Crazy just crazy, i became a millionaire in just one year and all it took was a small loan of a million dollars from my father. No just kidding, that's not how it happened. Let'S rewind on february 21st 2020. It was my second year of doing youtube and i made a video called my plan to become a millionaire in one year and a few really interesting things happen in that video like getting yelled at by dave ramsey, let's just let's just establish here that you can Find a hundred dollars latte breath, that's no one's fault, but yours, i don't think that's fair! I'M trying my best and it's your fault in this country. If you retire broke, i mean, and you have nothing to show for it. I have some subscribers. No, i'm just kidding that didn't really happen. That was clever video editing, but it was in that video that i bought a giant stack of a million dollars because i've always wanted to see what it looked like and what it felt like and what it smelled like. And, more importantly, what it tasted like fecal matter, i'm half kidding. To be honest. I bought that stack because i wanted to test the power of visualization and it turns out that we've been lied to, because financial success is not attributed because of visualization financial success is because we set good habits. We live well below our means. We invest the difference of our income and we follow those good habits consistently day to day, despite the highs and lows of life. In fact, this is literally what i said in the video. Well, maybe if i can keep this up for a few years instead of 40 years to get to a million dollars, maybe i can do it in just one year. So it's been about a year now and it's so cool to look back at myself from one year ago and compare that to where i am today and i can speak to myself in the future once again to set goals for 2021, so that the me of 2022 can see myself from today and think infinite monetization loop, i'm just kidding. Let me share with you my net worth my 2020 overall dividend: passive income and my goals for the future. Let'S begin hi. My name is andre jack, hope you're doing good. Come for the finance and stay for the magic in this video. I want to cover several things. The first is my net worth, not that anyone asked for it. It'S just purely for my own selfish ego. Second thing: we're going to talk about is my dividend: income and my dividend, investing report for 2020 and how much i made last month, then i'm going to buy a stock because doing this consistently for the better part of the last eight years is what allowed me To sit right in front of you right here and make this video because of this passive income that allowed me to take that risk and a lot of people do this through different ways like real estate. Some people do it through the stock market and some people do it with cryptocurrency. So in this video i want to show you all of that, but the goal is to have enough diversification so that if any one of these sources of income would disappear, i would still be able to feed my dog rito, because all dog owners know that the Only reason we all work is that they could live a better life than we do and if all that sounds great, but let's begin with my net worth all right, so i actually want to google this first, because i think there's got to be some articles about Me guessing because i've never actually revealed it before so andrej net worth sure enough, there's a few of them. So let's check this one out. Apparently i have a net worth of six hundred forty two point, one two thousand dollars and i earn one hundred sixty point. Five: three thousand a year, that's really cool, that's wrong, but really cool, and then there's this other one. That has me at four hundred six thousand dollars as of january 2021, also wrong. This was one at the top that has me at two million dollars of a net worth, which is very generous, but also not accurate at all. Let me show you what my actual net worth is and i'll break it down into the three different components: the russian components and the american components. No, i'm just kidding the first one is block fi, which is my recent investment. Where i hold my crypto currencies and here's my portfolio right here so currently, my block by account is sitting at roughly 438 000 but of course, it's cryptocurrency, so it fluctuates up and down daily a crazy amount of money, but block fi is basically a glorified high Yield savings account where you can deposit your cryptocurrencies into and the way that it works is depending on what you deposit into here. It'Ll, give you and adjust your interest rate on your savings by the different currencies. So, for example, if you deposit something like usdc, which is the coinbase stablecoin, which is not a crypto, it's just one dollar is one usdc. Then you'll get paid their maximum interest rate of 8.6, which is unreal. That sounds unbelievable and i got a lot of questions about this. If this is a legitimate company or not - and those are all great questions, because you should question everything in the cryptocurrency space and do your due diligence. But i promise it's not like a big connect bit connect but anyway, if you're curious about how blockfy actually makes their money. No, it's not a pyramid scheme. It'S not like sign up a friend and then that friend will sign up two other friends, and then those two friends will sign up 10 friends and you get their money, that's a pyramid scheme and that's not how they make their money. Instead, they lend out our money, our crypto accounts to other customers under very high interest rates and the reason people come to them for these high interest rate loans is because, when you go to borrow money from the traditional banking system, sure they'll give you a lower Interest rate, but the requirements to borrow money are very high and not everyone may meet them. They look at your income, your debt-to-income ratio, a lot of other factors that people may not qualify for. Therefore, they charge them the higher interest rate and once they do that they pay us the difference between what they charge and what they pay us in interest and that's their profit margin. So that's how it works, and what's nice about block fi, is that most of the crypto that's held in these accounts is actually held in a cold storage wallet with gemini as their primary custodian. And that's just a fancy word for saying: that's who holds custody over our money? That'S who actually owns the money in their accounts and gemini is one of the biggest crypto brokers in the world. So anyway, the cryptocurrency that i have in this portfolio is paying me roughly six percent per year and this is paid out in bitcoin, but i can select to be paid out in any other currency i want, and last month i earned .04 bitcoin, which is roughly Valued at 1 426 and that's an incredible amount of money to be paid for doing absolutely nothing. Now i'm sure at some point, blockfy is going to readjust their interest rate to be much lower than it is now as they mature. But for now they just want to incentivize customers to join their platform, which is why i'm taking advantage of the high interest rate and remember this is not monthly. This is paid out over the course of 12 months. Please check out nexo.io and celsius.network there's a lot of other companies out there blockwise the one i'm the most familiar with and the one that i use. But if you want to do the same thing, i'm doing you can use this code right here and get up to 250 worth of free bitcoin. Just remember that crypto is very, very volatile and my net worth fluctuates a lot because of this portfolio. So instead, maybe you might want to consider doing what i did when i first started, which is to invest in the stock market, more specifically into dividend, blue chip stocks, which don't fluctuate much in value at all. So let me show you that and then we'll buy some stonks, so here's my robinhood portfolio right here and it's worth roughly 282 thousand dollars, which is nice, but it's not as nice as the income that this pays me without having to sell a single stock. So the grand total for 2020 for dividend income has been 7 638, which is pretty cool because, even though it pays me dividends, the stock portfolio itself is still growing and that's a lot thanks to the fact that energy stocks have been crushing it. For example, people thought i was crazy for buying exxon mobil when everything was dipping. Let me show you something remember. When the futures contracts market for oil was negative 37 per barrel, people thought it was the end of oil new paradigm, we're going electric, but i know better. I think oil is going to stay around for a long long time. So when it was unpopular, i continued to buy axon mobile. So let me show you this: let's look at exxon mobil in the last three months and see what it's done. So you can see that in the last three months it has gained 40 percent, which is insane in comparison. The stock market per year will get anywhere between seven to nine percent on average. So we can even look that up. We'Ll look at voo, which is the etf, so voo, and we can see that in the last three months it has grown roughly seven and a half percent in comparison to oils 40. In that same time frame, one thing: i've learned about investing in the stock market, though, is something that a lot of younger investors don't really do because they're too busy chasing the popular stock, and that is at some point. We have to be a value-conscious investor and, to some degree, be a contrarian which basically means that if something is popular, you probably shouldn't be chasing it. I first learned that with girls and then with stocks, and the lesson just keeps repeating itself, so i'm not even gon na find it at this point, which is also why i still shop at the 99 cent store and not at whole foods. It'S overpriced, don't judge me, but i'm not gon na be buying more oil stocks. I have enough i'm just gon na. Let them continue paying me passive income, but speaking of passive income. Let me show you how much dividends i made in december of 2020.
So let me open up robinhood and show you in the bottom right hand, corner go ahead and click on account statements and i'm going to show you that i almost made a thousand dollars so 960.57, that is without selling a single stock. That is a 13 year-over-year increase from the previous year before that, and that's pretty cool, because it shows me that the dividend snowball is real and it continues to pay me even more through dividend raises last month in december, i had 12 companies. Give me dividend raises all totaling 24.71, which i know doesn't sound like a lot, but remember: active income is not the same as passive income, because in order to make 24.71, you need to invest 617.75 at four percent to make that same 24, which is money. I didn't have to invest so between the raises between the block fi income and the dividend: income, the grand total for december to around three thousand dollars and my total invested assets at around seven hundred twenty thousand four hundred fifty seven dollars. That'S not my entire net worth i'll show it to you in just a minute, but i wan na make a little more than three thousand dollars a month. That'S because there was a lot of mental gymnastics in this video and health care is going to play a much bigger role in the future than it does for me today and because i'm a contrarian, i want to look at stocks that people aren't necessarily buying. So i want to look at tech, that's because the democrats are mostly in control of the government, so people are afraid that the tech stocks are going to face a lot of negative regulation, and so there was a lot of fear and there was a big sell-off Of tech and there's one stock specifically that i cannot get enough of that is almost never going down, and that is drumroll apple all right. So let me jump back into robinhood and buy the stock, and i apologize. If you see me, do this a thousand times before, but there's a lot of people that watch my videos that have never seen me do this, and i don't want to assume that they know how. So, let's quickly jump in robin hood and the little magnifying glass. I'M going to type in apple and we're going to go to the apple stock and hit trade in the bottom right and hit buy. Now at this point i could buy it using dollars, like i put in a hundred dollars and just buy a hundred dollars worth. But i don't want to do that because it's gon na place a market order for me, which is gon na potentially buy the stock. At a slightly higher value than what i want to see, he agrees now in the upper right hand corner. I am going to hit limit order, so once i do that, i can place the actual price that i do want to pay for the stock and right now it says 126 dollars and 82 cents. So once the market opens on monday, which is the time you're watching this video i'm going to buy it and hopefully when the market closes by the time it does, i will be able to buy my shares and that order is good until tuesday at 1 pm Continue and i'm going to buy a lot, i'm going to buy 100 shares worth because i have way too much cash for my robinhood account and i need to put it to work. So i'm going to buy 100 shares worth and i just can never have enough of apple, so review swipe up to submit and bam cued. So now that i've bought some stock, i'm going to plug it into my spreadsheet and keep track of it. And it's going to tell me all kinds of awesome things like how much it's gon na pay me when it's gon na pay me and a lot of other interesting things and i've been tracking this stuff. Since 2016.
I wish i had done it sooner, but it really encourages you to keep on going, because you can actually see the progress on paper and it's super cool. You can find it in my patreon link down below so now that i've bought the stock. Let me show you all the money that i have invested in the stock market across all of my accounts, so this is my retirement account with m1 finance, my weibo account and my robinhood account. The grand total is 329 000. Now my cash position is actually 1428 thousand dollars and it's not actually showing the full amount, because i have around 50 000 scattered somewhere that isn't shown here, but that really sounded sketchy. It'S just in a different brokerage account, but that is a lot of cash and the reason that i keep so much is because a i have a huge tax bill. That'S due and b, i want to buy a house and i can't actually get a loan because i haven't been properly incorporated for two years, so they're not gon na give me a mortgage. That is a prime rate, so i have some firepower around just in case. I wan na buy a house, but this brings the grand total net worth to two million one hundred ninety five thousand four hundred fifty seven dollars and that's not actually counting the income that i'm going to make this month, which is one of my biggest incomes. That should bring the total closer to 2.4 million dollars. So my 2021 goal is just to buy a house for myself and see where that takes me, because i do think that in the next two years real estate is going to do really well, just because interest rates are at the all-time lows. Now that i've showed you my net worth, let me share with you my biggest takeaway and my biggest lesson treat your income, not like your actual income, because that's not your final form instead use them as seeds that you will then sprinkle all over the soil, which Will sprout trees, which will then grow fruits that you can then pluck and eat, and i don't mean this metaphor literally, like dividends, can pay your bills? Yes, that's obvious, but that's not how i use them. I use my little dividend, income that i had what little i had to empower me to quit my job and just barely survive, so that i can eventually make these videos on youtube and that's so powerful, and even though i don't make a lot of money passively, I'M working on it, which is why i make these youtube videos as a video journal, to keep myself accountable and if that journey sounds exciting, then smash the like button and subscribe, because together we're going to empower our future selves, the andre jake of the futures. Looking back at the andre jacob today and is back to the future t-shirt looking back and saying wow, he was smart. I'M glad that he had the foresight to take care of his older self because he needed the money and that's important. That'S why i live way below my means. That'S why i don't buy myself anything fancy. I continue to reinvest that money and continue following good habits, which is ironically exactly how we started the video. We have come full circle, i'm proud of my journey so far, and i could not have done it without you. So thank you from the bottom of my heart for helping to get me here and, as always, go grab your four free stocks with wee bowl by depositing one hundred dollars. Two of those stocks can be valued up to sixteen hundred dollars each. You can grab a fifth free stock from robinhood love. You thank you so much for watching the video. I will see you back here on monday and friday. Sometimes a wednesday i'll see you soon. Bye