Full Show: Best/Worst 401(k) Saving Rate By Generation and Crucial Tax Advice for Your Side Hustle

[@e-care-books9867]

#BonusTerm - "A shame-free zone." Team Clark, you're very good at not shaming, not "giving a lecture" to listeners. Instead, you encourage and give helpful info. #TeamClarkRocks

[@Clark]

Love it! 💚#bonusterm

[@jawsgreatwhite9966]

Gen X here who listened to your show while working my factory job and it definitely made a difference in my finances and life. Thanks Clark!

[@lilliankerr-z7c]

Most Americans find it hard to retire comfortably amid economy crisis. Some have close to nothing going into retirement, my question is, do I pull cash from my 401k and buy a house, or spread my money in stocks for cashflow? I'd love to afford my lifestyle after retirement?

[@Michelle-Bennett]

Lately, I've been contemplating retirement, uncertain whether my 401(k) and IRA will ensure a secure future. I've also invested $200K in the stock market, experiencing fluctuations without substantial gains.

[@LindamartIin]

Using a 401(k) or IRA is a valuable strategy for retirement planning, providing potential savings growth and tax advantages. While the stock market is promising, expert guidance is essential for effective portfolio management

[@alex-Yolan]

Opting for an investment advisor is currently the optimal approach for navigating the stock market, particularly for those nearing retirement. I've been consulting with a coach for a while, and my portfolio has surged by 45% since Q2.

[@LeylahCollins]

Market behavior can be complex and unpredictable. Mind if I ask you to recommend this particular coach to whom you have used their services?

[@alex-Yolan]

The licensed fiduciary I use is ‘Grace Adams Cook’.Just research the name. You’d find necessary details to work with a correspondence to set up an appointment.

[@sinisterbohemian]

6:14 Clark also inspired me from a very young age. I first started listening when I was probably 12 years old when he was in the 1pm slot on WSB Atlanta. My Dad who was also pretty good with money made fun of me for my "well Clark says" comments because he thought Clark was "TOO cheap". I'm by far the best off of my sibling cohort for listening to Clark and have a reputation for being a super saver. I put about 40% of my gross into various savings vehicles and have excellent term life / disability insurance. Maxing out my HSA, roth 401k, and my wife's IRA. Of course I can do better in some areas, but definitely big thanks to Clark for helping keep this millenial on track.

[@Clark]

YOU did the work! Way to go! 👏👏👏

[@NCSUWolfpack1993]

I am gen x and doing way better than average but could definitely do more. I am requiring my daughter at age 16 to open investment accounts standard and roth. She is required to put 50% of her pay into those accounts. I showed her how much money that would be at age 59 and she immediately got motivated. Education and exposure are key! Thanks Clark; I took a much more serious look at my finances decades ago because of you.

[@GunnyPhillips]

I'm at the tail end of the Baby Boomers [so officially a Gen X'er] in my late 50's. I was amazed when you said we were never talked to one way or another about retirement savings because that's exactly what my experience was. Fortunately, I got my mind right in my mid-30's after I started listening to you and a couple of others who steered me towards hyper saving. At this point I'm doing just fine and actually do have a pension to boot.

[@pjazzz353]

I just love your show. I have followed over 15 yrs now.

[@johnlollis9204]

Also if you do have a regular job you can increase your widthholding. That money counts for the whole year to help cover your tax bill

[@EHame]

Gosh, you are awesome. I never feel yelled at or small when listening to you. Bitcoin should be in your cereal bowl. Andreas Antonopoulous and Lyn Alden are brilliant to listen to. The U.S. debt clock has surpassed 35 trillion. This would be a great episode to have you cover.

[@saintsandsin3885]

My baby boomers parents were a financial mess. My Dad still can't handle money. I had to learn finances the hard way through the school of hard knocks. Thankfully at 50 I have learned to stay out of debt, spend less then I make and live within my means, and save for a rainy day.

[@mattmorris2141]

I feel ya. My dad is not horrible (at least with his money) but didn't teach me a thing. I had to learn it on my own. Thank God for Clark.

[@domfer2540]

I believe that each person builds their retirements. My father depression child believed in investing for retirement. He did a great job, except took their retirement and had no inflection growth. I am a baby boomer. I decided at an early age, multiple retirements with inflection growth and all medical covered. Had work, tough on the family retired at 62 With 6 retirements with inflation raises and full medical covers for me and wife. When I pass, my wife will receive almost all my retirement and medical for life. I believe in paying in cash, never buy a car longer than three years, and live to retire will everything paid.

[@scrapinmaniac]

I see our problem is social media showing us product or lifestyles that we want. Then credit cards that allow us to get what we see on installments. So we spend on stuff and we can afford to save because we want the stuff now.

[@charlessommers7218]

Great show 😊

[@cesardelgado1439]

You mentioned used cars, where do you recommended someone buying a used cars like at a dealerhship the old fashion way or another way? Also what is your check list for buying a used car like it has to be certain miles, No accidents and stuff like that ?

[@Clark]

Here is our used car buying guide that answers all of your questions: clark.com/cars/how-buy-used-car/ Hope this helps! 💚

[@luanneneill2877]

@@ClarkJust looked at your article and am happy to say we’ve done all those things with the many cars we’ve bought over the years (had three kids)!! Great advice!! The only time we bought a new car was when it was cheaper than buying a used one because all the used ones had been trashed under the Obama thingy, if you know to what I’m referring. My husband commuted 30 min. each way and got his money’s worth out of it, though.

[@xlavahott4547]

Roth first, HSA second, Employer Match third. Credit cards are tools, not money. Life insurance is not an investment. Buy used Honda/Toyota coming off two year lease and drive for 10 years. After these, the most important decision you can make is picking your parents.

[@Clark]

😂 @ picking your parents. Great tips, Clarkie! 🙌

[@toby7291]

@@xlavahott4547 I would disagree, employer match #1.. it’s free money. Roth over traditional most 401ks have the Roth option. Only bad thing about a Roth 401k all of the ones I have been in the company matches with pretax money but still it’s free money.. 1 401k up to employer match preferably in a Roth 401k 2 Max Roth 3 Max HSA

[@xlavahott4547]

@@Clark I've been working in the user experience end of financial services for 20+ years and landed on the "parents" thing as an undeniable truth for most people.

[@toby7291]

I don’t understand why my reply to this was deleted.. Instead of deleting my comment it would be more beneficial to point out why I’m wrong. When it comes to retirement accounts you should fund your 401k at least up to the employer match first.. the employer match is FREE money. If they match 5% you have already made 5% on your money simply by contributing to your employer sponsored 401k.. 😑

[@kozicki4]

Why roth first?

[@buffycat4641]

I agree in part with Clark, but I also believe living in a household where you have someone who is also financially responsible and a saver and passes that information to their children is also crucial. Or, if not a parent a mentor or someone who the person looks up to for advice. Same goes for living withing your means. I like Clark, live way below my means but still have a comfortable live and want for nothing, including travel. I watch House Hunters and loath when young marrieds MUST have a dishwasher, SS appliances and a huge home, more than likely after just spending a small fortune on a wedding.

[@austinmillbarge8731]

Yes, broadcast media is a bad influence. I personally know people who do what they see on HGTV, regardless of the cost. Those reality shows are endless infomercials when you think about it and even if you don't "keep up" and get the hardwood floors and 50 differnet cooking appliances, to induce a lifetime of chronic illnesses upon yourself, you're paying $60--100 a month to watch mostly reruns. Having a President who has dedicated his whole life to opulence at any cost is not going to help. Just load up your index fund, unload yor material anchors ⚓️ and let the fools carry you through life.

[@Gumby1978]

Great advice

[@Volley819]

My side gig is sports officiating, which actually pays very well - I'm 67 and don't need the money, but i enjoy staying involved in sports. Each year it gets more complicated. Eliminate the IRS!

[@BorselinoThadchack]

The reason Gex x -ers have a harder time is because back in the 90s it was EXTREMELY hard to save since there was no online and many many employers did not want to enroll any of us in 401k. I did not even know about a 401k or how it worked until 2004. So you pass the rule in 1984 yet nobody does much about it

[@Arlo360-Official]

Sorry, but I'm finding these show titles to be misleading. I never heard one number tossed out as to an "average balance" by age.

[@buffycat4641]

LOL, I was thinking the same thing. That is why I watched this particular video.

[@Clark]

@buffycat4641 Thank ya'll for your feedback! We will discuss a better, non-misleading title. 💚

[@Clark]

Title changed! 🙌

[@rocqitmon]

Clark, are you less confident in Zelle than other phone-based pay apps?

[@Clark]

Yes, Zelle is more dangerous than the others. Here's why: kzbin.info/www/bejne/rKjZqJeCn7Vlo68 We strongly suggest that you deactivate Zelle from your account. Additionally, if you use any of the other payment apps, we recommend opening a separate account dedicated for payment apps. Only keep a small amount of money in the account to send money to friends/family. This way if your payment app is hacked, the crooks don't have access to your primary account with all of your money. Hope this helps! 💚

[@retired8484]

Do not ever let Zelle contaminate any account. It's pure evil. Others are not as bad.

[@marietaylor5174]

Thank you Team Clark.

[@mtg6753]

How do you "AskClark" can you ask here?

[@tammiepulley7167]

Re: How people spend is heavily influenced by how their parents spent. So if you come on here complaining about how Gen X or Gen Z, etc…spends I ask you to look at their examples. Or look in the mirror. I am so sick of hearing older people complain about the younger generation. It does not pass the sniff test.

[@Clark]

Not all younger generations. As stated in the video, statistics show that Gen Z and Millennials are saving at a great rate! 👏👏👏

[@PeterVanDeMotter]

Investing in Real Estate: could the bank call the loan if you are no longer living there?

[@Clark]

It depends on the lender and local laws. Typically, you only have to live in a house for 12 months before converting it to a rental. 💚

[@miketheyunggod2534]

401Ks are dinosaurs. All they do is keep your money hostage and make financial advisors rich. Set your money free. Spend it on what you want.

[@rubicon3416]

People can have multiple accounts which can skew these results. I want to know how much each person has in total at a certain age, minus real estate.

[@makeyourlifeeasier5794]

Hard to believe Christa is gen x. This just proves saving money keeps you looking young!

[@Clark]

💚

[@scottwhite2583]

When I wake up every morning o cakes my bank balances to see if there is any activity I don’t recognize and I have all my cards set to notify of any any charges over certain amounts again for any possible fraudulent activity

[@cjohnson1469]

Sorry, Clark. You can't have children from two different generations if they were brought up together and have similar experiences. I was born in 1963, but I'm technically a GenX'er. My sister was born in 1966, so can two siblings, brought up by the same parents in the same way, belong to two different generations? The generations are defined by who your parents were/are, not by when you were born, right? My parents are baby boomers, so they can't, by definition, have a child that's a baby boomer. I know there is a general definition of date range, but there is overlap and where you belong has more to do with your experiences - and your parents experiences - and how they impacted how you were raised.

[@creditczar6979]

1960 "Boomer" here. Had one "pension" which was converted to a cash value savings plan so my company would not have to carry the liability. Almost 20 years later I was finally allowed to touch it by rolling it into an IRA. $20K for almost 10 years of accruing and 20 of "growth." 😂 Clark, you're stinky.

[@vanordinaire]

My company offered a pension and 401k with a match. At age 40 they stopped the pension and paid out a lump sum of accrued worth. 20k for 10 years. I rolled into an IRA. Now at 67, I’m happy I didn’t have to touch it across the years. The 401k did much better. (Index funds)

[@japes223]

Click bait. Literally doesn't talk about the average 401k balance by age. Thanks for wasting my time.

[@Clark]

Not click bait. Sorry for the misleading title. We have changed it. Thanks for your feedback! 💚

[@waynewarner6838]

😂

[@suracharawirojratana8723]

Must have FAITH !!! GOODNESS will always PREVAIL🙏🙏🙏

[@SSS-wo2hn]

What time do they film these videos?

[@Clark]

Videos are typically filmed a week in advance. 💚

[@SSS-wo2hn]

@@Clark thanks.

[@tomvermeulen1082]

I can’t tell you how upset I am after watching the show of not seeing the average 401(k) balance by age anywhere in this episode. Really seems like a date and switch

[@Clark]

Thanks for your feedback, but no intentional bait and switch. Sorry for the misleading title. We have changed it to be more fitting. 💚

[@mongo2044]

- Gen-X is not so hard edge as to when it starts and ends. Late boomers (it was a 20 year generation!) are also Gen-X. We did not grow up with the Beatles and most don't remember the moon landings. Our bands are the Talking Heads, etc. We saw older siblings do drugs and make a lot of big mistakes, only to be rewarded later on because, they were born at the right time. There should be Boomers, 1945 to 1959. Then a transitional generation, like Gen-T for 1960-65, who got none of the benefits of their older siblings and all the losses of the next generation. - Gen-T and Gen-X also got a bad deal with the early 401K they did end up with. Just terrible terms and lousy matching. Often, none at all. - I don't think it is pessimism for later Millennials and Gen-Z. It is Gen-T and Gen-X parents telling the kids to save early and keep saving. - I also don't think it is the recession that did it either. Gen-T and Gen-X grew up in the 1970s and inflation was way, way worse! But it did not help at all. - I agree that previous generations did really let down Gen-T and Gen-X by not educating the younger generation and basically forgetting about them. Collectively, Gen-T/X is the the real lost generation. - Note too that many Gen-T and Gen-X also graduated into recessions or, into companies filled with many, many Boomers. It was a miracle if you got a job at all and when you did, you remained at the bottom, even to this day as Boomers refused to retire for 10-20 years past 65 and let the next generations get the experience and take over. T and X also lost a decade of poor market returns on that lousy early 401k and no increase in pay at all. Gen-T/X really got a s**t sandwich of an income and financial life because of all these mistakes made by many in leadership positions who proceeded them and that leadership also lacked vision and critical thinking about the generations that followed. Gen T and X got a bad deal and their children and grandchildren will be paying the Boomer tax cut interest payments for their entire lives. - Zelle: I had it on my credit union checking and only used it a couple times to pay a kid to mow my lawn. But, I had not used it for a while and the CU does or did a forced redo at some point. I chose not to sign up (link) again. So that is another probable roadblock. If you never had it, it is not like your bank or CU will suddenly sign you up. You have to do the sign up (link to account). Don't and you are safer. - Comcast also offers Lifeline. But I cannot recommend them due to reliability issues with internet. Ready to switch to Fios for internet and cell. Note: Free phones and laptops are JUNK. Buy your own. Lifeline is used mostly by disabled people and poor families for children who need internet access. Since I just wrote above about Boomer greed and incompetence about the future, I am happy to pay the penny a year for these subsidies, so younger generations have what they need to succeed in life. Clark, THINK!

[@Veganisbadhunter-wx5nt]

Gen X here, retired at age 55 in 2022. I live by the 5 no's. 1. No wife 2. No children. 3. No pets 4. No debt 5. After making a fortune, No job. Retire in peace.

[@mongo2044]

#6 No one to care for you when you are old and decrepit.

[@BP-ry6mw]

I’m sorry, that mantra will lead to personal disaster for most people. That is one of most selfish and sad set of life goals that I’ve ever heard. My brother lives by those and he is 58, miserable and lonely. There is no peace for most in those choices. It’s disappointing to me that someone on Clark’s team would “heart” this. We are not made, by God, for that lifestyle.

[@Veganisbadhunter-wx5nt]

@@BP-ry6mw jesus Christ never married. Be Christ like.

[@MB-uy5kh]

@@BP-ry6mwSometimes that’s the hand of cards you are dealt in life. I was married and had a son. They both died, so now, no spouse, no children, no pets, as I am very allergic to common pets. I do have a Beta fish, but somehow can’t claim to have a pet. Definitely no debts. Home, car, fully paid. I will have a pension and SS which will give me more than enough for a great retirement. Never touched life insurance payments to this day. Living my life alone, not lonely or miserable, in peace until the day when I join my family in heaven.

[@buffycat4641]

Sounds great to me except for the occasional pet. Right now at 80, I'm still traveling so it would be unfair to a pet.

[@toby7291]

Clark Stinks… the question from Nancy on the used car confused you.. their reliable car crapped out last year. Thenlast year (2023) they bought a 2022 used Camry with 7500 miles on it. So this Camry they want to get rid of is 2 years old not 8 years old... For some unimportant reason Nancy threw in there the car they replaced with the Camry was 8 years old. The Camry they now own is currently 2 years old.. Nancy look at Refinancing through a credit union.

[@Clark]

👂Thanks for flagging this! After re-listening to the question, it sounds like Nancy is talking about 3 different vehicles. 1). Primary car that died in August 2023. 2). Mini, her other car that is 18 years old. 3). The 2022 Camry with 7500 miles. 💯 The details of all the cars got tangled together and became confusing, but the advice would remain the same. Figure out the value of the 2022 Camry, then do the math to see if buying another vehicle makes sense.

[@lisastillittano3347]

21:42 21:43 Clark, Not true, " amost no one has a pension. Government workers, state and federal. Education services, at all grade levels, including colleges. The military. All have very extravagant pensions. Private workforce is where the pensions went to die, while private workers pay through taxes for all these other groups to get these great pensions. They are some if not all of the biggest employers in the country!

[@magnoliap5824]

Extravagant? Talk to retired military.

[@lisastillittano3347]

@magnoliap5824 It is well deserved, no doubt! But be honest, the pension is better than anything these young Americans in the private sector would ever see in their lifetime!

[@magnoliap5824]

@@lisastillittano3347 well they can join the military or work for the feds. I made good choices luckily.

[@brendashope1558]

My spouse was a public employee. In no way is his pension extravagant. It would cover our mortgage and most utility bills. Not food or anything extra. I am continuing to work so we can afford our other expenses.

[@mongo2044]

Nope. Most higher ed is 403b. No pension if hired from about 1990s onward and especially if 2010 onward. Even many K-12 have no pension but a 529 or 403b. It is important to remember that those in the sectors you listed are supposed to (but rarely are now) given a decent pension because they are paid less than the private sector. This is also the fundamental misdirection by conservatives (either party) about tenure. It is not a job for life. It is lower pay and, used to be, a decent pension. In colleges, a tenure track faculty does the work of a senior executive and even if they get tenure, as an Associate, they have more work compared to a full Professor. So in academia, you risk your career early as a tenure track. Many do not get tenure! Those that do, are exhausted wrecks in the end. Some of the greatest academic minds could have gotten private sectors jobs and been stinking rich. This is especially true in medical research or government jobs. The NIH researchers all could have been multi millionaires numerous times. Instead, they take a massive pay cut to cure childhood diseases and find cures for many other diseases. They and many others in academia and government should be heros because, many are. An agricultural professor did more to increase rice crop output than ever before and is credited with saving more humans from starvation than anyone in history. Billions of humans. Worth it to give him lower pay and good retirement benefits no?

[@plouis3728]

Gen X has to take care of Baby Boomers and Millennials, Gen Y-Alpha now. We can’t catch a break because nobody can stand up on their own two feet excluding Baby Boomers.

[@brendashope1558]

That is my situation. No extra to bump up my contribution 😕

[@prestonphelps1649]

young people don't rely on themselves they rely on their parents.

[@EricFant]

False, Millennial here I haven't gotten a dime from my parents since sophomore year in college.

[@dougprw1110]

Simply not true in the main

[@incantations446]

@@EricFantI second that

[@PTLUX15]

Why do you think this? How did this happen?

[@jpHarkins-kb2vv]

Young ppl. Today are consumed and obsessed with social media they are extremely narrow minded.they have ZERO real world real life skills.but they know how to use uber or ordering foods.

[@gkarman]

It’s obviously 75k miles…. It’s like your 30 year old callers with 2.5mm in an IRA; please vet better

[@Clark]

It's a 2022 Camry with 7500 miles. 💚

[@rubicon3416]

I see Gen X spending like it's 1999. Absolutely no discipline, no sacrifice. Flat broke if they miss a paycheck.

[@dpporlando]

GenX grew up seeing their grandparents and parents get pensions.

[@Clark]

Good point! 🙌

[@jpHarkins-kb2vv]

Clark you keep on saying you get embarrassed talking about yourself and your family... Yet you ALWAYS do. From talking about your 3 kids to youngest child Grant to your wife delayn on and on.

[@Clark]

Not embarrassed talking about them, but sometimes embarrassed about actions involving certain topics - just like anyone else. 💚