1 00:00:40,729 --> 00:00:44,199 Robert: June 9th, 2024. Welcome to the Women and Money podcast 2 00:00:44,209 --> 00:00:47,348 Robert: as well as everyone. Smart enough to listen. Hi, everybody. 3 00:00:47,360 --> 00:00:51,779 Robert: This is Robert, Suze and KTs producer. Now everything is fine, 4 00:00:51,790 --> 00:00:54,090 Robert: but as you know, Suze's birthday was a few days 5 00:00:54,099 --> 00:00:57,729 Robert: ago and figured it was all right for Susie to 6 00:00:57,740 --> 00:01:01,000 Robert: take today off so she could extend her birthday celebration 7 00:01:01,009 --> 00:01:03,959 Robert: a bit. Call it producers prerogative if you will. 8 00:01:04,220 --> 00:01:08,459 Robert: So today's Suze school is highlights from an important lesson 9 00:01:08,470 --> 00:01:12,199 Robert: on the history of social security. KT and Suze will 10 00:01:12,209 --> 00:01:14,709 Robert: be back on Thursday. June 13th. Enjoy. 11 00:01:16,089 --> 00:01:20,369 Suze: Today is Suze School. I kind of want to go 12 00:01:20,379 --> 00:01:25,550 Suze: into storytelling mode. I want to talk about and tell 13 00:01:25,559 --> 00:01:30,379 Suze: the history of social security because it is going to 14 00:01:30,389 --> 00:01:35,279 Suze: play in to what the future holds for many of 15 00:01:35,290 --> 00:01:35,800 Suze: you 16 00:01:37,059 --> 00:01:44,199 Suze: on August 14th, 1935 President Roosevelt signed into law 17 00:01:45,099 --> 00:01:49,480 Suze: a new act that created a program designed to pay 18 00:01:49,489 --> 00:01:55,160 Suze: retired workers aged 65 a continuing income. 19 00:01:56,269 --> 00:01:59,930 Suze: When this act first came about, it was named the 20 00:01:59,940 --> 00:02:04,889 Suze: Economic Security Act. And that was because the committee which 21 00:02:04,900 --> 00:02:10,410 Suze: drafted the proposal was the Committee on Economic Security. Kind 22 00:02:10,419 --> 00:02:15,339 Suze: of made sense to me. But later on, Congress changed 23 00:02:15,350 --> 00:02:19,899 Suze: the name to the Social Security Act. Now, nobody knows 24 00:02:19,910 --> 00:02:23,089 Suze: for sure why they changed the name. 25 00:02:23,490 --> 00:02:27,070 Suze: There are many different stories about it, but that's what 26 00:02:27,080 --> 00:02:30,869 Suze: it's called. Here's what I start to find interesting. 27 00:02:31,589 --> 00:02:36,509 Suze: The first person to ever receive a social security check, 28 00:02:36,520 --> 00:02:42,139 Suze: can you imagine was a legal secretary from Ludlow Vermont 29 00:02:42,300 --> 00:02:46,419 Suze: by the name of Ida May Fuller. I love that 30 00:02:46,538 --> 00:02:52,229 Suze: because my mama was a legal secretary. I just love that. Anyway, 31 00:02:52,369 --> 00:02:57,728 Suze: she retired in November 1939 32 00:02:58,440 --> 00:03:05,389 Suze: and she started collecting benefits in January of 1940 at 33 00:03:05,399 --> 00:03:10,089 Suze: the full retirement age of 65. 34 00:03:11,169 --> 00:03:17,190 Suze: Now, even though Social Security Act came about in 1935 35 00:03:17,880 --> 00:03:23,059 Suze: they decided they were not going to pay benefits until 36 00:03:23,119 --> 00:03:30,609 Suze: 1940 in 1940 when Social Security started to first pay, 37 00:03:31,270 --> 00:03:35,399 Suze: if you had reached age 65 by then, 38 00:03:36,610 --> 00:03:41,089 Suze: they expected that men were only going to live another 39 00:03:41,100 --> 00:03:50,869 Suze: 12.7 years and women would live another 14.7 years if 40 00:03:50,880 --> 00:03:56,119 Suze: you made it to age 65. So what this meant 41 00:03:56,649 --> 00:04:00,789 Suze: is that when they calculated benefits for Ida May, 42 00:04:01,570 --> 00:04:04,649 Suze: that she would go on to live until she was 43 00:04:04,660 --> 00:04:11,229 Suze: like 79.5 years of age right around there and So 44 00:04:11,279 --> 00:04:14,710 Suze: that is how long they would have to make sure 45 00:04:14,720 --> 00:04:18,549 Suze: that they could afford to pay people like Ida may. 46 00:04:19,299 --> 00:04:22,160 Suze: So let's have a little quizzy today. 47 00:04:23,079 --> 00:04:25,339 Suze: So the first quizzy is this: 48 00:04:26,470 --> 00:04:30,920 Suze: How much do you think Ida May's social security check 49 00:04:30,928 --> 00:04:33,820 Suze: was for? I'll give you three choices. 50 00:04:34,450 --> 00:04:38,309 Suze: It was A $54.35 a month. 51 00:04:39,329 --> 00:04:51,070 Suze: That was B $22.54 a month or C $61.80 a month. 52 00:04:52,549 --> 00:04:53,339 Suze: Can you imagine 53 00:04:54,529 --> 00:04:58,899 Suze: which one of those did Ida may get if you answered? 54 00:04:58,910 --> 00:05:03,869 Suze: B $22.54. You were correct. 55 00:05:04,839 --> 00:05:12,029 Suze: However, Ida did not live till 79.7 years of age. 56 00:05:12,700 --> 00:05:17,730 Suze: She actually lived to be 100 years of age and 57 00:05:17,738 --> 00:05:25,309 Suze: died in 1975. Now, over all those 35 years of 58 00:05:25,320 --> 00:05:28,510 Suze: her life after she retired, 59 00:05:29,519 --> 00:05:39,600 Suze: she received a total of $9466.80 in social security. You know, 60 00:05:40,390 --> 00:05:43,570 Suze: it was around 1975 61 00:05:44,290 --> 00:05:49,799 Suze: 76 that I really started to look at money in 62 00:05:49,809 --> 00:05:51,820 Suze: a whole different way. 63 00:05:52,600 --> 00:05:57,940 Suze: I was very confused about it because my girlfriend's brother 64 00:05:58,609 --> 00:06:03,559 Suze: bought a home and was paying a mortgage of $158 65 00:06:03,570 --> 00:06:04,140 Suze: a month. 66 00:06:04,959 --> 00:06:08,660 Suze: But yet Neven, my girlfriend at the time and myself were 67 00:06:08,670 --> 00:06:14,140 Suze: renting an apartment for $220 a month and I didn't 68 00:06:14,149 --> 00:06:19,769 Suze: understand why he was paying less to own a home 69 00:06:19,869 --> 00:06:22,380 Suze: and I was paying more to rent a home 70 00:06:23,160 --> 00:06:30,019 Suze: and that is when things started really to escalate financially speaking. 71 00:06:30,029 --> 00:06:32,299 Suze: But think about Ida, 72 00:06:33,019 --> 00:06:39,600 Suze: who all the way from 1940 to 1975 things were 73 00:06:39,609 --> 00:06:42,760 Suze: already starting to get more expensive. 74 00:06:43,529 --> 00:06:52,459 Suze: She was still only getting $22.54 a month in social security. Now, 75 00:06:52,470 --> 00:06:55,440 Suze: you may think. Oh, Suze, she must have gotten a 76 00:06:55,450 --> 00:06:58,929 Suze: cost of living increase over all those years. You would 77 00:06:58,940 --> 00:07:02,619 Suze: think that right. But no, because it wasn't until the 78 00:07:02,630 --> 00:07:05,500 Suze: year that she died 1975 79 00:07:05,959 --> 00:07:10,380 Suze: that social security started for the very first time to 80 00:07:10,390 --> 00:07:15,940 Suze: adjust for the cost of living adjustment. Again, that was 81 00:07:15,950 --> 00:07:23,739 Suze: 35 years after people started receiving social security checks. So 82 00:07:23,750 --> 00:07:25,459 Suze: as you can see 83 00:07:26,480 --> 00:07:31,570 Suze: the Social Security administration or whoever did all of this Congress, 84 00:07:31,950 --> 00:07:35,399 Suze: they did not do a great job in number one, 85 00:07:35,609 --> 00:07:42,720 Suze: projecting life expectancies given the medical cures and treatments that 86 00:07:42,730 --> 00:07:49,769 Suze: were to come along. But that is why in 1983 87 00:07:50,200 --> 00:07:55,640 Suze: they decided to raise the full retirement age from 65 88 00:07:55,649 --> 00:08:00,440 Suze: to 67. Now, for those of you who don't remember 89 00:08:00,450 --> 00:08:03,779 Suze: that there are a lot of you that listen to 90 00:08:03,790 --> 00:08:07,459 Suze: the women and bunny podcast that have no idea about 91 00:08:07,470 --> 00:08:09,059 Suze: any of this truthfully 92 00:08:10,000 --> 00:08:15,910 Suze: that in 1983 they passed a law that said starting 93 00:08:15,920 --> 00:08:18,578 Suze: in the year 2000. 94 00:08:19,359 --> 00:08:25,140 Suze: If you were born in the year, 1938 95 00:08:25,899 --> 00:08:30,049 Suze: you would have to wait to take full social security 96 00:08:30,089 --> 00:08:33,710 Suze: until you were 65 plus two months. 97 00:08:34,580 --> 00:08:38,820 Suze: If you were born in 1939 you would have to 98 00:08:38,830 --> 00:08:46,090 Suze: wait to take full social security till 65 and four months. Obviously, 99 00:08:46,099 --> 00:08:49,599 Suze: if you took it earlier than that, there would be 100 00:08:49,609 --> 00:08:53,319 Suze: like a 20% reduction in what you would have gotten 101 00:08:53,330 --> 00:08:58,880 Suze: if you had waited till full social security age. Now, 102 00:08:59,599 --> 00:09:06,090 Suze: the full social security age increased two months for every 103 00:09:06,099 --> 00:09:12,109 Suze: birth year till 1943. So if you were born in 104 00:09:12,119 --> 00:09:18,659 Suze: 1943 you would need to be 66 to attain full 105 00:09:18,669 --> 00:09:23,340 Suze: social security age or what technically is known as your 106 00:09:23,349 --> 00:09:26,739 Suze: full retirement age. Your fr a. 107 00:09:27,820 --> 00:09:35,679 Suze: So if you were born, however, from 1943 to 1954 108 00:09:35,690 --> 00:09:38,590 Suze: that is 11 years. Everybody 109 00:09:39,250 --> 00:09:44,950 Suze: your full retirement age stayed at 66. Now it just 110 00:09:44,960 --> 00:09:48,630 Suze: stays stable there for all those years. I don't know 111 00:09:48,640 --> 00:09:52,108 Suze: why they did it that way, but they just did. 112 00:09:53,340 --> 00:09:54,659 Suze: Then starting 113 00:09:55,320 --> 00:10:01,020 Suze: if you were born in 1955 full retirement age would 114 00:10:01,030 --> 00:10:04,690 Suze: be 66 plus two months and it would increase two 115 00:10:04,700 --> 00:10:10,530 Suze: months every year till 1960. So if you were born 116 00:10:10,539 --> 00:10:19,260 Suze: 1960 or later, right now, your full retirement age is 67. 117 00:10:19,599 --> 00:10:24,459 Suze: And if you were to take social security at 62 118 00:10:25,190 --> 00:10:30,419 Suze: there would be a 30% reduction from what you would 119 00:10:30,429 --> 00:10:34,840 Suze: have gotten at 67. So are we clear on the 120 00:10:34,849 --> 00:10:36,770 Suze: past on all that everybody? 121 00:10:37,869 --> 00:10:40,049 Suze: So why am I telling you all this? 122 00:10:40,929 --> 00:10:45,460 Suze: So many of you write in and you say you're afraid, 123 00:10:46,010 --> 00:10:49,710 Suze: you're afraid that social security is going to go bankrupt, 124 00:10:49,739 --> 00:10:52,630 Suze: that you're not going to get your social security check? 125 00:10:52,640 --> 00:10:54,809 Suze: What are they going to be able to do to 126 00:10:54,820 --> 00:10:56,429 Suze: save social security? 127 00:10:57,260 --> 00:11:01,978 Suze: Well, they're going to most likely do exactly what they 128 00:11:01,989 --> 00:11:04,919 Suze: did back in 1983. 129 00:11:05,669 --> 00:11:09,809 Suze: So there are a few proposals, one or two that 130 00:11:09,820 --> 00:11:15,369 Suze: I've read that have been introduced into Congress 131 00:11:16,030 --> 00:11:22,630 Suze: and they all talk about raising the full retirement age 132 00:11:22,869 --> 00:11:28,070 Suze: to 70. So from 67 which is where it is 133 00:11:28,080 --> 00:11:33,200 Suze: right now. If you were born 1960 or later, 134 00:11:34,250 --> 00:11:39,010 Suze: they are proposing to raise it. Not for those who 135 00:11:39,020 --> 00:11:42,260 Suze: are currently getting social security, they will phase it in 136 00:11:42,270 --> 00:11:46,010 Suze: slowly like they did before when they went from 65 137 00:11:46,020 --> 00:11:51,010 Suze: to 67. But now they are projecting to not raise 138 00:11:51,020 --> 00:11:54,260 Suze: it just two years from 65 to 67. 139 00:11:54,510 --> 00:12:00,030 Suze: They are proposing to raise it from 67 to 70 140 00:12:00,039 --> 00:12:04,130 Suze: which is three years longer 141 00:12:04,799 --> 00:12:10,609 Suze: and they also have other suggestions that they would add 142 00:12:10,619 --> 00:12:15,169 Suze: in as well. So again, just so we're clear. So 143 00:12:15,179 --> 00:12:19,348 Suze: you all aren't panicking. I have no idea when these 144 00:12:19,359 --> 00:12:23,250 Suze: changes will be enacted or what they will end up being. 145 00:12:24,080 --> 00:12:28,570 Suze: But again, just like in 1983 where they gave all 146 00:12:28,580 --> 00:12:31,780 Suze: of you many years to get ready for it. I'm 147 00:12:31,789 --> 00:12:35,979 Suze: sure they will do the same this time. So again, 148 00:12:35,989 --> 00:12:40,659 Suze: if you are not currently even close to collecting social security, 149 00:12:40,830 --> 00:12:45,260 Suze: you best pay attention here because you are the ones 150 00:12:45,270 --> 00:12:49,020 Suze: that this is really going to affect. And I say 151 00:12:49,030 --> 00:12:53,449 Suze: that because I remember back in 1983 152 00:12:54,099 --> 00:12:57,890 Suze: I was 32 years of age and I was working for, 153 00:12:57,900 --> 00:13:02,000 Suze: at that time, Prudential Beige as a vice president for them, 154 00:13:02,369 --> 00:13:05,760 Suze: I had left Merrill Lynch and went to Prudential Beige Securities. 155 00:13:06,380 --> 00:13:13,049 Suze: And I remember thinking that these changes really don't have 156 00:13:13,059 --> 00:13:16,799 Suze: a lot to do with me. 32. All right, I 157 00:13:16,809 --> 00:13:19,640 Suze: have years before I'm going to be old enough to 158 00:13:19,650 --> 00:13:23,150 Suze: even be thinking about this or this will affect me. 159 00:13:23,859 --> 00:13:27,609 Suze: The truth of the matter is years pass as you 160 00:13:27,619 --> 00:13:31,719 Suze: age faster and faster, they do not slow down. 161 00:13:32,630 --> 00:13:37,559 Suze: And before you know it, you are not 32 you're 162 00:13:37,570 --> 00:13:41,968 Suze: 42 52 62 72 and so on. 163 00:13:42,900 --> 00:13:47,359 Suze: So when do you start planning for those changes? When 164 00:13:47,369 --> 00:13:52,359 Suze: do you take what's going to happen sometime in your lifetime? 165 00:13:53,169 --> 00:13:58,299 Suze: Seriously? And you plan for those changes right here and 166 00:13:58,309 --> 00:14:02,080 Suze: right now and the time that you do it is 167 00:14:02,090 --> 00:14:08,109 Suze: right here and right now because those changes are absolutely coming. 168 00:14:08,830 --> 00:14:12,489 Suze: So I just want to go over again, a few 169 00:14:12,500 --> 00:14:15,820 Suze: of the proposals that are on the table. We already 170 00:14:15,830 --> 00:14:19,890 Suze: talked about how the full retirement age will be raised 171 00:14:19,900 --> 00:14:22,729 Suze: most likely from 67 to 70. 172 00:14:23,710 --> 00:14:29,169 Suze: Also, on the table is the suspension of spousal and 173 00:14:29,179 --> 00:14:34,530 Suze: children's benefits for high income wage earners. 174 00:14:35,340 --> 00:14:40,520 Suze: Just think about that for a little bit there now. Really? 175 00:14:40,859 --> 00:14:44,270 Suze: It kind of makes sense. You know, I'll never forget 176 00:14:44,280 --> 00:14:48,349 Suze: I was sitting with a celebrity who was older, who 177 00:14:48,359 --> 00:14:53,809 Suze: had married a younger woman and they had three kids 178 00:14:54,150 --> 00:14:55,150 Suze: who were young 179 00:14:55,830 --> 00:15:02,289 Suze: and he was already in his seventies collecting social security. 180 00:15:02,409 --> 00:15:07,039 Suze: And because he was collecting social security, he got a 181 00:15:07,049 --> 00:15:13,070 Suze: children's allowance for all three of his kids. And it 182 00:15:13,080 --> 00:15:15,940 Suze: was for a whole lot of money. And I remember 183 00:15:15,950 --> 00:15:19,690 Suze: thinking to myself, something is radically wrong with this. It 184 00:15:19,700 --> 00:15:23,849 Suze: just is if you're making a lot of money, which 185 00:15:23,859 --> 00:15:24,809 Suze: he was 186 00:15:25,710 --> 00:15:29,570 Suze: here, we are social security kind of going broke, which 187 00:15:29,580 --> 00:15:34,250 Suze: it was and we're paying for his Children to get 188 00:15:34,260 --> 00:15:39,159 Suze: social security benefits. Now, I totally get it. If you 189 00:15:39,169 --> 00:15:42,880 Suze: are a low wage earner, you don't have a lot 190 00:15:42,890 --> 00:15:43,409 Suze: of money. 191 00:15:44,119 --> 00:15:47,390 Suze: But for people with a lot of money, there needs 192 00:15:47,400 --> 00:15:51,880 Suze: to be a differentiation as to what they get in 193 00:15:51,890 --> 00:15:57,169 Suze: totality and having their kids get social security benefits. I 194 00:15:57,179 --> 00:16:00,119 Suze: just don't think that makes a lot of sense given 195 00:16:00,229 --> 00:16:05,010 Suze: the state of the social security coffers. So that is 196 00:16:05,020 --> 00:16:08,099 Suze: something that they are going to be discussing. 197 00:16:08,450 --> 00:16:13,070 Suze: They're also going to be discussing how lower wage earners 198 00:16:13,080 --> 00:16:18,400 Suze: hopefully will be paid a significant percentage amount more than 199 00:16:18,409 --> 00:16:20,669 Suze: they are getting right now. 200 00:16:21,840 --> 00:16:25,659 Suze: So those are just some of the changes that they 201 00:16:25,669 --> 00:16:29,659 Suze: are thinking about. Now. All of that sounds simple enough, 202 00:16:30,260 --> 00:16:35,260 Suze: but probably it's going to be far more complicated, especially 203 00:16:35,270 --> 00:16:39,809 Suze: for those collecting or who want to collect at 62. 204 00:16:40,469 --> 00:16:45,700 Suze: Now, earlier, I said that when full retirement age was 205 00:16:45,710 --> 00:16:55,049 Suze: 65 if you collect it at 62 you got a 20% reduction. Obviously, 206 00:16:55,059 --> 00:17:00,140 Suze: if you collect it at 6364 your reduction was less. 207 00:17:00,320 --> 00:17:04,489 Suze: But if you collect it at 62 the reduction was 208 00:17:04,500 --> 00:17:07,050 Suze: only 20% back then. 209 00:17:08,098 --> 00:17:11,889 Suze: Then what happened is when it went to full social 210 00:17:11,898 --> 00:17:17,588 Suze: security age being 67. If you collect it at 62 211 00:17:17,598 --> 00:17:21,999 Suze: you were born after 1960 you collect at 62 212 00:17:23,050 --> 00:17:25,989 Suze: your reduction was 30%. 213 00:17:27,160 --> 00:17:32,489 Suze: So what happens now when full retirement age goes to 214 00:17:32,500 --> 00:17:37,050 Suze: 70 you want to collect at 62? 215 00:17:38,250 --> 00:17:42,680 Suze: I have absolutely no doubt that the reduction will be 216 00:17:42,689 --> 00:17:47,750 Suze: far greater than 30 per cent, it very probably could 217 00:17:47,760 --> 00:17:51,229 Suze: be 50 or 55 per cent. 218 00:17:52,359 --> 00:17:55,339 Suze: And the reason that I bring this up is that 219 00:17:55,349 --> 00:17:59,540 Suze: really about 30% of all people on social security. I 220 00:17:59,550 --> 00:18:04,109 Suze: think that percentage is correct. They collect at the age 221 00:18:04,119 --> 00:18:09,780 Suze: of 62 and they're collecting at 62 because they seriously 222 00:18:09,790 --> 00:18:13,390 Suze: need the money or otherwise they wouldn't be collecting at 223 00:18:13,400 --> 00:18:16,660 Suze: 62 unless they had a terminal illness. 224 00:18:17,630 --> 00:18:19,930 Suze: So, how is this all going to work out? I'm 225 00:18:19,939 --> 00:18:21,209 Suze: not exactly sure. 226 00:18:21,959 --> 00:18:26,319 Suze: But that is why it's so important that we really 227 00:18:26,329 --> 00:18:29,938 Suze: get on the saving bandwagon. We really get on the 228 00:18:29,949 --> 00:18:34,130 Suze: bandwagon of making sure that why we are younger, why 229 00:18:34,140 --> 00:18:35,889 Suze: we have a choice of what we do with our 230 00:18:35,900 --> 00:18:40,750 Suze: money that we really make sure that we are saving 231 00:18:40,760 --> 00:18:45,800 Suze: it for our retirement years. Because if all of this 232 00:18:45,810 --> 00:18:48,219 Suze: comes to pass and who knows what else can come 233 00:18:48,229 --> 00:18:49,739 Suze: to pass, you 234 00:18:50,270 --> 00:18:53,650 Suze: are going to need that money, especially if you are 235 00:18:53,660 --> 00:18:59,619 Suze: somebody who is dependent on social security. I'm curious on 236 00:18:59,630 --> 00:19:03,089 Suze: what's going to happen to those people who don't want 237 00:19:03,099 --> 00:19:07,169 Suze: to take social security at full retirement age at 70. 238 00:19:07,630 --> 00:19:10,520 Suze: Are they going to be allowed to wait to take 239 00:19:10,530 --> 00:19:12,359 Suze: it till 73? 240 00:19:13,560 --> 00:19:17,050 Suze: And do they get an 8% increase for the years, 241 00:19:17,060 --> 00:19:20,069 Suze: those three years that they wait in the same way 242 00:19:20,079 --> 00:19:21,339 Suze: that we do now? 243 00:19:22,150 --> 00:19:27,209 Suze: So full retirement age is 67. If you wait until 244 00:19:27,219 --> 00:19:33,369 Suze: 70 you get an 8% annual increase in your social 245 00:19:33,380 --> 00:19:37,609 Suze: security benefit, are they going to allow that to happen 246 00:19:37,619 --> 00:19:40,399 Suze: as well? And if they do, 247 00:19:41,089 --> 00:19:45,869 Suze: then we need to do different calculations because what's fascinating 248 00:19:45,880 --> 00:19:50,750 Suze: about what's happening is the life expectancy in the United States. 249 00:19:50,760 --> 00:19:54,650 Suze: For some reason, when they keep calculating it, it seems 250 00:19:54,660 --> 00:19:58,389 Suze: like it is going down rather than up. 251 00:19:58,989 --> 00:20:02,569 Suze: So years from now when this happens, 252 00:20:04,130 --> 00:20:07,629 Suze: I don't know, maybe we don't want to wait until 253 00:20:07,640 --> 00:20:11,300 Suze: three more years to get an additional 8% a year. 254 00:20:11,310 --> 00:20:14,229 Suze: We're just going to have to see. 255 00:20:15,099 --> 00:20:17,849 Suze: So I'm telling you all this and I'm telling you 256 00:20:17,859 --> 00:20:21,839 Suze: the history of social security number one, for you to 257 00:20:21,849 --> 00:20:25,680 Suze: understand that again, in my opinion, they didn't do a 258 00:20:25,689 --> 00:20:27,310 Suze: really good job 259 00:20:28,380 --> 00:20:32,969 Suze: in considering life expectancies. How long somebody was really going 260 00:20:32,979 --> 00:20:37,129 Suze: to be on social security? Remember Ida May, 261 00:20:38,280 --> 00:20:41,659 Suze: they didn't do a really good job in figuring out 262 00:20:41,670 --> 00:20:46,250 Suze: who was going to be paying for social security. Given 263 00:20:46,260 --> 00:20:51,300 Suze: the fact that still a lot of salaries will be 264 00:20:51,310 --> 00:20:56,209 Suze: replaced by artificial intelligence or robots. In my opinion, 265 00:20:57,170 --> 00:21:01,510 Suze: they didn't do a good job in calculating everything to 266 00:21:01,520 --> 00:21:06,729 Suze: keep social security going. So how are they going to 267 00:21:06,739 --> 00:21:09,819 Suze: do it? What are they going to do? 268 00:21:10,540 --> 00:21:13,790 Suze: That is why it is so important in my opinion 269 00:21:14,030 --> 00:21:18,369 Suze: that we all become what I call the ultimate savers 270 00:21:18,380 --> 00:21:19,920 Suze: and investors. 271 00:21:20,819 --> 00:21:24,719 Suze: And I have to say that one of the best 272 00:21:24,729 --> 00:21:26,599 Suze: ways to do that 273 00:21:27,469 --> 00:21:32,880 Suze: is to start saving and investing more at an early 274 00:21:32,890 --> 00:21:35,609 Suze: age than you do even at a later age 275 00:21:36,280 --> 00:21:39,020 Suze: because of compounding 276 00:21:40,219 --> 00:21:45,520 Suze: the key to true financial independence and freedom starts when 277 00:21:45,530 --> 00:21:49,469 Suze: you are in your twenties, when you are in your thirties. 278 00:21:49,869 --> 00:21:55,399 Suze: Because every dollar that you invest gets to earn money. 279 00:21:56,130 --> 00:21:59,909 Suze: Then the earnings of that money gets to earn money. 280 00:22:00,400 --> 00:22:03,389 Suze: And then over all the years, 281 00:22:04,109 --> 00:22:09,449 Suze: your money compounds and you will have more and more money. 282 00:22:10,410 --> 00:22:15,739 Suze: If you wait until you're 40 50 60 you have 283 00:22:15,750 --> 00:22:18,310 Suze: to save so much more money 284 00:22:19,280 --> 00:22:23,229 Suze: than if you had started in your twenties or early thirties. 285 00:22:23,270 --> 00:22:27,229 Suze: I can't even begin to tell you. So you've got 286 00:22:27,239 --> 00:22:28,619 Suze: to take advantage of it. 287 00:22:29,270 --> 00:22:32,089 Suze: So until Thursday 288 00:22:32,849 --> 00:22:36,199 Suze: there's really only one thing I want for you and 289 00:22:36,209 --> 00:22:40,040 Suze: your money and that is for you all to be smart, 290 00:22:40,589 --> 00:22:46,520 Suze: strong and secure. Now you stay safe. See you on Thursday. 291 00:22:46,569 --> 00:22:47,319 Suze: Bye bye.