On The Money Transcript 3/2/18

Hello everybody, welcome to another edition of On The Money with the Certified Financial Group here on News 96-5 WPBO, we’ve got the Oracle of Orlando, Joe Berk, alongside Harry Stettlemeyer here from the Certified Financial Group ready to answer your phone calls at 844-220-0965. Good morning, gentleman!

Good morning, Kyle!

How are you guys today?

A little chilly, baby!



Looks like we’ve reverted back to fall.

You’re about my threshold, that’s beneath my threshold.

I think you’re right on the line, right, 60s, low 60s?


That’s where we are right now.

What’s happens if it’s 50?

This morning when I got the paper it was not good. Got a pretty picture.

It’s March.

Yeah, it is!

So which means, what does March mean, Harry?

March Madness is what I think of.

But not only on the basketball court! It’s also on the golf course.

Oh man, see what happens when you’re not quite as involved?

Yeah, the Art of Palmer Invitational not next week, starts actually the week of the 12th to the 19th, and as many listeners know, I was a general chairman of that, involved in that tournament for 20+ years.

Chief potency.

Yeah, chief donut server. But yeah, a little good news yesterday, Tiger decided to come back after a little stint away, so he hadn’t been there since 2013. Somebody asked me the last time Tiger and Arnold actually hugged, shook hands, whatever. Was that on the green, because he won in 2013? Was that on the green?

That was the one that got pushed to Monday.

I believe it was the Monday deal, yeah. I don’t know the answer to that, but it could very well be that was the last time that Tiger and Arnold actually met face-to-face.

So real quick, to give them a plug, how do they get tickets?

Tickets, Arnold Palmer Invitational.com. Go to arnoldpalmerinvitational.com. I encourage you to do it really quick, the needle has been moved by Tiger announcing that he’s coming and hopefully we have weather like this. It should be a great week. A lot of activities, Arnie’s Army Foundation. There’s a way to give to that, really does some neat things in the community, and certainly everything also does help the Winny and the Arnold Palmer Hospitals, which is what it’s all about.

We have Mr. Stettlemeyer here, 25 years, and last year the chief — no, was it last year?

Two years.

Two years, chief potent head, ran the whole operation, started out handing out donuts in the parking lot and worked his way up, just shows you the cream rises to the top!

Work hard. Amen.

We’re not here to talk about this morning, we’re here to talk about your personal finances, right guys?

That’s it, absolutely, what else could we talk about?

Anything that’s on your mind regarding your personal finances. As we say, we go through life trying some of this, trying some of that, wake up at 55 years old, stare across the kitchen table at Loretta and say Loretta, honey, that paycheck is going to stop one of these days, how are we going to turn it into income, what do we need to do to take that 401k, that IRA and enjoy as they say those golden years? So what do we need to do when it revolves around questions that you might have regarding stocks and bonds and mutual funds and real estate? Long-term healthcare, IRAs, annuities, life insurance, reverse mortgages, all that and more, we are here to take your calls. By the way this is the only show in central Florida that is staffed strictly, solely, by certified financial planner professionals. Everybody else are wannabes, we are here, the actual real deal. So if you have any questions about any of those topics that are on your mind, the good news for you is the lines are absolutely wide open, we are live this morning! There’s not a best of show, right Harry?

That is live.

in the house.

I can’t remember the last time you guys take a day off.

We never have. By the way, next week is our annual shred event at our office, so we promote this.

So you’re taking the day off?

This is open — no, we’re going to be there. In fact, we’re doing a two hour extravaganza next week from our office from 9:00 to 11:00am, we’ll be broadcasting live from our parking lot. This is open to the general public for you to bring those items that you’ve been saving all year long with your Social Security number and personal private information that you don’t want to get in the hands of criminals, so bring them by our office, two banker’s boxes, you will see it shredded right before your very eyes in a commercial shredding truck. Come by, we’ll get donuts. You can also register to win two free tickets to the upcoming Springs Concert that we are the proud sponsors of for the seventh consecutive year, this year featuring the music of Sting and The Police, and you can come by and register for tickets for that. So it’s 9:00 to 11:00 our office in Eltemon Springs, right there on Douglas Avenue. You can go to our website for a quick and easy find the map, that’s financialgroup.com. It’s financialgroup.com. So once again, we’re here to answer your questions. We are your financial body shop. Harry and I have the Bondo out this morning to patch those rust bumps. Do you know what Bondo is, Harry?

I do, I’ve actually used it.

You’ve used it, there you go. On your golf clubs?

No, on my Volkswagen.

Yes, to keep the floorboard on.

There you go, there you go. So we are here, your financial body shop to take those dings and scratches out of your personal financial life, and the good news for you, as I said, there is absolutely nobody in line. If you have anything that’s been on your mind about personal finances, questions that you might have, pick up the phone and dial these magic numbers.

844-220-0965. That’s 844-220-0965. We also have the text machine up and running as well. 212-32. Keep it about 160 characters because that’s all we can see on our screen. I know a lot of people like to text in some times and then the question gets cut off. 160 characters, please, to 212-32. It takes a lot of detail, that’s what the phone line is for. 844-220-0965. Alright Harry, today’s topic: Beware the IRS is looking for these top red flags this tax season.

It is tax time, and it’s the time where people start gathering all their stuff, if you will, and they start either going to someone to help them or they decide maybe they want to tackle this by themselves. I was once asked what are the odds or chances of being audited? I’m not sure why I was asked that, and I didn’t ask. But, the good news is that only in 2017 — only 1% of the general public was audited. They anticipate it may be approximately the same amount this year, but it is done by a random program computer.

Like the lottery, it’s your lucky number.

Pretty much, it’s your lucky — the number comes up and they want to know a little bit about your tax return. Now, there are some red flags that they do in fact look for. So even though you may not be one of the lucky ones to be randomly chosen, if you have these four and they stand out to the IRS, there’s a real good chance you may get a letter. By the way, the IRS does not call you, okay. There are scams going on right now that they’re saying oh, the IRS says you —

Have you gotten the call?

I have, yes.

How about you, Kyle? Have you gotten the fake call?

You know, every time I get a number on my phone that I don’t recognize, I don’t answer it anymore.

I actually had a client that got the call and unfortunately gave them a Social Security number.

Oh. Oh no.

Yeah, so we had to go there. Anyway, so in essence, here are the four. If you turn in — if you’re the most gracious person in America, if all of a sudden you earned 120,000 and 70,000 of it went to charitable contributions, there’s a good chance you’re going to get a letter.

That’s true, yep.

If you’re claiming losses for your beloved hobby. So, if I decide that I wanted to deduct my losses on my golf game, and they total $30,000, $40,000, $50,000, there’s a good chance that you’re going to get that letter. Here’s a big one for some of our listeners.

But you were doing research on how to join the PGA Tour!

I don’t think they’ll buy that.

Oh, that’s right.

Then, also there’s a difference between a business and a hobby. You have to determine that. Withdrawing from your retirement account early. So you folks that are out there and you’re 50, 52, 53, you’re looking at this big nest egg, you maybe have an IRA and you decide you want to take a withdrawal, you better make sure that you let the IRS know that you we’re under the age of –in some cases 55 and separate from service, or 59 and a half, which are kind of the magic numbers, because they will know. They will know that you, in fact, pulled out some money. Anyway, those are some of the red flags that you want to be careful of, because those will trigger or potentially could trigger the letter from the IRS.


Got to be careful.

Interestingly enough, yes. Alright, 844-220-0965. 844-220-0965, or you could text it to 212-32. Any question you may have for Joe or Harry. A lot of interesting tax questions coming in this time of year, I know it’s on everybody’s mind. I know everybody is thinking about that. Just to remind everybody, what are the ages that you would not be able to take out money without getting a penalty for 401ks? It’s very common that we get questions in here about people asking what they are, so I remind everybody.

Well if you have a 401k plan at work, and your employer’s 401k plan document states that you can in fact take a loan from a 401k, many plans have that in place, Joe, where you can go in and get a loan. First time home buyers can pull out money without the penalty.

It’ll be taxable.

Be taxable, right.

Be careful there.

And if you separate from service after age 55 in a 401k you’re not subject to the 10%, but you’ve got the tax.


Then there’s this little caveat that I’ve had some clients decide to take advantage of, and that is pulling money out of an IRA and then putting it back within the 60 day period, but you have to be careful. You can only do that one time per year, so that is another way that you could access your retirement plans. But again, it should not be handled or used as a bank account, Joe. This is

Anyway, there is a way to take money out of your IRA before 59 and a half without a penalty.



Now we start getting into some calculations, but there is a way of doing that. In essence, the younger you are, it’s a way of in essence annuitizing your IRA, if you will, annuitizing meaning that you’ll start receiving a check for life and obviously the younger you are the less that check becomes.

Avoid the penalty, but you don’t avoid the tax.


There are some ways, strategic ways, and that’s what we do at Certified Financial Group all day long.

Alright, well we’ve got a couple of calls here on the phone line at 844-220-0965. We’ll kick today’s show off with Tommy in Orlando. Tommy, you’re on with the Certified Financial Group here on WDBO.

Good morning Tommy.

Hi, good morning gentlemen, how’s everyone doing?


Thanks for calling, how can we help you?

Well, I am in the process of purchasing a new primary residence out of state, and have not yet put my current primary residence on the market. So, I’m trying to cash flow the whole thing, and in order to do so I am liquid cash short a decent amount, about 50,000. I have more than that in company stock. Can I liquidate company stock to purchase a house and return the funds to a qualified account, without any penalty?

The company stock is in your 401k?


Okay, and the short answer is no.

Well, okay.

You can — you want to hear —

What do you recommend?

Well here is — as Harry said in the opening, you perhaps can borrow from your 401k, up to — the lesser of $50,000 of your vested balance.

Yeah, and my actual 401k portion, I don’t have enough — because it’s 50% of the balance that I can borrow, correct?

The lesser of 50% of your vested portion, or $50,000. Now —

So that’s 401k — sorry.

Well, but your stock is in your 401k plan. I have a feeling it may not be, it might be a stock option plan of some sort that’s maybe not in the qualified plan?

Is it in your 401k?

Is that right Tommy?

It’s — well, the 401k is managed by a different company that manages the stock investment, and it’s handled as two separate entities. It’s an out of country company, so the stock is actually a Canadian stock.


I don’t know if that matters, but it does when I’m figuring what the value is, I’ll tell you what.

I’m trying to determine what kind of plan that it would be. Maybe an ESOP, does that ring a bell to you? Are you — let me back up here. Are you buying the stock, when you buy it, the money comes out of your paycheck to do that?

Correct. Pre-tax.

Okay, pre-tax, there we go.

There you go. Alright. I don’t know that you can do that in the — without knowing the particulars of that plan, Tommy, I’d be remiss to tell you.

I think what you might want to look at doing, Tommy, is just call your human resources department, because again, every plan can be set up a little differently. In theory, I’m not sure the 50,000 number may happen, but you may get close. But again, you also may have some restrictions on the stock and being able to sell the stock. There could be some restrictions there and you may only be able to access the 401k part of it.

So how about this, in my equity in my home, and I don’t know that you do real estate at all, but I’ve got more than enough to cover it.

Yeah, that’s where I was going.

until the house sells.

Yeah, that’s where I was going.


Yeah, I’d do that in a heartbeat.

So, how would you float the difference?

Well, you do the home equity loan for whatever you need on the down payment on the new place, then when you sell your existing home you pay off the first mortgage and the home equity loan.

Okay, and that’s okay to do that, that’s allowable?

Well, sure.

I’ve been told you can’t take a home equity to buy another home.

Oh no, you can take a home equity to do anything.

Okay, great.

No, you can do it.

The easy way of doing it, and low cost.

Now, under the new tax law you’re not going to get a tax deduction for the interest on a home equity loan.


But that’s going to be a short —

Well, yeah, I only need it for a month or whatever.

Yeah, short-term deal.

I would Monday morning go to your bank and set it up. That’s the easy way to do it.

Okay. Alright, wonderful. I appreciate the help guys, thank you.

Have a great weekend.


Thank you.

Alright Tommy, thanks so much for the phone call. If you want Tommy’s line it’s 844-220-0965. That’s 844-220-0965. We are planning tomorrow —


With Joe Berk and Harry Stettlemeyer from the Certified Financial Group, right now we’ve paused to give 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’s ask the experts weekend. We are here with Joe Berk and Harry Stettlemeyer from the Certified Financial Group, taking your phone calls at 844-220-0965, that is 844-220-0965. We are three minutes away from the latest news, weather and traffic, so I want to get right back to our busy phone lines. Talk to Josh in Clearmont. Josh, you’re on with Joe and Harry. Good morning!


Morning Josh.

Hey, good morning guys, how’s it going?

Alright, what’s up?


Hey, I have a question. Me and my wife are cleaning up our accounts and we have sort of a surplus monthly to reinvest. We have 401ks and Roth IRAs already, but we want to see what you guys would recommend to invest in. It’s like $200 to $300 extra a month, nothing major, but we’re looking to maybe reinvest with something or maybe cryptocurrency or —



Joe, get off the floor, Joe, get up.

Go ahead.

I mean everybody’s thinking about that, but that’s not an investment, that’s speculation.

No, don’t.

I call it electronic Beanie Babies, but go ahead.

Yeah, so, I mean we don’t have enough to do some big major investments or buying some big stocks, but we’d like to let that money go to use and not keep putting it in a savings account making no interest.

Okay, here’s the question. How old are you?


42, your wife is the same age or close?


You both have retirement plans at work?


How much are you contributing every year to your retirement plan?

This year about 13% per paycheck.

Which, what’s that come to annually, roughly?

I think last year I think it was like — it was like $600 under the max.

Okay, and your wife —

It’s like 15 .

Your wife the same thing?

She’s close, she’s close. I’m the breadwinner.

Oh, you better not tell her that like that. Alright, here’s the deal. What you want to do is you want to put and max out your 401k. At your age, the maximum you can put into the plan is $18,500 per year. Whatever you put in there is going to get a tax deduction, so you’re going to get immediate benefit because you’ll be taxes now here in April and say gee, we’d like to have some more tax deductions. You’re going to get a sweet, easy, simple, simple tax deduction for the money that you’re going to put in the 401k, as will your wife. So what you want to do is tap out the 401k, and look at what you’re putting in, what you put in last year. Look at how short you were, and chances are between the two of you that couple hundred bucks a month you can slide in that 401k and get the tax deduction. Harry?

Josh, I want to backtrack though. You’re 42, do you have any debt?

Oh, yeah, we have debt. I think everybody out there —

Oh, time out, put it in reverse. Credit card debt, how much?

I’d say about 14,000.

Okay, before you do any investing, kill it. I will assure you that the interest that you’re paying on that 14,000 eats up your $200 or $300 that you have leftover. Get that — kill it, and then let’s start talking about investing, because you’re going backwards.

Harry’s 100% right, Josh. Kill the credit card, do plastic surgery and get rid of it.

I mean, you could be paying up to $1,400 a year in interest, perhaps.

Erase it.

Josh, thanks so much for the phone call. We’ll get you a private call if you think you need some more time, live. This is On The Money with the Certified Financial Group, if you want to give us a call it’s 844-220-0965. That is 844-220-0965. Time for news, here’s Dave Wall.

Hey, welcome back to the On The Money with the Certified Financial Group here on News 96-5 WDBO’s ask the experts weekend. We are here with the Oracle of Orlando, Joe Berk, alongside Harry Stettlemeyer from the Certified Financial Group, answering your phone calls at 844-220-0965. That is 844-220-0965. Before we get back to your great questions, Joe, why are we listening to The Police?

We are listening to The Police because on April 28th for the seventh consecutive year, Certified Financial Group is proud to be hosting or sponsoring, be the lead sponsor, if you will, for the annual Springs Concert at the springs community in Longwood. This year featuring the music of Sting and The Police backed up by the full complement of the Orlando Philharmonic. In times past, before we got involved, I used to think it was the Philharmonic, which plays wonderful music, but the beauty of this is is we bring in a tribute band that does the actual music of Sting and The Police backed up by Of staying in the police backed up by the Philharmonics. It’s a beautiful night, right Harry?

Yes, we’ve been very fortunate the last, what, six years?


Beautiful night under the stars. You bring a little picnic basket and a blanket or bring your chairs —

Adult beverage, sit around the Springs, kick back under the stars and listen to some great music. If you want more information, simply go to our website. That’s financialgroup.com. Financialgroup.com, click on the menu, bring down events, workshops and events, and you can find all the information right there and you can get tickets and you can also register for free tickets. There, we’re giving away a couple of tickets in conjunction with our shred event next Saturday morning. We’ll be broadcasting live from our office in Altamonte Springs right there on Douglas Avenue from 9:00 to 11:00, we’ll be broadcasting. You’re welcome to bring two bankers boxes and you’ll see your private information shredded right before your very eyes. For more information once again, go to our website. You can click on events and workshops to get more details there. And also, Gary Abely has an event coming up when Harry?

April 7. Everything you wanted to know about mutual funds. It’s a really kind of an overview of how does a mutual fund really work. We talked about mutual funds all the time but if you’re really wanting to understand what that’s all about, that would be April 7 in our office. Again, you can find that on our website and register on our website as well.

Yeah, it’s very helpful —

Good information.

People have mutual funds in their 401ks, IRAs. Really people don’t really understand how they work, what to look for, pros and cons, and all that stuff. Harry is going to cover all that. Once again on our website financialgroup.com, click on workshops and events, and it’s all the information you need.

Alright, fantastic, let’s get back to our busy phone lines. Here, again the number if you want to join them 844-220-0965. That is 844-220-0965. Jeff in Orlando, Jeff here in the Certified Financial Group here on WDBO.

Good morning Jeff.

Good morning.

Hi Jeff, what’s up?

I had a question. My daughter had a part time job last year and she did have some earned income. Are there any restrictions of her opening up a Roth IRA if she’s still a dependent of mine?

The answer is you may open a Roth for her. As long as she had some income, you can put aside into the Roth no more than 5,500 if it was more than 5,500 but you can put — you can contribute to her Roth up to the amount that she had earned. If she had some babysitting or you said she had some earned income, you may contribute to the Roth. As you know, it’s not deductible but certainly somewhere down the road assuming tax laws don’t change, she’ll be able to pull that money out tax-free ideally.

Thank you very much.

Yeah, alright Jeff, thanks for the call. A lot of people are doing that for the youngsters.


Get them started early. Get that money over time, baby. That’s really going to grow.

They didn’t have that back when —


When I was mowing lawns.

You’ve got that right, yep, yep.

I had a savings account with a minimum and a 2% interest rate.


844-220-0965 is the number if you want to join in on the conversation today. 844-220-0965. Do we want to address the hardship question about the 401k?

We do.

We’ve got a caller on the hold but unfortunately they dropped off during the latest news, weather, and traffic, but we do want to address —

My daughter flew in this past week. When she was flying into Orlando, she was amazed of how many blue tarps still are out there. The reason being is because many people don’t have the deductible amount to pay for the — to cover the insurance.


One thing that you may want to consider if this is maybe your last resort is what Harry?

The hardship.

Hardship out of your 401k plan.

Hire your 401k. However, you need to be aware that a lot of times during commercial breaks, we do some research and we were researching hardship. There are some rules. In fact, you still have to pay the penalty. You cannot contribute to the plan for six months. And you still have to pay the 10% penalty.

Yeah, it’s a penalty in the tax.

On the taxes, yes. There are some restrictions of doing that. A better route might be taking a loan but certainly the hardship is an opportunity for you to maybe pull out some money that you might need. Going back to the previous caller, if you have some equity in the home, maybe you might want to look at doing some of that.

Get her done.

Alright, let’s get back to our phone lines here talk to David in Orlando. David, you’re on with the Certified Financial Group here on WDBO.

David, good morning.

Good morning. I’m a member of the thrift savings plan with the federal government. I’m retired and I’m receiving, besides the required minimum distribution, I’m having to take out a certain amount based on my age every month which I really don’t need. I understand that congress had passed a bill that would allow you to reinvest in the thrift savings program but it’s not been enacted yet. Is that true?

I am not aware of that David.

Yeah, there was a bill passed in congress back in November or something. But I didn’t get the particulars of it as to when in fact that would go into effect.

You know, you say it was passed in November. That’s when the new tax law came into effect. It may be a provision in there but I’m not familiar with it.

David, you’re telling us that on and above your required minimum distribution, you need to pull additional dollars out of the plan?

Yes, you either have to take a single payment or a monthly payment or I think you could also invest in an annuity, but you can’t supposedly keep the money in there. Now they’re saying that you have to take it out, pay the taxes, but then you can reinvest in one of their many different —

Right, it wouldn’t be within the plan. It wouldn’t grow, necessarily, on a tax deferred basis but it allows you to keep your money invested as opposed to dumping into a checking account or something.

Yeah, assuming that — yeah, you enjoyed or had good results on one of the many different types of —


I didn’t know if you knew about that or not.

No, you know, we’re going to do some research here at the break and stay tuned, if we find something, we’ll let you know. This is the first time anybody has brought that to our attention. There’s a lot of provisions in that tax law that still have to be worked out and it might be buried in there somewhere. We’ll do some research and if you stay tuned, if we have an answer for you before the top of the hour, we’ll let you know.

I have one other question. I’ve often heard of exchange-traded funds and I really don’t know anything about them, what the advantages, disadvantages are.


Can you illuminate me?

Sure, an exchange-traded fund is a hybrid. It’s kind of like an individual stock as well as a mutual fund. By being like a mutual fund, what it is is an investment that holds investments in many different stocks and/or bonds. However, it’s traded daily. It’s traded — you can buy and sell it in the same day as opposed to a mutual fund, which if you want to sell it, you’re going to sell it at the close of business at 4:00 on that particular day. You can put stop losses on it, which means that if you can set a certain limit, if it goes down to that limit, you’ll automatically be sold out. However, my rap against them is that they’re not —

Actively managed.

Yes they’re not actively managed and there’s many that — they’ve become the new play thing if you will of the investment world and they’ve been — there’s many differently varieties and a lot of advisors suggest that you use only ETFs but they don’t really have a long track record. In my mind, in many cases, they’re a gimmick. Unless you buy one that tracks a specific index that’s well known like the S&P 500 but to go off in some of these esoteric ETFs, I think you’re speculating and that’s not what investing is all about.

Many people will —

Can you short them?

Yes. Yes.

They do, okay.

Many people will use that as a tool — the problem there is you’re almost sector picking. If you get too heavy in say industrials or get too heavy into technology, it can come back to bite you if that happens to be a sector that doesn’t do well. You have to be careful when putting that together —

Well you’re not keen on them is what you’re saying.

Well you know, funny thing is —

I use them.



But like Harry says, what you don’t want to do is focus on a specific sector because then you’re really gambling. If you use it as broad index like something that tracks the S&P 500, the only negative there like an indexed fund is they’re not managed. When the market takes a correction, you’re riding it down.


Unless you put a limit loss order on it and that’s a way to protect yourself on the downside to some degree.

So it’s an investment you have to be cognizant of.

Yeah, it’s like a stock. It’s like an individual stock.


Okay, well —

Two things —

Thanks for the great help. I appreciate it.

You’re welcome.

Okay, we appreciate your call.

Also, just typically they have less holdings than a mutual fund. Your mutual funds typically might hold 150-160 different stocks or bonds or more. Typically you’ll see an ETF with much lower holdings in the portfolio.

And they are lower cost and they’re tax efficient. that’s another benefit to it.

Well David, thanks so much for the phone call. We appreciate it. If you want David’s line, it’s 844-220-0965. That is 844-220-0965. Text machine is up and running as well 21232. We’ll get to some of those text questions in just a moment. Paul of the Villages. Paul, you’re on with the Certified Financial Group here on WDBO.

Paul of the Villages, how are you?

Yeah, thank you. I’ve got two questions. First is an easy one maybe. Is it safe to keep over 500,000 in a credit union?

I think your protection is a $250,000 per account.

Well they told me — it’s my wife and I, a trust —


It’s 500.

Yeah, there you go.

They say they got an extra 250,000 through that to another company. Do you —

Ah, I can’t speak to the credit union. I have absolutely no idea what they have. If that’s what they tell you they have, I could get it in writing, I think you’re going to be okay.

Listen, my second question is more complicated. An L bond of GWG where they buy high end insurance policies and then of course they make — at a discounted price and then they make the payments until the person dies and then they of course collect the insurance. You get some pretty good interest rates. For five years, you get up to 8%. You’ve got to invest at least 25,000. Are you familiar with those type of investments?

We’re both sighing. You know what Paul, I have — I believe they’ve actually been in our office, the GWG people if I remember. And explained the program to us. I can’t really speak to it so I won’t. But I do have a little bit of knowledge and I think for one reason or another, I chose not to use it in my client’s or. But Joe might be able to —

Paul, general rule of thumb is high reward, high risk.


That’s where you’ve got to be careful of. I wouldn’t go out too many years on that. I’m not saying any disparaging things about the particular company. Any time that anybody offers you an above average rate of return from the market, that oft also ties in the word guaranteed, then I become a little nervous. Just rule of thumb, rule of caution. Enjoy it while you can but be careful.

My investment advisor in Missouri is wanting me to invest in them. Again, to me it’s kind of like a Pawnsy scheme. They use your money to —

Pay others.

Pay others and then you’re left I guess if it’s this person’s dying time, you get —

Right. Right.

Anyway, thank you a lot for the information.

Alright Paul, thanks for the call.

You’re welcome.

Have a good weekend.

Alright, Paul in Orlando, appreciate it. If you want Paul’s line, it’s 844-220-0965. That is 844-220-0965. We have been planning tomorrow today with Joe Byrd and Harry Stetomyer from the Certified Financial Group. Right now, three big things you need to know.

Hi, welcome back, this is On The Money with the Certified Financial Group and it is the final segment. It’s your last chance to get your question answered 844-220-0965. Or 21232 on the text question. Because we are four minutes away from weather and traffic, I want to get right to this. We do have a correction we want to talk about. In the 401k hardship in the hurricane stipulations.

Yes, we had mentioned earlier about — gave some guidelines and we have found out with our crack research team here, Rodney, our newest CFP, that this — we were a little off with new legislation. Again, this applies not to hardship but strictly to hurricane only that you can pull out up to $100,000. The 10% is waived and actually if you don’t pay it back into the plan, you have three years to pay the tax. There are some stipulations. Again, this is not hardship withdrawals. This is hurricane only for Irma or whatever they were —


Harvey and Maria. Yep, there we go. Anyway. We wanted to update because we want to make sure the information going over the airwaves is accurate.

Alright, okay.

Alright, we’ve got a couple of text questions 21232 we want to get to before we get out of here. Any recommendation on a software or tool that consolidates all funds from multiple sources into one at-a-glance tool?

One of the things people use is Mint.


As in Peppermint, only Mint.com. That will do it for you. One of the things that we are considering as a firm is to have the ability to do that for our clients, everything in one place. We’re looking at various platforms with which to do that. A lot of people want to be able to press a button and get a consolidated statement on everything they own. Mint.com is something you may want to consider in the interim.

Alrighty, we’ve got another text question here 21232. What’s the better option to put lump sum pension for brother after I pass away, annuity or IRA or savings, etc?

What’s this? What’s better way to put lump sum?

What’s the better option to put —

Lump sum, first of all, I don’t believe you’re able — if he took a lump sum pension, that means that he took a payout.

But what’s it for a brother? I don’t get that.

After he passes away.

leave it.

I’m assuming he wants to leave it for his brother .

Ah, I got it. Okay.

But I think if you take a lump sum pension, you can’t contribute it — you can’t take that money, put it back into an IRA. If you’ve taken a lump sum distribution of your pension, you received a big check. You can’t take that, put that back into an IRA.

No, but what you can do is you can take that lump sum, roll it into an IRA, name your brother the beneficiary, and then do a stretch IRA on the IRA you just got the money from on the pension. You follow what I’m saying? Take the pension money while he’s still living, take the pension money, roll it into an IRA.


The lump sum pension, roll it into an IRA, and then name his brother the beneficiary of the IRA and then when this person passes away, the brother can then do a stretch on the new IRA.

However, if you check the box I want to lump sum —

Yeah, you can but you can roll it into an IRA. You can roll a pension — you can roll a pension to an IRA.


Yep. So that may be the option.

Aright, we’ve give or take about a minute left and we are broadcasting from WDBO Studios here live like we are every Saturday 9:00. Next week, we will not be here in the studios. Why Joe?

Next week, we will be on the grounds of Certified Financial Group in Altamonte Springs from 9:00am to 11:00am. Actually, the shredding event is from 9:00 to 12:00 and we’ll be broadcasting live from 9:00 to 11:00. You can bring two banker’s boxes full of that private material stuff you want to see shredded right before your eyes and you can also register for two free tickets for the upcoming Springs concert on April 28 in the Springs Community. For more information, all you have to do is go to our website. That’s financialgroup.com. Financialgroup.com, click on events, and get all the information right there. We hope to see you there. We’ll have coffee, donuts, and tickets and shredding and what else, Harry? That’s it.


That’s it.

sounds good to me.

That’s correct.

And you can get more information on the upcoming workshop everything you ever wanted to know about a mutual fund April 7 once again at our office in Altamonte Springs. That one fills up fast. You can make a reservation right there on our website.

Also, Springs tickets are available, I believe, right?

Yep. Right there on our website financialgroup.com. Everything you need is right there.

Alright, that’s going to do it for this week’s edition with On The Money. We’ll see you next

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