3:56

wants

4:00

you to spend all of your money. Our economic

4:02

system is made up of three different parts. We

4:05

have the economy, which is the businesses in

4:07

the economy. We have investors,

4:09

which are people who own a piece of the economy. And

4:12

then you have the consumers, this is people, you, me,

4:15

rich people, poor people, middle-class people, businesses,

4:17

every single person is a consumer. Now

4:20

the problem that most people face is

4:22

most people are only consumers. They

4:25

only spend money and they don't own a piece of the

4:27

economic system.

4:28

So now, if you look at the way this works, our

4:31

economy thrives when people spend money.

4:34

The more you spend, the more money that's

4:36

going into the economy. The more you

4:38

spend at Chipotle, the more money Chipotle makes. It's

4:41

a system where it encourages

4:43

people to spend and corporations will hire

4:45

the best and most smartest marketers

4:47

in the world to encourage people to open

4:49

up their wallets and

4:50

spend money. This is what's happening, but

4:52

none of us are really given a shield of knowing

4:55

when should I open up my wallet and when should I not.

4:57

See, if you don't understand this system, it

5:00

can make you one, broke, but then also

5:02

very angry because they're like, I

5:05

have no money, my banker's taking all my money,

5:07

these greedy corporations are taking my money, my boss

5:10

isn't paying me enough, and you just feel like you're stuck. But

5:12

when you understand, hey look, bankers

5:14

are in the business of lending money. They wanna lend you

5:16

more money. They want you to go into debt because that's how they

5:19

get paid. Corporations want you to spend money. That's

5:21

how they make more money.

5:22

Your job now is to

5:24

be a smart consumer and

5:27

a financially educated investor. That

5:29

way now you can have the nice stuff, but

5:32

also benefit from the way that the system

5:34

works. So now going back to this topic of spending

5:36

money, this is where I would say start off

5:38

with a simple system. I

5:40

like to say 75, 15, 10, which

5:44

means that for every dollar that you earn from

5:46

here on out, 75 cents is the maximum

5:49

that you can spend. 15 cents

5:51

is the minimum that you should be investing.

5:54

10 cents is the minimum you should be saving.

5:56

Now what you do now, you ideally want to create

5:59

three different bank accounts.