1846: How to Make a Financial Plan That Actually Works

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

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

Dr. Daniel Crosby is a psychologist, behavioral finance expert, and New York Times bestselling author. His works, The Laws of Wealth and The Behavioral Investor have transformed how we think about investing by shedding light on the emotional and cognitive biases that often shape our financial behavior. He also serves as Chief Behavioral Officer at Orion Advisor Solutions, guiding advisors in helping clients align their investments with what matters to them.Today, Daniel is here to discuss his latest book, The Soul of Wealth: 50 Reflections on Money and Meaning. This book challenges the conventional approach to wealth by diving into its emotional dimensions. It explores how financial well-being is not just about accumulation but also about aligning money with personal values and meaning. Daniel encourages us to reflect deeply on what it means to live a wealthy life—not just financially but emotionally and spiritually.

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

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

In our financial lives, setting goals isn’t just about having aspirations; it’s about understanding how to build sustainable, achievable plans that propel us toward success. Guest Caroline Adams Miller has spent over 30 years pioneering the science behind how we set goals, stay resilient, and achieve meaningful success. Her newest book, Big Goals, is changing the conversation around achieving personal and professional ambitions.

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

We’re taking you inside the So Money Members Club for an exclusive workshop Farnoosh hosted recently on one of the most urgent financial topics for families: saving for higher education, with a deep dive into the world of 529 college savings plans. This workshop features Patricia Roberts, a leading expert and author on the topic, who brings both professional and personal insight to the conversation. Patricia is the author of the newly updated Route 529.What you’re about to hear is the full workshop presentation—but what you won’t hear is the rich Q&A we had at the end, just for members. That’s one of the many perks of joining the So Money Members Club—a private, tight-knit community curated and run entirely by me. Not an assistant, not a bot—just me, guiding you through live monthly workshops, office hours, and deeper discussions around money, work, and life.Membership also includes full access to our growing library of workshop recordings and commercial-free episodes of this podcast.If that sounds like something you’d love, visit SoMoneyMembers.com to learn more and join us.

Today we’re catching up with the incredible Jannese Torres, host of Yo Quiero Dinero podcast and trust me—she’s had a year. Since her last visit, she’s launched her book Financially Lit, traveled the country on a book tour while secretly pregnant, became a mom, got engaged, and even bought a house.But that’s just the beginning. In this conversation, we dive into how financial independence has reshaped her life as a new parent, her approach to building wealth while growing a family, and—something we don’t talk about nearly enough—how she and her fiancé have structured their finances now that he’s a stay-at-home parent on her payroll.From prenups to parenthood, from self-employment hacks to the real cost of giving birth (wait until you hear her hospital bill), Jannese gets real about the financial and emotional shifts that come with these big life changes.

In this Ask Farnoosh episode, Farnoosh shares a personal reflection on the growing conflict between Iran and Israel, plus a roundup of headlines you need to know: the S&P 500 hits a record high, credit card APRs climb despite the Fed holding rates steady, and parents are spending more than ever on youth sports. Farnoosh also answers listener questions about negotiating a counteroffer, borrowing from a 401(k), selecting a balance transfer card, and building a beginner’s financial plan. Plus: a Costco gold bar sighting and why investing should never be impulse-driven.