Nick Defenthaler, CFP® Will Play in the United Cerebral Palsy Benefit Hockey Game

Contributed by: Nick Defenthaler, CFP®

For the second year in a row, I will be lacing up the skates to play for the United Cerebral Palsy (UCP) ‘Pucksters’ as we take on the Detroit Red Wing Alumni. This is the 18th year for the charity hockey game, which will benefit United Cerebral Palsy Detroit and will take place at the St. Mary’s Arena in Orchard Lake, MI. Over the years, this amazing event has raised nearly $400,000 for the disabled community and their families! 

I discovered this great event while meeting with a client who is very involved within UCP Detroit and like me, still plays hockey each week with friends. When he and his wife asked me to be a part of the roster to play the Red Wing Alumni team, I was thrilled. Not only could I help support a worthy cause, I could also skate alongside many of the athletes I grew up watching play as a kid. I’ll never forget lining up next to NHL Hall of Famer, Dino Ciccarelli at last year’s game and telling him, “You know, you were one of my favorite players on the Wings when I was growing up. I hope that makes you feel old”. We both had a good chuckle and he gave me a friendly jab as the puck dropped at the faceoff. That was a pretty cool moment for someone like me who has grown up to live and breathe Red Wing hockey. 

Event Information:

• Date: Saturday, March 24, 2018

• Location: Orchard Lank St. Mary’s Ice Arena – Orchard Lake, MI

• Game Time: 4pm sled hockey game, 6pm game vs. Detroit Red Wings Alumni

• Tickets: Only $10/person or $30 for a family up to 5 members, kids under 5 are free

• Visit: skatewithoutlimits.org for more information!

If you would like to read more about my story and my fundraising goals for the event, please click here.  I hope to see some familiar faces in the stands once again this year cheering on the UCP Pucksters!

Nick Defenthaler, CFP® is a CERTIFIED FINANCIAL PLANNER™ at Center for Financial Planning, Inc.® Nick works closely with Center clients and is also the Director of The Center’s Financial Planning Department. He is also a frequent contributor to the firm’s blogs and educational webinars.

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Links are being provided for informational purposes only. Raymond James is not affiliated with and does not endorse, authorize or sponsor any of the listed websites or their respective sponsors. Raymond James is not responsible for the content of any website or the collection or use of information regarding any website's users and/or members.

Finding Your Social Security Information and Social Security Widow Benefits

Contributed by: Josh Bitel

There are many ins and outs of Social Security and I want to help you stay on top of them (without boring you with a pile of information). Here are easy explanations of two topics that can help you make the most of your benefits:

Where’s my Social Security statement?  

Remember when you used to get a statement each year a few months before your birthday from the Social Security Administration (SSA)?  Well if you haven’t seen it in a while that’s because the SSA stopped mailing to most folks back in 2011 (at a savings of $70M). 

The SSA will begin mailing benefit statements every 5 years to those who haven’t signed up for online statements (those already receiving benefits get an annual statement).  Paper statements are also mailed to workers age 60 and older three months before their birthday if they don’t receive Social Security benefits and don’t yet have a ‘My Social Security’ account.  If you haven’t checked out the SSA website, I suggest doing so: www.ssa.gov.  You may receive your statement, project future benefit amounts, as well as learn more about one of the nation’s largest expenditures.

Widowed? Research suggests that you might not be getting your fair share.

According to a recent report from the Social Security Administration Office of the Inspector General, as many as one-third of spouses age 70 and older are not getting the maximum social security benefit. The issue arises when a spouse initially receives “widow” benefits as early as age 60 (benefits based on your spouse’s earnings) and then later is eligible based on their own earnings record for a higher amount. As an example, Jan’s husband Paul passed away and Jan decided to begin receiving a widow’s benefit at age 60.  At age 62-70, Jan may want to switch to benefits based on her earnings record if they are higher.  Jan will need to be proactive as the SSA will not inform Jan if she is eligible for a higher amount.  When in doubt – call the SSA and give them your social security number and the social security number of your spouse to learn about all of your options. That way, you can be sure you are receiving the maximum amount allowed.

Josh Bitel is a Client Service Associate at Center for Financial Planning, Inc.®

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Links are being provided for informational purposes only. Raymond James is not affiliated with and does not endorse, authorize or sponsor the listed website or its respective sponsor.Raymond James is not responsible for the content of any website or the collection or use of information regarding any website's users and/or members.

A New Voice on the Phone

Contributed by: Gerri Harmer

You may have heard a new voice on the phone lately. Andrea Tomaszewski joined The Center team as Client Service Administrator – Receptionist in January. She settled in quickly with a natural interest in meeting people and a passion for improving people’s lives. She has been a valuable asset with our increased phone volume. Not to worry though, Gerri Harmer is not far away focusing on events and other projects. Please give a warm welcome to Andrea when you call and a friendly hello when you come to visit.

Gerri Harmer is a Client Service Manager at Center for Financial Planning, Inc.®

Does Staying the Course Pay Off for your Investment Strategy?

Contributed by: Center Investment Department

Almost every year, it seems there is some reason to be concerned with markets.  When market volatility strikes, we often get questions from investors as to whether or not they should sell their portfolio.  Russell Investments does a great job illustrating portfolio performance during the market’s many ups and downs in the chart below.  They look at a hypothetical portfolio of 60% stocks and 40% bonds faced with three alternative investment paths as of Sept. 30, 2008 (two weeks after the collapse of Lehman Brothers).

The starting point for the $100,000 hypothetical portfolio is Oct. 9, 2007, the market peak before the great recession. Over the next year, you would have watched the S&P 500 drop over 20%.  The three choices as of Sept. 30, 2008 are:

1. Stay invested, and make no changes (orange line).

2. Move to 100% cash, and remain in cash (light blue line).

3. Move to 100% treasuries, and remain in treasuries (grey line).

The chart shows the clear winner – stay invested and make no changes. Even though you had to stomach even more downside initially, as well as a menu of other market-altering headlines in the following years, when sticking with a 60/40 diversified portfolio, investors recovered a greater percentage of their lost value— and at a faster rate—than going to cash or treasuries.

Now imagine the potential magnification of the success of the orange line if you were saving regularly during that same time period through a vehicle like your 401(k).  While it may have been difficult to stay the course, 2008 offered a buying opportunity that eventually supported portfolio performance success through 2017.  Planning without panicking is the key.  Make sure you develop a sound savings plan and stick to it regardless of what markets may throw our way!

This information has been obtained from sources deemed to be reliable but its accuracy and completeness cannot be guaranteed. Asset allocations are presented only as examples and are not intended as investment advice. Investing involves risk, investors may incur a profit or loss regardless of the strategy or strategies employed. Future investment performance cannot be guaranteed. The S&P 500 is an unmanaged index of 500 widely held stocks that is generally considered representative of the U.S. stock market. Please note, direct investment in any index is not possible.

Timothy Wyman, CFP®, JD Named to Forbes Top State-by-State Advisors List for 2018

Contributed by: Center for Financial Planning, Inc.®

The Forbes ranking of Best-In-State Wealth Advisors, developed by SHOOK Research is based on an algorithm of qualitative criteria and quantitative data. Those advisors that are considered have a minimum of 7 years of experience, and the algorithm weighs factors like revenue trends, AUM, compliance records, industry experience and those that encompass best practices in their practices and approach to working with clients. Portfolio performance is not a criteria due to varying client objectives and lack of audited data. Out of 21,138 advisors nominated by their firms, 2,213 received the award. Neither Forbes nor SHOOK receive a fee in exchange for rankings. This ranking is not indicative of advisor's future performance, is not an endorsement, and may not be representative of individual clients' experience. Neither Raymond James nor any of its Financial Advisors or RIA firms pay a fee in exchange for this award/rating.

Webinar in Review: 2018 Investment Update

Contributed by: Angela Palacios, CFP®, AIF®

Late January, investor sentiment shifted from investors worried about missing out on the bull market to concerns that markets were overbought.  Volatility came stampeding back, bond yields continued rising and we even got a peek at some inflation creeping it’s way back into the economy.  This created a flurry of investor concerns and a basis for much of our discussion in our investment webinar to start the year off.

What are we watching out for in 2018?

A number of topics could be of concern this year.  A potential trade war, geopolitical concerns, inflation and bond yield spikes have the eye of our investment committee. 

While U.S. markets were looking a bit expensive at the beginning of the year, international markets were telling us a different story of opportunity.  Other themes we touched on included ESG and cost compression in the investment industry.

Regardless of what may come, it is important to keep a few points in mind.  Plan, don’t panic.  Planning is the cornerstone to everything we do for you.  Remember your financial plan is built with market volatility in mind.  It is expected within the plan.  It is important to keep this in perspective when headlines are doing everything they can to pull your attention away.  What we can control is maintaining appropriate levels of cash for your needs, managing as tax efficiently as possible so more dollars stay in your pocket and rebalancing to maintain a proper risk profile that is appropriate for you. 

What actions are we taking?

With the extended positive returns we have seen in U.S. markets prior to this year, we discussed strategies we are utilizing to rebalance.  A question we commonly received from you is “What prompts us to make a change in your portfolios?”  We took an in depth look at how we make changes in your portfolio and what triggers us to make these changes. 

If you would like to learn more about any of the topics touched on here, feel free to watch the webinar above!

Angela Palacios, CFP®, AIF® is the Director of Investments at Center for Financial Planning, Inc.® Angela specializes in Investment and Macro economic research. She is a frequent contributor The Center blog.

This information has been obtained from sources deemed to be reliable but its accuracy and completeness cannot be guaranteed. Opinions expressed are those of Angela Palacios and are not necessarily those of Raymond James. Investing involves risk, investors may incur a profit or loss regardless of the strategy or strategies employed. International investing involves special risks, including currency fluctuations, differing financial accounting standards, and possible political and economic volatility. Investing in emerging markets can be riskier than investing in well-established foreign markets. Rebalancing a non-retirement account could be a taxable event that may increase your tax liability. You should discussion specific tax matters with the appropriate professional.

Why it’s Time to Start Asking More Questions

Contributed by: Sandra Adams, CFP®

I recently took a week-long family trip with my husband and son (a senior in high school).  This was a rare occasion for the three of us to spend some time together and communicate — away from the TVs, devices and to actually get my son out of his room and away from his Xbox. Getting information out of teenagers — especially boys — about what is going on in their lives is like “getting blood out of a turnip” as they say. 

As with many of our family members, friends and co-workers that we may have difficulty communicating with, rather than become frustrated that we are not getting the information we are looking for, or find that we are “stuck” trying to help or plan for someone that is not helping in the process, we took a different path on our trip.  We decided that I would try to open the door by asking some open ended questions...and then try being quiet.  We just listened and gave space.  It took several days into our trip for our son to start opening up, but once he started, the results were amazing — he talked to us about things that he had never spoken about, asked our advice about some things that were going on at school, and began taking part in “adult” conversations right before our eyes.

Such conversations can and need to take place in many circumstances in our lives.  Whether it be our aging parents that we are beginning to assist, and we aren’t sure of their future desires for their own aging futures; our children as they transition into adulthood; or conversations with ourselves as we determine our next steps in life (transitioning into retirement, transitioning into a new career, figuring out what life looks like after divorce or the death of a spouse).  All of these conversations start with asking the right questions...and then listening...to others or ourselves.  Spending time on this process is important and does not happen overnight, but the results can be life changing.

Start the New Year by committing to start asking questions of those people you want to communicate more clearly with, or about those situations you want to move forward on.  If you are not sure what questions you need to be asking or how to start this process, please feel free to reach out for our help!

Sandra Adams, CFP® is a Partner and Financial Planner at Center for Financial Planning, Inc.® Sandy specializes in Elder Care Financial Planning and is a frequent speaker on related topics. In addition to her frequent contributions to Money Centered, she is regularly quoted in national media publications such as The Wall Street Journal, Research Magazine and Journal of Financial Planning.

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Any opinions are those of Sandra Adams, CFP®, and not necessarily those of Raymond James.

Helping Older Relatives? How to Help Without Jeopardizing Your Own Finances

Contributed by: Matthew E. Chope, CFP®

Helping elderly family members with financial issues can be tricky.  In many cases, you may feel an obligation to assist, especially if the older adult is on a fixed budget and has limited financial resources. In fact, a recent MetLife study found that 68% of American caregivers have been found to spend their own money to support the needs of their older adult relatives, which drained funds that they had planned to use for their own financial independence. If you sense that an elder you care about is on a trajectory for financial ruin, what can you do to help? 

How do you step in and assist without putting your own financial security in jeopardy? 

The first thing to do is to gather some information to get a better sense of your loved one’s financial picture.  You’ll want to have an understanding of their assets and debts, and their budget:  their sources of income and their expenses. With the understanding of what income and what bills and expenses the older adult is dealing with, you can better connect with resources that may be able to assist them.

A client (let us call him John) told me a story recently about how he helped his older sister in-law (let us call her Bonnie) make some difficult decisions.  Bonnie was not a high-income earner in her working years. Although she was able to purchase her home and pay off her mortgage; she didn’t save much, and she had now depleted her savings.  At age 75, the reverse mortgage that Bonnie had put in place, in addition to her minimal Social Security income were not enough to keep up with her rising costs for health care (Medicare premiums and prescription drug co-pays), property taxes, insurances and utilities.

Here are the actions John took to help Bonnie with her situation:

1. John discovered that the county would allow her to apply for a reduced or total removal of real estate taxes through the property tax poverty exemption. As a result, Bonnie received a full exemption from her property taxes. Each county has a program for low-income folks - you need to complete an application and appear before a board of review annually. Here is a link with more information: https://www.michigan.gov/documents/treasury/Bulletin7of2010_322157_7.pdf

2. John contacted low-income home energy assistance (LIHEAP) and received a reduction in electricity and heating costs for Bonnie. https://www.benefits.gov/benefits/benefit-details/1545

3. John contacted Human ARC Premium Assist about receiving a significant reduction in Medicare Part B premiums; as an added bonus, they also provided assistance with Bonnie’s prescription drug costs. https://screening.humanarc.com/PremiumAssist

4. While online at the premium assistance site, John found more information about special coverages for things like medical alert, ambulance/transportation assistance, and a 1.25% copay for prescriptions.

5. John contacted Social Services about food stamps and Bonnie is now receiving about $97 more a month through a program called SNAP. http://www.feedingamerica.org/need-help-find-food/

6. For Bonnie’s auto insurance, John pays the whole year upfront and Bonnie pays John back monthly so she can take advantage of the discount for paying the premium annually.

7. John pays Bonnie’s utility bills via automatic payments from his account to avoid late fees, which in the past were a wasteful and unnecessary expense. Bonnie also reimburses John monthly for this.

8. To save money on her cell phone bill, John added Bonnie’s phone line to his plan as an additional line.

9. Bonnie was willing to give up cable TV – John found that an inexpensive antenna works fine and they were able to rid Bonnie of her monthly cable bill.

With a little bit of creativity and resourcefulness, John was able to assist Bonnie while also preserving his own financial resources.  If you or someone you know is in the position of assisting an older adult and needs help putting together a strategy, please let us know.  We are here to help!

Matthew E. Chope, CFP ® is a Partner and Financial Planner at Center for Financial Planning, Inc.® Matt has been quoted in various investment professional newspapers and magazines. He is active in the community and his profession and helps local corporations and nonprofits in the areas of strategic planning and money and business management decisions.

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This information has been obtained from sources deemed to be reliable but its accuracy and completeness cannot be guaranteed. The case study provided is hypothetical and has been included for illustrative purposes only. Individuals cases will vary. Links are being provided for informational purposes only. Raymond James is not affiliated with and does not endorse, authorize or sponsor any of the listed websites or their respective sponsors. Raymond James is not responsible for the content of any website or the collection or use of information regarding any website's users and/or members. Neither Raymond James Financial Services nor any Raymond James Financial Advisor renders advice on tax, legal, or mortgage issues, these matters should be discussed with the appropriate professional. 

Warming Haven's Hearts on Valentine's Day

Contributed by: Nancy Sechrist

The “season of giving” never really stops when the holidays are over.  There is a need for help and assistance throughout the year: winter, spring, summer and fall.  Over the last few weeks, The Center Team has come together to make 30 fleece blankets for the women and mothers at a women’s shelter called Haven in Oakland County. Haven offers a comprehensive program for victims of domestic violence and sexual assault and provides shelter, counseling, advocacy and educational programming.

The Center’s Creativity and Charitable Committee, along with other Center Team members spent time together cutting and tying knots of soft and colorful fleece material to make warm blankets.  We all know how good it feels when you receive something handmade - whether it’s a picture drawn by your grandchild or a knitted scarf – what makes it special is that somebody took the time to make something unique for you.  The blankets will be delivered to the women as a Valentine’s Day surprise, with the hope that these blankets will brighten and uplift the women at Haven to give them comfort, warmth, and knowing they are cared about.

As Author Leo Buscaglia wrote, "Too often we underestimate the power of a touch, a smile, a kind word, a listening ear, an honest compliment, or the smallest act of caring, all of which have the potential to turn a life around."

With hopes that all are kept warm and safe during this cold winter season…

Nancy Sechrist is the Office Manager at Center for Financial Planning, Inc.®

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Raymond James is not affiliated with Haven.

Sandy’s Spring Teaching at Schoolcraft College

Contributed by: Sandra Adams, CFP®

I am excited to let you know that for a second semester am going to be teaching courses for Schoolcraft College as part of the Continuing Education and Professional Development Program.  As always, the opportunity to share my knowledge and passion in the areas of financial planning and gerontology is exciting for me. 

The classes I will be teaching again, in April are:

Serving as a Financial Fiduciary: 
April 2nd, 2018, from 6-9pm

Being responsible for someone else’s finances can be a huge weight to carry. Learn what it means to serve in the role of a financial fiduciary — persons required to always act in the best financial interest of those they are serving.  Learn where to find guidance and resources, avoid scams, and how to establish sound, long-term planning.

Long Life Planning:
Mondays for three weeks starting April 9th, 2018, from 6-8pm

Go beyond traditional retirement planning and tackle topics such as long-term care planning, difficult conversations with family, aging, and end-of-life planning.  Discuss resources, downsizing, housing and care options, legal and financial guidance and more.  Plan now for your later long life.

If you or someone you know might be interested in attending one of these or other courses offered by the Schoolcraft Continuing Education and Professional Development program, find more information here:  www.schoolcraft.edu/cepd

Sandra Adams, CFP® is a Partner and Financial Planner at Center for Financial Planning, Inc.® Sandy specializes in Elder Care Financial Planning and is a frequent speaker on related topics. In addition to her frequent contributions to Money Centered, she is regularly quoted in national media publications such as The Wall Street Journal, Research Magazine and Journal of Financial Planning.

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Raymond James is not affiliated with Schoolcraft College. Links are being provided for information purposes only. Raymond James is not affiliated with and does not endorse, authorize or sponsor any of the listed websites or their respective sponsors. Raymond James is not responsible for the content of any website or the collection or use of information regarding any website's users and/or members.