1 00:00:08,520 --> 00:00:12,719 S1: Finding financial freedom isn't ultimately about getting more. It's about 2 00:00:12,720 --> 00:00:15,800 S1: learning to trust God with what you already have. Hi, 3 00:00:15,800 --> 00:00:18,560 S1: I'm Rob West. When it comes to money, we often 4 00:00:18,560 --> 00:00:21,880 S1: focus on strategies and tools, but the true path to 5 00:00:21,920 --> 00:00:25,560 S1: freedom starts much deeper in the heart. Today, Ron Blue 6 00:00:25,560 --> 00:00:28,760 S1: joins us to share how aligning our finances with God's 7 00:00:28,760 --> 00:00:32,400 S1: wisdom can bring lasting peace and clarity. And then it's 8 00:00:32,440 --> 00:00:36,320 S1: on to your phone calls at 800 525 7000. That's 9 00:00:36,320 --> 00:00:41,680 S1: 800 525 7000. This is faith in finance. Live. Biblical 10 00:00:41,680 --> 00:00:46,559 S1: wisdom for your financial journey. Well, our guest today is 11 00:00:46,560 --> 00:00:49,919 S1: my friend Ron Blue. He's co-founder of Kingdom Advisors and 12 00:00:49,920 --> 00:00:54,000 S1: a leading pioneer in modern biblical financial stewardship. For more 13 00:00:54,000 --> 00:00:57,880 S1: than five decades, his books, Teaching and leadership have helped 14 00:00:57,880 --> 00:01:02,200 S1: shape how countless individuals and families approach money with wisdom 15 00:01:02,200 --> 00:01:04,520 S1: and faith. And Ron, it is always a joy to 16 00:01:04,560 --> 00:01:05,199 S1: have you here. 17 00:01:05,240 --> 00:01:07,600 S2: Well, thanks Rob. It's always good to be with you. 18 00:01:08,040 --> 00:01:10,720 S1: Ron. As we get started, you often remind us that 19 00:01:10,720 --> 00:01:15,360 S1: true financial freedom begins with surrender, not strategy. So help 20 00:01:15,360 --> 00:01:17,280 S1: us understand what you mean by that. 21 00:01:17,319 --> 00:01:20,520 S2: Well, you know, all behavior ultimately flows out of a 22 00:01:20,520 --> 00:01:25,040 S2: belief system. So, um, if we recognize that God owns 23 00:01:25,040 --> 00:01:28,400 S2: it all as a belief and as a practice, that 24 00:01:28,400 --> 00:01:32,240 S2: perspective changes every financial decision, because now you're dealing with 25 00:01:32,240 --> 00:01:37,240 S2: his resources and not your resources, and surrender removes that 26 00:01:37,240 --> 00:01:41,000 S2: pressure to perform or control outcomes. I often tell people, 27 00:01:41,280 --> 00:01:44,040 S2: you know, if God owns it all, you can't lose anything. 28 00:01:44,360 --> 00:01:47,400 S2: You you've already given it to him. So it should 29 00:01:47,880 --> 00:01:52,520 S2: eliminate some of the fear and invite peace. Because we 30 00:01:52,520 --> 00:01:56,080 S2: know that if God is the owner, he's also the provider. 31 00:01:56,640 --> 00:01:59,510 S2: And it turns money from a fear based issue into 32 00:01:59,550 --> 00:02:02,070 S2: really a faith based issue. God, what would you have 33 00:02:02,070 --> 00:02:03,670 S2: me to do with your resources? 34 00:02:03,830 --> 00:02:06,950 S1: Wow, that is well said. You know, you've walked countless 35 00:02:06,950 --> 00:02:10,510 S1: people through their financial journeys, Ron, and I've always appreciated 36 00:02:10,510 --> 00:02:14,350 S1: how you've led with principles in your teaching, and it 37 00:02:14,350 --> 00:02:17,630 S1: really just simplifies money issues. But what is it about 38 00:02:17,630 --> 00:02:21,549 S1: money that leads so many of us to overcomplicate this issue? 39 00:02:21,830 --> 00:02:24,269 S2: Well, I think when we think about money, we think 40 00:02:24,630 --> 00:02:28,549 S2: about knowledge instead of what we really should think about. 41 00:02:28,550 --> 00:02:33,990 S2: And that is wisdom. And so we confuse wisdom and knowledge, uh, 42 00:02:33,990 --> 00:02:36,430 S2: thinking that if I have the knowledge, I'm acting with wisdom. 43 00:02:36,430 --> 00:02:41,070 S2: And that's not necessarily the case. Scripture gives us really 44 00:02:41,070 --> 00:02:45,830 S2: simple universal principles, and principles never change. So when you 45 00:02:45,830 --> 00:02:51,070 S2: practice principle based decision making, you're practicing something that will 46 00:02:51,070 --> 00:02:56,070 S2: not change with time. And it also simplifies everything and 47 00:02:56,230 --> 00:03:01,630 S2: can remove that fear that we so often experience, and 48 00:03:01,630 --> 00:03:05,550 S2: it really gives us confidence. It gives us freedom. It 49 00:03:05,550 --> 00:03:09,269 S2: gives us peace of heart and mind. When we understand 50 00:03:09,270 --> 00:03:12,870 S2: God owns it all. So that's a pretty important decision 51 00:03:12,870 --> 00:03:15,910 S2: to make. And it's a faith based decision and not 52 00:03:16,430 --> 00:03:17,989 S2: a knowledge based decision. 53 00:03:18,270 --> 00:03:21,269 S1: Yeah, that really is the beginning point for everything. Ron, 54 00:03:21,270 --> 00:03:24,910 S1: you mentioned fear. How does fear influence the financial choices 55 00:03:24,910 --> 00:03:25,510 S1: we make? 56 00:03:25,870 --> 00:03:28,389 S2: Well, I think everybody has the question, Will I ever 57 00:03:28,389 --> 00:03:30,830 S2: have enough? And if I do, will it continue to 58 00:03:30,830 --> 00:03:35,870 S2: be enough? And that's really kind of a fear based, uh, thought. Uh, 59 00:03:36,230 --> 00:03:39,070 S2: and the Lord says, be content with what you have. 60 00:03:39,510 --> 00:03:42,790 S2: But fear causes us to focus on what we don't 61 00:03:42,790 --> 00:03:46,670 S2: have instead of what God has provided. And it, uh, 62 00:03:46,670 --> 00:03:51,630 S2: fear leads to paralysis and leads to impulsive decisions. And 63 00:03:51,630 --> 00:03:57,110 S2: it's a real misunderstanding of who God is. Matthew 633 says, 64 00:03:57,150 --> 00:03:59,710 S2: seek first the kingdom of God and His righteousness, and 65 00:03:59,710 --> 00:04:01,510 S2: then all these things will be added to you. And 66 00:04:01,510 --> 00:04:06,030 S2: if you read above that in that passage, food, clothing, shelter, 67 00:04:06,030 --> 00:04:11,030 S2: everything that we need, God will provide. And we trust him. 68 00:04:11,030 --> 00:04:14,550 S2: And as we trust him in our giving and our 69 00:04:14,550 --> 00:04:19,110 S2: saving and in our spending, uh, we grow in a 70 00:04:19,110 --> 00:04:23,590 S2: sense of confidence because we we're confident in an omnipotent, 71 00:04:23,589 --> 00:04:25,430 S2: mighty God. 72 00:04:26,150 --> 00:04:29,150 S1: We've got just about 30s left. You mentioned giving. How 73 00:04:29,150 --> 00:04:32,710 S1: does a lifestyle of giving help lead us into financial freedom? 74 00:04:33,150 --> 00:04:37,070 S2: Well, uh, the way I illustrated is with an open hand. 75 00:04:37,350 --> 00:04:40,110 S2: If I hold everything with an open hand, allowing God 76 00:04:40,110 --> 00:04:42,270 S2: to put in what he wants to put in and 77 00:04:42,270 --> 00:04:45,310 S2: take out what he wants to take out. Uh, that 78 00:04:45,310 --> 00:04:50,590 S2: is the key to financial peace of mind. And my experience, Rob, 79 00:04:50,589 --> 00:04:52,990 S2: is that the only way to break the power of 80 00:04:52,990 --> 00:04:57,230 S2: money is to give. It's an unnatural thing to give, 81 00:04:57,270 --> 00:05:00,270 S2: but when we do, we're saying, God, I trust you 82 00:05:00,270 --> 00:05:04,230 S2: with what you've provided, and I'm using it for your purposes. 83 00:05:04,230 --> 00:05:07,750 S2: And it breaks that power of money. And frankly, Rob, 84 00:05:07,750 --> 00:05:09,830 S2: it's the only way to break the power of money 85 00:05:09,830 --> 00:05:11,349 S2: in my life is to give. 86 00:05:11,670 --> 00:05:14,270 S1: That is exactly right, Ron. Thanks for your time today. 87 00:05:14,589 --> 00:05:18,230 S1: Enjoyed it folks. Financial freedom doesn't start with better strategies. 88 00:05:18,230 --> 00:05:20,710 S1: It starts with surrender. We're going to take a quick 89 00:05:20,710 --> 00:05:23,750 S1: break much more just around the corner with your phone calls. 90 00:05:23,750 --> 00:05:24,630 S1: We'll be right back. 91 00:05:32,670 --> 00:05:36,070 S3: The opinions offered during this program represent the personal or 92 00:05:36,070 --> 00:05:40,950 S3: professional opinions of the participants, given for informational purposes only. 93 00:05:41,150 --> 00:05:44,789 S3: Any information provided is not intended to replace advice from 94 00:05:44,790 --> 00:05:49,549 S3: a financial, medical, legal, or other professional who understands your 95 00:05:49,550 --> 00:05:50,990 S3: specific situation. 96 00:05:57,020 --> 00:05:59,180 S1: Well. So delighted to have you with us today on 97 00:05:59,180 --> 00:06:02,220 S1: Faith and Finance live, I'm Rob West. Really looking forward 98 00:06:02,220 --> 00:06:04,740 S1: to getting into your calls and questions today, the things 99 00:06:04,740 --> 00:06:07,859 S1: you're wrestling with and your financial life when you call 100 00:06:07,860 --> 00:06:14,980 S1: 800 525 7000 again, that's 800 525 7000. We'd be 101 00:06:14,980 --> 00:06:17,900 S1: delighted to tackle whatever's on your mind today. Help you 102 00:06:17,900 --> 00:06:21,220 S1: think about it in light of biblical wisdom. We know 103 00:06:21,220 --> 00:06:24,659 S1: there's a lot of concerns on your mind. And in fact, uh, 104 00:06:24,740 --> 00:06:27,780 S1: that is underscored by some new data out from the 105 00:06:27,779 --> 00:06:32,659 S1: New York Federal Reserve. They report Americans are increasingly worried 106 00:06:32,660 --> 00:06:36,420 S1: about falling behind on their debt. That's right. In its 107 00:06:36,420 --> 00:06:41,260 S1: December survey of consumer expectations, households reported the highest perceived 108 00:06:41,260 --> 00:06:46,500 S1: risk of missing a minimum payment since April of 2020. 109 00:06:46,860 --> 00:06:50,060 S1: That's right. It's been quite a while. Concerns were greatest 110 00:06:50,060 --> 00:06:54,660 S1: among adults over 60, those without college degrees and households 111 00:06:54,660 --> 00:06:59,460 S1: earning under $50,000. Analysts say a softer labor market is 112 00:06:59,460 --> 00:07:03,700 S1: fueling anxiety about job security. Access to credit and the 113 00:07:03,700 --> 00:07:06,740 S1: ability to keep up with bills even one missed payment, 114 00:07:06,740 --> 00:07:10,380 S1: can be costly. LendingTree found that a single 30 day 115 00:07:10,420 --> 00:07:15,100 S1: delinquency can drop a credit score by around 30. Excuse me, 116 00:07:15,140 --> 00:07:19,300 S1: 80 points on average, and more for borrowers with higher scores. 117 00:07:19,620 --> 00:07:22,820 S1: Lower scores can result in, of course, smaller credit limits, 118 00:07:22,820 --> 00:07:28,420 S1: higher interest rates, and fewer borrowing options. Experts recommend contacting 119 00:07:28,420 --> 00:07:32,100 S1: lenders before payments are missed. Some may offer temporary relief 120 00:07:32,100 --> 00:07:35,700 S1: or lower rates to help borrowers stay current. Now, our 121 00:07:35,700 --> 00:07:38,260 S1: preferred way to get out from under credit card debt 122 00:07:38,460 --> 00:07:42,300 S1: is something called debt management, where through a nonprofit credit 123 00:07:42,300 --> 00:07:45,420 S1: counseling agency and we would recommend our friends at Christian 124 00:07:45,420 --> 00:07:51,540 S1: Credit Counselors, you'll get access to lower interest rates, often 125 00:07:51,540 --> 00:07:56,220 S1: between 0 and 10%. So cutting in half or more 126 00:07:56,260 --> 00:07:59,460 S1: than that by a lot. The interest rate you have 127 00:07:59,460 --> 00:08:02,580 S1: right now, and then the combination of a level payment 128 00:08:02,580 --> 00:08:06,180 S1: that fits into your budget with those reduced interest rates 129 00:08:06,220 --> 00:08:10,580 S1: allows you to pay that debt back, on average, 80% faster. 130 00:08:10,580 --> 00:08:13,980 S1: And so something to consider. Again, our friends at Christian 131 00:08:13,980 --> 00:08:18,420 S1: Credit Counselors would be the place we would refer you. Um, 132 00:08:18,420 --> 00:08:21,980 S1: you know, we've worked with them for over a decade now, 133 00:08:21,980 --> 00:08:26,420 S1: and we've heard from literally hundreds and hundreds of listeners 134 00:08:26,420 --> 00:08:29,059 S1: that have used our friends at Christian Credit Counselors, and 135 00:08:29,380 --> 00:08:32,819 S1: they all just rave about, really, their ministry heart. They're 136 00:08:32,820 --> 00:08:35,020 S1: going to pray for you. They're going to encourage you. 137 00:08:35,020 --> 00:08:37,300 S1: They're going to help you put a budget together, and 138 00:08:37,300 --> 00:08:39,339 S1: then they're going to help you develop a plan to 139 00:08:39,380 --> 00:08:41,459 S1: get out from under that credit card debt once and 140 00:08:41,460 --> 00:08:45,500 S1: for all. So again, the website Christian Credit Counselors Dot 141 00:08:46,220 --> 00:08:48,460 S1: is the place to go. Hey, before we dive into 142 00:08:48,460 --> 00:08:50,260 S1: some phone calls today. And by the way, the, uh, 143 00:08:50,260 --> 00:08:53,300 S1: the lines are filling up. We do have a few 144 00:08:53,300 --> 00:08:55,660 S1: open at the moment, so if you'd like to get 145 00:08:55,660 --> 00:09:00,340 S1: in on the conversation, call right now 800 525 7000. 146 00:09:00,380 --> 00:09:03,059 S1: But let me mention we're in the midst of, uh, 147 00:09:03,059 --> 00:09:06,260 S1: a listener survey. That's right. Once a year, at the 148 00:09:06,260 --> 00:09:09,340 S1: start of the year, we put a survey out to listeners. 149 00:09:09,340 --> 00:09:12,220 S1: That's you, uh, to ask what you want us to 150 00:09:12,260 --> 00:09:14,260 S1: know about the program. What do you like? What do 151 00:09:14,260 --> 00:09:17,060 S1: you hope we will change? Is there anything we should 152 00:09:17,059 --> 00:09:20,060 S1: do more of? Less of? What are topics you'd like 153 00:09:20,059 --> 00:09:23,260 S1: us to address that we haven't, uh, in the recent past, 154 00:09:23,260 --> 00:09:25,660 S1: or you'd like us to cover more fully? Uh, we'd 155 00:09:25,660 --> 00:09:28,140 S1: love to hear that from you. It's really helpful for 156 00:09:28,140 --> 00:09:32,500 S1: our team as we, uh, really strategize around, uh, what 157 00:09:32,500 --> 00:09:35,140 S1: is this program going to look like in the year ahead? 158 00:09:35,300 --> 00:09:37,300 S1: So if you could give us two minutes and respond 159 00:09:37,300 --> 00:09:40,500 S1: to that listener survey, we would be very, very grateful. Uh, 160 00:09:40,500 --> 00:09:43,980 S1: the number, uh, or excuse me, the website, uh, would 161 00:09:43,980 --> 00:09:51,610 S1: be faith.com slash. That's faith. Survey. And again, it will 162 00:09:51,610 --> 00:09:54,290 S1: only take you about two minutes. So if you've got 163 00:09:54,290 --> 00:09:56,809 S1: time for that, we'd love to hear from you and, uh, 164 00:09:56,809 --> 00:10:01,370 S1: be able to incorporate your feedback into our planning and 165 00:10:01,370 --> 00:10:04,850 S1: make this show the very best that it can be. Now, 166 00:10:04,850 --> 00:10:07,170 S1: just a moment. We're going to begin taking your calls 167 00:10:07,170 --> 00:10:12,930 S1: and questions. Again, that number is 800 525 7000. Uh, 168 00:10:12,929 --> 00:10:18,130 S1: looks like we've got about three lines remaining. 800 525 7000. 169 00:10:18,170 --> 00:10:20,490 S1: As we get into these questions, we want to make 170 00:10:20,530 --> 00:10:23,809 S1: sure that, um, we can give you some practical counsel, 171 00:10:23,809 --> 00:10:26,410 S1: but it's rooted in God's Word as well. Let me 172 00:10:26,410 --> 00:10:29,810 S1: also mention before we head to the phones here that, um, 173 00:10:29,809 --> 00:10:31,890 S1: you know, we have a brand new edition of the 174 00:10:31,890 --> 00:10:34,850 S1: Faith fi app coming out in the next couple of weeks. 175 00:10:34,850 --> 00:10:38,130 S1: And we've heard from so many of you that have said, 176 00:10:38,290 --> 00:10:41,690 S1: you know, I need a budgeting solution, but I also 177 00:10:41,730 --> 00:10:44,450 S1: want to be a part of a community that understands 178 00:10:44,450 --> 00:10:47,170 S1: my faith values. And that really is the Faith fi 179 00:10:47,210 --> 00:10:51,890 S1: app and the new version that's coming out very, very soon, um, 180 00:10:51,890 --> 00:10:55,890 S1: is dramatically improved. Brand new user experience rebuilt from the 181 00:10:55,890 --> 00:10:59,370 S1: ground up. But it incorporates something that we're really excited 182 00:10:59,370 --> 00:11:02,490 S1: about called Daily Rhythms, where each day you'll have a 183 00:11:02,490 --> 00:11:05,010 S1: quick check in two minutes or less to review the 184 00:11:05,010 --> 00:11:07,730 S1: the recent spending that you've had, and then have a 185 00:11:07,730 --> 00:11:12,130 S1: quick devotional thought connecting your financial decisions to your faith. 186 00:11:12,130 --> 00:11:14,610 S1: If you go ahead and download the app now and 187 00:11:14,610 --> 00:11:16,890 S1: get your account set up, you'll be ready for Faith 188 00:11:16,929 --> 00:11:20,770 S1: 55.0 that's coming before the end of the month. Just 189 00:11:20,770 --> 00:11:24,250 S1: head to our website dot com and click on app. 190 00:11:24,290 --> 00:11:25,810 S1: All right let's dive in. We're going to begin in 191 00:11:25,809 --> 00:11:27,530 S1: Georgia today Paul go ahead sir. 192 00:11:27,690 --> 00:11:29,650 S4: Hey Rob thanks a lot for what you do buddy. 193 00:11:29,690 --> 00:11:31,329 S4: We appreciate it down here in Georgia. 194 00:11:32,010 --> 00:11:32,809 S1: Absolutely. 195 00:11:34,490 --> 00:11:36,410 S4: Hey look, my wife and I, we have a, uh, 196 00:11:36,809 --> 00:11:38,930 S4: a house that's too big for us, and we're looking 197 00:11:38,929 --> 00:11:42,690 S4: to downsize, but nothing's hitting on the house just yet. 198 00:11:42,730 --> 00:11:46,810 S4: We have enough in our savings account to pay it off. Uh, 199 00:11:47,090 --> 00:11:50,730 S4: but it will. It will take a significant amount of 200 00:11:50,770 --> 00:11:54,170 S4: that savings to pay it off. I guess, would it 201 00:11:54,170 --> 00:11:57,370 S4: be a good idea to do that and we'd have 100% equity? 202 00:11:57,850 --> 00:11:59,970 S1: Yeah, yeah, and that'd be great. And then you'd drop 203 00:11:59,970 --> 00:12:02,810 S1: that payment every month, which you could use to rebuild 204 00:12:03,250 --> 00:12:06,170 S1: your savings. But the question is, as much as I 205 00:12:06,170 --> 00:12:09,490 S1: love you being debt free, Paul, uh, the question is really, 206 00:12:09,490 --> 00:12:12,810 S1: is it going to leave you with, uh, a position 207 00:12:12,809 --> 00:12:15,970 S1: where you're illiquid, meaning you've got all of your liquid 208 00:12:15,970 --> 00:12:19,730 S1: assets tied up in illiquid assets, namely a home. So 209 00:12:19,850 --> 00:12:23,330 S1: if you were to pay off that mortgage, what would 210 00:12:23,330 --> 00:12:25,810 S1: you have left in emergency reserves? 211 00:12:25,850 --> 00:12:27,450 S4: Right around 60. 212 00:12:27,490 --> 00:12:31,810 S1: Okay. And that would be liquid funds that you know 213 00:12:31,850 --> 00:12:33,730 S1: are available for emergencies. 214 00:12:34,050 --> 00:12:36,890 S4: Right. Correct. It's in an online savings. 215 00:12:36,929 --> 00:12:39,890 S1: Okay. Yeah. And what is the interest rate of that 216 00:12:39,890 --> 00:12:41,170 S1: mortgage that you would pay off? 217 00:12:41,730 --> 00:12:44,210 S4: 3.375. 218 00:12:44,650 --> 00:12:49,369 S1: Okay. And what is the balance on it. 135 okay. 219 00:12:49,410 --> 00:12:53,450 S1: So you've got 195 right now sitting in that savings account. Correct? 220 00:12:54,170 --> 00:12:56,170 S4: Uh, 200 even. 221 00:12:56,450 --> 00:12:58,690 S1: Okay, great. And then in terms of. 222 00:12:59,090 --> 00:13:01,250 S4: The number, I just rounded the number up. 223 00:13:01,290 --> 00:13:04,890 S1: That's great. Yeah. No worries. And you have other assets 224 00:13:04,890 --> 00:13:07,050 S1: that you're saving for retirement. 225 00:13:08,130 --> 00:13:12,810 S4: We do have, uh, two Roths that, uh, I guess, who? SMI. 226 00:13:13,570 --> 00:13:17,210 S1: Okay, great. Yeah. Sound mind investing? I love it. And 227 00:13:17,210 --> 00:13:19,810 S1: how far off is retirement? Just based on everything you 228 00:13:19,809 --> 00:13:20,370 S1: know today. 229 00:13:20,610 --> 00:13:24,969 S4: Uh, it's far off. I'm still working part time at 230 00:13:25,010 --> 00:13:28,569 S4: the moment, but I believe it's going to turn into 231 00:13:28,570 --> 00:13:29,250 S4: full time. 232 00:13:29,970 --> 00:13:32,730 S1: Okay. Do you think in ten years more. 233 00:13:33,450 --> 00:13:39,130 S4: Um, possibly. I consider drawing my Social Security this year. 234 00:13:39,130 --> 00:13:43,210 S4: I'm 61. Uh, and I would, I would I don't 235 00:13:43,210 --> 00:13:48,959 S4: believe I'd make enough to be penalized. uh, on that, uh, 236 00:13:49,160 --> 00:13:51,920 S4: according to the one big beautiful bill, I don't know. 237 00:13:52,559 --> 00:13:55,439 S1: Uh, okay. Yeah. Well, if you take it early and 238 00:13:55,440 --> 00:13:57,960 S1: you don't wait until full retirement age, it's going to 239 00:13:58,000 --> 00:14:01,840 S1: permanently reduce that benefit. If you took it as early 240 00:14:01,840 --> 00:14:06,439 S1: as 62, you could see it about 30% lower than 241 00:14:06,440 --> 00:14:10,280 S1: you would get if you wait until 67. And that's, uh, 242 00:14:10,280 --> 00:14:12,360 S1: you know, that's locked in for the rest of your life. 243 00:14:12,360 --> 00:14:15,120 S1: So let's do this. This is really helpful background. I'll 244 00:14:15,120 --> 00:14:17,160 S1: give you my thoughts right after the break. Stay with us. 245 00:14:23,640 --> 00:14:25,160 S1: Great to have you with us today on faith and 246 00:14:25,160 --> 00:14:27,520 S1: finance live. All the lines are full, so we will 247 00:14:27,520 --> 00:14:29,680 S1: dive right back into the calls. Before the break, we 248 00:14:29,680 --> 00:14:32,640 S1: were talking to Paul and Georgia. Uh, Paul's thinking about 249 00:14:32,640 --> 00:14:36,320 S1: downsizing his home, but they haven't found one quite yet. Uh, 250 00:14:36,320 --> 00:14:38,600 S1: right now they have enough money to pay off their mortgage. 251 00:14:38,600 --> 00:14:42,720 S1: They're sitting on about 200,000 in liquid savings. Uh, the 252 00:14:42,720 --> 00:14:45,760 S1: mortgage on this home that they're thinking about selling in 253 00:14:45,760 --> 00:14:49,920 S1: the near future, although not right away, is about 135,000. 254 00:14:49,960 --> 00:14:52,960 S1: The interest rate is less than 4%. The high threes. 255 00:14:53,160 --> 00:14:55,960 S1: They've got a Roth with 50,000. And he's planning on 256 00:14:55,960 --> 00:14:58,000 S1: continuing to work as long as he can. He's thinking 257 00:14:58,040 --> 00:15:01,280 S1: at least a decade. He's 61. And you know I 258 00:15:01,280 --> 00:15:05,600 S1: think with that low interest rate, obviously if it's sitting 259 00:15:05,600 --> 00:15:08,320 S1: in savings, not earning a whole lot, then you'd do 260 00:15:08,320 --> 00:15:12,280 S1: better paying off that mortgage. If, though you're looking to 261 00:15:12,320 --> 00:15:15,240 S1: sell it pretty quick and you have somewhere else, you 262 00:15:15,240 --> 00:15:19,720 S1: could deploy that 200,000, or at least the 200,000 minus 263 00:15:19,920 --> 00:15:22,880 S1: what I'll call your emergency fund, which would be roughly 264 00:15:22,880 --> 00:15:26,280 S1: six months worth of expenses. And let's talk about that 265 00:15:26,280 --> 00:15:28,000 S1: for a second. What do you all spend in a 266 00:15:28,000 --> 00:15:29,120 S1: typical month? Paul. 267 00:15:30,160 --> 00:15:34,080 S4: Uh, Dan. Rob I got that wrote down in just 268 00:15:34,080 --> 00:15:34,360 S4: a second. 269 00:15:34,400 --> 00:15:35,840 S1: Just take a guess for. 270 00:15:35,840 --> 00:15:39,200 S4: Me about, uh, about roughly $1,300. 271 00:15:39,520 --> 00:15:41,840 S1: Okay, so let's round it up to 15. I mean, 272 00:15:41,880 --> 00:15:44,760 S1: so if we go six months, I mean, that's 9000. Obviously, 273 00:15:44,760 --> 00:15:47,280 S1: you got way more than that. So you got, you know, 274 00:15:47,320 --> 00:15:48,720 S1: a lot more than you need there. I think the 275 00:15:48,720 --> 00:15:51,840 S1: question would just be, you know, could we deploy that 276 00:15:51,840 --> 00:15:54,680 S1: somewhere else to get that growing? Because what I would 277 00:15:54,680 --> 00:15:58,080 S1: love to have is when you get to retirement, you know, 278 00:15:58,120 --> 00:16:01,360 S1: because you're either no longer physically able to work or 279 00:16:01,400 --> 00:16:04,320 S1: God redirects you away from paid work. And maybe we're 280 00:16:04,320 --> 00:16:06,840 S1: talking ten plus years down the road. I'd love for 281 00:16:06,840 --> 00:16:11,760 S1: you to have not 50,000, but maybe 250,000 in savings. Uh, 282 00:16:11,760 --> 00:16:14,480 S1: or 300,000. I mean, if you could build that nest 283 00:16:14,480 --> 00:16:17,440 S1: egg up to 300,000, especially if it was in a 284 00:16:17,440 --> 00:16:20,400 S1: tax deferred vehicle, you know, we could pull an extra 285 00:16:20,440 --> 00:16:24,479 S1: thousand a month from a $300,000 account. That'd be 4% 286 00:16:24,520 --> 00:16:28,360 S1: a year. And hopefully, with the right investment strategy, never 287 00:16:28,360 --> 00:16:30,960 S1: deplete any of the principal. You know, we could let 288 00:16:30,960 --> 00:16:34,040 S1: that 300,000, you know, grow a little bit each year 289 00:16:34,040 --> 00:16:37,120 S1: to offset inflation. And you could pull 1000 a month, 290 00:16:37,120 --> 00:16:40,280 S1: 12,000 a year, and you could add that to your 291 00:16:40,280 --> 00:16:43,440 S1: Social Security. And then if your expenses went up down 292 00:16:43,440 --> 00:16:45,400 S1: the road because you needed some long term care, you 293 00:16:45,400 --> 00:16:47,400 S1: needed somebody to come in and help you with in 294 00:16:47,440 --> 00:16:50,080 S1: in home care. You'd at least have, you know, a 295 00:16:50,080 --> 00:16:53,480 S1: little bit more income to be able to support something 296 00:16:53,480 --> 00:16:56,240 S1: like that. But that would mean rather than paying off 297 00:16:56,240 --> 00:17:01,320 S1: the house and getting the guaranteed return of 3.75%, basically 298 00:17:01,360 --> 00:17:04,360 S1: your interest rate, I would want you to look for 299 00:17:04,359 --> 00:17:07,400 S1: ways to get that working for you. Do you have 300 00:17:07,400 --> 00:17:10,399 S1: access other than the Roth IRAs? Do you have access 301 00:17:10,400 --> 00:17:13,000 S1: to any other kind of retirement plan at work or 302 00:17:13,000 --> 00:17:14,000 S1: anything like that? 303 00:17:14,720 --> 00:17:18,840 S4: There is a there is one at work. Uh, but 304 00:17:18,880 --> 00:17:22,520 S4: I just recently, I guess last well, August of last 305 00:17:22,520 --> 00:17:25,879 S4: year started this job and I'm, I do contribute the 306 00:17:25,880 --> 00:17:30,960 S4: company match and plus I contribute plus I contribute a 307 00:17:31,000 --> 00:17:34,840 S4: couple of hundred a month to, uh, to the Roth. 308 00:17:35,119 --> 00:17:38,359 S1: Okay, so you're getting the full match, is that right? 309 00:17:38,400 --> 00:17:39,040 S4: Yes, sir. 310 00:17:39,480 --> 00:17:43,670 S1: Okay. Yeah. So the question would be, uh, you know, 311 00:17:43,710 --> 00:17:47,629 S1: could you start putting a whole lot more into that 312 00:17:47,630 --> 00:17:52,270 S1: 401 K at work? Uh, and, you know, use that 313 00:17:52,270 --> 00:17:55,390 S1: to build that up even quicker, even if that meant it, 314 00:17:55,430 --> 00:17:58,630 S1: it took away too much of your income such that 315 00:17:58,630 --> 00:18:02,150 S1: you had to supplement your income from the savings, which 316 00:18:02,150 --> 00:18:04,310 S1: is essentially a way of kind of moving it from 317 00:18:04,310 --> 00:18:07,550 S1: one pocket to the other. Because if you max out 318 00:18:07,710 --> 00:18:12,550 S1: your 401 K for 20, 26, uh, you know, you 319 00:18:12,550 --> 00:18:16,310 S1: can put in quite a bit more money and, you know, 320 00:18:16,350 --> 00:18:19,590 S1: that would allow you to, you know, be able to 321 00:18:19,710 --> 00:18:22,470 S1: start to really build up that nest egg beyond just 322 00:18:22,470 --> 00:18:26,669 S1: the 50,000 you have in the Roth IRA. Um, you know, 323 00:18:26,710 --> 00:18:29,430 S1: in 20, 26, 50 years and older, you can put 324 00:18:29,430 --> 00:18:34,310 S1: away $32,500. Um, and I realize you wouldn't get any 325 00:18:34,310 --> 00:18:36,110 S1: match on it, but at least you'd be getting it 326 00:18:36,109 --> 00:18:40,070 S1: into a tax deferred environment where, you know, you could, uh, 327 00:18:40,070 --> 00:18:43,630 S1: get that invested. And, you know, so you might want 328 00:18:43,670 --> 00:18:46,270 S1: to think about that as what would it look like 329 00:18:46,270 --> 00:18:50,629 S1: to max out my 401 K contribution and then use, 330 00:18:50,670 --> 00:18:53,350 S1: you know, anything you need to draw from savings to 331 00:18:53,390 --> 00:18:57,710 S1: supplement to cover your bills? Um, if that's even necessary, 332 00:18:57,710 --> 00:18:59,950 S1: it may not be, but at the end of the day, 333 00:18:59,950 --> 00:19:02,110 S1: if you all have a conviction to be debt free 334 00:19:02,109 --> 00:19:03,990 S1: and you'd like to get out from under the, you know, 335 00:19:04,030 --> 00:19:07,229 S1: the having that mortgage, even though it's a very low rate, 336 00:19:07,230 --> 00:19:09,669 S1: I would say go for it. And that, you know, 337 00:19:09,710 --> 00:19:12,230 S1: is never a bad thing to do. But I guess 338 00:19:12,230 --> 00:19:14,869 S1: at the same time, I want you to prioritize getting 339 00:19:14,869 --> 00:19:18,750 S1: more going into investments so that you can continue to 340 00:19:18,790 --> 00:19:22,150 S1: grow your nest egg between now and when you retire 341 00:19:22,310 --> 00:19:24,630 S1: completely from paid work. Does that make sense? 342 00:19:24,750 --> 00:19:32,149 S4: Yeah it does. Uh. Um, uh, I had a question, Rob. 343 00:19:32,150 --> 00:19:34,950 S4: And you just. You threw me off there, partner. 344 00:19:35,630 --> 00:19:37,030 S1: That's my fault. I'm sorry. 345 00:19:37,710 --> 00:19:42,750 S4: That's. No. That's okay. Um, so it's not a good 346 00:19:42,750 --> 00:19:45,030 S4: idea to pay it off right now. Is that what? Well, 347 00:19:45,030 --> 00:19:45,510 S4: it's basically. 348 00:19:45,550 --> 00:19:47,629 S1: Well, let me let me caveat that. It's never a 349 00:19:47,630 --> 00:19:49,830 S1: bad idea to get out from under debt. And if 350 00:19:49,869 --> 00:19:51,030 S1: you and your wife. 351 00:19:51,070 --> 00:19:53,750 S4: Feel that's all we have, we are debt free. This 352 00:19:53,750 --> 00:19:54,990 S4: is the house. Is it. 353 00:19:55,270 --> 00:19:55,670 S1: Okay? 354 00:19:55,710 --> 00:19:56,030 S4: That's all. 355 00:19:56,030 --> 00:19:58,190 S1: We. Yeah. I mean, I'm thinking of a couple of things. 356 00:19:58,190 --> 00:20:01,550 S1: Number one is I what I'm more concerned about than 357 00:20:01,550 --> 00:20:03,670 S1: you getting, you know, paying off the mortgage is I'm 358 00:20:03,670 --> 00:20:07,150 S1: more concerned about you getting more growing for the future. 359 00:20:07,150 --> 00:20:10,190 S1: I want to get you more invested than the 50,000 360 00:20:10,230 --> 00:20:12,389 S1: you have in the Roths. You've got a low interest 361 00:20:12,390 --> 00:20:14,590 S1: rate on the house. You're you're planning on selling it 362 00:20:14,590 --> 00:20:19,070 S1: and downsizing in the next few years. Whenever the time comes, 363 00:20:19,070 --> 00:20:20,949 S1: you're going to have enough equity that you're going to 364 00:20:20,950 --> 00:20:24,189 S1: be able to buy that downsized house for cash. So 365 00:20:24,230 --> 00:20:27,149 S1: my primary concern is that you get as much of 366 00:20:27,190 --> 00:20:30,669 S1: that 200,000 working in the stock market over the next 367 00:20:30,670 --> 00:20:34,030 S1: decade as possible, even if that meant you couldn't pay 368 00:20:34,030 --> 00:20:36,229 S1: off the home right now. And we wait and pay 369 00:20:36,230 --> 00:20:39,470 S1: it off when you sell it to downsize. The caveat 370 00:20:39,470 --> 00:20:41,750 S1: to that is, if you said to me, Rob, my 371 00:20:41,750 --> 00:20:44,510 S1: wife and I want want to be completely debt free 372 00:20:44,550 --> 00:20:46,990 S1: as soon as possible. We feel like the Lord has 373 00:20:46,990 --> 00:20:49,830 S1: given us a conviction to get this mortgage paid off. 374 00:20:49,869 --> 00:20:52,430 S1: I'd say do it tomorrow and don't look back. But 375 00:20:52,430 --> 00:20:55,110 S1: if that's not the case and you're just wondering what 376 00:20:55,109 --> 00:20:59,390 S1: is the best financial move, then given that low interest rate, 377 00:20:59,550 --> 00:21:02,430 S1: I'd prioritize getting more in the stock market than I 378 00:21:02,430 --> 00:21:05,630 S1: would getting out from under that house mortgage. Does that 379 00:21:05,630 --> 00:21:06,429 S1: does that make sense? 380 00:21:07,510 --> 00:21:11,790 S4: Yes, sir. It does. Absolutely. I will be calling sound mind. 381 00:21:12,190 --> 00:21:13,790 S4: Thank you very much, Rob. We appreciate. 382 00:21:13,830 --> 00:21:16,350 S1: All right, Paul? Absolutely, sir. Thanks for your kind remarks 383 00:21:16,350 --> 00:21:18,950 S1: about the program. All right. We're going to take a break. 384 00:21:18,950 --> 00:21:21,590 S1: When we come back, Felicia, we'll head out to Saint 385 00:21:21,590 --> 00:21:26,149 S1: Louis to talk to her. Amy's in Alabama. Lisa's in Indiana. 386 00:21:26,190 --> 00:21:28,149 S1: They got an exciting weekend coming up with a big 387 00:21:28,150 --> 00:21:31,310 S1: game on Monday. And plenty more phone calls as well. 388 00:21:31,310 --> 00:21:33,270 S1: Still have the program to go. We'll get to as 389 00:21:33,270 --> 00:21:35,750 S1: many of these calls as we can. This is faith 390 00:21:35,750 --> 00:21:38,540 S1: and finance live. I'm Rob West. We'll be right back. 391 00:21:49,260 --> 00:21:50,820 S1: Great to have you with us today on Faith and 392 00:21:50,820 --> 00:21:53,460 S1: Finance Live. We're taking your calls and questions. Let's head 393 00:21:53,460 --> 00:21:55,660 S1: out to Saint Louis. Felicia, how can I help? 394 00:21:56,900 --> 00:22:00,700 S5: Hi. Yes, this is Felicia. Thank you for taking my call. 395 00:22:00,740 --> 00:22:03,699 S5: Of course, I had a question. I had a question. 396 00:22:03,740 --> 00:22:06,859 S5: So my husband and I had a couple of properties. 397 00:22:06,859 --> 00:22:10,020 S5: We sold one property and we used the. We used 398 00:22:10,020 --> 00:22:13,740 S5: a portion of that money to pay off debt, um, 399 00:22:13,780 --> 00:22:16,659 S5: to pay off my student loan debt, to pay off, um, 400 00:22:16,780 --> 00:22:20,260 S5: his truck, to pay off some small credit cards that 401 00:22:20,260 --> 00:22:23,140 S5: we had. So currently we have no debt, we have 402 00:22:23,140 --> 00:22:25,500 S5: no car notes. We have none of that. So we 403 00:22:25,500 --> 00:22:28,860 S5: just have our basic bills. Um, the only bit we 404 00:22:28,859 --> 00:22:32,580 S5: have currently is a mortgage on, on, on a, on 405 00:22:32,619 --> 00:22:36,899 S5: a house that we currently live in. Um, I had taken. 406 00:22:36,900 --> 00:22:42,459 S5: I had borrowed $14,000 from my savings in order to 407 00:22:42,460 --> 00:22:44,300 S5: have a deck put on the house. 408 00:22:44,500 --> 00:22:44,980 S1: Okay. 409 00:22:45,260 --> 00:22:48,940 S5: I currently am close to having half of that to 410 00:22:48,980 --> 00:22:53,140 S5: put back. So my question is, once I get the 411 00:22:53,140 --> 00:22:56,660 S5: funds back to where they were before I borrowed to 412 00:22:56,700 --> 00:23:00,780 S5: have the deck placed on the house, should I invest? 413 00:23:00,780 --> 00:23:04,260 S5: And if I invest, am I investing all of it 414 00:23:04,260 --> 00:23:08,140 S5: or am I investing a portion? So right now I'm 415 00:23:08,140 --> 00:23:15,020 S5: looking at about $112,000 that I'm looking to put into investments. 416 00:23:15,140 --> 00:23:18,420 S5: But I am the type of person who plays things safe. 417 00:23:18,700 --> 00:23:22,780 S5: So I'm not familiar at all with investing. So I 418 00:23:22,780 --> 00:23:24,460 S5: really don't know what to do. 419 00:23:25,180 --> 00:23:28,100 S1: Okay. Well, I appreciate the question. It sounds like you 420 00:23:28,100 --> 00:23:30,260 S1: guys are doing a great job, and I love the 421 00:23:30,260 --> 00:23:33,140 S1: fact that you're completely debt free and you're working on 422 00:23:33,140 --> 00:23:36,940 S1: getting your savings rebuilt. So you ended up paying off 423 00:23:36,940 --> 00:23:39,020 S1: the student loans. You paid off the truck, you put 424 00:23:39,020 --> 00:23:42,300 S1: the deck on, and then you said you're replenishing the 425 00:23:42,300 --> 00:23:44,820 S1: money that you used for the deck. But you also 426 00:23:44,820 --> 00:23:49,139 S1: have the 112,000. So is the 112. What is remaining 427 00:23:49,140 --> 00:23:50,300 S1: from the home sale? 428 00:23:50,340 --> 00:23:50,899 S5: Yes. 429 00:23:51,420 --> 00:23:55,020 S1: Okay. And does that include all of your savings or 430 00:23:55,020 --> 00:23:57,060 S1: do you have separate from that? What I would call 431 00:23:57,100 --> 00:23:58,300 S1: an emergency fund. 432 00:23:58,460 --> 00:24:02,580 S5: I do have an emergency. An emergency fund. I also 433 00:24:02,580 --> 00:24:06,820 S5: have a Roth. I don't. Now let me be. Let 434 00:24:06,820 --> 00:24:09,780 S5: me be honest. Totally honest here. I've had this Roth 435 00:24:09,780 --> 00:24:13,420 S5: for nearly ten years and I have not put anything 436 00:24:13,420 --> 00:24:16,340 S5: in it. I think it's only sitting with maybe about 437 00:24:16,340 --> 00:24:20,780 S5: $6,000 in it, if that much, and we have the 438 00:24:20,780 --> 00:24:23,780 S5: money to do it, we have. But in my thoughts, 439 00:24:23,780 --> 00:24:26,740 S5: it's like, I just want to save it myself. And 440 00:24:26,740 --> 00:24:29,899 S5: I know doing that myself is not is not a 441 00:24:29,900 --> 00:24:33,419 S5: benefit to me. Um, my husband and I are currently 442 00:24:33,420 --> 00:24:36,780 S5: in a position where we can save 4 to $5000 443 00:24:36,780 --> 00:24:40,020 S5: a month, and we glorify God in that because we 444 00:24:40,020 --> 00:24:42,379 S5: have really come a long way. We have really worked 445 00:24:42,380 --> 00:24:46,740 S5: hard to get to where we are today. Um, so 446 00:24:46,780 --> 00:24:50,940 S5: with that being said, I just don't know. As for aging, 447 00:24:51,100 --> 00:24:54,820 S5: I really don't know what the best you know, the 448 00:24:54,859 --> 00:24:58,260 S5: I don't know the best steps to take in order 449 00:24:58,260 --> 00:25:01,700 S5: to help that to grow as we're aging. 450 00:25:01,900 --> 00:25:04,780 S1: Yeah, yeah. No, I appreciate that. So you said you 451 00:25:04,780 --> 00:25:07,540 S1: have these Roth IRAs. You haven't put anything really in 452 00:25:07,540 --> 00:25:10,740 S1: them yet, but you have the ability to. You sound 453 00:25:10,740 --> 00:25:13,340 S1: like you're living way below your means, I love that. 454 00:25:13,340 --> 00:25:16,460 S1: So that's throwing off, you know, a lot of surplus there. 455 00:25:16,660 --> 00:25:19,659 S1: Do you guys have retirement plans available at work, either 456 00:25:19,660 --> 00:25:20,699 S1: you or your husband? 457 00:25:21,380 --> 00:25:25,940 S5: I do, my husband's job does not. My husband actually 458 00:25:25,940 --> 00:25:29,020 S5: just returned back to the workforce. He had his own 459 00:25:29,020 --> 00:25:33,169 S5: business and it did not allow us insurance. and I 460 00:25:33,170 --> 00:25:36,250 S5: was without a job for about two years, and I 461 00:25:36,290 --> 00:25:39,010 S5: had to return myself back to the workplace so we 462 00:25:39,010 --> 00:25:44,210 S5: could have insurance. Now, he currently has a job, um, that, um, 463 00:25:44,530 --> 00:25:47,490 S5: would allow him to have insurance as well. So we 464 00:25:47,490 --> 00:25:52,090 S5: would utilize insurance for both his employer as well as mine. 465 00:25:52,810 --> 00:25:53,290 S1: Okay. 466 00:25:53,570 --> 00:25:57,090 S5: So other than that, as far as savings plans, his 467 00:25:57,130 --> 00:25:59,970 S5: his current job does not, but mine does. I work 468 00:25:59,970 --> 00:26:03,210 S5: for the federal government, so I do have a savings plan. 469 00:26:03,530 --> 00:26:06,129 S1: Great. Okay. Is it a TSP plan? 470 00:26:06,450 --> 00:26:07,050 S5: Yes. 471 00:26:07,369 --> 00:26:10,850 S1: Okay, great. Yeah. You know, here's what I would recommend. Felicia, 472 00:26:10,890 --> 00:26:13,929 S1: I believe you're in a really great position to connect 473 00:26:13,930 --> 00:26:16,530 S1: with an advisor, because what I would love for you 474 00:26:16,530 --> 00:26:18,649 S1: to be able to do is to put together a 475 00:26:18,650 --> 00:26:24,130 S1: financial plan. I realize you've got some apprehension about investing. 476 00:26:24,330 --> 00:26:28,090 S1: You're wanting to, you know, get completely debt free. That's great. 477 00:26:28,090 --> 00:26:30,930 S1: You're wanting to build up some savings. It sounds like 478 00:26:30,970 --> 00:26:34,210 S1: you're fairly conservative, which is not a bad thing, but 479 00:26:34,210 --> 00:26:38,170 S1: I think having somebody really develop a comprehensive plan so 480 00:26:38,170 --> 00:26:41,490 S1: you can see, okay, what is our lifestyle spending now? 481 00:26:41,730 --> 00:26:44,730 S1: What might it be in the future and what asset 482 00:26:44,770 --> 00:26:48,610 S1: levels are we going to need alongside your TSP and 483 00:26:48,609 --> 00:26:52,290 S1: alongside Social Security and anything you might put in these 484 00:26:52,290 --> 00:26:56,290 S1: Roths to be able to continue to fund your lifestyle 485 00:26:56,450 --> 00:27:00,530 S1: into the future. And, you know, having that plan and 486 00:27:00,530 --> 00:27:04,450 S1: have somebody, you know, really run those projections and help 487 00:27:04,450 --> 00:27:07,170 S1: you understand what that looks like, I think will give 488 00:27:07,170 --> 00:27:09,290 S1: you a lot of peace of mind and take a 489 00:27:09,290 --> 00:27:11,730 S1: lot of the guesswork out of it. And then once 490 00:27:11,730 --> 00:27:15,770 S1: you establish that relationship, that trusted relationship, then I think 491 00:27:15,770 --> 00:27:19,490 S1: that advisor could help you begin to invest this money 492 00:27:19,490 --> 00:27:22,250 S1: in a way that aligns with your values and your 493 00:27:22,250 --> 00:27:26,810 S1: risk tolerance, not taking unnecessary risk, but giving you somebody 494 00:27:26,810 --> 00:27:29,770 S1: that you know can make those decisions on your behalf 495 00:27:29,770 --> 00:27:32,410 S1: in terms of what those investments should be. Because if 496 00:27:32,410 --> 00:27:34,530 S1: you start to do that yourself and then you second 497 00:27:34,530 --> 00:27:36,689 S1: guess it and then, you know, the market starts to 498 00:27:36,730 --> 00:27:39,650 S1: pull back and you see that balance declining, you're going 499 00:27:39,690 --> 00:27:42,050 S1: to pull everything out. And that's going to kind of 500 00:27:42,130 --> 00:27:45,010 S1: work against you. And I think you need somebody that 501 00:27:45,010 --> 00:27:49,330 S1: can really be that trusted source of counsel, not only 502 00:27:49,330 --> 00:27:51,729 S1: to develop the plan, which is going to give you 503 00:27:51,770 --> 00:27:55,170 S1: confidence and peace of mind, but ultimately be the one 504 00:27:55,170 --> 00:27:57,890 S1: to make those investment decisions for you. And I think 505 00:27:57,890 --> 00:28:01,610 S1: the combination of, you know, your plan, retirement plan, your 506 00:28:01,650 --> 00:28:05,810 S1: husband's new plan, the Roth IRA, the surplus that you 507 00:28:05,810 --> 00:28:09,689 S1: have and the amount that you've already put aside, you know, 508 00:28:09,730 --> 00:28:12,649 S1: from the home sale that could be used to kick 509 00:28:12,650 --> 00:28:16,570 S1: start this investment plan. You've got plenty of assets and 510 00:28:16,570 --> 00:28:20,130 S1: the ability to to create more. You just need somebody 511 00:28:20,130 --> 00:28:23,010 S1: who can kind of orchestrate the whole thing for you 512 00:28:23,010 --> 00:28:26,690 S1: and make the decisions on the investments. Does that make sense? 513 00:28:26,730 --> 00:28:30,530 S5: It makes great sense, and I do appreciate your advice. 514 00:28:30,570 --> 00:28:33,370 S1: Yeah, well, I appreciate you. What I would do as 515 00:28:33,410 --> 00:28:36,530 S1: a next step would be to go to our website, 516 00:28:36,530 --> 00:28:44,450 S1: find a find a. Com stands for Certified Kingdom Advisor. 517 00:28:44,690 --> 00:28:47,250 S1: There's about 1800 men and women across the US and 518 00:28:47,250 --> 00:28:50,890 S1: Canada that have met the high standards to become sikayet, 519 00:28:51,890 --> 00:28:54,570 S1: and they're going to share your values. They've trained to 520 00:28:54,570 --> 00:28:59,090 S1: bring a biblical worldview, pastor reference, client reference, statement of faith, 521 00:28:59,090 --> 00:29:02,010 S1: code of ethics, regulatory review. I mean, we kind of 522 00:29:02,050 --> 00:29:05,210 S1: put them through it, but, um, it gives us confidence 523 00:29:05,210 --> 00:29:07,930 S1: to say, okay, if you connect with some certified Kingdom 524 00:29:07,930 --> 00:29:11,330 S1: advisors in your area, I'd interview 2 or 3. Find 525 00:29:11,330 --> 00:29:13,770 S1: the one that's the best fit. What you're looking for 526 00:29:13,810 --> 00:29:16,969 S1: is a financial plan, and then you're probably on the 527 00:29:16,970 --> 00:29:18,850 S1: heels of that, going to be looking for somebody to 528 00:29:18,890 --> 00:29:21,970 S1: take over the investment management. And I think that will 529 00:29:21,970 --> 00:29:24,770 S1: give you, uh, get you pointed in the right direction. 530 00:29:25,130 --> 00:29:27,170 S5: Okay. I do appreciate that. 531 00:29:27,570 --> 00:29:30,680 S1: Absolutely. Listen, call anytime if we can help. Thanks for 532 00:29:30,680 --> 00:29:33,240 S1: being on the program today. Let's go to Alabama. Hi, Amy. 533 00:29:33,280 --> 00:29:33,680 S1: Go ahead. 534 00:29:33,720 --> 00:29:35,360 S6: Oh, thank you for taking my call. 535 00:29:35,600 --> 00:29:36,040 S7: Of course. 536 00:29:36,080 --> 00:29:40,240 S6: I have a family member that, um, did not file 537 00:29:40,240 --> 00:29:44,480 S6: her taxes for 2024. She filed an extension in April, 538 00:29:44,960 --> 00:29:47,840 S6: and I had helped her the year before. So before 539 00:29:47,880 --> 00:29:52,040 S6: October deadline, I offered to help, but she said she 540 00:29:52,040 --> 00:29:54,920 S6: didn't have to file it. She would only have to 541 00:29:54,960 --> 00:29:59,280 S6: pay something if. If she owed anything. And I need 542 00:29:59,280 --> 00:30:02,400 S6: to know what the implications and how to encourage her 543 00:30:02,400 --> 00:30:03,200 S6: to file it. 544 00:30:03,440 --> 00:30:06,840 S1: Yeah, yeah. Great question. Let's talk about that right after 545 00:30:06,840 --> 00:30:10,240 S1: the break. Um, she's pretty confident she did not owe 546 00:30:10,240 --> 00:30:11,920 S1: any taxes. Is that right? 547 00:30:13,840 --> 00:30:17,040 S6: Right. But she has rental property. She has. 548 00:30:17,080 --> 00:30:17,440 S1: Ah. 549 00:30:17,800 --> 00:30:20,560 S6: Disability. So I'm afraid she does. 550 00:30:20,840 --> 00:30:23,440 S1: Okay. Yeah, it's a good point. All right. We'll tackle 551 00:30:23,440 --> 00:30:25,720 S1: that after the break. Stay right there. We'll be right back. 552 00:30:31,360 --> 00:30:33,640 S1: Thanks for joining us today on Faith and Finance Live. 553 00:30:33,640 --> 00:30:35,920 S1: I'm Rob West. Before the break we were talking to 554 00:30:35,960 --> 00:30:39,160 S1: Amy in Alabama. A family member of hers didn't file 555 00:30:39,320 --> 00:30:43,200 S1: a tax return in 2024. She believes she didn't owe anything. 556 00:30:43,240 --> 00:30:45,200 S1: And and it is true. If you don't owe anything, 557 00:30:45,200 --> 00:30:47,960 S1: you don't necessarily have to file. But it's a bit 558 00:30:47,960 --> 00:30:51,520 S1: of a risky proposition, because if you do owe something, 559 00:30:51,800 --> 00:30:54,440 S1: then you could put yourself in a position where you 560 00:30:54,440 --> 00:30:58,000 S1: have quite a bit in the way of penalties and interest, 561 00:30:58,000 --> 00:31:00,400 S1: and you just don't want to get into that situation 562 00:31:00,400 --> 00:31:03,680 S1: where you have an enforcement action. Um, I would also 563 00:31:03,680 --> 00:31:05,840 S1: say just based on what you added right there at 564 00:31:05,840 --> 00:31:08,360 S1: the end, Amy, about the fact that she does have 565 00:31:08,360 --> 00:31:11,920 S1: rental properties. Um, I would just say, you know, with 566 00:31:11,920 --> 00:31:17,000 S1: rental income, the IRS expects a return and not only 567 00:31:17,160 --> 00:31:20,880 S1: could she have taxes that she owes, which if that's 568 00:31:20,880 --> 00:31:23,520 S1: the case, then she certainly wants to get that filed 569 00:31:23,520 --> 00:31:27,960 S1: as soon as possible at the very least. um, filing 570 00:31:28,000 --> 00:31:33,080 S1: lets you claim deductions instead of letting the IRS guess. 571 00:31:33,120 --> 00:31:35,280 S1: And it could be that she has coming something coming 572 00:31:35,280 --> 00:31:37,480 S1: back to her and she doesn't want to let that 573 00:31:37,480 --> 00:31:41,800 S1: go either. And I would say, you know, with rental properties, 574 00:31:41,800 --> 00:31:47,400 S1: just given the depreciation and understanding what's taxable and the collection, uh, 575 00:31:47,400 --> 00:31:50,720 S1: excuse me, the, uh, just the complexity of it. I 576 00:31:50,720 --> 00:31:53,440 S1: wouldn't try to do it yourself. I'd get a CPA 577 00:31:53,440 --> 00:31:55,800 S1: or an enrolled agent. But I think the bottom line 578 00:31:55,800 --> 00:31:59,640 S1: is it's always better just to go ahead and file. Um, 579 00:31:59,640 --> 00:32:03,320 S1: I do that sooner rather than later. Um, that rental 580 00:32:03,320 --> 00:32:08,280 S1: income is taxable, even if the cash flow feels small. And, 581 00:32:08,320 --> 00:32:11,520 S1: you know, and I think you mentioned disability as well. 582 00:32:11,800 --> 00:32:15,400 S1: And that may or may not be taxable. But if 583 00:32:15,400 --> 00:32:19,000 S1: she doesn't file and the IRS decides to, you know, 584 00:32:19,040 --> 00:32:23,440 S1: file a substitute for return, that's going to ignore depreciation 585 00:32:23,440 --> 00:32:26,840 S1: and expenses. And it almost always results in a higher 586 00:32:26,840 --> 00:32:29,360 S1: tax bill. So I would just get that in as 587 00:32:29,360 --> 00:32:30,080 S1: soon as she can. 588 00:32:30,120 --> 00:32:32,080 S6: Thank you for that I appreciate that. 589 00:32:32,120 --> 00:32:33,640 S1: Absolutely, Amy, thanks for your call. 590 00:32:34,120 --> 00:32:35,120 S6: That will help me. 591 00:32:35,360 --> 00:32:38,520 S7: That will help me convince her. Okay. Very good. 592 00:32:38,560 --> 00:32:39,160 S6: Thank you. 593 00:32:39,440 --> 00:32:42,600 S1: Excellent. Yes, ma'am. Thanks for your call today to Indiana Leslie. 594 00:32:42,640 --> 00:32:43,200 S1: Go ahead. 595 00:32:44,040 --> 00:32:47,280 S8: Hi, Rob. Yeah, this is Leslie. I wanted to call 596 00:32:47,280 --> 00:32:54,280 S8: and get your opinion on these health cost sharing organizations. Um, 597 00:32:54,520 --> 00:32:57,719 S8: in my situation, I understand you're going to have a 598 00:32:57,720 --> 00:33:00,440 S8: show about this coming up, too. Or you'll have a 599 00:33:00,440 --> 00:33:03,520 S8: speaker that tells more about it. But, uh, I had 600 00:33:03,520 --> 00:33:07,480 S8: to investigate it because I have always been, uh, you know, 601 00:33:07,520 --> 00:33:10,840 S8: employed by in work. I work in a dental office, 602 00:33:10,840 --> 00:33:14,360 S8: and you don't get health insurance, and, you know, private practice, 603 00:33:14,360 --> 00:33:18,640 S8: dental offices. And I'm a I'm a widow now. I 604 00:33:18,680 --> 00:33:21,880 S8: am 64 years old. I support myself with my four 605 00:33:21,920 --> 00:33:25,190 S8: day a week job, as I always have. Yes. Um, 606 00:33:25,630 --> 00:33:27,670 S8: you know, when when we were widow, things are a 607 00:33:27,670 --> 00:33:30,470 S8: little tighter. I have a son with handicaps that lives 608 00:33:30,470 --> 00:33:35,470 S8: with me. Um, so my health costs my my insurance 609 00:33:35,470 --> 00:33:38,950 S8: that I had through the used to be Obamacare. And 610 00:33:38,950 --> 00:33:41,790 S8: then it became the marketplace through the Affordable Care Act, 611 00:33:41,790 --> 00:33:44,910 S8: whatever you want to call it. And as everyone knows, 612 00:33:44,910 --> 00:33:48,230 S8: the cost of that has increased dramatically this year because 613 00:33:48,230 --> 00:33:51,830 S8: they did away with subsidies, which made the cost lower. 614 00:33:51,830 --> 00:33:56,630 S8: So my plan was going to jump from $680 a 615 00:33:56,630 --> 00:34:02,270 S8: month to $1,330 a month, and I can't afford that. Yes. 616 00:34:02,310 --> 00:34:05,790 S8: And that is a high a high deductible, you know, 617 00:34:05,830 --> 00:34:07,990 S8: like a 80 over 20 plan. It's like a mid-range 618 00:34:08,030 --> 00:34:10,830 S8: kind of a plan. And even even just a catastrophic 619 00:34:10,830 --> 00:34:14,549 S8: plan was going to cost me $1,000 a month. So 620 00:34:14,590 --> 00:34:17,830 S8: I investigated some of these health cost sharing programs, and 621 00:34:17,830 --> 00:34:21,590 S8: I found one that was well rated, uh, you know, 622 00:34:21,630 --> 00:34:23,630 S8: by the I just went by what the internet said. 623 00:34:23,630 --> 00:34:26,430 S8: It was well rated and it looked very good. I 624 00:34:26,430 --> 00:34:29,590 S8: read through all the information with very professional, sounded great 625 00:34:30,030 --> 00:34:32,109 S8: and I have joy in that. And it cost me 626 00:34:32,110 --> 00:34:36,510 S8: $207 a month at my age. Yeah, and so it 627 00:34:36,510 --> 00:34:38,310 S8: seems like a no brainer to me. I mean, you know, 628 00:34:38,350 --> 00:34:42,470 S8: people can't. People need help with their with their, you know, 629 00:34:42,510 --> 00:34:45,310 S8: I mean, it's I know it's not traditional insurance, but 630 00:34:45,350 --> 00:34:48,310 S8: rather than go without insurance because you can't afford it 631 00:34:48,310 --> 00:34:50,910 S8: because it's so expensive. This just seems like such a 632 00:34:50,910 --> 00:34:54,350 S8: good option to me for so many people. I was 633 00:34:54,350 --> 00:34:57,310 S8: wondering what your opinion on these programs is. 634 00:34:57,390 --> 00:35:00,549 S1: Well, I think you said it, Lesley. You described it 635 00:35:00,550 --> 00:35:05,109 S1: very well. We love this option for folks for the 636 00:35:05,110 --> 00:35:08,710 S1: reasons you mentioned, because it's just becoming so cost prohibitive. 637 00:35:09,030 --> 00:35:12,469 S1: We love that the health cost sharing ministries, you know, 638 00:35:12,510 --> 00:35:16,430 S1: brings Christians together to voluntarily help one another's medical bills. 639 00:35:16,430 --> 00:35:19,509 S1: Of course, as you said, it's not traditional insurance. There's 640 00:35:19,510 --> 00:35:23,510 S1: no contract. It doesn't guarantee payment the way the, the, 641 00:35:23,870 --> 00:35:27,230 S1: the insurance policy does. But it's built around the idea 642 00:35:27,230 --> 00:35:31,150 S1: of believers sharing one another's burdens. And, you know, it's 643 00:35:31,150 --> 00:35:35,989 S1: it's dramatically less expensive. Um, and, you know, we love 644 00:35:35,989 --> 00:35:39,630 S1: Christian Healthcare ministries just because we've been partnered for, uh, 645 00:35:39,670 --> 00:35:42,550 S1: you know, many, many years. They're the oldest and the largest. 646 00:35:42,550 --> 00:35:48,510 S1: They've shared over $13 billion with a B, uh, two Christians. 647 00:35:48,510 --> 00:35:51,469 S1: And it's just a phenomenal way to go. And a 648 00:35:51,469 --> 00:35:53,790 S1: lot of people don't realize how simple it is. I mean, 649 00:35:53,790 --> 00:35:57,270 S1: basically you you choose your healthcare provider. There's no network 650 00:35:57,270 --> 00:36:01,109 S1: because they're considering you to be self-pay. And then you 651 00:36:01,110 --> 00:36:04,549 S1: submit your eligible medical bills, uh, through, you know, in 652 00:36:04,550 --> 00:36:07,150 S1: the case of C.h.m. The member portal. And you upload 653 00:36:07,150 --> 00:36:11,430 S1: your bills and then you receive your funds and you know, 654 00:36:11,469 --> 00:36:15,029 S1: the family there takes care of your, uh, all the 655 00:36:15,030 --> 00:36:20,069 S1: believers together, your eligible medical bills, and there's a per incident, 656 00:36:20,070 --> 00:36:23,230 S1: essentially what would be like a deductible in the insurance 657 00:36:23,230 --> 00:36:26,270 S1: world that you have to meet first. So it's not, 658 00:36:26,310 --> 00:36:29,189 S1: you know, for every routine doctor visit, but it gives 659 00:36:29,190 --> 00:36:32,150 S1: you the peace of mind to know that you know, 660 00:36:32,190 --> 00:36:35,750 S1: anything beyond that's going to be covered. And with all 661 00:36:35,750 --> 00:36:39,830 S1: the savings that hopefully you could put into your savings account, 662 00:36:39,830 --> 00:36:42,750 S1: the difference between what you'd pay with a health cost 663 00:36:42,750 --> 00:36:46,469 S1: sharing ministry and a traditional health insurance policy, you should 664 00:36:46,469 --> 00:36:48,670 S1: be able to build up a little bit of a 665 00:36:48,750 --> 00:36:52,310 S1: nest egg so that you can cover those routine expenses. 666 00:36:52,310 --> 00:36:54,990 S1: And usually you get a cash discount because you're paying 667 00:36:54,989 --> 00:36:57,430 S1: out of pocket, and then they're going to cover anything 668 00:36:57,430 --> 00:37:00,150 S1: beyond that. So I'm a big fan. Some of our 669 00:37:00,150 --> 00:37:04,110 S1: team members here at Faith and finance are actually users 670 00:37:04,110 --> 00:37:07,390 S1: of care, and they love it just like you. So 671 00:37:07,390 --> 00:37:10,550 S1: I think you're right on with this. And and you're correct. 672 00:37:10,550 --> 00:37:14,990 S1: Lauren from Christian Healthcare Ministries will be on Wednesday the 21st. 673 00:37:14,989 --> 00:37:18,109 S1: So anybody who's listening wants to know more, that'd be 674 00:37:18,110 --> 00:37:20,380 S1: a great day to listen or just head over to 675 00:37:20,420 --> 00:37:25,580 S1: see ministries org to learn more. But is that helpful? 676 00:37:26,219 --> 00:37:29,299 S8: Well, yeah, I just wondered. I mean I'm going by 677 00:37:29,300 --> 00:37:31,580 S8: ratings on the internet, you know, so how much can 678 00:37:31,580 --> 00:37:34,540 S8: you trust that. But I just I just thought that 679 00:37:34,540 --> 00:37:36,620 S8: might be a subject that you would know more about 680 00:37:36,620 --> 00:37:40,100 S8: because it has to do with the person's finances. Yes. Um, 681 00:37:40,100 --> 00:37:42,780 S8: so I yeah. I wondered what your opinion was on that. 682 00:37:43,140 --> 00:37:46,259 S1: Yeah. I'm a big fan. I think it's a great, uh, alternative. 683 00:37:46,260 --> 00:37:48,060 S1: We've got a lot of folks that love it that 684 00:37:48,060 --> 00:37:50,140 S1: we've talked to over the years. And again, some even 685 00:37:50,180 --> 00:37:53,260 S1: on our own team that use it personally. So thanks 686 00:37:53,260 --> 00:37:56,459 S1: for calling that out, Leslie. I couldn't agree more. And again, folks, 687 00:37:56,460 --> 00:37:58,620 S1: if you want to learn more about what Leslie's talking about, 688 00:37:58,620 --> 00:38:05,020 S1: just head to ministries. And with costs up as high 689 00:38:05,020 --> 00:38:08,900 S1: as they are, plus what's coming with health insurance premiums, uh, 690 00:38:08,900 --> 00:38:10,899 S1: I know more and more people are checking out this 691 00:38:10,900 --> 00:38:14,660 S1: health alternative. Uh, let's head down to Florida. Jay. Go ahead. 692 00:38:15,180 --> 00:38:18,500 S9: Hi, Rob. I know the show's coming up to the end, 693 00:38:18,500 --> 00:38:21,500 S9: so I'll try to be quick. So my question is 694 00:38:21,500 --> 00:38:26,299 S9: concerning the correct way to set up a 401 K 695 00:38:26,340 --> 00:38:29,140 S9: with your employer. The correct way to set up your 696 00:38:29,140 --> 00:38:33,299 S9: contributions when you started later in life. So I'm I'm 697 00:38:33,340 --> 00:38:36,739 S9: 53 and I've only been contributing to this 401 K 698 00:38:36,780 --> 00:38:40,180 S9: for a little over two years. I don't I've never 699 00:38:40,219 --> 00:38:42,940 S9: had a 401 K. So this is the only money 700 00:38:42,940 --> 00:38:48,100 S9: that I have in there. So when when we originally 701 00:38:48,500 --> 00:38:52,500 S9: set it up, I set it up as pre-tax because the, um, 702 00:38:53,060 --> 00:38:56,339 S9: the representative, the advisor for the, for the company said, yeah, 703 00:38:56,380 --> 00:38:57,660 S9: you know, you don't have a lot of money. You're 704 00:38:57,660 --> 00:38:59,859 S9: not going to contribute a lot. So that's fine. Pre-tax. 705 00:39:00,219 --> 00:39:02,819 S9: So now I'm coming up on, uh, two and a 706 00:39:02,860 --> 00:39:06,220 S9: half years and I've got more than $22,000 in there, 707 00:39:06,380 --> 00:39:10,739 S9: but I've always been contributing pre-tax. So the thinking, the 708 00:39:10,739 --> 00:39:13,540 S9: thinking was that, okay, I'll be working for another, you know, ten, 709 00:39:13,580 --> 00:39:18,219 S9: 15 years when I retire, I won't be working. So 710 00:39:18,300 --> 00:39:22,180 S9: my tax bracket will be different. So why not just 711 00:39:22,180 --> 00:39:27,700 S9: contribute now? All you can even, you know, pre-tax. Because then, uh, 712 00:39:27,780 --> 00:39:31,859 S9: it won't hit that hard when I start withdrawing, uh, 713 00:39:31,860 --> 00:39:36,220 S9: after I retire, because my tax bracket will be lower. So, uh, 714 00:39:36,460 --> 00:39:38,620 S9: you know, that's how we set it up now, but 715 00:39:38,620 --> 00:39:41,219 S9: I am so unclear as to whether that is the 716 00:39:41,219 --> 00:39:43,739 S9: appropriate way to have set it up. And if I 717 00:39:43,739 --> 00:39:46,739 S9: should change it to deduct the taxes before, even though 718 00:39:46,739 --> 00:39:49,819 S9: I only have ten years of contribution. 719 00:39:49,860 --> 00:39:50,260 S7: Yeah. 720 00:39:50,580 --> 00:39:51,620 S9: Maybe available. 721 00:39:51,660 --> 00:39:54,260 S1: Yeah. It's a great question. And the conventional wisdom is 722 00:39:54,260 --> 00:39:57,620 S1: just what you said, that older workers should be funneling 723 00:39:57,620 --> 00:40:01,100 S1: most of their contribution in traditional accounts because they're at 724 00:40:01,100 --> 00:40:03,740 S1: the peak of their earning years. And so that tax 725 00:40:03,739 --> 00:40:08,660 S1: deduction is more valuable today with your earning power and 726 00:40:08,660 --> 00:40:12,460 S1: what your wages are versus in retirement. When you pull 727 00:40:12,460 --> 00:40:15,540 S1: it out of the pre-tax and, you know, hopefully you're 728 00:40:15,540 --> 00:40:18,060 S1: at a lower bracket because you're not earning as much 729 00:40:18,060 --> 00:40:21,620 S1: because now you're retired. The only thing that doesn't factor 730 00:40:21,620 --> 00:40:26,460 S1: in is the risk of rising rising tax rates, which 731 00:40:26,460 --> 00:40:29,739 S1: most people would, you know, believe just based on what 732 00:40:29,739 --> 00:40:32,700 S1: we know that you know, we're probably at the low 733 00:40:32,700 --> 00:40:36,020 S1: end of what the potential tax rates are in the 734 00:40:36,020 --> 00:40:40,219 S1: future under a different administration. And there's no way to 735 00:40:40,260 --> 00:40:42,100 S1: know what those are going to be in the future, 736 00:40:42,100 --> 00:40:44,100 S1: but there's a decent chance that they're going to be 737 00:40:44,100 --> 00:40:46,859 S1: higher and maybe quite a bit higher than they are 738 00:40:46,900 --> 00:40:49,860 S1: today for a variety of reasons. And this was the 739 00:40:49,860 --> 00:40:54,980 S1: the subject of, uh, study for some from some researchers 740 00:40:54,980 --> 00:40:58,500 S1: in the University of Arizona several years ago. And they 741 00:40:58,500 --> 00:41:01,219 S1: were looking at this, they studied this very thing, and 742 00:41:01,219 --> 00:41:04,540 S1: they came up with a rule of thumb that produced 743 00:41:04,780 --> 00:41:08,060 S1: with the thousands of people that they looked at, their 744 00:41:08,060 --> 00:41:12,739 S1: actual situation, that produced a near ideal result, and that 745 00:41:12,739 --> 00:41:16,569 S1: was to do a combination of the two. And what 746 00:41:16,570 --> 00:41:19,049 S1: their rule of thumb is, is that you add 20 747 00:41:19,090 --> 00:41:22,850 S1: to your age, and then you put that percent into 748 00:41:22,850 --> 00:41:25,969 S1: the traditional account, and then you put the rest in 749 00:41:25,969 --> 00:41:30,370 S1: the after tax. So at 50 you would add 50. 750 00:41:30,489 --> 00:41:32,330 S1: You would add 20 to your age. So you'd come 751 00:41:32,330 --> 00:41:35,770 S1: up with 70. So in your case 70% would go 752 00:41:35,770 --> 00:41:40,089 S1: into the pre-tax and 30% would go into the after tax. 753 00:41:40,090 --> 00:41:42,410 S1: And that would just give you a second bucket of 754 00:41:42,410 --> 00:41:45,250 S1: funds that's growing. That would give you something to pull 755 00:41:45,250 --> 00:41:48,410 S1: from in the event during retirement, if you were in 756 00:41:48,410 --> 00:41:51,969 S1: a we had much higher tax rates. Does that make sense? 757 00:41:52,250 --> 00:41:54,090 S9: Yeah. Thank you. It does. Thank you Rob. 758 00:41:54,330 --> 00:41:57,009 S1: All right God bless you Jay. Thanks for calling. Well 759 00:41:57,010 --> 00:41:58,729 S1: that's going to do it for us again. We've got 760 00:41:58,730 --> 00:42:01,210 S1: that listener survey going on. If you could give us 761 00:42:01,210 --> 00:42:03,810 S1: two minutes and give us some feedback on the program, 762 00:42:03,810 --> 00:42:08,170 S1: just head to faith. Comments. Big thanks to Tara, Josh 763 00:42:08,210 --> 00:42:10,930 S1: Taylor and Omar. Faith and Finance Live is a partnership 764 00:42:10,930 --> 00:42:13,610 S1: between Moody Radio and Faith five. We'll see you tomorrow.