Instead of Buy Now, Pay Later, I like to do Pay Now, Buy Later. AKA, just saving for a purchase lol. I make smaller "payments" for something I want to get into my savings account and then pull the money out to make the purchase in full when I actually have the full amount ready to go for that purpose. Delayed gratification is hard to nail down at first for plenty of consumers but it can be a beautiful thing!
100%. Also the entire time I'm saving for this thing I said I wanted to buy, I get to make another judgment on "do I really need/want this?" Each "payment" I make to my savings account to eventually buy that item is an opportunity for me to gut check whether that's what I really want to do with the money, and also to look around to see if there's a better deal somewhere. It prevents emotional spending and buyers remorse
See I thought you and I were on the same wave length... I want to pay now, buy later. Where I pay the store for a product now, but get it later when it cost more. But I get it new and for the price I paid earlier... then I can flip it 😅. Your way makes more sense haha.
YES!! Currently saving $20/week for a luxury watch. I will have enough money in 6 years on my 50th birthday. Saving for it and being disciplined will add value to it 😊
I almost bought a new car today, I don’t need another car at all I just wanted it. I just pulled out of the deal. I find when I have lapses in judgement if I just watch a video or two from the money guy team I get straightened out in no time. Thanks Brian and Bo and team for the years of great content and keeping me in check 😊
The point about travel in your later years is so spot on. I did some of those trips in my 20s when I hardly had any money and it wasn't enjoyable at all, the entire time I was dreading how I was going to make rent or buy groceries when I got back home, and was always thinking about how I couldn't spend any money while on the trip. Now in my 40s I can go where I want, actually sit down and enjoy a nice dinner somewhere and not worry about how much it's going to set me back or if I can afford bills when I get back, etc. It's also great if you've kept yourself in shape, my 40s have been so much more enjoyable than my 20s because I kept up my fitness and I can take all the same trips and things and now fully enjoy them since I have the money.
i did lots of travel in my younger years, went all over the world. never had to worry about food or rent eaither, the Navy told me they would worry about that for me😂
One of the funniest things about talking to people in their 20s about money is their rock solid conviction that they have to do things NOW even if they’re broke or have to go into debt because once they hit 30 they’ll be too decrepit and feeble to enjoy *anything.* ;-)
@zippo32123 beat me too it. I just typed that. Heck I would blow 2 grand in foreign ports easily. I had fun and no I don't feel bad about it. Not sure what 20 years Olds he is talking about. Dancing till 4 in the morning with women in Barcelona Spain can't be duplicated in my 40s. Sorry not buying it
@@Moneymalzy If I had traveled (not counting my time in the Army) in my 20's, outside the country, I had the strength, the energy, the time, and the freedom, to do a lot of things I just can't physically do any more. If someone decides to travel, even if it's just crashing in hostels throughout the world, those can be very life-building experiences.
I’ve been listening to you guys for 3 over years. Lived below my means. Just bought a house at 26. Now time to keep grinding. Thanks fellas for the wisdom and guidance.
That's awesome man, good for you! I just bought a house last year at 34 and it's been awesome. Some big expenses, but they're investments into my next 10-15 years. The happiness factor versus renting is amazing.
Regarding travel being better when you’re older by doing it right (about minute 12); writing in my 60’s from a free upgrade corner suite with a 25th floor view of the amazing city of Istanbul…I agree.
Great show!! I have a 23 year old and a 24 year old, I tell them my story of not investing until I was 44 years old. Time is on their side. I love the part also with Humphrey Yang
Having done both, gone on a trip with lots 'o debt and going on a trip with no debt (as a debt free individual) and the experience in my view is greatly enhanced when you don't have to think about on the week after the trip that you have to make a payment for something and not sure where the money is coming from.
@@noel4854 It’s not what the fund did in ‘one short period’, but over the extended period. The 2025 Fund my company offers is at 7.4% average yearly return since its inception in 2020. Meanwhile, my S&P500 fund is at just over 10% for the same period. Please look at the other target date funds that are about to mature to see their long term performance.
@@noel4854 My S&P500 made 25.7 % since January 2024. It’s irrelevant what a fund did on the short term. We’re in it for the long term. The target date funds I’ve looked at return about 5%-7% over THE LIFE of the fund. This difference means that you’ll retire with 100s of thousands of dollars and someone who was all in stocks ‘most’ of their career will retire with a couple of million dollars.
I'm literally all in when it comes to my index funds, money goes in every payday and stays in. But I have noticed that when I hit a financial milestone, the balance immediately drops just below that milestone and stays there for weeks even though money is still going in. The balance, it mocks me LOL!
I just want to say there is definitely material items that will make you happy and are fulfilling. Like a guitar, a motorcycle, a computer, and other things. They can extend your love of specifics hobbies allowing you to enjoy life even more on top of everything else.
That first issue is an American issue - in Australia I’m not aware of a single superannuation account (Australian 401k) that doesn’t auto-invest your deposited funds unless told otherwise - they auto-invest your account based on your expected retirement age.
It's a rate of return equal to your interest rate no matter when you pay. Paying early means you're reducing more total interest because you effectively have more years of compounding at that rate, but it's the same rate of return.
So I have an opinion about the buy now pay later which most people haven’t thought about. So, this only works if you’re responsible and not stacking etc. If they are charging extra fees to the seller of the goods, most likely they have increased the cost of the product or service for everyone so that people that use these services get it for the same price and that advertised 0% 3 monthly payments. This is why, on bigger purchases I always use the option to spread it because otherwise it’s costing me more, I’m effectively getting the item cheaper because I’ve gained time for free.
Please give me advice I have a 401k traditional with a 50% match up to 6% and a 401k roth in place at 5% with my employer through Merrill Lynch it's a Target 2055 fund.... am I able to change it to where I'm able to invest in the S&P 500?
BNPL is useful for household appliances, mattresses etc when youre moving or starting a new job out of college. Things that are long lasting and you may not necessarily have the cash right out of college to get what you need quite yet. Obviously still get something you can afford. Its not an excuse to overspend.
I would argue *heavily* that if you don't have the cash, that's the *worst* time to use BNPL, because that is when you have the highest risk of defaulting or being late. I get it, there are times when money is tight. Those are the times when you should focus the most on *need* versus *want*...and I will say that everything you just listed is a want...society just programmed you to feel entitled to every modern amenity. Trust me, you can survive without a couch or a dishwasher...and you may even be able to use the basic lifestyle to motivate you to get your financial life in order so you can actually afford those wants that are closest to "needs".
@@xaldath4265 Yeah no worries , I'll just tell the fresh graduates to sleep on the floor and microwave their food in the sun. Lmao I'm not going back and forth with you. Believe what you want
@@xaldath4265Yeah I'll just let the new grads who are just joining the work force to sleep on the ground and microwave their food in the sun. Lmao I'm gonna just mute reply notifications because people like you who live in a black and white world are clueless.
It goes quickly as well. I'm almost 3 years into investing and I contributed only 70%. My extra retirement was set up last year and 81% is my money. This year was a relatively good year, so I'm not expecting this kind of growth every year, but it does show how quickly it can grow.
Talking about traveling in your 20s vs 40s, I would argue that traveling in the later years could become much more expensive if you plan to have kids. You aren’t just paying for one person. In my case, I’m paying for four. So a $2,500 vacation becomes $10,00. I guess I could wait another 12-14 years until the kids are out of college, or I could be a very cold parent that jets off and leaves them at home. I was fortunate to have a decent paying job in my 20s that let me do a little traveling, and there’s nothing like the freedom of not worrying about little people to really help you enjoy the time. I think it’s going to be a very long while before I get that back.
I see what you're saying, but as someone whose parents sometimes took international trips without us, we never saw what they were doing as cold; they still took us on plenty of road trips and camping trips, and we understood that they deserved to occasionally do something that made them happy.
@ thanks for sharing that. I think that’s a really good perspective. Good to know that maybe we can do something special like that once in a while without them holding it against us.
I did that for the first few years I was working. I'm so glad someone pointed it out to me eventually, but I still look back at missing like three years of investing time in my 20s and kick myself so hard.
I have decent wealth, well on my way to meet my retirement goals. I have a 20 something year old kid: should I fully fund their retirement accounts, since they they have so much more time to let it grow? What's the proper time to start transferring wealth to your heirs, assuming your plan is to create generational wealth?
Is the kid responsible or will your contributions just allow him to flitter away more of his income? You have to be careful. Two brothers I knew growing up were very different. One went to college and became a medical doctor. The other brother did drugs, committed petty crimes, lived off his parents and waited for his parents to die. My mother gave $1000s to my siblings (who needed it) and they just continued to live beyond their means.
She just graduated with her Masters in a medical field, helping kids. She's a good kid, and I can easily put the $7k or whatever it is into her Roth IRA every year without materially affecting my own plans.
@@nebn3355 If you help fund a Roth IRA for her, make sure she actually qualifies for it at her income level. I had one son that quickly was over the income limit for Roth IRA contributions.
Does anybody remember when he started that? I feel like I remember a time not very long ago where he didn't say that every time, but it was enough to become a meme, and now it's kind of his catchphrase. 😂 I love it!
Okay everything is great. I will say your 20s will be way different than your 30s and especially 40s and 50s. So saying it will be "better" is not correct. In my 20s I played a lot of sports, danced all night when I went out, hung with a lot of great friends while in shape, very few responsibilities. And I went to college super fun. Plus I did gymnastics and was in the military. Seen so many countries. At 40 I'm athletic but it's not the same. Work a ton of hours a week. Like 75. It's much more of a consistent life. It definitely was super fun and exciting getting off the ship going to Barcelona ports, or st Martins. So don't let them fool you. You will not be able to always do the same thing you did in your 20s like your 40s. I'm 46 and invest like crazy cause I had fun In my 20s. There is a 60 year old guy i work with. Millionaire the other day in the break room he says "i don't know what I'm going to do when I retire". We both make 150k a year and a pension fund. I'm happy with my life. I pushed it to the limit early and don't regret it
The first scenario didn't ring true to me, although Bo and Brian said Vanguard said it happens all the time. How, in 40 years, as in this sketch, would you not ever check your 401(k) balance? If you had, you would have noticed, hopefully, that there was no change in the account balance, which would have prompted you to do some investigation. Then you could rectify the situation and actually invest your 401(k).
That "stock market getting wrecked" stuff didn't age well. 😂 I was building up some cash at the time and I ended up deploying a bit of it to buy the dip. What can I say? I just couldn't help but treat myself to a good stock sale! It's that darn consumerism, I tell you.
Probably a dumb question, but if I check my 401k in Fidelity and see that it has earned interest, I am good right? It’s not like “potential interest”? I just can’t imagine going 40 years without looking at your account and seeing that no interest has accrued
What is your 401K invested in? If it’s in US government securities that only make 2% a year, then you have a major problem. If your contributions are in an aggressive S&P500 fund making an average of 10%, then you should be good to go. Now if you are 5 years from retirement, then you should consider if you need to shift some of your money to protect it after retirement.
I had a rollover sit in an account uninvested for a few years. At the time I didn’t understand how to invest and I eventually forgot about it (life happens). I still get mad thinking about it. I know it’s my own fault but I feel it’s criminal that a brokerage would allow that to happen and not do more to reach out to their clients.
At least BNPL loans have a short payoff term, so if you do get into trouble, you can knuckle down and get out in a shorter time. Not like racking up big crediy card bills. Best thing, of course, is to pay cash.
It can "buy time" in the sense that you can pay people to do things that would have taken you a lot of time to do. You pay a restaurant so you don't have to shop and make dinner etc, or you can pay a tax professional so you don't have to do your own taxes, pay a plumber so you don't have to unclog your own drains etc. Also it will buy your future self time if it means you can retire earlier
i disagree with the traveling later is more rewarding. I think traveling while young exposes you to things that make you want more out of life, it also pushed you to want a better retirement. the issue is people who only plan to travel to party and dont learn how to travel effectively and cheaply. but this sasme thing goes with spending habits now. I think its okay for people to enjoy themselves now, obviously dont go wild and not prepare for the future but what benefit if you had a suckish life for you first 30 adult years to only be in terrible shape when you can afford that sports car or whatever it is due to the money or time now. I think when your young you have to learn how to strategically get these things. want to travel? get a travel card and get 5k worth of travel free every year. want that new car? see how you can rent it for 7 days a month to get it paid for, or find a way to monetize it or get a cashflowing asset that can cover the cost.
Are you maxing out your 401K? If not, absolutely do that before paying the mortgage down. When I retired, my taxes went down. Your expenses will probably be lower in retirement (kids out of college and gone, mortgage paid off, no suits and ties, etc). The money you use to pay off that mortgage has already been taxed (fed/state), so if you can do the 401K contributions, that’s the way to go. As for 8%. Why they use 8% instead of the average of 10%, I don’t know.
@@I.amhades The average inflation rate has been 3% for the last 100 years. Since WW2, the average rate has been 3.9%. Once again them “being conservative “ is a nice tool to estimate ‘conservatively’ where you’ll be in a few decades, but it probably won’t be accurate. A couple of percent lower over decades would change your portfolio by hundreds of thousands.
Pre-paying a low interest mortgage does NOT enhance a person’s wealth if those funds can reliably earn a higher rate of return than the interest rate on that loan. Don’t fear debt; use other people’s money to enhance your wealth when there are low risk-or even NO RISK-ways to do so.
Stuff doesn’t buy happiness? Perhaps not always. But I have bought some “stuff” that provides me with a degree of joy that is well worth the cost of this stuff. So living a miserly life devoid of the stuff that enhances the quality of life is as misguided as falling to save and invest.
TFD has had some questionable guests that were condescending. But overall i think you can find real gems from her videos Also travel you g, it will expand your horizons and have a greater view of cultures and people. If you never traveled, traveling in your 60s might be scary and alien
@@BostonCycling_ I personally get no satisfaction from where I live. I'm only buying a home for the equity. I have no desire to own a home, I'm just doing it because I'm "supposed to."
I’ve owned a dozen sports cars (5 of them Porsches) and much as I love them, you almost never get to take advantage of their performance - especially if you’re law-abiding. Instead get something already modified for track days (Miatas are popular) or sign up for performance driving schools and use/risk *their* cars while getting proper instruction.
I love my credit cards. When my company forgot to pay me for a week (new payroll girl dropped the ball), cards meant I didn’t have to bounce anything. I’ve always paid off the cards every paycheck, so usually $0 or very low statement balances. The extra month to breathe was awesome. But these days, I pay last month’s spending with last month’s paycheck - leave a month’s worth of cash in checking.
Please don't put off traveling in your 20s though. You have the energy you won't have in your 30s or 40s. Agree with saving/ investing too in your 20s, but not at the expense of travel/experiences
I actually think it is more European to think the young people need to travel and explore the world for a year than it is American. At least in my world. I'm an American living in Poland.
Amazing video, A friend of mine referred me to a financial adviser sometime ago and we got to talking about investment and money. I started investing below the $100k mark and in the first 2 months, my portfolio was reading $234,800. Crazy right!, I decided to reinvest a huge percentage of my profit and it got more interesting.! For over a year we have been working together making consistent profit just bought my second home at the beginning of summer
What the heck? Credit these videos! Who are the initial posters? And I don't want people commenting and crediting them for you. Y'all need to tell us whose content you are sharing!
I lost over $80k when everything started to tank. Not because I was in an exchange that went belly up. I was just stupid to hold and because that's what everyone said. I'm still responsible. It just taught me to be a better investor now that I understand more of what could go wrong. It took me over two years of being in the market, I'm really grateful I found one source to recover my money, at least $10k profits weekly. Thanks Brooke Miller.
I just withdrew my profits a week ago, To be honest it was an amazing feeling when the profits hits my wallet I wish I could reinvest but, too much bills
Hit 310k last week, lost over 14k today, Nvidia won't make a good run too the upside till mid October...I'm still looking for companies to make additions to my $500K portfolio, to boost performance. Here for ideas...
@@purplebliss6875 th investing on my own, but I lost a lot of money. I was able to pull out about $200k after the 2020 crash. I invested thI agree with you. I started out wie money using an analyst, and in seven months, I raked in almost $673,000
@@Andreallln i'm blown away! mind sharing more info please? i am a young adult living in Miami where i've encountered several millionaires, and my goal is to become one as well
@@dogmom-pt5we Her name is. Sharon Crump Cline. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment.
Income does matter. Sorry. No one can save money when living on 12,000 a year in the US in 2024, you would be lucky not to be in a tent by the river at a homeless camp. Comparing 60,000 to 120,000 would be more appropriate and realistic.
To make 12,000 a year you’d need to be working part time like less than 20 hours per week or if you’re full time that would $5.77 per hour. Get a better job.
i understand your pain, but you really can do better employment wise if that is the case, if you are only working 20, your going to just have to pick up more hours, if you are working full time and your not working for yourself, your employeer must ensure you are making at least minimum wage, wich they are not, at least not in the us.
I think you'd be surprised how many of her followers actually need her advice. No disrespect, but the comments on her videos show they are very very new to investing.
So went to use a tool on your website once, and now I get emails every day I dont want. Already unsubscribed once, had to go back on today and do it again. It's very annoying.
Hey! Glad you got to use the tool, and appreciate the feedback. While it’s normal to get 1-2 emails per week from us once you’ve signed up or used a tool, we definitely do not send everyday! (No one wants that. Haha) We make a point to only send our best content and announcement your way via email! You can always click at the bottom of each email to update your preferences to either opt out of certain emails or unsubscribe. Hope that helps!
The New York Stock Exchange started in 1792. This is the oldest running business in America. The chances of everything imploding and going to zero is absurd
@@jtowensbyiii6018 Name the exchange that has gone out of business? Individual businesses go under, however there are new businesses created and thriving every year. New IPO's join the exchange all then time
Instead of Buy Now, Pay Later, I like to do Pay Now, Buy Later. AKA, just saving for a purchase lol. I make smaller "payments" for something I want to get into my savings account and then pull the money out to make the purchase in full when I actually have the full amount ready to go for that purpose. Delayed gratification is hard to nail down at first for plenty of consumers but it can be a beautiful thing!
100%. Also the entire time I'm saving for this thing I said I wanted to buy, I get to make another judgment on "do I really need/want this?" Each "payment" I make to my savings account to eventually buy that item is an opportunity for me to gut check whether that's what I really want to do with the money, and also to look around to see if there's a better deal somewhere.
It prevents emotional spending and buyers remorse
See I thought you and I were on the same wave length... I want to pay now, buy later. Where I pay the store for a product now, but get it later when it cost more. But I get it new and for the price I paid earlier... then I can flip it 😅.
Your way makes more sense haha.
YES!! Currently saving $20/week for a luxury watch. I will have enough money in 6 years on my 50th birthday. Saving for it and being disciplined will add value to it 😊
I’m just
I’m
I almost bought a new car today, I don’t need another car at all I just wanted it. I just pulled out of the deal. I find when I have lapses in judgement if I just watch a video or two from the money guy team I get straightened out in no time. Thanks Brian and Bo and team for the years of great content and keeping me in check 😊
That "bye bye bye" edit sent me.
I'm loving the new editing!
The point about travel in your later years is so spot on. I did some of those trips in my 20s when I hardly had any money and it wasn't enjoyable at all, the entire time I was dreading how I was going to make rent or buy groceries when I got back home, and was always thinking about how I couldn't spend any money while on the trip. Now in my 40s I can go where I want, actually sit down and enjoy a nice dinner somewhere and not worry about how much it's going to set me back or if I can afford bills when I get back, etc. It's also great if you've kept yourself in shape, my 40s have been so much more enjoyable than my 20s because I kept up my fitness and I can take all the same trips and things and now fully enjoy them since I have the money.
i did lots of travel in my younger years, went all over the world. never had to worry about food or rent eaither, the Navy told me they would worry about that for me😂
@@zippo32123 That's a little different, but yeah I can see that, lol. Thank you for your service!
One of the funniest things about talking to people in their 20s about money is their rock solid conviction that they have to do things NOW even if they’re broke or have to go into debt because once they hit 30 they’ll be too decrepit and feeble to enjoy *anything.* ;-)
@zippo32123 beat me too it. I just typed that. Heck I would blow 2 grand in foreign ports easily. I had fun and no I don't feel bad about it. Not sure what 20 years Olds he is talking about. Dancing till 4 in the morning with women in Barcelona Spain can't be duplicated in my 40s. Sorry not buying it
@@Moneymalzy If I had traveled (not counting my time in the Army) in my 20's, outside the country, I had the strength, the energy, the time, and the freedom, to do a lot of things I just can't physically do any more. If someone decides to travel, even if it's just crashing in hostels throughout the world, those can be very life-building experiences.
I’ve been listening to you guys for 3 over years. Lived below my means. Just bought a house at 26. Now time to keep grinding. Thanks fellas for the wisdom and guidance.
That's awesome man, good for you! I just bought a house last year at 34 and it's been awesome. Some big expenses, but they're investments into my next 10-15 years. The happiness factor versus renting is amazing.
@@kuebby right on congrats too! Same, & the home is all worth it end of the day it’s cool coming home to your own property and happy place
Regarding travel being better when you’re older by doing it right (about minute 12); writing in my 60’s from a free upgrade corner suite with a 25th floor view of the amazing city of Istanbul…I agree.
Great show!! I have a 23 year old and a 24 year old, I tell them my story of not investing until I was 44 years old. Time is on their side. I love the part also with Humphrey Yang
Having done both, gone on a trip with lots 'o debt and going on a trip with no debt (as a debt free individual) and the experience in my view is greatly enhanced when you don't have to think about on the week after the trip that you have to make a payment for something and not sure where the money is coming from.
For that first one, 401Ks usually auto-enroll in target date funds nowadays which is great
IMHO, target date funds are too conservative and if you lose just 1% over your career, that can amount to a $100,000 or more in lost growth.
My target fund made +15% since Jan 2024.
@@noel4854 It’s not what the fund did in ‘one short period’, but over the extended period. The 2025 Fund my company offers is at 7.4% average yearly return since its inception in 2020. Meanwhile, my S&P500 fund is at just over 10% for the same period. Please look at the other target date funds that are about to mature to see their long term performance.
@@noel4854 My S&P500 made 25.7 % since January 2024. It’s irrelevant what a fund did on the short term. We’re in it for the long term. The target date funds I’ve looked at return about 5%-7% over THE LIFE of the fund. This difference means that you’ll retire with 100s of thousands of dollars and someone who was all in stocks ‘most’ of their career will retire with a couple of million dollars.
I'm literally all in when it comes to my index funds, money goes in every payday and stays in. But I have noticed that when I hit a financial milestone, the balance immediately drops just below that milestone and stays there for weeks even though money is still going in. The balance, it mocks me LOL!
All coincidence, brother. Keep it invested, invest more, give it time.
I just want to say there is definitely material items that will make you happy and are fulfilling. Like a guitar, a motorcycle, a computer, and other things. They can extend your love of specifics hobbies allowing you to enjoy life even more on top of everything else.
Agreed! That is the kind of "stuff" to buy, the kind that enables experiences.
I think I saw this already...this is the episode where Bo is "so excited about this". Haha.
random request: can bo give us his nutrition and exercise regimen cause dude is FIT under that kirkland polo
He’s on step 9 of gains
I love Rob Berger! He the the Money Guys are my favorite financial podcasters.
That first issue is an American issue - in Australia I’m not aware of a single superannuation account (Australian 401k) that doesn’t auto-invest your deposited funds unless told otherwise - they auto-invest your account based on your expected retirement age.
"Thats Scott Galloway" hahahahha - close Brian, but its a different bald professor, Arthur Brooks :)
Amortization schedules make pre-paying your mortgage more advantageous in the early years rather than the later.
It's a rate of return equal to your interest rate no matter when you pay. Paying early means you're reducing more total interest because you effectively have more years of compounding at that rate, but it's the same rate of return.
5:19 I love Rob Berger, definitely worth checking out his YT channel and website. He has no-weekly broadcasts where he answers questions.
I'll never forget realizing that "Money Market" mistake. Most terrifying moment of my financial life
Made that mistake as well. I'm so grateful for the person on the phone at my brokerage that warned me about that mistake so many years ago.
So I have an opinion about the buy now pay later which most people haven’t thought about.
So, this only works if you’re responsible and not stacking etc.
If they are charging extra fees to the seller of the goods, most likely they have increased the cost of the product or service for everyone so that people that use these services get it for the same price and that advertised 0% 3 monthly payments.
This is why, on bigger purchases I always use the option to spread it because otherwise it’s costing me more, I’m effectively getting the item cheaper because I’ve gained time for free.
I like how you added that Deadpool song “bye bye bye”. Pretty good editing since it’s still in theaters. You guys are on top of it!
The buy buy buy was clutch
Chelsea from the Financial Diet is fantastic. Would love to see you guys collaborate!
She's a m i s a n d r i s t. She'd be a horrible guest.
The guy on the right is always “so excited.”
Yes, but I go back to the words of the philosopher Alfred Yankovic, "Money might not be able to buy happiness, but at least I can rent it..."
Please give me advice I have a 401k traditional with a 50% match up to 6% and a 401k roth in place at 5% with my employer through Merrill Lynch it's a Target 2055 fund.... am I able to change it to where I'm able to invest in the S&P 500?
I was just subscriber 500,000!!!!! I cant believe that I caught that! congrats guys!
BNPL is useful for household appliances, mattresses etc when youre moving or starting a new job out of college. Things that are long lasting and you may not necessarily have the cash right out of college to get what you need quite yet.
Obviously still get something you can afford. Its not an excuse to overspend.
I would argue *heavily* that if you don't have the cash, that's the *worst* time to use BNPL, because that is when you have the highest risk of defaulting or being late. I get it, there are times when money is tight. Those are the times when you should focus the most on *need* versus *want*...and I will say that everything you just listed is a want...society just programmed you to feel entitled to every modern amenity. Trust me, you can survive without a couch or a dishwasher...and you may even be able to use the basic lifestyle to motivate you to get your financial life in order so you can actually afford those wants that are closest to "needs".
@@xaldath4265 Yeah no worries , I'll just tell the fresh graduates to sleep on the floor and microwave their food in the sun. Lmao I'm not going back and forth with you. Believe what you want
@@xaldath4265Yeah I'll just let the new grads who are just joining the work force to sleep on the ground and microwave their food in the sun. Lmao I'm gonna just mute reply notifications because people like you who live in a black and white world are clueless.
It goes quickly as well. I'm almost 3 years into investing and I contributed only 70%. My extra retirement was set up last year and 81% is my money. This year was a relatively good year, so I'm not expecting this kind of growth every year, but it does show how quickly it can grow.
Talking about traveling in your 20s vs 40s, I would argue that traveling in the later years could become much more expensive if you plan to have kids. You aren’t just paying for one person. In my case, I’m paying for four. So a $2,500 vacation becomes $10,00. I guess I could wait another 12-14 years until the kids are out of college, or I could be a very cold parent that jets off and leaves them at home.
I was fortunate to have a decent paying job in my 20s that let me do a little traveling, and there’s nothing like the freedom of not worrying about little people to really help you enjoy the time. I think it’s going to be a very long while before I get that back.
I see what you're saying, but as someone whose parents sometimes took international trips without us, we never saw what they were doing as cold; they still took us on plenty of road trips and camping trips, and we understood that they deserved to occasionally do something that made them happy.
@ thanks for sharing that. I think that’s a really good perspective. Good to know that maybe we can do something special like that once in a while without them holding it against us.
2:26 Brian, that is not Scott Galloway.
I came here to comment this lol
That first clip actually made me cringe. That's my worst nightmare. 😂
Same, my friend is doing this right now and I'm literally screaming at them to invest in something. Anything!
I did that for the first few years I was working. I'm so glad someone pointed it out to me eventually, but I still look back at missing like three years of investing time in my 20s and kick myself so hard.
Glad you're reacting to some "good" financial advice videos.
Almost at 500k!
I have decent wealth, well on my way to meet my retirement goals. I have a 20 something year old kid: should I fully fund their retirement accounts, since they they have so much more time to let it grow? What's the proper time to start transferring wealth to your heirs, assuming your plan is to create generational wealth?
Is the kid responsible or will your contributions just allow him to flitter away more of his income? You have to be careful. Two brothers I knew growing up were very different. One went to college and became a medical doctor. The other brother did drugs, committed petty crimes, lived off his parents and waited for his parents to die. My mother gave $1000s to my siblings (who needed it) and they just continued to live beyond their means.
She just graduated with her Masters in a medical field, helping kids. She's a good kid, and I can easily put the $7k or whatever it is into her Roth IRA every year without materially affecting my own plans.
Maybe set up a match so your kid can start the habit themselves!
@@nebn3355 Congratulations! Sounds like she’s really squared away! I would help her with her retirement plan. Best of luck!
@@nebn3355
If you help fund a Roth IRA for her, make sure she actually qualifies for it at her income level. I had one son that quickly was over the income limit for Roth IRA contributions.
Alternate title: Financial Advisors Agree with Numerous TH-cam Videos
2:50 I'll I'm going to say... I keep buying guitars... and it makes me happy every time 😂 But anyways HUGE fan of the show!
Rob Berger is also really good. He got me to open a Roth IRA and max it out every year :)
If I had a dollar for every time Bo says "I am so EXCITED about this" at the start of a video, I wouldn't need to watch this channel. 😂
Does anybody remember when he started that? I feel like I remember a time not very long ago where he didn't say that every time, but it was enough to become a meme, and now it's kind of his catchphrase. 😂 I love it!
If I had a dollar for every nickel I invested 20 years ago...oh wait!
What is he on that he gets so excited?
2:17 Can you buy time though ? Time is money and time stops for nobody.
Yes you do if you have you have two work at same time your can pay someone to do it and do your important one
Okay everything is great. I will say your 20s will be way different than your 30s and especially 40s and 50s. So saying it will be "better" is not correct. In my 20s I played a lot of sports, danced all night when I went out, hung with a lot of great friends while in shape, very few responsibilities. And I went to college super fun. Plus I did gymnastics and was in the military. Seen so many countries. At 40 I'm athletic but it's not the same. Work a ton of hours a week. Like 75. It's much more of a consistent life. It definitely was super fun and exciting getting off the ship going to Barcelona ports, or st Martins. So don't let them fool you. You will not be able to always do the same thing you did in your 20s like your 40s. I'm 46 and invest like crazy cause I had fun In my 20s. There is a 60 year old guy i work with. Millionaire the other day in the break room he says "i don't know what I'm going to do when I retire". We both make 150k a year and a pension fund. I'm happy with my life. I pushed it to the limit early and don't regret it
I’m liking these edits 😂
Brian and Bo… PLEASE do a video on “all-in-one mortgages”. Real? Scam? Risky??
Aka… Brain‘s troll
How exactly can you buy time??
I assume by paying other people to do your chores.
Ok😮
...easy...you pay someone to do something that would have taken you time to do...
...opportunity costs...
The first scenario didn't ring true to me, although Bo and Brian said Vanguard said it happens all the time. How, in 40 years, as in this sketch, would you not ever check your 401(k) balance? If you had, you would have noticed, hopefully, that there was no change in the account balance, which would have prompted you to do some investigation. Then you could rectify the situation and actually invest your 401(k).
Yeah, I look at mine more often than I should. I just like to make sure my employer is putting the match in when they are supposed to.
I’ll stop existing the day Bo is not excited at the start of the video.
It will be a sign of the apocalypse. 😄
That "stock market getting wrecked" stuff didn't age well. 😂 I was building up some cash at the time and I ended up deploying a bit of it to buy the dip. What can I say? I just couldn't help but treat myself to a good stock sale! It's that darn consumerism, I tell you.
I won that coin toss once myself. Felt amazing but I recognize that all I did was get really lucky. Haven't been tempted to do it again.
Probably a dumb question, but if I check my 401k in Fidelity and see that it has earned interest, I am good right? It’s not like “potential interest”? I just can’t imagine going 40 years without looking at your account and seeing that no interest has accrued
What is your 401K invested in? If it’s in US government securities that only make 2% a year, then you have a major problem. If your contributions are in an aggressive S&P500 fund making an average of 10%, then you should be good to go. Now if you are 5 years from retirement, then you should consider if you need to shift some of your money to protect it after retirement.
Make sure it’s invested. You should be able to see the investment plan you selected and the allocation in stocks/bonds/ whatever you have in there.
An interest amount doesn't mean invested. That could be "cash" with guaranteed but low interest rate
I had a rollover sit in an account uninvested for a few years. At the time I didn’t understand how to invest and I eventually forgot about it (life happens). I still get mad thinking about it. I know it’s my own fault but I feel it’s criminal that a brokerage would allow that to happen and not do more to reach out to their clients.
At least BNPL loans have a short payoff term, so if you do get into trouble, you can knuckle down and get out in a shorter time. Not like racking up big crediy card bills. Best thing, of course, is to pay cash.
Wait, can someone explain how money can buy time? I didn’t catch that
It can't. Time doesn't stop it just keeps moving.
It can "buy time" in the sense that you can pay people to do things that would have taken you a lot of time to do. You pay a restaurant so you don't have to shop and make dinner etc, or you can pay a tax professional so you don't have to do your own taxes, pay a plumber so you don't have to unclog your own drains etc. Also it will buy your future self time if it means you can retire earlier
@@zackcinq-mars2129makes sense thanks!
i disagree with the traveling later is more rewarding. I think traveling while young exposes you to things that make you want more out of life, it also pushed you to want a better retirement. the issue is people who only plan to travel to party and dont learn how to travel effectively and cheaply. but this sasme thing goes with spending habits now. I think its okay for people to enjoy themselves now, obviously dont go wild and not prepare for the future but what benefit if you had a suckish life for you first 30 adult years to only be in terrible shape when you can afford that sports car or whatever it is due to the money or time now. I think when your young you have to learn how to strategically get these things. want to travel? get a travel card and get 5k worth of travel free every year. want that new car? see how you can rent it for 7 days a month to get it paid for, or find a way to monetize it or get a cashflowing asset that can cover the cost.
Can’t the 401k administrator send a notification and/or set up an alert for accounts that are not invested?
If you can afford it you can buy something and it'll make you happy
#1 actually happened to my mom
I’m trying to convince mine to allocate her rollover but she keeps putting it off
Ooh, that hurts.
At what point is Paying off a home at 4% interest rate better than investing with a 8% return when including taxes on the gains?
Are you maxing out your 401K? If not, absolutely do that before paying the mortgage down. When I retired, my taxes went down. Your expenses will probably be lower in retirement (kids out of college and gone, mortgage paid off, no suits and ties, etc). The money you use to pay off that mortgage has already been taxed (fed/state), so if you can do the 401K contributions, that’s the way to go. As for 8%. Why they use 8% instead of the average of 10%, I don’t know.
@@glasshalffull2930 because the reality is 8% not 10% 😂
@glasshalffull2930 are they using a real rate? This would reduce the rate of return for inflation (10-2=8%?)
@@jtowensbyiii6018 My reality has been 14%..
@@I.amhades The average inflation rate has been 3% for the last 100 years. Since WW2, the average rate has been 3.9%. Once again them “being conservative “ is a nice tool to estimate ‘conservatively’ where you’ll be in a few decades, but it probably won’t be accurate. A couple of percent lower over decades would change your portfolio by hundreds of thousands.
Pre-paying a low interest mortgage does NOT enhance a person’s wealth if those funds can reliably earn a higher rate of return than the interest rate on that loan. Don’t fear debt; use other people’s money to enhance your wealth when there are low risk-or even NO RISK-ways to do so.
Stuff doesn’t buy happiness? Perhaps not always. But I have bought some “stuff” that provides me with a degree of joy that is well worth the cost of this stuff. So living a miserly life devoid of the stuff that enhances the quality of life is as misguided as falling to save and invest.
TFD has had some questionable guests that were condescending. But overall i think you can find real gems from her videos
Also travel you g, it will expand your horizons and have a greater view of cultures and people. If you never traveled, traveling in your 60s might be scary and alien
❤❤❤
Most Corvettes are bought by people in their 60s because they are the ones who can afford the insurance premiums. 😄😄
For 2:40, idk about you, but buying a Model S Plaid and gapping a Lamborghini certainly brings a smile to my face
So true
What about “housing” lol
@@BostonCycling_ I personally get no satisfaction from where I live. I'm only buying a home for the equity. I have no desire to own a home, I'm just doing it because I'm "supposed to."
I’ve owned a dozen sports cars (5 of them Porsches) and much as I love them, you almost never get to take advantage of their performance - especially if you’re law-abiding. Instead get something already modified for track days (Miatas are popular) or sign up for performance driving schools and use/risk *their* cars while getting proper instruction.
💪
I love my credit cards. When my company forgot to pay me for a week (new payroll girl dropped the ball), cards meant I didn’t have to bounce anything. I’ve always paid off the cards every paycheck, so usually $0 or very low statement balances. The extra month to breathe was awesome. But these days, I pay last month’s spending with last month’s paycheck - leave a month’s worth of cash in checking.
Please don't put off traveling in your 20s though. You have the energy you won't have in your 30s or 40s. Agree with saving/ investing too in your 20s, but not at the expense of travel/experiences
I actually think it is more European to think the young people need to travel and explore the world for a year than it is American. At least in my world. I'm an American living in Poland.
Where do you get $1 beer?
Spend $18 on a 30 rack of Busch Light. Then divide the amount paid per beer. Lol idk
Yeah, I turned into a hotel snob as I got older.
Me too 😂
I feel like account services should be be forced to get your attention to invest uninvested deposits.
Thumbs up if you caught the reference to the book/movie ‘Holes’.
Bo turns his head most of the time like he has incredible neck pain.
What's the point of spending thousands to go clubbing in Ibiza when you can do the same thing back home? It's absurd.
Guys on TH-cam reviewing guys on TH-cam like they're any fucking different
Amazing video, A friend of mine referred me to a financial adviser sometime ago and we got to talking about investment and money. I started investing below the $100k mark and in the first 2 months, my portfolio was reading $234,800. Crazy right!, I decided to reinvest a huge percentage of my profit and it got more interesting.! For over a year we have been working together making consistent profit just bought my second home at the beginning of summer
What the heck? Credit these videos! Who are the initial posters? And I don't want people commenting and crediting them for you. Y'all need to tell us whose content you are sharing!
Imagine taking a loan for a hamburger.
I lost over $80k when everything started to tank. Not because I was in an exchange that went belly up. I was just stupid to hold and because that's what everyone said. I'm still responsible. It just taught me to be a better investor now that I understand more of what could go wrong. It took me over two years of being in the market, I'm really grateful I found one source to recover my money, at least $10k profits weekly. Thanks Brooke Miller.
I just withdrew my profits a week ago, To be honest it was an amazing feeling when the profits hits my wallet I wish I could reinvest but, too much bills
she's mostly on Instagrams, using the user name
FXMILLER 171 💯.. that's it
Please tell her that I reffed you 👍
She'll guide you💯
Report every comment with their name as Spam!
Really my money just siting in my 401k i thought the investments was my 401k
2:40 I nearly choked when I saw that, hilarious!
Ty video editors 🥇
Unrelated question for Bo: Where do you get your button-down collar polos? Hard to find but I need a few.
Hit 310k last week, lost over 14k today, Nvidia won't make a good run too the upside till mid October...I'm still looking for companies to make additions to my $500K portfolio, to boost performance. Here for ideas...
If you need advice on short-term investments, consider speaking with a financial advisor. They have a lot more knowledge and expertise in this area.
@@purplebliss6875 th investing on my own, but I lost a lot of money. I was able to pull out about $200k after the 2020 crash. I invested thI agree with you. I started out wie money using an analyst, and in seven months, I raked in almost $673,000
@@Andreallln i'm blown away! mind sharing more info please? i am a young adult living in Miami where i've encountered several millionaires, and my goal is to become one as well
@@dogmom-pt5we Her name is. Sharon Crump Cline. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment.
@@Andreallln I just curiously searched her up, and I have sent her an email. I hope she gets back to me soon. Thank you
Income does matter. Sorry. No one can save money when living on 12,000 a year in the US in 2024, you would be lucky not to be in a tent by the river at a homeless camp. Comparing 60,000 to 120,000 would be more appropriate and realistic.
To make 12,000 a year you’d need to be working part time like less than 20 hours per week or if you’re full time that would $5.77 per hour. Get a better job.
It was purely an example. Calm down.
You have no idea about implied context do you?
i understand your pain, but you really can do better employment wise if that is the case, if you are only working 20, your going to just have to pick up more hours, if you are working full time and your not working for yourself, your employeer must ensure you are making at least minimum wage, wich they are not, at least not in the us.
Be better.
When can we buy that Koozie? I'm a big fan and I want one!
Brian saying his name, but Bo not getting introduced is weird.
Bo knows the audience wants to make sure he’s excited
It's OK, he was still so excited to be a part of the video
Let's be honest...that first video was...not top tier content.
I think you'd be surprised how many of her followers actually need her advice. No disrespect, but the comments on her videos show they are very very new to investing.
I love you ❤️ 😊
So went to use a tool on your website once, and now I get emails every day I dont want. Already unsubscribed once, had to go back on today and do it again. It's very annoying.
Hey! Glad you got to use the tool, and appreciate the feedback. While it’s normal to get 1-2 emails per week from us once you’ve signed up or used a tool, we definitely do not send everyday! (No one wants that. Haha) We make a point to only send our best content and announcement your way via email! You can always click at the bottom of each email to update your preferences to either opt out of certain emails or unsubscribe. Hope that helps!
The New York Stock Exchange started in 1792. This is the oldest running business in America. The chances of everything imploding and going to zero is absurd
Bruh what? While it is old, it is nowhere near the oldest business still running in America.
There's literaly thousands of examples of exactly that happening 😂
The government is the oldest running business in the US.
@@jtowensbyiii6018 Name the exchange that has gone out of business? Individual businesses go under, however there are new businesses created and thriving every year. New IPO's join the exchange all then time
@@Christopher-i5j9o Bra NYSE is the oldest running business in America