Student Loan Planner Why Your Savings Rate Is Probably Too High
May 6, 2025
Can saving too much actually be detrimental? Discover how financial planners may push clients to invest instead of enjoying their bonuses. Dive into the hidden conflicts of interest in financial advising that compromise personal goals for profit. The discussion reveals that many overspend on things they don’t truly value. Learn about the vital importance of tailored advice and ethical guidance, ensuring that financial decisions genuinely prioritize your well-being rather than merely serving someone else's interests.
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Couple Pressured to Over-Save
- A high income couple was saving well but felt pressured to invest their bonuses instead of spending on family experiences.
- Their financial planner advised investing bonuses to increase assets under management, causing them to miss out on current joyful spending.
Savings Rate Often Too High
- Most podcast listeners are already good savers, often saving more than necessary.
- Once downside protections like disability and life insurance are in place, additional saving is largely upside, so prioritize quality of life.
Balance Saving with Enjoying Life
- If properly protected by insurance, you can afford to reduce work stress and enjoy life more even while saving.
- Adjust your work hours and activities to prioritize meaningful, enjoyable tasks rather than maximizing income at all costs.