My Next Move

Behavioral expert Michael Liersch interviewed a range of interesting people in 2019. In this episode of the My Next Move podcast, he brings you some highlights and outtakes. Meet Dr. Meg Jay, a clinical psychologist, who says your 20s are a great opportunity to get in front of life’s biggest decisions. NFL football player Brandon Copeland, in this never-before-aired outtake, describes how and why he and his wife manage their finances together. J.P. Morgan Wealth Advisor Gigi Orta advises many families on their financial planning and sees all stages of family life. Here, she offers some advice on how a couple might successfully manage the narrative about their divorce. And in one special interview, Michael and his daughter showed us how openly and comfortably their family can discuss money. The moral of all these interviews, says Michael, is simply this: Sharing information with each other about our thoughts and feelings around money will lead us to a better place. That’s especially true when we communicate in a collaborative way so we can move forward making more good decisions and fewer bad ones.

The questions that listeners asked most often this year were: How do I decide my money’s purpose? How do I speak with my children about money? Should I invest now? Behavioral expert Michael Liersch in this episode of the My Next Move podcast discusses the issues raised by these questions, and offers some advice we all may follow so that our financial actions support our life goals. First, money’s purpose: everyone should articulate what their money is for. Labels are helpful. Is your money for your lifestyle, children’s education, community, causes, growth or something else? What amounts do you want to devote to each of your labels—and when? Second: children and money. Start by telling your children about your money’s purpose, without identifying amounts. Such conversations teach children how to discuss and think about money. Third: should you invest now? Volatile markets and politics may make people hesitant. But reacting to external factors historically would have lost you money and timing the markets is nearly impossible. There’s a better way: Invest for the long term, thoughtfully pick goals-based solutions, and speak with your financial advisor.

How do you accentuate the positive and leave far behind any financial regrets you may have? Behavioral expert Michael Liersch in this episode of the My Next Move podcast offers helpful advice: Name your top three regrets. Look at them squarely. Then take positive actions today that have the power to transform your feelings. For example, one of many people’s top regrets is “I didn’t start saving for retirement sooner.” A great attitude adjustment, Michael suggests, is to stop looking backward and to focus instead on the here and now. Commit today to paying yourself forward for a time when you’ll need the money. Research shows that if you picture your future self, you'll save and invest more now for that future you. Another example: money secrets often feed regret. Did you give to one family member but not others? Get into some debt? Spend too much on something? We’ve found that airing a secret often frees people to move forward more productively. So, what about you? Is it time for you to embrace the present—and march into your future?

To help make your gift giving a joy for all, research suggests it’s wise to put some controls in place. In this episode of the My Next Move podcast, behavioral expert Michael Liersch offers advice that might guide and enhance your giving not just for the holidays but whenever you gift. Step one: Make a list of who you want to give to. Which family members? Friends? Acquaintances? Charities? Be sure to write down each name. Step two: Next to every name, write what you’d like to give. Step three: Identify your priority level for each gift and state your reason for giving. Are you giving with a partner? Have your partner independently go through steps one through three. Then compare lists and discuss. The goal is to help make sure that giving feels good for you, your giving partner and your recipients. So think: How might a recipient see your gift? Consider asking if a gift is wanted. Also be sure to articulate your intention in making the gift or the intended use, if there is one These and other simple steps can be surprisingly effective.

In this episode of the My Next Move podcast, behavioral expert Michael Liersch offers his insights into a survey J.P. Morgan conducted of 1,500 people around the world to explore three topics. First topic: technology and human beings. How is that interaction going? Do people feel empowered, or disempowered by technology? Among the findings: most people find their mobile phones so valuable, they wouldn’t give up their devices for a month—not even for a million dollars. The second survey topic was “generational differences.” We asked such questions as: Who's better at investing, younger or older generations? Also, how comfortable are the generations discussing money matters? Michael offers his insights, including how to have successful intergenerational conversations about money. Third topic: perceptions of money. We looked into such issues as what money means in families and who’s controlling the flow of information about family finances. Among the results: about three fourths of survey respondents said that, in their families, a monetary gift is meant to express love. How to make sure such gifts are given, and received, that way? Michael offers his insights on this challenge–and much more.

You can achieve so much more when you’re literate about your financial life. Are you asking yourself, “What could be more boring than financial literacy?” Michael Liersch tells us in this episode of My Next Move that it’s normal for people not to understand financial concepts. But having basic knowledge of foundational elements of financial literacy is relevant to all human beings—regardless of wealth level or where you live. For example, does exponential growth bias seem difficult to understand? That’s how you perceive investments growing over time; which can help make sure you’re borrowing, saving and investing in the most productive way. And what about risk? A lot of people also don’t understand risk: whether some is required for their money to achieve all they want. Or whether they have the ability to take any risk at all. Michael encourages us to talk to a financial advisor, people we trust, our families, or even ask Google. After all, financial literacy is really something worth focusing on.

How to prepare for aging parents is a particularly emotional topic for human beings. In this episode of financial podcast My Next Move, behavioral expert Michael Liersch has advice on turning something frightening into something that feels empowering. Since we all age, our parents are really a preview of our own future. So in helping your aging parents, you’re also preparing yourself and your children, or others who’ll one day take care of you. Michael explains that some emotional aging issues evoke silence and shame—like cognitive decline and seniors being defrauded. It’s very important to respond to both with empathy and care, not blame. Long-term help with daily activities is another emotional question: Who will handle this? Is there a care plan in place—funded and organized? Because improvising care often becomes unsustainable. End-of-life estate planning is also not easy. Michael encourages listeners to start having open dialogues, even if it’s difficult or uncomfortable. Frame the dialogue as collaborating about decision-making in good times and bad. That’s important at every stage of life.

Sometimes giving a gift of money can be the best feeling ever, and sometimes it leaves the giver feeling terrible, as Michael Liersch explains in this episode of My Next Move. You can’t blame the recipient. Michael explains why it’s so important to communicate your expectations around why you’re giving the gift—by giving guidance and setting parameters. Then, ultimately, you’ll end the experience feeling connected to how the money will be used. Michael explains that this is giving with intention. For example, you could start by saying, “Here's why I'm giving you this money, and here’s how I'd like you to spend it.” This gives the recipient the option to reject the gift—or accept it and use it in a way that will be deeply satisfying to you both. On the other hand, if they don't know why you're giving that gift and use it for something that you feel is not empowering, you’ll probably both feel badly. Here’s the action step: Be intentional with your money gift-gifting. Changing this behavior over time can give you a greater sense of well-being—and make the receiver of your gifts feel better, as well.

How much can our children really know about money—and what does a good conversation about money with them sound like? Behavioral expert Michael Liersch shows us in this episode of the My Next Move financial podcast when he interviews with his 10-year-old daughter. For many children, family finances can be a hidden, even forbidden topic. But his daughter freely explains where money comes from, what the Liersch family does (and doesn’t) spend it on, why she likes to save, and what money issues will be discussed at their next family meeting—showing us that it’s OK for children and parents to be open about money. Even disagreeing about money, she says, “is natural”—it even happens sometimes at her house. Learn how to start money conversations when children are young and how to use the conversations to values and build good habits. If a 10-year-old can be so financially literate—and open, we may all be more comfortable learning and talking about money, too.

In this episode of the My Next Move podcast, financial behavioral expert Michael Liersch debunks five common financial misconceptions. Like the idea that financial matters are simple. Actually, they’re not simple at all. Investing deliberately, with intention, for yourself or family members, can actually be quite complex. Another misconception is that you can offload your financial life onto someone else, a spouse or a team of professionals who are helping you, and then you won’t need to worry about it. Not true, either. What if something happened to them? Or to you? Communicating about money with those close to you is critical to your financial life so you can make the best, most sustainable decisions. Michael offers more financial advice about five common money misconceptions, and what you can do to change them.