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"I've been saving money for a rainy day, but with inflation so high, it feels like my savings are losing value faster than I can earn it. At this rate, it seems impossible to save enough for retirement."
Not all hope is lost. Talk to a financial advisor about inflation-protected investments like TIPS (Treasury Inflation-Protected Securities) that can help your savings keep pace with inflation.
"Financial advisors can help you overcome inflation by recommending investments that can outperform it, such as real estate or specific stocks. One of my clients used this approach and increased their savings by 15% in just two years, effectively offsetting the effects of inflation
“Rebecca Noblett Roberts” 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.
The way that I saved my first 10k was by not trying to. I automated it. I had my bank automatically transfer money into my savings before I could get to it. I set that amount to a number I was comfortable putting away each payment and kept grinding. It's amazing what you can accomplish when you keep your head down and not fall into the trap of peer comparison.
@@martinrbookermb I agree wholeheartedly. In my career, I have earmarked almost the entire $ amount of raises between (1) increasing extra principal payments towards the mortgage, and (2) increasing percentage to savings in the form of 401K, then Roth 401K, and ultimately age 50+ catch-up contributions. Doing #1 allowed us to pay off a 30-year note in ~18 years. Doing #2 allowed me to build a significant (>7 figure) retirement account.
@@martinrbookermb True that, the more money I made the more I spent on things that weren't necessities, but percentage wise, my savings actually went up (to the point where I can put the maximum amount into my 401K now, though I honestly did that to pay less taxes) more than fun money though.
It's also smart to keep your savings in a separate banking institution so there is some minor friction in accessing the savings. When I first started saving, I opened an account in an online HYSA (this was in the early days of this existing) from ING bank. I had an auto-savings plan for $30 per week at first, then I was able to slowly ramp that up as I got increasingly comfortable with "less money" on hand.
Here's another trick I've found super helpful: When I started my career 10 years ago, I set up a separate savings account just for my 'fun money.' Each month, a small part of my paycheck automatically goes into this account. It's for treats, nights out, or whatever fun stuff I want. This way, I enjoy my money guilt-free, knowing my savings goals aren't taking a hit. It's all about enjoying the present while securing the future. Awesome insights and great video Vincent! I've made a video on a similar topic, welcome to check it out!!
@@VincentChan I live in DC. BTW, my son followed your advice and started a tour business. He takes people around the city. He just finished high school. He said it was the most fun. He and his friends did well
@VincentChan I sent him the link to your video on side hustles. He and his friends connected with minority communities offering cheap tours in DC. They were able to purchase group discounts to shows at the Kennedy Center. They had a blast. Most if them are busy with school but they plan to resume in summer
What I have learned to do this year is look at things to purchase based off my pay. I get paid $16.50/hour. Instead of considering the $/value ration I look at the hours of my life/ value. In essence is this xyz item worth abc hours of my life. Time I worked for that I can never get back.
This is how I was taught about money at a very early age. I asked my parent could I got McDonald and buy a burger, they asked how much do I make an hour, at that time it was like $6(1995) -they metiomed it will take an hour of your life to eat a hamburger meal and I was floored.
With our paychecks We automatically pay 25% into 401k, $50 to the ongoing emergency fund, 1/12 of $8000 ROTH for each person as well as every bill because all bills are automated. We can spend what is left in the account. Having everything automated prevents decision fatigue. We have debit cards so we can only spend what we have. We live minimally and really just spend money on food and experiences. If every person in their 20’s would do this they would have a better life. At college my roommates and I learned to make our own cocktails, everyone would split the cost of the components. We would decide on different cocktails each week. We would rent movies and make our own popcorn. Spending time with your friends outside of venues and attractions makes better memories and relationships.
We do the same thing, but we utilize credit cards for bills and expenses. We have our bill credit card(s) linked to a bank account specific for bills, and it's paid in full every month (so no interest). We do the same thing with our fun money, making sure we don't spend more than what's in our fun account(s) so we can pay it off every month (again, no interest). Due to this, we get a ton of benefits like cash back on basically everything, free insurance for our phones, built in fraud protection, etc.
yes yes yes! my husband and i are 23 with 2 toddler girls. we moved out at 18 and this mindset has gotten us far. i can’t wait to see where we are in the next 5 years! it feels better to be financially stable and living below your means rather than drowning in debt keeping up with the Joneses.
It's not abt the amt, it's abt the process. When I started, I was making 26k/yr & the only household income. I started with an amt so small it was nearly insignificant: $2.50/paycheck. It took me a year, but I was able to get that up to $25/mth. At one point, I had an unexpected car repair that was $450. Kicked my ass & nearly knocked me flat, but I was able to pull from that once so-small-it-seemed-stupid acct, & could pay $200 in cash, only charging the remaining $250 to my CC. Was I discouraged & frustrated & all the things? Absolutely. But I'd begun the habit, & after that 1st "payoff," I saw the value, & slowly was able to change things in my life. It's hard. It takes time. But it can be done.
$27 is how Bernie earned so much money for his presidential campaign fund in 2016. I kept bugging my wife about investing into my 401K but she always argued that my income was so low that we couldn't afford to put anything into savings. When she died, I set my payroll check so that a portion would into my 401K to match what the company would match, plus an extra 10%, with the idea that by living by myself would cost less than it did for the two of us. Then I completely forgot about it. I left the company about five years later. About two years after that, the company sent me a letter asking me what I wanted them to do with this apparently abandoned 401K fund. "I have a 401K?" All I could remember was my wife's arguments against putting any money into it. There was more than $22,000!! I had it roll onto an IRA.
I worked in public sector. Our department has 457k match. I kept my take home at 5th year level by increasing contribution annually. I have coworkers using your wife’s argument when we pushed them to open a 457k account. 25 years later I retired early while those without 457k are still working to get a higher pension. My retirement pension is 75% of my highest take home pay plus a sizable 457k as old age inflation fallback.
@@dremewhite5209 457K is basically a government version of 401K. It works exactly the same. The benefit is that you can have both a 401K and 457K (with separate contribution caps, but only if the government entity offers both, in other words, if the cap was 20K, you could put 20K into both, for a total of 40K). And in modern accounts, it would be referred to as a 457b now. I actually now have 2 at my work place, and since I'm a super miser, I put the max cap in both. That being said, it forced me to budget like crazy.
I saved $10,000 last year. This year I have saved an additional $7,000. So my goal is $20,000 and debt free. So $3,000 to go then I am working on $5,000 worth of credit cards debt. Which for now the balance is at 0% until next year 2025. Then I plan to start on another $10,000 for a total of $30,000. The more money I have the better I feel. And the less debt I have the better I feel.
I buy a 10 oz bar of silver every week at my local coin shop. About $250, and that's the only way I have been able to save. I can't handle money, but I love stacking silver and gold. I'm at over 500 oz's of silver and 10 oz's of gold. That's about $46,000 and it only took me 4 years. I've been stacking since COVID, anyone that has trouble saving should try this. I'm going out and buying something that is an asset and adds to my net worth and I get to physically own it and watch my stack grow. It's very satisfying and there is a great community behind it.
When I was young I always dreamed of having a stack of gold and silver coins. As an adult I have precious metals ETFs but it’s so boring. How do you handle safety and storage?
@@fmoreira2727I have different storage units and a bunch stashed in there in random places, some at home. Different caches are key 👍 as long as no one knows it’s there and you’re discreet you’re fine. Safety deposit boxes can be closed by the bank / post office at any time. Put a bunch of your extra stuff / seasonal clothing in a storage unit w some metals. Most are insured as well and many have 24 hr access. I’ve also saved quite a bit of literal coin this way 👍
My friends old school parents did that. They saved over $80k in gold. My friend has been telling them to get a lockbox at the bank but the parents didn't want to spend the money. They got robbed of all the gold and more this year.
Yeah, I discovered that after realizing that I was spending $10 a day on bottled water, multiplied x 365 days a year = $3650 spent on water alone! I could have gone on three trips to cuba a year! I researched awesome water filters and found one called Clearly Filtered, from L.A. which was a bit pricy initially but was worth it's weight in gold! I save over $3K+ a year on water. Was pretty proud of that move.
Water bottles in gas stations, rest areas, and truck stops are very overpriced, often $4-$5 for a liter. As a truck driver, I can easily see spending that much. I'm at the mercy of what the truck stop wants to charge because those are the only places along my route that I can park a vehicle of my size. The lifestyle of the typical truck driver can also lead to diabetes which also makes one thirsty all the time. I have started bringing a jug of water from home and it has indeed saved a lot of money
Have you tried getting those big gallons of water from Costco and switch to filling up water bottles daily? Our household has been doing it for 3+ years and we've saved a lot, like a lot of money. @@Edward-ni8yi
I can relate to so much of this. My hobby is sewing/quilting/embroidery. I can't tell you how many things I've purchased for it on impulse that is now collecting dust. It's true. You're eager to buy an item, you're excited for its arrival, you open and use a handful of times, then tuck it away to be ignored or forgotten. Touching on the topic of "one-upping," I broke the habit of upgrading my phone every year. I started over 6 years ago when broke and in nursing school. After my phone was paid off, I became cognizant of how much I didn't have to pay my carrier and how much money I could either save or spend. I also recognized that I don't use my phones to the most of its abilities, I'm not much of a videographer or photographer, I don't game on my phone, etc. So having the latest and greatest model isn't beneficial to me. In fact, it's wasteful. With that said, my new habit is to hold out for several years before upgrading and try to get the most out of your $1000+ purchase. Another savings tip is to purchase refurbished if at all possible. You'll have to be selective about that. Some things are better off purchased new. But not all things.
I can't imagine spending over let alone 500$ for a phone... Imo 1000 is absolutely overkill unless you really have a passion aaand need for the phones specific features
@pinkforguys right. I'll be the first to say I can be showy sometimes. But I truly stopped the annual upgrades because it was wasteful. I will still get a TOL or mid grade phone, but it isn't until my current has become seriously outdated. The phone I have now has had 3 generations come after it, and I still haven't taken the leap into the latest. However, there are some things I won't skimp on. My car, my sewing/embroidery machines, and it has to be Q-tip brand swabs. Lol 🙃 no other swab compares. Lol
@@pinkforguys In the States there is no competition for 🍎 Apple. It's about 1000$. I don't think they use Android. I would never buy a phone this pricey.
@@nkha23We definitely have android. I buy Pixel phones, whatever outgoing phone is being replaced by the newest thing. We keep them until they're destroyed.
$833 a month is twice what I make in a month, soooo....Considering that one paycheck pays rent and groceris, and the other paycheck pays utilities -- and I don't buy name brand ANYTHING and can't remember the last time I bought new clothes at all and I haven't eaten out since the pandemic and I haven't had a vacation since 2007 -- then no, even at $27 a day, this isn't a realistic savings goal for me. MAYBE I could do half that.
yep. too much money. In my currency I invest around 380 a month. Most of it goes into building my Emergency Fund, but a very small portion goes into 4 different investments, including some stock just to diversify. I just turned 1 year on my job and I just passed a month of my salary (I also bought myself a nice phone cuz I didn't have one for over a year, so I treated myself, but I haven't bought anything big since then and I saved every penny to not have to buy on credit card)
You can try that amout each paycheck. So about 50 a month. It may help or even 25 a month. Sounds low but any little but helps. I heard of a man that saved pennies or just coins from loose chamge for years. Turned out to be thousands of dollars after a while. Any little bit will help.
I'm a nurse and picking up 1 extra night shift with incentive = around $1000 per shift. Makes it easy to have extra cash flow without getting a side hustle or another job
A lot of people depending on where you live, especially if you don't have any children. Unless you have an expensive car, an expensive living situation, or just don't make very much money.
I managed to meet my savings goal of $5,000 last year. This year, my goal is to match that amount and have $10,000 saved be the end of the year. I’m already making headway towards it and I really appreciated some of the tips you provided.
Jedi mind tricks or not. Most Americans can't save $27.39 a day. Child care, car maintenance, health issues extra. Public transportation isn't available in most of the country. This problem isn't an individual problem. This is a societal issue.
Yes but you dont need to save 10k in a year. You can lower the goal. You could just 1k a year. Save $2.74 a day. Any savings is a good amount of savings.
Your parents being your why had me choked up. I love my parents like you do yours. Great information by the way, immediate like and subscribed. Blessings to you and your parents.
In order to save 800 something bucks a month you need to make that first . In central-Eastern Europe where I’m from that is the average national monthly salary 😢
This is so randome I know and I don't know if I've mentioned it before. In regards to the video itself not the content I absolutely love how this guy makes his own stock videos he uses all the time. Subscribing to a service and using randome clips is pretty jarring and often they don't have the same lighting, camera settings, people and do not flow well when most people use them. It is also part of the premise for the whole channel in that we try to look good but save money so making your own reusable stock videos with yourself in them is such a good fit for this channel. I love this channel for the info, but the way the videos are made and the personality that shows through really solidify this channel and keep me comming back.
@@inspirice9844 I don't understand this mindset, absolutely everything I buy is for myself unless it's a gift for a friend... I feel like that mindset is more prevalent in the US than elsewhere...
And that's why I never buy luxury goods. I don't like displaying how poor I am (poor people who want to look rich by "branded clothes", true rich people wear/buy ultra expensive un-branded clothes/items so that only those in the know, know).
When I paid off my car, I started transferring the same amount as my car payment into my savings account every month. Now my pretty old car needs to be replaced and I have that $ saved for a down payment. Now if I can just figure out how to get a new car equal to my old car payment?
That's great! I suggest buying a used reliable car... We are looking at a Lexus ES, low mileage for $13k. I suggest buying a working used car with the down payment you saved up.
Some online retailers have a ‘save for later’ button. I love that! Most times I don’t buy or it goes out of stock and it was definitely just going to be an impulse buy.
NGL deciding to eat very healthy where I avoid processed foods entirely has saved me tons of money. Deleting Amazon and RUclips apps from my homepage also helped too.
@@VincentChan I actually gave up fast food eons ago because it would make me sick that's just a portion of that. What in saying goes even further than that, I'm referring to all processed foods including junk food like potato/tortilla chips, TV dinners, Cold cuts, and processed desserts like Oreos. Basically I just don't go in the aisles at all at the grocery store, however that doesn't mean I don't have snacks just instead it's more of like a heated pita with garlic hummus or yogurt.
I am retired yet still able to save 7k a year. I took most of my IRA and pension and paid off every debt,, even the mortgage, invested the rest and can still put $ in the savings account. However I never go anywhere, have a very very old car that I can only use for local shopping, never buy anything new and never eat out. But it's sort of fun being very frugal. It's made me creative.
I think it's largely also about being bored and making impulse buys from sitting on our phones all day. Go outside, guys, visit with a friend, go to a museum, a park, go roller blading. My boyfriend and I play tennis for about an hour and I never once think of my phone during that time because we're having so much (free) fun!
Big time inspiration!! I watched this video beginning this year (Jan 2024) and followed the tips. I'm currently at 6k as of today (Aug 2024) and I'm about to hit 10k by the end of November this year!! I am 22 turning 23 and I'm very proud of myself for getting to this milestone despite being a small amount. We all start somewhere anyways. My next goal after is to save to 100k! Which I calculated should take me approximately 7 years which is just before I turn 30 years old. I'm very excited :)
For some people, it's a little different. I'm a collector of various things-old media like vinyl records, tapes, and laser discs, as well as anime figures. When you mentioned the dopamine aspect, it resonated with me. I feel a rush when I see something I want, I buy it, and then that rush intensifies every time I see my collection. It happens every day, every time I glance at my shelf. I realize that my collection doesn't hold much value in monetary terms, but it represents a significant amount of money (selling anything from it is basically impossible in my region). With old media, it's a bit different. My dopamine spikes when I use that media-when I put a tape or a vinyl record on the player. It's basically an addiction, but it's a significant part of my life, and it makes me happy. Recently, I've come to the conclusion that my collection shouldn't be random; it should have a goal. So now I'm quite selective, and that has drastically reduced my spending. In another video, you mentioned the importance of quality over price. I've accumulated so many quality items that when I lost my job, my two primary expenses were electricity and food (water is free here, and I rarely use gas for cooking). Since I own the land and live in a trailer, I was able to survive on just 6 euros a day, which covered dinner at a nearby family restaurant. So maybe my addiction to buying quality stuff paid off a bit? Probably not, but at least I've minimized my spending. When I finally got back into IT contracting (after the recession eased), I was able to build a 10k emergency fund in just two months. After watching your videos, I've started to question my spending habits. I'm now considering investing in an index fund with a low interest rate outside of my country. However, I still don't have a clear purpose for my savings other than retiring early. To achieve that, I believe stocks with dividends might be the best option?
Have to start where you can. Start with$1 a day, or whatever spare change you can afford daily. I started with saving $1 a day two years ago. Changed my mindset as well the longer I did it. Then started investing some of those savings. I’m by no means rich but am to the point I can literally save about $16 a day. And have my savings in a high yield savings account, and those investments I spoke of before. Doesn’t hurt to try, because we miss every shot we don’t take !
i think this should be titled “budgeting when you’re middle class” bc talking abt coffees, ubers, eating out all the time…yeah we aren’t in the same situation
I make $19 at Amazon only work 3 days a week at 36 hours and live on my own in a two bedroom house and still can save $250 a week get a different job or stop complaining about “middle class” that shits dead bro🤦♂️😂
I vowed to save more this year do I cut out shopping. Last Sunday I spent $3300 to book an Alaska cruise. Today I paid close to $3k on tax owed. My homeowners insurance is due at $1500. My car insurance is also due at $1500. In a 2 week span I have close to $10k expense. Next month I am paying $12k for a new roof.
I had a month like that. I still remember it. 😂 April 2017. Taxes were due, quarterly tax estimates were due and I bought a new vehicle. I spent $20k in a month. Thankfully, I had prepared for all of these expenses but still.
I was already doinng 1 without realising it, works for me and how my life is setup right now. Best thing is that if I put money into my HYSA it is still accessible, just takes a day to release. Which allows me to think twice about any potential purchases.
Simple math… do I buy a gym membership or dance app or do I use free RUclips app to exercise. If I think a gym membership is best the question becomes will I religiously go to the gym (past behaviour is a great indicator of future behaviour). I’m at an age where I no longer want more stuff so I’m getting rid of stuff instead (mostly stuff I never use; hence past behaviour theory). Do I need the clothes or can I use something I already have? You can automatically send money to savings accounts but if you can’t question your purchases you’ll end up spending those savings on a whim. Am I buying new ??? because what I have is no longer usable or just to have new things?
Great video. It's really about your mindset about money. Create a minimum wage savings video b/c some can't apply these concepts in this video b/c you used a salary of 67k and a goal of 10k and immediately shut down.😮 When you earn minimum wage, just ubered to work, walked into the office with a Starbuck drink, and purchased lunch for the day, and then tell everyone you don't make enough money while waiting for your Uber to take you back home. Then get a part-time job, then adjust your spending based on the part-time income, and then realize you need another part-time job and your financial situation has not positively changed because you failed to plan and strategize with your money/spending. 😢 Now you have your F/T and two P/T jobs and spend money eating out because you don't have time to cook. And the cycle continues and you live paycheck to paycheck and wait annually for your tax return refund to have fun spending it.
Some years ago I started working from home. After a while I thought of putting my gas money and my snack money into an investment account. The $60 per week is currently about $15,000. It is a bit difficult to stay the course but most weeks I remember.
Not now, but later is super powerful. I use it with online shopping carts all the time. I add the item and let it sit there. Bonus points if it's a persistent cart like something in an Amazon account. Every time I go back I see it and go, "hmm... I COULD use that, but not right now" so it compounds the effect. Eventually it stops doing that and I notice I don't need the items so I delete it, or if it's long enough and I find myself needing the item I'll remember it's already in my Amazon cart and I finally go ahead and purchase it.
This is probably the best finance video I've watched. As someone with bipolar disorder and ADHD, always looking for that dopamine hit and impulse spending, these tips were actually useful to me. Bringing up the psychology spending/saving and "keeping up appearances" was soooo helpful. Thanks for the video!! Gonna share with my husband.
I've found it useful to create another Bill called Maddings Utility. This is a made up company name but you have their cost be $150 per month, if you can afford to put that in the debit pile each month. If you can afford more, then definitely up this amount. 100% of this money goes automatically into investment account that you do not have access too, as you must pay this utitlity bill. Just put it in there, non-bipolar person invests it and holds. Just buy stock - ETFs or REITS and then hold for the long haul. With mental health issues and dopamine buying problems, I've found this the most helpful. It is the only way I was able to save a couple thousand. There is no way on SSDI, I'm saving nearly $30 per day! I cut out the latte factor, cut out eating out, buying anything extra, no mad money, no netflix, no hulu or cable, etc. and stopped spending money to the Nth degree and money is still very tight. Cost goes up, but my income does not keep up with the cost of over priced food allergy safe foods. I had to go back to food shelf in order to save any dime. Which is why it is worth it to look at passive income sources and try to get off of Silly Stupid Damaged Intellects payments.
Advice like this for saving is just for people who have zero saving mindset. What about the people who already make all meals, don’t drink coffee, don’t go to bars, etc. the savings accounts strategy is helpful but the basic make your own coffee advice is a bit simplified
I have a couple thoughts. One thi g I have noticed when I started to save money and apply strategies is that budgeting is just a nicer way to live off of your means. (If im writting that correctly) basically it shows me how broke I am. And the second thought is the why. Why do I want to save money? Because im fighting againt addictions. That late at a specialty coffee thats 6 bucks. The snacks I get durring work. All that adds up. So im allowing to spend 50 bucks a month on coffee and 50 bucks a month on snacks. By doing this ill save about 600 a year since I would average 180 dollars on snacks and coffee... but the addiction man that shits hard. That dopamine hit. Its soo hard not to purchase feel good items that ends up burning a hole in your pocket. But I can do this. I can save money with a basic job and help mu mom with some of her expensive
Shopping addict here and I felt this comment but it sure feels good saving nearly 2k a month I was spending before. I didn’t even care if I spent that months rent so it became a real problem. I deleted all shopping apps and am fighting the urge everyday but it’s so worth it. I wish you luck!
I honestly live below my means and actively save money for a home and retirement... But at what point am I just living a super restricted life where I'm only just paying essential bills? How do I save more for my future when I need the money today? I'm feeling a bit defeated I may not have the same opportunities to live and start my life like my parents and grandparents had before.
Currently I'm just being smart and frugal with my money, I'm in the green 47% over the last 23 months and l've accumulated over $70K in pure profits from DCA’ing into stocks, ETFs, dividends and futures. However I’ve been in the red for a month now. I work hard for my money, so investing is making me a nervous sad wreck. I don’t know if I should sell everything, sit and just wait.
Stocks are pretty unstable at the moment, but if you do the right math, you should be just fine. Bloomberg and other finance media have been recording cases of folks gaining over 250k just in a matter of weeks/couple months, so I think there are a lot of wealth transfer in this downtime if you know where to look.
I've done this in one year on 27k and was not focusing on any of these points. Granted I'm in a lower income threshold area. I can only imagine what focusing my mind can do especially with my flexible income
I just thought I'd comment as I haven't done this yet but definitely look at making a goals board, kind of like a mood board but for all the things you want, for example a house or specific items that drive you to want to save.
Here's how I save money: - Put some money in the stock market - Watch it go up more in 1 day than you made at work that day - Realize this feels way better than working to earn money - Desperately want more money to invest - Suddenly want to live frugally so you can put as much as possible into stocks - Fast forward two months, saving becomes a habit and a lifestyle and is no longer something that takes willpower
UK: save £5/600 per month by switching off your fridge/freezer! My electric bill is now £25! You can save £10k in no time AND its cheaper to eat out. For eg at Wetherspoons its £10 for steak and chips PLUS a free drink. (A free pint or a café lattë.) There are cheaper meals too including Fish n Chips.
One of the hardest things I have tried to do is shut down my impulse buying. The wait a week and see if I still need it will become a tool I will try. With todays costs of everything living - food, utilities, insurance it is getting hard to make it even with a decent income.
Thanks i am saving for a laptop but i spent my money on day 3 i am restarting the laptop i wanted is only about 60 dollars in my country but i only get like 40 cents in my country which is only 20php per day
feels like none of this matters unless u have disposable income to begin with. yes its easy to spend extra money once you get it in hand, and learning to overcome that can save you a lot... if you have money that is spent on things besides necessities. if all of your money is put in that spending account for necessary monthly bills, then how can you save 30$ a day? if you cant afford nice clothes and a night at the bar to begin with, how can you emotionally convince yourself to put your money to better use? i dont know anyone with the ability to say "ill just get rid of netflix cuz i dont use it." that ship has sailed a long time ago. now a video about how someone making $12 an hour can save 10k... that would be extremely helpful.
I don't thik that is possible just based on the math alone. Someone making $12 after taxes and etc. only has 19K and I can't see very many living on 9K without outside support!!
Excellent video. I was a single parent and when my sons were babies I tried to save a pound or two a week to help toward Christmas. It was less about the amount and more about getting into the habit of saving. I wasn’t perfect, especially as my income increased, but I have been able to retire at 56 with a paid off house. Be kinder to your future self, you absolutely can do it.
Guideline Automation: pretty much what i do on a smaller scale Don’t Save $10,000: i kinda failed here lol (set a goal for double that). still, this shouldnt take me too long until i can slow this rate in favor of other things. Emotional Bank: feel this. had been broke my entire life and my first intro to any significant amount of money were student loans. Not Now, But Later: this one, i have limited success on. if nothing else, i mostly have the things i care about and generally just averse on things that arent necessities. Future Value Formula: doing this one slowly while working on point 2. once i hit 10k, ill be flipping what i save (higher amount) and what i invest (lower amount) or at least thats what i hope to do. Ego Saving: cant help this one too much, its usually trying new foods and usually not the stuff good for me either in addition to what i normally get. love videos like this, everyone has similarities, but theres always differences somewhere and something to learn or reinforce.
Definitely some helpful tips. I think using YNAB has helped me manage these just by using the software regularly, but I've definitely realized over the last couple months that I've gotten a bit lazy with some spending habits, and this is definitely the reminder I need to level up my savings balance.
It's about self discipline on the highest level, buying things you need instead of want, writing monthly budgets, looking at the bigger picture instead of instant gratification, feel good about yourself, how much money do you spend to try and fix your feelings?
I feel like getting an electric bike or a cheap car might be an investment because it costs whole lot less than Uber even though there’s an innitai amount you have to pay you save so much that it pays off after not too long
I get around 20K AUD a year so buying a new light bulb put me into debt. Do you have any tips for saving below the poverty line? I have saved $85AUD in the last year and a half which has been really hard to do when i take 5 medications and also keep needing food. I have cut out snacks above $2/day and all subscriptions, I don't have a car and only eat 2 meals a day now. I wish the cost of living crisis wasn't so fricken harsh on ppl with disabilities bc I have anaemia from iron deficiency now and can't afford meat let alone supplements. I have learned that every single cent you have counts, if I only have 3c at the end of the fortnight I save it. It actually adds up quite a bit when you do it for a while
Try to save 27 USD daily in country where average yearly Net income is something about 11 000 USD.. But of course if you are lucky enough you live in US. These videos gives us all idea (non us residents) how much are americans spending on trashy things + expensive lates in Starbucks..
I like the advice, but agree with other commenters that a base line of making 67k is unrealistic for over half of all Americans, based on average incomes. But, I like the second half of your video a lot. That is much better. Finding why to save money is huge, and is a way better message.
The Add to Cart wait list for shopping is really effective…not only does it slow impulse spending, the website will often send you a discount code to help push your purchase decision, so if you do buy, it’s typically for less 🤑
@@VincentChanSadly I think it's genetic. The Bank told us we could afford twice the mortgage we applied for. We said we don't want that. If either of us loses our job, the other can pay. We knew it was the right property. We did one luxurious thing, put a hardwood floor in one carpeted room. That's nothing by today's standards! I don't think this way of thinking is learned. But perhaps risk aversion is a result of early trauma. Also, you're such a good son. My children are not forgiving me for wearing oversize clothes, ungrateful brats. I suppose they have other positive qualities, I shouldn't be so harsh... Yes, I am a Hong Kong mom. 😉
Interesting!!! Thank you for the information and keep it up!!! The PS5 I can get is not now, but later. Plus, I have older consoles that are still worth to play.
I’m late to the party and started that Auto deposit from checkings into a HYSA this last year. Once my 1099-INT was mailed to me from my HYSA, I was surprised how much it grew. Had to pay taxes on it but it worth it lol
I saved 14K last year even with constant car issues. Midwest penny pinching makes most purchases even $4 for a years worth of salt hurts 11:59 the clever I bought was $5 a year ago. It is $10 today. Some utility things you can maintain are worth buying at a price you know is a deal
Unfortunately for the first option, you race yourself but forget that you are already getting taxed. If you only get 80% of your salary as take home your reducing your total savings from your savings “tax” by 20%. That’s generous tax percentage too for those in high tax locations it’s worse by a massive margin.
You've done a great job of selling yourself. I've been stuck in a very productive rabbit hole, your channel, for quite some time now.....Just subscribed!
We only work 5 days a week. If im doing $27.39 a day. You're counting weekends so it is more the days worked. So we actually need to save around $38.29 over each work day pay check.
Join my FREE $1,000 Savings Challenge on Oct 1st → learn.vincentchan.co/save1k.
Limited spots available. If you click the link and it says "sorry it's no longer available" then we have reached capacity.
This is one of your videos that contains WAAAAAY more valuable concepts and wisdom than people can unpack in one go.
@@andrewmathias52 I didn't need the tracker, but I tried it and got the same failed result.
Thanks buddy!
"I've been saving money for a rainy day, but with inflation so high, it feels like my savings are losing value faster than I can earn it. At this rate, it seems impossible to save enough for retirement."
Not all hope is lost. Talk to a financial advisor about inflation-protected investments like TIPS (Treasury Inflation-Protected Securities) that can help your savings keep pace with inflation.
"Financial advisors can help you overcome inflation by recommending investments that can outperform it, such as real estate or specific stocks. One of my clients used this approach and increased their savings by 15% in just two years, effectively offsetting the effects of inflation
That does make a lot of sense, unlike us, you seem to have the Market figured out. Who is this fiduciary??
“Rebecca Noblett Roberts” 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.
I copied her whole name and pasted it into my browser; her website appeared immediately, and her qualifications are excellent; thank you for sharing.
The way that I saved my first 10k was by not trying to.
I automated it. I had my bank automatically transfer money into my savings before I could get to it. I set that amount to a number I was comfortable putting away each payment and kept grinding. It's amazing what you can accomplish when you keep your head down and not fall into the trap of peer comparison.
People who get a pay rise should just pretend thay never got it and do the same with that money. Most don't though? It's called lifstile creep.
@@martinrbookermb I agree wholeheartedly. In my career, I have earmarked almost the entire $ amount of raises between (1) increasing extra principal payments towards the mortgage, and (2) increasing percentage to savings in the form of 401K, then Roth 401K, and ultimately age 50+ catch-up contributions. Doing #1 allowed us to pay off a 30-year note in ~18 years. Doing #2 allowed me to build a significant (>7 figure) retirement account.
@@martinrbookermb True that, the more money I made the more I spent on things that weren't necessities, but percentage wise, my savings actually went up (to the point where I can put the maximum amount into my 401K now, though I honestly did that to pay less taxes) more than fun money though.
It's also smart to keep your savings in a separate banking institution so there is some minor friction in accessing the savings. When I first started saving, I opened an account in an online HYSA (this was in the early days of this existing) from ING bank. I had an auto-savings plan for $30 per week at first, then I was able to slowly ramp that up as I got increasingly comfortable with "less money" on hand.
but, you have access to the savings account
Here's another trick I've found super helpful: When I started my career 10 years ago, I set up a separate savings account just for my 'fun money.' Each month, a small part of my paycheck automatically goes into this account. It's for treats, nights out, or whatever fun stuff I want. This way, I enjoy my money guilt-free, knowing my savings goals aren't taking a hit. It's all about enjoying the present while securing the future. Awesome insights and great video Vincent! I've made a video on a similar topic, welcome to check it out!!
How much percentage do you do for fun account from each paycheck
@@XxMirrorFlashxX personally I do 20%, including movies, dining out, drinks and some shopping 🛍️😄
@@CharleneCong thank you
I have a girlfriend now and it would be unrealistic to not take her out 😅
Yep that why I currently do
Don't you mean separate checking account for fun?
I added daily 2 hours walking to my routine and saved tons of money. Kept me from shopping or eating out.
where do you walk for 2 hours a day?
@@VincentChan I live in DC. BTW, my son followed your advice and started a tour business. He takes people around the city. He just finished high school. He said it was the most fun. He and his friends did well
@@foodlover8151 that's so cool!! how has his business been going?
@VincentChan I sent him the link to your video on side hustles. He and his friends connected with minority communities offering cheap tours in DC. They were able to purchase group discounts to shows at the Kennedy Center. They had a blast. Most if them are busy with school but they plan to resume in summer
I walk to my local izakaya and drink unlimited for 1,700 yen. I have not saved shit lol
What I have learned to do this year is look at things to purchase based off my pay. I get paid $16.50/hour. Instead of considering the $/value ration I look at the hours of my life/ value. In essence is this xyz item worth abc hours of my life. Time I worked for that I can never get back.
I LIKE that; I think as people get older and older, they will consider time to be more valuable than money; but you are doing that early.
Your income is extremely low for 2024, why aren’t you looking for other work?
@@Justin-uv7vjcause bidens economy sucks and there ain’t shit out there that doesn’t require some sort of an education
Time is money. 😊
This is how I was taught about money at a very early age. I asked my parent could I got McDonald and buy a burger, they asked how much do I make an hour, at that time it was like $6(1995)
-they metiomed it will take an hour of your life to eat a hamburger meal and I was floored.
With our paychecks We automatically pay 25% into 401k, $50 to the ongoing emergency fund, 1/12 of $8000 ROTH for each person as well as every bill because all bills are automated. We can spend what is left in the account. Having everything automated prevents decision fatigue. We have debit cards so we can only spend what we have. We live minimally and really just spend money on food and experiences. If every person in their 20’s would do this they would have a better life. At college my roommates and I learned to make our own cocktails, everyone would split the cost of the components. We would decide on different cocktails each week. We would rent movies and make our own popcorn. Spending time with your friends outside of venues and attractions makes better memories and relationships.
We do the same thing, but we utilize credit cards for bills and expenses. We have our bill credit card(s) linked to a bank account specific for bills, and it's paid in full every month (so no interest).
We do the same thing with our fun money, making sure we don't spend more than what's in our fun account(s) so we can pay it off every month (again, no interest).
Due to this, we get a ton of benefits like cash back on basically everything, free insurance for our phones, built in fraud protection, etc.
yes yes yes! my husband and i are 23 with 2 toddler girls. we moved out at 18 and this mindset has gotten us far. i can’t wait to see where we are in the next 5 years! it feels better to be financially stable and living below your means rather than drowning in debt keeping up with the Joneses.
I only lasted 1 minute and 7 seconds into the video because I’m already not making 67k 😭
Haha so good 😅
It's not abt the amt, it's abt the process. When I started, I was making 26k/yr & the only household income. I started with an amt so small it was nearly insignificant: $2.50/paycheck. It took me a year, but I was able to get that up to $25/mth. At one point, I had an unexpected car repair that was $450. Kicked my ass & nearly knocked me flat, but I was able to pull from that once so-small-it-seemed-stupid acct, & could pay $200 in cash, only charging the remaining $250 to my CC. Was I discouraged & frustrated & all the things? Absolutely. But I'd begun the habit, & after that 1st "payoff," I saw the value, & slowly was able to change things in my life. It's hard. It takes time. But it can be done.
Great strategy.
It’s hypothetical. “Let’s say” means “let’s imagine” you don’t have to make 67k a year. You save within your own means and budget.
When you make $67k a year, you bring home much less than 67k due to taxes
$27 is how Bernie earned so much money for his presidential campaign fund in 2016.
I kept bugging my wife about investing into my 401K but she always argued that my income was so low that we couldn't afford to put anything into savings.
When she died, I set my payroll check so that a portion would into my 401K to match what the company would match, plus an extra 10%, with the idea that by living by myself would cost less than it did for the two of us.
Then I completely forgot about it.
I left the company about five years later. About two years after that, the company sent me a letter asking me what I wanted them to do with this apparently abandoned 401K fund.
"I have a 401K?" All I could remember was my wife's arguments against putting any money into it.
There was more than $22,000!!
I had it roll onto an IRA.
when the company matches, how can you afford saying NO to that money? Congratulations on starting up that 401K 🥳
I worked in public sector. Our department has 457k match. I kept my take home at 5th year level by increasing contribution annually. I have coworkers using your wife’s argument when we pushed them to open a 457k account. 25 years later I retired early while those without 457k are still working to get a higher pension. My retirement pension is 75% of my highest take home pay plus a sizable 457k as old age inflation fallback.
@@33Jenesiswhats the difference between a 401k and a 457k? ive never heard of 457k until now
@@dremewhite5209 457k is public sector’s 401k.
@@dremewhite5209 457K is basically a government version of 401K. It works exactly the same. The benefit is that you can have both a 401K and 457K (with separate contribution caps, but only if the government entity offers both, in other words, if the cap was 20K, you could put 20K into both, for a total of 40K).
And in modern accounts, it would be referred to as a 457b now.
I actually now have 2 at my work place, and since I'm a super miser, I put the max cap in both. That being said, it forced me to budget like crazy.
I saved $10,000 last year. This year I have saved an additional $7,000. So my goal is $20,000 and debt free. So $3,000 to go then I am working on $5,000 worth of credit cards debt. Which for now the balance is at 0% until next year 2025. Then I plan to start on another $10,000 for a total of $30,000. The more money I have the better I feel. And the less debt I have the better I feel.
start buying stocks now
I buy a 10 oz bar of silver every week at my local coin shop. About $250, and that's the only way I have been able to save. I can't handle money, but I love stacking silver and gold. I'm at over 500 oz's of silver and 10 oz's of gold. That's about $46,000 and it only took me 4 years. I've been stacking since COVID, anyone that has trouble saving should try this. I'm going out and buying something that is an asset and adds to my net worth and I get to physically own it and watch my stack grow. It's very satisfying and there is a great community behind it.
When I was young I always dreamed of having a stack of gold and silver coins. As an adult I have precious metals ETFs but it’s so boring. How do you handle safety and storage?
Hahaha that's great dude, what's your home address????
Ok Duck Tales 😜😂❤️
@@fmoreira2727I have different storage units and a bunch stashed in there in random places, some at home. Different caches are key 👍 as long as no one knows it’s there and you’re discreet you’re fine. Safety deposit boxes can be closed by the bank / post office at any time. Put a bunch of your extra stuff / seasonal clothing in a storage unit w some metals. Most are insured as well and many have 24 hr access. I’ve also saved quite a bit of literal coin this way 👍
My friends old school parents did that. They saved over $80k in gold. My friend has been telling them to get a lockbox at the bank but the parents didn't want to spend the money.
They got robbed of all the gold and more this year.
Yeah, I discovered that after realizing that I was spending $10 a day on bottled water, multiplied x 365 days a year = $3650 spent on water alone! I could have gone on three trips to cuba a year! I researched awesome water filters and found one called Clearly Filtered, from L.A. which was a bit pricy initially but was worth it's weight in gold! I save over $3K+ a year on water. Was pretty proud of that move.
woah how were you spending $10 a day on bottled water? Were you buying 10 individual bottles?
Water bottles in gas stations, rest areas, and truck stops are very overpriced, often $4-$5 for a liter. As a truck driver, I can easily see spending that much. I'm at the mercy of what the truck stop wants to charge because those are the only places along my route that I can park a vehicle of my size. The lifestyle of the typical truck driver can also lead to diabetes which also makes one thirsty all the time. I have started bringing a jug of water from home and it has indeed saved a lot of money
I annualize ever expense so that way it hurts more, my phone bills isn't $300 it's $300 * 12
@@VincentChan Was buying bottled water for a family of five who didn't believe in drinking tap, so it got pretty costly on the daily.
Have you tried getting those big gallons of water from Costco and switch to filling up water bottles daily? Our household has been doing it for 3+ years and we've saved a lot, like a lot of money. @@Edward-ni8yi
I can relate to so much of this. My hobby is sewing/quilting/embroidery. I can't tell you how many things I've purchased for it on impulse that is now collecting dust. It's true. You're eager to buy an item, you're excited for its arrival, you open and use a handful of times, then tuck it away to be ignored or forgotten. Touching on the topic of "one-upping," I broke the habit of upgrading my phone every year. I started over 6 years ago when broke and in nursing school. After my phone was paid off, I became cognizant of how much I didn't have to pay my carrier and how much money I could either save or spend. I also recognized that I don't use my phones to the most of its abilities, I'm not much of a videographer or photographer, I don't game on my phone, etc. So having the latest and greatest model isn't beneficial to me. In fact, it's wasteful. With that said, my new habit is to hold out for several years before upgrading and try to get the most out of your $1000+ purchase. Another savings tip is to purchase refurbished if at all possible. You'll have to be selective about that. Some things are better off purchased new. But not all things.
I can't imagine spending over let alone 500$ for a phone... Imo 1000 is absolutely overkill unless you really have a passion aaand need for the phones specific features
@pinkforguys right. I'll be the first to say I can be showy sometimes. But I truly stopped the annual upgrades because it was wasteful. I will still get a TOL or mid grade phone, but it isn't until my current has become seriously outdated. The phone I have now has had 3 generations come after it, and I still haven't taken the leap into the latest. However, there are some things I won't skimp on. My car, my sewing/embroidery machines, and it has to be Q-tip brand swabs. Lol 🙃 no other swab compares. Lol
@@pinkforguys In the States there is no competition for 🍎 Apple. It's about 1000$. I don't think they use Android. I would never buy a phone this pricey.
I buy a pro max and a galaxy ultra every year .. I wanna get to a point where I'm able to get anything cause it's cheap to me
@@nkha23We definitely have android. I buy Pixel phones, whatever outgoing phone is being replaced by the newest thing. We keep them until they're destroyed.
First you have to be paid a liveable wage and have affordable housing and other living expenses.
$833 a month is twice what I make in a month, soooo....Considering that one paycheck pays rent and groceris, and the other paycheck pays utilities -- and I don't buy name brand ANYTHING and can't remember the last time I bought new clothes at all and I haven't eaten out since the pandemic and I haven't had a vacation since 2007 -- then no, even at $27 a day, this isn't a realistic savings goal for me. MAYBE I could do half that.
I think start where you are ... Wishing you very well!!! 💗
I was thinking the same thing. Try doing half and stick with it!
yep. too much money. In my currency I invest around 380 a month. Most of it goes into building my Emergency Fund, but a very small portion goes into 4 different investments, including some stock just to diversify. I just turned 1 year on my job and I just passed a month of my salary (I also bought myself a nice phone cuz I didn't have one for over a year, so I treated myself, but I haven't bought anything big since then and I saved every penny to not have to buy on credit card)
You can try that amout each paycheck. So about 50 a month. It may help or even 25 a month. Sounds low but any little but helps. I heard of a man that saved pennies or just coins from loose chamge for years. Turned out to be thousands of dollars after a while. Any little bit will help.
Same
Who really has a extra $850 to save a month that works one job, rents a 1 bed room apartment and has a car while also paying utilities and bills
I do. Thankfully my housing expenses are low (2 bdrm). My car is paid off. My salary is healthy. I’m taking full advantage of it while I can.
🙋♂️
I'm a nurse and picking up 1 extra night shift with incentive = around $1000 per shift. Makes it easy to have extra cash flow without getting a side hustle or another job
A lot of people depending on where you live, especially if you don't have any children. Unless you have an expensive car, an expensive living situation, or just don't make very much money.
This!!! The average 1 bedroom in my city is $2100/month plus utilities
I managed to meet my savings goal of $5,000 last year. This year, my goal is to match that amount and have $10,000 saved be the end of the year. I’m already making headway towards it and I really appreciated some of the tips you provided.
How did you do it?
@@brandonburns5365stop buying useless stuff 🤙🏽
Jedi mind tricks or not. Most Americans can't save $27.39 a day. Child care, car maintenance, health issues extra. Public transportation isn't available in most of the country. This problem isn't an individual problem. This is a societal issue.
Yes but you dont need to save 10k in a year. You can lower the goal. You could just 1k a year. Save $2.74 a day. Any savings is a good amount of savings.
This is a victim mentality comment.
Your parents being your why had me choked up. I love my parents like you do yours. Great information by the way, immediate like and subscribed. Blessings to you and your parents.
In order to save 800 something bucks a month you need to make that first . In central-Eastern Europe where I’m from that is the average national monthly salary 😢
Also it is way cheaper to live in our counties than in America. So that is also a +
Im from Texas and that’s way too much for our family too.
@@moonlaughs26 Hi , I'm a bit confused .Is that too much to save or to live off ? because I know in Texas everything is big and expensive :)
This is so randome I know and I don't know if I've mentioned it before. In regards to the video itself not the content I absolutely love how this guy makes his own stock videos he uses all the time. Subscribing to a service and using randome clips is pretty jarring and often they don't have the same lighting, camera settings, people and do not flow well when most people use them. It is also part of the premise for the whole channel in that we try to look good but save money so making your own reusable stock videos with yourself in them is such a good fit for this channel. I love this channel for the info, but the way the videos are made and the personality that shows through really solidify this channel and keep me comming back.
What a thoughtful compliment. I noticed it though and appreciated how it isn’t jarring the way stock content is.
I don’t know about that ego thing. Most of what I buy, I don’t tell anyone about.
I heard that before you buy something think: If no one will ever know about the purchase you are about to make would you still want it.
I think the motivation for spending is more often so other people know about it, just look at typical monthly payments for new cars alone lmao
Great advice!
@@inspirice9844 I don't understand this mindset, absolutely everything I buy is for myself unless it's a gift for a friend... I feel like that mindset is more prevalent in the US than elsewhere...
I feel like this is kinda worthless for most ppl. Most ppl spend money for themselves
And that's why I never buy luxury goods. I don't like displaying how poor I am (poor people who want to look rich by "branded clothes", true rich people wear/buy ultra expensive un-branded clothes/items so that only those in the know, know).
I saved 80k on 1000-1500 a month jobs 😅
How long did it take you? 😳
@@LittleKikuyu about 6-7 year. Caveat, I was living in Thailand and now Poland.
When I paid off my car, I started transferring the same amount as my car payment into my savings account every month. Now my pretty old car needs to be replaced and I have that $ saved for a down payment. Now if I can just figure out how to get a new car equal to my old car payment?
That's great! I suggest buying a used reliable car... We are looking at a Lexus ES, low mileage for $13k. I suggest buying a working used car with the down payment you saved up.
Exactly!!!
Look for a used but good car around 4-6 years old .
They are at the end of the massive depreciation curve and should last for 6-10 more years.
That’s awesome but don’t buy a brand new car get one that’s new to you!
I like the not now buy later list!
Feels neat that i sumbled on the tip at 10:25. I just called it online window shopping. Make a wishlist and sit on it. Glad to hear the reassurance
Some online retailers have a ‘save for later’ button. I love that! Most times I don’t buy or it goes out of stock and it was definitely just going to be an impulse buy.
NGL deciding to eat very healthy where I avoid processed foods entirely has saved me tons of money. Deleting Amazon and RUclips apps from my homepage also helped too.
yes!! I stopped eating fast food and it makes me feel a lot better and i save a lot more too
@@VincentChan I actually gave up fast food eons ago because it would make me sick that's just a portion of that. What in saying goes even further than that, I'm referring to all processed foods including junk food like potato/tortilla chips, TV dinners, Cold cuts, and processed desserts like Oreos. Basically I just don't go in the aisles at all at the grocery store, however that doesn't mean I don't have snacks just instead it's more of like a heated pita with garlic hummus or yogurt.
that's very healthy. read the book ultra processed people and you know you made the best decision for your health
I am retired yet still able to save 7k a year. I took most of my IRA and pension and paid off every debt,, even the mortgage, invested the rest and can still put $ in the savings account. However I never go anywhere, have a very very old car that I can only use for local shopping, never buy anything new and never eat out. But it's sort of fun being very frugal. It's made me creative.
I think it's largely also about being bored and making impulse buys from sitting on our phones all day. Go outside, guys, visit with a friend, go to a museum, a park, go roller blading. My boyfriend and I play tennis for about an hour and I never once think of my phone during that time because we're having so much (free) fun!
Big time inspiration!!
I watched this video beginning this year (Jan 2024) and followed the tips. I'm currently at 6k as of today (Aug 2024) and I'm about to hit 10k by the end of November this year!! I am 22 turning 23 and I'm very proud of myself for getting to this milestone despite being a small amount. We all start somewhere anyways.
My next goal after is to save to 100k! Which I calculated should take me approximately 7 years which is just before I turn 30 years old. I'm very excited :)
For some people, it's a little different. I'm a collector of various things-old media like vinyl records, tapes, and laser discs, as well as anime figures. When you mentioned the dopamine aspect, it resonated with me. I feel a rush when I see something I want, I buy it, and then that rush intensifies every time I see my collection. It happens every day, every time I glance at my shelf. I realize that my collection doesn't hold much value in monetary terms, but it represents a significant amount of money (selling anything from it is basically impossible in my region).
With old media, it's a bit different. My dopamine spikes when I use that media-when I put a tape or a vinyl record on the player. It's basically an addiction, but it's a significant part of my life, and it makes me happy. Recently, I've come to the conclusion that my collection shouldn't be random; it should have a goal. So now I'm quite selective, and that has drastically reduced my spending.
In another video, you mentioned the importance of quality over price. I've accumulated so many quality items that when I lost my job, my two primary expenses were electricity and food (water is free here, and I rarely use gas for cooking). Since I own the land and live in a trailer, I was able to survive on just 6 euros a day, which covered dinner at a nearby family restaurant. So maybe my addiction to buying quality stuff paid off a bit? Probably not, but at least I've minimized my spending.
When I finally got back into IT contracting (after the recession eased), I was able to build a 10k emergency fund in just two months. After watching your videos, I've started to question my spending habits. I'm now considering investing in an index fund with a low interest rate outside of my country. However, I still don't have a clear purpose for my savings other than retiring early. To achieve that, I believe stocks with dividends might be the best option?
It honestly boils down to the why - especially when you realize theres no safety net. It becomes second nature after a while.
This is great and all but when you only make 30k/year, even implementing these or similar tips is not gonna make it to 10k anytime soon.
Have to start where you can. Start with$1 a day, or whatever spare change you can afford daily. I started with saving $1 a day two years ago. Changed my mindset as well the longer I did it. Then started investing some of those savings. I’m by no means rich but am to the point I can literally save about $16 a day. And have my savings in a high yield savings account, and those investments I spoke of before. Doesn’t hurt to try, because we miss every shot we don’t take !
Don’t be discouraged! There are other methods I have found here on YT for same type of savings.
Same. Well, similar.
What a great list of achievable savings steps! Thank you for sharing.
i think this should be titled “budgeting when you’re middle class” bc talking abt coffees, ubers, eating out all the time…yeah we aren’t in the same situation
Spot on yeah.
I make $19 at Amazon only work 3 days a week at 36 hours and live on my own in a two bedroom house and still can save $250 a week get a different job or stop complaining about “middle class” that shits dead bro🤦♂️😂
Wow!! I love your "Why"!!!! What a beautiful thing to say about your parents!! New subscriber for sure!!!!!
$67000 income needed... Yeah...
Just 183.56 a day.
@@Deebo277😂
Me spending $160 at Costco then forcing myself not to order DoorDash for the next 15 days
We're related. 😂
I vowed to save more this year do I cut out shopping. Last Sunday I spent $3300 to book an Alaska cruise. Today I paid close to $3k on tax owed. My homeowners insurance is due at $1500. My car insurance is also due at $1500. In a 2 week span I have close to $10k expense. Next month I am paying $12k for a new roof.
I had a month like that. I still remember it. 😂 April 2017. Taxes were due, quarterly tax estimates were due and I bought a new vehicle. I spent $20k in a month. Thankfully, I had prepared for all of these expenses but still.
you telling us about your parents was really touching and motivating
Thank you is has been the clearest way of saving without feeling over-whelmed.
I was already doinng 1 without realising it, works for me and how my life is setup right now. Best thing is that if I put money into my HYSA it is still accessible, just takes a day to release. Which allows me to think twice about any potential purchases.
Simple math… do I buy a gym membership or dance app or do I use free RUclips app to exercise.
If I think a gym membership is best the question becomes will I religiously go to the gym (past behaviour is a great indicator of future behaviour). I’m at an age where I no longer want more stuff so I’m getting rid of stuff instead (mostly stuff I never use; hence past behaviour theory). Do I need the clothes or can I use something I already have? You can automatically send money to savings accounts but if you can’t question your purchases you’ll end up spending those savings on a whim. Am I buying new ??? because what I have is no longer usable or just to have new things?
Great video. It's really about your mindset about money. Create a minimum wage savings video b/c some can't apply these concepts in this video b/c you used a salary of 67k and a goal of 10k and immediately shut down.😮
When you earn minimum wage, just ubered to work, walked into the office with a Starbuck drink, and purchased lunch for the day, and then tell everyone you don't make enough money while waiting for your Uber to take you back home.
Then get a part-time job, then adjust your spending based on the part-time income, and then realize you need another part-time job and your financial situation has not positively changed because you failed to plan and strategize with your money/spending. 😢
Now you have your F/T and two P/T jobs and spend money eating out because you don't have time to cook. And the cycle continues and you live paycheck to paycheck and wait annually for your tax return refund to have fun spending it.
Some years ago I started working from home. After a while I thought of putting my gas money and my snack money into an investment account. The $60 per week is currently about $15,000. It is a bit difficult to stay the course but most weeks I remember.
Me having no ego and not giving a F about what anybody else has, has literally saved me thousands of dollars.
Not now, but later is super powerful. I use it with online shopping carts all the time. I add the item and let it sit there. Bonus points if it's a persistent cart like something in an Amazon account. Every time I go back I see it and go, "hmm... I COULD use that, but not right now" so it compounds the effect. Eventually it stops doing that and I notice I don't need the items so I delete it, or if it's long enough and I find myself needing the item I'll remember it's already in my Amazon cart and I finally go ahead and purchase it.
This is probably the best finance video I've watched. As someone with bipolar disorder and ADHD, always looking for that dopamine hit and impulse spending, these tips were actually useful to me. Bringing up the psychology spending/saving and "keeping up appearances" was soooo helpful. Thanks for the video!! Gonna share with my husband.
I've found it useful to create another Bill called Maddings Utility. This is a made up company name but you have their cost be $150 per month, if you can afford to put that in the debit pile each month. If you can afford more, then definitely up this amount. 100% of this money goes automatically into investment account that you do not have access too, as you must pay this utitlity bill. Just put it in there, non-bipolar person invests it and holds. Just buy stock - ETFs or REITS and then hold for the long haul. With mental health issues and dopamine buying problems, I've found this the most helpful. It is the only way I was able to save a couple thousand.
There is no way on SSDI, I'm saving nearly $30 per day! I cut out the latte factor, cut out eating out, buying anything extra, no mad money, no netflix, no hulu or cable, etc. and stopped spending money to the Nth degree and money is still very tight. Cost goes up, but my income does not keep up with the cost of over priced food allergy safe foods. I had to go back to food shelf in order to save any dime. Which is why it is worth it to look at passive income sources and try to get off of Silly Stupid Damaged Intellects payments.
I did a manual guideline, saving every week. Hit 10k last year and aiming for higher this year.
This really motivated me. I will start saving from now on. All the best from Denmark.
Guys buying that coffe and going to the bar ain’t going to make u 10k it’s an income problem more then a spending problem, make. more. Money.
I love the inclusion of the social, emotional, and physiological components to this video! Thanks for the quality of the video!
Advice like this for saving is just for people who have zero saving mindset. What about the people who already make all meals, don’t drink coffee, don’t go to bars, etc. the savings accounts strategy is helpful but the basic make your own coffee advice is a bit simplified
I have a couple thoughts. One thi g I have noticed when I started to save money and apply strategies is that budgeting is just a nicer way to live off of your means. (If im writting that correctly) basically it shows me how broke I am. And the second thought is the why. Why do I want to save money? Because im fighting againt addictions. That late at a specialty coffee thats 6 bucks. The snacks I get durring work. All that adds up. So im allowing to spend 50 bucks a month on coffee and 50 bucks a month on snacks. By doing this ill save about 600 a year since I would average 180 dollars on snacks and coffee... but the addiction man that shits hard. That dopamine hit. Its soo hard not to purchase feel good items that ends up burning a hole in your pocket. But I can do this. I can save money with a basic job and help mu mom with some of her expensive
Shopping addict here and I felt this comment but it sure feels good saving nearly 2k a month I was spending before. I didn’t even care if I spent that months rent so it became a real problem. I deleted all shopping apps and am fighting the urge everyday but it’s so worth it. I wish you luck!
All the best…you will do this!
I honestly live below my means and actively save money for a home and retirement... But at what point am I just living a super restricted life where I'm only just paying essential bills? How do I save more for my future when I need the money today? I'm feeling a bit defeated I may not have the same opportunities to live and start my life like my parents and grandparents had before.
Investments are a start
Excellent video. Ego is my biggest problem in saving money.
Hello, nice video. is the tracker still available for download?
Currently I'm just being smart and frugal with my money, I'm in the green 47% over the last 23 months and l've accumulated over $70K in pure profits from DCA’ing into stocks, ETFs, dividends and futures. However I’ve been in the red for a month now. I work hard for my money, so investing is making me a nervous sad wreck. I don’t know if I should sell everything, sit and just wait.
Stocks are pretty unstable at the moment, but if you do the right math, you should be just fine. Bloomberg and other finance media have been recording cases of folks gaining over 250k just in a matter of weeks/couple months, so I think there are a lot of wealth transfer in this downtime if you know where to look.
Sadly, I don't make near $67k, so how can this apply to me?
I've done this in one year on 27k and was not focusing on any of these points. Granted I'm in a lower income threshold area. I can only imagine what focusing my mind can do especially with my flexible income
Taking some of you advice, thanks!
do you have any videos about those high yield accounts, as mentioned at 2:16
There videos everywhere or Google best HYA for 2024
I just thought I'd comment as I haven't done this yet but definitely look at making a goals board, kind of like a mood board but for all the things you want, for example a house or specific items that drive you to want to save.
Here's how I save money:
- Put some money in the stock market
- Watch it go up more in 1 day than you made at work that day
- Realize this feels way better than working to earn money
- Desperately want more money to invest
- Suddenly want to live frugally so you can put as much as possible into stocks
- Fast forward two months, saving becomes a habit and a lifestyle and is no longer something that takes willpower
Wow
I love this. Inspired to do the same now, thank you!
UK: save £5/600 per month by switching off your fridge/freezer! My electric bill is now £25!
You can save £10k in no time AND its cheaper to eat out. For eg at Wetherspoons its £10 for steak and chips PLUS a free drink. (A free pint or a café lattë.) There are cheaper meals too including Fish n Chips.
We do: $100 x week to a high yield savings account. The rest we can spend… it hopefully we don’t go farther than $200 a week.
One of the hardest things I have tried to do is shut down my impulse buying. The wait a week and see if I still need it will become a tool I will try. With todays costs of everything living - food, utilities, insurance it is getting hard to make it even with a decent income.
Your "why" is exactly the same as mine. Very informational video. Thank you for sharing the knowledge with us!
I don’t understand why there’s no informational videos like this on RUclips, He’s speaking the truth !
There are loads of videos like this here on RUclips 😊 Just search for them ☺️
the link to your tracker is not working properly, was really looking forward to snagging it
What do you see when you click the link?
vincent, you are my hero. I'm glad the algorithm showed me a video of you.
You’re one smart cookie for this video
Thanks i am saving for a laptop but i spent my money on day 3
i am restarting
the laptop i wanted is only about 60 dollars in my country but i only get like 40 cents in my country which is only 20php per day
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feels like none of this matters unless u have disposable income to begin with.
yes its easy to spend extra money once you get it in hand, and learning to overcome that can save you a lot... if you have money that is spent on things besides necessities.
if all of your money is put in that spending account for necessary monthly bills, then how can you save 30$ a day? if you cant afford nice clothes and a night at the bar to begin with, how can you emotionally convince yourself to put your money to better use? i dont know anyone with the ability to say "ill just get rid of netflix cuz i dont use it." that ship has sailed a long time ago.
now a video about how someone making $12 an hour can save 10k... that would be extremely helpful.
I don't thik that is possible just based on the math alone. Someone making $12 after taxes and etc. only has 19K and I can't see very many living on 9K without outside support!!
Excellent video. I was a single parent and when my sons were babies I tried to save a pound or two a week to help toward Christmas. It was less about the amount and more about getting into the habit of saving. I wasn’t perfect, especially as my income increased, but I have been able to retire at 56 with a paid off house. Be kinder to your future self, you absolutely can do it.
Thank you. I particularly appreciated the introduction to and explanation of opportunity costs.
Great video! You presented the information in a very digestible way. Also, you have a great voice to listen to!
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Guideline Automation: pretty much what i do on a smaller scale
Don’t Save $10,000: i kinda failed here lol (set a goal for double that). still, this shouldnt take me too long until i can slow this rate in favor of other things.
Emotional Bank: feel this. had been broke my entire life and my first intro to any significant amount of money were student loans.
Not Now, But Later: this one, i have limited success on. if nothing else, i mostly have the things i care about and generally just averse on things that arent necessities.
Future Value Formula: doing this one slowly while working on point 2. once i hit 10k, ill be flipping what i save (higher amount) and what i invest (lower amount) or at least thats what i hope to do.
Ego Saving: cant help this one too much, its usually trying new foods and usually not the stuff good for me either in addition to what i normally get.
love videos like this, everyone has similarities, but theres always differences somewhere and something to learn or reinforce.
Definitely some helpful tips. I think using YNAB has helped me manage these just by using the software regularly, but I've definitely realized over the last couple months that I've gotten a bit lazy with some spending habits, and this is definitely the reminder I need to level up my savings balance.
It's about self discipline on the highest level, buying things you need instead of want, writing monthly budgets, looking at the bigger picture instead of instant gratification, feel good about yourself, how much money do you spend to try and fix your feelings?
I feel like getting an electric bike or a cheap car might be an investment because it costs whole lot less than Uber even though there’s an innitai amount you have to pay you save so much that it pays off after not too long
I get around 20K AUD a year so buying a new light bulb put me into debt. Do you have any tips for saving below the poverty line? I have saved $85AUD in the last year and a half which has been really hard to do when i take 5 medications and also keep needing food. I have cut out snacks above $2/day and all subscriptions, I don't have a car and only eat 2 meals a day now. I wish the cost of living crisis wasn't so fricken harsh on ppl with disabilities bc I have anaemia from iron deficiency now and can't afford meat let alone supplements. I have learned that every single cent you have counts, if I only have 3c at the end of the fortnight I save it. It actually adds up quite a bit when you do it for a while
Prepper Princess helped me live on almost nothing. Some things might work in Australia
Most folks don't have 27 cents to save per day forget 27 dollars.
Try to save 27 USD daily in country where average yearly Net income is something about 11 000 USD.. But of course if you are lucky enough you live in US. These videos gives us all idea (non us residents) how much are americans spending on trashy things + expensive lates in Starbucks..
Imagine saving money the same rate its inflating. LMAO
I like the advice, but agree with other commenters that a base line of making 67k is unrealistic for over half of all Americans, based on average incomes.
But, I like the second half of your video a lot. That is much better. Finding why to save money is huge, and is a way better message.
The Add to Cart wait list for shopping is really effective…not only does it slow impulse spending, the website will often send you a discount code to help push your purchase decision, so if you do buy, it’s typically for less 🤑
I think people can plan a savings but they don't have the dedication and discipline to do this.
how do you think people can improve their dedication and discipline?
@@VincentChan I think they should sacrifice something that isn't productive and switch it with something is productive and stick to it.
@@VincentChanSadly I think it's genetic. The Bank told us we could afford twice the mortgage we applied for. We said we don't want that. If either of us loses our job, the other can pay. We knew it was the right property. We did one luxurious thing, put a hardwood floor in one carpeted room. That's nothing by today's standards! I don't think this way of thinking is learned. But perhaps risk aversion is a result of early trauma. Also, you're such a good son. My children are not forgiving me for wearing oversize clothes, ungrateful brats. I suppose they have other positive qualities, I shouldn't be so harsh... Yes, I am a Hong Kong mom. 😉
Interesting!!! Thank you for the information and keep it up!!! The PS5 I can get is not now, but later. Plus, I have older consoles that are still worth to play.
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I’m late to the party and started that Auto deposit from checkings into a HYSA this last year. Once my 1099-INT was mailed to me from my HYSA, I was surprised how much it grew. Had to pay taxes on it but it worth it lol
I saved 14K last year even with constant car issues. Midwest penny pinching makes most purchases even $4 for a years worth of salt hurts 11:59 the clever I bought was $5 a year ago. It is $10 today. Some utility things you can maintain are worth buying at a price you know is a deal
22 f, living with parents on my way to save my first 10k in the next 5months. Good luck everyone!!!!
Perfect!
Set up sinking funds for non-monthly periodic expenses.
Ambient lighting >
Unfortunately for the first option, you race yourself but forget that you are already getting taxed. If you only get 80% of your salary as take home your reducing your total savings from your savings “tax” by 20%. That’s generous tax percentage too for those in high tax locations it’s worse by a massive margin.
After I all my mindless spending I finally woke up and got tired of being broke. I’m saving $1200 a month.
I think this is a very good step-by-step guide. 👍
You've done a great job of selling yourself. I've been stuck in a very productive rabbit hole, your channel, for quite some time now.....Just subscribed!
We only work 5 days a week. If im doing $27.39 a day. You're counting weekends so it is more the days worked. So we actually need to save around $38.29 over each work day pay check.