Latest news with #Orman
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13 hours ago
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Suze Orman Says You Need This Game Plan If You Want To Consistently Build Wealth
Everyone wants to know how to build wealth successfully. There are so many financial podcasts that claim they know the one secret that will generate wealth. This might be disappointing to hear, but there is no quick trick to making loads of money. Instead, financial advisor Suze Orman stresses that building wealth starts small. Trending Now: Read Next: On a recent episode of her podcast 'Women & Money (And Everyone Smart Enough To Listen),' Orman said the strategy behind amassing wealth is to start saving and investing as much as you can, as soon as you can. 'Do you want to be consistently building wealth for yourself? … Then your game plan has to be one of savings versus consumption… It's over time, that true wealth can be built,' Orman said. This can be as little as $50 a month. Orman said this works because of the interest your investment will build over time. Read on to find what investments Orman considered the best choices so that you can start growing your net worth. Orman has had personal success by starting to invest in an annuity 40 years ago that has netted her more than $700,000 in interest to date. An annuity typically works by making an agreement to pay a specific amount each month for a certain period of time. Over time, the annuity gains interest, or might be invested in stock and you can access the full sum at a later date. Check Out: Though some people might be worried about investing in the stock market right now after it's seen some volatility, Orman said stocks are still a viable option, as long as they're not your only option. In order to make the most out of investing, Orman said it's important to invest in a lot of different entities. She suggested spreading your money across the exchange-traded funds (ETFs) on the stock market, real estate, bonds and gold. For stocks, Orman suggested investing in anywhere between 25 and 50 different stocks. This is why investing in an ETF can be helpful, as it automatically puts money into several different stocks. When it comes to picking stocks, Orman suggested putting money toward large growth stocks, rather than value or small cap stocks. Highly-recommended growth stocks right now include companies like Nvidia, Eli Lilly and Co., and ServiceNow. Orman also recommended the 'Magnificent 7' stocks, which include Apple, Microsoft, Amazon, Alphabet, Meta, Nvidia, and Tesla. In the podcast episode, Orman said she frequently gets asked if Bitcoin is worth investing in, and she said she believes it is. 'This certain age of investors have a total addiction to assets like Bitcoin. When I see that, and I see stocks like Coinbase, which happens to be the entity that many of the cryptos are traded through, being added to the Standard and Poor's 500 index, that just says to me the writing is on the wall,' Orman said. She cautioned that she doesn't think it's recession-proof, and that if the stock market is going down, Bitcoin will follow. More From GOBankingRates Mark Cuban Tells Americans To Stock Up on Consumables as Trump's Tariffs Hit -- Here's What To Buy The New Retirement Problem Boomers Are Facing This article originally appeared on Suze Orman Says You Need This Game Plan If You Want To Consistently Build Wealth Sign in to access your portfolio
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a day ago
- Business
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57-Year-Old Inherits $7 Million After Husband's Unexpected Death — Suze Orman Tells Her 'Do Not Touch This Money' For At Least 6 Months
When a big inheritance lands in your lap, your instincts may tell you to start making "smart" moves—buy the house, hire the advisor, set up the portfolio. But Suze Orman has one word for you: don't. On an April episode of her "Women & Money" podcast, Orman gave a sobering but powerful message to anyone facing the emotional chaos that often comes with a sudden windfall. The episode focused on a 57-year-old woman who had just lost her husband and was trying to figure out what to do with a $7 million life insurance payout. "She was left to the tune of $7 million," Orman said. "Now this woman has never dealt with $7 million in her life." Don't Miss: Hasbro, MGM, and Skechers trust this AI marketing firm — Maximize saving for your retirement and cut down on taxes: . And Orman's advice? "You are to do nothing other than keep this money safe and sound," she said. "Except obviously pay off debts and things like that, but nothing besides that. For at least six months, one year or two years after suffering the loss of a loved one." Orman's reasoning is deeply rooted in psychology—and experience. "You may feel like you are making the right decisions and that you know what you're doing when it comes to money that you've never handled before, but I'm here to tell you," she said. "You are not in your body. You will get taken advantage of possibly, but you will not be doing that which you should be doing with this money." The woman, a mother of four—ages 21, 18, 16, and 12—was three months into grieving her husband when she initially reached out to Orman. At that time, Orman carefully guided her to place the full $7 million into a treasury money market account through a reputable brokerage firm, where she'd earn around 4%–5% interest with minimal risk. The instructions were crystal clear: "You are to do nothing. Do not touch this money. You are just going to let it sit there," she said. Trending: Can you guess how many retire with a $5,000,000 nest egg? . But that didn't last. Months later, a financial advisor from that very brokerage firm contacted her and convinced her to split up $2.4 million into two annuities—$1.5 million in one, $900,000 in another—and planned to invest the rest in stocks and bonds, leaving only $1.5 million in the money market account. Orman was livid. "Nothing upsets me more than that," she said, referring to advisors who act in their own financial interest before a grieving client is emotionally ready. "We all deserve to know what to do with money, to be taken care of, to not have some financial adviser do things with people's money when they're not ready to do it just 'cause this person may make more money or his firm may make more money." So what should you do if you suddenly come into a large sum of money, whether from an inheritance, lottery win, or sale of a business?According to Orman: slow down. Park the money somewhere safe, like a treasury-backed money market account. Let the dust settle before you make life-altering decisions—especially ones driven by outside "experts" with a commission in the balance. Financial planners often say one of the worst times to make big decisions is after a major emotional event. Behavioral economists call it "decision fatigue." Grief only amplifies it. That said, there's a valid counterpoint: waiting too long to make any moves can expose your money to inflation risk, market shifts, or—ironically—bad advice from friends and family. The key is balance. Take Orman's advice as a mandate to protect your money until you're mentally ready, not a reason to ignore it completely. Because $7 million is a lot. But peace of mind? That's priceless. Read Next: Here's what Americans think you need to be considered wealthy. Image: Shutterstock Up Next: Transform your trading with Benzinga Edge's one-of-a-kind market trade ideas and tools. Click now to access unique insights that can set you ahead in today's competitive market. Get the latest stock analysis from Benzinga? APPLE (AAPL): Free Stock Analysis Report TESLA (TSLA): Free Stock Analysis Report This article 57-Year-Old Inherits $7 Million After Husband's Unexpected Death — Suze Orman Tells Her 'Do Not Touch This Money' For At Least 6 Months originally appeared on © 2025 Benzinga does not provide investment advice. All rights reserved.
Yahoo
3 days ago
- Business
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Suze Orman Thinks the Stock Market Will ‘Absolutely Skyrocket' This Year: 5 Types of Investments Poised To Benefit
Suze Orman is feeling optimistic about the stock market. On a mid-May episode of her 'Women & Money' podcast, she predicted that the market could 'absolutely skyrocket' through the end of 2025 and into early 2026, despite short-term volatility. In her view, long-term investors should avoid fear-based selling and instead focus on building wealth through smart, diversified investing. Learn More: Find Out: Orman emphasized the importance of spreading out your investments and staying consistent, especially if you're not a daily market watcher. 'One stock, three stocks, five stocks does not a portfolio make,' she said. 'You need to have at least 25, maybe even 50 individual stocks, so that you could have true diversification.' She recommended index ETFs as 'one of the best ways to invest.' Here are the types of investments she believes are best positioned to benefit as the market rises. Orman expects large growth stocks to outperform in the coming months, especially as the market gains momentum through the end of 2025. 'I think you will find that large growth stocks are stocks that increase in price these coming next few months,' she said. 'Many of the Magnificent Seven, not all, will participate. Some of the FAANG stocks will participate.' While she didn't name specific companies, the 'Magnificent Seven' and 'FAANG' groups include major tech players like Apple, Amazon, Meta, Alphabet and Microsoft — firms that have historically led market rallies. Check Out: Orman pointed to growth-oriented ETFs as a solid option for investors who prefer a simpler approach. These funds are composed entirely of companies expected to outperform the broader market. Two she specifically mentioned were: SPYG: S&P 500 Growth ETF VUG: Vanguard Growth ETF 'Those are ETFs that are made up 100% of your growth,' she explained. 'So you might want to mix a little bit in that for now.' Core holdings in broad-based index ETFs still play an important role in Orman's long-term strategy. Examples she highlighted include: SPY: S&P 500 ETF VOO: Vanguard S&P 500 ETF VTI: Vanguard Total Stock Market ETF 'They're really a blend of stocks,' she said. 'No matter what's happening in the market, you are participating.' Orman explained that while growth stocks may outperform now, value stocks could lead in future cycles, which is why blended ETFs offer useful all-weather exposure. While she once warned against crypto, Orman now believes bitcoin is here to stay. 'There is not a 40-year-old, a 30-year-old that I can talk to that doesn't want to put all their money into bitcoin,' she said. For those interested, she recommended gaining exposure through: IBIT: iShares Bitcoin Trust ETF MSTR: MicroStrategy, which mirrors bitcoin's performance But she warned that crypto remains highly volatile. 'Bitcoin will absolutely follow the Nasdaq 100. … If the Nasdaq 100 happens to go down, bitcoin is going to go down.' While she doesn't see gold taking off right now, Orman believes it's a good hedge against uncertainty. 'Gold is a safe haven, believe it or not,' she said. Her top pick? GLD, the SPDR Gold Shares ETF. She advised avoiding gold miners. 'I think you are better off investing in the ETF GLD versus the miners GOLD,' she said. 'The miner stocks are just not really functioning the way that they should be.' Orman's core philosophy hasn't changed: Consistent saving, emotional discipline and a long-term mindset are the keys to building real wealth. 'True wealth comes when you feel secure,' she said. 'And the reason you feel secure is that you know you have savings to get you by if certain things go wrong.' More From GOBankingRates These 10 Used Cars Will Last Longer Than an Average New Vehicle This article originally appeared on Suze Orman Thinks the Stock Market Will 'Absolutely Skyrocket' This Year: 5 Types of Investments Poised To Benefit Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
4 days ago
- Business
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38-Year-Old Asks Suze Orman Where To Move His Roth 401(k) — She Says Avoid This One Option
Knowing what to do with a 401(k) after leaving a job can feel overwhelming — especially for younger workers planning long-term. That's why a listener named Robert reached out to Suze Orman's "Women & Money" podcast for guidance on what to do with his Roth 401(k) if he ever leaves his company. Robert, 38, said he's been with his employer for 12 years and doesn't plan to leave anytime soon. Still, he wondered if he ever leaves his job, should he eventually roll his money into a Roth IRA, move it into a new employer's Roth 401(k), or just leave it where it is? Here's what Orman had to say — and the one move she advised him to avoid. Don't Miss: 'Scrolling To UBI' — Deloitte's #1 fastest-growing software company allows users to earn money on their phones. Maker of the $60,000 foldable home has 3 factory buildings, 600+ houses built, and big plans to solve housing — Orman didn't offer a one-size-fits-all answer but made it clear that one option was off the table. "Should you roll the money into a Roth 401(k) at a new company? No," she said. Instead, she encouraged Robert to either leave the money in his current Roth 401(k) or roll it into a Roth IRA, depending on what he feels most comfortable with at the time. Her reasoning? Over time, Robert could accumulate a large balance in his 401(k), possibly a million dollars or more. Liquidating and transferring that amount later might feel daunting, especially if he's unfamiliar with investment options in the new plan. Trending: Maximize saving for your retirement and cut down on taxes: . If Robert leaves his job, he'll typically have four options: cash out, leave the money in his old plan, roll it into a Roth IRA, or roll it into a new employer's Roth 401(k). Orman ruled out that last option, so let's look closer at the two she suggested. Leaving the Money in Your Roth 401(k) If the current 401(k) plan offers low-cost investment options and solid performance, leaving the funds where they are could make sense. In her blog, Orman mentions that larger companies often negotiate lower fees — sometimes under 0.20% in expense ratios — which can help preserve returns over time. The downside? You'll have to manage multiple accounts if you switch employers later. That can make retirement planning more complex down the road. Rolling Into a Roth IRA The other path Orman supports is rolling the funds into a Roth IRA. This option can give you greater control over your investments and simplify your portfolio if you're managing several old accounts. But beware: as a Pew Research study highlights, some IRA versions of the same funds found in a 401(k) can carry higher fees, which can cost investors thousands over time if not carefully managed. To keep costs low, Orman recommends using discount brokerages and investing in low-cost index funds or rolling over your 401(k) can streamline your retirement accounts, there are some pitfalls to avoid: Indirect Rollovers: These involve receiving a check and reinvesting the money yourself within 60 days. If you miss the deadline, you may face taxes and penalties. Higher Fees: Not all IRAs are created equal. Make sure to research expense ratios and investment options before making a move. Losing Employer-Only Investment Options: Some 401(k) plans include investment choices you won't find in an IRA or new employer's plan. For Robert — and anyone considering what to do with their Roth 401(k) — the best choice depends on comfort level, investment familiarity, and fees. Orman's guidance is clear: Avoid rolling it into a new employer's plan. Instead, evaluate whether to keep it where it is or roll it into a low-cost Roth IRA that gives you more control and flexibility. As always, it pays to compare your options carefully before making a decision. Read Next:Deloitte's fastest-growing software company partners with Amazon, Walmart & Target – Image: Shutterstock UNLOCKED: 5 NEW TRADES EVERY WEEK. Click now to get top trade ideas daily, plus unlimited access to cutting-edge tools and strategies to gain an edge in the markets. Get the latest stock analysis from Benzinga? APPLE (AAPL): Free Stock Analysis Report TESLA (TSLA): Free Stock Analysis Report This article 38-Year-Old Asks Suze Orman Where To Move His Roth 401(k) — She Says Avoid This One Option originally appeared on © 2025 Benzinga does not provide investment advice. All rights reserved. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
4 days ago
- Business
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Suze Orman Tells 65-Year-Old With $600K Savings And No Debt: 'You Are So Far Ahead'
When a 65-year-old woman named Dottie wrote in to Suze Orman's "Women & Money" podcast, she was looking for reassurance about her retirement savings. What she got was much more: a strong reminder that financial success is about more than just the numbers in your bank account. Here's what Dottie shared — and why Orman believes her situation is stronger than she thinks. Don't Miss: Deloitte's fastest-growing software company partners with Amazon, Walmart & Target – Maker of the $60,000 foldable home has 3 factory buildings, 600+ houses built, and big plans to solve housing — Dottie described herself as a newly single 65-year-old woman in good health. She works part time and brings in about $3,000 a month from her job, along with $1,600 in Social Security. She plans to continue working for another three to four years. Her savings include: $350,000 in certificates of deposit $250,000 in an IRA She owns her car outright, has no debt, and although she rents, her living expenses are low. She even makes sure to enjoy herself and spend on fun activities. Her question for Orman was simple: "How far behind am I in retirement savings at this stage?" Trending: Maximize saving for your retirement and cut down on taxes: . Orman's response was immediate and enthusiastic. "Oh, Dottie," she began, "it's not how far behind you are in retirement savings at this stage. It's how far behind you happen to be in comparing yourself to others." Orman explained that many people judge their financial situation by comparing it to others — those who appear wealthier or live more extravagantly. But appearances can be deceiving. Someone might own multiple homes and drive a luxury car, but still be drowning in debt. "You, my dear, are so far ahead," Orman said. "You have no debt. You own your car outright. You have $250,000 in your IRA. You have $350,000 in CDs, and you're going to get Social Security. Are you kidding me? You are going to be just fine as long as your expenses are always less than the money that you have coming in."Throughout her career, Orman has emphasized a key lesson: your expenses matter more than your income. It's not about how much you earn or have saved — it's about what that money needs to cover. To illustrate her point, Orman recalled her experience doing retirement planning for Pacific Gas and Electric employees. She noted that workers with modest pensions and small savings often fared better in retirement than high-earning executives with multiple homes, expensive cars, and constant financial pressure. For those approaching retirement, Orman's message is clear: don't measure your financial health against others. Instead, focus on your own expenses, your savings, and whether your income will reliably cover your needs. "You are not behind," Orman told Dottie. "You are ahead of most everybody out there." As long as Dottie keeps her expenses lower than her income — and continues to live within her means — Orman believes she's on track for a comfortable retirement. Read Next: Can you guess how many retire with a $5,000,000 nest egg? . 'Scrolling To UBI' — Deloitte's #1 fastest-growing software company allows users to earn money on their phones. Image: Shutterstock Up Next: Transform your trading with Benzinga Edge's one-of-a-kind market trade ideas and tools. Click now to access unique insights that can set you ahead in today's competitive market. Get the latest stock analysis from Benzinga? APPLE (AAPL): Free Stock Analysis Report TESLA (TSLA): Free Stock Analysis Report This article Suze Orman Tells 65-Year-Old With $600K Savings And No Debt: 'You Are So Far Ahead' originally appeared on © 2025 Benzinga does not provide investment advice. All rights reserved. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
