Rich Habits Podcast

8: Financial Mistakes to Avoid in Your 20s & 30s

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Apr 18, 2023
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ADVICE

Lease New, Buy Used

  • Lease new cars to avoid the steep initial depreciation hit.
  • Buy used cars aged three to four years or older to protect capital and lower total cost.
ADVICE

Avoid New Luxury Cars Early

  • Avoid leasing brand-new luxury cars in your 20s and 30s unless you are already a millionaire.
  • Instead invest the monthly lease savings into index funds to accelerate long-term wealth building.
ADVICE

Eliminate High-Interest Debt First

  • Prioritize paying off credit cards and high-interest consumer debt before investing.
  • You cannot out-invest 20%+ interest rates, so eliminate that burden first.
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