1 00:00:00,080 --> 00:00:03,000 Speaker 1: Welcome to Head of Money. I'm Joel, I'm Matt, and 2 00:00:03,000 --> 00:00:07,280 Speaker 1: today we're talking about student loan shakeups, doom spending, and 3 00:00:07,320 --> 00:00:09,280 Speaker 1: the mounting mini stack session. 4 00:00:28,360 --> 00:00:30,800 Speaker 2: That's right. This is our Friday flight where we take 5 00:00:30,800 --> 00:00:32,960 Speaker 2: a look at the headlines from the past week and 6 00:00:33,000 --> 00:00:35,360 Speaker 2: specifically look at how they are going to impact your 7 00:00:35,360 --> 00:00:38,280 Speaker 2: personal finances. And so when you say a mini stack session, 8 00:00:38,360 --> 00:00:41,239 Speaker 2: you need to say mini stack session because that's uh 9 00:00:41,640 --> 00:00:43,559 Speaker 2: when we get on my helium balloon first. That's how 10 00:00:43,560 --> 00:00:47,120 Speaker 2: the the economists that coined that is attempting to predict 11 00:00:47,120 --> 00:00:49,040 Speaker 2: the future. We're not going to make the predictions, but 12 00:00:49,159 --> 00:00:51,920 Speaker 2: there are different folks who are looking off into the future. 13 00:00:51,960 --> 00:00:54,840 Speaker 1: They're trying to sometimes based on present stuff, right, which 14 00:00:54,960 --> 00:00:57,480 Speaker 1: it's helpful to like he's trying to read the tea 15 00:00:57,560 --> 00:00:59,480 Speaker 1: leaves though, and say this is what's coming down the pike. 16 00:00:59,600 --> 00:01:01,600 Speaker 1: And I think it's helpful for us to at least 17 00:01:02,280 --> 00:01:05,200 Speaker 1: understand kind of what they're pointing to those elements, but 18 00:01:05,400 --> 00:01:07,119 Speaker 1: also not hold up with the grainess. 19 00:01:07,160 --> 00:01:09,280 Speaker 2: I think, more than anything, just to alleviate fears, right, 20 00:01:09,440 --> 00:01:11,920 Speaker 2: not to say to be convinced of that this is 21 00:01:11,920 --> 00:01:13,959 Speaker 2: why the thing is happening, but just as folks are 22 00:01:14,000 --> 00:01:16,160 Speaker 2: freaking out to understand I guess some of the different 23 00:01:16,200 --> 00:01:18,440 Speaker 2: positions that folks are approaching the argument with. 24 00:01:18,760 --> 00:01:20,880 Speaker 1: When that is helpful when you see more headlines they 25 00:01:20,959 --> 00:01:23,520 Speaker 1: use a scary word like, we want to talk about 26 00:01:23,520 --> 00:01:26,440 Speaker 1: it and shed some light. And because there's a lot 27 00:01:26,440 --> 00:01:28,280 Speaker 1: of deep in glue out there, can we start off 28 00:01:28,280 --> 00:01:31,399 Speaker 1: by talking about something that I've been prioritizing in my 29 00:01:31,480 --> 00:01:34,480 Speaker 1: budget over the past I don't know, a year and 30 00:01:34,520 --> 00:01:36,039 Speaker 1: a half, I'll say, and. 31 00:01:35,959 --> 00:01:40,360 Speaker 2: That is to enjoy more more cultural events. And I 32 00:01:40,400 --> 00:01:41,199 Speaker 2: have literally called. 33 00:01:41,080 --> 00:01:43,160 Speaker 1: Them cultural events. This is the thing that I've been 34 00:01:43,160 --> 00:01:47,120 Speaker 1: shooting for. Is that the line item on your non budget? Yeah, yes, 35 00:01:47,280 --> 00:01:49,600 Speaker 1: that you don't have. He just any time Emily questions 36 00:01:49,600 --> 00:01:51,520 Speaker 1: you about something, You're like, baby, that's that's part of 37 00:01:51,720 --> 00:01:53,040 Speaker 1: my cultural events spending. 38 00:01:52,800 --> 00:01:55,040 Speaker 2: Is exactly right, That's exactly right. That's botta. That was 39 00:01:55,080 --> 00:01:57,800 Speaker 2: my cultural event. Sounds like the expenses they are spending 40 00:01:57,800 --> 00:02:01,240 Speaker 2: coming out of like a Parks and reg department. Yeah, so, okay, 41 00:02:01,640 --> 00:02:02,040 Speaker 2: you joke. 42 00:02:02,200 --> 00:02:05,000 Speaker 1: But I have been attempting to pull off and I 43 00:02:05,160 --> 00:02:09,160 Speaker 1: made it initially a once a quarter goal and then 44 00:02:09,400 --> 00:02:10,920 Speaker 1: I said, you know what, No, I want to I 45 00:02:10,919 --> 00:02:13,200 Speaker 1: want to try to do this once a month, the 46 00:02:13,200 --> 00:02:14,919 Speaker 1: cultural event, and so that could you start that this year? 47 00:02:15,120 --> 00:02:18,000 Speaker 1: I started that last year. Okay, so you put what 48 00:02:18,080 --> 00:02:20,640 Speaker 1: it could be a concert. All the concert ticket prices 49 00:02:20,680 --> 00:02:23,160 Speaker 1: have gone up substantially. It could be going into the 50 00:02:23,200 --> 00:02:27,000 Speaker 1: debt for that. Yeah, that Actually, it could be going 51 00:02:27,040 --> 00:02:30,200 Speaker 1: to see a play. It could be like I took 52 00:02:30,240 --> 00:02:33,280 Speaker 1: my daughter to see a Shakespeare play at the Shakespeare 53 00:02:33,280 --> 00:02:35,040 Speaker 1: Tavern recently and it was awesome, to being the best time. 54 00:02:35,440 --> 00:02:39,760 Speaker 1: And they're just I think cultural events are are underrated 55 00:02:39,760 --> 00:02:42,120 Speaker 1: and and there was actually, as I told my wife 56 00:02:42,120 --> 00:02:44,560 Speaker 1: about kind of why we're I want to prioritize this 57 00:02:44,600 --> 00:02:46,960 Speaker 1: more and more, she said, actually, I just read something 58 00:02:46,960 --> 00:02:49,359 Speaker 1: the other day. You should check this out, and there 59 00:02:49,560 --> 00:02:53,359 Speaker 1: was here's the headline. Psychiatrist discovered doing this just once 60 00:02:53,400 --> 00:02:55,840 Speaker 1: a month cut your risk of depression in half? Was it? 61 00:02:55,919 --> 00:02:59,520 Speaker 2: Cultural events? Cultural events? Taking a cultural event? So not 62 00:03:00,160 --> 00:03:02,160 Speaker 2: enough to defend your own case. She's done it for you. 63 00:03:02,240 --> 00:03:04,880 Speaker 1: That's right, So thank you Emily for contributing to the 64 00:03:04,919 --> 00:03:08,360 Speaker 1: show here. But what they said was if you do 65 00:03:08,480 --> 00:03:11,880 Speaker 1: one outing, one cultural events outing every few months, like 66 00:03:11,919 --> 00:03:14,160 Speaker 1: I was doing once a quarter initially, it reduces your 67 00:03:14,240 --> 00:03:17,519 Speaker 1: risk of depression by thirty two percent. If you instead 68 00:03:17,560 --> 00:03:20,320 Speaker 1: prioritize a cultural event on a monthly basis. That could 69 00:03:20,320 --> 00:03:22,639 Speaker 1: be by the way, a museum, ounting, going to the 70 00:03:22,680 --> 00:03:25,000 Speaker 1: botanical gardens. There are so many ways that you can 71 00:03:25,320 --> 00:03:27,440 Speaker 1: use that culture plan. It doesn't even have to be expensive. 72 00:03:27,760 --> 00:03:30,440 Speaker 1: It will, though, cause your risk of depression to fall 73 00:03:30,600 --> 00:03:34,280 Speaker 1: by nearly half, by forty eight percent. So do they 74 00:03:34,320 --> 00:03:37,080 Speaker 1: also call them cultural events? They literally call them cultural events. 75 00:03:37,080 --> 00:03:39,080 Speaker 1: Body in there because that's what I'd been labeling them. 76 00:03:39,680 --> 00:03:42,480 Speaker 1: I didn't know what else to call them. That's pretty hilarious, 77 00:03:42,520 --> 00:03:46,200 Speaker 1: and so I think maybe this can hopefully incentivize people 78 00:03:46,280 --> 00:03:47,960 Speaker 1: to think about I think it could also think about 79 00:03:47,960 --> 00:03:49,280 Speaker 1: the wanderlust that people feel Matt. 80 00:03:49,320 --> 00:03:50,600 Speaker 2: They they're like, I got to go to Europe. I 81 00:03:50,600 --> 00:03:51,400 Speaker 2: got to get out of here. 82 00:03:51,640 --> 00:03:56,120 Speaker 1: There's something about instituting more regular cultural events into your 83 00:03:56,160 --> 00:03:58,600 Speaker 1: life and into your budget that maybe feels like you 84 00:03:58,600 --> 00:04:00,560 Speaker 1: don't have to take the big swing on the expensive A. 85 00:04:00,600 --> 00:04:04,440 Speaker 2: Can splurges more often. I totally love that, and I 86 00:04:04,480 --> 00:04:08,000 Speaker 2: love that you specifically have identified this for you. But 87 00:04:08,040 --> 00:04:09,600 Speaker 2: I will say I think it was like, it is 88 00:04:09,640 --> 00:04:12,360 Speaker 2: important to be a stay depressed well No, I'm just saying, like, 89 00:04:12,680 --> 00:04:14,640 Speaker 2: the argument I'm going to make is that it's not 90 00:04:15,280 --> 00:04:17,359 Speaker 2: like I do think folks would probably push themselves to 91 00:04:17,400 --> 00:04:20,159 Speaker 2: do something like that. But you know, for you, it 92 00:04:20,160 --> 00:04:22,479 Speaker 2: moves the needle significantly. Yeah, I think for some folks 93 00:04:22,480 --> 00:04:25,520 Speaker 2: they're gonna be like meh, I don't I don't really 94 00:04:25,560 --> 00:04:27,720 Speaker 2: want to. For some folks, it's like, well, I'd rather 95 00:04:27,760 --> 00:04:30,039 Speaker 2: go on a cruise. I just like sitting there, going 96 00:04:30,080 --> 00:04:32,440 Speaker 2: to island, hoppin that kind of thing. I think there 97 00:04:32,520 --> 00:04:34,000 Speaker 2: might be some folks who are just like, well, when 98 00:04:34,040 --> 00:04:35,400 Speaker 2: I have some time and money, I just like to 99 00:04:35,440 --> 00:04:38,279 Speaker 2: go shopping, like that's how I unwind. And I don't 100 00:04:38,320 --> 00:04:42,000 Speaker 2: think we would consider either of those cultural cultural events. No, 101 00:04:42,040 --> 00:04:44,800 Speaker 2: I wouldn't, And so they're in a different category for sure. Yeah, 102 00:04:44,839 --> 00:04:47,719 Speaker 2: it's just to identify that for some folks spending I think, 103 00:04:47,720 --> 00:04:49,400 Speaker 2: can look a little bit different and it may not 104 00:04:49,440 --> 00:04:51,800 Speaker 2: move the needle as much for them. But whatever that is, 105 00:04:51,839 --> 00:04:53,719 Speaker 2: for you figure out what that thing is. 106 00:04:53,800 --> 00:04:55,400 Speaker 1: But I thought it was interesting to see this data 107 00:04:55,440 --> 00:04:58,000 Speaker 1: because I do think the average person it is going 108 00:04:58,040 --> 00:04:59,840 Speaker 1: to move the needle, and maybe you don't think about 109 00:04:59,839 --> 00:05:03,160 Speaker 1: it like that. I think too, about the before, like 110 00:05:03,320 --> 00:05:06,760 Speaker 1: looking up forward to the cultural event that's upcoming, I 111 00:05:06,760 --> 00:05:10,000 Speaker 1: get to think about it for months, typically because I bought. 112 00:05:09,800 --> 00:05:11,760 Speaker 2: A ticket or have something to do looking forward to. 113 00:05:11,839 --> 00:05:14,080 Speaker 1: Yeah, it'saw on the calendar, and then I get to 114 00:05:14,360 --> 00:05:16,719 Speaker 1: look back at that event and say, oh, man, think. 115 00:05:16,560 --> 00:05:18,080 Speaker 2: About how great that. Do you remember when we did that? 116 00:05:18,080 --> 00:05:20,120 Speaker 1: It was so good? Kind of like a vacation. I mean, 117 00:05:20,160 --> 00:05:22,040 Speaker 1: that's one of the things that our friends Scott Kayes 118 00:05:22,040 --> 00:05:24,560 Speaker 1: talks about with vacations is like half the fun is 119 00:05:24,600 --> 00:05:27,360 Speaker 1: planning and getting ready for it, not just the taking 120 00:05:27,400 --> 00:05:27,839 Speaker 1: of the vacation. 121 00:05:27,920 --> 00:05:31,719 Speaker 2: I do wonder if they accounted for the social sort 122 00:05:31,760 --> 00:05:34,400 Speaker 2: of spillover or crossover, like in the ven diagram between 123 00:05:34,400 --> 00:05:38,840 Speaker 2: cultural events and the relationships and community, how much overlap 124 00:05:38,960 --> 00:05:41,440 Speaker 2: is there, because, like I said, so, I do think 125 00:05:41,480 --> 00:05:43,280 Speaker 2: for some people they're kind of like, eh, I don't know, 126 00:05:43,440 --> 00:05:45,320 Speaker 2: like that it sounds like it would be fun, but 127 00:05:45,360 --> 00:05:47,760 Speaker 2: maybe for me less. So I do think, And there 128 00:05:47,760 --> 00:05:49,960 Speaker 2: has been tons and there continues to be research that 129 00:05:50,000 --> 00:05:52,760 Speaker 2: points to the fact that that we have fewer relationships 130 00:05:52,800 --> 00:05:55,360 Speaker 2: than ever yeah, and that when we do prioritize those 131 00:05:55,440 --> 00:05:58,640 Speaker 2: that we tend to live happier, longer. Lives that increases 132 00:05:58,640 --> 00:06:01,440 Speaker 2: life satisfaction. And that's regardless if you are an introvert 133 00:06:01,560 --> 00:06:03,960 Speaker 2: or an extrovert. I think that there is a degree 134 00:06:04,279 --> 00:06:06,680 Speaker 2: of us needing to push ourselves a little bit more 135 00:06:06,720 --> 00:06:08,400 Speaker 2: than what we think we need when it comes to 136 00:06:08,440 --> 00:06:11,920 Speaker 2: social interactions, but that's not the path that we find 137 00:06:11,920 --> 00:06:13,880 Speaker 2: ourselves on. Right. I can think about the what is 138 00:06:13,920 --> 00:06:17,719 Speaker 2: the Harvard Longitudal Happiness Study, and the number one thing 139 00:06:18,480 --> 00:06:21,200 Speaker 2: that leads to the highest amounts of happiness and self 140 00:06:21,240 --> 00:06:25,120 Speaker 2: satisfaction and fulfilling life are those relationships and and often 141 00:06:25,520 --> 00:06:27,800 Speaker 2: a lot of cases, I think what you're finding in 142 00:06:27,839 --> 00:06:30,600 Speaker 2: these different cultural events they include other people. So is 143 00:06:30,960 --> 00:06:33,839 Speaker 2: it the ticket? Is it ensure there's a certain amount 144 00:06:33,880 --> 00:06:36,720 Speaker 2: of enjoyment. I think it's a personal development that you're 145 00:06:36,720 --> 00:06:38,280 Speaker 2: getting out of that. But there's a whole lot of 146 00:06:38,520 --> 00:06:41,960 Speaker 2: friendship and community and being around other people that in 147 00:06:41,960 --> 00:06:46,080 Speaker 2: my mind, directly overlays the this. You know, those two circles, yeah, 148 00:06:46,200 --> 00:06:49,960 Speaker 2: might be highly overlapping worth something worth considering as well. 149 00:06:50,000 --> 00:06:51,400 Speaker 2: We've got a little So what I'm saying is that 150 00:06:51,440 --> 00:06:53,479 Speaker 2: a cultural outing or of it could be even be 151 00:06:54,080 --> 00:06:56,160 Speaker 2: buying some cured meats at Aldi and having a picnic 152 00:06:56,200 --> 00:06:58,040 Speaker 2: in the park with some friends, right. 153 00:06:58,040 --> 00:07:00,560 Speaker 1: Like, but I love to overthink it and don't think 154 00:07:00,600 --> 00:07:02,680 Speaker 1: that you got to go see Beyonce when she comes 155 00:07:02,720 --> 00:07:04,880 Speaker 1: to town and spend nine hundred dollars on that ticket. 156 00:07:04,960 --> 00:07:05,560 Speaker 2: That's insane. 157 00:07:05,680 --> 00:07:07,640 Speaker 1: To enjoy a cultural event with your friends like you 158 00:07:07,800 --> 00:07:09,520 Speaker 1: don't have to. There's affordable ways of doing it, and 159 00:07:09,600 --> 00:07:12,720 Speaker 1: sometimes it might be a semi expensive concert ticket, but 160 00:07:12,800 --> 00:07:15,120 Speaker 1: other times it can be a whole lot cheaper totally 161 00:07:15,560 --> 00:07:16,640 Speaker 1: or potentially free. 162 00:07:16,720 --> 00:07:18,600 Speaker 2: Especially I was just thinking about this too, and especially 163 00:07:18,640 --> 00:07:22,280 Speaker 2: if you're not dropping big maney of those expensivefications. 164 00:07:21,600 --> 00:07:23,920 Speaker 1: I was thinking in the library has offers the ability 165 00:07:23,960 --> 00:07:26,880 Speaker 1: to go to get some of those cultural events for free, potentially, 166 00:07:26,880 --> 00:07:28,520 Speaker 1: like going to the zoo or the aquarium, more the 167 00:07:28,520 --> 00:07:30,520 Speaker 1: botanical gardens. You might be able to pull off that 168 00:07:30,560 --> 00:07:33,880 Speaker 1: cultural event for zero dallas and enjoy even going to 169 00:07:33,960 --> 00:07:36,600 Speaker 1: the library like kids after school. 170 00:07:36,680 --> 00:07:38,920 Speaker 2: Sometimes they're just like meeting up there hanging out and 171 00:07:38,960 --> 00:07:40,920 Speaker 2: again there's that social element. 172 00:07:41,040 --> 00:07:43,320 Speaker 1: Yeah, I love it all right, cultural events for the win. 173 00:07:44,040 --> 00:07:46,200 Speaker 1: Let's talk about student loans. Matt that the trend of 174 00:07:46,200 --> 00:07:49,040 Speaker 1: student loan forgiveness and of income based or payment programs 175 00:07:49,640 --> 00:07:51,840 Speaker 1: has been to make them more and more generous. Right 176 00:07:52,120 --> 00:07:55,000 Speaker 1: as student loan debt it's become a more significant issue 177 00:07:55,040 --> 00:07:57,160 Speaker 1: for mars. We've just seen that up into the right 178 00:07:57,200 --> 00:08:01,280 Speaker 1: trend for student loan debt and one point seven trillion 179 00:08:01,400 --> 00:08:03,679 Speaker 1: dollars overall, I think in student loan debt these days. 180 00:08:03,880 --> 00:08:07,120 Speaker 1: And so these ballooning debt burdens, they've basically been the 181 00:08:07,160 --> 00:08:10,560 Speaker 1: norm as college prices increased so much faster than the 182 00:08:10,640 --> 00:08:13,080 Speaker 1: rate of inflation in recent decades. Oh yeah, and while 183 00:08:13,200 --> 00:08:16,400 Speaker 1: student loan borrowers they still made more money than their 184 00:08:16,400 --> 00:08:18,080 Speaker 1: peers who didn't get a degree. We've talked about that 185 00:08:18,240 --> 00:08:20,720 Speaker 1: too before, what a million dollars in lifetime earnings on 186 00:08:20,800 --> 00:08:25,160 Speaker 1: average for the versus the typical high school graduate. Well, 187 00:08:25,280 --> 00:08:28,680 Speaker 1: various government administrations have opted to make those loans less 188 00:08:28,720 --> 00:08:32,520 Speaker 1: onerous through different repayment programs like pay and Repay and 189 00:08:32,520 --> 00:08:36,080 Speaker 1: then most recently the safe Plan that was attempted a 190 00:08:36,080 --> 00:08:39,160 Speaker 1: couple of years ago. But the current administration is taking 191 00:08:39,200 --> 00:08:41,360 Speaker 1: a different route. They seem to be of the opinion 192 00:08:41,760 --> 00:08:44,160 Speaker 1: that student loan benevolence has kind of gone too far. 193 00:08:44,559 --> 00:08:47,520 Speaker 1: And then so after a January court ruling again save 194 00:08:47,600 --> 00:08:51,440 Speaker 1: and then another recent one in March. The Education Department, 195 00:08:51,640 --> 00:08:55,400 Speaker 1: they actually just recently took applications for student loan forgiveness 196 00:08:55,440 --> 00:08:58,400 Speaker 1: and for repayment plans off the website as these court 197 00:08:58,480 --> 00:09:02,080 Speaker 1: rulings have essentially put those biden to minus illustration plans 198 00:09:02,120 --> 00:09:04,720 Speaker 1: that were more generous on hold, which puts a lot 199 00:09:04,760 --> 00:09:08,000 Speaker 1: of borrowers in limbo. Matt, there's essentially now zero ability 200 00:09:08,040 --> 00:09:10,000 Speaker 1: to switch or to sign up for a new or 201 00:09:10,040 --> 00:09:13,160 Speaker 1: different repayment plan, or to even verify your income if 202 00:09:13,200 --> 00:09:15,600 Speaker 1: your date is approaching because of this freeze, and it's 203 00:09:15,640 --> 00:09:18,240 Speaker 1: just kind of leaving student loan borrowers in alert right now. 204 00:09:18,360 --> 00:09:20,280 Speaker 1: Yeah yeah, So how long will that freeze last? We 205 00:09:20,440 --> 00:09:20,880 Speaker 1: don't know. 206 00:09:20,960 --> 00:09:24,679 Speaker 2: But the sad thing is that student loan borrowers continue 207 00:09:24,720 --> 00:09:28,040 Speaker 2: to be kept on pins and needles. So first, initially 208 00:09:28,120 --> 00:09:30,800 Speaker 2: it was waiting and hoping for student loan forgiveness, and 209 00:09:30,880 --> 00:09:32,320 Speaker 2: now I was just waiting to see what sort of 210 00:09:32,400 --> 00:09:34,760 Speaker 2: payment plan that you're going to be able to get 211 00:09:34,800 --> 00:09:38,720 Speaker 2: on how long your path too potential forgiveness might take. 212 00:09:39,240 --> 00:09:41,920 Speaker 2: The lack of clarity, which I totally get, is so 213 00:09:42,000 --> 00:09:44,880 Speaker 2: frustrating and so at least one piece of advice that 214 00:09:44,880 --> 00:09:46,840 Speaker 2: we can offer in these uncertain times is to keep 215 00:09:46,840 --> 00:09:49,800 Speaker 2: making payments no matter what plan that you're on. The 216 00:09:49,880 --> 00:09:53,920 Speaker 2: Journal actually profiled steep credit drops for borrowers who didn't 217 00:09:53,960 --> 00:09:57,000 Speaker 2: resume making payments back in October, and so what they 218 00:09:57,040 --> 00:10:00,920 Speaker 2: found was that ninety days after that resumed, scores began 219 00:10:01,160 --> 00:10:04,680 Speaker 2: to plummet. Yeah, so clearly there is just a large 220 00:10:04,679 --> 00:10:07,079 Speaker 2: amount of confusion. This is a quote from the Journal. 221 00:10:07,120 --> 00:10:10,120 Speaker 2: Forty three percent of borrowers who owe payments on federal 222 00:10:10,160 --> 00:10:14,079 Speaker 2: student loans haven't resumed making them. That's witch chazy, it's crazy, 223 00:10:14,120 --> 00:10:15,920 Speaker 2: and it's like, I wonder if too. I think it's 224 00:10:16,000 --> 00:10:19,040 Speaker 2: less confusion and maybe just that they are ill informed 225 00:10:19,120 --> 00:10:21,679 Speaker 2: because when that was something that you've been promised over 226 00:10:21,679 --> 00:10:23,960 Speaker 2: the past four years. I get the confusion, I get 227 00:10:23,960 --> 00:10:26,559 Speaker 2: the misunderstanding, but I get there's. 228 00:10:26,360 --> 00:10:29,240 Speaker 1: Also even out of sight, out of mind, right, Yeah, exactly, Hey, 229 00:10:29,280 --> 00:10:30,880 Speaker 1: don't pay your student loans. Don't pay your student loans. 230 00:10:30,880 --> 00:10:32,600 Speaker 1: Don't pay your student loans. Wait a second, pay your 231 00:10:32,600 --> 00:10:34,360 Speaker 1: student loans. And you're like, I I didn't get the 232 00:10:34,440 --> 00:10:34,840 Speaker 1: last moment. 233 00:10:34,920 --> 00:10:37,280 Speaker 2: Yeah, So, like we're talking about one hundred plus point 234 00:10:37,400 --> 00:10:41,360 Speaker 2: drop for some borrowers, which impacts every area of your 235 00:10:41,400 --> 00:10:44,640 Speaker 2: financial life, so we're highlighting this. We do know the 236 00:10:44,640 --> 00:10:47,080 Speaker 2: student loans space is a complete mess. If you're not 237 00:10:47,120 --> 00:10:50,000 Speaker 2: sure where you stand, make log in, check your plan, 238 00:10:50,160 --> 00:10:54,000 Speaker 2: check your payment status over on studentaid dot gov. Either 239 00:10:54,040 --> 00:10:56,960 Speaker 2: take screenshots of your payment history or download some of 240 00:10:56,960 --> 00:10:59,480 Speaker 2: those transactions to be able to keep up with the 241 00:10:59,520 --> 00:11:01,440 Speaker 2: payments you've already made the plan that you're currently on 242 00:11:01,520 --> 00:11:04,839 Speaker 2: to be able to document this. It's it shouldn't be 243 00:11:04,880 --> 00:11:06,000 Speaker 2: this way, but it feels like it's sort of the 244 00:11:06,000 --> 00:11:08,600 Speaker 2: wild West. We're not totally sure where this. It's like 245 00:11:08,640 --> 00:11:10,959 Speaker 2: a Safari expedition where there's like no road and it's 246 00:11:10,960 --> 00:11:12,240 Speaker 2: just like, well, are we going to go over there 247 00:11:12,320 --> 00:11:14,600 Speaker 2: like where it looks super sketchy and rough, or we 248 00:11:14,760 --> 00:11:16,959 Speaker 2: maybe we'll go like this direction. We're not totally sure 249 00:11:17,000 --> 00:11:19,000 Speaker 2: which direction the government is going to choose to go. Yeah. 250 00:11:19,000 --> 00:11:20,719 Speaker 1: Well, and I think if you are in the Save 251 00:11:20,840 --> 00:11:23,800 Speaker 1: plan and you're banking on those payments, being like right 252 00:11:23,800 --> 00:11:25,480 Speaker 1: now you're in for parents if you're on the Safe plan, 253 00:11:25,760 --> 00:11:29,920 Speaker 1: but if you're banking on the having those Save Plan 254 00:11:30,200 --> 00:11:33,559 Speaker 1: payments once the hoping that it comes back online, I 255 00:11:33,559 --> 00:11:35,760 Speaker 1: would not plan on that, and I would plan on 256 00:11:35,880 --> 00:11:39,040 Speaker 1: making a payment that's probably double whatever the safe plan 257 00:11:39,080 --> 00:11:42,080 Speaker 1: payment was likely to be, which obviously is like a 258 00:11:42,080 --> 00:11:44,800 Speaker 1: crazy thing to hear, but I think it's the only 259 00:11:44,880 --> 00:11:47,040 Speaker 1: rational way to approach this and then plan for the 260 00:11:47,040 --> 00:11:48,959 Speaker 1: worst but hope for the best, and for parents of 261 00:11:49,040 --> 00:11:52,040 Speaker 1: upcoming students who are going to college soon, keeping student 262 00:11:52,080 --> 00:11:53,920 Speaker 1: loan debt to a minimum. I think it's just more 263 00:11:53,960 --> 00:11:55,800 Speaker 1: important than ever, Matt. I mean, it's always been something 264 00:11:55,800 --> 00:11:58,240 Speaker 1: that we have stressed, but given the uncertainty in the 265 00:11:58,280 --> 00:12:01,000 Speaker 1: student loan space and the fact that we're probably gonna 266 00:12:01,040 --> 00:12:04,640 Speaker 1: have less generous repayment plans on offer, like I would 267 00:12:04,640 --> 00:12:07,480 Speaker 1: just want to take on less debt in general because 268 00:12:07,480 --> 00:12:07,800 Speaker 1: of that. 269 00:12:07,800 --> 00:12:11,000 Speaker 2: That's right, Okay. Consumer Reports they just put out their 270 00:12:11,080 --> 00:12:14,040 Speaker 2: list of the best new cars for twenty twenty five. 271 00:12:14,760 --> 00:12:18,760 Speaker 2: Toyota and Subaru we're both well represented. This continues my 272 00:12:18,760 --> 00:12:21,400 Speaker 2: streak of wanting to own a Toyota, specifically, Angel I've 273 00:12:21,440 --> 00:12:23,200 Speaker 2: been on this Toyota kick for a while. They're pretty great. 274 00:12:24,000 --> 00:12:26,080 Speaker 2: They're so evidently they're like super you know, it's supposed 275 00:12:26,080 --> 00:12:28,439 Speaker 2: to be super reliable. I might until the U want 276 00:12:28,440 --> 00:12:30,000 Speaker 2: to I want to see in a hybrid is what 277 00:12:30,000 --> 00:12:31,880 Speaker 2: I I want a minivan that's a hybrid where I'm 278 00:12:31,880 --> 00:12:33,520 Speaker 2: getting better gas milge than what I'm getting right now 279 00:12:33,559 --> 00:12:35,960 Speaker 2: because for those solid or drive solid state evs that 280 00:12:36,000 --> 00:12:37,679 Speaker 2: Toyota's gonna put out. So when is that gonna be 281 00:12:37,720 --> 00:12:39,800 Speaker 2: like twenty twenty eight, I think it's going to continue 282 00:12:39,840 --> 00:12:41,960 Speaker 2: to get kicked down the redue things. Well, I mean, 283 00:12:42,040 --> 00:12:43,160 Speaker 2: look at the current administration. 284 00:12:43,200 --> 00:12:44,960 Speaker 1: You know they're cutting some of that, But that doesn't 285 00:12:44,960 --> 00:12:46,679 Speaker 1: mean that Toyota technology is going to be. 286 00:12:46,679 --> 00:12:48,520 Speaker 2: Yeah, there's there's fewer incentives. 287 00:12:48,600 --> 00:12:51,679 Speaker 1: Toyta basically said we're gonna bet on hybrids now, yeah, 288 00:12:51,720 --> 00:12:54,360 Speaker 1: and we're going to push towards better EV technology. And 289 00:12:54,400 --> 00:12:55,880 Speaker 1: when that comes down the pike, it's gonna be a 290 00:12:55,920 --> 00:12:57,120 Speaker 1: game changer for eb's. 291 00:12:56,880 --> 00:12:59,679 Speaker 2: I do whenever it does actually get implemented and start 292 00:13:00,200 --> 00:13:02,280 Speaker 2: where they start selling it to the masses. Yes, I 293 00:13:02,320 --> 00:13:05,719 Speaker 2: totally agree. Back to Consumer Reports though, the cheapest new 294 00:13:05,760 --> 00:13:09,120 Speaker 2: car that they highlighted is the Nissan CenTra, which it 295 00:13:09,160 --> 00:13:11,320 Speaker 2: can be had for not much more than twenty thousand dollars, 296 00:13:11,600 --> 00:13:13,520 Speaker 2: which is car. When I first met her, it was 297 00:13:15,960 --> 00:13:17,439 Speaker 2: the centrals look better than they used to back in 298 00:13:17,480 --> 00:13:18,840 Speaker 2: the day, Like I see centrals now, I'm just like, 299 00:13:18,840 --> 00:13:22,880 Speaker 2: that's a sharp looking car. Man, reliability, fuel economy. They 300 00:13:22,880 --> 00:13:26,080 Speaker 2: were two of the top metrics that Consumer Reports was 301 00:13:26,160 --> 00:13:28,800 Speaker 2: keeping in mind. But still we would prefer to hear 302 00:13:28,840 --> 00:13:31,480 Speaker 2: folks in the direction of buying used cars, not in 303 00:13:31,520 --> 00:13:35,040 Speaker 2: these new Select twenty twenty five cars. I'll say, I 304 00:13:35,040 --> 00:13:37,560 Speaker 2: think the exception is if you're worried about perhaps maybe 305 00:13:37,559 --> 00:13:40,040 Speaker 2: buying a lemon, and you're willing to keep that new 306 00:13:40,040 --> 00:13:44,040 Speaker 2: car for at least ten years if you can. I 307 00:13:44,080 --> 00:13:46,480 Speaker 2: don't know, Man, even part of that makes me a 308 00:13:46,480 --> 00:13:47,240 Speaker 2: a little hesitant. 309 00:13:47,880 --> 00:13:49,760 Speaker 1: It's not gonna be the best financial move, but it's 310 00:13:49,960 --> 00:13:51,439 Speaker 1: such a reasonable one, and there's just. 311 00:13:51,400 --> 00:13:53,600 Speaker 2: Such a financial hit that you're taking with that those 312 00:13:53,800 --> 00:13:57,320 Speaker 2: first three years, especially of depreciation, that really like you 313 00:13:57,360 --> 00:13:59,480 Speaker 2: need to be in such a solid position financially in 314 00:13:59,520 --> 00:14:02,080 Speaker 2: order before you're buying a new car, even a new 315 00:14:02,120 --> 00:14:05,080 Speaker 2: Nissan CenTra. But if you are keen on buying something 316 00:14:05,080 --> 00:14:08,000 Speaker 2: brand new, opting for one of Consumer reports favorites, I 317 00:14:08,000 --> 00:14:10,719 Speaker 2: think that would be totally wise. Yeah, while we're talking 318 00:14:10,720 --> 00:14:14,720 Speaker 2: about cars, icy cars, which is like a data aggregate. 319 00:14:14,760 --> 00:14:16,600 Speaker 2: I know, they really surveys and lots of data that 320 00:14:16,640 --> 00:14:18,920 Speaker 2: we like to look at icy cars also released a 321 00:14:18,960 --> 00:14:22,800 Speaker 2: new study of the most reliable used cars, and at 322 00:14:22,800 --> 00:14:25,200 Speaker 2: the top of the list Honda Fit Baby. It's got 323 00:14:25,200 --> 00:14:27,920 Speaker 2: the best five and ten year track record. 324 00:14:27,960 --> 00:14:30,120 Speaker 1: I think the ten year old car was like, what 325 00:14:30,200 --> 00:14:32,240 Speaker 1: eleven thousand dollars for a ten year old home to fit? 326 00:14:32,360 --> 00:14:36,240 Speaker 2: What's super affordable? And we published we released this this 327 00:14:36,280 --> 00:14:39,040 Speaker 2: past week in our newsletter. But the average used vehicle 328 00:14:39,120 --> 00:14:42,040 Speaker 2: now is fourteen years old. That's that's on the road. 329 00:14:42,480 --> 00:14:44,800 Speaker 2: And when I came across that, dude completely blew my mind, 330 00:14:45,040 --> 00:14:48,400 Speaker 2: specifically because I always saw myself as like someone who's 331 00:14:48,720 --> 00:14:52,480 Speaker 2: an average car, yes in this case older than average. 332 00:14:52,560 --> 00:14:55,160 Speaker 2: And I'm like, wait a minute, I got a twenty twelve. 333 00:14:55,480 --> 00:14:57,880 Speaker 2: That means my van is only thirteen years old. There's 334 00:14:57,920 --> 00:14:59,320 Speaker 2: a bunch of folks out there who were beating me. 335 00:15:00,040 --> 00:15:01,680 Speaker 2: It makes me want to keep that car on the 336 00:15:01,760 --> 00:15:03,400 Speaker 2: road even longer because I'm just like, wait a minute, 337 00:15:03,400 --> 00:15:05,120 Speaker 2: I'm barely average. You got to do better by it. 338 00:15:05,200 --> 00:15:05,560 Speaker 2: I know. 339 00:15:06,960 --> 00:15:07,960 Speaker 1: This is make you want to sell that and you 340 00:15:07,960 --> 00:15:09,320 Speaker 1: go get like a two thousand and six or something, 341 00:15:09,360 --> 00:15:10,880 Speaker 1: not at all, but it does make me want to 342 00:15:10,920 --> 00:15:11,920 Speaker 1: take care of that thing. 343 00:15:11,960 --> 00:15:15,840 Speaker 2: Wait, I never posted pictures, remember I talked about making 344 00:15:15,840 --> 00:15:18,240 Speaker 2: the side mirrors like I was seeing them down especially. 345 00:15:18,680 --> 00:15:21,440 Speaker 2: I totally did that, and like these small little things 346 00:15:21,440 --> 00:15:23,440 Speaker 2: to maintain your vehicle, it makes you feel better about it, 347 00:15:23,480 --> 00:15:25,240 Speaker 2: sort of like when you're talking about cleaning up, cleaning 348 00:15:25,320 --> 00:15:27,400 Speaker 2: up your blackstone, getting all the grease off. You're like, 349 00:15:27,440 --> 00:15:29,280 Speaker 2: wait a minute, this is a solid grill. That's how 350 00:15:29,320 --> 00:15:31,640 Speaker 2: I feel about our ride now, So I'm going to 351 00:15:31,720 --> 00:15:33,400 Speaker 2: keep it on the road. Maintenance goes a long way 352 00:15:33,480 --> 00:15:36,840 Speaker 2: for much much longer, many more years of life on nothing. 353 00:15:36,960 --> 00:15:38,880 Speaker 1: Sticking with the car stuff. If you get in a wreck, 354 00:15:38,880 --> 00:15:41,040 Speaker 1: which I hope nobody out there listening does, especially if 355 00:15:41,080 --> 00:15:43,680 Speaker 1: you're driving right now, pay attention right Uh, there's a 356 00:15:43,720 --> 00:15:45,920 Speaker 1: higher likelihood actually that your car is going to be 357 00:15:45,920 --> 00:15:48,400 Speaker 1: totaled these days. If you do end up in an accident, 358 00:15:49,000 --> 00:15:51,720 Speaker 1: instead of getting that car repaired, it's likely to be scrapped. 359 00:15:52,040 --> 00:15:55,080 Speaker 1: And that's at least partially because cars come with more 360 00:15:55,120 --> 00:15:58,200 Speaker 1: expensive parts these days and smarter computer elements. I think 361 00:15:58,240 --> 00:16:01,560 Speaker 1: it's also just matt the rising car of labor in 362 00:16:01,600 --> 00:16:02,120 Speaker 1: that sector. 363 00:16:02,200 --> 00:16:02,840 Speaker 2: Oh yeah. 364 00:16:02,880 --> 00:16:06,840 Speaker 1: Electric vehicles are also part of the reason why why 365 00:16:06,880 --> 00:16:09,240 Speaker 1: this is the case as well, because battery damage can 366 00:16:09,280 --> 00:16:13,280 Speaker 1: cause repair prices to soar significantly that EV gets in 367 00:16:13,320 --> 00:16:16,760 Speaker 1: an accident and the battery elements get damaged and boomshock 368 00:16:16,760 --> 00:16:19,240 Speaker 1: a lock. You're talking about replacing the whole arm battery 369 00:16:19,280 --> 00:16:19,840 Speaker 1: that ain't cheap? 370 00:16:19,960 --> 00:16:22,000 Speaker 2: Is the when the solid state rolls around? Is that 371 00:16:22,040 --> 00:16:25,880 Speaker 2: gonna Is that gonna impact the ability to replace certain elements? 372 00:16:26,040 --> 00:16:26,640 Speaker 2: That's a good question. 373 00:16:26,680 --> 00:16:28,880 Speaker 1: If you could just replace certain like the damaged portion 374 00:16:28,960 --> 00:16:30,840 Speaker 1: of the ye some of the cells that are damaged, 375 00:16:30,840 --> 00:16:32,960 Speaker 1: instead of replacing the whole pack that in mind, that 376 00:16:33,000 --> 00:16:33,880 Speaker 1: would I'd be smart. 377 00:16:33,880 --> 00:16:35,080 Speaker 2: That'd be a games if you could just like pop 378 00:16:35,080 --> 00:16:36,560 Speaker 2: out a few bricks like a bunch of legos. 379 00:16:36,600 --> 00:16:39,600 Speaker 1: Yep, that sounds cool. That'd be brilliant. But this also means, 380 00:16:39,640 --> 00:16:42,240 Speaker 1: you know, repair times are increasing. I think the average 381 00:16:42,240 --> 00:16:44,280 Speaker 1: repair weight is like close to a month now, which 382 00:16:44,320 --> 00:16:44,880 Speaker 1: is crazy. 383 00:16:45,360 --> 00:16:46,960 Speaker 2: What does this all mean? Man? I believe that one 384 00:16:46,960 --> 00:16:49,120 Speaker 2: of my neighbors he's been driving a rental vehicle. I 385 00:16:49,120 --> 00:16:51,160 Speaker 2: don't think his car gott in a wreck, but maybe 386 00:16:51,160 --> 00:16:52,720 Speaker 2: it had a recall so it's back of the I'm 387 00:16:52,760 --> 00:16:54,400 Speaker 2: assuming it's back out of the dealership because it's like 388 00:16:54,440 --> 00:16:57,080 Speaker 2: a new pickup truck and he's been driving this other 389 00:16:57,080 --> 00:16:59,840 Speaker 2: pickup truck. And it's been a few weeks now, So 390 00:17:00,160 --> 00:17:01,240 Speaker 2: I did not even think. 391 00:17:01,120 --> 00:17:03,040 Speaker 1: About what I think about your turn law when he 392 00:17:03,080 --> 00:17:06,399 Speaker 1: had an issue with his car, and man, it was 393 00:17:06,440 --> 00:17:08,640 Speaker 1: in there for months, yeah, like multiple. 394 00:17:08,359 --> 00:17:10,640 Speaker 2: Months, and they had an actual limon. Yeah, they ended 395 00:17:10,680 --> 00:17:13,480 Speaker 2: up having to actually make a claim with the dealership 396 00:17:13,520 --> 00:17:15,000 Speaker 2: and have that thing they bought it back. 397 00:17:15,000 --> 00:17:17,600 Speaker 1: Basically, don't sleep on lemon laws in your state if 398 00:17:17,640 --> 00:17:19,919 Speaker 1: you need it. But this is I think, just another 399 00:17:20,000 --> 00:17:22,840 Speaker 1: data point that points that we're going to see higher 400 00:17:23,040 --> 00:17:26,879 Speaker 1: car insurance prices that will likely outpace general inflation moving forward. 401 00:17:27,080 --> 00:17:29,399 Speaker 1: You also might not get enough money right that equals 402 00:17:29,400 --> 00:17:30,000 Speaker 1: the value of. 403 00:17:29,960 --> 00:17:32,160 Speaker 2: The total vehicle. So they say, hey, the vehicle's totaled, 404 00:17:32,160 --> 00:17:33,840 Speaker 2: here's what we think it's worth. Here's what we pay. 405 00:17:34,440 --> 00:17:36,160 Speaker 1: We we're paying, And you might need to fight back 406 00:17:36,320 --> 00:17:38,679 Speaker 1: and say, no, actually it's worth this much here My 407 00:17:38,760 --> 00:17:41,119 Speaker 1: sois Yeah, you might need to appeal what they say 408 00:17:41,359 --> 00:17:43,359 Speaker 1: and also save up because you might need to use 409 00:17:43,640 --> 00:17:47,119 Speaker 1: other dollars that you have to subsidize, right, the price 410 00:17:47,160 --> 00:17:49,520 Speaker 1: of that next car if you're let's say upgrading it, 411 00:17:49,520 --> 00:17:51,080 Speaker 1: getting a few years neweror that's what we did the 412 00:17:51,160 --> 00:17:54,040 Speaker 1: last time matt our car our two thousand and six 413 00:17:54,080 --> 00:17:56,679 Speaker 1: Odyssey was in an accident and it got totaled. We 414 00:17:56,760 --> 00:18:00,720 Speaker 1: upgraded to a twenty thirteen Odyssey. We weren't playing on upgrading, 415 00:18:00,760 --> 00:18:02,720 Speaker 1: but it just made sense, I think at that point 416 00:18:02,760 --> 00:18:04,960 Speaker 1: in time. But yeah, you just have to be prepared 417 00:18:05,400 --> 00:18:07,880 Speaker 1: from a financial perspective and from an insurance perspective. 418 00:18:08,000 --> 00:18:10,359 Speaker 2: Yeah, and to know that it probably is going to 419 00:18:10,359 --> 00:18:11,800 Speaker 2: be smart to not buy at the top end of 420 00:18:11,840 --> 00:18:13,760 Speaker 2: your car budget because there are some of these other 421 00:18:13,840 --> 00:18:16,879 Speaker 2: expenses that maybe you aren't necessarily counting on. While we're 422 00:18:16,880 --> 00:18:20,080 Speaker 2: talking about transportation, there's a relatively new e bike rebate 423 00:18:20,119 --> 00:18:23,399 Speaker 2: program that's attempting to reduce the price of e bikes 424 00:18:23,440 --> 00:18:25,520 Speaker 2: for folks who don't make a whole lot of money 425 00:18:25,560 --> 00:18:27,800 Speaker 2: in the fair city of Atlanta, and it turns out 426 00:18:27,840 --> 00:18:30,280 Speaker 2: that is working out quite well. New stats find that 427 00:18:30,320 --> 00:18:32,280 Speaker 2: folks who got an e bike through the program are 428 00:18:32,359 --> 00:18:36,679 Speaker 2: driving their cars less. Seventy four percent of the recipients 429 00:18:36,680 --> 00:18:38,640 Speaker 2: they ride their new e bike at least two days 430 00:18:38,640 --> 00:18:41,280 Speaker 2: a week, and those folks are driving forty percent less 431 00:18:41,320 --> 00:18:45,080 Speaker 2: to either work or to school after their e bike purchase, 432 00:18:45,400 --> 00:18:47,920 Speaker 2: which is awesome. This love it. Of course, it reduces 433 00:18:47,960 --> 00:18:50,840 Speaker 2: congestion on the road. I think it also does a 434 00:18:50,840 --> 00:18:53,520 Speaker 2: good amount of stress reduction, and of course it increases 435 00:18:53,600 --> 00:18:57,480 Speaker 2: the amount of activity, the amount of exercise for those bikers. 436 00:18:57,520 --> 00:18:59,280 Speaker 2: Even with the e assist, you still are moving your 437 00:18:59,320 --> 00:19:01,639 Speaker 2: legs a little bit way more than just pressing the 438 00:19:01,640 --> 00:19:03,600 Speaker 2: pedal when you know when the light trens green. 439 00:19:03,600 --> 00:19:05,080 Speaker 1: Being on an e bike is better than being in 440 00:19:05,119 --> 00:19:07,560 Speaker 1: a car. Absolutely, And for the city, I think it's 441 00:19:07,560 --> 00:19:09,359 Speaker 1: money well spent too. You know, it's just just cheaper 442 00:19:09,400 --> 00:19:11,240 Speaker 1: than adding more infrastructure for the cars. 443 00:19:11,280 --> 00:19:14,000 Speaker 2: It's much it's going to be a lot more affordable 444 00:19:14,040 --> 00:19:17,720 Speaker 2: over the long haul to maintain bike lanes, paths or 445 00:19:17,760 --> 00:19:20,280 Speaker 2: even roads that bikes are riding on. Of course, then 446 00:19:20,840 --> 00:19:23,359 Speaker 2: you know three thousand pound vehicle, what, yeah, there is that? 447 00:19:23,359 --> 00:19:25,160 Speaker 2: How much cars away? I don't even know. I made 448 00:19:25,160 --> 00:19:25,560 Speaker 2: nothing like that. 449 00:19:25,920 --> 00:19:28,720 Speaker 1: Thousand three to four thousand hounds maybe, But yeah, I 450 00:19:28,720 --> 00:19:31,680 Speaker 1: think that the more bike infrastructure we have, it's almost 451 00:19:31,680 --> 00:19:33,440 Speaker 1: like if you build it, they will come, and if 452 00:19:33,480 --> 00:19:36,919 Speaker 1: you pay people to get them, people will actually like 453 00:19:37,080 --> 00:19:40,560 Speaker 1: jump on it and it can I think, revolutionize the 454 00:19:40,560 --> 00:19:42,639 Speaker 1: way people get around town. And then once there's like 455 00:19:42,680 --> 00:19:45,440 Speaker 1: a critical mass of bikers. That's a good thing for 456 00:19:46,359 --> 00:19:48,120 Speaker 1: the city right as a whole. It's a good thing 457 00:19:48,160 --> 00:19:51,119 Speaker 1: for pollution, and it's a good thing for infrastructure. You're right, 458 00:19:51,160 --> 00:19:53,640 Speaker 1: I think it can reduce the government's costs overall. Plus 459 00:19:53,640 --> 00:19:55,399 Speaker 1: it's fine kind of leaning in d bikes and it's fun. 460 00:19:55,640 --> 00:19:57,960 Speaker 1: It's fun, and you see your neighbors more, you talk 461 00:19:58,000 --> 00:19:59,600 Speaker 1: to them more when you walk and ride your bike 462 00:19:59,720 --> 00:20:00,719 Speaker 1: versus driving your car. 463 00:20:00,760 --> 00:20:02,159 Speaker 2: It did a whole episode on this way back in 464 00:20:02,200 --> 00:20:04,800 Speaker 2: the day, back when we're much younger. 465 00:20:04,400 --> 00:20:06,760 Speaker 1: Dads, let's rehab you the whole thing right now. Well, 466 00:20:07,000 --> 00:20:10,040 Speaker 1: other towns like Denver right have offered bike rebase for 467 00:20:10,080 --> 00:20:13,320 Speaker 1: citizens too, But I think most town of money listeners 468 00:20:13,320 --> 00:20:16,480 Speaker 1: they don't have access to a subsidized e bike. But still, 469 00:20:16,520 --> 00:20:18,399 Speaker 1: I think it's it's worth noting that e bikes have 470 00:20:18,400 --> 00:20:21,520 Speaker 1: come down in price significantly. Cargo e bikes. You and 471 00:20:21,560 --> 00:20:23,480 Speaker 1: I what, You have a cargo regular bike. I have 472 00:20:23,480 --> 00:20:25,520 Speaker 1: a cargo e bike. Those are great if you have 473 00:20:25,560 --> 00:20:28,040 Speaker 1: kids or if you're hauling stuff. But I think looking 474 00:20:28,080 --> 00:20:30,480 Speaker 1: to brands, they're not like the top tier brands. The 475 00:20:30,480 --> 00:20:32,400 Speaker 1: top tier brands are going to cost a lot of money. Still, 476 00:20:32,640 --> 00:20:36,359 Speaker 1: but like rad power bikes and electric those are solid. 477 00:20:36,400 --> 00:20:37,879 Speaker 1: You can get solid bikes from them for less than 478 00:20:37,920 --> 00:20:40,560 Speaker 1: a grand. Or if you're wanting to buy used, scour 479 00:20:40,600 --> 00:20:43,320 Speaker 1: Facebook marketplace you can find a pretty solid e bike 480 00:20:43,560 --> 00:20:45,520 Speaker 1: that someone else said. Yeah, I didn't really ride that 481 00:20:45,600 --> 00:20:46,879 Speaker 1: very much, and you might be able to get it 482 00:20:47,000 --> 00:20:50,560 Speaker 1: half off from what the MSRP was. So right, this 483 00:20:50,640 --> 00:20:52,159 Speaker 1: is a case I think we're spending a little bit 484 00:20:52,160 --> 00:20:53,960 Speaker 1: of money. If you actually use the bike, it's going 485 00:20:54,040 --> 00:20:55,200 Speaker 1: to save you more money over time. 486 00:20:55,320 --> 00:20:57,879 Speaker 2: Yeah, and you mentioned that I've got that regular muscle 487 00:20:57,920 --> 00:21:01,320 Speaker 2: powered e bike or not eba. This it's an oxymorony, 488 00:21:01,400 --> 00:21:04,840 Speaker 2: not necessarily, but just a traditional non electric cargo bike. 489 00:21:04,960 --> 00:21:07,240 Speaker 2: And have we talked about this on the show Don't 490 00:21:07,240 --> 00:21:10,600 Speaker 2: Plenty to sell mine? You kind of listened to the mundo. Well, 491 00:21:10,680 --> 00:21:12,000 Speaker 2: I listed it in the middle of the winter, and 492 00:21:12,000 --> 00:21:14,320 Speaker 2: nobody wants to ride a bike when it's like freezing outside. 493 00:21:14,359 --> 00:21:16,239 Speaker 2: Now it's a great time. But I'm gonna, yeah, renew it. 494 00:21:16,640 --> 00:21:18,520 Speaker 2: Drop the price, you know, like one hundred bucks. But 495 00:21:18,520 --> 00:21:20,640 Speaker 2: I'm so sad, dude, it's like the end of an era. 496 00:21:20,840 --> 00:21:22,360 Speaker 2: Like we have so many it feels like a part 497 00:21:22,359 --> 00:21:24,439 Speaker 2: of the family. That we're giving away or selling or 498 00:21:24,440 --> 00:21:26,600 Speaker 2: something like that. But like, we have so many memories, 499 00:21:26,680 --> 00:21:28,440 Speaker 2: especially early to give it away with a kid on 500 00:21:28,480 --> 00:21:30,440 Speaker 2: the ball. Back in the day when our oldest girls 501 00:21:30,440 --> 00:21:33,240 Speaker 2: started pre k that's how we got them to pre kah. Like, 502 00:21:33,440 --> 00:21:35,560 Speaker 2: it wasn't carpool, it was bike pool. You would swing 503 00:21:35,600 --> 00:21:37,760 Speaker 2: by in the morning, you had your oldest already there 504 00:21:37,760 --> 00:21:39,240 Speaker 2: on a bike. EV would get on there, you would 505 00:21:39,320 --> 00:21:40,719 Speaker 2: ride off, drop them off, and then I would pick 506 00:21:40,760 --> 00:21:42,960 Speaker 2: them up in the like I had more flexibility. That's 507 00:21:42,960 --> 00:21:45,000 Speaker 2: when I was, like, I'm still self employed, but back 508 00:21:45,000 --> 00:21:47,200 Speaker 2: then I had the ability to go in the middle 509 00:21:47,200 --> 00:21:48,520 Speaker 2: of the day and pick them up at like one 510 00:21:48,720 --> 00:21:51,520 Speaker 2: or two whatever. But like, man, it was afternoon bikeros. 511 00:21:51,520 --> 00:21:54,520 Speaker 2: Oh my gosh, dude, I have such fun memories. It's 512 00:21:54,520 --> 00:21:56,080 Speaker 2: gonna be sad to see that thing go. Yeah, but 513 00:21:56,200 --> 00:21:57,800 Speaker 2: we're just in a stage of life where we're not 514 00:21:58,040 --> 00:22:00,000 Speaker 2: using them nearly as much as we used to. Kids 515 00:22:00,000 --> 00:22:01,800 Speaker 2: getting older and they're riding their own bikes, don't need 516 00:22:01,840 --> 00:22:03,520 Speaker 2: the cargo bike anymore. We can get it. Still have 517 00:22:03,560 --> 00:22:07,639 Speaker 2: a whole arsenal stable of traditional bikes. But man, for 518 00:22:07,680 --> 00:22:09,520 Speaker 2: those years when your kids are real young and they 519 00:22:09,520 --> 00:22:11,880 Speaker 2: get hop on the back. It's so sticking for so money. 520 00:22:11,960 --> 00:22:13,880 Speaker 1: Yeah, all right, we've got more to get to, Matt, 521 00:22:13,920 --> 00:22:18,720 Speaker 1: including we'll talk about doom spending and a national cryptocurrency reserve. 522 00:22:18,840 --> 00:22:21,000 Speaker 2: Is that a good idea and how will that impact 523 00:22:21,080 --> 00:22:23,240 Speaker 2: your finances. We'll get to that and more right after this. 524 00:22:31,280 --> 00:22:33,479 Speaker 2: We are back from the break, and of course it 525 00:22:33,520 --> 00:22:35,760 Speaker 2: is now time for the ludicrous headline of the week, 526 00:22:35,800 --> 00:22:39,840 Speaker 2: which is from CNBC. The headline reads, one in five 527 00:22:39,880 --> 00:22:44,240 Speaker 2: Americans are doom spending and here's how that can backfire. Joel. 528 00:22:44,280 --> 00:22:46,840 Speaker 2: There is a new report and they find that twenty 529 00:22:46,880 --> 00:22:49,520 Speaker 2: percent of folks out there are partaking in what's now 530 00:22:49,560 --> 00:22:52,359 Speaker 2: being called doom spending, which is just another term. You 531 00:22:52,400 --> 00:22:54,879 Speaker 2: know how these news organizations come up with the different terms. 532 00:22:55,119 --> 00:22:56,879 Speaker 2: We feel like they're being coined right and left. It 533 00:22:56,960 --> 00:23:01,000 Speaker 2: is essentially buying more stuff because of fears about the future. 534 00:23:01,280 --> 00:23:04,160 Speaker 2: You are expecting the worse, and some folks out there 535 00:23:04,160 --> 00:23:07,000 Speaker 2: are citing incoming tariffs as a reason to buy stuff 536 00:23:07,280 --> 00:23:10,080 Speaker 2: now that the otherwise would have avoided or at least 537 00:23:10,080 --> 00:23:13,280 Speaker 2: we died longer to purchase. And you know, you listen 538 00:23:13,280 --> 00:23:15,639 Speaker 2: to how to Money before you've heard our take on this. 539 00:23:15,840 --> 00:23:18,040 Speaker 2: You know, we don't love this mindset to buy something 540 00:23:18,080 --> 00:23:21,080 Speaker 2: before you otherwise would. It's like we're always either in 541 00:23:21,080 --> 00:23:23,359 Speaker 2: a period of economic uncertainty or we're just around the 542 00:23:23,359 --> 00:23:26,159 Speaker 2: corner for something from something terrible happening. Joel, don't let 543 00:23:26,160 --> 00:23:28,680 Speaker 2: other shoes about to drive. Yeah, don't let this instill fear, 544 00:23:28,720 --> 00:23:32,040 Speaker 2: and you don't let it change your money, actions, your habits, 545 00:23:32,640 --> 00:23:35,720 Speaker 2: especially if that reaction would be to increase your spending. 546 00:23:35,800 --> 00:23:38,280 Speaker 1: Yeah, don't freak out, folks. Maybe doom saving. Doom saving 547 00:23:38,359 --> 00:23:39,639 Speaker 1: is a better way of going. And that's what the 548 00:23:39,640 --> 00:23:41,760 Speaker 1: emergency fund is all about. It's like, if you're nervous 549 00:23:41,760 --> 00:23:44,600 Speaker 1: about the future, which it should, it should lead you 550 00:23:44,640 --> 00:23:46,439 Speaker 1: to stockpile more cash. 551 00:23:46,480 --> 00:23:49,120 Speaker 2: But like, but even still, that's it doesn't It shouldn't 552 00:23:49,160 --> 00:23:51,399 Speaker 2: be in reaction to something that's going on, Like you 553 00:23:51,440 --> 00:23:54,320 Speaker 2: should all that regardless of what's going on in rosy 554 00:23:54,400 --> 00:23:57,000 Speaker 2: times or when things aren't looking so good, you should 555 00:23:57,040 --> 00:24:00,200 Speaker 2: have that emergency fund because then, so I'm pushing back 556 00:24:00,240 --> 00:24:02,199 Speaker 2: because if someone starts freaking out and they start thinking, well, 557 00:24:02,240 --> 00:24:05,400 Speaker 2: I can't invest money if only bad times or ahead, 558 00:24:05,400 --> 00:24:07,240 Speaker 2: they're not gonna they're not gonna be willing to dollar 559 00:24:07,280 --> 00:24:08,960 Speaker 2: cost average, and they're gonna pull back a little bit, 560 00:24:09,000 --> 00:24:12,200 Speaker 2: they're gonna sit on cash, potentially miss out on obviously 561 00:24:12,240 --> 00:24:14,080 Speaker 2: what that would have done had that been invested in 562 00:24:14,200 --> 00:24:15,240 Speaker 2: experience dot compounding. 563 00:24:15,440 --> 00:24:17,400 Speaker 1: Yeah, yeah, I agree, And I think some people out 564 00:24:17,440 --> 00:24:19,800 Speaker 1: for doom spending when their debt is feeling out of control, 565 00:24:19,880 --> 00:24:23,480 Speaker 1: like with the logic of why not because I'm like 566 00:24:23,480 --> 00:24:24,760 Speaker 1: digging myself into a bigger holes. 567 00:24:24,680 --> 00:24:26,480 Speaker 2: Like throwing the talent Essentially, I think that's. 568 00:24:26,400 --> 00:24:28,960 Speaker 1: Exactly what happens here, right, And but the truth is 569 00:24:29,000 --> 00:24:31,439 Speaker 1: those additional purchases will catch up to you and it 570 00:24:31,480 --> 00:24:34,479 Speaker 1: makes the eventual payoff process even more painful. And by 571 00:24:34,480 --> 00:24:36,080 Speaker 1: the way, if you're in that position, you're like, man, 572 00:24:36,119 --> 00:24:39,520 Speaker 1: my debt is overwhelming. There are nonprofits that can help you, 573 00:24:39,560 --> 00:24:42,959 Speaker 1: like Money Management International. It's worth talking to a budget 574 00:24:42,960 --> 00:24:45,560 Speaker 1: counselor there. We've also met, we've talked about how tariffs 575 00:24:45,600 --> 00:24:48,080 Speaker 1: are likely to impact prices, and so I think that's 576 00:24:48,160 --> 00:24:50,520 Speaker 1: part of why people are doom spending. They're seeing kind 577 00:24:50,520 --> 00:24:54,520 Speaker 1: of tariff implementation economic uncertainty, and they're saying, man, I 578 00:24:54,560 --> 00:24:56,680 Speaker 1: need to frontloads and purchases because prices are about to 579 00:24:56,720 --> 00:24:59,159 Speaker 1: go up. That's what I'm reading about. And you know, 580 00:24:59,200 --> 00:25:02,240 Speaker 1: Trump called the terror against Mexico and Canada off last month, 581 00:25:02,240 --> 00:25:04,560 Speaker 1: but they wouldn't to affect this Tuesday, and then got 582 00:25:04,720 --> 00:25:06,080 Speaker 1: pulled back in part they're. 583 00:25:05,880 --> 00:25:10,280 Speaker 2: Making organizations as well, especially the US Mexico Canada agreements. 584 00:25:10,320 --> 00:25:13,480 Speaker 1: And then products, some agricultural products right are gonna also 585 00:25:14,480 --> 00:25:15,920 Speaker 1: be taken off the chopping block. 586 00:25:16,000 --> 00:25:18,240 Speaker 2: Oh man, it's so confusing, and you're like, dang it. 587 00:25:18,400 --> 00:25:20,000 Speaker 2: I bought a bunch of stuff on Tuesday. 588 00:25:20,560 --> 00:25:23,960 Speaker 1: I stockpiled avocados because I thought the prices were gonna 589 00:25:23,960 --> 00:25:26,399 Speaker 1: go up, right, And the truth is, prices are going 590 00:25:26,440 --> 00:25:29,200 Speaker 1: to rise on a lot of goods if tariffs stay 591 00:25:29,200 --> 00:25:31,919 Speaker 1: around for long. But will they stay around, We don't know. 592 00:25:31,960 --> 00:25:34,240 Speaker 1: We don't know what's gonna happen with big question. So 593 00:25:34,320 --> 00:25:36,879 Speaker 1: much sea sawing happening. And I think, no matter what, 594 00:25:36,960 --> 00:25:39,480 Speaker 1: it still doesn't mean that you should front load spending, 595 00:25:39,880 --> 00:25:42,560 Speaker 1: especially especially if it means taking on more debt. I 596 00:25:42,560 --> 00:25:45,960 Speaker 1: think that increases anxiety and that leads to a doom 597 00:25:46,000 --> 00:25:48,600 Speaker 1: spending doom loop. And that's that's what I foresee for 598 00:25:48,600 --> 00:25:50,639 Speaker 1: a lot of people. If if you partake in doom spending, 599 00:25:50,840 --> 00:25:52,840 Speaker 1: it's it's likely to unravel things instead of help. 600 00:25:52,920 --> 00:25:55,639 Speaker 2: Yeah, we'll definitely be keeping up with the tariff conversation 601 00:25:55,760 --> 00:25:58,479 Speaker 2: how it impacts our money, because they could end up 602 00:25:58,520 --> 00:26:02,720 Speaker 2: sparking stagflation, which is a combination of weak economic growth 603 00:26:02,840 --> 00:26:06,280 Speaker 2: and inflation. And here we go, so one economists use 604 00:26:06,320 --> 00:26:09,760 Speaker 2: the adorable term mini stag session. It's so much more 605 00:26:09,800 --> 00:26:13,760 Speaker 2: palatable many stag session. We're not fans of making predictions, man, 606 00:26:14,000 --> 00:26:16,120 Speaker 2: we try not to do it. We're not changing our 607 00:26:16,160 --> 00:26:18,639 Speaker 2: investing strategy, We're not changing how what it is that 608 00:26:18,640 --> 00:26:23,080 Speaker 2: we're buying. But even if stagflation doesn't materialize, uncertainty it's 609 00:26:23,080 --> 00:26:25,400 Speaker 2: one of the worst words, I think for business owners 610 00:26:25,400 --> 00:26:28,400 Speaker 2: and operators, and I think that's a big part of why. 611 00:26:28,480 --> 00:26:31,600 Speaker 2: I mean, that's why we're seeing fluctuations like crazy in 612 00:26:31,640 --> 00:26:34,320 Speaker 2: the market right now, intra day fluctuations that are they've 613 00:26:34,320 --> 00:26:37,359 Speaker 2: been insane. Yeah, they've been insane, and hopefully you aren't 614 00:26:37,480 --> 00:26:40,080 Speaker 2: glued to the headlines and adjusting not only how it 615 00:26:40,119 --> 00:26:41,800 Speaker 2: is that you're spending on a day to day basis, 616 00:26:41,880 --> 00:26:44,239 Speaker 2: but we certainly don't want to see you change how 617 00:26:44,240 --> 00:26:46,639 Speaker 2: it is that you're investing your dollars because honestly, in 618 00:26:46,680 --> 00:26:49,159 Speaker 2: the I mean personally, I think everything is going to 619 00:26:49,200 --> 00:26:52,080 Speaker 2: be fine, not because anyone is brilliant or anything. I 620 00:26:52,080 --> 00:26:54,359 Speaker 2: don't know, Like we've kind of had this conversation. But 621 00:26:54,600 --> 00:26:56,639 Speaker 2: and this is where I don't know, maybe folks are 622 00:26:56,640 --> 00:26:58,760 Speaker 2: going to say I'm more of a conspiracy theorist, Joel, 623 00:26:58,880 --> 00:27:01,320 Speaker 2: But I've shared this with you. Who was sitting there 624 00:27:01,320 --> 00:27:04,320 Speaker 2: on the podium with Trump when he got inaugurated like 625 00:27:04,520 --> 00:27:06,000 Speaker 2: two months ago? Oh, the tech, all the guards, you 626 00:27:06,040 --> 00:27:09,680 Speaker 2: saw Tim Cook or Tim Apple? Right, of course Elon 627 00:27:09,800 --> 00:27:12,600 Speaker 2: was there, but like Bezos, who else was there? Sundar 628 00:27:12,680 --> 00:27:16,120 Speaker 2: from Google Zuckerberg he was there as well. Right, these 629 00:27:16,160 --> 00:27:18,879 Speaker 2: are the biggest companies in the US, are you telling me? 630 00:27:19,160 --> 00:27:21,120 Speaker 2: And so because that they were there, there's no way 631 00:27:21,200 --> 00:27:23,879 Speaker 2: that that was their first conversation that they've had with 632 00:27:23,920 --> 00:27:26,320 Speaker 2: Trump or with the current administration, with the White House. 633 00:27:26,800 --> 00:27:28,480 Speaker 2: I think, man, that there has got to be back 634 00:27:28,560 --> 00:27:31,520 Speaker 2: channels open where they're having conversations with these big companies 635 00:27:31,680 --> 00:27:34,000 Speaker 2: and saying, hey, all right, we gotta play tough, we 636 00:27:34,040 --> 00:27:36,600 Speaker 2: gotta play hardball. We're we're gonna threaten these terrorists. Don't 637 00:27:36,600 --> 00:27:38,879 Speaker 2: freak out. Everyone else is gonna be freaking out. Just 638 00:27:39,080 --> 00:27:42,040 Speaker 2: keep on doing what you've always done. Obviously, this is 639 00:27:42,040 --> 00:27:44,159 Speaker 2: a more generous interpretation of what's being going on. 640 00:27:44,520 --> 00:27:46,440 Speaker 1: I don't even know if that's generous though, because then 641 00:27:46,520 --> 00:27:49,199 Speaker 1: there's all these other small businesses. It's like, why are 642 00:27:49,200 --> 00:27:51,480 Speaker 1: you linking up with lots of the richest America, the 643 00:27:51,560 --> 00:27:53,760 Speaker 1: richest dudes who run the biggest companies, when all the 644 00:27:53,760 --> 00:27:56,600 Speaker 1: other small businesses that uncertainly impacts them a lot more 645 00:27:56,640 --> 00:27:59,240 Speaker 1: than it impacts the big companies, who often have ways 646 00:27:59,280 --> 00:28:01,040 Speaker 1: of side stepping tariffs shining. 647 00:28:01,200 --> 00:28:04,360 Speaker 2: You know, I'm having that. I think it's perceived uncertainty 648 00:28:04,400 --> 00:28:06,800 Speaker 2: as opposed to actual uncertainty. That's I mean. And this 649 00:28:06,880 --> 00:28:09,359 Speaker 2: is why we you know, big companies why they have 650 00:28:09,440 --> 00:28:12,399 Speaker 2: earnings reports right, and small businesses pay attention to that. 651 00:28:12,480 --> 00:28:14,639 Speaker 2: It sets the tone for what's going on in the economy. 652 00:28:15,359 --> 00:28:18,840 Speaker 2: That's a generous optimistic interpretation. If Trump actually things that 653 00:28:18,920 --> 00:28:20,760 Speaker 2: terifts are going to be good for our country, then 654 00:28:20,800 --> 00:28:23,639 Speaker 2: I think he's an idiot because all economists appointed to 655 00:28:23,680 --> 00:28:25,720 Speaker 2: the fact this is not going to make our countries 656 00:28:25,720 --> 00:28:26,120 Speaker 2: well here. 657 00:28:26,160 --> 00:28:29,560 Speaker 1: That's one of those things where if you ask any economists, 658 00:28:29,640 --> 00:28:31,400 Speaker 1: no matter where they follow in the political spectrum, they're 659 00:28:31,400 --> 00:28:32,919 Speaker 1: pretty much going to agree on that. Yeah, there are 660 00:28:32,920 --> 00:28:35,000 Speaker 1: some outliers, of course, but it's the same thing when 661 00:28:35,040 --> 00:28:38,040 Speaker 1: we talk about rent control. Almost all economists right and 662 00:28:38,120 --> 00:28:40,480 Speaker 1: left agree the rent control is a terrible idea, and 663 00:28:40,520 --> 00:28:43,000 Speaker 1: I think the same is true with how economists think 664 00:28:43,000 --> 00:28:44,800 Speaker 1: about tariffs, and so totally agree. 665 00:28:44,840 --> 00:28:45,920 Speaker 2: It's interesting that. 666 00:28:46,600 --> 00:28:50,520 Speaker 1: We're still testing the tariff watters here, and I think 667 00:28:50,560 --> 00:28:52,960 Speaker 1: that lack of clarity about when tariffs are going to 668 00:28:52,960 --> 00:28:55,120 Speaker 1: be implemented, at what rate they're going to be implemented, 669 00:28:55,120 --> 00:28:58,680 Speaker 1: and then how are friendly countries that we were friendly 670 00:28:58,720 --> 00:29:00,880 Speaker 1: with and countries that were not as friendly with, how 671 00:29:00,920 --> 00:29:02,800 Speaker 1: they're going to respond, and then how long we'll stick 672 00:29:02,800 --> 00:29:06,000 Speaker 1: around that those are all clouding what's going to happen 673 00:29:06,280 --> 00:29:08,520 Speaker 1: with the American economy, and I think it just leads 674 00:29:08,560 --> 00:29:11,560 Speaker 1: to negative outcomes for consumers and for businesses alike. 675 00:29:11,680 --> 00:29:15,160 Speaker 2: Yeah, so let's keep your money and government train rolling 676 00:29:15,200 --> 00:29:17,440 Speaker 2: for a bit more hair jol. There's a new position 677 00:29:17,600 --> 00:29:18,560 Speaker 2: that is being created. 678 00:29:18,760 --> 00:29:22,720 Speaker 1: The affordabilities are I've already sent in my application there 679 00:29:22,920 --> 00:29:24,800 Speaker 1: it's coming saying do you think I'll get the job, Matt, 680 00:29:25,800 --> 00:29:27,600 Speaker 1: only if you promise to appoint me on the board. 681 00:29:27,640 --> 00:29:29,680 Speaker 2: Because they are putting together a board. But we'll see 682 00:29:29,680 --> 00:29:32,600 Speaker 2: how this shakes. My minis are it's nice right next 683 00:29:32,640 --> 00:29:35,760 Speaker 2: to me. It's an interesting move given the twelve hundred 684 00:29:35,800 --> 00:29:38,880 Speaker 2: dollars in average on anual spending impact that terrists are 685 00:29:38,880 --> 00:29:44,160 Speaker 2: predicted to have on us households. But this Affordability Zar 686 00:29:44,480 --> 00:29:47,200 Speaker 2: will likely be tasked with trying to reduce prices on 687 00:29:47,280 --> 00:29:51,400 Speaker 2: everything from homes to cars, groceries, electronics as well. I'll 688 00:29:51,440 --> 00:29:54,240 Speaker 2: do my best, Folks, I am highly skeptical. You don't 689 00:29:54,280 --> 00:29:55,720 Speaker 2: think I can do it of this, not of you, 690 00:29:55,840 --> 00:30:00,200 Speaker 2: but just of this government intervention. It seems insane. I 691 00:30:00,240 --> 00:30:02,640 Speaker 2: do think, like, yeah, maybe there could be some wiggle 692 00:30:02,680 --> 00:30:05,440 Speaker 2: room right in the healthcare space to encourage or to 693 00:30:05,560 --> 00:30:09,600 Speaker 2: mandate some pricing transparency which could help consumers shop in 694 00:30:09,640 --> 00:30:11,760 Speaker 2: a more informed way. We just were talking about the 695 00:30:11,840 --> 00:30:14,480 Speaker 2: high cost of college. The only thing that is outpaced 696 00:30:14,840 --> 00:30:18,320 Speaker 2: college when it comes to outpacing that the average rate 697 00:30:18,320 --> 00:30:21,160 Speaker 2: of inflation is medical spending. So I think that could 698 00:30:21,160 --> 00:30:23,360 Speaker 2: be good. But either way, keep listening to how to 699 00:30:23,440 --> 00:30:26,320 Speaker 2: money and be your own affordabilities are folks. No one 700 00:30:26,400 --> 00:30:28,640 Speaker 2: is going to look after your hard earned dollars like you. 701 00:30:28,720 --> 00:30:33,240 Speaker 2: This seems completely unnecessary to It's a creation of another, 702 00:30:33,600 --> 00:30:37,600 Speaker 2: perhaps government organization to counter what another part of the 703 00:30:37,600 --> 00:30:40,840 Speaker 2: government is doing. Seems highly inefficient. I disapprove. 704 00:30:41,000 --> 00:30:45,280 Speaker 1: Yeah well, and yeah that in intervention into markets to 705 00:30:45,440 --> 00:30:49,360 Speaker 1: try and stemy cost increases, both sides of the aisle 706 00:30:49,400 --> 00:30:51,920 Speaker 1: have kind of gone. We talked about that with attempts 707 00:30:51,960 --> 00:30:54,200 Speaker 1: to rate in what we're being called gre inflation, and 708 00:30:54,240 --> 00:30:56,960 Speaker 1: how we didn't think that was a good idea. And similarly, 709 00:30:57,040 --> 00:30:59,840 Speaker 1: you're trying to go in there and and force companies 710 00:30:59,840 --> 00:31:02,960 Speaker 1: to to cost cut prices. I think no matter from 711 00:31:03,000 --> 00:31:06,080 Speaker 1: which side of the political fence you're sitting on, it's 712 00:31:06,120 --> 00:31:08,640 Speaker 1: not gonna work out well. And as like interference, to me, yeah, 713 00:31:08,680 --> 00:31:11,680 Speaker 1: the market is going to do better at regulating that, 714 00:31:11,840 --> 00:31:15,080 Speaker 1: and we just have to pay attention and save the 715 00:31:15,120 --> 00:31:15,960 Speaker 1: best we can. 716 00:31:16,360 --> 00:31:17,560 Speaker 2: We talked about that a lot on the show. Here, 717 00:31:17,560 --> 00:31:21,280 Speaker 2: don't we hashtag free the market? Like that? People still 718 00:31:21,360 --> 00:31:24,240 Speaker 2: using hashtags these days. Yeah, they're gonna use that one. Okay. Well. 719 00:31:24,680 --> 00:31:27,360 Speaker 1: President Trump also seems to be keen on starting a 720 00:31:27,480 --> 00:31:32,840 Speaker 1: national cryptocurrency reserve. Hooray for taxpayers. I say that tongue 721 00:31:32,840 --> 00:31:36,200 Speaker 1: in cheek because it's another policy we're just not keen on. 722 00:31:36,880 --> 00:31:41,400 Speaker 1: He's not talking about the United States owning just bitcoin, 723 00:31:41,600 --> 00:31:44,640 Speaker 1: but adding in some smaller and some lesser known cryptocurrencies too, 724 00:31:45,280 --> 00:31:48,720 Speaker 1: fortunately not his own meme coin. Although details on what 725 00:31:48,800 --> 00:31:51,480 Speaker 1: this National crypto Reserve is going to look like, those 726 00:31:51,480 --> 00:31:54,440 Speaker 1: details are thin, and I think the goal is at 727 00:31:54,520 --> 00:31:57,120 Speaker 1: least important to try and do what Norway has done. 728 00:31:57,560 --> 00:32:00,280 Speaker 1: They have a sovereign wealth fund that allows the country 729 00:32:00,480 --> 00:32:01,840 Speaker 1: to prosper as markets perform. 730 00:32:01,920 --> 00:32:02,120 Speaker 2: Well. 731 00:32:02,800 --> 00:32:07,000 Speaker 1: Norway has crushed it when it comes to investing. They're 732 00:32:07,040 --> 00:32:10,800 Speaker 1: almost as good as Nancy Pelosi, Matt. But Norway doesn't 733 00:32:10,840 --> 00:32:12,880 Speaker 1: have the debt problems that we have, and so we 734 00:32:12,920 --> 00:32:15,600 Speaker 1: have significant debt. So instead of paying down debt, we 735 00:32:15,640 --> 00:32:19,560 Speaker 1: would be investing that money instead to pay down debt 736 00:32:19,800 --> 00:32:24,360 Speaker 1: after we've seen our national cryptocurrency wallet. So I guess 737 00:32:24,560 --> 00:32:27,240 Speaker 1: that's the plan. Yeah, that's the way. It's at least 738 00:32:27,280 --> 00:32:29,800 Speaker 1: been positive. But as front of the show Noah Smith, 739 00:32:29,800 --> 00:32:31,760 Speaker 1: who we had on recently said, he said, this is 740 00:32:31,800 --> 00:32:34,560 Speaker 1: going to require either raising taxes on American people or 741 00:32:34,600 --> 00:32:37,040 Speaker 1: making the US government go deeper into debt at a 742 00:32:37,040 --> 00:32:41,080 Speaker 1: time when interest payments are already spiraling out of control. 743 00:32:41,480 --> 00:32:44,520 Speaker 1: I just I just don't see a reason for US 744 00:32:44,560 --> 00:32:47,200 Speaker 1: as taxpayers to be on the hook for a government 745 00:32:47,280 --> 00:32:48,840 Speaker 1: run crypto endeavor. 746 00:32:48,920 --> 00:32:51,760 Speaker 2: I think it's an okay idea. I don't like totally 747 00:32:51,760 --> 00:32:53,480 Speaker 2: love it, but I also don't totally hate it because 748 00:32:53,520 --> 00:32:55,320 Speaker 2: if you think it, like there's just so much ridiculous 749 00:32:55,320 --> 00:32:57,000 Speaker 2: stuff that we are spending money on it, Like, would 750 00:32:57,000 --> 00:32:59,520 Speaker 2: it be the worst thing for the US to have 751 00:32:59,840 --> 00:33:03,560 Speaker 2: its own crypto wallet, I don't know, like I think 752 00:33:03,560 --> 00:33:05,520 Speaker 2: about it. Like AI, we don't totally know what the 753 00:33:05,560 --> 00:33:08,360 Speaker 2: implications of AI is going to be, and the government 754 00:33:08,440 --> 00:33:11,760 Speaker 2: is doing the best it can to encourage the private 755 00:33:11,800 --> 00:33:14,560 Speaker 2: development of AI, specifically to compete with China. Right, at 756 00:33:14,600 --> 00:33:18,240 Speaker 2: least that creates jobs jobs, that is true, but bottom line, 757 00:33:18,240 --> 00:33:20,360 Speaker 2: we don't know exactly how that's gonna shake out and 758 00:33:20,360 --> 00:33:21,760 Speaker 2: what that's going to look like off in the future. 759 00:33:21,800 --> 00:33:23,880 Speaker 2: That's kind of how how I feel about bitcoin. 760 00:33:24,040 --> 00:33:26,560 Speaker 1: I like the way coin, but what about XRP and 761 00:33:26,640 --> 00:33:29,000 Speaker 1: Solana and these other I definitely. 762 00:33:28,680 --> 00:33:32,240 Speaker 2: Can't get behind those at least. Yeah, Trump's mean coin 763 00:33:32,320 --> 00:33:34,640 Speaker 2: wasn't a part of a part of the announced reserve, 764 00:33:34,960 --> 00:33:37,600 Speaker 2: but I guess I just see the potential downsides of 765 00:33:37,640 --> 00:33:41,560 Speaker 2: the US not having a bitcoin reserve being greater than 766 00:33:41,680 --> 00:33:44,200 Speaker 2: had we dumped some money into it. Okay, and who 767 00:33:44,360 --> 00:33:46,440 Speaker 2: the heck knows what's gonna happen. But if like it 768 00:33:46,520 --> 00:33:49,520 Speaker 2: hits one million by twenty thirty or twenty thirty five, like, 769 00:33:49,760 --> 00:33:52,280 Speaker 2: that's something. These are predictions that are being made. We 770 00:33:52,400 --> 00:33:55,360 Speaker 2: have a friend, Joel, and he recently shared that, and 771 00:33:55,400 --> 00:33:57,440 Speaker 2: he wasn't he didn't like lay all his cards on 772 00:33:57,480 --> 00:34:01,479 Speaker 2: the table, but he basically pointed out it was very 773 00:34:01,480 --> 00:34:03,960 Speaker 2: easy to gather that from a small investment, like back 774 00:34:03,960 --> 00:34:07,280 Speaker 2: in twenty seventeen in bitcoin, like anywhere between like a 775 00:34:07,320 --> 00:34:09,880 Speaker 2: twenty thousand dollars and a fifty thousand dollars investment, that 776 00:34:09,920 --> 00:34:13,000 Speaker 2: his bitcoin is now worth between two and eight million dollars. 777 00:34:13,239 --> 00:34:16,080 Speaker 2: That's not chump change. And so you multiply that across 778 00:34:16,160 --> 00:34:18,440 Speaker 2: something like what the US might be able to do 779 00:34:18,480 --> 00:34:20,120 Speaker 2: often in the future. It's just something dick And said. 780 00:34:20,120 --> 00:34:22,360 Speaker 2: I don't think it's the dumbest idea, especially given the 781 00:34:22,480 --> 00:34:25,200 Speaker 2: vast amounts of money that the US is already spending. 782 00:34:25,440 --> 00:34:27,200 Speaker 2: I guess I'm just a bit more neutral on the 783 00:34:27,200 --> 00:34:31,799 Speaker 2: crypto reserve. Yeah, I'm less neutral specifically bitcoin, I'll say that. Yeah, 784 00:34:31,840 --> 00:34:33,680 Speaker 2: and if it was bitcoin in particular, do you feel differently? 785 00:34:33,680 --> 00:34:35,760 Speaker 2: If it was only bitcoin, I would feel little differently. 786 00:34:35,880 --> 00:34:38,520 Speaker 1: I still don't think it's necessarily a smart move by 787 00:34:38,719 --> 00:34:41,120 Speaker 1: our federal government to go hogwild on crypto, and I 788 00:34:41,120 --> 00:34:44,040 Speaker 1: think part of it is that a close access that 789 00:34:44,440 --> 00:34:46,640 Speaker 1: a lot of crypto enthusiasts have to the current administration. 790 00:34:46,680 --> 00:34:48,600 Speaker 1: That's part of the reason it's happening. It's also been 791 00:34:48,640 --> 00:34:52,080 Speaker 1: interesting to see the reaction from kind of certain DeFi 792 00:34:52,200 --> 00:34:56,440 Speaker 1: enthusiasts who are now either rooting for government option. Not everybody, though. 793 00:34:56,440 --> 00:34:58,479 Speaker 1: There are some people in the crypto space who say 794 00:34:58,640 --> 00:35:01,760 Speaker 1: this No, that's the whole point was that like government 795 00:35:01,880 --> 00:35:04,960 Speaker 1: wasn't involved, that this was essentially a non governmental asset. 796 00:35:05,719 --> 00:35:06,680 Speaker 2: And yeah, I don't know. 797 00:35:06,719 --> 00:35:09,879 Speaker 1: If it does come to fruition, some crypto investors stand 798 00:35:09,880 --> 00:35:14,520 Speaker 1: to benefit, especially if you own one of these five 799 00:35:14,600 --> 00:35:17,799 Speaker 1: coins in a meaningful amount. I think the other thing 800 00:35:17,800 --> 00:35:20,160 Speaker 1: to point out here, Matt, is that some people might say, well, 801 00:35:20,200 --> 00:35:23,480 Speaker 1: if this happens, I should buy more cryptocurrency. I should 802 00:35:23,480 --> 00:35:26,760 Speaker 1: have If the government is getting into it to this degree, well, 803 00:35:27,000 --> 00:35:29,440 Speaker 1: then certainly I should own a whole lot more cryptocurrency myself, 804 00:35:29,440 --> 00:35:32,800 Speaker 1: and I think it maybe makes people think about having 805 00:35:32,880 --> 00:35:35,480 Speaker 1: more of their wealth tied up in cryptocurrency, and that 806 00:35:35,520 --> 00:35:37,719 Speaker 1: does worry me a little bit too, especially when you 807 00:35:37,719 --> 00:35:39,800 Speaker 1: look at like the huge bump after the announcement and 808 00:35:39,840 --> 00:35:42,080 Speaker 1: then guess what, crypto prices went right back down. It's 809 00:35:42,120 --> 00:35:45,520 Speaker 1: such a volatile asset. I'm just worried about people thinking 810 00:35:45,520 --> 00:35:47,680 Speaker 1: they need more cryptocurrency than they actually. 811 00:35:47,320 --> 00:35:49,759 Speaker 2: Do, especially if they're neglecting the tried and true, the 812 00:35:49,800 --> 00:35:53,120 Speaker 2: bread and the butter potatoes jool instead folks. We don't 813 00:35:53,120 --> 00:35:55,080 Speaker 2: want folks to get focused on the flakwah. 814 00:35:55,120 --> 00:35:56,840 Speaker 1: You might call it that fua, I might call it 815 00:35:56,840 --> 00:36:00,120 Speaker 1: the parsley, but but I. 816 00:36:00,120 --> 00:36:02,839 Speaker 2: Don't think anything that we have previously advocated for here 817 00:36:02,840 --> 00:36:04,359 Speaker 2: on the show changes. Like if you wanted to have 818 00:36:04,440 --> 00:36:07,560 Speaker 2: up to five percent of your overall portfolio in bitcoin, 819 00:36:07,640 --> 00:36:09,880 Speaker 2: if you now want to consider some of these other coins, 820 00:36:09,880 --> 00:36:13,000 Speaker 2: I think that's fine, but let's definitely keep it limited 821 00:36:13,239 --> 00:36:15,359 Speaker 2: to five percent, ideally a lot less than that. Yeah. 822 00:36:15,440 --> 00:36:18,080 Speaker 1: Yeah, you don't want to lose sleep over the machinations, 823 00:36:18,560 --> 00:36:21,160 Speaker 1: And I think with how quickly it moves a lot 824 00:36:21,200 --> 00:36:24,960 Speaker 1: of people do if they're over indexed towards crypto, all 825 00:36:25,040 --> 00:36:25,319 Speaker 1: right man. 826 00:36:25,320 --> 00:36:25,880 Speaker 2: That's going to do it. 827 00:36:25,880 --> 00:36:27,840 Speaker 1: For this episode. We will put links to some of 828 00:36:27,840 --> 00:36:30,360 Speaker 1: the stories we mentioned today on the show up in 829 00:36:30,400 --> 00:36:32,760 Speaker 1: the show notes on our website at how toomoney dot com. 830 00:36:32,960 --> 00:36:34,840 Speaker 1: Don't forget to sign up for the how to Money newsletter. 831 00:36:35,120 --> 00:36:37,440 Speaker 1: It comes out every Tuesday. It's chock full of helpful 832 00:36:37,480 --> 00:36:39,880 Speaker 1: information and we would love for it to show up 833 00:36:39,920 --> 00:36:41,600 Speaker 1: in your inbox. You can find that out how to 834 00:36:41,600 --> 00:36:44,719 Speaker 1: money dot com slash newsletter. But Matt, I'll do it 835 00:36:44,800 --> 00:36:47,280 Speaker 1: for this one. Until next time, Best Friends Out, Best 836 00:36:47,280 --> 00:37:01,840 Speaker 1: Friends Out,