Stop Playing Life on Hard Mode — 20 Cheat Codes to Achieve Anything

Summary

In this powerful video, the speaker shares 20 life-changing 'cheat codes' that helped him rise from homelessness in Mumbai to a successful entrepreneur and MIT graduate. From practical financial advice, like the importance of investing early and understanding equity versus salary, to personal growth tips such as practicing persistence and seeking mentorship, the speaker emphasizes the significance of mindset, long-term focus, and learning from failure. He encourages viewers to embrace challenges, prioritize what truly matters, and find happiness by managing desires. His journey offers valuable insights into achieving success and fulfillment in life.

Takeaways

• 😀 Start investing early: Even small, consistent investments in index funds can lead to significant wealth through compound growth.
• 😀 Don't try to time the market: Avoid panic selling during market downturns and focus on long-term investment strategies.
• 😀 Stop following your passion: Passion doesn't always lead to success. Instead, focus on building skills that can lead to financial stability.
• 😀 Practice is key to success: Whether in music, sports, or business, persistence and dedicated practice are essential for achieving excellence.
• 😀 Treat your career like an investment portfolio: Focus on building skills, connections, and experience to increase your value over time.
• 😀 Move where the opportunities are: Be present where the action is, as exposure and networking in-person are essential for career growth.
• 😀 Prioritize equity over salary: Equity in companies offers exponential growth, and can lead to long-term wealth unlike salary, which only provides limited income.
• 😀 Seek out mentors: Find real mentors who are invested in your growth; they can help guide your career and provide invaluable insights.
• 😀 Build an emergency fund: Having a financial safety net can help you manage unexpected events like job loss or medical emergencies.
• 😀 Understand your finances: Use tools like an FBI (Financial Bureau of Investigation) to track, categorize, and manage your spending and savings effectively.

Q & A

What is the key lesson shared in the video about financial success?

The key lesson is to focus on investing in the long-term, particularly in low-cost index funds like the S&P 500, rather than trying to time the market or seeking short-term gains.

Why does the speaker advise against following passion blindly?

The speaker suggests focusing on developing skills and building a career first. Passion will follow as you grow and master what you're doing, rather than chasing passion without a solid foundation.

What does 'career as an investment portfolio' mean?

It means that your career should be viewed as an accumulation of skills, relationships, and opportunities that compound over time, increasing your value and potential for success.

What role does location play in achieving success?

Location is important because being in the right place—where opportunities and networks are abundant—can significantly impact your chances of success. Moving to a more dynamic area can open doors to greater opportunities.

What is the importance of equity over salary?

Equity (ownership) in a company or venture offers unlimited potential for growth and wealth, unlike a fixed salary, which is capped. The speaker encourages focusing on gaining equity rather than just earning a paycheck.

Why is mentorship important for success?

Mentorship provides guidance and insight from experienced individuals who can help navigate challenges, avoid common mistakes, and make smarter decisions on your path to success.

How should you manage your personal finances according to the video?

The video suggests setting aside an emergency fund covering 3-6 months of expenses, categorizing expenses into four buckets (Emergency, Essentials, Equity, and Enjoyment), and automating your finances to stay disciplined and consistent.

What is the significance of 'financial literacy' as discussed in the video?

Financial literacy is crucial for making informed decisions about savings, investments, taxes, and managing credit. Understanding concepts like compound interest and credit scores helps protect you from poor financial choices.

What does 'failure as a teacher' mean in the context of the video?

It emphasizes the idea that failure should not be feared but embraced as a learning experience. Mistakes and setbacks are inevitable, but they provide valuable lessons that can guide future success.

How should individuals approach their personal relationships according to the speaker?

The speaker advises choosing a partner wisely. A supportive partner who challenges and encourages you is key to long-term success and happiness. Relationships are fundamental to personal growth and stability.

What is the formula for happiness shared in the video?

The formula for happiness is expressed as 'Happiness = What You Own / What You Desire.' When your possessions and achievements exceed your desires, you experience a sense of fulfillment and contentment.

What is the speaker's view on material possessions and status symbols?

The speaker encourages abandoning the pursuit of status symbols like designer clothes. True wealth is measured not by what you flaunt, but by what you keep and how you manage your resources.

Why is it important to forgive yourself, according to the speaker?

Forgiving yourself is crucial for personal growth. Holding onto past struggles and trauma can hinder progress. Letting go of past mistakes allows you to move forward with a clearer, lighter mindset.