Dylan Potter

two girls walking down a path in golden light

Things I’ve Learned

I have a habit of jotting down the lessons I’ve learned along the way, and while they might not always be captivating to others, I find them valuable. I think this habit goes back to my time in the Army, where we carried small, hardcover green notebooks in our cargo pockets. These “green notebooks” became repositories for countless notes, lessons learned, mission plans, and guidance. In fact, carrying a green notebook and a pen was an unspoken expectation for every leader—always ready to capture the insights of the moment.

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American Flag waving in the wind behind a boat

Don’t Bet Against America, We’ll be Okay

We are at the time of the cycle where talk turns to the election. If this update is too long, we have a simple message: regardless of who wins the election, don’t bet against America, we’ll be okay.

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car on dirt road in foggy field with man looking at a map

The IRS Attempts to End the Inherited IRA Confusion

In long-awaited final rules, the IRS finally “clarified” the controversial 10-year rule for inherited individual retirement accounts (IRAs). The new guidance, set to take effect in 2025, addresses a key question that has puzzled many advisors, accountants, attorneys and beneficiaries since the passage of the original SECURE Act five years ago.

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Father and child on beach in California

Taxes and the Cost of an Obsession

“Return on hassle” refers to the concept of evaluating the time and effort required for a financial decision in addition to its expected financial return. Hedge fund manager Bill Ackman has another name for this idea: “Return-on-invested-brain-damage.” If the return isn’t high enough to justify the brain damage or hassle, move on. For real estate investors, this includes the mental and physical labor involved in finding tenants, maintaining properties, and managing debt, among other responsibilities. These are “hassles” that traditional investments like stocks and bonds don’t typically entail. An obsession with tax avoidance is perhaps my favorite topic when considering the “return on hassle.”

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Canoe on lake front

What is the Value of a Memory?

Awareness is the bedrock of financial planning. Awareness of incoming and outgoing cash flows, of risks and returns, of various investment vehicles, of economic conditions, of goals. Awareness. After awareness comes control. Controlling cash flows by directing them in the right investment vehicles at the right time over a long time-horizon to achieve those goals. For perhaps 70% of our lives this is what we are doing. We are saving, investing, and accumulating. Part of accumulating wealth is keeping our burn rate in check. As NYU Stern Professor Scott Galloway says, “Rich is having passive income greater than your burn. People on a path to money focus on their earnings; people on a path to wealth also focus on their burn.”

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old apple computer

Diversify

At Howe & Rusling, we read a lot. I just picked up Joe Wilson and the Creation of Xerox by Charles Ellis. The book is a walk down memory lane, especially if you are from Rochester. For those that know the story, after graduating from the University of Rochester and Harvard Business School, Joe Wilson, inherited the struggling Haloid Company from his father. Haloid teetered constantly on the verge of irrelevance and bankruptcy. Over the course of two decades after World War II, Joe Wilson poured nearly every personal and company dollar into the R&D that eventually led to “dry coating xerography”—a method that used electricity, physics, and dry materials to create copies rather than the traditional methods that relied on “wet chemicals” controlled by Eastman Kodak.

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map with compass

Distance and Time

Land navigation, in Army jargon, is the act of navigating from one point to another over long distances in varied terrain using a map, protractor, and compass. Every major selection event in the Army (Ranger School, Special Forces selection, etc.) has a graded land navigation component as part of the larger selection event.

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Green soccer field from above

 A Guide to the 72(q)/72(t) Distribution Method 

In this episode of StreetSmarts, Dylan Potter, Vice President and Wealth Manager at Howe & Rusling, delves into the intricacies of Section 72(q)/72(t) of the tax code, which provides a distribution method that will allow you the flexibility to draw on retirement accounts, penalty-free, before the age of 59 ½.

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Kodak slide of beach held up into the light of a sunset

“Optimism is a Moral Duty”

This newsletter is going to come across a bit disjointed. There are a couple different topics I wanted to touch on, so I thought I’d do a bit on each topic running through my head in quick fashion.

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Golf green with golf ball next to hole

Tiger Woods’ Putting Precision: Lessons in Consistency

Tiger Woods’ journey to becoming a golf maestro carries an additional layer of significance in the context of his early golf career. Contrary to the conventional pursuit of mastering the longest drive off the tee, Tiger consciously chose to prioritize an aspect of the game often deemed less glamorous – putting.

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