Afford Anything

#640: The jobs report came out this morning and it was a painful one. The US added only 22,000 new jobs in August, according to the latest BLS report. And unemployment ticked up to 4.3%. What does this mean? Find out in today's First Friday episode! Timestamps: Note: Timestamps will vary on individual listening devices based on dynamic advertising run times. The provided timestamps are approximate and may be several minutes off due to changing ad lengths. (01:48) ADP vs BLS Jobs Data (04:33) Mortgage Rates & Their Impact on Homebuyers and Sellers (11:30) Fed Chair Jerome Powell’s Remarks (12:54) The Fed’s Dual Mandate Explained (15:58) The Fed’s Changing Approach to Unemployment (18:13) Implications: Rate Cuts on the Table For more information, visit the show notes at https://affordanything.com/episode640 Learn more about your ad choices. Visit podcastchoices.com/adchoices

#639: Aisha is excited to share how some life-changing advice has played out for her career. She wonders now: what limiting beliefs has Paula and Joe had to overcome in their businesses? Lesley is attracted to community bonds as a way to build collective wealth for the underserved. But do the same risks exist as they do in the traditional bond market? An anonymous caller is intrigued by the promise of Employee Stock Ownership Plans. Is this the answer to a smooth exit from her business that also leaves a legacy for her employees? Former financial planner Joe Saul-Sehy and I tackle these three questions in today’s episode. Enjoy! P.S. Got a question? Leave it here. Resources mentioned in the show: Aisha's original call in Episode 473 Learn more about your ad choices. Visit podcastchoices.com/adchoices

#638: Fifty dollars. That's how much this couple transferred to their "Trip to Europe" savings account each time they cooked dinner instead of going to a restaurant. By year's end, they had funded their dream vacation — not through budgeting or willpower, but by hacking their habit loop. This story illustrates how James Clear approaches habit change. Clear joins us to explain the four-stage cycle that drives every behavior: cue, craving, response, and reward. You see a restaurant (cue), predict it will be convenient and tasty (craving), eat out (response), and satisfy your hunger (reward). Repeat this loop enough times and the behavior becomes automatic. Clear translates these four stages into four laws for building good habits: make it obvious, make it attractive, make it easy, and make it satisfying. Want to break a bad habit? Flip the script — make it invisible, unattractive, difficult, and unsatisfying. We explore practical strategies like habit stacking, where you attach a new behavior to an existing routine. Clear suggests saying "After I make my morning coffee, then I will review my budget for two minutes" rather than relying on motivation alone. He explains temptation bundling — pairing something you need to do with something you want to do, like only listening to your favorite podcast while meal prepping. The conversation covers why most people focus on outcomes when they should focus on identity. Instead of saying "I want to save 10,000 dollars," Clear suggests thinking "I want to become a saver" — then asking what actions a saver would take daily. Clear addresses the challenge of delayed gratification with money habits. Saving feels unrewarding in the moment because the benefits come later. He shares techniques for creating immediate satisfaction, like the couple's Europe fund or using habit tracking to mark small wins. THIS EPISODE IS FROM OUR “GREATEST HITS” VAULT, AND ORIGINALLY AIRED IN 2018. ____
 Timestamps: Note: Timestamps will vary on individual listening devices based on dynamic advertising run times. The provided timestamps are approximate and may be several minutes off due to changing ad lengths. (0:00) James explains four habit stages (5:22) Cue and craving examples (8:47) Four laws of behavior change (11:05) Making habits obvious through environment design (14:56) Habit stacking with existing routines (16:12) Travel and changing contexts (18:58) Temptation bundling strategies (25:21) Motivation rituals and triggers (29:52) First ad break ends (33:11) Habits of avoidance challenges (39:10) Social reinforcement and tribes (41:09) Making habits easy through friction reduction (44:03) Delayed gratification and immediate rewards (54:16) Second ad break ends (57:16) Making habits satisfying (1:03:01) Commitment devices and accountability (1:08:35) Identity-based versus outcome-based habits Learn more about your ad choices. Visit podcastchoices.com/adchoices

#637: Nick wants to set up an investment account for his nephew to contribute annually, creating a nest egg for college since the parents are already opening a 529. He's unsure whether a standard brokerage account, IRA or other options work best when you're not the parent. Diana asks whether she needs TIPS in her portfolio to protect against inflation. Or can she just rely on other investments that outpace inflation? She's also wondering about the tax implications of TIPS ETFs. This matters during her peak earning years. Prethive asks whether he should switch from Roth to Traditional 401(k) contributions. When he retires, he wants to move to a tax-free state. Or maybe move abroad. He wonders if moving to avoid state taxes in retirement would save more money long-term. Former financial planner Joe Saul-Sehy and I tackle these three questions in today’s episode. Enjoy! P.S. Got a question? Leave it here. For more information, visit the show notes at https://affordanything.com/episode637https://affordanything.com/episode637 Learn more about your ad choices. Visit podcastchoices.com/adchoices

#636: Behavioral economist Etinosa Agbonlahor joins us to discuss "money scripts" — the unconscious beliefs we inherit or develop about finances.  Agbonlahor, CEO of Decision Alpha and former Director of Behavioral Science Research at Fidelity Investments, is the author of "How to Talk to Your Parents About Money."  She studied financial management at Cornell University and explains how these hidden biases create problems when we try to discuss finances with family members. You might assume everyone thinks saving money makes sense, while your parents operate under completely different beliefs. These conflicting scripts can derail conversations before they start.  Agbonlahor shares the story of a single mother who became so anxious about money after her divorce that she refused to buy her teenager expensive shoes. Years later, she realized she was trying to teach extreme frugality to protect her daughters from the financial insecurity she experienced. The key to productive money conversations lies in three principles: care, curiosity and cooperation. You approach with empathy rather than judgment, ask open-ended questions to understand their situation, and work together toward solutions instead of trying to be the financial savior. The conversation covers specific topics you should address with aging parents: debt, retirement planning, long-term care preferences, and estate planning. Agbonlahor emphasizes starting these discussions early, before a crisis hits.  You want to understand their vision for retirement — whether they prioritize security, adventure or leaving a legacy — and then assess the gap between their goals and current reality. When parents refuse to discuss finances, you might need to involve trusted friends, spiritual leaders or professional advisors who can have these conversations instead.  Resources Mentioned: Book: How to Talk to Your Parents About Money, by Etinosa Agbonlahor The Humble Dollar Forum Timestamps: Note: Timestamps will vary on individual listening devices based on dynamic advertising run times. The provided timestamps are approximate and may be several minutes off due to changing ad lengths. (00:00) Introduction to money scripts (00:56) What behavioral economics studies (03:03) Hidden money beliefs (04:34) Money script examples (06:16) Adult trauma responses (09:32) Personality and money (11:57) Trauma changes personality (12:55) Protecting future habits (15:17) Debt conversation approach (22:03) When to start conversations (27:53) Using "I" statements (29:51) Sample conversation scripts (33:36) Handling resistance (43:35) Parents' money frameworks (56:46) Long-term care planning (58:02) Stepparent conversations For more information, visit the show notes at https://affordanything.com/episode636 Learn more about your ad choices. Visit podcastchoices.com/adchoices

#635: Arielle’s head is spinning from the seemingly contradictory advice she hears about the best investments to hedge against inflation and a possible recession. What’s she missing? Dave is curious about private investments after listening to a recent First Friday episode. What are they, and should he consider them for his portfolio? Abbey is stoked about the raise she negotiated for her first job out of school. But she’s worried about liability risk related to her new position. How does she protect herself?  Former financial planner Joe Saul-Sehy and I tackle these three questions in today’s episode. Enjoy! P.S. Got a question? Leave it here For more information, visit the show notes at https://affordanything.com/episode635 Learn more about your ad choices. Visit podcastchoices.com/adchoices

#634: Picture this: you're 26 years old, fresh out of Wharton, and you decide to start a business with two friends. You spend years building a digital marketing firm that eventually works with Dollar Shave Club and Madison Reed. You bootstrap the entire thing without taking a dime of venture capital funding. That's exactly what one Wharton graduate did — and his story represents the reality of entrepreneurship that most people never hear about. Lori Rosenkopf, a management professor at Wharton Business School and head of Venture Labs, joins us to shatter the biggest myths about starting a business. The Mark Zuckerberg college dropout story? It's not just rare — it's misleading. Research shows that the most successful entrepreneurs, those in the top 0.1 percent of venture-backed firms, average late 30s to early 40s when they start their companies. Many continue launching businesses into their 50s and 60s.  Your age and corporate experience isn't holding you back from entrepreneurship — it's actually giving you an advantage. Rosenkopf breaks down seven different types of entrepreneurs, from disruptors who overturn entire industries to bootstrappers who build profitable businesses using their own resources. You'll hear about a founder who disrupted the hair color industry in her 50s with Madison Reed, and a banker who built an entire financial services division inside Square. We cover the rise of direct-to-consumer brands in 2013, why 80 percent of entrepreneurs are bootstrappers, and how artificial intelligence is creating new opportunities for people to start businesses without massive upfront investments. Rosenkopf explains her "six Rs" of entrepreneurial thinking: reason, recombination, relationships, resources, resilience, and results. She argues that most people already think entrepreneurially without realizing it — even parents who optimize their family routines are solving problems through innovation. We explore the world of "intrapreneurs" — people who build new businesses within established companies — and discuss acquisition entrepreneurship, where people buy existing small businesses instead of starting from scratch. Whether you want to start a side hustle, position yourself for a promotion, or eventually launch your own company, Rosenkopf's framework shows multiple paths to creating value through innovation. Timestamps: Note: Timestamps will vary on individual listening devices based on dynamic advertising run times. The provided timestamps are approximate and may be several minutes off due to changing ad lengths. (0:00) Entrepreneurship myths (1:28) Data on successful entrepreneur ages (2:10) Seven entrepreneur archetypes  (3:09) Defining entrepreneurship through value creation (5:27) The disruptor model  (8:13) Direct-to-consumer origins (11:13) Bootstrapper  (14:03) Transitioning from employee to bootstrapper (18:38) AI's impact on entrepreneurship (28:27) Social entrepreneur  (35:31) Technology commercializer  (39:45) The Funder  (43:12) The Acquirer  (58:06) Intrapreneurship  (1:03:12) Finding your entrepreneurial calling (1:14:40) Six Rs of entrepreneurial mindset (1:19:50) More information For more information, visit the show notes at https://affordanything.com/episode634 Learn more about your ad choices. Visit podcastchoices.com/adchoices

#633: Paul is worried the private equity investment he’s about to make could be a scam. How can he do his due diligence and stay protected when there’s a shortage of reliable information? Rob is questioning the purpose of a bond allocation in his eight-figure investment portfolio. Is he on to something, or is there a legitimate case to add them? Dan can retire in a few years, but he’s itching to do it now. Would buying a business be the key to unlocking an earlier exit from his W2? Former financial planner Joe Saul-Sehy and I tackle these three questions in today’s episode. Enjoy! Resources: Interview with Dr. Eric Cole Interview with Katie Gatti Tassin P.S. Got a question? Leave it at https://affordanything.com/voicemail For more information, visit the show notes at https://affordanything.com/episode633 Learn more about your ad choices. Visit podcastchoices.com/adchoices

Your Next Raise is open for enrollment! ⁠https://affordanything.com/how-to-negotiate-your-next-raise #632: There are 10 conversations that a person should have at work in order to do a better job, have better relationships at work, and make more money. Melody Wilding, Professor of Human Behavior at Hunter College, joins us to talk about how you can get the most out of your boss. Resources: Managing Up by Melody Wilding: managingup.com Timestamps: Note: Timestamps will vary on individual listening devices based on dynamic advertising run times. The provided timestamps are approximate and may be several minutes off due to changing ad lengths. (00:00) The 10 Conversations Framework (02:37) Shifting Workplace Dynamics (06:11) Key Conversations for Alignment (10:02) Understanding Your Boss’s Priorities (12:02) Mapping Stakeholder Influence (15:28) Visibility and Proximity Bias (20:31) Managing Shifting Priorities (22:11) Understanding Boss Archetypes (28:01) Navigating Personality Frameworks (32:06) Articulating Your Communication Style (35:03) Taking Ownership and Suggesting Ideas (39:59) Building a Reputation Through Ownership (45:03) Setting and Framing Boundaries (56:01) The Ripple Effect of Unaddressed Issues (59:00) Feedback Conversations (01:03:02) Recapping the Framework Steps (01:11:09) Building Your Story Bank (01:18:01) Advancement and Compensation Conversations (01:25:15) Framing Your Compensation Request (01:29:00) Navigating Policy-Based Responses (01:31:51) Creative Compensation Solutions (01:34:29) Knowing When to Leave (01:36:13) Assessing Future Opportunities For more information, visit the show notes at https://affordanything.com/episode632 Learn more about your ad choices. Visit podcastchoices.com/adchoices

Your Next Raise now open for enrollment! https://affordanything.com/how-to-negotiate-your-next-raise #631: Jason's analysis of his retirement plan shows that the simple path beats the efficient frontier. Is he right or is he missing something? Minerva is worried about the impacts of tax inefficiency to her wealth. Are her investments properly located? Scott feels frozen because he doesn’t understand the nuances of the efficient frontier. Where can he get a simplified explainer so he can start taking action? Former financial planner Joe Saul-Sehy and I tackle these three questions in today’s episode. Enjoy! P.S. Got a question? Leave it here. Resources Mentioned: https://affordanything.com/how-to-negotiate-your-next-raise/ ⁠https://affordanything.kit.com/assetlocation ⁠Join Paula at Acorns and get your $5 bonus!⁠ https://affordanything.com/577-qa-the-efficient-frontier-was-perfect-until-hr-got-involved/ https://affordanything.com/547-ask-paula-we-have-2-million-at-40-now-what/ https://www.whitecoatinvestor.com/small-cap-value-etf/ Learn more about your ad choices. Visit podcastchoices.com/adchoices

Special bonus episode. The Bureau of Labor Statistics issues massive job revisions on Friday morning. The revisions wipe out nearly 90% of previously reported gains for May and June. This raises fundamental questions about how our most trusted economic data gets calculated. In this episode, we break down how the system works. We examine why the revisions are so large. We explore what this means for understanding the real economy. Friday arrives. The BLS delivers what appears routine: 73,000 new positions added in July. But the revisions tell a different story. May's initially reported 144,000 job gains become 19,000. June's seemingly solid 147,000 drops to just 14,000. These represent 87-90% overestimates. They fundamentally alter the economic picture for those months. The BLS surveys 560,000 businesses each month. They use payroll data from the 12th of the month. But only 60-73% of those businesses respond by the initial release deadline. The remaining portion gets filled through statistical modeling. The models rely on historical patterns. This approach typically produces revisions in the 20,000-50,000 range. But throughout 2025, average monthly revisions reach 66,000. That's triple the normal size. The statistical models aren't capturing current economic conditions effectively. The problem becomes clear when economic conditions shift rapidly. Historical patterns become unreliable guides. The 2024 annual revision was the largest since 2009. What happened in 2009? The Great Recession. Another period when traditional forecasting tools struggled with rapid change. ADP is a private payroll processor. They serve 460,000 companies. They provide useful comparison data. For May, their 37,000 private-sector job estimate aligns reasonably well with BLS's revised 19,000 total. For June, ADP reports a 33,000 job loss. BLS shows a 14,000 gain. ADP's independent data helps validate the revised numbers while highlighting the magnitude of the initial errors. These numbers drive real decisions. Federal Reserve officials use employment data for interest rate policy. Investors allocate capital based on these reports. Workers make career decisions based on perceived labor market strength. When the initial data misses by 90%, everyone operates with fundamentally flawed information. The revisions expose how fragile our economic measurement systems become when conditions change faster than models can adapt. Learn more about your ad choices. Visit podcastchoices.com/adchoices

#630: Interesting observations about the current housing market, meme stocks (again), GDP, Fed Meeting, Stock Market, and the latest Jobs Report updates. Timestamps: Note: Timestamps will vary on individual listening devices based on dynamic advertising run times. The provided timestamps are approximate and may be several minutes off due to changing ad lengths. 00:00 Introduction to Economic Turmoil 01:21 Jobs Report According to the BLS 09:23 Impact of Tariff Negotiations 12:36 The Broader Trade Landscape 16:04 Stock Market Reactions 24:11 GDP and Inflation Insights 31:52 The Fed’s Steady Hand (Interest Rates) 39:55 Housing Market Dynamics 39:40 Affordability Crisis in Real Estate 50:23 The Return of Meme Stocks Resource mentioned: Spencer Jakab on The GameStop Revolution For more information, visit the show notes at https://affordanything.com/episode630 Learn more about your ad choices. Visit podcastchoices.com/adchoices

#629: Here's the thing about personal finance advice: what works when you have $10,000 won't work when you have $1 million.  Yet most financial guidance treats everyone the same, whether you're scraping together a $1,000 emergency fund or deciding whether to upgrade to business class. Nick Maggiulli, author of "The Wealth Ladder," joins us to break down how money strategies must evolve as your net worth grows. He's mapped out 6 distinct wealth levels, each requiring different approaches to spending, saving and investing. The levels start simple.  Level 1 covers anyone with less than $10,000 in net worth — that's 20 percent of American households. Here, bad luck gets amplified. A flat tire that costs $200 could spiral into job loss and debt if you can't afford the repair. Level 2 spans $10,000 to $100,000 in net worth. Maggiulli calls this "grocery freedom" — you can splurge on the nicer eggs without checking your bank balance.  Level 3, from $100,000 to $1 million, brings "restaurant freedom."  Level 4, the $1 million to $10 million range, unlocks "travel freedom." Getting beyond Level 4 — into the $10 million-plus territory — requires business ownership or extreme patience. Maggiulli calculates that even saving $100,000 annually after hitting $1 million takes 23 years to reach $10 million, assuming 5 percent annual returns. The data shows income matters more than frugality, especially in the early levels. The median household income in Level 1 is $32,000, but in Level 4 it's $197,000, and in Level 6 it reaches $4.3 million. We discuss why homeownership dominates wealth in Levels 2 and 3, how investment assets become crucial in higher levels, and why many people in Level 4 choose "Coast FIRE" over the grinding path to Level 5. Resource Mentioned: Nick's book: The Wealth Ladder: Proven Strategies for Every Step of Your Financial Life Timestamps: Note: Timestamps will vary on individual listening devices based on dynamic advertising run times. The provided timestamps are approximate and may be several minutes off due to changing ad lengths. (0:00) Introduction to wealth ladder concept (1:35) The 0.01% daily spending rule (3:43) Six wealth levels breakdown (7:35) Level 1 survival mode focus (11:21) Six levels population data (13:02) Level 1 bad luck amplification (15:08) Level 2 skills development priority (17:55) Income and wealth correlation data (25:28) Level 2 education strategies (28:05) Income opportunity heuristics discussion (32:24) Level 2 mobility statistics (36:38) Asset composition shifts by level (39:28) Level 3 to 4 progression (46:52) Level 3 and 4 similarities (50:14) Level 4 to 5 math (53:29) Business ownership requirements for Level 5 (56:07) Level 5 and 6 non-monetary focus (59:07) Wealth movement bidirectional data (64:09) Key takeaways summary begins For more information, visit the show notes at https://affordanything.com/episode629 Learn more about your ad choices. Visit podcastchoices.com/adchoices

#628: You follow all the right personal finance advice. You know you should save more, invest regularly, and build an emergency fund. So why does it feel so much harder for some people than others? The answer lies in your personality. Dr. Sandra Matz, a professor at Columbia Business School, studies the intersection of psychology and money management. She joins us to explain why one-size-fits-all financial advice often fails. Her research found that agreeable people — those who are caring, empathetic, and put others first — have a harder time saving money. The solution isn't better budgeting apps or stricter rules. It's reframing financial goals to match your personality type. For example, agreeable people save more effectively when they view their emergency fund as protection for loved ones or a way to help others during tough times. By contrast, competitive personalities respond better to framing savings as getting ahead in life. This personalized approach extends beyond personality assessments. Algorithms can now predict your financial behavior using digital footprints — social media activity, spending patterns, even smartphone usage. With just 300 Facebook likes, artificial intelligence understands your money habits better than your spouse does. The conversation also covers the darker implications. Companies exploit these same psychological insights to manipulate spending decisions. Dr. Matz discusses data cooperatives as a solution — member-owned entities where people collectively benefit from their shared information. We dive into negotiation strategies for salary increases, breaking out of financial echo chambers, and using AI to optimize your money management without losing your decision-making autonomy. Resources Mentioned: Dr. Matz's book "Mind Masters" sandramatz.com Timestamps: Note: Timestamps will vary on individual listening devices based on dynamic advertising run times. The provided timestamps are approximate and may be several minutes off due to changing ad lengths. (0:00) Big data meets financial psychology (3:34) Psychology and computer science intersection (6:26) Algorithms vs spouses at predicting personality (7:21) Curly fries predict intelligence (9:01) Self-talk reveals emotional distress (11:04) Nice people struggle with money (14:03) Personality-based savings strategies (22:21) Privacy versus convenience tradeoffs (24:36) Data privacy management burden (26:28) Organ donation defaults (30:40) Data cooperatives concept (36:01) ChatGPT for financial advice (40:04) AI as unlimited intern (44:06) Breaking financial echo chambers (53:14) AI negotiation training For more information, visit the show notes at https://affordanything.com/episode628 Learn more about your ad choices. Visit podcastchoices.com/adchoices

#627: Jlyn and her husband are 20 years from retirement, but they’ve got their eye on a second home they’ll live in when the time comes. Should they make the purchase now, or keep saving? Reese was recently laid off, and she’s struggling to choose between two financially responsible paths. Should she continue her long-term disability insurance? Or is it wiser to save money? Kip’s youngest has finally graduated from college, and he’s looking forward to an early retirement. But, with the eyewatering costs of long-term healthcare, is this still a viable path?  Former financial planner Joe Saul-Sehy and I tackle these three questions in today’s episode. Enjoy! P.S. Got a question? Leave it here. Resource mentioned: Reese's original question in Episode 417 Learn more about your ad choices. Visit podcastchoices.com/adchoices