Do you wish you had buckets of money?

ABOUT THIS EPISODE

On today's episode, Financial expert and Amazon best-selling author John Browning talks about having buctets of money and how your buctets help you build a life and not just a portfolio. Growth, Income, Emergency Fund, and Cash. Learn more when you Connect with John by texting "LIFE" to 21000 or GuardianRockWealth.com.

Welcome to the build your life podcast with John Browning. Build your life as a relaxed and unedited conversation with financial expert and number one Amazon bestselling author, John Browning Jones the founder of Guardian rock wealth and serves clients across the United States. John's the author of the book build a life, not a portfolio, a guide to your financial future based on your personal values, which you can purchase on Amazon, or stay around to the end of today's show and I'll tell you how to get a free copy mailed right to your door. I'm Michael The lawn, your host for the next few minutes as we chat with financial expert and business owner John Browning. Well, good afternoon, John Browning. How are you this fine day? I am as happy as a dog in a butcher shop. I like it. I've never heard that one. That's pretty good. I can just see the dog salivating right now. Reminds me of late lady in the TRAMP. Now he was outside of a...

Spaghetti factory, I think, bettery factory. Yeah, but he was salivating pretty good and he was a happy guy. So well good, I'm glad. Hey, you know that would make you happy if you were a dog in a butcher shop. You know what else would make me happy, John? What's that is if I just had buckets of money. Oh, would never be nice. It would be. And you know, I carry around a couple buckets for my money, but the problem is my buckets have holes and the money just falls out. It's a problems. It is a problem. So I'm sure a lot of our listeners would love to have buckets of money, and that's something you want to talk about today, right. Yeah, that's that's something that I talked to clients about on a regular basis. And and which buckets you need? Win, they have multiple buckets. I mean, how many buckets do I need? I want to retain? Well, I know what you can. What you do is you store things in buckets sometimes and you don't necessarily have to carry them all around. Yeah, okay, do tell. You've got me and dright now. Well, I...

...talk about having buckets of money and there for different purposes, because you know, when you when you're in the garage, if you like me, you have a bucket that you kind of use for all your dirty stuff and then you have the buckets that are clean that you may be used for watching your car, and then you've got some other buckets you just store some stuff in. Are you got a different purposes for different types of buckets, and that's kind of the same thing that I suggest people do with their financial planning. Okay, so the bucket number one, I call this buck in number one one, because it's when you're really planning for retirement. This is where you start. Now you need those other those other things like emergency funds, and we've talked about these before on the you need some of those before you really get to the process of really planning and saving for your retirement. But let's go all the way. Let's assume that we're in a place where we're ready...

...to really get serious about our retirement funding. Okay, so the num bucket number one is what I call a growth bucket. And what's Nice, and didn't you do? You always want your bucket to grow if it's full of money, right, that's right, yeah, right, and maybe you need to just multiple buckets here. Right. We want lots of buckets that are full of growth, but it's not the only bucket that you have. But this particular bucket is one that's going to get filled up and it might empty a little bit until this kind to be what I call the volatility bucket. So there's a lot of stuff going on in there and you don't want to have to use this bucket. Okay, right away. Okay, and bucket number two gets filled from that bucket number one, that growth bucket, as it begins to overflow, Hey, m needed for bucking number two, and that's called your income bucket. Okay. So that bucket is funding things that...

...you need right now. Now, some people, if they're not in retirement, maybe they don't need income and there. So that's a pretty small bucket and it doesn't have a lot of resources in it because it's keppt up in bucket number one, which is your growth bucket. But if you're in retirement right now, you probably need something in that income bucket to fund the next six to twelve months. Right, makes sense. So that growth bucket kind of kind of funds that, or gets still fills bucket number two and it provides ongoing like exactly what it sounds like. Funds that ongoing income that you need and that can be for anything, your mortgage, your car, your repairs, your daily costs of living. Can you want to have a different kind of different kind of securities, different kinds of things are in this bucket.

Then are in bucket number one. Okay, that this is anything be more stable, because I don't know, buy you my my bills are pretty consistent every month. It's YEP, although it does seem like they go up, especially recently, but they do. But if you need something that you know, if your bills are fairly consistent, you need some fairly consistent income, right. So you fill that with different stuff, I'll call it. Then you do for your growth buck okay, and make sense. So bucket number three, which is can be filled with bucket number number two or bucket number one, either. One. Right. That's your emergency bucket. That's for when things don't go well, because what happens pretty much all the time. I get surprises. Things go wrong, things break, things break, a CA engine lights come on on your wife's car. Oh, yes, the the know, I came out that came out of the store the other day and I'm looking at my car and one of the tires is just kind...

...of barely has air in it. Go to the sort, you know. I'm hoping maybe, maybe it'll just be a little hole and they can repair for like twenty bucks or something. It will now to holding dis later, two hundred and fifty usually. And and of course you know you can't replace, or you shouldn't just replace one tire because then it's kind of off balance, and so you end up with at least two tires, if not all four. Right, so I suddenly that becomes a big expense that you didn't expect and you're trying to keep your income bucket to be relatively stable. So maybe you've got an emergency fund to bucket number three. That's there, and now this emergency fun bucket. Generally speaking, you wanted to be pretty stable, right. So you want to have that filled with things that you know that money is gonna in general, it's gonna be there. Hey, then whenever you empty it a little bit, right, yeah, unloosen that valve at the bottom of the bucket and you let some flow out to pay for the tire or the medical expense or whatever, you got to refill it.

So when you refill it with either bucking number one or possibly bucket number two, if there's something left over there, right, okay, all right. And bucket number four, now that's things that you are going to need like immediately. You know that this is these are expenses that are next month or within the next three, maybe even four months. Okay, that is exactly like it sounds. Cash and you know live cash in a checking account or potentially even in your wallet. That's your cash fucket. How about that's under my mattress. It could even be under your mattress. And again, we don't want this bucket to be too big because, first of all, I can make your mattress very uncomfortable. It's hard to sleep. Yeah, right, yes, it is not memory. Cash is not good for memory full like they have. That's right. Yeah, okay, so I'm just going to recap see if I got this. So you got, you got for...

...primary buckets you're talking about. Yes, now the big on growth, and as that grows, we're going to spill over and that goes into income. MMM. Then we also have to make sure we have this emergency fund for spare tires and all that stuff. And then you've got the last bucket there, which was just cash. Yeah, all right, we're Autam something you're going to need like in the next two three months and you don't want to have to liquid go liquidate a security or have something that you know maybe blower in price than it was the day before. You know you need x number of dollars to pay for a certain expect okay, so aren't example, because I got to have examples get my head around the vacation. If I know I'm going to take a vacation, I could take money out of either growth or income put it into my cash bucket over a period of two or three or four much to build up cash to say, and now I'm going to vacation and I've got fifty one hundred dollars ever spend on whatever something like that.

Is that what you mean? Kind of, that's that's exactly what I mean. Okay, all right, because that's not hurting my income, that's right, and it's taking off of the growth and it's not touching my emergency front. Okay, that makes sense to think. I just had to get my bearings there. Okay, you notice, what does all this do? It it flows. Yeah, and that's why we talked about cash flow and how important that can be to your life, so that even when you have those surprises that are like, oh, I gotta fix that fire, it doesn't stress you out so that you can live your best life. Yep, I love it. That's not have to worry about those things happening and you don't get so upset about it. Like I wasn't that upset when I saw my tire was a little flat. I knew I had the money in my emergency fund to cover that. And you're right. So two things there too. So I always ask God, what, why do you want to buy...

...a new tire? God, because it's all his money anyway. Rights. I her why you want to buy a new tire. God, I do want to buy it here, okay, but if you want to buy a new tiring by retire, that helps. That helps me rationalize the whole fake that I'm going to be out to fit the old the picture that get your Guardian rock wealth right. Guardian Rock, well Moses in the desert, right when he struck the rock and water poured out and the MUTT that cash flow money in it. That that pictures just came to my mind is with Guardian Rock, we help you, you know, flow your cash with cash, for with water. This point out of your guardian rock probably really bad, but that's the picture that hit my mind. That's all the John is as wise as most. You go there. Well, this, this is really fascinating. What I want to do, John, is I want to I'm really want to pause and I want to go into each one of these buckets in more detail in subsequent podcast in episodes, because I think I really like...

...this, this concept that you have of these four buckets, because it takes what you do, which is, I think, very complex and complicated, and it's simplifying it for me that I can get my head around it. Go, okay, we need to talk about the growth bucket and in in that episode I want you to talk about different strategies or things it might be in that bucket to help it grow. Then we'll do one. Then we'll do one on income and say, okay, as your bucket grows, you get how I think we could do one on each one of these two really dive a little bit deeper on this for bucket analogy. I guess, if lack of a better word, I mean you do so many other things, but to be able to take that concept is so valuable, so so impractical that anybody can get ahold of this. And I know the thing I love about you use you work with people in all aspects of life. You can take a teenager and explain these four buckets to them and they would get it. Now, they may not have a lot of money to grow, but they have a little bit, but wow, what what way to change somebody's...

...life then to explain these so if you're if you're on board for that, if you're up for that, I'd say let's do some more episodes, just round, an episode on each one of these four buckets. That cool, all right, I think that's great. Yeah, let's do it. Okay, you know, I hate to have them, you know, like netflicks and paramount plaus and all the other ones, have the corner on miniseries. So my own mini series on this. How about that? I love it. It's a guardian rock original. That's right, all right, we will be back with episode one, I guess, next week. Right. Anyway, John Browning, Guardian Rock welting. Reach out to John at Guardian Rock wealthcom, obviously by texting the word life to twenty one thousand, and he is a wealth of knowledge when it comes to building a life and not just a portfolio. But he can definitely help you understand cash flow of your money in these different buckets, so stay tuned, John Browning. Thank you so...

...much. Have a fantastic day. I will do that. See you next time. All right, money really is a big part of our lives, and John Browning can help you and your family learn how to keep money in the proper perspective. It's important, but it's only a tool that can help you build the life that you want. If you like, John Emilie a free copy of his book build a life, not a portfolio. Go to John's website, Guardian rockwealthcom, and click the contact to US link and send your request. John Will Mell a copy of his book right to your door absolutely free. Thanks for listening to building your life podcast with John Browning. Be Sure to subscribe to this podcast so each new episode will be sent to you automagically when it's released. Have a terrific day. Nothing in this podcast should be construed as personal investment advice, and past performance is no guarantee of...

...future results. Investing is not appropriate for everyone. There is a risk of loss associated with investing in the markets. No representation or implication is being made that using any methodology or system will generate profits or insure freedom from losses. Please remember that investing carries risk. Guardian Rock Wealth LLC and its affiliates are fiduciary investment advisors. Please consult with US or another experienced qualified investment advisor before making any investment decisions and or trying to implement any of the strategies and tactics we may discuss in any of our publications or podcasts.

In-Stream Audio Search

NEW

Search across all episodes within this podcast

Episodes (129)