I Will Teach You to Be Rich: No Guilt, No Excuses - Just a 6-Week Programme That Works

290 Pages·2010·2.81 MB·English

by  Sethi Ramit

Additional Praise for Ramit Sethi and I Will
Teach You to Be Rich

“Ramit Sethi is a rising star in the world of personal finance writing. . . one
singularly attuned to the sensibilities of his generation. . . . His style is part frat
boy and part Silicon Valley geek, with a little bit of San Francisco hipster thrown
in.”
—SAN FRANCISCO CHRONICLE

“The easiest way to get rich is to inherit. This is the second best way—
knowledge and some discipline. If you’re bold enough to do the right thing,
Ramit will show you how. Highly recommended.”
—SETH GODIN, AUTHOR OF TRIBES

“You’ve probably never bought a book on personal finance, but this one could be
the best $13.95 you ever spent. It’ll pay for itself by the end of Chapter 1 (check
out the box on page 24 to see what I mean).”
—PENELOPE TRUNK, AUTHOR OF BRAZEN CAREERIST:
THE NEW RULES FOR SUCCESS

“Most students never learn the basics of money management and get caught up
in the white noise and hype generated by the personal-finance media. Ramit’s
like the guy you wish you knew in college who would sit down with you over a
beer and fill you in on what you really need to know about money—no sales
pitch, just good advice.”
—CHRISTOPHER STEVENSON, CREDIT UNION EXECUTIVES SOCIETY

“Smart, bold, and practical. I Will Teach You to Be Rich is packed with tips that
actually work. This is a great guide to money management for twentysomethings
—and everybody else.”
—J.D. ROTH, EDITOR, GETRICHSLOWLY.ORG
“Ramit demystifies complex concepts with wit and an expert understanding of
finances. Not only is this book informative, it’s fun and includes fresh tips that
will help anyone master their finances.”
—GEORGE HOFHEIMER, CHIEF RESEARCH OFFICER,
FILENE RESEARCH INSTITUTE
I WILL TEACH YOU TO BE RICH

RAMIT SETHI
BY
For my parents, Prab and Neelam Sethi, who taught me that being rich is
about more than money
Copyright © 2009 by Ramit Sethi
Design copyright © 2009 by Workman Publishing
All rights reserved. No portion of this book may be reproduced—
mechanically, electronically, or by any other means, including
photocopying—without written permission of the publisher. Published
simultaneously in Canada by Thomas Allen & Son Limited.
Library of Congress Cataloging-in-Publication Data is available.
ISBN 978-0-7611-4748-0
Cover illustrations by Peter Sucheski
Interior illustrations by Nora Krug
Author photo by Scott Jones
Workman books are available at special discounts when purchased in bulk
for premiums and sales promotions as well as for fund-raising or
educational use. Special editions or book excerpts also can be created to
specification. For details, contact the Special Sales Director at the address
below.
Workman Publishing Company, Inc.
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New York, NY 10014-4381
www.workman.com
Printed in the United States of America
First printing February 2009
10 9 8 7 6 5 4 3 2 1
Acknowledgments

The process of writing this book repeatedly made me wish I were dead. But once
I was done, I felt great, my posture improved, my eyesight got clearer, and the
world seemed great. I imagine this is what giving birth feels like.
I was fortunate to have a great team of people who helped me turn this book
into its final form.
Jeff Kuo is simply the finest researcher I’ve ever worked with. He was
instrumental in helping bring this book together.
I’m grateful to Chris Yeh, who’s not only a brilliant marketer but perhaps the
most frugal man I have ever met. And to Ben Casnocha, a deep thinker who
forced me to dig deeper into everything I wrote.
Noah Kagan and Charlie Hoehn helped me spread the word about this book.
Couldn’t have done it without them.
Several friends helped immensely by reviewing drafts of this book, including
Ben Abadi, Julie Nguyen, Vivek Sankaran, and Jen Tsang.
The folks at Workman were amazing: Margot Herrera, my editor, was
incredibly skilled at helping me organize my thoughts into a coherent book. Plus,
she’s fun: In one of the first chapters, I wrote an over-the-top joke just to see
how fast she’d cut it. She just said, “I think we should keep it. It’s pretty funny.”
What more could I ask for? Cassie Murdoch, the perfect complement to Margot,
is ultra-organized and constantly thinking two steps ahead.
Many thanks to Peter Workman, who is brilliant and eccentric—exactly as
rumored—and to all the people who helped tell the world about this book:
Andrea Bussell, Kristin Matthews, David Schiller, Andrea Fleck, and Justin
Nisbet. Kudos to Janet Parker, Beth Levy, Barbara Peragine, Doug Wolff, David
Matt, and Nora Krug.
Lisa DiMona has now worked with me on two books. You couldn’t ask for a
better agent.
Seth Godin, who took a chance on a college kid with a cocky attitude and a lot
of ambition, got me started in publishing.
BJ Fogg, my mentor and professor, first showed me that you can use
psychology for pro-social uses, not just to get people to buy more stuff.
To my family, Prab and Neelam Sethi, Nagina, Ibrahim, Rachi, Haj, and
Maneesh—thanks for keeping me motivated for the last two years of writing.
Finally, to my readers. I hope this book helps you on your way to being rich.