Build your wealth by investing when you are young and checking your credit card statements

So again, as I always before I start my speech, I give a little disclaimer, not for legal reasons because I don't think I'm doing anything illegal. I'm not a life insurance agent. I'm not a stock broker. I'm not a fund manager. And I'm not a personal financial advisor. I do this this mahal. I do this for the past 16 to 18 months with put into me this um energy as you call it to go on and on and on. And as I walked in asked me if you still have if you still have patience to this whole thing. And I said, "Guess what? Every day it builds more and more and more. It goes up more and more and more." Why? Because when I see an energized crowd coming and listening and they're interested in hearing what I have to say, it's because I have to say, it's not me saying it. And I can't say myself because I might do I have even have this to say but I definitely feel and I will do it the best I can. I do this. My three brothers that passed away. I had three brothers under 70. That means one was 22 passed away. Um so we speak about how to save money to marry off your children. So you when you marry off your children that you will be able to come to your kids wedding with he was a 44 years old passed away suddenly without any warnings whatsoever. So I speak about the life assurance. Then I had another brother. He was in the 60s mid60s passed away. He was a Mhammed also his whole life and [clears throat] um speak the importance of putting away money for retirement. So I have four topics that we do. Living responsible with your money, understanding the value of money, understanding the money, the value of time, understanding the importance of saving for your kids' wedding, the importance of of starting planning now for retirement. Even though a lot of people may think, come on, I have so much time in front of my life. But I will show you that the earlier you start the richer you not the better the richer you will be if you start early and then of course life insurance which is an extremely important topic which is lately about Hashem a big movement about it so let's start with topic number one which is living responsible what is a dollar what is the value of dollar we have in in in in in in Israel A we have something that's calledish something that's called a when a person has a minute and a minute and it has it gives him the strength of going in the strength of believing that he's going to reach where he needs to reach. When a person has then there's nothing what to do. So when you're missing a minute believing let's take away now theat let's go in believing in oursel and believing in our money. If you believe that every dollar that you have in your pocket is so powerful, you have to just believe in it that it's one day going to be so much money this one dollar you would totally different think about this dollar. [snorts] And if you take away the saying what a big deal what's a buck they'll show you mindblowing numbers what a buck is. It's fascinating it is. So say is what comes first is first or big big is between first or or first. So some some say if you're going to have automatically it's going to be sim some say if you do sim before you say you need to have sim first how can you go before you do sim in money if you don't have that you cannot do sim cannot do sim because you don't feel what you're doing you don't even know what you're doing wrong but if you do that means if you start investing your money that you're saving and you see your money growing and you see your money happening in front of your eyes then you'll think at yourself as an idiot for spending money. Now you have to live. Okay? Nobody say don't live. Don't spend money. There's part of life that you have to spend. But you have to take in consideration and be aware of what you're doing. So mahal of being aware. So what I do is bring awareness. I'm not going to teach you how to make money. I'm not going to teach you how to save money. I'm not going to teach you how to put away money. I'm going to teach you. I'm going to bring you awareness. I'm going to bring awareness dollar. And how do you save money? awareness. I'm sure 99% of the crowd over here, including me, never looks at a credit card bill. It goes in the email if you want to look at it or you have to log in to look at it. Payment to your credit card goes automatic from your bank. I don't know how many people has it here, but most people that I know do it that way. So, you don't even look at your credit card bill. You don't even look at your credit card bill. So I spoke today to a niece of mine that became now a a coach in Messia and I asked her so tell me what did you learn over there? She believe it or not she's and she [snorts] says I I had a fascinating story that I learned on myself. I was learning stuff and I need to know we're talking about credit card bills to look at bills and she says never looked at bills. The bill comes, it gets paid and I get into it. She looks at a bill, started looking at a bill and she saw a charge for Netflix. Now she said Netflix net telephone. She thought, okay, it's a telephone has no only a flip phone she has. And she thought it's for phone service, $35 a month, 40 45. And one day she decided, she said, told someone, doesn't make sense. I have a Verizon bill [clears throat] on my credit card and then I have another company. What's going on? What is Netflix? The guy starts laughing. Do you maybe have a teenager at home? She said, "No, my youngest is 5 years old." My oldest is 5 years old. Someone found her credit card or hacked her credit card number and used her credit card for Netflix. Now, this could have gone for years without noticing. And believe you me, you people will open your credit card bills, you'll see charges that you don't realize. They don't even know what that is. Got to be mindful. That's called being mindful and careful about your money. Guide shopping. You go into these big supermarkets. You have this full wagon, a receipt from here till tomorrow. My wife went before P before Y now to shop one of the big supermarkets. And she knows that I'm very mad not to use credit cards. And I'll explain why not soon. And she calls me up. I took like $700. I I know I'm buying a big order for Yante, but I saw I saw meat. I saw this. I saw that. The bill is $1,700. Can you please bring me money? I'm the other side of our pocket. It's too hard for me right now. Just use a credit card. You always have a credit card in your pocket for the emergencies. Okay. She buys a car. $1,700. We drove to my night. We had a whole she was mish $1,700. $1,700. I come home 2:00 at night. I sit down on the table, take out the receipt and start looking at it. The guy by punching in the code for the plums by mistake, he punched in that code by the pounds. So yeah, the the the scale has automatic scaling, but you can override it by punching the numbers. So I punched in 4309, the code of the plum. So she bought 439 pounds of plums for $4 a plum. Of course, $1,200 in plums. And they said, "You can't afford food." And nobody would have noticed it. Nobody's seen it. You know, okay. You know, boom. $1,700 in the in the grocery bill. Very just look. That same day, I made a deposit. Believe it or not, you don't have to believe the story. I made a deposit in my office. I have the machine that swallows the checks. and they made a check instead of $200 to $9 to do it. It it did it for $29.90. Same machine. So you I'm sure this would have been double checked in the system when it comes in. But what I'm saying is be aware be aware with your bills because I had my was a 90 something year old when he passed away. The last few years I took away from him the ability of paying his own bill for electric gas. Why? Because we had to set up a trust fund that all his bills goes into that trust. So the trust pays the bills and and this way he can have the social services that he needs to have the nurses and all stuff. He was so upset at me that I took him away that privilege of paying that bill. I said I I know. So what do you need? Every time a bill came and he showed me, he sat down, went over the bill and checked, make sure that was his mind. And he f he found mistakes here and there. I'm telling you people, you have mistakes on your bills. Everybody has mistake on their bill. I don't know if it's on the gas, electric bill or it's whatever this is, but on the credit card bills or grocery bills by mistake punching numbers here in the do be aware. This is a lot of money, tons of money. So all this is awareness a little bit. Be conscious and aware what you do. So I had that spoke to me. We spoke about setting up accounts, investing money, and he says, "I don't have the extra money, the extra $100 to $200 a month to don't." So, I said, "Okay, come. Let's let's go over." He started going through his bills, his his grocery bill. I said, "Bring me grocery bills." without knowing. You know, you went through the bill, you see stuff that you can eliminate. Again, you need a budget. You have to have be mindful everything you do. And we were able to find every month $200 out of his grocery bills. We went over like four to six weeks of grocery bills and we found certain amount of money that we were able to eliminate of stuff. You know, everybody can find the place where he can donate. And one of the main places that we found is he has an extra phone line at home that he pays extra $25 a month that he's not using. You know, the olden days, you had a bunch of lines, bunch of girls, bunch of lines. Now, everybody has cell phones. Here's a phone line. So, life $25, big deal. $25. said $25 a month is $25,000. $25 a month for 20 years is $25,000. This is how much money is value. We think big deal, you know, five bucks, 10 bucks, a sandwich, a can of soda, whatever it is. Every buck, every dollar is thousands down the road. Thousands. every dollar. It's it's it's it's fascinating and and that's the reason you don't believe that this money can be something. And I said it many times and I say it again today. I have a friend of mine that has his son that he used to go every month to Shabas out to make a milkshake. They used to go buy the milkshake in the ice cream store for him and his wife and his kid. Three milkshakes. A milkshake is $14. So that's what $42 a milkshake every matzah shabas. Told the son one matzah shabas. Let's buy a milkshake machine at home. We'll buy the ice cream. A bucket of ice cream is 10 12 bucks. Bottle of milk, chocolate syrup. We'll do the same ingredients. We'll make our own milkshake. So he made the first week. They bought the machine. They calculated each milkshake was about $4 in total with the ice cream, with the milk and everything. So with $12 out of $42, he has $30 extra. He went that month of Shabas. He opened up his laptop, opened up in his Fidelity account, add account. It's called the Milkshake account. This is where he named it milkshake account. He took 30 bucks and he put it in that mash of Shabas right away wired from his bank account. 30 bucks into that account. So that's 30 bucks a week times four. That's $120 a month. After 6 months that account had over $800 between the money that it it saved. Now, can you imagine? They still have the same milkshake every month to shabas and yet they have $800 in a savings. It's called a milkshake savings account. How much money will this be in 20 years? $100,000. A milkshake. Every month $100,000. That's called being mindful. You don't you don't even what's going on. And the worst thing is using credit cards and being mindless with the credit cards. In the olden days, there was no such a thing. I'm think when I got married, let alone my parents when they got married. I mean, there's such a thing as credit. Everybody looked up cash. Okay? You have money in your pocket. You have a $100,000, whatever you have, you start spending that money. You see that money depleting, you start being careful. You have a credit card. It's the opposite. Today's days is totally the opposite. You have a credit card in your pocket. You go to the grocery. You don't even look. You pile up your card. Pile up your card. Everything is huge card. You come to the grocery. Forget about that plums that cost $1,200. But you pile up that card with a bunch of stuff. Swipe the card. You walk out. You don't even know what's happening. Comes the end of the month, you don't even look at your bill. It goes directly out of your bank. You can swipe through your I don't know what your money, you know, like crazy numbers. The wine store, the fish store, the the the the nut store, everywhere you go, boom, boom, boom, boom. You lose total lost of control. And then someone comes to tell you, "Start putting away money for your retirement." He looks at you and you're nuts. First of, what do I take the money for? I hardly can make the month. Of course, you can't make the month. You're not living with a most you'll ask them, can you pull through the month? They say no. Everybody comes through with the month. He made it and another month. It's pure reason is no there are people who shing a lot, have great businesses, have good income. I'm not saying I'm not saying to everybody, but it's the the the center the the 80% of cholesterol. There's the the 20% of cholesterol that are anam and then there's the 20% that are gym. But let's take the middle class person that works for $150,000 a year, between tuition, groceries, mortgage, utilities. He cannot go through the month. He cannot What can we do to pull through the money? So the first thing is be mindful on your money that we spoke before how you spend your money. Don't just assume you live off the credit card, you swipe through, look through the bill in the grocery, look through the bill in the off, look through the credit card bill, be surprised how much money goes to waste, goes to the garbage. And all you need, believe me, all you need is $100 a month per child to marry him. That's it you need for 20 years. That's all you need. But if you don't do it, you will not have it. So the kid is you live in you live responsible. You take the same amount that lives off cash and does that same grocery shopping, wine store shopping, this whole nine yards. And if he walks out of the grocery and he sees he has to pay $1,700 for the bill and he doesn't have the cash in his pocket, he starts looking, hey, something is wrong here. And he goes through the whole thing. He would find the problem of the plums right away. And he would make sure stuff in the He's not going to buy that ice cream that costs 18 bucks and he's not going to buy the dip that's extra. He's going to be careful. And this is what is good to have panas. Plain simple. Be mindful. Don't be careless. Be on top of the game. And once you're on top of the game, you can start putting away. You can start building your wealth. And I want to show you numbers. We'll show you numbers that that that will blow your mind away with with with with with with means building wealth with small money and young years. Whoever has this pamphlet is this one or this page on the pamphlet is number four. Page four. It's page four. Page number four. What is that? Okay, this way it's better. Yeah. >> Excellent. One of the main issues that I bump in to the middle-aged people that are in the 30s and 35 and 40 is they tell me right now I already have with seven, eight, nine, 10 children and it's virtually impossible me for me to put away $100 a month per child. That means $1,000 a month just for that. And then for the older children, you have to put it away more because the $100 a month will not do it. Will not cut [clears throat] the cake. So I want to show you on this chart. On this chart, look at the first box on the top. First 13 years invest $1,800 per month. And Gam gets married. He's 20 years old. Okay? The first 13 years of your married life, your expenses are very small. You don't have mortgage. First of all, it takes a nice fee. Most people buy their houses in the 30s. You don't have bars. You don't have high school. You don't have camp bills. You don't have you just have limit for one or two or three children. Whatever it is. The majority expenses of people happens between age 35 to 55. This is where the majority expense of the person is. So when a person takes the first 13 years of his of his of his of his married life, 13 years, that's what you have to do. You take $20,000 initial investment from the Dushikashank money you got or the money you earned as a teenager. You add $1,800 a month for 13 years. That's it. So this is a physical calculator that was in the S&P 500 in August 2002 and5. August 2005 ending month is August 2018 which is 13 years. If you put in $20,000 in the beginning $1,800 monthly that means he would have invested go down you'll see he invested $300,000 total investment. The final nominal value is $693,000. Seven. Then he takes this money when he's already age 33. He doesn't take it. He doesn't touch it. He lets it sit in the account. Look at the next box. $693,000. In August 2018, he lets it sit till August 2025, which is this year. The $693,000 grew to $1.7 million. You hear numbers $1,800 a month for 13 years in the first beginning of your life grew physically grew not hypothetically grew. This was the situation and we had a 2008 in the middle. We had a 2018 you had co in the middle and all these years with all these years in the middle you still grew your pot to $1.7 million. Now look at the chart next to it. at age 40. Okay, so it was age 20 to age 33, he put the money in. Age 33 to age 40, he let it sit. Do nothing with don't touch it. You can use the $1,800 extra that you had every month. You use it for your bar mitzvah. You can use it for your high school bills. You can use it for whatever you need. You don't have to put away a penny anymore in your life. Not a penny we have to save anymore. At age 40, when you start the starting balance of 1.7, look at the next column. withdrawal is $125,000. That's the first year. And you increase it every year with 5,000. That's at age 41, it's 130. 42, it's 135. 140. 145. Look down all the way till age 95. At age 60, look, he's taken out already $225,000 a year. That's $20,000 a month he takes out. He put in 18 on it and he takes out. Look at this this crazy numbers. If he passes away age, look at age 85. He passes away. He already took out every year. Look at these numbers. 3003 $325,000 is going down. At age 85, if he passes, he still leaves of over $2 million. This is how powerful the time and the money is. This is what I kept on telling you. If it's someone who's going to understand the value of a dollar and understand the value of time and the earlier you start the richer the richer you'll be not stumble rich. You show me how how many people that you know have a fund that has $2.5 million that are seven years old now and take out $200,000 a year. You tell me anybody over here in the show that knows someone that does it that is 60 and takes out $200,000 and has a fund of $2.5 million. Come out kind of almost nobody. All it takes is the correct planning. Be vigual in the beginning of your life. Don't spend the money that you don't have to. So someone asked you, "Where do I take $1,800 a month?" I said, "Believe you me, read this chart and you know that this is your total future. You'll make it work. You'll make it work. Go for another job. Go for I don't know what. Make it work because this is your all you need is 13 years. That's it." 13 years. I'm talking $20,000 a year. I'm not talking big money here for 13 years. $20,000 if you start in the beginning. Now look at the angel here. Unfortunately, you guys are already way past that 20 years to one side. But to show you the power of it, and if you look at these papers, the dark color, I want to show you another number. Okay, that right under that. So, if someone just puts in $1,000, okay, it's it's in the black sheets. $1,000, you would have by the end a million dollar, not 1.8, you would have a million. So, if you have a million dollar, you could take out a $100,000 every year. not increase it. Just leave it $100,000 every year. Don't increase your taking out money. You would still have because the market average does 10%. So it regrows. You take out $100,000 a year. By the end of the year, it regrow again to the million dollar. You have to take out another $100,000. And if there's good years and there's there's years of the market at 20% and 30%, you don't take out more money. You just leave that same $100,000 because for the years of the market goes down. So you always need that cushion. Said someone told me the story from when the world lost the value of time and money developed. Our parents the older generation time was so valuable a dollar giving it was like crazy. Today's generation we have from cultivative but we don't focus on time we don't come on time we don't go on time you always have an excuse why you're late and not everybody I mean I'm talking about me always have an excuse why I'm late and so the time is nothing and you tell them to start doing it now I still have time everybody d I have time is six hours from now everybody has time the time has no value and money has no value. Tell the guy you idiot look what you spent and just being mindful. I'm just giving you another example of this high mindfulness. There's today's credit cards that give points. So most people that I know have credit cards that give points. So should be able to have a vacation fly business class. Look in business class today. Credit card. Who pays 12 $15,000 for a first class ticket? Points. Fidelity has a card that gives you two points per dollar you spend. And every point is a penny. And Gim puts $10,000 of credit card bills a month. That's $200 clang. $200. My boy said $200 into your retirement fund for 30, 40 years is $2 million. Okay. Your business class ticket that you thought you're going for vacation because those after 6 hours or eight or nine hours is gone. You don't even remember a day later that you sat in business class. You smiled from here to here. You walk down. You make sure everybody sees you came off business class. But believe you me, when you'll have $2 million in your bank account, when you'll be 70 years old, 65 years old, you'll you'll smile way bigger than business class. I listened to one of my speeches. He goes twice a year and coach I can't fly coach back my feet my discob people screaming babies excuses from here till tomorrow points this that he's not a big bubbus he's not a big vat shingiman he's a simple simple simple guy that makes butish he can comes up to my office he needed me to help him with whatever I should I'll guide him with financials. He told me, "Listen to my speeches." So, he just flew last month. That's true. Went shopping for a ticket. Business class ticket was $65,000. Coach was five was was $1,500. He took $5,000 in cash and put in his wife pocket right over here. $5,000 in cash and bought the coach. And every time he felt pain, he looked. Every time he felt claustrophobic, every time he came home with a pack and he goes, "Yeah, this is do the flight to share." And it's just a mindset. All of a sudden, he's not claustrophobic. All of a sudden, he's not paying nothing. He has a pile of $5,000 of cash. And that's the way we think. That's the way we got to think. You know, everything is important. I had a couple came to me, sat down, they needed guidance. Couple came down. They need guidance. Father calls me up. They married his children. There four years married. He got him an apartment, a car, the whole nine yards. Have a credit card. They swipe $75,000 a month. The Londo's bill on the cleaners is $350 a week. They said, "First of all, you're an idiot. Who gives credit card to the couple? I should speak to them." So I have the couple sitting in front of me. We start talking. You know what's normal? What's not normal? So I asked this, she should tell me a little bit of her lifestyle. What she she buys a Sai bowl every day for breakfast. She must s I must have a Sai. She asked me if it's normal. I said, "Maybe to you, but to me not." You know, she needs a pedicure, a manicure every single week. Is this normal? I say, "Yeah, maybe." But I just explained her this concept. I showed her the same map. I said, "It's normal. You need it. I understand. I'm not telling you how to change your life. I'm not telling you what to do." She's making a weird. Take that same money, that same $1,800 that you spend a month on the side balls and pedicures. Just these two things, put it into this thing, you'll be rich when you're older. You stop marrying all your children, you'll have money. Comes the time to marry up your children and you don't have the money. Believe you me, it's such a good feeling. Shias goes haywire. Everything goes fight left and right. We need it. We don't need it. Yes, we need it. No, we need it. that we have. And man called me up. He's a member. He says, "I got to tell you the story. I walked into a house and man is two weeks before marrying go of his child. Two weeks before marrying both of his daughter, he swallowed a whole bottle of pills. Want to commit suicide." What happened? He's become bishop about Shinga Mountain and drives a big caddy. She says $500. Okay, there is no money and he's embarrassed to go out and he doesn't have money to go to the wedding. He can't go to the roof ask for money because then is it you know where's the Cadillac? What's going on here? They say I just got to tell you the stories of it's because we're so not focused. We're so not there. We're not understanding. We're young. We're having fun. you know, you know, I also enjoy this stuff. I also flew business class. I also do these things. Everything with a limit. Everything with a limit. Be mindful. Understand that you put away money. It's going to come today. You're going to need the money. And even if your business goes well today, a lot a lot of people that are marrying off children are age middle age had good businesses in young years. A lot People had Amazon businesses. People had so many different businesses. They went became Don't think that because you have a good business now, you have a lot of money now. Nothing to worry about. There's no such a thing. It's fake. Be mindful. To show you another example, what means IRA? Okay, it's in the bottom of the chart. Take a girl in 1975. It's not on the color one on the colorful one. It's not only the black one on this thing. A girl that goes out to work. Okay. In 1975 took $7,500 which is the maximum contribution to an IRA. Put it until this year. How much would it be before looking at the paper? What do you think it would be value? 1975 she graduated school 50 years ago. She was 20 years old when she started to work. 50 years ago, she's now 70 years old. What's the value of the $7,200? That was over $2 million. This is how powerful time is. And if you look at the at the IRA at the the at the U bottom numbers, look, start H at 35. Start with $7,200 a year. on a 10% annual return duration of 30 years, you put in $600 addition monthly, you would have $1.5 million. Okay, the same income amount starts at 10 years earlier. At age 25, the same calculation, all he added is $72,000 because it's 7 $7,200 a year for 10 years. He has over $4 million. See a difference? One and a half million to over four because he did 10 years more. It's the time that gives you the money. How does it work? The the the the kash is that on 10% it doubles every seven years. So if you take $1,000 at eight at seven years it's 2,000. At 14 it's 4,000. No. It's at seven it's 2,00 14 is 4 and 21 is 8. So a thousand turned into eight within 20 years. So this guy that had an additional 10 years had another seven years in between which one and a half became six plus what he added plus that you're over four. So it's the time that makes you the money. It's not the money. side by side. Grab your pockets. Grab your wallets. Be in control of your credit card. You know, if you can get off credit cards paying minimum payment on a credit card is there are people who live off credit cards. They pay minimum payments. They build up balances and it goes meant to and it grows to hundreds of th I having a lot coming to my office with bills of you don't believe me hundreds of thousands of dollars of credit card debt. They'll never see the light of the day. Never talk about putting away money, have money for marrying off children, they'll commit suicide. Of course, we got I'm going to snore for you. If you have a credit card, pay the balance totally. Try not to live off it, but if you live on it, pay the balance as it comes. Do not carry over from month to month because you're paying away. Just take that interest that you pay away and put that into your son's wedding fund or to your retirement, you'll be a millionaire. It's crazy. Small numbers. Be mindful. That's the both s of saving s being mindful of your money. Being how to put away your money to have the money to marry off your children. Where do you put in the money? Now let's talk about investments. What's a good investment? What's a bad investment? Rabbi say in Sweden we have a of being we believe everybody's everybody we believe man comes into did you hear that investment you're going to triple your money tripx 4x is going to give so much go out to Google Heck, you go in the show Google. Yeah, the guy has a nice website. They made a nice website. It's good. Looks good. They have no idea about the technology. AI. We all saw the news last week. There was a company. I don't even want to say because it gets recorded. It's live. I don't want to say the name of the company. Went Lulu. Six months ago. I heard that there's trouble there. I every speech I said do not invest in these companies. I'm sure people listen to that. And they went over and then these syndicators came to the tried to grab money and they said, "Well, I heard that the guy said, I want to tell you something. Real companies that have real technology do not need coiling a lot to invest in them. Believe you me, they don't need your money. They have money from venture capitals. They have seed money. There is fund managers. There is tons of places where they get their money from. If someone comes in this medish collecting money for a company that's developing, you should know a pani without a doubt. And if you could show me one company that turned out to be a company that made money, come show it to me. I would love to see it. years ago it was the gold mines of this kabat guy that everybody put in the money everything went to sleep few years ago since the the high the high the high um 2017 1819 started the real estate investments this group buys a thousand apartments in Georgia this group buys in Texas and this California everybody have 10% 12% of your money and then they rebuild it and they sell it and they have a 2x and 3x fine would have went very well. Everybody made nice. Then came the crash when interest rates flew up and all these buildings were not managed correctly. They were all on on on bridge loans, not even mortgages. They had bridge loans that flew up to 12. I'm sure 70% of the scribes that I'm talking about flew up to the bridge loans flew up to 14%. And the insuranceances doubled and tripled and all the all the buildings went lulu and everybody lost their money in do a line in lake I know over $60 million they got flushed out with these deals and Ponzi schemes and Ponzi schemes. What's the problem? We all want to make better that's possible to be made. You tell a guy you'll make 10% of your money and I have to beat the market. Tell a guy buy S&P 500. It only makes average 8 n 10%. He's trying to beat it. Idiot. All those who beat lose it. I was sitting once in a in in a in in a syndication meeting of a real estate deal of a group and sitting over there listening to a guy. So I asked the guy, "How much does this group give?" It was an older man that invested a lot of money in that group and it's a very reliable group. I'm not going to mention the names, but a very reliable real estate read company, a group. And he told me this group gives 6% annual and if they sell out it's one and a half. And I look at the guy, older man, I said, "What? Everybody's giving out 10, 12, 3x." By the end, he'll take everything away from you. And he was so right. We all think we need to beat. We need the best tisha. We need the best school. We need the best doctor. We need the best hospital. We need always the best. Making a kdish. I have to make the best kdish, the best cater, the best wedding. Yeah. But we deserve it. But be in reality. All the big billionaires of the world, even Warren Buffett, if I may mention his name is SH, someone someone told me a clip this week. He said, "You want to buy my my company?" Okay, it's good to have. But invest most of your money in the S&P 500. Even these big guys, all these big guys, all of the say like Daniel, put your money where Chase puts it. Put your money where the big boys put it. And that's only in these companies. In the S&P 500s, it's impossible to lose your money. Impossible unless you do stupid stuff. So in the S&P 500, there's not funds, ETFs. Every day, new ETFs come out on the S&P 500. There's leverage funds of ETFs. So when we did in the 20s, when we did in the 20s, in the 2000s, we invested in the in the market, we bought stuff on on on margin. If you know what margin is, margin is that the bank lends you the same amount of money or double and some give you triple that you put in. So, if you put in $100,000, they give you another $100,000 to to to uh to invest. What happens is when the market starts dropping and the value of your stocks go down from 100,000 to 50,000, they make a margin call. You have to pay and if you don't pay, they sell you out. So, in the 2000, then 2008 and all these times, people were on margin. They started getting margin calls. They couldn't come with the money. Everybody got liquidated. Now, what's happening is the new ETFs that people are doing, okay, I'm already not wild. I'm not doing single stocks. I'm doing ETFs. I'm going to put in the ETF in the S&P 500, but a regular VU, a regular these kind of ETFs is not good enough for him. 10% is not good enough for him. He wants to go into a leveraged ETF. Now the leverage, the way it works, those leverages that they they somehow borrow money to buy, let's say they buy two times the value of the the of the of the S&P. So let's say let's say $1,000 value, they buy $2,000. Where do they take the two the extra $1,000 to buy that 2,000? They take a loan. And who do they charge loan for you? So by the end you end up losing all comes a crash and you lose all your money. Be careful. You should go the regular way. Invest in straight ETFs or the S&P 500. You want to do the NASDAQ, do the NASDAQ. I like to split it up half NASDAQ, half S&P, so you have a little bit stronger kicker. Some people say put in 20% in international. Some people say put in 20% in value, but put it in in healthy places. Do not buy single stocks as a general rule. What do I mean? do not buy single stocks. Let's say if you have $100,000 to invest, you want to take 10% and you want to go on a stock that you want to buy. Okay? As long as 90% of your money is straight up in a in the ETFs of the market. Again, I can't give you advice. I'm telling you what I would do. You want to go ahead and put it into a stock, put into a stock. Most people who did individual stocks did not overbeat the S&P 500. Most of them some did. I own Apple stocks already for 20 years. If I would had that same money in the S&P would not be there. But I didn't put in all my money there. I put in fraction of my money there. Most of my money are in the ETFs or mutual funds of the S&P 500 because that's the healthiest place. I know and shadow. I know the fleet is shut off. Can you imagine if I would put in my money in black in Blackberry? Blackberry was the number one smartphone for 20 years ago. The number one smartphone. Everything. Everybody had a Blackberry. Stock was flying crazy. Or Palm if remember this old days we had a palms. I don't know if they this age remember the pal. Palm stock was the number one stock. I owned Palm stock in those days. flag zero. So you can't be you buy the S&P 500 ETF, you're always in the winning 500 companies of America. Always. Always stick to the winners and be a winner and don't try to beat it. Believe you me, you'll have. And now let's talk about the final chapter which is life assurance. As I told you before, I had three siblings that passed away under young age. My mother was also only 52 when she passed away. I'm not trying to make myself. I'm trying to bring awareness. Understand that young people die young people are dying. The myth that young live and old die is opposite. The old live and the young die. Okay. Unfortunately, I'm sure everybody in this knows somebody his age that passed away. Everybody or his age two years up or two years down or a family member or someone that is dying out of make life assurance life insurance I'm talking about a term life insurance and term life insurance only if you're very rich and you want to be secured with life insurance do a whole policy in gan today's days your age must have approximately $5 million on life insurance. No, don't look at me funny. No, no, no. You He's looking at me. You make me the face. Why? 5 million amount. You know what? $5 million today's days is zero. almost gish to marry off a child today today is minimum $125,000 liquid style if you're doing the in the in the but if you want to live a bat your life just make a calculation how much you earn a year how much you earn a year right make everybody make a you have to have at least 20 times your earnings at least so if you make $250,000 you need at least $5 million just to recovery earnings. You're 30 year old a 35 or 40 year old for the coming 20 30 years they have to live off something. So 5 million is not a lot. You will make a lot more than 5 million life insurance. But you must have these numbers 2 million, 3 million, 4 million. You need a lot of money life insurance to buy a whole policy for $5 million. You need $50,000 a year. That's over $5,000 a month. It's not affordable. So that's why you buy a term a term for $5 million maximum. If you're young and you're in good health, it's about $ 35 to $40 per million. So if it's5 million, it's 300 to $300 $350 a month and you're covered. You need on you, you need on your wife at least $2 million. at least $500,000 per n fish in the family per dependent. If you have five children can know how that's atone 2 and a2 million plus the wife is another million is three and a half million and then for the mortgage that you have at a house you still have a mortgage that you want to be paid off. Now over here everybody should live to 120 but nobody lives at 120. Okay. Nobody 120 is a nice most people don't reach age. Believe me, most people don't reach there unfortunately. Yeah. Doesn't mean that there is death sentence tonight on your heads. No. A person that prepares himself and doesn't need it. Does not need it. My brother did not have life assurance. Why? Because there was no mental fico going around and screaming at top of his lung to make life insurance. The only life insurance that was around was these brokers who were selling whole policies. Yeah. He had $100,000 because this was able to afford $1,000 a year. Bought him $100,000 insurance. $1,000 a year. now buys you $2 million in insurance in turn. Would it would have been an honest life insurance agent? You would have had $2 million insurance, not $100,000. What's $100,000? You left over 13. You had to go make a a campaign. They come to mass the whole charity, the whole 9 yard. We became the biggest ins and there who wants that his wife and children should be the people should talk about it. So are very important. There are life insurance agents that are very honest and they will not push you what you don't need. And there's others I don't want to say. The first thing is start building yourself a budget. Take a piece of paper, write down what do I earn, what does it cost, what's my expenses of life. It's not that difficult. If you're a little techsavvy, download an app. There's the WAB app. There's money matters. There is so many apps these days. Gets connected to your credit card bills, your utility bills, your mortgage bills, your bank account bills. You put it over there your those your yumptive expenses, your shabas expenses. You set yourself up a budget to know how much do I need to spend to live? And then you get clarity. Once you have clarity, you know how to put away your money for your future. Believe you me, you guys will do that. You'll have a different life. And if someone is not savvy enough or doesn't feel comfortable enough to do it and needs help, there's a that reached out to me to come speak over here. He today he he's has he he has a certificate from Missilla. He is certified by Misilla which gives coaching of how to build yourself a good budget. Don't be embarrassed. It's okay. Even if you feel you're about to sha first person and you make nice money, go, it doesn't have to be. It could be someone else, whatever. Go over to guy like that. Sit down, spend a couple hundred dollars. Make yourself a budget. You'll be surprised and shocked how much money of your money gets flushed down in the drain. You'll be surprised without knowing, like I told you before, on a credit card bill, just Netflix or or the extra phone line or whatever it is. You have these all these subscriptions. You have no idea. You once went online. You wanted to do checking on a on a coin if it's authentic or not. You downloaded the app and asked you to to do a a one month free trial. You did that free trial for $4.99. You forgot about it. It runs on your credit card app after app. You a lot of people pay like $200 a month in subscriptions that they don't use. They don't need. Now, I'm not talking about the magazine subscriptions that people have. You know, you want to read, okay, be mindful, be careful what you spend your money on. Save your money. And again, let me show you just I forgot to show you the first page of this thing. I can't skip it because I do this on every speech. So, on this one, if I'm not going to do it, something's going to be missing. It's this sheet. The first sheet just to show you the thing amount takes $5 a day. It's this sheet >> plan. Okay. The top chart if takes $5 a day. We said before $100 a month. $5. The market is open five days a week. Monday, Tuesday, Wednesday, Thursday, Friday. That's $25 a week. It's $100 a month. And Gam takes $5 a day. That's it. You need to put away for your son's wedding. Look, starting balance is zero. Annual rate is 10% because the S&P average is 10%. Duration of 20 years. Periodic addition is $25. That means how much you put off. The weekly is circled $82,000 your total. You invested $26,000. You have profit of 56. The same man takes $3,000. Look at the next column. Takes $3,000. He cuts his vna. He doesn't put the lights with the baby's name on the wall. Takes off that. Takes off the extra weight or the sesame chicken. Takes that $3,000. Gives that kicker. Look the number. $14,000. $3,000 a baby's born. It's $20,000 more. Big deal, you know. Okay. Sesame chicken on the lights. Okay. It's another two, three, four, $5,000. You take $10,000 when the child is born, you put it away, you almost have your whole wedding. $20,000, you're fully covered. when the when the child is born. So when you're young and you have money and you're available to to take that chunk of money, put it away in the beginning, don't do the monthly. Put it away in the beginning and you know you're set. So I reiterate, live responsible, be mindful on your money, be mindful on your surroundings, live with responsibility. Put away the money. Build your wealth. You'll have a good retirement and a healthy relationship because when there's money, there is a healthy relationship. When there's no money, there's fights. And make life insurance and you will not need it. Now, my son, I gave him training. He went to school. He's getting his license now. He's getting his ser 65 and the whole thing. He can help anybody over here that needs guidance how to open these accounts. You go to you can do it yourself by the way on menfacicorn.com. I have a website. It's called medieifyorn.com. On that website there is a beautiful calculator. There's this page. So someone asked me if I have different ages of kids. I already have five six kids. How much do I have to put away for every child? On that calculator there's a goal calculator. You put in $100,000 per child. You put in starting age, end age, 9 year old, 20 years of end age, 10%. It shows you exactly how much you need to put away every week for that child. And a total on the B gives you the total on the bottom gives you exactly how much you need on the full total to put away. On that website, I have videos of how to open accounts in Fidelity, how to open investment accounts, how to set up reinvestments, how to set up the automatic. You have to open an account for each individual child. Before we spoke about making these big accounts of $20,000 for a year. Now we're talking about putting away for your children. It's a thing to have for every child a separate account. The children go out and babysitting. They sell lemonade on the street. Whatever it is, show them the account. Put it in for them there. They will see their money grow. It's going to change the whole mahalak. And believe me, everything is going to change in the house. You have per child, the child gets older, you see it's missing their money. You need more money there for that wedding. You have an extra few thousand. You push it in there and you've built your wealth this way. So my son Dudy, he can help you set up. He charges a minimal fee to help. If someone doesn't want to set up the account, he can set it up. He's also a life, again, I'm not making money out of this. I'm not a life insurance, but he's a life insurance agent. He can sell you term insurance whoever needs I know people say that I have an interest a personal interest in it personal interest if you're going to make it you'll be the winners maybe he's going to make a couple of dollars but you're going to be the winners by the end of the line and you'll thank me for it invite me to the children's wedding and everybody and everything you Anybody has questions? Q&A. They said Q&A. You can have loud Q&A and quiet Q&A. I'm going to stay here for a while for quiet Q&A. >> Question. >> Loud question or quiet question. >> Loud question. Let's go ask. >> Someone has. >> No. Go ahead. Go ahead. Here. The question. If someone has debt that's under control and he's paying it off with whatever the maximum is, right? So that number of putting away $5,000,500, $1,000 a month, whatever it is, is all going to pay off that debt. Should he prioritize paying that off first before doing any investments or split that up and do something against? >> So the answer is like this. It all dep all depends on the terms. If you can take a gum, let's say if you can go to a gum, do a deal with a gum that you, let's say you owe $50,000 in debt, you do a deal of gum, I'm paying you back $5,000 a year for the coming 10 years. You allocate that $5,000 there and then the rest. But if you're paying interest, first pay off your never invest money if you have if you're paying interest because taking care and giving there and that paying interest is 3% 4% and here I'm making 10% that's a wrong first get rid of your debt first thing that get off but if you do try to get the gum a lot of will give you the gum go to gum first of All the credit card companies will make a deal with you. Make sure to use a good >> home. >> It's it's very on the home. It's hard. >> It's it's still, you know, it depends what the money was tooken out from the home equity. If you took out a home equity to build your house, it's a you see now you went something else. There's credit card bills that have very high interest that you must pay back. That's one thing. people who take out home equity lines. A lot of people ask me, should I rather pay off my mortgage before investing or I should take my money to invest? So the tenants is a there's a system how it works. You buy a house, you take a mortgage, you pay the five, six% or whatever it is on interest, you put it in your budget for the coming 20 years is being paid off. Then you take your money that you earn that you invest that goes into a 10 or whatever percent and that's a total different thing. But your mortgage has to be paid off of your earnings and your home equity line has to be paid off of your earnings that you're making. So yes, if you have a home equity line, I would split it up. I would say okay home equity is going to get paid on my mal and because it's not eating you up that interest even though there are other people say no pay off your but it's not that anybody else >> so everybody this is a very known question people ask how much money should I have in cash in a cash account for emergencies saved up as for emergencies is a normal person for his life that he does. If you have a good budgeting and budget yourself out in your budget, you would have put in a certain amount of money for your yontiff, for your cam bills, whatever it is. I don't have a problem you investing your emergency fund into even though a lot of people say leave it in a in a money market account of 4%. And you're right because you never know when an emergency happens if it happens today. But usually your boilers don't break every day. And if a boiler breaks and it cost you $5,000, a lot of people have that $5,000 here and there to come up with it. And that emergency fund meanwhile makes money. If you can't take the hit, that means if you put in your money in emergency fund and it loses money while it goes down 10 or 20%, it's going to hurt you. Be more comfortable. Put it into the game. But whatever you're not allowed to sell what don't sell only if you must. So, someone asked me if I put in for 19 years