summary of i will teach you to be rich
It’s not about going without things to get rich; it’s about spending money on things you love and automating the rest.
1. Make the most of your credit cards
Use cards wisely (for travel rewards, cash back, etc.)
Pro Tip: Don’t ever pay fees or carry balances.
2. Beat the Banks: Ask to lower your fees.
Change to high-yield savings accounts (about 4% APY)
3. Make sure your 401(k) or IRA is correct
Put your money into low-cost index funds, like the Vanguard S&P 500.
Rule: Put away 15% of your income (your employer’s match counts!)
4. A plan for spending on purpose
Budget without feeling bad about your priorities (like eating out or traveling)
Cut out everything that doesn’t matter, like subscriptions you don’t use.
5. Make everything automatic
Set up automatic payments for:
Payments
Putting money into things,
Savings
6. Make More Money: Talk about your pay (script: “I’ve done [X results]—let’s talk about pay”).
Start side jobs that make money
Key Changes in Your Mindset: “Spend a lot of money on the things you love and cut costs on the things you don’t.”
“Money is a living thing—it grows when you invest it wisely.”
Debatable but useful
Don’t worry about little daily costs (the latte factor is a lie)
Don’t try to pick stocks yourself; automate your investing instead.
Great for:
Young professionals who are stressed out about money
Anyone who is sick of tight budgets
For people who want a practical way to get rich
Ramit’s Challenge: “What is your ‘rich life,’ and what is one thing that keeps you from getting it?”