1
00:00:00,120 --> 00:00:02,920
Speaker 1: Welcome to Had to Money. I'm Joel and I am Matt,

2
00:00:03,000 --> 00:00:06,439
Speaker 1: and today we're discussing essential habits for financial success.

3
00:00:26,160 --> 00:00:28,040
Speaker 2: All right, Joel, you know this is going to be

4
00:00:28,040 --> 00:00:31,240
Speaker 2: a great episode, in particular a great episode to follow

5
00:00:31,320 --> 00:00:34,640
Speaker 2: up our conversation that we had on Monday with economist

6
00:00:34,760 --> 00:00:37,680
Speaker 2: Katie Milkman. During that convo, she dived into the science

7
00:00:37,920 --> 00:00:40,680
Speaker 2: behind why it is that there are certain decisions, certain

8
00:00:40,760 --> 00:00:42,559
Speaker 2: changes that we're able to make that we stick with,

9
00:00:42,640 --> 00:00:45,920
Speaker 2: and why there are other changes that we make and

10
00:00:46,159 --> 00:00:47,720
Speaker 2: when the first bump in the road comes along, we

11
00:00:47,800 --> 00:00:49,680
Speaker 2: just immediately fall off that wagon.

12
00:00:49,360 --> 00:00:50,640
Speaker 1: Throwing the towel exactly.

13
00:00:51,080 --> 00:00:53,080
Speaker 2: But the fact is, when it comes to some of

14
00:00:53,120 --> 00:00:55,160
Speaker 2: the larger financial goals that we have in our lives,

15
00:00:55,160 --> 00:00:56,640
Speaker 2: there aren't a lot of folks that have like this

16
00:00:56,720 --> 00:01:00,200
Speaker 2: grand tenure plan. They're like, I don't know even know

17
00:01:00,240 --> 00:01:01,560
Speaker 2: what I want to do by the end of this year,

18
00:01:01,760 --> 00:01:03,680
Speaker 2: let alone at the end of ten years. Yeah, but

19
00:01:03,960 --> 00:01:05,440
Speaker 2: they do know that they need to make some healthy

20
00:01:05,520 --> 00:01:07,600
Speaker 2: changes in their lives when it comes to how it

21
00:01:07,680 --> 00:01:10,360
Speaker 2: is that they handle their money. They don't know exactly

22
00:01:10,400 --> 00:01:12,119
Speaker 2: where they want to go, but they know they need

23
00:01:12,160 --> 00:01:14,720
Speaker 2: to start taking some positive steps, you know, And this

24
00:01:14,840 --> 00:01:17,320
Speaker 2: is exactly where this episode comes in. This is this

25
00:01:17,360 --> 00:01:19,760
Speaker 2: episode is especially for the folks who are saying, like,

26
00:01:20,000 --> 00:01:21,759
Speaker 2: just tell me what to do, Like I don't exactly

27
00:01:22,440 --> 00:01:24,800
Speaker 2: know what it is I'm pursuing, like the big things

28
00:01:24,800 --> 00:01:26,920
Speaker 2: are going to bring about happiness in my life, but

29
00:01:26,959 --> 00:01:29,560
Speaker 2: I do know I need to be smarter with my money.

30
00:01:29,560 --> 00:01:31,200
Speaker 2: Tell me what I need to do. I think this

31
00:01:31,240 --> 00:01:33,360
Speaker 2: episode is definitely going to connect with those folks, but

32
00:01:33,520 --> 00:01:36,200
Speaker 2: just for everyone out there who is looking to get

33
00:01:36,240 --> 00:01:37,280
Speaker 2: better with their money as well.

34
00:01:37,360 --> 00:01:40,160
Speaker 1: They might not have like a big, hairy, audacious goal

35
00:01:40,560 --> 00:01:43,040
Speaker 1: of achieving fire by the time they're thirty three or

36
00:01:43,080 --> 00:01:45,160
Speaker 1: something like that, but it doesn't mean that they don't

37
00:01:45,200 --> 00:01:47,400
Speaker 1: want to make progress and leave themselves more options. And

38
00:01:47,480 --> 00:01:50,440
Speaker 1: so we think these these habits, implementing some of the

39
00:01:50,480 --> 00:01:52,320
Speaker 1: habits that we're going to talk about today, are going

40
00:01:52,360 --> 00:01:53,720
Speaker 1: to help put you on the right path, even if

41
00:01:53,720 --> 00:01:55,800
Speaker 1: you don't know where that path is going to lead exactly.

42
00:01:55,840 --> 00:01:57,840
Speaker 1: But before we get to that, Matt I wanted to

43
00:01:57,880 --> 00:02:00,760
Speaker 1: mention something that one of our listeners told us about

44
00:02:00,760 --> 00:02:03,320
Speaker 1: the other day via email. Thanks thanks to listener Nate

45
00:02:03,360 --> 00:02:03,560
Speaker 1: by the.

46
00:02:03,520 --> 00:02:06,320
Speaker 2: Way, Yeah, a listener who has some inside knowledge when

47
00:02:06,360 --> 00:02:09,400
Speaker 2: it comes to how the insurance industry works.

48
00:02:09,560 --> 00:02:13,560
Speaker 1: Yeah, and so he is an independent insurance agent himself,

49
00:02:13,600 --> 00:02:16,640
Speaker 1: and you and I we've talked about how great independent

50
00:02:16,800 --> 00:02:21,720
Speaker 1: insurance agents can be for individual consumers because they're not

51
00:02:21,760 --> 00:02:24,600
Speaker 1: beholden to a specific company. And so instead of saying like, yeah,

52
00:02:24,680 --> 00:02:27,600
Speaker 1: let me quote you prices from Progressive only or all

53
00:02:27,639 --> 00:02:29,960
Speaker 1: state only or whatever it might be, they say, no,

54
00:02:30,040 --> 00:02:33,040
Speaker 1: I'm gonna I have the ability to shop with eight

55
00:02:33,120 --> 00:02:34,840
Speaker 1: or nine companies on your behalf, and I'll tell you

56
00:02:34,880 --> 00:02:38,480
Speaker 1: what the best prices are, which I think is super valuable.

57
00:02:38,120 --> 00:02:40,520
Speaker 2: Including a bunch of companies you've never heard of. Because

58
00:02:40,560 --> 00:02:43,359
Speaker 2: they don't put any money towards marketing, right, they're also

59
00:02:43,440 --> 00:02:45,320
Speaker 2: able to offer sometimes the best rates.

60
00:02:45,400 --> 00:02:47,760
Speaker 1: Yeah, they don't have a cute green gecko or something

61
00:02:47,840 --> 00:02:50,640
Speaker 1: like that, which means they can offer you better rate

62
00:02:50,639 --> 00:02:52,800
Speaker 1: sometimes because they're not spending so much on marketing exactly.

63
00:02:52,880 --> 00:02:55,480
Speaker 1: And the website that Nate mentioned, I've not heard of

64
00:02:55,520 --> 00:02:58,360
Speaker 1: this website before. We've talked about finding an independent local

65
00:02:58,400 --> 00:03:01,880
Speaker 1: insurance agent, but he mentioned site trusted choice dot com,

66
00:03:02,000 --> 00:03:04,320
Speaker 1: which is a great site for finding a local agent

67
00:03:04,320 --> 00:03:06,160
Speaker 1: where you are. So if you're like, hey, one of

68
00:03:06,200 --> 00:03:08,359
Speaker 1: my goals this year is to save money on insurance.

69
00:03:08,400 --> 00:03:10,800
Speaker 1: I know, like, my insurance cost just went up big time.

70
00:03:11,080 --> 00:03:12,840
Speaker 1: How am I going to be able to lower that

71
00:03:12,880 --> 00:03:15,760
Speaker 1: cost in a meaningful way? Well, one of the easiest

72
00:03:15,760 --> 00:03:17,959
Speaker 1: ways to do that is to find a local independent

73
00:03:18,000 --> 00:03:20,360
Speaker 1: agent and so, yeah, we will link to that site

74
00:03:20,400 --> 00:03:22,600
Speaker 1: in the show notes for this episode. But finding a

75
00:03:22,600 --> 00:03:24,840
Speaker 1: local agent having them shop on your behalf is one

76
00:03:24,880 --> 00:03:27,600
Speaker 1: of the easy things that you can do to potentially

77
00:03:27,639 --> 00:03:30,080
Speaker 1: save hundreds or maybe even one thousand dollars or more

78
00:03:30,280 --> 00:03:32,959
Speaker 1: in the coming year on insurance costs and stuff without

79
00:03:32,960 --> 00:03:35,200
Speaker 1: giving up a ton in coverage in order to do so.

80
00:03:35,200 --> 00:03:38,000
Speaker 1: About yeah too, exactly. That's where we don't want you

81
00:03:38,360 --> 00:03:41,840
Speaker 1: to cut corners in order to save There are other ways,

82
00:03:41,840 --> 00:03:43,839
Speaker 1: and one of the reasons he pointed out to local

83
00:03:43,880 --> 00:03:47,040
Speaker 1: agents oftentimes they know the specific nuances and the laws

84
00:03:47,080 --> 00:03:50,080
Speaker 1: associated with the state where you live, and so they

85
00:03:50,440 --> 00:03:52,880
Speaker 1: oftentimes can provide better coverage because they know exactly what

86
00:03:52,880 --> 00:03:55,600
Speaker 1: it is that you are going to be required to have,

87
00:03:55,640 --> 00:03:55,960
Speaker 1: but then.

88
00:03:55,880 --> 00:03:58,520
Speaker 2: Also what you don't necessarily need to have, yes, and

89
00:03:58,800 --> 00:04:01,800
Speaker 2: they'll probably ask more about your specific situation, sometimes exactly

90
00:04:01,840 --> 00:04:04,360
Speaker 2: and I think that's helpful totally. All right, let's introduce

91
00:04:04,480 --> 00:04:06,480
Speaker 2: the beer that you and I are gonna enjoy during

92
00:04:06,480 --> 00:04:10,880
Speaker 2: this episode. This is a liquid hop Magma. This is

93
00:04:11,040 --> 00:04:15,080
Speaker 2: our last beer donated to the show by Mutation Brewing.

94
00:04:15,120 --> 00:04:17,520
Speaker 2: A big thanks to Jack and all of our friends

95
00:04:17,560 --> 00:04:19,240
Speaker 2: over there at the brewery. But I'm looking forward to

96
00:04:19,560 --> 00:04:21,360
Speaker 2: enjoying this one and we will share what we think

97
00:04:21,400 --> 00:04:22,960
Speaker 2: about it at the end of the episode.

98
00:04:23,000 --> 00:04:25,400
Speaker 1: For sure, we like hoppy beers. We'll give our thoughts

99
00:04:25,440 --> 00:04:27,960
Speaker 1: on this one in just a bit. But Matt, let's

100
00:04:27,960 --> 00:04:29,480
Speaker 1: get onto the subject at hand. Let's talk about the

101
00:04:29,560 --> 00:04:33,400
Speaker 1: essential habits for financial success. And it just makes me

102
00:04:33,400 --> 00:04:35,839
Speaker 1: think of high school for some reason that like, remember

103
00:04:35,880 --> 00:04:36,880
Speaker 1: we were always told.

104
00:04:36,800 --> 00:04:38,839
Speaker 2: Back to school essentials, right right.

105
00:04:38,600 --> 00:04:40,840
Speaker 1: Remember well, kids are going back to school for the

106
00:04:40,880 --> 00:04:43,360
Speaker 1: second semester in just a couple of days. But like

107
00:04:44,120 --> 00:04:46,160
Speaker 1: in high school, we were always told that we needed good,

108
00:04:46,160 --> 00:04:49,000
Speaker 1: good grades. But it always felts a little arbitrary to me,

109
00:04:49,080 --> 00:04:51,400
Speaker 1: like nobody was connecting the dots and so I was.

110
00:04:51,680 --> 00:04:53,800
Speaker 1: I personally was more than happy to trade like hours

111
00:04:53,839 --> 00:04:55,839
Speaker 1: of studying for a solid bee instead of like busting

112
00:04:55,880 --> 00:04:57,359
Speaker 1: my butt to get in. It always felt like the

113
00:04:57,440 --> 00:05:01,840
Speaker 1: gap in effort needed between getting a B in an

114
00:05:01,839 --> 00:05:04,560
Speaker 1: A was significant, so I was just always content to

115
00:05:04,600 --> 00:05:07,360
Speaker 1: get a slightly lower grade, but it was still solid right,

116
00:05:07,640 --> 00:05:09,719
Speaker 1: And I think that chocked it up to the fact

117
00:05:09,760 --> 00:05:12,440
Speaker 1: that I had no desire to attend a prestigious school

118
00:05:12,640 --> 00:05:14,440
Speaker 1: like the IVY leagues were out of the question for me.

119
00:05:14,640 --> 00:05:16,880
Speaker 2: No, No Yale for Joel Little High.

120
00:05:16,760 --> 00:05:17,280
Speaker 1: School, Joels.

121
00:05:17,279 --> 00:05:17,400
Speaker 2: No.

122
00:05:17,400 --> 00:05:20,240
Speaker 1: I wasn't thinking about Yale or Harvard or Stanford or

123
00:05:20,279 --> 00:05:22,960
Speaker 1: any of that stuff. But it turns out, though, I

124
00:05:22,960 --> 00:05:25,000
Speaker 1: think there were good reasons that my parents were pushing

125
00:05:25,000 --> 00:05:27,560
Speaker 1: me to try harder, even though I wasn't planning on

126
00:05:27,640 --> 00:05:30,240
Speaker 1: going to Colgate or one of those nice schools. Right,

127
00:05:30,440 --> 00:05:34,120
Speaker 1: and better grades meant a wider range of options and

128
00:05:34,160 --> 00:05:36,719
Speaker 1: the potential for more financial aid too, no matter what

129
00:05:36,760 --> 00:05:39,080
Speaker 1: school I went to. It makes me think recently, I

130
00:05:39,120 --> 00:05:41,560
Speaker 1: was talking to my wife Emily one of her cousins,

131
00:05:41,600 --> 00:05:43,839
Speaker 1: and he told me about getting a thirty two on

132
00:05:43,880 --> 00:05:47,520
Speaker 1: his ACT. He took it three times and he just

133
00:05:47,560 --> 00:05:50,159
Speaker 1: couldn't get past that mark. But if he'd gotten a

134
00:05:50,200 --> 00:05:52,880
Speaker 1: thirty three, he would have gotten all his housing paid

135
00:05:52,880 --> 00:05:55,520
Speaker 1: for at the school he went to. Now, so it's

136
00:05:55,560 --> 00:05:58,640
Speaker 1: just like one point man cost him a lot of money,

137
00:05:59,040 --> 00:06:01,640
Speaker 1: but he said, man, just I couldn't stomach taking that

138
00:06:01,680 --> 00:06:03,680
Speaker 1: test again at that point in time. And I don't

139
00:06:03,680 --> 00:06:06,200
Speaker 1: think he realized at the time, when he was eighteen

140
00:06:06,480 --> 00:06:07,920
Speaker 1: how much it was going to cost him. And so

141
00:06:08,240 --> 00:06:10,599
Speaker 1: both his parents and my parents, I think, could see

142
00:06:11,000 --> 00:06:14,719
Speaker 1: past our lethargy, my you know, lack of focus and

143
00:06:14,760 --> 00:06:17,919
Speaker 1: dedication and his lack of wanting to take that test again,

144
00:06:18,279 --> 00:06:20,200
Speaker 1: and they knew that that trying just a bit harder

145
00:06:20,240 --> 00:06:23,400
Speaker 1: would have long term positive financial consequences for both of us,

146
00:06:23,720 --> 00:06:26,279
Speaker 1: not to mention a stronger work ethic right that would

147
00:06:26,279 --> 00:06:27,680
Speaker 1: provide dividends for years to come.

148
00:06:27,760 --> 00:06:30,360
Speaker 2: So, yeah, your parents wanted to see your full potential, Joel.

149
00:06:30,400 --> 00:06:32,840
Speaker 2: They knew that you were capable of so much more. Yes,

150
00:06:33,120 --> 00:06:34,720
Speaker 2: But what you're saying though, is like, I mean, you're

151
00:06:34,720 --> 00:06:36,839
Speaker 2: not just going to focus on getting good grades because

152
00:06:36,880 --> 00:06:39,160
Speaker 2: you know that you have to achieve a certain GPA

153
00:06:39,320 --> 00:06:41,400
Speaker 2: to get into a specific school, Like that is not

154
00:06:41,480 --> 00:06:43,800
Speaker 2: the only reason that you're doing it. And you know,

155
00:06:43,800 --> 00:06:45,800
Speaker 2: when it comes to like the big financial goals that

156
00:06:45,839 --> 00:06:48,279
Speaker 2: we have in life, it can be overwhelming, you know,

157
00:06:48,360 --> 00:06:50,479
Speaker 2: like when you hear life gurus out there saying that, like,

158
00:06:50,520 --> 00:06:52,440
Speaker 2: you've got to start with the end in mind, and

159
00:06:52,440 --> 00:06:54,679
Speaker 2: I'm pretty sure that that's something we've even said before,

160
00:06:54,920 --> 00:06:57,800
Speaker 2: even though we don't at all consider ourselves gurus. And

161
00:06:57,800 --> 00:07:00,120
Speaker 2: the reason though that that can be overwhelming, as think

162
00:07:00,200 --> 00:07:03,159
Speaker 2: is because sometimes you just have no idea what end

163
00:07:03,360 --> 00:07:06,200
Speaker 2: it is that you're actually pursuing. And plus, you know,

164
00:07:06,240 --> 00:07:08,480
Speaker 2: we think this is also a great way to tackle

165
00:07:08,520 --> 00:07:10,520
Speaker 2: the new year, because you know, you may not even

166
00:07:10,680 --> 00:07:12,840
Speaker 2: know what you want to accomplish by the end of

167
00:07:12,880 --> 00:07:15,400
Speaker 2: twenty twenty three, let alone by the end of the decade.

168
00:07:15,720 --> 00:07:19,040
Speaker 2: You might not have a specific crystallized goal yet, and

169
00:07:19,080 --> 00:07:22,200
Speaker 2: that's okay, but it's about moving in the right direction.

170
00:07:22,480 --> 00:07:25,080
Speaker 2: It's about getting that momentum started, getting that ball rolling,

171
00:07:25,840 --> 00:07:28,440
Speaker 2: even if the end goal is subject to change.

172
00:07:28,600 --> 00:07:29,920
Speaker 1: And so just like with you, Joel, so.

173
00:07:29,920 --> 00:07:31,520
Speaker 2: You didn't know exactly where it was that you wanted

174
00:07:31,520 --> 00:07:34,040
Speaker 2: to go to college, but by having a good GPA,

175
00:07:34,400 --> 00:07:37,520
Speaker 2: by giving it your best shot on the SAT, that

176
00:07:37,680 --> 00:07:39,920
Speaker 2: was going to open up the potential for you to

177
00:07:39,960 --> 00:07:42,200
Speaker 2: go to some different schools that you might have changed

178
00:07:42,200 --> 00:07:44,920
Speaker 2: your mind to down the road. And developing the right

179
00:07:44,960 --> 00:07:48,240
Speaker 2: financial habits. We think that that will similarly help folks

180
00:07:48,320 --> 00:07:50,760
Speaker 2: to start moving in the right direction, even if you

181
00:07:50,840 --> 00:07:53,440
Speaker 2: don't know what your ultimate destination is going to be.

182
00:07:53,600 --> 00:07:55,440
Speaker 1: Yeah, And the truth is that most of us have

183
00:07:55,480 --> 00:07:57,480
Speaker 1: goals that are subject to change, right. None of our

184
00:07:57,520 --> 00:08:00,000
Speaker 1: goals are very few of our goals are set in stone.

185
00:08:00,280 --> 00:08:02,640
Speaker 1: This is and we know them on like a multi

186
00:08:02,640 --> 00:08:06,240
Speaker 1: decade long timeline, and life throws us curveballs and we

187
00:08:06,320 --> 00:08:09,360
Speaker 1: have to adapt. That doesn't necessarily mean that you've failed, right.

188
00:08:09,400 --> 00:08:11,120
Speaker 1: It's often that as you grow up and evolved as

189
00:08:11,160 --> 00:08:14,240
Speaker 1: a person that what you want out of life changes,

190
00:08:14,600 --> 00:08:17,360
Speaker 1: which is totally fine and totally understandable, and it's actually

191
00:08:17,360 --> 00:08:19,000
Speaker 1: a good thing. What it feels like you live a

192
00:08:19,000 --> 00:08:21,040
Speaker 1: new life, something like every seven years, we're turning over

193
00:08:21,080 --> 00:08:22,960
Speaker 1: a new leaf. Matt. There are certain things that people

194
00:08:23,040 --> 00:08:26,120
Speaker 1: might have told me three years ago but pre pandemic,

195
00:08:26,160 --> 00:08:28,440
Speaker 1: and they would have said, Hey, you're gonna end up

196
00:08:28,440 --> 00:08:30,280
Speaker 1: doing this, this and this, making these choices. You're even

197
00:08:30,320 --> 00:08:31,920
Speaker 1: going to move from the neighborhood that you can love

198
00:08:32,040 --> 00:08:33,640
Speaker 1: so much right now, and you're gonna end up in

199
00:08:33,640 --> 00:08:35,240
Speaker 1: a new place. And I would have been like, you're crazy,

200
00:08:35,280 --> 00:08:36,840
Speaker 1: Like there's no way, yeah, out of your mind. Ye,

201
00:08:37,280 --> 00:08:39,360
Speaker 1: but life and here we are throws us curve balls.

202
00:08:39,440 --> 00:08:42,400
Speaker 1: We have to react accordingly. And you and I we

203
00:08:42,440 --> 00:08:45,200
Speaker 1: moved our families right last year, but we want you

204
00:08:45,280 --> 00:08:47,120
Speaker 1: to have the financial ability to be able to make

205
00:08:47,120 --> 00:08:50,360
Speaker 1: those changes without freaking out. And the earlier you adopt

206
00:08:50,480 --> 00:08:52,600
Speaker 1: the financial habits that we're going to cover in today's episode,

207
00:08:52,600 --> 00:08:54,680
Speaker 1: the quicker, you're going to be on your way to

208
00:08:54,720 --> 00:08:59,000
Speaker 1: increased levels of margin and financial flexibility, which directly equates

209
00:08:59,120 --> 00:09:01,360
Speaker 1: to the likelihood that money isn't going to be the

210
00:09:01,360 --> 00:09:03,480
Speaker 1: thing holding you back from the lifestyle you want to

211
00:09:03,559 --> 00:09:05,200
Speaker 1: lead and the changes you want to make. Matt, it

212
00:09:05,200 --> 00:09:07,080
Speaker 1: would have been so much more stressful if we felt

213
00:09:07,160 --> 00:09:09,760
Speaker 1: like we wanted to move our family somewhere else, but

214
00:09:09,800 --> 00:09:12,520
Speaker 1: we didn't have the financial backstop to make that decision exactly.

215
00:09:12,640 --> 00:09:14,600
Speaker 1: And so that's what we want for people. Like as

216
00:09:15,160 --> 00:09:17,719
Speaker 1: goals start to crystallize, you're like, Hey, the habits I've

217
00:09:17,720 --> 00:09:20,480
Speaker 1: been implementing you have gotten me to the place where

218
00:09:20,480 --> 00:09:23,800
Speaker 1: I can now achieve that without having to fret, without

219
00:09:23,800 --> 00:09:26,280
Speaker 1: having to like freak out that you don't have the

220
00:09:26,320 --> 00:09:29,000
Speaker 1: financial wherewithal to make those decisions you want to make.

221
00:09:29,040 --> 00:09:31,640
Speaker 2: That's right man, Yeah, I could agree more. So let's

222
00:09:31,640 --> 00:09:35,120
Speaker 2: get into it. Where do you start? And we would

223
00:09:35,200 --> 00:09:38,640
Speaker 2: argue that gathering the facts that that is step number one,

224
00:09:39,160 --> 00:09:42,040
Speaker 2: and that means tracking your spending. We think that this

225
00:09:42,080 --> 00:09:44,360
Speaker 2: is the number one habit that folks who handle their

226
00:09:44,360 --> 00:09:48,079
Speaker 2: money do without fail. Last month, actually we talked about

227
00:09:48,080 --> 00:09:51,160
Speaker 2: how people underestimate what it is that they spend on

228
00:09:51,320 --> 00:09:54,520
Speaker 2: their monthly subscriptions, and not just by like a little

229
00:09:54,520 --> 00:09:56,600
Speaker 2: bit of money, like almost always it was by at

230
00:09:56,679 --> 00:09:59,320
Speaker 2: least one hundred bucks. And so the reason I bring

231
00:09:59,320 --> 00:10:00,960
Speaker 2: that up is is if you don't know where your

232
00:10:00,960 --> 00:10:03,960
Speaker 2: money is going, it becomes really easy to let those

233
00:10:04,040 --> 00:10:06,400
Speaker 2: precious dollars slip through the cracks, and that makes it

234
00:10:06,440 --> 00:10:09,400
Speaker 2: harder to actually reach whatever goals it is that you

235
00:10:09,480 --> 00:10:12,440
Speaker 2: are either currently pursuing or that you might end up

236
00:10:12,440 --> 00:10:15,480
Speaker 2: pursuing at some point. Every dollar counts when we're looking

237
00:10:15,480 --> 00:10:17,640
Speaker 2: to make changes, and if you don't track where those

238
00:10:17,679 --> 00:10:19,800
Speaker 2: dollars are going, it's like you're on a ship with

239
00:10:19,880 --> 00:10:22,400
Speaker 2: a perpetual leak. You got to fix that leak in

240
00:10:22,520 --> 00:10:24,600
Speaker 2: order to get where you're trying to go. It makes

241
00:10:24,600 --> 00:10:26,280
Speaker 2: me think of that. So the conversation we had with

242
00:10:26,320 --> 00:10:28,640
Speaker 2: Katie on Monday. One of the things she wrote about

243
00:10:28,640 --> 00:10:31,400
Speaker 2: in her book, she one of the similarities between Benjamin

244
00:10:31,400 --> 00:10:35,280
Speaker 2: Franklin and Jerry Seinfeld was that they were incredibly disciplined

245
00:10:35,440 --> 00:10:39,160
Speaker 2: in tracking their progress. There were changes that they both

246
00:10:39,800 --> 00:10:42,600
Speaker 2: i would say probably very different changes that they both

247
00:10:42,600 --> 00:10:45,200
Speaker 2: wanted to implement in their lives, and they were both

248
00:10:45,280 --> 00:10:48,199
Speaker 2: able to basically chart their progress and that allowed them

249
00:10:48,240 --> 00:10:51,760
Speaker 2: to achieve the results much faster. And specific to Jerry Seinfeld,

250
00:10:52,000 --> 00:10:53,880
Speaker 2: one of the things she said that he would often

251
00:10:53,920 --> 00:10:56,360
Speaker 2: do is that he would maintain these streaks, and so

252
00:10:56,360 --> 00:10:58,680
Speaker 2: I think maybe it was something like every night he

253
00:10:58,720 --> 00:11:00,920
Speaker 2: was trying to do like an open mic nights somewhere

254
00:11:00,920 --> 00:11:03,400
Speaker 2: in order to just hone his craft, and once he

255
00:11:03,440 --> 00:11:05,840
Speaker 2: got that going, he didn't want to stop, specifically because

256
00:11:05,840 --> 00:11:08,080
Speaker 2: he didn't want to break the streak that he had

257
00:11:08,120 --> 00:11:09,520
Speaker 2: going to like in a sense, he was almost kind

258
00:11:09,520 --> 00:11:11,760
Speaker 2: of gamifying it. And when I read that, I realized

259
00:11:12,160 --> 00:11:15,080
Speaker 2: that's one of the reasons why I track my spending

260
00:11:15,120 --> 00:11:17,360
Speaker 2: every single penny, every single month, and I've done that

261
00:11:17,400 --> 00:11:20,439
Speaker 2: since two thousand and seven, like literally for I'm on

262
00:11:20,559 --> 00:11:23,160
Speaker 2: like a fifteen year streak where every single month that

263
00:11:23,160 --> 00:11:25,240
Speaker 2: that is something I've been able to maintain. There's no

264
00:11:25,280 --> 00:11:26,920
Speaker 2: way I'm going to break that streak. I'm not going

265
00:11:27,000 --> 00:11:29,880
Speaker 2: to let a busy month allow me to not do

266
00:11:29,960 --> 00:11:31,920
Speaker 2: this thing that I've done for so long that has

267
00:11:32,080 --> 00:11:35,320
Speaker 2: allowed me to achieve the financial progress and the financial

268
00:11:35,400 --> 00:11:36,120
Speaker 2: success that I have.

269
00:11:36,240 --> 00:11:38,320
Speaker 1: And you're living up now to the moniker that everyone

270
00:11:38,480 --> 00:11:40,880
Speaker 1: has for you, which is the Jerry Seinfelder personal finance.

271
00:11:41,120 --> 00:11:41,800
Speaker 2: If only I.

272
00:11:42,800 --> 00:11:44,160
Speaker 1: Would love that. No, I think you're right. I mean,

273
00:11:44,200 --> 00:11:46,800
Speaker 1: I think those things, those things matter, right, and the

274
00:11:47,160 --> 00:11:50,240
Speaker 1: longer we do something, the more habitual it becomes. But

275
00:11:50,960 --> 00:11:55,960
Speaker 1: something as simple as tracking your money is crucial. It's

276
00:11:56,000 --> 00:11:58,000
Speaker 1: like the first building block really in personal finding so

277
00:11:58,040 --> 00:12:00,800
Speaker 1: many ways, and if you're not doing that basic thing,

278
00:12:00,920 --> 00:12:03,880
Speaker 1: the likelihood of you being able to achieve bigger goals

279
00:12:03,880 --> 00:12:05,960
Speaker 1: that you've set out for yourself becomes a lot more

280
00:12:06,040 --> 00:12:07,800
Speaker 1: unlikely if you're not willing to do the small stuff

281
00:12:07,840 --> 00:12:08,840
Speaker 1: right exactly, Yeah.

282
00:12:08,840 --> 00:12:10,600
Speaker 2: I think I mean that's worth sharing too, because I

283
00:12:10,640 --> 00:12:14,200
Speaker 2: think they're gonna folks are saying, oh great, how the money, guys.

284
00:12:14,240 --> 00:12:16,600
Speaker 2: They're talking about tracking or spending, But like, this is

285
00:12:16,640 --> 00:12:20,720
Speaker 2: something that folks who have accomplished a lot in their lifetimes.

286
00:12:20,720 --> 00:12:22,400
Speaker 1: This is what they do. This is where you start. Yeah,

287
00:12:22,400 --> 00:12:24,600
Speaker 1: and it sounds basic, but the realities most people don't

288
00:12:24,600 --> 00:12:26,560
Speaker 1: do it, and so they don't know where the leaks are,

289
00:12:26,559 --> 00:12:28,360
Speaker 1: they don't know how to go about plugging them. And

290
00:12:28,400 --> 00:12:30,120
Speaker 1: the truth is there are lots of ways to track. Right.

291
00:12:30,160 --> 00:12:32,520
Speaker 1: You can go old school spreadsheet like you do, Matt,

292
00:12:32,520 --> 00:12:34,680
Speaker 1: and we can link to your budget spreadsheet that people

293
00:12:34,760 --> 00:12:37,160
Speaker 1: can copy and use however they'd like. In the show

294
00:12:37,160 --> 00:12:40,720
Speaker 1: notes for this episode, if you're like, hey, I do

295
00:12:40,880 --> 00:12:44,560
Speaker 1: like the Matt's grandpa approach to budgeting into tracking, that's cool.

296
00:12:44,600 --> 00:12:46,080
Speaker 1: Feel free you go use it, or you can use

297
00:12:46,080 --> 00:12:48,800
Speaker 1: the software like mint or wineab. If you're like, I'm hip,

298
00:12:48,840 --> 00:12:51,160
Speaker 1: I'm with it, then go for that, like sign up

299
00:12:51,160 --> 00:12:53,319
Speaker 1: for one of those sites Mint free, wineab costs money.

300
00:12:53,320 --> 00:12:56,560
Speaker 1: But whatever system works best for you is all good

301
00:12:56,559 --> 00:12:59,360
Speaker 1: with us. But if you opt to avoid tracking your spending,

302
00:12:59,360 --> 00:13:01,440
Speaker 1: your progress, it's just it's going to be stunted. Just

303
00:13:01,480 --> 00:13:03,640
Speaker 1: like if Jerry Seinel wasn't if he wasn't tracking those

304
00:13:03,679 --> 00:13:05,679
Speaker 1: open mic nights and he's like, I think I've done it,

305
00:13:05,760 --> 00:13:08,560
Speaker 1: like the last thirteen days, but I'm not one hundred

306
00:13:08,559 --> 00:13:11,360
Speaker 1: percent short there's something about, yeah, documenting it that helps

307
00:13:11,400 --> 00:13:14,360
Speaker 1: keep that progress alive. And then the next step after

308
00:13:14,440 --> 00:13:17,800
Speaker 1: tracking is budgeting, And once you know you know where

309
00:13:17,800 --> 00:13:20,080
Speaker 1: those funds are going, it's so much easier to then

310
00:13:20,080 --> 00:13:23,080
Speaker 1: tweak your spending to better align with your values, and

311
00:13:23,120 --> 00:13:26,079
Speaker 1: you start asking questions like do my current expenses make

312
00:13:26,200 --> 00:13:28,960
Speaker 1: sense for what I care about? How do I feel

313
00:13:28,960 --> 00:13:31,760
Speaker 1: about the money that I'm spending? Do I feel good

314
00:13:31,800 --> 00:13:34,320
Speaker 1: about it? And if not, it's time to redirect where

315
00:13:34,320 --> 00:13:38,199
Speaker 1: those dollars are going. And again, like, they're excellent software

316
00:13:38,240 --> 00:13:40,120
Speaker 1: packages to help you out with this, but you don't

317
00:13:40,240 --> 00:13:44,199
Speaker 1: need software to help you do this either, pen and paper, right,

318
00:13:44,240 --> 00:13:46,480
Speaker 1: it could be as simple as that. But yeah, tracking

319
00:13:46,520 --> 00:13:49,880
Speaker 1: and budgeting are like two unavoidable peas in a pod

320
00:13:49,920 --> 00:13:52,120
Speaker 1: if you're doing those things consistently. We actually we have

321
00:13:52,520 --> 00:13:54,920
Speaker 1: a new article up on our website at how to

322
00:13:54,960 --> 00:13:57,560
Speaker 1: money dot com. There's like different budgeting methods I think

323
00:13:57,559 --> 00:14:01,160
Speaker 1: that work better for different personality types, and so willing

324
00:14:01,200 --> 00:14:03,679
Speaker 1: to that so you can hopefully find a budgeting method

325
00:14:03,720 --> 00:14:06,120
Speaker 1: that works for you how you think about money, and

326
00:14:06,160 --> 00:14:09,319
Speaker 1: then kind of like, yeah, how you personally handle it.

327
00:14:09,320 --> 00:14:11,520
Speaker 1: It's not necessarily it doesn't have to be a one

328
00:14:11,559 --> 00:14:13,319
Speaker 1: size fits all approach. That's right.

329
00:14:13,360 --> 00:14:15,800
Speaker 2: And I will say I'll give a slight caveat because

330
00:14:15,840 --> 00:14:18,440
Speaker 2: I said that this is something that everybody who's successful

331
00:14:18,440 --> 00:14:20,120
Speaker 2: with their money, this is something that they do. And

332
00:14:20,240 --> 00:14:22,040
Speaker 2: while I think it would be helpful for the majority

333
00:14:22,080 --> 00:14:24,000
Speaker 2: of folks, I will say, there are folks out there

334
00:14:24,040 --> 00:14:25,920
Speaker 2: who don't budget as much. I mean, I think you

335
00:14:25,920 --> 00:14:27,320
Speaker 2: would even kind of fall into that CAMPU Lee.

336
00:14:27,360 --> 00:14:29,800
Speaker 1: That's actually the fourth budgeting style in that article I'm

337
00:14:29,840 --> 00:14:31,760
Speaker 1: referencing is people who don't budget.

338
00:14:31,480 --> 00:14:34,360
Speaker 2: But they're like, my favorite budgeting style is to not budget.

339
00:14:35,440 --> 00:14:37,120
Speaker 2: But what I wanted to say though, is you, I

340
00:14:37,120 --> 00:14:40,680
Speaker 2: think initially it is incredibly helpful. Yes, like maybe in

341
00:14:40,680 --> 00:14:42,040
Speaker 2: the day to day, like the month to month, you're

342
00:14:42,040 --> 00:14:44,160
Speaker 2: not you know, you're not doing like a zero sum

343
00:14:44,240 --> 00:14:46,560
Speaker 2: budget where you're tracking every single penny.

344
00:14:46,280 --> 00:14:47,840
Speaker 1: Which it's one of the other ones in the art.

345
00:14:48,240 --> 00:14:50,840
Speaker 2: But I think initially, at least at the very beginning,

346
00:14:51,400 --> 00:14:53,280
Speaker 2: like you got to face the facts, you know, like

347
00:14:53,280 --> 00:14:56,000
Speaker 2: you got to face the music and be shocked with

348
00:14:56,160 --> 00:14:58,720
Speaker 2: the reality of your spending, because you might think that

349
00:14:58,760 --> 00:15:01,240
Speaker 2: you've got a certain level of spending, you know, going

350
00:15:01,240 --> 00:15:03,880
Speaker 2: on in your life. But guess what, lifestyle inflation happens

351
00:15:04,280 --> 00:15:07,800
Speaker 2: in conjunction with actual inflation, which has caused a lot

352
00:15:07,840 --> 00:15:10,080
Speaker 2: of our spending to increase. And so I think it's

353
00:15:10,280 --> 00:15:13,400
Speaker 2: so important to truly face the facts, and at the

354
00:15:13,480 --> 00:15:15,520
Speaker 2: very least doing that once at the beginning can help

355
00:15:15,560 --> 00:15:18,200
Speaker 2: you to get sort of like I almost like a

356
00:15:18,240 --> 00:15:19,960
Speaker 2: tune up, like when you go in to take your

357
00:15:20,000 --> 00:15:21,800
Speaker 2: car in. If you take it as somebody who knows

358
00:15:21,800 --> 00:15:23,360
Speaker 2: what they're doing, they're hopefully able to give you a

359
00:15:23,360 --> 00:15:26,120
Speaker 2: good diagnosis. And I think that that they can even

360
00:15:26,120 --> 00:15:27,680
Speaker 2: tell you what you can do, what's coming up with

361
00:15:27,720 --> 00:15:30,120
Speaker 2: your car, Like, hey, in maybe like a two thousand miles,

362
00:15:30,200 --> 00:15:31,920
Speaker 2: those front breaks might need to be looked at again,

363
00:15:32,080 --> 00:15:35,000
Speaker 2: and I don't know, maybe you're gonna need that ninety

364
00:15:35,040 --> 00:15:37,080
Speaker 2: thousand mile check up, or we do this, this and

365
00:15:37,120 --> 00:15:39,520
Speaker 2: this prepare for it. Yeah, exactly, start thinking ahead, which

366
00:15:39,560 --> 00:15:41,440
Speaker 2: is great, and I think that's what kind of tracking

367
00:15:41,440 --> 00:15:43,120
Speaker 2: and budgeting can do for you.

368
00:15:43,200 --> 00:15:45,720
Speaker 1: Absolutely. It's also true that somebody like Jerry Seinfeld doesn't

369
00:15:45,720 --> 00:15:47,360
Speaker 1: need to do an open mic night every single night

370
00:15:47,560 --> 00:15:49,480
Speaker 1: at this point because of all the work he's put

371
00:15:49,520 --> 00:15:52,440
Speaker 1: in throughout the years. So exactly if you're that far along,

372
00:15:52,680 --> 00:15:56,480
Speaker 1: you don't need to necessarily feel guilted into continuing a

373
00:15:56,520 --> 00:15:58,480
Speaker 1: system that helps set you up for success, and it

374
00:15:58,560 --> 00:16:00,800
Speaker 1: might continue to help you be successful, but he also

375
00:16:00,880 --> 00:16:03,240
Speaker 1: might not need it in the same way that somebody's

376
00:16:03,280 --> 00:16:03,600
Speaker 1: just starting.

377
00:16:03,640 --> 00:16:06,280
Speaker 2: Yeah, I mean it's trade offs because like simultaneously, like

378
00:16:06,360 --> 00:16:08,520
Speaker 2: even the best coaches out there and the best players,

379
00:16:08,560 --> 00:16:11,200
Speaker 2: they're watching tape, you know, like they are reviewing and

380
00:16:11,240 --> 00:16:14,760
Speaker 2: looking back over their performances and like, and so I think.

381
00:16:14,600 --> 00:16:17,160
Speaker 1: Even making a sports reference, Yeah, I don't to do that.

382
00:16:17,120 --> 00:16:19,360
Speaker 2: Often, but I get I think even the folks who

383
00:16:19,440 --> 00:16:22,560
Speaker 2: are crushing their financial goals would see an increased level

384
00:16:22,600 --> 00:16:25,880
Speaker 2: of performance were they to track and budget. It's just

385
00:16:26,080 --> 00:16:27,440
Speaker 2: it just kind of comes down to whether or not

386
00:16:27,480 --> 00:16:29,640
Speaker 2: that that is enough of a priority for them to

387
00:16:29,720 --> 00:16:30,240
Speaker 2: want to do that.

388
00:16:30,280 --> 00:16:32,800
Speaker 1: I remember seeing a Kobe Bryant interview where he talked

389
00:16:32,800 --> 00:16:35,040
Speaker 1: about just outworking everybody else, and he's like, let's say

390
00:16:35,040 --> 00:16:37,680
Speaker 1: the average athlete works out, has two good workouts in

391
00:16:37,680 --> 00:16:39,600
Speaker 1: our day. Well, what if I wake up earlier in

392
00:16:39,640 --> 00:16:41,560
Speaker 1: the morning and I'm getting somewhere between three and four

393
00:16:41,560 --> 00:16:44,160
Speaker 1: workouts in every single day. He's like, it doesn't matter

394
00:16:44,280 --> 00:16:46,600
Speaker 1: if they work their butt off over the summer because

395
00:16:46,680 --> 00:16:49,240
Speaker 1: for the last five years, I've been doing an additional

396
00:16:49,280 --> 00:16:52,360
Speaker 1: workout or two more than they have for years now,

397
00:16:52,360 --> 00:16:54,760
Speaker 1: which in compounds. Yeah, and it's like those the kind

398
00:16:54,760 --> 00:16:57,280
Speaker 1: of things, those actions really matter, Right, That's a that's

399
00:16:57,280 --> 00:16:59,600
Speaker 1: a habit that he got into that paid massive dividends,

400
00:16:59,600 --> 00:17:02,000
Speaker 1: making him one of the best basketball players of all time.

401
00:17:02,000 --> 00:17:04,280
Speaker 2: But you gotta you gotta let your body rest though, too, right, Like,

402
00:17:04,600 --> 00:17:06,840
Speaker 2: aren't you faced with like the reality of science? Yeah,

403
00:17:06,920 --> 00:17:08,439
Speaker 2: I think that now that I've been working out, I mean,

404
00:17:08,480 --> 00:17:10,200
Speaker 2: the guys the wrong guy to work for Covie.

405
00:17:10,320 --> 00:17:11,040
Speaker 1: I'm gonna trust it.

406
00:17:11,080 --> 00:17:13,879
Speaker 2: But there's certain guys that work out every single day.

407
00:17:13,920 --> 00:17:16,040
Speaker 2: I'm just like, how are you not sore the next day?

408
00:17:16,160 --> 00:17:17,960
Speaker 2: Like when I work out, I can't. I feel like

409
00:17:17,960 --> 00:17:20,639
Speaker 2: I can't do Jack Squad the next day. But we

410
00:17:20,680 --> 00:17:24,639
Speaker 2: definitely don't need to turn this into physical fitness sports

411
00:17:24,880 --> 00:17:27,320
Speaker 2: metaphor of an episode. We're going to continue to talk

412
00:17:27,359 --> 00:17:31,280
Speaker 2: about the essential habits for financial success, and we have

413
00:17:31,400 --> 00:17:34,400
Speaker 2: a handful more of different habits that we are going

414
00:17:34,440 --> 00:17:36,000
Speaker 2: to cover right after this.

415
00:17:45,440 --> 00:17:47,720
Speaker 1: All right, Matt, let's keep going. Of course, you and

416
00:17:47,840 --> 00:17:50,080
Speaker 1: I we want everybody listening to this. We want them

417
00:17:50,119 --> 00:17:53,199
Speaker 1: to be financially successful. We want them And that doesn't

418
00:17:53,240 --> 00:17:54,720
Speaker 1: mean and you and I have to talk about this

419
00:17:54,800 --> 00:17:57,400
Speaker 1: all the time. That doesn't mean having like Bill Gates

420
00:17:57,520 --> 00:17:59,840
Speaker 1: levels of wealth. That doesn't mean being on the four

421
00:18:00,240 --> 00:18:02,320
Speaker 1: one hundred list or something like that, like that is

422
00:18:02,920 --> 00:18:07,439
Speaker 1: uber insanely rich and wealthy. That we don't care about that.

423
00:18:07,720 --> 00:18:09,639
Speaker 1: But we do want people to have more choice in

424
00:18:09,640 --> 00:18:11,639
Speaker 1: their lives. We do want people to have more money

425
00:18:11,640 --> 00:18:13,920
Speaker 1: in their bank account to allow them to have more

426
00:18:14,000 --> 00:18:15,680
Speaker 1: choice over the years.

427
00:18:15,480 --> 00:18:18,040
Speaker 2: More autonomy over their lives and the decisions that they're

428
00:18:18,040 --> 00:18:18,960
Speaker 2: able to make in the future.

429
00:18:19,000 --> 00:18:22,959
Speaker 1: And so that often means having better habits, making better choices,

430
00:18:23,240 --> 00:18:25,199
Speaker 1: even if the end goal isn't and for most of

431
00:18:25,280 --> 00:18:28,199
Speaker 1: us probably isn't going to be to be, you know,

432
00:18:28,280 --> 00:18:31,040
Speaker 1: to become one of the uber wealthy elites. But another

433
00:18:31,160 --> 00:18:35,840
Speaker 1: habit that successful financial nerds partaken is to regularly assess

434
00:18:35,960 --> 00:18:39,080
Speaker 1: and cut their spending. And so this kind of aligns

435
00:18:39,119 --> 00:18:41,359
Speaker 1: with tracking your spending, but it's a little different because

436
00:18:41,520 --> 00:18:43,600
Speaker 1: this is like when you're actually not just seeing the

437
00:18:43,600 --> 00:18:45,520
Speaker 1: holes in the boat, but you start plugging the leaks

438
00:18:45,840 --> 00:18:47,879
Speaker 1: and you make it a habit, we would say to

439
00:18:47,960 --> 00:18:51,119
Speaker 1: institute a waiting period before buying something, something like a

440
00:18:51,119 --> 00:18:53,760
Speaker 1: forty eight hour rule. Where you're shopping and you see

441
00:18:53,760 --> 00:18:56,280
Speaker 1: something and you're like, oh, I need that. Well, if

442
00:18:56,320 --> 00:18:58,040
Speaker 1: you have a forty eight hour rule, you don't buy it,

443
00:18:58,080 --> 00:18:59,760
Speaker 1: and maybe you forget about it, or maybe you come

444
00:18:59,800 --> 00:19:02,000
Speaker 1: back to it knowing, hey, that's actually something I really

445
00:19:02,040 --> 00:19:03,880
Speaker 1: want to buy. Or if you're shopping around for items

446
00:19:03,920 --> 00:19:05,640
Speaker 1: that you're definitely going to purchase, you know you want

447
00:19:05,640 --> 00:19:08,159
Speaker 1: that thing, you've been thinking about it for a while,

448
00:19:08,560 --> 00:19:12,600
Speaker 1: Compare prices before you actually take the plunge and buy

449
00:19:12,600 --> 00:19:15,359
Speaker 1: that item and add it into your life as well. Also,

450
00:19:15,440 --> 00:19:18,320
Speaker 1: you know, work to spend less on recurring expenses. These

451
00:19:18,359 --> 00:19:21,000
Speaker 1: are all habits that you're going to want to develop

452
00:19:21,040 --> 00:19:24,000
Speaker 1: in order to grow the gap in your life between

453
00:19:24,000 --> 00:19:27,320
Speaker 1: incoming and outgoing. So we would say start with those

454
00:19:27,359 --> 00:19:30,080
Speaker 1: big expenses, right like housing. What are some ways that

455
00:19:30,119 --> 00:19:31,960
Speaker 1: you can keep this one to a minimum. Do you

456
00:19:32,000 --> 00:19:34,440
Speaker 1: really need a big, fancy apartment for all the stuff

457
00:19:34,440 --> 00:19:36,679
Speaker 1: you're tired of keeping up with. Or let's say you

458
00:19:36,680 --> 00:19:38,560
Speaker 1: own a house, maybe it's time to start house hacking.

459
00:19:38,600 --> 00:19:41,080
Speaker 1: Can you can you rent out a room in your

460
00:19:41,080 --> 00:19:44,159
Speaker 1: house to turn that expense into less of an expense

461
00:19:44,240 --> 00:19:46,719
Speaker 1: or maybe maybe even into a little bit of profit.

462
00:19:47,000 --> 00:19:50,120
Speaker 1: How can you trim what you're spending on transportation? Can

463
00:19:50,160 --> 00:19:51,800
Speaker 1: you get rid of a car from your life? Matt?

464
00:19:51,840 --> 00:19:53,920
Speaker 1: How are big advocates for this? If there's a lot

465
00:19:53,920 --> 00:19:55,879
Speaker 1: more people who could afford to ditch your car than

466
00:19:55,920 --> 00:19:59,080
Speaker 1: think they can. And the average price of owning one

467
00:19:59,119 --> 00:20:00,879
Speaker 1: single car for a whole year is something like ten

468
00:20:00,920 --> 00:20:03,400
Speaker 1: thousand dollars, that's insane. That's a lot of money. Can

469
00:20:03,400 --> 00:20:05,560
Speaker 1: you cut that back in your life? Also? Like shop

470
00:20:05,600 --> 00:20:07,439
Speaker 1: insurance rates, we talked about that at the beginning of

471
00:20:07,440 --> 00:20:10,600
Speaker 1: that episode. They're all of these little leaks that are

472
00:20:10,600 --> 00:20:12,480
Speaker 1: in our lives, these ways that we can address them.

473
00:20:12,760 --> 00:20:16,000
Speaker 1: But the habit that's important to develop is to regularly

474
00:20:16,040 --> 00:20:19,720
Speaker 1: assess and cut. Assessing and cutting spending is going to

475
00:20:20,240 --> 00:20:22,119
Speaker 1: go a long way when it comes to moving the needle,

476
00:20:22,480 --> 00:20:24,720
Speaker 1: creating more margin, more financial margin in your life.

477
00:20:24,800 --> 00:20:26,919
Speaker 2: Yeah, but don't forget about the all those little leaks

478
00:20:26,960 --> 00:20:29,320
Speaker 2: as well, you know, because like the successful money habits,

479
00:20:29,359 --> 00:20:32,159
Speaker 2: like saving in small ways, that is also going to

480
00:20:32,160 --> 00:20:35,000
Speaker 2: propel you down the path of financial success as well.

481
00:20:35,000 --> 00:20:37,119
Speaker 1: It's starrying to sound like Ben Franklin. A penny savers

482
00:20:37,119 --> 00:20:37,720
Speaker 1: a penny earned.

483
00:20:38,320 --> 00:20:40,520
Speaker 2: You know, I feel like me and Ben Franklin we

484
00:20:40,680 --> 00:20:43,840
Speaker 2: would have gotten along. But like you know, just like

485
00:20:43,840 --> 00:20:46,040
Speaker 2: the small tweaks that we're able to make right like

486
00:20:46,080 --> 00:20:49,280
Speaker 2: as we adopt, say, a more positive view of frugality.

487
00:20:49,440 --> 00:20:51,480
Speaker 2: I think that's the cherry on top. As we're working

488
00:20:51,520 --> 00:20:54,720
Speaker 2: to optimize our money, and these are moves that most

489
00:20:54,880 --> 00:20:57,479
Speaker 2: anyone out there can do. We're talking about things like

490
00:20:57,480 --> 00:20:59,920
Speaker 2: biking more often as opposed to getting in the car,

491
00:21:00,119 --> 00:21:01,800
Speaker 2: Like that's one of the ways that you are able

492
00:21:01,960 --> 00:21:06,080
Speaker 2: to downsize the second largest light item on the American's

493
00:21:06,359 --> 00:21:10,600
Speaker 2: monthly budget. But then something as simple as saving, storing,

494
00:21:10,680 --> 00:21:13,640
Speaker 2: and actually eating your leftovers. I'm I'm like the King

495
00:21:13,640 --> 00:21:14,560
Speaker 2: of leftovers, man.

496
00:21:14,480 --> 00:21:16,760
Speaker 1: Don't just scrape it into the garbage can.

497
00:21:16,840 --> 00:21:20,119
Speaker 2: No, Like, literally today my leftovers I had, there's just

498
00:21:20,119 --> 00:21:21,800
Speaker 2: like too much brown rice in there. And so I

499
00:21:22,080 --> 00:21:25,359
Speaker 2: like the pork and the mushrooms and the spinach, But

500
00:21:25,720 --> 00:21:27,880
Speaker 2: I scraped the rice back into the container. I stuck

501
00:21:27,920 --> 00:21:30,280
Speaker 2: that back in the fridge because now I've got leftovers

502
00:21:30,280 --> 00:21:33,760
Speaker 2: of leftovers, and later this week I'll be able to

503
00:21:34,040 --> 00:21:37,880
Speaker 2: bring some vegetables, some protein and complete that meal. But

504
00:21:38,000 --> 00:21:40,080
Speaker 2: you know, even something as basic as we're using as

505
00:21:40,080 --> 00:21:43,240
Speaker 2: the pluck bags, financially successful flks realize the value of

506
00:21:43,280 --> 00:21:45,760
Speaker 2: a dollar and like they're just always doing just the

507
00:21:45,840 --> 00:21:48,760
Speaker 2: little things that add up and you kind of you

508
00:21:49,040 --> 00:21:51,160
Speaker 2: touch on this a little bit, but like finding ways

509
00:21:51,200 --> 00:21:53,959
Speaker 2: to keep those smaller recurring expenses minimal is important as well,

510
00:21:53,960 --> 00:21:57,080
Speaker 2: because you're not looking to bring in new expenses into

511
00:21:57,119 --> 00:22:00,359
Speaker 2: your life just on a whim, right, because those that's

512
00:22:00,359 --> 00:22:02,800
Speaker 2: how those small expenses really add up when you multiply

513
00:22:03,080 --> 00:22:04,840
Speaker 2: times twelve and you get us you kind of get

514
00:22:04,920 --> 00:22:07,479
Speaker 2: used to the action of doing those little things and

515
00:22:07,480 --> 00:22:10,359
Speaker 2: not thinking a thing of it, and they grow. Like

516
00:22:10,480 --> 00:22:12,520
Speaker 2: it's not just the one ten dollars subscription, but it's

517
00:22:12,520 --> 00:22:14,880
Speaker 2: the fact that, like you're the kind of person however

518
00:22:14,960 --> 00:22:18,080
Speaker 2: many years yeah that you did that, you maintain that subscription.

519
00:22:18,119 --> 00:22:20,000
Speaker 2: But then just what you're talking about, Yeah, the frame

520
00:22:20,040 --> 00:22:21,920
Speaker 2: of mind that you enter into as a consumer.

521
00:22:22,000 --> 00:22:24,159
Speaker 1: Yeah, and it's like, now cool, Yeah that's not if

522
00:22:24,200 --> 00:22:26,159
Speaker 1: ten dollars isn't a big deal. The next time, the

523
00:22:26,160 --> 00:22:28,840
Speaker 1: twenty dollars decision isn't a big deal, And we need

524
00:22:28,880 --> 00:22:30,520
Speaker 1: to make them big deals in our lives exactly.

525
00:22:30,600 --> 00:22:33,040
Speaker 2: Yeah, keeping ye, we want you to basically keep those

526
00:22:33,040 --> 00:22:35,280
Speaker 2: recurring payments as low as possible because that's going to

527
00:22:35,280 --> 00:22:38,639
Speaker 2: open up the widest range of financial possibilities for you

528
00:22:38,680 --> 00:22:39,920
Speaker 2: in the future, and that's what we want for you.

529
00:22:40,240 --> 00:22:42,320
Speaker 2: And plus, you know, keeps your stress levels lower, which

530
00:22:42,320 --> 00:22:44,880
Speaker 2: is massively underrated. We're not even going to talk about

531
00:22:44,880 --> 00:22:46,840
Speaker 2: stress and mental health. We're just talking about like then

532
00:22:46,880 --> 00:22:48,960
Speaker 2: nuts and bolts today, but keep that in mind as well.

533
00:22:49,040 --> 00:22:52,520
Speaker 1: Yeah, it's like these habits do have a ramification on

534
00:22:52,560 --> 00:22:54,879
Speaker 1: your mental acuity right on the bandwidth that you have

535
00:22:55,000 --> 00:22:57,720
Speaker 1: to tackle other more important things in life. That's not

536
00:22:57,840 --> 00:23:00,320
Speaker 1: the focus of this episode, but it's one hundred percent true.

537
00:23:00,440 --> 00:23:02,560
Speaker 2: Yeah, it literally loads your ikey points right.

538
00:23:02,960 --> 00:23:04,480
Speaker 1: Having a lot of debt on hand, right, there's like

539
00:23:04,520 --> 00:23:07,159
Speaker 1: studies to show that it's something like a twelve to

540
00:23:07,160 --> 00:23:10,800
Speaker 1: fourteen point IQ drop. And we want you to avoid

541
00:23:10,800 --> 00:23:12,639
Speaker 1: debt because we want you to be smart and happy.

542
00:23:12,880 --> 00:23:15,199
Speaker 1: But another habit that you're gonna want to adopt is

543
00:23:15,240 --> 00:23:18,199
Speaker 1: to avoid high inter straight debt like the plague. And

544
00:23:18,240 --> 00:23:20,639
Speaker 1: so yeah, when you when you take on debt, what

545
00:23:20,680 --> 00:23:24,000
Speaker 1: you're doing is you're giving your future self fewer options.

546
00:23:24,320 --> 00:23:26,480
Speaker 1: And so you want to be darn sure that the

547
00:23:26,520 --> 00:23:29,000
Speaker 1: debt you're taking on is fueling the future you want,

548
00:23:29,400 --> 00:23:34,400
Speaker 1: not preventing future possibilities. And the problem is most debt sucks, right,

549
00:23:34,440 --> 00:23:38,640
Speaker 1: Personal loans, revolving credit card debt, car loans like these

550
00:23:38,680 --> 00:23:41,159
Speaker 1: are the kind of things that allow you to consume

551
00:23:41,200 --> 00:23:44,119
Speaker 1: more now, leaving future you though on the hook for

552
00:23:44,160 --> 00:23:47,560
Speaker 1: those payments potentially seven, eight, nine years in the future.

553
00:23:47,560 --> 00:23:50,520
Speaker 1: When you're talking about something like all those kinds of debt,

554
00:23:50,560 --> 00:23:52,480
Speaker 1: but specific say car loans, there's a lot of people

555
00:23:52,480 --> 00:23:54,520
Speaker 1: taking out eight to nine year car loans now, Matt,

556
00:23:54,760 --> 00:23:57,240
Speaker 1: and so like, yeah, by the time that's terrible, you're

557
00:23:57,280 --> 00:24:00,159
Speaker 1: done with that car, hate it. You're halfway through, there's

558
00:24:00,160 --> 00:24:02,600
Speaker 1: car payments, and that's setting you up for the opposite

559
00:24:02,640 --> 00:24:05,560
Speaker 1: of financial success. And so, yeah, savvy financial folks, they

560
00:24:05,600 --> 00:24:07,639
Speaker 1: make it a habit to avoid all the above debts.

561
00:24:07,640 --> 00:24:09,439
Speaker 1: They don't want to mess with any of them, and

562
00:24:09,440 --> 00:24:10,880
Speaker 1: they don't want to play with fire because they don't

563
00:24:10,880 --> 00:24:13,680
Speaker 1: want to get burned. So we also stress on this

564
00:24:13,760 --> 00:24:16,080
Speaker 1: show that not all debt is bad. It's possible to

565
00:24:16,160 --> 00:24:19,600
Speaker 1: use debt wisely to give yourself more options in the future.

566
00:24:19,840 --> 00:24:23,800
Speaker 1: If we're talking about like a smart mortgage or a

567
00:24:23,840 --> 00:24:26,280
Speaker 1: reasonable amount of student loans to get a degree that's

568
00:24:26,320 --> 00:24:29,679
Speaker 1: going to improve your earning potential, those things, you know,

569
00:24:29,880 --> 00:24:32,560
Speaker 1: those aren't bad versions of debt. But avoiding the worst

570
00:24:32,560 --> 00:24:35,760
Speaker 1: debts and keeping even the potentially helpful debt in check

571
00:24:36,040 --> 00:24:37,520
Speaker 1: is a wise habit to get into.

572
00:24:37,720 --> 00:24:39,960
Speaker 2: And not honestly another reason too that it's good to

573
00:24:40,080 --> 00:24:42,320
Speaker 2: avoid debt. And we've talked about this towards the end

574
00:24:42,359 --> 00:24:44,920
Speaker 2: of last year when we were talking about pursuing happiness

575
00:24:44,960 --> 00:24:47,479
Speaker 2: in all the wrong ways. We're just poor predictors of

576
00:24:47,520 --> 00:24:49,160
Speaker 2: what it is that is going to make us happy.

577
00:24:49,280 --> 00:24:51,240
Speaker 2: We think that this is going to be something that's

578
00:24:51,280 --> 00:24:53,240
Speaker 2: going to make us happy, it's going to make us fulfilled.

579
00:24:53,600 --> 00:24:57,720
Speaker 2: And when those items oftentimes that we have to purchase,

580
00:24:58,119 --> 00:25:00,960
Speaker 2: when we finance them, we are stick our future selves,

581
00:25:00,960 --> 00:25:03,480
Speaker 2: like you said, Joel, with those payments. We are like,

582
00:25:03,520 --> 00:25:06,840
Speaker 2: I don't trust myself today to make some like the

583
00:25:06,920 --> 00:25:09,200
Speaker 2: right decision on when it comes to taking on debt

584
00:25:09,240 --> 00:25:11,800
Speaker 2: oftentimes to still be something that I think is going

585
00:25:11,840 --> 00:25:13,600
Speaker 2: to be worth it down the road. It's I mean,

586
00:25:13,680 --> 00:25:17,359
Speaker 2: that's why student loans and mortgages are typically the only

587
00:25:17,400 --> 00:25:19,640
Speaker 2: things that we like to see financed. If there's one

588
00:25:19,680 --> 00:25:21,359
Speaker 2: thing I feel like I've learned about myself over the

589
00:25:21,440 --> 00:25:26,280
Speaker 2: years is I change my mind sometimes and again I've

590
00:25:26,280 --> 00:25:28,240
Speaker 2: had this one path in my mind and I think, Oh,

591
00:25:28,280 --> 00:25:29,639
Speaker 2: this is going to make me happier. Oh, this is

592
00:25:29,640 --> 00:25:32,480
Speaker 2: going to make life easier. But then as time progresses,

593
00:25:32,720 --> 00:25:35,560
Speaker 2: as I'm mature, as different events present themselves and the

594
00:25:35,600 --> 00:25:38,919
Speaker 2: facts on the ground change, well, oftentimes that warrants a

595
00:25:39,000 --> 00:25:41,840
Speaker 2: change to the game plan as well. Yeah, and anytime

596
00:25:41,880 --> 00:25:44,800
Speaker 2: you are looking to take on any serious amount of debt,

597
00:25:45,040 --> 00:25:47,720
Speaker 2: we think you should probably think long and hard about

598
00:25:47,720 --> 00:25:49,120
Speaker 2: bringing that debt into your life.

599
00:25:49,720 --> 00:25:53,679
Speaker 1: Yeah, I think the habit of reflexively avoiding debt is

600
00:25:53,760 --> 00:25:55,679
Speaker 1: a good one to get into. Sure, it's not that,

601
00:25:55,840 --> 00:25:58,160
Speaker 1: like we said, occasionally, some kinds of debts and small

602
00:25:58,200 --> 00:26:00,600
Speaker 1: amounts aren't you know, they're not too able for you.

603
00:26:00,920 --> 00:26:06,120
Speaker 1: But kind of not buying into the popular American notion

604
00:26:06,640 --> 00:26:08,360
Speaker 1: that taking on debt isn't that big of a deal

605
00:26:08,480 --> 00:26:08,920
Speaker 1: is a good thing.

606
00:26:09,240 --> 00:26:11,720
Speaker 2: Yeah, we're saying no, is probably like a good knee

607
00:26:11,800 --> 00:26:14,119
Speaker 2: jerk reaction when it comes to taking on debt. So

608
00:26:14,119 --> 00:26:16,199
Speaker 2: I feel like that we've kind of covered the like

609
00:26:16,200 --> 00:26:18,639
Speaker 2: the frugal portion of our episode where we're just talking

610
00:26:18,640 --> 00:26:22,199
Speaker 2: about cutting expenses and saying no to yourself. And but

611
00:26:22,359 --> 00:26:26,280
Speaker 2: that being said, we're not opposed to splurging occasionally, right,

612
00:26:26,359 --> 00:26:29,320
Speaker 2: finding your craft beer equivalent, and finding ways to amplify

613
00:26:29,400 --> 00:26:32,600
Speaker 2: the joy that you receive from certain expenses in your life.

614
00:26:32,760 --> 00:26:35,760
Speaker 2: Let's move on from expenses and shift our focus to investing,

615
00:26:35,800 --> 00:26:39,760
Speaker 2: because another habit that financially successful folks implement in their

616
00:26:39,800 --> 00:26:43,440
Speaker 2: lives is to invest with regularity, right, Like, they don't

617
00:26:43,480 --> 00:26:45,680
Speaker 2: care much about what the market's doing with what it

618
00:26:45,720 --> 00:26:48,360
Speaker 2: did yesterday with what it's doing today, but they want

619
00:26:48,400 --> 00:26:52,639
Speaker 2: to take advantage of the market's wealth generating capabilities over time.

620
00:26:53,000 --> 00:26:55,600
Speaker 2: And so with that mind, they sock money away with

621
00:26:55,960 --> 00:26:59,120
Speaker 2: each and every paycheck into an employer sponsored retirement plan

622
00:26:59,200 --> 00:27:02,879
Speaker 2: like a four to one K, or by contributing without

623
00:27:02,920 --> 00:27:06,399
Speaker 2: fail to their own retirement account, their individual retirement account.

624
00:27:06,400 --> 00:27:09,639
Speaker 2: They're IIRA, and doing that regularly means that they're often

625
00:27:10,080 --> 00:27:13,520
Speaker 2: opting for the dollar cost averaging approach, which ensures that

626
00:27:13,520 --> 00:27:16,400
Speaker 2: you're doing the right thing on repeat, no matter what

627
00:27:16,440 --> 00:27:19,760
Speaker 2: the current micro trends are going on in the financial world.

628
00:27:19,960 --> 00:27:21,800
Speaker 2: And so when it comes to the specific types of

629
00:27:21,840 --> 00:27:23,800
Speaker 2: investments that we once you invested in, we're not talking

630
00:27:23,800 --> 00:27:26,199
Speaker 2: about single stock investing, we're not talking about crypto. We

631
00:27:26,240 --> 00:27:28,800
Speaker 2: want to make sure that you're invested in widely diversified,

632
00:27:28,880 --> 00:27:32,359
Speaker 2: low cost, if not free, index funds that represent the

633
00:27:32,480 --> 00:27:35,119
Speaker 2: entire market, or something like the S and P five hundred,

634
00:27:35,119 --> 00:27:38,239
Speaker 2: which is where like ninety eight percent of my all

635
00:27:38,320 --> 00:27:40,840
Speaker 2: my investing dollars are in are in different indexes that

636
00:27:40,880 --> 00:27:41,560
Speaker 2: track the SMP.

637
00:27:41,760 --> 00:27:46,280
Speaker 1: Yeah, and I think it's important to make investing a

638
00:27:46,320 --> 00:27:48,560
Speaker 1: regular habit, and that is what is going to lead

639
00:27:48,600 --> 00:27:51,800
Speaker 1: to financial success down the road. As those dollars compound

640
00:27:52,160 --> 00:27:54,120
Speaker 1: on top of each other, that's what's going to help

641
00:27:54,119 --> 00:27:54,800
Speaker 1: you build Well.

642
00:27:54,960 --> 00:27:58,000
Speaker 2: Just like Kelby, it's the small lens constantly over time.

643
00:27:57,800 --> 00:27:59,040
Speaker 1: Well, it's going to do a whole lot more. Not

644
00:27:59,040 --> 00:28:01,119
Speaker 1: that having money in the same these account isn't important,

645
00:28:01,200 --> 00:28:02,959
Speaker 1: but it's going to do a whole lot more because

646
00:28:03,040 --> 00:28:05,720
Speaker 1: your money's going to grow at a much more a

647
00:28:05,800 --> 00:28:10,120
Speaker 1: much quicker pace being invested in the economy as a whole,

648
00:28:10,119 --> 00:28:12,760
Speaker 1: as opposed to just sitting there in static savings.

649
00:28:12,960 --> 00:28:14,359
Speaker 2: All right, Yeah, we want we want to move you

650
00:28:14,400 --> 00:28:16,800
Speaker 2: beyond being a saver and instead of taking those dollars

651
00:28:16,840 --> 00:28:17,760
Speaker 2: and actually investing.

652
00:28:17,840 --> 00:28:20,200
Speaker 1: Yeah. Yeah, but automating your investments is one of the

653
00:28:20,240 --> 00:28:22,640
Speaker 1: most surefire ways to actually be able to achieve that success.

654
00:28:22,640 --> 00:28:25,800
Speaker 1: And so I like this, we going going back to

655
00:28:25,840 --> 00:28:28,520
Speaker 1: referencing our episode with Katie on Monday, But I mean,

656
00:28:28,600 --> 00:28:30,720
Speaker 1: you're able to take action one time and then you

657
00:28:30,720 --> 00:28:32,640
Speaker 1: don't really have to think about it again or revisit

658
00:28:32,720 --> 00:28:35,320
Speaker 1: that choice, really like you set it and forget it.

659
00:28:35,359 --> 00:28:38,400
Speaker 1: And so automation helps us do the right thing without

660
00:28:38,400 --> 00:28:40,960
Speaker 1: having to continue to decide to do that thing, which

661
00:28:40,960 --> 00:28:43,320
Speaker 1: I think is really important. It makes us less reliant

662
00:28:43,360 --> 00:28:45,960
Speaker 1: on our own discipline, It sets us up for success

663
00:28:46,000 --> 00:28:49,080
Speaker 1: when we'd otherwise be much more likely to become our

664
00:28:49,120 --> 00:28:52,840
Speaker 1: own worst enemy. Automation is just crucial on the investing front,

665
00:28:53,080 --> 00:28:55,560
Speaker 1: so that you don't have to Like, habits are great,

666
00:28:55,880 --> 00:28:58,680
Speaker 1: but a habit that you can set and forget so

667
00:28:58,720 --> 00:29:01,640
Speaker 1: that you don't have to teamually have the willpower to

668
00:29:01,680 --> 00:29:05,120
Speaker 1: push yourself in the right direction is massively important too, exactly.

669
00:29:05,160 --> 00:29:07,800
Speaker 2: Yeah, And that's where setting that percentage of your paycheck

670
00:29:07,880 --> 00:29:11,040
Speaker 2: that comes out every two weeks to go into investments

671
00:29:11,160 --> 00:29:13,880
Speaker 2: is definitely the easiest way to go about it. But

672
00:29:13,920 --> 00:29:15,440
Speaker 2: then for all the folks who don't have a work

673
00:29:15,480 --> 00:29:18,200
Speaker 2: sponsor retirement account, I think one of the best nuggets

674
00:29:18,240 --> 00:29:20,520
Speaker 2: of advice that Katie was able to give us on

675
00:29:20,520 --> 00:29:23,120
Speaker 2: Monday based on research is to make it fun and

676
00:29:23,160 --> 00:29:24,600
Speaker 2: that Joeld this is like one of the things I

677
00:29:24,640 --> 00:29:26,720
Speaker 2: think this was your big takeaway from that episode. Yeah,

678
00:29:26,720 --> 00:29:29,200
Speaker 2: but find a way to transform something that feels like

679
00:29:29,280 --> 00:29:33,280
Speaker 2: drudgery or even as like deprivation. Right, it's like you're thinking, oh,

680
00:29:33,560 --> 00:29:36,040
Speaker 2: this is money that I'm not able to spend on

681
00:29:36,120 --> 00:29:38,640
Speaker 2: the fun things here and now. Well, ay, remind yourself

682
00:29:38,720 --> 00:29:41,120
Speaker 2: that this is actually something that you are doing for

683
00:29:41,200 --> 00:29:43,600
Speaker 2: future you. But there are very small ways that you

684
00:29:43,640 --> 00:29:46,120
Speaker 2: can make investing that money fun in the here now,

685
00:29:46,160 --> 00:29:48,440
Speaker 2: where you are able to take advantage of that sort

686
00:29:48,480 --> 00:29:51,440
Speaker 2: of immediate gratification that you would realize. And like, one

687
00:29:51,440 --> 00:29:52,959
Speaker 2: of the things that Kate and I do is at

688
00:29:52,960 --> 00:29:54,680
Speaker 2: the beginning of every single year that like we don't

689
00:29:54,720 --> 00:29:56,160
Speaker 2: do dollar cost averaging, we save out.

690
00:29:56,000 --> 00:29:56,479
Speaker 1: The previous year.

691
00:29:56,520 --> 00:29:59,400
Speaker 2: That way we're able to release those dollars now basically

692
00:29:59,400 --> 00:30:02,120
Speaker 2: at the beginning of every single year. And we just

693
00:30:02,160 --> 00:30:04,840
Speaker 2: did that recently, and we marked the occasion by me

694
00:30:04,920 --> 00:30:07,920
Speaker 2: going out and buying an extra faincy beer, and that night,

695
00:30:07,960 --> 00:30:09,600
Speaker 2: after we put the kids down, we crack that bad

696
00:30:09,600 --> 00:30:11,560
Speaker 2: Boy open and Kate was just like, okay, why we

697
00:30:11,720 --> 00:30:16,080
Speaker 2: what's what's what's the special occasion? And I remind her that, like, hey,

698
00:30:16,080 --> 00:30:17,960
Speaker 2: this is renax out this or such a can. This

699
00:30:18,040 --> 00:30:20,280
Speaker 2: is what we just did, and it's just a very

700
00:30:20,320 --> 00:30:23,560
Speaker 2: small way just to mark the occasion. But also by

701
00:30:23,600 --> 00:30:26,920
Speaker 2: associating this fun thing that we do, it's not again,

702
00:30:27,200 --> 00:30:29,640
Speaker 2: just this thing that works in the background without us

703
00:30:30,000 --> 00:30:32,800
Speaker 2: realizing that it's happening. It's something that we are actually

704
00:30:33,120 --> 00:30:36,360
Speaker 2: enjoying and partaking into here and now, just via something

705
00:30:36,440 --> 00:30:37,520
Speaker 2: like a delicious craft beer.

706
00:30:37,600 --> 00:30:40,480
Speaker 1: Yeah. I do think that attachment to fun is important,

707
00:30:40,960 --> 00:30:43,200
Speaker 1: and I think it's important to mention too that automation

708
00:30:43,360 --> 00:30:45,240
Speaker 1: it doesn't just apply to investing, like I think that

709
00:30:45,400 --> 00:30:50,080
Speaker 1: is one of the best easiest places to implement automation

710
00:30:50,200 --> 00:30:52,000
Speaker 1: into your life, but it also applies to paying your

711
00:30:52,000 --> 00:30:54,160
Speaker 1: bills on time so full as well, right, because if

712
00:30:54,200 --> 00:30:56,280
Speaker 1: you have to manually pay your credit card bill every month,

713
00:30:56,320 --> 00:30:58,720
Speaker 1: there's a chance that you're gonna forget right, which might

714
00:30:58,840 --> 00:31:01,200
Speaker 1: incur you penalties and intro and so for a lot

715
00:31:01,240 --> 00:31:02,560
Speaker 1: of folks, it's going to be best to set up

716
00:31:02,560 --> 00:31:05,760
Speaker 1: recurring payments that pay off the statement in full right.

717
00:31:05,840 --> 00:31:07,719
Speaker 1: And so the more we automate, the less we have

718
00:31:07,800 --> 00:31:11,200
Speaker 1: to rely on our flawed selves to make smart decisions. Habits,

719
00:31:11,200 --> 00:31:13,600
Speaker 1: they're important, but automation is just the best tool for

720
00:31:13,640 --> 00:31:16,960
Speaker 1: folks who think of themselves as weak willed, which I do, Matt,

721
00:31:17,000 --> 00:31:19,640
Speaker 1: I don't feel like I've got I'm the most disciplined

722
00:31:19,640 --> 00:31:21,719
Speaker 1: guy in the world. I certainly no James clear who

723
00:31:21,720 --> 00:31:22,880
Speaker 1: wrote the book Atomic Habits.

724
00:31:22,880 --> 00:31:26,000
Speaker 2: And even for the most strong willed person, there are

725
00:31:26,040 --> 00:31:28,640
Speaker 2: always going to be times when they fail. Yeah, are

726
00:31:28,640 --> 00:31:30,200
Speaker 2: you just like that's just how it is forget right?

727
00:31:30,200 --> 00:31:32,000
Speaker 2: Which happens, Which is one of the things we talked about.

728
00:31:31,840 --> 00:31:34,240
Speaker 1: As well on Monday. But while I'm all for cultivating

729
00:31:34,320 --> 00:31:36,640
Speaker 1: better habits in my life, off, I'm certainly I'm more

730
00:31:36,720 --> 00:31:39,000
Speaker 1: than open to taking those easy automation wins wherever I can.

731
00:31:39,120 --> 00:31:43,200
Speaker 2: Sure, But with that in mind, I think this is

732
00:31:43,200 --> 00:31:44,760
Speaker 2: going to sound like the exact opposite of what you

733
00:31:44,800 --> 00:31:46,280
Speaker 2: just said about automation.

734
00:31:46,800 --> 00:31:49,000
Speaker 1: I'm nothing if not contrarian, I promise that's not. But

735
00:31:49,000 --> 00:31:52,200
Speaker 1: we also want you to revisit the things that you've automated,

736
00:31:52,560 --> 00:31:54,960
Speaker 1: and oftentimes on an annual basis, because we don't want

737
00:31:55,120 --> 00:31:58,640
Speaker 1: you to over rely on automation. And the reason for

738
00:31:58,720 --> 00:32:00,560
Speaker 1: that is because, like mostly so, they you can crank

739
00:32:00,600 --> 00:32:03,120
Speaker 1: up that savings in that investing rate, right and so,

740
00:32:03,120 --> 00:32:07,080
Speaker 1: for instance, going back to the work sponsor retirement account,

741
00:32:07,080 --> 00:32:10,880
Speaker 1: if you're contributing three percent automatically now and you're not

742
00:32:10,920 --> 00:32:13,080
Speaker 1: getting the full match, well, we want you to have

743
00:32:13,160 --> 00:32:15,040
Speaker 1: a plan to raise that in the coming months, in

744
00:32:15,080 --> 00:32:18,640
Speaker 1: the coming years. And so automation is great, but we

745
00:32:18,680 --> 00:32:20,760
Speaker 1: just don't want you to completely forget about it to

746
00:32:20,800 --> 00:32:23,640
Speaker 1: the point that you're never increasing those amounts, that you're

747
00:32:23,640 --> 00:32:27,120
Speaker 1: never challenging yourself to sock away more for retirement. That

748
00:32:27,160 --> 00:32:29,360
Speaker 1: being said, there are some four one K providers actually

749
00:32:29,400 --> 00:32:32,680
Speaker 1: that lets you schedule increases in advance as well, which

750
00:32:32,720 --> 00:32:37,120
Speaker 1: is super cool. You can automate your automation, yeah, exactly,

751
00:32:37,440 --> 00:32:39,040
Speaker 1: it's got this escalator built in.

752
00:32:39,480 --> 00:32:41,880
Speaker 2: And so that's the downside of automation on the investing front.

753
00:32:41,880 --> 00:32:44,680
Speaker 2: But there's the downside when it comes to your expenses

754
00:32:44,720 --> 00:32:48,040
Speaker 2: as well, because if you have automatic payments you're also

755
00:32:48,200 --> 00:32:52,320
Speaker 2: to a certain extent, you're being insulated from fluctuations that

756
00:32:52,360 --> 00:32:54,160
Speaker 2: you might see in your bill. And this is specifically,

757
00:32:54,200 --> 00:32:56,520
Speaker 2: let's say, on utilities, which is something exactly. I still

758
00:32:56,520 --> 00:32:58,400
Speaker 2: have it set up on an automatic payment, but I look

759
00:32:58,400 --> 00:32:59,760
Speaker 2: at that bill every month because I want to know

760
00:32:59,800 --> 00:33:01,800
Speaker 2: my want to feel that pain. I want to feel

761
00:33:01,800 --> 00:33:04,360
Speaker 2: the pain even though I'm still auto paying it. I

762
00:33:04,400 --> 00:33:07,080
Speaker 2: don't just like forget that it exists exactly and forget

763
00:33:07,120 --> 00:33:08,920
Speaker 2: how much I'm spending. And this is kind of an

764
00:33:08,960 --> 00:33:14,160
Speaker 2: argument again for tracking and budgeting again because because I too,

765
00:33:14,360 --> 00:33:16,600
Speaker 2: all of my utilities are set up on autopay. That way,

766
00:33:16,640 --> 00:33:19,440
Speaker 2: I'm never going to get a late payment, any sort

767
00:33:19,480 --> 00:33:21,800
Speaker 2: of fee associated with not paying that on time. But

768
00:33:22,120 --> 00:33:24,640
Speaker 2: because I manually enter all my expenses into the budget,

769
00:33:24,680 --> 00:33:26,920
Speaker 2: that allows me again to kind of feel that pain.

770
00:33:27,720 --> 00:33:30,160
Speaker 2: And because of that, Like this is something I did recently, Joel,

771
00:33:30,200 --> 00:33:33,120
Speaker 2: like once it's started getting cold a few months ago,

772
00:33:33,480 --> 00:33:35,760
Speaker 2: and I was shocked to see the amount that we're

773
00:33:35,800 --> 00:33:39,000
Speaker 2: paying when it came to gas, our our energy bill.

774
00:33:39,400 --> 00:33:41,200
Speaker 2: And so since we've been in the new house, I'd

775
00:33:41,200 --> 00:33:44,840
Speaker 2: never programmed the thermostat, but you know what, seeing that

776
00:33:44,880 --> 00:33:47,920
Speaker 2: bill caused me to say, oh, it's time to fit.

777
00:33:48,080 --> 00:33:50,520
Speaker 2: And partly it is because it's not a nest thermostat,

778
00:33:50,560 --> 00:33:53,160
Speaker 2: which makes it so stink and easy to like schedule

779
00:33:53,200 --> 00:33:54,720
Speaker 2: the week. It's one of the traditional ones where you

780
00:33:54,720 --> 00:33:56,840
Speaker 2: have to like go to program at our yeah, wake

781
00:33:56,920 --> 00:33:59,960
Speaker 2: up time, leave home, arrive at home, sleep like that whole.

782
00:34:00,200 --> 00:34:02,040
Speaker 2: I hate that they don't make it easy.

783
00:34:02,040 --> 00:34:04,120
Speaker 1: Maybe at some point you replace maybe, but.

784
00:34:04,400 --> 00:34:06,200
Speaker 2: That they said that caused me to be like, you

785
00:34:06,200 --> 00:34:07,720
Speaker 2: know what, I want to spend a few minutes figure

786
00:34:07,720 --> 00:34:10,920
Speaker 2: the stupid thing out and guess what. The next month's

787
00:34:11,120 --> 00:34:12,600
Speaker 2: gas bill reflected that change.

788
00:34:12,640 --> 00:34:14,759
Speaker 1: There you go. I like it. Well, okay, so we

789
00:34:14,760 --> 00:34:17,560
Speaker 1: talked about investing in automation here, but we say, like,

790
00:34:17,840 --> 00:34:22,920
Speaker 1: another habit that financially successful people partake in is investing

791
00:34:23,080 --> 00:34:26,520
Speaker 1: in themselves, right, which that would say that contributes to

792
00:34:26,600 --> 00:34:29,000
Speaker 1: a whole lot of financial success over time. And this

793
00:34:29,000 --> 00:34:31,480
Speaker 1: this doesn't mean that you've got to work over like

794
00:34:31,520 --> 00:34:33,880
Speaker 1: forty or fifty thousand dollars for an advanced degree. That

795
00:34:33,960 --> 00:34:35,759
Speaker 1: doesn't mean you got to go back to school for

796
00:34:35,760 --> 00:34:38,000
Speaker 1: three more years. I mean that time for that MBA,

797
00:34:38,400 --> 00:34:39,719
Speaker 1: I mean that might be what you ought to do

798
00:34:39,760 --> 00:34:41,560
Speaker 1: and that might be the best choice for you, but

799
00:34:41,600 --> 00:34:45,160
Speaker 1: we're also talking about spending the time, the energy, and

800
00:34:45,239 --> 00:34:47,680
Speaker 1: sometimes the cash to grow as a person and to

801
00:34:47,760 --> 00:34:49,360
Speaker 1: learn the skills that are going to allow you to

802
00:34:49,400 --> 00:34:52,479
Speaker 1: earn more money. Investing in yourself it's not just good

803
00:34:52,480 --> 00:34:55,440
Speaker 1: for your bottom line, but it's also super rewarding right

804
00:34:55,480 --> 00:34:57,479
Speaker 1: at the most basic human level. It feeds your thirst

805
00:34:57,560 --> 00:35:00,479
Speaker 1: for knowledge and growth and not to mention, it's fun

806
00:35:00,560 --> 00:35:03,839
Speaker 1: because it means often making new social connections, yeah, which

807
00:35:03,840 --> 00:35:06,399
Speaker 1: allows you to widen your network. And so we would

808
00:35:06,440 --> 00:35:09,000
Speaker 1: say make it a habit to find multiple ways each

809
00:35:09,080 --> 00:35:10,719
Speaker 1: year to grow as a person, and that can be

810
00:35:11,040 --> 00:35:13,520
Speaker 1: something directly related to your current career or the one

811
00:35:13,640 --> 00:35:16,040
Speaker 1: you want, or just embarking on a new hobby because

812
00:35:16,280 --> 00:35:18,799
Speaker 1: stretching yourself in new ways is a game changer for

813
00:35:18,880 --> 00:35:22,720
Speaker 1: us as humans. And this is the habit, this stretching

814
00:35:22,760 --> 00:35:25,640
Speaker 1: yourself habit and growing yourself and investing in yourself that

815
00:35:25,719 --> 00:35:28,839
Speaker 1: we think is something worth continually partaking in.

816
00:35:29,080 --> 00:35:31,560
Speaker 2: And plus, I think folks would be surprised too at

817
00:35:31,640 --> 00:35:35,040
Speaker 2: what I'll call the spillover effect, which is they start

818
00:35:35,120 --> 00:35:37,480
Speaker 2: participating and like you said, like maybe a hobby that

819
00:35:37,520 --> 00:35:40,879
Speaker 2: they think is completely unrelated to their nine to five,

820
00:35:41,280 --> 00:35:43,040
Speaker 2: But then they find there are certain little lessons that

821
00:35:43,040 --> 00:35:45,560
Speaker 2: they're learning from their new hobby, or there's certain new

822
00:35:45,600 --> 00:35:48,680
Speaker 2: friendships that they're able to be made while they're working out,

823
00:35:48,760 --> 00:35:53,160
Speaker 2: Like there are all these additional, unexpected indirect ways that

824
00:35:53,360 --> 00:35:56,600
Speaker 2: ultimately it really can boost your bottom line. It really

825
00:35:56,600 --> 00:35:59,360
Speaker 2: can boost your income over time. But similar to investing

826
00:35:59,400 --> 00:36:01,560
Speaker 2: in yourself in order to make more money, we think

827
00:36:01,560 --> 00:36:05,719
Speaker 2: it's also important to prioritize financial education as well. And

828
00:36:05,800 --> 00:36:08,640
Speaker 2: so you know whether that's doing exactly what you're doing

829
00:36:08,719 --> 00:36:11,440
Speaker 2: right now, which is listening to a personal finance podcast

830
00:36:11,680 --> 00:36:14,400
Speaker 2: a few times a week, or like just picking up

831
00:36:14,560 --> 00:36:17,319
Speaker 2: one money book to read each and every quarter of

832
00:36:17,320 --> 00:36:19,719
Speaker 2: the year. But folks who are successful with their finances

833
00:36:19,760 --> 00:36:23,439
Speaker 2: are all about regularly upping their knowledge. It's interesting because

834
00:36:23,440 --> 00:36:25,600
Speaker 2: money is this fascinating space because it's not like there

835
00:36:25,600 --> 00:36:27,560
Speaker 2: are a bunch of like new rules, Like there's not

836
00:36:27,600 --> 00:36:29,080
Speaker 2: a bunch of new things that you need to learn

837
00:36:29,120 --> 00:36:30,160
Speaker 2: on an ongoing basis.

838
00:36:30,320 --> 00:36:32,640
Speaker 1: It's not constantly changing or someone no, yeah.

839
00:36:32,480 --> 00:36:35,359
Speaker 2: It's it's kind of like astronomy. It's like maybe every

840
00:36:35,400 --> 00:36:37,719
Speaker 2: now and then they're gonna decide that Pluto is not

841
00:36:37,760 --> 00:36:40,320
Speaker 2: a planet anymore, and then they'll change it back or

842
00:36:40,560 --> 00:36:43,359
Speaker 2: poor Pluto, I miss it. But you can go far,

843
00:36:43,560 --> 00:36:45,920
Speaker 2: you know, just by knowing and practicing the fundamentals. But

844
00:36:45,960 --> 00:36:48,560
Speaker 2: that doesn't mean that the world of personal finance isn't

845
00:36:48,719 --> 00:36:52,840
Speaker 2: isn't changing and involving in particular, whether that's like the

846
00:36:52,880 --> 00:36:56,520
Speaker 2: focus on like the behavioral psychology of personal finance. I

847
00:36:56,560 --> 00:36:59,120
Speaker 2: feel like that's something that's gotten a lot more attention

848
00:36:59,280 --> 00:37:01,920
Speaker 2: given to it over the the past few years. But yeah,

849
00:37:01,960 --> 00:37:06,040
Speaker 2: continuing education and looking at the different sources of personal

850
00:37:06,080 --> 00:37:08,560
Speaker 2: finance information out there, it'll allow you to just make

851
00:37:08,600 --> 00:37:11,480
Speaker 2: some subtle changes that will help you in your progress.

852
00:37:11,840 --> 00:37:15,919
Speaker 2: So we're dolling out all these different sports and analogy sports analogies, Joel,

853
00:37:15,960 --> 00:37:18,480
Speaker 2: But just like like sports go through different phases like

854
00:37:18,520 --> 00:37:20,239
Speaker 2: this as well, Like it makes in the NBA, like

855
00:37:20,280 --> 00:37:22,040
Speaker 2: back in the day, you're looking for these dudes that

856
00:37:22,080 --> 00:37:24,680
Speaker 2: could freaking dunk the ball, Like do you go down

857
00:37:24,680 --> 00:37:26,319
Speaker 2: the lane? Does it go up the lane? Is that

858
00:37:26,360 --> 00:37:27,479
Speaker 2: is that how it goes in the paint?

859
00:37:27,520 --> 00:37:30,440
Speaker 1: Maybe? Yeah, But like I know, down photos were all

860
00:37:30,440 --> 00:37:33,120
Speaker 1: the rage twenty years ago, and now it's more of

861
00:37:33,120 --> 00:37:33,759
Speaker 1: the shooting guards.

862
00:37:33,760 --> 00:37:35,399
Speaker 2: You're looking at the guys that can that can shoot

863
00:37:35,400 --> 00:37:36,040
Speaker 2: the three pointers.

864
00:37:36,239 --> 00:37:36,479
Speaker 1: Well.

865
00:37:36,520 --> 00:37:40,440
Speaker 2: Personal finance also has some similar shifts that we've seen recently.

866
00:37:40,480 --> 00:37:42,840
Speaker 2: For instance, for years, if you were a saver, it

867
00:37:42,880 --> 00:37:47,040
Speaker 2: felt like you were totally getting the shaft. But now

868
00:37:47,160 --> 00:37:49,200
Speaker 2: there are a lot of different places that savers can

869
00:37:49,239 --> 00:37:51,759
Speaker 2: put their money, and like, specifically I'm thinking about eyebonds,

870
00:37:52,239 --> 00:37:54,600
Speaker 2: the different high yield savings accounts that are available to

871
00:37:54,719 --> 00:37:57,000
Speaker 2: a lot of savers out there. Given the high amount

872
00:37:57,000 --> 00:38:00,000
Speaker 2: of inflation that we are now experience.

873
00:38:00,200 --> 00:38:03,560
Speaker 1: Yeah, spend less than you earn is like duh, right,

874
00:38:03,600 --> 00:38:05,720
Speaker 1: and that's like basic, the most basic of basic personal

875
00:38:05,719 --> 00:38:08,800
Speaker 1: times in the middle. Yeah, but you're right, as different

876
00:38:08,800 --> 00:38:12,440
Speaker 1: things change, as inflation soars in one area and not

877
00:38:12,520 --> 00:38:14,640
Speaker 1: as much in another, like it should influence our habits

878
00:38:14,760 --> 00:38:17,640
Speaker 1: how we buy things, and it should influence how we

879
00:38:17,760 --> 00:38:19,719
Speaker 1: save and where we save and stuff like that too,

880
00:38:19,760 --> 00:38:23,640
Speaker 1: So you're right. It's like it's not like the the

881
00:38:23,680 --> 00:38:27,000
Speaker 1: generic advice changes, but sometimes these specific actions that we

882
00:38:27,040 --> 00:38:29,720
Speaker 1: take do need to shift based on what's happening. So totally,

883
00:38:29,760 --> 00:38:31,839
Speaker 1: I think it's a good point. But there's some less

884
00:38:31,880 --> 00:38:33,960
Speaker 1: tactical habits that are worth implementing as well that are

885
00:38:33,960 --> 00:38:36,760
Speaker 1: going to help I think our listeners in massive ways

886
00:38:36,760 --> 00:38:38,520
Speaker 1: in the coming years when it comes to achieving their

887
00:38:38,520 --> 00:38:40,839
Speaker 1: financial goals. Let's get to those. We'll talk about that

888
00:38:40,920 --> 00:38:41,480
Speaker 1: right after this.

889
00:38:50,920 --> 00:38:53,759
Speaker 2: All right, we are back, Juel, and you know, we're

890
00:38:53,800 --> 00:38:57,000
Speaker 2: continuing our discussion on the essential habits for financial success,

891
00:38:57,520 --> 00:38:59,640
Speaker 2: and so let's kind of keep that gravy train rolling. Man.

892
00:38:59,680 --> 00:39:03,120
Speaker 2: Another thing that financially successful folks do is they hang

893
00:39:03,160 --> 00:39:05,759
Speaker 2: out with like minded folks. And not only that, but

894
00:39:05,800 --> 00:39:09,919
Speaker 2: they also avoid comparing themselves to folks who they don't

895
00:39:09,920 --> 00:39:12,840
Speaker 2: want to be like. The folks we spend most of

896
00:39:12,880 --> 00:39:14,799
Speaker 2: our lives with are going to influence us more than

897
00:39:14,800 --> 00:39:18,040
Speaker 2: we think we are. We're social beings, and you know

898
00:39:18,080 --> 00:39:20,839
Speaker 2: what we think of just as normal day to day

899
00:39:20,840 --> 00:39:24,840
Speaker 2: decisions and our world views like they're often a construction

900
00:39:25,040 --> 00:39:27,000
Speaker 2: of what the like the four or five people that

901
00:39:27,040 --> 00:39:29,040
Speaker 2: we're closest to, what it is that they are doing,

902
00:39:29,080 --> 00:39:30,920
Speaker 2: what it is that they think about those things. And

903
00:39:30,960 --> 00:39:33,440
Speaker 2: so if our best friends are downsizing their car fleets

904
00:39:33,440 --> 00:39:35,520
Speaker 2: in order to save money, well, guess what that's going

905
00:39:35,560 --> 00:39:37,960
Speaker 2: to influence us in a positive way as well, helping

906
00:39:38,320 --> 00:39:41,920
Speaker 2: helping us to curb consumption. But on the contrary, if

907
00:39:41,920 --> 00:39:45,680
Speaker 2: they're buying a lake house that's out of their price range,

908
00:39:45,719 --> 00:39:47,120
Speaker 2: or they're buying a boat or something like that, if

909
00:39:47,120 --> 00:39:48,840
Speaker 2: they're draining their four oh one K in order to

910
00:39:48,880 --> 00:39:52,000
Speaker 2: make expenses like that happen, while, we're also going to

911
00:39:52,040 --> 00:39:53,960
Speaker 2: be more likely to follow suit, and so it's just

912
00:39:54,000 --> 00:39:55,920
Speaker 2: important to keep that in mind. Right, It's not that

913
00:39:55,960 --> 00:39:59,040
Speaker 2: we can't be friends with folks who think about the

914
00:39:59,080 --> 00:40:02,279
Speaker 2: world differently, who handle money differently than we do, but

915
00:40:02,400 --> 00:40:04,960
Speaker 2: just make it a habit to spend maybe more time

916
00:40:05,000 --> 00:40:08,160
Speaker 2: with folks who handle their money well and who will

917
00:40:08,160 --> 00:40:10,040
Speaker 2: also motivate you to do the same.

918
00:40:10,160 --> 00:40:12,160
Speaker 1: Yeah. I just recently hung out with a friend who

919
00:40:12,160 --> 00:40:14,480
Speaker 1: hadn't seen in quite a while, and he has a

920
00:40:14,719 --> 00:40:19,520
Speaker 1: friend I know, right shock, but it's not allowed. But

921
00:40:19,640 --> 00:40:23,360
Speaker 1: he has a brand new Rivian SUV. We have talked,

922
00:40:24,239 --> 00:40:26,279
Speaker 1: we have talked on this show that there's like only

923
00:40:26,280 --> 00:40:28,800
Speaker 1: eight hundred and something of them in existence, and so goodness,

924
00:40:28,960 --> 00:40:31,600
Speaker 1: it was pretty impressive to see. Like I've been obsessed

925
00:40:31,600 --> 00:40:34,320
Speaker 1: with Rivians for ever since I heard about them. Basically,

926
00:40:34,400 --> 00:40:36,000
Speaker 1: I think they're now you're gonna get one, right, One

927
00:40:36,040 --> 00:40:38,440
Speaker 1: of the most beautifully designed vehicles in the world, and

928
00:40:38,480 --> 00:40:39,839
Speaker 1: so I was like, man, I'm excited to hang out

929
00:40:39,840 --> 00:40:41,160
Speaker 1: with him, but I'm also excited to see in this

930
00:40:41,239 --> 00:40:44,040
Speaker 1: car and they are dope. I got a chance to

931
00:40:44,080 --> 00:40:45,960
Speaker 1: ride in it, and I was like, man, if I

932
00:40:46,040 --> 00:40:49,640
Speaker 1: hung out with this buddy too much, I would be

933
00:40:49,920 --> 00:40:53,000
Speaker 1: so enticed to do to spend the money differently to

934
00:40:53,040 --> 00:40:55,200
Speaker 1: buy a fancy new car. But I actually walked away

935
00:40:55,200 --> 00:40:57,960
Speaker 1: from that being like, man, it's I'm not I don't

936
00:40:57,960 --> 00:40:58,959
Speaker 1: care anymore.

937
00:40:58,680 --> 00:41:00,760
Speaker 2: Like like, I'm so glad that we're not closer, because

938
00:41:01,960 --> 00:41:03,200
Speaker 2: I'm so glad that I made a.

939
00:41:03,200 --> 00:41:04,879
Speaker 1: Vow not to see him again for at least two more. Yeah,

940
00:41:05,600 --> 00:41:07,719
Speaker 1: got to get your ratios and check right. But it's

941
00:41:07,760 --> 00:41:10,360
Speaker 1: I mean, it's cool, but I get I totally understood

942
00:41:10,840 --> 00:41:14,319
Speaker 1: after that hang how just spending more time together would

943
00:41:14,400 --> 00:41:16,040
Speaker 1: lead me down this path. And so you have to

944
00:41:16,080 --> 00:41:17,960
Speaker 1: be cognizant of who you're spending time with because it

945
00:41:17,960 --> 00:41:19,560
Speaker 1: does impact the decisions that you make.

946
00:41:19,880 --> 00:41:20,840
Speaker 2: And part of that.

947
00:41:20,719 --> 00:41:23,600
Speaker 1: Means I think we need to be we need to

948
00:41:23,600 --> 00:41:25,319
Speaker 1: be making it a habit to talk about money more

949
00:41:25,320 --> 00:41:27,880
Speaker 1: in general. And it is like it's obviously it's a

950
00:41:27,960 --> 00:41:29,920
Speaker 1: taboo topic. For a lot of people. Most people try

951
00:41:29,960 --> 00:41:31,719
Speaker 1: to avoid it. Most of your friends probably don't want

952
00:41:31,719 --> 00:41:32,920
Speaker 1: to talk to you about money if you try to

953
00:41:32,920 --> 00:41:34,840
Speaker 1: bring it up. But whether you're making it something like

954
00:41:35,040 --> 00:41:37,520
Speaker 1: a formal monthly conversation amongst friends over a.

955
00:41:37,480 --> 00:41:40,760
Speaker 2: Beer, like a money club, Yeah, something like that. Yeah,

956
00:41:40,840 --> 00:41:42,600
Speaker 2: I mean, however you want to you can even use

957
00:41:42,640 --> 00:41:46,080
Speaker 2: that name that what we heard. It can be like

958
00:41:46,160 --> 00:41:48,560
Speaker 2: formal or informal, like however you want to tackle it.

959
00:41:48,600 --> 00:41:51,000
Speaker 2: But we would say like having money conversations is going

960
00:41:51,040 --> 00:41:53,480
Speaker 2: to move the needle for you over time. So you

961
00:41:53,640 --> 00:41:56,320
Speaker 2: offer it up an opinion, share a struggle, or discuss

962
00:41:56,680 --> 00:41:58,480
Speaker 2: the money goal that you're trying to achieve this year

963
00:41:58,560 --> 00:42:00,560
Speaker 2: with some people you care about, people that are close

964
00:42:00,600 --> 00:42:03,759
Speaker 2: to you. You might find encouragement, accountability, or insight that

965
00:42:03,760 --> 00:42:06,040
Speaker 2: you'd otherwise be missing out on. But I think that's

966
00:42:06,080 --> 00:42:09,360
Speaker 2: a habit that also has lasting impacts. The more we

967
00:42:09,400 --> 00:42:11,400
Speaker 2: kind of avoid this topic, the more it's like an

968
00:42:11,440 --> 00:42:14,160
Speaker 2: elephant in the room that we just like never ever

969
00:42:14,840 --> 00:42:17,400
Speaker 2: broach the subject of. The more we relegate it to

970
00:42:18,160 --> 00:42:20,799
Speaker 2: like and never being spoken of, the less likely we

971
00:42:20,840 --> 00:42:24,040
Speaker 2: are to make progress in our own lives. I think, yeah,

972
00:42:24,440 --> 00:42:26,959
Speaker 2: it just shows how uncomfortable we are with money as.

973
00:42:26,880 --> 00:42:27,880
Speaker 1: A whole totally.

974
00:42:27,960 --> 00:42:30,279
Speaker 2: Yeah, I mean, and while like, if you're listening to

975
00:42:30,360 --> 00:42:32,040
Speaker 2: the show, like there's a chance that you might make

976
00:42:32,200 --> 00:42:34,880
Speaker 2: pretty decent decisions when it comes to your money, if

977
00:42:34,880 --> 00:42:36,720
Speaker 2: you're not opting to talk about it with your friends

978
00:42:37,239 --> 00:42:39,319
Speaker 2: who aren't listening to our show, there's a good chance

979
00:42:39,320 --> 00:42:41,680
Speaker 2: that they're going to make poor decisions because of that.

980
00:42:41,960 --> 00:42:44,799
Speaker 2: They say that, like sunshine is the best disinfectant, right,

981
00:42:45,040 --> 00:42:47,279
Speaker 2: and so in that way, we want to bring these

982
00:42:47,560 --> 00:42:50,359
Speaker 2: financial conversations to light. And we I mean, we talked

983
00:42:50,400 --> 00:42:52,560
Speaker 2: a lot about this, like during the early days of

984
00:42:52,560 --> 00:42:53,080
Speaker 2: our podcast.

985
00:42:53,080 --> 00:42:54,640
Speaker 1: And by the way, this does not mean beating your

986
00:42:54,640 --> 00:42:56,439
Speaker 1: friend over the head with the Cramcy book or something

987
00:42:56,480 --> 00:42:58,200
Speaker 1: like that, but it does mean, like, like I said,

988
00:42:58,200 --> 00:43:00,400
Speaker 1: there's all sorts of soft ways to get in discuss,

989
00:43:00,440 --> 00:43:01,839
Speaker 1: casual ways to go about it.

990
00:43:01,920 --> 00:43:04,640
Speaker 2: And we just want folks to talk more about money

991
00:43:04,680 --> 00:43:07,040
Speaker 2: because the more you talk about it, the more interesting

992
00:43:07,120 --> 00:43:08,600
Speaker 2: is going to become, and the more you'll be able

993
00:43:08,600 --> 00:43:11,360
Speaker 2: to challenge each other to make wiser financial decisions. Like

994
00:43:11,360 --> 00:43:14,720
Speaker 2: there's a degree of accountability and honestly, just the ability

995
00:43:14,760 --> 00:43:18,120
Speaker 2: for you to provide a differing opinion. You know, like

996
00:43:18,160 --> 00:43:20,680
Speaker 2: somebody they might be surrounded by their four or five

997
00:43:20,719 --> 00:43:23,399
Speaker 2: people in their neighborhood and they're being encouraged to make

998
00:43:23,440 --> 00:43:25,440
Speaker 2: certain purchases in life because that's just what everybody in

999
00:43:25,440 --> 00:43:27,640
Speaker 2: the neighborhood's doing. But what they really need is that

1000
00:43:27,719 --> 00:43:31,920
Speaker 2: frugal contrarian that you might be. That might be the

1001
00:43:32,040 --> 00:43:34,120
Speaker 2: role that you need to play in their life, and

1002
00:43:34,160 --> 00:43:37,120
Speaker 2: that's going to allow them to perhaps get much fur

1003
00:43:37,160 --> 00:43:39,759
Speaker 2: their along with the different financial goals that they've got

1004
00:43:40,160 --> 00:43:40,760
Speaker 2: in their life.

1005
00:43:40,920 --> 00:43:43,600
Speaker 1: Yeah, I mean, I think the truth is we're social beings, right,

1006
00:43:43,640 --> 00:43:46,080
Speaker 1: and there's a reason that lots of folks have to

1007
00:43:46,120 --> 00:43:48,080
Speaker 1: work out at the gym instead of at home. There's

1008
00:43:48,080 --> 00:43:49,520
Speaker 1: a reason folks are willing to pay a ton of

1009
00:43:49,560 --> 00:43:52,640
Speaker 1: money to go to a concert or to go see like,

1010
00:43:53,239 --> 00:43:56,359
Speaker 1: let's say an NFL playoff game. Right, how much how

1011
00:43:56,400 --> 00:43:58,960
Speaker 1: expensive our Super Bowl tickets every year? They're not cheap

1012
00:44:00,200 --> 00:44:02,040
Speaker 1: of That is not just seeing the game, but it's

1013
00:44:02,200 --> 00:44:05,520
Speaker 1: being around like a bunch of people cheering in the

1014
00:44:05,560 --> 00:44:07,839
Speaker 1: same direction that you are, and that can be kind

1015
00:44:07,840 --> 00:44:09,359
Speaker 1: of an experience. And I think the same is true

1016
00:44:09,400 --> 00:44:13,480
Speaker 1: of money progress. Right, There's something magical about incorporating other humans,

1017
00:44:13,840 --> 00:44:17,600
Speaker 1: even if we're striving towards accomplishing distinctly personal and unique

1018
00:44:17,640 --> 00:44:20,600
Speaker 1: goals with our money. There's something about the accountability, but

1019
00:44:20,760 --> 00:44:24,680
Speaker 1: also like being able to make progress forward together together.

1020
00:44:24,800 --> 00:44:28,440
Speaker 2: Yeah, dude, absolutely, Like I'm gonna butcher. I don't have

1021
00:44:28,480 --> 00:44:30,200
Speaker 2: a specific quote here, but I think it's it was C. S.

1022
00:44:30,280 --> 00:44:34,200
Speaker 2: Lewis who actually was speaking about friendship in this way.

1023
00:44:34,480 --> 00:44:36,319
Speaker 2: I think it was him, And one of the things

1024
00:44:36,360 --> 00:44:38,239
Speaker 2: he said was that, like, what is at the core

1025
00:44:38,400 --> 00:44:40,520
Speaker 2: of a friendship is being able to stand next to

1026
00:44:40,600 --> 00:44:43,120
Speaker 2: somebody and for both of you to look at something

1027
00:44:43,120 --> 00:44:45,279
Speaker 2: and point to that and be like, oh, look at that.

1028
00:44:45,600 --> 00:44:49,200
Speaker 2: Isn't that awesome to kind of have a shared interest

1029
00:44:49,480 --> 00:44:52,520
Speaker 2: or passion about something you're basically both agreeing that the

1030
00:44:52,560 --> 00:44:53,840
Speaker 2: thing you're looking at is lovely?

1031
00:44:54,000 --> 00:44:54,160
Speaker 1: Yea.

1032
00:44:54,440 --> 00:44:56,920
Speaker 2: And you know this sounds maybe a little too mushy

1033
00:44:56,920 --> 00:44:59,680
Speaker 2: and poetic, but you can also do that about money,

1034
00:44:59,719 --> 00:45:01,960
Speaker 2: Like that is something that you can do with your friends,

1035
00:45:02,000 --> 00:45:04,040
Speaker 2: with your coworkers, And I think that's that's.

1036
00:45:03,920 --> 00:45:05,720
Speaker 1: Just super cool. It's just really awesome. And that doesn't

1037
00:45:05,719 --> 00:45:08,839
Speaker 1: mean lording your four O one K balance over them. Yeah, well,

1038
00:45:08,840 --> 00:45:11,400
Speaker 1: look at how awesome. It's a total gross way of

1039
00:45:11,440 --> 00:45:13,759
Speaker 1: doing it. There's other way, better ways of doing We've

1040
00:45:13,800 --> 00:45:15,160
Speaker 1: talked about that in the past. Maybe we'll link to

1041
00:45:15,160 --> 00:45:17,200
Speaker 1: that episode in the show notes. But yeah, you don't

1042
00:45:17,200 --> 00:45:19,440
Speaker 1: have to give even specific numbers. There's ways to have

1043
00:45:19,480 --> 00:45:23,120
Speaker 1: that money conversation without being like, look in my income,

1044
00:45:23,239 --> 00:45:24,080
Speaker 1: here's my pay stuff.

1045
00:45:24,080 --> 00:45:26,759
Speaker 2: Instead, you can talk about instead of specific numbers, percentages.

1046
00:45:26,800 --> 00:45:29,200
Speaker 2: That's a great way of talking about the general habit

1047
00:45:29,239 --> 00:45:31,720
Speaker 2: and the behavior without getting overlease specific sure.

1048
00:45:31,600 --> 00:45:33,680
Speaker 1: Or goals or maybe a piece of personal finance content

1049
00:45:33,719 --> 00:45:35,960
Speaker 1: you've come across that kind of change your perspective on something.

1050
00:45:36,239 --> 00:45:38,799
Speaker 1: Those are good ways to initiate the conversation without making

1051
00:45:38,800 --> 00:45:41,120
Speaker 1: someone else who's not where you are feel like an

1052
00:45:41,120 --> 00:45:44,160
Speaker 1: idiot exactly. But another financial habit we would say would

1053
00:45:44,200 --> 00:45:47,080
Speaker 1: be important to implement this year in twenty twenty three

1054
00:45:47,160 --> 00:45:50,600
Speaker 1: would be to write your goals down, because this habit

1055
00:45:50,640 --> 00:45:52,600
Speaker 1: really can make a massive change when it comes to

1056
00:45:52,640 --> 00:45:54,839
Speaker 1: actually taking the action. If you're putting pen to paper,

1057
00:45:54,880 --> 00:45:57,759
Speaker 1: if you're outlining what you're working towards, the likelihood that

1058
00:45:57,760 --> 00:46:01,000
Speaker 1: you're going to prioritize that thing goes up substantially. There's

1059
00:46:01,000 --> 00:46:03,080
Speaker 1: something about like pen to paper, and how it affects

1060
00:46:03,120 --> 00:46:04,920
Speaker 1: our memory, Like if you're listening to someone speak and

1061
00:46:04,960 --> 00:46:08,080
Speaker 1: you're taking notes, you're going to retain more information. And

1062
00:46:08,200 --> 00:46:09,759
Speaker 1: it's the same thing when you write down your goals,

1063
00:46:09,840 --> 00:46:12,719
Speaker 1: like there's no waffling and guessing what you should be

1064
00:46:12,760 --> 00:46:14,799
Speaker 1: doing when extra money comes into your account. Let's say

1065
00:46:15,280 --> 00:46:18,360
Speaker 1: another stimulus check. More to occur, unlikely, but let's say it.

1066
00:46:18,400 --> 00:46:20,840
Speaker 1: Let's say did or a tax refund that's kind of

1067
00:46:20,880 --> 00:46:22,600
Speaker 1: similar for a lot of people. That's like an annual

1068
00:46:22,640 --> 00:46:24,480
Speaker 1: stimulus check that comes along. A lot of people make

1069
00:46:24,960 --> 00:46:27,920
Speaker 1: or get like a multi thousand dollars tax refund, and

1070
00:46:28,480 --> 00:46:30,440
Speaker 1: that is a way for you to jump start financial

1071
00:46:30,440 --> 00:46:33,000
Speaker 1: progress in your life. But being in tune with the

1072
00:46:33,040 --> 00:46:35,200
Speaker 1: goals to the point that you have committed them to

1073
00:46:35,239 --> 00:46:39,239
Speaker 1: writing is a method of personal accountability. It shows that

1074
00:46:39,360 --> 00:46:41,600
Speaker 1: you take your own hopes and dreams seriously. And like

1075
00:46:41,640 --> 00:46:43,279
Speaker 1: we said earlier, a lot of these habits can be

1076
00:46:43,320 --> 00:46:46,520
Speaker 1: implemented even if you're unsure about your larger money goals.

1077
00:46:46,719 --> 00:46:48,640
Speaker 1: But this one is a game changer. Once you've kind

1078
00:46:48,640 --> 00:46:50,520
Speaker 1: of started to figure out those out and once you've

1079
00:46:51,000 --> 00:46:53,120
Speaker 1: decided where it is you want your money to go

1080
00:46:53,280 --> 00:46:57,120
Speaker 1: like writing that goal down and it almost ensures that

1081
00:46:57,160 --> 00:46:58,439
Speaker 1: your money is going to follow suit.

1082
00:46:58,560 --> 00:47:00,800
Speaker 2: That's right, But you also want to limit the number

1083
00:47:00,840 --> 00:47:04,160
Speaker 2: of goals that you're striving after as well, right, because yeah,

1084
00:47:04,200 --> 00:47:07,080
Speaker 2: like successful financial nerves, they set goals, but not too

1085
00:47:07,440 --> 00:47:10,200
Speaker 2: many of them, because it's going to be hard to

1086
00:47:10,280 --> 00:47:12,920
Speaker 2: achieve thirty two different goals that you've got set in

1087
00:47:12,920 --> 00:47:15,719
Speaker 2: twenty twenty three. In fact, the person I think who

1088
00:47:15,760 --> 00:47:18,040
Speaker 2: sets a fewer goals is more likely to then accomplish

1089
00:47:18,120 --> 00:47:20,440
Speaker 2: the goals that they didn't call out from the from

1090
00:47:20,480 --> 00:47:23,359
Speaker 2: the outset, right. And so just simply by limiting your

1091
00:47:23,440 --> 00:47:27,160
Speaker 2: scope by by narrowing your focus, that laser like attention

1092
00:47:27,280 --> 00:47:30,520
Speaker 2: on just like one to three different goals that you

1093
00:47:30,600 --> 00:47:32,120
Speaker 2: have on the you know, on the biggest wins that

1094
00:47:32,160 --> 00:47:34,400
Speaker 2: you want to see that is going to translate to

1095
00:47:34,440 --> 00:47:37,160
Speaker 2: a higher success rate, and you know, to doing it

1096
00:47:37,200 --> 00:47:38,680
Speaker 2: more quickly, I think, so that you can then just

1097
00:47:38,719 --> 00:47:42,360
Speaker 2: move on to the other goals that you have more quickly.

1098
00:47:42,600 --> 00:47:44,720
Speaker 2: And one of the other things that Katie had talked

1099
00:47:44,760 --> 00:47:48,600
Speaker 2: about was basically implementing a plan to achieve these different goals,

1100
00:47:48,640 --> 00:47:51,000
Speaker 2: because we don't want you to just stop at writing

1101
00:47:51,040 --> 00:47:52,840
Speaker 2: down your goal, but literally write out some of the

1102
00:47:52,880 --> 00:47:56,720
Speaker 2: steps necessary in order to break down that big, somewhat

1103
00:47:56,719 --> 00:48:01,120
Speaker 2: overwhelming goal down into small, bite size actions. Write those,

1104
00:48:01,280 --> 00:48:04,400
Speaker 2: enlist those things, those steps out as well. So, for instance,

1105
00:48:04,400 --> 00:48:05,800
Speaker 2: if you're thinking, by the end of this year, I

1106
00:48:05,880 --> 00:48:09,280
Speaker 2: want to have a fully funded emergency fund set up, cool,

1107
00:48:09,760 --> 00:48:12,160
Speaker 2: what does that even look like? That's a great goal

1108
00:48:12,200 --> 00:48:12,440
Speaker 2: to have.

1109
00:48:12,520 --> 00:48:15,239
Speaker 1: I bet you can have five, six, seven steps. Oh

1110
00:48:15,320 --> 00:48:17,920
Speaker 1: easily take absolutely work backwards to the big goal.

1111
00:48:17,920 --> 00:48:20,160
Speaker 2: Step one, track your expenses. Figure out how much it

1112
00:48:20,640 --> 00:48:23,360
Speaker 2: costs for you to survive on this planet over a

1113
00:48:23,360 --> 00:48:27,080
Speaker 2: thirty day period. Step two, multiply that by three or

1114
00:48:27,160 --> 00:48:29,120
Speaker 2: four or five or six, depending on how many months

1115
00:48:29,400 --> 00:48:31,880
Speaker 2: of reserves that you want to have. But then beyond that,

1116
00:48:32,000 --> 00:48:34,080
Speaker 2: right like figuring out how much you need to sit aside,

1117
00:48:34,120 --> 00:48:36,359
Speaker 2: Like divide that out by twelve so that you know

1118
00:48:36,400 --> 00:48:38,719
Speaker 2: that each paycheck, I want to make sure I set

1119
00:48:38,719 --> 00:48:42,120
Speaker 2: this amount of money aside. But figure out and literally

1120
00:48:42,160 --> 00:48:45,279
Speaker 2: start solving the problems. Start cracking that nut now by

1121
00:48:45,360 --> 00:48:46,920
Speaker 2: not just writing up the goal, but some of the

1122
00:48:46,960 --> 00:48:49,160
Speaker 2: specific steps that are going to allow you to achieve

1123
00:48:49,360 --> 00:48:50,279
Speaker 2: that ultimate.

1124
00:48:49,920 --> 00:48:52,600
Speaker 1: Goal for sure, and like the truth is ultimately Matt

1125
00:48:52,680 --> 00:48:55,799
Speaker 1: like habits make or break us, and it's it's not

1126
00:48:55,840 --> 00:48:58,160
Speaker 1: the self discipline is dumb or a waste of time,

1127
00:48:58,520 --> 00:49:01,000
Speaker 1: but thinking that greater level of willpower are going to

1128
00:49:01,040 --> 00:49:03,319
Speaker 1: elevate us to where we want to be. It's kind

1129
00:49:03,360 --> 00:49:05,520
Speaker 1: of naive, right. It's one of those things where I've

1130
00:49:05,560 --> 00:49:07,920
Speaker 1: said that a lot over the years, like hoping that

1131
00:49:08,160 --> 00:49:09,360
Speaker 1: I would rise to the occasion you.

1132
00:49:09,360 --> 00:49:12,360
Speaker 2: Can just will it into existence, right, like the emergency fund,

1133
00:49:12,440 --> 00:49:15,160
Speaker 2: like no, like there are some very practical steps as

1134
00:49:15,160 --> 00:49:17,919
Speaker 2: opposed to just being like I gotta figure that out. Yes,

1135
00:49:17,960 --> 00:49:19,480
Speaker 2: this is like, well, well what does that mean?

1136
00:49:19,600 --> 00:49:21,759
Speaker 1: Like that is a response and we're all honest, we've

1137
00:49:21,760 --> 00:49:24,759
Speaker 1: all had at different time, especially on the subject of money,

1138
00:49:24,760 --> 00:49:27,440
Speaker 1: where it feels like we need more information, where we

1139
00:49:27,480 --> 00:49:30,000
Speaker 1: can always say like we don't know enough, or there's

1140
00:49:30,040 --> 00:49:32,319
Speaker 1: all sorts of excuses we can give for not doing

1141
00:49:32,320 --> 00:49:33,560
Speaker 1: the thing that we need to do and for not

1142
00:49:33,600 --> 00:49:35,560
Speaker 1: implementing the tactics that are going to help us get

1143
00:49:35,560 --> 00:49:37,960
Speaker 1: where we want to be. But like we would say,

1144
00:49:37,960 --> 00:49:39,680
Speaker 1: implementing just a few of these habits is going to

1145
00:49:39,680 --> 00:49:41,600
Speaker 1: put you on the path to progress, ye, making it

1146
00:49:41,640 --> 00:49:43,760
Speaker 1: so much more likely that you're going to take strides,

1147
00:49:43,800 --> 00:49:45,560
Speaker 1: and you're going to take them more quickly. You don't

1148
00:49:45,560 --> 00:49:48,319
Speaker 1: even have to have specific goals like at crewing a

1149
00:49:48,320 --> 00:49:50,239
Speaker 1: million dollar net worth by the time you're forty five

1150
00:49:50,360 --> 00:49:52,839
Speaker 1: or something like that. It doesn't have to be that

1151
00:49:52,920 --> 00:49:56,520
Speaker 1: intense or that ridiculous. But those goals are going to

1152
00:49:56,520 --> 00:49:58,799
Speaker 1: come into focus as you habitually make smart moves and

1153
00:49:58,800 --> 00:50:00,440
Speaker 1: gain confidence. I think that's actually going to give you

1154
00:50:00,480 --> 00:50:03,880
Speaker 1: the confidence to make and set goals that are bigger

1155
00:50:03,880 --> 00:50:07,279
Speaker 1: and more audacious. And a quote that stuck out to

1156
00:50:07,320 --> 00:50:09,600
Speaker 1: me about from James Clear actually he said, tell.

1157
00:50:09,440 --> 00:50:09,880
Speaker 2: It, Jimmy.

1158
00:50:09,960 --> 00:50:13,799
Speaker 1: Action relieves anxiety. And I think that the habits that

1159
00:50:13,840 --> 00:50:16,920
Speaker 1: we choose to implement are directly they're directly under our control,

1160
00:50:17,120 --> 00:50:19,560
Speaker 1: and implementing even just one or two of those could

1161
00:50:19,600 --> 00:50:23,960
Speaker 1: really kickstart a financial transformation in our lives. So action

1162
00:50:24,560 --> 00:50:27,480
Speaker 1: is the key getting these habits started, at least a

1163
00:50:27,520 --> 00:50:29,520
Speaker 1: few of them. Is. You know, we might look back

1164
00:50:29,520 --> 00:50:31,080
Speaker 1: at the end of this year and say, wow, those

1165
00:50:31,080 --> 00:50:33,200
Speaker 1: three habits took me a long way. They took me

1166
00:50:33,239 --> 00:50:34,800
Speaker 1: a long way towards the goals I wanted to I

1167
00:50:34,840 --> 00:50:35,480
Speaker 1: wanted to reach.

1168
00:50:35,760 --> 00:50:38,000
Speaker 2: That's right, man, Yeah, hopefully folks have been encouraged to

1169
00:50:38,040 --> 00:50:41,759
Speaker 2: take some practical steps, steps that lead to action when

1170
00:50:41,800 --> 00:50:45,560
Speaker 2: it comes to their personal finances. Let's shift back to

1171
00:50:45,640 --> 00:50:48,080
Speaker 2: the beer. During this episode, you and I enjoyed a

1172
00:50:48,600 --> 00:50:53,799
Speaker 2: liquid hop Magma Austin Powers reference. Right, I go, what

1173
00:50:53,800 --> 00:50:54,759
Speaker 2: were your thoughts on this beer?

1174
00:50:55,160 --> 00:50:57,600
Speaker 1: So this one leaned in the fruity direction. I would

1175
00:50:57,600 --> 00:50:59,640
Speaker 1: say an ipa. That's definitely more fruit for it, even

1176
00:50:59,640 --> 00:51:02,000
Speaker 1: though it doesn't have fruit in the making of this beer.

1177
00:51:02,200 --> 00:51:04,799
Speaker 1: It's like, literally, that's what I'm all constantly amazed at

1178
00:51:04,800 --> 00:51:08,719
Speaker 1: hops and have different combinations of those hops can can

1179
00:51:08,760 --> 00:51:10,840
Speaker 1: create a completely different flavor profile.

1180
00:51:11,080 --> 00:51:12,920
Speaker 2: And it kind of makes me think of is it

1181
00:51:12,920 --> 00:51:15,640
Speaker 2: the different jelly beans where they've got all the different flavors,

1182
00:51:15,640 --> 00:51:17,920
Speaker 2: but by the different combinations of putting all together you

1183
00:51:17,920 --> 00:51:21,000
Speaker 2: can make like different dishes. Yeah, that's right, that's kind

1184
00:51:21,000 --> 00:51:23,080
Speaker 2: of what I think. So let's combine this hop with

1185
00:51:23,120 --> 00:51:24,520
Speaker 2: this hop with this hop, and all of a sudden

1186
00:51:24,760 --> 00:51:25,920
Speaker 2: tastes like a key line.

1187
00:51:26,040 --> 00:51:28,480
Speaker 1: That's true, I mean yeah, And that's that's what's crazy

1188
00:51:28,520 --> 00:51:31,040
Speaker 1: about these little green They look like Brussels sprouts, but

1189
00:51:31,080 --> 00:51:33,759
Speaker 1: somehow they make beers taste fantastic. And this one was

1190
00:51:33,800 --> 00:51:36,600
Speaker 1: like more passion fruit notes that I'm getting.

1191
00:51:36,600 --> 00:51:39,719
Speaker 2: Way more citrusy. Yeah, for sure, So I will say

1192
00:51:39,800 --> 00:51:40,520
Speaker 2: I liked it.

1193
00:51:40,520 --> 00:51:43,400
Speaker 1: It was fantastic. And this is probably even more up

1194
00:51:43,400 --> 00:51:45,040
Speaker 1: your alley because you like the sweet.

1195
00:51:45,000 --> 00:51:46,759
Speaker 2: Sweet or Yeah, this is I mean it's not like

1196
00:51:46,760 --> 00:51:48,640
Speaker 2: an orange cream sickle or anything like that, but it

1197
00:51:48,680 --> 00:51:50,520
Speaker 2: definitely kind of had those smooth, creamy.

1198
00:51:50,280 --> 00:51:51,000
Speaker 1: Vibes going on.

1199
00:51:51,280 --> 00:51:53,239
Speaker 2: And this is our last beer that we are going

1200
00:51:53,320 --> 00:51:56,279
Speaker 2: to enjoy from Mutation. But more than anything, man, I

1201
00:51:56,320 --> 00:51:59,120
Speaker 2: am just glad that we have yet another fantastic craft

1202
00:51:59,120 --> 00:52:02,239
Speaker 2: brewery here in the city of Atlanta. The marrier the more,

1203
00:52:02,280 --> 00:52:05,200
Speaker 2: the merrier, for sure. The guys over at Mutation are

1204
00:52:05,239 --> 00:52:09,400
Speaker 2: doing a great job and we still look forward to

1205
00:52:09,560 --> 00:52:11,680
Speaker 2: heading up. I mean they just opened up, yeah, just

1206
00:52:11,680 --> 00:52:13,600
Speaker 2: a few months ago. Soon, it hasn't been that long.

1207
00:52:13,640 --> 00:52:14,960
Speaker 2: I will say, we haven't been there yet.

1208
00:52:15,000 --> 00:52:16,480
Speaker 1: We need to make it a habit to go to

1209
00:52:16,480 --> 00:52:18,840
Speaker 1: more breweries, but we've already made it a habit to

1210
00:52:18,920 --> 00:52:20,759
Speaker 1: drink beer on the show, and we've had something close

1211
00:52:20,800 --> 00:52:22,880
Speaker 1: to put five hundred beers on How to Money now

1212
00:52:23,360 --> 00:52:25,440
Speaker 1: in our five years five plus years of existence. So

1213
00:52:25,560 --> 00:52:28,360
Speaker 1: it makes it sound like ROMANIAX, but we're not. What

1214
00:52:28,360 --> 00:52:29,799
Speaker 1: do you think, Well, that's the thing is like when

1215
00:52:29,840 --> 00:52:32,239
Speaker 1: you break it down into smaller increments. That's two beers

1216
00:52:32,239 --> 00:52:35,239
Speaker 1: a week, all right, guys. That's not intense, that's not overwhelming.

1217
00:52:35,280 --> 00:52:37,799
Speaker 1: But we are thankful that we get to do this

1218
00:52:37,880 --> 00:52:40,000
Speaker 1: job every single week, that we get to hang out

1219
00:52:40,000 --> 00:52:42,480
Speaker 1: with each other talk about money. And really it's you,

1220
00:52:42,600 --> 00:52:45,680
Speaker 1: listeners who make this podcast possible. So thank you and

1221
00:52:45,800 --> 00:52:48,560
Speaker 1: we wish you the best of success this year in

1222
00:52:48,560 --> 00:52:52,400
Speaker 1: forming solid money habits that are going to change your future.

1223
00:52:52,480 --> 00:52:53,400
Speaker 1: That's what we want to see for you.

1224
00:52:53,480 --> 00:52:55,919
Speaker 2: That's right, and we would love for you to hear

1225
00:52:56,040 --> 00:52:58,600
Speaker 2: our next episode, which comes out on Friday. So if

1226
00:52:58,640 --> 00:53:01,759
Speaker 2: you are not already a scriber, mash that subscribe button

1227
00:53:01,760 --> 00:53:03,600
Speaker 2: so you don't miss the next episode. But if you

1228
00:53:03,680 --> 00:53:06,440
Speaker 2: are a long time listener and you haven't left us

1229
00:53:06,520 --> 00:53:09,080
Speaker 2: a solid review yet, head over to Apple Podcasts or

1230
00:53:09,120 --> 00:53:11,960
Speaker 2: wherever you listen, give us a solid rating, solid review

1231
00:53:12,000 --> 00:53:14,799
Speaker 2: over there, and a big thank you in advance for that.

1232
00:53:14,880 --> 00:53:16,600
Speaker 2: We'll make sure to link to any of the different

1233
00:53:16,600 --> 00:53:19,440
Speaker 2: resources that we mentioned up on our website at howtomoney

1234
00:53:19,520 --> 00:53:21,880
Speaker 2: dot com. Joel, It's going to be it Buddy for

1235
00:53:22,000 --> 00:53:25,439
Speaker 2: this episode until next time. Best Friends Out, best Friends Out,