Below: - Couple 1 earns $65,000/year - Couple 2 earns $633,000/year What do you notice? One takeaway: As your income goes up, your Fixed Costs should go down as a % Couple 2 makes 10x as much, but their rent is only 7x higher. Even paying $7,400/month in rent, their Fixed Costs are 38% of their take-home pay. Couple 1's are 82% That's because many of the basic costs of life stay roughly the same -- toothpaste, bread, etc -- so as your income increases, your Fixed Cost % should go down Note: I'm NOT encouraging high earners to save all their money. As you make more, I encourage you to build the skill of spending money meaningfully. If you decide you want a nicer house, or a new car, or to spend $3,000/month on a personal trainer, GREAT! Your Fixed Costs will go up in dollars, but they should still go down as a % When I see high earners ($500K+) who are effectively managing their money, their Fixed Costs are often below 50%. Couple 2's Fixed Costs are 38%, one of the lowest numbers I've ever seen If you want to get this template and see how your numbers stack up, see below

Guess the income at which people stop tracking most expenses

I just spoke to a couple on my podcast. What would you tell them? - Assets: $11 million - Income: $1 million+/year - Savings: $50,000 - Private school for five kids: $150,000/year - Clothes: $2,000/month - Cars: $3,000/month - Groceries: $4,000/month - Vacations: $40,000/year - They spend more than they make each month When I ask what they'd like to change, she says she'd rather take no vacations for 10 years than sell their $2 million summer home The actual conversation is below

The Passive Income Nobody Talks About A great job can do more than pay your bills. It can help you build serious wealth. I recorded a video walking you through my entire process for how to find one at iwt.com/dreamjobvideo

The way this works is the husband usually ends up paying rent/mortgage/insurance/car The wife usually pays household expenses + kid expenses This makes no sense and is an extremely bad strategy because as kids/house costs increase, the couples never change the settings, often leading to the wife spending a disproportionate percentage of her money on household expenses The husband gets increasingly resentful ("Why can't you just stop spending on useless stuff?") because they never had substantive conversations about money and instead slid into generic gender roles I see it all the time on my pod, Money For Couples

Getting inspo for a future library I want to build one day at @lucasmuseum Great museum

I’m really into the textiles on these desert creatures. I keep a file of the clothing that nomadic tribes have worn throughout history. A lot of it is counterintuitive to our understanding of heat regulation in the west — they wear lots of long, loose-fitting clothing (not short sleeve), often dark colors, natural fibers I bet they had historians advising on the desert clothing. I’d be fascinated to talk to them

You fall asleep just fine. Then 3am hits. Suddenly you’re wide awake thinking about tomorrow’s meeting, something you forgot to do, or a conversation you had three days ago. What are you actually supposed to do? On September 30, sleep scientist Dr. Aric Prather is joining us live to explain what he tells patients who find themselves lying awake at night—and why staying in bed trying harder to sleep can actually work against you. You’ll leave with a simple plan for what to do differently that night. Register for free at the link below.