Money Guy Show: “How 595,000 People Reached MILLIONAIRE Status (And How You Can Too)”

Hosts: Brian Preston & Bo Hanson
Date: October 22, 2025

Overview

This episode focuses on the surge in American millionaires, specifically highlighting how 595,000 new millionaires were created through one accessible strategy: maximizing the 401(k) retirement account. Brian and Bo dig into Fidelity’s latest data to explore why the 401(k) is still the unsung hero of wealth building, break down foundational principles for financial independence, and answer nuanced listener questions on topics from Roth conversions to effective charitable giving. Their conversational style is both encouraging and practical, reinforcing that the path to wealth is accessible with discipline, time, and the right strategies.

Key Discussion Points & Insights

The Power of the 401(k): Road to a Million (00:44–11:21)

• Fidelity Data Highlight (01:27)

  • 595,000 individuals have reached millionaire status in their 401(k) accounts, up 16% from last quarter.
  • “Once you know it, that’s 595,000 individuals out of 24.6 million 401k participants...that’s about 2.4%.” – Bo Hanson [01:27]

• Why the 401(k) Works (02:35–04:26)

  • Debunks common social media skepticism about 401(k)s being outdated or less effective than crypto or whole life insurance.
  • Three ingredients of wealth:
    1. Discipline: Automates saving, hard to quit.
    2. Money: Employer matches are “free money.”
    3. Time: Compound growth accelerates over decades.
  • “All you have to do is select a number. I want to put in 5%, 10%, whatever that number is. And then you are off to the races without having to think about it…” – Brian Preston [03:35]

• Automatic Enrollment & Policy Changes (04:26–05:47)

  • Recent legislation encourages employers to auto-enroll workers, watering “the garden of opportunity.”
  • “If you look at the data...the government is encouraging employers to create automatic enrollment...the next generation is going to be rewarded for it.” – Bo Hanson [04:26]

• Get the Free Money (06:36–07:54)

  • Employer matches are vital; not maximizing means “literally leaving money on the table.”
  • “It’s a social media crime when I see people trashing...it’s only 3%. Only 3%?...That’s $1,500 if you make $50k. Every one of you.” – Bo Hanson [06:36]

• Order of Financial Operations (08:07)

  • Their nine-step “Financial Order of Operations”: after basic security, step two is never to miss employer 401(k) match.

• 401(k)s as Forced Savings (08:38–11:21)

  • 401(k)s and home equity are the most common sources of American wealth because they enforce “stick-with-it-ness.”
  • “There’s something magical about this whole compounding growth thing.” – Bo Hanson [09:36]
  • “For a 20-year-old, a dollar can turn into $88 if you can give it time.” – Brian Preston [09:36]

Listener Q&A Highlights

Roth IRA Contribution Limits (15:21)

• Can you contribute $7,000.49 to a Roth since the IRS rounds?
  • “Just because you can do something doesn’t mean you should… Stick to $7,000.” – Brian Preston [15:37]
  • Most custodians automatically enforce annual limits.

401(k) Contributions with Multiple Employers (18:00)

• Max salary deferral is across all employers: $23,500 (2025). Employer contributions can be higher but are subject to separate limits.
  • “Employers can do multiple sources…But with a 457 plan, you can double dip salary deferrals. That’s a major hack.” – Brian Preston [19:04 / 20:23]

Counting Credit Card Rewards as Savings (20:59)

• No—you shouldn’t count cash-back as “savings.”
  • “Saving is saving and consuming is consuming…credit card rebates are gravy, not savings.” – Brian Preston [22:13]
  • “Don’t get busy doing nothing—it’s just not worth it.” – Bo Hanson [22:56]

Investment Property Equity (26:02)

• Should you leverage built-up equity in low-mortgage investment properties?
  • Generally not, as re-leveraging at higher rates adds risk.
  • “You are now going likely further out on the risk spectrum...I don’t think that makes a ton of sense.” – Brian Preston [26:02]
  • Use properties for steady cashflow or as part of a broader diversified retirement plan.

Financial Advice Before Marriage (38:19)

• Key: Open communication about money, debt, accounts, and life goals.
  • “It’s amazing when one is a saver and the other is a spender—it creates a lot of friction.” – Bo Hanson [38:38]
  • “Secrets kill marriages…you want to have open conversations about what you have going on.” – Brian Preston [41:41]

Roth Conversions and Pension Income (44:09)

• Roth conversions aren’t always optimal—consider taxes, liquidity, and estate plans.
  • “It has to be a very deliberate calculation to make sure you’re taking advantage of the lowest tax rates possible.” – Bo Hanson [46:17]
  • “Retirement is not just a 4% rule. Roth conversions are nuanced and have huge implications.” – Brian Preston [50:02]

Donor-Advised Funds & Charitable Giving (58:00)

• Donor-advised funds work best when you have appreciated investments or want to bunch deductions. No minimum wealth level, but impact increases with complexity and assets.
  • “If you have appreciated holdings and you’re charitably inclined…you can start giving these appreciated holdings.” – Bo Hanson [58:21]
  • “Donor-advised funds are great for bunching, for tax efficiency, and for simplifying giving to multiple charities.” – Brian Preston [61:57]

Notable Quotes & Memorable Moments

• “The system’s not stacked against you, it’s stacked for you if you just take a little bit today and build your great big beautiful tomorrow.” – Bo Hanson [10:53]
• “Building wealth is surprisingly simple—not easy, but simple.” – Bo Hanson [04:26]
• “Compound interest really can be the 8th wonder of the world.” – Brian Preston [09:36]
• Goosebump moment on auto-enrollment: “Is this like watering the garden of opportunity or what?” – Bo Hanson [04:26]
• Memorable digression: The team discovered they were all wearing matching Money Guy shirts by accident, leading to jokes about boy bands and sitcom entrances. [12:11–13:56]
• Health as Wealth: Brian opened up about fitness and lifestyle changes post-50: “I've kicked up the cardio side. I’m walking in the morning, walking in the evening…” [33:01–35:59]

Timestamps for Important Segments

• Fidelity millionaire data: 00:44–02:03
• Key ingredients to millionaire wealth-building: 02:35–04:26
• Automatic enrollment & policy: 04:26–05:47
• Maximizing the employer match: 06:36–08:07
• 401(k) forced discipline & time: 08:38–11:21
• Listener Roth IRA question: 15:21–16:48
• Multiple job 401(k) contributions: 18:00–20:23
• Credit card rewards & savings debate: 20:59–22:56
• Investment property equity and risk: 26:02–31:46
• Financial advice before marriage: 38:19–42:41
• Roth conversions & retirement planning: 44:09–54:56
• Charitable giving funds/Donor-advised funds: 58:00–62:54

Summary & Takeaways

The 401(k) remains America’s most reliable millionaire-making tool—and success comes down to discipline, taking employer matches, and giving your investments time to compound. The hosts encourage listeners to automate as much as possible, avoid financial shortcuts, and keep things simple but intentional.

Listener Q&A unraveled deep topics from charitable giving strategies and Roth conversion pitfalls to the realities of marital finance conversations and maximizing benefits at multiple jobs. Detailed answers reflected decades of experience, illustrating why “personal finance is personal”—there’s rarely a one-size-fits-all answer, but systematic planning is universally helpful.

Memorable moments included jokes about matching outfits, reflections on health and longevity, and candid advice for new couples and new millionaires alike. The episode’s tone is upbeat, pragmatic, and thoroughly rooted in real-world experience.

Key advice for aspiring millionaires:

• Embrace automation—especially for retirement accounts
• Maximize all available employer contributions
• Start early and let compounding work for you
• Make giving (and its tax benefits) part of your long-term plan
• Communicate openly about money in relationships
• Seek personalized advice when faced with complexity
• Remember: “Your great big beautiful tomorrow starts with a little action today.”

For more resources, calculators, and guides, visit MoneyGuy.com.