Episode 59  Healthcare cost has becoming a large part of our monthly spending. Every year the cost continues to rise, and the Affordable Care Act has made healthcare cost anything but affordable. Alternative healthcare sharing programs have been growing in popularity over the past few years and they may be the answer to lower healthcare cost you’ve been looking for.   SHOW NOTES   What Is A Healthcare Sharing Program or Ministry?    Faith-based programs (of varying degrees with options for different religious denominations) which facilitate voluntary sharing among members for eligible medical expenses.     Members send in monthly ‘shares’ (i.e., premiums) which are distributed to or on behalf of other members with medical expenses (i.e., benefits payments) in accordance with program guidelines.     Built upon the principle of people with similar beliefs and values coming together to share each other’s burdens (in this case healthcare costs), not unlike the risk-pooling nature of health insurance.    The appeal of healthcare sharing programs is that in practice, they are  much   less expensive than health insurance .     Families can become members in healthcare sharing programs for $300 to $500 per month, compared to the average unsubsidized cost of family traditional health insurance coverage at $1,564 per month, and it’s easy to see the savings appeal for those who lack generous employer coverage or do not qualify for government premium assistance.      Healthcare sharing programs typically have lower out-of-pocket expense limits than typical high-deductible health insurance plans as well.     Caution:  healthcare sharing programs are  not  actually  health insurance . In fact, part of the reason that they’re less expensive than traditional health insurance is that their coverage may be more limited (than Affordable Care Act mandates for essential health benefits).      Limitations of coverage are based not only on managing potential costs and claims, but also the faith-based nature of the programs.     While healthcare sharing programs do cover many typical medical expenses that health insurance covers, they typically do  not  cover many health-related costs deemed to be ‘unbiblical’ – which the programs define in their guidelines – and may exclude payments for:     Birth control.    Abortions.    Injuries related to alcohol or drugs.    And injuries from certain hazardous activities (i.e. failure to wear helmets or seat belts in some situations).       Participating members are exempt from the Affordable Care Act’s individual mandate to purchase health insurance, and from completing the  IRS Form 8965  at tax time which attests to membership in a qualifying program (in lieu of traditional health insurance).     To become a member, healthcare sharing programs may require agreement with a statement of faith, and in some cases even have a process to verify regular church attendance, although each has a different policy.     How they work?  Basically, everyone pays in a certain monthly share amount, and for your own expenses, you are responsible for covering an “annual personal responsibility”, or “unshared amount” (like a deductible). Then, the rest of your medical expenses are shared among the group from what they have paid in – in many cases up to $1 million per incident!   Are There Restrictions?  Yes. Since they are faith-based ministries, they do have different guidelines (like smoking, or certain pre-existing health or lifestyle-related conditions). In which case they will decline membership.   Some take people with pre-existing health conditions others do not. For those who accept pre-existing conditions, these types of conditions may be handled in a few different ways. The condition may be phased in. If that's the case, members do not share costs for that condition during the first year.  Then during years two and three of membership, members share up to a certain amount ($50,000) of eligible expenses to treat that condition. However, some pre-existing conditions might never be shareable. You can always just call an ask.   Are there programs for families?  Yes! They have programs for the entire family. Your family can participate in a very comprehensive option for  under $500 a month,  which is a maximum. There is a range of options less expensive than that depending on how much you want shared.   Differences between Sharing Programs and Health Insurance      Healthcare Insurance guarantees a certain level of payment depending on your level of coverage.      Healthcare Sharing Programs provide no guarantees of payment, although many do provide reimbursement for qualified expenses.     A few of the major health care sharing ministries are:      Christian Healthcare Ministries , this is the one I (Leo) use.      Samaritan Ministries       Medi-Share       Liberty Healthshare      What is the difference between the health care sharing ministries?     All four of the above medical cost sharing ministries are very similar, but there are some differences among them. The largest differences are:     Their acceptance guidelines     If they process medical bills electronically or not     If they allow cost sharing of alternative or natural treatments.     Beyond that, we included a  FAQ  in our show notes which you would find extremely helpful. It has a very informative and clear answer for every question you would think of asking.  If you are looking for an affordable way to handle your medical expenses, a health sharing ministry could be just what you need.     RESOURCES   Christian Healthcare Ministries   Samaritan Ministries   Medi-Share   Liberty Healthshare

Episode 59
Healthcare cost has becoming a large part of our monthly spending. Every year the cost continues to rise, and the Affordable Care Act has made healthcare cost anything but affordable. Alternative healthcare sharing programs have been growing in popularity over the past few years and they may be the answer to lower healthcare cost you’ve been looking for.

     

 
 
      Episode 58  Being able to communicate about finances with your spouse is crucial to a happy and satisfying marriage.  On this episode, professional counselor Russell Baxter who has recently released his book, Sharing Your Heart Sharing Your Treasure, continues sharing his insight and advice on what couples can do to improve their finances and as a result, their marriage.      SHOW NOTES      4 TYPES OF HOUSEHOLDS  1.     CPA Home  2.     Joint Venture Home  3.     Wild West Home  4.     Team Home     1. CPA HOME    One partner manages all of the finances.    Other partner knows little to nothing about finances.    Very common in single income homes.    One partner makes most decisions and even sometimes gives the other an “allowance” or lets them know that they can spend.    “Don’t tell me, I don’t want to know.”    “You handle it.”    2. JOINT VENTURE HOME    Tend to not talk about a plan    Very common in remarried couples    Both partners manage their own accounts    Checking    Debit    Debt    Retirement    3. WILD WEST HOME    No plan / budget.    Spend as long as we have money.    Talk about desires but lack a plan or accountability.    Not stewarding well.    4. A TEAM HOME    Two people working together.    Communications.    Talking about what we want and a way to get it.       WE MUST CREATE A FOUNDATION FOR CONVERSATIONS:       

  

    
       
      
         
          
             
                  
             
          

          

         
      
       
    

  


     Action – Follow through/ Accountability.    Budget – Execution / Limits.    Plans – How / Time Frame.    Goals – Dreams / Direction.    Principles / Priorities – What’s important to us? Boundaries for our Family.       When we are having a problem with an upper layer refer to the level below.  Our foundation is not dependent on our feelings and impulses; it is based on our principles and our priorities.     This process is messy and takes time, especially if you are coming from the Wild West.      
   
     “ When you talk and agree on finances with your spouse you improve your intimacy and share your heart. ” 
   
   — Russell Baxter 
 
     Matthew 6:21  For where your treasure is, your Heart will be also.      Heart is:     Thoughts    Passions    Desires    Dreams    Intentions    Interests    Attitude    Character       These are the things that we are trying to get our clients to share with each other.   Money Fights/Money Problems shows up in every major study as one of the most common reasons for divorce.      Common situations in marriages today    Why is Money So Complicated?   Money represents:          Safety    Security    Fulfillment    Purpose    Shame    Guilt    Anxiety    Inadequacy    Self-Esteem    Future    Possibilities    Healing        Whether spoken or assumed we each associate with money in an emotional way.      Creating mindfulness about my relationship with money.   Two main reasons money problem stick around:     Assumptions    Implications       How can managing money help heal or wound your spouse?   Wounding     Impulsivity > Insecurity, Uncertainty, Fear, No Trust.     No Communication > Decrease in self-esteem, Trust, and More Resentment.     No Plan > Chaos, Anxiety, Feeling Trapped/Stuck.     Healing     Having a Plan > Comfortable spending, Decrease in Anxiety.    Accountability > More Impulse Control and Trust.    Planning for the Future > Foster Safety and Security in Relationship.    Communicate about Desires > More Vulnerability.       A Healthy Team is:    Isn’t looking at how other teams play.    Cares more about the team than the individual.    Doesn’t beat up a player who makes a mistake (shaming).    Meets frequently.    Reviews errors and changes the plan.    Keeps their eye on the prize.       RESOURCES  Sharing Your Heart Sharing Your Treasure Book  - Signed copy  Sharing Your Heart Sharing Your Treasure Book  - On Amazon   Budget Forms and Tools  David’s New Book -  Jesus on Money  David’s New Website -  www.stewardshippastors.com

Episode 58
Being able to communicate about finances with your spouse is crucial to a happy and satisfying marriage.  On this episode, professional counselor Russell Baxter who has recently released his book, Sharing Your Heart Sharing Your Treasure, continues sharing his insight and advice on what couples can do to improve their finances and as a result, their marriage. 

     

 
 
      Episode 57  Being able to communicate about finances with your spouse is crucial to a happy and satisfying marriage.  On this episode, professional counselor Russell Baxter who has recently released his book, Sharing Your Heart Sharing Your Treasure, is sharing his insight and advice on what couples can do to improve their finances and as a result, their marriage.      SHOW NOTES      4 Types of Households  1.     CPA Home  2.     Joint Venture Home  3.     Wild West Home  4.     Team Home     1. CPA Home    One partner manages all of the finances.    Other partner knows little to nothing about finances.    Very common in single income homes.    One partner makes most decisions and even sometimes gives the other an “allowance” or lets them know that they can spend.    “Don’t tell me, I don’t want to know.”    “You handle it.”    2. Joint Venture Home    Tend to not talk about a plan    Very common in remarried couples    Both partners manage their own accounts    Checking    Debit    Debt    Retirement    3. Wild West Home    No plan / budget.    Spend as long as we have money.    Talk about desires but lack a plan or accountability.    Not stewarding well.    4. A Team Home    Two people working together.    Communications.    Talking about what we want and a way to get it.       We must Create a Foundation for Conversations:        

  

    
       
      
         
          
             
                  
             
          

          

         
      
       
    

  


       Action – Follow through/ Accountability.    Budget – Execution / Limits.    Plans – How / Time Frame.    Goals – Dreams / Direction.    Principles / Priorities – What’s important to us? Boundaries for our Family.       When we are having a problem with an upper layer refer to the level below.  Our foundation is not dependent on our feelings and impulses; it is based on our principles and our priorities.     This process is messy and takes time, especially if you are coming from the Wild West.      
   
     “ When you talk and agree on finances with your spouse you improve your intimacy and share your heart. ” 
   
   — Russel Baxter 
 
     Matthew 6:21  For where your treasure is, your Heart will be also.      Heart is:     Thoughts    Passions    Desires    Dreams    Intentions    Interests    Attitude    Character       These are the things that we are trying to get our clients to share with each other.   Money Fights/Money Problems shows up in every major study as one of the most common reasons for divorce.      Common situations in marriages today    Why is Money So Complicated?   Money represents:          Safety    Security    Fulfillment    Purpose    Shame    Guilt    Anxiety    Inadequacy    Self-Esteem    Future    Possibilities    Healing        Whether spoken or assumed we each associate with money in an emotional way.      Creating mindfulness about my relationship with money.   Two main reasons money problem stick around:     Assumptions    Implications       How can managing money help heal or wound your spouse?   Wounding     Impulsivity > Insecurity, Uncertainty, Fear, No Trust.     No Communication > Decrease in self-esteem, Trust, and More Resentment.     No Plan > Chaos, Anxiety, Feeling Trapped/Stuck.     Healing     Having a Plan > Comfortable spending, Decrease in Anxiety.    Accountability > More Impulse Control and Trust.    Planning for the Future > Foster Safety and Security in Relationship.    Communicate about Desires > More Vulnerability.       A Healthy Team is:    Isn’t looking at how other teams play.    Cares more about the team than the individual.    Doesn’t beat up a player who makes a mistake (shaming).    Meets frequently.    Reviews errors and changes the plan.    Keeps their eye on the prize.       RESOURCES  Sharing Your Heart Sharing Your Treasure Book  - Signed copy  Sharing Your Heart Sharing Your Treasure Book  - On Amazon   Budget Forms and Tools  David’s New Book -  Jesus on Money  David’s New Website -  www.stewardshippastors.com

Episode 57
Being able to communicate about finances with your spouse is crucial to a happy and satisfying marriage.  On this episode, professional counselor Russell Baxter who has recently released his book, Sharing Your Heart Sharing Your Treasure, is sharing his insight and advice on what couples can do to improve their finances and as a result, their marriage. 

     

 
 
      Episode 56  Having a budget is foundational to financial success. However, just having one doesn’t automatically make you financially successful. You must know how to use it to achieve success. On this podcast we continue sharing our many years of personal budgeting experience to help you gain insight into what will make your budget more successful.   SHOW NOTES     Auto & Property Insurance  Everything tends to go up each year, at some point it’s worth switching.    Lots of competition so take advantage of that.    Ask for discounts - insurance companies have many discounts they can apply to make your policy less expensive.    Don’t forget other options to decrease your premium like:    Increasing your deductible.    Liability insurance for older vehicles.           Episode 42 - Auto Insurance   Episode 22 - How to Buy a New Car   Episode 23 - How to Buy a Used Car      Car repairs    If you have kids that you help with car repairs or maintenance, then you have to put it in your budget. You can’t just budget for your cars, you have to budget for the people you support financially, if you don’t write it down you won’t set healthy      boundaries.    Set a plan in place with your grown kids.    Encourage them to have their own budget that includes car maintenance and repairs.    If you are mechanically inclined (oil changes, even minor repairs) have them       pay for the parts and you do the work, this way your budget is not affected.         Miscellaneous    Purchases that don’t fit into a category.    Something you buy occasionally (printer paper and ink).    Not light bulbs or cleaning supplies because they are either in house        maintenance or combined with groceries.      Apps for phone.    icloud storage or itunes charges (only when small and not frequent).    Dry-cleaning, magazine subscriptions, unexpected giving.    Most miscellaneous expenses you should be able to see over long-term tracking and create a full plan for those expenses.    Animals expenses (might put your first couple pet toys in misc, but then it needs to go on the pet budget category).      Add a pet category to your budget so you can track everything you’re spending and plan accordingly.    Add a healthy living category. Don’t put gym memberships & vitamins under Miscellaneous.    Add a gift category to your budget, don’t just put it under miscellaneous. You will likely spend $1,000 or more on gifts throughout the year. This is large enough to      budget for it in its own category.     Resources   Budget Forms and Tools  David’s New Book -  Jesus on Money  David’s New Website -  www.stewardshippastors.com

Episode 56
Having a budget is foundational to financial success.  However, just having one doesn’t automatically make you financially successful.  You must know how to use it to achieve success.  On this podcast we continue sharing our many years of personal budgeting experience to help you gain insight into what will make your budget more successful.

     

 
 
      Episode 55  Having a budget is foundational to financial success.  However, just having one doesn’t automatically make you financially successful.  You must know how to use it to achieve success.  On this podcast we discuss our many years of personal budgeting experience to help you gain insight into what will make your budget more successful.    SHOW NOTES     Groceries  Buying in bulk quantities   Is buying in bulk really worth it? Can I do it and save money?    Sometimes it is the same price as other stores. It looks like a good deal, but it’s actually not.    Membership fee.    There’s a temptation to impulse  buy things you don’t really need to be buying.    The impulse is buying something in bulk...which means you spent a lot more on an impulse.    You have to purchase large quantities that will last multiple months, so you actually spend next month’s money before you earn it.    You need a specific Costco or Sam’s budget, because you go there every couple of months, something most people don’t do resulting in overspending.        Cell   phone       Too many people are staying with their carrier way to long.    They  charge high prices.    Hidden fees.    Lock you in with a special phone deal, while overcharging in other areas.      Second tier brands.    People don’t understand the bill, the carrier changes the fees and taxes, and the bill goes way up, but people don’t notice for months and then when they do notice they don’t want to call and push back.    Paying monthly for your “new phone” and getting locked into a carrier.       Electricity    Save by shopping for electricity when possible.    Power to choose.org    Shop at non-peak seasons to get better rates (December through March).        RESOURCES   Budget Forms and Tools   David’s New Book -  Jesus on Money   David’s New Website -  www.stewardshippastors.com

Episode 55
Having a budget is foundational to financial success.  However, just having one doesn’t automatically make you financially successful.  You must know how to use it to achieve success.  On this podcast we discuss our many years of personal budgeting experience to help you gain insight into what will make your budget more successful.

     

 
 
      Episode 54  We make financial decisions every day. Some of our decisions are complicated and can have long term ramifications. That’s why it’s so crucial to understand the process you go through in making financial decisions so that you can make the best decision for you and your wallet. On this episode, we discuss the challenges, shortcuts, and solutions to making good financial decisions.     SHOW NOTES     Bounded Rationality    Rational  - based on or in accordance with reason or logic.   Bounded   - limited, constrained, not knowing everything.   Bounded Rationality is the idea that individual decision making is limited by:     Personal information  - lack of knowledge - The decision maker might not be aware of all the      best information that will help take the optimum decision.     Cognitive limitations   - Humans have their own cognitive limitations. They might become biased or judgmental, or may not be able to process all the complex data available.     Time constraints  - Time is one of the biggest constraints for a human being. He often has to make decisions in haste, due to emergencies, or need of the hour.     Usually, people act in ways to maximize their self-interest. We do things that will increase our happiness. It seems logical that we would make rational decisions in order to accomplish that. Unfortunately, information asymmetry, cognitive biases and other factors conspire to bound our rationality, and people often make choices that lead to outcomes that go against their desires. (I desire to keep it under $200, but now I think there’s no way I can spend less than $200 to get what I want).     What are the shortcuts we take to make decisions?     Rely on celebrities to tell us about products.    Not do something because it’s difficult.    We never start investing because of the difficulty of starting.    Automatic enrollment.     Automatic +1% each year.        We get “sold” because we don’t have enough information or enough time to seek out all the available information.      We rely on rules of thumb.    Brands.    What parents or friends use.    Buzz words (organic, non-GMO, no gluten, healthy alternative).      So many options that when you’re trying to purchase something you search all the big places first...Google,  Amazon, Walmart.    Upselling    Radio with auxiliary cord.    Radio with Bluetooth.    Radio that connects to multiple speakers/subwoofer.    Touch screen option.    Premium brand.    Car Play or Android Compatible.      Truck Example    Adequate, but not over pay.    Sense of insecurity.    What’s the standard?    We can’t go back to the first choice, we now have multiple choices to go through, if I make the wrong choice then I’ll be frustrated and experience pain, so now I’m insecure about the decision.    Most people start with a price in mind.    Reliable.    Provide proper value for the dollars.      We no longer have 2-3 choices, we have 10-20 choices, and we have tons of information around each of those choices.    Company reviews.    Product reviews.    Reviews of the reviewing company to see if the review are from actual consumers or they are false?      Information overload    Having to buy things I’ve never thought of before, and each time I find more information I find new products I have to buy to protect myself and keep my original transaction secure.        Store Generic Brands vs. National Branded Companies    Adequate, but not over pay.      Buying online    Amazon    Potentially get it faster.      Direct from company    Trusted source, potentially easier to use warranty.    “In Stock”, but then it takes 10 business days.            I bought a camera, “in stock” online, then waited two weeks thinking it would arrive any day...after waiting two weeks I called the company and they said it’s not in stock… I asked how long till it was in stock, they didn’t know how long it would take. So I called two weeks later … same things… called two weeks later…. Said the same things and finally up-sold me to something that was in stock that I didn’t originally want.      Buying the right house, right neighborhood, good schools.       Solution    Have a budget and you stick to it. There has to be a limit somewhere.    Have margin in your finances so you can deal with unexpected expenses without feeling doubly frustrated by the situation.    Be weary of taking every person's opinion as truth. Others people's biases can cause us to eliminate options that might be good solutions.    Deal with fear, realize that every decision will come with some uncertainty.    Label the fear and label the worst thing that might happen.    Do you really need to lose sleep over that.    Is your life in danger, is your family in danger, does it completely wreck your finances.    Or does it just lead to inconvenience.      Buying house in a flood plain for $300,000 vs buying a desk for $300      Realize the value of brands.    Satisfaction.    Sometimes being sold feels good.         Good, Cheap, or Fast  Usually get 2 out of the 3. Hard to get all three at once.  1.    Good & Cheap - but have to wait to get it, it won’t happen  fast.   2.    Good & Fast - but won’t be  cheap.   3.    Cheap & Fast - but it won’t be  Good.

Episode 54
We make financial decisions every day. Some of our decisions are complicated and can have long term ramifications. That’s why it’s so crucial to understand the process you go through in making financial decisions so that you can make the best decision for you and your wallet. On this episode, we discuss the challenges, shortcuts, and solutions to making good financial decisions.

     

 
 
      Episode 53  Your identity, especially your financial identity, is something you have to keep safe.  In this information age most of your personal information is stored digitally, which means there’s an increasing risk that the wrong people will gain access to it.  What you do to protect your information can either make you vulnerable or safe.  In this episode we share ways you can keep your identity safe, including a new law that makes it much easier for you to ensure identity theft doesn’t happen to you.   SHOW NOTES  Credit Reporting    Experian    Equifax    Transunion    See your actual reports from each credit bureau once a year:  www.annualcreditreport.com     Credit score: www.creditkarma.com       Credit Score ranges between 300-850   Credit score rankings:     350-620 - Bad    620-660 - Fair    660-720 - Good     720-850 - Excellent        Love hate relationship with the credit score.    I love that someone was smart enough to build a business tracking this data and making it easier for businesses to lend money to trustworthy people, so that it’s easier to buy a house, this system has made it very easy for large companies to make millions of decisions everyday about borrowing and lending. That’s kind of neat.    I hate that they take all of our information without our permission, they don’t make it easy for us to access and manage the information flow. They don’t protect the information as well as is needed and can put us at risk for identity theft.    I also hate that the system encourages debt and makes “borrowing” easy...I think borrowing is something that very rarely makes sense in someone’s life. I think you need “surety” if you’re going to borrow. I think most people don’t realize the risk of debt. I think too many companies.     You can’t stop them from tracking all your data and putting together a score on you, but you can implement some strategies to keep your credit report safe from Identity Theft   Consider these identity theft statistics:    2017, 6.64 percent of consumers became victims of identity fraud, or about 1 in 15 people.    That equals 16.7 million victims last year, an increase of 1 million from 2016.    Over 1 million children in the U.S. were victims of identity theft in 2017, costing families $540 million in out-of-pocket expenses.    There’s a new victim of identity theft every 2 seconds.    It takes most victims of identity theft 3 months to find out what’s happening, but 16 percent don’t find out for 3 years.    In other words, if your chances of winning the lottery were 1 in 15, like the odds of being an ID theft victim, we’d all have family, friends, and colleagues who are millionaires.   How can you protect yourself?       Use two-factor authentication:  Banks and brokers commonly ask you to verify your identity by receiving a text message or email when you use a new device to sign in. Now, many online merchants offer the same, but consumers generally must opt in.     Encrypt and password protect:  Malware doesn't infect only your computer. Now that an increasing amount of commerce is conducted via phone and other mobile devices, new viruses aim at them. Treat your mobile devices with the same care that you use to guard your desktop or laptop. Secure them with passwords, security software and encrypt any stored data.     Set up alerts:   An increasing number of companies allow consumers to put alerts on their accounts when transactions exceed a certain dollar amount, which could allow you to spot fraud before it got out of control.     Freeze or lock:  If you're not planning to apply for new credit anytime soon, consider freezing your credit reports with the three major bureaus. This will halt any new credit being opened in your name. The downside is that freezing credit reports can cost up to about $10 at each credit bureau, and if you want to apply for a loan, you would have to lift the freeze first.      What is a credit freeze?   A freeze makes your credit reports inaccessible to most people, with some exceptions:     You can access your own records, including getting your  free annual credit report , while your credit reports are frozen.    Pre existing creditors and debt collectors still have access.    A freeze has no effect on your credit score.     What are the pros of freezing my credit?    Peace of mind and protection against identity theft.     No one will be able to open credit accounts in your name, which can save you the hassle and cost that come with having your identity stolen.    It is the strongest form of protection for the sensitive data in your credit reports, and it is free.     What are the cons of freezing my credit?    Freezing your credit can be inconvenient. You need to contact all three bureaus.    You also have to establish accounts with Equifax and TransUnion when you freeze or thaw online, while PINs are required when you unfreeze by phone or postal mail.     You are required to keep track of your PIN to freeze and unfreeze your files regardless of method.    A freeze can give you a false sense of security — you may still be susceptible to credit fraud or other fraud involving your Social Security number.    A credit freeze won’t affect your current accounts, but if a thief steals the information on an existing account, your credit may be used without your permission. It is still important to check statements carefully.     How to freeze your credit     Equifax:  Call 800-685-1111 or  go online . Check out a step-by-step  Equifax credit freeze  guide.     Experian:  Call 888‑397‑3742 or  go online . Here’s a detailed walk-through on a  credit freeze with Experian .     TransUnion:  Call 888-909-8872 or  go online . Read our  TransUnion credit freeze  guide.    Once a credit freeze, also known as a security freeze, is in place, it secures your credit file so nobody can access it unless you give direct authorization to the credit bureaus, usually through a password-protected credit bureau website or PIN.      

Episode 53
Your identity, especially your financial identity, is something you have to keep safe.  In this information age most of your personal information is stored digitally, which means there’s an increasing risk that the wrong people will gain access to it.  What you do to protect your information can either make you vulnerable or safe.  In this episode we share ways you can keep your identity safe, including a new law that makes it much easier for you to ensure identity theft doesn’t happen to you.

     

 
 
      Episode 52  We love the start of a New Year because in a literal sense it closes one door, the year past, and opens another door, the year ahead. With a new year comes new possibility and new endeavors. We always feel hopeful and enthusiastic about a new year because it means we can pursue new things or improve on the old ones. In this episode, we share our thoughts and ideas for how you can make 2019 a success and achieve even more financially and personally.   SHOW NOTES  Goal Setting    Increasing your income    Advance your career    Improve your relationships    Improve your life and health       Hal Elrod - The Miracle Morning    Morning routine.    As little at 10 min or as much as an hour.    Do 6 things.    Life Savers.    Silence - Solitude.    Affirmation - Review your gifts and talents, affirm that you’re called to do what you’re doing, and that you’re making an impact where you are.          5 steps to create your own affirmations.       What you want.    Why you want it.    Whom you are committed to being to create it.    What you’re committed to doing to attain it.    Add Inspirational quotes and philosophies.      Visualization    Envision the future.    What are the benefits of where you’re going?    Create a debt thermometer and put it on your wall.    Create a education plan and check mark accomplishments.      Exercise    5 min routine up to 30 min exercise.      Reading    Learn and grow.      Scribing     Writing and journaling.            It’s not about squeezing ths in to your current routine, it’s about purposely making extra room in your morning for this routine. You wake up an extra hour early, or 30 min early, or even just 5 min early.    Tell someone    To increase the chance of success share your plan with someone who will hold you to it. You have to give yourself some accountability. You need to be excited enough about this to share your plan and encourage others on their journey.    Intentionality is the standard of leader. The person who is the most intentional IS the leader. Not based on title or pay-grade or who you know. Over time your intentionality will elevate you to the position and place you want to be. Being intentional is the standard.    If you were meeting the president of the United States tomorrow, what would you do to prepare?    If you’re intentional about every day, you’re going to have a great year!      Financial Focus    Improve Your Income    Building a small business, side hustle.    Take an inventory of your gifts and abilities and look for ways to use them at your current job or pursue other job opportunities.    Side hustle ideas.    Garage sales, estate sale.    Online arbitrage.    Finding furniture at Goodwill, Facebook Buy & Sell.    Blog about your online finds and build a community.    Start a YouTube channel teaching something you know.    This has multiple benefits, can lead people to find you as an expert and pay you for consulting.    Turn it into an online “premium” class where people pay to learn special things from you.      Uber / Lyft /Amazon fulfillment.         Personal Finances    Be a better financial manager.    Improve your financial position.    Time to create your budget, we talk about it all the time, but now is the time to       sit down and do it.    Create Net-Worth Statement.    Reduce your debt, set a plan for the $ amount you’re going to pay off.    Use a  debt snowball .      Start investing.    Matching at company (401k, 403b, IRA, Roth IRA).    Build the habit of saving.           “Anything important in your life should be done daily. Show me your day and I will show you your future.”    If I look at your plate, I can tell you about your health 15 years from now.    If I look at your budget, I can tell you what your net-worth will be in 15 years.    If I look at your education plan, I can tell you where you’ll be in your career.      Sustainability is the guide of success. As you make your plan, you have to ask the question, “Is this sustainable?”      Start by  limiting  the amount of time. This will cause you to want more. Do you walk away each morning wanting more? That will draw you back and cause you to be consistent.    Make a 1-year commitment to the plan, then tell someone about it.    Do not change the plan 3 months into the year, if a new exciting plan comes along, then save it for the beginning of next year. Most of the time it will lose its       excitement before the next year and you’ll realize you would’ve lost out on your current plan to chase something that wasn’t the best.    You want to follow this through and see the impact it has on your life.         Resources   Budget Plan/Debt Snowball/Forms  Hall Elrod - The Miracle Morning -  book  &  website 

Episode 52
We love the start of a New Year because in a literal sense it closes one door, the year past, and opens another door, the year ahead. With a new year comes new possibility and new endeavors. We always feel hopeful and enthusiastic about a new year because it means we can pursue new things or improve on the old ones. In this episode, we share our thoughts and ideas for how you can make 2019 a success and achieve even more financially and personally.

     

 
 
      Episode 51  We hear a lot about the economy and how it’s fluctuating and impacting our buying choices, but what do you really know how economics are really affecting your personal finances? In this second episode we continue discussing certain economic terms and phrases that have a significant impact in the way we make financial decisions. Having the knowledge and insight into these terms and phrases will help you better manage your own personal finances.    SHOW NOTES   Economics:  The study of what constitutes rational human behavior in the endeavor to fulfill needs and wants given a world with scarce resources.      
   
     “ There is an infinite amount of choices, but a limited amount of resources. ” 
   
   — Ron Blue 
 
     Marginal Utility  Whenever you have more of something its value to you diminishes.     A $100 would be more valuable when you earn $1000/month than when you earn $1Million/month.    It’s very easy for us to get used to a higher standard of living, it’s easy to up, but very hard to go down.    When you don’t recognize that the more you add, the less value it adds to your life. You begin chasing more and more, with diminishing returns.     Something that used to satisfy doesn’t fulfill you the same way, used to be excited about going to McDonalds, used to be excited for a McDonald's Sundae, then Dairy Queen Blizzard, then Hagen Daaz… where does it end.       Inflation  Inflation is the increase in the overall prices of products and services in our economy. Each dollar buys less as inflation grows. A low, stable rate of inflation is normal and healthy.  The key to financial health is to be able to not just keep up with inflation but to beat it!    If you are afraid to start investing money, then you’re actually losing money each year just holding onto it. If inflation is 2-3% a year, you are losing that much each year. You have to be invested in something that will gain you more than 2-3% a year.    You don’t have to be an expert on economics, but you have to be aware that this affects you.    Unless you can lower your lifestyle by 2-3% a year, which is most likely not sustainable, you’ll need to invest in order to beat inflation and not decrease but increase.        If your money is going toward depreciating assets instead of appreciating assets, over time you’re going to get killed by inflation.      Vehicle go down in value.    Homes typically go up in value.    Investments go up over time (if you make wise choices).    If the inflation rate is 2% per year and a gallon of milk costs $2 today, it will cost $2.04 a year from now.  Since it will require more money to purchase the milk a year from now the $2.00 is worth less than it did a year ago. Whenever goods and services require more money to purchase the implicit value of money goes down.   Inflation Impact on Savings    $1,000 today will be worth $903.92 after 5 years and $817.07 after 10 years, if you’re earning no interest on the account.     That’s why stuffing cash into a mattress is a bad idea. Investing your money in some form of equity or bond investment is arguably a better way to go.     Recession   A recession is a significant decline in economic activity that goes on for more than a few months. It is visible in industrial production, employment, real income and wholesale-retail trade.    Making, selling, and buying of goods and services.    Companies make less, so they lay people off.    Less jobs means less spending, then less things are made, leading to a hard cycle to break.     Just because a recession occurs, doesn’t mean it’s going to destroy your life.  You must be prepared for recessions because they will come.  You must prepare for recessions, because they will come and you will be impacted in different ways. May be due to a job issues or just a decrease in investments.   Things to focus on before a recession comes:    Emergency fund.    Career insurance - networking, be a top employee.    Margin in the budget.    Investment money ready to take advantage of buying opportunities.    Buy a business.    Buying real estate.    Investing in the market.       

Episode 51
We hear a lot about the economy and how it’s fluctuating and impacting our buying choices, but what do you really know how economics are really affecting your personal finances? In this second episode we continue discussing certain economic terms and phrases that have a significant impact in the way we make financial decisions. Having the knowledge and insight into these terms and phrases will help you better manage your own personal finances.

     

 
 
      Episode 50  We hear a lot about the economy and how it’s fluctuating and impacting our buying power, but do you really understand how economics is affecting your personal finances?  In this episode we discuss certain economic terms that have a significant impact in the way we think and make financial decisions.  Having knowledge and insight about these terms will help you better manage your finances.   SHOW NOTES     Economics:  The study of what constitutes rational human behavior in the endeavor to fulfill needs and wants given a world with scarce resources.      
   
     “ There is an infinite amount of choices, but a limited amount of resources. ” 
   
   — Ron Blue 
 
     Free  It doesn’t exist. Even the brightest economists will tell you, “There’s no such thing as a free lunch,” meaning nothing is entirely free of cost. One speculation of where the phrase originated is when saloons would give free lunch to anyone who bought a beer. They’d serve the men the saltiest foods so they’d end up buying more beer, thus making the meal cost something. Today, the concept isn’t too much different. If you think you’re getting something for free, you’re probably paying for it through hidden costs or costs that are distributed to someone else or society.     0% Interest  Trading up in car when you don’t need to because of the 0% interest appealing offer.  Truth: no business can stay in business without making money.  One way or another, a car dealership will make money on the car whether you have a 0% loan or not.    Need excellent credit to qualify.    Only cars on the lot qualify.    Shorter term loan and higher payments.    Less negotiating on the price with % percent financing.    Often have to choose between cash rebates or 0% offer.      Electric Vehicles     Low cost energy    Low maintenance cost    High price of car    High price of battery    There will be a break even in 2020’s      Opportunity Costs  The opportunity to do one thing, costs you the opportunity to do something else.  A resource can’t be used in two different places.    Education    Money    Relationship    Small Business vs Job     Investing    Etc       Education:  Take a job out of high school earning $30K VS go to college, gain higher level of employment with a $50K starting income.   Investing : 401(k) loan, IRA loan….sold as a good easy loan that you pay yourself back with. You lose out on the returns. You also lose out on the pain that causes you to actually change your habits. Most important, you miss out on compound interest.   Example:     $20,000 401k loan… at 10% interest over 30yrs, would’ve been $350,000 if you hadn’t taken it out.     Paying yourself back the 4% interest rate, means you’d have $2,100 at the end of 5yrs… for a total of $22,100.    $22,100 for 25 years… at 10% equals $240,000    Paying off the card, you’d pay $8,000 interest over five years, but you never drain your 401(k). So you pay the bank $8,000 instead of losing $110,000 in earned interest. Plus you maintain the intensity of attacking debt and gain frustration with debt that causes you to never go into debt again.       

Episode 50
We hear a lot about the economy and how it’s fluctuating and impacting our buying power, but do you really understand how economics is affecting your personal finances? In this episode we discuss certain economic terms that have a significant impact in the way we think and make financial decisions. Having knowledge and insight about these terms will help you better manage your finances.

     

 
 
      EPISODE 49  Living a happy and satisfying life is the pursuit of most people. We all want a good lifestyle.  However, choosing the wrong lifestyle for you can have significant financial consequences. On this episode we look at two couples who chose slightly different lifestyles, even though they made the same income, and then compare their financial position after 10 and 30 years.  The difference will surprise you!     SHOW NOTES     Lifestyle Choices    How do you match your lifestyle for your income?    You can only afford a lifestyle that fits into your income.    Many people actually create a lifestyle beyond their income, and use debt to fund that lifestyle, but then it’s not sustainable and they end up going through extreme emotional hardship fighting that debt and lowering their lifestyle. The hard part is that it often requires three times as much effort to fight your way out of debt, than to live within your income in the first place.   Overspending Example:     Earn $50,000    Spend $51,000    10 years later - Debt $10,000    Interest 10% = $1,000    How Much Do They Have to Cut Lifestyle?     Yearly obligations and costs after 10 years of overspending:     Interest $1,000 per year    Principal $1,000 per year    Reduced Lifestyle $1,000 per year     They were spending $51,000 per year and now must spend $48,000 per year for 10 years to get out of debt.    Lifestyle Choices: Fishers Vs Burks     Both married in 1999    Bill and Tom had similar jobs at Wilson Financial    Sally and Sue were both elementary school teachers    Same family incomes    Both couples owned a home    Both drove two cars    Both took annual vacations    Both ate out every Friday night for “date night”        

  

    
       
      
         
          
             
                  
             
          

          

         
      
       
    

  


     Ten Years Later … Fishers saved $0 while the Burks saved $117,000.     

  

    
       
      
         
          
             
                  
             
          

          

         
      
       
    

  


    

  

    
       
      
         
          
             
                  
             
          

          

         
      
       
    

  


    

  

    
       
      
         
          
             
                  
             
          

          

         
      
       
    

  


    

  

    
       
      
         
          
             
                  
             
          

          

         
      
       
    

  


    

  

    
       
      
         
          
             
                  
             
          

          

         
      
       
    

  


    

  

    
       
      
         
          
             
                  
             
          

          

         
      
       
    

  


    

  

    
       
      
         
          
             
                  
             
          

          

         
      
       
    

  


       Resources   Spending Guideline

Living a happy and satisfying life is the pursuit of most people. We all want a good lifestyle. However, choosing the wrong lifestyle for you can have significant financial consequences. On this episode we look at two couples who chose slightly different lifestyles, even though they made the same income, and then compare their financial position after 10 and 30 years. The difference will surprise you!

     

 
 
      Episode 48  The Holiday season is upon us and with it comes the traditional Christmas gift buying season.  On this episode we share some spending tips and ways to think about spending on gifts to make your holiday spending less expensive and your Christmas more enjoyable.   SHOW NOTES  Holiday Spending Tips     Set a budget for your holiday spending.      Plan your gift buying  - decide who you will buy for and how much you can afford to spend on each gift.    Check out the Gift Planning Tool under resources below.    Remember: people who love you would rather get something small or nothing at all rather than to see you go deeper into debt.    Be honest and open with your immediate family about what you can and cannot do.       Holiday is about time with loved ones not just about gifts.   See if your family or friends would be open to skipping the gifts and instead getting together to celebrate (like a Super Bowl party).  Everyone pitches in, you have a lot of fun, and no one feels obligated to spend money they may not have!     Suggest a grab bag gift exchange  -There are many variations of this game - Google it!     Each person buys a gift and brings to the party.  You can place a number on each gift or just put them in a pile. Write a number on a piece of paper for each person and put them in a basket or hat.  Draw to determine which gift or order of picking.    Limit each person to one gift of a higher value (Ex. 6 people each pick a name out of a basket and buy that person a gift for a slightly higher value - instead of buying 5 gifts of $50 each you buy one gift for $100 saving you $150).       Find and use coupons and discount codes  - retailers are looking to incentivize you to spend.   Discounts and % off is how they are trying to get your attention.    Whatever you’re buying search for a coupon or a discount code online.  There’s no reason you should pay full price for anything at this time of year.       Barter with online stores  - use the chat feature on the websites to ask for a % off to purchase from them.     Earn store gift cards or store cash  from purchases and make your money go further.  But! Stay away from 10-15% off with purchase offers with credit card sign up.     Buy gift cards and save  - many retailers are offering discounts for buying their gift cards such as buying a $100 gift card for $85 dollars. You can then use these to do your shopping or give them as a gift.     Leave the credit and debit cards at home  - buy with cash to ensure you stay within your budget.     Don’t buy a gift for yourself.   This is the season of giving and receiving not buying for yourself.  Since you will no doubt receive one or more gifts this season, why not save some of your money by not buying something for yourself?       RESOURCES   Gift Planning Tool   Gift Planning Tool Video               

Episode 48
The Holiday season is upon and us and with it comes the traditional Christmas gift buying season.  On this episode we share some spending tips and ways to think about spending on gifts to make your holiday spending less expensive and your Christmas more enjoyable.

     

 
 
      Episode 47  No one plans to die!  In fact, most of us rarely consider it even though each of us will one day pass on.  Perhaps that’s why most people don’t have a plan for what will happen after they die. On this episode of Getting Money Right, we continue our conversation with Dawn Pruchniak, whose husband died unexpectedly, leaving Dawn with the difficult task of having to navigate through all the financial affairs that followed.  Through her story and the book she’s written, you will learn what it takes to get your own affairs in order so that you and your loved ones will be prepared for the future.   SHOW NOTES    What you will learn from this episode:       Getting your affairs in order will help your loved ones avoid as much pain as possible at your passing.    When a loved one passes there are many decisions that follow for which you want to be prepared.    When grieving, making decisions is difficult and confusing because your brain isn’t free to make rational and good decisions.    Every call is an emotional call...every transaction is emotionally charged.    Most men think they have all their financials together, but they rarely share the details with their spouse or loved ones.    Women think these things are boring and nothing they should be concerned about until their husband or loved one passes away.    How to successfully set your financial affairs in order to protect and make sure your family avoids unnecessary pain.    Why having a yearly conversation with your loved ones is important.       THE BEST GIFT IS YOUR LAST GIFT by Dawn Pruchniak       Find All Your Assets    Verify Your Beneficiaries (the easiest planning mistake to make with the biggest unintended consequences)    Be Confident You Understand Your Wills, Trusts, and POAs    Everything You Need to Get Your Stuff in Order        Getting Your Affairs in Order       Discover what you have and where it is    Creating the Master List of Assets.      Remove unintended consequences (beneficiaries)    Making sure your assets have the correct beneficiaries on them.      A will is not what you probably think it is    A “will” will not help you avoid probate    With a “will” your information is not kept private      Who speaks on your behalf - power of attorney    Digital Chaos    Ensure your information online is secure and easily accessible to your loved ones.      Surviving Alone    Skip the Drama - Funerals       Resources     Book -  The Best Gift is Your Last Gift   Free gift from Dawn Pruchniak:    Text to 58885 your name, space, email, space, then the word "gift."    Go to  www.prudencepartners.com/gift  and fill in the form.    Email me directly  dawn@prudencepartners.com  and put "Free Gift" in the subject line.     

Episode 47
No one plans to die!  In fact, most of us rarely consider it even though each of us will one day pass on.  Perhaps that’s why most people don’t have a plan for what will happen after they die. On this episode of Getting Money Right, we continue our conversation with Dawn Pruchniak, whose husband died unexpectedly, leaving Dawn with the difficult task of having to navigate through all the financial affairs that followed.  Through her story and the book she’s written, you will learn what it takes to get your own affairs in order so that you and your loved ones will be prepared for the future.

     

 
 
      Episode 46  No one plans to die!  In fact, most of us rarely consider it even though each of us will one day pass on.  Perhaps that’s why most people don’t have a plan for what will happen after they die. On this episode of Getting Money Right, we speak with Dawn Pruchniak, whose husband died unexpectedly, leaving Dawn with the difficult task of having to navigate through all the financial affairs that followed.  Through her story and the book she’s written, you will learn what it takes to get your own affairs in order so that you and your loved ones will be prepared for the future.   SHOW NOTES    What you will learn from this episode:       Getting your affairs in order will help your loved ones avoid as much pain as possible at your passing.    When a loved one passes there are many decisions that follow for which you want to be prepared.    When grieving, making decisions is difficult and confusing because your brain isn’t free to make rational and good decisions.    Every call is an emotional call...every transaction is emotionally charged.    Most men think they have all their financials together, but they rarely share the details with their spouse or loved ones.    Women think these things are boring and nothing they should be concerned about until their husband or loved one passes away.    How to successfully set your financial affairs in order to protect and make sure your family avoids unnecessary pain.       THE BEST GIFT IS YOUR LAST GIFT by Dawn Pruchniak       Find All Your Assets    Verify Your Beneficiaries (the easiest planning mistake to make with the biggest unintended consequences)    Be Confident You Understand Your Wills, Trusts, and POAs    Everything You Need to Get Your Stuff in Order        Getting Your Affairs in Order       Discover what you have and where it is    Creating the Master List of Assets.      Remove unintended consequences (beneficiaries)    Making sure your assets have the correct beneficiaries on them.      A will is not what you probably think it is.    Who speaks on your behalf, power of attorneys     Digital Chaos    Surviving Alone    Skip the Drama - Funerals       Resources     Book -  The Best Gift is Your Last Gift   Free gift from Dawn Pruchniak:    Text to 58885 your name, space, email, space, then the word "gift."    Go to  www.prudencepartners.com/gift  and fill in the form.    Email me directly  dawn@prudencepartners.com  and put "Free Gift" in the subject line.     

Episode 46
No one plans to die!  In fact, most of us rarely consider it even though each of us will one day pass on.  Perhaps that’s why most people don’t have a plan for what will happen after they die. On this episode of Getting Money Right, we speak with Dawn Pruchniak, whose husband died unexpectedly, leaving Dawn with the difficult task of having to navigate through all the financial affairs that followed.  Through her story and the book she’s written, you will learn what it takes to get your own affairs in order so that you and your loved ones will be prepared for the future.

     

 
 
      Episode 45  Communication is the foundation of every relationship.  In this episode, we are talking with Jeff Tippett, an author,  and an expert in persuasive communication.  Jeff is passionate about helping people improve their communication.  Few subjects are more difficult to communicate about than money.  Learning how to work together, avoid manipulation and find agreement, will not only improve your finances but your relationship.    Shownotes    What you will learn from this podcast    The difference between Persuasion and Manipulation.    How persuasion improves your relationship.    How to craft your message when preparing to speak to your partner.    Listen.    Ask clarifying questions.    Seeking alignment - “the sweet spot.”       How to build trust through communication.    Be consistent.    Deliver as you promised.    Be open and authentic.      The power of your communication and how it impacts others.      Resources   Unleashing Your SuperPower: Why Persuasive Communication is the Only Force You Will Ever Need.

Episode 45
Communication is the foundation of every relationship. In this episode, we are talking with Jeff Tippett, an author, and an expert in persuasive communication. Jeff is passionate about helping people improve their communication. Few subjects are more difficult to communicate about than money. Learning how to work together, avoid manipulation and find agreement, will not only improve your finances but your relationship.

     

 
 
      Episode 44  On this episode of Getting Money Right, we’re answering one of our listeners’ questions.  Diana Rodriquez asks, “What two or three persons most influenced your view of money and what resources have you read or studied that has added to that view?”  Show Notes  What you will learn in this podcast    The men who contributed to David’s and Leo’s early financial knowledge and why they influenced their perspective on money.    Larry Burkett    Howard Dayton    Ron Blue    Dave Ramsey      The books that were most influential in shaping our beliefs and understanding of money and money management.    The Family Financial Workbook - Larry Burkett    Your Money Counts - Howard Dayton    The Word on Finances - Larry Burkett    The “Stewardship” Bible    The Blessed Life - Robert Morris    Money, Possessions and Eternity - Randy Alcorn         Resources

Episode 44
On this episode of Getting Money Right, we’re answering one of our listeners’ questions. Diana Rodriquez asks, “What two or three persons most influenced your view of money and what resources have you read or/and studies that has added to that view?”

     

 
 
      Episode 43  The path to reaching financial freedom is to build enough wealth to produce enough income so that you no longer have to work to provide for all your needs.  On this episode of Getting Money Right, we break down a few key wealth indicators that you can use to ensure you reach your own financial independence.   SHOW NOTES    Today we’re going to talk about some “indicators,” some numbers that help you understand the path to wealth.    Crossover Point    Saving Rate    Rate of Return    4% Percent Rule        1. Crossover Point:  when your investment earns more money for you than you’re saving each month.   At 5% rate of return your yearly invested amount grows as follows:     Year 1 - 5% of invested amount.    Year 5 - 1/3rd of invested amount.    Year 8 - 50% of invested amount.    Year 13 - crossover point - 100% of invested amount.    Year 23 - 200% of invested amount.    Year 30 - 300% of invested amount.    Year 35 - 400% of invested amount.        If you start investing at 25 crossover will happen at 38.  If you start investing at 35 crossover will happen at 48.     Starting early matters   Instead of trying to define Financial Independence is terms of a large number, you can be more quality of life focused, knowing these numbers can help you plan your life and make decisions to improve the quality of your life and others around you.    One Definition of Financial Independence is when your investments make enough to cover all your expenses, which means you no longer  need  to earn an income through labor.    Living comfortably and doing what I want with my time without concern about how      much income I earn.    Safe, steady income for life from a source other than a job.    The state of having sufficient personal wealth to live indefinitely without having to      work actively for basic necessities.            2. Savings Rate:  the amount of increase your investment will have over a specific length of time.  Assuming you earn 5% on your investments.       

  

    
       
      
         
          
             
                  
             
          

          

         
      
       
    

  


       Two major ways to boost your savings rate:     Increase Income    Decrease Spending        3. Rate of Return     5% Rate of Return @ 10% Savings Rate = 51 years to retire    10% Rate of Return @ 10% Savings Rate = 33 years to retire     5% Rate of Return @ 15% Savings Rate = 43 years to retire    10% Rate of Return @ 15% Savings Rate = 28 years to retire    5% Rate of Return @ 25% Savings Rate = 32 years to retire    10% Rate of Return @ 25% Savings Rate = 22 years to retire        4. 4% Rule   Trinity University study found 4% to be a very safe withdrawal rate. As long as you're diversified and investing well in retirement, it should last 30 years.    4% of ½ Million would be $20,000 a year    4% of 1 Million would be $40,000 a year    4% of 1.5 Million would be $60,000 a year     This doesn’t take inflation into account, along with a few other factors. But, if you’re looking for some simple numbers to know what your savings target should be, this is a good place to start.    Other Investment Options   Your saving can be used to invest in other types of investments that will grow your passive income until it surpasses your regular income.    Real-estate investing.    Creating a business or product.    Real-estate, a business, and other types of investing could allow you to generate income very quickly to replaces your regular income, grow wealth, and be more generous with your resource and/or your time.

Episode 43
The path to reaching financial freedom is to build enough wealth to produce enough income so that you no longer have to work to provide for all your needs.  On this episode of Getting Money Right, we break down a few key wealth indicators that you can use to ensure you reach your own financial independence.

     

 
 
      Episode 42  Today, regardless of where you live, there’s a good chance you need a vehicle to get to where you’re going.  Therefore, auto insurance is something that you need to understand, because the cost can be significant, especially in the long term.  On this episode we break down auto insurance so you are better prepared next time your policy needs renewing.  Show Notes   Facts About Auto Insurance  The average cost of car insurance is $1,426 per year, or $118.63 per month.     Cost varies a lot based on:    Where you live    Your age    The cost of your vehicle    The coverage you choose    And, whether you’re a male or female.        Coverage Basics        Liability:  If you are deemed at fault in a car accident, liability coverage will pay for repairs, medical costs for injuries suffered by others in the vehicle, plus other expenses related to the accident such as legal fees.     Your liability limits are set at the time you purchase your policy. There are two parts to liability coverage: Bodily injury liability and property damage liability. The limits are the maximum amount the policy will pay out; anything above that would come out of your pocket unless you have other insurance.    If you buy insurance to meet the state's financial responsibility law, you must buy at least the minimum amount. The current minimum liability limits are $30,000 for each injured person, up to a total of $60,000 per accident, and $25,000 for property damage per accident. This basic coverage is called 30/60/25 coverage.       Collision:  If you hit another vehicle or an object, your collision coverage will pay for damages or repairs to your vehicle after you pay a deductible (up-front amount). In other words, if you have collision coverage with a $500 deductible and you suffer damage that costs $1,500, your collision coverage will pay $1000 after you pay the first $500.     Comprehensive:  Comprehensive coverage, which is also known as "other than collision," pays for losses to your vehicle if it suffers damage from something other than an accident. For example, if a tree falls on your car or you hit a deer while driving, some portion of that loss will be covered if you have comprehensive coverage. Like collision, comprehensive has a deductible attached to it.     Additional Coverage Options:     Medical Expenses:  This coverage pays for injuries that you, a family member or anyone else riding your vehicle may suffer in an auto accident, regardless of who is at fault. It also pays for injuries you or your family members may incur while riding in other vehicles.    If you have good medical coverage this may or may not be necessary.    Passengers not covered under your own health benefits will need coverage of their own or may expect you or your policy to cover any expenses they have.       Uninsured/Underinsured Motorist:  This coverage pays for injuries and property damage you suffer in an accident when the driver at fault either is uninsured or does not have enough insurance to cover your injuries and damage. It will also cover you in the event that a hit-and-run driver flees the scene and you cannot file a claim against that driver’s insurance company.     Options that may not be worth the cost:     Roadside Assistance:  Many insurance companies offer this optional coverage. If you need a tow or service for a flat tire or dead battery, roadside assistance will provide that service for a nominal premium.     Rental Reimbursement:  If your car is in the shop for several days and you need a vehicle, this coverage will provide that for you for a nominal premium.     Glass Breakage:  In general, this coverage is not worth the long-term cost because:    Your deductible is usually higher than the cost of the windshield repair.    Unless  you drive on a gravel roads a lot your chance of cracking your windshield are small.    Many of the chips and crack can be fixed relatively inexpensive,  instead of replacing the entire windshield.       Gap:  If you demolish that $30,000 vehicle the day after you drive it off the lot, the amount the insurance company pays is likely to less than what you paid for the vehicle.       Gap insurance   pays the difference between the blue   book value   of a vehicle and the amount of money still owed on the car. If you are leasing a vehicle or purchasing a vehicle with a low, or no,   down payment  , gap insurance is unfortunately a necessity.    We recommend you put down at least 20% when buying a vehicle.  Not only will this help you pay off the car sooner and pay less in interest, but it will remove the need for gap insurance.       Other things to consider    Comparison shopping is always a smart thing to do, and there are many websites designed to help consumers compare insurance policy prices. Compare rates, if not every year, at least every other year.      Independent agents often offer policies from multiple carriers and can help you find the policy best suited to your needs.    Your agent has an incentive, in the form of your repeat business, to provide good service, while an online service may come up short, so consider this option carefully.    Before you buy a policy, research your policy provider - regardless of who it is.     Numerous firms rate the financial health of insurance companies, and your state also has an insurance website that rates firms based on the number of complaints they have received.   (  A.M. Best Rating   /   Moody’s Rating  )    Best way is to google your insurer and add  AM Best rating  in the search.      If you stick with well known and reputable companies you’re less likely to have problems when a claim or getting your car repaired.           

  

    
       
      
         
          
             
                  
             
          

          

         
      
       
    

  


      How to save money on your auto insurance policy     Make sure that you review and understand your policy before you sign on the dotted line. You’ll be glad you did, should you ever need to file a claim.    Do you need full coverage or just liability coverage?    Consider the age and value of your car.    Cost of coverage over the time you plan on keeping the car.    Insure yourself by having a “next car” fund just in case your car gets wrecked in an accident.  This eliminated the need for full coverage.      Avoid the “add on’s” to your policy, especially those that you can get from somewhere else at a lower cost.    Chose liability over collission when price of car is worth less    Increase deductible to save on the premium

Episode 42
Today, regardless of where you live, there’s a good chance you need a vehicle to get to where you’re going.  Therefore, auto insurance is something that you need to understand, because the cost can be significant, especially in the long term. On this episode we break down auto insurance so you are better prepared next time your policy needs renewing.

     

 
 
      Episode 41  Managing our money to ensure financial well-being and a secure retirement is important to all of us.  On today’s episode we’re talking with Darryl Lyons.  He’s an author, a personal finance expert, and an ambitious entrepreneur.  Darryl’s San Antonio, Texas company  PAX Financial Group  is an Inc 5000 “Fastest Growing Company” and a “Best Place to Work.” His work and his passion have allowed Darryl to give back to his community.  Darryl’s latest mission is to help redefine retirement where we no longer think of retiring but rather  pivoting  into the next chapter of life with purpose.  Show Notes  On this episode you will learn:    The 3 stages of our financial life.     Prepare  age 18 - 60     Pivot  age 60 - 65     Purpose  age 65 and beyond      Why purpose is so important to contentment and happiness.    How our emotions impact our spending and ultimately our ability to reach our financial and life goals.    We’re all in this together - your situation may be different but there’s a lot of similarity in your journey in relation to everyone else’s.    Having financial constraints can be a wonderful opportunity for creativity and growth.    Why generosity is so important to your financial well-being and to your overall health.      Books by Darryl Lyons    18 to 80: A Simple and Practical Guide to Money and Retirement for All Ages    The Grand Money Chasm: Ten Effective Strategies to Build a Money Legacy Within Your Grandchildren    Small Business Big Pressure: A Faith-Based Approach to Guide the Ambitious Entrepreneur

Episode 41
Managing our money to ensure financial well-being and a secure retirement is important to all of us.  On today’s episode we’re talking with Darryl Lyons. He’s an author, a personal finance expert, and an ambitious entrepreneur.  Darryl’s San Antonio, Texas company PAX Financial Group is an Inc 5000 “Fastest Growing Company” and a “Best Place to Work.” His work and his passion have allowed Darryl to give back to his community.  Darryl’s latest mission is to help redefine retirement where we no longer think of retiring but rather pivot into the next chapter of life with purpose.

     

 
 
      Episode 40  We’ve probably all had a coach at some point in our life, one that made us work harder, get stronger, or faster.  And although we may not have enjoyed the drills and the hard work he or she pushed us to do, we were grateful for their help because it was a benefit to us.  In the same sense, a financial coach can be a tremendous benefit to you and your financial well-being.     SHOW NOTES:        Three types of Financial Professionals    1. Financial Coach or Counselor  - A financial coach or counselor typically focuses on fundamental financial issues or habits. "A financial coach works with a client to change behaviors around money," They do not sell products and cannot specifically advise you on investments.   2. Financial Advisor  - provide services that are purely transactional or product-focused.  They manage your investments for a fee plus typically commissions on product sales.    All financial advisors are not the same.  Some only focus on investments that they are familiar with or those that are associated with their firms.  Therefore, they have a limited number of options they will recommend, which may be good or not.    Today, anyone can purchase any investments they choose from brokerage firms such as Vanguard, Fidelity, TD Ameritrade, without a financial broker or advisor.    Unless the advisor offers a lot of education with his services, it’s probably not worth hiring him/her.     3. Financial Planners  - a financial planner generally analyzes a client's entire financial life across cash and debt management, insurance, investments, tax, and estate planning.  They help you navigate through the life changes that have a significant impact on your finances (marriage, divorce, children, education, retirement, and investing.)  They generally charge fees based on a percentage of assets under management or a fixed fee and in some cases, could receive commissions from product sales as well.    There are at least 100 financial designations and many are just empty titles that don’t mean much.  The credentials you want to look for when searching for a financial planner are:    CFP (certified financial planner.)    PFS (personal financial specialist.)    CFA (chartered financial analyst.)        If you’ve been living on a budget, which includes tracking every expense, and have created margin - an amount above what you need to live on and meet short and mid-term needs, you may benefit from a financial advisor or planner.    They could help you choose the right investments to reach your financial goals and structure your finances in a way that will provide you with the most benefit long term.    If you don’t have a budget and you have no margin or surplus beyond what you need to live on, you could benefit from a financial coach or counselor.     Reasons to hire a financial coach    You’re ready to stop talking about it and get a plan in place.    You don’t know where to start and would like a step-by-step blueprint so that you can reach your desired financial goals.    You want to stop worrying about money, have enough to live on and make sure you can retire someday.    You want the support and insights necessary to overcome the inevitable roadblocks that stop you from making progress    You want the accountability to maintain focus on your financial goals so that all the distractions in life, fighting for your attention, no longer derail your plans to achieve      financial well-being.       What a financial coach can do for you    Teach you how to manage your money through a proven system.    Provides feedback on progress so you can improve, make changes, and reach your goals.    Makes the journey to achieving your goal faster - less trial and error of doing it yourself.    Motivate you to achieve your full potential.    Help you process through difficult decisions in different seasons of life.     The biggest benefits a coach can provide is accountability and expertise.  Financial mistakes can set us back, sometimes for years.  The accountability a financial coach provides can help you avoid these big mistakes by keeping you focused on your goals.     RESOURCES    Request free 20-minute coaching consultation       

Episode 40
We’ve probably all had a coach at some point in our life, one that made us work harder, get stronger, or faster.  And although we may not have enjoyed the drills and the hard work he or she pushed us to do, we were grateful for their help because it was a benefit to us.  In the same sense, a financial coach can be a tremendous benefit to you and your financial well-being.