Chad joins Rob Black to discuss new 401(k) contribution limits and other retirement topics.

01/23/25 • 37 min

Chad joins Rob Black to dive into the latest updates on 401(k) contribution limits for 2025, including new IRS catch-up provisions for older workers, mega Roth strategies, and backdoor Roth IRAs. Explore retirement planning essentials like Morningstar's revised 3.7% withdrawal rate, strategies for optimizing Social Security timing, and the pros and cons of bond ladders versus ETFs. Chad also discusses common retirement mistakes—from underestimating inflation to overlooking health priorities—and offers actionable insights for a secure and fulfilling retirement.

Previous Episode

2024 market recap, direct indexing and retirement asset allocation.

In this episode, Chad joins Rob Black and dives into key financial market trends, including a recap of December's performance where the S&P 500 dropped, and bonds fell. Chad discusses high expectations for Q4 2024 earnings growth, the elevated forward P/E ratio for the S&P 500, and the unprecedented concentration of 10 companies comprising 39% of the S&P 500 index. Chad explores retirement portfolio strategies, emphasizing long-term planning, diversification between asset classes, and careful repositioning for those nearing retirement. He provides advice on managing windfalls, highlighting the benefits of dollar-cost averaging, individual tax-free bonds, and direct indexing, while also examining the role and risks of alternative investments such as private REITs, private credit, and private equity. The episode concludes with an analysis of California rental properties amid rising insurance challenges, detailing stringent requirements for coverage, the limitations of the FAIR plan, and the potential advantages of 1031 exchanges for property owners reassessing their investments.

Next Episode

Maximizing Real Estate Wealth & Retirement Planning: Strategies for High-Net-Worth Investors

This episode recaps Chad Burton daily guest spots with Rob Black for the week of July 24th. Sign up for the live retirement event on 2/1 in Palo Alto at www.ChadBurton.com.

Chad tackles real-world scenario where a high-net-worth investor owns several million in rental properties but has limited liquidity in traditional accounts. With inflation outpacing rental growth, what’s the smartest way to unlock equity? Chad explores loan strategies, strategic property sales, 1031 exchanges, Delaware Statutory Trusts (DSTs), and 721 exchanges to optimize wealth while minimizing tax burdens. But that’s just the beginning—this episode also dives into critical financial planning questions: Do I have enough? Where will each dollar come from? How do I navigate tough markets?

Chad also breaks down the 7 essential steps to building a tax-efficient portfolio, including cash flow modeling, risk tolerance, tax-efficient withdrawal strategies, and Monte Carlo simulations for order of returns risk. Plus, he examines whether the primary issue is Roth conversions or single stock risk with capital gains and how to structure a portfolio for lower turnover and optimized tax efficiency. If you’re serious about long-term financial security, estate planning, and maximizing your investment potential, this episode is packed with expert insights you won’t want to miss!