How much do you actually need to retire? Which account should you fund first? Why doesn't a $40,000 balance always equal $40,000?In the third installment of our four-part series with investment veteran Patrick Geddes, he walks listeners through the practical mechanics of moving from financial goals to a real, workable plan.

The episode covers a lot of ground: matching time horizons to asset allocation, using the 4% withdrawal rule to estimate retirement needs, weighing the pros and cons of target date funds, and deciding between municipal and taxable bonds.

Geddes is candid about the investment industry. "If you think the investment industry has your best interest at heart rather than its own, you are naive." he says.

Geddes shares a memorable case study that asks you to calculate an investor's true stock/bond split across five different accounts, an exercise that drives home why you have to look at your whole portfolio, not just one statement.

On indexing versus active management, he doesn't hedge: "It's not just compelling, it's overwhelming. It's a slam dunk."

He also reframes how we think about tax-deferred accounts, reminding us that the balance on a traditional 401(k) statement overstates real wealth because "you still owe the government at some point."

See the transcript and listen to the podcast on Apple Podcast or Spotify.

Join Us LIVE Tonight for The Hidden Costs of America's Gambling Boom with Jonathan Cohen

Historian Jonathan D. Cohen, author of Losing Big: America’s Reckless Bet on Sports Gambling, explores how the rapid expansion of legalized gambling has reshaped American culture, policy, and personal finance.

Register here to attend the virtual event tonight (April 23) at 4pm PT / 7pm ET. 

About the Author

Hannah Rael

As NGPF's Marketing Communications Manager, Hannah (she/her) helps spread the word about NGPF's mission to improve the financial lives of the next generation of Americans.