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Speaker 1: Welcome to How to Money. I'm Joel, I'm Matt and

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Speaker 1: today we're answering your listener questions. That's right.

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Speaker 2: I'm joined by my colleague Joel Larsgard today on the

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Speaker 2: How to Money podcast.

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Speaker 1: My friendsday more. Now we're colleagues, We're colleagues and friends.

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Speaker 1: That is true.

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Speaker 2: No, we are going to hear from multiple How to

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Speaker 2: Money listeners today.

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Speaker 1: Listeners wanting to know when he should ditch an old ride.

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Speaker 2: We're gonna talk about escrow accounts, the good, the bad,

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Speaker 2: when we think they're ugly. And another listener is wondering

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Speaker 2: if he should take advantage of an employee stock ownership

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Speaker 2: plan to what extent should he be going all in

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Speaker 2: on that. We will snap share our thoughts on those

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Speaker 2: questions and more during today's episode.

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Speaker 1: Toddy good, Yeah, I look forward to it.

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Speaker 2: Joel, I've got a question for you. As we've talked

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Speaker 2: about on the show, we are adding onto our house.

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Speaker 2: We're doing a little bit of reconfiguring of certain rooms

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Speaker 2: to turn them into bedrooms for all the kids that

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Speaker 2: you know, all that kind of thing.

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Speaker 1: Yeah, and as the west wing of the house, does.

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Speaker 2: I call it no, no, you Actually it's funny because

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Speaker 2: last year, at some point you correctly called it the

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Speaker 2: east wing.

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Speaker 1: Okay, is it the east Wing?

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Speaker 2: And I was going to you're right, and I was

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Speaker 2: going to criticize you for making it sound like I'm

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Speaker 2: like building some sort of like mc mansion or something

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Speaker 2: like that.

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Speaker 3: Uh huh.

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Speaker 1: But I couldn't.

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Speaker 2: I had to catch myself because you were actually accurate

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Speaker 2: when it came to the cardinal direction, and so I

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Speaker 2: chose not to correct.

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Speaker 1: You that time. Now you can be able to get

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Speaker 1: you this time. It's not the West Wing. Did you

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Speaker 1: ever watch that show, by the way, No, I didn't. Yeah,

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Speaker 1: people loved it.

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Speaker 2: But as you know, when you renovate a home, there

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Speaker 2: are so many decision decisions that you have to make. Yeah,

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Speaker 2: oftentimes it's like the opposite of an Aldi.

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Speaker 1: Oh my gosh.

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Speaker 2: Yes, absolutely, And a lot of times it's about fun

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Speaker 2: things like what kind of tile you want to pick out.

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Speaker 2: But recently I've need the toilets and you're like, just

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Speaker 2: I didn't know there's so many toilets out there in

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Speaker 2: the world.

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Speaker 1: Please stop this.

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Speaker 2: I want to get the kind that allows you to flush.

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Speaker 2: It's got a little infomercial and there's twenty five hot

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Speaker 2: dogs in there on, which.

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Speaker 1: Is something I do regularly.

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Speaker 2: Seems like it might be valuable actually with younger kids,

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Speaker 2: depending on what they end up throwing down there. But

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Speaker 2: not only can there be decision fatigue when it comes

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Speaker 2: to fun things like that, but when it comes to

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Speaker 2: energy efficient options as well. Specifically, I have found myself

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Speaker 2: going down this rabbit hole of insulation and how much

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Speaker 2: should I spend on insulation?

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Speaker 1: How energy efficient? How green of a home?

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Speaker 2: Am I see going to make a home that's lead

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Speaker 2: certified or or something like that.

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Speaker 1: I have to start from scratch for that.

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Speaker 2: But specifically I'm trying to weigh the pros and cons

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Speaker 2: between like open cell spray phone insulation versus like more

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Speaker 2: of the premium lexus closed cell spray poam insulation. And

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Speaker 2: I just don't know where to draw the line. Well, okay,

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Speaker 2: what would you What advice do you have for me?

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Speaker 1: So I guess question comes down to what's the cost,

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Speaker 1: and then what are the likely savings going to be?

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Speaker 1: And I guess there's the other thought process of does

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Speaker 1: it increase the comfort level that you're able to enjoy

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Speaker 1: your home more? So people would say yes to all

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Speaker 1: of the above. Okay, So people will it does cost more,

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Speaker 1: roughly twice as much in the specific instance, that's a

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Speaker 1: lot more. The insulation factor though, it's literally two times

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Speaker 1: the r value. Okay.

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Speaker 2: And as far as comfort, like how comfortable, Yeah, it

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Speaker 2: will be a more comfortable space if it's better insulated, well,

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Speaker 2: you get the tax credit on the full amount. Either way,

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Speaker 2: you go, Oh, that's a good question. I will say

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Speaker 2: I have been keeping up with the receipts from the

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Speaker 2: contractors in order to take advantage of the green tax credits. Actually,

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Speaker 2: we did an entire episode when these green tax credits

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Speaker 2: first came out. We didn't make sure to link to

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Speaker 2: those or where it is that you can find those

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Speaker 2: in the show notes, but maybe so that maybe this

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Speaker 2: is a quick tip for everyone. Hopefully you have your

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Speaker 2: receipts if you made any improvements, let's say, to insulation,

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Speaker 2: new windows, maybe more energy efficient HVAC last year in

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Speaker 2: twenty twenty four, but if you're planning to make some

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Speaker 2: upgrades or expenses that you might incur to your home

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Speaker 2: this year, will certainly, yeah, make sure to hang on

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Speaker 2: to those receipts in case you need to document any

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Speaker 2: of that for the irs when you are filing your

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Speaker 2: twenty twenty five taxes.

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Speaker 1: I tend to think that energy efficient upgrades are underrated

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Speaker 1: and that spending a little more on the front end

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Speaker 1: makes more sense because it will make your life more

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Speaker 1: comfortable and it will reduce the overall amount of money

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Speaker 1: you spend over the long term. And especially if you're

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Speaker 1: planning on being in that house long term. Well that's

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Speaker 1: another consideration. Yeah, how long do you plan to be

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Speaker 1: it'll fancy in stallation if you're planning on selling it

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Speaker 1: next year.

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Speaker 2: But if you're not going to recoup those costs, man right, Like,

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Speaker 2: you might get some of it back if you tell them, hey,

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Speaker 2: by the way, a little, but yeah, not nearly, not nearly.

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Speaker 1: Dmail.

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Speaker 2: But I think about that home when we moved in

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Speaker 2: and the owners they dropped a ton of money on

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Speaker 2: encapsulating the cross space and they put like the nicest

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Speaker 2: dehumidifier down there, and I took all that into account.

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Speaker 2: When they're like, you know what, we're not home owners,

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Speaker 2: don't they willing to budge on the cost.

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Speaker 1: I think you and me we're like real estate investors

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Speaker 1: and we've been buying homes for a long time now,

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Speaker 1: and because of that, I take those things in a

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Speaker 1: consideration too. But I think most people going through a house,

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Speaker 1: especially a first time home buyer, encapsulation cross spare as much.

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Speaker 2: Yeah, so, like you said, if there are years decades

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Speaker 2: worth of being able to recoup the costs in this instance,

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Speaker 2: I mean, I do think it makes more sense, But

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Speaker 2: at some point you still have to draw the line, because, like, man,

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Speaker 2: I've come across these different resources online, especially on YouTube,

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Speaker 2: where these guys are like they make these amazing homes

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Speaker 2: and there pretty much isn't a line that they haven't crossed,

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Speaker 2: Like they just keep going and going and going, and

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Speaker 2: how energy efficient they're making these homes. And you're gonna

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Speaker 2: get those Tesla roof tiles too while you're at it. Well, dude,

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Speaker 2: this one guy I follow, he literally created a regular

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Speaker 2: roof like you would expect on a house, but then

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Speaker 2: he put it like a roof on top of that roof.

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Speaker 1: Essentially, he was like an umbrella for the house.

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Speaker 2: And the r value essentially was like over seventy when

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Speaker 2: it came to And he's I think he lives in Texas,

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Speaker 2: and so for him, I'm guessing his AC kicks on

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Speaker 2: for like fifteen minutes in the morning and then it's

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Speaker 2: fine for.

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Speaker 1: The rest of the day. Amazing one. In his case,

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Speaker 1: that's what he does for his living. And this gets

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Speaker 1: to I think, just when we're talking about new builds

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Speaker 1: in this country, it would be nice to see builders

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Speaker 1: take that more into consideration on the front end, because

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Speaker 1: it's so much cheaper to build the energy efficient house.

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Speaker 1: Maybe cost three or four percent more to build it originally,

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Speaker 1: but then it's going to save the person who lives

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Speaker 1: in it tons of money every single year for decades

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Speaker 1: to come. I would love to see kind of just

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Speaker 1: more value placed on that and more marketing behind that

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Speaker 1: builders do prioritize. Yeah, because as.

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Speaker 2: Opposed to the builder saying, well, no, man, that's my

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Speaker 2: three four percent margin, right, you're talking about the costs here,

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Speaker 2: the margins aren't super thick because I'm.

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Speaker 1: Willing to pay three percent more if it means I'm

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Speaker 1: going to save a ton over the.

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Speaker 2: Long Absolutely, I think that's a much better way of

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Speaker 2: thinking about home ownership.

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Speaker 1: Yeah, but good luck in your insallation decision. Thanks man,

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Speaker 1: And I hope you don't overdo it, but I hope

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Speaker 1: you hope you also like take the right tack that's

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Speaker 1: going to save you the most money over the long

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Speaker 1: home the Goldilocks approach. Yeah, all right, let's mention the

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Speaker 1: beer we're having on this episode. It's called super Volcano Sauce.

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Speaker 1: It's by Aslin Beer Company. We'll give our thoughts on

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Speaker 1: this one at the end of the episod. And if

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Speaker 1: you have a money question, we'd love to hear from you.

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Speaker 1: It's the beginning of a new year. Matt First listener Question,

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Speaker 1: episode of twenty twenty five, and maybe we can take

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Speaker 1: your question next week on the show. Just got to

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Speaker 1: how tomoney dot com slash ask for simple instructions for

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Speaker 1: how to record that voice memo. Email it over to

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Speaker 1: us mail. Let's get to a question specifically about upgrading

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Speaker 1: a car. What does it make sense?

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Speaker 4: Hi, Joel and Matt Tyler from Utah here. How do

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Speaker 4: you know when it's time to give up your old vehicle?

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Speaker 4: My wife and I bought a two thousand and one

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Speaker 4: Chevy S ten back in twenty sixteen from her grandparents.

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Speaker 4: It only had about thirty thousand miles on it and

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Speaker 4: we paid them about forty three hundred for it. Aside

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Speaker 4: from regular maintenance and oil changes over the years, we've

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Speaker 4: had to put about fifty one hundred dollars into it,

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Speaker 4: and then finally in March of this year, the head

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Speaker 4: gas get blue and I was told it would cost

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Speaker 4: around twenty three hundred dollars to fix it. I considered

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Speaker 4: it to be driven into the ground at that point

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Speaker 4: decided to put it up for sale. It had about

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Speaker 4: sixty seven thousand miles on it and I was able

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Speaker 4: to sell it within a couple hours for about twenty

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Speaker 4: one hundred I then bought a new car for about

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Speaker 4: ten times that price, but I digress paid cash for it.

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Speaker 1: But what do you think?

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Speaker 4: Would you have considered it driven into the ground or

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Speaker 4: would you have paid that twenty three hundred dollars Being

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Speaker 4: that it had so little mileage on it for the age,

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Speaker 4: I often wonder how long it could have last me

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Speaker 4: if I did those repairs and kept it around. Thanks

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Speaker 4: for the show and all you.

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Speaker 2: Do, oh mate, Tyler had the best vehicle out there,

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Speaker 2: the grandparent vehicle.

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Speaker 1: That's like what everyone wants when my gosh searching for

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Speaker 1: a new Ye's vehicle today. That was coddled.

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Speaker 2: It was taken care like it, you know, like how

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Speaker 2: many miles are they putting on it every maybe they're

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Speaker 2: only driving it like once or twice, so maybe they

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Speaker 2: have to put on the calendar on Sundays. Let's get

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Speaker 2: get the car out there to make sure it's not

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Speaker 2: I don't know what happens to the fuel when it

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Speaker 2: says too long it starts to separate or something.

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Speaker 1: I don't know.

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Speaker 2: It's good when the gasoline starts going bad.

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Speaker 1: That I was talking to someone the other day. I

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Speaker 1: think they have like a two thousand and eight or nine,

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Speaker 1: and I think she said she had fifty five thousand

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Speaker 1: miles on or something. I was like, you don't drive

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Speaker 1: almost at all. That's incredible, So I have your car

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Speaker 1: when you're done with it.

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Speaker 2: Oh seriously, this makes me think of like literally Kate's

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Speaker 2: I see some old friends of ours who you also know,

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Speaker 2: but they were in the market for a new vehicle

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Speaker 2: when Kate's grandparents at the time were getting rid of

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Speaker 2: there to you hat to Prius and oh my gosh,

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Speaker 2: I remember thinking I wish I was in a position

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Speaker 2: to need a second vehicle because they got I mean

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Speaker 2: a fair deal on it. But this vehicle, I mean,

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Speaker 2: it was in such great condition, low miles. And the

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Speaker 2: reason it's on my mind is because over the recent holidays.

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Speaker 2: I was talking to him and a tree fell and

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Speaker 2: crushed the thing, and they're like, you know, it's.

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Speaker 1: Total's the toughest thing is because like an older car,

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Speaker 1: even when it's got low miles, like you're not going

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Speaker 1: to get your it's more you value it more than

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Speaker 1: the insurance company values. Indeed, yeah, we'll see if that

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Speaker 1: has an impact on what answer you give to Tyler

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Speaker 1: as to whether or not you should have held or nudgele.

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Speaker 1: All right, so let's talk about this. I mean, when

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Speaker 1: do you get rid of an older vehicle? That is

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Speaker 1: a question, and I think some folks do it prematurely,

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Speaker 1: often because of like a minor repair, right, something comes

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Speaker 1: along and they're like, oh well, I don't really want

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Speaker 1: to drop two hundred bucks into this into this car.

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Speaker 1: They kind of get tired of their old, crusty ride,

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Speaker 1: and that is why they make a decision to plow

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Speaker 1: a bunch of money into a new vehicle. But that

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Speaker 1: car often has a lot of life left in it.

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Speaker 1: And I think too it's important to mention there's nothing

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Speaker 1: wrong with upgrading if you want something newer and you've

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Speaker 1: got the cash to do so. It's just that a

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Speaker 1: lot of folks tend to do this out of boredom.

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Speaker 1: Their cars not as shiny as it used to be.

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Speaker 1: Maybe it's got a few things and dens, and they

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Speaker 1: just they don't have the cash on hand to make

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Speaker 1: that upgrade. So I just want to prevent it or

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Speaker 1: help people avoid taking on car debt. That sinks a

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Speaker 1: lot of financial ships out there, and I don't want

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Speaker 1: Oh yeah, I don't want that to happen to you.

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Speaker 2: Are you financially prepared to get another vehicle, because financing

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Speaker 2: that next car like that is the real problem, because

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Speaker 2: that repair sounds expensive when you're hit with something like that,

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Speaker 2: but they haven't compared it to what all their payments

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Speaker 2: are going to be for the next six or seven years.

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Speaker 2: And oftentimes that fix costs the same amount as just

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Speaker 2: like one or maybe two of those monthly payments. And

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Speaker 2: then if the car is in solid shape after that,

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Speaker 2: I think it makes sense to keep it on the road,

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Speaker 2: at least from a financial perspective. Actually, we had an

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Speaker 2: email the other day from a listener and he chalked

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Speaker 2: a good bit of how he was able to hit

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Speaker 2: his money gear number seven by not having a car

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Speaker 2: payment since twenty sixteen, it's almost almost I mean a

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Speaker 2: full decade of no car payments. In the funneling those

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Speaker 2: dollars into retirement accounts, investing those dollars, I mean, oh

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Speaker 2: my gosh.

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Speaker 1: I think people compounding there, they don't give that enough credit.

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Speaker 1: They don't give that one thing enough credit. I think

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Speaker 1: it's one of the biggest line items in our budget.

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Speaker 1: The longer we can go without having any sort of

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Speaker 1: car payment in our lives, paying cash for the less

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Speaker 1: expensive car, holding on to it means we're going to

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Speaker 1: save on insurance, means we're going to save on taxes,

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Speaker 1: all the above. And yeah, you might pay a little

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Speaker 1: more in car repairs, but you're right, Matt, compared to

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Speaker 1: the monthly payment you're going to take on by upgrading,

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Speaker 1: it's paltry typically in comparison, true.

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Speaker 2: But in Tyler's case, it wasn't probably just a one

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Speaker 2: month yes worth a payment. It was a little bit

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Speaker 2: more exactly.

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Speaker 1: Yeah, I'm gonna say I think Tyler made a reasonable

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Speaker 1: decision here. It's one thing to ditch a twenty five

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Speaker 1: year old car because it needs an oil change or

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Speaker 1: a break job, something that's just kind of standard. And yeah,

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Speaker 1: a break job is kind of expensive these days, like

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Speaker 1: what four hundred bucks? I think last time I had

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Speaker 1: to get new breaks in Rotorsterns.

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Speaker 2: All relative, Julie, sound like the old man talking about

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Speaker 2: how expensive everything is.

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Speaker 1: Is I mean an old change. Sixty dollars for an

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Speaker 1: old change is too much. But I'm not wrong, am I?

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Speaker 1: But I think it's another thing to ditch the car

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Speaker 1: because of a busted head gasket, which is an expensive fix.

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Speaker 1: And so when the fix costs just as much as

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Speaker 1: the value of the car, that's that's where the rubber

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Speaker 1: meets the road and car pun intended, Matt, and that

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Speaker 1: that becomes I think, a really reasonable decision, even if

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Speaker 1: it means jumping into a newer car. I think, you know,

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Speaker 1: some folks would even say that if the cost of

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Speaker 1: the repair is half the value of the car, then

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Speaker 1: it's worth looking into selling it. And I think you

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Speaker 1: are entering this gray territory where you kind of have

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Speaker 1: to weigh your options there and you can kind of

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Speaker 1: go either way. I do think in Tyler's case, he

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Speaker 1: got a lot of use out of that cheap, reliable car,

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Speaker 1: and it sounds like moving on was likely the right

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Speaker 1: decision in this case.

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Speaker 2: Yeah, and I'll talk about the alternatives to get the

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Speaker 2: regrets though, by the way, oh yeah, totally yeah. Well,

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Speaker 2: especially in his question he said it was gone within

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Speaker 2: a couple of hours, that would have been a oh

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Speaker 2: maybe I price this thing either too low or maybe

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Speaker 2: I should have held onto it. But going back to

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Speaker 2: the alternative, which is what it is that he got instead, like,

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Speaker 2: he saved up and paid cash for that new car,

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Speaker 2: and even though it wasn't cheap, you know, he still

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Speaker 2: spent less than the average price of a used car

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Speaker 2: and far less what a brand new car cost. So

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Speaker 2: I think the car that he got to replace it

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Speaker 2: was reasonable, and you know, he might have saved more

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Speaker 2: money over the next couple of.

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Speaker 1: Years had he repaired the old.

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Speaker 2: Truck, but it is impossible to say, especially given the

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Speaker 2: fact that it was a Chevy pickup truck. It's I

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Speaker 2: think the make and the model should come into play

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Speaker 2: a little bit too, because I said Toyota Tacoma, Yeah,

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Speaker 2: or like a Toyota Siena, or a like a Honda

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Speaker 2: Civic or Honda a Cord.

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Speaker 1: I would feel differently about it because we've.

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Speaker 2: Got an old Odyssey like your family does, Jewel, and

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Speaker 2: I looked it up, and actually, it seems like for

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Speaker 2: our the condition our Odyssey is in, we could get

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Speaker 2: something around eight thousand dollars for it. So I was

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Speaker 2: trying to put myself in Tyler's shoes thirty six right now, No,

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Speaker 2: it's only worth eight. That's what I'm willing to Actually,

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Speaker 2: I'm not willing to give it up because I know

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Speaker 2: the work that I've done on it, and so going

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Speaker 2: putting myself in Tyler's.

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Speaker 1: Position, it's worth eight.

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Speaker 2: If I had been faced with a situation where I

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Speaker 2: was being asked to put four into it, I think

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Speaker 2: I would have done it because of the fact that

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Speaker 2: the Odyssey like it serves us really well for what

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Speaker 2: we need out of a single vehicle. But then also

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Speaker 2: knowing that this is a really dependable make and model

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Speaker 2: right like the ability. Had I done that, I would

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Speaker 2: have known that, Okay, this car is gonna be good

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Speaker 2: for another one hundred maybe two hundred thousand miles, because

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Speaker 2: a blown head gasket isn't like a normal thing that

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Speaker 2: wears out like That's it sounds like maybe he had

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Speaker 2: issues already with the radiator, which, again going back to

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Speaker 2: this specific like a Chevy S ten, I don't know

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Speaker 2: if I would have sucked that kind of money into

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Speaker 2: that vehicle, But when it comes to something that you

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Speaker 2: might truly dry for for years and years and years

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Speaker 2: down the road, I think I would have been willing

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Speaker 2: to spend half of the cost of the vehicle to

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Speaker 2: keep it on the road, because I know, for us,

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Speaker 2: the alternative is what it like, what would I want

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Speaker 2: to get. I'd want to get like a newer So

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Speaker 2: I go to see in a hybrid or something I'm

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Speaker 2: going to drop like thirty five thousand dollars, and so

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Speaker 2: I'm thinking a four seems like four thousand versus thirty five.

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Speaker 2: I'm like, okay, no, I need to do what I

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Speaker 2: can to keep this ride on the road. And so

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Speaker 2: I think it does depend on the particular circumstances as well.

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Speaker 1: Yeah, I think, man, it is. It's always a tough

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Speaker 1: decision and a little.

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Speaker 2: About you, Like, Okay, let's let's say that you were

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Speaker 2: hit with a massive expense like on your Acuras old night.

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Speaker 1: So I think I gave the Honda. Yeah, the Accura

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Speaker 1: would be different for me because that's an O five, right,

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Speaker 1: and it's uh worth a whole lot less or honestly,

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Speaker 1: we have done, you know, of some repairs to it

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Speaker 1: over time since we've owned it, and it's been worth

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Speaker 1: every dime we've put into it, and we would could

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Speaker 1: probably continue to put money into it with the Accura.

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Speaker 1: If I was faced with a big bill, just because

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Speaker 1: it is so old and fully depreciated, I probably wouldn't

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Speaker 1: want to stick a big chunk of money into it.

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Speaker 1: I wouldn't go for something crazy expensive, a thirty five

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Speaker 1: thousand dollars car to replace it, you know, unless by

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Speaker 1: then I've saved up the cash for the Ribby and

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Speaker 1: R two and that's out at that point in time,

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Speaker 1: which maybe we'll see. But yeah, I think that would

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Speaker 1: be then just a lifestyle upgrade that I'm making intentionally,

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Speaker 1: which I think I would be ready for. So you

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Speaker 1: have to weigh kind of the pros and cons of

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Speaker 1: what other money goals do you have. That's true, how

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Speaker 1: much is it going to set you back by buying

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Speaker 1: the nicer, fancy your car. Hopefully it's going to keep

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Speaker 1: Tyler out of the mechanic shop as much as he

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Speaker 1: would have been with the with the S ten that

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Speaker 1: was maybe starting to experience more issues for me. Yeah,

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Speaker 1: the Accura wouldn't get a massive chunk of change for repairs,

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Speaker 1: I would sell it off, and I would I would

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Speaker 1: try to buy something that I thought was maybe a

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Speaker 1: little bit nicer and more reliable, but I would still

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Speaker 1: I hate spending money on cars, so it would still

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Speaker 1: be probably like a four digit price, not a five

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Speaker 1: digit price.

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Speaker 2: Yeah, well, so you said something about Tyler's staying out

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Speaker 2: of the repair shop. I think an important consideration is

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Speaker 2: the fact that I think we tend to overestimate what

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Speaker 2: we spend on our car is largely because it's mostly

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Speaker 2: like an emotionally frustrating time in our life. Right And

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Speaker 2: speaking of time, it's like literally a time suck to

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Speaker 2: have to take it in, to have to either find

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Speaker 2: a rental or maybe it's a more posh shop and

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Speaker 2: they give you a loaner car.

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Speaker 1: But either way, I think my check engine lights on

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Speaker 1: right now, and I'm like less worried about the cost.

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Speaker 1: I'm more worried about the frustration and the hassle to

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Speaker 1: have to take it in.

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Speaker 2: Yeah, but I think like this is an argument for

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Speaker 2: tracking or spending, because if you can keep up with

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Speaker 2: what you're spending on repairs, you're going to find that

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Speaker 2: you probably spend a lot less than you feel like

427
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Speaker 2: you are. In Consumer Reports finds that ten year old

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00:17:51,440 --> 00:17:53,600
Speaker 2: cars for most car brands are going to cost you

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Speaker 2: less than one thousand dollars in repairs and maintenance. And

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Speaker 2: that's not on an annual basis, right on an anial basis. Yeah,

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Speaker 2: and that's not a ton of money. And so especially

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Speaker 2: when it comes to some of the more reliable Japanese

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Speaker 2: cars that are out there.

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Speaker 1: Or Tesla is included in that too. So the making

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Speaker 1: model matters on that front. And you might look at

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Speaker 1: this one car that gets like a sixty eight rating

437
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Speaker 1: and this other one that gets an eighty three rating,

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Speaker 1: and I'm gonna go with the car that has an

439
00:18:17,560 --> 00:18:21,280
Speaker 1: eighty three rating, almost being equal. So look for the

440
00:18:21,320 --> 00:18:24,440
Speaker 1: cars with higher reliability ratings are gonna cost you less

441
00:18:24,760 --> 00:18:28,200
Speaker 1: over time when it comes to maintenance, and they're gonna

442
00:18:28,200 --> 00:18:29,800
Speaker 1: provide less frustration in your life too.

443
00:18:29,840 --> 00:18:32,080
Speaker 2: So that's what we're thinking about. We're thinking about financially

444
00:18:32,119 --> 00:18:34,240
Speaker 2: optimizing because but some folks they're going to want to

445
00:18:34,240 --> 00:18:35,960
Speaker 2: get the jeep. We were just talking to a buddy

446
00:18:36,119 --> 00:18:38,160
Speaker 2: recently and he's just like, yeah, but I'd really want

447
00:18:38,160 --> 00:18:40,000
Speaker 2: to splurge and get that jeep wagoneer and.

448
00:18:40,080 --> 00:18:40,800
Speaker 1: Just like, don't do it.

449
00:18:41,160 --> 00:18:43,560
Speaker 2: I've owned so many Jeeps over the years and think

450
00:18:43,960 --> 00:18:44,880
Speaker 2: it costs a lot of money.

451
00:18:44,920 --> 00:18:47,119
Speaker 1: They're not super reliable. It costs a lot to maintain.

452
00:18:47,200 --> 00:18:50,159
Speaker 2: This episode brought to you by Jeep Jee pats this

453
00:18:50,640 --> 00:18:52,320
Speaker 2: but Tyler, we have that gets cheap pointed in the

454
00:18:52,359 --> 00:18:54,640
Speaker 2: right direction, Joe. We've got more to get to, including

455
00:18:55,200 --> 00:18:57,919
Speaker 2: we're gonna hear from a listener who is questioning an

456
00:18:57,920 --> 00:19:02,080
Speaker 2: account that most homeowners knee jerk say yes to you.

457
00:19:02,080 --> 00:19:12,200
Speaker 1: We'll get to that and more right after this. All right, Matt,

458
00:19:12,200 --> 00:19:14,480
Speaker 1: we're back. We've got more listener questions to get to.

459
00:19:15,560 --> 00:19:17,440
Speaker 1: I'm excited about all the listener questions coming down the

460
00:19:17,480 --> 00:19:20,280
Speaker 1: pike in twenty twenty five. This one comes from a

461
00:19:20,320 --> 00:19:23,679
Speaker 1: listener who has a frugal or cheap conondrum for us.

462
00:19:24,040 --> 00:19:27,720
Speaker 5: Hi, Joelan, Matt, This is Jeff from Wisconsin. I'm retiring

463
00:19:27,760 --> 00:19:30,600
Speaker 5: next week at the age of fifty five. First, let

464
00:19:30,640 --> 00:19:32,640
Speaker 5: me say thank you for all the advice you've given

465
00:19:32,640 --> 00:19:34,640
Speaker 5: over the years that have helped me reach my goal.

466
00:19:35,320 --> 00:19:37,840
Speaker 5: I have a son going to an expensive private college

467
00:19:37,880 --> 00:19:41,480
Speaker 5: where the cost of attendance is need based, meaning the

468
00:19:41,560 --> 00:19:45,639
Speaker 5: lower are income, the lower the cost of attendance. Is

469
00:19:45,680 --> 00:19:48,560
Speaker 5: it frugal or cheap to live off only my wife's

470
00:19:48,640 --> 00:19:51,920
Speaker 5: teaching income while my son is in college to make

471
00:19:51,960 --> 00:19:55,359
Speaker 5: the cost of college less expensive. I look forward to

472
00:19:55,400 --> 00:19:56,760
Speaker 5: your discussion. U.

473
00:19:57,080 --> 00:19:59,440
Speaker 2: How cool is it that he said he's retiring next week.

474
00:19:59,520 --> 00:20:01,439
Speaker 2: He's like, I got it on the calendar for me

475
00:20:01,520 --> 00:20:04,080
Speaker 2: to retire. I got this important appointment to get to.

476
00:20:04,720 --> 00:20:07,439
Speaker 2: It's when I say peace out, it's all my coworkers.

477
00:20:07,680 --> 00:20:10,200
Speaker 2: That's amazing cool when thank you for the kind of

478
00:20:10,200 --> 00:20:14,840
Speaker 2: words he's reminded me of one of the listener wins

479
00:20:14,880 --> 00:20:16,760
Speaker 2: that we covered at the end of last year, where

480
00:20:16,760 --> 00:20:20,560
Speaker 2: somebody credited us, but Jeff, he's been doing the right thing, yeah,

481
00:20:20,600 --> 00:20:21,400
Speaker 2: for a long time.

482
00:20:21,440 --> 00:20:23,199
Speaker 1: I'm sure we weren't the ones putting money into his

483
00:20:23,200 --> 00:20:24,080
Speaker 1: four own k and I right.

484
00:20:24,119 --> 00:20:26,720
Speaker 2: I think maybe we were able to help explain what

485
00:20:26,760 --> 00:20:28,760
Speaker 2: it was that he had been doing. But I got

486
00:20:28,800 --> 00:20:29,199
Speaker 2: a feel and.

487
00:20:29,200 --> 00:20:31,680
Speaker 1: He was doing a lot of the right stuff for years,

488
00:20:31,720 --> 00:20:35,520
Speaker 1: if not decades, before this show even started to write. Oh, yeah,

489
00:20:35,960 --> 00:20:38,000
Speaker 1: we haven't been around. We've been around a while, seven

490
00:20:38,040 --> 00:20:40,840
Speaker 1: years now, we've been around that long. And yeah, I'm

491
00:20:40,840 --> 00:20:42,760
Speaker 1: curious too to know what Jeff's going to be doing

492
00:20:42,800 --> 00:20:45,399
Speaker 1: with his days retiring at such a young age. You know,

493
00:20:45,440 --> 00:20:47,960
Speaker 1: we talk often about the research that our friend Wes

494
00:20:48,040 --> 00:20:49,919
Speaker 1: Moss has done when it comes to the secrets of

495
00:20:49,920 --> 00:20:53,800
Speaker 1: the happiest re tirese and just how having essentially hobbies

496
00:20:53,800 --> 00:20:56,840
Speaker 1: on steroids, having a wide variety that having relational connection.

497
00:20:57,080 --> 00:20:58,520
Speaker 1: I don't know, are all Jeff's friend's going to be

498
00:20:58,560 --> 00:21:01,119
Speaker 1: working still and he's only one kind of at the

499
00:21:01,200 --> 00:21:03,280
Speaker 1: golf course or something like that. I hope that you

500
00:21:03,359 --> 00:21:06,720
Speaker 1: have a bunch of things to pour your your life into,

501
00:21:06,880 --> 00:21:09,439
Speaker 1: Jeff Woo. The older I get, mat the more hobbies

502
00:21:09,440 --> 00:21:11,560
Speaker 1: I find, and I'm like, I can see this retirement

503
00:21:11,560 --> 00:21:13,679
Speaker 1: thing like I've got enough things that could take up

504
00:21:13,680 --> 00:21:16,080
Speaker 1: my time that I would find a lot of joy in.

505
00:21:16,240 --> 00:21:18,320
Speaker 2: Well, I'm glad you said that because I was going

506
00:21:18,359 --> 00:21:21,280
Speaker 2: to push back on your approach to Jeff when you

507
00:21:21,359 --> 00:21:24,200
Speaker 2: said we're retiring at such a young age, because I

508
00:21:24,200 --> 00:21:26,960
Speaker 2: don't want fifty five to be the you know, as

509
00:21:27,040 --> 00:21:27,520
Speaker 2: young as.

510
00:21:27,520 --> 00:21:29,240
Speaker 1: Maybe we used to think. It was just according to

511
00:21:29,840 --> 00:21:31,960
Speaker 1: what his peers are doing, the traditional retirement, most of

512
00:21:31,960 --> 00:21:34,520
Speaker 1: them are going to sure, but like man it's.

513
00:21:34,640 --> 00:21:36,840
Speaker 2: By doing the right thing, like and not even like

514
00:21:37,000 --> 00:21:39,240
Speaker 2: in a crazy way, but by setting money aside.

515
00:21:39,359 --> 00:21:40,520
Speaker 1: I think there there are a whole lot.

516
00:21:40,480 --> 00:21:42,760
Speaker 2: Of folks who can who could likely retire at at

517
00:21:42,760 --> 00:21:45,000
Speaker 2: a younger age life fifty five more so than they

518
00:21:45,160 --> 00:21:47,240
Speaker 2: than they think. But let's get to this question. And

519
00:21:47,280 --> 00:21:49,600
Speaker 2: I know some listeners might disagree with my take here,

520
00:21:50,119 --> 00:21:53,000
Speaker 2: but whether or not Jeff is being frugal or cheap

521
00:21:53,040 --> 00:21:54,040
Speaker 2: here is pretty clear.

522
00:21:54,440 --> 00:21:57,600
Speaker 1: I think this is totally frugal, okay, not cheap.

523
00:21:58,040 --> 00:22:00,119
Speaker 2: And to explain this, let's just talk about how why

524
00:22:00,119 --> 00:22:03,160
Speaker 2: all systems are designed and created, how they're set up

525
00:22:03,600 --> 00:22:08,200
Speaker 2: to incentivize certain behaviors, and by jumping through the right hoops,

526
00:22:08,320 --> 00:22:10,640
Speaker 2: it's going to allow us to financially benefit. So something

527
00:22:10,680 --> 00:22:13,159
Speaker 2: similar to this might be taking a year off work,

528
00:22:13,600 --> 00:22:14,560
Speaker 2: let's say to do.

529
00:22:14,480 --> 00:22:15,760
Speaker 1: Some wroth conversions.

530
00:22:16,240 --> 00:22:18,399
Speaker 2: Well, okay, not many folks are gonna be able to

531
00:22:18,440 --> 00:22:20,280
Speaker 2: do that or could afford to do that, But by

532
00:22:20,320 --> 00:22:22,520
Speaker 2: doing this it can offer a massive tax break for

533
00:22:22,520 --> 00:22:24,760
Speaker 2: folks who are able to pull it off. Even let's

534
00:22:24,800 --> 00:22:26,640
Speaker 2: say if you're your net worth is like, say five

535
00:22:26,680 --> 00:22:29,359
Speaker 2: million dollars. Yeah, I just don't see any reason to

536
00:22:29,400 --> 00:22:32,200
Speaker 2: not pull levers that are one hundred percent.

537
00:22:32,000 --> 00:22:33,960
Speaker 1: Legal and readily available to you.

538
00:22:34,000 --> 00:22:35,760
Speaker 2: It's just it's like taking a tax credit or something

539
00:22:35,800 --> 00:22:37,560
Speaker 2: like like we we kind of talked about that recently,

540
00:22:37,600 --> 00:22:41,200
Speaker 2: taken green tax credit, right, like energy efficients. It's like, well, no,

541
00:22:41,440 --> 00:22:45,080
Speaker 2: just because you can afford to pay those taxes and

542
00:22:45,080 --> 00:22:47,240
Speaker 2: not receive that tax credit, that doesn't mean you shouldn't

543
00:22:47,240 --> 00:22:48,840
Speaker 2: receive that if you follow the rules.

544
00:22:48,880 --> 00:22:51,080
Speaker 1: So those incentives exist for a reason, and the tax

545
00:22:51,080 --> 00:22:54,439
Speaker 1: code is rife with incentives for people to do a

546
00:22:54,480 --> 00:22:57,959
Speaker 1: myriad of different things. And so like why do we

547
00:22:58,000 --> 00:22:59,560
Speaker 1: put money into a four to one K instead of

548
00:22:59,560 --> 00:23:01,800
Speaker 1: a taxable broker's account and lock it away for decades. Well,

549
00:23:01,800 --> 00:23:04,280
Speaker 1: it's because of the tax incentives that are offered. And

550
00:23:04,480 --> 00:23:06,040
Speaker 1: there's no shame in that game. I don't see any

551
00:23:06,080 --> 00:23:08,480
Speaker 1: reason not to jump through those hoops, the hoops that

552
00:23:08,520 --> 00:23:10,159
Speaker 1: are essentially laid out in front of you. It's not

553
00:23:10,200 --> 00:23:12,399
Speaker 1: like Jeff is saying, hey, what if I moved some

554
00:23:12,440 --> 00:23:14,960
Speaker 1: money to the Cayman Islands and I like tried to

555
00:23:14,960 --> 00:23:17,000
Speaker 1: shout some things in secrecy to the IRIS, didn't know

556
00:23:17,040 --> 00:23:18,200
Speaker 1: my actual network or something.

557
00:23:18,200 --> 00:23:20,199
Speaker 2: I have straight up lying, Yeah, that's a different thing,

558
00:23:20,880 --> 00:23:23,119
Speaker 2: or not your net worth, but your your income.

559
00:23:23,280 --> 00:23:23,440
Speaker 3: Like it.

560
00:23:23,600 --> 00:23:26,360
Speaker 2: It's one thing if you're going to say, Okay, we're

561
00:23:26,400 --> 00:23:28,679
Speaker 2: just gonna live off of my wife's income, truly, and

562
00:23:28,680 --> 00:23:30,600
Speaker 2: that's what we're gonna do, it's another thing to say.

563
00:23:30,840 --> 00:23:33,160
Speaker 2: But really, I'm gonna be working on the side and

564
00:23:33,200 --> 00:23:35,200
Speaker 2: I'm going to be selling investments and I'm not going

565
00:23:35,280 --> 00:23:37,639
Speaker 2: to tell the irs that I've made Yeah, have got

566
00:23:37,680 --> 00:23:40,800
Speaker 2: capital gains here? No, No, that's straight up against.

567
00:23:40,560 --> 00:23:43,880
Speaker 1: The laws, deception and illegal DECENTI that's not what we're

568
00:23:43,880 --> 00:23:46,040
Speaker 1: talking about here though, right, And so Matt, some people

569
00:23:46,119 --> 00:23:48,159
Speaker 1: might say, well, I'm trying to lower my income on

570
00:23:48,160 --> 00:23:50,760
Speaker 1: purpose by contributing more to pre tax accounts to reduce

571
00:23:50,760 --> 00:23:53,440
Speaker 1: my student loan payment. That to us, or maybe take

572
00:23:53,440 --> 00:23:57,080
Speaker 1: get like an increased health care subsidy. Those are those

573
00:23:57,119 --> 00:24:00,080
Speaker 1: to me are also that's the way the insane of

574
00:24:00,160 --> 00:24:02,040
Speaker 1: his work, So why not take advantage of it. I

575
00:24:02,080 --> 00:24:04,439
Speaker 1: don't see anything wrong with what Jeff is willing to do.

576
00:24:04,520 --> 00:24:08,439
Speaker 1: And I think also a lot of folks maybe couldn't

577
00:24:08,440 --> 00:24:10,359
Speaker 1: reduce their income to the extent that Jeff is willing

578
00:24:10,359 --> 00:24:12,879
Speaker 1: to in order to qualify for these higher levels of

579
00:24:12,920 --> 00:24:15,199
Speaker 1: financial aid. They just wouldn't be able to live on

580
00:24:15,280 --> 00:24:17,119
Speaker 1: that much less. But Jeff is saying, we can do it.

581
00:24:17,119 --> 00:24:19,119
Speaker 1: We're frugal, we know we know how to make it

582
00:24:19,240 --> 00:24:21,600
Speaker 1: work on just my wife's salary. And if you can

583
00:24:21,640 --> 00:24:24,160
Speaker 1: live the life you want, Jeff on your wife's income

584
00:24:24,200 --> 00:24:26,280
Speaker 1: alone for the next few years, and it's going to

585
00:24:26,280 --> 00:24:29,280
Speaker 1: allow your son to qualify for more aid from the college,

586
00:24:29,520 --> 00:24:32,160
Speaker 1: I think it's a reasonable route to take. Absolutely. Yeah.

587
00:24:32,359 --> 00:24:34,040
Speaker 2: I think that's important to highlight here too. It's not

588
00:24:34,080 --> 00:24:37,560
Speaker 2: like he's cheating. He's truly feeling the impact of living

589
00:24:37,640 --> 00:24:39,560
Speaker 2: on less of an income, like it is going to

590
00:24:39,600 --> 00:24:41,760
Speaker 2: impact his lifestyle, like in a more if.

591
00:24:41,760 --> 00:24:44,320
Speaker 1: It was going to make him incredibly uncomfortable, I would say, dude,

592
00:24:44,320 --> 00:24:46,240
Speaker 1: that might be a little cheat. But if you could

593
00:24:46,280 --> 00:24:49,360
Speaker 1: sure be comfortable a living on just your salary alone,

594
00:24:49,680 --> 00:24:51,080
Speaker 1: I don't see why not. Yeah, if they had to

595
00:24:51,080 --> 00:24:53,320
Speaker 1: take extreme measures, then you've kind of got the tail

596
00:24:53,320 --> 00:24:55,720
Speaker 1: wagon the dog. Yeah, right, Like so it almost makes

597
00:24:55,720 --> 00:24:58,680
Speaker 1: me think of like a more consumption based scenario where like,

598
00:24:58,760 --> 00:24:59,840
Speaker 1: let's say you have the money to buy.

599
00:24:59,760 --> 00:25:01,480
Speaker 2: A fan sports car, like you're going to get a

600
00:25:01,480 --> 00:25:06,200
Speaker 2: Corvette or a Mustang Moche or whatever, Right, like the

601
00:25:06,480 --> 00:25:08,440
Speaker 2: electric hustand or whatever. It costs a lot of money.

602
00:25:08,480 --> 00:25:11,320
Speaker 2: Sports Cars high risk. Well, what's what typically happens to

603
00:25:11,359 --> 00:25:13,239
Speaker 2: your insurance costs when you get something like that, Well,

604
00:25:13,280 --> 00:25:16,359
Speaker 2: your insurance goes up due to the increased risk and

605
00:25:16,400 --> 00:25:19,119
Speaker 2: likelihood of you getting in a wreck. Well, should you

606
00:25:19,200 --> 00:25:21,080
Speaker 2: not get the sports car just to be able to

607
00:25:21,080 --> 00:25:23,879
Speaker 2: bring down your insurance costs? Like would you say to yourself, well,

608
00:25:23,920 --> 00:25:27,480
Speaker 2: I'm not going to choose this this vehicle because I

609
00:25:27,520 --> 00:25:28,400
Speaker 2: don't want to pay that much.

610
00:25:28,400 --> 00:25:29,080
Speaker 1: Well, probably not.

611
00:25:29,160 --> 00:25:32,240
Speaker 2: There are other considerations there, There are bigger considerations in mind.

612
00:25:32,320 --> 00:25:34,040
Speaker 2: But if you're in a position to where you don't

613
00:25:34,400 --> 00:25:38,600
Speaker 2: necessarily want or need that vehicle, well, by all means,

614
00:25:38,680 --> 00:25:40,360
Speaker 2: don't get the fancy car. If that's going to allow

615
00:25:40,359 --> 00:25:41,960
Speaker 2: you to save the money. And in this way, you're

616
00:25:42,240 --> 00:25:44,240
Speaker 2: constraining your lifestyle in such a way that's going to

617
00:25:44,280 --> 00:25:44,880
Speaker 2: allow you to.

618
00:25:45,280 --> 00:25:48,840
Speaker 1: Reap another financial benefit in the form of financial assistance. Yeah,

619
00:25:48,880 --> 00:25:51,440
Speaker 1: and the example you're pointing out here map makes a

620
00:25:51,480 --> 00:25:53,040
Speaker 1: lot of sense. But I think it's also important to

621
00:25:53,040 --> 00:25:55,760
Speaker 1: mention that sometimes the financial system doesn't make perfect sense.

622
00:25:56,080 --> 00:25:58,200
Speaker 1: Like when you're trying to get a mortgage, your net

623
00:25:58,200 --> 00:26:01,320
Speaker 1: worth isn't nearly as important. Don't factor that in as

624
00:26:01,440 --> 00:26:03,760
Speaker 1: much as your debt to income ratio. So you might say,

625
00:26:03,760 --> 00:26:05,840
Speaker 1: I don't make much money. I make eighty thousand dollars

626
00:26:05,840 --> 00:26:08,119
Speaker 1: a year, but I've got five million dollars in my

627
00:26:08,160 --> 00:26:10,280
Speaker 1: investment accounts, and they might say, sorry, you don't qualify

628
00:26:10,320 --> 00:26:11,760
Speaker 1: for the mortgage on the two million dollar home.

629
00:26:11,800 --> 00:26:13,600
Speaker 2: It's where it's going to feel a little bit backwards, right,

630
00:26:13,680 --> 00:26:15,760
Speaker 2: Wait a minute, you're not going to allow me to

631
00:26:16,000 --> 00:26:17,640
Speaker 2: get a mortgage on this property when.

632
00:26:17,600 --> 00:26:19,560
Speaker 1: Yeh, I could pay cash for it. Or when you

633
00:26:19,600 --> 00:26:21,439
Speaker 1: talk about the credit score, like the way the credit

634
00:26:21,440 --> 00:26:24,280
Speaker 1: scoring system is. We talk about it regularly because it's

635
00:26:24,320 --> 00:26:27,160
Speaker 1: important to how people handle their finances, but it doesn't

636
00:26:27,160 --> 00:26:29,440
Speaker 1: make perfect sense, and there are elements of the credit

637
00:26:29,440 --> 00:26:31,960
Speaker 1: score that are flawed and we wish we're changed. But

638
00:26:32,400 --> 00:26:35,040
Speaker 1: still like the system is what it is, and kind

639
00:26:35,040 --> 00:26:38,560
Speaker 1: of using the system to your advantage I think makes sense. Right.

640
00:26:38,600 --> 00:26:41,760
Speaker 1: The incentives that get put in place understandably drive our behavior.

641
00:26:41,920 --> 00:26:44,120
Speaker 2: Yeah, that is a specific instance where you do want

642
00:26:44,160 --> 00:26:47,600
Speaker 2: to take into account how well making less income impact

643
00:26:47,640 --> 00:26:49,200
Speaker 2: our ability to live the life we want to live,

644
00:26:49,240 --> 00:26:53,520
Speaker 2: because most likely maybe they're looking to downsize. Well, shoot,

645
00:26:53,560 --> 00:26:55,080
Speaker 2: I guess either way, if you're looking at downside and

646
00:26:55,080 --> 00:26:56,960
Speaker 2: buy a different home, you still might be wanting.

647
00:26:56,880 --> 00:26:58,720
Speaker 1: To take out a mortgage on that property.

648
00:26:59,000 --> 00:27:00,960
Speaker 2: And even though you might be in a scenario where

649
00:27:01,000 --> 00:27:03,679
Speaker 2: you could pay cash, you don't always want to do that,

650
00:27:03,880 --> 00:27:05,879
Speaker 2: especially if you're having to draw more money out of

651
00:27:05,880 --> 00:27:08,760
Speaker 2: your retirement and so in that case, manual underwriting is

652
00:27:08,800 --> 00:27:12,920
Speaker 2: actually the solution to doing that, as opposed to uploading

653
00:27:13,320 --> 00:27:16,479
Speaker 2: your tax returns and having the algorithm and the computer

654
00:27:16,920 --> 00:27:19,680
Speaker 2: say yes or no, you're actually working with a human being.

655
00:27:19,880 --> 00:27:21,199
Speaker 2: This is something that Kate and I had to do

656
00:27:21,240 --> 00:27:24,240
Speaker 2: when we purchased our first home and we just started

657
00:27:24,280 --> 00:27:26,600
Speaker 2: our photography company and we had only been in business

658
00:27:26,600 --> 00:27:29,520
Speaker 2: for one year. The banks don't like that now, it's

659
00:27:29,560 --> 00:27:30,320
Speaker 2: that they wouldn't like.

660
00:27:30,320 --> 00:27:34,000
Speaker 1: The self employed one year income years of income. Yeah.

661
00:27:34,040 --> 00:27:36,800
Speaker 2: Well, and even then, it's not like we were super profitable,

662
00:27:36,840 --> 00:27:38,360
Speaker 2: Like we didn't have a ton of money on hands.

663
00:27:38,400 --> 00:27:42,000
Speaker 2: So we had to provide every single shred of documentation

664
00:27:42,040 --> 00:27:44,360
Speaker 2: that had any numbers on it at all in order

665
00:27:44,400 --> 00:27:45,399
Speaker 2: for the A and we had to put down a

666
00:27:45,440 --> 00:27:48,280
Speaker 2: little extra and that was a way for them to

667
00:27:48,640 --> 00:27:50,960
Speaker 2: mitigate some of the risks that they were incurring. But Jeff,

668
00:27:51,119 --> 00:27:52,600
Speaker 2: the last thing to mention here, though, is that it's

669
00:27:52,640 --> 00:27:55,760
Speaker 2: not just your income that impacts the financial aid for

670
00:27:55,880 --> 00:27:58,480
Speaker 2: college when you fill out the FAFSA, because they take

671
00:27:58,480 --> 00:28:02,200
Speaker 2: into consideration your assets as well, and it would obviously

672
00:28:02,240 --> 00:28:05,320
Speaker 2: be cheap in this case not frugal to say, spend

673
00:28:05,320 --> 00:28:09,480
Speaker 2: down all of your retirement money on stuff on boats,

674
00:28:09,560 --> 00:28:12,920
Speaker 2: on trips and clothing whatever, in order to snag more

675
00:28:12,960 --> 00:28:16,480
Speaker 2: grants or assistance for your your son's education. So I

676
00:28:16,560 --> 00:28:18,600
Speaker 2: just wanted to mention that it's not just about income,

677
00:28:19,080 --> 00:28:22,000
Speaker 2: and we would encourage you to know all of the

678
00:28:22,040 --> 00:28:24,880
Speaker 2: details before you try to start jumping through these hoops

679
00:28:25,080 --> 00:28:28,440
Speaker 2: that might end up cramping your lifestyle that ultimately ends

680
00:28:28,520 --> 00:28:29,400
Speaker 2: up not netting you.

681
00:28:29,400 --> 00:28:31,760
Speaker 1: The results that you were hoping to achieve.

682
00:28:31,760 --> 00:28:33,680
Speaker 2: I would I would hate for you to find yourself

683
00:28:33,680 --> 00:28:36,600
Speaker 2: in that situation, especially it sounds like this is more

684
00:28:36,680 --> 00:28:38,320
Speaker 2: Jeff's idea, maybe less his wife's.

685
00:28:38,040 --> 00:28:40,640
Speaker 1: Idea, especially if his wife's like she's like, wait, wait,

686
00:28:40,920 --> 00:28:42,480
Speaker 1: what do we wait? What are we doing? What you

687
00:28:42,520 --> 00:28:43,000
Speaker 1: sign me up for?

688
00:28:43,120 --> 00:28:46,000
Speaker 2: All of a sudden, you're retiring and you're like, turn

689
00:28:46,040 --> 00:28:48,040
Speaker 2: into the coupon lady, Now we have to live like poppers.

690
00:28:48,080 --> 00:28:50,880
Speaker 2: Come on, come on, hate against coupons, Yeah, but it's

691
00:28:50,880 --> 00:28:52,840
Speaker 2: often equated with a certain lifestyle that people are trying

692
00:28:52,840 --> 00:28:53,240
Speaker 2: to avoid.

693
00:28:53,320 --> 00:28:55,240
Speaker 1: That's all I'm saying. Just make sure your wife is

694
00:28:55,560 --> 00:28:57,720
Speaker 1: on board with this too, and make sure you've got

695
00:28:57,720 --> 00:29:00,200
Speaker 1: your eyes dotted and your teas crossed. That's right, Matt.

696
00:29:00,240 --> 00:29:02,720
Speaker 1: Let's get to a question about how we pay for

697
00:29:02,760 --> 00:29:05,240
Speaker 1: our mortgages. There is there a more efficient way that

698
00:29:05,280 --> 00:29:06,320
Speaker 1: can help us save money?

699
00:29:06,720 --> 00:29:08,840
Speaker 3: Him, Matt, and Joel, this is Mike from Kansas City,

700
00:29:08,880 --> 00:29:12,440
Speaker 3: longtime listener, second time caller. Really appreciate the advice you

701
00:29:12,480 --> 00:29:14,720
Speaker 3: gave regarding my wife's pension and how we could plan

702
00:29:14,760 --> 00:29:19,320
Speaker 3: ahead for retirement with her pension and consideration. I'm calling

703
00:29:19,360 --> 00:29:23,360
Speaker 3: this time to ask more specifically about escrow accounts. My

704
00:29:23,440 --> 00:29:26,680
Speaker 3: wife and I are considering being removed or dropping the

705
00:29:26,840 --> 00:29:29,520
Speaker 3: escrow and managing it on our own. And this thought

706
00:29:29,600 --> 00:29:32,640
Speaker 3: was primarily driven from the recent property tax increases in

707
00:29:32,680 --> 00:29:37,640
Speaker 3: our area where our neighborhood and our county for most houses,

708
00:29:37,840 --> 00:29:41,280
Speaker 3: essentially the property tax is doubled. And we're not saying

709
00:29:41,280 --> 00:29:44,200
Speaker 3: that there's anything being mismanaged in the escrow but we

710
00:29:44,240 --> 00:29:47,240
Speaker 3: just started thinking would it be more efficient for us

711
00:29:47,280 --> 00:29:50,600
Speaker 3: to manage it ourselves. Our taxes are due December of

712
00:29:50,640 --> 00:29:52,560
Speaker 3: each year. We could put that money aside in a

713
00:29:52,600 --> 00:29:54,960
Speaker 3: high yield savings and feel like we had a little

714
00:29:54,960 --> 00:29:57,800
Speaker 3: bit more control over things. So very interested to hear

715
00:29:57,840 --> 00:29:59,560
Speaker 3: your thoughts on this, Thank you so much.

716
00:29:59,720 --> 00:30:02,360
Speaker 1: Man Kansas City taxes not being due till the end

717
00:30:02,400 --> 00:30:05,200
Speaker 1: of the year December, that's I love it being on

718
00:30:05,240 --> 00:30:08,400
Speaker 1: the calendar year like that. Yeah, if sis in the summer,

719
00:30:08,400 --> 00:30:10,880
Speaker 1: it seems like all or it's the fall.

720
00:30:10,760 --> 00:30:12,720
Speaker 2: For I know for a couple of my properties. But

721
00:30:13,040 --> 00:30:15,840
Speaker 2: that kind of impacts how I view Mike's question here

722
00:30:15,880 --> 00:30:19,640
Speaker 2: because it does simplify it. It helps to streamline the

723
00:30:19,640 --> 00:30:22,000
Speaker 2: problem a little bit, as opposed to following somewhere awkwardly

724
00:30:22,000 --> 00:30:23,440
Speaker 2: in the year where you might forget about it.

725
00:30:23,480 --> 00:30:25,400
Speaker 1: Yeah, save up all year long for that thing. It

726
00:30:25,440 --> 00:30:27,200
Speaker 1: feels like a nice end of the year thing that

727
00:30:27,200 --> 00:30:28,120
Speaker 1: you can kind of check off.

728
00:30:28,160 --> 00:30:30,400
Speaker 2: But I love that, just generally speaking, that Mike's asking

729
00:30:30,400 --> 00:30:33,320
Speaker 2: this question, because it's not one that many folks ask.

730
00:30:33,440 --> 00:30:36,200
Speaker 2: They just assume that, yes, the escrow, it does make

731
00:30:36,240 --> 00:30:38,560
Speaker 2: the most sense for them. It's the default auction, and

732
00:30:38,600 --> 00:30:42,240
Speaker 2: it is especially I remember that first loan that we got.

733
00:30:42,360 --> 00:30:44,720
Speaker 2: It was either our realtor or somebody they were talking to,

734
00:30:44,880 --> 00:30:47,120
Speaker 2: like oh yeah, yeah, yeah, yeah, you totally.

735
00:30:46,720 --> 00:30:47,880
Speaker 1: You want to go with the escrow.

736
00:30:48,440 --> 00:30:51,120
Speaker 2: And I think it could certainly make it easier to

737
00:30:51,160 --> 00:30:53,240
Speaker 2: budget because you've got everything kind of rolled into that

738
00:30:53,600 --> 00:30:56,440
Speaker 2: one payment, But it's also not the right decision for

739
00:30:56,560 --> 00:30:57,200
Speaker 2: everyone out there.

740
00:30:57,240 --> 00:30:59,720
Speaker 1: Yeah, and you lose a certain a little bit of

741
00:30:59,720 --> 00:31:04,560
Speaker 1: control if you opt for escro instead of DIY paying

742
00:31:04,560 --> 00:31:07,160
Speaker 1: those bills yourself. And I think the main reason to

743
00:31:07,240 --> 00:31:10,560
Speaker 1: consider paying all those bills individually is kind of the

744
00:31:10,600 --> 00:31:14,200
Speaker 1: ability to budget not screw it up. Instead of relying

745
00:31:14,280 --> 00:31:16,880
Speaker 1: on your mortgage provider to pay everything when it's due,

746
00:31:17,040 --> 00:31:18,880
Speaker 1: you kind of put that onus on yourself. You take

747
00:31:18,920 --> 00:31:21,120
Speaker 1: that on your own shoulders. And if you're a type

748
00:31:21,160 --> 00:31:24,200
Speaker 1: a personality who doesn't let things fall through the cracks,

749
00:31:24,520 --> 00:31:26,960
Speaker 1: I get the desire to take this into your own hands.

750
00:31:26,960 --> 00:31:28,880
Speaker 1: I mean, basically, you're gonna have a lower payment each

751
00:31:29,000 --> 00:31:31,120
Speaker 1: and every month because you'll only be paying the principle

752
00:31:31,120 --> 00:31:34,200
Speaker 1: and interest to the bank, but you'll be saving and

753
00:31:34,320 --> 00:31:38,640
Speaker 1: bankrolling for those other big expenses yourself. But Matt. It's

754
00:31:38,640 --> 00:31:41,160
Speaker 1: important to mention, and I think this is essentially why

755
00:31:41,440 --> 00:31:44,200
Speaker 1: the escrosystem exists and why most people opt to do it,

756
00:31:44,280 --> 00:31:47,160
Speaker 1: partly because it's just the default, but also because even

757
00:31:47,200 --> 00:31:50,719
Speaker 1: for well intentioned folks, this could and can end up

758
00:31:50,960 --> 00:31:52,840
Speaker 1: biting them in the butt. Yeah I get that.

759
00:31:53,200 --> 00:31:56,120
Speaker 2: Yeah, I think there might be some folks who would say, like,

760
00:31:56,160 --> 00:31:58,520
Speaker 2: why bother. Even if you like control and you want

761
00:31:58,560 --> 00:32:01,360
Speaker 2: to optimiz stuff, the escrosystem works pretty well, it's not broke.

762
00:32:02,040 --> 00:32:03,280
Speaker 1: Why mess with it? Why fix it?

763
00:32:03,720 --> 00:32:06,720
Speaker 2: The truth is you might have thousands of dollars hanging

764
00:32:06,720 --> 00:32:10,280
Speaker 2: out in an Escro account that's not doing you know,

765
00:32:10,360 --> 00:32:12,040
Speaker 2: a darn thing for you most of the year.

766
00:32:12,080 --> 00:32:13,640
Speaker 1: And you and I, we own rental properties, We have

767
00:32:13,760 --> 00:32:15,800
Speaker 1: thousands of dollars in multiple accounts doing this.

768
00:32:16,040 --> 00:32:18,360
Speaker 2: Yes, if you instead have that money in your own

769
00:32:18,440 --> 00:32:21,040
Speaker 2: high savings account, you would be able to earn a

770
00:32:21,080 --> 00:32:24,760
Speaker 2: decent return like that is a legit reason, and I think,

771
00:32:24,800 --> 00:32:27,880
Speaker 2: honestly that alone is worth considering making this move, because

772
00:32:27,880 --> 00:32:30,040
Speaker 2: if you had even just an average of five thousand

773
00:32:30,080 --> 00:32:32,560
Speaker 2: dollars sitting there, you might miss out on a few

774
00:32:32,640 --> 00:32:36,440
Speaker 2: hundred bucks in interest. It depends on where savings rates

775
00:32:36,440 --> 00:32:39,400
Speaker 2: continue to go. But you know, this isn't like a

776
00:32:39,560 --> 00:32:42,840
Speaker 2: life changing amount of money, but it does matter, and

777
00:32:43,160 --> 00:32:44,960
Speaker 2: we like to leave no stone unturned.

778
00:32:45,040 --> 00:32:46,720
Speaker 1: Yeah, I mean, I think especially if you're keen on

779
00:32:46,760 --> 00:32:49,320
Speaker 1: it anyway, and you're saying, well, I kind of like

780
00:32:49,360 --> 00:32:52,440
Speaker 1: the idea of paying these things myself and not kind

781
00:32:52,440 --> 00:32:56,560
Speaker 1: of letting the bank handle every single transaction, then I

782
00:32:56,560 --> 00:32:58,560
Speaker 1: don't know. I think for Mike it could make sense.

783
00:32:58,600 --> 00:33:01,560
Speaker 1: I think another pro for ditching escrow is that it

784
00:33:01,680 --> 00:33:04,880
Speaker 1: highlights the insurance and property tax bill in a way

785
00:33:04,920 --> 00:33:07,200
Speaker 1: that gets shrouded. It's kind of like budget billing for

786
00:33:07,480 --> 00:33:11,240
Speaker 1: your electricity, and we don't like budget billing because it

787
00:33:11,240 --> 00:33:14,960
Speaker 1: makes you less sensitive to the fact of over use.

788
00:33:15,360 --> 00:33:17,400
Speaker 1: And if you get a massive bill in the summer,

789
00:33:17,880 --> 00:33:19,400
Speaker 1: sorry I hate that for you, but it probably is

790
00:33:19,440 --> 00:33:22,360
Speaker 1: going to make you turn the thermostat higher up. It's

791
00:33:22,360 --> 00:33:24,600
Speaker 1: like you're not going to run the ac as much

792
00:33:24,640 --> 00:33:26,320
Speaker 1: because you just got smacked in the face with a

793
00:33:26,320 --> 00:33:29,000
Speaker 1: really high bill. With budget billing, it doesn't smack you

794
00:33:29,000 --> 00:33:30,280
Speaker 1: in the face in the same way, and so you

795
00:33:30,320 --> 00:33:32,840
Speaker 1: just kind of let it linger. When you're physically paying

796
00:33:32,880 --> 00:33:35,440
Speaker 1: these bills yourself, you feel the pain a little bit more.

797
00:33:35,800 --> 00:33:39,400
Speaker 1: And Mike's already aware because he mentioned that his taxes doubled,

798
00:33:39,640 --> 00:33:42,480
Speaker 1: which is awful. And while that massive increase isn't good,

799
00:33:42,760 --> 00:33:44,920
Speaker 1: feeling the pain of it is good to a certain

800
00:33:44,960 --> 00:33:49,160
Speaker 1: extent because it means you're more likely to challenge that

801
00:33:49,160 --> 00:33:51,280
Speaker 1: property tax bill, or on the insurance front, it means

802
00:33:51,280 --> 00:33:54,040
Speaker 1: you're more likely to shop around. Well, that's exactly what

803
00:33:54,080 --> 00:33:57,160
Speaker 1: you should be doing if there's a massive increase that

804
00:33:57,240 --> 00:33:59,400
Speaker 1: just overvalued your property. It makes me just really quickly

805
00:33:59,400 --> 00:34:01,680
Speaker 1: want to bring up a site called own well dot

806
00:34:01,720 --> 00:34:04,560
Speaker 1: com where instead of hiring a lawyer or diying, and

807
00:34:04,600 --> 00:34:07,080
Speaker 1: it's this perfect in between things where you can essentially

808
00:34:07,200 --> 00:34:10,759
Speaker 1: challenge your property tax bill using a company who does

809
00:34:10,800 --> 00:34:13,120
Speaker 1: everything behind the scenes, takes you almost no time. They

810
00:34:13,160 --> 00:34:15,960
Speaker 1: do take a cut, but only if they succeed. But yeah,

811
00:34:16,280 --> 00:34:19,319
Speaker 1: seeing those bills firsthand is going to make you more

812
00:34:19,320 --> 00:34:22,720
Speaker 1: pre sensitive and more likely to kind of challenge those

813
00:34:22,800 --> 00:34:25,839
Speaker 1: increased costs instead of just taking them on the chin. Totally. Yeah,

814
00:34:25,880 --> 00:34:26,160
Speaker 1: we Yeah.

815
00:34:26,200 --> 00:34:28,640
Speaker 2: What you're pointing to here is the fact that escrow accounts,

816
00:34:28,640 --> 00:34:31,359
Speaker 2: they essentially insulate us from some of the movements when

817
00:34:31,360 --> 00:34:33,080
Speaker 2: it like some of the price increases when it comes

818
00:34:33,120 --> 00:34:35,080
Speaker 2: to our taxes, when it comes to our insurance.

819
00:34:35,120 --> 00:34:38,040
Speaker 1: So the insulation open cell, our clothes.

820
00:34:37,600 --> 00:34:40,000
Speaker 2: It numbs you out, and we want you to be

821
00:34:40,080 --> 00:34:42,239
Speaker 2: more in tune with going with what's going on with

822
00:34:42,280 --> 00:34:45,120
Speaker 2: your money. And going back to I like, I was

823
00:34:45,160 --> 00:34:47,840
Speaker 2: kind of making the you know, the devil's advocate argument

824
00:34:47,880 --> 00:34:49,560
Speaker 2: of like if it's not if it ain't broke, don't

825
00:34:49,560 --> 00:34:52,279
Speaker 2: fix it. But the fact is, and I feel like

826
00:34:52,280 --> 00:34:54,560
Speaker 2: we're kind of we've been talking around this, it kind

827
00:34:54,560 --> 00:34:57,960
Speaker 2: of is broke because I've got multiple properties where the

828
00:34:58,200 --> 00:35:02,080
Speaker 2: escrow the loan service where they didn't pay my taxes

829
00:35:02,320 --> 00:35:04,279
Speaker 2: and so because of that, I had to pay out

830
00:35:04,320 --> 00:35:05,840
Speaker 2: of pocket. And I'm like, what's going on here? But

831
00:35:05,920 --> 00:35:07,640
Speaker 2: you know, and so now like literally I.

832
00:35:07,680 --> 00:35:09,000
Speaker 1: Just a customer service nightmare too.

833
00:35:09,160 --> 00:35:12,160
Speaker 2: Yeah, it's a massive pain in the butt. And I've

834
00:35:12,160 --> 00:35:14,200
Speaker 2: had this happen with county taxes. I've had this happen

835
00:35:14,239 --> 00:35:16,440
Speaker 2: with city taxes with one property. I've had it happen

836
00:35:16,520 --> 00:35:21,920
Speaker 2: with the city waste the trash. You know, it's like sanitation, sanitation,

837
00:35:21,960 --> 00:35:23,480
Speaker 2: that's it. It's like six hundred bucks a year, you know,

838
00:35:23,560 --> 00:35:26,799
Speaker 2: to pay for trash. And so because of that I've

839
00:35:26,840 --> 00:35:29,360
Speaker 2: got a document set up that whenever I, like, you

840
00:35:29,400 --> 00:35:32,000
Speaker 2: get the notification for your tax bill or your insurance

841
00:35:32,000 --> 00:35:34,520
Speaker 2: payment that's due, and I write it on there, and

842
00:35:34,640 --> 00:35:37,239
Speaker 2: because I want to have a singular source for all

843
00:35:37,320 --> 00:35:39,480
Speaker 2: my things, and and then I look at the date

844
00:35:39,520 --> 00:35:41,040
Speaker 2: of when it's due, and then I hop over my

845
00:35:41,080 --> 00:35:43,120
Speaker 2: calendar and I put a reminder on there, and I say,

846
00:35:43,400 --> 00:35:45,120
Speaker 2: make sure, so you're doing all the work anyway, I'm

847
00:35:45,160 --> 00:35:47,600
Speaker 2: already doing the stupid works, like I literally write on there,

848
00:35:47,640 --> 00:35:49,719
Speaker 2: and this is one of the loan servicers that now

849
00:35:49,760 --> 00:35:53,720
Speaker 2: services a couple of my properties, mister Cooper, so stupid.

850
00:35:53,760 --> 00:35:55,480
Speaker 2: I don't where did mister Cooper come from. I don't know,

851
00:35:55,600 --> 00:35:57,120
Speaker 2: came from TGIF back and then.

852
00:35:59,320 --> 00:36:01,400
Speaker 1: The same thing. And that's the other press. I'm already

853
00:36:01,480 --> 00:36:01,759
Speaker 1: doing that.

854
00:36:01,840 --> 00:36:04,600
Speaker 2: Why not be rewarded by being able to hang onto

855
00:36:04,600 --> 00:36:07,000
Speaker 2: that money myself if I'm already going to make those payments.

856
00:36:07,000 --> 00:36:08,799
Speaker 1: And that's the other problem with escrow is that if

857
00:36:08,800 --> 00:36:11,160
Speaker 1: your loan gets sold, now you're with another mortgage provider,

858
00:36:11,239 --> 00:36:13,160
Speaker 1: and you've got to like make sure now you've got

859
00:36:13,160 --> 00:36:15,000
Speaker 1: somebody else to look over their shoulders.

860
00:36:14,560 --> 00:36:16,160
Speaker 2: And to make sure the wires are all hooked back

861
00:36:16,239 --> 00:36:18,560
Speaker 2: up after somebody has like taken this thing and moved

862
00:36:18,560 --> 00:36:20,279
Speaker 2: it over to their system. Yeah, so that's the part

863
00:36:20,320 --> 00:36:23,080
Speaker 2: of it that really annoys me, and so like in

864
00:36:23,120 --> 00:36:25,520
Speaker 2: some regards that, like I don't know, even just talking

865
00:36:25,560 --> 00:36:27,080
Speaker 2: about this gets me fired up and it makes going.

866
00:36:27,040 --> 00:36:28,719
Speaker 1: To say I feel like Mike lit a fire under

867
00:36:28,760 --> 00:36:29,439
Speaker 1: your butt here.

868
00:36:29,640 --> 00:36:32,080
Speaker 2: I'm really close to Yeah, I'm gonna look into this, man,

869
00:36:32,120 --> 00:36:34,839
Speaker 2: because I mean, it's important to point out that not

870
00:36:34,920 --> 00:36:38,400
Speaker 2: all loans allow you to drop escrow, And so I know,

871
00:36:38,560 --> 00:36:42,160
Speaker 2: is it with FH loans this likely isn't even possible,

872
00:36:42,200 --> 00:36:43,840
Speaker 2: But I think it sounds like, well, I don't know,

873
00:36:43,880 --> 00:36:47,560
Speaker 2: in Mike situation, it might be possible. And I've got

874
00:36:48,160 --> 00:36:50,399
Speaker 2: non FH loans in my case, and so I think

875
00:36:50,400 --> 00:36:51,560
Speaker 2: it's definitely possible.

876
00:36:51,719 --> 00:36:53,880
Speaker 1: It's just one of those things that's further down on

877
00:36:53,920 --> 00:36:55,840
Speaker 1: the list. Yeah, it's not. It doesn't need to be

878
00:36:55,880 --> 00:36:58,800
Speaker 1: a high priority, but it always is a pain in

879
00:36:58,840 --> 00:36:59,160
Speaker 1: the button.

880
00:36:59,120 --> 00:37:00,839
Speaker 2: And I'm already doing all the work, so why not

881
00:37:00,920 --> 00:37:03,719
Speaker 2: pay the bills myself? Not to even mention it? Whoa man,

882
00:37:03,760 --> 00:37:05,440
Speaker 2: have you ever had this happen too? If you're shopping

883
00:37:05,480 --> 00:37:08,400
Speaker 2: around for insurance and you get moved over to another

884
00:37:08,440 --> 00:37:11,720
Speaker 2: insurer for a property. Well what happens, Well, the previous

885
00:37:11,800 --> 00:37:14,239
Speaker 2: insurance company they cut you a check and you have

886
00:37:14,320 --> 00:37:16,520
Speaker 2: to pay for the new pay the new premium out

887
00:37:16,520 --> 00:37:18,640
Speaker 2: of pocket yourself. It's not coming out of escro. So again,

888
00:37:18,920 --> 00:37:21,560
Speaker 2: you are oftentimes already doing that when you see insurance

889
00:37:21,600 --> 00:37:24,000
Speaker 2: rates go up and you're shopping around for a different

890
00:37:24,600 --> 00:37:28,200
Speaker 2: insurance provider. Anyway, Yeah, and so, yeah, but this is

891
00:37:28,200 --> 00:37:30,000
Speaker 2: a case. All of these are checks in the column

892
00:37:30,000 --> 00:37:31,440
Speaker 2: of drop the escrow.

893
00:37:31,560 --> 00:37:34,080
Speaker 1: Agreed, Agreed. I just say this, and this doesn't mean

894
00:37:34,080 --> 00:37:36,840
Speaker 1: it makes sense for everyone. And you have to be diligence,

895
00:37:37,080 --> 00:37:39,080
Speaker 1: that is true. You have to kind of have the

896
00:37:39,760 --> 00:37:42,960
Speaker 1: excel brain that Matt has to really pull this off.

897
00:37:43,080 --> 00:37:44,560
Speaker 1: I think it's probably part of the reason, Matt. Not

898
00:37:44,560 --> 00:37:46,440
Speaker 1: everybody is like me. And even this is something I've

899
00:37:46,440 --> 00:37:49,520
Speaker 1: been considered, is dropping Escrow. But I will have to

900
00:37:49,560 --> 00:37:51,239
Speaker 1: get a little more organized in order to make that

901
00:37:51,280 --> 00:37:51,800
Speaker 1: a reality.

902
00:37:51,920 --> 00:37:54,680
Speaker 2: Yeah, but in Mike's case, the fact that he's even

903
00:37:54,719 --> 00:37:57,480
Speaker 2: asking the question, I think that that right there makes

904
00:37:57,560 --> 00:38:00,000
Speaker 2: him a good candidate for at least considering dropping it.

905
00:38:00,360 --> 00:38:02,719
Speaker 1: But again, put it on your Google calendar, put those

906
00:38:02,760 --> 00:38:05,680
Speaker 1: reminders on make sure you're not missing a payment because

907
00:38:05,680 --> 00:38:10,000
Speaker 1: there can often be penalties and or additional costs associated

908
00:38:10,040 --> 00:38:13,359
Speaker 1: with that. So plan accordingly. But go for it, Mike.

909
00:38:13,480 --> 00:38:15,960
Speaker 1: That's that's our boat. We've got more questions to get

910
00:38:15,960 --> 00:38:19,120
Speaker 1: to Matt, including one about buying stocks at a discount.

911
00:38:19,160 --> 00:38:20,560
Speaker 1: We'll talk about that right after this.

912
00:38:28,680 --> 00:38:31,680
Speaker 2: All right, Joel, we are back from the break. It

913
00:38:31,760 --> 00:38:34,640
Speaker 2: is now time for the Facebook question of the week,

914
00:38:34,680 --> 00:38:38,080
Speaker 2: which is from Becca. She wrote, they were selling blocks

915
00:38:38,080 --> 00:38:41,560
Speaker 2: of silver today at the Costco checkout. Is there something

916
00:38:41,600 --> 00:38:44,800
Speaker 2: I should know? Which I just realized that, she said,

917
00:38:44,800 --> 00:38:46,080
Speaker 2: at the Costco checkout.

918
00:38:46,120 --> 00:38:47,440
Speaker 1: I didn't realize they had him there, like with the

919
00:38:47,440 --> 00:38:50,320
Speaker 1: candy bar exactly, Like literally, they don't actually have a Costco.

920
00:38:50,680 --> 00:38:51,760
Speaker 1: Is it nice to like the cokes?

921
00:38:51,760 --> 00:38:54,719
Speaker 2: It's just like there's a fridge full of gold and

922
00:38:54,800 --> 00:38:59,359
Speaker 2: silver and platinum whatever other metals. Joel, do you have

923
00:38:59,760 --> 00:39:03,480
Speaker 2: your your ego for the platinum that's your prest metal choice.

924
00:39:03,200 --> 00:39:05,360
Speaker 2: You don't like the traditional I don't slum it with

925
00:39:05,400 --> 00:39:09,359
Speaker 2: the silver, forget platinum. I'm going with plutonium.

926
00:39:09,400 --> 00:39:09,839
Speaker 1: There you go.

927
00:39:09,880 --> 00:39:11,920
Speaker 2: I'm one a precious metal that's gonna do something for me,

928
00:39:12,600 --> 00:39:15,000
Speaker 2: something that allows me to run my off the grid

929
00:39:15,040 --> 00:39:17,239
Speaker 2: cabin in the woods that I don't actually have to

930
00:39:17,360 --> 00:39:18,839
Speaker 2: go off of nuclear energy.

931
00:39:18,840 --> 00:39:20,920
Speaker 1: It does sound nice, though, well, okay, that should be

932
00:39:20,960 --> 00:39:23,319
Speaker 1: the precious metal that all the preppers are looking into.

933
00:39:23,880 --> 00:39:26,480
Speaker 1: It has been really interesting to see Costco wade into

934
00:39:26,480 --> 00:39:28,960
Speaker 1: the precious metal territory and it's it's garnered a lot

935
00:39:29,000 --> 00:39:30,719
Speaker 1: of headlines. I feel like Costco has gotten a lot

936
00:39:30,719 --> 00:39:34,880
Speaker 1: of press because of sell because they're selling blocks of

937
00:39:34,920 --> 00:39:37,640
Speaker 1: gold and silver, which is kind of insane, and if

938
00:39:37,680 --> 00:39:40,239
Speaker 1: you are the kind of person who's into owning gold

939
00:39:40,320 --> 00:39:43,200
Speaker 1: or silver bars, that's probably the place to buy them,

940
00:39:43,520 --> 00:39:47,680
Speaker 1: to be honest, because specifically of Costco's loyalty to the consumer,

941
00:39:47,880 --> 00:39:49,640
Speaker 1: they don't mark anything in the store up more than

942
00:39:49,680 --> 00:39:52,640
Speaker 1: fifteen percent. You'd be hard pressed to find a better

943
00:39:52,680 --> 00:39:55,600
Speaker 1: deal on gold or silver anywhere. So the fact that

944
00:39:55,600 --> 00:39:58,000
Speaker 1: Costco has entered this space means that anybody who is

945
00:39:58,040 --> 00:40:02,359
Speaker 1: into owning physical bricks of gold and silver like this

946
00:40:02,400 --> 00:40:03,480
Speaker 1: is the place to go to get them.

947
00:40:03,560 --> 00:40:05,960
Speaker 2: But that still doesn't mean that you should actually go

948
00:40:06,040 --> 00:40:09,480
Speaker 2: and buy some silver or gold, because I'll say, selling

949
00:40:10,320 --> 00:40:13,480
Speaker 2: your precious metals won't be easy, and when it does

950
00:40:13,520 --> 00:40:15,520
Speaker 2: come time to sell if you win, and if you

951
00:40:15,560 --> 00:40:18,480
Speaker 2: are looking to do that, the costs are pretty dang high.

952
00:40:19,040 --> 00:40:21,319
Speaker 2: So if you're looking to buy precious metals, then buying

953
00:40:21,320 --> 00:40:24,280
Speaker 2: them within an ETF that holds onto the physical gold

954
00:40:24,360 --> 00:40:26,880
Speaker 2: for you, we think that that is a better choice.

955
00:40:27,160 --> 00:40:28,680
Speaker 2: It's kind of cool that you can, you know, you

956
00:40:28,719 --> 00:40:30,520
Speaker 2: can buy a gold bar while getting like a five

957
00:40:30,560 --> 00:40:31,560
Speaker 2: dollar rotisserie chicken.

958
00:40:31,719 --> 00:40:32,320
Speaker 1: What a combo.

959
00:40:32,600 --> 00:40:35,640
Speaker 2: But that doesn't mean that it's a brilliant move, Like

960
00:40:35,640 --> 00:40:37,040
Speaker 2: we're you even going to keep it? You know, you

961
00:40:37,040 --> 00:40:38,719
Speaker 2: could also get to keep it in the fridge there

962
00:40:38,719 --> 00:40:40,719
Speaker 2: next to the chicken once you take it, once you

963
00:40:40,760 --> 00:40:41,120
Speaker 2: take it home.

964
00:40:41,120 --> 00:40:43,719
Speaker 1: Definitely don't put it under your mattress. That sounds uncomfortable.

965
00:40:43,760 --> 00:40:46,160
Speaker 2: But then like so we're talking about I guess the

966
00:40:46,160 --> 00:40:49,200
Speaker 2: physical aspect and how that's terrible, but even it as

967
00:40:49,239 --> 00:40:51,840
Speaker 2: an investment, it's a pretty terrible investment as well. And

968
00:40:51,880 --> 00:40:53,560
Speaker 2: if you look back at over the like the past

969
00:40:53,600 --> 00:40:56,120
Speaker 2: one hundred years of gold and you look at what

970
00:40:56,160 --> 00:41:00,960
Speaker 2: it's earned, you're looking at about fourteen thousand percent fourteen

971
00:41:01,000 --> 00:41:02,719
Speaker 2: thousand that sounds like a lot, which is although there

972
00:41:02,760 --> 00:41:04,080
Speaker 2: might be a lot of folks for are thinking like

973
00:41:04,120 --> 00:41:05,520
Speaker 2: their eyes got bigger. They're like, wait a minute, I

974
00:41:05,520 --> 00:41:08,080
Speaker 2: thought you said gold was a pad investment. Well, you

975
00:41:08,120 --> 00:41:11,160
Speaker 2: look at the stock market, specifically the Doal Jones, and

976
00:41:11,520 --> 00:41:16,240
Speaker 2: it's around eighty thousand percent, eighty thousand versus fourteen thousand.

977
00:41:16,719 --> 00:41:17,920
Speaker 1: I'd even look up the S and P.

978
00:41:18,200 --> 00:41:19,799
Speaker 2: But I'm sure I've got to feel in the SMP

979
00:41:19,920 --> 00:41:21,640
Speaker 2: is actually probably gonna be a little bit higher than

980
00:41:21,640 --> 00:41:24,160
Speaker 2: the Dial Jones industrial average. So all that to be said,

981
00:41:24,200 --> 00:41:27,160
Speaker 2: not only is it just a pain in the butt,

982
00:41:27,200 --> 00:41:29,200
Speaker 2: I guess as an investment, it's not even all that

983
00:41:29,280 --> 00:41:30,520
Speaker 2: good of an investment to begin with.

984
00:41:30,600 --> 00:41:32,959
Speaker 1: I'm also just kind of an optimist, and I think

985
00:41:33,120 --> 00:41:35,440
Speaker 1: to be a heavy gold buyer typically you have to

986
00:41:35,480 --> 00:41:36,839
Speaker 1: be a pessimist and you have to think that our

987
00:41:36,920 --> 00:41:39,279
Speaker 1: worst days or ahead of us. And even then that's true,

988
00:41:39,320 --> 00:41:41,840
Speaker 1: even if that's the case, Like why if that's the

989
00:41:41,920 --> 00:41:44,120
Speaker 1: reason that you're buying gold is because you're trying to

990
00:41:44,160 --> 00:41:46,919
Speaker 1: hedge against some sort of downside, Well, in the event

991
00:41:46,960 --> 00:41:50,200
Speaker 1: of some sort of apocalypse, I think food beats gold, So.

992
00:41:51,160 --> 00:41:53,359
Speaker 2: I'd just you'd be better served by buying the five

993
00:41:53,400 --> 00:41:55,680
Speaker 2: buckets of exactly like three months worth.

994
00:41:55,600 --> 00:41:57,520
Speaker 1: Of food, which they also saw like, that's my point.

995
00:41:57,560 --> 00:41:59,799
Speaker 1: That's my point. So instead of buying the gold, if

996
00:41:59,800 --> 00:42:02,160
Speaker 1: that's what you're something you're keen on doing, if you're thinking, like, hey,

997
00:42:02,200 --> 00:42:04,320
Speaker 1: I'm trying to kind of hedge against worst case scenarios,

998
00:42:04,640 --> 00:42:08,960
Speaker 1: buy the three thousand menial bucket at Costco sells of

999
00:42:09,400 --> 00:42:11,879
Speaker 1: ready meals that are gonna last for decades. That would

1000
00:42:11,920 --> 00:42:13,120
Speaker 1: be I think a better.

1001
00:42:13,520 --> 00:42:16,439
Speaker 2: Purchase, be a better quote unquote investment. Yeah, and you'd

1002
00:42:16,440 --> 00:42:19,680
Speaker 2: probably return a similar Yeah, you'd probably see a similar

1003
00:42:19,680 --> 00:42:22,480
Speaker 2: return on that investment. It just goes to show that

1004
00:42:22,520 --> 00:42:25,560
Speaker 2: I think that they typically do this just to get like.

1005
00:42:25,560 --> 00:42:27,400
Speaker 1: Garner, the buzz and the headlines.

1006
00:42:27,440 --> 00:42:27,600
Speaker 3: You know.

1007
00:42:27,640 --> 00:42:30,680
Speaker 2: It's like having the coffins where folks are they're shocked

1008
00:42:30,719 --> 00:42:32,960
Speaker 2: when they see them, you know, Or like the thousand

1009
00:42:32,960 --> 00:42:35,040
Speaker 2: dollars wheel of cheese. It's like, who's actually going to

1010
00:42:35,080 --> 00:42:37,000
Speaker 2: walk in there and buy a thousand dollars whel cheese.

1011
00:42:37,000 --> 00:42:39,480
Speaker 1: Some Costco shoppers are keen, and they snatch them up

1012
00:42:39,480 --> 00:42:41,680
Speaker 1: when they come about. Because I think there are a

1013
00:42:41,719 --> 00:42:43,640
Speaker 1: lot of people who are interested in buying heavy metals.

1014
00:42:43,719 --> 00:42:45,319
Speaker 1: We just think there are much better places to put

1015
00:42:45,320 --> 00:42:45,720
Speaker 1: your money.

1016
00:42:45,960 --> 00:42:49,800
Speaker 2: That's true, Okay, listener Alex posted a screenshot of his AESOP,

1017
00:42:50,160 --> 00:42:54,319
Speaker 2: his employee stock ownership plan from his employer, Walmart, and

1018
00:42:54,400 --> 00:42:57,759
Speaker 2: he's wondering, quote, if it's a good investment or is

1019
00:42:57,800 --> 00:43:00,799
Speaker 2: this just a way for the Walmart empire to pump

1020
00:43:00,840 --> 00:43:04,880
Speaker 2: their stock? Jiel, what do you think is this mister

1021
00:43:05,000 --> 00:43:08,960
Speaker 2: robot Ecorp that he stands for that's a good show.

1022
00:43:08,760 --> 00:43:11,880
Speaker 1: Back in then evil? Yeah, well, I think this answer,

1023
00:43:12,440 --> 00:43:14,800
Speaker 1: I'm not saying Walmart's evil. Actually, I've taken a liking

1024
00:43:14,840 --> 00:43:16,560
Speaker 1: to Walmart over the past few months. Yeah, when I

1025
00:43:16,600 --> 00:43:18,839
Speaker 1: personally read I think I mentioned this on the show.

1026
00:43:18,840 --> 00:43:22,719
Speaker 1: I read Sam Walton's biography and his mentality and what

1027
00:43:22,760 --> 00:43:26,279
Speaker 1: he was able to accomplish pretty incredible, and somebody the

1028
00:43:26,719 --> 00:43:30,600
Speaker 1: kind of discount store movement was already in full swing

1029
00:43:30,960 --> 00:43:32,719
Speaker 1: and he just did it better than everyone else. And

1030
00:43:32,760 --> 00:43:36,640
Speaker 1: so I don't think Walmart killed mom and pop stores.

1031
00:43:36,920 --> 00:43:39,399
Speaker 1: I think the discount movement killed mom and pop stores.

1032
00:43:39,400 --> 00:43:41,239
Speaker 1: So if you want to blame Walmart, you can. I

1033
00:43:41,280 --> 00:43:43,360
Speaker 1: just don't know that Walmart is the ultimate villain in

1034
00:43:43,400 --> 00:43:46,040
Speaker 1: the story. And basically on this one, Matt, I think

1035
00:43:46,480 --> 00:43:49,919
Speaker 1: that the answer is almost yes to investing in an Esop.

1036
00:43:50,360 --> 00:43:54,080
Speaker 1: But and that's particularly because of the sweet discount that's

1037
00:43:54,120 --> 00:43:57,280
Speaker 1: offered to employees. Most of the time, Alex gets, according

1038
00:43:57,320 --> 00:44:00,239
Speaker 1: to the screenshot, a sweet fifteen percent discount on the

1039
00:44:00,239 --> 00:44:03,160
Speaker 1: Walmart stock that you can buy as an employee. And

1040
00:44:03,480 --> 00:44:05,640
Speaker 1: here's the rub though. You know, you and I were

1041
00:44:05,640 --> 00:44:09,880
Speaker 1: typically hesitant to advise investing in single stocks, But to me,

1042
00:44:09,960 --> 00:44:12,000
Speaker 1: this is kind of like our advice on buying gift cards.

1043
00:44:12,160 --> 00:44:13,920
Speaker 1: It makes a heck of a lot more sense if

1044
00:44:13,920 --> 00:44:17,360
Speaker 1: you're getting a sweet discount. So if you're getting one

1045
00:44:17,440 --> 00:44:20,920
Speaker 1: hundred dollars worth of credit to a store for seventy

1046
00:44:20,920 --> 00:44:23,440
Speaker 1: five or eighty bucks, yeah, go for it. Why not.

1047
00:44:23,760 --> 00:44:26,080
Speaker 1: But if you're trading in one hundred dollars for one

1048
00:44:26,120 --> 00:44:28,120
Speaker 1: hundred dollars to spend at a particular store, it makes

1049
00:44:28,200 --> 00:44:30,399
Speaker 1: far less sense. And I think same thing with buying

1050
00:44:30,440 --> 00:44:32,400
Speaker 1: individual stocks. It's like, oh, you're going to get a

1051
00:44:32,440 --> 00:44:34,960
Speaker 1: sweet discount on the front end, great, go for it. Yeah.

1052
00:44:35,000 --> 00:44:38,239
Speaker 2: Otherwise we're not huge fans because typically we don't love

1053
00:44:38,239 --> 00:44:40,600
Speaker 2: folks investing in the company they work for. Like, what

1054
00:44:40,640 --> 00:44:43,640
Speaker 2: you're doing there is putting your over indexing in this

1055
00:44:43,680 --> 00:44:46,680
Speaker 2: one company. You're putting too many eggs into one basket.

1056
00:44:47,120 --> 00:44:49,880
Speaker 2: But in this case, I think they're only matching up

1057
00:44:49,920 --> 00:44:52,960
Speaker 2: to two hundred and seventy dollars in stock purchases a year,

1058
00:44:53,280 --> 00:44:54,960
Speaker 2: So I mean, that's not a ton of money, right, Like,

1059
00:44:55,000 --> 00:44:58,080
Speaker 2: invest up to that point, but then just don't invest

1060
00:44:58,120 --> 00:45:00,200
Speaker 2: beyond that. I think if it was a lot arger

1061
00:45:00,239 --> 00:45:03,560
Speaker 2: amount of money, I would be more concerned. But Alex,

1062
00:45:03,600 --> 00:45:05,879
Speaker 2: he still has the ability to fully fund a roth

1063
00:45:05,920 --> 00:45:09,640
Speaker 2: ira at seven thousand dollars and like two hundred seventy bucks.

1064
00:45:09,680 --> 00:45:12,680
Speaker 2: But it is like two percent, four percent, yeah, of

1065
00:45:13,280 --> 00:45:17,439
Speaker 2: seven thousand dollars. It's and that totally fits within our

1066
00:45:17,520 --> 00:45:20,080
Speaker 2: bounds of how much you should be invested in crypto

1067
00:45:20,400 --> 00:45:23,719
Speaker 2: combined with single stocks any other more speculative investments. But

1068
00:45:23,800 --> 00:45:25,759
Speaker 2: for the bulk of your investment dollars just makes you

1069
00:45:25,920 --> 00:45:29,360
Speaker 2: sure you are in low cost, widely diversified index funds

1070
00:45:29,880 --> 00:45:33,279
Speaker 2: with the bulk of those those actual investing dollars. And

1071
00:45:33,320 --> 00:45:35,640
Speaker 2: bottom line, I think if you're handling your your investments

1072
00:45:36,120 --> 00:45:40,120
Speaker 2: your finances well, then I think certainly taking advantage of

1073
00:45:40,160 --> 00:45:41,919
Speaker 2: this perk it makes a lot of sense. And again

1074
00:45:41,960 --> 00:45:43,880
Speaker 2: I feel good about it too. The fact that it's limited.

1075
00:45:44,320 --> 00:45:47,080
Speaker 2: I would feel much differently about it if it was

1076
00:45:47,120 --> 00:45:49,200
Speaker 2: something that was like up to twenty grand a year,

1077
00:45:49,239 --> 00:45:51,600
Speaker 2: oh my gosh, because it would be more tempting to think,

1078
00:45:51,640 --> 00:45:53,759
Speaker 2: oh my god, oh that's a that's a really really

1079
00:45:53,840 --> 00:45:56,800
Speaker 2: sweet perk. But man, it's a double edged short. It

1080
00:45:56,920 --> 00:45:59,360
Speaker 2: cuts both ways, and you'd, oh, that would make me

1081
00:45:59,400 --> 00:46:02,280
Speaker 2: so nervous, and I would be looking into diverse fighting

1082
00:46:02,400 --> 00:46:02,879
Speaker 2: in other ways.

1083
00:46:02,880 --> 00:46:04,560
Speaker 1: I guess Devil could be in the details on that

1084
00:46:04,560 --> 00:46:07,880
Speaker 1: one totally. But yeah, I think for Alex it's a

1085
00:46:07,960 --> 00:46:10,399
Speaker 1: limited amount. I agree, Matt. I think it makes sense

1086
00:46:10,480 --> 00:46:12,920
Speaker 1: take advantage of that discount. All right, let's get back

1087
00:46:12,920 --> 00:46:14,200
Speaker 1: to the beer that we had on this episode. This

1088
00:46:14,200 --> 00:46:16,920
Speaker 1: one's called super Volcano Sauce. It's a sour ale by

1089
00:46:16,960 --> 00:46:21,840
Speaker 1: Aslin Beer Company. It's brewed with blackberries, blueberries, milk, sugar,

1090
00:46:21,880 --> 00:46:24,160
Speaker 1: and vanilla. Matt, what were your thoughts on this beer?

1091
00:46:24,520 --> 00:46:26,360
Speaker 2: So, first of all, I thought we've had an Aslin

1092
00:46:26,400 --> 00:46:28,000
Speaker 2: beer on the show before, but I just checked and

1093
00:46:28,040 --> 00:46:28,480
Speaker 2: we haven't.

1094
00:46:28,640 --> 00:46:29,000
Speaker 1: First one.

1095
00:46:29,080 --> 00:46:31,000
Speaker 2: Huh, Okay, Yeah, I'm pretty sure I've had it in

1096
00:46:31,040 --> 00:46:35,400
Speaker 2: person at our local burger and beer place. They often

1097
00:46:35,440 --> 00:46:37,759
Speaker 2: will have Aslon on But I liked it, and you

1098
00:46:37,800 --> 00:46:38,880
Speaker 2: want to know what it made me think.

1099
00:46:38,719 --> 00:46:42,400
Speaker 1: Of the Lion from Lion and the Witch and the Wardrobe.

1100
00:46:42,040 --> 00:46:46,200
Speaker 2: In that Aslan as close enough. This reminded me of

1101
00:46:46,840 --> 00:46:50,279
Speaker 2: the energy drink Red Bull. Take another step. This is

1102
00:46:50,320 --> 00:46:53,640
Speaker 2: one hundred percent well a sour beer version of Red Bull.

1103
00:46:53,640 --> 00:46:54,879
Speaker 1: I don't know if I've ever had a Red Bull,

1104
00:46:54,880 --> 00:46:56,239
Speaker 1: so I don't know if I can tell you that

1105
00:46:56,320 --> 00:46:59,200
Speaker 1: really yeah, maybe maybe one, but for a monster like

1106
00:46:59,239 --> 00:47:00,920
Speaker 1: any of those energy I don't drink those, Yeah, I

1107
00:47:00,960 --> 00:47:03,840
Speaker 1: don't anymore. I read all this stuff about when I

1108
00:47:03,880 --> 00:47:05,560
Speaker 1: was younger, how bad they were with all the caffeine

1109
00:47:05,560 --> 00:47:07,239
Speaker 1: and stuff, and I was like, I'm never gonna try those,

1110
00:47:07,880 --> 00:47:08,080
Speaker 1: you know.

1111
00:47:08,239 --> 00:47:10,120
Speaker 2: I think when you're young, there's all sorts of crazy

1112
00:47:10,160 --> 00:47:11,720
Speaker 2: stuff you do, and I'm pretty sure you got crazier

1113
00:47:11,719 --> 00:47:14,560
Speaker 2: stuff than I have in order to stay awake at night.

1114
00:47:16,880 --> 00:47:19,880
Speaker 2: I heard you recount that story, yeah recently. Won't go

1115
00:47:19,880 --> 00:47:22,359
Speaker 2: into the details here, but uh, okay, So if you've

1116
00:47:22,400 --> 00:47:23,359
Speaker 2: never had it, this.

1117
00:47:23,400 --> 00:47:25,400
Speaker 1: Is what it tastes like. If you like this beer,

1118
00:47:25,719 --> 00:47:27,400
Speaker 1: I think you would enjoy it. Right, So I didn't

1119
00:47:27,440 --> 00:47:29,200
Speaker 1: love this beer to me, and I had kind of

1120
00:47:29,200 --> 00:47:31,320
Speaker 1: off putting vibes. I think it was the blueberries. I

1121
00:47:31,320 --> 00:47:33,799
Speaker 1: think it was the blueberries coming in there combined with

1122
00:47:33,840 --> 00:47:34,960
Speaker 1: maybe you don't make sugar.

1123
00:47:35,120 --> 00:47:36,640
Speaker 2: Yeah you didn't think it was kind of like that

1124
00:47:36,640 --> 00:47:39,239
Speaker 2: that sort of vanilla, that powdery vanilla like flavor. That's

1125
00:47:39,239 --> 00:47:41,080
Speaker 2: what it made me almost think of like a carnation

1126
00:47:41,680 --> 00:47:44,600
Speaker 2: like instance I would call dehydrated.

1127
00:47:44,000 --> 00:47:47,239
Speaker 1: Milk or milk, yeah, evaporated milk. Yeah, I can see

1128
00:47:47,239 --> 00:47:47,800
Speaker 1: why you say that.

1129
00:47:47,840 --> 00:47:50,680
Speaker 2: It kind of had this chalky like flavor that made

1130
00:47:50,680 --> 00:47:52,520
Speaker 2: me think that, but it wasn't my jam.

1131
00:47:52,600 --> 00:47:52,799
Speaker 1: Yeah.

1132
00:47:52,840 --> 00:47:56,320
Speaker 2: It almost had like a powder like candy sweetness.

1133
00:47:56,400 --> 00:48:00,040
Speaker 1: Yes, yeah, candy like and I love a good I

1134
00:48:00,440 --> 00:48:04,560
Speaker 1: like very infused sour, but this one, for some reason

1135
00:48:04,560 --> 00:48:06,560
Speaker 1: just hitting wrong, hitting the wrong notes for me. Yeah.

1136
00:48:06,640 --> 00:48:09,000
Speaker 2: I can see it appeeling the kids who shouldn't be

1137
00:48:09,040 --> 00:48:11,400
Speaker 2: drinking beer or not. When I say kids, I awesome

1138
00:48:11,400 --> 00:48:14,080
Speaker 2: mean like it's like the early early twenty year olds

1139
00:48:14,160 --> 00:48:15,920
Speaker 2: who might be like, oh yeah, this says just like

1140
00:48:16,560 --> 00:48:20,400
Speaker 2: that drinks that gives you wings. But I thought it

1141
00:48:20,440 --> 00:48:23,279
Speaker 2: was fine, not my favorite. Totally with you, though, when

1142
00:48:23,320 --> 00:48:26,640
Speaker 2: the sours that are aged and barrels that have a

1143
00:48:26,640 --> 00:48:30,920
Speaker 2: little bit of funkiness that tastes like rich leather and mahogany, you.

1144
00:48:30,920 --> 00:48:33,000
Speaker 1: Know like that. Oh yeah, like the finer things in life,

1145
00:48:33,040 --> 00:48:34,080
Speaker 1: those old man sours.

1146
00:48:34,200 --> 00:48:36,600
Speaker 2: I can get behind this, but either way, still glad

1147
00:48:36,600 --> 00:48:38,640
Speaker 2: we got to enjoy this one on the episode today,

1148
00:48:38,680 --> 00:48:40,640
Speaker 2: and you can find our show notes up on the

1149
00:48:40,640 --> 00:48:43,520
Speaker 2: website at howsomoney dot com. We'll make sure to link

1150
00:48:43,560 --> 00:48:46,759
Speaker 2: to any resources that we may have mentioned. And is

1151
00:48:46,800 --> 00:48:47,760
Speaker 2: that gonna be it for this apose?

1152
00:48:47,800 --> 00:48:49,719
Speaker 1: I just want to say we might have some new

1153
00:48:49,760 --> 00:48:52,279
Speaker 1: listeners considering it's the beginning of the year, and if

1154
00:48:52,320 --> 00:48:55,120
Speaker 1: you are true a fresh face listening to How the Money,

1155
00:48:55,160 --> 00:48:56,640
Speaker 1: we really appreciate it. Thank you for.

1156
00:48:57,000 --> 00:48:59,160
Speaker 2: Fresh, in fact, a fresh set of ears that I've

1157
00:48:59,160 --> 00:49:02,279
Speaker 2: never heard, the dul tones of Joel's right sweet.

1158
00:49:02,000 --> 00:49:05,000
Speaker 1: Voice, it's amazing. I'm not gonna lie, but yeah, thank

1159
00:49:05,040 --> 00:49:06,560
Speaker 1: you so much for listening. We hope you stick around,

1160
00:49:06,640 --> 00:49:08,720
Speaker 1: hit the subscribe buttons that you don't miss an episode,

1161
00:49:09,080 --> 00:49:10,680
Speaker 1: and feel free to go to how to money dot

1162
00:49:10,719 --> 00:49:13,120
Speaker 1: com click start here if you're brand new, that's a

1163
00:49:13,120 --> 00:49:15,800
Speaker 1: great kind of place to kind of begin and figure

1164
00:49:15,840 --> 00:49:17,200
Speaker 1: out what how the Money's all about.

1165
00:49:17,280 --> 00:49:19,520
Speaker 2: That's right, man, So that's gonna be it until next time.

1166
00:49:19,680 --> 00:49:22,160
Speaker 2: Best friends, out, best friends out,