20 Episode results for "Two Hundred Eighty Thousand Dollars"
Tech Tuesday: Financial Wellness for Retirees
"Welcome back and happy tech. Tuesday we are coming to you again. Virtually and we have a great topic this week. We're GONNA be talking about financial wellness for retirees. This is hot hot topic right now. There's a lot going on his release Swiss. We have a very special guest reinforcement who is founder and CEO of hinder. So that further. Ado Rian can you please go ahead? Tell us who is kinder-. Thanks so much for having me on today. So really excited to share with you. A little bit about kinder- were a financial technology company that one hundred percent dedicated to reimagining national wellness for modern retirees and modern retirees. That I think about people between the age of fifty and seventy These are baby boomers. this is the first generation That really created modern technology so these are the founders of an early employees of companies like apple and HP A and they they a really challenging set up dynamics when coming into retirement and that was before even the latest issues with Corona virus near the first generation to be retiring without a pension There the first generation to be living likely ten years longer than their parents and all of a sudden. They're trying to figure out how do they? Diy modern retirement. Yeah there definitely. There's there's a lot of that to consider so on that note. What are some of the ads this? This group starts preparing and planning for retirement. What are some of the key things and they should be thinking about this? A couple of things that we think about The first is is intersection of health and wealth I think when you're younger if you have been healthy you haven't often thought about health as a financial issue But I will tell you that no matter what retiree you talked to. They will talk about their health issues in both the how they feel but also what it means for their finances the average couple will spend north of twelve thousand dollars a year just on medicare premiums and that means that over their retirement cycle. They're spending two hundred eighty thousand dollars on like the basics of healthcare so I would argue that. Healthcare is a huge financial issue for this demographic. That's number one is like health and wealth together. The second is they're really trying to piece together a puzzle again as I mentioned. This is the first generation that's retiring without pension. They typically have multiple retirement accounts if they have a spouse that spouse also has multiple retirement accounts. You can't merge retirement accounts with each other and so it's not uncommon for this retiree DAB north ten accounts and they're trying to figure out every single month. How do I create that retirement paycheck. The last part of the equation is retirement. Income again. This generation is really the first generational mass. That's retiring without a pension and the religious figure out. How do I D I Y retirement income Social Security is really the foundation retirement income. Some of them will have like a partial pension. Maybe they worked for a company for ten years and they have that partial pension. And if you will also have an annuity and what we really focus on a kinder- how do we actually create that retirement? Paychecks or you make sure that you have enough income in retirement. Think about what that balance between guaranteed flexible income. Looks like a lot a lot to think about at that time. Exciting and scary and everything in between so when we you know we being in in this world in New York are so much with technology in you here especially from financial services perspective. A lot of focus on millennials and younger demographics and how how natural technology is for them but of course studies in statistics. All over have shown us that that this generation is actually very very actively playing in technology. So can you elaborate a little bit more on the impact of that where that's GonNa lead US moving forward? It's a good question. I think that there is still prevailing on perception in technology. That if you're over the age of fifty you don't know how to use your phone and computer And there's a couple of thoughts. I have there. The first is that You can't just group everyone over the age of fifty together. It's kind of like saying everyone under the age of fifty as the same So you definitely see. Kind of different behaviors We see in particular boomers who are kind of in that fifty to sixty five year old court really actually looking more like gen-x than what you may be stereotypically typically think of that as like an older American. Typically we think about older Americans people that are over eighty eighty five so very different tech usage of eighty five year old versa. Fifty five girls Consumer is online. They may not be on. Tick talk on. But they're really active on facebook and actually facebook for them as a huge channel on it creates a lot of engagement and allows them to reconnect with friends that they haven't been able to see a long time and they're they're also active consumer so you know this consumer spending three times as much as millennial so they. They drive the economy and their online. They're on Amazon there on that. Flex their on Hulu What's interesting is that oftentimes Hacking technology that wasn't built for them And that's actually where I get really excited as I think about building a ban that was built from day one or consumer That means really thinking about how. You design a user experience for them I think we've all been taught to create really short funnels that allow a customer to make decisions really really fast too. Because that's the way. A lot of millennials like to interact. What we find. Is that boomers on. Average tend to be a bit more purposeful. They WANNA take time as in make decisions not surprising particularly when it comes to financial wellness in retirement. These are really high consequence decisions so social security figuring out Medicare and you're not gonNA spend two minutes on you're probably gonNA spend two hours and you're GONNA do a lot of research and so really thinking about how you design experience that allows the customer to take their time to do their research. We think is really important. So many gems information there and like you said a lot to think about in a lot of opportunities to really help alleviate all of the feelings that come around with with retiring and how to swim away that is friendly and really seamless is certainly a pretty well. Thank you so much. We appreciate the time for a full details on Marines. Doing including the what kinder- is doing You can look at the link below. We have great snapshots and links to more and you can reach out to her directly there. Thank you so much as always until next week.
Borrowing Money in Small Business Is Suicide! (Hour 1)
"Yeah decide that because that's going to be an essential part of this discussion I gotTa Tell You we've started it for years it's very possible to have a high quality family business borrowing money in small business is suicide it's double triple suicide when there are four or five principles or three principles that are all co-signed on it together because if it doesn't get asking me my opinion and I'm an expert on my opinion so the thing is this family business can be done really well and we do it need to keep credit cards though because I may have to personally guarantee loans with our company one day is that something that like normal is that going to happen better than I deserve what's up hey so I was calling because my wife and I are baby step two and it's GonNa be a little bit before we can pay everything off I will be one of the owners one day okay so you have to decide if you want to spend the rest of your life in debt I will be eventually being owner so there's two owners and then three there's three generations working right now there's three that are not owners and two that are owners right now pull eight eight two five five two two five starting this hour off is GonNa be chasing Nevada high chase our you dave how're you doing well I guess that's up to you if it's going to happen because they the banks have been telling them before that they have to personally guarantee loans because they've been saying and I currently work for my family business and everybody's on board saying congratulations get on board and let's get this debt taken care of for us and they started telling me that hey there's that happens and so so I'm on any of your family members are involved in this family business currently right now there's five of us and Oh baby you got the whole debt there is no way I'm signing up for this trip you're taking okay so I'm beloved to be involved in this family yes I'd love to be an owner but you gotta know as long as I'm an owner there won't be any debt here we're GONNA cash flow we're GONNA cash flow this business by talk that I if I when I take over 'cause I will be the majority owner that I'm going to change it to move to that way and you know they don't worry about borrowing money pay they can come after any one of you with his personal guarantee and not just for your portion honey for the whole puppy so your your two brothers decide they're going to Z.. Show or DAD is dumb cash is king and the paid off home mortgage has taken the place of the BMW as the status symbol of choice okay because you're not going to borrow money at that point right exactly exactly so if you're not going to borrow money from the point that you take over on and you're not going to borrow money in order to be able to take over meaning buying someone out or taking the existing loans off the books or whatever and you're not going to have to do all of that to become sitting in this majority owner position cocaine one of them and other one's GonNa run off the secretary leave you old in the bag that's happened before and guess what you got the hall and Shall Lada off or my business in debt and by the way all small business debt is personal debt because it all requires a personal guarantee that's no different in your situation so and then there's no reason for you have to have credit but if the good news in this situation as you are going to be majority owner and so you get to make the call I'm Dave Ramsey your host thank you for joining us open phones at triple eight eight two five five two to five as we talk about your life and your money that's your mortgage and I did do your financial calculator online and it showed that if I start paying early on my house in live five to two five Brad is with us in Illinois Hi Brad welcome to the Dave Ramsey show hey dave thanks for taking my call sure what's up and so we have to you know I've got a lot of stuff in this building I built this over a million dollars and we pay cash for all of it and we had to watch what we're doing and the I suspect there's going to be some awkward conversations in your future Sir but but there'll be worth having thanks for the call open phones at triple eight eight to five your situation the frustrating thing for some of you about the show is that these principles we've laid in place have worked the headline in the newspaper was Ramsey breaks ground and will build at the speed of cash and so I told him I said we run out of money somewhere along the way for so long so many decades for so many millions of people that they're probably not going to change when you call fourth forethought and so forth to have the money to finish all the way through but but that's how we do we run our business at the speed of cash and I'm not going to get myself next year June July only save roughly like six thousand dollars over the life of the loan would it be beneficial for me to pay it off I think you're I think you're walking onto a minefield you're gonna get your leg blown off okay I wanNA start much trouble for your family but you made the mistake dozens and uncles and all will have the thirty five percent okay and so who wasn't instructed you to get a credit card your mom or your uncle my mom was the one that was and I know it's a little barn advanced but when it comes to pay off my mortgage I have a very low interest rate I have two point eight seven five hundred fifty yeah that would be true if guarantee alone but I would recommend the personally guarantee machinery that was over a million dollars before and that's just like buying machinery on credit saying that you need to have credit and my dad is well who's just he just he's married and he knows about it and said who you need to have in order to personally guarantee alone today call pound two fifty and say the Keyword Dave Ramsey worked Gotcha okay and so but your mother owns majority interests apparently yes she owns sixty five percent and that's GonNa pass to you and your and your tell you to borrow money on your home to invest you knew I wasn't going to right yeah so don't do it thanks for the call open phones at triple eight eight to five amy's with us in Rhode Island I amy welcome to the Dave Ramsey show hi thank you saving forty dollars a month guys pure talk. USA has the same great coverage for less and no contracts try it risk-free he has a gift he has a passion and he puts forth extraordinary effort he is at a private music school he's a freshman all the five two to five you jump in we'll talk about your life your money this is your show folks it's all about you and yes private music schools are about seventy thousand dollars he received Twenty five thousand dollars in scholarships for each of the four years he'll be going to the school one of the world's worst things you can be as a minority owner in a small business you have absolutely no power and all the problems it's GonNa be a few years before I take over 'cause I'm I'm just twenty one nine so one day I will own it so it's GonNa be it's GonNa be a little bit 'cause it's my mother that's the main owner and then her brother and his kids and grandkids Gotcha let him take out the loans because eventually I will inherit money and be able to help him pay them off so I don't know it doesn't sound like a good idea I don't see how he can do that for four years then the kicker is my parents are everyday millionaires and they keep telling me to we switched from verizon to pure talk thanks Dave Ramsey I was skeptical but after leaving the big city and traveling to a rural area service coverage never lapses were also yeah I know getting on it that's key or should I invest the extra fifteen hundred dollars give or take a month into other investments that's the equivalent of bar one thing about consistency Salomon of integrity this is the Dave Ramsey show there's an orchestra position I don't know any Soloist Tubas that I've ever sold millions of records off the top of my head as a consumer I don't know that debt waiting on his grandparents to die to get him out of this which sounds terrible it is awful it's horrible use of your family's legacy in your family's money needed to talk to you how can I help I have a son who's eighteen years old he's a classical musician he plays Symphonic Tuba he is the training is not worth it so what do I tell him to change dreams I would live my dream a different way because the in loving my son well and not usher him into a bear trap that tears his leg off and and all in the name of a dream so I recently center in probably like the last four months simple question for you I'm Kinda burned through the baby steps pretty quickly right now so unfortunately that doesn't cover it he took out a thirty eight thousand dollar loan which is scary but I don't know how to encourage him going forward meeting and that's GonNa sound like I love you so much I will not participate in things that harm you okay to be a gifted Tuba player I know I don't see I mean I don't know enough about the music world the only thing I can think of so for four years we're going to have two hundred eighty thousand dollars invested rolling on your home to invest yes I get that hundred if you got it one hundred percent does you knew is my opinion but that's what you calling me for and so I you know I'm going to do that but we don't just sit and carry on with me all the time I'm talking with you about Saddam and you're not being dumb you're brilliant but I wanna walk with you and help you and honey what we're doing here together and I'm standing on the sidelines watching the Boston Philharmonic or something even then but I don't understand he can't get the training he needs at a private school excuse me at a public school my point is that I don't see how he's going to be able to slow down the second seventy thousand dollars a year that's with room and board yeah and so Ramos quickly becoming what's known as a nightmare and you're going to have a guy making thirty five thousand dollars a year that has spent two hundred eighty thousand dollars in two hundred thousand dollars in to play in a symphony orchestra he'll make money you'll make like forty thousand dollars a year our passions in the music world and in a way that becomes that that that doesn't trap you I'm probably GonNa tell you the same thing I told the last caller two and the one before that and the one before that so it's Kinda boring for some of you like some of you sit in the car and you know the answers very difficult world to the show business world to start with and then you take a nuanced slice of that a small slice of that and I fear for this young man's future he played you play answer the question before Dave dice because it's predictable you know but one thing about integrity it's always consistent and you we need a took I'll help you I'll coach you I'm your biggest cheerleader I'm your biggest fan of your giftedness of your musical ability and I don't even know anything about it so but I mean I I've observed the music business in Nashville for years and I know what the percentages are making living much less making it big and that's with people that play instruments and genres of music that are more widespread through the public actually monetize right but even then Your Instrument of choice I'm your biggest fan I'm your mom nobody loves you more than that and it's like which federal law were required to love you even when and that mom if she follows through on this as being a great mom and it's GonNa be awkward it's GonNa be hard talk. USA saves you money down from Minnesota said but it's going to lead them into an financial nightmare then it's really not a dream it's it's a series of bad decision the house like a bunch of pterodactyls you know it's like she men were you raised go outside if you're you know so and yet whole bunch of never get to the number of people that were on American idol that now work on my team is will blow your mind you know and so it's just it's yeah those are awkward and we got getting ready to be number six six and under the grandbabies you'll think they don't have some interesting discussions with Papa Dave when they're running around screaming and and it's not to say that the young man doesn't isn't gifted I'm not I'm not putting down to players and I'm not putting down his gift I'm just trying to be wise but don't spend two hundred fifty thousand dollars for a master's degree in sociology so you can work for the state making thirty eight grand as a caseworker that's dumber than Iraq because I knew the answer but thank you for helping me put it into words for him it's all it's all about it's all about love and somebody's not just trashing them right but and I and I and I'm like you loving I want him to do good I thanks for the call you know that's a really good discussion right there y'all you just as part of parenting it's part of grand parenting it's part of good relationships is being kind enough to have the courage solid state school in a field of study that will our own I I was in school we had field study called legit do his job coming out of college was eighty three thousand his first job and he'll be making one hundred and twenty and mystics now call it supply chain and come out with a four year degree in supply chain from the University of Tennessee I talked to a kid young a two year old version of him is gonNA hate you guys not stopping train wreck that was a beautiful way now that I have presenting this and that's what I called for don't do that because you have a big heart and you care for broken families and children that are struggling I got a big heart I ever broken the Times that I've been a great dad they were according times are the Times that I've been a great Papa Dave Grenfell man that graduated two years ago from the University of Tennessee with a degree in supply chain paid twelve thousand dollars a year intuition to get John's is what it is and you've got to look at that I mean I'm not against people having a music degree I'm not against people having art degree I'm not against you having a degree in sociology and if they're in if he knows something that I don't know where you know something I don't know I'm willing to learn I just as a sitting outside the music business I'm in talk radio for reason I can't even gary tune and this is where people have said all we have to quit college educations no longer worth it your college education is worth it's worth every dime you pay for it at an inexpensive good steve is whether it's in California Hi Steve Welcome to the being the joke around Nashville's how do you get the next country music stars attention waiter and you know they're all everybody in this town can play in Yodel you know and stupid and when you die they can use the money to pay off oh my gosh it's like you know I'll pay for your drug Rehab after I'm gone to say things out loud that everyone else's thinking and so if your child has a path that is their dream thirty minutes in that field and his career track is straight up now that's what's known as a return on investment that's education that has grown right because he's gifted and I don't doubt that he's gifted but me and him if he's mine yeah we're about to have a come to Jesus eight marketplace value and this is what we coach people in if we're smart moms and dads and grandparents grandparents if your everyday millionaires don't tell your kids to go to some just don't that's not a loving act a sweet lady sweet lady great call this is what this debt free degrees yeah can you imagine who he's going to be when he's forty two and your parents are still alive yeah yeah that's all right books all about Anthony O'Neil's book he's out there on book tour right now check it out I'll tell you more about it later this is the Dave Ramsey show live from the headquarters of Ramsey solutions broadcasting from the dollar car rental studios Dave rant a car wreck with my son in the car. I don't WanNA participate in this I don't want you to do this I wanna find some other way for you to live out your gifting with and Ramsey show hey kennedy last week thank my call honored how can I help fill I'm a lawyer a couple years out of law school and I just families and children that are struggling I want you to be able to help them but a two hundred fifty thousand dollar investment for thirty eight thousand dollar job this is known as dumb in other words we're don't have the money to finish it was just a little bored on the window and we lightweight away a little money and go back to construction when we got some money but God bless us and we were able to have the money with good planning and beaming in town on a new job at a big law firm making about two hundred thousand dollars a year wonder yeah so I've got about eight K. in debt After having listened to you for a week I I no no no problem paying off real quick this year my my question for you is I know this job the kind of calling towards doing justice in my mind yeah okay okay the question is what is so fun about being a prosecutor that it's worth you paying a hundred and twenty I just I really I mean I appreciate that and I appreciate the nobility of the call on you don't have a problem with any of that but what you're asking me I'm just trying to Pasha was going through school I like the criminal aspect of it I like the justice aspect of it and you can't do that on the defense attorney side and you just got an job right right so what would be your ideal game plan I'm thinking I'm thinking two years her kinda wondering how long that needs to be well I mean mathematically a long time physically emotionally spiritually not long at all right and that's what you're saying that's the juxtaposition or the paradox you're facing so I certainly won't stay there long enough get that eighty grand gone right Kinda weird position of my income peaking early in my career rather than later well with that job but not routing not at not in other thousand dollars a year for the privilege propping fry slightly better quality of life but also just kind of screw a lawyer thing and if you if you survive the meat grinder you might become one of the forty seven partners right right I see that happening for me just based on my interest what's the allure of the prosecutor's office it's worth one hundred thousand dollars a year kind of always wanted to do but reframe your question back to you to give you some ways of thinking about it I'll give you an example in this borrowed borrowed future podcast we're talking about that sure but that'll be a huge pay cut so I kinda wanted to get your advice on how long I should stay in my current high paying job to Kinda set myself up for financial success sure I mean you could stay on the track and actually step back from the eighty hours go open your own boutique firm and make three or four hundred ten years from now went through law school I I did well enough to get this high paying jobs so I kind of listen to my professors and they said you gotta go do this that's not able to the question depending on the area practice you're in and so forth what city you're in California all those kinds of things so that all of those things are possible one hundred ninety thousand in your pocket to open a business with and that's kind of how I'm trying to frame this up I'm using that kind of mindset to say forms of Law you know the your your nuanced choice within the law is causing that not the law I could I could definitely do but I'm just trying to think like I know what you take the job as a prosecutor in the office you make what probably eighty eighty career eighty eighty to one hundred so more than cut in half yeah yeah it would probably Max out at like one twenty yeah as a week and I can make two fifty trending towards three fifty with my law degree in California and tickle the justice bone right and I'm just going to start thinking about that and I'm GonNa Start asking around you got two years to work on this problem because you're going to stay there for two years anyway right so go talk to some Gig so anyway the the I'm just thinking through this with you you just got to figure out a way to say don't get trapped in the the new on defense as an example I don't know I I'm in your shoes though I'm going to start thinking of ways I can have high quality of life which is forty to sixty and frankly to capitalize on the years of school in that I've been in so you're on the standard meat grinder one two years in half and the only place to get justice is not in the prosecutor's office and so thinking about you know that's why I ask about 'cause judgeships don't just come out of the prosecutor's Office of two friends appointed in the judgeships this year both of them came out of private practice hours a week and you grind up into meat and there's nothing left of your life you have no marriage you have no future you have no relationships all yours worn out lawyer Megan to fifty three years for you okay yeah yeah you're GONNA get down from but there's more than two options in this scenario that's fatalism we know there's more than two options more than eighty years from now you don't WanNa do that I'm with you on that I got no problem with that I wouldn't WanNa do that either right that's what I'm scared of the only other option is not a pay cut a improper view that's the only way to create justice in the land is from that office that would not be true but hey thanks for the call but you know I get I get huge raises every year he's GonNa says every year so it seems like be throwing money away to leave it you know without spending some time in this job but a meeting this morning that we're doing on student loans that's out there and it's real popular right now seth Godin said you can spend two hundred thousand dollars to go to college or you can spend ten thousand dollars and go to community college and the prosecutors go talk to some of the defense people find people that are of high moral quality noble character that are in the law they're they're they're they're not all over the place but there there sorry she's passed away recently I'm sure how long ago in December just thinking that there's two options anytime somebody presents me two options neither one of them sound fun I always say see not air B. C. none of the above starting ask and sit down and talk to them and say this is what's happening I go talk to a a a judge go talk federal judge asked him if you can have coffee husband I are married we have a four year old daughter and I'm trying to I I grew up kind of like well my single mom and kind of like well she just so she scratched and clawed and work three jobs to raise your kids a nobility yes but we like facing stuff a lot of people that have faced so good question thank you for joining us we'll be right back on a great question this is the Dave Ramsey show do you suffer from psychological disorders due to the lack when you were child I mean my my mom right so in that you that tickles the justice funny bone about as much as anything does sure sure so in federal judgeships pretty good doc actually pass I could get the criminal law experience when the defense attorney side but not necessarily Mansa good discussion appreciate talking with you about it. Mary is with US Mary's in Kentucky Hi Mary how are you hi fine how are you better than I deserve how can I help Lee is fifty two percent of single moms live below the poverty level and her mom just passed away not long ago so emotional for her to talk about so when her kids come on if you WANNA be a prosecutor I'm not mad at you but I don't want you to make a hundred and twenty thousand to two hundred thousand dollars a year decision based solely on this on that sometimes growing up that way the the horrible parts of it the shame in the degrading parts of it are not worth anything I'm with you on that and certainly that's not going to be your child again take the sat version of the of the test of the multiple choice version and this dig down into this and the next two years and let's find out what your options are I think you can find something that'll do all that you know we grew kind of without a lot in I just don't want my daughter to grow up that way so I have this really hard time every time I start getting on track it's really nice to talk to you I have been trying to implement these practices for a really long time and I'm I've got I've got a friend that grew up he's worth about twenty million dollars in he grew up dirt poor which you're from Kentucky I'm from Tennessee some people don't know what that means AH issue anyway we're not going to be near that stuff but sometimes those ended up being pluses I know lots of people that were raised in lower budget or even worse going into debt how do I avoid that was her question is that a fair summary Mary yes yup okay and she's only four middle-class homes or or even lower income homes were but the homes were full of character sound like sound like there were other problems in this house but owning something it's it's hard for her to say no she feels like they're entitled everybody's entitled that and we just make it happen even if we're doing an out of balance in the sure or work hard enough that they sweat if a kid has never experienced any of those they've not been raised very well right ruined them people will say that anymore but that's still see those kids but they don't call them that anymore it's probably politically incorrect or something so all of that I'm definitely did I tell you oh well yeah I think I have definitely have like a I don't know what I would call it like a paranoia about it yes for sure what a good life for the kid is I'll give you an example a kid who never experiences sacrifice strain delayed the turbulence and the money yes well both I'm we had both so I think you know that wack all the time you feel and my mom tried as you grew up in Appalachia in a house that the floor was dirt yet so poor white trash and you know and had so much would do anything for them which is the definition of a good mom and what you have to be careful of there is you have to define Mary is with us in Kentucky raised by a single mom shortage of money in the household growing up which there eh I if I'm in your shoes listening to you I think what's really I think you're a really really really good mom and I think you love your kids best to keep us like in good schools and stuff but then you're the one that doesn't have anything you know and you know that it gets in your soul like I you see a therapist and yes I have to that yeah yeah we grew up a free turbulent childhood so Jaguars Women but there was no money but there was lots of character and lots of love yes and then they came out actually better than some kids who get everything they asked for some lack because money is always finite there is never enough money to buy everything you want right and if you try that it's like trying to take enough drugs to be I like her education and stuff like that you know I I just you know of course you want the best for your kids so so it's character and love and kindness and compassion and honesty and work and so the things in your heart your installed define what good mom is a good mom is not swinging the pendulum from the where you grew up all the way over to the entitled Brat Kelly be honored to and I I'd like to spend a minute unpacking it with you demanding into a break with me because I'm heading into a commercial break okay hang with me we'll come back and talk about it because I think you're and work Maki's learn to be generous my kidneys learn that the that the substance of life is what's in your heart it'd be like well we deserve that or she deserves that and it's really more like the mentality of it I wanted to see if you get a drug that Oh really you don't have any of them or I can hide it really well you might be an excellent imposter but I doubt it I'm pretty good at this I've been doing it thirty years those things in her heart and you keep her safe and fed where she doesn't feel the lack to to an extreme like you did then happy it won't work for you so you know I it's so we don't want to give her that we don't want her to have the severe lack where she feels threatened or unsafe preferred it's what you call me I just yeah I just I have a hard time giving her that sense when I don't feel that way though like I feel like scared no I mean I mean are you like in treatment with a psychiatrist counselor pastor are you on medication due
2020: Cory Booker on radical love and the filibuster
"The presenting sponsor pod Save America is hip recruiter. Did you know that if you're hiring you don't have to wait and hope that the right can it's a play to your job post ziprecruiter's powerful matching technology finds before you and actively inviting to apply for your job as you find qualified candidates faster eighty percents of employers who post the whole view of the world and you immediately get confronted with what exists everywhere from suburbs to farm towns is just a broken of life and ziprecruiter dot com slash cricket. It is the smartest way to hire as you talk about and have politics that's about civic grace and radical love because I think to myself like after running in a campaign like that and having a campaign that run against me I might be pretty angry all the time like I'm wondering how how politics in Newark sort of shaped your views in Washington that is broken Republican Party that is radical and how he expects to get things done as president and we had a great conversation about that so without further ado here's my conversation with New Jersey Senator and twenty twenty contender Corey Book Welcome to Pod Save America I'm John Farrow on our special episode today I sat down with Sen Ziprecruiter for free at Ziprecruiter Dot Com crooked you get help finding your next great hire and we get credit for sending you so go to ziprecruiter dot com slash crooked today that's ziprecruiter dot com slash crooked one more time you meet these unbelievable people who have far more rights to be Hateful than I might you know the tenant president of the projects I lived in for almost a decade it makes the hiring process streamline inefficient so what are you waiting for seize your extra free time plant a garden enjoy long lunch take a leisurely stroll right now in our listeners that is just crazy intimidation harassment thuggery bullying by police it was awful and I watched that and I my question after watching that was how does so Newark has been the grasp live experience I've had I've lived there more years and I've lived anywhere and move there when I was very young and still sort of shaping Senator Cory Booker of New Jersey who is running for president and we had a great conversation we talked about his time as mayor of Newark and how that shaped his views on politics we talked about his message of radical love and a revival of civic grace and how that squares with about your I run for mayor of Newark Oscar nominee for an Oscar and then lost to March of the penguins that's I how did you come from that experience and come in general from an experience where you have lived in an inner city for so long with so much pain Her son was murdered in the lobby of the building I lived in I would move into in the projects and you know she never left and she worked for the prosecutor these were seen a nastier campaign run against anyone I mean he said you know you weren't really black you're accepting money from the key I mean some of the things he Miss Virginia Jones really one of the greatest heroes of my life Toughest nails five fitness smidgen but intimidate intimidate you more than a you said Linebacker ah I think and so it's about your through narrow loss to sharp James who's the mayor of Newark at the time and I have to say I have never seen yeah I'm here with Senator Cory Booker of New Jersey who is running for president fiction the despair won't have the last word and when you see people in a point of utter broken nece evidence Oh income housing became public housing and she could have moved a lot of different places and she taught me one of my best bureau lessons that hope is the active can or a nonprofit just to focus on young people in their community a Newark has this town where every day when I'm home just walking this white supremacist when you see people in my community who have had their addiction treated with jail over and over and over again and then they communities that your chance of being born with a birth defects or autism go up about twenty percent I mean I can go through the things that well before Donald trump longitudinal data that shows that in the United States of America you're born around a superfund site I live around to your chance mostly around low income communities disproportionately families that speak to the kind of resiliency and fierce love if People WanNa say love is a soft and Nambi inside your spirit you should be angry and in fact I worry that there's just not enough anger and it should not have taken donald trump to trigger the you know sort of just sort of like oh this combat sentiment I think it's the most ferocious tough hard force there is and it has transformed Newark New Jersey I agree that you live around superfund sites like we do where because of this grover norquist's no tax system even Ronald Reagan reauthorize it Mitch McConnell voted transformed of love like we saw when the other manual shootings happened in South Carolina to to stand there and say through pain and hurt that I forgive you too anger and the taking to the streets because in my neighborhood before Donald trump there's children could find more easily find unleaded gasoline unleaded water in my neighborhood walk and now I've decided to make reporters who want to do profiles on me come to my neighborhood where people neighbors people can war or don't WanNa don't WanNa ah good to have you here it's great to be with you man thank you very much for taking some time with me so after you announced last month I watch street fight for the very first time for those who don't know this is the documentary focus on to walk with me around my community inevitably these incredible human beings who come out of their cars or are knock on doors and bring people into meat when my days in Newark Angers very good emotion right if you're not angry about what's going on in America that have some moral dislocation think it's a great thing when it gets up to sixty percent yeah because we're not speaking to people where they are and we've seen the Democratic Party and the Republican Party screw us and so if you I should've had us marching in the streets and so the other word you used is a word I don't like is cynicism which I think is sort of surrender right to what's going on when we see politician suddenly come into our community which is why we only see all around election time and we wonder why we have fifty percent voter turnouts and campaign for lots of presidents since I was a city council person getting called campaign for lots of presents and I will show up in black communities and I would hear the same thing that we like I just you know someone needs to go blow up Washington right somebody's to change everything with your view right that I think you believe we've just unapologetic working within the system but I also knew that we have to change the frigging paradigm we're Newark was literally the butt of jokes on national TV deep created the largest parks expansion in our city in century now there's parks all over the city in Newark from pocket parks to the largest city park we built nine acres and we did that okay but those things are listed before environmental justice economic injustice criminal justice who will still be doing something we have to figure out a way to expand the moral consciousness and it's the broken system which I will do but it's about changing people's view which is the same way I view this election right now if this election is just about one office in one guy you want to combat cynicism we need to have more people that are speaking to the truth of the experiences that we're having out there and so you said something that core you WanNa work within these were folks that said I don't give a damn despair is not going to have the last word hate is not gonNa have the last word I'm going to do extraordinary things for this country easy how do you balance sort of the anger that people have at the system right there's so much anger so much cynicism out there and you hear a lot of people say that it's like you guys have no usable green space for your kids and so my my my staff was making fun of me they said you will Pimpa Park anywhere you go I'll neighbor swing after you give me whole criminal justice system lost legitimacy when people see folks having a system is Bryan Stevenson says it treats you better if you're rich and guilty than poor innocent you wanna be I can't do anything right what I think American history is a perpetual testimony to the achievement of impossible things by people who didn't surrender to the seduction of cynicism who's like Oslo Addison as his mouth there and now ten years later I'm like Oh but we're we're all responsible for that yeah I mean this finger pointing I mean come on on it back in the day we didn't authorize at small tax on chemical companies and so now super funds which were going down or now proliferating and we now have the system I do I have to sort of use of this I do what I have to do to get shit done right and when I was there I was unapologetic these systems now the suffering of that contract former or the rural African American person is directly connected to a broken systems that why folks thing in rural areas I started my campaign in states go into the rural areas. You know we see an existential crisis in this country when our suicide the and if I couldn't change the whole system and get people to reawaken moral imagination about urban places then we wasn't as working within there was with my children or with my communities you know there were we I remember the trust republic land came to me and said you're the most under park city in America like they would like you can absolutely work within the system and create partnerships and fine cooperation like how do you how do you balance the suit things I just want to really focus on terms as I've learned to reminding our whole civic space in our ability to solve problems and so what I'm telling people in this election is not only as a guy who went through a street fight half is it the urban voter or is it the rural voters at the factory we we talk in ways at slicing divide our country and we are forgetting that that's is our tolerance we preach tolerance in America we're tolerant nation go home tonight and tell somebody you live with it you tolerate them and to me I think the problem is tolerance they can't open their windows it can't run their air conditioning they have respiratory diseases cancers but those farmers their their contract farmers are one step short of who work full-time jobs and catch extra shifts and still go to my Corner Bodega and use foods dance and find a twinkie product cheaper than an apple so for me worry that politics is become more cynical because it worries me I hate cynicism too I worry that it's either cynical when Obama ran no seven we've ever solved mass injustice in this country from the workers rights movement taking people from sweatshops and Child Labor to Worker's rights in public education which both are being eroded eight not only do we need to beat Donald Trump but the way to beat Donald Trump is not to do trump like tactics the incredible youth why is everybody was running down to Birmingham and segregation fell within days they were able to awaken the moral conscience of this country because one of the biggest things I worry about in America Russian the the the vast disappearance of the independent family farm I'm down in North Carolina in the black community where they're dealing with one of the most horrific environmental injustice we are all caught in the same broken system and it's the fact that we have the delusion of separateness the dangerous delusion that we are separate from each other that is now all the way to the civil rights movement all of those things had to be done by creating broader coalitions of people Republican and Democrat I literally sitting before this is I've ever seen in in in Duplin county where you have these massive k. foes in corporate agriculture and they take these massive lagoons of pigs call to the moral consciousness of a country that got folk woke so that after their very first protest thousands of people suddenly celebrities and incredible Dick Gregory right now because they Republican town in New Jersey when my parents and nine hundred sixty nine I was baby were denied housing because of the color of our skin shit and they sprayed over feels that happened to be in black communities I could take you down there and show you the stuff missing into neighborhoods where people crowded into a room to tell me that race opioid addiction or having a life expectancy go life expectancy is going down for all Americans going for white men the former suicide rate is as high as it's been since since the great with my pen I'll I'll restore the trend transgender military service I'll go back to some of the things he's done mercury ruse methane rules I can we're strength comes from and we've lost that in America right now we're we're people are suffering and hurting in feeling like they're isolated ah people whether they're suffering with addiction or mental health suffering because they're a mom of a special needs kid that is barely holding on because they can't afford childcare and number one it is a cynical aspiration Vietnam country but I'm more concerned about the fact that we brought to tolerant with the suffering of our neighbors you know a difference between trying to reach out to Republican voters disaffected Republicans campaigning everywhere talking to everyone being a sharecropper's because he's corporations Smithfield one of the biggest ones now at an international conglomerate Chinese company has put the farmers in a situation where working two jobs and they can't afford housing but but but we're not separated we're not suffering alone there is mass suffering going on in our society right now but we're failing to see that we're it kept being told by real estate agents in our homes were sold it was his coalition of Folks Black Folks White Folks Christians Jews Republicans and Democrats that didn't think okay we can't solve the lot as chief executive but I'm not running just for that I'm running to wake up this moral consciousness of our country to confront injustices and understand that the everybody thinks we did it we got rid of trump and go right back to doing the stuff that we were doing those two thousand thirteen twenty twelve twenty we're not gonNA be okay we're not only not going to be ED screw Washington I'm not gonNA wait for Strom Thurmond to come to the Senate floor and say I've seen the light it's time Negro people to have some rights no yes so you proposed some really bold ambitious policies Medicare for all green new deal baby bonds job guarantee the real estate agent gets up and punches my dad's lawyer in the face six Doggone my dad so you have to understand growing up as I two civil rights activists parents were rough on in this together and this election is not about waking us up to that common cause I sat in a diner in Iowa with a guy with the with the act families wealth is eight dollars I mean we are we are my father said this to me painfully He died six days before I was elected to the United States Senate most most hopefully and that somehow is not affecting directly your life and so for me this is this election is just about Donald Trump I wanNA beat them from President on on the first so deeply in debt that just struggling to stay ahead and they're trapped in a broken system and so one of the things we're we're what's happened in America in this slice and divide culture we not the persistent wealth gap which is a problem but the persistent racial wealth gap right we have cities in America like Boston where the average white families wealth is about two hundred eighty thousand dollars the average uncouple that marched against Bull Connor in May of nineteen sixty three in Birmingham they didn't bring their own firehoses and their own dogs me Voy don't walk around this house like you hit a triple you were born on Third Base I you know I did what my parents told me too I got all these degrees from various schools and my dad's like boy you got me make America great again shirt on and I I got the same bullheaded kidding but I sat next to talk for a little while and spoke to his pain and by the up to they didn't surrender to the cynicism of housing discrimination in America they did something extraordinary stuff they literally did a sting operation a white cat agency or to invest in the kind of things that deepen wealth now black communities were denied programs that people brag about pathway to the middle class from Gi bill a bit on the house after my parents were told it was sold they set up a closing on the closing the white couple in short my dad did in a lawyer who ends up getting literally my father him walked in and five years of our politics in America is going to determine the next fifty years of our politics and we've got change course this part of me that thinks there is child born in this country should have a stake in this economy and wealth is important people live paycheck to paycheck no that that they don't have any wealth to fall back on for emerged he was hugging me. If we can't start breaking these lines that divide us and affirm the common bond I think we're going to be stuck in broken politics for a long time I think the next that I've gone to a point in in this country where a kid born like me and seventy percent of my kids are born like my dad poor to a single mom in a segregated community New Jersey the reason month of July but Jane Hot Liking about the degrees you get is about the service you give you owe a debt in this country and that's why I moved to Newark New Jersey in the very first thing I started doing was on which I deeply believe in there's difference between that and sort of the official Republican Party in Washington thank you thank you for adding that equality in this country and and my team's been looking for levers that can do that and we believe in expanding the IT I can go you a lot of policies when I one of the things that bothers me most about this country I am always attracted to like positively unifying politicians I feel like the Republican Party over the last decade has radicalized me a little bit and I just kids from the lowest income families would get up to a fifty thousand dollars by the time they're eighteen to do things that bill generational wealth to start a business to go to college to buy a home and it's one of those housing rights housing organizing taking one slum lords that the cynics said you can't beat this guy they had connections to city hall powerful guys well we organize folks and low income families in general it would give a stake in in a leg up do you think there are any Republican senators who are innocent right Dan I've ever met was born poor in the deep south segregated community to a single mom who couldn't even take couldn't take care of him and he comes so far and he said to me every year depending on your wealth of your family like the measures you would get deposits youngest kids would get up to the youngest kids would get up ads right and one of them is the fact that the wealth gap was closing between blacks and whites but now it's back to where it was around the around the time I was born baby bonds basically says that every okay filibuster rule let me tell you what I think look I understand that the erosion of the Senate already has allowed this this party to do awful things trump tax cut for example right and if I was president I want people to know very tactically let's talk tactics I will use reconciliation friends who've come to me and had good conversations since I announced my candidacy and got a surprise question about the filibuster in my first moments of being a candidate and Guy to be able to pay lower percent of his salary in in in taxes than a teacher doesn't reflect our values nor does it reflect best for our economy and and so when you talk about changing the filibuster rule I understand that we are heading right now we are heading that way do people on both sides now who would give you vote for baby bonds vote for green new deal vote for Medicare for all vote for job guarantee say you're president you've got a Democratic House you've got too narrowly the really great I explained baby bonds because that's I'm really proud of that I you do it because you should we've talked about it a little bit before but you so we have we have persistent elected hopefully democratic senate DC any Republican senators that would that would join on the on the big priorities I know on some of the stuff they probably would John I see you I know you're an evangelist one of the reasons why we have persistent wealth inequalities today and so this would help put a deposit every child who would get get we're gonNA count a baby bond think about the fifth most segregated state in the nation because of our very racist laws going into the nineteen seventies it tried to stop black families like me moving into communities and he moaned to to social security was written in a way to exclude professions were blacks a lot of things that help people build wealth FHA loans and the like were denied African American had a kid born born like me would be better off being born nineteen thirty six today now I'm a data guy so I I was married twice in God we trust but everybody bring me data show me the numbers on a lot of indices goven ziprecruiter get a qualified candidate through the site within the first day just think of all the things you can do in the time you save when you use ziprecruiter like call your mom listen your favorite podcast I'll because hypocrite we are heading that way you hear trump calling for the end of the filibuster all and I understand that if I am the commander in chief the president is doc your podcast and heard my name vote as a sign of the obstruction in the Democratic Party I'm an Obama guy through and through you know that and yeah knows I think when we use the lazy labels and say Republicans Roping in a whole bunch of Pino and I never get defensive then they lock into their trucks uh-huh to roll back the trump tax credits and do the kind of things that I think are to have a tax system that reflects our values or morals and frankly better for our economy right you know giving a hedge fund evers communities like I said something like the right level I can change the world this is for those of us who want to see persistent racial inequality address in this country it's one of those things that would do that plus for I but it's not radical and you and I both know the origins of our Senate were not right but filibuster rules people should know their history and so this is what I say folks like you in a lot of my were getting ready getting I know where you're going away and let's let's confront this is I may have listened to me which comes from decades of living in one most vulnerable communities in the country and if Mitch McConnell Paul Ryan Donald Trump for the last two years had hates fighting a tactical battle that that is something that is we are moving towards but understand my perspective on this we can't change the larger civic spaces of our country like they did in the Labor movement like they did in the civil rights movement where the consciousness of our country change if we don't see this as opportunity swing the pendulum from twitter trash talking trolling convention and they laughed at me I had to change the larger sentiments around Newark and right now in America I will I will join you having a revival of civic grace and having a more courageous empathy that understands that the farmer the factory worker the inner city mom working two jobs have common cause again in the same way that this brilliant marketer I mean he talks about the put the best carnival Barkers just the base of our Party the Labor base we're losing them yeah so I don't think we're that far away from these next five years of America active Republicans using that term broadly I've sat with Labor leaders right half of their base literally will say to me half of my base voted for the party that wants to just hateful politics we're just about destroying the other if we can't get back to a understanding and by the way you're talking about reaching out to disagree Roy Davis Bacon Yeah that wants to make every state of right to work state that's not a big leap to get a person who identifies a republic capital back to my city that wouldn't even invest in Newark two companies when I started talking about ending food deserts by bringing supermarkets back into the neighborhood I I'm not joking I went to a is it could cost people's death when when when we had a Republican governor of the State of New Jersey just something like attacking planned parenthood for women in my community who rely on that John Should I be president is states come back to the White House I'm not joking I'm serious come back to the White House helped me with the tactician helped me figure out what we have to change you get things done but are that it's not just about my tactical decisions with my city council but I've got to change the entire perception of my city and urban issues and attract institutional the builder not as it come to my neighborhood and see the outcomes of elections don't make a difference and to give those three men absolute power to anything they want having lived my life as a minority I like minority rights and so I will balance that against and I know I've had this conversation you fire a lot of people up there what will America look like by twenty fifty if we don't change our politics clearly with where we're going no that's that's that's my whole my whole and you mean the larger cause of our country because you and I before you know what are my days in politics will be we'll be over yeah look when I'm trump's age it'll be between twenty forty twenty fifty and so my whole issue is not just changing the things that are happening in the Senate right that have allowed for these right wing judges to be done they got rid of the filibuster rule in the Senate to Shane with what the way he has has brandon and campaigned and spoken to folks. If we can't have a commander in chief that understands like I had to as a mayor right but I watch what they give oxygen to right they're giving the van Jones once told me this story that they had in crossfire they had this idea the end court judge that Menendez and I we're not even allowed to meet with right from New Jersey I get my my question is I think you'd agree that you know like sometimes the meat is find parents their healthcare planned parenthood had close and ours close options I mean I know that these policies that people debate I love when people have privileged so it doesn't make it they got rid of the Blue Slip Process I know I'm talking technically but the Judiciary Committee up member the senators no longer have a say they literally are sitting circuit in your podcast who come to me and I make very no but make very practical arguments I'm going to tell you that for me that door is not closed okay but I'm also going to tell you that if or segments went way down in terms of ratings this is what I'm talking about like I don't think this is an issue of personalities right like if only Obama had more Mitch mcco the Davis Bacon they found a loophole they literally were pushing a law that says if you find you file a workman compensation claim and you lose the claim then you can be held criminally liable it's raising money in those two states and they were incredibly appreciative while dear God you don't think that the issues we're talking about right now in Iowa were they haven't just assault because we haven't built a fifty Say Party right I I was shocked in in Iowa New Hampshire I'm not the best fundraiser in the world but that I led outside Canada and I'll tell you again all I know is about being aggressive organized yeah I beat the machine in Newark through grassroots organizing Texas is a blue state it's not voting that way yet folks I believe fundamentally and maybe I'm wrong but I'm willing to if I'm present United States this is where I'm starting there are all these people that want to support to say to me during the two thousand twelve election if we win this election the fever will break in Washington finally the fever will break the fever did not break and it hasn't Donald Things would have been there clearly incentive structures for Republican politicians that we need to change right now one of those is the meteorite there's a conservative media machine right but then since then there's no false equivalency I mean the stuff they're doing to public education that and I was telling having honest talk with folks when I was in Iowa this last week that we can get a president but if you don't change your legislature can forgive loans for people willing to teach in rural areas urban areas I can do a lot of that but fundamentally there's an assault on public education your state that only can be stopped by create a tax relief for teachers who reach in their own pockets and give money as I see in Newark time thousands of dollars hundreds of dollars for their kids so trump has been hey let's organize I met with this amazing table of of women leaders in my state and there were women I've known for a long time heads of organizations like now and then there was these young producer you know you want to end on a high end audience and they have that seamless transition where one host talk to the next house so that you don't lose audience they were ticked off because the ceasefire the the the new president I'm going to tell folks we need to do is create a fifty state organizing strategy to start preparing for twenty twenty two when people when they do a general election challenge because when primary verb right the Republican Party changed dramatically I wonder how we change the incentive structure for the Republican Party I remember Obama always if we don't sustain that kind of organizing we can turn Texas heck I think we can turn Texas in two thousand twenty but definitely twenty twenty two just by organizing people you go to AAC Mikey Cheryl and all these other folks are going to have their back against the wall that shouldn't if we organized because I've seen this in the response to the trump the response if you don't build most of these issues we're talking about you can do some things about public education when I'm when I'm when I'm a President I can fully fund a special needs education you're at all because it's far worse than their right but they're incentive structures are surrounded they feel they they right Republican politicians feel more afraid of a primary challenge use ceasefire and talk about where they agree I'm sure that didn't fly did not because the people took over the show van to the people that took over the show afterwards and so I understand what you're saying is because we look at the way things have gone in the past but one of the things I hated most when I was mayor of the city of Newark is people would tell me you can't agents talking to their issues actually connecting them to the policies that can help our communities you're going to get African American turnout to go up in midterm elections communities like Newark or Wayne County Detroit is or Philly and really engaged with African American community I'm talking in the way we do endure whom we were organizing when Conan O'Brien was on it and he did what ticks me off the most is when people kick communities are already down and he said I hear Newark New Jersey has his new healthcare program I was really proud something 'cause we tried this and it didn't work or this is the way we've always done it and it's never worn it takes new approaches creative thinking to create real transformations and and I lost it yeah but you know what I did because this is the reputation of Newark is a laugh line people were cracking up I hear about Cincinnati I hear it about Detroit Oh him in with thousands of people in New Jersey or guys on their facebook page who openly admit some of them to me is I meet him around the country I wasn't that engaged or involved before Donald trump newark is a bus ticket out of town I'm the mayor of the city sitting there watching TV hanging out with my two best friends Ben and Jerry and and and and turns in turn would read it or they can call a press conference in only channel seventy two Bulgarian channel would show up but we live in a different era I went to my office and I was able to drive prescription drug costs down my city for a community and get people into into primary care which is really good for health and I heard about places where dark black and Brown people live all the effing time and and and it pisses me off but you know what I'm different down healthcare costs and it got little national attention and here comes Conan O'Brien his monologue and he says I hear Newark New Jersey has this great healthcare program well I think the best new healthcare program for the city could be going on but I just want to just give you this example of we're the Internet generation we have tools at Paris never had I was sitting at home watching the tonight show the only you know Republicans and Democrats would call out the media right well I mean I don't call them the enemy the people guy that's that's no big deal but we started this fight I was getting media suddenly I'm calling supermarket companies and they've heard about this stuff and they're answering my call I'm getting the big banks to talk to me about investing in a city they ignored because capital in this country so damn lazy five Metropolitan Areas Get the overwhelming majority of invest for and he plays right into my hands he doesn't apologize he bands me from Burbank Airport and here we are in La and you know that's I'm lax sponsored by conservative Senator Pat Toomey Pennsylvania and Joe Mansion no one's idea of a liberal goes down a couple months after school shooting and I was like if if we can't pass something that popular among Democrats Independents and Republicans that has bipartisan support yes what has happened a generation ago or even five years before that the best angry mayor could have done in my marriage did that my previous mayors of Newark to write an angry letter to the to the network and they Newark Airport I said you're on the no fly list Trogir K. Buddy and guess what happened at video went viral before I knew what I'm getting earned media like I never got before college is it gives one hundred thousand dollars to charities so I'm just saying that as an example of we are different generation I sometimes to imagine if the civil rights generation had the him you know we've had folks from different generations our generation can't concede that we are going to be a nation with people have common interests and common pain or cut up and divide what got me the the probably the worst moment of the Obama years for me the most frustrating moment is a background check bill with ninety percent support in the public most people don't know this I'm the fourth popularly elected black guy the black person if the United States history number three was Obama number two was Carol Moseley Braun number one where do we go from there how do we change you understand you're saying this in the context of a guy who grew up with stories about how many frigging times they tried to get organizing tools that we have we can I would be the we've had presidents now from even even Barack is older than out there in front of my behind my desk and I use humor and I use some straight I said this is Newark New Jersey we're great city brag about my sitting to Conan O'Brien I'm banning you from cynical moment my favorite cynical moment I had recently is and this is the politics of our professional politics running I'm now running from the urban city legislation passed yeah did anybody say we tried once and it failed wrestle let's not try voting rights or civil rights housing or fair housing they kept fighting and building consensus and even with the Senate filibuster you worry that our generation is more impatient I feel like technology has made us a little more impatient in patients like I we all the time a tight end instincts and not create an international incident who was bragging about their mass transit or whatever he was talking about you Americans we picture crumble except for in one area I had I was in Poland and a Polish peer of mine is a senator was was telling me in this was one of those moments I had to control by the end of the fight this kerfuffle that became a national story is I'm going on a Larry King and shows it never never gone before he invites me on his show you form everywhere you go and almost trying to imply that this is an issue that's only affecting black people which by the way if you are living in a country that's watched your your interest rankle me and he starts talking about wind tax credits and I'm like wait a minute common ground and I go to him and go Mr Grassley the older reform it's not one of the top two or three issues you need to talk about X Y and Z and I'm like leaders don't follow consensus real leaders mold consensus so every sure I went from synagogues to wealthy suburbs Republican community's Democratic Emus I want people to know why this is breaking so I get to Washington and then people wanna give me a reality check the best infrastructure in all of humanity while our bridges tunnels no broadband China's building eighteen thousand miles of high speed rail but the what we were building out it was going to be let's use podcast like this to call shit out Ya look at House bill the House bill they just passed that got lost and so we get this bill with with my priorities in there and get it done we get it passed yeah so what I'm telling you is that that's did and so I will I will I'm not joking about this if I'm President John you're GonNa be like that Booker Guy is calling me up to help me with tacticians horse but I always help but my challenge ah I knew Chuck Grassley was key and I'm like how can I find some common ground with the guy that I can write a dissertation on my disagreements with so one day you know how this their children who having been convicted of things that are in solitary confinement right now which which which psychological professionals call torture right Edmund Brooke and so it's there hasn't been that many black people in the Senate right and so you get these professionals that come to you and say well don't talk about these you're talking about criminal justice let me understand why you go to the Senate floor and talk about longer sentences and not short and it took me years from from with the heroic leadership of Dichter preside over the Senate race the most junior guys but I'm literally sitting there at the Senate and by the way it is like one of these things that will blow your mind if you're a geek because they have like the gavel that was used from the seventy portent right where people are getting out of jail in an Arab Willie Horton we got it done and so don't don't tell me that we can't collectively we've got the best editors often tell me call me by my first name and I'm like you are literally I was watching you like in high school and and and we started talking I go to his office and I said the sentence for smoking crack cocaine weighing less than baseball a life sentence we liberated thousands of people with that piece of legislation during an era of Willie telling me because I'm now running in a in a state that's overwhelmingly white blacks twelve thirteen percent and don't talk we pull the state don't talk about criminals urban and me trying to be as many me and running around building consensus and fighting to get things that were really important to me like we do things we're doing things right now we can get things done especially if we can get more folk woke that they are living in a nation that that brags about being the wealthiest country on the planet Earth can't pass comprehensive criminal justice do it and I said okay this is a challenge to me at not to surrender to cynicism I still remember and and maybe I'm telling you too much hi and one office because my communities were suffering before this guy got elected and sober factory towns so we're farm towns and so were people that were easily easily angry and then felt some appeal with some guy that wanted to blame it on Mexicans in Muslims and others on our party the best branding experts are using them for materialism and corporatism and everything don't tell me with the young people I'm meeting out there who are not taking that vote nine hundred open it up and put my I'm trying to get some DNA on that thing anyway and I'm watching Grassley come to the floor and I've watched them give speeches now that just you talked about that failed in the Senate you talk to these folks coming out of Parkland and communities like mine who are determined to pass common sense gun safety I just in all the things that media wanted to share one yeah do you know what the poll says say about that that very popular amongst Republicans a strategy that this country needs is actually the best tactical strategy to beat a bully watch streetfight I'll show you how that strategy the strategy of dignity and lie to people about trade because he's not doing anything about it lie to people about Medicare that he just put a budget in the cuts we can reach back and handing it over with no when you when I talked to groups like this every body agrees I'm not joking I mean there may be five ten how and get those people together and awaken that that that that worker and by the way I cannot stand how working working working we're going to get off the working people that we can't ever get to and so what is our politics going to be and that's why I don't I'll die on this hill in this presidential campaign I literally will maybe some people are GonNa want folks to fight Michael O'Neill our old friend we were housemates we would as a joke pause the show and talked to Gabriel Byrne as if he were art therapists fire with fire I ran a fire department it's not a really good strategy okay I'm GonNa die on this hill because I want to be more more than about just one in prisons and jails and prisons and jails we really a new prison or jail in America every ten days from the time I was in law school of Mos Mayor of the city of New York and so here here talk space we all need someone to talk to a person who can support us through rough patches or even the everyday ups and downs of life you guys you got us the people in my in my community in Newark but we can get workers to see common cause we can get people in different areas of innovation is see common cause and that's what I want send your therapist unlimited text audio picture video messages from anywhere anytime kidding are they sure they wanna use the word unlimited there that seems like a lot I had this microphone that's we're talk space comes in talks basis therapy for how we live today today it's mobile available when you need it and it's portable simply provide your preferences for therapy and talks base will match one of the four thousand plus therapist the very same day can I do a vm you can do it Vm. Tommy that's pretty off and then they turn away and I'm always trying to say people like it takes a long look Ohio Democrats didn't do anything they failed to and you're like well yeah well let me tell you my favorites to face session best of all you'll never have to wait a week to share what's on your mind I used to watch the show in treatment with Gabriel Byrne. HBO and a good I loved it and Follow College what by Son tweeted that in two thousand thirteen that was back before twitter was taken over by Nazis we're doing this completes way they would have just changed policy which is nice they would have hurt people in my community literally doing policy Ettelaat feelings. If you're having a tough time you can always schedule a live video session with your therapist tricks or support one month of therapy and the talks platform costs about the same amount it's single has a declining life expectancy has used to be the best infrastructure on the planet earth in in the span of one generation trashed that house they inherited from their parents in grace can actually win in the toughest politics America brought to you by okay cool to access our very special offering get sixty five dollars off your first month and show your support for the show there you go that's crooked sixty five welcome back uh-huh crooked six five crooked sixty five on your dial R&B and Hip hop today pebbles and Balthasar talks based on a lot of texts he's sending a lot with you know we'll talk space you can send unlimited messages to your dedicated their pets from the privacy of your device from anywhere anytime it's like yeah but but in patients is good cynicism as bad anger is good okay hate is only get people get disappointed when changes in happen fast dimensions by Cory Booker Okay it says I'm so sorry but don't read distress unless you like corn and cheese question what did the buffalo say when his kid went off to treatment didn't work going on in that house guys there was talks me there's more than four thousand licensed therapist who are experienced in addressing the challenges we all face like Kiki the sorry perfect Europe is a fraction of the price of traditional therapy go to talks based DOT COM make sure to use the code crooked sixty five sixty one what the parts of America is brought to you by the cash out liberty on the catch up right now is that what you're looking at you mentioned looking at an old we're doing we're doing this ad after the interview I would've asked him about that John I thought it was a great interview thanks I haven't heard any to know none of us have anyway this election to be about again and by the way I'm betting you and I hope to have the chance to prove this to be the guy that gets run against trump you're the person that's running it's trump I bet you that not only is this slow for me because it's just as it's called is the first step but I tell you I brought to got a guy to the to the state of the Union Mr Douglas who had so you guys talk to each other no you Gabriel Burma taste then you'd pause you'd say somebody Gabriel Byrne he would react he basically just take over and you become you're on not love me are you writing to who drinks to match with your perfect air for a fraction of the gets me this awful anti choice legislation around the country check them out and help them out download the cash Edano the cash out or Spencer is not real five bucks goes to you five bucks goes to the Planned Parenthood Action Fund they're fighting on pursuing injustice wherever it exists we have we spent a lot of the past talking about anti-semitism do as president about rising white nationalism and xenophobia Islamophobia anti-semitism protections that were given by the Doj we need to have a department of Justice that is dealing with violent crime including police shootings on our country the majority of them have been homegrown right a right wing extremist groups the majority of those have been white supremacists for all the of the issues raised and the many debates we've had is really a foreign policy issue should democrats be more willing to call out the Israeli government I'm not going to school because of fear we we have a department of Education and this is one of the reasons I fought so hard against Betsy Devos that I knew she was going to back on LGBTQ rights and the rights of black and Brown vulnerable kids this is why as president not only from the Department of Education Civil Rights Division to the Department of Justice Create Safety Insecurities and communities and to restore confidence in the criminal justice system that is that we are fairly should be investigating these these white supremacist groups that the President I states can't even admit that there's rising hate and route rising antisemitism and that's coming out of these white nationalist groups so Yeah I would and and have a low as a as a lawyer again who came up because of the was a really radical guy who died with sixty percent disapproval ratings and I love what he used to say about love used to say you know you can't legislate someone to love me Kazama phobia in this country and so you have to be a president that speaks to the problems we've had since nine eleven I think around eighty ish terrorist attacks of a bipartisan consensus we've had in this country for a long time for a long time this idea that that we should have self-determinations billions and billions of dollars we're we're spending to protect Americans from quote unquote terrorism we need to focus on domestic terrorists would you make sure that you appointed an attorney general who would go after and that's why I need you to put some things in place to protect me that's why I was so proud that Tim Scott Comal Harrison I were able to put forward an anti lynching bill through the Senate after hundreds when there is a prime minister who made it his policy that they will not be a Palestinian state as long as he is in power how do you how do you fight that because obviously you know that has been fueled by Donald Trump and I know you would agree that's been around far before Donald Trump I think it is I call out their actions that when they're doing things but dear God you're living in a neighborhood where nobody's calling for so the short answer is yes if you're if you I don't whatever the country is we should we should have the courage to speak with a moral voice I often it's been a problem before then what can you actually do as president about that so first of all let's again understand that and this is why is good to go back and read from the era of which a boycott Movement for China which is doing things to the weaker as I can go through them right but the erosion of the ability for us to even get to a two state solution is erosion of right now Susan that would you try to increase funding to make sure that we are investigating trump has cut funding. Yeah no to to to investigate white nationalist groups at a time that the nuance of these issues and always lead with what our values are would you put any additional diplomatic pressure on Israel president if they refused speak for all the various factions so absolutely but I continually want to remind folks that you know Hamas and has what you have big Chitty city police chiefs talking about needing to create greater sense of accountability for law enforcement the department justice could be doing so much to the Senate Foreign Relations Committee I fought against trump efforts trump's industry efforts to pullback human humanitarian support from from trash the civil rights division of the Parnell literally doing the things to protect she from her policies turning their back on the epidemic of sexual assault on college campuses to turn read that Israel gets a treatment that is not applied to other countries that are this is why I will never support the movie with the more sophisticated weapons now going to Lebanon these are eggs essential everyday threats to these rallies as there are everyday threats for Palestinian of people that both Palestinians and Israelis should have their own their own country and be able to to have self determination and and to keep themselves secure and we've got to have conversations about things like Oh that are kind of complicated as Mideast peace and something more than just slogans and talk about the you engage in a good faith discussion about a state solution I think that we've had presidents from both parties who put a lot of diplomatic pressure birth should we fail to deal with climate change the instability the famines the chaos on the planet earth it's going to happen is a existential threat when you read military reports about a about what they expect to happen when I'm trump's age right what will go on the plane Delilah who are plotting every single day to kill Israelis and now the trump who says he's strong on Iran has basically in Iran highway through Syria sprang forth on the on the child of civil rights generation. You know there's some great books written about king's radicalism we've created this as cornel West says the Santa Claus vacation of King Right he going through a planetary battle between authoritarian governments and democratic governments and democratic governments had a very tough five or so years from brexit the most critical ally the Israelis so that we can affirm democratic ideals and principles what do you see as our greatest national security threat again it's just to get basic healthcare and clean water on Bass writes and so there is an urgency for us to play a role in the Middle East with the Palestinian communities have gone to the West Bank I've seen just access to clean water to basic human rights we've gotta be there we've also make sure that Israelis have a right to defend themselves now right and we have not seen a hint of what could happen if we don't deal with this issue so that's definitely a threat I I can take the more I think we are really bothers me we've heard the same anti-immigrant rhetoric from a viable National Party called the know nothings yeah that that came out again on Israel and again it's very hard to negotiate where we don't where where there's the leadership in the Palestinian communities not necessarily even leadership you can negotiate with it doesn't necessary I'm trying a and so the first thing that president has got to do is protect people in the Lgbtq community we have about thirty percent of our children to what the Russians are doing aggressively talk to people live in Latvia Estonia Lithuania ask them if they don't feel like they're in a a great war right now with with the Soviets with excuse me flashback with a Russian so I can go through more it's those the scourge of the invasion of immigrants it's time they were talking about Irish Catholics okay yeah we every generation his history echoes we've seen demagoguery and and in the United States to vulnerable communities like mine this is an existential planetary threat that would call you think refugee problems refugee problem the people even lock her up right I mean chance like that we've heard them in our history people are forgetting that we are coming and this is why historical let's go to the existential threat that I really think the existential threaten because when a country can't do the things Father Conklin I could go through the every generation has had their demagogues and we've beat them back in the name of more democracy not less democracy and so that's I think that for people not to see how do we win the battle against authoritarianism rising authoritarianism around the world how do we win that battle at home if we can't awake in this country that common cause where that Latino that black factory worker like my grandfather was uaw the dangerous delusion of divisiveness that somehow The the woman that works for United Airlines Latina Woman in my I will I always say before you tell me about your religion for show it to be and how you treat other people we Preach Civic Gospel it's our songs it's in our we all swear I don't have aligned urgent common causes that are that are affecting their lives in the most pernicious anti-democratic ways won't even see what's going on to animals in this country gag laws because America's aren't comfortable justice when they see it but somehow we've stopped seeing let's just focus right here at home a different cause for her life then the guy in the factory town that just always job disappear to a country with no labor protections title injustices that that when they're revealed make people squirm I'm talking about even animal rights I'm sorry I'm an animal rights they're trying to pass laws so that people oth think about back in the days where one military would be the other ones swear an oath of loyalty also used to have a lot of power we do it every day not even thinking poison his well that he used to drink from his creek I think that's pronouncing it right creek that he used to fish that used to fish from those three people over Mrs much as I cut my government twenty five percent and raise taxes to get through economic hell so stupid let me give you an example because I had to there is a big advantage I think for the next president who have had to run something I was if we can create uncommon coalitions we were going to create uncommon results and in in Newark I had these incredible moments where you had in Detroit but that automobile worker now or that steelworker or that Kohl a minor that don't have common cars with the farmer if we tells us thought of a way out of that nightmare but we had to stay in the saddle and make toughest hell decisions but one of the things that came out of that was me always saying about the words were uttering from our mouth we say I swear this oath to liberty and justice for
#ItzOnWealthTech Ep. 77: Building a Fintech Ecosystem for Modern Retirement, with Rhian Horgan, CEO of Silvur
"What i think is really different about how we really approached building for this consumer is the first is that were purpose built for decumulation. Were helping you in that. Run up to that retirement decision and then helping you as you start to draw down your funds. The second thing is that. We're built for what i would think about as modern retirement so in the old days you had a pension you had income for life and you actually probably only living into your early early eighties today. The vast majority of our customers don't have pensions. They will likely live into their nineties. And so really developing an ecosystem. That's much more holistic to help the customer. We think is really important. After seventeen years at j. P. morgan asset management riyan horrigan had helped countless families improve their path to retirement when own parents. Were ready to retire. She realized it was a huge gap in the market. Most fintech apps are focused on millennials. And almost none on the needs a baby boomers so she decided to take on that challenge by launching own app and it's called silver at spelled s. i. l. you are and i spoke with riyan about silver and how they're building a retirement ecosystem. How her goals to become the apple. Watch of retirement information and a whole lot more on this episode of the wealth management today podcast tasks day episode seventy seven of the wealth management. Today podcast. i'm your host. Craig skits consulting firm called ezra group where experts at everything related to wealth tech we deliver growth oriented solutions to banks broker dealers asset managers. Ria aggregate irs as well as their wealth tech providers through our premium advice and targeted market research. And on this podcast. I speak with some of the smartest people in the industry who are on the leading edge of technology and innovation. Please subscribe to this podcast wherever you listen to your podcasts. And leave us a five star review on itunes and share this episode across your social media networks. And i'm happy to introduce on this episode of magic podcast. My guest rianne oregon founder and ceo of the app. Silver which helps baby boomers navigate retirement. Hey ryan how's it going. I crack nice to be with the. Ns morning so glad. You're here so glad happy. We could coordinate this and get you on the program and There was so much talk about We spent so much time going back and forth on on things to discuss in this so many things. Because i'm really interested in your app and interested in in retirement and how syntax and other firms are helping people in retirement. Yeah we're in the industry so we know the stuff we'd live and breathe it every day but most people aren't so i'm always looking for interesting ways to get this information to people so keen equipped gives a thirty second overview of the app silver. Which by way is spelled s. I. l. v. you are not are you are running out looking for an just give us a thirty second overview rea- absolutely so silver as an app. That's dedicated to helping baby boomers navigate their next act. We help you navigate the new series as decisions you make in your fifties and sixties such as social security medicare. When you're gonna retire. Our goal is to help you give you confidence that whether you live to eighty ninety one hundred that you have the financial means to love that best next act. Excellent very very clear and concise. And so how did you get started here now. You were jp morgan for awhile. What what brought you to start this company in in this specific space. So i had worked at jp morgan for about seventeen years. I was a managing director in the asset management business so had a long career of helping individuals with their finances As a result of that became that trusted child who my parents consulted quite a bit around retirement and so for about a decade. The conversation with my parents was all about when they were going to retire. But when the conversation shifted a few years ago. From wendy how i actually found myself at barnes and noble buying a three hundred page book on social security and as i was reading that book. It's struck me. Both how complicated social security actually was But probably even more importantly it made me realize the average american wasn't being set up for success if they need attendant read this sort of book to most effectively make their elections That was the beginning of a journey. Where i just kept digging and digging and was really surprised to learn that after all the innovation we were seeing in consumer and insurance and financial technology that this generation. Which is i would argue americans. America's most wealthy generation which has the most complex in crucial set a decisions to make up their financial. Lives all amazing technology. That was being built was being targeted towards millennials and no one was building for this demographic So what i saw was huge white space. Great opportunity to both helped my parents their generation. I'm really have confidence. In peace of mind as they navigate a technology are navigate these decisions and this power while we had already seen over and over again with the power of technology to empower people But for some reason the industry was just ignoring this demographic so under served demographic huge addressable market big decisions to be made. You know those are the type of opportunities at entrepreneur are really exciting indeed. Yeah that sounds exciting. I see how you what you want to jump right out at some something like that. But you're up against a lot of a lot of competition so I know in a previous interview. You mentioned you want to become the apple. Watch of retirement information rather than the life alert. Can you explain what you mean by that. The i think i know what you mean. But what do you mean So craig we. We were discussing earlier. You described yourself as a baby boomer but with tech habits that look more like jackson what i would say to you is. That's actually very indicative of our customer base which is the vast majority of people underestimate. How tech savvy this customer base says. This is a customer who grew up using technology in the eighties. And it might. My dad is older than you. But he's he seventy he red cat scans and is on a computer at home in the eighties and so this is tech letter. In a tech savvy community but for some reason the market looks at everyone over the age of fifty together as one big bucket of people and so for the technology that generally has been built for the over fifty plus demographic you have products like life alert which are all about falling and not being able to get up and i would imagine that you have no interest in wearing a life alert but boarding ex exactly fallen and can't get up snowboarding. But but i don't know if you have an apple watch. But i bet if you did have an apple watch. It wouldn't be a signifier that you're old and i think what we get really excited. Okay so no watch but really excited about. Is that opportunity to build inspiring technology for this demographic. That doesn't make old. That actually just empowers you to live your next specked. Best act and i think We've spent a tremendous amount of time. Learning how to design for this demographic there is a massive difference between how consumers in our fifties and sixties navigate technology versus consumers who are eighty plus life alert is for the eighty plus crowd. What we're building is the apple watch for financial and health decisions in your fifties and sixties. Let's go it's a. It's a great way to describe and people need that those kinds of anchors to see understand what you're talking about. You can say that you're an app to help people navigate retirement but that doesn't click so you won't be the apple watch of retirement. Ok and kind of see where you want it where you're going with that the So with that. There's a lot of competition in this. Space is so many apps now. Just saying i've got a thousand passwords passer batch of hundreds of apps on my phone although i'm probably way more than average person because i'm in the tech space on always trying things out but lots of people have lots of absent. There's lots of retirement savings programs. Every wealth management firm every advisor has got these calculators. Every every asset management firm vanguard fidelity have these calculators and tools retirement. How do you set yourself apart One got all. The tools are available to your customer base so the vast majority of modern tech apps have been built for accumulation so as for people who are saving for retirement. So it's learning how to pay down your student loans accessing your first mortgage putting money away maybe for your children's Five twenty nine plans. The reality is that our consumer is embarking on a different phase of life. Which i would think about as decumulation so all of a sudden it's less about saving four but it's about spending down your savings and retirement and also understanding the financial consequences of a lot of decisions. You're about to make so know your election of social security huge financial decision. Interestingly enough your decision around healthcare a very big financial decision when healthcare costs on average a couple of two hundred eighty thousand dollars over the course of retirement. Healthcare in america is a financial issue for every single retiree. What i think is really different about how we really approached building for this consumer is the first is that were purpose built for decumulation. So we're helping you in that. Run up to that retirement decision and then helping you as you start to draw down your funds. The second thing is that were built. For what i would think about as modern retirement so in the old days Had pension you income for life. And you're actually probably only living until you're early eighty s today. The vast majority of our customers don't have pensions. They will likely live into their nineties. And so really developing an ecosystem. It's much more holistic to help the customer. We think is really important. So when i think about our customers if they're in an offline world they're talking to a financial adviser an insurance agent a medicare broker going to the social security website. They're talking to a real estate agent. They're talking to a lawyer. There's no one person pulling all that together for them and what we think about as the real opportunity here to simplifying empower these customers actually be that digital landing spot. The polls all the pieces together for them and really act as their general practitioner. It creates a lot of anxiety for this customer to have to be jp as they make all these decisions but the existing ecosystem of incumbents is really set up to give you an advice on a sliver of the problem and really lead to the consumer to make the decision. I put that the existing ecosystem of incumbents designed. Well there's a lot look it's i. I came from an incumbent. So i understand. Which is i. I often describe what we're building as intersection of consumer tech shirt tax and tech health tech. Find an incumbent who wants to be in all those buckets it like. Why would you want to be regulated like that right so we have the opportunity because we're building from scratch really think about like. How do we build me 'cause system that's built for modern retirement but if you're a bank that's already regulated at the state level. Do you wanna now at insurance regulators. So the equation. Deal to add medicare to the equation. There's just a a level of regulation and scrutiny that if you're an incumbent you probably say look i'd rather just stay really good at what i am and solve this piece of the puzzle but again i think the challenge for the consumer. Is that with this shift from like dvd. See we just keep pushing more and more decisions to the consumer And that's when we think about what the app is really intended to do is recognize all these decisions have frankly been pushed to the consumer. Now how do we help. Bring it back together and on help empower them something. You don't hear a lot about pushing decisions to the consumer. I think people have assuming that politicians were doing things for the right reasons which is a tough leap to make that. Maybe people aren't equipped to make these decisions with all the other decisions they have to make you think you're that they're empowering people by giving them more control you maybe are what you're what you're saying you're saying you're overwhelming them with decisions that they're not equipped to make i would say for the average consumer. The math of social security is complicated. And so it's no surprise that the vast majority of americans elect social security at the earliest point possible which is sixty two but as americans are living into their eighties and nineties. That may not be the best financial decisions particularly. If you don't have a pension or an annuity so i think about social security as our customers largest retirement asset for most of them it's the only asset they have that has lifetime income or longevity insurance and the reality is that most financial advisors don't talk about social security with customers. It's not view it's nude as a government benefit rather than financial assis when it's more than half of our customers retirement income it's financial asset and it has to be included both the government benefit adventure lesson. Look i would. I would argue like you paid into it. It's it's a savings program you've paid into us And the and the search the the funds are there for you as you retire but the the mentality of being a government benefit. I think changes the way people think about taking that election and so it's a feels of. Is this risk that feels like a handout rather than this financial decision you're making and so our goal is to help you understand that. It's a financial decision without overwhelming. So how do we. How do we expose help. You see the power potentially of delaying social security. It doesn't make sense for everyone but it may make sense for you and help you understand how that impacts your financial plan but do that in a way. That doesn't require you to read three hundred pages right. That's just not realistic and endless. A ton of great content in those books but those books are are written for the one percent who frankly don't even need to social security. it's not written for the other ninety nine percent indeed moving back to the second I really like it I signed up. So i'm i'm a customer or a user as you might describe what How are you gaining customers for the. What's your most successful channel for acquiring customers so you know our customers are really tech savvy and their online and so as an early early brand we do a lot of our acquisition online We do that through partnerships We've partnered with katie couric In particular to develop a content series focused on women in their fifties and sixties and some of the unique situations they have around at navigating medicare and social security We've partnered with local news. Channels amion our customer is very engaged with and aware of local news and then through social media you know. Our customers may not be on tiktok or snapshot but they're absolutely on facebook and so what we have found. Is you know meet our customers where they are and what we know as our customers are online. Meet our customers where they are exactly. Yeah i think we spend way too much time on tiktok snapchat technically baby boomer but that's just me So one thing. I like about the app When i signed up through the process. I like the weekly reads and stuff. Whoa so are you. Using education to gain market shares. Is that what. What are people live near. The the most of us base finding most valuable about their. So what we've seen through our customers both of the research but also through their behavior in the app is they're definitely on a research journey. I describe our customer is as very financially savvy. But i'm let me unpack that a little bit. Which is i wouldn't say it's financially savvy that you're trading stocks and your on schwab monitoring your stocks every day. There may be some of our customers that are doing that. But that's not the core base. When i say financially savvy this is someone who's in their mid fifties probably had one or two mortgages. They've they've had several credit cards over there over their adult life they've You know oftentimes put their children through college. They've saved five twenty nine plans. They've made a lot of financial decisions and while we see that this customer understands that there's a fair amount of research to do before they make this next set of decisions and so the idea behind the content on the app is to really help. Our customers do their research. What we know is that they're on this research journey. They wanna get educated. They wanna be informed. They wanna do scenario analysis and to the combination in the app of this free retirement plan with a score. That tells you how long your money's gonna last plus the contents to help you make. Your decision is to really help this customer on a witness research journey that they're on and what you'll see is in this moment of time. We're in the midst of healthcare enrollment season. And so if you're a pre sixty five and maybe you've you've left your full time job and you're moving towards a part time job and you need to enroll in an aca plan. We can help you with that. If you're sixty five or older on your enrolling for the first time where we enrolling in medicare we can help you with that. We try to be kind of timely of the moment but also recognize the other decisions that our customers are making so for example a lot of our customers will downsize over the course of retirement when you sell your home by a new home. You're going to need new home insurance. And so you know what are these. Decisions of the customer is making. How do we help educate them and then get access to like the best price products and services that are out there only take a break from this episode to talk about one of my favorite charities. It's the invest in others charitable foundation. Which is a charity that amplifies the efforts of financial advisers who give back to their communities and communities abroad invest in others provides a platform for financial advisers their employees and the firms to increase awareness visibility and funding for their favorite nonprofits over the past fourteen years invest in others has given more than three million dollars to three hundred plus charities across a variety of causes including health and wellness education and youth programmes arts and culture hunger and poverty prevention and military veterans and more for more information. Please visit invest in others dot. Org follow them on twitter linked in a facebook and please make a donation and check if your company will match your donations. Double the benefit. Thanks a lot really appreciate it other interesting point so you noticed as a store tire store getting the best price products and services. So are you planning on offering insurance and other essential products through your yes. We have a series of partners already in the app that are helping our customers. Do things like access to healthcare plans. get online wills Home and auto insurance it will we think about is that There are a number decision. This customer is going to make on the at certain times feel like life decisions but they also have financial consequences. So if you look in the store what you'll see is we actually help our customers understand. What the impact on their score is of their home insurance. So let's say you know our partner matic can save our customers on average five hundred and fifty or six hundred dollars a year on their on their home insurance. That over twenty five thirty years starts to add up and that could add five or six months onto your retirement score So the goal is to really help our customers not only get access to great priced products and services but also have them see how these decisions are also helping them with that big goal which is make sure. The money lasts as long as possible although there's more to insurance than just the premium costs right. There's there the ability of them to pay out up there the other services you know we use new jersey manufacturers were jersey and i found it to be way better than even lower priced insurance much. I only thing about the the one year working with what do you do you do bring. How do you build in those other aspects of insurance that are more than just the premium cost. Yeah it's a really good question. And actually i think that's really comes to light when you think about Your choices around healthcare insurance so low premium in healthcare does not necessarily mean low cost because it could be that you've low monthly at pocket. But you have a lot. That's that's uncovered so we actually did some research recently with katie couric around the specific fact and we looked at individuals who remain healthy during retirement but in contrast with that to an individual who had An acute illness. What we found was that if you had chosen very low cost plans and got ill that could actually be financially devastating until we looked at an individual who had cancer and what we saw was that the the the choice of a lower lower premium plan actually ended up costing them for years of their retirement savings because they didn't have as much coverage. And so i think it is not just about price. It's really thinking about what the right amount of insurance and in particular when it comes to health insurance. I think one of the trends that i'm seeing in the market right now is push towards low premium plans. And i personally worry that that is leaving customers potentially underinsured. And so i think we. We've spent a lot of time really trying to help customers understand that. It's the total cost of healthcare. Not just that monthly out of pocket cost indeed a hit getting political but one of the one of the big issues i found with the affordable care act was that it pushed a lot of people into high deductible high out of pocket plans. People saying we'll call wonderful people have insurance but if they can't use it. That insurance is very valuable them. Yeah and that's like an this is around like how do you. How do you educate the consumer around what they're paying for. And so this is where you know as we think about calculators over time you think about scenario planning that allows customers to both look at monthly expenses but also out of pockets and really start building more sophisticated analytics into that into into that scenario planning for them. They got so much. Talk about the i saw i use the app i try. I set myself up. I went through the process. So i i told you i was gonna ask you. This is why don't you be prepared. Why is the on boarding process so long. It seemed to me like there was so many questions that which i don't mind answering because i do this all the time on concept testing robo advisor is another tool. So i've got this stuff top of my head. But i imagine most people who are in their mid fifties may not or may bail out. Did you see a lot of abandonment with the long on boarding process. It's actually the the the country that we see as an a very different behavior in an on boarding process from baby boomers versus millennials. So i would imagine if you've downloaded millennial app recently. The first thing they do is ask you to connect your accounts and probably connect one account. You connect your bank account and you move on. The reality is that most baby boomers actually knocked connected their account. So we've built an on boarding flow that allows customers to connect their account or self reports importantly. Let me just kind of build on that connecting one account. You and i both know that. If i'm going to create a retirement plan for you that helps you see how long your money's gonna last in retirement connecting. Your bank accounts isn't gonna do anything for you. You probably have money sitting in six to eight different accounts. If you're married might be more a ton accounts. So the reality is that this consumers financial position Pitcher is much more complex. What we have found is that if you there's a delicate balance here around the number of questions to ask you mentioned drop off but also Embedding trust so as a tech company. We have access such a tremendous amount of data that can help us both personalized advice for customers but also build out financial scenarios based on. Let's let's call people like you. What we have found is this consumer does not trust that data unless they've entered it themselves so interestingly over the course of the six months app has been live. We've actually been adding to our on boarding journey rather than taking it away because we have found is we just consistently get feedback around on. Give you one that we. We added most recent pensions. We had the ability much deeper in the experienced pension to to your financial profile and we kept having customers asking why was this. Not part of the mourning process So again this is where really listening to your customer designing for them. You're obviously you're gonna have dif- even have different types of customers with different type expectations but we do a tremendous amount of what's called user research where we're both testing within the app but also doing in person testing and we take the feedback on loud and clear. We heard the feedback from our customer base. Was they wanted. These are important decisions. They are willing to commit time and they were surprised if we didn't ask enough questions and so again we've we've built out this experience to meet them where they are. Which is they wanted to add their pensions. They wanted to tell us whether they were divorced. They wanted to tell us whether or not they were working. Full time or part time. These questions were very important for them. Feeling like the output at the plan was accurate for them. It's cool. I love that type of information. We're gathering stuff that comes up. That's completely like i. That's that's not an expected it's counterintuitive. I what you'd expect fewer questions would make people more interested in said. It's the opposite. They really want to feel like they put more information. And even though you can get that data elsewhere that they put it in that means what. The output is more trustworthy and look in this. is it Something that happens over and over again as we build for this demographic which is you can't the playbook that works for millennials does not work for this demographic so what i get really excited with as we're building a brand new playbook for demographic that hasn't been purpose built for It means is that you have a lot of trial and error trying to figure it out on the early days because you probably start with the millennial playbook and you realize it's not working and you kind of keep iterating until you figure out what the playbook is That's what i got. It really excited about our team. You know we've built the playbook for designing for this customer. We've built the playbook on how to digitally acquire them. We've built the playbook on how to retain this costumer and i think if you if you really want to build for your customer. There is like a tremendous amount of white space. Here but you you can't you cannot come out this believing that you're gonna slap boomer questions on top of millennial user design like it's not gonna work don't just slap boomer questions on a millennial app it's not gonna work. That's brilliant so. I like the app. I like things what i hated was saying. I'm joking about telling you. This is a joke. i hate the retirement countdown. Get that off screen. I don't want to know why was i did that. Create anxiety to inches now. Hope in the end europe. This many years the retirement. No no don't tell me it's so it's so it's so it's been interesting for us as we again. Talk to. customer is what we hear. People really focused on. Is this joy about what this inflection point can actually bring and so it's interesting for you. It sounds like it's creating anxiety. I think for others. It creates this like aspiration of like i need to get these things done. And when i get these milestones past like to live my best next act. I think the reality is that not next. Act looks very different today than it did. Twenty years ago so years ago retirement was more secretary was we were sitting at home. You might have been just out in your local community spending time with grandkids. And what we're finding today. That even the word retirement that make sense anymore. It's this transition from full to part time work. it's this finding new purpose As you as you think about the next fifteen year twenty year period of your life And then what we hear people feeling and of unshackled being able to do what they really wanted to do. And sometimes you know where you were talking a little bit about this kind of part-time work construct what we are seeing over and over again. Is this consumer as embracing part-time work. Sometimes that part time work is Financially critical other times. It's actually about finding purpose in your day and finding joy in your days while it might be starting a new business and might be one of my most favorite faxes that women. In their fifties and sixties are the most successful hosts on airbnb and people are finding ways to create new businesses and bought by being a host on. Airbnb has this joy that comes from hosting and creating community and sharing your life experiences but it has the added bonus of actually giving you cash flow. Which again extends the life of your money in retirement until. I get really excited about what this new narrative is. I don't think we're ready to step away from his word retirement yet. It's so common phrase but we we do think about the next act. What is this next. Act look like next. Act is not your grandmother's retirement. That next act is like being empowered to do what you really wanted to do. The last twenty years. Let's get rid of the word retirement. We gotta come up with a better word. Something different unloaded exactly. Next act is what we're going to give more feedback or running out of time. I want to get more feedback on the app so Obviously i'm in your demographic which perfect for you right The i want a goal for weddings. I've got three daughters one one just got married. Thank you But two more are probably going to get married at some point. And i need to go also there. A baby boomers who have younger children. My youngest happens to be seventeen. So she's going to college next year but that would affect my savings a the my spending for the next four years or five. She's going to be a five year program. That's that's five years if so i want i'd want. There's no goal for that. Although i'm not saving for it because it's coming up now but it's going to change my the next five years of expenses but some kids. Some people our age have children younger so they would have a goal of education. Which would you don't have on here. Yeah so the ways that you can create some of these goals today as if you're in the homepage you can go into article. One of the categories is create my own goal and in there we have some pre-selected options like travel home improvement buying a boat and event or other expenses and what we find is a lot of customers and we'll choose a bench for their for their children's weddings and you can actually enter in wedding where it says promoter exactly well. Hopefully the wedding won't be thinking as as much money as the boast but if you if you slept more yeah okay. So be selective vents. You can put in how much you wanna spend when you want. Expect it and you can actually give the goal name so you can have each of your kids weddings but in there you're going to play the game you know which year they're going to get married and i think what we know is that there. Are these lumpy psalms. And the other thing. Maybe that you might be actually getting an inflow and maybe that you're inheriting money And so being able to actually add an inheritance in as something that you can also do through. The goal experience only had an inheritance. That'll be nice if you if you have an apt to match people up with people who want to give money away sending. It didn't even have any marketplace rank the helmet that kind of marketplace where you're looking for someone give money to sign me up. We're running out of time but Throw in one more question We talked about the app enough. The so are you partnered with any Wealth management firms financial advisors. You see that as being a benefit because you're bringing in a lot of information from clients customers and they may not have a financial adviser seems to me like if you were to partner with advisors you could provide that sort of deal flow to them. This you're considering. Yeah it's something that we would absolutely consider in the future. I think today what we've really been focused on is actually helping us. Consumer paul together the pitcher outside of the money management. What we find is that they are getting a lot of Inbound calls direct mail around asset management per se. But what's been left behind. Is this conversation around. The full plan. this conversation around medicare social security and so our goal right now is really empower this customer with a solid financial plan so that they know where they stand. They know the different moving pieces. Now i think today as an industry and i'm thinking about like financial services broadly. I think we over a emphasize the money management conversation under infinite emphasize these other decisions that the consumers making about retirement days and social security and healthcare costs and spending and so my goal to start with as level the playing field. Let's empower this customer on these other decisions then over time really think about you know who are the partners that we can bring to the table to work with us on the asset management side of the business. Seems like a likely next up. You guys I'd love to see how that how that plays out because a lot of advisors are looking for one of the hardest things for finish advisors is lead generation so an app like yours. That's that's focus on modern retirement and has a great Customer base i think would be would be viable valuable in appreciative of you. You said you shouldn't be a rocket scientist to figure out retirement. What do you mean by that. So and come back to this book on social security and pages to figure out how to elect your government benefit. When i read that book. Not only did i fall asleep and get a little bit anxious about the complexity of the maths. It also really inspired me as we were. Starting the company think about the core values that we were building We have very very powerful technology that we've built around financial planning our retirement score takes the data you give us plus over three thousand other data points around taxes and government benefits and projects out. How long our customers money is gonna last in retirement. But we expose that. I think very elegantly in one number. Which is your retirement score so free for you. You said you had a great for which was ninety nine years plus what we've done is we've really met our customers where they are which is fifty percent of our customers are afraid of running out of money in retirement. We knew over and over again. They kept coming back to this like. Am i going to be ok. Well my money lasts my lifetime so we explode. It'd be exposed. These three thousand data points with one data points which was the retirement score That decision to not have lots of sharks not have lots of monte carlo. Simulations exposed gets to the heart of one of the core values of our company. Which is how can we be human in a world that sees numbers those of us that grew up being really good at math or working in financial services for a very long time are very comfortable looking at charts looking at monte carlo simulations understanding probabilities. That is not the average american and our goal here is to empower the average american. So if i can take three thousand plus data points to give you one number. Which tells you how long your money's gonna last in retirement. We've accomplished our goal of really helping. You understand are you okay. There's obviously a lot of devil in the detail but that first point is that number of like are you going to be okay and i think for what we see over and over again is customers are saying to us for the first time. I truly understand whether i'm in the right zip code or not. And that i think is less sign of like we've actually met our customers where they are which is giving them that confidence. The number you know. Craig you got a good number of our customers are not going to start with a good number but we are then giving them things instead of saying to them. Let's hope the market going up ten percent for the next year. And we're gonna put you in an eighty percent stock portfolio. We're giving them things that they can truly achieve which is think about changing their retirement. Date think about adding part-time work thinking about reducing. Your spending. these are all things customers. come back to us and say well. I actually think. I can do those things when we talked too. Much about markets. It's out of this customers control but again being human in a world that sees numbers now a lot of us in this industry are very comfortable with financial lingo with numbers with charts with simulations. That is not your customer and the minute you realize that you think about designing the outcome for the customer very differently. You've been fantastic. Guests are really excited to talk to you. I could have gone on another hour But we're not the wrap it while off teddy back on got a whole bunch more questions to ask a. Can you please tell the audience where they can find the silver app s i l. Lv you are so you can either find us in the apple app store under silver. Lv you are or go to our website. Silver dot com s. i. l. v. u. r. dot com. You can download the app directly from the website recommend. Anybody who's thinking of retiring to dental the i like. I think it's fantastic and you've been wonderful guest. Thanks much beyond for the program. Thanks so much.
93: Financial Mistakes and How to Avoid Them with Scott & Mindy
"Welcomes the bigger pockets money podcast showed number ninety three where mindy and I talk about financial mistakes and how to avoid them being in a relationship shouldn't be adversarial experience and if that's what you're having you need to really review and see if this is really the right relationship for you but be on the same team with pets on the same team with kids be on the same team with your wedding mastic day I'm very excited about today's episode because it was inspired by an article that I read online it's called the fifty one thousand dollars online counseling is convenient professional and secure best of all it's a truly affordable option bigger pockets money podcast listeners get ten percent off your first month with you exponential bonds in the future by not being able to grow so basically don't raid your retirement account when you're trying to pay down debt instead find way because you know the power of compound interest and I don't really think we need to get into that so much but that inspired me to post in our interoffice Phil so just go to simplisafe dot com slash ep money's learning order now I give their sixty day money back guarantee that simplisafe dot com slash vp money with your happiness or preventing you from reaching your goals better help online counseling is there for you you can connect with counselors online in a safe private environment when it's convenient for everything you share is confidential and there are more than three thousand licensed therapists across all fifty states and better help online counseling is also available worldwide better help the discount code pockets so why not get started today go to better help dot com slash pockets that's better help dot com slash P. O. C. K. Oh you counselors are available to help with almost anything you'd like to talk about from stress anxiety and sleeping to anger family issues and LBJ T- matters is when you raise your retirement account to pay off debt the small amount of money that you're taking out now no longer has the chance to grow and could cost you indications channel and say Hey I crowd sourced from our office fellow Denver Office mate's end on a side note if you're interested in becoming a fellow Denver office not s simply fill out a questionnaire to help them assess your needs and get matched with the counselor you'll love that's better help dot com slash pockets stake thousands of retirement savings have already made and willing to that in the show notes today which can be found at bigger pockets dot com slash money showed ninety three but what that article basically says whether you're looking to get your financial house in order invest the money already have or discovering new paths for wealth creation your in the right place this show is for anyone who had okay that commercial side we have a lot of really smart employees here and they gave us a quite the list of things mate bigger pockets is hiring and you could find all the jobs that were currently for hiring for at bigger pockets dot com slash jobs is there something interfered that they feel are financial mistakes and we will share with you how to avoid number one as we harp all the time would be housing and since we have already discussed this many many times we're not going to really focus on this too much in a couple of weeks we've got credit curl up from episode thirty five coming back on no matter what kind of property you invest in there's always time that goes into it months of planning labor and a lot of money that's why it's important to protect it don't WanNA major copper theft or vandalism descend thousands of dollars that's why we want you about simply safe home security those traditional security companies make it so complicated to protect your home or property but not simply say money or wants more this is the big pockets money podcast as everybody I'm Scott trenched I'm here with my co host Mindy Jensen Today Mindy Scott I'm having a the show talk about house hacking Scott you been house hacking in the past why don't you tell us what house hacking is yeah sure so the mainframe hat and there's no contract we're not the only ones who thinks is your best bet simply safe is the top choice to jury system have seen PC MAG three million other people's in such a way that they might cover the mortgage or even generate a cash flow for you while you live there in it removes the financial burden of Housing and places it on tenants ears that a big mistake people make by too much house and that will commit a lot of their life savings and a large amount of monthly cash flow making it very difficult the other places house hacking eliminates that problem is the act of buying a place with extra bedrooms or duplex triplex required lex with extra units wrenching those units out or other people who are inhabiting the property magic from you so that you can for free and make money and investment return from your housing yes now just like we said in the self into this house hacking situation it's not going to do anybody it's not GonNa do you any favors to have a house that you can barely afford and then also nobody wants to live there or all your it's completely wireless new drilling holes and all your walls you can easily move it between properties it keeps working you the power goes out the WIFI goes down burglar smashes Turkey kidding or just like Scott said in the beginning you become house poor when you buy too much house make sure that you can comfortably afford the entire mortgage payment before you get your to be able to afford all of that on your own it's really nice to have somebody else make the payments for you buy from position of financial strength right that means you you spend less than you earn and add episode eighty seven was how to save for a down payment and episode eighty-three was how to prepare to buy a house yes perfect pack your housing and but for free okay the next one up is a car now I don't know about you Scott but I have purchased so definitely go check out those two episodes if you're interested in learning more about out of avoid mistakes with your housing purchase Yes yes there's a lot of things that you can do to our value over the first five years of ownership so it makes a lot and their life span especially when you're talking about things like an economy car two new cars in my life and while I don't regret them they were definitely not smart purchases I mean I still have them today one is a two thousand roll our civic or something like something along those lines their lifespan can be fifteen to twenty years so you can let somebody else take the hit on that depreciation if you buy sleep once even though you've got a lease and you should have at least warehouse hacking even though you have at least that doesn't really stop attendant from just not paying you so you definitely want in three one is a two thousand ten they get me where I need to go but I could have very easily bought a used car and made it to the same place just as easily so you protect yourself from that downside but we have a lot of information on housing on episodes where we had two episodes recently at eighty eight eighty nine we had do you ever use a new car Scott so yeah I did I bought a new two thousand fourteen Toyota Corolla and you know like you can make worse finishes got ten fifteen thousand dollars at least in addition to the down payment closing cost expected repairs you're gonNA make in the first year of homeownership oh I don't want to get somebody else's problem what do you say to people who who say that I think that avoiding somebody else's problem in this context is a very expensive solution I think that it's a game of probabilities here which is all of life and all of this finance stuff five six year old model and still get a reasonably new car that's reasonably well maintained just after that depreciation has occurred you know other things here you know now the state the stakes life is we've heard over the course of a hundred episodes here vicar pockets money you know the the fact of the matter is that cars lose about on average sixty percent of their already take effect and doing your homework researching yeah now what do you say to people the most common thing I hear when I say oh you should buy a used car corolla are destroyed and that's an equivalent opposing risk I think to buying a used car right if I bought a used car that already has some appreciation that things can go wrong with a new car things can go wrong with somebody else's car somebody could have been in an accident or not reported something or not taking care of something we're not changing the oil but on the and see a lot of that trade off seems to be waited for my experience at least donor cruel a lot of that advantage seems to be weighted in favour of owning that used car I agree and I have an example that I like to share I don't think it's outside the norm I bought an Acura Integra from the first couple of years of ownership those have drastically declined here in the city of Denver insurance rates go down to ensure their vehicle because it has a lower value over time flipside if you buy a new car I bought a new Corolla right in the first year ownership I get rear ended at a red light right thousands of dollars value again owner of the car I knew he was meticulous and taking care of the car because he was a friend of mine but you can tell that the seller is selling obvious but like if you're buying jacked up to fifty with forty thousand dollars brand new you have different podcast he's probably listening to but but I know that that kind of stuff aside from that when you get into what car to buy I think it really is that like a couple years old model that has had some of that depreciation you a meticulously cared for car when they give you a stack of papers this big with all the receipts for all the work they've ever had done on the car so that right there if they've got all the receipts one hundred thousand miles out of it that was worth and it still starts flooded the whole the whole car flooded and it still years I am paying higher registration fees to register my vehicle in Colorado as a new vehicle I paid a premium for my license plate tags and such thousand dollars or fifteen hundred dollars I can't remember how much they sold it for but I sold it for like way more than I thought I would be able to sell it for after getting one hundred thousand dollars I'm sorry started it was a great great great car I would buy those again that's a accurate one hundred product and I think Hondas and Toyotas are really great hedge again nst you're carpets it was this like the star attraction of the parking lot wherever you drove it that's a great way to kind of hedge your bets I bought this car for twenty five hundred dollars I drove it for a hundred thousand miles and I sold it for two that I would've tooken value would have been I think dramatically different to my car than if I had bought it new so I think there's a bunch of trade offs here and from all the there's a whole bunch of advantages that I think largely offset some of that risk that the previous owner didn't change oil or is lying to you and committing fraud in worst car at School Todd Knesset won first place his was like spray painted I think it said like Motley crue on one side and maybe like metallic when I asked all of the Denver peeps for examples of financial mistakes and how to avoid them they did not disappoint the first thing on the Matt Salary on your engagement ring and it has to be a diamond this whole thing came up in one thousand nine hundred forty seven two beers was sitting on just a giant pile of the other car at the time I think I think that's that's a fear right is just like if you're going for the great dogging on diamonds I have a diamond engagement ring I love it I think it's beautiful but this concept that you have to save two months salary to pay for a ring is cert you can get very very good quality fake diamonds like cubic zirconiums who knows who can tell me men's which was going to devalue you know the law of Supply and demand Oh this is going to devalue the diamonds let's make them rare so they locked away a bunch of diamonds they came up with the slogan list was engagement rings and this is actually a dig at use guide you would literally gotten engaged the night before so congratulations to Scott at Virginia who will make a delightful cubic zirconiums zero and I've been married since God was a boy so it doesn't matter that you have diamond on your finger and it's so stupid right here are some additional disadvantages besides the depreciation that I instantly take after driving an awful lot I'm losing forty fifty sixty percent of my value for the first five gun the other looked like he painted it with a broom so tied you rightfully one but I wasn't far behind okay let's relationships yeah this is a huge a diamond was something that we discuss that we wanted to do and a good solution alternative to the really expensive diamonds is these synthetic lab created diamond bonus nobody is dying to harvest these diamonds from other countries so it's a really good kind of moral and financial way to get a little bit better of a couple of happy forever and while this teasing was aimed at Scott there's a lot of truth in this the diamond is forever and you should spend the ring that is chosen there so I spent much less than two months salary on the engagement ring so I didn't go overboard with that but some things that I did do is you know I discard my head a created White Sapphire it is a rock that is second only to diamonds in hardness and it looks just as beautiful as a diamond it is of a deal I think on an engagement ring I saw tip online I didn't verify the authenticity of this claim but I mean it sounds good I saw tip where if you get had with guests on the money podcast over the years here and we have a number of challenges that come up in relationships what do you think we should start mindy well in one thousand nine hundred forty seven ten percents of engagement rings were diamonds by Nineteen Ninety eighty percent of engagement rings diamonds and you know I'm not she's being on the same team at being clear about what your goals are as a couple and what you're trying to get to and if a really expensive engagement look car you know this financial independence journey spe- a little little difficulty in high school I one third place the best bridesmaids dresses in all of that doesn't change the fact that your mom hates your aunt sally and they're gonNA fight at your wedding so spend difference between cubic zirconiums diamond by looking at them nobody accepted jeweler and do you know how many people have come up to me and said excuse me let me see if your diamond is really a diabetic I was getting engaged because I didn't even have the Internet barely when I was getting engage I didn't know that this was created and you know there wasn't all that and all that kind of stuff with our wedding right now so you could spend a hundred thousand dollars on your wedding are you going to have a better marriage because you spent one hundred thousand dollars on your wedding almost free I think they said you could get like a nice one carat for like two hundred dollars I don't know that I would have taken this same advice thousand years ago when is the real diamonds they're just created in a factory setting so you can get some really good color some good clarity you could cut those kinds of things for a little bit less of a price and so housing and transportation obviously too big line items in the budget but relationships seems like as a as a real central theme to a lot of the conversations that we to pay so much money for something especially when you can't afford it now Scott you did recently get engaged candidates time on this I think one of the discuss assets and money with your partner before things and I think Aaron lowery perfectly in episode it was but one in episode eighty one whole family dynamics day you know what that's a really good point spending all this money on your wedding venue and on your wedding and having the perfect flowers and having things that people gloss over on this is that you know the key to it is making sure that you're for me the man that might be on sale is happy with is you'll probably get some not safe for work information as well but there is definitely a way to not have a baby or to significantly increase your chances of not getting pre ring is more important than the marriage there's a problem yeah I agree I think a key here fema car across all the problems that come up with relationships having kids is really easy Scott how babies aren't made I know how babies are at night and there's an if you don't there's a lot of information if you google don't Google it at work and having kids is not a financial mistake but it is definitely a financial drain we've all read the articles the same relationship both partners need to be on the same page about when and how many kids are going to be coming along and you know what average kid and yes there are always outliers there are kids who have medical issues there are kids who actually that's kind of the only outlier if your child has more time on who you on the guest list who you want there what do you what is your wedding and spent a lot of time on the wedding that information on the blood diamonds and you know we could harp on this forever and I don't want to but if you are just starting out if you are in a relationship and issues I don't really consider that to be the cost of raising a child but I guess you really should anyway just having kids in general is expensive it's more expensive than not having kids while not about after the wedding Scott let's talk about having kids yes so so the title of this episode is financial mistakes and how to avoid them the cost two hundred eighty thousand dollars to raise your kids from zero to eighteen yeah if you buy them everything they ever want it doesn't cost two hundred thousand dollars to raise the or if you want to just hash it out ahead of time and appropriate manner so I think I think that's the last concept to go in there on the the wedding side of things let's enough is going to govern how assets money are going to be determined in the relationship it's just a question of whether you want those rules to turn by the state which could be really ambiguous depending your circumstance in an I only spent five thousand online no you may not even have a better wedding it's wedding about wedding stuff here has to do with Political Salihi unstable is one of the worst types to have kids yeah I couldn't agree more and I and I also say in that same vein that obvious they get on the same team by having a pre-nup it's time for a new American dream one that doesn't involve work in a cubicle for forty years barely scraping by I would say have that conversation before the engagement ring conversation that's right 'cause it's perfectly acceptable to not want to have kids ever hiring is what one partner wants then the other partner I think needs to understand hey is is that tenable is that okay don't go into debt together the ring that's not a great way to start perfect yeah I think that's a great great role and I think you can apply the same concept to weddings or full-throttle here picking venues thank you mindy where you'll get insurance for when your health is good and if things go poorly a set of rules similar to it and if you don't want to have kids when you're twenty that's a really good time to not have kids if you don't want them when you're thirty or forty beds are really not have kids too but being financial want within reason and you know and then last thing here on the wedding engagement side is the concept of the prenups prenuptial agreement where where he but I find it very unacceptable to marry somebody who wants to have kids when you know you don't WanNa have kids have that sation it doesn't have to be a first date conversation but you definitely want to have that conversation on a similar note you know pets can be a major financial track business-class paying to travel business class in my opinion is a mistake now I will caveat that with I have very short legs my knees entry or whatever and the owner needs to spend ten fifteen twenty thousand dollars or more on that bills related to that right coding Yep exactly so I think all of this can really be summed up as a financial mistake and how to avoid the needs to be taken into account fryer if you don't have a pet prior to getting a pet that you know when that time comes don't come anywhere near the back of the seat in front of me on an airplane you are Taller Scott I can see that your legs might touch back we've got a super tall guy in the office before you go into them and having those conversations and if we are offending you let us know let us know what you think we got wrong you can reach out to me by having a pre-nup Aaron said so succinctly you already have a pre-nup the divorce laws in your state so if you don't want all of the vet bills and all of the taking care of this animal did you have no business having an animal at this time it is a financial mistake that can really those laws dictating how divorce goes you need to write them yourself love it I mean this is this is a huge bucket of issue bolt there are so many ways to spend so much money on travel but there are lots of ways to save money on travel traveling I may say that I'm only going to spend three five whatever it is but then that's my that's my pets member of the family that I'm GonNa take care of I need to be financially prepared to the right time to have a pet you need to be financially advantageous position in order to experience the privilege of owning an animal yeah I think that's it in a relationship is to be on the same team being in a relationship shouldn't be adversarial experience and if that's what you're having you need to really review privilege a privileged it is not a choice it is a privilege to have a pet and we are not saying that pets are bad we are saying if you can't afford care to cover any expenses that will come up that I think will be I would be even remotely likely to have to handle owning this pet and that's responsible choice prior his knees definitely touched the back of the seat and you probably have to sit sideways and I bet that's uncomfortable so if you're like seven feet tall maybe that doesn't apply to you so much and I think that's fine right it's a I can only imagine how hard of an ethical dilemma pet owners face at that point but that dilemma over the next little bit I'm flying all over the country visit parents Christmas thanksgiving weddings right and those are things that I really think would be difficult to avoid he's here I think we've covered a couple of them pretty well hopefully we're not offending anyone are going too far with these these things but I think it is a matter of just understanding the consequence of these things and these choices terrain you especially if you want to pay all the vet bills your dog has cancer only GonNa go through chemotherapy but now I can't make my house payment that's said really I think the big opportunity here in terms of travel is in the concept travel rewards and this is something that I really got my in over the course of ten years become financially dependent and then your wealth snowballs you become very wealthy at the age of sixty sixty five seventy that is the time to begin flying you and see if this is really the right relationship for you but be on the same team was pets be on the same team with kids be on the same team with your wedding get on the same team class when you have a large surplus that you need to spend until then I think that economy and traveling as you can is the appropriate way to go however that is me and my travels right I'm twenty nine we just talked about weddings engagement rings all that kind of stuff a bunch of my friends have been getting married that seems like it's only going to continue accelerating the at at bigger pockets dot com you can reach out to Scott Scott bigger pockets dot com where you can reach out to both of us that money at bigger pockets dot com okay moving along to trust from you know if I WANNA maintain my personal relationships and friendships the southwest companion pass which got by travel hacking getting two different which gets me to companion pass which allows me to bring Virginia my fiance for free every time I book plate has been sap thousands of dollars over travel costs by getting free flights and hotels and free I think even have car rentals now I'm not sure there's a lot of ways to reduce or eliminate last year and a half and that kind of travel hacking can really make a big difference for people who do need to travel which I think is an increasingly large segment of the population these days credit cards one that gave me fifty thousand points as a signing bonus and the other that gave me sixty thousand points as a signing bonus which gives me one hundred ten thousand South West Air points but for me business class is a complete waste of my money now if you're going to give it to me for free I will take you up on every single time yeah I fly southwest so there's no business education on this concept from the choose guys over at the FBI podcast but yeah I mean like this credit card hacking travel rewards has been a game changer is there but I think business class is a really good thing for you know if you if you listen to bigger pockets money podcast you save your pennies you invest wisely you earn a good income you go and support is going to get you what like five or six round trips at least I mean some of those trips are even less expensive than that depending on where you're going so just mitigating your Yep and even if you don't have somebody to consistently travel with the travel hacking where you got the credit card that gave you fifty thousand points to be able to pay off your credit card every month otherwise you're paying interest to get free travel which doesn't make any sense absolutely this is for your good really good way to put it you know there's a lot of stories about how animals you know I I typically hear this drought dogs that could be a cat stood up sure but you know a dog has cancer or needs showplace you're not gonNA credit card debt but and I haven't gone crazy with US I've opened up three credit cards in the last two years right so it's not like I'm going nuts and open individual investors getting started as simple and usually takes less than five minutes when you invest you will be instantly diversified across dozens of real estate projects each one carefully vetted and actively managed by fundraisers team of real estate pros then you can use their intuitive investor dashboard and real time reporting system to monitor the agencies fundraise delivers the kind of investing power you usually only see giant institutions bringing real estate's unique potential for long term growth and cash flow to EP money people in the community tend to value travel inexperience over material goods concerts and sporting events are always great experiences just last week for hotels so you can really make on your expenses there yep and I used to think oh I don't need a Hilton hotel I don't need a and D. R. I S. E. DOT COM slash BP money to have your first three months of fees wait again that's fundraise dot com slash a Marriott Hotel I'll stay the choice hotels which are still fine hotels I really like a hotel that gives me a free breakfast but these travel rewards I mean when it's free country in spring and bring your significant other and get a rental and get a hotel room and it's GonNa cost you a thousand bucks to go to a wedding or something subject I think can can really result in some good savings and like to your point as miles they count for airfare they count towards carbon you can use them toward car rentals you can use them recipes each property within your portfolio that's the future of real estate investing so ready to get started visit fundraise dot com slash B P money that's f you due to Las Vegas to see multi platinum selling artists Def leppard tickets for this amazing show on vivid seats right now seriously I just checked and not only do they have seats they have great seats you can choose your seats based on the venue map which makes it super easy to see exactly where you'll be so you're not surprised when you get there and my coworker Craig love's travel and baseball APP fans are automatically enrolled in the vivid seats rewards loyalty program and will earn credits on all their purchases as part of vivid seats rewards all vivid seats confirmed orders your travel costs the truth episode is episode number nine where Brad Jonathan really dive deep into how to do this I will give the caveat that you do need has made it a goal to see a baseball game at every Major League Baseball Stadium and after this weekend he's got three stadiums left vivid seats can help him finish his goal vivid seats can help any experienced that lasts a lifetime vivid seats offers tickets to sporting events concerts theater and more vivid seats APP go to the APP store or Google play and download the vivid seats investing is known for a lot of things mainly making a select group of people a lot of money but being an online cutting edge experience is usually not one of its hallmarks well that's no longer the case lifetime and let the vivid seats APP get to your next live event remember enter Promo Code BP money at checkout to receive a discount of up to one hundred dollars okay coming up next our tax mistakes Scott what do you think are some financial mistakes that people make through taxes and get tickets for sporting events and live music concerts across the nation vivid seats is an online event ticket marketplace dedicated to providing fans of live entertainment with an fifty like some of these other guys not to say it's going nuts they're having some of these guys are educated no all the consequences of what they're doing but just a little bit of openness to that fundraiser is the future of real estate investing their revolutionary model is transforming the industry thanks to software that cuts out costly middleman and old market innocent a lot of money they're not going to their CPA CPA NAZIF CPA the accountant prior to making those changes. Right let me give you counts of money around they're often not considering the tax consequences of those decisions and a largely that's because there we talk about saving rather than keeping it as a rental over time right and I'm not saying you should or shouldn't I'm saying that if you're not including your CPA in that decision you may cost yourself tens of As a rental you may not be aware that you only have another two years or three years before you can to sell it where you get through that loophole where you're in that makes it a little hard power to enjoy sometimes a little bit assistant set cost in your mind a little bit and this from a mental perspective has really helped me enjoy and by a one hundred percent guarantee but wait there's more enter Promo Code B P money at checkout and you'll receive a discount of up to one hundred dollars make memory that lasts people starting to veer off a cliff luckily all these conversations basically before like go talk to your CPA but that's what I wanted to kind of get a point out with these tax thousands of dollars or hundreds of thousands of dollars depending on the value that's at stake there another big one right should I sell a rental property or should I refi oh you don't declare capital gains on the property's value increasing right and that can be a huge advantage to selling a home that you've occupied I think I think I'm not going to give tax advice but when people move large amounts of money around or are considering moving large it gets all right hope you're enjoying the show we'll be right back after a word from today's show sponsor we some examples of things that I've seen pop facebook groups or discussions over the past couple of months I've got house and I'm pretending to be somebody and I'm considering I've lived there for four or five years considering keeping as a rental right well that's great that's great you want to keep it as a rental but if you wouldn't buy that property today anything else you don't need to see if you're filling out any other lines on your tax form you need to talk to a CPA maybe not every year maybe dance we had a question the other day about someone was asking Sean liquidate my 401k to pay down my mortgage right I'm not a CPA but that sound like investing in real selling real estate investing in stocks those are things that you need to talk to CPA about because you can lose a lot of money and you may look back and be like been less than than paying for a cheap hotel room and this may sound bad but misdemeanor isn't a huge surprise to get him I think but you know when you have to fly across the if you unless you're just here's how much made here's how much I owe the end you need to talk towards EPA at least once yeah and I'd say I'd say you know look mistakes here is that if you're not aware that you may incur a capital gain tax and there's ways to avoid that or change the way you're approaching things Utah large piles of money especially when they're related to home equity when they're related to rental property equity when they're related to retirement account starting businesses that really I kind of see which is partially tax advantaged the interest at least is tax deductible right so there are major tax consequences to especially once you to moving have do your taxes every year but you definitely need to talk to a CPA this is my situation what do you recommend and see what they say oh you need your retirement accounts comes back to the article that I read that inspired this whole episode which was raiding your 401k. Now I'm sure there are times week yes I did hear this congratulations though it is a very ugly house I will be making it look very pretty and I will be making videos for the to do this you have all of this money that you're paying in taxes that you don't need to pay or if they can't do anything for you they'll say that too but colors from my 401k because the 401k that I have allows me to borrow I have to make payments back my husband also borrowed from his and we sold our ns ex sell my house if that's what we do or once I sell stocks next year I'll be able to pay back my 401k loan so while I think rating it and taking is that rating your 401k is not necessarily inappropriate I won't call it rating my 401k. I don't know if I told you I bought a house terrible idea to me because you're going to if you look at your 401k you're GonNa realize income when you do that you're going to incur a penalty and you're gonNA use that to pay down a mortgage oh to CPA well and let's talk about having a CPA do your taxes and getting a consultation from a CPA if you have a plain old to fund the purchase of this plus driving it just gave me the he bdb's because it was like too nice for me so we were able to pay cash out of my 401k as a withdrawal so I didn't occur the ten percent fee tax it didn't incur the ten percent fee and I didn't incur the income tax the withdrawal out is incorrect you can still sometimes borrow from your 401k as long as you're making payments back some of the rules around that are Bob and you have no deductions outside the standard regular person deduction what is it twenty four thousand dollars is like that and you have no your pockets youtube channel and you can follow the progress but basically I needed to be able to move fast on this house by current house has a large amount of equity um structure that differently I'd be up thirty forty fifty thousand dollars Yep okay coming up into that capital gains in withdrawing from undoing little air quotes if you're watching this video we were able to pay cash for this house which allowed us to acquire it early now I didn't pull money lance specific but if you need money and you have money in your 401k talk to your 401k plan administrator to see if taking alone is an option in you have a large amount of assets or are considering making changes to your asset allocation by selling something and putting it somewhere else or selling stocks investing in real estate we do to force depreciation when I bought it ugly and made it beautiful so I borrowed from my home equity two hundred thousand dollars I borrowed fifty thousand if you get fired from the job and it's a self employment so I'm not going to get fired but if you get fired then you need to be able to pay it back within something like three months this is also very into instead have purchased this property you're just choosing to access liquidity in this manner so I think that's a really responsible to put it in your situation but would you agree because I just borrowing it and I'm making payments back to myself at a five percent interest rate which isn't so bad and once I so again really situation specific if you're able to make the payments back to your 401k then I don't see a huge issue having net worth of less than twenty thousand dollars and you're making a w. two in cobb and whatever then you don't need to see but I put a caveat on that with if you start investigated real estate that like straight up no for me I really hate that I like borrowing from a 401k as opposed wells credit card debt and I'm going to borrow fifty thousand dollars for my 401k to get started in real estate what do you think the answer is I think that's investing from position financial we a lot of people in that particular situation are unable to get a mortgage so they would have to go to a private money lender or a hard money lender if they're just starting off in real estate they a situation that we hear a lot that I am a little more averse to is I've got one hundred thousand dollars in my 401k two thousand dollars in my bank account two thousand dollars us right you have a large net worth and are financially independent and are using this as a temporary source of liquidity if push came to shove you could sell assets and in order to get access to liquidity you're not having to just leave several hundred thousand dollars in your bank account for very long period of time not earning a good return on invested with it but because you are paying yourself back if I have to pay interest to someone I'd rather pay it to myself than to a bank or to a hard money lender probably don't have a huge private money network that they can tap into so they would be forced to go and get hard money which is interest rates on the very low end and you for opening that can of Worms Scott having a pet getting a pet is a choice right that that I that maybe in the other situation that's not that's a much more of a stretch you said borrow from a 401k what I hear people saying when a cash out my 401k order to purchase real estate you're taking a he lock and you're taking the loan against your 401k really responsible and appropriate way I think to purchase real estate given your situation eight percent in up to ten twelve fifteen percent so as opposed to paying five percent ish to yourself to repay your your 401k you just chime in here with this that this is really tax advantaged appears to be a tax advantage way to purchase real estate right you're not having to sell anything and realize that he way things a lot more maybe that's maybe that's just how I'm feeling that way but no I'm like that too but that you you know it makes it makes a lot more enjoyable when you go on a free vacation you're looking to borrow against the 401K as their major source of liquidity Oh yeah you know that borrowing is going to put you in a risky position just like taking alone as long as you can swing the payments I think that's a better choice but again situation specific fair enough I would just caution people who are if you want better better understanding on that concept and third not taking free money right there's a match when it comes to 401k's the many employers there can't be yes oh your money basically instantaneously in a lot of other investments even if you do have high fees that you're investing that money in you can always roll it over at a later date Yep and going to go one more with retirement accounts and say if you are a government or state employees if you have access to a four fifty seven plan absolutely Max that out before you start maxing out any of your other accounts the four fifty seven plan committee the penalty for early withdrawal is assessed before taxes so you take out fifty thousand dollars is like the public employees 401k but they also have access to a 401k or can't have access to a 401k so if you take your being more income and income at a higher tax bracket higher taxable income then when you reach retirement age and withdrawal only with that was unique happy the plan that has the best fee structure to give you the highest probability of building long-term wealth of your portfolio right we've talked about before where a big Fan of index funds tend to underperform after fees relative to passively managed index funds right it's not say you can't do that just make sure you understand the difference in what many employers offer a match and if you're offered a match particularly when that vests very rapidly than that can be a really good source of capital it's going to be very difficult not understanding the fee structure retirement accounts I think a lot of people automatically enroll in these accounts and they enroll in the recommended plan whatever by the provider right that may funds or funds that have low management fees that closely trail market indexes right you know there's a lot of good research out there indicating that these actively managed what they should be used for and how you plan around them right to your point about withdrawing early to me it doesn't make sense to ever withdrawal early did an it's a great solution and I would hope that it was a smoking hot deal my house was literally a smoking hot deal it smells like cigarette smoke assessed of five thousand dollar ten percent penalty and then you pay taxes and then you pay tax and you're realizing income right and condition right and to give you an idea of why this is such a problem suppose that I have honor thousand dollars in my retirement account right and I want to withdraw the entire ballots I you can take that out when you separate from employment at whatever age there's no fees there's no penalties or taxes I don't recommend taking it out but if you need aide so you're taking a double whammy in many cases if you're going to be withdrawing that money early for unforeseen event a two other big mistakes before we move on from retirement accounts one funds you can access those funds I without any penalty which is better one last thing on retirement accounts before we move onto the next topic here I said in the past that I I prefer personally not to Max out my contributions to retirement accounts particularly the the the beginning of my career because as I thought that having that liquidity available after tax would give me more in a account that I was willing to spend to fund my lifestyle or invest opportunistically was more to my advantage than but in that money into retirement accounts I currently beclere Max out my retirement in our interesting what's interesting going on in Washington DC right now on Wall Street does not like political instability so got your 401k it worked out for you and I you specifically have a very logical mind and you could see that if you a sizeable portfolio in the stock market I have to wait until next year before I could pull more money out and not pay capital gains taxes on it so I just have to sit here and wait and were you putting anything into your 401k at the time or maybe you have a okay so I am looking for ways Ed incur the penalty from retirement account to me that says bad planning right and not having a strong general financial we're getting into right it's it it goes back to what show was twenty with a Jim Collins Okay episode twenty which incomes yes go back and re listen to what's and that's because my career has a good trajectory and I'm able to Max out and have more cash incoming than great opportunities to Xing out my 401k maxine. HSA are ways that I reduced my taxable income. I'm also a little leery about the stock market right now and have X.'s on that realization of income I'm also going to pay ten percents early withdrawal penalty and I can't quite remember if that penalties assessed before or after taxes side of the the the big ones have housing and transportation here but you know I think
An update on the COVID vaccine supply
"This marketplace podcast is sponsored by merrill with merrill guided investing. You have the option to work with an adviser at a low cost and minimum get started at merrill edge dot com slash investing goals merrill lynch pierce fenner and smith inc. older registered broker dealer and investment advisor members. Sipc this marketplace. Podcast is supported by. We work today. Takes new ways of working new measures toward health and safety flexible terms for how you work spaces designed with your purpose. It takes so we work office to take your business where you wanted to be we work. That's how tomorrow works visit. We work dot com slash. Tomorrow will lead with an update on covid vaccine supply. I'm david brancaccio with fda approval for the first corona virus vaccine expected as early as today the one from pfizer beyond tech. There's news about the second one submitted for approval. The one from dirna bloomberg news is reporting. There are contracts were would supply extra vaccine for distribution in the us if rival production fails to meet demand which is expected and a big setback for a third vaccine candidate. This one from glaxosmithkline and its french partner. Santa fe for a year. Here's the bbc's rob young in london. The uk's glaxosmithkline snuffy of france have been jointly trying to develop a coronavirus vaccine. It's a more conventional job than pfizer and beyond tax which is already being injected into arms across the country. Glaxo and snuffy say they're disappointed to have to announce a delay to their program. They had hoped there vaccine could be ready by the middle of next year. But the companies have said the inoculation provoked and insufficient immune response in adults during clinical trials so the companies working on a more effective vaccine which could be available towards the end of twenty twenty one. The uk has ordered sixty million doses from the firms in advance. Companies and governments have said many effective. Vaccines will be needed. Rub young with our editorial partner. The bbc it just a moment. We have a story about the financial system and the pornography industry. But i'll give you a moment here to opt out if they're those in the household or the car for whom this might not be appropriate meantime markets stock index. Futures are down this morning. The dow future down two hundred forty six points eight tenths of a percent. S&p nasdaq futures are down nine. Tenths percent each now to the story with a content warning. Visa and mastercard have stopped allowing their cards to be used on a very high traffic site. Full of sex videos. Canada-based pornhub marketplace's. Nancy marshall genzer joins us here nancy. Water some of the catalysts well they're responding to investigative report in the new york times by columnist nicholas kristof. He says pornhub is quote infested with rape videos and monetizes child rapes kristof. Says he saw quote recordings of assaults unconscious women and girls on the site. Some of the women have repeatedly asked for them to be removed. Mastercard these say they did their own investigations in statements to the times. Mastercard said its investigation confirmed violations of its standards. Unlawful content visa said the processing payments to pornhub will be suspended wall. It finishes its investigation. And what about reaction from government. Could there be legislation to ban the type of content. David pornhub is part of a pornography conglomerate called mind geek which is mostly based in canada. Pornhub appears to have assumed it was protected in the us by part of the communications decency act known as section two thirty section to thirty gives internet platforms some legal immunity so they're not liable for content posted by users. Congress put it though on section two thirty a few years ago now. Congress is considering overhauling. The law and president trump wants to be repealed marketplace's. Nancy marshall genzer. Thank you this marketplace. Podcast is supported by is the most successful investment portfolios include real estate start building yours today with fund is they're investing platform makes investing in high quality high potential real estate as easy as investing in your favourite stock or mutual fund since two thousand fourteen fund rise has averaged eight point seven to twelve point four percent annual returns and investors have earned more than seventy nine million dividends alone. Stop missing out. Go to fundraise dot com slash morning. Deb your first. Ninety days of advisory fees waived. That's fundraise dot com slash morning. It's been two years. Since california's deadliest wildfire hit the town of paradise. Eighty five people died. Eighteen thousand structures were destroyed and as lilly jamali reports. People are still dealing with their insurance. After what's known as the campfire in california jan tony done moved to north carolina. They lost everything back in march. Just before the pandemic shutdown. I visited them at a cafe near ashville. They say still battling their insurance company nationwide which by their estimate owes them more than two hundred eighty thousand dollars. We stopped communicating with them verbally. Because it was just way too much of a problem. It was very stressful. The dunn's say nationwide asked them to itemize everything they lost. Our list has sixty two hundred items and just crazy to have to go through room by room and remember okay. My office drawer. What was in there. it's painful and traumatic. It's not right that anybody would ask you to do that. Also say nationwide promised to cover the cost of moving to north carolina. But they say the company later refused to do that. The duns are not alone in their frustrations with the company back in paradise fire survivor. Genie web started a facebook page. Where fellow nationwide. Policyholders can exchange tips and vent. Everything's nickel and dime issue. Where you've got up from all the way up to the wall. Six department of insurance on and fight with them for six months to get one. Every single thing is like that with them and it's me in a written statement. Nationwide insurance spokesperson ryan ancram said the company can't comment on individual claims but is working in good faith to fully honour commitments to policyholders nationwide isn't the only ensure facing criticism but california's insurance commissioner has opened an audit known as a market conduct exam of nationwide's practices and while some people are still trying to get paid for their claims. Those who haven't lost their homes have a different concern. Racer going through the roof. you know. The ripple effect as companies pay out on claims will go through the market for years. that's california assembly member. jim would. His coastal district has been hit hard by large fires in recent years. This is a huge issue in. It's not gonna go away anytime soon. He worries about the possibility that home and property. Insurers will pull out of california so that his constituents won't be able to get coverage at all. I'm lily dramatically for marketplace for developments throughout the day on money markets workplace culture innovation checkout marketplace. Later today with my colleague kyra doll on many public radio stations or streaming marketplace dot org. This is the morning report of david. Brancaccio were from. Apm american public media here at marketplace. It's the generosity of listeners. Like you that keeps our nonprofit newsroom. Going strong and right now. Facts seem to matter more than ever to thank you for supporting. Our journalism will need a marketplace face mask as a special. Thank you gift. Show that you care about the people around you and about credible news. That has you covered. Give any amount today marketplace dot org slash donate to get your marketplace mask that's marketplace org slash. Donate and thank you.
An artist in residence (she can afford)
"This marketplace podcast is brought to you by bit site from the back office to the boardroom bit site helps companies of all sizes continuously manage cyber risk using it security ratings platform. Learn more at bit site dot com. This marketplace podcast is brought to you by context. Travel privately guided half to multiday tours in sixty cities worldwide led by experts in art cuisine, architecture and more context travel is dedicated uncovering, the DNA of that special place. More at radio dot context. Travel dot com. The president is scolding the fed for not lowering interest rates, even though the fed is probably about to lower interest rates in New York. I'm Sabrina short infra David Brancaccio. President Trump escalated his criticism of the Federal Reserve this morning on Twitter, calling the fed a stubborn child. He wrote think of what it could have been if the fed had gotten it right thousands of points higher on the Dow and GDP in the fours, or even fives with us is Julia Coronado, founder of macropolicy perspectives. Good morning. Julia. Good morning. So the president is being real critical of the fed here raising rates, but isn't everyone pretty much in agreement that the fed is literally on the verge of lowering interest rates. Absolutely. The said sent very strong signal last week that they will be lowering interest rates. Well, let's just go through this, where people might not know why doesn't the Federal Reserve just let her rip lower rates have GDP growth of four per se. Sent or some massive number. Why don't they do that? Well, the fed has a dual mandate, and that is maximum sustainable employment and stable prices. So it is not about the stock market or pushing GDP to the absolute limit, but there are some risks on the horizon with the trade wars and some of the global geopolitical developments in addition to what has been a longstanding global slowdown in the global economy. So there's reasons to lower interest rates, and the fed is intending to do so to keep the economy on track. This round of criticism from the president. It seems a little more explicit. It seems louder do make anything of that. The president has been getting more explicit and critical and louder. I think his intention is to control the Federal Reserve, that would be his desire. No matter what the fed, does, it will be the target of his wrath. Julia Coronado, founder of macropolicy perspectives. Thanks as. Always my pleasure. The US government for decades has been trying to get Europe to spend more on defense. The new acting Defense Secretary Mark Esper- will will be making that case yet again, at a NATO meeting in Brussels this week from Washington. Marketplace's Scott Tong reports to percentage EDP for years, the US has asked NATO partners to spend that much on defense. They're spending has been going up lately. European allies hit one point five percent overall last year. That's a five-year high, but still short of the target defense analysts, Byron calendar capital alpha partners says the reason is not so much Washington prodding. It's actual threats like Russia annexation of Crimea. The actions in Ukraine. They have had a pretty profound impact on thinking military spending is globally in general last year. It rose nearly five percent and within NATO nearly six percent. Rachel Rizzo at the center for new American security says the trend goes back a decade. That's when European countries began to boost spending. Spending. She says amid signs of Russian aggression, NATO allies are realizing that years and years of decreasing, their defense spending hasn't done them. Any good by one forecast. It'll members overall military spending will hit a trillion dollars this year on Scott Tong for marketplace. Heart of being responsible news organization, especially one that covers business in the economy is fiscal responsibility. Marketplace's budget year ends on June, thirtieth and we're closing in on our goal of two thousand five hundred donors for this drive, but we still need to hear from you become a marketplace investor for as little as five dollars and keep trustworthy. Independent news going strong contribute today at marketplace dot org. And thank you. This marketplace podcast is brought to you by indeed. When it comes to hiring, you don't have time to waste you need help. Getting your shortlist of qualified candidates fast. That's why you need indeed dot com. Post a job in minutes. Set up screener questions than zero in on qualified candidates using an intuitive online dashboard. And we need to hire fast, accelerate your results with sponsored jobs. New users can try for free at indeed dot com slash marketplace. That's indeed dot com slash marketplace. Terms, conditions, and quality standards apply where you need to live for work is not always where you can afford to live in artists, have an extra hard. They often also have to pay rent for separate studio spaces where they create their things in Palm Beach county, Florida. The city of lake worth is experimenting with a new home buying program, specifically for artists, w L RN's Nme green has more. Christina Pritchard shows me the first floor of the three-storey townhouse. She's under contract to buy bathroom. And then there's garage here, Richard is thirty nine she's an author, who has published several romance and science fiction novels. She also makes a living selling windows mitt to withstand hurricanes for the past ten years. Pritchard's been living with her parents, because I can't afford to live anywhere. I couldn't find a place she was able to save some money, but she still didn't think she could afford home ownership her budget to buy a house was one hundred twenty five thousand dollars in a county where the median home price is about two hundred eighty thousand dollars. I mean, it's a lot of money. In pressured. Realtor is Melanie Rae as there are a lot of event investors that they come and they're able to pay cash. She also warned Pritchard that at one hundred twenty five thousand dollars any home. She found might need a lot of renovating Ray as was riding around lake worth when she came across signs for newly built three storey townhomes with working spaces for artists. I thought while they look really cool when Ray has looked up the price. She was surprised. Used one hundred twenty thousand dollars. I honestly I thought it was a typo. It wasn't typo the low price is exactly what the project's developer was aiming for and it's a prize that puts Pritchard's mortgage payment at eleven hundred dollars a month about the average rent for a one bedroom in the area. Terry Murray is the executive director for neighborhood renaissance it's a nonprofit that focuses on housing, equity and development the cost for the artists to purchase the home is way below the cost, what it cost us to develop the home. She says the group's goal wasn't to make a profit neighborhood renaissance teamed up with lake worth community redevelopment agency. The land was donated by the city and Palm Beach county helped with down payment assistance, and subsidies. This round only includes eight townhomes with the nonprofit wants to build more. It's very hard to make the moon stars align. So you can, you know be staple and have a place. To live in also a place to work. The group defines artists as anyone who works in an art related field and can show samples of their work and supporting documents to make sure these live work units remained four artists. The properties have deed restrictions for fifteen years. That means if Christina Pritchard sold her town home, in that time, it would have to be purchased by another artist in Miami. I'm the dash green for marketplace. And in New York, I'm Sabrina short with the marketplace morning report. From APM American public media.
1094: Debt Costs a Fortune by ESI of ESI Money on Long-Term Borrowing Costs of A Mortgage & Saving
"The quick we recommend listening to this show on spotify where you can listen to all of your favorite artists and podcasts in one place for free without a premium account. Spotify has a huge catalog of podcasts. On every imaginable topic. Plus you can follow your favorite podcasts. So you never miss an episode. Premium users can download episodes to listen to off lime wherever and whenever and easily share what. You're listening to with your friends on instagram. So if you haven't done so already be sure to download the spotify APP search for optimal finance daily on spotify or browse podcasts. In the Your Library Tab also make sure to follow me so you never miss an episode of optimal finance daily. This is optimal finance daily episode. Ten Ninety four debt costs a fortune by. Esi Of yes. I money dot Com and I am your host and narrator of the show. My name is Dan and welcome to another Sunday edition of optimal finance daily. Hope you're having a terrific weekend and this podcast is where I read to You. From some of the best blogs in the world with the permission of the authors of course. And if you like today's episode you'll probably enjoy our other show. Optima living daily just search for optimal living daily in the PODCAST APP of your choice to find it. So I'M GONNA keep this intro next and short for you today and let's get right to our post as we start optimizing. Your life debt costs a fortune by. Esi Of yes. I'M MONEY DOT COM. We've all heard the stories of people who have gotten out of debt. And how wonderful it is. Dave Ramsey has made the freedom yell standard for his listeners who have eliminated all their debt. And yet the debate rages. Is it wise to pay off all your debt or not? There are arguments on both sides. This post is designed to address one aspect of the debt issue. The cost debt. Many people know that it's expensive but they don't really tally up the numbers. And that's what I hope to do here. And for those of you. Who Don't know I've been debt free for twenty years or so other than my recent house purchase where I needed to take a short term loan because my previous House hadn't sold yet the cost of debt. Let's begin with this post from money magazine. Titled You're going to spend two hundred eighty thousand dollars on interest in your lifetime. Here are the highlights quote the typical American consumer will fork over an average of two hundred seventy nine thousand and two dollars in interest payments during the course of his or her lifetime so says a new report from credit dot com which analyzed the lifetime cost of dad in all fifty states and the district of Columbia based on average mortgage balances credit card debt and credit scores. The size of the nut varies dramatically from state to state residents of Washington D. C. Where average new mortgages are four hundred? Sixty two thousand dollars. And the average credit score of six fifty six falls squarely in fair range can expect to pay four hundred fifty one thousand eight hundred ninety dollars interest the highest in the nation concerned. Dc residents might want to consider hitching a ride to Iowa where the average new mortgage is the nation's lowest at one hundred twenty thousand four hundred sixty seven dollars add in an average credit card debt of two thousand nine hundred thirty five also the lowest in the country and a credit score of six eighty nine and residents of the Hawkeye State. Have a lifetime cost of debt of only one hundred twenty nine thousand three hundred ninety four dollars and quote as someone who grew up in Iowa had to smile. The reason there's low debt in Iowa is because there's nothing worth buying in Iowa. Okay okay those of you from Iowa. Don't shout me down I'm just kidding. I Love Iowa I still consider it home and my parents still live there so settle down and take a chill pill. Let's discuss this a bit before we move on one that's a wide range from DC to Iowa and proves the exact point. I was making in become wealthy by having a high income in a low cost city to two hundred eighty k. Isn't as bad as I thought it would be. I've seen debt costing his highest six hundred thousand dollars over a lifetime. Three the credit score really makes a difference. I put six eighty nine into an online calculator. And you pay zero point. Four percent more with that score versus the top group score of seven forty plus the difference is roughly fifteen thousand dollars over the life of a thirty year mortgage not to mention additional costs for car loans etc and four on a personal note. I've lived in the number one for a summer and number ten now. Top Ten states with the highest cost of debt but also the number one growing up and number eight for five years. Top Ten states with the lowest cost of debt. Debt costs millions. Now let's dig into the cost of debt itself. Go with me. Along this path. The average person pays two hundred eighty K. And interest in his lifetime. If he hadn't borrowed he would have never spent two hundred eighty K. and could have invested instead over forty years. That's equivalent to an extra seven thousand dollars per year. So let's say we invested seven K per year for forty years at eight percent that adds up to almost two million dollars. Yep read it and weep. Debt costs hundreds of thousands. But that's a bit overboard rate. Everyone borrows something for some time. I paid off everything in my thirties and still borrowed for a decade or so. So let's assume that a person has to borrow some but pays it off in twenty years saving one hundred forty thousand dollars. A Hundred Forty K. Over twenty years breaks down to seven K per year. Seven K for twenty years at eight percent is almost three hundred fifty k. Still not bad. Most people could do a lot with an extra three fifty k. One more time. Let's say you follow my plan and pay off your mortgage and everything else in ten years. That leaves you thirty years at seven K per year at eight percent. That's over eight hundred fifty thousand dollars. Yes the numbers may be off a bit but if anything they would be better by paying off debt early you avoid interest over a long period of time saving you way more than simply taking a fraction of the total but it's close enough and directionally correct so let's all agree that debt costs you a ton investing versus paying off debt. Now I can hear a bunch of voices saying they can borrow at one rate and invested a higher rate so debt pays for itself in theory. This may be true. And I understand this intellectually but consider the following one paying off. Debt is a guaranteed return. Investing at a higher rate is not to investing starts small like with a thousand dollars at a time while debt is large from the get-go for instance two hundred k. Mortgage earning eight percent on one thousand dollars is way lower than paying four percent on two hundred K. Three the freedom factor. Good feeling for the retire. Early factor. Know. How many people I've met. Who said they would like to retire but can't because of their mortgage a ton. I could not have retired as early as I did. If I had a large mortgage payment hanging over my head and five the vast majority of people do not have the discipline to keep debt and use it to fund investments instead of investing. The difference by keeping dead most will spend the difference. And I've seen it over and over again. If you want a well thought out response to this issue see a PECs comment on fifteen year versus thirty year mortgages and that peace is linked in his post. How about this as a balance? Save up your money and invest it. Let it grow then buy a house by using a large down payment and make extra payments to get rid of the dead within ten years of course if you grow your income as I recommend you can do both while we were paying off our house. I maxed out my 401k contributions every year. Yep You can invest and eliminate debt. You just listened to the post titled Debt costs a fortune by Esi of yes. I'M MONEY DOT COM and a real quick thanks to anchor for hosting this podcast. Anchor is the easiest way to make a podcast. They'll distribute your podcast for you. So it can be heard everywhere spotify apple podcast Google podcasts. And many more you can easily make money from your podcast to with no minimum listenership anchor gives you everything you need in one place for free which you can use right from your phone or computer creation tools. Allow you to record and edit your podcast so it sounds great. Download the anchor APP or go to anchor dot. Fm to get started and that's another edition of optimal finance daily. In the books. I thank you so much for your support and for listening each and every it is all thanks to you and our authors for helping us get where we are today so hope. You have a great rest of your weekend. If you're listening in real time and I will be back with you tomorrow for the Monday. Show where your optimal life awaits.
183- Owner Earnings: Net Change: Accounts Receivable & Accounts Payable
"The. Walking. Guys, we are basically learning how to invest like the best investors in the world. Warren Buffett, Charlie Munger. That's my favorite intro because like. And this is my daughter. Danielle, who's an attorney does merging corporation law mergers acquisitions and never want to invest from your whole life and teaching her via this podcast as a method of forcing discipline on us do it. Fallen peer pressure situation, and you know it's turned out to be far more fun than I ever expected. We're going. Honestly, I can't even believe it. We're on our hundred and. It's like eighty one or something like that. Yeah. He third, this is one hundred eighty three podcast hundred third podcasts. I think for our two hundred episode, we gotta do something exciting to do it while running horses. Not that exciting. Let's do when we get there. Let's do this one. Now. So we're in the midst of talking about owner earnings and how to calculate owner earnings so that we can price properly. These public companies, which to me have always seemed like these incredibly impenetrable, rows and columns of numbers, and I am not into it guys, but there are ways to break through the madness in one of them is this owner earnings calculation which comes straight from Warren Buffett. We've been talking about it for a number of episodes so far. So if you're just coming to this, go ahead and listen to the sun, but I recommend that you go back and start because at the beginning of the owner earnings episodes because we're really trying to explain deeply this somewhat. It's an art, this number, and it's one that proves whether or not I understand the company, and that's what actually really, really like about it. If I'm comfortable with finding on earnings than I do. I know that this company is one that I get what they do so owner. Earnings in general are are basically the money we put in our pocket. If we are renting out a house we bought and we get rid comes in, we subtract, you know, the garbage. We gotta pay for the garbage collection, the the maintenance of the lawn, the things that the owner of the house has to do in order to not have his tennis stop paying rent or move out. And that would include maintenance as well. Right? So we have our normal expenses and then we have capital expenses. So normal expenses are stuff that you just do every year and capital expenses are stuff that you do once and they last year's. So in a house, the every year staff would be every month you have to pay property or every year yesterday, property taxes every month. You have to pay the garbage collection. The homeowners, if there's one of those association bills you have to pay for, you know up your annual upkeep stuff. Whatever that is right cleaning, the gutters just different annual stingy. Do. What it does include in total normal expenses would be maintenance items, light once in a while, replacing refrigerator, a washer, dryer, your HVAC system, fixing a roof, every fifteen years. Those types of things are maintenance items, and you have to have kind of a schedule of how you're gonna spend that money, which you can put out there for maintenance. If you're if you're doing real estate property, you wouldn't want to just not have any money. And all of a sudden have to fix the roof because you might not be able to fix it, right. So you want to cut it. You want to kind of plan your your maintenance over time, and so you gonna do maybe a fun that you can put cash into that you won't be able to access through your Bank account. So putting in cookie jar or something like that, put it in an envelope that that you keep aside. So you want accidentally spend it whatever. What I'm saying is that you're going to include in your expense. Richer's of cash, not only the expenses that you make every single year clockwork, but also the ones you do occasionally, which are to maintain the house so that you can rent it out. Now that's really key that you need to understand this difference between those times of expenses and deciding that you're going to add a mother-in-law unit in the garage. So you're gonna take the garage from being car space and make it people space and rent the flies out as a duplex. Now got somebody that's it's an important part of the owner earnings calculation. The maintenance capital expenditures just which is what you're talking about. You're talking about the difference between maintenance capital expenditures and gross capital expenditures, right? Important distinction. Where we left off last time was moving on from depreciation amortization to these two mysterious additions in the formula which are net change, colon accounts receivable and net change. Colon accounts payable giving Reuss scary for me. Well, it's scary for everybody. Just so you know, we're all scared because these numbers are like, what the heck are they? First of all? And why are they in here? Secondly, and how do they relate to Warren Buffett's formula on page one ninety three. Are most of us look at these numbers is that we just know that the accountants know what they're doing, and they are changing the numbers from the income statement to reflect cash flow to reflect the actual movement of cash in and out of the Bank account. And so these next numbers are that's about as deep as I am really comfortable going on our podcast because I feel like if I'm going to go deeper and you're gonna start asking me really penetrating questions that what I wanna do next spring in accountant in here, that can really question, but I was scared to do that or I haven't been your day because it could just be so boring and horrible and completely not able to be understood by anybody me that we haven't done that way. So let's take a shot and see if I can handle this. It. Yeah, I can do. Warning you, this may not go. Well, let me just note that I'm sitting in a we work co working space right now. So you guys are hearing noises around me college is, but this is the place I could do the podcast today in New York, and I am checking out we work. So forgive me for the elevator noises on the people talking. We were just single tenant in New York's high, did not know that, wow, more space in anybody else. They don't. The weird thing about we work in terms of a business. They don't allow those buildings. They just heard that they're adjusting their business model to starting to purchase real estate because it's a dome business model, in my opinion. I think he got to be smoking crack by two that deal because three Wall Street Journal article that mentioned that they were basically a giant arbitrage scheme and this guy's opinion, but. I think they're one of these companies borrows long and then Lynch short, which is horrible effectively. They got right really long leases in order to rent this space out and the rented out the people can get out of it in a month. Well, it's such a classic bubble phenomenon, right that likes a company and warrants to high stock market and a company like this wants to go public, desperately has been talking about going public for a while. I wanted to come check them out because I've been hearing this talk about we work and they, it's like so classic, like Bego public to get all kinds of investment into their company so that they can then continue this model of just growing growing growing growing until it all bursts. I don't know. I don't know. I haven't looked into them that much private, like I dunno, their financials, but it's an interesting one, and I'm enjoying being. So that's one of the things we're so anyway on. So so here's, here's what we say in our book dad. Net change in counts receivable and net change in accounts payable accounts receivable is when the businesses owed money by its customers and accounts payable is when the business owes its suppliers money. And as these numbers change from year to year that change either puts money in our pocket in the owner's pocket, or it takes money out of the owner's pocket. So it can be positive or negative, and the number that's in there indicates only that change from the year before. So there's a definition. But why choose those numbers in particular? Are you trying to let me back up for a second before you answer that question in buffets definition which was printed on page ninety, three of invested. He says. That what he does, he adds to earnings, depreciation depletion, amortization, uncertain other non-cash charges. Now, the first line or second line of our formula is depreciation amortization. Are these numbers trying to get at depletion? Men. Depletion is a term used for a company this doing typically commodity business anymore. Typically, it's oil and gas of mining. We're you. You have have put into your asset, a certain, very theoretically, conservative estimate of what that my oil oil field. Whatever gas field has available to you, and those are very rigorously controlled. They're not just some arbitrary gifts so, but there on your balance sheet. And if those are being depleted you after year by pulling oil out, then you've got right that off. Great answer. Let's depletion know what he's talking about here that gets really muddy is quote and certain other non-cash charges. This is where it gets the wheels come off as people have written thirty page white papers about his definition and still don't really have. So we did one that I can tell you is wrong, so don't even tell us it's wrong because we know it's wrong, but it sort of gets at the process and it takes out some of the arbitrariness subjectively, we're just saying in that little word, certain other non-cash charges. What we're gonna do is rub going to remove or add in the changes to receivables and payables. And the reason for that is because those categories are are the ones that are probably the most consistent they are there. You shouldn't see gigantic changes payables counter Siebel 's unless something really, really majors happy in the company because if you think about it, that's just really the money people. Oh, you those. There's a Kaos receivable when you sold them something. So if you saw them a railway car airplane, they paid you down payment in that always. Rest of it. Accounts receivable and accounts payable step you. Oh, so yeah, you you bought parts to make the airplane and you owe people for those parts. And one of the things that accounting experts do when they're doing doing the counting for the businesses, they try to encourage the company to pay our to get the collective's account receivables fast as possible. Like let's make everybody pay us in two weeks or not. Let's make everybody pay in a month and then we pay everybody in two months. And what that does is it gives us working capital. We get get like an extra month worth of working capital to play with and grow up with that, having to borrow it without whom seller stock. So this is very clever way in the weeds accounting stuff that accounts can do for public companies to help them with their cash, and it's real tweaking, its real tweak. He stuff for example, accountant by command and say, oh, you know, we're, we're collecting all of our guests receivable in thirty days. Here's ice adjust. We collected it two weeks and repaint everybody sixty days. Let's pay him in ninety. And by stretching everybody out by force it, everybody in you create more cash for sort of instantly have another little pilot cash. If you can keep that gig going right now shrinks the ops away. Elseneer goes on your cash. So accounts receivable, changes and accounts payable changes are sort of part of that process and to find out where those numbers come from. They go over to the balance sheet. So we get net income off of the the income statement. We get depreciation recession should be off the income statement too often. You don't actually see it, but it's in there where you get the changes in payables receivables off the balance sheet because those things are are on the balance sheet as receivables and as as an asset and payables as a liability, right. I got them off of the cash. Let's statement though, right? But those come from there. Yeah, from from the difference between two thousand sixteen in two thousand seventeen accounts. Receivables that's changes come from, and and that change could produce positive cash or negative cash. And so what we're doing is if it got positive where adding it and if it got negative, where subtracted. And so those are listed here as. Decrease in receivables. If it's a decrease in receivables, and it's a positive number than it went to our benefit. We got extra cash there because we did pay. Some people are, sorry, we got paid quicker. And if it's red numbers, a negative number were being stretched out a little bit on collected. Okay, that makes us and the and the payables goes. The other way, like an increase in payables comes through as a positive number. Why? Because we're stretching out the amount of time that we're paying people. Right? So we get that as a positive number. That's a negative number. It's because we're having paid him sooner. So if we stretch it from sixty to ninety everything being the same year to year, we're gonna see a positive number. I have the cash. All right. So basically what we do is we take those two numbers wherever they are positive or negative, and we add them to the to the to the net income. So in other words, we might be adding a positive number in which case income goes up or we might be adding a negative number in which case net income goes down. I guess I'm trying to understand why. Why were adding those back? It's because I mean the reason to add the depreciation amortization is that it's a number that. As you said, doesn't necessarily accurately reflects the real depreciation. That's going on real Emerson's Asian. That's going on. Why are we adding these changes back hit because the same things happen. We've treated these things as if. They they were not producing any real cash changes in the net income statement. So net income is being altered by generally accepted accounting principles to reflect. What's going on receivables end payables and it isn't correct because it is directly related to cash and debt, and these numbers are directly. They're, they're just in net income for the actual cash structure should lie in the Bank. 'cause river everyone. Everyone of these changes that were making that income is a Justin net income so that we know what the real amount of cash into our Bank from our operations. Yeah, the real, the cash, the actual cash. Now, if we're going to get deeper than that, I'm gonna go get one of my CPA to ask. Did you not want to talk about. Is that Steve already go get a CPA dragon video or they're gonna. They're gonna get beat up by you and me as they try to make sense out of this. So the best thing I can tell you right now, is that absolutely what this is doing is removing cash from net income that shouldn't be in there because we didn't actually collect it and putting cash in the net income that should be in there because we did change in collect it and and so those two numbers together are the changes that are reflected to produce the actual cash number rather than the netted of. Okay. I feel satisfied with that. Sure. I could go deeper than that. Let's give a talk at the World Trade Center for Steve Jobs. Companies where I was speaking about. A long time, longtime World Trade Center for one of Steve Jobs. Eighty eight or something like that for next computer because I had an investment in a software of document management and next was trying to sell their computers based on, you know, the good kind of software. You can all the cool things you can do with it. And this document mentioned system was a big part of that. So I was making a presentation. It must have been a hundred or more heads of IT heads of IT from all these American Express lane and companies. And these guys were all people who were doing big mainframe computers, right, and had very looks -perienced with a client server computer systems, which the next was a fabulous example of in. So I knew a little bit this much, and it was just a little more than they did. And I could get into talking about this all day and they would never has one of the next guy said, man, you're like a big lake. It's about six inches deep since I said. Yeah, exactly. These guys are like one inch deep, they don't know, and they're asking questions that I can actually answer. But if we were to go deeper than that, then I'd have to turn it over you guys and what you're saying either. So this is a little bit like that six inches deep and so far. I haven't got a question for me that I can't answer, but if you knew more about this drilling in on me and I'd probably stumble. So if people are asking questions about this that we can't answer big in and shoot him to us and we'll be happy to get a pro to respond and maybe put into this letter, something like that. Yeah, yeah, for sure. So, I mean, my other question is, are there any. I know we are trying to keep this formula simple. There are other things we could have put in there. Yeah, right. Like the whole point here is to add it back in to not have this number reflect things that were merely accounting choices jn there's more than this more than this. You could make an argument that what we really wanna do change the, you know, put in changes in working capital wanted to figure out, you know, all of the things that are list of things for cash flow that you put in or takeout that result in this in this row on your cashless in called cash for marketing activities. But. We what we're trying to do, try to figure out how much cash ally have actually in my pocket, and a lot of these things are. They're, they're cash changes that you'd have to leave in there the way you kind of have to leave money in there that take care of that refrigerator and what you paid for the refrigerator, you know, get money in there for a long time, and it's a little more on that order of these things are gonna change up and down, and I don't really wanna count them as cash. Although they are accurately cashing out a kinda, don't one count them. Let's just not go there and assume that those things are going to work themselves out in the wash. That's the best I can tell you about, and it makes sense. And since we're also looking at the value this business relative to free cash flow, which does include all of those items. Then I feel comfortable that we will have looked at the business value with the accurate cash Moppert activities correctly done from from general accounting principles and we will gotten another picture there. Yeah, it's great point. What dad was referring to is that there's another method of pricing company in our book invested that this based on free cash flow, which is a different calculation than the owner earnings one, and but it's still trying to get this question of helmet cast as the business half and one of the great questions we got from our listeners is, what's the difference between owner earnings and free cash flow in? Why do they use different numbers? So by the way, guys up in getting your questions, we're going to answer a bunch of them. And I think probably as we go through this answering them, but what I wanna do is go through this formula to the end and then we'll get to know. We also promised Fiat Chrysler. We'll get. Some of your specific questions, but I do wanna go through this whole formula before we do this. So. What were just to reiterate, what we're trying to do here is to get you to look at. The actual cash that you put in your pocket as an owner. If you were to look at your business, the way you would look at like a piece of real estate that you own. We wanna try to put a public business into that frame because that frame is very comparable for most of us. Like we just feel really confident that we understand that we got rent coming in expenses going out and we've got money leftover. Yeah, that's kind of that's really what we wanna do your bottom line. We're talking about earnings, and that's the difference between an owner calculation in a free cash flow calculation for payback time to figure out the payback time of the business, the payback time calculation. And for that. You gotta say that again. Okay. Because he what you you. Your point was at the end, I was moving along with the and then. So, okay. So the difference between looking at this owner earnings versus looking at free cash flow. Brian, we're answering your question right now. Prince is that free cash flow is does not require any subjectivity from us whatsoever to determine what it is. It's just take the accounting numbers do math in and you get the answer. Whereas, but the answer you're getting with free cash flow includes you pay taxes and includes building the mother-in-law unit in house. It includes growth growth and what we wanna do have a different view of the price. We should pay for this business than one, which is speculation about continued growth and which is including taxation, which could vary radically as you've seen recently radical variation based on what the tax laws are. Someone. So we're going to knock it all down to. We're going to look at a piece of real estate. We're taking off what we actually pay out in cash after what we get in cash in what we got left. We put in our pocket before taxes. And before we try to grow anything. And this could own earnings. I in our book invested is because it's trying to get at that cure number. And the reason buffet created this owner earnings formula and told anybody about it is because it annoys him. So this is my interpretation, but it's, he seems very annoyed by these changes in the tax law changes in accounting that caused him to report things about his business that he doesn't think are accurate. And so I think that's why he not only created this formula for himself but told us about it. You didn't tell us much. He told us the face Domus basics any spent, maybe he's us to go do it. And what we're doing is giving you a way to go do it. That's probably not accurate for any specific business, but it'll put you in the right ballpark and it'll get you thinking in terms of, okay, if I really understand my business, what would be the cash? I put in my pocket at the end of the year and give you some questions to ask people at that business, right? Yeah. I mean, I get so excited about owner earnings because I realized the sounds paradoxical go with me because I'm not good with accounting numbers and account statements, and I get it the owner earnings formula requires an understanding of the accounting statements and is, you know, takes a bit of work again it, but compared to me being bamboozled by coming up with a free cash flow number that is based on. On some kind of accounting rule that I don't know about most likely or like like the tax. The changes in the tax code that recently came out that caused all these companies to report higher earnings despite having done nothing to actually support their businesses better. It was just that they pay less taxes. Richard from good in many ways, but like you gotta know about that, you know. And so we're owner Ernie's takes all it out of there. That's what I'm saying. Yeah. And so like paradoxically as somebody who's who's who's, who's aware that I am not great with the stuff. I want to boil that stuff out so that I know that I have you of what they're actually doing about their business, not due to some tax change, not due to an accounting change, not due to something else due to what these management are doing about their own business. Exactly. And I just want to massively emphasize that you wanna think about it the way, think about piece of real estate because almost all of us are happy to do you think about it sometimes like a piece of. Yes, yes, I do. So let me let me add one more thing that I do thinking about it as piece of real estate that I own. I am calculating the kind of the price of willing to pay for this business this house, right? The price to pay on calculating that before I pay taxes. So I'm figuring out what I'm willing to pay for that house based on owner earnings coming into me at a not considering that I'm going to pay taxes on the owner armies, although I know I will. Tell me more about that. Why? Why makes that mental leap? Because you do have to taxes, right? Because the tax Bill that I'm going to pay differs drastically from the tax Bill that I might have paid thirty years ago. I'm gonna paid zero taxes thirty years ago or forty years ago. Just starting out not making much money. I want wanna tell them real estate agent. I'm looking for a company looking for for a house that produces this kind of return on investment and are my tax Bill in their mind could be very different one year to another and remove variable here. One more reason to get the wrong price on business would be that taxation variable. So let's get rid. Yeah. I mean, like I said, like their changes in tax code, boom, Jews, the test, boom, clear to make more money. And I wanna think about piece of real estate the way I look at it today, the same way I look at it for years ago through the same lands all the time. So that kind of consistency in mind, vestments. And I want to look through that lens, whether I'm looking at a farm or they're looking at a commercial building, a single family home, a franchise that I might wanna buy a laundromat, and I want to buy my own businesses. Somebody wanna buy from me what is worth compared, you know, I wanna see public company this way. So we're gonna take Charly at face value here when he's basically saying, hey, we look at the stuff like a private business. That's it. So you don't look at taxation when you're looking at private businesses, you looking at pre-tax numbers. Okay. So we wanna get taxation out of their Intech sations often big number. This. Take an out of net income. We're gonna put it back. It's it's, it's something people including me. I mean, I get it. And yet I still off in like, wait a second, but we have to taxes, but you just gotta remember that Texas change and can be affected by a lot of other stuff going on company and. And the reason to put it back in there is not because they won't have to pay taxes. It's because we don't want to worry about some artificial changes down in the amount of money. The company has due to some tax stuff right now. It sounds weird, right? Because like they're gonna have to pay the taxes and I get it, but I don't know. How do you, how do you deal with that? I mean, they're gonna have to pay the taxes. Just like they're gonna have to play the depreciation in. They're gonna have to deal with those changes in the accounts receivable. Let's let's not confuse taxation with depreciation because we are going to pay depreciation. We're gonna take that out in second. And what we're going to take out is what the maintenance portion of that appreciation is. So we're gonna get there but taxations little different than that, it is. So very belong legislation on what kind of. What kind of depreciation schedule a company might beyond. There's all sorts of things affect the actual taxes that accompanies pain. A retail company might pay less or more than than manufacturing company. So we're, what we're gonna do is we're just going to try to put these all equal footing. Pretexts and buffet doesn't include taxes. He doesn't mention them in his definition either. Right as a bright, right. It is interesting. But I'm taking a biscuit what I'm doing unplugging this, and this is what I want to do in the book is this on exactly the same footing as we would use for any kind of of houses were by. Okay, because that's simple. That's thinking back to buffets letter after the tax code change. And he made such a big point of saying, we look like we are doing so well this year I want everybody to know that it is not due to anything we did, and I just thought first of all, how extrordinary that somebody calls that out. Of course, he did right, but like there aren't a lot of CEO's calling that out. There's a lot of CEO's going. We are so amazing. Thank you government while we are incredible. We are really doing well this year. And and so so I, I get the idea of putting them putting back into this country relation despite him, not mentioning it here in the definition for say, but he does give an example. I trying to find out what she let her and gave an example in two thousand sixteen. I tell you annual. I get shivers. I get goosebumps when I wanted something like this from. I don't know what year that report was, but I know I read it right, I got this vague idea and instead of having to get in my car when you were fading, I get in my car and drive to the library because we couldn't afford to pay fifty thousand dollars a year to value line to get the data individually. So I'd have to go to the library. I'd go to UCSB library ago the town Libranoy and find value line and hope. Nobody rip those pages out and go look it up, right? Or I would write the company alternatively and say, Cindy, your annual report and three weeks later I might get, you know, a month later. Now I have this question real time and click click on Berkshire Hathaway. I said, give me the thousand sixteen letters. I think that's what it was doing this real time right now here comes. In two thousand sixteen letter, and I'm gonna put in a search word farm. And let's see. I think. Now, see. Then it's two thousand fifteen. It's not a seventeen thousand fifty. Two thousand sixty. Check this out. This is real time we're doing this. I now saying the letter Berkshire is answering. The strides have been made guess there was a long time ago wasn't? Yes. Yesterday. On real. And then of course, we can never find anything. So I'm gonna go over the formula because we kind of moved into income tax that really saying it. So here's the formula guys. And this is again in our book invested. Meal is on page one, nine, four for owner earnings. So it's net income plus depreciation amortization, which we talked about last time in great detail than plus net change accounts receivable and net change accounts payable and then plus income tax. That's what we were just talking about. And those numbers are all Puligal straight from the financial statements. So that's nice. Like those parts are not that hard. And what I do is I go. I know my dad thinks that this is silly, but I go straight to the annual reports, the ten k. same thing, and I actually hold a number straight from the PDF of those reports. There's probably easier way to do it. Sure. There is many smart people have thought about it, but I just am such a freaked out scaredy cat that I want to make sure. I got the numbers from the source, so that's what I do. And it doesn't take me all that long. I literally like copy and pasted over into a spreadsheet, and then I have it for one of our, I wanna look back at my calculation. Now, there is one last element to this formula which is plus maintenance capital expenditures, and that's the one that you can't get street from the financial statements in. It's the one that we've gotten the most questions about. It's the one that is really the art, Robert on the science. So we're gonna get to that one of our talk about how to do that because it's an art. So it's a little bit of lake while over time with practice with investing practice, you sort of start to feel it out and get a sense of it. And I think a lot of that is we can talk about some various companies in how we would find our maintenance expenditures than you can kind of get a sense of like, ok. Here's how Phil does it, and then you can do it on companies that are in your circle of confidence and see if you're getting the same kinds of feelings of our. I think I've got like my arms around this. I understand the company which is this is by the way this is where you know if you understand the company so dead. Because of view the full explanation of the world. Okay. So I found the letter it was. I read it in two thousand fourteen but it was the two thousand thirteen letter. You had to go way back two thousand fifteen, and I'm just going to quote this. Okay, so in nineteen eighty six purchased a four hundred acre farm located fifty miles north of a mall from the FDIC it cost me two hundred eighty thousand dollars. What are you talking about here on really buffets letter to Cheryl Berkshire from the year nineteen Eighty-three. Now from the two thousand thirteen. Excuse me from the year two thousand thirteen here stuck at nineteen thirty four out. But why? Why are you reading this? Because it it goes to the question about whether buffets taking taxes out or not. I thank you. All right, please. Please eighty six, four hundred phone near hall Sibley for less than what the failed Bank had lent against the farm a few years earlier. I knew nothing about writing a farm, but I have a son loves farming. I learned from him how many bushels of corn soy these farm would produce and what the operating expenses would be from these estimates calculated. The normalized return from the farm to then be about ten percent on the two hundred eighty thousand dollars. He paid for words twenty eight thousand dollars were the normalized returned from the form. This is already recaps holidays numbers. Okay. So basically what he's saying is a two hundred eighty thousand dollars from the farm. He's also saying that he checked with somebody knew something about it how much corn this they should produce and so these it should produce and what it would cost to produce it. All right. So whatever it was and the net income from that was twenty thousand dollars. Karen pre-tax. Why you told me all this stuff and we put them the book I think in. So we're back to know tax from buffet. There was no taxes coming off this. This is a privately held farm that Buffett owns. So they're not calculating taxes into this because his tax Bill could vary all over the place. He's looking for a normalized return and you say the normalized return, the farm would be about ten percent. In other words, he's making twenty eight thousand dollars of owner earnings and multiplying that times tend to get the price. You pay for the farm as having decided heading out to buy it. Then he goes on and talks about the same thing with a building that the RTC was owning the nineteen ninety s and he basically said he joined a small group and they bought this building. Where the unlevered current yield from the property was ten percent. In other words, not including a, you know taxation, not including mortgage or anything that you cited to pay a price for this building New York that would be at ten percent yield that the cash flow give them a ten percent yield. So these are two examples were buffet as far as I can tell didn't use any accession at all. Certainly didn't use it that real estate deal in New Yorkers are so much appreciation building. So just looking at it unlevered untaxed healed. And that came. Say anything about taxes. An educated gifts. Educated guess try. And I also know that when we look at virtually any piece of real estate out there for years of doing real estate in, you know, we all we buy every kind of business we can think of, right, including real estate businesses, which means a house land, whatever. And we know that the general understanding the real estate industry when you're buying a property is to use cap rates to estimate whether it's a good deal or not. So you say, well, this is a five cap. This is ten cap. This is an eight cap, and those are all pretexts numbers. So I'm making this up here that buffets and cap. So the ten cap is our first pricing method that we offer in our book invention talking about right now, and we it right, like trying to give some context of what you're saying. Broadcast on, we'll we're not gonna get into the ten cap right now, but I just wanna give some context about what you're talking about here. Ten, right? Yeah. We're going down through the cash flow. We're trying to understand whether we should use taxation or not. We're determining that. We're not gonna use taxes. So. What he's talking about is that the ten cap is a standard real estate method of pricing and the ten cap in the standard real estate. Nothing of pricing does not include income taxes, yes and owner earnings being used for the ten cap. Therefore also should not include income taxes. And while I feel like I'm a very strong ground in Buffett's two thousand thirteen letter about the farm and the building in terms of this tax issue, I could be wrong relative to public companies. I bothered hasn't said they take it, entered out, put it into not, and I'm just treating public company the way we look at real estate in that could be wrong. And I get arguments from good accountants about this who are saying that it's wrong because you don't get owner Ernie's pre-tax from public company, they pay the tax. And then if you were to get a whole dividend on her earnings, it would be post tax and then you get taxed again layer. So there's an ongoing discussion about this. What I'm trying to do by pulling out the taxation is to look at the business without any sort of overlay of government regulation affecting what I'm gonna pay for it, and that might be naive, but. I think it makes a good. It makes a good comparison to what we can do for a piece of real estate. And I love doing that. I love. I would jump on a ten cap state. Anywhere here where I can judge the quality of the neighborhood. Right. And I'll do that in a heartbeat. Why? Because even if the poverty doesn't go up over the next twenty years, I'm making ten percent a year. Go do that of the bond secure and you can't. So you know, that's a good deal. And that's exactly how I want us to look at owning a business one more way valuables it. So that's enough for today. I'd probably you all sleep. I apologize. We'll go a little more into this next time when we dive into. We could to start the maintenance expenditures, which is which is like that. This is what I was saying when he worth listening to me, this is where the art comes in and the understanding of the business comes in because all those numbers we can just pull and they're very easy. This is the one that people go on. Thanks. Everybody. Hey, guys, thanks for listening to invested. If you joy this episode and you want more information, show notes and more episode. Visit us at invested podcast dot com. There's a special offer waiting for podcast listeners to attend my three day investing workshop, absolutely free. So just had invested podcasts dot com. Everything discuss them. This podcast is either my opinion or Danielle's opinion, and is not to be taken as investing advice because I am not your investment advisor, nor have I considered your personal situation as your fi- Dushi. Airy. This podcast is for your entertainment education only and I hope you enjoyed it.
John Cowling - Bonus Episode - Australian Shareholders' Association
"Many people think. Oh it's too hard on never gonNA save enough money a one bother and so the voice. I frequently give to younger people. He starts right away that John Kelly. The CEO of the Australian Shareholders Association and on Films Killer. Welcome to this bonus episode of ships for beginners of mentioned the association. Many tops on this podcast and the great work that they do on a member and I strongly suggest that you joined to. It's a hundred and thirty dollars a year for online early membership. Which is about as you'll hear from John. It works for the interests of individual shareholders. Like you and may the twenty two hundred zero conference is coming up in. May An early bird discount tickets available until March thirty one take advantage of this offer by going to Australian shareholders DOT COM dot. I hear it's a great opportunity to make like minded investors and hear presentations from the best minds in investing and now his journey. John has going good. I feel very good things man. Okay well let's just dig into the The ISI and how it helps retail shareholders. We met at the meeting at Concord. And I've got to say how much I've been enjoying to these meetings and enjoying meeting all the people in the collective wisdom that's aside. Let's start off with the meetings when the members get together and discuss companies investing strategies and so forth one of the things we we. We dedicated to empowering shareholders and you can IMPA- shareholders in a couple of ways. We impair them. Boy Advocating on their behalf. Go along to AGM's but the other thing we do is we share knowledge and some people find sharing knowledge informal courses or videos or reading. Books is a why they learn other people find talking to somebody. That's done it. That's been there and done. That is much more useful. So for example feel there was a lady back in two thousand seventeen. I think it was that had asked us at the meeting. She'd been told by her stop. Bronco to sell Woolworth's and she had some what was is and she didn't know what to what process she bought them. She bought him a twenty seven bucks. Thirty seven bucks and they dropped down to twenty and so she was really worried and the stockbrokers said you'd better send them before they go any further so what I did was. I asked the collective wisdom of the room what they thought now. We had about forty people in the room and everybody in the room was my vintage and so they all had about thirty years worth of experience. So that's more than a thousand years of investing experience sitting in that room so we had a vote sale as the stockbroker advised or howled. Thirty nine out of forty voted to hold any one person said sale will of course bowl changes occurred management. Changes occurred would is lifted. Its gyn and back to forty bucks so by holding on. She doubled her money. Enlist them for years. And so that was the power of talking to other people no vested interest in trying to make money out of her. She was just asking other ordinary people that have got the experience. What did I think? I'm just avoiding that. That one mistake she would have might quite a bit of money. Paid for annual for these. That's something I really enjoy. Is the formality of the meetings where people really chat and and have quite strident opinions as well for many of them about various companies quite right? Everybody has their favorites and and the to and fro is really good and and it helps. It helps you understand. Is Company really what you think it is because it's very easy to fall in love with the stock and if you fall in love with the stock that's the worst thing you can do and so if somebody else says hang on a minute on agree with that you've got that completely wrong. It makes you take a second view and so that's really really useful. So you mentioned before that the association also represents shareholders accompanying. Gm's what some of the things that could be done on behalf of shareholders at these ATM's will generally speaking an AGM. The first item on the agenda will be a discussion of the annual report. It's not voted on. It's just there for discussion. And that's where volunteers is that run through the cans. In fine detail can ask questions on behalf of all small shareholders and We pick up the points. The boards trying to hide. We're very disappointed at the moment with the Y. that companies report profits the way they see prophets. Not The why that the company's sees profits but the white icee profits and you'll see an increasing trained for companies to report on underlying profit and what an underlying profit is the profit management likes. And they strip out all the things. I don't like inside if as a real is Asian. Or if there's a large acid cell losses in relation to those items or extracted and they show an underlying profit and guess what nine times out of ten the underlying profit is significantly better than the real profit and so we'll stand up and we'll call it out will actually cy please justify the numbers that you're putting in your end report as the Prophet on which you are basing the bonuses of the executives and that's the other thing that is worth voting on and the association does get involved with is remediation packages. That's one of the biggest things that I've noticed. Here take a keen interest in. Yes well as you know the Warren Buffett's might Jolly Manga. He says if you show me an incentive I'll show you behavior and so if the board sets a decent remuneration package for the chief executive with sand hurdles. Then you're going to get behavior from the chief executive to achieve those hurdles if you get hurdles just driven by sales volume then you're GONNA get companies chasing sales volume no prophet so the construction of the remuneration package off. The chief executive is one of the most important things because it's what drives the whole company's behavior. And we've seen I'm sorry. Sight is but we've seen the remuneration packages in the banks in particular set toward profitability rather than customer service and with same. What's happened to customer service? We all know what it's like to stand in queues. A bank saw white on the telephone to get somebody to you because the the whole issue has been driven by remuneration system by some profits rather than customers. Well it went too far and now there will retreating from that type of approach and putting more softer Katyushas customer focus. Kpi's for the senior executives to follow. So hopefully we will see the behavior of the banks and other financial institutions change as chief executives of pursuing their bodies but the bonuses of based upon a much broader and wider set of parameters rather than just the profit. I want to speak about Proxy harvesting this is something that the association does in terms of keeping companies to account. Can you explain what this is? Many many small shareholders don't use their proxy foams and vote on the resolutions. The ISI can accept proxies from shareholders whether they're members of the ISI or not and vote on your behalf. If you don't know which white evoked just leave it open and give it to the ISI. I'm we are frequently in the top. Ten shareholder groups at an annual general meeting voting on a resolution. And you can bet your life. Whatever why we're GONNA vote is in the best interests of small. Shareholders not necessarily the best interest of management old aboard. Sir Drawing on the thousands of years of members experience. What advice can you give to people? Starting their investing journey filled the most important thing about journey as Mr Confucius says. Is You take the first step and many people think. Oh it's too hard on never gonNA save enough money a one bother and so the voice. I frequently give to younger people. He starts right away even if you only save twenty dollars a week. Open a bank account and put twenty dollars a week every week into that bank account and once you get to five Hundred Dollars Gone Boy Apostle of shares. Now you can buy be h pay or CSL CBI whatever you like but boy I talk company and just by five hundred dollars worth and keep saving and twenty dollars a week. What's that four cups of coffee? Five comes to coffee. It's not so hard and after five years on a five year seems a long time if you're a young person but after five years you'll have tim parcels of the best shares in Australia. Probably worth double what you originally paid now that that makes you feel good that you've got ten parcels and if you keep saving in the same way just twenty dollars a week but a time to get to my I H. You'll have two hundred eighty thousand dollars worth of shares and it's a staggering number. An twenty bucks a week. It's nothing but people don't do it. I can't understand why they don't do it. Peer pressure is a big thing and I know that young people are see all the time when I'm on the train or on the bus. That people are listening to the airports. They're listening and I thought about that and I I see so many young people with opponents. Three hundred bucks a pair compared to the Earphones at all use thirty bucks. That's three hundred dollars. If instead of buying them you bought a parcel of shares. Three hundred bucks whether she is and it just grows at the same right the shares of grind over the last forty years so last year twenty percent the year before that nothing so over the two years you're on average ten percent well if it just keeps growing like that in forty years told him the three hundred dollars will be over six and a half thousand. That's a six and a half thousand dollars fines so John. Coming up soon is the annual conference of the Shareholders Association. What can people expect to get out of that? We'll feel the conference is something we put on. Every year it's showcase and we get twenty speakers to come along and talk about the companies or talk about investment theory. What trying to do is assemble the based experts in investing for shareholders to come along and select which ones I want to hear now listening to expert talk for an hour about his subject is pretty good because it it it gives you an insight but more importantly is meeting other people at the conference and sharing experiences and we found that a lot of people come to the conference yes to hear the experts tell us the lightest things we should investing but also to meet other people and discuss what they've heard and that's the power of the association talking to other shareholders other people that have actually doing it don it might them stakes of my successes and to learn from them as well as the experts to desire of your life is quite a lot for young person and he's not cheap go onto the ISI website. Google it and then have a look. See what you think but two days you could pick up a huge amount of knowledge. You could meet a lot of people you can nip work and that's where the real benefit comes getting yourself into the system so that you start save and you start to talk to other people feel if somebody comes to one of them monthly meetings then within a few months. They'll have friends they'll have friends that know what they're doing when it comes to investing and that had friends that can give them a voice and stop them making mistakes. There's many conferences and investment meetings. That are advertised and that people can go to but they're often selling something to investors the ISI conference is not like that is at its non-aligned absolutely not and we don't allow companies to hold their products like that but you'll find it really interesting when you come to any of their conferences or veins. M members generally speaking of the older members and they've got plenty of life experience and I can smell a salesman at a thousand prices so as soon as you get a salesman in the room I can see people switching off and that's really for a younger person. That's a pretty good thing to watch. Because younger people often kept divided by the store real kept divided by the salesman but most is I members of a lot of life experience and so they can like can discern which is psycho salesman. Which is somebody really trying to impart knowledge. Because that's what we're about trying to impel people by giving them the knowledge tonight sand decisions. John Kelly thank you very much becoming and joining us. Thanks Phil shares for beginners is for information and educational purposes only. It isn't financial advice and you shouldn't buy or sell shares based on what you've had any opinion or commentary is the view of the speaker. Only not shares McGinnis. This podcast doesn't replies professional advice regarding your personal financial needs circumstances or current situation and I'd also like to say a big thank you to Christopher sue loss of garlic bread studios for all the fantastic help with the music production.
Follow the Formula: Hard Work + Focus (Hour 2)
"Live from the headwaters of Ramsey solutions. Broadcasting from a dollar car rental studios. It's the Dave Ramsey show. Where debt is dumb cash is king and the paid off home mortgage has taken the place of the BMW as the status symbol of choice. I'm Dave Ramsey your host you jump in. We'll talk about your life and your money. It's a free call at triple eight eight to five five two two five that's triple eight eight to five five two two five. Jonathan is calling from California. Hey, Jonathan welcome to the Dave Ramsey show. Hello, how're you doing better than I deserve? What's up at quick question where I'm based at four five and six I guess you can say good well foreign five we haven't started. We don't have a home yet. But we just received a vested R s use restricted stock units right better have invested. Wanna use that money for down payment for a home? But we don't we're not quite there yet for a actual down payment where about thirty to forty thousand away in California. So we want to know what we should do with that vested money while we get the rest of the money. Well, if it sounds like you're going to have it fairly quickly. How long will it take you to build up your down payment, including these aura shoes? We're hoping they year. Okay. All right. When you wanna park money somewhere for a year, if you're gonna use something like mutual funds in parking in the stock market, you stand a really good chance of actually losing money not making money. We don't know what a year. We'll do. Here's this stats for you about ninety six percent of the five year periods in the stock market's history. If you leave it alone five years make money about sixty seven percent of the three year periods make money when you back down to one year, you're riding that roller coaster Yemen got time to recover from dip. And so it could go up it could go down. But it's pretty much a roll of the dice at that point. I don't like gambling like that. I'm not I don't like that much risk. And so if I had a one year window, and I'm saving it for my house down payment. And I was in your shoes. I would not. Not have it in the stock market with a one year window. I would instead choose to make almost no money on my money. But it be safe. And that just means a simple CD or something like that. Where you're making about one percent which socks you're not making anything. Right. You're not gonna lose anything either. And the other way we got a good chance allusions of money. And it's just these these dollars are too precious when we're talking about using them to buy your first house. It's not it's not anything that I wanna play games with and to to that end. I would go ahead and cash them out there, no longer restricted stock units. Once you're vested. They're just stock units. Now. So that your shares of stock, and I wouldn't ride that stock for a year either. I would go ahead and cash it out now and just set it over there in the savings account not making any money boring as crud. But boring as good when it comes to money. Perfect. Thank you for your help. Thanks for calling in pre shit. You. Joining US Open phones at triple eight eight to five five two two five. Thank you for joining us. Christie's with us in San Francisco. Hi christie. Welcome to the Dave Ramsey show. Ain't you I'm so excited to be on honored to have you? How can we help? Well in two thousand four I bought home with my husband, and we at the peak of the market in California. And we separated we had a child we separated, and when we separated a family member to go over the mortgage for me just to get through the crisis of the divorce and all of that. So yeah, it was just amazing that they had been even see that they were willing to do that, you know. So I'm now, you know, single mom with a little girl, and I have this house, and it's been just a safety net for us. It's been great to have it and the family member has offered to pay off at the first and second, and I have a couple of things going on. I don't know what that means in terms of what I should expect in terms of this house they've been so gracious. And I paid them, you know, rent so to speak towards that payment. But there's no equity in house. We were under water for a number of years. And it's just starting to creep back up. I'm forty. What is the home what's owed against the home about two hundred eighty thousand? Okay. If you if you did not own this home, and you had two hundred eighty thousand dollars piled in the middle of your kitchen table. Would you go by this home or a different home different home when I could afford on my own? Okay. Well, you can afford this one. If it's paid for. Yeah. Right. And there's two hundred eighty thousand in the middle your table, you're gonna pay cash for a house. Are you going to buy this one or a different house? Now, I don't I haven't talked to them about if that would even be an option, I think at this point. You're going to pay for mortgage for two hundred eighty thousand dollars. There's no difference in that and then buying a two hundred thousand dollar house somewhere and giving it to you. It's the same exact dollars. Right. The only question is where I I don't want you to stay in this house by default. Just because you're there now if this is a good house, and it serves your needs, and it's going up in value again. And you know, you're in the San Francisco market, which is an incredibly crazy real estate market, and you can participate in all of that. And you want to stay there. There's nothing wrong with that. I don't mind that at all. Then you had this huge blessing of somebody paying this off for you buy. Ohm. That's let them do it and you own a house there that's paid for. But if you're going to have a paid for two hundred eighty thousand dollar house somewhere UNITA think about where that is not just automatically be this one. That would be my first piece of advice. Okay. Are you are do you have a career? I do. Once your household income seventy thousand good, okay? And one child when tiles good in with a paid for house and making seventy thousand dollars a year. I don't know what your other debts are. But you should be able to make it. Yeah. And that so that was that's my question is I have forty five thousand dollars debt and half of student loans, and, you know, people friends family have been talking about that consolidation and bankruptcy. And you know, I I went and spoke to someone yesterday to think and see wrote your name down. And she said I would just start listening today. So yesterday star listening podcast already fucked. You know, and so I'm I really feel like this is the way I wanna go. Loans are not bankrupt -able so telling you that's giving bad advice. So your student loans. They're the good news is if you don't have a house payment. Then you make seventy thousand you get yourself on a written budget. I think you can pay off these dads. Okay. My other question is that my exit in the night, you're still on the title. And he doesn't want any part of the house and all when it's paid off. He can give you a quit claim deed simultaneous with you paying it off which would be him to signing off his ownership. I would not how would I would make him do that as a part of it getting paid off because I don't want your relative giving him how of two hundred and eighty thousand dollars now. So he needs to sign what's called a quit claim deed, give up his ownership simultaneously with the mortgage paid off which he'll love because he is no longer on the mortgage. Christians have an affordable incredible way to meet their overwhelming healthcare costs. It's Christian healthcare ministries, the original health cost sharing ministry. A Better Business Bureau accredited organization C H, M members share to pay each other's medical bills. It's not insurance. It's Christians financially and spiritually supporting each other. It's what see Tim has done for over thirty five years. Learn more at C H ministries dot org. That's the H ministries dot org. Christian healthcare ministries is a proud sponsor of Dave Ramsey live events. Wayne is on Twitter at daveramsey. What would happen to the economy of everyone? Suddenly started your plan. Well, the first thing if they suddenly the entire population you snap your fingers stopped borrowing money. It would crash our economy. Because our economy has so much banking and borrowing run it's running through its veins. However, that's a hypothetical philosophical question that couldn't actually occur. What could actually occur in should actually occur is gradually more and more people, become wise. And decide to stop borrowing money. And so over a period of time, we wouldn't have as many banks, and they wouldn't be nearly as profitable, the ones that stayed open because big less and less people borrowing money you, and I know that there's never a case where the hundred percent of the people would stop borrowing money that's impossible even prohibition one hundred percent of the people didn't quit drinking. You know what I mean? It's just it's impossible to get a hundred percent of people do anything. So, but we're talking about more reality than theory here. So reality is is that if we could move more and more people away from debt what would happen. Well, more and more people would prosper. Is individuals families? Because if you don't have that you have more money to give more money to invest so charities and ministries nonprofits would be better funded. By ten or one hundred x as people move away from that because giving generosity increases when people are debt free. Savings and investing would increase as people are debt free. Which means wealth would increase among individuals in. So you could slow down some of the disparity between the richest on the poorest. This thing that everybody's worried about wealth inequality and all the left easer all freaking out about wealth, inequality wealth, inequality wealth, inequality. I would start to go away. Because one of the things that magnifies that exponentially is the the haves are building wealth and the have nots are building debt. And so it's it's making the poor poorer. And the rich richer is the rich aren't in debt, and they're they're becoming wealthier and wealthier in lot of cases. That's how they became wealthy the millionaire theme our confirms that. And so what would how the other thing that would happen is debt has destabilized the economy made it more volatile. Because everyone's living on the edge living on the bubble. Every time there's a little wave that comes through something that scares people just a little bit. It crashes entire segments of the culture. But if a wave comes through, and you got a really nice boat. You just kinda smile and ride the wave meaning that you don't have any debt, and you have a big emergency fund and the economy slowed down a little bit. It doesn't cause you to. Slowdown. Oh, and by the way, business would prosper, and there would be more jobs. What? Well, let's think about if you if you you're saying about your life and your home if you are one hundred percent debt, free mortgage and everything. And you had an emergency fund, and you were making good money. Do you spend more money? Yes. Or you spend. Close nicer clothes vacation in go out to eat. You save more, and you give more because you have more. But you also spend more because you have more I spend more now than I ever have at any time in my life. But I have more than I haven't any time in my life. I mean, let's pretend you had five million dollar net worth. And you had zero debt. And you had a hundred thousand dollar your income, you would be spending more. And so where do you think your spending that you're spending the local restaurant? So if more people did that more people spent the restaurant, what would happen at the local restaurant will it would prosper. What would happen to the local hardware store? It would prosper. So the overall economy would prosper. Yeah. Even explode. Because spending increase, but when spending increase based only on consumer confidence that causes the consumer to falsely be confident and therefore go and borrow money. That further destabilize the economy, even though it gives a short term spike to the economy because when the consumer gets all cocky, and is willing to put money on credit card debt and willing to go by car the can't afford and put it on payments and willing to go buy furniture. The can't afford put on payments because they feel so good about everything. That drives the economy up. Let's all borrowed money. And what goes up must come down. When it's borrowed. But if it goes up, and it's you're spending money that you actually have and a whole bunch of people did that simultaneously over a ten year period of the economy would boom all of that to say that this debt economy at the federal level with federal government borrowing like they're drunk. I mean, like, they're stoned. And you borrowing like you're drunk like, you're stoned on cars and student loans and furniture and vacations and all this you drive the economy when you're doing that. But you're falsely driving it because it's it's a it's a shell game. It's a house of cards, and it's gonna come down. What goes up must come down when it has to do with that? But if all of that spending was done with real money, meaning not borrowed money. You would see the economy increase you would see prosperity increase you'd see individual wealth, increasing you would see charitable giving increasing this is what would happen if people move towards God's ways of handling money, which by the way, this is not my plan. This is God's and grandma's by Hanley money live on less than you make. Live on a plan. Don't do get rich quick avoid debt. Have money saved to buy things have money saved. For emergencies. Have money saved to retire on have money saved to send your kid to college get out of debt. This is all in the bible. It's all in your grandma's commonsense. So it's not my plan. It's gods and grandma's ways of handling money. It's common sense and biblical finance and it worked so if we could gradually get people to take steps that way, if you could just get your whole church to do it. It changes your whole church, which by the way, hol- churches are doing it where they take eighty percent or more of their church through financial peace university. If you can just get a whole town to do it. If you could get a segment of the population to do it. Certain people group a minority. A region. You would see that group prosper? That's the answer your question when what what happened to the economy of. Everyone's suddenly started doing your plan. It's not my plan. It's gods and grandma's ways of handling money. And they can't do it. Suddenly everybody wants nobody wants does sudden anything suddenly not three hundred million people but gradually over the period of a decade, but would happen would be increased prosperity the same thing that happens to individual households. When they get aren't written plan called a budget. So that they get out of debt so that they can save and invest so that they can be outrageously generous and have a higher quality life in become wealthy. That is the plan. And I don't know why it's it's not appealing to everyone. I don't understand. Why wouldn't you do that? Don't wanna win. It really wouldn't you do that? Because there's children out there in dull bodies adults devise a plan and follow it children to feels good one definition of maturity as learning to delay. Pleasure. It would require the culture become more emotionally spiritually mature. And we're going the other direction actually. So I've still got what to never for here. This is the Dave Ramsey show. The last thing I want you to feel is buyer's remorse. The key to avoiding this rookie mistake is to call Churchill mortgage and get certified as a certified home buyer. You are pre underwritten call Churchill mortgage triple eight loan two hundred or Churchill mortgage dot com. This is a paid advertisement in one five nine one in MLS consumer access dot org. Equal housing lender. Seven sixty one old hickory boulevard, Brentwood, Tennessee, three seven zero two seven. Ramsey solutions, actually. How are you? Dave. I'm good. How are you? Deserve welcome. Where are you from Atlanta, Georgia? Welcome to Nashville. Free scream, absolutely cool. How much you paid off ninety thousand dollars? How long did that take a little ever twelve months? You're getting it and your range of income during that started out around six thousand dollars in last year ended up around one thirty five doubled your income in one year. I did what did you do? I had four part time jobs during that time. Oh, it's called work. Yes. Jn that very cool. What was the best part time job money was paid? You the best. I try I am nurse. So I traveled around teaching in clicks review classes, which are the nursing board those able to travel around the country to different schools and teach nursing students how to pass boards on the first try. A weekend gig. Yeah, it was like a four day class just worked around your regular nursing's dead. Yeah. Actually went part time at my what was my full time job. So that I could work this paid a little bit more than my full time job. And then got another teaching gig that also paid a little bit more than my fulltime job. So just at a lot of things part time and a lot of overtime Sharm guessing. This was the ninety thousand bucks was a student loan debt part of it being a nurse. Yes. All right. And what was the rest of it? I had about fifty thousand with student Lund's, and then I paid off a thirty thousand dollar car, and I had a very very small credit card in there too. Nice car. Yes. Cool. Very cool. What kind of car Acura MDX and part of the ninety thousand I will say I'd purchased a vehicle Nissan Altima. And then ended up selling it paid about a four thousand dollar stupid tax on that one. But you know, live and learn show that got rid of some of the in the Nile much of the ninety. Needed that get rid of that got rid of twelve thousand. So it's still cash flowed. Little over seventy thousand dollars in one year and one year. Working your tail end up you've been doing some eighty hour week. Oh, yeah. Sixty to ninety hour weeks being told I was crazy and insane almost every single day of my life. You are you're weird, but you're debt free and all those people calling you names are still swimming in their student loan debt. In the spare bedroom you kicked her out. That's right for you. So what happened twelve months ago because you got on fire dead? I really wanted to buy a house, and I started looking at houses and went mortgage is we're going to be and was looking at already paying a mortgage payment with my student loan in my car payment, and I just couldn't add another payment onto that. So my original goal was to pay off my car giant owed twenty three thousand on it at that point where the end of the year and was kind of hesitant that. I thought that I could even do that started making some payments and just got angry. I'm done with this like, I'm ready to get rid of everything. So I went from wanting to pay off my twenty three thousand dollar card to pay off seventy eight thousand dollars and so. My goal is paid off in the year. So I wanted I wanted that house that was my why just got angry making those payments and started working working working until I got there. How did you get connected? So I actually several years ago back in college family friend of mine had introduced me to you. And I went through financial peace university. And I listened to the principles, but I never put them into action. New it to do. It was once you got mad. It was game. All right. So yeah, I mean, I didn't have a y before I didn't have my wife. So it was just kind of I'm going to work a little bit extra and all put a little bit towards it. But then, you know, friends would go on vacation actually come with us. And like I've worked really hard for this. So, yeah, I'm gonna go -cation, and I spent my money and didn't pay off my debt like originally planned. But then once I got my wi-. I was I was on fire stuff me, then old are you? I'm thirty just turned thirty years old officially or a millennial. Yes. And millennial just paid off ninety thousand dollars worth of debt and twelve months for those of you wondering if I keep telling y'all there's also millennials everywhere run into them. You're one of them well done. And then there's the group says it can't be done. But it can be done. It share. Can you found? The formula is hard work, focus, right absolately, just kicked it. So are you gonna slow down a little now I've slowed down a little baby? Three b so now, I'm working towards you. Gotta get the house down payment. I've slowed down just a little bit. But I'm still working pretty hard. And the good news is with your career field nursing. You can just choose to turn up the hours almost anytime you want and all kinds of different ways, you found a really unique way too. So when you were traveling to the classes did did you hit some like exotic places or just backwards places a little bit about it was nicely backwards places. But I got to go to places like California in Tampa, so fun, even the backwoods places. They're always fun things to do kind of explore. You make fun people. Wherever you go. Right. Yeah. Very cool and you're working anyway. Tackling good for you. So bottom line the secret to getting out of dead. You found is what I think just the combination of finding your y you know, getting fired up and having a reason to do what you're doing. And then really just sticking to a budget. That was the biggest thing like if you plan to fail the plan you are planning to fail. So it's like if you've got a plan in place then follow that plan, and you're going to get there. Very world on what was the hardest part for you. Gosh, my friends and going on all these vacations, and we're in our thirties there graduating from school. They're buying houses starting families and Rachel talks about all the time comparing your life other people and seeing those Instagram victors of them, you know, on the beach in the Bahamas or whatever not being able to do that having to say no to that. But standing here today was worth all that sacrifice. You'll get your house, and then you can do whatever you want to right show. You had the JV about you're on your own. Oh, I have lots of people turn me on got family right here. Friends. I think some of them might have been a little skeptical at first when I told him what I was doing. And even my dad, he's always been one to tell me, you know, work hard, especially when you're young do it while you can. And I think he even towards the end told me that he was shocked that I was able to help as much as I did. And as little time as I did he I don't think that I could do it. But I did it on. So. He's definitely yes. So I definitely had a lot of cheerleaders. But I think people were a little skeptical that could actually do it. You did great. We're proud of you done very well done. All right hero. We've got a copy of Chris Hogan's book for you, retire inspired. And that's number one bestseller. That is the next chapter in your story. And that's become a millionaire and outrageously generous along the way. And no one listening thinks you're going to do anything except exactly that you are go getter Kitto. Love it. So honor to speak to you on actually from Atlanta ninety thousand dollars paid off in twelve months. It's called hardwork used to make sixty five now makes hundred thirty five work in four different jobs, but she's dead free counted down. Let's hear a debt free scream three two one. Well. Very very well and good as it gets last hour thirty year old single lady paying off debt this year. There's our thirty year old single lady paying as this thirty year old single lady day. That's awesome. And I'm proud of a man this amazing. They're killing it. You guys are killing it. I gotta tell you the more I interact here at our firm. I mean, we've got several hundred millennials that work here. And then I interact with people like these ladies in the last two hours, these millennials. They are amazing this group when you give them why this this generation, you give them a y when they get their own why they're not going to be dictated to but when they buy in, and they believe there's a cause worth fighting for a cause worth sacrificing for. There is no stopping them. It might be one of the most intense generations we've ever dealt with. And when when they buy into something that's completely stupid. They're just as intention their stupidity. Socialism and anarchy and wealth inequality in some of the stupid stuff that they've some of them waited off into and it's just ridiculous. But the ones that by end, the smart things and wisdom, things and causes that do matter and causes. That are valid man. There is no stopping I love him. I love this lease millenniums mazing. Well on you guys. This is the day Ramsey show. Thanks for joining us. America would Blad you are here. Daniel is in Denver. I daniel. How are you? Deserve. What's up? Perfect. So I've been going through your step program. And I'm gonna have my house paid off in about a year and a half. Wow. Look at you. Awesome. Thanks. So the thing I'm running into is that you know, I I work in a field where I've got a lot of educated people making them financial decisions that happens all the time. And when you're weird. Like a weird, and that's fine. What's hard for me? Sit back and kind of watch the people that. My friends and coworkers in that regard make make the mistakes that I know are just as dumb mistake. So what what do you guys? Do you offer? For someone like me who knows kind of what people should be doing. Instead, I can encourage them in a way to kind of do things better ruining the friendship. About the the best entry point is just to tell your story because if you start talking about their stuff, it's very difficult for it to not be condemning. And that includes me, I tell my story all the time. And then the second rule is is that the reason for telling my story is are you telling your story say, you know, I used to do these dumb things. I did dumb stuff like this. And this never point at them. But you could mention that you used to do something dumb like they're doing right? I used to do stupid stuff like this. I did stupid stuff like that high at least a car I used to use my credit cards. And I thought I was winning with that. I thought I was so dumb. I thought airline miles were making me rich, are whatever it is. Just talk about stuff you did. That was dumb. You've quit doing it. And that may wanna quit doing on not only got a sensor control. I actually my my finances are low light years better in just a short period of time. And they may just kinda nod and go, okay. And if they do you got no entry because. If you turn from there and start saying you'd be but you're stupid. It's never gonna work. Okay. It doesn't work. So on a personal level is what you're talking about nine get away with crap here on the radio because everybody understands it's entertainment value. And I'm just you called in you ask for it. You know? So I I'm going to be nice to you here and walk you through this. But then I'm gonna call you out here on radio, if you call in doing stupid stuff, you you've listened, you know, that, but you can't I wouldn't act that way in person with an individual, even if I didn't know them. But if they come up to me, and they say, well, you know, I do such and such. I was just go. Okay. I got a friend of mine. He drove up the house of the day in a brand new car, just leeched. And of course, he's my friend. He knows I think that's just do could, you know? But so what am I going to go? You're an idiot. You know, which is what I was thinking, actually. But I didn't do that. I just kinda did they'll bobblehead thing and let the head not up and down. And I just went. Hey, man. Happy for him. Glad you got your nice car because he knows he knows he knows. But I mean, it didn't come up there for me to show me his car. He didn't come up to ask my financial advice. He knew what my financial advice was. So I just congratulate on the car. It was a nice car. Actually, I'm glad he got him a good car. But you know, he just got screwed. So that's all you can do is just say this is what's happened to me. I used to do this dumb thing. I don't do this dumb thing or that dumb thing anymore. And now, here's why and the bed. Case scenario is is they look at you. And they say, wow, I wish I could do that. Or how did you do that? Once they once they re once they interact with you on that. Then they're asking for your help. Then you can very gently and kindly go. Hey, I can show you how if you want me to walk with you. I would be honored to show you some of the things I'm doing, and I think it would I think it worked for you to. But you've gotta get them to ask about it. Otherwise, you're just dumping people. And it's hard to watch people you love and people in your family do stupid stuff, and everybody's got stupid people in their family. You know, and you just have to watch them. And you can't you can't make people do stuff. You know, you just can't and all you can use put in front of them this situation and. Then they've got it aside if they're willing to take the actions to change that Mike's whether in Portland, Oregon. Hey, Mike, how are you? Better than I deserve. Dave yourself. I guess the same, sir. How can I help? My wife has a problem where she's overspend every month. I talked to her. She says she's trying. She's starring I forgive early say try again next month. And again, she overstay what did she overspending? I I don't. Buying stuff for the kids that they don't really need buy stuff for her like run. New clothes makeup stuff for the bathroom shelves in whatnot. I mean still that we need, but we don't need right now. And we don't have the money for now. So what is your? What's your household income? Together, we make about fifty five hundred dollars a month. What do you do for a living? I may trying to technician they semiconductor facility gun. All right. And how long have you guys been married? Almost two years. Okay. There's a couple things going on one is she's overspending too. Is you're an unbelievable tightwad. Isn't that? Right. Isn't that? Right. No, I've been very forgiving over. But no, no. I didn't ask you to forgive her. I I asked you she doesn't need forgiving. She bought food for her kids. You're you're you're you're just like me. I mean, my wife is is a tightwad like that. I'm become a tightwad. And so I- Meyer you for that Mike, but you are very detailed person who likes the rules and follows the rules, and she's not. You're the nerds. She's the free spirit at your house. And I'm the free here at my house. I mean, my wife is the pre spirit at my house. I'm the nerd, I'm the control guy. I can't stand it when people break the rules. You don't talking about? Yeah. And so what we've got to do is you need to lighten up a couple of these categories of her a little bit more wiggle room. And in return, get a new promise from her that she's going to stand that. I think you've got these budget categories to type. And I don't know what they are you notice. I hadn't even asked you. But I've been doing this a long time and I can smell a super nerd, and I'm one so you were cut out the same cloth, brother. It's good. It's good news. Because you're good at details. And you're good at keeping people in the lanes. But sometimes people like you and me are hard to live with. So I just want you to loosen up a little bit on the categories. And I want her vote in the budget committee meeting when y'all sit down to do the budget. I want her to look at the numbers, and I want her vote to count more than it has been counting. It's pretty much. I think she she you. Go ahead. She over spins the month we made fifty five thousand but we spent fifty seven. I got that part. I'm not saying I think there's some other stuff that you guys probably can can move around. And I want the budget to be zero based budget, and I wanted to work together. I want her vote to count. And then when the here's what happens, and this will help because the way your mind works the way my mind works when we do that budget. It's over. That's it used to do that shut up do that. And the way her mind works is that's a general guideline, and that doesn't work it doesn't work the budget falls apart. When she does that she screws up the budget. So what she's got to grasp at the time you finish your budget committee meeting. The kids are in bed. You're sitting there. Looking at the details of the budget. You've got to say, okay, baby, girl. The reason I get so upset is the way my mind works is this is a contract. And so we're going to pinky swear. And spit shake right now, and we're gonna sign our name and blood at the bottom of this. And this is a contract do not I promise you. I will not spend anything that is not on. This budget. And if you spend anything is not on this budget. That's like you lying to me. We can't do that anymore unless we sit down and talk about it because my head's going to explode I can't deal with it. And so that's what's going on. But then as a part of that you've gotta loosen up a couple of these categories and let her have some room to run this household because you are a super nerd, no doubt about it. And it's a good thing. Not making fun of you. I'm one of him about you've got up got understand. How that other? I is ticking in order to get a green in this household. This is the Dave Ramsey show. This is James Childs producer of the Dave Ramsey show. Did you know you can now listen to the Dave Ramsey show on Pandora and Spotify for all the ways to watch. And listen, check out our show. Kane at daveramsey dot com slash show. Make more money doing what you love checkout Christie rights. Business boutique podcast Christie's inspiring and in quipping women to become successful running their own business hand, Christy Wright, and I help women all over the country take their ideas, and passions and hobbies and turn them into profitable business. You have an idea in your head or dreaming, your heart and you've ever wondered if you could make money doing it. I'm here to help. Join us on the business podcast where we are quipping women to make money doing what they love. She was grabbed at Christie rights business boutique podcast wherever you listen to podcasts. Hey, it's James producer of the Dave Ramsey show. This episode is over the check the episode notes for links to products and services you've heard about during this episode. Thanks for listening.
How to Avoid Student Loan Debt While in College (Hour 2)
"Live from the headquarters of Ramsey solutions. Broadcasting from the dollar car rental studios, it's the Dave Ramsey show. That is dumb cash is king and the paid off home mortgage has taken the place of the BMW as the status symbol of choice. I am Dave Ramsey. Your host were glad you're with us. Open phones. Triple eight eight to five five two two five. That's triple eight eight to five five two two five. Pat is in Springfield, Illinois. Welcome to the Dave Ramsey show. Pat. Hello. Thank you for taking my call. Sure. I'm a little nervous. Okay. We've never lost a patient. How can I help? I'm a grandma I've got bullet grandchildren, and the first one is going into high school in the fall. So she's our test case. And so we've been talking about college since it's coming up soon, and we're trying to avoid student loans because it seems like that's a big problem and everybody's debt that I've heard of. We that five twenty nine accounts for all four of the kids. We've had them since they were all born. But they're not going to probably cover the entire four years. I hope they get it gets through two years the rest, I think she's going to have to buckle down and. Try to get scholarships grand job. What I was wondering is should she just go ahead for the rest of her college life, get loans as she needs him. And then when she graduates we see what the bottom line is just pay them all off before there's any interest. No. No, I would never go to college student at ever not get any never there's three things that she can do and that you guys can do together. In addition to paying in addition to piling up cash between now and the time she's there, and if you get her through two years that's really about four years from now that you've got to build up for years three and four right. But the biggest the biggest problem the biggest cause of student loan debt is college choice. Choosing a school. You can afford do not buy a Bentley. When you have a Chevrolet pocket book. Right. Champagne taste beer pocketbook. You've heard the saying, right, right? And I have never hired someone or not hired someone. I have eight hundred almost nine hundred team members based on where they went to school. Take about a few colleges that are real close to where they live so live at home. They will be the first one. There's two things that people buy when they go to college on student loans, and they spend about equal parts on each one is tuition and books. The other is the college life in quote. The apartment with a jacuzzi in skylight and a racquet ball court. The oh, I have to join this. Or I have to join that. Oh. You I have to have a certain amount of money to do this or that and eat out all the time, and oh and the money people spend on food and board and lifestyle almost equals what they spend on the school. Right. And when they're being stupid, okay now because the because we forget the purpose of going to college is not to graduate with the degree in beer pong. It's to graduate with knowledge and actual degree. And that's the purpose. Now, if you can gather up some money and have some of those other experiences, that's fine. I'm not mad about that. But the idea that you rationalize and say I had to borrow money because it couldn't afford to go to school is absolute hogwash because you can go to school a state school, the average tuition America's twelve thousand dollars a year. A month. You can make fifteen hundred a month delivering pizzas and walking dogs and babysitting. And so the so one number one is go to college you can afford and stay home for two years and do community colleges even better. Okay. Number two is work. I'm not talking to you. I'm talking to heart. Uh-huh. Work while you're in school and don't work at minimum wage flop and walkers, right? Those numbers don't work you can make twenty dollars an hour cleaning people's toilets. Being a made. And that's you know, you can make money walking dogs or do whatever. Start your own little business cut grass. I don't care work at something. You make good money at and work your butt off while you're in college. And by the way, then you won't have the money to party or the time to party party going down grades are going up. It's amazing people who work in school have a higher GPA than those that don't isn't that interesting. And that's something she's going to have to do. Number three, take the ACT repeatedly and take a class on how to take it in between almost all the major colleges are now super scoring the ACT. There are four parts to the ACT. And so if you super score it that means you take the test and every time you made a little bit better on one. But no better worse on the other one the section you made better on all your all your best of on all four sections or put tha. -gether that's called super scoring. And so if you take the test four times, and you get four different grades, obviously on each of the four sections. They'll take the best grade of each section and create a super score for purposes of getting into the school. Now, some scholarships won't count the super score. They'll just count your best ACT score. Which is fine too. And then one of your other part time jobs as you said is applying for scholarships and grants. If she does all of that with you guys in the background chunk in money at this. And you've got two years of it covered. And you start thinking about okay? What is the goal? The goal is a four year education. That is usable in the marketplace. Can we scrape together the money to pay for that you can you can actually work your way through school doing that? Mathematically, twenty dollars an hour. We'll put you through school working thirty hours a week. Old. We can do the issue can cheese the whining. It's unbelievable working while you're in college is not child abuse. You can do it. I did it. How many of you worked when you were in college? Raise your hand out there. Everybody in the booth. Just did I hardly know anybody that did nothing while they were in college except go to class and graduate with the degree in sorority. I just don't know any of those people. I mean, there's a few of them. But I mean, the ones that I knew in school there just wasn't that many? I worked my butt off. I worked forty to sixty hours a week and graduated in four years with a two nine seven. Yes, I'm still pissed about the three one hundreds of a point. But. Think about it. I'll work my tail end off, man. And you know, you know, why I graduate in four years because I was tired of giving them money. So I made sure I took every class to get out of there. This was not summer camp for adults since this was I want knowledge a degree check that box move on into adulthood as fast as I can. That's what happens when you're paying for it. But when you're riding on my butt, meaning I am the idiot taxpayer who has agreed to loan eighteen year olds up to one hundred thousand dollars unsecured. So they can get a degree in lefthanded puppetry. Yeah. I'm that idiot taxpayer I've allowed that to happen. When you're riding on me. You don't give a real? This is the Dave Ramsey show. I get asked all the time. Do I need life insurance? Listen, the point of life insurance is to replace your income for someone who counts on it. So if you have a spouse, if you have kids, yes, you need term life insurance and the best place, I know to get it is Zander dot com. Zander insurance is where I get all my insurance. And it's where I've been sending my listeners for over twenty years. You can get a quote and a matter of seconds. It's not expensive. It's not complicated. And you need to do this now Zander dot com. Thank you for joining us, America. Glad you're here. If you have a college bound graduate in your life. We were just talking about college who's waiting to receive their college acceptance letters. Well, right now, we've got an awesome graduation gift on sale starting in eighteen ninety nine the graduate survival guide five mistakes. You can't afford to make in college by Ramsey personalities, Anthony, oneal, Rachel Cruze. It's a perfect gift for college bound grads helps the students of void the debt. The average graduate leaves with thirty nine thousand dollars student loan debt right now, this is nuts. And we also have a brand new book that college graduates not high school graduates, but called that's for the first ones for high school. This is for college, and the college graduates are gonna love this. It's called the proximity principle. It's about how to land the position you want. It was written by Ramsey personality. Ken Coleman, you can pre-order it right now. For only nineteen ninety nine comes out in may this book will help college graduates or anyone else. Find a great job right out of college kin demystify this the proven strategy that'll help you Lee help lead you to the career you'd love so just go. The online store at daveramsey dot com or call Ramsey concierge at triple eight twenty two peace triple eight two two seven three two two three. So let's continue that college discussion for minute. I haven't had that in a while. So let me tell you. All four Ramsey kids. Went to the university of Tennessee all three Ramsey kids. Not a straight won all three Ramsey kids. One of my sons in law graduated from there too. That's what the rents they my head. Okay. But all three of my children went to the university of Tennessee an in state school. Okay. They did not go across state lines and pay triple for the exact same education. See if we go the university of Kentucky find school university. Alabama find school university of Georgia fine school university of South Carolina, fine school, nothing wrong with them. We have discussions about football lighter. But I'm talking about the academics. Okay. There's nothing wrong with any of those colleges you graduate from any one of those colleges universities. You did great. Glad you went there. You didn't get a sub standard education. Okay. But if you move across the state line and go the -versity of Georgia instead of paying twelve thousand a year, you pay thirty thousand dollars a year for basically the same education. Why just because you across state line? That's all. So there's just no excuse for that. There's no value added for the extra money spent. If you've got the money laying around, and you just want to buy it as a luxury. That's fine. I got a friend his kids all went to Auburn. And he just paid for it. He has plenty of money, and they just wanted to offer. Well, that's fun. I got no issue with that. But I'm talking about people going into student loan debt because college is. College is expensive. Okay. It's just the whining and the beagle. Chasing a rabbit out there. The the the man, it's amazing. So that's thing. One thing too. There's nothing on the private education if you can afford it. But I mean Vanderbilt University is right at sixty thousand bucks university of Tennessee Tennessee's right at twelve thousand. Now, I'm sure that Vanderbilt is superior academically to the university of Tennessee in some areas. But I am one thousand percent sure it's not five x I know this because I graduated from the university of Tennessee and people graduate from Vanderbilt worked for me. So to tell me that it's worth five x is kind of humorous to me again. If you've got the money or you're going to have a niece got a full ride event Abell. She was valedictorian yell go. That's awesome. Not mad at Vanderbilt. Certainly not. But I'm not my kids. I'm not paying my kids. We're not gonna get free rides. Okay. They were just normal students. And so they didn't get a free ride on academe IX athletics or anything else. So Ramsey Dave is going to be writing a check. And so am I getting more for my money not five act? So we didn't do that. We went the university of Tennessee. I wanna go. I don't really care where I wanna go. It's my freaking money. I choose. I appreciate your little feelings your control-freak. Yeah. Kind of that way about my kids and my money. I want them to all to win. And I'm smarter than you because I'm older than you. I've lived longer and I've seen stupid in a bag most of my life, and you don't need to be stupid in a bag your kid. And so what I'm saying is this part of our student loan crisis is not a cost of college crisis. It's a parenting crisis. Some of you parents need to put your arm around the shoulder of your teen and kick their little, but no you're not going over there. This family cannot afford that. No. You're not going into debt. We're not doing that. We're gonna find a way for you to get a good education and become a smart person a smarter person without being a stupid person in the process. No. I had a girl. Call me on here about four months ago from South Carolina that wanted to go to ole miss. I said why don't you go to South Carolina? Why like oh miss? Why do you want to pay three times as much to go to a South Carolina? You know, what our answer was the houses are pretty in that town. This is why people need parents. No young lady says her father or her mother who loves her year little, but is going to South Carolina, which is a fine school or something in that's a state school here. If we don't have any money now, if you've got the money, I don't care where you go do whatever you want to. I'm talking about the one point six trillion dollars student loan debt. That's that's about to be a bubble. That's going to smack all of us around in this entire economy because we didn't tell a bunch of eighteen year olds. No. We the people have been stupid. We've allowed this to go on as parents and his tax payers were stupid because in the name of education. We were stupid. It's crazy y'all and that's one of these kids. I mean, they're in their twenties, and they have legitimate problems have two hundred eighty thousand dollars in debt. Dave, and I have a degree of a message degree in sociology. Oh, shoot me. You know, your caseworker for the state making thirty two grand with two hundred eighty thousand dollars in debt. No wonder you feel the burn because you feel stuck. And you think Bernie is Santa Claus. That's why you feel the burn is your stock. You're scared to death. You're hopeless in anybody coming along with anything. I'll hey, I'll take communism. I'll take socialism. I'll take Santa Claus. I'll take whoever just get me out of this dadgum mess that I got into. That's what they're saying. They're scared to death, man. I don't blame them for being scared. So parents, and for God's sake, some your school administrators Grossman Taghrid. And somebody school counselors quit sign and all these kids up for this crap and sending them off to get this debt. You're you're complicit to oh. By congress you need to put an end to the student loan program. You need to stop it. You need to stop it. It's a disaster. And it's not necessary. Have you ever any of y'all remember economics, gene? Have you ever take economics class we had in college or in some of us had it in high school basic economic says this if the supply? Exceeds the demand the price goes down. If there's a zillion house on the market and not many people looking for houses house prices drop, you want college prices to go down. Let's stem, the demand you want the entire population to be ignorant. Nope. I'm quit sending them to college as Kane afford. That's all I'm gonna do and the colleges that they can't affordable. Suddenly, get more affordable. What a novel idea I'd almost be willing to forgive percentage of the student loan debt out there under some kind of program if we stopped the current one completely. It's a disaster, folks. It's a real real sociological financial economic and governmental problem, it's a real problem. All because no one in our culture had the backbone to say no to a bunch of freaking eighteen year olds. No. Natan word. This is the Dave Ramsey show. In the lobby of Ramsey solutions. Josh and Lauren are where those hey, guys. How are your on of you the man? Welcome welcome. Where do you guys live Virginia Beach Virginia? Oh, welcome to Nashville. Thank you all the way here to do debt free scream. Yes. Love it. How much of you paid off two hundred and forty one one hundred eighty seven dollars. Amazing. Good for you, take just under twenty four months. Wow. And your range of income during that time one sixty eight to two thirty seven and Lord willing, it's still climbing. Wow. What do you do for a living? So I'm in technology sales. Also, a part time worship leader Lauren had a photography business and now in a central oil MLM business. Oh, excellent. Very cool. And you're making some serious Bank, man. Well done that was the two forty one half of it with school owns about one hundred and twenty two thousand four. Thousand of car loan dumb decision. Forty seven thousand four one K loans. More dumb decisions and twenty eight thousand credit cards. Wow. Look at you. So did you sell anything big? Yes. We sold two cars sold our new car a Honda pilot and a Range Rover. Whoa. Don't all the big car and anything else we could we could think of cars bring the cars brought forty just over forty thousand done another two hundred ago. Jim money saved up to go towards this or cash flow the rest of it cash flowed. Yeah. We were really bad with at managing money. So you just got got got angry and said okay hundred thousand dollars a year for two years, and we're going to be done. Right. All right. Why did co you guys? So how long have y'all been married just about five years? Okay. So but two years ago, something lit you up. What happened we had a kid? Have three year old and three month old but my wife's rockstar. She always has been pushing us in the right direction. And we came across your book, total money makeover was on the shelf at folks that we know really well and a lot of people sauce trying to read that and just told us it that doesn't work. It's not possible. Or we've done that before. And we just gave up and we decided that we weren't going to do it that way. Okay. She straight from the book one hundred percent from the book. Okay. So no ish. Just that's the plan. We're doing the plant any other stuff. If we even thought about it. We just quickly realized that was not gonna work. I love it. We'll congratulations. You've. Very cool. How does it feel to have be rid of two hundred forty one thousand dollars ninety? So we feel so free. We are looking at our big y is legacy and what we hopefully can do for our children Lord willing. And like Chris Hogan's book, he mentions that budgeting is how you emulate the millionaire behavior living less than you make. So we look back, and we were paying ten thousand dollars a month on debt, and we are like what if we just started investing that kind of money where would that put us when we're fifty sixty seventy when we whenever we pass and our kids in our children and our children's children. What would that look like for them and all the families of millions of dollars? That's what we're hoping it will be honored twenty thousand dollars a year invested tens of millions of dollars. How old are you too? I'm thirty to twenty seven. Oh, man. Y'all are incredible. Wow. Wow. Wow. Wow. Yeah. It's a lot of money. It's a lot of money where that's going. We'll congratulations. Thank you grants. How's it feel to have no payments? Awesome. Everything everything's different. I mean, a big big y other than legacy for us was just turned be obedient to the Lord and living within his provision. So that provision mentality has has taught us so much living on debt is going outside of that. And contentment contentment is. I mean, we we were able to take a trip here road trip. We made the most of it even with two young kids. Yeah. Everything's different changes. So who were your biggest cheerleaders outside of the to you? Oh, we actually we were in FPU class we coordinated class, and we didn't have a whole lot of cheerleaders up until then the past of our church, Jimmy and his wife D. Rowe Herron Mary Blake trae Queen. These are all folks that were in our class in whenever they decided to make some changes, even though we were already seventy five percent of the way done that really motivated us, and then other people came out of the woodwork. Wow. Guy named John who's a financial master coach in our area. He's active duty military actually took somebody else team out to shoot. At your farm at one point. Yup. But guys like that are just amazing and have a life coach named win a good, buddy. So we kept praying for people to cheer leaders. Financial financial piece actually provided that in a sense. Yes. Very cool. That's what it's supposed to very good way to go. You too. Can I have one other one other couples? Sure, our sister and brother-in-law Jinnah in Sam watching Mike start crying. I didn't think I would do that. Watching them wanna change their family. Really Spurs us on still. Man. Very cool. We'll wait ago you guys way to go. We got a copy of Chris Hogan's book for you everyday millionaires. You're going to be one in about twenty minutes. Man. You are on the way man, you are killing it. So proud of you guys. Very proud of you. Good job wanna rockstar. Couple absolutely cool. And you brought the kiddos with you started the whole thing. What are their names ages said this this guy here he wants to be in your chair? I think is Taylor. Okay. He is the man. All right. And then this little amazing cuteness is Tinley. All right, Taylor Tinley. And Josh and Lauren Virginia Beach Virginia two hundred forty one thousand dollars paid off in twenty four months making one sixty eight to two thirty seven counted down. Let's hear a debt free scream three two. What where? Oh. Love it. Excellent. Excellent job. You guys are incredible. That's how it's supposed to be done. Open phones at triple eight eight to five five two two five. Paul is in Minneapolis. Hey, Paul, welcome to the Dave Ramsey show. Hey, Dave, thanks for having me. Sure. How can I help? Well. So I listen to you about a year and a half ago and had I called in. Then you would've told me to write the check pay pay the debt off we had enough in our count to pay what we own it. And we did that hell is sort of unsure about it. But it feels tremendous and would never take that back. So anybody on the fence? I hope you take that. It's like my question is where on baby step five six more. So question is about number six, we've been gazelle pants. We've worked what we feel like is really hard. And now, we're staring at the biggest piece of debt, not consumer debt. But our our mortgage wondering how to get re motivated and mine shift to to really really attack the mortgage. I know that sort of sounds like it would answer it self. But is there any? Vice have for for kind of re revving the engine in that regard. You know, it's just a long slog is the I mean, it's like your your mouth fourteen on a twenty six mile run. Long way to go. And so what is your loan balance to twenty six in your household? About two fifteen. Okay. So when are you projecting you'll be done? You know, I feel like I'd moved to do it somewhere between ten and fifteen, but I honestly haven't even looked at closely. 'cause I think like I we'll just trying to try to change the mindset into now. This is this is the biggest goal. We haven't even gotten there to be honest. Okay. So you wrote a check before from savings and became debt free. And you have your emergency fund in place. Right. Correct. Yeah. Are you putting fifteen percent of your income away for retirement? We are are you doing a written budget every month that you're both agreeing to. Yeah, we've been on the same page, which is then really a great thing which that. And that's why that's why it's a little bit hard now because I looked up with two hundred thousand dollar income, and I don't hear ten years to pay off two hundred thousand dollar debt. I hear four. Yeah. And honesty. It's a mindset mind that shift, I guess is just gotta look at. Okay. What do I want to do with my money, and it's I wanna play through. So they don't let me payments of any kind because of the spiritual financial economic freedom that gives me to live and give like no one else. And so I'm not necessarily going to be gazelle intense. But I mean, making a quarter million dollars a year. Geez. Fined fifty and be done in five years. This is the Dave Ramsey show. Is with us in Buffalo, New York. Hi, alex. Welcome to the Dave Ramsey show up. How are you? I deserve. What's up? On a headache question on turned twenty years old. I have a Roth IRA. For about five six months, and and I am putting money away every month and the savings account, and I could put more my Roth IRA, but my question is should I take somebody put it aside because I do want to get into real estate investing as well. You're debt free. Yes. And you have your emergency fund in place. I have sixty three hundred dollars away right now. I'm kinda you need three to six months of your living expenses that aside six months of your living expenses set aside an emergency fund, then I would be putting fifteen percent of my income away into retirement funds. And then I would start saving towards buying real estate with cash. So is that what you would suggest to put money wait to buy real estate? Or is there any other avenues to get into real estate investing? I would not suggest you borrow money to buy real estate. I did that at your age. And I went broke number one. But number two, the the problem is is that people in real estate business buying large do not they do not have a good sensitivity. What risk they've really taken on? And so, you know, the ruined her will pay for it. They stuff like that with rented annoys pay. You don't even always have a renter. And so, you know, you could have a property vacant property worse. That's not vacant. They're tearing it down and not paying you can't get them out. And so you're gonna learn all those kinds of lessons owning real estate, and it's much much better to grow Eurostate portfolio slower and then not get yourself in trouble and actually get to keep the real estate. So I pay cash for real estate as I. Hi, it jazz is with us in New York. Hijaz welcome to the Dave Ramsey show. Hey, Mr. Ramsey hope all is love. How can I help? So basically, I just started listening to your program. And I realized that my finances are hot mess. So I want I have a student loan for forty thousand dollars in it's variable interest rate, and I have the opportunity of getting the forty thousand dollars from my mom that way, I don't keep paying interest. So even though I have like two smaller loans, should I just get rid of that forty and then just pay that back to my mom. You're not going to like my answer. I wouldn't do any of it. I would not would rather open lung people than your mom. Really get because she told me she wanted me to get notarized letter and everything to us for many back is is that it puts a strain on your relationship. Even in a best case scenario and your relationship with your mom is just a whole lot more valuable than a little bit of interest. Okay. I would just I would I would continue to stand on your own how much debt do you have not counting the forty and student loans? Fifty fifty three more fifty three total so thirteen more on what six on a car and another about I guess that's seven in another student loan the federal student. Oh, and what do you do for a living? I'm a tutor cool money making. So this year I'm supposed to make about fifty. Oh, good. Okay. And you're single, obviously. And in your twenties. Yeah. And I've tried to refinance that student loans without my dad is a cosigner, but I think part of the issues that basically my work looks like freelance I haven't been able to refinance some that variable, and I'm just paying more and more every month on interest. Would have to have two years of tax returns. Because you your work is self employed your ten ninety nine I'm sure right? So yeah, the. To get your dad off be a great thing and just get a traditional loan if you could get it. But no, I would not borrow it from your mom. Here's the thing. Fifty-three divided by two is twenty seven five. Okay. And you make how much. I'm supposed to make fifty this year. How much extra work can you pick up? That's what I'm after. Listen to show I'm going to try to get extra work anywhere. Really? 'cause I have a chemistry degree. So. Side, tutoring would be very valuable you could probably make twenty twenty five an hour doing that. When you think right? Yeah. And so let's pretend you did that for twenty five thousand dollars worth. That makes you seventy five, and let's pretend you paid off twenty seven thousand thirty thousand dollars a year, you could be debt free in two years. Okay. She how did that. Yeah. I feel like I've been trying to do that. And then it just doesn't work out. I was just trying to get out of it quickly. Well, there you aren't getting out of it quickly you removing it. I know you're getting out of anything you just change the name on it. Right. And the interesting interest is not your problem. The problem is you need to be putting twenty five hundred dollars a month on that. And if you do that in a little less than two years, you'll be debt free in order to do that you're going to have to be on a really tight written budget have no life. And be working an extra job. Right. And if you do that, you could be debt free in two years, and that's very very possible in your situation. A lot of the people calling in here doing their debt free screams worked very very similar numbers to what we just outlined for you. There. How to guy? Just the these people that very similar incomes. But you know, you're Li you live in expensive area, and you would need to get some additional income to make that work. If not you're probably looking at three years, but I want you to do the math like that. And lay it out put put put it on, you know, refrigerator door and Mark out bar at a time or something where you getting there the monitor or whatever metaphor you wanna use. I'm going to get there. I'm gonna get there. I'm gonna get there, and I'm gonna and I'm going to do what it takes to be free forever. Because if you don't you're gonna look up, and it's been a decade in the student loan still hanging around and ugly. Oh, Sally mail. How our own bedroom at your place, and she is not a good room. She smells Markaz with us in Springfield, Illinois. Hey, Mark, welcome to the Dave Ramsey show. Thanks for taking my call. Sure. I can help. In a not a good situation in the middle of a divorce. We obviously the the issue. I have is not trying not to take out a loan or borrow money with obviously the different bills coming in from a lawyer sorted out. Okay. And then then my Bill was doubled. What I expected it to be. So I did have to make one decision and cash out a small four one K to to get out of situation. So just kind of sitting waiting trying to figure out what the best route to go. So do what? Well, just as far as money goes. You know, what is your income? Ninety thousand. Okay. And so your law. Your Bill is how much. He's supposed to be every two about to grant every every thirty days forty five days. I got a four thousand dollar Bill so six thousand out the window. Rand, and you have no money. I mean, I've got eight thousand on the Bank and thousand dollar emergency fund. Why didn't you Roma checkout eight thousand to take an 4._0._1._K, and it will that was part of that are still some leftover, and it was only small it was four grand that I cashed out what you've are of that money thirty percent interest while you money sitting in the Bank. Between being separated moving out and getting my own place, and you know, just. In the banker, not what's that? Do you have any money in the Bank now? Yeah. Total eighty five hundred today today after your moved out and separated and had paid the lawyer six grand already. And how much more is the lawyer projecting. His fees are going to be. His estimated is is to grant every thirty days for how long is this going to go on? That's that's part of the issue. So you have four months and you make ninety thousand dollars a year. Why can you not do thousand dollars out of ninety thousand dollar income? Well, I'm hoping I can I can mathematically you Cayenne. And that's what you the answer to your question is you need to get control of your budget. While you're going through all this emotional stuff. You're justifying just going crazy with your money, and you're not paying attention to nothing in the car spinning around and around and around on the ice get something you need to sit down to a written budget. You make enough money to cash flow two thousand dollars a month. And you have eight thousand dollars in the Bank. You do not have a crisis. Senior executive producer of the Dave Ramsey show that you know, over fifteen million people listening to the Dave Ramsey show every week and a lot of people listen to one of over six hundred radio stations across the country to find a station near you had to daveramsey dot com slash show. Hey, if you've got questions about retirement investing of becoming an everyday millionaire, go bigger and broader with my man Chris HOGAN on the Chris HOGAN show. I am excited to be able to talk to you all weekend and week out. We're going to focus on your calls, and it's going to focus on building wealth investing, and how to become an everyday millionaire. Subscribe and the Chris HOGAN show wherever you listen to podcasts. Hey, it's James producer of the Dave Ramsey show. This episode is over but check the episode notes for links to products and services you've heard about during this episode. Thanks for listening.
Podcast #281 - Juliencast 2: Dink Tank
"Think. Think think hello welcome back. Welcome back to the PODCASTS. I'm here again amid. The week. PROCAM everybody. I hope if you're here in slash being. Having a great. Wonderful Monday! I hope you're healthy and well and maybe have a pet. To just like hold and pet furlough. Like no specific reason that's just kind of always a good thing to have happened. I have with me. My assistant today missiles. Back on his floating Orange Cloud. How you doing bud? Requested. Guests. That I have on this show, so. Welcome guy. How you doing! What you've been up to working on any big projects. Okay just sniffing around. That's fine, you know. Can All do everything? Anyway I'm super psyched to be back for another episode. Of The podcast Julian cast and I thought about doing a lot of different things actually I was overwhelmed to be honest, which is good? I was. Know I was rich with ideas from you guys flooding the comments and our discord. After last week. When I was basically like Hey, helped me with some ideas and you guys. Were you came through big time? So there's a lot of different. Cool ideas to sift through, and we landed on a really fun one today so I'm excited to do it. I, though this episode is brought to you by squarespace. Guys. If you're thinking about building a website, do squarespace they make the process of building website just so incredibly easy streamlined and they give you all the tools to really build the website of your dreams, and it really is a lot easier with squarespace than you might ever think. Building a website would be so right now go to squarespace DOT COM for a free trial, and when ready to launch go to squarespace dot com slash genitalium. Save ten percent off your purchase are your first purchase of a website or domain more on that later? squarespace's awesome. Also guys stitch fix. is another sponsor today online personal styling service that Taylor's. Style and clothing to you and your style and fit, and they send it to you in a box. You get an online stylus, okay? How fancy is that right now? Head over to stitch fix STI. Dot Com slash, Jenner Jillian and You get an extra twenty five percents off when you keep everything in your box, also the links are down below for sponsors more again on those later. Anyway. So. I. First of all. I'm excited because we have I have some good. I think I have some good content today all right I think I have some truly good content and the what gives me comfort and saying. I have good content is the fact that it's not my content, so I know it's gotta be at least pretty good right because it's not my, it's mine. It's mediocre I'm used to that. You're used to that. We all know. You. Guys are pitching in this week all right. You know. We all got chores to do. K., so this is our household this podcast and you know you guys. This week you stepped up and you did. A bunch of Jersey took the trash out the dishes. UNLOADED THE DISHWASHER! Modal on! I, don't know. You helped out, so thank you on twitter. We posted something along the lines of Hey, we're doing a shark tank podcast, but we want you guys to be pitching Julian me your ideas. Since I'm doing this Solo I felt like that would be a cool Actually someone in the discord suggested it so I don't have their name in front of me, but if you thank you so much for that idea, really awesome idea to be honest and I'm sorry to do it so basically the way it's going to work is pretty Dang similar to how it win the past except I'm the shark and so as marble. He is my honorary shark. You know when they have like the special guest. The special entrepreneur. Made billionaire rich guy who's just like. Hey, like I started this company and I best in this company and now I'm going to be on shark tank. Look at me. Everybody I got a suit. That's marbles. So. In front of me. I have ten different pitches from you. Guys pitching me. Your starting conventions actually I don't know if we should we should. Dink tank. We're going to call Ding tink. Your your ideas and businesses for a dunk tank What I was saying earlier though I don't know how many fucking episodes we've done. Billion episodes feels like at least spanned many many years doing episodes. and slowly you. If you were here from the beginning, you know that we were on a little, usb Mike's on a laptop and we have graduated to an entire room with an professional preempt, and like we sound pretty good i. think and you know, but we still you know in even most recent podcasts if we wanNA, play you. Some media were like holding our phones up. Being like okay. Listen to this video. It's really cool. I finally, hopefully, fingers crossed figured out. Not that it was even that heart just took, some effort figured out a way to place a media on on our preempted inhabit play through. The channels that you're listening to you're you're not listening to me holding up my phone through speaker that was long winded, but TLD arts going to hopefully sound better and also we'll have the videos playing behind me because in in the post for Ding tank. We ask that you guys record video of your pitch and I said you know it'd be fun to watch you guys pitch me your ideas so That's what's GonNa. Happen All right I'M GONNA. Sit back here. With. My fellow shark and we're GONNA. We're just GonNa Watch your pitches. Okay, so we have ten pitches I. Think they're going to be under two minutes. if you. First of all. We got a ton of them. Okay, so we'll probably if this goes well, probably do more. Down the line think tank episodes I like Colin tank. so if you were one of the people who submitted and you didn't get in. Just know that we have logged these emails that you sent us and they might make an future episodes because we definitely got a lot We got ten here today, so let's get started. K.! Let's jump into the shark tank. The Ding tank. and. And watch some pitches. Oh boy. I one is going to be a doozy. Already know it. All right here we go. Welcome the dink tank. Hello Sharks, my name is Jake. Bubble, stark and today I'll be asking you for two hundred eighty thousand dollars plus ten gram because I rolled my car in exchange for twenty percent equity, and the chance to work with me and I'll be pitching youth the opportunity of a lifetime. Gains were each shit every round letting your teammates down on everyone's a pro player, but with Pot Champ the scented candle t impending you'll heightened. You're gaining skills confirming you to be a faster stronger and better gamer one lit, and you're winning roughly a hundred and seventeen dollars, but trust me. It's worth it. Wow. Order now champ. Okay. Well thank you Mr Jake for being our first contestant in the tank today. What an invention what a niche invention that is! It's appropriate that I'm wearing my twit shirt, so it's a candle that apparently when you light, it enhances your gaming abilities. I have so many questions. What's The science behind this? I wish I could ask you these questions. What's the science behind this jake? Does use light account on one time, and then you were owning and the net then you decided. I mean it looks pretty great. I bet it smells good, too. Although! I will say a lot of people who game on a PC right? It gets kind of hot in that Room Candle Mike even more hot. It's a fire hazard. ooh! What was the? Was the asking price. Let's start over again one sick. Hello, sharks, my name is Jake, bubble stark and today I'll be asking you for two hundred eighty thousand dollars plus ten gram because I my car in exchange for twenty percent equity. You rolled your car. How did you get here? Oh, no. All right, so that's. To what he's eight to twenty plus ten, two, hundred, thirty, two thousand ten percent. Kind of likely going here and also I. You know what I appreciate about this pitch. Is that og? That face on the candle. That's a that's an email on twitter. Globally Moon on twitch, meaning that twitch owns the right to it. And, you definitely don't Jay, which I you know I liked that. I appreciate that Gusto just going out and grabbing something. That's not yours and repackaging it. That's my style right there. You gotTA deal. I'm in. pod Champ Candle. Let's let's go. Let's make. Let's make some fucking money baby. Right that was. What is what is in your background? Okay moving on. Thank you jake. Here we go. Hello Shark Juliane of the JJ podcast. My name is ray first time caller longtime listener. However I'm sure I'm not the only one who has trouble focusing on one thing at a time when there's so many things that I could be paying attention to it. Just kinda gets it hard to focus on certain things. Brain gauge is basically inexperienced maker for your little brain. It's slow almost me. say. Right there you could simultaneously experience watching. The movie stuck on you. Same time listening to music out same time watching videos, but you can do all of that wall streaming minecraft on twitch. Burn the testing phase right now on. It's going pretty good except like thirty to forty five percent of. Participants are experiencing minor side effects. Mouth frequent nose bleeds muscle spasms, mood swings. I don't to talk about that stuff, but I mean like other than that. They're consuming a lot more media than the normal person, and if you can invest like I don't know like a million or something. We can get the ballroom millions we can see where it goes. I'll take my answer off the air. Thanks piece. A million listen I. Don't know who you think you're talking to. Maybe marbles has a million throwing around here brain gauge. High let me tell first of all. Let me tell you what I liked about this pitch. K! Then I'll tell you what I didn't like. I'll tell you what I like. I I liked that you just went ahead and played out the scenario for me where you're implanting a an electronic device into my brain. I appreciate that and think that's very. That's why. There are very few downfalls to that. I think not enough. People are inventing things that go inside your brain so. Props you know what I mean, props. I liked that I liked that you animated. Your pitch I thought that was very creative here, very talented animator and you drew me. I mean Brownie points. If you want me to invest, and you include me in your pitch, you know. Well done now I want to invest. I. Don't like bloody noses cotton mouth. Those are some of the side effects that you listed. I'm nervous about getting them. I don't know that that would be fun for me to get those side effects. What do you think marble marble? Do. You want some side effects Do you want. You want some side effects. Do you. I don't think we can handle these side effects. I WANNA know. I'm just going to have to answer this myself because you're not here live, but. You're still in the testing phase. There's a little bit of risk to that. You're involved in something that go it's. It's like it's biotech goes into your biology, but it's tech. It's similar to that one. Episode of Shark Tank like way back in like season one or two or that guy like when it first started like ten years ago, this guy's like trying to market this Bluetooth. It's basically one of the Bluetooth speakers for your ear, and it goes like implant surgically implanted in your neck, or whatever, and then it just stays there. And then we changed the battery every ten years. Whatever the fuck and everyone's like your fucking mental and get out of here like that's nuts. You're crazy and the guy actually was pretty terrifying. Because there was an, he wasn't even laughing, he was like no this. I WANNA BE I. WanNa be surgically implanting something into people's. Bodies and th- I mean imagine having done that and then ten years later. You're the stupid ten-year-old Bluetooth device in my neck I can't get it out. Someone's probably monitoring me. So it gives me those kind of a little bit. Yes for a million. Say. We think a million's a pretty good deal, right? I mean think about it. We're on the ground floor here. The barely in the testing phase. This thing could blow up all right. You're in brain gauge we're in. You got our money. Don't blow it. Great Pitch. All right. Moving on to the next one. Starts like shirt. Have you ever travel and forgotten you toothbrush? I have. Actually haven't I don't even own a toothbrush as Those problems are no longer. I give to you. The teeth brush. Yes, the teeth brush. The plural. Of Tooth, With brush. Now you may be thinking. Isn't that just a toothbrush? No. No No. It's not because it is a communal toothbrush. Okay, everybody can use this toothbrush or can't. Jenny's public restroom as disgusting is right on the counter. You go to your. Public Park restroom. It's right in there. Absolutely red, said okay. You go to your. Fraternity. Bathroom. Absolute mess under the three Red Solo Cups and wound up ball of. Light. Here is the communal toothbrush. Everybody can use this toothbrush. Everyday. Anybody. Anybody can uses astute others. You, okay. Okay. Kids are starving. I lost my job. I can say. Okay I hear you okay well. First of all great pitch I love it. Thank you for explaining to me and all these different scenarios where you can use the teeth brush. So Am I buying that one is a company. Am I investing in your company? I don't know the deal here. I do like the idea that we're cutting down on waste. Okay, I will say that. If! You put one teeth brush. In say the lobby bathroom of an apartment building and it's it's for everyone. Think of how few! There are so many teeth. Teeth are going to be brushed with so many less previous toothbrushes, and now with one single teeth brush like you're eliminating waste. If ten people use the teeth, brush your eliminating nine single toothbrushes that would have eventually just been thrown in the trash and. Been added to the waste. So I like. I'm concerned. There are some medical concerns here. Some hygiene concerns here, if someone disgusting and sick used the teeth brush before me and left it there, and then I walked in and use it. Wouldn't that pose? A threat to me. You know what? It is a concern of mine, so here's what I'm GonNa do I'm GonNa. Give you a counter offer. Okay. I will invest in your teeth brush company. But for every teeth brush we sell. I want. A dollar, okay, this is a royalty deal. Okay, and then also, in addition to that I, want the shirt that you're wearing. Please I would like it. I would like you to mail it to me because I would like to wear it. I enjoy the shirt that you're wearing and I would like to enjoy it on my body now. but props for coming up with teeth brushed. You know this is another one of these inventions that it stems from something that we all know and it just you re. Wrap it a little bit and I. I liked that. I like that I. Like a little bit. Re wrapping here. So thank you I don't know if I. Cut your name Oh. Thank you. Help your kids are okay. Well. Moving on. Next Pitch. What we got here. Hello Sharks, my name is dean. And I have the product for you I bet you like coffee. No I I! Don't but I bet you do and I bet you all select jacuzzis and drinking your own bathwater. Yourself. I wish I could combine all three of my favorite things well. Dream no more with the coffee cousy. That's right. Our scientists have found a way to get coffee. Scientists drink your own filth water beads. Are Scientists have developed a drawer nice. Pour your favorite coffee grounds. Okay, you shut it and you press a button. Send scalding, hot coffee out. We tested it on ten people, and only eight of them screamed, so it's not that hot. It's only about okay. Thirty degrees fair. But, have you ever sat there and thought? I could deal with a bird. Have thought that exact. Yes. This is your opportunity at only six payments of five hundred and sixty five dollars. We can make your dream a reality. I'm asking for forty five thousand dollars. Okay, in exchange for. Point. One percent of the company, but you can also have. A coffee. I can have my own one. Wow Dean I'll listen. I'm excited about this offer. Don't pay attention to any of these other sharks. I want you to look at me. Okay. I like your salesmanship I. Like the idea that you've come up with her so many things that. I enjoy coffee I enjoy cousy. I also you know you said out of the ten people that you tested this on screamed. Those might have been happy screams. People screaming. They're happy. Okay? Ice Cream sometimes when I'm happy. We all scream. For Ice Cream and So, yes, some of them could have been really burned and potentially like permanently. Injured from this experiment, but you do have scientists, so you have your. You clearly are responsible adult. And, you're covering your ass here. I've always wanted to become a cup of coffee and I think this is now the opportunity to do that. I will say equity is a below. Point one percent for a lot of money. But I. do get my own coffee cousy. Here's okay. What do you think Mama you want to join in on? You want to go in on this one together. You can come into the coffee cousy with me. What if we get caffeine poisoning through? The are like what if we absorb too much caffeine through our? Skin and di-. Did you scientists check that we'll. We'll talk about that later I'm in Marla UN. We gotTA deal. All, right? We gotTA deal Dean. Thank you my guy great pitch. A lot great pitch. Right Coffee cousy what? You don't like that probably GonNa go to the coffee cousy. Listen, we can. We can hop in I. got a coffee cousy being delivered today. Okay, because we said yes, so we can hop in the coffee cousy later. We'll talk about the details of of the situation right you'll get. You'll get some time in it all right. You'll get part of the the equity to. We'll share it. Right. Good job. Next Pitch. We got vertical video. Toilet. Buddy a net a circular net that you put in your toilet to catch your change in your wallet from filing into the toilet. Formerly known! As Toilet Guard. Willett sponge. Haul it out sponge more absorbent. Softer than toilet paper. They're not easy. Everybody has to go to the bathroom. Can thank you. What a great pitch! Honestly you seem like you're in a hurry i. hope you got to where you're wherever you had to go on time because you. Literally ran into frame and RADHA BREATH I feel like I've heard that before. Marble. Have you heard that before like that exact same pitch? Maybe on a TV show. In an office somewhere I don't. Know you haven't all right, maybe it wasn't. Maybe it's just Vu. Honestly. I like it. I like toilet ideas so. Toilet Toilet Guard toilet, buddy, you know it catches your loose change your items that follow your pocket because there's a net that goes underneath your, but when you go into the. Problem with this I. See literally no problem with this and I would totally invest in it although I. Don't know how much money you need. I also don't know your name and I. Would I don't I want one of the products? So here's what we'll do. Okay this stipulation all right if you can get me a prototype in the next five minutes actually the next twenty minutes because once. We're done with this podcast I'll go test it out. And if I I'll I'll give it a little test run and if we like what we see here. You got my money all right. You got my money as long as this is your idea and it wasn't stolen directly from a television show, but I doubt that that's the case. So. Yes well done great pitch. Yeah I liked it. I liked it I liked it a lot. ooh, see gaming chair. Hello Sharks, are you? Around doing nothing introducing getaway castaways heavy duty, drone type aircraft that can lift cat up to speeds of one thousand miles per hour. Hundreds of micro fans built into the vice lives it up with these two star. Just set your cat under the vice. Press the start button here and watch academy flyway like a bird. Oh, my God that cats fly and reach heights up to twenty thousand feet. AGGIES can also be used, but if he's name is peach, it won't work. She's too fat. So who's ready to? Categories not responsible for damage death. If damaged deficit occurred, suck it up. Okay you. Do you through your xbox like five times for this pitch? Men, ten head pitch, the showmanship is absolutely through the roof here literally and figuratively. Okay this xbox went flying like three different times in that pitch so. You got my attention there Man I would love to see pets. Be Able to take little Rides in their aircraft's. If they need to go surveilled things. Marbles listen you know how you bark and stuff when you go out front and go back and you hear things and cars and people and noises, and you bark them. Imagine how much more fun you'd have barking if you were up in the Air Oh, sorry! You've been up the year before. Okay, you can go up there and your own drone now. What do you think that? Do you like that idea. Yes Peach would first of all peach would be able to get on that thing, but she wouldn't use it to survey all or to escape. She would use it to find food, because although she's not overweight anymore she would love to be. So As IGGY. Friendly and marbles can get on it to listen I'm all ears right? You Send me prototype. And And we got. We got a deal here all right. I! I don't know how much you asked for I? Don't know if you actually ask for any money. But presentation was so good i. don't even care. You can have my money. My models. They can have our money. They can have it. It's there's as long as we get one drone. Maybe some some return on our cash. Well Dan I hope your xbox is okay after all that. Anyway squarespace it's a great way to build a website. Guys if you ever considered building website for your your own personal business for an event for. Any any amount of different things in your life that you would ever WanNa website for squarespace makes that easy for you. Hey, bud, you can relax There's a lot of different things about building website that squarespace kind of breaks down into a really easy process in addition to that they have an awesome live chat function with award winning. Customer Support Twenty four hours a day seven days a week. You can hop on and get some assistance from squarespace help team, and they will. They will walk you through whatever you're going through wherever you're trying to build your website. and there are also so many different templates that you can choose from to really make the website feel like your own There's a drag and drop interface that makes it feel so simple and also guys counter reeves Jesus Christ based so that kind of is the pitch, so try it out. Go to squarespace DOT COM, get get a free trial and you like it, and if you decide you WANNA. Get a website use code. will go to the URL squarespace dot com slash Angeline or click the link down below in the description here wherever you're consuming this podcast to save ten percent off your first purchase of a website or domain live dream it. dewick with squarespace. Check him out. Also guys stitch. Fix Imagine that. Every clothing store that you shop at already understood what you love in close. Okay, what you prefer to wear what you know you good wearing. Okay, that's what stitch fixes. It's an online personal styling service that finds and delivers clothes, shoes and accessories that fit your body, budget and lifestyle so to get started. Go to stitch fix dot com slash Jinnah Julian set up a profile set up your size and the styles that you like how much you want to spend on each item, and you're good to go all right. There's no subscription required. You can sign up to receive scheduled shipments or get your fix whenever you feel. You're ready for some new clothing. Personal styled clothing, K. so they're styling fees, only twenty dollars, which is automatically applied towards anything you keep from your shipment, so you try them on at home. No pressure, you see fit guy and you only pay for what you love, so there's something that you didn't love you. Send it back and you'll pay for what you kept. So right now, go to stitch fix DOT COM Slash Dinner Julian save an extra twenty five percent. When you keep everything in your box, check it out or hit the link down below. Good stuff stitch fix all right. We got a few more pitches here. I'm completely out of money but I. Really just want to keep investing because you guys are really blown me away with these pitchers. All right here we go another vertical one. Shark thank you so much for meeting with me. My name is Kyle from Massachusetts and I am here to unveil my latest new revolutionary. Designed to help kids learn the alphabet using one of the biggest names of all time introducing do it with the alphabet. Yes doing it with the alphabet is a set of flash cards designed to help kids. Learn the alphabet using one of the best means in modern day history the doing it to A. During his two. CARDS INCLUDE DOING IT TO A. Doing it to be. Doing A to see. If you fast forward a little bit, we'll get such cards as Doing it to K.. Doing it to L.. And most importantly doing it to him. Now if you're wondering about. No need to worry, we have tended to the said on a number of baby and it has shown in. Number, baby So if you're all interested in investing, all we're asking is. Just a meal, just a little bit of food for us over here because we are starving, and yes, we will get to work on setting out doing with the alphabet to single child in the entire world, so make sure you invest right now. We a deal friend deal. Shake my hand. Ken from Massachusetts I think your name is Ken Wow. What a pitch! Man. I'm so excited about this idea and I love that. You I think I think you said you tested on baby. Or infant or something and I find that to be so smart. Okay, this is a learning tool. This is a game and a device that's meant. To, help, people At a very young age as a developmental. Tool to help them learn the alphabet such an important thing to know and to do it with fun. And memes. Also man doing it to 'em line that just that sells the whole product, so you tell me what food you guys are hungry for I. Don't Know How many people you have on your team. Hopefully, we can afford to send you. I don't know maybe a little bit of food keeps guys going over there, but if that's all you're asking. You gotta deal right marble doing it to him. Due to a doing it to a fast forward to doing it to 'em. I like it. I also wonder. Like if that is a child's first exposure to the alphabet. How truly how fucked up with a become? That every single time you think of any letter ever again in their life. They're gonNA think of that mean. 'cause I like the Nice Nice as I'm talking about. While done great pitch. Gray pitch tenant. Wow. We go. Hello, Shark Tie France I want to pitch my idea for windshield wipers for your classes and having glasses myself? I've always wanted some way to be able to see when it's raining. Walking on the sidewalk, these could be installed sell separately in the store, or we could partner with manufacturers of glasses and have them as an option like blue light filters and stuff for classes. We purchase them. I'm open to give you one hundred percent of my company. for two billion dollars or a seven percents, seven percent royalty fee for every pair of glasses made. Wow, these demands. And then she was gone that it was a lot of money that you just ask for. I don't have that kind of money and I seven percent royalty. Of every pair I WANNA be in debt for the rest of my life. Although I do like the idea. I like the idea of having electronic little mini wipers on the outside of your glasses to. When when it's raining right, so it brushes away the rain. Here's my counteroffer. Okay, all go into business with you if you. Expand Pass just having the rain wipers. But we also offer inside wipers on the inside of the glasses. For when you really are crying brought. And your projectile tears getting in the way of your vision and clouding up your glasses. Then you will have on the inside. It will detect sadness and tears, and it'll come right. Here will wipe away the tears so I think we should have rain guards and tear guards. Okay, we should offer both both individually. And as a bundle okay. And if you bundle them together and put them on your glasses, only way to pounds per Lenz so it's really. Not Too bad if you think about it. and. At the very least it's a nice little neck workout I. Don't have the kind of money Some billion dollars that Yes for although I mean you sound like you're fun to work with. Maybe you can take. Maybe you could take my idea, okay. To expand the business and let me know your answer if you'd like to. Take this pitch into a different tank. and. We'll make a lot of money all right. I don't know I just like. How do you power them? What's the battery or they solar-powered? What happens if you live in Alaska when there's like a couple of months where you never see the sun? Do we just want to Alaska then maybe. HAVE WE WON'T SHIFT TO ALASKA. Fuck it. We're never shipping to Alaska even in the summer. None No. Alaska can't have this product. Well done, thank you for the pitch and I'm in hundred percent. I'm in. Let's do this. Let's get cracking baby. All right. Next pitch here we go. Hello Shark Hi. Name is Kate Spelled K. E.. G. H. T.. have. You ever taken a bath before. If you have you understand the sorrow that comes when the bathwater becomes cold, young pissing blown, simply plug into the wall socket, and then insert in your back. You'll become toasty immediately. Now critics say resembles a blow dryer and sometimes even a toaster, but no, it's not either of those things. It's blow me okay. By asking price. Anything I have some unrelated lawsuits on related. Don't way, but. Please give me your money. You sound like a straight up person. Okay and I trust you automatically I'm inclined to give you some money I. WanNa. Help you cover those legal fees of whatever you're dealing with. That sounds completely unrelated that you're. Definitely the victim of The products scares me. But I kinda like it. Right, You said it it look. It resembles a blow dryer and toaster oven. You put it in the bath and plug it in. I'M NOT ELECTRICITY NORMA SCIENTISTS. But. I think that's a good idea. Because Trust me I've been in a bath and when that water gets lukewarm and then starts to make its way too cold. You just you not be in there anymore. But twenty minutes ago when you're in there, it was wonderful it was hot. Your muscles were loosening up. You're relaxing and then all the sudden. It's just lukewarm and you just feel like you're. You're just in like nasty. Cold filth water so. Shocked me up right? Shocked me up with this. Maybe we could rebrand the name. Might. The name might cause some problems. But the product seems. Honestly the proxy fine to me. I don't see any issue with it whatsoever. Yeah, no I liked the product. I'm in I'll give you some money a good look in your legal battles with whatever you got going on I. Hope you can get sorted. Really sounds like you did nothing wrong and Thank you for the pitch. Right, thank you for that pitch. All right last pitch of the day all right. Last pitch of the day ending tank. We go. Our idea. Is Really. Jet Packs. wheelies. Press your regular. Roles. What would? Work. You gotta get. You gotta get to. SPATARO ideas. But with jet packs, are you guys get my money as the best pitcher the night? I just love how many times you both said, but with jet packs because literally any pitch, any sentence is. Improved when you add, but with jet packs okay I like how the pitch morphed, too. Because I've identify with that right where you start a pitch as one thing, and then by the end of it, you've kind of pitched a completely different product at the beginning. You were you were marketing? Believe you were saying Healy's with fire. I love it. And then at the end it was rollerskates the jet packs, but with jet packs. And I like all of it. I just like all of it I like the I. Like the Energy I like the pitch and I like when you end a sentence with with jopacks. So whatever money you guys want. You got it okay I'm in. You won me over I also I. Hope Whatever meal you were sitting down for. Here was Yummy i. don't know where. I feel like I could hear other people. Maybe this is just your house, but regardless of you guys had a great evening. Thank you for your pitch, but jet packs. Actually you know what that's. That should be the name of the company, but with jet packs, and then you just sell jet packs for every little thing that you would want to put a jetpack on of all different sizes. But with jet packs, that's the name of the company brilliant I'm in I'm in. I love it. Now I want jet packs on my shoes and my phone and my water bottle and my dogs. Maybe, not my dogs. Well. Thank you for your pitch. Thank you everyone for your pitches today. It was a productive day in tank. I will say. I think we're GONNA. Make a lot of money. But me in you. We went in on pretty much every one of those pitches I know you didn't agree to it, but you know I talk to your accountant and I think we can. We can swing it you and me I think we can swing it. well, anyway. Thank you for hanging out. Hanging on the Ding tank with me. This is a lot of fun. I'm hoping that all of the. Audio of pitches were. Much better to listen to, and it was part of the computer audio, and the routing of my mic, rather than holding up a fricken iphone over my mic, so I hope that worked out better and actually like being able to do this has opened up quite a few possibilities to be honest like we've talked about and when I say we I mean like me and you guys stream also in the discord. There's been a lot of really helpful discussions and comments about what I should do in the podcast, and there's been talks about having you guys on as live guests been talks about having some of my friends on as guests. Both in video form, but audio form, but in general, it's just kind of really cool to be able to. Be Able to record the conversation or recorded video that I'm watching or something like that right? I'll be able to do a lot more with it that way so. I'm glad we did it and I. I'm completely broke now. I've given all my money to you. everyone who entered the Ding tank today, but I really do believe I have a strong feeling that I'm going to make that money back because you guys are smart, and these are great ideas and I. See anything getting in the way of these ideas making all of us very rich. Very, very rich especially, but with jet packs. Anyway thank you guys for listening watching hanging out with me on the podcast today I hope you got some enjoyment out of it. we'll be back next week. MARBLE YOU'RE GONNA be back next week. You GonNa. Join me my guy. He enjoy me. Back next week with another episode, I do encourage you to keep. Hitting me with those ideas in the discord and in the youtube comments here our discord. Is really really awesome? We have kind of a bunch of different sections for a bunch of different things. one of which is the podcast suggestions group see you guys can jump in there and leave your suggestions, but anyway. Thank you so much for joining me I appreciate. All of you and I hope you have a wonderful week I'll see on the next podcast. Piece.
Tue. 04/16 More Fun Tax Returns; Bill Weld Challenges Trump
"Welcome to the formerly ride home for Tuesday. April sixteenth two thousand nineteen. I'm your host. Chris Hogan's today Bernie Sanders releases his tax returns. Phil weld is officially challenging Trump and the Republican primary wealthy. Democrats are worried about Sanders. Most of the democratic Q one fundraising numbers are officially online. How the polls matchup with the money and Beto Aurore releases ten years of tax returns to here's what you missed today from the campaign trail. Yesterday as promised Bernie Sanders released ten years worth of tax returns, including his twenty eighteen return in a statement on his website the Sanders campaign stressed that he had been releasing financial disclosures since nineteen Ninety-one which is when he started serving as a member of the house, but those were not tax returns. The statement also said the Sanders had not previously released returns because it was quote standard practice at the time and quote for only the final nominee to release those returns. Well, okay, clearly times have changed and the released today shows the Sanders has acknowledged that. He said in a statement, quote, these tax returns show that our family has been fortunate. I am very grateful for that grew up in a family that live paycheck to paycheck, and I know the stress of economic insecurity. That's why strive every day to ensure every American has the basic necessities of life, including a livable wage, decent housing, healthcare and retirement security. I consider paying more in taxes as my income rose to be both an obligation and an investment in our country. I will continue to fight to make our tax system more progressive. So that our country has the resources to guarantee the American dream to all people and quote. Alright. So what are those tax returns? Actually, tell us. Let's start with twenty eighteen as we have for all the other candidates who have released that year Sanderson's wife Jean earned five hundred sixty one thousand dollars and pay just under one hundred forty six thousand dollars in federal taxes. They also donated about three. Point four percent of their gross income to charity which works out to about nineteen thousand dollars. The campaign also noted that one of Sanders books has all its profits going straight to charity, and that money is not reflected in the returns, so digging into those returns opened the PDF for two thousand nine the first year released which is filled out by hand presumably by Bernie or Jane Sanders, and whoever did the return made a mistake and crossed it out on the very first line. And I think we can all relate to that one tidbit the jumps out immediately. Is that Bernie Sanders has no middle name just file that one away as a little factoid for your next cocktail party. Okay. So back in two thousand nine that first year released they had a combined income of three hundred fourteen thousand dollars in that year. They gave just over six thousand dollars to charity which was about two percent of their income. It's unclear how much each of them made from their work as the w two forms are not included. But we can make an educated guess because Senator salary in two thousand nine was one hundred seventy four thousand dollars. And by the way, that's still with the salary is for a sitting Senator now in addition to regular income back in two thousand nine there is a little money in there from the pension and some from social security, and the story in two thousand ten is very much the same similar numbers in terms of income and charity fluctuating little as you would expect from then all the way through twenty fifteen the pattern basically continues. They make more than two hundred thousand dollars each year and some years more than three hundred thousand and then in two thousand sixteen it's over a million dollars and again in two thousand seventeen but then in two thousand eighteen and like I said earlier, it's just half a million now as Santa's already explained to the media and as these tax returns demonstrate the explanation for that change is very simple. It is income from several very successful books. At least the ones where they didn't give away the money to charity and note that Jane Sanders, also got a nice advance for. For her upcoming book. And that's in there too in the Washington Post, Michael Kranish? Sean Sullivan looked at those returns and focused on twenty seventeen and twenty eighteen they wrote quote Sanders and his wife were in the top one percent of all tax payers for those two years. According to an Internal Revenue Service calculation that said such people had an adjusted gross income of four hundred eighty thousand dollars or higher by comparison. The average income for an American household in two thousand eighteen was sixty two thousand one hundred seventy five dollars, and quote and the post also asked an expert to look at the twenty eighteen return, quote, Daniel Cheviot, New York University school of law, professor of taxation who examined the twenty teen return at the request of the Washington Post said the return with straightforward now quoting Chev Eurohear. He didn't do a whole lot economically or tax wise other than earn his Senate salary social security income and book royalties as well as paying. State and local taxes and giving about nineteen thousand dollars to charity. Shapiro said this clearly is not the tax return of someone who does either a lot of tax planning or complex investing and quote. And here's a tweet from Nate silver on Twitter. He wrote quote as always with these things who the hell knows. But I'll bet the only Democrats who are deeply bothered by Bernie having made a bunch of money from book royalties as was already known from his Senate disclosure forms are Democrats who wouldn't have voted for him. Anyway, and quote now, the key takeaway from this story is you've got a democratic primary field with tremendous income disparity. Among the candidates, the lowest income I've seen so far is governor Jay Inslee who along with his spouse made two hundred two thousand dollars last year, the highest I've seen is comma Harris who also with her spouse made one point nine million dollars last year. Most of that from the spouse in the middle is it was with Warren who made about nine hundred six thousand dollars. With her spouse last year, the point is these numbers are something we should examine and ask questions about. And now Sanders has joined much of the field, and allowing us to do just that. The primary ride home is brought to you by anchor this show, the when you hearing right now, we'll I put it together on anchor. What is anchor you ask? Well, it's a service that gives you all the tools you need to record at it slice and dice your podcast and post it all for free. You can use anchor rife your phone seriously. If you're in the field, and you've got a phone you fire up the anchor up, and you can start making your podcast, right then. And there it's also in your computer, pull up a web browser and boom, you are making podcast the results. Sound great. It has pro quality stuff. Like, you are listening to this show. Right now sounds great. Right. This ad and the whole show was recorded on anchor for free. I'm not paying hosting costs. And that's a bargain anchor. Distributes your podcasts everywhere your audience wants to listen, I'm talking Spotify, apple podcast, Google podcasts. Overcast you can also make money from your podcast with no minimums on anchor. They bring the ads to you. So download the anchor app or go to anchor dot FM to get started again. Anchor dot F M and there's an app for it too. Last night. Former Massachusetts Governor Bill weld went on CNN and announced that he is challenging President Trump in the Republican primaries. Now, let me be super clear here. I do not know much about the Republican primaries. And I am not sure what to make of this. So let's look into it together, shall we? So well told Jake tapper on CNN, quote, I really think if we have six more years with the same stuff we've had out of the White House the last two years that would be a political tragedy, and I would fear for the Republic. I would be ashamed of myself. If I didn't raise my hand and run and quote tapper then pointed out that about ninety percent of Republicans currently approve of Trump and like I mentioned yesterday. Trump's campaign just raised thirty million dollars in the first quarter of this year for his reelection campaign, so tapper ask weld, do you really think you can beat him in a primary and weld said quote. Yeah, I do I've done it before particularly in New Hampshire. Spending a lot of time. It's one voted a time and one voter at a time, and you've got to meet him. But you know, what we have now is a president who mocks the rule of law. I spent seven years in the Justice department trying to keep the politics out of law enforcement. He's trying to put it in a president. Who says we don't need a free press who says climate change is a complete hoax. He's not paying attention. I doubt very much. He's made a study of any of those issues. He seems to have difficulty in my opinion. And I was a prosecutor for quite a while. He has difficulty conforming his conduct to the requirements of law. That's a serious matter in the Oval Office and quote. Well, that's Bill weld for you. He spoke a little more about his campaign strategy, and how the current president is actually pretty unpopular in certain states, especially California, and how voters might welcome a second option, and he aims to be that option to be someone with more traditional Republican values. Having said that an article in the Washington Post pointed out that weld has not won an election since nineteen ninety four and has recently twenty sixteen. He ran a libertarian ticket with Gary Johnson in an interview with Stuart Stevens who was weld strategist. And by the way, was mitt Romney's twenty twelve chief strategist Steven said, quote, it is a long shot, but it certainly less of a long shot than Donald Trump was when he announced and no one thought he was serious totally. He's going to run a very different campaign. He's not mad at the world. He's not a victim and quote Stevens later commented on some other possible. Republican primary challenger saying quote, a robust Republic. In primary would be a great thing and quote, okay? The strategy here is clear try to make waves in New Hampshire which is the first state to vote in primaries yet, there's the other states and all that stuff. But if weld manages to do well in the New Hampshire primary that may be a serious problem for Trump. Here's some more from Stevens. Quote, New Hampshire likes to surprise. The history of New Hampshire is to give candidates really serious. Look any insurgent campaign has to do well in New Hampshire history shows us that and quote, and he is right about that. And by the way, weld is from Massachusetts, which is right next door to New Hampshire. So it's almost like a hometown crowd for him. Let me quote to historical examples here. And again, this is from the Washington Post story link in the show notes quote in nineteen Ninety-two president George H W Bush faced troublesome run from the right from commentator. Patrick, j Buchanan who embarrassed the incumbent by winning thirty seven percent of the vote in the New Hampshire. Primary and. Fighting Bush until the national convention. The weakened president lost to Democrat Bill Clinton. Similarly, president Gerald Ford had defend off Republican challenge from Ronald Reagan in nineteen seventy six before losing in the general election to Democrat Jimmy Carter, and quote now the concern here is not really that. Trump might lose the Republican primary to somebody else. At least today that doesn't seem remotely likely. It hasn't happened to an incumbent president since eighteen eighty four when Chester a Arthur manage to lose to James Blaine at the Republican convention that is as we say ancient history. No, the concern here as reflected in the stories of George H W Bush, and Gerald Ford is an active Republican primary would force Trump a his campaign attention between challengers in his own party and the democratic primary field as well. And he'd be doing all this while still running the country. So stay tuned. We may or may not have more coverage of. This Republican primary matchup. But for the moment, the news is overwhelmingly on the democratic side. In a New York Times article today Jonathan Martin goes deep on the possibility of a contested convention and specifically one in which Bernie Sanders is a major player. Here's the first bit from his article, quote when Leah Daughtry a former Democratic Party official addressed a closed-door gathering of about one hundred wealthy liberal donors in San Francisco last month. All it took was a review of the twenty twenty primary. Rules to throw a scare in them. Democrats are likely to go into their convention next summer without having settled on a presidential nominee said MS Daughtry who ran her party's conventions in two thousand eight and twenty sixteen the last two times the nomination was contested. And Senator Bernie Sanders is well positioned to be one of the last candidates standing. She noted. I think freaked them out missed Autry recalled with a chuckle and assessment that was confirmed by three other attendees, they are hardly alone, and quote, so the story here is that some rich donors and the Democratic Party are concerned about Bernie Sanders because weird stuff can have. Happen in a contested convention, for instance, he might have such a large chunk of the vote going into the convention that someone would have to cut a deal with him leading to some kind of bizarro ticket where it's unclear who would be on top or how the ticket might even work ideologically. The core concern seems to be about party unity and making sure that somehow those Sanders supporters lineup behind somebody who might not be Sanders. This quiet effort is called. And I'm not kidding stop, Bernie, and you know, who hate stuff like this. Bernie Sanders supporters come on people. And this is literally a story about wealthy elites trying to stop a populous candidate who is currently leading in the polls. And how exactly is that good for party unity? Look if you ask me it is mid April twenty nineteen right now. And we won't see a primary vote until next year. We are still getting major new candidates joining the race. I'm looking at you Joe Biden, and there is a ton of time for all this stuff to shake out. Let's continue paying attention and having. A serious discussion about issues that is where we ought to be right now. All right fundraising time, if you look at jingle for that or something as I mentioned yesterday, the democratic fundraising numbers for q one are starting to appear online. They're not all there yet. I'm sure there's some team at the F E C working to like cut and paste the numbers into the thing. But again, there's a link to the F E C fundraising database in the show notes. You can go see for yourself. What all the numbers are across all the primary candidates for all the parties and the news here as much as there can be any news is kind of slim the top part of that top ten ranking. I read yesterday remains the same in terms of q one donations. Nobody was holding out on us, except maybe John Delaney who lent his own campaign a little over sixteen million dollars, which is not really fundraising in the usual sense. It is interesting the candidates like Houston gillibrand with Warren are now able to include their previous campaign money in the Bank for their new campaign. But it's not new money that they raised. However with those numbers you. Can get a sense of who has how much money on hand in the primaries right now, and you can see who is spending a lot, and who is not now there is some news near the bottom of the pack. Washington state governor Jay Inslee raised two point two million dollars. And that's the first we've heard about that that puts him ahead of two candidates listed yesterday. Andrew Yang and Hooghly on Castro. Also, we've got former Colorado governor John Hickenlooper with just over two million dollars. Which again puts him ahead of two candidates. I mentioned yesterday, and then there's Marianne Williamson candidate I have not mentioned before on this show who raised over one point five million dollars. Williamson is a super popular writer lecturer and activist. And she is probably best known as a spiritual teacher, and friend of Oprah Winfrey. Even though her initial fundraising is fairly low Williamson is a candidate with a large and mainstream social media following not to mention her traditional media following she's appeared on a ton of TV talk shows. So keep an eye out for that. Campaign because Williamson has the potential to break through to the mainstream in a way that many other smaller candidates do not in any case we continue to see a democratic primary field where the q one numbers mean. Bernie Sanders is on top comma, Harris and second place. We're pretty darn sure. Better auroras in third, but the numbers aren't up there yet. And then there's everybody else I'll keep you posted as more numbers come in. Now, a whole segment about one tweet. So there's a tweet this morning from Harry, Anton, who's a senior writer at analyst for CNN in the tweet Antin compares, the total Q one fundraising as a percentage of the overall primary field fundraising versus the real clear politics average polling for each candidate. Okay. That's like super mouthful. What does that mean in plain English is trying to figure out are Democrats giving money in the same percentages to the candidates that they say they support when pollsters asked them who they support? Okay. That that makes sense now it's really hard to read a tweet with a ton of numbers in it out loud. And have it make any sense? So I'm just going to summarize this engines point is that if you rank the RTP polls, and you rank the Q one donation numbers they line up very closely. In fact, the top five candidates are right in line with no deviation. Their ranking though, the donation percentages differ by maybe a few percent. Points. So the answer is yes, Democrats are putting their money where their mouths are. They are spending in line with the candidates that they say they support and those top five candidates again our Sanders, Harris Aurora, Buddha, judge and Warren. And last up today another story on tax returns. I promise I will keep it quick yesterday. Better Aurora joined the growing movement and releasing ten years of his tax returns. Though. He did not release the twenty eighteen return. He did promise to add that one to the list soon in the most recent year available which twenty seventeen Aurora and his spouse Amy earned over three hundred sixty six thousand dollars. This is a little up from previous years, which range from about two hundred eighty thousand dollars way back in two thousand eight to three hundred thirty thousand dollars in several recent years in two thousand seventeen aerobic paid about eighty one thousand dollars in taxes and gave about one thousand two hundred dollars to charity. The only outlier in those numbers compared to other candidates is the charitable contribution, which is notably low. It's less than one third of one percent of the overall income, and there's not a lot more to say here again, you can go look at the tax returns. But what you have here is a candidate who fits right in with the group of candidates. Near the lower end of income are earning somewhere in the neighborhood of three hundred thousand dollars, plus or minus annually. I have yet to see a major candidate in this primary who reports making less than two hundred thousand dollars a year. And I will definitely tell you if I do. That's it for the result of the primary ride home. I've been your host Chris GAN's, you know, the time in every podcast life when the host asks listeners to leave a review on I tunes those reviews and ratings help people find the show, it's a big part of how apple recommends podcasts to new listeners. So if you're enjoying the show, I would love it. If you would take a moment to leave an honest review, and I tunes. Thank you. And I will talk y'all tomorrow.
Life with ALS Podcast Ep. 17
"Welcome back to the living healthy podcast, presented by LA, fitness. I'm Andrew, and I'm Candice and on today's episode we well, we're not going to be doing is a challenge, but we are going to be learning about quests and the disease known as AOL s or Lou Gehrig's disease. Now, if you've been inside in LA finesse over the last nine years, you've probably heard the term August quest. And that's because every year in the month of February LA fitness along with the rest of the fitness industry rallies together to help raise money to find a cure for als. So far elephant has raised over two hundred eighty thousand dollars to help fund research and this year were making it super simple and quick to donate. Yes. That's right. This year, you can text to donate. Just text the word Oggy two four four three two one. That's eight U G e two four four three two one. It's really simple. And you're probably already on your phone listening to this right now. So get yourself some good karma and text Augie four three two one. And you know, what if you still aren't sure? If you wanna donate a few bucks. Just yet always ask is that you at least around and listen to the episode. So that you can educate yourself on what it means to have ale less now without being said, we'd like to welcome onto the show are very special guests. She's the wife of Augie and a board. Member of the ails therapy Development Institute were so thrilled to have her on the show. So please, welcome linito. Thank you. Thanks for having me. Thank you for coming in and doing this podcast with us. We wanna start off with the basics. So can you kind of explain to us what is less so is a neurological disease that affects the spinal cord in the brain and its communication with the voluntary muscles at the body. So anything you can think to move whether it's exercise walking brushing your teeth. Those are the muscles that are affected and the ones that really are the most serious are your breathing muscles 'cause you can hold your breath. But he can't stop your heart beating that's an involuntary muscular. But you can't hold your breath. So your diaphragm is affected and that sweat ultimately kills most people they LS. Oh, wow. Interesting. So I mean for listeners if you literally just tap the screen with your finger right now that is like a voluntary decision with your muscles. And that's that's those are the kind of motions that slowly deteriorate and go away over time when you have the disease. Correct, correct. Yes. Who are the people that are like primarily affected by this disease? It's not it's all over the board. It's most people in the prime of their lives are thirties forties fifties. But there's children with it. Not very many. But older people it tends to men and before the age of menopause little bit more heavily weighted toward men. And then it goes kind of fifty fifty after the age of menopause at tends to athletes. Yeah. That's something that I it's really seemed like we had we did a story on a man in Chris me has and he he was always surfing active surfer constantly, and then and then he was diagnosed with LS your husband was just like super active uphill in the fitness industry. Same thing with him. And then I just read a really good article on the players Tribune, the you posted on your website. August quest at org that was about a football player. Pro football player that played in the NFL for a few years. And he had a great great article that he wrote personally a letter to himself. I definitely highly recommend reading it. But that is interesting that it's athletes, and that's what's so interesting about that is it so Iraq. Onic in a sense because these are like the peak physical human specimen, essentially, and they get the disease that completely strips that away it is and that hopefully that can illustrate like how destructive this disease is really. Yes. Can you talk about your husband Augie? So he started off as quest. What you're did. He start quest labor diagnosed in two thousand five okay? We started obvious quest. Shortly thereafter, after we can looked around and saw that there wasn't affected research being done defined treatments and ultimately care frail s so that's coming up on fourteen years ago, which is very unusual in last because most people pass in three to five years right to five years. I think the statistic is about ten percent of people live past ten years. We know where the lucky one of the lucky ones, and that's so good because he's the founder of this. Organization that basically is trying to help anyone that suffers from L S to help find cure, can you tell us a little bit about Augie story about his history because he has a really interesting history and connection to the fitness industry in particular, and at Claremont high school or Claremont college excusing and his junior year. He started life, fitness. What's the first product out of life? It's the life cycle. And it was at a point in time where the fitness industry was sort of the old school gym the guys went in there. The women aren't there cardio wasn't wasn't really present in gems. And so that was the beginning of the cardio revolution. And gems as known today, and that was basically the first the first product that was there and with life is basically if you're listening to this podcast in you're in one of our gyms right now look down, you're probably on a life in this machine doing cardio seriously. It's like it's in. It's ubiquitous across all the gyms. Everywhere. And so he kind of started that started the cardio revolution. Any kind of built this up and kept going. And then what was you said? He was diagnosed in two thousand five five so how long to his career. How old was he when he was diagnosed forty seven whose forty seven what was your life like before the diagnosis and then after the diagnosis? Wow. That's a big. That's a big question before super active physically traveling. He had left a life Innis and was the chairman of octane, fitness, which you probably have in your gems as well for many years, and it was just a shock at the very beginning. Then kind of got involved in argues quest and decided to take his enterpreneurial spirit, and what he's really good at and apply it to the space and research, so. So that's when we partnered and began to fund of AOL S therapy Development Institute in Cambridge Massachusetts, which is the world's largest not for profit ale s research translational research institute, and that's all we're looking for is treatments, and ultimately, a cure and as of two day, actually, we have our first ale s were in phase one trials as of back in the last quarter of last year. But this week is the first week that we're actually having anyone with a less receiving the drug in our trials. All right. Let's big news. That's huge news as awesome. That is. I wanted to ask you you had mentioned that Augie had it for about fourteen years. How does it affect people differently? I mean, why are some people able to live for ten years and others or taken a lot sooner than that. I think a lot of it is being the whatever ale less you have some people are gonna new year. There's some types of AOL start in the in the facial regions and it's called bull bar, and that's about a quarter of the people in it tends to go to the diaphragm much quicker. Inaugural case presented I in his arms usually starts with either arms or legs and then spreads to both. And then to the rest of the limbs, and that's can be a slower progressing. I think I'll also has been super proactive and having a feeding to before a needed it. He has a diaphragm pacer. That's basically kind of like attends machine for your diaphragm. That help for years. He used his bypass machine that helped him breeze long before he really needed it. And then ultimately decided to get tricked. So he is on ventilator. He uses his computer with his feet. He's kind of been ahead of the curve all away. But it's it's hard to be on a ventilator. It's it's a lot of maintenance is a lot of care. So he has twenty four hour care, and we're lucky enough to be able to afford that. Right. Most people don't and we did. Yeah. We did wanna talk about that. There's the site of when you someone has AO s you obviously see that person go through a OS and you see their body deteriorate and slowdown. But maybe what people don't realize is that ails affects more than just that person. But it affects the family as well. Can you talk about your experience with being in that position of being the support a family member and everything you have to go through on a date? A day basis. I think getting back to this idea that we're lucky were not the quote, unquote, normal family, and that we've had fourteen years to figure out how to do things differently. We've had the resources to try and fail at things Aussies really tough. He's gone through an awful lot. If you saw what he has to go through to get a day. I I'm not certain I could do it. So we've we call it. This is our normal. And I don't really think about it that much anymore every once in a while, but most families dealing with this. They're just trying to get through that day, and the changes that have happened in that day. So I feel fortunate and our situation that we have a guide such a good attitude. He's brains sharper than ever he has purpose to his life. He's frolic. Purposes is doing well with the disease, and so I just kind of think my lucky stars that we're in the situation that we have and that were able to do with our team, and and all the the hard work that they do and the money that we've raised we've got a couple of other drugs in the pipeline that will probably spin out and the next eighteen months, and we know this is going to take a cocktail of drugs because there's different types of AOL s can we talk about the drug that is the digits go into effect kind of back few months ago. It was eighty fifteen o one and has one of those numbers things. Why was that kind of groundbreaking step for argues quest where the only not for profit in any in any disease indication that's ever gotten a drug this far on around while. So and I think that gets back to Augie came in to the into. That existed before and took over the chairmanship brought a new board members. And just said, look, we're running this like a business. We're not going to run it like a non for profit. And so it's very milestone driven research, and it's officiant. It's fast. It seems like it's slow as molasses to me. Sometimes it's fast in the drug development space and all the money that's raised through. August quest goes to this therapy Development Institute. Correct. Yes, it does. I wanted to happen. I was fortunate enough to be able to see the documentary that came out at premiered at the Newport Beach film, festival not mistaken your GIO and your ago. Yeah. Augie it's amazing. And I just wanted to say the thing that was most surprised about is how funny like the sense of humor that Augie still seems to have dealing with all of this it it showed, you know, a bunch of different size and kind of what he went through. But how does humor help? I don't know. It's just always been part of our life. And it's it feels like why not? I mean, if you can't laugh, I mean, it's not all the time. But it's I don't know comic relief is pretty powerful in our lives. So I and he's always been funny. He's always been. Super inappropriate. He's the same guy. He just asked to use the computer to communicate. Now, he's the same guy inside. Yeah. It was a reminds me. I think the line that leads off the trailer is he's talking and he's already been living with for a while. And he says something like every morning, I get to shower with my wife, and then there's a pause, and he goes. Oh, yeah. And then you're like inappropriate. So I think that's a good tone set that you do have to win you live with something so dramatic as AOL S a disease like this. You do have to find a way to laugh in the darkness. I mean, some of the best comedians come from very dark histories in pass, and it is a coping mechanism. I think that were just built with. So it does seem very important. Another thing that line was really interesting to me because I don't know if this is ever spoken about very often with less, but just that line of everyone. I get shower with my wife. Oh, yeah. It's funny. But also what happens to intimacy with AOL s is there is that because that's important for think couples. And is that something that goes away is that something that people that are diagnosed that they less are counseled on or how does that kind of work cash because he never really did any counseling on that together. Is it who's listening to this? People leave it at this. We have date night. Right. Yeah. I don't wanna get any anything super personal. But I'm saying does it go away. Or like that the joke at golf tournaments. Are peanuts is an involuntary muscle. It's true. How's that? Okay. We'll that. Okay. Yeah. I was gonna ask what are some ways that our listeners can get involved with August quests? Well, if you wanna go to quest argh on website, you can see some of the things we're doing LS dot net is the institute's website that has more of them the medica- medical type in the scienc- explanations. And if you would like to help contribute to keep this going fitness industry has done an amazing job to help us move. As to where we are today and our biggest supporters right unless kind of wrapping up, what is the number one thing you'd want our listeners to take away to understand about AOL s and August quest I think the most important thing, and we're proving it daily is LS isn't incurable. It's purely just underfunded. And when we were diagnosed fourteen years ago, there wasn't a dollar being spent in big pharma, Praia less research and very. He little outside academia, so we know we can make a difference. We know we can find effective treatments and ultimately a cure for this. It's just a money game. And so that's something that again, I both had successful careers. Elsewhere. But now this this is the more meaningful thing, and if we can keep this moving we will be successful. Right. Maybe it'll turn in from August quest to Linz legacy. I just cure. Be in the lime. Well, even though you don't like to. Thank you very much for coming on. And doing the podcast. You're an absolute delight. Thanks, thanks for having us and thanks for your support. Now as Lind said this disease is not incurable. It's just underfunded. And this one elephant is focusing on raising money to help therapy developments to continue their research into finding a cure. Yes. And you can help just text Augie two four four three two one. That's a U G I E two four four three two one or you can also visit elephant cares dot com to learn more about how you can get involved. Once again, we wanna think our guest linito for stopping by the show and sharing her passion and energy for this worthy. Cause. Now, if this episode was a little too heavy for you, we understand and we'll be back to our regularly scheduled banter next week when we dive into the effects of low chocolate and fitness on the heart. We have an excellent guests lined up, and you can look for that episode to be released in two weeks. But until then thanks for being a good listener. And we'll see when the gym.
Instrument of sabotage (rerun)
"Hey all hope. Everyone had a great new year's. We're still on break over here. But I am back in your feed to bring you another favourite episode from our first I season it is one of the wildest stories I've ever heard at the heart of it. It's about a lost opportunity and what it's like to put a monetary value on that. All right here it is. When Eric Abramovich was eighteen he played in this concert that to anyone else would feel pretty insignificant? We're playing this amazing symphony by Mahler. His Third Symphony Eric was clarinet player in a university symphony and and in the last movement at the climax of this piece I just I was like overtaken by these like shivers and like unbelievable feelings of joy joy. It's just like a an upward scale Belykh within the context of all the instruments just like Don Don Don Don don done but I mean it's just it's huge. I'm not doing justice justice here. The music completely overwhelmed around him to the point where he felt like crying just from feeling that I knew that music was exactly what it has to do with my life. ooh I'm Marie. My grace and welcome to this is uncomfortable a podcast for marketplace about life and how money messes with it this week. A crazy story about one guy's dreams and an unexpected price tax for as long as Eric could remember he'd been around music. His mom played in Klezmer band and as he grew up watching them perform warm. He felt mesmerized by the clarinet when he was seven he convinced his parents to let him take lessons by high school. He was winning awards and playing in local orchestras and once. He entered college at McGill University. In Montreal music became his entire life even when it came to dating like he he had this crush on flute player so I asked her if she wanted to join my chamber group. So is that your way of like flirting with her. Join my exactly exactly and to tell you the truth. I didn't even have a quintet yet but I saw once. I asked her then I had to get a quintet formed. Yeah the pickup line worked. They started dating after that being around his music classmates. All the time there was this sense of commodity they'd push each other in practice and go route together at night but also they were each other as competition just because the jobs are so scarce. And we're all going to see each other at those same auditions and and Yeah ultimately we're all convenience each other. The classical music world is small and super selective especially if the goal is to one day join a professional orchestra like the Principal Viola of the Cincinnati symphony once told a reporter that statistically it is probably easier to get to the NBA then to get a spot in their orchestra. Sara but Eric had a plan he was going to attend McGill for a couple years and then transferred to a music conservatory to help his chances. His girlfriend engender flute player. Encouraged him to audition at the Colbourne Conservatory of Music. This elite school in Los Angeles. She kind of helped give me a little push to apply and she you know. She spoke so highly about the teacher in the school at Colbourne Eric would have the opportunity to study with one of his idols. A guy named Yehuda Gilad. He's one of the most sought after clarinet teachers in the world in recent years about eighty percent of the clarinet positions and North American orchestras. We're failed by this guy students. Well we're the chances of you getting in the year that I went to audition one spot was open. Wow so I was I. It was gunning for that. I really believe that it would be a turning point in my life. Should I get in in the months leading up style dishes Eric. Essentially it locked himself into a practice room every night obsessively going over the same songs and scales for hours. It was so much in my head that I was having dreams about it and having dreams of you know going to the audition and not knowing what to play and you know all these but also a few good dreams that I got in and stuff like that so it was it was really consuming. My my head space space and the sticks fell especially high because he didn't have the money to pay prestigious Masters Program. Finishing his undergraduate colbourne would fast track him into the professional world and it basically be free every Coburn Conservatory students receive a scholarship that covers tuition and housing in the winter of twenty thirteen in Iraq flew from Montreal to La for the audition months of practice came down to just fifteen minutes of playing. His mom accompanied him on the piano. While his borough friend waited outside I played my heart it. It went pretty well to be honest. He played a couple things. This super technical virtuosic Solo and a piece by Bach. And then then you just have to wait back in Montreal. A few months later Eric was walking home from the movies when he got a call from an unknown number. It was July the Professor Colbert. I thought maybe maybe he had good news for me but he just he's you know. How's everything All the best and hope to see you soon which sounds like a news so I was a little bit excited but I didn't want to get too excited from that college because you know maybe he calls all the candidates just to check in on them. He was cautiously optimistic. Then about a week later walking home from class he heard from you Huda again this time via email and this time it was not good news it says Basically Erica's great to meet you. You're wonderful musician. Unfortunately at this time I will not be able to take you in the studio all the best basically crushing to me. I was very disappointed as he read. Read and reread the email. He saw the feature he'd mapped out start to fall apart. The following school year was tough. He was bombed about about not being at colbourn and his relationship wasn't doing so hot they were fighting a lot and after a little over a year of dating they broke up so after the break we still lived together for a little bit which I would not recommend. God that sounds awful. Yes and then. Meanwhile what was going on in era music life. I was studying with this teacher at McGill. Who you know who's kind of putting me down and bring my confidence down? It was just. It was a bad time for me that year but despite all this he keeps working on his craft in his senior year he decides to audition at Colbourne again he starts practicing for hours a day. I was hoping that I would show up again. And they would say okay. You know this this guy. He he obviously worked hard in the last couple of years. And we're ready to accept them. All right so round to eric gets on a plane to Los Angeles again. I think I was just as nervous but a little bit less excited. The second time around he plays audition once again. I felt pretty good about and afterwards the professor who invites Eric his office for a little chat. So when I get in there right away I met with not the happiest expression on his face the mood feels tents and he says to me. So why why are you here. This is where things get weird and I said well I WANNA go here. I WANNA study with you and these estimate well you rejected me and what you rejected me. ooh He's like no. You're addicted me. And I I insisted no please you. I would remember Eric has no idea what's going on but he doesn't push it they leave it unresolved exchange awkward. Goodbyes and Eric Catch home for weeks. He keeps replaying the conversation in his head thinking okay. Clearly he confused me for someone else. Maybe he's just not completely with it but just to be sure he gets on his computer and digs up. The old email from Cockburn rejected him and he sends it to you Huda so I sent him this exchange and I say is this. This is an exchange that you had with me correct and he writes back saying that. He's never seen that in his life and doesn't have a clue what I'm talking about. Why yeah it was a pretty huge reveal I this point? I still didn't know obviously to what extent I was. I was screwed over you. Who insisted that they sent him acceptance letter to prove it? He requested the school. Send it to Eric so they send it to me. And I've never seen this thing in my life and not really. Do I see the exceptions. But I see my replied to them which is from my email address and I'm just confused hell in. What is the reply? The reply from my email was something along the lines of Thank you very much for the acceptance but I must reject as I will be elsewhere next year and and unfortunately I cannot again contact with you because my phone is broken. Eric you did not great that email. I did not write that email. So what is going through your head at this moment like are you. Are you just fused. Are you angry so the first thing that's going to my head is actually joy because I'm thinking Oh my God I get in. I didn't get rejected like it was a big win for me and I was going to get to the other bad feelings after that but I I took a bit of time to just kind of celebrate that I got in when I when I thought that I hadn't nice feeling. Yeah and then of course you know confronting the fact that someone did this to me and I missed out on this dream of mine. It was clear to Eric that somebody had screwed him over but he had no idea who would go to such lengths writing fake rejection letter sending phony e Mail on his behalf half even trying to make sure the school didn't call him with this whole sorry. My phone is broken. Excuse it seemed like a very well orchestrated plan. No Pun intended coming up after the break. Eric tries to get to the bottom of it. Eric had no idea who sabotaged his future. It seemed likely that it was another clarinetist. Some slimy computer savvy musician who was vying for the same spot and wanted to make sure they got that opportunity instead instead his friends though had another theory people started saying well. You know you're living with this girlfriend and I cut them off. I believe that's that's insane. The never happen. It was as crazy to me as as thinking if like If someone asked me you had my mom I would. I would just thought it was ridiculous. It seemed impossible. Hustle that the person who flew to audition to support him and even consoled him after the rejection would mess with his future like that and then lie about it for months. He kept thinking about it until one night he and his friend are hanging out at his apartment and we decided tonight we're GONNA WE'RE GONNA crack the case. They plop onto a couch open a laptop and a bag of chips refer like detectives more like first day on the job. Detectives the fake. You Huda email account that sent the fake rejection. Letter was at the center of the mystery. If Eric's ex really it was behind the account. He thought she'd probably use her her goatee password. The problem is he couldn't remember it. Nothing was working and it was getting late. And then Eric Remembered. Jen used to log onto onto facebook from his computer all the time to the point that I guess if I would log out of facebook auto fill her email and password into it's and so that was still there detective brain okay. Yeah exactly they appear as little dots. But there's an easy way to have the dots revealed. Eric says back in two thousand fourteen. All you had to do was check the code associated with the page within the code one of the words is password word quotations if you a rate that word and change it to text in quotations. It'll reveal the password sneaky. Okay I had no idea so we did that and it was weird long password that I remembered her always using so I I just put it into the email address You know the email password field and it logged right. In to our amazement we were just staring at the screen. Like with our mouths open. He couldn't believe it because no one had logged into account for awhile at page popped up asking if he wanted to update the recovery information and it showed recovery email address which was her own email address and recovery phone number which was her phone number so that was all the evidence. We need it right there. He quickly took screen shots of everything and change the password so that the email account was now under his control Paul and then it hit him. I mean we were just like baffled at how evil this was and how evil she was and of course. I'm putting it lightly now. It was also just confusing. Because he didn't understand why like what motivated her to a hurt him in such a real way and then still stick around the comfort him. God knows what reason as in whether it was you know to keep me around with her or if it was jealousy or if it was just some kind of thrill that she gets out of doing crazy stuff like that I reached out out to Jan for an interview to get her side of the story but she never responded and Eric Never got answers. Either you you didn't text or call her. I did not. I feel like the first thing I would do is call them yell at them and believe me. I wanted to but I knew that it wouldn't actually help anything. Because he had another plan in mind. This was bigger than just a little fight between the boyfriend. Girlfriend is this was. This was something that is definitely illegal. I wanted to seek justice. He decided to sue. and was it ever about money for you like. Did you feel like you wanted something out of this whole ordeal. Yeah absolutely I mean through the opportunity that you took away from me aside from everything that could have done for my life and my career. You know Coleman Conservatory is one hundred percent free room and board school. The you know the the tuition is valiant around fifty thousand so by not being there I was still at McGill where I was paying tuition where I was paying for rent and had had he gone to coburn that probably would have led to other opportunities well paying opportunities in the summer of two thousand sixteen. Eric hired a lawyer a guy named marshal. Oh Reinhard even though what Jan was illegal. He didn't want her arrested. He just wanted compensation he claimed. Damages for Deceit Invasion of privacy and infliction of mental suffering marshal says cases. Like Eric's. They're hard to win. If you're just going in there going this guy or this woman hurt hurt my feelings and I want something to compensate me for that. That becomes very difficult. He says he had approved that. Eric not only suffered an emotional tossed but a financial one the question then becomes. How do you put a price tag on lost opportunity on what your future could have been? You want to persuade the court that this individual would have continued on that arc and would ultimately have been extremely successful marshal. Marshall says his job is to make a convincing case to the court. But there's no real science behind it hocus-pocus unfortunately but there are ways to ground numbers like they calculated the scholarships worth what he spent on additional education and how much he lost and potential income and then they presented that number to the court and the judge he was convinced. The court awarded The three hundred thousand dollars. That's three hundred grand. Jen has to pay up. The judge also said she owes twenty five grand for the pain. She caused Eric and another twenty five grand just as punishment and then finally another twenty five to cover legal costs though in total was three hundred and seventy five thousand dollars Canadian dollars which in the US is about two hundred eighty thousand. It was very validating feeling to to see that a judge judge and a court took this so seriously reading through the judgment. There's a line that stuck out to me. It says big breaks particularly in the arts can launcher Asia. Promising artists to stratospheric career. I cannot speculate as to how high and how quickly Eric's career may have soared but for the interference of his girlfriend but the law does recognize that the loss of chance is a very real and compensable loss when the ruling came out eric story worry it went into this. This story is crazy. The career of successful clarinet player in Canada. Who is a very talented clarinetist has just one on a huge loss? College student has won a lawsuit against his ex girlfriend who successfully plotted to derail his him into thinking that he'd been turned down on by his dream school. But in order to enforce the ruling JEN needed to be served with the judgment in person the problem was it was really hard to track her down. She never acknowledged. The lawsuit never responded to phone calls or emails until one day. Marshall saw that she was going to be playing at her university. Christmas concert cert- in Toronto. So he goes and takes his wife with him so she can serve the documents in case giant recognized him from local. TV interviews and to be discreet. They put the papers in a holiday gift back and at Intermission we went down and we and I saw Jennifer on the stage but the stage was at least it was about four feet high. My wife could not get climb up on top of it. So she's starting to panic getting because Jennifer's leaving the state so his wife spotify door and runs backstage chee finds the conductor and asks if he he can introduce her to jen takes in and my wife says this is for you for for after the show because we really didn't want to ruin the second second half of the show. So Jen takes the bag and says thank you and that is how the judgment was served at intermission. When I asked Eric what it was like to get the money his answer surprise me? I have not seen any money. Nothing nothing not a penny. Jen never paid up. Eric's lawyer says it's because she can't she apparently doesn't have any assets to seize is like a house or a car and she claims to be a student living week to week. If she had a job we would be entitled to Garnish rush twenty percent of earnings. So they're waiting until she does get a job and every year Marshall will meet with our assess just how much she has. I'm pretty dog so I'm not planning on giving up. But it's still frustrating for Eric. This whole suit was about money. I don't know if I would have gone through all the trouble. Just have a piece of paper that says she did. A bad thing is was ever point where you like almost felt bad for her. Yeah for sure. I'm sure that's gotta be tough on someone. When they're like an internationally viral villain Elon so in case you're wondering or if not already obvious Eric? Do not get accepted to Colbourne the second round at the time. The school thought Eric had a decline the first admission so he thinks it hurt. His reputation made him not look at serious instead. He did a certificate program at a university where he teaches so he. He did get to study with him but just not as closely and it wasn't free then. Last year. He auditioned for a position with the Toronto Symphony Orchestra. He was up against against about one hundred people from around the world. They will down the candidates until they get to in my case. It was down to two of us in finally the They called me into the Maestro's office and he came in and shook. My End. Said congratulations in another year. He'll be up for tenure at the Orchestra as the twenty five year old. Eric knows he's lucky. Usually you have to wait until someone leaves or dies before spot in orchestra opens up. He landed somewhere he wanted to be. Even if it's delayed but thinking back to it all it still stings in sometimes. When win something feels so incomprehensible and awful? You just WanNa make sense of it you want something to latch onto and for Eric. That's been the same when it comes to missed opportunities lost time nothing can really give you back what you lost but I think money it helps. It's it's something it's the closest thing to easing the wound. A little bit and the fact is he ended up. Okay more than okay but but it's still hard to not think of what could have been. I think all of us can think of moments in our lives and wonder what would have happened if we took another path or made a different decision but eric's case he was able to put an actual price tag on that lost opportunity two hundred eighty thousand dollars and he hopes someday he'll get that money All right that's all for this week's episode as always if you have thoughts or when a share something you can hit us up at uncomfortable at marketplace dot org. This is uncomfortable so is produced by me at face. Hayley Hirschman and Peter Ballantine Rosen. Meghan Detroit is our senior producer. Drew Stat is our audio engineer. This episode was edited by Sarah Kramer with additional support from Jonathan Hirsch and Nancy for Golly Tony Wagner is our digital producer Danish our intern S- attorney is executive active director of on-demand and Deborah. Clark is the Senior Vice President and general manager of marketplace and our theme music is. I wonder
Fatal Charm: The Shocking True Story of Serial Wife Killer Randy Roth
"Please be aware true crime by the book May discussed topics sure opinions and use language. That can be disturbing or -fensive to some listeners listener discretion is advised Hidings and salutations Biblical phages. Welcome back to crime by the book every week. We discuss a new book movie or your documentary related to true crime. I'm your host. The Librarian Tash appears I appreciate all the ratings reviews and feedback that I've been been receiving. Keep it coming and if you like to help the show please leave a rating or review on the platform of your choice. This week. We are digging again into Randy Roth by way of Carlton. Smith's book fatal charm. So let's dig into the authors bio shall we an award winning journalist for the Los Angeles Times and the Seattle Times during the nineteen seventies and eighties. He was a finalist for the Pulitzer Pulitzer Prize and investigative reporting in one thousand nine hundred eighty eight. His books include mind games cold blooded the PROM night. Murders first coldest ice and in the arms of evil. There are more than two million copies of his books in print. So so we know. We're in good hands with Smith and he has teamed up with a stellar narrator in Keith selling rights. He delivers the text with Passion Ashen and enthusiasm. And he kept me engaged. Now that's the author and narrator short and succinct which means there's more time time to unpack this story before we do that. Here's the summary. From Fatal Charm Smith apprise win a prize winning reporter for Oh. The Seattle Times was a finalist for Pulitzer Prize in investigative reporting for his coverage of the Green River killer case now he reveals the the shocking true story of serial killer. Randy Roth the alluring handsome man who was caught after his fourth wife accidentally drowned drowned once again. That was a description that is short and sweet. It tells US enough to help us decide. If we're interested in reading it and of course I was interested so this is a story of a man who knew what women wants. That's it and he delivered. The he was born on December twenty six nineteen fifty four into a family that would ultimately consist the five children children. Now Lisbeth in Gordon Roth where the parents in a dysfunctional home. The atmosphere was patriarchal with zero tolerance of what was considered weak emotions. Randy absolutely worshipped his dad and he even sided with him when he and Elizabeth divorced. I am in nineteen seventy three after graduating from high school randy enlisted in the Marine Corps. He was an average soldier but he would embellish rush his service record in letters that he wrote to his girlfriend. At the time He ended up being discharged after a year because his mom says she needed him home to provide for the family. It's speculated that Randy had just grown tired of being a file clerk so his mom build him out of completing his service Serb negation when he returned home he began living with his girlfriend teary. Her family had allowed them to reside in a home that they owned owned and it was at this time. That Terry discovered that randy was seeing another woman named Donna Terry eventually had enough of Randy and broke things off with him. Even though Randy was as wrong as two left shoes he gave Terry her family hail. After the break-up he he broke into the home of her parents stealing vandalizing an interior went to the police and inform them. That Randy was responsible for the break. In at our parents parrots she also gave them information on an unsolved robbery at a convenience store. She told them that the PERP was randy Who had robbed the store in order to give her money for an abortion after an unwanted pregnancy this occurred shortly before he left for basic training so he left to go and serve his country? Right after Robin a convenience store this was the first known instance of Randy Handy using illegal means to come into money. Unfortunately it wouldn't be the last now. Randy served two whole weeks. Jail for the burglary. Wrigley of Terry's parents homes before long. He he married Donna The lady that he was cheating with and in nineteen seventy eight. They welcomed a baby boy to the family. Shortly after that Donna was shown the exit randy divorced her with no reason and took custody of their son. Now Randy was considered nineteen seventies. Hot Think Tom selleck in Magnum. Pi Burt Reynolds. So it wasn't difficult for him to get back in the dating arena. In fact this is when he meets Beats Janice Miranda he would her with his charm and wowed her with stories of his military service. In these fairy tales randy spoke of death surrounding him women and children being slaughtered him being killing machine in the jungles of Vietnam he claimed to suffer from flashbacks of his service service and that he was a very dangerous man in fact when they would meet up with friends. Who really did see combat? He he would regale and these stories while they wondered why he would want to constantly relive these nightmares. That was a problem. That Randy didn't no he had. He seemed to actually be proud of the things that most real combat veterans wanted to forget. In March of Nineteen eighty-one Randy and Janice married read. They bought a home. Got Insured to the Gills. Randy said he that he wanted her to have the security of knowing that the home would be paid for if if tragedy ever befell him. You know because he was so scarred from his imaginary time in Phnom now the day after Thanksgiving of Nineteen Nineteen eighty-one Randy Janice decided to go hiking on beacon rock trail now this was a roughly two mile trail that kind of considered later a moderate level hike Randy and Janice had separated from the throng of hikers on twitter on the trail. It was then that Janice I went close to the edge. Lost her footing and plummeted over three hundred feet. Randy was spotted going back and forth before pleading with others others to assist him in finding his wife. The authorities were called but by the time they got to Janice she was dead. Although Randy Randy statement was doubted there was no real evidence tying him to her death the following day before notifying Janice family and friends of her death he arranged arrange to have her cremated in cash in on her life insurance policy. That would have been one hundred thousand dollars in one thousand nine hundred eighty one currency which just evil to just over two hundred eighty thousand dollars today in nineteen eighty-five oops in Nineteen eighty-five Roth met and married a second. Donna single mother Donna clift. He followed the same pattern of charming proposing opposing marrying and becoming a massive asshole right after the wedding. He also talked Donna into getting a huge life insurance policy. Yada Yada Yada data then one day when they were rafting. Donna was terrified when it seemed that he was intentionally heading into rough water so she survived the incident. And got the Fuck Outta Dodge. So that's to Donna's that escaped. What seemed light? Randy's death trap then. He met another woman. Mary Phillips he didn't marry her because she was a cancer survivor. Like cancer is rarely a lucky But in this case Mary Jo dodged a bullet because no insurance policy would cover her. She wouldn't be beneficial to randy financially so he was on to the next. The next turned out to be Cynthia bombed Gardner a recently widowed young mother of two boys her first husband had passed away. After being diagnosed with Hodgkin's he had benefits. They left his wife and children. Well taken care of now. This seemed to be an ideal. Hi Deal situation for Randy. He swooped in and charmed. Who would turn out to be his fourth wife? She was unaware that she will be the next wife. Life to die so randy could get his money right. In fact she didn't even know she knew about one other wife Janice way she would have never even gotten involved with him had she known about the other two divorces because she was a a a religious person and was against her religious beliefs. And that's how he kind of weasel his way in using her religious beliefs he met her eh church function and he turned on the charm. We're GONNA take a break right now to get a word from this week sponsor. I must tell you all about our new sponsor tipsy chicks if you're looking for a unique fun gift for birthday wedding Bachelorette or just a girls night out. You should visit tipsy. CHICKS DOT COM tipsy. Chicks is a women owned business business that encompasses variety of gift items fun products. They make fantastic gifts. Their products are definitely original. Whimsical physical captivating and cost effective from their super unique magnetic drink charms in over one hundred varieties to a beautiful eh bracelet flask. which eyeing tipsy chicks has the perfect trendy gifts everyone will love? And I can even customize customize your gift if you'd like you have to check out their website you'll be so excited go to tipsy chicks dot com for your or a fabulously fund gift needs. That's T. I P. S. Y. C. H. I. C. S. Dot Com. You'RE GONNA love it before they had even been married. A Year Cynthia and randy went out on Lake Sammamish with their raft. After a few hours randy returned at a very nonchalant pace with an unconscious Cynthia he claimed that she had fallen in water and he in he had to rescue her He said this was because because a speedboat with by in she was already like Kinda swimming on the side of the raft and speedboat went by and and she went under and that he was not a strong enough swimmer to save her before she before she got pretty much lungs full of water. The Life Guard on the scene tried to resuscitate Cynthia to no avail. Her children watched as the paramedics arrive. Have to work on their lifeless mother and they began to cry now. Randy in meantime was attempting to deflate the raft seemingly unconcerned about the fade of his wife. That's the thing about psychopathic murderers. They just don't know how to perform as if they have emotions unless they have experiences experiences to emulate from so randy's upbringing didn't afford him any opportunities to practice emotions he simply didn't know how even pretend to give a fuck in fact a witness stated that he told Cynthia Sons to stop crying. Like how how do you expect children's to react to watching their mother die. It was just noise to him. He couldn't empathize with their feelings. He he took the boys out to eat went home and probably dreamed about the four hundred thousand dollars. He stood to gain from Cynthia's insurance policy not to mentioned he had her boys which meant he also would have access to her. First husband survivors benefits except through all his controlling controlling in abuse. Cynthia had the foresight to make her best friend. The caretaker of her children in case of her untimely death. Yeah that was a wrench in Randy's program but he was still set on a huge life insurance policy plus the proceeds from selling their home in the meantime King County police. Investigators were slowly building a case against this piece of crap they recreated the series of events that led to sent the demise according to Randy statement and supplies. The Shit couldn't have happened that way Dan. Dan Statements from witnesses on the beach when Cynthia was receiving. CPR noted that Randy gave zero fucks about anything. Coworkers came out saying that Randy Randy was utterly disgusted by Cynthia and was counting down the days before their quote unquote contract ended at the one year anniversary. Of Of course before this day arrived his wife was already dead and cremated. There were many other disgusting acts by Randy. During this time hi of grief that will leave out for those who want to read the book and of course. He was taken to trial in the murder of Cynthia Roth Roth. He was found guilty of murder. And since the fifty years in prison and an additional year for theft he's eligible for parole in twenty twenty nine. So be careful you swipe right on in twenty thirty also sadly. The first Donna remained remained convinced. That randy is innocent and that he was a good husband. I'll remind you. He divorced her and took their child with no explanation explanation. The bar is set really low for good husbands and this is where I'll leave the story with my thoughts. First of of all women to be vigilant now it was far easier to bamboozle or to be bamboozled in the early nineties. But let's not act like this is. It's still a thing dirtyjohn anyone in if you aren't sure what I'm referring to there is a fantastic podcast. Net flicks aches movie in a couple of documentaries detailing that case but we need to keep. We need to keep a network of friends associates associates and loved ones. Who Need to be empowered to tell it like it is when it comes to new men in our lives if the relationship is moving thing too fast? It's okay to pump the brakes. If things seem too good to be true. Be cautiously optimistic. Because a Randy Roth won't have have the patience to deal with. The woman was taking her time to make sure he is who he says he is. Also if there are too many mysteries mysteries like randy was known for not disclosing his age. Not being interested in sex and a horrible lies that he told about Vietnam. These these kinds of mystery should make us ask. What else does he have to hide? Then Donna what the heck your issue this man is either the most unlucky husband on the planet where he is skilled at picking the most unlucky women for wives and Donna was clearly only good enough to hear he his male child. He didn't trust her to raise him. So how could you back Aman who thinks you aren't shit now. There are so many other tangents that I could go on with this case. But I'll just encourage you to read the book. Let me know your thoughts. You can always share feedback at. TC BY TB Edgy. Mail DOT COM. You can also find me on social media on all the things at TC by TB. I also have a patriotic and would love for someone to be my first donor at Patriotair dot com slash. TC BY TB. I need that I need some help. Keeping a stash of multiples in other edibles wink wink for my recording days. Now next week next week we gotta discuss Aaron Hernandez Netflix has released a documentary called killer inside the mind of Aaron Hernandez and we must talk about it. I am a football fan. I'm a true crime crime fan. This is just like the world's are colliding of of things that I'm like enthusiastic about so this says something. I cannot wait to talk about and it has the potential to be a two part episode. Now the next book on the docket is solitary by Albert Robert Wood Fox. And that's in case you want to catch up or read it. Beforehand solitary about out by Albert Would Fox probably in two weeks As promised I've got two new reviews that really lifted my spirits this week I was really really in a in a bad place For All of last week I just there is like a person who can sound like. They're confident in front of a microphone. But I really really am afraid that I'm not doing a good job. And when you guys reach out especially through reviews and ratings it just brings a smile to my face. Thank you this week to nick. Rich five seven three seven seven and fled now from Canada for your wonderful reviews. Thanks for listening. And if you'd like to make my week leave a rating and review on your platform of choice apple podcast pod chaser facebook it's Cetera et Cetera. Anywhere you leave of review. I will shout you out with that. I thank you for joining me for episode thirteen and and I hope you meet me here next week later book words.
Iran's Most Wanted List
"It's Tuesday July twenty third and this mugshot could get you killed. We start here Iran blast out pictures of what it says our C._I._A.. Operatives everything seems to get more and more intense where the latest battle tactic could lead ahead of Robert Muller's divisive hearing Congress reaches a deal. It's agreement also makes it more likely that we will not have another government shutdown what it means for Americans and for president trump and they make up most of the missing persons cases in this country so why don't you hear about the book they not knowing anything because I think she got her own. I don't know what to do. A lot of cases. Don't find the spotlight. We'll introduce you to people trying to widen from A._B._C. News. This is start here. I'm Brad Milkey. Are you hiring with indeed. You can post a job in minutes set up screener questions then zero in on your shortlist of qualified candidates using an online dashboard get started today <music> at indeed dot com slash start here. That's indeed dot com slash start here your call two three three six zero when sailors from British vessel looked up and saw Iranian forces telling onto their decks from a helicopter you will be safe. Everyone saw a bold new strategy from Iran. You mess with us. We will make your lives miserable in one of the most profitable waterways on Earth but bold is not the same as reckless and here in the U._S.. Security analysts agreed. This was all a far cry from anything that would engage the U._S.. Military well then yesterday Iran made a bold uh new claim that had everything to do with American interests A._B._C.'s chief global affairs correspondent Martha Raddatz is with us so Martha what was Iran up to hear Jima Iran had this huge press conference to announce what's that they had a documentary showing what America was up to and they released images the images they released that are the most alarming our people. The Iranian say our C._I._A.. Officers they they appear to be probably Americans or some western Europeans. They have pictures of these people with their families now. The CIA won't say anything about it. The State Department won't say anything about it. We would certainly not release those is images without blurring them but we don't really know who those people are. They released a lot of business cards. They released some passports with names but again Iran is saying these are C.. I. A. Operatives who were working with both Iranian nationals and that's an important distinction right where people are from 'cause yesterday. You also had Iran say we just busted up aspiring. We got all these Iranian spies working for the Americans. You're saying yeah they made those arrests but then they also might have just published Americans Ricans photos and maybe endangered American lives exactly and again we don't know whether they're Americans but they certainly appear to be Western. <hes> and and Iran is claiming these our C._I._A.. Officers <hes> who are working with Iranian nationals because Iran rounded up seventeen Iranian nationals who they say were working presumably with those people who they identified <hes> but some of those people Iran has already executed those Iranian nationals according to what they say they say I can hear you saying the allegedly there because we don't know what Iran's telling the truth about but it does seem like if they don't WanNa engage our military Martha they certainly seeing how close they can get to. The line right because you know we attack your drone but not your planes we seize your allied ships. We don't attack your ships and now we call it the CIA using some unconfirmed photos. I think everything they're doing is is walking a line president. Trump immediately immediately said the spy story there was zero truth. I read a report today about <hes> C._I._A.. That's totally a false story. That's another lie they put out propaganda. They've put out lies but Iran keeps pushing and pushing and pushing <music> at three six zero degrees immediately over and seeing that I think was quite alarming also was that we heard those voices of the Iranian naval officers telling that commercial tanker a British flag tanker to turn around but the British navy gotten often that impact impede obstruct all hamper the passage of the M._v._p.. Superior everything seems to get more and more intense and we get deeper and deeper into the crisis a run sticking at its chest and what seems to be like this game of chicken each side telling the other side. You guys won't Risk Military Confrontation Martha Martha thanks a lot. You Bet thanks Brad. In terms of sheer drama. Tomorrow is said to be the biggest day on Capitol Hill in months after first insisting he won't watch the Muller hearings. President trump acknowledged today that maybe he will no. I'm not going to be watching. Probably maybe a little bit of it. I'm not going to be watching Muller because you can't can't take all those bites the apple and yet right now lawmakers might be stumped as they prepare their questions for Robert Mueller. The former special counsel said he doesn't plan to go beyond what he's already written down on paper we chose those words carefully and the work speaks for itself and the report is my testimony but the muller show is not the only reason Washington insiders were calling this a big week in president trump's year they were also pointing to an unfurling budget battle the could prop up or devastate federal programs that millions of Americans rely on and attention built-up even White House allies were unsure what the president might actually do well last night Congress announced. We have the outline of a deal A._B._C.'s Ben Siegel covered these negotiations and Ben usually people mentioned you know budget <unk> budget caps in Washington people's eyes glaze over but there are some real stakes here right why that's right Brad. This agreement governs all the money. The government spends that's money on foreign aid money on infrastructure money on social welfare programs <hes> how much money was the subject subject to these negotiations and the outcome of course reflects <hes> money that goes into programs that impact people's lives in a variety of ways and Brad there is something else hanging over all of this congress allows this meat cleaver approach to take place it will jeopardize our military readiness. Remember that deal between President Obama and Congress in Twenty Eleven <hes> the budget control act really focus then was raining in federal spending but this was the sequester thing right where you had to rein in spending or we're just going to start painful cuts on everything that's exactly right at these cuts are not smart. They are not fair. They will hurt our economy so the added incentive here <hes> for president trump and for Congress was to make sure they did not trigger those automatic spending cuts under the terms of that agreement by President Obama. Nobody wanted that to happen. Well where does that leave president trump and ben because he's kind of been of two minds when it comes to budget cuts over the years so there are a few things to keep in mind when you think of president trump and spending first of all he campaigned for the White House promising to get rid of the federal deficit in eight years pretty astounding claim for some economists to hear from from a presidential candidate but he also said he wouldn't touch many social safety net programs and it's my absolute intention to leave social security the way it is not increase. the age and delivered as and as president in the white house trump is surrounded himself with some fairly conventional republicans conservatives who also wanna rain in the federal deficit washington has a spending problem so there are several different impulses governing <hes> the trump administration on this front we also know president trump likes tax cuts thanks to our tremendous tax cuts the biggest minnesota families are saving more than five billion dollars you signed into law a one point five trillion dollars tax package <hes> from republicans in the house and senate <hes> but that also added to the deficit president trump is focused on having economic growth pay for tax reform so you know to address these concerns about the deficit after shutting the tax cut into law that means you have to cut spending and as we see from the outlines of the deal that does not look like the case for americans that essentially means status quo for the next couple of years right is that considered good or bad so for washington this deal it means two things one <hes> congress and the white house have agreed to raise the debt limit essentially essentially the amount of money that the federal government is allowed to borrow to pay its bills <hes> until after the twenty twenty election that has been taken off the table as a political football until after the elections that's good for the economy that's good for certainty this agreement also makes it more likely that we will not have another government shutdown he's now holding the american people hostage over a vanity project that he calls a wall save some embarrassment for the president and these presidential candidates on capitol hill avoid the embarrassment of potentially potentially having another shutdown ahead of the twenty election yes shutdowns before an election not really good luck you also wonder if it makes it harder to go after a bernie sanders or something though over the federal deficit when that continues to grow ben siegel keep an eye on the ball thanks so much thanks next start here forget the dollars nate silver says presidential campaigns need some common sense technology elegy is supposed to make your life easier right don't let your business be limited by the software you have in place whether you're looking to replace or just considering your options capterra is here to help you re thousands of real reviews on software options specific to your business needs <unk> at capterra dot com slash start here with over eight hundred fifty thousand reviews of products from real software users you'll discover everything that you need to make a well informed decision unsure of where to start go to capterra dot com slash start here and use the search each or categories option to find your exact needs check it out for free visit capterra dot com slash start here to find the tools to make an informed software decision for your business capterra dot com slash start here capterra that's c. a. p. t. e. r. r. <music> a. dot com slash start here capterra software selection simplified a few days ago president trump's reelection campaign unveiled a a new fundraiser you know how you can buy candidate hats and candidate t shirts will the trump campaign started selling straws that's just red plastic straws with the president's name on them i do think we have bigger problems than plastic straws and this was clearly a dig at environmentally italy friendly paper straws what trump's campaign manager called liberal progress and this joking novelty item sold out over the course of one weekend the trump campaign claimed they netted more than two hundred thousand dollars and this all comes as democrats are posting their own fundraising fundraising numbers for last quarter and some candidates are having trouble even reaching that quarter million dollar threshold got our guy with the data nate silver here in Then Straw is that is that a basic threshold well in two thousand sixteen. Donald Trump who became president did not raise very much money at all. He was beaten by a lot of candidates and the G._O._P.. Primary he was beaten by Hillary Clinton <hes> by a large margin in the general election and he won both of those contests so yeah I think fundraising is overrated in part because <hes> presidential race all these canons get so much coverage that like voters are gonna be saturated with all the information they could ever want about the eventual Democratic nominee money and donald trump and frankly any independent candidate who manages to sneak through and and get on the ballot you know they're not going to be lacking for information about those candidates the one candy in the Democratic primary for whom the fundraising might move the needle is people to Judge Edge. Everybody's earlier. We promise that we share a little more information about the great fundraising news to be released after the end of court yesterday so I just want to walk you through the early analysis team. The reason I say that is because he is not a household name in the way Bernie Sanders or Joe Biden or Elizabeth Warren are j.j Buddha judge this thing how to say his name booed edge and so his campaign might have more staying power enabling him to. Let's say he has a bad debate debate. You know he has a little bit of a war chest that would allow them to remain in the race longer because you literally can run out of money if you're only raising a couple of million dollars this clearly matters to the campaigns right because we learned that John Delaney only raised two hundred eighty thousand dollars for the quarter. He's loaned himself seven million dollars. There reports that Amy Klobuchar her campaign waited to pay their staffers so that they could report more cash on hand at the end of a quarter like you're saying forget the fundraising you rather have better poll numbers. Usually the polling is the leading indicator are and more predictive and there are exceptions but a good example is better aerobic that we've held more town halls answered more questions than any other candidate and it's what I enjoy doing the most to is getting very negative press for his role than surprised they went by having more money raised on the first day than I think anyone else paying how you count dishes you how much we raise the factory raised it from all fifty states not a dime from a single PAC or lobbyists and since then it's totally dried up right he raised less all of last quarter than he did on the first twenty hours after he launched his campaign but if you're looking at the polls that bed already fell from eleven percent to three percent and so in that case the Poles give you the information faster than the fundraising donors are probably looking at those poll numbers as well for sure and it's it's a reinforcing relationship you know and again especially in a case we have multiple candidates. You don't WanNa kind of blow your wad on a candidate who might not be as viable once. Here's why ask if you have some bad polls. You know you lose momentum people stop asking for interviews worst case scenario you get shunned from a debate theoretically though you could come back fundraising stops right you might this literally have to shut down your campaign right yeah so it's it's not my job to tell readers what to do with their money. I would say though if you're a reader or listener the first a million bucks goes a lot further than that hundred million bucks right and so if their candidate you think deserve a place at the table even he might not vote for them and that's probably a more efficient use of your money than cantor who already is a huge juggernaut. We have received now two million individual campaign contributions averaging nineteen dollars a piece. I do think some candidates went a little too far in literally trying to raise the one dollar contribution contribution. If you look at how much they actually spend to bring in that one dollar the marketing spending very high can be dozens of dollars spent <hes> to bring him one dollar contributions because they're trying to qualify for the debate so you're actually losing money with all these one dollar donations so so you just told listeners don't waste your time donating money to a front runner. If you're a campaign maybe juice up how much money you're asking from your donors like you're trying to you're trying to take everybody off here. Yeah look. I don't care that much nate silver telling voters. The save their money breaking the numbers and the strategy for us. Thanks so much okay. Thank you every few days in headlines lines on local news you hear about an urgent hunt for missing person. It's been almost a week since five year old A._J.. Friend was reported missing and there was a reason you might remember some of these cases better than other ones research papers say a well told story activates different parts of our brain inspiring stories actually sent a burst of oxytocin into our brains which can motivate us to take more action but to the families of missing person. This is not just trivia right getting on the national radar can make or break your chances chances of ever seen your loved one again and we're learning more now about who gets on that radar in the first place A._B._C. Steve. Samis been covering a series of missing persons cases and Steve specifically this week US zeroed in on a young woman who disappeared ten years ago Oh yes her name is Jamaica Cozy and her mother's name is Paula. Hill is a very hard living nate nate and I know a child is she disappeared just a few days after Christmas ten years ago just outside Saint Louis on on December the twenty eight two thousand eight. That was the last day that I seen her. She was watching movies with her cousins. So the normal day this one here cousins House came to spend the night and when everyone woke up the next morning they discovered she was gone her cousins. They say that she was in an in and out of the House. She was sixteen years old at the time. Police classified her disappearance as a run away because the door was unlocked so they never search search for the girl this idea that she ran away. You don't believe that no no I do. I believe she left all home with the war. Yes shoes antenna come back. She has been grieving for all of these years with very very little help. They not knowing anything because they think she got oh. I don't know what to do and what we've discovered and what we've seen for a very long time is that it is not unusual for police to classify black children especially as runaways plays and then do very little and so that is a bigger issue than one missing persons case. This is indicative of something larger absolutely <hes> the Center for Missing and Exploited Children tells us that roughly eight hundred thousand Americans go missing each year. Yeah I mean that's an incredible number and most of them are children of color. The numbers show that missing black Americans are disproportionately represented in two thousand eighteen more than thirty percent of all missing persons were black Americans despite making up just thirteen percent of the total population but only around a fifth of those cases are followed by the news according to one study the disappearance of Natalie Holloway the eighteen year old who vanished while on a high school graduation trip to Aruba so many of these families wish that they could get the attention of a Natalie Holloway or Elizabeth Smart's Family Shandra Levy Lacy Peterson new look at the case that gripped the country fifteen years ago molly tidbits Jamie clause so many any of these cases hundreds of friends volunteers out today combing the cornfields where she's known to run in Brooklyn Iowa where police had an all out search where hundreds of volunteers searched the woods and where the F._B._I.. B._I. came the next day is needs to keep her face out there. I I don't want anyone to think it in Jamaica cosies case the F._B._i.. Never showed why is that Steve You mentioned news organizations. You also mentioned how these cases are handled by COPS. What is the bigger factor there? It's it's hard to know which comes first which is more important than media attention or the police investigation. I would say that they are hand in hand. I can issue a disappointment has tried to do everything in our power to fine <hes> shoemaker cozy but it's interesting how when I talked to the police they blame the media and when I talked to my colleagues we blame the police but the truth is both of those those groups are really representative of a larger feeling in our society that these parents argue which is that you know a black person. Missing isn't as big of a tragedy as it is when that person Jason Who's missing is of another race and that's why you can't get the media coverage. There's an organization called the black and missing foundation WHO's trying to change that it's two women who started this foundation and they essentially Ashley used social media to create a clearinghouse of missing persons cases online and they've used their efforts to bring home hundreds of black Americans who otherwise would not have gotten auden any sort of attention from local or national media her notebooks and Jamaica cosies case per mother is hopeful that she will hear these stories hear people talk amounted realized that she is loved that her mother is waiting for her and that she will come home as they have hope. I hope there one night one of my chat. The family says they fear she might become a victim of sex trafficking. Now ten years later police have actually used technology to to show what should make a would look like now but her family's sang decision makers across the board expand your definition of what a compelling alling story is and we'll get that helps sooner Steve. Thanks a lot for shedding light on this one. You're welcome and one last thing later this week aviation V._A.. Shin Buffs will mark the tenth anniversary of an airplane crossing the English Channel. Well the celebrate this Thursday a French inventor is going to try to fly a hover board across that same route now when I heard this the first thing I thought was this that Hover board that France had during its best steel day parade this year because there was this dude who came in like the rocketeer on a cordless jet powered board super impressive you guys it's the same hover border. His name is Franky Zapata. Yes really he used to be a jet Ski Racer. Now he's going to try to cross the English Channel and he only gives himself a one in three chance of actually making it I he says is the problem of distance. His machine has never done this before. He says Hover Board was operating at three percent capacity on Bastille Day. This'll be like ninety nine percent second problem is fuel. He'll actually have to refuel while underway over the waterway and the biggest thing might just be pressure. This is the second an international showcase for his invention. The Fly Board in just two weeks the French military has spent one and a half million dollars developing this craft hoping it can be used by soldiers the U._S. is interested to and if this all goes according to plan you can expect some Brits is just taking their normal ferry rides to be pretty impressed as well and if you're wondering Zapata says yes despite the auto balance system. This thing is really hard to fly when a reporter asked if he'd crashed before he was like Oh yeah just crashed three days ago. It was <music> over water. He says it was fine. Start here tomorrow. Just hit subscribe worn all these stories at A._B._C. News Dot com or the A._B._C. News App Brad Gopi see tomorrow.
Friday, June 19: Nikole Hannah-Jones, Mayor Muriel Bowser, parents of identical quadruplets
"Subscribe to our podcast to get hot topics delivered every afternoon, and while you're at it, rate, US and Labor Review. And all new views darts right now. It's June teen, a data celebrate black American independence and the Pulitzer Prize winning creator of the sixteen. Nineteen Project Nicole Hannah. Jones shares why she says. America's four hundred year. Legacy of slavery is still having an impact on the country today. DC Mayor Muriel bowser on how she's bringing. The black lives matter movement to the door of the White House plus parents with four reasons to celebrate father's Day. Share the miraculous story of their identical quadruplets, and we've got a special superstar surprise forum and feel Good Friday on an oprah edition of you your deal. Here come hot topics. With whooping joy, Behar Sunny Halston and Megan McCain. Now. Let's get things started. Hello and welcome to the view today is June teen which honors the end of slavery in the US which is why I want to start with a new song that brilliantly captures how much further we still need to go performed by Dietrich Hatton and written by Hatton and Mickey, Stevenson it's called I. can't breath take a look? This name was George and he didn't do store because his money was low. And the phone already they put handcuffs on me. We're not. To play, they responded with the. End! This supposed to be. Free! Law. Stall. But please don't be afraid I'll watch C.. Just Maggie. Demand the change. Is Cry. FROM THE GRANDMA Dream will reparations come. Walk free. Your Hey. CAPE! Minneapolis. Ran For you. Praying for you. Soon. The. Back! Philadelphia. Ohio. San Francisco. Lou. Today more than ever is a day to celebrate. How much black lives matter joining us now is the journalist who won the Twenty Twenty Pulitzer Prize for commentary as the Creator of the Sixteen Nineteen Project for the New York Times Nicole Hannah Jones. First of all welcome and congratulations on the Pulitzer. What's your reaction to what we just watched and for folks who don't know the historical significance of June team? Can you also tell them about that? I think that video was really powerful. It evolved pain that so many black Americans are feeling, but also the cross ratio multigenerational nature of the protests which I think really gives us means to hope today's June team than many Americans probably hadn't even heard of this holiday until recently, but June team commemorates the day where the last enslaved people got the message that slavery had indeed ended. It is when General Gordon. Granger, a union, general marches to the farthest reaches of Texas Texas was the furthest west of the slave state, so the last to get the information that slavery had ended and so several months after the end of the civil war. People there who had been laboring in bothered found out that they were indeed free, and so it's considered an an emancipate day, and where one of the few countries in the Americas practice chattel slavery. That doesn't celebrate emancipation, but it looks like that's changing. Miss Hannah Jones. In the wake of recent protests for racial equality. Several companies like the New York Times target and Nike have announced that June eighteenth will be paid holiday for their employees. Some governors have recently moved to make it. A state, holiday and representative Sheila jackson-lee of Texas is announcing legislation to make it a national holiday. Could this help the country heal? Yeah I think that it's important to acknowledge what happened and to also celebrate that we we were a country founded on slavery, but we also ended slavery so yes, I I don't know how we can heal until we acknowledged our path and this is one way of doing that. Now I'm Nicole. Trump moved the date of his first post Kovic Rally after critics pointed out it was not only scheduled to take place I on June eighteenth, but in Tulsa Oklahoma the site of one of the worst massacres in this country's history. Can you tell us what happened in Tulsa to? What was then called Black Wall Street? Because I don't think it's a part of history that many people know about. Yes, so Tulsa was. There was a neighborhood called. Greenwood and this district was one of the most affluent and thriving black business districts in the country. At the time there were black department stores black. Thanks. Host of black businesses and as was often the case in this country, when black community would get too prosperous, many white Americans felt that black prosperity was detrimental to white supremacy, and so there was a a mob of white people orchestrated also by law enforcement, and they burned down the black business district, some twelve hundred businesses. They killed probably estimate estimated about three. Three hundred black Americans I completely destroyed. prosperous business district in that district has never recovered for many years. It was called the Tulsa race riot, but riot was not the proper terminology. It was a massacre, and it was a way to put black people back in their place, and to destroy the wealth, and and the independence that came with wealth that had been created. More with Nicole Hannah Jones when we come back. Does, you is honor to be the most emmy nominated daytime talk show in twenty twenty with eight emmy nomination. Thanks for that, y'all this is your. Emmy nominated view on ABC. Still Ahead Washington DC mayor. Muriel Bowser plus a couple is given the parents of identical quadruplets, one more reason to celebrate father's Day on Sunday and feel Good Friday on an over addition of view year deal. We are back with Nicole. Hannah Jones Joy. NASCAR has banned the confederate flags. Protesters have destroyed confederate statues, and they have been Kohl's to change. The name of military bases named after confederate soldiers though trump has. Fused consider doing that of course, but let me ask you. What do you say to? People still claim that those are all. Symbols of southern heritage and not hatred and and slavery the that they shouldn't be erased from history. What do you? How do you? Respond to that. Well I have two responses one. We create monuments to Gora fi things and so getting rid of monument matter racing history. The history is still there. You can read about in books. You can go to museums. You can watch movies. We don't need to be glorifying people who are traders against this country who took up arms against the United States in order to preserve slavery as for the argument that it's about heritage. And about the south that erases the major that half of black Americans live in the south, and they are southern, and they certainly don't consider that to be their heritage. You could say that a Nazi flag is the heritage of someone, but that doesn't mean that you should fly it, so this is a reckoning. That's been a long time coming. I think we need to really understand how degrading and demeaning it is to expect black people to go into buildings and to go into parks. With images and statues, glorifying the people who fought to keep them enslaved Nicole people like top White House adviser Larry. cudlow insists there is no systemic racism in policing or in America really large, but you say police brutality against Black Americans has a distinct history rooted in so-called slave patrols. Please explain what you mean by that. Well I. Let me just say whenever they say that. They offer no evidence of that. It's not systemic that races, not systemic and law enforcement. They just have a feeling In fact, the FBI said it a report just a couple of years ago, saying that they were concerned that white supremacist groups including the KKK were infiltrating law enforcement so their own law. Enforcement Officials are saying that there a systemic racism problem in law enforcement. We also know that, at least in the American south and parts of the northeast, the place apartments came directly out of the slave patrols. A slave patrols were created by the white planter class to. To Guard and watch property, which was human beings, and to ensure that black people were where they were supposed to be and doing what they were supposed to do. One slavery ended though patrols in some places converted directly into the police force and the entire history of policing in this country. We have seen police infiltrated by premises organizations. It doesn't mean that every police officers racist, but you certainly cannot look at the evidence and say that there is not a problem with racism within law enforcement Nicole John's you. You are just one of those women I love listening. To because it's always, it's always enlightening, so thank you for coming in and being with us particularly on this day. We will be right back. Next. How does Washington DC mayor? Muriel bowser say she's supporting. The black lives matter movement by increasing funds to the police. She's telling the host nags. Welcome back the mayor of Washington DC Muriel Bowser is making sure that the black lives matter movement is too big for the White House to ignore and she's joining us now to tell us how she's doing that. Please welcome Mayor Muriel Bows and Please thank you I'm so glad you're here so glad you're here in the wake of the protests. You painted this massive. Euro saying black lives matter on the road, leading to the White House and you called, and this is one of my favorite things. A night light for you know who? Now since he's sent. Troops in your city all he has taken down the fencing surrounding the White House. You think he got your message. Well I certainly hope he got the message I'm I. Think what we saw from. This president is something that we haven't seen in our city. And that was federal troops on the ready federal police policing a local city national. Guard, troops hauled in from all over the country. And we saw peaceful protesters attacked by the federal government, and that should never happen so I decided when we saw those federal police out on the streets that we had to push back, and we had to make this area area for peaceful protests, and for an affirming message at this time right now, that says we have to have more justice and more peace. and fairness in policing. What happened in your city in recent weeks which you just described I'll say it again. Trump militarizing the streets federal offices violently clearing peaceful protesters from Lafayette Square. Quite appalling frankly it became a flashpoint in this movement. However, and you say that you had no morning that that clash was going to happen. How hard has it been to run a city on trump's home turf? Well our home turf I was born and raised here where more than the federal government more than the White House and the cat, but all were seven hundred thousand Americans live here. Pay Taxes here who raise children here. and. We want every right that every American has, and that's why we're fighting for statehood, and it's only through state statehood by DC becoming the fifty first state. Can we prevent Donald trump or any president from encroaching on the autonomy of? Citizens in Washington DC. Hopefully he'll be gone very soon, so the the house is voting on a bill next week to make DC the fifty first state. That's correct what we already know it's going to be. We already know though it's going to be. A Republican held Senate so then what? What's the next move after that? Well we don't let the Senate or the Republicans and either house off the hook. We know they've made plain that. This is a partisan issue is only about on them trying to stop to Democrats from getting in the Senate, but we know that's not what our democracy is based on we support and believe in the values that if you pay taxes, you have to be represented and one silver lining out of this clash that more Americans know. That Americans in the nation's capital, the only capital in the free world where it citizens are congresswoman. Get to vote. We do not have two senators that speak for us, so we are literally. Without a voice in the Senate and without a vote in the house, and that violates the principles of American citizenship, and it has to be fixed, so you're right -joy that is far as we've gone, and this is far as we go the first time we'll have an affirmative vote in the house next Friday so I wanNA thank. All of those brave members for standing up and doing the right thing but we know a Democrat in the democratically controlled Senate Democrat in the white. House and a Democratic president who move on this in his first one hundred days will achieve statehood for Washington DC. Mayor Bowser I was moved by the images of civil rights icon John Lewis standing in front of the bold yellow black lives matter lettering. He is currently fighting cancer, and at the age of it was pretty beautiful, but you are being sued by counter protesters who claim that the mural and the street renaming shows bias to one race, and meanwhile some black lives matter activists have called the mural. Performance and painted the words defunding police side it. What do you make of the criticism? Well Art Megan and we have in DC for a number of years funded arts project called Murals DC where we use our to send powerful messages all across the District of Columbia, in this is one such massive beautiful, affirming piece of Art, and I will defend our right to do that in any court in our land. More with. Is Not kidding which okay. Gene See I I love more with Mayor Muriel Basil while we cut back. There's this misconception that eating healthy mean sacrificing the foods and flavors. You enjoy hours of meal prep. Grilled chicken steamed Broccoli every single day. So how do you make life a little simpler? That's where freshly comes in. They understand that food needs to be delicious, healthy and easy. Because let's be honest. Life is complicated especially now with freshly you can avoid the grocery store and enjoy fully prepared dinners delivered fresh, not frozen. Right to your door. Put your feet up. Relax freshly chefs. Nutritionists do all the hard work. All you do is heat for three minutes and dinner's done. Imagine better for you golden. Oven Fried Chicken creamy springtime. And follow part tender, beef brisket, those are just a few of the thirty plus health conscious options to choose from join almost one and a half million satisfied customers skip the shopping prepping cooking and cleanup freshly is offering forty dollars off your first two orders at freshly dot com slash view. That's freshly dot com slash view. We are back with Mayor Meal Browser Sunny Mayor Bowser I spent a lot of time in DC with very fine police officers, both with the Metropolitan Police, department and the Capitol Police when I was a prosecutor there. You are seeking an eighteen point five million dollar increase in funding for the department, and also cutting decreasing for over four million dollars in local and federal grants from community based programs now DC as I know it well has the most police officers per cabinet in the country and one of the highest, if not the highest incarceration rate in the country. Why do these stats prove the DC? Police Department needs more money I mean your proposal mentioned specific increase of two hundred eighty thousand dollars for ballistic shields. May Be referring to how we just a budget maneuvers that we use to show. Labor costs are a labor improvement, but the only increase that the DC police are gonNA. Get personnel relate to our cadet program, which allows us to hire DC residents train them at the University of the District of Columbia before they enter the metropolitan. Police Department I as you know our police department is unlike any jurisdictions in that it has local responsibilities for sure but it also supports. Supports First Amendment demonstrations that are unique to the nation's capital, and so we feel very good about the number of police that we have and our ability to retain our officers and attract officers that share our values I'm not sure about the other reference that you made in terms of cutting programs but you know that we balanced the budget and sent it to the council in the year of a global pandemic, and just like every jurisdiction. We saw our revenues dive. We saw revenues dive actually by eight hundred million dollars out of a fifteen billion dollar budget so we looked across the board, and a lot of our programs had to take a haircut so that we could have a balanced budget. My budget is now I sent it to the council about four weeks ago. I in our public safety investments or more than policing policing is one part of the equation but we also include our investments in education and job training and this year, and this very significant budget year. We were still able to increase. Increase our spending for public education, because we see the number of our kids in our public schools going up, we've also been able to propose transformation of Infrastructure Academy that's training DC, residents for good paying jobs in addition to investing an ending homelessness and affordable housing, and making sure that we have non law enforcement interventions for public safety as well. We've been talking about June taint as you know. In some states, now are saying these are going to be holidays that people will know and will educate folks on it. Do y'all in DC. Is there a plan? To do something special for June eighteenth is. Is there a plan to educate people more about June eighteenth and in DC? Well absolutely and actually we have our own emancipation celebration in Washington DC that is a local holiday and has been going on five or more than that. Maybe eight years we've been celebrating DC emancipation day, and it's related to June eighteenth in a way because the Mansa patient. The compensated emancipation act. Preceded the emancipation proclamation in emancipation in D. C. happened. Many months before the entire nation, so we celebrate in DC as a holiday, and some people are aware of it, because it comes around text as April sixteenth, and that is a holiday in the district of Columbia for June teeth we also recognize it in DC this year by making a contribution to the African American history and Culture Museum of one of our street signs for Black Lives Matter Plaza. Man Thank you to mayor. Bowser we will be right back. Thanks. Next couple with will house on Father's Day share how they divide one in eleven to fifteen million odds by having identical quadruplets, and we've got a celebrity surprise they weren't betting on. We are really strong women people need to hear. Women have say, and that's how. We will back you what we will stand with you. WHO's anybody who wants to make it to? The next level in politics has to come on this show. Talking about the issues, everyone is talking about at home up to all of us to continue the conversation. I'll see you on the view to you on the beer. That's enough. Genuine, Have a lot to celebrate on father's Day, but maybe too tired to do it. They recently became one of only seventy two couples in recorded history to become the parents of identical quadruplets. Please welcome Jenny and Chris Smart Hey you all and hello you for him. What how? Congratulations on these days we learn now three months old and so less meet everybody. All of their names begin with the letter eight, so tell us who's who and how can you tell who is? Who because their parents, but still? Tell me we have order so Harrison Hardy. In Hudson. Oh. They're beautiful and Jenny. Tell us about the day you found out. You were having quadruplets. What it actually means to have identical quads. I have a friend well. We all have a friend. Are Abby Huntsman who was a coast on the show? She had twins and her husband fainted when he found out they were having twins can't imagine for. Chris feeds into. We initially found that you're having. Agents, you want them in the skin. When she said triplets when my oxygen said triplets, he was sitting down. Thank goodness and He actually goes fight and likes slumped back in. A week later we found out there were four, and we both kind of just stopped breathing for a second. And then we're like okay. What is wrong with the engine centers or yet? He'll. Look at that it beautiful. That's you with carrying four. Weeks before I gave birth. What? Way Two, hundred and twenty seven pounds when I gave birth to my child. It was all. Chip and salt and bloat that it's amazing and with four babies. How many bottles and diapers do you go through a day, you think. The bottles I've leveling ginny answer that thirty miles a day and it's around forty diapers so twelve hundred dollars a month. Romney many bottles that has a lot lot of trash diapers wipes. Well making an I have some good friends who who want to say congratulations. And I guess we should just tell them to come on. In come on in Kristen and DAX. Come in and say hey, guys, how are you? What are you? And tell everybody was doing here now. We just want well look. This is being one of seventy two couples in the whole wide world. It's pretty astounding and we. Talk a lot about parenting amongst ourselves and publicly, and we just wanted to say congratulations in meet these little guys. Thank you so much golf. That's amazing. Kristin you and Dax the parents of two girls, ages, five and seven. Be honest with our new parents. How are you doing with your little ones during this quarantine? Well. You know. It's a little bit like being trapped on a submarine with live ferrets. A LAW! Ebbs and flows, it's just like life, and that's why you just got it. Accept it sometimes, it's way too much, and you wish they had a volume knob, which is about ninety percent, and then there's ten percent release you and it's absolutely perfect. Ferrets. Dax I think. Maybe you know this, but I absolutely love your podcast. Armchair expert I listened to every episode on you to people like Melissa McCarthy, Rob Lowe, and Alicia keys and this week, the backstreet boys about their shortcomings and struggles your very candid. You're very open as the data two girls. What expert advice can you give to Chris About being a dad? and Are you surprised about the success of your podcast? yes, I. Am I can't believe anyone to. Chris my from the bottom of my heart. I urge you to find a hobby that takes you very very far away from your family. Hi, ride motorcycle at attract. One hundred miles away. You need something that's hours away. And then you get on an. Survival. Survival. Now let me Let. Let's do something you guys. Let's let's be honest with everybody. Youtube Ingest. Come here to say hello to them. Why did you come? Well we we own a plant based organic diaper company, and we would like to offer you unlimited diapers and wipes for the next year. Helped me get all under diapers. We didn't come to say hello came to say l.. Bellow because it like we want to be there. Part of why we started, the company was to create a community genuinely something that we felt proud about the products, but also where we could create a community on any the. Some of that money saving I want you to spend it on yourself. Okay you. He's GonNa. Have is his hobby. Motorcycle Immune Expensive Chris. But we just wanted to say that. CONGRATS, sins and parenting is hard, but it's also the most worth thing on the planet, and so hopefully this could ease a little bit of your first year and take some stress off, so you can have everything on us for year. You are now forever, also members of the view families, so we are giving you these. View Co host one. And to make sure Chris knows. Who's who in those little baby bundles? We put their names on the back side. Always be able to. Tell which babies wherein which of course if you remember who you put it on in the first place, so you might not ever remember who it is, but what's better than that and we wish you nothing, but the best and Kristen and DAX. We thank you from the bottom of our hearts. Our sponsor Hello Bello for the incredible gift that you all have given, and we'll see all you guys really soon. Thanks y'all. 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Influencers with Andy Serwer: Misty Copeland
"This episode is brought to you by a wild wild tech, a fun new podcast that goes deep to find head-scratching stories about the weirder ways that text shapes our culture like how the US Army's recruiting the next generation of soldiers on twitch or that apple changed how their products were designed just to look better and movies or that an AI is producing hundreds of thousands of melodies. Every second just to dismantle music copyright law here. Not GonNa believe the weird stories that Wild Wild Tek uncovers about how the technology companies you know and love are changing our culture subscribed to wild wild tech. It's available now wherever you listen to podcasts. Misty Copeland Unlikely Rise to superstardom is second to none. She defied expectations as one of the first black ballet dancers to climb to the top of a traditionally white industry, and then she transcended dance altogether becoming an author and advocate with nearly two million instagram followers. When the coronavirus shutdown ballet companies worldwide Copeland helped launch a fund that has raised more than two hundred, eighty thousand dollars for dancers suddenly put out of work in this episode of influencers Misty Copeland joins me to discuss how the performing arts are grappling with the pandemic and whether this moment of racial reckoning can bring change on and off the stage. Hello, and welcome to influencers. I'm Andy Serwer and welcome to our guest Misty Copeland Principal Dancer at the American Ballet Theatre Co founder of the entertainment company life in motion productions and author of the forthcoming. Children's book boneheads. Misty Nice to see you. Thank you so much for having me. There's so much to talk about. But let's start off with the coronavirus and the arts and talk about ballet companies canceling their seasons. Including Yours. What has been the impact on the artistic communities. Specifically Ballet. When it comes to coronavirus? Wow you know I feel like A lot of the impact haven't even seen yet. I feel like it's going to impact us for a couple of years to come. I think more so than than anything it's been difficult for. For people who spend their days spend their lives invested in. In this art form and we're very physical people I mean, we spend hours at a time partnering one another and very intimate environment Sydney just getting out of that in not have that personal human connection I think is a bit shocking. Emotionally. Psychologically. But you know logically just like so many people in the world you know dancers have been furloughed. There's there's no way of making making money right now in the theaters are shutdown show you know it's been it's been really difficult to be confined to these places and not able to keep our training which you know it's the same way that any professional football player basketball player and I know a lot of them have training facilities in their homes and access to that with dancers don't make that kind of money. So trying to maintain on staying in shape and Outta level to be able to kind of jump out of this whenever whenever we can is pretty impossible. So part of my journey during Kobe has really been to try and lend my platform in my voice to be able to help dancers who are without jobs are struggling to keep food on the table over their head through an initiative that I hope she start called swans for relief to get funds out to different dancers from companies all over the world. So I think in the long run that the Danton learn from this because we've never really been pushed to have a virtual presence and I think this is kind of GonNa make a step up our game and be able to access more people around the world by having a virtual presence. What's the path forward here misty both in the short and intermediate term Summer, turning to outdoor performances say theater is in concert. Do you feel comfortable doing that? Have you done that or would you do that I have not experienced it in this time I have done it throughout my career So hard thing finding more of those types of venues but I. do think that's a direction that we should be headed just from my own experiences some of the some of the projects I'm working on with my production company. I've already been exploring before this. Hit exploring that type of performance where you're actually going into community so that those communities feel like they're part of it because valet can be so exclusive and a Lotta people especially in the black community just don't have often felt like I it was their world. So I think this is a big window, an incredible opportunity for the dance role to able. To step up in really in fight more people into our world. So I think that outdoor performances are definitely something that we should all be looking at in. Even if you can open up your window, I'm looking out my window right here on the upper west side of New York City, open your window, and see a performance happening gallon the street I think is. Available. Another facet would have to be did at all and you know obviously people have watched ballet's on television for decades but what about a live digital ballet have you? Twelve. Yeah, I mean that's also something that has been done before a lot of kind of ahead of the game is is a Horse in Europe where Valet started its European art form. But, those those types of performances do happen I. think that the difficult thing about in the United States, we have so many union than somebody regulations and rules, and I think that again, this is an opportunity for us to step back and take a look at all of these things that are very old very traditional but that we need to kind of reassess. And revamp and I think that our digital presence on being able to you know we've had discussions about having the performances that happened at the Metropolitan Opera House being. Shown outside of the Mat in front of the Fountain for people to you or way to do that and I think that this is the time that lead to be on really venturing in into those spaces and learning how to do it, and how to change all of these restrictions that in the end only hurting us. You mentioned swans for relief new toss a little bit more about that. How started how much money you raise maybe where you've distributed specifically yes So it's a gofundme me on a gofundme page and it started out with a mutual dancer of Miami. Both danced at American Ballet Theatre I'm still there he's now dancing in Manila the Philippines and he came to me with this idea and asked if I would lend my my voice and my body as you know as a dancer. And to just to to bring funds to a his company that he dances within the Philippines and I thought wow, this is an opportunity I think for dancers all over the globe to come together and unite and I feel like this time has been kind of the opposite of that. Especially in the United States rifling, we should be joining forces, different countries and really coming together in warning from what you know what everyone's experiencing. So I reached out to as many dancers you know the small community the. Dance world even dancers at or in other parts of the world inside US reached out to as many people that I know and other people that I thought would be an asset to the project and everyone reached out. He said, yes, she ended up with thirty two Valerie us from twenty two ballet companies from fourteen countries and he's dancers came together and I thought it was really powerful leading up to same thing that we were each zooming ourselves in our homes on performing the same variation it's very traditional. Awesome. And to have to see all of us together and Not just like that human experience in how much dance art has always been a part of of healing and bringing people together. It's universal language and so are we have gone a little bit past? The halfway point of our goal, which is five hundred thousand and we're still pushing. Of course you know it's so difficult when you're with black lives matter and just kind of being respectful to you know just what everyone's going and So it's been difficult to kind of balance all of those things and putting up on that. You know with my own personal experiences of what's going. On the world, the black community but. I think we have one more push us just to get some more funds but I, think any any little bit is going to go a long way for all of these companies across the world. You mentioned black lives matter I want to get to that in a second but I what about the stimulus checks and unemployment insurance have have that has that made a difference to dancers and do you think that there should be another round of stimulus for those? Dancers are really struggling I don't think that it has been fat that useful. Especially, in the United States, we have a lot of foreigners that come from other countries that are dancing with American ballet theatre. I'd say probably the most culturally diverse company in the world. So a lot of these dancers can't even claim or get any of that money. But. The dancers that can you know when when. These major companies we live in? Some of the most expensive cities in the world and a lot of the dancers have had to. Leave the city, go back to their families or homes or back to their countries, and so you know I that this kind of is a is a bigger picture but just you know having just more arts funding period and having ways to distribute that in in in a way that I think dancers and artists have never really seen That's what I'm constantly pushing for is changing the narrative of how dancers are seen giving them opportunities like any professional athlete has to have endorsement deals and just to be. Treated as you know, any other artists is in especially in no high art form. I WANNA shift gears a little bit and ask you about the racial justice protests what was your reaction or your reaction presents tense to. The protests in the wake of the killing of George Floyd and others, and why do you think resonated with so many people black Americans, but white Americans too. I. Think that there was there's no way to. To prepare or to. Recreate something like this. I think that it was just literally the perfect storm of people feeling frustrated people being home because of Covid nineteen and then to have to be forced to deal with what so many people can easily. Close their is to and you know I think most black people would say that. The same question like why now why are people now seeing it? This isn't the first time. This won't be the last time and I really think that it was just. These powers came together at the right time but you know for me it's the first time as in my position that I feel like I'm truly being urged into a step. This has been my life's work as a dancer speaking about racism in the World Annan Valet speaking about the lack of diversity. And to have you know, am I taught my company to have the ballet world listening and and to have June panels into the speak about this in a way that I have before but again for the first time people are. Amd I think that that's what's different about this. I'm is that I feel like we have true allies in people from other communities in races that we have. You recently retweeted an open letter to the Harvard Crimson that called the ballet industry laughably behind on racial justice. So how big a problem Mississippi is racial injustice in that community and how can it be addressed? I mean I think by Taking this opportunity when the world is, our eyes are wide open and people are listening something that the valley world has been very easily. Able to just kind of get away with. Something that I've I've still talked about very openly and freely. In trying to be respectful. That can because I know the deep rooted traditions in history and classical dance and especially again at European art form in the fact that we still perform those ballets that were created in that time in Europe to this day You know also just says a lot about where we are in the valley world when it comes to racism. I think that we are extremely behind but again, the more that you shine that light on the ballot community, the more they're gonNA be forced to have to address it again, I feel like this is the first time that we are actioning addressing it in the valley community. I mean black face is still used in ballet and you've been critical at why do you think it's remained a part? It's unacceptable in other forms in American society. Nine that's the small like odd difference with the ballet world and You know there are there companies and other countries like for instance, the Bolshoi in in Russia and their reasoning is that that's not their history. So it doesn't have the same meaning to them and it's like. Well, the ballet ballet is all over the world go on Youtube and you can watch the Bolshoi Ballet and see that. So it's not solely isolated like maybe once was and. If, you want to keep the art form alive and relevant and growing. You're going to have to open your doors to everyone and you know and all I can do is pointed out and say that these things need to change because you are you know kind of neglecting and entire community or hurting an entire community. Why would they want to pay for a ticket in come into the theater when they're going to be disrespected on the stage? This episode is brought to you by wild wild tech a fun new podcast that goes deep to find head-scratching stories about the weirder ways that tech shapes our culture. Like how the US Army's recruiting the next generation of soldiers on twitch or the apple changed how their products were designed just to look better in movies or that an AI is producing hundreds of thousands of melodies every second just to dismantle music copyright. Law. You're not going to believe the weird stories that wild wild tech uncovers about how the technology companies you know in. Love are changing our culture subscribe to Wild Wild Tech. It's available now wherever you listen to podcasts. This as a celebrity, what do you think your role is? Or maybe even your obligation to advocate for change in terms of racial. Justice. You know I it's something that I feel like I've taken on solely by myself because I felt that it was my responsibility. It was never something that was put on me and I don't think that it's everyone's position or that everyone feels comfortable speaking out. I initially got into ballet because it's a silent art form and I was so introverted and I didn't want to speak. I wanted to express myself through movement but you know it got to a certain point. Before, this but not the first decade of my career I was the only black woman in American Ballet Theatre and I just felt this sense of panic. That was like am I ever going to see another black woman in this company with me or in my lifetime, and this is an opportunity to take advantage that I thought I saw myself as more than a dancer but. This is an opportunity for me to hopefully make change for the next generation to carry on stories of dancers. He's named so many people don't know because they didn't have the opportunities that I have or you know the black black ballet history dancers are histories are so often just kind of erased and lost in. That's also one of my missions to tell so many of those stories. A few years ago you criticize then CEO Under Armour Kevin Plank about comments he made about President trump was that difficult to do I mean given the urine under armour athlete and and what made you make that kind of call. You, know I I yet it was. It was difficult in that I wanted to do it in the most respectful way. You know I had. Spoken to Kevin. Plank you know before releasing my statement hearing. His intent and what he had to say. So it was never you know in attack you know I feel like everything that I approach is to open a dialogue. It's it's to to have a conversation in it's not just a kind of attack one-sided I wanted to make it clear coming for me as a black athletes. You know that was a was ambassador an athlete for under armor that I don't have those same beliefs as our president and and separating it in that way rather than just putting down Kevin Plank or saying that you know we can't coexist because we have different ideas. But. Just to really separate myself from anything that I just don't stand for. His difficult to sort of make this call where the head of an organization support trump and yet maybe use their products or somehow interact with that company organization. It's such a hard balance. You know I had already been with under armour for years. You know when when that happened But I'm very cognizant of all of the brands that I'm a part of. It has to really align with WHO I am and and and you know if I'm if I'm walking the walk, I need to talk the talk in I'm detached to a brand. It's not going to just to be seen. It's not going to be because I WANNA make money it's going to be because I think it will make a difference I think will bring value to more people. It'll include more people. So is a very difficult and unusual position to be in in the midst of already been having been an athlete for under armor feel like You know even you know Steph Curry and myself spoke and Kinda came together on our feelings about moving forward with under armour and what we felt under armor really stood for, and in that you know we could coexist with. Just ninety miles. I don't know if you ever. Think about or get involved anything like boycotting means over CEO's comments on on trump's I. That's something. That resonates with you. Yeah I, mean I I see it all I. I hear it all but you know I I do my best to to really stay in. I don't WanNa say stand right lane because that sounds like I'm like you know just. Not Open enough to be able to be free. But I, think in in using my voice in a way that I think it will be most powerful. I'm not just kind of putting my my two cents into every everything that comes out there that's political but really the. Tab Shoe, impact on and that really Mitt makes sense for me means something to me. I want to go back to ballet and then ask you a little bit about some of your non ballet pursuits. What direction is your artistic thinking taking you towards these days? What are you interested in artistically number one and number two? Are there already Cova D-. Influenced works out. there. You know it's so interesting because I like a lot of a lot of the work I've been doing in the past year or two is even more relevant than than it was then it is now. I think that artists have away of kind of like stealing out things that are going you know they have a pulse on what's happening with humanity and and in the world, and so I feel like we're often kind of ahead of the ahead of the you know the the game when it comes to creative concepts artistic but you know I've naturally. I've had a lot of opportunities throughout my professional career, but they're all connected to ballet into dance in some way, and that's definitely where I'm still headed nor have I think six books in the works right now, new books to add to my list you know with with the production company, a lot of the the goal of not what we want. To deal with life motion is to tell the stories of black and Brown women to tell the stories of the people that don't have a voice or are Austin Hurd and to do it in a beautiful and artistic way and I think that the arts are way to bring people together from all parties, no political parties and to to do it through. A way that people can interpret things in take away something bigger than one side or the other. Sean. COVID or I hope post Kovic. Misty Copeland life is what abt and life in ocean and how do you divide things up, and then what exactly are you doing life in motion? It's a lot and I feel like it's been my my career for like the past ten years. So it's not really that new I. Think if anything I'm I'm the time with American Ballet Theatre is spent doing things that I feel like I'm really excited in motivated to do you know what I'm approaching my twentieth season with the company. So I've done a lot of the rep over and over and over again. So now I'm at a Place where you know when I'm on stage I, want it to be really impactful I. Want it to be something that inspires me as well as others, and then to use my time, you know making works that I'm excited to dance that are created on me Yes it is split between just balancing immune. It's it's my poor manager. She's winning balances my schedule and has to make it all work but you know it's a lot of sacrifice. And with Covid nineteen I feel like it's been a moment for me to step back for the first time in my whole career. Not Be dancing every day and to open up my mind and expand my artistic creativity you know in different ways meeting scripts, writing scripts just talking to people about ideas coming up with concepts working on books so. It's really hard to predict what it will be like coming out of this, but it's going to be a balance of all of those things still. and. So so life emotional you use to create books or were artistic pieces, ballet works or what? Exactly what forms is your work taking? Yes. In television. There's you know we also have different concepts to do more You know whether it's not youtube in particular that platform but but online in that way where you know whether it's creating a PSA. Is something like swans for relief you know eventually, we may want to produce a curated actual live performances, not necessarily all attached to Valet, but it could be just a collaboration of artists coming together So you know it's it's not at this. Point it's not live live performance. So right now, we're really just focused on on film and Television UNSCRIPTED instrumented. And you're looking to create or that reaches socio economic groups that might otherwise not be involved in the arts. Why's that important to you? Absolutely, I mean just from my own experience I'm in a wool have been in a position, my entire twenty years professionally. Of kind of representing people that are voiceless s not just because I'm black because I'm a woman because dancers are often not even given a voice. You know we're we're told to shut up and dance and that, and that's how a lot of people see few. Athletes, and so I feel like it's an opportunity to give give life to so many voices that need to be heard and that can change peoples lives. You know I feel like if I didn't have a chance in a platform to speak on so many people wouldn't connect to my story and understand the journey I've been on and how how relatable it is to so many people. How involved you? Get or would you get in politics? You actively support some or endorsed someone. Have you thought about that or maybe you've already done it no I definitely try and stay away. From you know I think that I'm I'm already under a microscope and put myself out there. For so much scrutiny but I do it because it's something I truly truly believe in and I think that there are ways of. Of helping and whether it's getting people to vote whether it's giving voice. To dancers to inspire them the their presence in the importance of art can influence so many people in this time in politics, and so I think that you know I definitely feel that it's important to know it's happening But like there are other ways that I can do it to influence you know in that arena. To Mentor you're. A ballet students, young girls, young boys. And Say to them how do you inspire them? I really try and. Listen I feel like that's a hard thing for a lot of a lot of young people to feel that that you know whether it's mentors or people look up to results that they really are listening to them and hearing them. and. Then just encouraging them to to believe in themselves, and that's like an obvious on but to to understand the power of their voices. To understand the power of being an individual I think especially in this day and age. With, social media that everyone just wants to fit in and be the same look like the person next to them and get the most followers in lakes in it and something constantly. Saying that it's so much more beautiful and unique to be an individual and into just own that power I mean I feel like it's everything that I've stood for. Entering. Into a world, I was seen as not right just not the right fit not the right body lot. The right skin color in that I've succeeded. I go to Lincoln Center into the Opera Symphony and the Ballet Carnegie Hall as well and the audiences lot me misty. Older people and we've all talked for so many decades about trying to crack through in and make it more appealing. All these art forms appealing to younger people. Have we made any inroads and what can be done there and you think. I mean I guess it was Gosh on how maybe like eight years ago seven eight years ago now that I saw a huge shift at least in the audiences are coming to American ballet theatre's performances near the first performance. I ever did of the firebird at the Metropolitan Opera House New York City was the first time I. Think ever that we had seen the Metropolitan Opera House more than half full of black and Brown people and young people like babies little lay you know three and four year olds are sitting through an entire evening so. I think once you open the door and show people that they can be a part of that. that you start to change the obvious when you make them feel welcome and you feel they feel represented but I think we we have a responsibility to keep it out. It's not just one person that can be does that in it it you know it's something that you have to continue to nurture but I do have faith that it's it's possible but you know it takes more than one person to do. This mystic open thank you very much for your time Inc. so much for having me. I'm Andy Serwer you've been watching influencers. We'll see you next time. Thanks for listening to influencers don't forget to rate review and subscribe on Apple podcasts or wherever you get your podcasts. And Follow Yahoo Finance on twitter at Yahoo Finance and at Sir were. Thanks for listening to influencers. Don't forget to rate review and subscribe on Apple podcasts or wherever you get your podcasts and follow Yahoo Finance on twitter at Yahoo Finance and Sir. 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