1 00:00:41,250 --> 00:00:45,430 Suze: August 25th 2024. Welcome everybody to the Women and Money 2 00:00:45,439 --> 00:00:49,990 Suze: podcast as well as everybody smart enough to listen. Today 3 00:00:50,000 --> 00:00:52,589 Suze: is Suzie School usually. 4 00:00:53,500 --> 00:00:58,549 Suze: But today it's a different type of Suze School because 5 00:00:58,560 --> 00:01:01,700 Suze: I want to be able to pass on a lesson 6 00:01:01,709 --> 00:01:04,389 Suze: through a Suze story. 7 00:01:05,110 --> 00:01:10,010 Suze: And it's a story from an email that was sent 8 00:01:10,019 --> 00:01:13,410 Suze: to the Women and Money podcast a few months ago. 9 00:01:13,879 --> 00:01:19,150 Suze: And I think it's important that sometimes we can learn 10 00:01:19,199 --> 00:01:26,809 Suze: from other people's experiences and their experiences in their own words, 11 00:01:26,970 --> 00:01:30,639 Suze: sometimes are more relatable, believe it or not than when 12 00:01:30,650 --> 00:01:34,559 Suze: I just tell you certain things. So we will be 13 00:01:34,569 --> 00:01:39,069 Suze: doing that in a second. However, you have to say 14 00:01:39,080 --> 00:01:41,980 Suze: that this was a fabulous last week in the stock 15 00:01:41,989 --> 00:01:42,550 Suze: market 16 00:01:42,930 --> 00:01:45,988 Suze: and mainly on Friday, you saw the stock market if 17 00:01:46,000 --> 00:01:49,470 Suze: you watch, hopefully you don't. But if you did watch, 18 00:01:49,680 --> 00:01:54,849 Suze: you saw that J Powell, better known as Jerome H Powell, 19 00:01:54,919 --> 00:01:58,449 Suze: the chair of the Federal Reserve, which is the central 20 00:01:58,459 --> 00:02:01,389 Suze: banking system of the United States. You should 21 00:02:01,480 --> 00:02:07,099 Suze: all know that he was in Jackson Hole and Jackson 22 00:02:07,110 --> 00:02:10,179 Suze: Hole is where all these big wigs go and they 23 00:02:10,190 --> 00:02:14,179 Suze: all discuss money and announcements are made that affect the 24 00:02:14,190 --> 00:02:19,889 Suze: entire economy in many cases. And now Jay Powell 25 00:02:20,300 --> 00:02:25,979 Suze: finally for the first time, told everybody that it is 26 00:02:26,059 --> 00:02:30,720 Suze: going to be the time when they're going to start 27 00:02:30,729 --> 00:02:34,830 Suze: actually reducing the fed funds rate. 28 00:02:35,070 --> 00:02:37,758 Suze: And for those of you who may not know the 29 00:02:37,770 --> 00:02:42,038 Suze: fed funds rate is this interest rate that very simply put, 30 00:02:42,050 --> 00:02:46,500 Suze: as it goes down, the interest rates on your credit cards, 31 00:02:46,508 --> 00:02:51,070 Suze: car loans and things like that also go down. But 32 00:02:51,080 --> 00:02:54,809 Suze: what also goes down is the interest rate on your 33 00:02:54,820 --> 00:02:59,410 Suze: savings accounts, treasuries and things like that. 34 00:03:00,008 --> 00:03:04,160 Suze: But that is something that all of us have been 35 00:03:04,169 --> 00:03:07,169 Suze: saying you have to lower interest rates. They've been too 36 00:03:07,179 --> 00:03:12,309 Suze: high for too long. And now he's finally ready with 37 00:03:12,320 --> 00:03:15,860 Suze: his entire committee ready to do it. And the first 38 00:03:15,869 --> 00:03:19,109 Suze: one most likely will be in September. 39 00:03:19,630 --> 00:03:24,130 Suze: So we'll see what happens. But that goes back to 40 00:03:24,210 --> 00:03:29,000 Suze: me telling you, you need to understand that the interest 41 00:03:29,008 --> 00:03:34,169 Suze: rates that you're currently experiencing in short term T bills 42 00:03:34,179 --> 00:03:35,300 Suze: or CDs, 43 00:03:36,074 --> 00:03:40,914 Suze: or money market accounts or funds aren't going to last, 44 00:03:40,925 --> 00:03:44,244 Suze: they are going to go down, which is why I 45 00:03:44,255 --> 00:03:49,014 Suze: have been encouraging you to go longer term and lock 46 00:03:49,024 --> 00:03:53,615 Suze: in those maturities do not go short term. But 47 00:03:54,139 --> 00:03:56,960 Suze: have you listened to me? Some of you have, some 48 00:03:56,970 --> 00:04:00,610 Suze: of you haven't remember me telling you about 30 year 49 00:04:00,619 --> 00:04:05,619 Suze: treasury bonds a while ago and how much I was 50 00:04:05,630 --> 00:04:09,509 Suze: putting into them and there was a time that I 51 00:04:09,520 --> 00:04:12,720 Suze: was putting money in and even though 52 00:04:13,399 --> 00:04:16,890 Suze: I was doing so, interest rates were going against me, 53 00:04:17,190 --> 00:04:21,980 Suze: interest rates were going up versus going down. And as 54 00:04:21,988 --> 00:04:25,099 Suze: you also may know when interest rates go up, the 55 00:04:25,109 --> 00:04:29,019 Suze: value of bonds go down, when interest rates go down, 56 00:04:29,029 --> 00:04:33,730 Suze: the value of bonds go up. And so I just 57 00:04:33,738 --> 00:04:40,500 Suze: started to do it. I did it at 4.1% 4.3% 4.5%. 58 00:04:41,279 --> 00:04:45,239 Suze: And during that time, as interest rates were going up, 59 00:04:45,410 --> 00:04:49,540 Suze: the 30 year bonds, treasury bonds that I had purchased 60 00:04:49,549 --> 00:04:55,510 Suze: were going down and down in value. Well, not only 61 00:04:55,519 --> 00:04:59,368 Suze: are they not down in value anymore, especially the ones 62 00:04:59,380 --> 00:05:02,420 Suze: that I bought at the lower interest rates 63 00:05:03,130 --> 00:05:08,790 Suze: now, they are up considerably. And now I'm making money 64 00:05:08,799 --> 00:05:12,429 Suze: plus I locked in that higher interest rate. 65 00:05:13,589 --> 00:05:18,309 Suze: That's how it works. That's what we have coming towards 66 00:05:18,320 --> 00:05:24,010 Suze: us now. So you have to plan appropriately also. Now 67 00:05:24,019 --> 00:05:27,859 Suze: you'll start to understand why I didn't want you to 68 00:05:27,869 --> 00:05:32,010 Suze: go into series I bonds. And I had suggested 69 00:05:32,738 --> 00:05:36,350 Suze: especially if the interest rates were at 0% the fixed 70 00:05:36,359 --> 00:05:39,579 Suze: ones in your series I bonds that you came out 71 00:05:39,589 --> 00:05:43,558 Suze: of those and you took that money and went into 72 00:05:43,570 --> 00:05:47,839 Suze: longer term bonds. Well, see if you did that or 73 00:05:47,850 --> 00:05:49,440 Suze: you didn't, but that's 74 00:05:49,584 --> 00:05:55,125 Suze: case there in terms of stocks, ETF s everything's going great. 75 00:05:55,225 --> 00:05:58,524 Suze: We'll see what continues to happen here. But remember the 76 00:05:58,535 --> 00:06:06,334 Suze: key to successful investing is absolutely what dollar cost averaging? 77 00:06:06,994 --> 00:06:10,625 Suze: All right. Are you ready to sit back 78 00:06:11,820 --> 00:06:14,040 Suze: and hear a story? 79 00:06:14,769 --> 00:06:19,519 Suze: So yesterday morning, Colo and KT brought me coffee. I 80 00:06:19,529 --> 00:06:23,579 Suze: was still in bed and we were all sitting there because, 81 00:06:23,589 --> 00:06:25,630 Suze: you know, I like to stay in bed in the 82 00:06:25,640 --> 00:06:29,709 Suze: morning because I think, I read the news. That's just 83 00:06:29,720 --> 00:06:34,480 Suze: my time that I gather my financial thoughts and also 84 00:06:34,488 --> 00:06:38,670 Suze: my own personal thoughts for the entire day. 85 00:06:39,410 --> 00:06:42,709 Suze: And so sometimes when they get impatient and I don't 86 00:06:42,720 --> 00:06:45,730 Suze: come out to join them in the kitchen, they come 87 00:06:45,738 --> 00:06:50,010 Suze: to me. And so we were all sitting there and 88 00:06:50,019 --> 00:06:54,070 Suze: I had recently just read the email that I'm going 89 00:06:54,079 --> 00:06:57,890 Suze: to read to you in a second. And I said 90 00:06:57,899 --> 00:07:01,109 Suze: to both KT and Colo, 91 00:07:01,850 --> 00:07:04,570 Suze: can you answer this question for me? 92 00:07:05,988 --> 00:07:10,809 Suze: What is something that you would be willing to give 93 00:07:11,010 --> 00:07:13,089 Suze: up your life for? 94 00:07:14,239 --> 00:07:17,059 Suze: So, I'd like you all to think about that question 95 00:07:17,070 --> 00:07:20,089 Suze: as well. Is there anything in life 96 00:07:21,170 --> 00:07:26,660 Suze: that you would be willing to give up your life for, 97 00:07:27,549 --> 00:07:31,290 Suze: you know, for some people, it's the military and their 98 00:07:31,299 --> 00:07:35,410 Suze: love for the military and everybody who signs up for 99 00:07:35,420 --> 00:07:39,769 Suze: any position in any of the armed forces, they really 100 00:07:39,779 --> 00:07:43,769 Suze: are willing to give up their life to do that. 101 00:07:43,779 --> 00:07:44,040 Suze: And they 102 00:07:44,140 --> 00:07:48,040 Suze: all heroes. And I love them all so much. I 103 00:07:48,049 --> 00:07:51,559 Suze: can't even tell you and admire them because I've worked 104 00:07:51,570 --> 00:07:54,970 Suze: with the armed forces now. All the divisions of them actually, 105 00:07:54,980 --> 00:07:57,209 Suze: except the Coast Guard now that I think about it 106 00:07:57,429 --> 00:08:00,559 Suze: for years and years. And I see 107 00:08:01,339 --> 00:08:07,200 Suze: what they've gone through, especially if you've ever toured Walter 108 00:08:07,209 --> 00:08:09,489 Suze: Reed Hospital and have experienced 109 00:08:10,239 --> 00:08:15,540 Suze: some of their experiences when they come home from the sandbox. Anyway. 110 00:08:16,440 --> 00:08:22,119 Suze: Very, very interesting question. KT immediately said I'd be willing 111 00:08:22,130 --> 00:08:24,059 Suze: to give up my life for you, Suze. 112 00:08:25,029 --> 00:08:28,820 Suze: And I answered back because it's really the only thing 113 00:08:28,829 --> 00:08:31,809 Suze: I'd be willing to give up my life for. That's 114 00:08:31,820 --> 00:08:34,869 Suze: an honest answer. I would give up my life for 115 00:08:34,880 --> 00:08:36,760 Suze: KT in a heartbeat 116 00:08:37,609 --> 00:08:41,068 Suze: because without KT I really wouldn't know how to go 117 00:08:41,078 --> 00:08:44,539 Suze: on right now in life. And that's what happens when 118 00:08:44,549 --> 00:08:48,109 Suze: you lose somebody that you love. You always say, oh, 119 00:08:48,119 --> 00:08:50,748 Suze: I wish it would happen to me rather than them. 120 00:08:51,460 --> 00:08:55,179 Suze: Like the times KT would get hurt, like with, uh 121 00:08:55,190 --> 00:08:57,369 Suze: you know, an injury or something. I was like, oh, 122 00:08:57,380 --> 00:08:59,989 Suze: I wish that had happened to me, not her. And 123 00:09:00,000 --> 00:09:02,080 Suze: I know when I went through what I went through 124 00:09:02,090 --> 00:09:05,679 Suze: with my neck, KT would say, oh, Suze, I wish 125 00:09:05,690 --> 00:09:07,640 Suze: that happened to me and not you. 126 00:09:08,729 --> 00:09:11,229 Suze: And then it was Colo's turn 127 00:09:12,260 --> 00:09:17,650 Suze: and Colo said something very interesting that actually relates to 128 00:09:17,659 --> 00:09:23,729 Suze: the email that I'm about to read you. And he said, well, 129 00:09:23,739 --> 00:09:27,409 Suze: I would absolutely give up my life for my Children, Suze. 130 00:09:27,929 --> 00:09:30,809 Suze: There isn't a parent out there 131 00:09:31,510 --> 00:09:37,848 Suze: that won't give up their lives to save their Children. 132 00:09:38,260 --> 00:09:40,459 Suze: And if that's what it would take to do that, 133 00:09:40,469 --> 00:09:42,109 Suze: I would do that, Suze. 134 00:09:43,000 --> 00:09:47,608 Suze: And I went fascinating Colo that you said that. 135 00:09:48,530 --> 00:09:53,090 Suze: Now you're about to hear the Suze story that I 136 00:09:53,099 --> 00:09:56,440 Suze: was planning to read to all of you. But I'm 137 00:09:56,450 --> 00:10:02,229 Suze: really planning to read it now, after Colo answered that question, 138 00:10:02,929 --> 00:10:07,669 Suze: but isn't it a fascinating question? How would you answer that? 139 00:10:08,359 --> 00:10:13,099 Suze: Is there anything or anybody that you would give up 140 00:10:13,109 --> 00:10:15,820 Suze: your life for? OK. 141 00:10:16,710 --> 00:10:17,650 Suze: Are we ready? 142 00:10:18,440 --> 00:10:20,530 Suze: This is from Peter. 143 00:10:21,549 --> 00:10:24,489 Suze: I'm just going to use his first name. All right, 144 00:10:24,500 --> 00:10:28,010 Suze: which he said, OK, he also said to me because 145 00:10:28,020 --> 00:10:31,929 Suze: as many of you know that when you write in emails, 146 00:10:31,940 --> 00:10:37,199 Suze: I do read them, many of them seriously touch my heart. 147 00:10:37,460 --> 00:10:39,988 Suze: And a lot of times I will ask you for 148 00:10:40,000 --> 00:10:43,609 Suze: your phone number and I will call you or I 149 00:10:43,619 --> 00:10:48,650 Suze: will write you back. So everything is in writing again. 150 00:10:49,020 --> 00:10:51,130 Suze: If you ever want to send in a question, 151 00:10:51,609 --> 00:10:55,770 Suze: you can do so to ask Suze Suze podcast at 152 00:10:55,780 --> 00:10:57,069 Suze: gmail.com 153 00:10:57,750 --> 00:11:01,419 Suze: and make it short. Otherwise KT will not pick it. 154 00:11:01,690 --> 00:11:06,169 Suze: But if it is chosen, it will be answered on 155 00:11:06,349 --> 00:11:10,280 Suze: the podcast here. You know, we drop Suze School every 156 00:11:10,289 --> 00:11:14,130 Suze: Sunday and we drop KT and Suze ask us anything 157 00:11:14,140 --> 00:11:18,460 Suze: on Thursdays. So you can always do that. But again, 158 00:11:18,710 --> 00:11:23,049 Suze: you just never know when you will hear from me directly. 159 00:11:23,659 --> 00:11:27,770 Suze: But Peter did say that it was ok if I 160 00:11:27,780 --> 00:11:34,319 Suze: read this to everybody, especially if other people can learn 161 00:11:34,330 --> 00:11:35,119 Suze: from it. 162 00:11:36,229 --> 00:11:40,250 Suze: Are you ready? Sit down and listen closely? 163 00:11:41,380 --> 00:11:46,869 Suze: Peter says, Suze, I've been listening to your podcast for 164 00:11:46,880 --> 00:11:52,579 Suze: the past nine months after my wife of 40 years, 165 00:11:52,590 --> 00:11:55,549 Suze: sadly passed away from pneumonia. 166 00:11:56,190 --> 00:12:00,710 Suze: She was great one day then gone a few weeks later. 167 00:12:01,349 --> 00:12:05,929 Suze: I am 72 and I had recently retired before she 168 00:12:05,940 --> 00:12:11,289 Suze: passed away thinking my retirement would look much different than 169 00:12:11,299 --> 00:12:12,369 Suze: it turned out. 170 00:12:13,450 --> 00:12:18,010 Suze: I was suddenly thrown into dealing with financial matters that 171 00:12:18,020 --> 00:12:22,580 Suze: I wasn't involved in before as she always handled our 172 00:12:22,590 --> 00:12:27,669 Suze: investments and everything. Sadly, I was one of those men 173 00:12:27,679 --> 00:12:31,799 Suze: who just came home, handed over my paycheck to my 174 00:12:31,809 --> 00:12:35,750 Suze: wife and I just didn't want to deal with it 175 00:12:36,070 --> 00:12:37,429 Suze: any of it. 176 00:12:38,309 --> 00:12:41,000 Suze: Your show has helped me tremendously. 177 00:12:41,789 --> 00:12:46,330 Suze: I started listening to it because my wife listened to 178 00:12:46,340 --> 00:12:47,770 Suze: it all the time, 179 00:12:48,909 --> 00:12:51,070 Suze: but I didn't think I needed to. 180 00:12:51,739 --> 00:12:55,280 Suze: But now I have learned a ton from you. 181 00:12:56,000 --> 00:13:00,799 Suze: I'm emailing you now with a complex and emotional situation. 182 00:13:01,400 --> 00:13:05,940 Suze: My wife was 69 when she died and her father 183 00:13:05,950 --> 00:13:11,869 Suze: outlived her. She was the executor of his estate. And 184 00:13:11,880 --> 00:13:16,460 Suze: that role then passed on to her brother. After her death, 185 00:13:17,010 --> 00:13:21,770 Suze: she wasn't aware that according to her father's will and 186 00:13:21,780 --> 00:13:22,579 Suze: trust 187 00:13:23,169 --> 00:13:27,630 Suze: her inheritance upon her death would pass on to our 188 00:13:27,640 --> 00:13:30,549 Suze: two sons who are in their forties. 189 00:13:31,309 --> 00:13:34,260 Suze: Not to me as her spouse. 190 00:13:35,010 --> 00:13:38,280 Suze: At least I don't think she knew that for, she 191 00:13:38,289 --> 00:13:43,219 Suze: was incapacitated for about three weeks before she passed. So 192 00:13:43,229 --> 00:13:47,400 Suze: when I found this out, during that time, I couldn't 193 00:13:47,409 --> 00:13:48,260 Suze: ask her 194 00:13:48,919 --> 00:13:53,820 Suze: after she died, my brother in law would not change 195 00:13:53,830 --> 00:13:57,960 Suze: anything with the will or trust. And my father in 196 00:13:57,969 --> 00:14:01,900 Suze: law had memory issues. So I didn't want to rock 197 00:14:01,909 --> 00:14:05,460 Suze: the boat with the family. I let it go knowing 198 00:14:05,469 --> 00:14:08,140 Suze: my sons would take care of me. 199 00:14:08,940 --> 00:14:14,179 Suze: Just recently. My father in law passed away at 97 200 00:14:14,260 --> 00:14:18,280 Suze: just like your mom, Suze. He was an amazing man 201 00:14:18,679 --> 00:14:23,500 Suze: and we had a close relationship. My question is that 202 00:14:23,510 --> 00:14:26,270 Suze: I need your advice on how to find a fair 203 00:14:26,280 --> 00:14:30,640 Suze: way for my sons to give me some of that inheritance. 204 00:14:30,650 --> 00:14:33,200 Suze: So I have enough money to live on 205 00:14:33,570 --> 00:14:37,030 Suze: as my wife and I were always counting on her 206 00:14:37,039 --> 00:14:43,369 Suze: father's inheritance money for our retirement. And our kids knew 207 00:14:43,380 --> 00:14:43,909 Suze: that 208 00:14:44,760 --> 00:14:48,739 Suze: I own my home, not outright. I have a mortgage 209 00:14:49,390 --> 00:14:53,020 Suze: and I have my wife's life insurance policy that I 210 00:14:53,030 --> 00:14:57,859 Suze: have invested in T bills along with a small 401k 211 00:14:57,869 --> 00:15:01,780 Suze: and savings account. I don't think I have enough money 212 00:15:01,789 --> 00:15:02,739 Suze: to live on 213 00:15:03,630 --> 00:15:08,549 Suze: So I'll need some of that inheritance that my kids 214 00:15:08,559 --> 00:15:16,650 Suze: are set to receive. It could be about $1.5 million 215 00:15:17,099 --> 00:15:20,760 Suze: which would have been my wife's share if she hadn't 216 00:15:20,770 --> 00:15:24,320 Suze: died before her father. 217 00:15:25,359 --> 00:15:30,739 Suze: So even though I was going to inherit that, now 218 00:15:30,750 --> 00:15:36,340 Suze: my two sons will inherit it. The boys feel bad 219 00:15:36,349 --> 00:15:40,719 Suze: that this is the situation. They totally understand what happened 220 00:15:40,840 --> 00:15:43,859 Suze: and they plan to give me most of it knowing 221 00:15:43,869 --> 00:15:46,260 Suze: it will eventually be passed on to them. 222 00:15:46,950 --> 00:15:50,929 Suze: Then there's tax implications of them giving me the money 223 00:15:50,979 --> 00:15:54,969 Suze: and how that will impact things. My only source of 224 00:15:54,979 --> 00:16:00,690 Suze: income is social security and the interest that I'm getting 225 00:16:00,700 --> 00:16:05,760 Suze: from my investments. I know this is a long email 226 00:16:05,770 --> 00:16:09,330 Suze: but it's a complex situation. I hope you will read 227 00:16:09,340 --> 00:16:12,969 Suze: it and email me back. Thank you. One of the 228 00:16:12,979 --> 00:16:16,049 Suze: men smart enough to listen. 229 00:16:17,219 --> 00:16:20,500 Suze: All right, obviously this was an email that came in 230 00:16:20,510 --> 00:16:25,840 Suze: months ago and I answered Peter almost immediately 231 00:16:26,559 --> 00:16:31,679 Suze: and I gave Peter three suggestions of what I would 232 00:16:31,690 --> 00:16:36,020 Suze: do if I was in his situation. 233 00:16:36,780 --> 00:16:40,799 Suze: And the first one would be sit the boys down, 234 00:16:41,789 --> 00:16:46,539 Suze: talk to them, tell them that what would be fabulous 235 00:16:46,549 --> 00:16:52,830 Suze: because Peter only owed about $400,000 on his mortgage on 236 00:16:52,840 --> 00:16:59,260 Suze: a house that was worth $900,000 to simply each give 237 00:16:59,270 --> 00:17:05,459 Suze: him $200,000 from their money if they did inherit 1.5 million, 238 00:17:05,469 --> 00:17:07,900 Suze: which by the way is what they ended up inheriting 239 00:17:08,578 --> 00:17:12,968 Suze: and then Peter would own the house outright and be 240 00:17:12,979 --> 00:17:17,639 Suze: able to afford everything because of how much the expenses 241 00:17:17,648 --> 00:17:20,677 Suze: would go down because of the mortgage. Ok. 242 00:17:21,660 --> 00:17:25,640 Suze: That was one suggestion. Second suggestion, if they didn't want 243 00:17:25,650 --> 00:17:30,040 Suze: to go for, that was to give Peter maybe two 244 00:17:30,050 --> 00:17:34,560 Suze: or 3000, whatever that he needed to live on monthly. 245 00:17:35,530 --> 00:17:39,869 Suze: And third suggestion was for Peter. Well, to just sell 246 00:17:39,880 --> 00:17:45,790 Suze: the house downsize, cut your expenses and things like that. 247 00:17:46,459 --> 00:17:50,719 Suze: And Peter liked all three of those suggestions, but essentially 248 00:17:50,729 --> 00:17:53,599 Suze: was saying to me, the kids understand they're going to 249 00:17:53,609 --> 00:17:57,439 Suze: help me. So let's see what is best for them. 250 00:17:57,449 --> 00:18:02,900 Suze: Of course, a parent saying what is best for them 251 00:18:02,910 --> 00:18:05,619 Suze: versus everybody take a note of this... 252 00:18:06,270 --> 00:18:11,800 Suze: What is best for me, Peter... me who just lost 253 00:18:11,810 --> 00:18:16,179 Suze: my wife a few months ago, who is grieving, who 254 00:18:16,189 --> 00:18:20,380 Suze: doesn't know what to do, who has retired, who needs 255 00:18:20,390 --> 00:18:22,900 Suze: help at this point in time. 256 00:18:23,699 --> 00:18:28,599 Suze: Recently, I just got another email from Peter 257 00:18:29,569 --> 00:18:33,589 Suze: and here we go and listen to this closely now. 258 00:18:34,689 --> 00:18:37,520 Suze: Thank you so much for taking the time and writing 259 00:18:37,530 --> 00:18:41,530 Suze: me back with what you thought I should do. Well, 260 00:18:41,540 --> 00:18:45,079 Suze: it didn't quite go as planned. So I thought I'd 261 00:18:45,089 --> 00:18:49,040 Suze: give you an update. Oh, so messy and complicated. 262 00:18:50,089 --> 00:18:57,170 Suze: Each kid did end up getting $750,000. So again, everybody 263 00:18:57,180 --> 00:19:02,760 Suze: that's a total of 1.5 million that Peter was expecting 264 00:19:02,770 --> 00:19:05,739 Suze: to inherit. Ok. All right. 265 00:19:06,969 --> 00:19:10,770 Suze: Your first suggestion, as you may remember was for them 266 00:19:10,780 --> 00:19:14,449 Suze: to pay off the mortgage, which would be 200,000 from 267 00:19:14,459 --> 00:19:19,750 Suze: each of them, which would still leave them with $550,000. 268 00:19:20,339 --> 00:19:25,040 Suze: But now that the money is in their accounts, they 269 00:19:25,050 --> 00:19:27,129 Suze: don't want to do that. 270 00:19:27,969 --> 00:19:30,619 Suze: Unbelievable, as you would say. 271 00:19:31,369 --> 00:19:35,839 Suze: Your next suggestion was each kid give me a monthly 272 00:19:35,849 --> 00:19:38,489 Suze: allowance to help me cover my expenses. 273 00:19:39,250 --> 00:19:46,109 Suze: Well, I did a budget and showed the boys monthly expenses, income, assets, 274 00:19:46,119 --> 00:19:49,829 Suze: social security at $2000 a month, et cetera. 275 00:19:50,510 --> 00:19:56,339 Suze: My monthly expenses are around 6000 and needed just 2000 276 00:19:56,349 --> 00:20:00,319 Suze: from each of them. One son is being kind of 277 00:20:00,329 --> 00:20:05,250 Suze: difficult and doesn't want to pay me $2000 a month 278 00:20:05,260 --> 00:20:11,089 Suze: from his inheritance. Really? Everybody. Really? All right. Anyway, he 279 00:20:11,099 --> 00:20:14,369 Suze: thinks I just need to be more aggressive with my 280 00:20:14,380 --> 00:20:17,448 Suze: investments and I would be ok 281 00:20:17,969 --> 00:20:22,650 Suze: right now most of my money is in conservative investment, Suze, 282 00:20:23,130 --> 00:20:28,180 Suze: T bills, high yield savings and a rollover IRA. But 283 00:20:28,189 --> 00:20:30,099 Suze: with interest rates going down, 284 00:20:30,380 --> 00:20:35,199 Suze: I'm afraid my little income will also go down as 285 00:20:35,209 --> 00:20:39,880 Suze: you know, I'm afraid and can't afford to lose one penny. 286 00:20:40,150 --> 00:20:43,439 Suze: My other son, thank God is willing and wants to 287 00:20:43,449 --> 00:20:47,550 Suze: help but isn't confident about what to do with his 288 00:20:47,560 --> 00:20:51,349 Suze: share for. He may want to buy a home, he 289 00:20:51,359 --> 00:20:55,180 Suze: wants to invest it. So he wants to wait to 290 00:20:55,239 --> 00:20:57,270 Suze: touch a penny of it, 291 00:20:57,920 --> 00:21:01,959 Suze: Suze. It's getting stressful for all three of us. But 292 00:21:01,969 --> 00:21:06,479 Suze: given that I have no say in anything, it's most 293 00:21:06,489 --> 00:21:08,949 Suze: stressful on me. 294 00:21:09,609 --> 00:21:12,349 Suze: I don't want to have a bad relationship with either 295 00:21:12,359 --> 00:21:15,589 Suze: of my sons and be a burden. So now I 296 00:21:15,599 --> 00:21:19,030 Suze: am wondering if I should go back to your third 297 00:21:19,040 --> 00:21:23,400 Suze: suggestion of selling my house and living off the equity 298 00:21:23,410 --> 00:21:27,910 Suze: and renting some place. Now, listen to how the tone 299 00:21:27,920 --> 00:21:30,989 Suze: of this email, everybody starts to change. 300 00:21:31,670 --> 00:21:36,670 Suze: Then they can just keep their God damn money that 301 00:21:36,680 --> 00:21:39,889 Suze: should have gone to me in the first place. But 302 00:21:39,900 --> 00:21:44,280 Suze: life is in fear. Sorry. But I am somewhat resentful 303 00:21:44,290 --> 00:21:48,770 Suze: and mad at my wife for not planning better. What 304 00:21:48,780 --> 00:21:51,910 Suze: was she thinking? She knew she was going to get 305 00:21:51,920 --> 00:21:55,849 Suze: this inheritance and that would secure both our futures forever. 306 00:21:56,369 --> 00:22:00,229 Suze: But as many times as she said, she was going 307 00:22:00,239 --> 00:22:03,189 Suze: to take a look at her dad's will and trust 308 00:22:03,199 --> 00:22:06,969 Suze: and make sure I was protected if she did die 309 00:22:06,979 --> 00:22:10,510 Suze: before her dad. She just never got around to it. 310 00:22:10,520 --> 00:22:13,630 Suze: At least if she had done that, I wouldn't be 311 00:22:13,640 --> 00:22:17,550 Suze: begging my sons to help me. So not only am 312 00:22:17,560 --> 00:22:20,949 Suze: I angry at my wife that I love and adore 313 00:22:20,959 --> 00:22:23,459 Suze: and I miss more than you have any idea, 314 00:22:24,040 --> 00:22:27,939 Suze: but I'm angry at myself for not being proactive and 315 00:22:27,949 --> 00:22:32,339 Suze: engaged in all of it before it was too late. 316 00:22:33,459 --> 00:22:36,479 Suze: Everybody take note of what I just said, 317 00:22:37,439 --> 00:22:41,159 Suze: are you engaged? Have you taken the actions you need 318 00:22:41,170 --> 00:22:45,540 Suze: to take? Are you just assuming that because somebody is 319 00:22:45,550 --> 00:22:48,439 Suze: older than you, a parent, whatever that they are going 320 00:22:48,449 --> 00:22:52,479 Suze: to die before you? Have you had discussions with them 321 00:22:52,489 --> 00:22:55,819 Suze: about money, who it goes to how it gets passed down? 322 00:22:56,359 --> 00:22:57,099 Suze: Have you? 323 00:22:58,189 --> 00:22:59,770 Suze: Now, I will continue. 324 00:23:00,449 --> 00:23:07,708 Suze: But worse, Peter says I'm heartbroken over my sons, sons 325 00:23:07,719 --> 00:23:11,469 Suze: that I would have given up my life for if 326 00:23:11,479 --> 00:23:13,979 Suze: it could save them in any way. 327 00:23:14,890 --> 00:23:17,510 Suze: And I thought I was so close to my sons. 328 00:23:17,520 --> 00:23:20,869 Suze: I thought that they were my best friends. You say 329 00:23:20,880 --> 00:23:25,629 Suze: people first then money. Well, my sons obviously care more 330 00:23:25,640 --> 00:23:30,060 Suze: about money than me. I feel so lonely and afraid 331 00:23:30,260 --> 00:23:33,228 Suze: and as a man that is so hard for me 332 00:23:33,239 --> 00:23:35,709 Suze: to admit to anyone but you 333 00:23:36,540 --> 00:23:40,239 Suze: sorry, I guess I am ranting now. Just wanted to 334 00:23:40,250 --> 00:23:45,040 Suze: see if you had any thoughts. Thank you in advance Peter. 335 00:23:47,109 --> 00:23:47,849 Suze: Mhm. 336 00:23:49,569 --> 00:23:50,030 Suze: Yeah. 337 00:23:52,420 --> 00:23:54,890 Suze: Do you understand why I read that letter? 338 00:23:55,650 --> 00:24:00,180 Suze: Do you understand the importance of especially if you are 339 00:24:00,189 --> 00:24:01,430 Suze: in a relationship 340 00:24:02,250 --> 00:24:06,649 Suze: that you take the time to talk to all family 341 00:24:06,660 --> 00:24:11,349 Suze: members and make sure that everything is set up exactly 342 00:24:11,369 --> 00:24:13,159 Suze: the way that it should be. 343 00:24:13,900 --> 00:24:18,229 Suze: You should check the beneficiaries on all your retirement accounts. 344 00:24:18,930 --> 00:24:22,229 Suze: You should check and have the courage to speak to 345 00:24:22,239 --> 00:24:28,750 Suze: your elderly parents or in laws about how their assets are, 346 00:24:28,760 --> 00:24:33,890 Suze: set up, what their wishes are and make plans that 347 00:24:33,900 --> 00:24:37,139 Suze: if one of you was to die before them, how 348 00:24:37,150 --> 00:24:39,750 Suze: is it going to work and discuss it as a 349 00:24:39,760 --> 00:24:40,869 Suze: family 350 00:24:41,280 --> 00:24:46,380 Suze: to talk to the kids, to talk to them about? 351 00:24:46,410 --> 00:24:51,680 Suze: If anything happens, you have to promise me, mommy talking 352 00:24:51,689 --> 00:24:53,810 Suze: to these sons, you have to promise me, you are 353 00:24:53,819 --> 00:24:57,479 Suze: going to take care of your father. You promise me 354 00:24:57,489 --> 00:25:01,020 Suze: right here and right now don't just take their word 355 00:25:01,030 --> 00:25:03,979 Suze: for it, do a contract that they have to sign 356 00:25:04,270 --> 00:25:08,119 Suze: so they could see before they inherit, especially a large 357 00:25:08,130 --> 00:25:09,020 Suze: sum of money. 358 00:25:09,599 --> 00:25:12,949 Suze: What they said when they were in a state of 359 00:25:12,959 --> 00:25:16,709 Suze: love versus a state of greed. 360 00:25:18,069 --> 00:25:22,060 Suze: There are so many things that you need to take 361 00:25:22,069 --> 00:25:25,879 Suze: care of more than just watching your assets going up, 362 00:25:25,890 --> 00:25:29,069 Suze: going down this stock, that stock should you sell this 363 00:25:29,079 --> 00:25:30,609 Suze: ETF what should you do? 364 00:25:31,680 --> 00:25:34,209 Suze: It's these things in life 365 00:25:35,010 --> 00:25:39,650 Suze: that you, if you do not take care of in 366 00:25:39,660 --> 00:25:45,069 Suze: a very strange way, you are giving up your own life, 367 00:25:46,030 --> 00:25:52,130 Suze: your own security, your own comfort, so to speak in 368 00:25:52,140 --> 00:25:57,410 Suze: your later years, like Peter now is doing so, Peter 369 00:25:57,420 --> 00:26:02,369 Suze: obviously is going to have to most likely sell the 370 00:26:02,380 --> 00:26:07,489 Suze: house move. He didn't want to do that right. But 371 00:26:07,500 --> 00:26:11,410 Suze: he's going to now have to make hard decisions because 372 00:26:11,420 --> 00:26:15,150 Suze: he has now just learned he actually can't count 373 00:26:15,939 --> 00:26:16,650 Suze: on 374 00:26:17,310 --> 00:26:22,479 Suze: his sons. But he at least another suggestion was ok 375 00:26:22,859 --> 00:26:25,560 Suze: even though your sons may not end up giving you 376 00:26:25,569 --> 00:26:30,989 Suze: any money. The question becomes, who is the beneficiary of 377 00:26:31,000 --> 00:26:35,439 Suze: this money? If something happens to your sons, Peter, 378 00:26:36,349 --> 00:26:40,550 Suze: so become the beneficiary of a pay on death account, 379 00:26:40,560 --> 00:26:44,199 Suze: wherever their assets may happen to be. So that if 380 00:26:44,209 --> 00:26:47,369 Suze: something happens to one of them, they're in a car accident, 381 00:26:47,380 --> 00:26:48,810 Suze: who knows what can happen? 382 00:26:49,439 --> 00:26:54,619 Suze: That money comes to you just do not make the mistake, 383 00:26:54,630 --> 00:26:58,109 Suze: Peter and take it for granted again, that you're gonna 384 00:26:58,119 --> 00:27:00,819 Suze: die before these kids. However, 385 00:27:01,489 --> 00:27:05,069 Suze: now you have to put yourself in a situation where 386 00:27:05,079 --> 00:27:08,909 Suze: you can take care of yourself financially. You can afford 387 00:27:08,920 --> 00:27:12,909 Suze: your lifestyle financially and that you don't have to ask 388 00:27:12,920 --> 00:27:18,430 Suze: anybody including your Children for money and maybe later on 389 00:27:18,719 --> 00:27:21,729 Suze: out of the goodness of their hearts, they will do 390 00:27:21,739 --> 00:27:26,550 Suze: what's right versus what's easy and take care of their 391 00:27:26,560 --> 00:27:29,579 Suze: father just that simple. 392 00:27:30,459 --> 00:27:33,040 Suze: So all of you right now 393 00:27:34,189 --> 00:27:41,010 Suze: need to really decide to make sure that everything is 394 00:27:41,020 --> 00:27:43,290 Suze: set up the way that it should be set up 395 00:27:43,300 --> 00:27:46,930 Suze: for every single possible situation 396 00:27:47,699 --> 00:27:50,719 Suze: that could happen in your life. 397 00:27:51,609 --> 00:27:57,020 Suze: All right. And that brings me to the end of 398 00:27:57,030 --> 00:28:01,420 Suze: this Suze story. You know, in a very strange way, 399 00:28:02,300 --> 00:28:06,170 Suze: I have not given up my life, but I have 400 00:28:06,180 --> 00:28:14,280 Suze: dedicated the past 43 years of my life to making 401 00:28:14,290 --> 00:28:16,609 Suze: sure that every single one of you 402 00:28:17,829 --> 00:28:23,650 Suze: takes actions today to protect your tomorrows. So I can 403 00:28:23,660 --> 00:28:29,729 Suze: only hope things like this little Suze story really drives home. 404 00:28:29,739 --> 00:28:34,489 Suze: What I've been saying now for all those years, people first, 405 00:28:34,609 --> 00:28:39,900 Suze: then money, then things and if you really do that 406 00:28:39,910 --> 00:28:43,719 Suze: and make sure that everybody else who has anything to 407 00:28:43,729 --> 00:28:46,849 Suze: do with your money is doing that, 408 00:28:48,069 --> 00:28:52,209 Suze: then you will be unstoppable.