Latest / The Steve Harvey Morning Show / Financial Tips: Money Saving Tips for “Your Best Financial Life: Save Smart Now for the Future You Want."

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Financial Tips: Money Saving Tips for “Your Best Financial Life: Save Smart Now for the Future You Want." · The Steve Harvey Morning Show

0:05
Speaker 1: Welcome to Money Making Conversations.
0:06
Speaker 2: It's the show that she is the secrets of success
0:08
Speaker 2: experience firsthand by Marketing and Brandon expert Rashan McDonald. I
0:12
Speaker 2: will know he's giving me advice on many occasions. And
0:14
Speaker 2: in case you didn't notice, I'm not broke. You know
0:17
Speaker 2: he'll be interviewing celebrity CEOs, entrepreneurs and industry decision make
0:21
Speaker 2: because it's what he likes to do, it's what he
0:23
Speaker 2: likes to share. Now it's time to hear from my man,
0:26
Speaker 2: Rashan McDonald money Making Conversations.
0:28
Speaker 3: Here we go.
0:31
Speaker 1: Money Making Conversation Master Class is a show that I
0:33
Speaker 1: bring information to you. Is for everyday people and I
0:37
Speaker 1: always tell people, you know, don't let anybody stop you
0:40
Speaker 1: from following your dream. Live your dream, be your dream.
0:43
Speaker 1: Your dream can happen if you want it to happen.
0:46
Speaker 1: That's why I created this show. My next guest is
0:48
Speaker 1: one of the leading people in the financial market. We're
0:52
Speaker 1: going to get into detail about her, but her new
0:54
Speaker 1: book helps younger savers find long term saving success by
0:59
Speaker 1: overcoming their behavioral biases. Please welcome the Money Making Conversation
1:04
Speaker 1: Masterclass and Lester, how are you doing?
1:06
Speaker 4: Ann and I'm great.
1:07
Speaker 1: How about you? Well? And you know I always tell
1:09
Speaker 1: peop when they come on the show, you know, Toalding
1:12
Speaker 1: all this financial knowledge, I need a little background, need
1:15
Speaker 1: a little history. What makes an so financially smart? Talk
1:20
Speaker 1: to us?
1:20
Speaker 4: Oh well, I don't know about smart, but I I
1:26
Speaker 4: guess I managed billions of other people's money for about
1:30
Speaker 4: twenty five years. Did it pretty well according to some
1:34
Speaker 4: folks who gave me some awards for it, Morning Star.
1:37
Speaker 4: But the reason I wrote the book Your Best Financial
1:41
Speaker 4: Life is because I made every single mistake you could make.
1:44
Speaker 4: And you know, it took me a while to figure
1:47
Speaker 4: out how to not make all the mistakes I was making.
1:50
Speaker 4: So for me, the book is really kind of combining
1:53
Speaker 4: what I learned after you know, I guess almost thirty
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Speaker 4: your career in asset management with you know, kind of
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Speaker 4: fifteen years of just stupidity and you know, trying to
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Speaker 4: help people not make those same mistakes.
2:07
Speaker 1: Right, And the book you're talking about is your Best
2:09
Speaker 1: Financial Life? Say smart? Now for the future you want,
2:13
Speaker 1: because we're always talking about the future, is there a
2:16
Speaker 1: I know you have to answer to this, but I
2:17
Speaker 1: just want to hear our public because we always get
2:19
Speaker 1: to a certain point we think we can't save anymore.
2:22
Speaker 1: Is there a lockdown point that people need to just
2:25
Speaker 1: stop talking like that? Because you can save at any
2:27
Speaker 1: age as long as you have a plan. Is that correct?
2:30
Speaker 4: I think it is for most people. But you know,
2:33
Speaker 4: I think we have to be honest, like, at some
2:36
Speaker 4: points in your life you just may not you know,
2:38
Speaker 4: you may just be scraping by to make the rent.
2:40
Speaker 4: And you know, I don't want to say that everybody
2:43
Speaker 4: can just dig a little deeper and squeeze a little harder,
2:45
Speaker 4: because there are some folks I'm sure who are listening
2:47
Speaker 4: to this who can't do that. But one of the
2:50
Speaker 4: things I talk about in my book is you may
2:52
Speaker 4: not be able to do it this second, but you
2:55
Speaker 4: certainly can do it in the future. And the way
2:57
Speaker 4: you get there is to make a commitment. You make
2:59
Speaker 4: a promise yourself that the next time your income goes
3:03
Speaker 4: up a little bit, the next time you get a
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Speaker 4: little bit of money, that's what you save, because sometimes
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Speaker 4: you cannot squeeze it out of where you are right now.
3:09
Speaker 1: You know, It's really interesting because as you go through
3:13
Speaker 1: as you as you gain financial success, we tend not
3:17
Speaker 1: to you know, like instance, if I if I operated
3:20
Speaker 1: on the lifestyle I had while I was going to college,
3:24
Speaker 1: but then I got a job, then I upgraded the
3:26
Speaker 1: car and upgraded the apartment next to the arm in
3:29
Speaker 1: the house. We keep upgrading, We keep upgrading. And when
3:32
Speaker 1: you talk about ways to hack your brain to make
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Speaker 1: saving easier, is that the hacking part to stop the upgrades?
3:39
Speaker 1: And we tend to invite ourselves to when we get
3:42
Speaker 1: certain levels of financial uplift or how do we is that?
3:47
Speaker 1: Is that what we're talking about when you're hacking the brain?
3:49
Speaker 4: That is a big one. Right. Make sure you you
3:52
Speaker 4: know the rule that I give people to save at
3:54
Speaker 4: least half of every raise. And as you say, right,
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Speaker 4: nobody wants to live a life that they were living
3:58
Speaker 4: in college, right or their first job. Right, it's just
4:00
Speaker 4: not very much fun. But if you let yourself take
4:05
Speaker 4: all of your raise and use that on the brand
4:07
Speaker 4: new car, right, you were just talking about Tesla's right,
4:10
Speaker 4: you just want to go buy the fancy Tesla or
4:11
Speaker 4: the fancy whatever, right, And your whole raise goes into
4:14
Speaker 4: that new car payment, you're not getting ahead. And then
4:17
Speaker 4: the next raise you get, you're like, well, I want
4:18
Speaker 4: to remodel the kitchen, and there goes that raise again. Right,
4:20
Speaker 4: So what you need to do is get into the
4:23
Speaker 4: habit of not letting yourself use all of that. You know,
4:26
Speaker 4: I call it consumption creep. Right, Your lifestyle just keeps
4:29
Speaker 4: getting better and better and better, and if you don't
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Speaker 4: increase your savings rate at the same time, you're really
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Speaker 4: creating a world of pain for yourself in the future
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Speaker 4: because you will need to have saved more money to
4:42
Speaker 4: maintain that lifestyle when you retire, except that you're not
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Speaker 4: saving anymore.
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Speaker 1: Well, you know the interesting thing, Like my daughter you
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Speaker 1: called me the other day. She said, Dad, I want
4:51
Speaker 1: to come sit down with you, because I always talk
4:53
Speaker 1: about you know, honey, if you start saving early and
4:57
Speaker 1: your in twenties, it's going to be a fantastic life
5:00
Speaker 1: in your fifties and sixties. There's something people told me,
5:02
Speaker 1: and I kind of did it, and but I didn't
5:05
Speaker 1: do it. You know, I saved, and I took some
5:07
Speaker 1: money out. I saved, took some money out, and so
5:09
Speaker 1: I kept beating up the plane. I had the plan,
5:12
Speaker 1: but I kept beating it up, kept pulling that and
5:14
Speaker 1: diverting it. I guess I should use the word diverting it.
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Speaker 1: And now, now when you sit down, when I sit
5:20
Speaker 1: down with my daughter, and what advice should I initially
5:23
Speaker 1: start communicating with her about the future and money.
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Speaker 4: So this is the same conversation I had with my
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Speaker 4: son when he graduated from college five years ago, which is,
5:34
Speaker 4: you have to start saving. And if you could only
5:37
Speaker 4: save a teeny tinmee little bit, that's fine. And he
5:39
Speaker 4: started working for a startup that didn't offer a four
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Speaker 4: to one K plan and I was like, all right,
5:44
Speaker 4: then build up your emergency fund first. Make sure you
5:47
Speaker 4: get three to six months of your living expenses saved
5:50
Speaker 4: up in that way, if that startup fold, you know
5:54
Speaker 4: you're not going to be freaking out and moving home
5:58
Speaker 4: if done. But you know he didn't want to.
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Speaker 1: We didn't.
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Speaker 4: You know, nobody would have liked that outcome. But right,
6:04
Speaker 4: but you know, if you start, you know the building blocks, right,
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Speaker 4: So that first building block is an emergency savings fund.
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Speaker 4: And if you can only put in twenty five or
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Speaker 4: fifty bucks a week or a month, like just start right.
6:16
Speaker 4: It builds the habit and then you change the way
6:19
Speaker 4: you look at yourself and you're suddenly a person who
6:22
Speaker 4: is a saver. Right, you're a saver, and you suddenly
6:26
Speaker 4: are like, yeah, I can do this, even if it's
6:27
Speaker 4: not a lot. And then the next time you get
6:29
Speaker 4: that first raise, like he got a raise and I
6:32
Speaker 4: was like, all right, you're saving half of that. And
6:34
Speaker 4: then his emergency savingstone was built up I don't know,
6:37
Speaker 4: not that long because he got kind of a nice raise,
6:39
Speaker 4: and so he threw all that news emergency savings fund.
6:41
Speaker 4: And then his company got bought. The company that bought
6:44
Speaker 4: him had a four to one K plan. I'm like,
6:45
Speaker 4: all right, take half of that raise that you just
6:48
Speaker 4: got and start throwing it in your four one K plan. Right,
6:50
Speaker 4: that's how you get going. And if you start in
6:52
Speaker 4: your twenties, you can start really small, like one, two,
6:55
Speaker 4: three percent of your salary, and you know, five years later,
6:59
Speaker 4: suddenly you're saving fifteen or twenty percent of your salary,
7:01
Speaker 4: which is a huge number. But that's really what most
7:05
Speaker 4: people should be targeting out of their paychecks. And you
7:08
Speaker 4: can't do that all at once, like it's just too painful.
7:11
Speaker 1: Okay, cool. So the word we keep using this word
7:14
Speaker 1: is savings, and that Yeah, I want to slow that
7:17
Speaker 1: down because we're not talking about the traditional saving account
7:21
Speaker 1: that you hear that has very little interest return. We're
7:24
Speaker 1: talking about investing type savings or that's when we're referencing
7:28
Speaker 1: right one.
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Speaker 4: Hundred percent, and I use that as a shorthand. But
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Speaker 4: it's a saving and investing. It's a two step process, right,
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Speaker 4: Number One, You've got to save the money and for
7:38
Speaker 4: something like your emergency savings, you could put it in
7:41
Speaker 4: the traditional bank savings account right now, you don't get
7:43
Speaker 4: paid any interest, so that's not great. You should find
7:46
Speaker 4: a high yield savings account for that, but that should
7:49
Speaker 4: be in a place you can access it quickly, and
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Speaker 4: that I would not invest that emergency savings at three
7:55
Speaker 4: to six months. I would not invest that in like
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Speaker 4: the stock market. But your retirement money, right, long term savings.
8:01
Speaker 4: If you think you might want to buy a house
8:02
Speaker 4: in ten years, right, if it's if you're saving money
8:05
Speaker 4: for something that's longer than five years away, you should
8:08
Speaker 4: definitely be investing that in a mix of stocks and bonds.
8:11
Speaker 1: Now, your book or your best financial life save smart
8:15
Speaker 1: now for the future you want now. What I want
8:18
Speaker 1: to also look back on is that you know I'm older,
8:22
Speaker 1: you know and look back on mistakes you can't look
8:25
Speaker 1: back on the spilled milk decisions that you may financially,
8:30
Speaker 1: because that can hurt your decision making in the future.
8:33
Speaker 1: You have to really stay focused on the plan and
8:36
Speaker 1: you put that plan in place. Do you if you're married,
8:39
Speaker 1: do you put the plan in places as a couple
8:42
Speaker 1: and you present it as an individual presented to your
8:46
Speaker 1: your partner? How does that work?
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Speaker 4: I wouldn't do that. I don't think that'll go very well.
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Speaker 4: I think, you know, ideally, this is something you talk
8:58
Speaker 4: about when you're dating. Right, Ideally, you like you have
9:02
Speaker 4: a conversation where you're creating some financial honesty with each
9:06
Speaker 4: other about what debt you might have, right, what kind
9:11
Speaker 4: of lifestyle you like living? You know I talk about
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Speaker 4: in my book, like what kind of spender are you?
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Speaker 3: Like?
9:17
Speaker 4: Are you a saver? Are you a spender? Are you
9:20
Speaker 4: the kind of person? I call them ostriches. It's just
9:22
Speaker 4: like I don't even want to know about it. Don't
9:23
Speaker 4: make me look are you know? Like they're different kinds
9:26
Speaker 4: of behaviors, patterns, personalities, whatever that we all have with money,
9:32
Speaker 4: and that's something that you and your partner should hopefully
9:36
Speaker 4: have a handle on, Like before you tie the knot
9:39
Speaker 4: like before you get married. But I don't think it's
9:41
Speaker 4: ever too late to start having a conversation. The trick
9:45
Speaker 4: is right that money is something that a lot of
9:48
Speaker 4: people feel some shame about, some guilt about. Maybe it's
9:51
Speaker 4: something they never heard, you know, anybody talk about at
9:54
Speaker 4: home without a lot of anger or emotion. So it
9:57
Speaker 4: can get pretty uncomfortable. So, you know, I think it's
10:00
Speaker 4: it's a good idea to to try to talk about
10:04
Speaker 4: what you want to talk about and kind of create
10:06
Speaker 4: a roadmap for the conversation and then ideally so to
10:10
Speaker 4: say here's what I think, here's what I feel, Here's
10:13
Speaker 4: what's important to me. And you know, if one person
10:16
Speaker 4: thinks it's really really important to always you know, have
10:20
Speaker 4: the newest whatever and make sure you're you know, presenting well,
10:25
Speaker 4: like have new clothes, you know, if that's really important
10:28
Speaker 4: to you, and your partner is like, you know what,
10:29
Speaker 4: I don't actually want to spend my money on that.
10:32
Speaker 4: If we're not doing X or Y, Like that's a negotiation,
10:36
Speaker 4: and you've got to figure out how you're going to
10:37
Speaker 4: handle your finances together.
10:38
Speaker 1: That's a great Now I'm now I'm going to tap
10:41
Speaker 1: into your mind, your financial mind. I'm gonna have ask
10:43
Speaker 1: a series of questions that a lot that I that
10:47
Speaker 1: I want to know about. Here's my first one. Three
10:49
Speaker 1: questions to answer before you tap into your emergency savings
10:53
Speaker 1: that you've been talking about. Three of those what what?
10:55
Speaker 1: What are those questions we should we need to answer?
10:58
Speaker 4: So question number one is is is do I have
11:02
Speaker 4: to spend this money? Is it really an emergency? Like, like,
11:06
Speaker 4: is there any way I can avoid dealing with this?
11:09
Speaker 1: Right?
11:11
Speaker 4: And and one of the questions is, you know, is
11:13
Speaker 4: this an unexpected emergency? Is this is this really an emergency?
11:19
Speaker 3: Right?
11:20
Speaker 4: Do I have to spend the money? That's the second one?
11:22
Speaker 4: And then do I have to spend the money now? Right?
11:27
Speaker 4: Because there there could be an expense that's not an emergency,
11:32
Speaker 4: Like you can I don't know your phone battery is dying.
11:38
Speaker 4: I talk about this a little bit in the book,
11:39
Speaker 4: Like you need to brand new phone. You can like
11:44
Speaker 4: limp along and like get a little cheap battery pack
11:46
Speaker 4: and like make a last save up a couple months
11:49
Speaker 4: and then buy a new phone. If you drop it
11:51
Speaker 4: down the sewer, like you need a new phone, Like
11:55
Speaker 4: it blows up, you need a new phone, right, so
11:57
Speaker 4: so it's kind of like, how do you how do
11:59
Speaker 4: you decide what's a real emergency?
12:02
Speaker 1: And that kind of happened to me recently, and you know,
12:05
Speaker 1: because it's called that splurging factor because my phone, you know,
12:08
Speaker 1: and I'm just gonna be honest with everybody. I got
12:10
Speaker 1: one of those fold phones, right, and I in the
12:16
Speaker 1: screen cracked right, and my insurance because they said I
12:19
Speaker 1: dropped it. They said, hey, we're not going to cover that, Okay,
12:24
Speaker 1: so I had to. So this was that emergency talk
12:27
Speaker 1: to you was talking about. So they said, it's going
12:30
Speaker 1: to cost you five hundred and thirty dollars to repair
12:33
Speaker 1: it or two thousand dollars to buy a new phone.
12:36
Speaker 1: That's that decision, Okay, repair new, repair new, And that's
12:42
Speaker 1: the decision that a lot of people come to, going
12:45
Speaker 1: is there guarantee this repair is going to fix the problem. Well,
12:50
Speaker 1: I decided I'm going with the repair saved me roughly
12:53
Speaker 1: fifteen hundred dollars. And that's what you're talking about when
12:56
Speaker 1: you're talking about that emergency savings tapping into is it
13:00
Speaker 1: really an emergency? Is an emergency that you can look
13:03
Speaker 1: at and kind of like look at it on options
13:07
Speaker 1: until you don't tap into it? Is that an example
13:09
Speaker 1: a good example there?
13:11
Speaker 4: Maybe? I mean the way another way to think about
13:14
Speaker 4: it is is it unexpected?
13:16
Speaker 3: Right?
13:17
Speaker 4: Is it unexpected? Right? And you know, is dropping your
13:20
Speaker 4: phone unexpected? Yeah? I guess right, So yeah, is it unexpected?
13:25
Speaker 3: You know?
13:25
Speaker 4: The second question and I'm just going to quote for
13:28
Speaker 4: my book right now, right, am I I don't spend
13:31
Speaker 4: the money?
13:31
Speaker 3: M hm?
13:35
Speaker 4: You know, maybe like you need a phone, right, like
13:37
Speaker 4: you actually need a phone to function in the world.
13:39
Speaker 4: And then the third question is am I screwed if
13:41
Speaker 4: I don't spend the money now?
13:44
Speaker 3: Right?
13:44
Speaker 1: Right?
13:45
Speaker 4: And that's that's like back to that example of the
13:47
Speaker 4: phone with the dying battery, like still works, right.
13:51
Speaker 1: Well, I tell you my phone with De's green was
13:53
Speaker 1: completely going. And I'm telling you I couldn't even see
13:55
Speaker 1: numbers no more. It was pretty ugly there.
13:57
Speaker 4: I was pretty ugly that I think. I think I counted.
14:01
Speaker 4: And then and then you had a decision, right right,
14:03
Speaker 4: And you know, do I how much of this emergency
14:06
Speaker 4: funder like my immediate cash do I want to do
14:08
Speaker 4: I want to spend on this thing? Right? And is
14:10
Speaker 4: it is it going? For the whole brand new phone?
14:13
Speaker 4: Or is it trying to limp along and then maybe
14:15
Speaker 4: knowing all right, I know I'm going to have to
14:16
Speaker 4: replace his phone sooner or later. I better start saving up.
14:19
Speaker 1: Oh wow, it's awesome and we're going to go to
14:21
Speaker 1: a break here. I'm talking to and Lester, the author
14:24
Speaker 1: of Your Best Financial Life, Save Smart Now for the future.
14:28
Speaker 1: You want Money Making Conversation Masterclass, We were Shawn McDonald.
14:37
Speaker 3: We'll be right back with more money Making Conversations Masterclass
14:40
Speaker 3: with Rushawn McDonald. Welcome back to the Money Making Conversations
14:44
Speaker 3: Masterclass hosted by Rashaan McDonald. Money Making Conversations Masterclass continues
14:50
Speaker 3: online at Moneymakingconversations dot com and follow Money Making Conversations
14:55
Speaker 3: Masterclass on Facebook, Twitter and Instagram.
14:59
Speaker 1: Hi, this is Rushan mc You're listening to an interview
15:01
Speaker 1: with Anne Lester. More than thirty years JP Morgan, Asset
15:05
Speaker 1: Management of Retirement Solutions and former Head of Retirement Solutions
15:09
Speaker 1: JP Morgan Assetment Management, Incredible Award winning speaker business person
15:16
Speaker 1: on my shoulder. Data is talk about breaking down money,
15:20
Speaker 1: money that you're spending, money you need to save, and
15:22
Speaker 1: how you deal with that. Recently, you send us a
15:26
Speaker 1: couple of questions, and one of the questions that popped
15:27
Speaker 1: out of my head I really needed you to explain
15:30
Speaker 1: was called subscription detox. Seven ways to take back your
15:35
Speaker 1: finances from online subscriptions. You may not even know you
15:39
Speaker 1: are paying for it. Please explain to me what that is.
15:42
Speaker 4: So I talk in my book and you can actually
15:45
Speaker 4: take a quiz about this on my website about spending types. Right,
15:48
Speaker 4: So one of the first ones I talk about, I
15:52
Speaker 4: think the first one in fact, is called the over subscriber.
15:55
Speaker 4: So you might not know that, you may not be,
15:59
Speaker 4: you know, feeling like you're spending a lot of money,
16:02
Speaker 4: you know, wasting it. But you also may not have
16:04
Speaker 4: any idea how many subscriptions you have, right, how many
16:07
Speaker 4: streaming services do you have? How many apps? Did you
16:10
Speaker 4: sign up for something without even knowing it? So I
16:13
Speaker 4: have a whole checklist of things you can think about
16:15
Speaker 4: to start getting your arms around this. So Number one,
16:19
Speaker 4: avoid auto renew, Just avoid it, don't do it. If
16:23
Speaker 4: you can sign up for a service you think you need,
16:27
Speaker 4: if you're allowed to not have it automatically renew, don't
16:29
Speaker 4: do it. That's the easiest one. Another one that I
16:33
Speaker 4: like a lot and I use it myself if you
16:37
Speaker 4: happen to have more than one credit card, and please
16:39
Speaker 4: do not go get a second credit card if you
16:42
Speaker 4: do not already have one. But if you have more
16:44
Speaker 4: than one, when you sign up for a new subscription service,
16:47
Speaker 4: use the credit card that's going to expire sooner, because
16:52
Speaker 4: that way you'll get prompted to update your credit card information.
16:56
Speaker 4: And that's just an automatic break. Right. It's a point
16:59
Speaker 4: where you can ask yourself, do I really need this anymore?
17:02
Speaker 4: How many times did I watch a show like what
17:04
Speaker 4: am I? You know, you may find that you're subscribing
17:07
Speaker 4: to all kinds of stuff like I just went into
17:09
Speaker 4: my theory. If you have an Apple phone, you can
17:12
Speaker 4: go in there and you know, really quickly look at
17:14
Speaker 4: all the things that are that you subscribe to on apps.
17:17
Speaker 4: And sometimes you look at these things and go, I
17:19
Speaker 4: don't even remember signing up for this. I don't use
17:21
Speaker 4: this app. I deleted it from my phone. What you know,
17:23
Speaker 4: what the heck is this bill doing? You can go
17:27
Speaker 4: through your monthly credit card statements and just see what's
17:29
Speaker 4: popping up there and just go, really, like, why am
17:32
Speaker 4: I getting charged this? Think about a subscription in terms
17:38
Speaker 4: of its annual cost when you sign up right. A
17:40
Speaker 4: lot of times they'll say it's only whatever, nine to
17:42
Speaker 4: ninety nine a month at a zero, like multiplying by
17:46
Speaker 4: twelve is a little tricky. If it's nine ninety nine,
17:49
Speaker 4: it's over ninety nine bucks a year, like do you
17:51
Speaker 4: really need to spend that money? It's one hundred and
17:53
Speaker 4: twenty bucks, Like do you really need to spend that money?
17:57
Speaker 4: I think a great one for streaming is rotating your
17:59
Speaker 4: streaming services, so you know, subscribe to one, watch all
18:03
Speaker 4: the shows, cancel it, go on to another one, right anymore,
18:05
Speaker 4: you do not need all of them at the same time.
18:09
Speaker 4: If you really feel like this is the place a
18:11
Speaker 4: lot of your money is going, just try, you know,
18:14
Speaker 4: unsubscribing from one thing a month and see what happens.
18:18
Speaker 4: Like you may not know that you really did it,
18:21
Speaker 4: you may not miss miss having it, and then you know,
18:24
Speaker 4: last but not least, there's some free subscription services out
18:27
Speaker 4: there that can help you get you know, you can
18:29
Speaker 4: link up your credit card statement to it and they'll
18:31
Speaker 4: show you what you're doing and maybe make it more
18:34
Speaker 4: easy for you to cancel those things automatically. It's a
18:38
Speaker 4: way to track your spending and see what you're actually doing.
18:40
Speaker 3: I like that.
18:42
Speaker 4: Those you know, I don't off the top of my
18:45
Speaker 4: head and see, really, honest, I'm trying not to recommend thing.
18:51
Speaker 1: You know, when you peak my veriality, I gotta go
18:56
Speaker 1: there because I'm gonna tell you, honestly, I'm dealing with that.
18:59
Speaker 1: I'm dealing with you know, I'm a guy several credit cards.
19:02
Speaker 1: I'm gonna just tell you, not saying I'm bragging, but
19:05
Speaker 1: you know, you get these credit cards for business, you
19:07
Speaker 1: get the credit cards for personal. I have a daughter,
19:10
Speaker 1: my wife, and the another mistake I made is I
19:14
Speaker 1: may have a subscription on this credit card. I may
19:16
Speaker 1: have a subscription on that credit card, and so I
19:19
Speaker 1: can't track them. I can't hold everything. Like I might
19:22
Speaker 1: have my utility bills on this card. I might have
19:26
Speaker 1: my business utility bills on that card. So and hearing
19:29
Speaker 1: your advice is absolutely correct when I look at it.
19:33
Speaker 1: If I had to do it all over again, I
19:34
Speaker 1: would make sure that if I had any subscriptions, I
19:38
Speaker 1: would only put it on one card. I would make
19:40
Speaker 1: sure onlyn put it on one card. That way I
19:43
Speaker 1: can track it and understand it. But bad habits you're
19:46
Speaker 1: trying to get Apple, or you're trying to get Prime,
19:50
Speaker 1: and you just are Amazon or what any of these
19:53
Speaker 1: companies that require subscriptions. You just give them a card,
19:58
Speaker 1: and that can be a problem because you have to
20:00
Speaker 1: eventually track them down and sometimes you're paying for stuff
20:03
Speaker 1: that you really don't need.
20:05
Speaker 4: Are you absolutely? I think I think we all are right.
20:08
Speaker 4: It's really hard to stay on top of that stuff.
20:10
Speaker 4: And you know, sometimes I sign up for the monthly
20:13
Speaker 4: subscription just to make it easier to cancel, even though
20:15
Speaker 4: it's more expensive, because I'm like, I don't know if
20:16
Speaker 4: I really want this, let me try. And they're like,
20:18
Speaker 4: you know, it's cheaper, and I'm like, yeah, but I don't.
20:20
Speaker 4: I'm going to sign up for the annual thing and
20:21
Speaker 4: then I'm going to totally forget about it, and then
20:23
Speaker 4: the bill's going to happen. Then I will have paid it,
20:25
Speaker 4: and then you know, some of the good ones like
20:26
Speaker 4: remind you that it's coming up, but not all of
20:28
Speaker 4: it do.
20:29
Speaker 1: And you know, then the big number one trick move
20:31
Speaker 1: is you know, and is like, you know, these subscriptions
20:33
Speaker 1: say free sign up, but they want your credit card information,
20:37
Speaker 1: so it's not really a free sign up because if
20:40
Speaker 1: you forget, then the charge is going to hit your
20:42
Speaker 1: credit card.
20:43
Speaker 4: I tell you, what I've just started doing is putting
20:45
Speaker 4: a note in my calendar like calendar entry, cancel this right,
20:49
Speaker 4: Like I I just signed up for one right after
20:52
Speaker 4: the New year, and now I was just like it's
20:54
Speaker 4: I checked the date that the subscription was going to
20:56
Speaker 4: kick it, and I actually put a calendar note three
20:58
Speaker 4: days before. That's saying you got to cancel this because
21:00
Speaker 4: I wasn't sure I needed it, and I didn't need it,
21:02
Speaker 4: so I ended up doing it. But you know, if
21:03
Speaker 4: I hadn't put the calendar entry, and I totally would
21:05
Speaker 4: have forgotten to do it right.
21:06
Speaker 1: It was another note that really popped my eye into
21:08
Speaker 1: how student loan payments boost your credit score. I never
21:13
Speaker 1: would have thought that, please help me out.
21:16
Speaker 4: Well, you know, credit scores are based on how responsibly
21:21
Speaker 4: you pay your bills. So if you've got a lease
21:24
Speaker 4: and you're paying rent, that can show up on your
21:26
Speaker 4: credit cards. If you are, you know, you have student
21:29
Speaker 4: loans that can show up and actually boost your you know,
21:34
Speaker 4: your credit credit rating. So it actually makes a lot
21:39
Speaker 4: of sense to think about all of the things that
21:42
Speaker 4: you're paying routinely, that can be reported and that absolutely
21:46
Speaker 4: gets tracked. So you know, especially if you're in a
21:51
Speaker 4: financial pinch, you know, it doesn't make sense to start
21:53
Speaker 4: skipping some payments like that because it can really damage everything.
21:57
Speaker 1: Well, here's an interesting thing. I know I mentioned your book,
22:00
Speaker 1: Your Best Financial Life, Save Smart Now for the future
22:03
Speaker 1: you want? Do you have a website?
22:04
Speaker 4: And I certainly do, thank you for asking. It's my
22:07
Speaker 4: name and Leicester dot com. So it's a N N
22:10
Speaker 4: E L E S T E R.
22:12
Speaker 1: Now, when you go to your website, what's available on there?
22:14
Speaker 1: Is it financial advice or is it like newsletter information?
22:18
Speaker 1: What's on that website?
22:20
Speaker 4: You can sign up for a newsletter. I've actually got
22:22
Speaker 4: a quiz that helps you understand your spending type, and
22:25
Speaker 4: I share some of those hacks. Like you take a
22:26
Speaker 4: little quiz you see are you an oversubscriber? Are you
22:29
Speaker 4: like a crypto bro? Are you a firefly? Are you
22:33
Speaker 4: an ostrich? Then give you a couple of hacks uh
22:37
Speaker 4: to figure out how to get get your arms around
22:39
Speaker 4: your saving and spending behavior. And then you can also
22:42
Speaker 4: sign up for my newsletter and then I'll be building
22:44
Speaker 4: out some more resources and I will in fact be
22:48
Speaker 4: adding some you know, again with no personal recommendation, but
22:51
Speaker 4: just you know, these are some resources out there that
22:53
Speaker 4: you may be able to check out and find useful.
22:55
Speaker 4: So I will be building that in sood wow there today,
22:58
Speaker 4: but it will.
22:58
Speaker 1: Be yeah and so oh bottom line writing this book?
23:01
Speaker 1: Why why did you write the book?
23:05
Speaker 3: You know?
23:05
Speaker 4: I wrote it honestly for like, it's the book I
23:09
Speaker 4: wish I had had when I was in my twenties.
23:12
Speaker 4: I grew up like my dad was a college professor.
23:16
Speaker 4: But you know, there was always enough money. I don't
23:19
Speaker 4: I don't think they had a lot of money. But
23:23
Speaker 4: my parents were born in the early thirties, right, and
23:26
Speaker 4: they just like the thought of like budgeting and talking
23:28
Speaker 4: about like financial habits never occurred to them because you
23:31
Speaker 4: just didn't spend money on stuff, like you just didn't.
23:34
Speaker 4: And so I never grew up with any like allowance
23:37
Speaker 4: or like sense of fixed monies. I just grew up
23:40
Speaker 4: with like, if my parents thought it was a good
23:42
Speaker 4: thing to spend money on, they spent the money, and
23:43
Speaker 4: if they didn't, they didn't. And I was like, there
23:45
Speaker 4: was never any conversation about you have one hundred dollars
23:48
Speaker 4: you have to figure out how to spend it on X,
23:50
Speaker 4: Y and Z, like you have to make choices. So
23:53
Speaker 4: and then I got a credit card and it was
23:55
Speaker 4: just terrible. So I made all these mistakes, and I
23:59
Speaker 4: it took me years and years and years to stop
24:02
Speaker 4: beating myself up right and feeling shame and blaming myself
24:06
Speaker 4: for making these decisions. And I just don't. It's so unnecessary,
24:10
Speaker 4: Like people should not feel ashamed of the decisions they made.
24:13
Speaker 4: You said it really well earlier. You know, you just
24:15
Speaker 4: have to accept what happened and move on. So for me,
24:19
Speaker 4: the key is our brains are wired to grab stuff
24:25
Speaker 4: in front of us. Our brains are not wired to
24:27
Speaker 4: help us make rational long term financial decisions, right right
24:31
Speaker 4: If they're wired to help us run away from the
24:33
Speaker 4: saber tooth tiger. So and you know we're hunting, is
24:37
Speaker 4: we're supposed to grab what's in front of us and
24:39
Speaker 4: ron we're not supposed to say what's the rational choice here? Right?
24:42
Speaker 4: So just knowing that to me help me understand why
24:46
Speaker 4: I kept fighting myself, Right, I know I shouldn't do this,
24:49
Speaker 4: but so and then hack yourself, right, So I wrote
24:53
Speaker 4: it for me. I wrote it for my kids. I
24:54
Speaker 4: wrote it for my kids' friends, like I really want
24:56
Speaker 4: to help people not make these mistakes so they don't
24:59
Speaker 4: have to make them.
25:00
Speaker 3: Love it.
25:00
Speaker 1: And thank you for coming on my show. And also
25:02
Speaker 1: I like to believe that I can bring you back
25:04
Speaker 1: because I try to. You know, you know your advice
25:07
Speaker 1: is dead on and I have a lot more questions
25:09
Speaker 1: I could have asked, but time, well, you know time
25:13
Speaker 1: is what time is. But I want to thank you
25:14
Speaker 1: for coming on my show and now good luck with
25:16
Speaker 1: your book, and thank you for promoting your website and
25:19
Speaker 1: allowing us to be able to reach out to you
25:20
Speaker 1: in the future. I appreciate you.
25:22
Speaker 4: Thank you so much. I appreciate that.
25:24
Speaker 1: Fantastic and thank you everybody for listening to the show
25:26
Speaker 1: money Making Conversation Master Class as usual. I'll be back
25:29
Speaker 1: next week and you can listen to my show on
25:31
Speaker 1: Moneymaking Conversation dot com.
25:33
Speaker 3: Thank you, thank you for joining us for this edition
25:39
Speaker 3: of Money Making Conversations Masterclass. Money Making Conversations Masterclass with
25:45
Speaker 3: rough Shan McDonald is produced by thirty eight fifteen Media Inc.
25:48
Speaker 3: More information about thirty eight fifteen Media Inc. Is available
25:52
Speaker 3: at thirty eight fifteen media dot Com. And always remember
25:56
Speaker 3: to lead with your gifts
26:00
Speaker 4: Intention