Name: 6 Money Traps To Avoid In Your 30's
Uploaded: 2020-03-20T07:11:01.000Z
Duration: 15 min 59 s
Description: Thousands of YouTube videos with English-Chinese subtitles! Now you can learn to understand native speakers, expand your vocabulary, and improve your pronunciation...

six money traps to a boy in your thirties.

The superlative

You see, from a financial standpoint that your thirties is your most important decade off your financial life.

Figure yourself out because in your twenties, you trying to find out.

So you trying to figure yourself out in the twenties, but in your thirties now you are a little bit more mature right now.

You have little bit Maur experience, but you're still young enough to apply some of these financial strategies that will make a huge difference in your financial life.

Now, assuming what I'm sharing with you, that, like most people, you have a stable job, meaning that you do not have the ability to dramatically increase your income unlike a high income skill.

So I am sharing these lessons with you, assuming that you don't have a high income skilled, you have a stable job like everybody else because with a high income skill, it means that you could actually dramatically increase income so assuming you do not have the ability to increase your income by 10 2030 50 or even 100% a year.

That's who this video is for, which is like most people and most people.

It's not that they don't have the ability to do so to develop high income skills.

You don't know that a high incomes co exist, and they don't even understand the possibilities.

And if you could avoid some of these money traps in your thirties or even in your forties, you would put yourself in the position off financial success and be able to provide a better future for your family money trap number one by a house that you can't afford.

You see a lot of times in your thirties, most people they are thinking about marriage.

They're thinking about settling down there, thinking about having kids.

Or maybe you already have kids and you're already married.

And one of the mistakes that a lot of people make is they want to keep up with the Joneses, right, because they're friends own sort of house.

Now they want, at least in the same neighborhood, on the same house, and they want to compare with other people, so they end up buying a house that they actually can afford.

Now you have to understand this, that when it comes to buying your primary residence, your home, your house is an expense that affects your other expenses.

What I mean by that he means that if you move to a certain neighborhood, their house, their home affects your art expenses, meaning the expense of your home is it comes with your homeowner insurance, your utilities, where you shop, where your kids go to school.

So it's not just the house itself, but everything else that goes with it.

Now that's very, very important to understand.

And that's why most people, when they buy a house they can afford suddenly now all the others expenses bagel up dramatically, and now they're in debt.

She only didn't click here and check it out Now.

In the video, I teach a rule call the 20% rule.

So when it comes to owning your home, let's say you have a net worth networth off a 1,000,000 dollars.

I believe you shouldn't spend more than 20% your net worth on your primary residence, so your net worth it's a $1,000,000.

You shouldn't spend more than $200,000 on your primary residence.

I don't haven't built him a net worth yet.

So let's say you and your husband or your your wife together.

As a household income, you make $10,000 per month $10,000 per month.

You shouldn't spend more than $2 dollars a month on your How's your primary residence?

The reason is low is because you want to be able to live a little bit more frugally with your house so that you have more money to put aside because safe and invest for long term wealth versus if you make 10,000 month as a household, and you're spending 40% $4000 a month on your primary residence.

With all the out expenses, you do the numbers.

It's very difficult to have anything left by the end of the month.

So that's the money trap Number one, Money trap number two And that is to buy a car.

You can't afford this kind of hi's hand in hand with money Trap number one.

So buying house you can't afford buying a car that you cannot afford.

If you are in the corporate world and you are stable and you want to buy that car, I like a new conscious us.

Everybody else right in my twenties, I was getting a new car every year, so I understand where you are coming from.

But financially speaking is not a very smart decision.

Is not a very smart move, because by spending too much money on a car, you cannot afford anything else.

I remember when I was making minimum wage in a supermarket a time I had a co worker.

He was driving a BMW, and he was paying $1000 a month for the least voice BMW.

And he was only making around $2200 a month.

And I I thought to myself, How could someone making $2200.1 spending 1000 bucks a month on a copy of it on a BMW?

He wants to look good, right driving the BMW around.

I was sitting his car and he was thinking, Oh, my goodness, am I gonna have enough money to pay for the gas for the BMW?

Controls the effects, other expenses, the more expensive car.

The nicer your car, them or expensive gas that you have to get there more expensive.

Your maintenance just like my belly, right, cause a couple of 1000 bucks just for oil change, right?

That's what it is when you drive a luxury car.

Sports car, everything becomes Maur expensive, so that's money trap number to buying a car that you can't afford.

Not investing or not investing enough now in your thirties.

Used to think you have a lot of time right?

Used to have 35 years before even worry and think about retirement Well, the truth is, yes, you have time, but you don't have a lot of time.

And most people, they wait too long and you think all wait, I make more money, Then I will invest.

You want to take a bandage off the power off compound interest?

You want to use it to accumulate your wealth.

Even if you put aside a bit of money every month, invest for the long term.

Let's say, for example, let's say you invest $10,000 right?

And let's say you invest your investment producers 7% annual return year.

7% every year, $10,000 a year by the time you get to 65 years old.

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6 Money Traps To Avoid In Your 30's

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