November may be the eleventh month of the year, but for many families it feels like the busiest. While we enjoy the traditions and history of the season, it also brings real-life responsibilities—especially for parents with college-bound seniors. And when it comes to college planning, nothing seems to raise the blood pressure faster than the financial aid process. But take a breath. With a little planning and clear-headed thinking, you can tackle this without panic—and without debt. Financial Aid Forms: Don’t Fear the Paperwork Many parents dread the FAFSA and other financial aid forms. They take time, and they’re not fun—but they’re necessary if you’re looking for need-based aid that helps your student pay for school without borrowing money . Here’s the deal: FAFSA is the primary form used to determine eligibility for federal need-based aid. It’s not perfect, but it’s doable if you’re patient and organized. Some colleges—usually the private, higher-cost schools—also require the CSS Profile, which dives even deeper into family finances. It’s long, and it’s detailed, but filling it out correctly can unlock additional grants (free money), which is the only kind of “aid” Dave Ramsey recommends. Just remember: forms don’t cause debt. Borrowing does.  Filling out this paperwork is simply part of being a responsible, informed parent who wants to steer their child toward a debt-free degree. Don’t Let Emails Scare You Colleges love sending urgent-sounding emails. Their systems don’t know whether you’ve filed the forms yet, so “reminder” emails get blasted to everyone. Too many parents read:“ If Alex has not already submitted the FAFSA… ” As:“ You’re late! You messed up! Something terrible is happening! ” Stop. Slow down. Look for what the message actually says. Unless the email comes directly from a financial aid counselor and includes a specific action you need to take, it’s usually just noise. Don’t make decisions based on pressure or fear. Use the College Portal—It’s Your Friend Once your student applies, every college gives access to an online portal. That portal is the best place to track admissions status, financial aid requirements, missing documents, and next steps. To stay on top of things—because your student won’t—create a simple spreadsheet: Name of each college Student ID number Portal login What forms or documents each school requires Deadlines It’s boring, but it puts you in control. That’s what we teach: know the facts, stay organized, and avoid financial surprises. Special Circumstances If your family has recent financial challenges—job loss, major medical expenses, elder care costs, or private school tuition for younger siblings—you may qualify for additional aid. Do NOT assume the college knows what you’re dealing with. And don’t expect them to take your word for it. You must provide documentation, and you usually do so after you receive your initial financial aid offer . Remember: your goal is to secure as much grant money as possible so your child can go to college without taking on student loans . Final Thoughts The financial aid process can feel like a maze, but you don’t have to panic. Keep a clear head, stay organized, read what’s actually written, and don’t let fear or urgency push you into bad decisions—especially decisions that involve student loans. The truth is simple: You can navigate this process wisely, avoid the traps, and help your child pursue higher education without debt. Happy Thanksgiving—and stay focused on what matters most.

CNBC reports that 28% of credit card users are still paying off last year’s holiday debt, that 86% of millennials overspend during the holiday season, and that the majority of Americans feel pressure to overspend on those they love during the holiday season. Terms like “debt,” “overspending,” and “pressure” imply that these statistics tell a negative story about the average consumer's decisions during this time of year. While it is unwise to spend above your budget or take on debt for gifts, I believe it also reveals a broader societal or moral pressure to purchase extravagant gifts for the most important people in our lives. This is a valiant aim, but, as with most things in life, there is a cost, and I would argue that it is too great for most people. This willingness to sacrifice to be generous demonstrates love and kindness, two fruits of the Spirit. However, another fruit of the spirit is self-control, and striking a balance between the emotional pull of giving and the reality of debt/overspending is how true financial peace and generosity can be cultivated.   On Paper On Purpose Dave Ramsey often says, “Christmas is not an emergency – it comes every year.”  Though obvious at its core, this statement is meant to affect a change in behavior. Saving for Christmas in December can start in January’s budget. Budgeting isn’t about limiting joy; it’s about planning for it. Starting at the new year, decide, either by yourself or with your spouse, how much total money you want to spend on Christmas gifts, and then divide that total by 12 (months in the year). Your first number might not make sense in your monthly budget on the first try. Slide the scale and find the number you can afford. This number should be all-inclusive. It accounts for gifts, postage, wrapping paper, and all the purchases that come with your fantastic gift ideas. Once we have our total, comes the part that is easier if you are single and more complicated if you are married. List all the people you want to buy a gift for. Mothers, fathers, children, grandchildren, and whoever else you desire to bless with a gift. Even more challenging is to give each person a dollar amount to spend on themselves. Once all is said and done, the total of all persons’ numbers should equal your agreed-upon total.   How Debt Affects This Plan If you are in debt, your budget is already severely limited by the minimum payments on your credit cards, auto loans, and other outstanding debts. How, then, do you act generously in this reality? This is an answer each person must make for their own household. The sting of debt becomes particularly apparent during the holidays. We yearn to bless our loved ones, but in the same vein, dig ourselves a bigger hole when we spend money we don’t have or allocate dollars towards others that would have otherwise been paid on debt principal. Some common solutions, not in any order, are: -        Buy no gifts.  This is for those who are extremely committed to escaping the clutches of debt. This is challenging for most because it feels selfish. I would argue that this method seems selfish in the short term but opens the door to extreme generosity when you are free from debt later. -        Cheap/Free Homemade Gifts. Perhaps you know how to crochet and have a lot of yarn on hand. Maybe you have the ability to whittle or have always wanted to learn. Perhaps you have the artistic ability to draw or paint. There are many creative, personal, DIY gift options. Remember, thoughtful does not always mean expensive. Maybe host Christmas at your house and feed everyone for $100 as a gift. The possibilities are endless. Of course, there are many combinations of the above options. Shorten your list of people to buy for and spend less on those you choose to buy for. Only buy for your household and find DIYs for everyone else. Whatever decision you and your spouse reach, make sure it’s intentional and mutually agreed upon. Guard Your Heart and Your Wallet The societal and moral pressure will feel heavy during the Christmas season. There may be people who shame you or be confused by your dramatic choices. Keep the Faith in God (which is what Christmas is truly about) and, in the process, pay off debt through the snowball method. Matthew 6: 19-21  states, “Do not store up for yourselves treasures on earth, where moths and vermin destroy, and where thieves break in and steal.    But store up for yourselves treasures in heaven, where moths and vermin do not destroy, and where thieves do not break in and steal. For where your treasure is, there your heart will be also.” Shut out the criticisms of this world and look to the affirmations of the King of Kings. Avoid tempting holiday deals, “buy now, pay later” scams, and other marketing ploys. Trust the plan you made and pay cash. Then, once the holiday passes, plan ahead again for next year. Take the lessons you learned from this year and aim to be more generous next year once your debt is gone. Incorporate the Christmas sinking fund  and make next year completely stress-free. Wrap Up (Pun Intended) How we spend our money reflects our priorities. I would argue that we all want our families to have valuable memories of family time and fun traditions rather than some flashy gift. Generosity is not measured by price tags but by how we treat others and how we spend our time. Finally, Christmas is about the birth of our savior, Jesus Christ, not the gifts that take attention away from him. If you find yourself in the midst of holiday stress and need to create a budget, reach out to one of our financial coaches . God bless and Merry Christmas.

The short answer to this question is YES!   This can be confusing, but Dave Ramsey Baby Steps puts them in this order as a priority, not as a distinct timeline. Not many people will be done saving for retirement (entirely) before they start saving for college. Many people have children while they’re in their 20s through their 40s. . Yet, they participate in 401(k)   s and fund IRAs into their 50s and 60s, when their kids are either in college or have graduated.   This approach does not contradict the principles of the seven baby steps; it simply prioritizes beginning retirement savings first. It’s important not to pause or reduce retirement contributions at any stage of life—ideally maintaining a savings rate of around 15%. Unlike college expenses, there are no loans, scholarships, or significant ways to offset the cost of retirement.   Education funding, on the other hand, is often a moving target. Families may be uncertain about how many children they’ll have, how many will pursue higher education, whether they’ll choose public or private schools, and what level of financial aid or scholarships they might receive. While retirement also has its variables, the overall cost tends to be more predictable and confined within a narrower range.   In this week's article, we will explore the balance and strategy of saving for both.   Utilize the time value of money for both goals   While the expenses for  retirement  and college  may seem large and daunting, saving early will make these financial goals much more attainable.   Let’s look at some specific numbers for both goals.   Saving for College   Saving Early Saving just $165 a month for 18 years and getting a hypothetical market return of 7% produces a final value of $70,000, making entering college much less stressful and leaving many options open, even if that doesn’t quite fully fund a degree for your child.   Saving Later What if you didn’t start saving until your child was in high school, and you know you have to make up for lost time? Let’s say you put away $500 a month. At the same rate of return, you only accumulate $26,000 by the time your child enters college. With the shorter time horizon, the compounding effect is much less powerful.  A shorter timeframe also makes you more susceptible to hitting a market downturn and reducing your average return.   We still encourage parents that it is never too late to save. Even saving only $30,000 (for example) versus $0 for college is still much more desirable.   Saving for Retirement   Investing Early If you start investing in a ROTH IRA  as soon as you get your first job out of college, put away $300 per month, and stay consistent at that level until you can first start to draw Social Security, you would accumulate $2,200,000 at the historical average market return of 10%.   Investing Later If you don’t start investing until you are 52 and again, to make up for lost time, you save $1,000 a month, and you average 10% over a 13-year period, you only accumulate $171,000.   Like the college example, saving something is better than saving nothing, but it still significantly limits your retirement options.   Saving for both simultaneously   In the early-saver example, you would only need to save a combined $465 monthly to have $2,270,000 to meet your college and retirement goals.   In the late-saver example, you save a combined $1,500 monthly (over three times more than your budget allows), yet you only accumulate $198,000 to attempt to accomplish these two significant goals.   It might not be easy to  start early on both goals, (especially if you have four kids rather than one), but saving early allows compounding returns to work for you and your goals become more manageable. Trying to suddenly build an extra $1,500 or more into your budget to invest/save each month is much more challenging.   Have clear goals  for both life events   With retirement being a higher priority and a little easier to predict, couples should consider their retirement plans early in their marriage, including when they want to retire, where they want to live, whether they wish to travel, what types of hobbies they want to pursue, and how charitable they want to be, among other considerations.   The earlier you do this, the better. Planning in advance can make achieving your goals easier.   Let’s imagine you’re a late saver who dreams of traveling the world, dining out five nights a week, joining multiple golf leagues, and being an active philanthropist. If you only begin saving about ten years before your desired retirement, those goals may no longer be realistic.   The same principle applies to college planning. As a couple—and eventually as a family—it’s important to have open conversations about your educational goals. Will your children attend public or private schools for K–12? Do you hope to help them attend a private university or even pursue graduate degrees? If those conversations and savings efforts don’t begin until your child reaches high school, it will likely be too late to fully fund those ambitions without relying heavily on loans (which we want to help you avoid).   When balancing these two major life goals—retirement and education—there’s room for flexibility. Every family has its own values and priorities. For instance, if you received little or no financial help with your own education and believe your children should largely fund theirs, you might decide to allocate more than 15% of your income toward retirement. Your focus would lean more heavily toward long-term financial independence.   Conversely, some families place a high value on education and are willing to live a simpler retirement lifestyle to help their children graduate debt-free. Most families, however, aim to find a thoughtful balance between the two—protecting their future while supporting their children’s educational opportunities.   Cost-saving strategies for college   Returning to the central theme, you can and need to save for both retirement and college simultaneously; however, there are helpful strategies beyond simply saving early for college.     A typical scenario involves a family with a household income under $100,000 and 3 or 4 children who wish to attend a private school. Reiterating that it is essential to keep retirement funding around 15%, saving for multiple children’s college, even if you start early, you probably will fall short of funding a private school for all your children, unless they get scholarships that mainly cover tuition, room, and board.   Taking college courses or dual credit classes in high school can be an excellent way to reduce the costs of a 4-year undergraduate degree. , Also, a suggestion is to find schools that offer a 3-year degree opportunity in your major. If you already have some college credits from classes you took in high school, you can obtain a 4-year degree in approximately half the time and at a significantly lower cost.   Another way your children can obtain a degree without you having six figures in savings is to go to a branch campus or a nearby college. This allows them to commute, saving on room and board costs, which can significantly reduce college expenses. Additionally, attending a local tech or community college and earning a low-cost associate’s degree will allow you to pursue a bachelor’s degree later, potentially reducing your total bill.   A labor-intensive method to reduce higher education costs is to apply for every scholarship or grant you can find. Many parents make the mistake of thinking that because their son or daughter is not a star athlete or the class valedictorian, they have no chance at scholarship money. However, there are numerous scholarships awarded based on various factors, so almost every student is eligible if they look hard enough. Be proactive; scholarships will not chase down your child and beg you to take the money.   Working during college on campus by being an RA or doing work study can also be a good way to lower your college bill if you are light on your 529 balance.   Summary   Baby step 4 of Dave Ramsey’s plan is to save 15% toward retirement, and this should be started as soon as you have an acceptable emergency fund in place (baby step 3). Then, as soon as you have a child, a college fund should be started, which is Baby Step 5, but never at the expense of retirement funding. As we mentioned, the time value of money is important, so even if you only have $10 per month to start saving for college, it would be wise to do so. It is common for clients to struggle to save a significant amount for college after prioritizing retirement savings, but we encourage you to save a little, and perhaps later you can save more.   Like so many goals and important events in life, effectively funding your retirement and education accounts requires being proactive, intentional, and thorough. A winning mentality and working with your spouse and children will be vital. Another universal skill is communicating effectively so that everyone is on the same page and there are no significant surprises that you haven’t discussed and planned for. Both goals will evolve, and some adjustments will need to be made, but one constant that needs to be maintained is funding both early and often. For most people, retirement and education funding are the two largest and most important financial goals. Therefore, it is essential to discuss and work with your financial advisor on how to address these goals efficiently simultaneously.   Our Financial Coach would also be happy to meet with you to discuss ways to negotiate the cost with colleges, find scholarships, as well as help you to discover overall strategies to go to college debt-free.

Ensuring adequate savings for a lengthy retirement stands as the paramount concern for retirees and individuals nearing retirement. Recent years of elevated inflation have diminished the buying power of cash reserves, creating additional hurdles. Essential expenditure categories for retirees, healthcare, housing, and daily necessities continue to reflect heightened price levels. While equities and fixed-income investments offer viable solutions to address this challenge, some retirees exhibit conservative risk preferences, questioning whether their accumulated assets can adequately offset rising living expenses. For those with extended investment horizons, understanding the impact of inflation on retirement income and implementing effective portfolio strategies to preserve purchasing power remains crucial. What essential insights should current and prospective retirees understand about managing today's financial landscape? Experienced inflation often exceeds Social Security cost-of-living adjustments The Social Security Administration's recent announcement of a 2.8% cost-of-living adjustment (COLA) for 2026 acknowledges ongoing inflationary pressures. Despite providing some relief, the price movements tracked by economic indicators frequently diverge from actual daily expenditure patterns. The adjustment translates to an average monthly benefit of $2,064, representing merely a $56 increase . This pales in comparison to the 8.7% adjustment in 2023, the most substantial since 1981. Retirees face a fundamental challenge: while the pace of price increases may decelerate, absolute price levels seldom decline . The COLA calculation utilizes the CPI-W, a Consumer Price Index variant that tracks the expenses of working-class households. This methodology overlooks the reality that retirees frequently encounter distinct inflation patterns compared to younger workers. Expenses for healthcare, housing, and other categories comprising significant portions of retiree budgets have frequently escalated faster than broader index measurements indicate. Consider specific examples : medical care services prices increased 3.9% annually, health insurance rose 4.2%, and home insurance jumped 7.5%. Food costs increased by 3.1% during this timeframe, with meat, poultry, and fish specifically rising that 6.0%. Full-service restaurant expenses also grew 4.2%. Compounding this challenge, Medicare Part B premiums may increase $21.50 monthly in 2026, rising from $185 to $206.50 based on recent Medicare trustees' projections. Given these premiums are generally deducted directly from Social Security payments, this would consume roughly 38% of the typical $56 COLA increase, further diminishing retirees' purchasing power. Extended longevity amplifies the necessity for portfolio appreciation Similar to how investment gains accumulate over time, the erosion of purchasing power compounds when portfolio growth fails to keep pace with inflation. This consideration carries heightened significance today, as retirees must account for potentially longer lifespans than those of prior generations. Consequently, life expectancy represents a critical variable in financial planning calculations. Current Social Security Administration statistics indicate that males and females aged 40 have average life expectancies of 79 and 83 years, respectively. For individuals reaching age 65, these expectations extend to 83 and 86 years. These figures represent averages—individuals in the 90th percentile may live to 94 and 97 years, respectively. While the prospect of enjoying extended, healthier retirements represents remarkable progress over the past century, the distinction between 20-year and 30-year-plus retirements carries profound implications for portfolio design and distribution strategies. This phenomenon, termed "longevity risk," presents an asymmetric challenge since depleting assets during retirement creates far greater difficulties than bequeathing wealth to beneficiaries or philanthropic organizations. Therefore, while income-producing investments, such as fixed income securities, often receive priority in retirement planning, maintaining growth-focused assets, like equities, remains equally important. Extended lifespans generate financial complexities that amplify the value of comprehensive planning. Structuring portfolios for multi-decade retirement horizons, while managing distribution rates and responding to evolving market environments, demands expertise that extends beyond simplistic guidelines. Declining short-term rates diminish cash-based income generation Recent Consumer Price Index releases, delayed by the suspension of government operations, carry implications for Federal Reserve monetary policy and broader interest rate trends. With inflation easing and employment conditions softening, the Fed is anticipated to persist with gradual policy rate reductions. While beneficial for numerous economic sectors, this transition will likely diminish interest income generated from cash holdings and money market vehicles over time. For retirees who have relied upon interest earnings from cash positions during recent years, this return to reduced interest rate conditions may introduce difficulties. Although maintaining cash reserves for immediate expenses and contingencies remains prudent, excessive cash concentration means forgoing the potential for equity growth and the attractive yields still available across various fixed income sectors. The convergence of moderating yet persistent inflation with declining interest rates establishes a demanding environment for conservative investors. Cash experiences purchasing power erosion from inflation, while generated interest will diminish as the Fed continues rate cuts. This heightens the importance for retirees to maintain balanced portfolios that incorporate growth-oriented assets, such as equities, which have historically outpaced inflation over extended periods, alongside fixed-income investments that deliver income and stability. What does this all mean to you? Although Social Security COLA offers some inflation protection, retirees find it challenging to depend solely on these adjustments. Given increasing life expectancies and falling short-term rates, investors require portfolios capable of delivering both income generation and capital appreciation. Our goal at Whitaker-Myers Wealth Managers is to keep you on track, wherever you are on your life journey. Be sure to consult your advisor about any life changes. If you don’t have an advisor, consider speaking with one of our advisors today.

As 2025 winds down, now is the perfect time to make strategic financial decisions that can lower your tax bill, grow your investments, and set you up for a strong start to 2026. Many of these opportunities disappear when the clock strikes midnight on December 31st, so acting now can make a meaningful difference in your long-term financial health. Below are six smart strategies to consider before year-end: 1. Max Out Your Retirement Contributions If you’re still working, review how much you’ve contributed to your 401(k) , 403(b), or IRA this year. For 2025, the contribution limits are: 401(k) / 403(b): Up to $23,500 (plus a $7,500 catch-up if you’re age 50 or older) Traditional & Roth IRAs: Up to $7,000 (or $8,000 if age 50+) Increasing your contributions before December 31st not only helps build your retirement savings but can also reduce your taxable income if you contribute to a pre-tax account. If you’re unsure whether you’re on track, check your most recent pay stub or retirement plan portal and adjust your contribution rate accordingly. 2. Consider a Roth Conversion If you expect your income to be lower this year or anticipate being in a higher tax bracket in retirement, a Roth conversion  could be a valuable move. This strategy involves transferring funds from a Traditional IRA to a Roth IRA and paying taxes now in exchange for tax-free growth and withdrawals in the future. A Roth conversion can also help diversify your retirement tax exposure, giving you more flexibility in managing income and taxes later on. Please note that this must be completed by December 31st to be counted for the 2025 tax year. 3. Review Your Investment Portfolio Year-end is an ideal time to review your investment mix and ensure it remains aligned with your goals and risk tolerance . Market fluctuations throughout the year can disrupt your allocation's balance. Rebalancing: selling positions that have grown and reinvesting in underweight areas can help keep your portfolio on track. You may also consider harvesting investment losses to offset capital gains and reduce taxable income. 4. Use Up Flexible Spending Account (FSA) Funds If you have a health or dependent care FSA, check your balance and spend down any remaining funds before the deadline. Many FSAs operate on a “use it or lose it” basis, meaning unspent dollars may be forfeited after year-end. Eligible expenses can include medical copays, dental visits, prescription glasses, and certain over-the-counter medications. 5. Make Charitable Contributions Giving back is rewarding, and it can also provide a tax deduction if you itemize. You can donate cash, appreciated securities, or even make a Qualified Charitable Distribution (QCD) directly from your IRA if you’re age 70½ or older. QCDs can satisfy part or all of your Required Minimum Distribution (RMD) while excluding the amount from your taxable income. A win-win for both you and the organization you support. 6. Plan for Required Minimum Distributions (RMDs) If you’re age 73 or older (or inherited a retirement account), you may need to take Required Minimum Distributions  before year-end. Missing an RMD can result in a hefty penalty: up to 25% of the amount that should have been withdrawn. If you don’t need the income, consider strategies to minimize the tax impact, such as directing part of your RMD to a charity via a QCD. The Bottom Line A little planning now can lead to meaningful savings later. Whether it’s topping off retirement accounts, fine-tuning investments, or making strategic gifts, taking these steps before year-end can strengthen your financial foundation for years to come. If you’d like to review your options or discuss which strategies make sense for your situation, connect with your financial advisor  before November 30th to ensure there’s time to implement any changes.

For most companies, the 4 th  quarter of the year is an important time for registering for benefits.  According to the Bureau of Labor Statistics' June data ,  benefits comprise 30% of a civilian employee’s total compensation.  The remaining 70% were wages.  For state and local government workers, benefits represented 31%.  So, when you enroll in your benefits in the 4 th  quarter, make sure you’re making thoughtful decisions about what you’re selecting and, if appropriate, consult your advisor.    When reviewing your benefits for the upcoming year, consider which benefit options have changed and which have remained the same.  If you have questions about the plan, contact your benefits team/coordinator.  Just because you chose one benefit option for the current year doesn’t necessarily mean having the same benefit the following year makes sense.  For example, if you have a group legal plan, you may have the option to enroll for one year to have a Will or Trust completed and then unenroll the following year.   Let’s walk through some popular benefits options you will likely have to choose from.   Health Insurance This is probably the most significant selection in your benefits (unless you have an employer that covers all employees and their family's medical premiums).  You will want to evaluate the options carefully.  Some popular plans are a Health Maintenance Organization, or HMO, and a PPO, or Preferred Provider Organization.  Here’s a site comparing the two .    At a high level, Health Maintenance Organizations (HMOs) have a network of doctors, hospitals, and other healthcare providers who offer their services for a specific payment, allowing the HMO to control  costs for its members. A referral is required.  Cost and choice are the two features that set HMOs apart from other healthcare plans.    Preferred provider organizations (PPOs)  offer a network of healthcare providers for your medical care at a specific rate. Unlike HMO, a PPO allows you to receive care from any healthcare provider, in or out of your network.   Health Savings Accounts (HSA)  are available with a high-deductible health plan (HDHP), and the linked article can talk through the basics for you.   Flexible Spending Accounts (FSA)  are a great option if you don’t have an HDHP.  Be sure to use the funds: by the end of the “grace period,” typically 2.5 months following the end of the plan year or pend your account below the annual carryover amount, which is $640 for 2024, and likely to Health Equity offers a vast list of Qualified Medical Expenses (QME)  that you can use to ensure you spend any remaining dollars.   Dental Insurance These plans vary quite a bit by employer.  Below is what a typical plan  covers.    100% of routine preventive and diagnostic care, such as cleanings and exams. 80% of basic procedures, such as fillings, root canals, and tooth extractions. 50% of primary services such as crowns, bridges, and implants.   If you need orthodontic/denture work done, asking your dentist for a couple of referrals can help you understand different providers in your area and compare services and prices.  These expenses can be hundreds to thousands of dollars.  For any dental/orthodontic work your plan doesn’t cover, you should discuss with your advisor a plan of how to cover these expenses with your pre-tax Flexible Spending Account (FSA) or Health Savings Account (HSA).   Vision Insurance If you carry vision insurance and your plan offers a glasses/contacts allowance, ensure you maximize it yearly.  If you don’t need new glasses or contacts, you will want to understand what your vision covers to see if it’s necessary to keep every year.   Short- and Long-Term Disability   Your employer can sometimes pay for these.  If your company pays for it, great, let your advisor know.  You should also inform your advisor if they don’t pay for it.  We generally don’t recommend short-term disability unless it’s free/very cheap, but here’s an article discussing Long Term Disability Insurance   and why it’s a good idea.   Life Insurance Life insurance purchased through work is generally Group Term Insurance, similar to Term Insurance you would buy individually.  We recommend purchasing it outside of your employer because if you get sick and have to leave, as it’s not transferable.  Here’s an article that gives further insight into Term Life Insurance .   Dependent Care Flexible Spending Account Dependent Care Flexible Spending or DCFSA accounts can be a great way for employees to save on taxes when paying for care for children under 13, a disabled spouse, or an older parent in Eldercare.  If this is you, visit this site here to learn more .   Legal Plan If your company offers a legal services plan and can complete a Will/Trust, this could be a great way to set one up for a large discount, as doing so normally requires an estate planning attorney.  You could enroll for the benefit for one year and then not the next.  You should clarify what services the group legal plan covers and whether a Will/Trust is included.  If you’ve been putting it off like most Americans, talk to   your Financial Advisor  today about establishing one through one of our partners.   Employer-Sponsored Retirement Plan Whether you have a 401(k), 403(b), 457(b), or a small business retirement plan, you should have the details on the features of your plan.  It may even require your advisor to review your Summary Plan Description (SPD) or call the plan custodian (the company that manages the investments) to obtain the SPD to understand the features.  If you need help managing your employer’s retirement plan, you should talk to your advisor because at Whitaker-Myers Wealth Managers, we are uniquely qualified to help you manage your current 401(k) or another employer plan.   You’re generally always able to change the amount contributed to your plan, whether at a $ or % level.  Most employers allow you to choose a separate contribution amount if you receive any bonus compensation.    Be careful not to max out your 401(k) early because it could cost you the employer match if there’s no true-up provision for the plan .  If you’ve left your employer ,  you should notify your advisor to discuss your 401(k) options.  These are all reasons why you should consult your retirement contribution strategy with your financial advisor.   Tuition Reimbursement & Professional Development Many companies offer a benefit to partially or fully pay for you to obtain further education, whether a degree through a school, a certification program, or just a professional development course.  Investing in yourself in this way could be a better return on investment than any mutual fund could ever return, so be sure you know what benefits your employer offers. Long Term Care Long-term care  is not as commonly offered by employers, but the linked article can provide some good considerations for funding options.   Parking/Commuter Benefits If you have to pay for public transportation or parking, hopefully, your employer offers commuter benefits.  This is a way to save up to the IRS 2023 limit of $300 per month for expenses.  Even if you work primarily from home and only go into the office a few days a week, this is another excellent way to save on taxes.  Here’s a site to check out if you have more questions .   The benefit of talking with a financial advisor This is not a complete list of benefits employers offer, but it is most of the major ones.  As you build out your financial plan, you should discuss how to best leverage your company’s benefits with your advisor, given that it’s around a 1/3 of most employees’ total compensation. If you don't have a financial advisor, one of our trusted team members would be happy to set up a complimentary meeting to discuss your needs and address any questions you may have.

Introduction With the Federal Reserve’s recent announcement that is will drop interest rates, many investors are asking how a rate change could impact their portfolios. One of the most important — yet often misunderstood — relationships in finance is that between interest rates and bond prices . In this article, we’ll break down how they interact and why changes in rates can directly affect the value of your bond holdings. What Is a Bond? A bond is essentially a loan made by an investor to a government or corporation. In return, the issuer agrees to pay interest (called the yield ) and return the principal at maturity. A bond’s yield represents the return an investor receives based on its interest rate and current market price. The key relationship to remember is this: When bond prices rise, yields fall. When bond prices fall, yields rise. To keep the example simple, let’s use a zero-coupon bond , which doesn’t pay interest during its term. Instead, investors buy it at a discount and receive its full par value  at maturity. The difference between the purchase price and the par value represents the investor’s return. Example: How Rate Changes Affect Bond Prices Suppose a zero-coupon bond sells for $980  with a $1,000 par value  and matures in one year. The return, or yield, on this bond is about 2.04% . Now, imagine that interest rates rise, and new bonds are issued offering a 5% yield . Compared to these new bonds, the existing 2.04% bond looks much less attractive. To remain competitive, the price of the older bond would have to drop to about $952.38 , aligning its yield with the new market rate of 5%. The reverse is also true. If interest rates fall, existing bonds with higher yields become more desirable, and their prices typically increase. It’s also important to note that a bond’s duration  — its sensitivity to interest rate changes — plays a role. When rates are rising , investors often prefer shorter-duration bonds , which are less affected by price declines. When rates are falling , longer-duration bonds  tend to perform better because they gain more from the decline in rates. The Federal Funds Rate Explained The Federal Funds Rate  is the interest rate at which banks lend money to one another overnight to meet reserve requirements set by the Federal Reserve. While the Fed doesn’t directly set this rate, it establishes a target range , and the rate typically stays within that range based on supply and demand in the interbank lending market. The Federal Open Market Committee (FOMC)  meets eight times a year to review economic conditions and adjust this target as needed. The federal funds rate influences the cost of borrowing across the economy — including mortgage rates, credit card rates, and, importantly, bond yields . Conclusion In short, interest rates and bond prices move in opposite directions : When rates rise , bond prices fall . When rates fall , bond prices rise . This inverse relationship exists because newly issued bonds adjust to the new market rates, making existing bonds with lower yields less appealing (and therefore cheaper). Understanding this dynamic is crucial for investors, especially in times of changing monetary policy. Whether you’re holding bonds for income, diversification, or stability, knowing how rate movements affect your bond values can help you make more informed investment decisions. Similar to diversification with stocks, it’s important to build the bond portion of a portfolio to provide stability and a consistent yield across various durations.  Your Whitaker-Myers investment committee considers all of these dynamics when designing your portfolio.

One item that Dave Ramsey consistently hits on is the importance of a side hustle to increase income and better reach your financial goals. Side hustles come in all shapes and sizes: food delivery, lemonade stands, woodworking, buying and selling trading cards, and/or starting a lawn care business. The possibilities are virtually endless. Although some of them can be straightforward from a tax perspective, others can become very complicated. In this article, I will go over several tax items to consider when starting a new side hustle.   Part-Time Jobs   The simplest side hustle from a tax perspective would be taking on another job. Typically, the income from the side hustle is added to your income for the year, and from there, it is business as usual. One important item to consider is the withholdings for this part-time job. If you make under a certain amount at your part-time job, your employers will not withhold any taxes from your income automatically. This could not be an issue if that was your only source of income, but this could create serious issues and potentially lead to penalties when added to the income from your main job. The only other item to consider is any employer-sponsored retirement plans offered by your side hustle employer. There are several limits placed on the amount you can save in different retirement accounts, and there can be penalties associated with going over those limits. To ensure you don’t exceed any of those limits, it's best to schedule a meeting with one of our advisors .   Hobby vs. Business Income   For other types of side-hustle income, the IRS uses several tests to determine whether it is income from a hobby or a business. The results of this test can have massive implications for the taxability of any income derived from this activity. Several factors are considered, each with equal importance. Some of the factors include:   1.     Activity is carried out in a business-like manner 2.    Intention of profit 3.    Dependency on income from this activity for your livelihood 4.    Personal motives (enjoyment, relaxation, etc.) from the activity 5.    Having enough income from other sources to fund the activity 6.    A more detailed list can be found on the IRS website here .   Regardless of whether the activity is considered a hobby or a business activity, the income must be reported, no matter what. However, the key difference lies in deductions. There are no deductions you can take for a hobby, which means you cannot use any expenses to offset any income you generate. However, with a business activity, you can use expenses you incur to offset any profit generated from the business. This also has the potential to expand into your other sources of income, depending on various factors. Business activity is by no means a “one size fits all” matter on the tax side of things, so it would be best to consult a tax professional to go over your specific situation. Reach out to Whitaker Myers Wealth Managers for more information or schedule a meeting with your financial advisor .

Philanthropy has expanded far beyond writing a year-end check. Today, tools like  Donor-Advised Funds (DAFs)   allow individuals and families to give more strategically, unlock valuable tax advantages, and even grow their charitable assets over time. For those holding significantly appreciated assets, such as stocks that have a significant gain, or those that hold large cash positions, DAFs can also provide an innovative solution for charitable giving. What Is a Donor-Advised Fund? A Donor-Advised Fund is a charitable investment account created for the sole purpose of supporting charitable causes. You contribute cash, securities, or other eligible assets, receive an immediate tax deduction, and then recommend grants to your chosen nonprofits over time. Meanwhile, the assets inside the fund can be invested and grow tax-free — amplifying your long-term impact.   Key Benefits of DAFs Immediate Tax Deduction Donors receive a charitable deduction in the year they contribute to the DAF, even if grants are made years later. Cash contributions are generally deductible up to  60% of adjusted gross income (AGI) . Appreciated assets such as securities, real estate, or other capital gain assets are deductible at  fair market value up to 30% of AGI , making them especially powerful for tax planning . Avoiding Capital Gains Taxes Donating appreciated assets — such as securities, real estate, or other capital gain assets — allows you to bypass capital gains tax, increasing the amount directed to charity. Tax-Free Growth Assets inside a DAF can be invested, giving your charitable contributions the chance to grow over time, tax-free. Flexibility in Giving Contribute for one year and distribute grants over several years, ensuring ongoing support to nonprofits. Family Legacy and Engagement Families can involve children or heirs in recommending grants, creating a multi-generational culture of giving. Beyond Cash: Real Estate and Alternatives in DAFs While many donors contribute cash or publicly traded securities, DAFs often accept  non-traditional assets , which can be especially powerful for high-net-worth families. 1. Real Estate : Donating appreciated property allows donors to avoid capital gains taxes, take a fair market value deduction, and shift the responsibility of sale/liquidation to the DAF sponsor. 2. BREIT (Blackstone Real Estate Income Trust) : With an  8.3% annualized inception-to-date return as of July 31, 2025 , BREIT provides steady growth potential. Donating BREIT shares can convert an illiquid, appreciated holding into philanthropic capital while eliminating embedded capital gains tax exposure. 3. Other Alternatives : Depending on the DAF sponsor, private equity, hedge funds, or other alternative investments may also be accepted. By leveraging these types of assets, donors can transform holdings that may otherwise generate tax burdens into lasting charitable resources. Eligible Beneficiaries Grants from a Donor-Advised Fund can support any IRS-qualified 501(c)(3) public charity, including: Educational institutions Religious organizations Health and human services nonprofits Environmental initiatives Arts and cultural groups Growing Your Giving Once assets are contributed, they can be invested within the DAF, allowing them to grow tax-free. This means a donor who donates $50,000 may just give away more than $50,000 after accounting for the growth that happened while in the donor-advised fund. Final Thoughts Donor-Advised Funds combine simplicity, tax efficiency, and long-term growth potential with the flexibility to support a wide range of causes. For families with wealth tied up in real estate or alternatives, a DAF offers a unique opportunity: turning complex assets into meaningful, tax-advantaged philanthropy while still benefiting from growth and income potential inside the fund. If you're unsure where to start or want to learn about how DAFs could fit in your portfolio, don’t hesitate to connect with your financial advisor  today.

Lately I’ve been engrossed in the world of watching my LinkedIn feed. Now, remember, LinkedIn is supposed to be the anti-Facebook social media website. Anti-social media in the sense that for busy professionals, it’s a way to share their expertise in a given area, congratulate other professionals on their success regarding awards and promotions, and even learn something along the way with tools such as LinkedIn Learning. However, lately, it’s been a barrage of me watching some of my bolder brethren in the Financial Planning community completely destroy individuals claiming to be “Financial Advisors” and “Financial Experts” but are really licensed to sell insurance and are pitching Bank on Yourself and/or some variation of Whole Life or Universal / Variable Life Insurance . Payday Lenders to the middle class. They are right to try and discredit those salespeople and steer individuals away from listening to these so-called experts because they’re pushing products that will keep people stuck in neutral in terms of wealth building, while their friends who take the advice of Dave Ramsey and Ramsey Solutions, roll right on past them during every bull market, by executing the Baby Steps and staying away from that horrible acid that is anything but term life insurance. All that to say, how can these individuals call themselves Financial Advisors? Have they passed their Series 65 or Series 7 exam? In many cases no, just an insurance license. Do they have an advanced designation such as the CFP®? Do they have an advanced degree with specific training in financial planning and investment management, such as an MBA in Finance? The answer in most cases with these individuals is no. And that’s what makes it very hard for you as a consumer. If you want a comprehensive financial plan completed by a true professional, who has demonstrated expertise through rigorous education, training, and ethical standards, then you need a CFP Professional. Whitaker-Myers Wealth Managers is proud to offer in-house CERTIFIED FINANCIAL PLANNER™ professionals as part of our team. This means that when you need a truly comprehensive, holistic financial plan, you're working directly with credentialed experts who understand your full financial picture—from net worth and investment strategy to tax planning, estate considerations, and more. Our CFP® professionals bring years of experience helping individuals and families with net worths ranging from $250,000 to mid-eight figures. They’re trained to go beyond the basics, offering deep insights and strategies tailored to your unique goals and values. If you’re interested in a full-scale, customized financial plan, we offer this as a dedicated service at a cost of $250 per hour, with most plans requiring 10–15 hours of work. One of our financial advisors will then personally deliver your plan, walk through it with you, and help outline potential next steps. This is separate from the essential retirement planning service that comes included as part of our standard client relationship. As part of our onboarding and ongoing service model, we ensure you're on track for retirement and executing Baby Step 4 effectively—at no additional cost beyond our professional asset management fee. The comprehensive financial plan, by contrast, digs deeper. It offers a detailed blueprint of your entire financial landscape, helping you make more informed decisions across every area of your financial life. In the remainder of this article, we’ll walk through what that process looks like—so you know exactly what to expect if you decide a comprehensive financial plan is right for you. Understanding Your Goals and Objectives: The first step in creating a comprehensive financial plan is ensuring the Financial Advisor and Financial Planner understand your goals, aspirations, and unique financial situation. Our team leverages our experience along with our technology-based questionnaires to initiate a detailed discussion to gain insights into your short-term and long-term objectives, such as retirement planning, investment growth, education funding, debt management, and estate planning. By grasping the bigger picture, our CFP practitioner, through Delegated Planning, can tailor the plan to suit your individual circumstances. Gathering Financial Information: Once the goals are established, our planner delves into your very unique and personalized financial details. This stage involves collecting data on income, expenses, assets, liabilities, insurance policies, tax returns, investment portfolios, and any other relevant financial documents. One essential item to note when having a comprehensive Financial Plan done: It’s a junk in, junk out type of situation, which is to say that if you don’t have the time, desire, or ability to gather the necessary financial information and answer the questions, then the plan may be incomplete or lack the data set required to be as comprehensive, as you’d like it to be. The planner will assess your current financial position, identifying strengths, weaknesses, and areas for improvement. Analyzing and Evaluating the Financial Situation: With the gathered information, a CFP performs a thorough analysis, evaluating your current financial standing and identifying potential risks and opportunities. By using financial planning tools and techniques, they determine the client's net worth, cash flow, risk tolerance, and investment performance. This analysis enables our planner to identify gaps, provide recommendations, and suggest strategies to optimize your financial situation. Creating a Tailored Financial Strategy: Our planner designs a customized financial strategy based on your goals, financial data, and risk tolerance. This strategy encompasses various aspects such as budgeting, debt management, tax planning, investment allocation, retirement planning, insurance coverage, and estate planning. While formulating this strategy, the planner will consider your preferences, time horizon, and risk appetite. The plan is designed to be adaptable, considering potential life changes and market fluctuations. Implementing the Plan: Once the financial strategy is finalized, a Financial Advisor at Whitaker-Myers Wealth Managers will walk you through the process of implementing the recommendations made by our planner. At this point, you’ll decide if you want to hire the team at Whitaker-Myers Wealth Managers to implement the recommendations made in the plan or if you’re just here to pay for the advice and then you’d prefer to handle the implementation. If a client is a DIY investor, they may want a CFP Professional to review and analyze their situation and are more than willing to do pay one to do so, however, they’d like to maintain control over the day-to-day management of their investment strategy. While this is uncommon, it is the desire of some clients. The implementation may involve reallocating investments, setting up retirement accounts, establishing emergency funds, refinancing debts, and optimizing tax structures. If hired on an ongoing basis as a Financial Advisor, the team at Whitaker-Myers will assist in coordinating with other professionals, such as Whitaker-Myers Tax Advisors, outside attorneys for any estate planning recommendations, and Whitaker-Myers Insurance Agency, in ensuring seamless execution of the plan. As a reminder, the team at Whitaker-Myers Wealth Managers believes in the teachings of Ramsey Solutions , therefore, no implementation advice will be given that is not consistent with what you’d hear Dave, Rachel, Dr. Delony, or any of the other team members at Ramsey Solutions. Just recently a prospect hired Whitaker-Myers Wealth Managers to perform a comprehensive financial plan. The plan identified retirement contributions that were being made in error by a very large national private bank. The client, because they were hiring Whitaker-Myers Wealth Managers for ongoing services, scheduled a meeting with the client’s tax professional team, who were not in lock step with the private client team at this large bank. The client was saved numerous future tax penalties by fixing the error and now had the ongoing coordination of their tax professional and financial professional, all brought together through the implementation of their comprehensive financial plan. Regular Monitoring and Review: Creating a comprehensive financial plan is not a one-time event; it requires ongoing monitoring and periodic reviews. If desired, our planner can regularly assess the progress of the plan, tracking performance against set goals. They will make adjustments as necessary, considering changes in the client's circumstances, market conditions, and legislative updates. If desired, the Financial Advisor can ensure regular communication. Therefore, they can update our financial planner to ensure that the financial plan remains aligned with your evolving needs. It is estimated updates to the plan may require 2 – 5 hours of work, therefore making them economically feasible for your budget every few years. Conclusion A comprehensive financial plan is a roadmap to financial well-being, and a certified financial planner serves as the navigator. By understanding the client's goals, analyzing their financial situation, and crafting a tailored strategy, a CFP empowers individuals to make informed financial decisions and achieve their objectives. With ongoing monitoring and periodic reviews, a CFP ensures the plan remains relevant and effective in the face of life's changes and economic fluctuations. Investing in the expertise of a CFP can provide invaluable guidance, enabling you to build a solid foundation for your financial future.

I have never seen my LinkedIn feed blow up with so much Dave Ramsey content from other financial advisors as I did about one year ago. Keep in mind, Dave Ramsey and most financial advisors do not get along. There is a hate-hate relationship between the two parties. I'm not sure why - probably most of it relates to how financial advisors think Dave Ramsey's 10-11-12% market return estimates are incorrect, a lot of it is jealousy (from the financial advisor side as they don't have 10 million people tuning in to hear their advice), and some of it is just good ole fashion financial planning - we're dealing in a world of unkowns so two people can have an opinion and actually both might be wrong! While this isn't the video that set Social Media, YouTube, and Reddit ablaze, it's one that gets to the same argument: What Should My Retirement Withdrawal Rate Be ? So this begs the question - is my friend Dave Ramsey right? Is the 4% rule just outdated information from a bunch of broke financial advisors (by the way, I would agree - most financial advisors are actually broke because of too high a lifestyle)? Or said another way...... "How much can I safely pull from my portfolio each year without running out of money?" Let’s talk about that—without the fluff, without the Wall Street double-speak, and from a Financial Advisor that does LOVE Dave Ramsey and the folks at Ramsey solutions but is also deeply rooted in academic financial planning (see my designation library for a proxy on that). The 4% Rule: Where It Came From (And What It Really Means) Back in 1994, a guy named Bill Bengen  did something that no financial advisors had done at the time: he actually ran the numbers. He sought to determine the safe annual withdrawal amount from a portfolio that would last 30 years, despite potential wars, recessions, inflation, and market crashes. Bengen’s research used historical market data from 1926 to 1993 . He built a simple portfolio: 55% US Large Cap Stocks  (think: VOO) 40% Intermediate-Term Bonds  (think: BND) 5% Cash (think: US Treasury) He tested every possible retirement start date within that window, using quarterly start dates, including the absolute worst-case scenario: retiring in October 1968 , right before a brutal stretch of high inflation and lousy markets. What he found was this: if you withdrew 4.15% of your portfolio in year one , and then increased that amount each year for inflation, you would not have run out of money in any 30-year period. In the worst-case scenario (October 1968), the retiree would have seen their last check bounce, meaning they would have run out of money at the end of the 30 years, but every other retiree would have had something left. That’s right— 4.15% was the worst-case success rate . And because people like simple rules, it got rounded down and became known as “The 4% Rule.” So when my friend Dave Ramsey says 4% is too low, is he right? Based on history, more than likely, yes, he is correct. Are you getting ready to enter a decade where inflation is going to run at an average of about 7% per year, so your withdrawal will need to increase by that amount each year, to break even, while the stock market delivers nominal total returns of just 1.6%? I pray the answer is no, and therefore you can probably take a higher withdrawal rate than 4%. As a matter of fact, Bill Bengen agrees.... It Gets Better: Bengen’s Research Didn’t Stop There After publishing his original work, Bengen kept refining the data. In his book “ A Richer Retirement, ”  he explored how diversifying into more asset classes could increase that safe withdrawal rate. If you would like to read this book by Bill Bengen (be careful, it is a tough read, as it is very numbers-oriented), please contact your Financial Advisor to see if your relationship qualifies you for a free copy. Here’s what he found: Adding US Small Cap Stocks (which we call Aggressive Growth ) increased the rate to 4.5% Including even more categories like Micro Caps, Mid-Caps, International Stocks, and Treasury Bonds pushed the number closer to 4.7% In other words, a well-diversified portfolio—like the ones we build at Whitaker-Myers Wealth Managers —can give retirees a better shot at a higher withdrawal rate without increasing risk, even in the worst-case scenario (Oct 1968). But Let’s Be Clear: This Is About Smart  Risk, Not More  Risk Bengen’s findings didn’t include fancy hedge funds or speculative plays. He wasn’t chasing yield. He proved that good asset allocation makes a difference—especially when markets get choppy. Dave Ramsey says, money is like manure, left in one spot, it stinks, spread out, it helps things grow. Ecclesiastes 11:2 says, "Give a portion to seven, or even to eight, for you know now what disaster may happen on earth." So it's Biblical and Bengen approved! That said, you need to be careful when you start adding conservative assets like bonds. If you're 30, 40, and sometimes even older, we’re not putting you in bonds just because retirement is on the horizon. You don’t have a sequence of return risk yet. However you might be in bonds and you don't even know it! Ever heard of something called a Target Date Fund? This is a fund that does the investing for you. It was an excellent invention for 401(k)s because many people didn't know what to invest in and didn't have access to a Financial Advisor. However, even the most aggressive target date funds, such as the Vanguard Target Retirement 2070 Fund , has 8% of the portfolio in bonds. Think about that - this person is retiring in 2070. We are in 2025 as of the writing of this article. This hypothetical 20-year-old that is being put into this fund in their 401(k) has 45 years until retirement, and you're placing 8% of the money in an asset class that has historically delivered half the returns of the stock market, therefore taking double the time actually to double, on those dollars. I was in Chicago last year for a training from the Investments & Wealth Institute while obtaining my Retirement Management Advisor (RMA®) designation . Christine Benz came in to do one of the trainings. She is great! One of the best minds on retirement planning in the country, and she works for a great research firm, Morningstar. I asked her this question: "Why do 20, 30, 40, and sometimes older individuals need bonds in their target date funds? I know they need them at some point closer to retirement, but why now, why at 20?" I don't want to say she didn't have an answer - who knows, she probably doesn't want to upset the big boys like Vanguard, but she said this, "John-Mark, that's why they have you (Financial Advisor), and if they don't have you, a target date fund is better than sitting in a money market with all your money." I 1000% agree, Christine! Get a good Financial Advisor. But once you do hit retirement, the game changes. Now you’re not just building wealth—you’re drawing from it. And the timing of your withdrawals can work for you or against you. And this is where you can't go all in on stocks, like Dave implies someone is doing in the video mentioned above. Read my article, Bear Markets, Normal Not Fun to completely understand why you can't be all in on stocks during retirement. You might have an entire year that stocks will be dropping, and thus you shouldn't be selling. You might have 1.7 years (603 days) that you need to wait until stocks get back to where they were (or even longer). That necessitates another type of asset class (see Ecclesiastes 11:2 above). Enter: Monte Carlo Simulations (A Fancy Name for Real-World Stress Testing) While Bengen's research showed us that 4.15% was the most that could be taken out in a worst-case scenario, and even that can be improved by incorporating some sound Biblical wisdom into your portfolio, that was the worst-case scenario. Bill Bengen has mentioned in a recent interview that 4% was the worst-case scenario, 12% was the best-case scenario (if you were the luckiest retiree), and the average withdrawal rate was 7% based on his research. So he argued, if you were to make a rule out of his work, you would call it the 7% rule, not the 4% rule. However, 7% means there are scenarios where historically you would have been unlucky (not the unluckiest retiree, just unlucky) and you would have run out of money despite taking a 7% withdrawal rate. How would I measure the risk of taking such a withdrawal rate? At Whitaker-Myers, we don’t just cross our fingers and hope. We run Monte Carlo analysis—a powerful tool that runs your retirement plan through 1,000+ different market scenarios to test one thing: At what probability your plan survive a lifetime of ups and downs without forcing you to cut back—or worse, run out of money? It’s not based on average returns or best-case outcomes. It’s based on reality: markets crash, inflation spikes, recessions happen. We test your plan against all of it. If you’re planning to withdraw 4%, 5%, 6%, 7%, 8%, 9%, 10%, etc, we want to know: How often does that succeed over a 30+ year retirement? What if you live longer than 30 years? What happens if inflation goes nuts? Monte Carlo gives us insights into what those answers could look like. How We Help Boost Your Withdrawal Rate (Without Gambling) We’re not in the business of stretching any withdrawal rate to make things look good on paper. But there are real-world ways we work to improve the numbers: 1. Turning Off Dividend Reinvestment If you're taking monthly withdrawals, it doesn’t make sense to reinvest dividends automatically. Why? Because dividends and interest arrive on a predictable schedule. That means if you need $2,000/month and you're receiving $700 in dividends, you're only relying on $1,300 from market-timed withdrawals. That helps reduce sequence risk. One of my favorite books, "What The Happiest Retirees Know" , author and financial advisor Wes Moss argues for an all dividend portfolio to meet your income needs. I don't know if I agree with that, as I don't want to miss out on those companies that have a pitiful dividend payment (or none) but have grown, because they're changing the world like Nvidia and Tesla. But we definitely believe in some dividend stocks or funds, and in our opinion, at retirement, those dividend reinvestments should be turned off. 2. Private Equity & Private Credit For qualified investors, we may recommend private market investments like private credit, which tend to have higher yields and less emotional volatility. Since these aren’t priced daily like public stocks, you're not tempted to make rash decisions when markets get ugly. This isn’t magic—it’s just thoughtful planning and using tools the average investor doesn’t even know exist. You can read a recent article I wrote about this subject: Where Have All the Aggressive Growth Stocks Gone? Rebalancing Rebalancing is one of the most innovative, most disciplined ways we help boost your retirement withdrawal rate. It means regularly adjusting your portfolio back to its target mix—selling some of what’s gone up and buying what hasn’t. Over the last 30 years, the stock market has been up about 80% of the time (annually), and in those up years, the average return is nearly 20%. That’s when we take gains from high-performing assets like stocks and move them into more stable, non-correlated investments like bonds, real estate, or U.S. Treasuries. This locks in profits and reduces exposure before the next market downturn. So instead of gambling or chasing returns, you're consistently buying low and selling high—on purpose. When the crash does come (and it will), you’re not forced to sell stocks at a loss to fund your retirement. You’ve already moved some of that growth into assets that tend to hold up better, giving you income and stability when it matters most. This strategy protects your portfolio from the sequence of return risk, especially in the early years of retirement. Rebalancing isn’t market timing—it’s risk management that helps your money last longer. At our firm, this is done through a mixture of technology and our excellent trading team! So... What’s Your  Withdrawal Rate? If you’ve saved well, appropriately diversified, and built your plan with a team that knows what they’re doing, you might be able to withdraw more than 4%—safely. Anyone who tells you it can only be 4% doesn't understand the research. Anyone who tells you that you can withdraw 10% or 11% doesn't understand non-sequentially returns (the stock market doesn't go up in a straight line). But here’s the bottom line: Your number isn’t some rule of thumb. It’s your plan. Your goals. Your risks. Your life. That’s why we don’t give cookie-cutter advice. We build a custom withdrawal strategy around you, backed by research, battle-tested by history, and confirmed by real-world simulations. If you're nearing retirement—or already there—don't guess your way through this. And most importantly, we don't put our hope for future success, happiness, and prosperity in our withdrawal rate. 1 Timothy 6:17 says, "As for the rich in this present age, charge them not to be haughty, nor to set their hopes on the uncertainty of riches, but on God, who richly provides us with everything to enjoy"

This month, let’s talk about how to make wise, informed choices in the college application process—without letting emotions or pressure lead to financial regret. We’ll break down the pros and cons of applying Early Decision, highlight key FAFSA changes, and tackle one of the trickiest financial aid questions. Most importantly, we’ll look at all of it through the lens of financial peace and stewardship. What Is Early Decision (ED)? Many colleges offer Early Decision I (ED1)  or Early Decision II (ED2) . These are binding  agreements—if your student gets in, they are committing to attend that school and must withdraw all other applications. It’s not a legal contract, but it’s treated like an honor code. The key difference between ED1 and ED2 is timing: ED1 applications are due around November, while ED2 deadlines are in January, giving families a little more breathing room. The Dave Ramsey Perspective on Early Decision Before you or your student sign up for something binding, let’s stop and apply some common-sense wisdom: Pros Slightly Better Acceptance Rates:  Some colleges do admit more ED students. Peace of Mind:  Getting an answer early can relieve some stress. Cons (and Why They Matter Financially) It Limits Your Options:  You can’t compare scholarships or negotiate aid  offers when you’ve already committed. That’s like agreeing to buy a car before seeing the price tag. Pressure and Rushed Choices:  ED deadlines come fast, and major financial decisions made under pressure often lead to regret. Potential Financial Strain:  If you commit before knowing the total cost, you risk borrowing to cover the gap—a huge red flag. Remember: student loans are not “good debt.” One Basket, One Egg:  If you’re not accepted, you’ve spent time and energy that could’ve gone into better, non-binding options. Ramsey-Style Recommendation If you’re 100% confident the school is affordable without debt —and your family has saved for it—then Early Decision could make sense. Otherwise, go for Early Action  or Regular Decision  so you can compare aid packages and choose the school that aligns with your budget and your values. The New FAFSA The new Free Application for Federal Student Aid (FAFSA) is expected to launch on time, with a few helpful updates: Family-owned businesses with under 100 employees, family farms, and fishing businesses are now exempt  from reporting their net worth on the FAFSA. The application process is expected to be smoother this year—though waiting a couple of weeks (until mid-October) before submitting is wise to avoid early glitches. Ramsey Tip: Even if you think you make too much, fill out the FAFSA. You may still qualify for scholarships, work-study, or institutional aid—and it keeps all your options open. How to Answer “How Much Will You Contribute?” on the CSS Profile Private colleges using the CSS Profile  often ask parents how much they expect to contribute. Be realistic and honest. Don’t inflate your ability to pay; colleges use this to calculate need-based aid. If you’re unsure, aim for 8–12% of your Adjusted Gross Income (AGI)  as a rough starting point—but never commit to more than you can pay in cash or savings. If your financial situation changes—job loss, medical bills, or other major events—use the “special circumstances” section or write an appeal letter. Always make sure the FAFSA and CSS Profile match to avoid delays. Why You Should Always Apply for Scholarships and Grants Even if you’ve worked hard to stay debt-free and save, here’s why it’s smart to apply: You Might Qualify After All:  College prices rise faster than expected, and the formula can surprise you. It Opens More Doors:  Many merit scholarships require a completed FAFSA, even if you don’t qualify for need-based aid. Colleges Reward Financial Stability:  Schools often prefer students who can pay responsibly and graduate on time. Final Word: Don’t Let College Create Lifelong Debt College should be a blessing, not a financial burden. Applying Early Decision might sound appealing, but it’s rarely the best financial move unless you know exactly what you’re committing to and can pay for it in cash or with existing scholarships. Make a plan: Know what you can afford before applying. Compare offers. Say no to loans. Pick the school that fits your budget, not your ego. Remember—your child’s future is shaped more by hard work, discipline, and integrity than by the name on a diploma.