Podcast Episode - Suze School: Your “Must Do’s” (For Right Now)

Right now, a lot of us are worried about inflation, and what the result of the coming tariffs will be on our lives.  In this episode, Suze walks through the steps we need to take now, in order to safe.

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Podcast Transcript:

March 30th, 2025. Welcome everybody to the Women and Money podcast, as well as everybody smart enough to listen. Suze O here.

Now before I begin today's Suze School, can all of you just tell me what was I thinking when I decided to move to a private island many, many years ago? Can you just all tell me that?

Did it ever dawn on me that when you move to a private island that you have to make your own electricity, you have to make your own water, you have to just like bring in everything that there's absolutely nothing here but water and trees. Did it ever dawn on you, Suze Orman?

Anyway, this is my way of saying I apologize for not being able to send a podcast on Thursday, but don't even ask me what happened because I don't even know what happened. But there was a major, major electrical outage on the island. One of our transformers went down. It was bad and it took forever, forever to put it back up again.

The great thing about it was truthfully is that the weather was beautiful. It was cool, so we had our windows open and the wind was blowing and everything was beautiful and it was so incredibly quiet. It was quiet. Nothing was going on. You didn't hear any ringing of anything or nothing. It was silent.

And for those few days it made me really appreciate how wonderful silence can be, because it's in silence that you can hear your own thoughts and you can really focus on important things in life. I don't even know what they are right at this moment, but you can.

It is what it is, everybody, but we are up and running again, and the island is as noisy as ever.

The other noise that's happening in this world is obviously what's happening with inflation. What's about to happen in 3 days from now when the tariffs take effect, and the stock market is not liking it on any level. It's going down and it's going down and it's going down and you know I was watching my favorite little stock Palantir.

And I was watching it go from 85 to 90 to 95 to 97, and for a second there I thought to myself, Suze, why didn't you buy more at 85? But when I was going to buy more at 85, I thought to myself, Suze, you own enough of that stock. You don't have to own more of that stock. Don't buy any more of that stock. You own as much as you want to own of that stock. And then I thought, OK, but watch, it's probably going to go up to 100 or 125 and so forth. And of course on Friday I watched it go from like 95 or 97 back down to 90, back down to 85, back down to 84.

And that reminded me of when you have designated for yourselves an amount of money that you want to have invested in one particular position, don't get greedy.

Don't think just because a stock is going up and you see it going up and you really believe it's gonna go a lot higher, that means you have to put more money into it.

And I found myself, everybody getting suckered into that possibility.

And I'm so glad that I didn't because I really do own enough of Palantir. I really, really do, and so does KT and there are so many other incredible stocks that are taking a serious beating right now.

That it just makes sense to maybe start buying other things and diversifying even more.

So the question becomes, have you decided on the amounts of money that you want in every single investment that you have?

So that you don't get suckered into what I almost got suckered into, which is every time it goes down, I should buy more.

Because even though I know dollar cost averaging and value cost averaging is a very important thing for all of us to continue to do.

There comes a point when it's an individual stock, not when it is an exchange traded fund or a mutual fund. Different because that has total diversification within it. But when it is an individual stock, I really think you all, including myself, need to set a total of how much money do you want to put in one stock and risk it.

I think it's an important thing for all of you to look at your portfolio and write down for each individual stock you own how much is the total that you want in that stock.

And then that's the amount that your dollar cost average or value cost average every single month into it.

Cause things are changing right now.

People are not happy out there. People are absolutely scared to death, and I have to tell you rightfully so.

You know, there were some articles that were posted on my Facebook page about how to collect Social Security at 70, and I still think that's the time to collect, and the people that badgered those articles, I can't even tell you like what's wrong with you, Susie Orman? People should be claiming Social Security right here and right now because who knows if Social Security is going to be around to claim.

Do you really think everybody just because you claimed Social Security?

That that means you're not subject to them cutting your Social Security. Do you think that? Or do you think that it's possible that they're scaring all of you into claiming Social Security earlier so they don't have to pay you bigger benefits at times goes on? Do you think that's possible?

Because if they're going to cut, they're not going to cut the people who are already getting Social Security or qualified to get Social Security. What they're going to do is, like I told you before, they will postpone the age that you can get your Social Security. That is how they will affect you more than anything else. So for those of you who are just saying, I'm going to collect now, it's not going to be here for me to collect, stop thinking like that.

Stop it.

Cause you could be sabotaging your financial future. All right, I need all of you to seriously calm down. If they were to do something like that or if Social Security all of a sudden stopped sending you checks because the whole system crashed, there would be such an uproar. I can't even tell you. Social Security is the foundation of 70 million people's financial future.

That is a lot of people, everybody, and it's the future of many more millions people who aren't even claiming yet.

So if it happens to go awry because the systems have been stripped or whatever, they have to fix it and they have to get it back on board for all of you. But don't start claiming at 62 because you don't think it's going to be there when you're 67.

Don't claim at 67 when you were going to wait till 70 because you're afraid that if you're not already claiming that therefore you'll maybe be cut.

So please you're all driving yourself nuts now is it possible?

That given how many people they have laid off.

That Social Security is going to be incredibly difficult to get, meaning apply for, to get your questions answered, to do all of those things. Oh, you bet it is. I'll be the first to tell you that, but then you have to work within this system.

You should all seriously be calling your Congresspeople or your senators and saying, please don't fire the people who are working for Social Security. Please don't cut off the phone lines. Don't do those things.

So if you're worried about this and you're scared to death, then you have to use your voice so that you're not afraid. What have I told all of you that the main way to conquer fear is through action.

Not to get more and more afraid, not to take the wrong action, but to take actions that absolutely make sense, and that is to don't let them fire those people, don't let them close down all the offices, and just because they've closed them down doesn't mean they're going to keep them closed down.

But your job is to make sure that you have everything, you have your records, you go to MySocialSecurity.gov or whatever it is, and you go to My Social Security and you have everything that you need to know.

And that you know how you're going to apply when you need to apply, and you have figured all of that out.

But we actually have on some level, kind of bigger problems, everybody than that right now because we're not exactly sure what's happening with Social Security.

We know they're going to mess with it somehow, but I think everything should be OK in the long run. What's really going to mess with all of us right now are the tariffs that are going to take place within 3 days, which is one of the reasons that you see the stock market absolutely tanking itself.

That and the fact that inflation is coming in higher, consumer confidence is lower, all of these things that are going on, the stock market doesn't like it. So because tariffs are coming, and that means that the price of things you use every single day may be going up, then you need to prepare yourselves. You need to know exactly what you must do right now.

In order to understand, oh, things are gonna go up, so what should I do to make my money make more money? Take out your Suze notebooks, all right.

Number one, I really do want you to review your spending. I do.

I want you to print out your last month of bank and credit card statements, and I want you to get out a highlighter or your app or whatever you use and go line by line, and I want you to really know where is your money going because as things get more expensive, you're going to need to know where do you cut back, especially if you're living paycheck to paycheck.

Is your money going to groceries? Is it going to Amazon? Is it going to eating out? I want you to know the categories where a price hike is going to hit you the hardest, because let me tell you, if you're already spending more than you make, which most of you are, tariffs are going to push you further into the danger zone. So you have to look at everything that you're spending money on.

And think about where are the tariffs going to hit me the worst and how do I cut back. You just need to know where is your money going, and I know many of you think you know where it's going, but it's a whole other thing when you see it mapped out in front of you.

Number 2: Stock up on the essential things right now. Now I'm not telling you to go and be a hoarder, but I am telling you if you know you'll need it anyway, and it's not going to spoil, believe it or not, Suze Orman wants you to buy it now. What kind of things?

I want you to buy paper towels, laundry detergent, toiletries, pet foods. If it is imported or contains imported parts or ingredients, it's likely to go up in price. So how do you make your money, make more money by being proactive, not reactive? That's how you stay ahead.

Number 3: Time your big purchases wisely. Now listen to me. If you've been thinking about buying, for instance, a new fridge, a laptop, or a car part, or even a car, you are not to wait.

A 10 to 25% price hike on certain goods could be just around the corner, everybody, it could be 3 days away. I don't know when it's actually going to hit the price of the goods that you're buying, but it's going to do it. But the important thing, however, is do not go into debt to buy something.

Just because you're afraid the price is going to go up, do you hear me? Only buy it if you have the cash. So don't go into Costco or wherever you go and take out your credit card and go, I'm going to buy everything right now cause it's cheaper right now, and I'm going to rack up credit card debt and then you end up paying 18% on your credit card because all you can do is pay the minimum payment due. No, that doesn't help you at all.

So if you're planning to finance something, let's say you're going to use a credit card or whatever, you have to make sure it's at a 0% interest rate.

So there are credit cards out there that you can get at a 0% interest rate and that you have a solid plan to pay it off in full at the end of every month when the bill comes in. If you can't do that, guess what then? You don't need it right now. Are you hearing me?

4. I need you to guard your emergency fund like it's gold. You've been looking at gold lately at $3080 an ounce, it's precious right now, it's valuable.

You know, I want every single one of you to have at least 8 to 12 months of must-pay expenses saved, not in the market, not in a CD, but in a high yield savings account, ready to go.

Remember how many times have I told you that money that you may need within 5 years is not money that belongs in the stock market.

So you have to be prepared because if these tariffs really do take a toll, if the market does continue to go down, if all the prices on everything start to go up and you find yourself that you're really not able to afford things anymore, you need that must pay expenses fund. Have you been working on it? I've been telling you this forever because it's your buffer.

It's your peace of mind, right? Tariffs and inflation and job uncertainty is here. It's here right now, everybody, and you want to be protected.

Number 5, at times like this when you all are freaked out and I want you to stop being freaked out, you have to stop emotional spending.

I have found that when things get tough, oh, you just go and buy and by and by, cause that just makes you think that you're gonna soften everything up. You'll feel better for a little bit until the bills come in.

So some of you hear this news about tariffs and think, well, I better live it up while I can. Is that any of you? Better not be.

But that's not the smart thing to do. That's not strong, and that's not being secure. And what is the goal of money? It's for you to be secure. You don't spend to feel better. You prepare to feel better. You want power. You want control. You want that by being financially prepared.

All right.

So I know I'm on a rant here. I can tell I'm like going a million miles an hour because the emails that I'm getting have infused me with your fear, your anxiousness, your not knowing what to do, and you're just so freaked out. I need you to stop.

Just stop.

And you need to understand that if you've been listening to the Women and Money podcast and if you've been doing everything that I've asked you to do, you are more than prepared for what possibly could come the next few months.

And I don't know what's going to come the next few months. Nobody knows what's going to come the next few months. So these aren't just nice do tips that I'm giving you here. They're just not. These are what I'm calling your must dos, just like I say you should all have the must-have documents. These are your must dos, and I believe from the bottom of my heart that the more prepared you are, the more peace you will have, no matter what happens with the economy.

And again, how many times have I said to you, the government can't save you, the economy can't save you, only you are going to save yourself. So stop listening to the news, stop listening to everybody freaking out what you have to really, really do.

I come from a place of power and get ahead of everything that is absolutely possible. That's what you need to do. So you just need to stay in your power now. I will be the first to tell you.

That these tariffs they can and they have been shaking up the stock market, especially in sectors that rely on international supply chains. So that means I want you to think about tech, auto manufacturing, even retail.

Why not look into your 401k and your Roth IRA and your brokerage accounts and just look at what you happen to be invested in? Do you even know? Don't just blindly put the money in a target date mutual fund that you picked 10 years ago. You really need to just look at what investments do you have. So this is the perfect time.

For you to take account and really go through everything, not just your monthly expenses like I asked you to do a few minutes ago, but every single thing that you happen to have been invested in. And if you're too concentrated in just one sector or one country, now is the time you might want to think about rebalancing. Next, diversify, diversify, diversify, and I've told you this before.

If your portfolio is overloaded in one area, especially one that's vulnerable to tariffs, then I have to tell you you're not protected right now. So make sure that you really do have a healthy mix of investments, everybody, which is why a broad-based Standard and Poor's 500 index fund or the Vanguard Total Stock Market Index fund or VOO, whatever it may be, are fine things for you to be invested in.

But you want US based companies. You want some international exposure, but not too much. I've told you forever you want dividend paying stocks. In my opinion, you want some of your money in Treasury intermediate bonds right in there. And so those are things that you just need to know, but you have to keep investing, especially in your retirement accounts as markets go down.

As prices keep falling like I told you, you should be so happy, especially if you have years until you need this money, because with every contribution, remember, dollar cost averaging, which is your best friend in a volatile market, the more the market goes down, the more shares you buy, and the more shares you buy when the market goes up, the more money you have. So when you're investing in a Roth 401k.

And that money is coming out of your paycheck. It's not the same as when you're outside of a retirement account and you're putting money from your actual cash or whatever into an individual stock where you need to decide the amount of money you want in it. In a 401k, you have continuous money coming out of your paycheck, usually into a diversified ETF or mutual fund.

So you don't have to worry when the markets are going down. You just continue to do it and do it and do it and do it and do it. It's just that simple, so very different than individual stocks for those of you who have years until you're going to retire, we may be entering one of the best years for investing of your life's, believe it or not.

So it's important that all of you kind of have different buckets. You have a bucket of cash and short term needs. You have a bucket of income producing investments. You have a bucket of long term growth. So if all of your money is in the market and you're retiring soon and it's all in growth and you need income from that money.

You might have a problem. So what I want you to do is I want you to really look at it and go, where is your income going to come from if these markets go down.

So what is the bottom line here, everybody?

Tariffs are coming.

I don't want you to ignore that, and I also don't want you to panic because panic is not a financial plan.

So let me just remind you of the three most important things that I want you to do right now.

Number 1, get honest about your spending. You can't protect your money if you don't know where it's going. Pull those statements and trim the fat, cut the waste and only spend on truly what matters.

Number 2, protect your essentials. Stock up on what you know you'll need. Make smart buying decisions. And if a big purchase is coming, don't delay, but don't go into debt either. Be strategic, be thoughtful, and be in control.

And number 3, stick with your investments, but don't fall asleep on them. You must know what you own. You must diversify. You must keep investing, especially in your retirement accounts. Please remember that volatility, are you listening to me? is a buying opportunity, and if you can stay calm, stay consistent.

And let me say this again. Don't touch your emergency fund. That money is your safety net. Remember that. That is your power, and nobody takes your power away, not even with tariffs. Do you get it, everybody? What is my saying for this year? It's about how do you make your money, make more money.

I just gave you a whole lot of things for you to think about and for you to do.

And I did it in a very fast and powerful way because I want you to take action.

Because the tariffs are here and things are going to get considerably more expensive, considerably.

So don't put things off if you need to do them. Now is the time, right? So until next Thursday when Miss Travis, God willing, with power on this island, joins us again for Ask KT and Suze Anything. There's only one thing that I want you to remember when it comes to your money, and it is this people first, then money, then things. Now you stay safe. Bye bye now.