The Good Financial Cents Show w/ Jeff Rose, CFP®

If one is good - three has to be better!

We are talking about the Roth IRA, specifically:

'Can you have more than one Roth IRA account?'

This is not a question from a reader but rather a question that I get A LOT.

The short answer is YES.

I want to give you a bit more information on why you would want multiple accounts, how to set them up, how you could manage them, and much more.

02:17 Can you have multiple Roth IRAs?

03:20 Rules and Contribution Limits

06:34 How do you set up multiples accounts

09:25 Why use multiple brokerage companies

References

Roth IRA Rules and Contribution Limits for 2023

https://www.goodfinancialcents.com/roth-ira-rules-contribution-limits/

https://www.goodfinancialcents.com/ask

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It is not too often that you associate a 401k with a really sad story.

This wasn't one of my clients but I remember reading about it.

The story is about a young man that was working at a grain mill or maybe on a farm. He was in his early 20's and recently married.

He had a 401k plan and at his young age had already saved a large chunk of money.

Shortly after getting married he was involved in a freak accident at work and died.

He had named his parents as his beneficiary for his 401k and didn't get around to changing this to his wife before he died.

You would assume the parents would give that money to the surviving daughter-in-law, they did not give her a penny of the money.

This could have been avoided if the beneficiary form had been updated.

So, what happens to your 401k when you die?

Do you need to change your beneficiary? Reevaluate your investments? Update any other information?

It only takes a few minutes to make these updates.

Check out my YouTube channel here.

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Do you remember the first time you tried something that was scary?

How did that work out?

I'm sure there were lots of emotions around that experience.

If you are a 'beginner' at anything it can be a scary thing.

Today I want to share some of the basics of investing. This may help to ease the fears or anxiety around investing for beginners.

The 6 most important reasons for investing:

1. Building long-term wealth

2. Preparing for retirement

3. Meeting shorter-term goals

4. Minimizing the need for credit

5. Having money to pass on to your kids

6. Strategy for dealing with inflation

Resources:

Investing for Beginners: Learn the Basics of Investing in 2022: https://www.goodfinancialcents.com/investing-for-beginners/

How to Invest: https://www.goodfinancialcents.com/how-to-invest/

How to Invest in Index Funds: https://www.goodfinancialcents.com/how-to-invest-index-funds/

How to Invest in Stocks: https://www.goodfinancialcents.com/how-to-begin-investing-in-stocks/

Investing for Dummies: https://www.goodfinancialcents.com/guide-to-basic-investing/

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We all love the idea of making money while we sleep.

Regardless of how or when you make money - the IRS is going to want their cut.

I am answering a reader question today.

The question is 'How is passive income taxed.'

Let's dive in and talk about passive income.

02:01 What is passive income

04:59 True passive income sources

05:53 Semi-passive income sources

06:33 Material participation and/or activity

Resources

28 Passive Income Ideas To Build Real Wealth

Best Passive Income Apps

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What's going on with Crypto?

Wanted to hop in today and give you a bit of an update on Celsius Network and talk a little about BlockFi.

For a little context, at the time of this recording 6/20/22 Bitcoin is trading at $20,341. It did drop over the weekend down in the $17k range.

It is nice to see it moving back up.

Now let's get into what is happening with Celsius and with BlockFi

02:43 Update on Celsius Network

07:08 Update on BlockFi

09:15 What I am doing with my Cryptocurrency

10:40 What happens when you set up your own ledger

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What is the easiest, greatest way to set your kids up to be a millionaire

Today I am answering a question that I have received many times, in many different ways.

This discussion is specifically for parents who want to set up a Roth IRA for their children.

02:20 Why is this such a great gift?

04:25 Roth IRA Rules (for kids)

06:35 How do you set up a Roth IRA for kids?

09:06 Who owns the custodial account?

11:48 How does the IRA affect college funding?

12:32 Can multiple children share one Roth IRA account?

13:20 Not every brokerage offers custodial Roth IRAs

Resources:

https://www.nytimes.com/2022/06/10/business/kids-roth-ira-retirement.html

Roth IRA Success Story – How to Get $50,000 Tax-Free Money For Your Kids

Roth IRA Rules For Minors. Your Kids Guide to Tax Free Money

5 Best Investments for Roth IRA in 2022

https://www.goodfinancialcents.com/ask

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Have you ever seen one of those life hack videos where you discover something you didn't know existed and it blew you away?

That is exactly how I felt when I discovered some basic money hacks that allowed me to become a millionaire.

I had to learn these money hacks the hard way.

Fortunately, you don't have to because I am going to share them with you.

These money hacks will help you save money and build wealth in your financial future.

Let's get started:

03:40 Understanding compound interest

10:02 Set a reminder to check credit report

13:02 Get my rate verified

16:59 Do a savings challenge

21:59 Unsubscribe from retailers

Resources:

https://www.goodfinancialcents.com/ask

Check out my YouTube channel here.

Follow me on Twitter and Instagram.

What is going on in Crypto?

OMG

It seems like the Crypto just exploded and I got caught in the aftermath.

It has been a crazy few days, starting Sunday evening into Monday morning.

Headlines were popping up everywhere.

Bitcoin is trading (at the time of this recording) at $22k.

The previous high back in March was $47k. So what is going on?

01:58 Celsius Network

03:32 I was invited to the weekly AMA

06:11 Withdrawals from Celsius

08:21 I don't like it!

11:30 Will the market be affected?

13:22 '2000 Super Bowl' analogy

16:26 The future of Celsius

Resources:

https://www.goodfinancialcents.com/ask

Check out my YouTube channel here.

Follow me on Twitter and Instagram.

What if you were faced with this difficult decision - You can either get a payout for the rest of your life or you can get a big fat check once?

Don't worry, you don't have to make this decision alone, that is what I am here for!

I received this question from a reader, Jared:

'I have worked with my company for over 27 years this Spring. I am one of the lucky ones that have been given a very generous pension and a 401k plan.' …. 'My pension should be more than enough to take care of my wife and I. I am almost 60 and I have the option to roll my pension over into an IRA.'

'Should I roll my pension to an IRA or leave as is?'

04:28 IRA rollover options

06:54 Annuitizing your pension

08:01 Borrowing against an IRA

09:08 Pension payout options

10:51 Tax Liability

12:49 Working with a professional

Resources:

Pension Benefit Guaranty Corporation: https://www.pbgc.gov/

CFP Board: https://www.cfp.net/

https://wealthhackerlabs.com/ask/

Check out my YouTube channel here.

Follow me on Twitter and Instagram.

In Episode #169 we talked about how we can flip $100 and turn it into $1,000 or more.

In this episode we are going to talk about how we can take $100 and start building real wealth.

You can grow this $100 into $1,000, $10,000 or $1,000,000.

Here are 10 ways you can start investing $100 today:

02:44 - 1. Rounding up your savings.

04:47 - 2. Dabbling in fractional shares

06:24 - 3. Investing in real estate

09:31 - 4. Cryptocurrency

11:07 - 5. Index Funds (w/Betterment)

12:21 - 6. M1 Finance

14:16 - 7. Enrolling in a Course

16:55 - 8. Open a Roth IRA

18:06 - 9. Worthy Bonds

19:44 - 10. High-Yield Savings

Resources:

https://wealthhackerlabs.com/ask/

7 Ways to Invest $100

What Happened With My $1,000 Fundrise Investment (3 Years Later)

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