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Speaker 1: Welcome to Out of Money.

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Speaker 2: I'm Joel, I am Matt.

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Speaker 1: Today we're going to answer some of your listener questions.

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Speaker 2: You know what, Buddy, it's Monday. We've got listener questions

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Speaker 2: to get to. For instance, a listener is wondering if

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Speaker 2: his condo is a good investment, or maybe if there's

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Speaker 2: better options out there for him. We're going to talk

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Speaker 2: about able accounts. This isn't typically an account that we discussed,

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Speaker 2: but I think folks will find it interesting.

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Speaker 1: It's a more niche account, but it can be a

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Speaker 1: big help to families who need it.

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Speaker 2: Indeed. Yeah, and we're going to talk about a line

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Speaker 2: of credits that a listener has available to them. But

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Speaker 2: it happens to be with the best rate that I've

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Speaker 2: ever heard of. Maybe it's too good to be true.

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Speaker 2: We'll talk about that, plus other topics that we'll get

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Speaker 2: to during our askkin of Money episode today. Buddy, sounds good,

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Speaker 2: But Hey, I recently shared how on an upcoming trip

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Speaker 2: that Kate and I I explained how, Hey, I opted

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Speaker 2: for the Tesla the Evy with a car rental company

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Speaker 2: because it was the cheapest choice. It was so cheap,

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Speaker 2: it was it was ninety something like ninety six bucks

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Speaker 2: like next alternative was three hundred something cheaper than like

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Speaker 2: the Toyota Corolla. I could not believe how affordable it was.

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Speaker 2: And I did all the math, crunch the numbers, you know,

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Speaker 2: because I was just like, no, no, the mileage should

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Speaker 2: be good and all that all right, all that to

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Speaker 2: be said. I showed up there at the counter and

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Speaker 2: the guy said, oh, I see here you got the

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Speaker 2: Tesla long Range. Let me get you a gas powered vehicle.

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Speaker 2: I was like, well, is it going to be more?

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Speaker 3: Like?

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Speaker 2: How come? Like? You know, I wanted to go with

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Speaker 2: this because of the mileage. And he's like, wait, where

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Speaker 2: are you headed? And we were headed to Sodona from Phoenix.

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Speaker 2: And I was like, I crushed the numbers. It's plenty

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Speaker 2: far enough. And he said, well, you've accounted for the miles,

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Speaker 2: but you haven't accounted for the change and elevation. You

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Speaker 2: basically go up and I didn't realize this at the time,

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Speaker 2: but you go up like a mountain. Range's and he said,

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Speaker 2: if you're driving around town or if you're going somewhere

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Speaker 2: else where, it was the same elevation where we currently are.

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Speaker 2: He's like, no problem even with the AC blast in

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Speaker 2: what you're likely going to want to do because it's

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Speaker 2: one hundred degrees out there, He said, you likely would

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Speaker 2: be fine. But the elevation change, he said, it destroys.

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Speaker 2: It just takes down EV batteries so quickly. And he

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Speaker 2: just pointed out specifically the range anxiety, and he said,

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Speaker 2: you know what if that was your tesla and you

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Speaker 2: knew what change an elevation like that might do for you.

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Speaker 2: He just pointed out that it's just much more nuanced

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Speaker 2: than I was giving it credit for. Because I crunched

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Speaker 2: the numbers. I was like, this is you know, I

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Speaker 2: put my glasses on.

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Speaker 1: Pulled out the calculator eighty miles to get there. This

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Speaker 1: thinge's got two twenty.

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Speaker 2: I'm good. He's a cake is Yeah. I think even

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Speaker 2: more than that, but I don't know it. It was

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Speaker 2: a learning experience where he pointed out that there are

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Speaker 2: just more variables that go into how long the battery

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Speaker 2: life lasts on an EV. I guess not too on

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Speaker 2: like our phones, you kind of get used to our

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Speaker 2: specific device. How long a twenty three three percent charge

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Speaker 2: is gonna last us? When you get ready to board

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Speaker 2: the airplane. You know what the steps you need to take. Yeah,

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Speaker 2: don't fire up a video right now, you know, Okay,

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Speaker 2: go ahead and quit all the different apps, switch it

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Speaker 2: to power saving mode, airplane motron off, all the other things.

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Speaker 2: I just want to be able to read my book

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Speaker 2: on my phone, that that sort of thing. So all

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Speaker 2: that being said, I was like, all right, well, how

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Speaker 2: much is it going to cost me? Because the reason

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Speaker 2: I chose this was because it's so much more affordable. Sure,

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Speaker 2: and the next cheek that's literally the nextcheap is alternative

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Speaker 2: was around three hundred bucks. And he's like, well, since

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Speaker 2: you're here in person, I can get you a disc.

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Speaker 2: It is going to cost more, but it only costed

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Speaker 2: me sixty dollars more to get a traditionally powered vehicle.

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Speaker 2: And on top of that, he's just like, well, I

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Speaker 2: can go ahead to upgrade you as well.

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Speaker 1: We'll get you the it was a.

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Speaker 2: Key to tell you ride, which is it's nice items

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Speaker 2: like a I told I was joking with Kate. After

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Speaker 2: the fact, I thought, you know what, I probably would

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Speaker 2: rather have gotten the smaller Sedan for the gas just

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Speaker 2: not like weedace.

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Speaker 1: I figure, folks, get you the hummer, sir, Just give

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Speaker 1: me the.

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Speaker 2: HONDG quart or something. Anyway, I wanted to point that out,

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Speaker 2: that the ability to get that discount in person, being

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Speaker 2: willing to ask and have a conversations, Yes, look at

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Speaker 2: looking someone in the eye, sharing what you're excited to do.

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Speaker 2: I think all that goes into possibly receiving a disc

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Speaker 2: don't expect the discount, but I think it makes you

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Speaker 2: more likely to be a receiver of a discount.

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Speaker 1: Also helpful planning ahead when you are running an ev

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Speaker 1: just know that there are more variables than you might think

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Speaker 1: going into Yeah, and it's funny. I was just riding

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Speaker 1: in my friends Tesla on a six hour road trip

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Speaker 1: in California, and I will say the thing I was

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Speaker 1: really impressed with about Tesla is when it comes to

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Speaker 1: plotting out charging if you're going a really long distance

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Speaker 1: the auto auto route, they do an amazing job saying, hey,

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Speaker 1: here are the most ideal places for you to charge.

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Speaker 1: Here's how long you need to stay there to get

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Speaker 1: up to a certain point, and then hey, stop at

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Speaker 1: the next place two hours away and then charge for

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Speaker 1: another twelve minutes and then you're good to get home.

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Speaker 1: So they do really good job helping you figure that out.

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Speaker 1: They make it less. I think it reduces the range anxiety.

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Speaker 1: But still they take care of it for you. Yeah,

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Speaker 1: so how many times that you're not gonna save much money?

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Speaker 1: If you're charging it a super charging station, it cost

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Speaker 1: almost as much as gas does less.

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Speaker 2: It's a vehicle that you own, which this friend in particular,

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Speaker 2: this is his tesla. So I'm curious, how many times

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Speaker 2: did you have to stop two times twice on like

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Speaker 2: six hours ten fifteen minutes?

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Speaker 1: It was about it was about fifteen minutes one and

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Speaker 1: twenty five the other.

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Speaker 2: Okay, so you know, not an insignificant amount of time.

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Speaker 2: You know, I will say, like, imagine getting stuck in

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Speaker 2: traffic for fifteen minutes or twenty five minutes. That's that's

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Speaker 2: like enough to like quote unquote ruin the trip. If

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Speaker 2: you're like, oh, yeah, I got still you know, yeah,

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Speaker 2: I had to drive us. So I got stuck for

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Speaker 2: forty five minutes total in traffic.

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Speaker 1: Got a factor in the extra time usually, Yeah, it's good,

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Speaker 1: A good excuse for a pee break, good enough.

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Speaker 2: Fair enough, Yeah, get out, stretch the legs a little bit. Yeah,

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Speaker 2: I dig it.

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Speaker 1: All right, let's mention the beer having Matt, this is

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Speaker 1: a Solstice sour by Almanac Brewing, and we'll give our

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Speaker 1: thoughts at the end of the episode. This one looks

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Speaker 1: really tasty.

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Speaker 2: Did you ever listen to the All and Brothers. The

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Speaker 2: font that they chose for Almanac reminds me of kind

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Speaker 2: of like the old Think Country.

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Speaker 1: I think I'm too young to I mean, I know

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Speaker 1: a couple of.

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Speaker 2: The songs, but yeah, I just for some reason think

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Speaker 2: that that's what that looks like.

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Speaker 1: Okay, yeah, I could see that I'm not too familiar, But.

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Speaker 2: Enough of that.

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Speaker 1: Yeah, okay, let's get onto listener questions. If you have

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Speaker 1: a question we'd love to hear from you, go to

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Speaker 1: how to money dot com slash ask if you got

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Speaker 1: a money question, it's tangential to money, uh even just

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Speaker 1: relationship advice in general. MAT's really digging into that. He'll

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Speaker 1: feel a philosophy. Yeah, whatever you want to ask, send

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Speaker 1: it over. We'll make Matt take it. Just go to

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Speaker 1: how to money dot com slash ask simple directions or

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Speaker 1: record that voice memo on your phone. Send it over, Joe.

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Speaker 2: We'll also be sure to include my phone number out

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Speaker 2: there as well to directly receive all the all the hate.

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Speaker 2: For sure that I'm sure to receive where to dispense

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Speaker 2: any relational.

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Speaker 1: That's right, all right. The first question, Matt, let's get

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Speaker 1: to one from a listener who's like struggling about whether

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Speaker 1: or not to keep or sell a real estate asset

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Speaker 1: he owns.

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Speaker 4: Hello, my name is John, and I find the information

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Speaker 4: on this program very helpful, especially for beginners such as

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Speaker 4: myself going in the world of financing and planning. I

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Speaker 4: have heard the topic of condos before on this program,

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Speaker 4: and to me, they generally don't sound like a great investment.

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Speaker 4: I have had my condo for about four years now,

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Speaker 4: and from my experience, it has not appreciated much in value,

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Speaker 4: and a lot of my salary goes towards paying the

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Speaker 4: property taxes that are due at the end of the year,

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Speaker 4: and I feel like that money would be better spent

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Speaker 4: on something else, since I barely get anything in return

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Speaker 4: after paying the property taxes. Anyway, I recently rented out

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Speaker 4: my condo to tenants and they have been there for

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Speaker 4: several months, and I'm wondering if things will get better

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Speaker 4: after I pay off the rest of my immediate expenses

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Speaker 4: and I could finally put the rent and receive to

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Speaker 4: an account that will pay the mortgage, property tax, and

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Speaker 4: the HOA. However, after doing calculations, I only still get

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Speaker 4: about one hundred to two hundred dollars a month after

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Speaker 4: all that is deducted from the rent, which I don't

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Speaker 4: see us too great. The property is located near the

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Speaker 4: beach in Los Angeles and I got it during the

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Speaker 4: COVID times when the interest rate was very low around

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Speaker 4: two point eight percent. We'll just make my condo worth keeping.

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Speaker 4: I would really appreciate some advice, and thank you so

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Speaker 4: much for everything.

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Speaker 2: All right, John, I am glad to hear that you

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Speaker 2: found the show helpful. And your question condos specifically, you're

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Speaker 2: talking about whether or not your condo, whether or not

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Speaker 2: it's a good investment. But specifically what I want to ask,

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Speaker 2: should it be a good investment, Because when you buy

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Speaker 2: a condo or when you buy a single family home,

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Speaker 2: the main goal is going to be to put a

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Speaker 2: roof over your head. You're looking for a place to live.

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Speaker 2: So in this case, you are or I would say

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Speaker 2: that you were getting something and otherwise you'd have to

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Speaker 2: fork over the money in rents. That right there, that's

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Speaker 2: the rent versus by debate, and that answer depends on

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Speaker 2: personal goals. You know what's happening in the market, but

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Speaker 2: right now, renting it certainly beats buying almost everywhere from

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Speaker 2: up your price per month standpoint. But again, so much

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Speaker 2: is going to depend on your personal your lifestyle goals,

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Speaker 2: not just what is more affordable right now, not just

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Speaker 2: what the dollars and cents shows.

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Speaker 1: And sometimes right buying, if you have an extended timeline,

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Speaker 1: you're like, oh, my monthly payment's going to be a

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Speaker 1: little bit higher, but if it meets your goals, and

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Speaker 1: also you're talking about locking in that cost over a

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Speaker 1: long period of time. Rents have not been going up lately,

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Speaker 1: but typically, you know, rents go up at a fairly

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Speaker 1: regular pace year after year. And the truth is, Matt,

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Speaker 1: I think we as a society, we've collectively you'd home

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Speaker 1: or condo ownership as this way to build wealth. When

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Speaker 1: you think about the average American, they probably many of

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Speaker 1: them have more wealth in their home, more equity in

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Speaker 1: their home, than they have wealth in the stock market.

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Speaker 1: So by de facto, it is their number one savings vehicle.

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Speaker 1: And so because of that they see it as like, oh,

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Speaker 1: this is my this is my little piggy bank.

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Speaker 2: Over here.

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Speaker 1: This is where I'm stashing my cash. And we have

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Speaker 1: seen right rapid appreciation in recent years, leading many to

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Speaker 1: expect more of the same. Like I think people are like,

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Speaker 1: oh great, I've seen what happen in home home prices

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Speaker 1: over the past few years. My real estate agents is saying,

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Speaker 1: get in before the getting gets impossible, and then you know,

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Speaker 1: those people are dismayed if the market stutters after, you know,

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Speaker 1: they make their own purchase. But that is happening currently

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Speaker 1: for some, which is something that you and I have

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Speaker 1: warned about that hey, the market can't continue to go

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Speaker 1: up at this clip forever. Well, the purpose I think

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Speaker 1: for some it isn't to live in a place they desire,

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Speaker 1: but to see their equity grow. But the housing market

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Speaker 1: is this complex organism, right, and buying dreams of rapid

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Speaker 1: equity accumulation I think just is a bad idea. Like

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Speaker 1: don't go into a home or condo purchase with that

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Speaker 1: in mind. Think of it like a cherry on top

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Speaker 1: kind of like you said, Matt, you don't want to

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Speaker 1: go into it with that being the sole or major goal.

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Speaker 1: Make your decision on other variables. Have a long enough

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Speaker 1: ownership timeline in mind. Like planning to own that place

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Speaker 1: for a while, and then if your home price appreciates

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Speaker 1: faster than average, I would just be like, oh, thank

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Speaker 1: my lucky start.

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Speaker 2: Yeah, yeah, because they tend to appreciate at a slower

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Speaker 2: rate than single family homes as well, So you got

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Speaker 2: to be more you gotta be more patient, And I

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Speaker 2: think you're setting yourself up for disappointment, even for disaster,

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Speaker 2: if you're expecting anything more than that. But so much

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Speaker 2: does depend on your location. And I'm kind of actually

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Speaker 2: surprised to hear John that you mentioned that you don't

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Speaker 2: think your condo has gone up in value much over

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Speaker 2: the past four years, because we have seen outsized price

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Speaker 2: growth across most of the country.

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Speaker 1: Yeah, if you said you bought like a year ago,

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Speaker 1: I'd be like, yeah, maybe not probably.

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Speaker 2: I understand it a year ago, but four years ago,

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Speaker 2: I feel like you should have caught that massive uptick.

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Speaker 2: So I would re visit and just see how accurate

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Speaker 2: those numbers are and just what it's based on, based

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Speaker 2: on what you paid, what other units in your complex

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Speaker 2: are going for, what they've recently sold for. But you

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Speaker 2: you bring up something else as well, which is essentially

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Speaker 2: plateauing or receding rents, and I think that can make

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Speaker 2: it feel like your condo isn't a great investment. And

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Speaker 2: for many landlords it has impinged on their ability to

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Speaker 2: profit from the rental. And in your case, the amount

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Speaker 2: that you're making over and above your mortgage just not

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Speaker 2: surely doesn't sound very life changing. I think he said

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Speaker 2: one hundred bucks more is kind of what he's at.

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Speaker 2: That's what the current rents are pulling in. That's still positive.

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Speaker 2: I want to say that. I want to provide you yes, yeah,

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Speaker 2: you are in the black. And I think with that mind,

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Speaker 2: holding onto the condo over the long term, it could

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Speaker 2: still potentially be a big winner for you if you

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Speaker 2: are willing to stick with it.

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Speaker 1: Yeah, And I think so much comes down to location, right, Matt.

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Speaker 1: When you talk about some of those West Coast cities

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Speaker 1: in particular, the numbers, oftentimes landlords are buying for appreciation purposes,

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Speaker 1: only they're losing money every single month. So the fact

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Speaker 1: that John is making money on the West Coast with

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Speaker 1: an LA condo, think about a place like San Francisco.

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Speaker 1: You can't really hope to buy a place in San

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Speaker 1: Francisco or New York City And like, yeah, he said

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Speaker 1: he's close to the beach, right, Like that sounds pretty

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Speaker 1: dang desirable. Honestly, Maybe that's a big part of it

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Speaker 1: because he's specifically calling out the taxes and the HOA

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Speaker 1: do is maybe this is a building that has like

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Speaker 1: turned things around as far as special assessments, and they're

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Speaker 1: realizing that, Oh man, if we want to make sure

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Speaker 1: this building doesn't like crumble into the ocean or something

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Speaker 1: like that, we're going to need to start setting aside

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Speaker 1: a lot more money to ensure that we're taking care

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Speaker 1: of this building. Maybe that's what's going on here. Yeah,

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Speaker 1: And I would say in a city like Mobile, Alabama,

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Speaker 1: you're investing for cash flow month after month. In a

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Speaker 1: city like Los Angeles or New York City or San Francisco, whatever,

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Speaker 1: big cities like that, Seattle, these.

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Speaker 2: Are attractive places to live.

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Speaker 1: You're probably talking about renting being a landlord more for

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Speaker 1: appreciation over time of that unit. So that's something you

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Speaker 1: need a factor in as well. Yeah, you might not

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Speaker 1: be making much money every month, but hey, you're doing

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Speaker 1: better than a lot of landlords in your similar location

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Speaker 1: would be doing. And you asked about how the interest

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Speaker 1: rate plays into your decision to keep her sell. I

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Speaker 1: think it matters. I think it's it's a check mark

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Speaker 1: in the pro category because a locked in mortgage rate

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Speaker 1: below three percent is almost and I say almost because

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Speaker 1: I can't quite bring myself and Matt to call that

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Speaker 1: an asset, because it's not, because it is a liability

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Speaker 1: in fact, still a debt. It's still a debt from

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Speaker 1: an accounting standpoint. But in today's economic environment it sort

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Speaker 1: of feels like that because it is quota, like the

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Speaker 1: floor has been raised, and it feels like to anything

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Speaker 1: in like the twos and threes percent almost feels like, wait,

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Speaker 1: wait a minute, I'm making money, right, which you kind

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Speaker 1: of are if you've got money in savings and you're

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Speaker 1: not paying down that moreags more quickly, like you're coming

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Speaker 1: out ahead in that spread. Still, I think, again, there

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Speaker 1: are a lot more things to take into consideration, like profitability,

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Speaker 1: what else could you accomplish with the freed up equity,

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Speaker 1: the financial state of your homeowner's association, Matt, which you

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Speaker 1: kind of alluded to well, and then whether or not

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Speaker 1: you like being a landlord. I think that's a really

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Speaker 1: really important thing to think about, and a lot of people.

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Speaker 2: Think that might be the most important thing.

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Speaker 1: Yeah, because we talk about it as a part time job,

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Speaker 1: not just an investment, unlike investing in the stock market,

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Speaker 1: just like tossing money and dollar cross averaging every couple

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Speaker 1: of weeks. And John, you made it sound like the

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Speaker 1: property taxes this giant thorn in your side, which makes

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Speaker 1: me want to say, well, hey, you might want to

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Speaker 1: challenge it if you think it's if it's too high,

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Speaker 1: if it's unfair. Sure, but I'm not sure. It sounds

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Speaker 1: like maybe the overall experience of being a landlord isn't

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Speaker 1: quite your jam either. And if that's the case, and

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Speaker 1: you're like, should I keep doing this just because maybe

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Speaker 1: the numbers might work out a little bit better, I

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Speaker 1: would say probably not. Like, if that's kind of where

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Speaker 1: your head, where your heart's at, you're probably going to

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Speaker 1: be frustrated putting in the effort, and there might be

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Speaker 1: an easier way to build wealth than sticking with this condo.

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Speaker 2: Totally. Yep. It sounds like he's not into it, not

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Speaker 2: just from an emotional standpoint, but like literally in his voice,

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Speaker 2: it just sounds like he's not excited about it, and

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Speaker 2: like there's a certain amount of salesmanship that goes like imagine,

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Speaker 2: for you know, you're out there and you're thinking about

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Speaker 2: going to rent from a place. You show up when

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Speaker 2: they say to show up, and you're getting getting a

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Speaker 2: tour of the place, and they're kind of like, yeah,

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Speaker 2: this is this and this is going on, and they

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Speaker 2: don't seem excited about the place. Yeah, that would be

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Speaker 2: a very different experience than like were I to show

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Speaker 2: up and he's like, well, yeah, here's ol chair's the

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Speaker 2: view it's beautiful. You can actually see the beach. Sunset's amazing.

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Speaker 2: The coffee shop one block over is the best in town. Yeah,

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Speaker 2: here are the amenities that the actual building offers. Like

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Speaker 2: you kind of go, you go through all the different

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Speaker 2: things that are you're not trying to oversell it, but

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Speaker 2: you are trying to tout some of the different benefits

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Speaker 2: that the place has. Literally, I'm in the middle of

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Speaker 2: renovating a bathroom in one of our rental properties. Dude,

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Speaker 2: you better believe when it comes time to show that place,

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Speaker 2: I'm gonna be like, and now check out this brand new,

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Speaker 2: brand new. He's got a new tub in here. Hasn't

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Speaker 2: had a new tub in here for like sixty years.

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Speaker 2: This is a one hundred year old home, fresh tile

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Speaker 2: on the walls, new tile on the ground, new toilet, brand,

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Speaker 2: new plumbing fixtures, yes, chrome, kind of classic, you know.

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Speaker 1: Going have that is a new Japanese toilet mat with

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Speaker 1: the sweep a day. Not going that fancy, but maybe

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Speaker 1: it's easier to clean.

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Speaker 2: I don't know. I'm not gonna go down that path.

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Speaker 2: Clean yourself funny here, But again, not to try to

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Speaker 2: sell a false bill of goods, but to just point

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Speaker 2: out that, like, man, this is something that I am

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Speaker 2: proud of, something that you should be excited about. And

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Speaker 2: I think that excitement and sort of the I even

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Speaker 2: hate saying this, but you want to have the right vibes,

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Speaker 2: you know, because like there is a certain part of

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Speaker 2: it that folks are going to pick up on whether

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Speaker 2: or not you stand behind this property, and you gotta

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Speaker 2: want to do it. You gotta be excited about the

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Speaker 2: actual property. That's I think that could be a bigger

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Speaker 2: part of running out a place and showing a place

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Speaker 2: than many folks would give it credit.

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Speaker 1: Yeah, less, but not least. Just so we're talking about

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Speaker 1: more the vibeish side of things, It's just important to

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Speaker 1: note the potential tax liability side. Of things to the

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Speaker 1: two in fib rule right where if you lived in

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Speaker 1: the conduct for two in the last five years, you're

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Speaker 1: not going to tell on the game that you've seen Again,

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Speaker 1: you made the game sound minimal. I'd go back and

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Speaker 1: take a look at the numbers. Hey, what did I

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Speaker 1: pay for? What is this likely worth?

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Speaker 2: Now?

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Speaker 1: But still you know paying capital gains? Will say on

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Speaker 1: a tax on a gain of thirty grand, that's still

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Speaker 1: thousands of dollars in tax. You can avoid, yeah, man

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Speaker 1: by selling before you reach that deadline, which is a

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Speaker 1: big side. It's not for you.

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Speaker 2: It's a big, big deal, especially if you're only pulling

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Speaker 2: in one hundred more a month. Yeah, in profits.

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Speaker 1: So and the last thing, have a plan for what

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Speaker 1: you're going to do with the money after you cash

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Speaker 1: out at the closing table, right, yeah, because that could

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Speaker 1: be a significant significant sum of money in your lap

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Speaker 1: in one fell swoop and you might be like, oh, yeah,

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Speaker 1: I guess first classic plane tickets to New Zealand are

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Speaker 1: looking really good right now.

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Speaker 2: But they're calling your name.

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Speaker 1: They're selling an investment, and I would assume that you

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Speaker 1: probably want to invest the majority of those dollars in

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Speaker 1: a different way. Probably and you know the easy route

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Speaker 1: in an S and P five hundred fund or total

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Speaker 1: stock mark fund or something like that. So just make

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Speaker 1: sure you're doing the right thing really quickly with that

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Speaker 1: money and not letting it linger or.

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Speaker 2: Tempt you where you're tempted into spending that money. That's right.

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Speaker 2: So John, we hope that get you pointed in the

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Speaker 2: right direction. Joel, we've got more to get to. We're

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Speaker 2: gonna hear from a listener who sounds like he's got

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Speaker 2: a pretty great plan to eliminate some debt and his life.

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Speaker 2: Will hear from him and others right after this.

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Speaker 1: Our Matt, We're more listener questions to hit up. Let's

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Speaker 1: get to a question now about my account. You and

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Speaker 1: I have touched on before, but rarely it's a good one.

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Speaker 5: Him and Joel. This is Jennifer from South Carolina. Loved

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Speaker 5: the show and I had a quick question for you.

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Speaker 5: My husband and I have four boys that range from

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Speaker 5: ages fourteen to three. Our ten year old has severe

434
00:19:45,359 --> 00:19:47,760
Speaker 5: special needs, so we know that we will be caring

435
00:19:47,800 --> 00:19:51,959
Speaker 5: for him the remainder of our life. My questions relate

436
00:19:52,040 --> 00:19:54,840
Speaker 5: to what we should be doing now to help save

437
00:19:54,920 --> 00:19:58,879
Speaker 5: for that. We have retirement planned. My husband has a

438
00:19:58,920 --> 00:20:02,800
Speaker 5: four oh one K through his employer. We fully fund

439
00:20:02,800 --> 00:20:06,760
Speaker 5: a WROTH and we have an HSA plan. We have

440
00:20:06,800 --> 00:20:08,840
Speaker 5: set up five twenty nine plans for our kids when

441
00:20:08,840 --> 00:20:11,560
Speaker 5: they were born, and we contribute a small amount each month.

442
00:20:12,680 --> 00:20:17,720
Speaker 5: We were considering pausing the contribution to our ten year

443
00:20:17,720 --> 00:20:20,879
Speaker 5: old and rolling his into an able plan through the state,

444
00:20:21,520 --> 00:20:25,240
Speaker 5: but wasn't sure what your thoughts on that were. Also

445
00:20:25,359 --> 00:20:27,520
Speaker 5: thought maybe I should just contribute to the five twenty

446
00:20:27,600 --> 00:20:29,639
Speaker 5: nine and roll it into a WROTH when I allowed

447
00:20:29,640 --> 00:20:33,440
Speaker 5: to do that. We also have a special needs to

448
00:20:33,440 --> 00:20:35,879
Speaker 5: trust set up as part of our essay plan in

449
00:20:35,920 --> 00:20:37,480
Speaker 5: case something were to happen to my husband and that

450
00:20:38,720 --> 00:20:41,719
Speaker 5: anything else that you know of or can think of

451
00:20:41,840 --> 00:20:45,280
Speaker 5: that would help us would be greatly appreciated. Thanks so much, Gus.

452
00:20:45,600 --> 00:20:49,240
Speaker 2: All right, Jennifer, first off, amazing job doing everything that

453
00:20:49,280 --> 00:20:52,199
Speaker 2: you can now in order to ensure that you are

454
00:20:52,240 --> 00:20:55,560
Speaker 2: setting your son and honestly others who might be involved

455
00:20:55,560 --> 00:20:59,040
Speaker 2: with helping to take care of him, for less stress

456
00:20:59,119 --> 00:21:01,240
Speaker 2: off in the future. Right, So you're kind of you're

457
00:21:01,280 --> 00:21:03,480
Speaker 2: front loading that sacrifice now in order to not have

458
00:21:03,520 --> 00:21:05,800
Speaker 2: to worry about this as much later down the road,

459
00:21:06,080 --> 00:21:08,120
Speaker 2: And specifically, I want to talk about the special needs

460
00:21:08,119 --> 00:21:11,800
Speaker 2: trust that you mentioned. For folks out there, this is

461
00:21:11,960 --> 00:21:14,359
Speaker 2: really important because if you have a loved one with

462
00:21:14,400 --> 00:21:18,400
Speaker 2: a disability, chances are they rely on different government benefits

463
00:21:18,400 --> 00:21:22,359
Speaker 2: like Medicaid or Social Security income. Well, those programs are

464
00:21:22,359 --> 00:21:25,840
Speaker 2: super strict about how much money or assets someone can have.

465
00:21:25,920 --> 00:21:28,520
Speaker 2: And so if you were to just you mentioned you

466
00:21:28,720 --> 00:21:30,240
Speaker 2: set this up in case something happens to you and

467
00:21:30,240 --> 00:21:34,960
Speaker 2: your husband. Let's say that terrible thing happens and we're

468
00:21:35,320 --> 00:21:38,800
Speaker 2: your son to just inherit that cash, right, or if

469
00:21:38,920 --> 00:21:40,960
Speaker 2: let's just say you were to hand them that cash directly,

470
00:21:41,720 --> 00:21:45,000
Speaker 2: you might accidentally knock him off that very support that

471
00:21:45,040 --> 00:21:46,159
Speaker 2: he is depending on.

472
00:21:46,119 --> 00:21:48,399
Speaker 1: All of a sudden, not qualified anymore for some of

473
00:21:48,400 --> 00:21:50,120
Speaker 1: those benefits, so he's used to exactly.

474
00:21:50,240 --> 00:21:52,439
Speaker 2: Yeah, So a special needs trust it fixes that. It

475
00:21:52,520 --> 00:21:56,639
Speaker 2: lets you set money aside for their future without messing

476
00:21:56,760 --> 00:21:59,520
Speaker 2: up their benefits. And the trust can cover things like

477
00:21:59,560 --> 00:22:03,199
Speaker 2: their edge, education, different therapies, but also even fun stuff

478
00:22:03,320 --> 00:22:06,639
Speaker 2: like travel or hobbies as well. It doesn't have to

479
00:22:06,680 --> 00:22:11,959
Speaker 2: be purely disability related. Uh. And of course I'm certainly

480
00:22:11,960 --> 00:22:13,399
Speaker 2: glad to hear that you are taking care of all

481
00:22:13,440 --> 00:22:17,200
Speaker 2: of your future investing needs already as well. The four

482
00:22:17,480 --> 00:22:19,760
Speaker 2: four one K, you got the ross. You're even taking

483
00:22:19,760 --> 00:22:24,440
Speaker 2: advantage of the triple slash quadruple tax advantage. HSA, y'all.

484
00:22:24,480 --> 00:22:26,280
Speaker 2: It sounds like y'all are knocking it out of the

485
00:22:26,320 --> 00:22:28,440
Speaker 2: park on a lot of different accounts here.

486
00:22:28,480 --> 00:22:30,640
Speaker 1: Not easy to do, Matt, It's not easy to do that,

487
00:22:30,760 --> 00:22:33,040
Speaker 1: Like check the d all the above box. But that's

488
00:22:33,040 --> 00:22:35,480
Speaker 1: what's four boys, right? We were just joking, right, four

489
00:22:35,600 --> 00:22:37,199
Speaker 1: not just It's not like you're just saving for the

490
00:22:37,200 --> 00:22:39,280
Speaker 1: one with especially, it's like you've got other kids to

491
00:22:39,320 --> 00:22:42,080
Speaker 1: get your own retirement to think about, Like that's that's

492
00:22:42,119 --> 00:22:43,360
Speaker 1: just uh, that's hard work.

493
00:22:43,480 --> 00:22:45,240
Speaker 2: Boys are a lot. We were just joking about how

494
00:22:45,359 --> 00:22:47,200
Speaker 2: a friend of ours has three boys. I'm like, could

495
00:22:47,200 --> 00:22:51,400
Speaker 2: you imagine him with one more? It's uh, I feel

496
00:22:51,400 --> 00:22:52,800
Speaker 2: like sometimes it can be crazy.

497
00:22:52,600 --> 00:22:54,600
Speaker 1: Enough you have even more bruises on a shin, you

498
00:22:54,640 --> 00:22:57,840
Speaker 1: know exactly, Jeffer. I love that you're considering an ABLE

499
00:22:57,880 --> 00:23:00,439
Speaker 1: plan too. I mean these were established almost exact a

500
00:23:00,480 --> 00:23:05,600
Speaker 1: decade ago, and their special savings accounts specifically intended for

501
00:23:05,640 --> 00:23:08,560
Speaker 1: disabled people. And we'll talk about the benefits for your son,

502
00:23:09,000 --> 00:23:11,080
Speaker 1: but ABLE accounts are this cousin of the five to

503
00:23:11,080 --> 00:23:13,760
Speaker 1: twenty nine plants. You'll see those kind of interchangeably. Sometimes

504
00:23:13,760 --> 00:23:16,080
Speaker 1: of five twenty nine. Able is what you might hear called,

505
00:23:16,359 --> 00:23:18,440
Speaker 1: which means you're going to get a state tax deduction

506
00:23:18,840 --> 00:23:22,159
Speaker 1: on contributions you make up to a certain threshold in

507
00:23:22,200 --> 00:23:25,240
Speaker 1: some states. And so similar to a special needs trust,

508
00:23:25,240 --> 00:23:29,359
Speaker 1: an able account for disabled folks and their families allows

509
00:23:29,359 --> 00:23:32,360
Speaker 1: them to save and invest without jeopardizing those state and

510
00:23:31,840 --> 00:23:36,080
Speaker 1: federal benefits, many of which get reduced if your child

511
00:23:36,119 --> 00:23:38,320
Speaker 1: has a certain amount of income in his or her name.

512
00:23:38,440 --> 00:23:41,040
Speaker 1: So yeah, kind of like you're referring to Matt, like,

513
00:23:41,080 --> 00:23:44,440
Speaker 1: there's this possibility that you exceed some of those and

514
00:23:44,720 --> 00:23:47,440
Speaker 1: a lot of those limits are super small, so it's

515
00:23:47,480 --> 00:23:49,880
Speaker 1: not like, oh, my kids make If your kids starts

516
00:23:49,920 --> 00:23:52,720
Speaker 1: making fifty grand a year, they and all likely don't

517
00:23:52,760 --> 00:23:54,840
Speaker 1: qualify for many of those benefits. Or if they're given

518
00:23:54,920 --> 00:23:58,200
Speaker 1: a certain sum of money that's that's meaningful, same thing,

519
00:23:58,600 --> 00:24:00,520
Speaker 1: and all you need to qualify. The way for an

520
00:24:00,560 --> 00:24:02,880
Speaker 1: able account to be able to save and invest for

521
00:24:03,280 --> 00:24:06,040
Speaker 1: your son's future is a doctor's letter stating that your

522
00:24:06,119 --> 00:24:08,879
Speaker 1: child became disabled before the age of twenty six. If

523
00:24:09,040 --> 00:24:10,960
Speaker 1: you meet that requirement, if your doctor's willing to write

524
00:24:10,960 --> 00:24:14,160
Speaker 1: that letter, then you're good to go. Like able account

525
00:24:14,320 --> 00:24:16,320
Speaker 1: is open and available to you.

526
00:24:16,440 --> 00:24:20,000
Speaker 2: That's right. Yeah, and we are not attorneys. Should we start,

527
00:24:20,119 --> 00:24:23,520
Speaker 2: like every podcast with agile that we are not paid

528
00:24:23,800 --> 00:24:26,520
Speaker 2: tax professionals and do not listen to our tax and

529
00:24:26,560 --> 00:24:30,560
Speaker 2: investing advice. But with a enable account, you do. Those

530
00:24:30,600 --> 00:24:33,960
Speaker 2: funds are typically ear are are earmarked more specifically for

531
00:24:34,400 --> 00:24:37,879
Speaker 2: expenses that relate to his disability, so keep that in mind.

532
00:24:37,920 --> 00:24:39,960
Speaker 2: But similar to a five twenty nine plan, you can

533
00:24:39,960 --> 00:24:43,520
Speaker 2: invest those dollars for your child as well, so you're

534
00:24:43,560 --> 00:24:46,800
Speaker 2: not just saving money there within that able account, you're

535
00:24:46,800 --> 00:24:49,280
Speaker 2: investing those funds and just like we do.

536
00:24:49,280 --> 00:24:52,040
Speaker 1: For our kids when it comes to future education costs.

537
00:24:52,119 --> 00:24:55,840
Speaker 2: Exactly. Yeah, man, I've got that fully invested in stocks,

538
00:24:55,880 --> 00:24:59,000
Speaker 2: the most aggressive of my investment options because I got

539
00:24:59,080 --> 00:25:01,560
Speaker 2: years and years down the d The beautiful part is

540
00:25:01,600 --> 00:25:04,360
Speaker 2: that the funds grow tax free. So since your son

541
00:25:04,480 --> 00:25:07,240
Speaker 2: is ten years old, you might not be looking to

542
00:25:07,280 --> 00:25:10,119
Speaker 2: spend able dollars anytime soon, but when you get closer

543
00:25:10,119 --> 00:25:11,760
Speaker 2: to that point that you do want him to have

544
00:25:12,080 --> 00:25:15,840
Speaker 2: spending access to his account, consider pivoting towards some different

545
00:25:16,359 --> 00:25:19,560
Speaker 2: conservative options there for him. Again, sounds like you're a

546
00:25:19,600 --> 00:25:22,360
Speaker 2: ways off, but keep that in mind. But these accounts,

547
00:25:22,400 --> 00:25:24,480
Speaker 2: they do come with a debit card that's attached to him,

548
00:25:24,840 --> 00:25:27,280
Speaker 2: and so when he's ready to start spending, when he

549
00:25:27,280 --> 00:25:30,359
Speaker 2: has a little more autonomy. If that's a position you

550
00:25:30,359 --> 00:25:32,639
Speaker 2: find yourself in, it'll make things a little bit easier

551
00:25:32,720 --> 00:25:34,520
Speaker 2: to access as well.

552
00:25:34,920 --> 00:25:37,120
Speaker 1: And the cool thing is other people can make gifts

553
00:25:37,200 --> 00:25:39,080
Speaker 1: to your child's able account.

554
00:25:38,840 --> 00:25:42,000
Speaker 2: Too, So again not unlike a five twenty nine right you.

555
00:25:42,000 --> 00:25:45,440
Speaker 1: Might say, oh, this is great, Actually, you might find

556
00:25:45,440 --> 00:25:49,960
Speaker 1: that grandparents or close family members are also willing and

557
00:25:50,040 --> 00:25:53,720
Speaker 1: interested in helping to stash money into disabled account for

558
00:25:53,800 --> 00:25:55,879
Speaker 1: your son as well. You got generous family members, make

559
00:25:55,920 --> 00:25:58,680
Speaker 1: sure you let them know. And then also just there's

560
00:25:58,800 --> 00:26:01,680
Speaker 1: a lot of fine print this stuff, so make sure

561
00:26:01,680 --> 00:26:04,240
Speaker 1: you dig in and know the details. Like Social Security benefits.

562
00:26:04,320 --> 00:26:07,720
Speaker 1: SSI benefits can be suspended after hitting the one hundred

563
00:26:07,720 --> 00:26:10,959
Speaker 1: thousand dollars threshold in your able account, So a lot

564
00:26:11,000 --> 00:26:14,320
Speaker 1: of people suspend contributions and they start spending down some

565
00:26:14,440 --> 00:26:16,879
Speaker 1: of that balance once they reach that point to not

566
00:26:16,920 --> 00:26:19,560
Speaker 1: put those benefits in jeopardy. By the way, you can

567
00:26:19,600 --> 00:26:21,880
Speaker 1: do an able account and a five twenty nine plan,

568
00:26:22,280 --> 00:26:23,920
Speaker 1: which you could later roll some of those five twenty

569
00:26:24,000 --> 00:26:26,240
Speaker 1: nine dollars into a roth IRA. If you want to

570
00:26:26,280 --> 00:26:28,720
Speaker 1: do even more to invest for his future, that would

571
00:26:28,720 --> 00:26:30,560
Speaker 1: be impressive. Again, you're doing a whole lot for your

572
00:26:30,560 --> 00:26:34,000
Speaker 1: own future. Got four boys saving disabled account. But if

573
00:26:34,000 --> 00:26:35,680
Speaker 1: that's something, if you're like, we want to do even

574
00:26:35,720 --> 00:26:37,440
Speaker 1: more like you, that's on the table.

575
00:26:37,240 --> 00:26:40,159
Speaker 2: As well, yeah, or even switching things up. So if

576
00:26:40,200 --> 00:26:42,640
Speaker 2: you and it partly depends on your focus as well.

577
00:26:43,080 --> 00:26:45,040
Speaker 2: I think if it was me, I would be focusing

578
00:26:45,040 --> 00:26:47,600
Speaker 2: on the able account if you are looking to supplement

579
00:26:47,720 --> 00:26:49,840
Speaker 2: sort of the day to day expenses sort of thing.

580
00:26:50,400 --> 00:26:53,520
Speaker 2: But if higher education is in his future, okay, well

581
00:26:53,520 --> 00:26:55,119
Speaker 2: that's what the five twenty nine is for, and so

582
00:26:55,200 --> 00:27:00,280
Speaker 2: the ability to use that account specifically for what it's designed.

583
00:26:59,880 --> 00:27:02,960
Speaker 1: For, or even especially school that's not college right before

584
00:27:03,080 --> 00:27:06,359
Speaker 1: yeah through twelve education that private education, Yeah exactly, So

585
00:27:06,480 --> 00:27:08,600
Speaker 1: keep that in mind too, because I mean, it's not

586
00:27:08,640 --> 00:27:10,520
Speaker 1: an unlimited amount of money that you can roll over

587
00:27:10,680 --> 00:27:11,639
Speaker 1: into the roth I rate.

588
00:27:11,760 --> 00:27:13,600
Speaker 2: So I think I would be focusing on the able

589
00:27:13,640 --> 00:27:18,240
Speaker 2: given these specific circumstances. Knowing that. Okay, there's a little

590
00:27:18,240 --> 00:27:21,080
Speaker 2: bit of additional room, some more margin over there within

591
00:27:21,119 --> 00:27:23,560
Speaker 2: the five twenty nine, knowing that if he doesn't go

592
00:27:23,640 --> 00:27:26,720
Speaker 2: off to higher ad, you got thirty five thousand over

593
00:27:26,720 --> 00:27:29,040
Speaker 2: there that you can transfer over to a roth, which

594
00:27:29,080 --> 00:27:31,840
Speaker 2: of course you can use for any purpose. But Jennifer,

595
00:27:31,840 --> 00:27:35,120
Speaker 2: we hope that gives you some some food for thought. Joel.

596
00:27:35,160 --> 00:27:38,040
Speaker 2: Let's hear from our next listener. Let's hear from Mike,

597
00:27:38,160 --> 00:27:40,280
Speaker 2: and it sounds like he's got a pretty dang good

598
00:27:40,280 --> 00:27:42,800
Speaker 2: plan to eliminate some debt in his life.

599
00:27:43,280 --> 00:27:47,200
Speaker 3: Hello, I have a question for you on credit card debt.

600
00:27:48,440 --> 00:27:52,080
Speaker 3: I have about fifty thousand dollars in credit card debt

601
00:27:52,320 --> 00:27:56,400
Speaker 3: at a pretty high rate twenty two percent. I can

602
00:27:56,480 --> 00:28:00,960
Speaker 3: have access to a line of credit it's one percent

603
00:28:01,040 --> 00:28:05,840
Speaker 3: for six months that I could pay off the credit

604
00:28:05,880 --> 00:28:10,320
Speaker 3: card debt. But I can't decide which is better just

605
00:28:10,359 --> 00:28:12,639
Speaker 3: to keep it on the credit cards and pay it

606
00:28:12,680 --> 00:28:16,639
Speaker 3: off in six months, or would I be paying less

607
00:28:16,680 --> 00:28:19,200
Speaker 3: interest on the line of credit that is one percent

608
00:28:19,280 --> 00:28:20,359
Speaker 3: for six months.

609
00:28:20,920 --> 00:28:23,159
Speaker 1: All Right, Matt, I just gotta know, I feel like

610
00:28:23,200 --> 00:28:26,520
Speaker 1: this could be a yes or a noll answer. Sure

611
00:28:26,560 --> 00:28:28,760
Speaker 1: it could be, but there's plenty more to talk about here.

612
00:28:28,800 --> 00:28:31,880
Speaker 1: This makes me wonder how Mike is getting a one

613
00:28:31,920 --> 00:28:34,720
Speaker 1: percent line of credit that that sounds too good to

614
00:28:34,720 --> 00:28:36,760
Speaker 1: be true, and it makes me think that he's got

615
00:28:36,760 --> 00:28:39,480
Speaker 1: some organs that he's like signed away as collateral.

616
00:28:39,520 --> 00:28:42,200
Speaker 2: P Yeah, they're going to come after his Yeah, is this.

617
00:28:42,280 --> 00:28:44,160
Speaker 1: Like mafia related loan that you're taking out?

618
00:28:44,200 --> 00:28:45,760
Speaker 2: Like take out his knees man.

619
00:28:45,880 --> 00:28:48,680
Speaker 1: Even an awesome local credit union probably doesn't have rates

620
00:28:48,760 --> 00:28:52,280
Speaker 1: quite that good. So I am curious because Mike, if

621
00:28:52,280 --> 00:28:54,720
Speaker 1: you really do have access to one percent line of

622
00:28:54,760 --> 00:28:56,000
Speaker 1: credit debt debt at that.

623
00:28:56,040 --> 00:28:58,160
Speaker 2: Rate, fill me in. I want to know.

624
00:28:58,240 --> 00:29:00,480
Speaker 1: Yeah, I'm done to take some of that out as well.

625
00:29:00,560 --> 00:29:02,520
Speaker 2: Yeah, this is speculation, but I wonder if it's like

626
00:29:02,560 --> 00:29:04,760
Speaker 2: a family member, you know, like somebody who's just like, hey,

627
00:29:04,760 --> 00:29:07,520
Speaker 2: I see what you're doing. Let's uh, maybe there's some

628
00:29:07,560 --> 00:29:09,040
Speaker 2: of that going on, because that could be I mean,

629
00:29:09,080 --> 00:29:12,400
Speaker 2: like you said, I can't remember the last time. I

630
00:29:12,440 --> 00:29:15,640
Speaker 2: mean I don't. I don't think helock even helock rates right, like,

631
00:29:15,680 --> 00:29:18,160
Speaker 2: I'm thinking about that. No, Like I'm thinking about the

632
00:29:18,160 --> 00:29:21,680
Speaker 2: Great Recession, and that's when rates were basically O two's

633
00:29:21,840 --> 00:29:25,080
Speaker 2: and at all time lows at least in my lifetime. Yeah, well,

634
00:29:25,160 --> 00:29:26,720
Speaker 2: speaking of that, I mean, we recently talked about the

635
00:29:26,760 --> 00:29:29,760
Speaker 2: downsides of turning credit card debt into a helock, and

636
00:29:30,040 --> 00:29:32,400
Speaker 2: so I think there were some similarities maybe here, because

637
00:29:32,400 --> 00:29:34,560
Speaker 2: you're just you're taking non secure debt, you're turning it

638
00:29:34,600 --> 00:29:37,320
Speaker 2: into secure debt, and then not paying your home equity

639
00:29:37,360 --> 00:29:39,680
Speaker 2: line of credit comes with bigger consequences than not paying

640
00:29:39,680 --> 00:29:42,120
Speaker 2: your credit card bills. So it's not just the interest rate,

641
00:29:42,200 --> 00:29:45,520
Speaker 2: is the terms and what you're putting up as collateral,

642
00:29:45,720 --> 00:29:48,600
Speaker 2: like whether it's vital organs, right, Like, you just have

643
00:29:48,680 --> 00:29:52,400
Speaker 2: to be careful about what you're signing up for because yeah,

644
00:29:52,600 --> 00:29:55,240
Speaker 2: there are typically trade offs when you're exchanging one debt

645
00:29:55,240 --> 00:29:56,640
Speaker 2: for another. You need to know what the tradeoffs are.

646
00:29:56,680 --> 00:29:59,160
Speaker 2: You need to know what the possible downsides might be.

647
00:29:59,760 --> 00:30:02,600
Speaker 2: War are you to not pay off that full amount

648
00:30:02,920 --> 00:30:04,920
Speaker 2: in six months time? You know, like, yeah, it starts

649
00:30:04,920 --> 00:30:06,959
Speaker 2: out at one, but then does it shoot to one

650
00:30:07,040 --> 00:30:08,400
Speaker 2: hundred per Yeah?

651
00:30:08,480 --> 00:30:10,920
Speaker 1: Like the like this is yeah, this is a this

652
00:30:11,000 --> 00:30:13,200
Speaker 1: is an interest rate for the first three months, and

653
00:30:13,240 --> 00:30:15,480
Speaker 1: then after that it shoots up dramatically. It's like a

654
00:30:15,480 --> 00:30:16,320
Speaker 1: pay day loan of sorts.

655
00:30:16,320 --> 00:30:18,400
Speaker 2: Who knows well yeah, it did sound like he's kind

656
00:30:18,400 --> 00:30:20,600
Speaker 2: of got like that introductory rate perhaps for six months.

657
00:30:20,600 --> 00:30:23,520
Speaker 2: But well, let's address that, because I think it's amazing

658
00:30:24,000 --> 00:30:26,320
Speaker 2: that he's going to be able to pay off this

659
00:30:26,480 --> 00:30:28,760
Speaker 2: much debt in that short of a period of time.

660
00:30:28,960 --> 00:30:32,360
Speaker 2: Like for most folks he said, fifty thousand dollars man, Yeah,

661
00:30:32,400 --> 00:30:35,400
Speaker 2: like that much debt would take years to eradicate I

662
00:30:35,440 --> 00:30:37,800
Speaker 2: think for most folks, and that's often because it took

663
00:30:37,800 --> 00:30:41,240
Speaker 2: them years to actually accumulate that debt as well. It

664
00:30:41,280 --> 00:30:45,200
Speaker 2: does make me think that Mike has a reasonably high

665
00:30:45,200 --> 00:30:48,120
Speaker 2: income and maybe he's just found a way to slash

666
00:30:48,160 --> 00:30:52,240
Speaker 2: expenses pretty significantly. Sometimes you are just you're turning a

667
00:30:52,240 --> 00:30:54,520
Speaker 2: blind eye to kind of what the left hand is

668
00:30:54,520 --> 00:30:56,240
Speaker 2: doing over here. You just focus on the right hand.

669
00:30:56,480 --> 00:30:58,840
Speaker 2: Let's just focus on all the spending. But they wake

670
00:30:58,920 --> 00:31:00,320
Speaker 2: up and you get that like, wait a minute, this

671
00:31:00,480 --> 00:31:01,440
Speaker 2: is crazy.

672
00:31:01,600 --> 00:31:04,080
Speaker 1: Yeah, fire ald under your butt, and you're like, let's

673
00:31:04,080 --> 00:31:05,120
Speaker 1: go exactly.

674
00:31:05,400 --> 00:31:09,440
Speaker 2: Yeah. So hopefully Mike is able to maintain that frame

675
00:31:09,480 --> 00:31:12,640
Speaker 2: of mind, that state of mind even after he eradicates

676
00:31:12,680 --> 00:31:15,320
Speaker 2: that that credit card debt, where he's able to save

677
00:31:15,400 --> 00:31:18,680
Speaker 2: and invest, and that's just gonna seriously allow him to

678
00:31:18,800 --> 00:31:21,080
Speaker 2: ramp up his wealth down the road, you know, a

679
00:31:21,080 --> 00:31:24,600
Speaker 2: couple of years with that sort of singular focus, where okay,

680
00:31:24,800 --> 00:31:27,520
Speaker 2: I mean fifty k six months, you're looking at one hundred,

681
00:31:27,680 --> 00:31:30,560
Speaker 2: like close to six digits that he might be able

682
00:31:30,600 --> 00:31:33,520
Speaker 2: to just dispend, like do what he chooses to.

683
00:31:33,640 --> 00:31:34,760
Speaker 1: A swing net worth.

684
00:31:34,880 --> 00:31:38,840
Speaker 2: Oh my goodness. Yeah, that is a fantastic position to

685
00:31:38,840 --> 00:31:41,120
Speaker 2: find yourself in, Mike, if you're able to kind of

686
00:31:41,160 --> 00:31:44,000
Speaker 2: hold the course even after you eliminate that debt.

687
00:31:44,040 --> 00:31:46,200
Speaker 1: I think to that specific question, like would I rather

688
00:31:46,240 --> 00:31:48,320
Speaker 1: pay one percent interest on a balance that large than

689
00:31:48,360 --> 00:31:51,520
Speaker 1: twenty two percent? Yeah, I think I would, right, I mean,

690
00:31:51,760 --> 00:31:53,080
Speaker 1: and I don't think we're alone in that. I mean,

691
00:31:53,120 --> 00:31:56,720
Speaker 1: reducing your interest rate. It can be a really beneficial

692
00:31:56,720 --> 00:31:59,240
Speaker 1: thing when it comes to speedy debt payoff. But again,

693
00:31:59,320 --> 00:32:00,960
Speaker 1: the trade off. You got to be aware of the terms.

694
00:32:01,800 --> 00:32:04,280
Speaker 1: If you're attentive, it can work in your favorite Just

695
00:32:04,320 --> 00:32:07,040
Speaker 1: like Matt, we talk about balance transfer credit cards. Those

696
00:32:07,080 --> 00:32:10,040
Speaker 1: can be a really helpful thing for people who are

697
00:32:10,040 --> 00:32:12,480
Speaker 1: incredibly motivated to pay off their debt, and it could

698
00:32:12,480 --> 00:32:14,480
Speaker 1: take them from a twenty two percent interest rate. Hey, yeah,

699
00:32:14,520 --> 00:32:16,720
Speaker 1: they pay the three percent transfer fee or something like that,

700
00:32:16,960 --> 00:32:20,880
Speaker 1: but then they have potentially eighteen months at zero percent

701
00:32:20,920 --> 00:32:23,760
Speaker 1: interest to fully eradicate that debt. And it's going to

702
00:32:23,760 --> 00:32:26,200
Speaker 1: be really helpful, it's going to accelerate the process. But

703
00:32:27,480 --> 00:32:29,840
Speaker 1: you just again have to be aware of your own

704
00:32:30,160 --> 00:32:34,440
Speaker 1: human fallibility, because there's a chance you keep that other

705
00:32:34,440 --> 00:32:36,440
Speaker 1: credit card around, start spending on it again. Now you've

706
00:32:36,480 --> 00:32:38,640
Speaker 1: got you've got more credit card debt than you started with,

707
00:32:38,680 --> 00:32:41,560
Speaker 1: and then that lovely zero percent interest rate runs out

708
00:32:41,560 --> 00:32:43,960
Speaker 1: and you're up the creek, right, So be careful. And

709
00:32:44,400 --> 00:32:48,560
Speaker 1: for instance, with Mike's question here, we're talking over the

710
00:32:48,560 --> 00:32:50,600
Speaker 1: course of six months, he pay more than five thousand

711
00:32:50,640 --> 00:32:54,400
Speaker 1: dollars extra in interest alone if he's stuck with the

712
00:32:54,400 --> 00:32:56,320
Speaker 1: twenty two percent loan versus the one percent loan.

713
00:32:56,600 --> 00:32:58,600
Speaker 2: If you don't want that five k, Mike, just send

714
00:32:58,640 --> 00:33:00,720
Speaker 2: it over to the amonom money quarters.

715
00:33:01,240 --> 00:33:03,120
Speaker 1: And that's just a ton of money obviously that he

716
00:33:03,160 --> 00:33:07,800
Speaker 1: could keep in his pocket instead. And the downside is, hey,

717
00:33:07,800 --> 00:33:10,200
Speaker 1: you don't change your ways. Similar to the balance transfer

718
00:33:10,280 --> 00:33:13,400
Speaker 1: thing I just mentioned, you don't pay either of these

719
00:33:13,440 --> 00:33:15,840
Speaker 1: loans off with vigor, they both begin to grow again.

720
00:33:16,320 --> 00:33:18,480
Speaker 1: And this is just the situation so many people find

721
00:33:18,520 --> 00:33:21,920
Speaker 1: themselves in they're trying to be crafty and shift deck

722
00:33:22,000 --> 00:33:24,480
Speaker 1: chairs around on the Titanic, but the whole ship is sinking,

723
00:33:24,480 --> 00:33:27,600
Speaker 1: and so you've got to really fix the leak before

724
00:33:28,040 --> 00:33:31,320
Speaker 1: you even kind of concentrate, I guess on the better

725
00:33:31,360 --> 00:33:34,040
Speaker 1: debt vehicle for you, because if you don't fix the

726
00:33:34,320 --> 00:33:35,840
Speaker 1: problem that led to the debt in the first place,

727
00:33:36,080 --> 00:33:38,880
Speaker 1: then you're just you're following a misplaced priority.

728
00:33:39,000 --> 00:33:41,640
Speaker 2: Totally agree, yep. I think this is where it's going

729
00:33:41,720 --> 00:33:43,440
Speaker 2: to be important for Mike to do some soul searching

730
00:33:43,520 --> 00:33:46,880
Speaker 2: and to figure out what behavioral tendencies that he had

731
00:33:46,920 --> 00:33:49,080
Speaker 2: that got him to this place in the first place.

732
00:33:49,360 --> 00:33:51,240
Speaker 2: This is I mean, this is a part of just

733
00:33:51,440 --> 00:33:53,239
Speaker 2: you know, let's take it a second here to talk

734
00:33:53,280 --> 00:33:55,760
Speaker 2: about credit cards, because we love using credit cards, Like

735
00:33:55,800 --> 00:33:59,600
Speaker 2: there are awesome benefits that you receive by keeping up

736
00:33:59,640 --> 00:34:01,080
Speaker 2: with that, but when you don't keep up with it

737
00:34:01,120 --> 00:34:03,480
Speaker 2: and when you are over spending, it can come back

738
00:34:03,720 --> 00:34:05,880
Speaker 2: and bite you, bite you in the butt. It makes

739
00:34:05,920 --> 00:34:08,520
Speaker 2: me even when it consider like those behavioral tendencies are

740
00:34:08,560 --> 00:34:10,640
Speaker 2: what trip us up so oftentimes, and a lot of

741
00:34:10,640 --> 00:34:13,040
Speaker 2: times you hear it talked about in regards to investing,

742
00:34:13,640 --> 00:34:15,719
Speaker 2: people getting in and out of the market. They get

743
00:34:15,800 --> 00:34:18,800
Speaker 2: kind of freaked out by the gyrations terrorists, whether or

744
00:34:18,840 --> 00:34:21,080
Speaker 2: not they're legal or not. Well, you know, what's the

745
00:34:21,280 --> 00:34:22,640
Speaker 2: What are the supreme is going to do? I don't

746
00:34:22,680 --> 00:34:26,560
Speaker 2: know me personally, I feel like I've gotten the behavioral

747
00:34:26,560 --> 00:34:30,360
Speaker 2: elements from an investing standpoint, kind of licked like over

748
00:34:31,080 --> 00:34:33,880
Speaker 2: over decades now, multiple decades of investing in the market.

749
00:34:33,920 --> 00:34:35,799
Speaker 2: I feel like I've proven to myself that that doesn't

750
00:34:35,800 --> 00:34:38,279
Speaker 2: spook me at all. If anything, if the market dips

751
00:34:38,280 --> 00:34:40,080
Speaker 2: a little bit, I'm like trying to find ways to

752
00:34:40,120 --> 00:34:41,799
Speaker 2: maybe throw a little more money in the market while

753
00:34:41,800 --> 00:34:42,359
Speaker 2: it's on sale.

754
00:34:42,440 --> 00:34:46,160
Speaker 1: Selling your kids used toys, Let's let's do it.

755
00:34:46,200 --> 00:34:49,080
Speaker 2: Let's clean house. Yeah, little garage shale, little yard sale.

756
00:34:49,160 --> 00:34:51,200
Speaker 2: Take some extra money, let's shove it in the market.

757
00:34:51,440 --> 00:34:54,759
Speaker 2: But from a spending standpoint, this is something I keep

758
00:34:54,760 --> 00:34:58,040
Speaker 2: thinking about more and more. How is the fact that

759
00:34:58,080 --> 00:34:59,919
Speaker 2: I'm spending on a credit card? How does that allow

760
00:35:00,160 --> 00:35:03,600
Speaker 2: me to maybe overspend in ways that were I parting

761
00:35:03,680 --> 00:35:07,480
Speaker 2: with actual cash that I would be second guessing. I'm like,

762
00:35:07,800 --> 00:35:09,480
Speaker 2: how much less would I spend? For instance, if Kate

763
00:35:09,520 --> 00:35:11,120
Speaker 2: and I were to go out to eat, if I'm

764
00:35:11,120 --> 00:35:13,400
Speaker 2: pulling out my wallet and I'm parting with the actual

765
00:35:13,600 --> 00:35:15,840
Speaker 2: actual bills. When I go to the grocery store, I'm

766
00:35:15,840 --> 00:35:18,279
Speaker 2: gonna have to fork over twenties and hundreds. Like that

767
00:35:18,320 --> 00:35:22,240
Speaker 2: feels different to you rather than just getting the phone.

768
00:35:22,840 --> 00:35:25,480
Speaker 2: And it's so satisfying just to do the tap to

769
00:35:25,520 --> 00:35:28,440
Speaker 2: pay because it's got a nice little chime. It beeps

770
00:35:28,440 --> 00:35:31,560
Speaker 2: at you like, hey, way to go. You did it.

771
00:35:31,719 --> 00:35:35,000
Speaker 2: Sometimes it's tricky to tap your phone, but you're a pro.

772
00:35:35,080 --> 00:35:36,920
Speaker 2: I mean, you know how to do it. It rewards

773
00:35:36,960 --> 00:35:39,239
Speaker 2: you to spend, you know, using the credit card. The

774
00:35:39,280 --> 00:35:42,960
Speaker 2: actual devices themselves encourage spending. And so I'm just pointing

775
00:35:43,000 --> 00:35:45,279
Speaker 2: out that, like I'm even thinking through maybe there are

776
00:35:45,320 --> 00:35:47,360
Speaker 2: ways that I could kind of tighten up our budget,

777
00:35:47,440 --> 00:35:49,160
Speaker 2: kind of rain in our spending a little bit, because

778
00:35:49,160 --> 00:35:52,120
Speaker 2: that's one where I'm not totally sure how much leashould

779
00:35:52,120 --> 00:35:54,120
Speaker 2: we've given ourselves to spend more than we otherwise would.

780
00:35:54,160 --> 00:35:56,520
Speaker 1: Yeah, I mean that reminds me of our conversation with

781
00:35:56,560 --> 00:35:59,120
Speaker 1: Professor jay Z talking about the power of cash and

782
00:35:59,800 --> 00:36:03,440
Speaker 1: you and I we're not immune to messing up or

783
00:36:03,480 --> 00:36:05,719
Speaker 1: making or you know, just not paying attention in the

784
00:36:05,760 --> 00:36:08,560
Speaker 1: ways that we should or spending in a way that

785
00:36:08,640 --> 00:36:11,520
Speaker 1: does that doesn't cause us to be quite as thoughtful.

786
00:36:11,520 --> 00:36:13,120
Speaker 1: And I think you're right, like that's that's one of

787
00:36:13,120 --> 00:36:15,799
Speaker 1: the things he was he was trying to persuade us

788
00:36:16,040 --> 00:36:19,280
Speaker 1: in that conversation was the more we use cash there,

789
00:36:20,000 --> 00:36:22,320
Speaker 1: the more thoughtful we tend to be about our money.

790
00:36:22,400 --> 00:36:24,239
Speaker 1: And I do think I think there's a lot of

791
00:36:24,280 --> 00:36:25,440
Speaker 1: truth to that, and I think we just spend on

792
00:36:25,440 --> 00:36:27,480
Speaker 1: autopilot in so many ways, whether it's taped to pay,

793
00:36:27,520 --> 00:36:30,960
Speaker 1: whether it's auto save on Amazon or whatever site you're

794
00:36:31,000 --> 00:36:34,520
Speaker 1: using to buy stuff, whether it's just having those those

795
00:36:34,680 --> 00:36:37,439
Speaker 1: marketing emails come straight in and we're like, oh yeah, sale,

796
00:36:37,520 --> 00:36:40,320
Speaker 1: let's go for it, click straight through to your favorite retailer.

797
00:36:40,560 --> 00:36:43,040
Speaker 1: All of those things are behavioral elements that we have

798
00:36:43,080 --> 00:36:45,200
Speaker 1: to be aware of so that we can change to

799
00:36:45,280 --> 00:36:47,359
Speaker 1: really prevent credit card debt from rare. And it's ugly

800
00:36:47,400 --> 00:36:48,080
Speaker 1: head in our lives.

801
00:36:48,200 --> 00:36:50,799
Speaker 2: Yeah, man, those behavioral tendencies, that's what trips us up.

802
00:36:50,880 --> 00:36:53,920
Speaker 1: Yeah, all right, Matt, We've got more questions to get to,

803
00:36:54,280 --> 00:36:59,200
Speaker 1: including one about investing in real estate on websites on

804
00:36:59,239 --> 00:37:02,640
Speaker 1: the internet, and then one about uh investing for a kiddo.

805
00:37:02,680 --> 00:37:03,880
Speaker 1: We'll get to both those right after this.

806
00:37:11,840 --> 00:37:14,799
Speaker 2: All right, buddy, we are back from the break. It

807
00:37:14,880 --> 00:37:17,359
Speaker 2: is now time for the Facebook question of the Week,

808
00:37:17,440 --> 00:37:20,279
Speaker 2: which is from Nicole. This is a great one because

809
00:37:20,280 --> 00:37:26,120
Speaker 2: it's short. She writes, has anyone heard about Arrived? Described

810
00:37:26,200 --> 00:37:30,200
Speaker 2: as a real estate investing platform for passive investors? Joel,

811
00:37:30,280 --> 00:37:32,919
Speaker 2: have you heard about Arrived? What you think about it? Yes?

812
00:37:33,640 --> 00:37:41,719
Speaker 1: I have departed from Arrived. It's it's a new Scorsese film, Arrived. Yeah,

813
00:37:43,280 --> 00:37:45,920
Speaker 1: the long waited sequel to The Departed. Okay, yeah, it was.

814
00:37:45,960 --> 00:37:47,879
Speaker 1: It's been a long time so seen it has quite

815
00:37:47,880 --> 00:37:48,759
Speaker 1: a while. It was a good one, though.

816
00:37:48,840 --> 00:37:52,080
Speaker 2: I wonder my question is why is she Why is

817
00:37:52,080 --> 00:37:54,200
Speaker 2: she talking about Arrived? Yeah? You know, like has she

818
00:37:54,239 --> 00:37:58,120
Speaker 2: seen advertisements? Maybe it's like a recentcy. It just highlights

819
00:37:58,120 --> 00:38:00,040
Speaker 2: the fact that like ads work, Like you see some

820
00:38:00,200 --> 00:38:02,200
Speaker 2: and then you think, oh, maybe that's something I should

821
00:38:02,239 --> 00:38:05,040
Speaker 2: be participating. Or a friend of hers might be talking

822
00:38:05,080 --> 00:38:06,759
Speaker 2: about it, and they're like, well, if they're talking about it,

823
00:38:06,800 --> 00:38:08,480
Speaker 2: maybe maybe this is something I should do too.

824
00:38:08,560 --> 00:38:10,200
Speaker 1: You know, I've noticed it more and more in people

825
00:38:10,200 --> 00:38:13,759
Speaker 1: who have had some amount of financial success or hard

826
00:38:13,760 --> 00:38:16,879
Speaker 1: work and that's paid off where they start to see

827
00:38:16,920 --> 00:38:19,279
Speaker 1: their account balance grow and then they're like, Okay, my

828
00:38:19,320 --> 00:38:23,680
Speaker 1: net worth has shot up pretty meaningfully. A man, I

829
00:38:23,680 --> 00:38:24,960
Speaker 1: feel like at this point I need to take on

830
00:38:25,000 --> 00:38:28,480
Speaker 1: a more complex investing strategy. And the truth is like

831
00:38:28,560 --> 00:38:30,200
Speaker 1: what's good for the goose is good for the gander

832
00:38:30,200 --> 00:38:33,120
Speaker 1: and for a lot of people. For most people, like no, no, no,

833
00:38:33,360 --> 00:38:35,200
Speaker 1: you don't really need to reinvent the wheel. You don't

834
00:38:35,200 --> 00:38:37,719
Speaker 1: need to go back to the drawing board. The way

835
00:38:37,760 --> 00:38:40,960
Speaker 1: you've been building wealth so far can continue to work

836
00:38:40,960 --> 00:38:42,960
Speaker 1: for you in the future. You don't need to shake

837
00:38:43,000 --> 00:38:45,839
Speaker 1: things up meaningfully. And Arrived is one of these these

838
00:38:45,880 --> 00:38:49,160
Speaker 1: crowdfunded sites, Matt. These alternative investment sites are the place

839
00:38:49,160 --> 00:38:52,799
Speaker 1: I see people turning and then getting burned. It's one

840
00:38:52,800 --> 00:38:54,759
Speaker 1: of those real estate crowdfunding sites that have launched in

841
00:38:54,800 --> 00:38:56,840
Speaker 1: the past what five plus years or so, And we

842
00:38:57,080 --> 00:38:59,480
Speaker 1: talked on a recent Friday flight about a very similar

843
00:38:59,520 --> 00:39:02,240
Speaker 1: site that's not doing so hot. Investors are not happy.

844
00:39:02,760 --> 00:39:06,560
Speaker 1: Some have seen really bad returns. Others would have loved

845
00:39:06,600 --> 00:39:08,759
Speaker 1: to see dismal returns because all their money I got

846
00:39:08,800 --> 00:39:10,880
Speaker 1: wiped out thanks to bad real estate deals that just

847
00:39:10,920 --> 00:39:15,120
Speaker 1: completely flopped and rising interest rates, and you know, vacancies

848
00:39:15,239 --> 00:39:18,279
Speaker 1: increasing at some of those rental properties. So you and

849
00:39:18,360 --> 00:39:21,440
Speaker 1: I we've always said that these crowdfunded investing sites are

850
00:39:21,480 --> 00:39:23,480
Speaker 1: not for the faint of heart. You need to know

851
00:39:23,520 --> 00:39:26,160
Speaker 1: what you're getting into, and that the projections that are

852
00:39:26,200 --> 00:39:28,359
Speaker 1: made on a lot of these investment deals they can

853
00:39:28,400 --> 00:39:31,120
Speaker 1: be fanciful. And that might be the nicest way that

854
00:39:31,160 --> 00:39:33,000
Speaker 1: I can put it, because some of them are just

855
00:39:33,040 --> 00:39:36,719
Speaker 1: completely blowing smoke and they're not really based in reality,

856
00:39:36,960 --> 00:39:39,719
Speaker 1: based on rosy projections that are unlikely to come about.

857
00:39:39,960 --> 00:39:42,319
Speaker 1: And then at the same time, the expenses are baked in.

858
00:39:42,400 --> 00:39:46,280
Speaker 1: They're significant, so that's guaranteed. Yeah, that is going to happen.

859
00:39:46,840 --> 00:39:49,840
Speaker 1: But I swear reading through some of those projection statements,

860
00:39:49,880 --> 00:39:50,359
Speaker 1: you're just.

861
00:39:50,280 --> 00:39:51,400
Speaker 2: Like it almost gets you fired.

862
00:39:52,120 --> 00:39:53,960
Speaker 1: Oh, I'd be an idiot not to do this. Yeah,

863
00:39:53,960 --> 00:39:56,799
Speaker 1: I should do it right, And that's just a lot

864
00:39:56,840 --> 00:39:58,719
Speaker 1: of people again, have gotten burned in these things.

865
00:39:58,800 --> 00:40:00,799
Speaker 2: The sales pitches are great, right, Like, there is a

866
00:40:00,800 --> 00:40:04,080
Speaker 2: certain appeal there, and I think they're often attempting to

867
00:40:04,120 --> 00:40:06,799
Speaker 2: lure less sophisticated investors who might have heard that real

868
00:40:06,880 --> 00:40:09,200
Speaker 2: estate investing is the way that like, that's how you

869
00:40:09,200 --> 00:40:11,000
Speaker 2: make the real money, and you got to do it.

870
00:40:11,280 --> 00:40:13,360
Speaker 2: You got a juice returns by getting into real estate,

871
00:40:13,960 --> 00:40:17,279
Speaker 2: they might, you know, and given the recent history of

872
00:40:17,320 --> 00:40:19,600
Speaker 2: the market, maybe they're thinking, Okay, I know enough. I

873
00:40:19,640 --> 00:40:22,239
Speaker 2: read the headlines. It sounds like the stock market's overrated.

874
00:40:22,920 --> 00:40:25,239
Speaker 2: So they're going to look elsewhere if they want to

875
00:40:25,280 --> 00:40:28,760
Speaker 2: achieve financial independence a bit more quickly. But you avoid

876
00:40:28,760 --> 00:40:31,120
Speaker 2: the simple steady path at your own peril. And I

877
00:40:31,160 --> 00:40:33,840
Speaker 2: will say to talk about real estate here more generally,

878
00:40:33,960 --> 00:40:37,640
Speaker 2: more broadly speaking, it is possible to achieve outsize returns

879
00:40:37,680 --> 00:40:40,480
Speaker 2: in real estate, but typically you do that by owning

880
00:40:40,520 --> 00:40:44,359
Speaker 2: and managing your own properties, which of course comes with

881
00:40:44,520 --> 00:40:48,640
Speaker 2: not only a larger time commitment, but also money the

882
00:40:48,680 --> 00:40:50,600
Speaker 2: capital that you've got to set aside to be able

883
00:40:50,600 --> 00:40:53,000
Speaker 2: to purchase that property. As well, there's more risk involved,

884
00:40:53,040 --> 00:40:55,320
Speaker 2: You've got more on the line, there's more at stake,

885
00:40:55,520 --> 00:40:58,520
Speaker 2: which is oftentimes how it leads to those higher returns. Yeah,

886
00:40:59,080 --> 00:41:00,560
Speaker 2: when you are more direct involved.

887
00:41:00,680 --> 00:41:03,520
Speaker 1: I think it's important to say that Arrived is not

888
00:41:03,719 --> 00:41:08,440
Speaker 1: a scam. And many of these these crowdfunded investing websites,

889
00:41:08,480 --> 00:41:10,479
Speaker 1: whether they be real estate or whether they be other

890
00:41:11,000 --> 00:41:14,440
Speaker 1: kind of interesting markets. Let me say these are not scammy,

891
00:41:14,800 --> 00:41:18,400
Speaker 1: they are just not ideal for the average investor. And

892
00:41:19,480 --> 00:41:22,360
Speaker 1: when you look at the returns compared to the a

893
00:41:22,400 --> 00:41:24,399
Speaker 1: total stock market fund or an SMP five hundred fund,

894
00:41:24,400 --> 00:41:26,440
Speaker 1: and when you look at the expenses compared to those

895
00:41:26,480 --> 00:41:29,360
Speaker 1: funds as well, there's just not much of a comparison.

896
00:41:29,480 --> 00:41:31,200
Speaker 1: Like it just doesn't make much sense. And it is

897
00:41:31,320 --> 00:41:33,560
Speaker 1: kind of fun, I guess maybe to be able to

898
00:41:33,560 --> 00:41:36,240
Speaker 1: say I kind of own a part of this apartment

899
00:41:36,280 --> 00:41:38,960
Speaker 1: complex outside of Nashville, Or it might be kind of

900
00:41:38,960 --> 00:41:42,920
Speaker 1: fun to say I own some specialty whiskey on this site,

901
00:41:42,960 --> 00:41:45,120
Speaker 1: because not only do I I don't just have it

902
00:41:45,160 --> 00:41:47,480
Speaker 1: on my bar. I own the really rare stuff, right,

903
00:41:48,200 --> 00:41:50,359
Speaker 1: even if you don't physically hold on to it, like

904
00:41:50,400 --> 00:41:52,919
Speaker 1: you have an ownership stake in something that's that's really

905
00:41:53,000 --> 00:41:55,360
Speaker 1: rare and fancy, and that can sound kind of cool.

906
00:41:55,560 --> 00:41:58,640
Speaker 1: There's nothing seedy about these sites. We just don't think

907
00:41:58,640 --> 00:42:02,200
Speaker 1: you're gonna perform. Comes with liquidity constraints in a variety

908
00:42:02,200 --> 00:42:04,960
Speaker 1: of fees that are just not worth enduring.

909
00:42:05,200 --> 00:42:08,719
Speaker 2: I thought when you said, uh, it's not scaming, I

910
00:42:08,760 --> 00:42:11,480
Speaker 2: thought you were gonna say, but it is spamy, you

911
00:42:11,520 --> 00:42:14,120
Speaker 2: know's there's like a lot of yeah, stuff that's kind

912
00:42:14,120 --> 00:42:17,200
Speaker 2: of packed in there that it's easy to overlook because

913
00:42:17,200 --> 00:42:19,240
Speaker 2: it's packaged in a nice way. There's a lot of pork.

914
00:42:19,760 --> 00:42:23,000
Speaker 2: That's like an old school government podcast. We're like shifting gears,

915
00:42:23,000 --> 00:42:24,200
Speaker 2: a little bit of Yeah, a lot of pork in

916
00:42:24,200 --> 00:42:24,840
Speaker 2: that bill, isn't there.

917
00:42:24,960 --> 00:42:27,239
Speaker 1: Roll Well, it's funny when I look at when you

918
00:42:27,239 --> 00:42:30,520
Speaker 1: look at some of the graphs, sometimes the only investment

919
00:42:30,520 --> 00:42:32,840
Speaker 1: that I've seen that the potentially outperforms the stock market

920
00:42:32,880 --> 00:42:35,799
Speaker 1: over long periods of time could be farmland. And there's

921
00:42:35,840 --> 00:42:38,360
Speaker 1: even this one place where you can invest in farmland online.

922
00:42:38,400 --> 00:42:41,480
Speaker 1: And but when you look at it's called acre Trader, right, yeah,

923
00:42:41,520 --> 00:42:42,440
Speaker 1: And when you look at when you.

924
00:42:42,600 --> 00:42:44,160
Speaker 2: Even hesitant to even mention it because I don't want

925
00:42:44,160 --> 00:42:47,800
Speaker 2: to send folks there, but like it's better to unknown.

926
00:42:47,840 --> 00:42:50,359
Speaker 2: Evil is better than an unknown sure, and I'm not saying,

927
00:42:50,480 --> 00:42:51,759
Speaker 2: but even actually evil even that.

928
00:42:51,800 --> 00:42:53,080
Speaker 1: I remember the last time I looked at their site

929
00:42:53,080 --> 00:42:54,960
Speaker 1: and I was like, wait a second, SMP's outperformed that.

930
00:42:55,239 --> 00:42:56,840
Speaker 1: Oh and what is acre Trader?

931
00:42:56,960 --> 00:42:57,080
Speaker 2: Not?

932
00:42:57,160 --> 00:43:00,080
Speaker 1: You know again, not bad people. It's an it's an

933
00:43:00,080 --> 00:43:02,880
Speaker 1: interesting thing. I'm fascinated by the fact that it exists.

934
00:43:03,080 --> 00:43:05,800
Speaker 1: I do not choose to invest my dollars there because

935
00:43:05,960 --> 00:43:09,680
Speaker 1: the fees are much higher than the fees and then

936
00:43:09,760 --> 00:43:11,879
Speaker 1: like I have to pay more attention to it, and

937
00:43:11,960 --> 00:43:13,120
Speaker 1: my attentions, man is limited.

938
00:43:13,239 --> 00:43:15,160
Speaker 2: Yeah, but isn't it fun to say that I invest

939
00:43:15,200 --> 00:43:19,319
Speaker 2: in pistachios? Yeah? I on this avocado farm, yatio farm.

940
00:43:19,440 --> 00:43:20,959
Speaker 2: It is kind of cool. All right, Matt.

941
00:43:21,000 --> 00:43:24,000
Speaker 1: Let's get to a question from listener Teresa. She says,

942
00:43:24,040 --> 00:43:25,799
Speaker 1: my twelve year old is about to get paid for

943
00:43:25,840 --> 00:43:28,839
Speaker 1: his first job house sitting for neighbors. So I'm going

944
00:43:28,880 --> 00:43:31,120
Speaker 1: to open a roth ira for him with Fidelity. That's

945
00:43:31,120 --> 00:43:33,240
Speaker 1: where I have accounts and I know their user interface.

946
00:43:33,719 --> 00:43:36,560
Speaker 1: Other than making sure to invest the funds and keeping

947
00:43:36,600 --> 00:43:38,719
Speaker 1: a log of the job, the date, the amount paid,

948
00:43:38,960 --> 00:43:40,920
Speaker 1: are there other tips and tricks from folks who have

949
00:43:41,040 --> 00:43:41,880
Speaker 1: done this before?

950
00:43:42,160 --> 00:43:45,560
Speaker 2: All right, First, when she says house sitting for a

951
00:43:45,560 --> 00:43:47,520
Speaker 2: twelve year old, does that mean it's like is he

952
00:43:47,760 --> 00:43:49,080
Speaker 2: is he like spending the night over there?

953
00:43:49,200 --> 00:43:51,560
Speaker 1: It's like blank check? Or you remember that one?

954
00:43:52,600 --> 00:43:55,839
Speaker 2: Wait was blank check? McAlley Culkin, No, some of the kids?

955
00:43:55,880 --> 00:43:58,040
Speaker 2: Which one was that was that Richie Rich? Oh?

956
00:43:58,120 --> 00:43:59,160
Speaker 1: Yeah, that was Richie Rich.

957
00:43:59,239 --> 00:44:03,000
Speaker 2: We're totally digging in the nineties archive. Teresa. I'll say,

958
00:44:03,000 --> 00:44:05,640
Speaker 2: first off, the fact that your son is starting at

959
00:44:05,719 --> 00:44:08,000
Speaker 2: age twelve, that he's got this job, I think is

960
00:44:08,040 --> 00:44:12,400
Speaker 2: incredible because on the financial side of things, that gives

961
00:44:12,400 --> 00:44:15,640
Speaker 2: compounding so much time to work. So that's great. But

962
00:44:16,480 --> 00:44:18,400
Speaker 2: you said that you are going to open up an

963
00:44:18,440 --> 00:44:21,560
Speaker 2: IRA for him. I just read that. That's what you wrote,

964
00:44:22,520 --> 00:44:26,000
Speaker 2: which is i'll say, mostly awesome. But let's get him

965
00:44:26,040 --> 00:44:28,799
Speaker 2: involved a little bit here. Let's that's that's my call here.

966
00:44:28,840 --> 00:44:31,759
Speaker 2: I want you to, well, you're gonna need to open

967
00:44:31,760 --> 00:44:35,720
Speaker 2: a custodial account, but let him like actually input his information,

968
00:44:35,840 --> 00:44:37,960
Speaker 2: Let let him type in his name, let him click

969
00:44:38,000 --> 00:44:39,520
Speaker 2: the mouse, let him be a part of the actual

970
00:44:39,520 --> 00:44:42,400
Speaker 2: process here, because I need to be pumped. Yeah, yeah, yeah.

971
00:44:42,520 --> 00:44:44,120
Speaker 2: There is a certain amount of buy in that you

972
00:44:44,160 --> 00:44:46,920
Speaker 2: want someone to emotionally feel, especially with something like this,

973
00:44:47,320 --> 00:44:48,719
Speaker 2: and I think were you to do that, he would

974
00:44:48,760 --> 00:44:50,920
Speaker 2: be more likely to follow it. He's going to ask

975
00:44:51,000 --> 00:44:52,759
Speaker 2: questions along the way. It's going to give him that

976
00:44:52,800 --> 00:44:55,000
Speaker 2: buy in. It's going to give him a healthy dose

977
00:44:55,040 --> 00:44:57,840
Speaker 2: of financial education along the way. You're not setting this

978
00:44:57,920 --> 00:44:59,560
Speaker 2: up for him, and you might be thinking well, he's

979
00:44:59,560 --> 00:45:02,160
Speaker 2: the one doing work. But I'm here to say that

980
00:45:02,280 --> 00:45:05,480
Speaker 2: even the process of him starting that account, these are

981
00:45:05,520 --> 00:45:07,600
Speaker 2: all things that I think are important for him to

982
00:45:07,680 --> 00:45:08,200
Speaker 2: learn as well.

983
00:45:08,320 --> 00:45:11,040
Speaker 1: Yeah, that participatory interaction.

984
00:45:10,680 --> 00:45:13,240
Speaker 2: Engagement, hands on hands on learning.

985
00:45:13,320 --> 00:45:16,040
Speaker 1: Yeah, exactly, well, and we love that you're doing with Fidelity.

986
00:45:16,040 --> 00:45:17,560
Speaker 1: Of course, keep it all low cost, keep it all

987
00:45:17,600 --> 00:45:19,359
Speaker 1: under one roof. That makes it easier for you. It's

988
00:45:19,400 --> 00:45:22,000
Speaker 1: going to make it great for him, you know, when

989
00:45:22,040 --> 00:45:24,600
Speaker 1: it comes to the details. Sounds like you got that covered.

990
00:45:25,000 --> 00:45:28,160
Speaker 1: You can't contribute more than he has actually earned, by

991
00:45:28,160 --> 00:45:31,560
Speaker 1: the way, so if he gets birthday money or holiday

992
00:45:31,560 --> 00:45:34,320
Speaker 1: gift money or something like that, that doesn't count towards

993
00:45:34,320 --> 00:45:36,440
Speaker 1: his ability how much he can contribute to the ROTH.

994
00:45:36,520 --> 00:45:39,799
Speaker 1: It's all about money that he's made from jobs that

995
00:45:39,840 --> 00:45:42,160
Speaker 1: he's doing, like earned income. So make sure that that

996
00:45:42,320 --> 00:45:45,040
Speaker 1: is documented somewhere like it sounds like you're already planning

997
00:45:45,080 --> 00:45:47,200
Speaker 1: on doing. I'm not sure if you already have funds

998
00:45:47,200 --> 00:45:49,840
Speaker 1: picked out, by the way, but f Z Rocks is

999
00:45:49,880 --> 00:45:52,919
Speaker 1: Fidelity's proprietary zero fee fund. They have a few zero

1000
00:45:52,960 --> 00:45:56,000
Speaker 1: fee funds that one's worth considering because it's our total

1001
00:45:56,000 --> 00:45:58,799
Speaker 1: stock market one. And again we talk about hard to

1002
00:45:58,800 --> 00:46:03,160
Speaker 1: be lo fees. Nope's is pretty bang awesome too, even better. Yeah,

1003
00:46:03,200 --> 00:46:06,120
Speaker 1: So just getting started in one of those funds, and

1004
00:46:06,160 --> 00:46:08,359
Speaker 1: the more he piles into that fund in the coming

1005
00:46:08,400 --> 00:46:11,000
Speaker 1: years as he earns more money, I think it's gonna

1006
00:46:11,000 --> 00:46:12,839
Speaker 1: be like a snowball taking off down the hill pretty soon.

1007
00:46:12,880 --> 00:46:15,040
Speaker 2: He's starting off on such the right foot, and you're

1008
00:46:15,040 --> 00:46:16,920
Speaker 2: talking about him not being able to invest more than

1009
00:46:16,960 --> 00:46:21,520
Speaker 2: what he earns. Well, Teresa, I would even consider, like

1010
00:46:21,840 --> 00:46:25,719
Speaker 2: dangling a little carrot, consider matching in order to sort

1011
00:46:25,719 --> 00:46:28,319
Speaker 2: of up the amount that he's able to invest. Again,

1012
00:46:28,400 --> 00:46:31,520
Speaker 2: you can't go above his actual earned income. But let's

1013
00:46:31,520 --> 00:46:34,399
Speaker 2: say he's willing to contribute fifty percent of what he earns, Well,

1014
00:46:34,440 --> 00:46:36,480
Speaker 2: you could let him know, like, hey, you do fifty,

1015
00:46:36,719 --> 00:46:39,799
Speaker 2: I'll do the other fifty percent, or you can make it,

1016
00:46:39,840 --> 00:46:41,959
Speaker 2: you know, seventy five to twenty five whatever. But you're

1017
00:46:41,960 --> 00:46:45,680
Speaker 2: teaching him about matching again, creating more buying in and matching.

1018
00:46:45,760 --> 00:46:48,000
Speaker 2: That's something that you are mirroring that takes place out

1019
00:46:48,000 --> 00:46:51,000
Speaker 2: in the real world. Obviously not to that extent necessarily,

1020
00:46:51,040 --> 00:46:52,600
Speaker 2: but I haven't heard of an employer yet when I

1021
00:46:52,680 --> 00:46:54,440
Speaker 2: do that, But that sounds nice, But I think the

1022
00:46:54,480 --> 00:46:58,040
Speaker 2: ability I think when we pass knowledge along to our kid,

1023
00:46:58,040 --> 00:47:00,000
Speaker 2: so much of it is kind of mirroring and mimicking

1024
00:47:00,080 --> 00:47:04,840
Speaker 2: some of the situations and the experiences and the decisions

1025
00:47:04,880 --> 00:47:06,360
Speaker 2: that they're going to have to make off in the future.

1026
00:47:06,360 --> 00:47:08,600
Speaker 2: And he's gonna want to say, no, I want every

1027
00:47:08,600 --> 00:47:10,680
Speaker 2: one of those dollars to go to the one wheel

1028
00:47:10,840 --> 00:47:12,520
Speaker 2: that I've been saving up, because those things ain't they

1029
00:47:12,520 --> 00:47:13,279
Speaker 2: ain't cheap, or.

1030
00:47:13,200 --> 00:47:15,479
Speaker 1: That cool new Lego set that I've been won.

1031
00:47:15,520 --> 00:47:17,439
Speaker 2: Or a new switch, you know, like like there's lots

1032
00:47:17,480 --> 00:47:19,840
Speaker 2: of things out there, but the ability for you to

1033
00:47:19,880 --> 00:47:22,880
Speaker 2: say no, look, if you invest at least this much,

1034
00:47:23,360 --> 00:47:25,319
Speaker 2: I'll invest the same amount to get you to get

1035
00:47:25,320 --> 00:47:27,560
Speaker 2: to your total here of what it is you actually earned.

1036
00:47:28,040 --> 00:47:30,000
Speaker 2: It's going to take some near term sacrifice, but that's

1037
00:47:30,040 --> 00:47:32,160
Speaker 2: also a great lesson for him to learn about this age.

1038
00:47:32,200 --> 00:47:33,919
Speaker 1: And if you're willing to sacrifice a little bit too,

1039
00:47:33,960 --> 00:47:36,120
Speaker 1: maybe he'll be willing to sacrifice. And it's that it's

1040
00:47:36,160 --> 00:47:39,399
Speaker 1: a virtuous spiral. It's a beautiful thing of wealth for sure.

1041
00:47:39,920 --> 00:47:41,480
Speaker 1: All Right, Matt, let's get back to the beer that

1042
00:47:41,520 --> 00:47:43,960
Speaker 1: we had on this episode. This one is called.

1043
00:47:43,880 --> 00:47:46,000
Speaker 2: Solstice sour solstice salad.

1044
00:47:46,040 --> 00:47:48,760
Speaker 1: Right, Alm Neck Beer Company. We actually get their beers locally,

1045
00:47:48,760 --> 00:47:50,080
Speaker 1: now we did not, oh really used too for a

1046
00:47:50,120 --> 00:47:50,520
Speaker 1: while off.

1047
00:47:50,640 --> 00:47:52,400
Speaker 2: Maybe you picked this one up abroad.

1048
00:47:52,600 --> 00:47:54,719
Speaker 1: No, No, this is a local fine, so I'll say

1049
00:47:54,760 --> 00:47:58,440
Speaker 1: this is it's a sour age in oak barrels with Okay,

1050
00:47:58,600 --> 00:48:02,279
Speaker 1: listen to this rundown of free apricots apriums, which I

1051
00:48:02,320 --> 00:48:02,719
Speaker 1: don't even know.

1052
00:48:02,719 --> 00:48:03,319
Speaker 2: What the heck that is.

1053
00:48:03,320 --> 00:48:06,120
Speaker 1: Sounds like an atrium, but I'm assuming the pea, Yeah.

1054
00:48:05,920 --> 00:48:10,200
Speaker 2: Peaches, plums and pluots hopped with citrus spectrum. It's got

1055
00:48:10,200 --> 00:48:11,759
Speaker 2: all the stone fruit that uses a lot of fruit.

1056
00:48:11,840 --> 00:48:13,920
Speaker 2: You can imagine. Yeah, but uh, yeah, what'd you think?

1057
00:48:14,080 --> 00:48:17,760
Speaker 1: I thought it was incredibly tart like mouth puckering for sure.

1058
00:48:17,680 --> 00:48:20,880
Speaker 2: Almost maybe too tar like, Like I feel like I

1059
00:48:20,920 --> 00:48:23,440
Speaker 2: have less enamel on my teeth now after drinking this

1060
00:48:23,640 --> 00:48:25,960
Speaker 2: than I did forty five minutes ago. Make sure you

1061
00:48:26,000 --> 00:48:27,759
Speaker 2: go to the dentist. Make sure I need to do

1062
00:48:27,760 --> 00:48:30,239
Speaker 2: a little fluoride treatment at home. Yeah you do. I

1063
00:48:30,239 --> 00:48:31,920
Speaker 2: gotta get like an at home Can you do an

1064
00:48:32,000 --> 00:48:33,200
Speaker 2: at home fluoride or no?

1065
00:48:33,320 --> 00:48:34,000
Speaker 1: Is it fluoride?

1066
00:48:34,120 --> 00:48:35,960
Speaker 2: No, that's what they're taking out of the water now right.

1067
00:48:36,080 --> 00:48:40,080
Speaker 1: Oh, you can do extra fluoride toothpaste and mouth with

1068
00:48:40,200 --> 00:48:42,080
Speaker 1: extra fluoride. Yeah, does it say that to you? I

1069
00:48:42,120 --> 00:48:44,040
Speaker 1: don't know to counter I I don't think it. Taking

1070
00:48:44,080 --> 00:48:46,040
Speaker 1: flori out of the water has happened in many places though, Right,

1071
00:48:46,719 --> 00:48:47,400
Speaker 1: there's a whole.

1072
00:48:47,200 --> 00:48:48,560
Speaker 2: Lot of yeah empty promises.

1073
00:48:48,680 --> 00:48:52,640
Speaker 1: Yeah, okay, So from the top this this beer I

1074
00:48:52,640 --> 00:48:57,520
Speaker 1: thought was yeah, mouthparkingly, mouth puckeringly hour, but really good,

1075
00:48:57,680 --> 00:49:00,319
Speaker 1: like all the stone fruit to the max. And I

1076
00:49:00,320 --> 00:49:03,759
Speaker 1: really enjoyed. And I haven't had like a sour that

1077
00:49:03,920 --> 00:49:06,839
Speaker 1: was like this abrasive in a while, and I was like, man,

1078
00:49:06,880 --> 00:49:08,440
Speaker 1: it's been a minute, so I've had something that just

1079
00:49:09,280 --> 00:49:10,920
Speaker 1: punched me in the mouth, and it was it was

1080
00:49:11,000 --> 00:49:11,399
Speaker 1: kind of fun.

1081
00:49:11,480 --> 00:49:12,680
Speaker 2: I'm getting smacked around over here.

1082
00:49:12,680 --> 00:49:14,120
Speaker 1: But yeah, I kind of liked it. I think Kate

1083
00:49:14,120 --> 00:49:14,920
Speaker 1: would love this for she.

1084
00:49:15,600 --> 00:49:17,640
Speaker 2: I don't know what it is. She's taken to drinking

1085
00:49:17,840 --> 00:49:20,560
Speaker 2: a little bit of apple cider vinegar with the mother

1086
00:49:20,680 --> 00:49:24,160
Speaker 2: what is it? Brags it's like that naturally from I

1087
00:49:24,280 --> 00:49:26,239
Speaker 2: noticed that concoction she made. Yeah, she did it at

1088
00:49:26,280 --> 00:49:27,799
Speaker 2: the beach. Yeah it was weird, but she would take

1089
00:49:27,800 --> 00:49:30,120
Speaker 2: it is weird. She she takes that and then adds

1090
00:49:30,120 --> 00:49:31,720
Speaker 2: a little bit of fruit juice, adds some seltzer.

1091
00:49:31,800 --> 00:49:32,680
Speaker 1: Yeah, creates like her.

1092
00:49:33,160 --> 00:49:35,800
Speaker 2: It's like a I don't know, like a diy kimbucha perhaps,

1093
00:49:35,840 --> 00:49:39,480
Speaker 2: but I think she would be all about this me.

1094
00:49:39,719 --> 00:49:42,000
Speaker 2: I'm fifty to fifty okay, but uh yeah, it's still

1095
00:49:42,000 --> 00:49:45,440
Speaker 2: fun to enjoy. I am enjoying the barrel age nature

1096
00:49:45,440 --> 00:49:47,680
Speaker 2: of it, which I'm always gonna be a fan of

1097
00:49:47,719 --> 00:49:49,600
Speaker 2: any beer that's that's an aged and oak.

1098
00:49:49,600 --> 00:49:51,480
Speaker 1: I think you'd like to live in an oak barrel someday.

1099
00:49:51,520 --> 00:49:54,040
Speaker 2: Oh my gosh, honestly, that's like even more reason to

1100
00:49:54,080 --> 00:49:57,600
Speaker 2: consider getting a sauna. Yeah, like the big barrel kind

1101
00:49:57,640 --> 00:49:58,719
Speaker 2: that I know you're considering.

1102
00:49:58,800 --> 00:50:00,520
Speaker 1: True story. Oh wait a minute, someday.

1103
00:50:00,600 --> 00:50:03,360
Speaker 2: Oh say this for another conversation the neighbor. I'm pretty

1104
00:50:03,360 --> 00:50:05,400
Speaker 2: sure you just said he pulled the trigger on asauna.

1105
00:50:05,400 --> 00:50:07,640
Speaker 2: Oh really? So yeah, I'll just go to his house. Yeah,

1106
00:50:07,680 --> 00:50:10,319
Speaker 2: come on, come on over, let's do it. Neighborhood dad,

1107
00:50:10,360 --> 00:50:14,879
Speaker 2: sauna hangs giant party that I don't want to be a.

1108
00:50:14,800 --> 00:50:17,880
Speaker 1: Part of it. All right, all right, that's gonna do

1109
00:50:17,880 --> 00:50:20,080
Speaker 1: it for this one. Remember, if you have a question,

1110
00:50:20,120 --> 00:50:21,719
Speaker 1: send it over our way. We'd love to love to

1111
00:50:21,760 --> 00:50:24,120
Speaker 1: hear from you. Oh and we have a really fun

1112
00:50:24,120 --> 00:50:27,399
Speaker 1: interview for you on Wednesday. If you're like, I'm making

1113
00:50:27,440 --> 00:50:31,279
Speaker 1: six figures and it's really hard for me to get by,

1114
00:50:31,800 --> 00:50:34,399
Speaker 1: then you want to listen to Wednesday's episode for someone

1115
00:50:34,400 --> 00:50:37,200
Speaker 1: who's doing it on less than forty k and has

1116
00:50:37,200 --> 00:50:39,440
Speaker 1: been for a long time with a bunch of children

1117
00:50:39,480 --> 00:50:39,759
Speaker 1: in tow.

1118
00:50:39,960 --> 00:50:40,360
Speaker 2: Nice.

1119
00:50:40,880 --> 00:50:42,880
Speaker 1: Yeah, it'll be a good one, all right, Thanks so

1120
00:50:42,960 --> 00:50:46,120
Speaker 1: much for listening, Matt. Until next time, Best Friends Out,

1121
00:50:46,239 --> 00:50:47,520
Speaker 1: Best Friends Out.