DeepSummary
In this episode, the hosts discuss the widespread fear and concern about the economy crashing and whether it is justified. They reassure listeners that while things like housing affordability and inflation may feel scary, it does not necessarily mean the economy is 'doomed'. The hosts emphasize the importance of continuing to invest and save during volatile times, as it can pay off greatly in the long run.
They provide practical advice on preparing for potential economic downturns, such as building an emergency fund, understanding the financial order of operations, and considering strategies like 'always be buying' when it comes to investing. The hosts also address specific questions from listeners on topics like prioritizing retirement savings vs. paying off student loans and utilizing state 529 plan matches.
Overall, the episode aims to quell fears about the economy crashing and instead focuses on actionable steps listeners can take to stay on track with their financial goals, regardless of the economic climate. The hosts encourage seeking professional advice when nearing major life transitions like retirement.
Key Episodes Takeaways
- Fear of an economic crash should not prevent continuing to save and invest for the long-term.
- Following proven financial principles like the financial order of operations can help stay on track during volatility.
- Build an emergency fund and understand your expenses, especially when nearing retirement.
- Maximize advantages like youth and income to set up future financial success.
- Seek professional guidance when approaching major life transitions like retirement.
- Strategies like 'always be buying' can be effective during market downturns.
- Prioritize retirement savings early on, but consider 529 plans and other tax-advantaged accounts as well.
- Have a plan for increasing cash reserves gradually as you approach retirement.
Top Episodes Quotes
- “So our strategy, what we would recommend is if you are nervous about the future, if you're nervous about what's going to happen in the economy, keep buying, keep investing, keep putting your money to work.“ by Bo Hanson
- “I would encourage you, if you think housing is hard, if you think the stock market's scary, why not understand financial order of operations or millionaire mission?“ by Brian Preston
- “Figure out how to use that huge income that you have at such an early age to really set your future self up for success.“ by Bo Hanson
- “As you begin getting close to retirement, as you begin moving towards that final date, you will slowly start to increase your cash position.“ by Bo Hanson
- “I don't think that you can do that off of just doing benchmark and basic case study type things that we do on the money guys show. So that's why we always talk about the abundance cycle is as you're approaching retirement, please pay it forward and consider taking the relationship to the next level.“ by Brian Preston
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Episode Information
Money Guy Show
Brian Preston and Bo Hanson
5/29/24
"I keep hearing that they economy is going to crash, that I'll never own a home, and that retirement is impossible... It's hard to stay positive with everyone telling me that we're doomed. Will things ever turn around? How can I make sure I'm still able to reach success?"
We'll walk you through that question and more in today's Q&A episode!
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Bring confidence to your wealth building with simplified strategies from The Money Guy. Learn how to apply financial tactics that go beyond common sense and help you reach your money goals faster. Make your assets do the heavy lifting so you can quit worrying and start living a more fulfilled life.