7 Signs You're Doing Well Financially (Even if It Doesn't Feel Like It)

Summary

In this enlightening video by 'I Will Teach You To Be Rich,' viewers are challenged to reassess their understanding of financial success. While traditional measures often focus on numerical markers like salary or net worth, the video highlights seven subtle indicators that signify you're doing well financially, even if it doesn't feel like it. From having a six-month emergency fund to spending 15% of your income guilt-free, these signs emphasize financial security, freedom, and a healthy relationship with money. It encourages viewers to find joy in spending wisely, maintain a calm demeanor when unexpected expenses arise, and avoid being tethered to financial apps. This fresh perspective aims to cultivate financial peace and long-term wealth beyond just the numbers.

Highlights

• Having an emergency fund covering six months of expenses is a huge indicator of financial stability. 🏦
• Being free from credit card debt signifies living within your means and avoiding high-interest traps. 🧐
• Consistently investing 10% or more of your income shows you're ahead in building wealth. 📈
• Enjoying guilt-free spending on 15% of your income means you're living your rich life now. 🎉
• Financial leeway for last-minute decisions without stress signals a strong safety net. 🚀
• Clear and calm money talks with partners are crucial for financial peace. 👫
• Control over your finances without the compulsion to check financial apps daily shows mastery. 📊

Key Takeaways

• A fully-stocked emergency fund is your financial cushion for tough times. 📦
• Being free from credit card debt keeps you from drowning in high-interest woes. 💳
• Consistent investment contributions plant seeds for a wealth-filled future. 🌱
• Guilt-free spending on joys in life shows a healthy money relationship. 🛍️
• Flexibility for last-minute expenses without panic signifies financial freedom. 💃
• Engaging in open money conversations builds trust and alignment. 🗣️
• Mastery over finances means not relying on endless financial apps! 📱

Overview

Ever thought you're financially okay but still feel uneasy? This video offers a refreshing view on financial well-being. It's not just about having a high net worth or a prestigious job title; it's more about those subtle indicators like an emergency fund, zero credit card debt, or automatic investments that reflect true financial health. 🌟

Feeling guilty about spending money? It's time to embrace guilt-free expenditure as a sign of a healthy relationship with money. Spending at least 15% of your income on things you love isn't just okay—it's recommended! Financial happiness involves more than just saving; it’s about spending wisely and enjoying life. 🎯

Mastery over your financial life means having systems in place that don’t require constant monitoring through apps. It's about simplifying and understanding your money flow to the extent that financial decisions become second nature, not a source of anxiety. True freedom is having options and not being constrained by financial limitations. 💪

Chapters

• 00:00 - 00:30: Introduction and Reframing Financial Success The chapter 'Introduction and Reframing Financial Success' challenges the conventional notions of financial success, which often focus solely on numerical indicators like salary and net worth. It highlights the anxiety and pressure people feel despite having savings and no debt. The chapter aims to shift the perception of financial success away from numbers, suggesting that they might not be the true indicators of success.
• 00:30 - 02:00: Sign 1: Emergency Fund The chapter titled 'Sign 1: Emergency Fund' highlights the importance of having a six-month emergency fund. It emphasizes that possessing such a fund is a key indicator of financial security and positions individuals ahead of many others who do not have this financial cushion. The chapter likens an emergency fund to a financial equivalent of an emotional support animal, providing security and peace of mind.
• 02:00 - 03:00: Sign 2: No Credit Card Debt The chapter emphasizes the importance of having no credit card debt as a sign of financial stability. It underlines the significance of having an emergency fund that can cover expenses for at least 12 months, especially during unpredictable times like the COVID pandemic or changes in tariffs. The chapter stresses that having this financial safety net alleviates anxiety and ensures that one is prepared for unforeseen events, such as losing a job or dealing with unexpected expenses. This preparation helps avoid crises and signifies sound financial planning.
• 03:00 - 04:30: Sign 3: Regular Investments The chapter emphasizes the importance of regular investments and maintaining a substantial emergency fund. It highlights that respecting risk and valuing peace of mind are more beneficial than making impulsive purchases. By building a financial buffer equivalent to six to 12 months of expenses, individuals don't rely on hope to get through financial challenges. Instead, this safety net provides reassurance ('you're gonna be fine') and grants the freedom to make smart decisions daily without fear of unforeseen emergencies.
• 04:30 - 06:30: Sign 4: Guilt-Free Spending Chapter: Sign 4: Guilt-Free Spending Summary: This chapter discusses the importance of not carrying credit card debt as an indicator of financial health. It emphasizes that carrying credit card debt month-to-month can significantly hinder wealth accumulation due to high-interest rates. The chapter highlights that individuals who have paid off their credit cards or avoid accumulating credit card debt are financially disciplined and live within their means without relying on borrowed money for discretionary expenses. This approach is presented as a key aspect of guilt-free spending.
• 06:30 - 08:00: Sponsor Segment: LMNT In this chapter titled 'Sponsor Segment: LMNT', the discussion focuses on the pitfalls of minimum payments on credit cards. It emphasizes the dangers of accumulating debt and getting caught in the 'interest quicksand,' and praises the listener for choosing to avoid this financial trap. By not falling for credit card schemes and sleeping well because of this decision, the listener is on a path to building wealth effectively. The chapter applauds this long-term thinking, which is essential for financial growth.
• 08:00 - 09:30: Sign 5: Financial Flexibility for Last Minute Decisions The chapter discusses the importance of financial flexibility, particularly the ability to avoid or manage last-minute financial decisions without falling into high-interest debt like credit card debt. Financially healthy individuals avoid credit card debt, recognizing that paying no interest is more beneficial. For those with existing debt, it's crucial to have an aggressive plan to eliminate it. Additionally, investing regularly, such as contributing 10% or more of one's income, is highlighted as a critical strategy for financial health. Automating investments is also mentioned as a pivotal step towards building financial security.
• 09:30 - 11:00: Sign 6: Healthy Money Conversations This chapter discusses the importance of healthy money conversations and dispels the myth that one needs to be an expert or have a substantial amount of money to begin investing. It emphasizes the significance of starting early and maintaining consistency in investments, such as contributing 10% or more of your income to retirement accounts like a 401(k) or Roth IRA. The chapter underlines that the path to accumulating wealth lies in regular and steady investment habits rather than complex strategies.
• 11:00 - 13:00: Sign 7: Control Without Apps This chapter discusses the concept of controlling one's financial future without relying on apps or other software tools. It highlights the importance of establishing a strong financial foundation through methods such as SEP IRAs and taxable accounts. By incorporating consistent, automatic investments into one's life, individuals can achieve a state where their wealth grows passively, compounding over time without constant oversight. This long-term approach is likened to planting seeds that yield financial freedom over the decades. The chapter emphasizes the importance of having a long-term outlook and taking deliberate steps to build wealth, in contrast to focusing on immediate, short-term gains.
• 13:00 - 13:30: Conclusion and Next Steps This chapter emphasizes the importance of having a financial system that works for you, allowing investments to grow over time while you focus on living your life. It counters the misconception that one must be intensely financially savvy to invest, highlighting instead the value of consistency. Furthermore, it suggests spending at least 15% of one’s income guilt-free, embracing joy in spending rather than adhering to overly restrictive financial advice. The chapter criticizes the harsh advice often given by traditional financial experts, promoting a balanced and enjoyable approach to managing finances.

7 Signs You're Doing Well Financially (Even if It Doesn't Feel Like It) Transcription

• 00:00 - 00:30 Let me ask you something. Have you ever looked at your finances and thought, "This isn't enough." Yeah, you got some savings, no debt, maybe even a good job, but the anxiety is still there. The fear, the pressure around money. Why? Because we have been conditioned to believe that financial success is all about the numbers and the numbers alone. Your salary, your net worth, some magical milestone in your retirement account. But what if those aren't the real signs of success at all? Today, I wanna shift that thinking.
• 00:30 - 01:00 There are other signs, quiet, subtle, overlooked signs that prove you are doing better than you think. Starting with number one, you have an emergency fund that covers six months of expenses. And this is the first layer of true financial security. If you have a fully stocked six month emergency fund, you're already ahead of many Americans who don't. It's kind of like the financial equivalent of an emotional support animal.
• 01:00 - 01:30 You know that you're gonna be okay, even if tough times come. And by the way, when times are really chaotic, I actually up my recommendation to 12 months. I've done that during COVID and I did that during the Trump tariff chaos. Now this emergency fund sits quietly in the background, but it gives you peace of mind knowing that if you lose your job or your car breaks down, your kids get sick, you're not gonna be in crisis mode. It also means that you planned ahead,
• 01:30 - 02:00 that you respect risk, and you value peace of mind over impulse purchases. People who build up a sizable emergency fund, they're not relying on hope. They have built a buffer. And that safety net six to 12 months whispers, you're gonna be fine. Emergency funds are not only for worst case scenarios. The truth is they are what give you the freedom to make smart everyday decisions without being afraid.
• 02:00 - 02:30 Number two, you're not carrying credit card debt. Carrying credit card debt month to month is a wealth killer. No matter how much you make, if you're paying 27% interest, you are bleeding cash. Now, if you have paid off all your credit cards, or frankly, you never let a balance accumulate, you're in very good company. That means you are not funding your lifestyle with borrowed money, you're living within your means. It means that you have the discipline to not overspend on what is almost always discretionary expenses. And most importantly,
• 02:30 - 03:00 you're not falling for the trap of minimum payments. You know how credit cards work. You know they want you to rack up that debt so that you are stuck in this interest quicksand. And you decided, not for me. You're not giving these credit cards a single extra cent and you're sleeping very well because of it. That means that you're building wealth, not just by grinding harder, but by avoiding one of the biggest traps out there. And it shows me that you are thinking long-term because it'll be very hard to build wealth
• 03:00 - 03:30 while paying 27% interest. Now, some people actually are so normalized to credit card debt that they think everybody has it. But financially healthy people know that the real flex is paying $0 in interest. If you do have debt, you have made an aggressive plan to get rid of it. Number three, you regularly contribute 10% or more to your investments. The day you automated your investments was one of the most powerful, important days
• 03:30 - 04:00 in your entire financial life. You know, lots of people don't invest because they think they need to become experts or have tons of money in order to invest. Wrong. The way that you accumulate tons of money is by investing. And it's way better to start as early as possible. You already know this. Investing is about consistency, not complexity, and that builds wealth. So if you're contributing 10% or more of your income to your investments, whether it be a 401(k), Roth IRA,
• 04:00 - 04:30 SEP IRA, taxable account, whatever, you are way ahead of the game. You have built wealth into your life by design. It's a part of it. And that money is quietly compounding in the background. It's growing while you sleep. You might not see the results right away, but people who do this, who set up regular, consistent automatic investments, they have a long-term outlook. They are planting seeds that will grow into decades of freedom. I gotta tell you, I see a lot of people stuck thinking
• 04:30 - 05:00 that they need to be a money person to invest. You don't. You just need a system that runs while you live your life. And one day, those seeds that you planted will bloom into the life you've been working towards. Number four, you spend at least 15% of your income guilt-free. Here's a sign that almost nobody talks about. Spending with joy. How many financial experts do you know who come on here and berate you? Oh, you should just buy rice and beans. That's all I need to eat for the next 15 years.
• 05:00 - 05:30 How about talking about actually enjoying our money? What's the point of this all? One sign of a healthy relationship with money is you actually don't feel bad if you buy an $8 oat milk latte or you take a weekend trip to wine country. Why? Because it's part of your plan. Money is not meant to be hoarded. It's not meant to feel guilty over. Money is meant to be spent creating your rich life. Now remember, guilt-free spending is not reckless. It's intentional. It is a sign you are
• 05:30 - 06:00 so good with your money that you've actually built in room for fun. That is a rich life. And if you're spending at least 15% of your income guilt-free on things, experiences, gifts, whatever you love, you're doing better than fine. You are living. You're living that rich life today so that you can live an even richer life tomorrow. That is achieving a balance that 95% of people do not figure out. Many of them have an unhealthy relationship with money. They hoard it, they save it, they feel guilty.
• 06:00 - 06:30 And then suddenly one day they see something in front of them. They go, I need that, I need that car, I need that house, I need that vacation. But none of it involves planning. We need to be in control of our money. We need to have a healthy relationship with money. And part of a healthy relationship involves knowing that it's okay to spend on things we love. You don't have to cut everything fun out of your life. You also don't have to spiral out of control going from one end of the spectrum to another. You can build joy into your financial plan. Remember, I want you
• 06:30 - 07:00 to be so good with money that you can say yes, guilt-free, and you can say no without feeling bad. Yes, learning how to spend your money matters. Spending money is a skill, and just like any other skill, it can be developed. Personally, I believe that it is a tragedy to live a smaller life than you have to. Now, if you, like me, start sweating when you're ranting about all the weird things people do with their money, then let me introduce you to LMNT, today's sponsor.
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• 08:00 - 08:30 available through my link, which you can click in the description below. Now, let's get into the next sign that you are doing financially well. Number five, you can make last minute decisions without panicking. Let's say your friends are in from out of town, they invite you to dinner, or you got a last minute weekend trip that comes up, or your phone breaks and you need a new one. If your first reaction is, okay, that's a sign you're doing well. You're not scraping by, you're not feeling anxious about some unexpected expense, you have created enough financial slack in your life
• 08:30 - 09:00 that one surprise expense is not gonna throw you off plan. And that is a powerful place to be. Now remember, this doesn't mean blowing money left and right. It just means that you are not handcuffed by your bank balance. You have margin, you have flexibility and options. Options are one of those underrated luxuries that money actually can buy. See, financial freedom is not just for multi-millionaires. Real freedom starts when you
• 09:00 - 09:30 can say yes to small things without being stressed about. Number six, you have healthy money conversations. You know how many people avoid talking about money? They only talk about money when it's a problem, when their partner spent money that they don't agree with, and therefore they start to hate money because they only talk about it when it's a fight. If you can talk about money clearly and calmly with yourself, with a partner, you have built one of the most overlooked forms of wealth,
• 09:30 - 10:00 communication. You're not in the dark, you've taken ownership over your financial life, and you are building alignment with the people you care about. Now you can use the techniques in my new book, Money for Couples. You can have a monthly money meeting using my agenda, or you can share your goals with the people around you. You can get excited about tracking how closely you are to taking that dream vacation. Whatever you choose, you're doing something most people never do. You are engaging with your money. You're not hiding from it.
• 10:00 - 10:30 And I gotta tell you, people who are financially successful engage with their money. They talk openly about what they're working towards. They discuss trade-offs with their partners. They ask how they can support their partner along the way. That's how alignment happens. That's how you build trust. And that is how you build a rich life, brick by brick, conversation by conversation. That's maturity. That's clarity. That's confidence. Money does not have to be a source of fights and disagreement. Money can be a source of joy and
• 10:30 - 11:00 connection and spontaneity. Now, quick break. If you are learning something already, and you're thinking, "Hey, maybe I am doing that well," hit that subscribe button. I'm here to show you how to live a rich life and be as specific as possible. Not just someday, but starting right now. All right, let's move on to number seven. You're not relying on financial apps to feel in control. Why is everybody so obsessed with having all these apps on their phone? Oh, yeah, of course I have my investment app on my phone. Why? Oh, you know, I gotta log in and check out the...
• 11:00 - 11:30 Why? And suddenly people realize, a lot of times you just have apps out of habit. Not even a good habit. What the fuck are you looking at? Sitting there, oh, my checking account. Yes, I have some money in there. Here I am. I have my emotional support blanket. Oh, I'm feeling out of control. What am I gonna do? I'm gonna log into my Schwab account and click the numbers. That's not how it works. You don't need emotional support through your checking account. That's a waste of time. In fact, that actually shows
• 11:30 - 12:00 that you do not have the correct system set up. If you have to log in every day and feel the relief flow through your body. No! Okay, so if you can start off by not needing to log in every day, that's a good sign. Next for those freak optimizers watching this, if you can manage your money without needing 15 different spreadsheets, you've also reached a new level. You've put your system on autopilot and you actually understand how it works so deeply that you don't feel the need to almost compulsively check it all the time.
• 12:00 - 12:30 Fancy apps and dashboards will not make you rich, okay? I have as simple of a system as possible. That is what I want for you as well. If you're solo, I want you to use this system and I will teach you to be rich. Set that up. If you're in a relationship, use the one in money for couples. I want you to keep that system simple, one that you deeply understand because it shows intentionality. It shows awareness. It shows mastery. You don't need to outsource control to some app. You don't need to self-soothe
• 12:30 - 13:00 by looking at some numbers every day. You are in control of your money when it is drop dead simple. More dashboards do not mean more control. Real mastery, it's less about complexity, much more about clarity. Now, if this video resonates with you, then you're gonna love the next one because it breaks down the exact steps from survival to abundance. So click it, watch it, and let's keep building your rich life together.