1 00:00:46,060 --> 00:00:51,939 Suze: March 21st, 2024. What's today, KT? 2 00:00:51,950 --> 00:00:54,709 KT: It means spring is in the air, Suze. 3 00:00:54,720 --> 00:00:57,009 Suze: And what does that mean when it springs in the 4 00:00:57,020 --> 00:00:58,849 Suze: air around the island? 5 00:00:58,860 --> 00:01:03,340 KT: Tell everybody little chickies are born everywhere. Little peep, peep, 6 00:01:03,349 --> 00:01:06,290 KT: little tiny chicky, they look like little balls of fur. 7 00:01:06,339 --> 00:01:10,269 Suze: So as we ride around the island, wherever we go, 8 00:01:10,349 --> 00:01:11,800 Suze: we see the 9 00:01:12,400 --> 00:01:15,979 Suze: chicken with how many like usually five or so. 10 00:01:17,440 --> 00:01:21,230 KT: Once we drove around trying to find which hen had 11 00:01:21,239 --> 00:01:24,628 KT: the most babies and once Colo and I counted 13 12 00:01:25,199 --> 00:01:28,039 KT: because they usually have about from 4 to 6. 13 00:01:28,059 --> 00:01:30,830 Suze: So there are hundreds of little chickens. 14 00:01:31,239 --> 00:01:34,040 KT: I took a photo, I took a photo yesterday. So 15 00:01:34,050 --> 00:01:36,349 KT: Suze will post it on the wall today. 16 00:01:36,580 --> 00:01:39,629 Suze: All right. But they weren't our chickens. Our little chickens 17 00:01:39,639 --> 00:01:40,000 Suze: only had, 18 00:01:40,139 --> 00:01:44,410 Suze: had one little chicken, right? But welcome everybody to the 19 00:01:44,419 --> 00:01:47,279 Suze: Women and Money podcast as well as everybody smart enough 20 00:01:47,290 --> 00:01:53,129 Suze: to listen. This is the KT and Suze edition where 21 00:01:53,139 --> 00:01:56,330 Suze: you can ask us a question. And if you want to, 22 00:01:56,470 --> 00:02:01,199 Suze: you just have to write in too. Ask Suze - SUZE - podcast 23 00:02:01,209 --> 00:02:05,650 Suze: at gmail.com. And if KT chooses it, oh, we will 24 00:02:05,660 --> 00:02:08,210 Suze: answer it on this podcast. However, 25 00:02:08,619 --> 00:02:13,160 Suze: before we begin, I have an announcement to make. Give 26 00:02:13,169 --> 00:02:17,610 Suze: me a drum roll. KT, is that a drum roll 27 00:02:17,619 --> 00:02:18,589 Suze: or a trumpet? 28 00:02:18,619 --> 00:02:19,770 KT: A little bit of both. 29 00:02:20,119 --> 00:02:21,429 Suze: So that's a tr... 30 00:02:21,440 --> 00:02:23,229 KT: I don't know how to do drums. 31 00:02:23,860 --> 00:02:24,639 Suze: You don't? 32 00:02:24,649 --> 00:02:27,600 KT: No, no, that's a snare. 33 00:02:27,610 --> 00:02:30,490 Suze: All right. So give us the announcement. What's up from 34 00:02:30,500 --> 00:02:36,630 Suze: Alliant Credit Union tomorrow? Which will be the 22nd of March. 35 00:02:36,758 --> 00:02:41,720 Suze: The interest rates on the 12 month certificate of deposit. 36 00:02:42,020 --> 00:02:45,869 Suze: They are going down just a teeny, teeny, teeny bit 37 00:02:46,080 --> 00:02:55,239 Suze: to 5.3% and for amounts of $75,000 or more to 5.35% 38 00:02:55,288 --> 00:02:58,918 Suze: just know that. So if you want to take advantage 39 00:02:58,929 --> 00:03:00,279 Suze: of the rate today 40 00:03:01,029 --> 00:03:05,460 Suze: and even tomorrow, because those are still great, great rates, 41 00:03:05,639 --> 00:03:13,529 Suze: go to my Alliant a lliant.com and remember if you 42 00:03:13,538 --> 00:03:16,660 Suze: already have an account there, you can actually lock in 43 00:03:16,669 --> 00:03:18,089 Suze: that rate for long, 44 00:03:18,163 --> 00:03:21,244 Suze: longer than 12 months. You can do it for 13 months, 45 00:03:21,255 --> 00:03:25,785 Suze: 14 months, 15 months, 16 months, 17 months. And then 46 00:03:25,875 --> 00:03:30,085 Suze: it makes it a really, really great rate. So as 47 00:03:30,095 --> 00:03:32,425 Suze: I've told all of you, I would be locking in 48 00:03:32,434 --> 00:03:35,225 Suze: for the longest possible rate that you can. 49 00:03:35,559 --> 00:03:38,330 Suze: So I would check that out if I were you 50 00:03:38,339 --> 00:03:42,110 Suze: because it is obvious that interest rates are kind of 51 00:03:42,119 --> 00:03:46,419 Suze: starting to go down everywhere. All right, Miss Travis, what 52 00:03:46,429 --> 00:03:47,199 Suze: do you got for me? 53 00:03:47,250 --> 00:03:50,520 KT: I have a nice assortment of questions. And the first 54 00:03:50,529 --> 00:03:53,970 KT: one is from Robbie. Suze, my husband and I have 55 00:03:53,979 --> 00:03:57,500 KT: been listening to your advice for decades and that is 56 00:03:57,509 --> 00:04:00,570 KT: why we are in great financial shape. 57 00:04:00,889 --> 00:04:03,729 KT: And then Robbie goes on to say that they have 58 00:04:03,740 --> 00:04:08,100 KT: rental properties, they paid their home off. Everything they're they're 59 00:04:08,110 --> 00:04:11,470 KT: doing is making them very happy. And she said she 60 00:04:11,479 --> 00:04:15,070 KT: retired early from teaching to take care of her father. 61 00:04:15,250 --> 00:04:19,269 KT: So here is the question. My 90 year old dad 62 00:04:19,279 --> 00:04:22,760 KT: is selling his home of 55 years and expects to 63 00:04:22,769 --> 00:04:23,880 KT: net about 64 00:04:24,010 --> 00:04:29,299 KT: $400,000. He's in pretty good shape mentally and physically for now. 65 00:04:29,309 --> 00:04:32,880 KT: And he currently lives with us. Where should we invest 66 00:04:32,890 --> 00:04:36,480 KT: his proceeds, so they earn interest, but the money is 67 00:04:36,488 --> 00:04:40,190 KT: not tied up in case I need it to hire 68 00:04:40,200 --> 00:04:43,730 KT: someone at some point to help me with his daily needs. 69 00:04:44,000 --> 00:04:46,410 KT: I thought maybe ladder some treasury CDs 70 00:04:47,359 --> 00:04:49,429 KT: and then she goes on and on. So I, I 71 00:04:49,440 --> 00:04:53,380 KT: love this question because it sounds like she's taking very 72 00:04:53,390 --> 00:04:56,868 KT: good care of her dad while she can. But she's 73 00:04:56,880 --> 00:04:58,988 KT: smart enough to know there will be a time that 74 00:04:59,000 --> 00:05:02,820 KT: she needs help. So they're keeping his money really safe 75 00:05:02,829 --> 00:05:07,799 KT: to take care of him. Very, very generous Children. So 76 00:05:07,809 --> 00:05:10,329 KT: she said, what would you suggest we invest his money 77 00:05:10,339 --> 00:05:14,178 KT: in that is safe and accessible if necessary. 78 00:05:14,988 --> 00:05:16,809 Suze: So it's going to be how much money? 79 00:05:16,820 --> 00:05:18,739 KT: About 400,000. 80 00:05:20,160 --> 00:05:23,929 Suze: You know, it's interesting because 81 00:05:24,410 --> 00:05:28,130 Suze: it's, it's a little bit confusing right now. Only in 82 00:05:28,140 --> 00:05:33,049 Suze: that if you look at treasuries, which are really relatively liquid. 83 00:05:33,059 --> 00:05:36,738 Suze: If you invest in a treasury, they're absolutely state tax free. 84 00:05:36,950 --> 00:05:39,899 Suze: And if you need the money, you can always sell 85 00:05:39,910 --> 00:05:43,329 Suze: them on the secondary market, especially if you buy them 86 00:05:43,339 --> 00:05:47,308 Suze: at a brokerage firm, do not buy them from treasury direct, 87 00:05:47,320 --> 00:05:48,149 Suze: buy them from 88 00:05:48,238 --> 00:05:54,109 Suze: a brokerage firm and therefore the money is relatively liquid. However, 89 00:05:54,230 --> 00:05:56,890 Suze: if you look at a two year treasury as we're 90 00:05:56,899 --> 00:06:01,929 Suze: recording this, they're only going for about 4.67%. If you 91 00:06:01,940 --> 00:06:05,190 Suze: go out further, you're looking at like a 10 year, 92 00:06:05,200 --> 00:06:11,940 Suze: only 4.27% even a 30 is at 4.4% today. 93 00:06:12,869 --> 00:06:18,049 Suze: Compare that seriously to the certificates of deposits at Alliant 94 00:06:18,059 --> 00:06:22,019 Suze: Credit Union. And this isn't about Alliant Credit Union. This 95 00:06:22,029 --> 00:06:25,839 Suze: is really about the highest interest rates out there. You 96 00:06:25,850 --> 00:06:28,720 Suze: could do a 12 month all the way to 17 97 00:06:28,730 --> 00:06:35,540 Suze: month and lock in as of tomorrow, 5.3 or 5.35% 98 00:06:35,630 --> 00:06:39,239 Suze: which is considerably higher than what you would get in 99 00:06:39,250 --> 00:06:41,010 Suze: a two year treasury. 100 00:06:41,678 --> 00:06:45,178 Suze: So it also has to do with what state you 101 00:06:45,190 --> 00:06:48,260 Suze: live in and are you with a high tax bracket 102 00:06:48,269 --> 00:06:51,660 Suze: or not? So, I would tell you to do a 103 00:06:51,670 --> 00:06:57,140 Suze: combination of many things. It is obvious that eventually interest 104 00:06:57,149 --> 00:07:01,970 Suze: rates will go down. So, are you better off doing 105 00:07:01,980 --> 00:07:06,140 Suze: a 10 year treasury at 4.2%? 106 00:07:06,428 --> 00:07:08,609 Suze: And at least, you know, for a portion of the 107 00:07:08,619 --> 00:07:11,570 Suze: money anyway, at least, you know, you have locked in 108 00:07:11,579 --> 00:07:13,290 Suze: that interest rate 109 00:07:13,970 --> 00:07:17,269 Suze: and if interest rates do start to go down the 110 00:07:17,279 --> 00:07:21,329 Suze: value of that treasury will absolutely go up. So if 111 00:07:21,339 --> 00:07:25,320 Suze: you needed to sell it, you would probably make money 112 00:07:25,329 --> 00:07:29,540 Suze: that way versus a long term certificate of deposit where 113 00:07:29,549 --> 00:07:33,910 Suze: there is a penalty if you need to come out early. 114 00:07:34,299 --> 00:07:37,339 Suze: So you need to think about those things. So I 115 00:07:37,350 --> 00:07:40,859 Suze: would do some very short term like the 12 month, 116 00:07:40,869 --> 00:07:44,079 Suze: for instance, with Alliant Credit Union. And again, if you 117 00:07:44,089 --> 00:07:47,000 Suze: already have an account there, you can extend that to 118 00:07:47,010 --> 00:07:51,459 Suze: 17 months and 30 days to almost 18 months, which 119 00:07:51,470 --> 00:07:55,779 Suze: is a fabulous fabulous rate. Then look at some treasuries 120 00:07:55,790 --> 00:07:59,160 Suze: and do a combination of that. You also might wanna 121 00:07:59,170 --> 00:08:01,160 Suze: leave some of it liquid 122 00:08:01,820 --> 00:08:04,809 Suze: in a money market fund. So that if you deed 123 00:08:04,820 --> 00:08:07,250 Suze: in money before you even thought you were gonna need 124 00:08:07,260 --> 00:08:10,989 Suze: money or before interest rates come down or whatever that 125 00:08:11,000 --> 00:08:14,570 Suze: money then is liquid for your father and its pain 126 00:08:14,619 --> 00:08:21,209 Suze: over 5% right now. Schwab Fidelity, they all have them also. 127 00:08:21,459 --> 00:08:26,209 Suze: You just might want to think about certain dividend, paying 128 00:08:26,220 --> 00:08:27,290 Suze: stocks 129 00:08:27,980 --> 00:08:32,390 Suze: that are paying a lot higher dividend for a very 130 00:08:32,400 --> 00:08:36,659 Suze: small amount of money. So possibly there is still some 131 00:08:36,669 --> 00:08:41,890 Suze: growth and things like that. However, at 90 years of age, 132 00:08:42,080 --> 00:08:45,609 Suze: I probably would not be doing that. But if you 133 00:08:45,619 --> 00:08:48,929 Suze: go to see a financial advisor, they may recommend that. 134 00:08:49,239 --> 00:08:51,859 Suze: But I have to tell you, I wouldn't be doing that, 135 00:08:51,869 --> 00:08:55,789 Suze: stay away from annuities at this point in time and 136 00:08:55,799 --> 00:08:59,979 Suze: just do a combination of the things I just said. 137 00:09:00,380 --> 00:09:01,539 Suze: All right, KT. 138 00:09:01,549 --> 00:09:04,859 KT: I think Robbie is great for taking care of her daddy. 139 00:09:05,450 --> 00:09:09,140 KT: Love that. Ok. This is another situation where a family 140 00:09:09,150 --> 00:09:12,218 KT: member needs to help. The whole family 141 00:09:12,570 --> 00:09:16,150 KT: said hi, Suze. Thank you so much for being available 142 00:09:16,159 --> 00:09:19,030 KT: for your listeners and for helping us to make smart 143 00:09:19,039 --> 00:09:23,309 KT: decisions about our money. My nuclear family has had a 144 00:09:23,320 --> 00:09:30,069 KT: personal emergency and will need access to about $35,000. Over 145 00:09:30,080 --> 00:09:31,299 KT: the next year. 146 00:09:31,789 --> 00:09:37,479 KT: I have $33,000 in my 401k from a previous employer. 147 00:09:37,539 --> 00:09:42,460 KT: I don't have any other 401k accounts and just began 148 00:09:42,469 --> 00:09:46,969 KT: a career as a self employed mental health therapist just 149 00:09:46,979 --> 00:09:50,950 KT: started that. However, my husband is a member of the 150 00:09:50,960 --> 00:09:55,080 KT: electricians union and has not only a 401k with them 151 00:09:55,090 --> 00:09:56,900 KT: but also an accruing pension 152 00:09:57,340 --> 00:10:01,650 KT: in order to fund my family's emergency. I'm considering two 153 00:10:01,659 --> 00:10:06,119 KT: options and, and this is where it gets very tricky, Suze. 154 00:10:06,320 --> 00:10:06,380 Suze: My little heart is pounding. 155 00:10:07,099 --> 00:10:10,090 KT: I know option A, take out a personal loan 156 00:10:10,440 --> 00:10:13,419 KT: and Christina is writing to you and she said she 157 00:10:13,429 --> 00:10:16,440 KT: doesn't have a clue about how to do this. And 158 00:10:16,450 --> 00:10:19,950 KT: then she said, option B, assuming this is the part 159 00:10:19,960 --> 00:10:22,580 KT: that makes me a little bit sad, assuming I can 160 00:10:22,590 --> 00:10:28,729 KT: roll my $33,000 into a Roth without any penalties, I 161 00:10:28,739 --> 00:10:32,130 KT: could put the money there. And then if I understood 162 00:10:32,140 --> 00:10:37,039 KT: you correctly access that 33,000 without being taxed, 163 00:10:37,390 --> 00:10:41,250 KT: this will mean I will drain my retirement savings. 164 00:10:41,260 --> 00:10:43,989 Suze: And also it's not even how it works. You to 165 00:10:44,000 --> 00:10:45,010 Suze: stop that there. 166 00:10:45,140 --> 00:10:48,890 KT: So, but wait, then she's asking um that now she's 167 00:10:48,900 --> 00:10:50,250 KT: asking question one. 168 00:10:50,510 --> 00:10:54,449 KT: My husband has a 401k and a pension. Shouldn't we 169 00:10:54,460 --> 00:10:58,650 KT: be ok without my 401k money? She's willing to lose 170 00:10:58,659 --> 00:11:04,000 KT: all of her money. Help her with some ways she 171 00:11:04,010 --> 00:11:05,130 KT: can help her family. 172 00:11:05,340 --> 00:11:08,659 Suze: So, Christina, here's what you first need to understand about 173 00:11:08,669 --> 00:11:15,179 Suze: your second option. If you roll your traditional 401k from 174 00:11:15,190 --> 00:11:17,119 Suze: an ex employer 175 00:11:17,549 --> 00:11:22,750 Suze: to a Roth IRA, you are going to pay taxes 176 00:11:22,820 --> 00:11:31,010 Suze: on that $33,000 and the taxes will be ordinary income 177 00:11:31,200 --> 00:11:35,450 Suze: because you won't be rolling it. You will be converting it. 178 00:11:36,119 --> 00:11:42,630 Suze: So all conversions are absolutely taxable in the year that 179 00:11:42,640 --> 00:11:43,989 Suze: you convert. 180 00:11:44,400 --> 00:11:49,789 Suze: So you would lose a nice portion of that to taxes. However, 181 00:11:49,799 --> 00:11:52,820 Suze: once you convert to the Roth, 182 00:11:53,570 --> 00:11:57,439 Suze: if you then want to take it out, you won't 183 00:11:57,450 --> 00:11:59,590 Suze: have to pay taxes on it again. 184 00:12:00,169 --> 00:12:02,719 Suze: But given that it hasn't been in there for at 185 00:12:02,729 --> 00:12:08,030 Suze: least five years, you will pay a 10% penalty on 186 00:12:08,039 --> 00:12:11,659 Suze: it if you take it out at that point in time. 187 00:12:11,880 --> 00:12:14,989 Suze: So you're gonna lose a good portion of that. You 188 00:12:15,000 --> 00:12:21,689 Suze: can't do that conversion with the $33,000. It makes absolutely 189 00:12:21,700 --> 00:12:24,549 Suze: no sense. What so ever 190 00:12:25,450 --> 00:12:29,070 Suze: next? Your husband's 401k. 191 00:12:29,900 --> 00:12:39,280 Suze: Hopefully your husband has at least $70,000 in his 401k. 192 00:12:40,030 --> 00:12:48,169 Suze: He could take a loan from his 401k for $35,000. 193 00:12:48,190 --> 00:12:51,669 Suze: Use it for the emergency and then over the next 194 00:12:51,679 --> 00:12:56,770 Suze: five years from his paycheck, he would simply pay it 195 00:12:56,820 --> 00:13:02,750 Suze: back out of everything that you suggested. That is what 196 00:13:02,760 --> 00:13:06,130 Suze: you should do if you have got to do this. 197 00:13:06,140 --> 00:13:06,968 Suze: All right. 198 00:13:07,239 --> 00:13:10,000 Suze: So where your option A is to take out a 199 00:13:10,010 --> 00:13:11,140 Suze: personal loan? 200 00:13:11,590 --> 00:13:15,890 Suze: Maybe that makes sense. But I have a feeling that 201 00:13:15,900 --> 00:13:19,960 Suze: you would be better given today's interest rates to have 202 00:13:19,969 --> 00:13:25,590 Suze: your husband do the 401k loan from his 401k. If 203 00:13:25,599 --> 00:13:29,729 Suze: he does not have that much money in his 401k, 204 00:13:30,090 --> 00:13:35,460 Suze: he's only allowed to take 50% of his balance out. So, 205 00:13:35,469 --> 00:13:39,690 Suze: whatever that may be, we're in a bind here 206 00:13:40,289 --> 00:13:46,030 Suze: because you cannot put yourself in a situation where if 207 00:13:46,039 --> 00:13:49,630 Suze: something happens to you and you both use up all 208 00:13:49,640 --> 00:13:51,989 Suze: of your money and all of a sudden now you're 209 00:13:52,000 --> 00:13:56,559 Suze: in an accident, something happens who's gonna save you? 210 00:13:57,190 --> 00:14:02,289 Suze: So you really have to judge what is this family emergency. 211 00:14:02,909 --> 00:14:08,010 Suze: It's a personal emergency. That means one person needs access 212 00:14:08,020 --> 00:14:11,390 Suze: to the money. You don't tell me what it's for, 213 00:14:11,669 --> 00:14:15,559 Suze: but you really have to think about this because you 214 00:14:15,570 --> 00:14:20,090 Suze: very well can be putting yourself in a situation where 215 00:14:20,099 --> 00:14:24,429 Suze: you may have to ask another family member to help you. 216 00:14:24,960 --> 00:14:27,419 Suze: So I just need you to think about that. But 217 00:14:27,429 --> 00:14:31,640 Suze: the best choice, your husband taking a loan from his 218 00:14:31,650 --> 00:14:35,859 Suze: 401k for whatever money he can and helping the family 219 00:14:35,869 --> 00:14:39,940 Suze: member for as much as you possibly can. If that 220 00:14:39,950 --> 00:14:44,260 Suze: is your decision. That's a hard one, KT. Why do 221 00:14:44,270 --> 00:14:46,219 Suze: I just have this feeling 222 00:14:47,289 --> 00:14:54,549 Suze: that the personal emergency isn't a sickness or whatever, 223 00:14:54,559 --> 00:15:00,590 KT: It's not life threatening, whatever it is, whatever it is. It's, it's so, it's, 224 00:15:00,599 --> 00:15:02,969 KT: it's a shame that it's on her shoulders or she's 225 00:15:02,979 --> 00:15:04,320 KT: taking it on her shoulders. 226 00:15:04,330 --> 00:15:07,500 Suze: But I would really think twice before this because you 227 00:15:07,510 --> 00:15:11,789 Suze: just don't have the money. You just don't. But anyway. 228 00:15:11,799 --> 00:15:15,080 KT: Ok, so Suze, the next one is from Betsy and 229 00:15:15,090 --> 00:15:16,830 KT: this one's a little more enlightening. 230 00:15:17,320 --> 00:15:21,539 KT: It said subject 65 year old insurance policy. 231 00:15:21,549 --> 00:15:24,210 Suze: So does that mean that she's 65 or they, she 232 00:15:24,219 --> 00:15:25,119 Suze: has a policy? 233 00:15:25,130 --> 00:15:28,000 KT: Let me read this to you. It was purchased when 234 00:15:28,010 --> 00:15:31,770 KT: she was born. So it's about 65 years old. The 235 00:15:31,780 --> 00:15:36,340 KT: policy and Betsy. Hi, Suze. Several years ago, my mom 236 00:15:36,349 --> 00:15:41,380 KT: gave my sisters and I $500 insurance policies. She bought 237 00:15:41,390 --> 00:15:42,820 KT: these when we were born. 238 00:15:43,109 --> 00:15:48,530 KT: Both my sisters cashed theirs out and got about $1500 payout. 239 00:15:48,739 --> 00:15:51,070 KT: I decided I really didn't need the money. So I 240 00:15:51,080 --> 00:15:54,960 KT: put mine at the bottom of my fireproof box and 241 00:15:54,969 --> 00:15:58,489 KT: I recently came across it when I called Prudential. I 242 00:15:58,500 --> 00:16:02,210 KT: found out it was worth $9000. 243 00:16:02,590 --> 00:16:05,869 KT: Yeah. Lucky her. I had to get everything put into 244 00:16:05,880 --> 00:16:10,239 KT: my legal married name and attach a beneficiary. My question 245 00:16:10,250 --> 00:16:13,039 KT: to you is what should I do with this policy? 246 00:16:13,070 --> 00:16:16,229 KT: Leave it alone and let it grow, cash it in 247 00:16:16,239 --> 00:16:19,539 KT: and reinvest it. What should I do? Thanks from Betsy. 248 00:16:19,989 --> 00:16:25,179 Suze: All right. So 65 years ago, if I have this right, KT, 249 00:16:26,119 --> 00:16:30,340 Suze: mommy probably put in $500 250 00:16:30,780 --> 00:16:34,549 Suze: into this policy in one lump sum and here we 251 00:16:34,559 --> 00:16:43,760 Suze: are 65 years later and it's now worth $9000. Now, Betsy, 252 00:16:43,770 --> 00:16:49,280 Suze: years and years ago, insurance policies were really very different 253 00:16:49,289 --> 00:16:53,320 Suze: than they are to this day. So what I want 254 00:16:53,330 --> 00:16:57,679 Suze: you to do, I want you to call Prudential 255 00:16:58,049 --> 00:17:03,070 Suze: and ask them, what is the guaranteed interest rate 256 00:17:03,710 --> 00:17:09,119 Suze: that this policy is going to be paying you minus 257 00:17:09,380 --> 00:17:14,369 Suze: the insurance costs because as you get older, if you're 258 00:17:14,380 --> 00:17:20,540 Suze: the insured on here, your insurance costs increase and increase 259 00:17:20,550 --> 00:17:25,369 Suze: and your actual interest rate decreases, you need to know 260 00:17:25,439 --> 00:17:30,530 Suze: what you are going to earn on this $9000 net. 261 00:17:31,099 --> 00:17:34,790 Suze: Now, if you simply look at and I think my 262 00:17:34,800 --> 00:17:41,760 Suze: math is right here. $500 growing to $9000 over 65 years. 263 00:17:41,770 --> 00:17:46,579 Suze: That's about a 4.5% interest rate over 65 years, which 264 00:17:46,589 --> 00:17:51,479 Suze: is a great interest rate. So, before you cash anything out, 265 00:17:51,900 --> 00:17:56,639 Suze: you need to find out more about this policy because 266 00:17:56,650 --> 00:18:01,969 Suze: if it's going to continue to pay you 4.5% net 267 00:18:01,979 --> 00:18:05,849 Suze: on your money, you might as well just leave it there. 268 00:18:06,160 --> 00:18:09,910 Suze: But if it's not, and it's under what the current 269 00:18:09,920 --> 00:18:14,919 Suze: interest rates are paying or do you have credit card debt? 270 00:18:14,930 --> 00:18:17,929 Suze: Are you in a situation where you could use this 271 00:18:17,939 --> 00:18:19,560 Suze: $9000 272 00:18:19,880 --> 00:18:23,780 Suze: then you might want to consider cashing it out. But 273 00:18:23,790 --> 00:18:26,780 Suze: I don't know enough about your situation to be able 274 00:18:26,790 --> 00:18:33,109 Suze: to truly answer that question for you. So therefore you 275 00:18:33,119 --> 00:18:37,030 Suze: need to find out the answers to the questions. I 276 00:18:37,040 --> 00:18:40,099 Suze: also need to know that you are in good health 277 00:18:40,489 --> 00:18:42,660 Suze: because the last thing you want to do is ever 278 00:18:42,670 --> 00:18:45,619 Suze: cancel a life insurance policy if you're not, 279 00:18:46,099 --> 00:18:49,489 Suze: and you need to consult with the tax person, how 280 00:18:49,500 --> 00:18:55,339 Suze: much of this $9000 is going to be taxable to you? 281 00:18:55,770 --> 00:18:59,409 Suze: Because if mama only put in 500 it's now worth 9000,$8500 282 00:19:01,930 --> 00:19:05,949 Suze: of it could be taxable. So those are the things 283 00:19:05,959 --> 00:19:09,599 Suze: that you need to check out first and then make 284 00:19:09,609 --> 00:19:11,800 Suze: your decision from there. 285 00:19:13,239 --> 00:19:16,109 KT: I have a question. If she kept it and she 286 00:19:16,119 --> 00:19:20,448 KT: died and it went to her beneficiary, then it's tax free. 287 00:19:20,949 --> 00:19:22,290 Suze: But we have to know... 288 00:19:22,410 --> 00:19:24,310 KT: Like she's probably in great health. 289 00:19:24,599 --> 00:19:27,540 Suze: But no, we have to know what is the interest 290 00:19:27,550 --> 00:19:32,290 Suze: rate now that she is netting and that will make 291 00:19:32,300 --> 00:19:34,968 Suze: the decision as well as what is her tax bracket. 292 00:19:34,979 --> 00:19:37,689 Suze: There's all kinds of things we would need to know 293 00:19:37,859 --> 00:19:40,189 Suze: which I just want to say something about. 294 00:19:41,489 --> 00:19:44,550 Suze: It is very important when you, all of you listen 295 00:19:44,560 --> 00:19:49,369 Suze: to me. Now, when you ask a financial advisor or anybody, 296 00:19:49,380 --> 00:19:54,869 Suze: a question, it is essential that the financial advisor in 297 00:19:54,880 --> 00:19:59,359 Suze: order to really answer that question needs to know a 298 00:19:59,369 --> 00:20:02,670 Suze: whole lot of things before they can tell you what 299 00:20:02,680 --> 00:20:03,669 Suze: to do. 300 00:20:04,219 --> 00:20:07,530 Suze: So when you write me and you say Suze, I 301 00:20:07,540 --> 00:20:11,030 Suze: have $50,000 how should I invest it every year? I 302 00:20:11,040 --> 00:20:14,989 Suze: cannot answer that question for you. If this was a 303 00:20:15,000 --> 00:20:18,198 Suze: live radio show and we could interact and I could 304 00:20:18,209 --> 00:20:21,129 Suze: answer everything or I could ask you what I need 305 00:20:21,140 --> 00:20:25,040 Suze: to know, then I could. So when you write in questions, 306 00:20:25,050 --> 00:20:27,920 Suze: just remember that. Ok. 307 00:20:27,930 --> 00:20:29,958 KT: Next question is from Leslie. 308 00:20:30,310 --> 00:20:33,609 KT: She said, Susie, I'm a 70 year old, divorced and 309 00:20:33,619 --> 00:20:39,410 KT: retired woman. My alimony will end in four years along 310 00:20:39,420 --> 00:20:42,948 KT: with social security. I rely on my alimony to pay 311 00:20:42,959 --> 00:20:47,218 KT: my rent. I have money in an IRA and an annuity. 312 00:20:47,430 --> 00:20:52,609 KT: I use a financial advisor, my debt is $9000 of 313 00:20:52,619 --> 00:20:53,930 KT: credit card debt. 314 00:20:54,219 --> 00:20:59,359 KT: I've always lived beyond my means and was terrible at saving. Now, 315 00:20:59,369 --> 00:21:03,069 KT: I'm so disappointed in myself that I'm in this position 316 00:21:03,079 --> 00:21:06,160 KT: at my age. I know you'll give me your honest 317 00:21:06,170 --> 00:21:10,609 KT: opinion and my annuity is not affected by the stock market. 318 00:21:10,800 --> 00:21:18,319 KT: It has $90,000 in it. My IRA has only 160,000 Suze. 319 00:21:18,329 --> 00:21:19,959 KT: I feel doomed. 320 00:21:21,140 --> 00:21:24,550 KT: So, what advice do you have for Leslie? And for 321 00:21:24,609 --> 00:21:29,479 KT: she's gonna be 74 when that alimony runs out and she needs it. 322 00:21:29,489 --> 00:21:32,239 Suze: But she didn't tell us how much of her alimony 323 00:21:32,250 --> 00:21:35,869 Suze: does she get, she didn't say that. But that's besides 324 00:21:35,880 --> 00:21:40,379 Suze: the point, Leslie, you listen to me and you listen 325 00:21:40,390 --> 00:21:46,800 Suze: to me closely. If you feel doomed, you are doomed. 326 00:21:47,079 --> 00:21:50,670 Suze: You do not have the time to feel doomed. You 327 00:21:50,680 --> 00:21:54,339 Suze: do not have the time to feel disappointed in yourself. 328 00:21:54,349 --> 00:21:58,099 Suze: It doesn't matter that you're in this position. What matters 329 00:21:58,109 --> 00:22:01,609 Suze: is that you believe in who you are, you believe 330 00:22:01,619 --> 00:22:05,020 Suze: you have the ability to change your situation and that 331 00:22:05,030 --> 00:22:08,390 Suze: you don't have to be dependent on the alimony to 332 00:22:08,400 --> 00:22:11,420 Suze: pay your rent. When you say 333 00:22:11,760 --> 00:22:16,859 Suze: that you have $90,000 in an annuity, like it is 334 00:22:16,869 --> 00:22:21,619 Suze: a small amount of money and that your IRA has 335 00:22:21,630 --> 00:22:27,489 Suze: only let me underline the word, only $160,000 in it, 336 00:22:27,849 --> 00:22:33,949 Suze: which is $250,000 girlfriend, 337 00:22:34,300 --> 00:22:39,449 Suze: that could easily provide you with 10,000 a year or more, 338 00:22:39,459 --> 00:22:42,679 Suze: maybe we take the annuity and you annuitize it. So 339 00:22:42,689 --> 00:22:45,719 Suze: it gives you more income at your age. 340 00:22:46,119 --> 00:22:50,099 Suze: But there are options for you that are out there. 341 00:22:50,109 --> 00:22:54,040 Suze: But you can't even see that because you feel so doomed. 342 00:22:54,109 --> 00:22:56,829 Suze: You feel the only solution to this problem is the 343 00:22:56,839 --> 00:23:02,880 Suze: fact that you were getting alimony. That is not the solution. Therefore, 344 00:23:03,239 --> 00:23:04,900 Suze: you need to change 345 00:23:05,260 --> 00:23:09,589 Suze: your mindset. You need to look at what is your 346 00:23:09,599 --> 00:23:15,359 Suze: social security along with possibly an extra $2000 a month? 347 00:23:15,369 --> 00:23:18,819 Suze: From what you have? Could you get along with that? 348 00:23:19,000 --> 00:23:21,680 Suze: Do you go and live in a different place where 349 00:23:21,689 --> 00:23:24,489 Suze: your rent is even less? Do you have to move? 350 00:23:24,500 --> 00:23:27,060 Suze: What do you have to do? But you are not 351 00:23:27,069 --> 00:23:28,159 Suze: doomed 352 00:23:28,569 --> 00:23:33,349 Suze: unless you continue to think that you are. I don't know, KT, 353 00:23:33,479 --> 00:23:40,229 Suze: I think at 74 with $250,000 with social security don't 354 00:23:40,239 --> 00:23:43,688 Suze: tell me that there isn't something that Leslie can do 355 00:23:43,719 --> 00:23:46,140 Suze: to make it work, but it also 356 00:23:46,229 --> 00:23:49,209 Suze: starts with how she feels about who she is. 357 00:23:49,699 --> 00:23:51,119 KT: Stand in your truth. 358 00:23:51,160 --> 00:23:55,040 Suze: And stop being disappointed. What are you disappointed in? Right? 359 00:23:55,050 --> 00:23:57,329 Suze: That you got in a marriage that didn't work out well, 360 00:23:57,339 --> 00:24:01,208 Suze: join the crowd? Everybody. That's true. With over 50% of 361 00:24:01,219 --> 00:24:03,770 Suze: the people in the United States of America. 362 00:24:04,400 --> 00:24:08,379 KT: Ok. Next is from Marilyn. She said, hi, Suze. I 363 00:24:08,390 --> 00:24:12,750 KT: bought your ultimate retirement guide and would like to clarify something. 364 00:24:13,050 --> 00:24:17,949 KT: I have numerous bank accounts, brokerage accounts, and retirement accounts. 365 00:24:18,349 --> 00:24:22,719 KT: I have my two Children designated as the beneficiaries on 366 00:24:22,729 --> 00:24:24,050 KT: all of the accounts. 367 00:24:24,430 --> 00:24:26,660 KT: And the way she set it up, Suze, she said 368 00:24:26,670 --> 00:24:30,709 KT: the designation of payable on death PODs is what she did. 369 00:24:30,719 --> 00:24:31,689 KT: So the question... 370 00:24:31,890 --> 00:24:33,349 Suze: I already know what this question is. Why do I need a trust? 371 00:24:33,750 --> 00:24:37,449 KT: Why do I need a will and a trust? How 372 00:24:37,500 --> 00:24:38,208 KT: did you know that? 373 00:24:38,219 --> 00:24:41,619 Suze: Because that's where this question obviously was leading up to. 374 00:24:41,640 --> 00:24:43,869 Suze: So let's because she got the retirement guide and you're 375 00:24:43,880 --> 00:24:47,139 Suze: telling them how important it is. So here's the thing, 376 00:24:47,150 --> 00:24:51,250 Suze: my dear, Marilyn, what happens if you don't die? 377 00:24:52,099 --> 00:24:53,770 Suze: What happens if all of a sudden you have a 378 00:24:53,780 --> 00:24:57,790 Suze: stroke or you get dementia or you have no idea 379 00:24:57,800 --> 00:25:00,180 Suze: who you are anymore because you slipped on the ice 380 00:25:00,189 --> 00:25:02,989 Suze: and hit your head or whatever it may be a 381 00:25:03,069 --> 00:25:06,280 Suze: pay on death account is not going to help you 382 00:25:06,290 --> 00:25:08,379 Suze: at all because you are not dead. 383 00:25:09,000 --> 00:25:12,530 Suze: However, if you had it where you had a living, 384 00:25:12,540 --> 00:25:16,530 Suze: revocable trust where you were the trustee while you were 385 00:25:16,540 --> 00:25:20,560 Suze: still capable. But if something happened to you, you named 386 00:25:20,569 --> 00:25:23,969 Suze: one of your Children, both Children doesn't matter as a 387 00:25:23,979 --> 00:25:29,329 Suze: successor trustee, then they could access all of this money 388 00:25:29,339 --> 00:25:34,129 Suze: before you died to pay your bills, to write your checks, 389 00:25:34,140 --> 00:25:37,140 Suze: to absolutely take care of you. 390 00:25:37,719 --> 00:25:41,420 Suze: So that my friend is the reason why. 391 00:25:41,430 --> 00:25:45,150 KT: And this next question confirms it ready for this one. 392 00:25:45,229 --> 00:25:50,419 KT: From Doreen, from Auntie. Doreen. Hi, Suze and KT. My 393 00:25:50,430 --> 00:25:54,670 KT: sister passed away at the early age of 61. I'm 394 00:25:54,680 --> 00:25:58,939 KT: helping her two adult Children with her estate because my 395 00:25:58,949 --> 00:26:00,930 KT: sister did not have 396 00:26:01,219 --> 00:26:05,469 KT: a revocable living trust or will her estate went through 397 00:26:05,479 --> 00:26:07,099 KT: California probate. 398 00:26:07,829 --> 00:26:08,198 Suze: The worst. 399 00:26:08,209 --> 00:26:11,579 KT: Yes, the worst is right. And, and, and here's to the 400 00:26:11,589 --> 00:26:15,680 KT: point you just said to Marilyn, why it's important. My 401 00:26:15,689 --> 00:26:20,199 KT: sister owned a home. She had approximately $350,000 in equity. 402 00:26:20,219 --> 00:26:24,198 KT: A little bit of money in a 401k. Um, anyway, she, 403 00:26:24,209 --> 00:26:28,180 KT: she didn't have that, but she owed $12,000 on credit 404 00:26:28,189 --> 00:26:28,869 KT: cards 405 00:26:29,150 --> 00:26:34,489 KT: because the credit cards are non secured credit are the daughters, 406 00:26:35,589 --> 00:26:38,050 KT: one daughter who has been named as the executor of 407 00:26:38,060 --> 00:26:41,369 KT: the estate are the daughters obligated to pay the balance 408 00:26:41,380 --> 00:26:42,729 KT: of the credit card? 409 00:26:42,939 --> 00:26:47,119 Suze: They're not. So really, KT, just so, you know, that 410 00:26:47,130 --> 00:26:52,469 Suze: question was very different than Marilyn's because that question in 411 00:26:52,479 --> 00:26:55,380 Suze: that situation that you just asked me, they didn't set 412 00:26:55,390 --> 00:26:57,280 Suze: it up with the beneficiaries. They didn't have, 413 00:26:57,790 --> 00:27:00,729 Suze: you know, pay on death accounts, they didn't do that. 414 00:27:00,819 --> 00:27:04,810 Suze: So everything went through probate and probate in the state 415 00:27:04,819 --> 00:27:09,489 Suze: of California takes usually 1 to 2 years just to 416 00:27:09,500 --> 00:27:13,550 Suze: file for probate. Could be one or $2000 or more. 417 00:27:13,619 --> 00:27:19,050 Suze: And in the State of California probate fees are statutory. 418 00:27:19,420 --> 00:27:21,069 Suze: So, how much of their house? 419 00:27:21,180 --> 00:27:23,800 KT: 350,000 in equity. 420 00:27:23,849 --> 00:27:27,839 Suze: So it wouldn't even matter if it's 350,000 in equity 421 00:27:28,050 --> 00:27:32,718 Suze: if that house was worth $500,000 if the fair market 422 00:27:32,729 --> 00:27:37,040 Suze: value of that house was 7, 800,000 or a million 423 00:27:37,349 --> 00:27:41,380 Suze: probate fees are based on the fair market value, not 424 00:27:41,390 --> 00:27:44,280 Suze: on the equity in the house. 425 00:27:44,290 --> 00:27:45,800 KT: Ok. So Doreen needs 426 00:27:45,885 --> 00:27:49,724 KT: to really look at what the probate law is versus 427 00:27:49,734 --> 00:27:54,214 KT: worrying about if the nieces are responsible credit card debt... 428 00:27:54,324 --> 00:27:57,944 Suze: And how much of this is going to have to go through probate again. Doreen, 429 00:27:57,954 --> 00:28:00,944 Suze: it is not based on the equity in the house. 430 00:28:00,954 --> 00:28:04,464 Suze: It is based on the fair market value of that house. 431 00:28:04,474 --> 00:28:08,145 Suze: And if it's in California, I just have this strange feeling. 432 00:28:08,155 --> 00:28:12,214 Suze: It's probably worth 800,000 to a million dollars or more. 433 00:28:12,859 --> 00:28:15,060 Suze: Do you know KT in the state of California as 434 00:28:15,069 --> 00:28:16,719 Suze: well as possibly other states? 435 00:28:17,579 --> 00:28:22,739 Suze: You buy a $350,000 house and you just bought it, right? 436 00:28:22,750 --> 00:28:25,839 Suze: But you bought it for no money down. There's no 437 00:28:25,849 --> 00:28:27,760 Suze: equity in it whatsoever. 438 00:28:28,349 --> 00:28:32,910 Suze: And now you died, $350,000 would be the value that 439 00:28:32,920 --> 00:28:36,300 Suze: had to be probated. It could easily be close to 440 00:28:36,310 --> 00:28:39,939 Suze: $20,000 between a state and executive fees. 441 00:28:40,579 --> 00:28:42,489 KT: So California is really tough. 442 00:28:42,699 --> 00:28:46,510 Suze: Well, California, it's one of those states that have statutory 443 00:28:46,520 --> 00:28:49,920 Suze: probate fees set by law. 444 00:28:50,130 --> 00:28:53,410 KT: Ok. So my last question is from Mindy. 445 00:28:53,910 --> 00:28:57,770 KT: Hello, KT and Suze. I have a general question if 446 00:28:57,780 --> 00:29:01,709 KT: you don't mind. I'd like KT's input on this also. 447 00:29:02,060 --> 00:29:05,989 KT: This is great... wondering why you tell everybody to work 448 00:29:06,000 --> 00:29:10,250 KT: till they're 70 not spend much money on fun stuff 449 00:29:10,260 --> 00:29:13,500 KT: until much later in life. I know many people that 450 00:29:13,510 --> 00:29:18,489 KT: have died before 70 more before 80 even more who 451 00:29:18,500 --> 00:29:19,170 KT: have lost their 452 00:29:19,270 --> 00:29:23,660 KT: mobility or have had other health issues that would compromise 453 00:29:23,670 --> 00:29:27,930 KT: their fun in retirement if they wait until 70 to 454 00:29:27,939 --> 00:29:32,250 KT: retire for myself, I sold my large house and have 455 00:29:32,260 --> 00:29:35,339 KT: a nest egg which I plan to spend by traveling, 456 00:29:35,349 --> 00:29:39,089 KT: which is my fun ready. I plan to retire soon. 457 00:29:39,099 --> 00:29:42,449 KT: I'm only 60. I wanna have fun while I can. 458 00:29:43,459 --> 00:29:46,180 KT: This makes me laugh because she's asking for my advice, 459 00:29:46,189 --> 00:29:48,369 KT: which I'd like to give it before you Suze. 460 00:29:48,660 --> 00:29:52,939 KT: Chances of living in your nineties are much lower than 461 00:29:52,949 --> 00:29:56,810 KT: chances of not yet. Your advice for people is to 462 00:29:56,819 --> 00:30:00,719 KT: act as though they will live until their nineties. Following 463 00:30:00,729 --> 00:30:03,859 KT: that advice, many will have large legacies to leave to 464 00:30:03,869 --> 00:30:08,500 KT: their beneficiaries. So this is a very interesting reason why 465 00:30:08,510 --> 00:30:11,199 KT: Mindy has this little concern. 466 00:30:11,699 --> 00:30:15,770 KT: Perhaps my view is skewed because my husband had a 467 00:30:15,780 --> 00:30:18,930 KT: severe stroke at 58. I took... 468 00:30:19,099 --> 00:30:19,520 Suze: Oh that's it. 469 00:30:19,530 --> 00:30:23,829 KT: Yeah, so ready? I took care of him for four years while 470 00:30:23,839 --> 00:30:27,540 KT: he was bedridden before he died. Now, I want to 471 00:30:27,550 --> 00:30:29,280 KT: have fun with my money. 472 00:30:29,760 --> 00:30:33,819 KT: So she's asking my advice. So first of all, we're, 473 00:30:33,829 --> 00:30:36,770 KT: we're very sorry that you know, you lost your husband 474 00:30:36,780 --> 00:30:40,939 KT: at an early age and you're only now and you're 60. 475 00:30:40,949 --> 00:30:44,030 KT: You want to have fun. You were a caregiver for 476 00:30:44,040 --> 00:30:44,739 KT: a long time. 477 00:30:44,885 --> 00:30:49,244 KT: You're more than free and welcome from both KT and 478 00:30:49,255 --> 00:30:53,064 KT: Suze to have fun. We've had fun all her life. 479 00:30:53,194 --> 00:30:55,685 Suze: But that has nothing to do with the advice of 480 00:30:55,694 --> 00:30:59,324 Suze: waiting till seventy to collect Social security. 481 00:31:00,474 --> 00:31:03,864 KT: So the social, I understand your advice about not taking 482 00:31:03,875 --> 00:31:05,584 KT: social security early. 483 00:31:05,824 --> 00:31:06,805 Suze: She understands that. 484 00:31:06,814 --> 00:31:09,074 KT: And trying to wait till you're 70. But if you 485 00:31:09,084 --> 00:31:12,145 KT: financially can retire early, why not? 486 00:31:12,579 --> 00:31:16,530 Suze: No, I never said don't retire early if you can. 487 00:31:16,829 --> 00:31:21,829 Suze: The key to this question is that you're saying if 488 00:31:21,839 --> 00:31:25,930 Suze: you can, right? So you can, as long as you 489 00:31:25,939 --> 00:31:28,449 Suze: know that you can if you have enough money if 490 00:31:28,469 --> 00:31:28,939 Suze: you wait. 491 00:31:29,569 --> 00:31:32,949 KT: So wait, this gets better. This is a very, very interesting... 492 00:31:33,260 --> 00:31:37,400 KT: Mindy knows a lot about you and obviously me, 493 00:31:37,750 --> 00:31:40,849 KT: she said I would have thought that your view, Suze 494 00:31:40,859 --> 00:31:45,819 KT: would also be skewed considering your health and what you 495 00:31:45,829 --> 00:31:49,349 KT: had to overcome in the last year to get back 496 00:31:49,359 --> 00:31:53,359 KT: to where you are now. Yeah, I give Suze so 497 00:31:53,369 --> 00:31:58,489 KT: much credit for her remarkable comeback from her illness. 498 00:31:58,880 --> 00:32:02,619 KT: So Mindy's very aware and very astute and she knows 499 00:32:02,630 --> 00:32:06,810 KT: I was your caregiver, but I have to say I 500 00:32:06,819 --> 00:32:12,250 KT: have to always stand behind Suze because Suze's situation was 501 00:32:12,260 --> 00:32:15,780 KT: a what if probably like your husband's what if? 502 00:32:16,339 --> 00:32:20,689 KT: And that is what is the unknown. Mindy. You never know. 503 00:32:20,699 --> 00:32:26,890 Suze: You never know. Here's the thing my friend, if you know, 504 00:32:26,900 --> 00:32:30,930 Suze: for sure that you have enough money, no matter what happens, 505 00:32:30,939 --> 00:32:33,729 Suze: you know, maybe you have long term care insurance because 506 00:32:33,739 --> 00:32:38,010 Suze: the question becomes Mindy if something happens to you, who 507 00:32:38,020 --> 00:32:43,209 Suze: takes care of you so many times during those three years, truthfully, 508 00:32:43,650 --> 00:32:46,869 Suze: I think to myself, what if I didn't have KT 509 00:32:47,800 --> 00:32:50,719 Suze: what if she wasn't there for me? Oh, I'd have 510 00:32:50,729 --> 00:32:52,900 Suze: to hire a full time nurse. 511 00:32:52,910 --> 00:32:54,619 KT: A few of them, a few of them. 512 00:32:54,630 --> 00:32:58,569 Suze: Really, And thank God I'd have the money to do so. 513 00:32:58,780 --> 00:33:02,219 Suze: But what if I didn't? What if in my sixties 514 00:33:02,229 --> 00:33:04,579 Suze: I just decided I was gonna have a whole lot 515 00:33:04,589 --> 00:33:07,589 Suze: of fun and do anything I wanted and just who cares? 516 00:33:07,599 --> 00:33:10,479 Suze: Because I'm not gonna live that long and all of 517 00:33:10,489 --> 00:33:14,020 Suze: a sudden look what happens to me, you know, essentially 518 00:33:14,030 --> 00:33:16,739 Suze: when I'm 68, 69 years of age. 519 00:33:17,719 --> 00:33:21,800 Suze: So you have to think like that. But Mindy, if 520 00:33:21,810 --> 00:33:26,050 Suze: you have the money, you know, you have the money, 521 00:33:26,069 --> 00:33:28,300 Suze: you know, you have the money in case you get 522 00:33:28,310 --> 00:33:32,579 Suze: older and need care, then you go for it, girlfriend. 523 00:33:32,589 --> 00:33:33,920 KT: Travel, travel, travel. 524 00:33:33,930 --> 00:33:36,280 Suze: And if you don't have the money to carry you 525 00:33:36,290 --> 00:33:39,380 Suze: all the way through. All right, do it for a year, 526 00:33:39,719 --> 00:33:44,170 Suze: maybe two years, but just keep track of how much 527 00:33:44,180 --> 00:33:48,569 Suze: you have, what's happening to it. And really, therefore what 528 00:33:48,579 --> 00:33:54,040 Suze: happens in your life. Yeah. It's, it's so hard. 529 00:33:54,459 --> 00:33:55,630 Suze: It's so hard. 530 00:33:55,640 --> 00:34:00,170 KT: Yeah, there isn't one rule or answer for any of this. 531 00:34:00,489 --> 00:34:05,250 KT: It all matters on the individual's situation. So, Suze has 532 00:34:05,260 --> 00:34:08,388 KT: to give guidelines that really are an umbrella that can 533 00:34:08,399 --> 00:34:11,629 KT: protect the majority of people too. 534 00:34:12,580 --> 00:34:13,909 KT: You got a quizzy for me. 535 00:34:13,919 --> 00:34:15,939 Suze: Actually, I don't know if we have time for a quizzy. 536 00:34:15,949 --> 00:34:19,399 Suze: We went a little long there and this is kind 537 00:34:19,409 --> 00:34:23,879 Suze: of like a quizzy. What we just answered from Mindy 538 00:34:23,939 --> 00:34:27,929 Suze: because you gave your answer. But the quiz I had 539 00:34:27,939 --> 00:34:28,080 Suze: for you, 540 00:34:28,199 --> 00:34:30,719 Suze: was a can I afford it quizzy. 541 00:34:31,320 --> 00:34:35,399 KT: So maybe we'll do it Sunday. Let's do it Sunday. Oh, 542 00:34:35,409 --> 00:34:37,299 Suze: all of a sudden you're joining me on Sunday. 543 00:34:37,649 --> 00:34:40,530 KT: Everyone liked me, right? Did you all like me there? Sunday? 544 00:34:40,540 --> 00:34:43,259 KT: Let's do it. Can I afford it segment? That will 545 00:34:43,270 --> 00:34:46,219 KT: be really fun for those of you that have never 546 00:34:46,229 --> 00:34:50,468 KT: experienced one. You stay tuned on Sunday and listen up, 547 00:34:50,500 --> 00:34:53,409 KT: KT's coming in to do a Can I Afford it? 548 00:34:53,419 --> 00:34:54,939 Suze: You know, who else wants to join us? 549 00:34:56,550 --> 00:34:56,739 KT: Colo! 550 00:34:58,600 --> 00:35:03,090 Suze: So early in the morning Colo comes in and he says, when am I gonna 551 00:35:03,100 --> 00:35:06,489 Suze: be on the podcast again? And we both looked at 552 00:35:06,500 --> 00:35:09,320 Suze: him and went, you wanna be on the podcast? He 553 00:35:09,330 --> 00:35:13,129 Suze: listens to every single podcast and he has a comment 554 00:35:13,159 --> 00:35:16,909 Suze: on every single podcast. And I said, you wanna be 555 00:35:16,919 --> 00:35:19,969 Suze: on a podcast? He said, yeah, I said you can 556 00:35:19,979 --> 00:35:21,649 Suze: come in any time because everybody. 557 00:35:22,459 --> 00:35:25,510 KT: Let's wake him up real early and join us for 558 00:35:25,520 --> 00:35:25,810 KT: coffee. 559 00:35:27,083 --> 00:35:28,201 Suze: Well he already wakes up at four o'clock and works out. 560 00:35:28,462 --> 00:35:30,702 KT: We have coffee and we do these really early. Let's 561 00:35:30,712 --> 00:35:32,972 KT: make him his little shot. He has a shot of 562 00:35:32,982 --> 00:35:36,393 KT: espresso when he visits us and we'll get him involved. 563 00:35:36,762 --> 00:35:37,781 KT: I think that would be fun. 564 00:35:37,792 --> 00:35:41,383 Suze: You want to do that again this Sunday, maybe we have him say 565 00:35:41,393 --> 00:35:45,022 Suze: good morning to all of you. All right. But until 566 00:35:45,032 --> 00:35:48,012 Suze: Sunday there's really only one thing that we want you 567 00:35:48,022 --> 00:35:48,542 Suze: to remember 568 00:35:48,645 --> 00:35:50,844 Suze: when it comes to your money and it is what 569 00:35:50,855 --> 00:35:51,665 Suze: Miss Travis? 570 00:35:51,676 --> 00:35:57,525 KT: People first, then money, then things now you stay safe. 571 00:35:57,535 --> 00:36:00,726 Suze: Oh, that is my girl. And if you do that, 572 00:36:00,736 --> 00:36:02,686 Suze: what's gonna happen to everybody, KT? 573 00:36:02,696 --> 00:36:03,986 KT: They will be. What? 574 00:36:03,996 --> 00:36:05,506 KT: Unstoppable. 575 00:36:05,516 --> 00:36:07,315 Suze: You go, KT! 576 00:36:07,516 --> 00:36:08,625 KT: See you Sunday.