00:00
Peter Dunn
You. It's the Pete the Planner show. Hello, everybody. Welcome back. It's the Ides of July. July 15. Joined, as always, now by Kristen Ahlenius and Damian Dunn. No relation. Co hosts of the Pete the Planner show. Hello, Kristen.
00:23
Kristen Ahlenius
Hello, Pete.
00:25
Peter Dunn
Hello, Dame.
00:27
Damian Dunn
I don't like that. She's already cribbed my way of saying, Hello, Pete. She's already taken it.
00:33
Peter Dunn
Kristen is executing today's recording using a ring light as a computer stand. We were talking about lighting, and Kristen said, I have a ring light, and Dame said, Where is it? She said, My computer is sitting on top of it, and it's in its.
00:55
Kristen Ahlenius
Know.
00:56
Damian Dunn
Kristen very good with finances. Not so much lighting, not a gaffer, if you will.
01:03
Peter Dunn
Rick Swank bringing that big Rick energy this morning. Good morning. Our friend Rick. Dame, your background is looking good. We did make a discovery yesterday in a discussion that from an art perspective, there is a chance to take it even to a better level. So we will get andrea. Andrea. Andy. All right. Hello, Danza. Good day to you. Oh, all the people. Guys, there it is. It is. Andy, are we ready for a show here today?
01:39
Damian Dunn
Are we?
01:40
Peter Dunn
Oh, hey, let's do a little housekeeping behind the scenes. Actually, can you pull your calendars up, please?
01:45
Damian Dunn
Yeah.
01:46
Peter Dunn
I'm on vacation next Friday. I can't believe it. Yeah. So we need to record the show next Thursday because I'm not going to be able to do a show when I'm on vacation, so we'll have to do a best job. So can you guys do a noon recording on Thursday?
02:08
Damian Dunn
See, I already shut down a whole bunch of windows to make sure that my computer would run better, so it's going to take me a moment.
02:15
Peter Dunn
Morning, Rochelle. Or is it Rachel? Man, there's so many names can be pronounced different ways that it froze me.
02:26
Damian Dunn
Apparently, pronounced can be pronounced different ways, too, with pronounced.
02:30
Peter Dunn
I had a teacher in high school, an economics teacher named Cal Ewing, and that was his joke. He would say the word pronounce as he was pronouncing something either correctly or incorrectly. It's Rochelle. Rochelle. Yes. Fantastic. And it was a great joke. So Cal Ewing, to me, was the patron saint of high school economics. I referred to him on a regular basis. There's our friend Julie J. O makes it into the Facebook Live chat, who will be at my home this weekend drinking wine with me and her husband and my wife, because otherwise that got weird.
03:12
Damian Dunn
I absolutely can do next Thursday at noon. That was just a little thing with the notorious Craig P. Anderson that I have on my calendar that I can skip.
03:21
Peter Dunn
Look at your name dropper. I have brought this up before on the show, and I was watching an Internet television show yesterday, and the idea of being name checked into rap lyrics is a bucket list item for a lot of people, and it made me reappreciate the fact that I have been named actual hip hop album. I sleep better at night knowing that I've peaked. I'm not out here getting cuter and so that is good for me. Kristen, have you ever been referenced in a song?
04:00
Kristen Ahlenius
No. I didn't know that was like a common goal. I didn't know that's what I should be aspiring for. But I'll work on it.
04:08
Peter Dunn
So what I thought we would do as we chat up Dame here is I'm going to find the song and we're going to play have I played it on the air recently?
04:18
Damian Dunn
No.
04:20
Peter Dunn
All right. Dame, have you ever been name checked?
04:23
Damian Dunn
Of course. All the time.
04:26
Peter Dunn
So that's a no. Yeah.
04:28
Damian Dunn
I mean, you know how deep my hip hop roots run.
04:32
Peter Dunn
Yeah, I feel you. I got to find the song now. It's Mr. Kinetic friend of the show. It's on his album expressions. He is going to guest co host the show at some point this summer.
04:46
Damian Dunn
Yeah, absolutely.
04:47
Peter Dunn
He is a principal at a middle school. I believe this. I think this is it. Hold on. That's not it.
04:59
Damian Dunn
I got to tell you, the first time I heard him on your show go ahead. But is it going to cut me out?
05:07
Peter Dunn
No, go ahead. Okay.
05:10
Damian Dunn
The first time I heard him on your show, I think, was before you and I had an official relationship together and you guys were talking about the prospects of college for the masses of students at that point. It was a very refreshing conversation. So I love to have him back on.
05:25
Peter Dunn
Smart guy. All right, let's listen to the lyrics.
05:28
Speaker 4
Here for the peak. Throughout the barren land folks throwing boulders too large to hide their hands. See that there? We can get paid. It's how they looking at us. Not worrying about the core needs of the human being. Maybe I'm just seeing things that I'm delirious but still delirious. Never mind begin to spectator see the hurt in folks more horror than any.
05:53
Peter Dunn
It did occur to me that this might not be the right song.
05:56
Damian Dunn
I was wondering if it was or not.
06:01
Speaker 4
I ain't the only one and we.
06:03
Peter Dunn
All just admit I don't think that's.
06:05
Damian Dunn
That Pete clearly has nothing going on the rest of the afternoon.
06:09
Peter Dunn
Try this one. That's not it either. You guys, this isn't going well.
06:20
Damian Dunn
This is awesome.
06:21
Peter Dunn
So anyway, like I said, I am referenced on this song. I can't find oh, wait, this is it. This is it. This is it. How many podcast listeners have turned off the show at this point?
06:37
Damian Dunn
All of them. All of them? Damn.
06:41
Peter Dunn
Okay, stick with it. This is it.
06:45
Damian Dunn
If it's in the last verse no.
06:47
Peter Dunn
It'S in like the second verse, but it's a good song.
06:52
Speaker 4
This is for my people out here struggling, hoping they don't have to sit up in the dark again. Handled lit singing songs with their closest FAM praying and looking for a better route time and time again. Generations and generations y'all. This is a cycle man. Our wilderness wandering, looking to make amends. People divided, living selfish. They don't even help their FAM or their friends. Got me wondering your where's the love? And got a few folks moving and got a few folks grooving and pete the planner helping folks get their money and their lives straight. Peace to my fan, Barry Rodriguez.
07:25
Peter Dunn
So I just got the chills. I just got the chills. That's nice, right?
07:32
Kristen Ahlenius
Yes.
07:33
Peter Dunn
The weird thing is when he released the album, he didn't tell me he did that. So of course as a fan of his, I'm just listening to the album and I hear it and I almost wrecked my car. It was a really nice dangerous moment.
07:50
Kristen Ahlenius
Anyway, seems a little dramatic.
07:53
Peter Dunn
Have you met me?
07:56
Damian Dunn
You don't know how serious Pete takes this.
08:00
Peter Dunn
Yeah, it's like that. And then my other cool thing I've ever done is I've had a beer named after me. I've been name checked and I've had a beer named after me. And that's great.
08:11
Damian Dunn
Kristen, if you had to just take a wild stab in the dark at what a beer named after Pete would be nice.
08:19
Kristen Ahlenius
No, don't make me do know.
08:24
Peter Dunn
Go ahead. You have to call.
08:27
Kristen Ahlenius
Is it something like to do with like is it just like some money brew or something? What is it?
08:35
Peter Dunn
What do you mean with work? Well, I mean it is a red ale. Danza. It is a red ale.
08:43
Damian Dunn
All right, time's up. Frugal ginger was the name of the beer.
08:46
Peter Dunn
No, right there ginger. Here's the bottle. Frugal Ginger. It could have gone a lot of different ways, but it went frugal Ginger could have gone like Peter juice or something like that. But it is frugal ginger. There it is.
08:59
Damian Dunn
Did you have any input to that?
09:03
Peter Dunn
Yes, at one point in time I was joking with my friends that own the brewery and I said something like you should do a ginger with like a ginger infused whatever and I was like just call it Frugal Ginger. You name after me. And they did and then they didn't tell me and then they did and it was pretty awesome. This is really self stroking going on here. The first several minutes of the show. Hey everyone, I'm cool. Look at the things I've done.
09:30
Damian Dunn
Were you named as one of Investopedia's top 100 financial advisors?
09:33
Peter Dunn
Pete, let's not do that. I was not, by the way, and I also am not an investment advisor, so what does it really matter? But Damian is lobbying an inside joke out into the masses. I gave a studio tour this morning to one of our listeners who happened to be in the building.
09:50
Damian Dunn
Really?
09:51
Peter Dunn
Yeah. He's got an amazing name. I want to give you like I don't have a cool peter Dunn is not a cool name.
09:58
Damian Dunn
No.
09:58
Peter Dunn
Kristen Ahlenius is fine. It's just really hard to say. Damian Dunn's. Fine. But are you ready for this name?
10:04
Damian Dunn
Yes.
10:05
Peter Dunn
Eddie Lux. Yeah.
10:08
Kristen Ahlenius
That's a good name.
10:08
Peter Dunn
It's an incredible name.
10:10
Kristen Ahlenius
It's a good name.
10:12
Peter Dunn
You ever think about, like, not to put a lot of pressure on your parents who named you before they knew the pressure you're placed on them, but there's a lot of pressure on a name?
10:23
Damian Dunn
Totally, yeah.
10:25
Peter Dunn
Eddie Lux. I mean, the last name Lux. Unless it's a stage name of some sort, like he's a male dancer. I don't know what would sound bad with that last name.
10:36
Damian Dunn
There's a professional baseball player for the Dodgers right now. His name is Gavin Lux.
10:41
Peter Dunn
That's pretty good, too.
10:42
Damian Dunn
Yeah.
10:44
Kristen Ahlenius
Where do you store these facts? In your you how do you forget.
10:49
Damian Dunn
A name like Lux? I mean, it's going to stick with you.
10:51
Peter Dunn
It's a good name.
10:53
Damian Dunn
Yeah.
10:54
Peter Dunn
Let's do a radio show. Oh, it's potpourri. Or it's potluck radio. Once again, we each brought a topic. I don't know whose topic should go first. Who wants to be the egg salad or the double egg?
11:11
Kristen Ahlenius
Does it matter what we say? No, because last time you just did what you wanted.
11:17
Peter Dunn
Kristen, you're finally understanding what it is to be in a relationship with me. I'll ask everyone's opinion, and then I'll.
11:21
Damian Dunn
Just do what I want.
11:22
Kristen Ahlenius
Just do whatever.
11:23
Peter Dunn
Ask Julie. Who's going to be at my house this weekend? That's how it works. Dame, your topic is what?
11:31
Damian Dunn
I have a question.
11:33
Peter Dunn
What's it about?
11:35
Damian Dunn
Stuff.
11:36
Peter Dunn
Okay, this is going well. Rick, the question was lux is in plural of lux of luck, or Lux is in Lux. Lux.
11:45
Damian Dunn
Yeah.
11:46
Peter Dunn
Lux. Good Lord. It's so good. Okay, Kristen, what's your topic?
11:55
Kristen Ahlenius
My topic was the more behavioral finance one. And both of yours are more, I would say, like, quantitative. So maybe mine should go in the middle.
12:06
Peter Dunn
All right.
12:06
Damian Dunn
Pete? Mine is about expenses in conjunction with retirement. Do you try and pay some of them before or during retirement?
12:14
Peter Dunn
All right. I'm the deviled eggs. Kristen is the tenderloin. And Dame, you are the peanut butter pie. Scotcherous. Okay. The Midwest fruit pizza. My mom used to make a vegetable pizza, and I hated it. And I want to tell you what was on it. It was pillsbury croissant, then rolled out into a disc. And then it was like a combination of cream cheese and ranch dressing, which was this white sauce on it. And then she just put, like, raw crude on it. Yeah. And people were always like, oh, Connie, this is so good. But here's the thing. Apparently she just knows liars. Because it was terrible. It was she was like, oh, they asked me to bring my vegetable pizza. It's like, no, they didn't. They're setting you.
13:16
Kristen Ahlenius
Maybe other failure, maybe other people liked it.
13:21
Peter Dunn
The best dish my mom made as a kid, when I was a kid, it was called Russian chicken. Which I don't know if this is a thing, but it was in like a pyrex thing. It was baked and it was like chicken apricot preserves and lipton onion soup mix. And it was like a sweet and sour tangy sort of just baked chicken. I mean, I think in retrospect it was probably horrible, but I really liked it at the time.
13:56
Damian Dunn
There's only one way to find out, Pete.
13:58
Peter Dunn
I could try to recreate it.
14:00
Kristen Ahlenius
Yeah, I feel like it needs spice to come against that. Apricot or apricot?
14:05
Peter Dunn
Yeah. Claremont, Indiana, there was no spices. Kristen, favorite dish your mom made when you were a kid, what do you think? And she watches the show, so I.
14:16
Kristen Ahlenius
Mean, she does watch the show. Breakfast not a specific dish, but we did breakfast for dinner once a week when I was a kid, so good. I love that.
14:28
Peter Dunn
Damon, what about you?
14:31
Damian Dunn
I'm going to go a little different direction. My mom baked a lot of she baked bread. I don't remember. There was a long period of time that we'd never had store bought bread. It was always homemade bread and it was just delicious.
14:44
Peter Dunn
Nice. Did she have a bread machine or would she just like, this is pre bread machine.
14:49
Damian Dunn
There might have been a bread machine at some point, but I know for a long time it was all manual labor.
14:56
Peter Dunn
Is there any truth to the rumor that she on her forearm has a tattoo that says the bread machine?
15:02
Damian Dunn
I can't tell you that, Pete.
15:04
Peter Dunn
OK, unsubstantiated rumors. Let's start the show in three, two, one. This week on the Pete the Planner Show, we answer your money questions. Here's how the show works. You email us, askpete@petetheplanner.com that's, askpete@peteplanner.com. And when we get your emails, which we did this week, we will read them. We will solve the world's problems. Everything gets better. Inflation goes down, there's world peace, everyone's healthy. And that's not true. Joining me, as always, is Kristen Ahlenius director of education at Your Money line and Damian Dunn, who we are not related according to 23 ANDME who is the vice president of advice at Your Money line. And no, I have not submitted my DNA to 23 ANDME because I am fearful that someday I will be charged with a crime that I had nothing to do with because I accidentally left like a tissue in a waste basket in a hotel in Oakland or something like that.
15:59
Peter Dunn
But let's begin the financial show. Hello, Kristen and Dame. How are you?
16:03
Kristen Ahlenius
Hello.
16:05
Peter Dunn
I don't know if I mentioned at the top in the pre production meeting. I have had a tremendous amount of caffeine today.
16:12
Damian Dunn
Oh, really?
16:14
Peter Dunn
All right. So, people, I got an email this week that I answered in my IBJ column, I'm Indianapolis Business Journal column. And it was this guy whose daughter is going to college in the fall and his portfolio is down 30%. And the deal with this is if he uses the 529 plan or whatever the vehicle is and sells it when it's depressed in value, which are currently only paper losses, then that's problematic because then a lot of their savings and growth they've had over the years just disappears and they'll never get that back. And he does have some cash off to the side. So the question came, do I just pay this year with cash in hopes that my portfolio revives itself over the next few years? And my answer to him was yes, absolutely. And clearly he's suffering from sequence of return risks and clearly he did not keep an eye on Time Horizon.
17:17
Peter Dunn
But Kristen, I got this other idea. What if, and I do mean if what if the same scenario happened to someone who did not have cash and they felt like solving the problem by taking out student loans despite the fact that they have the cash to the side where they could just pay off the student loans in totality once they're portfolio recovered? I will hang up and listen.
17:43
Kristen Ahlenius
Well, it depends on what state your 529 is sponsored by too, because I believe was it the Secure Act allowed you to use $10,000 in 529 contributions or $529 rather to pay off student loans. But not every state adopted student loans as a qualified education expense. So I think first it depends on where you live. And I don't know if I should or shouldn't assume that they live indiana, but Indiana is one of the states that did not do that to my knowledge.
18:13
Peter Dunn
Wow, you blew my mind. I kind of knew that, but I'd forgotten that and I realized this is why you co host the show. Dame. Generally speaking, borrowing money to let your investments recover, generally not a good approach. I mean, it's a weird type of arbitrage that we would not necessarily recommend. But I was trying to extend this idea of using cash that otherwise is going backwards from purchasing power from an inflationary standpoint, use that to pay for tuition. And then the other part of the email the guy sent me is he's got a son that's five years younger, so I'm not worried that he'll have too much money in his retirement or his college funds.
18:56
Damian Dunn
I think part of the decision would come down for me is what type of loans are they able to acquire? What sort of federal loans do they get? Are they subsidized? Are they unsubsidized? Do they have to dip into private loans? There's a few different aspects there that could influence a decision rather significantly. So you look at the options that are on the table. Is it the cash? Is it trying to dip into some loans? Just go ahead and take the hit on the 529, which I think is the least attractive of all those opportunities because you're right, given a little bit of time, it's going to come back. We have no idea how long that time is going to be, unfortunately, but they do have the option potentially, if they are outside the state of Indiana or if Indiana changes their law on using some 529 funds to pay off a student loan, they could potentially get some subsidized student loans as well.
19:48
Damian Dunn
That would minimize the impact of that decision as well. So it's a really uncomfortable decision that they're facing, but it's one that with some planning and some foresight, might not turn out too poorly.
20:02
Peter Dunn
Kristen, I want to do a little thing that we like to call math on the radio. I'm going to give you some math on the radio here, and I'm going to just read from my column. Allow me to oversimplify this for you, Kristen. Allow me to man explain this to you. Like the use of a ring light. Let's say you need $30,000 for college this year, okay? Let's say you need $30,000, and at this time last year, that was equivalent to 30,000 shares of whatever investments you have. But we've done the math already. That's a dollar per share. Yet now, a year later, it is depressed in value paper loss. It has fallen to share. Okay? It's fallen to share because it's 30% loss. So if you still needed $30,000 for college this year, whereas last year would have cost you 30,000 shares, it's going to cost you a lot more shares to get your $30,000 out this year.
20:59
Peter Dunn
It would actually cost you 42,857 shares because the shares are valued at not a dollar. So once it recovers to pre fall levels, then you are saving 12,857 shares. So by buying yourself some time, you're actually theoretically air quotes saving $12,857. And yes, I oversimplified that. Kristen, do you see any problems.
21:35
Kristen Ahlenius
In this situation? Specifically? They do have the cash available, you're saying they do? Yeah. Well, and then we kind of touched on this last week, too. I mean, depending on their income level, there could be tax credits available, american Opportunity Tax Credit or Lifetime Learning Credit, depending on kids ages. So I don't think that cash flowing a little bit is a bad idea, especially if they have a second kid. We also talked about that last week, the ODS of you having too much money in a 529. As you have more children, the ODS of that continue to decrease.
22:06
Peter Dunn
Damn. Any additional thoughts there?
22:10
Damian Dunn
What if they put off college a year? Is that an mean?
22:15
Peter Dunn
It's a dumb option, but yeah, it's an option. Why would they put off his kids college?
22:20
Damian Dunn
Curious if they were on the fence about going to college in the first place, potentially give that account a little bit of time to recover. Let him try and figure out or her figure out what they want to do. Maybe go get a full time job. And there's plenty of jobs out there at the moment. Make a little bit of money and maybe this problem solves itself.
22:38
Peter Dunn
Kristen, we are now going to play a game called role play on the radio. You're going to be my 18 year old daughter. I'm going to be your father in this scenario. You really want to go to college? You have been accepted. You're ready to matriculate within the next 30 days. And I have some news to share with you. Okay, Christy, I have some news for you. The investments I have made have not gone the way I wanted. And despite the fact that I do have cash off to the side, I have a different solution. I need you to not go to Damian State University next month and instead just hang out for a year and work at a tanning location. So what do you think, Christy?
23:28
Kristen Ahlenius
Aren't you supposed to be, like, a financial no.
23:31
Peter Dunn
I'm your father.
23:33
Kristen Ahlenius
I know.
23:35
Peter Dunn
Yes. This isn't about me, Christy. This is about your stolen dreams anyway and seen. Damn. I don't know. I don't think that's the move.
23:45
Damian Dunn
It may not be, but you may not have all the details, either. Maybe that child is very on the fence on whether or not they want to go.
23:53
Peter Dunn
Now, this show is recorded live on Fridays at 10:00 a.m.. Eastern, generally speaking. And so between the segments, if you're following the live show or if you listen to the podcast, you get to hear extra stories. So, as we head into this first break, I want you to tell you, the radio listener, what you're missing by not listening to the live stream as it happens. I'm going to tell a parenting story, a real life, in the moment parenting story that's going to be told here in about 20 seconds. Until that time, coming back after the break, a behavioral finance topic from Christy All. That's next on the Pete the Planner show. I'm Pete the planner. I get the feeling I'm going to crash later today. Does anyone else get that feeling?
24:34
Damian Dunn
Yeah, I'm just hoping to make it to the end of the show. I think I know what story you might tell because I almost tried to interject and let Kristen give you this response.
24:48
Peter Dunn
No, I don't think you know. I mean, it's fresh off the press.
24:51
Damian Dunn
Oh, then I have no idea.
24:53
Peter Dunn
What did you think it was?
24:56
Damian Dunn
Didn't one of your kids tell you one time you needed to get a better job?
24:59
Peter Dunn
Oh, yeah. No, that's a regular basis.
25:01
Damian Dunn
Okay.
25:03
Peter Dunn
One of my children has a number of friends whose parents spend their money differently than we spend. We'll go that route, and so it feels like a more opulent situation, and so that judgment is often passed back my direction, if you know what I mean.
25:25
Damian Dunn
Yeah, it wouldn't have been nice to have Christy give you that advice, too.
25:29
Peter Dunn
I know. All right, so here's the situation. My daughter 13 year old, going to be an 8th grader, wants to try out for cheerleading this fall. Now, I have no problem with cheerleading. And as the records might reflect, I was a male cheerleader my senior year in high school because I chose not to play basketball, which was a tremendous amount of fun. And there's a number of stories that I will not even share on the podcast. However, I want to note I have no problem with cheerleading. Now, Mrs. Planner, on the other hand, doesn't necessarily have problems with cheerleading, but my wife, as a former all American college athlete, would like to say people cheer for the that's sort of the vibe that we're dealing with here. Anyway, so my daughter wants to travel for this, but she already is doing two other things. And so tonight is the big conversation of honoring your commitments and not signing up for too much.
26:26
Peter Dunn
So you start missing things. I don't know what direction is going to go. I don't know where the outcome is going because we're trying to have some autonomous growth going on here. Any advice? Kristen, you're the closest to being a 13 year old young woman. Any ideas here?
26:46
Kristen Ahlenius
As someone who regularly puts too much on my plate and then quarterly has a meltdown because I put too much on my plate, I absolutely would have loved, or would love for someone to be like every once in a while. Be like, Kristen, do you really need to do, like, let's really think about how busy you are and maybe use an example of something that she has had to miss out on. And be like, if you take on cheer, you have X amount of time less for something else. Because as an adult, she might struggle. Speaking from experience.
27:21
Peter Dunn
Yeah. Dame, now you almost have a 13 year old daughter.
27:24
Damian Dunn
I do.
27:24
Peter Dunn
House, any advice from you?
27:29
Damian Dunn
None. That's going to be helpful because I have the opposite problem. My daughter only wants to do one thing and one thing alone. So I ask her to try and go try other things and haven't got there yet.
27:41
Peter Dunn
Our coworker Oz, the other Olivia in my life, is in Ollie's camp. Go figure. The olivia's are aligned. Go figure. All right, Kristen, are you ready?
27:56
Kristen Ahlenius
I am ready.
27:57
Peter Dunn
I have what you sent me, and so I'm going to set you up that way. But you're serving the dish, so I hope you brought a slotted spoon. Remember, it's up.
28:07
Kristen Ahlenius
Should you go get a Miguel before we start the segment?
28:11
Peter Dunn
I don't want my heart to explode.
28:14
Damian Dunn
She was the tenderloin. What does she need a slotted spoon for?
28:18
Peter Dunn
South? I don't know. Dame, what do you put on your tenderloin? If you're going to have a tenderloin bread it I mean, we're okay.
28:33
Damian Dunn
Mayo, lettuce, tomato, cheese bun.
28:38
Peter Dunn
Cheese. Yeah. Cheese and pork.
28:41
Damian Dunn
Yeah.
28:42
Peter Dunn
Okay. Okay. So lettuce, tomato, mayo, and what else? Cheese.
28:48
Damian Dunn
Yeah.
28:49
Peter Dunn
Okay. Aqua. Greg in our office says I'm very food judgmental. He said that this week. Okay.
28:56
Kristen Ahlenius
Yeah.
28:57
Peter Dunn
Kristen, what do you put on your tenderloin sandwich?
29:02
Kristen Ahlenius
Mayo and onion.
29:05
Peter Dunn
I am yellow mustard, onion and pickle.
29:13
Kristen Ahlenius
That's too much sour on pork.
29:16
Peter Dunn
Yeah, but pork is so fatty, you need the acid to cut it.
29:21
Kristen Ahlenius
What did Greg call you again?
29:23
Peter Dunn
Judgmental.
29:24
Kristen Ahlenius
Interesting. Can't believe it.
29:30
Peter Dunn
Well, I'll just say this. There's a tall water drinker in our office that this week disclosed dropped a bomb in our office this week and said, not a dog guy.
29:44
Kristen Ahlenius
You'Re fired. Okay.
29:46
Peter Dunn
Yeah. Anyway, he said he likes dogs, but he likes other people's, doesn't he? Finds dog ownership, pet ownership in general, to be impractical. Impractical.
30:02
Kristen Ahlenius
I used to like Greg.
30:04
Peter Dunn
Yeah, no, everyone does. And then, as Jas said, he's got big puppy energy. You know what I mean? All right, and three, two, one. Back on the pete. The you know, I was talking to my coworker, Kristen Ahlenius, this week, and it occurred to us that sometimes we don't talk enough about financial psychology here on the. So she posed the question, when you tell someone to budget, that's not easy enough, because you have to learn how to make yourself budget, like, you have to motivate yourself. So, Kristen, how is a person supposed to make themselves budget when it's something that people simply don't want to do?
30:56
Kristen Ahlenius
You have to know yourself and your personality. If you for example, if you call into the line and you talk to me or you talk to Damian, I can tell you what works for me. And actually, I think if each of us could maybe share just to give examples of how we find money or budgeting or our spending plans to be motivating, I think that'd be great. But I think that there are two books, actually, if you don't mind, that I would recommend, I think that you should read Atomic Habits if you are having trouble with the motivation to budget, not the logistics of actually budgeting. Atomic Cabots by James Clear. It's an oldie it's a goodie and then Gretchen Rubin wrote this book called The Four Tendencies, which is all about how you find, I guess you would call it accountability, whether that's external or internal.
31:46
Kristen Ahlenius
And both of those books have been so influential in my life, not just in money, but in other areas as well. And I think starting with some of that psychology, personality hacking is the best place to begin and then building out know habits from there.
32:06
Peter Dunn
Yeah. Dame, you and I can weigh in on how we have to hack our own budgeting situation. I know Kristen will as well. But, Kristen, I want to ask you something here. I think where people get lost on this budgeting topic is and we'll just call it the moderate to moderately low income level, they'll say, okay, I hear you, that budgeting may be practical for me. However, I have such a small margin for error that doesn't motivate me to budget. It makes the. Whole thing seem even more tedious. Do you think what you just said and what we're going to talk about here of how to make yourself budget, do you think it is impacted by the amount of income a household has?
32:52
Kristen Ahlenius
It is absolutely impacted by the amount of income that your household has and something that I firmly believe is that you owe future you some of the work that you're putting in now. So even if this process is not the most fun or if eating green beans for dinner so that you can be in better health when you're 80, those things aren't always the most fun. But you owe future you those things as well. And so I think putting in some of that work now, even if it might not feel like you have a whole lot of influence on that bottom line, it's about the building blocks that future you.
33:29
Peter Dunn
And again, Dame, I'm going to involve you here in a moment, but this just made me think of something. We had a new coworker start this week right out of school. I mean just right out of college, first job. And it hit me this time around in a completely different way than we've hired people right out of school before. But I don't know where it is. Like maybe me getting to be just starting your first job and making the right decisions from the jump from a financial perspective is I think, what Kristen's talking about. It's this idea of doing your future self a huge favor. And I just got tickled this week thinking about, man, this person can set themselves up forever with the decision that is made in these five days. This is that is fantastic. So Dane, when you think about budgeting, do you think about the future self thing or how do you hack to make yourself do what you know you need to do?
34:26
Damian Dunn
I think it's a combination of a couple of different things, thinking about present needs and future needs as well usually. And you and I budget very similarly where we try and identify all of the goals, the financial goals that we need to address and take care of. And we set those up, whether they're through automation or the dates on the calendar. Whatever it is, we know those are taken care of. And then we spend out of the remainder of the income for the month. When I know that something's changing, then I fix it. I fix what I've currently got going on, adjust and go forward, but I try and keep bigger goals in mind to motivate me and also.
35:09
Peter Dunn
Don'T have.
35:09
Damian Dunn
To look too hard around the house to find other goals. They run around and they swim a lot so I know that I've got to take care of them too. So I keep the things that are most important to me well in focus and make sure that I know that I'm doing everything I can to achieve those goals. Sometimes you hit them, sometimes you miss. But if you miss, it's not the end of the world. You have to make sure that you give it your best shot the next month. Make the adjustments that you need to get you closer to a better shot at success the following month. Because just because you think you may be able to spend X amount of dollars on whatever segment of your budget doesn't mean that's reality. You may have to take a fresh look at things every once in a while, see how prices have changed, see how your goals have changed, maybe build your budget from scratch.
35:56
Damian Dunn
And it doesn't have to be a restrictive experience. It can be a very informational and guiding experience.
36:06
Peter Dunn
Kristen, how do you hack your own budget?
36:09
Kristen Ahlenius
I hack my own budget like I hack every other aspect of my life. And it has to be a daily task. It has to be every day. So I use a budgeting software that makes you review your transactions. It uses AI, and so it pre categorizes everything for me, but it makes me say, yes, this is for sure where this should go. And every morning before I start work, I sit down at my computer five minutes early and just say, yes, these transactions are correct. And then, look, it takes me five minutes before I start work. And I know that if I don't do it every day before, I know it's been a month and I haven't looked at it.
36:47
Peter Dunn
You know what's fascinating about this conversation to me, and I hope people come away with the same conclusion. The three of us are all very technically the top percentile of money experts on the planet. We are. It's simple math. They're not 99.9, we're 99.99. We are at the top of the top. From a percentage standpoint. Kristen does it every single day. I would never even consider that personally for how my behavior works. Mine's more on the line of dame's. Like, I just take care of what's important and then it's a free for. All right? But the only guardrail for me is I don't use a credit card. So I can't possibly go backwards or I can't get into trouble that way. Damian, I know when we talk to people through your money line, they're shocked to learn there's not just one way to budget. I mean, there's several.
37:50
Peter Dunn
And I guess that's what your team does on a regular basis, is ask the probing questions that helps us understand which method to subscribe for them. Yeah.
37:58
Damian Dunn
If there was a silver bullet on how to budget, that book would have been written and the author would have be on an island in the Caribbean by now. There's just no one consistent way. Sometimes people need to walk into budgeting a little bit. Maybe the whole idea of giving every penny that you earn a job is just too overwhelming, but they know they really struggle in one or two areas. Well, you know what? Let's just focus one or two areas, and we'll figure out how to keep track of that, how to make sure that you're staying on top of it, that you can call us for the accountability when you need to. And if you don't have access to us, then hopefully you can find somebody else in your life that you trust and that will be kind and empathetic to you when and if you fail.
38:43
Damian Dunn
But there is no one specific way. Some people want apps, some people want spreadsheets. You have to figure out what works for you. Just like Kristen said, you have to know yourself in order to give yourself the best chance of success.
38:55
Peter Dunn
Kristen, I think you need to write a book called The Different Ways to Budget, and I will publish the book.
39:02
Kristen Ahlenius
Don't know about that. You just talked about me taking on too much, remember?
39:07
Peter Dunn
Oh, okay. Well, Damien, you do it.
39:10
Damian Dunn
I'll get back to you on that.
39:12
Peter Dunn
I would. I'm going to be at middle school football games this summer or spring? Fall. Okay, listen, coming up after the break, here's what we're going to do. Damien received an email this week addressed to someone else on the team, and it is going to be a retirement question. We are going to hit that next on The Pete the Planner Show. If you missed anything, grab our podcast. The Pete the Planner Show will be back right after this. That was the worst outro I've done in six years.
39:43
Damian Dunn
Oh, it wasn't that bad.
39:46
Peter Dunn
By the way, two things. Praise, praise. Number one, Damian's intro into the segment last week was fantastic. Yes, it was so good. So good. I heard it on the radio, like, happening. It was nice. And Kristen is on a newish project this week just killed. It was so good. And you guys are both the best, and I appreciate you. And that's why I think Kristen will come back and intro this next segment. So Danza says re on the calendar. Wait, I don't know what that says. Re on the calendar. Paid my car registration one day late due to a calendar error. Unbelievably salty over that time wasted. $24 regarding on the calendar. Okay, Dame, are you going to read this email and everything?
40:41
Damian Dunn
I thought that's usually how it worked. I know it's been a minute since we've actually had questions, but I'm trying to bring them back since we open every show saying we answer your questions. I thought it might be really nice to answer questions.
40:57
Peter Dunn
Someone's getting lippy.
40:58
Damian Dunn
You know what?
40:59
Peter Dunn
That a little bit.
41:03
Damian Dunn
Sue me for having an opinion. Good Lord.
41:06
Peter Dunn
It's escalated. We can't mess with a guy like that because he's taken three Krav MAGA lessons. Dane would definitely win in a physical altercation between me and him. I mean, definitely. He's got sort of some inner rage that he would just been building towards me specifically, that would come out on my face. You know what I mean? Kristen, what about you and I get into a fight. Who do you think wins? You work out a lot more than me.
41:36
Kristen Ahlenius
Yeah, that doesn't mean that no.
41:41
Peter Dunn
What am I.
41:45
Kristen Ahlenius
I don't know.
41:47
Peter Dunn
I'm just bothered by the cheese on the tenderloin sandwich. I don't think I'm going to be able to get over that.
41:52
Kristen Ahlenius
That's not good.
41:55
Peter Dunn
I mean, like, American cheese or like Swiss. Swiss could work for me.
42:03
Damian Dunn
That's not American cheese, but American. OOH, that would be interesting. We're a very narrow, focused cheese house in our Colby Jack.
42:17
Peter Dunn
Oh. Colby jack. You know, he buried the lead there. Colby Jack is a versatile cheese.
42:22
Kristen Ahlenius
It still doesn't go on a tenderloin.
42:24
Peter Dunn
I feel okay. It feels like it'd be a little waxy to go on a tenderloin.
42:30
Damian Dunn
You might have a point there.
42:33
Peter Dunn
I think Swiss might be the move.
42:36
Kristen Ahlenius
No cheese.
42:37
Damian Dunn
I think I've got some provolone in the fridge.
42:39
Peter Dunn
Three, two, one. Back on the Pete the Planner show. Dame, you got an email this week retirement question, so why don't you dazzle our ears with your voice?
42:54
Damian Dunn
So here's what happens. I know we open the show every week saying we answer your questions, and then sometimes we do and sometimes we don't. And sometimes I think we need to answer questions, and when I don't have any in front of my face, I have to go well, I have to go look for them. And this one comes courtesy of Reddit. Pete, I had to go to Reddit to find a question that I wanted to answer this week.
43:17
Peter Dunn
So the judgment between segments of how we don't answer as many questions from email has now carried on into the segment. And you wanted to start your topic by throwing us under the bus that we don't answer enough?
43:33
Damian Dunn
Yeah, yeah, I think we need to answer questions. I think people like questions. People watching us on the live stream right now. Go ahead. Do you like us answering questions or talking about whatever Pete brings to the show?
43:45
Peter Dunn
Dear Kristen, I'm getting close to retirement. Five years if I'm lucky, 62 years old. I've invested and saved my whole life. House will be paid off in a couple of years, then no other big debt. According to Reddit, everything is coming to a head with my house, though. Roof is old, furnace AC is old, carpet old, kitchen old. Wife old. I added that. Rest of my appliances are aging out. Trying to hold off on spending. With the current market, what would be the best way to pay for all so you went to Reddit to find financial questions to answer?
44:21
Kristen Ahlenius
Yeah, there's a lot of financial advice on yeah.
44:25
Peter Dunn
I'm sure it's all really great. What would be the best way to pay for all of the updates? Didn't Thunder Kitty give stock tips on reddit. Remember that guy? That's okay. What would be the best way to pay for all the updates I will need? Start withdrawing out of IRAs at 59 and a half. Or investments. Take a loan out. What kind of loan would be the best? Fix everything in one shot or knock out one thing at a time. Currently putting money aside for the inevitable to take away some of the sting. Looking for guidance. Thank you. Retirement ready? Reddit.com slash. Who cares?
45:02
Damian Dunn
Dane, what do you know? I think I did a fine job finding a question for us to answer anyway.
45:11
Peter Dunn
Kristen, how would you deal with this?
45:13
Kristen Ahlenius
Do you I this goes back to money behavior. If this is someone who has saved Diligently and they might have their house paid off before they're retired, I might have a slightly controversial opinion in that I don't hate a home equity line of credit in that specific situation. I know it's controversial, but I don't totally hate the home equity line of credit. If this person can stay within, these are the repairs that have to be done now. So the furnace goes out in the winter. You have to get that done. The roof starts to leak. We have to address that. And then if they are going to again, if they're still going to be mortgage free before retirement, it's a relatively low monthly payment. Interest is pretty low. I don't love it. But in this situation, that might be where I defer depending on some other behavioral questions that I would love to be able to ask.
46:11
Peter Dunn
Yeah, dame. I'm looking at all this thing the guy says are old. That's a lot of money. I mean, I'm looking at least 50, $60,000 here, right?
46:21
Damian Dunn
Probably.
46:23
Peter Dunn
So taking 50 to 60,000 to start retirement, taking out in cash, it's almost like a version of sequence of return risks because you're taking out so much. So what do you think?
46:36
Damian Dunn
I think there's potentially some hope for this individual because they said they hope to retire in five years but the house is going to be paid off in a couple. That means they should probably have three ish, maybe a little more if things are going okay at work where there's going to be no house payment. And they say they're already setting aside money to try and take care of some of these things. So there's a chance they may be able to cash flow a fair amount of these things. Certainly not all of them. But if you can get some of these major ones taken care of, get the roof taken care of, get the furnace taken care of before you retire, and then piecemeal some of these other things as you go, whether that's with maybe RMDs as you get much older, if they can make it that long.
47:23
Damian Dunn
Or maybe your expenses adjust dramatically in retirement and you just don't spend as much money as you thought you were going to. And there's maybe some more money available between all your income streams. You may be able to do a little bit at a time and get through this. So I'd really like to know a little bit more about what resources are available, what the house payment is that's going to be going away and how likely they are to be able to take care of some of these things just through going to work and getting a paycheck and taking care of some of these other debts.
47:56
Peter Dunn
Yeah. Kristen I'm getting my head around this home equity line. Let's say it's $50,000. Take out a home equity line, $50,000, and you set the payoff. You sort of amateurize it over whatever work years you have left. So it's completely paid off on the day you retire. That could be interesting, but I think it's the open endedness of a home equity line that gets sort of scary. But yeah, I mean, paying off $10,000 a year for the next five years on home equity line plus interest, it's conceivable. I'm a little worried when a person says, I've invested and saved my whole life and then gives us a couple of good things, but then they say, I want to retire in the next five years if I'm lucky, at 62. Those seem like conflicting things, or either that or they're just very modest because you can either do it or you can't.
48:54
Damian Dunn
Say health issues possibly as well.
48:57
Kristen Ahlenius
Yeah. The home equity line of credit is not by any means a perfect solution, and I do think that I would love to see them cash flow more. But I do also believe that line of credit, if you have the behavior, if your behavior is really grounded, having access to okay, the furnace went out, and I feel comfortable dipping into half of what I've saved. Or whatever, and then being able to come up with the other half and then make payments on that home equity line of credit. I do think it could bridge the gap. But again, it's not a perfect solution.
49:32
Peter Dunn
Damon isn't the bigger question here or the bigger talking point how people, as they approach retirement often don't do the regular maintenance on their house, and then it all accumulates into this horrible moment when you don't want to get rid of cash.
49:47
Damian Dunn
Deferred maintenance can absolutely be a huge issue for individuals who are looking at retirement over the next couple of hills five years away, trying to make sure you're getting everything taken care of, that your savings is going to be in the right spot. And then, oh yeah, by the way, I'm going to have 2030, 40, $50,000 that have to get into my house as soon as I relatively can because that income stream is not going to be there. At least the income stream of me going to work and getting a paycheck is not going to be there in retirement. So nobody likes dumping money into their house for maintenance type issues. But it is absolutely critical that you're not going to sally yourself with potentially huge expenses as you're going into retirement. That's going to be a drain on the assets that you've worked so hard to set aside.
50:34
Peter Dunn
You know what I often see? Go ahead, Kristen.
50:37
Kristen Ahlenius
We saw a lot of that through the really low interest rates on the line. Lots and lots of people doing cash out refis in order to make necessary repairs to houses that they hadn't been able to do. And so those low interest rates for a lot of people in our Anecdotal experience were a band aid to this problem that we're talking about. So this person, even now that interest rates have creeped up, of course, recency bias, they're still pretty low, but they don't have quite that same opportunity either. So that's an added kind of hiccup in their situation.
51:16
Peter Dunn
Yeah. I think, too, if someone wants an option to leave their home after retirement, right. They want to move into a different home. Let's say they don't want to leave their home, but from a long term health care standpoint, they need to go somewhere else. That deferred maintenance. Just it's a ticking time bomb. It gets worse and worse. It's hard enough when you're trying to manifest your own destiny. It's a lot worse when you run out of choices and you're backed into corner dame. Then you even get into stuff like reverse mortgages and how oh, my gosh, what a nightmare. Deferred maintenance is there.
51:54
Damian Dunn
Yeah. I was actually going to suggest the one thing that we haven't talked about is potentially a reverse mortgage. If there's no other way to pull this off, that could be a solution.
52:03
Peter Dunn
But if your home is not properly maintained, you're not going to be able to pull it off.
52:07
Damian Dunn
I'm getting a reverse mortgage to properly maintain it. That should equal out.
52:11
Peter Dunn
Coming up after the break, biggest waste of money of the week and current events right here on the Pete the Planner show. I'm Pete the planner. All right, fantastic.
52:30
Damian Dunn
Thank you, Reddit.
52:32
Peter Dunn
Yeah.
52:33
Kristen Ahlenius
Thank you, Reddit.
52:38
Peter Dunn
Should we go to Jean Chatsky's website and get some questions that people have asked her?
52:42
Damian Dunn
Yeah, sure. Let's do that.
52:43
Peter Dunn
What we should do is let's play a Dave Ramsey podcast right here on the air, and then we'll see what questions he gets and we'll answer those.
52:52
Damian Dunn
That'll be fun.
52:53
Peter Dunn
That's good.
52:54
Damian Dunn
Can I keep my six shooter on my desk beside me, too?
52:58
Peter Dunn
I have no all right, let's damien, lots of people have been asking, what is in the barrel? What is in the barrel you have behind you? Is it still there today or do you move it? There it is. I don't think you told us on the show last week. I think you've told us after the fact. You told me after the fact. What have you put in the whiskey barrel on your desk? What is on the whiskey barrel on your desk?
53:22
Damian Dunn
I've got a high west double rye in there.
53:26
Peter Dunn
High west double rye. Delicious rye whiskey. Kristen rye whiskey.
53:33
Kristen Ahlenius
No, definitely not. No chance.
53:38
Damian Dunn
She likes Mexican bourbon. Tequila.
53:42
Peter Dunn
Mexican bourbon. White lightning, white doll. Okay, so here I have a little bit of an issue here. I got a manual submission for biggest wasted money of the week mailed to our office. This week mailed in an envelope with clippings. Yes. And I want to show it, and it's a good one, but I also like another one that I have digitally, and so I might do both. What do you think we should do?
54:19
Kristen Ahlenius
We have to use the one that someone mailed.
54:22
Damian Dunn
That one goes first.
54:25
Peter Dunn
Yeah. All right, so let me do some origami. Yeah, okay. But the thing is, I don't know who submitted it. It was addressed to Pete the planner in our office address here. Okay. Mailed from Indianapolis on July 9.
54:50
Kristen Ahlenius
That narrows it down.
54:51
Peter Dunn
Yeah, that narrows it down.
54:53
Damian Dunn
There was no name.
54:54
Peter Dunn
No. They clipped it out of a magazine, a catalog or something, and then they went to the Internet and printed it off in a larger view for a picture for us to share with people. All right, so we're going to do two. Biggest waste of money of the weeks.
55:13
Damian Dunn
Are they angled for a producer job?
55:16
Peter Dunn
I don't know. They didn't go to reddit. All right, in three, two, one. This week's biggest waste of money of the week here on the pizza Planner show is well, it is user listener submitted. This was something that was nominated for biggest waste of money of the week. Someone mailed this to our offices here indianapolis, Indiana. I don't know who mailed it, but it came with the following note. Hello, Pete. I really enjoy your show. But the best part is biggest waste of money. I found this in a catalog. Can you believe it? You can have a lot of fun with this. And I believe this person is right. It's the Madame Claus Christmas hat show. Your holiday spirit in vogue. Festooned with gilded velvet, milliners blooms, dark lace, and ostrich plumes, this North Pole couture is sure to endure generations of December frolic. Made in the USA.
56:16
Peter Dunn
So I'm going to show you a picture. By the way, that copy is hot mean, right?
56:22
Damian Dunn
Yeah, that's good.
56:24
Peter Dunn
That is unbelievable. Copy. All right, so there is the madame Claus Christmas hat.
56:31
Kristen Ahlenius
Oh, my.
56:32
Peter Dunn
I'm showing this to the live streaming audience. Dame, what would you pay for a Christmas hat of that quality?
56:39
Damian Dunn
I got to tell you, that's way fancier than I was envisioning in my head. Kentucky Derby hats are really expensive, too, so that's like Kentucky Derby squared. That's got to be a $500 hat.
56:53
Peter Dunn
Kristen, a person who does not put cheese on a tenderloin sandwich, what would you pay for that hat? 350 the answer, you can have it for the suggested retail price of 89 95 and the sale price of 64 95.
57:15
Kristen Ahlenius
It wasn't a catalog.
57:16
Peter Dunn
We should have one extra biggest waste of money of the week a vampire slaying kit. While not definitive proof that vampires exist, whoever built this vampire slaying kit took them very seriously. The kit was first owned by Lord Haley, born in 1872 and the administrator of British India from 1924 through 1928. Inside the unadorned velvet lined wooden box is everything one would need to ward off and or kill the undead. Several crucifixes a bottle for holy water, mirror, hammer and stake, biblery, rosary beads and candlesticks. When the kit went to auction, it was estimated at one price. But the biding war took off and the hammer came down at yet another price. Whether for historical or practical purpose, this is one of the most interesting pieces of antiquity to appear in quite some time. Let's also note it is a lot of fun to say the word antiquity.
58:11
Peter Dunn
Damien, what do you think this vampire slaying kit from the 18 hundreds sold for at auction?
58:19
Damian Dunn
Five grand.
58:20
Peter Dunn
Kristen, what do you believe it sold for at auction? Ladies and gentlemen, if you want to kill the vampires in your life, it would cost you $20,000. Dame what is in the news this week?
58:35
Damian Dunn
Imagine for a moment you're the proud owner of a brand new BMW Five series. One chilly morning, you try to flip on your luxury sedan's, heated seats and nothing. Your frigid rear end sees no relief. That scenario isn't out of the question. BMW is now selling heated seats and some other basic features as monthly subscriptions. In some countries, owners who don't pay up won't get access even if their car came with all the necessary hardware from the factory. The move comes as car companies push to make their money from software in their vehicles through subscriptions and the like. Automakers intend to generate a steady stream of revenue, up to tens of billions of dollars a year, some say, and that continues long after the car is made and sold. A handful of car websites noticed this week that heated seats and a heated steering wheel popped up as monthly subscriptions on BMW's South Korea site, and it appears they've since been removed.
59:29
Damian Dunn
However, The Verge spotted features on the menu for BMW owners in Germany, the UK, South Africa and New Zealand. Heated seats, a subscription to them Pete, cost around how much per month? Kristen, any guesses? $17 $18 a month, with additional options for one, three and unlimited terms. Heated steering wheels, ten to $12 a month. Some other subscriptions BMW has on offer automatic high beams for $12 a month and adaptive cruise control with lane centering for $42 a month.
01:00:07
Peter Dunn
See, this reminds me, like, I'm going to go home tonight and be like, hey, honey, I just want you to know my husband duties for an extra $6 a month, I will do a really good job mowing the grass. For an extra $3 a month, I will bring the trash cans in when I'm supposed to. And for $2 a month, I can also provide hourly foot rubs. I feel like that's just like you can't break down what is expected. This honestly should be the biggest waste of money of the week. I'm infuriated by this story.
01:00:39
Damian Dunn
I didn't even tell you the most egregious charge they're possibly considering. Apple CarPlay. $80 a month.
01:00:48
Peter Dunn
Oh, my I'm not a BMW guy, but I will never purchase a BMW based on this. There's no way. That's crazy. Dame what else is in the news this week?
01:00:59
Kristen Ahlenius
One of my friends sent me this article just today and he put, quote, you'll own nothing and you'll like it. And I was like, man, is that the truth?
01:01:11
Peter Dunn
Dane what else is in the news this week?
01:01:13
Damian Dunn
Retirement savers are willing to put in more work, literally to keep Social Security afloat. Nearly six in ten people under the age of 55 said they'd work two years or more to keep Social Security funded, according to a recent bank of America Research Investment Committee survey. Of 2500 savers, two thirds were under 55 and more than three fourths had incomes below $100,000. All right, before I read the next bit, let's play a game. Financial jeopardy mixed with prices. Right? I'll read the question, you write down your answer, closest answer without going over wins. Are we ready?
01:01:47
Peter Dunn
Kristen doesn't have a pen. You can tell by the look on her face.
01:01:49
Damian Dunn
But I really in the ring light box.
01:01:52
Peter Dunn
Yeah, I couldn't see her face because it's not well lit. All right, go ahead.
01:01:55
Damian Dunn
All right. This is the percentage of people aged 35 to 44 who plan on retiring by the age of 67. Again, this is the percentage of people aged 35 to 54 who plan on retiring by the age of 67.
01:02:12
Peter Dunn
All right, I have my answer written down.
01:02:15
Damian Dunn
Kristen, since you don't have anything to write with, we'll make you go first so you can't change your answer to better than Pete. Go ahead, Kristen.
01:02:24
Kristen Ahlenius
I was going to say 25%.
01:02:26
Damian Dunn
25% is Kristen's? Answer, Peter.
01:02:30
Peter Dunn
You can't say it.
01:02:33
Damian Dunn
No, 72% of people plan on retiring by the age of 67. On average, respondents said they already plan on working until 68 or 69. And Millennials or Gen Z plan on working to save longer. Just 8% of those aged 35 to 44 plan to retire by age 67.
01:02:53
Peter Dunn
I would just say that was a terrible guess by me. And also not equally bad, but somewhat as bad from Kristen. But this is also why we're in business. This justifies everything it is. So 8% of people in that age range, which I'm in that age range, say they're going to retire before 67.
01:03:16
Damian Dunn
Barely. You're barely in that age range. But yes, just 8% of people.
01:03:22
Peter Dunn
This is why some of. These retirement readiness and retirement confidence surveys. I like to read them just to laugh and not at people's misfortune, but how unrealistic people are.
01:03:33
Damian Dunn
Yeah.
01:03:34
Peter Dunn
That's absurd.
01:03:35
Damian Dunn
Totally. I know. There was 2500 people on that survey. There's no way that's an accurate sample.
01:03:43
Peter Dunn
No way. Okay. Kristen is not in that age group.
01:03:48
Damian Dunn
No.
01:03:48
Peter Dunn
Kristen, do you believe that you will retire prior to age 67?
01:03:52
Kristen Ahlenius
No. What.
01:03:59
Damian Dunn
Because you won't be able to or because you don't want to?
01:04:01
Kristen Ahlenius
Oh, I would hope that I would be able to because otherwise maybe I shouldn't be on the show. But I really doubt it. What would.
01:04:12
Peter Dunn
Not? So, Dame, is the survey about life choices or is the survey about financial security?
01:04:20
Damian Dunn
That's a great question that I probably should have looked at the survey for. But I just read an article.
01:04:26
Peter Dunn
Do you find it on Reddit?
01:04:28
Damian Dunn
No.
01:04:30
Peter Dunn
This has been a wonderful show, everyone. I appreciate it. Here's what we encourage you to do. Go to find the Pete the Planner podcast, wherever you might get podcasts, and you can listen to what happens between the segments, which is sometimes interesting, and sometimes that makes people question why they listen to us at all. You can also watch live stream show 10:00 A.m on Fridays on Facebook, Twitter and YouTube. That's all we have time for this week. Sending you good vibes, because good vibes happen to be all that's in the budget. I'm Pete the planner. This is the Pete the Planner show.
01:05:07
Kristen Ahlenius
All right, can you please pull up Rick's comment? Better than an electrical issue, and it catches on fire and burns your five series to the ground. I see that Rick, too, may have also owned a German vehicle. Yikes.
01:05:23
Peter Dunn
Rick says cars in general are going to end up being subscription in the future. Once electric cars end up the standard in the US. It'll end up being a monthly cost just to be able to drive it.
01:05:34
Damian Dunn
And then a cost for mileage over a certain point.
01:05:37
Peter Dunn
That's why I'm never getting rid yeah. That's why I'm going to continue to roll coal.
01:05:47
Damian Dunn
I would pay $2 a month to see you sit in a lifted diesel truck and just absolutely roll coal. That would be amazing.
01:05:55
Peter Dunn
We will end the show here because I have a meeting. But, Kristen, what car for me to drive gives you the funniest image that brings you joy. What car? Me driving it getting out and be like, hey, I'm glad we're here at McAllister's to get your sweet tea. What car would make you laugh?
01:06:13
Kristen Ahlenius
Oh, a duramax. Yeah, absolutely.
01:06:16
Peter Dunn
What's a duramax. No, it's a serious question. What is a duramax? Is that like a coffee filter? Yes.
01:06:25
Damian Dunn
Yeah, it's exactly what it's Duramax. It's a diesel Chevy pickup truck.
01:06:29
Peter Dunn
James shows up at the show. He's like the guy that comes to a party as you're kicking other guests out. And he's like, well, hey, guys. And he doesn't even have a bottle of booze with him. Jameson you don't know that.
01:06:42
Damian Dunn
He might have a bottle of booze with him.
01:06:44
Peter Dunn
That's true. That's why he's late. Dame, I assume a Duramax is something manly.
01:06:49
Damian Dunn
Yeah, it's a diesel pickup truck. Chevrolet, in this case.
01:06:53
Peter Dunn
Okay. Do you agree with Kristen? That's what I would look the most.
01:06:56
Damian Dunn
Ridiculous in any diesel lifted 35 inch wheels on tires.
01:07:03
Kristen Ahlenius
Dually would be bad.
01:07:04
Damian Dunn
Yeah, dually and painted in a very aggressive paint scheme.
01:07:09
Kristen Ahlenius
Yeah, like flames on the hood.
01:07:11
Peter Dunn
I'm with you there. All right, so I get to pick one for Dame. A vespa.
01:07:21
Damian Dunn
Scooter.
01:07:21
Peter Dunn
An Italian scooter that's painted baby blue.
01:07:26
Damian Dunn
I kind of dig them. I'm not opposed to vespas. They're pretty cool.
01:07:30
Kristen Ahlenius
A Miata.
01:07:32
Peter Dunn
He would like that, too. Dame will drive anything.
01:07:35
Kristen Ahlenius
Dame would be able to see over the windshield, probably.
01:07:38
Damian Dunn
The new Miatas are really sweet, especially the retractable hard top.
01:07:43
Peter Dunn
All right. How about Kristen? I can see Kristen driving about anything. Kristen in a Ford probe.
01:07:53
Damian Dunn
She doesn't even know what that is.
01:07:56
Kristen Ahlenius
Are they older than me?
01:07:58
Damian Dunn
Yes, they are older than you. They were originally marketed to, I think, replace the Mustang. And they were marketed specifically to that's.
01:08:05
Peter Dunn
That'S let's just go, because whatever is coming out of my mouth next, not worth it. All right, so let's end this. Menagerie. Kristen have a good day. Dame enjoy surfing the deep parts of the Internet. Everyone else, stay getting money. Bye.
