Congrats on being a young Millie! I like that kindof video…Even w average income it’s possible the keys are starting young + compound interest + time+ consistency.
John...I'm 62 and retired. I stopped working at 58. This video is great advice for anyone who is smart enough to absorb it. Good job! I fully endorse all you teach here. My only advice about the FIRE number is that it is actually very hard to accurately forecast what your expenses will be years in the future. Also, you've got to figure for inflation. Your expenses at 45 will not be the same as when you are 65. So anticipate that expense number to increase - especially medical expenses as one ages. I would suggest adding at least another 25% to the F-You FIRE number you come up with.
This was a great Video John! Honesty I would like more of these videos also can you explain trust vs will vs gift I think that'll make a great video too thanks John!
Being able to lock in a 30 year fixed interest rate is crazy. Can't do longer than 5 years here in NZ unfortunately. So now with interest rates skyrocketing, it's doubling people's mortgage repayments. But hey, good work fam
John over here dropping fire after fire. This video is so spot on, companies are only looking out for themselves and is up to us to look after ourselves.
John, just a few comments meant to help you make better videos in the future. First, do not use or suggest the "F" word in your videos. It just downright offends some people and for others it makes you seem more gangster than financial guru. Second, your advice that everyone should invest in a simply index fund because nobody can be a successful stock picker is incorrect. Many people have made fortunes by doing research of both micro and macro economic conditions and trends and applied that information to their investment in individual stocks and real estate. Furthermore, your suggestion that nobody can beat a simple index fund ignores the fact that many people, such as Warren Buffett, whom you mention in your video, have made a very successful investing career out of picking stocks and timing the market. Despite the above, this is the first video that I have every seen from you and found it entertaining and educational, and believe that the key note of your video was to use Other Peoples Money (OPM) which I wholeheartedly agree with. (P.S. I am a long time investor in single family properties, muti-family properties, and individual stocks) Thank you.
This is a great video. Been following you now for about 6 months or so and since then, I’ve had a better understanding on taking advantage of credit making it work for you not against you. Keep these videos going. Really appreciate it.
man watching these types of videos sitting here at 43 has me panicking. I am nowhere near where i need to be. i’ve been living life and not really saving. i havent done much in terms of investments. i need to get on that.
Either work for yourself and build your dream, or work for somebody and build their dream, the choice is yours. Great video, need more content like this.
Literally I think up until middle school you learn the basics, tech, math, and literature you will use in your everyday life, but high school is a waste of knowledge. Unless you want to work for NACA then high school math is useful.
@Missy M yea. Most of the basic stuff you'll need. Most of high school is a waste and college. Unless you're going to a specific profession that really requires what they teach. But even then, they don't teach people how money works. It's honestly something you have to seek out on your own or have family or mentors that can guide you. But that's the thing, they need people to work and provide a service. If everybody knows how to make money without working, then nothing gets.
@@johnsfinancetips You are the best! 🥺 im deployed in Poland right now. I been trying to step up my knowledge when it comes to finances for when I come back and get out the Army. So I been following your videos and learning so much. Therefore, much love sent from the other side of the world! 🌎
I hope you see this. I paid my credit card bill on the 17th, because it has due date on the 17th. I paid the NEXT months payment on the 18th, ( so I wouldn't have to think about it next month.) It says right on the credit card bill, warning if you don't pay before the 17th, you might be charged a $41. Late fee. They charged me the late fee, and said it doesn't count for my next month's payment (even though I paid it AFTER the 17th of the previous month.) So I got charged a LATE fee, and bad mark on my credit. Seriously. They said I have to wait about 6 days after the LAST due date, to make a payment and that the day I'm allowed to make the payment will change depending on how many days in a month. 🙄❌❌👎☹️☹️☹️
Thanks for the tips. I'm hoping to have a down payment for a property next year and am hoping to move out of an apartment complex and be in my own property. This video is having me thinking more about buying a multi unit place rather than a house.
I went into Covid forbearance on my first property for a year. Renegotiated my mortgage and the payment dropped 25%. Rented it out, bought another property and did the same thing. I’ve only made one mortgage payment on my current property and have lived here since September.
Been following you since forever and I took ur credit card advise and I have 3 credit cards at the age of 19 and managing them all well, no credit card debt and I have a decent paying job and in community college, what advise do u have for me John plzzz!!!
That’s amazing Bryan!! Oh man this is broad. As general advice the income side of the equation is theoretically limitless. You can only save and cut out so much. Focus on the income growth and you’ll be in a good spot! Best of luck!!
However . The bank is also doing the same. By them loaning you the money, they actually make the amount of the purchase price from loaning you the money. It's a two way street. The real winner is being the bank.
Would I do what I do if I stopped getting paid? Yes! I'm one of the few yes votes. I'm a mindfulness and meditation teacher and helping people is more important than the money involved. Helping people become better versions of themselves helps me (indirectly), helps those around them, and potentially by some tertiary effect helps someone I've never interacted with. We are people called people living on a planet called dirt. Ultimately we're all on the same team and we need one another. Yes because we're imperfect and we design equally imperfect systems there will be 'winners' and losers - but that reality isn't enough to lose hope in the value of one another.
Loved the video! Especially hearing your own experiences with what you were recommending. My dad has been telling me to get into real-estate forever. I am very risk averse so I'm of the mindset of wanting to know everything before trying it. Did you ever encounter any bad residents or big repair problems? Is it bad to have a pure rental property and your own house on the side? I'm engaged and the fiance is not about that duplex and rent out the other side life lol.
Thanks John! I hear you on the risk aversion, and real estate like all investing definitely comes with its own risks and challenges. But at the end of the day it comes back down to how you handle them as they come up? Bad tenants do happen so we put them through a rigorous screening process? Stuff definitely breaks and you need people to repair them, but your quickly be able to identify the various handyman in the area. It’s not bad at all to do a pure rental property! I just recommend getting so with house hacking because that’s typically the most affordable way. But also understand there’s a certain phase in life that people are ok with that haha
How much do you think educating people in a field that you have profitable investment in can potentially create competitions for you in the future? For example if you talk about a specific business that is profitable, and a lot of people from your audience gets inspired by your idea and start doing the same business, potentially adding more competitors, I understand it from a real estate or stock perspective, the more people buy in the more the price of the property goes up, asking because I have some acquaintances asking about a business I have.
Great question Abraham. There’s always going to be the risk, but if you weren’t giving away trade secrets I don’t know if there’s direct harm. Often times people ask, but do not have the drive or the ambition to execute on the idea or plan.
get any brokerage account, and buy one... Doesn't really matter what brokerage, but if you need a recommendation, use vanguard, and buy into a vangard fund (they tend to have the lowest costs). Vanguard does typically requires 3k min for index funds, but if you can't afford that they offer "ETF's" which are the exact same thing without the limit. It's a bit more complicated then that, but for your pursouses, just find the like kind ETF invest in it till you have 3k, then swap to the index. If you don't even want to do research on what index to buy into, just by VOO, it's the most generic one that tracks top 500 stocks.
I thought that you needed at least 20% down to get a place. I was always told that I needed to save up at least 20% of the price. Was that wrong? downing 3-5% is a much easier thing to save for on a single income.
Yeah, 20% is the best to put down. Lets say you put in 3% down, then not only you will pay your monthly payment, you will need to pay a fee called PMI (Private Mortgage Insurance), which can range from $100-$300. In order to remove the PMI is to reach to your 20% from the 3% you put down. Hopefully it makes sense. In short, avoid PMI at all cost!
There are also many first time home buyer down payment assistant programs. For example, as a gov worker (unspecified for personally reasons) I have access to a program that allows up to 40k in down mayment/closing cost assistance. This money is lent to me at a 0% interest and is only owed when I sell, or refinance the home. So if you don't plan to sell, it's free money, if you sell, then it was still up to 40k in lent money for the time I had it with no interest.
Lesson 1: Open fantastic RU-vid channel and deliver valuable content consistently. Lesson 2: follow lesson 1 and dont believe by watching a RU-vidrs video you will be rich someday. Lesson 3: do whatever he says
My fuck you number is 2mill invested. Its well over what I need for the 4% rule. but I want to play that one safe and account for unseen disasters of the future. Imagine for example a 5 year long recession after my "fuck you". My investments for those 5 years not only didn't make money, they lost money ON TOP of my 4% withdrawals. sure, 20 years from now without withrawls my money would recover, but for those 5 years I was withdrawing on losses and drastically lowered my market cap. That leads to a system where my money is no longer large enough to sustain withdrawals as it recovers, leading to a slow burn to bankrupsy.
Thanks for sharing! Great call out as it comes to sequence of return risk. That’s actually the most important thing that could blow up an entire portfolio strategy.
