Tag: legacy
Helping You Plan Well for Retirement
March 19, 2025
by Adam Black
Retirement is a significant milestone in American culture – a chance to reflect on your life’s journey and accomplishments. As you reflect, looking back in the rear view mirror of your life, what do you hope to see?
This year at Bare, our theme is Year of Increase. We believe in helping you expand your vision for all that you’ve been entrusted to steward. Many of us understand the call to steward our resources, but Matthew 25 reminds us of the call to also increase what we have been given! How can we plan well for retirement and increase our resources, so that we can serve our families and communities?
Planning for retirement can feel overwhelming, but taking time to make informed decisions is the key to being set up for a secure future. Inviting a financial advisor into this process can help make the process smoother. Today, we’ll answer 3 common retirement questions, to help us all approach retirement with confidence, clarity, and a vision for increase.
- At what age should I take my Social Security?
Social Security has been a hot topic in the news recently! I’ll be the first to admit that I don’t know what will happen with it over the coming years. What I do know is that it can play a large role in any retirement plan. When is the best time to take Social Security? It varies, but before a decision can be made, it’s important to understand some of the rules.
Social Security can be taken as early as age 62. It is important to note, however, that taking Social Security at 62 will result in a reduction of your Full Retirement Age benefit for the rest of your life. Full Retirement Age for most people today is age 67, which is when you are entitled to your full benefit. The latest age that Social Security can be taken is age 70. For each year that you delay your benefit from Full Retirement Age until age 70, you will get an 8% increase on your benefit for the rest of your life as long as you were born after 1943.
If you plan on retiring on the earlier side, it may make sense to take your Social Security benefit, but if you never plan on slowing down (I’m looking at you, farmers), it may make sense to get the largest possible benefit by waiting until 70. If you have a family history of health concerns, you may want to collect earlier to get benefits for more years, but if you plan to live until 100, you will receive more money over your lifetime by delaying. Everyone’s financial, health, and retirement goals are different, so inviting a trusted financial advisor into this process can help you maximize your Social Security benefits.
- What do I do about health insurance?
For those retiring at 65 or later, Medicare most likely is the answer. After all, you have been paying into it for nearly all of your working life – you might as well take advantage of it! Medicare is made up of a few parts that each serve different purposes.
Medicare Part A is hospital insurance. It covers inpatient hospital stays, skilled nursing facility care, hospice care, and some home health services. Most people don’t pay a premium for Part A because they paid Medicare taxes while working.
Medicare Part B is medical insurance. Part B covers outpatient services, including doctor visits, preventative care, lab tests, outpatient surgeries, and some home health care. The monthly premium is taken directly from your Social Security benefit if you are collecting. Most people do pay deductibles and copays for services.
Medicare Part C, or Medicare Advantage, are private plans that offer all the benefits of Parts A and B, and additional services (dental, vision, hearing, etc.). Medicare Advantage plans usually include prescription drug coverage and have out-of-pocket cost limits, so it could be a more advantageous health coverage option for you.
Medicare Part D helps cover the cost of prescription medications, either through stand-alone prescription drug plans or as part of a Medicare Advantage plan.
Finally, Medicare Supplement Insurance, or Medigap, helps pay for out-of-pocket costs like copayments, coinsurance, and deductibles.
- Are my investments protected?
It’s understandable that retirees may worry whether their hard-earned nest egg will lose value, especially when they have no plans to return to work. Any investment outside of cash or an FDIC-insured product like a CD does carry some risk. Yet if all of your investments were cash, they would likely be beat out by the cost of living. So how can you ensure that your money is protected for short-term needs, while making sure it outpaces inflation and lasts a lifetime?
One of our favorite approaches is ‘segment planning,’ which involves defining how much is enough for you in each phase. The first phase aims to protect money from loss of principle that you need in the short term (roughly the next 5 years) by using products like cash and CDs. After this segment is filled, we plan for segment two which are years 6 – 10. For this segment, we often use investment products like fixed annuities or bonds. In segment three, which are years 11+, we look to outpace inflation with higher risk investments that offer a higher growth potential. These investments might include stocks, real estate investments, or growth-focused mutual funds and ETFs. We have seen the stock market grow in most 10-year windows, which gives us confidence to move forward. Even if a segment decreases in value in year one, there is time for it to recover. As you progress, funds from later segments move into the adjacent segment, ensuring that the next few years of necessary funds are available and as close to risk-free as we can get.
There’s a lot to consider in retirement, and I’m sure that this blog raised questions that I couldn’t address today. Retirement planning is a serious endeavor, and many people underestimate how impactful it can be to work with a trusted advisor. I often hear, “I wish I would’ve met with an advisor sooner,” but the key is that they are meeting with one now, instead of 10 years from now. I’d encourage all upcoming retirees to find an advisor who is trustworthy, aligns with your values, and has your best interest in mind. They will help give you confidence to step into retirement, whenever the Lord calls you into that season.
Leaving a Family Legacy of Generosity
June 7, 2024by Ron Bare
My parents taught me to be generous. Throughout my childhood they instilled many values, both in speech and in action – but it was the “action” values that really remained. I don’t remember whether our house was always clean or whether my mom’s meals were always perfectly cooked. But I do remember that she was always feeding not only me, but all of my friends too. I remember my father faithfully tithing. My mom was also generous with her time, volunteering at church and a local thrift shop. I learned by watching her that generosity can be expressed in many forms and that family giving is hugely impactful.
I believe many of us would love to leave legacies of a strong work ethic or faithfully tithing, similar to my parents. We all have a deep desire to impact those around us. So how do we do it?
Last month, we talked about six buckets of long-term goals. We focused on the giving bucket and about what it means to give out of our assets and accumulation. This takes intentional planning and a generous heart.
This month, we’re focused on the family goals bucket. Many of us have a desire within our hearts to support our children or grandchildren. This support comes in different forms depending on our values and lifestyle. We often begin with goals of helping our children financially. These goals typically involve helping with their education, first home, or leaving an inheritance.
In the same way that my parents taught me the many ways to be generous, I’d invite you to consider the many ways to handle family goals. Offering college support or leaving an inheritance aren’t the only ways to support your family. The values and wisdom you instill in your children and grandchildren around finances can be even more valuable than the finances themselves. One of my mentors, Ron Blue, stresses the importance of this concept in a quote he has been known to say, ” Pass on wisdom before wealth.” Your children and grandchildren will continue to think of you after you’re gone. What do you hope comes to their mind? What did they see you model? How did you talk to them about money?
Maybe there are patterns you can establish, like giving first before paying your bills, that your children will pick up on. It could be valuable to also consider a fund that could be started to help fund the dreams and goals of the next generation, including helping them start a business, buy a home or even invest into their giving goals. Consider how your life experiences can be valuable to share. Simply inviting your children into some of your financial conversations can be invaluable. You’ve learned lessons through your successes and failures that have the potential to be a great resource to the next generation.
Part of the reason we encourage thinking about more than just giving financially to our family is because we know that without the values piece, sometimes more harm than good can happen. Instead of instilling a mindset of perseverance, sacrifice or hard work, financial blessings can create entitlement or dependence without wisdom. At some point, you may have done “enough” financially for your family. This has to be a real consideration. You can still serve your family even if the answer for right now is ‘no.’ I have seen that entitlement and dependence are less likely to happen when we’re successful with passing on wisdom and values.
I have been blessed to have a wonderful mother and father. Not because our home was always perfect. Simply because I was taught important lessons about generosity, especially about finances. What are your children and grandchildren learning from you? Family goals are so valuable, yet can be approached in many ways. We’d love to hear about how you and your family creatively approach your family goals.
Join us next month for a conversation about our capital assets and investments and how they can shift the culture and influence the world for good.
The GREATEST Story Ever!
December 11, 2023
by Tina Bare
“In those days Caesar Augustus issued a decree that a census should be taken of the entire Roman world.” How many of you know what comes next? If you’ve grown up in the church, it’s likely that you’ve heard this story from Luke 2 many times! But have you stopped and considered this wonderful story from a different perspective? I thought about what the shepherds, those men that were not highly esteemed, experienced that night…
(The following perspective is a fictional depiction of the shepherds based on the Biblical account.)
“We tend to our flocks each day and night. Every day it’s the same, nothing crazy, nothing new. Until last night. It was my turn to stay awake to make sure our sheep were safe. I was nodding in and out, and all of a sudden, the sky lit up! The darkness that had settled was replaced with a glow so bright I almost couldn’t look toward it. I turned to wake the others, but they were already up. Who wouldn’t be awakened by that force of light?
I looked up to the sky to see an angelic figure. What was going on? I was convinced it was a dream. Not only was I looking at this figure that I could only assume was an angel, but then it started talking to us! The angel immediately told us not to be afraid. Are you serious?? We were terrified! Before I had time to argue, the angel said that there was good news – that a Savior had been born to us – the Lord of all! The long awaited King! And he was just over the hill in Bethlehem. Before we even had time to process that, the sky was full of angels, and they were singing! They sang praises to our God, and just like that, they were gone.
Suddenly the darkness of night covered our field again. We looked around at each other, and there wasn’t a single hesitation about if we should go or not. We had to go! We had to see if this was true, because if it was, how immensely that would change our lives!
We immediately left and traveled to Bethlehem, and sure enough, we found the baby, our Savior, wrapped in cloth and lying in a manger. And oh how we were overjoyed! What an incredible gift – one we could never have imagined! We told Mary and Joseph of all that we’d experienced that night and how it led us to them. Yet we soon had to leave and tell everyone we knew! The Savior is here! Glory to God! We felt so honored and humbled by the God of the universe sending angels to tell us, as the shepherds. We aren’t necessarily highly respected in society, so what a precious moment this was, to be told of this great news.”
How fun it is to consider the Christmas story from different perspectives! And as we think about it, truly every story is like this. Even those we tell within our families are the same. Have you ever had just a slight disagreement on what really happened between you and your siblings? Each of us will connect with the Christmas story from a different perspective. The parts of the story that shape our heart may be different, but no matter which way we hear the story, it’s still the greatest story of all time.
As you think about storytelling, consider what makes stories memorable. Stories pass down knowledge, information, and wisdom. Without stories, we would not be able to learn from the triumphs nor the mistakes of others. Stories also help us remember things. When information is shared in the form of a story, people tend to remember 65-70% of what they heard. If there was no story involved, they remember only 5-10% (Klongerbo). Why? Because we relate to them and we remember how they made us feel.
Here at Bare, we believe in the significance of each of our stories. This year, we focused on the Year of Story and have tried to help you capture your story so that it can be told to the next generation. You’ve reflected on your understanding of your values, your work, generosity, contentment, and money through resources like the Beyond Abundance booklet.
As we reflect on these pieces of our own life, we’re better able to tell our own stories. The same is true as we seek to share the truth and the hope of the greatest story ever told, story of Jesus. As we take intentional time with the Lord to consider all of what it meant when he came to earth as a baby boy, we are reminded of the hope and grace offered to us so freely and graciously! This Christmas, we invite you to consider a few questions with us.
- Which aspect of the Christmas story is most compelling to you? What moves and shapes your heart as you listen?
- How has the Christmas story impacted your story?
- Who can you share the Christmas story with this year?
We pray that you find strength and hope in remembering Christ’s love and sacrifice toward us. Merry Christmas!
Follow us on social media to read stories of encouragement from staff and clients this Christmas season!
Sources:
Klongerbo, Sarah. “What Does Storytelling in Marketing Mean? (Examples, Statistics & Tips).” Sarah Klongerbo, 17 May 2023, sarahklongerbo.com/blog/storytelling-in-marketing/#:~:text=Facts%20are%2022%20times%20more,remember%2065%25%20to%2070%25.
Formula for IMPACT – part two
September 5, 2023by Ron Bare
Alan and Katherine Barnhart gave away their company. They had spent years working on building a strong company and growing their sales but gave it all away in the end. “God is not impressed with the commas and zeroes,” Alan said. “We’re not giving away anything that God hasn’t given us.”
They were confident knowing that God owned their resources and that they had defined enough. Intentional future planning gave them the freedom to make such a generous decision.
Defining enough is an important step in recognizing that God owns everything that we have, and that endless accumulation is not what we were created for. Let us instead use our resources to join in God’s mission, spreading the Gospel through our generosity toward others. This is easier said than done, but there are six steps that we believe will help you define enough.
- First, add up all your monthly expenses. This includes your mortgage, utilities, transportation, groceries, etc. Providing for your family is good and right, and requires planning.
- Second, define your wants and enjoyments. This might include vacations, date nights, eating out, entertainment, etc. It’s important to enjoy life and spend time doing things you love!
- Third, come up with a total annual spending/living goal. Once your needs and wants are defined, you can plan for both your living expenses and the things you enjoy.
- Fourth, define how much you will need to accumulate to meet this goal of ‘enough.’ We would love to talk with you about this at Bare. This will cover what it looks like to work, save, and invest in order to have enough and then move forward to give in generous ways.
- Fifth, pay off your debts! This is a crucial part of being financially free. When debts are not hanging over your head, you are free to move forward with saving, investing, and giving.
- Finally, build a base giving goal into your financial plan and try to expand this giving each year. 2 Corinthians 8:7 says, “But since you excel in everything—in faith, in speech, in knowledge, in complete earnestness and in the love we have kindled in you—see that you also excel in this grace of giving” (NIV). How can you excel at giving? We encourage you to set an annual giving goal and then plan to expand that goal each year!
We’ve seen a variety of creative giving over the years in our clients’ lives. We’ve seen clients give the growth of their portfolio away, give their business to charity, and others have given real estate away. How can you be generous with the things God has given to you? We’d love to help you talk through what this could look like for you.
Alan and Katherine are just one example of someone who is generous with what God has given them. It’s such a great gift to the people they interact with and the communities they influence. It’s honoring to God as they remember the one who has given them all that they have.
To learn more about Alan and Katherine’s story, watch this video.
Life on Purpose
July 3, 2023by Ron Bare
We all want the things we do to have purpose. As a kid, we want to have purpose in the sports we play – why do we play? How do we win? That kid turns into a teenager who wants to have purpose in their future – how do I get where I want to be? Do I need more schooling? That teenager turns into the adult who wants to have purpose in their family and their career – am I intentional with these things? How do I balance my marriage and work well?
These questions don’t end when you hit retirement. We know retirement brings big questions around how much is enough and how we might plan for it. But at Bare, we know that planning for retirement is more than just a financial conversation. We know that it’s also a consideration of what kind of purpose you want your later years to have and what kind of legacy you want to leave.
A study done in the U.S. found that the most productive stage in life is between the ages of 60-70. It found that the second most productive stage in life is between the ages of 70-801. This means that the typical American has the most productive, impactful years of their life in their retirement years!
While this may sound surprising, we know that retirees have more time to be generous with. Time spent in retirement can be so impactful. Whether you choose to volunteer with a local organization, spend time with your family, or share the wisdom you have gained with the next generation, your time can be an invaluable gift to those around you.
Luke 12 talks about this concept of managing our time and resources well. This passage, called the Parable of the Rich Fool, talks about a rich man who builds a large barn to store his crops in. He then chooses to “take life easy, eat, drink, and be merry” (NIV). Jesus condemns this choice. In fact, he says, “You fool! This very night your life will be demanded from you. Then who will get what you have prepared for yourself? This is how it will be with whoever stores up things for themselves but is not rich toward God” (NIV).
Jesus is reminding us here of the importance of being rich toward God – giving our energy, time, and resources toward the things that he cares about. If we can apply this lesson to our retirement years, we can be incredibly productive and impactful.
As you look toward retirement, ask yourself a few questions.
- What strengths do I have that I can use to serve others?
- How can I share my story in a way that impacts the next generation?
- How can I use my time, talent, and treasure in coordination with each other to make an impact on my community?
Bare Wealth Advisors walks alongside you as you process these questions and more. We craft a wealth management plan grounded in Biblical wisdom that is unique to you and your situation and the impact you want to make. In addition, 2023 is our “Year of Story”.” We’re helping you capture your story. What lessons have you learned? What things have shaped you? We’re interested in the lifelong perspective. We want to see our world impacted for the better and we know you have a lot to bring to the table through your story. Come talk with us – we’ll be there as you continue to seek wisdom while preparing for retirement!
The Legacy of Wisdom before Wealth
May 22, 2023by Curtis Burkholder
“Wealth never creates wisdom. Wisdom may create wealth”
We believe in this principle at Bare, that we should work hard at passing on wisdom rather than focusing on passing wealth as the primary goal. Our founder, Ron Bare, often adds not only will wealth not create wisdom – but where there is wealth without wisdom you have a disaster.
Where do we find wisdom? First and foremost – in God’s Word! A great place to start is in the Proverbs. The Proverbs are written by Solomon, the wisest man on earth. Proverbs 8:11 tells us: “for wisdom is better than jewels, and all that you may desire cannot compare with her.” Secondly, we have each had different experiences, challenges, and failures over our lifetime. Through each of these, wisdom is gained (hopefully!). Additionally, mentors and the community we have surrounded ourselves with are also valuable sources of wisdom.
Wisdom gained is of no benefit if it is not applied and shared. Many of us have learned our wisdom through making mistakes – we often allow our children to make mistakes because we know that by this they learn. However, we would really be considered foolish if we kept making the same mistake over and over. So, we learn, and we apply wisdom. And then we share or pass wisdom to others. We love to pass our wisdom on to our children so that hopefully they avoid some of our mistakes! (Although they don’t always want to learn this way!)
We have found that one of the best ways to pass on wisdom is through capturing stories. Because of this, we have themed 2023 “Year of Story”. We all love a good story, and the human mind is 22 times more likely to remember facts if they are part of a story! To help you begin capturing your story, we have created a story journal. In this journal are several different categories of questions designed to capture some of the wisdom you have learned. Questions like:
- What have you learned from challenging times in your life experience?
- What was life like growing up and how does that shape who you are today?
By intentionally capturing your story you can then intentionally begin passing wisdom before wealth. You are “stewarding” this wisdom for the next steward – your children and grandchildren. You are preparing them to be wise stewards of any wealth that you pass to them. And remember, even if you don’t feel you have done a good job passing wisdom in the past, it’s never too late to begin! As long as you are alive, you are able to influence your children, grandchildren, or other heirs.
As you go throughout your days and weeks, consider how you can begin to pass the wisdom you have learned through the years to those around you. Your stories are a great way to pass this wisdom in memorable ways to those around you! We’d love to encourage you in this – please feel free to reach out to us at [email protected] if you’d like to learn more about our unique process of helping you capture your unique story!
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