← So Money with Farnoosh Torabi
So Money with Farnoosh Torabi
1866: Ask Farnoosh: Marriage & Money, Childcare Savings, Recession Advice, FAFSA Eligibility
00:30:37
Loading summary
Transcript1 lines
- [00:02]
A
Looking for a high yield savings account or car insurance? I've curated my go to financial tools all in one place@somoneylinks.com these are the resources I trust, presented in partnership with Money magazine. So Money Links is no overwhelm, no fluff, just solid vetted options to help you save more and stress less. So moneylinks.com check it out. If you love to travel, Capital One has a rewards credit card that's perfect for you. With the Capital One Venture X card, you earn unlimited double miles on everything you buy. Plus you get premium benefits at a collection of luxury hotels when you book on Capital One Travel. And with Venture X you get access to over 1,000 airport lounges worldwide. Open up a world of travel possibilities with a Capital One Venture X card. What's in your terms? Apply. Lounge access is subject to change. See capitalone.com for details. Thanks for selling your car to Carvana. Here's your check. Whoa, when did I get here? What do you mean? I swear it was just moments ago that I accepted a great offer from Carvana online. I must have time traveled to the future. It was just moments ago. We do same day pickup. Here's your check for that great offer. It is the future. It's. It's the present. And just the convenience of Carvana. Sorry to blow your mind. It's all good. Happens all the time. So sell your car the convenient way to Carvana. Pickup times may vary and fees may apply. Lately I've been turning to Quint for just about everything. Clothes for me, pieces for my kids, even stuff for the house. If you don't know Quince yet, they make high quality, timeless wardrobe staples like cashmere sweaters, linen sets, silk tops and denim for a fraction of what you'd pay elsewhere. And with this late summer heat wave, I just picked up some new linen tops and bottoms because I was running out of good stuff. Everything from Quince fits beautifully and feels amazing light, breathable and effortlessly polished. I also grabbed a few new bathing suits for my daughter, who's growing faster than I can keep up. The quality is just as good, if not better, than more expensive brands. And that's the beauty of Quint. They work directly with top factories, cut out the middlemen and pass the savings to us. Most pieces cost half as much as similar luxury items, and they're made with premium fabrics in safe, ethical factories. Elevate your fall wardrobe essentials with quince. Go to quince.com sewmoney for free shipping on your order and 365 day returns. That's Q-U-I-N C E.com somoney quince.com somoney so money episode 1866 ask Farnoosh. You're listening to so Money with award winning money guru Farnoosh Kharabi. Each day get a 30 minute dose of financial inspiration from the world's top business minds, authors, influencers and from Farnoosh yourself, looking for ways to save on gas or double your double coupons. Sorry, you're in the wrong place. Seeking profound ways to live a richer, happier life. Welcome to SO money. Welcome to so Money, everybody. I'm Farnoosh tarabi. It's Friday, August 15th, and this week we're tackling some really big questions from our audience, including how to prepare for a possible recession when the dollar is losing value, how to juggle a mortgage and child care costs, which is like a second mortgage, without losing your mind or your financial footing comes from someone in the audience. And what about if your teenagers got a new part time job, which we love and support, Would that by any chance reduce their eligibility for federal college aid? We'll also dive into some of the week's biggest money headlines from proposed tariff rebate checks to a housing market reset. And what is the tooth fairy offering these days? Is she tightening her budget? Is she more generous? And why is she she. I don't know. What's the gender of the tooth fairy? Who cares? But first, a quick story from my week that I think is important. Share. It kind of ties into our whole theme here on the show of the importance of financial independence and transparency. So on Monday, I joined the Today show today with Jenna and friends to talk about how to finance proof your relationship. They reached out to me last week and said, hey, we've come across this study that finds that more couples are fighting about money. Can you come on and offer us some advice on how to, you know, just ease the waters in your relationship around money? And I said, sure. You don't say no to the Today show. You just don't. So in case you're wondering why people are fighting more about money, I mean, it's no surprise, right? The cost of living is still pretty high. Interest rates are elevated, and I think more importantly, job security feels very shaky in some industries. And so that financial stress that we're feeling at work and just, you know, in the headlines is spilling into our relationships where money is usually a difficult topic to begin with. And then you add to it this sort of additional layer of uncertainty that's in the world and in the markets. So I didn't share this on the Today show because we didn't have enough time. But I think since we have time now on the podcast, I'll preface my advice with some storytelling, which is that when I was about to move in with my now husband Tim, we were engaged. Or we were. We were not engaged yet. We were. It was, you know, all those steps you take on the way to matrimony. But we were about to move in together and we had been dating a couple of years, maybe a few years. At that point, we knew we had to have a money talk. I mean, he being with me, obviously, like, why hadn't we done this sooner? Well, the truth is, I mean, we've had. We had had up until that point a lot of time to observe and, you know, pick up on things. And I think that you can do this in your own relationship without having a money. You can start to observe how your partner talks about money, doesn't talk about money, how they address their bills, how they even tip. You know, that can be a huge indication of things like generosity and just their whole kind of sensibility around money, how they spend, how they save, how they may treat you or not treat you. All that is information that you're gathering in those early days, early months of dating. But at some point, it's important to just kind of like sit down and have a talk. And our first talk was really about exchanging information that was important. Things like salary, debt levels, savings, retirement, and any other extras that are hanging out there that are important to know when you're moving in with someone and you're sharing in some expenses. You are also looking to have this be a step into the next big step, which could be engagement, marriage, all of that. It's important to know, and it may sound obvious to figure these things out, but a lot of couples, married couples, don't even know, couldn't tell you what their partner earns, couldn't tell you how much of the student loan balance remains on their partner's books. And so really important, especially like your credit score if you're going to be applying for any loans together or mortgage, etc. So we knew we had to have this talk and we did this in a bar. And that is my big tip. One big tip is when you have a money conversation, do it in a place that is neutral ground, can be relaxing. This was actually the bar at a restaurant where we had had our first date and we ordered a round of margaritas. We pulled out a Piece of paper. Each of us wrote down our key financial stats. Annual income, bank balances, outstanding loans, credit card balances, approximate credit score. We knew going into this meeting what we needed to gather. So we were prepared when the lists were done, we swapped papers at the same time. No awkward, like you go first, I go second. This way we both had all the facts right away, what we found interesting. Maybe you'll be surprised by this. I actually, you know, there were pros and cons and I wasn't, you might think I was like, definitely ahead of him financially in terms of, you know, what I. My profile, let's just say. But I definitely had a lower credit score than him at the time because I was still reeling from a misstep with one of my credit cards. I had taken out this Banana Republic store card in my early 20s and I think I was late once paying the statement. I paid it the next day, the day after the dead last due date, and it fell on my credit report. And you know, for years I had to. It was a talking point when I was applying for a mortgage and the lender was like, what's this? I will say though, that I had more in my retirement savings, but we, we got it all out there. It wasn't the most romantic thing we'd ever done, but it was one of the smartest. And that was a meeting that set the tone for how we would discuss money and handle money later, which is to say we deal with money openly, respectfully, and we have a shared plan and we also have financial autonomy. Now, getting into the advice I was giving on the Today show, if you want to avoid money arguments with your partner, there are a few things that people do that couples do that are patterns that I see in the most successful couples. And one is transparency. About, like I just mentioned, salaries, debts, financial obligations and ongoing transparency. And I've talked about how we use this app called Empower. I don't get paid by Empower to tell you about Empower. I just kind of fell upon it. They are a massive financial institution, but they do have this free app that I use and Tim uses. And we pull our accounts to this dashboard from where we can see all of our, in real time balances for our savings accounts, our retirement accounts, our credit card balances. And then it gathers your net worth at the. And you can include things like your homes equity, your car values, any. Any other valuable things you might have that in the event you had to liquidate or just want to tally up your actual net worth. It's Fun to do it. And it's something we both have access to. So if I'm ever wondering, like, how much is in our joint account or what is Tim's actual bi monthly paycheck, I forget I can go in there and just see. Saves us from having a conversation. And I think it just makes us feel equally empowered and on the same footing. Couples who have successful financial relationships also understand each other's money histories and their habits, how they grew up around money, how their parents related to money, talked to them, or didn't about money. All of this is important context. It's not to excuse bad behavior in your financial relationship, but it's, it's, it's insightful, let me tell you. And it might really, at the end of the day, it might just give us all a little bit more empathy and patience with our partners, which can go a very long way when it comes to our money dealings. And then back to what I was saying about autonomy. You know, often people will ask me, how should we divvy up our finances in terms of bank accounts? And I say, well, this strategy can only work if there is transparency. So establishing transparency first is important and some sort of healthy way to dialogue around money. Then, if you're looking at bank accounts, I do think that having a shared account to some extent is helpful to help pay for common shared expenses that you're both contributing to. Then each of you having your own individual bank accounts, your own individual credit cards, so that you all have access to money and access to credit for, in good times and bad, hopefully only in good times. But why this is important for many reasons. One, everybody wants to feel independent in a relationship on so many levels, including on a financial level. Two, many couples are getting married later in life, as in not in their early twenties. By maybe early thirties. In some cities, the average age of marriage is like mid-30s. I would assume that by that point you have established some financial habits and rituals and a mindset even around money, that, that isn't locked in, but it's, it's, it's a piece of you. And I think it's important to honor that even when you're in a relationship. And now you have to come up with shared values and goals to retain a sense of your own financial identity is. Is important. And I think it can be in some ways solved by having your own financial buckets. And so your account, my account, our account, three buckets is what we do. It's what I often recommend. And nothing against couples that just have all in one account. But I think you probably have to work a little bit harder is my guess to figure out how to work around your personal expenses. If you want to go and get a fancy dress or he wants to go and buy a pair of whatever, sneakers, I don't know, go out with friends, buy gifts, spend money on your hobbies that you know can obviously come from the shared pool of money, but it can get a little bit more strenuous when you don't have a bound around that. Like with your personal account, I would Recommend Taking about 10% of your shared income and putting it in each person's individual bucket every month. You know, we always say it's important to save 10% of your paycheck for yourself. I've always said this when you're single and I think also when you're married, it should continue. Why stop doing that? You can watch me on the Today show. I'll put that link in our show notes. But I went through some other important aspects of keeping the peace in your financial life with your partner. I talk about how non earning spouses, the caregivers in the households can continue to have financial independence and to be financially protected in retirement. And also just day to day. All right, we're going to transition now to some headlines, things you might have missed while you've been enjoying your summer this week. There's a lot happening in the economy and in the job market right now. And these are all stories that I cherry picked that I thought would impact us, our wallets, our homes, even our kids, piggy banks. All right, so I teased the tooth fairy. I'm gonna get to her in a second or him again, I don't know. First of all, there's a story in money magazine, moneymagazine.com they're writing about how we might be seeing tariff rebates in our future. Cash back in our pockets thanks to all the tens of billions of dollars every month that the government is collecting from tariffs. And so now there talk in Washington about giving a bit of that money back to you and I. On Monday, Senator Josh Hawley of Montana, a Republican, introduced a proposal to send $600 tariff rebate checks to taxpayers. Sort of like that second round of COVID 19 stimulus payments that we some of us got in December of 2020. And President Trump has signaled that he's open to the idea. Traditionally, tariffs are meant to protect US Industries, not fund citizen rebates. With tariff revenue surging under Trump's trade measures, some Republicans see a rebate as an opportunity to help households manage those higher costs that are going to be caused or have been already caused by the tariffs and the tariff threats, inflation, I don't know how we're going to keep that at bay. So will a rebate offset those higher consumer prices? Probably not. Supporters call it a tangible return, though, on trade policy, and if passed, it could inject billions into households nationwide and it would ignite probably a debate on whether tariffs are worth it. Are they a sustainable revenue source or just a political tool? I mean, I'm not going to be against giving consumers 600 bucks each that, by the way. So if you have like four people in your family, I think this could be as much as $2,400 per household, not chump change. This is a, you know, significant and it could really help, especially depending on when it hits, like if it would hit around the holidays or the summertime when expenses go up. Next story, also from Moneyma magazine. The housing market, if you haven't noticed, is resetting and it's giving buyers more power. So after years of relentless bidding wars, home buyers are regaining leverage in some parts of the country. Pandemic boom towns like Austin, Texas, which saw prices Soar more than 30% in 2021, are now seeing medium prices down about 6% year over year. So if you've been sidelined, this fall may offer an opening. But keep in mind that mortgage rates are still elevated and the Fed may drop rates in September. But mortgage rates tend to mirror the 10 year Treasury. It's not going to be like the Fed lowers rates and then mortgage rates drop. It's usually the savings rates that we see drop first and the credit card rates that we may see drop first. So it's not clear what would happen as far as affordability in the fall. But if it gives you any hope, hope that prices are coming down, if you've given up, I'm just saying maybe now's a time to just, you know, start looking again if it's important to you to be a homeowner. All right, another story here that I thought was important about the impact of AI on the job market, which we know already. I mean, AI is upending a lot of entry level jobs. Many college students are having a difficult time finding work right now. But this story in the Wall Street Journal about how it is sparking the return in person job interview I thought was really interesting how AI has ironically brought more in person interviews into the fold. Companies like Cisco, McKinsey and Google are adding face to face rounds to combat cheating in virtual Interviews where they say some candidates have used AI to answer technical questions, or in rare cases, impersonators have interviewed in their place. Whoa. So job seekers now need to prepare not just for online interviews, but also for showing up in person and be a good communicator, be professional, be authentic, have authentic skills. Wow. I guess I like this. Thanks, fraudsters and cheaters for making what should always be an essential part of an interview process back in the fold. It's true. AI I mean, the thing I. There are many things that worry me about AI and I'm also very hopeful about AI But I think what is concerning as far as jobs and work and productivity and our brains is that if you use AI too much for simple things and problem solving, like, your brain just atrophies. And I, I feel like I need to just, like with social media, put boundaries, like, create my own constitution for, like, how I, how and why and when I use AI because there's no regulation, right? Everyone's just using it and in some cases, abusing it. Last story here about the tooth fairy tightening her budget. That's right. USA Today says the tooth fairy is making cutbacks. There was a poll done by Delta Dental, an annual poll that shows the average payout per tooth fell 14% this year to just a little over five bucks, which I still think is good. Like, if a kid's getting five bucks a tooth, that's. I don't know. I feel like that definitely has surpassed inflation when I was getting like 25 cents in, in the 80s. Fewer kids are getting extra gifts alongside the cash. Wait, they're gifts? And the drop is one of. Our tooth fairy is very stingy, I guess. And the drop is one of the steepest in the poll's 27 year history. So is this a red flag for a potential recession? I don't know, but experts say it mirrors real household budget pressures. Parents, however, still see the tradition as a chance to teach kids about money, even if the going rate is lower. How does this teach you about money? Losing your tooth? What is the effort there? There's pain, but I don't really understand how the tooth fairy. I'm going to look into this. How did the tooth fairy even come into existence? What is. Why did we do this? Why are we celebrating losing a tooth in this way? Interesting, right? I'm not saying it's bad. I'm just. It's starting to make me think more. A friend of mine recently asked for advice on hosting guests on Airbnb while she's away on an extended work trip. She lives in this charming, light filled space in the city and I told her it's perfect for Airbnb, but like a lot of people, she was worried about how to actually manage it from a distance. That's when I told her about Airbnb's co host network. A co host can handle the daily logistics like guest check ins, questions, even things like stocking up on essentials so the host doesn't have to be in two places at once. Whether you're away for a few weeks or have a second property year round that you can host on Airbnb, a co host makes it doable and way less stressful. See how easy it can be to start hosting with a little help? Find a co host@airbnb.com host. You know that feeling when it's midnight and your brain just won't shut off the to do list, Tomorrow's meetings, the million things on your plate. That's me most nights until I tried Bolen Branch My husband and I both tend to overheat at night, especially during these warm summer months. But since switching to Bolan Branch's per kale sheets, our sleep has totally transformed. They're light, crisp and incredibly breathable. Honestly, it feels like slipping into a perfectly made hotel bed every night. What I love most is how they're made and 100% organic cotton, no toxins and crafted by artisans who are paid fairly. And they come with a 30 night worry free guarantee so you can really feel the difference. I noticed it the first night how soft and cool the sheets felt and with every wash they just keep getting better. Feel the difference an extraordinary night's sleep can make. With Bolen Branch, get 15% off plus free shipping on your first set of sheets@bolenbranch.com somoney that's Bolen Branch B O L L a n d branch.com somoney to save 15% and unlock free shipping exclusions apply. Would you rather sit through a zoom call that could have been an email or or shop for car insurance? Both painful, but only one has Jerry to fix it. Jerry simplifies the entire car insurance shopping process, start to finish. Just answer a few easy questions once and Jerry compares quotes from over 5050 top rated insurers side by side. No endless forms, no jumping from site to site. And this is the key. No sales calls. I've used Jerry to compare rates against my current policy and wow, the time saved alone is worth it. They even help cancel your old policy for you. Switching couldn't be easier. Stop needlessly overpaying for car insurance. Drivers who save with Jerry save on average $110 a month. That's more than $1,300 a year. So before you renew your policy, do yourself a favor. Download the Jerry app or head to Jerry AI so money. In just a few minutes, you can compare quotes and coverages side by side from up to 50 top insurers. Jerry Car Insurance made simple. And finally, on your side, based on drivers who switched and saved with Jerry over the past 12 months, over 20% of drivers who switch with Jerry found a monthly premium of $87 or less. Not all drivers find savings. Lately, I've been turning to Quince for just about everything. Clothes for me, pieces for my kids, even stuff for the house. If you don't know Quince yet, they make high quality, timeless wardrobe staples like cashmere sweaters, linen sets, silk tops and denim for a fraction of what you'd pay elsewhere. And with this late summer heat wave, I just picked up some new linen tops and bottoms because I was running out of the good stuff. Everything from Quince fits beautifully and feels amazing, light, breathable and effortlessly polished. I also grabbed a few new bathing suits for my daughter, who's growing faster than I can keep up. The quality is just as good, if not better, than more expensive brands. And that's the beauty of Quint. They work directly with top factories, cut out the middlemen and pass the savings to us. Most pieces cost half as much as similar luxury items, and they're made with premium fabrics and safe, ethical factories. Elevate your fall wardrobe essentials with quince. Go to quince.com sewmoney for free shipping on your order and 365 day returns. That's Q-U-I-N-C-E.com somoney quince.com all right, let's transition to the mailbag. These are questions that we got this week on Instagram. Actually all on Instagram. I went on Instagram and I just said, ask me your questions for Friday and you delivered. And a lot of them tied together with by this theme of preparing for and adopting to the financial realities we're facing right now, whether it's the broader economy, uncertainty, your personal budget getting cinched, or your child's future. First question here on Instagram about how to prepare for a recession when the dollar is dropping in value. So the dollar is dropping in value. Did we know this? That's basically another way of saying we have inflation. The value of the US dollar against other currencies as well dropped about 11% the first half of this year. That's the biggest decline in more than 50 years. That's not good, especially for those of us planning overseas travel. But even here in the States, the dollar does not go as far as it used to. Grocery prices are up 25% and that's has been happening since the pandemic. It's just kind of the new normal now. Shrinkflation. We were talking about that on my other podcast, the Montclair Pod, this week about how we're going out to eat even in restaurants. And we're noticing that the plates are getting smaller, the portion sizes are minimal, more minimal than they used to be, but prices are the same in some cases more so. Yeah. How do you prepare for a recession? Essentially when your dollar isn't going very far, you know you have to save. You know you still need to buy essentials. So step one, I would say is to just focus on your safety net. I know that the dollar is not as strong right now. It's not going as far. But what's more concerning to me is that the job market is very shaky, depending of course on your industry. But I would say rather than focusing obsessing about the weakening dollar or inflation, focus on your ability to save money because you might lose your job or your hours may get cut back. So three to six months worth of essential expenses in a, ideally a high yield savings account where your cash is earning a little bit more interest. That's going to help to not override inflation, but at least try to keep pace with inflation. Next, look at your investments. Make sure you're diversified. As always, but especially right now, it's important to have a mix of all sorts of assets in your portfolio, from equities to bonds, even a little bit of cash. All my retirement portfolios have a little bit of cash in them as well. That's not cash that I can pull out before retirement, but it's just there to kind of create a little bit more of a padding and some security in the event of a real tumble in the market. Some people like to add treasury inflation protected securities into their portfolio tips, which you can buy, which it's. They do exactly what they say they protect against inflation. These are Treasuries that are a hedge against inflation. Some people like to add gold to the mix. You could buy a gold etf. This is also a good time to reduce any financial vulnerabilities you may have, like high interest credit card debt, try to negotiate lower interest rates. Wherever possible, avoid taking on new large financial commitments unless they're absolutely essential. Like, do you really need to take out a giant car loan right now? And if you can, think about creating additional income streams, yeah, side hustle, freelance work, rental income, anything to help offset the risk of a job loss, but also to accelerate income so that you have more money to spend to save to invest. The individual dollar isn't worth as much, but you'll have more of them to be able to ride out some of the high cost of living right now. Next question, how to juggle a mortgage along with your childcare costs. Our friend in the audience is paying for daycare and has a mortgage and just isn't sure how to have this be sustainable. So. So you may have heard me talk about the importance of looking at childcare as an investment. If you had student loan debt and a mortgage, would you have this same sort of mindset about, oh, gosh, the student loans are like a second mortgage? Maybe you do think that, but you pay it. And you may not write a letter into me to ask about how to manage. I think that it's important to find childcare that works for your family that is affordable, which is a lot of easier said than done. But when I hear daycare, I get very nervous for families because not only the price of daycare, but because your kid is walking into a place where they're with other kids getting sick. I have so many friends who had children in daycare and, you know, especially around the wintertime fall, they're home once a week, twice a week with a cold. You can't send your kid to daycare with a fever. Obviously you shouldn't. Or even in some cases, they're more strict, like the kid can't come if they have a cough or they have a runny nose. And so it's important to know this before you sign up for daycare. If your job is not flexible, how are you going to work around that? And sometimes that's a bigger cost than the cost of daycare. It's the cost of taking your kid out of that daycare to find maybe alternative childcare. Or you have to spend, stop working to address this. It might be more affordable and more manageable to bring in a individual caregiver into your home, maybe sharing that caregiver with another family. And so you're doing a nanny share a childcare share. Maybe some parts of the week they host at your house, other parts of the week it's at the other family's house. But I Think these kinds of creative arrangements can not only save on costs, but also again, make it so that your child is not as exposed to germs and other things. And if they are not feeling well, your caregiver might still be able to come home, wear a mask and help you out. And then outside of that idea, there's also other kinds of childcare co ops that are run by organizations. You can try to maybe adjust your work schedule so you and your partner can share more of the care duties. Like maybe one of you can work from home on a Friday. You can't obviously provide childcare and work at the same time. But having that flexibility can maybe mean that you don't have to put your kid in childcare for as many hours during the day and it's just temporary. I always say, like this is a real hard period where you are fronting a lot of bills, big bills. If you have a mortgage, that's one bill. Maybe you have student loans, maybe you have childcare. These are huge, huge expenses. But they're not forever, especially childcare. So look forward to that, plan around that. And I would say once that childcare cost goes away, maybe your child is in free plan pre K or now in public school to pretend that that expense still exists. And now think, where can I put this? Where else can I put this money more strategically? Is it to, you know, catch up on my retirement savings? Is it to fuel my rainy day savings? Is it to pay down those student loans? Your, your financial life will open up sooner than later. And this is an investment again because child care allows you and your partner to continue working, to continue earning and that sets the stage for more earnings promotions in the future. All right, another question about kids, but this one is about a teenager's part time job and how that may affect their college federal aid eligibility. First of all, I love that your teenager is working part time. I was telling a friend the other day that for me, when I was growing up, my parents emphasized grades over working in a job, that you have to make sure your academics are spotless, that if you want to have a job, that's fine, but if it starts to, you know, weigh in on your studies, it's over. And I'm a little more flex on this. I think it's actually more important for young people to learn what it's like to be accountable on a job at work, have a boss, make money and to balance that with academics. But if it means getting a B instead of an A, but you got a B plus and you Got really great work experience. I'm in the B plus camp. I'm like in you know what? And that's so not immigrant daughter of me, but it may be I will change my mind. But that's how I feel like right now. I think that especially with where AI is taking all the jobs, like we need kids who can think critically, you know, it's not just about like knowing how to take a test all the time. You got to get out there and roll up your sleeves. So that being said, the good news is that the FAFSA Application for Federal Student Aid has a built in student Income Protection allowance. So for this current academic year, dependent students can earn about $7,600 before it starts to impact their aid eligibility. If they Earn above that, 50% of the excess amount is factored into their expected family contribution. In practice, though, most part time jobs for high school students, you're not making that much money to cross that threshold. And remember, work experience, as I mentioned, has benefits far beyond the paycheck. You're learning time management, you're learning responsibility, accountability, and financial independence. One thing I will note though, assets in your child's name, like a certain savings account, can have a bigger impact on aid than wages. So if your teen is earning and saving significant amounts, you may want to keep those funds in a parental account, which is assessed at a lower rate in the FAFSA formula. All right, that's our show for this Friday. Whether you're bracing for this potential recession, I don't know, technically we're not in one yet. Or you're balancing major expenses or you're planning for your kids future. I hope this show was helpful to you. And before I go, a very quick reminder, applications for my mentorship program are closing this Sunday. We are nearly full. We have room for maybe one or two more clients, people who are out there wanting to learn how to build a personal brand, how to strike deals like I have over the last 20 years, how to get on major national television, how to start a podcast, all the things. Maybe you want to start a thought leadership platform around some sort of expertise and you don't know what you don't know. Come work with me for four months starting at September in a very small, intimate group. Group. We go in all the places, I introduce you to people and I become your biggest champion for four months. And honestly, forever, because I'm still talking to a lot of my clients. We text, we talk. If you want to learn how to grow and monetize and create all the things go to FarnouchBTS.com BTS.com to learn about the program and apply if you're interested in thanks so much for tuning in everybody. Happy Friday. Happy Summer Friday. I'll see you back here on Monday. And I hope your weekend is so Money Banking with Capital One helps you keep more money in your wallet with no fees or minimums on checking account and no overdraft fees. Just ask the Capital One Bank Guy. It's pretty much all he talks about in a good way. He'd also tell you that this podcast is his favorite podcast too. Ah, really? Thanks Capital One Bank Guy. What's in your wallet? Terms apply see capitalone.com bank capital1na member FDIC a dog's love Letter to His Squeaky Avocado Dearest Squeaky Avocado, my heart yearns to chew thee. Alas, I've devoured a small action figure and have taken ill, unable to partake in our jubilant squeakings. Worry not, as I am on the mend and Lemonade pet insurance covered 90% of the veterinarian's cost. I recommend all the cats and dogs of the land. Get a'@lemonade.com pet soon my tummy will be unburdened and we shall frolic once more. Yours, Jerry.