Hosts: Judith Sanborn, CFP®, AIF® and Joe Bert, CFP®, AIF®

Well, good morning everybody.  This is On the Money with the Certified Financial Group.  The Oracle of Orlando, Joe Bert here in the studio alongside Judy Sanborn.  We’re taking your phone calls this morning at 844-220-0965.  Good morning everyone.

Good morning.

Good morning.

How are you guys today?

We’re doing great.


How are you?

Alright, well what can the audience call you about today?

Well, Judy and I are here to take any questions that might be on your mind regarding your personal finances.  As we say, people go through life trying some of this, trying some of that, and wake up when they’re 55 years old and realize the paycheck is going to stop in the not-too-distant future and how do we turn our IRA and 401k and maybe the savings they would have into a stream of income so we can continue to enjoy what they say are the golden years.  And that’s what we do day in and day out with the certified financial planning professionals of the Certified Financial Group.  We answer those kinds of questions for our clients.  And Monday through Friday we do it for a fee, but on Saturday morning we do it for free.  So, if you have any questions regarding your personal finances, as it might relate to decisions that you have to make about a stock, or bonds, or mutual funds, or real estate, or long-term healthcare, IRAs, annuities, reverse mortgages, all that and more, we are here to take your questions.  And the good news for you on this cloudy Saturday morning, on this drizzly Saturday morning, there’s absolutely no one in line.  So, pick up the phone and dial these magic numbers.

Oh yes, they are 844-220-0965.  844-220-0965.  We also have the text machine up and running as well.  21232.  That’s 21232.  Hope you’re going to stay dry out there today in Central Florida if you’re out and about trying to get your errands done early before all the rain comes.  Well, stay tuned right here at News 96.5 WDBO.  We’ll keep you updated on the weather, but we’ll also have some great information and we’ll kick it off with today’s topic with Judy Sanborn.  Judy, topic today, did you jump the retirement gun? What you might miss when you choose to retire.

Yes, well, I think this is a very appropriate topic for me because I’m retiring at the end of this year.


So for 10 years —

So no more radio show for Judy Sanborn?

This may be the last.

No, you can’t —

This might be the last.

It can’t be the last.

Although, I have volunteered to sit in when Joe’s not available.


I will be around next year part-time.  However, I’ve been talking — and all of us talk, of course, about what — how to plan for your retirement.  And so last year, I thought to myself you know I should be listening to myself in what I’m telling my clients.  Maybe I should start planning for retirement.  So, there are a lot of considerations.  I think there are some interesting statistics.  Between 9,200 to as many as 11,400 people daily will be reaching the age of 65 for the next 16 years.

Baby Boomers.

Baby Boomers.  <Inaudible>

And we’re all thinking about retirement as we get closer to those ages.  Joe mentioned that we start thinking about looking at what assets we might have accumulated around the age of 55 and some people don’t do that until maybe 60 and all of a sudden they go oh, maybe I don’t want to work —

And some people don’t do it until after they’ve given their notice, and then they try to figure it out. <Inaudible> which is not a good scenario.

No, not a good scenario.  Not a good scenario at all.  So, I think it’s really important and all of us ask the question of our clients, well what does retirement mean to you and what do you think you’re going to do in retirement.  And some people have a whole list of things and some people look at you like what do you mean?  What do you mean what am I going to do in retirement? So, I think one of the things that is really important to realize as you start thinking about retirement is retirement is an oxymoron, which means the reality of retirement is we’re all wanting to get away from certain things, and the things we’re trying to get away from are actually the things that make retirement successful.

There you go.

So, what do you think they are?

Well, it’s the interaction with people every day.  It’s the ability to be creative and be productive.  It’s the ability to have a feeling of accomplishment at the end of the day, and of course the monetary rewards that may come with that.  You want to feel that you’re contributing something.  So, if you’re not employed or in a for-profit situation that you do the charity stuff.


Which many people do.

Yes.  And those are —

Did I answer those correctly, by the way? I didn’t <Inaudible>

You did.  No, you did.


You did a great job because most of us think in terms of retirement do we have enough money to retire.  But, we actually don’t think about what our workplace provides for us.  We don’t even think about it.  For one thing, socialization.  Just coming to work and having the opportunity to visit with people, chat with people, sometimes we’re the go-to person.  They go to us to ask us to help them solve problems and all of a sudden you’re retired and where are all your friends?


I’ve had some of my clients say gosh, I thought those people I worked with, they were my friends.  I never hear from them.  So, — and so I try to say, you might not hear from them, but you have to reach out to them because they’re still in their routine.  And it’s not that you’re not their friend.  They just don’t have time to really reach out.


So you have to be a lot more proactive at that point.

It’s like with your kids.  You know, your kids have their own lives and they’re not going to call you every day or stop in every day.  They have their own lives and so you may see them less often.  It’s not that they don’t love you anymore, it’s just that they have their own deal going.  That’s the way it works.

So, I think it’s important.  You need to have goals even in retirement.  You have to have routine even in retirement, and there are a lot of increased incidents of alcoholism, depression when people retire because they haven’t thought through those ideas.

And I think that you definitely need to stay physically active.


I think that is critical.  I mean, we see it with our clients.  Some of them are better at it than others.  Some of them retired and in fact they look better than when they were working.  But, you have to push yourself and that’s the reason that — if you turn into a vegetable —

You’re not going to live very long.

You’re not going to live very long.  That’s the sad reality of it.

And the incidents of Alzheimer’s and dementia certainly increases if you’re not active.


And you’re not physically active and mentally active.

Yup, yup, yup.

So, I have a book that I’ve been reading in preparation and it’s called the Couple’s Retirement Puzzle: 10 Must-Have Conversations for Creating an Amazing New Life Together.

How is it?

It’s really interesting because it has little quizzes that you sit down and you do together to see —

With your spouse? Uh-oh.

With your spouse or your partner to see where you are into retirement.

See if you’re going to retire together or go your own way, which oftentimes happens as well.



Well, if you have a question for Judy or Joe, it’s 844-220-0965.  844-220-0965.  Start today’s conversations on the phone lines.  Talk to Dave in Titusville.  Dave, go ahead.  You’re on with the Certified Financial Group here on WDBO.

Good morning, Dave.

Good morning.

Thank you for calling.  How can we help you?

Good morning.  Thank you for taking my call.  I’m an avid listener and respect your advice.

Thank you.

I’m in need of quite a bit of money to make repairs on my home and looking for some advice on the best source.


I’m going to need probably in the range of $60,000 to $80,000 and that’s about equal to what my net resources are if I were to liquidate 401k or a universal life policy that I have.  But I’m not sure I want to do that while the market is good.

Alright.  Let’s back up here.  You’re still employed?



And how old are you?


62.  And you need about $60,000 to $80,000 to put in your home and you say you have that in the cash value in your universal life policy.

And a combination of 401k and universal life.

Got it, got it, got it.

The universal life is probably about 40,000, but I haven’t looked at it in awhile.  But, it’s somewhere north of 40,000.


And do you have a family?

My wife and I.

Okay.  I would take it from the universal life first.

Do you have a need for the life insurance? <Inaudible> you might look at what potentially that life insurance policy might be for other than obviously the death benefit.

That’s the only reason to have it is for her if I pass.

Okay.  I would borrow from the life insurance policy because that’s your own money.  The thing that you need to know is that if you should die before you pay back that loan, all that happens is the death benefit is reduced by the amount of the loan that you have on the policy.  But basically what you’re doing is you’re taking out of one bucket, which is the universal life policy, and putting it in the equity in your home.  So, I think that’s the first place I would go.  What do you think?

I agree.  I definitely agree that you look to that first.


And then I would probably look at a home equity loan.  Do you have any equity in your home, I hope?

Yes.  It’s paid off.

Oh, well there you go.

Oh, that’s a great resource because that can be a tax deduction for you as well.

If you’re able to itemize.  I would probably look at the universal life first and then I would back-fill with the home equity loan.

Okay, how about a source for that home equity loan? I belong to a Credit Union.  Is that a good source?

That’s a good source.  Yep.

Excellent, okay.

We’re reluctant to suggest that you take money out of your 401k because what you’re doing then is you’re jeopardizing your retirement, which is around the corner.  But, using the home equity loan forces you to make that payment every month and get that paid off, and basically build that equity back up and keep contributing to your 401k.

Excellent.  Very good.  Okay, I think I’m on the right track.

Alright, Dave.  Good luck.

Thank you.

Thanks for the call.

Thank you all so much.

Have a good day.

You’re welcome.

Alright Dave, thanks so much for the phone call.  If you want Dave’s line, it’s 844-220-0965.  844-220-0965.  Text machine is up and running as well, 21232.  As I look at the clock we’ve got about two minutes until we get to the three big things you need to know, so now is an excellent time to announce some of the workshops coming up with the Certified Financial Group, a great resource you guys have there.

Yes, our next workshop is going to be Thursday, October 19th.  It’s in a couple of weeks <Inaudible> see when that was.  6:00 to 7:30 in the evening and the hostesses will be Nancy Hecht and Denise Kavach.  And the next one will be Saturday, November 4th from 9:00 to 11:00; healthcare options in retirement.  Gary Abley is the host for that one.  And there is one that’s next year, so I just point that out because it is When Can You Retire: Know Your Number.  It kind of fits in with what we’ve been talking about and you can go online to our website and see when all of these workshops are going to be happening and you can sign up for them online or you can call our office and register.

Just go to, and that’s, click on workshops.  You can make your reservation right there.  Simple-dimple.

Alright, just like that.  And hop over to their Douglas Avenue office.  It’s a great place.  I’ve got to come by and visit.  I haven’t visited in awhile.

Well, you’ve <Inaudible>.

844-220-0965 is the number to jump in on the conversation, 844-220-0965.  We also have the text machine up and running as well, 21232.  Just keep it to about 160 characters, that’s all we can see on our screen, 21232.  Dave Wall is in the News 96.5 newsroom right now.  It’s time to get the three big things you need to know.  Welcome back, this is On the Money with the Certified Financial Group here on News 96.5 WDBO.  Joe Bert and Judy Sanborn are here in the studio taking your phone calls at 844-220-0965.  844-220-0965.  Or, your text questions at 21232.  They are certified financial planning professionals and they are here on the radio giving out great advice here all morning long until 10:00 here on WDBO.  Got a text question at 21232, Judy and Joe.  I’m 41 years old, I have a condo that’s paid off, and I do have money to buy another property other than my house that I have now.  I’ve always been under — and that’s why we ask you to keep it under 160 characters ladies and gentlemen.  That’s all we can see on our screen because 160 character is apparently the average for the text for all the mobile carriers.  That counts as one text <Inaudible>.

This individual wants to know maybe buy another condo? What to do?

Buy another house? Buy another property instead of putting it in something? That’s why we ask you to keep it to 160 characters.

Right, because we’ve actually been contemplating what the under might mean.

Yes.  Under water? <Inaudible>

But, I think in general there are a lot of other questions that we would ask before we gave any guidance to someone wanting to buy an additional property, especially at 41 years old.  Need to know if they’re employed, what other financial resources they might have.

That would be an excellent question to call in with at 844-220-0965.  We’ve got a lot of follow-up questions.  This is a simple — easier text questions even though it has a long answer.  This texter writes in if I want to retire before 65, what happens to my medical insurance? What are my options?  That’s a simple, under 160 character text question.

Can you say Obamacare?

You really have to consider that and a lot of people don’t think about that when they decide they’re going to retire.  Because, we can take Social Security at age 62, so a lot of people focus on that and that brings up a lot of issues as to whether you want to take Social Security early.  But, from a health insurance standpoint, you’ve got to look at the fact that you can’t go on Medicare until 65, so you’re going to have to cover that expense somehow between the time you retire and age 65.  And yes, as Joe pointed out the Affordable Care Act is still available.  If you’ve been employed, you leave your employment, you can go on COBRA, which is an extension of your employer’s health insurance plan for 18 months.  And I think maybe —

<Inaudible> for 36.



So, you might be able to bridge that gap a little bit.  COBRA can be a little bit expensive.  As well, it’s definitely going to be more expensive than probably what you’ve been paying.  If you —

You have to factor that in.


Because it can blow up your retirement plan.  As we were saying, the toughest cases that you and I and the other certified financial planner professionals at CFG work on are — that’s a mouthful.

Yes it is.

People have come in and made the decision to retire and now they want to do planning.  It was like starting out on the journey, and you’re going, and then you pull out the map.

To figure out you’re not headed in the right direction.

Yeah, or you don’t have enough gas in the tank.  And those are the toughest cases we work on because you have to tell them, you have to turn around and go back to Go <?> or make some major lifestyle changes.  And you want to know that before you pull that trigger because most people as they’re approaching retirement are generally in their prime earning years.  You’re getting the maximum income.  You’re contributing to your 401k.  You have your health insurance taken care of.  I can tell you that time and time again I have shown to clients the difference that it makes to work another 12 to 24 months.  You don’t see it immediately, but you see it in your out years in your 80s and in your early 90s, the difference that delaying retirement for a couple years makes as opposed to grabbing it now or grabbing your Social Security when you’re 62 and I want it now because I don’t think it’s going to be there.  Well, I’m not worried about that.  I’m worried about you running out of money.

And when I have younger clients, maybe lat 40s, early 50s that come in and visit and they are thinking a bit ahead, but they’re also wanting to retire early, I talk to them about the fact that their life expectancy potentially is 100.

That’s what I’m planning for.



Yeah.  So, if you think even if you retired at 60, you’re going to live on some kind of a fixed income for 40 years.  I always tell them that I hate to tell them this, but they’re probably going to work until they’re at least 70 and the closer you get to the ages that you used to think were old, they’re not so old anymore.

That’s correct, that’s correct.

So, we have to be realistic about our potential for living a long life and being able to comfortably have money to live a lifestyle that we would like to live.

Yeah, I’m planning to retire at 62, but expecting to work to 65 because that’s me.

There you go.

There you go.

Alright, 844-220-0965.  844-220-0965 is the number to call in and ask a question on the phone lines.  If you want to ask a question on the text line just like we’ve been answering in this last segment, 21232.  That’s 21232.  Right now it’s time to get the latest news, weather, and traffic with Dave Wall on the news <Lost Signal> it’s now time for the second half of On the Money with the Certified Financial Group here on News 96.5 WDBO.  We’ve got Judy Sanborn, Joe Bert the Oracle of Orlando, here in the studio taking your phone calls at 844-220-0965.  844-220-0965.  Joe, how did we come up with the Oracle of Orlando for you?

Well —

Do you remember that?

Well, I can tell you.  There was a listener — hope he’s still a listener — I believe the name was Anthony from Apopka.

He remembers the caller’s name.  I’m impressed.

He called in periodically.

Oh, okay.

And he called in all the time to speak to the Oracle of Orlando.  And it just kind of stuck.  And so I appreciated that and we have since trademarked it.  And it’s now — if you Google Oracle of Orlando, you will unfortunately find me.

Anthony in Apopka.

<Inaudible> speak to the Oracle of Orlando about retirement.

Anthony, once again, I appreciate the moniker and we’ve trademarked it and it’s now registered in the US patent office.  In fact, I don’t know if <Inaudible> the story, when we did that we got some pushback from <Inaudible> I remember that.

Oh no, I remember that.  That was awhile ago.

I think more of Warren Buffett when I think of that.

But, he’s the Oracle of Omaha.

I know he is.

<Inaudible> but Joe Bert is the Oracle of Orlando.  Known as the Triple O.

Well Oracle, what can we call you about today for the audience that may be joining for the first time.

Well, Judy and I are here to take any questions that you might have regarding your personal finances.  As we say, Monday through Friday we do this for a fee, but on Saturday mornings we do it for free.  And unfortunately people approach those retirement years as Judy has talked about in our earlier segment and don’t have any plans.  They really don’t know what they’re going to do with their lives and how to turn maybe those savings and investments that they’ve accumulated The savings and investments that they’ve accumulated in their IRAs or 401ks into a stream of income to supplement their Social Security, and how long will that money last, and what do they need to do now so they don’t look back five or ten years from and say gee, I wish I had known that.  Or gee, I’m sorry I did that.  And those are the toughest cases that we work on.  And that’s what financial planning is all about.  We charge a fee for those services because we’re not there to sell you something.  We’re not trying to sell you another life insurance policy or an annuity or whatever it might be.  We’re here to guide you along the way and to remove that cloud that might be hanging over your head.  Or job is to give you financial peace of mind so when you put your head on the pillow at night, you know that you’re going to be okay if you do this, and this, and that.  Now we can’t guarantee that, but at least we can show you the impact of what’s going on and what decision that you need to make because it’ll give you a high probability of getting there.  Then of course when we do the planning, we do what we call stress test it.  <Inaudible> looks at stress testing <Inaudible> looking at the probability of all of this happening, and we want to be sure that there’s a high probability of you reaching financial success.  So that’s what we do as financial planners, certified financial planner professionals, and as I said we charge a fee for that.  But we’re here now absolutely free.  So pick up the phone and dial these numbers.

844-220-0965.  844-220-0965.  You can also text us a question, 21232.  We self-employed we’ve got a couple of text questions in here.

Yes, and the top one is kind of relevant to some of what Joe just said.

Yeah, well you want to talk about that <Inaudible> okay.  I am 28 years old and currently contributing 15% to my 401k.  How much should I increase to retire at 65?

Well first of all, I commend this young person at 28 years old to be looking and contributing at his 401k or her 401k.  And thinking ahead to age 65, because I can remember when I was in my 20s, I thought if you were 65 you were probably dying, right?

Well <Inaudible> now we’ll talk about that age <Inaudible> psychological <Inaudible>.  Let’s get this question in —

But I think if you’re contributing 15%, that’s pretty significant.  And we’ll make an assumption that some portion of that is being matched by this person’s employer.  So I’m not sure that you necessarily have to increase.  It would be difficult off of the top of our heads to tell you how much you have to save in order to be able to retire at 65, so that’s something we encourage you to contact us.  We’re happy to give you some guidance in that area and perhaps look at your number.  And you know what, we have a workshop that’s What’s Your Number.  So you could come in and just attend the workshop.  You can go online to our website,, and look at that.  And at 28, I would think perhaps you would look at maybe owning your own home.  There’s some other things that you can do financially that will help you along the way to your retirement goal.

There’s a lot of variables that go into answering that question, because — what’s your lifestyle?  And between 28 and 65, got 37 years.

I want to have three Maseratis.

<Inaudible> well you have clients that might like to do that.  They have to factor all of that stuff in.  But as Judy said, this person is to be commended that number one, they’re using their 401k and they’re putting in 15%.  I can tell you if that they continue to do that they will be in very, very small percentage of people that retire with some security.  Because unfortunately most people don’t think about retirement until they’re in their 40s and sometimes their 50s, and sometimes their 60s.  So this person has a great asset, which is time.  Time is a tremendous asset.  The problem is we don’t appreciate it until it’s gone.  It’s like everything in life, you know.  We don’t enjoy it until it’s gone <Inaudible>.  That’s the way it is.  And as I was saying, here’s what I think is going on right now, why many people are retiring with difficult situations, is because they have not seen anybody — they haven’t seen their parents or perhaps their grandparents struggle in retirement.  I’m talking about the people that are in their 60s, and maybe in their 70s.  They hadn’t seen their parents <Inaudible> because their parents and grandparents did not have the social, the economic environment that we’re living in today.  <Inaudible> they retired, many of them worked for the same company for 30 years, had a pension, had a house paid for, didn’t have to use college expenses, didn’t have the big weddings, didn’t take the big trips.  And they were frugal, and they went through the Depression.  So they saved and they understood.  So these people that are retiring today, my Baby Boom generation is in for a rude awakening.  Because they had not seen what can happen.  Now their kids, if this person — perhaps they’re seeing their mother or father struggle and said my gosh I don’t want that happen to me.  Or seeing younger people in their office today because my generation, the Baby Boomers had screwed it up.

Yeah.  Joe, absolutely.


You see that, you see that it — with some of the younger employees we have here at the radio station.


They’re <Inaudible> I don’t know, I want to make sure I’ve got saving away — I mean savings accounts are going to have no interest rates.  I go yeah you’re right, it’s amazing how well versed and wanting to be informed in those situations.

Yes, yes.  Thank gosh.

But the Baby Boomers — I don’t know the statistic, I was trying to see if I had it.  But the majority I would say — 70% maybe of people who are retiring really don’t have the financial resources to retire and live a lifestyle that they would want to live.

Yes, yes.  Then the important thing is when we do planning we show them if you continue on this lifestyle, you’re going to be eating food <?> tacos when you’re 78 years old.

Yeah, <Inaudible>.

You need to know that when you’re 62 or 63 so you can scale back down.  And they don’t want to do that, right?  I mean, I shouldn’t say that, but many <Inaudible> it’s hard to make a lifestyle adjustment.  Just like dieting.  I mean you’ve got to understand — it’s like going to the doctor for the very first time.  You know you’re not well and you don’t want <Inaudible> but if you don’t go to the doctor and have that doctor prescribe something for you, you don’t <Inaudible>.

Yeah, no I’m done with the sloppy taco <Inaudible>.  That was my college days and I’m gone — no, no, no, no, no.

And I actually have had to recently recommend to a client that they go back to work, and that is really a discouraging thing for somebody to hear.

Part time, or —

You’re going to be better off if you go back to work.  Yeah, part time.

I say this now in my early 30s, but I’m always somebody who just has to have a part-time job.  Just something to do.  So I’ll take — again, I’m sure you have people that go no I want to plan but I also just — I’ll probably work 10 hours as week.

Absolutely <Inaudible>

Just something to do.

Yep, yep.

And we encourage that.

I have a successful business executive CEO, made a lot of money, and when he retired, you know what he wanted to do?  Go to Disney and drive the tram.

Hey.  You know I’ve always said I was going to retire and just be a greeter at Disney, that’s what I was going to do.  844-220-0965, 844-220-0965 is the number to jump in on the conversation if you have a question for Judy or Joe.  Kay in Leesburg has a question.  Kay, go ahead.  You’re on with the Certified Financial Group here on WDBO.

Good morning, Kay.

Hi.  I have a question about US savings bonds.


Probably a <Inaudible>.


I have a mother who died and had a US savings bond in her name.  I believe it’s and/or my sister’s name, and both of them have since died.  I have possession of them.  Is there anything you can do to tell me what to do with them?  There’s probably only $200 or $300 worth of them.

See, the problem —

Well I think you can go to the <Inaudible>

The problem is this is a probate asset.  I mean we’ve got a problem here.

But it’s small.

Yeah, it’s small, sure <Inaudible>

Well there was no — well my mother had a will but that is over and done.  My sister died without a will and technically they were then <Inaudible> my sister’s.  And so I don’t know what to do with them.


I do have a copy of their death certificates.

I don’t know how you transfer that.

Well I think the first thing is they are as Joe indicated a probatable asset, meaning because there’s not a will you have to file with the probate court.  But there is an abbreviated way of doing that when it’s a small amount of money.  So I would encourage you to perhaps contact an estate planning attorney.

But you know the fee to do that is going to be more than the one she’s going to get the $200 from, and —



But you can also go directly to the probate office in the courthouse and they may have a form that you’re going to be able to fill out.  And then you might go online because there is a website for the US savings bonds.  You may be able to ask that question and get an answer as to what is required.  There obviously the death certificate and where you might send it to start the process.  But if you’re talking about that much money, even if —

<Inaudible> $300.

Alright, but you’re going to have to pay taxes the gain on that.  So by the time you’re done paying taxes and running around, I would just <Inaudible>.

Yeah <Inaudible> I do have other US savings bonds, some of them are — there’s only two of them that are technically matured.


And the rest of them have either a 4% or a 1.6% interest on it.

Now are they I bonds?

No, EE.

EE bonds, okay.  Now those will stop paying the interest as well.

<Inaudible> are they in your name, or?

EE <sp?> bonds are something <Inaudible> I’m sorry <Inaudible>, yes.


EE bonds are still paying interest, go ahead.  Yes, go ahead, your question is?

They should be paying interest <Inaudible> 30 years is my understanding.

That’s right, that’s right.

Would I cash in the 1% over the 4% even though the 4% might be matured quicker?

Well do you need the money?


Okay.  Well think of it as an emergency fund.  If you don’t need the money have it sit it there, because when you do cash it in you’ll have to pay taxes on whatever gain that you have on it.  So if you don’t need the money or if you don’t have a better place to invest it with a higher rate of return, then I would leave it where it is and ride it out to maturity.  1% is about what you’ll get in a savings account today or a CD.  So you can think of it kind of as your emergency money, if you will.

Okay.  Is it better to use them over like an annuity or a — which one would I use first, those, or would I use some of my annuity money if I need that?

Well, you’re going to pay less taxes — well first of all, the annuity should be paying more than 1%.  Secondly, when cash in the savings bond you’ll only pay taxes on the gain, whereas any money that you take out of the annuity up until your cost basis can be fully taxable to you.  So I would probably use the savings bonds first.

Oh, very good.  That was very helpful.



Thank you <Inaudible>.

Good luck with that $200, $300 savings bond.  That’s a — yeah, that’s a shame.


But she has to be able to get it in her name and cash it in, but unfortunate it’s probatable.  And I want to clear up something, she said she didn’t have a will.  Well a will doesn’t avoid probate, a will is really what tells the probate judge what to do with your assets so that would go through probate anyway.  But it was be an abbreviate probate.

Right <Inaudible> there’s no will.  <Inaudible>.  I’m not the expert.

Alright, Kay.  Thanks so much for joining us here on the radio show today.  If you would like a line, it’s 844-220-0965.  844-220-0965.  We have been planning tomorrow —


With the Certified Financial Group here on News 965 WDBO.  Time to get the three big things you need to know.

Welcome back, it is the final segment of On the Money with the Certified Financial Group, Joe Berg, Judy Sandborn here live in the studio, taking your phone calls at 844-220-0965.  844-220-0965.  And the text machine is up and running as well, 21232.  Before we got to the three big things, we got a caller, I believe she was from Leesburg, Kay, about savings bonds, and you actually haven’t answered <Inaudible> we didn’t have <Inaudible>.

There’s one thing we hate to do is not have an answer.

Oh no.

<Inaudible> research team this morning has found the answer.

Yeah, Joe Berg and his phone.

With the help of <Inaudible>

Got right on the computer and started digging through his — now he does bring in binders and notebooks here, he has plenty of resources but he <Inaudible>.

You can beat an iPhone.  Here’s what I suggest you do, Kay.  Google this phrase: How do I transfer savings bonds?  And up will pot an answer for you that you have to file form FS-5336 and sign the form in the present of a certifying official as explained on the form, pack up the bond, and send it off to US Treasury along with proof of death.  That will get you started.  So first thing I want you to do is go to Google, how do I transfer a savings bond, and your answer will be found right there.  <Inaudible> saved you a trip down to the courthouse.

<Inaudible> had to be something relatively easy.

There you go, there we go.

Everything else is easy today, why can’t that be?

That’s right.

A couple of texts in here at 21232.  First one: I’m getting ready to retire, I have three properties including my home that are paid off.  I want to liquidate, what’s the best way not to pay a huge tax?

That’s a really hard question without more information.  The text questions are a little bit difficult because we don’t have the interaction with the person who’s asking.

These are what we call phone call questions at 844-220-0965, even though we are running out of time.

But quickly I think the person has to look at what kind of gain they have in these investment properties because whatever they sell they’re going to owe capital gain taxes on that gain.  So if you’re trying to minimize taxes then obviously you wouldn’t sell them all in the same year.  You would spread that out and you would have to look at your other tax liabilities and see how much you’re going to be adding to your tax liability that year.

A way to avoid taxes is to do what’s called a 1031 exchange which might be — but then this person wants to get out of the rental business.  1031 exchange simply allows you to defer the taxes by buying another lifetime property, another investment property.  Doesn’t have to be an apartment if you’re selling an apartment.  It just has to be investment property.  That’s one option.  Option two is they could put it into a charitable trust.  A charitable trust will take that property, sell the property, avoid all of the taxes, and turn it into a lifetime stream of income for you and/or your beneficiaries.  So it’s a way to avoid taxes 100% and get income.  So depending on the situation, there are some alternatives, but without know the details, it’s hard to give you specifics.

<Inaudible> ideas.

Thank you.

Another quick text in here.  I’m retired with 200,000 in a money market account in 0.3% interest.  200,000+ into the 401k, owes 125,000 on the mortgage.  Is at 4.2%, so the question is should I pay <Inaudible> or is there — invest to make enough money to cover payments and make money?  That was a text question, and <Inaudible> — I mean he used his characters very well, <Inaudible>.

He did, right, whoever <Inaudible>

Or she, yes.  Or she, yes.

Alright.  Well I think first of all the consideration would be if you pay off your home, if you’re getting a tax deduction for the interest on your home and that’s beneficial to you, then you might not want to pay off your home.  Depends on how old you are and how close to retirement you are.  And 200,000 in a money market account, I think you’d need to look at is that money that you’re going to need in the short-term or is part of that money perhaps you could invest to your comfort level and something that’s going to pay you more than 3/10 of 1%.  401k, I encourage you to keep doing that.

Here’s what I want that person to do is they pay off that mortgage, is to take that mortgage payment and reinvest it every month to rebuild up that nest egg.  So you’re killing the 4.2% mortgage and sacrificing the 1% you’re getting the savings account, it’s not a bad trade-off.  But I don’t want to give up the liquidity.  So if you have the ability to make that mortgage payment, continue to make that mortgage payment, dollar cost average into a mutual fund and over time you’ll be in great shape.


What do you think?

I think that’s a good alternative.

Alright, there you go.

Alright <Inaudible>.

More information.

<Inaudible> the Certified Financial Group., our upcoming workshops.  You can find out all you want about there, you can see our smiling faces and make an appointment if you like.  <Inaudible> see you in the office.

Just go by and say hi, they’re great people.  Everybody there is amazing.  Alright, that’s going to do it for this week’s edition of On the Money, we’ll be back here next Saturday, 9:00am with the oracle of Orlando, Joe Berg and another great member of the certified financial planner, the Certified Financial Group.  Stay tuned for the latest news, weather, and traffic right now on News 965

Dictation made on 10/6/2017 5:22 PM EDT.

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