July 14, 2025 • 41 mins
On Faith & Finance Live with Rob West, it’s the continuation of our series on temperaments. Explore how our God-given wiring shapes the way we communicate, relate to others, and make financial decisions. Kathleen Edelman is back with us, joined by Andrew Stanley, as we take a closer look at the Blue temperament. Discover how it influences our approach to money. Then, Rob addresses your calls and financial questions. That’s Faith & Finance Live—where biblical wisdom meets today’s finances, weekdays at 4pm Eastern/3pm Central on Moody Radio.
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Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
S1 (00:08):
For God is not a God of disorder, but of peace,
as in. By Andrew Stanley at the blue temperament and
how it influences our approach to money. And then it's
on to your calls at 800, 500, 25, 7000. That's 805, two, five, 7000.
This is faith and finance. Live. Biblical wisdom for your
financial journey. Kathleen Edelman is the author of I Said
(00:35):
This You Heard That, and the creator of the widely
used video series and workbook that has helped thousands better
understand how temperament shapes the way we communicate. Kathleen, great
to have you with us.
S2 (00:46):
I'm so glad to be back.
S1 (00:47):
And you've brought a familiar face with you, Andrew Stanley.
Many of us know Andrew as a stand up comedian.
He's also a preacher's kid with a background in corporate finance. And,
as you might expect, a blue temperament. Andrew. Great to have.
S3 (01:01):
Happy to be here. Thanks for having me in.
S1 (01:04):
Absolutely. Kathleen, I want to start with a quick refresher.
I'd love for you just to walk us through the
four temperaments to set the stage, and specifically how each
one influences the way we communicate and make decisions.
S2 (01:16):
Well, we have to understand that temperaments have been around,
you know, for 600 years before Jesus walked the earth.
And what temperaments does is it tells us how we're
going to think, hear, speak, communicate. So we have a
yellow sanguine that speaks the language of people and fun.
It's an extrovert that's people oriented. We have the red
choleric speaks the language of power and control. An extrovert
(01:40):
that's task oriented. We have the blue melancholic who speaks
the language of perfection in order an introvert that's task oriented.
And then we have a green phlegmatic that speaks the
language of calm and harmony. An introvert, believe it or not,
that's people oriented. So all these influence relationships and how
(02:00):
we manage money.
S1 (02:02):
Yeah. That's so good. Well, Andrew, you are our official
blue temperament. And that's where we're going today. And so
I'd love for you just to start by, what was
your initial reaction taking this assessment? I know it's been
a while. And did it help make sense of things
in terms of how you respond?
S3 (02:18):
Um, definitely. And happy to represent the blues here. I
it feels like a lot of pressure to represent like
a fourth of the population. This is how we all are. Um, absolutely.
It definitely validated me. I, um, I was not surprised
after ahead of time, kind of reading through the temperaments,
I pegged myself as a blue. And so when the
(02:39):
results said that, I definitely wasn't surprised. But it did
make me feel validated. And, you know, you grow up
and you kind of feel your strengths and weaknesses as
a person. And it definitely made me feel better that
my weaknesses were normal for someone like me to have
in my strengths were normal for someone like me to have.
Not that I don't need to work on weaknesses, but
(03:00):
it definitely made me feel kind of off the hook
for some of the things I'm not naturally good at. Sure. Um,
and made me want to lean into the things more
that I am. Um, so definitely helped me kind of
understand myself and why I kind of am the way
I am.
S2 (03:13):
Yeah, yeah. So blues, you know, do exactly what Andrew
just said. They finally feel like they're understood. And, um,
I get a lot of thanks from blues. Um, this
is a person that feels like a square peg going
into a round hole, you know, most of their life.
And the temperament allows them to feel like they're seen.
So blues are deep thinkers, and they value correct, um, conversations.
(03:38):
Their motto is, if it's worth doing, it's worth doing. Right.
S1 (03:42):
Yeah, that's exactly right. Well, we have just a minute
before our first break. But, Andrew, I'd love for you
to start to connect the dots on your blue temperament
and how you manage money. Interestingly, as I said, you
have a background in corporate finance now, a stand up comedian.
Fascinating combination. But talk about how this intersects with money management.
S3 (04:01):
Totally. The normal route for a finance to comedy. Is
this the the real track? All my comedian friends were
previously financial analysts as well. Um, you know when this
as this relates to money for me, it's kind of
the predictable thing you'd think when you read about blues.
I definitely look at money as safety. Um, when my
(04:23):
wife and I were going through premarital counseling, we learned that,
you know, I look as a safety, and she looks
at money as fun. And so how do we merge
those two? And neither of us are wrong. Neither of
us are right. But it's just the way we feel
when it comes to financial decisions. So that definitely affects
the way I make decisions around money, finance and planning.
S1 (04:43):
Absolutely. Well, if you are the blue that speaks the
language of perfection and order, introvert task oriented today is
for you. Andrew Stanley, with us today. Also, Kathleen Edelman,
the author of I Said This, you heard that we'll
continue to unpack the blue temperament and how it affects
financial decision making just around the corner. Stay with us.
(05:15):
Great to have you with us today on Faith and
finance live. I'm Rob West with me today, Kathleen Edelman.
She's our resident temperament expert. She's the author of I
Said This. You heard that if you've not seen the
video series or the workbook, which, by the way, Kathleen
was just updated, right?
S2 (05:30):
Yes. Just updated the 2025 edition.
S1 (05:32):
All right. You need to pick it up wherever you
buy books. We're doing a series where we're moving through
the four Temperaments, and today we're focused on the blue temperament,
blue being melancholic, speaking the language of perfection and order.
These are introverts who are task oriented. and we're talking
about how that particular temperament affects financial decision making. Our
(05:54):
resident blue representative today is Andrew Stanley. He has a
background in corporate finance. He's a pastor's kid, but also
a very effective stand up comedian. You've probably seen some
of his specials on TV. And we're grateful he's here today. Andrew,
before the break, you were talking about just the impact
of your blue temperament, not only on how you make decisions,
(06:17):
but also how that intersects in your marriage, as well
as you and your wife make decisions together. Anything else
that comes to mind there?
S3 (06:24):
Totally. I mean, the the blue temperament definitely impacts the
way I feel about money. Um, I think I can
be paralyzed by too much information when it comes to
making financial decisions. Or if I feel like I don't
have all the information, then I'd rather just, you know what?
Let's just not buy it. You know, if I if
it gets to be too much of a conversation, I'm like,
I'd rather just err on the side of keeping a
(06:46):
big number in the account and we'll go on vacation
next year. Even if, you know, it probably makes sense
to go on vacation. So I've definitely had to learn
how to manage that mindset in a way that's still
fun for my wife.
S1 (06:59):
Yeah, because she wants to see money as a tool
to create experiences and memories and all kinds of things.
S3 (07:04):
And rightfully so. I definitely need to be pushed in
that direction. Um, whereas she probably needs to be pushed
in my direction.
S2 (07:10):
Yeah. Well, and we're talking temperaments. That's exactly what it is.
And what Andrew said was hitting the nail on the
head view money through the lens of security. They are careful.
There often have long term in mind, um, mostly due
to the fact of safety is one of their most important.
So they may overanalyze or hesitate to make decisions. And
(07:32):
with um, if they're not tendency to, just, like Andrew said,
feel overwhelmed or paralyzed. So they thrive with a clear
feel safe when things are in order.
S1 (07:43):
Yeah. And when it comes to money management. I mean,
being thoughtful, being thorough. That's obviously helpful. It kind of
gives you an edge when it comes to managing money.
S3 (07:53):
I think so it definitely makes me a natural saver. Yeah. Um,
I always say my vacation is looking at the big
number in the bank account. That feels like a vacation
to me. It feels like safety. And you know, we're
all good. No matter what happens, we can handle it. Um,
and it's, you know, when my wife and I got married,
we just had to take budgeting very seriously. But we
(08:14):
learned that for it to work for both of us,
we in our budget, we have fun money. Yeah. And
we have to spend it.
S1 (08:21):
Okay.
S3 (08:21):
And I kept getting in trouble because every month I
wouldn't have spent any of my fun money. And so
I'd have this big surplus and fun money. I'd be like, yeah,
but it's fun for me to see it in there.
S1 (08:30):
So I'm having.
S3 (08:31):
A blast as my fun money. It's. I can see it.
S2 (08:33):
Yeah, there's a party.
S3 (08:35):
Um, so it definitely helps me when it comes to saving, um,
which I think most financial planners would be happy about.
But like they say, you know, most very wealthy people say,
you know, safe money doesn't make money.
S1 (08:46):
So yeah.
S3 (08:47):
You definitely got to think about that too.
S1 (08:48):
That's a.
S2 (08:48):
Good point. And I'm loving this because, you know, I'm
blue and blues are wired for to be thoughtful and thorough.
These are two great traits in financial planning, no doubt.
Empathy is also a great strength of a blue, and
it results in them being able to be aware of
the other people that are in their life. Maybe in
that planning. Sure. Um, the temperament seeks to be understood. So,
(09:10):
you know, that's going to be in the financial discussions
all the time. Learning to trust others and make decisions
without every detail might be a skill the blues need
to to learn, but they will benefit from encouragement to
enjoy financial wins, not just avoid making financial mistakes.
S1 (09:31):
Yeah, no. And that's a key idea. Kathleen, what are
the emotional needs or what I know you call the
innate needs that typically drive someone with a blue temperament.
S2 (09:40):
So the blue innate needs are safety, being able to
trust their relationships and surroundings, sensitivity which means to be understood,
support being offered or provided help in space and silence.
Having time to decompress, process or think you know when
these are met, the blues feel seen and understood. Um,
(10:01):
if I haven't mentioned before, you know you're either going
to fill these with your strengths or weaknesses. So if
these are met with weaknesses for a blue, um, then
they may try to control with moods and silence.
S1 (10:14):
Mm. Interesting. So how does that you just this idea
that I need some space and I don't want to
be rushed in. Plus, safety is kind of at the
core of everything.
S3 (10:23):
I was thinking about just not answering and trying to
control the room mood in silence. Uh.
S1 (10:29):
Which doesn't work great for radio.
S3 (10:32):
Yeah, it doesn't work great for anything, I don't think. Um,
I think it does. It does sound like me. I mean,
I definitely relate to, you know, safety being important? Like
I mentioned, the space and silence is big for me.
I think, especially when it comes to making big decisions
like my wife is definitely learned that I need time
to think about things. And she's she's more more blue green,
(10:52):
I think. And so usually when there's a big decision
to make, she already knows the answer. And she has learned.
I'm grateful for that, even if she already knows the answer.
Space to get there on my own, too.
S4 (11:02):
Yes.
S3 (11:03):
And then I'm like, hey, I thought about it for,
you know, three hours and I think you're right. And
she's like, yeah, great. Well, I knew that. But glad
you got there too. And, um, even just understanding those
simple things about ourselves has really helped us in our
marriage and helped us understand each other and not just
get upset because somebody's not seeing things the way I
see them and realizing, yeah, of course they don't because
(11:24):
they're different temperament.
S4 (11:26):
That's right.
S2 (11:26):
Yeah. And again, I have to say, the Blues are
the most grateful for understanding their temperament out of the
four because it feels so different. Um, and they have
the tendency to feel, though, if somebody loves them or
married to them or works with them, a blue often
can feel like that person should be able to read,
you know. So it's important for a blue to think through,
(11:47):
but to advocate for themselves so they can be understood.
And being able to express themselves with clarity that can
transform their relationship and reduce most of the self-induced stress
and anxiety. A blue can get to.
S1 (12:02):
Yeah, well, that makes sense. Andrew, we've got about a
minute left. What's one piece of advice you'd give to
fellow Blues as their representative on the radio, or anyone
in a relationship with someone who has a blue temperament?
S3 (12:15):
Totally. I mean, I think it's a lot of what
we've already said. I think if it's advice to yourself
and you're blue, it's allow yourself space to feel guilty
for needing some extra time. And obviously, if you're in
a relationship with somebody like that, like my wife does,
understand that they need that, even if you already know
the answer. And, um, I've learned that I just need
to be pushed in a loving way sometimes. Um, as
long as people, I feel like people understand me, I me.
(12:36):
I don't mind when my wife is like, hey, we
got to make sure this gets done. Um, and just,
you know, try to have fun, realize that, uh, having
fun now is just as important as being safe later.
S2 (12:47):
That's a good one, because Blue's smart money kind of
conflict or being wrong. Right. So many Blue's don't start
things they think they're going to fail at. So they
prefer to be prepared. They want to be presented the
facts clearly. Because Blue's aim to do things in excellence.
So because Blue's are skilled at seeing all obstacles between
(13:07):
A and B, they're creative problem solvers, and that can
be a great gift in financial planning. And they thrive
when they're invited into collaboration without pressure.
S1 (13:19):
Well. Well said. Well, I think we've successfully helped the
blues ourselves. And if you have one in your life,
perhaps communicate more effectively. Kathleen. Andrew, thanks for stopping by.
S2 (13:30):
Thank you.
S4 (13:30):
Thanks.
S1 (13:31):
If you want to check out Andrew Stanley, go to
Andrew Stanley comedy.com. Pick up a copy of I Said This.
You heard that wherever you buy books, and we'll continue
this series in the days ahead as we unpack each
of these temperaments. A quick break back with your phone
calls after this. 800 525 7000. We'll be right back.
S5 (13:58):
The opinions offered during this program, personal or professional opinions
of the participants are given for informational purposes only. Any
information provided is not intended to replace advice from a financial, medical, legal,
or other professional who understands your specific situation.
S1 (14:21):
Great to have you with us today on Faith and
finance live here on Moody Radio. Well, looking forward to
taking your calls and questions today. That means the rest
of the program is yours. If there's something on your mind.
Maybe over the weekend you were wrestling with something in
your financial life, or maybe you were at a family
gathering and your brother in law brought up something about
an investment strategy. And you're wondering, does that make sense?
(14:44):
Whatever it might be. Today we've got some lines open
they'll fill up, but at the moment we've got room
for you. 85 7000 is the number to call. Again,
that's 805, two five 7000. Coming up in our final
segment today, Bob Dole stops by. We'll find out what
is moving the markets today. Bob will weigh in on
(15:05):
fed decisions. What will happen if, uh, the Chairman Powell
steps aside? What does that mean for the markets? And
what's the latest reading on inflation? What about unemployment? And
how does all of that factor to the economy? Bob
will weigh in on that straight ahead. And that combined
with your questions today is going to give us the
(15:26):
remainder of the broadcast. So let's dive into those questions.
We're going to begin in Indiana today. Ryan. Thanks for calling, sir.
Go ahead.
S6 (15:34):
Yes. How are you doing today?
S1 (15:36):
Doing great. Thanks for your call.
S6 (15:38):
Good, good. Yeah. So I have a rental portfolio and
rental properties. And so it's it's all my eggs are
in that basket investment wise. And so I am considering
selling some off or refinancing uh, to kind of, uh,
diverse my portfolio into some other things. I do have
(16:01):
an opportunity in a real estate related investment, but it
would not qualify for a 1031 exchange. So I'm concerned
about selling properties, paying the penalty of the capital gains
for this other investment. But the investment looks really good.
So I'm kind of struggling on kind of what to
do with that.
S4 (16:21):
Yeah.
S1 (16:21):
What kind of capital gain would you realize would hate
whatever your investment?
S6 (16:26):
Yeah, I'm looking at probably 15% overall, 10 to 15%
on the entire portfolio. Um, is about where I'm at.
S4 (16:38):
Okay.
S1 (16:39):
Yeah. I mean, so that's not a huge amount. You're
going to have to pay it at some point. And
so if you have something compelling that allows you to
further diversify, you know, perhaps when you get into this
new investment, it sounds like you think it's pretty attractive.
Not only that, but it might diversify you among new
asset classes and give you the ability to pass down
(17:01):
something that doesn't require. Well, it's not as labor intensive
as rental properties. I mean, that's basically you're taking on
a business. If if you're inheriting rental properties and, you know,
a lot of people aren't equipped for that, just don't
want to put in the time and effort. So I
think given the fact that capital gains rates are low,
they may not be low forever. You're going to pay
(17:21):
that 15% at some point unless you you know, the
only way to avoid that would be because even with
a 1031, you're just kind of kicking the can down
the road. So the only way to truly avoid it
would be to take some or all of any of
these properties and give them away to, let's say, a
donor advised fund prior to the sale. Then when you sell,
whatever portion is in the donor advised fund is no
(17:43):
longer subject to capital gains, but it does need to
be given away for charitable purposes. So given that we've
got probably the lowest capital gains rates we will ever have,
and you're going to pay that at some point, apart
from a charitable gift, I think now's a great time
to do exactly what you just said. Take advantage of
another investment, further diversify and position yourself, you know, to
(18:06):
pass something down that wouldn't require as much effort to maintain.
Does that make sense, though?
S6 (18:12):
Absolutely. That's exactly where I'm at.
S4 (18:15):
Yeah.
S1 (18:15):
So I think that's probably you know, I just go
ahead and bite the bullet and realize that, you know what,
I hate to pay the tax, but I don't have
to pay the tax unless I have a profit. So
we can celebrate that. and you move on to the
next thing.
S6 (18:26):
Okay. Very good. Thank you so much.
S1 (18:28):
All right, Ryan God bless you, bud. Call anytime, (800)Â 525-7000
is the number. Let's go. Let's go ahead.
S7 (18:37):
Okay. I'm ready drawing. But my wife is a little
bit younger than I am. Um, and she just turned 62.
Can she draw off of mine?
S1 (18:52):
Um, she can take a spousal benefit so long as
she has the ability, uh, to get that, because you've
gone first. So as long as you've walked through that
door before she has, then yes, she would be entitled
to spousal benefit. The problem is, if she's 62, she
(19:13):
is going to take a reduction. So the most she
could get as a spousal benefit is 50% of yours.
And so at 62, she'd typically get somewhere between 32
and 35% of your full benefit as her spousal benefit.
S7 (19:32):
Okay. So she can't continue to let her grow.
S1 (19:36):
She cannot. That used to be the case. It is
no longer the case if she claims the spousal benefit
before full retirement age. She must take the higher of
the two her own benefit or the spousal benefit. She
cannot let her own benefit keep growing while taking a
spousal benefit. The only way that that would apply is
(19:58):
if it was a survivor's benefit, but not a spousal benefit.
S7 (20:01):
Right, right. Okay. I guess that was my question. Um,
so she can't continue to let her. I wanted to
let her grow and then still get some. Uh, but
that's not possible. Okay.
S4 (20:16):
That is correct.
S7 (20:18):
Well, thanks for your time. Nice talking to you.
S1 (20:21):
And you as well, Amos. Thank you sir. Call anytime. Well,
this is Faith and finance live. Here's our goal in
this program each day. Yeah. We want to give you
those practical answers. Help you think about what's going on
in your financial life. But we also recognize that one
of the ways we live out, work out our faith,
and and really live out of a of an eternal
(20:42):
mindset is through those practical daily decisions we make because
we're voting with our wallet as to what we value
and where we place our trust. And so we want
to help you balance the practical and the spiritual, because
we know that ultimately we're managing the King of Kings resources.
This is faith and finance live much more to come.
(21:03):
Just around the corner. Don't go anywhere. Hey, thanks for
joining us today on Faith in Finance Live. I'm Rob West.
We're taking your calls and questions today. We'll dive right
back into those cars. Go straight ahead. Bob Dahl, in
our final segment. We'll find out what's moving the markets today.
(21:24):
The market finished all the tariffs. Uh, a lot to
think about there. But the market finding a way to
push even higher today. Uh, but not by much. About
a quarter of a point across the board today. A
little less than that on the S&P 500. We'll get
Bob to weigh in on that straight ahead. The phones, uh, Ozark, Arkansas,
(21:46):
is where Raymond is. Go ahead, sir.
S8 (21:49):
Hey, uh, good afternoon Rob. Thank you for the program.
I'm sure you, uh, encourage a lot of people to, uh,
be good stewards of what the good Lord has given us.
My question is, my son has encouraged me to, uh,
sell my three homes that valued about 500,000. Put them
in an ETF fund and move into a, uh, assisted living.
(22:11):
I'm 73, and I still get along just fine.
S4 (22:14):
Hmm.
S1 (22:15):
Yeah. Well, um, there's a lot there, and we don't
want to get into a binary trap. And what that
means is we we, you know, have only two options. So,
you know, you could sell these properties. That may be
a great decision, but that doesn't mean if you sell them,
you have to go into I think you said Misty,
do you mean the Misty the ETF from Blackrock?
S8 (22:39):
Yes.
S1 (22:39):
Yeah. So I think the first question is do you
want to sell the property. Does that make sense for you.
Because either you want to simplify repairs property management. Um
you know you want to be more liquid. So you've
got access to the money if you need it. You
want to be more diversified. I mean, those would be
all good reasons why you'd want to sell it. There's
(23:00):
no capital gains right now. You know, most times you
would be talking 15%. Um, you know, on the long
term capital gain, that's not a whole lot to pay
in taxes. And then a separate question I think is,
okay If I do decide that makes sense, what do
I want to do with it? And do you want
to go into a a dividend paying US stock index?
(23:23):
That's probably not a bad idea, but I wouldn't put
a half $1 million into it. And I would also
say that, you know, a lot of our listeners take
issue with, you know, Blackrock, just in terms of some
of their their practices from a corporate engagement standpoint. So
you may want to look and just I'm not telling
you whether it's good or bad. I would just think
you'd want to look at that from a conviction standpoint
and see if it aligns. But even if you decided
(23:45):
to go into a US equity high dividend ETF, I
would probably be more diversified than that at age 70.
You know, I'd probably be thinking about, you know, 40%
in stocks and maybe half of that could be in
dividend paying, uh, you know, index or or fund like
he's describing. And then maybe the other half and, you know,
(24:07):
some other type of stock index or maybe a little
international exposure, maybe some large cap, things like that, and
then perhaps as much as 60% in fixed income. Uh,
you know, to give you a little more stability. Now,
you may say, listen, this is not money. I need
my my bills are covered. Um, I'm willing to take
a little bit more risk. I'm kind of looking beyond
(24:27):
my life to continue to grow it as an asset
that either I'd give away or pass down to my kids.
And maybe you want to get, you know, more stock
exposure than 40, but I wouldn't put it all in
one exchange traded fund when we're talking about a half
$1 million. So, you know, I think the first question is,
is this the right time for you to get out
of the the properties? Is that something you're kind of
(24:50):
itching to do at this point? And or what are
your thoughts on that?
S8 (24:54):
Yeah. Uh, you know, I've had good renters and bad
over the years. Uh, the property has more than paid
for themselves and just rent. Yeah. Uh, but I've kept
all the maintenance up. The property is in good shape.
I think it's just. I just think it's a good
time to move them. Uh, especially if the interest rate
drops down where they'll move pretty quick. I can reinvest
(25:16):
that money.
S1 (25:17):
Yeah, I mean, that's probably not happening anytime soon. But
if you saw something and, you know, with a five
handle on it, you may want to go ahead and
do that. You may decide you want to go ahead
and get out of it before that, because we may
be six months or maybe as much as a year
away from being able to to see those interest rates
drop down. And if you get the right buyer at
the right price, I mean, there's no question that real estate,
(25:37):
you know, is at in many cases, you could call
it a peak. Now, will it continue to grow? Probably.
But depending on the part of the country you're in,
you may be perfectly happy with what you could get
out of it right now. And this may be a
great time for you to simplify a bit, get a
little more diversified. You could even look at an opportunity
if you didn't want to manage this yourself, at bringing
(25:59):
on a wealth manager or somebody who could take responsibility
for managing it for you. And I'd encourage you to,
you know, interview a Sica in your area if that's
what you were looking for. But no reason you can't
manage it yourself. I'd just be a little bit more
diversified than one particular, uh, you know, US stock dividend
focused ETF.
S8 (26:20):
Don't put all my eggs in one basket.
S4 (26:23):
You got it. Yes, sir.
S8 (26:25):
Okay. Well, thank you so much for your program. That's
great advice. And, uh, I have a have a blessed
day and keep up the good work.
S1 (26:33):
Thank you. Raymond. Hey, let me mention one other thing.
If you want to do any giving out of this.
And I'm not saying you need to, you may be
doing that other places, but it's a great opportunity. Before
you sell, you could give a portion of any of
these properties to a donor advised fund. It's easier to
do than it sounds. Uh, but you could skip the
capital gain on whatever portion of the property, whatever percentage
(26:56):
you put into a donor advised fund prior to the sale,
and then it would at the sale, just fund that
donor advised fund with that portion, it's not subject to
capital gains, and then you could give it away. Uh,
and our friends at National Christian Foundation would be a
great resource for you on that. NCF giving thanks for
your call today, sir. Uh, may is in Chicago. Go ahead.
S9 (27:20):
My question is, um, at what is the minimum age
to donate from your IRA to a QCD?
S1 (27:32):
Yeah, you must be may at least 70.5 in order
to donate, uh, by way of a qualified charitable distribution
where you'd give from an IRA directly to a charity.
25 the tax year 2025, you can do up to $108,000.
You don't have to do that much. That's just the
(27:52):
most you can do. But you are required to be
70.5 or older.
S9 (27:59):
Wonderful. Yeah. Does that apply to, uh, uh, young, younger
people who are, uh, won't reach retirement age until 76.
You know, 66, 67. You know that that has moved up.
S4 (28:18):
It has.
S1 (28:19):
Yes, ma'am. But the two are not related. So the
current law and this could change is that qualified charitable
distributions become eligible at 70.5. The amount you can do
by way of a QCD increases every year. But the
the the age has stayed constant 70.5. Regardless of when
(28:40):
you become a full retirement age eligible for Social Security.
S9 (28:46):
So that means younger people can start at 70.5.
S4 (28:51):
That's exactly.
S9 (28:51):
Right. Wonderful.
S4 (28:54):
Well thank you. And it's a it's a wonderful benefit.
S1 (28:56):
I love this because here's what happened. And you're probably
very familiar with this. That money went into the IRA
tax free. Well tax deferred because you got the deduction
when it went in perhaps through a 401 K or
directly into the IRA. And the only way it comes
out without paying tax on it, there's no other way
is is the qualified charitable distribution. It's a wonderful benefit.
(29:19):
You will never pay tax on that money and all
the gains. And we might as well get it into
God's kingdom. So thank you for your call today. May
I suspect somebody's listening today that didn't know about the
qualified charitable distribution? And, uh, by way of your question,
they now know. So I'm glad you asked that. Well,
we're going to take a quick break here. When we
come back, Bob Dole stops by. We'll get Bob's take
(29:41):
on the markets and the economy, and then we'll try
to get to a few more phone calls before we
round out the show today. Stay with us. We'll be
right back. Thanks for joining us today on Faith and finance.
Live where we want God to be our ultimate treasure.
Money a tool to use for his glory and his purposes.
(30:03):
One of the ways we use money for God's glory
is by way of investing, especially Bob Dole, when we
align our investments with our values. Right?
S10 (30:12):
Absolutely. That's the key to trying to get it right
here on this planet and ready for the rest of
life after this planet. Line them up.
S4 (30:22):
That's exactly.
S1 (30:23):
Right. Well, Bob, uh, not a whole lot going on
in the markets today. It sounds like maybe we're on
a wait and see mode. Perhaps, uh, whether we'll have
lower tariffs before the August 1st deadline. It seems like
we keep kicking that can down the road, but, uh,
perhaps that's what, uh, folks are watching right now. You think?
S10 (30:43):
I think that's definitely it. And the assumption on the
part of the market, rightly or wrongly, is, um, this
too shall pass, that, uh, the president will back off
some of these, um, more stringent tariffs that he's proposing.
And so the market drifted higher. Uh, we have an
important inflation reading this week, and I think investors are
saying I'm not going a big problem there. And we've
(31:06):
got earnings starting and they're expected to be good. So
markets are looking at things as half full even though
we don't know yet for sure.
S4 (31:13):
This week is.
S1 (31:14):
CPI. How does that rank among the various indicators of inflation.
S10 (31:20):
It's very high. I mean the Fed's favorite is the
PCE deflator. But for the average American is the best
measure of all of them. As to the prices we're
paying for this, that and the other thing.
S4 (31:34):
Yeah.
S1 (31:35):
Bob, where do you think we're headed with interest rates? And,
you know, is it surprising to you that, you know,
we've had these higher rates, namely mortgage rates and other
interest rates associated with debt, both personally and corporately, at
a much higher level than we had become accustomed to
the last decade or more. It hasn't eroded the economy,
(31:57):
perhaps as much as or as many expected.
S10 (32:01):
This is true. Rob. Good observation. Um, let's say government,
a significant in the last few years become those somewhat
higher interest rates. The economy has done reasonably well. People
are working. Wage growth is respectable. And so people have
found ways to, uh, to buy things. You, uh, you
(32:22):
basically hinted at the, uh, the issue, uh, housing prices, um, uh,
you know, up, up high. Maybe they stopped going up
and coming down in some places, but mortgage rates are high.
So we're not going to get a lot of help
in this economy from, um, from home building at this stage.
S4 (32:39):
Yeah.
S1 (32:40):
Speaking of, uh, the the housing sector, that's been a
real problem for China. Where is China at now? Just
in terms of how they're doing? Kind of you know,
we went through this, uh, pretty nasty, you know, rhetoric
around trade. Sounds like we got to at least some
sort of framework of a deal, but I know you
had some comments about where China is at right now
(33:02):
in terms of global growth in your commentary.
S10 (33:06):
Yeah. The stat that we reported is that China accounts
for about 20% of GDP growth each year, but that's
down from 50% where it was for many years. In
other words, China is important, but becoming less important for
the globe's growth. And their barriers are many, including an
(33:28):
aging population, consumption that's stalling a bit, and lots of debt. Rob.
S1 (33:35):
What about other nations? Bob, that that could really rival
the US and China on the global stage. I mean,
is that India or Japan or something else?
S10 (33:45):
It's likely India. India has the massive population, as you know,
and has, uh, showing signs of improving, of liberalizing its
banking system to be more accommodative for outside flows. So
India is my candidate to pick up some of the slack,
if you will.
S1 (34:04):
Yeah, Bob, I know you talked about just your expectations
for the next decade that perhaps returns annualized are going
to be more modest than we had become accustomed to
the last 10 or 20 years. And the, you know, eight,
nine range. What are you expecting? And does the foundation
of pro-growth policy that we've seen at least begin to
(34:27):
be put in place this first six months of the year?
Do you think that changes any of that?
S10 (34:31):
Well, right. Set of questions, Rob. I think in the
short term it could make things a bit better. But
remember what it does, it aggravates the amount of debt
and interest expense. So over time there will be be
some erosion as a result of this bill. So it
doesn't change my long term view that over the next
(34:53):
ten years it's more likely to be stock market 5%
per annum. Unlike the 1,012% that we got accustomed to for.
Seems like so many years in a row.
S4 (35:04):
Yeah.
S1 (35:05):
Last question, Bob, what about the those in our listening
audience that are in that that fourth quarter of life,
they're in that retirement season. They've got that 60 over
40 portfolio with 60% bonds. They were beat up a
couple of years ago, you know, with that portion of
their portfolio. Is there a good reason to stay the course,
especially if the trajectory on rates is downward from here?
S10 (35:27):
Yes. I think that, um, the hurt, the hit that
market is largely in the rear view mirror doesn't mean
for a period, but I think the path of least resistance, uh,
as the economy slows, or maybe if the economy slows
will be for rates to fall some. So bond prices
can go up.
S1 (35:46):
Excellent. All right. As always. Have a great week, my friend.
S10 (35:49):
The same to you.
S1 (35:50):
Thanks. That's Bob Dole. Check out Crossmark Global Investments, a
leader in faith based investing. You can find the funds
that Bob manages. Crossmark Global.com. Also sign up for his
weekly investment commentary while you're there. All right, let's try
to get to as many calls as we can here.
We've just got a few minutes left. We're going to
go to Nashville. Michael's been waiting patiently. Go ahead.
S11 (36:11):
Yes, sir. How are you doing?
S1 (36:12):
Doing great. Thanks for your call.
S11 (36:15):
Thanks for taking my call. Um, I have kind of, like,
a two part question. Uh, I'm 64.5. I'm still working.
Is there any Social Security or Medicaid Medicare thing that
I need to sign up for? Because before I turn 65,
that's the first question. And then the second question is,
(36:35):
I'm starting to receive and be inundated from people wanting
to help walk me through the Medicare options and all
that kind of stuff and or Medicaid, I don't know which,
but one of them and are those are choosing one
of those a good thing to do to help you walk,
to navigate this, all this stuff?
S1 (36:56):
Yeah, it's a great question. And I think one, you know,
a lot of people wrestle with when we get in
to this season of life, just wondering, how do we
handle this? Because we don't want to miss anything and
be penalized about it, about all those mailers. You know,
many of the companies sending those mailers are legitimate or
insurance agents. People compare Medicare plans. Some are helpful, but
(37:17):
others push high commission plans that may not be the
best fit. So if you use a broker, I'd make
sure you use someone who's independent and represents multiple plans,
not just one company. Um, how and when to sign up.
Medicare does start at age 65. You can enroll as
early as three months before your 65th birthday. But if
you're still working and you have employer health coverage, then
(37:41):
you don't need to sign up for plan B yet.
So if your employer has 20 plus employees and provides credible,
creditable coverage, then you can delay part B without penalty.
I would just sign up for part A, which is
usually free. If you have fewer than 20 employees, then
you would enroll in A and B, even if you're
(38:02):
still working at 65. And then you will have, once
you retire a special enrollment penalty. Excuse me, enrollment period
to sign up without penalty. But as long as you're
covered more than 20 employees, then you can you can
wait on that with Social Security. That is not affected
by this age 65. It really has to do with
(38:25):
when you reach full retirement age, which is probably 60,
somewhere between 66 and 67 for you. That's when you'll
get your full benefit. I would wait and you can
wait all the way up to age 70, and you'll
get about 25% more on top of that, especially if
you don't need the money. Does that all make sense though?
S11 (38:45):
Yeah, it all makes sense. I just heard some people say, well,
you got to sign up for it. Doesn't matter if
you're still working, you got to sign up for this.
And then some people say, no, no, you don't have
to sign up for that. And so it's like, I
just want to know what to do.
S1 (38:59):
Yeah. No, uh, you you do not need, uh, to
sign up for that. Uh, if you are continuing to work, uh,
beyond age 65. So I would say go ahead and
pass on that. Uh, now, you do have coverage and
you do have an employer with 20 plus employees, right?
S11 (39:18):
Yeah. I work for an international company. Um, okay. Yeah.
We've got yeah, we've got quite a few employees.
S1 (39:23):
Yeah. Okay. Yeah. Sounds like it. So you should be
in good shape. That's exactly right.
S11 (39:30):
Sign up for anything.
S1 (39:31):
That's exactly right. And then once you separate from employment
and you retire, you'll have a window there where you
can sign up without any penalty. Michael, I hope that
clears it up. Your call, sir. Let's finish up in
Illinois today. Hi, Cassie. Go ahead.
S12 (39:44):
Hi, I just retired, I'm 68 and I have a
401 K, and I was wondering, can I put it
in a Roth IRA? Is that the best thing to
do with it? It's not a lot of money. It's
like 11,000. $12,000.
S1 (39:59):
Yeah. So it's in the 401 K currently. And you
have separated from employment, correct?
S12 (40:05):
That's correct.
S1 (40:06):
Okay. Yeah. I mean, you know, it's $11,000. I mean,
the only reason you would want to move it to
a Roth is if a, you had the money available
to pay the tax because that 11,000 is going to
be added to your taxable income. Now, why would you
do that? Well, the reason you might want to do
that is because you've got the money and maybe you
(40:27):
don't expect to use it. So you want to just
let it continue to grow tax free. And then you
want to pass it on to your heirs, and they'd
be able to pull it out tax free as well.
Apart from that, if money was tight, I would say
just leave it in that tax deferred environment, roll it
to a traditional IRA. Doesn't add anything to your tax
burden for the year. And then just let it grow
(40:48):
right there. And if you need it, at some point
you'll pay tax on it. Otherwise you you know, leave
it to your heirs and they'll pay the tax when
they take it out. I think you could go either way.
It's really going to come down to what are you
trying to accomplish? And do you have the money available
to cover the tax without it creating any kind of
challenges for you? Does that make sense?
S13 (41:09):
Yes, and thank you for taking my call.
S1 (41:11):
Absolutely happy to do it. Let's get to do it
for us. Listen, if you love the program, we'd love
for you to be a Faith five. Partner. Partner. Support
us at $35 a month. We're listener supported, so that's key.
Helps us do what we do. We'll send you four
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by Faith and a partnership between Moody Radio and Faith fi.
(41:36):
Thank you to Omar, Tahira, Amanda and Jim. See you tomorrow.
For God is not a God of disorder, but of peace,
as in. By Andrew Stanley at the blue temperament and
how it influences our approach to money. And then it's
on to your calls at 800, 500, 25, 7000. That's 805, two, five, 7000.
This is faith and finance. Live. Biblical wisdom for your
financial journey. Kathleen Edelman is the author of I Said
(00:35):
This You Heard That, and the creator of the widely
used video series and workbook that has helped thousands better
understand how temperament shapes the way we communicate. Kathleen, great
to have you with us.
S2 (00:46):
I'm so glad to be back.
S1 (00:47):
And you've brought a familiar face with you, Andrew Stanley.
Many of us know Andrew as a stand up comedian.
He's also a preacher's kid with a background in corporate finance. And,
as you might expect, a blue temperament. Andrew. Great to have.
S3 (01:01):
Happy to be here. Thanks for having me in.
S1 (01:04):
Absolutely. Kathleen, I want to start with a quick refresher.
I'd love for you just to walk us through the
four temperaments to set the stage, and specifically how each
one influences the way we communicate and make decisions.
S2 (01:16):
Well, we have to understand that temperaments have been around,
you know, for 600 years before Jesus walked the earth.
And what temperaments does is it tells us how we're
going to think, hear, speak, communicate. So we have a
yellow sanguine that speaks the language of people and fun.
It's an extrovert that's people oriented. We have the red
choleric speaks the language of power and control. An extrovert
(01:40):
that's task oriented. We have the blue melancholic who speaks
the language of perfection in order an introvert that's task oriented.
And then we have a green phlegmatic that speaks the
language of calm and harmony. An introvert, believe it or not,
that's people oriented. So all these influence relationships and how
(02:00):
we manage money.
S1 (02:02):
Yeah. That's so good. Well, Andrew, you are our official
blue temperament. And that's where we're going today. And so
I'd love for you just to start by, what was
your initial reaction taking this assessment? I know it's been
a while. And did it help make sense of things
in terms of how you respond?
S3 (02:18):
Um, definitely. And happy to represent the blues here. I
it feels like a lot of pressure to represent like
a fourth of the population. This is how we all are. Um, absolutely.
It definitely validated me. I, um, I was not surprised
after ahead of time, kind of reading through the temperaments,
I pegged myself as a blue. And so when the
(02:39):
results said that, I definitely wasn't surprised. But it did
make me feel validated. And, you know, you grow up
and you kind of feel your strengths and weaknesses as
a person. And it definitely made me feel better that
my weaknesses were normal for someone like me to have
in my strengths were normal for someone like me to have.
Not that I don't need to work on weaknesses, but
(03:00):
it definitely made me feel kind of off the hook
for some of the things I'm not naturally good at. Sure. Um,
and made me want to lean into the things more
that I am. Um, so definitely helped me kind of
understand myself and why I kind of am the way
I am.
S2 (03:13):
Yeah, yeah. So blues, you know, do exactly what Andrew
just said. They finally feel like they're understood. And, um,
I get a lot of thanks from blues. Um, this
is a person that feels like a square peg going
into a round hole, you know, most of their life.
And the temperament allows them to feel like they're seen.
So blues are deep thinkers, and they value correct, um, conversations.
(03:38):
Their motto is, if it's worth doing, it's worth doing. Right.
S1 (03:42):
Yeah, that's exactly right. Well, we have just a minute
before our first break. But, Andrew, I'd love for you
to start to connect the dots on your blue temperament
and how you manage money. Interestingly, as I said, you
have a background in corporate finance now, a stand up comedian.
Fascinating combination. But talk about how this intersects with money management.
S3 (04:01):
Totally. The normal route for a finance to comedy. Is
this the the real track? All my comedian friends were
previously financial analysts as well. Um, you know when this
as this relates to money for me, it's kind of
the predictable thing you'd think when you read about blues.
I definitely look at money as safety. Um, when my
(04:23):
wife and I were going through premarital counseling, we learned that,
you know, I look as a safety, and she looks
at money as fun. And so how do we merge
those two? And neither of us are wrong. Neither of
us are right. But it's just the way we feel
when it comes to financial decisions. So that definitely affects
the way I make decisions around money, finance and planning.
S1 (04:43):
Absolutely. Well, if you are the blue that speaks the
language of perfection and order, introvert task oriented today is
for you. Andrew Stanley, with us today. Also, Kathleen Edelman,
the author of I Said This, you heard that we'll
continue to unpack the blue temperament and how it affects
financial decision making just around the corner. Stay with us.
(05:15):
Great to have you with us today on Faith and
finance live. I'm Rob West with me today, Kathleen Edelman.
She's our resident temperament expert. She's the author of I
Said This. You heard that if you've not seen the
video series or the workbook, which, by the way, Kathleen
was just updated, right?
S2 (05:30):
Yes. Just updated the 2025 edition.
S1 (05:32):
All right. You need to pick it up wherever you
buy books. We're doing a series where we're moving through
the four Temperaments, and today we're focused on the blue temperament,
blue being melancholic, speaking the language of perfection and order.
These are introverts who are task oriented. and we're talking
about how that particular temperament affects financial decision making. Our
(05:54):
resident blue representative today is Andrew Stanley. He has a
background in corporate finance. He's a pastor's kid, but also
a very effective stand up comedian. You've probably seen some
of his specials on TV. And we're grateful he's here today. Andrew,
before the break, you were talking about just the impact
of your blue temperament, not only on how you make decisions,
(06:17):
but also how that intersects in your marriage, as well
as you and your wife make decisions together. Anything else
that comes to mind there?
S3 (06:24):
Totally. I mean, the the blue temperament definitely impacts the
way I feel about money. Um, I think I can
be paralyzed by too much information when it comes to
making financial decisions. Or if I feel like I don't
have all the information, then I'd rather just, you know what?
Let's just not buy it. You know, if I if
it gets to be too much of a conversation, I'm like,
I'd rather just err on the side of keeping a
(06:46):
big number in the account and we'll go on vacation
next year. Even if, you know, it probably makes sense
to go on vacation. So I've definitely had to learn
how to manage that mindset in a way that's still
fun for my wife.
S1 (06:59):
Yeah, because she wants to see money as a tool
to create experiences and memories and all kinds of things.
S3 (07:04):
And rightfully so. I definitely need to be pushed in
that direction. Um, whereas she probably needs to be pushed
in my direction.
S2 (07:10):
Yeah. Well, and we're talking temperaments. That's exactly what it is.
And what Andrew said was hitting the nail on the
head view money through the lens of security. They are careful.
There often have long term in mind, um, mostly due
to the fact of safety is one of their most important.
So they may overanalyze or hesitate to make decisions. And
(07:32):
with um, if they're not tendency to, just, like Andrew said,
feel overwhelmed or paralyzed. So they thrive with a clear
feel safe when things are in order.
S1 (07:43):
Yeah. And when it comes to money management. I mean,
being thoughtful, being thorough. That's obviously helpful. It kind of
gives you an edge when it comes to managing money.
S3 (07:53):
I think so it definitely makes me a natural saver. Yeah. Um,
I always say my vacation is looking at the big
number in the bank account. That feels like a vacation
to me. It feels like safety. And you know, we're
all good. No matter what happens, we can handle it. Um,
and it's, you know, when my wife and I got married,
we just had to take budgeting very seriously. But we
(08:14):
learned that for it to work for both of us,
we in our budget, we have fun money. Yeah. And
we have to spend it.
S1 (08:21):
Okay.
S3 (08:21):
And I kept getting in trouble because every month I
wouldn't have spent any of my fun money. And so
I'd have this big surplus and fun money. I'd be like, yeah,
but it's fun for me to see it in there.
S1 (08:30):
So I'm having.
S3 (08:31):
A blast as my fun money. It's. I can see it.
S2 (08:33):
Yeah, there's a party.
S3 (08:35):
Um, so it definitely helps me when it comes to saving, um,
which I think most financial planners would be happy about.
But like they say, you know, most very wealthy people say,
you know, safe money doesn't make money.
S1 (08:46):
So yeah.
S3 (08:47):
You definitely got to think about that too.
S1 (08:48):
That's a.
S2 (08:48):
Good point. And I'm loving this because, you know, I'm
blue and blues are wired for to be thoughtful and thorough.
These are two great traits in financial planning, no doubt.
Empathy is also a great strength of a blue, and
it results in them being able to be aware of
the other people that are in their life. Maybe in
that planning. Sure. Um, the temperament seeks to be understood. So,
(09:10):
you know, that's going to be in the financial discussions
all the time. Learning to trust others and make decisions
without every detail might be a skill the blues need
to to learn, but they will benefit from encouragement to
enjoy financial wins, not just avoid making financial mistakes.
S1 (09:31):
Yeah, no. And that's a key idea. Kathleen, what are
the emotional needs or what I know you call the
innate needs that typically drive someone with a blue temperament.
S2 (09:40):
So the blue innate needs are safety, being able to
trust their relationships and surroundings, sensitivity which means to be understood,
support being offered or provided help in space and silence.
Having time to decompress, process or think you know when
these are met, the blues feel seen and understood. Um,
(10:01):
if I haven't mentioned before, you know you're either going
to fill these with your strengths or weaknesses. So if
these are met with weaknesses for a blue, um, then
they may try to control with moods and silence.
S1 (10:14):
Mm. Interesting. So how does that you just this idea
that I need some space and I don't want to
be rushed in. Plus, safety is kind of at the
core of everything.
S3 (10:23):
I was thinking about just not answering and trying to
control the room mood in silence. Uh.
S1 (10:29):
Which doesn't work great for radio.
S3 (10:32):
Yeah, it doesn't work great for anything, I don't think. Um,
I think it does. It does sound like me. I mean,
I definitely relate to, you know, safety being important? Like
I mentioned, the space and silence is big for me.
I think, especially when it comes to making big decisions
like my wife is definitely learned that I need time
to think about things. And she's she's more more blue green,
(10:52):
I think. And so usually when there's a big decision
to make, she already knows the answer. And she has learned.
I'm grateful for that, even if she already knows the answer.
Space to get there on my own, too.
S4 (11:02):
Yes.
S3 (11:03):
And then I'm like, hey, I thought about it for,
you know, three hours and I think you're right. And
she's like, yeah, great. Well, I knew that. But glad
you got there too. And, um, even just understanding those
simple things about ourselves has really helped us in our
marriage and helped us understand each other and not just
get upset because somebody's not seeing things the way I
see them and realizing, yeah, of course they don't because
(11:24):
they're different temperament.
S4 (11:26):
That's right.
S2 (11:26):
Yeah. And again, I have to say, the Blues are
the most grateful for understanding their temperament out of the
four because it feels so different. Um, and they have
the tendency to feel, though, if somebody loves them or
married to them or works with them, a blue often
can feel like that person should be able to read,
you know. So it's important for a blue to think through,
(11:47):
but to advocate for themselves so they can be understood.
And being able to express themselves with clarity that can
transform their relationship and reduce most of the self-induced stress
and anxiety. A blue can get to.
S1 (12:02):
Yeah, well, that makes sense. Andrew, we've got about a
minute left. What's one piece of advice you'd give to
fellow Blues as their representative on the radio, or anyone
in a relationship with someone who has a blue temperament?
S3 (12:15):
Totally. I mean, I think it's a lot of what
we've already said. I think if it's advice to yourself
and you're blue, it's allow yourself space to feel guilty
for needing some extra time. And obviously, if you're in
a relationship with somebody like that, like my wife does,
understand that they need that, even if you already know
the answer. And, um, I've learned that I just need
to be pushed in a loving way sometimes. Um, as
long as people, I feel like people understand me, I me.
(12:36):
I don't mind when my wife is like, hey, we
got to make sure this gets done. Um, and just,
you know, try to have fun, realize that, uh, having
fun now is just as important as being safe later.
S2 (12:47):
That's a good one, because Blue's smart money kind of
conflict or being wrong. Right. So many Blue's don't start
things they think they're going to fail at. So they
prefer to be prepared. They want to be presented the
facts clearly. Because Blue's aim to do things in excellence.
So because Blue's are skilled at seeing all obstacles between
(13:07):
A and B, they're creative problem solvers, and that can
be a great gift in financial planning. And they thrive
when they're invited into collaboration without pressure.
S1 (13:19):
Well. Well said. Well, I think we've successfully helped the
blues ourselves. And if you have one in your life,
perhaps communicate more effectively. Kathleen. Andrew, thanks for stopping by.
S2 (13:30):
Thank you.
S4 (13:30):
Thanks.
S1 (13:31):
If you want to check out Andrew Stanley, go to
Andrew Stanley comedy.com. Pick up a copy of I Said This.
You heard that wherever you buy books, and we'll continue
this series in the days ahead as we unpack each
of these temperaments. A quick break back with your phone
calls after this. 800 525 7000. We'll be right back.
S5 (13:58):
The opinions offered during this program, personal or professional opinions
of the participants are given for informational purposes only. Any
information provided is not intended to replace advice from a financial, medical, legal,
or other professional who understands your specific situation.
S1 (14:21):
Great to have you with us today on Faith and
finance live here on Moody Radio. Well, looking forward to
taking your calls and questions today. That means the rest
of the program is yours. If there's something on your mind.
Maybe over the weekend you were wrestling with something in
your financial life, or maybe you were at a family
gathering and your brother in law brought up something about
an investment strategy. And you're wondering, does that make sense?
(14:44):
Whatever it might be. Today we've got some lines open
they'll fill up, but at the moment we've got room
for you. 85 7000 is the number to call. Again,
that's 805, two five 7000. Coming up in our final
segment today, Bob Dole stops by. We'll find out what
is moving the markets today. Bob will weigh in on
(15:05):
fed decisions. What will happen if, uh, the Chairman Powell
steps aside? What does that mean for the markets? And
what's the latest reading on inflation? What about unemployment? And
how does all of that factor to the economy? Bob
will weigh in on that straight ahead. And that combined
with your questions today is going to give us the
(15:26):
remainder of the broadcast. So let's dive into those questions.
We're going to begin in Indiana today. Ryan. Thanks for calling, sir.
Go ahead.
S6 (15:34):
Yes. How are you doing today?
S1 (15:36):
Doing great. Thanks for your call.
S6 (15:38):
Good, good. Yeah. So I have a rental portfolio and
rental properties. And so it's it's all my eggs are
in that basket investment wise. And so I am considering
selling some off or refinancing uh, to kind of, uh,
diverse my portfolio into some other things. I do have
(16:01):
an opportunity in a real estate related investment, but it
would not qualify for a 1031 exchange. So I'm concerned
about selling properties, paying the penalty of the capital gains
for this other investment. But the investment looks really good.
So I'm kind of struggling on kind of what to
do with that.
S4 (16:21):
Yeah.
S1 (16:21):
What kind of capital gain would you realize would hate
whatever your investment?
S6 (16:26):
Yeah, I'm looking at probably 15% overall, 10 to 15%
on the entire portfolio. Um, is about where I'm at.
S4 (16:38):
Okay.
S1 (16:39):
Yeah. I mean, so that's not a huge amount. You're
going to have to pay it at some point. And
so if you have something compelling that allows you to
further diversify, you know, perhaps when you get into this
new investment, it sounds like you think it's pretty attractive.
Not only that, but it might diversify you among new
asset classes and give you the ability to pass down
(17:01):
something that doesn't require. Well, it's not as labor intensive
as rental properties. I mean, that's basically you're taking on
a business. If if you're inheriting rental properties and, you know,
a lot of people aren't equipped for that, just don't
want to put in the time and effort. So I
think given the fact that capital gains rates are low,
they may not be low forever. You're going to pay
(17:21):
that 15% at some point unless you you know, the
only way to avoid that would be because even with
a 1031, you're just kind of kicking the can down
the road. So the only way to truly avoid it
would be to take some or all of any of
these properties and give them away to, let's say, a
donor advised fund prior to the sale. Then when you sell,
whatever portion is in the donor advised fund is no
(17:43):
longer subject to capital gains, but it does need to
be given away for charitable purposes. So given that we've
got probably the lowest capital gains rates we will ever have,
and you're going to pay that at some point, apart
from a charitable gift, I think now's a great time
to do exactly what you just said. Take advantage of
another investment, further diversify and position yourself, you know, to
(18:06):
pass something down that wouldn't require as much effort to maintain.
Does that make sense, though?
S6 (18:12):
Absolutely. That's exactly where I'm at.
S4 (18:15):
Yeah.
S1 (18:15):
So I think that's probably you know, I just go
ahead and bite the bullet and realize that, you know what,
I hate to pay the tax, but I don't have
to pay the tax unless I have a profit. So
we can celebrate that. and you move on to the
next thing.
S6 (18:26):
Okay. Very good. Thank you so much.
S1 (18:28):
All right, Ryan God bless you, bud. Call anytime, (800)Â 525-7000
is the number. Let's go. Let's go ahead.
S7 (18:37):
Okay. I'm ready drawing. But my wife is a little
bit younger than I am. Um, and she just turned 62.
Can she draw off of mine?
S1 (18:52):
Um, she can take a spousal benefit so long as
she has the ability, uh, to get that, because you've
gone first. So as long as you've walked through that
door before she has, then yes, she would be entitled
to spousal benefit. The problem is, if she's 62, she
(19:13):
is going to take a reduction. So the most she
could get as a spousal benefit is 50% of yours.
And so at 62, she'd typically get somewhere between 32
and 35% of your full benefit as her spousal benefit.
S7 (19:32):
Okay. So she can't continue to let her grow.
S1 (19:36):
She cannot. That used to be the case. It is
no longer the case if she claims the spousal benefit
before full retirement age. She must take the higher of
the two her own benefit or the spousal benefit. She
cannot let her own benefit keep growing while taking a
spousal benefit. The only way that that would apply is
(19:58):
if it was a survivor's benefit, but not a spousal benefit.
S7 (20:01):
Right, right. Okay. I guess that was my question. Um,
so she can't continue to let her. I wanted to
let her grow and then still get some. Uh, but
that's not possible. Okay.
S4 (20:16):
That is correct.
S7 (20:18):
Well, thanks for your time. Nice talking to you.
S1 (20:21):
And you as well, Amos. Thank you sir. Call anytime. Well,
this is Faith and finance live. Here's our goal in
this program each day. Yeah. We want to give you
those practical answers. Help you think about what's going on
in your financial life. But we also recognize that one
of the ways we live out, work out our faith,
and and really live out of a of an eternal
(20:42):
mindset is through those practical daily decisions we make because
we're voting with our wallet as to what we value
and where we place our trust. And so we want
to help you balance the practical and the spiritual, because
we know that ultimately we're managing the King of Kings resources.
This is faith and finance live much more to come.
(21:03):
Just around the corner. Don't go anywhere. Hey, thanks for
joining us today on Faith in Finance Live. I'm Rob West.
We're taking your calls and questions today. We'll dive right
back into those cars. Go straight ahead. Bob Dahl, in
our final segment. We'll find out what's moving the markets today.
(21:24):
The market finished all the tariffs. Uh, a lot to
think about there. But the market finding a way to
push even higher today. Uh, but not by much. About
a quarter of a point across the board today. A
little less than that on the S&P 500. We'll get
Bob to weigh in on that straight ahead. The phones, uh, Ozark, Arkansas,
(21:46):
is where Raymond is. Go ahead, sir.
S8 (21:49):
Hey, uh, good afternoon Rob. Thank you for the program.
I'm sure you, uh, encourage a lot of people to, uh,
be good stewards of what the good Lord has given us.
My question is, my son has encouraged me to, uh,
sell my three homes that valued about 500,000. Put them
in an ETF fund and move into a, uh, assisted living.
(22:11):
I'm 73, and I still get along just fine.
S4 (22:14):
Hmm.
S1 (22:15):
Yeah. Well, um, there's a lot there, and we don't
want to get into a binary trap. And what that
means is we we, you know, have only two options. So,
you know, you could sell these properties. That may be
a great decision, but that doesn't mean if you sell them,
you have to go into I think you said Misty,
do you mean the Misty the ETF from Blackrock?
S8 (22:39):
Yes.
S1 (22:39):
Yeah. So I think the first question is do you
want to sell the property. Does that make sense for you.
Because either you want to simplify repairs property management. Um
you know you want to be more liquid. So you've
got access to the money if you need it. You
want to be more diversified. I mean, those would be
all good reasons why you'd want to sell it. There's
(23:00):
no capital gains right now. You know, most times you
would be talking 15%. Um, you know, on the long
term capital gain, that's not a whole lot to pay
in taxes. And then a separate question I think is,
okay If I do decide that makes sense, what do
I want to do with it? And do you want
to go into a a dividend paying US stock index?
(23:23):
That's probably not a bad idea, but I wouldn't put
a half $1 million into it. And I would also
say that, you know, a lot of our listeners take
issue with, you know, Blackrock, just in terms of some
of their their practices from a corporate engagement standpoint. So
you may want to look and just I'm not telling
you whether it's good or bad. I would just think
you'd want to look at that from a conviction standpoint
and see if it aligns. But even if you decided
(23:45):
to go into a US equity high dividend ETF, I
would probably be more diversified than that at age 70.
You know, I'd probably be thinking about, you know, 40%
in stocks and maybe half of that could be in
dividend paying, uh, you know, index or or fund like
he's describing. And then maybe the other half and, you know,
(24:07):
some other type of stock index or maybe a little
international exposure, maybe some large cap, things like that, and
then perhaps as much as 60% in fixed income. Uh,
you know, to give you a little more stability. Now,
you may say, listen, this is not money. I need
my my bills are covered. Um, I'm willing to take
a little bit more risk. I'm kind of looking beyond
(24:27):
my life to continue to grow it as an asset
that either I'd give away or pass down to my kids.
And maybe you want to get, you know, more stock
exposure than 40, but I wouldn't put it all in
one exchange traded fund when we're talking about a half
$1 million. So, you know, I think the first question is,
is this the right time for you to get out
of the the properties? Is that something you're kind of
(24:50):
itching to do at this point? And or what are
your thoughts on that?
S8 (24:54):
Yeah. Uh, you know, I've had good renters and bad
over the years. Uh, the property has more than paid
for themselves and just rent. Yeah. Uh, but I've kept
all the maintenance up. The property is in good shape.
I think it's just. I just think it's a good
time to move them. Uh, especially if the interest rate
drops down where they'll move pretty quick. I can reinvest
(25:16):
that money.
S1 (25:17):
Yeah, I mean, that's probably not happening anytime soon. But
if you saw something and, you know, with a five
handle on it, you may want to go ahead and
do that. You may decide you want to go ahead
and get out of it before that, because we may
be six months or maybe as much as a year
away from being able to to see those interest rates
drop down. And if you get the right buyer at
the right price, I mean, there's no question that real estate,
(25:37):
you know, is at in many cases, you could call
it a peak. Now, will it continue to grow? Probably.
But depending on the part of the country you're in,
you may be perfectly happy with what you could get
out of it right now. And this may be a
great time for you to simplify a bit, get a
little more diversified. You could even look at an opportunity
if you didn't want to manage this yourself, at bringing
(25:59):
on a wealth manager or somebody who could take responsibility
for managing it for you. And I'd encourage you to,
you know, interview a Sica in your area if that's
what you were looking for. But no reason you can't
manage it yourself. I'd just be a little bit more
diversified than one particular, uh, you know, US stock dividend
focused ETF.
S8 (26:20):
Don't put all my eggs in one basket.
S4 (26:23):
You got it. Yes, sir.
S8 (26:25):
Okay. Well, thank you so much for your program. That's
great advice. And, uh, I have a have a blessed
day and keep up the good work.
S1 (26:33):
Thank you. Raymond. Hey, let me mention one other thing.
If you want to do any giving out of this.
And I'm not saying you need to, you may be
doing that other places, but it's a great opportunity. Before
you sell, you could give a portion of any of
these properties to a donor advised fund. It's easier to
do than it sounds. Uh, but you could skip the
capital gain on whatever portion of the property, whatever percentage
(26:56):
you put into a donor advised fund prior to the sale,
and then it would at the sale, just fund that
donor advised fund with that portion, it's not subject to
capital gains, and then you could give it away. Uh,
and our friends at National Christian Foundation would be a
great resource for you on that. NCF giving thanks for
your call today, sir. Uh, may is in Chicago. Go ahead.
S9 (27:20):
My question is, um, at what is the minimum age
to donate from your IRA to a QCD?
S1 (27:32):
Yeah, you must be may at least 70.5 in order
to donate, uh, by way of a qualified charitable distribution
where you'd give from an IRA directly to a charity.
25 the tax year 2025, you can do up to $108,000.
You don't have to do that much. That's just the
(27:52):
most you can do. But you are required to be
70.5 or older.
S9 (27:59):
Wonderful. Yeah. Does that apply to, uh, uh, young, younger
people who are, uh, won't reach retirement age until 76.
You know, 66, 67. You know that that has moved up.
S4 (28:18):
It has.
S1 (28:19):
Yes, ma'am. But the two are not related. So the
current law and this could change is that qualified charitable
distributions become eligible at 70.5. The amount you can do
by way of a QCD increases every year. But the
the the age has stayed constant 70.5. Regardless of when
(28:40):
you become a full retirement age eligible for Social Security.
S9 (28:46):
So that means younger people can start at 70.5.
S4 (28:51):
That's exactly.
S9 (28:51):
Right. Wonderful.
S4 (28:54):
Well thank you. And it's a it's a wonderful benefit.
S1 (28:56):
I love this because here's what happened. And you're probably
very familiar with this. That money went into the IRA
tax free. Well tax deferred because you got the deduction
when it went in perhaps through a 401 K or
directly into the IRA. And the only way it comes
out without paying tax on it, there's no other way
is is the qualified charitable distribution. It's a wonderful benefit.
(29:19):
You will never pay tax on that money and all
the gains. And we might as well get it into
God's kingdom. So thank you for your call today. May
I suspect somebody's listening today that didn't know about the
qualified charitable distribution? And, uh, by way of your question,
they now know. So I'm glad you asked that. Well,
we're going to take a quick break here. When we
come back, Bob Dole stops by. We'll get Bob's take
(29:41):
on the markets and the economy, and then we'll try
to get to a few more phone calls before we
round out the show today. Stay with us. We'll be
right back. Thanks for joining us today on Faith and finance.
Live where we want God to be our ultimate treasure.
Money a tool to use for his glory and his purposes.
(30:03):
One of the ways we use money for God's glory
is by way of investing, especially Bob Dole, when we
align our investments with our values. Right?
S10 (30:12):
Absolutely. That's the key to trying to get it right
here on this planet and ready for the rest of
life after this planet. Line them up.
S4 (30:22):
That's exactly.
S1 (30:23):
Right. Well, Bob, uh, not a whole lot going on
in the markets today. It sounds like maybe we're on
a wait and see mode. Perhaps, uh, whether we'll have
lower tariffs before the August 1st deadline. It seems like
we keep kicking that can down the road, but, uh,
perhaps that's what, uh, folks are watching right now. You think?
S10 (30:43):
I think that's definitely it. And the assumption on the
part of the market, rightly or wrongly, is, um, this
too shall pass, that, uh, the president will back off
some of these, um, more stringent tariffs that he's proposing.
And so the market drifted higher. Uh, we have an
important inflation reading this week, and I think investors are
saying I'm not going a big problem there. And we've
(31:06):
got earnings starting and they're expected to be good. So
markets are looking at things as half full even though
we don't know yet for sure.
S4 (31:13):
This week is.
S1 (31:14):
CPI. How does that rank among the various indicators of inflation.
S10 (31:20):
It's very high. I mean the Fed's favorite is the
PCE deflator. But for the average American is the best
measure of all of them. As to the prices we're
paying for this, that and the other thing.
S4 (31:34):
Yeah.
S1 (31:35):
Bob, where do you think we're headed with interest rates? And,
you know, is it surprising to you that, you know,
we've had these higher rates, namely mortgage rates and other
interest rates associated with debt, both personally and corporately, at
a much higher level than we had become accustomed to
the last decade or more. It hasn't eroded the economy,
(31:57):
perhaps as much as or as many expected.
S10 (32:01):
This is true. Rob. Good observation. Um, let's say government,
a significant in the last few years become those somewhat
higher interest rates. The economy has done reasonably well. People
are working. Wage growth is respectable. And so people have
found ways to, uh, to buy things. You, uh, you
(32:22):
basically hinted at the, uh, the issue, uh, housing prices, um, uh,
you know, up, up high. Maybe they stopped going up
and coming down in some places, but mortgage rates are high.
So we're not going to get a lot of help
in this economy from, um, from home building at this stage.
S4 (32:39):
Yeah.
S1 (32:40):
Speaking of, uh, the the housing sector, that's been a
real problem for China. Where is China at now? Just
in terms of how they're doing? Kind of you know,
we went through this, uh, pretty nasty, you know, rhetoric
around trade. Sounds like we got to at least some
sort of framework of a deal, but I know you
had some comments about where China is at right now
(33:02):
in terms of global growth in your commentary.
S10 (33:06):
Yeah. The stat that we reported is that China accounts
for about 20% of GDP growth each year, but that's
down from 50% where it was for many years. In
other words, China is important, but becoming less important for
the globe's growth. And their barriers are many, including an
(33:28):
aging population, consumption that's stalling a bit, and lots of debt. Rob.
S1 (33:35):
What about other nations? Bob, that that could really rival
the US and China on the global stage. I mean,
is that India or Japan or something else?
S10 (33:45):
It's likely India. India has the massive population, as you know,
and has, uh, showing signs of improving, of liberalizing its
banking system to be more accommodative for outside flows. So
India is my candidate to pick up some of the slack,
if you will.
S1 (34:04):
Yeah, Bob, I know you talked about just your expectations
for the next decade that perhaps returns annualized are going
to be more modest than we had become accustomed to
the last 10 or 20 years. And the, you know, eight,
nine range. What are you expecting? And does the foundation
of pro-growth policy that we've seen at least begin to
(34:27):
be put in place this first six months of the year?
Do you think that changes any of that?
S10 (34:31):
Well, right. Set of questions, Rob. I think in the
short term it could make things a bit better. But
remember what it does, it aggravates the amount of debt
and interest expense. So over time there will be be
some erosion as a result of this bill. So it
doesn't change my long term view that over the next
(34:53):
ten years it's more likely to be stock market 5%
per annum. Unlike the 1,012% that we got accustomed to for.
Seems like so many years in a row.
S4 (35:04):
Yeah.
S1 (35:05):
Last question, Bob, what about the those in our listening
audience that are in that that fourth quarter of life,
they're in that retirement season. They've got that 60 over
40 portfolio with 60% bonds. They were beat up a
couple of years ago, you know, with that portion of
their portfolio. Is there a good reason to stay the course,
especially if the trajectory on rates is downward from here?
S10 (35:27):
Yes. I think that, um, the hurt, the hit that
market is largely in the rear view mirror doesn't mean
for a period, but I think the path of least resistance, uh,
as the economy slows, or maybe if the economy slows
will be for rates to fall some. So bond prices
can go up.
S1 (35:46):
Excellent. All right. As always. Have a great week, my friend.
S10 (35:49):
The same to you.
S1 (35:50):
Thanks. That's Bob Dole. Check out Crossmark Global Investments, a
leader in faith based investing. You can find the funds
that Bob manages. Crossmark Global.com. Also sign up for his
weekly investment commentary while you're there. All right, let's try
to get to as many calls as we can here.
We've just got a few minutes left. We're going to
go to Nashville. Michael's been waiting patiently. Go ahead.
S11 (36:11):
Yes, sir. How are you doing?
S1 (36:12):
Doing great. Thanks for your call.
S11 (36:15):
Thanks for taking my call. Um, I have kind of, like,
a two part question. Uh, I'm 64.5. I'm still working.
Is there any Social Security or Medicaid Medicare thing that
I need to sign up for? Because before I turn 65,
that's the first question. And then the second question is,
(36:35):
I'm starting to receive and be inundated from people wanting
to help walk me through the Medicare options and all
that kind of stuff and or Medicaid, I don't know which,
but one of them and are those are choosing one
of those a good thing to do to help you walk,
to navigate this, all this stuff?
S1 (36:56):
Yeah, it's a great question. And I think one, you know,
a lot of people wrestle with when we get in
to this season of life, just wondering, how do we
handle this? Because we don't want to miss anything and
be penalized about it, about all those mailers. You know,
many of the companies sending those mailers are legitimate or
insurance agents. People compare Medicare plans. Some are helpful, but
(37:17):
others push high commission plans that may not be the
best fit. So if you use a broker, I'd make
sure you use someone who's independent and represents multiple plans,
not just one company. Um, how and when to sign up.
Medicare does start at age 65. You can enroll as
early as three months before your 65th birthday. But if
you're still working and you have employer health coverage, then
(37:41):
you don't need to sign up for plan B yet.
So if your employer has 20 plus employees and provides credible,
creditable coverage, then you can delay part B without penalty.
I would just sign up for part A, which is
usually free. If you have fewer than 20 employees, then
you would enroll in A and B, even if you're
(38:02):
still working at 65. And then you will have, once
you retire a special enrollment penalty. Excuse me, enrollment period
to sign up without penalty. But as long as you're
covered more than 20 employees, then you can you can
wait on that with Social Security. That is not affected
by this age 65. It really has to do with
(38:25):
when you reach full retirement age, which is probably 60,
somewhere between 66 and 67 for you. That's when you'll
get your full benefit. I would wait and you can
wait all the way up to age 70, and you'll
get about 25% more on top of that, especially if
you don't need the money. Does that all make sense though?
S11 (38:45):
Yeah, it all makes sense. I just heard some people say, well,
you got to sign up for it. Doesn't matter if
you're still working, you got to sign up for this.
And then some people say, no, no, you don't have
to sign up for that. And so it's like, I
just want to know what to do.
S1 (38:59):
Yeah. No, uh, you you do not need, uh, to
sign up for that. Uh, if you are continuing to work, uh,
beyond age 65. So I would say go ahead and
pass on that. Uh, now, you do have coverage and
you do have an employer with 20 plus employees, right?
S11 (39:18):
Yeah. I work for an international company. Um, okay. Yeah.
We've got yeah, we've got quite a few employees.
S1 (39:23):
Yeah. Okay. Yeah. Sounds like it. So you should be
in good shape. That's exactly right.
S11 (39:30):
Sign up for anything.
S1 (39:31):
That's exactly right. And then once you separate from employment
and you retire, you'll have a window there where you
can sign up without any penalty. Michael, I hope that
clears it up. Your call, sir. Let's finish up in
Illinois today. Hi, Cassie. Go ahead.
S12 (39:44):
Hi, I just retired, I'm 68 and I have a
401 K, and I was wondering, can I put it
in a Roth IRA? Is that the best thing to
do with it? It's not a lot of money. It's
like 11,000. $12,000.
S1 (39:59):
Yeah. So it's in the 401 K currently. And you
have separated from employment, correct?
S12 (40:05):
That's correct.
S1 (40:06):
Okay. Yeah. I mean, you know, it's $11,000. I mean,
the only reason you would want to move it to
a Roth is if a, you had the money available
to pay the tax because that 11,000 is going to
be added to your taxable income. Now, why would you
do that? Well, the reason you might want to do
that is because you've got the money and maybe you
(40:27):
don't expect to use it. So you want to just
let it continue to grow tax free. And then you
want to pass it on to your heirs, and they'd
be able to pull it out tax free as well.
Apart from that, if money was tight, I would say
just leave it in that tax deferred environment, roll it
to a traditional IRA. Doesn't add anything to your tax
burden for the year. And then just let it grow
(40:48):
right there. And if you need it, at some point
you'll pay tax on it. Otherwise you you know, leave
it to your heirs and they'll pay the tax when
they take it out. I think you could go either way.
It's really going to come down to what are you
trying to accomplish? And do you have the money available
to cover the tax without it creating any kind of
challenges for you? Does that make sense?
S13 (41:09):
Yes, and thank you for taking my call.
S1 (41:11):
Absolutely happy to do it. Let's get to do it
for us. Listen, if you love the program, we'd love
for you to be a Faith five. Partner. Partner. Support
us at $35 a month. We're listener supported, so that's key.
Helps us do what we do. We'll send you four
issues of Faithful Steward, each study and devotional and pro
access to the Faith fi app. Just go to Faith
by Faith and a partnership between Moody Radio and Faith fi.
(41:36):
Thank you to Omar, Tahira, Amanda and Jim. See you tomorrow.
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