Podcast Summary: Money Guy Show

Episode: How to Master Your Money in 9 Steps

Hosts: Brian Preston and Bo Hanson
Date: September 19, 2025

Episode Overview

In this episode, Brian Preston and Bo Hanson break down their signature "Financial Order of Operations," a practical and sequential nine-step system designed to help listeners make the smartest decisions with every dollar throughout their wealth-building journey. The hosts emphasize that while finance is personal, there are reliable tactics everyone can use, and that true financial confidence comes from simple, consistent habits—not complicated strategies. The show balances analytical advice with the human side of financial planning and encourages listeners to enjoy life at every stage.

Foundations Before the Nine Steps

Ground Rules (01:36)

• Know Your Why:
  "Money is only a tool... You have to figure out how you're actually going to harness the power of this tool to know what makes you happy, what it can and cannot do for you." — Brian Preston [01:55]
• Practice Generosity:
  "Whether you have $1 or $1 million, we want you to be generous all throughout the process... Money only adds an exclamation mark to who you currently are." — Bo Hanson [02:20]
• Bedazzle Your Basic Life:
  Enjoy every decade and don’t become a complete miser for future gains.
  "There's ways that you can still go on vacation without breaking the bank... without really shortchanging your future self." — Brian Preston [02:49]

The Non-Linear Journey (03:33)

• The steps aren't always a straight line. Life can force you to move back and forth between them, and that's okay.

The 9 Steps of the Financial Order of Operations

Step 1: Highest Insurance Deductible Coverage (04:17)

• Main focus: Protect against desperate choices by covering your emergency needs, especially your largest/most expensive insurance deductible.
• Store this emergency amount somewhere liquid (high-yield savings, money market), not buried away.
• "The biggest thing is it keeps you from making those desperate decisions that go be way more expensive..." — Brian Preston [05:44]

Step 2: Claim Your Employer Match (06:30)

• Contribute enough to employer-sponsored retirement accounts (e.g., 401k) to capture the full employer match.
• Employer match = “free money.”
• "It's literally free money. All you got to do is show up." — Bo Hanson [06:39]
• Employer match comes before paying off other debts due to its high “guaranteed” rate of return.
• Understand vesting schedules and plan details.

Step 3: Eliminate High-Interest Debt (09:05)

• Tackle credit cards or any debt with high rates (typically above 10–12%) next.
• It’s impossible to build meaningful wealth while banks are charging you 20%+.
• "You'll never, ever, ever get ahead if you are paying banks high interest debt." — Brian Preston [09:27]
• Use either the debt snowball (smallest balance first) or debt avalanche (highest rate first) method; just start.
• "Whether you do the avalanche or the snowball does not matter so long as you're doing something to begin getting out of this high interest debt." — Bo Hanson [12:08]
• List out all debts and rates, then make a clear paydown plan.

Step 4: Build a Fully Funded Emergency Fund (16:56)

• After high-interest debt, expand your cash reserves to 3–6 months of expenses; potentially more as you near retirement.
• Over 70% of Americans don’t have this, making them vulnerable to financial surprises.
• "Determine what is your actual cash reserve need... Once I've done that, I can check off the box for step four." — Bo Hanson [17:32]

Step 5: Max Out Tax-Free Growth Opportunities (Roth & HSA) (18:15)

• Focus on Roth IRAs/401(k)s and Health Savings Accounts (HSAs) for their tax-free growth.
• These accounts have annual contribution limits and eligibility restrictions.
• "Maximize these unique tax free growth opportunities... I have my own regrets that I did not maximize the Roth every year that it was available to me. Don't have those regrets for yourself." — Brian Preston [21:02]
• HSAs are underutilized—only 13% invest in them, but they're potent stealth wealth tools.

Step 6: Max Out Employer Plans (21:27)

• Once Roth and HSA are filled, bulk up employer-sponsored retirement plans further (401k, 403b, etc.), up to annual limits.
• For 2025: up to $23,500/year in salary deferrals; employer + employee can sometimes exceed $70,000/year.
• Decide on pre-tax (traditiona)l or Roth contributions based on your tax situation.
• "Most millionaires reach seven figure status because of their employer sponsored retirement account." — Bo Hanson [22:09]

Step 7: Hyper-Accumulation (25%+ Savings Rate) (23:42)

• At this stage, aim for saving/investing 25% of your gross income.
• The earlier you hit 25%, the more future financial flexibility you buy, regardless of age.
• "People who are saving 25% and greater... actually shows that you understood that first component of wealth building, which was the discipline component." — Brian Preston [24:01]
• Adjust your rate higher if you have early retirement or unique goals.

Step 8: Prepay Future Expenses (Abundance Goals) (26:32)

• Now allocate for “abundance goals”: travel, nicer lifestyle, college, real estate, large purchases.
• "This is when you get to do the fun stuff... Step eight is perfect because you have the financial foundation underneath you." — Brian Preston [26:32]
• Choose the best accounts/tools for these goals (e.g., 529s for college).
• Reflect on your “why” for each goal.

Step 9: Pay Off Low-Interest Debt (29:10)

• Finally, pay off remaining low-rate debts (mortgages, car loans), if and when doing so fits your risk level and feels right—don’t rush it.
• "There will come an offset standpoint when you actually reach the level of success that you want to maintain the wealth... Let's de-risk, let's even pay off some of these low interest debts." — Brian Preston [29:33]
• Peace of mind matters. Have the ability to be debt-free, even if you choose not to act on it immediately.

Memorable Quotes & Key Takeaways

• "Building wealth is incredibly simple. Now that doesn't necessarily mean that it's easy, but with these tools... we hope that you will feel equipped and empowered that you can actually move towards your great big beautiful tomorrow." — Bo Hanson [33:05]
• "You have to figure out how you're actually going to harness the power of this tool [money]... Spend some time understanding, know your why." — Brian Preston [01:55]
• "This is a bridge to nowhere... You're a billionaire of time." — Brian Preston [10:55]
• "If you can be generous with a little, there's a good chance that you're going to be able to be generous with a lot." — Bo Hanson [02:20]
• "Most folks don't end up saving and investing until they get into their early to mid-30s. If that's you and you're able to save 25%, you are still starting early enough that you're going to give yourself a huge leg up..." — Bo Hanson [24:27]
• "Just as good as being debt free... is having the ability to be debt free." — Bo Hanson [30:12]

Final Thoughts & Closing (32:22–End)

• The Three Stages of Wealth:
  Making wealth → Maintaining wealth → Multiplying wealth.
  The hosts want listeners to thrive in all three phases, emphasizing the importance of aligning resources with personal values and “paying it forward” once you achieve abundance.
• When Life Gets Complicated:
  If your finances reach a complexity level (multiple properties, estate planning, executive compensation), the Money Guy team is available to help “leave the front porch light on for you” as your outsourced CFO.

Key Timestamps

• 01:36 – Ground Rules/Foundation for Wealth Building
• 04:17 – Step 1: Highest Insurance Deductible Coverage
• 06:30 – Step 2: Employer Match
• 09:05 – Step 3: High-Interest Debt
• 16:56 – Step 4: Emergency Fund
• 18:15 – Step 5: Roth IRA and HSA (Tax-Free Growth)
• 21:27 – Step 6: Maxing Out Employer Plans
• 23:42 – Step 7: Hyper-Accumulation (25% Savings)
• 26:32 – Step 8: Abundance Goals/Prepay Future Expenses
• 29:10 – Step 9: Low-Interest Debt Payoff
• 32:22 – The Three Stages of Wealth & What Comes Next

Useful Resource:
The nine-step Financial Order of Operations and age-specific savings guides are available free at moneyguy.com/resources.

Tone:
Upbeat, encouraging, and pragmatic—equal parts coach and friendly accountability partner, with a focus on actionable steps while never losing sight of the “why” that drives financial decisions.