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Getting Out of Debt · Money In Motion with Klaas Financial

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This is Money in Motion with Class Financial, a fun and informative show designed
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to help you get answers to all your retirement questions in one place. And
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our telephone lines are open to you right now at three two one thirteen ten.
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That's three two one thirteen ten gets you on the air with our retirement
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planning professials from Class Financial, CJ. Claus and Malia Quavis. The website
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Class financial dot com. That's k l a as Financial dot com, the
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great website, great resource, and they're telephone number six to eight four four
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two five six three seven and joining us this morning our CJ Class and Mali
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Quavis. Guys, how are we doing this week? Doing great? How
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are you Sean? Doing really well? CJ? Great to have you back.
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Did I see you were watching some PGA watching some Christis was I was
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at the the PGA Tour Championship, the FedEx Cup and at East Lake in
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Atlanta. It was great, man. Who do you know? I don't
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know. I turned forty and my wife took me, took me there,
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so I know noboddy. I was just a commoner watching watching the growth.
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You know, A wonderful woman that got you a fantast that's right, that's
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right. I know my wife. There you go. It's making you great.
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Great people are good. Friend, Melia Quavis is well, us is
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only how are you doing this morning? I'm doing great. I'm just clid.
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A CJ didn't win that win and play and win there, or he
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wouldn't be working today. Okay, that's kind of a big purse. I
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no, Victor Roblin, I didn't win the eighteen million. There's always you
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always got an offseason work on it. I know KCJ. Obviously you've you're
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you've you've been involved in competitive sports as well. So I'm a very interesting
1:33
story speaking of By the way, you mentioned the website class financial dot common
1:36
of the cool things when you go to about and learn more about the team
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at class financial, if you scroll over the pictures, a little easter eggs
1:42
pop up, tell you a little bit about who they are and a little
1:45
bit about what they're passionate about as well. Again, that's available at class
1:48
financial dot com. Well mine's are open six to eight three two one thirteen
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ten at six o eight three two one thirteen ten. This week we are
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going to be talking about dat. We're going to talk about carrying add into
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retirement and things you need to know about of course metge. The full lines
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are open six three two one thirteen ten the website class financial dot com.
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Dolphin up for Class Financial for the office right here in Madison six o eight
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four four two five six three seven. Don't forget no charge that initially get
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to know your appointment at Class Financial. It will be complimentary to you a
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little bit later on the program. Of course, something we do each and
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every week is the Class Quiz question the week you will have a chance to
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win a fantastic prize. This week our friends from Class Financially provided a twenty
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five dollars gift cart Sipara, and of course the Clauscis question Week will come
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up a little bit later in the program. A little tip to the Class
2:34
Quiz question the week. You get in a little advantage if you listen closely,
2:37
because oftentimes both the question and answer to the Class Quiz Question Week come
2:40
up during the program. And speaking up the Class Quiz question the week before
2:44
we get rolling on this week's conversation, let's take a look back at last
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week's show and get the question and the answer there as well. YEA,
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so last week, we had a great conversation about how fees are charged on
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investment accounts if you work with a financial advice or if you're just doing it
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on your own, just understanding kind of where those fees take place. So
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the question of the week was is the following statement true or false? A
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load is a sales charge or commission charge to an investor when buying or redeeming
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shares in a mutual fund. So the answer was true, correct statement,
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and Gary of Fitchburg, congratulations to him, correctly answered that. So just
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be aware of fees that you pay. It's always something important to know and
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ask the person that you're working with so you have a clear understanding of that
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going forward. So listen carefully for today's question. And you mentioned, of
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course, this was part of last week's program, and it was a really
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really informative All the shows are really informative. And one of the great things
3:43
is if you ever a miss part of a program, whether it's this morning,
3:46
is step out for a moment, grab a cup of coffee, dropped
3:49
the grand kids. I know we're at that time of your kids and grandkids
3:51
are getting back to school. Maybe a miss part of the program great opportunity
3:54
to listen back at class financial dot com. That's Klaas Financial dot com.
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So, you know, we think about, you know, helping folks plan
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for retirement, something that you guys do each and every day, and one
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of the things that comes up is the amount of debt that folks are carrying
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on their balance sheet. Correct. Yeah, so for many people, debt
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continues to be something that follows them into retirement, and as you can imagine,
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it can put quite a bit of undue burden on retirees that while they're
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trying to keep up with regular living and medical expenses, they've got these debt
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service payments. So this is why we feel choosing to be debt free in
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retirement is truly the best choice and it'll provide you more options as you be
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in the next the next season of your life. There are a few steps
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to remember as you work to achieve becoming debt free. So just a few
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things we want to mention, you know, first things, first, set
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up a plan to reduce and eventually eliminate your debt. Often, well,
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we had a former colleague, his name was Mike Toddrick, and he would
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he had this kind of catchy phrase, he said, if you don't know
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where you're going, any road will get you there. Now I have a
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hunch that that wasn't his original quote, but it's an interesting quote, isn't
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it. If you don't know where you're going, any road will get you
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there. And then he would often add on at the end and by the
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way, when you get there, you may not like where you end up,
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which is just so true because often people say I don't know how I
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got here, and what they're really saying is I didn't have a plan and
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so I just spent what came in. So listen if you don't think getting
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out of debt is important. We do have a friend in the industry,
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Dave Ramsey, who's notoriously kind of the debt elimination guru. He has a
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program called Financial Peace University that kind of talks about the psychological, mental,
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emotional, and financial impacts of debt. So you might want to consider listening
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to Dave Ramsey as a radio show. He's actually much more famous than we
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are. But you may first need to change your lifestyle and spending habits,
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which requires that you start by setting realistic goals. Today, so often people
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again they get into debt. They don't know how, but it's by not
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having a plan. Of course, people say, well what do I do
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once I'm there? And the answer is you need to build a plan,
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because again, what caused you to build up that debt was not having a
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plan. What will cause you to get out of that debt is to have
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a plan. Likely you'll want to be aggressive in paying down your debt first
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so then you can begin saving on a regular basis. So often people hit
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forty forty five, maybe even fifty and go how did I get here?
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And then you know, they meet with us and they say, I feel
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like I should, you know, start maxing out my four oh one K
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plan and you know, put a little bit more towards the debt. And
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often we have to say, you know what, your debt is so severe,
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we need to focus on your debt first because the debt is just killing
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you. So often kind of having this laser focus, or what Dave Ramsey
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would say is a gazelle like intensity towards towards eliminating your debt. Focus there
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first, and then and then focus on saving thereafter. Talking this morning with
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our retirement plan, professional CJ Classimile Aquavius. If you've got a question,
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we'd love to get you on the air. Six eight three two one thirteen
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ten. That's six O eight three two one thirteen ten. Learn more about
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Class Financial website class financial dot com. That's k l as Financial dot com
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and their telephone number six O eight four four two five six three seven CG.
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I've got a guess that there is probably a strategy even to handling and
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paying down debt, isn't there yea, So generally we don't recommend borrowing from
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your retirement account to do this. So often people go, hey, I've
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figured it out. I can just take a loan from my four oh one
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K plan and pay off on my credit card debt. And and certainly there
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are times at which even we might suggest that, but it's very narrow times
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and narrow exceptions, depending upon people's ages. So here's what we would say,
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generally, do not do that. Do not think to yourself, I
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can solve my problems by you know, paying off one debt by taking on
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another. You're not solving the problem. You're just passing around a hot potato,
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right, And the reality is there's no free lunch. So if you're
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going to take a loan from your four oh one K at a lower interest
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rate than your credit card debt. What's the catch and the catches? Well,
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if you get laid off or lose your job before you pay back that
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loan, that loan is no longer a loan. It's a distribution within sixty
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days that could have a ten percent penalty and Federal Incomes Access and State Incomes
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actes depending on the state you live in. So, long story short,
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also known as an atomic bomb in your financial life. So don't think that
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the four oh one k loan is an easy solution to getting out of debt.
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It really does require a change in behaviors. So again, have you
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ever listened to Dave Ramsey like we do. He has this radio show where
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people will call in and he will often just say call me back when you're
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serious. And what he means by that is people sometimes get a little bit
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bothered by debt. They're annoyed by a debt, but it is only at
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the moment that they say I've had it. Enough is enough? This debt
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is literally running my life. It's at that moment when they hit that rock
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bottom where they say I'm willing to change my lifestyle. So again, you
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need to get to a place where you say, being out of debt in
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retirement is so important that I am willing to change some of my habits to
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accomplish that. And what we would say is the payoff is significant. To
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live your life in retirement debt free as a completely different feeling viewpoint, flexibility,
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freedom, and even generosity to it than living life in retirement with debt.
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Now, with that being said, if you plan to retire with debt,
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we occasionally will consult with people if they're debt is low enough and if
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they're say sixty five seven years old, we will say, okay, that's
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fine. You can retire with debt, especially if that's non mortgage debt,
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but you may want to consider, you know, having a part time job
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to help you eliminate that debt faster in retirement. So, long story short,
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be serious about your debt, change your habits, and when all else
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fails, remember this. Things that are on autopilot tend to happen. Things
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that are not on autopilot tend not to happen. Look no further than why
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are all these companies building subscription services? And the answer is because once you
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sign up for a subscription, you never cancel it or rarely cancel it.
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Right, and so in a similar way, how are you going to get
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yourself out of debt? And the answer is turn it into a like subscription
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get out of debt plan where you say, as soon as I get paid,
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you know, five hundred dollars goes towards that credit card, or as
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soon as I get paid, a thousand dollars goes into my four one K
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plan. The things that are on autopilot tend to happen. The things that
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are not tend not to really fascinating stuff this week mentioned Dave Ramsey. Of
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course we're ready. You're in thirteen to end WIBA and it's such great advice
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and such great stuff this week from our retirement planning professionals c J Claus and
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Malia Quavis. If you've got a question for CJ and Malia, love to
10:56
hear from you this morning. Six o eight three two thirteen ten. That's
11:01
three two one thirteen ten. We'll get you right on the air. Don't
11:03
forget. You can learn more about Class Financial on their website class financial dot
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com. That's klaas financial dot com. I mentioned earlier about getting to know
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the team, also getting to know Class Financial. I haven't mentioned yet the
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really cool feature on the website, which is the weekly Market Pulse newsletter.
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Speaking of subscriptions, you can subscribe right now. It's not going to cost
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you a thing. It's a great weekly email that comes in your inbox a
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little bit of what's been going on the market's a snapshot. Also a link
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to the most recent podcast that available to you at class financial dot com.
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That's klaas Financial dot com. Speaking of things available to you. Of course,
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that first appointment at Class Financial, it is going to be complimentary to
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you all I getters. Give him a call six O eight four four two
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five six three seven. Make that appointment tech Class Financial again the number six
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O eight four four two five six three seven to get on the other this
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morning six three two one thirteen ten. That's three two one thirteen ten.
11:54
We'll continue our conversation with c Jan Melian and take your call next as Money
11:58
in Motion with Class Financial continues right here on thirteen ten. W IBA.
12:05
This is Money in Motion with Class Financial, a fun and informative show designed
12:11
to help you get answers to all your retirement questions in one place website class
12:16
financial dot com. That's k l as financial dot com. There telephone number
12:20
six O eight four four two five six three seven, no chart for the
12:22
initial get to know you appointment at Colas Financially. It will be complimentary to
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you again the number six eight four four two five six three seven. And
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to get on the air this morning, just give us a call six so
12:33
eight three two one thirteen ten. That's three two one thirteen ten and Terry
12:37
joins us. Terry, welcome to the program. You're on the air with
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c J. Class Emilia Quavius of Class Financial. Good morning, Goodmorrow.
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My question is I am seventy one, started collecting my Social Security at sixty
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two and am actually doing fine financially. But I took a side gig as
12:58
of this week, and I understand that that that income will be affect my
13:05
taxes. You know it'll as it will be considered ordinary income. But I
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also will be contributing to my Social Security once again taking this job. Will
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that have any effect on anything? It may? It may so, uh,
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great question. By the way, Terry, So social Security, the
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way they calculate your benefit is you have to have at least forty quarters,
13:33
which equates to about ten years worth of qualifying Social Security income. That's that's
13:41
to just get a benefit period. But then once you get a benefit,
13:46
the full calculation is your highest thirty five years of inflation adjusted earnings. Now,
13:52
that of inflation adjusted earnings is a critical component because often people will say,
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well, you know, I worked at thirty years old, I only
14:00
made twenty thousand dollars, and I go, well, twenty thousand dollars.
14:03
You know forty years ago is worth quite a bit of money in present value
14:07
terms. So so it's your highest thirty five years of inflation adjusted earnings known
14:13
as present value adjusted earnings. So it's adjusted to the present value to see
14:18
what the highest of them are. Therefore, let's say you only worked for
14:22
thirty two years of qualifying wages. That means on your record you have three
14:28
zeros, right, because it's the highest thirty five and it's zeros until you
14:33
fill them in. Well, then any work you do is is going to
14:35
take away a zero and put in a number there, which means that it
14:39
will raise your overall table and yes, benefit you. However, if those
14:43
years are not replacing either zeros or lower present value term incomes than it won't
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have an adjustment. Is this making sense, Terry, Well, it's more.
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It's more complicated than I thought it might be. Sorry, Terry's obligated.
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Feel free to call into our office and I can try to explain it
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in greater detail. It is complicated. But to answer your question, it
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may benefit you. It depends on what your prior working income was. But
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a great question, real fascinating stuff, Terry. Thank you for the call.
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Great question. And I know, and anytime folks want to call in
15:18
with questions about any topic revolving around or involving retirement planning, great opportunity.
15:24
I know. Social security is always a very popular conversation. Mentioned calling in
15:28
six O eight four four two five six three seven to Class Financial office right
15:31
here in Madison. No charge for the initial gets now appointment at Class Financial
15:33
again their number six eight four four two five six three seven. Or to
15:37
be like Terry and get on the air this morning, I'll gotta do is
15:39
called station six O eight three two one thirteen ten. That's six O eight
15:43
three two one thirteen ten. We are talking debt this week on Money in
15:48
Motion right here on thirteen ten. Wiva with class financial and Malia. Let's
15:52
talk about some of the numbers and how much debt Americans in retirement generally carry
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these days. Yeah, so it is a pretty big number. I mean,
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obviously, people spend money and that helps the economy, and you know,
16:04
the economy appreciates that, but your personal balance sheet not so much.
16:10
So when we look at total household debt right now, that would include mortgages,
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student loans, car loans, credit cards, you know, personal loans,
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and you know, you add all that up is a pretty big ticket.
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So according to the Federal Reserve Bank of New York, household debt balances
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in the US they actually set a record high this year in the first quarter
16:33
of twenty twenty three. That record high seventeen point zero five trillion dollars.
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So that is huge and again it moves the economy along, but it's not
16:45
helping you. So that actually was a growth of over one hundred and forty
16:48
eight billion dollars from the fourth quarter of the previous year. So we looked
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at a study that Credit Karma did of over seventy eight million Credit Karma members
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and they what they looked at was baby boomers. So those are folks born
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between nineteen forty six and nineteen sixty four who are typically retired or on their
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way to retirement in the next five to seven years. And this is really
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critical for our discussions today. And we found that in that study they carry
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an average auto loan debt of twenty two thousand dollars, credit card debt of
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seven thousand dollars, and a mortgage debt of one hundred and eighty eight thousand
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dollars, again along with other debt obligations will speak of a little later.
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What's important to note though here is is we know right now auto loans,
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which are going get into detail, and credit card debt right now is just
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astronomical. I met with someone in the last in the last month who you
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know, kind of the worst case scenario, has not only a four oh
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one k loan, also has credit card debt also, you know, in
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the two to twenty nine percent being charged in that credit card debt is also
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engaged with a debt management service, you know, and it goes on and
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on as far as you know. Once you get in that little tornado of
18:08
credit card issues, it just can explode. As CJ was mentioning, So
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we would say some suggestions to help you stay away from debt, especially when
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you start hearing these numbers how explosive they are. Stop just stop stop adding
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to your debt balances, remove those credit cards from your wallet, and actually
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sit down and talk to someone because a lot of people are just afraid they
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don't. You know, I respect people that say, hey, I have
18:34
the situation, what are my best next steps? And you really need to
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talk to a professional, whether it be your accountant or a financial advisor or
18:44
a mentor in your life. You really need to understand what those current interest
18:48
rates are and how they're going to affect your future debt. So this is
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this is actually a show that we try to do at least once a year,
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just kind of reminding people as far as what those credit card hard and
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other debt balance interest rates are. Right now, we want you to prioritize
19:06
by paying off your high interest credit card usually debt first and use a debt
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reduction payoff calculator. There's a lot of them out there now they're free.
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You can go to creditcarma dot com, calculator dot net. You can figure
19:19
this out on your own if you'd like. And last, I'm going to
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say, pay your bills on time. This seems like the easiest step to
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take. And now if you don't have money, that's an issue you got
19:30
to figure out how to prioritize. But those late payments are going to result
19:33
in fees that's further going to increase your debt balances and hurt your credit scores
19:37
in the future. It's it's just as vicious cycle. So sit down,
19:41
talk to someone about getting things going the right direction so you can plan for
19:47
a better retirement. Important guidance and see, I've seen some of those credit
19:51
we're gonna get into those. Some of those credit card rates are like,
19:52
oh my goodness, it's it is staggering and definitely great advice. As always
19:56
from a retirement planning professionals only equate us and c J Lostow got time.
20:00
If you've got a question, love to get you on the air with Malia
20:03
and CJ. I'll get just give us call six O eight three two one
20:06
thirteen ten. That's three two one thirteen ten. We'll get you right on
20:08
the show. You can learn more about Class Financial on their website class financial
20:12
dot com. That's klaas financial dot com and the number six O eight four
20:18
four two five six three seven for that's for the office right here in Madison.
20:22
No charge for the initial gets to know you appointment at Class Financial.
20:23
It is complimentary to you six O eight four four two five six three seven.
20:29
And to get on the air six O eight three two one thirteen ten.
20:30
That's three two one thirteen ten. Hope you're sitting down. We're going
20:33
to talk about some of those rates when it comes to credit cards with the
20:37
details from CJ Malia and take your call next as Money in Motion with Class
20:41
Financial continues here on thirteen ten w IBA. This is Money in Motion with
20:49
Class Financial, a fun and informative show designed to help you get answers to
20:55
all your retirement questions in one place, talking with our retirement planning professional from
21:00
the Class Financial CJ. Claus and Malia Quavis. The website Class Financial dot
21:04
com. That's k l A a financial dot com, great website, great
21:08
resource and Claus Financial dot Com. Our telephone number six O eight four four
21:12
two five six three seven. No charge for financial gets no employment deck Class
21:17
Financial. It will be complimentary to you again. The website Class Financial dot
21:21
Com. The number six eight four four two five six three seven as we've
21:25
been talking this morning, I hear Dave Ramsey his voice in the back of
21:27
my head saying, debt is dumb. And you know what, it's a
21:32
great thing to always have lingering in the back of your mind, which I
21:33
believe he does that us as that on purpose. But we're talking about debt
21:37
and of course debt as you prepare or enter into retirement. Great program for
21:41
miss any part of the show, don't forget. You can listen back as
21:45
well. Subscribe to the podcast at class financial dot com. That's Class k
21:48
l a as financial dot com so CJ. When looking at the different kinds
21:52
of debt we have, should we be seeing things? Uh? What do
21:56
we kind of look at when it comes to interst rates? What are some
22:00
of those? What does some of those look like? Uh? And obviously
22:03
things that interest rates do change, So what do we what do we need
22:07
to know there, man d in terms of credit card interest rates and home
22:12
loans and what those look like. And then Malia will jump into other things
22:15
like auto loans and student loans. But here's here's what I'll generally say.
22:19
Yes, interest rates change over time, and if if you haven't paid attention,
22:25
they've changed a lot in the last year and a half. For the
22:29
better part of a decade, interest rates were quite low, relatively speaking.
22:32
You could get a you know, thirty year home mortgage with average credit at
22:34
about three percent. Now that's closer to six and a half to seven percent
22:38
on a thirty year mortgage. So again, let me go through through some
22:41
stats here. So credit cards. According to lending Tree, the average credit
22:45
card interest rate in America today is twenty four point three seven percent. This
22:51
is the highest since lending Tree began tracking it back in twenty nineteen. Now,
22:55
truth be told, they only started tracking this in twenty nineteen. I
22:59
know for a fact in the late seventies early eighties credit card interest rates were
23:02
even higher than this. But it doesn't matter. It's twenty four point three
23:07
seven percent. And by the way, if you have really, really,
23:08
really good credit, it's only twenty one percent. I'm laughing at this because
23:15
these rates are insane. Anybody who is listening to me right now that is
23:22
not paying their credit card to zero during every cycle. If you are paying
23:26
any interest, you are being obliterated by that interest rate, even if you
23:33
have spectacular credit. And please do not think that having a good credit score
23:40
is a big deal relative to the interest or debt that you have. You
23:45
should be more focused on not having debt than having good credit. Let me
23:49
repeat myself, you should be more focused on not having debt or eliminating debt
23:56
than having a good credit score. But nobody goes into cocktail party and says,
24:00
or very few I should say, gosh, my spouse and I or
24:03
if I've worked really hard to keep debt at a minimum so that I can
24:07
hold on and my greatest wealth building tool in my income, and so I've
24:11
eliminated debt. But gosh, the number of people who talk about their credit
24:15
score, I just it's insanity to me. Please don't talk about your credit
24:18
score. Instead, talk about how ruthlessly you are eliminating debt from your life,
24:23
because these interest rates, specially on credit cards, will eat you alive
24:30
home loans. Ideally, as we approach retirement, we would prefer that you
24:33
have either no or very little of a mortgage left. As of August twenty
24:37
third, of twenty twenty three, by the way, that's my birthday,
24:41
August twenty three, the national average a thirty year fixed mortgage APR is seven
24:47
point six three percent, with the average fifteen year fixed rate mortgage is at
24:51
six point eight nine percent. This is according to bank Rate's latest survey of
24:56
the national largest mortgage lenders. While those rates are certainly much better than the
25:02
credit cards at twenty to twenty five percent, still that you know, seven
25:07
and a half or seven to eight percent on a thirty year fixed rate mortgage
25:12
is much higher than it used to be, and therefore you will again want
25:17
to try to eliminate that debt. Now. Back in the day, when
25:22
the standard deduction amount was half of what it is today, often people could
25:27
deduct the interest through their itemization on their tax return. Some of you know
25:33
what I'm talking about. Some of you do not. Here's what I'd say
25:36
to you that math has never worked very well. Let me repeat myself that
25:41
math has never worked very well, So set another way. To keep a
25:45
mortgage just to get an interest deduction is mathematically nonsensical. Let me repeat myself.
25:55
To keep a mortgage with an interest deduction so that you can deduct it
25:57
on your income taxes is pretty nonsensical if you have the ability to reduce it.
26:03
Now if you don't, if you're stuck and you get the mortgage deduction.
26:07
I'm happy you get that, Please don't misunderstand me. That does benefit
26:11
you. But if you could be paying it off and you're not just to
26:15
keep the mortgage interest deduction, that is nonsensical. Not to mention that debt
26:19
creates risk, and of course, as you get closer to retirement, you
26:22
want to reduce that risk. So I'm going to pass it off to Malia.
26:26
I feel like I'm starting to sound a little bit too much like Dave
26:30
Ramsey. I'm getting aggressive with my language, but generally speaking, as you
26:33
can hear by my voice, we would suggest the closer you get to retirement,
26:37
the more serious need to be about getting rid of that debt. So
26:38
I touched on credit cards, home loans, and Malia. Then what about
26:41
auto loans and student loans. Well, we recognize that people still like to
26:48
drive a car even when they're retired, and so as CJ mentioned, you
26:52
know, unless you've had your your head in a hole the last year and
26:56
a half and you didn't notice interest rates. Well, some of my clients
27:00
are deciding I need a car. So not only is it sticker shock when
27:04
they go out to buy the car, they're also having to order them many
27:08
of them are not on the lot, so FYI for those thinking about buying
27:11
a car, and then secondly they figure, if I'm going to actually finance
27:18
this car, it's way more expensive than I've been used to eight years ago
27:22
or whatever. So what we're seeing as of mid August of twenty twenty three
27:27
aprs arranging between five point one percent up to twenty one percent. Again,
27:33
it depends on the type of auto loan you're looking at. If you're going
27:36
to finance, we would just say be very very careful because those normal sixty
27:41
month loans have in the last few years extended out to seventy two and even
27:47
eighty four months. So the people just like to look at, Okay,
27:52
what's my monthly cost, and they're not looking at the big picture. So
27:55
we would say be very careful if you do need to finance your car.
27:59
Ideal you've got savings stored up to purchase this car. Again, we're planners
28:03
and we help people make sure that they have that available so they maybe don't
28:07
have to go the finance route. The other thing we want to mention this
28:10
worry student loans is a lot of information out in the news about this.
28:14
Right now, I'd just like to tell people. Number one, borrowers are
28:18
set to resume payments on their federal student loans on September first. I think
28:25
that's tomorrow. Hello, you've had three years of forbearance on your loans since
28:30
COVID, and you've got to start paying if you haven't been. I applaud
28:34
people who continued paying their student loans throughout the last few years despite what they
28:41
were dealing with. But that is going to resume and interest will start again.
28:45
Now it's important to understand today if you're taking out federal student loans for
28:49
undergraduates, those interest rates have also increased, and they're looking in the range
28:53
of five and a half percent. For the twenty twenty three twenty four school
28:59
year graduate students, those interest rates are over seven percent, and so those
29:04
can really get in the higher higher interest rates if you're doing certain kinds of
29:10
loans such as direct plus et cetera. So you want to be very careful
29:14
about what you're signing. You know, we want you to go to school,
29:17
get a good education, etc. But someone's going to be paying for
29:21
that in the future, and it's likely yourself. So just understand clearly understand
29:26
what those interest rates are as you're signing each year's student loans into place.
29:30
Any big takeaways from today show, Malia, Well, we would say,
29:36
as CJ has mentioned over and over again, our goal for you is you
29:40
know as an investor, as a future retiree, that you should make retiring
29:45
debt free or even mortgage free a priority. So again this needs to be
29:49
done simultaneously. At the same time, you're trying to make sure you have
29:53
enough saved for retirement. It's not easy, especially if you've raised a family,
29:57
but with a plan, you can get there. And that's what we
30:00
try to help people do every day. Very important stuff our retirement planning professionals
30:04
from Class Financial, CJ. Clausen, Malia Quavis don't forget if you have
30:07
missed any part of today's program, you want to listen back, share the
30:11
program as well. Check them out online Class financial dot com. That's klaas
30:15
Finance dot com. You get the podcast right there again, Share this information
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with your friends and family as well. Get subscribed all online Claus Financial dot
30:22
Com teleph number six O eight four four two five six three seven No charge
30:26
for that initial get to know your appointment at Claus Financially. It is complimentary
30:30
to you again. The number six O eight four four two five six three
30:33
seven. Also want to hold on to that telephon number because it's time now
30:36
for the class quiz question the week. Works like this. In just a
30:37
moment, I will ask you the class quiz question the week. You will
30:41
then have thirty minutes from the end today's program to call the Claus Financial office
30:44
right here in Madison at six eight four four two five six three seven.
30:48
If you are the first caller with correct answer this week claus quiz question the
30:51
Week, you'll win a twenty five dollars gift card two Sephora. This week's
30:55
class quiz question the week? Is this true or false? Love these?
30:59
In the first core of twenty twenty three, household debt balances in the United
31:03
States reached a record high of seventeen trillion dollars True or false telephone number six
31:11
eight four four two five, six three seven. First call correct ansal win
31:15
the twenty five dollars gift card. Don't forget as well. That's Class Financial's
31:18
office right here in Madison. No charge Financial gets no you appoyment tech Class
31:21
Financial, it will be complimentary to you again. The number six eight four,
31:25
four, two, five, six, three seven CJ Malia, It's
31:27
always great chatting with you guys. Enjoy this most beautiful days. Thanks.
31:32
News comes your way. Next right here on thirteen ten WIBA. This is
31:40
Money in Motion with Class Financial Asset Advisors LLC, a registered investment advisor registered
31:47
with the SEC. The content of this show is for informational purposes only and
31:52
should not be considered individual investment advice. Class Financial does not offer tax or
31:57
legal advice. Any opinion offered during the course of this show is the opinion
32:01
of that particular investment advisor representative, and not necessarily the opinion of Class Financial