Fear and frustration about Social Security's future are spreading like wildfire, especially during election seasons. Politicians have intensified these concerns, warning that Social Security will go broke by 2035. This has left many, especially younger workers, feeling bitter and anxious about their financial futures. Stories of individuals doubting they'll ever see the benefits of their contributions highlight a growing sense of hopelessness. However, experts assure that a complete collapse is highly unlikely, with payroll taxes continuing to fund most benefits. Cognitive biases like the Availability Heuristic, Confirmation Bias, and Negativity Bias are at work, making these alarming statements seem more believable and widespread. It's essential to navigate these fears with accurate information and not let alarmist rhetoric dictate our financial planning.

A podcast that blends the nuts and bolts of financial advice with the emotions that drive making them.
Rick Kahler, CFP®, CFT-I™, has helped people make better money decisions by integrating financial planning. He blends the nuts and bolts of financial advice with the emotions that drive making them and shares them on his financial therapy podcast.

When people think of "Dying Broke," they often picture spending their retirement on memorable experiences, influenced by optimism bias. However, the harsh reality is that many will outlive their financial resources due to long-term health care costs, driven by availability heuristic and anchoring bias. The hidden and escalating fees in assisted living facilities, despite their high profitability, add to the financial stress and confusion for families, fueling emotions of frustration, fear, and helplessness. In this episode, we delve into these cognitive biases and underlying emotions, offering insights on how to better navigate the complexities of long-term care planning and advocate for systemic reforms.

A podcast that blends the nuts and bolts of financial advice with the emotions that drive making them.
Rick Kahler, CFP®, CFT-I™, has helped people make better money decisions by integrating financial planning. He blends the nuts and bolts of financial advice with the emotions that drive making them and shares them on his financial therapy podcast.

The transition to retirement often prompts crucial questions about financial well-being. Is ongoing financial planning or therapy essential during this new life chapter? And can retirees realistically afford these services? While the importance of financial guidance in retirement is undeniable, the feasibility of accessing such support varies widely. A particularly ironic situation arises for those who rely on fee-only financial planners: as retirement progresses and financial resources dwindle, these dedicated advisors may find themselves in the difficult position of recommending their own termination due to affordability concerns.

A podcast that blends the nuts and bolts of financial advice with the emotions that drive making them.
Rick Kahler, CFP®, CFT-I™, has helped people make better money decisions by integrating financial planning. He blends the nuts and bolts of financial advice with the emotions that drive making them and shares them on his financial therapy podcast.