As people get closer to the age when they hope to retire, traditional wisdom calls for moving into more conservative - safer - investments, such as Treasury bonds and many fixed-income mutual funds.

"The problem is, what is 'safe' for one person may not be 'safe' for another, given the amount of money in their portfolios, how their investments are allocated, and what their retirement lifestyle goals are," says  financial advisor Haitham "Hutch" Ashoo, co-founder with advisor Chris Snyder of Pillar Wealth Management, LLC, (www.pillarwm.com).

"Some investors believe Certificates of Deposit and U.S. Treasury bonds are safe investments because of their backing, but the income they generate is so low, they may not be safe in terms of producing the income you need for 30 years of retirement."

A better approach is to analyze how much investment risk you must assume to achieve what's important to you, says Snyder.

"Your lifestyle goals determine your risk level, and your portfolio should be an allocation of stocks, bonds and cash that correlates directly with the risk level you need to assume."

Snyder and Ashoo, co-authors of "Four Factors The Affluent Must Know To Avoid Financial Disaster And Secure Their Dreams," available as a free download at(www.pillarwm.com), offer these tips for building a portfolio you likely won't outlive:

•  Don't aim for earning a certain percentage rate simply because you consider it an acceptable one.

Once you've identified your retirement lifestyle wants and needs, you can calculate how much they'll cost. Subtract your guaranteed income from sources like Social Security and pensions, and the remainder is what your portfolio will need to generate, adjusted for inflation, for the rest of your life, Ashoo says.

"Setting a goal of earning a 5, 6 or 8 percent return doesn't work because the markets fluctuate each year and are unpredictable," he says. "It's better to evaluate inflows and outflows during retirement and adjust for inflation. That process helps determine how much money you'll need at certain points in your life, and the returns you'll need."

•  Market timing and chasing hot managers is not the way to build a lasting, long-term portfolio.

Modern Portfolio Theory, developed by Nobel Prize-winner Harry Markowitz, tells us that 90 percent of the return in your portfolio is based on the allocation of stocks, bonds and cash, Snyder says.

"The percentages you allocate between these asset classes is far more important than timing the market or chasing around for the number one fund," he says. "Wall Street prefers you spend your time focused on the wrong thing.

•  Don't automatically spend when your portfolio earnings exceed expectations.

When your portfolio is growing at a rate that gives you a good amount of confidence you won't outlive your money, are you safe to spend more when gains exceed your expectations?

"Everyone has different priorities - some may want to increase spending to enhance their lifestyle while others may take the opportunity to lower their risk even more, so they can sleep better at night," Ashoo says.

He and Snyder say clients in that situation this year have responded in varying ways. Some have paid down mortgages with the extra money, moved up their plans to retire, traveled more or lowered their portfolio risk.

"What you need to remember is that gains can be taken away as quickly as they appeared," Snyder says.

About Haitham "Hutch" Ashoo and Chris Snyder

Haitham "Hutch" Ashoo and Chris Snyder are co-founders of Pillar Wealth Management LLC, (www.pillarwm.com), of Walnut Creek, Calif., specializing in customized wealth management advice to affluent families. Their unique five-step consultative process for new clients ensures they have a deep understanding of clients' goals. With a combined 51 years of experience, they are the authors of numerous published works, have addressed thousands of investors nationwide, and have been interviewed on radio shows across the country.

Saturday, August 2nd, 2014

1p.m.-5p.m.

RIVERMONT COLLEGIATE, 1821 Sunset Drive, Bettendorf, IA

(For any alumni that attended St. Katharine's School, St. Katharine's-St. Marks School or RIVERMONT COLLEGIATE on that campus)

Sunday, August 3rd, 2014

1p.m.-5p.m.

Renwick Mansion, 901 Tremont Avenue in Davenport, IA

(For any alumni that attended classes at St. Katharine's-St. Marks School at that location)

Additional Details:

Both events will feature an open house, displays of memorabilia, and refreshments will be provided.

Alumni may attend either or both events.

Reservations are $20 per person and must be received by July 28th. For more information or to make reservations please go the Alumni tab at www.rivermontcollegiate.org or  connect Rod Ossowski at (563) 359-1366 ext. 314 or at ossowski@rvmt.org

Congressman releases survey ahead of impending cuts to Social Security Administration services

Washington, D.C. - Days after sending a letter to administration officials demanding answers on Social Security service cuts, Rep. Bruce Braley (IA-01) today is calling on Iowans to share their experiences with Iowa Social Security Administration offices as he continues his push to delay the cuts to the essential services that 11 million Americans?including many Iowa seniors?used just last year. Braley will share the comments he receives with the Social Security Administration (SSA).

"It's important the Social Security Administration knows that Iowans are paying attention and aren't going to sit around while these important services disappear without warning or a single penny saved," Braley said. "Tens of thousands of Iowans use these services and the Social Security Administration needs to hear exactly how those Iowans are going to be affected."

Iowans are encouraged to go to braley.house.gov to share their experiences and take a survey about their experience utilizing services at Social Security Administration field offices.

Beginning August 2014, SSA will no longer issue Social Security number printouts in its field offices.  In addition, beginning October 2014, SSA field offices will stop providing benefit verification letters, except in emergency situations.  Many seniors rely on these verification letters for a variety of services. Those requesting this information would be able to do so only online or over the phone. Last year alone, 11 million Americans used SSA offices to request this information.

Iowa's 19 SSA field offices are located in Cedar Rapids, Decorah, Dubuque, Marshalltown, Waterloo, Burlington, Coralville, Davenport, Ottumwa, Council Bluffs, Creston, Des Moines, Ames, Carroll, Ft. Dodge, Mason City, Sioux City, Spencer, and Storm Lake.

Over 450,000 Iowa seniors received Social Security benefits in 2013.

Braley's Seniors' Access to Social Security Act would prevent those cuts for one year, during which time Braley will seek verification that the proposed service cuts will not adversely affect Iowa's seniors and will save taxpayers money.

This week, Braley wrote a letter to SSA Commissioner Carolyn Colvin asking her to provide a series of answers about the proposed cuts, including whether an analysis of cost savings has been done and if public input was solicited prior to the proposed cuts. Braley also sought information from Colvin on how Iowans seeking these services would be informed of cuts.

In June, Braley joined a Congressional push to prevent the elimination of the SSA services in a letter to the head of the SSA, noting that it's vital that seniors be able to receive these services in person especially given that telephone wait times for SSA services have risen drastically in the last year, and that many seniors lack internet access.

Airlines Triple Down on H.R. 4156

A House of Cards Premised on A Big Lie

July 10, 2014, Washington, DC - Business Travel Coalition (BTC) today has learned that H.R. 4156, the Transparent Airfares Act of 2014, is on the short list in the U.S. House of Representatives for a Suspension Calendar vote prior to the August recess. Suspension of the rules is a procedure used to quickly pass non-controversial bills in the House. H.R. 4156 arguably represents one of the most controversial aviation bills in a generation. (See http://btc.travel.)

The bill was passed out of Committee on April 9, 2014 without any hearings, debate or opportunity for consumer or travel industry stakeholders (other than airlines) to inform Congress of their views and the flaws in this bill. This is not the harmonious naming of a Post Office - the type of bill the Suspension Calendar is used for - but rather, contentious legislation that would harm consumers by reversing a U.S. Department of Transportation (DOT) rule implemented in 2012 as a cure to misleading airline advertising. House Members should reject this Suspension Calendar scheme and insist on proper deliberation of this highly controversial legislation.

This week, in a scene right out of NetFlix's House of Cards, airlines tripled down on their Big Lie and the manipulation of Congress that H.R. 4156 is premised upon. From the trade group Airlines For America, "...consumers deserve to clearly know just how much they are paying in federally imposed taxes and fees every time they purchase a ticket." (See http://btcnews.co/W0pxMe.)

Likewise, from American Airlines' in-flight magazine, American Way, the carrier's CEO asserts, "I can assure you that at American Airlines, you will never be asked to finalize a purchase without knowing the full price of the ticket, including all federal taxes and fees. But with this legislation, you will be better informed to know exactly what you are paying for in advance..." (See http://btcnews.co/1rXoM3d.)

THE BIG LIE; THE TRUTH

"Airlines falsely claimed to Congress, and continue to double and triple down in the press, that the DOT advertising rule forces them to hide government taxes and fees. The opposite is true. Airlines are free to list these amounts in an advertisement or solicitation so long as they are less prominently displayed than the total airfare, stated BTC founder Kevin Mitchell. "Moreover, airlines can list all taxes and fees on ticket itineraries and further remind passengers of these costs when printing out boarding passes. They simply choose not to," added Mitchell.

Some find Frank Underwood's lies and manipulation in House of Cards highly entertaining. But when it comes to reality in Congress and consumer protections, at least one Member of Congress finds airlines' duplicity deeply disturbing and has the courage to stand up to them. U.S. Rep. Jerrold Nadler (D-NY), a House Transportation Committee member who voted (perhaps alone) against H.R. 4156 succinctly told The Associated Press in a May 8 article: "The bill is 'a gift to the airlines...' 'What you're going to see is $200 for the airfare, and then you're going to be shocked when it turns out to really be $250,' he said. 'It's misleading to the consumer. It's just dishonest.'"

At http://btc.travel find relevant foundational documents, analyses and industry statements representing all views on H.R. 4156 as well as press editorials and stories.

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About BTC
Founded in 1994, the mission of Business Travel Coalition is to interpret industry and government policies and practices and provide a platform to enable the managed travel community to influence issues of strategic importance to their organizations.