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Speaker 1: You're listening to I Choose Me with Jenny Garle.

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Speaker 2: Hi.

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Speaker 1: Everyone, welcome to I Choose Me. This podcast is all

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Speaker 1: about the choices we make and where they lead us.

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Speaker 1: If I'm being honest, money and talking about finances is

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Speaker 1: something that I have always shied away from. Nobody ever

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Speaker 1: thought I needed to know these things. I never had

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Speaker 1: any kind of formal education about finances at all. It

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Speaker 1: was more like on the job training, paying men to

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Speaker 1: manage and advise. I handed the reins off to managers

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Speaker 1: and accountants, which turns out not so smart, and I've

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Speaker 1: learned things the hard way. But the last couple of years,

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Speaker 1: I've made it a focus of mine to become more

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Speaker 1: financially literate so that I can assume my rightly position

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Speaker 1: as the CEO of ME. We spend our lives. We're

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Speaker 1: trying to make money and trying to get those end

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Speaker 1: to meet. As women, I believe it's important for all

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Speaker 1: of us to be educated about everything, and one of

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Speaker 1: the best ways to be independent and have that confidence

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Speaker 1: and thrive is to know how to make and handle

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Speaker 1: your own hard earned money. It's time for us to

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Speaker 1: take back those rains and invest in our cells and

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Speaker 1: our future. I want you to become the CEO of

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Speaker 1: you too. The bottom line is taking steps towards investing

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Speaker 1: in your financial future is a huge I choose me mindset.

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Speaker 1: My guest Today has served as the financial correspondent for

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Speaker 1: shows like Morning Joe and The Today Show. She is

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Speaker 1: a New York Times bestselling author and the host of

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Speaker 1: her podcast Money Rehab. Her latest book, The Money School,

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Speaker 1: Twelve Simple Lessons to Master Financial Markets, is out now.

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Speaker 1: Please welcome Nicole Lappin to the podcast. Thank you for

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Speaker 1: being here, Nicole, Thank you for having I am fascinated

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Speaker 1: with you.

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Speaker 3: Oh back.

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Speaker 1: You're everything I ever wanted to be. And you're so

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Speaker 1: smart with money, and I've always wanted to be smart

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Speaker 1: with money. So you are, and you will be smarter.

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Speaker 1: I will be smarter because you brought me a copy

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Speaker 1: of your book. I'm so curious. Did you grow up

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Speaker 1: in a family where finances were talked about openly?

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Speaker 3: Nope, not even a little bit.

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Speaker 2: Really grew up in an immigrant family, first generation American,

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Speaker 2: super broken home. Actually so never have the Wall Street

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Speaker 2: Journal in the kitchen table never talked about stocks or bonds.

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Speaker 2: And like a lot of immigrant families, like they just

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Speaker 2: use cash. If you don't have cash, you don't buy things.

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Speaker 2: That's all I knew about money. I started college as

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Speaker 2: a poetry major, like I wanted to sit under a.

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Speaker 4: Tree and write poetry all day along.

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Speaker 2: So when the people say like, I can't do it

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Speaker 2: because I'm not a numbers person, I'm like, I started

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Speaker 2: as a poetry major.

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Speaker 4: I can do it. I promise you can do it too.

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Speaker 1: When did you realize you wanted to learn about that?

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Speaker 2: Oh my gosh, I did it. I didn't want to

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Speaker 2: learn it about it at all. I hated finance. I

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Speaker 2: hated all of this stuff. My boyfriend in high school

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Speaker 2: said he wanted to be a hedge fund manager. I

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Speaker 2: thought he wanted to be in gardening, Like I was

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Speaker 2: the most clueless ever ever ever. When I was eighteen,

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Speaker 2: I got a job offer though on the floor of

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Speaker 2: the Chicago Burk.

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Speaker 3: I went to school in Chicago.

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Speaker 2: And I thought the mirk was a mall and it's

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Speaker 2: a stock exchange in Chicago. And I just faked it

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Speaker 2: till I made it. I lied I needed a job.

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Speaker 2: They were like, do you know anything about business news?

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Speaker 5: I'm like, absolutely, When you need a job, what do

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Speaker 5: you say, I I'll figure it out. I figured out

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Speaker 5: harder things in life, and I did, And that's when

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Speaker 5: I realized that money is just a language like anything else.

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Speaker 5: We just didn't have a Rosetta stone for that growing up,

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Speaker 5: and you probably didn't learn about it in school or

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Speaker 5: if you're like me at home either. But once you

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Speaker 5: can speak the language, you can not only understand it,

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Speaker 5: but you I did. I spoke it to the world,

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Speaker 5: and just like any other language, if you went to

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Speaker 5: Japan and didn't speak Japanese, you'd be really confused.

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Speaker 3: If you went to Wall Street and didn't speak.

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Speaker 2: The language of money, you'd be confused until you speak

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Speaker 2: the language and you're like, dad, it's not that serious.

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Speaker 1: Oh my gosh, that gives me hope. Did your parents

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Speaker 1: model a healthy relationship with money at all? No?

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Speaker 3: Negative?

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Speaker 2: No, just sailed my mother out of jail using cash

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Speaker 2: under the sink behind the Maxine.

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Speaker 1: Okay, well, when.

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Speaker 2: I was in middle school, Like, it's super deep.

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Speaker 1: I want to so, I so want to ask why

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Speaker 1: she was in jail, but I'm not going.

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Speaker 4: To It's in one of the books.

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Speaker 1: Okay, that's crazy, because I know how important it is

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Speaker 1: as a parent to model things for our kids. And yeah,

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Speaker 1: I know what it looks like when parents don't model

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Speaker 1: healthy money relations with young people in their house. I've

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Speaker 1: seen how it's affected certain people in my life. I

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Speaker 1: don't I don't know, Like if you don't have that

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Speaker 1: model as a young person.

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Speaker 3: You just become me.

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Speaker 1: I guess you figure it out for yourself.

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Speaker 2: I mean, you can always break the cycle, really truly.

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Speaker 2: Just because it was done a certain way doesn't mean

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Speaker 2: that's the way it needs to be done.

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Speaker 3: With everything the.

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Speaker 2: Way you you know, grew up around religion, around eating,

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Speaker 2: around money. You know, oftentimes we see what our parents

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Speaker 2: are doing and we emulate that, but also you can

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Speaker 2: look at what they're doing and say, I want something

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Speaker 2: completely different, especially when it comes to money. Like oftentimes

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Speaker 2: we will see that our parents, you know, splurged or

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Speaker 2: you know, talked about dead in a negative way, or

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Speaker 2: hid purchases from their spouse or something like that, and

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Speaker 2: then you know, we have that sort of embedded in us.

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Speaker 2: And I think on different levels, whether it's a micro

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Speaker 2: sense or a macro sense, what we've experienced about money

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Speaker 2: will definitely dictate how we feel and how we approach

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Speaker 2: money on a macro sense, Like if you know, I

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Speaker 2: saw my house foreclosed on when I was a kid,

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Speaker 2: the housing crisis, the dot com bubble, all of that

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Speaker 2: will affect our choices. But you know, recognizing that is

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Speaker 2: the first step to recovery. My you know, all my

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Speaker 2: books are twelve step plans, because I think the first

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Speaker 2: step to any recovery is admitting you have a problem.

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Speaker 2: And the only financial problem you can't fix is the

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Speaker 2: one you don't admit you have.

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Speaker 1: So true, you have to recognize that you have a problem.

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Speaker 3: We all have problems.

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Speaker 2: We all have problems, more issues than fogue.

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Speaker 1: You talk about this in your new book, The Money School.

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Speaker 1: But it is insane that we are not taught anything

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Speaker 1: about money or finances in school.

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Speaker 2: Insane, cuckoo bananas. Why do we learn the Pythagorean theorem?

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Speaker 4: Do you remember it?

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Speaker 1: Trigonometry? I'm sorry's triangles?

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Speaker 3: Huh?

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Speaker 2: Like knowing the powerhouse of a cell or mitochondria.

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Speaker 3: I mean, never helped me.

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Speaker 1: It's important for some people for some professions.

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Speaker 2: Totally, Yeah, but hopefully you're getting advanced degrees if you

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Speaker 2: chose professions.

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Speaker 1: Yeah, just like if you wanted to go into the

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Speaker 1: world of finance, you'd go to business school and you

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Speaker 1: would study it.

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Speaker 3: Yeah, yeah, but we didn't.

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Speaker 1: But yeah, when I was younger, my parents taught me.

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Speaker 1: They never really talked about money out in the open.

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Speaker 1: They were both teachers. We weren't wealthy at all, and

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Speaker 1: we grew our own food, and they were teachers by

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Speaker 1: day and farmers on the weekends. So I had kind

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Speaker 1: of the best of both worlds. But the only thing

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Speaker 1: I remember them teaching me about money was how to

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Speaker 1: make it, and then on how yeah that's how to

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Speaker 1: go get a job when you're thirteen, fourteen, whatever you

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Speaker 1: can get. I started working really early, and how to

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Speaker 1: balance a checkbook. And I loved balancing my checkbook, honestly,

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Speaker 1: I did you like, what where did that go? I

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Speaker 1: want to I want to write it in the ledger,

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Speaker 1: you know the date.

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Speaker 2: I know that's a check on there, you know, And

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Speaker 2: so I think it's for us as parents now, you know, checks,

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Speaker 2: you know are probably going by the way of the BlackBerry.

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Speaker 4: Or the noteo bird.

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Speaker 2: But you know, those lessons I think are things that

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Speaker 2: we can and we should, especially if they're not learning

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Speaker 2: this stuff in school, teach our own kids. It's incumbent

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Speaker 2: in us to do it, now, you know. I wish

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Speaker 2: we learned how to do a business plan, or how

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Speaker 2: to do our taxes, or you know, how to write checks.

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Speaker 2: The craziest thing I ever heard from one of the

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Speaker 2: book events I did with somebody said like, oh, I'm good,

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Speaker 2: I have money.

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Speaker 1: I have checks.

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Speaker 2: It's so scary the lack of financial literacy out there.

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Speaker 1: That doesn't cut it anymore.

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Speaker 2: You got a checkbook, I know you don't have money

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Speaker 2: because you have checks. It's I mean, it's really really

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Speaker 2: a joke about it, but it's serious. And I think

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Speaker 2: that especially for women. You know, too many women have

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Speaker 2: stayed in bad relationships, whether you know, abusive personally or

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Speaker 2: at work, because they're too scared of handling the money

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Speaker 2: on their own. And so I think having that money

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Speaker 2: and having that taking back that power so important in

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Speaker 2: all aspects of our lives.

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Speaker 1: Yeah. I mean I have three young adults now who

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Speaker 1: are all just starting to learn well, two of them

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Speaker 1: are starting to learn about finances and investing. And you know,

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Speaker 1: I am not the most illiterate at in the finances area.

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Speaker 1: I didn't go to school, I didn't learn it. I

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Speaker 1: was kind of told that I didn't need to know

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Speaker 1: about anybody anything about it. Because there were other people

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Speaker 1: that would take care of that for me that that

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Speaker 1: wasn't such a great thing as it turns out. But

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Speaker 1: have a bad experience, oh gosh, you know, growing up

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Speaker 1: going from adult lessons to teenage than teenage straight to fame. No,

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Speaker 1: there was no college for me. There was no that

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Speaker 1: natural transition that most people have into coming into their

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Speaker 1: own or figuring out like what they want or where

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Speaker 1: they're going to live or any of those things. So, yeah,

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Speaker 1: I started making money, and I didn't know what to

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Speaker 1: do with it. So I just did what I was

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Speaker 1: advised to do, which was hiresome, ready to handle it all.

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Speaker 1: And I wouldn't say that I had a bad experience.

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Speaker 1: I would say that I've learned recently that I can

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Speaker 1: be very influential. I can convince people of certain things,

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Speaker 1: Like I convinced my money manager that I needed to

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Speaker 1: buy this or do that, or you know, and he

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Speaker 1: would he would let me. And sometimes you probably should

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Speaker 1: have said, no, let's let's slow your role there for

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Speaker 1: a second and let's think about saving for the future

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Speaker 1: or investing, you know. And that all kind of came

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Speaker 1: later as I got into my in my twenties. For sure,

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Speaker 1: someone was making all of those decisions for me, and

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Speaker 1: they would say, we're thinking about this investment for you

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Speaker 1: and this one, and I'd be like, oh, I love

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Speaker 1: PEPSI or yeah, I'm familiar with cocoa puffs or whatever

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Speaker 1: they wanted to invest. So I don't think it was

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Speaker 1: coco puffs, but thank god, but yeah I didn't. I

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Speaker 1: didn't have that encouragement or guidance at all time. What

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Speaker 1: age do you think we as parents should start encouraging

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Speaker 1: or teaching our kids about investing.

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Speaker 2: I think it's never too early and it's all, you know,

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Speaker 2: age appropriate. And so even when they're getting allowance, is

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Speaker 2: it something where you have them negotiate for their allowance

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Speaker 2: like creating entrepreneurs and starting to build that skill.

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Speaker 1: What would that look like if somebody if your kid

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Speaker 1: was negotiating for their allowance.

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Speaker 2: So I'd be like, so, Jenny, what do you think

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Speaker 2: you earned this week? It's ten dollars and you're like, no, mom,

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Speaker 2: I don't know we could roll.

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Speaker 1: Yeah, I did the dishes, I fed the dogs. I

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Speaker 1: think that's five dollars. I made five dollars this week.

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Speaker 3: Why I just offered you ten dollars?

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Speaker 2: I know?

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Speaker 1: So do you want being more realistic? No, I made

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Speaker 1: but that's a lesson.

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Speaker 2: Who knows, Like maybe a kid would say something like that, right,

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Speaker 2: and you say, oh, so you want less than you know,

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Speaker 2: less than ten dollars? You want five? Do you think

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Speaker 2: you've got five dollars? I'm trying to give you ten dollars.

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Speaker 1: Okay, okay, I'll take the ten dollars.

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Speaker 2: Mom, okay, so only ten dollars. Is that everything you did?

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Speaker 3: You did the dishes. I also saw you pick up

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Speaker 3: the dog poop.

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Speaker 2: I want ten dollars?

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Speaker 1: Yeah, I sold, maybe eleven? Could I get eleven?

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Speaker 2: I mean, I guess I saw one dog poop that

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Speaker 2: you didn't pick out.

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Speaker 1: Okay, R fifty Okay, we negotiated it. I love my

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Speaker 1: ten fifty.

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Speaker 3: This week.

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Speaker 1: Wall Street is intimidating for someone who's listening right now

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Speaker 1: that has never invested in the stock market. Where do

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Speaker 1: you suggest they start?

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Speaker 2: I would say, remember that this amazing force of compound

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Speaker 2: interest that is so often used against us in the

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Speaker 2: financial system can be used in our favor. So the

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Speaker 2: way it's used against us is through credit card debt.

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Speaker 2: Like I got into so much credit card debt when

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Speaker 2: I first got a real credit card, and I had

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Speaker 2: to figure out how to get myself out of it

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Speaker 2: the hard way. And that same force can be used

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Speaker 2: in our favor when we start investing.

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Speaker 4: So when it.

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Speaker 2: Comes to investing, it's not about timing the market. It's

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Speaker 2: time in the market that matters most. The earlier that

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Speaker 2: you start, the better, And I would suggest starting with

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Speaker 2: low cost s and P five hundred index funds. Warren

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Speaker 2: Buffett okay, Well, SNP s and P five hundred, five

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Speaker 2: hundred okay index funds. So Warren Buffett, do we know him?

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Speaker 1: Yes?

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Speaker 2: Yeah, he's granted the greatest investors of our time. He

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Speaker 2: put that in his will for his own wife to

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Speaker 2: do with their money when he passes away. And it's

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Speaker 2: really hard to beat the overall market. So the S

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Speaker 2: and P five hundred is an index for the overall market.

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Speaker 2: There are three major indexes. So maybe sometimes you hear

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Speaker 2: on the news like the Dow is up, the Dow

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Speaker 2: is down, the S and P five hundred is up

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Speaker 2: or down, the Nasdaq is up or down, And those

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Speaker 2: are indexes, and those just give sort of a pulse

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Speaker 2: check of what the overall market is doing. So overtime,

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Speaker 2: the greatest proxy for what the market is doing is

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Speaker 2: the S and P five hundred because it's the five

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Speaker 2: hundred biggest, most powerful stocks that we have. And when

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Speaker 2: one of those stocks does bad job, they get kicked.

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Speaker 4: Out of the index.

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Speaker 2: And so oh time, that's yielded about ten percent inflation

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Speaker 2: adjusted around seven percent.

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Speaker 4: So when you.

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Speaker 2: Start in the market as soon as possible, you take

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Speaker 2: advantage of that beautiful, amazing force of compound interest where

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Speaker 2: your money is literally making money for you while you're sleeping.

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Speaker 3: And the earlier you start, the better. I can give

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Speaker 3: you an example.

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Speaker 2: So holder your girls like twenty two, okay, so.

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Speaker 4: It for easy math.

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Speaker 2: Let's say let's say one of them started at thirty

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Speaker 2: five to invest two hundred bucks a month. By the

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Speaker 2: time she'll retire, she'll have a little bit less than

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Speaker 2: five hundred thousand dollars. Five hundred thousand dollars is so

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Speaker 2: much money, and that's awesome. But let's say she started

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Speaker 2: at twenty five instead of thirty five, same amount of money,

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Speaker 2: same rate of return. By the time she retires, she'll

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Speaker 2: have almost one point three million dollars. That's just starting

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Speaker 2: ten years earlier. And that's not starting with you know,

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Speaker 2: eight hundred thousand dollars extra. That's starting with just two

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Speaker 2: hundred dollars a month for ten years extra, so twenty

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Speaker 2: four thousand dollars will yield you over time, you know,

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Speaker 2: eight hundred extra grand And that's just you know, one

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Speaker 2: example of how starting early can help. You can do

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Speaker 2: it as a parent with you know, custodial roth iras.

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Speaker 2: We can get into it if you want, we're not

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Speaker 2: five twenty nine's all these things that are you know,

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Speaker 2: that allow you to have your money grow for you

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Speaker 2: or for your kids over time.

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Speaker 1: Right to sort of set them up for success. What

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Speaker 1: a nice gift to give them, even if it's like

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Speaker 1: what's the minimum, you could start doing that to set

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Speaker 1: your kids up for success.

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Speaker 2: So for a custodial wroth diarray, so you know what

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Speaker 2: an IRA is like an individual retirement account a ROTH.

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Speaker 2: There's a ROTH and then there's a traditional So the

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Speaker 2: only difference there is taxes.

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Speaker 1: Right with a ROTH, you pay.

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Speaker 2: Taxes now, so you don't pay taxes when you take

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Speaker 2: it out, okay, So for a custodial roth iray, those

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Speaker 2: are basically like kitty irays. So if you start investing

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Speaker 2: the maximum which is seven thousand dollars a year after

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Speaker 2: a kid is born. That's the maximum. Maximum is seven

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Speaker 2: thousand a year. But like, here's where it gets good.

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Speaker 2: So if at eighteen they you know, they'll have three

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Speaker 2: hundred thousand dollars if it if it compounds in the

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Speaker 2: same way as the market has historically. Let's say they

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Speaker 2: stop investing, like they never put seven thousand dollars into that,

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Speaker 2: just leave it in there. So from zero to eighteen,

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Speaker 2: you put seven grand in there. The time they retire,

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Speaker 2: they'll have twenty eight million dollars.

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Speaker 1: Oh my god, I know sister number right.

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Speaker 2: And if they kept putting that seven thousand dollars in,

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Speaker 2: they'd have thirty six million dollars with an m million dollars.

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Speaker 2: I mean it will be less by then than that

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Speaker 2: is now because of inflation.

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Speaker 1: But still if that is crazy. So seven thousand dollars

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Speaker 1: a year, yeah.

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Speaker 4: And tax free.

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Speaker 2: And so because you know kids, if you have a business,

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Speaker 2: you could pay your kid fourteen six hundred anything less

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Speaker 2: than that, they are not paying taxes on it anyway.

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Speaker 1: So that's a that's a loophole right there. That's what

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Speaker 1: they call loop. I like that legal legal, yeah, legal

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Speaker 1: ones Okay, wow, Yeah, I wanted to ask you. You

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Speaker 1: say in your book that some of the most common

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Speaker 1: concerns you hear from people who are hesitant to get

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Speaker 1: started with investing are one they are too old to start,

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Speaker 1: like it's too late for them, or two they don't

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Speaker 1: have enough money, or three they just aren't numbers people.

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Speaker 1: I've used that one totally.

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Speaker 2: And so what I say to that is, you're never

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Speaker 2: as young as you are today. So as far as

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Speaker 2: I'm concerned, today is as.

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Speaker 4: Good a day as any.

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Speaker 2: Okay, So we talked about that. We talked about the

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Speaker 2: idea that it's not about how much money you have,

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Speaker 2: it's time in the market that matters the most. Like

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Speaker 2: I gave you those examples with two hundred bucks a month,

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Speaker 2: so that's fifty dollars a week. And so it's not

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Speaker 2: about having a ton of money, it's about starting as

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Speaker 2: early as possible. And then the numbers person thing I got.

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Speaker 4: I started as a poetry major.

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Speaker 1: Yeah, you know what I've found. I've always said, like, yeah,

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Speaker 1: I still say it all the time. I don't math.

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Speaker 1: I don't that's not for me. I don't like numbers.

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Speaker 1: When you talk about numbers, I think about rainbows and unicorns,

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Speaker 1: like I just don't like to hear about numbers. But

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Speaker 1: I've realized that that has just been an excuse all

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Speaker 1: my life to be lazy and let somebody else do

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Speaker 1: it for me.

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Speaker 2: No one's ever going to care as much about your

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Speaker 2: money as you are, no ever, ever, ever. And the

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Speaker 2: mouth is so so easy, like we're not talking about trickonometry,

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Speaker 2: we're not talking about calculus here.

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Speaker 3: It's so so.

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Speaker 2: Simple and once you just understand the broad strokes, you

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Speaker 2: can really use it in your favor. It's really not

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Speaker 2: about complicated numbers. Like I'm not, you know, naturally a

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Speaker 2: numbers person either.

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Speaker 1: I know people that are in their forties and have

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Speaker 1: not started investing yet other than through their jobs. Those

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Speaker 1: the funds that the corporations have set up for them.

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Speaker 4: But for owing cage exactly.

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Speaker 2: Thing like that, yeah, yeah, And you know, when it

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Speaker 2: comes to retirement, you don't have to put a ring

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Speaker 2: on any of those retirement accounts. You can have more

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Speaker 2: than one if you want. The more the better. And

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Speaker 2: you know, I.

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Speaker 1: Think that.

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Speaker 2: It's a language like anything else, like you just have

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Speaker 2: to jump into it and the stuff that you're saying

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Speaker 2: to yourself sister, Like I think that you're just you're

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Speaker 2: in this zone of bad talk. Like I've heard it

401
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Speaker 2: several times in this class.

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Speaker 1: What did I do?

403
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Speaker 3: Like I'm financially.

404
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Speaker 1: Illiterate, I'm not good at it.

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Speaker 2: I never you know, want to talk about it. And

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Speaker 2: this is stuff that you're just telling yourself, Like these

407
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Speaker 2: are just these are stories and we just need to

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Speaker 2: change with the story.

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Speaker 1: Those are stories that I told myself until I was

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Speaker 1: fifty years old, and at fifty, I decided now's the

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Speaker 1: time for me. Yeah, to get a hold of this

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Speaker 1: and take it over. Yeah, it's so important.

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Speaker 3: And also like the way.

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Speaker 2: We talk to our kids about it, you know, we

415
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Speaker 2: don't even think about it, you know, just basic stuff

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Speaker 2: like we can't afford that, or money doesn't grow on trees.

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Speaker 2: What is a telling kid we can't afford that?

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Speaker 4: So like money is fixed, we can.

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Speaker 2: Just never afford that. What about a growth mindset not

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Speaker 2: a fixed mindset, you know, or money doesn't grow on trees? Okay,

421
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Speaker 2: well does that mean like we can never get it?

422
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Speaker 2: What about saying something like it's a tool that we

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Speaker 2: can use to.

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Speaker 4: Get to our goals.

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Speaker 1: You know, So all this stuff.

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Speaker 2: We've been told has brainwashed us to think all of

427
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Speaker 2: these things that we're not good about money, that we

428
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Speaker 2: can invest like guys can do it. Guys don't know

429
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Speaker 2: more than we do about money. They just talk about

430
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Speaker 2: it more often than we do. And actually, studies have

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Speaker 2: shown that women are much better investors than men.

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Speaker 1: More instinctual. I would think.

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Speaker 2: It's interesting because you want to kind of shut off

434
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Speaker 2: your emotions when you're investing, like bi low sell high

435
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Speaker 2: is the best adage in the finance world, but the

436
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Speaker 2: instinct is to, you know, sell low, like when the

437
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Speaker 2: market is crashing, like you want.

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Speaker 1: To get it.

439
00:21:07,800 --> 00:21:09,600
Speaker 2: You know it's only going to go more down. But

440
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Speaker 2: actually that's when things are on sale, and so you know,

441
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Speaker 2: and when you sell you want to sell high. But

442
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Speaker 2: when the market is up, you're like, oh my gosh,

443
00:21:18,200 --> 00:21:19,480
Speaker 2: it's going to go up forever. I just want to

444
00:21:19,480 --> 00:21:21,840
Speaker 2: like put more money in there. And so sometimes we

445
00:21:21,960 --> 00:21:26,440
Speaker 2: have to really stay strong to stick to a strategy

446
00:21:26,520 --> 00:21:28,760
Speaker 2: and not follow in strict and actually, women when it

447
00:21:28,760 --> 00:21:32,119
Speaker 2: comes to money, are much much better at that. Studies

448
00:21:32,160 --> 00:21:34,960
Speaker 2: have shown that we actually beat like our portfolios beat

449
00:21:35,000 --> 00:21:36,840
Speaker 2: about two percent. Two percent is a lot. You know,

450
00:21:36,840 --> 00:21:39,080
Speaker 2: we were just talking about a few percentage points over

451
00:21:39,160 --> 00:21:41,119
Speaker 2: time that adds up significantly.

452
00:21:41,240 --> 00:21:42,800
Speaker 1: So forty five is not too late.

453
00:21:43,400 --> 00:21:44,720
Speaker 2: It's never too never too late.

454
00:21:44,760 --> 00:21:45,680
Speaker 4: It's never too late.

455
00:21:45,840 --> 00:21:48,040
Speaker 2: Now, if you want to get to certain goals by

456
00:21:48,119 --> 00:21:51,040
Speaker 2: the time you're sixty five or whatever, and you start later,

457
00:21:51,119 --> 00:21:53,959
Speaker 2: you're going to probably have to increase the number, Like

458
00:21:54,000 --> 00:21:56,159
Speaker 2: one of those variables is going to have to change.

459
00:21:56,200 --> 00:21:57,640
Speaker 2: So it might not be two hundred bucks a month,

460
00:21:57,680 --> 00:21:59,320
Speaker 2: it might be a thousand bucks a month.

461
00:21:59,359 --> 00:22:02,680
Speaker 1: Or I remember when I was first starting to make

462
00:22:02,760 --> 00:22:05,679
Speaker 1: money and they would talk to me about retirement. It

463
00:22:05,760 --> 00:22:08,919
Speaker 1: seems so I didn't I couldn't wrap my head around it,

464
00:22:09,240 --> 00:22:11,159
Speaker 1: and I would say, like, why do I need to

465
00:22:11,200 --> 00:22:13,040
Speaker 1: do this? I would like to spend my money now

466
00:22:13,359 --> 00:22:15,840
Speaker 1: when I'm older, I would say, Then when I'm an

467
00:22:15,840 --> 00:22:17,720
Speaker 1: old lady, I don't look kind of money am I

468
00:22:17,760 --> 00:22:20,199
Speaker 1: gonna need? Well, I want my money now while I

469
00:22:20,200 --> 00:22:22,719
Speaker 1: can go and have fun and spend it.

470
00:22:23,240 --> 00:22:33,040
Speaker 2: Yeah, studies have shown that we actually look at our

471
00:22:33,720 --> 00:22:36,639
Speaker 2: old lady sells as a whole different human being, that

472
00:22:36,680 --> 00:22:40,639
Speaker 2: we don't actually think of her as the same person. Yeah,

473
00:22:40,680 --> 00:22:44,760
Speaker 2: that's so crazy, it's true, And well, you know, I

474
00:22:44,800 --> 00:22:48,000
Speaker 2: think looking back, don't we wish we would have started earlier.

475
00:22:48,480 --> 00:22:51,680
Speaker 2: We all do you know, every time I look at

476
00:22:51,720 --> 00:22:55,880
Speaker 2: my even when I start seeing, you know, my brokerage

477
00:22:55,880 --> 00:22:58,760
Speaker 2: account increase, I'm like, oh my gosh, if I just

478
00:22:58,920 --> 00:23:01,360
Speaker 2: put in a little bit money of money when I started.

479
00:23:01,080 --> 00:23:02,680
Speaker 3: At eighteen in Apple.

480
00:23:03,040 --> 00:23:07,480
Speaker 2: I have these videos where I'm reporting on the floor

481
00:23:07,520 --> 00:23:11,040
Speaker 2: of the exchange about the first iPod that launched, or

482
00:23:11,080 --> 00:23:13,600
Speaker 2: like Gmail launching, I'm like, oh my god, if I

483
00:23:13,760 --> 00:23:16,640
Speaker 2: put money in Google back then, you were there.

484
00:23:17,720 --> 00:23:19,560
Speaker 1: You were there at the beginning. Oh my god.

485
00:23:19,600 --> 00:23:21,000
Speaker 3: I got to kick ourselves about this.

486
00:23:21,000 --> 00:23:23,520
Speaker 1: Said something about Apple. I'm not going to ask you

487
00:23:23,560 --> 00:23:26,600
Speaker 1: for specific brands unless you want to help a sister out.

488
00:23:26,640 --> 00:23:31,400
Speaker 1: But what areas at the market do you think are

489
00:23:31,920 --> 00:23:35,080
Speaker 1: going to be or could potentially be lucrative for people

490
00:23:35,160 --> 00:23:37,600
Speaker 1: in this coming year? And what areas do you think

491
00:23:37,800 --> 00:23:39,240
Speaker 1: people should stay away.

492
00:23:39,000 --> 00:23:41,520
Speaker 2: From as far as investments. It's such a good question

493
00:23:41,560 --> 00:23:45,840
Speaker 2: if you're just starting out. I really wouldn't pick individual stocks.

494
00:23:46,440 --> 00:23:50,639
Speaker 2: I would pick index funds, which are funds that track

495
00:23:50,760 --> 00:23:53,240
Speaker 2: an index. And so like the S and P five hundred,

496
00:23:53,640 --> 00:23:57,640
Speaker 2: there are different tickers that will follow the overall index.

497
00:23:58,000 --> 00:24:02,359
Speaker 2: So like voo is Van Guard words. You know, ETF,

498
00:24:02,400 --> 00:24:04,879
Speaker 2: that's an index fund. Stop me if ict like speaking

499
00:24:04,920 --> 00:24:05,920
Speaker 2: treat I don't understand.

500
00:24:06,000 --> 00:24:07,320
Speaker 1: Okay, but that's okay.

501
00:24:07,480 --> 00:24:11,080
Speaker 2: So so basically, like we talked about indexes, these sort

502
00:24:11,119 --> 00:24:14,520
Speaker 2: of benchmarks that follow the overall market, you can buy

503
00:24:15,160 --> 00:24:20,760
Speaker 2: a piece of that whole index basically through an index fund,

504
00:24:21,280 --> 00:24:24,000
Speaker 2: where you're investing little piece of money in all those

505
00:24:24,000 --> 00:24:27,120
Speaker 2: five hundred companies. So instead of just like putting your

506
00:24:27,119 --> 00:24:29,840
Speaker 2: money in one of those companies like in Apple or whatever,

507
00:24:30,240 --> 00:24:34,560
Speaker 2: then you're diversifying across a whole bunch with just one purchase. Wow,

508
00:24:34,720 --> 00:24:37,320
Speaker 2: And so you can invest you know, if you go

509
00:24:37,440 --> 00:24:41,119
Speaker 2: on to a brokerage account. You know, a brokerage account

510
00:24:41,160 --> 00:24:45,639
Speaker 2: is so we buy stocks in a brokerage account, unlike

511
00:24:45,880 --> 00:24:48,159
Speaker 2: we don't buy them at a bank. And people have

512
00:24:48,200 --> 00:24:49,840
Speaker 2: said to me, like, oh, I should I go to

513
00:24:49,880 --> 00:24:52,600
Speaker 2: the Apple store to buy Apple stock? Like we just

514
00:24:52,680 --> 00:24:55,440
Speaker 2: don't learn this stuff, And it's okay, Like just feel

515
00:24:55,480 --> 00:24:58,280
Speaker 2: comfortable asking the right questions and then you learn.

516
00:24:58,320 --> 00:25:00,320
Speaker 1: And so you need to get a brokerage acou help,

517
00:25:01,000 --> 00:25:04,400
Speaker 1: So you need a broker Do you need a financial advisor? Okay?

518
00:25:04,560 --> 00:25:05,760
Speaker 4: So many good questions.

519
00:25:05,880 --> 00:25:10,000
Speaker 2: I'm so excited so a brokerage is like a Schwab

520
00:25:10,240 --> 00:25:13,320
Speaker 2: or a fidelity or a vanguard this is or an

521
00:25:13,359 --> 00:25:16,880
Speaker 2: e trade or whatever where you can buy and sell stocks.

522
00:25:18,840 --> 00:25:22,480
Speaker 2: You don't need a broker because a lot of these

523
00:25:22,600 --> 00:25:27,760
Speaker 2: are self service. You can have an advisor. Make sure

524
00:25:27,760 --> 00:25:31,240
Speaker 2: that that advisor is a fiduciary, which sounds.

525
00:25:30,960 --> 00:25:31,520
Speaker 4: Like an SGD.

526
00:25:32,840 --> 00:25:35,280
Speaker 1: I learned what fiduciary is. Oh, I think I learned

527
00:25:35,320 --> 00:25:38,119
Speaker 1: about it the hard way. Fiduciary is someone who's got

528
00:25:38,640 --> 00:25:43,359
Speaker 1: your best interest, yes, as the number one priority instead

529
00:25:43,359 --> 00:25:47,160
Speaker 1: of their own. That's yes, this is where I think.

530
00:25:47,000 --> 00:25:49,320
Speaker 3: Who's financially literate? Y?

531
00:25:51,000 --> 00:25:55,160
Speaker 2: Yeah, So so a fiduciary is somebody that is operating

532
00:25:55,240 --> 00:25:59,080
Speaker 2: in your best interest for sure. If you're looking for

533
00:25:59,119 --> 00:26:01,480
Speaker 2: a financial advisor, if you you know, I can give

534
00:26:01,480 --> 00:26:05,240
Speaker 2: you like my recommendation, or just make sure that they

535
00:26:05,280 --> 00:26:08,080
Speaker 2: have they are a fiduciary and make sure that they

536
00:26:08,080 --> 00:26:11,880
Speaker 2: have these licenses. I do like a role playing in

537
00:26:12,160 --> 00:26:14,639
Speaker 2: the money school of what you should be asking, like

538
00:26:15,040 --> 00:26:16,920
Speaker 2: you know in that first conversation.

539
00:26:17,760 --> 00:26:20,720
Speaker 1: Or you can start of do a DIY path yeah,

540
00:26:20,760 --> 00:26:22,040
Speaker 1: where you just go online.

541
00:26:22,640 --> 00:26:25,359
Speaker 2: Yeah, and so these if you go to one of

542
00:26:25,400 --> 00:26:29,160
Speaker 2: those apps, if you have like Vanguard, Fidelity, Robin Hood,

543
00:26:29,200 --> 00:26:31,680
Speaker 2: any of these. They all do the same thing basically,

544
00:26:31,720 --> 00:26:34,359
Speaker 2: And when i'm somebody asks me, like, which one is

545
00:26:34,359 --> 00:26:34,720
Speaker 2: the best?

546
00:26:34,760 --> 00:26:36,080
Speaker 4: They're honestly all the same.

547
00:26:36,160 --> 00:26:39,399
Speaker 2: It's like, whichever u X you're into, whatever you're going

548
00:26:39,440 --> 00:26:40,199
Speaker 2: to stick to, is the.

549
00:26:40,200 --> 00:26:41,399
Speaker 3: One I like the most for you.

550
00:26:41,680 --> 00:26:45,600
Speaker 1: I think my daughters, since I didn't feel confident enough

551
00:26:45,640 --> 00:26:50,280
Speaker 1: to teach them, I have an advisor that's teaching them,

552
00:26:51,480 --> 00:26:54,880
Speaker 1: who helps me with my money, and they did teach

553
00:26:54,960 --> 00:26:58,600
Speaker 1: them to use Fidelity. To go onto Fidelity dot com

554
00:26:58,640 --> 00:27:02,119
Speaker 1: and just get in there. Yeah, get curious.

555
00:27:01,800 --> 00:27:04,119
Speaker 3: Get in there. Get curious for sure.

556
00:27:04,200 --> 00:27:07,960
Speaker 2: And you know the reason that you know, I suggest

557
00:27:07,960 --> 00:27:10,680
Speaker 2: if you're just starting out to look at those index

558
00:27:10,760 --> 00:27:14,439
Speaker 2: funds is that it's really hard to beat the market

559
00:27:14,880 --> 00:27:17,119
Speaker 2: when people are like, oh, look at this new hot stock.

560
00:27:17,840 --> 00:27:21,280
Speaker 2: The you know, the percentagees that we were talking about,

561
00:27:21,359 --> 00:27:24,720
Speaker 2: like ten percent over time is looking at the overall market.

562
00:27:24,760 --> 00:27:27,080
Speaker 2: It's not looking at individual stocks because those can go

563
00:27:27,160 --> 00:27:31,320
Speaker 2: up and down and indexes do too, but over time,

564
00:27:31,440 --> 00:27:33,199
Speaker 2: like you want to really put your blinders on as

565
00:27:33,280 --> 00:27:36,600
Speaker 2: much as possible. With all the craziness in the market.

566
00:27:36,600 --> 00:27:39,359
Speaker 1: Right it feels so risky, I think for so many people,

567
00:27:39,440 --> 00:27:44,720
Speaker 1: because things do seem to change so quickly. I think

568
00:27:44,800 --> 00:27:47,480
Speaker 1: maybe that's probably the main deterrent for a lot of

569
00:27:47,520 --> 00:27:50,680
Speaker 1: people wanting to get involved at all. What are if

570
00:27:50,680 --> 00:27:52,920
Speaker 1: they don't want to get into the stock market first,

571
00:27:52,920 --> 00:27:55,720
Speaker 1: what are some more conservative or steady options that you

572
00:27:55,800 --> 00:27:56,879
Speaker 1: think they should consider.

573
00:27:57,119 --> 00:27:58,600
Speaker 3: Oh, so your girls can always call me?

574
00:27:58,840 --> 00:28:01,600
Speaker 1: Okay.

575
00:28:02,359 --> 00:28:06,600
Speaker 2: So the way investments work are not like a seesaw.

576
00:28:06,720 --> 00:28:10,320
Speaker 2: So risk and reward actually work hand in hand. So

577
00:28:10,400 --> 00:28:13,240
Speaker 2: the more risk you take on, the more rewards you

578
00:28:13,280 --> 00:28:15,680
Speaker 2: take on. The less risk you take on, the less

579
00:28:15,760 --> 00:28:19,920
Speaker 2: rewards you take on. So lower risk investments will get

580
00:28:19,960 --> 00:28:22,720
Speaker 2: you less of a return. That's okay if you're just

581
00:28:22,760 --> 00:28:26,400
Speaker 2: starting out. I tend to write my books or talk

582
00:28:26,400 --> 00:28:29,640
Speaker 2: about on my podcasts, like from lowest risk to highest risk,

583
00:28:30,040 --> 00:28:33,119
Speaker 2: and so the lowest risk investments could be something like

584
00:28:33,160 --> 00:28:36,240
Speaker 2: a CD, which you do get at a bank. This

585
00:28:36,280 --> 00:28:38,000
Speaker 2: is a form of debt, by the way, So debt

586
00:28:38,040 --> 00:28:40,800
Speaker 2: can be awesome if you're the owner of the debt

587
00:28:41,000 --> 00:28:44,040
Speaker 2: and you don't owe the debt. So own versus oh

588
00:28:44,080 --> 00:28:45,960
Speaker 2: one letter makes a world of difference.

589
00:28:46,000 --> 00:28:47,480
Speaker 1: I didn't know you could own debt.

590
00:28:47,920 --> 00:28:50,600
Speaker 2: You can, Yeah, so like a CD. Have you heard

591
00:28:50,640 --> 00:28:52,040
Speaker 2: of a CD at the bath?

592
00:28:52,360 --> 00:28:52,680
Speaker 3: Okay?

593
00:28:52,680 --> 00:28:56,280
Speaker 2: So basically it's you give them a certain amount of money,

594
00:28:56,440 --> 00:28:59,760
Speaker 2: you agree on an interest rate that they'll give you

595
00:29:00,080 --> 00:29:01,920
Speaker 2: over time, and then they'll give you your money back. So

596
00:29:02,000 --> 00:29:04,440
Speaker 2: if you lock it up for a year, five years,

597
00:29:04,480 --> 00:29:07,280
Speaker 2: ten years, whatever, and then they'll give you your money

598
00:29:07,280 --> 00:29:09,960
Speaker 2: back for the privilege of being able to use your

599
00:29:10,000 --> 00:29:12,800
Speaker 2: money for whatever they want for that period of time. Totally,

600
00:29:13,120 --> 00:29:16,840
Speaker 2: and so you're basically the lender in that situation. You're

601
00:29:16,960 --> 00:29:20,680
Speaker 2: lending the bank money and for that right, they're going

602
00:29:20,760 --> 00:29:23,320
Speaker 2: to give you a present in the form of interest.

603
00:29:23,960 --> 00:29:27,520
Speaker 2: And so those are very low risk investments, but they're

604
00:29:27,520 --> 00:29:29,280
Speaker 2: not going to get you a ton of money. A

605
00:29:29,280 --> 00:29:33,040
Speaker 2: couple percentage points potentially right now they're a little bit higher. Actually,

606
00:29:33,080 --> 00:29:35,480
Speaker 2: when interest rates go up, you think it's so bad,

607
00:29:35,840 --> 00:29:38,720
Speaker 2: maybe if you're getting a mortgage, but if you're investing,

608
00:29:38,760 --> 00:29:41,440
Speaker 2: it's great because those interest rates go up for.

609
00:29:41,480 --> 00:29:42,360
Speaker 3: You as a saver.

610
00:29:43,240 --> 00:29:45,920
Speaker 2: And then you know, in the form of a government bond,

611
00:29:45,960 --> 00:29:49,200
Speaker 2: it's the same type of idea. US treasuries really low

612
00:29:49,280 --> 00:29:52,680
Speaker 2: risk because you know you're lending your money basically to

613
00:29:52,720 --> 00:29:53,560
Speaker 2: the US government.

614
00:29:53,840 --> 00:29:56,880
Speaker 1: Wait, wait, wait, why would I do that? That seems

615
00:29:56,920 --> 00:30:00,120
Speaker 1: like not a good idea. Well, because were the they

616
00:30:00,400 --> 00:30:05,240
Speaker 1: talk about, you know, America's debt being higher than totally

617
00:30:05,320 --> 00:30:06,760
Speaker 1: I can even imagine.

618
00:30:06,920 --> 00:30:12,320
Speaker 2: Yes, but if they don't pay back their loans, and

619
00:30:12,400 --> 00:30:15,600
Speaker 2: if the US government doesn't pay back treasuries, I promise

620
00:30:15,640 --> 00:30:18,960
Speaker 2: we're going to have more problems than the investment you

621
00:30:19,000 --> 00:30:22,440
Speaker 2: made in your treasury will have, like zombie apocalypse vibes.

622
00:30:22,640 --> 00:30:24,480
Speaker 1: My gosh, it's the highest.

623
00:30:25,800 --> 00:30:33,200
Speaker 2: It's the highest rated sovereign debt, so countrywide debt, it's

624
00:30:33,280 --> 00:30:37,240
Speaker 2: triple A rated. So when you're looking at investing as

625
00:30:37,640 --> 00:30:42,240
Speaker 2: the lender in bonds, let's say you're investing in bonds

626
00:30:42,280 --> 00:30:47,160
Speaker 2: issued by governments, so the US or wherever, Venezuela or whatever,

627
00:30:47,240 --> 00:30:50,360
Speaker 2: they all issue bonds. You can also invest in corporate

628
00:30:50,400 --> 00:30:52,440
Speaker 2: bonds and those are all rated. So think of it

629
00:30:52,480 --> 00:30:56,080
Speaker 2: as we get a credit score. Countries get a credit

630
00:30:56,160 --> 00:30:59,360
Speaker 2: score basically too. Companies get a credit score too. So

631
00:30:59,640 --> 00:31:02,440
Speaker 2: the States is triple A rated, which is the highest

632
00:31:02,440 --> 00:31:06,400
Speaker 2: credit rating. So the higher the rating, the lower the

633
00:31:06,480 --> 00:31:08,920
Speaker 2: risk the lower rate. But if let's say you're going

634
00:31:09,000 --> 00:31:12,720
Speaker 2: to invest in Venezuelan bonds or whatever, then it's lower rated,

635
00:31:12,720 --> 00:31:14,640
Speaker 2: but they're going to have to give you a higher

636
00:31:14,640 --> 00:31:17,960
Speaker 2: interest rate because of that risk. So think about it

637
00:31:18,000 --> 00:31:19,920
Speaker 2: like if I'm lending money to a friend, if I'm

638
00:31:19,960 --> 00:31:24,080
Speaker 2: lending money to Jenny and Hannah, and Jenny I know,

639
00:31:24,320 --> 00:31:28,360
Speaker 2: is like so responsible, You're gonna give me money back,

640
00:31:28,680 --> 00:31:31,960
Speaker 2: no problem. Oh, there's less of a risk that I'm

641
00:31:32,040 --> 00:31:34,760
Speaker 2: not going to get my money back, So I'm probably

642
00:31:34,800 --> 00:31:35,640
Speaker 2: gonna not want to.

643
00:31:35,880 --> 00:31:37,600
Speaker 4: Have that much of an interest rate.

644
00:31:38,440 --> 00:31:40,440
Speaker 2: If there's more of a risk that somebody is not

645
00:31:40,480 --> 00:31:42,240
Speaker 2: going to give me my money back, then I'm going

646
00:31:42,280 --> 00:31:44,240
Speaker 2: to want more of a return, almost like as an

647
00:31:44,280 --> 00:31:47,040
Speaker 2: insurance policy that I'm going to get my interest back.

648
00:31:47,040 --> 00:31:49,720
Speaker 2: And I made this bet, this risky bet on a

649
00:31:49,720 --> 00:31:53,120
Speaker 2: person or company or a country that might not give

650
00:31:53,120 --> 00:31:55,640
Speaker 2: me their money back. So it just goes along with

651
00:31:55,720 --> 00:31:59,840
Speaker 2: like higher risk, higher interest, higher reward you want to get,

652
00:32:00,200 --> 00:32:02,520
Speaker 2: lower risk, lower interest you're going to get.

653
00:32:02,640 --> 00:32:05,080
Speaker 1: Do you think it's important to have a diverse, high

654
00:32:05,440 --> 00:32:07,880
Speaker 1: high risk, low risk portfolio? Totally?

655
00:32:08,120 --> 00:32:11,280
Speaker 2: Totally, And I think the rule of them is to

656
00:32:11,320 --> 00:32:15,640
Speaker 2: look at like bonds and stocks using your age. That's

657
00:32:15,720 --> 00:32:18,600
Speaker 2: one you know rule of thumb. You can use whatever

658
00:32:18,880 --> 00:32:21,440
Speaker 2: you want for your situation and when you're going to

659
00:32:21,480 --> 00:32:24,280
Speaker 2: need your money back. So if you take your age

660
00:32:25,400 --> 00:32:29,200
Speaker 2: fifty in bonds, fifty percent of your portfolio would be

661
00:32:29,400 --> 00:32:32,520
Speaker 2: in bonds and then the rest would be in equities or.

662
00:32:32,520 --> 00:32:33,960
Speaker 3: Stocks like in the stock market.

663
00:32:34,040 --> 00:32:37,400
Speaker 2: And the thought process behind that is by the time

664
00:32:37,920 --> 00:32:40,400
Speaker 2: you retire or get older, you know, most people will

665
00:32:40,440 --> 00:32:42,920
Speaker 2: if you have a different situation than tinker based on

666
00:32:42,960 --> 00:32:45,400
Speaker 2: your needs. But you're going to want a lower risk

667
00:32:46,040 --> 00:32:49,560
Speaker 2: situation for yourself by the time you need that money out.

668
00:32:49,880 --> 00:32:52,200
Speaker 2: So let's say you know you're nearing the time when

669
00:32:52,280 --> 00:32:55,080
Speaker 2: you want to take it out. Stocks are more volatile

670
00:32:55,440 --> 00:32:57,840
Speaker 2: and more risky. You're not going to want to take

671
00:32:57,840 --> 00:33:00,000
Speaker 2: that money out when it's in a low because remember

672
00:33:00,160 --> 00:33:01,040
Speaker 2: by low sell.

673
00:33:00,920 --> 00:33:11,400
Speaker 1: High, by low sell high. Yeah, okay, how does credit work?

674
00:33:11,440 --> 00:33:12,680
Speaker 1: We all start out at zero?

675
00:33:13,240 --> 00:33:13,880
Speaker 4: Great question?

676
00:33:14,200 --> 00:33:16,400
Speaker 3: So that do you know your credit score?

677
00:33:16,600 --> 00:33:16,920
Speaker 1: I do?

678
00:33:17,200 --> 00:33:18,240
Speaker 3: Okay, amazing.

679
00:33:18,320 --> 00:33:20,560
Speaker 1: I only say that because I was looking at my

680
00:33:20,920 --> 00:33:22,760
Speaker 1: one of my credit card apps on my phone the

681
00:33:22,800 --> 00:33:25,160
Speaker 1: other day and I saw it and I was like, oh,

682
00:33:25,320 --> 00:33:27,840
Speaker 1: what's in the in the green? So I'm good, okay, good?

683
00:33:28,320 --> 00:33:30,440
Speaker 3: Usually do you want to tell me what it is?

684
00:33:30,880 --> 00:33:31,680
Speaker 1: Seven something?

685
00:33:32,240 --> 00:33:32,480
Speaker 2: Great?

686
00:33:32,600 --> 00:33:35,719
Speaker 1: I'm fifty. Yeah, that's good, right.

687
00:33:35,800 --> 00:33:40,479
Speaker 2: Yeah. All of it is really just telling lenders how

688
00:33:40,760 --> 00:33:43,880
Speaker 2: responsible of a person you are. So if you're going

689
00:33:44,080 --> 00:33:46,560
Speaker 2: to get a mortgage or a business loan or a

690
00:33:46,600 --> 00:33:49,080
Speaker 2: personal loan, there's really not that much of a difference.

691
00:33:49,080 --> 00:33:50,920
Speaker 2: Some people when they get into this, they get really

692
00:33:50,960 --> 00:33:53,240
Speaker 2: competitive and they're like, well, I don't want some fifty

693
00:33:53,240 --> 00:33:55,160
Speaker 2: on one eight hundred. It's like that you're gonna get

694
00:33:55,160 --> 00:33:57,640
Speaker 2: the same the best rate if you're in that green

695
00:33:57,800 --> 00:34:02,480
Speaker 2: zone generally, So basically it's your financial report card. It

696
00:34:02,600 --> 00:34:06,600
Speaker 2: tells lenders you know how responsible you are. And so

697
00:34:06,680 --> 00:34:09,239
Speaker 2: the higher the credit score, the lower the rate. So

698
00:34:09,280 --> 00:34:12,920
Speaker 2: that actually does work like a seesaw. So higher the

699
00:34:13,600 --> 00:34:14,719
Speaker 2: higher your credit.

700
00:34:14,480 --> 00:34:16,239
Speaker 3: Score, lower your interest rates.

701
00:34:16,280 --> 00:34:18,600
Speaker 2: So if you are coming to me as a bank,

702
00:34:18,760 --> 00:34:21,640
Speaker 2: you have seven fifty, then I'm going to give you,

703
00:34:22,000 --> 00:34:26,239
Speaker 2: let's say, you know, a two percent rate, and and

704
00:34:26,520 --> 00:34:30,280
Speaker 2: I think is an example of a bad that's okay

705
00:34:30,840 --> 00:34:35,960
Speaker 2: credit score you know has uh, you know, at six hundred,

706
00:34:36,239 --> 00:34:39,200
Speaker 2: then I'm going to charge her three percent or three

707
00:34:39,239 --> 00:34:40,480
Speaker 2: and a half percent or four year.

708
00:34:41,040 --> 00:34:43,160
Speaker 1: You're more concerned, there's more of a risk that she's

709
00:34:43,160 --> 00:34:43,560
Speaker 1: not going to be.

710
00:34:43,560 --> 00:34:45,359
Speaker 2: Able to put you back, like maybe she pieces out,

711
00:34:45,600 --> 00:34:49,279
Speaker 2: maybe she you know, God Forbaco's bankrupt or something like that.

712
00:34:49,480 --> 00:34:51,000
Speaker 3: So I'm taking on more risks.

713
00:34:50,760 --> 00:34:54,680
Speaker 2: That I'm not going to get my full amount back

714
00:34:54,760 --> 00:34:57,560
Speaker 2: from the mortgage or the personal owne she took out.

715
00:34:58,080 --> 00:35:01,560
Speaker 1: I know for like Okay, so say someone is listening,

716
00:35:02,000 --> 00:35:06,360
Speaker 1: is a single mom with a limited income, how should

717
00:35:06,400 --> 00:35:11,279
Speaker 1: she start investing in her financial future? Like what would

718
00:35:11,360 --> 00:35:14,960
Speaker 1: you suggest? Stock market or something else like that?

719
00:35:15,080 --> 00:35:18,440
Speaker 2: Roth Ira, You don't have to choose, but you also

720
00:35:18,680 --> 00:35:22,399
Speaker 2: have to look at your overall picture. You know, does

721
00:35:22,480 --> 00:35:27,160
Speaker 2: this mom have debt? What percentage is that debt? So

722
00:35:27,280 --> 00:35:30,760
Speaker 2: there's something called the seven percent rule. So if you look,

723
00:35:31,840 --> 00:35:33,640
Speaker 2: you know, I'd love to look at all of her debt,

724
00:35:33,719 --> 00:35:36,400
Speaker 2: all of her assets, and her liabilities. So liability is

725
00:35:36,719 --> 00:35:41,120
Speaker 2: just everything you owe. So if she has credit card

726
00:35:41,120 --> 00:35:45,160
Speaker 2: debt at twenty percent and she has you know, student

727
00:35:45,239 --> 00:35:48,600
Speaker 2: loans at four percent, then I would want her to

728
00:35:48,719 --> 00:35:52,560
Speaker 2: pay off that credit card debt at twenty percent first,

729
00:35:52,760 --> 00:35:56,319
Speaker 2: because that's eating into anything she could invest. And the

730
00:35:56,360 --> 00:35:59,920
Speaker 2: reason that seven percent rule exists is because that's general

731
00:36:00,160 --> 00:36:02,400
Speaker 2: how much you're going to get if you're investing in

732
00:36:02,440 --> 00:36:06,040
Speaker 2: the overall market and so anything above that you should

733
00:36:06,080 --> 00:36:09,279
Speaker 2: pay off before you invest. Anything below that you can

734
00:36:09,320 --> 00:36:13,000
Speaker 2: take that spread or the difference between the debt and

735
00:36:13,239 --> 00:36:15,440
Speaker 2: what you would get if you were investing. So if

736
00:36:15,480 --> 00:36:18,240
Speaker 2: you have four percent of debt, you can still invest

737
00:36:18,239 --> 00:36:21,160
Speaker 2: at seven percent, and you know you'll make the difference.

738
00:36:21,200 --> 00:36:25,600
Speaker 2: You'll still make more. Having money allows you to make

739
00:36:25,640 --> 00:36:28,279
Speaker 2: more money, you know, the thing your parents said is

740
00:36:28,680 --> 00:36:33,520
Speaker 2: really important. Making more money is a great lesson to learn.

741
00:36:33,760 --> 00:36:36,279
Speaker 2: But it's actually not how much you make. It's how

742
00:36:36,360 --> 00:36:39,080
Speaker 2: much you keep and how much you grow it that

743
00:36:39,160 --> 00:36:42,239
Speaker 2: matters the most. And so a salary, even if it's

744
00:36:42,280 --> 00:36:45,080
Speaker 2: a really really high salary, is never going to grow

745
00:36:45,560 --> 00:36:50,360
Speaker 2: long term generational wealth investing is, and using that power

746
00:36:50,880 --> 00:36:52,000
Speaker 2: for you will.

747
00:36:52,200 --> 00:36:56,560
Speaker 1: So you suggest getting paying off your debt depending on

748
00:36:56,600 --> 00:36:57,359
Speaker 1: the interest rates.

749
00:36:57,440 --> 00:37:00,799
Speaker 2: So if you have different types of debt, there are

750
00:37:00,840 --> 00:37:04,400
Speaker 2: two methods to paying off debt. I like the avalanche method,

751
00:37:04,520 --> 00:37:07,520
Speaker 2: which is rating your debt from highest interest rate first

752
00:37:07,520 --> 00:37:10,520
Speaker 2: to lowest interest rate, and so paying off the highest

753
00:37:10,560 --> 00:37:11,399
Speaker 2: interest rate first.

754
00:37:11,440 --> 00:37:13,400
Speaker 1: So let's say get in there with that one totally.

755
00:37:13,440 --> 00:37:15,640
Speaker 2: Yeah, Like, let's say you know she has a four

756
00:37:15,680 --> 00:37:19,760
Speaker 2: percent interest rate for student debt, and you know twenty

757
00:37:19,760 --> 00:37:23,040
Speaker 2: percent interest rate for credit card debt and you have

758
00:37:23,080 --> 00:37:26,560
Speaker 2: one hundred bucks, but magically that four percent is one

759
00:37:26,640 --> 00:37:29,600
Speaker 2: hundred dollars bill, and you're like, that feels really cathartic.

760
00:37:29,640 --> 00:37:31,200
Speaker 2: I'm just going to pay off that bill and be

761
00:37:31,280 --> 00:37:33,520
Speaker 2: done with that. It's actually better to put one hundred

762
00:37:33,520 --> 00:37:35,879
Speaker 2: dollars towards the twenty percent the bigger debt.

763
00:37:36,040 --> 00:37:38,680
Speaker 1: Yeah, even if it just chips out. Yeah, yeah, you

764
00:37:38,719 --> 00:37:40,720
Speaker 1: hear that. I mean I hear that all the time.

765
00:37:40,880 --> 00:37:45,200
Speaker 1: People don't have money, they just charge everything and they

766
00:37:45,360 --> 00:37:47,160
Speaker 1: end up with so much debt.

767
00:37:47,680 --> 00:37:50,680
Speaker 2: Yeah, it's I mean, I was in that situation and

768
00:37:50,719 --> 00:37:53,359
Speaker 2: I broke it down. By the day I think all

769
00:37:53,400 --> 00:37:57,360
Speaker 2: of this stuff, it gets really complicated and overwhelming. You know,

770
00:37:57,480 --> 00:37:59,960
Speaker 2: the jargon keeps a lot of people out of the conversation,

771
00:38:00,200 --> 00:38:02,360
Speaker 2: and I try to take as much of the jargon

772
00:38:02,400 --> 00:38:05,359
Speaker 2: out as humanly possible. Like I didn't work at a bank,

773
00:38:05,440 --> 00:38:07,440
Speaker 2: I didn't get my MBA. I just learned in the

774
00:38:07,440 --> 00:38:08,920
Speaker 2: school of hard knocks because.

775
00:38:08,680 --> 00:38:09,160
Speaker 1: I had to.

776
00:38:10,280 --> 00:38:15,240
Speaker 2: And so, you know, the more you get involved in

777
00:38:15,239 --> 00:38:18,080
Speaker 2: in debt, like if it's a big number, breaking it

778
00:38:18,120 --> 00:38:19,960
Speaker 2: down like I did, I think it was seven dollars

779
00:38:19,960 --> 00:38:24,760
Speaker 2: a day makes it more digestible. So anything hard broken

780
00:38:24,840 --> 00:38:27,759
Speaker 2: down into steps, you know, makes it easier for you

781
00:38:27,840 --> 00:38:28,399
Speaker 2: to stick to.

782
00:38:29,000 --> 00:38:32,560
Speaker 1: Little baby steps. Yeah, So have a goal of what

783
00:38:32,640 --> 00:38:36,560
Speaker 1: you want to tackle and go to that. Work on

784
00:38:36,640 --> 00:38:37,120
Speaker 1: that one.

785
00:38:37,160 --> 00:38:39,680
Speaker 2: Just day by day, just like break it down into

786
00:38:39,719 --> 00:38:43,000
Speaker 2: as little chunks as possible. You know, the first time

787
00:38:43,040 --> 00:38:46,680
Speaker 2: I did my taxes, I had, you know, all the

788
00:38:46,719 --> 00:38:48,840
Speaker 2: receipts crickled up, all the things that I was like,

789
00:38:48,880 --> 00:38:51,040
Speaker 2: I'm going to spend the whole Saturday and I'm going

790
00:38:51,120 --> 00:38:53,560
Speaker 2: to be done with my taxes. And what happened after

791
00:38:53,680 --> 00:38:56,480
Speaker 2: Saturday was I had a glass.

792
00:38:56,360 --> 00:38:58,799
Speaker 4: Probably a bottle of wine hog in US.

793
00:38:59,280 --> 00:39:02,719
Speaker 2: No taxes were done, and instead I said, Okay, all

794
00:39:02,760 --> 00:39:03,960
Speaker 2: I'm gonna do on day.

795
00:39:03,760 --> 00:39:06,440
Speaker 4: One is literally uncrinkle my receipts.

796
00:39:06,640 --> 00:39:07,040
Speaker 3: That's it.

797
00:39:07,440 --> 00:39:10,759
Speaker 2: Just uncrinkle them and I'm done, and then I could

798
00:39:10,760 --> 00:39:13,279
Speaker 2: stick to that. The next day, I'm gonna stack them

799
00:39:13,360 --> 00:39:14,320
Speaker 2: in little piles.

800
00:39:14,600 --> 00:39:15,040
Speaker 3: That's it.

801
00:39:15,400 --> 00:39:17,600
Speaker 2: Because if you try to bite off more than you

802
00:39:17,640 --> 00:39:20,920
Speaker 2: can doew, You're just gonna feel really frustrated and never

803
00:39:21,200 --> 00:39:21,600
Speaker 2: get to.

804
00:39:21,600 --> 00:39:24,839
Speaker 1: Okay, receipts do I have to keep receipts because I

805
00:39:25,000 --> 00:39:28,320
Speaker 1: feel like I just throw them out because I feel

806
00:39:28,320 --> 00:39:30,359
Speaker 1: like if I bought something it's on my credit card,

807
00:39:30,400 --> 00:39:33,919
Speaker 1: then I can just reference my credit card and look

808
00:39:33,920 --> 00:39:36,000
Speaker 1: it up all my charges.

809
00:39:36,560 --> 00:39:37,560
Speaker 3: Usually that's fine.

810
00:39:38,120 --> 00:39:41,080
Speaker 1: That's visually, that's fine. Yeah, Okay, I mean this whole

811
00:39:41,160 --> 00:39:43,680
Speaker 1: like savior receipts thing totally. I can never get a

812
00:39:43,680 --> 00:39:44,279
Speaker 1: handle on that.

813
00:39:44,840 --> 00:39:45,840
Speaker 4: It's usually fine.

814
00:39:45,960 --> 00:39:49,040
Speaker 2: There's so many caveats, and you know, talk to a

815
00:39:49,160 --> 00:39:52,800
Speaker 2: tax professional. If you really want to get a handle

816
00:39:52,840 --> 00:39:54,880
Speaker 2: of your situation, you should keep it for you know,

817
00:39:54,920 --> 00:39:58,360
Speaker 2: a certain number of years in theory, but in practice,

818
00:39:58,480 --> 00:40:01,400
Speaker 2: like I don't any.

819
00:40:01,320 --> 00:40:05,880
Speaker 1: Ordered here first, we are not holding under our receipts anymore.

820
00:40:05,920 --> 00:40:07,760
Speaker 1: It's just too much. It's too much clutter.

821
00:40:08,040 --> 00:40:10,239
Speaker 2: Well, listen, if you if you have a business and

822
00:40:10,320 --> 00:40:15,160
Speaker 2: you are going out, you know for business lunches or

823
00:40:15,160 --> 00:40:17,919
Speaker 2: dinners or you know those types of things, it's it's

824
00:40:18,000 --> 00:40:20,359
Speaker 2: actually good to keep what that is and the item

825
00:40:20,480 --> 00:40:22,319
Speaker 2: is because you can only take your abortion and all

826
00:40:22,360 --> 00:40:25,560
Speaker 2: these like different roles. But if you don't work for

827
00:40:25,640 --> 00:40:29,360
Speaker 2: yourself and you have a pretty simple tax situation.

828
00:40:29,360 --> 00:40:29,759
Speaker 3: You're good.

829
00:40:30,719 --> 00:40:33,000
Speaker 1: Yeah, I'm going to go to the like I'm going

830
00:40:33,040 --> 00:40:34,960
Speaker 1: to look it up on my credit card statement.

831
00:40:34,640 --> 00:40:38,040
Speaker 2: Yeah, or like it pulls into books or whatever.

832
00:40:38,160 --> 00:40:38,359
Speaker 5: Yeah.

833
00:40:38,400 --> 00:40:42,000
Speaker 1: Absolutely, I want to talk about money and relationships because

834
00:40:42,960 --> 00:40:43,680
Speaker 1: that's a big deal.

835
00:40:43,960 --> 00:40:44,800
Speaker 3: Yeah.

836
00:40:45,000 --> 00:40:46,480
Speaker 1: First of all, how long do you think you should

837
00:40:46,480 --> 00:40:49,759
Speaker 1: be dating somebody before you have money talks or debt

838
00:40:49,800 --> 00:40:51,720
Speaker 1: talks or financial goal talks.

839
00:40:52,120 --> 00:40:54,920
Speaker 2: I think you can have them at every step of

840
00:40:54,960 --> 00:40:57,840
Speaker 2: a relationship. They're just going to be different, right, So

841
00:40:57,880 --> 00:41:01,480
Speaker 2: when you're dating, you're not talking about wills and trusts

842
00:41:01,480 --> 00:41:03,319
Speaker 2: and stuff like that. But if you have kids, you

843
00:41:03,440 --> 00:41:06,000
Speaker 2: better be you better have a will or a trust

844
00:41:06,160 --> 00:41:10,680
Speaker 2: or both ideally, you know, and so it those talks

845
00:41:10,800 --> 00:41:15,240
Speaker 2: change as you, as life happens, and as your relationship grows.

846
00:41:15,280 --> 00:41:17,799
Speaker 2: When you move in with somebody, you know, you want

847
00:41:17,840 --> 00:41:21,040
Speaker 2: to know whose name the bills are under. If they're

848
00:41:21,160 --> 00:41:25,400
Speaker 2: under that other person's name and they're paying them on

849
00:41:25,520 --> 00:41:28,640
Speaker 2: time and you guys break up, then they're accumulating good

850
00:41:28,640 --> 00:41:31,600
Speaker 2: credit history. If they're under your name and the other

851
00:41:31,680 --> 00:41:34,640
Speaker 2: person is not paying it for whatever reason, then they're

852
00:41:34,680 --> 00:41:39,080
Speaker 2: screwing your credit. So you just want to have It's

853
00:41:39,160 --> 00:41:42,360
Speaker 2: so hard to have these conversations. It feels really taboo.

854
00:41:42,600 --> 00:41:46,160
Speaker 2: But we talk about way more personal stuff than money,

855
00:41:46,480 --> 00:41:47,200
Speaker 2: Like when.

856
00:41:47,080 --> 00:41:48,680
Speaker 4: We're at dinner, with our girlfriends.

857
00:41:48,800 --> 00:41:53,520
Speaker 2: Yeah, we will talk about sexy time, bikini waxes, all

858
00:41:53,560 --> 00:41:58,920
Speaker 2: the bowel movements, menopause period, all of the things. And

859
00:41:58,920 --> 00:42:01,080
Speaker 2: I'm like, gro you just told me about your landing

860
00:42:01,120 --> 00:42:03,760
Speaker 2: strip bikini wax, Like you're not gonna tell me about

861
00:42:04,160 --> 00:42:05,719
Speaker 2: what you're making and your investments?

862
00:42:05,960 --> 00:42:06,680
Speaker 1: Hey, I want to help.

863
00:42:06,719 --> 00:42:07,920
Speaker 3: Why can't we open up that?

864
00:42:08,040 --> 00:42:08,160
Speaker 2: Right?

865
00:42:08,200 --> 00:42:10,840
Speaker 1: It's such a secrets. It's like a secret because we

866
00:42:10,880 --> 00:42:14,239
Speaker 1: don't want to have less than Susie. And you know,

867
00:42:14,280 --> 00:42:18,360
Speaker 1: it's just it can be a very disheartening thing to

868
00:42:18,440 --> 00:42:21,520
Speaker 1: hear when you're not doing as you know, the same

869
00:42:21,560 --> 00:42:23,480
Speaker 1: things that someone else is doing and seeing them have

870
00:42:23,560 --> 00:42:28,120
Speaker 1: success with it totally but honestly, Yeah, actually it's about

871
00:42:28,160 --> 00:42:31,480
Speaker 1: talking about it so you can learn from Susie. Like,

872
00:42:32,200 --> 00:42:34,600
Speaker 1: I want to know what you're doing and how you

873
00:42:34,719 --> 00:42:38,640
Speaker 1: got to this financially stable place that you are, because

874
00:42:38,719 --> 00:42:40,640
Speaker 1: that's what I want for myself. Yeah.

875
00:42:40,640 --> 00:42:43,719
Speaker 2: And if you have these, you know, these mean girl

876
00:42:43,760 --> 00:42:46,800
Speaker 2: conversations with yourself, like I'm not as good as Susie

877
00:42:46,880 --> 00:42:47,880
Speaker 2: or Isaac or whatever.

878
00:42:47,960 --> 00:42:49,839
Speaker 4: My worth is not as that's on you.

879
00:42:50,000 --> 00:42:51,520
Speaker 3: That's like your work to do.

880
00:42:51,680 --> 00:42:55,839
Speaker 2: Because nobody's said that money equals value right, and so

881
00:42:56,040 --> 00:42:57,840
Speaker 2: money without meaning is just paper.

882
00:42:58,480 --> 00:42:59,360
Speaker 3: It's how you use it.

883
00:42:59,400 --> 00:43:01,840
Speaker 2: Money as a tool, honey is a tool, and so

884
00:43:02,160 --> 00:43:04,160
Speaker 2: like a hammer you can build a house, you can

885
00:43:04,160 --> 00:43:04,920
Speaker 2: tear it down.

886
00:43:05,239 --> 00:43:05,839
Speaker 4: It's a tool.

887
00:43:05,960 --> 00:43:08,880
Speaker 2: It has nothing to do with your own self worth

888
00:43:09,000 --> 00:43:12,799
Speaker 2: or your esteem. Having these conversations will only help you

889
00:43:12,880 --> 00:43:15,000
Speaker 2: become more educated and get ahead. Like I wish we

890
00:43:15,040 --> 00:43:19,080
Speaker 2: would instead have discussions about what investments you're in or

891
00:43:19,400 --> 00:43:23,960
Speaker 2: you know, how much you're making, you know, negotiating for yourself.

892
00:43:25,480 --> 00:43:27,400
Speaker 2: You know, whether you learned it as a kid with

893
00:43:27,440 --> 00:43:29,719
Speaker 2: your allowance or not. Most of us didn't as like

894
00:43:29,800 --> 00:43:33,759
Speaker 2: a skill, just like anything else, and so understanding what

895
00:43:33,840 --> 00:43:37,319
Speaker 2: other people are making opening up that dialogue is so

896
00:43:37,360 --> 00:43:38,920
Speaker 2: important if you want to do it, I would say

897
00:43:38,960 --> 00:43:43,320
Speaker 2: go first, go first, because the break the yeah, totally,

898
00:43:43,680 --> 00:43:49,000
Speaker 2: Like any hard conversation is always easier when somebody starts,

899
00:43:49,480 --> 00:43:52,239
Speaker 2: like addiction. You know, if somebody wants to talk about that,

900
00:43:52,320 --> 00:43:54,920
Speaker 2: for instance, and they say, like, my father died of

901
00:43:54,960 --> 00:43:57,960
Speaker 2: an overdose. And when I say something like that, people

902
00:43:58,040 --> 00:44:01,000
Speaker 2: are like, oh wow, you know, like I know my situation,

903
00:44:01,080 --> 00:44:03,600
Speaker 2: but they're not gonna bring it up on their own.

904
00:44:03,640 --> 00:44:05,520
Speaker 2: And so if you want to talk about it. I

905
00:44:05,560 --> 00:44:07,560
Speaker 2: would say, like go first, which is what I do

906
00:44:08,360 --> 00:44:12,560
Speaker 2: in my books on my show, Like I say, I'll

907
00:44:12,560 --> 00:44:15,200
Speaker 2: show you mine, hopefully if you you don't even.

908
00:44:15,120 --> 00:44:15,960
Speaker 4: Need to show me yours.

909
00:44:16,000 --> 00:44:19,120
Speaker 3: I hope you just show yourself yours. I'll take it

910
00:44:19,120 --> 00:44:20,360
Speaker 3: for the team.

911
00:44:20,640 --> 00:44:24,080
Speaker 1: You talked about negotiating, I can't even I go to

912
00:44:24,120 --> 00:44:28,160
Speaker 1: the farmer's market and I can't even negotiate, like with

913
00:44:28,600 --> 00:44:30,959
Speaker 1: for the tomatoes, like I will just give them full

914
00:44:30,960 --> 00:44:34,880
Speaker 1: price for everything, because I just don't feel comfortable negotiating

915
00:44:34,920 --> 00:44:36,640
Speaker 1: with people. It's a skill.

916
00:44:36,760 --> 00:44:39,719
Speaker 4: It's it's like just a muscle. Also, like the tomatoes.

917
00:44:40,160 --> 00:44:44,920
Speaker 1: I mean, yeah, it's that farmer star like yeah, I

918
00:44:44,920 --> 00:44:46,520
Speaker 1: think that, you know when you go to the school

919
00:44:46,600 --> 00:44:48,759
Speaker 1: meat and yeah, buy totally and they're like, oh, it's

920
00:44:48,760 --> 00:44:49,480
Speaker 1: thirty dollars.

921
00:44:49,520 --> 00:44:52,920
Speaker 2: You're like I ownly way five yeah, or like have

922
00:44:53,000 --> 00:44:53,719
Speaker 2: about twenty five.

923
00:44:54,160 --> 00:44:56,600
Speaker 1: I get uncomfortable of like just give them the money

924
00:44:56,600 --> 00:44:57,160
Speaker 1: they want.

925
00:44:57,960 --> 00:45:02,279
Speaker 2: You know, also that or like it's perspective, you know,

926
00:45:02,360 --> 00:45:07,800
Speaker 2: so the biggest purchases will make our houses and running

927
00:45:07,840 --> 00:45:10,040
Speaker 2: those numbers and making sure that you're getting what you

928
00:45:10,080 --> 00:45:14,120
Speaker 2: can there super worth your time. That's why your credit

929
00:45:14,120 --> 00:45:16,840
Speaker 2: score is super worth your time because that's connected to

930
00:45:17,480 --> 00:45:20,279
Speaker 2: the debt that you'll pay. So if you have a

931
00:45:20,280 --> 00:45:22,640
Speaker 2: lower credit score, you're going to pay more in debt

932
00:45:22,680 --> 00:45:24,799
Speaker 2: over time, which will be thousands of.

933
00:45:24,760 --> 00:45:26,800
Speaker 3: Dollars, you know, the tomato.

934
00:45:26,960 --> 00:45:29,040
Speaker 2: Like, I really don't know if we should sweat the

935
00:45:29,040 --> 00:45:33,040
Speaker 2: small stuff when it comes to money, Like relationships, the

936
00:45:33,080 --> 00:45:34,560
Speaker 2: little things matter so much.

937
00:45:34,719 --> 00:45:37,600
Speaker 1: What do you mean, Like the note that.

938
00:45:37,480 --> 00:45:41,240
Speaker 2: You left me, the text that you sent me matters

939
00:45:41,280 --> 00:45:43,240
Speaker 2: so much in like personal.

940
00:45:43,520 --> 00:45:44,720
Speaker 1: Things, the awful things.

941
00:45:44,880 --> 00:45:47,000
Speaker 4: Yeah, But with money, it's the big things.

942
00:45:47,040 --> 00:45:49,480
Speaker 2: It's like, don't worry about the tomato or the latte,

943
00:45:49,800 --> 00:45:52,200
Speaker 2: Like worry about your credit score. Worry about figuring out

944
00:45:52,200 --> 00:45:55,280
Speaker 2: how to get points off your mortgage. That's the big stuff.

945
00:45:55,320 --> 00:45:58,680
Speaker 2: Figure out how to grow your money, like this little

946
00:45:58,719 --> 00:46:01,279
Speaker 2: thing that we get fixated on, which is how I

947
00:46:01,360 --> 00:46:04,160
Speaker 2: started and this to begin with, because you know, financial

948
00:46:04,200 --> 00:46:06,279
Speaker 2: experts were yelling, don't buy a latte, and I.

949
00:46:06,239 --> 00:46:07,400
Speaker 4: Was like, oh my god, I love that.

950
00:46:07,480 --> 00:46:12,000
Speaker 2: I mean, And so it's not about you know, nickel

951
00:46:12,040 --> 00:46:14,319
Speaker 2: and dying yourself on the little things. It's focusing on

952
00:46:14,360 --> 00:46:16,399
Speaker 2: the big stuff so that you don't have to worry.

953
00:46:16,400 --> 00:46:18,440
Speaker 2: I think I always got caught up in that along

954
00:46:18,480 --> 00:46:20,880
Speaker 2: my journey, and I remember someone saying to me, I

955
00:46:20,920 --> 00:46:23,960
Speaker 2: won't name names, but saying, I was, what's the expression

956
00:46:24,560 --> 00:46:29,120
Speaker 2: penny smart dollar? Oh that pound foolish penny wise pound

957
00:46:29,200 --> 00:46:33,879
Speaker 2: foolish penny. So, like you know, you fixated on the little, yeah,

958
00:46:34,239 --> 00:46:36,720
Speaker 2: little things that you were buying and less so about

959
00:46:36,719 --> 00:46:40,160
Speaker 2: the big things. A lot of people do that because

960
00:46:40,160 --> 00:46:43,440
Speaker 2: it feels like something you can control, right, right, and

961
00:46:43,480 --> 00:46:46,080
Speaker 2: we all want the little things is easier to control totally.

962
00:46:46,160 --> 00:46:48,879
Speaker 1: Things. Going back to the relationship talking Okay.

963
00:46:49,840 --> 00:46:50,480
Speaker 3: Are we dating?

964
00:46:50,480 --> 00:46:51,160
Speaker 4: What's my story?

965
00:46:51,239 --> 00:46:54,040
Speaker 1: We might be, but I know that that it can

966
00:46:54,120 --> 00:46:56,839
Speaker 1: cause a lot of problems in a relationship. Money it's

967
00:46:56,880 --> 00:46:59,360
Speaker 1: always uncomfortable to talk about. And you don't want to

968
00:46:59,400 --> 00:47:01,640
Speaker 1: get too far in with somebody and find out that

969
00:47:01,680 --> 00:47:04,839
Speaker 1: they have this mountain of debt or they are, you know,

970
00:47:05,000 --> 00:47:07,000
Speaker 1: have loans that they're trying to dig out from under.

971
00:47:07,800 --> 00:47:12,040
Speaker 1: And some people get into relationships where one person is

972
00:47:12,080 --> 00:47:17,200
Speaker 1: taking on more of the financial responsibilities. How if you

973
00:47:17,239 --> 00:47:21,720
Speaker 1: find yourself in that situation, how do you course correct

974
00:47:21,719 --> 00:47:25,520
Speaker 1: that in a way that's going to protect you in

975
00:47:25,560 --> 00:47:26,200
Speaker 1: the big picture.

976
00:47:26,680 --> 00:47:28,560
Speaker 2: So I think, first of all, when it comes to

977
00:47:28,680 --> 00:47:31,920
Speaker 2: talking about finances, Like, it doesn't have to be scary.

978
00:47:32,040 --> 00:47:33,239
Speaker 4: It's not an interrogation.

979
00:47:33,320 --> 00:47:35,200
Speaker 2: It's not like flashlighting your eye.

980
00:47:35,040 --> 00:47:37,279
Speaker 4: Where were you the native Junefit.

981
00:47:37,040 --> 00:47:40,759
Speaker 2: Like, no, it's hey, baby, you know, what do you

982
00:47:40,840 --> 00:47:43,880
Speaker 2: want out of your life? Like goals have price tags.

983
00:47:44,200 --> 00:47:48,440
Speaker 2: So it's about talking about your life, reverse engineering to

984
00:47:48,480 --> 00:47:50,439
Speaker 2: figure out how to get the money to live that life.

985
00:47:50,600 --> 00:47:53,200
Speaker 2: Understanding how they want to spend their money, what their

986
00:47:53,239 --> 00:47:53,919
Speaker 2: habits are.

987
00:47:54,200 --> 00:47:55,040
Speaker 4: It's not like how.

988
00:47:55,000 --> 00:47:57,440
Speaker 2: Much is in your you know, bank account, or like

989
00:47:57,480 --> 00:47:59,439
Speaker 2: what's in your brokerage account or what's your credit score.

990
00:47:59,480 --> 00:48:01,560
Speaker 4: That's not like first eight conversations.

991
00:48:01,920 --> 00:48:05,200
Speaker 1: I don't think I would that would kind of be eternality.

992
00:48:05,360 --> 00:48:09,040
Speaker 2: But yeah, it's but I think understanding how they view

993
00:48:09,120 --> 00:48:13,120
Speaker 2: money is really important to do early on, and that's

994
00:48:13,360 --> 00:48:15,399
Speaker 2: you can get a sense of that. You can get

995
00:48:15,400 --> 00:48:18,319
Speaker 2: a sense of how they're spending, you know, what what

996
00:48:18,840 --> 00:48:21,560
Speaker 2: they what kind of brands they're buying, do they have

997
00:48:22,040 --> 00:48:26,200
Speaker 2: mountains of bills on their calenter Like you can just

998
00:48:26,200 --> 00:48:30,000
Speaker 2: just be perceptive and pay attention to maybe yellow flags,

999
00:48:30,040 --> 00:48:33,360
Speaker 2: and then as you get more into the relationship, you

1000
00:48:33,360 --> 00:48:35,879
Speaker 2: can double click on those yellow flags and see if.

1001
00:48:35,760 --> 00:48:37,040
Speaker 3: They're red or green.

1002
00:48:37,760 --> 00:48:41,160
Speaker 2: But it's it's having an open dialogue that most divorces

1003
00:48:41,200 --> 00:48:45,600
Speaker 2: happen because of finances in one way or another, and

1004
00:48:46,120 --> 00:48:48,840
Speaker 2: you know, being able to talk about that earlier is

1005
00:48:48,880 --> 00:48:51,240
Speaker 2: obviously better. But I would go back to the hard

1006
00:48:51,520 --> 00:48:54,160
Speaker 2: conversation part, like be ready to talk about it first,

1007
00:48:55,840 --> 00:48:57,440
Speaker 2: bring up a prenup, Like I think a lot of

1008
00:48:57,480 --> 00:48:58,400
Speaker 2: women should bring.

1009
00:48:58,320 --> 00:48:58,960
Speaker 4: Up a prenup.

1010
00:48:59,239 --> 00:49:01,960
Speaker 2: This this whole narrative that we've gotten into of Like

1011
00:49:02,200 --> 00:49:05,239
Speaker 2: he's making me get a prenup? You know what do

1012
00:49:05,280 --> 00:49:07,719
Speaker 2: you mean? Like? What about your money? What about the

1013
00:49:07,719 --> 00:49:10,040
Speaker 2: things that you've built? What about bringing it up and

1014
00:49:10,080 --> 00:49:12,920
Speaker 2: taking back the power of that conversation.

1015
00:49:13,040 --> 00:49:15,120
Speaker 1: Absolutely, it's about protecting yourself.

1016
00:49:15,680 --> 00:49:17,759
Speaker 2: Yeah, and you can you have a prenup whether you

1017
00:49:17,960 --> 00:49:20,120
Speaker 2: have an actual document or not. Like the state is

1018
00:49:20,160 --> 00:49:23,799
Speaker 2: going to decide in California, in anywhere, and you are like,

1019
00:49:24,200 --> 00:49:26,319
Speaker 2: depending on where you are, the state is going to

1020
00:49:26,360 --> 00:49:30,160
Speaker 2: decide what happens to your assets. So it's better to

1021
00:49:30,200 --> 00:49:32,640
Speaker 2: decide for yourself. I generally think we would want to

1022
00:49:32,680 --> 00:49:35,040
Speaker 2: have more control. Same thing when it comes to wills.

1023
00:49:34,840 --> 00:49:38,000
Speaker 1: And trusts and stuff like that. After listening to having

1024
00:49:38,000 --> 00:49:40,520
Speaker 1: this conversation today, what is the one thing that you

1025
00:49:40,640 --> 00:49:42,000
Speaker 1: hope our listeners take away.

1026
00:49:44,280 --> 00:49:49,280
Speaker 2: I would honestly, just listening to you talk, I want

1027
00:49:49,960 --> 00:49:52,680
Speaker 2: all of the listeners to just be mindful of the

1028
00:49:52,719 --> 00:49:56,440
Speaker 2: self talk around money because they think it really dictates

1029
00:49:56,880 --> 00:50:00,439
Speaker 2: what your actions are. I think, just try to tell

1030
00:50:00,480 --> 00:50:03,480
Speaker 2: the mean girl inside your head to take several seats.

1031
00:50:03,600 --> 00:50:08,160
Speaker 2: We all have her or mean guy. And I think

1032
00:50:08,200 --> 00:50:10,920
Speaker 2: it's really important the way we talk to ourselves about money.

1033
00:50:11,360 --> 00:50:14,759
Speaker 2: You know, maybe we're not there yet, like we're not

1034
00:50:14,840 --> 00:50:16,959
Speaker 2: where we want to be right the second, but there's

1035
00:50:17,000 --> 00:50:19,759
Speaker 2: no reason that we won't be, and there's no reason our.

1036
00:50:19,719 --> 00:50:20,360
Speaker 4: Kids won't be.

1037
00:50:20,760 --> 00:50:22,560
Speaker 2: And I think it's just being really mindful and how

1038
00:50:22,560 --> 00:50:25,240
Speaker 2: we talk to ourselves and how we talk to our kids,

1039
00:50:25,280 --> 00:50:28,160
Speaker 2: like we talked about, you know, when it comes to money,

1040
00:50:28,160 --> 00:50:31,880
Speaker 2: because it really does affect what you do or what

1041
00:50:31,920 --> 00:50:34,879
Speaker 2: you don't do. So right self talk, positive self talk

1042
00:50:35,000 --> 00:50:35,960
Speaker 2: in every area.

1043
00:50:36,440 --> 00:50:37,680
Speaker 3: Who's financially literate.

1044
00:50:37,800 --> 00:50:44,200
Speaker 2: Now, that'd mean yeah, before I let you go, Nicole,

1045
00:50:44,560 --> 00:50:48,640
Speaker 2: what was your last I choose me moment? Oh my goodness,

1046
00:50:48,800 --> 00:50:51,480
Speaker 2: Oh my goodness, so my goodness, my last I choose

1047
00:50:57,560 --> 00:51:00,200
Speaker 2: This has been a tricky one because I just had

1048
00:51:00,200 --> 00:51:02,279
Speaker 2: a baby and I just lost my house, and it's

1049
00:51:02,280 --> 00:51:09,400
Speaker 2: been a lot of choosing everybody else moments. My last

1050
00:51:09,480 --> 00:51:13,960
Speaker 2: I Choose me moment was going to get blood work

1051
00:51:14,040 --> 00:51:19,600
Speaker 2: done and finding out that I had an iron thing,

1052
00:51:19,640 --> 00:51:22,960
Speaker 2: which is why I wasn't having energy, and then taking

1053
00:51:23,040 --> 00:51:27,279
Speaker 2: time to go get iron infusions because that would make

1054
00:51:27,320 --> 00:51:30,080
Speaker 2: me feel better. And they were a lot of time

1055
00:51:30,120 --> 00:51:32,440
Speaker 2: when I have the baby and all of that, but

1056
00:51:32,480 --> 00:51:35,080
Speaker 2: I thought it would make me a better mom, a

1057
00:51:35,120 --> 00:51:38,040
Speaker 2: better partner, a better everything if I just went and

1058
00:51:38,120 --> 00:51:40,360
Speaker 2: did this, like not fun thing, but I think self

1059
00:51:40,360 --> 00:51:44,600
Speaker 2: care is not always about deep tissue massages and you know,

1060
00:51:44,680 --> 00:51:47,200
Speaker 2: Manny petties, I love those, don't get me wrong, But

1061
00:51:47,239 --> 00:51:50,160
Speaker 2: like sometimes self care I think is about going to

1062
00:51:50,200 --> 00:51:56,239
Speaker 2: the doctor, doing financial self care. Investing in yourself pays

1063
00:51:56,280 --> 00:51:59,160
Speaker 2: the most diffidence later on, I know it really does.

1064
00:51:59,520 --> 00:52:03,520
Speaker 2: People don't don't realize that is that to choose me moment,

1065
00:52:03,680 --> 00:52:08,239
Speaker 2: absolutely you chose to be your own health advocate, to

1066
00:52:08,360 --> 00:52:11,680
Speaker 2: make sure that you are running at your top level

1067
00:52:11,960 --> 00:52:14,360
Speaker 2: so that you could then in turn be there for

1068
00:52:14,400 --> 00:52:14,920
Speaker 2: your family.

1069
00:52:15,920 --> 00:52:20,480
Speaker 1: I love that. Thanks, this has been such a great conversation.

1070
00:52:20,680 --> 00:52:23,319
Speaker 1: I hope that I know that our listeners will take

1071
00:52:23,320 --> 00:52:25,719
Speaker 1: something away from it. So thank you very much, thank

1072
00:52:25,760 --> 00:52:25,960
Speaker 1: you