Ok people, let's clarify this whole misunderstanding of a ratio being or not being a number. Now, obviously Alex knows that a ratio equates to a number. But I don't think that's what he is referring to in a literal sense. What he means is that wealth is not the same specific number for everybody, it's based on a ratio between expenses and income that is different for everybody. For example, let's say person A makes $50k/year but has $10k/year in expenses, and person B makes $100k/year but has $80k/year in expenses, this would mean that person A is "wealthier" than person B. Why? Because person A nets $40k/year and person B net's $20k/year, they have twice as much money left over even though they make half as much income. So a specific amount of income does not equate to being "wealthy" for everybody, it's a different ratio between expenses and income for all of us. Which is why Alex says that wealth is a ration, not a number, not a specific number. I hope this helps clear things up. By the way, I am not speaking for Alex in any way on this, this is just me trying to help clear things up.
I'll save you $312k and a lot of stress. At the end of the day, you're still who you are. If you're a miserable person, you're still miserable. You don't need stuff to make your life fulfilling or happy.
Happiness is generally derived from having purpose, an interest, mastery of a skill, curiosity, a sense of achievement, spending time with friends/family/colleagues and is usually a shared experience. Happiness also tends to inspire giving (like volunteering at charities) as opposed to short term gratification like eating, spending money/shopping, drinking, and binging which is fleeting, addictive and never enough.
The problem with chasing an expensive lifestyle is that once you normalise expensive luxuries they don't make you happy but anytime you then experience a lower level of luxury it makes you really unhappy. You are just building a golden cage for yourself. It is better to live modestly and occasionally treat yourself to luxury so that you can enjoy it the way a normal person would.
@@disposabull Got a question for you (seriously). If I lower my wants to a minimum, and realize my means for a healthy, comfortable lifestyle is give or take 100k a year, what is the motivation, the reason, to fetch for 8-9-10 figures? What exactly am I missing? Because, at that point of having $100M goals, is the reason and motivation about serving others? Other people? (B2C) or Other businesses? (B2B) is that it? That I have to 'want' to help others? or is there another purpose or reason?
My dad always used to say, “Who is richer? The man who has the most or the man who needs the least?” Thank you for your excellent videos! Great insights
Here from Austin, TX, I hear you!! I was earning $800,000 per year (not really huge money when comparing) expending most of it, paying huge money for our lifestyle, then everything came crashing! lost everything but we learned our lesson, now we are starting from zero but with a different mindset and bigger goals. thank you for this video
What you are saying is so true. I'm a 2 millionaire and spend $25k/yr to live. I spend my time traveling, going on outdoor adventures, riding dirt bikes, and working on garage projects. I live in a cheap, paid-for house. I have found that spending more on these things does not make it better. I love 4 wheeling and fixing up my '98 Jeep Grand Cherokee. Staying in a hostel where I can meet other travelers is more fun than a 5 star hotel. I can do anything I want, and I do. Having more money would be very little benefit to me. I suspect that is the same situation for you but you seem to get a lot of satisfaction from creating value and making money.
Love the channel!!! Its refreshing to hear from someone that tells you how it is. What I got from this is -If you don't travel alot or its not your passion to travel, don't buy a plane -If your don't feel the differance in a high end vehicle (not a car person) don't waste your money on a Car stuff. -If you don't have passion for food, then going to a high end resturant may not be your thing -if you don't care for clothes, then shorts & t-shirt are all good. -If you're happy living in a middle of the row home then a massive mansion isn't going to make you happy. I guess what I really got from this is spend your extra cash on things/experiances that make you grow/happy/make you feel accoplished. I guess, my question to you Alex would be- what do you do to relax/hobbies do you do outside of work/gym??
It's so frusturating when Alex drops such good advice like this, cuz it makes so much sense to just drop my desire for expensive clothes instead of trying to build a million dollar business, but its a hard battle to change those beliefs. At least I have the larger goal of being my own boss. At 19, I have decided to never live the 9-5 if possible. That's my true motivator for trying entrepenuership.
@@phx-b Yea, I'd rather be able to tell my friends and family I went all out to try and live my best life than have to explain how I settled for less than what I truly wanted and felt I deserved. I think we're in the right place listening to Alex's advice for now bro. Best of luck.
Absolutely true. Don't be impressed by a boat, be impressed by how good of a sailor someone is. Don't be impressed by an expensive car, be impressed by how someone operates that car on a track.
Completely agree, we're planning on being financially free within the next 5 years. My wife and I pull in about $225k/year but live off $40k, we've been investing the balance for a few years now.
Love this channel and the fact you actually respond to ppl is super cool. Youve replied to a couple of my comments in the past so just wanted to say thanks for being an example to the community. Loved the part were you said that applesbees and cheesecake factory are better than $500 dollar steak place. Seems like the more I learn about finances the less money means to me
@@AlexHormozi Got a question for you (seriously). If I lower my wants to a minimum, and realize my means for a healthy, comfortable lifestyle is, give or take, 100k a year, what is the motivation, the reason, to fetch for 8-9-10 figures? What exactly am I missing? Because, at that point of having $100M goals, is the reason and motivation about serving others? Other people? (B2C) or Other businesses? (B2B) is that it? That I have to 'want' to help others? or is there another purpose or reason? I have days that I tell myself that I have nothing to live for an could start even have suicidal thoughts because I have no purpose or reason for anything.
The more I listen to things like this, the more it seems that a more minimalist life is the way to go. Fancy houses, cars, and belonging tend just to way you down with maintenance and stress.
I mean, every time I visit the really affluent neighborhoods [for me being Palo Alto, Los Altos Hills, Woodside etc] I realize why the prices of the homes there are so high. To me its worth it! But everything else - is not! i.e. Cars is one of the most ridiculous thing you can buy - its purpose from taking you from Point A to B ends there - the rest is just the icing on the cake - thats full of sugar and ads no real value.
@@michaelb9940 well at the end of the day a home’s purpose is just to protect you against the elements and/or wildlife so you could apply the same logic there.
@@gunzaJMG didn’t quite understand what you’re said there! In this era we are living in - home is no longer (just a shelter). This is why the current market for the millennials who are actively buying homes (or in the market) leans toward communities that offers more than just shelter. I still find living in areas that have a better sense of community superior / thus the price tag
Just had a fancy steak dinner last night. Over $400 after tip. Chilies “Chips and salsa, and fajitas“ definitely feels like a better value. Ha Thanks for another great video Alex!
Finally!!!!! somebody tells to absolute truth about the actual costs of this lavish lifestyle that MOST of these so called Ultimate Rich Gurus never explain to people. Thank you sir for your honesty and integrity. You’ve earned yourself a new Subscriber 💯.
5:58 I have a bone to pick with ya here as a car enthusiast. I really enjoy driving so whatever "little" enjoyment I get from driving is 100% worth it to me. but you don't need an exotic car. Buy a car that is FUN to drive, not something that's just fast. Instead of a Rolls Royce, get a Toyota GR86, instead of $400k you spend $30k on a really enjoyable car that gets 30 mpg and is really fun to drive and is well built, just make sure you get a manual. You get pretty good MPG but you get a lot of enjoyment within the road limits. Get a car that feels good to drive. To me, Priuses just depress me to drive, and I've driven some, it's just not for me. We all have things we like to spend money on, for me it's cars.
I really liked the part how you explain that some people could just be using this as a front since it's easy to achieve and that they're not really wealthy. Well done.
This video is simple math yet so genius! I hope everyone on youtube gets to watch this video Atleast once to open their eyes. Specially when you mentioned the product testing part and the ratio thing towards the end of the video. Thank you for this incredible video Alex!
Thanks for breaking down this information and for your insight. It’s so great to have somebody not pushing the superficial. Thanks for not selling anything.
I learned this on a MUCH smaller scale when I bought my childhood practical dream car (vw Passat... I know) and realized after a couple weeks that I didn't see the outside while I was driving it, but I did worry a ton about it at all times. It's worth it to have a car that works well and is comfortable, but it's amazing how quickly you acclimate.
It's very interesting to put all these fancy things into a realistic perspective. Thanks for sharing your perspective and thanks for all the videos you make! I've been enjoying watching them and I've learned a lot. I'm looking forward to learning more in the future!
Great video Alex! Following you for a while and watching your content! Wish that become just 1% as successful as you are and end the struggle with financially and pull something off from the ground.
This is a great breakdown and reality. From someone that flies A LOT, Private is nice and there is a time and place. But flying commercial with status, first class and convenience is much cheaper. Thank you for great content and the down to earth mindset on this.
I fly on my jet over 300 hours per year, and it is ABSOLUTELY worth it. however I own only one car and that’s a Ford Fusion and I wear car hearts . So to each their own.
While I agree with the majority of this….there is a benefit that comes to living in expensive buildings, going to expensive places and possibly even having an expensive car. And that is that you get to network and meet other wealthy individuals and who you know is an exponential factor and what you will be able to create. Just being surrounded by people who are on your level or doing better than you is usually enough motivation and builds your conviction. Having been financial disadvantaged and now doing well, I would not go back to living where I did before. And moving to a better neighborhood definitely increased my business exponentially.
That blows my mind, especialy about Bentley that multimedia system works worst than in Chevy ... I am dreaming about Porsche but that is only premium car and I think no matter how much I will earn, that level of life with premium stuff will be enough for me - good quality but "fair price". Thank you for that honest video, means a lot for me. All best in 2022.
I love your content bro. Your advice is priceless, but I kinda wish you went into upkeep for these things as well! From the bills and furnishing of the pint house to “GAS” and upkeep for the whip! Lol. You see how I put the gas in quotations lol prices today are unreal! 😅
wow, actually a very informative video. I didn't know how much it cost, so now I can really say what my goals are, and be sure I'll stick to them, and moreover, they are very precise. Very useful video. Thank you, Alex. And bro, you are jacked here, look amazing.
Awesome content! I was never in my life considered a "rich person", however, most of my needs were already met by the time. I have pretty much everything I need. However, it wasn't always like this. Not too long ago, it seemed to me that what I have just isn't enough. And so, eventually, I found myself in this never ending cycle of trying to make more for God knows what reasons. It made me sad, misarable and depressive. Funny thing is, the more you make, the more you look at other people, making even more than you! This is some toxic stuff we are talking about. Money is never enough. And if you don't learn to live with what you have, you will never be happy. Even with those millions in your pockets. I am not saying you should be poor. What I am trying to say is that most of our needs are already met. At the end of the day, if there's something you do just for the sake of money, it's not worth it. You can try it but be my guest.
Love this video dude. You broke out perfectly why I continue to drive a Honda as my income increases. They're way better vehicles than all the luxury cars, and the cost over the lifetime of the car is so much more reasonable.
Or buy an older model that’s depreciated down a lot and has begun to appreciate due to collectors value. You’re still going to spend a lot on maintenance and that kind of thing but the actual value doesn’t drop very much or sometimes it may go up over time. The only downside is the opportunity cost of tying up your money in a car. A lot of older 911s, some Ferrari’s, etc. barely depreciate at all. I owned a Porsche for like 3 years and it depreciated only $5000 during that time so that came out under $150 a month which is like any car.
My goal since day one for my ambitions was to be able to just go outside and get anything I wanted without needing to think about it. I was scrapping for loose change on my couch to eat dinner when I was 16 years old and playing on the basketball team with ripped-up shoes. One UA-cam video I watched that was the dream life to me was when this guy saw a nice backpack on a vacation and was quickly able to buy it while throwing out the old bag like it was nbd. Absolutely mind-boggling to me.
Alex is a simple man, thinking people only spend 3K per year for clothes. These wannabes will spend 3K per bag, and buy at least more than 2 bags per month.
Thanks for the Enlightenment, If you don't find a way of multiplying money, you will wake up one day to realise that the Money you thoughts to had , had finished.... I'm just saying that people should develop the habit of investing it's really helpful in life. Investing is the key 🔑
Working with Romero pieto is the best thing that can happen to a beginner trader who is aspiring to be fruitful out of the market he is trustworthy and straightforward we surely need more men like him in trading world.
Rather than premium products I'd rather have high tier products and spend the difference on services that buy back my attention (PAs, independent housekeepers, cooks etc).
Glad I've stumbled upon your videos. Solid dude with awesome advice. I appreciate the shared knowledge and value you're adding, when you have literally nothing to gain.
No matter how much money I get, all I want is some beautiful farm land, modest house + big garage, a ford raptor R, a fast AMG, a Yamaha r1M, and some toys (boat/dirtbikes/etc)… maybe a beach rental for use + income
Love this breakdown, numbers don't lie! Also a huge fan of the ratio, once beyond investing/saving 50% of income it really changes. Getting to just spending 10% is the goal for sure (by earning more) 🔥
These are all superfluous spendings tho. That is like tip of the iceberg extra spending for rich people. I think the real major expenditures would be responsibilities, supporting families, children's schooling (e.g. 4 kids' or grandkids or nephews' private schools or something), personal staff, medical or health related expenses, supporting other initiatives etc. So I mean this isn't an accurate spending profile for a rich person.
He also states that this is the lifestyle that lures most people into wanting to be rich, and he's saying not to listen to it, because ultimately that's his message. There are more important things.
@@juanshaftpatel7488 Don’t assume things about people you don’t know. Private schooling/wet nurses/nannies etc is by far the biggest drain for wealthy people who have kids. The other stuff like private chefs or whatever are more optional but you can’t get away with not having a nanny if you’re still working.
I experienced this personally this last year! I wish I watched your video before I spent more money than I should've on all of these things... oh well, live and you learn haha. Was my first time making over $500k in a year lsat year and having some 6 figure months this year 🤪 love your channel btw. Insane value!!
@@kennethporst1738 I wouldn’t say it wasn’t worth it. It’s just I wish I held off until I was making more money so I could play more risky in busy and invest more into the biz. I was balling too hard for the amount of money I was making and unforeseen risks that came that I exposed myself to. Like Alex says, try to keep your expenses as low as possible compared to your income!
How the fuck is Alex this generous with his knowledge, like after watching so so so so much fucking bullshit over the years, this guy speaks and it blows my tiny fucking mind 🔥🔥🔥
Totally understand the car thing. Just rode in Porsche Panamera Turbo ($190k) and just turning on the heat and vents was so complicated... compared to a Honda
I agree with everything except cars. If you absolutely love cars and have been obsessed with them your whole life then it is worth it having expensive cars
You da man Alex, like your style! My pops is the same way. He taught us to put all our money in real estate and run small businesses (yoga studios). Super down to earth vibe. Mahalo buddy
While I'm listening, your biceps are doing most of the talking here.
Never be impressed by muscles
@@Itsmypureworld 😂
@@Itsmypureworld JAJAJAJAJAJAJAJAJJAJAJA
@@Itsmypureworldyour brain is a muscle
@@evns7142 your brain isn't actually a muscle. It's an organ
Bro that last part blew my mind! "Wealth is a ratio between expenses and income, it is not a number!"
if it's ratio, it must be a number...
In my case its 0,25
dude, I thought that the EXACT same thing. It was like a fire works show with super, ultra grand finale. 🤣🤣Life changing.....
Ratios are numbers.
Ok people, let's clarify this whole misunderstanding of a ratio being or not being a number. Now, obviously Alex knows that a ratio equates to a number. But I don't think that's what he is referring to in a literal sense. What he means is that wealth is not the same specific number for everybody, it's based on a ratio between expenses and income that is different for everybody.
For example, let's say person A makes $50k/year but has $10k/year in expenses, and person B makes $100k/year but has $80k/year in expenses, this would mean that person A is "wealthier" than person B. Why? Because person A nets $40k/year and person B net's $20k/year, they have twice as much money left over even though they make half as much income.
So a specific amount of income does not equate to being "wealthy" for everybody, it's a different ratio between expenses and income for all of us. Which is why Alex says that wealth is a ration, not a number, not a specific number. I hope this helps clear things up. By the way, I am not speaking for Alex in any way on this, this is just me trying to help clear things up.
This part from your description is gold: "We made our money DOING it, not selling HOW TO DO IT. " We need more of this!
I'll save you $312k and a lot of stress. At the end of the day, you're still who you are. If you're a miserable person, you're still miserable. You don't need stuff to make your life fulfilling or happy.
Happiness is generally derived from having purpose, an interest, mastery of a skill, curiosity, a sense of achievement, spending time with friends/family/colleagues and is usually a shared experience. Happiness also tends to inspire giving (like volunteering at charities) as opposed to short term gratification like eating, spending money/shopping, drinking, and binging which is fleeting, addictive and never enough.
True ....money doesnt change you it just magnifies your life
Money just exposes you ....it doesnt change you
@@MultiGotch great comment!!!
Amen!
Dude you really make me question my lifestyle and goals. Thanks for the golden nuggets Alex.
The problem with chasing an expensive lifestyle is that once you normalise expensive luxuries they don't make you happy but anytime you then experience a lower level of luxury it makes you really unhappy. You are just building a golden cage for yourself.
It is better to live modestly and occasionally treat yourself to luxury so that you can enjoy it the way a normal person would.
@@disposabull life is a bitch
@@disposabull Got a question for you (seriously). If I lower my wants to a minimum, and realize my means for a healthy, comfortable lifestyle is give or take 100k a year, what is the motivation, the reason, to fetch for 8-9-10 figures? What exactly am I missing? Because, at that point of having $100M goals, is the reason and motivation about serving others? Other people? (B2C) or Other businesses? (B2B) is that it? That I have to 'want' to help others? or is there another purpose or reason?
@@BIGGELATO Just replying to see answers. Great Q
@@BIGGELATO Pretty insightful indeed, thank you good sir
Love that happiness equation. Spoken like a true Buddha.
"Fajitas and chips. Hard to beat"
So wholesome. I love it. I think you've won me over here.
The last 45 seconds were gold!
Appreciate it man
My dad always used to say, “Who is richer? The man who has the most or the man who needs the least?” Thank you for your excellent videos! Great insights
Here from Austin, TX, I hear you!! I was earning $800,000 per year (not really huge money when comparing) expending most of it, paying huge money for our lifestyle, then everything came crashing! lost everything but we learned our lesson, now we are starting from zero but with a different mindset and bigger goals. thank you for this video
Same here I’m in Austin Txlol :)
@@g.aslifestyle great place to live!!!
Best of luck on your way back to the top man.
@@GrantStinnett Thank you Grant! I really appreciate your comment.
Goodluck with all your future goals.
What you are saying is so true. I'm a 2 millionaire and spend $25k/yr to live. I spend my time traveling, going on outdoor adventures, riding dirt bikes, and working on garage projects. I live in a cheap, paid-for house. I have found that spending more on these things does not make it better. I love 4 wheeling and fixing up my '98 Jeep Grand Cherokee. Staying in a hostel where I can meet other travelers is more fun than a 5 star hotel. I can do anything I want, and I do. Having more money would be very little benefit to me. I suspect that is the same situation for you but you seem to get a lot of satisfaction from creating value and making money.
Your channel has quickly turned into my new favorite finance channel. Good stuff!
Love the channel!!! Its refreshing to hear from someone that tells you how it is.
What I got from this is -If you don't travel alot or its not your passion to travel, don't buy a plane
-If your don't feel the differance in a high end vehicle (not a car person) don't waste your money on a Car stuff.
-If you don't have passion for food, then going to a high end resturant may not be your thing
-if you don't care for clothes, then shorts & t-shirt are all good.
-If you're happy living in a middle of the row home then a massive mansion isn't going to make you happy.
I guess what I really got from this is spend your extra cash on things/experiances that make you grow/happy/make you feel accoplished.
I guess, my question to you Alex would be- what do you do to relax/hobbies do you do outside of work/gym??
My work feels like play. So I play as much as I can.
HORMOZI : Swole bank account and swole arms. Best of both worlds
And swole Mexican revolutionary mustache, like Zapata's
Imma take a guess and say swole downstairs 😂😂😂
It's so frusturating when Alex drops such good advice like this, cuz it makes so much sense to just drop my desire for expensive clothes instead of trying to build a million dollar business, but its a hard battle to change those beliefs. At least I have the larger goal of being my own boss. At 19, I have decided to never live the 9-5 if possible. That's my true motivator for trying entrepenuership.
I’m 19 too bro. It’s a big dream but if you fail you got hella character, so in my opinion it’s a win win.
@@phx-b Yea, I'd rather be able to tell my friends and family I went all out to try and live my best life than have to explain how I settled for less than what I truly wanted and felt I deserved. I think we're in the right place listening to Alex's advice for now bro. Best of luck.
@@Koliflower hey bro I’m doing entrepreneurship too, what kind of entrepreneurship are you doing?
@@successprotocols I'm looking to start an e-commerce business! Looking for something I can manage on my own from anywhere in the world.
@@Koliflower Oh wow I’m doing something similar, I may be able to help you out!
Never be impressed by money
F Scott Fitzgerald to Hemingway over a drink: "The truly rich are very, very different from you and I." Ernest: "Yes. They have more money."
Absolutely true. Don't be impressed by a boat, be impressed by how good of a sailor someone is. Don't be impressed by an expensive car, be impressed by how someone operates that car on a track.
Completely agree, we're planning on being financially free within the next 5 years. My wife and I pull in about $225k/year but live off $40k, we've been investing the balance for a few years now.
great job
nice, just straight index funds or active?
How old are you guys?
@@TheAzn18 Both 32
@@JA-ld3it 95% Index funds (VTSAX), 5% individual stocks just because I enjoy it, not because I'm convinced I'll beat the market.
You're on a different level to most UA-cam "Gurus". Appreciate the advice.
This dude is so down to earth, I really appreciate him and his perspectives
Love this channel and the fact you actually respond to ppl is super cool. Youve replied to a couple of my comments in the past so just wanted to say thanks for being an example to the community. Loved the part were you said that applesbees and cheesecake factory are better than $500 dollar steak place. Seems like the more I learn about finances the less money means to me
Thanks man. Appreciate it.
@@AlexHormozi Got a question for you (seriously). If I lower my wants to a minimum, and realize my means for a healthy, comfortable lifestyle is, give or take, 100k a year, what is the motivation, the reason, to fetch for 8-9-10 figures? What exactly am I missing? Because, at that point of having $100M goals, is the reason and motivation about serving others? Other people? (B2C) or Other businesses? (B2B) is that it? That I have to 'want' to help others? or is there another purpose or reason? I have days that I tell myself that I have nothing to live for an could start even have suicidal thoughts because I have no purpose or reason for anything.
@@BIGGELATO You need to find something that brings you happiness, and then make money with it, that's the formula for life, i think
I'm Diving in Hormozi Sea of Valuable Content
Loving Every Piece of It
Alex, I just want to say that you are an amazing teacher. Thank You so much for sharing your gifts and fruits.
The more I listen to things like this, the more it seems that a more minimalist life is the way to go. Fancy houses, cars, and belonging tend just to way you down with maintenance and stress.
Only get them once it’s a very small percentage of income
I shop at Walmart
I mean, every time I visit the really affluent neighborhoods [for me being Palo Alto, Los Altos Hills, Woodside etc] I realize why the prices of the homes there are so high. To me its worth it! But everything else - is not! i.e. Cars is one of the most ridiculous thing you can buy - its purpose from taking you from Point A to B ends there - the rest is just the icing on the cake - thats full of sugar and ads no real value.
@@michaelb9940 well at the end of the day a home’s purpose is just to protect you against the elements and/or wildlife so you could apply the same logic there.
@@gunzaJMG didn’t quite understand what you’re said there!
In this era we are living in - home is no longer (just a shelter). This is why the current market for the millennials who are actively buying homes (or in the market) leans toward communities that offers more than just shelter.
I still find living in areas that have a better sense of community superior / thus the price tag
Listening to Alex talk so nonchalantly about spending 300k lol. Makes me want to level up.
Keep working at it Joshua
Genuine youtube video shinning the light on stuff that matters
Just had a fancy steak dinner last night. Over $400 after tip.
Chilies “Chips and salsa, and fajitas“ definitely feels like a better value. Ha
Thanks for another great video Alex!
I love this - honestly puts it perfectly into perspective
Your thinking is entrepreneurial philosophy. Great, as always
Finally!!!!! somebody tells to absolute truth about the actual costs of this lavish lifestyle that MOST of these so called Ultimate Rich Gurus never explain to people. Thank you sir for your honesty and integrity. You’ve earned yourself a new Subscriber 💯.
5:58 I have a bone to pick with ya here as a car enthusiast. I really enjoy driving so whatever "little" enjoyment I get from driving is 100% worth it to me. but you don't need an exotic car. Buy a car that is FUN to drive, not something that's just fast. Instead of a Rolls Royce, get a Toyota GR86, instead of $400k you spend $30k on a really enjoyable car that gets 30 mpg and is really fun to drive and is well built, just make sure you get a manual. You get pretty good MPG but you get a lot of enjoyment within the road limits. Get a car that feels good to drive. To me, Priuses just depress me to drive, and I've driven some, it's just not for me. We all have things we like to spend money on, for me it's cars.
I really liked the part how you explain that some people could just be using this as a front since it's easy to achieve and that they're not really wealthy. Well done.
This video is simple math yet so genius! I hope everyone on youtube gets to watch this video Atleast once to open their eyes. Specially when you mentioned the product testing part and the ratio thing towards the end of the video. Thank you for this incredible video Alex!
This is one of the most enlightening videos about money I’ve ever watched… Thanks!
This man thinks different, it’s brilliant!
Probably the best and most easy to understand video ever made on the subject..thanks so much.
Thanks for sharing
"Double Meat Chipotle Bowl"--- I say it all the time.....one of the best values EVER
Thanks for breaking down this information and for your insight. It’s so great to have somebody not pushing the superficial. Thanks for not selling anything.
Just found your channel today. You are a rock star, man! best content out there
I agree, this content is solid.
Keep growing brother.
I learned this on a MUCH smaller scale when I bought my childhood practical dream car (vw Passat... I know) and realized after a couple weeks that I didn't see the outside while I was driving it, but I did worry a ton about it at all times. It's worth it to have a car that works well and is comfortable, but it's amazing how quickly you acclimate.
As always, Alex is over here blowing minds with his insights. We’re so lucky to have you sharing the info that you do. Thank you so much!
This video reminds me of a book I read years ago fresh out of highschool "The Millionaire next door".
Always watch Alex's videos until the end! That happiness equation is scary true!
Thanks man. I'll take note of this going forward. Honestly being "rich" enough to not work as an employee is all I ever wanted
I used to work for the 1% and your advice toward a pragmatic/realistic approach to your purchases are worth milllions... $$$$
ALEX is a GIANT. Not only physical, but GIANT like a HUMAN BEING.
I agree with everything except the car… I think you picked the wrong car… A Porsche is the move.
Everyone got there own car so
It's very interesting to put all these fancy things into a realistic perspective. Thanks for sharing your perspective and thanks for all the videos you make! I've been enjoying watching them and I've learned a lot. I'm looking forward to learning more in the future!
Appreciate it. Thank you.
There is ALOT missing here…. Hotels, medical, beauty/hair etc, insurance, gas, food… therapy, 8 million online things, taxes, kids everything
Great video Alex! Following you for a while and watching your content! Wish that become just 1% as successful as you are and end the struggle with financially and pull something off from the ground.
Just don’t quit
@@AlexHormozi I'll never quit.
@@AlexHormozi you & Leila ROCKS!! Which Company do you Use to Rent Private Jets? Thanks & Appreciation
This is a great breakdown and reality. From someone that flies A LOT, Private is nice and there is a time and place. But flying commercial with status, first class and convenience is much cheaper. Thank you for great content and the down to earth mindset on this.
dude. u speak into my soul.
Hands down one of the best videos on You Tube. A great lesson to the western world!
If anyone missed it, I 100% recommend you listening to Alex's Podcast with Brad Lea. GOLD.
Gracias. Trying to provide some stuffs that are useful.
Amazing Video!!!!
Holly Smokes! You just refocused my whole Life !! Thank you for sharing such valuable information! 🙏🏻❤️
This reminds me of the saying that we all know money doesn’t buy happiness, but everyone wants to find out for themselves.
I fly on my jet over 300 hours per year, and it is ABSOLUTELY worth it. however I own only one car and that’s a Ford Fusion and I wear car hearts . So to each their own.
One of the best videos I’ve seen in a while
Thanks man
Love the content bro. Focus on lowering your wants. That's beautiful
While I agree with the majority of this….there is a benefit that comes to living in expensive buildings, going to expensive places and possibly even having an expensive car. And that is that you get to network and meet other wealthy individuals and who you know is an exponential factor and what you will be able to create.
Just being surrounded by people who are on your level or doing better than you is usually enough motivation and builds your conviction.
Having been financial disadvantaged and now doing well, I would not go back to living where I did before. And moving to a better neighborhood definitely increased my business exponentially.
This video definitely deserves more views! This would really open up the minds of so many
Great job Alex, thanks so much for the perspective. So true.
That blows my mind, especialy about Bentley that multimedia system works worst than in Chevy ...
I am dreaming about Porsche but that is only premium car and I think no matter how much I will earn, that level of life with premium stuff will be enough for me - good quality but "fair price".
Thank you for that honest video, means a lot for me. All best in 2022.
One of the best videos in your channel!
I love your content bro. Your advice is priceless, but I kinda wish you went into upkeep for these things as well! From the bills and furnishing of the pint house to “GAS” and upkeep for the whip! Lol. You see how I put the gas in quotations lol prices today are unreal! 😅
When I listen to you I don't feel depressed, I feel actionable with your information.
It takes a lot to get to that point of ~300k. Compounding returns would probably make almost anything seem possible after that point!
wow, actually a very informative video. I didn't know how much it cost, so now I can really say what my goals are, and be sure I'll stick to them, and moreover, they are very precise.
Very useful video. Thank you, Alex.
And bro, you are jacked here, look amazing.
Awesome content! I was never in my life considered a "rich person", however, most of my needs were already met by the time. I have pretty much everything I need. However, it wasn't always like this. Not too long ago, it seemed to me that what I have just isn't enough. And so, eventually, I found myself in this never ending cycle of trying to make more for God knows what reasons. It made me sad, misarable and depressive. Funny thing is, the more you make, the more you look at other people, making even more than you! This is some toxic stuff we are talking about. Money is never enough. And if you don't learn to live with what you have, you will never be happy. Even with those millions in your pockets. I am not saying you should be poor. What I am trying to say is that most of our needs are already met. At the end of the day, if there's something you do just for the sake of money, it's not worth it. You can try it but be my guest.
Another great video. Humble and wise advice
The gems dropped in this video here... SUBBED!
Love this video dude. You broke out perfectly why I continue to drive a Honda as my income increases. They're way better vehicles than all the luxury cars, and the cost over the lifetime of the car is so much more reasonable.
Just rent once/twice a year a exotic car for pleasure.
No no no no why rent when you can own...
@@kennethporst1738 If it fly floats or fucks ,you rent it. All the rest, you should buy.
@@elonmusk6654 thanks elon, I knew u were a smart dude.
Or buy an older model that’s depreciated down a lot and has begun to appreciate due to collectors value. You’re still going to spend a lot on maintenance and that kind of thing but the actual value doesn’t drop very much or sometimes it may go up over time. The only downside is the opportunity cost of tying up your money in a car. A lot of older 911s, some Ferrari’s, etc. barely depreciate at all. I owned a Porsche for like 3 years and it depreciated only $5000 during that time so that came out under $150 a month which is like any car.
Exotic Car Hacks- get paid to own an exotic! Look it up, buy the course, put the knowledge to use, repeat! Your welcome!
My goal since day one for my ambitions was to be able to just go outside and get anything I wanted without needing to think about it. I was scrapping for loose change on my couch to eat dinner when I was 16 years old and playing on the basketball team with ripped-up shoes. One UA-cam video I watched that was the dream life to me was when this guy saw a nice backpack on a vacation and was quickly able to buy it while throwing out the old bag like it was nbd. Absolutely mind-boggling to me.
wealth is a ratio of what you spend vs what you make, it is not a number. complete mindset shift 📈
Alex is a simple man, thinking people only spend 3K per year for clothes. These wannabes will spend 3K per bag, and buy at least more than 2 bags per month.
Thanks for the Enlightenment, If you don't find a way of multiplying money, you will wake up one day to realise that the Money you thoughts to had , had finished.... I'm just saying that people should develop the habit of investing it's really helpful in life. Investing is the key 🔑
Working with Romero pieto is the best thing that can happen to a beginner trader who is aspiring to be fruitful out of the market he is trustworthy and straightforward we surely need more men like him in trading world.
His trade execution quality and profiting is well structured with great financial features.
Such an helpful video thanks alot .
Yes I'm a living testimony of Romero pieto his platform has also done a great thing for me.Such an helpful video thanks alot .
I've seen so many reviews about this man called Romero pieto who is he ?
Rather than premium products I'd rather have high tier products and spend the difference on services that buy back my attention (PAs, independent housekeepers, cooks etc).
WOW! Wealth = Haves / Wants. Once your WANT is near 0 then Wealth = infinity.
Under rated channel. Thank you for the videos. We all know it will pop soon
Glad I've stumbled upon your videos. Solid dude with awesome advice. I appreciate the shared knowledge and value you're adding, when you have literally nothing to gain.
No matter how much money I get, all I want is some beautiful farm land, modest house + big garage, a ford raptor R, a fast AMG, a Yamaha r1M, and some toys (boat/dirtbikes/etc)…
maybe a beach rental for use + income
Love this breakdown, numbers don't lie! Also a huge fan of the ratio, once beyond investing/saving 50% of income it really changes. Getting to just spending 10% is the goal for sure (by earning more) 🔥
I’m so glad I came across you, thank you for the value that you give us. I appreciate you💪🏾💪🏾💪🏾
These are all superfluous spendings tho. That is like tip of the iceberg extra spending for rich people. I think the real major expenditures would be responsibilities, supporting families, children's schooling (e.g. 4 kids' or grandkids or nephews' private schools or something), personal staff, medical or health related expenses, supporting other initiatives etc. So I mean this isn't an accurate spending profile for a rich person.
how do you know? youre a poor
I agree but for the sake of explaining something, it’s a good proxy.
He also states that this is the lifestyle that lures most people into wanting to be rich, and he's saying not to listen to it, because ultimately that's his message. There are more important things.
@@juanshaftpatel7488 Don’t assume things about people you don’t know. Private schooling/wet nurses/nannies etc is by far the biggest drain for wealthy people who have kids. The other stuff like private chefs or whatever are more optional but you can’t get away with not having a nanny if you’re still working.
Thanks for sharing Alex!
Love how down to earth you are even though your very wealthy
Love you Alex! You're so authentic and talk about real stuff!
Liquid Gold right here. Thanks for the infinite value alex
Love this!! I aspire to make $1 million a year and desire none of these things. Freedom > Luxury in my opinion.
This isn’t just gradually changing me. Your content is literally rehabilitating my abused social proof taught brain.
idk how people can not like this content.
I experienced this personally this last year! I wish I watched your video before I spent more money than I should've on all of these things... oh well, live and you learn haha. Was my first time making over $500k in a year lsat year and having some 6 figure months this year 🤪
love your channel btw. Insane value!!
Why wasn't it worth it??? Over here hustling my butt of to afford these for me and my family
@@kennethporst1738 I wouldn’t say it wasn’t worth it. It’s just I wish I held off until I was making more money so I could play more risky in busy and invest more into the biz.
I was balling too hard for the amount of money I was making and unforeseen risks that came that I exposed myself to. Like Alex says, try to keep your expenses as low as possible compared to your income!
@@Canup Congratulations for your success, what do you do?
How the fuck is Alex this generous with his knowledge, like after watching so so so so much fucking bullshit over the years, this guy speaks and it blows my tiny fucking mind 🔥🔥🔥
Totally understand the car thing. Just rode in Porsche Panamera Turbo ($190k) and just turning on the heat and vents was so complicated... compared to a Honda
Oh My Gosh, Thank you , that is so helpful for planning . Thank you
Just because you don’t like those things, doesn’t mean I won’t be incredibly happy and grateful to have those things.
I agree with everything except cars. If you absolutely love cars and have been obsessed with them your whole life then it is worth it having expensive cars
Exactly, enjoy what you’re passionate about! For some, that’s just experiences. For others, it’s amazing machinery(watches, cars)..
i would only add one sentence to this someone thought me a long time ago..... It is not about how much you make, it is about how much you keep!
BJ'S Pazuki is 3 dollars on Tuesday, at least in my area, and he's right. Its amazing
You da man Alex, like your style! My pops is the same way. He taught us to put all our money in real estate and run small businesses (yoga studios). Super down to earth vibe. Mahalo buddy