Imagine Financial Security

07/02/2025

For the last 2 years, we have been using Holistiplan to help our clients uncover tax opportunities, something that is virtually impossible to do at big box financial firms (compliance, corporate bureaucracy, lack of expertise, and lack of proper service models).

It's been one of the biggest 'value-adds' to help with one of our core financial planning principles...

"Minimize your lifetime tax bill."

As a result of these discussions, we've had clients asking us over and over... "Are you going to offer TAX PREPARATION services?" (borderline begging us to).

Our answer has always been, "No, but perhaps someday."

Based on the demand for a "One-stop-shop" for Investment Management, Comprehensive Financial Planning, Tax Planning AND TAX PREP, it looks highly probable we are heading in that direction.

More to come on this very soon!

Happy Independence Day! 🇺🇸

06/13/2025

I've read several books by Dan Sullivan w/ the Strategic Coach over the years.

But, about 18 months ago, reading his book "The Gap and The Gain" hit me square in the chin 👊.

My main takeaway...

📏Successful people whom are goal oriented naturally tend to measure themselves against what they have not yet achieved (The Gap).

📈Folks who understand this concept can then make a conscious effort to measure themselves against how far they have come (The Gain).

As financial planners, we are SOO guilty of this.

❓What are you trying to accomplish with your money?
❓What is your vision for retirement?
❓What concerns do you have about future market events?

This then bleeds into our businesses and personal lives too.

🔭Where do I want my business to be in the future?
🤔How many families do we want to serve?
💰How much value can we add to our clients in the future?
💵How much net income do I want to earn to provide for my family?

While chasing long term metrics and measuring sticks are necessary to grow over time...if you are not AWARE, it leads to constantly living in "The Gap" and inevitably leads to unhappiness. I know this because I've experienced many times since since starting in this business years ago.

So in an effort to celebrate our gains since launching Imagine Financial Security in February of 2021, I want to celebrate a big milestone that our firm just crossed over $50mm in assets under management.

What does this number represent?

- 50 families whom we provide ongoing investment/retirement/tax strategies to achieve their life goals.
- Validation that our clients trust us deeply with their financial futures and see value in the work we are doing.
- Hundreds of retirement related conversations with our clients.
- More gray hairs.

A big part of our growth happened in 2024 and early in 2025 after Amy and Roberto joined the IFS team.

They have not only freed me up to do the things I should be doing and nothing else, but they are also adding significant value to our clients throughout each step of our process.

In fact, 'people' have been my TOP investment into my business. Hands down!

Cheers to the last 4 years and looking forward to serving our great families for the years and decades to come!

05/22/2025

Our #1 downloaded episode year to date has been Ep. 68, "9 Reasons to Claim Social Security early."

(I'll attach the episode in the comments section).

Next week, we'll look at the other side of the coin in episode 79: "9 Reasons to Delay Social Security." Make sure to follow our retirement planning podcast wherever you listen!

And what are you plans? Delay as long as possible? Take it early? Or somewhere in between?

03/28/2025

A client's email to our Client Services Associate, Amy...

"Amy - Thank you for all the work you do to make the decisions reality!"

This is so spot on. Without Amy, none of the financial planning and investment decisions matter if they are NOT implemented properly.

I'm so grateful for her contributions to our firm and our clients!

Happy Friday!

03/12/2025

Should I take Social Security early and invest it?

Common advice is to take Social Security as late as possible (age 70) in order to receive the maximum possible benefits. Oftentimes, this could be really good advice. However, there are opportunity costs.

1. Higher rate of withdrawal from the investment portfolio early on.
2. What if longevity isn't on your side?
3. Opportunity cost if you were to invest the funds as early as possible.

In this post, I'll address #3.

Perhaps you won't rely on Social Security for income. Or perhaps you want to build up MORE liquidity for long-term care costs, retirement income later in life, or as a financial legacy.

Below, there are two graphs using the example from last week's podcast episode (John and Jane).

The blue lines represent claiming Social Security as early as possible (62) and investing those payments in a "side fund." The orange lines represent delaying until 70, and then investing the higher monthly payments in a "side fund."

In the first graph, assuming a 6%/year compounded return, the Crossover Point happens in year 23 (when the age 70 side fund begins to exceed the age 62 side fund). So, up until ages 85/84, John and Jane were potentially better off.

In the second graph, if you assume a 10%/year compounded return, the Crossover Point never happens. The age 62 side fund strategy wins indefinitely.

If you didn't NEED the Social Security income, would you take the payments at 62 and invest them? Or, delay your benefit and invest them later?

03/06/2025

We work with clients on both sides of the political aisle. However, we have noticed an uptick in the concerns about not only the markets, but about the stability of our country.

This post is not to stir up a political debate...as an American, I always pray for the safety and security of our country and our citizens regardless of who is in office.

However, one of the hot topics that comes out during these periods of volatility is "WHERE IS MY RETIREMENT INCOME COMING FROM?"

This is why annuities are so valuable during times of volatility...nobody who has an annuity income stream is calling me saying, "Kevin, I wish all of my income was tied to the stock market right now..."

However, perhaps because of personal preferences, financial priorities, or risk tolerance, buying an annuity wasn't in the cards.

Well...Social Security is an annuity that most of our clients are eligible for in retirement.

Perhaps your plan was to DELAY Social Security as long as possible....

As Mike Tyson famously said, "Everyone has a plan until they get punched in the face."

What if the markets punch your portfolio in the face? Will you continue to bleed down your investments?

If for no other reason than sleeping well at night, claiming Social Security earlier than you had initially planned is certainly an option worth considering. However, the decision should not be taken lightly, and you should TRY your best not to make the decision based on emotions.

However, I'd much rather my clients have peace of mind than worrying about the security of their retirement income on a daily basis.

Thoughts on Social Security as a portfolio volatility buffer?

02/07/2025

As a financial planner, I am going to come out and say that the cookie cutter advice in our industry has led to retirees "UNDERSPENDING" relative to their capacity.

Check out this video I posted on YouTube where I break down the 3 reasons why I believe retirees underspend, and ultimately one way to fix the cookie cutter advice that has been given the last couple of decades.

If you are interested in working with my firm 1 on 1, visit our website to learn more about our process and service model. 👇https://imaginefinancialsecurit...

02/06/2025

Warren Buffett suggested that you read your will with your adult children.

Do you agree? Disagree?

I dive into this for next week's podcast episode.

Legacy is not about how much you leave behind but about HOW you are remembered.

I do believe this courageous conversation can potentially save families from being ripped apart. Yet, most of the retirees I come across have NOT yet taken this advice.

01/27/2025

I had a client reach out the other week asking to go heavy on $NVDA.

He works in big tech and he feels the hype is real...and he's got a bit of FOMO after back to back years of 150%+ gains. No doubt, Nvidia is an amazing company. However, the news breaking early this morning about $DeepSeek and their potential disruption in the AI space points to a rocky week for $NVDA and the rest of the big tech space. And it's also a reminder that just because every company is pouring money into AI, it doesn't mean the big players we know today will be the leading dogs into the 2030s and beyond.

The average "stay" in the S&P500 was 60 years back in the 1950s. Because of disruption like forces, in the 2020s, the average stay in the S&P500 has fallen down to 20 years. $NVDA has been in the S&P 500 for 24 years.

It's one thing to have a financial plan, but then when all of the noise is flying at us 24/7, it's VERY easy to get distracted and veer off course, resulting in a potential derailment from what is actually important.

One of the most important aspects as an advisor is telling people "NO."

01/21/2025

In this week's Whiteboard Fireside Chat, I discussed the impact of accumulating high dollars within a taxable brokerage account and the potential tax drag it can create. Those brokerage accounts can be especially (tax) problematic once you begin taking Required Minimum Distributions.

Make sure to check out the full Whiteboard Fireside Chat (link in the comments section) and hope you find it helpful.

01/09/2025

New podcast episode****60. 5 Things to Watch in the Markets for 2025****

Don't get too high on the highs or too low on the lows!

When it comes to investing for retirement, creating a defined investment strategy for each account type is a MUST.

- Non Qualified Brokerage ✅
- Traditional IRAs ✅
- Roth IRAs ✅
- HSAs ✅
- 401k/403b etc. ✅

All of these have varying time horizons as well as tax treatments, so their investment strategies should NOT be identical across the board.

Check out the full podcast episode, "5 Things to Watch in the Markets for 2025" available on all platforms now!