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Jill Schlesinger
Growing up, money was a topic of conversation in my household, but for many it is taboo, and in those households it often leaves people overwhelmed by finances when they become adults. But money stories can change, and one way to change them is to use Monarch. Monarch gives you the ultimate clarity by tracking all of your accounts, investments and savings goals in one place, completely lifting that heavy mental load off of your shoulders. Unlike other apps that only show you what you've already spent, Monarch actually helps you plan for the future. You'll love using their AI assistant to ask specific questions like can I afford this vacation without touching my savings? Plus, the AI weekly recap automatically flags spending spikes and net worth shifts before they become an issue. Monarch can truly simplify your finances and empower you to hit your goals with total confidence. Write your own money story with Monarch Use Code Jill onmoney@monarch.com To get your first year of Monarch Core Half off at just $50, that's 50% off your first year at monarch.com with code JILLONMONEY it's amazing how much can change from one summer to the next. Last year, maybe your family was just
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Mark
keeping up with daily routines.
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Jill Schlesinger
This year, perhaps a big graduation or a wedding or even a baby, and looking ahead to next summer, your life will look completely different. Those major milestones are exciting and they also make you think about the future. Maybe you're wondering, how is your family going to be prot if the unexpected were to occur. To address those needs, head to policygenius so that you can have peace of mind to stay in the moment and enjoy these sweet summer memories. Policygenius is an online insurance marketplace that lets you compare quotes from America's top insurers side by side for free.
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Mark
It's simple to get life insurance checked
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Jill Schlesinger
off your to do list in minutes. Their licensed team handles the paperwork, answers your questions, and helps you find your most affordable policy with zero guesswork. With Policygenius your you can find 20 year life insurance policy starting at just $276 a year for $1 million in coverage. Head to policygenius.com to compare life insurance quotes from top companies and see how much you could save. That's policygenius.com.
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Mark
Welcome to the Jill on Money show. It's Thursday, July 23rd and we are here trying to help you make big better financial decisions. Sometimes they're less bad, but one thing that is crystal clear to me is that you guys are very hyper focused on retirement. I get it. It's a big thing and even though you have a Lot of other things that are probably going on in your lives that becomes like a hyper focus of where you want to go and you want to make sure you're on the right track. Right. Sometimes we get a little hate mail from. From folks who are like, oh, everyone here is in such great shape. But, you know, we're all in different places. And so much of this depends on your own situation. I think that the ability to retire, the confidence you might have in that has so much to do with whether or not you've actually run the numbers. And I think that's why so many of you come on the program with us. So if this is something that is still bugging you, even if you work with a financial advisor, even if you are working with somebody who has helped you, look at this, maybe you want another set of ears and eyes on your situation. Both Mark and I are certified financial planners. And if you want some of our help or guidance, or maybe you want us to try to boost you up, give us a Holler. Go to jillonmoney.com, click the contact us button, and write us a note. If you'd like to join us live, you can check the box and Mark will do everything else. By the way, while you're on the website, of course, you should be checking out all of our content that lives there. We do have another show which is called Money Moves, and that sister broadcast is also a video program. So you can check that out on YouTube. You can go to the Jill on Money page. We have a Money Moves channel. If you click on it, you'll get to the Money Moves page and you'll subscribe. And we'll get a lot of credit from our corporate overlords. It'll be great if you would just want to listen to the audio. You can get the audio of Money Moves. Wherever you get this audio, wherever you're getting the feed for this show, just make sure you subscribe to Money Moves as well. Okay, so we're talking about retirement because I recently came across this retirement confidence survey, which is often a little bit. You know, it can be a little unnerving for folks. Every year, the Employee Benefit Research Institute does try to take a survey of people, like, how are you feeling about retirement if you're not, if you're still working or if you're already retired? Like, how are you feeling? And so one of the things that we thought we might do is kind of share with you how these results have played out. And what we can do is we're going to air a segment that I did on television on CBS Mornings about retirement confidence. And then Mark and I are going to come right back so we can talk a little bit about what happened during that segment and, of course, the results of this survey. So, Mark, let's check out CBS mornings. It's retirement confidence. And the anchors are Nate Burleson, Adriana Diaz and Vladimir Dutier.
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CBS Mornings Anchor
Americans say they are not feeling too confident about having enough money to live comfortably when they stop working. So that's where we bring in CBS News business analyst Jill Schlesinger. She's going to break it all down, give you some tips on what you can do today to prepare for tomorrow.
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MaintainX Advertiser
All right.
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CBS Mornings Anchor
So we know how people are feeling about retirement, but there's also some new data about savings. What can you tell us about that?
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Jill Schlesinger
Incredible. Actually, Fidelity released their report about saving for retirement, and maybe because we're kind of all a little freaked out about saving for retirement, we're saving more. And in fact, contribution levels have gone up pretty dramatically to new highs as of the first quarter of the year. We see it across the board, all different income levels, all different age groups. And it's been pretty remarkable. I just want to point out one statistic that really stuck out to me. Contributions surged 29% from a year ago. And when you look at your contribution plus your employer match, if you have one, we now see at fidelity at least a 4 14.4% contribution level. You know, boring CFPs like me, we always say, like, hope to get to 15%. This is pretty close. So it's very good news about the saving out there.
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CBS Mornings Anchor
How should people who are different ages think about retirement?
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Jill Schlesinger
I want to I'm going to start with closest going down age range.
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CBS Mornings Anchor
Okay.
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Jill Schlesinger
Okay. So you're a baby boomer. You're still working. The first thing you should do is make sure you understand the Social Security system. No, it's not going.
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Mark
Baby boomers don't be working.
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Jill Schlesinger
Yeah, they can work. A lot of them are still working because they have to or they Want to check SSA.gov be familiar with that. Yeah, go down a group now. Okay, so you're now a boomer. You're now going to Gen X. Now you should be really maxing out. You should be trying really hard to get as much money as you possibly can. This is your peak earning period. You want to try to get that $24,500 into the plan. And by the way, it's $8,000 extra if you happen to be over the age of 50. If you're still working from 60 to 63. You can put a total of almost 36 grand into your retirement accounts. Going down from there. I know millennials and Gen Z, you've got a lot of stuff going on. Get into the habit. Start early, a little bit at a time is what's going to get you there. Consistency. You don't have to outguess the market. There is a lot going on for us millennials, it's true. But if people are crunching the numbers and they're not looking good, what advice do you have for them? All right, first of all, crunching the numbers is really important. So if you have a plan at work, you can do it. There's, if you fall short, there's a few things to consider. Control what you can control, manage what you can't. So what can you control when you retire? How much you spend. Now you might say, I have a really hard job. I am not going to be able to work till I'm 68 years old. Maybe you're, you know, you could be a blue collar worker and be like, I'm not standing on my feet. You can see the people here standing in this room. You're not standing on your feet till you're 68, 70 years old. So what can you do? Maybe what you can do is you can say, I'm going to adjust my spending. Maybe what you could do is save a little more. But most importantly, what you could do
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Mark
is try to find an off ramp,
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Jill Schlesinger
something where you can make a little less money but work longer. That is a great plan.
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Mark
So, Mark, I think the most interesting part of what we're talking about and these couple of surveys, it's almost like a tale of two types of savers. It's the people who are like, I'm so worried, I'm anxious. Prices are high. I'm concerned that I'm not going to be able to afford, afford my retirement. And then on the other end, it's basically the folks, I think a lot of whom listen to this program, who are saving a lot of money. We know from Fidelity, as we said during the segment, that the amount of money people are saving has really gone up. It's almost the have and the have not. So much of it does depend on whether people actually have access to a retirement plan. And I think that so often we kind of take that for granted. But if you're in the kind of job where you don't have a retirement plan, it's really, really hard. Do the results surprise you at all? Mark?
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No, I think like you just said, this country, when it comes to retirement is very much the haves and the have nots. I mean, our audience obviously is pretty much the haves and they're on top of it and they kind of obsess over this stuff and they, you know, they all tend to be on the right track and in good shape. But, you know, that's really not reality for what's going on across the country.
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And I mean, listen, I always think it's funny when we talk about like the retirement plan limit and so many of you are able to do it, but it's a real number, Mark. And I always laugh when the numbers come out. And when you think about $24,500 that you can save in a workplace plan, an extra eight grand if you're over 50, an extra 11,250 if you're 60, 61, 62, 63 this year. That's a lot of money.
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Most people can't do that.
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No. Someone has asked me, you know, well, my kid is Gen Z. I always have to look up the generations, by the way. So gen Z is 1997 to 2012. Like, what do I tell them? I said, just start, just start. If you don't have a plan through work, encourage your kid to open a Roth IRA. By the way, Fidelity said Gen Z increased their IRA contributions. You ready for this? By 65% year over year. Millennials, 31%. So I actually think that this is a generation. These two generations are very much attuned to what they need to do. I don't know if they all can do it, but I think that that's something that they're hyper focused on for sure. One of the things that we often will hear about is that, you know, well, I wanna put money away. I wanna put money away, but immediately I'm gonna claim Social Security at 62. Because better than anyone else. For anyone who has that opinion, go listen to our episode with Heather Schreiber from last week. I think she kind of puts that to bed, frankly, as an idea. I think the biggest question that we are fielding is that if you go through these calculations and you see that the numbers don't work, what are the options you have? You only have so many variables, right? You can save more money today, you could work longer or you can spend less. But I think we are finding more and more the kinds of people who are saying, I can't work how I am working right now. Mark. I think the amount of burnout that we have been seeing is kind of astounding, don't you?
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It's real, for sure.
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It is real.
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Something we take for granted.
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Oh, yeah, absolutely. And I think that there are people, either they have horrible commutes or they are like, I, I'm doing so much more than I did previously. It's not like AI is replacing me. It's like, until AI replaces you, we're going to have you work a ton more. And that's happening a lot. So maybe, maybe part of the issue here is that you're listening to this and you're like, yeah, yeah, yeah, that's me. And I'd love to hear from people like that because I think these are the folks who really need to find the off ramp some way to slow down and work less without screeching to a dead halt. You'll be able to. You're like, I want to reach my goals, but I don't want to do it with so much stress. So if you're, you know, we often will hear from people. They're like, I'm making 250, 300 grand a year. Well, what happens if you work? If you keep working longer but you make less, maybe you can get there and be happier on the way. I think the real issue is that too many people are just sort of like plugging through. Plugging through and not even picking their heads up and thinking, like, how can I do it differently? So if you want to find that off ramp and you want us to help you do some of that work up front, get in touch with us. Go to jillonmoney.com I know that there are trade offs in this process. Of course there are. But maybe that payoff is really so great because you have the security of knowing that you have some options and you then have the ability to get where you want to go. But don't feel like you're going crazy on the way. So, Jill, on money.com click the contact us button. Write us a note if you would like to join us live on the program. Just check the box and Mark will do everything else. Hey, don't forget to sign up for the free weekly newsletter comes out Fridays that entitles you to our blog as well. And of course subscribe to this show and our sister broadcast Money Moves. Wherever you get your podcast, maybe on the Odyssey app or Spotify or Apple, wherever. I don't really care where. And if you are a YouTuber, just go to YouTube so you can subscribe to the Money Moves channel. It's right there for you. Okay, gang, put your hands, metaphorically on someone's back. Someone needs a nice hug, will ya? Change your work, Change your wealth, Change your life. Thanks for listening. We'll talk to you tomorrow.
- [14:17]
MaintainX Advertiser
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- [15:14]
Mark
I'm launching a new show. It's called Money Moves. And your money is going to move, move. We're going to help you make better financial decisions. We're going to call out the B.S. you're finding all over social media. We're going to give you actionable guidance to make your financial life clearer, less stressful. We're going to answer your financial questions and take the mystery out of your financial life.
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Jill Schlesinger
Follow and listen to Money Moves with Jill Schlesinger.
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Mark
Wherever you get your podcasts.