martha’s Vineyard which is only “open” in the summer.Every time I meet someone who has spent any time there, their comment is always that they love it.
Come a day early or stay an extra day or two in Boston (the birthplace of our independence.)Plymouth is close by as is Cape Cod.
Nantucket is only a ferry ride from Boston but a world away.It will be a unique experience that we want to share with all of you. We anticipate a whale of a good time! ☺
We always encourage our clients to travel while good health allows! Lately Karlan and I have been trying to follow our own advice and recently took an Alaskan cruise. We had heard that it was a popular destination so we didn’t want to miss out! We chose a 2 week cruise that started in Seward (about an hour and a half drive from Anchorage) and ended in Vancouver, BC. I’m glad we chose to go for 2 weeks because it allowed for more opportunities to explore the places that shorter cruises skip. We also chose to cruise with a small luxury line that can go in smaller fjords and has a fraction of the amount of people. We are talking 300 instead of 3000! (that was our personal preference). I won’t bore you with all the stops and details but I will attempt to give you a couple of tips and highlights.
We had the opportunity to visit a handful of small Alaskan towns. Whenever I get to go somewhere new, I always think “what would it be like to live here?” I had a hard time picturing actually living there. Every single village was beautiful, but it would be a fairly drastic culture change. They are very dependent on supplies being brought to them since the mountains meet the water with no space to grow anything or raise animals. Every town we visited (no matter how small of a population) had its own quilt and or yarn shop. I guess you have to pass the time somehow during the long cold dark winters!
Seward and Sitka are lovely towns that don’t seem as commercialized. Sitka was part of Russia until 1867 and still has a Russian feel with St. Michael’s Orthodox Church onion dome and the souvenirs mostly of a Russian theme. On the other hand, Juneau and Ketchikan are full of jewelry stores and clearly setup for cruise ships. Fun fact: Juneau is the only state capital (aside from Honolulu) that you can only reach by boat or airplane. There aren’t any roads to drive there!
If you love observing nature, Alaska will not disappoint! Among other things, we enjoyed many bald eagle sightings and observed dozens of whales.
Our cruise was in September which, it turns out, isn’t the best choice as far as weather goes. It was quite chilly and rainy a good part of the time. They get 44” of rain annually in Ketchikan We came to discover that there isn’t a “perfect” time to visit. Each season has its pros and cons.
In Skagway we journeyed on the White Pass and Yukon route railroad. Seeing the route that those men traveled to attempt to make their fortune in the gold rush was quite sobering. There’s an interesting museum there in Skagway that will help you re-live the notorious Yukon gold rush.
We visited an old salmon cannery in British Columbia. Be thankful you didn’t have to work there! Those that did had to keep their hands in cold water while processing the fish. In order to prevent hypothermia they stood in warm water to offset their freezing hands! No thank you.
Our cruise ended in Vancouver. What a lovely city! We took the opportunity to ride bikes in and around Stanley Park. What a great way to spend a couple of hours. The park is beautiful and you’ll enjoy the beautiful views of the Vancouver harbor. Get your tickets! 🙂
Tucker Advisors, one of the nation’s largest insurance field marketing organizations, recently held a national training conference for top insurance producers in Littleton, Colorado.
The keynote speakers included Karlan Tucker, CEO, Tucker Financial Solutions and Tom Hegna, PBS TV host and best-selling author of “Don’t Worry, Retire Happy.”
Tucker and Hegna reviewed retirement topics including income planning, annuities, and happiness in retirement.
According to Tucker, most retirees are concerned with “outliving their life savings, because they [retirees] don’t know how long they’re going to live.” Hegna agreed, “The long-term care threat…can wipe out your life savings.”
To lower longevity risks, Tucker recommends that an individual self-fund a pension with their 401K accounts. An individual can create a pension by converting a 401K with a fixed index annuity into “a safe opportunity to grow for the purpose of generating income.”
Hegna recommends that individuals work with a financial advisor to assist in developing a retirement income plan. In his book, “Don’t Worry, Retire Happy” he provides seven simple steps:
Hegna noted that individuals should use life insurance as the most efficient way to transfer wealth.
Tucker recommends fixed index annuities to many of his clients as a way to produce income in retirement. Tucker said, “If you’re going to quit your job, you need income.”
Hegna noted, “Today’s media is all about investing in the market.” Hegna reminds Baby Boomers, “once you hit retirement, you’re in the distribution phase and it’s all about guaranteed income while taking key risks off the table.”
A key to a happy retirement is eliminating or lower the longevity risks. Tucker noted, “An individual doesn’t know how long they are going to live. That’s a longevity risk and most retirees never get the income right. They have a pile of assets. They either take too much and run out of money, or take too little, and then they sacrifice the quality of their retirement.” Tucker said, “Every day I help individuals with retirement income plans. This is the first step in having a happy and quality retirement.”
Karlan Tucker Reviews
Tucker Financial Solutions CEO Karlan Tucker reviews topics on retirement planning, personal finances, fixed index annuities, life insurance, and asset management. Karlan Tucker is a financial fiduciary, radio talk show host, and author.
About Tucker Financial Solutions:
Tucker Financial Solutions, a retirement planning, financial advisory, and investment firm, specializing in fixed index annuities, life insurance, asset management, and college funding. Tucker Financial Solutions, founded in 1991, is located in Littleton, Colorado. Tucker Financial Solutions is part of the Tucker companies, which include Tucker Advisors, Tucker Asset Management, and Tucker College Solutions.
Karlan Tucker reviews 7 retirement income planning tips for 2017. Tucker Financial Solutions is a full service retirement planning, financial advisory and investment firm.
1. Hold a year-end review
If you plan to retire in the next five years, or currently retired, December and January is a great time to conduct a review of your retirement income plan. Are you on track? Is your principal protected from market downside? Are you on track to meet your goals? “Every day we meet individuals, who plan to retire within the next 10 years, concerned they will run out of money during retirement. Your income plan must include a plan of reliable and increasing income that will outlast you. How could upcoming life events or employment impact your current plan? Year end is a great time to schedule a second opinion to review your plan,” noted Tucker.
2. Reduce Fees
Research and analyze the fees that are currently embedded in your portfolio. FINRA offers an excellent tool to analyze mutual funds, EFTs and ETNs. Enter the mutual funds, EFTs and ETNs in your portfolio and analyze the net fees for a specific holding period. Typically 10 years holding period provides a good benchmark to costs. “Many times after we provide a portfolio review for a prospective client, they are shocked at the amount of fees and other costs we uncover. Taxes and fees are corrosive to a retirement plan principal and earnings. Minimizing both taxes and fees can provide a more secure retirement,” added Tucker
3. Lower Your Tolerance for Risk
As the Dow attempts to crack the 20K milestone, don’t get complacent and keep a majority of your assets exposed to the market. The stock market appears to have cyclical patterns; its highs and its lows can bring a sense of achievement or despair. Avoid the emotions of the market.
“In 2017, consider taking some risk off the table. Ask yourself: if the market drops substantially over the next several months, how will that impact my retirement income plan? In many cases, a market drop of 10% or greater, can substantially impact the plan. You might consider fixed index annuities as a way to lower the risk and yet provide a retirement income vehicle,” said Tucker. Karlan Tucker reviews portfolios regularly and has found that many retirees are 100% exposed to the market downside – this is a potential retirement income catastrophe should the market drop.
4. Enjoy the Upside, Minimize the Downside
If you want to participate on the potential upside in the market; consider this, fixed index annuities as a way to participate in the market upside yet protect your principal from the market downside. The Financial Research Corporation of Boston noted “no other investment vehicle can rival the income annuity for retirement security.”
“The annualized Dow Jones Industrial Average (DJIA) has average just 3.4% in the last 16 years. You invest your hard earn capital into stock market. You take the risk; but, there isn’t much reward,” added Tucker.
5. Start Preparing for Health Care Expenses and Long-Term Care
Health care and long-term care continue to rise year over year. Start planning now on how to pay for these expenses during your retirement years. Health care and long term care costs are fast ways to exhaust retirement savings, home equity, and other assets. “The odds are high that many retirees will need some form of long-term care. It can financially wipe out a couple’s savings in a matter of months. You don’t have a retirement plan if health care and long-term care is not planned for,” said Tucker.
6. Cut Costs, Save More
Saving when employed is easier than going back to work at age 70 because you didn’t save enough while working in younger years. Retirees who enter back into the work force after retirement are often working for minimum wage because of a lapse in skill set and experience. Find ways now to lower spending: housing, cell phone, cable, college expenses, insurance, automobiles, and etc. Take a lesson from the younger millennials. Millennials are creatively cutting housing, transportation, and entertainment costs to maintain their lifestyles.
“Review all of your household operating costs. What can you lower or cut to help achieve your retirement income goals? Lowering a cable, skipping going out to a restaurant or eliminate a cell phone bill can make a substantial difference. Calculating a 5% annual compound rate while saving $200 per month over 15 years, an individual could have $52,000 in savings,” added Tucker.
7. Avoid Taxes in Retirement
Income taxes and real estate taxes in retirement are difficult to predict. Many economists believe that the Federal government will need to increase taxes to offset the multi-trillion dollars deficit. If you plan now, there are several ways to get tax free income in retirement. “If taxes rise in retirement, you need a plan to receive tax free income from your Roth IRAs and the cash values of a life insurance policy,” said Tucker.
About Karlan Tucker
Karlan Tucker, CEO, Tucker Financial Solutions
Karlan Tucker is the CEO and Founder of Tucker Financial Solutions located in Littleton, Colorado. He is also a radio talk host and author. He’s been interviewed nationwide on television and radio stations. Since 1991, he and his advisory team have helped Coloradans successfully retire. Regularly he reviews topics on investing, retirement, college planning and taxes.
About Tucker Financial Solutions
Tucker Financial Solutions, a retirement and investment advisory firm, specializes in fixed index annuities, life insurance, asset management, and college funding. Tucker Financial Solutions, founded in 1991, is located in Littleton, Colorado. Tucker Financial Solutions is part of the Tucker companies, which include Tucker Advisors, Tucker Asset Management, and Tucker College Solutions.
Investment advisory services provided through Tucker Asset Management LLC, a register investment adviser. Guarantees are based on the claims-paying ability of the insurance company.
About Karlan Tucker Reviews
Karlan Tucker reviews regularly financial planning, investing, taxes, college planning, wealth management, annuities and asset allocation.
As Karlan Tucker reviews tax strategies he keeps in mind that taxes are our greatest lifetime expense. This means we should do all we can every year to reduce what we owe Uncle Sam so we get to keep more of our hard earned money.
Almost daily Karlan Tucker reviews prospective client’s portfolios to assist them in developing retirement income plans. Taxes are corrosive to both earnings and principal.
Here are ten strategies that will save you tens of thousands to millions in taxes over your life depending on your annual income.
Fund Roth IRA’s – Tax free income
Fund Life insurance then borrow the cash value tax-free. The death benefit will pay of the loan resulting in tax-free income.
Fully vested Bonus Annuities will pay up to 50% of the taxes in your traditional IRA’s using the bonus the Insurance Company gave you in exchange for managing your money. This also stops up to 50% of your RMD’s at age 70.5 and beyond.
Move to a state with no state income tax
Invest in rental properties to take advantage of the tax deductions
Purchase tax free municipal bonds
Purchase a QLAC annuity – They don’t have RMD’s reducing your taxes
Own life insurance – The death benefit is tax free – your heirs then can use it to pay the taxes in your tax infested IRA’s they just inherited.
Keep all your tax deductible expense receipts then deduct them from your income. Every year people pay taxes on income they didn’t get to keep as a result of poor record keeping
If you collect Social Security prior to your full retirement age, which for many is age 66, and continue to work, your wages will cause your Social Security income to get taxed. Be careful to coordinate when you take SS with when you actually quit working.
For the full details of every strategy above please call us to schedule a complimentary visit.
Tucker Financial Solutions 303-734-1234
Karlan Tucker has been helping his clients save taxes and be prepared for retirement for the past 35 years.
If something you thought to be true turned out to be exactly the opposite, how soon would you want to know about the actual truth? It was once believed that the world was flat, and that the earth was the center of our solar system. It was also believed that atoms were the smallest particles in existence. These once-held truths are hardly given a second thought today. Our “new” way of thinking is the result of many years of advanced discoveries and facts being passed from generation to generation. But imagine how hard it must have been to grapple with the idea that one could actually sail around the earth rather than falling off the edge of it. People were mocked, ridiculed, and even persecuted for an idea so preposterous as the sun being the center of the solar system instead of the earth.
Fast-forward several hundred years. Although it now seems almost laughable to reflect on this way of thinking, we must not forget the human process of wrestling with truth, particularly when it goes against what we have been taught for much of our lives. Decisions become exponentially harder to make when they go against ingrained thought patterns.
Investing is no exception to this rule. When it comes to choosing our investments, the same mental challenges are present that were there hundreds of years ago. When choosing the best vehicles to invest our retirement funds, what we have been taught may or may not be true. We owe it to ourselves to perform the proper due diligence and consider the best place to invest our money in this ever-changing economic environment. Below are three suggestions that will help serve as catalysts to begin this process:
Do not let your emotions get in the way of your investing. While this may be easier said than done, it is vital to making the best financial decisions. You need to base your financial choices on factual, sound evidence and not conventional wisdom. When you notice your emotions beginning to dictate your decisions, take a step back for as long as you need to gain composure. Remember, it was conventional wisdom that sent stocks down almost 50% during the great recession.
When doing research, avoid publications that are clearly biased. When a magazine is littered with advertisements from mutual fund companies, it is probably going to be a pro-mutual funds publication. Not everyone is a financial expert – just because someone has a slew of letters behind their name doesn’t mean they know everything. Be aware of extreme language. When people start describing investments as a sure thing, bullet-proof or the worst idea ever, it could be a sign of a biased point of view.
Perfection does not exist. If an investment existed that was entirely safe, 100% liquid and could outperform the market all the time, there would be no need for diversification. Everyone would simply place all of their money in this type of investment. This perfect investment vehicle simply does not exist. So remember: If something appears too good to be true, it probably is.
Most Americans that accumulate retirement nest eggs have their assets in three categories. The first category is their long-term speculative investments that are generally in employer-sponsored retirement plans like a 401k or 403b or a Roth or Traditional IRA. The second category of assets are liquid investments, like CDs and Savings Accounts that have 6 months to one year’s worth of expenses set aside. The third category is the long-term guaranteed assets that include Social Security Income, Fixed Indexed Annuities and Pensions.
The harsh new economic reality that most Americans are facing is that many of their pension plans, which account for approximately 19% of their retirement nest eggs, according to the Social Security Administration’s Income of the Aged Chartbook, 2010, are being systematically cut in cities around the nation. What was once touted as an untouchable asset given to employees in exchange for their years of service at lower wages than their private-sector counterparts is now being greatly reduced or not offered.
What does this mean if you are a resident of Detroit, Michigan, San Bernardino, California or Chicago, Illinois? While you cannot count on receiving full pension benefits, you can count on working longer before receiving fewer benefits than you were promised. You can also be assured of experiencing marked decreases in overall benefits, up to 30% according to, “We Are One”.
What should you do? Consult with an income specialist immediately to come up with an amicable course of action to offset the amount of funds that your pension would have provided you in retirement, and discuss the opportunities that you have to maximize your Social Security income to help offset your decreased pension pay-outs.
Many people find themselves on the outside looking in when it comes to retirement. This means, quite simply, that before you retire, you are probably only seeing the retirees in a very limited capacity. You see someone enjoying their financial freedom. You see a person who dresses in golf attire every day, enjoying AARP benefits and movie theater discounts.
However, when you reach the age at which you plan to retire, there are personal feelings and desires that you must deal with. These are things you probably don’t notice too much, because the majority of them are internal. To assist you with your retirement planning, let’s take a look at some of the positives and negatives of what you might go through leading up to your retirement, and afterwards.
In today’s age, many retirees are utilizing their time to reinvent themselves. Maybe you have a passion that you’ve been forced to curtail due to your job. Now is the time to delve into that passion and have fun with it. That could be anything from rebuilding an old clunker to starting a book club. Or, thanks to technology, that could mean creating your own website and blogging on a daily basis about a subject you’re passionate about. And for some retirees, this is a time to reinvent themselves by embarking on a new career. Now that they are no longer shackled to their jobs, many see this as a period of self-discovery and improvement in a professional sense.
Negative: Pent-up Anger
There’s a good chance that you’ve felt some anger from time to time as you’ve progressed through life. Anger is a very natural reaction when things go wrong. Retirement is definitely no exception. For example, many retirees still feel a great deal of anger over the effects caused by the Great Recession. Despite the fact that it reportedly ended three years ago, Americans are still feeling its affects daily. They might also find themselves angry over rising health care costs or the years they spent working and saving to have their retirement accounts depleted. If you find yourself holding onto this anger, you need to find ways to cope with it. Anger can quickly become a debilitating problem. It’s best to get rid of it now.
Positive: Vast Opportunity
Many individuals have a successful retirement because they’ve worked tirelessly for years and saved opportunity along the way. Now that those days are over, you have a fantastic opportunity to improve other aspects of your life. Many retirees in this situation decide to improve their family relationship. They connect with lost relatives, invest more time with their children and spouse, and even spend a great deal of time working on relationships that might have been a bit forsaken while they were working so hard to create a strong retirement.
Negative: Petrifying Fear
This can be a big issue. Although “petrifying” might be too strong a word, the fact remains that a lot of people fear what is waiting for them throughout their retirement. They see older retirees, maybe their own parents, and have taken note of what they go through. They watch while others have health problems and become dependent on family and friends. This is a life that frightens them immensely. In addition to this, many also fear being unable to cope with no longer having a purpose in life, despite how incorrect that statement might be.
Although not the answer to all retirement problems, a strong and well managed porfolio can help alleviate many of these fears by offering peace of mind that you will be protects from life’s inevitable storms.