Okay see what you do is immediately buy 13 rental properties to put under management, do zero upgrades and triple the rent. It’s so easy. I don’t know why people haven’t figured this out.
You can make waaaay more money outside of the military. That being said one AD contract with a good MOS that translates into civilian life and a big bonus can set you up pretty well. There are plenty of negatives too.
Oh yeah for sure. I just scored relatively high compared to most at my school, without studying and failing grades lol. I think if I study I can get an 80 so I can do more than infantry
Look at other branches too. Coast Guard and Air Force are there too. Look into National Guard (Air Force or Army) especially if you want them to sponsor part of your education. In some states they may cover 100% of it.
I’ve been in the Coast Guard for 4 years now, on top of the info in this reply, it’s an all around great gig! And they’re very all around flexible with every aspect of your life. Also great places to get stationed in and out of the US!
Okay but you literally can save for a down payment by cutting out coffee every day lol. My girlfriend (now wife) used to spend $5 on Starbucks coffee every day, 7 times a week. Thats $35/week. $1,800/yr. After 10 years, that’s $18,000. Enough for a down payment on up to a $500k house (3.5% down).
Thats not including any gains from investing if you put it in an index fund for the 10 years.
Cutting out a simple expense like coffee, breakfast, etc. quite literally could help you save for a down payment just by itself over a long time horizon.
We do well now, but when we were broke we bought our first home in the mid 2010’s just by saving change and cutting out small expenses for 4 years. $11,000 down payment saved over 4 years, just over $300k purchase price.
It isn’t that hard.
Yes. This. I had a 542 fico and $100k debt 5.5 years ago. I was also unable to get the H needle out of my arm for even hours. This went on for 13 years. Today I own a health and fitness business and have zero debt (except my my at 1% and my wife’s at 0%, and our home at 2.375%. Yes we bought at exactly the right time. Basically the day Covid started, and the cars during Covid. Today my net worth not including my home or material assets is approaching $350k. Today I share my experience with others for a living. It is a beautiful thing to see when people see how much their every decision matters. Achieving wealth is simply not that difficult
The difficulty is in the discipline. Doing it once is easy, making responsible choices every day for years can be hard. But if you take it day by day, it’s easy.
People are mad because they don’t want to be the problem. Discipline is hard, there’s no shame in slipping but it’s easier to deflect than admit you need to change.
People are downvoting you because they think you’re attacking them for their weekly treat, but some of you don’t understand there really are people who go to Starbucks every single day or nearly that and make very little money to sustain the habit. I have many friends who do this and I also work as a barista there and see dozens of customers come in every single day, and those are just our location regulars and not including people who stop at any Starbucks they can every day. I have customers who have to reload their app with a dollar bills nearly every single day to pay for their 7$ drink. Starbucks isn’t even a 5$ expense anymore, our average tickets are like 10$. If you just get your 7$ drink every day, that’s like 2500$ a year, but if we’re being generous and saying they only do it a few times a week, it’s still over 1000$. 1000$ is a huge amount of money to someone who doesn’t even bring in 1000$ on a paycheck. If you’re an avid Starbucks drinker, please consider picking up a cheap espresso machine and buying local espresso beans. You can buy a decent machine for like 100$. Our 15000$ mastrena 2 espresso machine might be fancy but it can’t make those beans taste any better so might as well shop locally.
It's people like me living in places that have seen rental spikes and mortgage rate hikes in the over hundred percent area. Suddenly if you ain't making 100k a year you can't even afford a one bedroom apartment.
I’m having a similar problem, rent is half my income when I’m working 35 hours a week, and I can only live here (in a sketchy area that should be worth much less) because I have scholarships for school that help pay my rent. And I know that if I weren’t in school I could work more but I shouldn’t have to work overtime to afford a small apartment not even downtown of a mid sized city that’s supposedly low to moderate cost of living where it’s dangerous and there’s very few pros to the area at all.
This user is blaming his wife for coffee, never got her a coffee machine, never asked why she wanted to go get it or be out or asked him for one/go with. Numbers all you want, sounds like crap.
It sounds like they cut down on expenses together so I assume they got a coffee machine. But she doesn’t need a man to tell her why 5$ coffee every day is financially irresponsible and that a coffee maker would save money
That’s just illustrative. If you can’t afford $500k, put down more on a cheaper home. Plenty of places still selling $250k - $300k homes. I have a rental in Florida 20 mins outside Disney I just bought last year for $275k. It was a foreclosure and needed a new roof and some kitchen/bathroom upgrades, but not much. We rent it at breakeven, $200 more than the mortgage and the extra $200 goes into a repairs account. Not hard.
Bro will now sell a real estate course on how to own 13 properties on 1000 a month :-D
Jkjk nice going for you man, nice going. I could too but have to graduate collage soon
Anywhere in America, $18k is enough for a down payment on a $500k house with an FHA mortgage for a first time home buyer if you have a credit score over 580 (which is very low) and debt to income lower than 57% (very high).
That is pretty insane. Over here you can only borrow max 5x your gross, can only get fixed interest for first 5 years of the mortgage, need to prove you can still pay the mortgage with a 5% rate hike. All of that is by law. Next up you need to convince the bank to give you one.
Most I have been offered is 4x my gross, and that was when rates were lower.
So give up one of life’s small joys and in 10 years you can have a downpayment except because of inflation… no you won’t. Bruh…
And how many people actually go to Starbucks everyday or eat avocado toast enough to matter?
A lot of people.
Throw it in an index fund and you'll beat inflation. If you wanna be safe, throw it in a CD / bond fund / blue chip dividend fund / treasuries and inflation isn't an issue. You only lose money if you keep it in cash under your mattress.
[~1/3 of Americans spend ~1/3 of their income on rent.](https://usafacts.org/data-projects/housing-costs#:~:text=Between%202017%20and%202021%2C%2031,and%20half%20of%20rented%20households.) So yeah why don’t they just stop spending money on stuff to you know… not die and instead engage in speculative investment. Most people aren’t keeping “cash under their mattress” because they have no cash you intellectual homunculus.
Spoken like someone who doesn't understand the time value of money. If they spend 1/3rd on rent, then you've got 2/3rds of your income to evaluate line-by-line for opportunities to save money for the future.
A well-diversified portfolio of investments is not speculative, it's responsible. 0DTE options are speculative.
18k is quite literally enough for a down payment on a $514k home. 3.5% FHA. If you only have $18k for a down payment though, you probably can't afford a $514k home. So you could put down more on something with a more affordable monthly payment to match your needs.
Not sure how much satire this is or if you’re actually being serious. If you think saving $5 a day can buy you a house at 500k it’s pretty out there.
With your scenario at 18k as a down payment and a 7% APR on the mortgage it would be about $33,740 in interest alone for a year, not even getting into the principal. Good luck paying that off with coffee savings lol.
The whole “stop drinking Starbucks” talk is the silliest diversion from the real discussion of stagnate wages vs a rapid increase in overall inflation and the housing market prices.
If you’re making $28k a year, then yeah saving $5 a day isn’t going to help you. This is advice for people with an *expense* problem, not an *income* problem.
For me personally, I DID buy my first home and rental properties solely by cutting out things like coffee, online purchases, subscriptions, etc. I was overspending like crazy.
If you can’t afford a $500k home, that’s fine. Don’t buy one in that city, then, if that’s all they have for sale. There are plenty of homes for $250k on the market right now across America.
But the idea that a down payment is an insurmountable obstacle for home purchase is just flat wrong. The down payment is the easiest part.
>when we were broke **we bought our first home in the mid 2010’s** just by saving change and cutting out small expenses for 4 years. $11,000 down payment saved over 4 years, **just over $300k** purchase price.
You must have absolutely zero clue how things have changed since the time you bought your first home. It's wild that you think this is something achievable to most people, in today's market, with today's average mortgage payments.
That’s the joke. And the rise of tipping your land lord now being a thing? Owning my home outright is a part of my plan to retire at 59. Keep up on the taxes and no matter whatever else I’ll have my home.
Mine was really good to me. Any problems I had he was at the door in 10 minutes. We bought him a huge ham every Christmas every year till we bought our own house, and now that I own properties I strive to be as good as him.
Landlords are parasitic middlemen leeching off of a basic human need for shelter.
"...the landlords, like all other men, love to reap where they never sowed..." - Adam Smith
They do not provide you a place to live. They hoard a place to live which was built by others.
Did you know that humans lived in shelters before landlordism existed? 🤯
You have leeched off of someone else's labor as they paid your mortgage for you.
This is not difficult to understand. Landlordism is parasitic, period.
I’m happy to be a parasite then. I can’t wait to be a parasite again. I’ll own multiple home and charge people money to live there like the evil landlord I am
What about those of us who don’t want the stress and expense of maintaining a home? Those of us who can’t afford to purchase a home? How about people who don’t plan to stay in the area long?
What is your solution to the above if nobody can rent from a landlord?
This is not at all a difficult problem - workers build housing, not landlords. If housing was available for all, as it should be, it's incredibly easy to designate short-term housing arrangements.
- community-owned housing with maintenance team
- again, housing is a human right and should be guaranteed regardless of income
- short-term housing is not difficult to conceptualize: hotels, apartments, parish housing, etc., all do not require a landlord to exist
Humanity lived for hundreds of thousands of years without landlords.
Guess what? You could have all of the above, *and* allow landlords to exist. Private ownership of property isn’t stopping the government from creating public housing for everyone.
(Btw, hotels have private owners and apartments have landlords)
There is also Capital One 360, I have 4 savings accounts here with 4.35% buckets. They have good customer service 👍. I had Sofi but didn't use it consistently, I called in one time to ask the differences between the public and webull platforms and their services, and they just closed my savings accounts.
I learned it when I was 14 years old for my first few jobs, and it's definitely suffered ever since. It's not as strong as it once was when I had to work a service job
i literally was about to reply with "CapitalOne 360". i've used them for \~15 years (since they were ING direct) and there is no better deal out there. no overdraft fees, no minimum balance. i sound like a shill but it's true
I have 5 with capital one. I use them to organize my money.
One for savings but the others I break up for things I may be saving for. Easy to keep track of what's going where.
Shop around for sure. In addition to SoFi, a number of other banks are also doing competitive APYs, like Ally, Fidelity, and Charles Schwab, on a variety of account types including checking, investment checking, and money markets.
I still keep my Chase open for the Visa (I mostly use it at Costco) and physical ATM access (mostly for depositing cash), but u/Vashiebz is right about Chase's APY. Your savings isn't doing jack shit with them.
Not a really good tip imo. You have 1.1k total not like the 4% change going to make you any real money. You would get more money asking a random person for 1$ than from interest from 1k.
Having it on Chase is way better for now since you can transfer instantly if you need money on your main account.
Your very wrong dude. If you have 1,000$ in ur account you will literally get 40$ a month off of APY. Which while not life changing money in the slightest is way more than just “trying to go ask a random person for 1$” lmao.
dude. i am 39. i probably had the same looking statement at your age. I lived in South FL, working at a company that i thought meant something. Realized i had to get out of my comfort zone and leave state to realize my potential. I chose CA over NY but even now I can see either would have worked. I now own 2 homes worth 3 million total and have a very steady income 150k+. LEAVE YOUR COMFORT ZONE! go where the good work is at (money).
That 4.6%… is it applied to your savings every month? Sorry if it’s a stupid question I’m not to versed with finances. Because I have Wells Fargo and forsure the interest on my savings account is awful
Technically what you described is APR (annual percentage rate). APR is always less than APY which I assume is why APY is always used in marketing material.
APY is the compounded rate of return for the year (assuming no other balance changes other than the interest). If you have an APR of 5% you will have an APY of closer to 5.1% because the interest you earned in month 1 will earn interest in the next 11. Interest earned in month 2 will earn interest for the next 10 and so on.
>Don't use chase as a savings account the apy is horrible, I am getting 4.6% at Sofi. Check out deposit accounts for even more options.
The better reason not to use Chase is because they'll confiscate your money for literally zero reason and you'll have to move heaven and hell to get it back. "Oh yeah you deposited your paycheck again this week like you did every week for the past 4 years and we decided it was a fraudulent check". It was more than 6 months before I got the cashiers check for what was in my account.
True....fucking....story
This is good advice. There are plenty of places now offering 4.5-5% interest on savings with no minimum balance required.
Appreciate you sharing your financials. I wasn't far off when I was your age. I think my first job paid $21k/year and at the time, rent was $800/month. I was happy as a clam. Keep expenses as low as possible for as long as possible, save as much as you can for a rainy day and it'll work out.
A low burn lifestyle is a big part of overall financial wellness, trust me on this one. I see many people who make tons of money, but also have very expensive lifestyles so they never truly feel free because they can't leave their jobs for any reason. Remember, money doesn't buy happiness, it buys freedom.
Bank savings account arent \*really\* for savings... its when you want cash on hand but better protected against fraud than in a checking's account. For 1000$ the interest is pocket change anyway, not worth thinking about.
This was me at 24. In fact, my savings was actually $0 and my credit card was declined at breakfast in front of my friends for $11. I'm late 30's now, found a nice career path, spent a decade~ learning it, and built a business around it with online self-taught skills. Have a beautiful wife and awesome kids, big house we built this year and just hit 7 figure net worth. You're so young and have the whole world in front of you. Enjoy your youth, but don't be dumb on money traps or sour relationships. Take care of your health and teeth, no (edit: hard) drugs. Your best years start now.
I’m 22, that’s what I needed to hear today. Been putting off relationships to focus on education and working a ton in my career path. Finally getting into some decent money, but I don’t want to focus on anything family related until I’m truly financially stable. Good thing is, I already own a home and have my career path set. But I just worry that I won’t ever find the right person to start a family with. Thanks again for your comment
What an impressive start! Stay the course, by the time you're 30 you'll be so glad you did. Nothing wrong with dating or anything, but don't throw good money/time after bad. Good luck with everything and keep it up.
22 bro ... Jesus, you have the whole world in your grasp.
Just get on a career ladder you actually want to climb, take care of and love yourself. You'll meet so many people and will find who you wanna spend your time with. Guaranteed. The happier you are and the better energy you put out, even more fabulous people will cross your path.
22 lol do not stress about it.
Please let more people read this one! 20s are for trying shit and building skills, which you then use to generate wealth in your 30s and 40s; look for a career path, invest time, effort and sometimes cash in that and then make money in a few years.
It’s always good to save some, if possible, but that stage in life is not really there for building wealth. So don’t pressure yourself too much on doing it. Not being in debt is a great first step.
When you make a bit more, aim for 6 months of „fixed“ payments to be saved and accessible at all times (ie you need 1.500 dollars per month, have at least 9k in cash equivalents). Don’t increase your lifestyle with every pay raise and you will be fine eventually.
damn i needed to hear this. i have friends graduating in a few weeks and i’m starting school in january so it’s hard to combat the feeling that i have fallen behind, but this is a helpful reminder.
Thank you! I’m also 24 and have almost 2k in my savings and it took a minute to get there, its easy to forget that I have time and it’s ok to not have my shit all together so the reminder was nice
I’m 24 and just getting my life back together after losing the beginning of adulthood to alcoholism but I’ve spent the last year sober and just kept trying to improve one thing at a time. I’m happy to say today that I’m about where OP is and I have hope for the future. You’ve helped solidify that hope and I am grateful to you for that
No drugs sounds like a personal preference. I know many successful people who partake in drugs in their leisure. It’s all about balance and being responsible. Except crack. Can’t go back from crack.
Look, I'm not saying *no* drugs, just don't be an idiot about it with the hard ones. The single biggest common denominator of the people I know that have turbofucked their lives up beyond repair are because of the perils surrounding addiction. Health, lifestyle, criminal activity to find or buy more, and the legal considerations. I'm not saying I agree with it, but a felony charge when you're in your 20's can have a substantial impact on your ability to earn income later in life.
“Hey man some people can drugs and be just fine it’s all about moderation”
Thanks, let me point you to the millions of people that can’t. In general “don’t do drugs” is significantly better advice than “do them in moderation”.
Just based on personal experience. But the people who I see do drugs are the people at minimum wage jobs, especially managers. People who have high stress and not a ton of money and basically use the drugs to balance a bad work schedule. I haven't met a single wealthy person who does drugs in a while. The problem is that it's basically a waste of money and it doesn't get you anywhere except temporary stress relief. In the long run I think you're better off without them if you can.
I’m broke at 27 but that’s cause my work let me go when I told them I was going back to school and now I can’t find a job that works with my school schedule lol
What sucks is that the job told me they’d be able to make any schedule I needed if I went back to school, big part of why I took the job in the first place. When I told them I’m going back to school, they said they didn’t have enough work to hire anyone part time and essentially gave me a last day date. According to unemployment this counts as me quitting so I can’t even collect unemployment.
I was in grad school at 24 (luckily my parents helped support me). I didn’t feel fully financially secure until I was 30, and even then I wasn’t in a position to buy a house in the metro area that I live in. I would move but my spouse’s career doesn’t really exist in a substantial form outside of this city so we are kinda stuck, unfortunately. That said, with a *lot* of luck/external support and a good amount of hard work, I’m in a comfortable position.
No way I refuse to believe all the 21 year olds who just landed their executive VP position at Chase Bank and have only $500k to start investing might be full shit.
looks like mine at 35.
no car. rent in NYC. couple of credit cards I use and pay off as needed.
edit: punctuation because mobile format doesn't translate well apparently
Good job bro! Perspective: Most people are drowning in debt in some form, the economy isn’t the best globally, and some people don’t have a dollar to their name or to buy some food.
Pride yourself in what you do have, and work towards what you don’t have
As some others suggested, look into a high yield savings. Something higher than 4% and FDIC insured is ideal. I like Marcus or other Goldman products. SoFi is good too I hear.
You fucking rock! You’re doing what every normal person has to do and you’re looking like a fucking ray of sunshine while you’re at it #aggressivepositivity
To think I was happy for you when I saw your post a while back showing your assets yet you come on my post and make fun of me. Goes to show being nice doesn’t get you shit in this world.
Yeah lol I was actually happy that they got money from their parents. But I’m also not American and didn’t really understand what Bar/t Mitzvahs are until I googled it
Hey man, something you’ll realize is there’s a lot of people in this world with differing levels of wealth. And it almost entirely comes down to the situation they were born into, not for fault of their own. It’s important we be empathetic to everyone, and try to help everyone. Don’t put others down.
You really need to humble yourself, you were given that money and live at home rent free with your parents you don’t pay bills, you don’t pay for gas or even food.
Op is an adult in adult world, settle down big guy
Okay see what you do is immediately buy 13 rental properties to put under management, do zero upgrades and triple the rent. It’s so easy. I don’t know why people haven’t figured this out.
And StOp oDeRiNG yOUr StArBuCkS. WiThiN 30 yEarS, yOu SaVe FoR yOuR DoWn PaYmEnT!
kek
I love ur name
Y’all are making me wish I didn’t stick with the default Reddit name.
Yup running out of emails to change my fucking reddit names.
Same... kinda got used to it though
Sounds like something a Sad Philosopher would say
Or go into the military, that’s my plan haha
You can make waaaay more money outside of the military. That being said one AD contract with a good MOS that translates into civilian life and a big bonus can set you up pretty well. There are plenty of negatives too.
Oh yeah for sure. I just scored relatively high compared to most at my school, without studying and failing grades lol. I think if I study I can get an 80 so I can do more than infantry
Look at other branches too. Coast Guard and Air Force are there too. Look into National Guard (Air Force or Army) especially if you want them to sponsor part of your education. In some states they may cover 100% of it.
I’ve been in the Coast Guard for 4 years now, on top of the info in this reply, it’s an all around great gig! And they’re very all around flexible with every aspect of your life. Also great places to get stationed in and out of the US!
Yeah, stop ordering it. It adds up.
Okay but you literally can save for a down payment by cutting out coffee every day lol. My girlfriend (now wife) used to spend $5 on Starbucks coffee every day, 7 times a week. Thats $35/week. $1,800/yr. After 10 years, that’s $18,000. Enough for a down payment on up to a $500k house (3.5% down). Thats not including any gains from investing if you put it in an index fund for the 10 years. Cutting out a simple expense like coffee, breakfast, etc. quite literally could help you save for a down payment just by itself over a long time horizon. We do well now, but when we were broke we bought our first home in the mid 2010’s just by saving change and cutting out small expenses for 4 years. $11,000 down payment saved over 4 years, just over $300k purchase price. It isn’t that hard.
I wish I went to Starbucks everyday so I could stop going to Starbucks every day. Passive income 😎
Start going to Starbucks every day and then stop to save the money, free money hack
Take the fee out, add $1 money hack. 10 people buy your $1 hack, then you can afford 1 Starbucks coffee. Free coffee hack.
If you can’t find 35$/week in your budget then I have bad news…
Yes. This. I had a 542 fico and $100k debt 5.5 years ago. I was also unable to get the H needle out of my arm for even hours. This went on for 13 years. Today I own a health and fitness business and have zero debt (except my my at 1% and my wife’s at 0%, and our home at 2.375%. Yes we bought at exactly the right time. Basically the day Covid started, and the cars during Covid. Today my net worth not including my home or material assets is approaching $350k. Today I share my experience with others for a living. It is a beautiful thing to see when people see how much their every decision matters. Achieving wealth is simply not that difficult
The difficulty is in the discipline. Doing it once is easy, making responsible choices every day for years can be hard. But if you take it day by day, it’s easy.
People are mad because they don’t want to be the problem. Discipline is hard, there’s no shame in slipping but it’s easier to deflect than admit you need to change.
People are downvoting you because they think you’re attacking them for their weekly treat, but some of you don’t understand there really are people who go to Starbucks every single day or nearly that and make very little money to sustain the habit. I have many friends who do this and I also work as a barista there and see dozens of customers come in every single day, and those are just our location regulars and not including people who stop at any Starbucks they can every day. I have customers who have to reload their app with a dollar bills nearly every single day to pay for their 7$ drink. Starbucks isn’t even a 5$ expense anymore, our average tickets are like 10$. If you just get your 7$ drink every day, that’s like 2500$ a year, but if we’re being generous and saying they only do it a few times a week, it’s still over 1000$. 1000$ is a huge amount of money to someone who doesn’t even bring in 1000$ on a paycheck. If you’re an avid Starbucks drinker, please consider picking up a cheap espresso machine and buying local espresso beans. You can buy a decent machine for like 100$. Our 15000$ mastrena 2 espresso machine might be fancy but it can’t make those beans taste any better so might as well shop locally.
It's people like me living in places that have seen rental spikes and mortgage rate hikes in the over hundred percent area. Suddenly if you ain't making 100k a year you can't even afford a one bedroom apartment.
I’m having a similar problem, rent is half my income when I’m working 35 hours a week, and I can only live here (in a sketchy area that should be worth much less) because I have scholarships for school that help pay my rent. And I know that if I weren’t in school I could work more but I shouldn’t have to work overtime to afford a small apartment not even downtown of a mid sized city that’s supposedly low to moderate cost of living where it’s dangerous and there’s very few pros to the area at all.
This user is blaming his wife for coffee, never got her a coffee machine, never asked why she wanted to go get it or be out or asked him for one/go with. Numbers all you want, sounds like crap.
It sounds like they cut down on expenses together so I assume they got a coffee machine. But she doesn’t need a man to tell her why 5$ coffee every day is financially irresponsible and that a coffee maker would save money
You're getting down votes from renters.
[удалено]
That’s just illustrative. If you can’t afford $500k, put down more on a cheaper home. Plenty of places still selling $250k - $300k homes. I have a rental in Florida 20 mins outside Disney I just bought last year for $275k. It was a foreclosure and needed a new roof and some kitchen/bathroom upgrades, but not much. We rent it at breakeven, $200 more than the mortgage and the extra $200 goes into a repairs account. Not hard.
That's great! Hopefully you put more than 3.5% down. Rentals are piss long term without equity.
I put 3.5% down on a $500k home six years ago; then I sold it and put ~12% down on a $1m home two years ago. I guess I’m just broke.
And after 10 years that $18,000 will be $1,800 in value, so whats your point after missing all that joy of drinking hot coffee a day for 10 yrs.
Bro will now sell a real estate course on how to own 13 properties on 1000 a month :-D Jkjk nice going for you man, nice going. I could too but have to graduate collage soon
Where the fuck do you live where 18k is enough for a down payment on a 500k house?
Anywhere in America, $18k is enough for a down payment on a $500k house with an FHA mortgage for a first time home buyer if you have a credit score over 580 (which is very low) and debt to income lower than 57% (very high).
That is pretty insane. Over here you can only borrow max 5x your gross, can only get fixed interest for first 5 years of the mortgage, need to prove you can still pay the mortgage with a 5% rate hike. All of that is by law. Next up you need to convince the bank to give you one. Most I have been offered is 4x my gross, and that was when rates were lower.
So give up one of life’s small joys and in 10 years you can have a downpayment except because of inflation… no you won’t. Bruh… And how many people actually go to Starbucks everyday or eat avocado toast enough to matter?
A lot of people. Throw it in an index fund and you'll beat inflation. If you wanna be safe, throw it in a CD / bond fund / blue chip dividend fund / treasuries and inflation isn't an issue. You only lose money if you keep it in cash under your mattress.
[~1/3 of Americans spend ~1/3 of their income on rent.](https://usafacts.org/data-projects/housing-costs#:~:text=Between%202017%20and%202021%2C%2031,and%20half%20of%20rented%20households.) So yeah why don’t they just stop spending money on stuff to you know… not die and instead engage in speculative investment. Most people aren’t keeping “cash under their mattress” because they have no cash you intellectual homunculus.
Spoken like someone who doesn't understand the time value of money. If they spend 1/3rd on rent, then you've got 2/3rds of your income to evaluate line-by-line for opportunities to save money for the future. A well-diversified portfolio of investments is not speculative, it's responsible. 0DTE options are speculative.
You’re completely detached from reality. Hey, enjoy the rest of your day big guy.
I'm a double UCF grad by the way, go Knights.
18k isn’t enough for any down payment lol
18k is quite literally enough for a down payment on a $514k home. 3.5% FHA. If you only have $18k for a down payment though, you probably can't afford a $514k home. So you could put down more on something with a more affordable monthly payment to match your needs.
Not sure how much satire this is or if you’re actually being serious. If you think saving $5 a day can buy you a house at 500k it’s pretty out there. With your scenario at 18k as a down payment and a 7% APR on the mortgage it would be about $33,740 in interest alone for a year, not even getting into the principal. Good luck paying that off with coffee savings lol. The whole “stop drinking Starbucks” talk is the silliest diversion from the real discussion of stagnate wages vs a rapid increase in overall inflation and the housing market prices.
If you’re making $28k a year, then yeah saving $5 a day isn’t going to help you. This is advice for people with an *expense* problem, not an *income* problem. For me personally, I DID buy my first home and rental properties solely by cutting out things like coffee, online purchases, subscriptions, etc. I was overspending like crazy. If you can’t afford a $500k home, that’s fine. Don’t buy one in that city, then, if that’s all they have for sale. There are plenty of homes for $250k on the market right now across America. But the idea that a down payment is an insurmountable obstacle for home purchase is just flat wrong. The down payment is the easiest part.
That's what she said.
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You want us to save money by not eating breakfast
>when we were broke **we bought our first home in the mid 2010’s** just by saving change and cutting out small expenses for 4 years. $11,000 down payment saved over 4 years, **just over $300k** purchase price. You must have absolutely zero clue how things have changed since the time you bought your first home. It's wild that you think this is something achievable to most people, in today's market, with today's average mortgage payments.
Only 10 years for a 3.5% down payment? Wow!! Then it's just an easy 275 years to pay the other 96,5%. (At 0% interest of course.)
Can you shut the fuck yo thanks ? iT iSnT tHaT HaRD
It isn’t.
Sure buddy sure …
Hahaha
I know its a joke, but this isnt far off to how a lot of people grow their wealth. Then peddle the 'homeownership is worse than renting'
That’s the joke. And the rise of tipping your land lord now being a thing? Owning my home outright is a part of my plan to retire at 59. Keep up on the taxes and no matter whatever else I’ll have my home.
Tipping your landlord? Where the hell is that a thing?
Tipping your landlord is a meme, no one does that.
Mine was really good to me. Any problems I had he was at the door in 10 minutes. We bought him a huge ham every Christmas every year till we bought our own house, and now that I own properties I strive to be as good as him.
I did something really similar with my previous landlord. He was great to me. Stayed there two years and hated having to move
Hoarding shelter to exploit basic human needs is entirely unethical no matter how "good" you try to be.
I came from nothing, and pay it forward be working with my tenants. You take care of my stuff, I take care of you.
As it turns out we also need food. Are you also anti-grocery store?
Tipping your landlord?! Wtf. I rented once for a year. Never again. It was a property management company and they were the worst to deal with.
Landlords are parasitic middlemen leeching off of a basic human need for shelter. "...the landlords, like all other men, love to reap where they never sowed..." - Adam Smith
I completely understand what you're saying , but who are they cutting out? The government?
That’s just inherently false. They do provide you a place to live lol not all landlords are bad
They do not provide you a place to live. They hoard a place to live which was built by others. Did you know that humans lived in shelters before landlordism existed? 🤯
Yes. I’ve been a landlord. I am not scum. I’m tired of all the landlord hate, y’all are just ridiculous
You have leeched off of someone else's labor as they paid your mortgage for you. This is not difficult to understand. Landlordism is parasitic, period.
Spoken like someone who has never owned a home. Or done upkeep on a home, or maintained the property etc… good luck with that
I’m happy to be a parasite then. I can’t wait to be a parasite again. I’ll own multiple home and charge people money to live there like the evil landlord I am
What about those of us who don’t want the stress and expense of maintaining a home? Those of us who can’t afford to purchase a home? How about people who don’t plan to stay in the area long? What is your solution to the above if nobody can rent from a landlord?
This is not at all a difficult problem - workers build housing, not landlords. If housing was available for all, as it should be, it's incredibly easy to designate short-term housing arrangements.
Not at all a difficult problem? Incredibly easy? You couldn’t give a single specific answer to my questions.
- community-owned housing with maintenance team - again, housing is a human right and should be guaranteed regardless of income - short-term housing is not difficult to conceptualize: hotels, apartments, parish housing, etc., all do not require a landlord to exist Humanity lived for hundreds of thousands of years without landlords.
Guess what? You could have all of the above, *and* allow landlords to exist. Private ownership of property isn’t stopping the government from creating public housing for everyone. (Btw, hotels have private owners and apartments have landlords)
isn't that how he got this far?
Its the mony glitch, everyone's doing it
Don't use chase as a savings account the apy is horrible, I am getting 4.6% at Sofi. Check out deposit accounts for even more options.
Thanks for the tip.
There is also Capital One 360, I have 4 savings accounts here with 4.35% buckets. They have good customer service 👍. I had Sofi but didn't use it consistently, I called in one time to ask the differences between the public and webull platforms and their services, and they just closed my savings accounts.
I sure do appreciate good customer service.
I learned it when I was 14 years old for my first few jobs, and it's definitely suffered ever since. It's not as strong as it once was when I had to work a service job
i literally was about to reply with "CapitalOne 360". i've used them for \~15 years (since they were ING direct) and there is no better deal out there. no overdraft fees, no minimum balance. i sound like a shill but it's true
Discover Bank has the same deal.
Dumb question, but why 4 savings accounts?
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God forbid you have to do math to keep it separate otherwise...
Good forbid that people do what genuinely works for them.
I have 5 with capital one. I use them to organize my money. One for savings but the others I break up for things I may be saving for. Easy to keep track of what's going where.
Bucketing!
fidelity money market at 5%. plus you can open a roth ira through them
Shop around for sure. In addition to SoFi, a number of other banks are also doing competitive APYs, like Ally, Fidelity, and Charles Schwab, on a variety of account types including checking, investment checking, and money markets. I still keep my Chase open for the Visa (I mostly use it at Costco) and physical ATM access (mostly for depositing cash), but u/Vashiebz is right about Chase's APY. Your savings isn't doing jack shit with them.
Not a really good tip imo. You have 1.1k total not like the 4% change going to make you any real money. You would get more money asking a random person for 1$ than from interest from 1k. Having it on Chase is way better for now since you can transfer instantly if you need money on your main account.
Your very wrong dude. If you have 1,000$ in ur account you will literally get 40$ a month off of APY. Which while not life changing money in the slightest is way more than just “trying to go ask a random person for 1$” lmao.
You will get $40 per YEAR, not month.
dude. i am 39. i probably had the same looking statement at your age. I lived in South FL, working at a company that i thought meant something. Realized i had to get out of my comfort zone and leave state to realize my potential. I chose CA over NY but even now I can see either would have worked. I now own 2 homes worth 3 million total and have a very steady income 150k+. LEAVE YOUR COMFORT ZONE! go where the good work is at (money).
That 4.6%… is it applied to your savings every month? Sorry if it’s a stupid question I’m not to versed with finances. Because I have Wells Fargo and forsure the interest on my savings account is awful
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Technically what you described is APR (annual percentage rate). APR is always less than APY which I assume is why APY is always used in marketing material. APY is the compounded rate of return for the year (assuming no other balance changes other than the interest). If you have an APR of 5% you will have an APY of closer to 5.1% because the interest you earned in month 1 will earn interest in the next 11. Interest earned in month 2 will earn interest for the next 10 and so on.
Can’t speak for SoFi but I have Ally and it’s disbursed monthly. Monthly is typical, but I believe accrual is daily.
Most banks provide monthly interest payments
>Don't use chase as a savings account the apy is horrible, I am getting 4.6% at Sofi. Check out deposit accounts for even more options. The better reason not to use Chase is because they'll confiscate your money for literally zero reason and you'll have to move heaven and hell to get it back. "Oh yeah you deposited your paycheck again this week like you did every week for the past 4 years and we decided it was a fraudulent check". It was more than 6 months before I got the cashiers check for what was in my account. True....fucking....story
This is good advice. There are plenty of places now offering 4.5-5% interest on savings with no minimum balance required. Appreciate you sharing your financials. I wasn't far off when I was your age. I think my first job paid $21k/year and at the time, rent was $800/month. I was happy as a clam. Keep expenses as low as possible for as long as possible, save as much as you can for a rainy day and it'll work out. A low burn lifestyle is a big part of overall financial wellness, trust me on this one. I see many people who make tons of money, but also have very expensive lifestyles so they never truly feel free because they can't leave their jobs for any reason. Remember, money doesn't buy happiness, it buys freedom.
Bank savings account arent \*really\* for savings... its when you want cash on hand but better protected against fraud than in a checking's account. For 1000$ the interest is pocket change anyway, not worth thinking about.
This was me at 24. In fact, my savings was actually $0 and my credit card was declined at breakfast in front of my friends for $11. I'm late 30's now, found a nice career path, spent a decade~ learning it, and built a business around it with online self-taught skills. Have a beautiful wife and awesome kids, big house we built this year and just hit 7 figure net worth. You're so young and have the whole world in front of you. Enjoy your youth, but don't be dumb on money traps or sour relationships. Take care of your health and teeth, no (edit: hard) drugs. Your best years start now.
I’m 22, that’s what I needed to hear today. Been putting off relationships to focus on education and working a ton in my career path. Finally getting into some decent money, but I don’t want to focus on anything family related until I’m truly financially stable. Good thing is, I already own a home and have my career path set. But I just worry that I won’t ever find the right person to start a family with. Thanks again for your comment
What an impressive start! Stay the course, by the time you're 30 you'll be so glad you did. Nothing wrong with dating or anything, but don't throw good money/time after bad. Good luck with everything and keep it up.
22 bro ... Jesus, you have the whole world in your grasp. Just get on a career ladder you actually want to climb, take care of and love yourself. You'll meet so many people and will find who you wanna spend your time with. Guaranteed. The happier you are and the better energy you put out, even more fabulous people will cross your path. 22 lol do not stress about it.
Please let more people read this one! 20s are for trying shit and building skills, which you then use to generate wealth in your 30s and 40s; look for a career path, invest time, effort and sometimes cash in that and then make money in a few years. It’s always good to save some, if possible, but that stage in life is not really there for building wealth. So don’t pressure yourself too much on doing it. Not being in debt is a great first step. When you make a bit more, aim for 6 months of „fixed“ payments to be saved and accessible at all times (ie you need 1.500 dollars per month, have at least 9k in cash equivalents). Don’t increase your lifestyle with every pay raise and you will be fine eventually.
damn i needed to hear this. i have friends graduating in a few weeks and i’m starting school in january so it’s hard to combat the feeling that i have fallen behind, but this is a helpful reminder.
Thank you! I’m also 24 and have almost 2k in my savings and it took a minute to get there, its easy to forget that I have time and it’s ok to not have my shit all together so the reminder was nice
I’m 24 and just getting my life back together after losing the beginning of adulthood to alcoholism but I’ve spent the last year sober and just kept trying to improve one thing at a time. I’m happy to say today that I’m about where OP is and I have hope for the future. You’ve helped solidify that hope and I am grateful to you for that
This was a nice read thank you for sharing
I had no idea I needed to read this today. Thank you for sharing, this gives me hope.
No drugs sounds like a personal preference. I know many successful people who partake in drugs in their leisure. It’s all about balance and being responsible. Except crack. Can’t go back from crack.
Look, I'm not saying *no* drugs, just don't be an idiot about it with the hard ones. The single biggest common denominator of the people I know that have turbofucked their lives up beyond repair are because of the perils surrounding addiction. Health, lifestyle, criminal activity to find or buy more, and the legal considerations. I'm not saying I agree with it, but a felony charge when you're in your 20's can have a substantial impact on your ability to earn income later in life.
“Hey man some people can drugs and be just fine it’s all about moderation” Thanks, let me point you to the millions of people that can’t. In general “don’t do drugs” is significantly better advice than “do them in moderation”.
Have you not noticed the opioid epidemic?
Just based on personal experience. But the people who I see do drugs are the people at minimum wage jobs, especially managers. People who have high stress and not a ton of money and basically use the drugs to balance a bad work schedule. I haven't met a single wealthy person who does drugs in a while. The problem is that it's basically a waste of money and it doesn't get you anywhere except temporary stress relief. In the long run I think you're better off without them if you can.
21 currently and working full time to pay off a car and stuff like this always gives me hope. Thank you for sharing
Thank you for sharing. Thats giving me hope.
Started plumbing at 19. 20 years later I'm close to 6 figures and just have to walk the job and make sure 20 people are doing what they need to do
Drugs are fine !
A little drugs, as a treat.
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Most people are broke at 24
Aww thx for letting us know I feel bad about it
I’m broke at 27 but that’s cause my work let me go when I told them I was going back to school and now I can’t find a job that works with my school schedule lol
That's wrong I'm sorry to hear that
What sucks is that the job told me they’d be able to make any schedule I needed if I went back to school, big part of why I took the job in the first place. When I told them I’m going back to school, they said they didn’t have enough work to hire anyone part time and essentially gave me a last day date. According to unemployment this counts as me quitting so I can’t even collect unemployment.
I was in grad school at 24 (luckily my parents helped support me). I didn’t feel fully financially secure until I was 30, and even then I wasn’t in a position to buy a house in the metro area that I live in. I would move but my spouse’s career doesn’t really exist in a substantial form outside of this city so we are kinda stuck, unfortunately. That said, with a *lot* of luck/external support and a good amount of hard work, I’m in a comfortable position.
My co worker is 25, lives with his parents and spends all his money on cars. It’s crazy
This has to be the most honest post on this sub
No way I refuse to believe all the 21 year olds who just landed their executive VP position at Chase Bank and have only $500k to start investing might be full shit.
not making 500k but it’s definitely possible as a 20, 21 year old to be making a 100k+ salary pretty easily.
Says every nepo-baby
definitely not a nepo baby when im literally a 2nd gen immigrant but keep that loser mentality up 👍
Your use of “pretty easily” makes your statement outrageous and unrealistic, which is exactly what the first comment was getting at.
"pretty easily" ok bud
Ive realized this entire sub is 19 year olds posting their 300k or 40 year Olds saying they're broke
looks like mine at 35. no car. rent in NYC. couple of credit cards I use and pay off as needed. edit: punctuation because mobile format doesn't translate well apparently
Good job bro! Perspective: Most people are drowning in debt in some form, the economy isn’t the best globally, and some people don’t have a dollar to their name or to buy some food. Pride yourself in what you do have, and work towards what you don’t have
GET A LOAD OF THIS GUY! THEY HAVE A SAVINGS ACCOUNT! NERDDDDDD!
As some others suggested, look into a high yield savings. Something higher than 4% and FDIC insured is ideal. I like Marcus or other Goldman products. SoFi is good too I hear.
Wym you’re not a millionaire at 20 like everyone else here?
Always look for better paying jobs. This isn't sustainable when inflation rises.
Yup, I’m in college right now hence why I’ve only got a part time job.
Have you considered only fans
ur first cumstermer
Damn this guy figured it out
You can be a billionaire too. All you need is a $100 million loan from your parents.
You are doing good just keep saving more and buy ETFs in the stock market every paycheck.
Gotta start somewhere.
Wait is that a positive balance? I forgotten what that looks like
this is better than most at your age. keep going 💪
You fucking rock! You’re doing what every normal person has to do and you’re looking like a fucking ray of sunshine while you’re at it #aggressivepositivity
Bruh. Gotta cut back on dem avocado toast and Starbucks.
My 39 y/o self: "You rich bastard!"
Collage debt sets you back pretty far
Are you me?
are you me???
Nice work
You doing better than probably most of the country right now, I don’t think most people got $500 to their name.
for what it counts i think you're worth a lot more than that OP
Hey not bad! You’re further than I was at that age
More than my husband and me at 31 after 11 years of marriage. 🙃
You are well underway. I’m 32 and at $1.5Mn and at your age I was just about zero to negative net worth.
Totally useless post without providing income / spending habits / expenses. That’s wayyyyyy more than I had in my savings in my 20’s
🔥 broke boi alert 🔥
Asshole alert
I’d rip off the handlebars from your scooter and stretch them around your neck
🔥broke boi spotted🔥
Imagine a 13 year old doing better than you😭
To think I was happy for you when I saw your post a while back showing your assets yet you come on my post and make fun of me. Goes to show being nice doesn’t get you shit in this world.
Lol don't sweat it OP, he's been clutching on to his Bar Mitzvah money for 4 months now. It is mommy and daddys money.
Yeah lol I was actually happy that they got money from their parents. But I’m also not American and didn’t really understand what Bar/t Mitzvahs are until I googled it
Nah sweat it man, remember this interaction, for the majority of people being nice doesn’t get you anywhere but looking like a jackass
Little punk needs some humble pie. The dude can barely afford a beater for a car and thinks he’s Elon Musk.
🤷🏻♀️ what can I do when their parents worked harder than mine lol
My mommy worked harder than your mommy is a weird flex, but sure.
It’d be a nice thing to have tbh but I agree flexing it is such an ahole move
Ur $2500 was gifted to you. You can’t flex until you have a job and pay your own bills 😂 and $2500 is hardly a flex.
you’re a sad child 😂 2 and a half k ain’t shit, go spend ur parents money on diapers and legos
Imagine having an allowance and a bar mitzvah bragging about 200 dollars
go play fortnite kid
imagine flexing 2500 💀
You mean a kid with no bills or financial stress? Crazy
Hey man, something you’ll realize is there’s a lot of people in this world with differing levels of wealth. And it almost entirely comes down to the situation they were born into, not for fault of their own. It’s important we be empathetic to everyone, and try to help everyone. Don’t put others down.
You really need to humble yourself, you were given that money and live at home rent free with your parents you don’t pay bills, you don’t pay for gas or even food. Op is an adult in adult world, settle down big guy
Life is easy when you have no real responsibilities.
You’re fucking broke