W 2014 M

FINANCIAL FOOD FOR THOUGHT
JONATHON C. LEISE, CFP®, AWMA®
EXECUTIVE VICE PRESIDENT/WEALTH MANAGEMENT
WINTER 2014
PRACTICE
The Philadelphia
76ers
will
officially retire
Allen Iverson’s
number “3” in a
special halftime ceremony on
March 1st. Iverson’s career
included many moments that will
stand the test of time. One of his
most
memorable
moments
occurred in May 2002 during a
post-season interview following
media reports that he had missed
practice. During that interview he
famously said, “We’re talking
about practice, not a game, not a
game, not a game, but we’re
talking about practice. Not the
game that I go out there and die
for and play every game like it’s
my last but we’re talking about
practice man.” – Iverson would go
on to say “practice” over 20 times
in a two-minute period (SI.com,
5/10/2002).
Arnold Palmer,
considered one
of the greatest
golfers of all time, won 62 PGA
tournaments, including seven
championships and four Masters
Tournaments. Despite his obvious
talents, Palmer never took his
game for granted. “It’s a funny
thing,” he observed, “the more I
practice, the luckier I get”
(onwallstreet.com, March 2012).
MEMBERS NYSE, FINRA AND SIPC
In his bestseller Outliers, author
Malcolm Gladwell says that it
takes roughly ten thousand hours
of practice to achieve mastery in a
field. Gladwell studied the lives of
extremely successful people to
find out how they achieved
success and found that the elite
don’t just work harder than
everybody else. At some point the
elites fall in love with practice to
the point where they want to do
little else. Practice plays a major
role in their success.
Given the findings from Gladwell’s
research, it stands to reason that if
we want to be good at something,
we should practice. That is why I
encourage anyone who has not
taken me up on my
offer
for
a
retirement
“test
drive” to call today
to set one up. It
takes a lot less than 10,000 hours
and will provide you with a
retirement road map to help you
get on the right track – and stay
on track – to reach your personal
retirement goals. This retirement
road map will help you make
better decisions regarding your
transition into retirement and
guide you throughout your
lifetime. Your retirement road
map can help you to develop a
better understanding of your
retirement picture by providing
answers to these important
questions:
 What sources of income will
I rely upon in retirement?
 Will my income and assets
last for my lifetime?
 What expenses can I
expect?
 What is a sustainable
spending level?
The 2010 Hartford Investments &
Retirement Study found that
people who worked
with an advisor or
financial
planner
were more likely to
say they were on
target to retire as planned
compared to non-planners. Those
who planned were more than
twice as confident about their
financial
knowledge
and
capabilities compared to those
who did not (onwallstreet.com
March 2012).
Call today to
schedule your retirement test
drive. I’m talking about practice!
MAXIMIZING SOCIAL SECURITY
Social Security has
features of an ideal
pension plan.
It
covers
virtually
everyone
and
is
portable between jobs.
It
provides family life insurance and
disability
protection.
THIS IS A PUBLICATION OF JONATHON C. LEISE. THE OPINIONS EXPRESSED DO NOT NECESSARILY REPRESENT THOSE OF JANNEY MONTGOMERY SCOTT LLC.
1717 ARCH STREET, PHILADELPHIA, PA 19103
Page TWO
Furthermore, it has a permanent,
strong sponsor in the federal
government. As employers move
toward defined contribution plans
and away from traditional
pensions, Social Security remains
as the only source of guaranteed
benefits for a
large number of
retirees. Social
Security is not
simple, and, as a
result, many may be leaving
significant amounts of money on
the table. There are several
strategies that could help you
potentially add thousands of
dollars to your annual income
from Social Security. Call us to
explore ways to maximize your
Social Security payouts. We can
help you decide when and how to
collect retiree, spousal, survivor,
divorcee, parent, and child
benefits to achieve the highest
lifetime benefits.
LIVE LONG AND PROSPER
The average life
expectancy has
increased by ten
years
between
1950 and 2010.
This
translates
into the need for 120 additional
monthly payments to help cover
expenses. While Social Security is
a significant source of income for
many, others need an additional
source of guaranteed income that
they cannot outlive. Annuities
allow individuals to “buy” a
stream of income that they cannot
outlive by handing over a portion
of their retirement savings to an
WINTER 2014
insurance company in return for
the promise to pay them a
monthly benefit for the rest of
their life. Some of these annuities
are for joint lives and some even
have a cost-of-living feature. For
an additional cost, variable
annuities provide the same
guarantees with the possibility of
increased income if you achieve
favorable investment results. The
guarantees of all annuities are
subject to the claims-paying ability
of the insurance companies that
issue them, but can provide
comfort that one will not outlive
their income. The longevity risk
has effectively been transferred to
a third party, and one’s cash pile
has been turned into a cash flow
they cannot outlive.
HOPE LIVES HERE – STILL
Shortly after her
first birthday party
a week before
Thanksgiving,
my
granddaughter, Ally,
developed
a
stubborn
virus.
When she became
extremely lethargic, she was taken
to Children’s Hospital (CHOP)
where she was diagnosed as one
of the youngest juvenile diabetics
they have ever seen. Once again, I
am amazed at the wonderful work
being done at CHOP. Ally was sent
home for Thanksgiving but
returned for a few more days to
stabilize her sugar levels and get
the virus out of her. She is home
now and mommy Cerissa, daddy
Brian, and frequent babysitter
Mom-Mom Debby are testing her
sugar regularly, monitoring her
diet and giving her insulin to keep
her stable. She is doing well so far
and is a happy baby. Pop-Pop
loves when she gives him kisses.
Please keep her in your thoughts
and prayers. Ally’s brother Noah
wrapped up a successful soccer
season by helping his team win
the West Deptford Thanksgiving
Tournament. Of course I think he
is the best player on the team!
Landon’s Fall Baseball team also
reached the playoffs and he did
really well. Even though Jon, Jr.
and Jake were star athletes in high
school, it was Cerissa who was
recently inducted into the West
Deptford High School Athletic Hall
of Fame as the manager for the
1998 wrestling team! Jenna’s
daughter Amelia finally kicked the
ball and scored in soccer, while
Liam has developed into quite a
handful.
I am
pleased
to
announce that my
baby girl, Jael,
became engaged
right before Christmas!
So
another wedding is right around
the corner!
Beginning this
year
Jake,
whose middle
name is Conrad
after my father,
will
be
contributing to
the quarterly newsletter. His
contribution will be called
“Conrad’s Corner.”
The above material has been prepared from sources believed to be reliable, but we assume no responsibility for omission, errors or misstatements. Necessarily, the information is general
and when any legal or tax questions arise in connection with these materials, you should consult with your attorney and tax advisor. The material is not intended to be an offer to buy or
sell, or a solicitation of any offer to buy or sell the securities, if any, referred to herein. Janney or a member of the firm may hold a position in a security mentioned in this publication and
may make purchases or sales from time to time in the open market or otherwise. Past performance is no indication of future results.
Page Three
CONRAD’S CORNER
“Our youth now
love luxury. They
have
bad
manners,
contempt for authority; they show
disrespect for their elders and love
chatter in place of exercise; they
no longer rise when elders enter
the room; they contradict their
parents, chatter before company;
gobble up their food and tyrannize
their teachers.”
That quote comes to us from the
renowned Greek philosopher
Socrates from sometime in the 5th
century B.C. In lamenting the
terror of the youth of his day,
Socrates was highlighting a
problem every generation has had
to face since the dawn of man;
that is the generation after them,
the crop of “youths” that they
created and are now entrusting
the world to, a frustration often
expressed in the commonly heard
phrase, “kids these days.” To me,
that is a dangerous expression,
and I always cringe when I hear it.
The thing about today’s kids is
they are tomorrow’s adults; and
the thing about today’s adults is
that they were yesterday’s kids.
There is a strange duality in the
way today’s young professionals
are treated and spoken to. On
one hand they are berated with
the sobering news of today’s
world: crushing student debt,
turmoil in the Middle East, bleak
job opportunities, and a failing
WINTER 2014
financial system. On more than
one occasion I have heard, “I’m
glad I’m not in your shoes, I don’t
know how you kids are gonna
make it out there.” And yet the
same people who pity us for the
tough world we have inherited will
scold us for being a generation of
wimps, who are used to getting
our way and have never
experienced any true trials and
tribulations like they have!
There is a gap
between
generations; a
distancing
between
the
young and the old, but what
younger generations are often too
embarrassed to say is they need
the advice of their elders.
Likewise, older generations are
too proud to admit that they too
can learn from the younger
generations.
Nowhere is this truer than when it
comes to one’s finances, which is
why it is important that parents
and guardians talk with their
children about their financial
health. According to a new Bank
of America Merrill Lynch study
entitled, “Family and Retirement:
The Elephant in the Room,” many
adults simply do not discuss the
most important financial planning
concerns with their families. More
than half had not discussed issues
such as wills or health directives
with their children (source:
onwallstreet January, 2014).
When parents talk to their
children, no matter their
age, about such important
things as personal finance
and investing, it requires
both parties to take an
introspective look at their
own goals and objectives
and leads to both sides
learning something about
themselves and each other. What
you each might learn will help
inform you about what steps are
needed to help protect and grow
your wealth. The Leise Wealth
Management Group can help you
and your heirs avoid making
financial mistakes by facilitating a
conversation and helping to
educate your eventual heirs. Call
today to talk about it or request
the Handbook for Beneficiaries.
THE YEAR AHEAD
My family and I wish
you the best for a
happy, healthy, and
prosperous 2014. I
continue to value the trust and
confidence you place in me and
my team. Please contact me (215665-6658 or 800-526-6397 or
email me at [email protected]) if
you
have
any
questions,
comments, or suggestions or if
you know of someone who could
benefit from our services. You can
also
visit
us
at
www.leisewmg.com.
The above material has been prepared from sources believed to be reliable, but we assume no responsibility for omission, errors or misstatements. Necessarily, the information is general
and when any legal or tax questions arise in connection with these materials, you should consult with your attorney and tax advisor. The material is not intended to be an offer to buy or
sell, or a solicitation of any offer to buy or sell the securities, if any, referred to herein. Janney or a member of the firm may hold a position in a security mentioned in this publication and
may make purchases or sales from time to time in the open market or otherwise. Past performance is no indication of future results.