Long Story Short Tax Refunds Are Up, The Decumulation Dilemma & How We Build Portfolios
The average IRS tax refund is up 10.6% this year, and Adam explains why: the new tax bill reduced liability, but withholding tables on paychecks never got updated, so millions of people over-withheld through the back half of 2025. A good surprise this year, but a reason to revisit your withholding now.
Adam and Andy open with listener feedback on fraud and financial conversations with adult children, including a real story from a highly educated listener who got targeted by a scam. The takeaway is uncomfortable but important: it can happen to anyone.
Then Andy walks through how Burney builds portfolios beyond US stocks, explaining the asset allocation process, how correlation drives diversification decisions, and why the classic 60/40 portfolio broke down in 2022.
They close on the decumulation dilemma, a concept from retirement researcher David Blanchett that captures something Adam sees constantly with clients: people who spent decades saving end up too afraid to spend in retirement, and their portfolios flatline when they should be funding the lives they planned for.
⏱️ Timestamps:
- (0:45) Intro: Listener engagement and episode 38
- (1:45) Fraud follow-up: a highly educated listener shares how they were targeted
- (3:47) Password reuse: how it opens the door to fraud
- (5:13) Talking to adult children about money and the fear of creating dependency
- (11:00) Listener question: how does Burney build a full portfolio beyond US stocks?
- (12:27) What diversification actually means: low correlation, not just different labels
- (13:45) International stocks: 35% of global market cap, and why that matters
- (14:56) Bonds, alternatives, and what to do when correlations break down
- (17:00) This is not a static process: asset allocation evolves
- (19:10) ETFs vs. direct investing: where Burney uses each
- (22:20) Tax refunds up 10.6%: what's driving it and what to do now
- (24:37) Adjusting your withholding for the rest of 2026
- (28:47) The decumulation dilemma: why retirees underspend
- (32:00) The fear of outliving your money and how planning addresses it
- (33:53) Defining what your own retirement mountain actually looks like
- (35:37) Podcast disclosures
Resources:
Follow Burney Wealth Management on LinkedIn
Follow Adam Newman on Linkedin
David Blanchett’s Post: “The Decumulation Dilemma”
Ep 26: Cybersecurity Episode with Max Alles
#RetirementPlanning #TaxPlanning #PortfolioManagement #WealthManagement
The Burney Company is an SEC-registered investment adviser. Burney Wealth Management is a division of the Burney Company. Registration with the SEC or any state securities authority does not imply that Burney Company or any of its principals or employees possesses a particular level of skill or training in the investment advisory business or any other business. This content is for informational and educational purposes only. It is not intended as personalized investment advice or a recommendation.