😂 every time I go to the gyno, she tells me my BMI and I'm considered overweight because I'm short but muscular! Like why are we still using that number??
@haileyreign9714 ай бұрын
@@PersonalFinancewithLeila I wish we had body composition measurements instead. BMI can be a starting point but it's not the whole picture. Having 100 lbs of muscle and 100 lbs of fat are two VERY different things with various health implications.
@thehomeless_trucker4 ай бұрын
I never did like the 50/30/20 rule... big thing for me is that it allows you to blow more than you save.
@PersonalFinancewithLeila4 ай бұрын
Right?! I always thought the 30 and 20 should at least be switched!!
@SOLTANA174 ай бұрын
More like 50% rent 30% groceries 20% on everything else 😂
@PersonalFinancewithLeila4 ай бұрын
😂 right?!
@angiewolf81894 ай бұрын
Moral of the story...debt is horrible. When one has debt, their money is not theirs. While I get debt is the culture, one can choose to not go down that path. The debt and things culture in our society has got to change. It's okay to be different and not have debt.
@PersonalFinancewithLeila4 ай бұрын
Definitely!
@gretelwhite80884 ай бұрын
Writing a reality based budget is the most important thing, it forces you to face your situation and offers options to save. You just can't argue with the facts!
@PersonalFinancewithLeila4 ай бұрын
For sure!!
@ecouch124 ай бұрын
I think 50/30/20 is a good starting place for someone new to personal finance to set some guard rails. However I think it only works for someone with little to no debt. So after going through a debt free journey, 50/30/20 can be a good next step
@PersonalFinancewithLeila4 ай бұрын
Agreed!
@libbysworld76494 ай бұрын
Preach girl, PREACH!
@lindadorman28694 ай бұрын
I think you have to take into consideration age as well. A lot of models assume older people have retirement funds, investments or property but this is not true. Many of us are starting, or starting over, and have a much shorter growth timeline. I'm 63, debt-free with no assets and follow a 30/10/60 model. From my monthly net income derived from Social Security, pension and small business revenue, I bring in $6000/month...$1800 goes towards needs, $600 towards wants and $3600 into high yield savings.
@PersonalFinancewithLeila4 ай бұрын
Definitely!! You have a great balance!!
@rolandosouffrain79574 ай бұрын
Most people love to spend and not save. I love to save and spend. Lol😂😂❤❤ lucky me I live below my means and can save a lot. I have a goal of maxing out my Roth 401k and Roth IRA. I am on track so far.🎉
@slwdro4 ай бұрын
When Leila says "Personal Finance is Personal Finance" she means it. The 50/30/20 would not have worked for me when I started this process. That's the main reason why I started following and implementing her style. I made excellent progress from Sep_23 to end of 2023. I still needed assistance which lead me to having 1:1 coaching sessions from Jan 2024 which I highly recommend. I have tackled some much debt with her recommends and on path of being debt free with 14-20 months from now. If you on the fence on investing in 1:1 coaching, Please do it for the following reasons: It's holds you accountable , it's motivating seeing the results and Leila with easy to work with.
@PersonalFinancewithLeila4 ай бұрын
Thank you so much Dro!! 🙌🏻❤️
@juliequick55264 ай бұрын
A good topic to think about. I am following a budget for expenses and savings and then the remainder is used as we want. I am a lot older though and have had to track each penny in the past. The only must for me is to have a budget whatever it looks like! Excellent content, as always x
@michaelbourke8967Ай бұрын
As to that @SOLTANA17 point I think people in that bracket would be much better examples of which there are probably enough to prove your point. I agree with your perspective and think "The BMI of Finance" analogy is spot on. However, your examples aren't the best imo. I'm sympathetic to those who, due to location or commitments, spend over 35%+ of their income on housing, making the 50/30/20 rule unrealistic. So, you're right that this guideline has more exceptions than it works for hence you bmi remark is spot on. I’m genuinely curious about the second example. They mention spending $500 a month on pets-do they own a zoo, a horse that needs stabling, or a pet that insists on gourmet meals? Surely this is just a one-time thing due to an unexpected vet bill and not a regular monthly expense. If it is every month, it might be time to reconsider having that pet, and I say this as someone who loves animals. They’re spending as much on their pets as they do on their own food, including eating out. That’s hard to justify imo.
@robryan9675Ай бұрын
What are your credentials?? Field of study, certifications, degrees???
@epfrostwraith4 ай бұрын
Savings includes debt repayment. Also, the idea of the 50/30/20 rule is that it scales based on your earnings. A person with double the income can have a nicer and more expensive house.
@dragonsworder4 ай бұрын
Debt repayment is not saving. Saving mean setting money aside for future need. I.e. if you lose your job, you can consume your saving to keep paying the mortage.
@epfrostwraith4 ай бұрын
@@dragonsworder agreed, but that's how they categorize it in the 50/30/20 rule. It works if you consider that you've just switched to 50/30/20 and you have a bunch of debt to repay. Debt repayment is a better bang for buck than savings (investment) if your debt APR is 7% or higher. Debt repayment from debt that you incur AFTER starting the 50/30/20 should be excluded, of course. Otherwise you're incentivized to keep piling up on debt.
@MidlifeMoneyMoves4 ай бұрын
This is what makes you stand out in this personal finance KZbin world! Everyone’s situation is different and it’s so easy to look at these “rules,” realize they won’t work for your situation, and then just not even bother to try. It takes time and flexibility to get our finances in check!
@PersonalFinancewithLeila4 ай бұрын
Definitely!! ❤️
@edgonzalez1864 ай бұрын
Good one! Hopefully many young ones are exoosed to your content. Tha KEY is, soundly structure your life a soon as possible and make the right choices (no stupid purchases, mate selection for family, steady income progress, etc.).
@PersonalFinancewithLeila4 ай бұрын
Thanks so much! And yes I agree!
@lauraburleson47834 ай бұрын
Great video as always. Do you have a video on the different ways to invest your money when you have no debt? Maybe even how much you should set aside in a hysa and how much to invest. Thanks 😊
@PersonalFinancewithLeila4 ай бұрын
I can talk on this!
@strqueen1234 ай бұрын
Yes I guess it would only work if debt free
@chrismitchell64784 ай бұрын
50/30/20 is goal numbers, to live comfortably. Saying it doesn't work because people way over spent and are now paying for it and feeling overwhelmed, so it doesn't work, doesn't make sense.
@PersonalFinancewithLeila4 ай бұрын
Lol did you watch the video??
@chrismitchell64784 ай бұрын
@@PersonalFinancewithLeila Watching it again, "the first 3 I opened it wouldn't apply to" of course it wouldn't apply to them, they aren't winning with money. It's like showing up to a race with 4 flat tires, you aren't at the point in the race where you need to worry about shaving seconds off your time, you are stuck in the pit swapping out your tires.
@ren7sp254 ай бұрын
People should buy a mirror first and look into it. One loan after the other. Phone 225 ??
@catgodfrey64514 ай бұрын
😊❤😊
@Crazythoughtsyoushoudlknow4 ай бұрын
🙏🏽🙏🏽
@TheHallowsWitch4 ай бұрын
50/30/20 would never work for me because I work a part time low income job. I also currently have no option of changing jobs due to the rapidly changing visual dissability my partner has and the support my employer offers me around that. But I would love to maybe one day get it all down to 70/20/10 (10 being wants), we are currently working on saving goals to get us further in life and for instance growing our own herb garden with plants we got from family. Even small steps are progress! 😄
@JaniVMD4 ай бұрын
Not sure if you have listened to Ramit Sethi but I love his philosophy for personal finance and I have started to make some changes and I am considering getting his book.
@PersonalFinancewithLeila4 ай бұрын
I have! I don't watch/listen to him much, but yeah his approach to finances is very interesting!
@zo_4714 ай бұрын
Just follow Ramit Sethi’s conscious spending plan
@lavayuki3 ай бұрын
My necessities are more than 50%… my rent and car park charges are already 50%, and then bills on top.
@therealtaydev4 ай бұрын
Thank you, Leila! 50/30/20 doesn’t work if you have a lot of debt or low income. When you are on low income everything is by the dollar, not percentage. Many of these gurus only speak to high income earners anyway.
@sinnamonstory4 ай бұрын
Leila this video has solidified you as my favorite finance creator! Thank you for being thoughtful about these common financial rules that everyone just spreads around that might not really make sense in certain situations. I was just thinking about making a video about how 50/30/20 does not work esp for people who are high earners or low earners. For high earners, you can spend in many cases less than 50% on your needs and shouldn't scale up your fixed costs like housing and groceries just because you can. For low earners, you may not be able to spend less than 50% on your needs because there's a floor to the cheapest housing and food options around you. It makes me so sad that some people end up beating themselves up trying to achieve something that may be impossible for their circumstances.
@PersonalFinancewithLeila4 ай бұрын
Thank you so much!! And yes, everyone's situation is different!
@katresealexander13114 ай бұрын
Great content as usual. I love your channel. I have my daughters learning and watching as well. Thanks for all that you do.