9 Surprising Lessons That Made Me a Multi-Millionaire

[@mindtheprivacy]

My guy, please get fit. You look sick.

[@ramitsethi]

Show me a video of you so I can critique it please

[@eileenwatt8283]

​@@ramitsethi😁😁😁😁

[@eileenwatt8283]

He's not sick he's maturing. People change as they ages.

[@TheSweetSpotxo]

What is wrong with you? It’s sick that you post comments like this!

[@Justchilling8261]

He doesn't look sick at all

[@arnabchatterjee694]

Counter-intuitive ideas 1. Being frugal can cost you 2. Spending more can save you more 3. Renting can be a better financial decision than buying 4. Paying your mortgage ahead of time isn't always the best decision 5. A financial advisor costs him 6. Passion alone does not pay the bills 7. Money can make you happier 8. Never make an expensive purchase based on the monthly cost 9. Managing money does not just mean tracking expenses

[@SuzanneU]

Thank you.

[@TheJakobRose]

Hey Ramit! I found your videos a few months ago and they have really helped me set a financial foundation as a recent college grad. I've been able to save $2000 in 3 months and got my internet bill lowered from $110 to $23 using your methods. I am confident in my finances now and revel in the fact I have a plan moving forward. Thank you for all that you do to educate people!

[@ramitsethi]

Great work!!

[@TheJakobRose]

@@glorias.2930 Spectrum! (unfortunately)

[@FortniteLittymoments]

How did you get ur internet bill lowered? Mine is currently 95$ a month which is crazy

[@tinyearthcreations2754]

Absolutely LOVE this channel! Not only is Ramit a brilliant teacher, but he is hilarious! Love learning about money management skills in an entertaining way. 👌🏽

[@LeNguyen-im8dm]

I really respect this guy the way he lives and he talks. He is just a smart and honest person. All of his points make sense, reasonable, and straight to the points. Other youtube channels, people keep chatting and chatting and I stop watching in the first minute.

[@vivekthiru8606]

I don't how I missed your video for years? I am 54 and got a new energy after seeing your videos... you are amazing and nailing the facts directly..keep enlightening us

[@novaricos]

Dear Ramit, I had to laugh because I had a little ironing and sewing business, (along with my in home family baby and toddler-care business) lol. I found word-of mouth customers who HATED ironing and (didn't like the sums being charged by the drycleaners either !). Thanks to my mother and grandmothers, who loved ironing dampened, fresh-from-the-clothesline -in -the -sun, shirts, pants, linen tablecloths... etc, I learned to iron to Navy Standards!, practicing 1st on my dad's handkerchiefs and graduating to pillowcases and then shirts, and similarly loved it. I wasn't too crazy about doing pants, but my customers hated it even more, and were glad to pay ME an increased rate to do it instead! (especially those with military husbands) paid for all kinds of school expenses for my sons and some extras for all of us. my front hall closet, where items ready to pick up were hung, made me quite a bit of money (and friends) over several years! Still love doing it.

[@azsparks1]

My career has been kind of random (ecologist, urban planner, political aide, etc) but I gained a lot of skills and networking. While my current job (economic development analyst but more real estate) is not my passion, I do make a great salary and it allows me to build my financial wellness on top of mental/emotional health. Mainly because I don’t have issues with setting boundaries to improve my work/life balance. I can also enjoy guilt free spending along with paying off debt. I also rent because it’s simple.

[@ey7349]

I really admire this man. He is so honest and natural. No fake personality or exaggerated. I wish I knew him earlier. It's never too late. I am positive 😊

[@nae4830]

Psychology about debt. You’re right. That’s me. And I’ll tell you what, when I set goals to, for example, pay the mortgage and do it, it turbos my other goals. It does something energetically and to the psyche.

[@niloc19able]

Hi Ramit i just want to say thank you for the conscious spending plan its really helpful. Hope u have a great day bro.

[@ramitsethi]

My pleasure!

[@jwake4803]

When financial advisors tell me it's not mathematically sensible to pay off my mortgage early, they never factor in the mortgage payment I'll no longer have in their calculations. In short, it's smart to invest, and it's smart to pay off your mortgage.

[@limegimlet]

Hmmm. Depends how long you have to go to pay off your mortgage. If there will still be several years left, better to put the extra money to investments that yield more than your interest rate on the mortgage. Compounding really adds up. I am 52 and now am very grateful for my 50$ monthly investments I began when I wa 24.

[@JacobDeschamps-d9l]

I'm that spreadsheet tracking dude you talk about at the end. "What they're really doing is playing small" - damn bro that hit really hard, and is the most succinct explanation I've ever heard. Totally on point, and I needed to hear that. Tracking things has helped me gain insight, but now I've turned it into a religious practice.

[@sanman777]

Almost finished reading your book and ready to automate my finances. Thank you Ramit! Enjoying the podcast as well, keep up the excellent work.

[@TheFirstRealChewy]

We finally bought a house after many years of renting. It has been a great decision for us. If we compare a similar house for rent my estimate is that we'll break even after about 8-10 years of owning. That's including down payment and closing cost fees, the refinance, mortgage, tax, insurance, maintenance, repairs and upgrades. Once the house is paid off then that's when things get really interesting. Our housing expense will be lower. Plus if we want to travel for a few years we can rent the house and use that money to pay for housing in another city/country.😊

[@kcx2678]

I agree with the Money Dials, specially the Eating Out. Some financial advisor said our $400 budget for Eating Out was high ($600 grocery etc, $400 Eating Out, total $1k for food budget). But my husband and child enjoy it. We drive one secondhand car, we don’t spend when we go to the mall (except for occasional kid clothes, or kid toys). I don’t buy expensive bags etc. Our simple joy is eating good food outside our home once a week. And we live in a vibrant city with lots of food diversity. Sometimes these financial advisors want you to cut, cut, and cut because they want to get their commissions. He was selling Whole Life Insurance 😬. You also have to remember that we live NOW. Not in the future. Life is now. I can die tomorrow or later.

[@nearsite]

Thank you for all you do for personal finance. I've intuitively followed your advice over the years without realizing if I was doing the right thing or not (but it felt right to me). I'm glad I found your channel and for clearly confirming what I have been doing makes sense (renting vs buying and reinvesting the difference, keep my finances simple, not paying a % based FA (or any FA for that matter), cutting costs mercilessly on things I don't really care about and spending (not quite lavishly yet) on things I love.

[@judyroman7715]

I love to iron. It is relaxing and calming.

[@Ilorismendy]

I will say this is the most truthful and favourite video of all time .I'm in my 50s and I'm more interested in investments that could set me up for retirement . Please what's the strategy behind such returns?

[@donnagreer3882]

I love this channel, it is so motivational and always put me into action!

[@tlrcarroll]

Love that you’re embracing that touch of grey in your hair and beard, Ramiro. Very distinguished looking.💕

[@tmcdgreen]

Real, non-criticizing question: can charity/benevolence be a money dial? Or are money dails more for individual goals/spending? I know there's nuance and personal beliefs to this topic, but it's not usually talked about in reaching personal finance goals and freedoms. I just want to know where it fits, and if there's a such thing as "turning up the dial" that doesn't spill over into self-righteousness or savior complex or self/familial neglect in a healthy personal finance psychology.

[@charletfoster8917]

The Pie illustration is just what I need now🙏🏿😊😊😊

[@dynamic2345]

I personally disagree with buying vs renting but I also tend to buy and keep property so that it turns into a long term investment I however did do what you said and ran the numbers and in the places I have lived it made more sense to buy. I have been on a binge of watching your videos. I really love how you interact with people, and make them feel comfortable talking about money.

[@ValerySherina]

Can you show us how to calculate how much we actually need in retirement/investments please? Your statement on over saving and not knowing what to do with your money is a great point.

[@tianah203]

I pay for housekeeper to buy back my time! And I never regret it

[@Smokychedda64590]

I really wish Ramit would include rent increases in the rent vs buy calculator. Of course some times it makes more sense to rent, but if you're going to be in your house 7+ years, it's not like rent is going to be the same (so the initial rent isn't the "minimum" you will pay which ramit keeps repeating, but he includes tax/ insurance increases on the buy side) It might still work out to be cheaper, v but you have to include the hidden costs of both. There's also opportunity costs of renting which are impossible to predict

[@wendykornfein3337]

I agree. I am planning to purchase an affordable inexpensive cash bought home for my daughter, perhaps even with an HOA attached, which is a hell of a lot cheaper than rent increases, 35 years from now. To replace a roof for $28,000 is due able, as once or twice in a lifetime this may happen. Rents will continue to skyrocket as they severely have been, and she will not have enough funds to survive.

[@jakebskeen8361]

Key take away from the channel, I never exercised the spending muscle in a healthy manner I didn’t understand my money psychology Did you know he wrote a book and has a Netflix series?! Jokes aside I love that he asks the why question in a very relatable and explainable fashion. It’s lot all about the actual money but what the money translates to and why you are choosing each pathway. With explanation and facts to back it up. That way you move consistently towards goals. Keep up your work my man! I’m a fan, not of every facet but still a lot of great knowledge and thought process benefits in your videos as a whole

[@JezelJordan]

I really struggle to find anything for my guilt-free spending money. I get so much anxiety and I find myself saying no to everything for myself because any extra money goes to making my son happy, taking care of my house or my family, paying down debt or investing. I can never justify spending a cent on myself.

[@ramitsethi]

What if you didn't have to "justify" spending money on yourself? What if that's entirely the wrong frame to use?

[@JezelJordan]

@@ramitsethi you're definitely right, it isn't helpful to frame it that way. I automatically look at money spent on myself as frivolous and wasteful, and if I were giving advice to someone else I would tell them to relax and enjoy their life a bit! It's a mindset that I really need to work on. Maybe I'm too money-focused?

[@tyjameson7404]

Can you please do a video on your net worth? Portfolio? And real estate assets ? 🙏🏽👍🏼❤️ I do appreciate all your financial videos, I just need to see how you did it 👍🏼

[@tracyclark7560]

always glad to see your projects, you never disappoint. clearest concise.

[@pinoybasicliving8090]

if rent>buy applies to a house,so much more is lease>buy in a depreciating car is..right?.

[@annielin2894]

Thank you Ramit!

[@monikadoyle-realtor9559]

I love to splurge on travel and stay at beach resorts. Fresh omelets and coffee in the morning, snorkeling and swimming in the ocean, tanning, and fun nighttime entertainment.

It's like you are making videos to speak right to me.... I'm trying to find things to spend my money on that actually spark joy - the thing is - I can't find much anymore that does that.

[@blakerand6818]

At 9:05 - you didn’t justify why they’d loose by paying off the mortgage - is it the opportunity cost you are speaking of?

[@slytitan03]

Ramit, what’s the brand of shirt you’re wearing in this video? I like the look. Gotta start building my rich life wardrobe

[@calyxthrives]

@Ramit, this all sounds good; however: I am having a question about the ethics of having other people do things for me so that I can ‘buy back my time’. Great: If in theory I can afford to ask someone else to fill out my paperwork for the dentist, or fold and do my laundry, doesn’t THAT person also deserve that same thing. I.e. doesn’t my laundry folder ALSO deserve to have their time back, and someone to fold THEIR laundry? In other words, doesn’t this system rely on a whole idea of inequality at its root? If people could get a different job (i.e. were not poor, or in a certain class or not encountering certain systemic inequalities) I’m sure they wouldn’t WANT to be folding someone else’s laundry for money all day. This kind of systemic inequality is unfair. I don’t want to participate, but feel ‘forced to’ to have enough money to actually age well, be healthy and have less stress. Can you speak to this kind of ethical dilemma about having a rich life?

[@jodimorrison]

Love your approach - just starting to try to separate from my % financial advisor. You mention all the low cost investing options in USA but do you know the best ones for Canadians?? My advisor has me in over 100 positions so to simply this mess is going to be a challenge!! Appreciate the time it might take you to answer this question Kind Regards 😊

[@meleenabradley3017]

It made sense for us to pay off our house so we could cash flow our son's college education. It worked out Great!

[@Courtesy_44]

Please we need more videos on buying a house and how crazy it is

[@Stivaka]

Dude, you're a gift for our time!

[@RogerKnowsTech]

Man so many questions. I want to see more breakdown on running the numbers for rent vs buying. In my situation taxes are so damn high over 3.2% which is about 10k a year for a 300k home. Wondering if it even makes sense to own.

[@rspeedemon1]

It all comes down to which house you buy. I've bought over 200 houses and made 30-200k net on almost every single one. Buying luxury homes is often not profitable though. To buy, you need to be willing to live where the deals are for awhile until you get RICH from it.

[@loma9326]

being cheeky here, any chance you could talk more about costs of buying a house? Its really difficult to find someone to explain true house ownership just from research you've seen over the years

[@tomaszp2027]

There's plenty of that on yt, look for some general comparisons of opportunity cost, or for the "rent buy rule". I'm not going to drop any names.

[@christopherbellboy25252]

I loved your book and Netflix series. Thanks for the content!

[@brianhusk4593]

Concerning the mortgage debt, I will say, with so much economic uncertainty going on, the debt makes me nervous. I think there is an element of safety that people are willing to put a premium on by getting it paid off sooner. No more debt prison and it's easier to rest knowing you won't lose the house to some unforseen economic cirsis.

[@hbbstn]

My first time in this channel! Can somebody tell me if this guy is one of those who got rich teaching people how to get rich?

[@jared3235]

I love that he has advice for people that are already rich! Like bro… I have to do my own laundry wtf? But for real. Those are goals 👍

[@ramitsethi]

If you wanted someone to handle your laundry for you, I bet we could look through your Conscious Spending Plan, make a few changes, and outsource it. You can choose where to spend extravagantly and where to cut costs mercilessly

[@danielkover7157]

That TCO also counts for pets, because you also pay for shots, vet visits, food, and a bunch of other things. Getting a pet is a double-whammy: you have the emotional impact of Fluffy, but also the emotional impact of the money, and the surface-level cost of the pet is just the beginning.

[@tanyaiv8389]

Do you really think the extra expenses are not included in the rent? I don't think the landlords operate at loss.

[@Renee_egan]

Not just great points that I want to focus on more often (especially with less guilt where appropriate) but was definitely entertaining at the same time; like the comment about ironing your shirts to the point of sharp, crisp lines 😂 not sure why I got such a kick out of that but I did

[@TheSweetSpotxo]

Love your episodes!

[@Thejoyofcats]

Thank you for another excellent, informative video.

[@1st-qt9ce]

😂 black pepper is spicy! Thank you Ramit. For all that you are doing/done. It’s appreciated.

[@nilsonalmeida9686]

Tks! Great vídeo!

[@destiniez04]

$1450 mortgage. Factoring everything in we probably pay more like $2400 a month which is still ok in Sacramento for a 1200sq ft 3br 2ba.

[@respect27093]

great stuff! can you please make a video for the the parents of special kids - how to manage money while still paying for all those expensive therapies? we are doing our best but I still think we can do even better..TIA :)

[@nilug.9444]

Ramit's 60 days to Habanero! 🤣 My favorite part of the video

[@unbreakable1391]

100% on that spicy food take.😂

[@MegaMie77]

14:54 that was ballsy, considering a majority of your subscribers are Americans who cross the street away from Indian restaurant, so they don't sneeze! Hahaha. Meanwhile, just got yourself a new sub. I just realized I wasn't subscribed; I was relying on watch history algorithm to feed me more. Gasp!

[@Thatmormonchica]

Hi Ramit I want to invest in index funds. Do you have a link on the funds you recommend? I called Charles Shwab and guy said it’s all online. I can’t seem to find a way to do it online though lol

[@abbyabroad]

I had NO idea people thought PEPPER was spicy 😅. Also, good advice overall 😂. Forgive me for my unironed shirts, sir.

[@minionofgozer7414]

Well, id like to be in the position where struggling to spend my money is an actual problem for me. I think id be philanthropic and help others with it. I mean, if I'm 'struggling' to spend it then id rather help those actually struggling in some regard. Thats just me

[@fenderstrat2017]

We love you Ramit ❤

[@NOTUP1NHERE132]

Good video Ramit 👍🏼

[@theonlykisboi]

For me my goal is 100K, because once I reach that mark I can work on being financially free because thats my dream, not to be super rich but financially free

[@BlahBlahBlah85651]

Tai Lopez of financial guru.

[@blanketwodahs6741]

Good content my friend

[@froseti1524]

Less than a second in and we already got the "shing!" sound clip. And less than a minute in we got 2 - you editor needs to change it up

[@tyjameson7404]

Give us a video on ironing 👍🏼🙏🏽

[@fredfinger7092]

10:08 "Pay the minimum [on the mortgage] and invest the difference". What difference? The difference between the mortgage and what? Between that and 50% of my net income? Between the mortgage and the remainder of my income? Is there a formula? Just saying "invest the difference" is quite vague.

[@ramitsethi]

The difference between renting and owning which, in many cities, is considerable. For example, in HCOL cities, it might cost $3,000 to rent and $6,600+ to own (per month, TCO). The example means you rent for $3K and invest some/all of the difference of $3,600/month.

[@fredfinger7092]

@@ramitsethi Thank you for the answer. But what if you already own and have a low percentage rate, cheap 20 year mortgage on a modest affordable home? The *total* amount per month is considerably less than you could rent anything for in almost any place. So if you don't pay off the mortgage early, how much do you invest instead? Is it just whatever amount that you would use to pay down the mortgage? The remainder of what would amount to 50% of net income? As much as you can afford? Is there a "correct" amount?

[@ramitsethi]

Yes, please read my book, specifically chapters 5, 6, and 7

[@fredfinger7092]

@@ramitsethi Challenge accepted! I will do that. Thank you again for your replies.

[@nae4830]

Yaaaaass. It’s not about monthly payments!!

[@beatrizcereceda]

I admire what you have built, I absolutely respect your no b*llsh*t policy. However, coming from an economic education background I can't separate the idea of "incentives" when it comes to investments, and how an hourly rate won't necessarily incentivize the best possible results. When it comes to planning, I agree, an hourly fee can be a great fit, but how can i be sure I'll get more money if you are not making more money either? How is it sustainable in the long term? Or even scalable? Am I biased? Are you? Are we both (probably 😆)?. Would love to understand your perspective further.

[@ramitsethi]

Advisors won't make you more money from investments if you pay them AUM. See Ch6 of my book for the research. They themselves will admit this because they cannot beat the market.

[@ginny70s]

I'm physically allergic to capsaicin which is what makes things spicy so it's rude to make fun of people for not being able to eat spicy food.

[@RemoneCunningham]

16:10 OMG I love ironing too 😂. I have rules and special tools lol. This is so random lol!!!

[@johndunnelinli]

The buy back your time idea is flawed when clearers charge you as much as you make. I don't make bad money but my cleaner charges €20 ($23) an hour. That great if you can spend the same number of hours in work earning twice that. But for the average Joe it's not an option

[@ShellyCap9]

I LOVE spicy!!! We make our own hot sauce that has ghost & scorpion peppers. Ive been getting strawberries CHEAP so made a habanero strawberry jam. Oh and we make what we call Texas 5 spice, its 4 of the hottest Texas peppers and salt.

[@ramitsethi]

Amazing!!

[@patriciajohn8196]

Love spicy, hate ironing😂

[@Lifeisgoodonearth]

I started paying for landscaping and my back thanks me😊

[@voz2voz]

I do not like wrinkled clothes...I love my iron too. 👌

[@mariaeugeniaespinozam.3691]

Hahaha we have a lot in common, but I hate spicy! Even black pepper!! 😅 I think we could still be friends!!

[@europana7]

Buying time … lawn service, snow removal

[@JoshuaGerlach]

I wouldn't hate a lesson on ironing.

[@Emery-xx8nc]

No one ever mentions that your landlord could not re-up your lease. Or the fact they could increase your rent anytime your lease expires. You’ll never be able to convince me that renting is better than owning a home.

[@Norbeamused]

No need to “convince” you. Simply run your numbers.

[@Emery-xx8nc]

@@Norbeamused well here are the numbers. Right now my mortgages $1900 a month everything escrow. In the renters market my house would rent for $3700 a month. I have $400,000 of equity in my house. So if I was renting I would probably be paying around $3700 a month and have zero equity. I think those are pretty good numbers to argue for buying vs renting. I

[@rudebee15]

If the US had socialized healthcare, you wouldn’t need to hire anyone to complete a form when going to the doctors. The VA hospital system checks you in and checks you. Zero paperwork.

[@ramitsethi]

I wish

[@semini08]

Joining the train of people begging Ramit to do a special ironing video for those of us who love to iron! Edit: Yes! OMG! I just found it! Thanks Ramit! kzbin.info/www/bejne/g3iTmndrl9WCrJY

[@ramitsethi]

Already did it, nobody watched it or cares

[@MariaRodriguez-rr6pn]

You are the best 🥰

[@HarleyJay]

Whoa… that was awesome

[@Pest87]

No issues with spending, even a billion I will find out how to spend it for a few hours 😂

[@rhondavigil795]

Yep. Spending isn't the issue for most Americans.

[@Malaki727]

Not going lie, I'm doing fire movement, so I save Hella lot. Once I have enough. I will slow it down more

[@AngelaMastrodonato]

I might be an outlier but I would pay to learn to iron. However I would pay a lot.

[@jenlollygag6815]

Exercise your spending muscle 😍

[@NishaMatson]

too funny about the ironing, my mother says the same thing, I drop my clothes off and she irons. I hate ironing.

[@ccwebs]

"Rent is the maximum you will pay, a mortgage is the minimum you will pay." I am going to use this line - that's great.

[@adrian3747_]

yep same here!

[@giulanoemrani1445]

Can you help me understand this phrase?

[@giulanoemrani1445]

​@@adrian3747_i didn't get it. What does he mean by that? Can you help me understand? Thanks!

[@SomeGuys31415]

@@giulanoemrani1445when you rent, you’re not responsible for property insurance/taxes, maintenance and repairs, etc. those are all extra costs on top of one’s mortgage payment that homeowners have to pay. The mortgage payment is the starting figure and there are all these extra costs renters don’t pay for. The rent payment is the max renters pay. Landlord is responsible for all those extra fees. Two problems with the view. First, rent is only locked in for 1-2 years, mortgage payment is locked in (assuming a fixed interest rate). Second, if the rental market can bear it, all those extra costs of ownership might be baked into your rent by the landlord.

[@MsBlue911]

@@SomeGuys31415 One thing - Rent is not always only locked in for only 1-2 years. I know plenty of people in Chicago who are in situations where their rent has not gone up (sure, there are some, but it's not a given).

[@ajithgopinath1149]

Buying a house isn't always about saving money, although in the UK, it makes sense, especially if you are not living in London. To me, it is about stability, knowing that a landlord isn't going to issue a 3 months notice to vacate during the winter. I guess it is part of my 'rich life'

[@memeigt]

Love your content Ramit. I just ordered your book and can’t wait to read it! ❤

[@leonchan7666]

Ramit, you could be accused of being repetitive in your videos but I love it! I've learned so much from them and your podcasts. And your presentation and delivery is just refreshing. ❤

[@EvanKnightIsGood]

Having good finances is exactly that, repetition.

[@kathrynlongstaff8298]

I agree about the buying of a house but I am homeowner (mortgage free)and I currently rent overseas. The cost of rent is once and done, easy to predict 😅 whereas the homes we have owned have often been well over the 3% anticipated maintenance costs. I think Ramit is right about renting if you are transient, are at the top of your needs allocation of your spending or in a high mortgage cost/rates environment. In the UK, where I have my house, buying a house is almost a rite of passage. To a certain extent this conversation is all very privileged... a secure, safe and affordable roof over ones head is the goal!

[@jenlollygag6815]

I can't believe how happy Ramit looks when he's ironing... it's ridiculous 😂😂😂😂😂😂😂😂😂😂😂