This book is great for young professionals that want power over their finances. Ramit is a smart bachelor whose mission is to maximize his utility and manage his limited willpower. I’ve put his systems into action and I’ve saved thousands. We also agree on how to eat chicken wings.
I read this in college after hearing Ramit on the Art of Charm (back when it was pickup podcast, RIP). After 2 years in the oilfield, I know this book laid a solid foundation. Last month I put his negotiation tactics to work while shopping for car insurance and got a 30% reduction by switching to Allstate. His tactics paid for the book 20 times over. Besides that he makes financial literacy interesting and has a biting dry wit.
Ramit sets 6 weeks to put in his systems. By the end all of your finances will be automated. Your credit card, online savings and investment accounts will be connected. They will all be low-fee, high-interest, and minimal maintenance. The last section is about saving for weddings, negotiating for cars, and creating a rich life for yourself.
These are the habits I gained and recommend doing:
- Mint: Probably the best thing I have learned from reading this back in college was getting a Mint account. I have had it for 4 years now and have an awesome data set. I spent the other day running through what I’ve spent over the past 4 years on alcohol, bars, groceries, amazon shopping, and even income.
- Get rid of all subscriptions: Magazines, cable, Netflix, and linkedin. They are soul sucking. If you want them, buy a la carte.
- Craigslist: I find its great to buy/sell used items. I have sold bikes, shoes, furniture and TV’s.
- Investing: Automation, putting money away for an index fund. It’s like tinder dating for your money. Keep working hard and learning at your job so you deserve the raises that will come your way, and you can invest those. Nothing feels quite like making money while you sleep.
Ramit has a large collection of articles and courses. I almost pulled the trigger on Dream Job but I decided to implement his free stuff first before I moved on to the premium services. This is an entertaining book and I plan on giving it to my nephews and cousins when they are in college.
For 2 great interviews of Ramit:
For another good book review of IWTTBR. Look to Mr Money Mustache’s Book Review. He calls the title into question, “At best, it should be called I Will Teach You to Stay Out Of Trouble”. MMM is more of a stoic frugalist. Ramit is more of a measured hedonist.
Ramit’s main message is to set up the financial system so you CAN live a rich life. Whatever that means to you.