Millionaire Reacts: Living On $80K A Year In Los Angeles | Millennial Money

welcome back to the Graham Stefan show my name is Graham and welcome to my show and today we have a doozy we have an absolute classic we had the pinnacle of YouTube viewing experiences I don't know what to call it but you guys have no idea literally how excited I get when I get a notification on my phone from CABC make it that says they posted another video of wait for it millennial money and lately I have to say millennial money has not been posting like really bad content or anything like that so it doesn't really give me much to get angry at and really react to because I think CNBC turned it around they want to focus on Millennials who have just like these insanely good spending habits that save a lot of money that make everyone look really good and then everyone else shoving it down there they don't want to showcase people making 300,000 and living paycheck to paycheck even though CNBC that's what I want to see I want you to start showcasing people who are making millions of dollars a year but who complain they're constantly broke they're like I have no idea how to pay for private school I have no idea how to pay my mortgages on the 7 vacation homes I can't even afford jet skis this year because I bought too many jet skis last year that's what I want to see but anyway let's watch this video today and we'll see how good it is and at the very least I'm going to be reviewing it from everything that she's doing right so anyway the video titled today is living on dollar-sign 8 0k a year in Los Angeles millennial money and the cool thing about this is that I too live in Los Angeles so chances are if I'm going to confront this person it's gonna be rather easy so anyway with that said let's watch this video and see just how good it is I don't see a lot of women on YouTube talking about investing a lot of them are focusing on budgeting and saving which is amazing but I think we need more women talking about the power of investing oh wow we got another doozy we got another youtuber here at CNBC make it and I do agree with her there's not a lot of women making personal finance videos on YouTube and frankly I would say even my demographic tends to skew like 85 to 90 percent male between the ages of like 18 to 30 I would say is pretty much my demo graphing it doesn't seem like that many women are interested in personal finance or they don't know that there's personal finance content here on YouTube so I definitely think there's a lot of potential out there it's still such a large outreach that we have yet to hit my name is Wendy Gonzalez I am 24 years old I live in LA and I make $80,000 a year I currently work for a Bay Area auto tech company and I am a logistics supervisor okay you know what I get about 10 bucks she has her own merch line and that would be a subtle plug for her March let's just see I live in Pasadena California so it's definitely not in like the LA area you have to drive out here oh and she's driving a BMW you don't need a BMW unless you live in Glendale people have a Los Angeles will get that joke since I live with my boyfriend we do split the rent both my boyfriend I work for the same company so every two weeks we have $500 deducted from our pay that we don't see and it goes into our joint checking account which we use for our expenses at home that's pretty fair and I got to say they're paying a reasonable amount of rent especially considering they're splitting that between both of them so so far I don't see any issues Oh besides the BMW not another huge fan there should have gotten a Tesla we love to buy our food at Trader Joe's we love the freshness and the different types of options they have and once in a while our parents actually bring us food on the weekend so that kind of helps us stick with our food budget okay so we always got my favorite part of all of the millennial money episodes the expenses so let's start at rent eight hundred and ninety eight dollars a month 1-bedroom sleuth pardon again I think that's pretty good considering how much money she's making so I don't see any problem with that did we go what we got transportation holy crap car payment of gas 800 wait oh my $800 a month why why would you do that it's like you're doing everything so right and then you got to go and spend eight hundred and ten dollars a month per BM doh your car is almost as much money as your rent just let that sink in for a little let's just have a moment of silence for that did you hear that that is the sound of my heart breaking you don't need to spend eight hundred and ten dollars a month honestly you could even just get a used Prius for like seven grand drive that thing for five years and it's still gonna be worth like seven grand when you sell it anyway this seems like an enormous waste of money then we got the sure it's three hundred and sixty-seven dollars a month for car health life and pet that seems actually like a decent price for all of those combined I mean health insurance alone could be like two hundred and twenty dollars a month so this actually seems pretty good then we got a hundred and fifty dollars a month on food groceries in media that's actually really good how she's able to do that we got to figure out how she's able to do that to spend a hundred and fifty dollars a month and include eating out in that is pretty commendable so I hope she goes into more detail about that and then we got utilities and wide by sixty two dollars her portion split with partner okay again that's fair then we got Miska lanius ninety three dollars that would be Netflix pet supplies and beauty okay that's fine bone forty-two dollars a month that's fine credit card fee forty six dollars a month American Express Platinum Card okay you know that's fair and then savings a thousand dollars a month so I agree so far everything seems reasonable except for the transportation I don't like that one bit we just do maybe like take out like we'll go somewhere and grab food and come back so we're roughly like monthly expense on eating out it's maybe like fifty dollars each maximum that's on like a very expensive month well that's because they got a chick-fil-a which I'm not knocking chick-fil-a by the way I'm a huge fan I love chick-fil-a it's just it's it's not surprising if you spend that little per month eating out and then you eat out it chick-fil-a so I normally don't eat out but when I do I like to go to places like chick-fil-a and one it's kind of cheap and also I love the waffle fries so yeah all flights are pretty delicious though especially when you mix it with that like chick-fil-a yellowish mustardy sauce it's so good you can eat just one [Music] so every year I would apply to different opportunities to do research for UCLA I did work-study so I worked as a library and I think I earn like $12.50 and that just helped for like meals and expenses that I have to cover on my own see that's the way to do it if you're gonna be going to college you may as well just go and get as many grants and scholarships as you possibly can and that way if it's free there's really no downside to go and get your degree get that out of the way and then you could start making money afterwards without any debt recently I was actually diagnosed with thyroid cancer it's called papillary thyroid cancer back in August I went in for my physical and I had an ultrasound on my thyroid since I've been suffering from an autoimmune disease called hypothyroidism the ultrasound did come back positive for a suspicious tumor which after a biopsy it was confirmed to be cancer that's gotta be so wrong and that just goes to show you just how delicate life can be no one has any idea what's gonna be happening in the future and we're all gonna be really thankful at this moment for just being able to be alive and for health and just for the people around us so it definitely makes you appreciate life I think a lot more and for her to be able to go through that I would say is very brave you could tell she's a hustler she's definitely putting in the time she's doing everything she can to make some extra money so far just besides the car everything she's doing is a perfect example of just like what to look up dude this is what everyone should be doing I actually wake up pretty early around 3:30 to 3:45 to start my class at 4:00 a.m. and my classes and typically at 6 a.m. and then from there I get ready for my full-time job she's not nervous she's got problems she's got problems to wake up at 3:30 in the morning I sometimes go to bed at 3:30 in the morning so basically the time that like my head is hitting the pillow sometimes she's just waking up that's not right I don't know something is wrong this is like when Skynet is about to take guy I don't know it's hard to stay focused during the day but I think that as some who has a goal to invest money and save money I'm definitely sacrificing my sleep right now so I can build my investment in savings account that is the way to do it I really believe it your 20s are a time for you to like put your head down work non-stop just make the most of it and I really believe what you do between the ages of eighteen and thirty can set yourself up for the rest of your life now I know I'm totally biased by saying that but I believe it it seems like a lot of people around the age of like 35 to 40 they just want to ease back a little bit take things easier I don't blame them so that's why I believe well you have the energy well you have the ambition and the motivate that's the time where you can really just go headfirst into whatever you want to do make the most of it and she's doing that every week you want to get notified every time make sure you hit the bail notification okay first of all she's got a black background I love that and what is that car in the background almost looks like a weird Tesla Model 3 I don't know I like the black background I mean obviously I'm a fan of that but - make sure to subscribe if you haven't done that already as she says make sure to do that and hit the notification bell so YouTube notifies you anytime I post a video and also get two free stocks down below in the description weeble is going to give you two free stocks and 100 others in the platform one of those is valued up to 1400 ollars just one off on a weird tangent there but make sure to get those two free stocks don't miss out on this so the goal with my youtube channel is to eventually be able to have enough income from that to essentially live off youtube income and also pursue my MBA I would love to make YouTube videos and be a business student at the same time so that is the long-term goal all right well good luck you know what I'm going to be subscribing so I'll keep an eye on this so you better keep up with it YouTube is definitely such a fun career it's its life consuming when you get into it but there's really nothing else like it where you want to go and like be yourself and just have fun with it and be fully creative like for me this is my outlet where I get to be myself and just talk to a camera alone in my garage and just have so much fun doing that and then spending like hours editing afterwards and then people sometimes dislike my video but besides that it's a lot of fun ah that's not a graduation gift though a graduation gift should be something like you buy yourself an index fund you buy yourself an index fund and that's your graduation a BMW so you're doing so well and then you get a BMW why and I love my car but I hate the monthly payment I'm currently paying seven hundred and twenty dollars which is almost as much as I pay for rent oh geez I would dump the car I mean here's the thing you're gonna drive that car for a few years and within like two years it's gonna already lose like thirty five percent of its value I mean I just don't get it for something like that it may have been better let's us say to lease a Bheema oh you know what if anyone is interested ooo it just go to swamp police swamp police comm is one of those least take over so you could take over someone else's payment no money down you inherit basically whatever they're paying and that way you could drive a BMW to hopefully use that as a tax write-off and then you hand the car back and it's someone else's problem to deal with all the depreciation but at least that way you get it out of your system you're not owning a car like this Wow the goal is to pay it off in a year to a year and a half so that I can have the freedom to start looking for a home that sucks though that a BMW holds you back from the freedom to go and find a house I mean sell the car but again you know I've said too much about let's move on I regret buying the BMW because it is a nice car it drives amazing it looks great but I don't really meet that type of car in my life I think it was an Eagle thing because I did graduate that free I felt like I deserved a nice car and I didn't have my parents pay for it no I mean I get the sense of accomplishment for graduating debt-free means that alone is worth way more than what most people are able to do but that doesn't mean that like you graduate that freeing you're like oh wait how can I get you know $35,000 in debt let me go buy a BMW because in thenar at the same spot as someone who graduated college with with debt except now you have debt on a BMW which I well I guess it's better than graduating with student loans all things considered you singsong fetus off field-based guess we just got a mid-roll ad from CNBC and I gotta say I'm really happy for them that they finally are making videos over ten minutes long for millennial money they tend to do so much better but mid reliance in the middle of the video I've noticed really helped the algorithm so for anyone who's curious why I put so many mid-roll ads it does help the algorithm it's all for the algorithm do it for the algorithm the goal with that account is to save up for a home but at any point if something does happen I know that I can tap into that money and use it as a rainy day like expense that's very smart but also consider you got thirty three thousand dollars in a BMW loan sell the car sell the car and then use all that money to buy a house trust me you will not regret it just just trust me please just listen to me once I love the idea of knowing that the money I'm investing in my retirement account will grow tax-free which means when I hit age 65 and I decide to withdraw that money I will not have to owe a penny to the IRS okay overall I agree with that I'm more of a fan of the Roth IRA than I in the 401k especially if you think you're gonna be making more money in the future and I think with her income right now it probably makes sense through the Roth IRA over the 401 K so that I agree with I think I have beginner's luck but I honestly don't know if it was like my timing but I started investing back in like late December early January that's when I like initially started opening up different positions and my account is almost at twenty thousand dollars and my initial investment was a total of fourteen thousand dollars all that is I would have to say it's just good timing and a bit of luck you happen to invest at a time where the market was fairly low and then from there pretty much everything went up so that just really happens to be a sense of just good timing and being in the right place at the right time but that also doesn't negate the fact that she did invest she put her money into the market she took the risk and it paid off and that should absolutely be rewarded so my goal is to definitely travel more and but to do it for free there we go that's another great way to do it the American Express Platinum Card that's what I use gets you into some of the airport lounges it's great for travel gives you so many credits so for that absolutely love it she should also be looking into the Chase Sapphire Reserve I think she could probably get some good use out of it so many great travel credit cards out there that she could trouble anywhere she wants for free I consider myself to be pretty good with money I've been working since I was 15 years old I think it's funny they keep using the same shot of her pulling out of the driveway I think that's like the second or third time they've used that shot although I make $80,000 a year and I live comfortably in LA the goal is to actually make roughly ninety five thousand dollars a year I think with that I'll be able to maximize my savings for my future home and not find myself struggling at the end of the month to have extra cash after paying all my expenses and investing and contributing to my Roth IRA she's doing oh don't talk about that on YouTube I gotta say don't talk about any of those growth stocks on YouTube they don't like it so I would not get involved so that's my recommendation if you're obviously watching this right now I think it's pretty much guaranteed so just my advice don't talk about those types of growth stocks so the goal is for about $95,000 a year okay there we go we just finished another episode of millennial money and I gotta say she's doing a great job there's really not much I could critique besides the BMW if it were me you get rid of the BMW you just buy yourself a reliable used car for under $12,000 you drive that until it doesn't work anymore and you save all of the extra money and put it towards buying a house I mean even right now like you have to think to yourself would you buy the BMW have right now if you had the money the answer is no you wouldn't have done it you admitted yourself that that was a mistake it was an ego thing so you may as well now just cut your losses on the car give it away go and do something you could give it to me I don't care what you do it they just don't get the car anymore and then get something else more reliable and continue saving you know besides that I think making ninety five thousand dollars a year I think you're underselling yourself I would probably try to aim for more like 120 135 thousand dollars per year I think that's absolutely doable especially in Los Angeles I think that's a goal that you could very reasonably hint and really from that I mean as long as she just continues on this path she's gonna be doing really well and CNBC I mean this is a good example if someone is doing phenomenally well and Millennials look pretty good just beside to the BMW so anyway that said you guys thank you so much for watching I really appreciate it as always if you have not already subscribed make sure to subscribe hit the notification ball like button add me on Instagram I post it pretty much daily so if you want to be a part of it there feel free to add me there and also like it mentioned earlier do you guys want to free stocks use the link down below in the description wiebel is going to be giving you 2 free stocks we need deposit $100 on the platform and one of the stocks is going to be valued up to $1400 and weevil by the way for anyone who is not aware is basically like a Robin Hood for free stock trading $0 stock trades except we Bulls a little bit more advanced they have more features and it's a great stock trading platform it gets two free stocks so again if you're interested use the link down below in the description thank you so much for watching and until next time so normally don't eat out but when I do I like to go to places like chick-fil-a and one it's kind of cheap and also I love the waffle fries so yeah [Music] graduating debt-free felt amazing I did not have anything to worry about I was able to just you know dumpster my career recently I was actually diagnosed with thyroid cancer it's called papillary thyroid cancer back in August I went in for my physical and I had an ultrasound on my thyroid since I've been suffering from the autoimmune disease called hypothyroidism the ultrasound did come back positive for a suspicious tumor which after a biopsy it was confirmed to be cancer [Music]

Channel: The Graham Stephan Show

Views: 545,993

Rating: 4.9029751 out of 5

Keywords: millionaire reacts, how to save money, how to save money fast, how to save money on low income, how to budget, how to build wealth, how to build wealth fast, how to build wealth in your 20s, how to invest, how to invest in stocks, how to invest in real estate, how to invest in your 20s, real estate investing, real estate investing for beginners, how to become a millionaire, credit card, credit score, credit score explained, robinhood, robinhood app

Id: 4tdECsCJgCI

Length: 18min 51sec (1131 seconds)

Published: Sat Jan 18 2020