I'm an avid supporter of Fidelity - even worked there for 8 years. However, I went through 6 CFP's in a year - trying to find one with the tools - and mindset of Kevin. All CFP's are not the same (not a surprise, really). As I'm nearing retirement, and continue to learn more myself, my expectations for a CFP have increased. I even worked with a VP in the Wealth Mgmt group at Fidelity. Her singular focus was on achieving a Monte Carlo score of at least 80. I already had this. When I asked her what else I could do to be better prepared - "nothing, we'll check in annually to make sure it looks good" was the answer. No discussion around optimizing taxes, Roth conversions, potential an annuity could play, withdrawal strategy, legacy planning, etc. I'm glad to be working with Kevin after all the disappointments of the last year!
How do you “go through” 6 CFP’s? Doesn’t each one require a huge investment in time plus a contract/commitment of some kind to engage? I’m about to have a first face-to-face meeting tomorrow with a Fidelity Financial Consultant., just have a local person. When we first talked, I told her I was using NewRetirement (Now BOLDIN! Yuck!). She suggested I use emoney which I found to be a far inferior tool to NR. Im not sure the FC knows as much as we know.
Very forthcoming! I want to play with the tools to better understand how to ask questions. Every time I ask a retirement question my CPA, estate attorney, CFP, and Fidelity advisor point at each other! topic I'm researching • Harvest stock loses in brokerage and IRA accounts • DAF for tax benefit • Backdoor Roth • 4% RMD • Value of a CFP • At what age do retirees get into financial trouble • What is a tax attorney used for? • Protect assets • Focus to payoff mortgage in 10 years • Opening a business: rent my home/ consult • Retiring in no property tax state as primary residence • Renting out primary residence • Hyperinflation impact
A great summary Kevin. Your channel is definitely in my top 5 for retirement planning on YT. I'm still 1-3 years from retirement but I started with my own (very basic) spreadsheet, have enjoyed using Right Capital (thank you🙂) and am more recently immersed in NR (and I regularly cross-check between the three to validate my work). Holistiplan and Income Lab look great, but sadly neither are available or cost-effective for the DIY market. Perhaps that will change in the next 5-10 years with the pace of fintech development.
Great video and thanks for showing these tools. I noticed the CFP I interviewed is using a couple of those. I searched for them and then looked at there pricing. Wow, they seem to REALLY think there SW is GOLD. Can you do a video on similar SW that is free and/or viable for DIY people to use/purchase. Maybe at end a comparison chart and then compare to these professional versions.
I did a video on New Retirement, which I believe is the best in the space for the DIY crowd. Although, I’ve been asked to review a couple of newer entrants - so maybe sometime soon.
15:34 Fully agree, and this is what I really need. With 30+ years of investing, I’m very comfortable with the execution process. And having used Boldin/New Retirement and a labeled version of Right Capital, much of it could be reviewing/revising the data that’s already captured and analyzed to some extent. Unfortunately, finding a non-AUM, hourly/project-based CFP to do exactly this seems nearly impossible. $60,000 a year to do this analysis over a short period, and then basically do what I already do seems ludicrous.
Financial advisor”I’m sorry, I’m just not equipped to help you with that. I am only equipped to take a percentage of your investments for basically nothing”. Thanks for calling
Speaking of technology, someone will build an AI model with all this information and put a lot of advisors out of business, especially given how they charge people 1+% of their assets to do something that technology is making their job much easier than before. Technology allows advisors to scale their business much easier but it does not seem like they are passing that saving onto the clients.
No, there’s not much fee compression (as some predicted) but there’s a massive expansion in the services being offered. Partially, it’s hard to remove the human element and that’s not cheap - but we can make that human more helpful.
@@foundryfinancial There is no fee compression yet because currently these tools are not that smart yet. We'll see when an advanced AI model (that can analyze way more information in more axes than a current advisor can even think of) is deployed that makes the advisor's job so much simpler that someone will democratize these services and bring fees way down. I cannot imagine that is not going to impact your future business.
@@foundryfinancial Future advanced AI tools will allow people to do one-time planning much easier, and at a much lower cost, something a lot of advisors seem to want to charge an arm and a leg for today.
I agree with the human aspects. The software helps to simplify and should help the right advisor in communicating to the client/customer. Tks for all you do
I’m about to sign with Vanguard. They have a long list of CFP’s that you can choose from and their fee is only 0.3%. Kevin, if your fee is less, please let me know.
Even with Right Capital, NewRetirement or any other DIY tool, it’s all dependent on the quality of your assumptions. Otherwise, it’s the old Garbage In/Garbage Out (GIGO) situation. Ask me how I know. ;-) Hiring a CFP like Kevin will help avoid blind spots.
A better choice is to learn how to do your own plan. It isn't big science. Using programs like those you described depends on the programs being right and you understanding exactly what the program is doing. Rather than rely on someone else's work it is better to understand the process yourself and do your own modelling. That way you know exactly what assumptions and methods are written into the methodology you are using. At least that is what I always told my grad students when I was teaching. Disclosure, I have never consulted a financial planner and never will. I am content to have doubled my portfolio since I retired.
Well part of my point is that this tech is trickling down to DIYers, but I’d trust those programs more than I’d trust the average spreadsheet (with a few notable exceptions).
@@foundryfinancial do you know exactly what assumptions and methods the programs use? Personally I write my own software. That way I know exactly what the procedures used are. Financial planning software is simple compared to the physical chemistry modelling software I wrote throughout my career as a professor.
@@todddunn945 with all due respect, as a professor you surely understand the logical fallacy of asserting that the results from a sample size of one supports a conclusion as to what is the "better choice" for all. YMMV.
@@lindsaynewell6319 My individual results simply reflect how my personal approach worked for me. I did not generalize from that. My comment was directed at using overly complex software very likely without knowing or understanding what the software did and EXACTLY how it did it. My position is simple. Don't use software unless you understand exactly how it does the calculations it does and all the assumptions built into those calculations. Furthermore, software should always be tested by the user using data that generate a known result to see if the software actually works. Obviously you need to run a number of data sets through the program to fully test it.
I'm an avid supporter of Fidelity - even worked there for 8 years. However, I went through 6 CFP's in a year - trying to find one with the tools - and mindset of Kevin. All CFP's are not the same (not a surprise, really).
As I'm nearing retirement, and continue to learn more myself, my expectations for a CFP have increased. I even worked with a VP in the Wealth Mgmt group at Fidelity. Her singular focus was on achieving a Monte Carlo score of at least 80. I already had this. When I asked her what else I could do to be better prepared - "nothing, we'll check in annually to make sure it looks good" was the answer. No discussion around optimizing taxes, Roth conversions, potential an annuity could play, withdrawal strategy, legacy planning, etc.
I'm glad to be working with Kevin after all the disappointments of the last year!
How do you “go through” 6 CFP’s? Doesn’t each one require a huge investment in time plus a contract/commitment of some kind to engage? I’m about to have a first face-to-face meeting tomorrow with a Fidelity Financial Consultant., just have a local person. When we first talked, I told her I was using NewRetirement (Now BOLDIN! Yuck!). She suggested I use emoney which I found to be a far inferior tool to NR. Im not sure the FC knows as much as we know.
Currently enduring the same issues at Fidelity. Your endorsement means a lot. Thx for sharing
Very forthcoming! I want to play with the tools to better understand how to ask questions. Every time I ask a retirement question my CPA, estate attorney, CFP, and Fidelity advisor point at each other!
topic I'm researching
• Harvest stock loses in brokerage and IRA accounts
• DAF for tax benefit
• Backdoor Roth
• 4% RMD
• Value of a CFP
• At what age do retirees get into financial trouble
• What is a tax attorney used for?
• Protect assets
• Focus to payoff mortgage in 10 years
• Opening a business: rent my home/ consult
• Retiring in no property tax state as primary residence
• Renting out primary residence
• Hyperinflation impact
A great summary Kevin. Your channel is definitely in my top 5 for retirement planning on YT. I'm still 1-3 years from retirement but I started with my own (very basic) spreadsheet, have enjoyed using Right Capital (thank you🙂) and am more recently immersed in NR (and I regularly cross-check between the three to validate my work). Holistiplan and Income Lab look great, but sadly neither are available or cost-effective for the DIY market. Perhaps that will change in the next 5-10 years with the pace of fintech development.
Thanks, Lindsay. I definitely think you’ll see these tools or similar ones become available!
I have a very simple plan: 5 years in cash and everything else 100% in stocks. And it is very free.
Great video and thanks for showing these tools. I noticed the CFP I interviewed is using a couple of those. I searched for them and then looked at there pricing. Wow, they seem to REALLY think there SW is GOLD. Can you do a video on similar SW that is free and/or viable for DIY people to use/purchase. Maybe at end a comparison chart and then compare to these professional versions.
I did a video on New Retirement, which I believe is the best in the space for the DIY crowd. Although, I’ve been asked to review a couple of newer entrants - so maybe sometime soon.
15:34 Fully agree, and this is what I really need. With 30+ years of investing, I’m very comfortable with the execution process. And having used Boldin/New Retirement and a labeled version of Right Capital, much of it could be reviewing/revising the data that’s already captured and analyzed to some extent.
Unfortunately, finding a non-AUM, hourly/project-based CFP to do exactly this seems nearly impossible. $60,000 a year to do this analysis over a short period, and then basically do what I already do seems ludicrous.
3:56 For anyone researching a month or more later, New Retirement is now named Boldin.
The best service a CFP can do is to listen and advise there client, Thanks Keven for listening and advising me . Matt
Thanks, Matt! It’s my pleasure.
Financial advisor”I’m sorry, I’m just not equipped to help you with that. I am only equipped to take a percentage of your investments for basically nothing”. Thanks for calling
Thank you
Speaking of technology, someone will build an AI model with all this information and put a lot of advisors out of business, especially given how they charge people 1+% of their assets to do something that technology is making their job much easier than before. Technology allows advisors to scale their business much easier but it does not seem like they are passing that saving onto the clients.
No, there’s not much fee compression (as some predicted) but there’s a massive expansion in the services being offered. Partially, it’s hard to remove the human element and that’s not cheap - but we can make that human more helpful.
@@foundryfinancial There is no fee compression yet because currently these tools are not that smart yet. We'll see when an advanced AI model (that can analyze way more information in more axes than a current advisor can even think of) is deployed that makes the advisor's job so much simpler that someone will democratize these services and bring fees way down. I cannot imagine that is not going to impact your future business.
@@foundryfinancial Future advanced AI tools will allow people to do one-time planning much easier, and at a much lower cost, something a lot of advisors seem to want to charge an arm and a leg for today.
I agree with the human aspects. The software helps to simplify and should help the right advisor in communicating to the client/customer.
Tks for all you do
I’m about to sign with Vanguard. They have a long list of CFP’s that you can choose from and their fee is only 0.3%. Kevin, if your fee is less, please let me know.
Has anyone used James Canole or Ari’s Early Retirement Academy software?
From my review of his videos James Canole is also using whitelabeled Right Capital. He’s just not as comfortable disclosing that as Kevin is.
Even with Right Capital, NewRetirement or any other DIY tool, it’s all dependent on the quality of your assumptions. Otherwise, it’s the old Garbage In/Garbage Out (GIGO) situation. Ask me how I know. ;-) Hiring a CFP like Kevin will help avoid blind spots.
A better choice is to learn how to do your own plan. It isn't big science. Using programs like those you described depends on the programs being right and you understanding exactly what the program is doing. Rather than rely on someone else's work it is better to understand the process yourself and do your own modelling. That way you know exactly what assumptions and methods are written into the methodology you are using. At least that is what I always told my grad students when I was teaching.
Disclosure, I have never consulted a financial planner and never will. I am content to have doubled my portfolio since I retired.
Well part of my point is that this tech is trickling down to DIYers, but I’d trust those programs more than I’d trust the average spreadsheet (with a few notable exceptions).
@@foundryfinancial do you know exactly what assumptions and methods the programs use? Personally I write my own software. That way I know exactly what the procedures used are. Financial planning software is simple compared to the physical chemistry modelling software I wrote throughout my career as a professor.
@todddunn945 yeah, we can set and adjust the assumptions - but to your point, the assumptions matter.
@@todddunn945 with all due respect, as a professor you surely understand the logical fallacy of asserting that the results from a sample size of one supports a conclusion as to what is the "better choice" for all. YMMV.
@@lindsaynewell6319 My individual results simply reflect how my personal approach worked for me. I did not generalize from that. My comment was directed at using overly complex software very likely without knowing or understanding what the software did and EXACTLY how it did it. My position is simple. Don't use software unless you understand exactly how it does the calculations it does and all the assumptions built into those calculations. Furthermore, software should always be tested by the user using data that generate a known result to see if the software actually works. Obviously you need to run a number of data sets through the program to fully test it.
"If you ain't 1st, you're last" - Reese (Ricky Bobby's father, talladega nights)
My wife told me, that I am first and I am last... Ha-ha!
@liverpool3469 man she sounds like a tough crowd . . .