Being a professional driver can be very financially rewarding. But if you have poor money management habits, that money can come and go just like that. Financial problems are a terrible burden for any truck driver, leading to stresses that can make life unbearable. That's why our new episode on Life By The Mile is all about empowering you with the tools and knowledge to become more financially literate while also making sound financial decisions to improve your life. Listen to financial advisor Andrew Tisdale now on Life By The Mile, delivered by FreightWorks.
Andrew Tisdale is a financial Advisor at Edward Jones.
a budget is a plan on how you control your money there's two types of people there's people who control their money and there's two there's people who have their money control them manage your income manage your money tell it where to go instead of it telling you what it wants welcome to life of the mile delivered by freightworks one of America's fastest growing podcasts actually produced by Trucking indicted to tell stories I need to do something insightful industry Excellence all here right now this light by the mile delivered by fragrance I'm your host Butch Maltby it is such a delight coming to you every single week now listen make sure you stay through the episode and also subscribe to that YouTube channel you'll get important exciting updates every single week you know it's it's a joy to have you here Andrew Andrew Tisdale you are uh with Edward Jones right yes sir and what what what do you do in simplified terms I am a financial advisor so everybody says well you know what does that do I'll never forget third grade Mary Grace my middle child my favorite but don't tell anybody is this going online they're they're going to see it oh so the world's going to know the World's Gonna I guess I can't keep it secret my favorite of the three um sorry boys but she was in third grade and they you know had to get up and tell what their daddy does and they say what does your daddy do and he says he helps people make money that's good pretty simple pretty simple that's that's good of course you you and I have gotten to know each other because Jim Bishop and I over there at wcab here locally in Rutherfordton North Carolina co-host a radio program every Tuesday and Thursday and you're often in there giving Financial tips and and helps now listen we're we're going to take our time today and we want to lay out very practical ways that truck drivers who make good money can organize their financial life so my purpose is just going to be to ask you some questions about uh about what what what they can do you know we're an asset based carrier we've got 150 drivers or so they travel Coast to Coast you know from a basic financial management standpoint lay out some of the things they ought to be considering one the first thing anybody if I'm just going to say it like if they're sitting in front of me in my office um and the first thing I'm going to ask is how's your budget what how was your budget a budget is a plan on how you control your money there's two types of people there's people who control their money and there's two there's people who have their money control them just a real quick Story I mean this is uh happened I was about two years into the business I had a appointment set of a couple outside of town because they were you know they just didn't want anybody inside their Town knowing their business that's understandable one was an anesthesiologist the other one the couple was a nurse an ethicist for a combined total their income gross was 685 000 a year not many people do that so my point in saying I'm not going to say name blah blah blah anything like that but it's a story and the story shows there's two types of people and so as I went through that first program they said well help us figure that out and the first thing I asked I said well tell me tell me your bank accounts we got checking okay how much is in your checking sixty five thousand dollars wow that's that's really good um it's sitting there not doing anything the wife's bumped him when he said that and she said the reason we're here is because today we got sixty five thousand dollars in that checking account three days from now we're gonna have negative three and we're going to have to finance something again because over time of course they had student loans of course over time they accumulated and they decided they wanted three houses and they wanted jet skis and they wanted four different types of cars some classic cars and some really luxurious style cars to fit their lifestyle things like that and as we went through things then I started mapping out okay what do you have in debt this and that this and that the best thing anyone can do they they took a really good step in the right way they decided they wanted to manage their money and not let their money manage them okay that's that's a really huge issue isn't it Andrew it is it's uh you know I can't give you the the facts of stats but if anyone in America let's just say half the people in America if they had an emergency that demanded them to take out fifteen hundred dollars and pay something right now 50 gonna have it um that's sad and it's also worrisome but that don't have to be that way another thing that I love to tell especially new people that's want to get into Financial advising or anything about creating their own wealth we live in a country that we have that opportunity we have the freedom and I tell a lot of young people because I service people like this is no one in America really has an excuse to not be a millionaire at some point in time my grandfather Thomas Paul Tisdale some people may know him he was the prettiest man in ellenboro according to him the prettiest man in Illinois I love by the way the call around Jim Bishop does at wcab that was on that he was on the call around this man in ellenboro and then sweet thing took his place but any side note I thought I was prettier but anyway that's why I had to move from ellenboro but he told me one time and he said Andrew I want to tell you something you have talent I was 17 years old when I heard a 17 year old my head does this big and I said what do you mean what do you mean what what do you mean he said get to work because I was out there helping him do something right and then finally was taking a break and he said you have the talent to build wealth well I heard rich not wealth but then it makes my head get bigger and he says you've got something that I don't have and I mean I mean this is somebody I've looked up to my whole life and I'm so enamored by who he is and he's an idol to me in real sense he's my God I want to be just like you Papa he said you have two things to be wealthy that you can actually take control of and be wealthy time and discipline that's how we have the opportunity to build wealth how do we do that well through discipline we make a plan we make a budget we decide he told me this he said Andrew is very simple pay God first pay yourself second in other words put it back and then spend the rest spend the rest on that and he said if you get in that habit you get in that discipline you're not going to miss what you put back for yourself and you're also going to do it over time and by compounding and compounding and compounding it's going to grow and your money will work for you instead of you having to work all the time for money you know I remember back in the day uh back in the 80s and early 90s it was the vice president of marketing for a guy named Pat Robertson and he used to say to me Butch there's a miracle and it's called compounding interest compounding interest now that works to your benefit and it works to your detriment right it does so on that story I did find out they had a lot of debt um so you know I have a very high income couple sitting in front of me that most people would love to serve um but they didn't I couldn't I couldn't serve them in a sense of I couldn't serve them to help them learn how to build wealth through my services but I showed them how they could by managing their money and we I showed them if you pay this debt off then you're going to have this access income let's think about that from a numerical standpoint if I'm paying 20 on a credit card if I've got a five thousand dollar debt twenty percent that's one thousand dollars a year I'm just paying in debt to that company
that's almost 100 extra dollars a month that I'm having to pay out just because I'm in debt well guess what if you pay that off what have you just saved in return compoundingly for yourself right you have just saved yourself a twenty percent return by investing to pay off your debt right if you are able to do that and when you do that then you're going to have a compoundingly access income you pay that credit card bill now you have a hundred dollars a month you can do something else with either put it on another credit card put it on a car payment put it on some form of debt and you're snowballing as Dave Ramsey would call it or compounding your opportunity to take more control and have more money for you to control and do what you want to do now now as it relates to truck drivers specifically I mean these are like independent you know Heroes of America Heroes of America they're keeping the supply chain going forward Andrew what would be a handful of just practical things they ought to consider I mean you're talking about people that are working hard driving across America and a hundred thousand dollars for a truck driver is not insurmountable and you look at the look at the average salaries in America that that's a that's a big deal that's well above the median so what would be some practical things you would tell our women and men that are out there making money and driving every day number one let's look at okay from my understanding they get paid between one and four times a month take your paycheck and look at where your money's going I like this analogy money is alive money's a life it's going somewhere do you want to hurt it and go in the right direction or do you want to just let it run free a lot of times when you actually look at your wherever that money is going you're going to realize I don't need that wait a minute I don't need that wait a minute do I really need that do I need to do this every day or can I actually scale it back and do it once a week or once every other day making sign adjustments on that one thing I'll offer anybody anybody that's listening watching I have but very simple budgetary worksheets that basically says okay plan on this percentage of amount of what you bring home and spend it on this and when you do that you're going to realize whoa I didn't realize I was spending this much on this service so what you're seeing is a lot of people don't know what they spend their money on do they they don't it's uh again it's alive it's like cats hard and cats it comes in it goes out let's put it in there unless hurt it into the right places every single dollar has a job every single dollar as the manager of my finances I get to be the one to tell it where to go instead of it saying Hey I want to go over here so I can get this hey I want to go over here so I can get this and all it takes is small adjustments to start with and if you do that again time and discipline if I do that money is psychology I am listening to a very good book the psychology of money right now it is so amazing and
it is all about Behavior Building Wealth is all about Behavior being able to manage your income is all about behavior and it's it's not that we're doing anything wrong it's just we're not putting it back or we're not using it in a way where at some point in time we can actually decide whether we want to continue working or not you know Andrew through the years I I've noticed that it seems the world is organized in different ways so you have givers and takers you have Sabers and Spenders what what have you learned about the people that save and the people that spend yeah you know what I'm asking I do guys I do understand that um the people that are different on savings and save or spend here's another thing another analogy just like that is there's Garden gardeners and there's the garden a lot of times the Spenders are the garden they're looking for they need something they they have to have that affirmation they have to have that fertilization they have to have that tender care and a lot of times we are in a society let's think about it we're in a we're in a society that wants your money we're in a society that says hey if you do this if you give me this hundred dollars I'm going to give this to you right and a lot of times it is emotional affirmation it is emotional opportunity it may be I don't know how many times I've done this myself I'm feeling tired today I need to stop in and get me another cup of coffee I need to stop in you know what I've done really good this week I want some peanut M M's and I walk into the store I get me a peanut m m and two drinks well in today's society how much is that you know that's seven eight dollars so a lot of times the people who are Spenders are those that's Lee seeking affirmation okay things like that now a lot of times too the affirmation comes from those you're spending on I love my children one thing I promised Sarah and I we promised our children is we're not going to give you everything but we'll never deny you opportunity we will sacrifice for that opportunity and there has been times that those opportunities controlled our Behavior in there so a lot of times we do have to look at that now am I teaching my kids the right thing the wrong thing we we talk about that all the time but as a spender for them sometimes I have to look in the mirror and say am I just wanting their affection or am I doing this for their future right right and those that are savers they have one or two things one yes in the same manner they may be saving because I know a lot of people a lot of people in Rutherford County a lot of people in Gulfport a lot of people in Carlisle a lot of people in Morristown right they love the bank one of my biggest conversations is okay when you look at your bank statement and you saved a hundred thousand dollars and it's in there you're never going to see it go down you're going to see it grow just as mighty but if you invest over time you're going to see it really compound right you know big but you also going to see it fluctuate up and down so a lot of times people get that affirmation on what they look at by they saving so where am I getting my affirmation am I getting my information that I am disciplined and I'm saving for my future or I'm getting affirmation because I need something outside of me yeah so so when you look at truck drivers specifically I mean they they are independent self-contained task driven mile after mile is the reason we call this light by the mile it's life by the mile yeah what what are some of the Practical things that our drivers ought to be considering financially and then in a little bit I'm going to ask you to tell me how they can get in touch with you if they want to another practical thing to look at is one I'm gonna I want to encourage them all on this just like my grandfather said you have a talent you have time and discipline if you didn't have discipline you wouldn't get up and do what you do every day if you didn't have discipline I don't know how many of you and I don't understand all the laws and regulations but I can I have had to drive long practice it's hard it's hard work Andrew it's it's it's hard work and you're dealing with drivers weather mechanical issues other drivers handy clients other drivers it's hard it's not easy and you get up and you go and you do and you take time away from your family you take time away from that home so guess what you have you have discipline you've got it so in practical ways let's utilize that discipline that character trait that you all have and let's put it for the benefit for you 10 15 20 years from now because once I give away that dollar it's no longer mine it's no longer mine but if I invest it if I save it it's still mine and it's working for me in that way so practically utilize your discipline and utilize your discipline and number one getting to manage your money instead of allowing the money to manage you but two take the time to look at us okay what I would love to show on my calculator on what compound interest will do you know if you here's a practice the second practical tip and I encourage everybody to do it if you're not doing it did you know that Freight Great Looks Freight works freightworks will give you extra money if you invest in their 401K I found us out if you invest in their 401K they will match up to three percent let's put that in numerical terms if I get paid fifteen hundred dollars a week what is three percent of fifteen hundred that's 45 let's just say fifty dollars if I take fifty dollars a week and I get fifty dollars put on top of that for free week after week after week yep and I only saved half of it great so if I take the discipline to start out with and I put fifty dollars into my 401k every week freightworks is going to turn around and match it right and what happens is as the Corpus of finances grows that that compounded interest is just growing and growing and growing right it's growing and growing and growing that's correct because now my 50 just turned to a hundred here's a rule of thumb the rule of 72. start calculating I know I know sometimes when I drive I think about things I got my eye on the road trust me but I think about other things so if you're out there driving or listening or just sitting and watching I hope you're enjoying it but think about this take 10 no take 72 and divide it by 10. 7.2 very simple so what does that mean something my grandfather also taught me my dad taught me they said the rule of 72 means this take your percentage return divided by or divide 72 by your percentage 10 by 72 that means every 7.2 years 72 divided by 10 equals 7.2 every 7.2 years your money will double and the doubling of the money with compounded interest means exponential over over some time if I take a thousand dollars and in 7.2 years let's just get to it let's get bigger let's get bigger for a second let's say twenty thousand if I got twenty thousand dollars and in seven point two years not by driving but just by investing I take twenty thousand in seven point two years now I got 40. and then 7.2 years later I don't have 40 I have 80. what's double in 80. over a three cycle time frame in 21 years just a twenty thousand dollar that I'd put back now is up to one hundred and sixty thousand dollars right more than I make in a year right by money working for you because you took the time and discipline to put it in this 401k plan and get that match I love I love 401K matching plans or any employment plan that has that opportunity I've had people come in and say Andrew I want to open up a traditional IRA for myself for a Roth IRA for myself the first question I'll always ask them is do you have a 401k they'll say well yeah I got one I said are you are utilizing it are you using that and they'll say no I just want to do my own thing and I want to say I'll be happy to help you however if someone else's money it's
free money it's free money so you know let's go back if I can put in fifty dollars and my employer is going to put 50 on top of that it's free money you know I used to have family meetings we had four children and uh every month I'd have a family meeting and Andrew I would type up an agenda for the family meeting my wife and our four children and I would review things like the family policies with respect to colon bullet bullet bullet sleepovers the computer this that and the other and one part of it was a matching gift program I created for our family where I said dad is going to match dollar for dollar Dad and Mom every dollar you save yeah and you know what my four children only one yeah yeah so I people are and and it was it it's not a gender thing but it was my only son who's now in uh his medical residency at LSU and and the girls just like to spend and I hate to say that but it it was true well think about that if you for parents just listening out there the only practical doing stuff like that so here's something that I set aside for my kids yes one of them use it couple of them don't uh not gender specific but we do talk about it and we do remind them so one you planted a seed I'm planting a seed your parents plant seeds every day what we do how we act what we say right it's Behavior just like money but I did an envelope system and I combined that envelope system based off of the budget that I would be more than happy to share it's so simple and I love Simplicity because Simplicity helps our Behavior change and the budget was they got first pay yourself second you need to save for some clothes we would give them a monthly allowance and say you got to buy your clothes in other words don't come to Mom and Dad said my shoes are broke and I've had this happen I need shoes because my tongue's flopping and now this right there and I said then put some duct tape on and go to school that's going to affect how you perform in gym class that's going to affect you how you look all of that but I'm giving you this amount a month if you would have saved this for your clothes so good instead of good instead of going out and eating with your friends all the time you know why get that 15 meal when you could actually be full and satisfied on the 10. or what if you saved up and you enjoyed that 15 not every day but once a week it means more to you it's more I I was just on a recent crash diet I took sugar out of my diet for three weeks I did was that hard oh yeah that's my wife it was uh we did it together but we both uh could feel the lose weight as a result we did we did we lost them we still got goals to do but you know what we did in in in the specification said no don't do it forever one day a week reward yourself with one Street one treat that's the best peanut M M's I've had in my life right but I used to eat two or three packs a week you did but why did that one taste much better than the other one okay because I actually worked and built up to be able to get that honor it's the same way with money it's the same with budgeting Andrew uh you know we we've got drivers that are from all kinds of different backgrounds they work hard we're a family I mean it's it's something that's different here at freightworks a lot of companies say we're a family we love you we care about you what we do and we're not perfect but we're trying to get better each and every day if you could give just like one or two quick tips for our drivers who listen about their personal finances what would you say I'm going to go back to you control it you uh you all have the talents that my grandfather shared with me and we live in a country where we all have this opportunity you have the discipline if you didn't get up and do what you do every day you you have it so take your discipline and utilize it to your advantage for your future manager manage your income manage your money tell it where to go instead of it telling you what it wants two take advantage of that 401k for your retirement that's part of your paying yourself first it's almost a no-brainer isn't it it almost is but you know what I think I don't quote me yeah y'all can quote me y'all can check me and if I'm wrong tell me but I think almost half of the population that has that opportunity does not take advantage of it but it's because there are other things that are taking control of their money and they come in say I can't afford to do that right now make yourself make yourself you make yourself get up you can make yourself do this and start small but wheeled up and then on the third review it review it with someone you trust have someone that you trust talk about it um did you know that most marriage breaks UPS is over finances because one's going this way one's going this way there's no focus on that I don't think anyone's ever gotten married thinking I want to get a divorce you know what's interesting is January and February are the two highest divorce filing months people hunker down they'll say for the sake of the children if they have children we'll just make it through the holidays and then they vile and it's just it's it's just it's just so messy so you know practical tools Andrew uh saving knowing what you're spending delayed gratification I mean we live in a culture right that wants it all now right and you know what we are dealing with marketing that makes us wanted to know now so but guess who's in control you know they've they've got to discipline you've got to this one I have the discipline inside me you know we have that gift we have that gift and the opportunity is we can take control of that and we can say no dollar you're not going to those peanut M M's I tell you what if you stay in this account then I will let you go and get it on Saturday I I I used to tell our children that no is a muscle that needs to be exercised and there were there have been times where I've gone to like uh you know Golden Corral that's not a place to easily say no to no but but there are times where I could have taken a dessert and I said no because it's like a muscle no is a muscle and pulling out your credit card pulling out your debit card pulling out cash that you shouldn't spend is a muscle Andrew and um you ever heard this too no don't mean never either right no doesn't no doubles no doesn't mean never no today don't mean you can't in a week can't in a month can't in a couple years it just means no I'm not doing this today because I want to do this more I want to have more opportunities down the road and another quick practical tip when you do the budget whether it's through debit card whether it's through credit card do it in a way you can keep track of it it goes back to that having someone you trust you know whether it's a financial advisor whether it's a spouse you know put it in a situation where you can keep track of it because if I keep throwing out my credit card before I know it I have way more than I anticipated yeah and here here here's something that very few people know and and they don't need to know it I don't even own a credit card I work completely off a debit card think about this why would I need credit I don't if I have what I need right I I I personally at this place in life you know I used to like I used to make a lot of money I I don't need more and that's fine but you know what Andrew I I like knowing in the moment do you have it or you don't and do you need it or you don't in a debit card for me works out and works that way you know another another advice I could say to them based on that that's a really good point is if you're ever fixing to make a big purchase to me a big purchase is anything 100 over yeah tires refrigerators a big meal whatever that's just me personally some people may say no it's 50 some people may say no it's 200. but before you make and plan on a hundred dollar purchase wait two days that's good wait two days if you think I want to go out on Friday and I want to go to Ruth's Chris Steakhouse and take my wife that is a wonderful thing wait two days before you planned it wait two days before you and then if you still have it in your heart to go and take your wife or your spouse or that special someone on that go ahead I'm not gonna say don't do that but at least now that no is coming in because a lot of times you get the thought and you automatically do it we got cell phones we got online we can do whatever we want to right now wait two days what if you forget about that that is so good if people want to reach out to you how can they do that best way right now is by phone area code
828-287-9197 call set an appointment um we all have trials in life well guess what you know my flooded office so I can't meet in my office right now but I have people who are allowing me to to meet them in other places set call and you always have a home here at freightworks on poorest Ford Road in Rutherford County that's an honor it isn't I mean I I mean it all right so so uh I'm not sure if you have to declare this as revenue or income or whatever you're going to have the opportunity to get one of two hats this is a freightworks one of course we're in freightworks one Studio around the corner from the uh driver's Lounge great works one cap and then this one over big at the Mid-America truck show it's got the Patriotic theme in the back the leather patch so Andrew we want to give you one of those which one would you like that is a tough choice I I believe I like this one too great all right wonderful you you take that go ahead and put it on yeah can I let me some you know back in 17 when I was told those pieces of advice I got a really big head that is working for your brother is that it that is working that's it this is all right thank you freightworks I'm your host Butch malpe make sure you subscribe to the YouTube channel like share engage Andrew you're given great tips for our drivers we hope to have you back again soon and closing out I want to say thank you to all of them that they were essential during coven you know honestly y'all don't realize but as a financial advisor a financial person I'll look at how many of you are out on the road to know what the economy really is doing you are that integral to our nation roll on your blessing thank you so much my pleasure thanks for watching this episode you know life by the mile delivered by freightworks is one of the newest largest and fastest growing podcasts actually produced by a trucking company now we want you to like and share this episode if you'd like to see more episodes click here and make sure that you subscribe to this channel by clicking here we'll see you there
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