Nate (00:00)
Hello, physician moms and dads. I'm Nate Renekee, certified financial planner and primary advisor.
Chelsea Jones (00:07)
And I'm Chelsea Jones, also a certified financial planner and primary advisor here at Physician Family Financial Advisors.
Nate (00:14)
Okay, Chelsea, we have another week of questions, including an asking for a friend. For new listeners, asking for a friend are questions that we get often that maybe you don't feel comfortable actually asking. So behind closed doors, your friends and colleagues have simple questions along with some of the more complex questions that we get as well. So we'll start this episode off with a new Asking for a Friend question. Chelsea, what do we have?
Chelsea Jones (00:43)
All right. Our asking for a friend question this week is where should my emergency fund money go?
Nate (00:50)
Yeah, this is something is you know, it's a beginner question, but I get it all the time and I think it's because it's it's something that's on people's mind. having an emergency fund is more than just something to check off a list. It tends to give people a lot of security. So anybody
Chelsea Jones (01:09)
Mm-hmm.
Nate (01:10)
that thinks this is a boring goal will value it as soon as they have one.
I think about having an emergency fund all the time when something's like rattling around in my house and I think, gosh, like what happens if this breaks and it costs me five thousand dollars and I just think, yeah, I have an emergency fund. I can keep on keeping on. So I think about how
Chelsea Jones (01:32)
Mm-hmm.
Nate (01:32)
often and most people do. So valuable for peace of mind, actually, actually valuable for peace of mind. I know that's a a thing salespeople tell you a lot, but
I'm not selling you anything with an emergency fund. It actually is good for peace of mind and it serves a real purpose, which is with an emergency fund, oftentimes if you have a good one, you don't have to lose progress on your goals to handle things that come up in life. So, where does this money go? I'm going to try to simplify this just because it's an asking for a friend question. But basically, your emergency fund money should go in a place that
You don't have to keep adding money to it. So
Chelsea Jones (02:16)
Mm-hmm.
Nate (02:17)
if you put your emergency fund in a checking account and the cost of living, which we're all experiencing with groceries and cost of living goes up, you're gonna have to add some money to that every year if you're doing it just right. Okay, so let's imagine that you have, you know, let's say it's big for easy numbers, hundred thousand dollars in emergency fund, and your expenses went up by five percent.
Well, you're probably gonna have to add $5,000 to that emergency fund next year. And you don't wanna do that. You wanna have this money that's gonna just sit there in an account
Chelsea Jones (02:53)
Mm-hmm.
Nate (02:53)
that pays interest. So it sits there, and you instead of you putting in $5,000, hopefully the bank will put in $5,000. And so there's really three good places to do this if you want a really straightforward emergency fund. There's a high yield savings account.
Which is basically any decent savings account that is not at a big bank. So big banks like Wells Fargo, US Bank, Chase Bank, they are not paying much in their high yield savings account. And that is because their business model is out of convenience. You have a Chase account because it's convenient to have a Chase account. We have a Chase account in this business, and I have a Chase account in my personal life because it's convenient. But
Chelsea Jones (03:40)
Mm-hmm.
Nate (03:41)
their brick and mortar buildings don't justify them paying high a high amount on their savings accounts. So your emergency fund should go in a high yield savings account. Right now, they high yield savings accounts are paying around three and a half percent. And so, you know, three and a half percent is rather good. And if that keeps up with inflation, then you're doing it good and you'll have a completely liquid account.
Liquid meaning get to the money whenever you want. If you want a slightly higher rate, but a little less liquidity, you can buy a certificate of deposit, which is, you know, very liquid as well, but you might have to pay a fee to break the CD. So you might buy a CD and you're promising the bank when you buy a CD, I'm going leave my money in here for three years, five years, whatever term you choose. And
when you make that promise to the bank, they say, okay, if you break this promise, you're gonna have to give us some of our money back or potentially pay a fee
Chelsea Jones (04:46)
Mm-hmm.
Nate (04:47)
above and beyond the interest that we paid you. And so because they're making it less liquid for you, you get a better rate. And some CDs right now, you know, maybe a a five-year CD is gonna pay better than a three-year CD, but the average CD right now is paying about four and a half.
And for a hundred thousand dollars, that might be worth it to you to put it in the C D. Most people right now are leaning toward high yield savings accounts because they're so easily accessible. And
Chelsea Jones (05:20)
Mm-hmm.
Nate (05:21)
if you're willing to forego a few hundred bucks a year, then you can have a really accessible high yield account and just leave it there and not worry too much about it.
But how our advice here evolves, Chelsea, is over over the years, we kind of look at these rates and decide: is it worth moving your money to a CD or to a high yield? And like you go through the process of just the difficulty of moving your money around town versus the rate. And for
Chelsea Jones (05:45)
Mm-hmm.
Nate (05:46)
the last several years, the CD rates and high yield savings counts rates have been remarkably similar. So it's just better to have it in a high yield account. But they're starting to separate a bit. CD rates are getting
A bit better. So you can that's up to you. In the past, though, we've ha offered one more option, which is an I bond. And an I bond is you can buy through the federal government. And the reason I like I bonds is that they are literally designed to keep up with inflation, which is the goal
Chelsea Jones (06:21)
Mm-hmm.
Nate (06:22)
of your emergency fund. So if you want something that literally does exactly its job.
For your emergency fund, you would get an I-bond. The issue is they're they're really annoying to open. Like you have to go to our federal
Chelsea Jones (06:38)
Yeah.
Nate (06:38)
government website, and it's just it's clunky. It's it's so a lot of people bought I-bonds a few years ago during COVID when they were paying like nine percent interest and nobody's interested in in in them anymore. But I think they're the perfect vehicle for an emergency.
As long as you get through the holding period, because in the b there is a holding
Chelsea Jones (07:00)
Mm-hmm.
Nate (07:00)
period in the beginning where you literally can't get to the money. There's also a limit. One year.
Chelsea Jones (07:03)
Yeah. I think it's one year. Yeah.
Nate (07:06)
Yeah. There's also a ten thousand dollar limit per year. So you would kind of slowly every year move your money over into I bonds. And then after several years, it'd be liquid again. So that's more work than most people want to do, but it does solve the emergency fund issue. And right now they're paying four four point two six. So
Chelsea Jones (07:25)
Mm-hmm.
Nate (07:27)
That's where your emergency funds should go. The there's lots of options, but it should be liquid. It should be enough to cover you for three to six months. For most doctors, it lands around four months. Double doctor families can get away with three months. If you have a hard time getting credentialed if you lost your job or something, maybe you should choose six months. But it should be liquid, available, and probably separate from your bank account.
Chelsea Jones (07:57)
Mm-hmm.
All right, very good. Well our first regular question comes from a psychiatrist in Maine. They said as I was trying to sell one of my holdings in my taxable account, I learned that I have uncovered securities. What does that mean?
So this is a great question. I've seen this not very often, but I've seen it come up a few times with clients in their brokerage accounts. an uncovered securities, it it means that you purchased those shares prior to either 2011 for individual stock shares or 2012 for mutual fund shares. And the reason that that's significant is it wasn't until
2011, 2012, where custodians were required to keep track of your cost basis.
You
Nate (08:50)
Mm.
Chelsea Jones (08:51)
know, before then it was all on you as the account owner. and just as a reminder, cost basis is the amount that you originally paid for those shares. And the reason
Nate (09:03)
Mm-hmm.
Chelsea Jones (09:04)
that that's important is because when you sell them, you don't get taxed on the cost basis. You just get taxed on the gain, everything above that.
But with these uncovered or sometimes they're also called non covered securities, the custodian has no record of the cost basis. And if you bought them over a decade ago, fifteen years ago, then it might be kind of hard to go back and get a statement to see what date you purchased them and for how much. but it is possible to go through historical records to find that. it just takes a little bit more work.
So if you have if you are a seasoned investor and you've bought securities earlier than 2011, you wanna make sure that your cost basis is recorded because at some point you're likely gonna need to sell those. And, you know, whether that be now because you want to get into a better holding, because this one might be expensive or what have you, or in retirement when you just need to sell it to live off of.
You need to to figure out what the cost basis is. because if you
Nate (10:16)
Mm-hmm.
Chelsea Jones (10:17)
if you can't, you know, the IRS will accept a good faith effort. So
Nate (10:22)
Mm-hmm.
Chelsea Jones (10:22)
it doesn't have to be meticulous. You just have to, you know, put in a good faith effort to to reasonably estimate what the cost basis is. but if you can't reasonably show that, then it's assumed to be zero, your cost basis.
Nate (10:38)
Mm.
Chelsea Jones (10:40)
which means that you would be taxed on the entire value of the holding. And
Nate (10:45)
Yeah.
Chelsea Jones (10:45)
it would be assumed that it's all gain. so we don't want that.
Nate (10:51)
Yeah. It's not it's not it's not a great thing when the IRS says good faith effort and then you have to define what that is. Probably best to track down that basis. Interesting though. I haven't I have actually
Chelsea Jones (11:04)
Yeah.
Nate (11:04)
not heard of this before. So I learned something today.
Chelsea Jones (11:08)
Mm-hmm.
Nate (11:09)
Okay. Next question from a family medicine doctor in Washington. I'll read this one, Chelsea. I'm about to retire. How much cash should I have?
Interesting.
Chelsea Jones (11:23)
Yeah. Got this question the other day. and it's, you know, of course, it depends. Everything depends, right, on your situation.
Nate (11:31)
Mm-hmm.
Chelsea Jones (11:33)
but the main thing to consider is how is your retirement being funded? Because if you have if you're relying mostly on guaranteed income, like you have a pension, you have social security, and maybe you might have to draw a little bit from your retirement accounts.
then you know there's not you don't really need to have this huge pile of cash to fall back on. Cause if the market
Nate (12:03)
Mm.
Chelsea Jones (12:04)
goes down, you're still getting your pension payment, you're still getting your social security payment.
Nate (12:09)
Mm-hmm.
Chelsea Jones (12:10)
and so having a big wada cash available is always nice, but maybe not as as urgent if that's your situation.
If your retirement is being funded mainly from withdrawals from retirement accounts, then having essentially an emergency fund in cash is a good idea. or maybe six months worth of living expenses. So that way if there is a drop in the market and you need to take out less one year, you have some liquidity to be able to do so.
Nate (12:43)
Mm-hmm.
Chelsea Jones (12:44)
and of course, consider your asset allocation. You know, you'll have an appropriate amount of bonds if you're working with us, and so that'll
kind of already be considered. but the situation where you might need more cash is if your like your actual assets are illiquid and your income is not guaranteed. And the the main example for that is if you have a lot of real estate and you rely on rental income, it's not easy to go sell a house when you need an extra
Nate (13:17)
Yeah.
Chelsea Jones (13:18)
hundred thousand dollars. And
Nate (13:19)
Mm-hmm.
Chelsea Jones (13:20)
you can't exactly predict
vacancies, right?
Nate (13:24)
Yeah.
Chelsea Jones (13:26)
and so it's a good idea to have at least one year's worth of expenses if that's the case. Sometimes maybe two, depending on, you know, your risk tolerance and how comfortable you would feel.
Nate (13:39)
Yeah, I I actually I mean I'm sure we're saying similar things, but the one when I read this question, I had a little bit of a different thought, which was if you like if you have a pension, let's say, and you want to go buy a car, you need cash to buy a car. If you want
Chelsea Jones (13:56)
Yeah.
Nate (13:57)
to do something to your house, you need cash to do that. I prefer that that not those problems not be solved with.
Cash as you lead into retirement, I prefer that those problems be solved by buying those things in cash before you retire. But
Chelsea Jones (14:12)
Mm-hmm.
Nate (14:13)
if you have to get those things and you have a pension, you're on, I'm sure it's a good income, but it is a fixed income. You can't just go pick up an extra shift at work anymore to cover these upcoming expenses. So you have to be patient. Those big things don't have to happen right away. And you need to, if you're
your income is mainly a pension, then you probably should save up to buy those things, but it's not emergencies.
Chelsea Jones (14:37)
Mm-hmm.
Nate (14:38)
So ultimately it seems like an emergency fund is the answer. If it's the other way around and you have a big portfolio that you've been saving into and contributing to for for many years, then all of your money is liquid. whether or not
you should
Chelsea Jones (14:53)
Mm-hmm.
Nate (14:54)
take that money out right at the beginning of retirement to, you know, take some
massive dream vacation plus a car plus a remodel is probably different than if you could. But as
Chelsea Jones (15:04)
Yeah.
Nate (15:05)
things come up, you'll have money available. And and then this next question that we have is getting into kind of a similar it's similar, which is like you need
Chelsea Jones (15:15)
Mm-hmm.
Nate (15:15)
to assess what kind of assets you have when you're heading into retirement. So the next question is from an orthopedic surgeon surgeon in Oregon. I'm about 10 years away from retirement.
And starting to think about what it means for my portfolio. Can you help me wrap a my head around sequence of returns risk? So I got this question, and this is I mean, our whole world is the answer is it depends. So don't be disappointed by that. But but the way that you look at this is so sequent let me define sequence of returns risk like in in simple terms. If you
Chelsea Jones (15:52)
Mm-hmm.
Nate (15:52)
let's imagine you had just enough to retire.
But you had all stocks. And stocks are volatile sometimes. They can be. And so let's say you have five million dollars, you're heading into retirement, and the day you retire is you know great day, but then the market goes down twenty percent, and now you have four million dollars. Okay. that i i if at that point
You start withdrawing heavily to pay for retirement, then essentially you're selling stocks when they're cheap, and you have no ability to buy more stocks as they are cheap. So stocks go
Chelsea Jones (16:37)
Mm-hmm.
Nate (16:38)
down, they get cheaper, and you start selling. If you do that, maybe five years out from retirement all the way to five or ten years after retirement, if you have a big event like that, like the market goes down.
Then you are essentially taking away the ability for those for your stocks to recover. So
Chelsea Jones (16:55)
Mm.
Nate (16:56)
we talk about this a lot, and any seasoned investor knows that you just hold and you wait for the market to come back and all that. But if you're spending the money, you you can't just wait for the market to come back. You have to pay your bills. So that's sequence of returns risk in a nutshell. And
The question of like how do I avoid sequence of returns risk? Well, there's there's multiple ways. One of the best ways is to be well prepared for retirement. So
Chelsea Jones (17:29)
Mm-hmm.
Nate (17:30)
a lot of times physicians will read about these things and they'll say, this thing is scary because it's sequence of returns risk. And I've never heard this before. I've been an accumulator my whole life, and now all of a sudden I have to worry about this other thing. How do I pro
Chelsea Jones (17:43)
Mm.
Nate (17:44)
how do I prevent sequence of returns risk?
And then inevitably you get the question of should I do this complicated thing with my cash? Should I hold five years worth of cash? Well, that is only relevant if you if you don't have an appropriate portfolio for retirement.
Chelsea Jones (18:02)
Mm-hmm.
Nate (18:03)
So you might basically what you're saying is, should I have less stocks? And most likely the answer is yes, you should have less stocks. Though whether or not you
need to have the all that money in cash is a totally separate thing. You're swinging
Chelsea Jones (18:21)
Mm-hmm.
Nate (18:21)
way too far in the other direction by saying I should have five years worth of cash. And really you should probably just be less aggressive. So I'm not making a this isn't a prescription, but let's say you decided I want to take less risk. I want to be 60% stocks and 40% bonds instead of 90% stocks and 10% bonds. Well if
Chelsea Jones (18:43)
Mm-hmm.
Nate (18:44)
you're 60 40
And you are withdrawing 4% of your portfolio, then essentially you have what is that, five to seven years, 10 years? It's 10 years.
Chelsea Jones (18:57)
Yeah. Ten years.
Nate (19:00)
So 10 years worth of bonds in your portfolio. And the market, the stock market, from the peak to the trough to the peak, on average, when the market goes down.
It recovers from the time it starts going down to the time it's recovered. On average, that's about five years. And back in I think it was 2008, it took a little bit longer than that, maybe closer to seven or eight to recover. So if
Chelsea Jones (19:29)
Mm-hmm.
Nate (19:29)
you have 10 years worth of bonds to spend out of, you are protecting yourself from sequence of returns risk. And the people who are talking
Chelsea Jones (19:38)
Mm-hmm.
Nate (19:39)
about sequence of returns risk, most of the time are kind of confusing this.
Portfolio or not confusing, they're misdiagnosing their
Chelsea Jones (19:48)
Yeah.
Nate (19:48)
situation rather than calling it what it is, which is I'm in all stocks and I don't have enough to comfortably retire. They're blaming it on sequence of returns risk, saying, Well, the stock market has to get 10% or 20% every year for me to comfortably retire. Well, newsflash, it's not going to.
Chelsea Jones (20:09)
Yeah.
Nate (20:09)
Right? Like,
you you need to have some bonds. You need to be able to comfortably withdraw off your bonds. And or unless
Chelsea Jones (20:15)
Mm-hmm.
Nate (20:16)
you have so much money that you can withstand market declines and you're just planning on like, well, you know, I could be 10% bonds and it would be 10 years worth of income or seven years worth
Chelsea Jones (20:30)
Yeah.
Nate (20:31)
of income. If you're in that position, you can be more aggressive. But most physicians are in a healthy position where they
Chelsea Jones (20:38)
Mm-hmm.
Nate (20:39)
Probably need to be around 60-40, take a 4% withdrawal rate, and that will result in a good inheritance for their children, but nothing, nothing insane. So
Chelsea Jones (20:48)
Yeah.
Nate (20:50)
sequence of returns risk is real, but if you're preparing
Chelsea Jones (20:53)
Yes.
Nate (20:54)
the right way, it shouldn't be a huge concern for you leading into retirement 60-40. And you don't necessarily need to do some complicated bond ladder or have three years worth of cash sitting on the sidelines.
Because for this person, 10 years out, having three years worth of cash on the sidelines would be a mistake. I mean, they're going to miss out on potential growth for a decade, and then they're going to
Chelsea Jones (21:18)
Mm-hmm.
Nate (21:18)
spend that. So those are all just fancy ways to make yourself feel a little bit better about the risk of heading into retirement. But really, there's
Chelsea Jones (21:26)
Yeah.
Nate (21:27)
more efficient and probably productive ways to deal with this risk, which is to save enough money so that you can be around 6040.
And take a four percent withdrawal off your bonds.
Chelsea Jones (21:43)
Mm-hmm. Yeah, and it's really interesting whenever I see clients start talking this way about the paradigm shift that that
Nate (21:50)
Yes.
Chelsea Jones (21:50)
happens when you go from being an accumulator to being a retired person. Cause it's like
Nate (21:54)
It's real.
Chelsea Jones (21:55)
a drop in the market when you're an accumulator is an opportunity. Right? A drop
Nate (22:00)
Mm-hmm. Yep.
Chelsea Jones (22:02)
in the market when you're retired and living off that money can feel like a crisis.
Nate (22:07)
Yes. Absolutely. And I have received a question similar to this several times this year, all from people who are around 10 years out because their minds are starting to
Chelsea Jones (22:17)
Mm-hmm.
Nate (22:17)
shift and they're having to deal with problems that they've never had to consider before.
Chelsea Jones (22:22)
Yeah.
Nate (22:23)
and then all the on the flip side, most accumulators, despite the market being at all time highs, when when we discuss the possibility of a market decline, they do view it as an opportunity, which it is. It is for them.
Chelsea Jones (22:35)
Mm-hmm. Yeah.
Nate (22:37)
So it's quite strange to have one conversation with someone who sees it an opportunity, the next is with someone who sees it as a crisis, but you can prepare very well for the market market turbulence in retirement. You need to have enough enough savings to do so.
Chelsea Jones (22:57)
Mm-hmm.
Nate (23:00)
there there is one there's one more element to this question, which is if you have a big expense coming at the beginning of retirement, like let's say you wanted you want to buy a second home and it's a million dollars, and you're like, Well, right now I'm eighty-twenty or ninety-ten, and because stocks have done so well and I don't want to sell out of my stocks and pay taxes, so I'm just gonna keep being ninety-ten, and then right before retirement.
You're like, well, now I need money to buy this house. You're going to be selling stocks. Right.
Chelsea Jones (23:33)
Mm-hmm.
Nate (23:33)
So there is, there is a worthwhile strategy for those people, even if they were planning on being 6040. But if you have this big event coming up, you can build something called a bond tent. And so
Chelsea Jones (23:46)
Mm-hmm.
Nate (23:46)
a bond tent would be to accumulate more bonds, be more conservative than 6040 up until the day you retire. And then when that big event happens, that million-dollar event, you
Pull million dollars out for bonds and it lands you roughly close to 60 40. And something to rebalance,
Chelsea Jones (24:02)
Mm. It's like you're using that event to rebalance, essentially.
Nate (24:06)
yes. And something like that, to all of our clients out there needs several years to prepare for. So you might need 10 years to accumulate a hundred or an extra million dollars in bonds. You know, and it's not all contributions. You can.
balance yourself a into it, but that's pretty unique. Most people have purchased their house and paid them off before, but sometimes people are literally like, I've I've been planning with people who want to do that, and they've been planning for it for fifteen years. They're like, I can't buy that house now. I wouldn't use it, but I just want to buy it when I retire. So that requires planning.
Chelsea Jones (24:46)
All right. Our last question comes from a general surgeon in Oregon. They said we plan on retiring next year, but we're not Medicare eligible yet or Medicare age yet. How does health insurance work at that point? So this this is kind of a a hot topic question because healthcare right now is kind of can seem really overwhelming to people who are still working even.
Nate (25:12)
Mm-hmm.
Chelsea Jones (25:13)
let alone for someone who's about to retire and lose their employer coverage. but you do have a few options. And first I want to say that if you have a retirement plan with us, we consider this. We know that
Nate (25:25)
Mm-hmm.
Chelsea Jones (25:25)
healthcare is going to cost more bef after retirement, but before Medicare age, and we build that into the plan.
Nate (25:32)
Mm-hmm.
Chelsea Jones (25:34)
so the numbers may be shocking to you, but it they're shocking to everyone, but know that we've considered that in your plan.
but there's a few ways that you can go about getting health insurance coverage as a retiree, but but not Medicare eligible. The most likely one is going to be getting what's called marketplace coverage. So health insurance, that doesn't go through an employer. You can go to the open marketplace and purchase health insurance off the open marketplace. and most states have their own
individual marketplace, but if you start at healthcare.gov, which is the federal level, they'll redirect you to your state's marketplace if that's appropriate. and I would recommend going through the marketplace if you think that you might qualify for a premium subsidy or a a premium credit to reduce the cost. If you don't qualify for subsidies, which
The most that you can earn, like your taxable income to qualify for a subsidy, has to be 400% of the poverty level or less. if you don't qualify for that, you may consider going straight to the insurance company for coverage and cutting out the marketplace.
Nate (26:53)
Mm-hmm.
Chelsea Jones (26:54)
especially if you know like what plan you want that has the providers that you want in network and all of that. if one spouse is still working, you can always switch to their plan.
That's another option. and that'll usually be cheaper because the employer usually covers part of the premium. or you could always fall back on Cobra, you know, depending on how far you are from Medicare age. You are it's possible to have Cobra usually for up to 18 months after you separate. which Cobra is just a continuation of your employer coverage. The employer just doesn't pay any part of the premium.
you're on the hook
Nate (27:36)
Mm-hmm.
Chelsea Jones (27:36)
for the full amount. So, if you're 64 retiring and you have a, you know, fat HSA, you can actually use your HSA to pay for Cobra premiums if, you know, going to the marketplace or or any of the other options are too expensive. because you cannot use HSA dollars for marketplace premiums, or to cover employer covered premiums.
And working with the trusted insurance agent, I've learned, makes this a lot more bearable because
Nate (28:11)
Yes.
Chelsea Jones (28:13)
our health care system, including health insurance, is kind of a mess.
Nate (28:20)
Yeah.
Chelsea Jones (28:20)
And the insurance agents are very knowledgeable if you find one that you trust. They can explain things to you like the subsidies that you may qualify for, different they can look into different plans and kind of do
the work for you, or at least some of the work for you. and so those are those are a few of the options for health care while you're retired but not covered by Medicare yet. but like I said, the the most likely place to go is marketplace coverage. And something that I don't see very often, but I get kind of excited when I do, I see this mostly with
people who have worked in maybe a university that's well established, that's been around for a long time, sometimes those universities will have retiree health insurance options where you get a subsidized premium and decent health insurance coverage. So that's definitely worth asking about
Nate (29:26)
Yeah.
Chelsea Jones (29:27)
if you think you might qualify or have that available to you.
Nate (29:31)
Yeah. And we know at least some good insurance agents that can
Chelsea Jones (29:37)
Mm-hmm.
Nate (29:37)
sometimes help with this. And something else that came to mind, so this is less kind of tactical about how to do this, but something else that everyone should be considering in their plan is just the reality that it is expensive to retire before the government deems it appropriate. So the government set everything up for you.
To retire in your mid-60s. And so it's just more expensive to do that. So we do include this in your plan, but people are oftentimes surprised on how kind of easy it feels to retire in their mid-60s.
Chelsea Jones (30:17)
Mm-hmm.
Nate (30:18)
so a a good option would be to find a job that you enjoy that you can
Chelsea Jones (30:24)
Mm-hmm.
Nate (30:25)
maybe even work a little bit less, but wait for it to not be so expensive to retire.
And you could slow down in your 60s, you could slow down in your 50s if you wanted to, or you could slow down now and make $100,000 less per year so that your job is really enjoyable and you don't feel like you have to retire when you're 55.
Chelsea Jones (30:45)
Mm-hmm.
Nate (30:46)
but if that is one of your goals and that is important to you, then all of this can be considered in put kind of pencil to paper, like this is what it's going to cost, and you can prepare for that.
Chelsea Jones (30:57)
Mm-hmm.
Nate (30:58)
Okay, that is everything for this week. Thank you everybody for listening. If you liked this show, please be sure to subscribe so you don't miss when we release a new episode every week. You can also leave us a rating wherever you're listening. And if you'd like to work with us, you can visit physicianfamily.com to schedule an interview. But if you're not ready for that, you can send us questions at podcast at physicianfamily.com. Until next time, remember you're not just making a living, you're making a life.
