Famous actors are coming out of retirement because they need money

A headline that I got to be honest kind of caught me off guard. Jim Carrey came out of retirement because he needs money. Well apparently he's not the only one. Al Pacino, Hugh Grant, Nicolas Cage, Harrison Ford. These folks, they can't retire with all the cash that they've made. How can the average American? I'm going to bring it out, Mattson Money Founder, CEO Mark Mattson. And Mark, what is going on? Listen, we saw Mike Tyson, we knew Mike Tyson had to take the fight and maybe not win the fight, but he was in a dire situation. No one thought Jim Carrey was in that situation. People are looking at this like, how can I ever retire if these guys can't retire? Well it's a very difficult thing to do for apparently not only normal everyday Americans, but for celebrities. And it's because of the nature of money itself. Money can't make you happy. If you look throughout history, you can see people like Elvis Presley, Marilyn Monroe, Prince, John Belushi. I mean, Howard Hughes at the time, the richest person on the planet. They were very miserable, very unhappy. You know, you had Jim Carrey said, I have enough. I've done enough. I am enough. But apparently he doesn't have enough and he's going to have to go back and work like many people that go into the retirement thinking they have enough and they don't. So and we know to your point, more people are working longer, they're coming back out of retirement. So is it a myth? I mean, is there is there a path to really retiring comfortably? There is a path, but it's a difficult one and right with a lot of danger. So I always tell people, look, most people dramatically underestimate how much they're going to need. There's a rule of foreign financial planning for percent. It basically says for every million dollars, you can basically take $40,000 a year in income. And that's if you make absolutely no mistakes in your investing process. So most people don't want to retire on 40,000. So, look, if you're going to have 120,000 a year, you're going to need three million bucks. And most people are dramatically under that. And then the second thing that do is they take way too much risk in their investing process, often losing up to 50 to 75 percent of their money right when they need it the most. Well, I know that you've created what you call the American dream experience. So how does that work? Yeah, it's that's a two day workshop that we created to help people understand the dangers of of how the toxic investing. We teach them the academics behind investing and then how to plan long term. Look, we're in a very precarious situation from 95 to 2000. The S&P made on average of 22 percent a year. The Nasdaq made 45 percent a year. And then we had a 50 percent crash in gross stocks and a 75 percent crash in tech stocks. I'm not saying that history repeats itself, but it often rhymes. And people are going to have to get much broader diversification, analyze the risk in their portfolio and truly understand the academics by how to do this instead of just gambling. So then before I let you go, is there also a spending component to this? I mean, is there sort of, you know, because when the market's running the way you describe, we also have what they call the wealth effect and we feel like we've got a little bit extra because check out my account and we go and spend money not from cash flow, but on the assumption that we've got it and all of a sudden is not there. Yeah. It's extremely dangerous. You know, look, the reality is that investing is a dangerous game. Playing the market itself is dangerous. And I always tell people, look, you want to invest in the market long term, not play it. No one knows when the next Boeing is going to hit. Who would have ever guessed Boeing would lose everything? They made planes that crashed themselves. Doors flew off, had massive, terrible problems. Many companies have gone bankrupt. Broad diversification in large stocks, microcap value in international and hedge your equity risk with high quality, short term fixed income. That way, if the market does take a 50 percent hit, you have cash to rebalance and buy that while it's low. And don't spend that. You know, a lot of people are getting money from their parents when they die. They don't even reinvest it. They buy Ferraris and new houses. Yeah. And let's face it. Jim Carrey always had the Groundhog movie and, you know, in case of emergency, break glass. Right. All of those actors got like, I can do part four to that movie. So most folks don't have that availability. So let's do it the right way. Mark, thank you so much, my friend. Appreciate it.