6 Money Traps to Avoid in Your 30s | Phil Town
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- เผยแพร่เมื่อ 28 ก.ย. 2024
- Getting to middle adulthood demands a shift in priorities. Once you stop needing to count the days to your next paycheck, it’s time to start really planning out your financial future. Here are 6 money traps to avoid in your 30s. bit.ly/2IoGLMA
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investing in your 30s, wealth management, manage finances, money tips, value investing, how to invest money,
These money traps are dangerous! Can you think of other money traps we can avoid? Looking for away to avoid these and other sticky financial situations, try out my free Financial Success Planner here: bit.ly/2QPU4cL
Health. Letting your health go with bad diet & no exercise leads to low energy, missed work days, medical bills, and more. Your body can become a money pit in your 30s very easily.
Atleast someone is giving genuine advice
Hello Phil. I’ve been watching your videos. They’re entertaining and have been influencing the decisions I’ve been making lately. Thank you for your knowledge
Thank you Phil I started to get out of debt and beginning to invest? What is a better choice between active and passive investment
Phil Town's Rule #1 Investing I have fallen for most of these money traps. I had a wife that was too expensive, spent too much on going out and of course credit cards. Well currently I'm divorced, I dont go out near as much and I have cut my CC debt in half. I intend to be credit card debt free by the end of the year. I also house hack (rent a room) to cut my mortgage in half. I manage to save about 50% of my income and I actively trade, about 41% up on the year. I love watching these type of videos because they keep on track!
6 mistakes:
1) buying a car out of your price range
2) buying a home out of your price range
3) spending too much going out to eat
4) having an expensive significant other
5) paying too much for credit card bills
6) not investing
Duh
10 minutes of my life saved. Thanks!
U r awesome
Thank You
Thanks for saving me the time. Can we get a little more nuanced advice?? I’ve understood these principles since I was a child
Tesla stock dipped severally , resulting to about 23% drop in the shares value this month. I seriously need suggestions on how to diversify my $400k portfolio made up of volatile TSLA.
in as much as my knowledge of the business is limited, it seems that this is the ideal time to enter the market based on my understanding of supply and demand in the economy. The consistent price variations, which shouldn't be an issue, are the only thing stopping me. But I really need a counselor; could you please assist me?
I like how when you mentioned "Expensive Significant Other", you didn't defer blame to that person. You specifically said that the money trap wasn't the person, but rather, "failing to communicate how you work and your spending habits with your significant other is a major cause of relationship troubles..." I appreciated the sense of ownership there.
big brain
Love this mindset "Sense of Ownership"
Bro, I got dragged violently for mentioning this to a black women's group.
@@47shadows76 Why? What happened that led to that?
@@scotthart6237 They were saying that black men aren't real men because real men (white men) pay 100% of the bills so she could not work after childbirth...including her $30k-$67k in student loan debt.
I said that it doesn't really make sense to pursue a master's degree or Ph.D. just to stay home and expect a man to pay all of that off. They said that I was 'broke dusty' for thinking that way.
The car is definitely the nr.1 money sink. I work at a chemical plant and young people who start working are pretty well paid. First thing they do is buying a 50000$ car.... I'm their supervisor and drive a 17year old merc i bought for 3600$! They have the opportunity to advance in life but instead they choose to pay a f***ton a month to make a statement? I don't get it. Schools should financially educate, that would avoid a lot of trouble for young people.
Prometheus
I’ve seen that as well but the only difference is my coworkers I’ve known for 32 years. I see first hand the end result of buying new cars.
Most are realizing too late they can't afford to retire and may have to work until they die.
I went the route of “The Millionaire Next Door” staying debt free,saving,investing,living within means,etc.,
Always bought used cars 3 years old. When I compare myself to them I saved at least $200k on cars.
Anyway I’m retiring 15 years early.
I see the same thing. I did the same thing. Hopefully they figure it out. Here's the thing, they start making good money, and they spend it for things they thought they couldn't have, a new car/truck, boat, motor cycle, etc. Then after a making payments for 5-6 years, they usually come to their senses. Of course this for the young ones, the older new hires know better.
So true
Wowww what job do they do at your chemical plant? And by your description of them I’m presuming you’re very older? Lol
People don't buy nice cars to make a statement. You didn't buy your cheap car to make a statement right?
There is 2 kinds of car buyers. Those who think its an investment and those who fu**ing love cars and driving.
For car lovers its not just about going from place A to B. Its about enjoying the ride.
I am in my early 30s and I have a "rule of #3" that I have been practicing and think it works for us the working class:
Let's say you make $50,000 a year
- House = ×3 your yearly salary - try not to buy something above $150,000
- Car = ÷3 your yearly salary - try to look for cars for no more than $17,000
- Daily food/drinks (workdays) = ÷3 your hourly rate - try to spend a max of $8 a day on that meal or coffee, since this is hard to achieve means you need to cook more at home
It is just an average idea of what I have been practicing. Phil please comment about it!
I really like this guideline you put forth, I'll give it a trial run for a month
3x your income for a house is ridiculous if you think about it. Plenty of great housing out there for well under 100-120k in many regions.
@@MrGiggity890 unfortunately not in Massachusetts : /
jameschan002 then move lol
MrGiggity890 I was taking Miami as an example but I guess you are right... it won't work for every city
I’m 22 bought my first home... decided to rent it out and still live at home with my parents until I pay off my auto payment.... in a year or two.
smart dude! how'd you like that experience overall ?
B Ezuma it’s not bad. I’d like to buy a second home or duplex and rent it out.
Did almost the same. Bought a triplex when i was 22, but stayed at my parents lol
Ricardo Alonso smart man.
Bought ur home at 22? Did u have a magic lamp.
Its cheaper to not impress anyone. Disappointing them can be a lot of fun too. That way you can see who they really are.
Yeah ! You are right ,👍👍
If you're wealthy and you're trying to find good friends or a life partner, don't flash your money around and don't let anyone know you're wealthy.
👍👍👍👍
👍
that way you also show them who they are to you :-D
I'm really proud to say that I didn't make any of these mistakes and I've been working really hard throughout school and I was able to land a good job that pays so abundantly. I've been frugal with my money, and I really hate eating out in America; so freaking expensive and you have to tip. I'm really inspired to hear you say that getting into the goal of financial freedom is not a sprint, it's a marathon. I know I will get there! Thank you.
Yes compounding effect will take some time
@@guruprasath7137 why make abundant money if you won't enjoy spending it
@Lulu so… uhh, are you doing anything tonight? 😏 😂
I like Jay Chou too
Tip the waiters
Making it is a lot easier through investment. Rather than saving money you should buy assets that will appreciate, trade or invest your money to generate more income
This is the first video of yours I’ve seen; loved it. Love how down to earth and “real” you spoke haha
I’m 31 and literally right at my birthday I started investing and saving much more aggressively. It feels amazing!
I used to always drive expensive BMWs and when I was 29 I finally gave that up and bought a 2 year old Jeep Wrangler. Having a vehicle that’s less expensive, easy and cheap to fix, super cheap to insure, it feels great!
I don’t miss the days of expensive BMWs with finicky and expensive repairs.
That's awesome Denton, it's all about making smart decisions with our money. Thanks for watching, I'm so glad you found us!
Lol you wanted reliable so you went with a Jeep?? 😂
Denton Armstrong happy birthday fellow 87er!!
Bryant Rodriguez I never said I “want reliable”. I said that my Jeep is cheaper and easier to maintain than my BMW and it is. 50,000 miles on the odometer so far with nothing but oil changes and tire rotations. It came with a 125,000 bumper to bumper warranty. Im a happy guy and LOVE my Jeep Wrangler.
Nick J haha I bet. I can’t do Toyota’s though, too boring for my taste. Maybe a 4Runner or Tacoma.
Stop going out to eat so much. This will be beneficial for many reasons. It costs way less which is why I’m commenting on this video. Rice, pasta, PB & J, soup, etc. are all very cheap. Also, you lose appreciation for the really good food if you have it all the time. I have a rule that I eat minimalistic during the week and I enjoy food on the weekends. This will also force you into better eating habits where you aren’t packing on the LBs constantly.
Thanks for sharing this tip!
With some basic cooking skills you should be able to make your food really good too. Probably better than most restaurants. Also you're in control of your calories and sodium intake. Healthcare is expensive.
Eat healthy home foods
Shoot I already only eat out once a week and still feel like that is too much. 1-2 times per month is my goal
When you invest, you are buying a day that you don't have to work.
You are absolutely right 👍
💯💯💯
@Mark Anderson I really don't know why people still remain poor out of ignorance.
@@ruthsaddy6187 It is not all about ignorance, there are lots of unprofessional brokers in the market.
Nice one ☺️
Whenever you open your wallet ask yourself
Is this really necessary?
Am I spending my money wisely?
Can I afford it?
Diogenes 💯
Great, simple concepts!
Paying cash really requires an examination of every purchase. Try saving up $20,000 to buy a new car and then try taking that $20,000 out to do so. They are both really hard to do, and doing the first will probably stop you from doing the second. There is one exception (okay, many exceptions) and that is at the gas pump. A credit card will often get you a lower price, plus you wont walk in to pay and leave with a soda, candy bar, and an air freshener.
Thanks Diogenes!
I always think to myself "is this worth x amount of hours at work" dont think of it as money think of it as the labor you did
3:14 Buying a home that doesn't fit your wallet is the worst mistake here (perhaps next to "not investing" - well I could be biased on that point). The reason? It's not only most peoples' largest monthly expense, but it will also affect ALL of your other expenses. Living in an upscale neighborhood comes with an expectation of living a certain lifestyle - expensive clothes, expensive holidays, latest gadgets, nice car(s) in your carport(s) etc etc. These expenses might even exceed those from the already too expensive house!
Location, location, location. Buy the least expensive home in the best neighborhood you can afford. Let the other pricier homes bring your value up. If you know who you are, and what you're about, it doesn't matter what the neighbors think or what is parked in you garage (nice homes have garages), and certainly not what you wear, unless you are trying to impress...don't be that guy, nobody likes that guy.
Thanks for sharing, Phil! I know people falling into these traps now that they’re out of school & making money. It’s concerning; yet, it’s also so hard to talk to them about it... people don’t want to hear they’re using their money poorly
Having an expensive significant other 😂
Cristian Vasquez that’s like throwing money in a bag with a bunch of holes homie.
It's funny, but true unfortunately...
@@PhilTownRule1Investing it's funny BECAUSE it's true
Cristian Vasquez hottest ones are the most expensive
I hate this one
It's easy to avoid money traps when you don't have money ;)
lol
Lol
That was subtle...😂
Lol
I am not rich (yet) buy I used to be poor and even though, I could make many of these mistakes. Most specifically: high use of credit cards, too high lifestyle, living and working hard to pay bank interests, basically. Of course, I was not able to buy a fancy car neither a fancy house, lol. But I just started to see progress when I decided to stop hard working for paying banking interests and -over a 2 years period- cut my lifestyle, paid my debts, and started to work (less) and accumulate and invest more.
The biggest money trap I ever made, was attempting to double major while living in the same town I went to high school in, taking care of alcoholic parents who cut their relatives off, helping a younger sibling get started off in life (who also had an alcohol problem), thats with working full time night shifts as a nursing aide to avoid going out. The reason its a money trap is because whenever my father missed a mortage payment, it came out of student loans. When a family car broke down, it came out of my student loans, because "youre the son its your job." I continued this bullshit with no support or friends until I was in my mid-late 20s and eventually used my savings to move to Atlanta. Five years later working in management retail, I dont have enough to finish school so Im likely going to use whats in my 401k to get a shit truck and go into the carpenter trade.
I was told that living at home while going to college will save money, I guess that works if you dont come from garbage.
You have a lot of love which has benefited many lives. Stay focused... later is greater
Get a trade or skill. Welding hvac coding etc. U can still change your situation for the better. Good for you on moving!
Your dads a piece of shit for doing that to you. Very shameful to take advantage of your own children like that. I would have let him become homeless. My parents were the exact opposite. Helped me out any way they could and only expected that I was making progress toward a paying career. I will do the same for my children as it worked out great. You should learn when to cut people off.
With a background as nurses aide, go to a 2-year community college and get your RN. I did and went for free on scholarships. This is a second career for me at 48. Most new first RN job pays well at $25-30/hr. My employer is going to pay for my BSN. Trust me. Medical is the way to go. After a few years you can write your own ticket such as travel nurse at $35-50/hr.
You should respect yourself for this. You did right things. It will buy you comfort for your soul. People die for their country that doesn't mean they did wrong. You helped your family. Don't regret it.
I love his attitude, he isn’t condescending. I was kind of scared to learn more about money/investing and this is such a great start.
listen to the Afford Anything Podcast. it has taught me so so so much!
I agree with these money traps. Thanks for your ideas! Being 30 years old, I realize that I’ve got into the third trap from your list - I tend to go out to eat too frequently. Now I see where my money goes each month. I should be wiser and think about better ways to invest this cash or put it into savings so that I can afford a better life in the future.
but you wont and you will continue spending money on overeating
I am not yet in my 30s but I have avoided all the traps you have mentioned.
And I did the same with my car went to buy a new one; but instead of that found a little old one in a perfect condition and bought it for 20% of the original price. And I get the same prestige from everyone 😂.
Your advices are really good and I hope I can keep my self this way.
As I am already following all the things you mentioned in my life so now I k ow I am in the right track.
I got married and had four kids in my thirties that's pretty expensive stuff. I was pretty good at saving money but I wish I had invested more. Got divorced in in my late 40s that was very expensive lost my paid for house. It's tough rebuilding .
Mgtow Jones I’m 16 should I not get married?
no one can answer that question for you. Not every marriage ends in divorce but at the same time no one can guarantee you that yours will not.
MrSwagTurtle
The odds are the same as flipping a coin so go figure…
Miguel Robb Yeah I got pounded in ass pretty good . Just got done paying ten years of child support too . So be very careful who you let into your world young man cause it'll cost you .
Mgtow Jones no kidding, man. That's some tough shit you went through. I honestly couldn't even imagine how you managed to power through like that. I mean your whole empire is gone just like that because of a woman. Just imagine her having another guy living in the home that u broke your back to pay off. I'm surprised she didn't come up "missing" if you know what I mean. Anyways it's too late for me now. I already made up my bed with me getting married at 22. I'm 26 now and so far so good. I honestly couldn't tell you what is going to happen in the future because certain situations could either change a woman or expose a woman. I hope to God I don't end up butt fucked either. The good thing is that my wife isn't aware of all of these divorce laws and alimony (she's from China and hasn't been here very long) , and i hope she doesn't ever find out either
Phil, I can completely relate to your advices. It is really tempting to want to have an expensive car and a house in your thirties. This serves as an eye opener for me not fall on those common traps. Thanks, Phil!
First year after working full time, I wanted a new car. But I decided that with the markets the way they are I'd be much better off waiting and finding some Rule #1 companies over the next few years to invest in. Great video as always Phil. You should come on the Young Investors Podcast sometime! We'd be honoured to have you as a guest!
Same thinking here man. GLTU.
im 33 and this year sold my 2018 wrx for a 2009 sienna, no more car payment feels so liberating. i had this thing put up on a lift and its absolutely rust free. incredible. there are people on the forums claiming 350k+ miles with the original engine and transmission. im keeping this van till it dies. its relatively efficient, faster than it really should be, and everything fits inside it. minivans are seriously underrated. people see them as kid movers but im single and love this thing.
when elon musk first went on joe rogans podcast and smoked the blunt teslas stock plummeted, i wanted to buy 10k of that stock the next day but ive never invested and wussed out. i smoked weed as a kid so i know firsthand how little it means for someone to do it. that was a serious overreaction by the market and i actually felt like i knew something others didn't. ive been kicking myself ever since.
Glad I randomly got youtube suggested this! As a 32 yr old looking to grow...i hope this video is just a crumb of the feast available here. Subscribing!
None, but I'm 24 almost 25.
1) My vehicle was 10k after taxes. Should have paid it off by now but I've been lazy. Just letting to loan drag on.
2) My house cost 80k and needs about 20k of work. The avg home price where I'm at is roughly 130k.
3) Would rather be at home anyway.
4) All SO's are expensive unless they have a job.
5) Will never own a credit card. There is no point in me owning one if I don't spend money I don't have.
6) Haven't started investing yet other than in a 401k. Haven't had the financial backing to start.
No high end seminar can compete with your problems when you have that “high maintenance woman” 😂 right on point
Choose wisely. My wife pays for my new Porsche 911 GTS. I bought her the house she wanted so she bought me the car I wanted.
On whose name is the porsche😜.. nah thats great man. There are unicorns. I just prefer to keep my investment portfolio to myself. Not for greed. Just purely bizz. No emotions just charts. Woman can mess it all up
*You missed an important one: memberships! (such as the Gym, Netflix, Spotify etc.)*
@blad90 its more about the amount of memberships
@blad90 Yes, but memberships (or monthly returning payments) is a thing now these days. Companies love a monthly fee from their customers. In a few years time this is a way of living. People pay rent or morgage every month, there are insurances to be payed, in my country the monthly health care insurance fee, people lease their cars these days (also a monthly payment), than the changing way people watch television these days (Netflix, HBO, Disney+ etc.) and listening to music (Spotify, Deezer etc.), Sport memberships, Amazon memberships, Hobby memberships, your phone provider etc. All is changing to a monthly payment. It can really put pressure on your bank account! If you are not smart enough to deal with all these options. I can see a clear problem here for multiple families in the near future..
@blad90Lucky you! Our monthly health care fee is growing every year. From monthly 75 euro back in 2010 to 125 euro now 🤔
@blad90 The Netherlands 🇳🇱
@blad90 Yeah, lower incomes get some money from our government to pay the fees
These are good recommendations. Happy 70th birthday, Phil! Best wishes, and keep posting your videos on TH-cam. I would like to see videos regarding your investment mistakes. Thanks!
Andrew Martin Was
Thank you, Andrew! I will keep that suggestion in mind, maybe we can fit that in somewhere!
70?! Wow he looks great!
I did all of em except the house. Took me 3 years of suffering to pay 3 credit cards that reached the ceiling. Last year I sold my car despite it was decent sport convertible one. I am doing so much better and can feel it.
I only apply for credit cards that offer 0% interest for 12-18 months. There are a lot of them out there.
Oh yes, the car we can't afford. Done that in early 30s, got ripped off when getting rid of it too, so double whammy :( learned from mistakes though. Now living without credit cards, no car payments and >40% of my monthly income goes to savings and investments. Just need to help my wife overcome fear of investing. Any tips for that (other than letting her read your books), Phil?
Open a joint account that you both portion a percentage of your paycheck that you agree upon and make that the investing account. You can have her job set it up as direct deposit so she will never see it.
Also maybe safe investments at first that do not require so many operations and technical knowledge? Depends on your country, here for me returns on bonds/bills, money market and investment groups (like credit union would be your equivalent?) have good returns 6-16% when it really soared last year...
Also long term safe bets e.g trees/agro forestry and land/real estate here has not gone bust...
For her, the biggest concern will be wanting to pull out of the market after the market has tanked (and it will, eventually). But that's when, historically, the wealthiest of all have rushed into the market full bore. Happened in 1930, and again in 2009.
Michael Ball Exactly, the first thing she mentioned during chats on investing is that it can go down. Need to involve her a bit more in my investment endeavors to show her the benefits and opportunities. Especially with the investment account I manage for our 2 year old, he's well up in the double digit returns. He might be able to teach her a thing or 2 :) Also waiting for the next downturn and buy when everybody else is heading hills and there are many bargains to be found.
Alex D. That is a difficult one, because we live in UK. We can open joint account, no problem, but she'll have to set up a monthly direct debit or standing order into it herself.
Thanks Phil, almost 33 and I have avoided those pitfalls and looking at investing now.
Guys remember health is wealth so invest in your health by avoiding drugs of all sort.
Shani King I love drugs, fuck it
But drugs are cool
depends on the drug
Its all about moderation haha
Isn't that what the money in the envelope is for?
Soooo glad my clients told me about investing! I’m 25 and I wish I started earlier 😭
I feel like this is the uncle you have brunch with on Saturday morning with the family...and then head out to the man cave for some cheeky mimosas and life advice 😂😂😂
If I stopped spending money going out I would be Warren Buffet.
Now that would be doing a thing
I go out all the time. The other night I had a date at a sweet bar and we both drank water and played pool with a bunch of random people. I didn't spend a dime
Nothing wrong with going out and having fun. In fact you should do just that. Use 2 for 1 dinner/activity coupons, go to matinees, have 3-4 beers instead of 6-8, don't pump money into the juke box, don't order dessert and drinks. There are a million ways to everything and save 50%+ when you do it. There are free concerts, plays, movies, lectures, etc.almost everyday of the week in most metropolitan areas. A picnic basket with some cheap snacks and a bottle of wine to go with Shakespeare in the park or a local band for free on a Tuesday night is a pretty good time...no need to break the budget to have fun.
Doing AThing - Actually, if we spent money like Warren Buffett, we'd be living like him. He lives way below his income: he's lived in the same house for 60 years and drives his cars for many years. He can afford any house or car he wants, but he isn't into accumulating things. He seems very content.
This is so real !!! I Just turned 32 and unfortunately experienced (still fixing) all of these situations, total nightmare!!
We finally got our reconsideration funding yesterday. It hit our bank overnight. What a wonderful way to start the year. Thanks Andrews from Loan Arranger Limited for helping us get to the Finish line with a business loan after months of disappointments.
You guys rock!
Your businesses will make you rich but your investments will make you wealthy. We all deserve to be rich and have financial freedom. I pray everyone here becomes extremely successful.
You're right, the importance of multiple streams of income, unfortunately having a job doesn't mean financial freedom or security.
Speaking of been successful. I know I'm blessed if not I wouldn't have met someone spectacular as Anna s Wilson.
@@andyobiorah4779 I truly agree with you on that.
Anna Wilson has changed my financial status for the best, all thanks to my uncle who introduced me to her.
I'm a newbie, looking for a something to venture into on a short term basis, I have about 6k sitting in my savings. What do you think I should do?
Spending it on a girlfriend that would effectively just leave to find someone with more money...
You shouldn't spend money anyway on woman, they didn't deserve it. Only if she's the right one but that takes time to find 😭
Been there.
@@righand I'm sorry to hear
@@noobsaibot7073 wise after the event
I’m almost 40 and I just realized this. Just glad I found and it’s better late than never. I paid off all my credit card bills. Have about 2 years left on my car payment. And I have a mortgage that’s affordable. I’m investing my money into stocks, bonds, precious metals, IRA, and ETFs. I still have 15 more years till retirement and I’m saving my money aggressively. I’m saving about 15k per year now. Thanks for the great advice.
Unfortunately people DO care/judge based on what you drive. I definitely bought my luxury vehicle for my personal satisfaction. It was 3 years old so i got a steal. But because a new design had not come out yet it looked new. Since Ive gotten my car (2 years ago) my friends, strangers, and professionals (especially realtors) have made a wide array of comments and treated me differently ever since. I have found it to be ALL negative because 100% of the time people are judging or trying to figure out my income. For example, I remember a new business partner gave me a ride to my car and she was chit chatting trying to get me to make an investment in something I was resistant to. Finally she snapped, "Well it doesnt look like you and your husband are hurting for anything!" and nodded towards my car. SMH.
Yes they do. They also treat you differently when you're well dressed, well groomed, and well accessorized (expensive watch and glasses for me, purse and jewelry for you). Quick story...I wanted to buy a Jaguar F-Type. I went to the dealer on the way to do some maintenance on some of my rentals. I was in my old 04 Silverado and wearing shorts, tee, and sneakers with the lawn equipment in the back. I was clean, hadn't started working yet, and presentable. The sales staff treated me like shit, and I couldn't even get a test drive. I went back Monday after work in my suit, tie and driving my Audi S5 and asked to speak with the manager. Well I didn't buy that Jag, but I got satisfaction. It is what it is. You don't wear your bank statement or credit score, and people love to judge. With me, they often judge wrong.
MsStacyYvonne people that judge definitely did not read the “next door millionaire “
Every time I see someone with an expensive car, purse or watch , bragging about credit scores I immediately wonder how much DEBT they have lol
Even if they do judge it's still not worth spending that much money when you could spend less and still have a vehicle. My first car was a Buick Lesabre, an old grandpa car. I got it for a good price and it was in good condition because it probably never saw more than 50km/h. People teased me about it, but who cares, it was paid off!
This is how I believe a lot of identification is done in the legal profession. A former colleague said his wife was expected to wear clothes and accessories from certain stores based on her current professional level, but not above. When she moved from first year associate to second year associate, she was expected to start shopping at the next retail tier so that clients would know the seniority of the staff with whom they were working. Bags & jewellery for women and watches for men were the more obvious external items if you didn't have an eye for clothing and its value/cost.
jamie t my husband and I had the same experience last year. They didn’t know I had the money to buy the car. I put 1/2 down I’m almost done paying off the rest of the car which will be 2 years early.
This young girl asked us if we needed help. She had just started. When the other sales people found out that she made the sale, they were pissed off trying to “help her.” I told them that she didn’t need any help she got this. I guided her through everything and I made sure every single last paperwork had her name solely on it as the seller.
Phill you couldn't stop laughing about number 4. Most guys can relate to your painful laugh! 😁💃📉😡
that can happen to women as well, one of my relatives is paying alimony to the husband...
Thank God I’m in my 20s listening to these great advices, now it time to use them before I’m 30
if you cant afford to buy it twice, you cant afford it.
If you can’t buy it twice comfortably. I thinks that makes the quote even better.
*with cash
@@SynterraSteen ok go buy your house in cash smarty pants
Hmmm booze is within my budget then
Finance professionals recommend buying car(liability) with maximum 30% of your savings or affordability so I would say more like thrice.
Thank you for this video, I’m 28 so I’ll be keeping these traps in my head as I approach the big 30
Great video! I would like to add,
Don't die for brands: increasing liabilities affects you directly
Brands might provide good quality things but you could wait for sales; same thing for cheaper? Or may be just wait until you can afford a lot of them.
Great advice!
Love your casual yet practical approach. Thank you Phil!
1. yeah, I've bought brand new cars a few times. 3 years ago I bought a brand new prius for $30k and it does save me a ton of $ on gas I'm really not making up for that with the car payments. I do plan on paying it off this year though. on the other hand my wife inherited my mom's corolla that I didn't have to pay a cent for and also gets great gas mileage. I'd say I'm doing okay in that area.
2. my home was ridiculously cheap $60k and property taxes are like $2k a month here. my problem was paying only the minimum payments the first few years. I fixed that issue when I refinanced to a 15 year loan keeping the same monthly payment at a lower interest rate and paying extra principal each month. I'm scheduled to pay it off 13 years early than the original final date.
3. spending too much going out. This is what kills us. I added up all our monthly expenditures last year and found we were clearing $2k a month after gas groceries, and bills, but we were spending an extra $3k going out and having fun on top of that and that's where we were losing money.
4. my wife is expensive and I have to handle all the finances or she'll get us in trouble, but she will work with me to budget. she has gotten better than when we first moved in together 13 years ago, but she still has hiccups every now and then.
5. paying too much credit card bills. I do pay the whole balance off every month and receive cash back rewards, but my wife was also bad about going shopping with them and spending way too much.
6. investing. I've had a 401k since 2002, but it has not performed well and the company does not provide a match. I'm working on getting my car paid off right now, then I'm going to invest a little more into it, and bump it up even more after the house is paid off, but then I'm probably going to have to look into other areas to invest since 401k hasn't been very successful.
I'm in my early thirties on a Teacher's salary. .. thanks for the advice!
Thank you. Some of these are wonderful values I have been following, something my dad taught me. Some of your insights are really great with wonderful examples. Living by these rules we as a family have no debt, simple life, no mortgages, a new apartment for each of us. We don’t use personal vehicles as its not necessary for our lifestyle. It helps. Life is not perfect, we have our challenges, but not owning helps big time. Bless you and likes of my late father.
Most of my money traps went to Apple's product, Fast Fashion, unecessary entertaiment, Car, Drinks. Which is nothing to blame for, but my own decisions. Never realized my life lesson's cost me so much. 😑
I'm so happy I learned about number 6 in my mid 20s, now on track to follow passion projects by 40 instead of needing to work
The only money trap I regret is not investing. I made $10k of hard earned money + cutting expenses, but it could of been something bigger for the long run. I'm only 31 btw.
Really enjoyable to watch you giving solid life advices to us. Keep rocking Uncle Phil!
I currently have an auto loan with about $5K left on it, my payments are $337 but I’m paying $800 on it a month and plan to pay it off by December, I refuse to be in debt another year! NO MORE PAYMENTS
24 and taking notes
25 taking notes!
23 yo. Remember, it's a marathon, not a sprint. 😰😰
I'm 19
Jose Pacheco don’t you have homework?
18 and not really taking notes because I’m lazy & also b/c not living above your means is common sense. Investing is still really confusing tho😔 I don’t get it😩
im a car guy too and it's hard to see new models coming out every year and im still driving my 12 years old Mazda. The only thing that holds me back from buying liabilities like a new car is, I want to put my son into a great school :)
I like your confidence and you give really sound advice. Thank you!
Very good information. I’m not at this financial level yet, but when I get there I’ll
Keep these tips in mind. Can’t drive, don’t own a house, don’t have a significant other.
Iv been studying these money advice videos since last April. I used to over spend every month and was accumulating extra credit card debt every month. Since then Iv moved to a much cheaper place, sold my 2nd car, make my lunch everyday, rarely drink alcohol etc. I went from over spending about 150 a month to saving 900 a month! Im amazed at myself plus also I dont feel iv lost anything in life. It just feels like ive escaped!
Fantastic work- keep it up!
Marriage is the biggest trap sheeeeeet
so true, people don't care whether you a fancy car or not.
Great video! Just turned 31
Jon A yaasss I turn 31 in November!
fantastic advice !!!!!!!!!!!!!!!!!!!!! I have to say that young people in their twenties and thirties LOVE instant gratification.. for example dining out. That is a money trap for me. I dont fall for it. I eat out maybe once a week or once every two weeks. Otherwise I am cooking healthy and delicious meals from home and feeling much better about myself knowing that the money I earned is being invested
The only place where success comes before work is in the dictionary
Keep on going, and the chances are that you will stumble on something, perhaps when you are least expecting it. I never heard of anyone ever stumbling on something sitting down
Successful people don't become that way overnight. What most people see at a glance-wealth, a great career, purpose-is the result of hard work and hustle over time.
@@dannydevan7468 Yeah! I agree with you
@@dannydevan7468 If you want to be successful have the mindset of the rich, spend less and invest More. Don't give up your dreams.
People come here with the aim of chasing money more than knowledge and that will damage your progress, trust me. Chase knowledge first and I promise! The money will follow you just like it's following some of us now.
Car and house... we did that..and we turn back with the house, thankfully with no debt... but it was a great learning experience. So importante to knowm these traps... thank you!
I love this! Thank you so much for being so Awesome!
Thankyou Mr phil! im from the philippines and i am 29 years old
so i feel thay i still have hope
to improve my life. thankyou
Brave man for touching number 4 lol
@jmscoopy ok troll i bet you get no pussy hes brave because his wife is watching this you asshole so go back to your hole and have mommy make you some more genos pizza rolls while you play bonks adventure on your old ass turbo graphics 16.
My wife laughed when you said dont buy a Jag I HAVE ONE IN MY 30S 😆😆 to be fair i did buy used low mileage and saved a fortune on it.....also moved house this year but to be fair it was a great price for what it is. Such great advice Uncle Phil 😆 just watched the video abit late. Just started investing and it has really changed my mindset everytime i go to buy something i keep thinking thats x amount of shares i x company its saved me loads! Keep up the great videos!!
The wisest thing that should be on everyone mind currently should be to invest in different stream of income that doesn't depend on the govt especially with the current economic crisis around the world.
I still have a 1998 Honda Accord. It gets me to where I need and I don't have a car payment. The fact that people are so obsessed with competing with their peers by buying new cars, houses, and expensive clothes, just baffles me. Why put yourself under all that stress of trying to keep your income high enough to afford those things? If you make more income, find a way to turn that into even more money. It's not the expenses you know about (as long as you kept those low), it's those you don't know about yet (emergencies).
Thank you! By 33 we will be out of student loan debt. We are trying to make wiser decisions.
Both of our parents have no retirement. So we are trying to make better decisions. Sad part tho is after all this our parents keep mentioning we can help them with retirement. All they do is going to the casino...
Our money traps were helping family members that can't handle money. Boundaries. I didn't know the word until I watched Dave Ramsey.
Alot of ppl I run into tell me I can't pay off my student loans. And I should be having fun and not worrying about this stuff. I don't make a fortune but I finally make enough to pay them!
If this wasn't a review of common sense thinking and you are in your 30's then start doing your research , create a budget, and straighten up.
Advice given here assumes the same as many giving advice - a steady income. Now track this - degrees in several fields, copyrights, patents, built space shuttle computer, multilingual, no employment future in the USA. Unemployed 35 years, 3 bed 3 bath house, no debt, nearly 850 credit score.
I'll never have a credit card, ever. I DO NOT want to get swept into credit card debt.
realar
Make sure your debit card isn’t stolen, you won’t get the money back
realar good luck ever buying a house
U need a credit card to build ur credit score. If u cannot discipline urself then u seriously need to be strong minded
I saved this video, and for now on I'll watch it weekly for reality check, cause I have 3 credit cards for absolutely no reason but to spen more than I should and I'm not even 30 yet.
I live in a city where transportation is very cheap (around $50 per month) and parking is very expensive ($500). Yet I am tempted to buy a car.
NUMBER ONE money trap... becoming a parent :D
I've got six kids didn't plan on any. Buy them bitchs pizzia and pp@j and send them to public school.=free
Yes because diappers, milk, doctor's appointments, medicines, must dedicate your time, and private school. Now people can only afford 1 child if you want to give the best.
Many children is many investment. Your children will support you when you going old. Like Japan is crisis workforce because they are have one children
@@ganungwatch not always true. My grandfather had about 9 kids. Only 1 son ended up financially supporting him in his old age. I guess you can have a few and assume one will step up.
@@nancyval325 yes. Many children are many probality. If he have 9 children. He has one probability. If he has one child. Maybe he has not probabilty (one) probability
Teaching from personal experiences are always very natural and touching..
You just earned a new subscriber.
"expensive significant other "LOL..
I might have fallen for the new car trap, but its a PHEV, I plan to take care of it and drive it as long as I can
depends I guess
Watching this when im 20 haha 😂
10 years of more money I guess.
Do you have a video on Money Traps to Avoid in Your 20s? My significant other is in his late twenties and I just turned 30. We think differently when it comes to money, so I'd like to give him some information to get the wheels turning and prepare him for his 30s, while he's in his twenties. Please, help me, to help him, to help us lol. Great video!
Biggest money trap wasn't even mentioned: having children. It's sad, but unfortunately true.
Massive physical money trap but there are many mental benefits that can encourage you make more money in the long term
It depends on how you raise your kids. Doing it smart becomes an investment: otherwise it is a money trap
@@___vlad__ Not exactly sure what you meant, but tha honestly sounds like straight up abusive parenting; treating children like an investment. Children are never under an obligation to provide for their parents.
@@qwertyu5363 No dumbass children are an investment. You invest your time and money to see them grow.
An investment is something you hope to grow and do well, not nessecarily do well for you.
For example one could invest in their grandson and buy him a computer for hopes that it will motivate him to learn tech and maybe start a career for himself.
If your looking for a selfish individual, look no further than a person that believes and investment is something that has to benefit you.
Get your dumb shit out of here.
@@vanman118 There is a difference between an expense and a trap. For many of us, having kids is one of the best things in life, and it’s pointless to say that if I had not had kids I would have had more money to spend on toys.
Mostly falling in lifestyle & entertainment early...; now realize it and have to do better
I have 8 credit cards and only carry a balance on 1 of them. The one I carry a balance on is for a furniture store, I opened it when I got married at 23. This card allowed my wife and I to finance all of the furniture we needed when we moved in together. The best part was, they gave us 48 months same as cash, so my wife and I decided to make a double payment as the first payment and the middle payment to guarantee we were 2 months ahead incase anything happened toward the end of the 48mos. So far, this was the best credit card related decision I have made. Something to note: if you do this, you must be extremely cognizant of what you can afford and don't max out the credit card just because you physically can. "Just because you can pay for something doesn't mean you can afford it."
Uhm, this all sounds like common sense.
common sense isn't as common as people would have you believe.
Thank you Mr. Phil! :) people like you should be watched often by young adults these days. And by the way, I like number 6 the most 😍
Current teenage me: hmm what should I click on
TH-cam: money traps to avoid when your in 30s
Also me: well why tf not
Workout atleast 30-45mins a day im not saying to bodybuild or do heavy weights but a normal workout keep that blood flowing
Full of wisdom, and sounds like all these were based on personal experience 😂 Glad to learn this when I am about to enter my 30’s
Well I already got a new car recently so I've already fallen into the first trap...but with how much I make, I can probably pay it off in 5-6 months if I funnel the majority of my money to paying it off. I have no other responsibilities so it's probably a good idea to kill this debt quickly. Either way, it's fun to drive so I don't regret it. 10/10 would buy it again.
thanks Phil 26 year old getting close to graduation glad i found this video re instilling some of my beliefs about money
Live light. Save large.
Never lease a car. There is no worse way to purchase an automobile. It’s the equivalent of 10-18% interest (cost of capital).
Don’t use credit cards. If you do, NEVER carry a balance.
15 year fixed rate mortgage with 20% down. If you can’t afford to do that... you can’t afford the house.
Invest in your retirement. Always. Never try to time the market. Get in. Stay in. Start early. You’ll retire with millions.
Remember to move fast, bob and weave, and duck when a woman is knocking hard, or all that other stuff is out the window, or more precisely - you're out the window looking in. Peace!
Gregory M. Peters, MD is it worth to buy home with 5% down payment if it leaves some money in your account? I make good money I just need to know if I should go for my first home or should I wait, I can save 20% down payment in 2 years for a house of 500k.
Stick with the 20%. You avoid PMI that way and save on the loan. Never go more than 15 years, and always do a fixed rate.
You need to save yourself enough money for your emergency fund, but the best way to do that is in different accounts. Put your emergency fund aside in an account separate from your regular checking account (Dave Ramsey recommends 3-6 months worth of expenses as your "emergency fund," and I think that's more than reasonable) then save up the 20% for the house in its own account. That should, in most every situation, be in a very safe account earning little to no interest. Something like a money market account would be fine, or a boring old traditional savings account at your local bank.
Ultimately you have to ask the question, who do I want to make rich? You can make yourself rich or you can make the bank rich. Never both. Interest is the thing you pay to make other people rich. Save up the 20%.
Hope that helps!
Gregory M. Peters, MD definable some good points. One more question when you say do fixed rate, so do that for all 15 years or may be go 5 years then see how the rate in the market fluctuates.
no name Fixed for all 15. Rates will only go up over the next 15 years. If they did go down enough for it to be worth your while, you can always refinance.
I started investing last year a month before I turn 30. And I super love it. Budgeting is addicting😅
Nice! That's awesome that you started just before hitting 30! That's going to serve you so well :)