Articles and Videos

Managing Your Financial Future

IRA Withdrawals: Take Them Now or Later? – Season 1: Episode 11

February 18, 2020

When it comes to finance, conflicting advice is everywhere. This is especially true when people have questions about when they should start taking money from their traditional IRAs: Should I start early, or wait until I’m required to take the money out?  Is my withdrawal going to be taxed? Does an IRA withdrawal affect my… View Article

Lucia Capital Group Weekly

Can You Control the Uncontrollable and Forget the Rest?

February 13, 2020

In last week’s video, we explained why it’s often better to manage the amount of risk you take in your portfolio, rather than trying to achieve a high rate of return.  We showed how two sets of hypothetical portfolios, both with the exact same investments over a 10-year period of time, could have entirely different outcomes — simply by changing the date that a retiree began taking withdrawals. In this week’s edition of Lucia Capital Group Weekly, our “Professor” Rick Plum takes that same hypothetical scenario and expands the time horizon by another ten years.  How did these two (imaginary) identical portfolios fare after a 20-year time horizon? You may be surprised.  

Managing Your Financial Future

The 3 Questions That Every Confident Investor Should Ask – Season 1: Episode 10

February 11, 2020

The current bull market is 11 years old as of March, 2020.  This seems to have given more than a few investors the mistaken idea that stocks will continue to climb forever.  Whenever markets are flying high, or (on the other side) when they’re sinking into oblivion, people tend to overreact and do something that… View Article

Lucia Capital Group Weekly

Manage Risk, Not Return

February 6, 2020

When it comes to investing, people often make the mistake of focusing on the wrong goal. Certainly, most everyone would like to see a good rate of return on their investments, and it’s nice when that happens, but trying to manage your way into achieving a high rate of return is almost always a fool’s game. Day trading, chasing yield, acting on short-term market predictions, and other gambits are not only time-consuming, but also time wasting. There is simply too much that is out of your control. A better way to go may be to focus instead on what is actually manageable: the amount of risk you take. While lower risk usually offers lower rewards, it may also potentially protect your portfolio from loss. This may be especially true over longer periods of time — and when it comes to stock (equity) investments, a long time horizon is essential.

Managing Your Financial Future

How the SECURE Act Affects You – Season 1: Episode 9

February 4, 2020

The SECURE Act, passed by Congress at the end of 2019 and effective on January 1, 2020, provides several reforms to 401(k) accounts, IRAs, college savings accounts, and more. A couple of long-standing rules, including the age at which most people must begin taking their required minimum distributions, were amended. These changes created both opportunities… View Article

Managing Your Financial Future

A Tax Strategy You Never Knew Existed- Season 1: Episode 8

January 28, 2020

A few episodes back, we talked about the benefits of charitable giving for both the recipient of the gift and the giver.  The one who receives the gift gets the benefit of the gift itself.  The one who gives the gift may be entitled to (among other things) a tax benefit for their generosity. Some… View Article

Lucia Capital Group Weekly

A Strategy That May Save You Thousands in Taxes This Year

January 23, 2020

Of all of the bills you pay in your life, your tax bill has to be one of the hardest. Unlike with your credit card bill, or your electric or water bill, you get virtually nothing in exchange for shelling out your tax money. So it stands to reason that you’d like to pay only the absolute minimum amount in taxes over the course of your lifetime, if at all possible. At Lucia Capital Group, we love a good strategy – especially a tax strategy. If you’re in a somewhat high tax bracket, and you want to make a gift to someone in a lower bracket – like maybe your kids – you may be able to do it in a way that benefits both the recipient and yourself.

Managing Your Financial Future

Killing Your Fear of Running Out of Money – Season 1: Episode 7

January 21, 2020

Fear does strange things to people. It can motivate us to take immediate action when a threat is imminent, or it can cause us to retreat, cover up the issue, and hope it will go away.

Lucia Capital Group Weekly

Why Tax Knowledge Is Power

January 16, 2020

You’ve probably heard the phrase “knowledge is power” many times in your life. It’s one of the few near-clichés that’s actually packed with truth. The more you know, the more power you have – either literally or figuratively. The phrase fits especially well when it comes to taxes. Many people find the very concept of taxation, or at least anything beyond the most basic elements of it, to be out of their realm of understanding. And it IS complicated. But sometimes all it takes is a little specialized knowledge in a few key areas for you to put yourself, potentially, in a much better financial situation, both now and in the future. So what is this tax knowledge? What do you need to know that could maybe save you from greatly overpaying your tax bill?

Managing Your Financial Future

Helping Yourself Through Charitable Giving – Season 1: Episode 6

January 10, 2020

Most people at some time or another want to be charitable. Part of human nature tells us we should give to those in need—that we have a kind of social obligation to allow others to have something that they could otherwise only dream of. This is why being charitable often gives us a nice, warm… View Article

Lucia Capital Group Weekly

Three Smart Money Moves to Make in January

January 9, 2020

The 2020’s have begun, and you may have some wonderful new opportunities for financial planning! While some may tell you it’s never too late to get started, when it comes to money in general, and taxes in particular, waiting to take action may be the worst thing you can do. So now that the yearly calendar has reset, it’s time to think about a few things that you might do to potentially make this year a little more financially rewarding, and maybe a little less taxing as well. January can be a particularly good time, because by planning now, you still have (almost) the entire year to make any necessary course corrections along the way. If you wait to get started, your window of opportunity becomes much smaller. With that in mind, “Professor” Rick Plum is here to give you three smart money moves you should consider making in January.

Managing Your Financial Future

How To Manage the Scare of Long-Term Care – Season 1: Episode 5

January 8, 2020

Many people know that long-term care costs are expensive.  In spite of that, they’re often reluctant to buy an insurance policy to cover those costs because they don’t want to pay for something that they may never need to use.  After all, not everyone ends up in a nursing home or care facility. But what… View Article