So Money with Farnoosh Torabi

Dive into the world of personal finance with insights on how much net worth you need to feel wealthy. Discover the benefits of Roth IRAs and automated contributions for retirement savings. Learn about innovative methods for debt management and the potential of AI-driven personal loans. Get smart strategies for managing unexpected windfalls, ensuring your newfound funds work for you. Plus, explore tailored investment strategies designed for the long-term, all while emphasizing the importance of goal-setting and proactive money management.

In this engaging conversation, Martha Underwood, a 25-year tech veteran and the founder of Prismm, dives into the intersection of technology, finance, and personal legacy. She shares her inspiring story of creating a digital vault platform born from a family crisis. The discussion highlights the risks of AI biases, the challenges of being unbanked, and the importance of protecting one's data. Martha also offers practical tips for initiating crucial financial conversations with aging parents, emphasizing the vital role women play in shaping the future of finance.

Maryam Banikarim, a dynamic C-suite executive with a rich background as Global CMO for Hyatt, Gannett, and Nextdoor, is now the host of The Messy Parts podcast. She dives into the untidy realities of building a career, discussing everything from career burnout to the emotional toll of job loss. Maryam emphasizes the importance of vulnerability, community, and taking pauses to foster growth. She believes that embracing the messiness of life is key to true connection and success, especially for those navigating complex career paths.

This week: Topics covered include the financial implications of divorce, starting an investment account for children, addressing a toxic workplace, and planning for a new business venture. Farnoosh also discusses a concerning trend on TikTok about 'stay at home girlfriends' and provides practical advice on managing personal finances and investments effectively. Additional discussions include tips for college students to gain an edge in their fields and the decision-making process behind forming a business entity.

Today’s guest has long been a trusted voice in the world of smart shopping and consumer advice, and now she’s turning her attention—and resources—to a new mission: empowering midlife entrepreneurs. Trae Bodge is a journalist, television commentator, and consumer expert who’s helped millions save at the checkout. However, after the passing of her mother in 2023, Trae felt compelled to do something more profound and personal.In this episode, we discuss her newest venture, the Threadneedle Alley Foundation, a nonprofit she recently launched to provide $5,000 grants and mentorship to midlife entrepreneurs facing financial hardship. The organization is named after the street where her mother ran a beloved small business for decades, and this work is Trae’s way of honoring that legacy while addressing a gap she’s long observed in her professional life: great small business ideas without the resources or support to thrive.We explore why midlife is often the perfect time to launch a business, the biggest misconceptions around starting over at 40 or 50, and how we can all think more creatively and fearlessly about what’s next. Trae also shares some Prime Day shopping tips and how to make sure you’re not getting duped by false “deals.”Whether you’re dreaming up your second act or just trying to save a little money this week, there’s something for you in this conversation.

Dr. Daniel Crosby, a psychologist and bestselling author, explores the emotional dimensions of wealth in this insightful discussion. He reveals how financial well-being connects to mental health, advocating for a shift from mere accumulation to aligning money with personal values. Crosby shares strategies for maximizing happiness through wise spending choices and highlights the joy of giving over personal expenditure. His latest book, 'The Soul of Wealth,' encourages reflections on what it truly means to live a wealthy life—emotionally and spiritually.

It’s July 4th—a day for fireworks and freedom—but this year, we’re confronting a very different kind of spark. In this special holiday episode, Farnoosh breaks down the controversial “Big Beautiful Bill,” passed by the House. The sweeping legislation includes massive tax cuts for the wealthy and deep spending cuts to public services like health care and education. Farnoosh explains who stands to gain—and who could lose access to critical benefits, from Medicaid to special education funding.Then, it’s time for the mailbag! Farnoosh answers your money questions, including:With markets at record highs and a rate cut on the horizon, where should you put your money? (Hint: It depends on your timeline—rainy-day fund, short-term goals, or retirement.)How to tackle credit cards with high balances, even in a rising interest rate environment.What are medical billing advocates—and how can they help you lower your health care bills?

Brad Barrett, the co-founder of ChooseFI, joins us to share his latest financial perspectives and views on FIRE (Financial Independence Retire Early) and some small ways to cut thousands of dollars per year from your budget.

Caroline Adams Miller, a magna cum laude Harvard grad and an expert in goal setting, discusses the art of creating effective financial plans. She emphasizes the need for clear, evidence-based goals and addresses the unique challenges women face in achieving them. The conversation dives into combating gender bias in financial advice and highlights the importance of solidarity among women in the workplace. Additionally, Caroline explores using AI to enhance goal-setting and shares her journey behind her new book, 'Big Goals,' celebrating personal and professional milestones.

This week’s Ask Farnoosh mailbag includes timeless questions with a fresh twist:-What should you do after paying off your mortgage?-How to handle running out of tuition money when your child is in their third year of college.-Is it worth opening a second retirement account beyond your 401(k)?-And what’s the real difference between a Roth IRA and a Roth 401(k)?