Latest news with #Sethi
Yahoo
a day ago
- Business
- Yahoo
Ramit Sethi Says There Are 7 Levels of Wealth — Where Do You Fall?
The 2025 Financial Literacy and Preparedness Survey, which The Harris Poll conducted for the National Foundation for Credit Counseling, found that 53% of people felt like they were encountering financial setbacks regardless of what they did. Check Out: Read Next: According to money expert Ramit Sethi, feeling trapped in a financial situation isn't uncommon, but you can start getting yourself out once you realize where you are and know where to put your focus. In a YouTube video, Sethi detailed these seven levels of wealth and provided clear steps on how to make it to the next level. Consider your finances to see where you fall. You're in this lowest stage if you struggle to pay everyday bills, feel terrified about handling unexpected expenses and don't know much about your money. You're also lacking stability and peace. Sethi recommended starting with a close look at your finances, including calculating your gross income and identifying all debts and expenses. You'll also want to determine your housing expenses and figure out your monthly savings and investing contributions, which Sethi encouraged making even if you can only dedicate a small amount. Discover Next: Next, you should reconsider and get rid of any money beliefs that could be keeping you stuck in survival mode. After that, work on making more money to get more margin. When you reach this level, you're probably still in a bit of a financial pinch and unsure about financial planning, but you're not struggling to survive or running out of cash for bills. Sethi also mentioned that still having debt and facing difficulties saving regularly are possibilities. His advice for this stage included having a 'conscious spending plan' and automating your savings and monthly payments, which he said was essential for leaving this stage. He also suggested stashing away 5% of your after-tax income into investment and savings accounts, which is a small amount that can eventually add up to a large amount of wealth. Next, focus on working out better rates on any high-interest debt. That saved interest can go toward investments and savings. Finally, Sethi said you need to know your main 'money dial,' which he described as the main thing you'd like to spend money on without guilt. Security means you have some peace and confidence about your financial future. Some signs include awareness of your spending and income, no or manageable debt, regular investment contributions and an emergency fund. Sethi recommended continuing to put money in your emergency fund until it has three to six months of your typical expenses. He also suggested doubling your investment rate to 10% of your after-tax income and identifying your crossover point, which is when the money you're making from investments is more than your monthly expenses. 'It could take you 15 years or 20 years from now, but when you know that target, it shows you how quickly you are moving towards your goals,' Sethi explained. This is the first stage that Sethi said is rarer for people to reach. You're here when you see consistent investment growth, have key dates for your wealth targets and have a strategic mindset. Sethi recommended investing 1% more each year to keep up your growth. So, if you're starting at 10%, you'd be at 15% in five years. He also mentioned trying an investment calculator to see how your wealth would grow over time. Plus, look at your money dials again to make sure you're spending intentionally and consider how your money beliefs are now different. Once you're financially free, you can finally take risks and do things you want to do, like no longer work at all, travel the world or pursue your dream business idea. This is also when you can look years out when making financial decisions. Sethi said to consider what kind of life you want from the freedom you have. That way, you can make the right decisions to get there. He also recommended choosing the amount of money you can spend on things without worrying about it. You can be flexible about that number as your wealth grows. 'The point is to consciously shift your mindset from scarcity to freedom,' Sethi explained. This is a major milestone where you're making stable money, enjoying investment growth and using your wealth in ways that make your life satisfying. Sethi said it's also a time when you work with financial professionals and give to others. Since you've got the money and flexibility, Sethi recommended choosing areas in your budget where you can spend without any questions. He also suggested focusing more on helping others, which doesn't always have to involve money. A University of Alabama at Birmingham article noted that generosity can even reward you with better health. You've reached the top when you're completely financially independent and shift your focus to using your wealth to benefit other people and do big things. Sethi suggested thinking about what you'd like your legacy to be. For example, maybe you decide to regularly dedicate money to a charity that helps your community. Other moves Sethi addressed are formally planning your estate, passing down knowledge and being around like-minded people. 'This is where money becomes a highly influential tool to build something truly meaningful,' he added. More From GOBankingRates 6 Big Shakeups Coming to Social Security in 2025 7 Luxury SUVs That Will Become Affordable in 2025 This article originally appeared on Ramit Sethi Says There Are 7 Levels of Wealth — Where Do You Fall? Sign in to access your portfolio
Yahoo
a day ago
- Business
- Yahoo
Ramit Sethi Says There Are 7 Levels of Wealth — Where Do You Fall?
The 2025 Financial Literacy and Preparedness Survey, which The Harris Poll conducted for the National Foundation for Credit Counseling, found that 53% of people felt like they were encountering financial setbacks regardless of what they did. Check Out: Read Next: According to money expert Ramit Sethi, feeling trapped in a financial situation isn't uncommon, but you can start getting yourself out once you realize where you are and know where to put your focus. In a YouTube video, Sethi detailed these seven levels of wealth and provided clear steps on how to make it to the next level. Consider your finances to see where you fall. You're in this lowest stage if you struggle to pay everyday bills, feel terrified about handling unexpected expenses and don't know much about your money. You're also lacking stability and peace. Sethi recommended starting with a close look at your finances, including calculating your gross income and identifying all debts and expenses. You'll also want to determine your housing expenses and figure out your monthly savings and investing contributions, which Sethi encouraged making even if you can only dedicate a small amount. Discover Next: Next, you should reconsider and get rid of any money beliefs that could be keeping you stuck in survival mode. After that, work on making more money to get more margin. When you reach this level, you're probably still in a bit of a financial pinch and unsure about financial planning, but you're not struggling to survive or running out of cash for bills. Sethi also mentioned that still having debt and facing difficulties saving regularly are possibilities. His advice for this stage included having a 'conscious spending plan' and automating your savings and monthly payments, which he said was essential for leaving this stage. He also suggested stashing away 5% of your after-tax income into investment and savings accounts, which is a small amount that can eventually add up to a large amount of wealth. Next, focus on working out better rates on any high-interest debt. That saved interest can go toward investments and savings. Finally, Sethi said you need to know your main 'money dial,' which he described as the main thing you'd like to spend money on without guilt. Security means you have some peace and confidence about your financial future. Some signs include awareness of your spending and income, no or manageable debt, regular investment contributions and an emergency fund. Sethi recommended continuing to put money in your emergency fund until it has three to six months of your typical expenses. He also suggested doubling your investment rate to 10% of your after-tax income and identifying your crossover point, which is when the money you're making from investments is more than your monthly expenses. 'It could take you 15 years or 20 years from now, but when you know that target, it shows you how quickly you are moving towards your goals,' Sethi explained. This is the first stage that Sethi said is rarer for people to reach. You're here when you see consistent investment growth, have key dates for your wealth targets and have a strategic mindset. Sethi recommended investing 1% more each year to keep up your growth. So, if you're starting at 10%, you'd be at 15% in five years. He also mentioned trying an investment calculator to see how your wealth would grow over time. Plus, look at your money dials again to make sure you're spending intentionally and consider how your money beliefs are now different. Once you're financially free, you can finally take risks and do things you want to do, like no longer work at all, travel the world or pursue your dream business idea. This is also when you can look years out when making financial decisions. Sethi said to consider what kind of life you want from the freedom you have. That way, you can make the right decisions to get there. He also recommended choosing the amount of money you can spend on things without worrying about it. You can be flexible about that number as your wealth grows. 'The point is to consciously shift your mindset from scarcity to freedom,' Sethi explained. This is a major milestone where you're making stable money, enjoying investment growth and using your wealth in ways that make your life satisfying. Sethi said it's also a time when you work with financial professionals and give to others. Since you've got the money and flexibility, Sethi recommended choosing areas in your budget where you can spend without any questions. He also suggested focusing more on helping others, which doesn't always have to involve money. A University of Alabama at Birmingham article noted that generosity can even reward you with better health. You've reached the top when you're completely financially independent and shift your focus to using your wealth to benefit other people and do big things. Sethi suggested thinking about what you'd like your legacy to be. For example, maybe you decide to regularly dedicate money to a charity that helps your community. Other moves Sethi addressed are formally planning your estate, passing down knowledge and being around like-minded people. 'This is where money becomes a highly influential tool to build something truly meaningful,' he added. More From GOBankingRates 7 Tax Loopholes the Rich Use To Pay Less and Build More Wealth 10 Cars That Outlast the Average Vehicle This article originally appeared on Ramit Sethi Says There Are 7 Levels of Wealth — Where Do You Fall?
Yahoo
a day ago
- Business
- Yahoo
Ramit Sethi Says There Are 7 Levels of Wealth — Where Do You Fall?
The 2025 Financial Literacy and Preparedness Survey, which The Harris Poll conducted for the National Foundation for Credit Counseling, found that 53% of people felt like they were encountering financial setbacks regardless of what they did. Check Out: Read Next: According to money expert Ramit Sethi, feeling trapped in a financial situation isn't uncommon, but you can start getting yourself out once you realize where you are and know where to put your focus. In a YouTube video, Sethi detailed these seven levels of wealth and provided clear steps on how to make it to the next level. Consider your finances to see where you fall. You're in this lowest stage if you struggle to pay everyday bills, feel terrified about handling unexpected expenses and don't know much about your money. You're also lacking stability and peace. Sethi recommended starting with a close look at your finances, including calculating your gross income and identifying all debts and expenses. You'll also want to determine your housing expenses and figure out your monthly savings and investing contributions, which Sethi encouraged making even if you can only dedicate a small amount. Discover Next: Next, you should reconsider and get rid of any money beliefs that could be keeping you stuck in survival mode. After that, work on making more money to get more margin. When you reach this level, you're probably still in a bit of a financial pinch and unsure about financial planning, but you're not struggling to survive or running out of cash for bills. Sethi also mentioned that still having debt and facing difficulties saving regularly are possibilities. His advice for this stage included having a 'conscious spending plan' and automating your savings and monthly payments, which he said was essential for leaving this stage. He also suggested stashing away 5% of your after-tax income into investment and savings accounts, which is a small amount that can eventually add up to a large amount of wealth. Next, focus on working out better rates on any high-interest debt. That saved interest can go toward investments and savings. Finally, Sethi said you need to know your main 'money dial,' which he described as the main thing you'd like to spend money on without guilt. Security means you have some peace and confidence about your financial future. Some signs include awareness of your spending and income, no or manageable debt, regular investment contributions and an emergency fund. Sethi recommended continuing to put money in your emergency fund until it has three to six months of your typical expenses. He also suggested doubling your investment rate to 10% of your after-tax income and identifying your crossover point, which is when the money you're making from investments is more than your monthly expenses. 'It could take you 15 years or 20 years from now, but when you know that target, it shows you how quickly you are moving towards your goals,' Sethi explained. This is the first stage that Sethi said is rarer for people to reach. You're here when you see consistent investment growth, have key dates for your wealth targets and have a strategic mindset. Sethi recommended investing 1% more each year to keep up your growth. So, if you're starting at 10%, you'd be at 15% in five years. He also mentioned trying an investment calculator to see how your wealth would grow over time. Plus, look at your money dials again to make sure you're spending intentionally and consider how your money beliefs are now different. Once you're financially free, you can finally take risks and do things you want to do, like no longer work at all, travel the world or pursue your dream business idea. This is also when you can look years out when making financial decisions. Sethi said to consider what kind of life you want from the freedom you have. That way, you can make the right decisions to get there. He also recommended choosing the amount of money you can spend on things without worrying about it. You can be flexible about that number as your wealth grows. 'The point is to consciously shift your mindset from scarcity to freedom,' Sethi explained. This is a major milestone where you're making stable money, enjoying investment growth and using your wealth in ways that make your life satisfying. Sethi said it's also a time when you work with financial professionals and give to others. Since you've got the money and flexibility, Sethi recommended choosing areas in your budget where you can spend without any questions. He also suggested focusing more on helping others, which doesn't always have to involve money. A University of Alabama at Birmingham article noted that generosity can even reward you with better health. You've reached the top when you're completely financially independent and shift your focus to using your wealth to benefit other people and do big things. Sethi suggested thinking about what you'd like your legacy to be. For example, maybe you decide to regularly dedicate money to a charity that helps your community. Other moves Sethi addressed are formally planning your estate, passing down knowledge and being around like-minded people. 'This is where money becomes a highly influential tool to build something truly meaningful,' he added. More From GOBankingRates 7 Tax Loopholes the Rich Use To Pay Less and Build More Wealth 10 Cars That Outlast the Average Vehicle This article originally appeared on Ramit Sethi Says There Are 7 Levels of Wealth — Where Do You Fall?
Yahoo
2 days ago
- Business
- Yahoo
4 Steps To Take If You're Drowning in Debt, According to Ramit Sethi
If you're struggling with bills, credit cards or loans, you're not alone — and there is a way out. Personal finance expert Ramit Sethi, author of 'I Will Teach You To Be Rich,' offers actionable advice for anyone overwhelmed by debt. Explore More: Try This: Here's a breakdown of the four essential steps he recommends if you're drowning in debt. The first step in tackling debt is to get a clear picture of where your money is going and find areas to cut back. This doesn't mean you have to give up everything you enjoy, but identifying and reducing unnecessary expenses can free up cash to put toward your financial goals. Start by tracking your spending for a month to see what's truly essential–like rent, utilities, groceries–and what's discretionary, such as dining out, subscriptions, or impulsive purchases. Then, consciously reduce spending in those discretionary categories. Even small cuts add up over time. Instead of letting that freed-up money disappear, redirect it into a basic emergency fund. Sethi suggests starting with just $1,000. This might sound small, but it's a critical safety net that can prevent you from going deeper into debt when unexpected expenses arise. Be Aware: Many people feel intimidated by the idea of calling their lenders, but it's a crucial step that can make a real difference. Reaching out to your credit card companies, student loans or other creditors can lead to lower interest rates, temporary hardship plans or debt consolidation options. When you call, be honest about your situation and ask what programs or accommodations they offer. Lenders often prefer working with you rather than risking default. You might be surprised at how willing they are to help if you simply ask. Sethi emphasizes being aggressive and proactive here. Don't wait for your debt to spiral out of control. Take charge by negotiating better terms that make your payments more manageable and reduce the total interest you pay over time. If you don't have any emergency savings, building an emergency fund should be a top priority. With what money? Well, use the cash flow you've recovered by reducing your spending and decreasing your debt interest payments to build a mini emergency fund. This fund isn't a full six-month cushion but rather just enough to cover three months of your essential expenses like groceries, utilities and phone bills. Why is this important? Because having this safety net stops the financial bleeding and gives you breathing room to focus on paying down debt without constantly worrying about unexpected costs. Aim to build this fund within 60 days by using the extra cash flow you've created from cutting expenses and negotiating better terms. It might require discipline and sacrifice, but having this buffer will protect you from falling back into debt during emergencies. Finally, while cutting costs and managing debt are crucial, increasing your income is often the fastest way to accelerate your progress. Sethi encourages you to take a hard look at your earning potential and find the best way to earn more money. For some, this might mean negotiating a raise at your current job, and for others it may be better to explore better-paying jobs. This step won't be easy. It often requires stepping outside your comfort zone, working harder, or learning new skills. But the payoff can be huge. Even an additional $500 per month can transform your financial situation. Over the course of a year, that's $6,000 that can be directed entirely toward savings or debt repayment. More From GOBankingRates Surprising Items People Are Stocking Up On Before Tariff Pains Hit: Is It Smart? Warren Buffett: 10 Things Poor People Waste Money On This article originally appeared on 4 Steps To Take If You're Drowning in Debt, According to Ramit Sethi Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
India Today
2 days ago
- Entertainment
- India Today
Lakme Fashion Week Anniversary special
Glamour, glitz and grandeur marked a historic moment in the Indian fashion industry as on the last Sunday of March, Lakme Fashion Week (LFW) in association with the Fashion Development Council of India (FDCI) celebrated 25 years of fashion weeks in the country. It was at the turn of the century with India having been liberalised less than a decade ago and having a rather nascent fashion industry that the idea of setting up a fashion week on the likes of the New York Fashion Week was birthed to provide a platform for Indian designers and help them with large scale commerce. 'We have come a long way since then,' says Sunil Sethi, Chairman, FDCI. 'It's not about creativity because the Indian designer was equally creative then, what has changed is the scale. It has gone up manifold,' he says, adding, that today we are a well-established industry competing on a global scale. 'The LFW today is a must-view event for many people worldwide – from the Middle East, the US and Europe. It's for global buyers to come and see what we are doing. We celebrate our evolution and journey,' says Sethi.
