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Speaker 1: Welcome to had the Money. I'm Joel, I'm Matt. Today

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Speaker 1: we're answering your listener questions, you know.

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Speaker 2: Buddy, And it was very nice last week to have

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Speaker 2: like a little special kick off the twenty twenty six.

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Speaker 2: We should have chosen a word of the year. I

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Speaker 2: was over at your house the other day and you're like,

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Speaker 2: twenty twenty six, it's the year of rum.

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Speaker 1: I'm making rum cocktails this year. I read a book

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Speaker 1: about ron I don't know how many times you said that, Well, okay,

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Speaker 1: never so many. Yeah, it was funny. It's the year rumbay.

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Speaker 2: And I enjoyed the rum cocktail that you made for us,

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Speaker 2: which is a highly underrated cocktail by the way, rum cocktails.

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Speaker 2: I've had a good rum cocktail if.

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Speaker 1: People are interested in kind of like a history of

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Speaker 1: the America's through the eye of ten different rum cocktails.

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Speaker 1: It's written by a journalist who wrote for the Wall

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Speaker 1: Street Journal called in a Bottle of Rum, and I

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Speaker 1: just finished it, and this is why I'm on a

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Speaker 1: rum kick right now. Such a great name for a book. Yeah,

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Speaker 1: I love it. Yeah. So it's like fascinating from the

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Speaker 1: actual liquid alcohol perspective, but it's also fascinating just from

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Speaker 1: like a history of the Americas.

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Speaker 2: Yeah, so I'm totally going to pick highly recommend. Is

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Speaker 2: the reason I mentioned that. Wait, what did I say

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Speaker 2: last week? Yeah, we kind of it is like a

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Speaker 2: kicking off twenty twenty six episode. Yeah, I'm so glad

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Speaker 2: to get back to listener questions. We're gonna hear from

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Speaker 2: a listener who's got a frugler cheap sort of dilemma

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Speaker 2: gym edition Frugler cheap. With it being the beginning of

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Speaker 2: the years, a lot of people have that question going

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Speaker 2: on right.

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Speaker 1: Now looking forward to that.

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Speaker 2: And they're couples, they're looking to move to a bigger place.

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Speaker 2: They're kind of blaming it on the baby. So we'll

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Speaker 2: get to the bottom of that one. And another couple

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Speaker 2: or family they bought a camper however, like a camper

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Speaker 2: van like an RV, but they dipped into their savings

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Speaker 2: and so what to do about that. We'll get to

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Speaker 2: those questions plus more.

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Speaker 1: Speaking of RV, this.

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Speaker 2: Has been an ongoing not a joke, but our kids

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Speaker 2: are like, what's RV stand for? They saw it somewhere,

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Speaker 2: Oh you know what it was. We saw one on

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Speaker 2: the side of the road. Over the holidays that had

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Speaker 2: like caught on fires. Oh gosh, I think everyone's fine,

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Speaker 2: But I was like, oh yeah, we kept saying RV RV.

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Speaker 2: They're like, what's RV sand for? Like, I'm not going

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Speaker 2: to tell you.

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Speaker 1: They don't know.

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Speaker 2: They're making all these guesses that I was talking with

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Speaker 2: Kate later, did they not know the word recreation, recreate

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Speaker 2: or recreational. So we've were given them hints, but I

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Speaker 2: literally they still don't know. So it's kind of like

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Speaker 2: an ongoing game that we play while we're in the car,

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Speaker 2: all right, because that's when they think of it.

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Speaker 1: I like it. I like it. Yeah, okay, speaking of well,

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Speaker 1: so you could live in an RV, let's talk about

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Speaker 1: real quick. A listener wrote in we got a bunch

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Speaker 1: of listener emails over the break and trying and respond

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Speaker 1: to all of them might be slightly delayed in that,

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Speaker 1: but we're working on it.

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Speaker 2: But we got one caught up. Now there's there's that

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Speaker 2: nice two week delay for the most part. Yeah, we

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Speaker 2: took a little break.

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Speaker 1: Yeah, and well, so listener Jordan reached out and he

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Speaker 1: was like, man, I've been meaning to write for a

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Speaker 1: bunch of a bunch of years now.

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Speaker 2: So the guy that who said that, I've had a

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Speaker 2: draft of this in my inbox, but I haven't hit

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Speaker 2: se yes because he's just building up the winds basically

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Speaker 2: and most death.

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Speaker 1: And so it was just I love hearing from listeners

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Speaker 1: where they're like, hey, I've been taking you know, took

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Speaker 1: this or this piece of advice I've implemented in my

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Speaker 1: life and it's changed a lot of things. And they

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Speaker 1: moved to a Cheaper Cost of Living City with well

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Speaker 1: Jordan's first of all too.

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Speaker 2: He started listening back in twenty eighteen, like he was

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Speaker 2: fresh out of high school, and it's just hard to

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Speaker 2: believe that we've been doing it since twenty eighteen.

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Speaker 1: It really, it's kind of kind of mind look closer

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Speaker 1: to a decade than not at this point, which but yeah, yeah,

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Speaker 1: he just started implementing a whole lot of stuff on

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Speaker 1: the show Cheaper Cost of Living City. I'm going to

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Speaker 1: buy a house, but I'm going to buy a duplex

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Speaker 1: instead of a single family house that's super plush and

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Speaker 1: nice for me. I'm going to reduce my cost of

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Speaker 1: living by doing that. He had a bunch of wins

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Speaker 1: listening there. But I thought the house hacking thing was

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Speaker 1: worth pointing out at this time of year especially. He said,

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Speaker 1: it's got a basement and I'm going to renovate that

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Speaker 1: and turned it into essentially a triplex, rent that out

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Speaker 1: in another space as well, and essentially eliminate my housing cost.

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Speaker 1: And we have episodes you can go back and check

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Speaker 1: out on how hacking. We did one with Craig care

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Speaker 1: Lot back in the day that was he kind of

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Speaker 1: wrote the book on it basically. And house sacking is

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Speaker 1: one of those things where you inconvenience yourself sometimes significantly,

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Speaker 1: in order to curb what is typically the highest cost

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Speaker 1: in your monthly line item budget. And it's just it's

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Speaker 1: if you are saying, I feel like I want to

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Speaker 1: take some drastic measures, I want to make more progress

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Speaker 1: more quickly in my personal finances, something like house hacking,

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Speaker 1: buying a duplex when most people don't do that. Living

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Speaker 1: in one part of it, Craig was like living in

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Speaker 1: the living room man, and written stuff out the room. Craig,

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Speaker 1: You're yeah.

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Speaker 2: He mentioned how he like stuck stuck up a curtain

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Speaker 2: in the living room and he's just like, I'm happy

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Speaker 2: to take the living room with no privacy and all

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Speaker 2: of you guys can get the actual.

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Speaker 1: Bedrooms, like Craig put your pants on. Yeah, liked.

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Speaker 2: Well, so what's fascinating with Jordan is Yeah, he mentioned

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Speaker 2: just a whole lot of stuff that he did, but

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Speaker 2: his biggest wins came from this expense that is the

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Speaker 2: largest expense for most of us. And like, I think

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Speaker 2: the first thing he mentioned too was when it comes

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Speaker 2: to housing, was his ability to They lived with his

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Speaker 2: in laws while they saved up a ton of money.

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Speaker 2: So like, if you want to move the needle in

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Speaker 2: a significant way, yeah, you consider those things and you

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Speaker 2: glossed over.

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Speaker 1: It pretty quickly.

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Speaker 2: But so he lived with the in laws, but then

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Speaker 2: they moved from a very high cost of living area

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Speaker 2: to a very affordable area where they did have the

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Speaker 2: ability to purchase not only a home but the duplex.

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Speaker 2: But those aren't the kind of drastic moves that you take.

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Speaker 2: And it helps too that he's pretty handy, and so

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Speaker 2: he's a lot of sweat equity went into that home

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Speaker 2: and he finished it, finished out the other side himself,

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Speaker 2: has that rented out and now yeah, finishing out the basement,

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Speaker 2: which he also mentioned maybe even taking the foot off

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Speaker 2: the pedal a little bit because Jordan, we haven't heard

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Speaker 2: from you. Maybe you actually had that baby, so they

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Speaker 2: were expecting a baby. They sent their Christmas card and

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Speaker 2: had the what do you call it ultrasound on there

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Speaker 2: and so maybe I hope mama and the baby are

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Speaker 2: all doing well. But he mentioned his family even being

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Speaker 2: to come and utilize.

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Speaker 1: That space right after or they've had the baby.

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Speaker 2: So the ability to have other options, like, how great

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Speaker 2: is that? And then you know what six months in

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Speaker 2: guess what, folks don't need to be here all the time,

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Speaker 2: baby sleeping through the night. Let's get that place rented. Yeah,

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Speaker 2: start pulling in more more of that house.

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Speaker 1: Hacking might even because he lives you know right there Airbnb,

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Speaker 1: that John can increase the monthly You're ability to make

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Speaker 1: money from that every month. So yeah, great little side

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Speaker 1: gig for if for his wife.

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Speaker 2: Yeah, so many great things. We love hearing listener wins

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Speaker 2: like that.

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Speaker 1: When I saw that email on fuls, Gosh, we have

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Speaker 1: not talked about house hacking in a long time. It's

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Speaker 1: been a minit. We should bring it up based on

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Speaker 1: Jordan's example, what he's been able to accomplish. Show yep,

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Speaker 1: big ups to you, Jordan, All right, Let's get on

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Speaker 1: to listener questions, Matt, or listen, let's mention the beer

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Speaker 1: we're having too, Yeah, adultca Morte. Oh my gosh, an

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Speaker 1: Imperial Stount.

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Speaker 2: This is a beer by Incendiary and I'll share all

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Speaker 2: about this as well as that brewery here at the

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Speaker 2: end of the episode. But very very excited for this beer. Yeah,

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Speaker 2: this is a good one.

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Speaker 1: Understatement. And okay, we're gonna get to your money questions now.

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

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Speaker 1: from you and take it on the show, hopefully even

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Speaker 1: next week. Just go to how toomoney dot com slash

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Speaker 1: ask for instructions, or literally just record a voice memo

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Speaker 1: on the app on your phone and email it over

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Speaker 1: to us. Matt, let's get to a question that this

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Speaker 1: one is specifically about a big purchase, how to replenish

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Speaker 1: savings after the fact.

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Speaker 3: Hey, Matt and Joel, this is Katie from Monominee Falls, Wisconsin. Matt,

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Speaker 3: I encourage you to look up monomine Falls. It is

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Speaker 3: near Milwaukee and a great town to raise a family in.

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Speaker 3: My question is a bit of a money psychology question.

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Speaker 3: My husband and I had been interested in purchasing a

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Speaker 3: camper for a while for our family, and even though

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Speaker 3: we didn't yet have enough cash saved up, we jumped

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Speaker 3: on a used one that came on the market in

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Speaker 3: order to save about thirteen thousand dollars versus buying a

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Speaker 3: new one. During the purchase process, we pulled twenty four

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Speaker 3: thousand dollars from our emergency fund with the intention of

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Speaker 3: replenishing it immediately via a withdrawal from our heelock. Now, wow,

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Speaker 3: my brain just can't seem to accept the fact that

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Speaker 3: I'd be paying seven point four percent interests on the

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Speaker 3: loan from our helock just to put the money into

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Speaker 3: a savings account earning about three point seven percent. I'm

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Speaker 3: debating now just replenishing the emergency fund as fast as

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Speaker 3: we can and only using the helock if we have

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Speaker 3: a true emergency that our emergency fund can't support. We

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Speaker 3: anticipate being able to replenish the emergency fund in two

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Speaker 3: years or less. So between these two options, which one

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Speaker 3: would you choose?

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Speaker 1: Thank you so much, byte Matt you move in to Wisconsin.

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Speaker 2: Before we get to your question, Katie, let's address your

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Speaker 2: stocker tendencies, she said, So.

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Speaker 1: I actually did look it up. It's a Monomonee Falls.

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Speaker 1: I guess that's how you say that.

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Speaker 2: She said it pretty quickly, So I'm like, I don't

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Speaker 2: even know what to search because it's not a normal

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Speaker 2: town name, and I can't but think of Monomena from

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Speaker 2: the Muppets.

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Speaker 1: Yeah, but it looks like a beautiful place.

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Speaker 2: Yeah, right there, there's like a lot of fall I

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Speaker 2: guess at the center of the town. It's real pretty

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Speaker 2: if you're a beautiful park. What you're getting at, is it?

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Speaker 1: Matt? When people reach out with their emails and questions

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Speaker 1: and they knowe where they're from, Matt likes to look

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Speaker 1: up those towns and just like scour around and see

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Speaker 1: what's going on.

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Speaker 2: Do you feel like it helps me to get to

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Speaker 2: know them a little bit, Like when you understand context,

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Speaker 2: you kinda it just I don't know, adds more color

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Speaker 2: a little bit, and it just helps me to sort

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Speaker 2: of understand some of the background, which I don't know.

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Speaker 1: That's fun to me. Well, it's really easy to assume

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Speaker 1: that everybody lives in a town or a place that

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Speaker 1: kind of looks like yours, and they don't like this

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Speaker 1: world is like super geographically varied, Like there's a lot

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Speaker 1: of stuff out there and it would just help it.

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Speaker 2: Honestly, it fuels me. It makes me want to like

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Speaker 2: go see all these different places out there, out there

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Speaker 2: in the world.

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Speaker 1: Terminominy falls again.

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Speaker 2: I'm not sure if I'll end up there, but it

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Speaker 2: does look like a wonderful place to raise a family.

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Speaker 1: Love it.

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Speaker 2: But I love that Katie said, though this is a

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Speaker 2: site like a money psychology kind of question. Yeah, you know,

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Speaker 2: like it's less maybe for her about the numbers and

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Speaker 2: the interest rates and more about how should I be

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Speaker 2: thinking about replenishing these funds.

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Speaker 1: Which I totally appreciate. Why I love that she said

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Speaker 1: they opted for a used camper. I mean, oh yeah,

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Speaker 1: that's really important because the discrepancy between used and new

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Speaker 1: in that market in particular can be significant. Talking about

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Speaker 1: like a used versus a new house, you know, like

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Speaker 1: there's a whole lot less of a monetary difference than

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Speaker 1: there is between a used in a new car, and

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Speaker 1: it's even more extreme in the camper market. And you know,

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Speaker 1: we love that you had the money on hand, even

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Speaker 1: if it was E fund money, Like we wouldn't want

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Speaker 1: to see you go into debt for the purchase of

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Speaker 1: a camper for the purchase of something that's like, hey,

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Speaker 1: this is just an RV, a recreational vehicle, which I'm

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Speaker 1: gonna teach your kids to say at some point, Matt,

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Speaker 1: don't tell them you're gonna ruin all the fund, Okay.

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Speaker 1: And so, especially with rates where they are these days, Like,

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Speaker 1: think about what you'd be financing that at It wouldn't

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Speaker 1: be fun. And financing depreciating assets is just such a

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Speaker 1: slippery slope and it trips up so many folks. It

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Speaker 1: prevents them from making meaningful money progress for so many

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Speaker 1: years that that's truly what we want how to money

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Speaker 1: listeners to avoid.

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Speaker 2: Yeah, and at the risk of just sounding annoying, I

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Speaker 2: would rather see you say additional money for purchases life

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Speaker 2: like that in the future. And it's not just that

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Speaker 2: I don't want you to go into debt. I just

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Speaker 2: don't want to see you without this well funded, fully

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Speaker 2: stocked emergency fund for just the downside protection of what

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Speaker 2: life just happens to throw at you. So like I

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Speaker 2: understand that a killer deal is hard to resist, Joel,

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Speaker 2: does that resonate maybe a little bit more with you?

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Speaker 1: We're just like I got a pounce, Yeah, you make

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Speaker 1: fun of me. For how I talk about it, because

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Speaker 1: like truly, like how much I pay for something influences

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Speaker 1: how much I enjoy it.

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Speaker 2: Yeah, well, it's an important for sure, but when it's

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Speaker 2: a very expensive purchase like that, it makes it a

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Speaker 2: bit a bit tougher to pull off. And in her case,

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Speaker 2: it's a want, right, it's not something that's completely necessary.

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Speaker 2: That being said, you got it. It's you know, passes

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Speaker 2: in the past. So I hope you have great memories,

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Speaker 2: you get some awesome trips with it, But I would

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Speaker 2: just hate to see you financially exposed in the coming

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Speaker 2: months or even years. In a more serious kind of way, yes,

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Speaker 2: because like what you're getting at is like a job

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Speaker 2: loss or an unexpected medical bixactly.

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Speaker 1: That hits harder when your E fund is dry. You

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Speaker 1: could sell the camper, but you might not get back

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Speaker 1: what you paid. I mean you might actually if you

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Speaker 1: got a really sick deal. That's the nice thing about

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Speaker 1: that market. Maybe you were like I was waiting and

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Speaker 1: waiting and waiting, and this was like really undervalued. So

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Speaker 1: I feel like we got a solid deal. We could

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Speaker 1: list it, take better pictures and make money on that.

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Speaker 1: That's cool, But the reason we want you to think

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Speaker 1: of the fund as untouchable is because a real emergency

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Speaker 1: could come along you would find yourself with a cool

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Speaker 1: camper put no e fund and then potentially debt on

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Speaker 1: top of that. It's a far cry from where you

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Speaker 1: were pre purchase sure and so yes, the helock is

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Speaker 1: your new extended emergency fund for the time being, although

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Speaker 1: tapping it comes with real risks because, unlike other forms

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Speaker 1: of debt, you're putting your home at risk when you

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Speaker 1: take out helock money. So it's not just the higher

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Speaker 1: interest rate that makes this a less exciting choice. And

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Speaker 1: the truth is, at times it's like a bank could

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Speaker 1: even freeze or cut you off from access to that helock,

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Speaker 1: which is important to note. You might say, think, ah,

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Speaker 1: the trusty old helock, it's always there, and chances are

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Speaker 1: it's probably going to be there. It's not always, but

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Speaker 1: it might not be. Yeah.

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Speaker 2: Well, you specifically mentioned in like a time of hardship, right,

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Speaker 2: financial hardship, and that's what the banks pay attention to, right,

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Speaker 2: like if you lose your job, if your salary gets

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Speaker 2: cut in a significant way, if you see your you know,

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Speaker 2: maybe you're taking on more debts. Your credit score tanks

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Speaker 2: banks pay attention to stuff like that, and there's a

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Speaker 2: chance that they could completely cap you. And this thing

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Speaker 2: that you were going to count on when you were

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Speaker 2: going to experience this financial hardship now becomes this thing

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Speaker 2: that is no longer accessible to you. And it's just

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Speaker 2: salting the wound as opposed to it being something that

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Speaker 2: shows up in a time of need for you. And

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Speaker 2: so that's the downside of fully. You know, you might

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Speaker 2: be like, oh, I can handle the risk, guys, I'm

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Speaker 2: really comfortable with living on the edge. It's like, well,

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Speaker 2: think through this as well. There's other factors there in

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Speaker 2: addition to the fact that he lock rates aren't all

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Speaker 2: that great right now.

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Speaker 1: They're pretty high. I've we've heard.

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Speaker 2: From there's been how many of the listeners they've seen

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Speaker 2: their rates tick up pretty significantly, and you know, they've

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Speaker 2: been hoping that they would come back down with the

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Speaker 2: FED cutting rates, but it hasn't happened. It's just tough

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Speaker 2: to think about pulling in money that you'd be paying

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Speaker 2: over seven percent on sticking it in your savings account

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Speaker 2: probably closer to eight, right, Yeah, earning significantly less. That's

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Speaker 2: not a great financial move. And so you know, yeah,

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Speaker 2: the way that helocks work, there's actually no need to

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Speaker 2: do this. You can tap it when the need arises.

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Speaker 2: You don't have to basically pre tap it and stick

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Speaker 2: that money in the bank. You can look to it,

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Speaker 2: you know, when the time when the need arises. And

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Speaker 2: so at this point in the process, I'm with you.

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Speaker 2: I would just save up, like replenish that emergency fund

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Speaker 2: as quickly as possible, avoid touching the helock unless you

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Speaker 2: absolutely have to. You know, fingers crossed that you never

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Speaker 2: encounter a situation where you do need.

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Speaker 1: To tap it.

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Speaker 2: Yeah, sounds like you haven't made other financial moves that

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Speaker 2: would also kind of puts you in a more precarious position.

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Speaker 2: Maybe it seems like this was maybe the one thing.

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Speaker 2: I don't hear a whole lot of other expenses where

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Speaker 2: you're paying making payments on. So that's what I would do.

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Speaker 2: I would just focus on rebuilding that emergency fund.

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Speaker 1: You could even like tighten the belt in other areas

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Speaker 1: and say, hey, we this was our craft beer equipment equivalent.

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Speaker 1: We splurged on the camper, So you know what, for

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Speaker 1: the next three to six months, we're going to tighten

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Speaker 1: our belt when it comes to eating out or another

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Speaker 1: line item in your budget, just to make sure that

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Speaker 1: you can replenish that emergency fund a little bit more

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Speaker 1: quickly than you otherwise would just living your life with

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Speaker 1: your normal expenses. And you know, even though you're not

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Speaker 1: going to be able to save up the full amount

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Speaker 1: right that you took out for two years, which is

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Speaker 1: what you mentioned in your question, as long as you

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Speaker 1: have a basic emergency fund accessible to you and the

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Speaker 1: helock has a backstop, you're probably going to be able

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Speaker 1: to save enough in six months or so where you're

365
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Speaker 1: not going to be worried about having to tap the

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Speaker 1: helock at all. That's true. Don't have to replenish all

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Speaker 1: the way to make the helock essentially unnecessary, even though

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Speaker 1: you'll still have access.

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Speaker 2: So you start feeling more and more comfortable with how

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Speaker 2: much money you've got on hand.

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Speaker 1: Yeah, yeah, as you build that up. And I just

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Speaker 1: love the idea, Matt. I don't know how you feel

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Speaker 1: about this, but just for a short time being saying listen,

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Speaker 1: not bare bones by not all the way, not cutting

375
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Speaker 1: everything out of your life, but saying, we just we

376
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Speaker 1: just spent a big chunk of money on something that

377
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Speaker 1: we care about a lot. Let's cut back in some

378
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Speaker 1: other areas that we care less about, so that are

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Speaker 1: we're not like living on a razor's edge for the

380
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Speaker 1: next three months, six months or longer. Yeah, I just

381
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Speaker 1: I just think sometimes making those cuts in it can

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Speaker 1: provide that financial ballast more quickly you're able to save

383
00:16:23,760 --> 00:16:25,920
Speaker 1: up that emergency fund. But it also just I think

384
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Speaker 1: there's something mentally talking about the behavioral side of this

385
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Speaker 1: to say, actually, we're spending lavishly in this one area,

386
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Speaker 1: but we're cutting back in some of these other areas

387
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Speaker 1: to make sure that we can actually make it work

388
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Speaker 1: for us. And I think it can actually almost like

389
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Speaker 1: increase the appreciation that you feel for this new camper

390
00:16:42,560 --> 00:16:43,560
Speaker 1: that you bought totally. Yeah.

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Speaker 2: Yeah, that's I think that's the money psychology part of it.

392
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Speaker 2: And what you're addressing here is shifting the focus from

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Speaker 2: replenishing the emergency fund, which is this very conceptual feelings

394
00:16:54,280 --> 00:16:56,760
Speaker 2: it's not feelings based, but it's hard to explain to

395
00:16:56,840 --> 00:16:59,120
Speaker 2: your family that, like, hey, we're just trying to replenish,

396
00:16:59,200 --> 00:17:01,880
Speaker 2: replenish our emergency fund so that we have more financial margin.

397
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Speaker 1: That's why you can't play soccer in the spring sun stress.

398
00:17:04,480 --> 00:17:09,560
Speaker 2: Well, that's super conceptual and very invisible, as opposed to

399
00:17:09,760 --> 00:17:12,040
Speaker 2: linking it directly to the camper and say and even

400
00:17:12,200 --> 00:17:14,119
Speaker 2: let's just say, hey, the reason we're doing this is

401
00:17:14,119 --> 00:17:15,919
Speaker 2: because we want to pay off the camper. And we

402
00:17:16,000 --> 00:17:18,040
Speaker 2: know that you didn't take out a loan for this camper.

403
00:17:18,080 --> 00:17:20,440
Speaker 2: But just saying that, saying hey, we're going to pay

404
00:17:20,440 --> 00:17:23,760
Speaker 2: off the camper just anchors it to this really tangible,

405
00:17:23,800 --> 00:17:27,920
Speaker 2: really concrete purchase that almost feels like like you are

406
00:17:27,960 --> 00:17:30,320
Speaker 2: willing to sacrifice and cut back because of this thing

407
00:17:30,320 --> 00:17:31,639
Speaker 2: that we now have in your life. And I think

408
00:17:31,640 --> 00:17:33,520
Speaker 2: that's what you're getting at, is anchoring it to this

409
00:17:33,640 --> 00:17:36,760
Speaker 2: very fun thing. Get the whole family on board. All

410
00:17:36,760 --> 00:17:38,800
Speaker 2: of a sudden, everyone knows that, like, this is what

411
00:17:38,840 --> 00:17:42,280
Speaker 2: we're doing, Like the family is, they're lined up behind

412
00:17:42,320 --> 00:17:44,639
Speaker 2: you for twenty twenty six. This is the focus and

413
00:17:44,680 --> 00:17:46,600
Speaker 2: why it is that you're you're cutting back. I think

414
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Speaker 2: it could just even be fun, you know.

415
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Speaker 1: I think it feels easier to do if you're talking

416
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Speaker 1: about a future purchase where you're like, hey, guys, we're

417
00:17:51,720 --> 00:17:53,240
Speaker 1: all going to cut back. You don't have it yet,

418
00:17:53,280 --> 00:17:55,520
Speaker 1: so we can pay for that vacation and we're all excited.

419
00:17:55,560 --> 00:17:57,680
Speaker 1: About going to Hawaii or whatever it is. But I

420
00:17:57,720 --> 00:17:59,399
Speaker 1: think now that you already have it, but you can

421
00:17:59,440 --> 00:18:01,159
Speaker 1: still do that. I think you can still do that,

422
00:18:01,200 --> 00:18:05,760
Speaker 1: still create that atmosphere and just find a way to

423
00:18:05,840 --> 00:18:10,280
Speaker 1: create the mental excitement in your family to repleniters how

424
00:18:10,359 --> 00:18:12,919
Speaker 1: the fund even though, hey, you've already spent the money.

425
00:18:13,320 --> 00:18:15,560
Speaker 1: I think there's still a way to kind of galvanize

426
00:18:16,080 --> 00:18:21,560
Speaker 1: the troops. Yeah, galvanize the troops, and remember what's true

427
00:18:21,720 --> 00:18:24,520
Speaker 1: about like what you're striving after, which is to make

428
00:18:24,560 --> 00:18:28,040
Speaker 1: sure that you're not putting your family financially at risk

429
00:18:28,080 --> 00:18:31,120
Speaker 1: even though you just made an awesome, new, fun, big purchase. Totally.

430
00:18:31,200 --> 00:18:32,720
Speaker 2: And I think there's even a chance too that as

431
00:18:32,760 --> 00:18:34,720
Speaker 2: you make some of these sacrifices, it just puts you

432
00:18:34,720 --> 00:18:37,840
Speaker 2: in a position of questioning some of your expenses and

433
00:18:37,840 --> 00:18:39,679
Speaker 2: you might even realize, wait a minute, we cut that

434
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Speaker 2: from our life completely and we don't even really miss it,

435
00:18:42,200 --> 00:18:43,760
Speaker 2: and oh my gosh, like how much money we were

436
00:18:43,760 --> 00:18:45,720
Speaker 2: able to save up. What else could we work towards

437
00:18:45,800 --> 00:18:49,240
Speaker 2: proactively instead of reactively sort of like you're saying, I

438
00:18:49,280 --> 00:18:51,240
Speaker 2: think there's just I don't know, there's like a new

439
00:18:51,560 --> 00:18:54,600
Speaker 2: level of intensity that you might be able to unlock

440
00:18:54,840 --> 00:18:57,120
Speaker 2: as a family as you are pursuing some of these.

441
00:18:57,160 --> 00:19:00,199
Speaker 1: Other goals that you might have for yourself. Experiments in frugality, Yep,

442
00:19:00,240 --> 00:19:03,760
Speaker 1: they're like worth attempting, not just for the sake of

443
00:19:03,840 --> 00:19:06,479
Speaker 1: saving money, but just kind of like, yeah, well what

444
00:19:06,520 --> 00:19:08,320
Speaker 1: can our family get by with? Are we still just

445
00:19:08,359 --> 00:19:10,880
Speaker 1: as happy? Do we actually need that thing? It's those

446
00:19:10,920 --> 00:19:13,119
Speaker 1: experiments are always worth running. That's right, all right, Joe.

447
00:19:13,160 --> 00:19:15,520
Speaker 2: We got more to get to, including that question about

448
00:19:15,560 --> 00:19:19,159
Speaker 2: what to do about the gym membership that babies and

449
00:19:19,240 --> 00:19:22,000
Speaker 2: alternative investments will get to all that more right after this.

450
00:19:29,800 --> 00:19:32,280
Speaker 1: H Right, we're back. We got more money questions to

451
00:19:32,359 --> 00:19:36,399
Speaker 1: get to from how money folks. This next question comes

452
00:19:36,440 --> 00:19:39,320
Speaker 1: from a listener. We just had a couple babies.

453
00:19:40,000 --> 00:19:43,080
Speaker 4: Hi, Matt Joel. This is Aaron from Parkville, Maryland. I've

454
00:19:43,080 --> 00:19:45,800
Speaker 4: included my full address in the email because I know

455
00:19:45,880 --> 00:19:48,840
Speaker 4: that Matt likes to do his Google map thing. Before

456
00:19:48,840 --> 00:19:50,880
Speaker 4: I get into my question, I just wanted to give

457
00:19:50,920 --> 00:19:53,479
Speaker 4: you a little bit of background. My husband and I

458
00:19:53,560 --> 00:19:57,440
Speaker 4: are in money Gear seven. We are diligence savers. Everything

459
00:19:57,520 --> 00:20:00,359
Speaker 4: that can be maxed out is maxed out, plus some

460
00:20:00,359 --> 00:20:03,879
Speaker 4: additional savings in a brokerage account each month, and the

461
00:20:03,880 --> 00:20:07,280
Speaker 4: only debt we carry is a sub three percent home mortgage.

462
00:20:07,400 --> 00:20:11,000
Speaker 4: So now onto my question. After a very long journey

463
00:20:11,080 --> 00:20:13,720
Speaker 4: with IBF, my husband and I have recently found out

464
00:20:13,760 --> 00:20:17,440
Speaker 4: that we are pregnant with twins. We are obviously very excited,

465
00:20:17,520 --> 00:20:22,160
Speaker 4: but also a little bit overwhelmed. In all my research

466
00:20:22,240 --> 00:20:25,160
Speaker 4: up to this point, I've learned about all the accounts

467
00:20:25,200 --> 00:20:28,240
Speaker 4: that you could start for a child of five twenty

468
00:20:28,320 --> 00:20:32,560
Speaker 4: nine Custodio, roth Ira and Utma and Ugma, and I've

469
00:20:32,600 --> 00:20:35,160
Speaker 4: really been diving deep into personal finance the last couple

470
00:20:35,160 --> 00:20:37,160
Speaker 4: of years, so I know what all of these are,

471
00:20:37,680 --> 00:20:41,000
Speaker 4: but only kind of from the book perspective, And now

472
00:20:41,040 --> 00:20:43,640
Speaker 4: that it's really time to get thinking about it, I'm

473
00:20:43,680 --> 00:20:46,879
Speaker 4: not really sure where to start and what to prioritize

474
00:20:47,040 --> 00:20:50,359
Speaker 4: and what to do. I was even thinking that we

475
00:20:50,440 --> 00:20:52,920
Speaker 4: could start a brokerage account for each kid and kind

476
00:20:52,960 --> 00:20:56,080
Speaker 4: of gift them money through their twenties and thirties and

477
00:20:56,119 --> 00:20:59,199
Speaker 4: forties when they're hitting those big life milestones. But you

478
00:20:59,240 --> 00:21:01,760
Speaker 4: did an Applicit episode a couple months back kind of

479
00:21:01,800 --> 00:21:05,520
Speaker 4: advising against that and really helping your children to develop

480
00:21:05,560 --> 00:21:08,880
Speaker 4: their own thoughts behind money and how to manage it,

481
00:21:09,000 --> 00:21:11,679
Speaker 4: and I guess I'm just a little overwhelmed. I know

482
00:21:11,720 --> 00:21:14,000
Speaker 4: what all of these accounts are, I know what they do,

483
00:21:14,200 --> 00:21:16,240
Speaker 4: but we don't know where to start. So any help

484
00:21:16,280 --> 00:21:17,119
Speaker 4: would be appreciated.

485
00:21:17,240 --> 00:21:21,679
Speaker 1: Thanks, Joel. Aaron totally got the memo. Tell us more

486
00:21:21,680 --> 00:21:23,920
Speaker 1: about the street view of Aaron's house, Matt, she's doing

487
00:21:23,960 --> 00:21:26,560
Speaker 1: it right. Well, of course I linked it up because.

488
00:21:26,280 --> 00:21:29,359
Speaker 2: If she's gonna be that blatant about it, we know

489
00:21:29,400 --> 00:21:33,560
Speaker 2: you did what you find great town home, the nice

490
00:21:33,600 --> 00:21:35,480
Speaker 2: park at the end of the street that I'm guessing

491
00:21:35,800 --> 00:21:38,760
Speaker 2: they're gonna walk probably walk to, and the babies are

492
00:21:38,760 --> 00:21:39,240
Speaker 2: gonna play it.

493
00:21:39,680 --> 00:21:42,439
Speaker 1: You'll see Matt there this afternoon air at the park. Uh,

494
00:21:42,640 --> 00:21:44,200
Speaker 1: still nice and close to the Interstate.

495
00:21:44,280 --> 00:21:45,680
Speaker 2: I'm like, oh yeah, Like you can take a whole

496
00:21:45,680 --> 00:21:47,879
Speaker 2: lot of different jobs, right, like, because when you're buried

497
00:21:47,920 --> 00:21:50,040
Speaker 2: in some sort of suburb, that's something you got to consider.

498
00:21:50,119 --> 00:21:51,560
Speaker 1: I was talking to a friend over the gage of

499
00:21:51,560 --> 00:21:53,200
Speaker 1: the interse matters. Yeah, they live out.

500
00:21:53,080 --> 00:21:55,199
Speaker 2: In like what we call the county. You know, we

501
00:21:55,240 --> 00:21:56,119
Speaker 2: always joke about that.

502
00:21:56,240 --> 00:21:58,159
Speaker 1: But he's just like, you don't understand.

503
00:21:58,200 --> 00:22:00,400
Speaker 2: It takes us forty minutes even to get to the state,

504
00:22:00,480 --> 00:22:03,280
Speaker 2: and I'm just like, holy cal it makes me realize

505
00:22:03,320 --> 00:22:06,959
Speaker 2: how proximity to interstate and being able to travel quickly

506
00:22:07,119 --> 00:22:07,840
Speaker 2: that's important stuff.

507
00:22:07,880 --> 00:22:09,240
Speaker 1: These are all things you got to take into account.

508
00:22:09,280 --> 00:22:12,160
Speaker 1: You don't want to live like under an interstate overpass necessarily,

509
00:22:12,240 --> 00:22:14,920
Speaker 1: but being close to the interstates nice. We're not literal trolls,

510
00:22:15,280 --> 00:22:18,440
Speaker 1: but Aaron, I thought that was quite hilarious that you

511
00:22:18,560 --> 00:22:21,280
Speaker 1: literally shared your home and dress. I would not share

512
00:22:21,280 --> 00:22:25,040
Speaker 1: it with anyone. Keep your secret. Oh man, Matt, you

513
00:22:25,560 --> 00:22:28,720
Speaker 1: what what would these skills that you have, like what

514
00:22:28,880 --> 00:22:31,240
Speaker 1: sleuthing skills, private, private detective? Yeah, I guess so us

515
00:22:31,280 --> 00:22:33,080
Speaker 1: are going to say, like in the post podcast era,

516
00:22:33,160 --> 00:22:33,560
Speaker 1: what will you.

517
00:22:33,560 --> 00:22:37,000
Speaker 2: Do with those the I don't know, street view, satellite view,

518
00:22:37,119 --> 00:22:39,200
Speaker 2: looking at terrain, giving it a spin.

519
00:22:39,480 --> 00:22:41,880
Speaker 1: I like doing all that. It's fun. It's fun to explore.

520
00:22:42,920 --> 00:22:46,080
Speaker 1: Hi Les's kill on Aaron's question, Aaron, we're super pumped

521
00:22:46,160 --> 00:22:49,960
Speaker 1: for you in your growing family and I yf Obviously

522
00:22:50,000 --> 00:22:52,600
Speaker 1: can be expensive and it could be just like this

523
00:22:52,760 --> 00:22:56,240
Speaker 1: emotionally taxing endeavor to mount Sure have friends gone through

524
00:22:56,240 --> 00:22:59,000
Speaker 1: the process and they're worried about the finances of it.

525
00:22:59,040 --> 00:23:01,240
Speaker 1: Of course, just like the hopes that they have of

526
00:23:01,280 --> 00:23:03,760
Speaker 1: growing their family, and like, hey, is the money that

527
00:23:03,760 --> 00:23:06,040
Speaker 1: we're spending is it going to lead to that result?

528
00:23:06,200 --> 00:23:07,400
Speaker 1: Plus you don't know all that.

529
00:23:07,600 --> 00:23:10,280
Speaker 2: I mean not to get too personal, but like you're

530
00:23:10,280 --> 00:23:12,320
Speaker 2: getting shots in your butts for like different I mean,

531
00:23:12,440 --> 00:23:15,199
Speaker 2: there's a whole lot that goes into IVF that I

532
00:23:15,240 --> 00:23:17,760
Speaker 2: wasn't aware of until talking with close friends who are

533
00:23:17,800 --> 00:23:19,320
Speaker 2: just like, yeah, it's it's pretty intense.

534
00:23:19,400 --> 00:23:22,920
Speaker 1: Yeah yeah, and like so glad it worked for Aaron

535
00:23:23,040 --> 00:23:25,680
Speaker 1: and her husband and just like you know, maxing everything

536
00:23:25,760 --> 00:23:27,720
Speaker 1: and a three percent mortgage by the way, Oh yeah,

537
00:23:27,800 --> 00:23:29,840
Speaker 1: it sounds like they're in a great financial position. They're

538
00:23:29,880 --> 00:23:31,960
Speaker 1: on the right path. They've got a bunch of knowledge

539
00:23:32,000 --> 00:23:34,040
Speaker 1: as well. But making the right decision here in this

540
00:23:34,119 --> 00:23:37,520
Speaker 1: question is going to take more than just knowledge, I think, right,

541
00:23:37,640 --> 00:23:40,600
Speaker 1: like smarts, it's going to take wisdom. I think those

542
00:23:40,600 --> 00:23:43,359
Speaker 1: are two different things, right, Like, you can have the

543
00:23:43,400 --> 00:23:45,679
Speaker 1: knowledge of what these accounts do and stuff, but like

544
00:23:45,880 --> 00:23:48,760
Speaker 1: sometimes like the allocation and how you proceed comes down

545
00:23:48,800 --> 00:23:52,520
Speaker 1: to a lot more than just knowing contribution limits and

546
00:23:52,560 --> 00:23:54,120
Speaker 1: whether or not you qualify for those accounts.

547
00:23:54,160 --> 00:23:56,200
Speaker 2: Yeah, knowing which accounts you want to pursue, knowing which

548
00:23:56,200 --> 00:23:59,760
Speaker 2: accounts that you want to prioritize for you and your

549
00:23:59,800 --> 00:24:01,920
Speaker 2: face family. Right, just because they're there doesn't mean you

550
00:24:01,920 --> 00:24:03,879
Speaker 2: automatically do all of these, like these are things that

551
00:24:03,920 --> 00:24:06,600
Speaker 2: you consider doing, and certainly retirement accounts, I think we

552
00:24:06,680 --> 00:24:10,120
Speaker 2: want everyone to take advantage of those. But how much

553
00:24:10,200 --> 00:24:12,399
Speaker 2: you want to take advantage of these accounts and how

554
00:24:12,480 --> 00:24:15,159
Speaker 2: much of your disposable income that you have now to

555
00:24:15,240 --> 00:24:17,560
Speaker 2: go towards the future. That's the wisdom part, I think,

556
00:24:17,720 --> 00:24:20,760
Speaker 2: And that's where it just takes you as an individual

557
00:24:20,800 --> 00:24:24,120
Speaker 2: figuring out, like how do we strike that balance? But

558
00:24:24,560 --> 00:24:27,280
Speaker 2: what she's referring to, basically, though, is generational wealth, right,

559
00:24:27,880 --> 00:24:31,200
Speaker 2: And part of the reason I'm less interested in that

560
00:24:31,320 --> 00:24:33,400
Speaker 2: is because it just simply takes the fun out of.

561
00:24:33,359 --> 00:24:34,440
Speaker 1: Life, right Likes.

562
00:24:34,480 --> 00:24:37,399
Speaker 2: It's not that you can't be helpful where you're going

563
00:24:37,440 --> 00:24:39,280
Speaker 2: to use your own savings to help pay for your

564
00:24:39,320 --> 00:24:41,760
Speaker 2: kids for his car, maybe saving some for their eventual

565
00:24:41,760 --> 00:24:44,280
Speaker 2: college and needs. I just think that trying to build

566
00:24:44,600 --> 00:24:48,439
Speaker 2: wealth completely for them for their retirement and specifically isn't

567
00:24:48,640 --> 00:24:52,479
Speaker 2: always in their best interest. A larger inheritance can reduce

568
00:24:52,520 --> 00:24:56,479
Speaker 2: that motivation makes me think of the Willie Vanderbilt Fortunes

569
00:24:56,760 --> 00:25:01,000
Speaker 2: quote where he talks about inherited wealth wealth it's as

570
00:25:01,080 --> 00:25:05,760
Speaker 2: much of a death to motivation as cocaine to happy

571
00:25:05,920 --> 00:25:07,800
Speaker 2: or no, I'm totally botching it.

572
00:25:08,119 --> 00:25:08,159
Speaker 3: No.

573
00:25:08,280 --> 00:25:12,040
Speaker 2: He says that inherited wealth is a handicap to happiness. Specifically,

574
00:25:12,160 --> 00:25:14,520
Speaker 2: that's what it is, and that the inherited wealth is

575
00:25:14,680 --> 00:25:16,560
Speaker 2: you're gonna go with somewhere with cocaine, but it's as

576
00:25:16,600 --> 00:25:19,960
Speaker 2: much of a death to ambition as cocaine is to morality,

577
00:25:20,040 --> 00:25:23,479
Speaker 2: basically completely. And this is somebody that inherited a large

578
00:25:23,520 --> 00:25:25,680
Speaker 2: sum of money and did fairly well, but even still

579
00:25:25,720 --> 00:25:31,520
Speaker 2: recognized the downsides of just of granted this was you know,

580
00:25:31,560 --> 00:25:34,359
Speaker 2: the richest person basically probably in the world at the time,

581
00:25:34,720 --> 00:25:37,639
Speaker 2: but even still on a micro scale, we are also

582
00:25:39,160 --> 00:25:40,920
Speaker 2: we have the potential of doing that to our own kids.

583
00:25:40,960 --> 00:25:43,040
Speaker 2: And like, and I mentioned too, just it taking the

584
00:25:43,040 --> 00:25:44,440
Speaker 2: fun out of it, Like why do we even play

585
00:25:44,560 --> 00:25:48,320
Speaker 2: board games right? Well, because there's ups, there's downs, you

586
00:25:48,320 --> 00:25:51,560
Speaker 2: get to learn, there's strategy involved, like there's fun and

587
00:25:51,640 --> 00:25:53,480
Speaker 2: you get to enjoy the process.

588
00:25:53,560 --> 00:25:54,879
Speaker 1: If you and I were playing a game of settul

589
00:25:54,920 --> 00:25:56,560
Speaker 1: or six ten and I started off with eight victory

590
00:25:56,560 --> 00:25:58,800
Speaker 1: points and you started off with zero, the game would

591
00:25:58,840 --> 00:25:59,399
Speaker 1: be far less fun.

592
00:25:59,480 --> 00:26:01,960
Speaker 2: Yeah, it's interesting, and I specifically thinking about it in

593
00:26:02,040 --> 00:26:04,040
Speaker 2: like this the situation with like our kids. What if

594
00:26:04,040 --> 00:26:05,400
Speaker 2: we sat down with our kids and we're like, Okay,

595
00:26:05,400 --> 00:26:07,680
Speaker 2: we're gonna play this new game and we just started

596
00:26:07,680 --> 00:26:10,240
Speaker 2: off by giving them all the money from Monopoly, or

597
00:26:10,320 --> 00:26:13,800
Speaker 2: yeah they've got nine out of ten victory points, or

598
00:26:13,840 --> 00:26:17,879
Speaker 2: for playing a choir, they've got all the corporations, And initially,

599
00:26:17,920 --> 00:26:19,720
Speaker 2: what are they going to think? They're like, this is

600
00:26:19,760 --> 00:26:22,119
Speaker 2: the best game ever? What are they also going to

601
00:26:22,200 --> 00:26:25,920
Speaker 2: say two seconds later, this is boring? Yeah, because you're

602
00:26:25,920 --> 00:26:28,800
Speaker 2: not playing the game like that is like the learning

603
00:26:28,880 --> 00:26:31,359
Speaker 2: and the experiential, the living it out like that is

604
00:26:31,440 --> 00:26:34,800
Speaker 2: the part that makes it interesting. And that's why we're

605
00:26:35,320 --> 00:26:38,000
Speaker 2: we're not down completely down on generational wealth, but you

606
00:26:38,040 --> 00:26:40,520
Speaker 2: got to be really careful in how it is that

607
00:26:40,640 --> 00:26:42,960
Speaker 2: do you, I guess, allocate and passed that along to

608
00:26:43,240 --> 00:26:43,879
Speaker 2: future generation.

609
00:26:44,000 --> 00:26:45,439
Speaker 1: It makes an think. I don't know why we had

610
00:26:45,440 --> 00:26:47,199
Speaker 1: this discussion. I don't know how it got brought up

611
00:26:47,240 --> 00:26:49,000
Speaker 1: over Christmas break, but my father in law was in

612
00:26:49,040 --> 00:26:51,320
Speaker 1: town and I was just talking about paying for my

613
00:26:51,359 --> 00:26:54,400
Speaker 1: own car, working minimum wage job in high school, saving up.

614
00:26:54,600 --> 00:26:56,760
Speaker 1: We were just talking about the benefits, the pros and

615
00:26:56,800 --> 00:26:59,199
Speaker 1: cons essentially of kids working in high school, and I

616
00:26:59,240 --> 00:27:01,840
Speaker 1: was just like, man, I think, one, having that job

617
00:27:01,960 --> 00:27:03,879
Speaker 1: was so good for me on multiple levels. But then

618
00:27:03,880 --> 00:27:06,639
Speaker 1: on top of that, buying my own car with money

619
00:27:06,680 --> 00:27:10,560
Speaker 1: that I had saved, earned and saved was just so

620
00:27:10,680 --> 00:27:12,720
Speaker 1: huge for me. And it was not a very nice car,

621
00:27:12,760 --> 00:27:14,800
Speaker 1: like it was old and raggedy. It got me where

622
00:27:14,800 --> 00:27:17,640
Speaker 1: I needed to go. And there's just something I think

623
00:27:17,680 --> 00:27:21,280
Speaker 1: at the time, I was really jealous of my classmates

624
00:27:21,280 --> 00:27:23,760
Speaker 1: whose parents bottom of a car was much nicer than

625
00:27:23,880 --> 00:27:26,480
Speaker 1: the one I was driving. But I earned that thing, man,

626
00:27:27,000 --> 00:27:30,080
Speaker 1: and the pride I felt in having done that for

627
00:27:30,240 --> 00:27:33,399
Speaker 1: myself was huge. Nobody can take that away from you.

628
00:27:34,000 --> 00:27:36,720
Speaker 2: So all that you learned in that process you learned,

629
00:27:36,840 --> 00:27:38,520
Speaker 2: not all, I mean, it's just everything.

630
00:27:38,560 --> 00:27:38,960
Speaker 1: It's everything.

631
00:27:38,960 --> 00:27:41,640
Speaker 2: It's how you respond to your employer, how you show

632
00:27:41,680 --> 00:27:44,280
Speaker 2: up for work, how much of that money that you're

633
00:27:44,320 --> 00:27:47,239
Speaker 2: earning that you're setting aside for future purchase versus blowing it.

634
00:27:48,160 --> 00:27:50,560
Speaker 2: All of that goes like these are all life lessons

635
00:27:50,640 --> 00:27:52,760
Speaker 2: that are going to propel them to be able to

636
00:27:52,760 --> 00:27:54,840
Speaker 2: make even smarter decisions off in their future.

637
00:27:54,880 --> 00:27:57,720
Speaker 1: And I think there's ways to help without like hurting

638
00:27:57,840 --> 00:28:00,360
Speaker 1: right where Oh maybe you're matching the money that they

639
00:28:00,440 --> 00:28:03,439
Speaker 1: have saved to help them buy a nicer vehicle to

640
00:28:03,560 --> 00:28:05,240
Speaker 1: the kind that I was able to buy. Right, Yeah,

641
00:28:05,240 --> 00:28:07,680
Speaker 1: that's cool because they're still they've got skin in the game.

642
00:28:07,680 --> 00:28:10,480
Speaker 1: They're still doing something I think yet. Teaching your kids

643
00:28:10,800 --> 00:28:13,320
Speaker 1: how to do and think about personal finance. That is

644
00:28:13,359 --> 00:28:15,680
Speaker 1: the gift that keeps on giving. That's what you don't

645
00:28:15,680 --> 00:28:17,040
Speaker 1: want to forget in the process.

646
00:28:17,520 --> 00:28:19,480
Speaker 2: And also how to play the game as opposed to

647
00:28:19,520 --> 00:28:20,080
Speaker 2: playing it for them.

648
00:28:20,080 --> 00:28:22,520
Speaker 1: It's also possible to put your own finances at risk

649
00:28:22,560 --> 00:28:24,439
Speaker 1: mat which you alluded to, right, Like so many folks

650
00:28:24,440 --> 00:28:27,040
Speaker 1: opening up five twenty nine accounts while they're barely getting

651
00:28:27,040 --> 00:28:28,679
Speaker 1: the four to one K match at work, or they

652
00:28:28,680 --> 00:28:31,800
Speaker 1: don't have enough of an emergency fund built up. This

653
00:28:31,840 --> 00:28:34,359
Speaker 1: goal is a lower priority than those other goals. It

654
00:28:34,440 --> 00:28:37,280
Speaker 1: should just be down further down on the list. So

655
00:28:37,320 --> 00:28:40,280
Speaker 1: saving for your offspring it really only makes sense if

656
00:28:40,320 --> 00:28:42,440
Speaker 1: you put the oxygen mask on your own face in

657
00:28:42,480 --> 00:28:47,760
Speaker 1: the first place. And like some people might, you know, well,

658
00:28:47,800 --> 00:28:49,800
Speaker 1: but these are my children, I have the loving care

659
00:28:49,840 --> 00:28:51,800
Speaker 1: for them, yes, but like loving and caring for them

660
00:28:51,840 --> 00:28:54,000
Speaker 1: also means caring for yourself. You have to do that

661
00:28:54,040 --> 00:28:57,240
Speaker 1: well at the same time. And it sounds like you

662
00:28:57,280 --> 00:28:59,800
Speaker 1: do have your oxygen mask on though, Aaron. And so

663
00:29:00,040 --> 00:29:02,400
Speaker 1: if saving money for your twins is a high priority

664
00:29:02,560 --> 00:29:05,120
Speaker 1: and you're well taken care of on the personal front,

665
00:29:05,320 --> 00:29:09,160
Speaker 1: I think this is something you can explore and move into. Yeah, yeah, totally.

666
00:29:09,160 --> 00:29:12,680
Speaker 2: So to the heart of your question, what to prioritize,

667
00:29:12,800 --> 00:29:15,280
Speaker 2: and we got to start with five twenty nine's because

668
00:29:15,280 --> 00:29:17,960
Speaker 2: they've gotten so much better over the years. You live

669
00:29:18,040 --> 00:29:21,800
Speaker 2: in Maryland, which you know we'll share that much. I

670
00:29:21,800 --> 00:29:23,480
Speaker 2: guess you said that at the beginning of your question

671
00:29:23,920 --> 00:29:27,760
Speaker 2: where specifically in Maryland. Not gonna tell that lips receealed,

672
00:29:28,400 --> 00:29:30,960
Speaker 2: but that means you get a state tax deduction for

673
00:29:30,960 --> 00:29:33,320
Speaker 2: putting money aside in your state's five twenty nine plan.

674
00:29:33,760 --> 00:29:37,080
Speaker 2: And if you are married, finally jointly, you can put

675
00:29:37,120 --> 00:29:41,040
Speaker 2: five thousand dollars in per beneficiary per year. So that's

676
00:29:41,600 --> 00:29:43,560
Speaker 2: ten thousand bucks right there, right out of the gate,

677
00:29:43,560 --> 00:29:45,800
Speaker 2: that you can sock away for their future. And I

678
00:29:45,840 --> 00:29:48,720
Speaker 2: will say some of the options are a bit more

679
00:29:48,760 --> 00:29:51,640
Speaker 2: expensive than I would like to see that being said.

680
00:29:51,960 --> 00:29:53,800
Speaker 2: If you just go with the plane Vanilla S and

681
00:29:53,840 --> 00:29:57,920
Speaker 2: P five hundred, the cost there are low enough, and

682
00:29:57,960 --> 00:29:59,800
Speaker 2: that plus the tax credit, you're going to be in

683
00:29:59,800 --> 00:30:02,160
Speaker 2: a right position. Would you mentioned kids will be in

684
00:30:02,200 --> 00:30:04,520
Speaker 2: a great position the future eventually. Right, you mentioned how

685
00:30:04,560 --> 00:30:06,680
Speaker 2: five to twenty nine plans have gotten better. Some people

686
00:30:06,760 --> 00:30:08,880
Speaker 2: might be saying, well, yeah, but I don't know if

687
00:30:08,920 --> 00:30:10,440
Speaker 2: my kids are going to go to college, So it

688
00:30:10,520 --> 00:30:14,560
Speaker 2: feels like the wrong account because that big unknowns if

689
00:30:14,560 --> 00:30:17,240
Speaker 2: they don't what happens right, Well, the cool thing is

690
00:30:17,240 --> 00:30:19,200
Speaker 2: you can also use five to twenty nine dollars for

691
00:30:19,320 --> 00:30:21,320
Speaker 2: K through twelve education. If you're like, I don't know,

692
00:30:21,360 --> 00:30:23,320
Speaker 2: maybe it's some at some point my kids might go

693
00:30:23,400 --> 00:30:26,200
Speaker 2: to a private school or something like that.

694
00:30:26,880 --> 00:30:29,120
Speaker 1: You know, before they go off to college. Well, that's

695
00:30:29,160 --> 00:30:32,240
Speaker 1: another good use of those funds. Additionally, you can turn

696
00:30:32,240 --> 00:30:34,760
Speaker 1: a decent chunk thirty five thousand dollars of the money

697
00:30:34,800 --> 00:30:37,040
Speaker 1: that you've saved in that five twenty nine plan into

698
00:30:37,080 --> 00:30:39,480
Speaker 1: a roth Ira down the road for their future. So

699
00:30:40,280 --> 00:30:43,760
Speaker 1: maybe you're kind of splitting the difference kind of in

700
00:30:43,800 --> 00:30:45,880
Speaker 1: what we were talking about helping your kids save for

701
00:30:45,920 --> 00:30:47,920
Speaker 1: their future but you're not like doing it for them.

702
00:30:48,800 --> 00:30:51,800
Speaker 1: That flexibility, though, along with the tax break, makes this

703
00:30:51,960 --> 00:30:54,760
Speaker 1: our favorite account for the vast majority of folks. Don't

704
00:30:54,760 --> 00:30:57,880
Speaker 1: forget about the recent Trump accounts. You can snag a

705
00:30:57,880 --> 00:31:00,480
Speaker 1: free thousand dollars for each child, oh.

706
00:31:00,400 --> 00:31:03,160
Speaker 2: Yeah in those Yeah, I haven't thought about that with

707
00:31:03,200 --> 00:31:04,360
Speaker 2: twins paying.

708
00:31:04,160 --> 00:31:07,200
Speaker 1: Off kind of. I bet Octomom wishes she had waited,

709
00:31:07,440 --> 00:31:09,120
Speaker 1: you know, because that's like eight grand right there. But

710
00:31:09,160 --> 00:31:11,200
Speaker 1: it's his tone out of the gate. Is this totally

711
00:31:11,240 --> 00:31:13,800
Speaker 1: separate account. The only problem with those accounts matter. I

712
00:31:13,800 --> 00:31:15,640
Speaker 1: think people are gonna be tempted to put extra money

713
00:31:15,760 --> 00:31:18,840
Speaker 1: into those accounts. And the truth is there there are

714
00:31:18,840 --> 00:31:21,480
Speaker 1: better accounts for saving. Take the free grand, but don't

715
00:31:21,520 --> 00:31:22,360
Speaker 1: put more money into those.

716
00:31:22,480 --> 00:31:24,480
Speaker 2: Yeah yeah, I would not load up on those. I

717
00:31:24,520 --> 00:31:27,280
Speaker 2: would rather see you sock more money away, let's say,

718
00:31:27,280 --> 00:31:29,360
Speaker 2: in your own name, just inside of a simple tax

719
00:31:29,360 --> 00:31:33,440
Speaker 2: advantage retirement account or even your own brokerage account. And

720
00:31:33,800 --> 00:31:35,960
Speaker 2: it like this is if you want to set aside

721
00:31:36,000 --> 00:31:37,840
Speaker 2: more money for your kids, like you could opt for

722
00:31:37,960 --> 00:31:41,640
Speaker 2: a nutmah. But again, I just think it's the wrong priority.

723
00:31:42,040 --> 00:31:45,160
Speaker 2: There are other potential downsides, and you don't want to

724
00:31:45,240 --> 00:31:48,719
Speaker 2: underestimate too, just how much more life might cost having

725
00:31:49,400 --> 00:31:51,440
Speaker 2: two additional mouse to feed and having other things that

726
00:31:51,480 --> 00:31:53,720
Speaker 2: you want to do as a family. There's maybe not

727
00:31:53,760 --> 00:31:55,680
Speaker 2: a whole lot of that in the first couple of years,

728
00:31:55,680 --> 00:31:57,760
Speaker 2: but pretty soon, man, tho, kids are gonna be like

729
00:31:57,840 --> 00:32:00,320
Speaker 2: running around. You're gonna want to pour into them again,

730
00:32:00,440 --> 00:32:03,480
Speaker 2: not from a financial standpoint, but in a life experience standpoint,

731
00:32:03,480 --> 00:32:05,400
Speaker 2: and some of the lessons that they're going to learn

732
00:32:05,560 --> 00:32:06,760
Speaker 2: while they are under your.

733
00:32:06,680 --> 00:32:10,520
Speaker 1: Roof that is irreplaceable time, whereas they can always earn,

734
00:32:10,760 --> 00:32:12,760
Speaker 1: go off and earn money. The cool thing too about

735
00:32:12,800 --> 00:32:14,719
Speaker 1: building up that money in your name inside of a

736
00:32:14,720 --> 00:32:18,600
Speaker 1: taxable brokerage account is you can gift money to them

737
00:32:18,920 --> 00:32:21,120
Speaker 1: down the road. At times it might feel better and

738
00:32:21,200 --> 00:32:24,320
Speaker 1: more age appropriate. So instead of like, hey, guess what,

739
00:32:24,960 --> 00:32:26,920
Speaker 1: you've got one hundred thousand dollars. You're eighteen and you've

740
00:32:26,920 --> 00:32:29,160
Speaker 1: got one hundred thousand dollars save for your future, you

741
00:32:29,200 --> 00:32:31,200
Speaker 1: can say, oh, actually, you're thirty two, you're about to

742
00:32:31,200 --> 00:32:33,000
Speaker 1: buy your first house. Let me help you with that

743
00:32:33,040 --> 00:32:37,560
Speaker 1: down payment. And at that point, like the cake is baked, right,

744
00:32:37,640 --> 00:32:41,600
Speaker 1: Like your child has turned to an adult human with

745
00:32:41,640 --> 00:32:45,360
Speaker 1: a fully whose brain is fully formed, and you're like,

746
00:32:45,400 --> 00:32:47,640
Speaker 1: I think they're on the right track. Let me maybe

747
00:32:47,640 --> 00:32:49,680
Speaker 1: help them with some of their financial endeavors instead of

748
00:32:49,760 --> 00:32:51,760
Speaker 1: like doing it for them. I think maybe that's just

749
00:32:51,880 --> 00:32:53,520
Speaker 1: a better way. It gives you a kind of more

750
00:32:53,960 --> 00:32:58,400
Speaker 1: control over your finances and how and when you give

751
00:32:58,440 --> 00:33:00,800
Speaker 1: that money away. And there's just also no real tax

752
00:33:00,800 --> 00:33:04,600
Speaker 1: liability for you giving that money away down the road either,

753
00:33:05,000 --> 00:33:07,560
Speaker 1: because of that high gift tax exclusion.

754
00:33:07,760 --> 00:33:10,640
Speaker 2: That's right, Joe. Let's hear from our next listener. This

755
00:33:10,840 --> 00:33:13,440
Speaker 2: is a fitness question. No, he doesn't want to know

756
00:33:13,640 --> 00:33:16,880
Speaker 2: your daily fitness routine. This is more of a frugaler

757
00:33:17,000 --> 00:33:17,880
Speaker 2: cheap let's hear it.

758
00:33:18,200 --> 00:33:21,200
Speaker 5: Hey, Matt and Joel, this is PJ from the Philly suburbs.

759
00:33:21,320 --> 00:33:24,360
Speaker 5: I love the show and thanks for the awesome community

760
00:33:24,400 --> 00:33:27,280
Speaker 5: you've built. So I've got a frugaler cheap question that

761
00:33:27,400 --> 00:33:31,160
Speaker 5: I thought could align well with timing and gym membership season.

762
00:33:31,880 --> 00:33:34,960
Speaker 5: Like you guys, I'm pretty dedicated to exercise. I go

763
00:33:35,000 --> 00:33:37,840
Speaker 5: to the gym almost every day and it's really a

764
00:33:37,880 --> 00:33:40,520
Speaker 5: key part of my day. My gym is a bit

765
00:33:40,640 --> 00:33:44,120
Speaker 5: pricier than some big national chains, but I've actually used

766
00:33:44,120 --> 00:33:47,360
Speaker 5: your advice to break it down per use or visit,

767
00:33:47,840 --> 00:33:50,520
Speaker 5: and honestly, I'm probably paying less per use than people

768
00:33:50,560 --> 00:33:52,200
Speaker 5: at cheaper gyms who barely go.

769
00:33:53,120 --> 00:33:53,200
Speaker 3: So.

770
00:33:53,240 --> 00:33:55,240
Speaker 5: About a year and a half ago, my gym was

771
00:33:55,280 --> 00:33:58,040
Speaker 5: sold to a larger regional chain and one of the

772
00:33:58,040 --> 00:34:02,000
Speaker 5: first announcements they made Sucker was a big rate increase.

773
00:34:02,160 --> 00:34:04,520
Speaker 5: Base level members were looking at something close to a

774
00:34:04,600 --> 00:34:08,480
Speaker 5: forty percent increase, and the email said that charter and

775
00:34:08,600 --> 00:34:14,440
Speaker 5: legacy members would be contacted individually about special pricing plans. Well,

776
00:34:14,480 --> 00:34:18,800
Speaker 5: three months went by, no call, no increase, Another three months,

777
00:34:18,880 --> 00:34:23,320
Speaker 5: still nothing, and eventually I forgot about it entirely until recently.

778
00:34:24,160 --> 00:34:27,240
Speaker 5: So here's a dilemma. I consider myself an honest person,

779
00:34:27,320 --> 00:34:30,520
Speaker 5: but I also feel like it's not exactly my job

780
00:34:30,600 --> 00:34:34,040
Speaker 5: to reach out and remind them about this potential forty

781
00:34:34,040 --> 00:34:36,800
Speaker 5: percent rate hike. So I wanted to get your thoughts

782
00:34:37,000 --> 00:34:39,640
Speaker 5: frugal or cheap to just keep paying my current rate

783
00:34:39,760 --> 00:34:42,680
Speaker 5: and let it ride. Thanks so much, guys, and love

784
00:34:42,760 --> 00:34:43,160
Speaker 5: the show.

785
00:34:43,840 --> 00:34:45,920
Speaker 1: Don't worry, PJ. I reached out to your gym on

786
00:34:45,960 --> 00:34:48,560
Speaker 1: your behalf to let them know that you should be

787
00:34:48,600 --> 00:34:51,440
Speaker 1: paying forty percent more. Yeah, hire bill is on its way.

788
00:34:51,440 --> 00:34:55,040
Speaker 1: Thanks Joel. Yeah, and TJ's or Pj's going to mail

789
00:34:55,080 --> 00:34:58,080
Speaker 1: me some hatemail I think, now, yeah, just KIDDINGJ. I

790
00:34:58,120 --> 00:35:00,319
Speaker 1: wouldn't do that. I wouldn't ratch out like that. Uh.

791
00:35:00,560 --> 00:35:03,520
Speaker 1: And Matt, this is an awesome question this time of

792
00:35:03,560 --> 00:35:06,640
Speaker 1: year because gyms are like everybody's thinking about gyms.

793
00:35:06,680 --> 00:35:08,880
Speaker 2: I was like, Pj's question moved to the top of

794
00:35:08,880 --> 00:35:09,960
Speaker 2: the list. Yeah, this one showed up.

795
00:35:10,080 --> 00:35:12,239
Speaker 1: Yes. I was like, I don't wish you could have

796
00:35:12,239 --> 00:35:14,320
Speaker 1: taken it last week. Honestly, I don't usually watch football,

797
00:35:14,320 --> 00:35:15,600
Speaker 1: but I told you my father in law was in town,

798
00:35:15,640 --> 00:35:18,560
Speaker 1: so football was on TV. And I was shocked at

799
00:35:18,600 --> 00:35:22,319
Speaker 1: the number of gym commercials, Yes, playing a fitness this

800
00:35:22,360 --> 00:35:24,680
Speaker 1: and that, And I was like, oh, it just totally

801
00:35:24,719 --> 00:35:25,120
Speaker 1: makes sense.

802
00:35:25,120 --> 00:35:27,759
Speaker 2: New Year's Evening's Day, that's when most people sent around

803
00:35:27,800 --> 00:35:31,120
Speaker 2: eating wings and you're like eating a drinking I feel

804
00:35:31,120 --> 00:35:31,560
Speaker 2: like a slot.

805
00:35:31,600 --> 00:35:33,840
Speaker 1: Do you feel terrible about you? I gotta do something,

806
00:35:34,200 --> 00:35:36,040
Speaker 1: all right, I'll sign up for the membership. That makes

807
00:35:36,040 --> 00:35:36,839
Speaker 1: all the sense in the world.

808
00:35:36,880 --> 00:35:39,440
Speaker 2: Yeah, that is your target audience, somebody who wants to

809
00:35:39,800 --> 00:35:40,959
Speaker 2: change their ways.

810
00:35:40,800 --> 00:35:43,600
Speaker 1: While they're in the midst of their former ways. Well,

811
00:35:43,640 --> 00:35:45,680
Speaker 1: let's talk about gyms. For just a second before we

812
00:35:45,719 --> 00:35:49,239
Speaker 1: get to like the specifics of Pj's question, Like they

813
00:35:49,239 --> 00:35:51,480
Speaker 1: can be a worthwhile expense right if you use it. Matt,

814
00:35:51,520 --> 00:35:53,120
Speaker 1: we talked about how you were spending a ton on

815
00:35:53,160 --> 00:35:56,080
Speaker 1: a gym membership before you built out your own home gym,

816
00:35:56,680 --> 00:35:58,759
Speaker 1: and it wasn't wasted money, like you were glad to

817
00:35:58,760 --> 00:36:01,759
Speaker 1: spend that money. It was Yeah, it was a line

818
00:36:01,760 --> 00:36:03,480
Speaker 1: on him in your budget that you were happy about.

819
00:36:03,880 --> 00:36:06,279
Speaker 1: And that is true for a lot of people right

820
00:36:07,400 --> 00:36:09,920
Speaker 1: right now. There are lots of deals being offered, but

821
00:36:10,040 --> 00:36:11,520
Speaker 1: let's just say for a lot of people, the best

822
00:36:11,520 --> 00:36:13,839
Speaker 1: deal might be like a free trial membership, like give

823
00:36:13,840 --> 00:36:15,840
Speaker 1: it a go, check it out for seven days, I

824
00:36:16,160 --> 00:36:19,880
Speaker 1: go with a friend to their gym if before committing,

825
00:36:19,960 --> 00:36:23,000
Speaker 1: Like we're members for a little while, usually just during

826
00:36:23,000 --> 00:36:25,360
Speaker 1: a couple of winter months at a local rock climbing gym,

827
00:36:25,520 --> 00:36:27,120
Speaker 1: and we've got like free guest passes. So if a

828
00:36:27,120 --> 00:36:29,080
Speaker 1: friend wants to come with me, come on, I'll let

829
00:36:29,120 --> 00:36:31,440
Speaker 1: you check it out before you like buy the merchandise.

830
00:36:31,800 --> 00:36:34,480
Speaker 1: And like you know, having a friend could be the

831
00:36:34,480 --> 00:36:38,919
Speaker 1: ticket also to sticking with your workout goals. Accountability. Baby yeah,

832
00:36:38,960 --> 00:36:41,320
Speaker 1: man meansure talking about at least in my opinion. Also,

833
00:36:41,480 --> 00:36:43,799
Speaker 1: proximity is super helpful, Like if the gym is thirty

834
00:36:43,840 --> 00:36:46,640
Speaker 1: minutes away, how likely are you actually going to be

835
00:36:46,800 --> 00:36:47,319
Speaker 1: to go there?

836
00:36:47,640 --> 00:36:49,799
Speaker 2: So you get another check in the box of the

837
00:36:49,840 --> 00:36:50,759
Speaker 2: home garage.

838
00:36:50,520 --> 00:36:53,120
Speaker 1: Gym, Yeah, it is so close. Same with running. I

839
00:36:53,160 --> 00:36:54,920
Speaker 1: literally walk on my front door and I just go.

840
00:36:55,200 --> 00:36:57,960
Speaker 2: He's already running. Look at him, having he left his driveway.

841
00:36:58,280 --> 00:36:59,440
Speaker 2: It doesn't take long.

842
00:36:59,280 --> 00:36:59,840
Speaker 1: To get started.

843
00:37:00,840 --> 00:37:04,520
Speaker 2: I guess while we're talking about gyms broadly speaking, look

844
00:37:04,560 --> 00:37:08,080
Speaker 2: out for enrollment fees because a lot of times they

845
00:37:08,160 --> 00:37:09,719
Speaker 2: kind of sneak those in there, like you see the

846
00:37:09,760 --> 00:37:12,280
Speaker 2: monthly price, but then they're like, oh, yeah, by the way, there's.

847
00:37:12,120 --> 00:37:13,920
Speaker 1: This enrollment fee, but ninety nine dollars.

848
00:37:14,200 --> 00:37:15,960
Speaker 2: That being said, this time of year, I think you

849
00:37:16,000 --> 00:37:19,799
Speaker 2: can get those waved oftentimes. But just know the ins

850
00:37:19,840 --> 00:37:22,320
Speaker 2: and out. It's just the hidden the potential hidden fees.

851
00:37:22,480 --> 00:37:25,680
Speaker 2: Know the contract. Know the cancelation rules too, because you know,

852
00:37:25,760 --> 00:37:28,320
Speaker 2: even if you aren't locked into a twelve month contract,

853
00:37:28,680 --> 00:37:32,000
Speaker 2: which I think should be avoided because you just never

854
00:37:32,040 --> 00:37:34,120
Speaker 2: know whether or not you're that's a long time to

855
00:37:34,160 --> 00:37:35,799
Speaker 2: commit to something you're not totally sure you're gonna love.

856
00:37:35,880 --> 00:37:36,040
Speaker 5: Or not.

857
00:37:36,200 --> 00:37:39,279
Speaker 1: But you might have to notify your gym, let's say

858
00:37:39,560 --> 00:37:43,840
Speaker 1: thirty or sixty days out before you want to cancel.

859
00:37:43,840 --> 00:37:45,120
Speaker 1: I don't want to hit on a sourcepot if this

860
00:37:45,160 --> 00:37:45,640
Speaker 1: happened yet.

861
00:37:45,719 --> 00:37:49,279
Speaker 2: This is exactly the situation I found myself in. It

862
00:37:49,320 --> 00:37:52,400
Speaker 2: was annoying, to say the least, but there's just just

863
00:37:52,440 --> 00:37:55,000
Speaker 2: something to be aware of. Yeah, there's a ton of

864
00:37:55,000 --> 00:37:56,960
Speaker 2: different gyms out there. You know, there's a there's a

865
00:37:57,160 --> 00:38:00,960
Speaker 2: wide range of options availab to you, as well as

866
00:38:01,040 --> 00:38:03,840
Speaker 2: wide pricing differences between these different gyms. You know, so

867
00:38:03,880 --> 00:38:06,480
Speaker 2: you got the more extensive ones, but they often come

868
00:38:06,480 --> 00:38:08,920
Speaker 2: with more coaching, they come with smaller classes. It's not

869
00:38:09,040 --> 00:38:12,000
Speaker 2: just having access to a bunch of a bunch of equipment.

870
00:38:12,040 --> 00:38:15,400
Speaker 2: And you might find that it's worth paying more for that,

871
00:38:15,520 --> 00:38:18,920
Speaker 2: maybe not. I think the most important thing that is

872
00:38:18,960 --> 00:38:22,080
Speaker 2: worth knowing is yourself. Know yourself, know what it is

873
00:38:22,200 --> 00:38:24,680
Speaker 2: about the routine that's going to help you to stick

874
00:38:24,680 --> 00:38:27,160
Speaker 2: with it. I think about the friend, and he's got

875
00:38:27,200 --> 00:38:29,280
Speaker 2: to have skin in the game. If he isn't paying something,

876
00:38:29,840 --> 00:38:32,600
Speaker 2: he's less likely to show up. He needs a coach

877
00:38:32,640 --> 00:38:35,720
Speaker 2: there telling him what to do. I got another friend

878
00:38:35,920 --> 00:38:38,960
Speaker 2: he likes variety, and so he was at the gym

879
00:38:39,000 --> 00:38:40,759
Speaker 2: I was at, and then he bounced to this other

880
00:38:40,800 --> 00:38:44,880
Speaker 2: gym for close to a year. Now he's doing hot yoga.

881
00:38:45,080 --> 00:38:47,000
Speaker 2: He's like, you know, I think I just renaissance man,

882
00:38:47,080 --> 00:38:50,560
Speaker 2: that core strength and we're in they're more sweating, and

883
00:38:50,600 --> 00:38:52,080
Speaker 2: I think for him, I didn't say this to him,

884
00:38:52,080 --> 00:38:53,560
Speaker 2: but I'm like, oh, man, you just really like I

885
00:38:53,600 --> 00:38:55,440
Speaker 2: think what he likes is the variety and learning new

886
00:38:55,440 --> 00:38:57,520
Speaker 2: things and switching things up and not getting kind of

887
00:38:57,560 --> 00:39:01,319
Speaker 2: bogged down in what to him might seem like a

888
00:39:01,360 --> 00:39:04,759
Speaker 2: boring routine. To me, I see predictability and structure, and

889
00:39:05,480 --> 00:39:07,799
Speaker 2: you know that seems wonderful. But for him, I think

890
00:39:07,800 --> 00:39:09,520
Speaker 2: he just likes to switch it up. So know what

891
00:39:09,560 --> 00:39:12,239
Speaker 2: it is about the experience that's going to allow you

892
00:39:12,280 --> 00:39:12,920
Speaker 2: to make the mist.

893
00:39:12,760 --> 00:39:13,960
Speaker 1: PROGRESS think it's a good point. I think a lot

894
00:39:13,960 --> 00:39:15,640
Speaker 1: of people see the commercial and they're like, fifteen bucks

895
00:39:15,640 --> 00:39:17,799
Speaker 1: a month, what if I got to lose? And why not?

896
00:39:18,040 --> 00:39:23,279
Speaker 1: Often those are the people that say, like, they pay

897
00:39:23,280 --> 00:39:25,920
Speaker 1: the money and they forget to cancel, just like they

898
00:39:25,960 --> 00:39:28,360
Speaker 1: would like a streaming membership because it's fifteen bucks a

899
00:39:28,360 --> 00:39:30,359
Speaker 1: month and you can rationalize you like I will get

900
00:39:30,400 --> 00:39:31,560
Speaker 1: there at some point. That's why I think a lot

901
00:39:31,560 --> 00:39:34,320
Speaker 1: of people at those big gyms, something like forty percent

902
00:39:34,400 --> 00:39:38,319
Speaker 1: of people go once a month at most. There's there's

903
00:39:38,320 --> 00:39:40,239
Speaker 1: a lot of people at those big gyms who are

904
00:39:40,239 --> 00:39:42,719
Speaker 1: signed up who just aren't using it. The people who

905
00:39:42,800 --> 00:39:44,560
Speaker 1: are are getting a great deal, like they know what

906
00:39:44,600 --> 00:39:47,160
Speaker 1: they want and they're actually like taking advantage even though

907
00:39:47,160 --> 00:39:50,640
Speaker 1: it's cheap. But maybe a higher price point would actually

908
00:39:50,800 --> 00:39:53,239
Speaker 1: with more service, would actually get you to use it. Okay,

909
00:39:53,280 --> 00:39:55,840
Speaker 1: but let's get to the heart of Pj's question. There's

910
00:39:55,880 --> 00:39:59,000
Speaker 1: no way I would remind the gym that they're supposed

911
00:39:59,040 --> 00:40:01,480
Speaker 1: to charge me more. It's not even like they sent

912
00:40:01,560 --> 00:40:03,480
Speaker 1: a notice telling you the price was going up what

913
00:40:03,600 --> 00:40:06,160
Speaker 1: date you should expect the price increase. That would be

914
00:40:06,200 --> 00:40:08,000
Speaker 1: a bit murkier because like, hey, the price didn't go up,

915
00:40:08,040 --> 00:40:10,560
Speaker 1: you told me it was going to Specifically, they just

916
00:40:10,600 --> 00:40:12,520
Speaker 1: kind of vaguely hinted at the fact that it would

917
00:40:12,520 --> 00:40:14,480
Speaker 1: probably go up at some point and they'd be reaching

918
00:40:14,520 --> 00:40:17,359
Speaker 1: out to you. I think there's a decent chance they're

919
00:40:17,400 --> 00:40:19,040
Speaker 1: not charging you more because you've been a member for

920
00:40:19,080 --> 00:40:20,680
Speaker 1: a long time. Maybe they don't want to. Yeah, I

921
00:40:20,680 --> 00:40:22,040
Speaker 1: think that's true. The don't want to lose you. Maybe

922
00:40:22,040 --> 00:40:23,800
Speaker 1: you're an asset to the gym in a way I don't.

923
00:40:23,680 --> 00:40:26,200
Speaker 2: Know, But any more of those legacy members around to

924
00:40:26,239 --> 00:40:28,120
Speaker 2: hold it down, right, because if yeah, if they raise

925
00:40:28,160 --> 00:40:30,640
Speaker 2: prices is on everyone and everyone ends up bailing as

926
00:40:30,680 --> 00:40:31,319
Speaker 2: everyone I don't know.

927
00:40:31,440 --> 00:40:34,640
Speaker 1: Yeah, gyms have a community vibe, right, and you don't

928
00:40:34,640 --> 00:40:36,759
Speaker 1: want to lose some of the people who may been

929
00:40:36,760 --> 00:40:39,160
Speaker 1: there the longest. They're stalwarts in that community.

930
00:40:38,760 --> 00:40:42,200
Speaker 2: Those good looking guys like PJ right, buff dudes.

931
00:40:42,719 --> 00:40:44,840
Speaker 1: Maybe they've just postponed the price hike because of an

932
00:40:44,880 --> 00:40:48,399
Speaker 1: angry response to that initial email, or they just don't

933
00:40:48,400 --> 00:40:50,520
Speaker 1: have their act together. But either way, no, I don't

934
00:40:50,520 --> 00:40:53,440
Speaker 1: think it's your job to remind them. I think they

935
00:40:53,440 --> 00:40:56,160
Speaker 1: can if they start charging anymore. That's when you kind

936
00:40:56,160 --> 00:40:57,600
Speaker 1: of come to a crossroads, and if you figure out

937
00:40:57,640 --> 00:40:58,920
Speaker 1: how you want to handle it, be prepared.

938
00:40:58,920 --> 00:41:01,719
Speaker 2: Though it sounds like you get excellent use of your

939
00:41:01,760 --> 00:41:04,479
Speaker 2: gym membership, but that price increase, it's gonna mean maybe

940
00:41:04,560 --> 00:41:07,040
Speaker 2: a bit of a like a budget tweak. Maybe it

941
00:41:07,080 --> 00:41:09,440
Speaker 2: means reallocating like a little bit of money from over

942
00:41:09,440 --> 00:41:12,360
Speaker 2: here so over here now. But it still sounds like

943
00:41:12,360 --> 00:41:15,800
Speaker 2: you're gonna get plenty of value from that gym membership at.

944
00:41:15,680 --> 00:41:16,800
Speaker 1: A higher price point.

945
00:41:17,680 --> 00:41:20,279
Speaker 2: By the way, he mentioned how he's breaking it down

946
00:41:20,400 --> 00:41:22,240
Speaker 2: per use like the price per use metric.

947
00:41:22,680 --> 00:41:24,600
Speaker 1: Dude. I think that's so helpful, especially for.

948
00:41:24,560 --> 00:41:28,360
Speaker 2: Anyone who's considering considering joining a gym, because if the membership.

949
00:41:27,920 --> 00:41:30,000
Speaker 1: Is let's say sixty bucks.

950
00:41:29,680 --> 00:41:32,360
Speaker 2: And you're thinking, ah, that's fairly affordable, but you go

951
00:41:32,440 --> 00:41:34,680
Speaker 2: once a week, well then you got to ask yourself,

952
00:41:34,719 --> 00:41:37,560
Speaker 2: is it worth me paying fifteen dollars a pop every

953
00:41:37,600 --> 00:41:39,760
Speaker 2: time I go in there? But if it's one hundred

954
00:41:39,760 --> 00:41:41,480
Speaker 2: and twenty dollars, which is oh my gosh, that's even

955
00:41:41,480 --> 00:41:43,560
Speaker 2: more extensive. Let's say you go five times a week,

956
00:41:43,600 --> 00:41:46,799
Speaker 2: that's only six dollars a visit, which makes it much

957
00:41:46,800 --> 00:41:49,400
Speaker 2: easier to justify I think the higher monthly cost. So

958
00:41:49,440 --> 00:41:51,440
Speaker 2: it all comes down to, like you said, what it

959
00:41:51,480 --> 00:41:53,560
Speaker 2: is that you're getting out of it, and don't sleep

960
00:41:53,600 --> 00:41:56,120
Speaker 2: on building out your own home gym as well. I'm

961
00:41:56,160 --> 00:41:57,480
Speaker 2: a huge proponent of that.

962
00:41:57,719 --> 00:41:59,400
Speaker 1: You listen to the podcast, so there's a bit of

963
00:41:59,440 --> 00:42:02,520
Speaker 1: a d I Y spirit. What's you with your PJ?

964
00:42:02,719 --> 00:42:04,719
Speaker 1: What's the website that you used? Again for that? That

965
00:42:04,880 --> 00:42:09,160
Speaker 1: another listener recommended with garage gym or something. Well, there's multiples.

966
00:42:09,239 --> 00:42:12,160
Speaker 2: So street parking was one where there's where there's programming,

967
00:42:12,200 --> 00:42:15,800
Speaker 2: but that costs money. So I found one that's completely

968
00:42:15,800 --> 00:42:18,480
Speaker 2: free and it's more of a cross fit style workout.

969
00:42:18,480 --> 00:42:21,160
Speaker 2: That's push jerk okay dot com and there's somebody that

970
00:42:21,200 --> 00:42:24,360
Speaker 2: runs a thing that's a CrossFit coach and they update

971
00:42:24,400 --> 00:42:26,319
Speaker 2: it every day, like the night before. There's a there's

972
00:42:26,360 --> 00:42:28,000
Speaker 2: a workout. So that's that's what I wake up in

973
00:42:28,000 --> 00:42:28,279
Speaker 2: the morning.

974
00:42:28,280 --> 00:42:30,160
Speaker 1: That's what I do. So I don't know PG.

975
00:42:30,239 --> 00:42:32,520
Speaker 2: Addition, if the price I come the investment that goes

976
00:42:32,560 --> 00:42:34,720
Speaker 2: into building out a gym, I think PJ can easily

977
00:42:35,239 --> 00:42:38,160
Speaker 2: justify spending the money because he's there frequently enough. But

978
00:42:38,200 --> 00:42:40,520
Speaker 2: he also might say, you know what, actually this is

979
00:42:40,560 --> 00:42:43,359
Speaker 2: the perfect impetus for me to try the home gym.

980
00:42:43,480 --> 00:42:45,319
Speaker 1: Yeah, and if so, reach out PJ and.

981
00:42:45,320 --> 00:42:47,680
Speaker 2: I can get you more deats on what I ended

982
00:42:47,760 --> 00:42:48,920
Speaker 2: up doing in my garage.

983
00:42:48,920 --> 00:42:51,160
Speaker 1: All right, we got more to get to on this episode, Matt,

984
00:42:51,200 --> 00:42:55,279
Speaker 1: including investing in gold. We'll talk about that bitcoin and

985
00:42:55,360 --> 00:42:56,200
Speaker 1: more right after this.

986
00:43:03,880 --> 00:43:05,880
Speaker 2: All right, buddy, we are back from the break, and

987
00:43:06,000 --> 00:43:08,439
Speaker 2: of course it is now time for the Facebook Question

988
00:43:08,480 --> 00:43:12,120
Speaker 2: of the Week, which is from Andrew. He wrote, I'm

989
00:43:12,280 --> 00:43:14,440
Speaker 2: curious for those in a similar situation with a new

990
00:43:14,440 --> 00:43:17,120
Speaker 2: baby on the way. We are currently living in a

991
00:43:17,239 --> 00:43:19,640
Speaker 2: one bedroom apartment and need to move to a bigger

992
00:43:19,640 --> 00:43:22,719
Speaker 2: two bedroom apartment in March or April of this year

993
00:43:22,760 --> 00:43:25,920
Speaker 2: for more space. Our lease ends in September of twenty

994
00:43:25,960 --> 00:43:29,239
Speaker 2: twenty six, so there is a large overlap here. I'm

995
00:43:29,239 --> 00:43:31,680
Speaker 2: about to chat with our landlord about our situation, but

996
00:43:31,680 --> 00:43:35,360
Speaker 2: I'm curious what other creative ideas anyone has for minimizing

997
00:43:35,400 --> 00:43:38,680
Speaker 2: money during this transition. Should we negotiate a lease break,

998
00:43:38,840 --> 00:43:41,239
Speaker 2: ask for a sublet, ask to cover rent until they

999
00:43:41,239 --> 00:43:43,680
Speaker 2: are able to find a new tenant, ask for reduced

1000
00:43:43,680 --> 00:43:47,120
Speaker 2: rent from when we move to September or in September.

1001
00:43:47,480 --> 00:43:49,600
Speaker 2: Those are some of the ideas that I had. Would

1002
00:43:49,600 --> 00:43:55,120
Speaker 2: appreciate anyone else's perspective or other creative ideas. Thank you, Joel.

1003
00:43:55,160 --> 00:43:56,400
Speaker 2: What creative ideas do you have?

1004
00:43:56,600 --> 00:44:00,200
Speaker 1: Okay? Listener Andrew, God always taking grats. New baby coming soon.

1005
00:44:00,200 --> 00:44:01,120
Speaker 1: It's exciting times.

1006
00:44:01,640 --> 00:44:04,080
Speaker 2: So many hot of money babies. Yeah, I love it, dude.

1007
00:44:04,120 --> 00:44:05,799
Speaker 2: We really do need to get on that. We need

1008
00:44:06,280 --> 00:44:06,839
Speaker 2: the money when.

1009
00:44:07,000 --> 00:44:08,400
Speaker 1: I want to I know, Okay, let's I want to

1010
00:44:08,400 --> 00:44:09,120
Speaker 1: make that a priority for this.

1011
00:44:09,239 --> 00:44:11,600
Speaker 2: Just do it, okay, Well, time stamp of folks, if

1012
00:44:11,920 --> 00:44:13,319
Speaker 2: you can check in with us if you haven't heard

1013
00:44:13,400 --> 00:44:15,120
Speaker 2: anything about the HDM one.

1014
00:44:15,040 --> 00:44:17,920
Speaker 1: Sees that's right. So somehow of money listeners. This is

1015
00:44:17,920 --> 00:44:20,239
Speaker 1: a Facebook question, after all, had good feedback on this.

1016
00:44:20,280 --> 00:44:21,439
Speaker 1: If you're not a member of the how to Money

1017
00:44:21,480 --> 00:44:24,640
Speaker 1: Facebook group, please go join. Check it out. Great group

1018
00:44:24,680 --> 00:44:27,719
Speaker 1: of like minded folks helping each other out. At what

1019
00:44:27,760 --> 00:44:29,760
Speaker 1: a lot of people said, Matt and I completely agree

1020
00:44:29,760 --> 00:44:32,359
Speaker 1: with this is that a new baby doesn't instantly mean

1021
00:44:32,440 --> 00:44:36,440
Speaker 1: that you need more space, right, And yeah, honestly, the

1022
00:44:36,480 --> 00:44:38,960
Speaker 1: first six months are often a great time. Your baby's

1023
00:44:39,000 --> 00:44:41,120
Speaker 1: often like sleeping in your room in a crib or

1024
00:44:41,400 --> 00:44:44,640
Speaker 1: in a co sleeping sort of situation. So the rock

1025
00:44:44,640 --> 00:44:47,319
Speaker 1: and sleeper which got canceled, or when we had that

1026
00:44:47,360 --> 00:44:49,680
Speaker 1: for a long time it worked really well. Yeah, evidently

1027
00:44:49,719 --> 00:44:53,439
Speaker 1: it's not safe. Yeah, apparently some kids it wasn't great

1028
00:44:53,480 --> 00:44:56,200
Speaker 1: for them. Yeah. Yeah, but I think that's almost actually

1029
00:44:56,239 --> 00:44:58,440
Speaker 1: exactly how much extra time you have in your lease.

1030
00:44:58,480 --> 00:45:01,479
Speaker 1: That's six months between April and September. So I guess

1031
00:45:01,480 --> 00:45:03,440
Speaker 1: my first piece of advice would be to not assume

1032
00:45:03,480 --> 00:45:04,840
Speaker 1: that you have to break this lead so that you

1033
00:45:04,880 --> 00:45:08,600
Speaker 1: actually need a bigger space. Your current apartment might suit

1034
00:45:08,640 --> 00:45:10,960
Speaker 1: you well even after the baby comes. Maybe not for

1035
00:45:11,080 --> 00:45:13,239
Speaker 1: like years, but I think through the end of your

1036
00:45:13,320 --> 00:45:13,920
Speaker 1: lease it will. Dude.

1037
00:45:13,920 --> 00:45:15,920
Speaker 2: It makes me think of a friend of mine back

1038
00:45:15,920 --> 00:45:17,799
Speaker 2: in the day and with their they lived in this

1039
00:45:17,840 --> 00:45:20,640
Speaker 2: tiny funny that you and I record in our little

1040
00:45:20,680 --> 00:45:23,040
Speaker 2: carriage house, but they were living in this super tiny

1041
00:45:23,080 --> 00:45:25,839
Speaker 2: carriage house, one bedroom, really small, and they had their

1042
00:45:25,840 --> 00:45:30,600
Speaker 2: first baby. And we're also gonna get hate mail for this.

1043
00:45:31,280 --> 00:45:34,840
Speaker 2: He put the baby in a drawer of their dresser. Wow,

1044
00:45:34,880 --> 00:45:38,560
Speaker 2: not overnight, but just to demonstrate to his wife that, like, look, baby,

1045
00:45:38,560 --> 00:45:39,840
Speaker 2: we don't need more space.

1046
00:45:42,120 --> 00:45:43,120
Speaker 1: Oh, would absolutely not.

1047
00:45:43,200 --> 00:45:45,520
Speaker 2: And he's a let's say, let's be honest, he was

1048
00:45:45,560 --> 00:45:47,520
Speaker 2: an overly frugal let's hope it was a guy a

1049
00:45:47,640 --> 00:45:48,280
Speaker 2: vintage dresser.

1050
00:45:48,360 --> 00:45:50,600
Speaker 1: Those are made a lot better to him, super sturdy.

1051
00:45:50,920 --> 00:45:54,320
Speaker 2: Even still, don't we absolutely do not recommend for anyone

1052
00:45:54,360 --> 00:45:57,279
Speaker 2: out there to put your babies in a dresser with

1053
00:45:57,360 --> 00:45:59,840
Speaker 2: a drawer open. There's so many reasons that you don't want.

1054
00:45:59,680 --> 00:46:02,080
Speaker 1: To do that, true, but it's less about the baby.

1055
00:46:02,120 --> 00:46:02,200
Speaker 3: Like.

1056
00:46:02,719 --> 00:46:04,920
Speaker 2: The point he's trying to prove is like babies are small,

1057
00:46:05,120 --> 00:46:07,360
Speaker 2: Like they don't take up a whole lot of space.

1058
00:46:07,600 --> 00:46:10,239
Speaker 1: It's not the baby, though, it's all the stuff. It's

1059
00:46:10,280 --> 00:46:11,000
Speaker 1: all the baby stuff.

1060
00:46:11,000 --> 00:46:13,759
Speaker 2: It's the stroller, it's the Oh we need the we

1061
00:46:13,800 --> 00:46:15,719
Speaker 2: need the little one that breaks down easily that we

1062
00:46:15,760 --> 00:46:17,880
Speaker 2: can throw in the car. Oh, we need the bob

1063
00:46:18,400 --> 00:46:20,000
Speaker 2: you know the way, dude, I gotta keep up my

1064
00:46:20,040 --> 00:46:20,640
Speaker 2: running routine.

1065
00:46:20,640 --> 00:46:21,560
Speaker 1: I'll run with the baby.

1066
00:46:21,640 --> 00:46:24,520
Speaker 2: Oh, I need the What else do you get, oh,

1067
00:46:24,719 --> 00:46:28,200
Speaker 2: changing table or changing pad? Oh, here's okay, here's a

1068
00:46:28,200 --> 00:46:31,360
Speaker 2: tip for you, Andrew. We never got a separate changing table.

1069
00:46:31,800 --> 00:46:34,160
Speaker 2: Get they I'm sure they still make the.

1070
00:46:34,040 --> 00:46:35,160
Speaker 1: Molded peanut looking thing.

1071
00:46:35,160 --> 00:46:39,040
Speaker 2: The molded, wipeable, cleanable changing pad that you put on

1072
00:46:39,080 --> 00:46:40,240
Speaker 2: top of your cool dresser.

1073
00:46:40,560 --> 00:46:42,279
Speaker 1: So you can still use the dresser. Here we go.

1074
00:46:42,480 --> 00:46:44,640
Speaker 2: Uh, so you can still maintain that mid century look

1075
00:46:45,080 --> 00:46:49,080
Speaker 2: without buying an entirely new piece of furniture, piece of equipment.

1076
00:46:49,160 --> 00:46:52,439
Speaker 1: So question what you're bringing in your life. For sure.

1077
00:46:52,480 --> 00:46:55,680
Speaker 1: That's yeah, you're gonna get some stuff that and and

1078
00:46:55,719 --> 00:46:58,200
Speaker 1: some of the stuff is gonna be big and maybe

1079
00:46:58,200 --> 00:46:59,520
Speaker 1: for a few months you're gonna be like, where do

1080
00:46:59,560 --> 00:47:02,440
Speaker 1: we put it? We're a little overloaded, But I think

1081
00:47:02,560 --> 00:47:06,080
Speaker 1: it's question given the financial stakes of this, trying to

1082
00:47:06,080 --> 00:47:07,239
Speaker 1: stick it out in the lease makes sense.

1083
00:47:07,280 --> 00:47:09,360
Speaker 2: I think that's a great, a great conversation to have.

1084
00:47:09,560 --> 00:47:13,280
Speaker 2: For sure, it's worth Ellie's broaching the conversation with your partner.

1085
00:47:13,560 --> 00:47:16,200
Speaker 2: But when it comes to your landlord, I don't know

1086
00:47:16,200 --> 00:47:19,080
Speaker 2: if your landlord's corporate or if it's an individual.

1087
00:47:19,560 --> 00:47:20,960
Speaker 1: If it's the latter, though, if it's.

1088
00:47:20,840 --> 00:47:22,920
Speaker 2: Like more of a mom and pop style landlord.

1089
00:47:22,560 --> 00:47:23,600
Speaker 1: I think there's likely going to be.

1090
00:47:23,600 --> 00:47:26,480
Speaker 2: A lot more room for negotiating, cause I think most

1091
00:47:26,560 --> 00:47:28,440
Speaker 2: landlords are going to be more than willing to just

1092
00:47:28,560 --> 00:47:31,440
Speaker 2: try and find another tenant earlier than plan given your

1093
00:47:31,520 --> 00:47:35,800
Speaker 2: reasoning specifically, and so just reach out, be really friendly

1094
00:47:35,840 --> 00:47:38,759
Speaker 2: about it. Know that they don't owe you anything, but

1095
00:47:38,880 --> 00:47:40,799
Speaker 2: just be nice, right, just tell them that you know,

1096
00:47:40,880 --> 00:47:42,879
Speaker 2: I'm not here to break the lease, but if there

1097
00:47:42,960 --> 00:47:45,480
Speaker 2: is an option here, like can we find another tenant,

1098
00:47:45,960 --> 00:47:49,279
Speaker 2: find a way to exit early, we would really appreciate it.

1099
00:47:49,560 --> 00:47:51,279
Speaker 1: I'll also say, hey, I.

1100
00:47:51,239 --> 00:47:52,640
Speaker 2: Know we've got a baby, but we're gonna keep it

1101
00:47:52,719 --> 00:47:54,920
Speaker 2: spicking spanning here, like you let us know when you're

1102
00:47:54,960 --> 00:47:57,800
Speaker 2: gonna schedule showings. We're gonna make this place look really

1103
00:47:57,840 --> 00:48:00,800
Speaker 2: really good for you. Like, help me, help you, basically

1104
00:48:00,960 --> 00:48:03,279
Speaker 2: is what you're trying to say to your landlord. And

1105
00:48:03,320 --> 00:48:05,040
Speaker 2: I think that that would go a really long ways

1106
00:48:05,320 --> 00:48:07,040
Speaker 2: in them being willing.

1107
00:48:06,800 --> 00:48:08,800
Speaker 1: To consider it. What I think. Keeping it friendly is

1108
00:48:08,840 --> 00:48:12,200
Speaker 1: crucial because according to your lease to your state laws,

1109
00:48:12,360 --> 00:48:14,719
Speaker 1: you might have little to no recourse. Yeah, yeah, yeah,

1110
00:48:14,760 --> 00:48:18,200
Speaker 1: you're it right. In some states, actually, if you say, hey,

1111
00:48:18,239 --> 00:48:23,000
Speaker 1: I'm leaving, then the landlord is obligated to find a

1112
00:48:23,040 --> 00:48:25,839
Speaker 1: new tenant in short and as quickly of a time.

1113
00:48:25,840 --> 00:48:27,680
Speaker 1: That is a gain as possible right to mitigate your

1114
00:48:27,760 --> 00:48:30,000
Speaker 1: damages if you were to leave early. But in other

1115
00:48:30,000 --> 00:48:32,200
Speaker 1: states they're not required to do a thing, and they

1116
00:48:32,200 --> 00:48:34,440
Speaker 1: can just like sit on their hands and charge you rent.

1117
00:48:34,560 --> 00:48:37,279
Speaker 1: So know your lease, know your local laws, so that

1118
00:48:37,360 --> 00:48:40,720
Speaker 1: you don't make a massive financial mistake here signing another

1119
00:48:40,840 --> 00:48:43,760
Speaker 1: lease before you've tied up loose ends with your current landlord.

1120
00:48:44,040 --> 00:48:46,640
Speaker 1: Worst case scenari would be a big, big problem. Yeah

1121
00:48:46,680 --> 00:48:49,480
Speaker 1: for you, So do that. Don't do that worst case scenario.

1122
00:48:49,560 --> 00:48:51,480
Speaker 1: You're stuck in a smaller space than you want to

1123
00:48:51,520 --> 00:48:53,520
Speaker 1: be for a little bit longer than you need to,

1124
00:48:53,640 --> 00:48:55,920
Speaker 1: but hopefully if you can broach the conversation in a

1125
00:48:55,920 --> 00:48:58,279
Speaker 1: friendly manner, you might be able to get concessions that

1126
00:48:58,320 --> 00:49:01,040
Speaker 1: you're not necessarily owed, but the lord is happy to

1127
00:49:01,239 --> 00:49:04,360
Speaker 1: provide because you've been a good tenant and they're happy

1128
00:49:04,400 --> 00:49:08,279
Speaker 1: to get another person in there. They also have more

1129
00:49:08,320 --> 00:49:11,120
Speaker 1: of a timeline to work with too. Potentially, if you're like, hey,

1130
00:49:11,120 --> 00:49:13,120
Speaker 1: we'll pay half rent through this such a date, you

1131
00:49:13,120 --> 00:49:17,600
Speaker 1: could probably find a mutually agreeable arrangement. You just have

1132
00:49:17,680 --> 00:49:20,480
Speaker 1: to be proactive, I think in talking about that with

1133
00:49:20,520 --> 00:49:21,480
Speaker 1: your landlord totally.

1134
00:49:21,520 --> 00:49:24,200
Speaker 2: Okay, let's speed round. I want to do one more here,

1135
00:49:24,239 --> 00:49:27,120
Speaker 2: and because I already teased to it earlier, but this

1136
00:49:27,160 --> 00:49:30,319
Speaker 2: is from an anonymous poster. Is a good idea to

1137
00:49:30,400 --> 00:49:33,480
Speaker 2: invest in even a small portion of a portfolio into

1138
00:49:34,000 --> 00:49:39,720
Speaker 2: gold or Nvidia if already represented in the total index?

1139
00:49:39,800 --> 00:49:42,120
Speaker 2: Or S and P five hundred? What about ethereum crypto

1140
00:49:42,760 --> 00:49:43,360
Speaker 2: or bitcoin?

1141
00:49:43,680 --> 00:49:43,919
Speaker 1: Joel?

1142
00:49:43,960 --> 00:49:46,040
Speaker 2: What do you think is it a good idea to

1143
00:49:46,120 --> 00:49:46,960
Speaker 2: invest in these things?

1144
00:49:47,160 --> 00:49:47,319
Speaker 3: Yes?

1145
00:49:47,400 --> 00:49:47,600
Speaker 2: Or no?

1146
00:49:48,719 --> 00:49:51,960
Speaker 1: That's a tough do I have to say yes or no? Yeah? Yes, okay,

1147
00:49:52,960 --> 00:49:57,960
Speaker 1: maybe probably not. I'm gonna say it's it's certainly not necessary.

1148
00:49:58,080 --> 00:50:00,359
Speaker 1: It's one of those things where like you can't if

1149
00:50:00,360 --> 00:50:03,400
Speaker 1: that's what you're interested in and that's what you care about. Like,

1150
00:50:03,680 --> 00:50:05,400
Speaker 1: I think a lot of folks who have done a

1151
00:50:05,400 --> 00:50:07,560
Speaker 1: lot of investing, they followed kind of the basic tenets

1152
00:50:07,600 --> 00:50:10,400
Speaker 1: of investing and they do well. Over time investing in

1153
00:50:10,440 --> 00:50:11,959
Speaker 1: the S and P of my funder or total stock

1154
00:50:12,000 --> 00:50:15,279
Speaker 1: market index fund, Like, they're like, well, what's next, and

1155
00:50:15,320 --> 00:50:16,480
Speaker 1: they start to they want to get a.

1156
00:50:16,440 --> 00:50:18,080
Speaker 2: Litle wit with it, right, I want something a little

1157
00:50:18,080 --> 00:50:21,600
Speaker 2: bit sexier, but it's not necessary, and I'll just say no, okay,

1158
00:50:21,880 --> 00:50:22,719
Speaker 2: not necessary.

1159
00:50:22,920 --> 00:50:25,000
Speaker 1: No, no, yeah, it's not necessary, But like do you

1160
00:50:25,440 --> 00:50:27,000
Speaker 1: if you want to, you can write and then so

1161
00:50:27,040 --> 00:50:30,000
Speaker 1: that's where our kind of like five percent rule comes in,

1162
00:50:30,320 --> 00:50:32,640
Speaker 1: where we say, hey, if you're five percent the right

1163
00:50:32,719 --> 00:50:35,360
Speaker 1: stuff with ninety five percent the basic boring stuff with

1164
00:50:35,440 --> 00:50:40,719
Speaker 1: ninety five percent of your investments, then you can have

1165
00:50:40,840 --> 00:50:46,000
Speaker 1: fun with a side portion of the money that you're investing.

1166
00:50:46,080 --> 00:50:48,880
Speaker 1: So you want to make sure it's like firewall that's sandboxed,

1167
00:50:48,920 --> 00:50:51,720
Speaker 1: it's completely separate, whether that's like with a separate brokerage.

1168
00:50:51,760 --> 00:50:54,359
Speaker 1: That's what I do. I have my kind of fun

1169
00:50:54,440 --> 00:50:57,880
Speaker 1: investments essentially that are definitely less than five percent of

1170
00:50:57,920 --> 00:51:02,640
Speaker 1: my overall portfolio with a different brokerage firm, and I

1171
00:51:02,719 --> 00:51:04,800
Speaker 1: just like keeping it completely separate that way. Matt, I

1172
00:51:04,800 --> 00:51:06,560
Speaker 1: don't know if you do the same, but.

1173
00:51:06,560 --> 00:51:09,080
Speaker 2: No, I keep all my all that money is all coming.

1174
00:51:09,320 --> 00:51:10,920
Speaker 1: He used to be all messy. He used to be

1175
00:51:11,000 --> 00:51:14,919
Speaker 1: separate though, right, because didn't you move?

1176
00:51:15,000 --> 00:51:17,840
Speaker 2: Yeah, but no, But then I started investing more because

1177
00:51:17,920 --> 00:51:22,359
Speaker 2: I specifically we're talking about Robinhood here, that's where well,

1178
00:51:22,360 --> 00:51:24,960
Speaker 2: I've got multiple brokerages where I've got crypto invested in,

1179
00:51:25,200 --> 00:51:27,879
Speaker 2: which makes its only like I'm a cryptoballer, but it's

1180
00:51:28,080 --> 00:51:28,960
Speaker 2: five percent.

1181
00:51:28,760 --> 00:51:31,360
Speaker 1: Or less than my portfolio overall portfolio.

1182
00:51:31,480 --> 00:51:33,759
Speaker 2: And the reason that we say that is specifically, so

1183
00:51:33,840 --> 00:51:36,799
Speaker 2: no is not necessary. No, you don't need to, but

1184
00:51:36,840 --> 00:51:38,560
Speaker 2: if it allows you to stay the course with the

1185
00:51:38,560 --> 00:51:41,200
Speaker 2: rest of your investments, I'm fine. We are fine with

1186
00:51:41,239 --> 00:51:43,799
Speaker 2: you investing up to five percent, but just don't let it.

1187
00:51:44,400 --> 00:51:46,279
Speaker 2: Don't let it get any bigger than that. And if

1188
00:51:46,280 --> 00:51:49,320
Speaker 2: it does, I would also rebalance at the end of

1189
00:51:49,320 --> 00:51:52,080
Speaker 2: the year, make that a priority as well. But I'm

1190
00:51:52,120 --> 00:51:54,040
Speaker 2: fine with it if you want to five percent or

1191
00:51:54,080 --> 00:51:55,680
Speaker 2: less and what you're getting at to is it can

1192
00:51:55,719 --> 00:51:58,200
Speaker 2: be a pressure release valve of sorts where it's like, Okay,

1193
00:51:58,239 --> 00:52:00,840
Speaker 2: five percent, this scratches the itch so that I'm not

1194
00:52:01,040 --> 00:52:03,960
Speaker 2: messing with the ninety five percent bulk that's carrying me

1195
00:52:03,960 --> 00:52:05,719
Speaker 2: where I need to get in the you know, in

1196
00:52:05,760 --> 00:52:08,719
Speaker 2: regards to wealth building and saving for my future and

1197
00:52:08,760 --> 00:52:09,480
Speaker 2: for retirement.

1198
00:52:09,600 --> 00:52:11,759
Speaker 1: So if that allows you to stay the course with

1199
00:52:11,800 --> 00:52:13,480
Speaker 1: the bulk of it, go have fun with five percent

1200
00:52:13,480 --> 00:52:15,279
Speaker 1: of it. And if that means buying more in video,

1201
00:52:15,360 --> 00:52:17,880
Speaker 1: which especially you probably don't need because you have a

1202
00:52:17,920 --> 00:52:20,400
Speaker 1: lot of Nvidia inside of your total stock market r

1203
00:52:20,480 --> 00:52:23,919
Speaker 1: S and P five hundred fund or whether that's one Yeah,

1204
00:52:23,960 --> 00:52:27,400
Speaker 1: you know, I mean own I owned Tesla shares outside

1205
00:52:27,520 --> 00:52:30,040
Speaker 1: of the S and P five hundred because I think

1206
00:52:30,160 --> 00:52:32,200
Speaker 1: the electric cars that they make are awesome. Like that's

1207
00:52:32,200 --> 00:52:34,920
Speaker 1: just one of the small little itches I scratch, just

1208
00:52:35,000 --> 00:52:38,120
Speaker 1: like Warner Brothers and which some of these just individual companies,

1209
00:52:38,160 --> 00:52:41,080
Speaker 1: we're just like, oh what about this? What about that? Okay?

1210
00:52:41,160 --> 00:52:42,719
Speaker 2: Can I buy a share for like fifty bucks and

1211
00:52:42,719 --> 00:52:44,919
Speaker 2: then not think about it for the rest of the year. Yeah,

1212
00:52:44,960 --> 00:52:46,479
Speaker 2: I'm able to do that. And if you are able

1213
00:52:46,520 --> 00:52:49,879
Speaker 2: to do that, have fun. Yeah, all right, let's get

1214
00:52:49,880 --> 00:52:53,560
Speaker 2: back to the peer. This one's dulcemorte. It's an Imperial

1215
00:52:53,719 --> 00:52:56,920
Speaker 2: stout by Incendiary Brewing Company. Matt, you actually met the

1216
00:52:57,120 --> 00:52:59,400
Speaker 2: owner and brewer over.

1217
00:52:59,040 --> 00:53:00,279
Speaker 1: The holidays, right, Yeah, yep.

1218
00:53:00,320 --> 00:53:04,280
Speaker 2: So we got a massive thanks to Brandon who started

1219
00:53:04,280 --> 00:53:07,600
Speaker 2: this brewery with him and a buddy of his started

1220
00:53:07,640 --> 00:53:12,600
Speaker 2: this brewery. But dude, this was an amazing beer. Holy cow,

1221
00:53:12,680 --> 00:53:15,000
Speaker 2: would you smell? Would you pick up on the nose

1222
00:53:15,160 --> 00:53:15,919
Speaker 2: right out of the gate?

1223
00:53:16,280 --> 00:53:18,080
Speaker 1: Well, I feel like got a little bit of that

1224
00:53:18,480 --> 00:53:21,280
Speaker 1: bourbon oak, right, and then a little bit of that vanilla.

1225
00:53:21,680 --> 00:53:24,680
Speaker 1: The sweetness, it was sweet. I told you I thought

1226
00:53:24,719 --> 00:53:26,879
Speaker 1: it smells like it was aged in rum barrels. That's

1227
00:53:26,880 --> 00:53:29,200
Speaker 1: how much sweetness it hadn't have on the mind I do.

1228
00:53:29,960 --> 00:53:31,920
Speaker 2: I was gonna say it smells a lot sweeter than

1229
00:53:31,920 --> 00:53:34,160
Speaker 2: it actually drinks, because it's like that heat kicks in,

1230
00:53:35,040 --> 00:53:38,080
Speaker 2: that heat with that vanilla, and it almost like, I

1231
00:53:38,120 --> 00:53:39,799
Speaker 2: don't know how to describe this, It almost has like

1232
00:53:39,840 --> 00:53:42,400
Speaker 2: this wetness to it that I wasn't expecting, almost like

1233
00:53:42,440 --> 00:53:44,920
Speaker 2: a salty like a brininess, Like there was almost like

1234
00:53:44,960 --> 00:53:48,080
Speaker 2: a saltiness to this that added this entire level of

1235
00:53:48,120 --> 00:53:52,080
Speaker 2: complexity and depth in addition to all the notes that

1236
00:53:52,120 --> 00:53:54,200
Speaker 2: you expect with like a more of a Mexican.

1237
00:53:54,880 --> 00:53:57,360
Speaker 1: Mexican it's gonna say. You mentioned heat, and that's because

1238
00:53:57,360 --> 00:53:59,719
Speaker 1: it has hob andnarow peppers in it, right, and that

1239
00:53:59,880 --> 00:54:03,040
Speaker 1: is real heat right there. Very that is very unique.

1240
00:54:03,320 --> 00:54:05,920
Speaker 1: Not many beers include peppers, but that's why this is

1241
00:54:05,960 --> 00:54:08,040
Speaker 1: one of my all time favorite styles of beer. And

1242
00:54:08,080 --> 00:54:10,279
Speaker 1: this is such a good representation of it because I

1243
00:54:10,360 --> 00:54:12,960
Speaker 1: love that little heat back kick to the back of

1244
00:54:12,960 --> 00:54:15,760
Speaker 1: the throat that you get in a Mexican style stout.

1245
00:54:15,880 --> 00:54:18,080
Speaker 1: It's so good. Oh, it's so good. It's so good,

1246
00:54:18,160 --> 00:54:20,520
Speaker 1: and this is just a delicious one. I think I

1247
00:54:20,640 --> 00:54:24,280
Speaker 1: tasted the vanilla and the peppers the most on this beer,

1248
00:54:24,760 --> 00:54:27,719
Speaker 1: but I love like all the different little flavors and

1249
00:54:27,800 --> 00:54:31,160
Speaker 1: nuances in beers like this, especially ones that are just

1250
00:54:31,239 --> 00:54:31,719
Speaker 1: well done.

1251
00:54:31,880 --> 00:54:35,759
Speaker 2: So yeah, this was a phenomenal beer again by in Sundiary,

1252
00:54:36,120 --> 00:54:38,600
Speaker 2: and I think they've got multiple locations. We talked about

1253
00:54:38,600 --> 00:54:40,600
Speaker 2: some of the different spots that they have opened up,

1254
00:54:40,640 --> 00:54:43,480
Speaker 2: but yeah, this one, I guess it is headquarters in

1255
00:54:43,719 --> 00:54:46,600
Speaker 2: headquartered in Winston, Salem up there in North Carolina.

1256
00:54:46,719 --> 00:54:47,400
Speaker 1: Nice. Yeah, it's good.

1257
00:54:47,440 --> 00:54:52,680
Speaker 2: To have another North Carolina beer other than Burial, Wicked Weed,

1258
00:54:52,760 --> 00:54:55,040
Speaker 2: some of the big ones, but there's plenty of other

1259
00:54:55,040 --> 00:54:56,120
Speaker 2: great breweries out there as well.

1260
00:54:56,120 --> 00:54:59,240
Speaker 1: Most Steph, go find your local brewery co, grab yourself

1261
00:54:59,239 --> 00:55:01,440
Speaker 1: for beer, give him some of the Yeah, all right,

1262
00:55:01,440 --> 00:55:03,200
Speaker 1: that's gonna do it. For this episode, we'll put links

1263
00:55:03,239 --> 00:55:05,680
Speaker 1: to some of the sites and resources we mentioned in

1264
00:55:05,719 --> 00:55:07,480
Speaker 1: the show notes up on our site at how tomoney

1265
00:55:07,560 --> 00:55:10,399
Speaker 1: dot com. That's right, and until next time, Buddy, best

1266
00:55:10,400 --> 00:55:12,040
Speaker 1: Friends Out, Best Friends Out,