Podcast Summary: Financial Audit—"The Most Hated Person In Financial Audit History"

Host: Caleb Hammer
Guest: Nova, photographer, Sacramento, CA
Release Date: November 21, 2025
Note: All timestamps in MM:SS format, referencing the full transcript. Ads and non-content sections are omitted.

Episode Overview

This intense and combative episode features Caleb Hammer and Nova, a self-employed dance photographer from California. As Nova unpacks her chaotic financial life—marked by IRS debt, questionable business habits, rampant spending, and denied personal responsibility—the discussion becomes a passionate, at times exasperated audit of not just her finances, but her character. Caleb doesn't hold back, and Nova deflects with humor, catchphrases, and evasions, making for a controversial and highly charged audit.

Key Discussion Points & Insights

1. Nova’s Background & Income

• Nova’s Work: Self-employed dance photographer working nationwide, earning $8,000–$12,000/month, occasionally up to $12k. "Yeah, I hit six figures last year in photography. Yeah." (03:41)
• Business Structure: No LLC, sole proprietor, disorganized finances with all income and expenses flowing through one business account but used freely for personal spending. "All my photography money just goes into like one huge thing."
• Success and Spending: Despite high income, she admits to living an "upper-class lifestyle" without considering taxes or past obligations. "I started making more and more money. I just kept spending it." (05:27)

2. Failure to Manage Taxes and Business Finances

• Never Set Aside Taxes: Nova admits to never setting aside taxes from 19 to 30. (05:55)

• IRS Audit & Fallout:

  • Triggers an IRS audit over PayPal income underreported due to recent rule changes ($600+ thresholds).
  • Nova and her tax "expert" (from Craigslist) advised her to pay, not contest or over-deduct, to avoid further scrutiny.
  • "So, one, I didn't know photographers had to pay taxes. Nobody told me that." (19:50)
  • Misunderstandings abound: She confuses audit with simple tax underpayment letters at first, but it’s clarified when she describes being forced to go back and refile multiple years. (26:33)

• Penalties & Garnishment:

  • IRS attempted wage garnishment; Nova evaded direct contact and let payment plans lapse, accruing substantial penalties and interest (>7-8% plus penalties).
  • "I’m working on it. I have a plan," she repeats, but provides no concrete actions. (39:47)

3. Spending Habits and Debt

• Extravagant Spending:

  • $19,000 spent in one month (31:34)
  • "I probably spent a lot last month. Like, 10, 12, 15,000."
  • Justifies spending by "treating herself" on work trips, frequenting basketball and WNBA games, and vacations disguised as business.

• Lack of Budget: Nova does not track monthly business or personal expenses, cannot relay rent figures, and uses multiple checking and savings accounts haphazardly.

• Major Purchases:

  • $7,000 modular couch: Justifies convenience/luxury as reward for business success (49:36).
  • Plans to buy a "new" (used) car amidst debt and IRS issues.

• Credit Card and IRS Debt:

  • Southwest card: $7,200
  • Delta SkyMiles: $9,400
  • IRS: $26,091, plus interest and penalties, broken up over multiple years (totaling over $47,000 in debt).
  • "How long does it take to pay off $47,000?" "I don't know, like three years? Four. But I could work harder." (10:03)

4. Excuses, Evasions, and Personality

• Catchphrases: Nova repeatedly says "ebbs and flows," "I'm working on it," and blames her still-developing "frontal lobe" for past irresponsibility.
• Avoidance of Responsibility:
  • Claims ignorance, youth, trauma, or lack of advice when grilled on financial failures.
  • Deflects with humor, shifting topics, and cute banter—prompting Caleb's frustration.
  • "Nothing will annoy me more than someone who literally just can't say something." (26:13)
• Lifestyle Inflation: Donates to PBS, fire departments, and indulges in DoorDash, Uber, and eating out while owing the IRS and credit card companies. (55:40)
• Justifications: Tries to rationalize spending and lack of payment by "paying it forward," providing for friends/sister, and business needs.

5. Host’s Interventions & Reactions

• Budgeting Advice:
  • "Distribute your profits at the end of the month to you and set 30% aside for taxes." (13:17)
  • Recommends using business and personal checking accounts separately, budgeting, and withholding for taxes.
• Discipline & Accountability:
  • "If you can't afford it, don't do it. Crazy how that works. Have a little bit of discipline. Be an adult." (85:03)
• Calls Out Privilege & Exploitation:
  • Nova exploits rent control meant for lower-income individuals while admitting to frequent luxuries.
  • "What a piece. I'm glad rent's more expensive for 98% of the population in Sacramento, so you six figures can have a rent control department." (70:14)

Notable Quotes & Memorable Moments

• On Evasion & Excuses:

  • Caleb: "You're a miserable existence in front of me right now." (54:15)
  • Caleb: "There’s something wrong with you. And that brings out the worst in me." (60:26)
  • Nova: "My interest rate might be on there, actually. Oh, no. Never mind." (43:51)

• On Spending Outrage:

  • "Seven thousand dollars for a couch. What is wrong with you?" (49:36)
  • "You are broken. What is wrong with you?" (49:36)
  • "You made $19,000 last month and spent almost all of it." (31:34)
  • [After listing Nova's endless Uber, DoorDash, and luxury expenses:]
    • “This is unacceptable and unfair that the rest of us go out there, we pay our shit, and we do all this and she spends all her money on bull while she sits there and refuses to pay on her taxes. It is disgusting.” (82:38)

• On Taxes/Audit:

  • Nova: "They knocked on my door... but I didn’t answer so that they can’t prove I got the letter." (29:30)
  • Caleb: "IRS, please, just come take everything she owns. Honestly, please. Destroy her. Destroy her. Please. She deserves it." (57:17)

• On Personality:

  • Caleb: “You are my least favorite guest on this show. This cannot be. I cannot tell if it is me or you. I really can't." (51:22)
  • Nova: "It's just a little car. It's not a big deal." (75:57)
  • Caleb: “You do not exist anymore... If I have a question, then I will allow you to pull the mic close to your face. You're done.” (79:14)

• On Solutions:

  • Caleb: "Pay off your debt, especially IRS, then get a 12 month emergency fund. Any debt while being a business owner without an emergency fund is so much risk over your head." (68:19)
  • Caleb: "One month emergency fund, then pay off all your debt... You wouldn't have a San Diego fund, you absolute creature." (78:48)

Important Segment Timestamps

• Nova Introduces Herself: 01:47
• Discussing Income and Artistic Success: 03:13–04:48
• Admission of Poor Tax Practice & Audit: 05:46–22:04
• IRS Knock & Wage Garnishment: 25:24–29:42
• $19,608 Month & Spending Justifications: 31:34
• $7,000 Couch Purchase: 49:36–50:03
• Credit Card Debt Deep Dive: 52:41–60:12
• Uber, DoorDash, Subsidized Rent Outrage: 71:08–73:26
• San Diego Move & Budget Discussion: 85:23–88:30
• Financial Plan Finally Acknowledged: 86:10

Tone & Atmosphere

• Host: Sarcastic, combative, exasperated, sometimes harsh, but rooted in a desire to educate and provoke real change.
• Guest: Flippant, evasive, self-deprecating, defensive, uses humor/catchphrases as shields.

Conclusion

The episode lives up to its title, featuring perhaps the most infuriating guest in the show’s history—or at least from the perspective of fiercely responsible personal finance enthusiasts. Nova’s story is an extreme cautionary tale: success in business does not equal success in financial stewardship. Caleb’s relentless grilling, while at times harsh, underscores the systemic and personal consequences of unchecked lifestyle inflation, poor tax compliance, and willful financial ignorance. The message is clear: knowledge without action is meaningless, and no amount of income can outpace bad habits if they’re left unchecked.

For more details, segment-by-segment breakdowns, and further education, visit calebhammer.com or join the Financial Audit YouTube channel for post-shows and resources.