#100 - How to Become a Super Saver in 2016

Happy 2016 to all of you retirement interested folks out there, this is Roger Whitney, and in these parts I’m known as The Retirement Answer Man. I do a podcast each week to help you think about, plan for, and maximize your retirement years so that you can enjoy life, live to the fullest, and be the greatest blessing you can be to the world. I’ve got another great episode of the show today, including a short chat about the various interest rates that impact you and your monthly budget, a conversation with two friends of mine from the Stacking Benjamins website team about how you can save 50% of your income, AND the latest news on my upcoming Retirement Plan live event. Be sure to listen, there’s lots of good stuff in store.

Retirement Plan Live starts next week!

If you haven’t heard, you need to know: Beginning last year I created an annual “Retirement Plan Live” event that is aimed at helping you see how a professional retirement planner like me goes about helping an average Joe, like you, plan for and execute a retirement plan. It’s packed full of all kinds of insights I can’t even begin to describe here. But in addition to all that goodness, you can plan alongside us using a ton of free resources that I’m providing for this year’s event. If you’d like to sign up to “plan along” with me and my RPL participants this year, listen to this episode to get the details on how you can do that.

The FED raised interest rates. So which rate are they talking about?

A few weeks ago the Federal Reserve Bank raised interest rates after a very long time of not touching them. That step is all abuzz in the news lately, but I wonder, do you know what rate it is they’re talking about and how it impacts you and your money? On this episode of The Retirement Answer Man, I’m going to walk you through the 3 main rates that affect you, tell you what each of them is, how they impact each other, and what you need to be thinking about in light of this recent rate hike. Sound like something you’d like to know? Then be sure to listen.

Interest rates went up… but not the ones you were hoping for.

Yes, the Federal Reserve did increase the major interest rates a few weeks back, and that means you’ll be seeing higher rates when you want to buy a home, finance a car, or get a credit card. But it DOESN’T necessarily mean that you’ll see the interest rates offered for savings accounts, money markets, or CDs going up anytime soon. Why is that? In this episode of The Retirement Answer Man, I’m going to explain that little known business practice to you and fill you in on what you can expect to see happening in savings interest rates over the next few months and years.

Sounds crazy, but you could save up to 50% of your income.

The #1 thing most Americans surveyed said they would like to change about their financial practices is that they’d like to put more of their hard earned cash into savings. That’s no surprise, but what might surprise you is that there is actually a way that you can save as much as 50% of your income each and every month. I know it sounds crazy, but my guests on this episode of the podcast - Kathleen and Joe - from the Stacking Benjamins team are going to fill us in on how their new program, Save50, could help you do exactly that. You won’t believe what you’re hearing, and how simple it really is. Be sure to give this conversation your attention.

Check it out at save50.org

OUTLINE OF THIS EPISODE OF THE RETIREMENT ANSWER MAN

[0:30] Happy New Year and Happy 100th episode, from Roger!
[1:10] Roger’s introduction to this episode and our guests.
[1:33] Next week, Retirement Plan live begins: here’s how you can play along!

WHAT DOES THAT MEAN? SEGMENT

[4:15] An interest rate primer.
[4:49] The 3 basic interest rates and how they can affect you.
[5:10] The FED Funds Rate.
[6:03] The Prime rate.
[7:11] The Libor rate.

HOT TOPIC SEGMENT

[8:34] Why the increase in the Prime rate is important and how it could impact you.
[10:38] Why you shouldn’t expect savings rates to go up as a result.

PRACTICAL PLANNING SEGMENT

[11:31] The top financial resolution of most people: Saving more money.
[12:42] Why savings is an important component of a retirement plan.
[13:10] How to start a super saver program: with Kathleen and Joe of Stacking Benjamins.
[14:30] The campaign Joe and Kathleen are working on in 2016!
[15:57] How Kathleen discovered she could save half her income.
[18:19] How is it even possible for the average person?
[20:42] Forgiving yourself for where you are at as the first step.
[22:03] Two things to do to take the next step.
[27:00] Why there’s only so much “frugaling” you can do.
[29:00] The outline of the course.
[30:40] How systems and community can make a huge difference.
[32:12] What you can do if you’re behind the eight ball on this?