6 Middle Class Habits That Will Keep You Broke Forever

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  • Опубліковано 21 лис 2024

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  • @VincentChan
    @VincentChan  5 місяців тому +37

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    • @JosephLee2012
      @JosephLee2012 3 місяці тому +3

      I don't have any credit card debt even though I am married with 2 kids at minimum wage. We paid off two homes. Since I did not make it to Stanford and wend to UC Berkeley, my parents saved enough money to buy my 3rd home at Irvine, California with 3 bedrooms and 3 bathrooms where we live. How can you possibly get a credit card loan with a 20% interest rate? Since your parents did not graduate from college, I commend you for all of your accomplishments. My father graduated from Stanford. Your English is also really impeccable as well.

    • @EvolutionSAVE
      @EvolutionSAVE 3 місяці тому

      Wsse

  • @nicolasbenson009
    @nicolasbenson009 22 дні тому +357

    At the very least, I now grasp the concept of leverage. Creating wealth and financial freedom isn't as tough as many people believe. Building wealth and remaining financially stable indefinitely is a lot easier with the appropriate information. Participating in financial programs and products is the only true approach to make a high income and remain affluent indefinitely.

    • @TinaJames222
      @TinaJames222 22 дні тому +3

      Starting early is simply the best way of getting ahead to build wealth , investing remains a priority . I learnt from my last year's experience , I am able to build a suitable life because I invested early ahead this time .

    • @tatianastarcic
      @tatianastarcic 22 дні тому +2

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      @Vincent-j8u 22 дні тому +4

      That does make a lot of sense, unlike us, you seem to have the Market figured out. Who is this consultant?

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      @tatianastarcic 22 дні тому +3

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      @sharonwinson-m8g 22 дні тому +3

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  • @ka-wing6493
    @ka-wing6493 2 місяці тому +410

    Middle Class Habits:
    1. Lifestyle Inflation
    2. No Emergency Fund
    3. Paying Too Much in Taxes
    4. Not Understanding Career Capital
    5. Not Working Smart
    6. Having Bad Debt

  • @foodlover8151
    @foodlover8151 5 місяців тому +1249

    #1 is definitely a killer for almost everyone I know. A big pay increase with a new job, people already spend on new cars, fancy restaurant or designer fashion. No wonder why people complain that they live paycheck to paycheck.

    • @VincentChan
      @VincentChan  5 місяців тому +34

      yeah it's very common :( do u fall for it?

    • @foodlover8151
      @foodlover8151 5 місяців тому +38

      @VincentChan I used to but your content has really opened my eyes on my spending. You're really good at breaking down information to be easily digested. Thank you!

    • @jollama
      @jollama 4 місяці тому +9

      It’s free comedy when you see them complain while for the rest of us, we get more breathing room to invest

    • @Nakkisampyla
      @Nakkisampyla 4 місяці тому

      My salary has tripled in 6 years, but i still spend as before. However I have bought Blenftec blender and Delonghi coffee machine and couldn't been happier, quality machines and great warranty services.

    • @disrespectthefive
      @disrespectthefive 3 місяці тому +14

      it’s called increasing your living standard and not everyone is complaining about that

  • @DanielChirsq1
    @DanielChirsq1 16 днів тому +274

    Investments are the roots of financial security; the deeper they grow, the stronger your future will be."

    • @SebastianNoah5e
      @SebastianNoah5e 16 днів тому

      The deeper your investment roots, the stronger your financial security will be in the future.

    • @SofiaJames9H
      @SofiaJames9H 16 днів тому

      Exactly! With my adviser, I’ve cultivated deep investment roots, strengthening my financial security for the future.

    • @RubyOliverm5l
      @RubyOliverm5l 16 днів тому

      I would love an introduction to an adviser who can help me strengthen my financial roots.

    • @SofiaJames9H
      @SofiaJames9H 16 днів тому

      My CFA NICOLE ANASTASIA PLUMLEE a renowned figure in her line of work. I recommend researching her credentials further.

    • @RubyOliverm5l
      @RubyOliverm5l 16 днів тому

      Thank you for this amazing tip. I just looked the name up and wrote her.

  • @cmccormick1996
    @cmccormick1996 3 місяці тому +580

    Solid advice for anyone making 6k+ a month. Most of us need different advice

    • @RolfYeager
      @RolfYeager 2 місяці тому +34

      If you make any money at all you can use this advice

    • @leotironi
      @leotironi 2 місяці тому +2

      Exactly

    • @nikigutierrez
      @nikigutierrez 2 місяці тому +1

      This is a US salary, bear that in mind. The tips work for any middle class income.

    • @ozzy1154
      @ozzy1154 2 місяці тому +1

      My advice is make more money

    • @mojolotz
      @mojolotz Місяць тому +2

      It did say middle class.

  • @fliptheflipped
    @fliptheflipped 4 місяці тому +1113

    i got sad when the example was 6k/month. my salary isnt even half of that :(

    • @Laura-nw9we
      @Laura-nw9we 4 місяці тому +73

      Time to make some plans to make it a reality

    • @ashokazuni9966
      @ashokazuni9966 3 місяці тому +52

      My salary is probably half that maybe a little more and i was shocked and sad.

    • @fliptheflipped
      @fliptheflipped 3 місяці тому +19

      @@ashokazuni9966at least you got half 😢

    • @fliptheflipped
      @fliptheflipped 3 місяці тому

      @@Laura-nw9wewhat plans? Im genuinely trying to know because i would love to have that salary. Even half of that salary would be nice 🥲

    • @aluisious
      @aluisious 3 місяці тому +15

      Become an electrician. It's easy and it pays well.

  • @thatElene
    @thatElene 3 місяці тому +255

    The most important thing is healthy eating for me. I'll always prioritise buying good organic foods. I might not buy clothes or makeup but nutrition is a must!

    • @dez7800
      @dez7800 3 місяці тому +22

      It really doesn't need to be organic... Maybe in the US since you have shitty food regulations though, idk. I'd say it isn't necessary in Canada.
      Just cook your meals, don't buy premade/transformed or frozen stuff and make sure your meals are balanced. It really isn't that deep. Also, north americans tend to eat too big portion sizes so keep that in check and practice some sports!

    • @NochSoEinKaddiFan
      @NochSoEinKaddiFan 2 місяці тому +17

      @@dez7800 Frozen isn't automatically bad, frozen vegetables can even be healthier than regular produce, because it got frozen when it was best and that is how you buy it.

    • @xhen12
      @xhen12 2 місяці тому +12

      I agree with this too, it’s about priorities. You can save all the money in the world but if you’re eating crap food because you’re trying to save money it defeats the purpose. Without your health you can’t even make money and if you get sick you’re going to pay more and your quality of life will decrease. I think saving and being aware is important but a balance should also be struck between being cheap and watchful

    • @dez7800
      @dez7800 2 місяці тому +9

      @@NochSoEinKaddiFan I didn't mean frozen vegetable or meat/fish. I meant frozen premade meals like pizza, chicken tenders and stuff like that.

    • @NochSoEinKaddiFan
      @NochSoEinKaddiFan 2 місяці тому +3

      @@dez7800 I just wanted to point it out for those who don't differentiate between frozen fast food and frozen produce :)

  • @adamcomerford8502
    @adamcomerford8502 3 місяці тому +52

    Goodness sakes, people, cost of living is not universal. $6,000 may be a lot of money where you live but in some places in the US it might only be just enough to pay your bills and save for retirement.

  • @can1687
    @can1687 4 місяці тому +378

    I am nearly out of debt. Snowball system baby.
    Studentloan paid, medical bill paid, left is only 1 personal loan. Then freedom baby. Emergency fund set.
    Now working on the last loan

  • @Blittsplitt5
    @Blittsplitt5 4 місяці тому +226

    Pay off debt before any of this.

    • @DubStocks
      @DubStocks 2 місяці тому +11

      No, save up at least $1,000 before paying off debt any faster.

    • @kentonlinger2678
      @kentonlinger2678 Місяць тому

      Nah build a cushion first then pay off debt

    • @GeneValgene
      @GeneValgene Місяць тому

      That was point #6 in the video

  • @donnarichardson7214
    @donnarichardson7214 Місяць тому +7

    I sacrificed income to teaching for years. When I got a boost in salary I shoved it all into savings, CDs, and money market. I would never have escaped an oppressive job if I hadn't saved every penny. Thanks, Depression-era Mom who budgeted every cent and made her own clothes (for that matter to Dad who did his own yardwork, did his own tuneups, fixed electric and carpentry and other maintenance). People don't live reasonably any more and then keep complaining they're broke. Unless you are a millionaire (or more) you're a fool if you don't live carefully as people did before the 70s. Fix and repair things, buy quality and use it forever (my last car made it to 23 years and 230,000 miles).

  • @kimmeeb
    @kimmeeb 3 місяці тому +111

    My emergency fund literally saved my finances. I had to go to the hospital for 10 days due to a mental health crisis. Thank God my parents trained me from birth pretty much to put 10% of every paycheck into my savings account. If I didn’t have that, I would have close to $7k in medical debt. Instead, I just have around $2k in credit card debt thanks to expenses during that time, which I should have paid off in the next couple months

    • @dez7800
      @dez7800 3 місяці тому +16

      I'm really glad you are fine and that it wasn't desastrous for your finances, but man this really is: Tell me you live in the US without telling me you do...

    • @farmoboy83
      @farmoboy83 3 місяці тому +10

      its incredible how americans can't get sick without money. i live in a western european country and no one goes on debt because of medical bills. Sure you can chose private hospitals and pay accordingly but most public services are good and completely free

    • @KelilahLivingston
      @KelilahLivingston 3 місяці тому +2

      If you were low income and never saved, that visit would be free. I did the smart thing and dropped out of the rat race. I don't work, had kids, and made the government pay for it. Being a model citizen gets you nowhere.

    • @KelilahLivingston
      @KelilahLivingston 3 місяці тому +5

      Adding, you probably had that mental health crisis from slaving away. It ate into your free time. It caused undue stress. It took away from you building up and spending time with your community. It's why "second places" don't exist anymore. Modernism causes Stockholm Syndrome. It genuinely has you proud of the fact it stole your wages to pay for the problems it caused.

    • @farmoboy83
      @farmoboy83 3 місяці тому

      @@KelilahLivingston yes but its not the government that pays, its the working force. I accept everyone that leaves the rat race but it doesn't look ok to be able to do so based on the poor bastards that are keeping the race that feeds you.

  • @MTuground00
    @MTuground00 3 місяці тому +76

    I get around €1400 p/month. 700 for needs, 400 wants, 300 savings. 700 needs is not enough when we have to pay insurance, service our vehicles etc...

    • @Rayenn_19
      @Rayenn_19 2 місяці тому +6

      The 50:30:20 is highly personal, so you can adjust the numbers based on your needs

    • @clarawdk
      @clarawdk Місяць тому +4

      True, and also if you live in a big city like Paris, a vehicle is generally not needed BUT housing is so expensive that 700€ would be just enough (or not even enough) to pay the rent solely.....

    • @katelijnesommen
      @katelijnesommen Місяць тому +1

      Yeah, does depend on which country you're in of course, but on €1400 you're not going to be able to save anything in most places

    • @doc8125
      @doc8125 22 дні тому +1

      Well, this was directed at middle class people, 1400 euro a month is well within the poverty line in a lot of countries. I'm sorry to hear that though, I've been there myself, working three jobs and barely being able to cover rent, I'm hoping you'll things will work out in the end for you

  • @TillTheThrill19
    @TillTheThrill19 3 місяці тому +85

    My father said it the best. Never compare your income or your salary to others. The guy who makes 100k could spend every penny of that. Whereas the person who makes 60k knows how to budget their cash. Live within your means folks

    • @Rhyzom
      @Rhyzom 2 місяці тому +4

      A friend of mine made the same (little) but it felt like they earned three times as much, they had savings and budget for hobbies. I asked how they did that and the answer was "I was working a deadend spreadsheets job and got tired of living paycheck to paycheck, so I spreadsheeted my life". And they then shared some of the things they look out for. My partner and I took it seriously and started to wise up. It feels so good to finally be "healthy" finance wise, a sense of peace in every hour of the day. Never realised how much stress I had about it before.

    • @ForWhatIsAMan
      @ForWhatIsAMan Місяць тому +1

      The sad thing is that your example of a ‘high income guy’ is someone who makes 100k
      You are completely entrenched in the narrative sold to slaves

    • @TillTheThrill19
      @TillTheThrill19 Місяць тому +2

      @@ForWhatIsAMan it’s just an example of two totally different salaries & how budgeting and investing can benefit one more over a higher fixed salary

    • @ForWhatIsAMan
      @ForWhatIsAMan Місяць тому

      @@TillTheThrill19 60k and 100k are virtually the same salary if you care about seeing any notable level of success before you’re 45 years old

    • @TillTheThrill19
      @TillTheThrill19 Місяць тому

      @@ForWhatIsAMan Making $6,130 a month vs. $3,870 a month CAD is not the same, so let's set the ego aside for a second. Some people excel at budgeting and investing, while others don’t. Some need their salary to make ends meet, while others rely on their assets and don’t need a high income. You’ve fallen into the trap of chasing salaries, but there are plenty of other ways to generate income in this world

  • @Tlj10144
    @Tlj10144 5 місяців тому +122

    I like how genuine and realistic your content is and way better than some fake guru telling people to invest in Bitcoin and selling snake oil. Keep it up, Vincent!

  • @rosebutcher90
    @rosebutcher90 20 днів тому +4

    So many people here are tuning out after he mentions $6k earnings a month (as an example) without thinking they can turn the dials and make his advice suitable to your circumstances... And also understanding that this video is aimed at the Middle Class... (it's even in the title). There's great advice to follow even as someone who is building wealth slower than the middle class.

    • @josephcouret1446
      @josephcouret1446 8 днів тому

      Its a poor example, the same way you cant tell people they should only be spending 50% of their income on their needs. Its unrealistic and its tone deaf to the reality the majority of us are living

  • @chelleb.9759
    @chelleb.9759 2 місяці тому +9

    ASSOCIATE YOURSELF WITH THE RIGHT PEOPLE
    In my small years of working life, I learned that associating yourself with people with right growth mindset helps better growth. Working with shopaholics entices you to spend more than you should. Yes you cannot change your friends sometimes but choosing the right soil for you to grow is also important

  • @sct4040
    @sct4040 5 місяців тому +51

    #1 is the reason why people who makes $100k per year are still complaining they have no money. This was me in my 50s, the decade when I finally made decent money.😅
    DON’T do this.

  • @julesjma
    @julesjma 3 місяці тому +363

    I stopped watching after you mentioned $6000 a month.

  • @peggyseabrun4829
    @peggyseabrun4829 2 місяці тому +6

    NEVER forget the lessons you learn when times qere hard. Its why wealthy people are often called cheap. Not cheap ;they're frugal, sensible and having what you aspire to.

  • @P5ykoOHD
    @P5ykoOHD 3 місяці тому +30

    My emergency fund rule is to put aside 2 years of salary ... for me, it's because I have been unemployed before, and have had accidents that left me without the ability to work for a while, so being capable of having 2 years worth of salary put aside is for me the perfect goal, and I'm nearly half way to my goal ^^

    • @annacf2
      @annacf2 3 місяці тому +6

      Consider putting your emergency fund in a high yield savings account! This will allow you to earn 4-5% interest (at least a couple hundred a month) on your savings. Fully liquid, no risk.

    • @P5ykoOHD
      @P5ykoOHD 3 місяці тому +5

      @@annacf2 Need to see if High yield savings accounts exist in France where I live ... and thanks for reminding me, proving once more no one person can think or remember everything ^^

  • @transitengineer
    @transitengineer 5 місяців тому +25

    As always Vincent Chan, thank you for sharing these very useful tips. For myself, the most important two were 4th) "Career Capital; and 5th) "Work Smarter". However, the best advise I now yearly provide to both new trade school grads as well as college grads is: "while working at your first job, please live with other people for a five (5)-year period after school" this way, you are able to save up to 50 percent of your take-home pay. Once all your money "pots" are full including emergency fund, investment accounts, and retirement accounts, you then will be miles ahead of all your peers when, you then step out into your own apartment or town-home. Also. during this 5-year period when living with others, please try not to buy a new automobile and strive to remain debit free (smile ... smile)

  • @LUCAS-hq3mp
    @LUCAS-hq3mp 3 місяці тому +7

    My husband and I have only one car. I'm the one who usually rides the bus or walks to my workplace. That's one of the reasons we live downtown Wilmington. All the bus lines stop there, and I don't mind waiting about 10 to 20 minutes for transportation, since it's never full lol I'm 29 and came to the USA two years ago and I have more than 20k saved among my savings and certificates. My husband also saves a lot of money due to our healthy spending habits. We hardly ever go clothes/shoes shopping or to restaurants.

  • @yuurei_ender
    @yuurei_ender 3 місяці тому +16

    I love how you put your own pics and videos to illustrate your content

  • @slipperynoodle3611
    @slipperynoodle3611 2 місяці тому +11

    How do I pay rent, bills, debt, AND save for an ‘Emergency fund’. Where are all these people getting so much money from?

    • @ProgramistaNaBudowie
      @ProgramistaNaBudowie Місяць тому +3

      Invest in yourself. If you don't have money, invest time. Time is money. With this time, after gaining new skills you can earn more money.

  • @neverasked666
    @neverasked666 3 місяці тому +160

    Number 1 middle-class spending habit: paying rent

    • @greg_216
      @greg_216 2 місяці тому +5

      That idea is a common middle class mental trap. There are many costs of homeownership that aren't considered.
      Let's say you could buy housing similar in size and amenities to an apartment -- in other words, nothing fancy -- and the sale price would be $200k. Let's also say $4k/year in property taxes and HOA/COA fees. And then let's throw in another $1k/year for insurance, another $2k/year for maintenance, and another $3k/year for utilities. We're gonna say the mortgage interest rate and equity opportunity cost are both 7%. (Equity opportunity cost is the money in home equity that might otherwise be invested and make money rather than just sitting in a house.) So, however much equity you've got, that's still another $14k/year. Add it all up and you get $24k/year, or costs of $2,000 per month. Which might not be quite the steal renters are picturing.

    • @kodab928
      @kodab928 2 місяці тому +5

      @@greg_216 find me a house that’s under 300k I’ll jump on it

    • @greg_216
      @greg_216 2 місяці тому +1

      @@kodab928 I know not everyone wants to live in northeast Ohio, but of the 59 communities in Cuyahoga County, 36 have median home sale prices under $300k

    • @josephcouret1446
      @josephcouret1446 8 днів тому

      ​​@@greg_216lol you gonna help completely move states and find him a job there? You cant just say "yeah move somewhere completely different and buy a house" if people had miney ti do that. Theyd have money to save and theyd HAVE money saved

    • @greg_216
      @greg_216 8 днів тому

      @@josephcouret1446 Please don't use quotation marks to attribute a quote to me that I did not say. It's intellectually dishonest and rude.

  • @Jakepf
    @Jakepf 2 місяці тому +15

    2:31 man I wish these guys talked about realistic shit sometimes. Like 6k a month?! Let's talk about the low income class and how we can climb out of poverty...

    • @JuliPope-blubic
      @JuliPope-blubic Місяць тому +4

      Very few of us can, until something changes in legislation. Caps on price-gauging, exorbitant medical costs, tuition of state schools for 4 year degrees, food regulation...something. The 1% is holding our tools for both survival and progress hostage behind an insane pay wall. Our biggest superpower rn is casual "boycotting" (really just not giving into exorbitant costs and getting creative about survival) and voting locally and nationwide.

    • @user-qp6lj6gu7s
      @user-qp6lj6gu7s 23 дні тому

      You're the one that clicked on a video for the middle class, not everything is made to cater to your specific needs, this is realistic for a lot of people.
      Why don't you go "great video! Can you do one for people with x income?"?

    • @josephcouret1446
      @josephcouret1446 8 днів тому

      ​@@user-qp6lj6gu7smiddle class in america is becoming pretty nonexistent. The people who WERE middle class are now poverty line, why do you think theyre here?

    • @Manowarmx3
      @Manowarmx3 5 днів тому

      6000 is abou mt average in my company

    • @user-qp6lj6gu7s
      @user-qp6lj6gu7s 5 днів тому

      @@josephcouret1446 my point about attitude and behaviour still stands

  • @brianwhitehawker1756
    @brianwhitehawker1756 Місяць тому +413

    Curious about top investors' millionaire-making strategies, I'm eager to grow my $295,000 nest egg. Investing in stocks could provide attractive returns through capital appreciation and dividend yields. But timing is crucial - should I invest now or wait for improved market conditions?

    • @lucaswilliams9992
      @lucaswilliams9992 Місяць тому

      I think the smartest way to go is to spread out your investments. By putting your money into different asset classes like bonds, real estate, and stocks from other countries, you can lower the risk if one part of the market goes bad.

    • @Jadechurch-ql3do
      @Jadechurch-ql3do Місяць тому +1

      Several individuals minimize the importance of counsel until their own feelings become overwhelming. A few summers ago, following a protracted divorce, I needed a significant push to keep my firm afloat. I looked for licensed advisors and found someone with the highest qualifications. She has contributed to my reserve increasing from $275k to $850k despite inflation.

    • @yeslahykcim
      @yeslahykcim Місяць тому

      impressive gains! how can I get your advisor please, if you dont mind me asking? I could really use a help as of now

    • @Jadechurch-ql3do
      @Jadechurch-ql3do Місяць тому

      Credits goes to "Lucinda Margaret Crist" one of the finest portfolio managers in the field. She's widely recognized; you should take a look at her work.

    • @geraldt331
      @geraldt331 Місяць тому

      I just googled her now and I'm really impressed with her credentials. I reached out to her since I need all the assistance I can get.

  • @Tina-sn7qd
    @Tina-sn7qd 4 місяці тому +15

    I work in customer service and it‘s crazy how many cards decline at the end of the month

  • @PhilFlock
    @PhilFlock 4 місяці тому +52

    Usually I'm just a silent listener.
    But I gotta say. I do enjoy your content a lot. Thank you for your hard work and research. Once it's gonna make me a millionaire I'll buy you a pineapple pizza

  • @berniekatzroy
    @berniekatzroy 2 місяці тому +3

    Personally i think spending a bit more on healthier and organic food is worth matched with the fact that you're improving cooking skills and exercising regularly.if you're just buying healthier food and not improving the other 2 factors, its worthless in the long run

  • @adjvic13
    @adjvic13 Місяць тому +2

    Tracking expenses in a sheet for months now - It's one of the best things I did for myself this year. Even managed to invest money because of it.

  • @Rob_Pap
    @Rob_Pap Місяць тому +17

    First tip : make 6k a month
    Tip number two : already have money

    • @josephcouret1446
      @josephcouret1446 8 днів тому

      Exactly 🙄 all these financial advice guys always give a scenario barely anyone can relate to or make work for them

  • @ADVzac
    @ADVzac 18 днів тому +1

    It feels better to just pay something off. Start with the smallest CC and pay that off. The reward feeling of not owing on that 1 CC anymore gives motivation to start paying off the next car/CC/loan. And just keep going. I don't recommend starting with the massive truck payment. Start small and work up.

  • @mayangoddess9949
    @mayangoddess9949 2 місяці тому +2

    You are spot on. I am STUCK in the USA forever. And we are buying AVOCADOS and MANGO and CORN 🌽 and FISH. Now I have to buy a NEW CAR...and a NEW HOUSE...while I keep searching for a NEW JOB...inside the USA. I am middle-class...with DREAMS of living in a resort country like BELIZE. I really WISH that I could actually buy a FARM there...near the RIVER then I could service all those CRUISE SHIPS 🚢...and live inside a FANTASY. ..while I count my money 💰...every night 🌙. Thank you.

  • @DonLee1980
    @DonLee1980 2 місяці тому +8

    Lifestyle inflation is the worst. Once you might have said, “if I made this amount of money, I’d be able to save so much and afford so many things”. But then when you finally do make so much, you realise you barely saved anything.

  • @Tokyo_Drift-k3u
    @Tokyo_Drift-k3u 4 місяці тому +11

    😭😭😭😭 true. Waisted my first salary just living and vibing after covid. Went on many trips, eat out, upgraded my grocery list options.

  • @AdamWilliams-up2dx
    @AdamWilliams-up2dx Місяць тому +4

    The only thing that will keep you broke forever is your boss stealing every penny he can of the surplus value of your labour and putting it in his own pocket.

  • @RoseDupouy
    @RoseDupouy 3 місяці тому +16

    I ain't even making enough for my family's needs!

  • @JTDIYM
    @JTDIYM 4 місяці тому +33

    6000 after tax is crazy

    • @knosis
      @knosis 2 місяці тому +1

      That's about 100k/year

  • @manueldelgado5336
    @manueldelgado5336 3 місяці тому +13

    Credit card interest rate of 28% sounds very nice! In Mexico, the most common is around 80%

  • @NJVArtimations
    @NJVArtimations 3 місяці тому +25

    My Salary here in the Philippines is too low i have no money for even an emergency fund

    • @liquidsleepgames3661
      @liquidsleepgames3661 3 місяці тому +4

      That's when you take the dave Ramsey approach.
      "Sell so many of your possessions that the kids and the family dog think they are next" and "beans and rice and rice and beans."

  • @user-nm6dr4uy3d
    @user-nm6dr4uy3d Місяць тому +1

    I used to have one bank account from which I would pay everything from utilities to fun stuff. My spending would automatically increase after pay day when it felt like I had unlimited funds. Now, with automation, I divide my money between different accounts, each with a specific purpose like bills or essentials. This way, I have a realistic idea of my budget at all times. I don't spend nearly as much anymore and save a lot more.

  • @lorenzozapaton4031
    @lorenzozapaton4031 5 місяців тому +180

    Not working is also a bad habit that keeps you poor.

  • @Araian85
    @Araian85 3 місяці тому +11

    ... who is making 6K a month and can only spend 3k on needs? Because most +5K salaries are in places where rent will take a substantial part of those 3k... unless it's a remote job?

    • @ChuChuGon
      @ChuChuGon 3 місяці тому +3

      Definitely remote only. I envy them. I'm jealous of my coworkers who are paid the same as me but don't live on the West Coast. Their QOL is nearly doubled 🙃

  • @euphoriasveryown
    @euphoriasveryown 3 місяці тому +346

    Who’s making $6000 a month?

  • @TheFreakbreak
    @TheFreakbreak 3 місяці тому +3

    Advice literally for 2 people here. 6k a month is insane

  • @AzikiweTerro
    @AzikiweTerro 2 місяці тому

    I never comment on videos, but I just wanted to do so on yours to let you know that you make very helpful and educational videos. We can learn so much from your videos every day.

  • @AvAfanfromfrance
    @AvAfanfromfrance Місяць тому +1

    I'm nearing 30 and have spent my 20's building myself an emergency fund. I plan to own a home one day and I have to still have a bit of emergency fund after the advance. I don't travel, I don't go out very often, and I have 2 years of salary saved. I'm glad I did it because one friend has done the opposite and he's approaching 30 with anguish

  • @letsdomath1750
    @letsdomath1750 5 місяців тому +22

    12:51 This is all under the assumption that you have money leftover after paying a little bit over the minimum payments. 🤔 Also, groceries are required to feed yourself to then work to then pay these bills. If you have to pay them with a credit card for the time being, you pay them with the credit card. Something more helpful would be ways to consolidate debt securely after emergency funds were used up during emergencies.

    • @AndrewHelguera
      @AndrewHelguera 4 місяці тому +2

      Nah bro you’re cooked. If you don’t have enough money to feed yourself then you need to make lifestyle changes.

    • @letsdomath1750
      @letsdomath1750 4 місяці тому +2

      @@AndrewHelguera In the case of someone who blew threw their emergency funds and then some due to an unexpected emergency, the lifestyle change won't be immediate.

    • @annacf2
      @annacf2 3 місяці тому

      If your unexpected emergency exceeds 3 months of expenses, you probably don’t have insurance. Protecting yourself against unforeseen medical, car, or home issues is necessary in the form of insurance.

    • @letsdomath1750
      @letsdomath1750 3 місяці тому

      ​@@annacf2Pandemic wipes out work from March to September, broken ankle, 4 car tires popped from not being able to drive, etc. Insurance covered medical bills, and nothing else. Took out a disaster relief loan.

  • @dynamlllilte4230
    @dynamlllilte4230 Місяць тому

    This video is a MASTERPIECE IN FINANCES! Your content is OTHERWORLDLY ITS SO GOOD! Thanks so much for teaching us so many amazing finance lessons!

  • @heenashaseeb9799
    @heenashaseeb9799 20 днів тому

    Ok this video rocks and I hate all other videos made on this topic, they miss out on a lot and don't really help. But this video is absolutely perfect! Forwarding it to all my students too

  • @seanmontague6479
    @seanmontague6479 5 місяців тому +27

    If one earns a 10% return, it will take approximately 7 years to double.

    • @OroborusFMA
      @OroborusFMA 4 місяці тому +1

      Said the same thing. I thought it sounded off.

  • @douglasauclair3086
    @douglasauclair3086 2 місяці тому

    I like your quotes scattered throughout, although I'm not familiar with the persons quoted. I particularly liked Nassim Taleb's "3 most harmful addictions: 1. Heroin, 2. Carbohydrates, 3. Monthly Salary." I'll remember that one.

  • @niskanen19
    @niskanen19 2 місяці тому +6

    the real 20yo math is deciding whether you should pay off your student loan asap or drag it out but use the left over money to invest... 😅

    • @suzannaflores1164
      @suzannaflores1164 28 днів тому

      Just finished paying off my student loan. Better feeling to be temporarily broke and permanently free than delay and keep biting interest fees

  • @foolishone2002
    @foolishone2002 3 місяці тому +3

    I thought I was going to get some useful advice from this, but If 6000 USD is middle class then I am realizing I am not middle class, I am poor, I can’t save money because I don’t even have enough for the basic

  • @bocbocigi.-hs5nd
    @bocbocigi.-hs5nd 3 місяці тому +515

    The fact that nobody talks about the book arab money secrets, speaks volumes why people dont earn a lot of money..

    • @thekezich9401
      @thekezich9401 3 місяці тому +2

      thanks a lot!

    • @6TF6metoda-qn8rn
      @6TF6metoda-qn8rn 3 місяці тому +1

      thanks brother

    • @Primorkusha
      @Primorkusha 3 місяці тому +2

      Totally eye-opening!

    • @anonymous00117
      @anonymous00117 3 місяці тому +2

      let me guess, spam bot advertising fake investment scams again? bingo.

    • @KVergara
      @KVergara 3 місяці тому +41

      I tend to hesitate about opinions that: 1) Suggest that people are missing out on the one solution that will solve their problems, and 2) Use the phrase, "speaks volumes"

  • @gracedevries2076
    @gracedevries2076 12 днів тому

    Thank you fro the helpful tips and explaining them in real world examples! Also the way you lead into your next video works really well!

  • @Yemma1990
    @Yemma1990 15 днів тому

    Except for the "keep learning", I already do everything. I could save up a good amount of money, but it's still not enough to buy real estate...

  • @orangesub121
    @orangesub121 2 місяці тому +6

    That's not python man! 8:03

  • @EwokTot
    @EwokTot 4 місяці тому +4

    The endings to the videos work on me every time. I was finally able to break free on this video.

  • @100vfilms
    @100vfilms 4 місяці тому +4

    You're incredible. You've opened my eyes and it gives me hope. I'm 38 and I wish I knew all this in my twenties. But it's not too late. I have some money saved in my account and I will invest it in the stock market to insure my future. Thank you so much.

  • @Akuspizza
    @Akuspizza 3 місяці тому +6

    cool at the start of the vid, but after a while you get too much into the meritocracy brain. remember that meritocracy isn't real. most rich people had lucky circumstances, lie and cheat and break the law. That's what """"working smart""" is. don't misunderstand. We can definitely change our habits to improve our money A LOT, but there is a limit to the individual. society forces those limits and circumstances upon you. "Making it" isn't really a thing done by just working hard, which is essentially just your 2nd half of the video (and is wrong.)

  • @mart1n10601
    @mart1n10601 5 місяців тому +13

    I always apprecaite a video with timestamps and sections that are broken out for each of the 6 things listed. Automatic Like from me. Thanks for putting this much effort in the video!

  • @danielsal5442
    @danielsal5442 19 днів тому

    In your example you said 10% interest will double your input in 10 years. In that example you’re forgetting the interest on interest effect. The money will have doubled between 8 and 9 years

  • @tamasballa1
    @tamasballa1 2 місяці тому +3

    7:38 "teach myself python" then proceeds to show some javascript code

    • @DanielHoherd
      @DanielHoherd Місяць тому +3

      Writing JS is probably why he chose to learn python.

  • @gabrielamachowski3333
    @gabrielamachowski3333 3 місяці тому +7

    Shoutout from South Africa on my couch :)

  • @yothiga
    @yothiga 3 місяці тому +8

    Thank you for all valuable advice. I hope you stay true and not turn into one of financial influencer that sells crypto to audiences in the future.

  • @cosmicrusalka
    @cosmicrusalka 26 днів тому

    My husband and I started doing an emergency fund and have really focused in on paying off debt, and those two things alone have vastly improved our financial situation. It does also help that we are a DINK household 😅
    ("Duel-Income-No-Kids" for people who don't know)

  • @lastempire7302
    @lastempire7302 3 місяці тому +6

    2:36 never cheap out on insurance. That's rule #0

    • @Moonstone-Redux
      @Moonstone-Redux 2 місяці тому

      Once peeled an entire door out of a rental when I was on holiday.
      The only thing that really got the edge out of the epic mental damage of having to call for help in Japanese with a phone that refuses to call emergency services (???) in the middle of rural Japan was that I paid for the highest level of insurance that meant the only thing I had to pay materially was forfeiting the unused part of the rental.
      The next year when I rented from the same company (I don't know how they didn't blacklist me for the stunt I pulled) I made very sure to pay for the exact same maximum tier insurance (it costed an additional 500 yen per day).

  • @d947
    @d947 5 місяців тому +64

    2:00 $6000/month in the US is crazy. In Belgium (Western Europe) it’s just €2400

    • @joannat1898
      @joannat1898 4 місяці тому +21

      Yeah, but you also have universal health care and lower higher education costs. I had a recent medical issue and had to pay over $10k-with insurance.

    • @d947
      @d947 4 місяці тому

      @@joannat1898 that’s a lot… Thanks for sharing

    • @can1687
      @can1687 4 місяці тому +6

      10K for Health isssues? Oh my god.
      But we pay a lot of our income to the health System

    • @Iusuallydontcommentbut...
      @Iusuallydontcommentbut... 3 місяці тому +2

      In Hungary (middle europe) if I would make that kind if money I would be rich, not having any problem: I could rent my own apartment not just a room, I can save up a lot, I coud have a car and nice holidays.
      Noe here is an avarage salay is around 900$ 😢

    • @aluisious
      @aluisious 3 місяці тому +3

      @@Iusuallydontcommentbut... Being able to pay monthly bills isn't rich. Rich means you live without needing a paycheck. You would not be rich making $6k a month.

  • @meydiaengka
    @meydiaengka 4 місяці тому +8

    I currently invest my money on education. Wish me luck ❤

  • @ForkSuperhero
    @ForkSuperhero Місяць тому +2

    6k example made me laugh fr. I make around 3k a month and my bills already up over half of that every month.

  • @singularity_josh8063
    @singularity_josh8063 2 місяці тому +1

    The ending your videos have are about to make me watch more, but I got stuff to get done.

  • @iNickolR
    @iNickolR 2 місяці тому +2

    Oh those organic free-range avocado you mention in every video…

  • @Annbe12
    @Annbe12 2 місяці тому +2

    I was watching this and by the end of the video it says before age 30. And im 31. Hope its not too late to start

  • @ayushisingh4445
    @ayushisingh4445 2 місяці тому

    I like how you hook the last part of your video to your next UA-cam video. Smart!

  • @mrmeldrew693
    @mrmeldrew693 Місяць тому

    I had a pay rise recently.
    Am putting it directly into an AVC pension.
    As soon as my wife's car is paid off, I'll be paying cash only in the future.
    Sick of debt.

  • @tinak.p.258
    @tinak.p.258 20 днів тому

    Well paying jobs tend to be in areas where housing costs are very high, and you often end up eating out more when either you have a very long commute or a very small apartment (with too little space to bulk-buy food staples).

  • @mrsamtheman80
    @mrsamtheman80 5 місяців тому +28

    Imagine going back in time 25 years and telling people that families will buy everyone 10 or older a new computer every 2 years, plus individual phone lines monthly. They would say it was a huge waste of money.
    Yet, now people do it with smart phones, and wonder why they are living paycheck to paycheck.

    • @OroborusFMA
      @OroborusFMA 4 місяці тому +1

      That's because capitalism has mutated from a purchase/ownership model of consumption to a subscription/rental model of consumption. It's the perfect vampiric relationship. They suck your lifeblood forever, not just once.

    • @alex.harkness
      @alex.harkness 4 місяці тому +1

      I mean… 1999 is very different to 2024. But I get your point lmao
      You don’t need the newest laptop and iPhone, 24/7

    • @aluisious
      @aluisious 3 місяці тому +6

      A $2000 computer in 1999 would be $5000 now. No one has a $5000 phone. Shut up.

  • @lianalonge1984
    @lianalonge1984 Місяць тому +1

    Where I’m from, Häagen-Dazs was the bourgeoisie ice cream brand. 🍨😂

  • @slipperynoodle3611
    @slipperynoodle3611 2 місяці тому +3

    Me suddenly realizing I am in the lower-class while watching this video 😣

  • @LB-yp6oe
    @LB-yp6oe 18 днів тому +1

    This is annoying to watch because even within the first two points it's clear that this isn't for freelancers or small business owners in Germany.
    Basically the tax office takes all your extra and saved income and expenses to even run a business just keeps getting more expensive. Everyone and everything rn is financially suffering and it's none of our faults.n

    • @josephcouret1446
      @josephcouret1446 8 днів тому +1

      This video isnt for most people unfortunately, as seen in his $6k scenario

  • @largamau
    @largamau 4 місяці тому +28

    50% for me goes to savings
    40% goes to Needs
    10% goes to wants
    been doing this for 3 years and I saved quite a lot that helped me during one of the biggest financial challenges of my life.

  • @FineNaturalHairROCKS
    @FineNaturalHairROCKS 3 місяці тому

    Such a great video! Thank you for posting this!

  • @GovenorJerryBrown
    @GovenorJerryBrown Місяць тому

    I think over diversifying food is a huge health and money sink. I keep falling into this trap despite the fact that I am pretty comfortable with a diet of greek yogurt with honey, eggs, beef heart, chicken saltimbocca, carrots, mussels, kiwi, orange juice and protein powder. I have found a way to get all of this stuff fairly cheap. You get all the nutrients you need but I can do a month with this diet for less than $150 a month. Getting fancy and over complicating the grocery list is a waste of brain power, money, fridge space and usually you end up wasting food.

  • @etherealshine
    @etherealshine 5 місяців тому +6

    I like how you edit your videos! Satisfying edits

  • @wanderingmirage
    @wanderingmirage Місяць тому +1

    should have just said " Say you make 10,000 a month" 1:58

  • @beatweezl
    @beatweezl 2 місяці тому

    That avalanche method is golden.

  • @ich-nuta
    @ich-nuta 2 місяці тому +1

    All these financial UA-camrs earn so much that they usually do 10/10/80 needs/wants/savings

  • @ayinesk5205
    @ayinesk5205 3 місяці тому +1

    Love those tips, thank you a lot for this video and for sharing your knowledge!
    I would also like to add that sometimes, in order to be able to do those tips, we need to take the risky jump and change the job.
    On that note, I would like to share that personally, it's where it started to click. I worked on my mental health for months to be sure that I will have the personal skills and support system needed to do the change and finally after a year, I left my job!
    Good luck to everyone trying to improve their life. You got this

  • @bensmith5413
    @bensmith5413 5 місяців тому +18

    Roth ira. All the way. Tax rates are only ever going up thanks to government debt levels. Social security not being funded and just endless entitlement for handouts.

    • @duanehean3364
      @duanehean3364 5 місяців тому +2

      What stops the government from imposing a tax in the future?

    • @OroborusFMA
      @OroborusFMA 4 місяці тому

      @@duanehean3364 Nothing save the broken election system where money is "speech" and cannot be regulate.

    • @jollama
      @jollama 4 місяці тому +1

      @@duanehean3364They’re more than fine with giving us tax incentives on Roth accounts as that means they force us to fund our own retirement rather than them doing it themselves

    • @ThatOneGanyuMain
      @ThatOneGanyuMain 3 місяці тому

      Will they charge you those taxes all at once when you take it out once you hit retirement?

    • @ThatOneGanyuMain
      @ThatOneGanyuMain 3 місяці тому

      ​@@duanehean3364 hit the nail on the head. That's my fear too

  • @TampaFloRaider
    @TampaFloRaider 2 місяці тому +5

    4:36 Young people should not use their 401k to reduce their tax burden. I've watched several of your videos and your advice is really good. But most people, especially young people should invest in a ROTH retirement plan. Pay the taxes today, so you don't have to pay the taxes on the growth, that is inflated with compound interest. If you put in $300k and don't pay tax, in 40 years it could be $2M. The whole $2M is taxable as you withdraw it. But you could have been paying taxes on $300k all along, and the whole $2M belongs to you and no portion belongs to the government.

    • @Zethisis25
      @Zethisis25 7 днів тому

      There is a income limit with Roth IRA.

  • @cinnamai8
    @cinnamai8 Місяць тому +1

    Watching this from Europe where the monthly salary is about 1100e, rent is easily 400e and up, food - 200-400e+ , my half is around 300. Plus a small student loan, a cat, bills.. Almost all goes on the needs. I can barely set aside anything. Surprise expenses cripple me.

    • @zxszert573hg46
      @zxszert573hg46 Місяць тому

      Europe is diverse in term of revenu. Some earn 800 €and others 3000€/month.

    • @cinnamai8
      @cinnamai8 Місяць тому

      @@zxszert573hg46 yea i meant the common monthly salary in my country. I used to live in a few and felt the difference

    • @katelijnesommen
      @katelijnesommen Місяць тому

      €1100 is very low though, most countries in Western Europe have €1700-2100 as a middle class salary. It varies a lot though, the southern countries have lower salary, and also generally lower costs, but not that much lower that €1100 would ever be comfortable.

  • @olekolok2739
    @olekolok2739 Місяць тому

    that may work for someone alone getting good salary but with a family and kids its a whole diiferent thing....

  • @AdrianFromHoenn
    @AdrianFromHoenn 3 місяці тому +3

    Nice Video!

  • @Gheiss-
    @Gheiss- 2 місяці тому

    love bruh. thanku ❤🔥

  • @VictorABalan
    @VictorABalan 3 місяці тому +2

    Excellent video. Thank you so much!

  • @mellyna1715
    @mellyna1715 4 місяці тому +21

    Watching and hearing about 6,000 dollars usa salary while salary in Latam is 600 dollars 😶

    • @anabluu
      @anabluu 3 місяці тому +3

      800 in Greece 😁

    • @Kyle-kc8cw
      @Kyle-kc8cw 3 місяці тому +2

      ​@@anabluu 500 in Philippines

    • @adamcomerford8502
      @adamcomerford8502 3 місяці тому

      Cost of living isn't the same everywhere in the world. You probably don't need to budget $2,000+ / month for the most basic of living expenses.

    • @josephcouret1446
      @josephcouret1446 8 днів тому

      Salary in the US isnt 6k either. He used an unrealistic scenario the vast majority of us dont relate to making the advice pretty useless