Fresno Retirement Consultant News: Health Care Woes Predicted Long Ago

Fresno Retirement Consultant News: Health Care Woes Predicted Long Ago

“The federal pandemic influenza plan and public health experts predict that should the H5N1 influenza virus mutate in such a way that human-to-human transmission can easily occur, approximately 30 percent of the U.S. population could develop the disease. An influenza pandemic of some type could occur in the next few years … It is expected that there would be serious shortages of health care facilities, equipment, pharmaceuticals and personnel. The public health system and hospitals will be quickly overrun if even some of the estimated number of people become sick. It is important to realize that victims of this disease will, by default, need to be cared for in home-care settings, and we must plan accordingly.”

This might sound familiar to our current situation in 2020, but these conclusions are actually from a report published by the National Institutes of Health in 2007.¹

The possible effects of a pandemic like COVID-19 were not entirely unexpected. Since the report above was released, the U.S. had more than 13 years to better prepare for a widespread illness by addressing problems in the nation’s health care system. Although the media continues to report health care is the top priority for Americans, the large, structural changes necessary to provide quality, affordable health care resources nationwide have not surfaced.

No retirement strategy is complete without addressing the costs of health care and long-term care. Retirees are living longer and health care expenses continue to rise.² If you feel your retirement strategy may be inadequate to help cover medical expenses in the future, please give us a call. We can discuss insurance products, such as life insurance and annuities, that can provide various options that may help meet your financial needs.

To be fair, 80% of Americans are mostly concerned with their own out-of-pocket health care costs.³ However, just offering individuals a financial “Band-Aid” does not address the underlying causes of growing costs related to health care government policies.⁴ A 2017 study found the U.S. spends $812 billion a year in administrative costs alone, as they relate to insurance companies and overhead associated with medical practices managing the claims processes.⁵

The problems have been identified, but unfortunately, no universal solution has been agreed upon. Republicans and Democrats are on opposite sides of the debate — less versus more government intervention — and there’s even a diverse range of policy proposals within the Democratic party. Meanwhile, the wide partisan divide continues in Washington, D.C., and the stalemate continues for 13 years and counting.⁶

If health care wasn’t a commanding issue in the country before the COVID-19 pandemic, it certainly is now.

Fresno Retirement Consultant Takeaways

Soutas Financial your Fresno financial planner would like to remind you of these points. The possible effects of a pandemic like COVID-19 were not entirely unexpected. Although the media continues to report health care is the top priority for Americans, the large, structural changes necessary to provide quality, affordable health care resources nationwide have not surfaced. However, just offering individuals a financial “Band-Aid” does not address the underlying causes of growing costs related to health care government policies.⁴ A 2017 study found the U.S. spends $812 billion a year in administrative costs alone, as they relate to insurance companies and overhead associated with medical practices managing the claims processes.⁵

Soutas Financial & Insurance Solutions Inc. your Fresno financial planning consultant is committed to helping take the complexity out of retirement planning. By using a variety of insurance and investment products such as trusts, probates, charitable giving, estate planning, or tax-efficient strategies, we can help you develop an overall retirement income strategy specific to you and your family. We have a strong team of professionals helping ensure you receive all the assistance you need not only in developing your retirement income strategy, but in maintaining it throughout your retirement. Contact us today at 559-230-1648 or visit us today at Soutas Financial to get your retirement plans on track for success!

Other Fresno Financial Advisor Articles

Soutas Financial & Insurance Solutions Inc.
333 W. Shaw Avenue Suite 106 Fresno, CA 93704
(559) 230-1648
Soutas.com

Content prepared by Kara Stefan Communications.

¹ Peter J. Levin, Eric N. Gebbie and Kristine Qureshi. National Institutes of Health. Sep-Oct 2007. “Can the Health-Care System Meet the Challenge of Pandemic Flu? Planning, Ethical, and Workforce Considerations.” https://www.ncbi.nlm.nih.gov/pmc/articles/PMC1936949/. Accessed March 16, 2020.

² Milken Institute of Public Health. April 6, 2018. “The Growing Cost of Aging in America Part 1: An Aging Population and Rising Health Care Costs.” https://publichealthonline.gwu.edu/cost-of-aging-healthcare/. Accessed March 16, 2020.

³ Adam Cancryn. Politico. Feb. 9, 2020. “POLITICO-Harvard Poll: Health care costs are top priority heading into elections.” https://www.politico.com/news/2020/02/19/poll-health-care-election-115866. Accessed March 16, 2020.

⁴ Jim Probasco. Investopedia. Oct. 16, 2019. “Why Do Healthcare Costs Keep Rising?” https://www.investopedia.com/insurance/why-do-healthcare-costs-keep-rising/. Acessed March 16, 2020.

⁵ Joanne Finnegan. Fierce Health care. Jan. 7, 2020. “How can U.S. healthcare save more than $600B? Switch to a single-payer system, study suggests.” https://www.fiercehealthcare.com/practices/how-can-u-s-healthcare-save-more-than-600b-switch-to-a-single-payer-system-study-says. Accessed March 16, 2020.

⁶ Julie Rovner. NPR. Jan. 29, 2020. “U.S. Elections 2020: Understanding What’s At Stake For Health Care.” https://www.npr.org/sections/health-shots/2020/01/29/800652075/u-s-elections-2020-understanding-whats-at-stake-for-health-care. Accessed March 16, 2020.

Our firm is not affiliated with the U.S. government or any governmental agency.

We are an independent firm helping individuals create retirement strategies using a variety of insurance products to custom suit their needs and objectives. This material is intended to provide general information to help you understand basic retirement income strategies and should not be construed as financial advice. Investment advisory services offered only by duly registered individuals through AE Wealth Management, LLC (AEWM). AEWM and Soutas Financial & Insurance Solutions, Inc are not affiliated companies. California Insurance License # OK48173

The information contained in this material is believed to be reliable, but accuracy and completeness cannot be guaranteed; it is not intended to be used as the sole basis for financial decisions. Investing involves risk, including possible loss of principal. Insurance product guarantees are backed by the financial strength and claims-paying ability of the issuing company. If you are unable to access any of the news articles and sources through the links provided in this text, please contact us to request a copy of the desired reference. 628462 

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Fresno Retirement Advisor News: Contingency Plans Helpful to Weather the Unexpected

Fresno Retirement Advisor News: Contingency Plans Helpful to Weather the Unexpected

Financial advisors often tell clients to keep an emergency fund of liquid assets, with enough to cover three to six months of living expenses. It makes you wonder why America’s largest companies don’t maintain a similar practice, with three to six months of emergency savings to help keep workers on payroll during difficult times.

Unfortunately, it is common during economic downturns, including pandemics, for companies to reduce hours, send workers home without pay or lay off employees altogether.¹ This is why it’s important for every household to have a contingency plan for when the unexpected happens.

If you don’t have a plan B for loss of income, savings or investment dividends — or if your plan B isn’t working and you need to come up with a plan C — we’re here for you. Give us a call to discuss ways to position assets to help establish greater financial confidence for your household moving forward.

Federal regulators recently announced that homeowners unable to pay their mortgage due to lost income from the COVID-19 pandemic may be eligible to reduce or suspend their mortgage payments for up to 12 months.² Consider your options carefully, particularly if you have enough savings to cover these payments for the foreseeable future. Homeowners will have to work out a repayment plan with their lender, which could result in higher monthly payments or extending the term of the loan.

If you have any supplemental insurance policies, you may want to pull out those contracts and read about their coverages and exclusions. For example, critical illness insurance is not likely to cover COVID-19 because it’s not a specified illness on the policy.

Small businesses are generally advised to create a contingency plan, but this is usually comprised of things like capital and credit sources, supply chain alternatives, and even a public relations crisis management plan.³ While keeping home-bound workers on the payroll is an unusual tactic, small business owners may want to consider the alternative. When the economy recovers and jobs ramp back up, you’ll have to start the recruitment process all over again and may lose out on regaining your highly trained talent.

According to the Work Institute’s 2017 Retention Report, the replacement cost is $15,000 per employee earning $45,000 a year.⁴ If the current loss of business lasts three months, how does that compare to the cost of keeping already trained and productive workers on the payroll during the pandemic?

There’s a bigger picture, as well. Those who lose their jobs and income cease to be active consumers, which slows down the economy and makes it harder for small businesses to recover.

Fresno Retirement Advisor Takeaways

As your Fresno financial advisor we thought this was a good takeaway. Financial advisors often tell clients to keep an emergency fund of liquid assets, with enough to cover three to six months of living expenses. Federal regulators recently announced that homeowners unable to pay their mortgage due to lost income from the COVID-19 pandemic may be eligible to reduce or suspend their mortgage payments for up to 12 months.² If you don’t have a plan B for loss of income, savings or investment dividends — or if your plan B isn’t working and you need to come up with a plan C — we’re here for you.

Soutas Financial & Insurance Solutions Inc. your Fresno financial planner is committed to helping take the complexity out of retirement planning. By using a variety of insurance and investment products such as trusts, probates, charitable giving, estate planning, or tax-efficient strategies, we can help you develop an overall retirement income strategy specific to you and your family. We have a strong team of professionals helping ensure you receive all the assistance you need not only in developing your retirement income strategy, but in maintaining it throughout your retirement. Contact us today at 559-230-1648 or visit us today at Soutas Financial to get your retirement plans on track for success!

Other Fresno Financial Advisor Articles

Soutas Financial & Insurance Solutions Inc.
333 W. Shaw Avenue Suite 106 Fresno, CA 93704
(559) 230-1648
Soutas.com

Content prepared by Kara Stefan Communications.

¹ Carmen Reinicke. Business Insider. March 20, 2020. “The coronavirus outbreak is causing a historic spike in US layoffs. Here’s what 4 Wall Street experts are saying – and how much worse they think it can get.” https://markets.businessinsider.com/news/stocks/us-layoffs-spiking-coronavirus-expert-reaction-commentary-economy-unemployment-analyst-2020-3-1029016785. Accessed March 20, 2020.

² Chris Arnold. NPR. March 19, 2020. “U.S. Orders Up To A Yearlong Break On Mortgage Payments.” https://www.npr.org/2020/03/19/818343720/homeowners-hurt-financially-by-the-coronavirus-may-get-a-mortgage-break. Accessed March 20, 2020.

³ Mike Fried. ROI. March 16, 2020. “Five considerations for pandemic event preparedness.” https://www.roi-nj.com/2020/03/16/opinion/five-considerations-for-pandemic-event-preparedness/. Accessed March 20, 2020.

⁴ Valerie Bolden-Barrett. HR Dive. Aug. 11, 2017. “Study: Turnover costs employers $15,000 per worker.” https://www.hrdive.com/news/study-turnover-costs-employers-15000-per-worker/449142/. Accessed March 20, 2020.

Our firm is not affiliated with the U.S. government or any governmental agency.

We are an independent firm helping individuals create retirement strategies using a variety of insurance products to custom suit their needs and objectives. This material is intended to provide general information to help you understand basic retirement income strategies and should not be construed as financial advice. Investment advisory services offered only by duly registered individuals through AE Wealth Management, LLC (AEWM). AEWM and Soutas Financial & Insurance Solutions, Inc are not affiliated companies. California Insurance License # OK48173

The information contained in this material is believed to be reliable, but accuracy and completeness cannot be guaranteed; it is not intended to be used as the sole basis for financial decisions. Investing involves risk, including possible loss of principal. Insurance product guarantees are backed by the financial strength and claims-paying ability of the issuing company If you are unable to access any of the news articles and sources through the links provided in this text, please contact us to request a copy of the desired reference. 628462 

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Fresno Financial Consultant News: Insuring Income In Coronavirus Outbreak

Fresno Financial Consultant News: Insuring Income In Coronavirus Outbreak

As the COVID-19 strain of the coronavirus flows through our nation’s population, many Americans may find themselves working shorter shifts, working from home, on paid or unpaid medical leave, furloughed or even laid off. While additional remedies from federal, state and local governments may be forthcoming to help households sustain financial stability, there are programs also available now.

We’ve compiled a sample of currently available government programs designed to help insure or supplement income for Americans.

If you’re unable to work because you have or were exposed to COVID-19, once you are certified by a medical professional, you may be able to file a disability insurance (DI) claim. DI can provide up to 80% of your gross income and usually lasts three to six months. Eligible workers must have lost all or part of their wages due to a non-work-related illness, injury or pregnancy.¹

Social Security disability benefits may be available to workers who have been employed for a qualifying period of time at one or more jobs covered by Social Security. To be eligible to receive monthly benefits, workers must have a medical condition that meets Social Security’s definition of disability, which includes being unable to work for a year or more.²

Employees who work for a company that shut down operations due to the coronavirus may be able to file an unemployment insurance claim. Employees who lost their job as a result of coronavirus layoffs are expected to receive at least $600 per week,³ but with a projected 2.25 million people claiming unemployment insurance in mid-March, some question whether everyone eligible will receive it.⁴ The global impact of the virus, and its effect on the economy, remains to be seen. Now may be a better time than ever to check in with your financial professional to see if your current retirement income strategy remains on course.

Fresno Financial Consultant Takeaways

As your Fresno retirement plan professionals we felt the following ideas were top notch: During these trying times of coping with the COVID-19 strain of the coronovirus, many Americans may find themselves working shorter shifts, working from home, on paid or unpaid medical leave, furloughed or even laid off. What can you do? If you’re unable to work because you have or were exposed to COVID-19, once you are certified by a medical professional, you may be able to file a disability insurance (DI) claim. Employees who work for a company that shut down operations due to the coronavirus may be able to file an unemployment insurance claim. Employees who lost their job as a result of coronavirus layoffs are expected to receive at least $600 per week,³ but with a projected 2.25 million people claiming unemployment insurance in mid-March, some question whether everyone eligible will receive it.⁴

Soutas Financial & Insurance Solutions Inc. your Fresno financial advisor is committed to helping take the complexity out of retirement planning. By using a variety of insurance and investment products such as trusts, probates, charitable giving, estate planning, or tax-efficient strategies, we can help you develop an overall retirement income strategy specific to you and your family. We have a strong team of professionals helping ensure you receive all the assistance you need not only in developing your retirement income strategy, but in maintaining it throughout your retirement. Contact us today at 559-230-1648 or visit us today at Soutas Financial to get your retirement plans on track for success!

Other Fresno Financial Advisor Articles

Soutas Financial & Insurance Solutions Inc.
333 W. Shaw Avenue Suite106 Fresno, CA 93704
(559) 230-1648
Soutas.com

Content prepared by Kara Stefan Communications.

¹ Derek Silva. Policy Genius. March 17, 2020. “Does disability insurance cover coronavirus (COVID-19)?” https://www.policygenius.com/disability-insurance/disability-insurance-and-coronavirus/. Accessed March 24, 2020.

² Social Security Administration. 2020. “Benefits Planner: Disability: How You Qualify.” https://www.ssa.gov/planners/disability/qualify.html. Accessed March 9, 2020.

³ Dylan Matthews.Vox. March 24, 2020. “The coronavirus unemployment insurance plan, explained.” https://www.vox.com/future-perfect/2020/3/24/21188470/coronavirus-unemployment-benefits-senate-stimulus. Accessed March 24, 2020.

⁴ Annalyn Kurtz. CNN Business. March 20, 2020. “Goldman Sachs predicts 2.25 million Americans filed initial unemployment claims this week, the highest on record.” https://www.cnn.com/2020/03/19/economy/unemployment-benefits-goldman-sachs/index.html. Accessed March 31, 2020.

Our firm is not affiliated with the U.S. government or any governmental agency.

We are an independent firm helping individuals create retirement strategies using a variety of insurance products to custom suit their needs and objectives. This material is intended to provide general information to help you understand basic retirement income strategies and should not be construed as financial advice. Investment advisory services offered only by duly registered individuals through AE Wealth Management, LLC (AEWM). AEWM and Soutas Financial & Insurance Solutions, Inc are not affiliated companies. California Insurance License # OK48173

The information contained in this material is believed to be reliable, but accuracy and completeness cannot be guaranteed; it is not intended to be used as the sole basis for financial decisions. Investing involves risk, including possible loss of principal. Insurance product guarantees are backed by the financial strength and claims-paying ability of the issuing company If you are unable to access any of the news articles and sources through the links provided in this text, please contact us to request a copy of the desired reference. 628462 

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Fresno Financial Advisor News: Breaking Down the Recent Jargon of the Market

Fresno Financial Advisor News: Breaking Down the Recent Jargon of the Market

The Dow Jones Industrial Average (DJIA), the S&P 500 and the Nasdaq experienced quite a roller coaster ride in March. There are mixed opinions as to whether it was due to the global economic impact of the seemingly unstoppable new COVID-19 coronavirus or due to the federal government’s delayed response and tactical efforts to constrain the virus. Or, perhaps more likely, both.

Regardless of the reasons, they are largely out of the control of individual investors. So, what do you do? Much depends on your own individual circumstances. As we learn in Investing 101, it’s a matter of getting back to the basics. What are your financial goals? When do you need to achieve them? How much risk are you willing to take?

These three questions basically translate to: How much money do you need, how old are you and what keeps you up at night? If you are near or early in retirement, you may justifiably be losing sleep worrying about the current market volatility. We may be able to help. Feel free to schedule some time to speak with an experienced financial advisor to help you figure out if you should make any changes to your investment portfolio and, if so, what is an appropriate investment strategy for you.

Speaking of Investing 101, let’s break down some of the terms you may be hearing in the financial media to better define what they could mean for your situation.

Sequence of Returns

On the surface, “sequence of returns” means annual performance numbers throughout a period of time. It may just be one or two years, but if the investment markets perform poorly in the year or two before or after you retire, it could have a significant impact on how long your nest egg will last. Individuals who retire right around a significant and/or extended market decline could end up drawing income from their investment principal instead of investment earnings. In this situation, it may be worth considering other options, such as working longer so you can continue contributing to your investment accounts and allow time for recovery.¹

Cash Reserves

This means you should have an emergency fund, preferably equal to six months of income —most likely in a bank account. Even if you have these liquid assets, it may be worth delaying projects such as home improvements, expensive travel plans, buying a second home or other major purchases until the markets have stabilized. Having such an emergency fund available can offer a sense of financial security that no amount of beach vacations can equal.²

Defensive Positions

Perhaps you want to stay fully invested in the market, but you’re concerned about losses. According to market analysts at Bank of America Securities, you may want to consider equities that have the potential to provide higher yields during periods of volatility. Sectors more likely to thrive during a health pandemic include data centers, grocery-anchored strip malls, medical office buildings, self-storage centers and towers for wireless carriers.³

Wait and See

Not many investors have the stomach to invest more money during a flailing market. However, there may be opportunities to purchase “bargains” — such as airline securities — that are likely to be hit the hardest yet have the potential to rebound quickly. After all, we will remain in a global economy, and business trips will resume after the pandemic has subsided.

Fresno Financial Planner Takeaways

When it comes to Fresno retirement planning Soutas Financial puts your future first. Don’t forget these great reminders. The Dow Jones Industrial Average (DJIA), the S&P 500 and the Nasdaq experienced quite a roller coaster ride in March. Regardless of the reasons, they are largely out of the control of individual investors. So, what do you do? What are your financial goals? When do you need to achieve them? How much risk are you willing to take? Feel free to schedule some time to speak with an experienced financial advisor to help you figure out if you should make any changes to your investment portfolio and, if so, what is an appropriate investment strategy for you.

Soutas Financial & Insurance Solutions Inc., your Fresno retirement plan professionals, are committed to helping take the complexity out of retirement planning. By using a variety of insurance and investment products such as trusts, probates, charitable giving, estate planning, or tax-efficient strategies, we can help you develop an overall retirement income strategy specific to you and your family. We have a strong team of professionals helping ensure you receive all the assistance you need not only in developing your retirement income strategy, but in maintaining it throughout your retirement. Contact us today at 559-230-1648 or visit us today at Soutas Financial to get your retirement plans on track for success!

Other Fresno Financial Advisor Articles

Soutas Financial & Insurance Solutions Inc.
333 W. Shaw Avenue Suite106 Fresno, CA 93704
(559) 230-1648
Soutas.com

Content prepared by Kara Stefan Communications.

¹ Allessandra Malito. MarketWatch. March 15, 2020. “Retiring soon? Here’s how you should handle these crazy market drops.” https://www.marketwatch.com/story/retiring-soon-heres-how-you-should-handle-these-crazy-market-drops-2020-03-09?mod=home-page. Accessed March 24, 2020.

² Knowledge@Wharton. Feb. 3, 2020. “How to Recession-proof Your Retirement.” https://knowledge.wharton.upenn.edu/article/how-to-recession-proof-your-retirement/. Accessed March 24, 2020.

³ Tomi Kilgore. MarketWatch. March 7, 2020. “These are the safest and highest dividend-yielding REITs as the coronavirus spreads, BofA says.” https://www.marketwatch.com/story/these-are-the-safest-and-highest-dividend-yielding-reits-as-the-coronavirus-spreads-bofa-says-2020-03-06?mod=home-page. Accessed March 24, 2020.

Our firm is not affiliated with the U.S. government or any governmental agency.

We are an independent firm helping individuals create retirement strategies using a variety of insurance and investment products to custom suit their needs and objectives. This material is intended to provide general information to help you understand basic financial planning strategies and should not be construed as financial or investment advice. All investments are subject to risk including the potential loss of principal. No investment strategy can guarantee a profit or protect against loss in periods of declining values.

The information contained in this material is believed to be reliable, but accuracy and completeness cannot be guaranteed; it is not intended to be used as the sole basis for financial decisions. Investing involves risk, including possible loss of principal. Insurance product guarantees are backed by the financial strength and claims-paying ability of the issuing company If you are unable to access any of the news articles and sources through the links provided in this text, please contact us to request a copy of the desired reference. 628462 

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Fresno Financial Advisor-Helping to Take Care of You … No Matter What-Soutas Financial

Dale Soutas, Fresno Financial Advisor & Retirement Planning Subscribe today for life-changing financial advice anytime, anywhere. COVID-19 ALERT Helping to Take Care of You … No Matter What Schedule a Phone Meeting Today

You don’t have to go it alone In this season of uncertainty, we’re here for you, ready to answer your questions, offer a second opinion on your retirement income strategy or just listen to what’s on your mind. As financial professionals and neighbors living through the uncertainty with you, we’re uniquely positioned to help you navigate your retirement future. We can look at your income strategy to see if you’re on track to meet your goals or need to make some adjustments.

Or, we can simply listen to what’s most important to you and help you make decisions about next steps. Whatever happens, we’re all in this together … and we’ll get through it together too. Give us a call and let’s talk about how to help take care of you and your loved ones in the weeks, months and years ahead.

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