What To Do Before A Catastrophe Strikes

What To Do Before A Catastrophe Strikes

Retired professor, 75, fumbled to learn her finances when her husband died.

Moneywise   Vawn Himmelsbach  Tue, November 18, 2025

When Alice Stone Nakhimovsky’s husband, Alexander, passed away unexpectedly last year from a brain aneurysm, she lost more than her partner. She also lost every detail of their financial life.

The 75-year-old retired professor had written 11 books, yet she didn’t understand the language of finance. Her husband had always handled that side of things.

“It’s mostly because I have no interest in learning about investing,” Nakhimovsky told The Wall Street Journal (1).

She knew they had saved more than $1 million, but she didn’t understand how it was allocated or even how much she could safely spend each month to make it last through retirement. She also knew she was “a sitting duck” if she didn’t figure it out.

It took her a year to get everything sorted, and she now regrets not doing it earlier. After all, she said, “catastrophe can strike at any time.”

What’s At Stake

Women tend to live longer than men, which means they’re more likely to be widowed and more likely to need a bigger nest egg.

Life expectancy in the U.S. is 75.8 years for males and 81.1 years for females (2). A woman also has a 7-in-10 chance of outliving her husband, either due to life expectancy or marriage age gaps (3).

Yet, while 30% of high-earning heterosexual women in the U.S. are now the primary breadwinners, “less than half prefer that role,” according to UBS’s 2023 Own Your Worth report. Only half of those breadwinners engage in short- and long-term financial decisions (4).

“Less than half, 49%, of women primary earners in heterosexual relationships say they prefer that arrangement, compared to 87% of men breadwinners,” the report found.

TO READ MORE:  https://finance.yahoo.com/news/retired-professor-75-fumbled-learn-163000960.html

Can You Just Keep The Cash If You Stumble Upon A Cache?

Can You Just Keep The Cash If You Stumble Upon A Cache?

Danielle Antosz  Mon, November 17, 2025   Moneywise

Ohio man bought $1K house, then found $10K in the basement

In a world where stories about hidden cash often end in legal headaches or ethical questions, one Ohio man showed how doing the right thing can turn a surprise find into something more meaningful.

Walter Castanedo of Toledo bought a rundown home in early 2024 with plans to renovate it. The three-bedroom, one-bath house cost him only $1,000. While clearing out the basement, he uncovered something he never expected: old envelopes stuffed with $100 bills. In total, he found about $10,000 hidden between paving stones.

"I just kind of felt like 'Whoa'," Castanedo told WTOL 11 reporter Steve Iwanek in early 2025. "Because you read about this stuff, but you never actually see it. And then when it's right there in front of you, it's kind of hard to process.”

Most of the bills appeared to be from the early 1980s, with the most recent from 1981, which suggested the money had been hidden for decades.

Finding treasure

Castanedo discovered five envelopes with money inside while gutting the basement of the small home. Some were wedged under bricks where he believed a potbelly stove once sat.

"They were black, but you could just make out when I shined a light on it,” Castanedo explained. “There were 100s in the corners."

According to the U.S. Bureau of Labor Statistics inflation calculator, $10,000 in January of 1981 would be worth $36,276.44 as of December 2024.

But the real surprise wasn’t the cash itself. After the shock wore off, Castanedo tried to track down someone connected to the home’s past. With a few calls, he reached Andrew Aranyosi, who lived in the house from 1946 to 1967. Aranyosi believed his dad, Andrew Sr., likely hid the money.

"I talked to him (Aranyosi) and I said, 'Look, I found something in your basement," Castanedo told WTOL11. "I found some money in your basement and I'd like to split it with you. "

Aranyosi was shocked. He suspected his dad had likely hidden the cash, but he never knew about it.

"My dad built parts of the home," Aranyosi said. "He added a whole new bedroom on the back of the house above the kitchen, and that's actually the bedroom I was in. The $10,000 — I would say my father definitely tucked that somewhere in the bricks or wherever."

TO READ MORE:  https://www.yahoo.com/finance/news/ohio-man-bought-1k-house-123000239.html

4 Things You Don’t Know About Your Money

I’m a Financial Expert: 4 Things You Don’t Know About Your Money

Laura Beck   Fri, August 16, 2024   GOBankingRates

You might think you’ve got a handle on your finances, but there’s probably a thing or two you don’t understand.

GOBankingRates spoke with financial experts to uncover some surprising truths about money that many people overlook. Carlos Rodriguez, director of financial planning at Edelman Financial Engines, pointed to EFE’s 2023 Everyday Wealth in America report, which indicated that 46% of Americans cite personal finances as their top source of stress. That emphasizes the importance of effective financial management for overall well-being.

From investment strategies to the power of small savings, these insights could change the way you think about your hard-earned cash.

Here are four things you (probably) don’t know about your money.

Earning passive income doesn't need to be difficult. You can start this week.

Being Too Conservative Can Cost You Big Time

If you’re the type to keep your money tucked safely away in a savings account, you might want to reconsider.

Robert R. Johnson, Ph.D., CFA, professor of finance at Creighton University’s Heider College of Business, has some eye-opening data to share.

“Being conservative with investments over time is extremely costly,” he said. “From 1926 through 2023, government bonds earned an average return of 5.1%. One dollar invested in government bonds at the beginning of 1926 would have grown to $133 by the end of 2023.”

Sounds pretty good, right? Well, hold onto your hats. Johnson continued, “Over that same time period, large stocks (think S&P 500) earned 10.1% compounded annually. That same dollar invested in an index of large cap stocks would have grown to $14,568 by the end of 2023.”

That’s not a typo, folks. We’re talking about a difference of over $14,000 from a single dollar. As Johnson put it, “A 5% annual difference in returns results in an astronomical difference in terminal wealth.”

You Can’t Save Your Way to Wealth – You Need To Invest

If you think squirreling away money in a savings account is your ticket to wealth, think again. Johnson busts this common myth wide open.

“One of the biggest money myths is that you can save your way to wealth,” he said. “The wealthy save and invest. The middle class, too often, simply save. Unfortunately, it isn’t enough that people simply save. That is a necessary condition for building wealth, but not a sufficient condition for wealth accumulation.”

Instead, it’s all about investing. “Individuals need to be taught to invest for retirement and not to save for retirement,” Johnson said. “The surest way to build true long-term wealth and higher net worth is to invest in the stock market.”

Of course, as with all wealth building, the earlier the better. Why? Well, the glory of compound interest — which is interest calculated on both the initial principal and all of the earlier accumulated interest.

Small, Consistent Investments Can Add Up to Big Money

Think you need a fortune to start investing? Grace Moser, owner of the women’s lifestyle blog Chasing Foxes, disagrees.

“The thing I wish people knew about their money is if you set it and forget it, it will grow,” she said. “I think people believe that they need to have a huge amount of money to start investing, but it’s just not true.”

To Read More:  https://www.yahoo.com/finance/news/m-financial-expert-4-things-170009313.html

Record High Debt = Record High Gold Price

Record High Debt = Record High Gold Price

Notes From the Field By James Hickman (Simon Black)  November 11, 2025

Barrick Mining Corporation—one of the world’s largest and most established gold producers—just reported its third quarter earnings yesterday— and it was an absolute blowout.

The company reported third quarter profit of $1.3 billion, nearly triple last year’s Q3 earnings.

And for the first nine months of 2025, Earnings per Share is up a whopping 132% over the same period last year. Free Cash Flow is up an astonishing 176%.

The company further announced that they’re raising the dividend by 25% and expanding the company’s share buyback authorization by an additional $500 million, after already repurchasing $1 billion worth of shares under the prior program.

And what’s perhaps even more striking is that these record profits were based on an average gold price of $3,200. This means that the company’s Q4 earnings (which we’re nearly halfway through) should be MUCH higher given that gold has averaged $4,041 so far this quarter.

Our readers won’t be surprised to hear any of this; we’ve been saying for the past few years that gold was going to go much higher— specifically because foreign governments and central banks have been buying gold by the metric ton to diversify their strategic reserves away from the US dollar.

This trend isn’t going away.

Between the government shutdown fiasco, the rising $38+ trillion US national debt (up $500 BILLION just in the last six weeks), extreme political dysfunction in Congress and the courts, etc., foreign governments and central banks are continuing to literally buy tons of gold, even at record high prices.

We also wrote that gold companies (including miners like Barrick) would benefit substantially from rising gold prices.

So, just as we predicted, Barrick (among other gold miners) is raking in record profits, and its stock price has doubled this year alone— outpacing gains from Oracle, Nvidia, Palantir, and pretty much every major large cap company in the market.

But here’s what’s really amazing— despite such stellar performance, many of these gold companies are still cheap.

Barrick stock, for example, is near its all-time high. Yet the company is still valued at less than NINE times forward earnings— and that’s assuming gold doesn’t go up further from here.

(And even if the gold price tanks, Barrick will still be a profitable, dividend-paying, modestly valued business. Remember, Barrick’s record profits are based on $3,400 gold!)

Smaller gold companies— the ones that we focus on in our premium investment research— are even cheaper.

One of the gold miners we’ve featured is already up 4x this year. Yet it still trades at just 3.5 times forward earnings. The company is extremely shareholder-friendly and has a pristine balance sheet with zero net debt. Oh, and did I mention they pay a substantial dividend?

The gold price could collapse to less than $3,000 and this company would still be wildly profitable.

Could that happen? It’s possible. Even during the 1970s when gold rose from $35 to $850, gold suffered a major pullback in 1975. The pullback was temporary, and gold rose over 8x from there.

That’s because the fundamentals driving gold’s rise during the 1970s hadn’t really changed.

After Richard Nixon formally ended the Bretton Woods system in August 1971, foreign governments and central banks rapidly began selling their US dollars for gold.

As the decade progressed, foreigners became increasingly concerned about US deficits, government dysfunction (Watergate in 1973), global instability, waning US power, and more.

And despite a brief pullback in gold prices, this trend continued until the early 1980s, when the election of Ronald Reagan restored confidence in America’s might and fiscal discipline. It was only at that point that gold prices started to fall.

This same trend is unfolding today, and it’s not hard to understand: the record high US national debt = record high gold price.

Foreign governments and central banks remain deeply concerned about America’s fiscal condition, and gold is one of the few assets available for them to diversify their US dollar holdings.

Just like in the 1970s, we expect this trend to continue until Congress proves that it can act like  grownups and be fiscally responsible.

In the meantime, we anticipate gold— and gold companies— to continue to perform very well. Again, many are posting record profits yet are still insanely undervalued. We do not expect this anomaly to last.

To your freedom,    James Hickman   Co-Founder, Schiff Sovereign LLC

 https://www.schiffsovereign.com/trends/record-high-debt-record-high-gold-price-153870/?inf_contact_key=469490d20eb1a2068aaffcd8431b11d7266def61f88c0e3dcc6731a9f494e737

Podcast: These Three Central Banks are SELLING Gold

Podcast: These Three Central Banks are SELLING Gold

Notes From the Field By  James Hickman (Simon Black)  November 12, 2025

We sincerely hope the House of Representatives can pull itself together and get the government back open this week.

Not because we love federal bureaucracy—but because this shutdown is embarrassing, and it continues to chip away at the rapidly declining confidence that foreign governments and central banks have in the United States.

This matters. Foreign governments and central banks collectively own $10+ trillion of US government bonds and other agency securities.

And given how rapidly the national debt is rising, the Treasury Department needs every lender they can get.

Up until recently, foreigners have always happily stocked up on US government bonds— which were traditionally viewed as THE world’s “risk free” asset.

But over the past few years, they’ve seen endless financial chaos and political dysfunction.

They watched Joe Biden shake hands with thin air. They watched the humiliating US withdrawal of Afghanistan. They watched millions of migrants stream across the US border with impunity, then be showered with taxpayer benefits. They watched TWO assassination attempts on a Presidential candidate.

Then, even after last year’s election, they watched the richest guy in the world willingly roll up his sleeves to help eliminate federal waste and cut the deficit— only to get chased out of town by politicians who are addicted to fraudulent spending.

They’ve watched extreme political dysfunction, with two sides who can’t agree on anything... including the most basic task of keeping the government open.

They’ve watched deficits grow and the national debt spiral to $38 trillion. They watched the debt grow by HALF A TRILLION dollars just over the past SIX WEEKS when the government was supposedly closed.

In short, if you were a foreign government or central bank, there’s little chance you would look at Congress and think, “these are serious, responsible people.”

Quite the opposite. In fact you would probably think that it’s time to start cutting your Treasury holdings and back away from the US dollar. After all, the United States Congress doesn’t exactly look “risk free” any longer.

Foreigners understand that a time is coming—sooner rather than later—when the US dollar will no longer be the dominant global reserve currency. Many central banks still hold nearly 100% of their reserves in US dollars. They know they need to diversify.

And we’ve written about this many times before— the #1 asset that they’re purchasing right now is gold.

It’s not because these foreign central bankers and finance ministers are irrational gold bugs. Instead, they understand that gold is nearly the only asset that (1) is universally accepted, (2) carries zero counterparty risk, and (3) has a large enough market to absorb hundreds of billions of dollars in capital flows.

That’s why, from Poland to Ghana to Kazakhstan, central banks have been buying gold in record quantities. It’s not just China.

China is the most desperate. They hold hundreds of billions in US dollar assets as part of their strategic financial reserves, and the Communist Party is extremely concerned—because they see a real possibility that they could be at war with their own borrower in the future.

Only three central banks were selling gold last quarter—and their reasons are easy to understand.

Russia was one—not because they love the dollar. But because they need to fund a war. Frozen out of the global financial system, gold has become almost a medium of exchange for the Russian government.

Singapore was another. Most central banks only buy strategically; they don’t try to turn a profit. Not Singapore. Their financial institutions are filled with sharp traders who would sell high into record trading volume, with the intent to buy gold back at a lower price.

In fact, it wouldn’t surprise me if the Singaporean government picked up more gold during the recent price dip earlier this month.

The third was Uzbekistan, whose central bank already holds about 80% of its total reserves in gold. With gold prices up, the value of their holdings ballooned—so selling some is simply a way to re-balance.

The problem for most countries is that they have too many dollars and not enough gold. Uzbekistan is the lone example of a country with too much gold and not enough dollars. So their gold sales, while unusual, make sense.

We keep talking about this because it truly is one of the most important trends of our time.

The US government's fiscal condition is atrocious. Almost no one in Washington is willing to take it seriously. But foreign governments and central banks are—and that's exactly why they’re buying gold.

That trend won’t reverse unless, miraculously, everyone in Washington starts treating the national debt like the emergency it actually is.

I’m not holding my breath.

That’s why we believe $5,000 to $10,000 gold is a completely valid future scenario—and why mining companies, precious metals producers, and real asset businesses are so well positioned.

We discuss several of these miners in today’s podcast, including Barrick, Newmont, and Franco-Nevada.

And we also highlight some of the overlooked smaller gold companies that, right now, are just absurd bargains.

You can listen to the full podcast here.

For the audio-only version, check out our online post here.

Finally, you can find the podcast transcript for your convenience, here.

To your freedom,  James Hickman  Co-Founder, Schiff Sovereign LLC

 PS – We write about this because we’re extremely proud of what we do.

We provide extremely high-quality research, and the results speak for themselves. Four of our precious metals companies are up 3-4x, even after recent pullbacks. Another seven are up 35–150%.

https://www.schiffsovereign.com/trends/these-three-central-banks-are-selling-gold-153876/?inf_contact_key=c89bf4b25fb260fc19f66f76be78e8dc3f5d4753c412dd34813a23b06ce38f2e

5 Best Money Moves To Make Before Retiring

5 Best Money Moves To Make Before Retiring

James Holbach  Mon, August 14, 2023

How To Be Wealthy in Retirement: Experts Share the 5 Best Money Moves To Make Before Retiring

Retirement. Imagine it. Dropping out of the rat race forever, enjoying the time you have left — being with your family, pursuing the hobby you could never make time for, finally taking that dream vacation.

Unless you were born rich — and if you were, you probably wouldn’t be reading this — you know it’s not going to happen without a lot of saving and planning. You’ve seen the generic advice everywhere. Max out your 401(k), cut your expenses, go back to school so you can make more — but there are a million paths to financial security, and some of them might surprise you.

Here are five real-world examples of people that made smart moves that allowed them to enjoy a worry-free retirement.

Downsizing

Dennis Shirshikov, head of growth at Awning, shared the story of Tom and Lisa, who were able to secure a very comfortable retirement by significantly downsizing their lifestyle.

“As their retirement neared, they opted to downsize their lifestyle significantly. They sold their five-bedroom house in the city and bought a smaller, but comfortable, two-bedroom home in a quieter suburb. This not only reduced their living costs but also provided them with a considerable amount of cash from the sale, which they put into diversified investments.

“Now, they live comfortably off the income generated from their investments, and they’ve even had the chance to indulge in regular travel, something they’ve always dreamed of.”

Investing In Rental Properties

Shirshikov also related the story of retired school teacher Sarah, who achieved her retirement dream by investing in rental real estate.

“Instead of choosing to put her money in typical retirement accounts like a 401(k), she opted for a more unconventional approach.  By the time she retired, she had a portfolio of five rental properties, each providing a stable monthly income. To make it even more hassle-free, she engaged a property management company to deal with the daily operations. Now, in her retirement, she enjoys a steady stream of income that more than supports her lifestyle.”

Never Stop Working — Sort Of

Finally, Shirshikov told GOBankingRates about Robert, a former corporate executive, who used a kind of hybrid approach to retirement to achieve total financial freedom.

“He started a consulting business in his late 50s, leveraging his decades of experience in the corporate world. He worked full time for the first couple of years, building his reputation and client base. By the time he reached his retirement age, he’d already transitioned his business into a part-time endeavor. This way, he not only keeps himself engaged but also supplements his retirement savings, giving him financial flexibility.”

Move In With Your Kids — Sort Of

The idea of living with your adult children may sound like a nightmare, a dream come true or a little bit of both — but you could stay very close without truly living under the same roof. An ADU, or accessory dwelling unit, is the term for a secondary housing unit on a single-family residential lot. Sean Roberts, CEO of Villa Homes, told GOBankingRates about Sarah and Nile’s smart ADU retirement money move.

TO READ MORE:  https://finance.yahoo.com/news/wealthy-retirement-experts-share-5-130030640.html

4 Ways Middle-Class Earners Are Protecting Their Money in Today’s Uncertain Economy

4 Ways Middle-Class Earners Are Protecting Their Money in Today’s Uncertain Economy

Laura Bogart   Sun, November 9, 2025  GOBankingRates

When it comes to the global economy these days, you should expect the unexpected. Stock markets are behaving like roller coasters, prices of everyday goods continue to rise, and the job market remains unpredictable. Middle-class earners are feeling the strain. Protecting their money — and their peace of mind — in such uncertainty is a daunting task. Fortunately, safeguarding their hard-earned savings may be easier than they think.

According to Jayant Mistry, CFA, senior vice president, CFO and treasurer of consumer banking at Synchrony, there are some simple yet effective steps middle-class earners can take to ensure that the ups and downs of the broader economy don’t send their personal finances into a spiral.

He shared some of these tips with GOBankingRates as part of our Top 100 Money Experts series.

Plan for a Rainy Day

While you’d like to believe your life will be nothing but sunshine, rainy days — like a job loss, car troubles, health issues or home repairs — will inevitably roll in. Mistry says middle-class earners can protect themselves from getting wet by setting up an emergency fund.

In addition to saving for major life goals, he encourages people to set aside money that can insulate them from financial surprises.

“I think being financially secure is about planning not just for large events, but also rainy days,” he said. “We all have so much going on in our lives, so having tomorrow or someday funds around allows people to feel more secure and have flexibility when difficult life events occur.”

Set Up a System To Pay Yourself First

Though you might want to dive straight into investments or complex money management strategies, Mistry says you’re better off starting slow and simple. He recommends setting up three different bank accounts: one for required expenses, one for wants (such as a money market account) and one for emergencies (ideally a high-yield savings account).

Once you’ve set up your accounts, Mistry wants you to establish a system that lets you “pay yourself first” — or add to your savings — automatically.

TO READ MORE:  https://www.yahoo.com/finance/news/4-ways-middle-class-earners-162821576.html

4 Tips To Handle Your Finances in an Uncertain Economy

4 Tips To Handle Your Finances in an Uncertain Economy, According to Money Expert Michela Allocca

Chris Ozarowski  Wed, October 9, 2024  GOBankingRates

Michela Allocca is a personal finance creator who shares tips for managing money through her social media pages.  In a recent post on her Instagram @breakyourbudget, she offered viewers four tips to help them handle their finances and prepare for an uncertain economy or even a recession.

Why Recession Prep?

So why prepare for a recession? According to Allocca, in recent years there has been a noticeable rise in financial anxiety among people across the U.S. This isn’t necessarily confined to any particular age group, income bracket or industry — concerns are universal. Record inflation has impacted essential expenses like rent, groceries, gas, insurance and home prices.

Recently, an economic indicator known as the Sahm Rule was triggered, signaling that the country may be on the verge of a recession. The Sahm Rule is used to detect the start of a recession quickly. Developed by economist Claudia Sahm, it focuses on changes in the unemployment rate.

The rule states that if the three-month average of the national unemployment rate rises by 0.5 percentage points or more above its lowest point in the previous 12 months, it signals the beginning of a recession. A recession could mean more layoffs and a tougher and more competitive job market, so preparing as much as you can can be a good idea.

Michela Allocca’s 4 Tips for Recession Prep

1. Take a Financial Snapshot

Allocca suggests starting by getting a firm understanding of your current financial situation. “Review your accounts and get clear on how much you have and where,” she said.

Start by listing all your bank accounts, investment accounts, retirement funds and other assets. Then list all of your debts, such as credit cards, student loans or mortgages. This gives you your net worth — the difference between your assets and liabilities.

Next, assess your cash flow — the amount of money coming in and going out of your accounts each month. List all sources of income, including your salary and any freelance work or side gigs. Then, compare that to your expenses by reviewing bank statements and receipts. You should categorize your spending into essentials like housing, utilities and groceries, and non-essentials like entertainment and dining out.

By auditing your outflow, you can identify areas where you might be overspending. If you find places where you are spending more than you need to, you can cut back and put that money aside for a rainy day.

2. Audit Your Cash Position

Allocca explains that it’s important to decide where you keep your money, especially when the economic situation is more uncertain. She describes this as auditing your cash position. Allocca lists two options for where to keep cash.

One option is a high-yield savings account. Allocca says that this is “a great place for your emergency fund or any other short-term cash savings.” An emergency fund should be one of your top priorities — you’ll need it if you lose your job or have unexpected expenses.

By keeping your emergency fund in a high-yield savings account, you make sure that your savings keep pace with inflation to some extent and that your money remains easily accessible when needed.

Another option is a certificate of deposit. A CD is a savings product where you deposit money for a fixed period in exchange for a guaranteed interest rate. According to Allocca, a CD “is an option if you have additional cash that you know with 100% certainty you will not need for the defined period you select.” CDs typically offer higher interest rates than regular savings accounts, but your money is locked in until the maturity date.

TO READ MORE:  https://www.yahoo.com/finance/news/4-tips-handle-finances-uncertain-140210755.html

4 Secrets of the Truly Wealthy, According to Dave Ramsey

4 Secrets of the Truly Wealthy, According to Dave Ramsey

Caitlyn Moorhead  Wed, November 5, 2025   GOBankingRates

One of Dave Ramsey’s most consistent pieces of financial advice is that wealth-building isn’t necessarily tied to how much money you make, but rather how you manage what you have. Many people assume that earning a higher income automatically leads to wealth, but Ramsey points out that a disciplined approach to spending and saving is far more important.

Truly wealthy people live below their means and when they do spend money, they don’t advertise it. Essentially, saving consistently is more important than the size of your paycheck or what you splurge on. Known for his no-nonsense approach to personal finance, Ramsey has helped millions of people get out of debt and take control of their financial futures. But what separates those who simply earn a good living from the truly wealthy?

According to Ramsey, “When you quit worrying about what people think and you’re actually living life for you and your family — that causes you to make completely different purchases and live a completely different lifestyle.” Here are key principles that truly wealthy people understand and practice consistently.

They Don’t Dress To Impress

The wealthy don’t leave their financial futures to chance. They create a plan, stick to it and regularly review it, which doesn’t leave a lot of wiggle room for extravagant purchases like designer clothing. Think about some of the billionaires you see in the news — many aren’t dressing like a million bucks even though they have more than a billion bucks.

Ramsey would recommend taking baby steps toward building an emergency fund, paying off debt or investing for retirement well before you spend thousands of dollars on pants or shoes. The truly wealthy know where their money is going each month and it’s not hanging in their closet.

They Don’t Share Their Vacation Pictures

Ramsey is a strong advocate for long-term investing and wealth-building strategies. However, once someone has grown their wealth to be in a place where they are considered rich, they tend not to advertise how much they have or are spending.

TO READ MORE:  https://www.yahoo.com/finance/news/4-secrets-truly-wealthy-according-110551464.html

Elon Musk Warns US Will Face ‘Day Of Reckoning’ For Its Debt With ‘No Way’ To Fix Issue

Elon Musk Warns US Will Face ‘Day Of Reckoning’ For Its Debt With ‘No Way’ To Fix Issue

 How To Shockproof Your Nest Egg

Jing Pan   Wed, November 5, 2025   Moneywise

America’s ballooning debt burden has become impossible to ignore — and Tesla CEO Elon Musk, who took a stab at tackling government waste earlier this year, is sounding the alarm again.

On a recent episode of “The Joe Rogan Experience” podcast, Musk outlined what he believes is — and isn’t — possible when it comes to fixing the U.S. national debt crisis.  “You can make it directionally better, but ultimately you can't fully fix the system,” Musk said. “Unless you could go super draconian — like Genghis Khan level on cutting waste and fraud — which you can't really do in an aspirationally democratic country, then there's no way to solve the debt crisis.” (1)

Musk called the debt “insane” — and the numbers support his concern. U.S. federal debt has now surpassed $38 trillion and continues to climb.

But what really set off alarm bells for Musk wasn’t just the total — it was the cost of servicing it.

“The interest payments on the debt exceed our entire military budget … that was one of the wake up calls for me … this is crazy,” he said.

He’s not wrong. Treasury data shows the U.S. government spent $970 billion on net interest in fiscal year-to-date 2025 — more than the $917 billion spent on national defense.

Musk’s conclusion? Spending cuts alone won’t solve it.

“Even if you implement all these savings, you're only delaying the day of reckoning for when America goes bankrupt,” he said. “So I came to the conclusion that the only way to get us out of the debt crisis and to prevent America from going bankrupt is AI and robotics. We need to grow the economy at a rate that allows us to pay off our debt.”

Musk isn’t the only one sounding alarms over America’s debt — or, more specifically, the soaring interest costs tied to it. Ray Dalio, founder of the world’s largest hedge fund, Bridgewater Associates, has warned that the U.S. is heading toward a “debt death spiral,” where the government  must borrow simply to pay interest — a vicious cycle that feeds on itself.

But unlike Musk, Dalio doesn’t foresee a formal bankruptcy.

“There won't be a default — the central bank will come in and we'll print the money and buy it,” he said. “And that's where there's the depreciation of money.”

In other words, the government may never technically run out of dollars — but those dollars can lose value fast.

As the hosts of the “Words & Numbers” podcast put it: “Technically speaking, the government can’t go bankrupt because it only promised to hand over a certain number of dollars; it didn’t promise what the value of those dollars would be. (2)

Because the value of the dollars was never specified, the government can print enough to render the dollars nearly worthless. To the rest of us, the effect is the same as the government going bankrupt.”

Many economists share that concern: high debt levels can fuel inflation, eroding the dollar’s purchasing power — something Americans are already experiencing. (3) According to the Federal Reserve Bank of Minneapolis, $100 in 2025 has the same buying power as $12.05 did in 1970. (4)

The good news? Savvy investors have long found ways to protect their wealth — regardless of Washington’s fiscal missteps.

A safe-haven shines again

To shock-proof your investments, Dalio emphasized the value of diversification — and highlighted one time-tested asset in particular.

“People don't have, typically, an adequate amount of gold in their portfolio,” he said. “When bad times come, gold is a very effective diversifier.”

Gold is considered a go-to safe haven. It can’t be printed out of thin air like fiat money and because it’s not tied to any single country, currency or economy, investors flock to it during periods of economic turmoil or geopolitical uncertainty, driving up its value.

Dalio noted that central banks themselves are “acquiring gold now as a diversifier” — and says it’s “prudent” for individuals to consider allocating “somewhere between 10% or 15%” of their portfolios to the precious metal.

TO READ MORE:  https://www.yahoo.com/finance/news/elon-musk-warns-us-face-124300387.html

Keeping Too Much Cash In Your Bank Account Could Be A Costly Mistake

Keeping Too Much Cash In Your Bank Account Could Be A Costly Mistake

Vishesh Raisinghani   Sun, November 2, 2025   Moneywise

Keeping too much cash in your bank account could be a costly mistake — here’s how to know if you’ve got too much

Cash is king, right?

Well, not always. Sometimes you can have so much cash sitting around in your bank account that it turns into a wealth-devouring demon.  On average, American families had about $62,410 in their checking accounts, according to the Federal Reserve’s 2022 Survey of Consumer Finances. For most people, that balance is simply higher than it should be.

Here’s why keeping too much cash on hand could be a serious mistake and a significant drag on your financial health.

The inflation tax

As of October 2025, the average national deposit rate on a checking account is just 0.07%, according to the Federal Deposit Insurance Corporation (1). That’s nowhere near enough interest to offset the rising cost of living.

In September, annual inflation was 3.0%, according to the Bureau of Labor Statistics (2). That means the average checking account is earning approximately 43x less than the rate of inflation.

But inflation isn’t the only problem. Idle cash also carries opportunity cost: that's the money you leave on the table when you don’t invest in assets that can generate income or growth.

What to do with cash instead

To fight inflation, consider moving some of your money into short- or medium-term securities with higher yields.

For example, Vanguard’s Federal Money Market Fund (VMFXX) offered a 4.08% yield as of September 26 (3). That’s higher than the current inflation rate, which can make it a better option than a checking account to preserve your purchasing power.

If you’re more concerned about opportunity cost, you might look into a low-cost index fund with higher risk – but also, the potential for higher return. Vanguard’s S&P 500 ETF (VOO) has delivered a compounded annual growth rate of 14.7% since its 2010 debut (4). And although past performance does not guarantee future returns, the point stands: keeping cash idle means missing out on growth potential.

You can easily invest in assets like VOO when you use platforms such as Acorns. When you make a purchase on your credit or debit card, Acorns automatically rounds up the price to the nearest dollar and places the excess — the coins that would wind up in your pocket if you were paying cash — into a smart investment portfolio.

Their smart portfolios give you exposure to assets such as VOO, while ensuring you’re diversified across a number of different investments.

TO READ MORE:  https://finance.yahoo.com/news/keeping-too-much-cash-bank-125500572.html

Terrifying High-Tech Bank Scam Drains Your Life Savings In Seconds

Terrifying High-Tech Bank Scam Drains Your Life Savings In Seconds — and ‘devastated’ victims are sounding the alarm

Asia Grace  Mon, October 27, 2025  NY Post

Noel Phillips can’t believe he was cleaned out so quickly — and easily.

The New York millennial was bled dry earlier this year by a group of scammers who used phone number-spoofing technology — software used to misleadingly alter caller ID information — to empty his bank account, taking all of his life savings, totaling nearly $30,000.

“It’s devastating,” Phillips, 33, a journalist and an NYC transplant from London, exclusively told The Post. “I can still hear the voices of the people who called me, posing as employees of Chase Bank, claiming there had been fraudulent activity on my account.”

“They used fear tactics to basically hypnotize me into handing over all the money I’d worked so hard to earn and save over the last four years,” he added.

Deborah Moss, a 65-year-old caretaker from Northern California, was previously thunderstruck by a similar wave of devastation when an imposter targeted her, draining her Chase account of a shocking $162,000 in 2020.

“I started screaming like you wouldn’t believe,” Moss recently told The Post. “I was, like, ‘Oh, my f—king God.’ I was just hysterical. That was all my money.”

That’s the sinister trickery of business imposter scams, which have been on a steady rise, outpacing romance scams, family and friend scams and tech support scams over the past five years.

The crime now ranks as the No.1 consumer complaint of 2025, per data provided to The Post by the Federal Trade Commission.

As of late June, the FTC, which protects folks from deceptive and unjust business practices, has been inundated with over 516,000 imposter scam complaints — totaling almost $1.7 million in losses.

To get their paws on a target’s money, imposter scammers often call — or email, text or direct message — a victim, pretending to be a representative from a trusted, established company. They typically claim that there’s been some sort of privacy breach or unauthorized dealings on their account.

After spinning a falsified yarn about an alleged faux pas, the wolves in sheep’s clothing create a sense of urgency and panic about the situation, convincing their prey to hastily transfer large sums of money or divulge personal information to avoid any further malfeasance.

But in reality, they’re the bad guys, siphoning cash and info for their own greedy gain.

And imposter scammers don’t limit their villainy to masquerading as reps for financial institutions like Bank of America or TD Bank — just two of the corporations that Upper East Side granny Nina Mortellito, 86, is suing in New York state court, alleging they failed to protect her from a $700,000 con.

In August 2023, she was allegedly targeted via a pop-up window that falsely warned that her bank accounts were about to be hacked, according to a lawsuit filed earlier this month.

Over the course of nine months, Mortellito, who suffers from age-related memory issues, was allegedly convinced by fraudsters to make a series of unusual withdrawals, totaling anywhere from tens of thousands to hundreds of thousands of dollars, from Merrill Lynch, TD Bank and UBS accounts, according to court papers.

Although the banks were aware she was vulnerable to scammers, they didn’t raise any alarms, the lawsuit charged.

The Post has reached out to Bank of America, Merrill Lynch, TD Bank and UBS for comment.

Robert Georges, Mortellito’s attorney, told The Post he’s inundated with bank imposter fraud cases from victims plagued with “devastation, embarrassment, confusion and upset” following the violation.

“There’s this fear about how they’re going to live without their life savings,” he added. “This is a well-known epidemic in America. All the banks are aware that this is a major problem, but we don’t feel that banks are doing a reasonable job to protect people. We’re bringing these lawsuits to hopefully effect change.”

Mortellito and her lawyer are seeking unspecified damages against the banks, whom they’re suing for negligence, The Post previously reported.

In addition to impersonating bankers in the name of fraud, ne’er-do-wells also commonly pose as customer service staffers for popular retailers, delivery service couriers or utility company workers, just to name a few.

Christopher Brown, a lawyer with the FTC’s Division of Marketing Practices, calls the swindles “sophisticated” and credits the prevalence of artificial intelligence with helping fraudsters seem legitimate.

“AI can certainly amplify the scams, making them more believable,” Brown told The Post, noting the multitude of AI-powered spoofing and voice-hijacking tools available to perps. “They’re trying to gain your trust, making you believe they are who they’re claiming to be.”

The Federal Communications Commission reports that US consumers receive approximately 4 billion spoofed calls, including automated robocalls, from money-hungry scammers each month.

To combat the crisis, the FCC recently implemented its STIR/SHAKEN framework. It’s an industry-standard caller ID authentication technology that validates the legitimacy of calls, allowing the phone company of the receiver to verify that a call is, in fact, from the number displayed on the caller ID.

TO READ MORE:  https://www.yahoo.com/news/articles/terrifying-high-tech-bank-scam-192105932.html

Catfish Scams — How To Spot Red Flags

Catfish Scams — How To Spot Red Flags

Will Kenton  Sun, October 26, 2025   Moneywise

Missouri woman's late-in-life love story turns into a Ramsey Show warning about catfish scams — how to spot red flags

Nicky from Missouri called into the The Ramsey Show with a late-in-life love tale. (1) She, a 68-year-old widow, has met a man, an 81-year-old widower, who wants to marry her. At first it seems like a heart-warming story, but when co-hosts hosts Jade Warshaw and Ken Coleman started asking questions, things went sideways fast.

Nicky started asking if she should mix her finances with her new suitor. She indicated her savings were much larger than his. The co-hosts asked how they met, and she told them that they had met on Facebook in a group for widows and widowers. They bonded when he told her about a woman he had been seeing. He was giving her money, and even though he supposedly has a pension that pays over $100,000 per year, Nicky felt she was taking advantage of him. The relationship apparently ended soon afterward, and Nicky ended up as his new lady.

She then admitted she’d never seen him face to face. In fact, he lives six hours away. Wedding bells turned to alarm bells as Jade and Ken pulled more suspicious details out of her.

When they expressed dismay at the idea that she’d even think about marrying a man sight-unseen, she said “he is too open and honest!”

Coleman laid it all on the table: “Nicky, you have a hook in both sides of your mouth right now, and this needs to stop.”

Without proof to the contrary, he suggested she might be the victim of a catfish or romance scam.

Scams Preying On The Elderly Are Common

Romance scams are a big slice of the fraud problem for older adults. The FBI’s 2024 Internet Crime Report shows people 60 and over filed 147,127 complaints with reported losses of about $4.8 billion. Confidence and romance fraud alone accounted for 7,632 of those complaints and $389 million in losses.

TO READ MORE:  https://finance.yahoo.com/news/missouri-womans-life-love-story-100000867.html