Rich Habits Podcast – Episode Summary

Episode: OpenAI's $100B Deal w/ AMD, 2026 Tax Brackets, & Rising Foreclosures
Date: October 10, 2025
Hosts: Austin Hankwitz ("C") & Robert Croak ("B")

Overview

This episode of the Rich Habits Podcast—now introducing its Friday "Rich Habits Radar" format—dives into the week’s most impactful financial news stories that affect your money. Austin and Robert explore OpenAI's game-changing $100B deal with AMD, a spike in U.S. foreclosures, 2026 federal tax bracket inflation adjustments, and a rapid-fire rundown on teen spending trends and hot sectors (crypto, gold, rare earth mining). The Q&A tackles entrepreneurship, ethical influencer marketing, and structuring small business partner buyouts.

Key Discussion Points & Insights

1. OpenAI’s $100B Multi-Year Deal with AMD (01:37–05:44)

• The News:

  • OpenAI and AMD have inked a multi-year agreement, potentially generating over $100B in revenue for AMD and allowing OpenAI to acquire up to 10% of AMD’s stock.
  • AMD’s stock price has surged 51% on the news; both hosts have been long AMD, buying in below $100/share earlier this year.

• Deal Structure:

  • OpenAI receives warrants to buy up to 160 million shares at $0.01 each, vested upon hitting specific milestones—first, initial chip shipment; second, AMD stock hitting $600/share (currently 2.5–3x its present value).
  • (C, 03:24): "I think that's super bullish...they baked in stock price going up to 600 as part of this deal."

• Industry Impact:

  • This is seen as a major validation for AMD and a significant counterweight to Nvidia’s dominance in AI chips.
  • The partnership also supplies OpenAI leverage in negotiations, supply redundancy, and fosters a robust GPU supply chain.
  • (B, 05:27): “The AI infrastructure play now is even more attractive. More centers equals more money generated for these infrastructure names like Broadcom, Marvell Technology, Arista, and even one of our big call outs, Constellation Energy Group.”

2. Rising U.S. Foreclosures & Housing Market Dynamics (05:44–08:51)

• Foreclosure Spike:

  • Q3 2025: Foreclosures up 17% y/y; bank repossessions skyrocket by 33%.
  • 101,513 U.S. properties had foreclosure filings this quarter.
  • (C, 05:44): “Bank repossessions have skyrocketed by 33%. Unreal.”

• Market Context:

  • Mortgage rates are elevated (~6.5% for 30-year fixed); home prices are at a median of $431,000.
  • 75% of adults report housing cost stress (AP-NORC poll).
  • Hosts frame this as a possible buyers’ opportunity despite rates, as waiting for much lower rates could lead to intense bidding wars when that time comes.

• Rent vs. Buy:

  • Renting is currently cheaper than buying, especially considering opportunity cost of a down payment versus market returns.
  • (C, 08:04): “Having all that money tied up in a down payment for it only to go up on average 2% versus the markets now 20%...you really got to weigh out those options.”

3. 2026 Tax Bracket Adjustments & What They Mean (08:51–12:06)

• Inflation Adjustments:

  • Most significant adjustment benefits those in the lowest tax brackets (4% inflation adjustment on lowest brackets; 2.3% on highest).
  • Overall bracket adjustment: 2.7% (slightly below inflation of 2.8%).

• Key Changes:

  • Married filing jointly can earn nearly $4,000 more and still remain in the 12% bracket.
  • Standard deduction rises to $16,100 for individuals and $32,200 for joint filers.
  • 0% capital gains for couples earning up to $98,900.
  • Federal estate tax exclusion now $15M (up from $13.99M).

• Takeaways:

  • (B, 11:37): “The biggest takeaway for me and everyone listening is to not forget that 0% capital gains...Knowing the tax code can really help you save thousands per year.”

4. Rapid-Fire Headlines (12:06–20:36)

Austin’s Picks (12:06–15:51)

• Piper Sandler’s Teen Survey:

  • Top restaurant: Chick-fil-A; favorite app: TikTok (46%); top clothing: Nike; Mr. Beast tops as favorite influencer.
  • Amazon is #1 for shopping; On Running overtakes Hoka in footwear.
  • (C, 13:34): "It really shows you it's hard to beat the incumbents...Nike is still the leader."

• Netflix Adds TV Video Gaming:

  • Netflix extends video games to televisions; launches games for kids, parties, mainstream hits, and franchise-based content.

• Government Shutdown Outlook:

  • Kalshi predicts shutdown lasting 26 days (40% odds it stretches past 30 days). (C, 14:41): “Over the long term, government shutdowns are nothing burgers for the stock market.”

Robert’s Picks (15:51–20:36)

• Crypto ETFs Boom:

  • ETF doubling, bullish outlook—Bitcoin could hit $200-250K.

• Gold Breaks $4,000/oz:

  • All-time highs signal market uncertainty and value for diversification (3-5% in precious metals).

• Rare Earth & Critical Mining Stocks Surge:

  • Government support and new investments (e.g., Lithium Americas Corp. up 180%) drive sector growth, reflecting strategic infrastructure needs.

5. Q&A: Entrepreneurship and Small Business

a. When to Quit for Entrepreneurship (20:36–27:26)

• Austin’s Journey:

  • Built business revenue to 6–7x his day job before quitting.
  • Maintained 3–6 months’ expenses saved, plus clear view of after-tax income and expenses.
  • (C, 23:45): “I always encourage people to be making at least two times more with their business...before you want to make that leap.”

• Robert’s Story:

  • Attempted to phase out of day job, but quit abruptly; lived off emergency fund, worked two full-time jobs.
  • (B, 24:21): "I've never punched a clock or worked for anyone again."

• Advice:

  • Sacrifice early, save vigorously, and understand the risk.

b. Influencer Marketing Ethics & Tactics (27:26–30:50)

• Question: Managing brand alignment amidst aggressive promotions.
• Advice:
  • Shift focus to smaller "micro-influencers" for better engagement and authenticity; always verify engagement and avoid bots.
  • Contracts and affiliate links recommended.
  • (B, 27:47): "What works for us now is micro influencers...she was making $15-20,000 per month off our affiliate program because she had such high engagement."
  • (C, 29:19): “Highly, highly recommend just spending an extra 20–40 hours doing some deep research...there are plenty out there that absolutely are not a brand risk.”

c. Structuring a Small Business Partner Buyout (31:14–35:11)

• Question: How to fairly value and structure a buyout with limited documentation.
• Advice:
  • Keep it simple if on good terms; use a reasonable profit or revenue multiple, consider seller financing or SBA loan.
  • (B, 31:57): "Don’t over complicate it, especially if you’re on good terms."
  • Adjust valuation down to account for partner’s likely client and productivity losses post-exit; consider an earn-out to incentivize a smooth transition.
  • (C, 33:13): “Value this business now on what you think the profits or revenue...will be next year now that this partner is gone.”

Notable Quotes & Memorable Moments

• "I think that’s super bullish...they baked in stock price going up to 600 as part of this deal." — Austin, 03:24
• "Bank repossessions have skyrocketed by 33%. Unreal." — Austin, 05:44
• "I still believe this is a buyer's market, and in the long term the numbers will work in your favor by being a buyer of real estate now..." — Robert, 06:43
• "Knowing the tax code can really help you save thousands per year." — Robert, 11:41
• "I always encourage people to be making at least two times more with their business...before you make that leap." — Austin, 23:45
• "What works for us now is micro influencers..." — Robert, 27:47

Timestamps for Important Segments

• OpenAI & AMD Deal: 01:37–05:44
• Foreclosure Spike: 05:44–08:51
• 2026 Tax Brackets: 08:51–12:06
• Rapid-Fire Headlines: 12:06–20:36
  • Piper Sandler Teen Survey: 12:17–13:34
  • Netflix Gaming: 13:37–14:16
  • Government Shutdown: 14:21–15:50
  • Crypto ETFs/Gold/Rare Earth: 15:51–20:36
• Q&A Section: 20:36–35:11
  • Entrepreneurship Transition: 20:36–27:26
  • Influencer Marketing: 27:26–30:50
  • Small Business Buyout: 31:14–35:11

Final Notes

This episode serves investors and entrepreneurs alike by contextualizing big financial headlines, offering personal and practical advice, and focusing on actionable habits. The tone remains conversational, straight-talking, and focused on helping listeners keep—and grow—more of their money.