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This week on the Pete the Planner Show, THIS IS OUR 400TH EPISODE!!! 🎊🎉 “Mama we made it!”
Remember: In the first six months of 2021, we’re going to make over five families’ financial lives, LIVE on the air! WE’RE GIVING AWAY FIVE FREE HEY MONEY, MEMBERSHIPS to walk with them across six months telling their stories about their struggles in personal finances.
No time to listen? BUMMER. Here’s some of what happened and when:
HOW DO REAL PARENTS REALLY PLAN TO PAY FOR THEIR KIDS’ COLLEGE?: [3:30]
- Damian released a poll on Twitter asking: “Where are you planning on the biggest source of funds for your kids’ education to come from?”
- Damian: We had 171 responses.
- Four options to choose from: Savings, Loans, Scholarships, or Student/Parent Cash Flow
- Cash Flowing (18% of respondents) is a very reasonable strategy IF it comes along with eliminating other expenses at the same time. Lifestyle creep can make this plan fail fast!
- Scholarships (11.7% of respondents) is difficult, because often times it’s out of your control. It’s a huge maybe until your child approaches college applications/admissions age.
- Loans (14% of respondents) might be more realistic for some. Maybe they aren’t going to have the cashflow, or don’t feel it’s their entire responsibility to pay for their child’s college education and encourage them to work for it.
- Savings/Investing (56% of respondents) for it in advance is our preferred method! Think years ahead!
HOW DO PEOPLE PLAN TO FUND THEIR RETIREMENT?: [18:30]
- Pete: People overcomplicate retirement by not knowing how much they need to save for retirement.
- What percentage of time do people know the exact number they need to save for retirement to retire successfully?
- Damian: Less than 5% of the time.
- Try to determine what “retirement” looks like for you.
- How long does your money need to last? (Consider health status)
- Work with a professional to do the math: how much you’ve already set aside, rate of return for growth, what you’re committed to adding as time goes between now and then
There’s so much more in the full show, including the laughs! — click PLAY below for the full show.
Before you go, give your personal finances a facelift. Peep our personal guidance platform: Hey Money.
Peter Dunn a.k.a. Pete the Planner® is an award-winning financial mind and a former comedian. He’s a USA TODAY columnist, author of ten books, and is the host of the popular radio show and podcast, The Pete the Planner Show. Pete is considered one of the foremost experts on financial wellness in the world, but he’s just as likely to talk your ear off about bass fishing.