Saving vs Investing #163
This episode is brought to you by office. Depot Office depot has supplies and services for businesses of any size and they have a wide range of services they can provide twenty four seven tech support. Print your marketing materials and even help you design your office with variety of furniture solutions. They also have all of the supplies. Your office needs from ink and in paper to cleaning and break room supplies. I'll tell you one thing that I never want to have to mess with again is figuring out what kind of toner cartridges. My particular brand of printer her needs office depot. has you covered whether you're running a home office like I do or work in a larger corporate setting they have you covered office. Depot is ready to help your business with knowledgeable eligible associates in over thirteen hundred stores or online at Office Depot Dot Com. Welcome to money. I'm Joel it's Matt's Today we're discussing saving verse investing thing these in terms of saving and investing two terms that we use often. These aren't terms that are new to our listeners. But there's a problem because I think oftentimes a lot of folks and I think we're even guilty of this. I think sometimes we use the terms and properly and so in this episode. We're GONNA talk about what saving actually means when you should be doing it and what does investing in wind. Should you actually be doing that. Yeah there are a lot of factors that go into deciding when you should be funneling money towards savings when you should be funneling towards investments and so yeah. There's a lot to discuss here here. I think it's going to be helpful when folks are thinking about whether they should be contributing more to their 401k or padding their savings account a little bit more so yes. I'm looking forward to getting into all the specifics on this topic topic my friend. Yeah before we get into that. Let's discuss filing your taxes real quick. Oh Yeah because that's always fun right. Everybody loves taxis. And then it's upon us now yet in its full full on taxes now. What is their? W Two's if you're employed. Maybe you're getting your ten ninety nine from your bank because you earn interest on having exactly because you have high interest savings but it's full on tax season and we want an admission this because the IRS free file is now officially opened for business. Right this is at. IRS DOT GOV and. That's where you can go on and if you're going to have pretty straightforward tax return. That is a great place to go to be able to file your return four absolutely free and there are few places you can go to file your taxes for free that we wanted to mention. Irs Free File is one you have to make under a certain income which is actually sixty nine thousand dollars adjusted gross income this year to be able to file your taxes for free through the free file program you can find that. Irs Talk Of. There are other places where you can file your taxes for free. And I just wanted to mention to people to beware when someone says free federal filing that doesn't necessarily mean your whole tax filing filing that has to be done and oftentimes sometimes when they tout free federal filing means. They're going to try to charge you for the state filing at the end of it and by the time you're completely done filling out your return. You're just going to give in to come and do it because you don't wanted done it you don't WanNa go through that process again Zach. Yeah well that being said Credit Karma tax that is one spot where you can file for free federally and at the state level but again make sure sure you read through the details there to make sure what they do not include in turbo tax. They have a free addition as well if you have a really simple return right like if you're on the standard w income and if you know you're going to take the standard deduction for example which is the vast majority of folks listening. You're probably going to take the standard deduction those are some of the qualifications to be able to be eligible wolf for the turbo tax free tuition. Yeah and sometimes some folks you might need depending on how complicated your return is help from a CPA and we talked about that with our friend. Keith back in in December we talked about not messing up your taxes and so for some folks they might want to choose professional help but again that's turbo tax. Free Credit Karma Tax Irs.gov for the free file. If you choose any one of those routes you'll be good to go. Yeah well I doubt. Many folks are excited about taxes. But we wanted to mention this as a little friendly reminder for everyone out there you know you love Nerdy I. This is something I actually do enjoy. I was GONNA say I'm surprised that you have offered a free service for our listeners to do their taxes for them. I like doing my own tax corporation taxes like stuff that involves us into that. Because I like to understand things fully other people's numbers I don't really care about that. I will best of luck to everyone as they file their taxes. Just make sure you're not overpaying. Those taxes done on our meatless mentioned the beer. We're having on the show. Today are good for Josh Tennis. A Beer Barrel House brewing company called Khong Double. It's got donkey Kong on the front is. Ah Pretty Sweet Label and everybody knows as EPA so. I can't wait to crack into this one. And this label. This beer totally makes me think of King of Kong. Did you ever see that movie back in the day. That's one of my favorite documentaries of okay. It is amazing. If you've never seen King Kong be sure to look it up it's about these two nerds Duke it back and forth North Trained to be the world champion at the Arcade version of Donkey Kong. Yeah at fantastic movie and honestly when I saw the guy who's kind of the hero that you're rooting for four and the guy who's kind of the evil villain who you're ruining their actual real life people. But they couldn't have been cast better honestly because they're perfect so invested in the whole process. It's such a good movie. I mean it seems like one of those made up documentaries. Right like the mockumentary. I'm thinking of a mighty wind or best in show hilarious completely made up if yeah. They're not documentaries at all but the story of King of Kong like it just fit within that most so well. It's hard to believe that your life completely crazy that it was real life so get so anybody who hasn't seen King Kong go find it somewhere streaming classic it's excellent. We'll give our thoughts on this beer at the end of the episode but Matt for analyst get onto the topic at hand. We're talking about saving verse investing and the question on a lot of people's minds should I be saving or investing my money. And what's the difference folks confused with these terms. And of course they view because they're often used improperly for example. We call it saving for retirement. But actually sure I've said that before I know I have to. I know that that's been the case. But what we actually actually mean when we say saving for retirement is investing for retirement and saving and investing are both important. They both have their place. It's best to think of saving money as kind of protecting protecting your money right. You're locking in place you're making a small return on it but you're not taking any chances and then investing well. It's best to think of that as growing your money over a long period of time on but we should ideally be doing both simultaneously. We really need to be allocating money into both savings and investments in order to meet separate goals that we have both short-term and long-term longterm. Yeah man I mean just like you said we're fans of both saving and investing but the problem arises win. We have a goal that we should be saving for. But instead we're investing that money right. So typically we are saving more short-term goals maybe the have a nice down payment for a home to buy a car in cash even going on vacation can be something that you are saving saving towards and keep in mind that some of these goals can take a few years to achieve but in all those examples. You'd likely want to be saving your money. The other half of the problem is that sometimes we're saving saving money when instead we should actually be investing it right where investing for a longer term goals like being able to quit work or help. Our kids go to college. Those are goals was that are more than just a few years in the future. So we're GONNA have a few considerations the things that you need to consider before you determine whether you funnel that extra cash towards your savings account or towards the investment plan whether it's an IRA or four one K.. Through work these are the questions. You'RE GONNA WANNA ask I. What is my time horizon? And that is actually the main indicator of the most most important thing you need to think about when you're deciding where to allocate that money if you need that money within the next five years then deathly sabre there's just too much fluctuation in the the market when you need your money back in a shorter time period. Markets can swing quite wildly over a short period of time. That's normal market behavior. The ultimate trajectory over long periods of time is up into the right when we're talking about markets mad but if you're investing and you need that money back in two to three years you could lose a whole lot of your principal right. Yeah I mean if you are investing you need to be able to stick it out for the long haul because the ultimate trajectory of American businesses is one of strong growth. We can ride out those shorter swings if we have more time time at our disposal. We think that if you want to be an investor that you're looking at a minimum time horizon of five to seven years when you look at the historical returns there is a much higher higher probability that your money is going to grow but you could still lose money in that time period. That's why they always say that past performance is not a guarantee for future returns right so you have to understand that there is still some risk even with the timeline of at least five to seven years. Ultimately the biggest risk is not investing at all and watching inflation erode. Your savings. Yeah it essentially makes your money worth less and less over time as the cost of goods goes up and the return you're making on your savings is minimal and probably pitiful pretty much right now. These days as features savings rates are terrible. So if you're only saving money and you're not taking any riskier not investing for the future. Then you will see the value of your money degrade over time but if you need access to that money in just a few years time you just can't take the risk of investing it and by the way Matt. There are a lot of people that have done a lot of good number crunching when it comes to investment returns over time and it's interesting to see that typically over a five year period typically over ten year period the American stock market does really really. Well there are some periods though right where. Let's say you do need your money. In seven years. There are some periods in the past that the American market has actually declined in over seven year period. Where there's a negative return yet the rare few and far between but they do exist exact so that is something to know? Even though we're advocating advocating a timeline along those lines if you don't need that money for at least five years preferably seven you should be investing note that there is still a chance that you will have less money than you started with if if you chose to invest instead of save also that is an important consideration right there is not one hundred percent. Guaranteed that you're always going to grow your money. Within that five year time period is definitely something to consider. There are some other considerations as well that we want you to be keeping in mind when you are deciding whether you should be saving and when you should be investing. We're GONNA get those right after the break in this episode is brought to you by office. Depot Office depot has supplies and services is for businesses of any size. I speak to this personally as a college student when I was a business. The size of one Office Depot provides twenty four seven tech support. It lets you print your own marketing materials and it can help design your office with a bunch of furniture solutions. Sion's they also have exactly the supplies. Your office needs from Your Home Office to a commercial setup. They've got the ink. They've got the paper. They've got the cleaning cleaning. They've got the break room supplies. So when I was setting up my Home Office I went straight to office depot because I had a ton of stuff I needed to get and I wanted to get it all in one place but don't take my word for it. Safer Yourself. Office depot is ready to help your business with knowledgeable associates in over one two thousand three hundred stores or online at Office Depot Dot Com. We're back from the break talking about saving versus investing and before we dive into more these other aspects that we want folks to keep in mind. I think sometimes the trap that we fall into when we should be saving saving money but instead we're investing is because saving sounds so boring doesn't it not sexy at all whereas investing that seems like sophisticated and polished we now like saving that sounds super passive just kind of under saving my money. You're just squirreling it away. Yeah you're not really doing anything exciting with it. I know that's what happened to me when I was younger. Actually like when I started my Roth Roth. IRA for the first time. I heard that was something that you're supposed to do. I had zero money in savings in the bank. Like I didn't have an emergency fund. Nothing but I started my Roth. IRA and it didn't pan out so well. Because I had that money because I was broke right after college and I completely withdrew those contributions. And that's just not the best move financially actually sure. Yeah Yeah I mean the Roth IRA is nice because it has a little bit more flexibility. Right you're able to tap those contributions and we'll talk about that in just a second but typically retirement accounts offer very little access to the funds once you put them in and that brings us to the next thing that you really have to consider before you decide whether you're going to be a saver or an investor and that's that's liquidity liquidity is basically saying. How easy is it to access the funds that you're putting away investing? Your money will make it harder for you to access retirement accounts. Aunts have rules to prevent us from treating them like piggy banks and savings accounts. Right you're going to be subject to taxes and fees if you pull money out of a traditional IRA or a 401k. There are so many issues use when you're trying to access retirement funds before you hit retirement age so you better be darn sure you're okay not touching that money before you put it inside one of those accounts and this is good because you want the money you have invested to stay put and work for you over a long period of time and by the way Matt if we're talking about investing in real estate as opposed to investing in the stock market well that poses pretty major quality risks to write like having an individual property and then trying to sell it or you're GONNA pay commissions to a real estate agent and that house could be on the market for months months so the same thing goes when you're talking about investing in retirement accounts are investing in a single family. Home either way you slice it. Investing your money is going to prevent easy access for you using that money in the near term. That's right and the Roth. IRA just like we mentioned right. It does offer a bit more of a middle ground here like in. That's part of the reason we do like is that you can withdraw contributions at anytime for whatever you want but just keep in mind. This doesn't mean you should but you can just like you said that you're able to withdraw all your contributions and you didn't lose money but that might not be the case for a lot of people in a down market share and I would have lost a lot of money dude. Yeah if there's a bad six time period and the stock market goes down. Well you can still pull out your contributions there's less of your contribution sitting there for you to pull the and we're also not fond of taking out 401k loans or tapping a retirement account like a traditional Ira we he would recommend that. You consider that money untouchable and so if you think you'll need access to these funds earlier than your late fifties they just don't invest that money into a retirement account count. You can still invest that money. But maybe you'd want to invest that in a brokerage account where you won't get penalized for making those larger withdrawals and you'll just pay capital gains tax on the earnings. But if you have a longer time horizon a roth. IRA or brokerage account are definitely good ways to follow your money but matt when it comes to the liquidity when we're talking about savings popping your funds into a savings or checking account count means you can grab it basically anytime right. There's no hoops to jump through. You have to sell any funds in order to liquidate that money and if we're talking about rental house you don't have to put her on the market and go through all that rigmarole. You can just just grabbed the money when you need it and this is obviously great. If you've been house hunting and you're looking for the perfect deal to pounce on that money is ready to go. It's sitting there in your account but this is also so the biggest downside to money in savings accounts it's ready to go is right there for us to access and it takes more self control discipline. I not to blow that money so when we're talking Matt Liquidity Right. There's like a good side and bad side. It's very good to have access to liquid cash. In case an emergency comes up or we're actually saving for goal but the flipside of liquidity means that it's easier for was to access and maybe we choose to access it for a reason that's not actually beneficial for us and that would be the time we're having your money stashed away in savings or checking account can actually hurt us. We might it'd be tempted to buy stuff with it today instead of setting it aside and investing it for the long term. That's right you've got to have a little bit more disciplined if you're going to have a beefy savings account so joel another major difference before we decide whether to save or invest. Our money is rate of return. When you save your money is not GonNa make you wealthy right especially not right now? In in fact rates are so low currently that we're not even earning enough to cover the rate of inflation. We mentioned this on a recent ask. How the money episode savings rates have been dropping which is a huge downside to putting your money in savings accounts right now? They won't be crazy low forever but it's hard to know how long rates will be depressed but honestly sleep. That's just the price we have to pay right now. If you WANNA have easy access to money because you WANNA use that money for a short term goal you just gotTa deal with declining savings rates and it stinks and I think that is one one of the things that is tempting. Probably more people to invest are men and still saving and it's like declining rates. The stock market is booming. BEEN BLOWN UP. Maybe I should be investing more money and and maybe you should be but also. Maybe you shouldn't right so let's talk about investing the rate of return there. That's something we do need to take into consideration investing is attractive because we can get much higher rates return over time for Instance Matt P. Five Hundred Twenty nine percent return last year. I mean that's incredible right a pretty sweet. Yeah your average savings account had a return of what probably two point two five percent. I'm guessing it's way less than that on. Oh okay. National average is much much lower. But I'm talking about our interests. leavings accounts that we talk about. Those were up near those. Lofty rates are semi lofty. I Guess Tuna Quarter Yeah. Yeah but now. They've dipped down to the one point. Seven one point eight range so they're even lower and just seeing that stat might make you say all right. I need to be investing more my money. But you can't predict the immediate future and the exact opposite could happen this year. So rate of return is unknown commodity when we're talking about savings but it's very very unknown on a short time horizon. If we choose to be an investor investing can loor should be sabres because of the promise of greater returns but that can also put us in an uncomfortable position position by investing money that we need liquid access to so if we're investing in that manner if we're thinking of it on a short time horizon then it's more like gambling. It's it's less making a wise decision for the future. We're taking a bad approach. Where basically gambling on short-term economic results and Joel you mentioning last year's rate of return right in the stock market market? It makes me think of not just last year. The past eleven years like I think about all of our listeners who may be have only known bull market. Maybe they got a job right out of college. Ten years ago eleven years ago they graduated in no nine right like this investing things. Easy easy you just put your money here and it grows like crazy because that has been what we've seen over the past asked eleven years but we know from history that this is not normal. Like I'm not at all saying that. The market is gonNA crash soon but this upward trend of eleven straight years of growth is is not normal. It's not something that we can count on was literally the longest bull market in history. Yeah exactly and so if we get too comfortable with that or if that's all that we're looking at we're only looking at the past decade. We're going to think that. Of course I can throw money into the market for the short term is only going to go up but that is not the case and so if you end up investing that money in an attempt attempt to maximize your profit if you need that money for more near term goals you might find yourself in a tough position when the time comes for you to actually withdraw that money. If we've seen a market get correction Yemen talking rate of return. That's definitely something that we have to take into consideration and you're talking about the exuberance essentially that people can have correlated with investing in the stock market. The same is true in the housing market. And I think sometimes people assume that just because things have gone well in housing boom. I should get in there. I should invest my money. I need to be a part of that. But just know that again. Prior history the past five years or ten years of performance in the stock market or the real estate market doesn't mean you're going to see a similar trajectory over the next ten in years you might but there's a Gucci might not too so. Yeah so just be careful before you actually invest know that the rate of return is an important consideration. But your timeline is is just as important. Yeah so true Joel. All right after the break ruining it to some action steps things that you can actually do when you are deciding whether you should be investing your money or saving your money. This episode is brought to you by office. Depot Office depot has supplies and services for businesses of any size. I speak to this personally as a college student when I was a business. The size of one Office Office Depot provides twenty four seven tech support. It lets you print your own marketing materials and can help you design your office with a bunch of furniture sure solutions. They also have exactly the supplies. Your office needs from Your Home Office to a commercial setup. They've got the ink. They've got the paper they've got the cleaning. They've got the break room supplies. So when I was setting up my Home Office I went straight to office depot because I had a ton of stuff I needed needed to get and I wanted to get it all in one place but don't take my word for it see for yourself. Office depot is ready to help your business with knowledgeable associates over one thousand three hundred stores or online at Office Depot Dot Com are now back we're talking about saving versus investing their benefit both but there are pitfalls to both and so we've talked about the time horizon liquidity rate of return. You gotTA get into risk. There's risk on both fronts. It's depending on which one you choose so the reason you can make a higher rate of return by investing your money in the market or in real estate is because of the inherent risks that come along side of that more risk is basically accompanied by higher potential ward. So we're talking about savings. Well there's not really any risk right if we only do business with banks that have FDIC insurance and we keep bar total assets at that bank under the FDIC insured minimum which is two hundred and fifty thousand. So if you got more of that big fund got more than that in savings you probably interesting more but the biggest risk here is opportunity cost and seeing our savings getting nibbled down little by little by inflation and that's why we need to be investing and not not just bulking up that savings account into the hundreds of thousands of dollars. Yeah that's right and when it comes to investing there is a lot of short term risk when we're talking about investing your money right due to the natural fluctuations the market we cover this back in episode sixty nine in greater depth. But the longer that you're able to sit tight and stay invested. The less rescue realized you'll earlier in episode talking about what she hit seven years. There is a much less chance of you losing money in the market but there is still some chance right. Yeah you've ten years and that risk is even smaller once you get the fifteen years there. There is no fifteen year period of stock market declining. You're pretty much guaranteed to earn money and not just a little bit. But chances are you're gonNA earn a lot of money and so the risk that's involved when it comes to investing investing has to do with the short term. There's a significant amount of risk if you're considering single stocks we talk about this all the time. But the way to combat that is to look to widely early diversified low cost index funds. There are ways to avoid the inherent risk that comes with the stock market and again we'd recommend listening back to episode sixty nine where we really dove into you. You know what we perceive as risk but actually what is the the real risk that we're facing game and I think honestly some of this kind of comes down to personality type and sometimes studies show that it comes down to gender women are typically a little more conservative when it comes to investing men might be a little more exuberant and your way more prone to invest in beanie babies and right exactly five thousand. I'm just waiting for the market to bounce back on me because I know the market is going to go up. I saw those boxes of Bay blades in your trunk to right exactly man. How do you do all the children's toys you know? Oh I know about babies because when I was really into battling tops you ever play with those as a kid. I don't think so I played pogs back in the day Eh. pogs battling tops. were virtually exactly like Bay blades today. They're just call something different so it all comes around. Okay all right yeah. My my nephew played with blades. At least for like Hud is but basically it depending on your personality type sometimes your gender you might have different propensities. You might be a little more conservative by nature you might be a little more prone to risk but hopefully the things that were lining up your time horizon liquidity rate of return and risk if you think through those things well we're gonNA some solid ground to land on when we're deciding whether or not to invest our money or save money and for those of us who are a little more prone towards being savers and we get scared of investing in the stock market. Well hopefully this gives us a little little bit of a push to actually start getting invested and for those of us who are a little risky by nature and we go to hard in the investing direction and we don't have any left to save some of those short term goals. Well maybe we back off. What were dedicating towards our retirement accounts and we prioritize saving for some of those short term goals a little bit so yeah either way you fall whether you you have a higher tendency towards being an investor or sabre? I think these principles taking these things into account can actually help us. Make a better decision about how we're going to allocate our money. Yeah and so. The next question that listeners might be asking themselves is okay. I've decided that it's time for me to save or I've decided it's time to invest or both. Yeah where do I go right. And so when it comes to saving we would recommend that you check out the different online banks who offer those high interest rates. There's tons of them out there but they are our favorite spot putting your savings. The competition is robust. And and so you know to narrow it down look for customer service and those competitive interest rates. Joe You've got a great article on the site. They're talking about why you opened an account with cit they. They are a great option and a lot of folks might be wondering why we're not mentioning the local bank or your local credit union and that's because first of all they're not offering great interest rates secondly their online banking can be a little lacking they offer great loan products when it comes to the interest rate that they're offering when you're looking to borrow money. Yeah but when it comes to the interest great that they're paying you a lot of times. It's not going to be that great. I love credit unions for borrowing not awesome for saving them but the worst for saving is the big banks. Of course I saw online. Banks are a good place to start cit. Great discover ally Matt. I mean there's so many good ones at this point marcus. Another person recently left us a message and asked about their marcus. Marcus Account. I mean there are a lot of great places to go online to get a decent savings rate now just yet. Make sure you prioritize customer service at the time so when we're talking about investing colour. Should you go then. Well your work. Retirement account is a good place to start if you have one and especially if you have a company match in aluminium you want to prioritize getting that match if you're investing on your own to a low cost investment espin house paint guard Fidelity Schwab in one our favorites. Open up a roth or a traditional. IRA and invest in low cost funds and there are other ways to invest besides just retirement accounts. Real estate is another thing to consider. We've talked about that in the past but just know that investing there are a lot of great places for you to land. Don't go on the recommendation of. Maybe maybe someone WHO's helped you buy insurance before or maybe even just a friend. We would highly suggest the low cost companies that we just mentioned and also remember as well that you don't have to be one hundred percent saving or one hundred percent investing there can be a happy medium the Roth. IRA cain give us a little bit of flexibility and allows to become investors on a slightly shorter time horizon since and will have access to those contributions like we discussed earlier. But just keep in mind that in a savings account. You can't lose your principal right like you can't lose your contributions but you can win invested in a Roth right. There's all these trade offs that you need to consider that we've talked about through this episode but just make sure you keep that in mind and a lot of folks might be wondering about CDs certification of deposit and in that case we would recommend to not even really consider CDs because the rates that are being offered right now. They're not much higher fire. If at all higher than the high interest savings rates that are being offered by the online bank's gotta you can kind of skip those altogether and not have your money tied up for a year three years five years. Whatever whatever it is I think CDs used to be a little more beneficial and they just seem like? They're kind of dying on the wayside. Yeah and because the online savings accounts of becomes so good and they're paying such kyw rates so now that we know all the risks associated with saving versus investing. We know where to go. Well what do we do now. It depends on what our individual goals are. If you don't yet have an emergency defined well you need to have an emergency fund saved of at least two thousand four hundred sixty seven two four six seven the number. I Know I love that specific number two that we can give people we'll shoot for and I think it's helped a lot of people mad as we've put that out there they're like okay. It gives me just a specific amount that I need to hit it so concrete and I think that's that's the beauty of it right versus versus saying. Oh you need to have three to six months worth of living expenses. It's like okay. We'll do I consider like my living expenses now or what I could survive on. Should've three should be six six. Like where do I land. Yeah and that's still. I think a good goal to have but this is at least the minimum goal. Like this will keep me solvent no matter what happens typically right that should should be our top priority before we go about opening investment account and starting to fund it even before we save for other short-term goals having this emergency fund is going to do wonders for our peace of mind and helping us feel in control of our money and of course you want that money to be highly liquid inaccessible so those funds should be in your high interest savings account one of the ones that we just mentioned and in ideal world you can prioritize both saving and investing right that emergency fund of two four six seven. That is a great start. But you'll need more liquid cash to help you with your future goals right how you slice up the percentage that you put towards savings investing. That's going to differ based on your individual goals right. Say You don't want to buy a home and you want to retire at age fifty. Will you likely funnel way more into your investments but maybe you want to buy a home two years. Well you will want to beef up your savings for the time. Hi I'm being ultimately prioritizing both provides civility and it provides you options to be able to change your mind down the road because goals that you have now may not be the same goal that you have in five or ten years and I think a lot of times superficial. They get overwhelmed. You know they'd see the different accounts like vanguard. Actually they've got pretty high bar set as far as the minimum amount that you need to get investing a lot of folks like with fidelity they don't have minimums when it comes to getting started investing especially in their different retirement accounts. And so if you're able to even to set aside twenty dollars a month that can just be a fantastic way to get that ball rolling to where it doesn't feel like this massive audacious intimidating thing. It can something that they just start plugging away at. I think a lot of people hesitate to start investing because they're like I don't have thousands of bucks to get into the investing game. I'm not an investor. Right it feels. Here's like this lofty thing that you can achieve. I have to just be a saver right now but you can be both and you can start investing literally ten twenty bucks a month. I mean just getting started is is half the battle and it makes you at least feel like I'm an investor. Now I can do this yet. A company like fidelity who has zero minimums Schwab the same. You can get started and at least get on your path to investing for the long haul and I think that it's important to note that you likely have to change your allocations over time as your goals change right some years. You might be more a savior some years you might be more investor it really depends on kind of how those short and long-term goal shape up and as you get older and you begin to prioritize different things those goals are going to shift and where you allocate get. Your money's GonNa Shift to. That's right man. I'm not who I was yesterday very. Who knows what's going to happen in five years all right? Let's take it back to the beer this up so we had com. which is a double full hazy? IFA by Barrel House Brewing Company. And they're out in California. Joe What did you think about. This beer. Man was great. I like easy. WBZ's I feel like a Donkey Kong was throwing barrels. My mouth like POPs barrels of hops exploding arrows of flavor. Yeah so I thought it was really good. I mean really. It's one of my go-to styles and I really enjoyed this one again. A big thanks to our Josh for donating this Beer Joe I notice on the labels well where it says. Instead of high school it says hop score. It's got ten issues which is a nerdy beer thing about international bitterness units. That's exactly the same so ten. It's not super high. Which means this beer drink pretty pretty sweet and mellow kind of drink? Orange juice which we've described many a beer tasting like that before which means that. We really enjoyed this one. We'd recommend for you to check out that brewery if you're ever out there or near Barrel House but Joel. I think that's going to be it for this episode our listeners. You can find more helpful information on our site at money dot com. I noticed we've had a bunch of new listeners. Come on on since we hit two thousand twenty which is great. We love inviting new listeners. into the show. Don't forget to give our facebook group. A shot just search out money in the facebook search bar and you'll stumble upon our group. It's really help a lot of great people in there. A lot of robust conversation. Yeah over five thousand members now which is really really cool to see Ya and also If you're new go back and listen to some of the prior episodes Matt we've covered so much information mation through one hundred and sixty three episodes. This I can't believe it's been this many but if you're a new listener go back and check out some of those older shows. There's some really good stuff in there for you. Yeah but he you know we've covered a lot of topics. Yeah we're GONNA continue to. That's going to be it for this up until next time. bestfriends out as friends out and the only way is through a new podcast. In partnership with iheartradio under armor players coaches and athletes will share intimate and personal stories performing at the the highest level. Here is Canadian tat. Lee Georgia Ellen. Were the reason I want is because on that day I was confident and to continue that mentality to understand I can can be an Olympic athlete. I can compete with the best in the world and just perform listened to the only way is through available now on iheartradio APP or wherever you get your podcast.