Healthy Wallet 101

The real flex isn’t the latest upgrade; it’s building wealth.

That $50 a month for the new iPhone? Over time, it could grow into half a million. Crazy, right?

We swipe for small payments without thinking. But zoom out, and you see phones lose value fast; compound interest doesn’t.

You don’t need to cut out every expense. Just pause and ask: Is this worth it?

The real flex is choosing long-term freedom over short-term hype.

As always, supercharge your finances.

–Franck

Instead of buying that toy that will be forgotten in a few months or the latest tablet that’ll be outdated in a few months, why not give something that can grow in value over time? A share of their favorite companies, for example.

The stock of companies like Apple, Tesla, and NVIDIA has grown exponentially. That $500 you spent on an iPad or a toy could grow into thousands as the years go by.

Your children or loved ones deserve better gifts (financial literacy and the potential for financial freedom). Not only is this a unique gift, but it grows with them—just like a tree planted today will bear fruit in the future.

This holiday season, let’s think beyond material possessions. By buying an ETF like VOO, they share the profit of their favorite companies (Apple, Microsoft, Amazon, Tesla, Meta, Alphabet, and hundreds more).

Don’t be stubborn; buy stocks and set up your kids for success. DM “GIFTS” if you don’t know how to start.

As always, supercharge your finances.

–Franck

Here is the story behind this post. A cousin once asked me to get her a new iPhone. And the convo went like this:

Me: How much is that iPhone?
Cousin: Only $1,000?
Me: Really!
Cousin: Why really, bro?
Me: So you mean you want the $45K iPhone?
Cousin: Huh!

Well, you know how the rest of the convo went; I went into full financial education mode. The good news is that my cousin is now actively investing because $1,000 could grow to $45,259.

Time and compound interest are invaluable resources when preparing for retirement and building wealth.

Remember: 1.) Short-term sacrifices for long-term gains and 2.) invest consistently to reap the fruits of compound interest. So do a little every month and let it grow over time; your few dollars will turn into a gazillion dollars💰.

As always, reminding you to supercharge your finances with minimum resistance and maximum speed.

-Franck

Let me tell you something: fees are monsters with the mission to erode your final investment value.

At first glance, 2% fees may seem insignificant. But over time, they can add up to a large sum. Therefore, it’s paramount to understand the costs you pay to invest effectively.

As shown in this illustration, 2% in fees wipes over HALF of your portfolio🤯. Remember that the goal is to fund your future, not expenses.

➡️ Here are easy-to-follow steps to keep most of your returns: 1.) buy and hold index funds and 2.) learn how money and investing work. Don’t know where to begin? I’m happy to help; DM the keyword “GO.”

As always, reminding you to supercharge your finances with minimum resistance and maximum speed.

-Franck

Want to leave the furniture store with that lovely couch? Well, there is an option (Buy now, pay later) most stores will offer when you buy a big-ticket item. But be cautious! Here is what you need to know.

Buy now, pay later, or BNPL is an installment loan. It divides your purchase into multiple equal payments. On the surface, it seems attractive because they qualify you for the loan quickly ⏰ and make buying that item you've always wanted affordable.

The good thing about BNPL is that you typically pay no interest on the loan. But, on the other hand, BNPL has a lot of disadvantages. For example, it disguises the big-ticket item's price, makes it easy to overspend, and promotes sn*******ng debt 💸 . Moreover, missing or late payments result in late fees—damaging your credit score.

It doesn't imply you should never utilize the buy now, pay later option. However, act responsibly and ensure that your actions don't cause you to overspend. As a rule, if you can't easily pay cash 💵, you should NOT get a loan to buy the item.

As always, reminding you to supercharge your finances with minimum resistance and maximum speed.

-Franck

Some people need to correct this. They believe they should save what is left after all their expenses are paid. But, no, it is the opposite!

You should spend what is left over after you’ve taken care of your financial goals. Setting aside a minimum of 20% of your income towards your financial goals would be best. It is imperative. Let me explain why.

Surviving isn’t enough. You probably won’t be able to scrape a living from juggling part-time jobs forever—nor will you want to. So it would be best if you thrived so you could afford to buy a house, send your kids to college, and enjoy a comfortable retirement.

Although these concerns may seem far away, especially if you are in your twenties or thirties, it is wise to start saving and investing right now. As Tennessee Williams once said: “You can be young without money, but you can’t be old without it.”

So, again, invest early and often to take advantage of compound interest. The earlier you start, the more compounding periods you have.

Let me know in the comments below how much of your income (in %) you invest or plan on investing. And if you don’t know how to invest, DM the word “INVEST” for free resources.

As always, reminding you to supercharge your finances with minimum resistance and maximum speed.

-Franck

When it comes to luxury goods, it is important to remember that these items often come with a hefty price tag. Not only can these items be expensive, but they can also be a huge drain on your finances if you are not careful.

In general, luxury goods often require regular maintenance and can have short life cycles, meaning that you could end up spending more money over time due to their depreciation.

Additionally, luxury goods are often seen as status symbols, which can lead to unnecessary spending and an unhealthy focus on material possessions. For these reasons, it is usually best to avoid buying luxury goods.

A better alternative is to invest your money to get more money. For example, $3250 (the price of the tote bag) invested over 40 years in an account that returns 10% annually will grow to $147,093.

You work too hard to be broke. 😓Always remember how many hour of HARD work it took to get that money before spending it.

As always, reminding you to supercharge your finances with minimum resistance and maximum speed.

-Franck

Saving money is one of the most important financial habits to develop. It’s essential to plan for the future, and having money saved can help you in various ways. Here are a few examples.

Saving money provides financial security. It can help you to stay prepared in case of unexpected emergencies. Whether it’s an unexpected medical bill or car repair, having money saved can take the stress off of an already difficult situation.

Your savings can also help you achieve your long-term financial goals. Whether you’re looking to purchase a home, start a business, go on a dream vacation, or invest in having a comfortable retirement, having money saved can help you to make those dreams a reality.

In short, the larger the gap between your income and expenses, the more money you can put toward building wealth and securing your financial future.

To be successful at making sure you have enough money for your financial goals, you need to create and stick to a budget. If you don’t know how to start, DM the word “GO.”

As always, reminding you to supercharge your finances with minimum resistance and maximum speed.

-Franck

I am not against credit cards, but I am against the lack of discipline that results from using credit cards because of perks.

Credit card companies are there to make money like any business. And they achieve their objective by letting you dig yourself into debt. Remember: debt doesn’t allow today’s money to fund your future because it is stuck paying for yesterday’s mistakes.

Don’t sacrifice your financial freedom for credit card points. If you use credit cards, always pay the full balance every month to avoid paying interest. And if you have credit card debt, DM the word “DEBT” to receive a free resource on tackling debt quickly.

As always, reminding you to supercharge your finances with minimum resistance and maximum speed.

-Franck

Inflation can have a significant impact on your purchasing ability or power. As inflation rises, the value of your money decreases. This means that the same amount of money will buy you less than it did before.

For example, if inflation is rising at a rate of 3%, then prices will increase by 3% each year. This means that, if you have $100, you can buy less with it each year. The purchasing power of your money is reduced, and it takes more money to buy the same goods and services.

Another thing to keep in mind is that inflation affects your savings. As inflation rises, the value of your savings decreases. This is because the money you are saving is worth less and less each month. As a result, your savings are not growing as quickly as you would like.

Furthermore, inflation affects interest rates on loans. Current mortgage rates are an evidence to the impact of inflation: the rates increased as inflation rose.

But there are ways to beat inflation. The most important step is to create a budget and stick to it. Make sure to curb your wants (non-essential items) and include savings in your budget.

Finally, invest in assets (e.g., S&P500 index funds) that have a history of increasing in value. Now, it is time to get to work; start budgeting, saving, and investing to beat inflation

As always, reminding you to supercharge your finances with minimum resistance and maximum speed.

-Franck

Who doesn’t want a nice cold drink on a sunny day or a hot chocolate in the Winter? Well, most of us do. But some of us decide to pass on because we understand the true cost of miscellaneous expenses.

Spending $10 x 20 is $200 in a month. If invested over 40 years in an index fund that returns 10%, you will get $1,110,070 despite having contributed only $96,000.

Note that time and compound interest are the secret ingredients in building wealth💰—start investing early and often, or you may have to invest a lot more to compensate for the value of lost time.

It is time to wake up and realize that your choices and the habits you entertain could lead to disaster. To build wealth, you need to take control of your finances.

You can start with smaller contributions in your investment vehicle and increase your contributions over time. Then, if you can wait, your portfolio will snowball into millions of dollars.⁠

What are you going to do with your next $10❓Let me know in the comments below.

As always, reminding you to supercharge your finances with minimum resistance and maximum speed.

-Franck