@kriskrohn Max out your 401K? I have a better solution! #401k #investor #realestate #realestateinvesting #realestateinvestor #foryou #millionaires #kriskrohn ♬ original sound – Kris Krohn
For those who are interested in the actual truth when it comes to KiwiSaver (or 401k’s in the U.S). You contribute around 3% of your salary, your employer matches your contribution, so if you don’t participate in KiwiSaver, you instantly lose a 50% return on your money. The government also contributes an extra $500 every year as along as you’re contributing too.
Let’s also call out that the stock market over the past century as not returned 3%, but more like 7-8%. In fact in New Zealand, the share market has done about 14%pa for the last decade.
@realkingkhang Make the monthly payment but don’t worry about paying it off #studentloan ♬ original sound – King Khang | RE Millionaire
Don’t pay off your student loan and take the 40 – 50k that you have – Where did the 40 – 50k come from? Just because you have a student loan doesn’t mean you have that cash available in your bank account.
In New Zealand, it’s near impossible to find a ‘fixer upper’ for a 30% discount, the assumption that finding a 30% discounted home is so easy is misleading. The other big point here is that there is no mention of where the money for the renovation is coming from.
One fact and good piece of advice in here though, is that you do not need to pay off your student loan faster than what happens automatically out of your salary because, at least in New Zealand is interest free, as long as you’re not overseas for a prolonged period of time.
@candyvalentino Reply to @immichelleyourhouse 4 reasons why not to use a debit card. 🚨#money #moneytok #businesstips #businesstok #investing #businesstok #moneytips ♬ How You Like That – BLACKPINK
This is such dangerous advice. The reason for this is it’s just a general statement that if you are super savvy and if you’re really good with money, you’re better off using somebody else is money. Problem is, not everybody pays off their credit card each month and they end up spending more than they’re expecting to.
Giving good financial advice is about advice that works for you, it should be highly personalised and matches with your behaviours and risk tolerances around money.
We get asked often about credit scores in New Zealand and if they’re something to worry about. In NZ, you can have a neutral or negative credit score. The idea of ‘building’ your credit by taking out more debt to increase your score is a myth. As long as you pay your bills on time, you don’t have to worry about your score.
— TTI (@TikTokInvestors) January 17, 2021
The majority of people don’t make money trading. People fail at this all the time, they lose everything and it’s dangerous. Only about 4% of day traders make money from their trades.
One of the fundamental ways that you can see through this sort of advice is one, if he was that good at it, why is he telling everyone, and two, if he’s really that good at it, why isn’t he at Goldman Sachs doing this. You wouldn’t need to run a YouTube or TikTok channel selling referral codes or courses.
One thing that most people probably don’t realise in New Zealand is if you are a trader and your trading stocks to try and make money, you have to pay capital gains tax.
Furthermore, the IRD doesn’t go to you to provide all of your transactions, they go straight to the platforms like Robinhood and request all the trade information and give you a letter in the mail with a tax bill.
What could go wrong? pic.twitter.com/aEkiJnEbVy
— TTI (@TikTokInvestors) February 16, 2022
If it seems too good to be true, it generally is. A 20% return on your money for what is effectively a bank deposit just does not exist sustainably. Case and point – The anchor protocol owners are being investigated for insider trading to make it’s value seem more inflated than it is.
When you’re watching these kinds of videos, what people are praying on is fear of missing out – Looking like you’re the person that was too risk adverse and didn’t take the plunge, but note, there is always someone holding the bag, you don’t want that to be you.