Stress Less, Live More: A Blueprint for a Fulfilling Retirement

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Today, I'm speaking with Edward Dressel.

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He is the president and owner of Retire

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Ready Solutions, which creates software solutions for advisors

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focused on educating individuals towards retirement readiness, focusing

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on federal and state employees who receive pension

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benefits.

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Ed, thanks for joining me.

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Thank you, Bell.

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It's a pleasure to be here.

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You have been in the business for over

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30 years, and you identified a problem that

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advisors are facing, and can you talk a

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little bit about that?

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Yes, I think advisors love complexity, and clients

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love simplicity, and there's a massive tension between

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the two.

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Advisors, they get their education, they learn all

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these details, they're excited to share them, or

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they just want to share that they know

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them.

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Clients simply want to understand the basics, and

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they don't understand the basics, and often advisors

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go, let's jump into over-analysis, and the

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over-analysis is not too different than when

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my wife sends me to the store and

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says, buy some toothpaste, and I stand in

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the aisle, look at about 50 different types

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of toothpaste, and I don't know what I

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get in the morning, but it's like, what

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do I do?

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And then the client looks at over-analysis

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and goes, I don't have a clue.

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Advisors kept it simple for clients.

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It helps them make decisions, helps them talk

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about their value system, and helps them move

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forward in a way that gives them confidence.

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When you say simplicity, what are you really

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getting at?

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Is it the presentation?

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Is it the language we use?

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What is it?

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It can be all of that, depending on

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the advisor.

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When you're working with a client, are you

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confident that they understand what you're communicating, or

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is that part of the conversation?

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Can you turn to the client and ask

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them a question about the presentation that makes

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them respond in a way that goes, oh,

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I get it?

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Or if they answer the question incorrectly, you

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can steer them, say, no, that's not, let

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me explain something better.

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I must have made a mistake because you

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didn't, that's not what this is.

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I'll give you an example.

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It comes out of just a simple retirement

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years chart that we have on our software.

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I have two advisors that have shared how

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they've done this on different podcasts.

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They turn to the client when there's a

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potential shortfall in retirement, an illustrated shortfall, and

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they say, how do you want to fix

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this?

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When the client sees that and responds to

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it, you're going to have a really good

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understanding of what they have.

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It's a very simple chart, nothing complex about

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it, but the response of the client is

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going to, it's going to tell the advisor,

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what do they understand and what's their value

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system as they're responding?

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And if there's outside assets, they're not disclosing,

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it's going to be natural, but it's advisors

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want to convince them.

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We've done all the analysis where I think

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where you want to start is let's get

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you started in a way that helps you

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understand.

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And I know that you understand what we're

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talking about.

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So walk me through an example of a

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time that this has actually changed the dynamic,

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going from that over-complexity to that more

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simplistic version.

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Anywhere you walk into, you're an auto mechanic

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and you go in there and they start

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talking about the details on the fix that

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they have to do to your car.

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And they're giving you all sorts of details.

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All you want to know is it's fixed.

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You get a general idea that you're not

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getting ripped off, that you got a good

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product coming out.

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And most people don't want to be an

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auto mechanic walking out of the store, feel

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like they got trained.

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It's knowing the time, not knowing how the

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watch works.

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If we were going to go to a

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class on baking bread, we learned all about

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the elements, but never learned about putting it

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together.

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If I went to a class on baking

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bread and they just talked about wheat and

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yeast and butter and eggs and et cetera,

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and never said, Hey, let's put a basic

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loaf of bread together and look how it

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works.

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And then talk about the elements.

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One doesn't give me any contextualization of the

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process.

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I get all the details.

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Advisors are good at providing lots of details

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and not initially providing great content.

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Let's get them a simple picture of what

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it looks like.

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And then we can move them forward and

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help them understand.

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So the process that an advisor uses, the

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key part is keep it simple upfront.

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And probably for most people, that's all they'll

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ever want.

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I mean, there may be a few statisticians

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or engineers out there that want the detail,

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but even more and more today, as the

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world gets more complex, we're attracted to simple

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things.

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I want my life to be simple.

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I want it to be easy to move

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forward.

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Yeah.

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There's the occasional person that says, Oh, I'm

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going to double check you.

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Or I want to make sure the numbers

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are right.

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I want a sophisticated analysis on this.

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That's great.

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But for the most part, we should be

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engaging clients in questions that causes them to

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be interactive about what we're providing, helps them

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disclose their value system and their assets.

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If they have a retirement shortfall, how do

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they want to solve it?

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Here's the solutions for you.

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When they talk about how they want to

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solve a shortfall, they're providing a value system

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where they're talking about who they are.

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It's very easy for advisors to get really

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excited about a solution or a proposed idea

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that will bridge whatever gap it is.

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I think that you have a really good

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point that you have to step back and

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make it more about the client and what

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the client wants.

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If you're really breaking it down, then your

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solution should come organically versus you pushing it

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on them, if that makes sense.

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Yeah.

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And then there are some great scenarios.

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I mean, there's some great tax strategies and

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those are a big part of it.

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But laying the foundation to get there is

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A, understanding what they do and don't understand,

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helping them fill in some of the blanks,

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acting as an advisor, and then working with

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them as you move forward into a point

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where they get it.

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Something that is so simple for advisors to

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understand, especially when it comes to tax planning

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or retirement and distributions, things like that.

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It seems so simple because we deal with

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it every day.

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What you don't realize, and this is the

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same where you're talking about with auto mechanics,

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it's simple to them.

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But when it comes to the conversation, when

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you're talking to somebody else, even the terminology

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is hard to grasp.

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And having visual diagrams, breaking things down for

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people who are maybe not as technical is

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still important that they understand what's going on

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and how the process will work.

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Yeah.

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John Sullivan, who's the chief editor for American

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Retirements Association, has a great quote.

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I'll summarize it.

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That advisors often purposely go to technical because

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they're secure there.

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It's almost embarrassing like you're teaching kindergarten and

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I want them to know that I've got

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my degree and my education and I've been

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doing this.

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Really hard to keep it simple.

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There's a difficulty in, I'm just going to

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keep it simple and make it easy for

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them to understand.

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But the appreciation that comes out of that,

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let me focus on the model and not

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our solution.

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But we've consistently seen people who are keeping

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it simple significantly increase their sales.

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Not about a product.

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It's not about a model.

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It's about, let me help the client understand

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and be able to move forward with confidence.

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What are their emotions as they go through

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this?

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If they have confidence walking out of that

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room, they're going to be a marketing tool

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for you.

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If they walk out glossy-eyed, not understanding

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what they've been talking about, they're not going

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to be pushing that forward, helping the advisor

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with referrals to other clients.

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That's a really good point.

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When you think about it, the pace of

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life has kind of picked up.

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People are dealing with so many things.

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And if you really want to have someone

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have confidence in your solutions, they really need

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to understand what's going on and how it's

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being done.

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And the simplicity is the key there, right?

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Just breaking it down so that they can

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digest it.

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So you don't come here with just problems.

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You come here with a solution that you

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guys came up with.

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Can you talk a little bit about your

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software and your approach?

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We've been around almost 40 years, next year

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will be 40 years, helping advisors educate clients

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about retirement.

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That's been our goal, not how sophisticated analysis

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can we provide.

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I remember talking to a pretty high-end

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person at MetLife.

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And she said, can you do the details

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on Roth conversion?

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Back in 2011 and 12 and 13, right

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in that era, there was some rules in

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Roth conversion and some exceptions.

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And I said, we don't do the details.

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We create the concept.

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Most people don't get the concept.

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We're the same way.

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You go out to social security website, they

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have a 70 to 100 definitions of words

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on their website.

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And you can learn all the details like

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the bread, all the details about one element.

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We put it together in a simple to

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understand picture where a client looks at it,

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understands it.

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We coach the advisor to say, how do

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you want to fix this?

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The answer to that question, A, tells you

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what they understand or they don't understand.

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And also allows you to go, what's the

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next step or how can I move it

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forward?

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Maybe they want to fix it by making

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12% rate of return on their investments.

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Well, the advisor is going to work as

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an advisor at that point.

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A good, healthy advisor will say, that's probably

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not a reasonable expectation over 30 years, over

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five years or in retirement.

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Let's talk about what we can do to

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get you to a successful retirement and helping

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them understand what their situation is and what

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are the parameters that they can work in

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00:08:53,850 --> 00:08:54,470
to move it forward.

275
00:08:54,790 --> 00:08:55,670
Let me ask you this.

276
00:08:56,070 --> 00:08:58,950
If an advisor just wants to work with

277
00:08:58,950 --> 00:09:02,950
whatever they have, what's your advice on simplifying

278
00:09:02,950 --> 00:09:05,270
all the way through the whole process?

279
00:09:05,530 --> 00:09:08,170
If you're using a high-end software, any

280
00:09:08,170 --> 00:09:10,230
solution should be able to be interactive with

281
00:09:10,230 --> 00:09:10,610
the client.

282
00:09:10,710 --> 00:09:11,930
Not just bring in a static report.

283
00:09:12,010 --> 00:09:12,730
I did the analysis.

284
00:09:12,970 --> 00:09:13,790
Here's where we're at.

285
00:09:14,250 --> 00:09:16,470
The client should be able to go, what

286
00:09:16,470 --> 00:09:18,870
if, and very quickly change the model.

287
00:09:19,090 --> 00:09:22,310
Because a client's value system, their questions are

288
00:09:22,310 --> 00:09:22,850
going to be different.

289
00:09:22,930 --> 00:09:24,090
They could even be a silly question.

290
00:09:24,150 --> 00:09:25,790
What happens if I retired earlier?

291
00:09:25,790 --> 00:09:27,210
How does that impact that?

292
00:09:27,270 --> 00:09:28,870
What happens if I move these pieces around?

293
00:09:28,950 --> 00:09:30,850
Because life isn't as static as a static

294
00:09:30,850 --> 00:09:31,210
report.

295
00:09:31,290 --> 00:09:34,190
Even if you bring five reports, a client

296
00:09:34,190 --> 00:09:36,450
should be able to ask for changes to

297
00:09:36,450 --> 00:09:37,510
the model really simply.

298
00:09:38,050 --> 00:09:39,990
There's an adult learning theory, which is a

299
00:09:39,990 --> 00:09:42,350
pretty fun theory to study at the surface

300
00:09:42,350 --> 00:09:42,550
level.

301
00:09:42,610 --> 00:09:43,650
You can get into all sorts of weeds

302
00:09:43,650 --> 00:09:43,930
on it.

303
00:09:43,970 --> 00:09:46,550
But adults need to interact on what they're

304
00:09:46,550 --> 00:09:49,130
hearing, not just be told something and walk

305
00:09:49,130 --> 00:09:49,390
away.

306
00:09:49,730 --> 00:09:51,030
We're more sophisticated than that.

307
00:09:51,030 --> 00:09:52,630
When we come up with an objection in

308
00:09:52,630 --> 00:09:55,650
our mind, that objection or that question sits

309
00:09:55,650 --> 00:09:57,030
there until we get it answered.

310
00:09:57,170 --> 00:09:58,950
If we have a static report, we can

311
00:09:58,950 --> 00:10:03,090
never have interaction on that or it's a

312
00:10:03,090 --> 00:10:05,130
long cycle to, let me go back and

313
00:10:05,130 --> 00:10:06,590
generate a report and come back to you.

314
00:10:07,370 --> 00:10:09,210
The software, the solutions in front of a

315
00:10:09,210 --> 00:10:12,090
client should be set up so that interacting

316
00:10:12,090 --> 00:10:15,030
on the moving parts is simple and quick,

317
00:10:15,290 --> 00:10:17,790
and it can address the concerns that they're

318
00:10:17,790 --> 00:10:18,590
bringing to the table.

319
00:10:18,590 --> 00:10:21,110
I've used some software and it does allow

320
00:10:21,110 --> 00:10:24,390
you to make changes and you can compare

321
00:10:24,390 --> 00:10:26,230
it, but I think the trouble I've run

322
00:10:26,230 --> 00:10:28,670
into is that the reports are complex and

323
00:10:28,670 --> 00:10:31,190
they're not always comparing exactly what you changed.

324
00:10:31,670 --> 00:10:33,950
Maybe you changed the retirement date and it

325
00:10:33,950 --> 00:10:35,690
changes a bunch of other things that are

326
00:10:35,690 --> 00:10:37,590
connected to the retirement date that maybe you

327
00:10:37,590 --> 00:10:38,450
didn't want to change.

328
00:10:38,890 --> 00:10:40,910
Or maybe you need to change the retirement

329
00:10:40,910 --> 00:10:42,450
date, but you also need to change the

330
00:10:42,450 --> 00:10:43,190
withdrawal date.

331
00:10:43,630 --> 00:10:45,970
You also need to change when they move,

332
00:10:46,030 --> 00:10:46,810
all these other things.

333
00:10:47,110 --> 00:10:49,210
I think that's part of the problem too,

334
00:10:49,350 --> 00:10:51,550
is that if it doesn't feed properly, you're

335
00:10:51,550 --> 00:10:52,750
having to go back in there and change

336
00:10:52,750 --> 00:10:55,270
quite a few things to answer what should

337
00:10:55,270 --> 00:10:57,050
be a relatively simple question.

338
00:10:57,370 --> 00:10:57,730
Exactly.

339
00:10:58,210 --> 00:10:59,990
Why does it take so long to move

340
00:10:59,990 --> 00:11:00,790
one piece a day?

341
00:11:00,870 --> 00:11:03,150
The client asks a simple question and it

342
00:11:03,150 --> 00:11:05,330
becomes, I now have to work for the

343
00:11:05,330 --> 00:11:07,310
software rather than the software working for me.

344
00:11:07,710 --> 00:11:10,150
Are the tools that I'm working, working for

345
00:11:10,150 --> 00:11:12,630
me, or are they making me work for

346
00:11:12,630 --> 00:11:15,030
it and not really serving the client well?

347
00:11:15,310 --> 00:11:17,790
What's another problem that you've seen in the

348
00:11:17,790 --> 00:11:18,230
industry?

349
00:11:18,710 --> 00:11:20,830
Advisors like working with high net worth people,

350
00:11:21,050 --> 00:11:23,690
but the rank and file of Americans often

351
00:11:23,690 --> 00:11:24,530
get overlooked.

352
00:11:24,610 --> 00:11:25,930
They don't get a decent analysis.

353
00:11:26,090 --> 00:11:27,010
They don't know where they're at.

354
00:11:27,330 --> 00:11:29,350
We've been working with 403b for a long

355
00:11:29,350 --> 00:11:32,570
time and federal employees, but 403b teachers are

356
00:11:32,570 --> 00:11:35,030
middle-income Americans, and most of them don't

357
00:11:35,030 --> 00:11:37,170
really have a clue on the value of

358
00:11:37,170 --> 00:11:37,610
their pension.

359
00:11:38,310 --> 00:11:41,310
I've worked directly with teachers and not as

360
00:11:41,310 --> 00:11:43,550
an advisor, but as an educator, they don't

361
00:11:43,550 --> 00:11:45,290
have a clue that their pension is going

362
00:11:45,290 --> 00:11:48,970
to provide a couple million dollars worth of

363
00:11:48,970 --> 00:11:50,090
income in their retirement.

364
00:11:50,690 --> 00:11:52,730
If you make five or six thousand dollars

365
00:11:52,730 --> 00:11:55,330
a month as a teacher and you find

366
00:11:55,330 --> 00:11:57,230
out that your pension is going to provide

367
00:11:57,230 --> 00:11:59,330
a couple million dollars of income, it makes

368
00:11:59,330 --> 00:11:59,730
your day.

369
00:11:59,950 --> 00:12:02,130
It gives you confidence into financial wellness.

370
00:12:02,510 --> 00:12:04,530
The studies on the 401k side show there's

371
00:12:04,530 --> 00:12:06,450
a lot of benefit for it, but help

372
00:12:06,450 --> 00:12:08,270
and rank and files, one of the problems

373
00:12:08,270 --> 00:12:10,190
when we go back to sophisticated tools that

374
00:12:10,190 --> 00:12:12,470
they don't let advisors help rank and file

375
00:12:12,470 --> 00:12:15,170
employees, but if the tools were simple, and

376
00:12:15,170 --> 00:12:17,630
that's where middle-income Americans or federal employees

377
00:12:17,630 --> 00:12:19,770
where you can just help a person very

378
00:12:19,770 --> 00:12:23,290
efficiently, it provides the ability to engage a

379
00:12:23,290 --> 00:12:24,770
lot of people that aren't getting help, that

380
00:12:24,770 --> 00:12:25,830
are getting looked over.

381
00:12:26,110 --> 00:12:28,370
401k side as well, I know an advisor

382
00:12:28,370 --> 00:12:30,090
that told me, he says, I've given up

383
00:12:30,090 --> 00:12:32,990
working, focusing on the high net worth people.

384
00:12:33,110 --> 00:12:34,650
I'm helping rank and file and having a

385
00:12:34,650 --> 00:12:35,910
lot of fun and doing it and making

386
00:12:35,910 --> 00:12:37,230
it good and living at the same time.

387
00:12:37,270 --> 00:12:38,950
Part of that is the sophistication of the

388
00:12:38,950 --> 00:12:39,130
tools.

389
00:12:39,270 --> 00:12:41,550
I can't do a full financial plan for

390
00:12:41,550 --> 00:12:44,090
a middle-income 401k person who's got three

391
00:12:44,090 --> 00:12:45,770
kids and is in 50 and is just

392
00:12:45,770 --> 00:12:47,130
working through life.

393
00:12:47,290 --> 00:12:48,930
They don't have the resources to pay for

394
00:12:48,930 --> 00:12:50,890
that plan or the assets to justify it,

395
00:12:50,910 --> 00:12:53,450
but if we simplify the tools, there's an

396
00:12:53,450 --> 00:12:55,650
opportunity to help them in a way that

397
00:12:55,650 --> 00:12:58,910
is efficient and helps the advisor make a

398
00:12:58,910 --> 00:12:59,350
decent living.

399
00:12:59,590 --> 00:13:01,190
I think that's a good point because even

400
00:13:01,190 --> 00:13:04,110
if you focus on high net worth or

401
00:13:04,110 --> 00:13:07,470
ultra high net worth, there's always referrals or

402
00:13:07,470 --> 00:13:10,950
children, neighbor or somebody they put your way

403
00:13:10,950 --> 00:13:12,910
that you need to help because that relationship

404
00:13:12,910 --> 00:13:14,530
is there and you can't just say, oh

405
00:13:14,530 --> 00:13:15,270
no, I don't help you.

406
00:13:15,350 --> 00:13:16,090
You don't have enough money.

407
00:13:16,170 --> 00:13:18,750
That's a very awkward conversation to have with

408
00:13:18,750 --> 00:13:20,430
a client saying, I can't help your friend.

409
00:13:20,570 --> 00:13:21,630
They're not as wealthy as you.

410
00:13:21,730 --> 00:13:23,790
I like the idea that this is a

411
00:13:23,790 --> 00:13:25,590
way to maybe open up your book a

412
00:13:25,590 --> 00:13:28,010
little bit more and take less effort to

413
00:13:28,010 --> 00:13:32,650
provide the same level of output without the

414
00:13:32,650 --> 00:13:34,790
complexity because they don't need that higher level

415
00:13:34,790 --> 00:13:35,290
complexity.

416
00:13:35,610 --> 00:13:36,650
And it's fun to serve people.

417
00:13:36,830 --> 00:13:38,290
It's fun to see people have a smile

418
00:13:38,290 --> 00:13:38,970
on their face.

419
00:13:39,290 --> 00:13:41,770
I get stories from advisors where they get

420
00:13:41,770 --> 00:13:43,590
to help teachers and teachers never get to

421
00:13:43,590 --> 00:13:43,890
see it.

422
00:13:44,170 --> 00:13:46,870
Helping them put a smile and appreciate towards

423
00:13:46,870 --> 00:13:49,170
financial wellness, man, I didn't know my pension

424
00:13:49,170 --> 00:13:50,190
plan was worth that much.

425
00:13:50,330 --> 00:13:51,790
The peace of mind that they get, the

426
00:13:51,790 --> 00:13:53,830
advisor helped them with that and the advisor

427
00:13:53,830 --> 00:13:55,150
is going to make a decent living in

428
00:13:55,150 --> 00:13:56,990
the process and get good word of mouth

429
00:13:56,990 --> 00:13:59,090
from serving the client well.

430
00:13:59,390 --> 00:14:01,470
Give me an example of how you use

431
00:14:01,470 --> 00:14:05,630
track in talking to maybe a 401k client.

432
00:14:05,950 --> 00:14:08,810
So on the 401k world, the data can

433
00:14:08,810 --> 00:14:12,530
be imported for participants and printed a customized

434
00:14:12,530 --> 00:14:13,970
gap report for each participant.

435
00:14:14,350 --> 00:14:16,910
What we learned in 403b, which people like

436
00:14:16,910 --> 00:14:19,350
paycheck analysis and gap analysis, we present in

437
00:14:19,350 --> 00:14:21,130
one page and they can quickly get an

438
00:14:21,130 --> 00:14:24,570
idea, an overview, something that most participants never

439
00:14:24,570 --> 00:14:25,690
get on a basic level.

440
00:14:26,070 --> 00:14:26,750
Where are you at?

441
00:14:26,810 --> 00:14:27,450
What do you need to do?

442
00:14:27,610 --> 00:14:29,130
You need to go visit the portal.

443
00:14:29,530 --> 00:14:31,350
The portal doesn't promote advisors.

444
00:14:31,830 --> 00:14:34,690
Most participants don't jump those hurdles and figure

445
00:14:34,690 --> 00:14:35,030
it out.

446
00:14:35,210 --> 00:14:37,530
I've yet to see, I've gone through my,

447
00:14:37,650 --> 00:14:40,850
I'm on my third 401k portal and I'm

448
00:14:40,850 --> 00:14:43,350
not happy with their analysis, not confident.

449
00:14:43,750 --> 00:14:45,610
And then an advisor being proactive in the

450
00:14:45,610 --> 00:14:47,970
most important part of the K plan, which

451
00:14:47,970 --> 00:14:51,110
is not fees, funds, fiduciary and asset allocation

452
00:14:51,110 --> 00:14:52,930
is can you retire is the most important

453
00:14:52,930 --> 00:14:55,350
part to any participant about retirement, about the

454
00:14:55,350 --> 00:14:56,070
401k plan.

455
00:14:56,350 --> 00:14:57,630
It's all purpose of the K plan.

456
00:14:58,170 --> 00:15:00,190
An advisor walks into the room, Jonathan Schulte,

457
00:15:00,250 --> 00:15:01,730
I said, ask that question to participants.

458
00:15:01,890 --> 00:15:02,990
What's the most important part?

459
00:15:03,050 --> 00:15:04,570
And he gets the industry speak from the

460
00:15:04,570 --> 00:15:05,030
participants.

461
00:15:05,590 --> 00:15:07,150
He said, no, the most important part is

462
00:15:07,150 --> 00:15:07,830
can you retire?

463
00:15:08,210 --> 00:15:09,670
And I'm going to answer that before you

464
00:15:09,670 --> 00:15:10,390
leave the room today.

465
00:15:10,870 --> 00:15:12,750
He says, they start sitting up and start

466
00:15:12,750 --> 00:15:15,170
listening, thinking, did he over promise, but I'm

467
00:15:15,170 --> 00:15:16,030
not going to miss this.

468
00:15:16,390 --> 00:15:17,970
It's a very engaging way to start a

469
00:15:17,970 --> 00:15:18,530
conversation.

470
00:15:18,920 --> 00:15:21,750
And the participants, you provide the report.

471
00:15:22,430 --> 00:15:24,150
How effective is the report you'd go?

472
00:15:24,930 --> 00:15:26,670
This is a legitimate question.

473
00:15:27,090 --> 00:15:29,070
Matt Monroe out of Syracuse, New York, stopped

474
00:15:29,070 --> 00:15:30,910
by a booth one day and said, I

475
00:15:30,910 --> 00:15:31,530
can't believe it.

476
00:15:31,590 --> 00:15:33,490
Last year, I started using this, this year,

477
00:15:33,510 --> 00:15:35,930
when I went back, they brought both reports

478
00:15:35,930 --> 00:15:36,330
with them.

479
00:15:36,370 --> 00:15:37,610
He was mailing it to their homes.

480
00:15:38,530 --> 00:15:40,370
One podcast, I actually beat him up on

481
00:15:40,370 --> 00:15:40,510
that.

482
00:15:40,610 --> 00:15:42,010
I say, Matt, 10 years ago, you told

483
00:15:42,010 --> 00:15:43,070
me you mailed it to their homes.

484
00:15:43,330 --> 00:15:44,650
That seems really inefficient.

485
00:15:44,930 --> 00:15:46,490
He said, Ed, I work mostly with the

486
00:15:46,490 --> 00:15:46,650
men.

487
00:15:46,650 --> 00:15:48,690
The spouse gets the report.

488
00:15:48,690 --> 00:15:50,290
He says, the key thing I do is

489
00:15:50,290 --> 00:15:51,450
send it in an employer's envelope.

490
00:15:52,270 --> 00:15:53,850
If you get an envelope from the employer

491
00:15:53,850 --> 00:15:54,970
and you're the spouse, you're going to open

492
00:15:54,970 --> 00:15:56,170
that up as soon as you get it.

493
00:15:56,670 --> 00:15:57,730
I see the gap.

494
00:15:57,850 --> 00:15:58,550
They understand it.

495
00:15:58,630 --> 00:16:00,470
And the spouse knows that she's probably going

496
00:16:00,470 --> 00:16:01,810
to be the one outliving her husband.

497
00:16:02,230 --> 00:16:03,970
And she doesn't want to live on that

498
00:16:03,970 --> 00:16:04,690
big of a shortfall.

499
00:16:05,230 --> 00:16:08,610
So she's, the contributions go up, it's engaging.

500
00:16:09,030 --> 00:16:10,850
And he says, they brought both reports with

501
00:16:10,850 --> 00:16:13,150
them second year, last year's report and this

502
00:16:13,150 --> 00:16:13,670
year's report.

503
00:16:14,110 --> 00:16:16,550
I've shared that at presentations and I've heard

504
00:16:16,550 --> 00:16:18,670
four or five reports coming back with them.

505
00:16:18,970 --> 00:16:22,530
Now, most paperwork, having a very good educational

506
00:16:22,530 --> 00:16:25,590
tool for people to understand where they're at

507
00:16:25,590 --> 00:16:28,130
engages them in a way I don't hold

508
00:16:28,130 --> 00:16:30,610
on to most 401k paperwork I have, but

509
00:16:30,610 --> 00:16:35,030
understand it in a meaningful way, simple, easy,

510
00:16:35,190 --> 00:16:37,630
actionable, shows them the gap and how it

511
00:16:37,630 --> 00:16:38,310
affects their paycheck.

512
00:16:38,990 --> 00:16:41,190
I am stunned that most record keepers don't

513
00:16:41,190 --> 00:16:43,010
provide that analysis on their portal yet.

514
00:16:43,010 --> 00:16:45,070
And then it's also passive.

515
00:16:45,090 --> 00:16:47,230
I would think that record keepers would be

516
00:16:47,230 --> 00:16:50,350
giving advisors the ability to be proactive in

517
00:16:50,350 --> 00:16:51,170
that analysis.

518
00:16:51,470 --> 00:16:52,770
I haven't seen that yet.

519
00:16:53,010 --> 00:16:53,810
Tell me about the software.

520
00:16:54,270 --> 00:16:57,110
It does just a straight return every year.

521
00:16:57,250 --> 00:16:58,930
Does it do a probability of success or

522
00:16:58,930 --> 00:16:59,750
how does it calculate?

523
00:17:00,070 --> 00:17:01,770
A straight compounding rate of return.

524
00:17:01,930 --> 00:17:03,329
You can use a glide path if you

525
00:17:03,329 --> 00:17:05,530
want and lower it as they get closer

526
00:17:05,530 --> 00:17:06,109
to retirement.

527
00:17:06,250 --> 00:17:07,109
We're keeping it simple.

528
00:17:07,349 --> 00:17:08,690
We're not trying to do over analysis.

529
00:17:09,109 --> 00:17:10,750
If you say Monte Carlo to a group

530
00:17:10,750 --> 00:17:12,829
of people, they're going to think if they've

531
00:17:12,829 --> 00:17:14,210
heard of it before, they're thinking of Las

532
00:17:14,210 --> 00:17:14,550
Vegas.

533
00:17:14,690 --> 00:17:16,310
That's probably not a good association with the

534
00:17:16,310 --> 00:17:16,650
K plan.

535
00:17:16,990 --> 00:17:18,910
Then you're having to explain something that's overly

536
00:17:18,910 --> 00:17:19,349
complex.

537
00:17:19,970 --> 00:17:21,490
I took my MBA during COVID.

538
00:17:21,910 --> 00:17:24,369
I loved modern portfolio theory.

539
00:17:25,030 --> 00:17:25,849
It was fun.

540
00:17:25,950 --> 00:17:28,170
I kind of geeked out on it, but

541
00:17:28,170 --> 00:17:29,350
most people won't.

542
00:17:29,490 --> 00:17:30,990
Most people will roll their eyes and go,

543
00:17:31,050 --> 00:17:31,930
I don't want to know about that.

544
00:17:32,010 --> 00:17:33,570
I'm glad my advisor knows about it.

545
00:17:33,970 --> 00:17:35,830
The other key aspect that we provide in

546
00:17:35,830 --> 00:17:37,610
a K plan report is how does it

547
00:17:37,610 --> 00:17:38,230
affect their paycheck?

548
00:17:38,470 --> 00:17:40,030
We're going to recommend they go from 3

549
00:17:40,030 --> 00:17:41,910
% to 8% contribution level.

550
00:17:42,050 --> 00:17:43,170
That doesn't mean anything.

551
00:17:43,550 --> 00:17:46,050
What's concrete is how does that impact my

552
00:17:46,050 --> 00:17:46,550
take on pay?

553
00:17:46,890 --> 00:17:49,130
We're going to illustrate that estimated on the

554
00:17:49,130 --> 00:17:51,050
report and then give them other solutions.

555
00:17:51,150 --> 00:17:52,210
What happens if you wait a year and

556
00:17:52,210 --> 00:17:52,910
you don't do anything?

557
00:17:53,010 --> 00:17:53,910
Retire a year later.

558
00:17:54,070 --> 00:17:56,550
Have some outside assets today or at retirement.

559
00:17:57,170 --> 00:18:00,490
Some moving parts for them to understand what

560
00:18:00,490 --> 00:18:02,330
can they do to get to retirement successfully.

561
00:18:02,470 --> 00:18:04,070
I really like this approach.

562
00:18:04,490 --> 00:18:08,310
I do wonder when it comes to disclaimers

563
00:18:08,310 --> 00:18:10,130
or claiming that this is going to be

564
00:18:10,130 --> 00:18:10,670
the return.

565
00:18:10,850 --> 00:18:12,430
Is that something you get some pushback from

566
00:18:12,430 --> 00:18:14,290
advisors where they feel like maybe this is

567
00:18:14,290 --> 00:18:17,270
the projections won't be understood as just projections?

568
00:18:17,890 --> 00:18:19,210
That's covered in the disclaimers.

569
00:18:19,310 --> 00:18:21,690
Obviously it's illustrative only, but even a Monte

570
00:18:21,690 --> 00:18:22,970
Carlo is illustrative only.

571
00:18:23,090 --> 00:18:24,570
None of it took account for what happened

572
00:18:24,570 --> 00:18:25,030
during COVID.

573
00:18:25,170 --> 00:18:28,410
There was nobody in 2000 or 2019 that

574
00:18:28,410 --> 00:18:30,330
said, well, what happens if COVID happens next

575
00:18:30,330 --> 00:18:30,490
year?

576
00:18:30,670 --> 00:18:32,750
And all of that is, everything is illustrative

577
00:18:32,750 --> 00:18:34,690
that's in the future and there's good conversations

578
00:18:34,690 --> 00:18:36,070
to be had, but let's go back to

579
00:18:36,070 --> 00:18:36,590
the basics.

580
00:18:36,850 --> 00:18:38,090
Let's start with the basics.

581
00:18:38,530 --> 00:18:40,290
And then for the people that have enough

582
00:18:40,290 --> 00:18:43,310
resources and can justify the time and want

583
00:18:43,310 --> 00:18:44,930
it, we can move beyond it.

584
00:18:45,170 --> 00:18:47,210
The rank and file in America, the bulk

585
00:18:47,210 --> 00:18:49,630
of the population doesn't have a basic understanding.

586
00:18:50,110 --> 00:18:51,990
I think a lot of advisors are jumping

587
00:18:51,990 --> 00:18:54,370
into a Monte Carlo before they even got

588
00:18:54,370 --> 00:18:55,390
the basics covered.

589
00:18:55,750 --> 00:18:58,730
It's disengaging or never engaging a client.

590
00:18:58,850 --> 00:19:00,510
I don't, maybe never engaging a client in

591
00:19:00,510 --> 00:19:02,470
a way that can get them leaning forward

592
00:19:02,470 --> 00:19:04,670
and them asking the questions or the advisors

593
00:19:04,670 --> 00:19:05,550
leading the questions.

594
00:19:05,690 --> 00:19:07,450
Do you want to see a statistical analysis

595
00:19:07,450 --> 00:19:09,970
now on this simple illustration of a compounded

596
00:19:09,970 --> 00:19:10,310
rate of return?

597
00:19:10,630 --> 00:19:13,410
Let's talk about a statistical analysis and get

598
00:19:13,410 --> 00:19:15,270
more sophisticated for the people that you can

599
00:19:15,270 --> 00:19:16,270
justify the time with.

600
00:19:16,490 --> 00:19:18,410
When you step back, really what this is,

601
00:19:18,430 --> 00:19:20,790
is a tool to increase contributions.

602
00:19:21,570 --> 00:19:23,890
Because I think when you're an advisor on

603
00:19:23,890 --> 00:19:25,690
a 401k, you see over and over again,

604
00:19:25,810 --> 00:19:28,450
people not wanting to bump up their contributions

605
00:19:28,450 --> 00:19:31,590
because they don't see the point where they

606
00:19:31,590 --> 00:19:32,610
think it's going to be too much.

607
00:19:32,710 --> 00:19:34,150
I love the idea that it's going to

608
00:19:34,150 --> 00:19:36,190
show you what the change in their paycheck

609
00:19:36,190 --> 00:19:40,110
is alongside of how this will affect what

610
00:19:40,110 --> 00:19:41,150
they have in retirement.

611
00:19:41,510 --> 00:19:45,390
Because I think those are powerful numbers that

612
00:19:45,390 --> 00:19:48,630
are pretty abstract unless they're right in front

613
00:19:48,630 --> 00:19:48,930
of you.

614
00:19:49,270 --> 00:19:50,710
One of the reports that you can amend

615
00:19:50,710 --> 00:19:52,830
with that, that gap report is a contribution

616
00:19:52,830 --> 00:19:53,710
analysis report.

617
00:19:53,810 --> 00:19:55,490
And it's basically what happens if you take

618
00:19:55,490 --> 00:19:56,070
baby steps?

619
00:19:56,630 --> 00:19:58,510
I can get 1% this year, 2%.

620
00:19:58,510 --> 00:19:59,750
I can give up a couple of coffee

621
00:19:59,750 --> 00:20:02,670
cups, a paycheck, and then put that money

622
00:20:02,670 --> 00:20:03,510
in the retirement plan.

623
00:20:03,810 --> 00:20:05,610
As you do that year over year, people

624
00:20:05,610 --> 00:20:07,390
make the step up, increases.

625
00:20:07,970 --> 00:20:09,630
I have an advisor that one of my

626
00:20:09,630 --> 00:20:10,990
favorite questions that I asked him on a

627
00:20:10,990 --> 00:20:12,470
video, I said, tell me a fun story.

628
00:20:12,550 --> 00:20:13,630
And he said, third year in a row,

629
00:20:13,710 --> 00:20:15,830
they went to a plan sponsor in Chicago.

630
00:20:16,590 --> 00:20:18,950
The strategy session for the third year was

631
00:20:18,950 --> 00:20:20,770
they've done significant increase in referrals.

632
00:20:20,910 --> 00:20:22,210
We're very happy with where they're at.

633
00:20:22,330 --> 00:20:23,410
We're there just to maintain.

634
00:20:23,550 --> 00:20:24,570
He said, third year in a row, we

635
00:20:24,570 --> 00:20:26,210
went there and we got a significant increase

636
00:20:26,210 --> 00:20:27,650
in deferrals across the board.

637
00:20:27,930 --> 00:20:29,850
It's because people can afford to take baby

638
00:20:29,850 --> 00:20:30,130
steps.

639
00:20:30,230 --> 00:20:31,430
If you just show them the big one,

640
00:20:31,490 --> 00:20:32,090
they don't do it.

641
00:20:32,110 --> 00:20:33,410
But we show them what is a 1%,

642
00:20:33,410 --> 00:20:36,590
2%, 3% increase due to your take

643
00:20:36,590 --> 00:20:36,930
-home pay?

644
00:20:37,290 --> 00:20:38,830
And which one can you afford just to

645
00:20:38,830 --> 00:20:39,330
sign up today?

646
00:20:40,050 --> 00:20:41,670
And people sign up for it and move

647
00:20:41,670 --> 00:20:42,050
forward.

648
00:20:42,590 --> 00:20:44,670
And next year, they've reshuffled their finances.

649
00:20:44,910 --> 00:20:47,110
They're back to drinking the coffee, eating out.

650
00:20:47,190 --> 00:20:48,370
They can give one of those up.

651
00:20:48,610 --> 00:20:51,210
And they're looking towards a successful retirement because

652
00:20:51,210 --> 00:20:54,490
they made it, it's auto escalation, but in

653
00:20:54,490 --> 00:20:55,290
an engaged way.

654
00:20:55,690 --> 00:20:57,670
People know what they're sacrificing and they're moving

655
00:20:57,670 --> 00:20:59,370
forward and they know the cost and they

656
00:20:59,370 --> 00:20:59,770
understand.

657
00:21:00,230 --> 00:21:01,010
That's why I gave up $50.

658
00:21:01,330 --> 00:21:02,150
I'm okay with that.

659
00:21:02,370 --> 00:21:04,450
I'm moving forward towards a successful retirement.

660
00:21:04,810 --> 00:21:04,910
Yeah.

661
00:21:04,910 --> 00:21:06,010
I really liked that approach.

662
00:21:06,130 --> 00:21:08,670
I think that that's a lot more palatable

663
00:21:08,670 --> 00:21:10,850
than pointing out, you're not saving enough.

664
00:21:10,950 --> 00:21:12,230
This percentage isn't high enough.

665
00:21:12,350 --> 00:21:14,230
They recommend you do 10, you're doing three.

666
00:21:14,690 --> 00:21:17,990
It just seems like having that evidence would

667
00:21:17,990 --> 00:21:19,790
be so much more of a motivator.

668
00:21:20,190 --> 00:21:20,630
Yes.

669
00:21:21,490 --> 00:21:21,770
Yeah.

670
00:21:22,450 --> 00:21:26,510
Motivator, a confidence builder, an appreciation builder for

671
00:21:26,510 --> 00:21:29,290
advisors to justify their fees with plan sponsors,

672
00:21:29,410 --> 00:21:31,450
because you're differentiating your services.

673
00:21:32,150 --> 00:21:34,490
There's a lot of benefits when you're educating

674
00:21:34,490 --> 00:21:35,930
the rank and file in a very efficient

675
00:21:35,930 --> 00:21:36,250
way.

676
00:21:36,630 --> 00:21:38,290
And I think the pleasure of just knowing

677
00:21:38,290 --> 00:21:40,450
you've helped a lot of Americans move forward

678
00:21:40,450 --> 00:21:42,130
with retirement in a successful way.

679
00:21:42,230 --> 00:21:43,990
I think it's good for the advisor too,

680
00:21:44,070 --> 00:21:47,030
because I've actually run into people who assume

681
00:21:47,030 --> 00:21:48,910
that the reason I want them to save

682
00:21:48,910 --> 00:21:50,710
more is that they're more in the plan,

683
00:21:50,890 --> 00:21:51,510
I get paid more.

684
00:21:51,790 --> 00:21:54,610
My salary is directly tied to how much

685
00:21:54,610 --> 00:21:55,770
they're putting into the plan.

686
00:21:56,250 --> 00:21:57,230
And they won't believe you.

687
00:21:57,290 --> 00:21:58,310
They just think you're a salesperson.

688
00:21:58,430 --> 00:21:59,770
So having that and say, Hey, look at

689
00:21:59,770 --> 00:22:01,030
this, just look at this real quick.

690
00:22:01,170 --> 00:22:02,350
This is about you, not me.

691
00:22:02,450 --> 00:22:04,570
Just an explanation won't cover.

692
00:22:04,930 --> 00:22:07,250
One of the advisors that used us, retired

693
00:22:07,250 --> 00:22:10,350
now, but he used to charge a premium

694
00:22:10,350 --> 00:22:11,570
for providing the reports.

695
00:22:11,730 --> 00:22:13,730
He said, well, this is my deluxe level

696
00:22:13,730 --> 00:22:14,250
of service.

697
00:22:14,350 --> 00:22:14,870
Who wants it?

698
00:22:15,530 --> 00:22:17,330
And when he saw that the people that

699
00:22:17,330 --> 00:22:18,610
were signing up for note, he said, it

700
00:22:18,610 --> 00:22:20,450
was really silly for me to charge 50,

701
00:22:20,590 --> 00:22:23,410
75, a hundred dollars per participant per year.

702
00:22:23,690 --> 00:22:25,370
He's because in the long run, I was

703
00:22:25,370 --> 00:22:27,350
getting paid more when the contributions went up

704
00:22:27,350 --> 00:22:29,510
and they were rolling outside assets into the

705
00:22:29,510 --> 00:22:31,070
plan because they understood that it needed to

706
00:22:31,070 --> 00:22:31,570
be managed.

707
00:22:32,150 --> 00:22:35,610
Most advisors, participants push back because they're disengaged.

708
00:22:35,710 --> 00:22:36,350
They're not interested.

709
00:22:36,490 --> 00:22:37,730
They don't want to help their advisor get

710
00:22:37,730 --> 00:22:40,630
richer, really counterintuitive, counterproductive for them.

711
00:22:41,410 --> 00:22:42,810
Versus I like, I like the way you

712
00:22:42,810 --> 00:22:44,830
said that now we're making it.

713
00:22:44,970 --> 00:22:46,610
This is really about you and your world.

714
00:22:46,870 --> 00:22:47,910
And if you want to live in this

715
00:22:47,910 --> 00:22:48,650
world, that's fine.

716
00:22:48,930 --> 00:22:50,030
I want to help you get out of

717
00:22:50,030 --> 00:22:50,430
this world.

718
00:22:51,050 --> 00:22:52,310
You're not just a buddy with the plan

719
00:22:52,310 --> 00:22:52,790
sponsor.

720
00:22:53,510 --> 00:22:55,110
You're helping the participants.

721
00:22:55,370 --> 00:22:57,870
You have a relationship with the participants in

722
00:22:57,870 --> 00:22:59,110
mass, even though you may not even know

723
00:22:59,110 --> 00:23:01,410
their names, they go that advisor really helped.

724
00:23:01,530 --> 00:23:03,150
And what I like about this is it's

725
00:23:03,150 --> 00:23:05,090
not just for 401k participants.

726
00:23:05,090 --> 00:23:07,390
You can actually use this for your clients

727
00:23:07,390 --> 00:23:09,510
because a lot of clients, even high net

728
00:23:09,510 --> 00:23:11,930
worth clients, really their eyes kind of gloss

729
00:23:11,930 --> 00:23:14,310
over when you start to produce these long

730
00:23:14,310 --> 00:23:17,890
reports and you have all this information and

731
00:23:17,890 --> 00:23:19,430
they're trying to digest it.

732
00:23:19,750 --> 00:23:21,450
Sometimes they just sit back and say, well,

733
00:23:21,490 --> 00:23:22,610
I guess I gotta just trust you.

734
00:23:22,810 --> 00:23:24,270
And that's not really where you want to

735
00:23:24,270 --> 00:23:25,010
be as an advisor.

736
00:23:25,170 --> 00:23:27,870
You want to be demonstrating what you're doing,

737
00:23:28,190 --> 00:23:33,010
how the different options will affect their outcome

738
00:23:33,010 --> 00:23:37,850
and having flexible software and flexible modeling that

739
00:23:37,850 --> 00:23:38,630
is simplistic.

740
00:23:38,630 --> 00:23:40,450
I think is, it could be very valuable

741
00:23:40,450 --> 00:23:41,290
if you use it correctly.

742
00:23:41,910 --> 00:23:42,310
Exactly.

743
00:23:42,510 --> 00:23:43,950
And I'll give you an example in the

744
00:23:43,950 --> 00:23:46,470
403b world, not a licensed advisors, but they

745
00:23:46,470 --> 00:23:47,670
were selling insurance products.

746
00:23:48,070 --> 00:23:50,430
I left an LPL conference, flew down to

747
00:23:50,430 --> 00:23:51,070
Dallas.

748
00:23:51,450 --> 00:23:52,850
And as I walked in the room, I

749
00:23:52,850 --> 00:23:54,770
got a round of applause because, and then

750
00:23:54,770 --> 00:23:56,070
I would find out and when I was

751
00:23:56,070 --> 00:23:57,830
doing my presentation, I hardly talked.

752
00:23:58,150 --> 00:24:01,230
The advisors were no longer telling them they

753
00:24:01,230 --> 00:24:02,990
needed a product or needed to invest this

754
00:24:02,990 --> 00:24:03,270
way.

755
00:24:03,650 --> 00:24:05,250
They were walking them through a process showing

756
00:24:05,250 --> 00:24:06,150
here's where you're at.

757
00:24:06,750 --> 00:24:08,030
How do you want to fix it?

758
00:24:08,410 --> 00:24:09,250
What's the next steps?

759
00:24:09,270 --> 00:24:11,670
And they could justify the changes the client

760
00:24:11,670 --> 00:24:12,410
needed to make.

761
00:24:12,710 --> 00:24:14,710
And the client understood it, not just having

762
00:24:14,710 --> 00:24:16,390
to trust the advisor, but they had an

763
00:24:16,390 --> 00:24:18,890
understanding of where they were at and they

764
00:24:18,890 --> 00:24:21,310
could take the report home and understand the

765
00:24:21,310 --> 00:24:22,750
report and not have to call the advisor

766
00:24:22,750 --> 00:24:23,230
three times.

767
00:24:23,610 --> 00:24:25,050
I had an advisor tell me about their

768
00:24:25,050 --> 00:24:25,870
e-money report.

769
00:24:26,390 --> 00:24:27,910
He goes, I don't understand some of the

770
00:24:27,910 --> 00:24:28,170
pages.

771
00:24:28,310 --> 00:24:29,530
Why am I handing it to a client?

772
00:24:29,830 --> 00:24:31,230
He won't let me use his name because

773
00:24:31,230 --> 00:24:34,910
he's embarrassed, but helping them understand where they're

774
00:24:34,910 --> 00:24:37,410
at in a way that the advisor understands

775
00:24:37,410 --> 00:24:37,550
it.

776
00:24:37,550 --> 00:24:38,730
And the client can go home and look

777
00:24:38,730 --> 00:24:40,290
at the pages and go, this is where

778
00:24:40,290 --> 00:24:40,610
I'm at.

779
00:24:40,750 --> 00:24:42,050
It gives them a level of confidence.

780
00:24:42,630 --> 00:24:43,910
Well, and I think we've all done this

781
00:24:43,910 --> 00:24:46,050
where you're printing out a plan and it's

782
00:24:46,050 --> 00:24:49,050
hundreds of pages and it's however long of

783
00:24:49,050 --> 00:24:49,570
a disclosure.

784
00:24:49,870 --> 00:24:51,490
Plus there's the model for this, the model

785
00:24:51,490 --> 00:24:53,550
for that, the numbers for this, all of

786
00:24:53,550 --> 00:24:53,890
this data.

787
00:24:54,010 --> 00:24:55,830
And you wonder when you hand them this

788
00:24:55,830 --> 00:24:57,870
big thing or you email them this big

789
00:24:57,870 --> 00:24:59,410
thing, are they going to look at it?

790
00:24:59,550 --> 00:25:00,730
Is it going to be overwhelming?

791
00:25:00,990 --> 00:25:02,550
How are they going to find, like maybe

792
00:25:02,550 --> 00:25:04,130
you put a tab or a highlighter, like

793
00:25:04,130 --> 00:25:05,830
how are they going to find what you

794
00:25:05,830 --> 00:25:07,710
were talking about, what they're curious about?

795
00:25:07,990 --> 00:25:10,470
And I think that there's something lost there

796
00:25:10,470 --> 00:25:13,930
that we need to really understand is really

797
00:25:13,930 --> 00:25:14,390
important.

798
00:25:14,510 --> 00:25:15,610
And the world is changing.

799
00:25:16,310 --> 00:25:18,910
What people are expecting from advisors is changing.

800
00:25:19,110 --> 00:25:22,810
It's not a relationship where we are talking

801
00:25:22,810 --> 00:25:24,610
above them and saying, don't worry, we'll manage

802
00:25:24,610 --> 00:25:24,970
your money.

803
00:25:25,110 --> 00:25:27,030
Now people want to be involved in the

804
00:25:27,030 --> 00:25:27,550
conversation.

805
00:25:27,690 --> 00:25:29,750
They want to understand what's going on.

806
00:25:29,950 --> 00:25:31,930
This software is bridging some of that gap.

807
00:25:32,230 --> 00:25:34,590
For those people that don't have any understanding

808
00:25:34,590 --> 00:25:36,510
or just want to keep it simple, exactly.

809
00:25:36,750 --> 00:25:38,230
For people that want a lot of detail,

810
00:25:38,590 --> 00:25:39,830
we're not going to fit that world.

811
00:25:40,150 --> 00:25:41,490
We have tools for federal employees.

812
00:25:41,810 --> 00:25:43,250
And if you think of the federal pension

813
00:25:43,250 --> 00:25:45,690
system, it's by far the most complex pension

814
00:25:45,690 --> 00:25:46,830
system in the whole country.

815
00:25:46,970 --> 00:25:48,430
You can get a PhD on it.

816
00:25:48,490 --> 00:25:49,790
I mean, it's like, wow, there's so many

817
00:25:49,790 --> 00:25:50,210
details.

818
00:25:50,310 --> 00:25:51,370
It took us a long time to get

819
00:25:51,370 --> 00:25:51,710
it right.

820
00:25:52,510 --> 00:25:54,290
One of the advisors that uses us, Ann

821
00:25:54,290 --> 00:25:57,210
Vanderslice, she's out of Colorado, would turn to

822
00:25:57,210 --> 00:25:59,390
her clients and say, show them the gap,

823
00:25:59,550 --> 00:26:01,210
the retirement years gap report and say, how

824
00:26:01,210 --> 00:26:02,010
do you want to fix this?

825
00:26:02,010 --> 00:26:03,750
She said a client called her up two

826
00:26:03,750 --> 00:26:05,390
weeks later and said, Ann, why don't you

827
00:26:05,390 --> 00:26:05,950
try this?

828
00:26:06,050 --> 00:26:07,650
The client understood it in such a way

829
00:26:07,650 --> 00:26:09,130
that they were thinking about it for two

830
00:26:09,130 --> 00:26:09,370
weeks.

831
00:26:09,470 --> 00:26:10,970
Most people walk out and they go grab

832
00:26:10,970 --> 00:26:11,310
a beer.

833
00:26:11,450 --> 00:26:12,650
And so I have a headache from talking

834
00:26:12,650 --> 00:26:13,250
to my advisor.

835
00:26:13,670 --> 00:26:14,930
I'm never going to look at this 200

836
00:26:14,930 --> 00:26:15,850
page report again.

837
00:26:16,210 --> 00:26:18,050
And when they're calling Ann, it's like they

838
00:26:18,050 --> 00:26:20,130
understood in a way that's interactive on a

839
00:26:20,130 --> 00:26:21,990
very complex plan to start with.

840
00:26:22,210 --> 00:26:23,510
And they're moving the parts around.

841
00:26:23,590 --> 00:26:24,730
They're thinking two weeks later.

842
00:26:25,190 --> 00:26:27,750
Ann's a very successful federal advisor, helping federal

843
00:26:27,750 --> 00:26:29,210
employees towards retirement.

844
00:26:29,370 --> 00:26:31,050
It's that model of let's keep it in

845
00:26:31,050 --> 00:26:32,930
a way that engages them and keeps them

846
00:26:32,930 --> 00:26:35,030
thinking about how can they make their retirement

847
00:26:35,030 --> 00:26:35,890
plan successful.

848
00:26:38,070 --> 00:26:40,490
What is the one thing you think financial

849
00:26:40,490 --> 00:26:41,910
planners should know, but don't?

850
00:26:42,010 --> 00:26:42,690
Keep it simple.

851
00:26:43,010 --> 00:26:45,210
Don't add the complexities to the conversation.

852
00:26:45,670 --> 00:26:46,970
Keep it simple in a way that your

853
00:26:46,970 --> 00:26:50,930
client understands and appreciates what you've communicated and

854
00:26:50,930 --> 00:26:53,710
can object or ask questions in a that

855
00:26:53,710 --> 00:26:55,970
helps them answer the questions they have.

856
00:26:56,370 --> 00:26:57,610
That's a great answer.

857
00:26:58,410 --> 00:27:00,410
Ed, thank you so much for joining me

858
00:27:00,410 --> 00:27:03,370
and talking about this simplicity problem we have

859
00:27:03,370 --> 00:27:04,450
and offering your solution.

860
00:27:04,590 --> 00:27:06,430
I really appreciate the conversation.

861
00:27:06,910 --> 00:27:07,550
Thank you, Beth.

862
00:27:08,910 --> 00:27:12,210
Why did Blockbuster really go out of business?

863
00:27:13,610 --> 00:27:15,550
They lost money on their renter's insurance.

864
00:27:15,930 --> 00:27:17,850
There is actually one Blockbuster about three hours

865
00:27:17,850 --> 00:27:18,170
from me.

866
00:27:18,310 --> 00:27:19,590
Last one is in Bend, Oregon.