# Forever Nevers: The 5 Money Mistakes Suze Orman Says to Never Make | Suze Orman Show Full Episode

## Метаданные

- **Канал:** Suze Orman's Official Channel
- **YouTube:** https://www.youtube.com/watch?v=hyLQHvwdX4E
- **Источник:** https://ekstraktznaniy.ru/video/34971

## Транскрипт

### Segment 1 (00:00 - 05:00) []

Now on the Suze Orman Show the forever nevers These are the top five money moves I never, ever want you to make Also I walked in I was like, this is it This is my dream home Now that home is turned into a financial nightmare for Shanette Keep breathing, keep breathing Okay Breathing And you ask Suze, can I afford it? If we purchase solar panels, our electricity bill is projected to be less than our current monthly payment You're only putting $35 a month in retirement accounts Are you kidding me? Hi, everybody I'm Suze Orman, and you are watching the Suze Orman show All month I've been giving you Financial Forevers timeless advice I want you to have before the Suze Orman Show series exits next Saturday night Can you believe it? March 28th Listen to me That is a show that I do not want you to miss But anyway, here's what I do want you to get right now Sometimes it's easier to know what not to do, rather than what you need to do when it comes to your money So tonight, and beginning with The Forever Nevers, these are the top five money moves I never, ever want you to make Are you ready? And I'm going to count them down Number five can you never buy whole life universal or variable life insurance? Are you kidding me? Remember, you are not to mix insurance with investments and whole life Universal life or variable life insurance carries with it incredibly high commissions for the insurance agent to sell you And they sell it to you saying you could have insurance and invest your money at the same time Can you just trust me? If you need life insurance for life insurance sake, buy term insurance Number four You're never to buy a variable annuity, especially inside a retirement account a variable annuity, another insurance product is simply sold to you under the guise that you have to invest in this You don't have to pay taxes on it You withdraw your money and you'll never get less than what you put in Well, it's true, but you're going to have to die to get back your money It's just not worth it Rather than buying a variable annuity, you are so much better off buying a no load mutual fund, especially within a retirement account Just take my advice and stay away from variable annuities Number three never take a loan from a 401k plan or withdraw money from a retirement account before you retire This is one of the biggest mistakes you make You think it is so smart to take a loan from a 401k and pay off your credit card debt Catch up on payments Are you kidding me? A loan from a 401k plan is a never forever Remember 401k plans are what? Protected against bankruptcy So if you're in financial trouble and you have to claim bankruptcy, you still will have all of that money Don't ever do it Number two, never, ever cosign alone I know you think your children are so great and they want a car and they can't afford a car on their own So you cosign for it Or your boyfriend or your girlfriend, or whoever it may be You want to make sure that they love you So you've cosign on a loan for them Do not ever do that Listen, if a bank will not give somebody a loan on their own, that is a sign for you to not give them your name to get that loan Why? Because if they can't make the payments, you are responsible for it Never ever cosign a loan And last but not least, and this really is the most important never forever of all is this never go into default deferment or forbearance on student loan payments You have got to remember that student loans in most cases are not dischargeable in bankruptcy So here you are You've got a $20,000 or $40,000, whatever it may be, student loan and you think I don't have the money to make these payments, and you just forget about it and you don't make them and you think you're getting away with it You're not 20,000 turns into 40,000 turns into 80,000 And then they come knocking on your door, and that's when you're going to have to pay for it So the most important payment out of all your bills that you will forever have to make is the payment on your student loan So don't ever go into deferment, forbearance or default Do you hear me? Those are my top forever nevers Please remember them, because if you just never do any of those

### Segment 2 (05:00 - 10:00) [5:00]

you will keep yourself out of financial trouble And that's what I want for you Now let's make a house call Hi, Suze My name is Jeanette and I'm 37 years old This American dream has become nothing but a financial disaster, and I'm really hoping you can help me get on track Before I bought the house, I lived a comfortable life with my grandparents I was born and raised in the same house all my life I was engaged in 2006 and the plan was to get married in 2007 My grandfather, suddenly passed away, and it was difficult because emotionally I couldn't be in the house that we grew up in We were shopping around, looking at places that we can possibly make a life at, and we then ended up here When I walked up to the sidewalk and I looked at the house, it looked like a oversize doll house, and I just loved how tranquil and calm it felt I walked in, I was like, this is it This is my dream home I had no idea what I was getting myself into It's an interest only loan that I'm currently paying We hired a real estate lawyer thinking they know everything They're on my side, when in fact they did what was best for them And so while it felt right at the moment, that was a very short lived moment The market crashed the next year We couldn't refinance The house lost $200,000 in value The upkeep of this house has become a huge burden on me My entire roof actually is not in great condition I decided to keep my childhood home because it has a huge emotional value to me You put one here Oh, you’re right and what I decided to do when I moved here is rent it out It's a lot of maintenance The house is almost 100 years old, so my finances are a big hot mess right now Any time when it comes in, it goes out When emergencies do come up, then it's a matter of, okay, what can I do to make this happen? Which nine times out of ten turns out to be a credit card Living with grandma I would say as she gets older, it's getting difficult making decisions for a 75 year old and a five year old It's not easy to find the balance I'm left doing it all alone Suze This house has been a huge destabilizing force in my life and I really need my life back. Can you help me? Oh Shanette I'm so sorry all that happened to you, but I'm kind of happy that all happened to you as well Because at 37, you still have a lot of time to fix everything But it's important for you to really get how powerful you can be and make these decisions on your own Do you know what I mean? I do So why now? Why, when you have been carrying this burden for all this time, what happened that right now you want to fix it? Well, I think it's something I probably would have continued doing had I still been in a healthy marriage But now everything has become clearer and it's just me and my son and my grandmother, and there really is no other way nor the time to do it but now So I'm sort of like at the bottom, hoping that I can find a solution and get my life back Yeah You know, everybody, as you're watching Shanette and hearing her say that to me, I want you to remember, please don't wait till your life hits bottom to then try to figure out a solution You probably kne, Shanette that a long time ago things weren't going well But it's not until you're really at the bottom where you're $1,500 a month short every month of being able to pay your bills That brings you to a place like the Suze Orman Show If you had a magic wand and you could wave it, Shanette and change your life, can you please paint for me the picture that you the perfect financial picture that you would want to have in your life at this very moment What does that look like to you? Absolutely I think the perfect financial picture would be able to pay my house off The house that I live in would, is a house that I want to stay in I want to raise my son there I want to keep my grandmother there It's it feels like it could be a very healthy environment for all of us Are you positive that would be the best thing for you? Are you positive that it's still not because you bought that home at a time when your grandpa left this world? And I've always found that when you make decisions, especially financial ones, at a time when you've suffered a loss, that decision is never a good decision

### Segment 3 (10:00 - 15:00) [10:00]

So is it too much of a house? financial dream? Is there a better way for you to do things? Because right now, the other thing that you have going is that your ex-husband, the father of your child, does give you know, 2000, $2,500 a month towards everything But he also just lost his job Right So without that income for you to be an independent woman, don't you want to see yourself in a situation where it isn't that you have a house, it's where you have true financial independence? That's what I wanted to hear you say that I could be a woman That I can own the power to control my destiny I don't have to be financially dependent on my ex-husband if he doesn't send in that money Now that I put that out for you, if you had your choice to be a woman who owns the power to control her destiny no matter what, or you get to just simply stay in that house, but you're still going to need help Which one would you choose? I would want out I would want my finan... power back Well, I have a magic wand and I can waive it And if you listen and do what I'm telling you as I'm waving this one, you can be a woman who is totally financially independent and a woman that has her power back Are you ready? I am Yeah Does that make you excited? Does that scare you? What does that do to you? Really excited All right And, and the tears are tears of joy, but tears of Oh, my God, I never thought I'd have my power back my whole life That's what those tears are about, right, girlfriend? They sure are So Shanette You said that you just want to simplify your life I get that we all want to live simplified lives But what's complicating your life are these two homes that you own So we're going to have to get rid of both of these homes Now, one is going to put a lot of money in your pocket And another one, it's a little more complicated because you are $200,000 short of what you really owe the bank when you sell it, since you're underwater in this home So you'll probably owe about $100,000 in income tax Stick with me here Keep breathing Yeah Breathing What I want you to do right now is find an apartment that you can move into with your granny and your son I want you to budget about $2,000 a month for that apartment Why do I want you to do it right now? Because when you move into an apartment, they're going to check, most likely the landlord your FICO score If you've already done this short sale, then what's going to happen is it's going to ruin your FICO score and a landlord may not rent to you Do you understand? So let's first get you in the situation where you have your apartment, you're going to sell both the house that you live in as well as your rental When you sell that house, after paying off the equity loan that's on it and everything, you most likely with the, you know, the fees to the real estate agent, you most likely are going to net about Of that $460,000, you're going to put approximately $100,000 away for income tax When you've done all of that and you have paid off all your credit card debt, your car loan debt, your equity loan that you have on that house when everything is paid, it's going to leave you with approximately $330,000 in cash You are going to take about a quarter million dollars, and you're going to invest it in municipal bonds That will give you some nice after tax income That will make you totally financially independent from anybody And it will give you an additional $80,000 that you will have an emergency fund in case something happens How do you feel, as I'm telling you, that I feel really good The producers are going to go in great detail Exactly the steps you should do one after another But I have your whole life laid out here for you, and it's one that you're going to love to live Got that? I got it All right Thank you go and take those tears and go home and hug your granny and hug your son and go our life begins now Up next, she's flipping out over a house flipping proposal

### Segment 4 (15:00 - 20:00) [15:00]

I want to be involved with her, but I'm worried about risking most of my savings Can you hear what I'm hearing? And later you ask Suze, can I afford it? The retreat includes beachfront accommodation Three vegetarian meals, three options for yoga and meditation Now listen to this financial position I know it's not maybe very yoga, but it's a good one Welcome back to The Suze Orman Show, Jill, coming to us from Texas Go for it Hi, Suze My question is really about my sister has been very successful here in the Houston area flipping houses, and she wants us to buy a house to flip it together We're estimating that it's going to cost us each, about $70,000, which would take up most of my liquid savings And I want to be involved with her, but I'm worried about risking most of my savings You know, as you were even asking this question Can you hear what I'm hearing? The fear that you have in your voice And when you're afraid to do something, that's a little signal that says you just shouldn't do it And as she was so successful flipping houses, she should have enough money to be able to continue to flip houses on her own Is she making you this offer just because she knows she could make you a lot of money? Or does she need that $70,000 to continue to flip houses? No, she's she really just wanted something that would be a fun investment for the two of us to do together Yeah, it's not a fun investment when it takes up all of your emergency money, you're going to be the entire time that she's doing it You're going to be, oh my God, what happens if she doesn't flip it and it's taking longer for her to sell it, and it's taken fix it up It's going to really start to eat at you If you feel secure with this $70,000, then leave it there If you have other money that you wouldn't care if you locked up and you risked it, fine, but not with your emergency fund girlfriend That money is there for emergencies, not to flip houses Let's go to Christie in California You are on the Suze Orman show Hi, Suze Hi, Christie What can I do for you tonight? Well, I'm in about $100,000 of credit card debt For some reason, I felt I had to buy my last boyfriend's love, and I paid for everything for several years, and he was out of work Of course, now we're broken up and I'm left with the debt, and I can't afford to make the minimum payments anymore I've already borrowed from my 401k just to stay afloat and I can't do that anymore Obviously, I currently lease a car and I really don't want to hurt my credit score Do you think there's any way I can get out of this mess? How much money do you make per year? About 80,000 All right, here's the rule of thumb When you owe more than what you make, you are technically bankrupt Now you have to really make a decision here Are you worried more about your credit score than you are about your viability? to be able to just live a life? Do you see what I mean, Christie? Yeah, I do So you have to be willing to put yourself first for the very, probably first time in your life So if I were you in this particular situation, I would claim bankruptcy I'm assuming you don't own a home, is that correct? No, I do, actually You do own a home All right So you're going to have to talk to a bankruptcy lawyer to see can you claim bankruptcy and still keep your home? Depending on the equity on it maybe your car And just see if that happens to be a solution for you Because if you can't even make the minimum payments, you're really ruining your credit score right now as it is anyway So you got to take this one and you have to go right on it to see what you can do But I hope you've really learned And why did you borrow from your 401k? How many times have I said never borrow from a 401k no matter what the reason So hopefully you've learned from this so you don't ever make this mistake again Up next, you can't afford to miss Can I afford it? I want to take my wife and the mother of our three very busy children, including a set of twins, on an epic holiday to celebrate her 50th birthday You're not 26 You're not 36 You are 46 years of age And a can I afford it, junior The bundle comes with a guitar and strap, and a few other items Listen to me closely What do you want to buy? Thor Citation RV Solar panels Bora Solar panels for Bora in the South Pacific All right, everybody, this is the can I afford it segment This is where you call in, you tell me what it is you want to buy I ask you a few questions, and then I tell you, if you can afford it or not Are you ready? Let's begin Sal, what do you want to buy? Hi, Suze

### Segment 5 (20:00 - 25:00) [20:00]

Thanks for taking my call I'd like to buy a 2014 Thor Citation RV I, my wife and I want to travel the U S we're both retired with 20 plus years each in the military, and we want to go see friends and the rest of this beautiful country of ours Yeah, I have to tell you, Dino, that's one of my dreams Really KT and I always talk about getting one of these things, getting in it, going across the United States, sleeping in it So excited So let's see if you can afford it or not Show me the money boyfriend Okay Take home is 9702 combined, and that includes pensions and VA benefits, our expenses, 2823 And that includes 1110 for rent We have no debt And in savings, we have 185,000 in liquid, 79,000 in investments and 185,000 in retirement And how are you going to pay for this? Well, Suze, we never paid for a vehicle with financing yet, so we're going to take it out of our liquid and pay for it all in cash all at once Approved, boyfriend You have more than enough money You know you have 7 or $8000 extra every month from what you're bringing in now from pensions and everything Take that money, replace it into your emergency fund and you'll be more than, okay Maybe I'll see you on the road And thank you for all the years of service you and your spouse gave this country All right, Kelsey, what do you want to buy? Hey, Suze So each summer where we live gets extremely hot, and we just try to keep the AC on during the night time just so we can sleep comfortably And if we, our electric bill increases every summer so But if we purchase solar panels, our electricity bill is projected to be less than our current monthly payment even during the summertime And the cost for that is $18,000 to put on solar panels I just have to ask you this, Kelsey, have you ever tried to put ice cubes into one of those ice, you know, bags those things and just sleep with it under your covers? It will keep them so cool I can't even tell you where they now have these things where when you sleep on it, the whole thing starts to cool You know, these like little pads, I'm telling you, a lot cheaper than solar panels But anyway, show me the money Well, our take home is $6,074 a month combined our expenses are $5,052 a month For debt we have $230,000 on a 30 year fixed mortgage and 97,000 in student loans And in savings We have 2400 in liquid and 31,000 in retirement How are you going to pay for this? Well, the payment loan goes through, this, the solar panel company So we would take a loan through the company at a rate of 4. 5% And for how many years? 30 years You are so denied It's not even funny Girlfriend Who even knows if you're going to be in that home for 30 years? And why do I have a feeling if it's through the solar company, it's going to be at 4 or 5, 6% interest? Look it, you don't have enough money in your emergency fund You're way short with that I looked at your paperwork You're only putting $35 a month in retirement accounts Are you kidding me? You cannot afford this and do not do it Take up my idea about that ice bag and put it in your bed It works I've done it Anyway Scott What do you want to buy? Hi, Suze Thanks for inviting me to be on your show Any time But what do you want to buy? Well, I want to take my wife and the mother of our three very busy children, including a set of twins, on an epic holiday to celebrate her 50th birthday She has traveled the world, but her bucket list includes a vacation in an over water bungalow And I can't think of a better place to do that than Bora in the South Pacific You know, it's true I've been in those over the, you know, water bungalows They are so gorgeous and Bora has the most incredible atoll, the most incredible fish and stuff And you're going to Oh my God, I hope you get to do it Because there is nothing more beautiful than Bora Boyfriend Show me the money Well, we take home about $13,000 a month and that includes a rental income Our expenses are about 12,000 For debt We have two 30 year mortgages, one on our primary home for 375,000 at 4%, and the other on our investment condo for 178,000 At four and a quarter, we have about $15,000 on a low interest credit card that's related to the purchase and preparation of the rental condo, because we chose to delay some capital gains We also have $11,000 left over on a small loan related to the renovations of our primary residence a couple of years ago, Our only other recurring debt is about $259 on a car lease, which we will have to continue past July

### Segment 6 (25:00 - 30:00) [25:00]

We have emergency funds of about 83,000 We have 415,000 in non retirement investments exclusively in stocks and mutual funds And we have almost $1 million in retirement $70,000 for the kids for college And how are you going to pay for this Well Suze I'll probably pay for a third, a half of it out of our monthly cash flow, because it'll take a while to plan this trip And then the rest I’ll probably just pay off over a few months I know you don't like to eat into emergency funds, but I'm comfortable in the short term eating into some of our cash on hand I got it So you are denied Oh, Suze Oh, I know you're just so surprised at that But here's the truth, my dear Scott, you're not 26 You're not 36 You are 46 years of age You're short, currently on your emergency funds You have $15,000 of credit card debt When you could have paid that off And the truth of the matter is you have a personal loan if you project out to your retirement continuing to live this $12,000 a month lifestyle, you don't have anywhere near enough in retirement to be able to do it So, Bora Bye Bora Ain’t happening for you Anyway, Steph What do you want to buy? Hi, Suze Hi Hi What do you want to buy? My favorite yoga teacher hosts a Sunday retreat in Mexico each year The retreat includes beachfront accommodation, three vegetarian meals, three options for yoga and meditation The cost is 3500 All inclusive I'm looking at that, don't you think? $3,500 for a seven day yoga retreat is a whole lot of money? All right, that's not what you're asking me But that's what you want to do So go on, keep going Oh, I just was saying I have a passport that I've never stamped and I've always wanted to use it Oh, so you're trying to say to Suze Orman here that because you have an empty passport that you want to see the stamps on, that's why you want to spend $3,500 on a seven day yoga retreat That's like a position that's really hard for me to get into But anyway, show me the money My take home is 3500 a month My expenses are 2026 The only debt I have is 76K on a 30 year fixed mortgage, and in savings I have 4k liquid and 78K in retirement And how are you going to pay for this? Well, each spring I normally use my income tax refund to pay off a credit card or a student loan, but I paid them both off last year So now I want to treat myself I got it Denied Now listen to this financial position I know it's not maybe very yoga but it's a good one You have $4,000 in an emergency fund Are you kidding me? You need at least $20,000 in an emergency fund You are only putting $200 a month away in a retirement account Are you kidding me? You may get older and be able to be flexible, but you're not going to be able to do anything financially because you are not saving enough money You are 41 years of age This is the time that you have got to get realistic Do you hear me? Now it's time for my favorite part of the Suze Orman Show, which is can I afford it? Junior This is where somebody under the age of 16 calls in They tell me what they want to buy I asked them a few questions, and I tell them if they can afford it or not Are you ready? Alec What do you want to buy? Hey, girlfriend Thank you so much for taking my call Oh, look at you You're joining me on webcam Look at that You're so cute Thank you Go on, okay, go on I won’t interrupt you any more. Go on Okay, so today I would love to buy a Yamaha Acoustic guitar bundle My dad and uncle love playing the guitar It's also my favorite instrument The bundle comes with the guitar, stand, strap and a few other items So $200 Now, are you buying this Alec ‘cause you really love it Or because your dad, your grandpa, they're all saying to Alec, be like me, I play the guitar, you should play guitar Because, you know, my mom always wanted me to play piano just because she played piano But I hated piano Do you love guitar? or hate guitar I love guitar And you've played their guitars, and now you just want your own? Yes Boyfriend Show me the money Okay, my take home is between 50 to $80 a month and that’s for doing chores around the house, such as yard work and household chores My expenses are $25 a month, which is for going out with my friends I have no debt and in my wallet I have $157 and in liquid savings I have $2,200 And how are you going to pay for this? Okay, so the first option, which I personally prefer, is taking $100 out of my wallet And my dad said he’d loan me $100 which I can pay off in about two months The other option would be to take $100 out of my wallet and then take $100 out

### Segment 7 (30:00 - 35:00) [30:00]

of my liquid savings <unintelligible> because I'm hoping to use that money to buy a car one day One day, but I have a question for you The money that's in your liquid money that's in the bank, what interest rate is it earning? I don't think it has any interest rate So it's really it's not making you any money Is your father going to charge you an interest rate on the loan you want to make from him? No So either way, it's it's a wash that way Correct? Yeah All right, so you first of all are approved because you have the money either way to do it However listen to me closely Take the money out of your bank account and buy the guitar Do not take a loan from your father, because when you even though you're working it off, he's always going to remind you that you owe him money and you don't need to take a loan to do something You can pay back your own account easily enough if you are going to be able to pay back your father Do you know what I mean? So it's important that you're a man that stands on his own two feet, Alec, and that you don't have to take a loan to get something Just that makes sense to you Yeah I saw you do it that way We don't need your father's money for you to play a guitar Boyfriend Want to be part of the can I afford it segment? Well, guess what? It's too late Because next week is our series finale I've been telling you for at least eight years now what you had to do to be part of it But you didn't listen to me But for those of you who are on the can I afford it segment this week and next week like what we're going to send you? a t shirt with my verdict on it just for you Up next, bragging rights and wrongs We felt very accomplished But that's soon turned into shame Just don't make others feel bad because of what's happened to you And later, my goal is to retire in seven years at age 62 You gave yourself a C You should have given yourself Whoa Oh, it's bad right? Welcome back, everybody Here we are in the control room at CNBC headquarters As you may know, next week will be our finale of the Suze Orman Show So if you want to continue to follow me, all you have to do is go to Suze Orman dot com or follow me on Twitter or join me on Facebook But I'll be there for you But for now, let's see what's trending We have at Will New York fan double zero just received tax refund I have no emergency fund Should I get rid of all my credit card debt or save it and slowly get rid of it? Oh well, new York fan double zero Listen to me Why are you getting a tax refund? I've said over and over again on the Suze Orman Show, it's just ridiculous to get a tax refund because you're not making any interest on that money So in your case, here's what you need to do Take that and pay down your credit card debt That's true But also go in and adjust your exemptions Increase them so that you get less taken out of your paycheck So you can then take that extra money and pay off your credit card debt that much sooner, and save for an emergency fund But don't get a tax refund Are you crazy? Here's what else is trending We have at Daniel Blair As you dislike student loans, how do you suggest paying for undergrad or grad school, often now 50 to 100,000 a year The federal loan max is $20,000 a year Daniel It's very simple Why do you need to go to such an expensive school? What degree is worth 50 to $100,000 a year? Are you kidding me? A lawyer all right, doctor, but anything else? Go to a less expensive school Remember, I have said over and over again your degree and your school will never make you make your school You make your degree It's not where you go It's what you do with where you did go Do you understand that? All right, let's go to the webcam We are going to Sharon in Albany, New York Asked me your question Hi, Suze My husband and I are in our early 40s and we recently paid off our mortgage We felt very accomplished, but that soon turned into shame from people making different comments My question is, when you accomplish something financially that's positive, should you keep that a secret? I am so curious as to what those comments are Give me an example It must be nice How does it feel to have so much extra money every month? Yeah, so here's the thing You should just let them comment However, that doesn't mean that you should go around bragging about the fact that you paid off your mortgage

### Segment 8 (35:00 - 40:00) [35:00]

If somebody asks you can tell them with pride, but I wouldn't go around saying I paid off our mortgage, especially if people are struggling But for you yourself, oh my God, you should feel so proud of what you have done Are you kidding me? Just don't make others feel bad because of what's happened to you So if they ask you, tell them And if they don't ask you, they don't need to know All right, everybody, let's go back to the studio And here's what's coming up next Joseph asks Suze, how Am I doing? I hope I haven't derailed my future You have seven years till you want to retire Here is your way to an A And later test your money, smarts in Suze's pop money quiz Welcome back to The Suze Orman Show Hi, Suze, I'm 55 and single I've always had a steady job so when my company cut salaries, I decided to pursue freelance work while I looked for something else It was hard paying bills on an inconsistent income, so when I got a job offer out of state, I took the chance and moved I hope I haven't derailed my future My goal is to retire in seven years at age 62 I want to travel a little, but definitely move closer to my family in Michigan Suze, how am I doing? Joseph I loved all those pictures in the background there, especially the one about derailing with that train coming at you Boyfriend, how are you tonight? I'm good Suze, how are you? I'm fabulous Thank you Joseph, before I give you a grade, I'm always curious to know you're looking at your situation You have seven years till you want to retire What grade would you give yourself? I would give myself a C A C, That's all you would give yourself Do you want to retire in seven years and you'd only give yourself a C All right, well, let's see what you got going for yourself And then I'll tell you what I would give you Joseph, everybody, is 55 He is single Although I find that hard to believe because he's got such a great personality But anyway, he does have $362,000 approximately in a retirement account He has only $8,344 in an emergency fund He's got a current home that's worth $419,000, with a mortgage on it of only $65,000 So he's got total assets minus his debt He's got a net worth of about $725,000 That's pretty good, boyfriend, if you ask me Your income is $6,288 a month That's what you take home You spend $5,295 a month, so your excess is $993 per month All right Can Joseph, can you retire in seven years Move closer to your parents with your daddy there in that picture? Oh, my God. So sweet What grade would I give you? You gave yourself a C Why you were so hard on yourself? I don't know, you should have given yourself an F because that's what I'm giving you Whoa, whoa It's bad, right? F is bad So here's the thing that you need to understand You have a goal In my opinion, at 62 of at least $3,500 a month, why is your 62? You're going to live another 30 years You're going to have to pay for long term care insurance all your regular insurance 3500 is a good amount since you're too young to take Social Security If you keep doing exactly what you are doing right now, you're only going to have income from your retirement accounts of about $1,273 a month That means you are $2,227 a month short That's why I gave you an F But don't worry, I have a solution for you Here is your way to an eight You're going to work till you are $67,000 a month That you almost have extra every single month Right now you're going to take immediately $541 of that and start investing it in a Roth IRA The other about $400 You're going to look into buying long term care insurance for you right now so that you're okay if anything goes wrong later on Next, at 67, you are going to move back to your home in New Jersey, and you're going to live in it for two years So when you sell it, you can take advantage of being a primary homeowner and take a $250,000 exemption After two years, you will sell it and move to Michigan or wherever you want to move to be closer to your family At that point, you will buy a home outright, and with everything that you have going on for you and you'll be able to take Social Security

### Segment 9 (40:00 - 42:00) [40:00]

at that time as well You're going to have about $3,600 a month of after tax income You're also going to have an extra $100,000 that you have saved So you're going to be more than okay, so that's what you are going to do Up next One more thing Suze wants you to know But there will also always be something for you to take away Time to test your money, smarts in a Suze Pop money quiz under the income based repayment IBR method for repaying a student loan, the loan is forgiven in A: 15 years B: 20 years C: 25 years or D: 30 years The answer after the break Before the break, I asked under the income based repayment method for repaying a student loan, the loan is forgiven in how many years? The answer is C 25 years Okay, that's almost a wrap for the Suze Orman Show But before we go, there's still one more thing I do want you to know Next week, March 28th Saturday, 9 p m right here will be the series finale of The Suze Orman Show With that said, I so want you all to watch it because there are many surprises for me that I've been told I don't have a clue about But there will also always be something for you to take away I did this show because I wanted to give you information that would help you forever when it came to your finances, and next week I'm going to be making sure that those are things that you need to know so you can take with you So come and be with me, be surprised with me, and end this show with me, because it would sure mean a lot Now you know So until next week, there's really only one thing that I want you to remember And it's this People first, then money, then things See you March 28th Bye