Reduce Taxes in Retirement? A Basic Retirement Planning Strategy! Retirement Planning at 65

Glad you’re with us today for the retirement income show. I’m Mark Elliott here with the CEO and founder of Oak Harvest Financial Group…that is Troy Sharpe. Of course, Troy is a certified financial planner. He’s created an incredible team alongside of him, Chris Paris, the chief investment officer, Jared Kinney, is an advisor, but also is a Social Security expert. Troy and Jared and the team, they do Social Security, they do estate planning, tax planning…there’s all kinds of teams within the team at Oak Harvest, and they’re all here to help you really feel more, I think, relaxed and stress free heading into retirement where you can actually go enjoy retirement rather than worrying, “I wonder if something happens to me, will my family be OK? I wonder if I’m going to have enough money to last as long as I’m here.”

Those are really big questions. Do you have questions about anything that Troy’s talking about today? It’s 1(800) 822-6434. OakHarvestFinancialGroup.com. To find out more. Would love for you to go check out Troy’s YouTube channel.

Just search for Troy and Oak Harvest and you can find those 100 videos and watch whatever you’d like to learn more about. We’re talking about the complete planning approach at Oak Harvest. It’s called the Oak Harvest Retirement Process process, an investment plan, income plan, tax plan, health plan, legacy and estate plan. All of that is in there. Social Security is in the income part. Medicare’s in the health care part. A lot of moving parts. And Troy, you’re talking about having John and his wife come in after they’d gone to their advisor, trying to get a written income plan and a written tax plan didn’t go the way they thought it might. And so they came to sit down with you and your team. And that’s where we are right now in your story.

Yeah, but one thing before I finish the story there is the team within the team thing that you said, Mark, that’s you know, that’s one of our huge competitive advantages over other firms. So, you know, sometimes especially if the husband’s listening to the radio right now, let’s say you’re listening to the radio and you go home and you talk to your wife and you say, “You know what, hon? I really think I want to go talk to the financial firm. I heard them on the radio. And I think they’re a good fit for us. I think we can really benefit from talking to them and we’ll see how it goes, and let’s just schedule that appointment.” And, you’re with Fidelity currently or Schwab or something like that, and the wife is going to kind of probably look at you a little bit crazy and say, “Huh, you know, you want to leave this big secure firm, this fidelity, this Schwab to go because you heard some guy on the radio. Are you are you losing it? What’s, what’s going on here?” So the thing is, these big firms, they’re essentially small..they’re essentially a bunch of teeny tiny firms.

OK, there are a bunch of two man, three man, maybe four men, maybe five people shops. But they have that big national brand and they have access to all the research and resources that the big national brand has.

We’re an independent company. We, I chose not to have that big national brand behind us because I want to do things the way that I see is the very absolute best for every single client who comes in my door.

We have right now, I think we’re up to about 27 people. If you are an attorney, if you are a CPA, if you have any experience on the private wealth front, please reach out. Give me a call. If you’re looking for a change in circumstances, a change in job, you’re just not happy with where you are, please reach out to us. We’re hiring four more advisors, three more administrative people…some of those advisors are going to be what we call a service advisor and a planning advisor, where they just plan, they’re doing tax planning, they’re doing financial planning, income planning, they’re doing that every single day.

So we were just named INC on the INC 5000 list, one of the 5000 fastest growing companies in America. We were number 1722 on the list…so, that is an amazing accomplishment.

But, we grow within ourselves. It’s all organic growth. It’s clients referring us to other clients. It’s you calling in from the radio. It’s people from the YouTube channel. The message is powerful, it’s resonating and the planning that we’re doing is powerful and it’s resonating and it’s helping to improve people’s financial lives.

So the story, getting back to John here…one of the big things, one of the big mistakes that he was making, or I should say the advisor that he was working with, that they were making, one of the big mistakes, was letting the IRAs continue to defer, not only by not taking income out of them now and doing some conversions, did the adviser put them in a situation, when we extrapolated the numbers out, where they were going to have massive required minimum distributions. It was going to trigger IRMAA Tax…which is IRMAA, it’s an acronym which stands for income related monthly adjustment amount, their Medicare premiums, part B and part D, were going to increase significantly. They were going to be subject to net investment income tax, which is an additional three point eight percent surtax on their investment income.

What they did was they put them into a situation where they had no flexibility whatsoever if they needed any additional income. The advisers plan, their advisers plan had exhausted all of their non IRA money. All they were left with was this tax infested retirement account money.

So, if they wanted to go on a vacation, they wanted to do anything else and they needed more money out of that account. Guess what, they only had one place to go and get it, OK? It was a lack of flexibility.

So, when we looked at this, and again, it was over $800,000 in estimated savings doing the plan that we were telling them to do versus what their big brokerage firm adviser that they had been with for many years were telling them to do.

Here’s the cool thing, we were going to go on a conversion schedule. We’re going to target a certain tax bracket because it made the most sense for their situation for the next five years. Now, this plan may change because we are in the middle of a big gray cloud of uncertainty when it comes to potentially pending tax legislation that will alter the tax landscape in a massive, massive, massive way that will not be favorable to those people who have accumulated wealth throughout the course of the past 30 or 40 years working their butts off in this country.

So, when you start to get into this tax plan, you start to look at it, you have to weigh these choices and these decisions against one another. You do have to make a decent amount of assumptions and have to…it requires various modeling into the future…scenarios, decisions, impact of those, weighing that against one another…it requires a lot of time and experience and skill and time, really. So, with the plan that we were going to target, they were going to do those conversions, for them, it was over the next five years, we’re targeting a certain tax level, we’re going to keep most of the money…put a little more than 50 percent into the Roth IRA. We were going to strategically take distributions from the IRA and the non IRA dollars to target a certain tax level and also maintain a certain account balance until they hit their RMD age, age 72.

And then at that point, even with the RMD’s, because we had depleted the IRA by so much by that time, their dividends and capital gains are estimated to be one hundred percent tax free. So they not only have tax free Roth IRA money, but under the current law, you can have over a hundred thousand dollars of income, take your standard deduction, be left with…if you’re below $80,800, your dividends are 100 percent tax free. Now, that level may change at some point throughout the future, but under current law, and this has been around for some time, many people don’t know that you can have 100 percent tax free capital gains and dividends. It’s been around for some time, and we anticipate it will continue to be around for some time, just the income threshold at which you are no longer qualified for, that’s probably going to adjust here and there, and that political pendulum, it will swing left and we expect it to swing back right, and then it’ll swing back left and things will change, that’s why these plans are fluid and dynamic, and you need to have a partner next to you that you trust and can work with and will be there for you, and need more than just two or three people in the office.

Two or three people in an office cannot do this type of planning for a large client base. It’s just not possible. So, anyways, not only did we get the money into the tax free Roth or that’s the plan over the next five years, it’s a complete comprehensive income and distribution strategy that looks at everything and also gets their dividends and capital gains potentially tax free, depending on what the law is in the future. So that’s what we do on a customized basis for every single family that comes through our doors. 1(800)822-6434, 1(800)822-6434.

It’s OakHarvestFinancialGroup.com. You can visit us on the Web. I encourage you to go to the YouTube channel, so just go to YouTube, search for Oak Harvest Financial Group, search for Oak Harvest Financial Group taxes, income, investments, all these different videos that we have out there, take a look, go through it on your own time, get comfortable, get into a position where you say, “you know what, I think this firm brings more value than the firm that we’re working with,” or, “You know what? I think this firm can do a better job for our retirement planning than I can do for my retirement.” And you know what? Many of you don’t want to do this type of planning, your entire retirement. It takes a ton of work or maybe many of you do.

I don’t know, but if you’re in that boat where you want to go through the Oak Harvest Retirement Process process and you want the big questions answered. Do you have enough? Can you retire? How much income to take? How long will that income last?

How do you pay less tax? And if something happens to you, will your spouse be OK? 1(800) 822-6434, 1(800) 822-6434, OakHarvestFinancialGroup.com.

Troy Sharpe, the CEO and founder of Oak Harvest Financial Group. I’m Mark Elliot. Glad you’re with us today for the retirement income show, talking about the complete planning approach at Oak Harvest, called, The Oak Harvest Retirement Process process. The investment plan.

The income plan. The tax plan. The health care plan. The estate plan. Social Security, a lot of questions about that, now, that’s in the income part, Medicare, well, we’re coming up on open enrollment. So what are you going to do?

Do you need to do anything? Great opportunity to find out more. That’s in the health care part. So at Oak Harvest, they look at all aspects. How do they make your retirement one that you can really enjoy and not worry about all the X’s and O’s and go enjoy your life?

That’s really kind of the idea. And there are people that want to be really involved in all of this. Troy is here to help. That’s the idea. All of their Retirement Process process is built around whomever they’re sitting down with.

Some might need $20,000 – $30,000 in monthly income, somebody else might need $5,000 – $6,000 of monthly income, everybody’s situation is different. Somebody may want to travel the world all the time. Others may want to stay just in the Houston area.

They want to stay at home and hang out with the grandkids, go watch their sporting events, that type of thing. Everybody’s situation is different. So, the Oak Harvest Retirement Process process is really built around whomever the team at Oak Harvest is sitting down with.

What are your priorities? What are your beliefs, your values? What do you want to do in retirement? All of that is a part of the Oak Harvest Retirement Process process. So, we’re going to finish this up and talk about what happens when you call.

How long does this process take? Maybe even touch on the team a little bit as well at Oak Harvest. All that ahead. This is the retirement income show at Troy Sharpe, the CEO and founder of Oak Harvest Financial Group. Back in one minute.

Hey, your friend Sean Hannity here during these uncertain times with the market in constant flux. You need a financial professional with a steady hand who can help protect your assets and your important retirement. Now, that’s why it is important that if you’re concerned with your retirement income in particular, you work with someone that is conservative and I don’t mean conservative in politics, but more importantly, someone who is conservative when it comes to investing and here in Houston, Troy Sharpe and his team at Oak Harvest Financial Group. Give them a call right now, 1(800) 822-6434.

Look, we all want to preserve our wealth, but a great first step is to call Troy’s team for a retirement income analysis. That’s (800) 822-6434. Call Troy Sharpe and the team at Oak Harvest Financial Group (800) 822-6434.

Oak Harvest Investment Services is a registered investment advisory firm. Troy Sharpe is an investment advisor, representative and insurance professional. Investing involves risk, including the possible loss of principal. Sean Hannity has been remunerated and is not a client.