1
00:00:00,120 --> 00:00:03,160
Speaker 1: Welcome to How to Money. I'm Joel and I am

2
00:00:03,240 --> 00:00:05,680
Speaker 1: matt and today we're answering your listener questions.

3
00:00:25,160 --> 00:00:29,240
Speaker 2: Know what, buddy this is and ask how to Money episode.

4
00:00:29,280 --> 00:00:31,680
Speaker 2: This is a Monday episode. And by the way, speaking

5
00:00:31,720 --> 00:00:34,440
Speaker 2: of this coming on on Mondays, we're actually gonna make

6
00:00:34,560 --> 00:00:37,640
Speaker 2: a little tweak to the format of the show. Not

7
00:00:38,040 --> 00:00:41,800
Speaker 2: only will you be getting these listener question episodes every

8
00:00:41,840 --> 00:00:44,800
Speaker 2: other week, you're gonna be getting them every single week.

9
00:00:45,000 --> 00:00:47,640
Speaker 2: This is a change that we're making and every Monday

10
00:00:47,720 --> 00:00:51,280
Speaker 2: you can now expect and ask how to Money episode

11
00:00:51,280 --> 00:00:52,080
Speaker 2: here in your feed.

12
00:00:52,240 --> 00:00:56,040
Speaker 1: Yeah, so by popular demand, Matthew, or just by edict,

13
00:00:56,120 --> 00:00:56,920
Speaker 1: by the two of us.

14
00:00:57,280 --> 00:01:00,200
Speaker 2: We've decided. But also we have gotten so many great

15
00:01:00,240 --> 00:01:02,640
Speaker 2: listener questions, and that's really one of the main reasons

16
00:01:02,760 --> 00:01:04,840
Speaker 2: one of the funnest things for us to do here.

17
00:01:04,880 --> 00:01:07,200
Speaker 1: Yeah, and so many people submit questions and we're not

18
00:01:07,240 --> 00:01:09,360
Speaker 1: able to get to all of them, and we're just hey,

19
00:01:09,360 --> 00:01:12,040
Speaker 1: if we tackled twice as many, then we'll probably get

20
00:01:12,040 --> 00:01:13,119
Speaker 1: to most of them, which is great.

21
00:01:13,160 --> 00:01:16,399
Speaker 2: So we're talking to a friend about this and I

22
00:01:16,480 --> 00:01:19,720
Speaker 2: looked in our folder where we keep all basically all

23
00:01:19,720 --> 00:01:21,240
Speaker 2: of the listener questions that come in and then we

24
00:01:21,319 --> 00:01:22,600
Speaker 2: kind of mark the ones that we want to, you know,

25
00:01:22,640 --> 00:01:25,199
Speaker 2: we kind of line them up and depending on the content,

26
00:01:25,240 --> 00:01:27,920
Speaker 2: depending on the specific question. But there are over two

27
00:01:28,040 --> 00:01:30,880
Speaker 2: hundred and seventy unanswered listener questions that we have not

28
00:01:31,000 --> 00:01:33,160
Speaker 2: gotten to over and granted this is over the course

29
00:01:33,200 --> 00:01:34,720
Speaker 2: of five years, to our shame.

30
00:01:35,160 --> 00:01:37,120
Speaker 1: In some way, it's unfortunately, so we Yeah, I think

31
00:01:37,280 --> 00:01:39,520
Speaker 1: in a way, it's where we feel bad that we

32
00:01:39,520 --> 00:01:41,200
Speaker 1: can't get to all the questions that people have. That's

33
00:01:41,200 --> 00:01:42,959
Speaker 1: what the Facebook group is for as well, by the way,

34
00:01:42,959 --> 00:01:44,800
Speaker 1: people can go in there help each other out. But

35
00:01:45,200 --> 00:01:46,880
Speaker 1: some of them are repeats, right, Like, some of them

36
00:01:46,880 --> 00:01:49,360
Speaker 1: are very similar to Okay, we've talked about it before.

37
00:01:49,440 --> 00:01:50,960
Speaker 2: It would be fun to be able to get to more.

38
00:01:50,880 --> 00:01:52,680
Speaker 1: Of them, exactly, And so I think that's really the

39
00:01:52,720 --> 00:01:55,480
Speaker 1: goal here, And so hopefully this encourages you too, if

40
00:01:55,480 --> 00:01:58,320
Speaker 1: you're like I might. I thought about submitting a listener question,

41
00:01:58,440 --> 00:02:00,920
Speaker 1: but man, they do whatever are they actually going to

42
00:02:00,960 --> 00:02:02,520
Speaker 1: get to mine? Well, hopefully we'll be able to get

43
00:02:02,520 --> 00:02:05,880
Speaker 1: to yours now. So yeah, feel more encouraged even to

44
00:02:06,240 --> 00:02:07,760
Speaker 1: submit a question to us that Matt and I can

45
00:02:07,800 --> 00:02:10,960
Speaker 1: take on the next Ask htm episode, which comes out

46
00:02:11,080 --> 00:02:13,440
Speaker 1: not two weeks from today, next Monday, one week from today.

47
00:02:13,480 --> 00:02:15,079
Speaker 2: And by the way, this does not mean that we're

48
00:02:15,080 --> 00:02:17,519
Speaker 2: not going to have interviews. We'll be sharing more about

49
00:02:17,960 --> 00:02:19,880
Speaker 2: We're not going to spend the entire this entire episode

50
00:02:19,919 --> 00:02:20,880
Speaker 2: talking about the format of the show.

51
00:02:20,919 --> 00:02:21,440
Speaker 1: Let's keep moving.

52
00:02:21,760 --> 00:02:22,959
Speaker 2: I wanted to ask you, what do you think about

53
00:02:23,000 --> 00:02:26,880
Speaker 2: my new kids bike sitting against the office while I

54
00:02:26,960 --> 00:02:29,079
Speaker 2: actually forgot about it and it's sat there almost like

55
00:02:29,120 --> 00:02:31,960
Speaker 2: half the day before. You were like, why do you

56
00:02:31,960 --> 00:02:34,359
Speaker 2: have a kid's bike in Did you punch a kid

57
00:02:34,400 --> 00:02:37,880
Speaker 2: and take their bike? My new twenty four incher No,

58
00:02:38,280 --> 00:02:40,919
Speaker 2: I wanted to mention this. So it was Heavy's birthday

59
00:02:41,000 --> 00:02:44,200
Speaker 2: last week, and she had been mentioning for a while

60
00:02:44,240 --> 00:02:46,000
Speaker 2: that she doesn't have a bike that fits there anymore,

61
00:02:46,320 --> 00:02:49,320
Speaker 2: to my great shame, the fact that we haven't had

62
00:02:49,320 --> 00:02:51,880
Speaker 2: her properly outfitted, and it's literally kept us.

63
00:02:51,840 --> 00:02:53,680
Speaker 1: From being able to go on family right, especially when

64
00:02:53,960 --> 00:02:56,760
Speaker 1: you and I and our families we prioritize biking so heavily.

65
00:02:56,800 --> 00:02:59,799
Speaker 2: You know, it's something that we had just not gotten

66
00:02:59,800 --> 00:03:02,600
Speaker 2: to and we're like, all right, this is for her birthday.

67
00:03:02,639 --> 00:03:04,440
Speaker 2: We'll make sure to get her an awesome bike. I

68
00:03:04,480 --> 00:03:08,360
Speaker 2: was looking specifically at like this fancy lightweight specialized bike,

69
00:03:08,400 --> 00:03:11,040
Speaker 2: and I was getting really close to pulling the trigger

70
00:03:11,040 --> 00:03:12,280
Speaker 2: on it, and I thought, wait a minute, I need

71
00:03:12,320 --> 00:03:14,760
Speaker 2: to see if I can find this thing used. Hopped

72
00:03:14,800 --> 00:03:17,800
Speaker 2: on Facebook Marketplace and I didn't find that specific bike,

73
00:03:17,919 --> 00:03:19,960
Speaker 2: but I found one that was very, very similar. It

74
00:03:20,000 --> 00:03:21,959
Speaker 2: was also a twenty four inch, and I was able

75
00:03:22,000 --> 00:03:24,720
Speaker 2: to get an incredible deal. It was a It's an

76
00:03:24,720 --> 00:03:28,560
Speaker 2: Arii co Op twenty four inch rev City is the

77
00:03:28,600 --> 00:03:30,799
Speaker 2: specific bike. And I know the name because I looked

78
00:03:30,800 --> 00:03:33,200
Speaker 2: it up because I wanted to know the cost. Brand new,

79
00:03:33,520 --> 00:03:36,920
Speaker 2: these jokers are four hundred bucks. Currently they're on sale

80
00:03:37,040 --> 00:03:39,480
Speaker 2: Arii for like two hundred and eighty. I think I

81
00:03:39,560 --> 00:03:42,080
Speaker 2: was able to get this thing used. It actually was

82
00:03:42,120 --> 00:03:44,240
Speaker 2: an excellent condition for one hundred and thirty five bucks.

83
00:03:44,320 --> 00:03:47,640
Speaker 2: That's sweet, man, man. Yeah, the lady she had purchased

84
00:03:47,640 --> 00:03:50,560
Speaker 2: it for her daughter. I think during the pandemic. She

85
00:03:50,600 --> 00:03:54,040
Speaker 2: wrote it like four times. Quickly outgrew it and she's like,

86
00:03:54,120 --> 00:03:55,200
Speaker 2: I gotta unload those bike now.

87
00:03:55,200 --> 00:03:56,920
Speaker 1: That's what happens with those kids. By You and I

88
00:03:56,960 --> 00:03:58,680
Speaker 1: were talking the other day, and it's the same thing

89
00:03:58,680 --> 00:04:00,920
Speaker 1: with kids shoes. I do not buy expensive shoes for

90
00:04:01,000 --> 00:04:02,880
Speaker 1: my kids because I grow in a matter of what

91
00:04:02,960 --> 00:04:05,080
Speaker 1: seems like weeks. I know it's probably more like months,

92
00:04:05,080 --> 00:04:07,320
Speaker 1: but still it feels like quaks. Yeah, and bikes are

93
00:04:07,360 --> 00:04:09,560
Speaker 1: some like buy but you also don't want to buy

94
00:04:09,600 --> 00:04:13,320
Speaker 1: them a super heavy, complete piece of crap because it'll disincentivize.

95
00:04:13,320 --> 00:04:15,720
Speaker 2: Weight is one of the biggest things, because when they're

96
00:04:15,880 --> 00:04:18,960
Speaker 2: big and un and the kids can't handle them, it

97
00:04:19,000 --> 00:04:20,480
Speaker 2: makes it not very fun.

98
00:04:21,360 --> 00:04:23,680
Speaker 1: I do feel like those Arii bikes are probably that

99
00:04:23,760 --> 00:04:25,480
Speaker 1: perfect middle of the road for a whole lot of

100
00:04:25,520 --> 00:04:28,120
Speaker 1: people where they're not crazy expensive. There's like five hundred

101
00:04:28,120 --> 00:04:30,120
Speaker 1: and six hundred dollars models you can get when they're

102
00:04:30,120 --> 00:04:33,760
Speaker 1: on sales or else the US. Yeah, okay, it makes sense,

103
00:04:33,920 --> 00:04:35,840
Speaker 1: but when you get amused, like you can get even better,

104
00:04:35,920 --> 00:04:38,680
Speaker 1: even less than that. So the only well, so the

105
00:04:38,720 --> 00:04:42,320
Speaker 1: only benefit of having four kids, I mean it's expensive

106
00:04:42,360 --> 00:04:44,080
Speaker 1: in lots of different ways, is that I can kind

107
00:04:44,080 --> 00:04:47,080
Speaker 1: of justify the money I spend on bikes because I'm like,

108
00:04:47,120 --> 00:04:49,120
Speaker 1: all right, there's a chance that at least three other

109
00:04:49,200 --> 00:04:50,920
Speaker 1: kids would ride this bike.

110
00:04:50,960 --> 00:04:52,440
Speaker 2: That's a good point. Oh yeah, that's one thing. I

111
00:04:52,440 --> 00:04:54,599
Speaker 2: would have been willing to drop four or five hundred

112
00:04:54,640 --> 00:04:56,600
Speaker 2: bucks on a nicer bike knowing that, but I was

113
00:04:56,640 --> 00:04:59,039
Speaker 2: also glad that I didn't have to do that. So

114
00:04:59,160 --> 00:05:00,560
Speaker 2: just a reminder for folks out there, and there are

115
00:05:00,600 --> 00:05:02,559
Speaker 2: deals to be had on Facebook market.

116
00:05:02,560 --> 00:05:04,440
Speaker 1: One of the random thing on Arii Bikes. I think

117
00:05:04,440 --> 00:05:06,080
Speaker 1: they have some sort of trade up system at a

118
00:05:06,080 --> 00:05:09,279
Speaker 1: lot of stores where they'll give you a decent chunk

119
00:05:09,360 --> 00:05:12,440
Speaker 1: off the next upgrade you make if your kid outgrows

120
00:05:12,520 --> 00:05:15,320
Speaker 1: that version, and so you least want to check in

121
00:05:15,360 --> 00:05:17,000
Speaker 1: and see, okay, cool if I buy it here and

122
00:05:17,040 --> 00:05:18,760
Speaker 1: I return it, I think with it. If you upgrade

123
00:05:18,760 --> 00:05:21,040
Speaker 1: within the next three years, they'll give you a substantial

124
00:05:21,040 --> 00:05:22,560
Speaker 1: discount on the next one. So that's cool too. I mean,

125
00:05:22,560 --> 00:05:25,120
Speaker 1: Aria is a great company, so absolutely making good stuff.

126
00:05:25,720 --> 00:05:28,080
Speaker 1: But Matt, all right, let's mention the beer we're having

127
00:05:28,120 --> 00:05:30,760
Speaker 1: on this episode. This is I'm gonna mispronounce this probably

128
00:05:31,000 --> 00:05:37,360
Speaker 1: Kanazawa Hiakomunga pale al. So this is another Japanese beer,

129
00:05:37,360 --> 00:05:39,960
Speaker 1: our last Japanese beer from listener Julia, I thought you

130
00:05:39,960 --> 00:05:42,280
Speaker 1: did well, Joel, thank you good. That was pathetic, really,

131
00:05:42,320 --> 00:05:44,760
Speaker 1: but we do our best here. But We're excited to

132
00:05:44,800 --> 00:05:46,280
Speaker 1: try this one, and we'll give our thoughts at the

133
00:05:46,360 --> 00:05:48,719
Speaker 1: end of the episode. But let's get the listener questions.

134
00:05:48,920 --> 00:05:51,440
Speaker 1: Of course, now we're doing this weekly, so feel free

135
00:05:51,440 --> 00:05:53,720
Speaker 1: to submit yours. You can submit at how to money

136
00:05:53,760 --> 00:05:56,200
Speaker 1: dot com slash ask that are simple instructions for you

137
00:05:56,240 --> 00:05:58,839
Speaker 1: to record a voice memo and get it sent our way.

138
00:05:59,040 --> 00:06:01,760
Speaker 1: But let's get to the question for today's episode, Matt.

139
00:06:01,839 --> 00:06:04,039
Speaker 1: This one is specifically car related.

140
00:06:04,880 --> 00:06:08,040
Speaker 3: Hi, Matt and Joel. My name's Darlene. I'm calling from Montana.

141
00:06:08,360 --> 00:06:11,360
Speaker 3: I'm a longtime listener of your show and appreciate all

142
00:06:11,400 --> 00:06:14,240
Speaker 3: the advice you guys give your listeners. My question for

143
00:06:14,320 --> 00:06:16,200
Speaker 3: you guys is if I should pay off my car

144
00:06:16,320 --> 00:06:19,599
Speaker 3: Loan early versus keeping that money aside for a future

145
00:06:19,640 --> 00:06:22,520
Speaker 3: home purchase. I owe less on the car than it

146
00:06:22,560 --> 00:06:25,000
Speaker 3: is worth, and I have an interest rate of three

147
00:06:25,040 --> 00:06:29,440
Speaker 3: point seventy five percent. I have about fifteen percent saved

148
00:06:29,560 --> 00:06:32,360
Speaker 3: up for a house. Now. I'm about a year out

149
00:06:32,360 --> 00:06:35,160
Speaker 3: from that home purchase and it would be my first home,

150
00:06:35,279 --> 00:06:38,239
Speaker 3: so I know I don't necessarily need the full twenty percent,

151
00:06:38,680 --> 00:06:40,520
Speaker 3: but if I pay off this car, it would take

152
00:06:40,520 --> 00:06:44,719
Speaker 3: that savings from fifteen percent to about five And a

153
00:06:44,800 --> 00:06:48,280
Speaker 3: small backstory is I am thirty two years old. I'd

154
00:06:48,320 --> 00:06:52,080
Speaker 3: currently have no other debts besides this car, and I

155
00:06:52,120 --> 00:06:55,120
Speaker 3: didn't make the best decisions in my twenties, but now

156
00:06:55,120 --> 00:06:59,040
Speaker 3: at thirty two, I am making better decisions. I have

157
00:06:59,120 --> 00:07:02,239
Speaker 3: eight months worth of an emergency savings set aside separate

158
00:07:02,279 --> 00:07:05,719
Speaker 3: from that home savings, and I'm contributing to my four

159
00:07:05,720 --> 00:07:09,280
Speaker 3: O one k HSA and a ROTH and I just

160
00:07:09,480 --> 00:07:12,040
Speaker 3: want to make sure I'm making the best decision. I

161
00:07:12,080 --> 00:07:15,400
Speaker 3: don't want this to affect my credit score negatively or

162
00:07:15,440 --> 00:07:17,920
Speaker 3: my ability to get a home in the future. I'd

163
00:07:17,920 --> 00:07:20,680
Speaker 3: appreciate any advice you guys have or if I'm maybe

164
00:07:20,760 --> 00:07:23,120
Speaker 3: missing anything that you could point out. Thanks for all

165
00:07:23,160 --> 00:07:24,120
Speaker 3: you do, all.

166
00:07:24,120 --> 00:07:26,320
Speaker 2: Right, Darlene, thank you so much for listening to the

167
00:07:26,360 --> 00:07:28,640
Speaker 2: show for so long. Now, and let's go ahead and

168
00:07:28,680 --> 00:07:30,720
Speaker 2: dive into it as to whether or not you should

169
00:07:30,720 --> 00:07:33,840
Speaker 2: pay off that car loan or not. For most folks,

170
00:07:34,160 --> 00:07:36,520
Speaker 2: we are fans of not having a car loan in

171
00:07:36,560 --> 00:07:39,520
Speaker 2: the first place. We don't like them, No, absolutely not. Yeah,

172
00:07:39,600 --> 00:07:42,320
Speaker 2: bottom line, we don't want you paying interest to a

173
00:07:42,400 --> 00:07:47,200
Speaker 2: financier a bank. But specifically this is important to keep

174
00:07:47,200 --> 00:07:50,160
Speaker 2: in mind, especially these days, like with car prices being

175
00:07:50,200 --> 00:07:53,200
Speaker 2: sky high and interest rates skyrocketing. With that in mind,

176
00:07:53,240 --> 00:07:55,920
Speaker 2: like it's tempting to finance a car or to take

177
00:07:56,000 --> 00:07:58,480
Speaker 2: out a longer loan in order to afford the car

178
00:07:58,560 --> 00:08:00,760
Speaker 2: that you that you want that you're looking at. And again,

179
00:08:00,800 --> 00:08:02,440
Speaker 2: it's not that it's never okay, It's just that we

180
00:08:02,480 --> 00:08:05,640
Speaker 2: want most folks thinking about how they can slash what

181
00:08:05,840 --> 00:08:09,600
Speaker 2: they spend on cars or transportation, which would in turn

182
00:08:09,720 --> 00:08:13,679
Speaker 2: allow them to funnel more money into income producing assets

183
00:08:13,960 --> 00:08:15,960
Speaker 2: instead of doing what everybody else is doing out there,

184
00:08:16,080 --> 00:08:17,840
Speaker 2: which is buying cars that they can't really afford.

185
00:08:17,920 --> 00:08:19,720
Speaker 1: Yeah, and it's a mindset thing too. It's like how

186
00:08:19,800 --> 00:08:21,440
Speaker 1: much how little can I spend on a car so

187
00:08:21,480 --> 00:08:23,720
Speaker 1: I can do awesome other stuff, versus like, well, how

188
00:08:23,800 --> 00:08:25,240
Speaker 1: much am I allowed to spend on a car, which

189
00:08:25,280 --> 00:08:27,680
Speaker 1: is kind of the personal finance question most people ask.

190
00:08:27,760 --> 00:08:30,760
Speaker 2: Yeah, so, Darline, I'm also a little I'm gonna apologize

191
00:08:30,760 --> 00:08:33,320
Speaker 2: for basically beating you up right out of the gate

192
00:08:33,880 --> 00:08:36,920
Speaker 2: and pointing out this mistake. And so with that in mind,

193
00:08:36,960 --> 00:08:39,840
Speaker 2: let's also mention that you've made some insanely awesome financial

194
00:08:39,840 --> 00:08:43,640
Speaker 2: progress since those early mistakes that you mentioned to be

195
00:08:43,679 --> 00:08:46,360
Speaker 2: in this position right, having this much saved in addition

196
00:08:46,800 --> 00:08:49,000
Speaker 2: to the amount that you have on hand for home

197
00:08:49,000 --> 00:08:51,800
Speaker 2: savings for a down payment, that is truly incredible.

198
00:08:51,840 --> 00:08:53,520
Speaker 1: And by the way, she said, the rate on that

199
00:08:53,559 --> 00:08:56,280
Speaker 1: car loan is three point seventy five percent, which, although

200
00:08:56,280 --> 00:08:58,079
Speaker 1: we don't like car loans, that's not a bad rate,

201
00:08:58,240 --> 00:09:01,360
Speaker 1: especially in today's interest rate environment. You can make more

202
00:09:01,520 --> 00:09:04,040
Speaker 1: on that in savings, which is sweet. So yeah, no,

203
00:09:04,160 --> 00:09:06,920
Speaker 1: Darlene has been crushing it in recent years, that's for sure.

204
00:09:07,240 --> 00:09:09,839
Speaker 1: And eight months worth of savings right, that puts her

205
00:09:10,000 --> 00:09:12,719
Speaker 1: really far along the financial independent spectrum. That we get

206
00:09:12,760 --> 00:09:14,760
Speaker 1: a lot of cash on hand, which I love. We

207
00:09:14,800 --> 00:09:16,360
Speaker 1: talked about that a couple of months ago, and how

208
00:09:16,400 --> 00:09:19,080
Speaker 1: man that much will It gives you a lot of options,

209
00:09:19,080 --> 00:09:22,320
Speaker 1: more options than the average person. And so that dedication

210
00:09:22,800 --> 00:09:25,480
Speaker 1: has paid off in a bunch of added flexibility that

211
00:09:25,520 --> 00:09:28,920
Speaker 1: she's been able to garner. There's so much more mental

212
00:09:29,000 --> 00:09:31,280
Speaker 1: and time freedom that you can amass when you've been

213
00:09:31,320 --> 00:09:33,400
Speaker 1: able to save, when you be been able to stock

214
00:09:33,440 --> 00:09:35,960
Speaker 1: away that much. And in addition to that, Matt, like

215
00:09:36,040 --> 00:09:38,680
Speaker 1: I said, this car loan is more benign three point

216
00:09:38,679 --> 00:09:42,240
Speaker 1: seventy five at percent interest rate. It's like nobody's mad

217
00:09:42,320 --> 00:09:44,520
Speaker 1: about that right now because of what they can do

218
00:09:44,720 --> 00:09:47,360
Speaker 1: to make their money more productive if they've got low

219
00:09:47,360 --> 00:09:49,280
Speaker 1: interest rate debt. This is why we tell people, no,

220
00:09:49,360 --> 00:09:52,520
Speaker 1: don't bother, don't worry about, don't focus on paying off

221
00:09:52,760 --> 00:09:55,400
Speaker 1: that low interest rate mortgage early. There are more productive

222
00:09:55,400 --> 00:09:57,720
Speaker 1: things you can do with those dollars. And so, because

223
00:09:57,720 --> 00:10:01,200
Speaker 1: that's the case, Wed tell Darlene, there's just no reason

224
00:10:01,360 --> 00:10:03,440
Speaker 1: to pay off this debt more quickly. Then you need

225
00:10:03,440 --> 00:10:06,000
Speaker 1: to pay it off as agreed, we would rather see

226
00:10:06,000 --> 00:10:09,440
Speaker 1: you putting extra money towards saving for that home purchase.

227
00:10:09,960 --> 00:10:12,120
Speaker 1: And like you said, Darlene, like it's it's certainly not

228
00:10:12,160 --> 00:10:14,600
Speaker 1: a requirement to save twenty percent to put down on

229
00:10:14,600 --> 00:10:17,160
Speaker 1: that house. But it's a goal we're shooting for, right

230
00:10:17,200 --> 00:10:19,920
Speaker 1: and you're not too far off from that goal. So

231
00:10:20,320 --> 00:10:23,120
Speaker 1: by not paying off your car loan, it looks like

232
00:10:23,120 --> 00:10:25,120
Speaker 1: you might actually be able to get there because you're

233
00:10:25,200 --> 00:10:26,680
Speaker 1: you still got a little bit of time left to

234
00:10:26,760 --> 00:10:28,640
Speaker 1: hit that goal. If I were you, that's what I'd

235
00:10:28,640 --> 00:10:29,800
Speaker 1: be shooting for totally.

236
00:10:29,880 --> 00:10:32,120
Speaker 2: Yeah, And she also mentioned her credit score at the

237
00:10:32,200 --> 00:10:34,800
Speaker 2: end of the question as well. That's another consideration. Were

238
00:10:34,800 --> 00:10:37,800
Speaker 2: you to pay that off, you'd be eliminating an installment

239
00:10:37,840 --> 00:10:41,920
Speaker 2: loan and your credit mix. And so that's another factor,

240
00:10:41,960 --> 00:10:44,240
Speaker 2: the fact that you know by eliminating this loan, it

241
00:10:44,240 --> 00:10:46,800
Speaker 2: would potentially ding your credit, especially if you've had that

242
00:10:46,800 --> 00:10:47,839
Speaker 2: car loan for a number of years.

243
00:10:47,920 --> 00:10:49,920
Speaker 1: Yeah, you don't want to necessarily let the tail wag

244
00:10:49,960 --> 00:10:51,360
Speaker 1: the dog on the credit score thing. But if you

245
00:10:51,400 --> 00:10:53,599
Speaker 1: pay it off right before, right as you're applying for loans.

246
00:10:53,320 --> 00:10:55,880
Speaker 2: It's going to have an impact, which then could really

247
00:10:55,920 --> 00:10:57,080
Speaker 2: come back to bite you in the butt and you're

248
00:10:57,080 --> 00:10:59,960
Speaker 2: stuck with a higher interest rate mortgage than maybe you

249
00:11:00,080 --> 00:11:01,840
Speaker 2: otherwise it would have been able to get your hands

250
00:11:01,840 --> 00:11:02,280
Speaker 2: on order or a.

251
00:11:02,240 --> 00:11:04,120
Speaker 1: Half point higher. That makes a difference in those monthly

252
00:11:04,120 --> 00:11:06,000
Speaker 1: payments in the overall amount you pay for that house.

253
00:11:06,080 --> 00:11:07,839
Speaker 2: Yeah. Yeah, and plus if you are able to get

254
00:11:07,840 --> 00:11:09,800
Speaker 2: to that twenty percent down, which again it sounds like

255
00:11:09,840 --> 00:11:12,160
Speaker 2: you should be able to. If not, I think even

256
00:11:12,200 --> 00:11:15,120
Speaker 2: considering a more affordable house might be the solution. But

257
00:11:15,160 --> 00:11:17,600
Speaker 2: if so, this means that you'll be able to avoid

258
00:11:17,679 --> 00:11:21,680
Speaker 2: PMI Private mortgage insurance if you're taking out a conventional loan,

259
00:11:21,880 --> 00:11:26,240
Speaker 2: which this expense it can be a pesky additional monthly cost.

260
00:11:26,640 --> 00:11:28,880
Speaker 2: How much that will be, it'll depend on the price

261
00:11:28,920 --> 00:11:30,599
Speaker 2: of the home that you're buying, but it could be

262
00:11:30,640 --> 00:11:33,600
Speaker 2: a couple hundred bucks every single month. And having that

263
00:11:33,640 --> 00:11:35,719
Speaker 2: extra cash to put down will also help you to

264
00:11:35,800 --> 00:11:38,600
Speaker 2: qualify for the best rates from a bank or a

265
00:11:38,600 --> 00:11:40,800
Speaker 2: credit union, and it's going to lower that monthly payment,

266
00:11:40,800 --> 00:11:43,720
Speaker 2: which we love to see. And so, considering where you're

267
00:11:43,720 --> 00:11:45,720
Speaker 2: at financially, and you know that you've got some time

268
00:11:45,760 --> 00:11:48,800
Speaker 2: before you start making offers, we think that you should

269
00:11:49,080 --> 00:11:52,760
Speaker 2: keep patting that down payment fund as opposed to getting

270
00:11:52,840 --> 00:11:54,439
Speaker 2: rid of that car loan from your life altogether.

271
00:11:54,520 --> 00:11:56,679
Speaker 1: I also love how she said she was keeping those separate, right,

272
00:11:56,720 --> 00:12:00,560
Speaker 1: the eight months worth of savings versus the home down

273
00:12:00,600 --> 00:12:03,720
Speaker 1: payment fund. I like that they're not this like commingled. Ah,

274
00:12:03,760 --> 00:12:06,800
Speaker 1: we'll see what happens. Like there are separate goals for

275
00:12:06,920 --> 00:12:09,679
Speaker 1: money here and they're allocated accordingly, and so I think

276
00:12:09,679 --> 00:12:12,680
Speaker 1: that's a smart approach. And it sounds like, you know,

277
00:12:12,800 --> 00:12:14,839
Speaker 1: Darlene is being wise when it comes to saving for

278
00:12:14,920 --> 00:12:17,440
Speaker 1: this home. And I do think that that, yeah, you're right, Matt, like,

279
00:12:17,520 --> 00:12:20,400
Speaker 1: not paying off this car loan early is probably on

280
00:12:20,480 --> 00:12:22,720
Speaker 1: multiple levels, going to be the best bet helping her

281
00:12:22,760 --> 00:12:25,559
Speaker 1: to be able to buy this home with ease, get

282
00:12:25,600 --> 00:12:28,280
Speaker 1: the best rates, get the best terms, and you know what,

283
00:12:28,400 --> 00:12:31,720
Speaker 1: eventually that Carl's going to be gone anyway, it's going

284
00:12:31,800 --> 00:12:32,800
Speaker 1: to be out of her life in the not too

285
00:12:32,800 --> 00:12:33,720
Speaker 1: distant hutual guessing.

286
00:12:33,800 --> 00:12:35,440
Speaker 2: Yeah, well, I'm glad that you mentioned that too, because

287
00:12:35,480 --> 00:12:40,560
Speaker 2: I think that it depends on Darlene's risk tolerance as well.

288
00:12:40,559 --> 00:12:42,640
Speaker 2: But eight months it's a little above and beyond the

289
00:12:42,679 --> 00:12:45,319
Speaker 2: standard three to six months yeah, worth of living expenses.

290
00:12:45,360 --> 00:12:47,839
Speaker 2: And so Darling, I mean, honestly, I feel like I

291
00:12:47,880 --> 00:12:51,480
Speaker 2: love keeping money categorized in separate and distinct from each other.

292
00:12:51,760 --> 00:12:54,560
Speaker 2: But I think it might be worth considering do I

293
00:12:54,679 --> 00:12:57,400
Speaker 2: need those additional two months worth of living expenses? Maybe

294
00:12:57,400 --> 00:12:59,240
Speaker 2: you can kind of. It doesn't have to it's not

295
00:12:59,280 --> 00:13:01,480
Speaker 2: a binary decisi and it's not a dichotomy, right, it's

296
00:13:01,559 --> 00:13:05,720
Speaker 2: not I'm going to completely deplete my emergency fund or

297
00:13:05,800 --> 00:13:08,080
Speaker 2: I'm not going to touch it at all. Maybe you

298
00:13:08,120 --> 00:13:10,400
Speaker 2: could shave a couple months worth off that way, you're

299
00:13:10,400 --> 00:13:12,880
Speaker 2: still you know, you still have a solid six months

300
00:13:12,880 --> 00:13:14,679
Speaker 2: worth of a living expenses on hand. But maybe that's

301
00:13:14,679 --> 00:13:17,520
Speaker 2: able to kind of juice that down payment a little

302
00:13:17,520 --> 00:13:20,320
Speaker 2: bit and kind of gives you that emotional win that

303
00:13:20,440 --> 00:13:22,440
Speaker 2: oh man, I am so close. If I, you know,

304
00:13:22,480 --> 00:13:24,360
Speaker 2: take two months worth of living expenses from over here,

305
00:13:24,480 --> 00:13:27,600
Speaker 2: that means I've only got maybe six, seven, eight, nine

306
00:13:27,640 --> 00:13:30,560
Speaker 2: months left before I've got that full twenty percent to

307
00:13:30,559 --> 00:13:31,400
Speaker 2: put down exactly.

308
00:13:31,400 --> 00:13:33,240
Speaker 1: I think you can pull some from it. You just

309
00:13:33,240 --> 00:13:34,559
Speaker 1: don't want to deplete it to buy the house of

310
00:13:34,600 --> 00:13:36,120
Speaker 1: your dreams and be house for it right like that

311
00:13:36,160 --> 00:13:38,440
Speaker 1: would be ill advised. But if you're pulling a little

312
00:13:38,440 --> 00:13:41,280
Speaker 1: bit because ay, six months is still plenty then and

313
00:13:41,320 --> 00:13:43,480
Speaker 1: you can always work on building that up after the facts.

314
00:13:43,679 --> 00:13:47,160
Speaker 1: But getting that twenty percent marked is huge, and you know,

315
00:13:47,200 --> 00:13:49,520
Speaker 1: not many first time home buyers achieve it, but I

316
00:13:49,559 --> 00:13:51,959
Speaker 1: think if you can, it's it's worth it's worth doing.

317
00:13:52,280 --> 00:13:54,120
Speaker 1: And the fact too that you're also investing, you know,

318
00:13:54,160 --> 00:13:56,040
Speaker 1: you're contributing to your HSA or four O O K,

319
00:13:56,160 --> 00:13:58,600
Speaker 1: you're wroth, You're doing all of the above, which is

320
00:13:58,800 --> 00:14:02,439
Speaker 1: which is a great news. And because choosing to not

321
00:14:02,480 --> 00:14:05,240
Speaker 1: pay down debt, the truth is it's only a wise

322
00:14:05,280 --> 00:14:07,320
Speaker 1: move if you have better options, and there are some

323
00:14:07,320 --> 00:14:10,240
Speaker 1: people out there who might call in and they would say, hey,

324
00:14:10,280 --> 00:14:12,520
Speaker 1: should I leave let this debt linger, But they don't

325
00:14:12,559 --> 00:14:15,360
Speaker 1: necessarily have better things to do with the money. They're like,

326
00:14:15,440 --> 00:14:17,120
Speaker 1: I was thinking about buying a jet ski or something

327
00:14:17,160 --> 00:14:19,040
Speaker 1: like that, or I was gonna try to go up

328
00:14:19,080 --> 00:14:20,920
Speaker 1: in space with Richard Brandson and something like that. Spend

329
00:14:20,920 --> 00:14:23,880
Speaker 1: the money on just something to goof off or whatever.

330
00:14:24,200 --> 00:14:25,960
Speaker 1: It's probably not a good thing to do while you

331
00:14:26,040 --> 00:14:29,120
Speaker 1: still got debt lingering in your life. And so what

332
00:14:29,200 --> 00:14:32,040
Speaker 1: you choose to do with the money instead of paying

333
00:14:32,040 --> 00:14:33,840
Speaker 1: off the debt. That is kind of at the crux

334
00:14:33,920 --> 00:14:35,960
Speaker 1: of this question too. Man, that's all the difference in

335
00:14:35,960 --> 00:14:38,360
Speaker 1: the world. Yeah, because if somebody's got a gambling problem

336
00:14:38,400 --> 00:14:40,040
Speaker 1: where they're like, I'm just gonna spend it on clothes

337
00:14:40,040 --> 00:14:42,480
Speaker 1: if I don't pay off this debt, whether it's big

338
00:14:42,640 --> 00:14:44,840
Speaker 1: or small, then we would say, go ahead and pay

339
00:14:44,880 --> 00:14:47,400
Speaker 1: off the debt, because there's a there's a direct return

340
00:14:47,760 --> 00:14:50,480
Speaker 1: on your money. It's better than just frittering it away.

341
00:14:50,840 --> 00:14:54,000
Speaker 1: But it sounds like, of course, Darlene has demonstrated a

342
00:14:54,080 --> 00:14:56,600
Speaker 1: high level of discipline and she's doing really smart things

343
00:14:56,600 --> 00:14:59,440
Speaker 1: with her money. She's got meaningful, good goals, and so

344
00:15:00,000 --> 00:15:02,080
Speaker 1: I would say, she's got what it takes to handle

345
00:15:02,120 --> 00:15:04,640
Speaker 1: her money in a more nuanced manner, letting this debt

346
00:15:04,680 --> 00:15:07,840
Speaker 1: linger while she socks away more in savings to hit

347
00:15:07,880 --> 00:15:10,120
Speaker 1: that twenty percent mark so she can buy that awesome house.

348
00:15:10,200 --> 00:15:12,040
Speaker 2: Yes, right, Yeah, And by the way, I think it's

349
00:15:12,040 --> 00:15:15,160
Speaker 2: worth missing too. I don't want to add to the

350
00:15:15,280 --> 00:15:19,320
Speaker 2: cult of home ownership, and I think there are a

351
00:15:19,320 --> 00:15:21,920
Speaker 2: lot of options for folks out there, Darlene. I don't

352
00:15:21,960 --> 00:15:24,280
Speaker 2: want to, like, I don't want this just necessarily to

353
00:15:24,280 --> 00:15:25,880
Speaker 2: be a slam dung decision, because you know that this

354
00:15:25,920 --> 00:15:27,720
Speaker 2: is like quote unquote, the wise thing to do, because

355
00:15:27,720 --> 00:15:29,400
Speaker 2: in some cases it may not be the wise thing

356
00:15:29,400 --> 00:15:31,880
Speaker 2: to do, because if you're only looking at the numbers,

357
00:15:32,240 --> 00:15:34,680
Speaker 2: maybe it makes sense for you to rent as cheaply

358
00:15:34,920 --> 00:15:35,560
Speaker 2: as possible.

359
00:15:35,680 --> 00:15:37,280
Speaker 1: Or we talked about that not too long ago, how

360
00:15:37,360 --> 00:15:39,360
Speaker 1: renting makes sense in almost.

361
00:15:39,040 --> 00:15:40,720
Speaker 2: All a lot of major markets.

362
00:15:40,720 --> 00:15:42,280
Speaker 1: So it has to be a personal choice, something that

363
00:15:42,320 --> 00:15:44,000
Speaker 1: you really want to do. Yeah, you're not buying the

364
00:15:44,040 --> 00:15:46,560
Speaker 1: home because it's the quote unquote smart personal finance me.

365
00:15:46,760 --> 00:15:49,000
Speaker 2: Yeah. And so the reason I highlight that is because

366
00:15:49,040 --> 00:15:52,040
Speaker 2: I think it's worth owning and addressing the fact that

367
00:15:52,240 --> 00:15:55,040
Speaker 2: when you buy a home, there is some consumption involved.

368
00:15:55,160 --> 00:15:57,680
Speaker 2: You are doing this as a lifestyle upgrade in part.

369
00:15:58,000 --> 00:16:00,640
Speaker 2: It just so happens that this life style I'll purchase

370
00:16:01,200 --> 00:16:04,560
Speaker 2: is one that typically appreciates in value as opposed to depreciating,

371
00:16:04,600 --> 00:16:06,520
Speaker 2: which is pretty much everything else that you can spend

372
00:16:06,560 --> 00:16:08,760
Speaker 2: your money up if you're not investing it. And so

373
00:16:09,040 --> 00:16:11,360
Speaker 2: we want you to make sure that you're approaching the

374
00:16:11,360 --> 00:16:14,080
Speaker 2: home buying process from the right angle as well, not

375
00:16:14,320 --> 00:16:16,840
Speaker 2: just like as a default assumption that this is something

376
00:16:16,840 --> 00:16:18,200
Speaker 2: that you've got to do for sure.

377
00:16:18,280 --> 00:16:20,320
Speaker 1: All right, Matt, We got more money questions to get to,

378
00:16:20,760 --> 00:16:23,160
Speaker 1: including investing advice for a travel nurse. We'll get to

379
00:16:23,200 --> 00:16:24,600
Speaker 1: that and more right after this.

380
00:16:34,000 --> 00:16:36,000
Speaker 2: Yeah, I just realized we didn't tease to some of

381
00:16:36,040 --> 00:16:37,920
Speaker 2: the questions here at the top of the episode because

382
00:16:37,920 --> 00:16:40,120
Speaker 2: we're all caught up talking about the format of the show.

383
00:16:40,120 --> 00:16:42,880
Speaker 2: But we do have plenty of additional questions to get to.

384
00:16:43,160 --> 00:16:45,800
Speaker 2: We're gonna be hearing from a listener who's actually asking

385
00:16:45,920 --> 00:16:48,920
Speaker 2: about basically a frugal or cheap when it comes to biking.

386
00:16:48,960 --> 00:16:50,280
Speaker 2: We'll get to that one here in a second, but

387
00:16:50,320 --> 00:16:54,000
Speaker 2: first let's hear from a listener who is using this

388
00:16:54,160 --> 00:16:58,760
Speaker 2: new hospital bill negotiating service, or specifically, he's wondering if

389
00:16:58,760 --> 00:17:01,160
Speaker 2: he should use it, is a legit. Let's hear it.

390
00:17:01,880 --> 00:17:04,959
Speaker 4: Hey, guys. Joe NuGen here from Newego, Michigan. I had

391
00:17:05,000 --> 00:17:07,520
Speaker 4: a question for you about a company I recently learned

392
00:17:07,560 --> 00:17:10,919
Speaker 4: about called good Bill. I had to take my eighteen

393
00:17:10,920 --> 00:17:13,520
Speaker 4: month old son into the emergency room. He was having

394
00:17:13,560 --> 00:17:16,720
Speaker 4: an allergic reaction. Thankfully, by the time we got in there,

395
00:17:17,080 --> 00:17:19,240
Speaker 4: everything had kind of calmed down and they really didn't

396
00:17:19,280 --> 00:17:21,000
Speaker 4: have to do anything to him. They just saw him

397
00:17:21,040 --> 00:17:26,080
Speaker 4: and gave him some benadryl. But we got a large

398
00:17:26,119 --> 00:17:29,040
Speaker 4: emergency bill for that less than an hour visit that

399
00:17:29,080 --> 00:17:32,400
Speaker 4: we did. And I was doing some googling and found

400
00:17:32,600 --> 00:17:37,320
Speaker 4: a company called good Bill that will negotiate to save

401
00:17:37,359 --> 00:17:41,040
Speaker 4: you money on your health healthcare bills, and they will

402
00:17:41,200 --> 00:17:43,439
Speaker 4: charge you twenty percent of whatever they save you. So

403
00:17:45,040 --> 00:17:47,119
Speaker 4: just calm to see if you guys have heard anything

404
00:17:47,160 --> 00:17:51,720
Speaker 4: about this or any recommendations you would have. All right,

405
00:17:51,800 --> 00:17:55,439
Speaker 4: thanks guys. Again, that company is called good Bill. Thanks ye.

406
00:17:55,960 --> 00:17:57,840
Speaker 2: I'm guessing that's some expensive benadril?

407
00:17:58,080 --> 00:17:59,080
Speaker 1: Is that seriously?

408
00:17:59,119 --> 00:17:59,879
Speaker 2: I that you're paid for it?

409
00:18:00,200 --> 00:18:03,239
Speaker 1: The emergency rooms? I don't know if you've noticed. They

410
00:18:03,240 --> 00:18:05,240
Speaker 1: don't charge like fair reasonable prices.

411
00:18:05,280 --> 00:18:05,960
Speaker 2: It's ridiculous.

412
00:18:06,000 --> 00:18:07,600
Speaker 1: It's like one hundred and fifty dollars sor an ipprof

413
00:18:07,680 --> 00:18:09,119
Speaker 1: and I can't imagine what benadil costs.

414
00:18:09,160 --> 00:18:09,200
Speaker 5: Was.

415
00:18:09,960 --> 00:18:12,320
Speaker 1: That's a specialty, right exactly. I mean, yeah, it can

416
00:18:12,400 --> 00:18:16,120
Speaker 1: be crazy, crazy expensive. Joe, We're glad your son is okay, yes,

417
00:18:16,160 --> 00:18:18,400
Speaker 1: And just note really to everyone else out there. I mean,

418
00:18:18,520 --> 00:18:21,040
Speaker 1: first off, take any sort of medical advice that we

419
00:18:21,119 --> 00:18:23,520
Speaker 1: give with a grain of salt, any advice that you

420
00:18:23,520 --> 00:18:25,200
Speaker 1: think we might be giving, right, they're going to solve.

421
00:18:25,200 --> 00:18:27,000
Speaker 1: Even the money advice like you should you should do

422
00:18:27,040 --> 00:18:29,879
Speaker 1: your due diligence is for entertainment purposes only, Joel, I

423
00:18:29,920 --> 00:18:32,920
Speaker 1: mean kind of, well, but we we do legally, yes,

424
00:18:34,880 --> 00:18:36,760
Speaker 1: but there's a whole lot that you know, we want

425
00:18:36,800 --> 00:18:38,760
Speaker 1: you to to learn a lot and then but we

426
00:18:38,800 --> 00:18:41,680
Speaker 1: also want you to to second guess us and think

427
00:18:41,680 --> 00:18:44,000
Speaker 1: for yourself and and go to other sources at the

428
00:18:44,000 --> 00:18:46,879
Speaker 1: same time. But on the medical front, speaking to kind

429
00:18:46,920 --> 00:18:49,440
Speaker 1: of what Joe was talking about at the beginning, going

430
00:18:49,440 --> 00:18:53,320
Speaker 1: to the emergency room is a really really expensive thing,

431
00:18:53,720 --> 00:18:56,440
Speaker 1: and there are cheaper options out there, so urgent care

432
00:18:56,480 --> 00:18:58,120
Speaker 1: is often a better option because you're gonna get seen

433
00:18:58,119 --> 00:18:59,680
Speaker 1: more quickly. Your bill is going to be a whole

434
00:18:59,680 --> 00:19:01,800
Speaker 1: lot lefs then it would be if you if you

435
00:19:01,840 --> 00:19:04,199
Speaker 1: go straight to the er. But so much depends on

436
00:19:04,359 --> 00:19:06,800
Speaker 1: what sort of you know, injury or health issue you're

437
00:19:06,800 --> 00:19:09,880
Speaker 1: dealing with. Sometimes just going to your local grocery store

438
00:19:09,960 --> 00:19:12,159
Speaker 1: or pharmacy, the dock in the box sort of thing,

439
00:19:12,400 --> 00:19:14,119
Speaker 1: those can be enough, just depends on what time to

440
00:19:14,160 --> 00:19:15,720
Speaker 1: day it is and what's going on. I know, and

441
00:19:16,040 --> 00:19:18,239
Speaker 1: especially Joe, I sympathize with you when when you got

442
00:19:18,280 --> 00:19:20,920
Speaker 1: a little kiddo who can't talk, we one percent get

443
00:19:20,920 --> 00:19:23,200
Speaker 1: the reason for taking him in totally. It's better safe

444
00:19:23,240 --> 00:19:25,359
Speaker 1: than sorry, right of course, but just a plug for

445
00:19:25,400 --> 00:19:27,600
Speaker 1: some of those in between services that can make sense.

446
00:19:27,600 --> 00:19:29,400
Speaker 1: In many cases, if you go to the wrong one,

447
00:19:29,720 --> 00:19:32,360
Speaker 1: you could be stuck with a bill, and that's it's

448
00:19:32,440 --> 00:19:34,919
Speaker 1: much much larger, many times larger than if you just

449
00:19:34,920 --> 00:19:36,679
Speaker 1: gone to the right place at the very beginning.

450
00:19:36,760 --> 00:19:39,040
Speaker 2: Yeah, which which Chris Farley movie was it where he

451
00:19:39,080 --> 00:19:41,240
Speaker 2: sits gig like gets on the plane or the helicophany,

452
00:19:41,280 --> 00:19:43,920
Speaker 2: he sits back against the bee is it black sheep,

453
00:19:43,960 --> 00:19:45,800
Speaker 2: Black Sheep or Tommy Boy one of the Yeah, not

454
00:19:45,840 --> 00:19:48,320
Speaker 2: because Tommy Boy. They're like, yeah, the car salesman stuff.

455
00:19:48,640 --> 00:19:50,760
Speaker 2: So yeah, if your kids swelling up like Chris Farley

456
00:19:50,880 --> 00:19:55,159
Speaker 2: and Black Sheep, better safe than sorry. But the problem

457
00:19:55,200 --> 00:19:57,240
Speaker 2: is is that this kind of thing, it happens to

458
00:19:57,240 --> 00:20:01,840
Speaker 2: folks across the country all the time. We are not considering,

459
00:20:01,880 --> 00:20:05,080
Speaker 2: I guess some of the additional ramifications of visiting an

460
00:20:05,080 --> 00:20:08,840
Speaker 2: actual er at the quote unquote hospital that everybody knows.

461
00:20:08,920 --> 00:20:11,719
Speaker 2: And then it just shows how messed up our healthcare

462
00:20:11,720 --> 00:20:14,280
Speaker 2: system is. It ends up costing folks like Joe and

463
00:20:14,320 --> 00:20:17,320
Speaker 2: his family thousands of dollars that they hadn't budgeted for

464
00:20:17,760 --> 00:20:20,720
Speaker 2: medical debt. It's the leading cause of bankruptcy in our country.

465
00:20:21,000 --> 00:20:23,360
Speaker 2: But the truth is that it's possible to fight back

466
00:20:23,440 --> 00:20:26,679
Speaker 2: against some egregious bills like this, but just most folks

467
00:20:26,760 --> 00:20:28,679
Speaker 2: just don't know how to go about doing it, and

468
00:20:28,720 --> 00:20:30,640
Speaker 2: so because of that, they get on a payment plan

469
00:20:30,680 --> 00:20:32,600
Speaker 2: they want to do. It's rights pay that sucker off

470
00:20:32,760 --> 00:20:34,280
Speaker 2: a lot of times on the first bill, and that's

471
00:20:34,320 --> 00:20:36,440
Speaker 2: one of the things we've talked about with Marshall Allen.

472
00:20:36,560 --> 00:20:39,399
Speaker 2: Never pay the first bill. We understand the desire to

473
00:20:39,560 --> 00:20:43,439
Speaker 2: want to pay for the services that were rendered to you.

474
00:20:43,520 --> 00:20:46,239
Speaker 1: But there are ways for you to get that cost down. Well,

475
00:20:46,320 --> 00:20:48,600
Speaker 1: sometimes a lot of people they can't pay it when

476
00:20:48,600 --> 00:20:50,280
Speaker 1: the first bill comes. Yeah, so they get on this

477
00:20:50,280 --> 00:20:52,960
Speaker 1: payment plan they pay it for years off into the

478
00:20:52,960 --> 00:20:56,520
Speaker 1: future for this one time medical procedure or in Joe's case,

479
00:20:56,800 --> 00:21:00,520
Speaker 1: this one time administration of bendrill, which is tough to say, right,

480
00:21:00,560 --> 00:21:02,919
Speaker 1: and that is what puts people over a barrel and

481
00:21:02,960 --> 00:21:05,679
Speaker 1: what ultimately leads to the ruination of a lot of

482
00:21:05,680 --> 00:21:09,800
Speaker 1: people's finances. It's a massive problem. So, yeah, these er bills,

483
00:21:09,880 --> 00:21:12,760
Speaker 1: they are they're no joke, and it is cool to

484
00:21:12,760 --> 00:21:14,560
Speaker 1: see companies like good Bill come along. This is what

485
00:21:14,640 --> 00:21:17,520
Speaker 1: Joe mentioned in his question, Right. It addresses a real

486
00:21:17,600 --> 00:21:20,160
Speaker 1: need to help people be able to advocate for themselves

487
00:21:20,560 --> 00:21:24,359
Speaker 1: in a system that is opaque, that is like hard

488
00:21:24,520 --> 00:21:28,239
Speaker 1: to make headway in. The Good Bill is trying to

489
00:21:28,280 --> 00:21:30,760
Speaker 1: do this on your behalf, And I do want to

490
00:21:30,800 --> 00:21:32,760
Speaker 1: say up upfront, the truth is you could do this

491
00:21:32,840 --> 00:21:33,280
Speaker 1: on your own.

492
00:21:33,400 --> 00:21:33,600
Speaker 2: Right.

493
00:21:33,840 --> 00:21:36,239
Speaker 1: You can ask for an itemized bill, which in and

494
00:21:36,240 --> 00:21:38,240
Speaker 1: of itself it might reduce the total bill amount.

495
00:21:38,280 --> 00:21:38,399
Speaker 2: Right.

496
00:21:38,440 --> 00:21:41,240
Speaker 1: You can talk to a patient advocate at the hospital

497
00:21:41,280 --> 00:21:43,240
Speaker 1: where the procedure was done. You might be able to

498
00:21:43,280 --> 00:21:45,840
Speaker 1: get some or all of the bill written off, maybe

499
00:21:45,840 --> 00:21:49,600
Speaker 1: completely forgiven, right, depending on your family size and your income,

500
00:21:49,880 --> 00:21:52,000
Speaker 1: like when you look at the number of something like

501
00:21:52,000 --> 00:21:54,520
Speaker 1: a family of four making one hundred thousand dollars, they

502
00:21:54,520 --> 00:21:57,760
Speaker 1: could qualify for what's known as charity care in the industry.

503
00:21:58,119 --> 00:22:00,520
Speaker 1: And so you just got to know that it exists,

504
00:22:00,560 --> 00:22:02,520
Speaker 1: and you've got to apply for it in order to

505
00:22:02,520 --> 00:22:04,439
Speaker 1: make it happen. If you just get the bill, you

506
00:22:04,480 --> 00:22:08,800
Speaker 1: start making payments, you have undone your rights, right, you

507
00:22:08,920 --> 00:22:12,239
Speaker 1: have forsaken your ability to get a better deal on

508
00:22:12,320 --> 00:22:15,200
Speaker 1: that care. So, you know, fighting medical bills that can

509
00:22:15,280 --> 00:22:16,959
Speaker 1: it can be kind of like learning a new language,

510
00:22:17,000 --> 00:22:18,680
Speaker 1: though it can take a lot of time, a lot

511
00:22:18,680 --> 00:22:21,560
Speaker 1: of energy. And that's why Good Bill launched, it seems.

512
00:22:21,600 --> 00:22:23,920
Speaker 1: And by the way, one of the cool things about

513
00:22:23,960 --> 00:22:25,760
Speaker 1: Good Bill they say, if they can't save you money,

514
00:22:25,760 --> 00:22:27,639
Speaker 1: you don't pay a dime. So that is nice, right,

515
00:22:27,680 --> 00:22:30,840
Speaker 1: You're giving them very little risk and yeah, giving them

516
00:22:30,840 --> 00:22:34,600
Speaker 1: a chance to argue on your behalf. And if they say, eh, sorry,

517
00:22:34,680 --> 00:22:37,080
Speaker 1: we got frustrated too, there was nothing. There's nothing we

518
00:22:37,119 --> 00:22:39,800
Speaker 1: can do. This bill is what it is, Well, at

519
00:22:39,880 --> 00:22:41,760
Speaker 1: least you don't owe Good Bill any money exactly.

520
00:22:41,840 --> 00:22:43,840
Speaker 2: Yeah, Good Bill. It seems like they've kind of gotten

521
00:22:43,840 --> 00:22:45,760
Speaker 2: this down to a science where they're able to get

522
00:22:45,800 --> 00:22:48,760
Speaker 2: results in a relatively short amount of time. But how

523
00:22:48,760 --> 00:22:50,679
Speaker 2: it works is that they take your billing records and

524
00:22:50,720 --> 00:22:54,760
Speaker 2: they perform a review, including they have a medical coder

525
00:22:55,080 --> 00:22:58,000
Speaker 2: look for billing errors, and by doing this this holds

526
00:22:58,000 --> 00:23:00,639
Speaker 2: the hospital or the doctor's office accountable for any upbilling

527
00:23:00,720 --> 00:23:04,280
Speaker 2: or any undocumented charges that might have actually been added

528
00:23:04,280 --> 00:23:07,960
Speaker 2: to the bill. They also do a pricing review to

529
00:23:08,119 --> 00:23:10,680
Speaker 2: ensure that you're not being billed at an inflated rate

530
00:23:11,200 --> 00:23:14,560
Speaker 2: for those services. And so with all that, all that

531
00:23:14,600 --> 00:23:17,280
Speaker 2: they're able to provide I think taking twenty percent of

532
00:23:17,320 --> 00:23:20,280
Speaker 2: the savings in order to do that work, that seems

533
00:23:20,320 --> 00:23:23,160
Speaker 2: pretty dang reasonable to us. There's another service out there,

534
00:23:23,200 --> 00:23:27,080
Speaker 2: co Patient. There is less written about co Patient. It

535
00:23:27,400 --> 00:23:30,080
Speaker 2: seems like it's been out for a lot longer, but

536
00:23:30,160 --> 00:23:33,359
Speaker 2: Good Bill seems to be they're newer, but they seem

537
00:23:33,359 --> 00:23:34,600
Speaker 2: to be doing a good job. I guess that's my

538
00:23:34,640 --> 00:23:37,480
Speaker 2: only hesitation with Good Bill is that they are newer.

539
00:23:37,480 --> 00:23:40,479
Speaker 2: But that being said, they've got awesome reviews upon BBB,

540
00:23:40,720 --> 00:23:44,840
Speaker 2: upon the Better Business Bureau, and you see them responding

541
00:23:44,840 --> 00:23:47,520
Speaker 2: to folks, You see that they are able to save money,

542
00:23:47,640 --> 00:23:49,600
Speaker 2: save folks money. I mean anywhere from like a few

543
00:23:49,640 --> 00:23:52,320
Speaker 2: hundred dollars to like thousands of dollars of folks who

544
00:23:52,320 --> 00:23:55,280
Speaker 2: have actually used good bill. So if feels me I

545
00:23:55,320 --> 00:23:58,320
Speaker 2: would because of that, like I wouldn't have any hesitation

546
00:23:58,480 --> 00:24:00,680
Speaker 2: at least giving it a shot, upload my bill, seeing

547
00:24:00,720 --> 00:24:02,840
Speaker 2: if they can negotiate it down some.

548
00:24:02,920 --> 00:24:04,720
Speaker 1: Yeah, Matt, this kind of kind of makes me think

549
00:24:04,760 --> 00:24:09,520
Speaker 1: that you could probably translate your favorite Russian novel into

550
00:24:09,520 --> 00:24:11,560
Speaker 1: English on your own, or you could just go buy

551
00:24:11,720 --> 00:24:14,200
Speaker 1: the copy that's already been translated by someone else, because

552
00:24:14,520 --> 00:24:16,280
Speaker 1: that would that would just require you a whole lot

553
00:24:16,359 --> 00:24:18,280
Speaker 1: of like learning a new language, and a whole lot

554
00:24:18,280 --> 00:24:18,960
Speaker 1: of time and effort.

555
00:24:19,080 --> 00:24:21,600
Speaker 2: And I think like learning literally a new language, as

556
00:24:21,600 --> 00:24:25,720
Speaker 2: opposed to learning the quote unquote hospital coding language exactly, yeah,

557
00:24:25,760 --> 00:24:29,840
Speaker 2: which is similarly hard to understand a complex. Right, So yes,

558
00:24:29,960 --> 00:24:32,080
Speaker 2: it's possible. Yes, there are resources out there that can

559
00:24:32,119 --> 00:24:35,359
Speaker 2: help you to diy this thing. But think about your time,

560
00:24:35,400 --> 00:24:37,480
Speaker 2: how much your time is worth, and how much effort

561
00:24:37,520 --> 00:24:39,240
Speaker 2: you want to put into this, And probably a lot

562
00:24:39,280 --> 00:24:41,679
Speaker 2: of it depends on how big that bill actually is

563
00:24:41,920 --> 00:24:44,520
Speaker 2: and how much you know, and how mad you are,

564
00:24:44,680 --> 00:24:46,720
Speaker 2: because sometimes you're just willing to fight and you're like,

565
00:24:46,760 --> 00:24:48,159
Speaker 2: I'm gonna I'm gonna do this on my own. I

566
00:24:48,160 --> 00:24:51,320
Speaker 2: have the gumption, I have the courage whatever it is

567
00:24:51,359 --> 00:24:53,760
Speaker 2: that's making you mad to actually follow through. Sort of

568
00:24:53,800 --> 00:24:56,000
Speaker 2: like Darlene's question about, well, what would you do with

569
00:24:56,080 --> 00:24:57,720
Speaker 2: the money that you would have used to pay down

570
00:24:57,760 --> 00:24:57,960
Speaker 2: your car?

571
00:24:58,040 --> 00:24:58,200
Speaker 6: Long?

572
00:24:58,440 --> 00:25:01,560
Speaker 2: Right? So for for you, Joe, how would you spend

573
00:25:01,600 --> 00:25:04,679
Speaker 2: that time otherwise? Because if you would actually put the

574
00:25:04,680 --> 00:25:07,040
Speaker 2: time in to fight this thing, then man, more power

575
00:25:07,080 --> 00:25:08,280
Speaker 2: to you go for it. But I think a lot

576
00:25:08,359 --> 00:25:10,840
Speaker 2: of folks aren't going to give it any time at all, right,

577
00:25:10,880 --> 00:25:12,760
Speaker 2: And so they're they're kind of looking for the thing

578
00:25:12,800 --> 00:25:14,960
Speaker 2: that's going to get you eighty percent of the way there, and.

579
00:25:14,920 --> 00:25:16,840
Speaker 1: Literally this is what they do. Give it a shot,

580
00:25:16,920 --> 00:25:18,760
Speaker 1: charge you twenty percent of whatever they say, give it

581
00:25:18,760 --> 00:25:20,200
Speaker 1: a shot for a minute. If it doesn't work out,

582
00:25:20,200 --> 00:25:22,120
Speaker 1: turn it over to good Bill then. But if yeah,

583
00:25:22,160 --> 00:25:23,919
Speaker 1: like if you're going to just kick your feet up

584
00:25:23,960 --> 00:25:26,080
Speaker 1: and watch regular seas in baseball, and while good Bill

585
00:25:26,119 --> 00:25:27,920
Speaker 1: handles it. I don't know, maybe make a couple of

586
00:25:28,000 --> 00:25:30,560
Speaker 1: phone calls yourself, but good Bill definitely seems like a

587
00:25:30,600 --> 00:25:33,720
Speaker 1: solid service worth relying on. If you like you're butting

588
00:25:33,720 --> 00:25:35,240
Speaker 1: your head against a wall, that's right, all.

589
00:25:35,160 --> 00:25:37,800
Speaker 2: Right, Joel. Our next question is from a nurse who

590
00:25:37,880 --> 00:25:40,480
Speaker 2: has effectively doubled the amount of money that she makes.

591
00:25:40,480 --> 00:25:43,600
Speaker 2: But she's got a problem. She's having a tough time investing.

592
00:25:43,680 --> 00:25:44,560
Speaker 2: Let's hear this question.

593
00:25:45,200 --> 00:25:47,840
Speaker 5: Hey, Matt and Joel. My name is Kayla and I

594
00:25:47,880 --> 00:25:49,879
Speaker 5: live in Kansas. I have been listening to your podcast

595
00:25:49,880 --> 00:25:52,120
Speaker 5: for about five months now, and I have a question

596
00:25:52,200 --> 00:25:55,400
Speaker 5: for you. I'm a travel nurse and I have been

597
00:25:55,440 --> 00:25:58,280
Speaker 5: trying to look into starting my retirement fund. The issue

598
00:25:58,320 --> 00:26:00,800
Speaker 5: that I have is that I am not a contract worker.

599
00:26:01,520 --> 00:26:03,520
Speaker 5: I do not own my own business. I get a

600
00:26:03,680 --> 00:26:06,359
Speaker 5: W two from these companies, so I don't qualify for

601
00:26:06,480 --> 00:26:10,600
Speaker 5: a SETIRA or a solo four one K and most

602
00:26:10,640 --> 00:26:14,040
Speaker 5: of these companies either do not offer retirement benefits, or

603
00:26:14,080 --> 00:26:16,959
Speaker 5: if they do, like where I am now, they require

604
00:26:17,000 --> 00:26:19,080
Speaker 5: you to be employed with them for at least a

605
00:26:19,160 --> 00:26:22,360
Speaker 5: year to qualify for the benefit and to be able

606
00:26:22,359 --> 00:26:25,240
Speaker 5: to start contributing. But each job assignment is about three

607
00:26:25,240 --> 00:26:28,480
Speaker 5: months long, and sometimes I change jobs in companies two

608
00:26:28,560 --> 00:26:31,640
Speaker 5: or three times a year, depending on the job, the pay,

609
00:26:31,880 --> 00:26:35,520
Speaker 5: the needs of the hospital. So I don't know what

610
00:26:35,640 --> 00:26:38,280
Speaker 5: to do because I'm not with the company long enough

611
00:26:38,600 --> 00:26:41,919
Speaker 5: to start contributing, or I'm not offered the benefit. And

612
00:26:42,960 --> 00:26:46,119
Speaker 5: if I do stay long enough to qualify, and then

613
00:26:46,119 --> 00:26:48,800
Speaker 5: I have to quit shortly after and go with another company,

614
00:26:49,080 --> 00:26:50,520
Speaker 5: then I have to wait a whole another year to

615
00:26:50,520 --> 00:26:53,240
Speaker 5: be able to roll over the old account to a

616
00:26:53,280 --> 00:26:55,720
Speaker 5: new account. I'm just a little confused on all of it,

617
00:26:55,800 --> 00:26:58,679
Speaker 5: and I don't know what to do. So if you

618
00:26:58,680 --> 00:27:01,160
Speaker 5: could help me out, i'd really appreciate it. I love

619
00:27:01,200 --> 00:27:04,840
Speaker 5: the podcast. It's the only money podcast that I've listened

620
00:27:04,880 --> 00:27:08,800
Speaker 5: to that kind of simplifies the financial goals to make

621
00:27:08,800 --> 00:27:11,760
Speaker 5: me feel like they're actually achievable. So thank you for

622
00:27:11,800 --> 00:27:14,159
Speaker 5: your helping my question, and thank you for creating a

623
00:27:14,160 --> 00:27:15,560
Speaker 5: great show. Matt.

624
00:27:15,600 --> 00:27:18,840
Speaker 1: You know I'm partial to alliteration. She's Kayla and Kansas,

625
00:27:18,920 --> 00:27:20,679
Speaker 1: which I dig I guess say I like that.

626
00:27:20,840 --> 00:27:23,600
Speaker 2: And she's a traveler, so she might end up being Kleene, Connecticut.

627
00:27:23,920 --> 00:27:27,640
Speaker 2: She could be Kaylene Colorado. There's so many possibilities here. Well,

628
00:27:27,880 --> 00:27:30,080
Speaker 2: and we're so glad to hear the podcast have been helpful, Kayla,

629
00:27:30,160 --> 00:27:33,800
Speaker 2: thank you for listening. And yeah, making money relevant, simplifying

630
00:27:33,840 --> 00:27:36,240
Speaker 2: the complex, that's the goal, man, that's the heart of

631
00:27:36,240 --> 00:27:38,359
Speaker 2: what we try to do here. And Kayla, Matt is

632
00:27:38,480 --> 00:27:41,080
Speaker 2: in an interesting position here, right, because that one year

633
00:27:41,119 --> 00:27:43,640
Speaker 2: timeline to be able to contribute to a workplace retirement

634
00:27:43,640 --> 00:27:47,760
Speaker 2: account at least to score the match. That's fairly standard, right,

635
00:27:48,040 --> 00:27:50,360
Speaker 2: And so the called a vesting period. And it might

636
00:27:50,400 --> 00:27:54,040
Speaker 2: take two, three, four years that your employer says, eh,

637
00:27:54,320 --> 00:27:57,480
Speaker 2: we will contribute a match. But if you leave before this, you.

638
00:27:57,440 --> 00:27:58,600
Speaker 1: Don't actually get it, right.

639
00:27:58,440 --> 00:28:00,760
Speaker 2: You got to prove your loyalty, right, We're willing to

640
00:28:00,880 --> 00:28:02,440
Speaker 2: give you that extra little cream on top.

641
00:28:02,520 --> 00:28:05,480
Speaker 1: And travel nurses are disloyal by nature, like that is

642
00:28:05,480 --> 00:28:07,399
Speaker 1: what they do. And I don't mean I don't mean that,

643
00:28:07,480 --> 00:28:08,879
Speaker 1: like in the best way possibly. They can't be an

644
00:28:08,920 --> 00:28:11,879
Speaker 1: awesome pet owner or a long time girlfriend and boyfriend

645
00:28:11,960 --> 00:28:14,640
Speaker 1: even get married, right, I'm not saying that, But that's

646
00:28:15,080 --> 00:28:17,680
Speaker 1: the heart of what they do is they're working two, three,

647
00:28:17,720 --> 00:28:20,640
Speaker 1: four different jobs every single year. And since you're never

648
00:28:20,720 --> 00:28:22,600
Speaker 1: in one place that long, you're just never going to

649
00:28:22,680 --> 00:28:26,400
Speaker 1: qualify and which puts you at a slight disadvantage when

650
00:28:26,400 --> 00:28:28,560
Speaker 1: it comes to saving for retirement, which so I get

651
00:28:28,560 --> 00:28:32,040
Speaker 1: the annoyance, right, but it also I will say, doesn't mean, Kayla,

652
00:28:32,119 --> 00:28:34,280
Speaker 1: that you can't invest your future, right, So we'll offer

653
00:28:34,400 --> 00:28:36,359
Speaker 1: our best advice to help you get started, to help

654
00:28:36,400 --> 00:28:37,760
Speaker 1: you get going down that path.

655
00:28:37,840 --> 00:28:40,880
Speaker 2: Yeah. Well, and she even mentioned too how she might

656
00:28:40,920 --> 00:28:43,520
Speaker 2: be eligible. But even still after she leaves, she can't

657
00:28:43,600 --> 00:28:45,240
Speaker 2: roll it over for another year, which would just be

658
00:28:45,280 --> 00:28:47,600
Speaker 2: a massive pain in the butt if you're at multiple

659
00:28:47,720 --> 00:28:49,720
Speaker 2: hospitals over the course of the course of the year.

660
00:28:49,760 --> 00:28:51,920
Speaker 2: So even if you could do that and you were

661
00:28:52,400 --> 00:28:55,120
Speaker 2: willing to stay there for whatever period of time, just

662
00:28:55,400 --> 00:28:57,680
Speaker 2: leaving a trail of four to one ks that you

663
00:28:57,720 --> 00:29:00,120
Speaker 2: have to keep up with and roll over. Honestly, it

664
00:29:00,120 --> 00:29:01,840
Speaker 2: seems like a massive pain in the butt. I would

665
00:29:01,880 --> 00:29:04,160
Speaker 2: want something that is my own that I never have

666
00:29:04,200 --> 00:29:06,560
Speaker 2: to worry about as far as rolling over. But one

667
00:29:06,560 --> 00:29:09,560
Speaker 2: of the perks of being a travel nurse, besides getting

668
00:29:09,560 --> 00:29:11,560
Speaker 2: to see a lot of the country wherever it is

669
00:29:11,600 --> 00:29:13,320
Speaker 2: that you're taking a job any place it starts with

670
00:29:13,320 --> 00:29:16,000
Speaker 2: a seat or a kay only for her, you get

671
00:29:16,040 --> 00:29:18,800
Speaker 2: to enjoy these cool places that you might not get

672
00:29:18,840 --> 00:29:21,040
Speaker 2: to visit otherwise. I think that's great, but you also

673
00:29:21,200 --> 00:29:24,480
Speaker 2: often get paid way more than a nurse who is

674
00:29:24,520 --> 00:29:26,120
Speaker 2: going to stay in one place that's going to stay.

675
00:29:26,120 --> 00:29:29,880
Speaker 2: Put data from the BLS they show that on average,

676
00:29:30,200 --> 00:29:34,080
Speaker 2: travel nurses are making roughly twice as much as staff nurses,

677
00:29:34,600 --> 00:29:37,400
Speaker 2: So it's roughly thirty two hundred dollars a week versus

678
00:29:37,520 --> 00:29:40,320
Speaker 2: sixteen hundred dollars a week, and in some states it's

679
00:29:40,360 --> 00:29:43,520
Speaker 2: even more. It's more than that. It's like, yeah, substantially

680
00:29:43,560 --> 00:29:45,400
Speaker 2: morning pos Kyla, I'd go to Kawai. I would see

681
00:29:45,440 --> 00:29:48,960
Speaker 2: if they pay there. Surprisingly, the gap is the least

682
00:29:49,160 --> 00:29:51,680
Speaker 2: in Hawaii because that's where all the travel nurses want

683
00:29:51,720 --> 00:29:54,480
Speaker 2: to go. I think that's why. But Kaylee, kudos to

684
00:29:54,560 --> 00:29:57,680
Speaker 2: you for forgetting your nursing degree, maxing your income by

685
00:29:57,680 --> 00:30:00,640
Speaker 2: going this route. And uh, yeah, while you may not

686
00:30:00,680 --> 00:30:03,080
Speaker 2: be able to take advantage of a traditional or a

687
00:30:03,120 --> 00:30:05,640
Speaker 2: solo for one K, there are certainly other ways that

688
00:30:05,680 --> 00:30:08,000
Speaker 2: you can invest on top of just some of the

689
00:30:08,000 --> 00:30:10,280
Speaker 2: other benefits that a lot of hospitals are paying out

690
00:30:10,480 --> 00:30:13,520
Speaker 2: to travel nurses as well, like stipend for housing or

691
00:30:13,600 --> 00:30:16,200
Speaker 2: free housing in some cases. But if not free housing,

692
00:30:16,200 --> 00:30:20,440
Speaker 2: a stipend for housing, relocation expenses, paying for mileage as well.

693
00:30:20,480 --> 00:30:22,920
Speaker 2: There's just a lot of like I didn't even know

694
00:30:22,920 --> 00:30:24,760
Speaker 2: a lot of these benefits existed, but there's a host

695
00:30:24,840 --> 00:30:29,080
Speaker 2: of sweet benefits. And travel nursing is looking like seriously

696
00:30:29,120 --> 00:30:30,840
Speaker 2: like this life hack. You thinking about going back and

697
00:30:30,880 --> 00:30:33,200
Speaker 2: get in your degree, I'm thinking about it. Yeah, I

698
00:30:33,600 --> 00:30:35,560
Speaker 2: mean my mother in law did that very thing. She

699
00:30:36,240 --> 00:30:39,360
Speaker 2: was She went down to Saint Thomas and was a

700
00:30:39,400 --> 00:30:42,120
Speaker 2: travel nurse there for I think eighteen months or something,

701
00:30:42,120 --> 00:30:44,760
Speaker 2: which is longer than Klea stints. But it was a

702
00:30:44,800 --> 00:30:46,720
Speaker 2: way to pretty sweet get to live in Paradise for

703
00:30:46,720 --> 00:30:48,360
Speaker 2: a year and a half, not have to fully commit

704
00:30:48,400 --> 00:30:51,000
Speaker 2: to something. But yeah, she got paid more than a

705
00:30:51,000 --> 00:30:54,000
Speaker 2: lot of the staff nurses there, for sure. But really, Matt,

706
00:30:54,000 --> 00:30:55,920
Speaker 2: while you're talking about here, another one of the ways

707
00:30:55,920 --> 00:30:58,000
Speaker 2: that we would encourage Kayla to invest is through her

708
00:30:58,000 --> 00:31:02,840
Speaker 2: IRA right preferably a roth IRA. YEP, it's individual retirement account,

709
00:31:02,840 --> 00:31:05,840
Speaker 2: which means that your employer has no oversight, no involvement

710
00:31:06,240 --> 00:31:08,440
Speaker 2: in this account at all. Doesn't matter who you work for.

711
00:31:08,760 --> 00:31:11,800
Speaker 1: Yeah, it's you and the custodian of that account that

712
00:31:11,840 --> 00:31:14,280
Speaker 1: you want to open it up with, and so it's

713
00:31:14,280 --> 00:31:15,960
Speaker 1: one of our favorite retirement accounts. It comes with a

714
00:31:16,000 --> 00:31:19,040
Speaker 1: lot of flexibility. We'd make that your preferred account to

715
00:31:19,080 --> 00:31:21,680
Speaker 1: start with, open it up, max it out like clockwork

716
00:31:21,760 --> 00:31:24,120
Speaker 1: each and every year, preferably with one of our low

717
00:31:24,160 --> 00:31:27,320
Speaker 1: cost favorites like Fidelity, Vanguard or Schwab. But the one

718
00:31:27,360 --> 00:31:29,960
Speaker 1: downside ti your roth Ira is that there's an annual

719
00:31:29,960 --> 00:31:33,320
Speaker 1: contribution limit of sixty five hundred dollars. So if you're

720
00:31:33,320 --> 00:31:36,200
Speaker 1: looking to stock away more than that, and let's be honest,

721
00:31:36,200 --> 00:31:39,000
Speaker 1: Matt travelers just making bank, they might be, Yeah, I

722
00:31:39,000 --> 00:31:40,760
Speaker 1: want to stock away more than that, Kayla.

723
00:31:40,920 --> 00:31:43,720
Speaker 2: Really, Kayla's problem is what I do with all my money? Yeah,

724
00:31:44,440 --> 00:31:45,120
Speaker 2: I'm making bank.

725
00:31:45,200 --> 00:31:46,800
Speaker 1: Yeah, And so you can't do it with this account

726
00:31:46,800 --> 00:31:48,760
Speaker 1: because you can't contribute more than that in a given year.

727
00:31:49,000 --> 00:31:51,600
Speaker 1: But your first goal for retirement savings should be the

728
00:31:51,640 --> 00:31:54,760
Speaker 1: maxis account out, preferably investing in low cost index funds

729
00:31:54,800 --> 00:31:57,600
Speaker 1: or a total stock market fund. After that, things do

730
00:31:57,760 --> 00:31:59,400
Speaker 1: get a little bit murk here.

731
00:32:00,000 --> 00:32:02,560
Speaker 2: That's right. Yeah, So Kayla maxing out a roth ira

732
00:32:02,720 --> 00:32:05,120
Speaker 2: that like, honestly, that is a huge goal for many folks.

733
00:32:05,200 --> 00:32:07,600
Speaker 2: And I think going beyond that, it is probably going

734
00:32:07,640 --> 00:32:10,680
Speaker 2: to seem unattainable for most folks. But I think for you,

735
00:32:10,720 --> 00:32:14,600
Speaker 2: maybe this is the situation that you're finding yourself in.

736
00:32:15,120 --> 00:32:16,880
Speaker 2: And so we just talked about the ROTH. One thing

737
00:32:16,920 --> 00:32:20,760
Speaker 2: we didn't mention is the HSA, which has a triple

738
00:32:20,920 --> 00:32:23,640
Speaker 2: tax advantage. But this is where things do get a

739
00:32:23,640 --> 00:32:27,400
Speaker 2: little bit murky, KYLEA, because given that you work for

740
00:32:27,560 --> 00:32:31,520
Speaker 2: different hospitals, maybe you get an awesome Cadillac Health Insurance

741
00:32:31,960 --> 00:32:34,880
Speaker 2: health care plan that's included, and if so, then an

742
00:32:35,000 --> 00:32:37,520
Speaker 2: HSA is not something you want to consider. And honestly,

743
00:32:37,560 --> 00:32:40,360
Speaker 2: even if it is a plan that is a high

744
00:32:40,360 --> 00:32:42,440
Speaker 2: deductible plan and you do want an open you do

745
00:32:42,520 --> 00:32:45,160
Speaker 2: want to open an HSA, things get a little trickier

746
00:32:45,200 --> 00:32:47,800
Speaker 2: there as well, because similar to opening a four and

747
00:32:47,960 --> 00:32:50,880
Speaker 2: K with an employer, you're stuck with the paperwork in

748
00:32:50,920 --> 00:32:53,120
Speaker 2: the hassle of going from one to another to another,

749
00:32:53,160 --> 00:32:55,480
Speaker 2: and you've got all of these different accounts. But that

750
00:32:55,560 --> 00:32:59,240
Speaker 2: being said, if you have the high deductible plan, say

751
00:32:58,680 --> 00:33:02,920
Speaker 2: the Healthcare Gov, you've got your own high deductible health

752
00:33:02,960 --> 00:33:05,560
Speaker 2: care plan that you are carrying with you than an HSA.

753
00:33:05,800 --> 00:33:08,960
Speaker 2: A health savings account could possibly be an awesome way

754
00:33:09,280 --> 00:33:11,160
Speaker 2: for you to really take advantage of some of the

755
00:33:11,200 --> 00:33:14,280
Speaker 2: tax breaks that are given to you for socking some

756
00:33:14,280 --> 00:33:16,320
Speaker 2: of this money away that you're investing. You're not using

757
00:33:16,360 --> 00:33:19,360
Speaker 2: this money to actually pay for your healthcare costs, and

758
00:33:19,560 --> 00:33:23,080
Speaker 2: with you being younger, maybe this might seem especially appealing

759
00:33:23,480 --> 00:33:26,200
Speaker 2: given that, you know, maybe you aren't spending a ton

760
00:33:26,200 --> 00:33:27,600
Speaker 2: of money on actual healthcare.

761
00:33:27,720 --> 00:33:30,600
Speaker 1: Yeah, And that way, if you do have your own

762
00:33:30,720 --> 00:33:33,480
Speaker 1: health insurance high deductible health insurance plan, you can open

763
00:33:33,560 --> 00:33:35,880
Speaker 1: up that HSA directly with a low cost company like

764
00:33:35,920 --> 00:33:38,240
Speaker 1: Lively or Fidelity. Those are the two are the best.

765
00:33:38,480 --> 00:33:40,480
Speaker 1: And that way, the record keeping is a whole lot

766
00:33:40,480 --> 00:33:42,520
Speaker 1: easier as opposed to, like you said, Matt, having like

767
00:33:42,600 --> 00:33:45,560
Speaker 1: five inch hsas a year, which just gets confusing and

768
00:33:45,600 --> 00:33:46,520
Speaker 1: overwhelming for sure.

769
00:33:46,640 --> 00:33:50,480
Speaker 2: Exactly. Yeah. So, but beyond those two, right beyond the row,

770
00:33:50,600 --> 00:33:53,120
Speaker 2: beyond the HSA, the next account you should consider. It's

771
00:33:53,160 --> 00:33:56,280
Speaker 2: probably just a plain old taxable brokerage account. They don't

772
00:33:56,320 --> 00:33:59,040
Speaker 2: get as much press as our favorite tax advantage ones

773
00:33:59,040 --> 00:34:01,000
Speaker 2: out there, but they're pretty good too. Honestly, there's a

774
00:34:01,160 --> 00:34:03,160
Speaker 2: I mean a lot of folks who are quite wealthy,

775
00:34:03,200 --> 00:34:05,719
Speaker 2: who are millionaires, who are living off of their investments

776
00:34:05,880 --> 00:34:08,000
Speaker 2: a lot. Most of their money is typically in brokerage

777
00:34:08,040 --> 00:34:11,400
Speaker 2: accounts because they haven't been able to amass such a

778
00:34:11,440 --> 00:34:14,680
Speaker 2: stockpile within the different retirement accounts that have limits placed

779
00:34:14,680 --> 00:34:14,880
Speaker 2: on them.

780
00:34:14,920 --> 00:34:17,799
Speaker 1: Well, the nice thing about brokerage accounts too, is added flexibility.

781
00:34:17,800 --> 00:34:19,960
Speaker 1: So let's say some of that money you can you

782
00:34:20,000 --> 00:34:22,920
Speaker 1: can even invest for a future home purchase that isn't

783
00:34:22,920 --> 00:34:25,120
Speaker 1: going to happen when you reach retirement age because you

784
00:34:25,120 --> 00:34:27,120
Speaker 1: can access those funds before fifteen nine and a half,

785
00:34:27,160 --> 00:34:27,960
Speaker 1: which is which is nice.

786
00:34:28,000 --> 00:34:29,719
Speaker 2: That might be a goal that you have seven eight

787
00:34:29,800 --> 00:34:33,279
Speaker 2: years off into the future. And that's something that if

788
00:34:33,320 --> 00:34:35,480
Speaker 2: you do have a goal of invest that far in advance,

789
00:34:35,480 --> 00:34:37,319
Speaker 2: you do want to invest that money, and this is

790
00:34:37,360 --> 00:34:40,920
Speaker 2: how you would invest that money. Speaking of houses, like

791
00:34:41,440 --> 00:34:43,600
Speaker 2: I'm thinking about real estate like that probably isn't a

792
00:34:43,640 --> 00:34:45,759
Speaker 2: good option given your line of work, right buying an

793
00:34:45,760 --> 00:34:49,319
Speaker 2: investment property you're traveling all the time, you probably don't

794
00:34:49,320 --> 00:34:52,879
Speaker 2: want to again be tied to a specific location. So

795
00:34:52,960 --> 00:34:56,040
Speaker 2: that taxable brokeg account that's probably your next best bets.

796
00:34:56,440 --> 00:34:59,040
Speaker 2: And again, there are no contribution limits, which means that

797
00:34:59,040 --> 00:35:01,279
Speaker 2: you can sock away as much as you want to

798
00:35:01,840 --> 00:35:04,799
Speaker 2: after you've maxed out your rough contributions, of course. But

799
00:35:05,200 --> 00:35:08,160
Speaker 2: I'm glad Kayla that you brought up travel nursing as

800
00:35:08,280 --> 00:35:10,160
Speaker 2: an option for a lot of folks, because it really

801
00:35:10,160 --> 00:35:14,040
Speaker 2: does feel like this awesome life hack, right, like the

802
00:35:14,120 --> 00:35:17,319
Speaker 2: ability to make bank in your twenties while you're younger.

803
00:35:17,360 --> 00:35:19,080
Speaker 2: You're traveling around a lot, which is fun. You're not

804
00:35:19,120 --> 00:35:22,560
Speaker 2: necessarily looking to put down roots. And granted, I don't

805
00:35:22,560 --> 00:35:24,680
Speaker 2: think travel nursing is paying quite as much as it

806
00:35:24,760 --> 00:35:27,360
Speaker 2: was during the pandemic. I feel like it hit a

807
00:35:27,360 --> 00:35:31,800
Speaker 2: peak because hospitals were severely understaffed there was a shortage

808
00:35:31,840 --> 00:35:34,440
Speaker 2: of nurses. But that being said, it seems like that

809
00:35:34,480 --> 00:35:38,640
Speaker 2: the pay is still significantly higher for travel nurses versus

810
00:35:38,640 --> 00:35:39,399
Speaker 2: a staff nurse.

811
00:35:39,440 --> 00:35:41,560
Speaker 1: For sure. Yeah, so it sounds like Kayla's doing it right.

812
00:35:41,600 --> 00:35:44,759
Speaker 1: She just needs to funnel more money into accounts for

813
00:35:44,800 --> 00:35:47,640
Speaker 1: her future, letting those letting that money grow and compound.

814
00:35:47,920 --> 00:35:49,640
Speaker 1: And I think the combo of the ROTH and a

815
00:35:49,719 --> 00:35:53,120
Speaker 1: taxable brokerage account maybe that HSA, depending on the specifics,

816
00:35:53,400 --> 00:35:55,120
Speaker 1: makes a lot of sense. But Matt, we got a

817
00:35:55,160 --> 00:35:58,000
Speaker 1: couple more questions to get to, including one about speaking

818
00:35:58,040 --> 00:36:01,120
Speaker 1: out real estate using an IRA to pay for a house?

819
00:36:01,239 --> 00:36:01,720
Speaker 4: Is that smart?

820
00:36:02,040 --> 00:36:03,960
Speaker 1: We'll discuss that and more ride up for this.

821
00:36:13,560 --> 00:36:15,879
Speaker 2: We are back and yes, we do have a couple

822
00:36:15,880 --> 00:36:18,200
Speaker 2: more questions to get to, including that one abouts of

823
00:36:18,280 --> 00:36:21,600
Speaker 2: that real estate purchase. But Joel, first we're gonna hear

824
00:36:21,600 --> 00:36:24,480
Speaker 2: from a listener. This one is from a man after

825
00:36:24,600 --> 00:36:25,279
Speaker 2: our own heart.

826
00:36:25,960 --> 00:36:28,960
Speaker 6: Hi, man, Joel, this is Wayne from Philadelphia. It's actually

827
00:36:28,960 --> 00:36:31,200
Speaker 6: the third question that you're answering for me, which I

828
00:36:31,239 --> 00:36:35,120
Speaker 6: think puts me in the coveted three question club. I

829
00:36:35,160 --> 00:36:38,319
Speaker 6: expect my membership card is in the mail. All right,

830
00:36:38,440 --> 00:36:41,760
Speaker 6: enough shenanigans to the topic or the question at hand.

831
00:36:42,239 --> 00:36:44,799
Speaker 6: So I have a coworker that I am trying to

832
00:36:44,880 --> 00:36:48,520
Speaker 6: convince to bike into the office. During one of the

833
00:36:48,560 --> 00:36:52,760
Speaker 6: conversations that I had with this coworker, he expressed something

834
00:36:52,840 --> 00:36:54,759
Speaker 6: odd to me and I wanted to run it past

835
00:36:54,760 --> 00:36:58,799
Speaker 6: you guys. Figure to be a good fruggler cheap Basically,

836
00:36:59,120 --> 00:37:01,600
Speaker 6: I pay twenty five dollars a month so when I

837
00:37:01,640 --> 00:37:04,160
Speaker 6: get to the office, I can use the gym that

838
00:37:04,200 --> 00:37:06,719
Speaker 6: my office is partnered with, so I don't smell like

839
00:37:06,880 --> 00:37:10,080
Speaker 6: a terrible man who just biked into the office. My

840
00:37:10,200 --> 00:37:13,920
Speaker 6: coworker friend says that I am the outlier that he

841
00:37:13,960 --> 00:37:17,400
Speaker 6: doesn't know anyone who bikes into the office and takes

842
00:37:17,400 --> 00:37:22,279
Speaker 6: a shower before working, sands me, of course, So my

843
00:37:22,400 --> 00:37:24,920
Speaker 6: assumption was is that if you bike into the office,

844
00:37:25,000 --> 00:37:27,200
Speaker 6: you have to take a shower, just kind of part

845
00:37:27,200 --> 00:37:31,719
Speaker 6: of that unspoken office hygiene rule kind of deal. So

846
00:37:32,040 --> 00:37:35,360
Speaker 6: is my buddy being frugal or cheap? Am I weird

847
00:37:35,440 --> 00:37:36,920
Speaker 6: with my showering? Ways?

848
00:37:37,880 --> 00:37:39,560
Speaker 7: Should I take that twenty five dollars and throw it

849
00:37:39,560 --> 00:37:43,520
Speaker 7: into like my roth Ira? Well the questions ever end. No,

850
00:37:44,280 --> 00:37:47,000
Speaker 7: I will contact you again. But hey, thanks for taking

851
00:37:47,040 --> 00:37:49,680
Speaker 7: time to listen to this. And uh yeah very much

852
00:37:49,760 --> 00:37:53,080
Speaker 7: so looking forward to seeing what you guys think. Wayne

853
00:37:53,200 --> 00:37:58,040
Speaker 7: out kind of like best friends out but Wayne.

854
00:37:57,239 --> 00:37:57,800
Speaker 6: Or shop it.

855
00:37:58,760 --> 00:38:02,280
Speaker 2: We get it, Wayne, he's Wade's an honorary bestie. Oh yeah,

856
00:38:02,320 --> 00:38:02,680
Speaker 2: for sure.

857
00:38:02,719 --> 00:38:04,640
Speaker 1: It's so funny too, like I like sense of humor

858
00:38:04,719 --> 00:38:07,279
Speaker 1: Wayne and h And by the way, the first rule

859
00:38:07,280 --> 00:38:09,000
Speaker 1: of the Three Question Club is to not talk about

860
00:38:09,000 --> 00:38:10,840
Speaker 1: the Three Question Club. I thought you knew that, and

861
00:38:10,880 --> 00:38:13,440
Speaker 1: now it's public knowledge and this is not good. Honorary

862
00:38:13,600 --> 00:38:17,560
Speaker 1: membership revoked? Yeah, sorry, kicking me to the curb, Wayne, no,

863
00:38:17,600 --> 00:38:19,800
Speaker 1: but feel free to hollo out for ten seconds there anytime.

864
00:38:19,800 --> 00:38:22,239
Speaker 1: We love taking repeat questions from people who have been

865
00:38:22,239 --> 00:38:24,759
Speaker 1: listening for a while. So and also frugler cheap questions.

866
00:38:24,800 --> 00:38:27,400
Speaker 1: They're always fun because they're the kind of things that

867
00:38:27,440 --> 00:38:29,640
Speaker 1: people who are trying to get their finances in order

868
00:38:29,680 --> 00:38:32,680
Speaker 1: are inevitably going to struggle with. I love frugal or

869
00:38:32,760 --> 00:38:34,400
Speaker 1: cheap as a concept, Matt and as a way of

870
00:38:34,400 --> 00:38:37,080
Speaker 1: thinking through things. And you know what, if you're really

871
00:38:37,080 --> 00:38:40,719
Speaker 1: trying to acts expenses, you're probably going to have some

872
00:38:40,760 --> 00:38:44,640
Speaker 1: of those frugal or cheap conundrums in your life. So yeah,

873
00:38:44,640 --> 00:38:46,160
Speaker 1: I don't know, I like it. I like this question.

874
00:38:46,560 --> 00:38:48,600
Speaker 1: Is his friend right or is his friend going too far?

875
00:38:48,719 --> 00:38:51,719
Speaker 2: I think I think maybe perhaps his friend is the

876
00:38:51,719 --> 00:38:53,480
Speaker 2: one being she because that's like, that's what he's asking.

877
00:38:53,520 --> 00:38:55,279
Speaker 2: He's not saying, is it frugal or cheap that I

878
00:38:55,320 --> 00:38:56,960
Speaker 2: bit to work? He's saying, is my friend being frugal

879
00:38:57,040 --> 00:39:00,160
Speaker 2: or cheap? Because I am you know, I'm coming in

880
00:39:00,200 --> 00:39:00,560
Speaker 2: a shower.

881
00:39:00,640 --> 00:39:01,719
Speaker 1: Nothing wrong with biking doork?

882
00:39:01,840 --> 00:39:02,080
Speaker 8: No?

883
00:39:02,400 --> 00:39:04,160
Speaker 2: Yeah, So if that's what you're asking, I mean, I

884
00:39:04,160 --> 00:39:06,120
Speaker 2: guess there's a couple of things tied up in here.

885
00:39:06,360 --> 00:39:08,200
Speaker 2: Tied up in this question the fact that your you know,

886
00:39:08,239 --> 00:39:10,520
Speaker 2: your coworker doesn't know anybody else who bikes into work, well,

887
00:39:10,600 --> 00:39:15,080
Speaker 2: who cares Like, we're huge fans of more biking. We

888
00:39:15,200 --> 00:39:17,759
Speaker 2: love that you're spreading the gospel of biking into work specifically,

889
00:39:17,920 --> 00:39:19,359
Speaker 2: And the reason we bring this up there have been

890
00:39:19,400 --> 00:39:23,880
Speaker 2: some anti bike screeds in some of the major publications recently.

891
00:39:24,520 --> 00:39:25,759
Speaker 2: We're looking at you, New York Times.

892
00:39:25,880 --> 00:39:27,480
Speaker 1: The Wall Street Journal had one too. I'm just so

893
00:39:27,520 --> 00:39:30,799
Speaker 1: annoyed everyone's hayting on the bikers, how dangerous and bad

894
00:39:30,840 --> 00:39:33,439
Speaker 1: biking is. We need more people on bikes, not less.

895
00:39:33,840 --> 00:39:35,560
Speaker 1: And as you know, you can save a good bit

896
00:39:35,560 --> 00:39:40,040
Speaker 1: of money by biking. But what about showering after your

897
00:39:40,040 --> 00:39:42,719
Speaker 1: bike ride? I think that depends on a few things,

898
00:39:42,719 --> 00:39:45,440
Speaker 1: specifically the length of your commute, Joel, You and I like,

899
00:39:45,520 --> 00:39:47,480
Speaker 1: we don't have to bike all that far these days,

900
00:39:47,480 --> 00:39:49,680
Speaker 1: which means we don't work up all that much sweat, right,

901
00:39:50,000 --> 00:39:53,520
Speaker 1: we don't get too stinky. Plus, it's just you and me, right, Like,

902
00:39:53,520 --> 00:39:57,239
Speaker 1: we're not in some corporate office. We're only offending each other,

903
00:39:57,239 --> 00:40:00,799
Speaker 1: our best friends, not the entire staff. Are not the

904
00:40:00,920 --> 00:40:05,120
Speaker 1: entire department where you've got multiple opinions and differences of

905
00:40:05,200 --> 00:40:07,520
Speaker 1: opinion that you have to contend with many more nostrils

906
00:40:07,520 --> 00:40:10,359
Speaker 1: that you could potentially offend exactly. Yeah, so no, I agree.

907
00:40:10,400 --> 00:40:12,560
Speaker 1: And part of it maybe how hilly is that commute,

908
00:40:12,640 --> 00:40:15,200
Speaker 1: because the more hills, the more sweat, How hot is

909
00:40:15,200 --> 00:40:16,480
Speaker 1: the day. I mean, there's a lot of things to

910
00:40:16,480 --> 00:40:19,399
Speaker 1: take into consideration, but overall, I would say, Matt, you're right,

911
00:40:19,480 --> 00:40:23,279
Speaker 1: like the longer, the sweatier, the worse your commute actually is,

912
00:40:23,560 --> 00:40:25,359
Speaker 1: the more likely you're going to want to actually take

913
00:40:25,400 --> 00:40:28,040
Speaker 1: that shower more than anything, just to be conscientious of

914
00:40:28,080 --> 00:40:30,239
Speaker 1: others around you. I used to bike to work. It

915
00:40:30,280 --> 00:40:33,120
Speaker 1: was about, I want to say, like seven miles each way,

916
00:40:33,320 --> 00:40:35,440
Speaker 1: seven and a half miles each way, but it was

917
00:40:35,960 --> 00:40:38,759
Speaker 1: really flat, and so if sometimes I would buy hard

918
00:40:38,800 --> 00:40:40,680
Speaker 1: and then I would feel the need to get cleaned up.

919
00:40:40,920 --> 00:40:43,360
Speaker 1: Other times I would just take a nice, leisurely paced

920
00:40:43,480 --> 00:40:46,640
Speaker 1: enjoy myself. And because even though it was like eight,

921
00:40:46,680 --> 00:40:48,560
Speaker 1: you know, seven and a half miles, I was able

922
00:40:48,600 --> 00:40:50,279
Speaker 1: to do it in a way that I didn't work

923
00:40:50,280 --> 00:40:51,680
Speaker 1: out much of a sweat because of how flat it

924
00:40:51,800 --> 00:40:53,960
Speaker 1: was for most of the way, pretty chill. You gotta

925
00:40:53,960 --> 00:40:56,080
Speaker 1: take that into consideration as well. But the truth is,

926
00:40:56,080 --> 00:40:58,359
Speaker 1: if you're a commute is longer, more arduous, and your

927
00:40:58,360 --> 00:41:02,040
Speaker 1: sweat levels are bordering on offensive, showering makes sense. It's

928
00:41:02,040 --> 00:41:04,440
Speaker 1: a polite thing to do, and honestly, I think it

929
00:41:04,520 --> 00:41:07,080
Speaker 1: might actually help you come out ahead financially in the

930
00:41:07,120 --> 00:41:10,719
Speaker 1: long run. You might get disrespected around your office, right

931
00:41:10,800 --> 00:41:13,440
Speaker 1: if you are you know, show up in your spandex

932
00:41:13,480 --> 00:41:16,520
Speaker 1: and you smell like boh, Right, I mean I think

933
00:41:16,560 --> 00:41:18,480
Speaker 1: that that could be a real problem or real hindrance

934
00:41:18,680 --> 00:41:20,799
Speaker 1: to you advancing in your career. Right, if you're known

935
00:41:20,840 --> 00:41:23,720
Speaker 1: as a sweaty biker guy, it might draw more ire

936
00:41:23,880 --> 00:41:27,720
Speaker 1: from the people around you, your bosses, your coworkers than respect.

937
00:41:28,000 --> 00:41:30,600
Speaker 1: And so yeah, think of that twenty five dollars as

938
00:41:30,640 --> 00:41:33,319
Speaker 1: an investment in those relationships, right and maybe even in

939
00:41:33,360 --> 00:41:35,759
Speaker 1: your career. No, you're not throwing it away, right, You're

940
00:41:35,760 --> 00:41:40,520
Speaker 1: prioritizing those relationships and your future earnings possibilities.

941
00:41:39,840 --> 00:41:42,319
Speaker 2: Social norms, in addition to the amount that you might

942
00:41:42,320 --> 00:41:42,840
Speaker 2: be able to earn in.

943
00:41:42,840 --> 00:41:44,759
Speaker 1: The future just by being clean and decent. Right, And

944
00:41:44,800 --> 00:41:47,040
Speaker 1: so twenty five bucks is a small price to pay

945
00:41:47,360 --> 00:41:50,640
Speaker 1: to not anger them, right, to lose friends, but also

946
00:41:50,719 --> 00:41:54,920
Speaker 1: to potentially lose career opportunities. And yeah, there's also the

947
00:41:55,000 --> 00:41:56,520
Speaker 1: add of value of a gym membership, right that you

948
00:41:56,560 --> 00:41:58,480
Speaker 1: can take advantage of two. So yeah, maybe it's not

949
00:41:58,560 --> 00:42:00,640
Speaker 1: just the shower, but you can pump some iron and

950
00:42:00,640 --> 00:42:02,000
Speaker 1: hop on the rolling machine whatever you want to do

951
00:42:02,040 --> 00:42:04,600
Speaker 1: while you're as well. So in my mind, all signs

952
00:42:04,640 --> 00:42:08,279
Speaker 1: point to spend the money, take the shower if if

953
00:42:08,320 --> 00:42:11,160
Speaker 1: you feel like you need it, and maybe maybe even

954
00:42:11,160 --> 00:42:11,719
Speaker 1: if you feel like.

955
00:42:11,719 --> 00:42:14,280
Speaker 2: You don't, that's right, it's not weird at all. And plus,

956
00:42:14,400 --> 00:42:16,719
Speaker 2: I mean, wouldn't you just feel better taking a shower

957
00:42:16,760 --> 00:42:20,040
Speaker 2: as well just being fresh and clean? But I think

958
00:42:20,080 --> 00:42:22,799
Speaker 2: part of this depends on how well you know your bud,

959
00:42:22,840 --> 00:42:25,240
Speaker 2: your coworker there. Because it's okay to have an honest

960
00:42:25,280 --> 00:42:29,279
Speaker 2: conversation about office hygiene, I think it's also totally fine

961
00:42:29,320 --> 00:42:32,359
Speaker 2: to make different decisions, right, Like, if your coworker decides, well,

962
00:42:32,880 --> 00:42:35,080
Speaker 2: it's not that it's weird for me to bit to work,

963
00:42:35,080 --> 00:42:38,160
Speaker 2: but it's just weird that you take a shower, I

964
00:42:38,200 --> 00:42:40,880
Speaker 2: think that's odd. But if that's what he wants to do,

965
00:42:40,960 --> 00:42:43,839
Speaker 2: let him be the sweaty, sweaty biker dude. Right. If

966
00:42:43,840 --> 00:42:45,399
Speaker 2: he wants to be. It doesn't mean that you have

967
00:42:45,480 --> 00:42:48,279
Speaker 2: to follow his suit. Maybe what he's getting at is

968
00:42:48,320 --> 00:42:50,520
Speaker 2: that he thinks it's just weird to take a shower

969
00:42:50,600 --> 00:42:53,239
Speaker 2: outside of the house, because I feel like that's more

970
00:42:53,280 --> 00:42:55,120
Speaker 2: of like a tradition, Like it makes me think of

971
00:42:55,120 --> 00:42:57,280
Speaker 2: old like sports. I never I didn't grow up playing

972
00:42:57,400 --> 00:43:00,279
Speaker 2: like football or anything like that, and so I grow

973
00:43:00,320 --> 00:43:02,040
Speaker 2: up spending time in the locker room right where you're

974
00:43:02,040 --> 00:43:03,720
Speaker 2: like standing around with a bunch of other naked dudes.

975
00:43:03,840 --> 00:43:06,520
Speaker 2: I'll be honest, It's not something I'm used to.

976
00:43:06,960 --> 00:43:09,319
Speaker 1: So when you randomly end up at the YMCA and

977
00:43:09,360 --> 00:43:11,000
Speaker 1: you're in the locker room, it probably feels it might

978
00:43:11,000 --> 00:43:13,640
Speaker 1: be shocking. Yeah, it probably feels a little bit weird.

979
00:43:14,000 --> 00:43:16,000
Speaker 1: But I also say this because the gym that I

980
00:43:16,080 --> 00:43:20,400
Speaker 1: go to, there's an awesome locker room there with like

981
00:43:20,480 --> 00:43:23,239
Speaker 1: six or eight showers, And I go there and I

982
00:43:23,360 --> 00:43:26,120
Speaker 1: work out three days a week, and the number of

983
00:43:26,160 --> 00:43:28,720
Speaker 1: times there is even a single person in that locker

984
00:43:28,800 --> 00:43:32,160
Speaker 1: room taking a shower, Dude, it's incredibly rare, Like nobody

985
00:43:32,200 --> 00:43:34,600
Speaker 1: is in there, And I think, I guess I just

986
00:43:34,640 --> 00:43:37,359
Speaker 1: wonder if that is what his coworker thinks is weird

987
00:43:37,360 --> 00:43:39,400
Speaker 1: as well, the fact that like, oh man, you'd actually

988
00:43:39,400 --> 00:43:41,759
Speaker 1: like go to the gym and take a shower. I

989
00:43:41,800 --> 00:43:43,840
Speaker 1: think for a lot of folks it's not necessarily in vogue.

990
00:43:43,880 --> 00:43:47,319
Speaker 1: It feels like something from the seventies or.

991
00:43:47,280 --> 00:43:51,000
Speaker 2: The eighties, you know. But that big said, it's for

992
00:43:51,040 --> 00:43:53,560
Speaker 2: me at least, it's something that's a perk that's totally offered.

993
00:43:53,680 --> 00:43:55,440
Speaker 2: It's included in the price of what I pay every

994
00:43:55,440 --> 00:43:58,439
Speaker 2: single month. And so, dude, you better believe I'm there

995
00:43:58,520 --> 00:44:00,400
Speaker 2: taking a shower after I work out. It's funny, Actually

996
00:44:00,760 --> 00:44:03,120
Speaker 2: I take a shower after I work out, but before

997
00:44:03,160 --> 00:44:05,759
Speaker 2: I bike here. But again it's because our commute, our

998
00:44:05,760 --> 00:44:08,000
Speaker 2: bike commutees really short. Far not trying to brag or

999
00:44:08,000 --> 00:44:09,480
Speaker 2: anything like that, but I've got it.

1000
00:44:09,520 --> 00:44:11,600
Speaker 1: I've got it real good, the cleanest dude, I know.

1001
00:44:11,800 --> 00:44:14,799
Speaker 1: Yes that's true. Well, yeah, so Wayne would I would

1002
00:44:15,120 --> 00:44:17,640
Speaker 1: do what you think if you think it's right to shower,

1003
00:44:17,760 --> 00:44:20,120
Speaker 1: and then do it. And it's really we're not talking

1004
00:44:20,160 --> 00:44:23,760
Speaker 1: about a super significant amount of money, and like I said,

1005
00:44:23,800 --> 00:44:26,400
Speaker 1: like it could it could be money well spent helping

1006
00:44:26,440 --> 00:44:29,839
Speaker 1: you endear yourself to your coworkers. Then maybe they're more

1007
00:44:29,920 --> 00:44:31,960
Speaker 1: likely to to join you on the bike in the

1008
00:44:32,000 --> 00:44:34,160
Speaker 1: future because they're like, ah, bikers are cool, not sneaking.

1009
00:44:34,160 --> 00:44:36,040
Speaker 2: You hit that critical mass, yeah, and then all of

1010
00:44:36,040 --> 00:44:38,640
Speaker 2: a sudden there's a whole office of all of y'all

1011
00:44:38,640 --> 00:44:40,719
Speaker 2: biking to work. And then when y'all are all doing that,

1012
00:44:40,760 --> 00:44:44,120
Speaker 2: there's other, you know, other benefits for bikers that y'all

1013
00:44:44,120 --> 00:44:45,040
Speaker 2: could potentially advocate.

1014
00:44:45,160 --> 00:44:47,480
Speaker 1: Right, the more coworkers you get to partake in biking,

1015
00:44:47,600 --> 00:44:51,160
Speaker 1: the more you can lobby for better benefits from your employer, Like.

1016
00:44:51,080 --> 00:44:53,319
Speaker 2: How about an actual bike rack? Right lock up er bikes.

1017
00:44:53,520 --> 00:44:55,560
Speaker 1: There's some cool companies out there who will pay people

1018
00:44:55,760 --> 00:44:58,399
Speaker 1: money every every single day they commute, or they will

1019
00:44:58,440 --> 00:45:01,399
Speaker 1: help fund a new if you commute a certain number

1020
00:45:01,440 --> 00:45:03,319
Speaker 1: of days. So those are the kind of things you

1021
00:45:03,320 --> 00:45:05,279
Speaker 1: can say, Hey, a quarter of us now like to

1022
00:45:05,320 --> 00:45:08,480
Speaker 1: work because I've been so instrumental in spearheading this effort,

1023
00:45:09,360 --> 00:45:12,279
Speaker 1: Why wy'n't you help us out here? And maybe it's

1024
00:45:12,320 --> 00:45:14,520
Speaker 1: it's good for their you know how much they pay

1025
00:45:14,520 --> 00:45:17,719
Speaker 1: for health insurance plans, and it's good for morale all

1026
00:45:17,760 --> 00:45:19,359
Speaker 1: that kind of stuff. They might be more than willing

1027
00:45:19,400 --> 00:45:21,839
Speaker 1: to do that. But good question, Wayne. We look forward

1028
00:45:21,880 --> 00:45:24,960
Speaker 1: to question number four in the near future. But Matt,

1029
00:45:25,040 --> 00:45:27,640
Speaker 1: let's get to our next question. This one is about

1030
00:45:27,719 --> 00:45:31,720
Speaker 1: using a retirement account to pay for a real estate purchase.

1031
00:45:32,520 --> 00:45:33,800
Speaker 4: Hey, guys, this is Matt.

1032
00:45:34,160 --> 00:45:37,919
Speaker 8: I'm in Georgia and have a pretty straightforward question. I've

1033
00:45:38,000 --> 00:45:40,200
Speaker 8: essentially made it through money Gear six. I'm looking to

1034
00:45:40,200 --> 00:45:43,439
Speaker 8: buy my first home and I have a pretty good

1035
00:45:43,480 --> 00:45:46,399
Speaker 8: stockpile in my IRA. I have enough to put down

1036
00:45:46,440 --> 00:45:49,640
Speaker 8: twenty or fifty percent in some cases, I could even

1037
00:45:49,840 --> 00:45:52,799
Speaker 8: pay cash for a house, just depending on what the

1038
00:45:52,880 --> 00:45:55,480
Speaker 8: number is, and maybe still have some left over in

1039
00:45:55,520 --> 00:45:59,160
Speaker 8: the IRA. And I'm going back and forth on where

1040
00:45:59,200 --> 00:46:01,080
Speaker 8: to do that and how what that would look like,

1041
00:46:01,320 --> 00:46:03,359
Speaker 8: and just wanted to get your thoughts on it. I'm

1042
00:46:03,400 --> 00:46:05,200
Speaker 8: just not sure if I should do twenty percent, maybe

1043
00:46:05,239 --> 00:46:07,400
Speaker 8: do fifty percent and take a loan, or if in

1044
00:46:07,440 --> 00:46:10,520
Speaker 8: some places, you know, pay the cash and just have

1045
00:46:10,640 --> 00:46:13,000
Speaker 8: less in my IRA that would I would have to

1046
00:46:13,040 --> 00:46:15,760
Speaker 8: make up, of course, and would love to hear your opinions.

1047
00:46:15,840 --> 00:46:16,399
Speaker 8: I think so much.

1048
00:46:16,400 --> 00:46:19,040
Speaker 2: Guys love the show all right, Matt and Georgia just

1049
00:46:19,080 --> 00:46:22,800
Speaker 2: like me. Congrats on being in money Gear at number six.

1050
00:46:22,960 --> 00:46:26,920
Speaker 2: That is awesome. Sounds like you've been dedicated to investing

1051
00:46:26,920 --> 00:46:29,759
Speaker 2: for quite a while now, if you can potentially pay

1052
00:46:29,760 --> 00:46:33,360
Speaker 2: for that house in cash with your IRA, that's seriously impressive.

1053
00:46:33,400 --> 00:46:34,160
Speaker 1: That's very impressive.

1054
00:46:34,600 --> 00:46:36,400
Speaker 2: You know, you might be looking at something cheaper, like

1055
00:46:36,440 --> 00:46:39,839
Speaker 2: something that's more affordable, maybe you are in a more

1056
00:46:40,000 --> 00:46:42,360
Speaker 2: country or rural part of the state, but with the

1057
00:46:42,440 --> 00:46:44,600
Speaker 2: average price of a home in the US being in

1058
00:46:44,640 --> 00:46:47,920
Speaker 2: the range of like four hundred and fifteen thousand dollars,

1059
00:46:48,280 --> 00:46:50,480
Speaker 2: that's a pretty killer nest egg. Yeah. So if you've

1060
00:46:50,480 --> 00:46:52,480
Speaker 2: got that much to you, Matt, Yeah, for sure.

1061
00:46:52,520 --> 00:46:55,160
Speaker 1: I mean, that's that's a lot of years of doing

1062
00:46:55,239 --> 00:46:58,000
Speaker 1: the right thing, of maxing it out and of seeing

1063
00:46:58,000 --> 00:47:01,560
Speaker 1: great gains. So and really a lot of our listeners, Matt,

1064
00:47:01,600 --> 00:47:04,800
Speaker 1: are going to get to those multiple six figure levels

1065
00:47:04,880 --> 00:47:06,480
Speaker 1: just by doing the right thing year after year after

1066
00:47:06,560 --> 00:47:10,200
Speaker 1: year and socking money and index funds. But the heart

1067
00:47:10,239 --> 00:47:12,480
Speaker 1: of Matt's question comes down to one thing. Is it

1068
00:47:12,520 --> 00:47:14,879
Speaker 1: smart to liquidate your IRA in order to buy a home?

1069
00:47:15,200 --> 00:47:19,239
Speaker 1: And the answer has some nuance, but the TLDR is

1070
00:47:19,239 --> 00:47:20,799
Speaker 1: that if you've owned a home in the past couple

1071
00:47:20,800 --> 00:47:23,040
Speaker 1: of years, you definitely should not use your IRA to

1072
00:47:23,040 --> 00:47:25,680
Speaker 1: make this purchase. That's because there is a first time

1073
00:47:25,719 --> 00:47:28,200
Speaker 1: home buyer exception that allows you to use some of

1074
00:47:28,200 --> 00:47:30,680
Speaker 1: those funds up to ten thousand dollars without paying a

1075
00:47:30,760 --> 00:47:33,680
Speaker 1: ten percent early withdraw penalty. If the money you're taking

1076
00:47:33,680 --> 00:47:35,880
Speaker 1: out is used for the first time home purchase, that is,

1077
00:47:36,080 --> 00:47:38,759
Speaker 1: you'll still owe taxes, so plan for that, but you

1078
00:47:38,800 --> 00:47:41,239
Speaker 1: will avoid the ten percent penalty, which is nice. But

1079
00:47:41,280 --> 00:47:44,080
Speaker 1: that's still a really small chunk of what he's saying,

1080
00:47:44,320 --> 00:47:45,880
Speaker 1: I mean, a really really small amount.

1081
00:47:46,040 --> 00:47:48,440
Speaker 2: Yeah, it sounds like he's looking at above and beyond

1082
00:47:48,680 --> 00:47:50,920
Speaker 2: that ten thousand yea, most likely.

1083
00:47:50,760 --> 00:47:52,920
Speaker 1: It sounds like it unless he's like literally buying a

1084
00:47:52,960 --> 00:47:54,600
Speaker 1: tear down shrack or something, right. Yeah.

1085
00:47:55,040 --> 00:47:56,839
Speaker 2: So it's also worth noting that Matt, he didn't say

1086
00:47:56,840 --> 00:48:01,480
Speaker 2: anything about this IRA being a wroth IRA, And this

1087
00:48:01,560 --> 00:48:04,040
Speaker 2: is worth mentioning because if that was the case, well,

1088
00:48:04,080 --> 00:48:08,400
Speaker 2: then he could pull any and all of his contributions

1089
00:48:08,560 --> 00:48:11,799
Speaker 2: to the wroth without having to pay a penalty or

1090
00:48:11,920 --> 00:48:15,000
Speaker 2: any taxes. There's no taxes because roths are funded with

1091
00:48:15,120 --> 00:48:17,640
Speaker 2: post tax dollars. You've already paid taxes on that money.

1092
00:48:17,840 --> 00:48:20,360
Speaker 2: And this flexibility is it's one of the massive benefits

1093
00:48:20,440 --> 00:48:23,560
Speaker 2: of going with a wroth over a traditional IRA because

1094
00:48:23,600 --> 00:48:26,560
Speaker 2: you can withdraw those contributions for any reason. But then

1095
00:48:26,600 --> 00:48:28,879
Speaker 2: on top of that, you still have that first time

1096
00:48:28,920 --> 00:48:32,520
Speaker 2: home buyer exception as well, So it's kind of there's

1097
00:48:32,560 --> 00:48:34,920
Speaker 2: a double benefit for first time home buyers if you

1098
00:48:34,920 --> 00:48:37,160
Speaker 2: have a WROTH as opposed to a traditional IRA.

1099
00:48:37,440 --> 00:48:41,319
Speaker 1: Yes, but that still begs the question, should you take

1100
00:48:41,320 --> 00:48:43,839
Speaker 1: advantage of this loophole? This perk is some might think

1101
00:48:43,840 --> 00:48:44,040
Speaker 1: of it.

1102
00:48:44,360 --> 00:48:48,000
Speaker 2: So we've identified the perk, it's there, Should you use it? Right?

1103
00:48:48,520 --> 00:48:51,080
Speaker 1: And probably not, is the answer. I mean, Matt has

1104
00:48:51,080 --> 00:48:52,600
Speaker 1: he's got a lot of money in his IRA, so

1105
00:48:52,640 --> 00:48:54,960
Speaker 1: he shouldn't feel bad about using ten thousand dollars of

1106
00:48:55,000 --> 00:48:56,920
Speaker 1: it for this purpose of buying the home if it

1107
00:48:56,920 --> 00:48:58,880
Speaker 1: helps him get to the place where, you know, he

1108
00:48:58,880 --> 00:49:01,160
Speaker 1: feels like he has enough to put down, especially if

1109
00:49:01,239 --> 00:49:03,000
Speaker 1: it gets into like that twenty percent down mark that

1110
00:49:03,040 --> 00:49:06,359
Speaker 1: we talked about earlier. But most folks should avoid it altogether. Right,

1111
00:49:06,760 --> 00:49:09,719
Speaker 1: Using more than the allotted ten thousand dollars of those

1112
00:49:09,760 --> 00:49:12,680
Speaker 1: IRA funds, it would be a bad financial move given

1113
00:49:12,719 --> 00:49:15,240
Speaker 1: the taxes and penalties you'd owe for cashing out early,

1114
00:49:15,640 --> 00:49:18,040
Speaker 1: especially if it's a traditional IRA. Right, But even if

1115
00:49:18,080 --> 00:49:21,520
Speaker 1: it's a ROTH, it's not necessarily a good idea to

1116
00:49:21,560 --> 00:49:24,080
Speaker 1: take money out of that either to withdraw most of

1117
00:49:24,120 --> 00:49:26,560
Speaker 1: those contributions you've been putting in over the years. So

1118
00:49:26,600 --> 00:49:28,560
Speaker 1: the best thing to do if you've been a great

1119
00:49:28,560 --> 00:49:31,120
Speaker 1: investor and now buying a home as your next goal,

1120
00:49:31,440 --> 00:49:33,640
Speaker 1: is to build up more liquid savings to help you

1121
00:49:33,680 --> 00:49:36,680
Speaker 1: get that new place, right, leaving your IRA fully or

1122
00:49:36,680 --> 00:49:37,760
Speaker 1: at least mostly intact.

1123
00:49:37,840 --> 00:49:40,000
Speaker 2: Yeah. I don't want to jump to conclusions, but Matt

1124
00:49:40,000 --> 00:49:42,400
Speaker 2: sounds pretty young, and if he has been able to

1125
00:49:42,440 --> 00:49:45,600
Speaker 2: sock away that much money towards retirement, I think that

1126
00:49:45,640 --> 00:49:48,399
Speaker 2: he would then be able to shift gears and turn

1127
00:49:48,440 --> 00:49:51,040
Speaker 2: his laser like focus onto saving up a down payment

1128
00:49:51,120 --> 00:49:52,040
Speaker 2: sure pretty quickly.

1129
00:49:52,080 --> 00:49:53,719
Speaker 1: Even if that means, by the way, cutting back a

1130
00:49:53,760 --> 00:49:58,160
Speaker 1: little bit on contributions to retirement accounts. Now, that's okay,

1131
00:49:58,239 --> 00:50:00,319
Speaker 1: because he's already done a great job at that. If

1132
00:50:00,320 --> 00:50:02,040
Speaker 1: the home is his next goal, that's fine.

1133
00:50:02,160 --> 00:50:03,960
Speaker 2: Yeah. Well, I mean I think that's the other downside

1134
00:50:04,000 --> 00:50:07,319
Speaker 2: of using some, most, or even all of your IRA

1135
00:50:07,440 --> 00:50:10,080
Speaker 2: to buy a house is that you won't have much money,

1136
00:50:10,480 --> 00:50:13,160
Speaker 2: if any, left over in your retirement nest egg, you know,

1137
00:50:13,239 --> 00:50:16,080
Speaker 2: unless you have a sizeable four or one K or

1138
00:50:16,120 --> 00:50:18,879
Speaker 2: something that you didn't mention. If that's the case, then

1139
00:50:18,960 --> 00:50:21,160
Speaker 2: I don't know. Maybe he's got more, he's got additional

1140
00:50:21,160 --> 00:50:24,120
Speaker 2: funds for actual retirement. But with interest rates having gone

1141
00:50:24,200 --> 00:50:27,120
Speaker 2: up quite a bit, like I get the increased desire

1142
00:50:27,160 --> 00:50:30,000
Speaker 2: to avoid getting a mortgage right, to avoid a home

1143
00:50:30,040 --> 00:50:32,239
Speaker 2: loan altogether, but it's likely going to be a better

1144
00:50:32,280 --> 00:50:34,400
Speaker 2: path to take than using money that's earmarked for your

1145
00:50:34,400 --> 00:50:37,040
Speaker 2: future in order to make this happen. And with the

1146
00:50:37,160 --> 00:50:41,000
Speaker 2: limited annual contribution amounts that you're able to, you know,

1147
00:50:41,080 --> 00:50:43,400
Speaker 2: fund your retirement accounts with you, you can't get the

1148
00:50:43,440 --> 00:50:45,279
Speaker 2: money back into your IRA. It's not like you can say,

1149
00:50:45,280 --> 00:50:47,200
Speaker 2: all right, once I get that house, I'm gonna go

1150
00:50:47,239 --> 00:50:50,759
Speaker 2: gangbusters on those tax advantaged retirement accounts can put the

1151
00:50:50,800 --> 00:50:52,160
Speaker 2: genie back in the not going to be able to

1152
00:50:52,160 --> 00:50:54,560
Speaker 2: do that, And so keeping your IRA intact, saving up

1153
00:50:54,640 --> 00:50:58,280
Speaker 2: for that down payment within a high yield savings account again,

1154
00:50:58,360 --> 00:51:01,480
Speaker 2: even if it does mean reduce seeing your current contributions

1155
00:51:01,800 --> 00:51:04,279
Speaker 2: towards retirement savings, I think that makes the most sense.

1156
00:51:04,400 --> 00:51:07,799
Speaker 2: Protect your retirement, don't actually touch your retirement accounts, yep.

1157
00:51:07,880 --> 00:51:09,719
Speaker 1: Don't mess with the IRA in order to do that.

1158
00:51:09,760 --> 00:51:11,560
Speaker 1: And by the way, there is something known as a

1159
00:51:11,680 --> 00:51:14,480
Speaker 1: self directed IRA, which allows you to invest in real

1160
00:51:14,560 --> 00:51:17,719
Speaker 1: estate or even other things like private companies through with

1161
00:51:17,800 --> 00:51:20,919
Speaker 1: your IRA money. And if you did this, your money

1162
00:51:20,960 --> 00:51:23,440
Speaker 1: would still be inside of your IRA, just buying that asset.

1163
00:51:23,680 --> 00:51:26,600
Speaker 1: But the rules are complex, it's not advisable in our opinion.

1164
00:51:26,600 --> 00:51:28,359
Speaker 1: And by the way, you can't even buy personal real

1165
00:51:28,440 --> 00:51:30,200
Speaker 1: estate either. But I just wanted to mention it because

1166
00:51:30,239 --> 00:51:32,080
Speaker 1: you might hear someone say, well, why don't you use

1167
00:51:32,120 --> 00:51:34,720
Speaker 1: it inside of a self directed IRA? And the truth

1168
00:51:34,719 --> 00:51:37,319
Speaker 1: is you wouldn't qualify buying a personal residence doing that.

1169
00:51:37,719 --> 00:51:40,160
Speaker 1: But I'm not a fan of the self directed DIRA

1170
00:51:40,239 --> 00:51:43,120
Speaker 1: path anyway. I'd rather see you stick with the boring

1171
00:51:43,200 --> 00:51:46,880
Speaker 1: traditional index funds inside of your IRA. But it's something

1172
00:51:46,880 --> 00:51:50,200
Speaker 1: you might hear inklings about. And I don't think that's

1173
00:51:50,200 --> 00:51:51,160
Speaker 1: for you either, That's.

1174
00:51:51,040 --> 00:51:53,280
Speaker 2: Right, But Matt, we hope that that gets you pointed

1175
00:51:53,280 --> 00:51:55,240
Speaker 2: in the right direction. We hope that you are again

1176
00:51:55,320 --> 00:51:58,320
Speaker 2: that it sounds like you have a laser like focus.

1177
00:51:58,320 --> 00:52:00,279
Speaker 2: And I think if you are able to direct that

1178
00:52:00,960 --> 00:52:04,680
Speaker 2: death ray onto onto amassing a down payment, that you

1179
00:52:04,719 --> 00:52:07,360
Speaker 2: will be fully funded. You will have that twenty percent

1180
00:52:07,400 --> 00:52:10,320
Speaker 2: down before you even realize that, but a best luck

1181
00:52:10,400 --> 00:52:10,839
Speaker 2: to you.

1182
00:52:10,840 --> 00:52:13,120
Speaker 1: That mortgage might not be around long either. Once you

1183
00:52:13,440 --> 00:52:17,120
Speaker 1: know exactly exactly. All right, let's get back to the beer, Joel,

1184
00:52:17,120 --> 00:52:20,400
Speaker 1: that you and I enjoyed during this episode. I will

1185
00:52:20,880 --> 00:52:21,560
Speaker 1: give it a shot.

1186
00:52:21,600 --> 00:52:26,239
Speaker 2: This was Canazawa Haya Kumengoku pale Ale.

1187
00:52:26,400 --> 00:52:27,239
Speaker 1: You did better than I did.

1188
00:52:27,360 --> 00:52:29,480
Speaker 2: But again, when you when you once you hear somebody

1189
00:52:29,480 --> 00:52:33,280
Speaker 2: stumble through it, you're able to pick up the pieces.

1190
00:52:33,320 --> 00:52:37,480
Speaker 2: And this is by Waku Waku Tezukuri Farm Kawakita. This

1191
00:52:37,560 --> 00:52:41,239
Speaker 2: is a beer from Julia, the last of the three

1192
00:52:41,239 --> 00:52:43,759
Speaker 2: beers that she sent our way there from Japan. Joel,

1193
00:52:43,760 --> 00:52:46,520
Speaker 2: what were your thoughts on this one? This was super floral,

1194
00:52:46,760 --> 00:52:51,759
Speaker 2: super botanical. It tasted like the pictures I've seen of

1195
00:52:51,840 --> 00:52:54,560
Speaker 2: Japan and the cherry blossoms with there at full bloom.

1196
00:52:54,719 --> 00:52:58,080
Speaker 2: That this beer tasted like that, like you're sitting in

1197
00:52:58,160 --> 00:53:02,839
Speaker 2: lakeside gazing upon Mount Fuji exactly, you know, like you do.

1198
00:53:03,760 --> 00:53:05,719
Speaker 1: And we don't have like very we don't get to

1199
00:53:05,760 --> 00:53:08,800
Speaker 1: drink many super botanical beers. This so this one was

1200
00:53:08,840 --> 00:53:09,799
Speaker 1: like really really fun.

1201
00:53:10,080 --> 00:53:12,799
Speaker 2: I read it. Yeah. To me, this one tasted the

1202
00:53:12,800 --> 00:53:16,240
Speaker 2: most familiar, like in my mind, it tasted the most

1203
00:53:16,400 --> 00:53:18,880
Speaker 2: like beers we've had Stateside, whereas like the I PA

1204
00:53:19,040 --> 00:53:21,920
Speaker 2: and then the first one that we had tasted like

1205
00:53:21,960 --> 00:53:23,480
Speaker 2: they were from a different country. I feel like this

1206
00:53:23,520 --> 00:53:25,880
Speaker 2: one was like, oh okay, this this tastes more like

1207
00:53:25,920 --> 00:53:30,000
Speaker 2: maybe an American floral botanically American pale, but definitely got

1208
00:53:30,120 --> 00:53:32,360
Speaker 2: glad we got to enjoy it. Oh. I Actually, so,

1209
00:53:32,400 --> 00:53:34,080
Speaker 2: I was trying to figure out the name because obviously

1210
00:53:34,120 --> 00:53:37,080
Speaker 2: it's all written in Japanese on the label. I came

1211
00:53:37,120 --> 00:53:41,640
Speaker 2: across this brewery's website. They grow all of their malts locally,

1212
00:53:41,880 --> 00:53:45,839
Speaker 2: so when it says whatever farm, it's because literally they're

1213
00:53:45,880 --> 00:53:48,480
Speaker 2: not getting their grains shipped in or anything like that too.

1214
00:53:48,520 --> 00:53:51,120
Speaker 2: So this is like, this is a farm to table,

1215
00:53:51,440 --> 00:53:54,000
Speaker 2: farm to pine glass kind of beer. Very cool, we

1216
00:53:54,040 --> 00:53:54,439
Speaker 2: can enjoy.

1217
00:53:54,520 --> 00:53:56,400
Speaker 1: I can dig that. I think Rogue out in Oregon

1218
00:53:56,760 --> 00:53:57,480
Speaker 1: does something similar.

1219
00:53:57,600 --> 00:53:57,759
Speaker 2: Yeah.

1220
00:53:58,160 --> 00:54:00,000
Speaker 1: Yeah, so I loved their beers back in the nay,

1221
00:54:00,040 --> 00:54:01,799
Speaker 1: but I haven't had one in a minute, So mine

1222
00:54:01,800 --> 00:54:03,319
Speaker 1: need to get some Rogue beers on the show some

1223
00:54:03,360 --> 00:54:05,920
Speaker 1: old dead guy ales, right, yeah a minute. And by

1224
00:54:05,920 --> 00:54:08,200
Speaker 1: the way, or the hazel nut brown you know, oh yeah,

1225
00:54:08,600 --> 00:54:11,960
Speaker 1: browns were Browns are a nice introduction to some of

1226
00:54:11,960 --> 00:54:14,080
Speaker 1: the different craft beers out there. All right, let's gonna

1227
00:54:14,080 --> 00:54:16,879
Speaker 1: do it for this episode again. We're gonna take more

1228
00:54:17,000 --> 00:54:20,040
Speaker 1: of your listener questions on upcoming episodes. We're gonna be

1229
00:54:20,040 --> 00:54:23,080
Speaker 1: taking them every week moving forward, So submit away. We'd

1230
00:54:23,080 --> 00:54:24,879
Speaker 1: love to hear yours. Go to how to money dot

1231
00:54:24,880 --> 00:54:28,040
Speaker 1: com slash ask for the instructions so that you can

1232
00:54:28,360 --> 00:54:30,279
Speaker 1: record that voice memo. Get it sent over to us

1233
00:54:30,280 --> 00:54:32,640
Speaker 1: so we can take it soon. We need your questions

1234
00:54:32,680 --> 00:54:33,759
Speaker 1: and we look forward to hearing them.

1235
00:54:33,800 --> 00:54:35,840
Speaker 2: That's right, The weirder the better. We will link to

1236
00:54:35,880 --> 00:54:38,319
Speaker 2: any resources that we mentioned during this episode up on

1237
00:54:38,320 --> 00:54:40,240
Speaker 2: the show notes at how tomoney dot com. But buddy,

1238
00:54:40,360 --> 00:54:42,040
Speaker 2: that's gonna be it for this one. Until next time.

1239
00:54:42,239 --> 00:55:00,279
Speaker 2: Best friends out and best friends out. Yeah,