The BEST Way To Build Wealth In 2024

00:00 Intro
00:12 Northwestern Mutual
01:01 Goals
01:45 Offense
03:26 Defense
06:09 Offense
Some of my favorite books: amzn.to/3KF3tlr
Camera & equipment I use: amzn.to/3Z20lof
Disclaimer: Please note that this video is made for entertainment purposes only and not to be taken as financial advice. Always make sure to do your own research.
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Thanks for watching, I appreciate you!

[@user-eg2sj8lw1p]

I had initially planned to retire at 62, work part-time, and save money, but the impact of high prices on various goods and services has significantly disrupted my retirement plan. I'm worried about whether those who experienced the 2008 financial crisis had it easier than I currently am. The volatility of the stock market is a concern as my income has decreased, and I fear that I won't be able to contribute as much as before, potentially jeopardizing my retirement savings.

[@CharlesEvans-fj6gl]

The increasing prices have impacted my plan to retire at 62, work part-time, and save for the future. I'm concerned about whether those who navigated the 2008 financial crisis had an easier time than I am currently experiencing. The combination of stock market volatility and a decrease in income is causing anxiety about whether I'll have sufficient funds for retirement.

[@JoshuaAltom]

This is precisely why I like having a portfolio coach guide my day-to-day market decisions: with their extensive knowledge of going long and short at the same time, using risk for its asymmetrical upside and laying it off as a hedge against the inevitable downward turns, their skillset makes it nearly impossible for them to underperform. I've been utilizing a portfolio coach for more than two years, and I've made over $800,000.

[@JermaineW.Hoskins]

Mind if I ask you to recommend this particular coach to you using their service?

[@JoshuaAltom]

Leticia Zavala Perkins, a highly respected figure in her field. I suggest delving deeper into her credentials, as she possesses extensive experience and serves as a valuable resource for individuals seeking guidance in navigating the financial market.

[@DanielA.Slayton]

Thank you for the lead. I searched her up, and I have sent her an email. I hope she gets back to me soon.

[@daloriscutone6380]

You will need $2.3 million in SCHD to get $6,000 per month ($18,000 quarterly).

[@amgengroup5352]

The point is to invest now for a much higher quarterly payment in the future due to the 5-10%+ dividend cagr. $1 million invested now will pay 33,000 in the first year and rise thereafter, hitting $60k in around ten years. This separates schd type investments over yield traps. Personally I put down 2.5m$ on few ETFs, still diversifying. it was this time last year I made my first million with a liquid 200k. handed it to a trader here in CA, I get weekly pay out which I put back on long term ETF's. Tesla will be a huge buy for me when the market bottoms.

[@daloriscutone6380]

Good move, Please share this Expert with me.

[@amgengroup5352]

She is Katherine Elizabeth Humphreys look her up

[@jasminemccumber4694]

Kath! Good to see her recommended here, Kath's mind is made for stock analysis, she is someone every starter should look up to, this is my 3rd year letting her grow my funds and at the same time guiding me to the right efts to diversify to, I added VGT. So, VOO 25%, QQQM 25%, VGT 25%, SCHD 13%, DGRO 12%. This is my long term portfolio in M1 Finance that I’ll invest $10K a month into for the next 30 years in a compound interest calculator through investing 10k per month for 30 years, this projects to be $35.6 million.

[@harlibassham8187]

I've known Kath since my early days as an investor. She trades for me and advised me to diversify dividends to 50% FXAIX, 25% SCHD, and 25% QQQM, which has been great. I highly recommend her.

[@TheBeagle1956]

The single most important thing is to find a spouse that agrees with your financial goals.

[@WtfReal]

Truuuuu

[@drbcrb]

Still trying to determine how Erin has so much wisdom for a young woman.

[@kirklandphil]

She is a good reader. And has a great focus on financial information would be my guess.

[@davidstephens6458]

As I said before, spend 10% of your time saving money and 90% of your time increasing your income! Another good one Erin.

[@ErinTalksMoney]

I love this, David!

[@markadams8942]

Skill is important … discipline is essential. The first without the latter rarely produces the desired outcome.

[@RoseBalerus]

Building wealth is one thing and having investments to keep that wealth is another thing.

[@MichealMadu-vp7ll]

Yeah, but some people just make their money from being invested in by others, maybe due to a product or invention.

[@SeanJohns-ze8ie]

The inventors sometimes don't get credit for their work and end up just selling everything to the investors

[@JasonAmir-qo4uo]

Honestly speaking, I'd prefer to be an investor and take part in an invention without much work and still get paid.

[@RobertDamanii]

I really don't have much knowledge to be an investor. That's why I have my certified financial advisor, who helps in my investments

[@OwenFlex]

How does that work....he/she oversees your investments for you?

[@warrenjones4713]

You attributed “Live like no one else so that later you can live like no one else” to Charles Munger. Doing that is another way to build wealth. I know. I was fortunate to have very good income, and living waaaay below my means (by living like no one else) allowed me to build wealth. Great presentation, as usual!

[@LegacyStacker]

Hi Erin! I love your videos. The higher savings rate was an anomaly due to the stimulus and extra unemployment payments that were made during that year, which is not sustainable. Now we're seeing lower savings rates due to the high cost (inflation) of all goods and services. And, it's also driving more people to use their credit cards.

[@ricerocketrider4243]

I opened up a business with my brother and some of his acquaintances this year. And that’s in addition to my current full time job. Going hard on offense in 2024.

[@RichardTouchfaith]

Sometimes I want to just stick my head in the sand to avoid all the noise ...and just pop my head up and peek at my investments doubling every 7-10 years......

[@CalmerThanYouAre1]

Excellent content! 👏🏻 Building high value skills ➡️ high starting income ➡️ solid income growth and more opportunities over your career. And with today’s resources available, there’s no need to go deeply into student debt to achieve the above.

[@halcooper6059]

Thanks

[@user-wf8nv2ok3s]

As Dave says, you’re biggest wealth building tool is your income. And not letting it go to debt every month

[@FIRE_DrNinjaTurtle]

If you start late, stay focused and reinvest cash flow

[@economicdevelopmentplannin8715]

Telling our local kids... Double up on jobs at 16 and never use debt Only buy minimum needs for food housing and the rest goes to a long-term investment strategy Like the Dow gold ratio over the next century

[@victorbaird8220]

Happy Friday 😊

[@alexanderlyon]

I've been thinking about offense a lot more in the last 10 years. We live frugally, but the approach that helped us the most toward financial independence was boosting our income. Great video, as always, Erin.

[@ld5714]

Hi Erin. Your comments were spot on as usual. I feel the root of the problem for the lack of so many doing those things is simply the lack of discipline and committment. Many don't see the need to do it or accept the real value in the tried and true steps required to build wealth. Many would rather put $1000 into Crypto Assets rather than a low cost growth Index Fund, looking to quickly make a fortune. No perspective, understanding or discipline. The irony is that with the wealth of infomation and knowledge available today coupled with all the employer plans, low cost funds and investment expenses - it has never been easier to do than it is today. That will upset some maybe and trigger a litany of excuses from them but it all circles back to what I stated in the beginning of my comment. Keep up the great content Erin. Have a good week. Larry, Central Valley, Ca.

[@dstevens518]

While it's easier than ever to take advantage of good, index funds for the long term, it's also harder than ever to see that as a wise and desired solution, with social media swamping young people with the impression that what they want is immediate gratification and get rich quick plans (crypto). Sadly, the longer they take to figure it out, the more years they knock off their compounding, and it's those last 5 years that really pay off...

[@ld5714]

@@dstevens518 Yep, exactly.

[@hahamasala]

But to be fair, equities are overvalued, our fractional reserve banking system is a sham and crypto (and precious metals) should be part of a good diversified portfolio.

[@marton349]

Yes saving more was possible during the lockdown.

[@OurRetireEarlyJourney]

Good stuff! Gotta have a plan and stop winging it. Cut the fat, prioritize savings first before spending.

[@dstevens518]

Your insight blows all the other personal finance folks out of the water. I'd argue offence is ALWAYS important, when you're both young AND old. Most folks think getting to FI before your targeted retirement age is the end of the game, but everyone's living for 30 to 40 years after they hit retirement now, so you need offence just to keep up with inflation and make sure your retirement and lifestyle don't get cramped. As for defence, that's all about making sure your expenses are low and income high, so your income gives you so much wiggle room that you can take more chances on investing offence. Then when you retire, your defence is having plenty of buffer room (ie way more than your FI number), so again, you can asset allocate toward offence, and have no worries if there's a downturn...

[@EricMoore790]

Be my financial coach Erin! Draw up a play for us!

[@CalicoCooperFan]

I think this makes sense. The second part of playing offense isnt intuitive to me. Can anybody recommend great resources on that part?

[@duneme]

I did a 1031 Exchange last month! Is that offense! I think so!

[@theprogressivemichigander6588]

A big part of the higher savings rate during the pandemic was the COVID checks, Child tax credit expansion, and higher unemployment insurance payouts. Those three incredible peaks are the COVID checks. I wouldn't assume that just because people could save unexpected checks from the government means that they can save similar amounts now. That said, anyone who can obviously should be saving and investing.

[@dstevens518]

Agreed, the pandemic checks artificially inflated the savings rate, as did some closures and restrictions. Still, 3-4% savings rate is pathetic, unless your income is so low you just don't have any wiggle room. I'd say most people should be TRIPLING their savings rate, just to give themselves a chance in their senior years. You don't want to end up like all the stories about being 50, 55, or even older, with next to nothing saved. At that point, who can you blame but the person in the mirror?

[@FiveBoroNative]

The revs sounded strangely muddy, but crackle. That acceleration on the hand...!!! 😅

[@xaldath4265]

Love the content, as always. Are we going to ignore the fact that the play laid out was to have an extra player on your side? 😂(5 Os against 4 Xs)

[@ErinTalksMoney]

haha - let's be very clear, sports are not my forte 😂

[@alexc2265]

Omg, you’re big enough to get these spammers now

[@LiamRappaport]

The best defense is a good offense

[@pc24681]

I am investing 45 percent of my income and delaying gratification

[@dantheman6607]

Get a good job with a pension and save like crazy in your 401k and Roth IRA. You can reach the 2 comma club in your 40’s like I did 😊

[@grigorirasputin425]

With a pension and a 401k? Where do you find a job like that?

[@saulhuerta760]

new bomb

[@SteveG1337]

“The best defense is a good offense” - George Washington

[@afordh]

Saving in bitcoin has helped me feel the most finically secure I've ever felt.

[@mikellock]

Erin - I feel you have made it on KZbin when the bots invade your comments to post how they buy AMS59K and then like all the other bots that post the same thing.

[@hanwagu9967]

shame you can report and flag, but YT never takes them down other than removing from your individual feed. The bots sound like fortune cookies.

[@ErinTalksMoney]

I spent like 30 minutes, trying to remove those, and report them, and they all popped up right after again. Incredibly frustrating.

[@josephjuno9555]

I Only have $400K saved, but w Pension, SS ect will receive income that should help me in Retirement. U don't need to have it All Before u can Retire?

[@hanwagu9967]

you literally need to have it all before you retire, since you aren't going to be adding to your nest egg that is funding your retirement...unless you are planning on working again.

[@ShawnPatton-rm2hv]

You really rinse out the sealable plastic bags?

[@hanwagu9967]

argh! I had to rewatch the video to get over the constant zooming in and out. This seems to be an annoying trend on more YT channels these days, equal to the overuse of powerpoint clipart back in the day. Offense is Munger's 1994 prescription to do whatever it takes to get to your first $100k, so you can get a compounding working more for you. Azul Wells on his channel adjusts for inflation and says $250k (inflation adjusted would be $211k) before throttling back. I see defense as offense, because everything you stated are things you should be doing proactively.

[@brianmanning9271]

1.5 million needed for gen x? Where the hell are you people plan on retiring? California?

[@hanwagu9967]

$1.5m with safe withdrawal rate of 4% would yield 80% of average median household income in the USA. Used to be experts recommended retirement income of 80% of active working year income.

[@bill4632]

Find a rich woman or win the lotto...lol.

[@pongmolina2157]

Not sure if this helpful or make sense

[@mikesurel5040]

My friends will tell you I enjoy being offensive