3 Client Meetings That Reveal the Truth About Retirement Planning

Hosted by Johnathan Burgess (Solo)

What can three completely different clients — all with similar amounts of money — teach us about retirement planning? More than you might think. In this episode, Johnathan Burgess shares the real-world lessons from three new client meetings in a single week, each reinforcing a truth he believes deeply: no two retirement plans should ever look the same.

The First Thing Johnathan Does When a New Client Arrives

When new clients move their accounts to Big Money Retirement Solutions, the most common question is: are you going to sell everything my old advisor had me in and start over? The answer is almost never yes — but it does start with a careful review looking for what Johnathan calls boat anchors: positions dragging performance down, often placed there years ago because a broker was paid a commission to put them there.

“One of the things you never want to do is say everything your prior advisor did was a terrible idea. But what we look at right away is the fundamentals of the funds you are in — and the fees you are paying.”

Johnathan Burgess

The Hidden Cost of Mutual Funds

Mutual funds typically carry significantly higher fees than index funds — and those fees compound over time. A quick tip: look at your portfolio statement. If any position ends in the letter X, it is likely a mutual fund. That is where you want to start asking questions about what you are paying.

He also highlights a less-visible problem called tax drag: mutual funds trade frequently throughout the year, generating capital gains distributions that create unnecessary tax bills — even in years when you did not sell anything.

A Real Example: $16,000 Back in One Client’s Pocket

One of the three clients had about $900,000 in mutual funds and was paying over $7,000 per year in fund fees — plus an estimated $10,000 per year in unnecessary taxes. After switching to low-cost index funds, the combined savings came to about $16,000 per year.

“That $16,000 per year compounding back into the portfolio is the equivalent of saving over $1,000 a month. And if you are passing money down to the next generation, that is exactly what they will inherit.”

Johnathan Burgess

When the Goal Isn’t a Legacy — It’s Income

The second client had a similar portfolio but wanted to spend more in retirement. They were only drawing 2% per year — well below the generally accepted safe withdrawal rate of about 4%. By eliminating unnecessary fees and tax drag, Johnathan was able to increase their monthly income by nearly $1,000 without changing investment performance at all. Their standard of living went up just by changing advisors.

Concentration Risk: When Good Stocks Become a Problem

The third client owned individual stocks — but too many shares in too few companies. Using a benchmark from a fiduciary advisor managing over $220 billion in assets, Johnathan’s team identified $150,000 in overweighted positions, reallocated them into index funds with proven track records, and reduced individual security risk heading into retirement.

The Simplest Rule in Retirement Finance

“Finance is a lot simpler than you think. But you can overcomplicate it extremely fast. You have always got to create a plan that blesses your life — not one that becomes your life.”

Johnathan Burgess

For clients who struggle to spend money in retirement, Johnathan suggests setting up distributions on a biweekly schedule — mimicking a paycheck. It makes retirement income feel earned and consistent rather than like spending down a nest egg.