When Kids Have Two Homes

Lister told me a funny story the other day. He had bought one of those fancy new exercise bikes and for him. It was without a doubt a very special tool to help them get healthier. The problem was three days went by and then for and he'd yet to use the bike and then on night five. He sitting at the kitchen table and he looks down at himself, and he couldn't help but just laugh because there he was wearing the exercise T-shirt that came with the bike and he was eating to corndogs.

Hi, it's Doug Hastings with Moody radio and I think we'd all agree having a special tool only matters if we use it to our benefit and I love you guys to learn about my friends at United faith mortgage a very unique faith focused mortgage team with an advantageous tool just for you to see United faith mortgage is an arm of a bigger company who is a direct lender, which means they get to use their own money and make their own decisions is no middleman and often this advantage allows them to get you a better rate on your refinance or your new home purchase can save you monthly and lifelong money. So I encourage you check them out. United faith mortgage United faith mortgage is a DBA of United mortgage Corp. 25 Millville Park Rd., Millville, NY. Licensed mortgage banker for licensing information, go to an MLS consumer access.org corporate MLS number 1330. Equal housing lender not licensed in Alaska, Hawaii, Georgia, Massachusetts, North Dakota, South Dakota and Utah. Today's version moneywise line is recorded so our phone lines are not teaching children how to manage money wisely can be a challenge even more so if the kids have two sets of parents. Sadly, that's often the case these days, with shared custody after divorce. I am Rob West, avoiding conflict and using money as an asset to liability is the key to giving children a consistent message equipping them to be good stewards Ron deal joins us today to talk about that. We have some great calls lined up but we will be taking your live calls today because we're pre-record. This is moneywise live God's truth is our financial decision. So I guess today is my good friend Ron deal bonds, co-author of the smart stepfamily guide to financial planning and director of family life blended a part of family life ministries Ron great to have you back on the program while it is always a pleasure to be with you guys. Thanks for having me. Absolutely such an important topic and as we said at the start teaching children to follow God's financial principles poses extra challenges as you well know when their essentially growing up into household. So I like to begin today by asking you just to drill down on that a bit for us.

Why is that so often the case. Well whenever you have two households child's moving between two homes. You have lots of parental influences and lots of messages about values. I frequently like to help people understand stepfamily living a little bit and in a single-parent child living between two single-parent homes by just doing what I called the math. Let's just do the math biological family. You have two parents can may be forced grandparents right so you get six people who are primarily involved in the lives of his children, and depending on where the grandparents live. It really could just be the two biological parents right well in a blended family home. For example, you often have anywhere from 3 to 7 adults who are influencing the children.

Three. If there's one stepparent for if there's two stepparents, one in each home. What if there are, you know, a woman has a child by multiple men, each start doing the math on that and you have a number of people within you and grandparents, and you might have 88 sets of grandparents. Okay, so all of a sudden we have somewhere between nine and 21 adults who are influencing the children giving messages about values and what's right and wrong and and how money should be used and spent and obviously kids are watching how grandma spends money and how dad spends money and how stepdad spends money and all the messes he goes along with that, so all of a sudden that the message just gets diluted. Now, in some sense we every parent has to deal with this because it will ask our children grow up, they go and visit their friends and they see how their family spends money and and how the role it plays in their life and so all of us have to help our kids see money from one standpoint that were trying to teach knowing that they're going to be influenced by media and friends and all kinds of things, but in single-parent home or stepfamily home where you have those primary adults that are actively engaged in the child's life that have direct influence into their world again. Do the math, it's just more complicated.

There's more influence and so it's harder for anyone parent to push forward the values that they want their child to pick up yes wine as you know the way money is handled. Growing up is such a key driver to how we see money from God's perspective and also how we handle it practically as adults and so these complications of voices perhaps on different pages in many cases just really creates a challenge for the child to figure out how to navigate this really important area of life doesn't yet it does synergistic the day we did.

I did a virtual class were talking about good parenting in complex family situations and I started the class by saying by sharing the story of a good friend in Ghana, West Africa, a ministry that my wife and I are personally involved in the of helping to rescue traffic children and then they raise them. It's it's just an amazing ministry and I was talking with the director one day and I said tell me what you learned about parenting when you were growing up. Here is a Guinean man and he said oh my father told me to.

Voices do not raise a child, one voice raises the child so that the principal is look as mom and dad, you each bring natural gifting's and talents to the parenting that you do, but you really need to be singing off the same sheet of music and when you do that then children benefit from the one voice, and it gets complicated in the stepparent and stepchild situations will talk practically about how we move forward. How do we overcome some of these challenges today were talking with Ron deal is the co-author of the smart stepfamily guide to financial planning and director of family life blended family life ministries is more to come moneywise and back to moneywise live today were joined by Ron deal, co-author of the smart stepfamily guide to financial planning and director of family life blended rod is an expert on these topics so challenging as we talked about just before the break.

No guiding our kids in understanding how to handle money God's way is challenging enough but that Ron just before the break you were sharing when we do the math, we realize how complicated it can get with multiple parents and then we've got all of the grandparents associated with that and it can be a real challenge to lead with one voice right. That's exactly right. And yet at the same time.

That is the opportunity if all of those adults can try to find one voice now let me just be realistic.

Summary listing right now going there's no way I'm getting my former wife and her new husband to join us because their values are so different than ours. And yes, that's the challenge.

And yet there might be some things you can come together around as it relates to teaching stewardship.

For example, to the kids and but you try the best you can in order to do that. Why because you gain strength in your influence with children in your parenting when you move toward one voice yes well it's okay and worth the effort that goes into it that Ron was started by talking about values and that's critical. It really is the foundation let's move to the financial side for a moment.

But what if the other parent is not meeting their financial obligation paying their fair share. Well, let's talk about this because I think there's a number of things for us to consider. First of all, most households really need to provide to the other home what they are required to provide after a divorce. For example, child support, or what they're receiving from the other home Bill and Melinda Gates are probably going to be just fine managing their homes because they're both going to be super wealthy after their divorce, but everybody else in the world needs that child support. So if the other home is not paying their fair share. It does create some stress and some strain and it certainly adds to the animosity between the coparents and and that animosity actually can be in many ways more devastating than the amount of dollars that come because it just creates this difficulty. How do we find one voice if I'm really resentful towards you right and so that present some challenges to try to work through and figure out how you can come together around that there's really no simple answer to resolving that gap between US coparents. It takes time. It takes effort it takes a Christlike heart and attitude with the in game. The goal of being patient and trying to have businesslike conversations and talking about pay. We really do need you to do your part and trying to make that happen. If the endgame is children benefit and there's less animosity between homes which creates a climate where children are more likely to catch your values what you're trying to teach them as it relates to money and everything else. And so going that extra mile trying to have that heart and attitude is really important, no doubt, worry, let's say the other parent is paying child support, but the other parent is using it for things you disagree with Weir this so often what that yeah well this is where you take a deep breath and hear me say it is out of your hands and you really have to let it go unless were talking about extreme circumstance where it's putting the child of harm, and then you say something to somebody but outside of that, this is more about your preference versus their preference, and you know what guys sometimes is really comes down to control like it you know it it's that you are in fair to me when we were married. You really not gonna let you get away with this now or whatever the control is what people try to take when they feel that they're entitled to something. But it rarely does it work it just means you're trying to tell them what to do and how to parent and if you already have a difficult relationship that's just gonna make it worse. And yet, you know, I have to say guys I think a lot of well-intentioned Christian people do. This is sort of like sometimes there's that Christian pride of will, my values are better than yours and so you need to do what I'm telling you to do. I think that just makes it worse. That is not the in the sheep. The humble attitude that's really going to be negotiable and cooperative and invite the other household to consider your point of view when you're need is rooted in pain, you're probably going to be more controlling and more angry and less cordial and less democratic about it and so he got a letter go down the posture of holding everything with an open hand. Yes he helps run. Talk to that person who's in our listening audience today that finds themselves in being with the other household is able to provide for your children things you can offer you just don't have the financial means to do so yeah so again, let me just say sometimes this is rooted in the past pain over how things went down the fracturing of our relationship or family or whatever the residue from that lingers and sometimes that just adds in the year animosity towards how the other person is living you look at the things they have and you wish that you could have or you wish you could provide that to the children and you know Proverbs 1430 says in the rocks, the bones, I mean I'm just if stunned by that passage. Why does it rock your boat like physically it can rot your bones as well as your heart. Why, because your discontent you're comparing and you're finding yourself lacking, and you wish that they had less you feel defeated you feel insignificant and then you end up taking your anger out on the other people and sometimes you do that by just bad mouthing them to your children, and that just creates this lifestyle war.

And guess who else learns to be discontent and envious your kids to me that's not the thing you want to teach them right you want to teach them contentment you want to teach them that Hebrews 13 five really is something to lean into for God is said never will I leave you never will I forsake you. So don't make money worth more than it really is. That's the thing.

Search for your contentment and God and and strive strive within your heart to release what you feel like is unfair what they have what you don't have a just stop comparing that doesn't help. Yeah, that's okay, but let's reverse the situation though for those in our listening audience that can provide what the other parent can't how sensitive should they be to that of what practical guidance. Can you give yeah I think they should be really sensitive and sacrificial.

To be honest before I say little bit more about that.

Let me just point out that you know coming out of the pandemic and who knows where we are going to be into the future. There is been some lopsided this happening with coparents situations.

One parents keeping the kids for extra time why for physical safety of the children moving between homes can add some vulnerability to the risk of coated, so some parents have just had to make some adjustments. Through this ordeal and let me just point out that legally the other home has a right to say okay you get the kids for a month.

We haven't seen them then we get to make up some of our time.

I'm coming legally there's gonna be some of those sorts of things happening in the near future. I think this could also fall into the question you asked about finances. It could be that you have the other home is paid some extra stuff and now it's your turn it you kinda need to make up for what's been happening because of the situation. We've been in if you have more resource and the other home has less I think me and sacrificial pain a little extra for something goes a long way towards building a working partnership between the households and again that is worth gold because then when problems arise. You have that relationship you can fall back on and you can talk about it. Just try not to put yourself in a situation where the other home expects you to pay for those extra things you can be grace filled and sacrificial but don't overcommit either very good, so practical we just scratch the surface will have to have you back. But thanks for giving us a biblical perspective on this issue today. Ron we appreciate thanks for having Ron deal is better guess today you can find the smart stepfamily guide to financial planning.

Wherever you find books. Ron, do you want to come just thanks for joining us on moneywise lie were God's word intersects with your financial questions were so glad you're well with us today. Our team is actually taking some time off. Don't call in, but I will tell you we have some great questions lined up in advance and looking forward hearing from those folks.

I know you'll hear something that will be of value to you and perhaps in just a moment will take a few of your emails as well. Let's head to Holland, Michigan. Steve, you've been incredibly patient. How can we help user. Thanks for taking my call. My wife and I are frequently always appreciate your your sound advice. My my mom passed away last year and we have received will receive an inheritance of about 100,000 along with some investing and saving tithing that we also want to share that with our three kids. We have three sons.

They're all married, have children and it's in pretty stable situations but would like to give them roughly 10, $12,000 apiece. Our discussion has been we just can't write them a check and say here you go, or do we kind is just let them know we have something here for you in case of an emergency were just kinda wrestling with how to present this to them and in a sense I think would like to be able to just hand the money over to them, trusting that they will be wise stewards with it or not, so I know we've we didn't know about the receiving end of situations like that before and frankly, the, the funds came out of the blue. We were very surprised and grateful for the blessing that happened so we don't were not sure which direction to go with this yeah well it's obviously going to be a blessing to them. No matter how you do it I would make. In a matter of prayer.

Steve just asked the Lord to give you some wisdom. There's obviously any number of directions you can go this coming out any tax consequences to this because it was an inheritance to uses no taxes and the annual gift exclusion is 15,000 per donor per recipient so you could actually get 30,000 between you and your wife so your fine there. So I think the question is now or later and are there any stipulations you know as to the gifts always talk about an hour later and I think the key is do you want them to be able use the funds right now and a good bit of that has to do with just your own observations as to their financial and spiritual maturity. Clearly, if there was anything you know going on in any of their lives where you know they were living a lifestyle that was your problematic and you you could actually end up funding sinful behavior that you would lead to a something other than a desired outcome, and so there's any hint of that. You obviously want to withhold that as to not put money into a problematic situation. So I think that would be the first issue I'd obviously you did mention that some good assume that that's not the case. But if there was something there that Mike saying that prompted in your thinking. You let me know. But then, secondly financial maturity as to the decisions they are making in just your observations as to their ability to handle that. Give me your thoughts. Well, I believe each and each of his sons all their all three boys, each of them are intelligent, smart and living we feel good life. I know that two of them are definitely believers. The third I don't think so, but he is stable, a good father and we feel leading a good life.

But obviously there's that other aspect to his life as well. But I think you know they're there each in different stages as far as their needs might be. None of them are destitute by any means they all are in stable situations. Income wise, so it would be really something we would like to see them do something with may be long-term or something like that but then are we dictating what they should do… And that is where were, wrestling yeah and I think clearly, you're the one making the gifts he can do whatever you want, but there is that element to it where you know I think you need to ask yourself, are you okay with whatever decision they would make, and you need to be able to answer yes to that before you make a gift if they were decide to use it on a really nice vacation. Your Norton improvement on the house in the short term versus investing it for the future.

Would you be okay with that decision. I think you and your wife need to talk through that before you would be in a position to make that gift. If you are okay with whatever they choose and you just cited their maturity and stability in just kinda where they're at in their lives that I think there's something to be said about you all just making that, in a lavish gift, perhaps with that. You say you are in our desire is that this would be something that you have into the future. I think you know they would be good for them to hear that from you to know that that's you know going into it that your desire.

Now they become the steward and have to decide what they do with that information, but I think making that known to them that that would be your hope, but that at the end of the day you're gonna leave it up to them as to how they use it, no questions asked.

The I think that would be certainly one approach, there would be nothing wrong with that. I think the second option is just deal. Is there something creative you want to do with this. You know, i.e. promoting generosity so you know if that's if it's 10 or $12,000. Maybe it's $10,000 as a gift and $2000 and a donor advised fund where it's already been given and needs to just be given away so you can set up a donor advised fund where they would then be charged with you know distributing that $2000 to nonprofit ministries and charities. It would be near and dear to your heart that would be a way to counter foster you know some really exciting and fun giving that's on the heart of God. Clearly when we look at Scripture. So I would probably go one of those two approaches, but I do think you and your wife need to kinda wrestle through this and just say are we going to be okay. No matter what they do with it. And if the answer is yes, then I like the idea of just making the gift making your desires known on the front end so they have that and then can weigh that as they make decisions. But at that point you need to be willing to let it go and trust that they're going to make the right decision and if you decide you want to add a given component to it to talk to our friends at the National Christian foundation, but a donor advised fund in CF giving Steve payable I will talk a bit more of the year. This is moneywise live. So glad you joined us today again for taking some time off, so don't call it back, with much more just after this. Thanks for joining us on moneywise live by God's wisdom to your financial life. They were taking some time off today. Our team is not here so don't call it wind up in advance that I know you'll enjoy working to begin today in Florida. In this segment. Welcome to the broadcast I can help you will not come on Allawi and Betty, I do as well. I just saw him the other day and he he gives his best to all of the moneywise listeners and I appreciate your kind remarks wall about having a credit card that she wanted to couple credit card that had hidden. I basically use his credit card, maybe just one nuclear store that had their not eating them so you get rated then and how often do you delete line are hiding do that whole thing yeah well you know I think the key is whether or not you're concerned about a temporary drop in your credit score mean that's what most folks are asking about when they ask about closing a credit card because it face value. The idea that you would have these cards sitting around that you have no intention of using is not a good idea because you gotta keep up with the account you gotta monitor them to make sure that nobody's compromise the accountant is charging them for unauthorized fraudulent purchases because if you don't report that on a timely basis, you may end up being liable for it. So you gotta keep up with him and I think just for simplicity sake we all have enough on our plates, let alone tracking accounts were not using that.

We probably want to get those close now. The reason we may want to spread that out over time or start with the accounts that have been open most recently is just as a result of you, where is your credit score you already have a high score and you know therefore if it dropped 30 or 50 points temporarily and then it came back up know if you months later. That's not a big deal, especially if you're not out seeking credit that I would suggest Glenn close and let's be done with it.

But if you're kinda right on the borderline. You know you need a 640 and above to qualify for a loan that you're looking to get in your at 655, you know you probably not the time to go closing a bunch of accounts because you could see a drop and then you know that could hurt your ability to qualify for the best credit when you're out there looking for a loan so I think that's the driving factor here. How many cards are you looking to close Pam Bentley for I hate or rental property and getting ranking that Darrell paid for everything you paid for, so there's not a lot of that I'm out looking to get and I'm just trying to delete and get it up. Okay then I just go enclose them all down right now and you again if you monitor your credit score, you have a free service from a credit card that does that for you may get alert that your score has dropped 30 or 40 or even 50 points. That's not a big deal. It'll come back. The key is that you're on time payer every month and that you have just know a good financial foundation under you so I wouldn't be too concerned about and I think it will give you a little bit more peace of mind and know those are out of the equation. They're done and you can forget about them and cut up those cards so hopefully that helps you really appreciate your call today and look forward to hearing from you again real soon counties in Fort Myers County. How can I help you, thank you for taking my call. I am waiting to home mortgage refinance option. I'm just trying to see which one would benefit me more so the first one is on at 2.625% with the client fee of $1300 plus: clothing, ending the other one is 2.25% with a finance empty because you're buying down P .20 $805 clothing caught can you give me a recommendation which one might be the better deal yeah well you could run the numbers just to see whether or not you know how long it would take for you to be called in the money for you to buy down that rate, I typically would say let's just find the lowest rate possible that you can with the lowest closing cost you without a lot of upfront front fees right now you can be looking at something, you know, just under 3% to without a lot of cost and were you not buying down the rate but you know you're only spending 1 to 2% in terms of the overall loan value toward closing expenses is one of three in 2000 alone were talking about your three to $6000 as long as you stay in that home for at least 5 to 8 years and you don't extend the term in your saving at least .2 point half on the interest rate than that makes a lot of sense because you'll end up paying back those costs and over five or six or seven years and you then from that point forward, you enjoy the savings on the interest you until the end of the loan and you'll save thousands and thousands of dollars in interest is, if you stay in the home until it's paid off. The reason you know that I don't love the idea buying it down is your life calls right and so you may plan to be in this home long time but if you end up moving in on you bought the interest rate down.

That's just more upfront expense that we have to wait until you recoup until you start realizing some benefits of that refinance now if you plan to stay there for 30 years or let's say you're doing it to new 20 year mortgage and you actually stay for 20 years and you run the amortization schedule based on you buying down the rate on the front end and you do in fact take it all the way to the end. You may find are you probably will find that you're actually going to save some money and interest in you can have them give you that comparison to show you.

It's just that your for most folks spent a lot of money up front and we just don't stay in homes these days you for that long. Does that make sense to you. I think we lost a County but I appreciate you calling today. Hopefully that's helpful as you think about this. I might encourage you to get 1/3 bid just because I like the idea of getting three heads get one from your current provider your current lender get at least two from online bags, go to bank rate.com to get the very best loan programs that are out there with the very best rates and I think if you do that and then not compare the three again with the idea being you want to understand. Are you getting today's best rate based on a credit score of 740 or or above which is can be just under 3% with no more than 1 to 2% in closing costs. That's a good mortgage and I would certainly consider that so we appreciate your call very very much.

The folks that we've got to just a moment before next break. Let's take an email. We haven't done that for a bit. If you have an email question.

You can always send it to us questions@moneywise.org and will try to get it on the air. This question comes from Michael and Jan and Michael just asked simply should I pay off my student loans. Before I begin long-term savings, and here's what I would say that I would be well on your way to paying down your student loans before you start contributing to your retirement account. What I mean by that. Well if you're in a position where the you've got the monthly payment fit into your budget and you can have a target to pay those student loans off within 10 years that I would say yes, go ahead.

Start by putting at least the matching portion in your retirement account to take full advantage of that dollar for dollar match. If you have that that's free money. You don't want to pass that up and then I think you have a choice. At that point you want to add more to the retirement account or do you want to accelerate that payoff. I think you could go either way it's really just something you need to pray about and develop conviction about would be nothing wrong with saying we want to get out from under that debt. As soon as possible for no one okay with a 10 year payback you want to increase our retirement. Ultimately, your target for retirement is 10 to 15% of take-home pay Jenna Michael, thanks for sending your email to questions@moneywise.org pause back with more of your calls and questions just after this moneywise live on Rob West is today is taking some time off today so don't call Lynn but we have some great questions all lined up for you to get a lot out of this were to talk about whether universal life sentence for kids working talk about how you use a health savings account to supplement retirement. But first down to Chattanooga, Tennessee Tim, what's on your mind today. How can we help user Michael short and I'm required. My question is if I'm not on whatever what you want to get year on the whole thing in order to make sure that everything flowed. Yeah, that's a great question because obviously you can have some taxes that you need to pay on that money that so you want to make sure that that is covered. As you pull that out so you can net the amount that you need. So typically would be looking to make about 5% annualized on that portfolio so that you can easily take out that 4% cover any and all fees or expenses. Keep in mind you, if you have an investment advisor in there, there's can be a cost related to that and then you had any taxes that are due as well. So if you target do you know a 5% return if in some years you know it's a six or seven, and other years it's down the many ideas that over time that that's gonna balance out to a 4% rate of return typically would like a 7030 portfolio were 30% is in stocks and about 70% of that is in fixed income or bonds in the idea would be enough.

You are hundred percent invested in stocks.

You know, we would say that you would want to be thinking about you being able to weather of 30% downturn in the market and the over 35%.

It also when you look at that getting that exposure down to only 30% in stocks. You're at that point were talking about, much less that you would be weathering on the downside, you're probably about 10%. So even if your portfolio during a period of time where the market was declining. If that portion was down about 10% for the overall portfolio that's okay because you would wait that out and let that money come back without selling anything or doing anything to cover that and then you'd live on the fixed income portion. Obviously, during periods where it's doing quite well you know then where were looking at your realizing some of those gains and using that to supplement the portfolio. So those ups and downs over time should even out to where you can cover that 4% of income that you taken out and make sure that you know all the expenses and taxes are paid. Does that make sense to try it out. Very good. Tim, thanks for your call today. Sir we appreciated. Let's head to Cleveland, Ohio, April how how can we help you with HSA's today call your and I am interested in finding out I don't understand how to use an HSA account to maximize retirement saving. The reason I'm asking is because I'm in my early 50 thing to dine and I need a way to turbocharge this ability give you a good idea of where I am.

I even though I'm in my early 50s that they like the Lord is leading me to attend medical school so I'm in the middle of active flux and I want to make sure I do this right very good but I think the key right now.

April if you feel like you're a bit behind the long-term savings is just keep your lifestyle at a minimum, the best you can. So you have as much surplus as possible and make sure you keep giving. Don't take on any debt to the best of your ability and take that margin and save save save. Now you want to get that in tax-advantaged vehicles, which is going to be either a 401(k) worker at least an IRA. A traditional or Roth if you're self-employed, you could use a separate IRA but an HSA is in fact another way to do it. The key is you really need to be fairly healthy because you don't want to be using that money a lot and you want to be able to max out your contributions but if you can do that, then the amount that's left over at the end of the year when even before that if you've built up a surplus can be invested in mutual funds and other vehicles so that money is growing.

Now you want to make sure you keep enough money liquid in the account for your annual healthcare expenses and you can liquidate positions as you need to, but you generally want about as much as you think you'd need in a 12 month period. The rest you invest now here's the key. Once you reach age 65.

The HSA behaves similarly to a traditional IRA you take withdrawals out of the HSA for nonmedical expenses.

Penalty free. Now taxes may still be applicable to your withdrawal amounts similar to traditional IRA withdrawals but you avoid that 20% penalty from the IRS. Now the withdrawals for qualified medical expenses, which arguably in that season of life may be your biggest expense will still be eligible for tax-free withdrawals. As you look to pull that money out there with contribution limits.

You've got to have a high deductible health plan in place in order to qualify for the HSA but as long as you do, you can put in 3620, 21 for an individual 7200 max for a family so you know that's the idea behind it where it's this additional savings vehicle that can be invested with tax advantages. Assuming you're not using up what you put into it. Each year you know for your medical needs in a given year. Does that make sense to you now wonder how the end of the year to be able to because it from what I understand, you can only access the fund medical purposes. So I'm a little bit lost. Can how well you can yeah sure, you can only withdraw them for medical purposes, but that doesn't mean that you can invested so when you make contributions into the HSA generally through salary deferral either an employer portion or an employee person.

The portion that you elect that goes into the HSA and then you would just typically log into your account online with whoever your plan administrator is the custodian of that those funds and you're not taking any money out like you would if you needed to pay a medical bill.

You're just taking the balance in that portion that you don't think you need in a given year that you want to invest, you would just directed right into those investments inside the HSA so the money is never leaving the account.

It's just that you're redeploying it in investments inside the plan similar to what you would do in a 401(k) or an IRA you not taking the money out.

You're just investing the money that goes in the set make sense thank you you're welcome. We appreciate you checking with us and I will look forward to talking to you again real soon. Thanks April.

Let's head to Greenacres, Florida. Jennifer's up next.

Jennifer, how can we assist you.

Thanks for taking my call. No big difference in my day-to-day life like six years old and open. I wanted to open an account and I opened it and and the defendant placed life insurance but then when I call her back in a couple years later, they said oh it's a universal insurance. So what universal insurance means yeah well universal life insurance is also called adjustable life insurance because it offers some flexibility. You have the ability to reduce or increase your death benefit and pay your premiums at any time in any amount with some limitations, but the ideas it's a combination of a life insurance policy with the savings vehicle that the question I guess I would have is you, why do you need insurance on the child you. You can usually get as a rider to another policy a small burial policy if you wanted protection.

You know, for that you are that type of event that could occur, but other than that, you know, typically I don't recommend it. I'd rather you get a very inexpensive burial policy and then take the difference in invested not through an insurance product through another type of account.

If you want to save for your daughter's future yard look at a 529 plan for college or another type of investment account where you can see that money grow.

But again, not inside an insurance product where there's a lot of fees and commissions, but with the insurance portion itself. I guess I would just ask you, why do you feel like you need no time but I opened Primerica 529 for her and and when I wanted one for my class.

I turned me down. Diabetic 10 day didn't want to give me an insurance so I turned it on, but then I opened Primerica and D. They said they would protect savings for me till I have a 529 for her and that savings from the late crime America and then we did.

Now I wanted to know should I I don't know how much I have endeared to put it out yes you would want to just call and ask if there's any cash value that's accumulated and when you cancel the policy. That's what you decide to do, you would get that back and then that policy would lapse and then moving forward.

I think the question is just where is the very best place for you to invest for yourself, it's probably going to be starting with an emergency fund in a high-yield savings account, up to 3 to 6 months expenses and then beyond that, for the longer term for you, I'd look at a retirement account like an IRA or 401(k) or 43B and then for your daughter. It's probably going to be a 529 specifically for college. There are probably better plans out there better 529 plans than the one that you're in and the way to evaluate that is just to go to saving for college.com you can look at the current plan year in and compare it to other plans and other states to see if you can do better, and I suspect you can in many cases you be able to roll that over to the new 529 so I hope that helps. I appreciate your desire to save for the future and that be thoughtful about how you manage God's money. We appreciate your call today. Let's go do it for us folks moneywise live is a partnership between Moody radio and moneywise immediately say thank you to my amazing team, Deb Solomon, Dan Anderson, Jim Henry Amy Rios and I were so thankful for what they do each day to make this program happen. This is where God's word intersects with your financial life come back and join us. Next I will you