This is the best piece of advice I've ever heard about building a high net worth.
這是關於累積高淨資產，我聽過最好的建議。
00:05
It came from a millionaire I looked up to as a kid, and it stuck with me ever since.
這句話來自一位我從小就崇拜的百萬富翁，從此一直銘記在心。
00:10
I was worrying that I'd never have enough money to afford the things that I'd always dreamed about having. His exact words to me were, “Don't worry about earning millions, instead focus on the first hundred thousand,” because after that your net worth will go crazy. I didn't fully
lo and behold, it worked. So why is the first hundred K the hardest? Well, there are two main reasons for this. The first one is your earning power. Think of this like your level in a video game. You just haven't been playing long enough to build up your skills and, therefore, can't compete
with the more experienced players. This is the exact same when it comes to making money when you're younger. This issue is actually getting even worse. A recent study found that Gen Z have about 86% less buying power than my generation, the boomers, did at the same age. This is partly due
to older people standing in the workforce for longer, meaning that higher paid positions are harder to come by. But it isn't all doom and gloom, as the internet offers a great way for younger people to make far more money than the older generation, as most of them don't understand how
to use Instagram, let alone build an online side hustle. When it comes to tech, there aren't that like me. The second reason your first hundred K is the hardest is your lack of compound interest.
Think of your money like a snowball. You roll it down the hill by investing money, and as it rolls it picks up more snow, which is your compound interest. The bigger your snowball gets, the more snow it collects and, therefore, the more compound interest you make. Sounds amazing, right?
Well, yes and no, let me explain. Right now, if you don't have at least a hundred K then your snowball isn't big enough for it to pick up any significant income. You essentially can't really benefit from compound interest. I mean, let's say you invest 10k in an S&P 500
index fund and get an average yearly return of 7%, which has historically been the amount investors can expect. After five years, your money will have grown from $10,000 into $14,176.
That's five whole years to earn $4,176. That's why it's so hard to reach the first hundred K.
這花了整整五年才賺到 4,176 美元。這就是為什麼達到第一個十萬如此困難。
02:33
It's all about how much you can contribute to your investing pot rather than how much compound interest you're making. This means you're gonna have to make more money any way you can.
這完全取決於你能為你的投資罐貢獻多少，而不是你賺取了多少複利。這意味著你必須盡一切可能賺更多的錢。
02:43
Honestly, it was no different for me. I remember doing at least three different side hustles at the same time in order to earn enough money. Working this many hours and also resisting the urge to spend it on vacations and the latest designer clothes is really a killer, but trust me
it's worth it, as once you hit that first hundred K, it's way, way, way easier to grow your money.
這是值得的，因為一旦你達到第一個十萬，你的資金增長就會變得容易得多。
03:08
So why does net worth go crazy after a hundred K? The answer? Because compound interest stops being lame and it actually starts to sound pretty unbelievable. Take a look at this chart. If you invest 10k annually with a 7% average yearly return, going from 0 to 100k will take 7.84 years.
However, going from 100k to 200k will only take 5.1 years. So overall, it'll take 2.74 years less to make the second 100k compared to the first. That's 35% faster to make your second 100 grand
than the first, and it gets even better. If we expand things to go from 200k to 300k, only takes 3.78 years. Then 300k to 400k takes 3 years, and 400k to half a million is only 2.5 years. We
could keep going, but I think you get the idea. Just look at how the chart starts to go crazy but it all happens after the first 100k. Getting that chunk of money as fast as possible is the key.
Just think, if you can shave just a couple of years off how long it takes you to reach that 100k mark how much quicker you'll become a millionaire. Once you get to this point, it's almost inevitable that you'll be wealthy if you just invest in a low cost index fund. If all you wanted to do was
save up this 100k and invest it in an S&P 500 index fund and never invest again, let's say I don't know, you completely forgot about the account. You would still become a millionaire within 33 years. That's how powerful compound interest is once you've made that first 100k. So how do you
make your first 100k? Well, all you need to do is follow the GROWTH method. I actually came up with this myself, and it helped me in those early days of wealth building, so hopefully it can help you too.
The G stands for gain control of your finances. There's one way, and one way only, to gain control and that's by budgeting. Yep, I said it! Now don't get it twisted, budgeting isn't a rule book designed to stop you having fun. It's more like a guide which navigates you towards more informed choices.
G 代表「掌握你的財務」。只有一種方法可以掌握，那就是記帳。沒錯，我說了！別誤會，記帳不是一本讓你無法享受樂趣的規則手冊。它更像是一個指南，引導你做出更明智的選擇。
05:37
I'm not saying you have to be super frugal with your money, but you do need to understand the difference between your needs and your wants. The R stands for root your investments. Let's say you invest $250 a month in an S&P 500 index fund and get an average yearly return of 7%.
In 40 years, you'll have 656k, but what's even more impressive is that 536k of this is from compound interest. In other words, you only have to put in 120k of it yourself. I know what you're probably
thinking, that's all well and good, but by that time I'll be over 60 years old and dribbling into me dinner. I fully understand that's why if you can get this first 100k invested as soon as possible then you'll do much better than this example. Now, you're making some money, you need to focus
on the O, which stands for optimize your tax management. It might sound fancy, but in reality it's as simple as this: avoid paying tax. Now let me make something very clear. Tax avoidance is completely fine and something that smart people do. Tax evasion, on the other hand, is illegal
and not what I'm talking about. But Mark, if you're earning more, you should pay more tax. I agree with you, and the rich do pay the majority of the taxes, but there should also be an incentive for someone to become an entrepreneur, as they provide jobs for the rest of society, and luckily
there is. Entrepreneurs are taxed off the profits they make at the end of each year, which means they can deduct expenses from their earnings. These are called write-offs. This is different from an employee, as they're taxed off their monthly salary. So say you're really passionate about the latest tech, like the new iPhone. You can start a YouTube channel reviewing gadgets
and once it's generating you money, you could deduct the cost of your tech items from your profit and get them tax free. Essentially, the government has helped you to pay for the item you want.
However, you can only do this within reason. Your business or side hustle has to have a need for this item. In other words, it must be a justifiable expense. That's why starting your business around your passion can be a great way to save a lot of tax. It's what I did with my radio control
model shops, and my son also does with his video production company. If this sounds interesting to you, we're going to be talking about this even more in my 2k challenge I'm running on Discord.
I'll leave a link in the description if you want to save your spot. It's completely free, and there's even opportunities to win some great prizes. So next up, we have W, weed out debts. Did you know the average American carries $21,800 of debt? So if you're in debt, then you're not alone.
As soon as possible, list out all your debts and prioritize them based on their interest rates.
盡快列出你所有的債務，並根據利率優先排序。
08:31
So all the debts that you own with the highest interest rates are the ones you need to tackle first. This is the dark side of compound interest. If you don't understand it, then it can actually start to work against you. Think of it like the hot sun beating down on the snow you're trying
to collect to make your first 100k. If you have too much debt melting it away, then you're never going to get to the stage where your money is working for you. So my advice for this one is to make tiny snowflake payments where possible, because every little helps. Don't give up though, because
neglecting your debt will cause you a lot of stress in the future. So although it feels like you're losing money from the payments, think of it as an investment towards your first 100k.
T stands for tap into additional streams of income. Yes, I'm talking about starting a side hustle.
T 代表「開拓額外的收入來源」。是的，我說的就是開始做副業。
09:20
As of 2023, 50% of Americans have a side hustle, even if they earn over 100k per year. A side hustle gives you multiple advantages by diversifying your income. You'll have more money to put into your tax advantage account, so more investments, and again you're just adding more snow to your
noble, allowing for compound interest to take its course. H stands for heightened self discipline.
雪球添加更多的雪，讓複利發揮作用。H 代表「提高自律性」。
09:49
To put all these things we've discussed into effect, you need to find your inner discipline.
為了將我們討論的所有這些事項付諸實踐，你需要找到你內在的紀律。
09:54
Discipline is the currency of success; the more you mint, the wealthier your future will become.
自律是成功的貨幣；你鑄造得越多，你的未來就會越富裕。
10:01
If you want to know how to build your wealth from zero dollars, then I'm going to leave that video right up there, but don't click on it just yet, make sure to subscribe if you want to grow your wealth. Ok, I'll see you over there.
Why EVERYTHING Changes After $100K (& How To Reach It)
📝 影片摘要
本單元聚焦於累積淨資產的關鍵階段，特別強調「第一個十萬美元」的重要性。影片指出，年輕時賺錢能力受限，且複利效應在資產未達一定規模前不明顯，因此第一個十萬是最難達成的。一旦達成，複利效應將顯著加速財富增長，從而更容易累積百萬財富。為達成第一個十萬，影片提出了「GROWTH」法則：G (Gain control of your finances - 掌握財務，記帳)、R (Root your investments - 紮根投資，長期投入)、O (Optimize your tax management - 優化稅務管理，合法避稅)、W (Weed out debts - 清除債務，優先處理高利率債務)、T (Tap into additional streams of income - 開拓額外收入來源，發展副業)、H (Heighten self-discipline - 提高自律性)。影片強調，透過紀律和策略，縮短達成第一個十萬的時間，能極大化複利效果，加速實現財富自由。
