Bill Rancic’s Financial Tips for the New Year

Transcript

00:00Hey guys, it's Bill Rancic and this is my financial advice.

00:03I think today the biggest financial mistake people make is that they spend more than they can make.

00:08And that's it. And I always go back to what my father told me.

00:11It's not how much money you make, it's how much money you save.

00:14So you have to be a disciplined saver.

00:16Even if it's $10, $20, $50 a week, whatever it is, get in that habit.

00:21Don't ever not do it and you'll be shocked at what happens in 20 or 30 years from now.

00:26The money you save is really going to be up to you and find a good financial advisor,

00:31someone who can give you guidance on how you should invest it.

00:34But it definitely should be going to work for you.

00:37Never sell anything unless you have to. It depends on what it is.

00:40If it's a depreciating asset, you should sell it.

00:43If it's something like real estate, investment property, something that God isn't making any more of,

00:49you want to keep it and pass it down from generation to generation if you can.

00:53If you're starting your own business today, there's three tips I have for you.

00:57One is embrace a term called practical execution, which essentially means stop talking, start doing.

01:03Actions speak louder than words.

01:05Secondly, you have to be agile. You have to adapt, adjust, react.

01:10And if you're not agile, you become extinct.

01:13And thirdly, it's about risk.

01:15It's about understanding risk, respecting risk, and converting risk into success.

01:21Financial health is definitely just as important as general health

01:25because when you're financially stressed, it causes stress on your body.

01:29And if you look at the number one cause for divorce, it's money.

01:34Money, in many cases, is very troublesome for people, and it causes them a lot of pain and suffering.

01:40So you have to have good financial health in order to have a healthy life, a healthy marriage, a healthy family.

01:46College has changed, and if you look at the value proposition of college, it's not necessarily right for everyone.

01:54If you're going to be an investment banker or a lawyer or a doctor or something very specialized, I think it's great.

02:00If you don't know what you're doing, you can learn basically anything you need to know right now on the Internet.

02:06So I think that capital could, in many cases, be better used.

02:10I'm a big fan of education. My parents were both educators, so I'm not discounting going to college.

02:15But I think in this day and age, you can really reevaluate. Maybe it's not the best fit for you.