394: Ask the Money Experts: Backdoor Roths, Bad Debt, & When to Fire Your Financial Advisor

BiggerPockets Money Podcast

BiggerPockets

Investing, Education, Business

4.6 • 2.9K Ratings

🗓️ 20 March 2023

⏱️ 54 minutes

🔗️ Recording | iTunes | RSS

🧾️ Download transcript

Summary

starting a business. If you’re just beginning your personal finance journey, this can all seem a bit complicated. Where do you invest first? What should you do with extra cash? And how do you know a financial fiduciary is genuinely looking out for your best interest? Don’t worry; you don’t need all the answers. Just tune in, and listen to what financial expert Amanda Wolfe and Certified Financial Planner Kyle Mast have to say. It’s been a few months since we spoke to our go-to money experts. But we’ve been receiving a ton of finance FAQs in our Facebook group. So, we rounded up some of the best and got Amanda and Kyle’s take live on this episode. First, we’ll go over when to pay off bad debt when starting a business and what a “no money down” business really means. Then, Amanda and Kyle give their strong stances on if bond investing makes sense for the average FIRE-chaser. You’ll also hear the OPTIMAL way to set up your retirement investing, which accounts are worth hitting first, and the financial order of operations you should follow to optimize your retirement planning. And try not to send your financial advisor this episode because we’ll be discussing when an advisor is and isn’t worth the money and why a commission-based fee structure could be a big red flag when deciding who to invest with. All this (and much more) is coming up in this episode! In This Episode We Cover The exact way to invest for retirement and which accounts deserve your cash the most The backdoor Roth IRA explained and how to invest a MASSIVE amount in one of the most tax-advantaged retirement accounts Whether you should pay off bad debt BEFORE starting your own small business Investing in bonds and why this “safe” investment might not be worth the lost profit HSAs (health savings accounts) and when to get reimbursed for past medical purchases Fee-only vs. commission-based financial advisors and why the two are DRAMATICALLY different And So Much More! Links from the Show BiggerPockets Money Facebook Group BiggerPockets Forums Finance Review Guest Onboarding Mindy's Twitter Listen to All Your Favorite BiggerPockets Podcasts in One Place Apply to Be a Guest on The Money Show Podcast Talent Search! Subscribe to The “On The Market” YouTube Channel Listen to The “On The Market” Podcast: Spotify, Apple Podcasts, BiggerPockets Check Out Mindy’s 2022 Live Spending Tracker and Budget She Wolf of Wall Street Website How MLMs and Pyramid Schemes Trap Average Americans Amanda’s Past Episodes: From Extreme Poverty to DIY Wealth and 2 Full-Time Incomes Kyle's Past Episodes: A Personal Finance Masterclass Retirement Planning During (and After) the Coronavirus with Kyle Mast How to Find the Best Possible Certified Financial Planner Click here to check the full show notes: https://www.biggerpockets.com/blog/money-394 Interested in learning more about today's sponsors or becoming a BiggerPockets partner yourself? Let us know! Learn more about your ad choices. Visit megaphone.fm/adchoices

Transcript

Click on a timestamp to play from that location

0:00.0	Welcome to the Bigger Pockets Money Podcast where we bring in Kyle Mast at Amanda Wolf to answer your question.
0:07.0	So first what you're going to do is make sure that you have a traditional IRA open and a Roth IRA open.
0:13.0	Then you're going to contribute your money to the traditional IRA.
0:16.0	You don't invest it, which normally goes against everything that you would ever learn about investing,
0:21.0	but you'd be there for a couple of days with a cash to settle.
0:24.0	Sometimes it can be upwards of like a week or so if it's your first time doing it.
0:28.0	But then once it says you have settled cash, then you'll have the option to actually roll it into the Roth IRAs.
0:34.0	Hello, hello, hello, my name is Mindy Jensen and I am here to make financial independence less scary, less just for somebody else.
0:41.0	To introduce you to every money story because I truly believe financial freedom is attainable for everyone no matter when or where you're starting.
0:48.0	Whether you want to retire early in travel the world, go on to make big time investments in assets like real estate or start your own business.
0:55.0	We'll help you reach your financial goals and get money out of the way so you can launch yourself towards your dreams.
1:01.0	Now if you are a longtime listener you will know that Scott Trench usually joins me today, but he's ought to break.
1:08.0	So I am here with Kyle and Amanda and we are going to have an awesome time answering your questions.
1:14.0	But if you are a longtime listener you also know I have an attorney who makes me say the contents of this podcast are informational and nature and are not legal or tax advice.
1:23.0	And neither Scott nor Amanda nor Kyle nor I nor bigger pockets is engaged in the provision of legal tax or any other advice.
1:33.0	You should seek your own advice from professional advisors, including lawyers and accountants regarding the legal tax and financial implications of any financial decision you contemplate.
1:42.0	We have a new segment here called money moments where we share a money hack tip or trick to help you on your financial journey.
1:50.0	Today's money moment is if you still carry cash always pay with a bill versus exact change.
1:57.0	This may sound crazy but a great tip to save. Break the bill and then put the extra change in a jar every month, take your change and put it into your savings account and you will have a nice nest egg in no time.
2:10.0	If you have a money tip or trick to share with us please email money moment at bigger pockets.com.
2:17.0	Alright before we start let's take a quick break.
2:20.0	You want to own investment properties but buying in today's market can be tricky especially when you don't know where or what to look for.
	...

Please login to see the full transcript.

Previous episode | Next episode

Disclaimer: The podcast and artwork embedded on this page are from BiggerPockets, and are the property of its owner and not affiliated with or endorsed by Tapesearch.

Generated transcripts are the property of BiggerPockets and are distributed freely under the Fair Use doctrine. Transcripts generated by Tapesearch are not guaranteed to be accurate.