Jay's Must-Listens: Stop Living Paycheck to Paycheck! 4 Money Experts Break Down How to FINALLY Achieve Financial Freedom (Even If You’re Starting From Zero!) Ft. Codie Sanchez And Scott Galloway

Episode Transcript
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Speaker 1 (00:00):
One of the most difficult, if not the most difficult
conversation to have in the world, is about money. Whether
it's with your partner, whether it's with your boss, whether
it's with your family, even yourself. We all struggle with
thinking about money, talking about money, monitoring our money, growing
our money. It's one of those things that can end

(00:21):
up being one of the greatest struggles of our life.
And it's sad because so much of our life revolves
around it. I know that this episode will transform your
relationship with money. How many of you are struggling to
shift from surviving to thriving. Maybe some of you have
tried budgeting, investing, or saving, but still feel like your

(00:43):
financial growth is stuck. Do you feel like you're doing
everything right with money, yet real financial freedom still feels
out of reach. Maybe self doubt is keeping you from
reaching the financial success you know you're capable of. I
can't wait for you to listen to this episode because
I want you to transform your relationship with money and wealth.

Speaker 2 (01:07):
The number one Health and Well Inness.

Speaker 1 (01:08):
Podcast Jay Setty Jay Sheety. First up is Scott Galloway, entrepreneur, professor,
and best selling author. He talks about the pursuit of
wealth versus riches. Have you ever felt the pressure that
you need to own a home? Scott bust this myth,

(01:30):
and I can't wait for you to hear his answer.
What does being rich even look like? Scott talks about
what does it mean to have a passive income that
can exceed your expenses? Here's the truth. Everyone worries about
financial stability, even high paid professionals, no matter your age.
If you're someone wanting a life of true wealth, listen

(01:53):
to this.

Speaker 3 (01:53):
There is a certain pride of ownership. I think it's
situational where you are in life, how much money you have,
the city you're in. But buying a home is meant
to be an enhancement to your life. It's not a
suicide pact. And it may not be right for everybody.

Speaker 1 (02:07):
Yeah, I think what it gave people as a symbol
was something to pursue.

Speaker 4 (02:12):
Right.

Speaker 1 (02:12):
We started talking about you go to college, you get
a degree, you get a job, get married, you get
a house, you have kids, Like it became one of
those temppole things. And so now when you take it out,
it's almost like, what should people be pursuing?

Speaker 4 (02:25):
Right?

Speaker 1 (02:26):
If you got married, you've got a good job, you're working,
you're with your partner. It's almost like people think they
have to pursue. It's almost like the assumption that you
have to have kids. It's the same assumption of oh,
we have to buy a house. So what should people
pursue instead? Financially? When it comes to financial security.

Speaker 3 (02:42):
The goal is what I'll call wealth. The goal is
going to be rich. Rich is the things you see.
Wealth is what you don't see. And your pursuit should
be wealth or economic security. And this is what wealth is.
Wealth is having passive income that's greater than your burn.
Two example, So I have a buddy who runs M
and A for a bulge bracket investment bank, makes between

(03:04):
three and ten million dollars a year, dependent upon the
market because it's all current incompany, pays fifty percent taxes
between his ex wife, his home in the Hamptons, and
his master the universe lifestyle that he feels he deserves.
He hasn't saved a lot of money, and he spends
most of it. And I know that firsthand. He has
a lot of sleepless nights wondering what happens if the
music stops. He is not wealthy. My father, who is

(03:28):
ninety four between his pension from the Royal Navy Social
Security and he owns six washer dryer machines and trailer
parks where he goes and collects the money with his walker.
He makes fifty two thousand dollars a year he spends
forty eight, so he is saving money despite the fact

(03:48):
that he's not working. So his passive income is greater
than his burn. He is wealthy. So you want to
put yourself on a track to being wealthy. You want
to say, realistically, I can control how much I spend.
I just I've been coaching this couple living in San
Jose and they're in their late fifties. I talk a
lot about young people, and they say, Scott, we're in
our late fifties.

Speaker 2 (04:08):
What do we do.

Speaker 3 (04:09):
How much money do you have? What's your house worth?

Speaker 1 (04:10):
Da?

Speaker 4 (04:11):
Da da?

Speaker 3 (04:11):
And by the time they're sixty five, they're not going
to have enough passive income to pay for their lifestyle.
I said, well, let's lean into our strengths here. Why
are you in San Jose And they said, well, we've
always lived here. I'm like, well, okay, your kids are
gone and you've just mentioned that you go to Costa
Rica twice here, why wouldn't you try and cut your
burn forty percent and move to Costa Rica and take

(04:34):
that economic pressure away and sell your house here. I
think your kids would love to come busit you in
Costa Rica. So the question is put yourself on a
path using basic math and what you really think you're
going to need in terms of passive income, such at
at some point. Ideally it's by the time you're forty.
It's usually not, but it needs to be by the

(04:55):
time you're sixty five or seventy, because that release of
economic anxiety freeze you up to focus on what is
really important, and that is deep and meaningful relationships. So
the reason why I am so much happier over the
last ten years than I was kind of the first
forty five years of my life is that economic stress

(05:18):
was always there for me. I was raised by a
single immigrant mother who lived and die of secretary. I
felt like there was a ghost following us around telling
us we weren't worthy because we didn't have money. Between
college student loans, the bomb crashed and the Great financial Recession,
I just never had enough money to have passive income
such that I was done and a lot of people

(05:40):
never get there. I got lucky. I sold my last
company about ten years ago for a lot of money. Now,
unless I really screw up again, which I've done a
couple times, I can focus on my relationships. The resting
blood pressure of a child in a low income home
is higher than the restling to solid blood pressure of
a kid in a middle or upbrin come home. I

(06:02):
think the majority of divorces are not a function of
infidelity or a lack of shared values. It's those things.
One or more of those things might happen, and then
again the incendiary on it is financial stress. Two thirds
plus of divorce filings are from women. And we don't
like to say this because we like to assume all

(06:23):
men are predators and all women are virtuous. But when
a man is under financial stress, the reality is he
becomes less attractive as a mate, and that can lead
to real stress in the relationship. So what you want
to pursue if you're not pursuing a home, you want
to put yourself on a path. You want to get
alignment with a partner. You want to tracker spending, and

(06:44):
put yourself on a path to some level of economic
security of wealth by say the time you're sixty five,
and if you're young and you're killing it instead of
buying a bigger flat screen or a bigger TV, or
maybe a bigger house, Well what if I started saving ten, fifteen,
twenty thirty percent of my salary and I got wealth

(07:05):
by the time I'm forty or forty five. Because to
be in America, young and healthy and have passive income
that's greater than you're burn. You're just going to have
a wonderful life. So it's not acquiring anything, it's getting
to a point of economic security or wealth. And that's
a function of two things. How much money you make,

(07:25):
such as you can save ke to wealth is not
how much you make, it's how much you save. And
also the thing you can control is your burn. You know,
I have a friend who ran a hedge fund. It
closed down. He makes good money, but not great money
living in Tribeca with three kids, needed a million bucks
a year to live that life. Moved to Portugal lives
an amazing life with a beautiful home, great food, childcare,

(07:48):
great education on four hundred grand a year. I mean,
these these are problems of privilege, but that has taken
the world of stress off his shoulders. He now needs
to make a very good living, not an out rageous living.
So but surround yourself with smart people who can help
you make these decisions. But wealth is passive income that's
greater than your burn.

Speaker 1 (08:07):
When you bring up the word money, most of us
kind of go blank faced. We want to reach for
a stress ball. We kind of you can just sense
that it's uncomfortable to talk about it because we're almost
reminded of all the bills stacking up and all of
our expenses and we spend too much on TikTok shop
this week, and you know, the reality hits and we
kind of don't want to talk about it. Don't bring

(08:27):
it up. How do we get out of that stressful wiring?
And you talked about it even there with your background,
Like I grew up in a family where we didn't
have the healthiest relationship with money because we never had
enough or we always had just enough and that was
good enough, and that was always like you know, you're

(08:48):
just looking at your back balance sitting at zero all
the time, Like, how do we rewire our relationship with
money because most of us have a stressful relationship with money.

Speaker 3 (08:57):
Well, when you think about how they help people who
are depressed. It's a combination of talk therapy and if needed,
some sort of you know, pharmaceugal intervention. I think mental
illness or mental unwellness around money. I think we absolutely
need to one have more financial literacy. I think we
should have a class called adulting in your senior year
of high school that says, my kid can do derivatives,

(09:18):
but I just figured out he doesn't understand the interest
rate on his credit card. So young people needs a
certain level of financial literacy. Also, I encourage him to
talk about money with their friends. It's especially hard for men.
Women are disproportionately evaluated based on their aesthetics. Men are
disproportionally evaluated based on their economic vitality.

Speaker 2 (09:39):
So for a guy to.

Speaker 3 (09:39):
Say, hey, do you you know I lost a shit
ton of money in the market. Should I sell it?
Do I get a tax shot off? That connotes weakness.
They're worried that they're less attractive. There's actually something very
British that you might relate to, and that is British people.
The best great I understand in Britain that everyone wants
is you get really high marks but really low effort scores.

(10:03):
You're supposed to be accidentally rich. I'm so, I'm such
a baller and I'm so great at what I do
that I just accidentally slipped and fell on a ton
of money. No, it's work. You got to think about it,
You got to talk about it. So I encourage people
to talk to their friends and if you're comfortable, this
is how much money I'm making, this, how much I'm saving?

(10:23):
This is you know, taxation is really important. Well what
if I moved to Florida? How much money would I save?
You know, what if I buy a house? Now I
hear there's something called ten thirty one exchange where I
can roll into my next.

Speaker 4 (10:36):
Property tax free.

Speaker 3 (10:38):
Talk about money, get get really good at it. Roger Federer,
do you think he never talks about tennis? Talks about
it all the goddamn time. Do you want to be
great at money? Most people say, yeah, I want to
be great at money? Is anybody great at anything? If
I wanted to be an amazing evolutionary anthropologist? Would I
never talk about it? Would I never bring it up

(10:58):
in conversation? I never want to talk to other people
about evolutionary anthropology. If you want to be good at money,
put down the facade and start talking to people about
their investments, how much money they make, what they do
with their money, how they save money, what they do
to try and limit their spending. I talk about stoicism.
See if you can find a practice where you get

(11:19):
reward or a dopa hit from exercise or relationships. Gamify
saving money. My junior year at UCLA, I was in
a fraternity with mostly wealthy Jewish kids from the valley,
and there were five or six of us out of
one hundred and twenty guys, and everybody in who we were.
We didn't have any money. We're always laying on our
house bills. Everyone knew, oh, those are the poor kids, right.

(11:41):
And one summer we all lived in the same apartment
building and we gamified saving money, and we had a
whiteboard and we literally made a game out of it.
In the summer of nineteen eighty five, I survived for
twelve weeks on seventy eight bucks a week including rent,
because if I didn't save three thousand bucks by the fall,
I wasn't going back for my senior year in college

(12:01):
because I didn't have wealthy parents. And if you can
gamify saving money with a partner, especially a romantic partner,
that you can be totally transparent with God, that's powerful.
We're building something. We're gonna save a ton of money.
Can we save five or seven thousand bucks this year together?
And it's gonna be eight thousand next year, and then

(12:22):
it's gonna be nine and with compounding in five or
six years, which will go really fast. We have sixty
eighty one hundred grand And having kids is I think
the most rewarding thing it has been for me. I
didn't plan to have kids, but it was having kids
with someone else and raising what feel like pretty good citizens.
But a close second was building economic security with someone else.

(12:45):
We had total alignment. Right, we're gonna save, We were
transparent around our expenses. We were generous with each other.
Oh no, you should do that. There's a very unhealthy
dynamic sometimes in relationships, and this is sexist, but I
found it to be true where the dude uses money
to control his spouse, and the spouse turns it into

(13:07):
a game of how much money she can spend without
him knowing. And fortunately that's getting flipped a little bit,
or it's equalizing because women are doing so well. Women
under the age of thirty are making more money, and
urban centers more single women own homes, but they're still
in my generation. This very weird dynamic between the sexes
and money. But going back to your original question, talk

(13:29):
about it, understand it. If you want to be good
at it, you got to get literate at it, and
you want to bring it up with your friends and
you can start learning. I spend four hours a week
probably talking to other people about my economic well being,
what tag loop holes there are where I should be investing.
I have a lot of real estate when interest rates

(13:50):
come down, At what point do interest rates get low
enough where I should be pulling a second out and
putting it in the market, knowing if I have a
ten year mortgage, over ten years the market usually up
about seven to nine percent a year. Does that make
sense right? Think about it all the time. You're the
average of your five friends. You've seen that study body mass, politics,

(14:10):
sports teams. But what's more interesting is one of those
five people will be more economically secure, much more economically
secure than the other four, despite not making a lot
more money. You want to know those behaviors and those characteristics,
and you want to model that person. But this is
something we all need to be more open about. It
doesn't make you less of a man. You're not supposed

(14:32):
to have a lot of money when you're young. Everybody
screws up. I've been broke twice in my forties. I
was broke and that was really I was too ashamed
to admit that to anybody else. It was like, well,
you're supposed to be smart and great at what you do, right,
So I think being a little bit more vulnerable, being
open about it and getting tips and you know, kind

(14:52):
kind of rules of the road from other people talk
about it.

Speaker 1 (14:56):
Kit two is from Cody Sanchez, found, a CEO, New
York Times bestselling author and champion of financial freedom. She
talks about how to translate your skills into wealth. You
might have felt that you have skills, you have talents,
you have abilities, but you don't know how to monetize them.
I use someone who's deciding whether college is right for you,

(15:18):
or maybe you went to college and got a degree
in something you no longer want to pursue. Degrees don't
always guarantee financial success. Practical transferable skills can matter more.
Companies increasingly value practical skills over traditional degrees, and Cody
talks about how to turn those into real world value

(15:39):
so that you're not chasing your passions that may not
pay off. I can't wait for you to listen to
this clip to recognize how to turn your skills into profit.
So I'd meet a lot of young people who sadly
have spent so much money on their degree, are really
smart academically, but then that skill doesn't translate into knowing
how to make the company more money, knowing how to

(16:02):
lead people really well, knowing how to build function systems, processes,
and therefore it's like, well, wait a minute, I just
studied all these years, but it doesn't translate.

Speaker 5 (16:10):
Yeah, I think you're exactly right. I mean, for a
long time, we employed people from the top universities and
financial firms. We would go out and we would hand
select them because that would be an indicator of their grit, perseverance,
and potentially their intellect their IQ. Now, by and large,
you're starting to see a lot of the top institutions
bypass that. You know, Google doesn't mandate that you have

(16:31):
a college degree if you're going into an engineering degree, actually,
and I think that should be really liberating for us
it's basically breaking down this barrier that's a six figure
barrier that allowed for the few, the elites to stare
step over everybody else. And now it's actually saying how
bad you want it, and don't tell me what you learned,
show me what you can do, or even better, show

(16:53):
me what you did. And so I think the resume
of the future is actually if somebody came to you,
Jay and they were like, I just graduated from Wharton,
I am very smart. You know, I also did my
undergraduate degree at Harvard. I now want to come work
for you. You'd be like, what do you know how
to do? Do you know how to market? Do you
know how to grow a beverage company? Do you know

(17:13):
how to increase our investment return?

Speaker 6 (17:17):
Oh?

Speaker 5 (17:17):
You kind of like theoretically have looked about how to
do that in a case study. That's probably less interesting
to you than somebody that goes you know what. I
was part of the beverage team at Arowon and Whole Foods,
and I figured out sort of across the country how
they buy different pieces of inventory.

Speaker 2 (17:33):
Yeah, attention right, exactly.

Speaker 5 (17:35):
And maybe because I want to help you grow this
individual business, which I know you care about because I
see it on your socials. I put together this little
spreadsheet for you. Here's the things they care about. Could
I come work for you for free for three or
six months, and if that works out, could we do
something better and bigger. The problem that people usually have
on the internet when I throw out the word work

(17:55):
for free, these young people are like, remember that part
where you told us that we were broken and we
don't have any money. So I'm not trying to dismiss
that at all, but I do think we have to
be honest about the fact that when we're young, you're
gonna have to work harder than you think, longer than
you think, doing stuff you don't like with people you
probably don't like, until eventually you get the right to
do something really interesting. But like, you don't die in

(18:17):
your first job from it being really hard and challenging.
You die from the absolute monotony and the low level
tasks you have to do for basically pennies on the dollar.

Speaker 1 (18:25):
Yeah, definitely, definitely, absolutely, I fully agree. Let's say someone's
thirty years old. Yeah, they've all thirty to thirty five,
they work ten fifteen years after graduating, they've been at
the same company. Maybe they've moved once. Yeah, I was
actually talking to someone like this yesterday. She's been at
this one company for six years. It's a great company,
great on her resume, but she's like, I don't really
want to be here. I don't think this is where

(18:46):
I see my future. But I'm so scared of quitting.
I don't know how to invest. I probably didn't save
that much anywhere. Now I feel bad about it. I'm
probably feeling a bit of shame and guilt that I
didn't save that much over the last ten year.

Speaker 2 (19:00):
Is Yeah, what would I do, Cody?

Speaker 5 (19:02):
Well, one, I would say, these days, you do not
have to have money to make money, which is incredibly powerful.
So when I think about it, if I'm thirty and
I am at a company like that, what would I
do today?

Speaker 2 (19:13):
Well, I would actually probably.

Speaker 5 (19:14):
Sit down and figure out what am I actually skilled
at that somebody else would pay me for? Once you
know what somebody else would pay you for, which is
really just like do people ask for your opinion on this?
Could you actually get jobs in this space if it
was me? Because I'm kind of unemployable, Like you don't
want me to work for you? Like I got my
own ideas. I want to do things this way. If
she's like that, then what you want to do is

(19:35):
you want to try to partner with somebody where you
can be the solution to their problem. And because you
understand what I call deal making, which is really the
language of money, you can negotiate an ability for you
to own part of a thing in order for you
to have one of three outcomes. If she can figure
out if she can help a business grow its revenue
make more money, if she can help a business cut

(19:57):
its costs, or if she can help decrease the pin
of a business owner. You can negotiate your way into
a business and have equity in it and upside. And
I wish somebody had taught me that earlier, because this
is what consultants do, this is what private equity firms do,
this is what some of the largest institutions in the
world do. I call it expertise to equity. But if

(20:17):
I was her, I'd say, don't go find another job.
And if you don't have a brilliant idea that you're like,
I would die for the want of creating this thing
in the world. If you have that, please go do it.
But if you're like, I don't have that. I just
want to make money and I want to feel respected,
and I want to feel like my skills fit somewhere
and I'm able to have an outsized income. If that's you,

(20:37):
then I think you should try to value your skill set.
Then you should try to negotiate for an upside deal
with somebody, and you should try your hand at this
game called ownership, which is where you say, hey, small business,
I know how to market. Can I help you market
at the side while I'm working on this company? And
because I help you grow your revenue by fifty percent,
could I keep ten percent of the fifty percent I grow?

(21:00):
A small business owner would say yes to that. Of
course they would, because there's no downside. And I think
more often than not, we think that the only risk
you can take and making money in business is putting
your own cash down. That's a risk, or starting a
business aka dedicating your life to something. The last part
I'll get a little statistic on us is ninety percent

(21:20):
of startups fail inside any rolling ten year period. We
know that statistic. Most startups make zero dollars for the
first three years. After that, the average entrepreneur makes about
forty six thousand dollars a year, which is great, but
not when you've been making zero for three years. And
then on top of that, we've got this nation of
people who have all these bills to pay, and they
are betting on hopes and dreams as opposed to realities.

(21:42):
And so my commentary is, can you figure out how
to value your skills so you can negotiate a little
bit more upside for that day where you can't work anymore.

Speaker 1 (21:51):
Clip number three is from one of my best friends,
Lewis Howse, and he talks about the mindset of abundance.
He talks about how a scarcity mindset can limit financial growth,
while an abundance mindset opens doors to wealth. If you've
grown up with limited resources, it may have shaped how

(22:12):
you view money. He talks about the importance of practicing
gratitude with money, no matter how little or how much
you have, And we get to talking about both of
us rewiring our relationship with money so that you can
actually attract more abundance. If me and you went back
to a place in our life where we really didn't

(22:33):
have money, yes, and you think about someone who's in
that position, who's listening to us right now, and in
their head, they're thinking, but how do I become abundant
when I don't have well? Like my natural thing is
like I'm just struggling to pay my next bill, and
me and you have both been in those situations. I
remember when I was growing up. I grew up in

(22:54):
a house where we had just enough. Like that was
the language my parents use, we have just enough, And
my parents would often argue about money. I remember I
wasn't allowed to buy cool shoes and stuff I'd have
like the knockoff, cheapest brand from whatever, which was. I
actually didn't have an issue with that. I didn't have
an issue with any of it because we had food
and that was my normality. But it's really interesting because

(23:15):
the amount of times growing up. I started working when
I was fourteen, and I think that gave me a
really interesting sense of how hard it was to make money.

Speaker 2 (23:26):
Because I started working at fourteen.

Speaker 1 (23:28):
I used to get paid two pounds per street that
I delivered newspapers. So imagine there's a hundred houses. It's
going to take me like that per house.

Speaker 2 (23:37):
No, no, no, per street.

Speaker 1 (23:39):
So I did five streets and so I'd get ten
pounds at the end of the week, if I did
five streets and each street would take me at least
an hour, maybe I don't know, something like that. And
so I'd walk around, I'd pull this thing and I'd
deliver it, and I got an understanding of how hard
it was to make money. But then that became a
story for me, going to your making money is hard,

(24:01):
making money is hard, and that there's only a certain
amount of money you're allowed to make at this level,
like you're a fourteen year old. Then I worked in retail.
I stacked shelves at a grocery store. I worked at
a store called Morrison's, which is like working at Walmart.
And there, I remember, I got paid like five pounds
an hour, and then you get like time and a

(24:22):
half if you work the weekends in the evenings. All
of this to say that I probably spent my whole
life only seeing zero in my bank account because everything
that would come in would pay for my phone bill,
my car insurance that I paid for whatever it was
that I was taking care of. So I wasn't relying
on my parents apart from I lived in their home obviously,

(24:42):
but I always felt like money came in, money went
out and my story around money was people who have
money are doing something bad.

Speaker 2 (24:51):
So I lived in a home.

Speaker 1 (24:52):
Whenever we went to a friend's home and they had
a nice home, my family would always say, oh, yeah,
but they do dodgy stuff to make money. Language around
money was people with money are doing bad stuff. So
in my head it was like, Oh, if you have money,
then you must be doing shady stuff because we don't
have money and we're not doing anything right.

Speaker 4 (25:09):
You must be hurting people to make.

Speaker 1 (25:11):
Money correct in some way, exploiting advantage. Yeah, take your
advantage whatever. So everything you're saying is so true because
then when I got to a point in my life
where I was just trying to do good and I
had something like one hundred and fifty two hundred million
views on content and you have no money, I was
four months away from being I met you around this
time this time, yes, And it was really interesting to

(25:33):
me because that was the time that I was actually
doing this work, which is why this book so powerful,
because I realized that I couldn't even with one hundred
and fifty two hundred million views. It wasn't that that
made money because my story and my personality style was anxious.
I felt like it was wrong to make money. Like,

(25:54):
that's actually what it was. I felt like making money
was bad. And so until I got to that, did.

Speaker 4 (26:00):
You believe you're worthy of making more money?

Speaker 1 (26:03):
I believed I was worthy, But I believe that you
had to be bad to make money.

Speaker 4 (26:08):
Wow.

Speaker 7 (26:08):
So you don't want to be bad, you don't want
to have a lot of money and associate I have
a lot of money, and now I'm bad.

Speaker 2 (26:14):
Correct, I'm bad and wrong.

Speaker 4 (26:15):
And I'm hurting others in order to.

Speaker 1 (26:16):
Tell myself correct because good people are poor wow. Right,
Like to be a good person of good character means
to not have money.

Speaker 4 (26:23):
Wow. And that was based on a belief system that
you developed.

Speaker 1 (26:27):
Over time that I didn't even know, Like if you
would have told me about this eight years ago, to me,
I don't know, which is why I think these reflections
are so important. So when you're in that place taking
your story as well, taking my story, how do we
start to rewrite that story now that we're aware.

Speaker 4 (26:42):
Well's so powerful that you said that.

Speaker 7 (26:43):
And I remember this vividly because I met you on
Halloween twenty seventeen, right eight years ago, and I said, like,
cancel the day, let's just hang out all day.

Speaker 2 (26:54):
Yeah, you had a book coming out of that.

Speaker 7 (26:55):
I had a boocket that came out that day on Halloween,
which is called the basket masculinity. Anyways, how do we
rewire our brain around money to create more abundance when
you have nothing, when you have lack? How do we
rewire our brain to create abundance when you have nothing
and you don't know how to earn more money.

Speaker 4 (27:12):
The first thing I think you need to be aware
of is that your beliefs dictate your behaviors.

Speaker 7 (27:17):
So if you believe that money is bad or people
who make a lot of money are bad and take
advantage of others, and therefore me having lack right now
means I'm a good person and I don't want to
become a bad person, then that belief is going to
dictate your behaviors, and you're going to stay in lack.
You're going to stay in scarcity, and you're going to

(27:38):
see opportunities that only give you just enough as opposed
to opportunities that could create incredible wealth for yourself financially
but also an emotional wealth that you've never had before.
So that's one of the things you want to understand
it's first that your beliefs dictate your behaviors.

Speaker 2 (27:53):
That's a big one, by the way, That's huge. Yeah,
like that. I just want to point that out with people, like,
that's so huge.

Speaker 4 (27:58):
Because your beliefs.

Speaker 7 (27:59):
Yeah, it's huge got you to a place of I
am impacting hundreds of millions of people from these these
videos that I created with my talents, but I don't
know how to make money with them, and I don't
know if I actually should because then I could be
bad and wrong, or people could perceive me as I
did something bad to make this money correct, And I'm
a spiritual person, I'm a monk, I've done all these things.

(28:21):
I don't want to have that life, but I want
to make an impact and I don't want to be poor.
So I think a lot of people are struggling with
that mindset.

Speaker 2 (28:28):
What are the other ones you hear? What are the
other focusing on that belief?

Speaker 4 (28:31):
Sephorit?

Speaker 1 (28:32):
What are you hearing from people about there? But that's
my belief and that's very much my history and story.
As you said, what other stuff do you hear from people?

Speaker 7 (28:41):
The biggest shift that will create abundance in your life
is a mindset habit in unlocking wealth for yourself. And
one of the big lies, one of the big blocks
that holds people back from financial opportunity is that I
cannot be generous with my time, my wisdom, my knowledge,
or my secrets to others because if I am, they

(29:05):
will take it and run with it and I will
be left with nothing. So therefore I'm going to hoard
my energy. I'm going to hold my time, my knowledge
and only keep it to me so that others don't
have good ideas or have my health. And from all
the different billionaires and millionaires and financial leaders in the
world that I've interviewed, I know you've interviewed a lot

(29:25):
of them, there is a question I would always ask
individuals who've made incredible amounts of money and that keeps
helping them create more wealth year after year, and they
all say the same thing, those who have had a
sustainably good heart in the process, is that you have
to have a generous mindset. So the mindset habit is

(29:45):
the first thing that you have to think about when
creating abundance with your money, but also feeling abundant internally,
and it's coming with generosity. So if you feel like
you're stuck right now, if you feel like you have nothing,
this was what you were at eight years ago when
I met you. This is where I I was at
fifteen years ago when I was on my sister's couch.
I had no money, I was in student loan debt.

(30:06):
I was sleeping on her couch. I didn't think I
had any skills. I didn't have a college degree yet.
I was like, how am I going to make money
if I don't know how to make money and I
don't have any talent or skill and I'm in debt.
It didn't understand it. It felt impossible. And the thing
that I shifted when I started meeting money mentors is
I needed to learn the first habit, which is the
mindset habit, which is a habit of generosity and gratitude.

Speaker 2 (30:29):
What did that look like then? What was the practical step?

Speaker 7 (30:32):
What it looks like was how do I meet money people?
People who have money, people who have success, people can
teach me knowledge. I needed to come with a sense
of energy, of curiosity, of possibilities, and of joy. I
literally wrote a list down of all these different things
that I thought were my talents. I go, how can
I make money. I don't have any skills. I played

(30:52):
football and now I'm injured. What can I do for people?
But I was like, well, I'm really curious. Maybe I
can just ask people questions. And never did I think
million years that I could have a twelve year old
podcast just asking questions and make millions of dollars a year.
I never thought that was possible. I was in my
early twenties and I was like, you know what, I've
got a lot of energy. I've got a lot of passion.

(31:13):
So let me bring passion and energy to other people
and excitement. And that energy was infectious, and there's a
currency that's tied to that energy of passion, joy, excitement, curiosity.
That currency may not look like money, but for those
who are older, who have no more passion, they're burnt out,
they're exhausted. It is the highest form of currency. They

(31:35):
want that. They crave that energy. They've burned themselves out
for decades. They want to feel young again, they want
to feel curious again, they want to feel excited again.
And when you come to someone with that energy, you
are bringing a different mindset. So the mindset of curiosity, joy, passion,
presence like just connecting with someone and asking them a
question is such a valuable currency. So we have to

(31:59):
look into these untapped skills talents inside of us that
are hidden to others, but inside of us they can
create magic.

Speaker 4 (32:08):
That's one of them.

Speaker 7 (32:09):
Another one is just being generous with your time, with
your resources, with your ideas and helping others succeed.

Speaker 1 (32:17):
I love that because I didn't even know that then,
but I was doing it unconsciously.

Speaker 2 (32:22):
Yes, you were, so I really.

Speaker 1 (32:24):
Wanted to interview incredible people, but I didn't have a
platform at the time when I met you, and so
I'd partnered up with Nasdak, And by the way, just
to be really clear with everyone, I didn't get paid
to do this. So Nasdak had something where everyone's using
Facebook Live, and I said, Hey, could I have an
hour in the Nasdak building whenever I have an amazing

(32:44):
guest that says yes, so that I can interview them
on Nasdak Live. And they would put the picture up
on the middle of Times Square on a billboard. So
now I could reach out to people I look it
up to.

Speaker 7 (32:55):
That's the reason why I went on the show exactly.
I didn't know who you were until I saw, hey,
I can get you a billboard on Times Square. I go,
that's value to value right.

Speaker 1 (33:03):
Now, I'm being generous and I'm trying to find a
way because I don't have anything to offer.

Speaker 2 (33:07):
But I admire you. And it was all people I admired.

Speaker 1 (33:09):
It was yourself, it was Ryan Holiday said, yes, Me
and Ryan had met maybe once before that, but Ryan
came on that show, and there.

Speaker 2 (33:15):
Were a bunch of other authors.

Speaker 1 (33:17):
Deepak Chopra came on that show with me, and it
was all people that I'd admired, looked up to for
a long time, and exactly that. That's first of all,
we became great friends off of it. But the point is,
it's exactly what you're saying that even though I felt
I had nothing to offer, I had to find a
way to create something to offer someone of value. I
didn't get paid for it. For that show, I didn't

(33:38):
get paid to run it. I didn't make any money
from it. But it created an opportunity for me to
connect with friends, to connect with people that were doing
incredible things. Yes, and of course allowed me to showcase
my talents so that then I could show it to
other people. I remember I had Ryan Harwood on the show,
who founded Pure Wow and he just sold it to
Gary Vee. That's how I met Gary. So Ryan came

(34:00):
on my show and he was just like, Jay, I
love you. You're a great interviewer, Like you have such
great energy. He really liked my passion and he said,
you got to come meet Gary and I was like,
no way, Like I love Gary, and so he took
me to meet Gary for the first time. We had
a meeting in his office, and that's how I built
my relationship with him.

Speaker 2 (34:16):
It was all thanks to Ryan.

Speaker 1 (34:18):
And so when you think about it now, I've never
thought about it until what you're saying now. When I
look back, Ryan's been on the podcast like four times
now whatever. I love his books. So many relationships came
out of that. And so I think when you live
in a world of I have nothing to offer and
I don't have anything, it becomes really hard to create.

Speaker 7 (34:36):
And most people think when I have nothing, I need
to take from someone else. Yes, I don't have anything,
so I can't give anything if I don't have it.
So I need someone to give me money right now
because I'm broke, I'm poor, I'm stuck, I'm stressed, I'm anxious,
I can't think out of myself. And this first habit
is really gratitude and generosity is the gateway to abundance.

(35:00):
And it may not mean you're going to make money
right away. You didn't make money by having me on
the show right away, but we became friends.

Speaker 4 (35:07):
I helped you, you helped me.

Speaker 7 (35:08):
Over time, we helped each other create more abundance together,
not only financially, which we've done together, but a type
of richness that isn't about money. And this book, again
it's a money book, but it's really like, it doesn't
matter how much money you have. If you don't feel
like you have a rich life inside of you, that's real.

(35:28):
It does not matter how much is in your bank account,
how big your net worth is. If you don't feel
like you have an abundant life. If you're stressed, if
you're overwhelmed, if you're anxious, if you're constantly in drama,
that is not abundance. A high net worth does not
mean you are free. And the goal is for us

(35:48):
to feel free every moment of our lives as often
as possible and allow money to be a tool to
create incredible opportunities memories, moments where you can be generous
with it with the people you care about, the cause
you care about, the institutions you care about, to serve
more people and feel good about doing it, not feel

(36:10):
bad about doing it. And that's part of this process.
Most people, when they lack money, they want to take
from others. They want someone to help them, and you
need to flip it on its head and say, how
can I help others even when I have nothing? That
is the time to be more generous and more gratitude
and say thank you for this opportunity, even if you

(36:31):
have to just lie to yourself for a moment and
say I'm stuck, I'm on my sister's couch, i have
no money, I'm four months and four months I'm going
to be out of an apartment and I don't know
where the money is coming. Just say thank you God,
thank you your nervous for this opportunity to learn, this
opportunity to grow, because I'll never be here again.

Speaker 4 (36:47):
Interview.

Speaker 7 (36:47):
I don't know if you've had Ken Honda on, but
he really.

Speaker 4 (36:51):
It is so cool.

Speaker 7 (36:52):
I love this approach to this and he's talking similar
style about how do you just live a rich life?
Irrelevant of whether you have money or not. And again,
this is what I want people to get to. When
you are poor, when you're broke, when you're struggling financially,
it feels really hard to feel abundant and rich, and
we want to start shifting our thoughts or emotions and

(37:12):
our energy on. Okay, I know I'm in this financial situation.
It doesn't feel good, But in order to get out
of it, it's not feeling worse about it.

Speaker 4 (37:22):
It's starting to.

Speaker 7 (37:22):
Feel better about me, better about my values, my character,
my kindness, my generosity, and seeing how can I add
value to others. And that's the first thing we need
to be thinking about. How can I get into a
richness inside of me to serve others and take care
of me at the same time. And one of the
practices or these social experiments or exercises similar to you

(37:45):
that Ken has is that whenever money comes to him,
whether it's a check, whether it's a Venmo payment, whatever
might be, he just says thank you to that money.
He looks at that number, if it's a penny, if
it's a million dollars, if it's your normal check you
get coming in the mail every two weeks. He looks
at it and says thank you, and literally opens his
heart and loves that money that comes to him. He says,

(38:08):
thank you. Where do you want to go? Do you
want to go to my bank account? Do you want
to go to my savings? Do you want to go
to investments? Do you want to go towards paying off debt?
Do you want me to give you away? And it
might be a weird kind of like exercise, but I
love this approach to just being mindful of money when
it comes, say thank you. And then when you pay bills,

(38:29):
when you pay off debt, say thank you as well.
Thank you for allowing me to pay off this debt.
Thank you for paying myself on bill so I can
call my friends and family that I love. Thank you
for the ability to live a richer life. And when
we start to approach money in that way, it doesn't
mean money's going to fall from the sky and come

(38:49):
to us abundantly, but we're going to start to feel
more rich and abundant internally, which that energy is what
will attract more opportunities. Those opportunities could lead to millions.
This hostess that came to you, she brought that thankful energy,
that present energy, that loving, joyful, curious energy, and it

(39:10):
created an abundance of opportunities and connection.

Speaker 1 (39:15):
Next up is just Breach Seeingh who talks about the
wealth formula. Now, this was one of our most popular
episodes and I'm so excited for you to learn from him.
He talks about the difference between building wealth involving both
saving and investing. It's not an either all. He also
talks about understanding the formula. Income minus expenses equals investments

(39:38):
plus savings, and investments are the key to maintaining wealth
even after making millions. If you're someone who's been wanting
to learn more about investing, this clip is for you.

Speaker 6 (39:49):
What are you doing with your income? You can either
build the equity by starting a company yourself or by
building a home, or you can buy the equity. Now,
how you do that, Well, you have to understand the
wealth formula. The wealth formula that I come up that
I've come up with is you take your income minus
your expenses, and that equals your investments plus your savings.

(40:14):
So if you take your income the amount of money
that you make, and I you subtract all the things
that you buy, your rent, your mortgage, your car payment,
your groceries, your gas. You take away all your expenses
and if you have a margin, when I have extra cash.
Now you can save all or some of this money.
But if you don't save some of it, then that
money can be put to work in your investments. These investments,

(40:34):
like I've been hinting at, is what makes wealthy people wealthy,
and it's what keep wealthy people wealthy. These investments can
be in the stock market because anytime you buy a
share of any company. If you go out and buy
a share of say Amazon, you become one of the
owners of the Amazon Corporation. You get to share in
the profits. If the Amazon valuation goes up, your stock

(40:55):
price goes up. The second wave would be through real estate,
not through your home, but through a real estate investment,
buying a rental property that you're buying for the sole
purpose of making money. This is something they can pay
you every week or every year, every month. Then it
can be through your own business, or if you don't
want to build your own business, you can invest in startups.
It's much more accessible now. You can own physical gold,

(41:19):
you can invest in cryptocurrency if that's something that you
believe in. So there's a lot of different ways to
build this equity, but this is where now you need
to be putting your money to work to actually buy
and own and build this equity.

Speaker 1 (41:30):
Yeah, those are I mean I first of all, I
just want to say I love how structured your thinking is,
and it's so great to break things down. And so
anyone who's been listening or watching so far, make sure
you go back and ask yourself which of those habits
you're struggling with. The use someone who's in the two
s's choosing to spend or save. I use someone who's
being slowed down by systemic thinking and like being controlled

(41:53):
about where that goes. Like, really take a moment to
reflect in this episode while you're listening which part you
want to work on, because I know right now some
of you may be tempted to just turn this off
and go I'm overwhelmed, I don't want to hear about this.
I'm scared about my money already, I don't want to
talk about it. But I'm hoping that this is creating
space for you to really sit down, introspect and reflect

(42:13):
going into that. I think one of the biggest issues
that people have when they hear this, and I know
that I had a long time ago. When I first
heard this was I don't have enough to do anything with.
And so I remember when I started hearing about crypto specifically,
like very early on, like I probably heard about it,
like maybe like thirteen years ago, probably the first time. Yeah,

(42:36):
I was very early heard about cryptocurrencies, about twelve thirteen
years ago, and I had just come out of the monastery,
so I didn't have any money, like, I didn't have
anything to invest, and probably in about a year I
probably would have had like a thousand to invest. In
my head, I go, that's not anything. What's that going
to do? Right? And I think a lot of people

(42:56):
have that mindset, are like I only have five hundred dollars.
I only have one thousand dollars? How can I do
it that I might as well spend it on whatever
it is, because oh I'm gonna save it because I
need it for a rainy day. What does someone do
when they have that mindset, when they're like I don't
have enough? How do you approach that?

Speaker 6 (43:11):
So when I was in high school, I really wanted
a Ford Mustang, but my dad was like, no, you
can't buy a Ford Mustang. I wasn't going to get
that car. But this is again when stock prices had crashed,
and the next best thing if I couldn't buy a
Ford Mustang and I started reading the business books, then
was how about I buy some of the Ford stock. Again,
I didn't have a lot of money. My first investment

(43:33):
in the Ford stock was two dollars because that's how
much the stock was trading for. Now it's much higher.
But what I'm trying to get at is, you know,
you can start with very little amount of money. I
mean nowadays, with the new age of stock brokerages, if
you have ten dollars, you can start buying this type
of equity. You can start building this type of equity.

(43:55):
But the key now is the consistency and how often
like doing it all the time. Because when I say consistency,
people say, oh, anytime I have one hundred dollars, Well, okay,
what you want to do. But consistency is make it automatic.
Any time you get paid, take a portion of that
money and automatically invest it. Now, the next question is

(44:18):
probably where to up put this money? Do I just
throw it into Tesla or Amazon? Well, if you're not
willing to do that level of research where you don't
want to try to find the best companies. You don't
want to invest in real estate, you don't want to
get into the more you know, let's say, the more
advanced type of stuff. You want to just put your
money to work. Well, the simplest thing you can do
is look at something called an ETF, which is an

(44:38):
exchange traded fund, which gives you exposure not to one company,
but many companies, maybe hundreds of companies. For example, there's
something called the S and P five hundred, which is
a group of the five hundred biggest companies on the
stock market, essentially the five hundred biggest companies in America.
You can invest in the S and P five hundred

(44:58):
by investing in just one symbol. So you invest in
this one thing, and you're getting exposure to five hundred
different companies. Now you don't have to worry about what
each of these five hundred companies are doing. You're just investing,
essentially in America the future of the American economy. If
that's something you believe in, well, now every time you
get paid, put in one hundred dollars and now you
just do this for the long term. Whether the market
is up or down does not matter. It should not

(45:19):
change the strategy to just keep passively investing your money,
make it automatic, make it passive that way, don't have
to even worry about it. And now you just keep
building it up because now it's the whole idea of compounding.
You don't want to just throw your money in at once.
You want to put a little bit of money and
let they grow. Put more money and let they grow.
Put more money in and let that grow. I've made
a couple of videos where I talked about two people.

(45:40):
One was the janitor, one worked in a school. Both
of them made very little income, yet both of them
retired very wealthy. And the reason, and I'm talking about
in the millions of dollars, and the reason why they've
been able to retire with a million dollars plus was
because it took a little bit of money every time
they got and they just invested that money. It did

(46:01):
not matter you know what else was going on in
the world. They always paid themselves first, They always invested
in assets before they started going out and buying things
that made them look rich. Every single time. And when
you put that little bit of money to work, whether
you're starting with twenty five dollars or two hundred and
fifty dollars or one thousand dollars. When you put that
money to work and you do that consistently over time,

(46:23):
you can build real wealth. I mean, if you look
at a compound calculator, a few hundred dollars a month
compounded from the age of twenty one to sixty five,
getting an average rate of return. I mean, we're talking
about millions, but it just starts with making a small
investment first, and being consistent with it and always being
willing to learn.

Speaker 2 (46:44):
I love that.

Speaker 1 (46:44):
I'm glad you brought that up because I think the
other option, so as I was saying there is the
issue is I don't have enough. It's not gonna matter, right,
Like that's one mindset. The other mindset is and it's
almost the opposite. It's the idea of like, but I
want to make money quick, yeah, right, And I feel
like it's like by on it now. And I think
there's this mindset, especially what you keep saying about how
the lifestyle has been portrayed, that we almost feel like

(47:06):
people just change their lives overnight and that they all
of a sudden have like a portfolio of rental properties,
or they all of a sudden have the nice house
or the nice car, or whatever it may be, And
all of a sudden, we're wondering, well, how does it
happen that quick for me? And then we get stuck
in a get rich quick scheme, or we get stuck
in like some quick win.

Speaker 2 (47:24):
How do it?

Speaker 1 (47:25):
Sounds like to me that one of the biggest trainings
is in the discipline of being able to postpone pleasure,
because what you're saying in any mark is it's going
to take time. Like you had to save up four
to eight thousand for your first condo that you bought.
First of all, you had to work for that money.
You had to save that money so that you could

(47:46):
invest it. Then you were able to buy this eight
thousand condo, which obviously has had great you know growth,
I'm sure, but there was a lot that took to
get to that. Whereas the thing right now people are like, oh, well,
I'd rather spene one hundred time on this.

Speaker 6 (48:00):
Yeah, it's a real decade of sacrifice and there's really
no way around it. If you want to fast track
your way. Now, the best investment you can make if
you want the better returns, the bigger returns is by
investing your money in yourself. And the tough part is
you got to be willing to go through that time
and the effort, because you're right, it takes time. I

(48:21):
you know, unless you have that experience already there. You
have the mentors, you have you know, pear brans, people
who can guide you through it. Maybe you can shorten it,
but I didn't have that. So for me, it took
me a solid decade to figure it out. To go
from business idea to business idea, the business idea, to
go through failure or failure, to get scammed after scammed,
those things are what teach you. And when you're going

(48:43):
through it, it sucks. You don't realize that you're going
through a lesson. You just feel like, dang, I just
got screwed over.

Speaker 2 (48:47):
Yeah, you know what I mean.

Speaker 6 (48:49):
But it's you got to keep the goal you know,
in mind, and it's understanding what is more important to
you right now. Because you're right, the last thing that
you want to do also is get into this idea
of just pinching pennies, because at the end of the day,
a penny saved is just a penny. And the thing
that I can best do to illustrate that is if

(49:10):
you make forty thousand dollars a year and you're like, Okay,
I'm going to put a side a quarter of my income.
I'm gonna put aside ten thousand dollars to save and invest,
and then you start putting in money to work and
you're like, oh my god, I love this. I want
to do more, I want to get better results. So
now you're like, well, I'm going to try to put
a side thirty percent of my income thirty five percent
of my income, and you keep trying to squeeze this

(49:31):
limited pie. But this is where now it's about building
that growth mindset, and this is what wealthy people are
able to do where they say, okay, sure, I can
try to squeeze more pennies out of the pie, but
the other thing that I could do is I'm going
to try to grow the pie. How do I go
from forty thousand to four hundred thousand dollars? And you know,
you might hear that thinking, how in the world am
I going to go from forty to four one hundred,

(49:53):
Like it just sounds impossible, and so far away, and
at that point, yeah, it might seem the way, but
the first step, like you said, it's that mindset. That's
why I call minority mindset minority mindset, because all success
starts with your mindset. You have to be wealthy here
before you can be wealthy in your bank account, and
you have to understand how your mindset plays a part
in it. Because now, if you tell yourself you can't

(50:13):
do it, you can't. But if you tell yourself you can,
then the next thing you're gonna do is you're going
to say, how do I go from forty to fifty,
fifty to one hundred. You're gonna start watching YouTube videos,
You're going to start putting in work, and as you
start to make more money, now you're going to be
able to answer that question of what do I want
to do with this money? Do I want to go
out and buy a new Beamer or do I want

(50:34):
to go out and invest in my business? Do I
want to go out and buy a rental property? Do
you want to go out and invest in stocks? Do
I want to go out and invest in a startup?
And now you can make these decisions because you have
that financial education and this is why. You know, anytime
I talk about the hows of you know, things that
I say you should do to become wealthy, I always
talk about how you invest and grow your money last,

(50:55):
because if you don't know how to save the money,
if you don't know how to invest them money, earning
more money doesn't do you any good un tel you
know how to do that, because now earning more money
has the most impact because now you know how to
put that money to work.

Speaker 2 (51:09):
You have the system.

Speaker 6 (51:10):
And I'll give you a quick example, like the first
time I made a million dollars in a year, my
car was worth five hundred dollars that I was driving.
I still drive today that five hundred dollars car. Just
last week, before I came out here to California, my
homeowner association called me and they said, hey, Josbery, the
we have a number of complaints about a junk car
sitting in a driveway. And this is a true story.

(51:32):
They said it's been sitting there. Because I was in
California for a long time. They said it's been sitting there,
and people say that you should take these junk cars
and put them in storage. And I was like, well,
for your information, it's not a junk car. That is
my car that I take too and from work every
single day, doesn't have a bumper on it, but it works.
And they were like, well, you have to put it higher,

(51:53):
further than the driveway so people don't see it. And
I was just like, oh my god, you don't get it,
like you know. And it's not that I can't go
out and buy another car. The way I look at
it is, well, if I want to go out and
buy one hundred and fifty thousand dollars car, which I can,
I can go out and take this cash and buy
a car, or I can take this one hundred and
fifty thousand dollars and put it back either into real
estate or into stocks, or into my business because that's

(52:14):
something that I've been investing heavily in now.

Speaker 1 (52:16):
I want to end this episode with a few key takeaways.
Real wealth starts with strategic thinking and understanding passive income.
It's not from luck or just hard work. Number two,
it's about building long term financial security and prioritizing investments
over instant gratification. And number three, share this with someone

(52:37):
who wants to build lasting wealth, because financial freedom is
the foundation of true independence, and when you share these
tips abundantly, you'll be surrounded by more people having positive,
healthy money conversations. If you love this episode, you will
also love my interview with Charles Douhig on how to
hack your brain, change any habit effortlessly, and the secret

(53:02):
to making better decisions.

Speaker 7 (53:03):
Look, am I hesitating on this because I'm scared of
making the choice because I'm scared of doing the work,
Or am I sitting with this because it just doesn't
feel right yet

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Host

Jay Shetty

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