5 out of 6 at 33. Pretty good i think. Only one i don't have is employer matched account like a 401k. The industry i work in, it's not common for any job to offer them unless you're union. Which is a small percentage of the jobs in my industry. So 5 out of 6 is basically all i can do unless i get lucky lol.
Thank you soo much for these videos! i was 17 when i started watchiung and i begged my mom to put me on her credit card. Im 18 now with a 710-740 credit score because of her card. I instantly got approved for my first card with a 2000 limit. i wouldnt have asked if it werent for your videos
Could you please do a video on what/how to get into investing? Like what’s a good place to start? Do you just pick these businesses you think will do well or is there something else to it? Are there certain investors who will choose for you or at least guide you into stocks that are semi reliable vs it being all chance? I really want to get into it but I have no idea how to go about it 😅
If you need a general plan (like how much of your income you should invest) “the money guy” is pretty good imo. As for stock picks, if you’re young, just putting all of it in a broad market etf like SPY (an s&p 500 fund) will generally out perform most professional investors in the long term. If you’re older then you might want a split between stocks and bonds. Alternatively you could go for automated investment stuff that places like robinhood, fidelity, (fidelity go) or Wealthfront offer. You’ll answer some questions and they’ll select etfs for you. It probably won’t do as well as something like the SPY in the long run, but you won’t have to worry about placing purchase orders for stocks and stuff.
Im 23 yo from Malaysia, studied and now working in the uk. No one ever taught me about finance, this is gold and i really appreciate this! I have a dedicated notebook with me every time i watch finance related videos to take down notes and learn. Thank you John! love your videos 🌸🫶🏻
Turning 29 this year and sure glad I saw this video. Roth IRA and brokerage account are what I haven't done. I barely opened a HYSA a few months ago. I gotta understand investing.
I am about to turn 20 and I am about to enter my sophomore year of college. I have a checking account, and a savings account (I don't think its a high yield) with my local bank when I got my first job. I got a credit card so I can buy a car with little to no interests and less monthly payments. The Credit Card is a Discover Student card that gives me a 500-dollar credit limit and I barely use a 100 of it every month. How does that sound financially? I don't have an investment account, a Roth IRA or a retirement fund. My emergency fund is my graduation money I got from friends and family when I graduated High School.
If no one told you, I think you’re doing great. Just like he said, you’re in college and don’t have so much cash to be saving/investing in the first place. It sounds like you have good habits and of course watch these videos. Keep it up!
I’m shocked you have no videos at all on acorns investing. The checking pays 3% apy and savings 5% apy it also has many investing and saving features like round up.
There are times where a debit card can make sense. A regional grocery chain near me only accepts debit cards and checks. For an added layer of security I have a separate checking account (discover to get cash back) that I transfer money into as needed for groceries. Some of their sales makes some of their things about half the price of similar items at other locations. Like watermelon for a little over 20 cents per pound, or chicken breasts on sale for less than $2 per pound. The savings more than makes up for the lack of cash back or rewards points imo.
@@anonymoose2474 Yes, money could only be used for qualified purchases tax free. Otherwise it’s pretaxed going in…. No taxes on gains if you do decide to invest because you don’t have to. You just have to wait till 65 just like the 401k. If you pay out of pocket for medical expenses you can even reimburse yourself, even after 30 years where your account has matured by alot.
Thoughts on bank accounts with service fees that are easily waived? I have a checking account through Chase and the $5 monthly fee is waived so long as you receive more than $250 in direct deposits per month. Should I consider other banks or is this reasonable given that I'm making substantially more than that? Edit: I own my own side business (registered as an LLC but small operation without facilities) and I am not paid via direct deposit from my own business. However, my day job still leaves me with well over $250 per month. I don't see myself quitting my day job for at least another year, if not longer.
You said you only use a checking account for internal payments but how do you pay off loans? You can't use a credit card to pay off a auto, student, or home loan??
I’m a college student who has to pay off school loans after I graduate. Should I focus on allocating the money I currently have to a savings account or a Roth IRA?
I have traditional IRA from fidelity to get tax deduction every year I file tax. Is there possible to have both Roth IRA and traditional IRA and maximum contribution every year?
The traditional and roth Ira share the annual contribution limit so no. You could have an Ira on the side in addition to an employer sponsored 401k though.
Is it worth having a 401k if my company isn’t matching? Wouldn’t it be better to put that money in my savings or into the s&p 500 or even into my Roth IRA?
Great question, 401k typically have higher contribution limits than a standard IRA. So from that POV it makes sense, especially if you are able to contribute more than that IRA limits
what are some cons for transferring funds from one HYSA to another HYSA? thinking of transferring my 4.40% HYSA to a 5%+ account. do i have to pay a transfer fee?
When you say internal payments.. what do you mean exactly? You mean only within the bank as paying bills and transfer to other accounts within the bank?
Does a Roth IRA makes sense if my employer account is a Roth 401K where i still havent maxed it out and have great investment vehicle's since its a large investment firm (our competitor is Vanguard) Would it make sense to max out my Roth 401K ($19.5k) before i even try to open a roth ira?
I am engaged and planning on moving to Canada, would I still try to have open the Roth IRA and brokerage account? I feel like I’m going to start all over again when I move 😅
If you’re moving your life abroad, typically what I’ve seen is that non-liquid assets like a brokerage, and especially retirement accounts such as an IRA are still fine to keep open. However, I wouldn’t go out of my way to transfer money from Canada to the US accounts to make contributions for them. (I moved from the U.S. to Korea and this is what I do!)
@@johnsfinancetips correct, I have checking, decent credit cards for points/cash back, hysa, and employer match. I put roughly $750 a month in my employer Roth account (6% match). Are the limits to my 401k the same as Ira?
@@johnsfinancetips correct, I have the first 4 types of accounts. My 401k is invested in a Roth account. Does that mean my 401k is subsequent to the same annual limit as an Ira?
this video should mandatory, played for every public high school student graduating in the USA.
I agree!
You just summed up everything I’ve learned from investing books in the last 6 months in this single video.
One of the best high level financial summaries I've seen yet.
Your video is awesome and very informative! I'm surprised you don't have more comments. Thank you for sharing this great content!
Unfortunately I got all this started at 30, but now I am set up!
better late than never!
My 50+ parents found out what a HYSA was because of me. I think they have the rest of the accounts though.
5 out of 6 at 33. Pretty good i think. Only one i don't have is employer matched account like a 401k. The industry i work in, it's not common for any job to offer them unless you're union. Which is a small percentage of the jobs in my industry. So 5 out of 6 is basically all i can do unless i get lucky lol.
I’m 21 and only missing the 401k, I think I’m doing good for now
I had to give myself a pat on the back. I actually have all 6 at 35 years old
Another great advice video, sent to my kids. Thanks
Happy to help!
Thank you soo much for these videos! i was 17 when i started watchiung and i begged my mom to put me on her credit card. Im 18 now with a 710-740 credit score because of her card. I instantly got approved for my first card with a 2000 limit. i wouldnt have asked if it werent for your videos
= Thanks for these tips and videos
Kinda proud of myself for having all 6 and im only 19
Could you please do a video on what/how to get into investing? Like what’s a good place to start? Do you just pick these businesses you think will do well or is there something else to it? Are there certain investors who will choose for you or at least guide you into stocks that are semi reliable vs it being all chance? I really want to get into it but I have no idea how to go about it 😅
Check out the wall street trapper and gram Stephen they have great videos
Thanks for the comment and suggestion, and absolutely I can!
You need to read “I will teach you to be rich” by Ramit Sethi. It makes it super easy to learn
If you need a general plan (like how much of your income you should invest) “the money guy” is pretty good imo. As for stock picks, if you’re young, just putting all of it in a broad market etf like SPY (an s&p 500 fund) will generally out perform most professional investors in the long term. If you’re older then you might want a split between stocks and bonds. Alternatively you could go for automated investment stuff that places like robinhood, fidelity, (fidelity go) or Wealthfront offer. You’ll answer some questions and they’ll select etfs for you. It probably won’t do as well as something like the SPY in the long run, but you won’t have to worry about placing purchase orders for stocks and stuff.
Im 23 yo from Malaysia, studied and now working in the uk. No one ever taught me about finance, this is gold and i really appreciate this! I have a dedicated notebook with me every time i watch finance related videos to take down notes and learn. Thank you John! love your videos 🌸🫶🏻
Turning 29 this year and sure glad I saw this video. Roth IRA and brokerage account are what I haven't done. I barely opened a HYSA a few months ago.
I gotta understand investing.
Read Boglehead’s guide to investing and literally take notes on it.
You can be financially on track by the time you’re 30 if you put your mind to it
@@danieljones3846 just opened a brokerage account and roth ira with Fidelity. I'll check out that book!
blessed to have all open by age 25 and that's on being financially literate in this insanely inflated economy
I've got all four of these already except for the 401K and brokerage account. I'm 18 so this really helps!
I am about to turn 20 and I am about to enter my sophomore year of college. I have a checking account, and a savings account (I don't think its a high yield) with my local bank when I got my first job. I got a credit card so I can buy a car with little to no interests and less monthly payments. The Credit Card is a Discover Student card that gives me a 500-dollar credit limit and I barely use a 100 of it every month. How does that sound financially? I don't have an investment account, a Roth IRA or a retirement fund. My emergency fund is my graduation money I got from friends and family when I graduated High School.
If no one told you, I think you’re doing great. Just like he said, you’re in college and don’t have so much cash to be saving/investing in the first place. It sounds like you have good habits and of course watch these videos. Keep it up!
Don’t buy a car on payments. Just buy a car in cash.
I’m shocked you have no videos at all on acorns investing. The checking pays 3% apy and savings 5% apy it also has many investing and saving features like round up.
There are times where a debit card can make sense. A regional grocery chain near me only accepts debit cards and checks. For an added layer of security I have a separate checking account (discover to get cash back) that I transfer money into as needed for groceries. Some of their sales makes some of their things about half the price of similar items at other locations. Like watermelon for a little over 20 cents per pound, or chicken breasts on sale for less than $2 per pound. The savings more than makes up for the lack of cash back or rewards points imo.
You left out HSA.
That's more like an investment than a bank isn't it
@@anonymoose2474It’s very similar to a roth ira but with better tax savings.
@@PABU427 better tax saving but worse withdrawal rules besides on healthcare. It's pretty great yeah
@@anonymoose2474 Yes, money could only be used for qualified purchases tax free. Otherwise it’s pretaxed going in…. No taxes on gains if you do decide to invest because you don’t have to. You just have to wait till 65 just like the 401k. If you pay out of pocket for medical expenses you can even reimburse yourself, even after 30 years where your account has matured by alot.
Good video.
i'm so proud 21 this year and i already have all of them except for the 401k cause i don't have a job who offer one yet
Thoughts on bank accounts with service fees that are easily waived? I have a checking account through Chase and the $5 monthly fee is waived so long as you receive more than $250 in direct deposits per month. Should I consider other banks or is this reasonable given that I'm making substantially more than that?
Edit: I own my own side business (registered as an LLC but small operation without facilities) and I am not paid via direct deposit from my own business. However, my day job still leaves me with well over $250 per month. I don't see myself quitting my day job for at least another year, if not longer.
Do you recomend etrade?
You said you only use a checking account for internal payments but how do you pay off loans? You can't use a credit card to pay off a auto, student, or home loan??
Perfect,just Perfect
I’m a college student who has to pay off school loans after I graduate. Should I focus on allocating the money I currently have to a savings account or a Roth IRA?
Thank you for this video
But i have question, should i open all my credit cards on only one account?
I have traditional IRA from fidelity to get tax deduction every year I file tax. Is there possible to have both Roth IRA and traditional IRA and maximum contribution every year?
The traditional and roth Ira share the annual contribution limit so no. You could have an Ira on the side in addition to an employer sponsored 401k though.
Do you have to have an income to open a roth ira?
What if my big boy job is $25 an hour? Plot twist I haven an engineering PhD :(.
Is it worth having a 401k if my company isn’t matching? Wouldn’t it be better to put that money in my savings or into the s&p 500 or even into my Roth IRA?
Great question, 401k typically have higher contribution limits than a standard IRA. So from that POV it makes sense, especially if you are able to contribute more than that IRA limits
What if im 34? Barely catching up should i give up? Lol is it too late lol
what are some cons for transferring funds from one HYSA to another HYSA? thinking of transferring my 4.40% HYSA to a 5%+ account. do i have to pay a transfer fee?
When you say internal payments.. what do you mean exactly? You mean only within the bank as paying bills and transfer to other accounts within the bank?
Does a Roth IRA makes sense if my employer account is a Roth 401K where i still havent maxed it out and have great investment vehicle's since its a large investment firm (our competitor is Vanguard)
Would it make sense to max out my Roth 401K ($19.5k) before i even try to open a roth ira?
im 22 and have all of these🎉
That's amazing, you're killing it! I don't even think I had a HYSA open till I was in my late 20s!
Oh great! I have all of these accounts.
Thankyou for this
Happy to help, thanks for the comment
who still uses cheques? Haven't seen one in years, didn't know that businesses still accepted them.
I am engaged and planning on moving to Canada, would I still try to have open the Roth IRA and brokerage account? I feel like I’m going to start all over again when I move 😅
Why the f would you move to a communist country what is wrong with you
If you’re moving your life abroad, typically what I’ve seen is that non-liquid assets like a brokerage, and especially retirement accounts such as an IRA are still fine to keep open. However, I wouldn’t go out of my way to transfer money from Canada to the US accounts to make contributions for them. (I moved from the U.S. to Korea and this is what I do!)
What if I’m 32 making 156k a year? Does a Roth IRA still make sense?
Yes because your most likely gonna make more money in future. You have maybe another 30 working years left.
Assuming you've already gotten your employer match I think it would match sense to still have a Roth open.
@@johnsfinancetips correct,
I have checking, decent credit cards for points/cash back, hysa, and employer match. I put roughly $750 a month in my employer Roth account (6% match). Are the limits to my 401k the same as Ira?
@@johnsfinancetips correct, I have the first 4 types of accounts. My 401k is invested in a Roth account. Does that mean my 401k is subsequent to the same annual limit as an Ira?
If you make that much you more than likely aren’t t eligible anyway, unless you’re married and your spouse makes much less.
HYSA is not an option for Muslims cuz interest is haram.
You can just don't have kids.
First
Yes you are!