hi everyone. welcome to "on the money." i'm becky quick. are we too dependent on computers? what happens when they stop working. less sons on giving. crowd funding could be the answer. don't do this. four retirement mistakes to avoid whether you're four years or 40 years from relaxing in the sun. turns kids from communist cuba into young entrepreneurs. innovation, incubation and internet. "on the money" starts mow. now becky quick.

computers are becoming more and more part of our everyday life from cars to homes to backbone of our financial system. they are here to stay and becoming more and more connected with each other whether we like it or not. what happens when things go wrong by accident or be by design? that is our cover story, "the rise of the machines." computers can now lock your door, feed your pet, soon take over behind the wheel. it's known as the internet of things. machines and computers communicating to make everything in our life smart. it's on the rise. machines connecting to the web outnumber the world's population. 50 billion things are expected to be connected to the internet by 4040. the gauge at the way information is gathered is supposed to preedict train accidents,

prefigprfight disease. what happens when they don't work? even your car can be hacked. in a video, hackers showed how they remotely gained access to a vehicle's remote system even the brakes. >> when you add more code, you add chances for vulnerability. we wanted to prove you could compromise a vehicle for physical control over broad range. whether computers break down or broken into, we can see the damage that can follow. as machines get smarter, is technology getting away are from us? the coauthor of "the second machine age." martin ford, author of "rise of the robots." thank you both for being here. this is something we know well. it seems there's a new hack erved that the point. i wonder what you think about

that. it's not something i used to worry about. it is something i worry about now. am i right to worry? >> you're right to worry, but let's not get carried away. complex systems fail. they always have and will continue to do that. they fail less often and when they do it's less catastrophic. >> failures are one thing. the other thing we worry about is allowing hackers to get into things they didn't have access to so easily in the past. what do you worry about more, failures or hackers? >> it's tremendous increase in complexity and interindepende e interindependence. it also means more use for hacking. i think this is inevitable. we'll have more connections. the solution is going to be more

the technology. we'll make systems smarter, more capable so they can diagnose and protect themselves. that's the only viable solution to this issue. it's going to be a real issue going forward. >> that sounds like the right thing, teaching machines to be smarter and smarter. we heard from people like bill gates, stephen hawking and elan musk that worry about artificial intelligence and that it could be a threat down the road. do you worry? >> i heard from an actual ia researcher. they said that's like worrying about the population on mars. we have a lot of time before that's a realistic threat. we're getting ahead of ourselves given the challenges we have on grand to be worrying about matrix or terminator.

>> bill gates says ten years. that doesn't sound long to me. >> ten years sounds quick and 100 sounds very long. we have global warming to deal with, stagnation of middle class. killer robots are so far down on my list -- it doesn't keep me up at night. >> i will give you, it's not the killer robots i'm necessarily worried about. if you've seen the the video of cars being taken over, you think we used to fix our own cars. now i can't fix anything before i take it to the mechanic. he's got to plug it into a machine before we can diagnose what's wrong. things are more complex. it leaves us open to people being able to do terrible things. >> that's different than saying all of us are going to be compromised because of this complexity. my financial assets, like a lot of americans, my financial

assets are online. i do a lot of banking online. i don't think i'm going to wake up one day and have those gone. the other thing we need to keep in mind the threat with the jeep were demo of people trying to call attention to it in order to fix the problem, not crash cars or take control of the transportation system. relief for me comes from the fact a lot of smartest hackers are wearing white hats and on the side of good guys. >> martin, why don't we focus on that. what's the good? what's the promise, hope you have or what we'll be able to do because we're so much smarter with technology? >> it's tremendously promising. we'll live in a world everything is connected, efficiency is increased dramatically across the board. our gadgets all tack to each other. there's huge potential in terms of saving energy, in terms of making things run more

efficiently and more safely. and so there's terrific amount of potential the. we shouldn't let that be stopped from happening. it's definitely an issue we'll have to confront the technical and regulatory solutions to it. >> martin, andrew, thank you both. >> thank you. >> thanks very much. now here's a look at what's making news as we head to a new week "on the money." america's economy created 215,000 jobs in the month of july. that's a strong nb and in line with economists expectations. numbers for previous months were revised higher. the unemployment rate held steady 5.3%. this data could give the federal reserve the sign the economy is strong enough to raise rates at next meeting that comes in september. that news sent stocks down in early trading friday after hitting six month low on the week.

auto sales were on a roll last month. ford increased 5%, gm 6%. toyota was up half a percent and chrysler up a sixth. all came in above expectations rve. a study shows auf s office temperatures are set by men. they are caused to be warper. ideal temperature for women is five degrees hi higher than men and next, 11 school charity. and common mistakes you should avoid. right now as we head to break, take a look how the stock market ended the week.

15 years ago, charles best was teaching history in a bronx public high school, spending his own money to buy supplies his students needed. the school couldn't provide. in the earliest examples of crowd funding, he launched a website where teachers asked for classroom needs and donors funded those directly. ceo of donors choose.org, thanks for being here. >> thanks for having me. >> you launched in 2000. over that time, $344 million has come in. are you surprised by the amount of money? >> totally surprised. when we launched the website, we want a wanted a way for teachers like myself and colleagues to tell the world about art supplies, field trips, for people to

support the classroom. we had no idea it would grow. >> have the fooneeds changed ov the time? >> half the projects on our site request basic materials. copy paper, pencils, paint brushes for an art supplies. other half are field trips or butter fly cocoons for students to see the life cycle. it's out of the box projects. >> that hasn't changed over seven or eight years we've been in the supposed recovery mode. >> we still see classrooms that do not have basic materials as expressed to teachers who's projects are on our site. >> that's incredible. donors choose. it's filling the gap left after federal, state money is spent, local money is spent. i wonder do you think funding

has gotten a lot worse over that time? is do you think we're not allocating enough money? > >> we see schools all over the country dollars are not reaching the school or classroom. we see students that do not develop the love of reading or have the supplies they need to love art. >> is this 10% of classrooms, 20? >> teachers at 63% of schools in america have created requests. not all are basic materials. it does show that whether it's a teacher who is a fundamental classroom need or simply idea for making their classroom a more exciting place, the majority of public schools have that ed noo. >> you have 15 years of data on how this is done. do you think there's a different way to allocate government

money, or is this all the going to be there? we think policy makers kneed to listening to teachers and kids. people can see which resources are most needed in particular districts, what topics are trending on teacher's minds. we want people to listen to classroom teachers. >> stephen cobert made -- colbert made a huge donation. >> i cannot tell you what it was like for south carolina teachers when they saw all classroom dreams being filled. >> have others come in and donated as a result? >> it has. we're posting exciting growth. 30% year over year growth in dollars giving. that's not just is people giving 10 dollars to people of their choice. companies are seeing our site as a way to engage customers in

supporting local classrooms. burlington is an example. they range from google to gates foundation. >> thank you. i'm blownway by what you've done. >> thank you. >> thank you. find out about life after work. find out about mistakes that may cost you a lasting retirement. and what students from cuba are learning about entrepreneur ship and technology in the united states. he would practice. (bark) they would read helpful hotel reviews... he would practice. (bark) until one day... . book! book! book! book! over 200 sites checked to find the best price. so don't just visit tripadvisor... book! at tripadvisor

if your if your thinking retirement, concerns about access to good health care are usually at the top of your list. minnesota is ranked top for quality of health care according to a survey by www.bankrate.com. we find our personal correspondent for finance. she has four things you don't want to do if you're think ofg trading your business suit for a bathing suit. there's a lot you need to watch. health care tops your list. aren't you covered by medicare if you retire is this. >> a lot of people don't think how much money outside of medicare. yes, you may have some coverage through medicare. that tl may be costs you don't consider you incur. the average 65-year-old couple will need $220,000 in savings to cover their health care costs in retirement. that's a lot of money. you want to make sure that you

start thinking early about how to save for your retirement health care needs. one way is to open a health savings account, hsa. you have to have a high deductible # health care to do this. this allows you to put money away to pay for health care needs today. if you don't have that many, you can take that savings and invest it over the long term and use it later for health care needs and retirement. >> $220,000, that's a lot more than i would have anticipated. >> that's a lot of money. >> is there a rule of thumb to contribute to you're health care plan? >> one of the biggest things is not contributing to the company's matching contribution. that's free money that you absolutely do not want to leave on the take. also, you really needs to try to maximize that contribution. put in as much money as you're able to up to the limit for that

particular year. >> social security is also a huge consideration for people. plenty of people who had this debate, should i take it at 65, wait to 68, wait until 70? how do you weigh when is the right time to start collecting? >> you're monthly social security benefit will be rooused if you take it early at 62 by as much as 35%. your full retirement age is likely 66 or 67 years old. if you wait longer and take the benefit at 70 years of age, you could get 8% more. the rule of thumb is to wait. >> these are all mistakes. are some worse than others? worse potential you could be doing? >> each one mielth set you back a little bit. the one that will really hold you back is having no plan at all. the thing that really stops people from doing it, they find it overwhelming. i have to pay my bills.

i don't have that much money to save. i'm saving as best they can. they don't have a strategy. start small. put away 25 dollars a week. start there and create some type of plan and strategy that will help you be able to reach the type of financial security you want later in life and be able to retire well. >> thank you so much. it's great to see you as always. >> sure. my pleasure. up next "on the money." a look at news for the week ahead. internships and innovation for young entrepreneurs. how ns investors are helping cun students learn the american way.

i liked it. did we just start looking for a house? it looks pretty good, yeah, all right. oh, did you see that listing on zillow i sent you? yup. you see that bathroom? oh well i think that's the one. me too. ok. did we just decide to buy a house? i think so. yay. find your way home, zillow.

show andore on our for more on our show and guests, go to our website, otm.nbc.com. follow us on twitte twitter @onthemoney. macy's khol's and nordstrom are releasing budgets. the treasury budget tells how much is running. i'll give you a guess how much is happening. wednesday marks the 34th anniversary of ibm personal computer. on thursday, retail figures for july come out. that's always an important number. social security turns 80 friday. the number of americans receiving payments in the first year was 222,000. that number today is more than 59 million. it's not a traditional summer

vacation. trading in the beach and sun tan lotion for high speed learning and high speed internet. that's what some cuban students are doing for internship. kate rogers joins us for more. >> cuban americans are starting with high speed internet. >> have you ever had so much wi-fi band in your life? >> the answer from these students is no. a program is bringing four cuban interns for new york city for several week this is summer to learn about entrepreneur ship the american way. miles spencer, tech entrepreneur and angel is funding the program through his non profit caa. students are shadowing, science, technology, engineer anding and math startups at the grand central tech accelerator. >> our vision for the program is have these four kids learn act

innovation here and return to cuba to solve problems in cuba for cuban people. also to serve as it has core for incubator in havana where other like hive minded innovators can gather, get access, mentoring and learn to solve the same problems. >> the former chief of u.s. intersection in havana got the state department and cuban government on board. >> while they have the launch of start hive ups with little more than way identify connection, would cubans jump hurdles with mentor opportunities? >> grand central tech provides mentor ship. the company takes food data and personalizes it for consume hers. >> i personally looked abroad and did internships when i was

younger. i'm very happy to give somebody else a similar experience. >> for some interns like this one studying telecommunications in havana, the technology alone at gtc is something to marvel at. >> you have all the right equipment here. we're equipmentless in havana, so i would love to see all and learn and try to make pass to people in havana and cuba. >> others like gabrielle hope the experience will prepare her to one day run a businesses of her own. >> maybe all start a new company and if it happens to me, i'll be ready. >> the students hope to take what they've learned here and foster internships in cue weather. >> will this internship here continue? >> yes miles hopes to continue to bring students here. the deal is they have to commit

to going back to havana and pick people to sign onto that, get the state department involved and cue bang government to okay it. it's a lengthy process. he hopes to continue the process is there. >> beginning seeds, something that really starts it up. >> exactly. all kids are the same. when i got there, they were on youtube. that's the only thing teens anywhere want to do. >> the videos. kate, thank you. >> thank you. that's the show for today. i'm becky quick. thank you for joining me. next week, why your next omelet could cost you more. worries about bird flu are very real. each week we're "on the money." have a great week, and we'll see you next weekend. >> >> visiting angels knows there's no comfort like the comfort of home. is there an adult you know that finds it difficult to live

independently. in home care for up to 24 hours a day. independence, dignity and quality of life for seniors. quality of life for seniors. visiting

-hauling trash, squashing bugs, -i'll get it. -scrubbing toilets. -that's it. -it's all in a day's work... when you're a millionaire. these folks invest in hedge trimmers, not hedge funds. they turn d.i.y. into r.o.i. and thanks to hard work, incredible passion, and a whole lot of mud, sweat, and tears, they've turned their dirty jobs into filthy riches. -smells like money. -tonight, meet a man who makes a killing cleaning up stuff that can kill you, a second-generation bug zapper building a rich family legacy, and a married couple who made a fortune glitzing up the grimy tattoo industry. they're all coming up on "blue collar millionaires."