Mailbag: Should You Fund Your Business With IRA Money?
Episode 279
Mailbag: Should You Fund Your Business With IRA Money?
Listen & Follow/Subscribe On Your Favorite App:
Equipping Points:
Today is a listener question edition of the show and we’re diving into two relatable retirement planning scenarios that may mirror your own concerns.
First up: a listener wants to quit his corporate job to start a business. David shares how age, funding source, and risk tolerance play important roles in that decision, and why raiding your IRA might not be your best move. Then, they respond to a retiree who recently realized their pension doesn’t adjust for inflation. We’ll explain how to assess inflation risk, use the "Rule of 72," and help balance your IRA investment strategy for long-term purchasing power.
This discussion will help provide a roadmap for navigating these complex financial landscapes, to help you make informed decisions that align with their retirement goals.
Here’s some of what we discuss in this episode:
🚀 Starting a business near retirement? Weigh the risk very carefully.
🏛️ IRA withdrawals come with taxes and potential penalties so plan before you pull.
🧮 Use the Rule of 72 to see how inflation could cut your buying power.
📈 IRAs should typically be invested for growth if you won’t need them soon.
Resources for this episode:
BrokerCheck
https://brokercheck.finra.org/
Investment Adviser Public Disclosure
Today's Takeaway:
Some of these episodes were recorded under the branding of KC Financial Advisors, which has since rebranded as CreativeOne Advisors Group. Any references to KC Financial Advisors should now be understood as referring to CreativeOne Advisors Group.
