One of the highest value posts you’ve had, hopefully people take it to heart. Perhaps not what you were intending, but the process of writing it all down invokes some manifestation as well. Almost every successful person does this.
This post hit me right between the teeth. Can attest from recent experience that the quality of life difference from a major city apartment to a house is drastic. Like instant difference of RHR and sleep quality on the WHOOP. Wish I'd done it sooner, as there's a lot of growing up to do when you own / are responsible for your own property as opposed to calling the super to fix your sink or whatever, and those things are harder learned in late 30's than early early 30's. Outside of the city options for going out / dumping cash become limited, and without realizing it you just naturally spend more time writing/gaming things out.
If you don't plan out the general decades the price paid is actually enormous. Most think its just making good decisions around post graduation. That's a lie though, if you mess it up for a decade it take a long long long time to fix
For sure. Think there's something programmed into youth that blurs out the idea of ever being an older person so you can do a bunch of fun dumb shit, but that programming scrambles the financial side in most people too. Probably why a lot of the least fun people are the most successful.
Life is all so much simpler if you figure it out in your early twenties. But the vast majority do not. There used to be more grace in the past so even if you did fail, you’ll still probably be somewhat comfortable. Todays 20 year olds are going to be stuck living in studios/roommates their whole lives.
This post is great, thanks. Financial advisors always annoy the hell out of me when they say "But first, what are your goals?" which is true enough but who the hell knows?? But you have cut through that by giving helpful real examples and guidance, and you're not even a financial advisor.
These numbers look insane from EE resident perspective.Nobody makes that much except board members in biggest companies.We are f-ed and not in a good way
These last few posts are extremely useful. I want to create a good tracking sheet for my assets/investments and set the buying/selling goals for 2024/2025.
2/3 years ago, I had reach my personal goal and then went through a difficult personal situation and just ended up bagholding with a -92% in NW. It's not an easy roller-coaster ride to live through.
I would really be interesting on a post on how to analyse/rate a crypto project (product, users, traction, tokenomics, team, socials etc.) and another post on how to build a good personal tracking sheet.
Thanks for all the info. It's been really helpful.
Two different topics: on the first one terrible lesson learned. Advice would be that "close is good enough". If you're hell bent on a number say $5M or $10M and get to 85-90% of that, its probably greed kicking in so you should de-risk wait and chances are high the stuff you ran up cools off
Right now in our eyes there are still really only two chains BTC/ETH, will probably do an explainer on why. This is coming from a 50% discount on Solana with a large position in USD terms, realizing that it might not even break even in 3-4 years.
Great article. Hypothetically, how would you invest 400k as a 26 year old only making 50k a year with business. Ive seen your old article about different stages 1,2,3 etc. In this situation you would suggest like 70% stocks, 15% btc, 15% eth. Still valid?
Great breakdown. Lot of kids at 25 simply think “I just want to be rich,” but that is a slippery position. Outlook is skewed by 1) their current wants/needs/lifestyle as a 25 year old (this changes dramatically with maturity), and 2) reference points are likely out of whack. They’re seeing fake online guru slop or anchoring on “ballers” like billionaires or mega celebrities/athletes. Yours is a rational approach.
One of the highest value posts you’ve had, hopefully people take it to heart. Perhaps not what you were intending, but the process of writing it all down invokes some manifestation as well. Almost every successful person does this.
goal: a quiet village by the sea
porfirio ftw
This post hit me right between the teeth. Can attest from recent experience that the quality of life difference from a major city apartment to a house is drastic. Like instant difference of RHR and sleep quality on the WHOOP. Wish I'd done it sooner, as there's a lot of growing up to do when you own / are responsible for your own property as opposed to calling the super to fix your sink or whatever, and those things are harder learned in late 30's than early early 30's. Outside of the city options for going out / dumping cash become limited, and without realizing it you just naturally spend more time writing/gaming things out.
If you don't plan out the general decades the price paid is actually enormous. Most think its just making good decisions around post graduation. That's a lie though, if you mess it up for a decade it take a long long long time to fix
For sure. Think there's something programmed into youth that blurs out the idea of ever being an older person so you can do a bunch of fun dumb shit, but that programming scrambles the financial side in most people too. Probably why a lot of the least fun people are the most successful.
It's a tricky balance but if you party it up 2x a week in 20s, works out pretty well
Life is all so much simpler if you figure it out in your early twenties. But the vast majority do not. There used to be more grace in the past so even if you did fail, you’ll still probably be somewhat comfortable. Todays 20 year olds are going to be stuck living in studios/roommates their whole lives.
This post is great, thanks. Financial advisors always annoy the hell out of me when they say "But first, what are your goals?" which is true enough but who the hell knows?? But you have cut through that by giving helpful real examples and guidance, and you're not even a financial advisor.
These numbers look insane from EE resident perspective.Nobody makes that much except board members in biggest companies.We are f-ed and not in a good way
In 2dnd/3rd world numbers way lower, probably half or so
These last few posts are extremely useful. I want to create a good tracking sheet for my assets/investments and set the buying/selling goals for 2024/2025.
2/3 years ago, I had reach my personal goal and then went through a difficult personal situation and just ended up bagholding with a -92% in NW. It's not an easy roller-coaster ride to live through.
I would really be interesting on a post on how to analyse/rate a crypto project (product, users, traction, tokenomics, team, socials etc.) and another post on how to build a good personal tracking sheet.
Thanks for all the info. It's been really helpful.
Two different topics: on the first one terrible lesson learned. Advice would be that "close is good enough". If you're hell bent on a number say $5M or $10M and get to 85-90% of that, its probably greed kicking in so you should de-risk wait and chances are high the stuff you ran up cools off
Right now in our eyes there are still really only two chains BTC/ETH, will probably do an explainer on why. This is coming from a 50% discount on Solana with a large position in USD terms, realizing that it might not even break even in 3-4 years.
Easiest way to build the goal posts would be an excel sheet with the following line items:
- Beginning of Period Net Worth
- After Tax Earnings (Take pre-tax income * tax rate * savings rate for this number)
- Market returns on investments (Pick a number that works 7-9% is S&P returns)
- Ending of Period Net Worth
Project that out until your age x to see if you're on track.
This is how asset managers look at their asset continuity (i.e. an assets under management roll-forward).
You can play with the assumptions to see if you're on track etc.
Thanks for this idea. I don't have a good tracking and not doing any form of forecast. I definitely need to build something better on this front.
Thank you for this
Great article. Hypothetically, how would you invest 400k as a 26 year old only making 50k a year with business. Ive seen your old article about different stages 1,2,3 etc. In this situation you would suggest like 70% stocks, 15% btc, 15% eth. Still valid?
100% Bitcoin brother. Or 50/50 BTC/Eth. Unless it’s a high risk stock, 7% is not going to get you to the numbers Bull is talking about
Reinvest into the business
Yes but that still leaves lots of $ unless u go all in
You go “all in” if the ROI warrants it. If $1 in ads nets you $2 in sales ad Infinititum, then of course you would invest $400k to make $800k.
No idea about your biz or even your risk profile. Are you 26yo living with your parents or 26yo newly married with twins on the way. Very different
Yes true thanks good points. 26 single living in apt, does that change anything?
Take more risk. Biz biz biz.
Great breakdown. Lot of kids at 25 simply think “I just want to be rich,” but that is a slippery position. Outlook is skewed by 1) their current wants/needs/lifestyle as a 25 year old (this changes dramatically with maturity), and 2) reference points are likely out of whack. They’re seeing fake online guru slop or anchoring on “ballers” like billionaires or mega celebrities/athletes. Yours is a rational approach.
Yeah there is nothing new about thinking they will want to party for life. It's just nonsense with basic planning.
Even if mega rich would not be in clubs at 35-40, embarrassment