1 00:00:08,720 --> 00:00:11,799 S1: Behold, children are a heritage from the Lord, the fruit 2 00:00:11,800 --> 00:00:16,240 S1: of the womb a reward. Psalm 127 three. I am 3 00:00:16,239 --> 00:00:19,840 S1: Rob West. Children certainly are a precious gift from God, 4 00:00:19,840 --> 00:00:23,520 S1: a reward and heritage to be cherished and valued. And 5 00:00:23,520 --> 00:00:26,840 S1: along with that joy comes responsibility. Parents with a new 6 00:00:26,840 --> 00:00:30,640 S1: baby could certainly use a financial checklist. And I've got 7 00:00:30,680 --> 00:00:33,040 S1: one today. And then it's on to your calls at 8 00:00:33,040 --> 00:00:38,320 S1: 800 525 7000. This is faith and finance. Live. Biblical 9 00:00:38,320 --> 00:00:43,639 S1: wisdom for your financial journey. So what goes on a 10 00:00:43,640 --> 00:00:47,520 S1: new baby financial checklist. Well, there are more things than 11 00:00:47,520 --> 00:00:50,680 S1: you might imagine, but let's start with adding the newborn 12 00:00:50,680 --> 00:00:53,360 S1: to your health insurance. You have a lot going on 13 00:00:53,360 --> 00:00:56,720 S1: with 2 a.m. feedings and diaper changes, but don't let 14 00:00:56,760 --> 00:01:01,060 S1: updating your health insurance slip through the cracks. Many plans 15 00:01:01,060 --> 00:01:03,980 S1: allow a 30 day window after birth to add your 16 00:01:03,980 --> 00:01:06,780 S1: baby to your policy. While you're at it. Double check 17 00:01:06,780 --> 00:01:10,980 S1: that your plan covers pediatric care, vaccines, and, heaven forbid, 18 00:01:10,980 --> 00:01:15,980 S1: surprise hospital visits. Thankfully, welcoming a new baby qualifies as 19 00:01:15,980 --> 00:01:19,539 S1: a life event, allowing you to make necessary adjustments to 20 00:01:19,540 --> 00:01:23,580 S1: your plan. Next, on your new baby financial checklist is 21 00:01:23,580 --> 00:01:28,100 S1: another important insurance consideration. Life insurance. Not for the baby, 22 00:01:28,100 --> 00:01:31,420 S1: but for you. Ensure you have a term life policy 23 00:01:31,420 --> 00:01:34,660 S1: with a death benefit of at least ten times the 24 00:01:34,700 --> 00:01:40,020 S1: primary breadwinner salary. And don't overlook the caregiving spouse. Life 25 00:01:40,020 --> 00:01:43,860 S1: insurance is just as crucial given the significant cost of 26 00:01:43,860 --> 00:01:47,620 S1: child care. Next up on your new baby checklist is 27 00:01:47,780 --> 00:01:51,020 S1: updating your budget. You can add a whole new category 28 00:01:51,020 --> 00:01:54,700 S1: called baby when deciding how much to put in that category. 29 00:01:54,860 --> 00:01:59,960 S1: Think diapers. Baby wipes. Onesies that become too small overnight 30 00:01:59,960 --> 00:02:03,240 S1: and of course, endless amounts of baby food. And I 31 00:02:03,240 --> 00:02:06,680 S1: remember feeling that weight myself when we welcomed twins. The 32 00:02:06,680 --> 00:02:10,400 S1: joy and the expenses doubled overnight. You may have to 33 00:02:10,400 --> 00:02:13,480 S1: pull money from other budget categories to stay in the black, 34 00:02:13,480 --> 00:02:16,280 S1: and you can make adjustments as time goes on. But 35 00:02:16,280 --> 00:02:18,880 S1: a little planning now will go a long way toward 36 00:02:18,919 --> 00:02:22,120 S1: easing your stress later. Next on the list is creating 37 00:02:22,120 --> 00:02:26,639 S1: or updating your will. A will isn't just about distributing assets, 38 00:02:26,639 --> 00:02:29,680 S1: it's also where you designate a guardian for your child 39 00:02:29,680 --> 00:02:32,839 S1: in the event that both parents pass away. This can 40 00:02:32,840 --> 00:02:36,639 S1: be a difficult decision, which is why many couples delay it, 41 00:02:36,639 --> 00:02:39,000 S1: but it's essential to have a plan in place. No 42 00:02:39,000 --> 00:02:43,480 S1: guardian will be perfect, but after prayerful consideration, choose the 43 00:02:43,480 --> 00:02:46,960 S1: person you and your spouse believe would provide the best care. 44 00:02:46,960 --> 00:02:50,560 S1: If the unthinkable happens, then be sure to finalize your 45 00:02:50,560 --> 00:02:53,519 S1: will and remember you can change it later. The rest 46 00:02:53,520 --> 00:02:57,070 S1: of your will outlines how your assets will be distributed, 47 00:02:57,070 --> 00:03:02,230 S1: which can help prevent unnecessary family conflicts. Typically, assets pass 48 00:03:02,230 --> 00:03:05,910 S1: to your spouse first and then to your child or children. 49 00:03:06,030 --> 00:03:10,030 S1: Proverbs 1322 reminds us, A good man leaves an inheritance 50 00:03:10,030 --> 00:03:13,269 S1: to his children's children, and that legacy is far more 51 00:03:13,310 --> 00:03:17,230 S1: than money or possessions. Financial assets may fade, but a 52 00:03:17,270 --> 00:03:21,109 S1: godly legacy can anchor generations in hope and obedience to 53 00:03:21,150 --> 00:03:24,870 S1: the Lord. Next up, start building your emergency fund. If 54 00:03:24,870 --> 00:03:27,470 S1: you don't already have one, you'll need 3 to 6 55 00:03:27,470 --> 00:03:30,669 S1: months worth of living expenses in the bank. Use your 56 00:03:30,669 --> 00:03:33,549 S1: budget to determine how much that is. If you had 57 00:03:33,550 --> 00:03:36,990 S1: this in place before the baby, you'll probably need to 58 00:03:37,030 --> 00:03:41,550 S1: increase the amount because your monthly expenses are likely to increase. 59 00:03:41,710 --> 00:03:45,270 S1: With a new baby, you'll be investing in essentials, some 60 00:03:45,310 --> 00:03:49,430 S1: of which, like strollers, come with surprisingly high price tags. 61 00:03:49,630 --> 00:03:53,270 S1: Covering these costs becomes much harder if you face job 62 00:03:53,270 --> 00:03:57,850 S1: loss or an unexpected medical situation. That's why it's wise 63 00:03:57,850 --> 00:04:01,290 S1: to strengthen your emergency fund now. Next up on your 64 00:04:01,290 --> 00:04:06,010 S1: new baby financial checklist. Update your taxes when your baby arrives. 65 00:04:06,010 --> 00:04:08,530 S1: You can claim the child as a dependent on your 66 00:04:08,530 --> 00:04:11,290 S1: tax return, which could get you a tax credit of 67 00:04:11,290 --> 00:04:15,130 S1: up to $2,200 per child. You'll also need to update 68 00:04:15,130 --> 00:04:19,090 S1: your W-4 form at work so that your withholding aligns 69 00:04:19,089 --> 00:04:21,849 S1: with your new situation. You may not need to have 70 00:04:21,850 --> 00:04:25,690 S1: quite as much withheld since you now have another dependent. 71 00:04:25,970 --> 00:04:30,490 S1: Next on your financial checklist is education savings. A 529 72 00:04:30,490 --> 00:04:33,810 S1: plan is a versatile choice that covers private K to 73 00:04:33,850 --> 00:04:38,729 S1: 12 education, vocational training and college nationwide. You can open 74 00:04:38,730 --> 00:04:41,969 S1: a plan in any state enjoying tax free investment growth 75 00:04:41,970 --> 00:04:46,170 S1: for qualified expenses. And starting this July, families will also 76 00:04:46,170 --> 00:04:50,090 S1: have access to the new Trump accounts, government seated investment 77 00:04:50,089 --> 00:04:54,790 S1: vehicles offering tax deferred growth and flexibility for kids later 78 00:04:54,790 --> 00:04:59,589 S1: on for costs related to homeownership, business, startups, or education. 79 00:04:59,790 --> 00:05:03,229 S1: Best of all, they allow employers, family members and friends 80 00:05:03,230 --> 00:05:07,910 S1: to contribute without needing earned income. With these expanding options, 81 00:05:07,950 --> 00:05:11,029 S1: now is a great time to consider which approach or 82 00:05:11,029 --> 00:05:15,830 S1: combination best fits your goals. Finally, consider placing a credit 83 00:05:15,830 --> 00:05:18,909 S1: freeze on your child's file with the major bureaus to 84 00:05:18,950 --> 00:05:22,830 S1: help protect against identity theft. Your calls are next. We'll 85 00:05:22,830 --> 00:05:23,550 S1: be right back. 86 00:05:34,430 --> 00:05:37,270 S2: The opinions offered during this program represent the personal or 87 00:05:37,270 --> 00:05:41,390 S2: professional opinions of the participants, given for informational purposes only. 88 00:05:41,550 --> 00:05:44,830 S2: Any information provided is not intended to replace advice from 89 00:05:44,830 --> 00:05:48,630 S2: a financial, medical, legal, or other professional who understands your 90 00:05:48,630 --> 00:05:50,070 S2: specific situation. 91 00:05:58,850 --> 00:06:01,369 S1: Thanks for joining us today on Faith and Finance Live. 92 00:06:01,370 --> 00:06:04,369 S1: I'm Rob West. Well looking forward to taking your calls 93 00:06:04,370 --> 00:06:07,210 S1: and questions today. So whenever you're thinking about in your 94 00:06:07,210 --> 00:06:09,529 S1: financial life go ahead and call right now. We'd love 95 00:06:09,529 --> 00:06:12,570 S1: to dive into it with you, help you process it 96 00:06:12,570 --> 00:06:15,130 S1: through the lens of biblical wisdom. That's what we do 97 00:06:15,170 --> 00:06:17,529 S1: each day on this program, and we'd love to have 98 00:06:17,529 --> 00:06:19,890 S1: you a part of the broadcast today. Also coming up 99 00:06:19,890 --> 00:06:22,610 S1: in our final segment today, Jerry Boyer stops by. We'll 100 00:06:22,610 --> 00:06:26,490 S1: get to Jerry's take on what's moving the markets today. 101 00:06:26,490 --> 00:06:31,330 S1: And there's a lot the Dow Jones ending about 450 102 00:06:31,330 --> 00:06:34,850 S1: points lower. Now that was off its lows of the session. 103 00:06:35,290 --> 00:06:39,650 S1: It finished just less than 1% lower. What's weighing on 104 00:06:39,650 --> 00:06:44,650 S1: the markets today. Well Trump's comments the president's comments about 105 00:06:44,650 --> 00:06:47,330 S1: Iran that there would be no deal to end the 106 00:06:47,330 --> 00:06:52,190 S1: war without unconditional surrender is spooking the markets, thinking perhaps 107 00:06:52,510 --> 00:06:56,510 S1: this may last a bit longer. Um, also, oil is 108 00:06:56,510 --> 00:07:01,310 S1: front and center as well. Um, the we're seeing Brent oil, 109 00:07:01,350 --> 00:07:05,950 S1: the benchmark, at least on Brent crude above $90 a barrel. Uh, 110 00:07:05,950 --> 00:07:11,190 S1: because of the war. Anything $100 a barrel and higher 111 00:07:11,190 --> 00:07:14,990 S1: for any length of time could put the economy globally 112 00:07:14,990 --> 00:07:19,030 S1: into recession. And so, uh, we're certainly getting close. The 113 00:07:19,670 --> 00:07:24,830 S1: president and the administration moving to shore up, uh, the 114 00:07:24,830 --> 00:07:30,670 S1: oil and, uh, energy markets through insurance guarantees, even discussing 115 00:07:30,950 --> 00:07:35,510 S1: escorts through the Straits of Hormuz there, uh, in order 116 00:07:35,510 --> 00:07:39,790 S1: to continue to move oil, there's hundreds of tankers just 117 00:07:39,790 --> 00:07:43,670 S1: sitting in the Gulf because they are not willing to 118 00:07:43,710 --> 00:07:46,270 S1: pass through and in many cases at this point, not 119 00:07:46,270 --> 00:07:48,990 S1: even able to. So a lot moving the markets today. 120 00:07:48,990 --> 00:07:52,650 S1: We'll get Jerry's take on that. Plus a disappointing, uh, 121 00:07:52,650 --> 00:07:58,410 S1: payroll number today. US payrolls falling by $92,000 in the 122 00:07:58,410 --> 00:08:01,970 S1: month of not 92,000 jobs, I should say, in the 123 00:08:01,970 --> 00:08:06,690 S1: month of February. Unemployment rising to 4.4%. We'll get Jerry's 124 00:08:06,690 --> 00:08:08,570 S1: take on that as well. So a lot to talk 125 00:08:08,610 --> 00:08:10,810 S1: about in our final segment. But in the meantime, we 126 00:08:10,810 --> 00:08:13,050 S1: want to take your calls and questions. So let's dive in. 127 00:08:13,050 --> 00:08:16,570 S1: We're going to begin today in Ohio Charles. Go right ahead. 128 00:08:17,730 --> 00:08:19,690 S3: Hi how are you I'm great. 129 00:08:19,730 --> 00:08:20,370 S1: Thank you for your call. 130 00:08:20,370 --> 00:08:22,730 S3: I'm so glad. Glad to talk to you. Uh, you 131 00:08:22,770 --> 00:08:27,850 S3: have been with me for about six years, so I'm really, 132 00:08:27,850 --> 00:08:31,090 S3: really pleased to, uh, actually get a chance to talk 133 00:08:31,090 --> 00:08:32,010 S3: to you for once. 134 00:08:32,490 --> 00:08:34,730 S1: Well, thank you for that. And I'm delighted you're a 135 00:08:34,730 --> 00:08:36,890 S1: longtime listener. How can I serve you today, Charles? 136 00:08:36,929 --> 00:08:41,290 S3: Yes. Uh, I have a policy of licensed, licensed life 137 00:08:41,290 --> 00:08:46,570 S3: insurance policy, uh, that I've had since 2005. And the 138 00:08:46,929 --> 00:08:54,880 S3: face value, amount is for $750,000. And I have, um, 139 00:08:54,920 --> 00:09:00,760 S3: I'm 74 years old right now. And this policy completes 140 00:09:00,760 --> 00:09:05,600 S3: at 91. Yeah, when I'm 91. And from now till then, 141 00:09:05,600 --> 00:09:09,080 S3: and I'm a very healthy individual right now, God blessed 142 00:09:09,480 --> 00:09:13,479 S3: with that. But, um, I look at the surrender value 143 00:09:13,480 --> 00:09:17,600 S3: on it at $60,000. And I wonder, could I be 144 00:09:17,600 --> 00:09:21,520 S3: using that more wisely by taking that? Um, I'm never 145 00:09:21,520 --> 00:09:25,400 S3: going to see that money if I obviously live that long. Um, 146 00:09:25,640 --> 00:09:30,360 S3: but does that is that something that's even feasible or 147 00:09:30,640 --> 00:09:31,360 S3: makes sense? 148 00:09:31,360 --> 00:09:35,359 S1: Or it could. It certainly could. What type of policy 149 00:09:35,360 --> 00:09:36,920 S1: is this? What could you call a. 150 00:09:36,960 --> 00:09:41,000 S3: Universal life protector? I don't know if that helps you 151 00:09:41,000 --> 00:09:44,079 S3: or not, but that's what the policy type is. Um, 152 00:09:45,640 --> 00:09:48,980 S3: you know, that's pretty much all I know about it. 153 00:09:49,340 --> 00:09:51,860 S1: Got it. Okay. Yeah. So that gives a little more 154 00:09:51,860 --> 00:09:56,179 S1: context because these are usually designed primarily for the death benefit, 155 00:09:56,300 --> 00:09:59,740 S1: not as an investment vehicle. Uh, so it provides a 156 00:09:59,740 --> 00:10:02,900 S1: guaranteed death benefit to a certain age. In your case, 157 00:10:02,900 --> 00:10:07,420 S1: it's 91, has some cash value, but that's often secondary. 158 00:10:07,700 --> 00:10:12,219 S1: And they're structured so the insurance coverage is the main value. 159 00:10:12,220 --> 00:10:16,380 S1: So the primary question becomes is the death benefit still 160 00:10:16,380 --> 00:10:19,540 S1: valuable to you and your family. Um you know so 161 00:10:19,540 --> 00:10:22,300 S1: we've got to explore that always as you know, the 162 00:10:22,300 --> 00:10:27,059 S1: primary consideration. And you know, if you're depending upon it 163 00:10:27,059 --> 00:10:30,819 S1: because you need to protect a spouse, replace income, cover debts, 164 00:10:31,020 --> 00:10:33,700 S1: you know, that's the reason we typically have insurance, especially 165 00:10:33,700 --> 00:10:38,540 S1: during our working years. But if that need no longer exists, 166 00:10:39,260 --> 00:10:42,460 S1: then the policy may no longer be necessary. And in 167 00:10:42,500 --> 00:10:46,840 S1: that case, accessing the cash value could be reasonable. Obviously, 168 00:10:46,840 --> 00:10:51,440 S1: it's extending out with a pretty nice payout beyond typical 169 00:10:51,440 --> 00:10:54,160 S1: life expectancy, which would be, you know, once you reach 170 00:10:54,160 --> 00:10:57,720 S1: age 65 for a male in the US. Uh, you know, 171 00:10:57,760 --> 00:11:01,440 S1: it's probably like 82. And so we're we're talking nine 172 00:11:01,440 --> 00:11:05,920 S1: years beyond that. Uh, so there's an elevated chance that, 173 00:11:05,960 --> 00:11:08,800 S1: you know, this policy could pay out and then it 174 00:11:08,800 --> 00:11:11,199 S1: would be a death benefit, either for a living spouse 175 00:11:11,200 --> 00:11:14,040 S1: or to pass on to your heirs, or that could 176 00:11:14,040 --> 00:11:16,480 S1: be given away. And so, you know, we need to 177 00:11:16,520 --> 00:11:21,120 S1: consider that that's a significant sum of money. Um, but, 178 00:11:21,360 --> 00:11:24,840 S1: you know, if there are no heirs or estate goals 179 00:11:24,840 --> 00:11:29,120 S1: or the premiums are burdensome or the cash value is significant, 180 00:11:29,120 --> 00:11:34,040 S1: in this case, we're talking, you know, $60,000. And, you know, 181 00:11:34,080 --> 00:11:35,959 S1: the question would just be, what could we do with 182 00:11:35,960 --> 00:11:41,000 S1: that 60,000 over the next, um, you know, 17 years, uh, 183 00:11:41,000 --> 00:11:43,280 S1: to get anywhere close to that amount of money, we 184 00:11:43,280 --> 00:11:46,220 S1: certainly wouldn't get there with a typical rate of return. 185 00:11:46,220 --> 00:11:48,980 S1: But just given what I've shared there, what are your 186 00:11:48,980 --> 00:11:52,380 S1: thoughts about surrendering this and the role it's playing? 187 00:11:53,059 --> 00:11:57,460 S3: I'm debt free now, so we're blessed with that. And we, um, 188 00:11:57,700 --> 00:12:02,540 S3: are financially in good shape. So I, um, I just 189 00:12:02,540 --> 00:12:04,700 S3: wanted to look at that. And I guess I thought 190 00:12:04,700 --> 00:12:07,860 S3: if we could invest that 60,000 over the next ten 191 00:12:07,860 --> 00:12:13,100 S3: years and, um, you know, recover that, that would that 192 00:12:13,100 --> 00:12:15,940 S3: would help. Uh, but I don't need it. I guess 193 00:12:15,980 --> 00:12:18,100 S3: that's the bottom line. I don't need it. 194 00:12:18,460 --> 00:12:22,100 S1: Yeah. Yeah, exactly. And I think that's the idea. What 195 00:12:22,100 --> 00:12:23,540 S1: is the premium annually? 196 00:12:24,620 --> 00:12:30,180 S3: Uh, the premium annually of. I don't I don't have 197 00:12:30,179 --> 00:12:33,500 S3: that in front of me. Um, I don't have to. 198 00:12:33,540 --> 00:12:35,459 S3: I don't have to pay for. I mean, I stopped 199 00:12:35,460 --> 00:12:39,020 S3: paying premiums, uh, probably 3 or 4 years ago, so 200 00:12:39,059 --> 00:12:41,260 S3: I haven't paid premiums, but now. 201 00:12:41,340 --> 00:12:44,400 S1: Now it's just pulling from the death from the cash value. 202 00:12:44,400 --> 00:12:44,719 S1: Is that. 203 00:12:44,720 --> 00:12:49,080 S3: Right? And the cash in? Yeah. And it goes down quickly. Um, 204 00:12:49,600 --> 00:12:51,880 S3: you know, when they start pulling it out? 205 00:12:52,440 --> 00:12:55,880 S1: Yes. Right. Because there's a lot of mortality expense there 206 00:12:55,880 --> 00:13:00,120 S1: as you age to keep this policy in force. Um, 207 00:13:00,480 --> 00:13:03,120 S1: and so I would expect that, uh, that that would 208 00:13:03,120 --> 00:13:06,559 S1: be going down rapidly. Um, you know, I think as 209 00:13:06,559 --> 00:13:09,160 S1: we look at this, um, you know, with the you 210 00:13:09,160 --> 00:13:11,240 S1: said it was 750,000 death benefit. 211 00:13:11,280 --> 00:13:11,800 S3: Yes. 212 00:13:12,160 --> 00:13:14,920 S1: So it's it's the trade off between keeping the guaranteed 213 00:13:14,920 --> 00:13:20,880 S1: benefit versus the, you know, the, uh, future value potentially 214 00:13:20,880 --> 00:13:25,880 S1: of 60,000 invested today. Um, so you're 70 for the 215 00:13:25,880 --> 00:13:29,880 S1: effective return on that death benefit, you know, can be 216 00:13:29,880 --> 00:13:36,880 S1: quite significant. Um, so, for example, the current value today, 60,000, uh, 217 00:13:36,880 --> 00:13:42,070 S1: with a death benefit of 750,000. 17 years. Uh, that's 218 00:13:42,070 --> 00:13:46,510 S1: a large payout relative to the cash value. Um, you know, 219 00:13:46,550 --> 00:13:48,990 S1: if we look at what that could reasonably grow to 220 00:13:49,030 --> 00:13:51,830 S1: over an 8% return, it could be a quarter of 221 00:13:51,830 --> 00:13:55,990 S1: $1 million. So I think the question is, you know, 222 00:13:56,030 --> 00:13:58,030 S1: we know it's not going to get to the 750, 223 00:13:58,070 --> 00:14:01,630 S1: especially tax free, which is what that that death benefit 224 00:14:01,630 --> 00:14:04,069 S1: would be. And so you've just really got to look 225 00:14:04,070 --> 00:14:06,469 S1: at the trade off between what that could mean for 226 00:14:06,470 --> 00:14:11,470 S1: your estate and heirs and giving uh, versus especially with 227 00:14:11,470 --> 00:14:14,910 S1: longevity on your side versus the quarter of $1 million 228 00:14:14,910 --> 00:14:17,710 S1: you could put to work and then make that call. 229 00:14:17,710 --> 00:14:19,870 S1: I don't think there's a right or wrong answer here. 230 00:14:19,870 --> 00:14:22,230 S1: I think it really comes down to which thing is 231 00:14:22,230 --> 00:14:25,110 S1: most important. Hang on the line. We'll talk a bit more. 232 00:14:25,110 --> 00:14:37,110 S1: We'll be right back. Great to have you with us 233 00:14:37,110 --> 00:14:39,750 S1: today on Faith and Finance live. I'm Rob West. I 234 00:14:39,750 --> 00:14:42,570 S1: had a chance to visit a bit more with Charles 235 00:14:42,570 --> 00:14:45,610 S1: off the air. Again, he's 74, has this policy that's 236 00:14:45,610 --> 00:14:49,090 S1: going to run through age 91 that will pay out 237 00:14:49,090 --> 00:14:53,410 S1: 750,000 if he passes away prior to that. It's got 238 00:14:53,410 --> 00:14:56,250 S1: 60,000 in cash value today if he were to access 239 00:14:56,250 --> 00:14:58,490 S1: that and invest it, and let's say he were to 240 00:14:58,490 --> 00:15:01,250 S1: get a 6% annual return. I mean, he could he 241 00:15:01,250 --> 00:15:07,450 S1: could see potentially somewhere around 160,000. If he did better 242 00:15:07,450 --> 00:15:10,690 S1: than that, he could, you know, get upwards of 200,000. 243 00:15:10,730 --> 00:15:13,770 S1: Still quite a bit of a gap there. But, you know, 244 00:15:13,810 --> 00:15:18,610 S1: 91 is a good bit beyond typical life expectancy, although 245 00:15:18,650 --> 00:15:21,010 S1: many people are living into their 90s these days. And 246 00:15:21,010 --> 00:15:23,570 S1: so there's not a right or wrong decision here, especially 247 00:15:23,570 --> 00:15:26,730 S1: since he doesn't need the money. And, you know, I 248 00:15:26,730 --> 00:15:28,130 S1: think at the end of the day, he and his 249 00:15:28,130 --> 00:15:30,690 S1: wife are going to pray through it and decide, uh, 250 00:15:30,730 --> 00:15:32,650 S1: you know, how to proceed. I mean, the nice thing is, 251 00:15:32,650 --> 00:15:35,930 S1: if he gets the 60,000 today, uh, he can get 252 00:15:35,930 --> 00:15:38,690 S1: that money working for him, and that's something he can use. 253 00:15:38,690 --> 00:15:41,390 S1: Let's say he lives well into his 90s, at which 254 00:15:41,390 --> 00:15:44,110 S1: point this policy is gone, because it would be cost 255 00:15:44,110 --> 00:15:46,230 S1: prohibitive to keep it in force. I mean, it would 256 00:15:46,270 --> 00:15:49,070 S1: it would not be possible. At least he's got something 257 00:15:49,070 --> 00:15:50,910 S1: to show for it that he could pass on to 258 00:15:50,950 --> 00:15:53,470 S1: heirs or give away. But they're going to think and 259 00:15:53,470 --> 00:15:56,030 S1: pray it through. This is a tough one. Um, we'll, uh, 260 00:15:56,030 --> 00:15:58,310 S1: we'll ask the Lord to give Charles some wisdom on that. 261 00:15:58,310 --> 00:16:00,390 S1: Let's go to Georgia. Karen, how can I help? 262 00:16:02,110 --> 00:16:05,030 S4: Hey, Rob. Yeah. Second time caller. Um, hooked me up 263 00:16:05,030 --> 00:16:08,390 S4: with the last time, and they offered a lot of 264 00:16:08,430 --> 00:16:12,950 S4: good advice. So highly recommend those guys. My situation now 265 00:16:12,990 --> 00:16:17,470 S4: is my daughter recently, uh, became a life insurance agent. 266 00:16:17,470 --> 00:16:20,550 S4: So she's pushing life insurance on everybody that she can 267 00:16:20,550 --> 00:16:23,150 S4: get because she's trying to pay her mortgage. I, on 268 00:16:23,150 --> 00:16:27,030 S4: the other hand, don't have a mortgage. I'm 62. My 269 00:16:27,030 --> 00:16:32,030 S4: husband's 60. We don't have any. Any 401 K. No 270 00:16:32,030 --> 00:16:35,710 S4: real big savings. However, we invested about ten years ago, 271 00:16:35,710 --> 00:16:39,850 S4: we started investing in precious metals. We have gold and silver, 272 00:16:39,850 --> 00:16:41,530 S4: which I don't have to tell you what's going on 273 00:16:41,530 --> 00:16:46,090 S4: with that. We invested 30,010 years ago. It's over 100,000 now. 274 00:16:46,290 --> 00:16:50,570 S4: So we've got some good, we think investment in precious metals. 275 00:16:50,570 --> 00:16:55,330 S4: We also have about a $200,000 property that's paid for. 276 00:16:56,010 --> 00:16:59,810 S4: We owe a family member 60,000 for some of the land, 277 00:16:59,810 --> 00:17:03,370 S4: but he's getting ready to inherit 100,000. So that's going 278 00:17:03,370 --> 00:17:06,810 S4: to wipe out that debt. And we'll even have a 279 00:17:06,810 --> 00:17:10,570 S4: little bit of cash left over. Um, my daughter is 280 00:17:10,570 --> 00:17:13,450 S4: freaking out a little bit because we don't have life insurance, 281 00:17:13,450 --> 00:17:20,330 S4: but with $100,000 in precious metals and $200,000 potentially probably. 282 00:17:20,369 --> 00:17:24,210 S4: We're hoping by today, actually, that house will sell and 283 00:17:24,250 --> 00:17:27,410 S4: each of the siblings will get about 100,000. I'll pay 284 00:17:27,410 --> 00:17:30,810 S4: off that debt. We don't have credit card debt. We 285 00:17:30,850 --> 00:17:34,810 S4: don't have. I got a $10,000 car payment card debt, 286 00:17:34,810 --> 00:17:37,710 S4: but we'll pay that off with the inheritance too, but 287 00:17:37,710 --> 00:17:42,390 S4: with no debt. $30,000 cash in the bank. Some good 288 00:17:42,390 --> 00:17:46,190 S4: precious metals, some good equity and a, you know, $200,000. 289 00:17:46,230 --> 00:17:47,390 S4: Do I really? 290 00:17:47,590 --> 00:17:48,109 S1: Yeah. 291 00:17:48,270 --> 00:17:51,310 S4: She thinks she's got me hooked up with a life 292 00:17:51,310 --> 00:17:56,070 S4: insurance policy that pays out 50,000 because she's worried about inheritance. 293 00:17:56,109 --> 00:17:59,470 S4: You know, Scripture says inheritance. And I said no, no. Yeah. 294 00:17:59,510 --> 00:18:01,510 S4: That's different. Inheritance, girl. 295 00:18:01,790 --> 00:18:04,510 S1: Well, there's a lot of things going on here. And 296 00:18:04,510 --> 00:18:06,350 S1: I would agree with you about that last comment. We'll 297 00:18:06,350 --> 00:18:09,390 S1: get to that. So question are either of you or 298 00:18:09,390 --> 00:18:10,510 S1: your husband working? 299 00:18:12,270 --> 00:18:15,910 S4: Uh, working is a relative term. I am a contractor. 300 00:18:15,910 --> 00:18:19,070 S4: I have, uh, my, all of my my revenue that 301 00:18:19,070 --> 00:18:22,229 S4: I make on a 29 hour a week commitment that 302 00:18:22,230 --> 00:18:28,070 S4: I make to serve. I do get compensated about $45,100 303 00:18:28,070 --> 00:18:32,590 S4: a month. So I have that. I don't plan super healthy. 304 00:18:32,830 --> 00:18:37,210 S4: Both of us super healthy. Um, I don't have any 305 00:18:37,210 --> 00:18:40,530 S4: intentions of stopping work. You know, Scripture doesn't say that 306 00:18:40,530 --> 00:18:42,970 S4: whole lot about retirement, and I don't plan. I don't 307 00:18:42,970 --> 00:18:45,650 S4: want to stop working, if you will. So. 308 00:18:45,690 --> 00:18:47,610 S1: But what are you living? What are you all living on? 309 00:18:47,609 --> 00:18:48,810 S1: How are you paying your bills? 310 00:18:49,890 --> 00:18:54,330 S4: All of our bills are paid by my revenue. Uh, 311 00:18:54,330 --> 00:18:57,850 S4: my income, if you will. I don't call it income, but, yeah, 312 00:18:57,970 --> 00:19:01,210 S4: I bring home 4400. Most of it pays unless we 313 00:19:01,210 --> 00:19:05,530 S4: do something crazy. Um, my husband is an electrician. He 314 00:19:05,530 --> 00:19:10,210 S4: does handiwork on the side, so we don't count his 315 00:19:10,250 --> 00:19:14,970 S4: as income. Most of the bills that we pay are 316 00:19:15,250 --> 00:19:19,890 S4: paid by me. So, I mean, if anything happens to me, 317 00:19:19,890 --> 00:19:21,890 S4: then he's out. But he's only out half of that 318 00:19:21,890 --> 00:19:24,369 S4: because I'm the other half. 319 00:19:25,090 --> 00:19:28,730 S1: Right. Okay. And, uh, the home that you were describing. 320 00:19:28,730 --> 00:19:30,730 S1: So tell me who's home that is and where those 321 00:19:30,730 --> 00:19:32,530 S1: proceeds are going when it sells. 322 00:19:34,200 --> 00:19:38,200 S4: Um, the the home is in, um, a trust that's 323 00:19:38,200 --> 00:19:42,600 S4: in my husband and i's name. Okay. And when we die, 324 00:19:42,640 --> 00:19:44,480 S4: the proceeds are going to go to. 325 00:19:45,280 --> 00:19:47,480 S1: You were talking about selling the home when you pass away, 326 00:19:47,480 --> 00:19:50,320 S1: but this is your primary residence. This isn't an investment. 327 00:19:51,400 --> 00:19:57,199 S4: Correct? Primary residence. Um, when when we die, uh, the 328 00:19:57,200 --> 00:20:00,880 S4: kids get. Or the second of us, whoever dies, um, 329 00:20:01,000 --> 00:20:03,440 S4: when they. When we die, they're going to get the. 330 00:20:04,040 --> 00:20:07,639 S4: As it stands, $300,000 in inheritance. So why do I 331 00:20:07,640 --> 00:20:10,640 S4: need a life insurance to pay $50,000? 332 00:20:10,800 --> 00:20:13,280 S1: Yeah, I would be less concerned about that because I 333 00:20:13,280 --> 00:20:15,600 S1: would agree with you. The purpose here is for you 334 00:20:15,600 --> 00:20:18,160 S1: all to be able to maintain your lifestyle, steward what 335 00:20:18,200 --> 00:20:20,880 S1: God has entrusted to you, not pay for a life 336 00:20:20,880 --> 00:20:24,040 S1: insurance policy to fund an inheritance. Now, some people choose 337 00:20:24,040 --> 00:20:26,520 S1: to do that, but that wouldn't be the approach I 338 00:20:26,520 --> 00:20:28,680 S1: would take. I think the purpose of life insurance is 339 00:20:28,680 --> 00:20:33,300 S1: to offset a risk, namely the the loss of income 340 00:20:33,780 --> 00:20:37,220 S1: and the ability to pay off debts or provide for dependents, 341 00:20:37,220 --> 00:20:39,380 S1: which you don't. You have adult children now. You don't 342 00:20:39,380 --> 00:20:41,940 S1: have any dependents. And I would agree with you that 343 00:20:41,940 --> 00:20:45,100 S1: passage about leaving an inheritance to our children's children, if 344 00:20:45,100 --> 00:20:47,420 S1: you look at it in in the full context, was 345 00:20:47,420 --> 00:20:51,180 S1: really more about a spiritual inheritance than anything else. Um, 346 00:20:51,220 --> 00:20:53,659 S1: and so it's not that you have an obligation to 347 00:20:53,700 --> 00:20:57,540 S1: leave a financial inheritance to your kids. Um, the only 348 00:20:57,580 --> 00:21:00,460 S1: thing I'm hearing in your situation that causes me any 349 00:21:00,500 --> 00:21:03,899 S1: pause is just your very illiquid. I mean, the gold 350 00:21:03,900 --> 00:21:07,420 S1: is illiquid, the home is illiquid. Unless you were to 351 00:21:07,420 --> 00:21:11,060 S1: do a reverse mortgage, which you could do to, you know, 352 00:21:11,100 --> 00:21:14,379 S1: start pulling money out of that. Um, but if your 353 00:21:14,380 --> 00:21:17,900 S1: income went away, my, you know, my question would be 354 00:21:18,020 --> 00:21:21,100 S1: how would your husband pay the bills? And I'm assuming 355 00:21:21,100 --> 00:21:24,540 S1: he would just dial up his handyman work until he 356 00:21:24,540 --> 00:21:27,700 S1: could take Social Security and then just continue living modestly. 357 00:21:27,700 --> 00:21:28,500 S1: Is that right? 358 00:21:29,460 --> 00:21:30,100 S4: Correct. 359 00:21:30,520 --> 00:21:33,439 S1: Yeah. Uh, and. Yeah. So, I mean, I think that's 360 00:21:33,440 --> 00:21:35,640 S1: the key here. So I don't really see a need 361 00:21:35,640 --> 00:21:38,800 S1: for life insurance. I mean, maybe a small policy to 362 00:21:38,800 --> 00:21:42,400 S1: get you until the place, you know, you all stop working. 363 00:21:42,400 --> 00:21:44,040 S1: But as long as you have a plan to cover 364 00:21:44,040 --> 00:21:47,159 S1: your income, if either of you pass away, I wouldn't 365 00:21:47,160 --> 00:21:49,879 S1: be paying and adding an additional expense on top of 366 00:21:49,880 --> 00:21:53,400 S1: everything else for a for an expensive life insurance policy 367 00:21:53,400 --> 00:21:55,920 S1: at this point. So I'd say I would agree with you. 368 00:21:55,920 --> 00:21:58,280 S1: Not needed. Stay on the line. We'll talk a bit more. 369 00:21:58,280 --> 00:22:09,080 S1: We'll be right back. Helping you live with God is 370 00:22:09,080 --> 00:22:12,639 S1: your ultimate treasure money a tool to accomplish God's purposes, 371 00:22:12,640 --> 00:22:15,639 S1: to bring him glory, to provide, uh, but also to 372 00:22:15,680 --> 00:22:18,520 S1: give and invest in a way that furthers the kingdom, 373 00:22:18,520 --> 00:22:21,840 S1: allows us to participate in God's activities. We're taking your 374 00:22:21,840 --> 00:22:25,159 S1: calls today at 805, two five 7000. And then in 375 00:22:25,200 --> 00:22:28,000 S1: the next segment, Jerry Boyer stops by to help us 376 00:22:28,000 --> 00:22:30,179 S1: process all the news of the day in light of 377 00:22:30,180 --> 00:22:33,780 S1: the markets, namely the war in Iran. What's going on 378 00:22:33,780 --> 00:22:37,020 S1: in the energy and oil markets? Because the Strait of 379 00:22:37,020 --> 00:22:41,420 S1: Hormuz is effectively closed, that's cut off about 20% of 380 00:22:41,420 --> 00:22:45,820 S1: the world's energy that moves through that passageway. Not to 381 00:22:45,859 --> 00:22:51,460 S1: mention soft jobs report. We, uh, we lost many more jobs, 92,000, 382 00:22:51,500 --> 00:22:54,740 S1: in February than were expected. Jerry will help us think 383 00:22:54,740 --> 00:22:56,860 S1: through all of that in the next segment. Uh, I 384 00:22:56,859 --> 00:22:58,940 S1: did get a chance to visit just a bit more 385 00:22:58,940 --> 00:23:01,659 S1: with Karen off the air. You know, the other risk 386 00:23:01,660 --> 00:23:04,020 S1: that she has that we didn't talk about on the 387 00:23:04,020 --> 00:23:07,140 S1: air is just all of her investable assets are in 388 00:23:07,140 --> 00:23:10,940 S1: gold and precious metals, so they're illiquid. They don't provide 389 00:23:10,940 --> 00:23:13,139 S1: an income. And we talked about the fact that there's 390 00:23:13,140 --> 00:23:16,060 S1: been long stretches of time over the last hundred years 391 00:23:16,060 --> 00:23:18,820 S1: where gold is flat to down, despite the fact that 392 00:23:18,820 --> 00:23:20,740 S1: it's had a nice run up in the last few years. 393 00:23:20,740 --> 00:23:24,179 S1: But there's some concentration risk in having all of her 394 00:23:24,180 --> 00:23:28,560 S1: investable assets in precious metals. I'd rather see over time 395 00:23:28,560 --> 00:23:31,639 S1: her move to more like 10% in gold, 90% of 396 00:23:31,680 --> 00:23:35,520 S1: that 100,000 invested in stocks and bonds. But we also 397 00:23:35,520 --> 00:23:38,000 S1: talked about her bigger risk right now is probably long 398 00:23:38,040 --> 00:23:41,400 S1: term care insurance, more than life insurance, just given where 399 00:23:41,400 --> 00:23:43,960 S1: they're at in this season of life. All right. Let's, uh, 400 00:23:43,960 --> 00:23:46,119 S1: head back to the phones. We'll head to Tennessee. David, 401 00:23:46,119 --> 00:23:47,520 S1: thanks for your patience. Go ahead. 402 00:23:49,359 --> 00:23:51,879 S5: Uh, yes. Rob, I was wanting to know how to 403 00:23:51,880 --> 00:23:54,680 S5: keep my estate out of probate. 404 00:23:55,760 --> 00:24:00,639 S1: Mhm. Yeah. Uh. Great question. So probate is simply the 405 00:24:00,640 --> 00:24:04,360 S1: legal process of settling in a state. Uh, but many 406 00:24:04,359 --> 00:24:07,960 S1: assets pass outside of probate with a little bit of planning. 407 00:24:08,160 --> 00:24:11,840 S1: So the goal is to make sure your assets transfer 408 00:24:11,880 --> 00:24:15,520 S1: directly to someone at death, if you can. And here's 409 00:24:15,520 --> 00:24:18,040 S1: the most common ways to do that. Uh, first would 410 00:24:18,040 --> 00:24:22,920 S1: be what are called beneficiary designations. So many financial accounts 411 00:24:22,960 --> 00:24:27,389 S1: like retirement accounts, life insurance policies, annuities allow you to 412 00:24:27,430 --> 00:24:32,030 S1: name a beneficiary or beneficiaries. These pass right away and 413 00:24:32,030 --> 00:24:35,510 S1: they go outside of probate. So that'd be a strategy 414 00:24:35,510 --> 00:24:38,830 S1: number one. Number two is what's called payable on death 415 00:24:38,830 --> 00:24:42,630 S1: or transfer on death. These would apply to bank accounts 416 00:24:42,630 --> 00:24:46,270 S1: and investment accounts. You can even do that on real 417 00:24:46,270 --> 00:24:50,430 S1: estate depending on whether your state allows it. And it's 418 00:24:50,430 --> 00:24:54,590 S1: called a Tod deed. And you would have to retitle 419 00:24:54,630 --> 00:24:56,389 S1: the home in the name of the. You'd have to 420 00:24:56,430 --> 00:25:00,390 S1: update the deed, but you would have essentially a transfer 421 00:25:00,390 --> 00:25:04,310 S1: on death so that your home would pass directly to 422 00:25:04,350 --> 00:25:08,710 S1: a beneficiary without probate. Um, the other is you could 423 00:25:08,710 --> 00:25:11,470 S1: have joint ownership with a property. And so it has 424 00:25:11,470 --> 00:25:16,270 S1: right of survivorship. So the surviving owner automatically receives the property. 425 00:25:16,630 --> 00:25:19,430 S1: So those are the simplest ways. There's one more way 426 00:25:19,430 --> 00:25:21,910 S1: that's a little bit more comprehensive and a little more 427 00:25:21,910 --> 00:25:27,130 S1: complex and expensive. And that's what's called a revocable living trust, 428 00:25:27,530 --> 00:25:31,810 S1: and it's one of the more comprehensive ways to avoid probate. Essentially, 429 00:25:31,970 --> 00:25:34,850 S1: you would have a trust created by an attorney. Um, 430 00:25:35,330 --> 00:25:40,210 S1: the trustee that you name would then distribute your assets 431 00:25:40,570 --> 00:25:42,650 S1: that are titled in the name of the trust. So 432 00:25:42,650 --> 00:25:46,770 S1: that means anything. You have your home, your investment accounts, uh, 433 00:25:46,770 --> 00:25:49,330 S1: needs to be retitled in the name of the trust. 434 00:25:49,330 --> 00:25:52,090 S1: But at that point, at your passing or even prior 435 00:25:52,090 --> 00:25:55,489 S1: to your passing, if you're incapacitated, your trustee would be 436 00:25:55,530 --> 00:26:00,850 S1: able to distribute assets directly to beneficiaries. Probate would be avoided. 437 00:26:00,850 --> 00:26:04,330 S1: That means the time and expense related to probate could 438 00:26:04,330 --> 00:26:07,810 S1: be eliminated. But, you know, that requires you to put 439 00:26:07,850 --> 00:26:12,130 S1: a 3 or $4000 revocable living trust in place and 440 00:26:12,130 --> 00:26:14,929 S1: then retitle your assets in the name of the trust. 441 00:26:15,130 --> 00:26:17,690 S1: Those would be David. I know that's a lot of information, 442 00:26:17,690 --> 00:26:20,490 S1: but those would be the most common ways to solve 443 00:26:20,490 --> 00:26:22,650 S1: for what you asked for, and that is how to 444 00:26:23,190 --> 00:26:26,550 S1: I avoid probate for my stuff when I die. But 445 00:26:26,550 --> 00:26:27,430 S1: give me your thoughts. 446 00:26:28,950 --> 00:26:32,270 S5: Well, I've got all my bank accounts. I've got some 447 00:26:32,310 --> 00:26:35,150 S5: CDs and savings account and checking account, and I've got 448 00:26:35,150 --> 00:26:40,630 S5: all that payable to my two children up on my desk, 449 00:26:40,670 --> 00:26:45,070 S5: payable to them upon death. So that. Take care of that. 450 00:26:45,550 --> 00:26:49,550 S1: Yeah. So you've got them named as beneficiaries or transfer 451 00:26:49,550 --> 00:26:51,750 S1: on death payable on death on those accounts. 452 00:26:52,430 --> 00:26:53,310 S5: Yes. 453 00:26:53,350 --> 00:26:56,310 S1: Yeah. Those are covered then. So what we're talking about 454 00:26:56,310 --> 00:27:01,030 S1: is your home and then your personal effects and other things. 455 00:27:01,630 --> 00:27:03,670 S5: I've got a house in 20 acres is the only 456 00:27:03,670 --> 00:27:07,710 S5: other thing, you know, the only other big deal that 457 00:27:07,710 --> 00:27:08,390 S5: I've got. 458 00:27:08,590 --> 00:27:10,910 S1: Okay, so that would be the other thing is that 459 00:27:10,910 --> 00:27:15,429 S1: you could either look at possibly putting a Todd deed 460 00:27:15,430 --> 00:27:20,270 S1: in place. Um, the question would be whether that's possible 461 00:27:20,270 --> 00:27:23,369 S1: in Tennessee. Uh, let me see if if it is, 462 00:27:23,369 --> 00:27:26,210 S1: I can just look that up really quick. Uh, no. 463 00:27:26,210 --> 00:27:29,850 S1: So Tennessee does not allow transfer on death deed. Um, 464 00:27:29,890 --> 00:27:32,090 S1: so really, the only way you'd be able to do 465 00:27:32,090 --> 00:27:35,450 S1: that is the revocable living trust. You'd have to have 466 00:27:35,450 --> 00:27:38,250 S1: an attorney create it, and then you would transfer the 467 00:27:38,250 --> 00:27:41,770 S1: home into the trust and the the related property while 468 00:27:41,770 --> 00:27:44,170 S1: you're alive. And then when you pass away, you'd have 469 00:27:44,170 --> 00:27:47,889 S1: a trustee that would transfer that property directly and avoid probate. 470 00:27:49,369 --> 00:27:53,970 S5: I couldn't I just make another deed and put me 471 00:27:54,170 --> 00:27:59,690 S5: and my two children, owners of this house in 20 acres. Oh, see, 472 00:27:59,690 --> 00:28:00,850 S5: it's just me now. 473 00:28:01,170 --> 00:28:05,010 S1: Yeah. That's problematic. And here's why. Because then you would 474 00:28:05,010 --> 00:28:08,650 S1: be gifting that to them, which is okay. There wouldn't 475 00:28:08,650 --> 00:28:12,290 S1: be any taxes there. However, they would not get a 476 00:28:12,290 --> 00:28:15,930 S1: very key, uh, treatment at death, which is what's called 477 00:28:15,930 --> 00:28:19,170 S1: a step up in basis. So if they inherit the 478 00:28:19,170 --> 00:28:23,230 S1: home and the acreage, The cost basis for that is 479 00:28:23,230 --> 00:28:26,950 S1: no longer what you paid for it. It's the market 480 00:28:26,950 --> 00:28:29,430 S1: value as of the date of death. And then when 481 00:28:29,430 --> 00:28:31,270 S1: they sell it, if they turn around and sell it 482 00:28:31,270 --> 00:28:33,790 S1: right away, they would not pay any capital gains taxes 483 00:28:33,790 --> 00:28:37,909 S1: because they enjoy that step up in basis as inheritors. 484 00:28:37,910 --> 00:28:39,990 S1: If you put them on the deed. Now you would 485 00:28:39,990 --> 00:28:44,270 S1: be gifting them one third each if there's two of 486 00:28:44,270 --> 00:28:47,270 S1: them of the property, and then you'd have to tell 487 00:28:47,270 --> 00:28:49,150 S1: the IRS you did it, although you wouldn't have to 488 00:28:49,150 --> 00:28:51,190 S1: pay any gift tax, and because it'd be under the 489 00:28:51,190 --> 00:28:55,030 S1: $13 million. Um, but they would no longer get that 490 00:28:55,030 --> 00:28:57,910 S1: step up in basis. They would have to pay capital 491 00:28:57,910 --> 00:29:00,070 S1: gains tax going all the way back to when you 492 00:29:00,070 --> 00:29:00,670 S1: bought it. 493 00:29:03,630 --> 00:29:06,310 S5: Okay. Well, there's one other thing I wanted to ask 494 00:29:06,310 --> 00:29:10,430 S5: you real quick. Um, last year you told me that 495 00:29:10,830 --> 00:29:15,750 S5: for 2025, I could give my children 19,000 apiece without 496 00:29:15,750 --> 00:29:19,550 S5: having to report it to the IRS. Has it changed 497 00:29:19,610 --> 00:29:21,530 S5: this year for 2026. 498 00:29:22,610 --> 00:29:28,490 S1: Yeah. So the the annual gift limit for 2026 is 19,000. Uh, 499 00:29:28,490 --> 00:29:31,530 S1: so it is the that is the number. And and 500 00:29:31,530 --> 00:29:34,370 S1: if you, you can give that to as many individuals 501 00:29:34,370 --> 00:29:37,969 S1: as you want without reporting it to the IRS. Um, 502 00:29:38,250 --> 00:29:40,650 S1: and if you're married, you could do that times two 503 00:29:40,690 --> 00:29:42,930 S1: because each of you could give 19,000. 504 00:29:44,770 --> 00:29:48,250 S5: Okay. It was 19,000 last year. It hasn't went up any. 505 00:29:49,050 --> 00:29:55,690 S1: Uh, it is 19,000 this year. Um, yeah. For 2025. Uh, 506 00:29:55,730 --> 00:29:58,450 S1: it was 19,000 as well. 507 00:29:59,530 --> 00:30:03,490 S5: Okay. It's 19,000 for this year also 2026. 508 00:30:04,210 --> 00:30:07,890 S1: Uh, yes, sir. I believe that is right. My understanding is, yes, 509 00:30:07,890 --> 00:30:09,570 S1: it is still 19,000. 510 00:30:10,610 --> 00:30:13,930 S5: Okay. Okay. Well, that's that's all I need to know. 511 00:30:13,930 --> 00:30:15,610 S5: I appreciate you talking with me. 512 00:30:16,010 --> 00:30:19,120 S1: Absolutely, David. Lord bless you, my friend. Thanks for being 513 00:30:19,120 --> 00:30:21,520 S1: a regular listener. And call anytime. All right, we're going 514 00:30:21,560 --> 00:30:23,400 S1: to take a break. Jerry Bowyer is going to stop by. 515 00:30:23,400 --> 00:30:25,760 S1: We'll try to get to a few more calls as well. 516 00:30:25,800 --> 00:30:28,320 S1: By the way, if you love the program, you may 517 00:30:28,320 --> 00:30:32,320 S1: or may not realize faith and finance live is listener supported, 518 00:30:32,320 --> 00:30:34,320 S1: and one of the great ways to support the ministry 519 00:30:34,320 --> 00:30:37,560 S1: is to become a partner. $35 a month or $400 520 00:30:37,560 --> 00:30:40,640 S1: a year. We'll send you every study, devotional, and four 521 00:30:40,640 --> 00:30:43,760 S1: issues of our magazine. You'll also get access to the 522 00:30:43,760 --> 00:30:46,000 S1: Faith V app. Just a way of saying thanks for 523 00:30:46,000 --> 00:30:49,239 S1: supporting the ministry. You can learn more about becoming a 524 00:30:49,240 --> 00:30:51,360 S1: partner or give to support our work when you head 525 00:30:51,360 --> 00:30:58,160 S1: to Faith. Fi, that's faith. Give back with Jerry Bowyer 526 00:30:58,160 --> 00:31:08,760 S1: and more questions after this. Great to have you with 527 00:31:08,760 --> 00:31:11,840 S1: us today on faith and finance. Live. Uh, in just 528 00:31:11,840 --> 00:31:14,080 S1: a moment. Jerry Bowyer will be here. We'll get Jerry's 529 00:31:14,080 --> 00:31:17,580 S1: take on the markets. But first, uh, Tracy called yesterday. 530 00:31:17,580 --> 00:31:19,540 S1: We were not able to get him on the air 531 00:31:19,540 --> 00:31:22,340 S1: and he's called back. So Tracy and Illinois go right ahead, sir. 532 00:31:23,420 --> 00:31:28,140 S6: Hi, Rob. Uh, me and my wife has got $80,000, 533 00:31:28,140 --> 00:31:31,620 S6: and we're wanting, uh, I've heard you talk about it before, uh, 534 00:31:31,620 --> 00:31:33,980 S6: an online bank. Do we put it in a savings 535 00:31:33,980 --> 00:31:36,860 S6: or a CD or what? We're just wanting to put 536 00:31:36,860 --> 00:31:38,900 S6: it in something to draw interest. 537 00:31:39,380 --> 00:31:42,100 S1: Yeah, but you're wanting to keep it liquid, I assume, 538 00:31:42,100 --> 00:31:43,420 S1: where you can get to it. 539 00:31:44,380 --> 00:31:47,540 S6: Well, I mean, not necessarily because we talked about that yesterday. 540 00:31:47,580 --> 00:31:49,100 S6: I mean, we can put it up, you know, like 541 00:31:49,100 --> 00:31:51,220 S6: six months or three months or whatever. 542 00:31:51,740 --> 00:31:54,900 S1: Yeah. Okay. Yeah. I mean, you know, some rates are 543 00:31:54,900 --> 00:31:58,540 S1: paying on CDs, 4 to 5% still. And you could 544 00:31:58,540 --> 00:32:00,900 S1: you'd have to lock the money up probably from 6 545 00:32:00,900 --> 00:32:03,820 S1: to 12 months to get that. There are high yield 546 00:32:03,820 --> 00:32:06,980 S1: savings accounts that are still very attractive. That would give 547 00:32:06,980 --> 00:32:10,620 S1: you a high degree of safety and liquidity, meaning you 548 00:32:10,620 --> 00:32:12,780 S1: could get to the money if you all needed it 549 00:32:12,940 --> 00:32:16,000 S1: and you could still get 4%. Uh, you know, we 550 00:32:16,000 --> 00:32:18,320 S1: haven't really seen a whole lot of movement there. Many 551 00:32:18,320 --> 00:32:20,760 S1: thought interest rates would be lower than they are today. 552 00:32:21,040 --> 00:32:24,360 S1: So you could head to one of the online banks, uh, 553 00:32:24,360 --> 00:32:27,200 S1: you know, reason the online banks offer higher interest rates 554 00:32:27,200 --> 00:32:29,840 S1: is because they don't have the cost of the physical branches. 555 00:32:29,840 --> 00:32:32,480 S1: So they're able to to pass that on. And they're 556 00:32:32,480 --> 00:32:37,000 S1: just as safe with either FDIC or private insurance. Um, 557 00:32:37,040 --> 00:32:40,440 S1: especially when we're talking less than 250,000, I'll tell you, 558 00:32:40,480 --> 00:32:43,720 S1: you know, a lot of our listeners are, uh, using 559 00:32:43,720 --> 00:32:47,040 S1: the money market at the Christian Community Credit Union, which 560 00:32:47,040 --> 00:32:50,440 S1: is merging with Adelphi. They'll by far be the largest 561 00:32:50,440 --> 00:32:53,600 S1: Christian banking alternative in the country. And they have an 562 00:32:53,600 --> 00:32:57,840 S1: exceptional rate right now of 4% for up to $100,000 563 00:32:57,840 --> 00:33:01,560 S1: for 12 months. And, um, they're even offering an additional 564 00:33:01,560 --> 00:33:05,680 S1: $400 bonus for faithful listeners right now. So something like that, 565 00:33:05,680 --> 00:33:07,840 S1: I think could be great, where you get a nice 566 00:33:07,880 --> 00:33:10,760 S1: yield on a good sum of money, keep it liquid, 567 00:33:10,760 --> 00:33:13,920 S1: keep it safe, but have something meaningful to show for 568 00:33:13,920 --> 00:33:15,740 S1: it at the end of the year. So if you 569 00:33:15,740 --> 00:33:20,100 S1: wanted to check that out, you could go to.com slash, um, or, 570 00:33:20,300 --> 00:33:23,580 S1: you know, just head banking. Yes, sir. Mhm. 571 00:33:24,060 --> 00:33:24,460 S3: Okay. 572 00:33:25,420 --> 00:33:28,100 S1: Uh, or you could go to like uh that's it 573 00:33:28,100 --> 00:33:30,860 S1: or go to like Bankrate.com or something like that just 574 00:33:30,860 --> 00:33:33,500 S1: to look, you know, at more of the, the traditional 575 00:33:33,500 --> 00:33:36,580 S1: secular options. But if you wanted a Christian alternative, this 576 00:33:36,580 --> 00:33:39,940 S1: is a great one, um, because of their size and strength. 577 00:33:39,940 --> 00:33:42,340 S1: But also this yield is just really attractive. 578 00:33:43,340 --> 00:33:46,340 S6: Okay. And it's money market Christian Bank. 579 00:33:47,180 --> 00:33:49,300 S7: So that it's. Yeah. So it's Christian. 580 00:33:49,300 --> 00:33:52,780 S1: Community Credit Union is the name of the institution. And 581 00:33:52,780 --> 00:33:57,140 S1: it's their money. They call it the high yield money market. Uh, 582 00:33:57,140 --> 00:33:58,979 S1: you'll see it right there on the top of the 583 00:33:58,980 --> 00:34:01,980 S1: page when you go to faith Commerce, banking. 584 00:34:03,060 --> 00:34:03,500 S6: Okay. 585 00:34:04,620 --> 00:34:06,700 S7: Okay. Hey, Tracy. Thanks for your call, sir. 586 00:34:07,380 --> 00:34:10,900 S1: You got it. Call anytime. Take care. All right. Jerry 587 00:34:10,900 --> 00:34:14,800 S1: Boyer's here. You know, Jerry, uh, typically when we get 588 00:34:14,840 --> 00:34:18,800 S1: a lackluster jobs report, the market would take off, because 589 00:34:18,800 --> 00:34:20,720 S1: that would mean that we're going to get an interest 590 00:34:20,760 --> 00:34:23,520 S1: rate cut. But I guess when the Strait of Hormuz 591 00:34:23,520 --> 00:34:26,440 S1: is effectively closed and we've got a war with Iran, 592 00:34:26,440 --> 00:34:29,560 S1: there's a few more data points to process. Huh? 593 00:34:30,239 --> 00:34:32,560 S8: Yeah. I mean, there's a point at which I, you know, 594 00:34:32,680 --> 00:34:34,360 S8: I've been saying for a long time that the biggest 595 00:34:34,360 --> 00:34:37,320 S8: investor in in the world is our own central bank, 596 00:34:37,360 --> 00:34:40,640 S8: and so on. Any given day, it's probably the biggest 597 00:34:40,640 --> 00:34:46,880 S8: driver of returns. But there are certain things, you know, wars, uh, 598 00:34:47,360 --> 00:34:54,280 S8: you know, presidential elections, uh, pandemics, um, those sorts of things, uh, impeachments, 599 00:34:54,320 --> 00:34:56,320 S8: you know, they can kind of drive that that off. 600 00:34:56,360 --> 00:34:59,319 S8: Although I think there was a certain market reaction a 601 00:34:59,320 --> 00:35:01,680 S8: little bit positive or down, you know, we're down for 602 00:35:01,680 --> 00:35:03,759 S8: the day, but there was a certain a little bit 603 00:35:03,760 --> 00:35:06,040 S8: of a bump there when the jobs report came out. 604 00:35:06,040 --> 00:35:10,520 S8: So there was a basically there was a minor shift 605 00:35:10,800 --> 00:35:15,470 S8: in the probability that the fed will ease later this year. So, um, 606 00:35:15,469 --> 00:35:18,230 S8: before today, uh, before the bad jobs numbers. And they're 607 00:35:18,230 --> 00:35:21,029 S8: pretty bad, uh, before the bad jobs numbers. Maybe the 608 00:35:21,030 --> 00:35:22,989 S8: worst that have ever seen. Some people are saying these 609 00:35:22,989 --> 00:35:27,230 S8: are the worst job numbers ever. Sorry, I couldn't help myself. 610 00:35:27,950 --> 00:35:29,270 S8: I mean, you know, if when it's like. 611 00:35:29,510 --> 00:35:31,150 S1: I see what you did there, Jerry. 612 00:35:31,190 --> 00:35:33,750 S8: You see what I did there? Like, it's 100,000 jobs. 613 00:35:33,750 --> 00:35:36,150 S8: If those are, like, the best numbers everyone's ever seen, then, 614 00:35:36,390 --> 00:35:42,549 S8: you know, um, the expectation was 50,000 jobs created, uh, in, in, um, 615 00:35:42,550 --> 00:35:45,470 S8: in February. Um, and it turned out that it was 616 00:35:45,670 --> 00:35:50,670 S8: 90,000 jobs destroyed. You know, that's a pretty that's a pretty, 617 00:35:50,710 --> 00:35:54,549 S8: you know, bad beat in terms of expectations. So what 618 00:35:54,550 --> 00:35:57,070 S8: happened is the response to that was, well, the central 619 00:35:57,070 --> 00:36:01,230 S8: bank is probably going to cut by July. So you know, 620 00:36:01,270 --> 00:36:05,029 S8: before today, the probable outcome was that there would not 621 00:36:05,030 --> 00:36:08,350 S8: be a cut by midyear. And now the probable outcome 622 00:36:08,350 --> 00:36:10,810 S8: is that there will be a cut. And sew markets, 623 00:36:10,810 --> 00:36:15,010 S8: anticipating money flowing into the system go up. Because remember, 624 00:36:15,010 --> 00:36:17,529 S8: the money doesn't nobody. Nobody gets an extra like little 625 00:36:17,530 --> 00:36:20,170 S8: deposit in there like your caller before. Like if he 626 00:36:20,210 --> 00:36:23,130 S8: sets up a CD or whatever. When the central bank 627 00:36:23,170 --> 00:36:26,810 S8: creates money, they don't give it to him. They put 628 00:36:26,810 --> 00:36:28,770 S8: it out through capital markets. It goes out through the 629 00:36:28,770 --> 00:36:32,090 S8: banking system into capital markets. And that's why it drives 630 00:36:32,090 --> 00:36:35,890 S8: up markets. Uh, but and so that jobs number is 631 00:36:35,969 --> 00:36:39,170 S8: pretty bad jobs number frankly. Um, and part of it 632 00:36:39,170 --> 00:36:41,770 S8: we've talked about there are certain demographic situations that are 633 00:36:41,770 --> 00:36:47,370 S8: long term. The baby boomers did not replace themselves. Um, demographically. Um, 634 00:36:47,370 --> 00:36:49,170 S8: and part of that is abortion. And part of that 635 00:36:49,170 --> 00:36:52,290 S8: is contraception and just smaller families. So that's kind of 636 00:36:52,290 --> 00:36:56,170 S8: a long term structural problem. But some of the uncertainty 637 00:36:56,210 --> 00:36:59,730 S8: around tariffs and trade wars have especially this is going 638 00:36:59,730 --> 00:37:03,210 S8: to be ironic, have especially hurt the manufacturing sector. I 639 00:37:03,210 --> 00:37:06,489 S8: know they're designed to bring back the manufacturing sector, but 640 00:37:06,489 --> 00:37:09,750 S8: that's not really how it works because the manufacturing already 641 00:37:09,750 --> 00:37:12,350 S8: spread out around the world. So like if there had 642 00:37:12,350 --> 00:37:15,750 S8: been tariffs in 1980, then here where I live in Pittsburgh, 643 00:37:15,750 --> 00:37:18,469 S8: we probably wouldn't have lost as many steel jobs. But 644 00:37:18,469 --> 00:37:20,750 S8: once we get to the point where that's distributed around 645 00:37:20,750 --> 00:37:23,589 S8: the world and then there's tariffs, well, that means there's 646 00:37:23,630 --> 00:37:26,790 S8: tariffs on iron ore that's brought in here to turn 647 00:37:26,790 --> 00:37:29,950 S8: into steel. So it disrupts manufacturing. And I think that's 648 00:37:29,950 --> 00:37:32,950 S8: one of the things that's happening. But mainly what's happening 649 00:37:32,950 --> 00:37:35,629 S8: is that there's a war in the Middle East that 650 00:37:35,630 --> 00:37:38,950 S8: that war has its regional. Now it is no longer 651 00:37:38,989 --> 00:37:42,390 S8: as everyone knows, it's not an Iran war. They're calling 652 00:37:42,390 --> 00:37:47,070 S8: it now Gulf War three because it's throughout the Gulf region. And, um, 653 00:37:47,110 --> 00:37:50,069 S8: you know, we just sunk a ship in Sri Lanka, right? Uh, 654 00:37:50,070 --> 00:37:53,790 S8: that's more in the Indian Ocean area. So it's becoming 655 00:37:53,790 --> 00:37:55,549 S8: a little bit of, I wouldn't say World war that 656 00:37:55,550 --> 00:37:58,549 S8: might overstate it. Uh, but it's more than just a 657 00:37:58,550 --> 00:38:03,230 S8: regional war. Now, given all that, if markets are only if, say, 658 00:38:03,230 --> 00:38:07,730 S8: the Dow is down only 1500 points in response to that. 659 00:38:07,730 --> 00:38:10,330 S8: That's a pretty muted reaction. And if oil is up 660 00:38:10,330 --> 00:38:14,090 S8: only to about 90 again that's a pretty muted reaction. 661 00:38:14,210 --> 00:38:17,730 S8: So markets are acting as though this is real. But 662 00:38:17,770 --> 00:38:20,810 S8: the media talk about this is like this is incredibly 663 00:38:20,810 --> 00:38:23,930 S8: risky and the world's on fire. Markets are not acting 664 00:38:23,930 --> 00:38:26,770 S8: like the world's on fire. Which means either the pundits 665 00:38:26,770 --> 00:38:30,370 S8: are wrong or the markets are wrong. And when when 666 00:38:30,370 --> 00:38:33,250 S8: the pundits and the markets disagree, it's always the markets 667 00:38:33,250 --> 00:38:34,170 S8: that win in the end. 668 00:38:34,650 --> 00:38:37,810 S1: Yeah. And perhaps we do have, despite what you said 669 00:38:37,810 --> 00:38:41,210 S1: about tariffs and manufacturing and demographics, we do have a 670 00:38:41,210 --> 00:38:43,890 S1: fairly robust economy underneath all of it. 671 00:38:44,250 --> 00:38:47,810 S8: We do. Growth has been pretty good. Um, so, um, 672 00:38:47,810 --> 00:38:51,210 S8: you know, last year we were up about 2.2%. Uh, 673 00:38:51,210 --> 00:38:54,569 S8: so that's, that's that's not that's pretty good. That's positive. Now, 674 00:38:54,570 --> 00:38:57,009 S8: part of that is during the, you know, during the 675 00:38:57,010 --> 00:38:59,090 S8: quarter where we did Liberation Day, we actually had a 676 00:38:59,090 --> 00:39:01,569 S8: little mini recession in the first quarter. So once you 677 00:39:01,570 --> 00:39:04,970 S8: account for that, we're more up, you know, above 3%. Um, 678 00:39:04,969 --> 00:39:07,029 S8: and I think we're paused pretty, you know, pretty well 679 00:39:07,030 --> 00:39:09,830 S8: for a growth economy. So this is a situation where 680 00:39:10,070 --> 00:39:13,750 S8: in the world where politics dominates everything, everything has to 681 00:39:13,750 --> 00:39:17,190 S8: be either good or bad, because everything about the economy 682 00:39:17,190 --> 00:39:19,669 S8: is a referendum on Trump. And if you dislike him, 683 00:39:19,670 --> 00:39:22,710 S8: then everything's bad. And if you love him, then everything's, uh, 684 00:39:22,750 --> 00:39:25,710 S8: you know, good. Um, but the fact is, the economy 685 00:39:25,710 --> 00:39:28,029 S8: isn't quite like that. Usually some things are good and 686 00:39:28,030 --> 00:39:31,589 S8: some things are bad. So the economy is generally good, 687 00:39:31,630 --> 00:39:33,790 S8: but the labor market is weak. There's just no way 688 00:39:33,790 --> 00:39:37,110 S8: to sugarcoat that, you know, and we can't keep firing. 689 00:39:37,150 --> 00:39:40,630 S8: You know, the president, the directors of Bureau of Labor Statistics, 690 00:39:40,670 --> 00:39:42,589 S8: every time the job numbers don't look good. I mean, 691 00:39:42,630 --> 00:39:44,910 S8: we got a problem here. Let's let's face it, my 692 00:39:44,910 --> 00:39:47,509 S8: job is not to take to take sides politically. My 693 00:39:47,510 --> 00:39:49,830 S8: job is to take the side towards truth and the economy. 694 00:39:49,830 --> 00:39:53,310 S8: On the other hand, growth rates are are reasonably strong. 695 00:39:53,590 --> 00:39:57,910 S8: The AI revolution is a genuine productivity tool. But as 696 00:39:57,910 --> 00:40:01,150 S8: you and I know, those markets got pretty strongly bubble values, 697 00:40:01,150 --> 00:40:04,350 S8: which is why they went down in terms of the world. Um, 698 00:40:04,450 --> 00:40:06,730 S8: there's a divergence going on. One of the most interesting 699 00:40:06,730 --> 00:40:10,489 S8: stock charts I saw this week was Israel versus the 700 00:40:10,489 --> 00:40:13,770 S8: rest of the Middle East. So Israel's stock market is up, 701 00:40:13,810 --> 00:40:18,410 S8: the Israeli shekel is up, the Gulf states it's down. Um, 702 00:40:18,450 --> 00:40:22,330 S8: because they were considered havens. Um, and Iran is shooting 703 00:40:22,330 --> 00:40:25,250 S8: missiles at Qatar and Dubai. All of these kind of 704 00:40:25,290 --> 00:40:29,529 S8: luxury condo places are having rockets drawn, dropped on them. 705 00:40:29,530 --> 00:40:31,650 S8: And that's not that's you know, that wasn't in the 706 00:40:31,650 --> 00:40:34,850 S8: people's base case. Um, and people can say, well, you know, 707 00:40:34,969 --> 00:40:37,810 S8: it was a mistake to, to attack Iran and that 708 00:40:37,810 --> 00:40:40,410 S8: brought that on. I'm not going to say whether I'm 709 00:40:40,410 --> 00:40:42,009 S8: not the secretary of state. I'm not going to say 710 00:40:42,010 --> 00:40:43,529 S8: whether this war is a good idea or not. All 711 00:40:43,530 --> 00:40:46,210 S8: I'm going to say is that if these rockets are 712 00:40:46,210 --> 00:40:48,330 S8: coming down on Gulf states, then that means those rockets 713 00:40:48,330 --> 00:40:51,090 S8: were pointed at Gulf states. Uh, so they didn't like 714 00:40:51,130 --> 00:40:53,290 S8: they didn't, like, go out there with their broken chain 715 00:40:53,330 --> 00:40:55,969 S8: of command and retask those rockets, they weren't all aimed 716 00:40:55,969 --> 00:40:58,450 S8: at Israel. They were aimed at the Gulf states, at 717 00:40:58,450 --> 00:41:01,050 S8: the Sunni Muslims who they don't get along with, which 718 00:41:01,050 --> 00:41:05,960 S8: means there was already Risk. So when Iran fires missiles 719 00:41:06,239 --> 00:41:10,239 S8: on Qatar and Dubai and Saudi Arabia, that it's not 720 00:41:10,239 --> 00:41:12,960 S8: that the conflict created the risk is that the conflict 721 00:41:13,000 --> 00:41:16,120 S8: revealed a risk that that they were aimed there. And 722 00:41:16,120 --> 00:41:19,480 S8: arguably it decreases the risk because they shot those rockets. 723 00:41:19,480 --> 00:41:21,960 S8: They're running out of rockets and those rockets are largely 724 00:41:21,960 --> 00:41:25,839 S8: being shot down. So in general, I think markets are 725 00:41:25,840 --> 00:41:29,440 S8: indicating that this is not a high risk situation. And 726 00:41:29,440 --> 00:41:32,480 S8: I think as it kind of comes to an end, uh, 727 00:41:32,480 --> 00:41:35,359 S8: now the war, that doesn't mean I don't know how 728 00:41:35,360 --> 00:41:37,240 S8: long it's going to take before we have a stable Iran. 729 00:41:37,239 --> 00:41:39,880 S8: That could be a long time. This could become a 730 00:41:39,880 --> 00:41:42,239 S8: failed state. You could have all these ethnic divisions. The 731 00:41:42,239 --> 00:41:44,480 S8: Kurds are marching from the east. You know, they have 732 00:41:44,480 --> 00:41:47,320 S8: an ethnically divided society. It's a little bit like Iraq 733 00:41:47,840 --> 00:41:50,360 S8: under Saddam Hussein. Everyone behaved themselves because he was a 734 00:41:50,360 --> 00:41:53,000 S8: brutal dictator. But once he was gone, all these old 735 00:41:53,000 --> 00:41:55,600 S8: racial animosities came out and the nation kind of got 736 00:41:55,640 --> 00:41:58,400 S8: torn apart. And that could happen to Iran. So Iran's 737 00:41:58,400 --> 00:42:00,960 S8: in trouble. Um, I mean, they're going to have a 738 00:42:00,960 --> 00:42:03,900 S8: rough road ahead of them. But I think in general 739 00:42:03,940 --> 00:42:06,620 S8: the world economy is doing pretty well. I'm noticing China 740 00:42:06,620 --> 00:42:10,140 S8: is down. So this is a pretty big setback for China, 741 00:42:10,180 --> 00:42:12,460 S8: not people. I don't think a lot of people realize 742 00:42:12,460 --> 00:42:14,580 S8: this is not mainly a US versus Iran thing. This 743 00:42:14,580 --> 00:42:17,460 S8: is mainly a US versus China thing with Iran as 744 00:42:17,460 --> 00:42:20,140 S8: the proxy. Bottom line, I think the economy is pretty good. 745 00:42:20,140 --> 00:42:22,460 S8: The markets are signaling we're going to be okay. And 746 00:42:22,460 --> 00:42:23,820 S8: I'm not going to second guess that. 747 00:42:24,260 --> 00:42:26,940 S1: All right. I'll take it. And we appreciate your analysis 748 00:42:26,940 --> 00:42:28,859 S1: as always. Next week we'll have to get caught up 749 00:42:28,860 --> 00:42:31,580 S1: on your corporate engagement work. I know you've had some 750 00:42:31,580 --> 00:42:32,860 S1: big victories as of late. 751 00:42:32,860 --> 00:42:33,540 S8: So much. 752 00:42:34,060 --> 00:42:36,500 S1: All right. We'll unpack all that next week. Lord bless you, 753 00:42:36,500 --> 00:42:37,540 S1: my friend. Have a great weekend. 754 00:42:37,620 --> 00:42:38,140 S9: Bless you. 755 00:42:38,500 --> 00:42:42,020 S1: Alright. That's Jerry Boyer. He's our resident economist. Joins us 756 00:42:42,060 --> 00:42:45,140 S1: each Friday to try to make sense out of the markets, 757 00:42:45,180 --> 00:42:48,060 S1: always through biblical wisdom, faith and finance. Live is a 758 00:42:48,060 --> 00:42:50,660 S1: partnership between Moody Radio and Faith five. Big thanks to 759 00:42:50,660 --> 00:42:54,660 S1: my team. Amazing folks Taylor, Tyra, Lisa, Dan and everybody 760 00:42:54,660 --> 00:42:57,140 S1: here at Faith vie. Make sure you're ready for next week. 761 00:42:57,180 --> 00:42:58,860 S1: Share a thought. It's going to be amazing. We'll see 762 00:42:58,860 --> 00:42:59,620 S1: you then. Bye bye.