May 27, 2025 • 21 mins
Episode summary introduction:
Join TC & Maddog as they delve into the intricate relationship between money and happiness and how it really can’t buy happiness. It can however put us on a path of happiness but that we can not do this alone. It is important to rely on mentors and a team of professionals to guide us.
Throughout our journey, we explore the various dimensions of financial management, including the dichotomy of spending and saving, and the imperative of instilling financial literacy in our children from a tender age.
More so, we explore the significance of communication in relationships, particularly when navigating financial challenges, as well as the necessity of a strategic financial plan to alleviate stress associated with monetary issues.
As we traverse this landscape, we invite our listeners to reflect on their own financial journeys and consider the profound impact of money on their overall well-being.
Topics discussed in this episode:
The intricate relationship between money and happiness has been a focal point of discourse throughout humanity's existence. During the discussion, we delved into the multifaceted nature of financial management, emphasizing the critical need for individuals to cultivate a nuanced understanding of fiscal responsibility.
The allure of wealth often obscures the more substantial truth that financial resources, in themselves, do not inherently yield happiness. It is imperative for individuals to engage in self-reflection and to recognize that true contentment arises not from the accumulation of material possessions, but from the judicious management of one's financial resources.
In this context, we underscored the significance of developing a robust financial plan, one that incorporates both short-term and long-term objectives while allowing for flexibility in response to life's unpredictable challenges.
Furthermore, we advocated for the necessity of open communication regarding financial matters within familial structures, as this transparency can mitigate stress and foster a more harmonious domestic environment.
Walkabout takeaways:
- The journey of life is often accompanied by the necessity of guidance, as no individual should traverse it in solitude.
- In discussions pertaining to money, it is imperative to acknowledge both its potential to enrich and its capacity to complicate one's existence.
- It is crucial to impart financial wisdom to younger generations as early as possible to prevent future hardships.
- The stress associated with financial obligations can be alleviated through open and honest communication between partners, which fosters understanding and support.
- Navigating the complexities of personal finance necessitates a comprehensive approach that includes savings, budgeting, and seeking professional advice when necessary.
- Ultimately, while money serves as a tool for achieving comfort and security, it does not guarantee happiness, highlighting the importance of a balanced and mindful approach to financial management.
More about E-Walkabout:
To learn more about Electronic Walkabout visit us at www.ewalkabout.ca.
If you want to read more “Thoughts of the Day” check out TC’s Book at Amazon:
“St. Mike's Fortunes” https://a.co/d/j5dGhBK
A special thanks to Steven Kelly, our technical advisor, who keeps trying to teach these old dogs new tricks when it comes to sounds and recording!!
“Remember to take advantage of the moment before the moment takes advantage of...
Mark as Played
Transcript
Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
(00:01):
Electronic Walkabout. No oneshould have to walk through life
alone. We share the goodtimes, the bad times, and the best
times. Everyone needs a littledirection now and again. And TC and
Maddog are here to show youthe way. A podcast where we talk
about the important things inlife. Come journey with us. The Electronic
(00:22):
Walkabout. Well, here we areabout to take another journey of
electronic walkabout. Thisjourney is fraught with landmines
and some navigation and how toavoid them. We talk about money on
this trip. The good, the badand the ugly. Everyone has a dream
of striking it rich, but inthe end, it will not buy happiness.
And just the opposite. But ifyou don't have an idea of how to
(00:44):
tame the beast, money's nevergoing to buy happiness. In fact,
just the opposite. But first,as always, a thought for the day.
I just was thinking about whatyou said about the last thought of
the day, and I hope this isn'ttoo deep for you, Darren. Okay. Are
you ready to say, "Considerunbeaten paths as detours that turn
out to be shortcuts. Just beatthem big enough so you don't have
(01:05):
to walk alone."
I like it. I got that one. Igot that one.
That was good. Well, how areyou this fine day
I'm doing excellent, TC Yourself?
Not too bad. Not good. Soyou've been busy over the last little
bit?
Yeah. Between travels andmoving, it's just never a dull moment.
Yeah. Just remember to taketwo step back and just kind of relax
(01:26):
a bit now and again. Becausewe all know that when you move, it's
probably one of the moststressful things that can happen
in your life.
It's for sure. And you everwant to see good banter between husband
and wife, watch them move.
Is it. Is that the word, banter?
I'm calling it that. It'snice. Nice word for it. But yeah,
it's. It's always, you know,it's just, you know, the tensions
(01:48):
run high because there's lotsof change and nobody's doing anything
intentionally. But we all knowhow to inadvertently make our partners
upset or set them off.
So, you know, some people callit inert, actually. Yeah, yeah.
Yep.
That's word for it. But thepoint being is you gotta know when
to pull the bear.
Yes, yes. I sometimes do itwithout thinking and I have to pay
for it.
(02:09):
You know, before we get ontopic, just one more point. But you
have a way of doing things,she has a way of doing things.
They're not the same way.
They're not the same. And Thenwhen you go down that path, you get
that, that, that look likewhat are you doing? And, and you
go with flow on that as well.We'll hold you in.
Yeah. You gotta pick yourbattles, right? Pick yours.
(02:30):
Right?
Yeah.
So not, not too long ago, afew episodes back, we had that the
topic or the, the journey wasabout things mom and dad never really
taught us. One of the thingsthat, that did pop up was money.
We didn't talk a lot about it,but we're going to talk a lot about
it right now. But who teachesus how to manage money?
(02:55):
The Internet? I don't know.Yeah. I don't know who teaches us.
Like schools. That's alwaysparents gripes as well they should
be learning, budgeting inschool and all that sort of stuff,
which I agree. But I don'tknow. Like, you know, I think a lot
of us, it was trial and errorand that was, that was learning.
Yet there was no coaching toit per se.
There was no coaching. No, no.And I, and I probably mentioned,
(03:16):
but even probably close to thetime that my dad passed, I don't,
I still don't think he had anidea how to manage money. And that's,
that's not a, that's not acriticism. Right. So. And I don't,
I don't think because you haveit from one extreme to the other.
We have someone that, thatdoesn't mind spending money, but
on the other side you havesomeone that says, I can't spend
(03:36):
that money because we're outto make sure we save it for a rainy
day.
Yeah.
And there's got to be thathappy medium. Right.
Yeah. Oh, I definitely grew upin the spend house.
The spend house, yeah.
Yeah, yeah.
So when is it the best time tostart teaching your kids about the
value of money and how to manage.
Oh, as young as humanlypossible. I've been through some
very, very challengingfinancial times. I've claimed bankruptcy
(03:59):
not only once, but I'veclaimed it twice. The first time
when I was 20 because Ithought it was a great idea to become
a real estate agent at 19years old. So that was a seven year
learning path. And then Iopened up a bar years later after
I got myself all squared awayand that was time number two. So
yeah, I've learned the hardfor sure. But with that I've tried
(04:20):
to counsel my children is tonot take those same paths and you
know, come about things alittle bit differently. But I don't
fault anybody for it was mydecisions I did what I did thinking
that I Knew what I was doing,but I just call it very, very expensive
university education.
With the best of intentions.
Yes. Yes.
So, funny thing. When's thewhen? So her grandson's 8 and 6 years
(04:42):
old, so I figured, okay, I'lltake her to the bank and they'll
book bank accounts with them.And. And of course, her dad's thinking,
well, this is perfect, right?So there's a hundred dollars in each
of their accounts. So beingthe granddad, I think, okay, when
it gets below a hundred, I'lljust keep topping it up. But I didn't
realize what that plan was. Ifound out the other day, so. So his
thought was that, okay,because they have cards. If you go
(05:05):
and let's say you want like acool sports shirt or something like
that, and you put your cardinto the. The to be. To pay, and
it says declined. There's avaluable lesson on how to manage
money.
Interesting.
But it didn't work out becauseGrandpa put here.
So Dad's waiting for him toget declined, but he's always getting
financed from Gramps.
(05:26):
What's going on here?
So who had that equationfigured out? Right? Your grandson?
Well, just being a grandpa, Ican do what I want.
That's true.
But having said that, I meanit. It certainly makes sense that.
Just let that I said to him, Isaid, okay, I'll tell you what, let's
go down that road. But whenit's done, I'll top it back up to
100.
Yeah, tell me after he's beendeclined and I'll make it up.
(05:47):
Yeah, there you go. But it'sthe same thing. Like. And I know
they just. Because again, it'sbetween Grandma and Grandpa and Grandma
and Grandpa, they're going tobe spoiled. So they. They get everything.
So how do they learn the Dalwo?
I don't know. Like, and. And,you know, I heard about it, and you
think you're raising your kidsthe right way, and our boys are great,
(06:07):
but when my youngest went tolive with my dad to go to school,
you know, my dad's like, he'sgot really expensive tastes and stuff.
And I'm like, yeah, that's ourfau. Sorry about that. But it's just.
Yeah, it's. I don't know. Whotaught you the world?
Well, I just take. Take a fewmoments back, and I was listening
you say trial and error. Iremember telling you the. The whole
credit card situation thatwhen I was asked. Question, Mr. Carverly.
(06:32):
TC do you know anything aboutwhat a credit limit is? And I simply
said, yes, When I put my cardacross the counter and it's accepted,
I still have a limit. Sohaving that card taken away from
me, there's a valuable lesson.Sad thing about it is that in the
relationship I was in at thetime, we could go to her father.
(06:53):
He always had deep pockets.I'd always help. And again, with
the best of intentions, butliterally, it was falling flat on
my face, realizing that if Iwant to actually make anything of
my life or live comfortablywhen I retire, I better start thinking
about it now.
Yeah.
And that really put focus tomy mind. How am I going to do that?
(07:15):
Right. And so even. Eventoday, I'm still learning the best
way to manage things.
Yeah. I picked up a couple ofthings for my kids.
But, you know, the thing aboutit is, like. Like right now, my.
Like, it's funny, I. I cruisedthe Internet, Twitter, or whatever
you want to call it, orformally Twitter. It's now Axe.
Right.
(07:36):
And I remember rich dad, poordad, poor Dad. I read all those book.
It's the same old, same old.Read all those books, but never took
the advice. And the thing thatjumped out at me in this little bit
that I was watching was cashflow. So if you have a bunch of equity,
it's not going to help you.You have to have that cash flow.
Yeah. Too many people thesedays, I think, are equity rich and
cash poor.
Well, that. That's one of thethings I just realized. I'm equity
(07:59):
rich right now, but my cashflow is. Is. It's something that
needs to be desired. So I'vegot a plan to fix that. And I think
it. It's going to work outwell, because that way I can live
more comfortable than I have.And that's the whole point.
So we've made that exact sametransition. So.
So it's. It's about time.Right? So, I mean, you think about
it. We often hear that one ofthe biggest stressors that couples
(08:22):
have centers around finances.So how do we minimize that stress?
And. And we always know thatcommunication is a. Is. Is a big
thing, which is easier saidthan done. So if you have trouble
communicating with yourpartner, number one, that's hard.
If you have troublecommunicating with your partner about
money, it's double whammy.It's a double whammy.
Yeah.
(08:42):
So you have to be able to havethose tough conversations so that.
Let's say that person'scalling you up and they happen to
say, be saying to you, okay,well, how come you missed that payment?
When are you going to be ableto make that payment. How do you
manage that? And how do youmanage that stress? And how do you
get there and you say toyourself, I never want to be there
again. Right.
(09:03):
No, it's a terrible feeling,right. When you owe money or, you
know, behind on a payment,that's not a good feeling.
So I mean, at the end of theday, and I, and I, I said it time
and time again, if you're inthat situation, I want you to remember
over and over again what kindof stress you're feeling as you're
in this situation and say toyourself, I never want to feel this
way again.
Yep, it's terrible. Like youwake up and you, you know, you're
(09:26):
stressed the minute you, youopen your eyes because you have this
looming issue. So, yeah, yeah,money is a, it's a scary thing sometimes.
Or debt is in relation tomoney, I guess.
And then every once in a whileI'll see this. Okay, well if you
over a 30, I'll say 50 yearperiod, put aside this much money,
by the time that, that comesto life, you basically save like
(09:47):
a million dollars. But whathas to take place for that to take
place is, is truly discipline.
Yep.
And where do you find the discipline?
I don't know because, youknow, we live in the now and stuff.
And if you have a very seriouslife incident now, but then you notice
you have like a $10,000 nest,eg, retirement that's going to get
overruled by the immediate nowsituation. So it's, it's tough. I've
(10:10):
tried that one a bunch ofdifferent times and had to restart.
Okay, let's, you know, go thisway. But it's, yeah, it's challenging.
I hate credit. And I hatecredit because it's come back to
have probably spent more moneypaying credit back. It's, it's not
your friend.
Nope.
A funny story about that. Soprobably about four or five years
ago, we get these credit cardsfrom the bank. They have a $30,000
(10:34):
credit. You swim it on. Do youthink I use it? No, I never did.
Yeah.
So recently, because of thecash flow situation, I said, okay,
maybe I'll check that out. SoI phoned with the bank. We closed
that account because it wasinactive. And I'm thinking, well,
that's really what you want to hear.
Absolutely. Yeah, I supposewe've just sent this account to collections.
Yes, but that's exactly, Imean, what I'm really talking about
(10:57):
is the difference betweenpositive and negative interests.
So that negative interest is,let's say if you look At a credit
card of around, you see theinterest rate, I'll say any, anywhere
between 20 and 30% dependingon the credit card. And people say,
well that's not, that's not alot, but it, it is a lot. And, and
(11:18):
when you get that thing in themail and it says you've just been
pre approved, you, you can getpre approved for this card, that
card, any card. But, andthey'll say no, no. And here's one
that gets me and I'll tell youin a second. Yeah, but it's, it's
not going to help you.
Nope.
Because when you go and seethem, all you have to do is make
a payment, make sure it's paiddown and you're good to go. Right.
When does that happen? Whoteaches you that behavior?
(11:40):
Yeah, yeah, no, no, it's, itis. Credit cards are such a slippery
slope and they've. Yeah,there's not a lot that comes good
out of them because you don'thave that money. Right. Otherwise
you'd be buying it with cash.So you're just increasing your debt
load and it just, you know,all it takes is one extra thing to
pop up in your life and nowyou can't make those payments. And
yeah, it's, it's, it's the old.
Speed wobble because you, youcan't make it anymore. Before you
(12:02):
know it, you're behind eightball and you, you can't do it.
Exactly.
And what the banks are tellingthe kids these days, well, you got
to get a credit card. Yeah.And guess what? When you get that
credit card, don't worry aboutthe limit. Just, just make a small
character.
Pay it off every, it helpsbuild your credit rating.
Yeah. So what if, what if youjust realize that first of all there
was no such thing as credit.Take it off the table. And that when
(12:25):
you needed something, neededsomething, not wanted something,
that all you did was saveuntil you had the money.
What a shocking revelation.Cure most things, but we are not
patient like that.
No, because we, we, like yousay we live in the here and now.
We want it now. I need to haveit now because everybody else has
and I should have one too.
Can't be left out.
(12:46):
Let me ask you this. What'sthe most fanciest car that you've
ever purchased?
Probably my truck. Brand newtruck. I've never had a fancy car
per se.
Is it, is it a practicalvehicle? Is it.
Oh yeah, yeah. No, no, it's aneveryday. Yeah.
So it's not like a, let's saya Corvette?
No, no. An organi. No. I waituntil I turn 6. Well, you know what?
(13:08):
I can't. I had all theseaspirations to get a sports car,
but to our discussion rightnow about debt, I would much rather
not be in the debt than havethat car. I'd rather rent a car for
a day, fly around in it,handed back in. I got my fix.
Oh, there you go. I've oftenthought about that. Take that ride
up the sea Slurry.
Yeah, yeah. Oh, no, it's. I'vehad a couple friends do it and they
(13:30):
raved about it.
But often when I think aboutthat, because Dodge Vipers love them.
And I know when I worked inKelowna, you could see those Cheyenne
cars going right down Mainstreet during the summer to everyone.
Wow. If you're ever outsidethe River Rock Casino.
Oh, for sure.
In Richmond, some of the highend automobiles that you see coming
(13:52):
by to check into the hotel,it's like they're.
From a different planet.
They are from a different planet.
You can't relate to that. Andit's no different than when those,
you know, groups of six orseven young guys get picked up in
Richmond because they're doing180km an hour. But it's like McLaren,
Lamborghini, Ferrari, they gettheir cars impounded. Okay, whatever.
We'll get them out next week with.
(14:12):
No repercussion and no. Andthen I'm going to tell you right
now. And it doesn't matterwhether it's someone that brings
in 50k a year or 50 million ayear, their ability to manage their
finances doesn't matter. Weall think the same way. And someone
making 50 million will havethe same challenges as you and I.
Yep.
Just different. Couple moredecimal places, that's all.
(14:34):
At this rate, I can't rememberit was a few years back and it was
some NFL player that left$5,000 in his car and he got ripped
off. I can't remember what itwas. So I started thinking about
that. That's no different thanyou and I leaving five bucks in our
car and we come back and it'sgone and we get a little upset.
Yeah, yeah. It's just scale.
It's all relative. Right.
(14:54):
So, yeah, I want that one. I'drather have that scale just for fun.
I think I'd remember that fivegrand in the truck.
But it was. And just, just tobe clear what we're talking about.
Credit's not your friend.Never will be your friend. No. As
much as it smoothes you, itmakes you feel good. It has that,
like even when you, even whenyou buy that vehicle at 0% interest,
(15:17):
you still have a hefty vehiclepayment that you have to pay every
month. Right.
As it depreciates the secondyou drive it off the lot.
So if we could live in a worldthat didn't have credit cards or
credit, what kind of a worldwould that be?
A world of a lot less debtessentially is what that would sum
up to be.
Okay, let's swing it around.Let's say that, okay, I realize that
in order to, let's say buildthat financial foundation so that
(15:40):
at one point I can say I'mgoing to be very happy in my retirement
because let's face it, moneyis only a tool.
It is.
And if you don't use thattool, property, it'll come back to
hurt you for sure. But whereare some areas that, that we can
invest in that, that mighthelp us with that foundation? And
it's just being consistent,number one, little bits of money
(16:01):
every month. And they used tosay 10% for heaven's sakes. And that
doesn't seem like a lot.
No, you know, it just againwith the restraints that are happening
these days, especially in theprovince that we live in. We live
in a very expensive climatehere. It's definitely easier to navigate
in other parts of Canada, butthe same breath. There's not much
(16:22):
industry in some of thosetowns. Of course it's cheaper and
you know, it's at that age oldcrux of big city living, making the
big buck versus living happyand content in a smaller town and
not making as much.
Well, you think about thateven like depending on like we live
on the west coast where I'dsay arguably the cost of housing
and everything else is, isfairly, fairly high. And every once
(16:43):
in a while you hear, well, wecould move to Alberta, it's much
cheaper there. Or you can goback east and you can actually live
like a king on whatever. Buttruly that's not, that's easier said
than done. Especially whenyour roots and family are.
Well, that's it. Yeah, it'slike, you know, when you're, your
family's there, you'll paywhatever you need to, to stay. Well,
(17:04):
I, at least I would and I'msure you would. But yeah, we always
want to stay connected to ourfamilies. But yeah, it's money's
will. Money will alwaysprovide a challenge and a reward.
But more times than notthere's challenges.
I think, and I wish this foreverybody, that somehow they figure
out how to tame that Beastwith their own little way of doing
it. And you need to do itbecause if you tame that beast then,
(17:25):
then your life is going to bea lot less stressful as far as I'm
concerned. Right. How muchmoney do we really need to set up
for happiness though?
I don't know. You know, and I,as you know, retirement is slowly
approaching. You still havequite a few years. You know, I heard
retirement experts sayingthat's one of the challenges with
people retiring is that theywork so hard to save up so much money
(17:46):
and they amass this fortune.Then they retire and they're too
scared to spend it becausethey don't know how fast it's going
to go and they die with aboatload of money in the bank. It's
like what? That seems a littlebit backwards.
Thanks, mom and dad.
Well, that's it. Yeah. Soyeah, it's just everyone's, I'm sure,
has their own strategy and youthink of just where, you know, where
do you want to end up when youhang up the gloves and say, okay,
(18:09):
this is it. Where do you,where what's going to make you happy?
Where is that spot in theworld that gonna allow you to enjoy
the enjoyable part of yourlife not working?
And you're absolutely rightbecause I know just actually fully
retiring as a, as a January.But one of the things that was in
the back of my head was, willwe have enough money? Once, once
I say, okay, that's it. And Iwish I had done it two years ago
(18:32):
because yes, there's enoughmoney, but there is that fear saying,
well, I'm not gonna haveenough. Right. So it's really setting
yourself up for success thatway every once in a while take your
progress, same old same old,to make sure you're on track. And
even what's going on in theworld market wise, like right now,
it's so volatile, it's, it'sscary. It really is.
(18:53):
It is.
And I just, I just say tomyself, well, thank God I've set
myself a foundation so that.Not that it's not going to hurt,
but it's not going to hurtthat much.
No, no, you're, you're in amuch better position than most now.
I could probably bet money onthis, but listening to that, that
music again, so, so you know,here's, here's a few things and feel
(19:15):
free to chime in that dog thatyou should think about when, if you
were to say that of coursemoney doesn't buy happiness, but
it is a practical tool. Ittruly is a tool that can be used
to get us whatever we want inour lives. With some important caveats.
As early as you can develop aflexible financial plan and have
the stick to itness to follow.
(19:36):
I agree. And I think acompliment to that would be is to
don't be afraid to ask forhelp because you only know what you
know and there are a lot ofpeople out there that can help you
and guide you. So yeah, youcan get over the ego piece and. And
ask for help. It'll go a long way.
It's funny how the eagle is.Is not our friend.
This one? Nope. No. It has aboy with predator. That's it.
(19:57):
They're really good.
Yeah, they're bedfellows.
But you just ran into the nextpoint I was gonna make. Build a team
of professionals that canadvise you along the way. And I will
say, when you do that, becomevested in understanding what they're
doing with your money. Justdon't say, okay, there you go. Make
me my millions.
Yep.
(20:17):
You have to. You have to trulyinvest in what they're doing. Understand?
So you can make the decisions.It's your money.
It's yours to be done with asyou choose.
Create a budget both long termand short term. With a strong saving
plan. A little can really be alot in the end.
What is a savings you speak of?
I know. I figured it outthough. Ask me a couple years from
(20:39):
now.
Okay. For sure. Yeah.
The key will be flexibility.As life has a habit of throwing us
curveballs.
That is a guarantee.
And if. And if you think anyother way. And again, that'll cause
you some stress. But all youhave to do is say, we're going to
get through this. It seems tofind its way. Right?
This too shall pass.
It is about living within ourmeans and choosing a lifestyle we
(21:01):
want to have, which means abalance of both.
But those fancy lifestylesseem pretty neat.
It's funny, when I was doingthe old job, I got that.
Electronic Walkabout. No oneshould have to walk through life
alone. We share the goodtimes, the bad times, and the best
times. Everyone needs a littledirection now and again. And TC and
Maddog are here to show youthe way. A podcast where we talk
about the important things inlife. Come journey with us. The Electronic
(00:22):
Walkabout. Well, here we areabout to take another journey of
electronic walkabout. Thisjourney is fraught with landmines
and some navigation and how toavoid them. We talk about money on
this trip. The good, the badand the ugly. Everyone has a dream
of striking it rich, but inthe end, it will not buy happiness.
And just the opposite. But ifyou don't have an idea of how to
(00:44):
tame the beast, money's nevergoing to buy happiness. In fact,
just the opposite. But first,as always, a thought for the day.
I just was thinking about whatyou said about the last thought of
the day, and I hope this isn'ttoo deep for you, Darren. Okay. Are
you ready to say, "Considerunbeaten paths as detours that turn
out to be shortcuts. Just beatthem big enough so you don't have
(01:05):
to walk alone."
I like it. I got that one. Igot that one.
That was good. Well, how areyou this fine day
I'm doing excellent, TC Yourself?
Not too bad. Not good. Soyou've been busy over the last little
bit?
Yeah. Between travels andmoving, it's just never a dull moment.
Yeah. Just remember to taketwo step back and just kind of relax
(01:26):
a bit now and again. Becausewe all know that when you move, it's
probably one of the moststressful things that can happen
in your life.
It's for sure. And you everwant to see good banter between husband
and wife, watch them move.
Is it. Is that the word, banter?
I'm calling it that. It'snice. Nice word for it. But yeah,
it's. It's always, you know,it's just, you know, the tensions
(01:48):
run high because there's lotsof change and nobody's doing anything
intentionally. But we all knowhow to inadvertently make our partners
upset or set them off.
So, you know, some people callit inert, actually. Yeah, yeah.
Yep.
That's word for it. But thepoint being is you gotta know when
to pull the bear.
Yes, yes. I sometimes do itwithout thinking and I have to pay
for it.
(02:09):
You know, before we get ontopic, just one more point. But you
have a way of doing things,she has a way of doing things.
They're not the same way.
They're not the same. And Thenwhen you go down that path, you get
that, that, that look likewhat are you doing? And, and you
go with flow on that as well.We'll hold you in.
Yeah. You gotta pick yourbattles, right? Pick yours.
(02:30):
Right?
Yeah.
So not, not too long ago, afew episodes back, we had that the
topic or the, the journey wasabout things mom and dad never really
taught us. One of the thingsthat, that did pop up was money.
We didn't talk a lot about it,but we're going to talk a lot about
it right now. But who teachesus how to manage money?
(02:55):
The Internet? I don't know.Yeah. I don't know who teaches us.
Like schools. That's alwaysparents gripes as well they should
be learning, budgeting inschool and all that sort of stuff,
which I agree. But I don'tknow. Like, you know, I think a lot
of us, it was trial and errorand that was, that was learning.
Yet there was no coaching toit per se.
There was no coaching. No, no.And I, and I probably mentioned,
(03:16):
but even probably close to thetime that my dad passed, I don't,
I still don't think he had anidea how to manage money. And that's,
that's not a, that's not acriticism. Right. So. And I don't,
I don't think because you haveit from one extreme to the other.
We have someone that, thatdoesn't mind spending money, but
on the other side you havesomeone that says, I can't spend
(03:36):
that money because we're outto make sure we save it for a rainy
day.
Yeah.
And there's got to be thathappy medium. Right.
Yeah. Oh, I definitely grew upin the spend house.
The spend house, yeah.
Yeah, yeah.
So when is it the best time tostart teaching your kids about the
value of money and how to manage.
Oh, as young as humanlypossible. I've been through some
very, very challengingfinancial times. I've claimed bankruptcy
(03:59):
not only once, but I'veclaimed it twice. The first time
when I was 20 because Ithought it was a great idea to become
a real estate agent at 19years old. So that was a seven year
learning path. And then Iopened up a bar years later after
I got myself all squared awayand that was time number two. So
yeah, I've learned the hardfor sure. But with that I've tried
(04:20):
to counsel my children is tonot take those same paths and you
know, come about things alittle bit differently. But I don't
fault anybody for it was mydecisions I did what I did thinking
that I Knew what I was doing,but I just call it very, very expensive
university education.
With the best of intentions.
Yes. Yes.
So, funny thing. When's thewhen? So her grandson's 8 and 6 years
(04:42):
old, so I figured, okay, I'lltake her to the bank and they'll
book bank accounts with them.And. And of course, her dad's thinking,
well, this is perfect, right?So there's a hundred dollars in each
of their accounts. So beingthe granddad, I think, okay, when
it gets below a hundred, I'lljust keep topping it up. But I didn't
realize what that plan was. Ifound out the other day, so. So his
thought was that, okay,because they have cards. If you go
(05:05):
and let's say you want like acool sports shirt or something like
that, and you put your cardinto the. The to be. To pay, and
it says declined. There's avaluable lesson on how to manage
money.
Interesting.
But it didn't work out becauseGrandpa put here.
So Dad's waiting for him toget declined, but he's always getting
financed from Gramps.
(05:26):
What's going on here?
So who had that equationfigured out? Right? Your grandson?
Well, just being a grandpa, Ican do what I want.
That's true.
But having said that, I meanit. It certainly makes sense that.
Just let that I said to him, Isaid, okay, I'll tell you what, let's
go down that road. But whenit's done, I'll top it back up to
100.
Yeah, tell me after he's beendeclined and I'll make it up.
(05:47):
Yeah, there you go. But it'sthe same thing. Like. And I know
they just. Because again, it'sbetween Grandma and Grandpa and Grandma
and Grandpa, they're going tobe spoiled. So they. They get everything.
So how do they learn the Dalwo?
I don't know. Like, and. And,you know, I heard about it, and you
think you're raising your kidsthe right way, and our boys are great,
(06:07):
but when my youngest went tolive with my dad to go to school,
you know, my dad's like, he'sgot really expensive tastes and stuff.
And I'm like, yeah, that's ourfau. Sorry about that. But it's just.
Yeah, it's. I don't know. Whotaught you the world?
Well, I just take. Take a fewmoments back, and I was listening
you say trial and error. Iremember telling you the. The whole
credit card situation thatwhen I was asked. Question, Mr. Carverly.
(06:32):
TC do you know anything aboutwhat a credit limit is? And I simply
said, yes, When I put my cardacross the counter and it's accepted,
I still have a limit. Sohaving that card taken away from
me, there's a valuable lesson.Sad thing about it is that in the
relationship I was in at thetime, we could go to her father.
(06:53):
He always had deep pockets.I'd always help. And again, with
the best of intentions, butliterally, it was falling flat on
my face, realizing that if Iwant to actually make anything of
my life or live comfortablywhen I retire, I better start thinking
about it now.
Yeah.
And that really put focus tomy mind. How am I going to do that?
(07:15):
Right. And so even. Eventoday, I'm still learning the best
way to manage things.
Yeah. I picked up a couple ofthings for my kids.
But, you know, the thing aboutit is, like. Like right now, my.
Like, it's funny, I. I cruisedthe Internet, Twitter, or whatever
you want to call it, orformally Twitter. It's now Axe.
Right.
(07:36):
And I remember rich dad, poordad, poor Dad. I read all those book.
It's the same old, same old.Read all those books, but never took
the advice. And the thing thatjumped out at me in this little bit
that I was watching was cashflow. So if you have a bunch of equity,
it's not going to help you.You have to have that cash flow.
Yeah. Too many people thesedays, I think, are equity rich and
cash poor.
Well, that. That's one of thethings I just realized. I'm equity
(07:59):
rich right now, but my cashflow is. Is. It's something that
needs to be desired. So I'vegot a plan to fix that. And I think
it. It's going to work outwell, because that way I can live
more comfortable than I have.And that's the whole point.
So we've made that exact sametransition. So.
So it's. It's about time.Right? So, I mean, you think about
it. We often hear that one ofthe biggest stressors that couples
(08:22):
have centers around finances.So how do we minimize that stress?
And. And we always know thatcommunication is a. Is. Is a big
thing, which is easier saidthan done. So if you have trouble
communicating with yourpartner, number one, that's hard.
If you have troublecommunicating with your partner about
money, it's double whammy.It's a double whammy.
Yeah.
(08:42):
So you have to be able to havethose tough conversations so that.
Let's say that person'scalling you up and they happen to
say, be saying to you, okay,well, how come you missed that payment?
When are you going to be ableto make that payment. How do you
manage that? And how do youmanage that stress? And how do you
get there and you say toyourself, I never want to be there
again. Right.
(09:03):
No, it's a terrible feeling,right. When you owe money or, you
know, behind on a payment,that's not a good feeling.
So I mean, at the end of theday, and I, and I, I said it time
and time again, if you're inthat situation, I want you to remember
over and over again what kindof stress you're feeling as you're
in this situation and say toyourself, I never want to feel this
way again.
Yep, it's terrible. Like youwake up and you, you know, you're
(09:26):
stressed the minute you, youopen your eyes because you have this
looming issue. So, yeah, yeah,money is a, it's a scary thing sometimes.
Or debt is in relation tomoney, I guess.
And then every once in a whileI'll see this. Okay, well if you
over a 30, I'll say 50 yearperiod, put aside this much money,
by the time that, that comesto life, you basically save like
(09:47):
a million dollars. But whathas to take place for that to take
place is, is truly discipline.
Yep.
And where do you find the discipline?
I don't know because, youknow, we live in the now and stuff.
And if you have a very seriouslife incident now, but then you notice
you have like a $10,000 nest,eg, retirement that's going to get
overruled by the immediate nowsituation. So it's, it's tough. I've
(10:10):
tried that one a bunch ofdifferent times and had to restart.
Okay, let's, you know, go thisway. But it's, yeah, it's challenging.
I hate credit. And I hatecredit because it's come back to
have probably spent more moneypaying credit back. It's, it's not
your friend.
Nope.
A funny story about that. Soprobably about four or five years
ago, we get these credit cardsfrom the bank. They have a $30,000
(10:34):
credit. You swim it on. Do youthink I use it? No, I never did.
Yeah.
So recently, because of thecash flow situation, I said, okay,
maybe I'll check that out. SoI phoned with the bank. We closed
that account because it wasinactive. And I'm thinking, well,
that's really what you want to hear.
Absolutely. Yeah, I supposewe've just sent this account to collections.
Yes, but that's exactly, Imean, what I'm really talking about
(10:57):
is the difference betweenpositive and negative interests.
So that negative interest is,let's say if you look At a credit
card of around, you see theinterest rate, I'll say any, anywhere
between 20 and 30% dependingon the credit card. And people say,
well that's not, that's not alot, but it, it is a lot. And, and
(11:18):
when you get that thing in themail and it says you've just been
pre approved, you, you can getpre approved for this card, that
card, any card. But, andthey'll say no, no. And here's one
that gets me and I'll tell youin a second. Yeah, but it's, it's
not going to help you.
Nope.
Because when you go and seethem, all you have to do is make
a payment, make sure it's paiddown and you're good to go. Right.
When does that happen? Whoteaches you that behavior?
(11:40):
Yeah, yeah, no, no, it's, itis. Credit cards are such a slippery
slope and they've. Yeah,there's not a lot that comes good
out of them because you don'thave that money. Right. Otherwise
you'd be buying it with cash.So you're just increasing your debt
load and it just, you know,all it takes is one extra thing to
pop up in your life and nowyou can't make those payments. And
yeah, it's, it's, it's the old.
Speed wobble because you, youcan't make it anymore. Before you
(12:02):
know it, you're behind eightball and you, you can't do it.
Exactly.
And what the banks are tellingthe kids these days, well, you got
to get a credit card. Yeah.And guess what? When you get that
credit card, don't worry aboutthe limit. Just, just make a small
character.
Pay it off every, it helpsbuild your credit rating.
Yeah. So what if, what if youjust realize that first of all there
was no such thing as credit.Take it off the table. And that when
(12:25):
you needed something, neededsomething, not wanted something,
that all you did was saveuntil you had the money.
What a shocking revelation.Cure most things, but we are not
patient like that.
No, because we, we, like yousay we live in the here and now.
We want it now. I need to haveit now because everybody else has
and I should have one too.
Can't be left out.
(12:46):
Let me ask you this. What'sthe most fanciest car that you've
ever purchased?
Probably my truck. Brand newtruck. I've never had a fancy car
per se.
Is it, is it a practicalvehicle? Is it.
Oh yeah, yeah. No, no, it's aneveryday. Yeah.
So it's not like a, let's saya Corvette?
No, no. An organi. No. I waituntil I turn 6. Well, you know what?
(13:08):
I can't. I had all theseaspirations to get a sports car,
but to our discussion rightnow about debt, I would much rather
not be in the debt than havethat car. I'd rather rent a car for
a day, fly around in it,handed back in. I got my fix.
Oh, there you go. I've oftenthought about that. Take that ride
up the sea Slurry.
Yeah, yeah. Oh, no, it's. I'vehad a couple friends do it and they
(13:30):
raved about it.
But often when I think aboutthat, because Dodge Vipers love them.
And I know when I worked inKelowna, you could see those Cheyenne
cars going right down Mainstreet during the summer to everyone.
Wow. If you're ever outsidethe River Rock Casino.
Oh, for sure.
In Richmond, some of the highend automobiles that you see coming
(13:52):
by to check into the hotel,it's like they're.
From a different planet.
They are from a different planet.
You can't relate to that. Andit's no different than when those,
you know, groups of six orseven young guys get picked up in
Richmond because they're doing180km an hour. But it's like McLaren,
Lamborghini, Ferrari, they gettheir cars impounded. Okay, whatever.
We'll get them out next week with.
(14:12):
No repercussion and no. Andthen I'm going to tell you right
now. And it doesn't matterwhether it's someone that brings
in 50k a year or 50 million ayear, their ability to manage their
finances doesn't matter. Weall think the same way. And someone
making 50 million will havethe same challenges as you and I.
Yep.
Just different. Couple moredecimal places, that's all.
(14:34):
At this rate, I can't rememberit was a few years back and it was
some NFL player that left$5,000 in his car and he got ripped
off. I can't remember what itwas. So I started thinking about
that. That's no different thanyou and I leaving five bucks in our
car and we come back and it'sgone and we get a little upset.
Yeah, yeah. It's just scale.
It's all relative. Right.
(14:54):
So, yeah, I want that one. I'drather have that scale just for fun.
I think I'd remember that fivegrand in the truck.
But it was. And just, just tobe clear what we're talking about.
Credit's not your friend.Never will be your friend. No. As
much as it smoothes you, itmakes you feel good. It has that,
like even when you, even whenyou buy that vehicle at 0% interest,
(15:17):
you still have a hefty vehiclepayment that you have to pay every
month. Right.
As it depreciates the secondyou drive it off the lot.
So if we could live in a worldthat didn't have credit cards or
credit, what kind of a worldwould that be?
A world of a lot less debtessentially is what that would sum
up to be.
Okay, let's swing it around.Let's say that, okay, I realize that
in order to, let's say buildthat financial foundation so that
(15:40):
at one point I can say I'mgoing to be very happy in my retirement
because let's face it, moneyis only a tool.
It is.
And if you don't use thattool, property, it'll come back to
hurt you for sure. But whereare some areas that, that we can
invest in that, that mighthelp us with that foundation? And
it's just being consistent,number one, little bits of money
(16:01):
every month. And they used tosay 10% for heaven's sakes. And that
doesn't seem like a lot.
No, you know, it just againwith the restraints that are happening
these days, especially in theprovince that we live in. We live
in a very expensive climatehere. It's definitely easier to navigate
in other parts of Canada, butthe same breath. There's not much
(16:22):
industry in some of thosetowns. Of course it's cheaper and
you know, it's at that age oldcrux of big city living, making the
big buck versus living happyand content in a smaller town and
not making as much.
Well, you think about thateven like depending on like we live
on the west coast where I'dsay arguably the cost of housing
and everything else is, isfairly, fairly high. And every once
(16:43):
in a while you hear, well, wecould move to Alberta, it's much
cheaper there. Or you can goback east and you can actually live
like a king on whatever. Buttruly that's not, that's easier said
than done. Especially whenyour roots and family are.
Well, that's it. Yeah, it'slike, you know, when you're, your
family's there, you'll paywhatever you need to, to stay. Well,
(17:04):
I, at least I would and I'msure you would. But yeah, we always
want to stay connected to ourfamilies. But yeah, it's money's
will. Money will alwaysprovide a challenge and a reward.
But more times than notthere's challenges.
I think, and I wish this foreverybody, that somehow they figure
out how to tame that Beastwith their own little way of doing
it. And you need to do itbecause if you tame that beast then,
(17:25):
then your life is going to bea lot less stressful as far as I'm
concerned. Right. How muchmoney do we really need to set up
for happiness though?
I don't know. You know, and I,as you know, retirement is slowly
approaching. You still havequite a few years. You know, I heard
retirement experts sayingthat's one of the challenges with
people retiring is that theywork so hard to save up so much money
(17:46):
and they amass this fortune.Then they retire and they're too
scared to spend it becausethey don't know how fast it's going
to go and they die with aboatload of money in the bank. It's
like what? That seems a littlebit backwards.
Thanks, mom and dad.
Well, that's it. Yeah. Soyeah, it's just everyone's, I'm sure,
has their own strategy and youthink of just where, you know, where
do you want to end up when youhang up the gloves and say, okay,
(18:09):
this is it. Where do you,where what's going to make you happy?
Where is that spot in theworld that gonna allow you to enjoy
the enjoyable part of yourlife not working?
And you're absolutely rightbecause I know just actually fully
retiring as a, as a January.But one of the things that was in
the back of my head was, willwe have enough money? Once, once
I say, okay, that's it. And Iwish I had done it two years ago
(18:32):
because yes, there's enoughmoney, but there is that fear saying,
well, I'm not gonna haveenough. Right. So it's really setting
yourself up for success thatway every once in a while take your
progress, same old same old,to make sure you're on track. And
even what's going on in theworld market wise, like right now,
it's so volatile, it's, it'sscary. It really is.
(18:53):
It is.
And I just, I just say tomyself, well, thank God I've set
myself a foundation so that.Not that it's not going to hurt,
but it's not going to hurtthat much.
No, no, you're, you're in amuch better position than most now.
I could probably bet money onthis, but listening to that, that
music again, so, so you know,here's, here's a few things and feel
(19:15):
free to chime in that dog thatyou should think about when, if you
were to say that of coursemoney doesn't buy happiness, but
it is a practical tool. Ittruly is a tool that can be used
to get us whatever we want inour lives. With some important caveats.
As early as you can develop aflexible financial plan and have
the stick to itness to follow.
(19:36):
I agree. And I think acompliment to that would be is to
don't be afraid to ask forhelp because you only know what you
know and there are a lot ofpeople out there that can help you
and guide you. So yeah, youcan get over the ego piece and. And
ask for help. It'll go a long way.
It's funny how the eagle is.Is not our friend.
This one? Nope. No. It has aboy with predator. That's it.
(19:57):
They're really good.
Yeah, they're bedfellows.
But you just ran into the nextpoint I was gonna make. Build a team
of professionals that canadvise you along the way. And I will
say, when you do that, becomevested in understanding what they're
doing with your money. Justdon't say, okay, there you go. Make
me my millions.
Yep.
(20:17):
You have to. You have to trulyinvest in what they're doing. Understand?
So you can make the decisions.It's your money.
It's yours to be done with asyou choose.
Create a budget both long termand short term. With a strong saving
plan. A little can really be alot in the end.
What is a savings you speak of?
I know. I figured it outthough. Ask me a couple years from
(20:39):
now.
Okay. For sure. Yeah.
The key will be flexibility.As life has a habit of throwing us
curveballs.
That is a guarantee.
And if. And if you think anyother way. And again, that'll cause
you some stress. But all youhave to do is say, we're going to
get through this. It seems tofind its way. Right?
This too shall pass.
It is about living within ourmeans and choosing a lifestyle we
(21:01):
want to have, which means abalance of both.
But those fancy lifestylesseem pretty neat.
It's funny, when I was doingthe old job, I got that.
Popular Podcasts
Stuff You Should Know
If you've ever wanted to know about champagne, satanism, the Stonewall Uprising, chaos theory, LSD, El Nino, true crime and Rosa Parks, then look no further. Josh and Chuck have you covered.
The Joe Rogan Experience
The official podcast of comedian Joe Rogan.
Dateline NBC
Current and classic episodes, featuring compelling true-crime mysteries, powerful documentaries and in-depth investigations. Special Summer Offer: Exclusively on Apple Podcasts, try our Dateline Premium subscription completely free for one month! With Dateline Premium, you get every episode ad-free plus exclusive bonus content.