Top 10 Mind-Blowing Money Stats (2024 Edition)
Вставка
- Опубліковано 28 лис 2024
- We break down the top 10 mind-blowing financial statistics that will make you rethink how you handle your money. From the shocking number of Americans who can’t cover a $1,000 emergency, to the rise of sports betting among young adults, these stats highlight some serious financial pitfalls. Prepare to have your mind blown!
Jump start your journey with our FREE financial resources: moneyguy.com/r...
Reach your goals faster with our products: learn.moneyguy...
Subscribe on UA-cam for early access and go beyond the podcast: www.youtube.co...
Connect with us on social media for more content: moneyguy.com/l...
Take the relationship to the next level and become a client: moneyguy.com/w...
Bring confidence to your wealth building with simplified strategies from The Money Guy. Learn how to apply financial tactics that go beyond common sense and help you reach your money goals faster. Make your assets do the heavy lifting so you can quit worrying and start living a more fulfilled life.
I did your survey under 100k but just hit 100k today. Starting from $0 invested 5 years ago.
Keep going🎉🎉🎉🎉🎉🎉
@@terracenight27 $200k will come much faster, it will surprise you.
congrats! cool milestone to hit
Congratulations!!!
For the car loan information I would add onto that and say that if you do buy a used car or new car and pay it off, whatever the term you will get or have now once the payments stop and it is fully paid for TAKE HALF OF WHAT THE PAYMENT WAS AND USE IT FOR A CAR MAINTINENCE FUND!!!!
As soon as Bo said he was excited I knew this was going to be a good episode!
I didn’t start investing until 36 but I went so aggressive it’s like I started at 30. As time goes on, I hope to make it like I started at 20 investing 1000 a month. Great gains helped so far. It’s not easy but possible to catch up. We need a video on how to catch up and give people hope. I’m more excited about my financial future than Bo btw 😉
How do you figure out that if you invest this much at 36 ..it will equate to as if you started at 30 ?
@@awesomekj5812 I'm assuming it's something like they are investing 35% or whatever and the current portfolio size is the same as if they were investing the recommended 25% starting at 30.
@@awesomekj5812 it actually took me 3 years of investing to catch up to make it as if I started at 30-31 and I’m almost 40. Equaling getting a 9% return per year since 30-31, but just Google compound interest calculator. I invested into individual stocks and index funds.. each year my index fund % is going up and less individual stocks. Thats my plan and I’m sticking to it for at-least 20-25 more years.
I second the video on catching up!
@@awesomekj5812probably using metrics of if he invested 20-25% starting at 30, where he would be at right now
I’m 32 and basically all my friends do sports betting. I signed up for fanatics last year for myself and my wife. We both got a free jersey and bet one time each and then withdrew the money lol. I have three kids, I can’t afford to be betting haha
Smart man!
Mine do too. Weird thing is, they are all aware that they are losing money, they know they've lost much more than what they've won and yet they still want to continue.
Questions related to sports betting would have been a great addition to the current survey. Maybe next year?
@@jamesellis1272 I had exactly the same thought
Came across this channel recently. Lot of good advice, especially going for the company match. Thanks a lot guys. Keep up the good work!
I sorta regret my major (graphic design) because I entered college at 2019 and boy was the market different by the time I graduated. Ended up pivoting into HR so it worked out, but it's so hard to see the future as a teenager, especially when a global pandemic was around the corner unbeknownst to me lol
The way I viewed it when I entered (and how I would advise anyone about to graduate high school) is to choose what you like but have backup options depending on the field you go into. I would think that graphic design is a bit hard to make money when youre starting off, so maybe Id advise someone else to have a minor in a field that’s fairly stable. Or to pick a secondary field and work there throughout college to get experience. Etc
@@saraashkir5793Unfortunately it took me until senior year to realize even at my state school, ALL the design majors I had made friends with had extremely affluent parents with instant connections (Think Art Director mom and head of nuero-science dad). I never expected to make a whole lot of money after college, but realizing I was fighting an uphill battle despite me having better work made me jump ship.
Don't be hard on yourself. There's a reason why only 27% of all graduates work in their field of study. Like you said, they're asking an 18 year old kid to decide what they want to do for the rest of their lives. Give me a break. Working in their field of study is more a matter of luck than brains or prescience.
I just hit 7 years of ownership on my vehicle--which just hit it's own 20th birthday. And it's more reliable in the last 3.5 years than in the first 3.5 years of ownership. I plan to own it for 7 more years or more.
I'd love to retire early but I have to work to 62 to get my full pension. It'd be awesome if I could afford not to but that would be a lot to give up to retire earlier, since I think it's 1-1.5% of final salary per year of work.
4 cars in our family, 10, 19, 22 and 22 years old. Toyota, Subaru and Honda, all paid in full. Very low motoring costs.
I just wanted to take a moment that I appreciate that y'all include the source of where you get the information for your stats.
We took and lived the advice and embraced scarcity.
Wife and I saved 50% of our income /for 20+ years.
We always front loaded our retirement funds each year.
With markets at all time highs.....Thank you Brian and Bo!
Are you retired by now
Congrats on 500K, you guys deserve it!
My car payment was 50 bucks as i had a heater hose leak on my 2004 dakota. Now i have all new heater lines.
8:25 credit cards being on the lower end is likely due to their repayments being over a longer period of time. Auto loans and personal loans generally have a maximum term of 7 years while many credit card companies calculate repayments based on clearing your balance over up to 20 years.
Bo is excited for this one. I'm in.
So excited!
I work with some dude that lives with his parents at 32… I try to talk to him about our company 401k and company match and he doesn’t care about all that. He has no debt or expenses and could be saving/investing boatloads of money but he just gambles away on sports bets so much
I don’t think it should have been made legal. Ads are on tv all day long for it. I also work with lots of people who save virtually nothing, like 3% into the 401k. I tell them all the time to put more but few listen.
Once he grows up and his parents stop enabling him, he’s going to have a tough transition to the real world.
Wait. Bo says he’s excited. lol 😂
I’m in my early 60’s and purchased only one new car in my lifetime. I buy low mileage used cars that get paid off in 1 or 2 year. I don’t foresee financing any additional cars in the future
Can I get a graphic for each of the 10 facts? I teach financial literacy to high school students and would love to share with them what is happening out in the financial world.
The Money Guy Show, literally changed our lives! Thank you team MGS ❤
Me and my boyfriend moved from college station to Denver. Our rent and rent expenses went up by $1500, plus Colorado income tax which is probably an extra $500 a month. And yet, since moving I got a 5k yearly raise and my boyfriend makes 1-1.5k more take home per month. So looking at Monarch, our net worth is going up faster in a more expensive area! So glad we came here
Time to change the numbers on that 489000 block sign behind Bo 😎 congratulations on 500k! Well deserved 🎉
Sports betting is quite a problem in the UK. We've had legalised sports betting a lot longer than the US. It's also usually the poorest in society that gamble. We have betting shops on every high street, but they are much more common in poorer areas.
Bo: "We have a friend who says some people aren't credit card people"
Me: "CALEB" 🤣
I heard "beh-CAWSE"
How else would you say it? bee-CUZ?
Pretty sure I heard a “cain’t” in there too! 🤔😂
I alway la think of a bird when he says it 😂
So you're saying I should invest in Draftkings
😂
If you're in an index fund for the total market you already are
I have some in the BETZ ETF for several years and it hasn't really done much despite more gamblers and more money flowing in this area. But I'm still holding it!
I started late, around age 33, but between retirement accounts & cash savings, i have about 1.5x gross income so far. Im so far away from where i need to be, but i feel confident that if i stay the course, i can build legitimate wealth to help me and my family in the future. Thanks for the reminder, bros!
The ones that make you rethink how you're handling your money? Some of them are pretty alarming, like the fact that 56% of Americans can’t cover a $1,000 emergency!
I’m a 27 year old guy and basically everyone I know gambles on sports online. Very few of them make enough money to be frivolously spending like that
That’s wild, gambling makes me physically ill. My firm often does betting on football or basketball games too and I’m just shocked so many CPAs participate.
I do hear your point about sports betting, and I certainly think that as a younger man, I would have been more likely to fall into some sort of trap surrounding it. As a 30 something adult with a good head on my shoulders financially, I don’t feel too bad having a bank roll of $200 for a season and playing around with it through the course of 18 weeks of NFL action. If I win great. If I lose, it was fun money. That’s a reasonable way to do it, but I understand your point that it can create a temptation and money pit at a crucial incredible time for young people.
Yeah we easily get $10 of entertainment value doing a 10 leg parlay.
Does anyone else remember what number subscriber you were? I was in the 19,000’s about 4-5 years ago. Been a huge learning journey.
Good Video this Morning
Doing financial counseling a lot of individuals that I met for counseling are gamble it’s insane!
I laugh watching Brian trying not to laugh when Bo says I am SO excited” LOL
I gamble around the average, but I fund my 401k and HSA to the tune of 25%. I also have an emergency fund.
Generally, I break even in my gambling. Some years I lose a little other years I make a little. Its a hobby like sports, but its never the priority.
Definitely fine if it's a step 8 thing.
The rich are money-minded; that's a lesson I've grasped from the very beginning. My desire to build wealth has always been strong. I’ve set aside $160K since 2020, and I’m eager to invest it in the stock market to grow my financial future. I’d love to hear any recommendations you have.
I think the safest strategy is to diversify investments. But if you need proper advice, consider speaking with a financial expertise. Don't get me wrong, you can do it on your own, but financial advisors have a lot more knowledge and expertise in this area.
Agreed, I've always delegated my excesses to an advisor, since suffering major portfolio loss early 2020, amid covid outbreak. I'm now semi-retired and only work 7.5 hours a week, with barely 25% short of my $1m retirement goal after subsequent investments to date.
I find your situation fascinating. Would you be willing to offer a trusted advisor you've worked with?
My CFA, Judith Lynn Staufer, is a renowned figure in her field. I recommend researching her name online; you’ll find all her credentials and everything you need to work with a reliable professional. With many years of experience, she is a valuable resource for anyone looking to navigate the financial market.
Thanks a lot for this suggestion. I needed this myself, I looked her up, and I have sent her an email. I hope she gets back to me soon.
Most of my money is in ETFs. But I do have a small allocation to individual stocks that I have a strong conviction in. Strong foundation first.
I don’t work in a field that I got a degree in, but I still have a good job. I did industrial engineering in college, and now work in tech. Feel like context matters with that stat
I totally agree. I don't work in the field that I got a degree in, but I have a great job in a related field that I couldn't have without my degree.
@@allisondowns1715But you work in a related field so the degree worked. They are talking about a guy with a degree in English who is now an Amazon warehouse worker or letter carrier.
@pete5691 I understand that, but that's not what the stat they're discussing asks. The survey question asks if people are working on the field they got their degree in. What I'm saying is that the 24% that aren't encompasses people who ended up working at Starbucks as a barista with an MBA (a real person I know) and people like me, who just pivoted.
@@allisondowns1715 Oh gotcha
I want to see the median numbers on these debt bills. We have some pretty expensive houses and vehicles driving the average payment way up.
Anyone else have UHC health care? I just cashed out $1,000 by doing their 10,000 steps a day (faked it days I didn’t through the health app) it gets deposited to your HSA. Feels like I got a $1k raise today.
Wait wait wait…. Bo is ‘so excited’ about this one?!! Mind Blowing for sure 😀
Just wanted to mention how much I've been enjoying the show! I particularly appreciated this episode, and my favorite part were the last two facts. It's one thing to "know" how compounding works, it's another to be 10 years in and wondering if you're on track. Just checked and 44% of my portfolio is gains, which means 1) I've gotten solid gains and 2) even though it doesn't *feel* like I've hit that magical compounding stage, it is working.
Yeah it’s pretty cool to me too. I’ve been investing a couple years and now my army of dollar bills are starting to make a difference. It is getting so much easier to invest because I’m not “alone” in it anymore.
Does this mean that of these 1000 people surveyed that represented the entire us population, 27% have no savings? Wow that’s terrible
These types of studies are often flawed or misleading at best because they include a representation of EVERYONE not just your peers.
A net worth of $850K will put you in the top 10% of all Americans. When you filter out college students, homeless people, households living in poverty, people suffering from addiction, people without college degrees, etc. that number jumps to $4M.
Big difference when you compare yourself to true peers.
@@eddiemalvin A survey that claims to represent the average American would be extremely misleading if it only included educated households above the poverty line. The unfortunate reality is that the vast majority of Americans fall into at least one of the categories you're filtering out
@@HotCrossJuns It can provide a false sense of security (or angst) to compare your individual performance to those who are not your peers.
There's no value in an adult professional runner comparing their pace and lap times to someone who is leisurely walking or, worse, sitting in the stands and not participating at all?
@@eddiemalvinit’s pretty elitist of you to assume that everyone watching this podcast is one of your so-called peers.
@@HungryOrca That's exactly my point. I don't assume that... which is why averages that include everyone aren't very helpful regardless of where you fall on the financial spectrum.
Congrats on 500k subs!
Coming from someone who has owned lots of under $10k vehicles and a couple new vehicles, there is something to be said for not having to worry about unexpected expenses due to costly repairs or even worse being left stranded on the side of the highway. Vehicles should be thought of as a tool, not an asset.
I hit 10k cash and 4k in the market today. I can’t thank yall enough 🎉
These are actually mind blowing, my god.
I really am happy I found the money guys, but it feels like if you’ve seen 5 episodes you’ve seen them all. I even purchased the book but same thing. It’s a great introduction course for people that would be great for high schoolers and young adults, but I might be ready to graduate.
It is repetitive yeah. But I think people need that to stay on track sometimes. There’s only so much you can say. Get the 401k match. Don’t try to time the market etc. but I just found these guys a month ago so had they not kept making content I doubt id have heard of them. Besides Bo’s excitement is hilariously infectious.
Most people don’t have someone talking to them about money.
The thing is personal finance for the average person isn’t that complex, especially if you’re not trying to sell products to people they don’t need. There are only a few core strategies and understandings that lead to financial success. This is also an annual statistics video so it’s inherently repetitive.
That’s all financial independence is, same stuff but stay the course or increase your contributions. So many people get side tracked and before they know it 20-30-40 years have gone by and they have nothing to show for it.
A lot of people need to hear it over and over to stay on course.
@@calebmccalla9675
Much like going to church.
Same thing year after year.
I once heard a pastor say he’s been repeatedly asked why the congregation needs to hear the same thing over and over. I think his response was that people NEED to hear the same messages over and over to live them day in and day out as the world tends to drag us away from the path.
So same thing with one’s financial life. Sh!t happens, but after the dust settles get back on track.
An emergency reserve turns a financial crisis into an inconvenience.
It’s hard to blow my mind but you did blow my mind. I don’t really have a savings but it’s certainly more than the rate of inflation! I have only a car loan and half done with that. But if my investments weren’t earning more than my 6% loan then that would have been paid off already
Any tips on investing for those living in other countries?
I live in the uk and sports betting has been rife as long as ive known. I remember a colleague in work saying oh i only bet half my paycheck. I was shocked. I would add re sports betting there does seem to be a mach culture that surrounds sports betting. Those who grew up around mates in school who do it tend to follow and these people seem to think oh i like sports therefore i have an edge.
College has become nearly a scam/often a scam, but education will forever be king. Use College smart and it's worth it. Don't go to college because of peer pressure or social pressure or boredom.
These cars can last 15+ years. Also, there are techniques how to purchase to save lots of $. Don't by the back office high fee insurance products. Buyer beware when at a Dealer. Do you homework.
One of the hardest things to do is create generational wealth because the discipline and frugality I needed during my struggles as I still strive for it are hard to pass on to your kids because I don’t want them to have to feel how I felt/feel.
How do the millionaire generations work? If my parents were poor and I grew up poor, but then we both get successful together, can we both be first-generation? What if it was through the same company, one my dad started after I finished college? If my son gets a nice job at the family business and gets to $1M while his grandparents are still alive (so no inheritance), would he be first-generation? Is that $20k inheritance mark literally just for wealth from a deceased relative? $50k towards college or towards a mortgage downpayment would or would not count as "inheritance" in your stat.
This is just splitting hairs. No one is keeping real stats. In every scenario you mentioned someone in a family is looking out for someone else in their family which is how things ought to be. The difference between families that do that and families that do not cannot be understated. N
@@pete5691 I don't believe it is splitting hairs. Without questions like that, you cannot clarify what it means that 70% is gone by the next generation. If the earners got $1.1M then died around 75 or 80 and their kids inherited it at age 50, did the kids take that account to zero before they died too? Did they just spend $150k so now it is 6 figure instead of 7? Being millionaire status is a right tail on a bell curve, so most are not decamillionaire with many under $2M. If parents donated $750k and passed along $750k and their kids NW was $900k after that, did they really blow the money? With most people in this pool closer to the 7 figure threshold, being very generous at your passing could get you included in the 70% in a very misleading way. Or it was all Trad 401k, taxes could move you under $1M.
It seems really easy to overcount first generation millionaires and really easy to overcount how millionaire status was lost in subsequent generations.
I've just begun learning about value investing, and I've found that many good stocks are undervalued despite their intrinsic value. If you had $200,000 to create a strong investment portfolio, which stocks would you choose for better returns?
I think a good investment portfolio should have three basic things: ETFs for diversification, dividend stocks for cash flow, and leading tech stocks. With your budget, it's a good idea to talk to a fiduciary financial advisor for expert advice.
I agree with you. As an early investor in NVDA, AVGO, ANSS, and LRCX, my financial advisor's advice was incredibly helpful. Over the past 7 years, she has helped me find stocks that did 10x multiple times. With her help, I've grown my portfolio to over a million dollars.
I'm glad I found this conversation. I have cash to invest but am worried about picking the wrong stocks. Can you refer me to your financial advisor?
I'm cautious about giving specific recommendations since this is an online forum and everyone situation is unique, but I've worked with Melissa Elise Robinson for years and highly recommend her. Look her up to see if she meets your criteria.
Thanks for sharing. I curiously searched for her full name and her website popped up immediately. I looked through her credentials and did my due diligence before contacting her.
Like many things gambling can be entertainment OR a destructive addiction.
I wouldn’t use the term, “asset” with your typical car. Like Kiyosaki says, assets have cash flow.
Brian im am so excited, lord have mercy Im about to budget
4:46 why the scare for sports betting? Plenty shouldn’t be doing it, but those aren’t smart with it.
Since in Georgia I can’t outright bet, but am able to do daily fantasy. And I’ve only profited over 25X. I started with $20. And withdrawn almost $500 and still have money to keep playing. ((***But I only bet/play on things I have insight into/can analyze well enough. Nascar, college football)) many many people can use their math skills to be a maintain with potential for big big wins, or a slow build by how they understand the values on their bets
I need shows like this to remind me just how amazing I’m doing. I can’t believe people live like this. How stressful, no thanks.
Many of my friends bet on sports. I do not, I’d rather speculate in the market ;)
It's wild being practically guaranteed to see millions in my lifetime if I just keep working in my field. All I mainly do is invest in index funds and take advantage of employer match. Of course, nothing is actually guaranteed, it could go wrong, but it could go the other way, too. There's a good chance I'll make more than I do now and be even better off.
Savings rate over 30% during pandemic (remember government stimulus) might suggest that people are not making enough and everything’s just too expensive.
I worked really hard in college. I went to community college for as much of it as I could. I got grants but unfortunately no scholarships so I had a job during school and kept my loan amount as low as I could. No help from parents. I finished all my requirements for my PhD with only $10k of debt. But my PhD program was running about $200k without much time to have a job.
I had to walk away. I was working towards being a chiropractor so the education I do have isnt worth anything. Luckily debt isnt the issue but Im having a hard time making any kind of decent salary and Im starting to wonder if I made the wrong choice.
Point is, how the fuck is a 18-24 year old supposed to understand the longevity of their decisions? I was told to jump in and none of my advisors helped me predict the future. I tried making the most logical decisions as a I could along the way but young people need real help.
I'm curious about the stat "gamble 1,100". If I bet 20 win 20 then bet that 40, is the 60 dollars gambled? Is it the sum of all hands played or sum of losses?
20 dollars gambled
60$ gambled. The house is keeping track of every bet you make. $20 bet today wins and the the next day bet the $40 (total $60 bet) Next day or next minute, you add up all bets.
Great show! I sell options for premium...that my variation of "sports gambling"
Re sports gambling…. We have young adults in our church we discipled that had no emergency fund, couldn’t tithe, no retirement, but spend hundreds monthly on sports betting
🤯 Talk about priorities out of wack!🤦♂️
Sports betting is better than giving money to ANY church/cult!!! However, not betting that you will need to retire eventually is a bigger gamble.
Found the bigoted anti theist.
Gambling is cooler and better than tithing
the only reason the average american debt is ONLY $1,583 monthly is because renters dont have home debt ... there are far more people renting than have a paid for home id guess ... also that $1,583 looks to be per american , not american household ... if thats true , the number per household is like 1.5-2 times that amount ... which makes more sense because $1,583 per month is less than the average house payment alone ... and these folks also have car , CC , student loans , and personal loans ... which is why the average payment of them all combined was about $3,900 , or per household id guess
All good things to know and follow, but You are allowed to make mistakes along the way. I know I did, but my wife and I always saved for retirement. The day is almost here ahead of the typical 65 schedule, and we’ll retire with almost our current income. Once we add in social security in 5-7 years we’ll have well more than our current income and our withdrawal rate will decrease. We always had nice used cars, and we didn’t carry CC debt. I think those were the keys.
Fun fact, while the average sports betting household gambles $1100 per year, the average winnings is about $800.
So the average loss is more like $300.
I don’t gamble.
Gambling destroys lives.
As a European I wish there was a video comparing these US stats to European averages
Social Security is a scam. Let me keep that money and invest in myself.
I don’t gamble but I might invest in one of those companies after hearing those numbers lol
I Hit 110k today. Thank you for all the knowledge and nuggets you had thrown my way over the last months. Started last month 2024. Financial education is indeed required for more than 70% of the society in the country as very few are literate on the subject. thanks to Brooke Miller for helping me achieve this
I'm surprised that you just mentioned and recommended Brooke Miller, I met her at a conference in 2018 and we have been working together ever since.
The very first time we tried, we invested $1000 and after a week, we received $5500. That really helped us a lot to pay up our bills.
She is my family's personal broker and also a personal broker in many families I'm United States, she's a licensed broker and a FINRA AGENT in United states
I'm new at this, please how can I reach her?
I just withdrew my profits a week ago, To be honest it was an amazing feeling when the profits hits my wallet I wish I could reinvest but, too much bills
I never graduated college, had $15k in debt, never went back, and make $200k per year in tech. I’m well on my way to being a millionaire.
What do you do in tech? Programming?
@@jablanguado7738 Product management
@@ryanc769 That’s awesome!
I work in tech as well, as a programmer. I was wondering if you were a programmer further along than me haha!
The $1000 in savings you often quote is not what bankrate asks. They ask how would you pay for a $1000 emergency. 16% said they would reduce their other spending which is better than using your emergency fund.
If your car breaks down and you need 1000 to fix it, how do you reduce spending to pay the auto shop in 2-3 days so you can get your car back?
@@pete5691 I do the envelope system so it is easy, just take a little from other envelopes.
@pete5691 I keep my emergency fund separate from my checking account. If I had $1000 in my checking and could get that balance back up over time without pulling from the emergency account, then I would consider myself in that 16% category.
Just looked it up... while it does say 56% WOULDN'T pay for a $1,000 emergency from their savings account, It could be argued that is only true because 56% of them DON'T have the $1,000 in their savings account to begin with.
I wouldn't say that having to reduce your spending to save up money for an emergency is better than already having the money to begin with... that could take months to do.
@@Stevo9403 Taking months is fine. If you don’t have an emergency fund probably shouldn’t be investing in an account for retirement that you cant or shouldnt touch.
Saving 25% of my gross income? That's over half of my net pay!
Keep working hard and pushing to increase the size of your shovel. 👍
While 20-25% is the ultimate goal, don't let it discourage you if you can't get there yet. Start out by saving SOMETHING! Even you can get to 10-15%, that is a whole lot better than nothing - especially if you are very young.
@@Stevo9403 are you talking about net or gross?
@@justthebrttrk Last year I made taxable income of just under 60k. 25% of that is 1125 a month. On average month, what hits my account is 2300. 1125 is 48% of 2300. So looks like I did exaggerate a little.
Still it confuses me why in some places you hear 20% of NET as the general rule. Which I can easily hit (I'm saving about 37% of my net on an average month) Why is there such a big difference here?
Plot twist - Bro forgot about their retirement being taken out before it hits their bank and is actually saving 40% 😎.
Funny you can kinda know what day these videos are recorded based on what the sub count is on the background
lol I never want to spend my emergency fund so I just have extra cash, lol
As a 23 year old who will bet on sports fairly regularly simply because it’s fun…
It is going to DESTROY my generation financially. It’s gonna be a rude awakening
I'm in my 40's with zero debt. So, I'm lucky enough to be able to invest and save over 60% of my income.
I wonder how many Americans would say they can access $1000 in case of an emergency without using any debt. Or how many have $1000 when they account for debt
You should have used another vehicle to compare to a corolla then a land cruiser. Used land cruisers don’t depreciate.
that 80% stat ... how many of those people had benefactors though. not a direct inheritance... but someone that took them under their wing into the boys club. the full scope of "inheritance" not just the money inheritance , but the inheritance of network ?
What should I consider at 10 years from retirement if I have over saved? Serious question.
Retiring earlier! That's an awesome situation to be in.
Donate! I do about 2% a year, but I’d like to eventually do 5%.
Future taxes. Understanding rollovers and when they are beneficial may help. Rebalancing holdings. Maybe your IRA and brokerage are specifically what you want them to be, but people forget to adjust the growth/risk setting of their 401k. Maybe lower the risk level of the 401k so that it rebalances holdings for you. Lastly, I’d personally consider pumping the brakes and spending what was your savings rate every month. A major vacation, sports car, watch, whatever may give you more joy at this stage of life than it will as you age. Can even afford to fly friends and family with you on vacation. It’ll probably feel like early retirement without technically quitting your current job. I plan to “pump the brakes” at age 50 and live like this till we feel like quitting our jobs
Look at Roth conversions! No required RMDs, does not impact taxes on social security, and great legacy inheritance for your kids 🤠
Open up on the spending in areas it’ll bring you joy! Difficulty getting your family together? Offer to buy all the tickets home.
When you say 25% savings, is that 25% towards retirement or 25% towards retirement and savings?
25% invested in long term retirement investments. (Whether 401K, IRA, after tax brokerage,etc)
25% of your gross income (single our household if married). Where it goes depends on what step of the FOO you are in. I.e., a lot will go to your emergency fund savings until you have 3-6 months saved up, then a lot more will go to retirement (roths, 401ks)
I get where you’re coming from on the sports betting, but just like any gambling it’s all about framing to me. You have to look at it as part of your entertainment budget. Putting money in is you spending that money for entertainment purposes. If you have everything else covered, spend some money on entertainment, who cares. At least that’s how I’ve done it
So with my higher income my monthly investments are around 3k, (self employed) so I should get a car for 3k a month lol (side note, my truck and my wife's were used and fully paid off in under 2 years
All the young kids at the gym i go to are sports gambling. Ive tried to tell them this is a terrible idea.
love you guys, but might wanna remove that toy Cybertruck you have there in the background...
lol 2.9 percent, my son is below that, younger folks have no clue how to spend money. I guess every generation is like that, I save more for him and my grandchild then what they even know about
I get the point you're trying to put across with sports gambling, but using an average is a terrible way to present it. A few big spenders will completely screw up the average.
The increase in sports betting tells me that there is a deficiency in financial literacy
Brian your new haircut makes you look 10-15 years younger!! You look great!
Day 406, Bo is still So Excited
I love sports gambling
Something to keep in mind with sports betting statistics when it comes to "money spent on gambling" is that it doesn't necessarily equal an amount a person could withdraw that their spending. For example, if you have $100 in your account, you win $20 then lose $20 then win $20 etc. etc. you could end up back with your original $100 and still have spent $500 but at no point were you able to withdraw $500.
I assumed "money spent" = "money lost" so you'd have to bet like 10k in order to average a 1k loss.
As a 29 year old, I bet $20-30 per year on sports. Just for funsies. But I can clearly see why young people are attracted to it. It seems to them the only way to get rich quick. The same old lottery mentality.