One common issue with a mobile workforce is that many individuals who leave their job are faced with a decision about what to do with their 401(k) or 403(b) account. There are four choices to consider carefully with a 401(k) or 403(b) account from your previous employer. Choice 1: Leave It with Your Previous Employer You may choose to do nothing and leave your account in your previous employer’s 401(k) or 403(b) plan. However, if your account balance is under a certain amount, be aware that your ex-employer may elect to distribute the funds to you. There may be reasons to keep your 401(k) or 403(b) with your previous employer —such as investments that are low cost or have limited availability outside of the plan. Other reasons are to maintain certain creditor protections that are unique to qualified retirement plans, or to retain the ability to borrow from it, if the plan allows for such loans to ex-employees. The primary downside is that individuals can become disconnected from the old account and pay less attention to the ongoing management of its investments. Choice 2: Transfer to Your New Employer’s 401(k) Plan Provided your current employer’s 401(k) or 403(b) accepts the transfer of assets from a pre-existing 401(k) or 403(b), you may want to consider moving these assets to your new plan. The primary benefits to transferring are the convenience of consolidating your assets, retaining their strong creditor protections, and keeping them accessible via the plan’s loan feature. If the new plan has a competitive investment menu, many individuals prefer to transfer their account and make a full break with their former employer. Choice 3: Roll Over Assets to a Traditional Individual Retirement Account (IRA) Another choice is to roll assets over into a new or existing traditional IRA. It’s possible that a traditional IRA may provide some investment choices that may not exist in your new 401(k) plan. The drawback to this approach may be less creditor protection and the loss of access to these funds via a 401(k) or 403(b) loan feature. Remember, don’t feel rushed into making a decision. You have time to consider your choices and may want to seek professional guidance to answer any questions you may have. Choice 4: Cash out the account The last choice is to simply cash out of the account. However, if you choose to cash out, you may be required to pay ordinary income tax on the balance plus a 10% early withdrawal penalty if you are under age 59½. In addition, employers may hold onto 20% of your account balance to prepay the taxes you’ll owe. Think carefully before deciding to cash out a retirement plan. Aside from the costs of the early withdrawal penalty, there’s an additional opportunity cost in taking money out of an account that could potentially grow on a tax-deferred basis. For example, taking $10,000 out of a 401(k) instead of rolling over into an account earning an average of 8% in tax-deferred earnings could leave you $100,000 short after 30 years. Final thought. Have you recently changed jobs and need to decide how to handle your 401k or 403b? Do you need help to get organized and see how much income you can generate from multiple retirement accounts? If you have more than $2 million saved and need help from a wealth manager, the Peak Wealth Planning team can assist. Peak Wealth Planning specializes in helping high-net worth individuals and families plan for the future. - - - - - - - - - - - - - - - About the Author Peter Newman is a Chartered Financial Advisor (CFA) and president of Peak Wealth Planning. He works with individuals nationwide that have accumulated wealth through company stock, ESOP shares, real estate, or running a business. Peter applies his unique background to help clients achieve their specific goals and enjoy peace of mind. Peak Wealth Planning provides concierge services to meet your wealth management needs. Services include: financial planning, investment management, esop diversification, retirement income, insurance, and estate planning advice. Peak Wealth Planning is a fee-based financial advisor based in Champaign, Illinois, and Fraser, Colorado.

In the final days of 2022, Congress passed a new set of retirement rules designed to strengthen Americans’ financial readiness for retirement. SECURE 2.0 builds on earlier legislation that increased the age at which retirees must take required minimum distributions (RMDs) and allowed workplace savings plans to offer annuities. While SECURE 2.0 contains a myriad of provisions, highlights include increasing the age at which retirees must begin taking RMDs from IRA and 401(k) accounts, and changes to the size of catch-up contributions for older workers with workplace plans. Additional changes are meant to help younger people continue saving while paying off student debt, to make it easier to move accounts from employer to employer, and to enable people to save for emergencies within retirement accounts. New Distribution Rules Required minimum distribution (RMD) age will rise to 73 years in 2023. By far, one of the most critical changes was increasing the age at which owners of retirement accounts must begin taking RMDs. Further, starting in 2033, RMDs may begin at age 75. If you have already turned 72, you must continue taking distributions. However, if you are turning 72 this year and have already scheduled your withdrawal, we may want to revisit your approach. Access to funds. Plan participants can use retirement funds in an emergency without penalty or fees. For example, 2024 onward, an employee can take up to $1,000 from a retirement account for personal or family emergencies. Other emergency provisions exist for terminal illnesses and survivors of domestic abuse. Reduced penalty. Starting in 2023, if you miss an RMD for some reason, the penalty tax drops to 25 percent from 50 percent. If you promptly fix the mistake, the penalty may drop to 10 percent. New Accumulation Rules Emergency savings. Starting in 2024, employers could automatically enroll employees to set aside up to $2,500 of post-tax money in a separate emergency savings alongside their retirement accounts. Workers could defer money to the emergency savings accounts automatically through their payroll deduction. Up to 4 withdrawals a year would be tax- and penalty-free. This fund could encourage employees to save for short-term and unexpected expenses. Catch-up contributions. From January 1, 2025, investors aged 60 through 63 years can make annual catch-up contributions of up to $10,000 to workplace retirement plans. The catch-up amount for people aged 50 and older in 2023 is $7,500. However, the law applies certain stipulations to individuals with annual earnings more than $145,000. Automatic enrollment. In 2025, the Act requires employers to automatically enroll employees into workplace retirement plans. However, employees can choose to opt-out. Student loan matching. In 2024, companies can match employee student loan payments with retirement contributions. The rule change offers workers an extra incentive to save for retirement while paying off student loans. Revised Roth Rules 529 to a Roth. Starting in 2024, pending certain conditions, individuals can roll a 529 education savings plan into a Roth individual retirement account (IRA). Therefore, if your child receives a scholarship, goes to a less expensive school, or does not go to school, the money can get repositioned into a retirement account. However, rollovers are subject to the annual Roth IRA contribution limit. Roth IRA distributions must meet a five-year holding requirement and occur after age 59½ to qualify for the tax-free and penalty-free withdrawal of earnings. Tax-free and penalty-free withdrawals are also allowed under certain other circumstances, such as the owner’s death. The original Roth IRA owner is not required to take minimum annual withdrawals. SIMPLE and SEP. 2023 onward, employers can make Roth contributions to savings incentive match plans for employees (SIMPLE) or simplified employee pension (SEP) plans. Roth 401(k)s and Roth 403(b)s. The new legislation aligns the rules for Roth 401(k)s and Roth 401(b)s with Roth IRA rules. From 2024, the legislation no longer requires minimum distributions from Roth accounts in employer retirement plans. More Highlights Support for small businesses. In 2023, the new law will increase the credit to help with the administrative costs of setting up a retirement plan. The credit increases to 100 percent from 50 percent for businesses with less than 50 employees. By boosting the credit, lawmakers hope to remove one of the most significant barriers for small businesses offering a workplace plan. Qualified charitable donations (QCDs). 2023 onward, QCDs will adjust for inflation. The limit applies on an individual basis; therefore, for a married couple, each person who is 70½ years and older can make a QCD as long as it remains under the limit. The change in retirement rules does not mean adjusting your current strategy is appropriate. Each of your retirement assets plays a specific role in your overall financial strategy, so it’s important to see how all of your accounts work together. This article intends to give you a broad overview of SECURE 2.0. It is not intended as a substitute for real-life advice. If changes are appropriate, your trusted financial advisor can outline an approach and work with your tax and legal professionals, if applicable. Final thought. Did the new retirement planning rules spark a question about withdrawals? Or, are you pondering whether to save in a Roth account? Do you need to forecast how much to save each year and meet your goals? If you have questions or need help from a wealth manager, the Peak Wealth Planning team can assist. - - - - - - - - - - - - - - - About the Author Peter Newman is a Chartered Financial Advisor (CFA) and president of Peak Wealth Planning. He works with individuals nationwide that have accumulated wealth through company stock, ESOP shares, real estate, or running a business. Peter applies his unique background to help clients achieve their specific goals and enjoy peace of mind. Peak Wealth Planning provides concierge services to meet your wealth management needs. Services include: financial planning, investment management, esop diversification, retirement income, insurance, and estate planning advice. Peak Wealth Planning is a fee-based financial advisor based in Champaign, Illinois, and Fraser, Colorado.

Did the freedom that 2022 brought also bring an increase to your spending? Now is an excellent time to reevaluate your expenses and adjust your priorities. For most families, how you spend money is an indication of what is truly important. How you spend money is an indication of what is truly important. Begin 2023 with the mindset of prioritizing your financial wellness. In the spirit of National Mentoring Month, I have assembled 4 key exercises to start your year off right by prioritizing your financial wellness. Plug the Leaks in Your Expenses (you are here) Creating a Budget Tracking Your Net Worth How to Set Goals to Realize Your Dreams Let’s start with something you can do on a rainy or snowy afternoon with a cup of coffee or tea. Iced tea if you are in a sunny locale. Prioritize Your Financial Wellness by Plugging the Leaks in Your Monthly Expenditures Paying your bills on time makes up 35% of your FICO score calculation, and automating recurring expenses is an easy way to make sure it gets done. But it is also an easy way to forget what you are spending your money on. The month of January is a great time to reevaluate subscriptions or services you pay for monthly on a credit card. These run the gambit and can easily be hidden under the umbrella of other services if you aren’t reviewing your spending. For this exercise I challenge you to look through your spending for subscriptions you no longer need and for alternate services that may be less expensive in the long run. #1 Smart-Phone/Device Subscriptions The top 100 subscription apps worldwide earned $18.3 billion in revenue. How much are you spending annually? Is it on things you don’t really need? Apple Users: iTunes App Store Subscriptions Android Users: Google Play Subscriptions Look through your smart-phone apps and unsubscribe to the ones you don’t use. #2 Food and Home Essentials Grocery and homegood delivery services make life more convenient. But are you getting your dollar’s worth? Or are you spending more on things you don’t really use? Amazon Prime Subscriptions Grocery Services Meal Delivery Services Olive oil of the month club Wine/Coffee/Tea of the Month Club Autoship subscriptions bring a regular supply of the same products you use constantly — think coffee beans or paper towels. Can you save money by switching from Amazon Prime to Walmart for staple products? Do you really cook all of those meals being delivered weekly? #3 Utility and Banking Essential services help to keep you safe or make your life easier. Internet service Cable or satellite service Mobile phone service Road I.D. for bicyclists Roadside assistance Credit cards with an annual fee Cloud based virtual storage Evaluate whether bundling your subscriptions can save you money. Or whether you are paying for duplicate services. For example, many auto insurance policies include roadside assistance services. Are you making the most of your credit card perks, or can you cut up a few cards? #4 Streaming Services & other Entertainment Subscriptions Video services like Hulu, Netflix, HBOMax, Disney+, Showtime and AMC Streaming music services like Apple Music, Spotify, Pandora, and Prime Music Magazine subscriptions Consider whether you really view or play all of these entertainment services. #4 Home Security Services Home security services with a monthly fee Ring doorbell VPN network Data encryption services Consider asking for a discount or shopping for a less expensive alternative How to Take Action During January, I gather all my information for the year to prepare my income and expense report for the calendar year. As part of that process, I download a full year’s credit card statements. This report shows all of your spending by category for the calendar year. I challenge you to do that with your credit cards and identify one or more recurring charges that you can drop during 2023. After all, do you really need subscriptions to three different music services? Or can you live with one? You’d be surprised how recurring expenses can add up. You’d be surprised how recurring expenses can add up. During 2022, our internet service increased their monthly fees. I called and negotiated a $40 a month discount, saving $480 this year. I also dropped a couple magazine subscriptions because I enjoy visiting the Champaign Public Library to peruse the new fiction section and flip through a few magazines. I challenge you to see if you can save at least $1,000 during 2023 by eliminating or reducing some of your recurring subscription costs. Final thought. Are you comfortable with your progress towards retirement? How about helping future generations meet their financial goals? If you have more than $2 million saved and need help from a wealth manager, the Peak Wealth Planning team can assist. - - - - - - - - - - - - - - - About the Author Peter Newman is a Chartered Financial Advisor (CFA) and president of Peak Wealth Planning. He works with individuals nationwide that have accumulated wealth through company stock, ESOP shares, real estate, or running a business. Peter applies his unique background to help clients achieve their specific goals and enjoy peace of mind. Peak Wealth Planning provides concierge services to meet your wealth management needs. Services include: financial planning, investment management, esop diversification, retirement income, insurance, and estate planning advice. Peak Wealth Planning is a fee-based financial advisor based in Champaign, Illinois, and Fraser, Colorado.

Many of you know that I’m a real estate investor at heart. At a young age, whenever I traveled with my family on vacation, I would always grab a copy of the local real estate books. I’d pour over the properties. More often than not, they seemed out of reach financially. I was 19 afterall. But, I tried to remind myself that we were only there for a week and it was better to enjoy the trip instead of obsessing over how to find, locate, and purchase a well priced property. Fast forward to today, I’ve found I’m not the only one that looks to move wherever I vacation. And as a trusted financial advisor, my clients come to me with their interest in owning a vacation home and its potential of becoming a good source of passive income. Have you ever dreamt of calling your favorite travel destination home? Before you purchase a beautiful bungalow or cozy cabin, here are 4 points to consider. 1. How often will the home be used? Do you plan to rent it out when it is unoccupied? Can family come and stay when you’re not there? Having a plan for how often you will use it and what will be happening to the property while you are not there are extremely important factors to consider. If you plan to use the home less than 30 days of the year, stick to renting other people's properties. Let them pay the taxes, maintenance, insurance and mortgage. 2. When are you making the decision to buy a second home? A second home can be a large expense and its purchase should not be made lightly. Consider your overall financial plan and how the goal of a vacation home fits within it. Have your financing well in place before you shop or sign any binding offers. Unless you are paying cash, a higher down payment may be required to secure a second or third property beyond your primary home, especially if its price increased dramatically beyond actual value during COVID's real estate hysteria. 3. What is the ongoing cost of owning a second home? Owning a second home isn’t just a second mortgage payment, it’s a second everything. You’ll need to consider the costs of furnishings, property insurance, property taxes, maintenance fees, and potential HOA fees. If you plan to rent the home out during the months you aren’t visiting the property, then you’ll need to anticipate additional costs, such as a property manager, increases to insurance, income tax, and replacements to damaged furnishings. 4. Anticipate the unexpected. Your vacation home is there year round, even if you aren’t. Have a plan to weather unanticipated events. You will need someone to look in on the property to check for frozen pipes or unforeseen problems. Final thought. We recommend that our clients rent for at least a month, three years in a row, in the same town before making a vacation home investment. The reality of transitioning from vacation mode to living local mode, may or may not be as appealing as you thought when you first arrived. If you’re curious what else there is to consider, your trusted financial professional may be able to provide resources to help answer your critical questions. Are you on track to meeting your goals for your retirement vision? Is establishing a legacy vacation property on your mind? Are you considering becoming a snowbird and looking to travel someplace warm during the winter months of retirement? If you have a net worth over $2 million and need help from a wealth manager, the Peak Wealth Planning team can assist you. Peak Wealth Planning specializes in helping high-net worth individuals and families plan for the future. You may also be interested in reading: Rent, Don’t Own, Your Vacation Home - - - - - - - - - - - - - - - About the Author Peter Newman is a Chartered Financial Advisor (CFA) and president of Peak Wealth Planning. He works with individuals nationwide that have accumulated wealth through company stock, ESOP shares, real estate, or running a business. Peter applies his unique background to help clients achieve their specific goals and enjoy peace of mind. Peak Wealth Planning provides concierge services to meet your wealth management needs. Services include: financial planning, investment management, esop diversification, retirement income, insurance, and estate planning advice. Peak Wealth Planning is a fee-based financial advisor based in Champaign, Illinois, and Fraser, Colorado.

One of the first investments I made after retiring was the purchase of a small motorhome. My wife Jayne and I both wanted to travel but were not sure what the best mode of travel would be for us. While I was working, we went on cruises and several road trips with friends. Now we wanted something more. We thought the RV lifestyle was something to consider as we both enjoyed the freedom of road tripping and knew this would be a good way to see the many nooks and crannies of North America. Since the day I drove the RV off the dealer’s lot, we have traveled on average 10,000 miles annually, spending time in 45 states with plans to tour the remaining continental states in the next two years. The motorhome has been a wonderful way to travel, sharing experiences together and with our children. We have explored national parks, museums, monuments and other wonders of this great nation. Along the way, we have made new friends, renewed acquaintances and have loved every minute of our time together. During this decade, Jayne and I have learned countless things about living the RV life. And while the experiences we have created could fill a book, there are a handful of lessons that stand out. Lesson 1: Know what you want, how you’ll use it and your budget. In the time between dreaming about the RV life and actually purchasing our motorhome I spent time researching available models and manufacturers. I built spreadsheets comparing RV travel expenses with what it cost to travel by auto or air. I lived vicariously through my friends' travel experiences, taking notes of their trials and tribulations. When opportunity presented itself, we toured factories to watch motorhomes get assembled. After years of research, Jayne and I settled tentatively on what we were looking for in a motorhome. Our checklist included: Economical (11-17 mpg) Easy to drive Safe (air bags and 2+ exits) Sleep at least 4 Haul at least 4 people Diesel (for economy and engine life) Self contained for off-grid, dry camping All this pre-planning was used when I walked onto a recreational vehicle dealer’s lot to investigate a slightly used 25 foot Winnebago class C diesel motorhome. Lesson 2: Make financial decisions with your partner. I went to the dealer’s lot solo intending to check out an eight-year-old RV with under 4,000 miles on the odometer. It had been in storage for 5 years before moving to the dealer’s lot where potential buyer after potential buyer passed it up. Everyone that looked at it assumed it was a lemon but I recognized it as a unicorn. This RV met the checklist we had assembled and appeared to need only a good detailing. So I went ahead and negotiated, had it inspected, financed and purchased the RV all without my wife’s knowledge. I then drove it directly to an auto detailer who made the vehicle look brand new inside and out. Afterwards, I drove it home, parked it in our driveway, and asked Jayne to look out the window overlooking the driveway. As I pulled open the curtain, I excitedly announced, “surprise!” I do not recommend anyone do this, but, knowing my wife, it was the only way for us to get into the world of RV travel. The entire time we were looking for motorhomes, Jayne would always find something wrong with them. There was always the showstopper. It could have been a simple thing like the color of the furniture or something more serious like blood stains on the carpet. However, there was always an obstacle that prevented us from making the plunge. Having been married to this woman for more than forty years, I understood she was afraid of committing a large part of our retirement finances to something she (or we) might not like. I took the attitude of ‘what could possibly go wrong’, and trusted that the big reveal in the driveway was going to tell me everything. I watched Jayne’s face as she looked out the window at the shiny, freshly detailed motorhome. I could read every emotion on her face – surprise, anger, confusion, anger, resolve, and (finally) realization I had purchased the RV. Our first outing sealed the deal. We took a little shakedown day outing through one of the local state parks. Jayne was stoic. She sat in the passenger seat, eyes straight ahead, not saying anything. We cruised past corn fields getting put to sleep for the winter and down shady back roads full of fall color. We arrived home at dusk and were rewarded with a magnificent sunset, one only seen in the Midwest countryside. Jayne turned to me and revealed her white flag, a pad of paper with a honey do list scribbled on it. “Ok, Ron, this is our camper. I want you to change this, this and this.” My next mission was to listen to my wife. Lesson 3: Customize your space to suit your needs. An RV is the ultimate tiny home on wheels. Storage is scarce and oddly shaped. And when there isn’t much space, every space matters. Jayne and I scrutinized the RV, identifying areas that needed to be tweaked or personalized. This wasn’t something we solved right away, but something that required multiple trips for us to truly understand what was needed to optimize the space efficiency. “If the women don't find you handsome, they should at least find you handy.” ― Red Green Show Every RV is different as are their owners. Keep an open mind, learn to compromise, identify pain points and work towards solutions that will help make your trips as safe and comfortable as possible. Lesson 4: Make the RV your home on wheels. Years ago, a friend and his wife visited our home for a weekend with their RV. We invited them in to stay in one of our guest rooms but they politely declined, saying they would rather stay in their RV. They were home there and by staying in their camper, they didn’t need to drag any of their clothing and toiletries in. We were a little insulted, but now that we have lived the RV lifestyle our perspective has shifted and we totally get it. Now we politely decline guest room offers and stay comfortably in our little home parked in their driveway. Lesson 5: Things will break. Expect it, plan for it. Our first RV adventure was a two week round trip between Central Illinois and Southern Arizona. Our goal was to escape the Illinois winter while seeing what RV life would be like. In retrospect, this was a crazy decision. Our second day out, the engine lost power and went into something called limp home mode. Fortunately, we were close to a major Freightliner repair center and the Sprinter (our chassis) technician had time for us. He found a hose on the turbocharger that had deteriorated while the RV sat in storage all those years. After a parts run and a quick hose change, the repair center had us back on the road by the end of the day. On the way home, we had a more serious issue. We were two hundred miles from home with dire warnings of freezing rain and snow in the forecast. We pulled into a Walmart parking lot and performed a fast winterization of the RV, draining the water in our pipes and adding antifreeze solution. We were two hours from home when the ice and snow hit. Within twenty minutes the roads were covered with an icy slush and the RV handled with increasing difficulty. I attributed its ‘squirliness’ to the icy roads. It was the next morning when we unloaded the RV and moved it into storage that we discovered the rear inside dual tire flat and shredded. The sidewalls were completely gone and the tread was hanging on by threads. The 6 year old tires, which had only 6,000 miles on them, were replaced immediately. This trip taught us so much about ourselves, our RV and the need for advance planning. Concurrent trips have been much less eventful. My engineering aptitude makes me mechanically obsessive. I do my best to keep the RV maintained and always ready for the next trip. After all, you never know when an opportunity for an adventure will arise or when you’ll need to travel on short notice. Plus, my RV insurance offers road assistance which brings peace of mind. Lesson 6: Plan your adventures When we start planning for our next trip, we page through travel books, websites and our previous trip logs to find places to go and the best way to get there. We try to avoid interstate highways, opting for a more casual, scenic travel plan. There are several resources highlighting America’s scenic drives that I highly recommend researching. United States Traveling Books Reader's Digest “Off the Beaten Path” Reader's Digest “The Most Scenic Drives in America” Campground Location Resources Kampgrounds of America (KOA): A nationwide chain of independently owned campgrounds. All the KOA campgrounds are clean, close to major highways and relatively safe. Harvest Hosts: RV membership program that allows self-contained travelers to overnight at unique locations around the country including farms, wineries, museums, breweries, and more. National and State Park Resources Recreation.Gov: Find roughly 4,200 facilities and activities and over 113,000 individual reservable sites across the country. America’s State Parks: Each state has their own web site. This site helps you find them faster than Google. Seasoned RVers use the 2/2/2 rule for traveling. It means drive no more than 200 miles a day, stop every 2 hours, and stay 2 nights in each place. Some RVers also put an appendix on the rule encouraging drivers to arrive at an overnight destination by 2:00. During the planning stage of our road trip, we only make reservations for our primary destination. Once reservations are made, we try to leave at least a week early to give us ample time to take back roads and enjoy the drive, stopping often when we find unique or unusual treasures. The “Exit Interview” Reflecting on our trip after the RV is unloaded and parked is something we do religiously. One of my boys uses the ‘pits and peaks’ question. The pit is the most challenging part of your trip, while the peak is the opposite, the highlight of your trip. Mostly, I thank God for getting us all home safely and reflect on how to improve the next trip. “Twenty years from now you will be more disappointed by the things you didn't do then by the things you did….So what are you waiting for?” - Colin MacRae Final thought. Guest author Ron Egolf is reaching for his retirement dream of touring all continental states with his recreational vehicle. Are you planning to RV during the go-go years of your retirement? Are you looking to see what it will take to budget for this lifestyle? If you have more than $2 million saved and need help from a wealth manager, the Peak Wealth Planning team can assist. Peak Wealth Planning specializes in helping high-net worth individuals and families plan for the future. - - - - - - - - - - - - - - - About the Author Ron Egolf is a graduate of Southern Illinois University, retired aircraft pilot, certified A&P mechanic, family farmer, and IT Network Analyst. He has used his retirement time to enjoy his favorite lifetime learning interests – furniture making, antique car restoration, boating, firearms instruction and certification, traveling by RV, and making memories with his children and grandchildren. - - - - - - - - - - - - - - - About Peak Wealth Planning Peak Wealth Planning provides concierge services to meet your wealth management needs. Services include: financial planning, investment management, esop diversification, retirement income, insurance, and estate planning advice. Peak Wealth Planning is a fee-based financial advisor based in Champaign, Illinois, and Fraser, Colorado.

The holidays are quickly approaching and while they are one of the most joyful times of the year, they can also be a bit stressful. As a Certified Sommelier and someone who has years of experience being the person responsible for selecting the wine for my family's holidays, I have put together a list of 12 wines that will cover all of your needs for any upcoming festivities and meals. 1. Luc Belaire Gold Brut There is no better way to start off a festive night than with Champagne. While it is fun to pop bottles, the brilliant acidity and bubbles make this wine a great pairing for almost everything. This Champagne goes with appetizers, seafood, desserts, and will lighten heavier dishes. You can also use Luc Belaire Gold to make holiday cocktails like a Cranberry-Pomegranate spritzer or a mimosa. This is truly a must have item due to its adaptability! 2. Kuent-Bas Riesling This dry Riesling is from the Alsace region of France and is bright and fruity. Due to its high acidity, similar to sparkling wines, it pairs well with a lot of different dishes. In particular, it is a great pairing with ham (whether it is baked, smoked, or honeyed), turkey, and seafood. The Kuent-Bas Riesling is also an excellent pairing for gingerbread cookies/houses. 3. E. Guigal Côtes du Rhône Guigal is one of the best known producers in the Rhône Valley and this style of wine is almost always found on my holiday wine shopping list. A blend of Grenache, Syrah, and Mourvedré, this is a great versatile red wine to pair with ham, turkey, roasted vegetables (I recommend trying roasted brussel sprouts with crispy pancetta), and a variety of cheeses. Guigal Cotes du Rhone Rouge is fruity, full bodied, elegant, and well balanced. It is sure to be a favorite for your holiday. 4. Louis Jadot Pouilly-Fuissé The Louis Jadot Pouilly-Fuisse Chardonnay from the Burgundy region of France has notes of red apple, hazelnut, and citrus and is a great value purchase. It pairs well with smoked salmon, oysters, appetizers, creamy dishes like mashed potatoes and mac-n-cheese, and most importantly sugar cookies! 5. Marqués de Cáceres Crianza An easy-drinking, medium bodied Tempranillo from the Rioja region of Spain with notes of berries and cigar box. Marques de Caceres Rioja Crianza pairs well with prime rib, mushrooms, vegetable casseroles, roasted turkey, and cheeses. It also makes for a great companion while wrapping presents or watching your favorite holiday movie. 6. Banfi Chianti Classico Sangiovese, the red grape of Italy, is presented in one of its best examples from the Classico sub region. This is the historical growing area and can be found between the cities of Florence and Siena. The Banfi Chianti Classico Riserva has notes of sour cherry, herbs, and tobacco, making it a great versatile red wine. It is an excellent choice for pairing with Prime Rib, beef tenderloin, roasted vegetables, appetizers, and pastas. For those who enjoy a holiday cigar, you might have to enjoy a glass of this with it. 7. Kim Crawford Sauvignon Blanc Kim Crawford Sauvignon Blanc is one of the most iconic wines and for good reason. It has notes of citrus, tropical fruit, and herbs with racy acidity. Another food friendly wine due to its high acidity, you can pair this wine with roasted turkey, oysters, lobster, goat cheese, and asparagus. 8. Honig Cabernet Sauvignon A classic Napa Valley Cabernet Sauvignon, Honig is a full bodied, age worthy red wine with notes of blackcurrants, plum, baking spices, and chocolate. Think of classic pairings like prime rib and beef tenderloin as well as pairings like aged sharp cheddar, grilled vegetables, and blue cheese. 9. Santa Rita Cabernet Sauvignon The Santa Rita Medalla Real is a Cabernet Sauvignon from Maipo Valley, Chile. For those feeling adventurous wanting to try something new or for those who don’t prefer a Napa Valley style, this wine shows a slightly different side to Cabernet. Full bodied wine with notes of blueberries, blackberries, figs, and soft spices. 10. La Crema Pinot Noir With a profile of cranberry, raspberry, mushrooms, and spice, the La Crema Sonoma Coast Pinot Noir has all the aromas of the holidays. It is versatile, many people love it, and it pairs well with roasted turkey, grilled salmon, and roasted pork. 11. Sonoma-Cutrer Chardonnay Sonoma-Cutrer is a Sonoma Coast Chardonnay with notes of peach, nectarine, vanilla, and hazelnut. Like its Burgundy counterpart this wine pairs well with fish, appetizers, creamy dishes, and sugar cookies. Chardonnay is a grape that adapts to its environment creating a variety of profiles depending on where it is grown and winemaking techniques used like barrel aging. You can expect fresher and more tropical fruit notes and more intense spice notes in this California version. 12. Chandon Brut Chandon Blanc de Pinot Noir is a sparkling wine from California. It is associated with its parent house Moet & Chandon. This wine provides excellent quality without the prices of most Champagne. It is made in the exact same method and uses the same grape varieties. This is a great wine to celebrate the New Year whether with food or a toast! Make the Most of Your Holiday Celebrations A few things to keep in mind to help ensure a great and smooth experience. 1. Variety is key. It is always wise to have a variety of wines so that there is an option for everyone. 2. Chill out and breathe. In the hustle of preparation, opening and chilling your wines may not be your top priority. I recommend placing white and sparkling wines in the fridge before cooking, wrapping, or cleaning. That way you know they are chilled and ready for serving. Same for the reds, open them up first and let them breathe in the bottle until you are ready to serve them. This will help them open up and become more characterful. I hope you enjoy whichever wines you decide as this is the most important part of the pairing and experience. Happy Holidays! Interested in learning more about wine? Verve Imports’ Wine Academy offers online courses to improve your wine knowledge and make wine more approachable. In Wine 101: The Foundations, you will: Gain the confidence to read a wine label and select a wine from a shelf or wine list, Learn how each grape is different, and How to write your own tasting notes. During this course you will be able to work at your own pace while also having the option to attend live webinars and purchase a wine tasting kit that will be delivered to your home. Final thought. Are you comfortable with your progress towards retirement? If you have a net worth over $2 million and need help from a wealth manager, the Peak Wealth Planning team can assist you. Peak Wealth Planning specializes in helping high-net worth individuals and families plan for the future. - - - - - - - - - - - - - - - About the Author Layne Shottenkirk cultivated her love of wine into a thirst for knowledge while living in Florence, Italy. That passion led her to pursuing a career in the wine industry and advancing her wine education. In 2018, Layne founded Verve Imports, a wine import company focusing on introducing the Midwest to sustainably produced boutique wines from Italy and Spain. - - - - - - - - - - - - - - - About Peak Wealth Planning Peak Wealth Planning provides concierge services to meet your wealth management needs. Services include: financial planning, investment management, ESOP diversification, retirement income, insurance, and estate planning advice. Peak Wealth Planning is afee-based financial advisor based in Champaign, Illinois, and Fraser, Colorado.

Air travel is stressful. While some stress may be unavoidable, like the long lines at security, other sources of stress, such as dealing with luggage check-in and baggage claim, can be minimized. If you think checking in luggage for your two-week vacation is inescapable, think again. Here are some ideas to help you get by with just a carry-on and by-pass the hassles (and fees) of checking your luggage. There are several strategies that may help you survive your next getaway with only carry-on luggage. Tip 1: Start with a Small Bag People tend to fill up the space allowed them. The bigger your suitcase, the more you will put into it. So get started by selecting a bag that will meet the carry-on criteria. Carry-on criteria depends on the airline you are traveling with. Below are the top domestic airlines with links to their carry-on requirements. American Airlines Southwest Airlines Delta Airlines United Airlines Alaska Airlines JetBlue Airways Spirit Frontier Hawaiian Airlines Tip 2: Use a Packing List A packing list will keep you in check and help you avoid the struggle of packing clothes “just in case”. Once you have made your list, lay down all the items on a flat surface like your floor or bed and rethink everything you have selected so far. Ask yourself the question “why do I need this item?”. If any of the answers start with “what if..”or “it might be useful for..”, you might not really need to bring it with you. Of course this is easier said than done, but avoid adding unnecessary items to your pack. Pro tip: After your trip, take an inventory of what you used and what you didn’t. Then create a packing list for future trips. Tip 3: Choose Practical and Versatile Clothes Remember the importance of “mix and matching”. Pack clothes that are versatile enough to wear for any occasion. Being able to mix and match pieces will help you to have a variety of outfits with fewer clothes. If you need to reuse individual articles, select fast-dry apparel. Protip: When traveling in the winter months, look for merino wool clothes. They are compact, light, and very easy to layer. These clothes will keep you warm in cold weather and won’t smell, making them super practical when traveling. The brand we recommend the most is Smartwool: although pricier, it really lasts a lifetime if well taken care of. Tip 4: Don’t Overpack Shoes Shoes take up a lot of room, so travel with 2 pairs of shoes each, maximum 3. Most travel requires a lot of walking. Consider the needs of your destination and what activities you plan to do. What works for us the best is to always bring a comfortable pair of sneakers (usually that’s the pair we will use on the flight), and sometimes a nice pair of shoes for special occasions. For beach destinations we would opt to bring a pair of sneakers and flip flops. In this case, sandals could be a good third pair if necessary. For winter destinations we would normally swap the sneakers for a pair of boots, and generally that would be enough. Tip 5: Don’t Bring What You Can Buy If you can buy items at your destination (e.g., shampoo and suntan lotion), then don’t take up valuable space with these items. Finally, consider not just what you pack, but how you pack it. Use space efficiently by rolling your clothes and using your shoes’ foot space for packing smaller items. Tip 6: Do Laundry at your Destination If you are planning a longer trip, consider doing your laundry in a laundromat or select an airbnb rental that has laundry onsite. By doing this you’ll avoid having to pack too many clothes, and you don’t even need to worry about bringing your own detergent with you! Our goal when planning longer trips is to pack enough for 7 days. We then schedule a morning or afternoon to do our laundry and reuse the same items again. Pro tip: Find a local laundromat that offers wash and fold services. Leave your clothes with them while you are out sightseeing for the day. In some locales, this can be surprisingly cost effective and makes you feel truly pampered. Final thought. Looking for other ways to breeze through security lines, save time and frustration? Joining a program like TSA PreCheck or Global Entry will make the airport experience more efficient and stress-free. Are you comfortable with your progress towards retirement? How about helping future generations meet their financial goals? If you have a net worth over $3 million and need help from a wealth manager, the Peak Wealth Planning team can assist you. Peak Wealth Planning specializes in helping high-net worth individuals and families plan for the future. - - - - - - - - - - - - - - - About the Author Peter Newman is a Chartered Financial Advisor (CFA) and president of Peak Wealth Planning. He works with individuals nationwide that have accumulated wealth through company stock, ESOP shares, real estate, or running a business. Peter applies his unique background to help clients achieve their specific goals and enjoy peace of mind. Peak Wealth Planning provides concierge services to meet your wealth management needs. Services include: financial planning, investment management, esop diversification, retirement income, insurance, and estate planning advice. Peak Wealth Planning is a fee-based financial advisor based in Champaign, Illinois, and Fraser, Colorado.

One of our favorite places to hike in Colorado is Cascade Creek Trail and Arapaho Pass Trail which encircle Monarch Lake in the Araphao National Recreation Area. This trail can be hiked in the summer or snow shoed in the winter time. There is mounting evidence from dozens of researchers that nature has benefits for both physical and psychological human well being. From a stroll through a local park to a day hiking in the wilderness, exposure to nature has been linked to lower stress, improved attention, better mood, and reduced risk of psychiatric disorders. And what better place to take in nature than in one of over 400 national parks found within the United States? Since its inception in 1916, the National Park Services have preserved the natural landscapes of our great nation, making it possible for generations of families, couples, and retirees to explore these stunning landscapes, marvel at the diverse wildlife, and discover the physical benefits of the great outdoors. But recent research suggests that the mental benefits could be even more important. The Cortisol Connection Have you ever had a stressful day? One that left you tired and irritable? Those feelings are most likely caused by the stress hormone, cortisol. Cortisol serves an essential purpose in the human body of helping to regulate your mood, motivation, and fear. However, when someone experiences sustained stress, their elevated levels of cortisol may greatly increase their risk of heart disease, depression, and even negatively impact their memory. Luckily, multiple studies show that connecting with nature for at least 20 minutes each day may be correlated to significantly lower cortisol levels. But the benefits don't stop after 20 minutes. In fact, longer durations spent in a natural environment may further enhance feelings of peace and wellbeing as well as increased mental performance. Your Favorite Annual Access Pass The American National Park system is considered by some to be one of the healthiest and financially smart ways to vacation. After all, purchasing an annual pass to the National Park gives you access to 423 sites. Annual Pass - $80 Lifetime Senior Pass - $80 Annual Senior Pass - $20 Lifetime Miliary Pass - Free Annual Volunteer Pass - Free for any volunteers that have logged 250 hours of service to the parks You can purchase your pass in person at any national park. You can also buy it online through the USGS store or from REI Co-op. The Recreation.Gov app will help you plan your next adventure, including applying for lotteries, booksing tours, and saving reservation details. A Prescription for Nature Even though locations like Yellowstone, Yosemite, Mt. Zion, and Bryce Canyon are the most-popular destinations for travelers, there is benefit in visiting smaller parks and nature preserves as well. For those who haven't hiked or camped much, these local areas can be a great way to get started. Even those with more than a few years of national park experience stand to benefit, both physically and mentally, from visiting one of their local wildlife areas. So, before you pack your bags and load up the camper, do yourself a favor and look into what your home state offers. You may discover that one of the best ways to stay happy, healthy, and sharp is closer than you think. Final thought. Jerome and I have made it a priority to spend as much time as reasonably possible outdoors in Colorado. This required years of saving and planning. One of our favorite places to hike in Colorado is Cascade Creek Trail and Arapaho Pass Trail which encircle Monarch Lake in the Araphao National Recreation Area. This trail can be hiked in the summer or snowshoed in the winter time. If you visit the western slopes of Colorado and would like to try this hike, Jerome and I would be pleased to be your guides for the day. Are you interested in being closer to your favorite National Park or Recreation Area? Consider aligning your living situation or your travel plans more closely with your financial resources. How we spend our money and time is a reflection of our values and priorities. If you have a net worth over $2 million and need help from a wealth manager, the Peak Wealth Planning team can assist you. Peak Wealth Planning specializes in helping high-net worth individuals and families plan for the future. - - - - - - - - - - - - - - - About the Author Peter Newman is a Chartered Financial Advisor (CFA) and president of Peak Wealth Planning. He works with individuals nationwide that have accumulated wealth through company stock, ESOP shares, real estate, or running a business. Peter applies his unique background to help clients achieve their specific goals and enjoy peace of mind. Peak Wealth Planning provides concierge services to meet your wealth management needs. Services include: financial planning, investment management, esop diversification, retirement income, insurance, and estate planning advice. Peak Wealth Planning is a fee-based financial advisor based in Champaign, Illinois, and Fraser, Colorado.

“Travel is the only thing you buy that makes you richer.” – Unknown If travel for you is less about escaping life and more about living it, then consider these vacation ideas. When Jerome and I travel, we enjoy lots of nature adventures and outdoor activities. Below you will find ideas for consideration. Road Trip the East Coast of Australia There may be no better way to experience the amazing continent of Australia than by driving along its east coast, which stretches from Melbourne in the south to Cairns to the north. This 2,500-mile drive carries you through rainforests, cities, mountains, and the outback, with the blue waters of the Pacific as a constant companion. Be sure to carve out time for the Great Barrier Reef, snorkeling, kayaking, and hiking along the way. Need more reasons to visit Australia? Check out this article on 10 Reasons to Visit. Need help planning your trip? Try Kimkim, which will connect you with a travel specialist to help plan your trip and make the most of your visit to the Land Down Under. Also, head to the app store! The NSW National Parks app has tons of information on exploring Australia’s greatest national parks. If you plan to camp, you may want to try the WikiCamps Australia app. It is considered the ultimate camping companion (with over 40,000 site listings) that works offline. Lastly, this is a fun resource for those wanting to “speak like a local”. Cruise the Northwest Passage: A Voyage from Greenland to Alaska For hundreds of years explorers tried, and failed, to find the fabled Northwest Passage. European explorers sought a navigable passage to Asia, but were blocked by ice or rough waters. Now, travelers can discover what eluded so many brave adventurers. Your journey on the Northwest Passage will begin in Greenland, sailing past its fjords and you’re on your way towards an adventure you’ll never forget. As you penetrate deep into the Arctic, you’ll scrape against icebergs and marvel at the harshness and sublime beauty at the top of the world. But, it’s not just ice. You’ll see the remains of explorations that came before you and the polar bears that call this home. Learn more about the Northwest Passage’s history and take a look at what this experience may include. Pilgrimage through Camino de Santiago Sometimes adventure is a journey to discover ourselves. The Camino de Santiago is a medieval pilgrimage through France, Spain, and Portugal to the Cathedral of Santiago de Compostela in northwest Spain. Stretching 500 miles over hilly terrain, this northern trek typically takes 35 days for the seasoned hiker, but may take several months depending on how you space your pilgrimage with rest days. It’s a mystical experience that gives you time to reflect on life, learn about yourself, and connect with kindred spirits. The trail is marked with scallop shells and yellow arrows, with scallop shells being the top momento for many adventurers. For those beginning this pilgrimage, picking up a Pilgrim’s Passport will be a wonderful way to collect stamps from the different stages of your journey. REI provides great advice on how to hike the Camino de Santiago. Learn more on Uncommon Path – An REI Co-op Publication. Luxury Safari in Botswana, Africa One of the most sparsely populated nations on earth, Botswana is dominated by the Kalahari Desert and the Okavango Delta, the world’s largest inland delta and now a UNESCO World Heritage site. The Okavango is the ideal spot to safari as its waters attract a richness of wildlife that is unmatched on the continent. The country’s focus on minimizing human impact means that your African experience will be both primal and transcendent. The best time to visit Botswana is during the dry season between May and October, when you can expect warm, sunny days (71.6°F to 95°C) and chilly nights. This is also when the water levels in the Okavango Delta are at their highest, creating the waterways and channels Botswana is famed for. Prepare for this adventure with National Geographic, Signature Safari, and World Expeditions. Final thought. Your interests will ultimately dictate your travel bucket list. For major excursions it’s a good idea to plan well ahead of time to balance your personal, financial and professional considerations. If you have financial questions about fulfilling your bucket list, speak with your financial advisor. Are you comfortable with your progress towards retirement? How about helping future generations meet their financial goals? If you have more than $2 million saved and need help from a wealth manager, the Peak Wealth Planning team can assist. Peak Wealth Planning specializes in helping high-net worth individuals and families plan for the future. - - - - - - - - - - - - - - - About the Author Peter Newman is a Chartered Financial Advisor (CFA) and president of Peak Wealth Planning. He works with individuals nationwide that have accumulated wealth through company stock, ESOP shares, real estate, or running a business. Peter applies his unique background to help clients achieve their specific goals and enjoy peace of mind. Peak Wealth Planning provides concierge services to meet your wealth management needs. Services include: financial planning, investment management, esop diversification, retirement income, insurance, and estate planning advice. Peak Wealth Planning is a fee-based financial advisor based in Champaign, Illinois, and Fraser, Colorado.

People commonly ask how much income can they generate from their assets. And as an employee-owner your ESOP plan could make up a large segment of your resources come retirement. When you enter retirement you will no longer have a standard paycheck to depend on. You’ll need to create income from your investments plus social security, annuities, and a pension if you are lucky to have one. Retirement income is money you withdraw monthly from your investments, or nest egg, over the next several decades to fund your lifestyle. Retirement income is money you withdraw monthly from your investments, or nest egg, over the next several decades to fund your lifestyle. This lifestyle requires a balance between paying for the needs of today with funding your goals for the future. If you do not achieve this balance, you risk outliving your money. One of the simplest ways to strike this balance is to set your annual retirement income based on the 4% rule. This strategy allows you to draw 4% of your investments annually while the rest of your investments continue to compound. It's relatively simple to estimate. Begin by adding up all of your investments. Then, identify 4% of this amount. This is what you can use to fund the first year of retirement. In subsequent years, if your investments are doing well, you might increase the dollar amount you withdraw to account for inflation. If your investments perform poorly, you might reduce your withdrawals for a period of time lowering your withdrawal rate from 4% to perhaps 3% until markets recover. By following this formula, you should have a reasonable chance of not outliving your money during a 30-year retirement. The 4% withdrawal rate is not guaranteed to prevent you from running out of money, it is a guideline, and investments may lose value. An Example of the 4% Rule Here is an example of the amount of retirement income an ESOP, 401k and IRA could generate with the breakdown of income from each source. The 4% rule is one guideline for retirement spending. This means a properly managed investment could generate 4% of its value for many years. The 4% withdrawal rate is not guaranteed to prevent you from running out of money, it is a guideline, and investments may lose value. $400k IRA could generate $16,000 a year $400k 401k could generate $16,000 a year $3.2 million ESOP could generate $128,000 Most individuals want to replace their annual income in retirement. The 4% rule will help you find the right nest egg amount to begin your retirement. As illustrated above, if your investment portfolio includes $4 million, it could produce roughly $160,000 a year before tax. If your goal is to have $80k annually at retirement, then you’ll need to have at least $2 million in your portfolio. Risk The 4% Rule is a guideline that may or may not be appropriate for your unique situation. Using 4% as a withdrawal rate, if investments perform poorly, you could run out of money during retirement. Some folks purchase annuities or rely on social security as guaranteed income sources to complement withdrawals from their investment portfolio. Your withdrawal rate may vary based on your financial plan, accumulated wealth, and capacity for investment risk. The portfolio your financial advisor creates for you will impact your withdrawal rate. If your projected withdrawal rate does not meet your desired annual retirement income, you may be wondering what you could do to increase it. Several options include. Increase contributions to your 401k or IRA while you are still working Delay retirement to build a larger nest egg Delay taking social security to receive a higher payout Fund an annuity as one component of your retirement income plan Work with your financial advisor to change your investment portfolio Consider reducing your retirement budget by paying off your mortgage Downsize your home to reduce your retirement budget Diversification As A Strategy How your investment portfolios are managed is important for the security of your retirement income. The above example estimates a conservative 6% annual return. Your own investments may generate less or more, which would impact how long your investments will last with a 4% annual withdrawal rate. Diversification is an important strategy to keep your investments strong. This diversification comes in the form of where your money is invested as well as creating a cash reserve to smooth out market fluctuations. Other Sources of Retirement Income Your investment accounts may not be your only source of retirement income. You may have retirement income from the sources listed below. Sources of retirement income: Social Security A spouse or partner’s pension Real Estate income An annuity Inheritance Work with your financial advisor to identify and plan for multiple sources of retirement income. If there is a challenge with one source, another could help support your retirement budget. Final thought. Are you comfortable with your progress towards retirement? How about helping future generations meet their financial goals? If you have a net worth over $2 million and need help from a wealth manager, the Peak Wealth Planning team can assist you. Peak Wealth Planning specializes in helping high-net worth individuals and families plan for the future. - - - - - - - - - - - - - - - About the Author Peter Newman is a Chartered Financial Advisor (CFA) and president of Peak Wealth Planning. He works with individuals nationwide that have accumulated wealth through company stock, ESOP shares, real estate, or running a business. Peter applies his unique background to help clients achieve their specific goals and enjoy peace of mind. Peak Wealth Planning provides concierge services to meet your wealth management needs. Services include: financial planning, investment management, esop diversification, retirement income, insurance, and estate planning advice. Peak Wealth Planning is a fee-based financial advisor based in Champaign, Illinois, and Fraser, Colorado.

Think like a business owner because you are an employee owner. Your ESOP shares are held for your future benefit and the benefit of your coworkers. As you are working at your employee owned company, the value of your company stock is determined each year by an independent appraisal of the valuation of the company. This affects the value of your shares and your personal wealth. A key measure of company value is dependent on company performance or profits. This is where being an Employee Owner can have an impact on the value of the company. In simple terms profit is equal to revenue minus expenses. As an employee owner you can contribute to growing profits or reducing expenses depending on your role in the organization. profit = revenue - expenses Look for ways to increase revenue. The best and fastest way to increase your revenue is to focus on your customers. As an employee owner, if you are customer facing, you can grow sales by doing more customer visits and explaining the benefits of your products and services. By educating your customers on the “perceived value” of your product, your customers will desire your products/services even more. Finding new ways to solve customer problems can grow sales as well. And, providing good customer service can help retain customers who may be looking for a better deal. If you do not interact with customers directly, there are many steps you can take to improve company profitability and employee productivity. 1. Put value in employee education. Maximize your employees' skills by assessing the current usage of your employee's experience and skills. Then, provide opportunities and incentive for professional development. Employees utilizing their talents will be more effective and efficient, which will in turn increase productivity and save time. This will have a significant boost to the bottom line as well as a boost to employee morale. 2. Recruit talent. If you work in human resources, you may recruit a talented salesperson to grow the customer base of the company. Or, you may find a way to reduce costs of the company health insurance by creating an employee wellness program. 3. Take time to develop your brand story. Clients are more likely to work with a business they recognize. Develop your brand’s story and show what goes on behind the scenes. Take the time to form a solid relationship with your clients. Publicize your company on social media to educate customers and employees about your products and services. 4. Get the most out of your real estate. Analyze the current use of your physical space. Identify overflowing storage, too many supplies, piles of paper files, inefficient furniture and equipment placement. Centralize or consolidate the space necessary for production. Look for opportunities to lease unused space. Or, negotiate a rent reduction with your landlord. Look for ways to cut expenses. Eliminating excess costs is equivalent to earning revenue. By minimizing costs through increasing efficiency or reducing waste to the bottom line, the value of the company should increase. 1. Keep goals clear and focused. You cannot expect employees to be efficient if they don’t have a coherent goal to aim for. By having a clearly defined and achievable goal, employees will be more productive. Look for strategies to create goals within your department and share with your department head what is working for you. Your company may find your contributions making positive waves throughout its culture. 2. Recognize time is money. Efficiency with how you use your time on company hours can directly impact the value of the company. If you were able to trim two hours a month on the production of a report, that’s 24 hours saved every year. Automation, using the correct tools for the job, templates, and other time-saving tools will help increase efficiency while saving on the bottom line. 3. Reduce turnover. While recruiting talent increases revenue, reducing employee turnover decreases the bottom line. Hiring and training a new employee takes time and it impacts workflow. The best way to keep your best workers is to identify what is causing them to leave. Then, create a strategy to repair those pain points. 4. Reduce waste. The most effective way to reduce your company’s waste is to generate less in the first place. Waste prevention offers the greatest environmental benefits and cost savings. Depending on your department, your waste-saving efforts may look different. Here are a handful of ideas: Group shipments to customers to cut costs. Maintain computers to lengthen technology life while optimizing efficiency. Shop around and compare prices. Then ask your current supplier to match the most competitive rates. Go paperless wherever possible. Having an efficient digital organization process in place for internal document sharing will reduce paper waste and make it more efficient to find the information needed quickly. Modernize your advertising and marketing efforts by increasing social media use and reducing traditional marketing. Capture leads on platforms like Instagram, Facebook, Twitter, or YouTube. Use virtual meeting technology to reduce costs. This can minimize travel expenses (and time), eliminate the need for physical space, and reduce the amount of office essentials such as ink, printer paper, and postage required to run your company. Work together to build wealth. Active participation as an employee owner not only helps your company to grow and succeed. This brings value to your customer. And this, in turn, should add value to your company stock. And by adding value to your company stock you will grow your wealth and the wealth of your fellow employee owners. Final thought. Are you comfortable with your progress towards retirement? How about helping future generations meet their financial goals? If you have a net worth over $2 million and need help from a wealth manager, the Peak Wealth Planning team can assist you. Peak Wealth Planning specializes in helping high-net worth individuals and families plan for the future. - - - - - - - - - - - - - - - About the Author Peter Newman is a Chartered Financial Advisor (CFA) and president of Peak Wealth Planning. He works with individuals nationwide that have accumulated wealth through company stock, ESOP shares, real estate, or running a business. Peter applies his unique background to help clients achieve their specific goals and enjoy peace of mind. Peak Wealth Planning provides concierge services to meet your wealth management needs. Services include: financial planning, investment management, esop diversification, retirement income, insurance, and estate planning advice. Peak Wealth Planning is a fee-based financial advisor based in Champaign, Illinois, and Fraser, Colorado.

As an employee owner, you have a handy wild card in your retirement planning portfolio – your ESOP. This nest egg has been your incentive to help the company grow and become the success it is today while promising you a slice of the pie at retirement. Your employee owned stock is concentrated on the success of one company. As you near retirement, it is important to reduce the risk in your accounts. This is where diversification comes into the picture. The Risk of Concentrated Stock As a single concentrated stock, the value of your company stock can fluctuate wildly. And fluctuation is something that can be very good or very bad. These swings in value cannot be timed to align with your retirement. I’ve seen many individuals retire from employee owned companies with great success, but at the same time – before the IRS required ESOP plans to allow employees to diversify a portion of their stock – I think of Kodak. Kodak was a giant, the 5th most valuable brand in the world. And, it was an employee owned company that declared bankruptcy in 2012. Imagine the struggle those employee-owners faced losing their retirement stock and their jobs at the same time. No matter how well your company stock is doing, it should not be your only retirement savings. Be sure to have a comprehensive financial plan that includes multiple sources of retirement income. A little preparation – in the form of an Individual Retirement Account plus regular 401k contributions of at least 10% of your salary each year – now could save a lot of heartache later. Reduce your investing risk by including a portfolio of diversified stock, bonds, and real estate mutual funds in your retirement nest egg. Your Diversification Opportunity If you are close to retirement, you may be wondering what to do with your ESOP. During your tenure, your company has been rewarding you with shares annually. At the beginning, your ESOP balance looked small. But it grew. And now you are on the cusp of your diversification opportunity. ESOP companies offer diversification at age 55 and 60 before your retirement. This means you can sell 25% of your stock back to the company and receive cash. You can spend that cash or roll it over to your retirement account. The retirement account could be a 401k or an Individual Retirement Account (IRA). If you spend the cash, you will owe taxes. To avoid IRS penalties and maximize compounding value to your retirement, diversify ESOP stock with your IRA account at age 55. When you invest the cash from your ESOP stock in your retirement account, consider purchasing a diversified portfolio of stocks, bonds, and real estate funds. <> Grow Your Retirement Nest Egg The graph below illustrates what could happen if you have $1,000,000 in your ESOP when you are 55 years old with at least 10 years of ESOP participation. It demonstrates a participant who sold shares back to the company at every opportunity and moved the cash into a tax deferred IRA between ages 55 and 68. Your company’s schedule may vary from the one shown below. Ask your human resources person or consult your plan document. The ESOP participant was able to grow his ESOP balance from $1,000,000 to nearly $2.5 million. He took diversification at 55 and 60. Then, upon retiring at age 64, he took distributions of the remaining balance across 5 years. At each of these points, the cash was moved into an IRA. During these 14 years, the company share price continued to increase by a few percent each year and the IRA returns increased by 6%. These are assumptions, not guaranteed, and your personal company stock and IRA account will vary. How much income? In our example above, a $2.5 million IRA nest egg could generate an estimated $75,000 to $100,000 in annual income before tax. This will depend on the mutual funds you invest in with your financial advisor and your chosen withdrawal rate. If you purchase an annuity you may be able to enjoy even higher income. Defer paying taxes today. By moving your ESOP cash into an IRA, you will not be taxed on it until you begin to take withdrawals. This means your nest egg will continue to grow tax deferred. So monies that would have been directed to Uncle Sam stay in your investment account for additional years and earn compounding interest. The longer it is there, the more it should grow. Forecast your income. Forecasting how large your investment accounts could be at retirement helps you to understand if you are on track to meeting your income needs at retirement. Your goals may include traveling, spending more time with family, helping your children or grandchildren with an important milestone like college or a wedding, or creating a legacy within your estate plan. Whatever your goals, forecasting today can help you make adjustments to improve your chances of success. Final thought. Are you comfortable with your progress towards retirement? How about helping future generations meet their financial goals? If you have a net worth over $2 million and need help from a wealth manager, the Peak Wealth Planning team can assist you. Peak Wealth Planning specializes in helping high-net worth individuals and families plan for the future. Peak Wealth Planning meets with clients in Champaign and Chicago, Illinois, as well as in Colorado near Denver, Winter Park, and Fraser. - - - - - - - - - - - - - - - About the Author Peter Newman is a Chartered Financial Advisor (CFA) and president of Peak Wealth Planning. He works with individuals nationwide that have accumulated wealth through company stock, ESOP shares, real estate, or running a business. Peter applies his unique background to help clients achieve their specific goals and enjoy peace of mind. Peak Wealth Planning provides concierge services to meet your wealth management needs. Services include: financial planning, investment management, esop diversification, retirement income, insurance, and estate planning advice. Peak Wealth Planning is a fee-based financial advisor based in Champaign, Illinois, and Fraser, Colorado.

With stock markets down in recent months, many Americans are talking about retirement. It is good to focus on what you can control and that includes how much you are saving each paycheck and where you invest your money. When you visualize retirement, what is your greatest fear, or obstacle you dread facing? "What is your greatest retirement fear?" If you ask pre-retirees this question, "outliving my money" may be one of the top answers. In fact, 42% of workers say they fear outliving their savings and investments. One proven strategy to remove the risk of running out of money is to purchase an annuity that guarantees a set monthly amount of income during retirement. Or, you can invest to build a nest egg using stocks, bonds, and mutual funds of sufficient size that your risk of running out of money is almost nonexistent. With the latter strategy, you have the possibility to leave money to your children. Some financial planners combine the use of an annuity with a traditional investment portfolio of stocks and bonds. Retirees face greater "longevity risk" today. The Census Bureau says that Americans retire around age 63 for women and 65 for men. Social Security projects that today's 63-year-olds will live into their mid-eighties, on average. This is average life expectancy, so while some seniors may pass away earlier, others may live past 90 or 100. If your retirement lasts 20, 30, or even 40 years, how well do you think your retirement savings will hold up? What financial steps could you take in your retirement to try and prevent those savings from eroding? One strategy to consider is using a cash bucket. As you think ahead, consider the following possibilities and realities. Create a financial plan to make sure you won’t run out of money. How will Social Security work in the future? For decades, Social Security took in more dollars per year than it paid out. That ongoing surplus – also known as the Social Security Trust Fund – may face funding challenges as early as 2034. Congress may act to address this financing issue before then, but the worry is that future retirees could get slightly less back from Social Security than they put in. It's critical that pre-retirees estimate the amount of Social Security benefits they are expected to generate in the future. And, stress test your financial plan to see what it looks like if Social Security is cut. It's critical that pre-retirees estimate the amount of Social Security benefits they are expected to generate in the future. And, stress test your financial plan to see what it looks like if Social Security is cut. Preparing for out-of-pocket health care costs. You can enroll in Medicare at age 65, but how do you handle the premiums for private health insurance if you retire before then? Striving to work until you are eligible for Medicare makes economic sense and so does setting aside money to pay for health care costs. A healthy couple retiring at age 65 can expect to pay nearly $208,000 in lifetime out-of-pocket healthcare expenses, even if they have additional coverage such as Medicare Part D, Medigap, and dental insurance. Luck is not a plan, and hope is not a strategy. Those who are retiring unaware of these factors may risk outliving their money. Whether you have $2 million saved or $10 million saved, creating a plan with your financial advisor could help you avoid running out of money during retirement. Final thought. Are you comfortable with your progress towards retirement? How about helping future generations meet their financial goals? Peak Wealth Planning meets with clients in Champaign and Chicago, Illinois, as well as in Colorado near Denver, Winter Park, and Fraser. If you have a net worth over $2 million and need help from a wealth manager, the Peak Wealth Planning team can assist you. Peak Wealth Planning specializes in helping high-net worth individuals and families plan for the future. - - - - - - - - - - - - - - - About the Author Peter Newman is a Chartered Financial Advisor (CFA) and president of Peak Wealth Planning. He works with individuals nationwide that have accumulated wealth through company stock, ESOP shares, real estate, or running a business. Peter applies his unique background to help clients achieve their specific goals and enjoy peace of mind. Peak Wealth Planning provides concierge services to meet your wealth management needs. Services include: financial planning, investment management, esop diversification, retirement income, insurance, and estate planning advice. Peak Wealth Planning is a fee-based financial advisor based in Champaign, Illinois, and Fraser, Colorado.

With nearly 4 billion people on social media worldwide, plus the risks of using online brokerage and bank accounts, the need for digital security has never been higher. While technology is becoming more secure in response to threats, there are some habits you can adopt to safeguard your digital life. 1. Evaluate your current security practices. Awareness is key when it comes to digital security. If you don’t stay informed and educated about the risks of cybercrime, you’ll never understand what to look for and how to protect yourself. Stop and take a moment to evaluate your current security measures. Are you using unique passwords and changing them regularly? Do you use two-factor authorization (2FA) whenever possible? What about a password manager? Do your research and put these measures in place. Best Practice: Automate software updates. Use the built-in privacy protection measures available to you on your mobile device. Don’t leave your passwords out in the open. Use two factor authentication wherever possible. 2. Think before you act. No matter how many measures you’ve put in place, your own personal actions can still put you at risk. Before clicking a link or posting on social media, consider the information you may be accessing or sharing. Links could lead you to installing malware or into a data collection pipeline. A hacker can use minor details to target you or your loved ones. Best Practice: Do not open emails from people you don’t know. Evaluate the email address of the sender, not just the name. Never open unknown attachments from links. Never use untrusted public Wi-Fi networks to conduct banking transactions. Do not post about vacations on social media. Final thought. Digital security isn’t a one-off task. It requires you to stay informed and approach it with the same importance as your home security. Don’t go on auto-pilot. Monitor your online accounts and devices. Make sure to change your passwords periodically, especially if you get an alert about unusual account activity. By staying informed about best practices, you can protect your family from unnecessary risks and gain peace of mind. Are you comfortable with your progress towards retirement? How about helping future generations meet their financial goals? If you have more than $2 million saved and need help from a wealth manager, the Peak Wealth Planning team can assist. Peak Wealth Planning meets with clients in Champaign and Chicago, Illinois, as well as in Colorado near Denver, Winter Park, and Fraser. Peak Wealth Planning specializes in helping high-net worth individuals and families plan for the future. - - - - - - - - - - - - - - - About the Author Peter Newman is a Chartered Financial Advisor (CFA) and president of Peak Wealth Planning. He works with individuals nationwide that have accumulated wealth through company stock, ESOP shares, real estate, or running a business. Peter applies his unique background to help clients achieve their specific goals and enjoy peace of mind. Peak Wealth Planning provides concierge services to meet your wealth management needs. Services include: financial planning, investment management, esop diversification, retirement income, insurance, and estate planning advice. Peak Wealth Planning is a fee-based financial advisor based in Champaign, Illinois, and Fraser, Colorado.

Nobody likes talking about death. But this is exactly why you should make an effort to create and maintain an estate plan: you simply won’t be there to settle matters when the time comes. An estate plan puts into place the decisions you would make in the event you cannot make them. An estate plan puts into place the decisions you would make in the event you cannot make them. It directs how your assets will be preserved, managed, and distributed after death. And, it takes into account the management of your properties and financial obligations in the event you become incapacitated while still living. Check to see if your estate strategy needs any adjustment. Begin by answering these 9 important questions. 1. Do you have a last will and testament? A will, short for last will and testament, is a legal document that specifies who is to inherit your assets. It also enables you to name your executor or “personal representative”. Your will provides direction for the person next in line to manage your affairs. This legal document puts you in control of who inherits your property and who would take care of your children if it were ever necessary. Without a will, state law determines these issues. Having a will in place can make the difference between a smooth estate process and a probate nightmare for your loved ones. Pro-tip: At Peak Wealth Planning, we recommend reviewing your will whenever you experience a major life event or every 4-5 years even if you don't think anything is different. This helps ensure your family stays protected and your final wishes are respected. 2. Do you have healthcare documents in place? An advance healthcare directive (living will) is a legal document that spells out your wishes for health care and it allows you to select a person to make treatment decisions on your behalf. This is an important estate planning tool because it allows you to preemptively make decisions for a “future you” that cannot. It protects your loved ones from the pain and uncertainty of having to guess what treatment you would want. 3. Do you have financial documents in place? Certain documents can outline your financial wishes. If you become unable to make decisions for yourself, these financial documents can be structured to empower a person to make decisions on your behalf. These documents may include joint ownership, a durable power of attorney, and living trust. Pro-tip: Learn about the differences between a joint ownership, durable power of attorney, and living trust. That way you can have an informed discussion with your financial advisor or attorney. 4. Have you filed beneficiary forms? When you purchase life insurance or open a retirement plan, you’re asked to name a beneficiary. The beneficiary is the person you want to inherit the proceeds of the account when you die. These designations are powerful. It is imperative you understand they take precedence over instructions in a will. Take steps now to locate any accounts –– from 401k accounts at past employers to IRAs or 401ks you contribute to regularly –– and confirm the beneficiary is up-to-date. 5. Do you have the right amount and type of life insurance? When was the last time you assessed your life insurance coverage? Have you compared the life insurance benefit with your financial obligations? Keep in mind that several factors will affect the cost and availability of life insurance, including age, health, and the type and amount of insurance purchased. Life insurance policies have expenses, including mortality and other charges. If a whole life insurance policy with cash value is surrendered prematurely, the policyholder may pay surrender charges and have income tax implications. Speak to your insurance broker to find out whether you are insurable before counting on a strategy involving life insurance. Your financial advisor can help you assess the right type of insurance for your needs. 6. Have you taken steps to manage your federal estate tax? If you and your spouse have more than $24.12 million in assets (for 2022), you may want to consider taking steps to manage federal estate taxes, which will be due at the second spouse's death. 7. Have you taken steps to protect your business? Do you have a succession plan? You should have a plan to take care of your customers if something happens to you. Do you have business loans using personal assets as collateral? If so, you should consider life insurance to cover these debts. If you own a business with others, you may also want to consider a buyout agreement. 8. Have you created a letter of instruction? A letter of instruction is a non-legal document that outlines your wishes including guidelines for distributing your personal effects, your burial or cremation, and how you may want to be remembered whether through a religious, military, or family event. A clearly written letter will save your heirs time, effort, and expense as they administer your estate. 9. Will your heirs be able to locate your critical documents? Make certain your family knows where to find everything you’ve prepared. Make a list of documents, including where each is stored. These documents may include: Your last will and testament Trust documents Life insurance policies Annuities Pension or retirement accounts Bank accounts Divorce records Birth and adoption certificates Real estate deeds Stocks, bonds and mutual funds Information on any debts you have: credit cards, mortgages and loans Another item helpful for your heirs is a list of bills and accounts, including contact information and account numbers for each, so your representative can settle and close these accounts. Final thought. I recommend that you speak with a qualified financial professional—one with experience in estate planning. They can refer you to a good estate planning attorney and a qualified tax professional, and from there assist you in drafting your legal documents. When was the last time you reviewed your estate strategy? Are you comfortable with the current state of your estate planning? Do you need professional guidance to achieve your goals for the future? If you have more than $2 million saved and need help from a wealth manager, the Peak Wealth Planning team can assist. Peak Wealth Planning specializes in helping high-net worth individuals and families plan for the future. You can meet with the Peak Wealth Planning team remotely, plus in Champaign and Chicago, Illinois, as well as in Colorado near Denver, Winter Park, and Fraser. - - - - - - - - - - - - - - - About the Author Peter Newman is a Chartered Financial Advisor (CFA) and president of Peak Wealth Planning. He works with individuals nationwide that have accumulated wealth through company stock, ESOP shares, real estate, or running a business. Peter applies his unique background to help clients achieve their specific goals and enjoy peace of mind. Peak Wealth Planning provides concierge services to meet your wealth management needs. Services include: financial planning, investment management, esop diversification, retirement income, insurance, and estate planning advice. Peak Wealth Planning is a fee-based financial advisor based in Champaign, Illinois, and Fraser, Colorado.

When you picture the chapter of your life in retirement, what do you see? For some, it will be a time to travel and create memories with family. For others, it will be a time to start a new business or begin a charitable endeavor. Whatever you visualize for your retirement, writing it down and formatting a plan is your first step to making it a reality. Begin planning by answering the following 6 questions. 1. What do you absolutely need to accomplish? If you could only get four or five things done in retirement, what would they be? Answering this question might lead you to compile a “short list” of life goals, and while they may have nothing to do with money, the financial decisions you make may be integral to pursuing them. Time is your most valuable asset. 2. What would revitalize you? Some people retire with no particular goals at all. After weeks or months of respite, ambition may return. They start to think about what hobbies, second careers, new business ventures, or adventures they could embark on to make these years special. Others have known for decades what dreams they will follow. And yet, when the time to follow them arrives, those dreams may unfold differently than anticipated and may even be supplanted by new ones. In retirement, time is really your most valuable asset. Do you want to improve your community through volunteering or develop a new hobby like gardening? With more free time and opportunity for reflection, you might find your old dreams giving way to new ones. Pro-Tip: Keep your brain and your body active during retirement. Your health is the most important resource you have to enjoy the time you have in retirement. 3. Who will you share your time with? Here is another profound choice you get to make in retirement. The common answer to this question for many retirees would be “family.” Today, we have nuclear families, blended families, extended families; some people think of their friends or their employees as family. You may decide that a second career to serve the community or a cause you care about is in your future. Or, you may have a nagging itch to start a small business. It’s important to consider how you will balance the risks and rewards of a business during retirement. 4. How much do you anticipate spending? We can’t control all retirement expenses, but we can manage some of them. The thought of downsizing your home may have crossed your mind. One benefit of downsizing is that it can potentially lead to no mortgage or a more manageable mortgage payment. Pro-Tip: Determine your retirement income replacement ratio. You may need anywhere from 55%–80% of your current income annually in retirement. Consider the following 3 questions: How Does My Spending Align With My Priorities? How Long Will My Money Last in Retirement? How Will My Withdrawal Rate Impact My Retirement Paycheck? 5. Could you leave a legacy? Many of us would like to give our kids or grandkids a good start in life, but leaving an inheritance can be trickier than many realize. Tax laws are constantly changing, and the strategies that worked years ago may have more limited benefits today. Keep in mind this article is for informational purposes only and is not a replacement for real-life advice, so make sure to consult your tax or legal professional before modifying any part of your overall estate strategy. Pro-Tip: If you’d like future generations to enjoy a common estate, like the family home or a vacation home – consider having the proceeds from your life insurance policy fund this legacy property. 6. How are you preparing for retirement? This is the most important question of all. If you feel you need to prepare more for the future or reexamine your existing strategy in light of recent changes or unfulfilled passions in your life, conferring with a financial professional experienced in retirement planning may offer some guidance. Evaluate your answers to the following questions: Does your retirement include guaranteed income streams? How much income will your investments generate during retirement? What returns should I anticipate from my investments? Do I have sufficient cash reserves to buffer my transition into retirement? Final thought. Are you comfortable with your progress towards retirement? How about helping future generations meet their financial goals? If you have more than $2 million saved and need help from a wealth manager, the Peak Wealth Planning team can assist. Peak Wealth Planning meets with clients in Champaign and Chicago, Illinois, as well as in Colorado near Denver, Winter Park, and Fraser. Peak Wealth Planning specializes in helping high-net worth individuals and families plan for the future. - - - - - - - - - - - - - - - About the Author Peter Newman is a Chartered Financial Advisor (CFA) and president of Peak Wealth Planning. He works with individuals nationwide that have accumulated wealth through company stock, ESOP shares, real estate, or running a business. Peter applies his unique background to help clients achieve their specific goals and enjoy peace of mind. Peak Wealth Planning provides concierge services to meet your wealth management needs. Services include: financial planning, investment management, esop diversification, retirement income, insurance, and estate planning advice. Peak Wealth Planning is a fee-based financial advisor based in Champaign, Illinois, and Fraser, Colorado.

Roughly 10,000 baby boomers retire daily. If you are within a year or two of retirement you may have concerns about a major downturn in the stock market. Many individuals delay retirement because they don’t fully appreciate stock market risk. There are ways to lower the impact of market risk on your retirement plans. When you shift from working and investing to relying on retirement distributions, the story can change. While you are saving in your 40’s and 50’s it can be easier to ignore the stock market. After all, you still have a steady paycheck and retirement may still be years in the future. When you are six months away from retirement you might be checking your portfolio daily and asking whether you have ‘enough’. It’s easy to fall into this pattern. After all, when most folks retire, they live predominantly off their investment portfolios and social security. There is a risk that the first year or two of retirement withdrawals from your nest egg may coincide with a period of declining stock prices. If you hold stocks for growth in your portfolio, you should work with your advisor to plan for this possibility. Due to Russia’s war with Ukraine, rising energy prices, and inflation concerns, US Stocks as measured by the S&P 500 Index fell 20% during the first 6 months of 2022. Imagine if you were set to retire and your $2 million nest egg dropped $400k to $1.6 million. How would that make you feel? If your portfolio fell 20% would you delay retirement? Prepare for stock meltdowns before you begin retirement. One strategy to reduce the risk of a stock market meltdown derailing your retirement is to use a Cash Bucket Strategy for your portfolio. This means having 3 years of cash or low risk bonds set aside to meet spending needs at the start of retirement. This prevents you from selling stocks during a downturn. In addition to a Cash Bucket, your retirement portfolio should include an Income Bucket and a Long Term Growth Bucket to combat inflation. Possible investments for each bucket are shown below. It’s important to work with your financial advisor and determine how many years you want in your cash and income buckets. This will depend on your fixed sources of income such as social security or an annuity, as well as your comfort with stock market fluctuations in your riskier Income and Long Term Growth buckets. One strategy to reduce the risk of a stock market downturn delaying your retirement is to have 3 years of cash or low risk bonds set aside to meet spending needs in your first few years of retirement. Consider creating an income bucket for years 4 to 9 of your retirement. This might include bonds with medium term maturities, Certificates of Deposit, dividend paying stocks, real estate investment trusts (REITs), and Master Limited Partnerships (MLPs). Your long term growth bucket will provide appreciation and help you overcome inflation. This might include riskier stocks, lower rated bonds, and possibly commodities. The specific investments you choose will depend on your risk tolerance and your financial advisor’s recommendations. If you are mentally ready to retire and have a large enough nest egg to retire, creating a retirement spending strategy that uses Cash, Income, and Growth buckets might be the recipe for you to avoid delaying retirement in the event of another market correction. Final thought. Are you planning to retire within the next few years? Do you need help creating a retirement Cash Bucket? Is your portfolio prepared to support your retirement spending needs? If you have a net worth over $2 million and need help from a wealth manager, the Peak Wealth Planning team can assist you. Peak Wealth Planning specializes in helping high-net worth individuals and families plan for the future. - - - - - - - - - - - - - - - About the Author Peter Newman is a Chartered Financial Advisor (CFA) and president of Peak Wealth Planning. He works with individuals nationwide that have accumulated wealth through company stock, ESOP shares, real estate, or running a business. Peter applies his unique background to help clients achieve their specific goals and enjoy peace of mind. Peak Wealth Planning provides concierge services to meet your wealth management needs. Services include: financial planning, investment management, esop diversification, retirement income, insurance, and estate planning advice. Peak Wealth Planning is a fee-based financial advisor based in Champaign, Illinois, and Fraser, Colorado.

Summer’s here, and the time is right for vacations, outdoor activities, and fun. It is also a great time to consider a few financial matters. Here are some questions to ask yourself mid-year. 1. Are your goals still the same for 2022? Have aging parents, the birth of a child, or a new job caused you to reconsider your priorities? Note any changes since the first of the year that may warrant reviewing your goals. Discuss these with your financial advisor. 2. Is your credit score looking good? Double-check your credit score for any red flags. This can be a good way to catch issues like identity theft early. Consider placing a fraud alert on your credit file. 3. Are your contributions on track? Consider increasing your contributions to any personal or workplace-sponsored retirement plans if it suits your goals. The longer you wait to save, the larger future contributions will be needed to hit your retirement nest egg goal. 4. Does your scheduled spending still make sense? Look at any impacts you've felt due to market volatility, family priorities, or income changes. Do your plans for the rest of the year align with reality? If these tips have you thinking, schedule a meeting with your financial advisor. Final thought. Are you comfortable with your progress towards your goals? If you have a net worth over $2 million and need help from a wealth manager, the Peak Wealth Planning team can assist you. Peak Wealth Planning specializes in helping high-net worth individuals and families plan for the future. - - - - - - - - - - - - - - - About the Author Peter Newman is a Chartered Financial Advisor (CFA) and president of Peak Wealth Planning. He works with individuals nationwide that have accumulated wealth through company stock, ESOP shares, real estate, or running a business. Peter applies his unique background to help clients achieve their specific goals and enjoy peace of mind. Peak Wealth Planning provides concierge services to meet your wealth management needs. Services include: financial planning, investment management, esop diversification, retirement income, insurance, and estate planning advice. Peak Wealth Planning is a fee-based financial advisor based in Champaign, Illinois, and Fraser, Colorado.

Retiring early sounds like a dream come true -- cutting the cord of the 9:00 to 5:00 routine and having all the time in the world to pursue your passions. But before you take the plunge, it’s important to take a good, long look at the facts of early retirement. Retiring early requires enough income to be comfortable. Do you want 70% of your pre-retirement annual income, or does 85% sound better? Many folks find they spend the same amount of money they were earning in the years leading up to retirement. This may be the result of working through a ‘bucket list’ or supporting an elderly parent or struggling child. Consider the following 7 important items to make an early retirement a reality. Take stock of your current investments and how much you are saving each year. Estimate the size of your nest egg at retirement and determine how much you might be able to comfortably withdraw each year. Identify all sources of steady income you may have. This may include: Social Security, an annuity, rental property income, or a pension if you are lucky. Keep in mind that pensions, annuities, and social security often penalize you for retiring early. Understand the tax consequences of withdrawing funds from your retirement nest egg. Many folks overlook the impact of taxes on their retirement income. Health care costs tend to rise with age. You should evaluate health care costs if you’re retiring early. For some, COBRA may bridge that gap for a small amount of time. But it can be expensive. If retiring early is your dream, make sure you have a plan for health insurance prior to age 65 when you become eligible for Medicare. Forecast your expenses during retirement. Where will you live? Will you have a mortgage? How will you spend your time? Will you spend more or less money on travel or hobbies? Don’t forget to account for inflation and increased health insurance costs. Most importantly, make sure your retirement income adequately covers your forecasted expenses. And, be sure to have a cushion for unexpected surprises. It helps to have a strategy for retirement living. One study found that nearly 20% of those surveyed were bored in retirement. Finding a hobby or volunteering can help. Final thought. Like any other financial goal, achieving your vision of an early retirement requires a savings rate aligned with your time horizon. The best way to reach your financial goals is to stay focused on what you want for your future. Curious how you make the dream of early retirement a reality? If you have more than $2 million saved and need a financial plan to reach your goals, the Peak Wealth Planning team can assist. You may also be interested in learning: How much you can withdraw from retirement nest egg How to invest when you enter retirement - - - - - - - - - - - - - - - About the Author Peter Newman is a Chartered Financial Advisor (CFA) and president of Peak Wealth Planning. He works with individuals nationwide that have accumulated wealth through company stock, ESOP shares, real estate, or running a business. Peter applies his unique background to help clients achieve their specific goals and enjoy peace of mind. Peak Wealth Planning provides concierge services to meet your wealth management needs. Services include: financial planning, investment management, esop diversification, retirement income, insurance, and estate planning advice. Peak Wealth Planning is a fee-based financial advisor based in Champaign, Illinois, and Fraser, Colorado.

With half the year behind us, now is a great time to consider what the remainder of 2022 may hold. However, with inflation and economic uncertainty causing many of us to delay or cancel vacations, large purchases, and more, it can be challenging to know where to start. Here are a few tips to help make the rest of the year go as smoothly as possible. 1. Deflate Inflation Travel-related costs have skyrocketed, causing many to delay or cancel vacation plans. But are you overreacting to current headlines? Let's talk if you're a Peak Wealth client who is wavering on a scheduled trip or a home remodel. Continue learning more about how the federal reserve fights inflation and a strategy you can use to do the same. 2. Embrace Uncertainty If you’ve delayed a major purchase lately, you're not alone. Economic uncertainty has caused many to rethink their expenditures. When your net worth declines due to stock market fluctuations, the "wealth effect" tells consumers to rein in spending. Peak Wealth’s portfolio strategy takes into account periods of market volatility. Learn more about the trade offs of risk and return in our post on investment risk tolerance. 3. Revisit Goals During times of uncertainty, you might question the benefits of investing. To stay on course it’s good to focus on the outcomes you desire. Imagine living a certain lifestyle during retirement, paying for a child’s education, or building your vacation home. Put up photos that remind of your goals. This will inspire you to maintain behaviors that move you forward. By revisiting what’s important, you can ignore negative headlines and continue making progress toward your goals. Continue learning more about using goal-setting to realize your dreams with Peak Wealth Planning. 4. Practice Patience The need to take action can push even the most seasoned investors into questionable territory. Instead, try to take a long view of the markets. After all, daily market changes are the price to achieve long term stock returns. Remaining patient and taking a break from watching the markets closely may help weather the storm. It’s best to focus on the expected long term returns from your investments. Final thought. Are you comfortable with your progress towards future goals? Does the current economic condition have you rethinking your investment strategies? If you have a net worth over $2 million and need help from a wealth manager, the Peak Wealth Planning team can assist you. Peak Wealth Planning specializes in helping high-net worth individuals and families plan for the future. - - - - - - - - - - - - - - - About the Author Peter Newman is a Chartered Financial Advisor (CFA) and president of Peak Wealth Planning. He works with individuals nationwide that have accumulated wealth through company stock, ESOP shares, real estate, or running a business. Peter applies his unique background to help clients achieve their specific goals and enjoy peace of mind. Peak Wealth Planning provides concierge services to meet your wealth management needs. Services include: financial planning, investment management, esop diversification, retirement income, insurance, and estate planning advice. Peak Wealth Planning is a fee-based financial advisor based in Champaign, Illinois, and Fraser, Colorado.