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-- eat up thank you so much for joining us.
We're happy Friday -- happy Friday in the nation's capital you are there personal finance expert as well as a CPA -- meeting he so much for coming on.
And -- saving of the great day on Wall Street the Dow's up more than 200 points and respect to end this momentum is weak month and quarter -- -- first half of the year.
Probably in positive territory across the board there.
Come but that doesn't erase all of the volatility that we've seen right and you see all these negative headlines coming from -- up from.
The job market here in the US and you know people say to themselves wow.
We should save our money right now right yeah some Christians if we lose -- jobs and what have you but.
For some reason not -- taking that logistic advice -- -- saving money.
Well that's that's definitely true I think the last couple years has given have given us an idea as to what may lie ahead in the possibilities of like literally financial ruin.
So people nowadays are starting to or are considering saving their money.
Now there was a recent study in the USA today they can about a week ago -- talked about how there's disparity and -- women's literacy -- financial literacy.
And that's would probably talk to my clients about giving them ideas on how I don't think that you know what's okay.
Well -- they saw that -- that -- -- busy with their lives in -- -- their kids and and historically in in in a relationship you know who the man or woman.
What have you the -- relationship you'd see normally a man would be one was apple from finance.
And so sometimes they got -- divorcee who call I give him advice and they would say why -- never dealt with money -- balancing a checkbook ideas -- my but my husband Daniel violence that's what I did so.
-- started seeing now the gap has widened a little bit but I think there there there -- a lot of things that we can do and or to teach ourselves.
How to save money for a rainy day.
Right alcohol last time this thing well one the first things if -- him if you're an employee and you work for an employer to -- -- -- this way.
The government taxes you and you get your money nets of your gross pay right.
The problem we have with saving is a lack of discipline so one.
Great way to do that is to make a saving a savings account and make the transfer funds automatic so before you even receive access to the funds.
Have your employer.
Transfer money and set up a separate savings account -- -- that you really have access to that you can have money transferred automatically and you can't just your lifestyle.
Exactly give them money never existed in your head you're not gonna have to worry about how to spend it.
OK exactly -- say Internet banks they're key right it's very easy to set up they have.
High interest rates exactly exactly what here's the kicker reason I like -- -- banks like IG's example is.
I like ING because it's there's no physical location I'm not gonna actually go to a branch and liquidate my account.
I had to go through a series of steps in order to get my money out of there -- so I think it makes it even harder for you in the event that you feel kind of we can you wanna -- -- her shoes or one of Mumbai car wanna buy some that you really.
May not need but you really want.
It makes it -- -- more challenging -- get your money out.
But it's super easy to transfer from the ID yeah -- account into and other checking account definitely definitely.
But this still in an effort -- I don't know I don't.
-- -- I think the same thing to what you see it's it's it's it's a lot of effort in order to do that -- this is not a simple as is literally going down the street and saying I want to -- -- -- Uncle Sam help let's say.
Every year we get a lot people get tax refunds than the average tax refunds about 3000 dollars or so.
A lot of people can use that to to splurge and buy big TV's and -- trips on historically we've seen it's been trending downwards -- people were spending their money.
But one thing that we can do and everybody can -- is take a portion of that and stashing away I mean.
You -- to put in your mattress or anything.
But you wanna consider you know at least saving at least half of that -- -- little -- I mean it's hard to figure out where exactly to invest in these days but let it make money for right.
Oh I completely agree and and in addition to that at the ball -- volatility of the market.
We tend to will be don't really know what's going on we don't know what that means we just you know we've been here to market going up and going down which are freaking out yet so.
That's -- case that's exactly that's the case I suggest you.
Talk to financial advisor find someone who's an expert can actually.
Give you advice not sell your products and what about some financial tools like bonds for instance it in -- -- a perfect great great -- -- great idea.
Is especially since you try to save money for a rainy day in an emergency fund.
As an example you want something short term actually investing in a mutual fund may not make sense.
So maybe a bond like maybe even a US treasury bond too simple to get you -- bide your bank.
You can also purchase CDs from from your bank short form three to six month even nine months and and and greater savings accounts are okay.
But I mean the rates are are pretty much the pretty crappy right now other about a anywhere from 1% the last -- literally might as well put it in your mattress.
-- -- -- Bankrate dot com did a poll on financial security.
Of they did a survey back in February what can you tell us about that.
Well basically -- to -- eloped people or -- lot more people are starting to say.
And there's -- difference between this survey else talking about the difference between a financial literacy.
Women vs men.
And handed this survey this survey -- she pulls everybody together.
And people are starting to save a little bit more now because they realize they have to Wear it when you we make changes based on our circumstances -- almost being in dire straits.
You realize you see people losing their jobs are still -- 8% unemployment.
We don't know what's happening with taxes and so as a result people thing you know what I and I really do need to say because.
I may have a medical emergency down the road.
You're a 100% right however isn't that an oxymoron in in of itself.
You know we're saving because we're so worried about the event that we lose -- jobs or have a medical emergency yet at the same time there's.
Thirteen million unemployed say that it think that savings rates have -- -- Right.
-- -- you would it seems -- one would assume that but I also think that.
People were good because -- we're not spending and we're not really infusing capital into the into the market and also another statistic is that credit card the use of credit cards are also down -- -- user debit cards more.
Step -- which means are using cash and they're not spending as much.
But and CN that I got -- hit you on that point to -- -- say go out spend already taken vacation -- -- gonna top out at the end of the -- actually vacations because we are taking them.
Biggest consumer spending is 70%.
Of -- US economic activity.
We want to spend money it's great for business -- at the same time we want people to save money so how do you find a happy medium.
What you have to -- they think long term or even short term you have to have an idea as to where -- -- plan or budget percent.
So when you speak with a financial -- someone is qualified so when -- -- and does research on.
Yet to figure out what your goals are what your goals are short term first three months year ten years and what have you so.
You can think they can still co exist and are mutually exclusive you can still have a situation where you're spending some money.
Because you want to enjoy your life is no point saving money -- you are going to be us.
Going to wired with that and exactly you know the Euro dollar barrier earlier gold with review editorial I don't Avon where risk people -- -- giving their wealth to their kids there is giving it away and other people.
They want their kids and -- had to work hard.
I don't think anybody who says I saved too much money have you ever heard that I've never there for usually is I would say it enough and need some help.
Africa I know I would love to reach a point in in my -- -- what I can say -- I think too much money and now we're gonna do this with this.
-- -- amount of savings I've accumulated over the past couple of years.
You know go shopping or go to New York you didn't show up well that's dangerous clash is -- about -- -- thank you so much for joining us personal finance expert and -- in the love to have you on the show and great.
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