Ask KT & Suze Anything: Should I Tell My Friend I Think She Spends Too Much Money?

Summary

Podcast Summary: Suze Orman's Women & Money (And Everyone Smart Enough To Listen) Episode: Ask KT & Suze Anything: Should I Tell My Friend I Think She Spends Too Much Money? Release Date: July 31, 2025

In this insightful and engaging episode of Suze Orman's Women & Money, host Suze Orman and co-host KT delve into a series of listener questions, offering expert financial advice tailored to individual circumstances. The episode, titled "Ask KT & Suze Anything: Should I Tell My Friend I Think She Spends Too Much Money?", covers a range of financial dilemmas, from family inheritances to managing debt and planning for children's futures. Below is a detailed summary of the key discussions, insights, and conclusions drawn during the episode.

---

1. Inheriting a Family Home: Stacy’s Dilemma

[02:40]
Listener: Stacy shares her situation of being one of four sisters, three of whom are married with their own homes. After moving back in to care for their 88-year-old mother, Stacy faces the prospect of inheriting their mother's home.

Discussion:
Stacy is torn between accepting her mother's generous offer to inherit the home and the fear that her sisters might perceive this as unfair, potentially causing familial discord after their mother's passing.

Suze's Advice:
Suze emphasizes the importance of open communication and legal clarity. She advises Stacy to:

• Gather the Family: "Bring the family together now while mom is still here. Discuss the arrangement openly."
• Legal Documentation: "Have everything in writing to prevent disputes in the future."
• Professional Guidance: "Consider working with an attorney to ensure the agreement is legally sound."

Notable Quote:
Suze Orman [04:27]: "You might even want to work with an attorney on this, just to make sure that it's 100% legal, clear, and nobody can dispute it later on."

---

2. Understanding Required Minimum Distributions (RMDs): Andrea’s Confusion

[06:49]
Listener: Andrea is confused about managing her first RMD from her 403(b) account with Lincoln Financial, which insists on mailing the distribution check despite her request for electronic transfer.

Discussion:
Andrea seeks clarity on whether there's a difference between requesting a standard distribution and an RMD, given the conflicting instructions from her financial institution.

Suze's Explanation:
Suze clarifies the distinction:

• RMD Specifics: "RMDs are calculated based on your age and the account value at the end of the previous year, making them more complex than standard distributions."
• Independent Action: "You may need to accept the mailed check, but ensure the account's security by considering options like certified mail or a post office box."

Notable Quote:
Suze Orman [07:45]: "There is a difference because your RMDs are going to change all the time every year. It's based on your age and the account value."

---

3. Confronting a Friend’s Excessive Spending: Rosa’s Concern

[09:00]
Listener: Rosa is distressed about her friend’s reckless spending and mounting debt, fearing her friend might deplete her resources, leaving nothing for future care.

Discussion:
Rosa wonders if it's appropriate to address her friend's financial behavior or if she should remain silent to avoid conflict.

Suze's Approach:
Suze advocates for compassionate confrontation:

• Expressing Concern: "Have an honest conversation. For example, 'Are you okay? I'm worried about you.'"
• Relating Personally: "Share your own fears about financial security to avoid sounding accusatory."
• Role-Playing: "Prepare for possible reactions and plan how to steer the conversation towards constructive solutions."

Notable Quote:
Suze Orman [10:27]: "You absolutely would sit down with your friend, have a cup of coffee and say, listen, are you okay? You're spending an awful lot of money and I'm worried about you."

---

4. Managing Credit Card Debt Amid Divorce: Kristin’s Challenge

[14:41]
Listener: Kristin, a special education teacher undergoing a divorce, has $18,000 in credit card debt. She recently learned she will inherit $4,000 from her late mother’s estate and seeks advice on using this money to stabilize her finances.

Discussion:
Kristin is unsure whether to use the inheritance to pay off her debt and how to handle the credit card liabilities during her divorce proceedings.

Suze's Strategy:
Suze advises:

• Protecting Credit: "Ensure that the credit card debt is addressed in the divorce settlement to determine responsibility."
• Legal Action: "Stop former spouse from accessing the credit card by contacting the issuer and potentially transferring the balance."
• Smart Allocation: "Use the inheritance to manage debt strategically while keeping funds separate until the divorce is finalized."

Notable Quote:
Suze Orman [16:29]: "You need to make the credit card debt part of the divorce settlement. Just that simple."

---

5. The Importance of Trusts for Non-Parents: Joan’s Inquiry

[18:21]
Listener: Joan asks why her sister should consider setting up a trust if she doesn’t have children, despite having other legal documents in place.

Discussion:
Joan’s sister owns property jointly with her husband, but Suze explains scenarios where trusts provide critical protections beyond basic documentation.

Suze's Insight:
Suze outlines the benefits of trusts:

• Incapacity Planning: "Trusts allow for immediate control if one becomes incapacitated, unlike joint ownership or simple power of attorney."
• Avoiding Probate: "Ensures assets are managed according to the trust’s terms without lengthy probate court processes."
• Flexibility: "Allows naming trusted individuals or professionals to manage affairs seamlessly in unforeseen circumstances."

Notable Quote:
Suze Orman [19:00]: "When you own something in trust, you have the right immediately if the trust has an incapacity clause, which the must-have documents do."

---

6. Timing the Purchase of a Used Car: Laura’s Decision

[21:44]
Listener: Laura, a retired teacher, is contemplating whether to buy a low-mileage used car now or wait to avoid rising costs due to tariffs and market fluctuations.

Discussion:
Laura seeks Suze's perspective on the optimal timing for her purchase given economic uncertainties affecting car prices.

Suze's Recommendation:
Suze agrees that current market conditions may favor purchasing sooner:

• Market Trends: "Used car prices have surged but may continue to rise as manufacturing costs increase."
• Opportunity Window: "Act now to secure a better deal before potential price hikes."

Notable Quote:
Suze Orman [22:54]: "So maybe the answer is yes, do it now."

---

7. Securing Children’s Financial Futures: Cynthia’s Planning

[23:01]
Listener: Cynthia, soon to be 39, and her wife aim to create separate financial accounts for their young children to ensure their futures are secure without imposing tax burdens.

Discussion:
Cynthia explores options between high-yield savings accounts and brokerage accounts, considering tax implications and long-term benefits.

Suze's Guidance:
Suze provides a nuanced approach:

• Ownership Considerations: "Establish Uniform Gift to Minors Act (UGMA) or trust accounts to manage funds responsibly."
• Tax Implications: "Be aware that gifts in the child's name can impact financial aid eligibility and may trigger tax responsibilities upon distribution."
• Strategic Gifting: "Use strategies like spreading gifts over time or utilizing 529 plans for educational purposes to maximize benefits and minimize drawbacks."

Notable Quote:
Suze Orman [23:59]: "If you don't want to saddle them with a tax nightmare, you might as well saddle yourself with one. Put away an account in your name specifically for them."

---

Episode Conclusion and Teasers

As the episode wraps up, Suze and KT tease upcoming content, including a focus on student loans in the next episode titled "the big beautiful bill." They also share a personal anecdote about an exciting event planned for September, adding a touch of personal connection to their professional advice.

Final Advice:
Suze reinforces the foundational principle of financial well-being:

"Always remember: people first, then money, then things."
[28:19]

---

This episode of Women & Money offers listeners practical solutions to complex financial issues, underscored by Suze Orman's decades of expertise. Whether dealing with inheritance concerns, managing debt during life transitions, or planning for future generations, Suze and KT provide thoughtful, actionable advice aimed at fostering financial security and harmonious relationships.

---

Notable Advertisements and Disclaimers: Throughout the podcast, Suze promotes financial products such as the Ultimate Opportunity Savings Account at Alliant Credit Union, emphasizing the importance of emergency savings. The episode concludes with a standard disclaimer clarifying that Suze Orman Media does not provide personalized financial advice and recommends consulting professional advisors for individual circumstances.

Remember: Financial decisions are deeply personal and should be made considering your unique situation. Always seek professional guidance when necessary.

Transcript

[Susie Orman]

Hi, everybody. Suzio here. Now, what is the goal of money? The goal of money is for you to be secure. And there is no better way for you to be secure than having an emergency savings account. It is essential for your financial foundation. So all of you should be participating in the ultimate opportunity savings account at Alliant Credit Union. Go to myalliant.com to find out more. And be secure.

[Unknown]

We are strong we are wise we will not apologize we are here we will thrive Together we will rise we're the little bit of faith and everything it takes we are strong we are wise Together we will rise we will.

[Susie Orman]

Will rise July 31st. Can you believe it? July 31st. That means tomorrow is what lobster season opens.

[KT]

Lobster. Lobster season.

[Susie Orman]

August 1, right in the Bahamas here. But there is one more thing that is for everywhere in the United States and that's as of today, that Susie's special rate for the 12 month certificate at Alliant Credit Union has gone away. Didn't I tell you that rates were going to go down? So the new rate for the 12 month certificate is 4.0% APY. 4.05% APY for amounts of $75,000 or more. But go to myalliant.com and check it out. Out. But anyway, July 31, 2025. Welcome everybody to the what Katie Ask.

[KT]

KT and Susie Anything podcast.

[Susie Orman]

Since when I want to know, did KT in this announcement start coming?

[KT]

Because I'm the one that actually runs this podcast on Thursdays. Susie, school is all yours.

[Susie Orman]

You run it right into the ground. What are you talking about?

[KT]

This is. I produce this Thursday podcast. I pick the questions I them. I decide which ones are better than others. It's my podcast on Thursday. KT Ask KT and Susie anything. And KT will ask Susie, which we said.

[Susie Orman]

All right. Sorry I even brought this up. Kt, what do you have for us?

[KT]

Okay, my first question is really great. It's from Stacy and it's a dilemma that she's in and I'm curious to see what your answer will be. She said, hi, Susie, I. I need your help with what to do. I am one out of four girls in our family. My sisters are all married and have their own homes. In 2022, I moved back home with mom in the house I grew up in. She is 88 and my sisters felt it best for mom that I lived there since I'm not married and I have more flexibility to help mom. We cook, we clean, we garden together. I appreciate every day the Lord gives Me with my mom. She's relatively healthy, but at times her memory gets the best of her. And then this is the part that she needs your help. Mom shared with my siblings of her wish to leave her home to me. I'm 60 years old, divorced, and I do not own any properties. I shared with mom that I'd like to accept her generous offer and would like to fix up the cabin now and bring all the family together. But I feel reluctant to invest money in fixing it up for fear one of my sisters feels it's unfair that mom wants to give it to me and may cause a problem later. Later? She means after Mom's gone. Is it unfair for me to accept from Mom? Should I offer them some money so there isn't an uncomfortable wedge between us?

[Susie Orman]

So, Stacy, listen. Right now you're spinning. KT knows what that means. Every once in a while, what do I do with you?

[KT]

Stop spinning, kt. Stop spinning. Stop spinning.

[Susie Orman]

Because I bring up a topic about something that may happen, and KT goes on.

[KT]

I elaborate. What if, what if, what if, what if, what if?

[Susie Orman]

Right? And it's not what if. We don't care about what if. We care about what is. What is the truth. So rather than investing money so you can bring all the family together, you need to bring the family together now. You need to ask everybody how they feel now, but not just in words. If everybody agrees with, yes, they want you to have the home, yes, you can have the home under whatever conditions it is that it's established, you should do a contract where they all put it in writing, because it's one thing to say, stays, it's okay, not a big deal. And then five years later, something happens to mom, and one of the sisters have fallen on hard times, and now she doesn't feel that same way. And probably the trust says all of you are to get it. So I think what's really important is that you really commit everything to writing. You find out how the sisters feel about it now, and don't be upset if one of them doesn't want that to happen. Because, you know, you may think they're all doing okay, but you never know what's really going on behind closed doors. All right, Just so you know. So bring them all together while mom is still here. Discuss it. Ask them if you could buy them out, whatever it may be. Maybe, you know, you just have to think about that. So maybe mom does a quick claim deed to you that you wait till mom actually dies to then file. So it's just important that you get this, all right? And you might even want to work with an attorney on this, believe it or not, just to make sure that it's 100% legal, clear, and nobody can dispute it later on. Next question, kt.

[KT]

Okay, next question is from Andrea.

[Susie Orman]

Was that hard?

[KT]

Kt.

[Susie Orman]

You had a little pause there.

[KT]

Dear Susie. And of course she said dear Susie. And of course kt.

[Susie Orman]

Of course, of course kt.

[KT]

We know it's your podcast because this.

[Susie Orman]

Podcast on Thursdays would not exist without KT.

[KT]

I have a 403 with Lincoln Financial and I took my first RMD this year. Lincoln will only send a check through the mail. I feel the mail's unreliable, so I called Lincoln, find out if they could electronically send me the money to my bank account and they said no, they can't. So I called the person I deal with at the university. He spoke to the account manager at Lincoln, who then directed him to send me a form that is titled requesting a distribution. On the form, it clearly says, do not use this form for automatic RMD withdrawals. I called Lincoln to question them about the form and I'm told not to use the form for RMDs and the account manager says to use it. Susie, is there a difference between requesting a distribution versus an RMD?

[Susie Orman]

There is, because remember, your RMDs are going to change all the time every year. And so normally when you just request a distribution, it's like send me X amount of money every single month. That's easy. But with an RMD, it's based on, number one, your age and the account value at December 31st of the year prior to you taking your RMDs. It becomes very complicated. So they are figuring it as time goes on. So that's just how they need to do it. Now you might want to call Lincoln and say you are more than happy to pay for them to fed exit to you or when they mail it to you, make it certified mail. But I think you're fine the way it is. You know, it's just if you live in a neighborhood where you're afraid that people are going to steal your mail or anything, get a post office box or something that somebody can't break into. But yeah, there is a difference.

[KT]

Just so you know, Susie, next question is to help or not to help. Don't do it. Don't do it.

[Susie Orman]

Don't help. Don't help. Don't help. If you even have to ask the question, don't do it.

[KT]

To help or not.

[Susie Orman]

Next question.

[KT]

Hello ladies. Is it appropriate to speak with a longtime friend about my concerns that she is spending too much money and racking up debt. And then, just to clarify, she said, no, it's not me, because a lot of people ask a question about their friend and it's really them, but this isn't. This is really her friend. She said she's in a tremendous amount of debt and is spending money like crazy. She seems to be thinking of ways to spend more. She told me her only child doesn't want her house, things or money, so she is going for it. I don't think she has emergency savings, and I believe her home equity is maxed out by mortgages. She does have two lifetime income streams, but I think she's living paycheck to paycheck on those. I'm worried she'll exhaust her resources and have nothing for her care if she needs it. According to my friend, her daughter is indifferent to her spending, likely because the daughter knows she won't inherit mom's debt. Obviously, there's a larger story to all of this, but the simple, short question is, is it taboo to broach the subject, or should I just keep quiet and let it go? So that's the question. Rosa is asking an important question. Do you want to know what I would do?

[Susie Orman]

You know I do.

[KT]

Okay. I absolutely would sit down with my friend, have a cup of coffee and say, listen, are you okay? You're spending an awful lot of money and I'm worried about you. You're my friend and I love you, and I want you to be secure forever. What's up with all this spending.

[Susie Orman]

And. All right, let's role play.

[KT]

Okay?

[Susie Orman]

All right. Thank you. Thanks so much. I'm so appreciative that you care about me, but I'm fine. You don't need to worry about me. Now, where do you go? Because that's exactly what this woman's going to say to her.

[KT]

If your income streams stop. Are you okay? Do you have an emergency?

[Susie Orman]

They're not going to stop because they're like pensions and social life. Lifetime, and they're not going to stop. Where do you go from there?

[KT]

All right, that if something. If something devastating were to happen to you and you need, like, really serious care, do you have enough money for.

[Susie Orman]

Nothing's going to happen to me. I'm going to be fine forever. I'm asking you.

[KT]

Nothing. Oh, come on. Don't say that. We're friends. And remember what Susie Orman always says, the what ifs of life. Do you really have enough money? Yeah.

[Susie Orman]

So I think, Rosa, what you really need to take into consideration and maybe role play it with yourself because you know your friend, you know her, what she is going to say. So somewhere you have to have something that you say back that isn't just a comeback, but it's to get her to go back to her senses, because she's obviously not in her senses right now. So maybe you start by you telling her that you're worried about yourself, that maybe you're worried, you know, I don't know what's going to happen if I end up in a nursing home. I'm not sure I'm going to have enough money to pay for it. Like, I'm starting to look at all the expenses, and I'm even worried about myself, so to speak. Now, I don't know if you are or not, but you might be, but you have to relate it to yourself and not just sit down and put it all on her. Now, what?

[KT]

Don't be judgmental, in other words.

[Susie Orman]

But what gets me is, which is why I'm having trouble answering this question, is you say, obviously there is a larger story to all of this. And unless I know what the larger story is, there is absolutely no way that I could give you 100% the correct answer as to how I feel about it, because there is a missing piece. But the mere fact that this is just a simple, short question according to you, but there's a larger story, you better take that larger story into consideration. What are you guessing?

[KT]

I can guess.

[Susie Orman]

What is it?

[KT]

There's a little signal in there. What? You can guess. She says, I'm going for it. That sounds like revenge spending.

[Susie Orman]

Yeah, maybe.

[KT]

Doesn't it? Come on, you have to admit, I'm going for it.

[Susie Orman]

So if in fact she's going for it because of either a divorce or whatever it's like, then what you have to do, Rosa, is say, who do you think you're hurting by spending all your money? You think you're hurting this person? You're being an idiot. And, you know, just be straight with them, but take it very carefully. All right, Go on.

[KT]

Okay, next is from Kristin. Hello, Susie. I'm a special education teacher. I'm in the process of getting a divorce. I have two teenage children, 11th and 9th grade. I have credit card debt of $18,000, which I thought my soon to be ex was paying while. While we were married. The credit card. I know the credit card is in my name, but it was used for family expenses and trips. My mom passed away last year and I just found out I will receive $4,000 from her estate. I want to use the money wisely, begin to get my life financially back on track. Please advise on what I should do.

[Susie Orman]

See, this is a hard one, because she wants to probably close the credit card. But you can't close a credit card when you still owe money on it.

[KT]

Can she stop him from.

[Susie Orman]

So I would, if I were you, if the credit card is just in your name, you probably made him an authorized user on that card. You need to talk to that credit card company. And if I were you, I would ask them to either stop his being able to use it, number one, I'm not sure he's still using it. Right. But to just make sure that his name is off of it and. Or just transfer it to another credit card. Meaning either do a credit card balance transfer to just your name without him even knowing you've done that just to protect his use of it. However, this is your responsibility. He is your soon to be ex. Now, I don't know how you are going to get divorced or not, but when you go to divorce court, maybe he can be responsible for a lot of that credit card debt. Just so you know. So don't just give up on it whatsoever. You're in the process of getting a divorce. That credit card debt needs to be part of the divorce settlement. Just that simple. For now, believe it or not, I would just keep that $4,000 in an individual account in your name, making interest, and just wait until your divorce is final to make decisions. What you do with that money, that's what I would be doing.

[KT]

Okay, that's good advice because this is a hard one.

[Susie Orman]

But I would keep that credit card debt there and make it part of the divorce.

[KT]

I mean, it'd be great if they were both 50, 50 responsible. That would cut it right in half.

[Susie Orman]

Yeah, right.

[KT]

And then the 4,000 against her half would even make it manageable. Very manageable.

[Susie Orman]

Yeah, but even though it's just in her name. So they may say, hey, wait a minute, but if it was used for family expenses and trips and she can prove it, they may make it half his as well.

[KT]

She thought he was paying it off.

[Susie Orman]

So what are you crazy?

[KT]

She should have known that it wasn't paid off. Open the mail, everybody, like I do. All right, next question from Joan. Hi, Susie. You're the best. I tell her that all the time. Joan, I have your ultimate. I tell her all the time. I have your retirement guide in audio. Oh, there's too many things that make you the best. One day I'll list it. I'll list all the best.

[Susie Orman]

Tell me one.

[KT]

Your happiness and joy number is my number one. You're, you're a happy and joyful person. You're not a depressed person. You're very happy and you're very positive and you always, always. She has a great amount of faith. Everybody always believe that whatever happens, God does, but for, for a reason. So you're very happy. That's my, one of my number ones. I was just curious.

[Susie Orman]

God.

[KT]

And she always says to me every morning, hi KT. Like it's the first time she met me, 25 years later, every morning, hi KT.

[Susie Orman]

When I wake up longer than KT.

[KT]

Have you noticed she sleeps in a little bit? Everybody, that's a sign of you know what? All right, so this is true.

[Susie Orman]

That means I sleep into like 6:30 versus 5 o'. Clock.

[KT]

All right, so this is from Joan. Hi Susie. You are the best. I have your ultimate retirement guide and audio and the revised and updated and soft cover. Love the podcast. My sister asked me why she would need a trust because she doesn't have any children. She and her husband have all the other must have documents. I've reread the section on trust, but I still don't have an answer for her. Are you kidding? Joan, come on.

[Susie Orman]

No, no. So I don't know what you mean when you say she has all the other must have documents. So let's just say, Joan, sister, you own a home and you own an enjoined tenancy with right of survivorship, with your husband thinking, oh, you've covered it, everything is great. You die, it automatically goes to him. He dies, it automatically goes to you. But here is the question you all have to always ask yourself. What if you don't die? What if you become incapacitated? You're walking down the street, you slip on ice, you hit your head, you don't know who anybody is, you're in a car accident, anything can happen at any time. Therefore, all right, your husband becomes incapacitated and you live in a house that has two stories and you need to make a move so it's easier on you. And you have a one story house. The question is, can you sell it? Can you? You say you have everything in order and the answer is no, you cannot because it takes two signatures of both of you to sell that home because it's own in joint tenancy with right of survivorship. If your husband cannot sign because he's incapacitated, you then have to Go down to what the court, go through probate court, get a conservatorship assigned to him. And from that point on, now you have the ability to sign for him. Now, you may think everything's great, you have power of attorney. However, most power of attorneys become null and void the day that there's an incapacity. Number two, banks don't like dealing with power of attorneys because many of them are old. They don't know if they're still valid. They don't know if they've been updated or changed. They don't like that. But when you own something in trust, you have the right immediately if the trust has an incapacity clause in it, which the must have documents do, all right, you can sign for him, he could sign for you. And if something happens to both of you at the same time, you're in a car accident and now neither of you are capable of doing anything, you can name friends or people that you trust or even a professional trustee to come in and make sure that you are okay. So that is the answer to the question. Next, kt.

[KT]

Okay, from Laura. Hi, Susie and kt. I love your show. Quick question. I love this. Laura, quick question. I will need a used car with low mileage in the next year or two. Should I wait or buy now? To avoid potential increases in cost due to tariffs and other variables. Thank you for all you do. Laura is a retired teacher and now she said a student of Susie.

[Susie Orman]

So you have a look like you want to answer this question. Kt. So since this is your show, you answer her.

[KT]

No, Laura, I think what you're asking is if you recall not too long ago there was a surge in used car prices.

[Susie Orman]

You bet.

[KT]

Susie and I were even considering selling our 10 year plus car.

[Susie Orman]

12 year.

[KT]

Yeah. Because we knew we could get a huge amount of money for it. 13 years.

[Susie Orman]

Yeah, 13 years. Years.

[KT]

And Susie loves that little car. But I said maybe we should sell it because we'd get so much for it. And now I don't know what the tariffs are going to do. I don't know. It looks like prices will continue to go up in manufacturing because of all the parts and everything they're bringing in.

[Susie Orman]

So maybe the answer is yes, do it now. And I agree with that. All right, go on.

[KT]

Okay, my final question. Susie, this is from Cynthia. I will be 39 next month. My wife and I have two small children, 2 and 8, who we would like to create separate accounts for to help them secure their financial futures. I'm not sure I know I said the same thing when I read this. I went, why not you? I am not sure if we should open a separate high Yield Savings account for them, a brokerage account or, or some type of other account. A brokerage account may yield them the greatest amount over their lifetimes, but they would need to pay hefty taxes on the gift when they sell their positions. Wait, we're talking about a 2 year old and an 8 year old? Everybody. I want them to grow their money. I don't want the unintended consequence of saddling them with a tax nightmare. I'm eager to know what you recommend and I appreciate your guidance and.

[Susie Orman]

All right, well, if you don't want to saddle them with a tax nightmare, although I don't think you would, you might as well saddle yourself with one. And what I mean by that is, listen, over all the years that I've been doing this, which is almost 40 years now, in fact, it is 40 years, all right, I have seen this situation way too many times. I'm so sorry to say we're. Little Johnny angel was so sweet. Coo coo ga ka. I love you. I love you, mommy. Da da da da. Turns out to be Johnny Devil in that they get older, you never know what will happen to them. They get involved with the wrong people. They now have money and they use that money for drugs. And you feel horrific because you were the ones who supplied them with that money. Remember, when you put it in their name, you have to create a uniform gift to minors act or trust account for them. Which means at the age of 18 or 21, it is their money and there is nothing you can do about it. So if all of a sudden they want that money to go buy a car, to do this, to do that, they don't want to go to school, they don't want anything because they have enough money right now. You're going to be so sad that you did that. Just put away an account in your name where you know it is for them. You pay the taxes on it since you don't want to saddle them with it. You make sure everything is okay that way. And as they get older, remember like this year, you could give them $19,000 totally tax free to them. So what might happen years from now if you get this money to grow and keep two separate accounts, one for one and one for the other, so you don't mix them when it comes time and you want to give them the money for something that makes sense, then, hey, you can cash out what you have you could pay the taxes on it and you could be gifting it to them over time, or you just gift it to them and take it off your unified credit. So that's how I would do it. Also, remember when you put money in a check child's name, it hurts them for financial aid because it counts for more in their name than it does when it's in your name when you want aid. So I wouldn't be putting it in their names right now unless you want to put it in a 529 plan for their college education. But somehow I feel like you want them to have money outside of college as well. All right, kt, that's it. Huh?

[KT]

That is a wrap.

[Susie Orman]

A wrap.

[KT]

All right, so end of July. Can you believe it's over already?

[Susie Orman]

The month August, right? August is coming. August is tomorrow, and then September.

[KT]

KT and I, we have an exciting date in September. Don't share it yet. Wait. We'll keep it a surprise. We have a great day date we have planned for Labor Day weekend, and she'll share it with you at the end of August before it becomes September. And we can't wait to. To do that. We can't wait for that date.

[Susie Orman]

It's actually not that exciting.

[KT]

It is exciting. Don't tell them it is exciting.

[Susie Orman]

It's not that big of a deal.

[KT]

Bucket list. It's one of my bucket lists for my whole life with you.

[Susie Orman]

Oh, so that's why it's exciting.

[KT]

Yes.

[Susie Orman]

Oh, all right. I'll wait till then to tell you. Right now, this coming Sunday, you really have to make sure that you listen to the podcast because I'm going to continue on with things you need to know about the bbb, the big beautiful bill. And this one's really going to focus on student loans and what you need to know about them. So really don't miss it. Kt, take us out, baby dolls. Okay.

[KT]

There's only one thing we want you to remember, and that is this year is the year that you will make your money, make more money.

[Susie Orman]

And the way that you do that, by the way, is always remember people first, then money, then things. Now you stay safe.

[KT]

Love you.

[Susie Orman]

Bye. Bye.

[Unknown]

We are strong, we are wise we will not apologize we are here we will thrive Together we will rise we're the little bit of faith and everything it takes. We are strong, we are wise Together we will rise. Foreign.

[Susie Orman]

Hi, everybody. Suzy O. Here. Now, if you are looking for a way to start saving to get the most out of your money, I want you to go to myalliant.com that's M y a l l I a n t dot com and look into opening an Ultimate Opportunity Savings Account. Put in at least $100 a month every single month for 12 consecutive months. Earn 3.10% interest on your money right now and get $100 at the end. Are you kidding me? It's the best deal out there. Start saving right now.

[Unknown]

Neither Suze Orman Media nor Susie Orman is acting as a Certified Financial Planner Advisor, a Certified Financial Analyst, an economist, CPA accountant or lawyer. Neither Suze Orman Media nor Suze Orman make any recommendations as to any specific securities or investments. All content contained in this podcast is for informational and general purposes only and does not constitute financial accounting or legal advice. You should consult your own tax, legal and financial advisors regarding your particular situation. Neither Suze Orman Media nor Suze Orman accepts any responsibility for any losses which may arise from accessing or reliance on information in this podcast and to the fullest extent permitted by law, we exclude all liability for loss damages, direct or indirect, arising from the use of this information. The must have documents discussed in this podcast are legal documents created by a lawyer and distributed by Hay House.