Skimm Money: A Rich Life, Joint Bank Accounts, and Denim Heels

Constantly agonizing over the cost of your morning Starbucks? We spoke to Ramit Sethi, author of “I Will Teach You To Be Rich” and host of the Netflix series “How to Get Rich”, about how to live a rich life and what it means to ask the $30,000 questions instead of the $3 ones. 

What does it mean to live a rich life?

A rich life can mean traveling for two months a year, picking up your kids from school every afternoon, or getting a beautiful cashmere coat. Your rich life is yours and nobody else's. Ask yourself: What do I love spending money on? What gives me a lot of joy? Once people start thinking about money from a sense of abundance (and not scarcity), they realize that they can spend more on the things they love — as long as they cut costs mercilessly on the things they don't.

You say people should focus on $30,000 questions instead of $3 ones. What’s a $30,000 question?

The most common $3 question that everyone agonizes over is coffee. Coffee is not going to change your life. Buy the coffee if you want it. We consistently ignore $30,000 questions like: What is my savings and investment rate? For example, if you invest 5% and make a rule that you’re going to increase that rate by 1% per year, that is worth hundreds of thousands of dollars to you. More than all the coffee you will buy in your entire life. 

What are three common money mistakes you see people make?

1. Ignoring it. Managing your money is like flossing. If you don't floss today, your life isn't going to end. If you don’t floss next week, you'll still be okay. But if you go 10 or 25 years without doing it, you’ll see the effects.

2. Not having a vision. When most of us deal with money, it's just one depressing, agonizing transaction after another. Should I get this coffee? Go to Sweetgreen? Buy this shirt? When I ask people: What is your rich life? I want to hear something so vivid and specific that it could only be made for you.

3. Not talking about money. Especially if you’re in a relationship. Money is often only talked about when there's a problem. We've got to go from defense to offense, and that means talking about it regularly.

Answers are edited and condensed for clarity.

Companies want us to buy their products…

But not to truly own them, it seems.

On TikTok, everyone’s an influencer….

Even if they're not making much $$ from it.

These days, where you buy a home…

Might not matter as much as when you buy a home.

What are inflation-burdened Americans planning for their summer vacays?

Shorter, cheaper trips — unless you’re rich, of course.

If you’re looking to invest in a pair of statement shoes, Sheryl Luke, the fashion and lifestyle blogger behind Walk in Wonderland, told us about a versatile pair that’s giving us flashbacks to Britney’s iconic circa-Y2K all-denim outfit (you know the one).

Tell us about a recent purchase that felt like an investment.

A pair of denim Valentino Garavani slingback heels. Denim is kind of a thing for me, so they fit my aesthetic really well. Finding iconic pieces that stand out but are also so versatile is definitely a challenge. But as a content creator that specializes in fashion, these shoes are going to pair so well with a ton of looks!

How much did you spend on them?

$689 on sale (they’re usually around $970).

Why do you consider them a worthy investment?

It's quite hard for me to find chic, statement shoes in my size (five), so when I find a pair like these on sale, I jump on them. I think they will not only enhance so many looks but will age really well, too. Denim is always in!