Latest / Black Box Theory Podcast / Inflation Is Taxing Your Savings. Investing Is the Counter.
Transcript
- Malcolm: The dollar's only gonna keep losing Thomas: Best. Malcolm: value, unfortunately. Like, if you're not investing, if you just have money sitting in a savings account, bro, you're doing yourself a disservice. It's good to have cash on the reserves. But if you are not like you are literally like inflation is putting leather to you, bro. Like you have to find an investment, an asset that can that can fight inflation on your behalf, bro. Like, you will not do that if it just sits in a if you it is in a savings account, at least at the bare minimum, let it be a high yield savings account or something that's getting sent out. APY or something recurring interest on it, bro. But like my Please invest own. something bro like just just just please bruh like please do not do yourself like please don't just think that that having stuff in a savings account is is saving for the future. It's good to have that bread, but what good is having a hundred thousand dollars saved if it's only fifty thousand in a couple years? If it's only worth if you can only buy worth $50,000 in in a couple yeah who's making all these are you are you making these? Thomas: No, no, no, bro. I just found this website. I promise you. This is the same website. I literally just went yeah Malcolm: so somebody's just going crazy on Claude, bro. Well, that's crazy is actually tracking Thomas: Yeah, this claw. I just want to sh Malcolm: it. Thomas: I whoever made this website, you're actually like, this is good use of AI. If the assuming all this is accurate, like this is this is good use of AI. So props to you. I try to scroll down and see like if I can see the creator. Like, sorry, this this is a lot of information. Like they have crazy stats on here. What in the world? Malcolm: So Thomas: Like, bro. But what I wanted to show Malcolm: Yeah, so it's only like. Thomas: was yeah, Doge only saved two point or two hundred fourteen billion. Yeah, good job. Malcolm: Aren't they destroyed now? Thomas: Yeah. Yeah, Doge doesn't exist. So like let's Malcolm: Yeah. But yeah, yeah, yeah. Please please please sell these please show people this. Thomas: Like $1 million, right? This is why I say double it because from 1990 to 2024. Well, no, let's go to 2026. nice, yeah. So $1 million in 1990 was a million dollars. Inflation, that that's equivalent to 2.5 million. So for all the people who think, I need a a million, I'll be good. Multiply that by essentially 2.5x, right? So and let's go back. In nineteen seventy, if you had a million dollars, that's eight point six million now. Like Malcolm: Ms. Friday bro. Yeah, I I don't know anybody like a million dollars is not enough to retire now, unfortunately. Like Thomas: They actually have in retirement inflation calculator. Let's up Malcolm: Yeah, yeah, it's is Thomas: if if I have a million dollars in savings today and I want to retire in say forty years, inflation, whatever, three percent, I will need Malcolm: Yeah, you'll need three million, Thomas: Three million. Malcolm: that three point two to match today's buying power. So that million that you have today, if you want to retire in forty years, you will need three point two million to match what you have today. If you do not and if you are not investing, you are literally losing. You are literally you are literally losing money. Even if you think that you have money, you are losing money just letting it sit in a savings account, bro. Please invest, bro. Thomas: Please invest and the US is forty percent of the world's global debt. Just about. China's a close second with eighteen point seven trillion in debt. Guys, let's Malcolm: That's a whole lot better though. A hundred nineteen thousand per person versus thirteen thousand per person. Yeah, we suck. Thomas: Yeah. Malcolm: We s we suck, man. Thomas: If this is not a wake up call, I don't know what is.