Josh Scandlen Podcast

I go over some of the objections about borrowing from your retirement accounts. These are the big ones: * Money you borrow will be out of the market and thus not growing * Why pay off a mortgage or equity line debt when that interest is tax deductible? * What if I leave my employer before the loan is paid off? * I'm paying the loan back with after tax money, only to have it taxed later when I take it out. Love to hear your comments as these are 4 main reasons I hear NOT to borrow against your 401k. But while they all have SOME validiity, not to the extend that it seems EVERYONE is always saying "DON"T EVER BORROW AGAINST YOUR 401K,! ONLY FOOLS DO THAT!" I disagree. --- Support this podcast: https://anchor.fm/josh-scandlen-podcast/support

They're going to get their money back as long as their income as less than the standard deduction. The standard deduction now is $12k so ANY income tax they had withheld will be returned to them! Don't leave that money on the table! --- Support this podcast: https://anchor.fm/josh-scandlen-podcast/support

The TSP F Fund is the Thrift Savings Plan version of a corporate bond fund. However, if you dig a little bit you'll quickly see why this fund is NOT a corporate bond fund in the least. Why do I say this? Look what happened in 2008. In 2008 everything, and I mean EVERYTHING got hammered. That is, everything for government bond funds. Government bonds did swimmingly in that year as everyone was fleeing from risk into assurance. What did a typical corporate bond fund do in 2008? Well look at USAA's Income Fund, USAIX. It was down over 5%. What did the TSP F Fund do? It was UP over 5%! The only way to do that was to have exposure to government bonds, such as GNMAs. Does the F Fund have some corporate bonds in it too? Yup. That's why I actually changed my mind mid-episode as to the fund I'd choose for my fixed income holdings, the G Fund or the F. The F has a broader range of fixed income products in its portfolio. --- Support this podcast: https://anchor.fm/josh-scandlen-podcast/support

I'm a huge fan of the Thrift Savings Plan offered to Federal Government employees, including military personnel. A cheaper investment platform I do not know. The funds in the TSP average 3.3 basis points in expenses. That means for every $1000 you have invested in the TSP your cost is 33 cents. That's incredible Think about it another way, if you pay 1% in investment expenses it's going to cost you $10 per $1000 per year. Your investment manager must have some pretty good chops to overcome that starting point. And, in fact, he/she most likely won't. In this episode I analyze the G fund in the TSP. The G Fund is the Government securities fund. I show you why you shouldn't expect more than around 3% a year in rates of return over the next decade. Doesn't mean I think it's a bad fund, it just is the reality of the interest rate cycle. Remember folks, bonds do not have capital appreciation. You get paid interest and interest only. --- Support this podcast: https://anchor.fm/josh-scandlen-pod

The Roth IRA is the greatest financial planning tool ever invented for long term wealth accumulation. Life insurance comes in a close second but the problem with life insurance is someone has to die to benefit from it. Rather not have that happen. So use the Roth everywhere you can. And it starts with your 401k. --- Support this podcast: https://anchor.fm/josh-scandlen-podcast/support

In this episode I review an older article (2005) from Keith Bender and Natalia Jivan called "What Makes Retirees Happy". Now one might question why I'm using a nearly 20 year old article to discuss. Good question. The answer is because this was another seminal article, at least for me, as I began my career painting the picture of what makes retirees actually happy and content. And folks, it's not wealth. Not by any stretch. Yes, wealth can help. But there becomes a negative utility in having more wealth. That is a fancy economics term meaning the MORE you have of something the less you value it. What retirees value most? Oddly, well not really, it's in having the choice to retire as opposed to being forced to. Also, having a guaranteed flow of income from pensions and annuities, not just Social Security, combined with an asset that can grow to provide a potential higher standard of living. Lastly, it's the ability to spend time with one's spouse. Listen to learn more. --- Support this podcast

Fantastic interview with a friend, and my business consultant, Nicole Sauce. Nicole runs a coffee roasting shop in Middle Tennessee called Holler Roast Coffee. Which you can find here: https://hollerroast.com/ But there is SO much more to Nicole than simply making an incredible cup o' Joe. Nicole was very active in the movement to provide options for people in their health care. In fact, she had a huge amount of success in that capacity. However, being on the road 3 weeks a month was going to drive her to an early grave. So, she decided to move to middle Tennessee and live a more minimalist lifestyle, raising crops, selling coffee, but still conducting business consulting and website development. Nicole actually was instrumental in helping me define my brand for my business and developing my website. And I can't recommend her and her business Spark Communication enough. https://sparkfreedom.org/about/ Find Nicole on her blog here: https://livingfreeintennessee.com/ --- Support this podcast: htt

This is a very welcome interview for me in that Inga is probably my twin when it comes to financial planning. Basically, my advice to clients for now on is simply to say "what she said" because she is so spot on. She has a book out on Amazon for younger readers, say in their 20s titled Mastering Money: A Simple Guide to Achieving Financial Success. It came out in December 2017 and has 52 5-star reviews, ALL verified purchases too. That means people who are actually parting with their cash are commenting that they got way more value from the book than the $ they paid for it. Can you find a better testimonial? Nope. Inga is a native of Moldova but came to the US as a teen and never looked back. That's Moldova's loss but certainly our gain as Inga's been kicking butts ever since. A PhD in finance. Has her own financial planning firm. Is teaching college students as well. I mean, talk about legacy planning. I love it and you will too. https://attainablewealthfp.com/ --- Support this podcast: h

In this episode I interview a long time family friend, Skip Ritchie. Skip's been a world traveler, going to varying countries to spread the Good News while assisting to the needs of the poor. A true man of Christ indeed. Over the past few years, Skip has been going to Zimbabwe of all places which has interested me greatly. I've been a long time follower of the happenings in Zimbabwe, with the celebration of ending the colonial, apartheid rule, to the devastation caused by Mugabe and now to a new hope as Mugabe has left the scene. It's important to understand that Zimbabwe/Rhodesia, was considered the "breadbasket" of ALL Africa in the middle part of this century. Wonderful people. Lots of resources. The British technical know how. Yet, Mugabe ruined all that with his tyrannical reign. Heartbreaking is not a strong enough word. But life goes on. And Zimbabwe may be on the threshold of something huge..with a bit of help from abroad, government reform and some good luck. --- Support this podcast:

I was in a debate of sorts with some fellow financial planners on a Facebook page. My "opponents" for lack of a better word were arguing that to engage in techniques that allows one to use Medicaid for health care was a legitimate pursuit, even if one is affluent. To say I am shocked at this doesn't do justice to how I truly feel. Let me explain what Medicaid is. Medicaid is health insurance for poor people. Medicare is for when you turn 65 and you get it regardless of income or assets. Medicaid though is based on your asset levels. The goal was to assist those who are indigent with their health care. Medicaid "planning" tries to get people who could otherwise afford to pay for their own care to hide assets in order to qualify for government aid. Here's the problem with this. Medicaid is BROKE! There is no money. Thus for every affluent person on it, means there is less for poor people who truly have no other options. --- Support this podcast: https://anchor.fm/josh-scandlen-podcast/s

In 2009, senior officials at the Social Security Administration were made aware of grossly underpaying widows who were entitled to much larger benefits. They did nothing. So, the "whistleblower", for lack of a better term, contacted the one person with a large enough megaphone and deep understanding of Social Security to tell him about this absolute disgrace, Larry Kotlikoff. In 2015, Larry wrote a scorching article for PBS about this issue. The Social Security Administration did nothing. In February 2018, the report was released. And this is what they concluded: "...we estimate SSA underpaid about $131.8 million to 9,224 beneficiaries who were age 70 and older. In addition, we estimate SSA will underpay an additional 1,899 beneficiaries who were under age 70 about $9.8 million, annually, beginning in the year they attain age 70." What will the SSA do now??? Who knows but this means you need to understand your OWN Social Security benefit. --- Support this podcast: https://anchor.fm/josh-scan

In this episode I answer some of the financial planning questions I receive on Quora. --- Support this podcast: https://anchor.fm/josh-scandlen-podcast/support

Oh man oh man, this is fantastic! Listening to the Meb Faber Podcast while mowing my lawn this afternoon and he mentioned this website called FeeX.com. FeeX is a site you can go and for FREE type in your fund holdings, even link your account if you're so inclined. Their algorithm will then analyze your funds PLUS a list of comparable funds that are a whole lot cheaper. It's crazy! And it's awesome! For instance, I typed in USMIX, which is USAA's Extended Market Index. Out came a bunch of other funds, exactly like it, but cost significantly less. Then FeeX calculated what the other funds would save me over time in total fees. Folks, we are not talking about pennies here. We're talking tens of thousands of dollars. Fees matter, my friends. And if you own high fee funds you've got to understand the headwind you're dealing with when it comes to performance. The more fees, the less your fund will be able to compete. Just no other way around it Give FeeX a try. --- Support this podcast: ht

Bryan Strike is one of those professionals many younger planners should mimic in how they conduct themselves in business. He holds almost, if not all, of the most prestigious planning designations available; CPA, CFP, CFA, MsTX, PFS, MS and others. But, even with this pedigree, Bryan is humble enough to realize that being a good financial planner is not about tooting your own horn, it's actually understand your clients. Nothing is more important You want to the client to take action? You need to understand their concerns. That simple. The profession is littered with the smartest minds in around, just ask them and they'll tell you. But these people couldn't sell water to someone stranded in the desert because they lacked the confidence to ask questions. They forget the essential role of a financial planner, understand the client so you can get him/her to take action to better THEIR financial lives. Bryan does this for his clients. And we all can learn from him. --- Support this podcast: https:

Karen Huppertz, the President of the International Dyslexia Association Georgia Chapter, is who we talk with today. Just an amazing lady, with an amazing story of her kids' struggle with Dyslexia. Due to early identification AND intervention, dyslexia did not hold her kids back from having stellar educational achievement. Thus, the lesson to be learned; the need for early identification in order to get the proper intervention. My friends, I can not tell you the pain I feel for children who have dyslexia but do not know it. These children feel stupid, left out, inferior. And some will lash out accordingly. Others will slink back into the back of the room hoping to never been seen or heard from. It's tragic. The International Dyslexia Association estimates "perhaps as many as 15–20% of the population as a whole—have some of the symptoms of dyslexia". But there are treatments! In fact, with proper treatment, children can succeed in school. Thrive even! --- Support this podcast: https://anchor.fm

I read a lot of investing articles. Some are quite good. Meb Faber's research over at Cambria Funds comes to mind. His podcast is fantastic as well. But a lot of investment blogs are not quite good. Some are just horrific and you wonder how their compliance managers let such tripe be published. Others, though, at first glance seem to be well thought out until you start to read deeper and realize the author is regurgitating many of the arguments form yesteryear, which have since be debunked. However, some articles do have some golden nuggets thrown in with a few cringe-worthy statements. These are the articles the reader can take away good information IF and only if, he or she can differentiate the bad from the good. I walk you through a couple articles just like this today that was sitting, for over a year, in my "stack of stuff." I have a large plastic crate of articles, books, magazines etc. that require my attention but I seem to overlook other than once in a while. --- Support this podcast: h

In this episode, we discuss an article on Fox Business News titled "Why are retirees living longer, healthier and wealthier lives?" This article confirms that retirees spend LESS than they've been lead to believe in retirement. Also, it goes on to state that the cognitive and physical limitations for current retirees are much lower than they were for retirees 50 years ago. So, longer lives, less physical and cognitive impairment combined with a savings deficiency should indicate a "crisis", no? Well, no. "Fellowes: The average retiree cuts their spending by about 2 percent every year throughout their retirement. The biggest drop over time is spending on lifestyle expenses, like travel, apparel and entertainment; but, essential spending on transportation and housing falls too, as retirees pay off their mortgages...Healthcare is one of the only expenses that tends to increase through retirement, although it tends to increase increase incrementally for nearly all retirees. " --- Support this podcast:

HUGE jump in US Treasury Bond interest rates over the pas 20 months or so. Now, lots of people will conclude things about the investing market, how this increase affects them. And there is a lot to be said about how this affects your portfolio. BUT, what gets overlooked during this times of increasing interest rates is the affect on the mortgage/real estate market as well. Think about it like this: Couple want to buy a home. They have a monthly budget of $850 for that home. When interest rates were what they were in July 2016 they could have afforded a $250k home (just using the 10 year rate as our proxy for the interest rate they paid on their mortgage.) Now, though, with the 10 year at 3.05%, that same $850 could only buy a $200k house! So, what happens to the couple who bought a house in July 2016 for $250k fully leveraged, i.e., no equity, and need to sell it today? --- Support this podcast: https://anchor.fm/josh-scandlen-podcast/support

In this episode I talk about an article from TheHill.com which mentions, almost in passing, that the previous head of the Beverage Association is now going to head the Life Insurance lobbying group. The next head of the group is certainly going to be the current CEO of Philip Morris. So you might ask "How does one become head of a lobbying group and make $2.3mill a year? Do you need to be an expert in life insurance?" Good question. Quick answer to the second question. NO! Just look who her predecessor was. One, Dick Kempthorne, a Senator, Governor and Secretary of the Interior under Bush. Life insurance expertise he had not. But LOBBYING expertise he carried with great abundance. Now, how did the new head of the insurance lobby get the gig? You got it! Politics. She was in the Bush administration as well before she went on to hawk the sugary drinks that are killing people. Only in The Swamp does this make sense. Song of the day - "Hersham Boys" by Sham 69 --- Support this podcast: http

It was my privilege to interview Liz Hand, CFP on today's episode. Liz has a wonderful story to share about her background and how it lead her to be such a wonderful financial advisor(my words not hers). Yeah, she's young. Yeah, she's a nice person. And I imagine she cracks jokes and even laughs quite a bit as well. But don't let that exterior fool you. She brings a ton of financial planning skills to the table for the benefit of her clients. But financial planning knowledge alone isn't enough, it's her ability to LISTEN and ask questions that connects with her clients. Financial planning is SO much more than a spreadsheet, an investment statement or Heaven forbid, the returns you received last quarter. True financial planning is going with your recently widowed client to the Social Security office so both you and your client have a full grasp of the options, and thus can be make a most informed choice. One that will last for the rest of your client's life. Liz did that. --- Support this podcast