One lesson I've learned from millionaires is to always put your money to work, no matter how small. Even investing $100 per month can compound to tremendous wealth over decades. The key is to keep going!
I believe every Investor should start with ETFs for a solid foundation, then diversify across asset classes and maintain disciplined, regular investing to minimize risks and maximize growth.
You don't need to find the next NVDA to succeed in investing. Just choose top-notch ETFs and partner with a financial advisor like I did. I turned $90k into $54,000 in annual dividends-a significant milestone for me today.
It's sad how difficult things have become in this recessive economy. I was wondering how to utilize some money I had. I used some of it for e-commerce business, but that sank. I'm thinking of how to protect my $150K-worth stock portfolio from decline, but haven't figured which way to go.
Very difficult indeed, but when the going gets tough, the tough gets going. You have to learn and handle finances properly. you should hire a CFP to help you diversify your assets to include ETFs/index funds/mutual funds and stocks of companies with consistent cash flows. Don't go for penny stocks.
Opting for a brokerage Adviser is currently the optimal approach for navigating the market, particularly for those nearing retirement. I've been consulting with a coach for a while, and my portfolio has surged by 300% since 2022
Transfer of wealth usually occur during market crash, so the more stocks drop, the more I buy, in the meanwhile I'm just focused on making better investments and earning more as recession fear increases, apparently there are strategies to 3x gains in this present market cos I read of someone that pulled a profit of $350k within 6months, and it would really help if you could make a video covering these strategies.
That's awesome! Diversifying your 350K portfolio with the help of an investment coach has really paid off. Making over $730k in net profit from high dividend yield stocks, ETFs, and bonds is quite impressive. Your investment strategy seems to be working wonders for you!
When ‘Carol Vivian Constable’ is trading, there's no nonsense and no excuses. She wins the trade and you win. Take the loss, I promise she'll take one with you.
My main worry is how to increase my $240k reserve, which has been sitting idle for a very long time with little to no profits. I understand the long-term strategy, but my savings are being eaten up by inflation, and my portfolio is losing value every day. I need to find a solution.
You must establish your own procedure, control risk, and adhere to the plan through thick and thin while also financial advisors have a lot more knowledge and expertise in this area and getting better because nobody knows anything.
The issue is most people have the "I want to do it myself mentality" but not equipped enough for a crash, hence get burnt, no offense. In general, Financial Consultants are ideal reps for investing jobs, and at firsthand encounter, since Jan.2020, amidst covid outbreak, my portfolio has yielded massively in ROI, summing up to 7-figures as of today.
I'm intrigued by this. I've searched for financial advisors online but it's kind of hard to get in touch with one. Okay if I ask you for a recommendation?
Amber Michelle Smith has always been on the top of my list..She is regarded as a genius in her area and well knowledgeable about financial markets. I highly recommend you look her up if you want excellent collaboration.
Newbies need to learn the ropes, know how much risk they can handle and diversify their portfolio. Some folks get help from money experts or do their homework before making investment moves. It's all about being smart with your funds.
Nobody knows anything; You need to create your own process, manage risk, and stick to the plan, through thick or thin, While also continuously learning from mistakes and improving.
Uncertainty... it took me 5 years to stop trying to predict what bout to happen in market based on charts studying, cause you never know. not having a mentor cost me 5 years of pain I learn to go we’re the market is wanting to go and keep it simple with discipline.
My CFA ’Annette Christine Conte’ , a renowned figure in her line of work. I recommend researching her credentials further. She has many years of experience and is a valuable resource for anyone looking to navigate the financial market.
I will be forever grateful to you, you changed my entire life and I will continue to preach on your behalf for the whole world to hear you saved me from huge financial debt with just a small investment, thank you Charlotte Miller.
She is my family's personal broker and also a personal broker in many families I'm United States, she's a licensed broker and a FINRA AGENT in United states
I'm surprised that you just mentioned and recommended Charlotte Miller, I met her at a conference in 2018 and we have been working together ever since.
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
You are right. Dining out is a 'WANT', not a need. I occasionally dine out and I pay 12% taxes and 18% tips, so if I eat a bowl of ramen for $20 then I will be paying $27. That is so so not worth it.
Here in Europe we only tip if we liked the extra(!) nice atmosphere or service or waiter or whatever. So, we only tip when things went or were better then expected. In June I went with a friend to an Italian restaurant on walking distance ofcourse and celebrated that we are good friends for 30 years. The bill was about €150 but because the real Italian shop owner did his best to arrange a table and made the evening very okay to us, we tipped €10. Nobody has to tip here. The waiters and cooks already have a good salary.
Managing money is different from accumulating wealth, and the lack of investment education in schools may explain why people struggle to maintain their financial gains. The examples you provided are relevant, and I personally benefited from the market crisis, as I embrace challenging times while others tend to avoid them. Well, at least my advisor does too, jokingly.
Investors should exercise caution with their exposure and exercise caution when considering new investments, particularly during periods of inflation. It is advisable to seek guidance from a professional or trusted advisor in order to navigate this recession and achieve potential high yields.
This is superb! Information, as a noob it gets quite difficult to handle all of this and staying informed is a major cause, how do you go about this are you a pro investor?
Due to my demanding job, I lack the time to thoroughly assess my investments and analyze individual stocks. Consequently, for the past seven years, I have enlisted the services of a fiduciary who actively manages my portfolio to adapt to the current market conditions. This strategy has allowed me to navigate the financial landscape successfully, making informed decisions on when to buy and sell. Perhaps you should consider a similar approach.
Is there any chance you could recommend who you work with? I've wanted to make this switch for a very long time now, but I've been very hesitant about. I'll appreciate any recommendation.
Finding financial advisors like Melissa Terri Swayne who can assist you shape your portfolio would be a very creative option. There will be difficult times ahead, and prudent personal money management will be essential to navigating them.
If you're an employee of a large enough company (one that offers a 401k), you can easily automate at least a 6% savings investment right away. Typically they'll offer a match, which makes it a no-brainer. The sooner you can make this the default, the better. I started increasing it by just one percent each year, and I'm now at 17% of my income invested into my 401(k) and I don't feel the "hit" at all because it's been steadily increasing over the years. I would say I started late, I just turned 39, but it's comforting to know that in 8 years I'll be saving a full 25% of my earned income, tax-free, and those returns will be tax-free.
A big problem people have with budgeting their "needs" vs their "wants" is how they handle food. Eating out or buying prepared foods is a significant way to blow up your budget if you are lower income. I got in the habit of separating "groceries" from "entertainment" and putting any prepared foods including from the grocery store in the entertainment category and my habits changes very quickly.
I do 40/20/40. 40 needs, 20 wants, 40 invested/cash savings. I am single, I live in a 1 bedroom in a Midwest suburb. My apartment is the perfect size, I cook at home and meal prep with rice or pasta, veggies plus a fish or chick (beef tacos occasionally), and once a month I might order pizza. With a small apartment my heating and cooling is low. I have a paid for car I try to keep in the best condition (15 years so far.) I put a lot into saving and investments because I am 46 and I want to pack in as much as I can now so it can compound and reach financial independents by 60 and at that point I can choose to stay at my current jobs (if I am still here) or I can try something new without the financial worry. I'm also a homebody so If I do spend it is on my hobbies; gaming, drawing, playing guitar. I can see this switching to 60/30/10 as I get closer to 60.
To keep things simple, my spouse and I simply follow the 4% rule. Save enough money so that, when you retire, 4% of your entire savings will cover your living expenses. For instance, if you have $1 million, you can take out $40k annually (with most investments paying dividends of roughly half that amount). It's a straightforward guideline, and we only calculate what we save for ourselves-we don't bother figuring out things like Social Security. If we require that, we view it as "extra" rather than absolutely necessary.
i’ve been retired for 7 plus years and my wife has been retired for 5 plus years. So far we haven't used any of our $2.2m retirment money. We are having no problems living on just our SS. Being debt free is what makes that happen.
51 years old. I have $295k in my Fidelity retirement account. I cranked my contributions up to 35%. Fidelity just holds my ETFs/stocks. I made that change earlier this year. I'm hoping to end the rat race by 60 but it's looking more like 63-ish. I want to have $1.5M and bring in about $60k in dividends each year. Pedal to the floor! Thanks for the video. Great content.
Find financial advisors like Becky Lou Gordon who can assist you. There will be difficult times ahead, and prudent personal money management will be essential to navigating them.
@@Elestar60 I agree, but people also don't make the best choices by debt. I firmly believe not having debt (minus my small mortgage) has helped me greatly. It took 6-7 years of sacrifice to get to where I am today.
I just switched up my Roth IRA to 50% SCHD, 25% SCHX, 25% SCHG, and my Roth 401k is 70% vanguard S&P 500 index, 20% vanguard growth index, and 10% vanguard international index. Seeking best possible ways to grow $350k into $1m+ before retirement, I'm 55.
Those sound like great picks! consider financial advisory so you don’t keep switching it up, top 3 payers for the month were $OHI, $KMI, and $EDP... not bad for 350k
You have a very valid point, I started investing on my own and for a long time, the market was really ripping me off. I decided to hire a CFA, even though I was skeptical at first, and I beat the market by more than 14.3%. I thought it was a fluke until it happened two years in a row, and so I’ve been sticking to investing via an advisor.
I'm intrigued by this. I've searched for financial advisers online but it's kind of hard to get in touch with one. Okay if I ask you for a recommendation?
I've experimented with a few over the past years, but I've stuck with ‘’Aileen Gertrude Tippy” for about five years now, and her performance has been consistently impressive. She’s quite known in her field, look her up.
We are doing much of this! Have Rental Houses for our Fixed Income portion! Wife’s 401K is in the S&P500! (We have been doing ROTH for a number of years! Also been Maxing out Contributions roof a while now!
Investing 10% of your income will get you nowhere unless you have 40 years ahead of you. My ratio is 40% needs, 10% wants and 50% saving and investing. With a more aggressive investing strategy, I'll quickly increase my income and will slowly lower the ratio as I see fit.
10% is too low, at least by Asian Americans standards. My parents saved 50%. My wife and I, with 3 kids, still save 30%. There are plenty of ways to save more. Before you get married, split a 3 or 4 bedroom apartment with 3 friends (you know, like during college). Marry someone frugal, then all the sudden you have 2x incomes and only about 1.2x the cost.
So frustrating that every time I come to your comment section it is (for me at least) basically only the spam bots peddling scam investors. Love your work Humphrey!
Tightened my belt as far as I can where I spend about 75% on needs 10% on discretionary entertainment 15% on investment and savings. Family of 7 single income.
Every time your income goes up, you should be buying more dividend paying whole life insurance. Funding your own banking system, and controling the baking funtion in your life is more important than investing.
I'm still doing: -W, 20% -I, 30% -N, 50% But I'm definitely feeling the burn this year as my responsibilities grow. I might end up adopting 60/30/10 in the near future.
Rules like 50/30/20 are a bit, too simple: iMo needs are needs. You can’t reduce them. Income is a multi-year project, so can’t be manipulated much assuming you work full time at the edge of your earning capabilities. So it’s basically savings vs discretionary spending. You set a savings goal, then try to keep your spending under control.
Currently doing 60-15-25 as a 22 y/o making 50k… however I am about to start aggressively paying off my car loan to free up more money in the long term for saving/investing. Also just graduated college so hoping to secure a higher paying job with benefits soon.
Well im glad im not alone in really struggling to get my expenses down to 50%. Currently at 68% on a lower income but always strategizing to get it lower. My savings wont go below 20%. Most months its around 25%. You wont catch me broke at retirement.
I find it crazy to add credit card debt to "NEEDS". Credit card debt is most likely from over spending in the "WANTS"! only issue in the 50/30/20 is debt.... Instead of 60/30/10, you should go over the 50/50/0 rule. 50% TO NEEDS, 50% TO DEBT, 0% FUN...
Another great video. Interesting to see how much inflation has changed the way we live our daily lives. Also, is it cold in San Francisco? Hoodie in July? 😂. Looking forward to the next video Humphrey.
The 10% very much reminds me of the book I read decades ago called The Wealthy Barber by David Chilton. Give it read if you haven't. Some decent wisdom contained within.
hi Humphrey I love all your videos and have found your channel soo helpful over the last few months since I found you! I don't know if this is a dumb request because I'm still fairly young-ish but I've been trying to figure out what disbursement of funds in retirement would potentially look like for me. Would it ever be possible for you to do a video on what actual retirement looks like? Like for example, how do you go about actually withdrawing that magical 4% from your retirement accounts? How does it all work and then how would taxes look in retirement for the average person? Then also, what would happen if the stock market crashes right when you retire, would you just keep working until it levels out again or what would you suggest would be the best move here? I know you don't have any magical info but wondering if you could provide at least best use cases or conventional wisdom tips here. Thank you for all you do! Keep up the good work on here!!
I would love if you did a video accounting for people who like to donate to charity. I personally donate 12.5% of my gross income. It would be interesting to explore what it's like to target retirement based on that, and also how to calculate what to give based on your retirement earnings.
Would you mind doing a video talking about trad 401k vs Roth 401k and when to do which? Thanks. It's one of those things that nobody really discusses in great detail and I'd appreciate your take.
Check out the Money guy show they have discussed this. Generally if you are expecting to be in a higher tax bracket than you are now in retirement then Roth is more favorable as you are paying less taxes. Don’t take my advice as I am some guy on internet check money guy show out
The short answer is it’s a guess of whether your marginal tax bracket in retirement will be higher/lower than your marginal tax bracket today. If it’s the same, there’s no difference* *caveat that using Roth allows you to contribute more because the limit is applied to the post-tax amount and is the same as the trad pre-tax limit
@@TheElsMan thanks but I already know the short, basic answer, and honestly it is not really a helpful one since nobody knows what the tax rate will be in the future, near or far.
@@notNaB2024You should have a general idea of wether your salary will increase over the next 5-10 years. If you are young, a Roth is almost always better. Particularly if you are an effective saver
@@notNaB2024 🤷🏻♂️ yeah it’s true. And Humphrey doesn’t either. I just try to take advantage of the extra contribution ability of Roth and let my employer match (which is always traditional) balance it out a bit.
I live now with 50/20/30 I am also doing a lot of side hustles what I use to pay of my student debt. Also that 50% is also including double the minimum payment for my loan. Finally my salary will go significantly at the end of this month I will use that money to save for now so I can just buy a second hand car without a monthly payment
Using 8% rate of return, but not consider inflation doesn't work. Either you reduce the rate of return by inflation or you need to adjust the 4% target with inflation. So 10% saving will not get you to your FI number in your example.
As an investment enthusiast, I often wonder how top level investors are able to become millionaires off investing. I do have a significant amount of capital that is required to start up but I have no idea what strategies and direction I need to approach to help me make decent returns
Proper research, good analysis and luck is what you need to make profit in this constant market decline. It's all about finding the right moment to take advantage of and generate colossal profit, which is why you need to do your research
Even with the right technique and assets some investors would still make more than others, as an investor, you should’ve known that by now, nothing beats experience and that’s final, personally I had to reach out to a market analyst for guidance which is how I was able to grow my account close to a million, withdraw my profit right before the correction and now I’m buying again.
How can I participate in this? I sincerely aspire to establish a secure financial future and am eager to participate. Who is the driving force behind your success?
Monica Shawn Marti is the licensed advisor I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment
Thank you for saving me hours of back and forth investigation into the markets. I simply copied and pasted her full name into my browser, and her website came up first in search results. She looks flawless.
It would be great to see how inflation is considered in the compound growth calculations. Sadly I can't see $30k p.a. being sufficient in 2057 when I retire, so the 4% p.a. draw down from the $1.3m wouldn't be sufficient. How do we address this critical assumption?
I'm saving about 55% of my take home pay. I paid off my student loans last September and I'm getting married in November. Hoping to buy a house next year. The 55% savings are going into a Roth 401k and house savings. I feel like I should be investing at least a little outside the company Roth. Thoughts?
Gym is definitely not a need. You can easily get a great workout at home with some used dumbbells, a barbell, push up bars, and calisthenics. I used to go to the gym but now I do everything at home so I have no excuses to skip any days. It’s about effort not equipment.
I think I'm going to squeeze my wants budget and try and stick to 20% of gross income to savings because it's of those 20% that I'm rebuilding my emergency fund. However, taking 60% of after tax income towards needs sounds about right so I'll just take whats left towards the wants. The last couple of months have been tough because at the same time I had to pay my "new" car (no car loans for me thank you), some unexpected house repairs had to be made and the music studio also had some gear brake down but starting August I just MUST get back on track.
What about accounting for inflation when we retire? With a small inflation rate of 2% $10k of today's money would have the The spending power of around $15k 20 years from now. I've watched a lot of your videos and haven't seen any income adjustment for inflation. I'd love to hear your insight on how we can attempt to account for this as we get older.
I was thinking the same. I usually calculate my retirement income with the 4% rule and then divide by 2 due to inflation and that gives me a more realistic number I think. But I also have 35 years before retirement so I’m sure there is a better equation that takes years before retirement into account
Hey, small question. I stuff a bit of money away every month to the side so I can buy "medium" purchases like a new Phone, Holidays, Gifts, and so on.... Does that qualify as "Saving" or does that belong to the "Wants" category? It is spend at the end for stuff i WANT but in theory i SAVE it of a later date to buy things I want/need so I don't have to use credit or something like that. Thanks for the explenation and keep up your great work. Really enjoy your content and the way you describe this stuff, even tho it's a little different in Switzerland, it gives a good understanding about the whole stuff.
Key issue with this rule, you did not put aside saving for car, repairs of your home, or emergency fund. that 10% is built as just a pure investing concept. Cause if you were to save 10% 50k its 5k , that will take you about 3 years of pure saving (no investing , to buy a decent car these days).
All of those things you described are needs not wants. I think the 10% specifically refers to retirement savings. One thing he didn’t consider was inflation, if inflation is the same over the next 40 years as the last 40 years, each dollar in that retirement account will have 1/3 the value of a dollar today
Personally I think savings should be equal to wants. Most of the things we "want" only make us happy for a few hours, maybe a few days at most. But higher savings and investments, allow you to do more things sporadically throughout the year especially in the future so you don't have to work yourself to death. I'd rather be working a job allows me to do what I love on a regular basis and maybe pays a little bit less, then a job that makes more, but miserable for 40 years working just to maybe enjoy my retirement for 10 to 15 years. That's why I try to live a bit smarter and frugally now saving and investing, so I can enjoy life while I still have the time and energy.
Lets get one thing straight. Eating out. No matter where. Is and always has been a luxury. And we really should still stick to the 50/30/20 rule. Its not dead. San Francisco & ny have never been affordable. If it needs to change then 60/20/20 or 60/25/15.
A reason 50/30/20 is difficult to achieve is because a lot of people put their cars as a „need“. Put that in your wants category and you‘re much more likely to hit the buckets. You will of course have a lot less to spend in your wants, but as soon as you think of it like that you’ll be a lot more motivated to to downgrade your vehicle to something that makes sense for your budget. I’m not saying you shouldn’t drive a car, but realise, transportation is a need, a 2021 Lexus (or your equivalent) is a want.
Better not to pay rent in retirement. Better to own a home. Not necessarily rent free but property taxes even at 12k a year is only 1k per month. House insurance even at an outrageous 5k per year would only be $600 per month. Watch the HOA fees too.
30% is too much wants. I think 15% should be wants and 15% savings and 10% investing. Once you have your 6 months of expenses you can do 20% savings and 20% investing.
Hello?! 10% saving is for dummies and beginners. it shouldn't be called savings, it's just like leftovers for ordinary people if you are not broke or in unhealthy debt.
What you contribute to the 401k counts toward the 10%. Don’t include the match. If your employer matches 5%, then you should contribute 10%, employer contributes 5%, for a total of 15%. I only say this because 10% is too low. If you follow The Money Guy’s 25% rule and you make less than $100k, then you can include the match
Welcome to this new video! Check out my newsletter, free to signup ➭ humpdays.substack.com
One lesson I've learned from millionaires is to always put your money to work, no matter how small. Even investing $100 per month can compound to tremendous wealth over decades. The key is to keep going!
I believe every Investor should start with ETFs for a solid foundation, then diversify across asset classes and maintain disciplined, regular investing to minimize risks and maximize growth.
You don't need to find the next NVDA to succeed in investing. Just choose top-notch ETFs and partner with a financial advisor like I did. I turned $90k into $54,000 in annual dividends-a significant milestone for me today.
How can I consult your advisor? Looking to get some help on retirement planning and portfolio management.
"Jessica Lee Horst" is the licensed advisor I use. Just research the name. You’ll find necessary details to work with to set up an appointment.
Thank you for the recommendation. I'll send her an email and I hope I'm able to connect with her.
It's sad how difficult things have become in this recessive economy. I was wondering how to utilize some money I had. I used some of it for e-commerce business, but that sank. I'm thinking of how to protect my $150K-worth stock portfolio from decline, but haven't figured which way to go.
Very difficult indeed, but when the going gets tough, the tough gets going. You have to learn and handle finances properly. you should hire a CFP to help you diversify your assets to include ETFs/index funds/mutual funds and stocks of companies with consistent cash flows. Don't go for penny stocks.
Opting for a brokerage Adviser is currently the optimal approach for navigating the market, particularly for those nearing retirement. I've been consulting with a coach for a while, and my portfolio has surged by 300% since 2022
I could really use the expertise of this advsors.
KATHLEEN CHERYL CONSTANTZ is a hot topic even among the finance elite in America. She's just a search away(on the net)
Watched Kathleen Constantz on Bloomberg finance summit 4 years ago and her presentation was impressive!
Transfer of wealth usually occur during market crash, so the more stocks drop, the more I buy, in the meanwhile I'm just focused on making better investments and earning more as recession fear increases, apparently there are strategies to 3x gains in this present market cos I read of someone that pulled a profit of $350k within 6months, and it would really help if you could make a video covering these strategies.
That's awesome! Diversifying your 350K portfolio with the help of an investment coach has really paid off. Making over $730k in net profit from high dividend yield stocks, ETFs, and bonds is quite impressive. Your investment strategy seems to be working wonders for you!
I just started a few months back, I'm going for long term, I'm still trying to wrap my head around it, who’s this advisor you work with?
When ‘Carol Vivian Constable’ is trading, there's no nonsense and no excuses. She wins the trade and you win. Take the loss, I promise she'll take one with you.
She appears to be well-educated and well-read. I ran an online search on her name and came across her website; thank you for sharing.
Email me. I can help you maximize growth
Clearly Kardden was a right choice. Hope to learn more from you this is pure knowledge
Scam don’t buy it guys
My main worry is how to increase my $240k reserve, which has been sitting idle for a very long time with little to no profits. I understand the long-term strategy, but my savings are being eaten up by inflation, and my portfolio is losing value every day. I need to find a solution.
You must establish your own procedure, control risk, and adhere to the plan through thick and thin while also financial advisors have a lot more knowledge and expertise in this area and getting better because nobody knows anything.
The issue is most people have the "I want to do it myself mentality" but not equipped enough for a crash, hence get burnt, no offense. In general, Financial Consultants are ideal reps for investing jobs, and at firsthand encounter, since Jan.2020, amidst covid outbreak, my portfolio has yielded massively in ROI, summing up to 7-figures as of today.
I'm intrigued by this. I've searched for financial advisors online but it's kind of hard to get in touch with one. Okay if I ask you for a recommendation?
Amber Michelle Smith has always been on the top of my list..She is regarded as a genius in her area and well knowledgeable about financial markets. I highly recommend you look her up if you want excellent collaboration.
Thank you for the lead. I searched her up, and I have sent her an email. I hope she gets back to me soon.
Newbies need to learn the ropes, know how much risk they can handle and diversify their portfolio. Some folks get help from money experts or do their homework before making investment moves. It's all about being smart with your funds.
Nobody knows anything; You need to create your own process, manage risk, and stick to the plan, through thick or thin, While also continuously learning from mistakes and improving.
Uncertainty... it took me 5 years to stop trying to predict what bout to happen in market based on charts studying, cause you never know. not having a mentor cost me 5 years of pain I learn to go we’re the market is wanting to go and keep it simple with discipline.
Could you kindly elaborate on the advisor's background and qualifications?
My CFA ’Annette Christine Conte’ , a renowned figure in her line of work. I recommend researching her credentials further. She has many years of experience and is a valuable resource for anyone looking to navigate the financial market.
Just ran an online search on her name and came across her websiite; pretty well educated. thank you for sharing.
Mine is 30-5-65. Wife and I are very frugal and still drive around our beater 15 year old Honda and Subaru.
I have the same split. Also driving an 18 year old Camry :D
How old are you guys?
Actually mine is the same too and I have the same civic hybrid I bought new in '08...
Starting to see a trend here lol
Nice! Mine is 30/70 - there is no want
I envy you lol.
All guys stacking Kardden Token before next bull are smart apes for sure
I think 60/20/20 makes more sense. If you want to afford more wants, find a way to increase your income
Totally agree
This is what I do. it’s been working for a couple months after doing 50/30/20 for a couple years
Or at least 60/25/15
The Kardden KRN will overtake doge and SHIB so easy
Spam
Scam guys don’t buy
I will be forever grateful to you, you changed my entire life and I will continue to preach on your behalf for the whole world to hear you saved me from huge financial debt with just a small investment, thank you Charlotte Miller.
She is my family's personal broker and also a personal broker in many families I'm United States, she's a licensed broker and a FINRA AGENT in United states
The very first time we tried, we invested $1000 and after a week, we received $5500. That really helped us a lot to pay up our bills.
I'm surprised that you just mentioned and recommended Charlotte Miller, I met her at a conference in 2018 and we have been working together ever since.
I'm new at this, please how can I reach her?
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
You are right. Dining out is a 'WANT', not a need. I occasionally dine out and I pay 12% taxes and 18% tips, so if I eat a bowl of ramen for $20 then I will be paying $27. That is so so not worth it.
Here in Europe we only tip if we liked the extra(!) nice atmosphere or service or waiter or whatever. So, we only tip when things went or were better then expected. In June I went with a friend to an Italian restaurant on walking distance ofcourse and celebrated that we are good friends for 30 years. The bill was about €150 but because the real Italian shop owner did his best to arrange a table and made the evening very okay to us, we tipped €10. Nobody has to tip here. The waiters and cooks already have a good salary.
Managing money is different from accumulating wealth, and the lack of investment education in schools may explain why people struggle to maintain their financial gains. The examples you provided are relevant, and I personally benefited from the market crisis, as I embrace challenging times while others tend to avoid them. Well, at least my advisor does too, jokingly.
Investors should exercise caution with their exposure and exercise caution when considering new investments, particularly during periods of inflation. It is advisable to seek guidance from a professional or trusted advisor in order to navigate this recession and achieve potential high yields.
This is superb! Information, as a noob it gets quite difficult to handle all of this and staying informed is a major cause, how do you go about this are you a pro investor?
Due to my demanding job, I lack the time to thoroughly assess my investments and analyze individual stocks. Consequently, for the past seven years, I have enlisted the services of a fiduciary who actively manages my portfolio to adapt to the current market conditions. This strategy has allowed me to navigate the financial landscape successfully, making informed decisions on when to buy and sell. Perhaps you should consider a similar approach.
Is there any chance you could recommend who you work with? I've wanted to make this switch for a very long time now, but I've been very hesitant about. I'll appreciate any recommendation.
Finding financial advisors like Melissa Terri Swayne who can assist you shape your portfolio would be a very creative option. There will be difficult times ahead, and prudent personal money management will be essential to navigating them.
If you're an employee of a large enough company (one that offers a 401k), you can easily automate at least a 6% savings investment right away. Typically they'll offer a match, which makes it a no-brainer. The sooner you can make this the default, the better. I started increasing it by just one percent each year, and I'm now at 17% of my income invested into my 401(k) and I don't feel the "hit" at all because it's been steadily increasing over the years. I would say I started late, I just turned 39, but it's comforting to know that in 8 years I'll be saving a full 25% of my earned income, tax-free, and those returns will be tax-free.
How much have you saved in your 401k so far? Are you at max yet?
@realitywhatsthat how are your returns tax free if you're contributing pre-tax?
A big problem people have with budgeting their "needs" vs their "wants" is how they handle food. Eating out or buying prepared foods is a significant way to blow up your budget if you are lower income. I got in the habit of separating "groceries" from "entertainment" and putting any prepared foods including from the grocery store in the entertainment category and my habits changes very quickly.
I do 40/20/40. 40 needs, 20 wants, 40 invested/cash savings. I am single, I live in a 1 bedroom in a Midwest suburb. My apartment is the perfect size, I cook at home and meal prep with rice or pasta, veggies plus a fish or chick (beef tacos occasionally), and once a month I might order pizza. With a small apartment my heating and cooling is low. I have a paid for car I try to keep in the best condition (15 years so far.) I put a lot into saving and investments because I am 46 and I want to pack in as much as I can now so it can compound and reach financial independents by 60 and at that point I can choose to stay at my current jobs (if I am still here) or I can try something new without the financial worry. I'm also a homebody so If I do spend it is on my hobbies; gaming, drawing, playing guitar. I can see this switching to 60/30/10 as I get closer to 60.
To keep things simple, my spouse and I simply follow the 4% rule. Save enough money so that, when you retire, 4% of your entire savings will cover your living expenses. For instance, if you have $1 million, you can take out $40k annually (with most investments paying dividends of roughly half that amount).
It's a straightforward guideline, and we only calculate what we save for ourselves-we don't bother figuring out things like Social Security. If we require that, we view it as "extra" rather than absolutely necessary.
i’ve been retired for 7 plus years and my wife has been retired for 5 plus years. So far we haven't used any of our $2.2m retirment money. We are having no problems living on just our SS. Being debt free is what makes that happen.
51 years old. I have $295k in my Fidelity retirement account. I cranked my contributions up to 35%. Fidelity just holds my ETFs/stocks. I made that change earlier this year. I'm hoping to end the rat race by 60 but it's looking more like 63-ish. I want to have $1.5M and bring in about $60k in dividends each year. Pedal to the floor! Thanks for the video. Great content.
That is amazing!The consultants' expertise would be greatly appreciated.
Find financial advisors like Becky Lou Gordon who can assist you. There will be difficult times ahead, and prudent personal money management will be essential to navigating them.
Looked up her name and her website popped up immediately, interesting stuff so far, about to schedule a session with her.
34 currently living a 35% (Needs) 15% (Wants) and 50% (Savings/Investing), six figure income no kids not married FI/RE by 38-40.
Curious what your split is for savings/investing out of the 50%?
@@ftr911drvr Currently 40% investments split between TSP (401K), Roth IRA and Taxable Brokerage. The 10% goes towards HYSA.
Nice flex but this doesn’t represent the population at all
@@Elestar60 I agree, but people also don't make the best choices by debt. I firmly believe not having debt (minus my small mortgage) has helped me greatly. It took 6-7 years of sacrifice to get to where I am today.
Killing it!
I just switched up my Roth IRA to 50% SCHD, 25% SCHX, 25% SCHG, and my Roth 401k is 70% vanguard S&P 500 index, 20% vanguard growth index, and 10% vanguard international index. Seeking best possible ways to grow $350k into $1m+ before retirement, I'm 55.
Those sound like great picks! consider financial advisory so you don’t keep switching it up, top 3 payers for the month were $OHI, $KMI, and $EDP... not bad for 350k
You have a very valid point, I started investing on my own and for a long time, the market was really ripping me off. I decided to hire a CFA, even though I was skeptical at first, and I beat the market by more than 14.3%. I thought it was a fluke until it happened two years in a row, and so I’ve been sticking to investing via an advisor.
I'm intrigued by this. I've searched for financial advisers online but it's kind of hard to get in touch with one. Okay if I ask you for a recommendation?
I've experimented with a few over the past years, but I've stuck with ‘’Aileen Gertrude Tippy” for about five years now, and her performance has been consistently impressive. She’s quite known in her field, look her up.
Thanks a lot for this suggestion. I needed this myself, I looked her up, and I have sent her an email. I hope she gets back to me soon.
We are doing much of this!
Have Rental Houses for our Fixed Income portion!
Wife’s 401K is in the S&P500!
(We have been doing ROTH for a number of years!
Also been Maxing out Contributions roof a while now!
Investing 10% of your income will get you nowhere unless you have 40 years ahead of you. My ratio is 40% needs, 10% wants and 50% saving and investing. With a more aggressive investing strategy, I'll quickly increase my income and will slowly lower the ratio as I see fit.
10% is too low, at least by Asian Americans standards. My parents saved 50%. My wife and I, with 3 kids, still save 30%. There are plenty of ways to save more. Before you get married, split a 3 or 4 bedroom apartment with 3 friends (you know, like during college). Marry someone frugal, then all the sudden you have 2x incomes and only about 1.2x the cost.
@@xiphoid2011 does the 30% savings include investments?
I am retiring at 45. Managing your money the right way will help you reach your goals so fast.
the most fair approach and yet the ultimate king of meme is Kardden
So frustrating that every time I come to your comment section it is (for me at least) basically only the spam bots peddling scam investors. Love your work Humphrey!
I use the 30/5/65 rule, 30% needs, 5% wants, and 65% savings/investment. As an Asian, this is pretty common. 😅😅😅😅
This is torture
50 saving/investing, 30 needs, 20 wants
Tightened my belt as far as I can where I spend about 75% on needs 10% on discretionary entertainment 15% on investment and savings. Family of 7 single income.
Every time your income goes up, you should be buying more dividend paying whole life insurance. Funding your own banking system, and controling the baking funtion in your life is more important than investing.
I'm still doing:
-W, 20%
-I, 30%
-N, 50%
But I'm definitely feeling the burn this year as my responsibilities grow. I might end up adopting 60/30/10 in the near future.
I recommend you dont. You will be in better shape sticking to 50 30 20. Cut wants if you have too
For me it's 50/15/35. 3k net income, but life is cheap where I live and I don't have a car.
Podcast and get on Spotify. Would love to listen to this on there. Usually don't have time to watch a CZcams video.
Rules like 50/30/20 are a bit, too simple:
iMo needs are needs. You can’t reduce them.
Income is a multi-year project, so can’t be manipulated much assuming you work full time at the edge of your earning capabilities.
So it’s basically savings vs discretionary spending. You set a savings goal, then try to keep your spending under control.
This was a really well laid out roadmap.
Currently doing 60-15-25 as a 22 y/o making 50k… however I am about to start aggressively paying off my car loan to free up more money in the long term for saving/investing. Also just graduated college so hoping to secure a higher paying job with benefits soon.
Well im glad im not alone in really struggling to get my expenses down to 50%. Currently at 68% on a lower income but always strategizing to get it lower. My savings wont go below 20%. Most months its around 25%.
You wont catch me broke at retirement.
I grew up poor, so wants, I'm used to window shopping and only get a want if it seriously works into being a need, so I do more of a 60/20/20...
Kardden movement begins and everyone is like acting crazy. Let's bring it up!
I use 80/20 rule. 80% in money market at 5% and 20% in leveraged option plays.
I find it crazy to add credit card debt to "NEEDS". Credit card debt is most likely from over spending in the "WANTS"! only issue in the 50/30/20 is debt.... Instead of 60/30/10, you should go over the 50/50/0 rule. 50% TO NEEDS, 50% TO DEBT, 0% FUN...
Another great video. Interesting to see how much inflation has changed the way we live our daily lives. Also, is it cold in San Francisco? Hoodie in July? 😂.
Looking forward to the next video Humphrey.
Remember, you are not a tree - you can move.
Actually both you can move just have to be fine with uprooting
Sometimes for medical reasons you're stuck in a hcol area
The 10% very much reminds me of the book I read decades ago called The Wealthy Barber by David Chilton. Give it read if you haven't. Some decent wisdom contained within.
Great content, Hump. 👍🇺🇸
hi Humphrey I love all your videos and have found your channel soo helpful over the last few months since I found you! I don't know if this is a dumb request because I'm still fairly young-ish but I've been trying to figure out what disbursement of funds in retirement would potentially look like for me. Would it ever be possible for you to do a video on what actual retirement looks like? Like for example, how do you go about actually withdrawing that magical 4% from your retirement accounts? How does it all work and then how would taxes look in retirement for the average person? Then also, what would happen if the stock market crashes right when you retire, would you just keep working until it levels out again or what would you suggest would be the best move here? I know you don't have any magical info but wondering if you could provide at least best use cases or conventional wisdom tips here. Thank you for all you do! Keep up the good work on here!!
Great information, thank you!
I appreciate you mentioning countries other than the US
I would love if you did a video accounting for people who like to donate to charity. I personally donate 12.5% of my gross income. It would be interesting to explore what it's like to target retirement based on that, and also how to calculate what to give based on your retirement earnings.
Humphrey Gosling LOL I cant stop laughing :)
Would you mind doing a video talking about trad 401k vs Roth 401k and when to do which? Thanks. It's one of those things that nobody really discusses in great detail and I'd appreciate your take.
Check out the Money guy show they have discussed this. Generally if you are expecting to be in a higher tax bracket than you are now in retirement then Roth is more favorable as you are paying less taxes. Don’t take my advice as I am some guy on internet check money guy show out
The short answer is it’s a guess of whether your marginal tax bracket in retirement will be higher/lower than your marginal tax bracket today. If it’s the same, there’s no difference*
*caveat that using Roth allows you to contribute more because the limit is applied to the post-tax amount and is the same as the trad pre-tax limit
@@TheElsMan thanks but I already know the short, basic answer, and honestly it is not really a helpful one since nobody knows what the tax rate will be in the future, near or far.
@@notNaB2024You should have a general idea of wether your salary will increase over the next 5-10 years. If you are young, a Roth is almost always better. Particularly if you are an effective saver
@@notNaB2024 🤷🏻♂️ yeah it’s true. And Humphrey doesn’t either. I just try to take advantage of the extra contribution ability of Roth and let my employer match (which is always traditional) balance it out a bit.
I always thought it was 20% of gross. This is reassuring as I save around 15% gross or 30% of net.
This only applies to billionaires.
The rest of us struggle for daily needs. Thanks jb.
I got lucky and bought a cheap foreclosure before the run up on housing. Current mix is about 30/30/40
I live now with 50/20/30 I am also doing a lot of side hustles what I use to pay of my student debt. Also that 50% is also including double the minimum payment for my loan. Finally my salary will go significantly at the end of this month I will use that money to save for now so I can just buy a second hand car without a monthly payment
Kardden Token time! This thing is lifting up in ways nobody did before
Don't forget child care! Child care is a big expense that many don't factor into their expenses as a need.
Kardden making ATH after ATH 🔥🔥
Using 8% rate of return, but not consider inflation doesn't work. Either you reduce the rate of return by inflation or you need to adjust the 4% target with inflation.
So 10% saving will not get you to your FI number in your example.
As an investment enthusiast, I often wonder how top level investors are able to become millionaires off investing. I do have a significant amount of capital that is required to start up but I have no idea what strategies and direction I need to approach to help me make decent returns
Proper research, good analysis and luck is what you need to make profit in this constant market decline. It's all about finding the right moment to take advantage of and generate colossal profit, which is why you need to do your research
Even with the right technique and assets some investors would still make more than others, as an investor, you should’ve known that by now, nothing beats experience and that’s final, personally I had to reach out to a market analyst for guidance which is how I was able to grow my account close to a million, withdraw my profit right before the correction and now I’m buying again.
How can I participate in this? I sincerely aspire to establish a secure financial future and am eager to participate. Who is the driving force behind your success?
Monica Shawn Marti is the licensed advisor I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment
Thank you for saving me hours of back and forth investigation into the markets. I simply copied and pasted her full name into my browser, and her website came up first in search results. She looks flawless.
It would be great to see how inflation is considered in the compound growth calculations. Sadly I can't see $30k p.a. being sufficient in 2057 when I retire, so the 4% p.a. draw down from the $1.3m wouldn't be sufficient. How do we address this critical assumption?
I’m saving 40% and trying to get to 50% saving rate.
Mine is 40/10/50
I'm saving about 55% of my take home pay. I paid off my student loans last September and I'm getting married in November. Hoping to buy a house next year. The 55% savings are going into a Roth 401k and house savings. I feel like I should be investing at least a little outside the company Roth. Thoughts?
I'd argue that gym would be a necessity because exercising consistently while you are younger leads to lower health bills when you are older.
You can workout without a gym, you dont *need* it
@@theryster77If the gym breaks the bank then fine but planet fitness is ten bucks a month man.
Gym is definitely not a need. You can easily get a great workout at home with some used dumbbells, a barbell, push up bars, and calisthenics. I used to go to the gym but now I do everything at home so I have no excuses to skip any days. It’s about effort not equipment.
Thank you for putting the the tax advantage equivalents for other countries.
I think I'm going to squeeze my wants budget and try and stick to 20% of gross income to savings because it's of those 20% that I'm rebuilding my emergency fund. However, taking 60% of after tax income towards needs sounds about right so I'll just take whats left towards the wants.
The last couple of months have been tough because at the same time I had to pay my "new" car (no car loans for me thank you), some unexpected house repairs had to be made and the music studio also had some gear brake down but starting August I just MUST get back on track.
Thanks for thinking of us in Australia...
What about accounting for inflation when we retire? With a small inflation rate of 2% $10k of today's money would have the
The spending power of around $15k 20 years from now. I've watched a lot of your videos and haven't seen any income adjustment for inflation. I'd love to hear your insight on how we can attempt to account for this as we get older.
I was thinking the same. I usually calculate my retirement income with the 4% rule and then divide by 2 due to inflation and that gives me a more realistic number I think. But I also have 35 years before retirement so I’m sure there is a better equation that takes years before retirement into account
Hey, small question. I stuff a bit of money away every month to the side so I can buy "medium" purchases like a new Phone, Holidays, Gifts, and so on.... Does that qualify as "Saving" or does that belong to the "Wants" category?
It is spend at the end for stuff i WANT but in theory i SAVE it of a later date to buy things I want/need so I don't have to use credit or something like that.
Thanks for the explenation and keep up your great work. Really enjoy your content and the way you describe this stuff, even tho it's a little different in Switzerland, it gives a good understanding about the whole stuff.
Key issue with this rule, you did not put aside saving for car, repairs of your home, or emergency fund. that 10% is built as just a pure investing concept. Cause if you were to save 10% 50k its 5k , that will take you about 3 years of pure saving (no investing , to buy a decent car these days).
All of those things you described are needs not wants. I think the 10% specifically refers to retirement savings. One thing he didn’t consider was inflation, if inflation is the same over the next 40 years as the last 40 years, each dollar in that retirement account will have 1/3 the value of a dollar today
Dropping a second car for transit or an electric bike is simple way to save money and improve health.
Personally I think savings should be equal to wants. Most of the things we "want" only make us happy for a few hours, maybe a few days at most. But higher savings and investments, allow you to do more things sporadically throughout the year especially in the future so you don't have to work yourself to death.
I'd rather be working a job allows me to do what I love on a regular basis and maybe pays a little bit less, then a job that makes more, but miserable for 40 years working just to maybe enjoy my retirement for 10 to 15 years. That's why I try to live a bit smarter and frugally now saving and investing, so I can enjoy life while I still have the time and energy.
60/20/20💰💰💰💰
Thanks, please make another video about Kardden I prefer Kardden that is strong
Lets get one thing straight. Eating out. No matter where. Is and always has been a luxury.
And we really should still stick to the 50/30/20 rule. Its not dead. San Francisco & ny have never been affordable. If it needs to change then 60/20/20 or 60/25/15.
Nice hoodie! Where’s that from?
I’d make it 60/20/20. 10% is not enough to save.
After all the bad years Kardden is our savior
You missed to factor for inflation, check what’s the purchasing power of the saving at age 65
Do you still work a 9-5 job with the amount of work you put into your channel?
ive been making youtube videos fulltime since 2020
@@humphreywell done! Long time viewer. Yours and a few other channels have truly transformed my life over the years 🙇🏽♂️
@@humphreyis that including world of Warcraft, known to many as a part time job?
@humphrey I was shooting for first intelligent comment on your video. Thanks again for sharing with us hope you have a great week.
A reason 50/30/20 is difficult to achieve is because a lot of people put their cars as a „need“. Put that in your wants category and you‘re much more likely to hit the buckets. You will of course have a lot less to spend in your wants, but as soon as you think of it like that you’ll be a lot more motivated to to downgrade your vehicle to something that makes sense for your budget. I’m not saying you shouldn’t drive a car, but realise, transportation is a need, a 2021 Lexus (or your equivalent) is a want.
For me it’s 55/20/25 needs/ wants/ savings. I’ve been looking into investing but I’m really not too sure on what to look for 😂
Better not to pay rent in retirement.
Better to own a home. Not necessarily rent free but property taxes even at 12k a year is only 1k per month.
House insurance even at an outrageous 5k per year would only be $600 per month.
Watch the HOA fees too.
Kardden Token is next atleast 40x coin, upswing better than Kardden at primetime
At 12:25 you've got a mistake re: Backdoor Roth - "Traditional ROTH IRA"
Its sad because here in Colombia a “proper” income its like 12k a year
Sorry, 30 percent on wants is nuts. I spend like 7% and it feels extravagant.
Yeah, the average person who makes $4500… spending $1250 on wants is kinda wild, never going to retire with 10% being set aside lol
~35/10/55, LCOL and car free. However my salary is very low so I'd still be better off somewhere else most likely.
30% is too much wants. I think 15% should be wants and 15% savings and 10% investing. Once you have your 6 months of expenses you can do 20% savings and 20% investing.
I use 70 20 10....10% is the most important though, the investing portion
great information, but found it funny, when you said, All you need is ONLY $900000.
Hello?! 10% saving is for dummies and beginners. it shouldn't be called savings, it's just like leftovers for ordinary people if you are not broke or in unhealthy debt.
Does the 10% rule include the ones where my employers take it out directly from my paycheck with their match or do I consider both as bonus?
I’d like to know this as well
What you contribute to the 401k counts toward the 10%. Don’t include the match.
If your employer matches 5%, then you should contribute 10%, employer contributes 5%, for a total of 15%.
I only say this because 10% is too low. If you follow The Money Guy’s 25% rule and you make less than $100k, then you can include the match
Kardden is the future and more than just another Floki, it has all of it
What were the Pro Rata rule related resources mentioned in the video?
Omg so bullish on Kardden! ATH next month? 🔥
Time is more my problem. Wish i knew a lot of these when I was younger.
Just accelerate! I didn’t start until my late 30s but I put around 50% of my take home pay in savings/investments and have hit $1mil in about 8 years
I’m definitely following the 60/30/10, but the 30 and 10 are flipped
Dude is making the Polish Jerry face in the thumbnail
The beginning was unexpected 😅