Ask KT & Suze Anything: Do Not Live In a Home of Anger
31:36 Share

Hi everybody, c zo here. Now, what is the goal of money? The goal of money is for you to be secure, and there is no Better way for you to be secure than having an emergency savings account. IT is essential for your financial foundation, so all of you should be participating in the ultimate opportunity savings account at alliant credit union. Go to my alliant that come to find out more and be the here.

Are you ready for today's podcast?

Yeah, Robert, of course we're .

ready because we are on P. E. yeah. I.

So you are strong. up.

I am sap.

Mind power home, I.

Over thirty .

first, two thousand and twenty four, a walk on everybody to the women in money pascals, as well as everybody smart enough to listen. This is the come ask. Come on, kate. Like, did this halloween? Did .

you .

get. K T. And everyone out there, that's what we're gonna today, but it's halloween. So tell everybody about new york trip.

Oh my god, we had such a great time. Oh, sue. Well, first of all, susie was a super star at the forms fifty over fifty event with maka prison ski, who we love.

And IT was. And we brought Sophia with us, our needs. And IT was very exciting.

IT was just a very exciting event. And IT was a big day for susie. Following that, we went, did a photo shoot downtown.

After that, we went to a delicious, one of my favorite bistros called parties for a little bit of french food. And then after that, I had a date night. Friday night was susie, where he took me to see carberry. If you haven't seen adam lambard in cabra, he was unbelieved.

You can afford IT and you're they are and you're going to go to a show. You should absolutely go to that one, but make sure is performing everybody. However, all those things the kt just told you about, you could actually go on the women and money APP. And I posted the pictures of the photo shoot of my friends .

and my end. I didn't. I, okay. So before all of that happen, I was able to have a wonderful reunion with our friends from the Philippines. And I loved every minute of IT, and then ran into a very good friend from hongkong.

And with K. T, I am so surprised you should .

see a .

little face, everybody, that out of all the things that you said, you did not say the one thing for sure I thought you were going to say, which is how many blacks that I was.

Oh, sushi walked twenty five blocks the day we landed. SHE walked with me all the way up, fifty, fifty to my friends apart. IT was unbelievable. And before that, he walked with me across town to pick, couple a few things on the way, twenty five blocks in her new converse flat sneaker.

I like so cool.

Everybody even find. And he was almost to walk, to start.

I tell them what surprises. I don't .

SHE doesn't move. And I was a big, big.

big, big, big walk and know. And that is because everybody, K, T S for one thing.

when we were .

in new york, what when .

lived in new york um across from central park, we would take stroll and IT was so peaceful, believe in or not, in a city that's completely noisy and crazy and traffic and horns, but IT was peaceful to walk with suzy through the park or up medicine avenue or downtown and discover new places we loved .

to good news. I'm walking long.

Just know the good new. She's back. Everybody was .

so .

out. Now we're going to wait to the end of this podcast for the big reveal, the reveal of what suzi favorite halloween Candy. So you're going to have to wait, you're going to have to listen through. And then i'll reveal her favorite halloween Candy, which is a poll is on right now.

Can you just image, say you can take IT, by the way, in the women money p which you can go to apple apps or google play and download for free. But can you just imagine if this is the first time anybody has ever tuned in to the women in money podcast to learn .

about whatever they want?

They think five years talking in.

right here we go. So my first question could be a trick on halloween. It's from marian. He said, susie, I need your input, please.

I have a mortgage and just found out that out of my five hundred dollar or monthly payment, the company is crediting the principle eighty five dollars monthly. I am speechless and feeling so uninformed about the situation. So he, is this legal? I trust your knowledge. Please advise. So let's tell her this isn't a trick.

Well, it's not a trick, my love. But K, T, I also not. And just remember everybody, I will answer many emails directly if you want to ask a question writing to ask U S U C E podcast to gmail 点 com。 And if kt picks IT, SHE will ask IT on the podcast, I will answer.

But every once in a while, I write back at mariano's, I wrote her back directly, kt, and did all the numbers for her. So for all of you just to understand, when you take out a mortgage, especially at thirty year mortgages, Normally what happens is very, very little of that mortgage payment goes towards your principle. It's all interest.

And why is that? That is because most people only keep a home for about seven years. So the mortgage company wants to get all of their interest up front.

So it's typical. What I did show marian is that an approximated eighty thousand dollar mortgage, the payment is over thirty years, about five hundred dollars a month. And the truth that the matter is about eighty dollars of that goes to principle and the rest goes to interest. So that is how marketers work, everybody. And you just need to know IT .

next questions from darthian. Do you know why I like this? You know you like this payment? E is shampoo girl.

I won't read the whole thinks private, but her email I like that is a shampoo girl and wondering if she's a shampoo girl. Darthian all right. Hello, susie.

I met a crossroads on what direction I should have. I'm sixty years old and I don't plan to retire to them at least seventy. I'm not sure financially if I can retire at all.

I've been divorce since twenty twelve and alone. My children are adults, grown up and successful. My question is about my home. I've been paying extra on IT since I took the loan out in two thousand eleven for two hundred thousand. I owe sixty two thousand at a three point twenty five percent.

If everything stays similar to what is happening now in my life, I should have IT paid off in sixty seven years. However, if I only pay the minimum, I would have paid IT off in about twelve years. Now here's this is what made me chock a little, he said.

So I feel behind and retirement savings, and wondering if I should focus on that since my debt is manageable. Help out a sister, please. I'm exhausted running the scenario. Help her. What should you do? So here's .

the thing. You're sixty years of age. You plan to work until you are seventy. And if you keep doing exactly what you're doing right now, you only have six or seven years left and then you will own the house all right now, if you did do this mortgage, two hundred thousand dollars in two thousand eleven at a three point two five percent interest ate and i'm just gonna ss IT this, all right, probably your payment is around eight hundred and seventy five dollars a month, or about ten thousand five hundred dollars a year.

If you stop putting extra towards that right now and you're gonna have to pay for an additional six years, then you're gonna to come up with an additional proximity, sixty two thousand dollars over those last six years if you don't pay IT off early. And what if you can't do that? So because you can't take IT for advantage that you're always going to have the money, you're always gonna able to work till you're seventy.

I want you to do what, I want you to continue doing exactly what you're doing. I want you to stop looking at this just is a financial equation. I want you to look at IT as you are going to on your house.

Alright, when you are sixty six years of age and therefore you will have your home. And then for those next years you're going to take that eight hundred and seventy five dollars that you would have to pay towards your mortgage if you had to paid IT off. You're gonna that away.

You're gonna just do that and you'll be fine over all those years. So no, I want you to do exactly what you are doing. All right.

here you go to earthy.

I like that. What do you like about that?

Well, she's just was going back and forth, back and forth back and for, and you just told her what to do and that he is doing the right yet.

You know, kay, to the mistake that I think, personally, many people make, they do the numbers financially. You're gonna come out ahead. If you do this financially, this is what IT looks best to do.

what feels.

No, no. K, T, yes, but no. Where I was going with that is, but that only if you stay healthy.

It's only if you know getting an accident. It's only if you continue to have that job. I don't want you to look at, well, if everything goes right, then we would have more. I want you to look at, oh my god, what if something happened and I would still have to pay the mortgage, my home, and if I wasn't able to pay the mortgage, my home, I wouldn't have a home, and you need a home. And so I want you to start looking at things, everybody, just a little bit differently.

I will listen to this when this is from my name, said susie. I contribute twenty three thousand dollars after tax to my foo 1k my plan only allows for one conversion to routh per year。 yeah. Should I contribute a lumpsum so that I can convert IT right away before any gains are realized? Or is the Better the dollar cost average throughout the year and pay the taxes on gains when I convert at the end of the year?

Absolutely not. We look really like.

absolutely not on which one I knew .

that I did have for eve.

That IT is a trick. I mean, to say, all right, absolutely not. Do you convert? I want to tell what .

I would do.

Do you want this to be cozy? No, because I sten, I i'm not good with anything that says the word rough in IT. But reading this, I think you might be Better off to dollar cost average throughout the year and and gain on the higher loser.

You might make them pay taxes. Am I right? Oh, see, I told you I wasn't good at though.

So why do you even try? That's what I would apply now when I say you. So why do you even try? What did you say back to me?

But why not give you a right?

I should always try suzy yeah cares if i'm wrong. I need to always go for a you need to learn so much just .

happy everybody right when I take fear and i'm not ashamed so but i'm for a angry you get that you're singing angry .

baby three internal obstacles to, well, so island, here's the cop. And for those of you who don't know a lot of corporations above and beyond what you're allow to contribute into your forex k pretext or into a rough, you also are allow to do in after tax contribution and that after tax will always be tax free when you withdraw. However, the earnings on IT will be taxable unless it's in your roth as well.

But anyway, here's the scoop. So I mean, if they allow you only one conversion to a routh per year, if you can contribute twenty three thousand dollars in one lump sum and convert IT once all of IT to a rough, and you did that at the beginning of the year. Now you have the money in the rough and you could dollar cost average into the markets, wallets in the rope.

Because in the me, you don't have to always absolutely you know invested all at once. So if I were you, I would so convert IT right away and then you don't owe any taxes on because IT hasn't grown at all. So you know you wouldn't want to wait before they were gains so that you could have to pay taxes on that. All right, here we go.

This is from rosen. I like that name. I always like that name.

Rosen, what do I just thought? I was always a pretty name. rows. I like row.

No, do you wanted? Hear why you like IT. why? Because first of you love roses.

so you love rose. And my mother name was and .

that's your .

middle is pretty and not rose and my middle named.

yes, of course you're middle.

Will you stop this today? Done me.

Is this .

so this is so fifty nine years old and about to be sixty. I have a small amount of thirty thousand dollars in my 41k。 That's not a small amount.

Would you be wise to pay the tax and transfer into a lot? Thanks in advance. what?

Here you go. So here's the thing.

yes. Yes, are you and IT in a roof? Yeah, yeah. You just told this all to do that.

However, how do you do IT? Currently we are october thirty first. We are two months away until two thousand and twenty five.

So what I want you to do, very simple, is take sixty five hundred dollars this year and put IT in a rough I R A. Sixty five hundred dollars january first, and put IT in a rough I R A. And that way you won't have such a large tax bill. So it's wise to put IT into a rough, absolutely, just divide IT by two, and put half in this year and have next. All right.

no tricks here. This is from joy. Hi, Susan. K. T. Thanks so much for all you do for women. I got the must have documents and will be setting up my trust for my home.

Will I just automatically be included in IT? Or do I now need to somehow change the name on the deed on the house? How do I do that? The house is totally paid off.

I'm confused by how this works. All right, i'm my answering this joy i'm in answering this is from kt. There are no tricks on, you must have documents. All you have to do is open IT and read IT. You haven't followed the guidelines on the right side as you scroll and it's really, really simple tells you have .

right now let me answer this right stop. There's no tricks to that yeah but stop being me are right, which is when you go through the must have documents. And for all of you who don't know, the must have documents are legal documents that, in my opinion, you all must have.

And that is no trick. You need this everybody. You need a living revocable trust. You need a will.

You need an advanced, recent and durable power attorney for health care, and you need a financial power of attorney. You need all of those. And if you went to, must have dark dot come.

There are currently ninety nine dollars, and you should all do this everybody, because they are going. That Price is going to change sooner than later here. And you will be getting twenty five hundred dollars worth of state of the art documents good in all fifty states. And so therefore, when you go through, when you answer all the questions, what's really important joy is that at the end, IT shows you the funding documents.

So when you print things out there, there and all you have to do is fill them out, they get printed out, and you have to take a to a title company, and the title of your house has to be changed from your individual name to the title of the trust. So then the houses in trust. And because the houses in trust IT avoids profit and all other kinds of things. So just go back and do the program again and you'll see it's in the program or kate.

it's easy. alright. Next question, susie from jane SHE writes high. Susie, love you. I .

liked .

to you.

Jeos s for all the people who love me, never.

I never love you enough, and I can never love you for loving them enough.

That made absolutely no sense.

Okay, this is love you. As i'm listening to your episode this week, a question came up for me, is IT ever a smart idea to sell everything I have within my I R A, but keep IT in the I R A, put that money in the money market found within the I R A, and let's start dollar cost averaging monthly unknown. My thought is that if the markets are this high, perhaps they will come down. And as they're coming down, I am we dollar cost averaging into the same funds I was in before to complicate IT? Or is this a good idea towards .

idea i've ever heard of my life?

Je.

don't do IT. And jane, here's the reason why you don't know that they're ggt na come down. They could continue to go up and up. And there you are sitting on the sideline waiting for them to come down. And in the meantime, you have missed maybe the biggest move out there.

Do you want to continue to be smart? Leave them where they are, continued to add money and dollar cost average new money into IT? Just that simple one. Last question. Kt.

okay, this is from debby SHE, says dear k teen susie. I got divorced a few months ago at the age of thirty seven, and your podcast really helped me get my life together. My x husband purchased a house within a month of the divorce being finalized.

IT made me maddy purchase to one immediately after the divorce. And after claiming he had no money and I owed him money during the divorce, and I took me some effort to just knock go out by a condo, i'm taking your advice of no major expenses within the year of divorce. However, here is my question.

I love where I currently live, but I can't stop looking at homes around me on zero o and wondering whether if I buy a home right now, it's only out of spite for my husband. So what did you do? Yeah, so this is an emotional roller coaster.

Just let you go. Yes, this is a good one for halloween, because the last thing you want to do is treat yourself. And then I will turn into an incredible trick right now.

What I want all of you to know, because i'm looking at this email that kt just put down in front of me, and I want you to be aware that this was a long one and a half page email. So obviously K T edited IT because a lot of the details, whether they mattered or not. But so he did add IT, but with what you really needed to know.

So when you write along email and if kt does choose IT, don't be surprised if IT is edited to get directly to the question out of spite for your husband. Look at the words that you used, debby, in this email, you're wondering if it's only out of spite for your husband that you really want to buy a home. I was struck by the one line that says, I love where I currently live.

but and the .

thing, the but right? You know, I always have said everything before a but is the truth, everything after the word but is not the truth. And therefore, you need to stand in your truth. You need to stand in the truth that you love where you live.

You need to stand in the truth that you're still angry at your husband for, obviously in your mind line to you about not having money and going out and buying at home, which is something you always wanted to do. Let IT go. As long as you live in the home of anger, you will never be able to build or buy a home of love. Therefore, just stay where you love and just give yourself time. All right, this.

i'm ready for my quiz y by getting A A tRicky tree.

This is a very scary one.

It's scary.

It's scary because I already know what's gonna happen. This, this, this questions gonna want you. Your every quiz .

Y I take is scary.

And this .

is a unit which.

hey, Susan kt picked me, so I did. All right, I already have an I R A from a previous job that I retired from a tax differing for one k that I rolled over to an I R A in twenty twenty three last year. So K, T, they had a far one key. They rolled IT over to an I R, A last year. The question is, can I still do a back door or rot.

go for the front to our baby?

No, really. Can they do they just rolled out?

I think there's isn't there like a little bit of a time? Yeah, you can do. Why not?

Do you remember all the podcast that i've done on this? I do remember, I remember me talking about something called the pro rule. You ever remember me saying that if you have a traditional I R A, do not do a back door rough. Because if you do, you're going to have to pay taxes from door.

Baby, don't do take different.

Don't do IT right? Don't do IT. So did you get this one right? Yeah, don't do IT.

Yeah, 点点 耶。 Yeah, yeah. right. Treat, treat, treat. Don't do so. But now we're gonna be serious with you, mia, and everybody listening to this. If you have a traditional I R A, A I R, A rollover, a step I R A, A simple I R, you have any I R S at all, and you want to do a back door rough, which simply means that you make more than the modified just growth income. So you can't do a contributory ross.

But there is a way for you to get money into a rough, and that is to the back door, which is where you put money into a non deductable traditional I R A. So you're not onna. Take IT off your taxes and then you immediately convert IT to a row.

If you have an I R A of any kind, however, and you do a back door, there will be a big portion of that money that is going to be tax. I again, for you, it's called the pro red rule. I have done many podcast on IT, but the biggest morning I can give you is do not, and I repeat, do not do a back door rough.

I R A. If you have a traditional I R A, what you could do, me a, if you wanted to, as you could take the money that you did, the I R A roll over with, put IT back into a four one. K, if you can.

And then you can do a back door rough. That's how you could do IT OK. K T. Time for the reveal. Okay.

the big review, the big halloween review. Here we go to .

the tell everybody. okay?

So we did a poll and it's on it's actually been on the women in money APP wall. And you're to guess of all three, what is susie favorite halloween trip where .

their choices.

k choices, where multi milk balls, Candy corn and .

zero are right? So the majority of you did get IT right. But let me just say something.

IT was a few years ago. I think IT was halloween, maybe twenty twenty one, where we kind of did this. Kt, I don't hope you remember that or not. And at that time, my favorite was to za roles. And kate can tell you that for years, even on the island, I would want .

to .

go cry anything, a role. So for years, IT was tuta roles, or tuta role, pops favorite, favorite Candy of all time. But then, as i've matured in the past year or two, I have changed. I have a new favorite, Kenny. And my new favorite of all is.

丁 Helen， multimillion ball.

and the majority of you got that right. So I know a lot of you probably thought I was to the roles because of what i've said in the past. But a woman.

he said he not just a woman, a man, a gman eye. German ize can change their mind any moment at any time. And let me tell you, I know what that is.

I do so are right now. Happy halloween. Everybody is so, K, T, there's really only one thing that we want everybody to remember when IT comes to their money and what is a girlfriend.

People first, then money, then multimillion.

right? You eat a lot of multiple balls and halloween, and you stay safe and you stay empowered with your money. I promise you, you will be.

I don't need Better. I'm so confident.

Hi everybody, susie here. Now, if you are looking for a way to start saving to get the most out of your money, I want you to go to my align t com. That's M Y A L L I A N T dot com, and look into opening an ultimate opportunity savings account, put in at least one hundred dollars a month every single month for twelve consecutive amounts, earn three point one nine percent interested in your money right now, and get one hundred dollars at the end.

Are you kidding me? It's the best deal out there. Start saving right now.

The oran to the orman is acting as a certified financial planner, adviser, a certified financial analyst and economist, C. P. A account or lawyer.

Now there, susie orman media nor suzy orman make any recommendations as to any specific security or investments content contained in this podcast is for informational in general purposes only and does not constitute financial, accounting or legal advice. You should consult your own tax, legal and financial advisers regarding your particular situation. Neither susie and media nor susie orman accepts any responsibility for losses which may arise from accessing or reliance on information in this podcast. Under the full extent permitted by law, we exclude all liability for loss damage, direct, indirect arising from the use of this information. The must have documents discussed in this podcast or legal documents created by a lawyer and distributed by.