1 00:00:00,040 --> 00:00:02,719 Speaker 1: Welcome to How the Money. I'm Joel, I'm Matt. 2 00:00:02,759 --> 00:00:07,440 Speaker 2: Today we're talking AI toys, homeowners held hostage, and impoverished Americans. 3 00:00:26,640 --> 00:00:29,680 Speaker 1: That's right, buddy. This is our Friday Flight, the collection 4 00:00:29,760 --> 00:00:32,560 Speaker 1: of stories of news articles that we came across and 5 00:00:32,600 --> 00:00:34,120 Speaker 1: the ones that we think you need to pay attention 6 00:00:34,159 --> 00:00:37,440 Speaker 1: to because they impact your finances the most. 7 00:00:37,479 --> 00:00:39,000 Speaker 2: I think you need to pay attention so much, we're 8 00:00:39,000 --> 00:00:40,360 Speaker 2: going to force you to listen to us for the 9 00:00:40,400 --> 00:00:42,040 Speaker 2: next thirty something minutes. 10 00:00:42,159 --> 00:00:45,239 Speaker 1: Yeah, speaking of folks held hostage, we'll get to that 11 00:00:45,280 --> 00:00:47,320 Speaker 1: homeowner's held hostage story here in a second. But before 12 00:00:47,360 --> 00:00:51,159 Speaker 1: we kick things off, let's give a massive, massive thanks 13 00:00:51,479 --> 00:00:53,640 Speaker 1: to all of the How to Money listeners out there 14 00:00:53,640 --> 00:00:57,960 Speaker 1: who participated in the Daffy Voices for Good challenge. We 15 00:00:58,000 --> 00:01:02,680 Speaker 1: went up against like six, no, seven other podcasts, and 16 00:01:02,720 --> 00:01:04,920 Speaker 1: the reason I know this specific number was because there 17 00:01:05,040 --> 00:01:09,600 Speaker 1: was one podcast that beat us. But I was so happy. 18 00:01:11,560 --> 00:01:13,440 Speaker 1: I want to it's all relative here, because what I 19 00:01:13,480 --> 00:01:16,319 Speaker 1: calculated was the fact that something like pinching pennies, I 20 00:01:16,360 --> 00:01:17,199 Speaker 1: forget what it's called. 21 00:01:17,240 --> 00:01:19,360 Speaker 2: I don't know, I don't remember what they call their podcasts. 22 00:01:19,560 --> 00:01:21,080 Speaker 1: So we came in second and we were only a 23 00:01:21,080 --> 00:01:24,120 Speaker 1: few thousand dollars short of taking that first place spot. 24 00:01:24,160 --> 00:01:27,640 Speaker 1: So I'm really proud of the generosity of our listeners percent. 25 00:01:27,680 --> 00:01:30,280 Speaker 1: But I was also super stoked to see that the 26 00:01:30,360 --> 00:01:34,880 Speaker 1: next six podcasts that competed in this challenge raised only 27 00:01:35,040 --> 00:01:39,240 Speaker 1: half as much combined that we were able to raise 28 00:01:39,319 --> 00:01:43,240 Speaker 1: with our listeners, which just demonstrates such an incredible generous 29 00:01:43,720 --> 00:01:44,880 Speaker 1: spirit man, and. 30 00:01:44,760 --> 00:01:47,880 Speaker 2: That not only are heart yeah, trying to build wealth, 31 00:01:48,120 --> 00:01:49,240 Speaker 2: they want to do good things. 32 00:01:49,040 --> 00:01:52,000 Speaker 1: With it and they're serious givers. Yeah, And honestly, I 33 00:01:52,000 --> 00:01:55,240 Speaker 1: hope that a lot of folks are checking out donor 34 00:01:55,320 --> 00:01:58,880 Speaker 1: advised funds, specifically with Daffy, because we, again, we have 35 00:01:58,960 --> 00:02:01,640 Speaker 1: been such big of Daffy. What it does they do. 36 00:02:01,920 --> 00:02:03,880 Speaker 1: We've been with them for a long time and they 37 00:02:03,920 --> 00:02:06,440 Speaker 1: finally reached out and we're like, hey, maybe we'll start 38 00:02:06,480 --> 00:02:09,440 Speaker 1: advertising with you. Guys Like great a little bit, which 39 00:02:09,480 --> 00:02:11,320 Speaker 1: is something we started. Wait did we do that last 40 00:02:11,520 --> 00:02:13,000 Speaker 1: did we start the end of last year? I think 41 00:02:13,000 --> 00:02:14,359 Speaker 1: it was maybe? I think it was a beginning of 42 00:02:14,440 --> 00:02:18,520 Speaker 1: last year. Maybe, Okay, And yeah, Daffy was a we 43 00:02:18,720 --> 00:02:20,280 Speaker 1: like such a great part if it's a company we 44 00:02:20,320 --> 00:02:23,240 Speaker 1: already use and love it's like the perfect slam Dune partnership. 45 00:02:23,320 --> 00:02:25,840 Speaker 1: So yeah, and really fun to participate in this challenge. 46 00:02:25,880 --> 00:02:28,000 Speaker 1: Next year, hopefully we do this again. Next year, we're 47 00:02:28,000 --> 00:02:31,400 Speaker 1: gonna crush Pinching Pennies take the number one spot. Yeah, 48 00:02:31,400 --> 00:02:34,440 Speaker 1: well we'll beat them because our listeners are awesome and 49 00:02:34,520 --> 00:02:37,160 Speaker 1: maybe I don't know, maybe Matt, you'll we'll match even 50 00:02:37,160 --> 00:02:37,760 Speaker 1: more next year. 51 00:02:37,880 --> 00:02:40,400 Speaker 2: Yeah, I think let's do it. Let's go h okay. Oh, 52 00:02:40,560 --> 00:02:42,960 Speaker 2: one last thing. I'm seeing all the Spotify raps coming 53 00:02:42,960 --> 00:02:46,440 Speaker 2: out now. It's really fun to see. It's amazing how 54 00:02:46,560 --> 00:02:49,480 Speaker 2: much some people listen to specific podcasts and just to 55 00:02:49,480 --> 00:02:51,240 Speaker 2: see people like I listened to How the Money for 56 00:02:51,280 --> 00:02:54,120 Speaker 2: fifteen thousand minutes last year and I'm like, oh my goodness, 57 00:02:54,120 --> 00:02:57,120 Speaker 2: and so much time listening to our voices. I hope 58 00:02:57,160 --> 00:02:57,960 Speaker 2: you haven't gone insane. 59 00:02:58,560 --> 00:03:01,000 Speaker 1: But time for me to do my once a month's 60 00:03:01,080 --> 00:03:03,840 Speaker 1: social media log in and I'll repost a bunch of 61 00:03:03,880 --> 00:03:07,120 Speaker 1: those folks tag us over on Instagram. Specifically, you kind 62 00:03:07,120 --> 00:03:08,799 Speaker 1: of run the Instagram. I kind of run the Facebook group. 63 00:03:08,800 --> 00:03:10,240 Speaker 1: People have been posting in the Facebook group, so I'm 64 00:03:10,240 --> 00:03:12,200 Speaker 1: sure you'll go to find some on Instagram for share. 65 00:03:12,280 --> 00:03:14,480 Speaker 1: But Thank you for listening. Give us a follow if 66 00:03:14,520 --> 00:03:16,079 Speaker 1: you don't at how the Money Pod. 67 00:03:17,440 --> 00:03:20,000 Speaker 2: All right, let's get to the Friday flight sampling stories 68 00:03:20,040 --> 00:03:23,320 Speaker 2: we found interesting this week. Let's talk about Black Friday 69 00:03:23,639 --> 00:03:26,000 Speaker 2: Cyber Monday. Did you participate the shopping holiday? 70 00:03:26,120 --> 00:03:28,760 Speaker 1: You snag yourself a deal? A little? Not much? Okay? 71 00:03:28,840 --> 00:03:32,079 Speaker 2: The main thing I talked about buying tires. There's like 72 00:03:32,080 --> 00:03:34,920 Speaker 2: an early Black Friday sale or whatever. Nice but running shoes. 73 00:03:34,960 --> 00:03:38,160 Speaker 2: I stocked up on cheap but good running shoes, so solid, 74 00:03:38,280 --> 00:03:41,000 Speaker 2: like the high end Adidas for all right, fifty bucks? 75 00:03:41,000 --> 00:03:42,680 Speaker 2: All right, yeah, way to go do it's happy to 76 00:03:42,720 --> 00:03:43,040 Speaker 2: get those? 77 00:03:43,120 --> 00:03:45,120 Speaker 1: You are are you? Are you brand loyal? Now you 78 00:03:45,120 --> 00:03:47,080 Speaker 1: have a lot? Only get the Adida shoes. Yeah, you 79 00:03:47,080 --> 00:03:48,880 Speaker 1: have a lot of Adidas when you know, because they 80 00:03:48,880 --> 00:03:50,840 Speaker 1: have the best sales to be you know, the sizing 81 00:03:50,960 --> 00:03:53,880 Speaker 1: and like you kind of know what brand or not brand, 82 00:03:53,960 --> 00:03:56,720 Speaker 1: what models they go for it as well. Well, you 83 00:03:56,800 --> 00:03:59,280 Speaker 1: are like an ultra person. I have, like I know 84 00:03:59,640 --> 00:04:02,640 Speaker 1: Ault people, and if Alter had shoes that were like 85 00:04:03,040 --> 00:04:04,960 Speaker 1: in that price range, I would totally consider it, but 86 00:04:04,960 --> 00:04:07,480 Speaker 1: they're a lot more expensive. Well, you're also cranking through 87 00:04:07,480 --> 00:04:08,320 Speaker 1: the shoes, that's true. 88 00:04:08,360 --> 00:04:10,400 Speaker 2: I do okay, So, but like a lot of people 89 00:04:10,440 --> 00:04:12,920 Speaker 2: bought stuff on Black Friday and Cyber Monday, sales reup 90 00:04:13,000 --> 00:04:16,600 Speaker 2: something like four percent year over year. Online sales in particular, 91 00:04:16,680 --> 00:04:19,280 Speaker 2: we're up nine percent year over year. But because of 92 00:04:19,320 --> 00:04:22,560 Speaker 2: inflation and tariffs and higher prices in general, those numbers 93 00:04:22,600 --> 00:04:24,960 Speaker 2: could be slightly more inflated than they seem. So maybe 94 00:04:24,960 --> 00:04:26,960 Speaker 2: actually people weren't buying a lot more. It's just that 95 00:04:27,040 --> 00:04:30,560 Speaker 2: things cost more money. And by the way, Costco has 96 00:04:30,600 --> 00:04:33,120 Speaker 2: even sued for a refund of the teriffs they've been 97 00:04:33,160 --> 00:04:35,360 Speaker 2: forced to pay, which I kind of love to see that, 98 00:04:35,400 --> 00:04:38,159 Speaker 2: like Costco's sticking up for themselves. We always stay with Costco. 99 00:04:38,200 --> 00:04:41,400 Speaker 2: Matt here on how to money gen Z shoppers appear 100 00:04:41,480 --> 00:04:43,800 Speaker 2: to be feeling the biggest pinch, and they're dialing back 101 00:04:43,839 --> 00:04:47,360 Speaker 2: spending accordingly. I want to say this, if you overdid it, 102 00:04:47,800 --> 00:04:51,159 Speaker 2: that's okay on Black Friday and Cyber Monday, but it's 103 00:04:51,200 --> 00:04:54,000 Speaker 2: crucial to note the return policy so you can get 104 00:04:54,040 --> 00:04:55,600 Speaker 2: your money back before it's too late. If you're like, 105 00:04:55,920 --> 00:04:58,400 Speaker 2: all these packages are starting to arrive, I forgot I 106 00:04:58,440 --> 00:05:00,479 Speaker 2: even got that thing weight, I don't need that thing. 107 00:05:00,920 --> 00:05:04,320 Speaker 2: Return it, you might maybe be able to mitigate some 108 00:05:04,360 --> 00:05:06,000 Speaker 2: of the damage that you did if you ever spent 109 00:05:06,320 --> 00:05:10,240 Speaker 2: The head of consumer insights over at Salesforce, that person 110 00:05:10,279 --> 00:05:14,720 Speaker 2: credited their spending rise this year to artificial intelligence, and 111 00:05:14,720 --> 00:05:16,440 Speaker 2: I think I think it was she She called it 112 00:05:16,440 --> 00:05:21,520 Speaker 2: the ultimate purchase accelerator AI. We're not anti AI, but 113 00:05:21,560 --> 00:05:23,960 Speaker 2: I just think caution is warranted for your budget when 114 00:05:24,000 --> 00:05:26,520 Speaker 2: you're using AI. It worries me to think that people 115 00:05:26,520 --> 00:05:29,919 Speaker 2: are like using that to facilitate even more buying habits, 116 00:05:29,920 --> 00:05:30,440 Speaker 2: which I. 117 00:05:30,440 --> 00:05:33,559 Speaker 1: Think is true. Yeah, yeah, so all the note of AI. Actually, 118 00:05:33,800 --> 00:05:36,120 Speaker 1: we're going to see more AI toys on the market 119 00:05:36,200 --> 00:05:39,200 Speaker 1: this year. The problem though, is that some are being 120 00:05:39,279 --> 00:05:42,520 Speaker 1: marketed for kids as young as two years old, which 121 00:05:42,560 --> 00:05:44,719 Speaker 1: then leads ovacy groups out there like fair Play to 122 00:05:44,880 --> 00:05:48,400 Speaker 1: issue some stark warnings and rightly so. And it makes 123 00:05:48,400 --> 00:05:50,760 Speaker 1: me think of some of the more educational devices, or 124 00:05:50,760 --> 00:05:53,520 Speaker 1: at least that's maybe what we tell ourselves, because like 125 00:05:53,839 --> 00:05:55,680 Speaker 1: I think a typical response might be, well, you know, 126 00:05:55,720 --> 00:05:58,080 Speaker 1: these toys, they're educational, this is going to help them 127 00:05:58,080 --> 00:06:01,520 Speaker 1: to learn, but man, it's so oh. It seems obvious 128 00:06:01,560 --> 00:06:03,280 Speaker 1: to me though, that two year olds are pretty ill 129 00:06:03,320 --> 00:06:06,359 Speaker 1: equipped to deal with AI and I don't know just 130 00:06:06,400 --> 00:06:09,760 Speaker 1: the proper way to interact with it. I actually asked 131 00:06:09,920 --> 00:06:12,520 Speaker 1: chat whether we should give our kids AI toys Joel, 132 00:06:12,760 --> 00:06:15,280 Speaker 1: and guess what, give me a pretty stern warning against it. 133 00:06:15,640 --> 00:06:17,600 Speaker 1: This is AI itself. You would think it would be 134 00:06:17,640 --> 00:06:22,039 Speaker 1: a bit more self propagating, none them like pluribus. It's 135 00:06:22,120 --> 00:06:25,279 Speaker 1: uh oh, I'll watch the biological mandate. I'm only a 136 00:06:25,279 --> 00:06:27,920 Speaker 1: couple episodes in and the verdict is out. I'll keep 137 00:06:27,960 --> 00:06:30,919 Speaker 1: you posting. But just even like myself as an adult, 138 00:06:30,920 --> 00:06:33,359 Speaker 1: I'm still trying to figure out how much, into what 139 00:06:33,520 --> 00:06:37,239 Speaker 1: capacity that AI should have in my life undred percent, 140 00:06:37,360 --> 00:06:40,200 Speaker 1: And so with that in mind, I don't know. You 141 00:06:40,200 --> 00:06:41,640 Speaker 1: don't have to take this advice, but I am all 142 00:06:41,640 --> 00:06:44,720 Speaker 1: for keeping AI toys at a nice distance from our kids. 143 00:06:45,080 --> 00:06:46,279 Speaker 1: Shoul get out there and touch some grass. 144 00:06:46,360 --> 00:06:48,360 Speaker 2: Yeah, there's a lot of risk when you're putting those 145 00:06:48,400 --> 00:06:51,839 Speaker 2: into your kids hands because of the nature of AI 146 00:06:52,000 --> 00:06:55,120 Speaker 2: and like large language learning models, what are they going 147 00:06:55,200 --> 00:06:57,800 Speaker 2: to encounter? Like, you don't know, And we've seen some 148 00:06:57,839 --> 00:07:03,359 Speaker 2: really sad stories about teens, young people and what a 149 00:07:03,400 --> 00:07:07,480 Speaker 2: relationship with AI has done to them. I think we're 150 00:07:07,520 --> 00:07:11,360 Speaker 2: still tread lightly, especially in the early innings. And let's 151 00:07:11,360 --> 00:07:14,160 Speaker 2: talk about returns for just another second, Matt. As shoppers 152 00:07:14,600 --> 00:07:17,400 Speaker 2: make more returns and the cost of accepting those returns 153 00:07:17,400 --> 00:07:21,239 Speaker 2: has risen, some retailers have quietly been shortening their return window. 154 00:07:21,240 --> 00:07:24,480 Speaker 2: They're saying, hey, more people are making returns, and it 155 00:07:24,680 --> 00:07:28,520 Speaker 2: just it really harms our bottom line. So we want 156 00:07:28,520 --> 00:07:30,480 Speaker 2: to make it maybe a little more difficult to actually 157 00:07:30,720 --> 00:07:34,720 Speaker 2: follow through. Sephora and Ulta those are those are makeup shops, Matt. 158 00:07:35,240 --> 00:07:36,320 Speaker 2: I'm not sure if you've been in them. 159 00:07:36,480 --> 00:07:39,040 Speaker 1: Oh, yeah, I've been to Sephora. Your daughter she's getting 160 00:07:39,040 --> 00:07:41,160 Speaker 1: into the makeup right, like, uh, well, are a little bit, 161 00:07:41,200 --> 00:07:43,520 Speaker 1: but yeah, I took her there too long ago, a 162 00:07:43,520 --> 00:07:45,840 Speaker 1: little daddy daughter date. Well, they got to learn what's 163 00:07:45,840 --> 00:07:47,640 Speaker 1: going on next time you go to there. Next time 164 00:07:47,680 --> 00:07:49,120 Speaker 1: they get some makeup, if they want to return it, 165 00:07:49,160 --> 00:07:51,720 Speaker 1: they only have thirty days. They don't sixty days anymore. 166 00:07:51,760 --> 00:07:53,880 Speaker 1: So note that can you take can you take makeup 167 00:07:53,880 --> 00:07:55,480 Speaker 1: back if it's been used, like if you try it out. 168 00:07:55,520 --> 00:07:57,000 Speaker 1: I don't know, that's a good question. I don't know. 169 00:07:57,120 --> 00:07:59,200 Speaker 1: I would I would think probably not. These are uncharted 170 00:07:59,200 --> 00:07:59,680 Speaker 1: waters for me. 171 00:08:02,000 --> 00:08:05,080 Speaker 2: We'll look that up. But we're also seeing retailers attempting 172 00:08:05,080 --> 00:08:07,240 Speaker 2: to steer you towards their preferred method of making a 173 00:08:07,280 --> 00:08:09,960 Speaker 2: return that costs them less money. Like Amazon, they want 174 00:08:09,960 --> 00:08:12,480 Speaker 2: to get you to return stuff to Whole Foods because 175 00:08:12,520 --> 00:08:15,400 Speaker 2: they own Whole Foods instead of a UPS location that's 176 00:08:15,560 --> 00:08:17,560 Speaker 2: potentially much closer to you. And you're like, a Whole 177 00:08:17,560 --> 00:08:19,200 Speaker 2: food is like twenty minutes out of the way. I 178 00:08:19,240 --> 00:08:21,360 Speaker 2: don't really want to go there. It makes the return 179 00:08:21,840 --> 00:08:25,640 Speaker 2: a much bigger pain. And not to tout Costco's greatness 180 00:08:25,640 --> 00:08:27,320 Speaker 2: too much on this podcast already, but there's just a 181 00:08:27,320 --> 00:08:29,040 Speaker 2: lot of peace of mind when you buy from a 182 00:08:29,080 --> 00:08:33,480 Speaker 2: retailer who has a really great return policy, where you're 183 00:08:33,520 --> 00:08:36,440 Speaker 2: just not quite as worried. It might even be I 184 00:08:36,440 --> 00:08:40,040 Speaker 2: think sometimes at times worth paying a tiny bit extra 185 00:08:40,760 --> 00:08:42,400 Speaker 2: knowing that you're buying from a place that has a 186 00:08:42,400 --> 00:08:45,880 Speaker 2: good return policy. You can also, by the way, finagel 187 00:08:46,280 --> 00:08:49,040 Speaker 2: extra return time at a place like Target by having 188 00:08:49,120 --> 00:08:51,720 Speaker 2: their credit card. So just know what the return policy 189 00:08:51,760 --> 00:08:54,079 Speaker 2: is before you buy, and be prepared to jump through 190 00:08:54,120 --> 00:08:56,720 Speaker 2: the hoops and stay organized to make those returns in 191 00:08:56,720 --> 00:08:59,320 Speaker 2: a timely manner, because returns are definitely a part of 192 00:08:59,720 --> 00:09:01,480 Speaker 2: the holiday shopping reality. 193 00:09:01,559 --> 00:09:03,840 Speaker 1: Yeah, most stuff. Yeah. My dad actually just purchased a 194 00:09:03,880 --> 00:09:07,160 Speaker 1: Blackstone griddle and he was at Costco and it was 195 00:09:07,160 --> 00:09:09,040 Speaker 1: on sale, and he's like, should I go for it? 196 00:09:09,040 --> 00:09:13,000 Speaker 1: And I said absolutely, because I've been preaching the gospel 197 00:09:13,280 --> 00:09:17,160 Speaker 1: of the outdoor griddle for like seven years now. Like 198 00:09:17,200 --> 00:09:19,240 Speaker 1: everybody I come in contact with, I tell them just 199 00:09:19,400 --> 00:09:22,520 Speaker 1: how this has revolutionized how we cook our meals, specifically 200 00:09:22,600 --> 00:09:25,040 Speaker 1: the proteins outside, but not even the rotin's like, dude, 201 00:09:25,120 --> 00:09:29,240 Speaker 1: a big breakfas Saturday morning breakfast, like twenty four pancakes 202 00:09:29,240 --> 00:09:32,400 Speaker 1: on the It's insane. Everybody who converts, they never want 203 00:09:32,400 --> 00:09:33,920 Speaker 1: to go I know. And I told him, I was 204 00:09:33,960 --> 00:09:36,240 Speaker 1: just like, you are going to love this, but if 205 00:09:36,280 --> 00:09:40,320 Speaker 1: you don't Costco. So he rest assured that he would 206 00:09:40,320 --> 00:09:42,240 Speaker 1: be able to take that back. Joe, I've got a 207 00:09:42,240 --> 00:09:43,599 Speaker 1: stat here for you that I think you're going to 208 00:09:43,640 --> 00:09:47,240 Speaker 1: be able to vamp on for minutes. The average American 209 00:09:47,320 --> 00:09:50,480 Speaker 1: has almost two hundred and fifty dollars in unused gift cards. 210 00:09:50,840 --> 00:09:55,440 Speaker 1: A third of those Americans have admitted to losing some 211 00:09:55,559 --> 00:09:58,640 Speaker 1: of that money due to the fact that the cards 212 00:09:58,640 --> 00:10:02,160 Speaker 1: either expire soon the retailer has closed, or they straight 213 00:10:02,240 --> 00:10:05,440 Speaker 1: up lost the gift card and my inside's are turning 214 00:10:05,520 --> 00:10:07,480 Speaker 1: right now, go for it. I wish you could see. 215 00:10:07,880 --> 00:10:09,640 Speaker 1: I know this is like the hill I die OneD. 216 00:10:09,679 --> 00:10:11,280 Speaker 1: I don't know. I know you don't like gift cards. 217 00:10:11,320 --> 00:10:14,920 Speaker 1: I don't mind them, but I figured this would give 218 00:10:14,920 --> 00:10:15,640 Speaker 1: you something to play with. 219 00:10:15,800 --> 00:10:17,839 Speaker 2: Okay, I'm gonna go on the dietrive I go on 220 00:10:17,920 --> 00:10:20,520 Speaker 2: every year, which is that you're turning cash, money that 221 00:10:20,600 --> 00:10:24,600 Speaker 2: you can use at any location across the United States 222 00:10:25,160 --> 00:10:27,679 Speaker 2: and you know, the parts of the world too, into 223 00:10:27,720 --> 00:10:32,360 Speaker 2: something that is used usable at really only one retailer. 224 00:10:32,800 --> 00:10:35,440 Speaker 2: And why would you do that to yourself? Why would 225 00:10:35,480 --> 00:10:37,120 Speaker 2: you take money that you can use anywhere and like 226 00:10:37,760 --> 00:10:39,520 Speaker 2: turn it into money you can only use in one place. 227 00:10:39,800 --> 00:10:41,280 Speaker 1: I think most people are doing it for other people, 228 00:10:41,320 --> 00:10:42,120 Speaker 1: not themselves. 229 00:10:41,800 --> 00:10:44,000 Speaker 2: And they are, they are so much of the time. 230 00:10:44,360 --> 00:10:47,040 Speaker 2: But that's why we have this problem where people leave 231 00:10:47,080 --> 00:10:49,960 Speaker 2: their gift cards in their underweards or or forget that 232 00:10:50,040 --> 00:10:53,360 Speaker 2: they have them, or that the retailer that they have 233 00:10:53,360 --> 00:10:55,040 Speaker 2: a gift card too does go out of business and 234 00:10:55,040 --> 00:10:57,720 Speaker 2: then they're kind of out of luck. So just be 235 00:10:57,800 --> 00:11:00,360 Speaker 2: careful when buying gift cards this season. If you have 236 00:11:00,400 --> 00:11:04,800 Speaker 2: gift cards, you haven't used, gather them up and start 237 00:11:04,880 --> 00:11:07,800 Speaker 2: using them, consider giving them away if you don't care 238 00:11:07,840 --> 00:11:11,199 Speaker 2: about that retailer, or you can sell them. You're not 239 00:11:11,240 --> 00:11:12,960 Speaker 2: going to make as much money as the face value 240 00:11:13,000 --> 00:11:14,200 Speaker 2: of the gift card, but you can sell them on 241 00:11:14,240 --> 00:11:16,760 Speaker 2: a site like card cash dot com. There's also a 242 00:11:16,760 --> 00:11:18,280 Speaker 2: cool site that will link to in the show notes 243 00:11:18,400 --> 00:11:21,720 Speaker 2: where you can donate unused gift card dollars. So if 244 00:11:21,760 --> 00:11:23,440 Speaker 2: you find yourself in that vein we're like, I got 245 00:11:23,440 --> 00:11:24,920 Speaker 2: some random one slider, I don't know what to do 246 00:11:24,960 --> 00:11:26,440 Speaker 2: with them, Well, you can donate them, which is cool. 247 00:11:26,480 --> 00:11:27,120 Speaker 1: That's pretty cool. 248 00:11:27,559 --> 00:11:32,520 Speaker 2: And there's actually the only time I'm down with gift 249 00:11:32,520 --> 00:11:34,520 Speaker 2: cards where I think they actually make sense from a 250 00:11:34,679 --> 00:11:38,000 Speaker 2: purchasing perspective is when you're getting a discount. So Costco 251 00:11:38,040 --> 00:11:40,360 Speaker 2: has the discount of gift card section, like use seventy 252 00:11:40,480 --> 00:11:42,280 Speaker 2: or eighty bucks for one hundred bucks worth of gift cards. 253 00:11:42,640 --> 00:11:45,000 Speaker 2: If you're going to use them, why not get a 254 00:11:45,080 --> 00:11:49,080 Speaker 2: discount and make some money on that target This Weekend 255 00:11:49,160 --> 00:11:51,360 Speaker 2: is doing their ten percent off gift cards. They do 256 00:11:51,400 --> 00:11:53,920 Speaker 2: it every single year. That's like one of those super 257 00:11:53,920 --> 00:11:55,800 Speaker 2: popular retailers. So if you're like I want to get 258 00:11:55,800 --> 00:11:57,720 Speaker 2: a gift card for somebody. I want them to have 259 00:11:57,760 --> 00:11:59,560 Speaker 2: a wide range of options for what they can buy 260 00:11:59,559 --> 00:12:02,199 Speaker 2: with them, and I also don't want to pay full price. 261 00:12:02,559 --> 00:12:04,320 Speaker 2: That could be a good option. Do y'all shop at 262 00:12:04,559 --> 00:12:08,520 Speaker 2: Target frequently? I would say frequently enough where the discounted 263 00:12:08,559 --> 00:12:09,960 Speaker 2: gift cards would make sense for us. 264 00:12:10,040 --> 00:12:11,400 Speaker 1: The last time I went in there, I don't know. 265 00:12:11,400 --> 00:12:13,800 Speaker 1: Maybe it's just online shopping has just ruined it for me. 266 00:12:13,840 --> 00:12:16,560 Speaker 1: But just walking through there and being inundated with the 267 00:12:16,640 --> 00:12:20,040 Speaker 1: smells and the stuff. Just what is Target smell is 268 00:12:20,080 --> 00:12:24,200 Speaker 1: drew like a combination of crappy coffee drinks and popcorn. 269 00:12:24,400 --> 00:12:26,480 Speaker 1: Well they have the Starbucks they have? Yeah, that makes sense, 270 00:12:26,600 --> 00:12:30,079 Speaker 1: Like that's the first thing. The door. What's worse walking 271 00:12:30,080 --> 00:12:32,320 Speaker 1: into a into a Target and the smell there, or 272 00:12:32,360 --> 00:12:35,520 Speaker 1: the smell at Sephora where there there's all these tweens 273 00:12:35,520 --> 00:12:37,440 Speaker 1: who are spraying perfume everywhere. I think, I think the 274 00:12:37,480 --> 00:12:40,319 Speaker 1: perfume smell. I can't handle that? What but we when 275 00:12:40,320 --> 00:12:42,880 Speaker 1: I shop at Target usually it's usually it's online try 276 00:12:42,920 --> 00:12:44,600 Speaker 1: to avoid I don't know, I'm just not much for 277 00:12:44,640 --> 00:12:47,440 Speaker 1: going in store shoping. I get it. Hey, let's talk 278 00:12:47,480 --> 00:12:50,400 Speaker 1: about some some policy implications some things that are happening 279 00:12:50,400 --> 00:12:53,240 Speaker 1: at a very high level, and how that's impacting h 280 00:12:53,320 --> 00:12:57,160 Speaker 1: impacting folks their ability to save specifically, because we're going 281 00:12:57,240 --> 00:12:59,960 Speaker 1: to talk about the Trump accounts for baby. 282 00:13:00,240 --> 00:13:03,560 Speaker 2: I'm so stoked that babies can now save money, invest 283 00:13:03,600 --> 00:13:04,120 Speaker 2: and get rich. 284 00:13:04,320 --> 00:13:08,600 Speaker 1: Yeah. The One Big Beautiful Bill Act, because it officially 285 00:13:08,640 --> 00:13:12,280 Speaker 1: passed that made these Trump accounts a reality, but it 286 00:13:12,360 --> 00:13:14,040 Speaker 1: has taken some time to get them off the ground 287 00:13:14,040 --> 00:13:16,120 Speaker 1: as far as like what are the particulars, what are 288 00:13:16,160 --> 00:13:19,880 Speaker 1: the details? It can be a bit confusing, but there 289 00:13:19,920 --> 00:13:23,640 Speaker 1: is more coming to lights. These accounts are available to 290 00:13:23,760 --> 00:13:27,640 Speaker 1: kids eighteen and under. But and this is the headline 291 00:13:27,679 --> 00:13:30,199 Speaker 1: thing that I think drew a lot of the eyeballs 292 00:13:30,200 --> 00:13:34,040 Speaker 1: in initially there is that they're dangling that carrot right 293 00:13:34,080 --> 00:13:38,120 Speaker 1: of the free thousand dollars that, though is only available 294 00:13:38,200 --> 00:13:42,360 Speaker 1: to children who are born between like January first, twenty 295 00:13:42,400 --> 00:13:45,280 Speaker 1: twenty five or the very end of twenty twenty eight. 296 00:13:45,520 --> 00:13:47,360 Speaker 1: You also have to be a US citizen with a 297 00:13:47,360 --> 00:13:51,839 Speaker 1: Social Security number. And so if you are, you know, 298 00:13:52,080 --> 00:13:54,280 Speaker 1: if you've already had a kid this year or congratulations 299 00:13:54,320 --> 00:13:56,520 Speaker 1: if you have to get off congrats, yeah, oh man. 300 00:13:56,840 --> 00:14:00,559 Speaker 1: Every time we have a listener question who mentioned if 301 00:14:00,559 --> 00:14:02,559 Speaker 1: it's a like we should be talking about that. I 302 00:14:03,040 --> 00:14:04,640 Speaker 1: you know, it hasn't even popped into my mind. 303 00:14:04,880 --> 00:14:06,440 Speaker 2: Else we should do we have had the money socks 304 00:14:06,440 --> 00:14:08,800 Speaker 2: for adults, we should get baby hod of money socks 305 00:14:08,880 --> 00:14:10,480 Speaker 2: and then we should ship those how to money socks 306 00:14:10,520 --> 00:14:12,199 Speaker 2: every time a listener has a baby. 307 00:14:12,040 --> 00:14:15,040 Speaker 1: Instead of how the money baby socks about how to 308 00:14:15,080 --> 00:14:17,480 Speaker 1: money onesies. Because of that that sounds even cutere. 309 00:14:17,280 --> 00:14:18,800 Speaker 2: Because the baby soxs would be like kind of tiny, 310 00:14:18,800 --> 00:14:19,760 Speaker 2: you wouldn't be able to see the. 311 00:14:20,120 --> 00:14:22,840 Speaker 1: Yeah, good point, and uh but onesies, onesies are where 312 00:14:22,840 --> 00:14:24,440 Speaker 1: it's at. You might have to actually look into that. 313 00:14:24,640 --> 00:14:27,720 Speaker 1: Is there a sock fancy? But for onesies probably ones fancy? 314 00:14:27,800 --> 00:14:30,240 Speaker 1: God exist. But we're mentioning this because if you if 315 00:14:30,320 --> 00:14:32,560 Speaker 1: if that is you and you've got a kid or 316 00:14:32,840 --> 00:14:35,640 Speaker 1: think you might certainly grab that free money for your 317 00:14:35,680 --> 00:14:38,840 Speaker 1: child if you are eligible, there's a specific form you're 318 00:14:38,880 --> 00:14:41,080 Speaker 1: gonna need to keep it out for IRS form forty 319 00:14:41,080 --> 00:14:43,600 Speaker 1: five forty seven. That's what you're gonna want to fill 320 00:14:43,640 --> 00:14:45,640 Speaker 1: out if you do have a child this year or no, 321 00:14:45,720 --> 00:14:47,000 Speaker 1: what if you had a child this year? 322 00:14:47,120 --> 00:14:49,680 Speaker 2: Is that reference to Trump being the forty fifth and 323 00:14:49,680 --> 00:14:50,560 Speaker 2: forty seventh president. 324 00:14:50,640 --> 00:14:53,360 Speaker 1: Oh my gosh, I didn't think about that until just now. 325 00:14:53,520 --> 00:14:56,880 Speaker 1: Are you serious? That's crazy? This is so stupid. Gosh, 326 00:14:56,960 --> 00:14:59,000 Speaker 1: it's like we're living living in a real life meme. 327 00:14:59,160 --> 00:15:03,400 Speaker 1: But I think you're probably right. Probably is gosh. An 328 00:15:03,440 --> 00:15:05,960 Speaker 1: online portal is going to open this coming summer to 329 00:15:06,000 --> 00:15:08,320 Speaker 1: make it easier as well. The good news though, is 330 00:15:08,360 --> 00:15:10,680 Speaker 1: that you can invest the dollars in low cost ETFs, 331 00:15:10,720 --> 00:15:12,800 Speaker 1: which is certainly the way to go to help that 332 00:15:12,880 --> 00:15:15,560 Speaker 1: nesse grow for your little one. I think it's a 333 00:15:15,560 --> 00:15:18,520 Speaker 1: cool idea, although it does have a limited timeframe and 334 00:15:18,560 --> 00:15:22,760 Speaker 1: it certainly has a limited ability as to what you 335 00:15:22,760 --> 00:15:25,680 Speaker 1: can do with that account, right, Like the functionality is limited, 336 00:15:25,880 --> 00:15:28,600 Speaker 1: which means that long term, I do think the actual 337 00:15:28,680 --> 00:15:31,240 Speaker 1: impact of these accounts might be limited. 338 00:15:31,240 --> 00:15:33,080 Speaker 2: It's a seed of a good idea, and it will 339 00:15:33,120 --> 00:15:37,680 Speaker 2: help some kids and some families, and but is it 340 00:15:37,720 --> 00:15:40,600 Speaker 2: going to have this wide ranging major impact on their 341 00:15:40,640 --> 00:15:44,800 Speaker 2: future lives. I think it's overstand probably, And by the. 342 00:15:44,800 --> 00:15:46,440 Speaker 1: Way, I'm willing to be open to it, right because 343 00:15:46,440 --> 00:15:48,120 Speaker 1: I'm sure when they created like the four to one K, 344 00:15:48,200 --> 00:15:50,640 Speaker 1: they're like, what's this dumb four to one you know, 345 00:15:50,720 --> 00:15:52,800 Speaker 1: like or this thing that they named after the senator 346 00:15:53,480 --> 00:15:56,200 Speaker 1: Senator Roth, but like, look at what those have turned into. 347 00:15:56,320 --> 00:15:59,080 Speaker 1: And so I'm willing to be open minded, but I 348 00:15:59,120 --> 00:16:00,000 Speaker 1: am a bit skeptical. 349 00:16:00,160 --> 00:16:02,200 Speaker 2: Yeah, And I think it's really important to look at 350 00:16:02,240 --> 00:16:04,960 Speaker 2: the details of this account because some people might be 351 00:16:05,040 --> 00:16:07,520 Speaker 2: drawn to putting more money in these accounts beyond the 352 00:16:07,520 --> 00:16:10,840 Speaker 2: free thousand dollars, and that might not be the smartest 353 00:16:11,080 --> 00:16:13,280 Speaker 2: move because even though you can contribute even more to 354 00:16:13,360 --> 00:16:16,560 Speaker 2: these accounts, it makes very little sense to utilize them 355 00:16:16,600 --> 00:16:20,240 Speaker 2: past the free money, because the taxes can be complicated 356 00:16:20,360 --> 00:16:22,800 Speaker 2: or excessive if the money isn't used for a home 357 00:16:22,840 --> 00:16:24,120 Speaker 2: down payment or for education. 358 00:16:24,600 --> 00:16:27,160 Speaker 1: So that is just how its tax is pretty complicated, 359 00:16:27,240 --> 00:16:28,920 Speaker 1: is yeah, okay, a portion of it is taxed at 360 00:16:28,920 --> 00:16:31,360 Speaker 1: this rate, it gets pretty funky. 361 00:16:31,440 --> 00:16:33,280 Speaker 2: So the five P twenty nine account is probably a 362 00:16:33,280 --> 00:16:35,760 Speaker 2: better way to save for your kids or even like 363 00:16:35,800 --> 00:16:40,000 Speaker 2: the UTMA accounts like are likely better than these Trump 364 00:16:40,000 --> 00:16:42,240 Speaker 2: accounts for are putting more money into take the free money, 365 00:16:42,280 --> 00:16:48,720 Speaker 2: but after that, probably look elsewhere. And interestingly enough, Matt 366 00:16:49,200 --> 00:16:52,800 Speaker 2: the Dell computers entrepreneur Michael Dell. He announced this week 367 00:16:52,920 --> 00:16:55,160 Speaker 2: that he's offering an additional two hundred and fifty dollars 368 00:16:55,160 --> 00:16:58,080 Speaker 2: for kids ten and younger who would have otherwise been 369 00:16:58,160 --> 00:17:01,920 Speaker 2: left out of this Trump account goodness. And at first 370 00:17:01,960 --> 00:17:03,200 Speaker 2: when I saw that, I was like, oh, man, the 371 00:17:03,200 --> 00:17:07,040 Speaker 2: public private partnership. Sometimes it like makes me a little squeamy, 372 00:17:07,359 --> 00:17:10,400 Speaker 2: But man, it seems like this is just like a 373 00:17:10,440 --> 00:17:14,960 Speaker 2: philanthropic good deed that Michael Dell is doing and for 374 00:17:15,000 --> 00:17:17,320 Speaker 2: the children. And even some of our kids are going 375 00:17:17,359 --> 00:17:19,920 Speaker 2: to be eligible for this, So not only if you 376 00:17:20,040 --> 00:17:21,639 Speaker 2: just had a newborn, but if you have a kid 377 00:17:21,680 --> 00:17:25,920 Speaker 2: who's elementary school age, you might be your kids might qualify. 378 00:17:26,200 --> 00:17:27,880 Speaker 2: He's donating I think we like six and a half 379 00:17:27,960 --> 00:17:29,080 Speaker 2: billion dollars to make this. 380 00:17:29,040 --> 00:17:30,320 Speaker 1: A realitmendous amount of money. 381 00:17:30,440 --> 00:17:33,000 Speaker 2: Yeah, so it's a pert I didn't see coming. And 382 00:17:33,280 --> 00:17:35,200 Speaker 2: I think maybe the best part of this, the silver lining, 383 00:17:35,520 --> 00:17:37,200 Speaker 2: could be that more kids are going to be made 384 00:17:37,240 --> 00:17:41,040 Speaker 2: aware of compounding returns and investing in how the market 385 00:17:41,080 --> 00:17:42,919 Speaker 2: works from an earlier age because they're like, I got 386 00:17:42,920 --> 00:17:45,760 Speaker 2: this account, Like you might start telling your kid about 387 00:17:45,760 --> 00:17:48,399 Speaker 2: it at age six or seven. That's the upside, and 388 00:17:48,480 --> 00:17:50,800 Speaker 2: then they kind of they get to learn exactly. So 389 00:17:51,160 --> 00:17:53,399 Speaker 2: maybe that's like the most underrated part of these accounts. 390 00:17:53,440 --> 00:17:56,359 Speaker 1: I wish instead I could just roll that Dell money 391 00:17:56,560 --> 00:17:58,320 Speaker 1: just straight into their five twenty nine, you know, like 392 00:17:58,359 --> 00:18:00,680 Speaker 1: I don't have to open up another account, but I'm 393 00:18:00,720 --> 00:18:02,840 Speaker 1: probably going to because two hundred fifty bucks, I mean, 394 00:18:02,960 --> 00:18:04,119 Speaker 1: I think I want to get my hands on that. 395 00:18:04,160 --> 00:18:06,760 Speaker 1: Don't want to leave free money behind. Yeah, And it's 396 00:18:06,800 --> 00:18:09,640 Speaker 1: I'm also like I kind of gave like the the 397 00:18:10,040 --> 00:18:13,040 Speaker 1: I'm open minded, like this could lead somewhere kind of argument. 398 00:18:13,080 --> 00:18:15,320 Speaker 1: But it's hard not to be cynical, especially when they're 399 00:18:15,320 --> 00:18:17,360 Speaker 1: called Trump accounts, right, Like, because what do you think 400 00:18:17,400 --> 00:18:19,399 Speaker 1: of when you hear Trump accounts. I think of like 401 00:18:19,440 --> 00:18:22,160 Speaker 1: Trump hotels, or I think of like Trump stakes, Trump 402 00:18:22,160 --> 00:18:25,840 Speaker 1: are Rex, like any It just seems like another opportunity 403 00:18:25,880 --> 00:18:27,359 Speaker 1: for him to throw his name on something. And I'm 404 00:18:27,359 --> 00:18:30,520 Speaker 1: not trying to be trump coin overly political here or anything, 405 00:18:30,560 --> 00:18:33,040 Speaker 1: but like it feels like a band aid on something 406 00:18:33,160 --> 00:18:35,640 Speaker 1: of like rising prices, and they're like, oh, let's throw 407 00:18:35,800 --> 00:18:38,760 Speaker 1: the people a bone. Let's find a way to get 408 00:18:38,840 --> 00:18:41,800 Speaker 1: money back into the back into the hands, and not 409 00:18:41,840 --> 00:18:46,879 Speaker 1: addressing underlying issues, right, not addressing inflation initially started by 410 00:18:46,920 --> 00:18:50,520 Speaker 1: the government injecting ridiculous amounts of money into our economy 411 00:18:51,160 --> 00:18:54,040 Speaker 1: but then kept alive with tariffs. Yes, but then on 412 00:18:54,119 --> 00:18:56,400 Speaker 1: top so it's it's both sides of the aisle who 413 00:18:56,480 --> 00:18:59,959 Speaker 1: are at fault here. And and we talked about those 414 00:19:00,119 --> 00:19:02,240 Speaker 1: you what a couple of weeks ago that he basically 415 00:19:02,280 --> 00:19:06,120 Speaker 1: admitted that, yeah, terris do cause prices to rise because 416 00:19:06,160 --> 00:19:09,000 Speaker 1: you know what, we're gonna get breakfasts to be more 417 00:19:09,000 --> 00:19:11,720 Speaker 1: affordable for you again with your banana and your beef 418 00:19:12,280 --> 00:19:17,959 Speaker 1: and what a coffee? And so it's so they know, 419 00:19:18,080 --> 00:19:22,959 Speaker 1: the administration knows that this raises prices, which you know, 420 00:19:23,200 --> 00:19:25,480 Speaker 1: then can there's an argument to be made that like, oh, okay, 421 00:19:25,480 --> 00:19:27,919 Speaker 1: well it's just a negotiating tactic, right like that, just 422 00:19:27,960 --> 00:19:30,000 Speaker 1: hang on and we're going to negotiate better trade deals 423 00:19:30,640 --> 00:19:33,639 Speaker 1: and who knows man Again, it just feels like a 424 00:19:33,680 --> 00:19:37,639 Speaker 1: giant meme sort of environment that that we're currently living in. 425 00:19:37,800 --> 00:19:41,280 Speaker 2: We are living in interesting times. But just I think 426 00:19:41,440 --> 00:19:44,160 Speaker 2: practical takeaway for everybody out there is at least take 427 00:19:44,200 --> 00:19:46,639 Speaker 2: advantage of free money, yep, even though it means opening 428 00:19:46,680 --> 00:19:48,840 Speaker 2: up a new account and having something else to track 429 00:19:48,880 --> 00:19:52,119 Speaker 2: and take care of, even if it seems silly, go ahead, 430 00:19:52,160 --> 00:19:53,800 Speaker 2: go for you mean, you don't have to agree with everything, 431 00:19:53,880 --> 00:19:55,080 Speaker 2: but it's available there for you. 432 00:19:55,240 --> 00:19:55,919 Speaker 1: Yeah, agreed. 433 00:19:56,160 --> 00:19:58,760 Speaker 2: Or We've got more to get to, including people feeling 434 00:19:59,000 --> 00:20:02,520 Speaker 2: like they're handcuffed to their home. We'll talk about that 435 00:20:02,560 --> 00:20:06,359 Speaker 2: and then where what actually constitutes poverty in the United States. 436 00:20:06,359 --> 00:20:10,320 Speaker 2: There's been a warring war of arguments in the past week. 437 00:20:10,359 --> 00:20:12,040 Speaker 2: We'll talk about that and more right after this. 438 00:20:19,800 --> 00:20:22,200 Speaker 1: All right, buddy, we are back from the break and 439 00:20:22,400 --> 00:20:23,160 Speaker 1: it is now time. 440 00:20:23,240 --> 00:20:26,000 Speaker 2: What are we during that break, Matt? The people want 441 00:20:26,000 --> 00:20:26,199 Speaker 2: to know. 442 00:20:26,480 --> 00:20:28,800 Speaker 1: I lean back and I stretch take a sip. Do 443 00:20:28,800 --> 00:20:30,840 Speaker 1: you see me over here drinking my hot water? And 444 00:20:31,520 --> 00:20:34,560 Speaker 1: at the very beginning I put it down without taking 445 00:20:34,600 --> 00:20:35,879 Speaker 1: a sip because I was afraid it was gonna burn 446 00:20:35,920 --> 00:20:37,560 Speaker 1: my mouth. I think I got out. Don't do it 447 00:20:37,640 --> 00:20:39,960 Speaker 1: right before you have to speak? Got it a little 448 00:20:39,960 --> 00:20:43,159 Speaker 1: too hots right before we sat down to record. But 449 00:20:43,359 --> 00:20:46,000 Speaker 1: our ludicrous headline of the week comes from the New 450 00:20:46,080 --> 00:20:49,239 Speaker 1: York Times, and the headline reads, they rush to buy 451 00:20:49,280 --> 00:20:53,200 Speaker 1: a home during the pandemic. Now some feel trapped and 452 00:20:53,359 --> 00:20:56,080 Speaker 1: I'm gonna save everyone the time and having to go 453 00:20:56,119 --> 00:20:58,160 Speaker 1: read this article, Meil, Can I just say it makes 454 00:20:58,160 --> 00:21:00,640 Speaker 1: me think of the d R. R. Kelly song like 455 00:21:00,680 --> 00:21:04,000 Speaker 1: trapped in a closet? Isn't that Remember that album came out. 456 00:21:04,600 --> 00:21:11,359 Speaker 1: I'm more remember the disease joke about R. Kelly. But uh, basically, 457 00:21:11,400 --> 00:21:13,080 Speaker 1: some folks who you know, who bought a home back 458 00:21:13,160 --> 00:21:15,119 Speaker 1: during the pandemic a few years ago, they found that 459 00:21:15,240 --> 00:21:17,320 Speaker 1: the home it's a little tight for them right now. 460 00:21:17,359 --> 00:21:20,560 Speaker 1: It's it's uh, it's not quite accommodating. They're growing family, 461 00:21:20,600 --> 00:21:24,360 Speaker 1: it's not quite to their liking as their circumstances have changed. 462 00:21:25,000 --> 00:21:28,120 Speaker 1: But of course they've got that sweet low rate and 463 00:21:28,440 --> 00:21:30,840 Speaker 1: they are loath to give it up. So with no 464 00:21:30,920 --> 00:21:33,400 Speaker 1: easy way to make a change, they are quote unquote 465 00:21:33,400 --> 00:21:37,320 Speaker 1: trapped and trapped. Yeah, just the closet. But it don't 466 00:21:37,320 --> 00:21:40,000 Speaker 1: you feel bad for him, Joel, It's I'll be honest, 467 00:21:40,000 --> 00:21:42,960 Speaker 1: it's hard to feel sad for folks who bought a home. 468 00:21:43,000 --> 00:21:45,920 Speaker 1: They've got some equity, they've got a locked in low rate. 469 00:21:46,000 --> 00:21:48,280 Speaker 1: Like the folks. I feel bad for the folks out 470 00:21:48,320 --> 00:21:51,000 Speaker 1: there who actually want to buy a home but can't 471 00:21:51,040 --> 00:21:53,240 Speaker 1: afford you because they're their wages haven't kept up with 472 00:21:53,600 --> 00:21:56,240 Speaker 1: home pricing increases, and affordability is out of reach. 473 00:21:56,320 --> 00:21:57,639 Speaker 2: I don't know if your mom ever said this to 474 00:21:57,680 --> 00:21:59,040 Speaker 2: you growing up, but my mom would be like, I've 475 00:21:59,040 --> 00:22:01,720 Speaker 2: got the world's tiniest violin here playing. I don't know 476 00:22:01,760 --> 00:22:03,720 Speaker 2: where that came from, but she would. She would say 477 00:22:03,720 --> 00:22:07,720 Speaker 2: that to me rubber fingers together. And that's how I 478 00:22:07,720 --> 00:22:09,800 Speaker 2: feel for these people. You're locked in your home, that 479 00:22:09,880 --> 00:22:12,480 Speaker 2: you have equity, and like, I'm still saying at three 480 00:22:12,480 --> 00:22:16,240 Speaker 2: percent rate, I'm so sorry for you. It just felt 481 00:22:16,280 --> 00:22:19,080 Speaker 2: like such a self indulgent article from the New York Times. 482 00:22:19,080 --> 00:22:21,760 Speaker 2: I don't even know why they felt like they needed 483 00:22:21,760 --> 00:22:23,480 Speaker 2: to print those stories of people who are like, I've 484 00:22:23,480 --> 00:22:26,280 Speaker 2: got two hundred thousand dollars in equity, but I'm stuck 485 00:22:26,880 --> 00:22:28,520 Speaker 2: because you're not stuck. The truth is you're not stuck 486 00:22:28,520 --> 00:22:29,800 Speaker 2: if you're in that case, and you can totally make 487 00:22:29,800 --> 00:22:33,560 Speaker 2: it different. Option You've got options. This is also, by 488 00:22:33,600 --> 00:22:37,040 Speaker 2: the way, if you feel like you are stuck in 489 00:22:37,080 --> 00:22:40,320 Speaker 2: a home that you are, that you have bought, that 490 00:22:40,400 --> 00:22:43,800 Speaker 2: you're paying down that mortgage regularly, well you could have 491 00:22:43,840 --> 00:22:47,240 Speaker 2: opted for renting instead. And that's in particular a good idea. 492 00:22:47,280 --> 00:22:50,080 Speaker 2: If you're planning to u or you're not, you're not 493 00:22:50,119 --> 00:22:51,959 Speaker 2: thinking you're in a state in a home for at 494 00:22:52,040 --> 00:22:55,680 Speaker 2: least five years better off seven or more years. That's 495 00:22:55,760 --> 00:22:59,480 Speaker 2: typically what makes buying a home makes sense. In stats 496 00:22:59,560 --> 00:23:02,080 Speaker 2: from just this week Matt show that apartment rents are 497 00:23:02,080 --> 00:23:05,600 Speaker 2: down and vacancies are up, continuing to put more power 498 00:23:05,640 --> 00:23:08,480 Speaker 2: back in the hands of renters and just lower costs. 499 00:23:09,000 --> 00:23:12,119 Speaker 2: I don't think you have experienced this because you're a 500 00:23:12,119 --> 00:23:14,800 Speaker 2: better landlord than I am. But I have experienced like 501 00:23:15,000 --> 00:23:17,280 Speaker 2: decreases and what I'm able to get from my properties 502 00:23:17,600 --> 00:23:19,359 Speaker 2: in the last year a. 503 00:23:19,400 --> 00:23:23,600 Speaker 1: Year only because I have taken these opportunities to do 504 00:23:23,680 --> 00:23:27,040 Speaker 1: some slight upgrading in order to keep that rent line. 505 00:23:27,080 --> 00:23:28,600 Speaker 1: So you having to put more into it and be 506 00:23:28,720 --> 00:23:30,680 Speaker 1: able to keep that right or yes, I would also 507 00:23:30,720 --> 00:23:33,400 Speaker 1: be offering those places for less as well. 508 00:23:33,480 --> 00:23:36,400 Speaker 2: Yeah, so most likely that's where I'm at, which which 509 00:23:36,440 --> 00:23:38,720 Speaker 2: is you know, I'm not mad about it. I think 510 00:23:38,760 --> 00:23:43,240 Speaker 2: this is a great thing overall, because rents became excessively expensive. 511 00:23:43,920 --> 00:23:47,040 Speaker 2: It's it's good news after pandemic years of rapid price 512 00:23:47,080 --> 00:23:48,879 Speaker 2: increases the people experience. 513 00:23:48,560 --> 00:23:52,520 Speaker 1: So let's say too, especially in multi families. So like 514 00:23:52,560 --> 00:23:55,399 Speaker 1: apartment complexes in particular have seen the most because of 515 00:23:55,480 --> 00:23:59,960 Speaker 1: the it's just a lot easier for developers to build 516 00:24:00,119 --> 00:24:02,760 Speaker 1: those types of units as opposed to single family rents. 517 00:24:03,160 --> 00:24:04,520 Speaker 1: I think we actually talked about this a few weeks 518 00:24:04,560 --> 00:24:07,160 Speaker 1: ago as well. There isn't clear data on that, but yeah, 519 00:24:07,200 --> 00:24:09,960 Speaker 1: it seems that those are not dropping as much as 520 00:24:10,400 --> 00:24:14,119 Speaker 1: kind of holding steady, at least nationwide. Yeah, obviously it 521 00:24:14,160 --> 00:24:16,680 Speaker 1: depends on your specific market. I think you and I 522 00:24:16,720 --> 00:24:18,600 Speaker 1: would both agree that owning a home, it can be 523 00:24:18,760 --> 00:24:22,240 Speaker 1: a lovely endeavor, can be a smart choice, and it 524 00:24:22,280 --> 00:24:23,920 Speaker 1: can be a great long term move for a whole 525 00:24:23,920 --> 00:24:26,160 Speaker 1: lot of folks. It's just not for everyone, and it's 526 00:24:26,160 --> 00:24:28,760 Speaker 1: not always better from a wealth building perspective. And I 527 00:24:28,760 --> 00:24:31,639 Speaker 1: think that kind of cult of home ownership mentality is 528 00:24:31,640 --> 00:24:34,600 Speaker 1: something that has been developed over many decades in this country, 529 00:24:34,840 --> 00:24:37,199 Speaker 1: and it's led people to believe that like the way 530 00:24:37,640 --> 00:24:39,920 Speaker 1: to live the American dream and to build some sort 531 00:24:39,920 --> 00:24:42,520 Speaker 1: of financial future for myself just to own a home. 532 00:24:42,960 --> 00:24:45,480 Speaker 1: And that just doesn't have to be the case I 533 00:24:45,560 --> 00:24:47,399 Speaker 1: used to be. But you don't have to follow that 534 00:24:47,440 --> 00:24:50,000 Speaker 1: same playbook. And I think there's the folks who are 535 00:24:50,440 --> 00:24:53,960 Speaker 1: talking the loudest about that are trying to encourage folks 536 00:24:53,960 --> 00:24:56,760 Speaker 1: to follow the same playbook that they have taken because 537 00:24:56,760 --> 00:24:58,760 Speaker 1: they have, you know, and I understate it because they 538 00:24:58,760 --> 00:25:02,320 Speaker 1: have seen how well it's done for them, But that 539 00:25:02,400 --> 00:25:04,080 Speaker 1: you don't have to follow that playbook. There are plenty 540 00:25:04,119 --> 00:25:06,080 Speaker 1: of other great ways to invest. It's more accessible to 541 00:25:06,400 --> 00:25:09,400 Speaker 1: for folks to invest in the market just while you're 542 00:25:09,600 --> 00:25:11,879 Speaker 1: sitting on the couch. In some ways, that's not great, 543 00:25:12,880 --> 00:25:14,440 Speaker 1: But I mean, I want to talk about even just 544 00:25:14,480 --> 00:25:16,760 Speaker 1: the lifestyle. Like you were saying that home ownership is 545 00:25:16,760 --> 00:25:20,239 Speaker 1: not for everyone, and I think that's something that I 546 00:25:20,640 --> 00:25:22,920 Speaker 1: need to get more used to because I love home 547 00:25:22,920 --> 00:25:26,639 Speaker 1: ownership and specifically I even love spending money on my 548 00:25:26,760 --> 00:25:29,280 Speaker 1: house and like the expenses that go into like making 549 00:25:29,320 --> 00:25:33,600 Speaker 1: little changes and making upgrades. Have we talked about my dishwasher? Oh? 550 00:25:33,640 --> 00:25:35,200 Speaker 1: I think we did? Yeah? Do we? On the show? 551 00:25:35,200 --> 00:25:38,199 Speaker 1: You got the fancy one? Yeah? Okay, so yeah. But like, 552 00:25:38,359 --> 00:25:41,399 Speaker 1: on one hand, I'm bummed because I'm like, this is 553 00:25:41,440 --> 00:25:43,880 Speaker 1: going to cost you know, it was an unexpected costs 554 00:25:43,880 --> 00:25:45,760 Speaker 1: that we didn't budget for because the old one should 555 00:25:45,760 --> 00:25:48,320 Speaker 1: have been good but it crapped out. But of course 556 00:25:48,320 --> 00:25:50,600 Speaker 1: I'm gonna end up getting a bosh. Uh. Well, I 557 00:25:50,600 --> 00:25:53,640 Speaker 1: shouldn't say of course I wanted to prioritize consumer reports. 558 00:25:53,640 --> 00:25:55,960 Speaker 1: You're getting a bus, you're getting ash and so got 559 00:25:56,040 --> 00:25:57,800 Speaker 1: and I got the more expensive b wash, the one 560 00:25:57,800 --> 00:26:00,639 Speaker 1: that pops open so that you know it's so great, 561 00:26:00,920 --> 00:26:02,919 Speaker 1: come down in the morning. The plate not only are 562 00:26:02,960 --> 00:26:03,400 Speaker 1: the plate. 563 00:26:03,240 --> 00:26:06,280 Speaker 2: Strigil the plastic stride, does it read a story to you? 564 00:26:06,359 --> 00:26:09,800 Speaker 1: And it plays a little song? But I like, I 565 00:26:09,880 --> 00:26:12,800 Speaker 1: enjoy doing that. But guess what those are additional expenses 566 00:26:12,840 --> 00:26:15,959 Speaker 1: that you have to be willing to pony up and 567 00:26:16,080 --> 00:26:18,359 Speaker 1: to part with your dollars in order to cover some 568 00:26:18,400 --> 00:26:21,240 Speaker 1: of these expenses. When you are a renter, you ain't 569 00:26:21,240 --> 00:26:23,320 Speaker 1: gotta worry about that when something craps out. I mean, 570 00:26:23,400 --> 00:26:26,120 Speaker 1: unless you actually had a runner who wanted to upgrade 571 00:26:27,400 --> 00:26:30,880 Speaker 1: the dishwasher. But when something breaks, you call up your landlord. 572 00:26:30,920 --> 00:26:33,720 Speaker 1: Just right. Speaking of another comic makes me like the 573 00:26:33,720 --> 00:26:36,600 Speaker 1: mitch Heedburg joke. It's like I went to home depot yesterday, 574 00:26:36,600 --> 00:26:38,840 Speaker 1: which is totally unnecessary. I need to go to an 575 00:26:38,840 --> 00:26:41,560 Speaker 1: apartment depot. Just a bunch of people standing around. We 576 00:26:41,600 --> 00:26:45,119 Speaker 1: don't have to fix jack. But like that, it's one 577 00:26:45,119 --> 00:26:47,160 Speaker 1: of the biggest benefits. It's one of the biggest benefits, 578 00:26:47,640 --> 00:26:50,040 Speaker 1: and that's you just got to keep in mind that 579 00:26:50,040 --> 00:26:51,960 Speaker 1: that is what you're signing up for with home ownership. 580 00:26:51,960 --> 00:26:55,000 Speaker 1: But of course, the folks who they're not happy with 581 00:26:55,160 --> 00:26:57,800 Speaker 1: living in an apartment, the folks out there who want 582 00:26:57,840 --> 00:26:59,359 Speaker 1: to purchase a home, those are the folks that we 583 00:26:59,400 --> 00:27:01,760 Speaker 1: feel for. Those of the folks who feel a bit 584 00:27:01,840 --> 00:27:03,960 Speaker 1: locked out of the market today, and the folks in 585 00:27:04,000 --> 00:27:07,679 Speaker 1: this article in particular. If you want to move, you 586 00:27:07,680 --> 00:27:09,760 Speaker 1: can still do that, like you just have to pay 587 00:27:09,840 --> 00:27:12,480 Speaker 1: a bit of a price for it. But and think 588 00:27:12,520 --> 00:27:14,200 Speaker 1: about people who bought at the peak of the market, 589 00:27:14,240 --> 00:27:16,840 Speaker 1: where home prices have receeated a little bit. Those people 590 00:27:16,840 --> 00:27:19,720 Speaker 1: are in a tougher spot because if your home is 591 00:27:19,760 --> 00:27:22,040 Speaker 1: now worth five percent less than what you paid for 592 00:27:22,080 --> 00:27:25,320 Speaker 1: it a year, eighteen months ago, something like that, and 593 00:27:25,400 --> 00:27:27,119 Speaker 1: you're like, oh, I really feel like I need to 594 00:27:27,119 --> 00:27:29,440 Speaker 1: do something different. You got to bring potentially a load 595 00:27:29,440 --> 00:27:31,479 Speaker 1: of cash to the closing table in order to make 596 00:27:31,520 --> 00:27:33,159 Speaker 1: a different decision. But if you if you bought a 597 00:27:33,160 --> 00:27:36,159 Speaker 1: home three or four years ago and it's appreciated and 598 00:27:36,440 --> 00:27:40,120 Speaker 1: you're you don't want to sell it because you don't 599 00:27:40,119 --> 00:27:42,960 Speaker 1: want to give up the low mortgage interest rate, you 600 00:27:43,000 --> 00:27:46,119 Speaker 1: still have that opportunity, though you still have that ability 601 00:27:46,400 --> 00:27:49,000 Speaker 1: without losing money in the process. Yeah, it just comes 602 00:27:49,000 --> 00:27:51,000 Speaker 1: out of trade offs. What are you willing to value? 603 00:27:51,560 --> 00:27:55,520 Speaker 2: All right, let's talk about a really interesting debate that 604 00:27:55,800 --> 00:27:58,200 Speaker 2: happened really over the past over the past week. 605 00:27:58,359 --> 00:28:00,359 Speaker 1: This is like one of those one of those Internet 606 00:28:00,400 --> 00:28:03,119 Speaker 1: things when there's something that just blows up and everyone's 607 00:28:03,160 --> 00:28:06,440 Speaker 1: talking about it. I'm really low to even talk about it. 608 00:28:06,440 --> 00:28:09,320 Speaker 2: But there were responses everywhere, like the Washington Post and 609 00:28:09,560 --> 00:28:11,639 Speaker 2: some of our favorite everywords responded to everyone. 610 00:28:12,280 --> 00:28:14,040 Speaker 1: Yeah, So it was like everyone had to take it's 611 00:28:14,160 --> 00:28:16,199 Speaker 1: it's in the water. We should we should talk about it. 612 00:28:16,240 --> 00:28:19,000 Speaker 1: So there was this firal article in the Free Press 613 00:28:19,160 --> 00:28:22,000 Speaker 1: last week attempting to make the case that Americans are 614 00:28:22,160 --> 00:28:24,800 Speaker 1: just so much poorer than we than we think. And 615 00:28:24,840 --> 00:28:27,840 Speaker 1: the case was essentially that the way that the US 616 00:28:27,840 --> 00:28:30,600 Speaker 1: poverty line is calculated, well that doesn't work anymore, not 617 00:28:30,600 --> 00:28:34,400 Speaker 1: in today's economy. But but it was wrong. I think 618 00:28:34,480 --> 00:28:36,240 Speaker 1: on a lot of levels. They made it. 619 00:28:36,520 --> 00:28:38,400 Speaker 2: The author made it sound like a family of four 620 00:28:38,400 --> 00:28:41,080 Speaker 2: making one hundred and forty thousand dollars, they can barely 621 00:28:41,400 --> 00:28:44,160 Speaker 2: make it, They're barely scraping by. It's kind of like 622 00:28:44,440 --> 00:28:46,360 Speaker 2: I don't know some of the social media people making 623 00:28:46,360 --> 00:28:48,320 Speaker 2: two hundred and fifty k, and they're like, hey, but 624 00:28:48,320 --> 00:28:49,880 Speaker 2: I don't I don't know how many money left over 625 00:28:49,920 --> 00:28:51,040 Speaker 2: at the end of the month. And you're like, how 626 00:28:51,120 --> 00:28:53,160 Speaker 2: is that possible. Let's look at your budget. 627 00:28:53,200 --> 00:28:54,320 Speaker 1: Oh, that's how Well. 628 00:28:54,560 --> 00:28:57,200 Speaker 2: Tyler Cowen, who's like one of my favorite economists, he 629 00:28:57,360 --> 00:28:59,800 Speaker 2: wrote a response in the same publication, and it's well 630 00:28:59,800 --> 00:29:04,240 Speaker 2: where reading. He highlighted some of the realities of modern prosperity, 631 00:29:04,240 --> 00:29:07,120 Speaker 2: including like tech advancements and bigger homes, like we've all 632 00:29:07,120 --> 00:29:09,920 Speaker 2: got more square footage per person, fewer kids living in 633 00:29:09,960 --> 00:29:13,480 Speaker 2: the same room, food cost declines. You might have seen, 634 00:29:13,560 --> 00:29:16,719 Speaker 2: you know, food costs go up recently, but over the 635 00:29:16,760 --> 00:29:19,240 Speaker 2: course of decades, we've seen food costs go down. 636 00:29:19,320 --> 00:29:22,080 Speaker 1: Him anyway, so we spend much less of our disposable 637 00:29:22,080 --> 00:29:25,800 Speaker 1: income feeding ourselves than our grandparents. 638 00:29:25,240 --> 00:29:27,560 Speaker 2: Did, and then so much of the rest of the 639 00:29:27,560 --> 00:29:30,680 Speaker 2: world healthcare improvements. He documented so many things. The world 640 00:29:30,840 --> 00:29:32,720 Speaker 2: is just not as bad as some folks want you 641 00:29:32,800 --> 00:29:35,479 Speaker 2: to believe. I think that's maybe the heart of the response. 642 00:29:35,640 --> 00:29:36,320 Speaker 2: We want to get out. 643 00:29:36,480 --> 00:29:39,120 Speaker 1: Yeah, no, well, and specifically some of the standards. So 644 00:29:39,160 --> 00:29:42,600 Speaker 1: the original the original author Green discorsion name Michael Green 645 00:29:42,640 --> 00:29:45,840 Speaker 1: and Michael Green. But uh, it's just ridiculous, like the 646 00:29:45,920 --> 00:29:48,840 Speaker 1: like these are luxuries that he's assuming that people not 647 00:29:48,960 --> 00:29:53,200 Speaker 1: only want but essentially are entitled to. And that's the 648 00:29:53,200 --> 00:29:55,280 Speaker 1: part that rubs me the wrong way, the fact that like, 649 00:29:55,360 --> 00:29:58,800 Speaker 1: oh yeah, like there are there's a wide range of 650 00:29:59,120 --> 00:30:01,280 Speaker 1: vehicles that are going to get you to and from work, 651 00:30:01,320 --> 00:30:04,200 Speaker 1: like you don't have to go with like the average 652 00:30:04,280 --> 00:30:06,640 Speaker 1: or median price of a brain new vehicle today. And 653 00:30:06,680 --> 00:30:09,200 Speaker 1: those again, those are the those are the sacrifices we make. 654 00:30:09,200 --> 00:30:11,920 Speaker 1: Those are the the trade offs that we make, as 655 00:30:11,920 --> 00:30:15,160 Speaker 1: opposed to saying, oh, the new poverty line should be 656 00:30:15,160 --> 00:30:18,520 Speaker 1: four times higher than four or five five times higher 657 00:30:18,600 --> 00:30:20,959 Speaker 1: than what it currently is right now. It's like it 658 00:30:20,960 --> 00:30:22,960 Speaker 1: makes me think of like if you're playing a game 659 00:30:23,000 --> 00:30:26,920 Speaker 1: and you're just complaining, like we've got man, we did 660 00:30:26,960 --> 00:30:29,040 Speaker 1: we ever give a shout out to a listener who 661 00:30:29,080 --> 00:30:31,840 Speaker 1: sent us the upgraded version of a choir? Well, we'll 662 00:30:31,840 --> 00:30:34,280 Speaker 1: pull into it. I'm not going to take a into 663 00:30:34,280 --> 00:30:36,560 Speaker 1: that right now, but I'm thinking about the board game Acquire. 664 00:30:36,600 --> 00:30:38,960 Speaker 1: You start off with a certain amount of money, uh, 665 00:30:39,320 --> 00:30:40,680 Speaker 1: and it's sort of like if I just out there 666 00:30:40,680 --> 00:30:43,600 Speaker 1: the whole time and complained that dude, we should start 667 00:30:43,600 --> 00:30:46,720 Speaker 1: out the game playing like with five times as much money. 668 00:30:46,760 --> 00:30:48,800 Speaker 1: It would make it so much easier. But like, guess 669 00:30:48,800 --> 00:30:51,080 Speaker 1: what that would also do make the game. It would 670 00:30:51,120 --> 00:30:53,440 Speaker 1: ruin the game, like there would you There would be 671 00:30:53,480 --> 00:30:57,200 Speaker 1: no incentive to be strategic, and everyone would just round 672 00:30:57,240 --> 00:31:00,680 Speaker 1: after round. You would just be buying things, except that 673 00:31:00,720 --> 00:31:03,040 Speaker 1: when it comes to real life there is a response, 674 00:31:03,200 --> 00:31:07,960 Speaker 1: which is that supply and demand. Well, okay, those units 675 00:31:08,000 --> 00:31:10,720 Speaker 1: of supply are going to go up in value because 676 00:31:10,880 --> 00:31:14,160 Speaker 1: there are more dollars chasing those limited goods. It just 677 00:31:14,600 --> 00:31:17,200 Speaker 1: I was not happy with the analysis of the original author. 678 00:31:17,320 --> 00:31:18,560 Speaker 1: Yeah it was. It wasn't great. 679 00:31:18,560 --> 00:31:21,360 Speaker 2: It wasn't great, And there are other statistics I think 680 00:31:21,360 --> 00:31:23,920 Speaker 2: that could really combat his point of view too. Like 681 00:31:23,960 --> 00:31:26,640 Speaker 2: we highlighted recently in the how to Money newsletter that 682 00:31:26,680 --> 00:31:28,520 Speaker 2: a lot more families are making one hundred and fifty 683 00:31:28,520 --> 00:31:32,200 Speaker 2: thousand dollars now than we're fifty years ago. That's adjusted 684 00:31:32,200 --> 00:31:36,480 Speaker 2: for inflation, but it's a significant difference in the number 685 00:31:36,480 --> 00:31:40,440 Speaker 2: of families who have mid six figures are not mid six, 686 00:31:40,480 --> 00:31:42,320 Speaker 2: not five hundred k, but like one hundred and fifty 687 00:31:42,360 --> 00:31:45,240 Speaker 2: thousand dollars is really is quite a bit of money 688 00:31:45,240 --> 00:31:47,479 Speaker 2: in a lot of ways. And this is also not 689 00:31:47,520 --> 00:31:50,040 Speaker 2: to say that everything's great for everyone. We don't want 690 00:31:50,040 --> 00:31:54,320 Speaker 2: to sound completely dense and not understand and realize that 691 00:31:54,360 --> 00:31:56,880 Speaker 2: there are a lot of people living out there close 692 00:31:56,960 --> 00:31:59,400 Speaker 2: to the actual poverty line who are having a tough 693 00:31:59,440 --> 00:32:03,360 Speaker 2: time and who feel those grocery price rises more than 694 00:32:03,680 --> 00:32:07,000 Speaker 2: your middle class family, right, And it's it's true. Yeah, 695 00:32:07,040 --> 00:32:10,400 Speaker 2: inflation has attacked our wallets more in recent years, really 696 00:32:10,400 --> 00:32:13,200 Speaker 2: more than any other time we've seen in our adult lives, 697 00:32:13,720 --> 00:32:17,400 Speaker 2: and homes healthcare have gotten more expensive. But I think 698 00:32:17,520 --> 00:32:21,240 Speaker 2: articles like this seem to want modern economic reality to 699 00:32:21,280 --> 00:32:24,200 Speaker 2: be more negative than it actually is. They're highlighting, sure, 700 00:32:24,480 --> 00:32:27,120 Speaker 2: just cherry picking statistics. 701 00:32:26,640 --> 00:32:28,160 Speaker 1: And that's the negative, negative news by. 702 00:32:28,200 --> 00:32:31,320 Speaker 2: Yet to reveal their worldview instead of kind of coming 703 00:32:31,320 --> 00:32:32,000 Speaker 2: at it honestly. 704 00:32:32,200 --> 00:32:34,840 Speaker 1: Yeah, and I mean it honestly reveals their like you said, 705 00:32:34,880 --> 00:32:37,840 Speaker 1: their worldview and what they expect everyone should have. Then 706 00:32:37,880 --> 00:32:41,840 Speaker 1: there's plenty of people who aren't, you know, and gosh, 707 00:32:41,880 --> 00:32:43,800 Speaker 1: I'm gonna sound like such a media type person, but 708 00:32:43,960 --> 00:32:47,240 Speaker 1: who are like the coastal elites who are very happy, 709 00:32:47,400 --> 00:32:50,480 Speaker 1: not having all of these amenities are West elites. No, 710 00:32:50,640 --> 00:32:52,720 Speaker 1: I don't. I feel like we're like right in the middle. 711 00:32:52,760 --> 00:32:57,240 Speaker 1: We're heartlanders. We live like near ish a major city, 712 00:32:57,520 --> 00:33:01,280 Speaker 1: but we're also approaching life with in sense in grit. 713 00:33:01,680 --> 00:33:08,280 Speaker 1: Like anyway, let's talk about building wealth, and potentially a 714 00:33:08,320 --> 00:33:10,800 Speaker 1: way that you can at least make your dollar go 715 00:33:11,000 --> 00:33:14,720 Speaker 1: further is moving overseas in order to stretch your dollar. 716 00:33:14,880 --> 00:33:16,880 Speaker 1: So folks who have kept up with like the Fire 717 00:33:16,920 --> 00:33:20,960 Speaker 1: movement know about this. It's called geographic arbitrage. But there 718 00:33:20,960 --> 00:33:23,720 Speaker 1: are new stats from the Defense Department, and they find 719 00:33:23,840 --> 00:33:27,600 Speaker 1: that there's a significant uptick in people who are taking 720 00:33:27,600 --> 00:33:33,120 Speaker 1: the strategy. And we're not talking about just like being nomadic, like, 721 00:33:33,160 --> 00:33:37,320 Speaker 1: we're talking about permanently moving to an international location that 722 00:33:37,400 --> 00:33:40,680 Speaker 1: has a much cheaper cost of living. And I think Portugal, 723 00:33:41,360 --> 00:33:44,280 Speaker 1: Thailand always comes to mind. Even Panama down in Central 724 00:33:44,320 --> 00:33:46,440 Speaker 1: America had an old neighbor who moved down to Panama, 725 00:33:46,560 --> 00:33:49,160 Speaker 1: Oh yeah, to retire, and like, I'm pretty sure she's 726 00:33:49,240 --> 00:33:52,080 Speaker 1: living the high life because it soldar house and it's 727 00:33:52,120 --> 00:33:54,400 Speaker 1: just your dollar goes a lot further down there, it does. Yeah, 728 00:33:54,440 --> 00:33:57,760 Speaker 1: And in some thriving xpac communities, I think you can. 729 00:33:57,800 --> 00:34:01,200 Speaker 1: Often you can find a solid community there along with 730 00:34:01,320 --> 00:34:04,640 Speaker 1: these lower costs in some you know, pretty decent healthcare 731 00:34:04,640 --> 00:34:07,920 Speaker 1: options too. This isn't for everyone. I actually talked about 732 00:34:07,920 --> 00:34:09,520 Speaker 1: this with my father in law recently because a buddy 733 00:34:09,520 --> 00:34:11,719 Speaker 1: of his was seriously thinking about moving down. I think 734 00:34:11,719 --> 00:34:13,319 Speaker 1: to Costa Rica, are you trying to get him further 735 00:34:13,360 --> 00:34:17,280 Speaker 1: away from you? No? You, if you move down to Chile, 736 00:34:18,040 --> 00:34:20,520 Speaker 1: do not have that kind of relationship with the in laws, 737 00:34:20,880 --> 00:34:23,719 Speaker 1: the classic in law relationship. Now I love them, They're great. 738 00:34:24,080 --> 00:34:26,160 Speaker 1: This isn't for everyone, but I think it's worth considering. 739 00:34:26,160 --> 00:34:29,200 Speaker 1: It's worth putting out there because this route could completely 740 00:34:29,320 --> 00:34:33,160 Speaker 1: change your financial independence path and what your life looks like. 741 00:34:33,239 --> 00:34:36,160 Speaker 2: Yeah, I'm not like currently interested in moving abroad, but 742 00:34:36,200 --> 00:34:39,880 Speaker 2: I'm always like a little interested. Yeah, so maybe someday 743 00:34:40,280 --> 00:34:44,200 Speaker 2: I'm not going to say never. But it's like it's 744 00:34:44,239 --> 00:34:46,000 Speaker 2: like there are all these sort of things I've said 745 00:34:46,000 --> 00:34:47,520 Speaker 2: that I would never do that I ended up doing 746 00:34:47,800 --> 00:34:50,680 Speaker 2: later in life, and so, but but it does seem 747 00:34:50,719 --> 00:34:54,160 Speaker 2: like one of those things where, especially if you are 748 00:34:54,280 --> 00:34:56,680 Speaker 2: like I haven't saved as much as I thought I 749 00:34:56,680 --> 00:34:59,759 Speaker 2: would or wanted to, How can I retire at the 750 00:34:59,800 --> 00:35:02,480 Speaker 2: age I want to This is how this is a 751 00:35:02,520 --> 00:35:04,319 Speaker 2: way to do that right, Because you're stretching your dollars 752 00:35:04,320 --> 00:35:06,279 Speaker 2: so much further you need less to be able to 753 00:35:06,280 --> 00:35:08,640 Speaker 2: live that retired lifestyle that you want. On the note 754 00:35:08,680 --> 00:35:11,680 Speaker 2: of travel, the real ID rollout Matt has been bonkers. 755 00:35:11,719 --> 00:35:14,240 Speaker 2: So we've covered this a little bit over the years. 756 00:35:14,400 --> 00:35:16,879 Speaker 2: They keep pushing back the implementation day. 757 00:35:16,880 --> 00:35:20,040 Speaker 1: Basically every nine months we provide an update for why 758 00:35:20,080 --> 00:35:21,840 Speaker 1: it's not like it's supposed to be. 759 00:35:22,000 --> 00:35:24,920 Speaker 2: Yeah, and so yeah, this switch has just taking a 760 00:35:24,960 --> 00:35:27,520 Speaker 2: really long time, and there are still millions of Americans 761 00:35:27,560 --> 00:35:30,440 Speaker 2: who don't have an updated real ID, although the numbers 762 00:35:30,440 --> 00:35:32,080 Speaker 2: have gotten a lot better, a lot more people do 763 00:35:32,160 --> 00:35:35,319 Speaker 2: have this in their wallet already. If you haven't updated yours, 764 00:35:35,680 --> 00:35:38,520 Speaker 2: well you're going to punch yourself, I think if you 765 00:35:38,600 --> 00:35:40,960 Speaker 2: go to the airport without one, because it's about to 766 00:35:40,960 --> 00:35:44,000 Speaker 2: get a lot more frustrating and expensive starting February first, 767 00:35:44,040 --> 00:35:46,120 Speaker 2: you're gonna have to pay forty five bucks and go 768 00:35:46,160 --> 00:35:49,560 Speaker 2: through additional TSA vetting as you go through security. If 769 00:35:49,719 --> 00:35:52,279 Speaker 2: you have not upgraded to the real ID, and if 770 00:35:52,280 --> 00:35:55,799 Speaker 2: you're not sure whether your ID is updated, look for 771 00:35:55,840 --> 00:35:58,720 Speaker 2: a start in the upper right hand corner of your 772 00:35:59,160 --> 00:36:02,040 Speaker 2: driver's license. The start can look different depending on the state. 773 00:36:02,120 --> 00:36:04,640 Speaker 2: I think in California it's like inside of a bear YEP, 774 00:36:04,640 --> 00:36:08,640 Speaker 2: which makes sense. And if yours isn't compliant, update your ID, 775 00:36:09,160 --> 00:36:12,040 Speaker 2: especially especially before you make your next trip to the airport, 776 00:36:12,320 --> 00:36:15,600 Speaker 2: because uh yeah, not just the additional money, but it's 777 00:36:15,640 --> 00:36:19,040 Speaker 2: the additional hassle. Can you imagine, Matt trying to the 778 00:36:19,040 --> 00:36:21,839 Speaker 2: TSA line is already the pain of my existence when 779 00:36:21,880 --> 00:36:22,880 Speaker 2: I go, do they just hit you. 780 00:36:22,920 --> 00:36:24,680 Speaker 1: Up for forty five bucks? Like right then and there? 781 00:36:24,719 --> 00:36:27,280 Speaker 1: How does it? How does it work? Yeah? They probably 782 00:36:27,280 --> 00:36:29,400 Speaker 1: have one of those like machines. They get a square 783 00:36:29,600 --> 00:36:31,439 Speaker 1: reader right there. They're just like tap here to pay, 784 00:36:31,480 --> 00:36:35,600 Speaker 1: and you're like, pay for what? For? Non compliance? Sir? Right? 785 00:36:35,640 --> 00:36:37,359 Speaker 1: That's what for? I mean, I have a feeling it's 786 00:36:37,400 --> 00:36:40,440 Speaker 1: just going to be a complete mess for people who 787 00:36:40,440 --> 00:36:43,080 Speaker 1: aren't really compliance. So make sure you get that done. 788 00:36:43,360 --> 00:36:45,239 Speaker 1: Look out for your loved ones to maybe help them 789 00:36:45,520 --> 00:36:48,960 Speaker 1: make sure they also doing it. That's right, before we go, 790 00:36:49,120 --> 00:36:52,240 Speaker 1: let's do a quick newsletter referral shout out to Lewis 791 00:36:52,440 --> 00:36:56,320 Speaker 1: L and Kathleen B. Thank you for not only reading 792 00:36:56,520 --> 00:36:59,200 Speaker 1: the how to Money the newsletter, but sharing it with friends. 793 00:36:59,239 --> 00:37:01,120 Speaker 1: And if you're listening and you've never even heard of 794 00:37:01,160 --> 00:37:03,759 Speaker 1: the Hota Money newsletter, head to hodamoney dot com forward 795 00:37:03,760 --> 00:37:06,799 Speaker 1: slash you guessed it newsletter. 796 00:37:06,280 --> 00:37:08,440 Speaker 2: Now packed with all the vitamins and minerals you need 797 00:37:08,480 --> 00:37:09,640 Speaker 2: to live a healthy lifestyle. 798 00:37:10,000 --> 00:37:11,959 Speaker 1: This was everybody, but that's gonna be it soone. Until 799 00:37:12,000 --> 00:37:14,759 Speaker 1: next time, Best friends out, Best friends Out.