>1: Save $1000
>2: Pay off all debt
>3: Save 3-6 months of expenses
>4: Invest 15% of your income
>5: Save for children's college
>6: Pay off home early
>7: Build wealth and give
What is the issue here exactly? It's called getting wealthy slowly, it's a tried and true method.
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Nothing wrong with it, seems like sound advice.
I did it this way
>get 100k in debt
>save up 10k
>put it all into crypto
>make a million in 2017
>lose a big chunk of it
>make decent amount back (should have gone all in link)
>finally pay debt with a portion of it this year
Working on getting a house now.
The stuff that he is technically "wrong" about is the idea of paying off debt in order of smallest principal to largest, rather than from highest interest to lowest, but he recommends it for the psychological benefits of eliminating discrete debts and the way that helps with the marathon of paying off all debt. He is quite explicit about why he makes that recommendation.
The other thing is that he recommends people invest in mutual funds which is pretty boomer but not reprehensible. Mainly he deals with people who are in financial ruin and need to fundamentally reform their lives in order to escape it. I have found quite a few of his rants very interesting. He's a great guy. Love how he answers the "how are you" question.
I’d rather live in my car than accept a life of eternal wage slavery.
hes a crypto-jew
He never uses historical data for anything. Basically a stocks only go up kinda guy. For example he was calling anyone who thought we were in a bubble and idiot in 2007 and laughed at them. Encouraged his callers to buy housing no matter their location. One caller asked if he should buy real estate in LA in 2007. The caller was even worried about the bubble and thought he should wait.
The whole pay off all debt thing
Cheap debt is good if used to access cash flows. For example if you spend 100$/m servicing a debt that enables you to make 150/m, you are positively benefiting from debt. This usually happens in real estate since mortgage rates are low, the loans are large, and renting produces cash flows
And long term Dave turned out to be correct. Life is a marathon not a sprint
deluded at boomer level
Keep gambling your money away on shitcoins lad
for the average wageslave these are solid benchmarks to aspire to. Again, this guy is for the lowest common denominator. If you're looking to run a business efficiently what you should be aiming for is minimizing your living expenses to the lowest monthly figure possible whilst maximizing how much you have in your warchest.
Advice for guys in their 20s who want to start a business.
>1: Don't fuck around with going to school. It's not worth it, ever. Get certifications required for your industry instead. Build projects to showcase in a portfolio.
>2: Learn sales in as many of its forms as possible. Copywriting, sales videos, webinars, cold-calling, retail, door-to-door, etc.
>3: Leverage the resilience offered by your youth by taking risks someone in their 30s, 40s, 50s wouldn't ever dream of doing because they have kids, mortgage, etc. Your 20s isn't the time to penny pinch. Put your money and time into getting as much done as possible.
>4: unfuck your head from your dopamine addictions. Stop smoking pot, drinking, and eating like shit. Eat lean and work out.
>5: Build and leverage credit. If you're one of these fucknuts that have a $1000 credit limit you're a scrub. You want at least 50 grand of available credit at fucking minimum. Also only use credit on shit for your business. Not maxing it out on fucking chipotle and clothes like a nigger.
>6: Tell the people to whom you owe money to go fuck themselves if they can't directly put you in prison. Pay your taxes or you're going to get skullfucked by uncle sam. If you have student loans that you can't freeze go to a bank, get a loan, pay it off then deal with the bank. You want as little dealings with the federal government as humanly possible.
ultimately don't get any anchors that slow you down. Keep yourself as light and manoeuvrable as possible. If you need to move across the country to take advantage of an opportunity, do it.
Dave actually doesn't comment on crypto, since he doesn't know it. Be like Dave and stfu.
Mostly because he's annoying and peak boomer who makes his money on cheap real estate and selling his scam program. 90% of his show consists of "Don't have enough money? Go pick some jobbies off the job tree! Mr. Shekelberg can buy his boat twice as fast if you work three jobs instead of just two!"
>Life is a marathon not a sprint, champ
Ok just be wrong about a multi year recession because life is a marathon then
youtube.com
His advice is for wage slaves. His advice isn’t applicable to business owners and entrepreneurs. Why would I pay off my house early when I could use that money to reinvest in my business and make even more money from it? Also, why would I invest in stocks when I could buy a house (with bank debt) and use it as a rental, effectively making a 25% return on my investment? His advice is good for most, but not all.
He's dismissed and eaten humble pie on bitcoin a few times on his show
>buy a mutual fund that outperforms the index
Fucking over people that can't put you in jail is nigger tier.
he is a savings and debt guy, not an investment guy.
as he says the biggest problem with people's portfolio is they don't put any money in. if your someone who is debt free and puts money in, then start worrying about strategy
>Why would I pay off my house early when I could use that money to reinvest in my business and make even more money from it?
because if your business starts struggling you are now in significant debt you retard.
he happens to run several businesses and uses the same financial principles
the principle you are talking about is called leverage. which is a higher risk potentially higher reward strategy. the problem is you aren't even risking business money, it's your own personal house
boo fucking hoo.
stop reading bogle heads propaganda. index funds are good. not God's true and only way to invest.
why can't a mutual fund outperform an index? what If they just held 10 stocks that did better than their peers?
would it be impossible to do that?
Yikes. Imagine trying to give chadtier advice, resulting in only being a nigger.
Don't you have some jogging to do?
> eaten humble pie
That's pretty boomer.
The phrase is, the act not so much
>index funds are good. not God's true and only way to invest.
Index funds are the best way to invest for > 95% of folks within the American workforce. In other words, for folks that:
1) Don't have insider industry knowldge.
2) Don't work within the cutting edge of [insert_here]
3) Are not executives sitting on a board or making executive decisions behind closed doors that impact the entire company/industry (Not You)
>why can't a mutual fund outperform an index? what If they just held 10 stocks that did better than their peers?
They sometimes do in the short term but often not after factoring in expenses or management fee costs (e.g. > 1%). After 10 years of indexing, you outperform > 95% of finance professionals. Consistently.
$10,000 invested into the S&P 500 in 1980 is now worth $557,363 today. %10.566 annualized return.
>would it be impossible to do that?
Consistently over time ( > 10 years), yes. Increasingly impossible.
So, yes, the #1 issue with Dave is:
>buy a mutual fund that outperforms the index
>Get mortgage
>pay say 1k/mo on a 150k loan
>pay off home, suddenly making an extra 12k a year
Not really rocket surgery
"Do as I say, not as I do"
His wealth accelerates exponentially from scalable books, podcasts, seminars etc teaching you how to wage for your whole life.
He literally couldn't make any money so he got into the business of telling you how to pay off your debts by waging.
Generally hypocrites are annoying. Kyosaki is in there too.
On the other hand, MJ Demarco, Tim Ferris, and Donald Miller are some authors worth reading.
if it's that easy why do stocks always go down when i buy and up when i sell
This worked when manufacturing jobs in America put a man in the top 5% of income earners in the world
>sending your kids to college
Why? Literally, can someone tell me fucking why?
I'll stick to the bogle head method, but I'm sure your funds will outperform KEK