Personal Finance is a Very Important Job

"If one doesn't make time to learn about one's personal finances, one will end up panicking later when running out of money for one's needs." ~ Super Saver

Few people pay attention to managing personal finances  until there it's obvious they can't cover their necessary expenses, and then there is panic, and then it may be too later.   

Financial Illiteracy and some examples: 

Bad Habits

• Spending more than one earns.
• Carrying a credit card balance and paying interest
• No emergency funds
• Not having a plan
• Not investing early

Outdated Assumptions

• Social Security will be enough
• Traditional IRAs/401Ks are best for retirement savings
• Kids will support us if needed
• Depending on unlikely inheritance

Subtle Oversights

• No keeping taxes lower legally
• Not saving first before paying expenses
• Assuming a student loan is an "investment'
• No understanding the repayment amounts for student loans

These are just some examples but not every possiblity.  YMMV.

For more on The Practice of Personal Finance, check back every Wednesday for a new segment.

This is not financial advice. Please consult a professional advisor.

Copyright © 2026 Achievement Catalyst, LLC

Buy the Dip or Wait?

With the new EU tariffs being proposed, the market has dropped about 1.5% this morning.   It's hard to know.   A Trump reversal may have right away and reverse the downtrend.  Or the EU tariffs may be implemented on February 1, 2026 as proposed.

At this point, I plan to wait.   Resistance by the EU seems higher than previously which may delay any "deal" being made for Greenland.  Maybe at least until February 1.

OTOH, if Trump should TACO quickly, what we already own should also recover quickly.

For more on Ideas You Can Use, check back every Tuesday for a new segment.

This is not financial nor investing advice. Please consult a professional advisor.

Copyright © 2026 Achievement Catalyst, LLC

Asked for Price Adjustment

Recently, my family bought a outdoor fireplace for my birthday.   A few days later, my spouse looked and the price was lowered 10% for a sale.   She was disappointed.   I commented, " I can call an ask for a price adjustment."   My spouse, who was reluctant to try, gave me the order information.

When I was working, I this simple point of view:  Always ask for something you want.   The answer may be "No," if you ask.  However, the answer is always "No" if you don't ask.

I called the company's customer service number.  I explained that my family had purchased the item about 6 days ago and now the price was reduced.   Would they be able to refund the difference?   The customer service rep answered, "Our policy is that we don't price match, even for our price changes.  However, I can give you a 10% off coupon on a future purchase."

A reasonable answer, but not what I requested.  Also, our family is terrible at keeping track of coupons, often losing them or letting expired.

I politely responded, "If we don't want a coupon, is there something else you can do?"   The customer rep answered, "I can submit your request for a refund to my supervisor."  I responded, "Great, I'd like to do that.  BTW, what if they don't authorize a refund."   Customer rep responded, "Then, you get a 10% off coupon.  We'll respond in 24-48 hours via email."    A winning approach for me either way.

Within 24 hours, the company responded and refunded the difference.  Woohoo!

For more on Ideas You Can Use, check back every Tuesday for a new segment.

This is not financial nor consumer advice. Please consult a professional advisor.

Copyright © 2026 Achievement Catalyst, LLC

Retirement Tax Bomb

When I started working, I was convinced making deductible IRA contributions was the best strategy.  The common thinking was that tax rates would be lower in retirement.   Deductible IRA contributions reduced my current tax liability.   Even though I would pay taxes later, it was expected that I would be in a lower tax bracket when withdrawing the funds in retirement.   The lower tax bracket part turned out to be correct.  Early on, I was in the 34-38% tax bracket when contributing, and now I'm in the 12% tax bracket in retirement.

However, I did not count on tax advantaged IRAs and 401Ks growing so big and having required minimum distributions (RMD).  In addition, there are Medicare surcharges called IRMAA (Income-Related Adjustment Amount) based on Modified Adjusted Gross Income (MAGI).  Is it looking more complex with all these acronyms?   The net result is being put in higher tax brackets by income that wasn't needed but was required to be distributed.  For reference, every $1 million in retirement accounts (except Roths) will have about $40,000 in RMDs in the future. 

Then net result is that while the tax rate might be lower in retirement, the nominal amount paid is much, much more than anticipated when money was saved for retirement.

I was warned about this when I retired by a tax professional colleague when I asked about what he would do different in retirement.   He said that he wished he had withdrawn more funds from his retirement accounts before RMDs took place.  He felt he was paying more taxes than needed by withdrawing funds when he didn't need the income.  

Since I retired early at 49, I was able to act on his comment since I could do Roth conversions long before I received Social Security income.   This has reduced some of my potential future RMDs amounts.  Also, I will do a NUA (Net Unrealized Appreciation) when I take funds from my company retirement account, which I kept with the company from which I retired.

Overall, I expect to still have a retirement tax bomb, but much smaller than originally since I was made aware the issue soon after I retired.   It would be better for me if Congress takes action to eliminate RMDs for the original account holder, but I'm not holding my breath.

For more on Strategy and Plans, check back every Monday for a new segment.

This is not financial, retirement nor tax advice. Please consult a professional advisor.

Copyright © 2026 Achievement Catalyst, LLC

DIY Investing with Index Funds/ETFs

Most financial advisors and RIA (registered investment advisors) charge an annual fee based on AUM (assets under management).   Many years ago, the charge was mainly for managing investments, specifically choosing individual stocks and covered commission trading costs which were very high.   Back then commissions were charged for trading stocks a base cost plus 1% of the total cost  I recall my dad saying he paid $200 to trade 100 shares.  Choosing and buying stocks was much more complex and cost intensive.  

I remember talking to a brokerage advisor in the 1980s.   He said his fee was 3-4%.  I passed.  It seemed to still be expensive even though there were no commission charges.

When discount brokerages started the commission was lowered to $50 flat fee.  I started trading individual stocks.  I usually traded 100 share lots to minimize the fee cost per share.  Then the commission wars started.   Commissions got lower.  To $14.95, then $5.95 and now $0.

With the advent of low fee index funds/etfs, with expense ratios less than and around 0.10% and no trading commission costs, I'm now leaning towards only using total market/growth/S&P 500 index funds.  Individual stock risk is low, commission costs are zero, expense ratios are low and stonks only go up.   What can go wrong?

The answer is short term volatility.   There can be bear markets that last a year and of course, a lost decade like 2000 to 2010.   However, if one's timeframe is 20-40 years, the risk is much lower and significant gains are in one's favor.

Malkiel, Bogle and Fama are well known advocates of this Efficient Market Hypothesis (EMH) approach.  I going with their recommendations for my kids' long term retirement accounts by investing in total market or S&P 500 index funds/ETFs.

For more on New Beginnings, check back every Sunday for a new segment.

This is not financial nor investment advice. Please consult a professional advisor.

Copyright © 2026 Achievement Catalyst, LLC

Negotiated by Walking Away

Many years ago, I was selling some vacant land under contract.  The buyers wanted to eliminate a fee to rezone that had been agreed to in the contract.  The fee was included to protect me, the seller, against an increase in real estate taxes, if the buyer got the property rezoned but decided terminate the contract and not make the purchase.  

When it came time to rezone the property, the buyer requested that I waive the fee.  Their logic was if the rezoning didn't go through, they would be out the cost of the fee.   My logic was if the rezoning went through and they backed out of the deal, I would burdened by a real estate tax as high as 12X my current liability.  I could not afford that increase.

After much discussion, I did not waive the fee.  I told them, "You guys are much smarter than me me on risk.  If you believe that paying the fee is too high a risk, I'm not going to disagree with you.  However, I'm not going to take on the risk instead."

The next day, their broker called back and said the buyers were canceling the contract, which they would be able to do for a $100 cancellation fee.  Nothing I could do.  I called my real estate attorney and told him that buyers were terminating the contract.  

I had potential backup buyers if needed.   However, 2 days later the buyers called and said they weren't eliminating the contract and needed the rezoning authorization right away.   I reminded them that the rezoning request fee had to be paid first and then I would FedEx the document.  They balked saying there wasn't enough time.  I said I'm sticking the contract.

I called my attorney and he recommended the buyer wire the money first before I emailed the authorization.  Their attorney said they wouldn't do that, and yet he called back 1 hour later to agree.  I waited for the funds  to be deposited via wire.  Then I emailed approval.

Walking away worked this time.  YMMV.

For more on Reflections and Musings, check back every Saturday for a new segment.

This is not financial nor negotiation advice. Please consult a professional advisor.

Copyright © 2026 Achievement Catalyst, LLC

Net Worth by Age Chart

Below is a chart of percentile net worth by age group.  I found this info on a LinkedIn post.  To note, this chart includes Home Equity in the net worth number, which may account for a significant portion of net worth for some households.

Disclosure:  I was not compensated by LinkedIn nor DQYDJ for this post.

For more on Reaping the Rewards, check back every  Friday  for a new segment.

This is not financial, net worth nor retirement advice. Please consult a professional advisor.

Copyright © 2026 Achievement Catalyst, LLC

Tax Gain Harvesting

I hate paying federal taxes and will do everything I can to legally reduce my tax liability.   Here's a great hack I discovered to reduce federal taxes.  It's based on Long Term Capital Gains (LTCG) being taxed at 0% if one is in the 12% tax bracket.

In 2026, the 12% tax bracket end at $50,400 for single and $100,400 for married filing joint.   This means if one's taxable income (after standard or itemized deduction, QBI and senior deduction) is below this amount, one's dividend and long term capital gains are taxes at 0%.   Yes, that is no Federal tax, zero, nada.

So if one is in the 12% tax bracket, maximize your investment income by choosing to take qualified dividends and LTCG .  With stock commissions at 0%, it's easy to just sell a few shares at a short term loss to limit one's LTCG.

Retirees and new hires and are the best candidates to take advantage of this tax reduction opportunity.

Another great tax hack from My Wealth Builder to legally lower taxes owed.

For more on  Reaping the Rewards, check back every Friday for a new segment.

This is not financial, investment nor tax advice. Please consult a professional advisor.

Copyright © 2026 Achievement Catalyst, LLC

Trying Physical Therapy to Reduce Joint Pain

I used recover quickly from exercise and sports injuries.  Even an ruptured appendix operation didn't hold me back from playing football a few months later.    Now I'm having difficulty recovering from simple activities and surgeries from over a year ago.  I have hip joint pain, which might be related to taking a statin, and occasional should pain.   I do have constant minor knee and ankle pain from arthritis.  In addition, I seem to be have more difficulty with balance versus a couple years ago, before my major surgery.

My college roommates don't seem to be having any issues.  They are doing major activities like 10,000 steps per day for a year or more, bike riding several miles through different elevations, and kayaking in the ocean.  I'm impressed with what they are doing, and disappointed in my decline of physical ability.

I decided to see a physical therapist last year for my hip and shoulder.  I first went to an orthopedic surgeon to check if there were bone or arthritic issues.   There were none and they referred me to PT.

I had one session with PT for my shoulder and hip.  They gave me a number of stretches and exercises to do.  I started on them today.

Hopefully, the stretches and exercises with help.  I'm looking forward to a more energetic and less painful joints for  2026.

For more on Crossing Generations, check back every Thursday for a new segment.

This is not financial nor health advice. Please consult a professional advisor.

Copyright © 2026 Achievement Catalyst, LLC

Secrets to Become a Millionaire

Hurry.  Read this one simple trick before it is redacted by nefarious agents!

Here's how one does it:

1. Start in one's 20s or with one's first job.
2. Contribute $158.15 each month into a Roth Account.
3. Invest the funds in the S&P 500 index fund.    
4. Reinvest the dividends.
5. Wait at least 40 years before making a withdrawal.
6. And that's all it takes to get to a million dollars.

For more on The Practice of Personal Finance, check back every Wednesday  for a new segment.

This is not financial nor investment advice. Please consult a professional advisor.

Copyright © 2026 Achievement Catalyst, LLC

Countered Real Estate Offer at Asking Price

And it worked.

Many years ago, I inherited some vacant land in another state.  My dad had purchased it as an investment.  Originally, it was zoned residential and had a house with a resident who was the previous owner.  She became a renter and passed away a few years later.   The house fell into disrepair and was eventually had to be demolished. 

After my parents passed away, I inherited the vacant lot.   It was adjacent to and across the street from already developed commercial properties.  Fortunately, for me the real estate taxes were relatively low since it was zoned residential.  

The property had been appraised for about 8 times the purchase price in 2006.   Of course, 2006/2007 was the peak of the real estate market before the great recession.  It's estimated value when I inherited it was about 2.5 times the purchase price.  Since I had no personal funds invested and the RE taxes were low, I was OK with being patient to wait for the price to rise to 8X again.

After few years, I received an unsolicited offer for the property at 3.5X the purchase price.  I wasn't interested in selling at that price and ignored it for 6 months.  The agent would periodically call and check on my interest.  In the meantime, a second agent contacted me with a low ball offer from about 2.5 times purchase price.   I told him I already had another offer and his was the lowest.

I was hoping that the two buyers would start a bidding war, to my advantage. However, both agents asked me to counter offer first, which was somewhat of a predicament for me since I was an accidental land owner inexperienced in real estate.  

I researched what to do on the Internet.   Basically, the recommendation was to always make a counter offer, even if it is at the asking price.   This made me remember when a neighbor turned down a offer for her house at $5000 below the asking price of $125,000.  She didn't bother to counter.  The seller did revise their offer and my neighbor didn't receive another offer for 6 months.

In my case, I called the agent of the higher bidder and countered at the asking price of 8X the purchase price.  The agent went ballistic becoming very rude and insulting, implying that my price was unrealistic, and said he would have been able to increase 30%, but not over 100%.  I listened but did not respond.

Then,  I disappointedly called the lower bidder agent, expecting a similar response,  and told him the same counter offer.   To my surprise, his answer was, " We accept," and we started working on a sales contract.

Lesson learned, " Always make a counter offer, even if it is the asking price."   Of course, YMMV.

For more on Ideas You Can Use, check back every Tuesday for a new segment.

This is not financial nor real estate advice. Please consult a professional advisor.

Copyright © 2026 Achievement Catalyst, LLC

Time to Lock In Higher Long Term Interest Rates

As I prepare our 2025 Federal Tax return, I decided to compare what we earned in taxable interest in 2021 with 2024 on those tax returns.    Recall, interest rates on savings, bonds and CDs were very low prior to 2021.

I was shocked to learn about the growth in taxable interest rates in that time frame.   If our taxable interest was X in 2021, the taxable interest in 2024 was 16X.   In 2024, interest was 40% of our  adjust gross income (AGI), while in 2021 interest was 3% of our AGI.

Since late 2023, interest rates have been declining.  I used to be able to get around 4-5% for 5+ years CDs.  Now the best I can do is about 4% and many are callable in the first few years.

In the next few weeks, I will be working lock in some interest rates at around 4% for about 10 years using Treasuries and Agency bonds.

For more on Strategies and Plans, check back every Monday for a new segment.

This is not financial nor investment advice. Please consult a professional advisor.

Copyright © 2026 Achievement Catalyst, LLC

Taking a Bigger Loss in Stocks didn't Reduce Taxes Owed As Much

Selling a bigger loss doesn't always reduce taxes more.  Here is my story.

As part of tax loss harvesting, I sold a stock with long term capital losses on December 22, 2025.   I immediately calculated the estimated tax savings and it was less than I expected.   I tested selling stock for half the short term loss and the tax savings was greater.

I analyzed the situation and realized the reason.  My long term capital gains were taxed at 0%, while short term capital gains were taxed at 12%.   Therefore, reducing long term capital gains had much less of tax benefit than reducing short term capital gains.

I quickly called the brokerage firm and changed the selected cost basis shares to the short term capital loss, before T+1 settlement occurred.

Fortunately, I use Excel to do a real time analysis of may tax situation and caught this "error."   It increased my refund about $100 but doing this analysis, which I was able to do.  

For more on Strategies and Plans Ideas, check back every Monday for a new segment.

This is not financial nor tax advice. Please consult a professional advisor.

Copyright © 2025 Achievement Catalyst, LLC

Low Cost Mutual Funds at Discount Brokerages

In my quest to simplify my investments, I discovered that discount brokerages carry no transaction fee/no load mutual funds, with some at very low expense ratios, even 0% in a few cases.   This was somewhat new news to me.

As I convert to owning mainly index funds, versus individual stocks, I was mainly considering ETFs.   In my mind, mutual funds generally had higher fees  and usually traded after the market closed at NAV.   However, I have changed my mind.  

Having funds trade after market close offers a couple benefits.  First, I can sell funds for a gains and buy back at the same price.   This allows me to take use a hack to take longer term capital gains periodically to manage my taxable income.  I sell the position for the gain and buy back immediately at the same price to raise the cost basis.  Second, I don't have to deal with volatility during the hours the market is open.

First, I checked Schwab, which is one of my self-directed brokerages.   Schwab has several index Mutual Funds that have expense ratios of 0.02-0.06%, including an S&P index and International index Funds.  Then I checked Fidelity.  Fidelity has a wide range of index Mutual Funds with low expense ratios of 0.02-0.06% and even a few at 0%.  Finally, I checked Merrill Edge.   Merrill Edge also had a wide range of Index Mutual funds, but most (all but 19) have expense ratios above 0.50%.   In all cases, there were no transaction fees (NTF).  In the case of Merrill Edge, load fees are waived.

Since we have accounts at all three brokerages, I will be looking to use the NTF Index Mutual Funds with low expense ratios at all three.   At first, I was going focus only on U.S. stocks.  However, with the expanded options available, I will also consider and International index Mutual Fund.

Disclosure:  I was not compensated by Schwab, Fidelity, nor Merrill Edge for writing this post.

For more on New Beginnings, check back every  Sunday for a new segment.

This is not financial nor investing advice. Please consult a professional advisor.

Copyright © 2026 Achievement Catalyst, LLC

Refinishing Our Wood Floors

After we bought our house, we replaced all the carpeting on the first and second floors with oak hardwood.  It's been over twenty years.  The oil based polyurethane has turned more orange and has been worn down in high traffic areas like the kitchen.   

It was a lot of effort on our part since we needed to move all the furnishings out of the rooms being refinished.  We managed to do the refinishing in sections, since there were "hard" dividers.  The kitchen was done first.   A year later, we did the dining room and living room.   We did the great room, master bedroom, and steps to the second floor six months later to complete the first floor.  For the kitchen, dining room and living room, we moved the furnishings ourselves to the great room.   For the great room and master bedroom, we hired a moving company to place the furnishings in the dining room, living room and master bathroom.

The refinishing makes us feel like we are in a new house.   In addition, we have purchased a new flat screen TV,  electronics console, and are getting a new couch.   We've move the current leather couch to the basement for use as a recreation area.

This continues our work in progress to make this house our forever home.

For more on New Beginnings, check back every Sunday for a new segment.

This is not financial nor renovation advice. Please consult a professional advisor.

Copyright © 2026 Achievement Catalyst, LLC

Bought a CD Because of Bank Name

It also had the highest interest rate.  I just bought a CD from IncredibleBank.   It was a 3 month CD paying paying 3.6%.  My other choice was Bank of America at 3.55%.  Both were brokered CDs offered through Schwab.  Both are FDIC insured.

What a name:  IncredibleBank.   LOL.

It was an easy decision.  Also, I know have not purchased a CD from that bank before and didn't need to check if I was exceeding the FDIC insurance limit.

Disclosure:  I was not compensated by IncredibleBank, Bank of America nor Schwab for this post.

For more on Reflections and Musings, check back every Saturday for a new segment.

This is not financial nor investment advice. Please consult a professional advisor.

Copyright © 2026 Achievement Catalyst, LLC

Understand One's Social Security Benefits

When to take Social Security benefits has become a major topic on the Internet as more people are become eligible.   The major is question is when to take it: Early before full retirement age (FRA); At FRA 66 and 10 months born 1959 or 67 born 1960 or later; or Delayed after FRA but no no later than 70.

This question is already a complex one with factors such as estimated life expectancy, health, other sources of retirement income, and current financial situation that affect.

However, there is one factor that is rarely discussed that may have even more impact, auxiliary benefits for minor dependents, which only a few people qualify for.  If one is taking Social Security payments, one's minor dependents under 18, or until 19 if they are in high school, can receive auxiliary benefits up to 50% of the PIA (primary insurance amount) limited by the maximum family benefit cap.  The auxiliary benefit amount can be significant.  For example, if the PIA is $3200, the auxiliary benefit can be has high as $1600.   In addition, the spouse can receive auxiliary benefits caring for a minor child under 16.

Most people are not aware of possible auxiliary benefits when retiring, but they are definitely as factor when one is considering what age to take start taking Social Security.

For more on Reaping the Rewards, check back every  Friday for a new segment.

This is not financial nor retirement advice. Please consult a professional advisor.

Copyright © 2025 Achievement Catalyst, LLC

Great Delta First Class Customer Service

Retiree comment:  "Fly first class or your heirs will."

I decided to take that above comment to heart for our last vacation, booking our inaugural first class flight.   We flew first class for the first time during our Christmas vacation. I did it on points since there was only a small upcharge from comfort class.  The flight and service was great.  Boarded and exited first.  We had ample room for seating and luggage.  We also had meal service instead of snack service.

I had one small complaint.   

We were served a hoagie sandwich meal.   There was a vegetarian choice and a non vegetarian choice.    My spouse chose the non vegetarian option which was fine.  I chose the vegetarian option, which had frozen filling but the bread was fine.  Even after waiting 15 minutes, the sandwich internals were still frozen.  I didn't complain the the fight attendant since it was only a 2 hour flight and there would be nothing they could do.

After we returned home, I decided to tell Delta customer service about the meal issue.  Delta customer service responded within 1 day.   They apologized and compensated us with 5000 points to our Delta Frequent Flyer account.  I appreciate the attention Delta gave to my feedback.

Disclosure:  I was not compensated by Delta for writing this post.

For more on Reaping the Rewards, check back every  Friday for a new segment.

This is not financial nor travel advice. Please consult a professional advisor.

Copyright © 2026 Achievement Catalyst, LLC

Time Compression with Age

When I was a child, the days and years felt long.  I had all the time in the world to do what I needed to do. Even in college and early working years, I felt I had time to get everything done I wanted to get done.

Then I had children, and time seemed to pass faster.  It just seems like yesterday they were in diapers, toddlers and in preschool.  I had all the time in the world for them to grow up.   Now they are in college and junior high school.    I sometimes wonder where all the time went.

We were also extremely stretched for time getting them to activities up through high school.  We seemed busy all the time with the kids schedules.  Barely enough time to do our important items.

Nowadays, time seems to fly by each day before I get half or less of my to do list done for the day. Things that use to take me a couple hours to do when I was younger now take me a day.  As my FIL once told me, I'm not getting slower, time is getting faster.

IMHO, the peak time to maximize time for doing things in 40s to early 50s.   After that is a significant decline.  Of course, YMMV.

For more on Crossing Generations, check back every Thursday for a new segment.

This is not financial  nor time management advice. Please consult a professional advisor.

Copyright © 2026 Achievement Catalyst, LLC

Lifestyle Expectation Expansion

It's truly amazing how much lifestyle expectations have changed.

I had low lifestyle expectations where moving out from my parent's house after graduation with a degree in engineer and starting my first job with a Fortune 25 company.   I did not expect to have a lifestyle equal to my parents until my 30s.

My first car after graduating from college was a 1967 Buick Skylark that was a 13 year hand me down.  Basic transportation, automatic transmission, radio and no A/C.  I drove it for 2 years before buying a new car.  Even then, the new car was minimal with manual transmission, radio and with A/C.

My first apartment was a 1 bedroom with A/C.   The kitchen was basis with a stove, oven, refrigeration, and Formica counter top.    No microwave, dishwasher  nor garbage disposal.  Communal washer and dryer..  My parents gave me a 20 year old furniture, my bed and a 10 year old TV.   My dining table was a card table.  The only amenity was an outdoor pool that I never used.

My main entertainment was playing on a local club rugby team.

Fast forward 45 years.  College graduates have much higher lifestyle expectations.  They live in student housing that had more features and amenities than my first apartment.   They have much nicer cars that my first car.    After graduations, they choose apartments with full kitchens that have stone countertops, fully loaded new cars, and houses with more amenities than their parents' current house.

Entertainment is endless ranging from social media and gaming to  local activities and major vacations. 

What's next?

We now envision having self driving cars for transportation and robots to do our household labor. Truly amazing. Some even forecast the elimination of employment for pay, which I believe is highly unlikely.  

For more on Crossing Generations, check back every Thursday for a new segment.

This is not financial advice. Please consult a professional advisor.

Copyright © 2026 Achievement Catalyst, LLC

Social Security is not ENOUGH for Retirement

Depending only on Social Security in retirement is a big mistake, IMHO.  On average, social security replaces about 40% of pre-retirement earnings.   The balance needs to be made up from savings or withdrawals from retirement accounts.

However, the other issue is that expenses don't go down much in retirement and in some cases even go up.   House mortgage and expenses, real estate taxes, utilities, maintenance, and car payments remain the same.   Health insurance goes up, significantly if one still had dependent children, since it may have been subsidized by the employer.  Medical costs may also be higher over time. Finally, travel and vacations tend to result in higher spending.

In our case, health insurance and real estate taxes alone use up 83% of my Social Security benefit.  Fortunately, we don't have a mortgage nor a car payment.  If we did, those payments would cause us to exceed my Social Security benefit.

Of course everyone's situation is different and YMMV.  Our retirement expenses are higher due to having dependent children in our household, which is not the case for many retirees.  However, for planning purposes, it may be prudent to have about 60% of retirement spending come from a different source than Social Security.

For more on The Practice of Personal Finance, check back every Wednesday for a new segment.

This is not financial nor retirement advice. Please consult a professional advisor.

Copyright © 2026 Achievement Catalyst, LLC

Making Monthly Investment Contributions

In 2025, I was waiting for the market drop/correction before investing funds.  Then in came around April 8, 2025.   While I did buy a little, I decided to wait and wait AND wait, since I thought a further extended drop was inevitable.   Unfortunately, the market didn't drop further and I missed out on the market gains if I had made newly invested funds in April.

For 2026, I've decided not to wait for the "inevitable" correction.  Each month, I plan to invest a set amount into the S&P index mutual fund or ETF.   If the market should correct, I will more to the set amount of funds.  If the market keeps going up, I will keep investing the set amount.

For my child's account, I will invest a minimum of $159 each month, since that regular contribution is expected to become $1 million dollars after 40 years if dividends are reinvested.

For more on The Practice of Personal Finance, check back every  Wednesday  for a new segment.

This is not financial nor investment advice. Please consult a professional advisor.

Copyright © 2026 Achievement Catalyst, LLC

Don't Forget to Follow Paid Tax Advice

If one pays someone to do your taxes, ask them about how tax liability can be reduced.  When I was a tax professional, I would give advice on how to legally reduced one's tax liability.

When the taxpayer came in the following year, I asked if he had followed the advice.  The answer was inevitably, "No."  He could have saved thousands of dollars, if he had followed my advice.   It was then that I realized that people would rather stick a pin in their eye than think about taxes before tax returns are due.

In another case not related to my tax work, I knew someone who complained about being charged a penalty for underpayment of taxes. I knew he used a accountant for tax preparation.  I said, "Yes, you need to pay estimated taxes along with your gains.  You accountant should have told you."  He responded, "He said he told me."     Oh well.

For more on Ideas You Can Use, check back every Tuesday  for a new segment.

This is not financial nor tax advice. Please consult a professional advisor.

Copyright © 2025 Achievement Catalyst, LLC

Market Volatility Not As Worrisome Anymore - For Now

Stock market volatility.  Bring it on.  I'm counting on regular retirement income to sustain us.

I didn't originally plan to do this.  My original plan was to live off gains from stock investment by taking profits on stock market gains and using the gains to cover our living expenses.  That resulted in some high anxiety years for me during the Great Recession and its recovery.  Our retirement accounts and invested taxable accounts were cut in half.   Ugh.  

Volatility was not our friend back then.  Luckily, the market recovered. I was fortunate that we did not need to withdraw retirement funds during this time.

However, I started to learn the value of having some regular retirement income.  

I became an accidental real estate investor through inheritance after the Great Recession.   It was commercial rental property that had no mortgage and a long time tenant for 80% of the property.  The rental income was consistent and dependable, even during the COVID lockdowns and distributions were paid quarterly.  This helped mitigate some of the stock market volatility during the 10s.

During most of the 10s, interest rates were very low (0.20%) and savings accounts and CDs did not offer much income. In late 2021, I started investing in CDs since interest rates were rising above 1% to create more regular income.   I definitely invested too early, buying several CDs for 5 years that yielded only 1%.  Fortunately, I was able to get CDs in 22 and 23 that yielded 3,4 and even 5% for up to 5 years and some Treasury and Agency bonds that yielded 3.75 to 5.25% for 10-20 years.

Then, I started Social Security benefits early in 2022, before my full retirement age (FRA).  For that last three years, that has give us regular monthly income, that we can count on.   This was very helpful during the bear market of 2022.

In 2022, I started using a feature of our brokerage accounts to automatically distribute interest and dividend payments from our taxable accounts to our checking accounts on a monthly basis.   Around the 1st of each month,  we get a distribution to our checking account.   The amount varies since I haven't organized interest and dividend payments to be equivalent by month.

For the last year, I have been actively adjusting our taxable investments to create a sustainable retirement "paycheck."  Through dividend paying stocks, bonds, money markets and CDs,  I have developed a regular paycheck for the next five years.

However, there are still major risks that I can't control.  This strategy has not been tested though a significant market downturn nor a recession.  Interest rates may go to zero again.   Social Security payments may be reduced.  Also, then there are lurking financial and political crises.

We share see if this strategy is viable longer term.

For more on Strategy and Plans, check back every Monday for a new segment.

This is not financial, retirement, nor investment advice. Please consult a professional advisor.

Copyright © 2026 Achievement Catalyst, LLC

Skiing for the First Time since CABG

I had CABG (Coronary Artery Bypass Graft) surgery about a year ago.  As a result, I missed the 24/25 skiing season. In November 2025, a test showed that the graft was operating below expected, which will require some complex stenting.    Despite that, I have rarely had any symptoms of the failed graft.   I was given the OK by my cardiologist to do some strenuous activities as long a there were no symptoms.

Since the test results, I have played doubles tennis and gone a vacation that had numerous walking tours and hikes.   No symptoms or issues.

I been a little hesitant to go skiing with my 13 year old, since I didn't want him to be skiing alone if I couldn't ski.   A couple days ago, I went out skiing with my college age daughter for the first time since the surgery.  Everything went well, and skilled the harder slopes, except for the most difficult one.   I will be going skiing again today and taking my son.

For more on New Beginnings, check back every for a new segment.

This is not financial nor fitness advice. Please consult a professional advisor.

Copyright © 2026 Achievement Catalyst, LLC

Received My First IRS Tax Form in the Mail

I still do my Tax return by hand, with the help of Excel.  I routinely order form from the IRS in January.   For my 2024 tax return, I ordered the forms in January 2025.   I didn't receive many of the forms until the tax returns were almost due.   Therefore, in March I started downloading the forms.  To my surprise, the forms allowed PDF fill-ins, which I used.

This year, I decided send in a request for 2026 tax forms on December 30.   Yesterday, I received my first form in the mail, form 6198.   Woohoo!   Maybe, I will get the rest of the forms on by February this year.

However, I may still use the PDF fill-in from since that allows for editing, if I make an error, and I don't have to rewrite the whole form by hand.  

Edit:  Most of PDF forms for 2025 tax year are already available to download.   Woohoo!  I am impressed. I have already downloaded and started filling out some of the forms in preparation for receiving 1099 forms with the info.

For more on Reflections and Musings, check back every Saturday for a new segment.

This is not financial nor tax advice. Please consult a professional advisor.

Copyright © 2026 Achievement Catalyst, LLC

Wealth Management for the Very Rich

Some interesting reads from CNBC. 

Here are some aspects of how wealth management works for the very rich.  Definitely way, way above our net worth grade.

The exclusive WhatsApp chats where family offices vet deals, plan meetups and sell dinosaur bones

How Byron Trott became the favorite banker of Warren Buffett and America’s wealthiest families

Walton family fortune: How America’s richest family manages their wealth

For more on Reflections and Musings, check back every  Saturday for a new segment.

This is not financial  nor advice. Please consult a professional advisor.

Copyright © 2026 Achievement Catalyst, LLC

Pay Estimated Taxes on Big Gains

A few years ago, I talked to someone who made a big profit on land that he owned and sold.  His complaint was that the IRS charged him a penalty on taxes owed.  That's because the IRS expect taxes to be paid contemporaneously with income received.   For most people, this the federal tax withheld from one's paycheck.  Typically, no withholding is done for asset or stock market sales.

 I knew he used a tax accountant and said, "Your tax advisor should have should have told you to pay estimated taxes."  His response was, "He claims he did."   I don't know who made the error in this situation, the accountant or the taxpayer.  However, I do know the IRS doesn't care.

Bottom line, if one has taxable income where no taxes are withheld, one has to pay quarterly timely estimated taxes to cover the deficit.  Otherwise, one will likely pay a penalty for not paying them on time.

There is some ways to avoid the penalty, if one forgets to pay the estimated tax on time.    One is adjusting the withholding on wages or retirement account withdrawals.  Withholding  is considered to be paid on time, even if it is paid later in the year.   Thus, one can increase withholding, even up to 100% at the end of the year, and not be penalized for make a late estimated payment of taxes.  If one withhold at least 110% (or 90% below 150K AGI) of the tax liability or the previous year, then there is no penalty for underpayment of taxes in the current year.

If you work with a tax professional, they can do the calculation with you.  Otherwise, one should do the calculation on their own.

For more on Reaping the Rewards, check back every Friday for a new segment.

This is not financial nor tax advice. Please consult a professional advisor.

Copyright © 2025 Achievement Catalyst, LLC

Loss of Favorite Local Restaurant

Today, I went to one of my favorite restaurants for Dim Sum, that I gone to for almost 40 years.  We immediately noticed that many things were different, decorations, employees wearing uniforms, aquariums with live seafood.   I asked where the owners were since they were always working at the restaurant.  I found out that the owners, two brothers,  had retired and sold the restaurant.   I knew this was coming since the owners had told me they were near retirement for the past couple years.  

We enjoyed our first time at the "new" restaurant which kept the same name and menu.  There was a refreshed ambiance.  Many of the wait staff were still the same.  But something was missing.  The food was good but slightly different.   On this very busy New Year's day, the wait staff didn't have time to chat, which they always did before.  And I missed seeing and talking to the owners as I always did in the past. 

As we left, I was slightly saddened.   I had lost a good friend after many years.

For more on Crossing Generations, check back every Thursday for a new segment.

This is not financial nor social advice. Please consult a professional advisor.

Copyright © 2025 Achievement Catalyst, LLC

Missed Opportunities and Lucky Outcomes

Sometimes I wonder if I had made different choices, would my life situation be significantly different and, perhaps, even better?  Who knows, but sometimes I  reflect on it.  

Should I have done B instead of A?   Or maybe even tried C?   How would life be different?   Would I be better off?  Looking back, I can imagine many cases where the answer would be "yes."  In my youth, I wasn't good at recognizing when offered a choice of a potential opportunities nor taking advantage of them.   I always had no clue I was being offered a great opportunity..

On the other hand,  I lucked out several times by being in the right place at the right time.  I played on a state championship football team due to a new coach starting at my high school.   I got offered my first job in college because I happen to be in the dorm room when I thought the interview was cancelled.   I got my first promotion from excelling in a position that was a "dead end" assignment.  After that I received another promotion faster than normal for an overseas assignment.  I clearly was lucky.

Along the way, I made a lot of mistakes.   I wish I known what I know now, when I was younger.  But that is part of growing up and none of the mistakes were a disaster and I learned from them.

Overall, I think I ended up doing OK and wouldn't change the life I had.   However, I did learn a lot and will think about choices for the future with a different perspective than before,

For more on Crossing Generations, check back every Thursday for a new segment.

This is not financial advice. Please consult a professional advisor.

Copyright © 2026 Achievement Catalyst, LLC