4 Life-Changing Ideas About Money

I’ve helped millions of people take control of their money and grow it. In this video, I’ll share 4 ideas you need to understand in order to live a Rich Life.
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Ramit Sethi is the host of Netflix’s “How To Get Rich” and New York Times bestselling author of “I Will Teach You To Be Rich.” Pre-order his new book “Money for Couples” at iwt.com/moneyfo...
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[@yugimoto463]

This guy is changing my life. Totally making me rethink how I consider money and habits. From a deficit to an abundance mindset with actually fiscal and science based practice. This guy is legit.

[@ramitsethi]

Love to hear it. Welcome in

[@doireannrenzi7815]

@@yugimoto463 stick with it - it is genuinely life changing. Grew up in dirt poor poverty and worked my way up but this book was the piece that actually turned my hard work into financial success. Gift it to everybody!

[@sgt_hobbes]

I changed jobs. Told my employer I was leaving and they made me a ridiculous offer to stay +34k. I asked them for+50k they said sure. I took that new number back to my new employer and asked them for the same. They were disappointed but agreed. Negotiate if you ask for more they probably won't take their offer back so you might as well try

[@RamitSethiHELPLINE]

There's an oppurtunity for you!

[@lowlowseesee]

my brother today called this "pitting them against each other'. i use ramits language and thats an excellent bidding war. congrats! i did the same recently but with only few thousand bucks.

[@KNRS927]

⁠that’s a great strategy, but I would imagine it only works with mid-size or smaller companies that can’t really bring on new people as easily and quickly. If you’re trying to do that with a company like Alphabet, Netflix, they’re just gonna say “f*** you” knowing there’ll be thousands of applicants lining up to do your job for less.

[@chrispap8836]

Just admit that CSP is just one form of bugdeting, man. It's ok, we still appreciate all the wonderful knowledge you are providing us!

[@canunotplz8780]

Yeah but that's not really the point. He's explaining it in a way that helps people understand they have options with their money that isn't strictly cutting back on every little thing. It's an open-minded way of thinking, even if it's a form of budgeting, it shows a different way of thinking about your money realistically & labeling it as "budgeting" takes away from the point he's making.

[@lowlowseesee]

"admitting" is a bad way to frame the situation too. The dude is running a business lol let him cook

[@arh1234]

Ramit, as you edit this, consider adding emergency fund and further non-high-interest debt payoff

[@abhisheksamanta1]

@Ramit big fan here. But I disagree that budget is backward looking and CSP is forward looking. In my opinion, CSP is another form of budgeting. Budgeting in most cases is forward looking - it is effectively a planning for the time to come. But it is rooted on the past behaviours. In the same vein CSP can also be restrictive (just like traditional budgeting) - ultimately both the CSP and budgets provide the guidelines for the future periods for limited resouces/ income. WDYT?

[@tomaszp2027]

I don't get it either. Why not just 'sell' it as a super simple and automated approach were you only need to figure out several buckets? In my household we go a step further and keep fixed and recurring costs tied to a separate account and guilt free to 2 individual ones. I don't look in any details beyond that as long as there is money remaining at the end of the month.

[@TheMetalGaia]

​@@tomaszp2027I also put my guilt free money in a separate account. Much easier to track it that way!

[@Trix897]

I agree. I record my expenses and am using 12 months of expense records to review my spending and make sure that my fixed expenses are still in line with what I have in my CSP as well as my budget. Since I struggled in the past with crippling debt, I’m one of those few that actually enjoy tracking my spending so that I can make sure that I remain on track.

[@SaifuddinRehan]

i believe his POV is more about the framework of the system (between the two), rather than the "how" or technicalities of "counting" the amount spent

[@maxinoume]

I agree that Ramit's CSP is literally a budget. In the end, if someone who thinks budgets don't work gets tricked into following Ramit's CSP, then it's a win I guess.

[@meryla.l.8245]

Ladder of Personal Finance resembles the Money Guy’s Financial Order of Operations/FOO. I am watching too much personal finance content. 😂

[@arh1234]

Ramsey Baby Steps, Money Guy Money Dials, White Coat Investor Financial Waterfall... when we're getting started, we need discrete actionable steps amd an order of priority.

[@meryla.l.8245]

@@arh1234 agreed! It just really depends on your entry point in this journey.

[@Username_CC_]

I like both strategies and follow a loose interpretation of both!

[@Lesmith82]

I love all of your content, Ramit! It’s the best. I’ve always been unclear on why you dis budgeting for blueberries and broccoli. Is it just that we need to call them “groceries” instead of having a separate line item? If so, fair point, we don’t want to get bogged down with too many categories. But you are actually tracking the blueberries when you track “groceries,” right? When you say not to worry about “every last penny,” it makes it sound like you’re saying sometimes we should just spend whatever and not represent it in the CSP, but that would be more like what most people do anyway- not conscious spending. If you mean we can round off our expenses when we track them in the CSP, I’m all for that! For some reason, tracking pennies in my budget/ CSP bothers my brain. My brain doesn’t want to see so many non-zeros! I would love to hear you practically breakdown a “budget” and how someone would use it throughout the month, with hypothetical numbers. Until then, I’m not sure I’ll understand what denotes “budget” in your perspective. Either way, I hate the word “budget” enough that if we’re just trying to replace it, cool! 😂 Thank you for your invaluable content!

[@richiecastle460]

It's an inside joke. On the podcast, there is an unusual number of people who will try to maximize the price of blueberries, going so far as to go to 3 grocery stores for the best price. People with $5 million net worth at 40 would stress over paying $12 instead of $10. For whatever reason, blueberries came up often, and ramit thought it was funny.

[@lowlowseesee]

ultimately its playing small when people arent investing but are comparison shopping for something trivial. or when you see millionaires also playing small by wasting time trying to save 4 dollars when its a waste of their time for that small victory

[@Faben202]

Ramit, I love what you do and watch every episode of Money for Couples, but there's one thing that is slightly annoying, and it's your stance on budgeting, when the CSP is only different from a budget in its name. To create a budget initially, it is important for it to look back at actual spending, same with a CSP. You then create a budget to allocate future income into its respective categories. The only difference is that you break down the percentages into base expenses and guilt-free spending, which is valuable, but not entirely different from a traditional budget. It's semantics. I know each creator has to have a unique spin on things, but it's a little eyeroll inducing to hear someone say "you don't need a budget! But here's this nifty budg... I mean, CSP". Lol. Regarding target date funds, I agree that for people that are looking for a one investment solution, they are a fine choice, but they just seem overly conservative to me. If I were to pick one for my target retirement year, I'd be about 30% in bonds even though I'm still over 10 years away from retirement. That may be a fine allocation when I'm IN retirement, but certainly not when I'm a decade away.

[@ghjong001]

Yeah, this drives me crazy because of how insistent Ramit is about it. I get what he's saying about not micromanaging your budget down to the last penny, but... the CSP is very obviously a budget.

[@ramitsethi]

Appreciate the feedback but I disagree. Not only is the CSP different in simplicity and construction, it is different in the entire mental model. A budget is primarily focused on tracking (for what purpose?), while the CSP is built from the ground up to focus on consciously allocating money towards a Rich Life. You may disagree and that's fine!

[@embodiedsinger436]

@@ramitsethi I know you see this comment constantly and I do see your distinction between the CSP and the traditional budget. I also understand why you would want to differentiate your approach considering how unpopular the idea of budgeting is. I think the CSP is a great framework, especially for people on solid financial ground. I wonder if there is a missing concept or framework for people like the couples you work with who actually need to change their spending habits in a restrictive way to get out of debt and need something more detailed.

[@cybertoeknee]

@@ramitsethi So if we don't track expenses, how do we know if we're staying within our guilt free spending percentage? The fixed, investments, and savings section within the CSP is easy with automating everything but I sometimes struggle with keeping track of the guilt free section if I don't put those expenses in an excel/google sheet.

[@ramitsethi]

Have you read my book? I cover this in detail. You can track 2-3 variable expenses that have a material impact on your finances. But most expenses end up averaging out to being mostly the same and it makes little sense to track them at the same level of analysis as, say, eating out or kids' expenses. Check out the book, specifically chapters 4, 5, and 8

[@wag2639]

FYI for monarch users, I just realized I can create rules to tag expenses as fixed costs or change category group to separate guilt free (landscaping services) from fixed costs (mortgage).

[@MsJai_1]

Ramit, this was another solid, and extremely detailed video that will be helpful for a few people I know are stuck at the "do nothing" stage. They'll be getting this link today. Keep it up!

[@stuartwhite8939]

I’ve been with capital one forever! I love them!

[@ceciliaruns72]

Your book just arrived! I automated everything and all my transfers happen tomorrow and every 2 weeks on payday! ❤

[@pg9566]

CSP = budget Ramit 😂

[@EPPOTTER-k6i]

While a budget works for me very well, I also agree with Remit in the loving the little things right here, right now. We might not get tomorrow. It's all about balance, enjoy today but also plan for your future.

[@tharpeaddy]

People wonder why I ride e-bikes They never wonder how much money ima saving each month from ever going to a gas station never paying for oil changes never paying for property taxes…tickets parking should I keep going??? People only wonder why I ride e-bikes they’re never concerned with how much money I’m able to save lol… When I see hybrid and small vehicles I’m just wondering how much money they’re saving and when I see expensive vehicles I just wonder how much is the maintenance to be honest …😅

[@alexandraandrews1241]

I like the idea of automate payments. It definitely allows you to worry less about which bills are due. Smart.

[@RamitSethiHELPLINE]

Indeed SMART!

[@awanen]

My guilt free spending is extra payments to the mortgage and a rich life for me is to have a paid for home hehe, sorry Ramit.

[@loft27ss]

The only person was doing good In daylog Tracking budget is Austrians:)

[@TheEmpressCastle]

Another excellent video. I appreciate both the couples videos and these money breakdown videos. Thank you so much. Keep spreading the great work.

[@ellenk9604]

As a highly skilled professional designer with 30 years in the business, I can tell you that the 99 Designs model is about the lowest of the low. It's exploitation, 100% and ethically very wrong to ask that desperate designers compete this way and maybe, just maybe, you will choose them AFTER they've done work for you. Turn it around. Let's say I want some financial advice, and I ask 100 accountants to work up a plan for me for free, and then I'll choose one that I like. The rest of you, eh, you're outta luck. Would you do this? Is this fair? The better way is to look at a few portfolios of work online and choose a designer based on what you see and like. DON'T ASK FOR FREE WORK. If you have a business, you have ongoing needs, and you want a professional who will know your branding, style and preferences. You will have an ongoing relationship with this person. I would never do business with someone who wanted me to update their 99 Designs work - it's unethical. I respect this channel, but this endorsement is not something I can let go without commenting.

[@youngjesus5992]

A lot of financial KZbinrs say to focus on paying off debt before even investing but if I had listened to that advice I would’ve barely began. [actually, not even yet. I owe $30k on my car] But I’ve been investing for the passed 2.5yrs and got over $40k invested now. I barely began to get my financial shit together lol would’ve lost out on 2yrs of compound growth which is a LOT.

[@ajohonly3721]

Ramit why do I feel scared to spend my guilt free money 😢? I did everything you said but! I’m still scared to have a lil fun 🤦‍♀️.

[@jeffstanger88]

since college (ahem, cough, cough, 1990) i have tracked and categorized every cent i’ve spent. i find the process oddly satisfying, though of course i have the same anxieties about what the numbers sometimes say that everyone does. I have never budgeted though. Until i went looking for frameworks for planning, understanding, rules of thumb, etc. i found Ramit and others. While i agree for someone like me who tracks things meticulously, the CSP is basically a flavor of budgeting. But the part i find most useful is the

Great americans, i love your problems. You cant really know how small they are. Just try to live with %100 inflation and only active funds available for your retirement account. Just index broad market with tax in mind. And dont eat mcdonalds all the time. Thats it. Listen to paul merriman and you should be fine.

[@unikornkontroller]

Target date funds are good for beginners but I wouldn't set-it-and-forget-it. Periodically compare its performance to a known benchmark. A lot of experts feel the roll off of equities over time really hurts the performance of these. And with a lot of opinions shifting from old school "hold bonds in retirement" to "stay mostly in equities" line of thinking now, target date funds can really hurt over the long haul.

[@arh1234]

Set and forget it until you have the time amd interest to look into it further. Slightly conservative is ok - for the first $100k, it's all about savings rate.

[@coolsteven2]

I got out of target date funds because I found it was underperforming for me compared to the overall market.

[@chueyang7221]

In Rung 6 does what you mean by open a "regular non-taxable account" are you referring to a brokerage account?

[@LADY1DDNCE]

Love this! Thanks Ramit ❤

[@user-gr7jo9qb3l]

briefcase "technique" is not a technique or a trick. If you can't provide an employer with solutions, they can just outsource or hire someone else. I interview people for a living and most forget what co they applied to and think they should be hired bc they have kids to pay for

[@sarojkrbaba]

Thanx Ramit bhai for your technic, after 2 years of your guidance I feel like i'm in right path.

[@Jbook464]

Ramit! Correct me if im thinking of this wrong, but don't you have to track your spending to know if you're sticking to the CSP? I made a CSP for myself and I feel like I have to track my GFS to make sure I don't spend too much in that specific category.

[@arh1234]

You do. I think the distinction is that CSPs use broader categories - budgets with 40 categories become cumbersome quickly.

[@JustLIkerapunzel]

That's just his semantics to try to act as if what he sells wouldn't be a budget just cause some people are basically allergic to that word (him included 😂). He claims a budget equals to the act of trqcking your spendings while that's not at all what a budget is or ever was defined as. The budget is the plan on HOW TO MANAGE YOUR MONEY. Which is exactly what his "CSP" is. A system to manage / budget your spendings. Tracking it is simply the act of checking wether your system is working out as planned or needs changes. It really doesnmt matter wether it is you putting aside cash folders for different spendings as some do, or setting up autopayments, or different bank accounts for different spendings, or using an excel sheet and manually doing payments etc. etc. For beginners it's the easiest to start with monthy auto payments to recurring bills, an account that is designed for such bills that don't come monthly, rent payment, utilities, etc. and whatever is left on your checking account is what you know you can use for your flexible costs such as food and fun till your next paycheck in order to stay within your budget. Once you don't feel stressed out and want to finetune you can still use apps to track those flexible costs in more details

[@phykios]

Ramit may get some flack about his CSP that it is a budget despite him not wanting to admit it, but he is, in my opinion, the most realistic and actionable, out of most of the finance KZbinrs next to the Money Guy Show. Most people are just inherently terrible with money, so his idea of automating finances is just better

[@katiez460]

I did the CSP and love it - would love to see one that includes childcare expenses and how that should fit into the percentages. I added it into the “rent” category but of course that pushes my fixed costs way too high.

[@ThrowBackZone]

I get it-life can throw unexpected curveballs! But isn’t it wild how some people think bankruptcy is the 'easy way out'? 🤔

[@RamitSethiHELPLINE]

Read my books!

[@Iridiumwins]

I'd make a slight tweak that people looking to get on the property ladder should look for a credit card with the best bank offering the best rates, get that responsible credit usage logged on their history books.

[@VyseFIRE]

have a great day ramit

[@meryla.l.8245]

CSP = “back of the napkin” budget 😉 still love your content, Ramit!

[@stephaniesilic5446]

Uh huh what happens when you unconsciously go over on your guilt free spending. But I do like the format especially the simplicity of the formulas

[@shea455]

We only have three asset classes: Fortune 500 (stocks), Bonds (our 'the market is down' buffer, 2 years worth) and Cash (our next 1-year of cash). Target date funds are easier but the fees make a big difference over time, and I'd rather control my own asset allocation... granted, I'm probably the exception, and not the rule, as I'm a money geek.

[@Trix897]

That makes two of us. One of my hobbies is looking at my finances and modeling a variety of scenarios so I continue to feel comfortable with where my money is going and meeting my goals.

[@Brown-ground689]

I love Ramit. Changed my life❤

[@doireannrenzi7815]

Ok, so I’ve implemented pretty much everything from the book and it’s been incredible - we’re in a streamlined and stable financial position now (even with husband temporarily not working) - however, we had 1/3 of the money in our taxable brokerage in a target date fund. Given the final tip in part one, or other folx in the comments who know about this - what do we do? Should we sell and reallocate it to our other index funds? Or is this just a ‘blast we made a mistake’ and leave it there?

[@robertwright8844]

Target date funds are managed for investors in tax-advantaged accounts, and they can occasionally have large distributions that trigger unnecessary tax for investors in taxable accounts. So yes, I would suggest moving your taxable investments to ETFs (ideally), or mutual funds that aren't TDFs. Even if you're reluctant to sell, don't continue adding new money to the TDF.

[@Ashtontr]

Hey @Ramit, I just wanted to give you some feedback on your podcast. It may fall on deaf ears, but I'm on episode 20 so far and you have so... many.... ads... in your podcast. I get that makes you more money but think of the little people. You have 5 sets of sponsored ads in every episode of money for couples. It's hard to binge listen and catch up.

[@ramitsethi]

Yes, I run ads to pay for the amazing team that makes this podcast possible. Thank you for listening & watching

[@vanessamarquis5954]

Is it just me or these tips doesn’t work in other countries. I’m in Canada and a lot of these tips are hard to apply

[@RamitSethiHELPLINE]

Check description for the link to connect with.

[@PaChe-mb9lv]

Hi Remit, I really need your direct assistance with my finances please, thank you. How can I hire you?

[@RamitSethiHELPLINE]

Greetings, chk description for more info.

[@xbellex143]

Could you please put some warning on language? I'd love to introduce my kids to these shows.

[@RamitSethiHELPLINE]

Absolutely!

[@supercruchynoodle]

Great video… thank you for not inserting endless ads..❤ I’m building big wealth… zero debt. Been following your advice and enjoying life !

[@snowjae9380]

Hi Ramit, I read your book last year. I’m in my 30s working in the tech field and regret not knowing any of these things sooner. Since I’ve read your book, I’ve maxed my 401k, IRA, opened a taxable account, and opened CDs and a HYSA for my emergency funds. Also took advantage of my credit cards that I was afraid of touching. My net worth grew an additional >$40k without me doing anything this past year (not including my work income). I highly recommend your book to everyone! Thank you so much 😊

[@CFrey42]

Is it just me or does Schwab Bank App interface suck?

[@RamitSethiHELPLINE]

I'll guide you.

[@clee3352]

Closed my checking account with a min balance requirement of $2500 this week and maxed out my Trad IRA with those funds 💪 Now I can focus on investing during the election period - might be more volatile but at least I maxed my IRA early this year.

[@roburb73]

Our most important factor when it comes to being "good" is no more stress! There's nike like the knowledge that you went to sleep at one point and woke up and are better than before!! Admittedly, we don't budget. We have a household income of $350k+ and I can't wrap my head around needing a budget. Our mortgage and cars are 13% of our income. Everything else is gravy!

[@neleven4154]

Ynab for budgeting is great. Been using the same budget from 2021. I only put in the transactions once a week. Don't sweat the small stuff. And it's fun to see your net worth grow over time.

[@thaodinh8390]

Wow, mind blown 🤯. Thank you for advices, I will see what I can do.

[@odiez42]

I tried the briefcase interview approach. I didn't get hired and the company implemented my idea within a couple of months.😂

[@stevemaurer2259]

So, question for the chat: any tips for implementing the automated credit card payments when your partner likes to pay in full every two weeks? Is there anything that would be helpful to show her it could be easier/less stressful to automate?

[@baileytran4013]

Love the message of just getting some things started.

[@RamitSethiHELPLINE]

Check description for the link to connect with.

[@tannismiller5389]

When paying off credit card debt, pay all that first or still put something in savings while paying it down?

[@CollinRutherford]

It’s not just about material possessions but also about living intentionally and fulfilling our own dreams.

[@sensiblewheels]

26:09 when you say you don't need a budget, I would think creating the CSP in itself would constitute a budget. And we still need to categorize the spends each month to determine if we're sticking to our CSP. I appreciate that you're not classifying this as a budget because people only think of a detailed budget as a Budget. I'd love more on this from you. PS: I'm relatively new here so I may have missed it if this was discussed already.

[@sensiblewheels]

Never mind, I see that many of them had a similar question and you did answer to them. If there's more you want to add, I'd love that too! Thanks

[@LifeOfErrick]

Why would you have HSA as Rung 5 instead of Rung 4?

[@lanimessmer8571]

Ramit, thank you for your videos and education. I finally got my dream job and within 6 months I have accumulated 15.5K in retirement and savings. I started from 0. This is all thanks to you.

[@ramitsethi]

Nice work!

[@GigaChadBigW]

I would love a video of your setup you light and camera look amazing and I need to step up my game bro

[@mrveryniceguy]

how to approach the mentality "why do i need to wait for retirement to enjoy life?"

[@ILLEST-ANT]

still procrastinating on making my payments automated lol

[@nikhilgandhi01]

The background chimes remind me of the Zelda game

[@danielolaya6964]

Ramit is saving lives out there, Cheers from Colombia!

[@yaniroman]

Hey Ramit! What do you mean Target Funds have tax implications if I have them in non-retirement account? I was already having doubts because Charles Schwab charges me fees if I buy more than $50 of the Target funds at a time.

[@RamitSethiHELPLINE]

Greetings, chk description for more info.

[@SrivathsSriram]

Ramit, big fan here. Love your philosophy on personal finance and everything you're doing. What are your thoughts on a backdoor Roth IRA? Is it better to jump straight from maxing out 401k and then go straight to taxable brokerage?

[@RamitSethiHELPLINE]

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[@soumyajeetchakrabarty6872]

This has been very very insightful

[@CyrinaSwanston]

Hey Ramit! Thank you for the video!! I have a question - where do student loans fit into the money ladder? My interest rates are between 3.5 - 6.5 % on Federal loans, and I've been having a tough time trying to decide whether to cut back spending in other areas to pay them off early, or to pay them off in the 10 years my plan was originally and to enjoy the rest of my money now. I can meet my employer match either way, but I'd need to cut back significantly on investing in my Roth, savings, and guilt free spending in order to pay them off early. This is the only debt I have, but I'm wondering if it's worth paying off early since I don't plan on buying a home in the next 10 years. Everything I looked at online says to pay them off, but they're not high-interest, and they're not private loans, so I'm having a hard time coming to a decision about what I should do. The difference is between paying them off in about 4 years, versus the 10 years of the original plan. Thanks so much, Ramit (and anyone else who has advice)!!

[@ramitsethi]

See chapter 1 of my book

[@KA-NV]

Hi Ramit. Great video again. I have a question about the target date fund you suggest for a 401K account. In my experience, I have seen the ROI in target account is way below of investing in ETF like VOO, VTI, etc. Retirement accounts offered at work place has not many options on investments. Do you think it would be better to contribute to the 401K up to the employer match and the rest put it on a taxable brokerage account and buy ETFs instead of keeping it in a target date that will generate less ROI? I have max my Roth IRA, and HSA and I am looking to get more on my investments than what I am getting on that target fund. What do you think?

[@arh1234]

For at least the first $100k, yield is basically irrelevant. Savings rate drives all. Keep it simple, especially if it will free your brain to get started.

[@sarahwinston792]

Ramit this is great!! Can you make a video for entrepreneurs walking them through doing the business side and the personal side and how to include living your rich life while balancing both. I feel like we are 100% business and making money and struggle to enjoy it. I want to enjoy it and not wait till I’m 65!

[@ramitsethi]

I cover how to use your money for a Rich Life in my coaching program: iwt.com/moneycoaching. Highly recommended

[@ILLEST-ANT]

I'm curious on everyones opinion, is it better to invest in my 401k or personal brokerage account (index funds)? I believe my 401k is going into a target date fund.

[@RamitSethiHELPLINE]

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[@karenh.192]

Hi @Remit with the current economy and the amount of layoffs I have found myself settling for salary cuts. Maybe it’s because I’m just so desperate for a job I don’t want to price myself out. Would you be willing to share your insight on an episode specific to salary negotiations and job search during mass layoffs? Thank you for blessing the world with your skills and wisdom.

[@arh1234]

I'm in a similar situation - no COL raise in years, but that's the state of my field. Several areas had big pandemic raises that companies are riding out. I'm keeping an eye on the market so I know whether I'm being fairly compensated🤷🏽

[@Elhamonyou21]

Question for me is, how do you have a rich life and still be a car guy? I love driving different cars and I used to buy/lease a new car every couple years, since I started budgeting more, I stopped but man I miss that. Maybe the two (budgeting and being a car guy) don't mix.

[@ramitsethi]

Being a "car guy" can be very expensive, so if that's truly your hobby, iou have to earn enough money to make that possible. You can also cut other expenses down.

[@ganpati634]

Things you need for a rich life. 1. 100 k a year, good partner, 1 hour gym, nutritious diet, 9 hours sleep. Thats all you need. Nothing less.

[@RamitSethiHELPLINE]

life is short.

[@lizplans2028]

Love your concept. During Covid I developed the habit of living in the spreadsheet. I am glad I found your channel one year ago. Now I am living my personal rich live with also spending money and enjoying life.

[@RamitSethiHELPLINE]

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[@3PeasInAPod2016]

I wholeheartedly agree about negotiating your starting salary despite our internal discomfort. Even my mentors advised against negotiating but I did it anyway despite my anxiety. They agreed to a 25% bump!

[@RamitSethiHELPLINE]

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[@TheJS3v3n]

@Ramit if all you had was a little more than half of your debt in savings, would you recommend paying it all off and have only a few thousand left or save up more first while slowly pay off debt?

[@RamitSethiHELPLINE]

Check description for the link to connect with.

[@mini_special]

I am wondering when it is going to be uneconomical for Ramit to keep his Accura, what car will he buy? (Coming from a car dude )

[@RamitSethiHELPLINE]

Motivated? check the description for follow up!

[@lormac2769]

Cute sweater

[@RamitSethiHELPLINE]

Much Appreciated!

[@CameronMoore-l2k]

How would you set up an automate system when you get paid biweekly? Paychecks don’t always align with bills

[@ramitsethi]

See "how to handle irregular expenses" in Chapter 4 of my book. You essentially build a buffer over several months, then use it to simulate a monthly paycheck

[@just2watch1clip]

Ramit's sweater game is on point; had to re-watch half the video because I was distracted by the fit🔥🔥🔥

[@RamitSethiHELPLINE]

Motivated? check the description for follow up!

[@stevestreet9628]

I would love you to do this based out of Australia,

[@EmilyyAnnn]

Is the Target-Date Fund similar to a 403b?

[@ramitsethi]

No. Please read my book. I want you to understand this material.

[@mdyunusansari3677]

I am the first viewer❤

[@vanteltdeis5388]

No me

[@dedelambert]

Do you have any recommendations for a podcast focused on finances going in to retirement?

[@arh1234]

Might be worth paying for an eval by a flat fee financial professional. Expect $1k-$5k for 1-4 meetings, over up to a year

[@enrique-zarate4594]

This is why I pay the internet for ;)

[@parmodmori3025]

काश ये विडिओ हिंदी मे होता ❤❤❤❤❤❤❤❤❤❤❤

[@nono99136]

I wish this comment was in Hindi also :(

[@aamirjamal6833]

Why not recommend SoFi?

[@nono99136]

Because maybe one shouldn't trust a 2 year old internet bank? Also the capital one savings account he mentioned has a better rate and the schwab account has better atm reimbursement.

[@aamirjamal6833]

@@nono99136 sure it might be new, but ally is also an Internet bank and capital one savings account doesn't have better rates than SoFi. I can understand if someone lacks trust for a new bank. Cool. Thanks.

[@abigailwestfield9762]

Can the conscious spending plan be available on Google sheets please ?

[@sndrh9664]

You can download it through Ramits link and then upload the template to your Google sheets. I did that a while ago and it works just fine :)

[@passdagabagoul4369]

Conscious spending plan… also known as a budget…

[@RamitSethiHELPLINE]

Definitely!

[@Itsdjsigi]

What’s the difference between Roth IRA and individual long term?

[@robertwright8844]

A Roth IRA shelters all your investment activity from tax, which tends to greatly increase your returns compared to a taxable brokerage account. A taxable account has more flexibility: it lets you withdraw any amount of money from the account at any time. Roth IRAs do let you withdraw the sum of your cumulative contributions, but they have more restrictions on withdrawals until you turn 59 1/2.

[@Trix897]

Do you mean traditional IRA? Roth IRA = you contribute to it after payroll taxes are taken out of your paycheck. That money grows tax-free and you can take withdrawals in retirement TAX-FREE and without the IRS demands for Required Minimum Distributions in your 70s. Traditional IRA = you deduct the contributions on your tax return. Your contributions and earnings in this account are taxable at your tax bracket rate when you withdraw the funds during retirement. Taxable brokerage account = money goes in after payroll taxes are taken out. If investments pay dividends, they’re taxed at your tax bracket rate (like interest on a savings account). If you sell investments at a higher amount than you bought them, you pay capital gains tax, which is 15% for most of us. Does this answer your question?

[@microenelbeat]

How to applied this living in latin america ;/

[@arh1234]

Use CSP to create margin. Reasearch retirement accounts in your country, if any. Aggressively minimize debt.

[@skruger89]

What are your thoughts on wealthfront as a high-yield savings account as opposed to the accounts you recommend such as Charles Schwab, capital one, and Allied Bank?

[@arh1234]

*Ally Bank

[@skruger89]

@@arh1234 thanks for your helpful insight

[@RamitSethiHELPLINE]

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[@guyfox87]

Why wouldn’t you do the HSA before maxing out the after match 401k?

[@robertwright8844]

You probably should prioritize the HSA after maxing out your match! It has the most tax advantages of any account, including reduction of FICA taxes (the federal payroll taxes) and no limit on the time you can wait to reimburse yourself from the account for eligible expenses. However, California and New Jersey taxpayers should be aware that those states tax HSA contributions and investment activity (which is crazy).

[@Trix897]

Because the tax treatment for an HSA is better than any retirement account, and can be used to pay for medical expenses during retirement. Contributions to an HSA go in either pre-tax or can be deducted on your tax return, earnings are tax-free and withdrawals are tax-free if they’re used for medical expenses. And yes, you can invest funds in an HSA. Win/win/win.

[@Trix897]

@@robertwright8844 WRONG. See my explanation in this thread. The tax treatment is better for an HSA and can be used for medical expenses during retirement. As someone who works in healthcare finance and used to be a business office manager at a nursing home, I know firsthand how expensive healthcare is, especially in the last 3 years of life. I invest in this order: 1. Meet match on Roth 401(k) 2. Max out HSA 3. Max out Roth IRA 4. Increase Roth 401(k) contributions to 15% of salary 5. Invest in taxable accounts. I’m currently doing all 5.

[@gregtaylor5568]

Why don’t you recommend SoFi?

[@FunStuffBuddy]

I would love to hear Ramit say “conscious spending plan” is a fancy word for budget…it’s the same thing! Then he’ll say something like “but it shifts the mindset” or some Budda BS.

[@dyhppyx]

Ramit I'd love to hear your thoughts on this unorthodox idea. A 70 year old lady has a credit score of 800. She has transferred all her assets to her children. She has government low income housing. She has over 100k in available credit. What's to stop her from just using all her credit and just making minimum payments or just not paying anything at all? I'm not a legal expert but from what I've read there's not much that can be done to her. She has no assets or wages to garnish. I'm all for being financially responsible but I also like the idea of sticking it back to banks who quietly steal from customers.

[@patmanrick]

Stress. She could easily live 20 years. That's a long time to be hounded for money, constant letters through the door, calls etc etc

[@MattMcConaha]

What's she gonna do after she hits the income limit? I guess continually ask her children to buy things for her? I think if you are still young and thinking about these hypotheticals, just stop. The point of Ramit's teaching is that you should be able to live a great life, all the way up until you die and hypothetically longer. You don't need to try to game the system like that in oder to achieve it. And if you're conscientious about your money and follow the principles that Ramit teaches, these institutions that you're trying to "stick it to"... well, they actually helped you along the way, you don't need to hate them and want to stick anything to them.

[@darbymori350]

She's choosing to live in government housing?! Also, the government can 'look back' several years at asset transfers when investigating tax or Medicare fraud.

[@bryantkobe23]

I think the lady is convicting fraud

[@igobytony]

​@bryantkobe23 she has no assets. High available credit is just an opportunity for debt, not money in the bank. If her income is low, she has every right to low income Sr housing. Edit: I should add that I'm assuming she doesn't benefit from giving everything away to her kids, and is basically a broke old lady who happens to have great credit.

[@RalfiesTech]

I actually like to negotiate my salary or my fee. I do not like unions and people totally relying on them in order to get a 'better' salary through them. I learn quite a lot here about thinking about money anymore. We have some tuff times now and in fact, the first advice by relatives being offered is to cut back on almost everything and to think about retirement aka thrusting the government. I personally object to that and rather rely on the Lord Jesus and to invest my money like in stocks, previous metals and my own business ventures. Thanks

[@RamitSethiHELPLINE]

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[@viktrancestudio6398]

401k is a scam.

[@RamitSethiHELPLINE]

Motivated? check the description for follow up!

[@ucirello]

I do have a doubt about target date funds. When they finally mature, who's going to buy my shares back when the time comes?

[@RamitSethiHELPLINE]

Check description for the link to connect with.

[@ParisFiscel]

40048 Runolfsson Village