The Top Financial Habits of Wealthy People

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4.28.23: this mp3 audio file was automatically transcribed by Sonix with the best speech-to-text algorithms. This transcript may contain errors.

Producer:
Any examples used are for illustrative purposes only and do not take into account your particular investment objectives, financial situation or needs and may not be suitable for all investors. It is not intended to predict the performance of any specific investment and is not a solicitation or recommendation of any investment strategy.

Producer:
Welcome to The Buckeye Advisor with your host, Woody Bowling. Woody is a fiduciary licensed financial advisor and Medicare expert who always places your needs first. Woody works hard each day to educate Americans like you on how to reach the financial freedom they've worked so hard for. And he can help you, too. So now let's start the show. Here's Woody Bowling.

Woody Bowling:
Greetings and good morning. All of our listeners in radio, land, podcast, land and any other land you might be in Catching The Buckeye Advisor and our most recent episode that we are doing today. My name is Woody Bowling and I am The Buckeye Advisor, therefore the name of the program and I want to welcome in right away. Without any further ado, Mr. Matt McClure. Matt is our producer as well as co-host who consistently brings a robin to my Batman. And I couldn't be more happy to have Matt here today. Welcome, Matt. How are you? I hope you had a great week.

Producer:
I am doing great. Woody, I hope you've had a great week as well. I'm here in Vegas because I've been at the Mediterraneans conference, which I know is something with with your with Medicare being such a big part of what you do, something that you're familiar with. But yeah, no, it's been absolutely great and I, I'm happy to be here to be your, your Robin although I do have sometimes a hard time squeezing into the costume. But other than that, it's good.

Woody Bowling:
Well, you know, I don't wear the Batman often. Those darn tights. I'm not fond of seeing myself in those either. So. But let's move on. It's a big weekend for me personally. My twin daughters are turning 27 this weekend on Sunday, as people may know, or if you don't know, we air on 94.5 FM. The answer Dayton Each Saturday morning at ten until 11, we re-air that program on Sundays from 9 to 10. The station was gracious enough to give us that replay each week. Podcast wherever you're available on podcast to listen, please look up The Buckeye Advisor and that's with an Or. My girls are 27 on Sunday the 30th beautiful daughters inside and out. So proud of both of them. One is a registered nurse, the other is a self employed cosmetologist who does an amazing job with hair. She just talented beyond belief. And then also my niece, who is 23, is graduating from nursing school this weekend in Cincinnati. So that's an exciting achievement for her. So, Matt, you know, God bless those nurses. I just couldn't do it. Oh, my gosh. And I've had some time in the hospital in the last couple of years with both of my parents and God love them. Those nurses, aides and nurses, they are called to do what they do. Many of them are. And there are so many good ones. It's unfortunate. There's a few bad ones that kind of ruin the reputation at times. But I think those people love humanity and they really care.

Producer:
Yeah, they absolutely do. You know, the few times that I've had to, you know, go go to the hospital for any reason myself or if I had a loved one or whoever that was there, boy, I tell you, they I have so much respect for anybody in the health care profession, especially those nurses who are really kind of the boots on the ground dealing with everybody every day. It takes a special kind of person. So, yeah, congratulations there to your your niece, your your other daughter and your your other daughter, who's the cosmetologist as well. Boy, my my mom actually, before she retired, was a cosmetologist for many years. So I know how how difficult that job can be as well and a completely different way. So congratulations.

Woody Bowling:
Gosh, yeah. But you know, you're always trying. You get the pressure of making people look better. So, you know, it was an interesting week this week in the stock market. I always want to touch on that. Usually every show for a moment or two, a big earnings week with some big names led by no less than Microsoft and Alphabet. Alphabet is the parent company of Google. As most people know, they also own YouTube, the number one and number two searches search engines in the world, basically. So Alphabet knows a thing or two about technology. So does Microsoft. And both had pleasant earnings announcements this week, which helped the Nasdaq index rebound from some early week carnage. I will use that word because investors are nervous. People are looking this show. You know, each week we talk about things that we can help people do to gear towards a good retirement. And, you know, I'm glad that we do that. But people are looking for things with some certainty, some guarantees. Most people don't mind a little bit of risk. But as tendency is, as people get older, they want to reduce their risk. And it makes complete sense to do that. You don't want to be full on stock market risk as you get older and into your 60s and beyond.

Woody Bowling:
You definitely want to take care of that and use smart risk and smart, safe strategies that we talk about each week. So an interesting week in the market as every week is. Technology is continuing to drive the Nasdaq index. We did see some positive reactions. Midweek there. So we shall see. We're going to hear in the near future what the Federal Reserve is doing as far as the next rate increase, if there will be one. I think most people agree there will be one of 25 basis points or a quarter point at least. After that, that's the big question. What happens next? Will they just hang tight for a while? I think that's probably what most people are expecting. And, you know, Matt, history says that when the Fed stops raising rates and we've been doing this for 16 months with the Federal Reserve raising rates at the fastest clip since the 1980s, the stock market usually will bounce back and go on a nice little run. So on the investment advisory side of my business, I'm excited about that as we also are able to continue to talk about the other strategies that we do to help people create an income in retirement, which is very, very important.

Producer:
Yeah, absolutely. And if past is prologue, definitely some, you know, good times to look forward to there once we get past this as we say, often here on the show, our crystal ball is in the shop. But again, if past is prologue, that could be what is very well around the corner. So definitely some some up times there too to be sure if we if we use the past as our guide. Also want to tell you folks here, you can find us on the website remember The Buckeye Advisor.com that's all one word and it's advisor with an R by the way The Buckeye Advisor.com or you can go to the YouTube channel. Just go to YouTube search for The Buckeye Advisor there and don't hesitate to reach out. I mean Woody is is everywhere on online there as as I've said on the socials and on the website but you can also call him do it the old fashioned way do (937) 974-6201. That is the number once again (937) 974-6201. And Woody, a lot of great stuff to come up today. We're going to talk about the top financial habits of wealthy people. I did not use myself as an example of this. But one day, one day, I will hopefully we'll have some great little tips here for folks so they can count themselves among the wealthy. All that and more coming up here on the show over this next hour. But first, let's get things started off, shall we, with our ever famous quote of the week.

Producer:
And now wholesome financial wisdom. It's time for the Quote of the Week.

Producer:
And this week, our words of wisdom come from Milton Friedman. And those words that he is sharing with all of us today are this quote Nobody spends somebody else's money as carefully as they spend their own. You know, it's very true. It's I know if I somebody lends me their credit card or something to go out and buy, I'm not necessarily going to buy the thing that's on sale. But if it's my money, boy, I want to save every penny.

Woody Bowling:
Yeah, no doubt about it. I mean, I think that that I would consider that to be accurate for gifts. There's things that I wouldn't buy myself. But if if someone if my birthday's around the corner or Father's Day is around the corner here in a couple of months, you know, I might suggest something as a gift that maybe I wouldn't buy for myself just because I'm being a cheapskate, but I might suggest it as a gift. So Mr. Friedman is well on his way to giving us another good quote of the week. And, you know, Friedman is a renowned person in the economics world. So, you know, it's a good thing to think about. And it's even better to think about how you spend your own money. And that's going to be one of the upcoming topics here very shortly in our show.

Producer:
Yeah, absolutely is. And you know, folks wanted to say here, too, if you are really ready to get more serious about what's happening with your particular money, if you want to start watching those those pennies and dimes and nickels and, you know, make sure that you know where everything is going, make sure that you have a plan in place for your future. You can call or book a free consultation online at TheBuckeyeAdvisor.com that's The Buckeye Advisor.com or you can call Woody at (937) 974-6201. And if you've got questions I mean what do you answer them so that's that's basically what it boils down to and that free consultation and of course we'll share more information about that as the show goes along today. Well, here we go, Woody, with our main bulk of the show today. And that is what I alluded to earlier, the top financial habits of wealthy people. This is sort of taken from an article out of Yahoo Finance and some really great things here that are not just for the wealthy. And I think that the very first one off the top is definitely not just for the wealthy. I think everybody needs to do this, and that is to set financial goals.

Woody Bowling:
Huge, huge thing. And I'll say this, Matt. You know, I meet with some new folks usually each week, and I think people are sometimes taken aback by this, by the fact that when we sit down and talk, that really and truly it's a conversation about their situation. And I give them a little more detailed background about myself. But it's a laid back conversation. It's really me getting acquainted with them understanding by asking some questions, their own situation, you know, where they want to be in a certain amount of time. What's their most important 2 or 3 things they want to accomplish out of our meeting. And you know, that drives it. But number one, set financial goals. There's no substitute for that. I mean, I'm a big believer in writing goals down a daily goal through a to do list, a monthly goal, Hey, I want to save a certain amount of money each month and set that aside in addition to a 401. K or 403 B contribution. You know, I think it makes sense to set aside more money. We always want to have 4 to 6 months worth of our expenses on hand in an emergency fund, you know, probably in the bank savings account, checking account, whatever, because things happen, life happens, and we just know that. Very important. Write the goals down and then follow up on them. Make sure that just because there's a bump in the road, occasionally people can get frustrated.

Woody Bowling:
That's just what happens in life. People get frustrated and say, Oh, well, shucks, you know, I'm off. I screwed that up and I didn't do it for two months and I'm just going to abandon my plan. You can't do that. Or, you know, if the stock market had a bad year like it did, don't stop contributing to your retirement plans. You got to still keep doing it. Be consistent and keep going. But those goals, short, short term, medium term and then long range goals depending on your age and they will change. And you need to be able to make adjustments and communicate with the people that need to know that if it's your spouse or significant other. Make sure you've got all your ducks in a row and that everybody's on the same page. Because as you know, if we're in a small boat and one person's paddling one direction and the other person is paddling the other, you're not going to go forward. You're just going to probably go in a circle or a crazy direction. So get everybody on the same page, write them down, be able to make adjustments and, you know, talk to a fiduciary advisor like myself, make sure those goals are realistic and, you know, who will also help you stay accountable for those goals, because that's important. Having somebody to hold you accountable is a good thing.

Producer:
Oh, yeah, definitely so. And you know, speaking of accountability, follow a budget is number two on this list. And I think that there's, you know, almost nothing better aside from having someone who is a fiduciary financial advisor in your corner working with you to keep you on track with those goals that you set. But like on a month to month basis, having a budget and following it is so, so important because if you don't have one, there's chances are a lot of places that your money's going. You really have no idea when it comes right down to it until you get it all down on paper and see where it all goes. And, you know, there could be a lot of things that that you're paying for each and every month that you don't even realize you're paying for. And you definitely don't realize the amount that's going toward a lot of stuff.

Woody Bowling:
Oh, my gosh. I mean, the the crazy good thing about dealing with different subscriptions, too, whether it be a gym or whether it be a newspaper or whether it be some other type of magazine that you really enjoy, that you you know, whether it's a hobby related or, you know, work related or men's health or whatever the magazine, you know, it's awfully easy today to subscribe to Autopay. And once they have you on auto pay, it's going to hit your card every month. Number one, try to pay off your credit cards every month. That's a great idea. So you can avoid the 20 plus percent rate of interest on those cards unless you're doing some sort of a major purchase and you can do six months, same as cash, just pay it off within that time. But. You know, those autopay things are gotchas. So, you know, look, if you're not going to the gym anymore and you and you have been a member of a gym for three years and you're not going and you're working out at home, cancel the darn membership. If you don't really read the magazine, you just throw it on the counter and then wind up recycling it or whatever.

Woody Bowling:
Cancel the subscription, take the extra 5 or 10 minutes and cancel it and save the money. I mean, little things like that. Again, put that budget in writing. And because, you know, sometimes people get pay increases, you get a pay increase. Okay, well, let's splurge a little bit. Well, no, maybe use that extra pay to pay off some debt if you have a debt that you need to pay off. So there's different things to do with the budget. Make sure it's in writing, follow it again, everybody on the same page, and then it will make life smoother in the long run when everybody's, you know, striving to reach the same goal. That's what you want. You want unity when it comes to thinking about retirement. And you know that financial stress is one of the top reasons, if not the top reason for divorce. So and I've seen it happen to people after 50 plus years of marriage. It's crazy to think about, but I've seen it myself. So it you know, the smarter you stay together on a budget, the better off you're going to be.

Producer:
Yeah, definitely. So get that down in writing. Make sure that everybody is on that same page and as part of your budget, you know, you might want to have some investments. That is number three on the list here of the habits of wealthy people, The financial habits of wealthy people, and making smart investments is key. And of course, that word smart, very key here.

Woody Bowling:
Yeah. Smart. I mean, our definition of smart is a little bit different. And as a hybrid financial adviser and insurance professional, you know, I do things differently. I have some very, very great tools that are given to me through Brookstone Capital Management, which is the registered investment advisory firm that I have my license under for the fiduciary side of my business. So they have some great tools that can help clients manage risk. We want to understand how much risk you're comfortable with and we can go from there. So, you know, number one, make sure you keep doing the investing on a periodic basis, whether it be monthly, weekly, per paycheck, whatever, you know as much as you can. So you don't necessarily have to starve yourself and eat macaroni and cheese for every dinner. Okay. So let's not take it to the extreme. But when you're committed to saving, it feels good. Pay yourself each month or whatever. And that's going to increase your long term sustainability and improve your chances of being where you want to be when you get to that retirement end zone. Or if you just if you just retired in the last couple of years. We're talking to you, too. You know, if your money is 100% in the stock market or and, you know, a combination of mutual funds with bonds and stocks in those mutual funds, you've had a very difficult road. And, you know, we talk a lot about replacing bonds with some of our strategies that we use here. It makes sense to consider. And, you know, that retirement red zone 5 to 7 years before you get there and then 5 to 7 years after, you know, those decisions you make can impact, especially when it comes to making withdrawals on a regular basis while the market's down, can really make a big impact on your long term sustainability of your retirement money.

Producer:
Yeah, absolutely can. And you know, speaking of of sustainability, one thing that people never want to think about is an emergency and being in an emergency situation. And that can be a difficult time, obviously, for anybody emotionally, physically and all of that, depending on whatever the situation is. But if it turns out to be an emergency, that requires a, you know, a lot of money, you know, the house gets flooded and needs some repairs and the insurance is only covering so much, you know, that that kind of thing, any myriad things can happen. But you need to have that safety net that that security provided for you by your own money set aside for those emergencies. I know that's probably one of the one of the first things that you'll talk about to folks in your consultations with anybody.

Woody Bowling:
Yeah, it is. I mean, we definitely recommend 3 to 6 months, you know, of your monthly expenses. So if your expenses are three grand a month, very simply multiply that by three, four, 5 or 6 and make sure you've got it set aside. And I can tell you what I do believe is if people that are listening today, if you're listening in your car or you're listening on your on a podcast, you know, relaxing on a beach somewhere, lucky you. But I think people that own a home or own a condo, especially homeowners. They realize that things happen. It's always something. It seems like with a home, it could be a water heater. One month, a few months later, something else pops up. There's a tear in the carpet. We need new flooring. You know, the wood flooring has got a problem, so there's always something going on, especially for homeowners. So we realize, you know, central air is going to go out. The furnace is going to go out. So keep some money on hand. Keep access to other forms. And again, you know, there are some good offers out there that if you are buying a major purchase for your home, whether it be an appliance package or a home repair, these companies have gotten very savvy at making it affordable. And they sell these things on payments now on their commercials. Hey, you can get a new roof, you can get a new this and new that for only $99 per month. Well, that's if you qualify for the financing. But then if you don't pay that off within a certain amount of time, you're going to pay a ginormous interest rate on that repair. So yeah, I mean, if you we want people to keep money on hand, but not too much.

Producer:
Yeah, that's true. You got to make sure that you have the right amount on hand. But again, you don't want to necessarily be putting yourself in a situation where you are struggling elsewhere financially and you've got that money sitting there. You know, you've got to strike that balance. That's why one of the reasons why it's important to speak to someone like Woody Bowling and get that amount sort of settled there and know how much needs to be set aside. Everybody's situation is different, so it's important that you get those those things analysed and taken care of there. And another this is so it goes hand in hand with number five on our list of the financial habits of wealthy people live below their means. I mean, it sort of should go without saying here is a, you know, don't spend more than you bring in. But it really does bear repeating as we're talking about things like, you know, credit cards and all of that, which can lead to you easily doing just that.

Woody Bowling:
Yeah. I mean, the old story, the old story that's been told for ever about the farmer in overalls going into the new car dealership and all the salespeople basically just walked past him because they underestimate him and he's really going to pay cash for his new vehicle. And he's just not dressed, you know, in any type of fancy fashion. So don't judge a book by its cover. But again, you know, I'm not saying you can't drive a nice car necessarily, but at the same time, you know, make it make sense and don't try to keep up with your neighbour who has two new cars. And unbeknownst to you, they have leveraged themselves badly when it comes to two new vehicles, major amounts of credit card debt, etcetera. There's a lot of things going on below the surface that we don't know about with people that appear to be doing well, and sometimes they just, you know, they don't know how to live below their means. And that's great advice. Pay your debts off. Pay extra money on your principal, your mortgage every month, and try to avoid credit card debt. Those are great things to do. And if you live below your means for a long period of time, you will wind up reaping the benefits through the additional savings that you can create for yourself and building that equity in your home as well.

Producer:
Yeah, you absolutely can. And what is that the old saying there? What do you champagne taste and a beer budget. Is that the thing? That's right. That's what a lot of people have. And you don't realize it until you get a look under the hood of their of their finances. And it might on the outside appear like they just have all the nice fancy things. But under the hood they've got all that debt that's that's there as well. So just, just be careful with that and live within your means. Definitely. Well, it is just about time here for us to wrap up the first half of the show, Woody, but we got a lot more to come. Of course, we'll continue talking about the 15 habits of wealthy people, those financial habits that we've been running down. Much more to the show as well after that. And of course, we'll continue with the ever famous and popular and in demand Dad Joke of the Week. That's coming up right after the break. This is The Buckeye Advisor. Stick around.

Producer:
Thanks for listening to The Buckeye Advisor. If you like what you're hearing, subscribe to our YouTube channel to watch videos from this program and other recent episodes. Are you concerned about? Market volatility, inflation, rising taxes, and how it all could affect your future in retirement? Then tune in to The Buckeye Advisor with Woody Bowling to learn how you can reduce the taxes you pay before and during retirement. The Buckeye Advisor Saturdays at 10 a.m. and Sunday mornings at nine right here on 94.5 FM. The answer. Schedule a free no obligation consultation now at TheBuckeyeAdvisor.com.

Producer:
Welcome back. This is The Buckeye Advisor. I am Matt McClure here alongside Woody Bowling, who is The Buckeye Advisor, and you can give him a call at (937) 974-6201 to schedule a free consultation That's 937974 6201 or you can visit us online The Buckeye Advisor.com that's all one word and advisor with an or The Buckeye Advisor.com.

Producer:
Oh, sure, you can handle ghost peppers. You choose scorpions like Skittles. But can you stomach the dad joke of the week?

Producer:
All right, Woody, it is that time once again. I know the calls come in each and every week demanding to hear a new dad joke. And I know you always tell them you got to wait for the show. I can't reveal it before the show. So now, is that all important time that people have been waiting for lay on us, the dad joke of the week?

Woody Bowling:
Well, we are back to the usual dad joke type format this week. Matt, how do celebrities stay cool?

Producer:
How do you know Most of them are just cool to begin with. So I don't know. How do celebrities stay cool.

Woody Bowling:
Because they have many fans that.

Producer:
Oh, you know what, I really need a rim shot sound effect for this.

Woody Bowling:
We do. We got to get one.

Producer:
I really do. We got we've got.

Woody Bowling:
A lot of things. I mean the the work that's been put in around the show, I hope the listeners appreciate it. We've got the introduction to the dad joke, the introduction to other segments. You know, some great stuff, the rim shot, but hopefully you enjoyed that joke, retell it. I don't have any trademarks whatsoever and enjoy and if you didn't care for it as much or if you loved it so much, you can't wait. Either way, come back next week and we'll do it again, right?

Producer:
Yeah, exactly. It's like, you know, if you if you love it, tell your friends. If you didn't love it, just keep your mouth shut, all right? Or just tell them to listen to The Buckeye Advisor either way, and we'll go for that. But as we continue on here, Woody, with the show, we've been talking about the 15 financial habits of wealthy people. And the reason that we're going through these, of course, is to share with you the listener, you know, information and tips that might be helpful for you and your own situation. Because if these are things that that wealthy people do, that doesn't mean that you necessarily have to have a ton of money to be able to do these things. Right. These are financial habits that could help you get to a point where you consider yourself wealthy or you are in a better position financially than you're currently in. So right now we're on number six on the list and actually just run down the top five here that we've already gone through. That's set financial goals, follow a budget, make smart investments, save for emergencies and live below your means. Number six on this list is take advantage of benefits. And we're talking about the employer offered benefits, right?

Woody Bowling:
Correct. I think most people do that to their knowledge. But sometimes they where I would say is sometimes people will miss the mark because they're not able or they don't think to max out that 401. K contribution or 403 B contribution, you know, if your employer will match up to a certain level, please go to that level, let the employer do their full match. So that's a very important area. And if you have a 401 K or 403 B retirement plan through an employer that you were at for many years and then you left and you're doing something different now and you just haven't taken the time to do anything with it. We call that a stray 401 K, meaning it really doesn't have a home that cares about it. The employer doesn't care about it. They're going to keep it where it was. So regardless of your age, 50s, 40s, 60s, you know, give me a call. Let's talk about let's sit down and talk about this X employers 401 K because you need to really help it find a new home. We can move it over into an IRA for you. Maybe it makes sense to consider a Roth IRA and get the future taxation away from it. So different things we can help with. But yeah, benefits whether it's health insurance 401. K life insurance if the company offers especially if you've got some health issues and they offer typically you can upgrade your life insurance. That's an area where people sometimes miss out on because they might have a little bit of trouble getting life insurance outside the workplace through a group plan. It might make sense to up that if it's available because normally it's going to be very cheap because it's a term life written through a group. So they're going to have to take it.

Producer:
And you know, you're speaking of those Orphan 401 K's, those stray 401 K's, otherwise known as I actually just had a friend, actually, my cousin, I had coffee with him last week and he was we got to talking about financial things. I was telling him about the work that I've been doing because I hadn't seen him in a while. And he was talking about, you know, he had found an app, a service that actually will help find if there are stray 401 K's out there from old jobs that you don't even know about. And he actually had one there with like, you know, tens of thousands of dollars in this 401. K from a previous employer that he had just kind of forgotten about because it. Been years, but it had been the money had been sitting there and it had been sitting in that investment account and growing, but not, you know, in anywhere very out of sight, out of mind. So it can be easy to do. And so, yeah, I mean, it's definitely something to check out there. So definitely for him do that.

Woody Bowling:
Good for him. And the technology can be amazing that's available today like that to help track down an old 401. K. It's amazing what they can do, but good for good for your cousin. That's excellent.

Producer:
Yeah, it's good. Good news there. And a number seven is not something that people really ever like to talk about. You know, we've just been through tax season here over the past couple of weeks, but the number seven habit of wealthy people, financial habit of wealthy people is to strategize for taxes. So what do we mean when we when we say strategize for taxes here? Well, the.

Woody Bowling:
Primary thing is, is if you can come up with enough deductions on your own that you will exceed the standard deduction that's given each year to married and individual filers, then it makes sense to start to strategize by itemizing your expenses and you're going to get a better tax deal. So that's part of it. If your taxes are pretty darn simple and you don't itemize and you get a W-2, you and your spouse or yourself, you just get a W-2. There's no Social Security earnings, none of that. I mean, you're an empty nester. I mean, why would you pay somebody 2 or 300 bucks to do your taxes when you could probably do it yourself online for free? So, you know, there are some savings. I'm not discounting what tax professionals can do because they are valuable. I have somebody doing mine. I'm self employed. I have someone doing mine every year for the last 12, 14 years so that I don't want to discount the importance of a tax professional. But if you have an easy situation, there's an opportunity to save some money and you can still get your refund sent to you very quickly because the IRS is going to process it with no problem. Also, part of your strategy for taxes might be looking at a Roth conversion of a 401. K or an IRA that you currently possess. You know, we've got software available that we can run the numbers and determine if it makes sense to convert some of that retirement money that has never been taxed. It might make sense to convert it all in one year or over a 3 or 4 year period. That's what a good fiduciary advisor can help you do, and I'm happy to help people look at that.

Producer:
Yeah, And then if you are able to do that and if it makes sense for your situation, then that money will grow tax free and then you will be able to make the withdrawals in retirement tax free as well. So it's could be a win win there for you and really be advantageous for your particular tax situation. Number eight on the list is something that I feel like can get overlooked just by its very nature, and that is to grow passive income. And I love this statement here about working smarter, not harder, because I think that that is something that we can probably all do. You know, I think just in life we like to stay busy. We like to do things maybe the way that we've always done them out of habit. But if there's a way to do things smarter, not harder, then I think we should take advantage of that.

Woody Bowling:
Yeah, I agree. And you know, the other thing that people our listeners should keep in mind, it can be a double edged sword. So we want to be careful because your current tax bracket and then you go creating a bunch of additional revenue that could be more tax in your bucket. The other thing people can do is if you have a substantial amount of savings, that's you're not earning a lot of interest on or maybe you're getting. If your investment accounts and your market's been down the last 16 months. So, you know, maybe it makes sense to look at a fixed indexed annuities because Matt for a fixed indexed annuity that's non qualified meaning it's not retirement money. If you invest in an annuity, it's an insurance based product that's going to provide principal protection market like growth depending on the index. The earnings in that fixed indexed annuity are tax deferred. So there's another avenue, another angle on on this passive income thing to look at because certain people might want to actually reduce their income a little bit or keep it steady based on their own, their current earnings. But growing passive income, there's nothing, nothing wrong with that. There's I know a lot of people that own rental property. They are able to write off a lot through the rental properties. So yeah, I mean it royalty income, all those different areas. And there's are people that are a lot more creative than myself at finding these different opportunities. But once they found them, you know, it is important to make sure that you are considering all the tax implications that come along with it.

Producer:
Absolutely. So and that, you know, the tax implications, definitely a big consideration there. But hey, if you want some mailbox money and it's not going to throw your tax situation into a tizzy, then absolutely. That could be a thing, a thing for you. And a lot of wealthy people do it. Well. Number nine on the list of financial habits of wealthy people work with financial professionals. What are your the financial professional around here? So I'll just I'll just let you I'll let you talk about this one.

Woody Bowling:
Well, Matt, I. I agree with that. I've run into the last 2 or 3 weeks. I've run into a couple of different folks that do a lot of their own investing and they actually consider it to be a part time hobby. And but they also at the same time, as they start coming down that final stretch towards retirement, they are ready to hand off the baton at to someone like myself. And certainly I enjoy that. That's what I do. And as a hybrid advisor, we're going to try to take advantage of safe opportunities, smart risk, smart, safe. We want to look at opportunities to create income for our clients in retirement, and we want to try to do it as tax efficiently as we can. But we're also going to help you reduce that stress that comes with doing your own investing. I also run into people that have investments in 4 or 5 different places. You know, they use 4 or 5 different banks and that might be a little too much. So if you're listening and you do all that, you know, consider giving me a call. (937) 974-6201. Let's sit down and talk about your situation. And, you know, maybe we'll come up with some good ideas. Let's get to know each other, see if it might be a fit for us to work together. And I'll offer you some advice as to pertaining to your overall situation. And, you know, it's a good idea for people to talk to a financial professional, really one that can understand everything from Medicare or health insurance to life insurance to long term care and investments. When you get everything all inclusive rolled into one, I can really help walk you through the entire process and you have one point of contact that can help make all those things clear.

Producer:
Yeah, and that's right. Absolutely great to have all of those as a kind of a one stop shop. And if you would like to get in touch with Woody Bowling, The Buckeye Advisor, well you can just go to The Buckeye Advisor.com that is the website. It's all one word The Buckeye Advisor with an or at the end.com or call him at (937) 974-6201. Well Woody as we continue on now with our list of the 15 financial habits of wealthy people, number ten is here's that word again smart. We're making smart purchases now.

Woody Bowling:
Right? And the old joke, I think, with husbands and wives is the wife comes home with a bag full of goods and says all of these were on sale. Look how much money I saved.

Producer:
So.

Woody Bowling:
Well, if you had 12 things like it in your closet. And this applies for men too. You didn't save money. So that that should go without saying. I would say give yourself some time to consider purchases. That helps me in my shopping sometimes. And also when you go shopping, if you have something very specific that you're looking for, stick to that and try not to get distracted to the other aisles. Stick on what you're looking for. Purchase it if you already have it in mind and you can find it and then get out.

Producer:
Yeah, make that list and go in, buy the things on the list and go back out. That's correct. Eye on the prize there. And really kind of going hand in hand with that. Is number 11 on this list. Would he use less credit? This is where, you know, we mentioned it, touched on it a little bit before. It can just get people in a lot of trouble if they use too much credit.

Woody Bowling:
Yeah. Credit cards are easy to use. No. Pull it out. Use it. Boom. Even if you're in a cash crunch, people will tend to do that. I recommend if you're going to use credit cards, try to pay them off monthly if you can. If at all possible, please try to do that. And if you're making big, big purchases, you know, so many credit cards offer, they'll send you a few blank checks every so often and say you can make a major purchase with 0% interest for this many months. That's a great way to buy things. I've done it for furniture and different things over the last few years. Just pay it off within the time frame. You know, divide the number by how many months and pay that much each month and have that disciplined and you'll have it all paid off, know in the right amount of time. And in the long run, that's a great practice.

Producer:
Yeah, it really it really can be. And a convenient way to do things just got to keep on top of it. And and this is part of that too. Number 12 on this list is monitor your finances or work with someone who is going to do it for you. I mean, you've got to keep an eye on exactly where everything is going.

Woody Bowling:
Yeah, no doubt. And as a financial professional, that's what I do. You know, 2 or 3 times a day in the morning, then during the day and then in the evening when everything's done. You know, I'm looking at client accounts that have their investment strategies through me. We're going to monitor those each day. We're going to have calls every few months to talk about how things are going. Is it moving in the right direction? Where do we stand? My phone's always on. People can contact me. So that's what we do. You got to keep track of things. Make sure that you're on the right path to where you want to be. And again, I had a conversation with somebody this week. He said, Woody, you know, I don't have the number that I wanted to have. And I said, That's okay. Most people don't. But how much income can we create out of this by taking a portion of these savings? And we're going to create an income that's going to be really good to supplement his Social Security when he's ready in five years. So he's very happy about that idea. So, listen, if you're not where you think you should be, life happens. We understand that. So just remember, if you congratulate yourself on what you have been able to do and accomplish and forget it, do your best. Congratulate yourself and then let me help you determine what we can do with what you've been able to save and accomplish. And let's structure it so you have a good retirement, because that's very, very possible on less than the big number that you expected.

Producer:
Yeah, absolutely. And that goes back to, you know, what we talk about quite a bit is it's about income in retirement, not about that big number that you might have always imagined in your mind. Another thing here, Woody, that that is on the list of the financial habits of wealthy people. Stay up to date on economic conditions. We try to do that a little bit here on the show. But of course, you need to just really stay in the loop as you are trying to grow your wealth.

Woody Bowling:
Yeah, no doubt. I mean, reading there's so many different sources for financial information and economic. I mean, just the daily News. Watch it for a half an hour. That's all you need. Watch it. Turn it off. Don't stay glued to Fox News or CNN or MSNBC. You know, I can tell you there's people that stay glued to those shows and those stations all day long and listen to all the doom and gloom and all the name calling and politics and the other side's an idiot and this and that and the other. It's just a lot of negativity. So I recommend you limit your screen time on those channels. You know, the sad thing is our country is very polarized. But watch the local news. You'll find out each day about what's going on with rates, with the stock market, all these things. And that's what you need. And then you need an advisor to help you, you know, keep an eye on things as well. Yeah.

Producer:
Having worked in local news at TV and radio stations and stuff for years and years, I can tell you some of the hardest working people that I know and really just want to bring you the information that matters to you. And that's that's really all that it's about. So I am right there 100% with you. Watch it for a half hour and don't get too caught up in all the other name calling and all that stuff. So staying up to date on economic conditions is number 13. Number 14 is take educated risks. You know, we talk about this when we talk about the smart retirement plan. We did that series not all that long ago. And that's sort of the kind of the smart risk portion of that whole conversation, right?

Woody Bowling:
Yeah. I mean, we talk about smart risk a lot. Smart, safe. Talk to us. We'll help shed some more light on it for you. Listen to some of our other episodes. This list is a long one. So we're we're plugging along, trying to get through this list this week. It's a long one. But yeah, it be smart about what you're doing. Having too much money in the market or too much money in the bank, both of those are extremes and they both can be harmful to your financial health during and before retirement. So that's why we want to strike the right balance.

Producer:
Yeah, definitely want to to keep that, you know, strike that right balance, as you say, and as we try and, you know, wrap up our list here, taking educated risk of course, number 14 on the list. So number 15, the very last point here on our list of the 15 financial habits of wealthy people hire help when it makes sense. This one's one that I can't stress enough because I you know, know so many people who just will try to go it alone and think that they're all right. And maybe they are, but maybe they're not.

Woody Bowling:
Yeah, no doubt about it. I'm definitely I'm definitely one of those. I don't have a lot of skill sets in regards to building things, fixing things. So for me, it makes complete financial sense to hire someone who has the expertise, can get the job done quickly and efficiently. I'm happy and more importantly, my wife's happy. So that is the most important thing. Happy wife, happy life. I try to live by that most of the time, although she may disagree.

Producer:
There you go. Well, that's that is very good. And, you know, keep your wife happy or keep your spouse happy out there, folks. Hire some help when it makes sense for you. And I know a guy, his name is Woody Bowling. And you can get in touch with him at TheBuckeyeAdvisor.com or you can call him at (937) 974-6201. It's this week in history and as we like to do pretty much every time we get together here on The Buckeye Advisor we like to talk about where where we've been because you know, if you don't know where you've been, how can you know where you're going? Right? That's kind of the old adage there. But this week in history, boy, some big, big dates here. This date on April 29th, that is 1933. The country music musician Willie Nelson was born. I you know, think of Willie Nelson and I immediately think of On the road again. That song is just one that's kind of an earworm and I'll get stuck in your head. And boy, talk about a legendary guy these days.

Woody Bowling:
I thought you were going to say, when you think of Willie Nelson, you think of one thing and that was going to be cannabis.

Producer:
Well, that, you know, there is that.

Woody Bowling:
Cloud of a cloud of smoke surrounding him.

Producer:
Yes, that, too.

Woody Bowling:
He's amazing. A lot of fun. The guy is an American icon. Wow. I love Willie. Also born this week, 1954, Mr. Jerry Seinfeld. And I got to tell you, that show lives on in reruns, of course, through syndication. But I am guilty of still watching it and still laughing as hard as I did at the original show when they came on. You know, I think it was on from 1989 to 1998, very won a lot of awards. Seinfeld's funny, I've seen him in person. Just has a whole different take on life. And that show was so unique with the cast of characters. Kramer being my favorite, along with George Costanza. Just a lot of fun.

Producer:
Oh yeah, I remember. One of my favorites is the episode where George decides that or that he's read somewhere or something. I forget what the setup was, but he's like, You know, if you're in a meeting or you're in a gathering of people, always leave them wanting more. And so he would like tell a joke or say something that was really funny and then just immediately get up and leave. Oh, I love it. Just good.

Woody Bowling:
Stuff. And they did all that humor without any cursing, without having to be profane. And you know, that clean humor is something that America, I think is missing these days. But hey, Seinfeld was a great run and it still lives on and he's still getting paid for it.

Producer:
Yeah, well, he's he's bringing it in. And one more here, Woody, before we have to split for this week's show. On this date, April 30th, in 1939, National Broadcasting Company, NBC was the first public or made the first public television broadcast in the US at the New York World's Fair back in 1939. Boy, the, you know, just became one of the biggest networks in in the country and of course, still still going strong today. So CBS, ABC, NBC, kind of the big three there, along with Fox Broadcasting as well, and just, you know, has been around for decades and decades. So, yeah.

Woody Bowling:
They're still going strong, but they also have a lot of competition on cable now. Oh, yeah. So it's a it's a different world. And but I am proud to have been here again this week. I think that we've delivered another quality show for our listeners. If you're listening, hope you enjoyed it. Come back and join us next week. Matt, I appreciate you very much and thank you for joining us again. And you know, we hope that you have a wonderful rest of your weekend, Matt, as well as the listeners.

Producer:
Thank you, Woody. Yeah, same to you. And we'll talk at you again next time.

Producer:
Thanks for listening to The Buckeye Advisor. You deserve to work with an experienced and licensed expert who will strategically work to protect and grow your hard earned assets to schedule your free no obligation consultation with Woody, visit TheBuckeyeAdvisor.com or pick up the phone and call that's (937) 974-6201.

Investment Advisory Services offered through Brookstone Capital Management, LLC, BCM A registered investment advisor. Bcm and The Buckeye Advisor are independent of each other. Insurance products and services are not offered through BCM, but are offered and sold through individually licensed and appointed agents. Investments involve risk and unless otherwise stated, are not guaranteed. Past performance cannot be used as an indicator to determine future results.

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