The Best Interest - Complex Personal Finance Made Easy

Back with another AMA, Jesse tackles your questions on employee stock incentives, diversification, how taxes affect investments, and more!

Our first question comes from Lynn, who asks about when to take Social Security, which opens up a broader discussion on optimal timing for retirement benefits. While she and her husband initially planned to wait until age 70 to maximize benefits, based on family longevity, Lynn’s making some reconsiderations. Key considerations for anyone approaching Social Security include health, family history, need for benefits, ongoing work plans, spousal benefits, and how Social Security fits into their broader financial plan. 

Yogi is considering his company's Employee Stock Purchase Plan (ESPP), which offers a 5% discount but no look-back provision. While it may seem like "free money," he's concerned about missing other investment opportunities. Key factors include market risk, taxes, and the risk of holding too much company stock. 

Jacob and his wife, both 32, have diversified investments across various accounts, including sector-specific funds and broader options like S&P 500 and international funds. Jesse dives into ideas on how to diversify investments into a variety of asset classes, sectors, and geographies.

Maple Leaf is turning 65 and plans to apply for Medicare, asking whether the income lookback period for IRMAA (Income-Related Monthly Adjustment Amount) is a one-time event or reviewed annually. The lookback period is annual, with a two-year delay, meaning income from two years prior determines the surcharge.

Jimbo from Alabama asks whether the fiduciary standard is a sufficient filter when choosing financial advisors. While being a fiduciary is important, as it requires advisors to act in their clients' best interests, it’s a "coarse filter," and clients should dig deeper by asking about advisors' payment structures, investment philosophies, and potential conflicts of interest. 

Our last question comes from Eric. Eric, 38, plans to retire at 55 while his wife intends to work until 65, raising the challenge of coordinating their financial and lifestyle transitions. Jesse emphasizes the importance of clear communication about how their daily routines and relationship dynamics might change as one partner retires while the other continues working

If you’d like a question in a future AMA, send Jesse a message! Key Takeaways:• When you want to take out Social Security depends greatly on your health (current and anticipated), personal needs, work plans, spousal benefits, and more. • How do ESPPs work? And how can you make the most of these employee offers? • How to diversify your investments into a variety of asset classes, sectors, and geographies. • What is IRMAA? And how can you make the most of it? • Just like when you look for a doctor, a therapist, or any other professional help, you’ll want to ask a series of questions to find out how they work and if it’s a good fit. • How to balance your retirement plans with your spouse’s. Key Timestamps:(00:00) - Introduction and Featured Review (01:47) - Family History and Social Security (12:54) - ESPPs and Taxes (21:21) - Investment Diversification (29:06) - IRMAA and Lookback Periods (37:41) - Questions to Ask Potential Advisors (45:57) - Lifestyle Transitions to Retirement Key Topics Discussed:

The Best Interest, Jesse Cramer, Rochester New York, financial planner, financial advisor, wealth management, retirement planning, tax planning, personal finance, IRMAA, ESPP, Income-Related Monthly Adjustment Amount, Employee Stock Purchase Plan, ask me anything, early retirement, capital gains tax

More of The Best Interest:

Check out the Best Interest Blog at bestinterest.blog

When Should I Take Social Security?:  https://bestinterest.blog/when-should-i-take-social-security/

Contact me at [email protected]

The Best Interest Podcast is a personal podcast meant for educational and entertainment. It should not be taken as financial advice, and is not prescriptive of your financial situation.

Jesse explores the intricacies of student loan forgiveness, highlighting the fallacy that loans can simply vanish without consequence. He argues that the financial burden ultimately falls on taxpayers and critiques the notion that the U.S. government can "magically" eliminate student debt. Jesse explains the Public Service Loan Forgiveness (PSLF) program and how student debt exacerbates mental health problems. He proposes a balanced approach of partial interest forgiveness to alleviate borrower burdens, shorten repayment periods, and benefit both individuals and the government, all while maintaining personal accountability.

Today’s guest, Katie Gatti Tassin, is the founder of Money with Katie, a platform she created in 2020, which was later acquired by Morning Brew. During the interview, Jesse and Katie discuss frustrations with the American healthcare system, underscoring how flawed incentives impede rational decision-making. Most of the conversation revolves around financial literacy and misconceptions among the FIRE community and broader society. As Jesse and Katie reach the end of the discussion, they share their thoughts on how social media and social isolation affect us financially and mentally. 

This is a wide-ranging conversation with a few insightful tangents. If you’re looking for a personal, real, and thoughtful finance podcast, then this is the episode for you.

Key Takeaways: • Loan forgiveness doesn’t make the loan disappear… Someone is eating that cost. • Jesse explains how the Public Service Loan Forgiveness (PSLF) program works. • The broken incentives of the American healthcare industry discourages rational decisions. • How “tough love” online finance personalities like Dave Ramsey or Caleb Hammer work (or don’t). • How our individualism and social media lead to social isolation and affect our mental health. • If you’re listening to this podcast, you’re probably more financially secure than you think.

Key Timestamps: (01:38) Jesse’s Monologue: Student Loan Forgiveness & Moral Hazards (20:37) A Proposed Solution to Student Loan Debt (27:06) Introducing Katie Gatti Tassin (28:46) The Healthcare Marketplace Dilemma (38:23) Hospital Fines and Perverse Incentives (40:13) Balancing Savings and Enjoying Life (47:42) Tough Love in Personal Finance (51:26) Building Community and Financial Implications (58:18) Social Media's Impact on Mental Health (01:11:01) Conclusion and Resources

Key Topics Discussed: The Best Interest, Jesse Cramer, Rochester New York, financial planner, financial advisor, wealth management, retirement planning, tax planning, personal finance, Money with Katie, Morning Brew, Katie Gatti Tassin, American health care, student loan forgiveness, student debt, Public Service Loan Forgiveness, PSLF

Mentions: Website: https://moneywithkatie.com/  LinkedIn: https://www.linkedin.com/in/katiegatti/ 

More of The Best Interest: Check out the Best Interest Blog at bestinterest.blog Contact me at [email protected]

The Best Interest Podcast is a personal podcast meant for educational and entertainment. It should not be taken as financial advice, and is not prescriptive of your financial situation.

Referring back to his article, Fundamentals Of Retirement: Is the Summit “Good Enough?”, Jesse uses an experience hiking in the Adirondack Mountains as a metaphor to explore retirement preparedness. He recounts how being poorly equipped for a challenging hike can mirror the pitfalls of entering retirement without thorough planning - you might reach the summit, but the journey and destination may not be as enjoyable. Sharing the example of a couple, John and Eva, who are on the brink of retirement with substantial assets and a solid financial plan, Jesse raises critical questions about their investment strategy, withdrawal plans, and tax considerations, suggesting that while they are well-positioned, their retirement journey could be smoother with additional preparation.

For today’s interview, Jesse is joined by Rob Berger. Rob is a contributing editor for Forbes Advisor, host of the Financial Freedom Show, and author of “Retire Before Mom and Dad: The Simple Numbers Behind A Lifetime of Financial Freedom”. He founded Doughroller.net in 2007, a popular personal finance blog that attracted millions of visitors. With a background as a litigation attorney, Rob is now a prominent voice in retirement planning, providing valuable education through his YouTube channel and other platforms.

If you’re looking for quality retirement finance tips, no matter where you are on your journey, this is a great episode for you!

Key Takeaways:

• Preparing for retirement allows you to enjoy the journey and the destination (just like hiking!).

• Learn about key aspects of retirement planning, such as investment strategy, withdrawal plans, and tax considerations, and the need for comprehensive preparation.

• What is the “Retirement Income Death Spiral”? And how can we avoid it?

• How does inflation and stock market conditions really affect your retirement savings?

• How to take a conservative approach to Social Security and still have cautious optimism about the future.

• Why you should not focus on individual stocks when planning for retirement!

Key Timestamps:

(02:10) Jesse’s Monologue: Retirement Planning Fundamentals

(05:47) John and Eva's Retirement Scenario

(13:09) Interview with Rob Berger

(14:00) Understanding the Retirement Income Death Spiral

(15:55) Inflation and Retirement Planning

(23:40) Social Security Concerns and Assumptions

(25:48) The Future of Social Security and Political Solutions

(27:24) The Importance of Diversified Income in Retirement

(29:26) The Role of Cash and Bonds in Retirement Portfolios

(34:21) The Emotional Side of Market Volatility

(39:26) Common Financial Mistakes and How to Avoid Them

Key Topics Discussed:

The Best Interest, Jesse Cramer, Rochester New York, financial planner, financial advisor, wealth management, retirement planning, tax planning, personal finance, Rob Berger, Retire Before Mom and Dad, Social Security, retirement account mistakes

Mentions:

Website: https://robberger.com/ 

YouTube: https://www.youtube.com/@rob_berger 

LinkedIn: https://www.linkedin.com/in/bergerra/ 

Mentions: 

https://bestinterest.blog/reaching-the-summit-retirement/ 

Retire Before Mom and Dad: The Simple Numbers Behind A Lifetime of Financial Freedom

How Much Cash Should You Hold In Retirement?  

Should Cash Replace Bonds in a Portfolio?

How to Avoid the Retirement Income Death Spiral? 

More of The Best Interest:

Check out the Best Interest Blog at bestinterest.blog

Contact me at [email protected]

The Best Interest Podcast is a personal podcast meant for educational and entertainment. It should not be taken as financial advice, and is not prescriptive of your financial situation.

In today’s opening monologue, Jesse explores the concept of Sequence of Returns Risk, a crucial and often misunderstood threat to retirees, by illustrating how poor returns early in a retirement can severely impact long-term stability. He emphasizes the importance of diversification. Jesse then introduces the idea of path dependence, drawing parallels to the life of author Philip K. Dick, whose posthumous fame underscores the significance of a journey’s path, not just the journey’s outcome. Jesse connects this to investing, explaining how the sequence of returns can greatly affect an investor’s experience, despite the long-term average returns. Using "Sally the Investor" as an example, Jesse highlights the emotional and psychological challenges of navigating market volatility, reinforcing the need for resilience, understanding short-term unpredictability, and the benefits of diversification in long-term investing.

Tyler, the creator of Portfolio Charts, joins Jesse for the second half of the show. His site is known for its innovative financial tools and insights. Tyler, a fellow engineer with a passion for finance, blends technical expertise with creativity to clarify complex investing concepts. In their discussion, Tyler and Jesse explore critical retirement topics, including the safe withdrawal rate and sequence of returns risk.. Tyler introduces the concept of engineering tolerances for managing financial variability and discusses strategies like variable withdrawal rates. He explains the "flowing nature of withdrawal rate math," illustrating how safe withdrawal rates change with longer retirement periods. If you’re looking for some evidence based, long term thinking in your DIY financial life, then this is the episode for you!

Key Takeaways:

• How poor returns early on can negatively affect my retirement.

• What is “sequence of returns risk”? And how can I create a financially resilient situation for myself?

• Diversification into a variety of financial vehicles is key to the long term success of your portfolio.

• Path dependence, illustrated by Philip K. Dick's posthumous fame, emphasizes that the sequence of returns can greatly affect investment outcomes.

• What are “safe withdrawal rates”? And how can traditional average return calculations be misleading?

Key Timestamps:

(01:07) Jesse’s Monologue: Understanding Sequence of Returns Risk

(07:50) Mitigating Sequence of Returns Risk

(08:35) Path Dependence: Lessons from Philip K. Dick

(13:16) Sally's Ride: A Real Example of Path Dependence

(22:57) Investment in Knowledge: Path Dependence

(25:28) Understanding Safe Withdrawal Rates and Sequence of Returns Risk

(35:05) The Importance of Consistent Portfolios

(47:29) Tyler's Personal Finance Journey and Portfolio Charts

(51:01) Conclusion and Listener Engagement

Key Topics Discussed:

The Best Interest, Jesse Cramer, Rochester New York, financial planner, financial advisor, wealth management, retirement planning, tax planning, personal finance, Tyler from Portfolio Charts, path dependence, sequence of returns risk, safe withdrawal rates

Mentions:

Website: https://portfoliocharts.com/

Mentions:

https://portfoliocharts.com/charts/withdrawal-rates/#chart

https://portfoliocharts.com/2016/12/09/perpetual-withdrawal-rates-are-the-runway-to-a-long-retirement/

https://portfoliocharts.com/charts/retirement-spending/

https://portfoliocharts.com/portfolios/permanent-portfolio/

https://bestinterest.blog/path-dependence/

More of The Best Interest:

Check out the Best Interest Blog at bestinterest.blog

Contact me at [email protected]

The Best Interest Podcast is a personal podcast meant for educational and entertainment. It should not be taken as financial advice, and is not prescriptive of your financial situation.

In today’s AMA, Jesse delves into various financial dilemmas and strategies to maximize benefits and secure a stable retirement.

The first question comes from Mindy, a 50-year-old widow, weighing the pros and cons of remarrying due to its potential impact on her survivor benefits. Jesse explains the complexities of Social Security spousal and survivor benefits, urging listeners to consult with a Certified Financial Planner to navigate the intricacies and optimize their benefits.

Then, Bob seeks Jesse’s advice on whether to use retirement savings to pay off a mortgage on a new home. With $1.2 million in retirement savings and plans to retire in five to ten years, Jesse takes into consideration some additional context to make some suggestions. Of course, any financial planner or advisor will answer unknown questions with “it depends” - we need to know all of someone’s financial “puzzle pieces” before we can put that puzzle together.

Jesse then addresses Tad's query on compound interest and its application to stocks, bonds, and stock funds, clarifying the concept of "compound growth" in investments and the benefits of reinvesting profits.

Our penultimate question is from Dan, a retiree who shares his bond-avoidant investment strategy, relying on pensions and CDs for market downturns. Jesse discusses the potential risks if Dan passes away, affecting his wife's income, and suggests considering a small bond allocation.

Last up is Amy's question about setting up an annuity from a 401k to create what some might call a “retirement paycheck”, prompting Jesse to caution against high fees and sales tactics associated with annuities, recommending traditional investment portfolios for better returns, flexibility, and liquidity.

If you’d like a question in a future AMA, send Jesse a message!

Key Takeaways:

• Consult a certified financial planner to navigate the complexities of Social Security spousal and survivor benefits, especially when considering remarriage.

• The most common answer to finance questions is “It depends”. It depends on your city, your state, different tax rates, your income, your relationship status, your goals. There is no one size fits all solution.

• Understand that "compound growth" is a more accurate term than "compound interest" for investments like stocks and stock funds, with reinvested profits accelerating growth.

• Bonds can be a useful asset in your investment strategy, but of course, it depends on your goals and life situation. It’s important to consult with a CFP to get a more complete picture.

• Be cautious about setting up an annuity from a 401k due to high fees and sales tactics; traditional investment portfolios often offer better returns, flexibility, and liquidity.

Key Timestamps:

(00:00) - Introduction

(01:49) - Social Security and Survivor Benefits Explained

(09:46) - Financial Planning for Retirement and Mortgages

(19:34) - Understanding Compound Growth vs. Compound Interest

(25:49) - Dan's Retirement Strategy

(27:59) - Evaluating Risks in Retirement

(32:51) - Amy's Annuity Question

(36:29) - Comparing Life Insurance and Annuities

(42:46) - Immediate Fixed Annuities

(47:08) - Conclusion and Final Thoughts

Key Topics Discussed: The Best Interest, Jesse Cramer, Rochester New York, financial planner, financial advisor, wealth management, retirement planning, tax planning, personal finance, annuities, compound interest, compound growth, death of a spouse, prenup, mortgages, ask me anything

Mentions:

https://bestinterest.blog/valuing-social-security-as-an-asset-in-your-retirement-plan/ 

https://bestinterest.blog/how-much-life-insurance-do-i-need/ 

https://open.spotify.com/episode/2NMGr6vYPT4KuCdu9txoce?si=41789317e9614367  

More of The Best Interest:

Check out the Best Interest Blog at bestinterest.blog 

Contact me at [email protected]

The Best Interest Podcast is a personal podcast meant for educational and entertainment. It should not be taken as financial advice, and is not prescriptive of your financial situation.

Jesse starts by sharing two of his blog posts in today’s monologue. 

The first post, “The Answers are Here, But…”, expands on William Gibson’s quote, “The future is already here. It’s just not evenly distributed, yet.” Jesse draws a connection between Gibson’s quote and the distribution of financial literacy, explaining that The Best Interest is part of the distribution effort. Of course, there are those who distribute bad, or even dangerous information, leading into the second half of the monologue, “How to Avoid Frauds and Ponzi Schemes”. Jesse offers 3 ways we can avoid being taken for a ride. 

Today’s guest, Rachael Camp, is a Certified Financial Planner (CFP) specializing in helping solo business owners, offering services with her own business, Camp Wealth, and educating people through YouTube, her blog, social media, and more. 

Their discussion centers around recognizing scams and debunking myths circulated on social media, calling out fearmongers, and offering helpful insight into the financial tools available to solopreneurs. 

Importantly, Rachael notes what an LLC is, why an entrepreneur may - or may not - want to register one, and who they should consult before making that decision. 

Key Takeaways:

• How to find the answers you’re looking for.

• Keeping a lookout for scams - and finding people who’ll help you watch!

• Social media and the myths perpetuated thereon.

• What is a stock option?

• What is a solopreneur? And what financial tools are at their disposal?

• Should you register as a corporation? What kind?

Key Timestamps:

(01:20) Jesse’s Monologue: The Answers Are Out There

(06:47) Avoiding Financial Frauds and Ponzi Schemes

(21:41) Introducing Rachel Camp: Solopreneur Wealth Builder

(23:11) Debunking Financial Myths with Rachel Camp

(30:30) The Reality of Social Media Investment Strategies

(31:17) Understanding Options: A Primer

(33:52 Exploring Options Trading Strategies

(36:54) Critiquing Robert Kiyosaki's Financial Advice

(43:50) The Rise of Solopreneurs

(46:31) Business Structures and Tax Considerations

(51:04) Debunking Tax Hacks and Financial Myths

(54:39) The Importance of Financial Literacy and Caution

(1:00:41) Conclusion and Final Thoughts

Key Topics Discussed:

The Best Interest, Jesse Cramer, Rochester New York, financial planner, financial advisor, wealth management, retirement planning, tax planning, personal finance, solopreneurs, LLCs, business structures, incorporation, Robert Kiyosaki

Mentions:

Website: https://www.rachaelcampwealth.com/ 

LinkedIn: https://www.linkedin.com/in/camprachael/ 

Mentions: 

https://bestinterest.blog/the-answers-are-here-but/ 

https://awealthofcommonsense.com/2023/06/the-evolution-of-financial-advice/ 

https://bestinterest.blog/how-to-avoid-frauds-and-ponzi-schemes/ 

https://x.com/camp_wealth 

https://www.youtube.com/@CampWealth/videos 

More of The Best Interest:

Check out the Best Interest Blog at bestinterest.blog

Contact me at [email protected]

The Best Interest Podcast is a personal podcast meant for educational and entertainment. It should not be taken as financial advice, and is not prescriptive of your financial situation.

Jesse begins today's episode with two reflections. First, he talks about the rarity and preciousness of gathering all your loved ones in one place. While money is important, it is ultimately a means to gain the freedom to spend time with those you care about. In his second reflection, Jesse recounts the story of his parents' neighbors' house catching fire, highlighting the importance of risk management and preparedness, such as having smoke detectors and emergency plans. This underscores the idea of using money wisely to enhance life’s quality and maximize meaningful experiences with loved ones.

Today's guest, Andy Hill, is the founder of Marriage Kids and Money, an award-winning YouTube channel, blog, and podcast that offers actionable advice for family financial independence. As Jesse and his wife raise their first infant child, Andy provides invaluable insights on the importance of emergency funds, baby items, healthcare, life insurance, and more. He delves into the essentials of family financial planning, enabling us to enjoy more time with the people we care about most.

If you’re thinking about what matters most in life and how smart financial planning can help you get there, then this is the episode for you.

Key Takeaways:

• Money matters because of the freedom it allows.

• How to prepare for crises.

• The cost of childbirth, diapers, and a whole lot of other things.

• How to deal with financial stress as a family.

• Preparing your family financially for the worst.

• Simple tips and tricks for new parents.

Key Timestamps:

(02:28) Jesse’s Monologue: The Value of Time with Loved Ones

(07:45) A Financial Cautionary Tale: House Fire

(19:45) Introducing Andy Hill: Family Finance Expert

(20:29) Preparing for the Costs of Childbirth

(24:42) Real Estate Considerations for Growing Families

(27:37) Emotional Impact of Financial Decisions

(29:45) Navigating Parenthood, Career Choices, and Savings

(38:59) Practical Tips for New Parents

(44:25) Life Insurance and Estate Planning for New Parents

(52:31) Conclusion and Resources

Key Topics Discussed:

The Best Interest, Jesse Cramer, Rochester New York financial planning, financial stress, emotional attention, family financial advisor, family finances, marriage kids and money, Andy Hill, estate planning, the finances of children

Mentions:

Website: https://marriagekidsandmoney.com/ 

LinkedIn: https://www.linkedin.com/in/andyhillmkm/ 

Mentions: 

https://bestinterest.blog/you-just-go/

https://bestinterest.blog/house-fire/ 

https://bestinterest.blog/foxes/) 

https://open.spotify.com/episode/0JVTRYN8HBrgTI4EhVZglk?si=26185de5a5704a06

https://open.spotify.com/episode/1ox7hbv5uhG3bHsIzf2Cfk?si=8da95ab3e144443a 

https://waitbutwhy.com/2015/12/the-tail-end.html 

More of The Best Interest:

Check out the Best Interest Blog at bestinterest.blog

Contact me at [email protected]

The Best Interest Podcast is a personal podcast meant for educational and entertainment. It should not be taken as financial advice, and is not prescriptive of your financial situation.

Jesse starts this episode with a confession: money still stresses him out. The four ways that Jesse reduces this stress are remembering what’s going right financially, prioritizing spending, working hard, and remembering that others have walked this path. 

Then, with another call back to his blog, Jesse invokes Marshall McLuhan’s quote “the medium is the message” when sharing from his post, “The Friction is the Message”. 

Today’s guest is Carl Richards, the creator of the Behavior Gap, author of The Behavior Gap: Simple Ways to Stop Doing Dumb Things with Money, and host of Behavior Gap Radio. Not only has Carl been featured on Oprah.com and Forbes.com, he’s the creator of the Sketch Guy column which ran weekly for a decade in The New York Times. In this episode, Carl gives us some great insight into how we can refocus ourselves and our finances on what really matters to us.

If you’re interested in not only financial planning, but time, energy, and attention planning, too, then this is the episode for you!

Key Takeaways:

• 4 ways Jesse reduces his financial stress.

• Friction as a bad thing, and friction as a good thing.

• Why you should invite imposter syndrome in.

• What is the Behavior Gap? 

• How to choose your financial advisor.

• How to manage your money, time, energy, and attention.

Key Timestamps:

(02:10) Jesse’s Monologue: Money Still Stresses Me Out  

(07:24) Managing Financial Stress: Four Key Reminders  

(13:42) The Friction is the Message  

(22:14) Carl Richards Joins the Conversation  

(28:48) Why Carl Shares  

(30:41) Overcoming Fear, Anxiety, and Imposter Syndrome

(39:02) The Behavior Gap in Investing  

(44:48) The Value of Real Financial Planning with a Real Advisor

(52:28) Conclusion and Resources

Key Topics Discussed:

The Best Interest, Jesse Cramer, Rochester New York financial planning, financial stress, human capital, personal energy, mental attention, financial advisor, imposter syndrome, financial anxiety, the Behavior Gap, the Friction is the Message

Mentions:

Website: https://behaviorgap.com/ 

LinkedIn: https://www.linkedin.com/in/thinkingcarl/ 

Mentions: 

https://bestinterest.blog/money-still-stresses-me-out/ 

https://bestinterest.blog/the-friction-is-the-message/ 

https://bestinterest.blog/selling-and-surviving/

https://behaviorgap.com/radio/ 

https://www.50fires.com/ 

More of The Best Interest:

Check out the Best Interest Blog at bestinterest.blog

Contact me at [email protected]

The Best Interest Podcast is a personal podcast meant for educational and entertainment. It should not be taken as financial advice, and is not prescriptive of your financial situation.

Jesse begins today’s episode with a short monologue on the highs and lows of money. Can money buy happiness? Or are they uncorrelated? Either way, money can certainly buy flexibility and optionality. Jesse collects insights from Thom Yorke, Matthew Killingsworth, Danny Kahneman, and Angus Deaton.

Today’s guest is Jonathan Clements, the founder and editor of Humble Dollar, the author of My Money Journey and How to Think About Money. Clements spent nearly 20 years at the Wall Street Journal as their lead personal finance columnist. He shares why we need financial goals that fulfill us, why he plans to continue working, and how we can plan financially for retirement, but why that shouldn’t be the end goal of our financial journey. 

If you’re interested in long-term financial planning that will set yourself up for success, then this is the episode for you!

Key Takeaways:

• How to strike the balance between spending and saving.

• Why you can never know what you’ll really want in the future.

• We need personal fulfillment goals, not just financial goals.

• Jonathan’s retirement plan is ICE over FIRE.

• How to invest not only for retirement, but also for your heirs’ inheritance.

Key Timestamps:

(01:54) Jesse’s monologue: Can money buy happiness?

(09:15) Introduction to Jonathan Clements

(10:30) My Money Journey

(12:40) Switching from saver to spender

(15:50) We can’t predict the future

(21:43) 8 traits successful people have in common

(24:25) ICE: I’ll Continue Earning

(28:46) Annuities and Social Security

(36:29) Setting the next generation up for success

(44:40) Close

Key Topics Discussed:

The Best Interest, Jesse Cramer, Rochester New York financial planning, immediate fixed annuities, lifetime income annuities, equity and indexed annuities, Roth IRA, Social Security, retirement wealth planning

Mentions:

Website: https://humbledollar.com/ 

Jesse’s Radiohead article:  https://humbledollar.com/2024/05/happy-conclusion/

LinkedIn: https://www.linkedin.com/in/jonathanclements/ 

How to Think About Money:  https://amzn.to/3yHtlth

My Money Journey: How 30 people found financial freedom - and you can too:  https://amzn.to/3Kw91NO

More of The Best Interest:

Check out the Best Interest Blog at bestinterest.blog

Contact me at [email protected]

The Best Interest Podcast is a personal podcast meant for educational and entertainment. It should not be taken as financial advice, and is not prescriptive of your financial situation.

On today’s episode, we bring you something a little different. Jesse’s collected a series of questions from newsletter subscribers and will answer them in today’s AMA (Ask Me Anything). Jesse answers into which accounts young people should be putting their money. Other questions answered are: Is getting to your “Coast FI” a good idea? How to balance which accounts you’re putting money into and how your goals might change that. How can you financially prepare for parenthood? Why you should diversify your investments, even if your lack of diversification is working for you. What are “Roth Conversions”? And how can we make the most of tax diversification? If you’re interested in hearing Jesse’s answers to these questions, then this episode is for you. If you’d like a question in a future AMA, send Jesse a message!

Key Takeaways:

• When should I put money into my Roth IRA vs. my Traditional 401k?

• We don't know the future. So, diversify.

• What Jesse’s doing to prepare financially for parenthood.

• How clear goals can get you more specific guidance when financial planning. 

• When and how you can do “Roth Conversions”.

More of The Best Interest:

Check out the Best Interest Blog at bestinterest.blog

Contact me at [email protected]

The Best Interest Podcast is a personal podcast meant for educational and entertainment. It should not be taken as financial advice, and is not prescriptive of your financial situation.