Inflation is far more harmful to individuals than a collapsing stock or property market because it directly affects people's cost of living, which they immediately feel. It is not surprising that the current market sentiment is extremely pessimistic. In today's economy, assistance is critical if we are to survive.
I have experienced significant losses, and I am holding on with the hope of recovering them. It is evident that I am in dire need of assistance. Could you please share the name of the investment adviser who guides you?
You can over come inflation by steadily investing in the market, it always beats the inflation index in the long term, inflation is a fact of life, but you don't have to be broke over it.
@@LilT2o00 I never made much, but by working overseas, my company gave me a housing allowance and also a living allowance. This allowed me to save half my base pay very easily.
@@howellwong11 I've always wanted to work overseas though I'm work/skill set is fast food, retail. Don't think we're getting those types of allowances for that, lol. Yet alone flight/moving costs as well.
I'm a millenial and the lockdowns during the pandemic gave me the time and motivation to finally teach myself more about money. I didn't get much help learning financial literacy from my parents which seems common. You are lucky if your parents taught you how to invest at a young age and didn't encourage you to go into debt. Now i have a full emergency fund and an investment portfolio with a pretty decent amount in it...
I learned the majority of my financial education from UA-cam, which is really sad. My mom taught me how to save and be frugal, but that was it. I had to learn online about investing, saving for a house and mortgage, interest rates, etc.
I live check to check because i only keep enough to cover living expenses, the rest goes to fund my retirement savings. I typically save $30k to $40k a year.
@@mattbleiler7294 technically, everybody lives check to check because we all get checks. But that’s not what living check to check means. It means you don’t have enough to save and you’re struggling at the end of the pay period.
If you are saving that much it can't all be tax-concealed because there is a cap on how much you can put into a 401k or 403b each year. The taxed portion you might as well invest.
I firmly believe school curriculums need to include financial literacy classes. My parents didn’t talk about their finances much, and as a result I graduated college with no knowledge of how to manage finances. To make things worse I graduated right in the midst of the 2008 recession. At the time I was told “Any job is a good job right now” and that I was lucky to find a job. The job I found was absolutely terrible, paid $25k/year, and required working 10 hrs a day 6 days a week outdoors in the South in the middle of summer. It was hell and barely paid the bills, but I was “lucky”. I burned out on that job after only 3 months, and the next few jobs I took on were not much better. All this to say, I was dirt poor and in a situation where financial literacy was a necessity to survive. I made a few mistakes over the years, but taught myself and now I’m in a situation where I’m still not bringing in much money but at least I have an emergency fund established and am not living paycheck to paycheck anymore. I’ve also started building up an investment portfolio. I don’t want the next generation to have to go through what I did.
Yes. Life skills have been taken out of school curriculum over the last half century. While parents should really be teaching many of them, the fact is not many have a grasp on basic life skills themselves.
I started out clueless. However, I had this rule...borrow only if absolutely necessary. It turned out, that was what you should be doing. As for saving, many pays monthly bills and spends all of the leftover money. I have different philosophy, even with leftover money. I buy stuff only if needed, regardless if I still have leftover.
They don't teach people because they want slaves for the system and more of the booty for themselves...the elites do not want to share, so they don't let the masses know. Public school education was never meant to create independent thinkers, but to create good working drones/slaves for the system like author and former teacher John Taylor Gatto discusses in his books and UA-cam videos.
I save about 10-15% each month, of which 50% goes directly into index funds and the other 50% goes to building up an emergency fund. I already have a good emergency fund that covers 6 months of expenses but my target is now 12 months and then go to 24 months. My investments in index funds are separate of the retirement savings I do through my employers retirement plan (which is mandatory in the Netherlands).
I would be careful about having the 12-24 months of your emergency funds in just cash with inflation right now. You will lose oodles of it just letting it sit as inflation as we all know is technically in the teens or close to it (despite what govt says). Say inflation is 10% and you had $100,000 in savings...that means you lost $10,000 in just one year when it is sitting in that account. I would instead take the extra, extra emergency fund and stash it in gold/silver you own physically, or do a CD account, or something that will protect the savings from the full battering of inflation. Even when times aren't as awful as now, average inflation rates have been 3.2%.
@JerCasGav I track inflation for the products I buy on a frequent basis. 1 year worth of expenses for me is the current sweet spot as the dutch government is cutting back on social security. With my education I am sure I will get a new job within 1 year of loosing my current job.
@@jercasgav Agreed. 6-8 months is a pretty good max. You could also convert some currency into hard assets like gold and silver, or bitcoin if you are more comfortable with digital assets. Just inflation resistant things outside of cash.
Good video, I just wish more people would take 8:22 mins to learn a little. I went from saving 5% of each cheque to 21%. Just increase a little at a time and you are on your way.
The Dunning-Kruger at its finest at @1:11 . We need to go back to the 1970 rules in credit cards. Max rate was 22%!!! If you are not credit worthy enough to get a 22% credit card. YOU DON'T FLIPPEN need it!! I learned this the hard way! Last housing collapse. My home value went from positive 78K to negative 13K in value. EVEN though I never missed a payment. My credit worthiness hence dropped. All my limits were cut!!!! So suddenly my credit utilization was at 102%!! My bank card raised my rates from 14.75 on an average to whooping 39.99% with now annual fees on the card. Insult to injury I was DOWNSIZED at work to part time!!! I took a job for 8 bucks an hour picking up GOLF balls to improve my income. Never missed a payment. Alot of PBJ and Ramon noddle's! Goodbye Cable. Fought all the way back. Rehired Full Time for while. As I paid off Credit Cards I closed them. Credit Cards when you are closing them sound like a 5-dollar crack whore with no customers. They offer lower rates. No Annual Fee. NOPE!! Goodbye! I only had one card left that always had a zero balance. (Bank of America. I did not like them.) Sadly, I found out when I closed all my accounts my Credit score crashed! Went from a 672 to dismal 490! I used my BOA card weekly just rebuild credit. 20 years later. I have not missed a payment in 35 years! I have a 794 credit score and financed a new car for 7 years at 2% two years ago. (I could have paid cash for it. But I will borrow all day at 2%!!) I always maintained putting between 7 and 14% away towards retirement. I am 58 with 400K in 401k3b's and a smallish pension for retirement. House has been paid for 13 years! Hint! Dividend stocks.
Millenial here and Iverson been back and forth on making enough money. The BIGGEST ISSUE is that we don't have money. We cannot afford to save for retirement. I was doing great until biden flatlined our economy. Barely seeing flat ground now and I'm not worried like some others should be but that doesn't change anything
Roughly £80k in my portfolio are in tech/TSLA stocks, can I get an advice on any other stocks that I can acquire to diversify my reserve across multiple markets while creating a comprehensive portfolio allocation that balances my concerns of risk aversion and returns that meet yearly inflation.
You need to hire a financial advisor to help you diversify your portfolio by including Mutual Funds, Etf's, the 11 GICS groups, inflation-indexed bonds, and stocks of companies with reliable cash flows rather than growth stocks, where prices were based on future prospective earnings.
@@AshtonGrace I'm happy to have stumbled upon this discussion. If you don't mind, could you tell me the name of the financial adviser who helps you with your investments and how I might contact them?
@@AshtonGrace Thanks for this tip. Her website popped up on the first page immediately I searched Maria Teresa Tyler’s name, I read through her resume and it seems pretty tight. So, I dropped a message & hopefully she replies soon.
You can only achieve a certain level of stability with individual stocks. You would have better stability with a portfolio of mutual funds or going with the S&P 500.
Run, don't walk and purchase John Vogle's The Little Book of Common Sense Investing. Read it. Then re-read it. Get your money in broad index funds with low expense ratios. Make sure you get your fair share of the market return. You can thank me later
As the prophesy disguised as a movie called Idiocracy foretold, our tether on self-discipline continues to slip away. The good news is that self-discipline works, even more-so, when average is such a dismally low threshold. As for the student loans, the adage is true that one must live like a student now or live like a student later.
It's all about standards. For me a standard of 65% earnd income saving and investing given my insane privilege, and for the poor, standards of living which they expect or feel they deserve. My tendency of saving and sacrificing wanton spending gave me the financial freedom now to do nothing at all for many years if I prefer it. Perfect financial bliss.
I didn't calculate monthly payment on loans while in school, and I don't see how doing so would have added any value. The key points for fiscally responsible borrowing for student loans is first (and not always the right choice), pick a degree where your earnings will be high, second take out the smallest amount of loans possible by avoiding using debt wherever possible (e.g. work part time to pay for rent/food off campus instead of taking more loans to live and eat on campus), and finally make sure the loans you take are high quality (lowest interest possible). All of those things affect monthly payment amount, but monthly payment does not add any value when calculating those things. Either way the additional income earned from a college degree outweighs the added monthly payments the number isn't what matters unless you also know exactly what your income and costs of living will be when you graduate as well (almost noone does, how would you). Also I should say, finances are only one key point when considering college. Arguably more important is life/job satisfaction so don't take my comment to mean you can't get a degree in a lower paying field if it improves your overall quality of life. The point of finances is to improve quality of life and money is only one way to do that (and isn't the largest factor).
"Either way the additional income earned from a college degree outweighs the added monthly payments....." THAT right there is a perfect example of a blanket statement. Not only did I NOT get a college degree, I didn't even graduate high school. There are TONS of college graduates out there making less than I do..... as well as not earning enough to cover monthly expenses AND student loan payments. You do have some good points in there, too....
A lot of people in the comments have mentioned “forced scarcity”. Implementing that concept has singularly done more for my financial future than anything ever has. In order: retirement savings, HSA, personal investment, liquidity on hand, giving, then budget down to the dollar for living expenses. Living on only what’s left over eliminates the urge to buy things that are frivolous, excessive, unnecessary etc.
My parents were trainwrecks with money, especially my dad. That said, I kind of live paycheck-to-paycheck. I "pay myself first" with retirement savings , then pay the mortgage, health insurance etc. While I wind up saving about 35% of what I make in retirement or paying down my house, I don't leave myself with much liquidity. It's like "how to be a millionaire, but feel broke".
The numbers don’t add up. If half spend more than they earn. How can only 21% not save anything? How can more people be negative. Then at 0? If 0 includes anything under 0?
Since the pandemic, my life has been halted due to lay offs and such. Though I was doing very well for myself and had a nice cushion of money around in case of emergency, I slowly had to chip away at it due to hardships. I got a job that I actually love for the first time 45 days ago and all was going well in the first few weeks. I was picking it up rather quickly...but slowly as I was given work I hadn't been trained for yet, I was making mistakes due to being insufficiently trained and my 45 day review came...its not looking good. Just when I thought things were finally going to start turning around, I am being told that I am not cut out for this job. I was even told I was being offensive by asking for alternative training methods. Now I am certain they want to get rid of me and I am at a loss for what to do.
I'm glad I started learning about money when I was 17. I immediately put the money from my savings into stocks when I turned 18 and rode the wave up in 2019 and 2020. Then I learned about crypto at the end of 2020 and rode that wave up as well. Never cashed out because I'm young and waiting for later in life to cash out. Theres another bull run over the horizon and will be many more in the future. Time in the market beats timing the market. My advice for people who are getting into investing is to not invest any money that you need in the near future. And if you want to maximize that then living below your means so you can put money away works wonders. If you are still living with your parents that is the perfect time to be investing assuming you have a job and very little bills. Final tip is to invest in what you know. It should be more comfortable doing it that way.
I'm pretty sure they mean making enough money that you don't have to worry about not having enough money. No amount of "financial literacy" will enable someone to pull money out of thin air, and I can't help but feel that this video seems to simply be about shaming people who can't afford to save for retirement.
If you don't know where your money is going, you will always wonder where it went. I've had a text file on my desktop for the past several years, writing everything down changed my life! Putting down how much I have coming in every month, then listing all of my expenses, was extremely eye opening. Seeing everything listed at the same time made it easy to realize what I could simply cut back on, what I could reduce dramatically, and what I could pay off entirely. Once all the numbers were in front of me, I was able to finally take control of my money, and I haven't had a single month without a surplus ever since.
@@LilT2o00 You need to call Dave Ramsey and ask for advice. If you haven't heard of him, start listening to his free podcasts everyday until it's etched into your mind that YOU have the power to change the situation you're in.
@YungFeetGod69 internet people give shit advice. Literally the only way to improve on living on the breadline is to earn more & that can take years. I lived on minimum wage or less for over 20 years. I was also terrible with money, bankrupt by 22 & could never get a handle on it. Over time, necessity made me extremely frugal, & half by happenstance, half because of my particular skills gained as a disability support worker, I finally landed some clients that pay me four times as much as I've ever earned in my life. I had no direction, no help, undiagnosed ADHD which made the whole working & spending money thing a horrendous "snake eating it's own tail" situation. Real advice from someone who actually lived on struggle street, is to just decide where you want to end up in 20 years & start taking small steps towards it asap. Half of life is luck - good & bad, half is learning useful skills for free on the internet lol. Best of luck 👍
As someone who does not have any of these problems the sheer number of people living in such insecurity is alarming. The US social safety net is so minimal, and so constantly shrinking, that I worry the US is going to look like the Third World before I pass. The only thing I can say from my own experience is to have multiple income streams, most of them passive or mostly passive.
Where i live: Median single income is $27k. Average rent is 1k for a single apartment. They have $15k left over for food, utilites, car payment, gas, etc. $1250 a month. This is someone making $14/h. Financially speaking in the US "survival" has become an upper class luxury.
The only thing my parents told me was to stay out of debt as much as possible, and that's only because they raked up 20k on credit cards. Everything else I've had to learn on my own.
The wise one with money is often looked down on or made light of. "He is a tightwad, he is very carefull with his money, He has the first dollar he ever made, he is stingy, he is cheap, he is grudging, he is ungenerous ." Saving, living within your means, for some reason is not a positive in most peoples mind.
Ive got 6 months of expenses in my savings and my monthy expenses saved in my checking account plus a 1000 dollars for emergency money. My parents are stupid when it comes to money and spend before thinking. I told my dad i could put down enough money with my credit score to get a newish car for $130 a month and he was genuinely shocked and confused. I dont consider myself that smart with money and i thought my parents were just dumb. But the fact that they are normal and i am leagues ahead of the average person despite my lower income is terrifying considering the future of this country
Why do you have so much money in a checking account where it loses value daily? At the very least, put it in a money market or high yield savings account where it will at least lose value at a slower rate.
Around 30% goes directly into savings and investments while another 20-30% is added to checking. The rest is spent on normal living expenses. Granted, I don't worry about the costs of those expenses as I have zero debt.
I don't make enough to be able to afford to do that. I don't even make enough to live lol i can't put 30% into savings (literally can't afford to live on myincome i also have to sell blood plasma twice a week to make the difference)
I put 35% in my 401K. 25% in regular, and 10% in Roth. I make my monthly mortgage payment and usually an extra $100 the other three weeks unless I have auto insurance, homeowner's insurance, or property taxes to pay.
Lord, that must be awkward. After my dad passed away, he was the one that managed the money, my mom started spending on stupid stuff but it calmed down after a couple months and I was able to skip the awkward talk.
You can not stop this! the reason is because most people have a low or average income. When you have a low / average income you can not save money simply becouse the rest of the population earns more and increase the price of everything due to supply and demand. You can better focus on spending your money to achieve the skills / knowledge to get a job that is upper middle class or higher to break the circle or live a Pius life in the middle of nowhere and save money.
My parents growing up weren't good with there money, doesn't help my dad was unemployed for 4 years after 2008, and not to mention he never had a consistent job until 2017. Even so neither of them took care of their future as they did what they could. Which was be good parents and raise their 3 kids. Seeing my parents (mostly my dad as not being so successful) not be that great with money. It taught me that money is very important. I entered the workforce in 2016. At the time I didn't save any money but did do 401k, and got some stocks via WinCo giving them to me. It wasn't until just before COVID I started saving, the idea I had that sparked this is was wanting to travel to Greece (a dream that hasn't been achieved) but now 5 years later I've been doing everything I can to save, and invest. I got 401k, Roth IRA, a high yield savings account, and I own a few stocks that I've been researching to make sure the picks are safe.
Most people wont talk about money because they either A) Dont have any and dont want to be seen as poor, B) Think youll take advantage of them if they tell you they have money or C) Dont want to find out you have more and get jealous. i find it hard to find anyone over 40 that will actually talk about money to start with or be truthful about what they have and even after that they start to get irrate as if its a stigma that asking or even talking about money is bad. and by talk about money i mean investments, savings, goals and not what you always hear about anyway like they won a gambling bet.
Agreed it’s fucking embarrassing the state of peoples attitude towards stuff like this. But your right a lot of people haven’t got much but the problem is if they opened up to people that are more wealthy they could grow together. But they’d sooner suffer in silence than let someone teach them something about money such as investing. I’ve seen it time and time again. You can lead a horse to water but you can’t make it drink.
@@xyz-pg3zd talk to other peers who are doing better than they are and ask how the did it. Learn how to invest from them learn how to setup companies or however they got wealthy to begin with. We’re better when we work together.
@@xyz-pg3zd whatever you can really, try and find people who will talk about it but they might not be the kind of people you like, the people i can talk to about money tend to be self centered and arrogant but no one else is willling to talk about it. other than that its online stuff but that removes alot in the process.
I financed one car loan and one mortgage my entire life. I paid hard saved cash for all my boats, cars, and motorcycles. I paid my NY mortgage off on fixed income. Thank God that when I was deemed disabled 10yrs ago, that I still self operate my ira's and brokerage accounts. It's not how much your income is. It is all about how you manage your assets and insure yourself. Taking on debt, is the same as putting training wheels on a racing bike. Warren Buffet lives in his one and only house he ever bought, and drives the same older than old car to Berkshire Hathaway every day.
As if my generation will actually be able to retire. The "retirement age" just keeps getting raised higher and higher and with it the penalties for "early" withdrawal. I'm not financially illiterate, no cards, car will be paid off in a year, and my house in 5 years, but shit wages and repeated economic problems that screw the working and further enrich the robber baron class means I'll never get a traditional retirement unless I magically find a way to make a lot of passive income that doesn't require a financial investment on my part.
My wife and I make about $6k on our full time jobs a month then each of us have side hustles which make about $2k a month. We have no debt but we do rent our bills are around $1900 a month so we invest in many various ways tangible assets, CD’s , my wife has over 100k in retirement we are in our early 40’s I think we are doing ok with our savings?
How are half of people spending more than they earn? I just can't understand this. Sure you can do it for a few months but how does this continue? I'm not doing great with my finances but at least I can afford my lifestyle. I don't have a traditional savings account but I invest a lot of my money into my house. Real estate is my retirement plan
Yep I totally think something is going on but few on UA-cam want to say well conditions make it harder.... They want to make content and offer possible solutions. It gets them more views, subs, likes, and likely better metrics. Being honest online tend not to sell well.
Here is an incredible statistic, 50% of the 60 year olds in the US have nothing saved for retirement. That's right, if you are saving anything towards retirement you are doing better than 50% of the population. Scary isn't it!!
It’s bc everyone hangs onto social security. Social security disincentivizes people from saving. If we didn’t have SS we would have less Gov spending ‘ore charities, and more savings.
practice spending and saving habits like this video suggests. get another part-time job. get an associate degree (2 years), get a technical degree (1-2years), are you willing to do whatever it takes?
@@stephenc2481 As long as there is an income issue there is little chance of different outcomes. Remember your suggesting becoming a specialist which takes time and likely some money too..
Personal finance should be in high school curriculum. It has a bigger impact on your life (and your family) than any other high school class. But unfortunately many of the powers that be benefit from keeping people in the dark about how things work.
Well not a surprise they have to make a certain amount to avoid living paycheck to paycheck. Not sure about everyone else but in my area it takes dollars per hour above the legal minimum to end up not having to live paycheck to paycheck. So it is not a surprise many are living that way.
@@donaldlyons17 Math checks out. Where I live 14/h is median single wage. Average rent for 1bd apartment is 45% of monthly gross income. That is 65% for utilities, food, car, gas, phone, internet, phone plan... So yeah. The concept of not living paycheck to paycheck is an upper income prospect. We are entering an era where there is no middle class. Unless you want to consider the middle class to be the top ~33%.
@@samhall5096 Yeah before 2013 I could make $12 an hour and have a few thousand left over each year but had I made $10 I would have for sure not been able to do anything but break even. Odds are I would be short...
I never compare myself to others, but I can tell you without even starting this video that I'm better than average. That doesn't mean shit, though, because the average person isn't in charge of my retirement. It has no bearing on my life if the average person is an idiot.
Financial knowledge is only potential energy without capital to put behind it. And that's the hurdle most of us hit, because there's been an entire paradigm shift in pay and benefits across every industry.
You keep taking about "saving" for retirement. You should be talking about "investing" for retirement. It's not about how much you have saved, it's about income.
Non related quetion here. Is 100 USD in USA consider to be a big number? I earn about 4000k nett PLN (About 1000USD) a month and it is conisdered a solid pay for a worker here. How it is in US? Just asking for curiosity.
In Australia avaerage income is about 50k USD per year. About $1000 per week. A construction worker is double that. A school teacher with 10 yrs experience is $2000 per week A nurse is about $1700 per week Police officer $1700 per week
Well thats what i thought. I work in IT sector. Tho my costs of living are also cheaper than in other countries, but still half of my sallary wuld go to rent if i had to rent a full aparment. I'm still an engineering student was working full time for last half a year. Was able to save about 7k USD during that time. I worked around the globe for that time, saw a few countries and i can say that post soviet countries not to mention Africans are making nothing, also saw more developed countries where food was expensive but live styles still was better. I was always jealous of you guys since you can afford nice things rather quickly, and im speaking essentials like new fridge or stove is probably not much of a deal. This also applies to work tools. What can i say will try my best to change my status Thanks for the anwsers. PS. Was thinking about work in Australian's coal mines as an electrician since they can earn 100k a year wich is absurd amount of money here, like you can buy entire flat with that kind of money in just a year.
All US students should be given FREE tuition and NON-REPAYABLE bursaries. The UK government gave me that in the 1980s and now I'm a millionaire. I know that's not a big deal anymore, but I live on the beach in France 🇨🇵🇪🇺 and I'm French. Don't invest in the stock market and financial advisors. 😂🎉
Lot of people do not trust the bank and their financial adviser. My experience told me when meeting a financial adviser what was his education backgrounds, diplomas, and working experience first ! Believe me some were almost offended simply by my questions ! I had to taught myself financial litteracy .
@@spankynater4242 They are. But they're still stupid as hell. The scary part is they have a determination to be stupid that earlier generations didn't seem to have despite access to more information.
Understanding personal finances and investing will most likely lead to greater financial independence. By being knowledgeable about money and investing, individuals can make informed decisions about how to save, spend, and invest their money. A trader made over $350k in this recession influenced market.
Stocks are pretty unstable at the moment, but if you do the right math, you should be just fine. Bloomberg and other finance media have been recording cases of folks gaining over 250k just in a matter of weeks/couple months, so I think there are alot of wealth transfer in this downtime if you know where to look.
The best course of action if you lack market knowledge is to ask a consultant or investing coach for guidance or assistance. Speaking with a consultant helped me stay afloat in the market and grow my portfolio to about 65% since January, even though I know it sounds obvious or generic. I believe that is the most effective way to enter the business at the moment.
My advisor is Stephanie Kopp Meeks highly qualified and experienced in the financial market. She has extensive knowledge of portfolio diversity and is considered an expert in the field. I recommend researching her credentials further. She has many years of experience and is a valuable resource for anyone looking to navigate the financial market.
I am going to look her up, I have about $81k i want to start with, might be small but it's better than nothing though. Since the 08 crash is playing out again.
Millennials were told relentlessly that if they go to college they will make 1 million more dollars that people who don't go. So 100k debt to make a million is a no Brainerd. That is why not many thought about the debt a lot
Don't absolve them of their responsibilities for their bad decisions. People have been told that since at least the 70s, so the generation you speak of cannot use that as an excuse.
I really can't believe that these stats are true. How could people not want to save money and build wealth? I can't be the only millennial making between 50-100k saving 30-50% of my income.
@@spankynater4242 hard to imagine saving 0% of my money. I dunno. I know many don't save, but I have a tough time believing that the majority don't save.
US Census has this information on demand. Median single income where I live is $27k. Supposedly only 19% "poverty" rate, but I can guarantee you well over half of the individuals couldn't afford to save in this city. Housing has gone up 300% in some areas over the past four years. That is obviously going to negativity effect rental rates. Near half of the people where I live would spend roughly half their income just on rent. Rent alone. By itself.
I see almost everybody in the comments section is doing well. Ok. Great. Query. If you are doing so well, why are you watching this video then? LOL!!!!! Just so you can pile on to the few that are saying they are struggling and show how smart you are? Disgusting.
That is not true...that is the lie we were sold, and I even used to believe it that you have to go to college. Technically now doing a trade or many other jobs makes more sense because they pay as much or more than college, and you do not have the opportunity cost of wasting 4-5yrs and tens to hundreds of thousands in debt. When you add up all factors, college is a waste for the vast majority to maximize income and minimize opportunity cost losses.
@@bigbanknewyork3655 could also make as low as 35K as a plumber,electrician etc. believing there are trade jobs that will all pay $35K+ for the 4 million students that graduate university every year is a foolish thing to hold.
I'm now retired and agree with nearly everything said here - but I need to throw out this caveat - a lot of people have life circumstances that prevent them from saving. Disabilities, judgements, medical conditions and divorce can all make any notion of saving impossible. There's a lot of stupidity, too - but about a quarter of the population is struggling with life.
I feel like, on the numbers you've shown at 4:19. That there is a decent amount of people with financial literacy then because of 43% save between 6 to 14%. Why not show that as a positive, why hide it? 21% that say they don't save anything it's pretty concerning. When If this is right. 59%-79% save at least some amount for retirement. I agree wholeheartedly with your video except for this one point and that's why I'm giving you a thumbs down and might not consider ever subscribing. Just because the narrative is bent to fit around some bias.
It adds up. People should spend some money to get a coffee machine, watch some youtube on how to get coffee, how you want and boom you'll be saving money. For instance, if you grab just a 6 dollar coffee every workday. That's $1560 a year, you could buy a high-end coffee maker for like 400 bucks, and brew your own coffee and still come out cheaper for the year. Then with hydroflask you can keep the coffee cold or warm as long as you need it.
How can that be. Lets be honest if they are short even without the coffee it alone is not going to fix their problems!!!! It might not be as simple as a spending issue.
@@jayceewilliams5250 Extra cash is required to make more than it cost to break even. Also assuming only $5 a day that only comes to 1,700 per year rounded up. Truth is if they need to save about 2,600 per year they are 1K short which is like $80 each month extra they have to find somehow. With money it is just not that simple because cost of housing and transportation and other things rise over time.
@donaldlyons17 it's not just the coffee, it's a simple expense you can point to that adds up over time. Also in my example was using a 5 day work week for a total of 260 days a year. But the thought is more so thinking about your spending and how you can change it. You can have great coffee for cheap. Buy a coffee machine, watch some youtube if you want to get fancy with it, buy a hydroflask and then boom. You have cold or hot coffee throughout your day. The mindset spreads to other things like fast food or shopping. It's rare that someone is flat broke and have 0 extra spending money or places they could reduce expenses. It's also rare that people never get a raise or move up in salary their entire life. Lastly a shortfall is always better than absolutely nothing. A shortfall could be me working 10 to 20 hours a week in retirement vs needing to be full time at a job while my body fails. Instead of the 10-17 dollars you spend on your lunch break, maybe you pack a lunch that costs less than 4 bucks and grab a bag of chips. It's a lot of things offered nowadays that make spending up your money seem like the necessary thing when it's not. People doing pay in 4 payments on clothes and pizza when they could just be responsible. The problem isn't exclusively a poor issue either. It ranges from each class group
It would be great to not try to match their lifestyle and instead learn how they got to their positions. It's easier to match the lifestyle when you can afford it.
@@Bylov6812 true but I am feeling increasing jealous. My friends dont need to budget their spending and can buy multiple expensive items every month impulsively. I can't.
@@paulinejackson5861 Use that jealousy and hate that feeling. Because what you don't hate, you don't strive to change. If you dislike that feeling, then you'll tolerate it. Change your attitude towards it and tell yourself that you'll set some goals and dedidcate months to it to push your own limits. If they're your friends, then you'll eventually learn how they do it and they might be willing to teach you their craft if they didn't go through an expensive uni course.
@@paulinejackson5861 Keep in mind that one Day either they outclass you by far and forget about you or they fall and you cannot be there for them, since you just followed their lifestyle and didn't saved money Learning about money instead of wasting to much of it to lifestyle stuff brings you into the nice position, that you know they like you for who you are and not for your "fake"wealth, and you could potentially help them out in a situation they need you.
Would love to save money, just don’t earn enough. My paycheck is gone before I get it. Teaching myself how to code to hopefully get a job earning more but takes on average 1000 hours. 🫤
Inflation is far more harmful to individuals than a collapsing stock or property market because it directly affects people's cost of living, which they immediately feel. It is not surprising that the current market sentiment is extremely pessimistic. In today's economy, assistance is critical if we are to survive.
I have experienced significant losses, and I am holding on with the hope of recovering them. It is evident that I am in dire need of assistance. Could you please share the name of the investment adviser who guides you?
You can over come inflation by steadily investing in the market, it always beats the inflation index in the long term, inflation is a fact of life, but you don't have to be broke over it.
I save 50% + of my income, but I don't think of it as saving for retirement, I think of it as saving for financial freedom; important distinction imho
I wish i made enough to be able to save 50% lol
That’s a cracking mindset to have. Money buys time. And in the end all we have is time.
@@LilT2o00 I never made much, but by working overseas, my company gave me a housing allowance and also a living allowance. This allowed me to save half my base pay very easily.
@@howellwong11 I've always wanted to work overseas though I'm work/skill set is fast food, retail. Don't think we're getting those types of allowances for that, lol. Yet alone flight/moving costs as well.
Impressive %.
I'm a millenial and the lockdowns during the pandemic gave me the time and motivation to finally teach myself more about money. I didn't get much help learning financial literacy from my parents which seems common. You are lucky if your parents taught you how to invest at a young age and didn't encourage you to go into debt. Now i have a full emergency fund and an investment portfolio with a pretty decent amount in it...
I learned the majority of my financial education from UA-cam, which is really sad. My mom taught me how to save and be frugal, but that was it. I had to learn online about investing, saving for a house and mortgage, interest rates, etc.
At least you learned! That's more than can be said for most
Nothing wrong with many parts of UA-cam. Follows all other lessons - if it is easy and pain free, you know it’s BS…
Honestly being frugal is 2/3 the battle from there it’s just allocating money and making sure you are being somewhat efficient with where you put it
At least you were taught that much. I don't think my husband learned a thing before me.
Same
I live check to check because i only keep enough to cover living expenses, the rest goes to fund my retirement savings. I typically save $30k to $40k a year.
Then you're not living paycheck to paycheck.
@@spankynater4242 yes he is. I do the same thing and have $20k in an emergency fund. All my money is spent on current need or future needs.
Hope the market doesn't wipe you out like 2008 and 2020.
@@mattbleiler7294 technically, everybody lives check to check because we all get checks. But that’s not what living check to check means. It means you don’t have enough to save and you’re struggling at the end of the pay period.
If you are saving that much it can't all be tax-concealed because there is a cap on how much you can put into a 401k or 403b each year. The taxed portion you might as well invest.
I firmly believe school curriculums need to include financial literacy classes. My parents didn’t talk about their finances much, and as a result I graduated college with no knowledge of how to manage finances. To make things worse I graduated right in the midst of the 2008 recession. At the time I was told “Any job is a good job right now” and that I was lucky to find a job. The job I found was absolutely terrible, paid $25k/year, and required working 10 hrs a day 6 days a week outdoors in the South in the middle of summer. It was hell and barely paid the bills, but I was “lucky”. I burned out on that job after only 3 months, and the next few jobs I took on were not much better.
All this to say, I was dirt poor and in a situation where financial literacy was a necessity to survive. I made a few mistakes over the years, but taught myself and now I’m in a situation where I’m still not bringing in much money but at least I have an emergency fund established and am not living paycheck to paycheck anymore. I’ve also started building up an investment portfolio.
I don’t want the next generation to have to go through what I did.
In Australia, school curriculum is filled with crap like woke agenda stuff. They need to scrap most of it and teach basics
The reason they don't is because they want to breed as many consumers as possible.
Yes. Life skills have been taken out of school curriculum over the last half century. While parents should really be teaching many of them, the fact is not many have a grasp on basic life skills themselves.
I started out clueless. However, I had this rule...borrow only if absolutely necessary. It turned out, that was what you should be doing. As for saving, many pays monthly bills and spends all of the leftover money. I have different philosophy, even with leftover money. I buy stuff only if needed, regardless if I still have leftover.
They don't teach people because they want slaves for the system and more of the booty for themselves...the elites do not want to share, so they don't let the masses know. Public school education was never meant to create independent thinkers, but to create good working drones/slaves for the system like author and former teacher John Taylor Gatto discusses in his books and UA-cam videos.
I save about 10-15% each month, of which 50% goes directly into index funds and the other 50% goes to building up an emergency fund. I already have a good emergency fund that covers 6 months of expenses but my target is now 12 months and then go to 24 months.
My investments in index funds are separate of the retirement savings I do through my employers retirement plan (which is mandatory in the Netherlands).
I would be careful about having the 12-24 months of your emergency funds in just cash with inflation right now. You will lose oodles of it just letting it sit as inflation as we all know is technically in the teens or close to it (despite what govt says). Say inflation is 10% and you had $100,000 in savings...that means you lost $10,000 in just one year when it is sitting in that account. I would instead take the extra, extra emergency fund and stash it in gold/silver you own physically, or do a CD account, or something that will protect the savings from the full battering of inflation. Even when times aren't as awful as now, average inflation rates have been 3.2%.
@JerCasGav I track inflation for the products I buy on a frequent basis. 1 year worth of expenses for me is the current sweet spot as the dutch government is cutting back on social security.
With my education I am sure I will get a new job within 1 year of loosing my current job.
2 years is wild. Not the worst plan by any means.
@@jercasgav Agreed. 6-8 months is a pretty good max. You could also convert some currency into hard assets like gold and silver, or bitcoin if you are more comfortable with digital assets. Just inflation resistant things outside of cash.
24 . months emergency fund is an overkill. You are wasting returns on that much savings
Good video, I just wish more people would take 8:22 mins to learn a little.
I went from saving 5% of each cheque to 21%. Just increase a little at a time and you are on your way.
The Dunning-Kruger at its finest at @1:11 . We need to go back to the 1970 rules in credit cards. Max rate was 22%!!! If you are not credit worthy enough to get a 22% credit card. YOU DON'T FLIPPEN need it!! I learned this the hard way! Last housing collapse. My home value went from positive 78K to negative 13K in value. EVEN though I never missed a payment. My credit worthiness hence dropped. All my limits were cut!!!! So suddenly my credit utilization was at 102%!! My bank card raised my rates from 14.75 on an average to whooping 39.99% with now annual fees on the card. Insult to injury I was DOWNSIZED at work to part time!!! I took a job for 8 bucks an hour picking up GOLF balls to improve my income. Never missed a payment. Alot of PBJ and Ramon noddle's! Goodbye Cable. Fought all the way back. Rehired Full Time for while. As I paid off Credit Cards I closed them. Credit Cards when you are closing them sound like a 5-dollar crack whore with no customers. They offer lower rates. No Annual Fee. NOPE!! Goodbye! I only had one card left that always had a zero balance. (Bank of America. I did not like them.) Sadly, I found out when I closed all my accounts my Credit score crashed! Went from a 672 to dismal 490! I used my BOA card weekly just rebuild credit. 20 years later. I have not missed a payment in 35 years! I have a 794 credit score and financed a new car for 7 years at 2% two years ago. (I could have paid cash for it. But I will borrow all day at 2%!!) I always maintained putting between 7 and 14% away towards retirement. I am 58 with 400K in 401k3b's and a smallish pension for retirement. House has been paid for 13 years! Hint! Dividend stocks.
Millenial here and Iverson been back and forth on making enough money.
The BIGGEST ISSUE is that we don't have money. We cannot afford to save for retirement. I was doing great until biden flatlined our economy. Barely seeing flat ground now and I'm not worried like some others should be but that doesn't change anything
Roughly £80k in my portfolio are in tech/TSLA stocks, can I get an advice on any other stocks that I can acquire to diversify my reserve across multiple markets while creating a comprehensive portfolio allocation that balances my concerns of risk aversion and returns that meet yearly inflation.
You need to hire a financial advisor to help you diversify your portfolio by including Mutual Funds, Etf's, the 11 GICS groups, inflation-indexed bonds, and stocks of companies with reliable cash flows rather than growth stocks, where prices were based on future prospective earnings.
@@AshtonGrace I'm happy to have stumbled upon this discussion. If you don't mind, could you tell me the name of the financial adviser who helps you with your investments and how I might contact them?
@@AshtonGrace Thanks for this tip. Her website popped up on the first page immediately I searched Maria Teresa Tyler’s name, I read through her resume and it seems pretty tight. So, I dropped a message & hopefully she replies soon.
You can only achieve a certain level of stability with individual stocks. You would have better stability with a portfolio of mutual funds or going with the S&P 500.
Run, don't walk and purchase John Vogle's The Little Book of Common Sense Investing. Read it. Then re-read it.
Get your money in broad index funds with low expense ratios.
Make sure you get your fair share of the market return.
You can thank me later
As the prophesy disguised as a movie called Idiocracy foretold, our tether on self-discipline continues to slip away. The good news is that self-discipline works, even more-so, when average is such a dismally low threshold.
As for the student loans, the adage is true that one must live like a student now or live like a student later.
It's all about standards. For me a standard of 65% earnd income saving and investing given my insane privilege, and for the poor, standards of living which they expect or feel they deserve. My tendency of saving and sacrificing wanton spending gave me the financial freedom now to do nothing at all for many years if I prefer it. Perfect financial bliss.
Not at all surprising that many people think they are better at finance than they really are. "Lake Wobegone, where all our kids are above average."
I didn't calculate monthly payment on loans while in school, and I don't see how doing so would have added any value. The key points for fiscally responsible borrowing for student loans is first (and not always the right choice), pick a degree where your earnings will be high, second take out the smallest amount of loans possible by avoiding using debt wherever possible (e.g. work part time to pay for rent/food off campus instead of taking more loans to live and eat on campus), and finally make sure the loans you take are high quality (lowest interest possible). All of those things affect monthly payment amount, but monthly payment does not add any value when calculating those things. Either way the additional income earned from a college degree outweighs the added monthly payments the number isn't what matters unless you also know exactly what your income and costs of living will be when you graduate as well (almost noone does, how would you).
Also I should say, finances are only one key point when considering college. Arguably more important is life/job satisfaction so don't take my comment to mean you can't get a degree in a lower paying field if it improves your overall quality of life. The point of finances is to improve quality of life and money is only one way to do that (and isn't the largest factor).
"Either way the additional income earned from a college degree outweighs the added monthly payments....."
THAT right there is a perfect example of a blanket statement. Not only did I NOT get a college degree, I didn't even graduate high school. There are TONS of college graduates out there making less than I do..... as well as not earning enough to cover monthly expenses AND student loan payments.
You do have some good points in there, too....
A lot of people in the comments have mentioned “forced scarcity”. Implementing that concept has singularly done more for my financial future than anything ever has. In order: retirement savings, HSA, personal investment, liquidity on hand, giving, then budget down to the dollar for living expenses. Living on only what’s left over eliminates the urge to buy things that are frivolous, excessive, unnecessary etc.
thank you for videos! And I want ask you, is your channel monetize?
I'm not saving much at the moment, but that's because all my money is going into building my house which will be done debt free in september.
My parents were trainwrecks with money, especially my dad.
That said, I kind of live paycheck-to-paycheck. I "pay myself first" with retirement savings , then pay the mortgage, health insurance etc. While I wind up saving about 35% of what I make in retirement or paying down my house, I don't leave myself with much liquidity. It's like "how to be a millionaire, but feel broke".
The numbers don’t add up. If half spend more than they earn. How can only 21% not save anything? How can more people be negative. Then at 0? If 0 includes anything under 0?
Since the pandemic, my life has been halted due to lay offs and such. Though I was doing very well for myself and had a nice cushion of money around in case of emergency, I slowly had to chip away at it due to hardships. I got a job that I actually love for the first time 45 days ago and all was going well in the first few weeks. I was picking it up rather quickly...but slowly as I was given work I hadn't been trained for yet, I was making mistakes due to being insufficiently trained and my 45 day review came...its not looking good. Just when I thought things were finally going to start turning around, I am being told that I am not cut out for this job. I was even told I was being offensive by asking for alternative training methods. Now I am certain they want to get rid of me and I am at a loss for what to do.
I'm glad I started learning about money when I was 17. I immediately put the money from my savings into stocks when I turned 18 and rode the wave up in 2019 and 2020. Then I learned about crypto at the end of 2020 and rode that wave up as well. Never cashed out because I'm young and waiting for later in life to cash out. Theres another bull run over the horizon and will be many more in the future. Time in the market beats timing the market. My advice for people who are getting into investing is to not invest any money that you need in the near future. And if you want to maximize that then living below your means so you can put money away works wonders. If you are still living with your parents that is the perfect time to be investing assuming you have a job and very little bills. Final tip is to invest in what you know. It should be more comfortable doing it that way.
Crypto is a Ponzi scheme, noone sane would have money in it.
What do you mean by basic financial literacy? I don’t understand the statistic without any explanation
I'm pretty sure they mean making enough money that you don't have to worry about not having enough money. No amount of "financial literacy" will enable someone to pull money out of thin air, and I can't help but feel that this video seems to simply be about shaming people who can't afford to save for retirement.
If you don't know where your money is going, you will always wonder where it went. I've had a text file on my desktop for the past several years, writing everything down changed my life! Putting down how much I have coming in every month, then listing all of my expenses, was extremely eye opening. Seeing everything listed at the same time made it easy to realize what I could simply cut back on, what I could reduce dramatically, and what I could pay off entirely. Once all the numbers were in front of me, I was able to finally take control of my money, and I haven't had a single month without a surplus ever since.
i don't make enough to have that luxury i know where every cent goes and i'm still broke. Bless min wage lmao
@@LilT2o00 start saving and spend on your education to get ahead in life. It helped me alot.
@@cyberpros don't get to save i don't even make my bills at work i also have to sell blood plasma + work just to break even lol
@@LilT2o00 You need to call Dave Ramsey and ask for advice. If you haven't heard of him, start listening to his free podcasts everyday until it's etched into your mind that YOU have the power to change the situation you're in.
@YungFeetGod69 internet people give shit advice. Literally the only way to improve on living on the breadline is to earn more & that can take years. I lived on minimum wage or less for over 20 years. I was also terrible with money, bankrupt by 22 & could never get a handle on it. Over time, necessity made me extremely frugal, & half by happenstance, half because of my particular skills gained as a disability support worker, I finally landed some clients that pay me four times as much as I've ever earned in my life. I had no direction, no help, undiagnosed ADHD which made the whole working & spending money thing a horrendous "snake eating it's own tail" situation.
Real advice from someone who actually lived on struggle street, is to just decide where you want to end up in 20 years & start taking small steps towards it asap. Half of life is luck - good & bad, half is learning useful skills for free on the internet lol.
Best of luck 👍
As someone who does not have any of these problems the sheer number of people living in such insecurity is alarming. The US social safety net is so minimal, and so constantly shrinking, that I worry the US is going to look like the Third World before I pass. The only thing I can say from my own experience is to have multiple income streams, most of them passive or mostly passive.
Where i live:
Median single income is $27k.
Average rent is 1k for a single apartment.
They have $15k left over for food, utilites, car payment, gas, etc.
$1250 a month.
This is someone making $14/h.
Financially speaking in the US "survival" has become an upper class luxury.
The only thing my parents told me was to stay out of debt as much as possible, and that's only because they raked up 20k on credit cards. Everything else I've had to learn on my own.
1:10 “ but 69% give themselves a high assessment on financial knowledge” *Fills in the 33% wedge*
Jk- great video
Good video, but judging by the comments, the people watching it aren't the ones that need to hear this message 😔
The wise one with money is often looked down on or made light of. "He is a tightwad, he is very carefull with his money, He has the first dollar he ever made, he is stingy, he is cheap, he is grudging, he is ungenerous ." Saving, living within your means, for some reason is not a positive in most peoples mind.
With a consumer driven system people not buying makes it not work. Not all job will work if, as, and when people don't spend!!!!
Ive got 6 months of expenses in my savings and my monthy expenses saved in my checking account plus a 1000 dollars for emergency money. My parents are stupid when it comes to money and spend before thinking. I told my dad i could put down enough money with my credit score to get a newish car for $130 a month and he was genuinely shocked and confused. I dont consider myself that smart with money and i thought my parents were just dumb. But the fact that they are normal and i am leagues ahead of the average person despite my lower income is terrifying considering the future of this country
Why do you have so much money in a checking account where it loses value daily? At the very least, put it in a money market or high yield savings account where it will at least lose value at a slower rate.
@@spankynater4242 i have my 6 months worth of expenses in my savings
@@ethanetn gotcha, missed that when I read it.
Around 30% goes directly into savings and investments while another 20-30% is added to checking. The rest is spent on normal living expenses. Granted, I don't worry about the costs of those expenses as I have zero debt.
I don't make enough to be able to afford to do that. I don't even make enough to live lol i can't put 30% into savings (literally can't afford to live on myincome i also have to sell blood plasma twice a week to make the difference)
I put 35% in my 401K. 25% in regular, and 10% in Roth. I make my monthly mortgage payment and usually an extra $100 the other three weeks unless I have auto insurance, homeowner's insurance, or property taxes to pay.
Buy a van and live in it. Seriously, this is the approach many are taking.
@@JW20236 i can't drive lol shit i don't think i can even get a license they suspsneded my ability to get one over DUI (on a pedal bicycle)
@@LilT2o00 oh...
Thanks Chris
Excess spending? Did somebody say TAXES?
Good vid chris
Thanks for watching!
Honestly, have had repeated interventions with my parents over their overspending.
Lord, that must be awkward. After my dad passed away, he was the one that managed the money, my mom started spending on stupid stuff but it calmed down after a couple months and I was able to skip the awkward talk.
You can not stop this! the reason is because most people have a low or average income. When you have a low / average income you can not save money simply becouse the rest of the population earns more and increase the price of everything due to supply and demand. You can better focus on spending your money to achieve the skills / knowledge to get a job that is upper middle class or higher to break the circle or live a Pius life in the middle of nowhere and save money.
That's the kind of mentality that keeps people poor.
Paying down college loans is a piece of cake when you got that super valuable liberal studies degree.
Right 😬
My parents growing up weren't good with there money, doesn't help my dad was unemployed for 4 years after 2008, and not to mention he never had a consistent job until 2017. Even so neither of them took care of their future as they did what they could. Which was be good parents and raise their 3 kids.
Seeing my parents (mostly my dad as not being so successful) not be that great with money. It taught me that money is very important. I entered the workforce in 2016. At the time I didn't save any money but did do 401k, and got some stocks via WinCo giving them to me.
It wasn't until just before COVID I started saving, the idea I had that sparked this is was wanting to travel to Greece (a dream that hasn't been achieved) but now 5 years later I've been doing everything I can to save, and invest.
I got 401k, Roth IRA, a high yield savings account, and I own a few stocks that I've been researching to make sure the picks are safe.
Most people wont talk about money because they either A) Dont have any and dont want to be seen as poor, B) Think youll take advantage of them if they tell you they have money or C) Dont want to find out you have more and get jealous. i find it hard to find anyone over 40 that will actually talk about money to start with or be truthful about what they have and even after that they start to get irrate as if its a stigma that asking or even talking about money is bad. and by talk about money i mean investments, savings, goals and not what you always hear about anyway like they won a gambling bet.
Agreed it’s fucking embarrassing the state of peoples attitude towards stuff like this. But your right a lot of people haven’t got much but the problem is if they opened up to people that are more wealthy they could grow together. But they’d sooner suffer in silence than let someone teach them something about money such as investing. I’ve seen it time and time again. You can lead a horse to water but you can’t make it drink.
I’m 60ish, our group considers it bad form to discuss money.
What should people do then?
@@xyz-pg3zd talk to other peers who are doing better than they are and ask how the did it. Learn how to invest from them learn how to setup companies or however they got wealthy to begin with. We’re better when we work together.
@@xyz-pg3zd whatever you can really, try and find people who will talk about it but they might not be the kind of people you like, the people i can talk to about money tend to be self centered and arrogant but no one else is willling to talk about it. other than that its online stuff but that removes alot in the process.
I financed one car loan and one mortgage my entire life. I paid hard saved cash for all my boats, cars, and motorcycles. I paid my NY mortgage off on fixed income. Thank God that when I was deemed disabled 10yrs ago, that I still self operate my ira's and brokerage accounts. It's not how much your income is. It is all about how you manage your assets and insure yourself. Taking on debt, is the same as putting training wheels on a racing bike. Warren Buffet lives in his one and only house he ever bought, and drives the same older than old car to Berkshire Hathaway every day.
I've been broke before. Now I'm doing well but, I am willing and able to work more than 1 job and put in 55-60 hrs a week.
As if my generation will actually be able to retire. The "retirement age" just keeps getting raised higher and higher and with it the penalties for "early" withdrawal.
I'm not financially illiterate, no cards, car will be paid off in a year, and my house in 5 years, but shit wages and repeated economic problems that screw the working and further enrich the robber baron class means I'll never get a traditional retirement unless I magically find a way to make a lot of passive income that doesn't require a financial investment on my part.
My wife and I make about $6k on our full time jobs a month then each of us have side hustles which make about $2k a month. We have no debt but we do rent our bills are around $1900 a month so we invest in many various ways tangible assets, CD’s , my wife has over 100k in retirement we are in our early 40’s I think we are doing ok with our savings?
How are half of people spending more than they earn? I just can't understand this. Sure you can do it for a few months but how does this continue? I'm not doing great with my finances but at least I can afford my lifestyle. I don't have a traditional savings account but I invest a lot of my money into my house. Real estate is my retirement plan
Why are you trying to keep up with their lifestyles?
Its not so much financial illiteracy...as its poor wages & the high cost of living.
Yep I totally think something is going on but few on UA-cam want to say well conditions make it harder.... They want to make content and offer possible solutions. It gets them more views, subs, likes, and likely better metrics. Being honest online tend not to sell well.
Doing better than you think doesn't mean you are doing well.
Problem is average is still not nearly enough.
I make 19 per hour and im way ahead of the average person. You're just bad with money
Here is an incredible statistic, 50% of the 60 year olds in the US have nothing saved for retirement. That's right, if you are saving anything towards retirement you are doing better than 50% of the population. Scary isn't it!!
It’s bc everyone hangs onto social security. Social security disincentivizes people from saving. If we didn’t have SS we would have less Gov spending ‘ore charities, and more savings.
Most people yawn when you start to talk about personal finance.
Good to know that the average is much worse off than myself
i'm in a poor financial state, but that's because i make min wage lmao impossible to be doing well in min wage
with that victim mentality. you’re 100% right
@@mprz052 nah not a victim I am just a failure lol it's my L not a victim of anything
The latte factor.. all you need $25 a week in a Basic index fund, 40 years +10%(ish) compounded annually and you’ll have a milly
practice spending and saving habits like this video suggests. get another part-time job. get an associate degree (2 years), get a technical degree (1-2years), are you willing to do whatever it takes?
@@stephenc2481 As long as there is an income issue there is little chance of different outcomes. Remember your suggesting becoming a specialist which takes time and likely some money too..
Spending outside off means and not saving anything
Personal finance should be in high school curriculum. It has a bigger impact on your life (and your family) than any other high school class. But unfortunately many of the powers that be benefit from keeping people in the dark about how things work.
They would never wanna teach u important things 🤣🤣
Math is racist, imagine teaching finance to our kids. It should be the parents responsibility.
How many high school graduates, and even college graduates can't write a sentence to save their lives? This is not the answer.
Some scary stats in this video. Like 60% living paycheck to paycheck.
Well not a surprise they have to make a certain amount to avoid living paycheck to paycheck. Not sure about everyone else but in my area it takes dollars per hour above the legal minimum to end up not having to live paycheck to paycheck. So it is not a surprise many are living that way.
@@donaldlyons17
Math checks out.
Where I live 14/h is median single wage. Average rent for 1bd apartment is 45% of monthly gross income. That is 65% for utilities, food, car, gas, phone, internet, phone plan...
So yeah.
The concept of not living paycheck to paycheck is an upper income prospect.
We are entering an era where there is no middle class. Unless you want to consider the middle class to be the top ~33%.
@@samhall5096 Yeah before 2013 I could make $12 an hour and have a few thousand left over each year but had I made $10 I would have for sure not been able to do anything but break even. Odds are I would be short...
Phew not what i thought
I never compare myself to others, but I can tell you without even starting this video that I'm better than average. That doesn't mean shit, though, because the average person isn't in charge of my retirement. It has no bearing on my life if the average person is an idiot.
Financial knowledge is only potential energy without capital to put behind it. And that's the hurdle most of us hit, because there's been an entire paradigm shift in pay and benefits across every industry.
If you have a job, you have capital.
A fool and their money… no wonder the rich are getting richer with so many fools
2:52 what the fuck
😬
This is why Millenennials and beyond are on OF. Trying to make up the for bad financial practices. -ha
What's wrong with OF a lot of them make more than ivy league college grads, lol
If you had kids would you like to see the on OF showing the world their insides? It is degenerate and soul destroying.
You keep taking about "saving" for retirement. You should be talking about "investing" for retirement. It's not about how much you have saved, it's about income.
Non related quetion here.
Is 100 USD in USA consider to be a big number? I earn about 4000k nett PLN (About 1000USD) a month and it is conisdered a solid pay for a worker here. How it is in US? Just asking for curiosity.
SOSnax, $100 US dollars is not a lot of money in the States. Also, $1,000 US per month would be considered poverty in the States. Sorry.
In Australia avaerage income is about 50k USD per year. About $1000 per week.
A construction worker is double that.
A school teacher with 10 yrs experience is $2000 per week
A nurse is about $1700 per week
Police officer $1700 per week
It honestly depends who you ask and what you see to be a "good living"
Well thats what i thought. I work in IT sector. Tho my costs of living are also cheaper than in other countries, but still half of my sallary wuld go to rent if i had to rent a full aparment. I'm still an engineering student was working full time for last half a year. Was able to save about 7k USD during that time.
I worked around the globe for that time, saw a few countries and i can say that post soviet countries not to mention Africans are making nothing, also saw more developed countries where food was expensive but live styles still was better.
I was always jealous of you guys since you can afford nice things rather quickly, and im speaking essentials like new fridge or stove is probably not much of a deal. This also applies to work tools.
What can i say will try my best to change my status
Thanks for the anwsers.
PS.
Was thinking about work in Australian's coal mines as an electrician since they can earn 100k a year wich is absurd amount of money here, like you can buy entire flat with that kind of money in just a year.
All US students should be given FREE tuition and NON-REPAYABLE bursaries.
The UK government gave me that in the 1980s and now I'm a millionaire. I know that's not a big deal anymore, but I live on the beach in France 🇨🇵🇪🇺 and I'm French.
Don't invest in the stock market and financial advisors. 😂🎉
Your are my ideal
Now i know why.
Why
Lot of people do not trust the bank and their financial adviser. My experience told me when meeting a financial adviser what was his education backgrounds, diplomas, and working experience first ! Believe me some were almost offended simply by my questions ! I had to taught myself financial litteracy .
From what I've seen Millennials are all investing geniuses compared to Gen Z.
"Gen Z" are still pretty young, settle down. People need time to learn.
@@spankynater4242 They are. But they're still stupid as hell. The scary part is they have a determination to be stupid that earlier generations didn't seem to have despite access to more information.
Understanding personal finances and investing will most likely lead to greater financial independence. By being knowledgeable about money and investing, individuals can make informed decisions about how to save, spend, and invest their money. A trader made over $350k in this recession influenced market.
Stocks are pretty unstable at the moment, but if you do the right math, you should be just fine. Bloomberg and other finance media have been recording cases of folks gaining over 250k just in a matter of weeks/couple months, so I think there are alot of wealth transfer in this downtime if you know where to look.
The best course of action if you lack market knowledge is to ask a consultant or investing coach for guidance or assistance. Speaking with a consultant helped me stay afloat in the market and grow my portfolio to about 65% since January, even though I know it sounds obvious or generic. I believe that is the most effective way to enter the business at the moment.
Please who is the consultant that assist you with your investment and if you don't mind, how do I get in touch with this person.
My advisor is Stephanie Kopp Meeks highly qualified and experienced in the financial market. She has extensive knowledge of portfolio diversity and is considered an expert in the field. I recommend researching her credentials further. She has many years of experience and is a valuable resource for anyone looking to navigate the financial market.
I am going to look her up, I have about $81k i want to start with, might be small but it's better than nothing though. Since the 08 crash is playing out again.
Millennials were told relentlessly that if they go to college they will make 1 million more dollars that people who don't go.
So 100k debt to make a million is a no Brainerd. That is why not many thought about the debt a lot
Don't absolve them of their responsibilities for their bad decisions. People have been told that since at least the 70s, so the generation you speak of cannot use that as an excuse.
I really can't believe that these stats are true. How could people not want to save money and build wealth? I can't be the only millennial making between 50-100k saving 30-50% of my income.
You're not. Do you not understand what "average" means?
@@spankynater4242 hard to imagine saving 0% of my money. I dunno. I know many don't save, but I have a tough time believing that the majority don't save.
@@kangamagic1206 have you ever spoken to other people? They usually don’t save at all. “What if I die“ is something they commonly say.
US Census has this information on demand.
Median single income where I live is $27k.
Supposedly only 19% "poverty" rate, but I can guarantee you well over half of the individuals couldn't afford to save in this city.
Housing has gone up 300% in some areas over the past four years. That is obviously going to negativity effect rental rates.
Near half of the people where I live would spend roughly half their income just on rent. Rent alone. By itself.
Can you cite the studies please?
He quotes them throughout the video.
@@C-Mack time isn't
I see almost everybody in the comments section is doing well. Ok. Great. Query. If you are doing so well, why are you watching this video then? LOL!!!!! Just so you can pile on to the few that are saying they are struggling and show how smart you are? Disgusting.
I think it's the other way around. The fact that they watch these kinds of videos is why they are doing well.
I just don't understand why people criticize people with student loans. It was either take the loan or stay stuck working for minimum wage forever.
That is not true...that is the lie we were sold, and I even used to believe it that you have to go to college. Technically now doing a trade or many other jobs makes more sense because they pay as much or more than college, and you do not have the opportunity cost of wasting 4-5yrs and tens to hundreds of thousands in debt. When you add up all factors, college is a waste for the vast majority to maximize income and minimize opportunity cost losses.
Could've become a welder or plumber or electrician with $90K+annual income with zero debt.
@@bigbanknewyork3655 could also make as low as 35K as a plumber,electrician etc. believing there are trade jobs that will all pay $35K+ for the 4 million students that graduate university every year is a foolish thing to hold.
But also 70% of americans who get a degree never use it for anything, so it was a waste of money.
@@clairaragon2881 yeah I'm sure for many it is
I'm now retired and agree with nearly everything said here - but I need to throw out this caveat - a lot of people have life circumstances that prevent them from saving. Disabilities, judgements, medical conditions and divorce can all make any notion of saving impossible. There's a lot of stupidity, too - but about a quarter of the population is struggling with life.
95% of Americans that live paycheck to paycheck are in that situation due to bad spending habits their whole lives.
With credit cards, and no one said it goes on forever.
I only manage to save $300 per week and I have to flat which im sick of....i want my own space but cant afford it 😔
Well what happens if you change locations?
This style of animation videos make me feel like I’m about to sign up for some financial freedom course Pyramid scam
Interesting
I feel like, on the numbers you've shown at 4:19. That there is a decent amount of people with financial literacy then because of 43% save between 6 to 14%. Why not show that as a positive, why hide it?
21% that say they don't save anything it's pretty concerning. When If this is right. 59%-79% save at least some amount for retirement. I agree wholeheartedly with your video except for this one point and that's why I'm giving you a thumbs down and might not consider ever subscribing. Just because the narrative is bent to fit around some bias.
The cowboys have a saying: "When you find yourself in a hole, stop digging."
Millennials need to stop buying coffee and getting takeaways for a start !
It adds up. People should spend some money to get a coffee machine, watch some youtube on how to get coffee, how you want and boom you'll be saving money. For instance, if you grab just a 6 dollar coffee every workday. That's $1560 a year, you could buy a high-end coffee maker for like 400 bucks, and brew your own coffee and still come out cheaper for the year. Then with hydroflask you can keep the coffee cold or warm as long as you need it.
How can that be. Lets be honest if they are short even without the coffee it alone is not going to fix their problems!!!! It might not be as simple as a spending issue.
@donaldlyons17 if you can afford extra stuff like coffee you might have a start on some extra cash
@@jayceewilliams5250 Extra cash is required to make more than it cost to break even. Also assuming only $5 a day that only comes to 1,700 per year rounded up. Truth is if they need to save about 2,600 per year they are 1K short which is like $80 each month extra they have to find somehow. With money it is just not that simple because cost of housing and transportation and other things rise over time.
@donaldlyons17 it's not just the coffee, it's a simple expense you can point to that adds up over time. Also in my example was using a 5 day work week for a total of 260 days a year. But the thought is more so thinking about your spending and how you can change it. You can have great coffee for cheap. Buy a coffee machine, watch some youtube if you want to get fancy with it, buy a hydroflask and then boom. You have cold or hot coffee throughout your day. The mindset spreads to other things like fast food or shopping. It's rare that someone is flat broke and have 0 extra spending money or places they could reduce expenses. It's also rare that people never get a raise or move up in salary their entire life. Lastly a shortfall is always better than absolutely nothing. A shortfall could be me working 10 to 20 hours a week in retirement vs needing to be full time at a job while my body fails. Instead of the 10-17 dollars you spend on your lunch break, maybe you pack a lunch that costs less than 4 bucks and grab a bag of chips. It's a lot of things offered nowadays that make spending up your money seem like the necessary thing when it's not. People doing pay in 4 payments on clothes and pizza when they could just be responsible. The problem isn't exclusively a poor issue either. It ranges from each class group
Several of my friends married men who make 300k+ per year, their lives are so easy. I'm single and its difficult to keep up with their lifestyle.
It would be great to not try to match their lifestyle and instead learn how they got to their positions. It's easier to match the lifestyle when you can afford it.
@@Bylov6812 true but I am feeling increasing jealous. My friends dont need to budget their spending and can buy multiple expensive items every month impulsively. I can't.
Guarantee this … that job is priority / marriage #1. The grass isn’t always greener …
@@paulinejackson5861 Use that jealousy and hate that feeling. Because what you don't hate, you don't strive to change.
If you dislike that feeling, then you'll tolerate it. Change your attitude towards it and tell yourself that you'll set some goals and dedidcate months to it to push your own limits.
If they're your friends, then you'll eventually learn how they do it and they might be willing to teach you their craft if they didn't go through an expensive uni course.
@@paulinejackson5861 Keep in mind that one Day either they outclass you by far and forget about you or they fall and you cannot be there for them, since you just followed their lifestyle and didn't saved money
Learning about money instead of wasting to much of it to lifestyle stuff brings you into the nice position, that you know they like you for who you are and not for your "fake"wealth, and you could potentially help them out in a situation they need you.
You really think it's “financial literacy”? Sure it's not just stupid spending?
Well not knowing sometime means people end up in bad situation so you don't think.....
first
Im not sure I believe these stats. 2/3 of millennials have nothing saved for retirement!! That’s unbelievable.
Would love to save money, just don’t earn enough. My paycheck is gone before I get it. Teaching myself how to code to hopefully get a job earning more but takes on average 1000 hours. 🫤