Suze School: A Special Way To Make Your Money, Make More Money

Summary

Podcast Summary: Suze Orman's Women & Money (And Everyone Smart Enough To Listen) Episode: Suze School: A Special Way To Make Your Money, Make More Money
Release Date: July 2, 2025

---

Introduction: The Core Goal of Money

In the latest episode of Women & Money, Suze Orman delves into the fundamental purpose of money management: securing financial stability. Suze emphasizes that money should serve as a tool for security, not merely accumulation. She introduces the concept of making your money work harder for you—a central theme of the episode.

The Pitfall of Low-Interest Savings Accounts

Suze begins by addressing a common financial mistake she observes among her listeners: keeping significant funds in low-interest savings accounts out of fear and convenience.

Suze Orman [01:45]: "If you have money that you don't need, simply sitting in a savings account making a half a percent or whatever, you are not making your money, make more money."

She shares a poignant story about a friend who inherited $100,000 but left it in a local bank's savings account, earning a meager interest rate of 0.60%. Suze contrasts this with the national average of 0.38%, highlighting the minimal gains and questioning the rationale behind such decisions.

Suze Orman [03:15]: "Why would you do that? Do you need this money? ... because it was easy. It was convenient."

Maximizing Returns with Certificates of Deposit

To combat the inefficiency of low-yield savings, Suze presents a compelling alternative: Certificates of Deposit (CDs). She introduces a special offer from Alliant Credit Union, providing a 12-month CD with an impressive 4.30% Annual Percentage Yield (APY).

Suze Orman [07:30]: "Start saving right now... because if you don't all take advantage of it, next time I go and I say, can you do something for these people?... you need to take advantage of it if it makes sense for you."

Suze reassures listeners that she does not profit from endorsing this product, underscoring her genuine intent to help them maximize their financial growth.

Rethinking Retirement Accounts: Embrace the Roth IRA

Shifting focus to retirement savings, Suze critiques the over-reliance on traditional 401(k)s and IRAs. She advocates for the Roth IRA as a superior choice, regardless of income levels.

Suze Orman [15:20]: "You are making the absolute biggest mistake in life if you don't take advantage of your Roth retirement accounts at work."

She explains the eligibility criteria for Roth IRAs, detailing income limits and the benefits of backdoor Roth conversions for those who exceed standard income thresholds.

Suze Orman [18:05]: "Once you're at 150 and you go to 165... you could do a backdoor Roth, as long as you don't have a traditional IRA or even a SEP IRA."

Strategic Financial Moves: Avoiding Common Pitfalls

Suze warns against the temptation to liquidate pre-tax retirement accounts to pay off debts, such as mortgages. She highlights the significant financial penalties and tax implications associated with such actions.

Suze Orman [20:10]: "Never take money out of a pre-taxed retirement account to pay off your debt. It will never ever, ever make sense."

Instead, she promotes maintaining funds within Roth accounts to ensure tax-free withdrawals and long-term growth, reinforcing the importance of strategic financial planning.

Final Thoughts: Empowering Financial Independence

In her closing remarks, Suze reiterates the importance of making money work efficiently to achieve financial independence. She encourages listeners to seize the opportunity with Alliant Credit Union’s CD offer and to adopt smart investment strategies, particularly focusing on Roth IRAs for retirement.

Suze Orman [21:50]: "You need to make your money, make the most money possible, money it can make. Do you understand that?"

She concludes with a heartfelt message, urging her audience to prioritize their financial well-being by taking proactive steps to enhance their money’s productivity.

Key Takeaways

• Avoid Low-Yield Savings: Keeping large sums in low-interest savings accounts can lead to significant missed opportunities due to minimal interest earnings.
• Leverage Higher Yield Products: Consider Certificates of Deposit (CDs) or other higher-yield financial instruments to maximize returns on your savings.
• Embrace Roth IRAs: Utilize Roth retirement accounts to benefit from tax-free growth and withdrawals, especially advantageous for long-term financial planning.
• Avoid Premature Withdrawals: Refrain from tapping into pre-tax retirement accounts to settle debts, as this can result in substantial penalties and hinder future growth.
• Act Now: Take advantage of special financial offers and opportunities promptly to secure the best possible returns for your money.

Notable Quotes

• Suze Orman [03:15]: "...because rather than just having made $600 because your money was sitting in a bank account, you could have easily made in a certificate of deposit, 4,000, $4,500 a year. That is a big difference."
• Suze Orman [15:20]: "You are making the absolute biggest mistake in life if you don't take advantage of your Roth retirement accounts at work."
• Suze Orman [20:10]: "Never take money out of a pre-taxed retirement account to pay off your debt. It will never ever, ever make sense."

---

Disclaimer: This summary is intended for informational purposes only and does not constitute financial advice. Consult with a certified financial advisor for personalized guidance.

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 die Together we will rise we're the faith and everything it takes we are strong we are wise Together we will rise.

[Susie Orman]

July 2nd. Can you believe it? 2025. Welcome, everybody, to the Women and Money podcast, as well as everybody smart enough to listen. Susie O. Here. And I'm coming to you early. I know, I know it's supposed to be tomorrow when we drop the podcast, but we're dropping it one day early because, number one, the holiday is coming up, we have guests coming, and I have something that I want every single one of you to do if it makes sense for you to do it. Now, when I started this podcast this year, I wanted the theme to be make your money, make more money. Do you remember that? Make your money, make more money. And what absolutely confuses me, confuses me and kind of keeps me up at night sometimes, is how so many of you, when I talk to you, you're scared to death. You don't know what to do with your money. You want to make sure that it's making the most. And when I ask you, where is your money right now? You tell me it's in a savings account at a bank. And I go, and why is it there? And you tell me, because you are afraid to put it anywhere else. Like Susie, I used to put it into Treasuries, but now I'm afraid that the treasury is going to go under. So I took it all out of Treasuries and I put it in my bank account. Or you tell me, like my friend just told me the other day, who lost his mother approximately one year ago. We were talking to him about how is he doing? What is he doing with his money? As I talk to everybody about. And he said, well, you know, Susie, she left me $100,000 and really I didn't know what to do with it. So what did he do with it? He left it at a bank. And I said, what do you mean you left it at a bank? He said, I've had it in a savings account at a bank down the street from me for the past year. And I said, and can you tell me the interest rate that you're getting on it? And he said, I think it's about 0.60%, something like that. I don't remember. All right, so let's just say it was 0.60. But I have to tell you, the savings national average in banks, 0.38%. So maybe 0.60% is a little high, but let's just say that's true. So I said, wait a minute. Are you telling me that for one full year? He said, yeah, it's a full year now, Susie, maybe even a little longer, that you have left that money just sitting in a savings account? And he said, yes. I said, do you realize that if it's true, what they're paying you is 60% that over that entire year, do you have any idea how much interest you made? And he said, maybe a few thousand dollars. He said, I don't know. I said, you're lucky if you made $600. And I said, why would you do that? Do you need this money? He said, no. I said, can you lock this money up for a year, two or three? He said, yes. I said, so why did you just let it sit there? And he said, because it was easy. It was convenient. And I thought, why not? And I said, I'll tell you why not. Because rather than just having made $600 because your money was sitting in a bank account, you could have easily made in a certificate of deposit, 4,000, $4,500 a year. That is a big difference. Okay, so when we got off the phone with him, I started to ask other people, just out of curiosity, do you have money in a savings account? Do you have money at a bank? Do you have money just liquid? And people would tell me, absolutely, I have anywhere from $10,000 to $50,000 to somebody had close to $200,000 to just sitting in a savings account. And I'm like, I just can't even believe it. So to that end, I decided, you know what? How many of you out there, and I need you to be honest with me right now. You have money sitting in a savings account that you do not need. Come on, be honest with me. But actually, more important than being honest with me, you need to be honest with yourself. Because if you have money that you don't need, simply sitting in a savings account making a half a percent or whatever, you are not making your money, make more money. If anything, you're actually after taxes, inflation and everything, you are losing money. Year in and year out and given in times like we have now, where inflation is still here, the cost of food is still high, rents are still high, interest rates on mortgages are still high, insurance premiums are still high. Every single one of you needs to make your money, make more money. You need to make your money, make the most money possible, money it can make. Do you understand that? Now I understand that so many of you have written in and said you don't want to do treasuries and you ask me, Susie, what is a good interest rate that I could get on a certificate of deposit? And that is why I wanted today to be the day that this podcast cast drops. Listen to me closely. Alliant Credit Union, which you know, has been the sponsor of this podcast for a long time after conversing with them and talking with them just for Susie Orman listeners on this podcast. So you're not going to see this advertised really anywhere else. It's mainly for all of you. They are willing to offer starting today and you better take them up on this, a 12 month certificate for 4.30 APY. And for those of you who don't know, APY stands for annual percentage yield. So if you hold your funds in that 12 month certificate for the entire term, you will get 4.30 APY on it. Now if you compare that rate to other things that are out there right now, you will see it is a great, great rate. Especially because it's at a safe institution. It's safe everybody, whether you're already a member at Alliant Credit Union or not. Just go to myalliant.com that's my M Y A L L I A N T dot com. There you'll find all the terms you need to open either an Alliant certificate with that interest rate of 4.30 APY or you will become a member there and it doesn't cost you anything to do. So you need to know that I do not make a penny if you decide to do it or you decide not to do it. So many of you think I get paid to say these things and if you do it, I make more money. Wrong, wrong, wrong. That's true for this as well as any stock I have ever mentioned. I don't get paid to say something like that. However, I do want you to get paid to make your money. Make more money by if you have money in a savings account at a bank, wherever it may be, making half a percent interest or whatever, you're not going to need it for at least a year. Why would you not immediately go to myalliant A L L I A N T and sign up for the one year certificate for 4.30 APY? It's something I'm serious that all of you should be taking advantage of. I'm waiting for my certificate to mature this month, sometime later on at Alliant Credit Union, and I'm only hoping that this will still be available. So what you have to understand is I don't know how long they can stay at this interest rate. Again, this was a special for the Women and Money podcast listeners. And so therefore I am asking all of you to take advantage of it. Now, when you buy a certificate at Alliant Credit Union, the minimum is $1,000. So it's not like you have to put in $10,000, $50,000. You have $1,000 that's just been sitting. All right, do it with $1,000. If you have more that has just been sitting, do it with more. But it is really, really important, everybody, that you take advantage of this. So that is essentially what I wanted to tell you all today. So again, when it comes to your money, it is really, really important that you make your money make more money. Now, another way that you need to make your money make more money is too many of you. When I am talking to you again or you are writing me, you are still investing your money in traditional 401ks or traditional IRAs. Have you all lost your mind? And when I ask you why, you tell me because you want the tax write off. April 21st of 2024, I did a podcast, don't be Partners with Uncle Sam, which I explain in that podcast that it does not matter if you're making 300,000 a year, 500,000 a year, I don't care how much money you're making a year. You are making the absolute biggest mistake in life if you don't take advantage of your Roth retirement accounts at work. And if you qualify your Roth retirements, that you can open up as an individual an IRA Roth. And if you are making too much money of modified adjusted gross income, if you don't have a traditional IRA or a SEP IRA right now, okay, then you can do a backdoor Roth. Do you hear me? What's so upsetting to me is I was talking to another friend. So this is going to be a podcast about Susie talking to her friends who drive her crazy anyway, but it's only because they don't get it. And maybe it's my Fault. They don't get it, but they should get it by now. But then KT doesn't get it. So what can I tell you when it comes to Roth? And she was telling me how she has money in a SEP IRA because she makes too much money to qualify for a Roth IRA. Remember, for 2025, if you're a single person, you can make up to $150,000 a year of modified adjusted gross income. To do what? Contribute the full $7,000 a year to a Roth if you are under 50 or $8,000 a year if you are 50 or older. Once you're at 150 and you go to 165. After 165 you no longer qualify. If you're married, find lien jointly, it's up to 236,000. So if you make just below that, you can then qualify for a Roth. Once it goes to 246,000 or above, you no longer qualify. That's when you could do a backdoor Roth, as long as you don't have a traditional IRA or even a SEP ira. Back to my friend. So she tells me how she has a SEP IRA and that's exactly what her accountant wants her to do. Because her accountant told her she makes too much money, which she does. She makes too much money to qualify for a Roth. So I said, did your accountant tell you that you could convert whatever money you have in a SEP IRA and you could convert it to a Roth because there are no income limitations on it whatsoever when you're converting? And of course she said, no, he never told me that I could convert it. So now she's on a plan of converting to a Roth ira, just that simple. And in fact, for those of you who qualify for a SEP ira, alright, so you put money in a sep, you get a tax write off for it, no problem. And let's say you put 30 or $40,000 into it. Right after you've done that, if you want, you could convert it to a Roth. And yes, now you're going to pay taxes on it, but it evens itself out. But that's how you actually get more money into a Roth IRA than if you were able to do a Roth IRA on its own. So this is another way of your money making more money. And why does that make your money make more money to convert and use a Roth? Again, I'm asking all of you to Listen to the April 21, 2024 podcast that I did. Don't be partners with Uncle Sam and I promise you you will get it and then you will hopefully never do a traditional IRA or 401k again. However, don't make the mistake. If you happen to have a large amount of money already in a traditional 401k or retirement plan, do not convert it all at once to a Roth because you will owe ordinary income taxes on it in the year that you convert. So do it little by little and see a CPA next. The way that you make your money, make more money is that you understand the tax laws and how things work. What's recently upset me is that I've gotten a few emails saying, susie, I owe money on my mortgage, I owe $70,000, I have $100,000 in my IRA and I'm going to take out that $100,000 and I'm going to pay taxes on that and get out of debt. Now, the reason they have to take out 100,000 in their tax bracket and the penalty they're going to have to pay to take it out, it's going to cost them $30,000 to do so. But they felt that that was a fine thing to do because they have a half a million dollars in their ira. That is not making your money, make more money. That is actually losing money. Because when you lose $30,000 and that money is no longer there to grow for you, and in fact that other $70,000 isn't there to grow for you in the long run, you lose out and you make less money. So I tell you that because you are never to take money out of a pre taxed retirement account to pay off your debt, to pay off a mortgage, you are not to do it. It will never ever, ever make sense. However, I can tell you this. If you had had that money in a Roth retirement account, then possibly you could have taken out $70,000 income tax free. Especially if the account had been open at least five years and you were over 59 and a half, hey, you could have taken it out totally tax free. So a Roth IRA is the way to go. But do not make the mistake of taking money out of a pre taxed retirement account to pay off any kind of debt. Do you hear me? You should always know that any of your retirement accounts are essentially protected against bankruptcy. So just don't do it. Now I could go on and on with this, but I really wanted this to be a short podcast and truthfully, because today in its own right is Financial Independence Day by the offer that Alliant Credit Union is putting out there to all of you we don't know how long it will last, so don't assume it's going to be there. But again, it's 4.30 APY for a 12 month certificate as long as you hold it for all 12 months. Go to myalliant a l l I a n t dot com and take advantage of it right now. And just remember, you don't need to call a lion to open up an account there. You can easily open a certificate by simply going directly to again, myalliant.com and just follow the prompts. Just that easy. Because if you don't all take advantage of it, next time I go and I say, can you do something for these people? Can you give them something that only the listeners can have and things like that, they'll say why they don't do it anyway. You need to take advantage of it if it makes sense for you. But bottom line, every one of you really needs to make your money, make more money. All right everybody, until Sunday when it will be Susie's school again and we'll get back on a regular schedule. There's only one thing that I want you to remember when it comes to your money. Normally I would say people first, then money, then things. Now you stay safe, but what am I going to say today? You need to make your money, make more money. All right everybody, bye bye and happy July 4th. You stay safe.

[Unknown]

Regarding the certificate Susie just talked about exclusions and restrictions apply. Early withdrawal, penalties do apply. Fees may reduce earnings on the account and any monthly withdrawals or transfers reduce earnings. Alliance is federally insured by NCUA. Visit myalliant.com for full disclosures.

We are strong, we are wise we will not apologize we are here, we will thrive Together we will rise we're good up in our faith and everything it takes we are strong, we are wise Together we will rise.

[Susie Orman]

Hi everybody, Suzie 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 security, 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 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.