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In a viral clip, Chad "Ocho Cinco" Johnson explains why he budgeted nearly 83% of his salary from the NFL. As a multi-millionaire, he speaks to the insecurities and our need for validation that causes us to spend money unnecessarily. This clip was so viral the Dave Ramsey show picked it up and in this episode we both give our takes on what it means to live a luxurious life.
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About Financial Advisors Say The Darndest Things Podcast:
As Christians, we were taught to be good stewards over our tithing and giving to the less fortunate. But when it came to our personal finances and investing we were left clueless on what the Bible says. What does the Bible say about managing debt, leaving a legacy, investing, and planning for your retirement? Mr. Christian Finance answers these and many other questions because we want to teach you how to become rich and righteous!
Meet A.B. Ridgeway:
A.B. Ridgeway, MBAÂ (info@abrwealthmanagement.com) is the owner and Christian Financial Advisor with A.B. Ridgeway Wealth Management. With a decade in the finance industry, his goal is to give believers clarity around the most confusing topic in the Bible, money, and tithing. A.B. Ridgeway helps tithing Christians become cheerful givers but unlocking their money-making potential, so they can prosper and be the great stewards of the wealth God has entrusted them with.
Transcript is not checked for accuracy
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The problem, the fix for the problem is,
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well, give me my money, I'm gonna be all right.
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But the more you make, the more you spend.
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If you have no discipline and no structure.
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Yes, absolutely.
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Every time.
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Yes.
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Every time.
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Well, just give me more and more.
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No, the more you get, the more you gonna spend.
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And people ain't gonna listen because we are caught up
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in looking a certain way, living a certain way,
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trying to appease others
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who don't really care nothing about you,
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just to say, oh, I got it.
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Wow.
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I got it too and I had it for almost 30 years.
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I done saved what?
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80, 83% of my salary.
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I don't need validation from nobody on the outside.
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That's another downfall.
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In society, we always need validation
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and acceptance from others.
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Don't try to live a lifestyle
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that you know you can't afford.
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Right.
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You can't do that.
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Those were some powerful words by Chatt,
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Ocho Cinco Johnson.
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I don't know if you remember him,
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but after signing his first contract as a rookie
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for the Cincinnati Bengals,
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he's the same person that slept in the stadium for two years.
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So while other NFL newcomers splashed on big houses
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and fast cars, this wide receiver was more focused
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on living frugally and developing his game.
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My name is AB Ridgeway.
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I'm the host of Financial Advisors,
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say the darnedest things,
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and my mom's favorite, Christian Financial Advisor.
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And today we're talking about living below your means.
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This NFL player who's made millions over his career
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has dropped a bomb on society
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about the way that we see money,
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the way that we see wealth,
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and how we can live the life we're supposed to,
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which is below our means,
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so we have money to give to others.
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This clip went so viral that they actually reviewed it
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on the Dave Ramsey show.
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I'm going to listen to their response.
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I'm actually gonna give my response to it as well.
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He flew Spirit Airlines instead of chartering a jet.
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This guy made millions and millions and millions.
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Yeah.
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Right.
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Instead of flying Southwest, I'm flying Spirit.
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Right.
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I mean- Fake jewelry,
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the whole thing.
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She's like, man, I don't have to prove myself to everybody.
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I love it.
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I love it.
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I've been guilty of that.
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I've been guilty of being in situations
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where I feel like I have to prove like I belong here.
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And the way to prove I belong is by, you know,
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having the same bag she has,
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having the same shoes they have.
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And if you do that, it's like a status thing,
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but it's so deeply rooted in insecurity.
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I agree with her.
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The dumbest way to prove that you have money is to spend it.
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Why?
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Because you're losing money while trying to do it.
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And she hit on a psychological point
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that a lot of us go through.
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It's status.
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It's the fact that we want to belong to a certain group.
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So we feel we have to look, we have to act,
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and we have to have what other people are having.
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But this is a disease that's in our hearts.
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And she said it perfectly.
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It's an insecurity in and of ourselves
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that we feel that we are not good enough
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to be associated with these individuals.
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So we have to have some type of signal to them
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to show we do belong.
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But it shouldn't be on what we buy, but who we are.
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And I heard him say on another part of the interview too,
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like, that's not what gives you your worth.
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Like what you can buy, are you kidding me?
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So I really, I mean, I love that.
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It makes me think of that scripture.
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One person pretends to be rich yet has nothing.
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And another pretends to be poor, but has great wealth.
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I mean, what do you want to do?
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You want to be fake rich or real rich?
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You know what I'm saying?
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And I just, I like what he said.
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This show is a lot about like exact ratios
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and what's the exact percentage before I do this
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and the ratio before I do this and this.
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And so I don't want to get caught up in the numbers here,
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but saving 80% of his income.
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Yes, he's extreme.
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But he's also making millions and millions.
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And I have been guilty of, he was exactly right.
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I've spent my entire career thinking,
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well, if I just made some more money,
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then fill in the blank.
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And what ends up happening is my house has gotten
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a little bit bigger, my car has gotten a little bit nicer.
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And I realized a few jobs ago,
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this just never stops until I stop it.
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What he's explaining is what they call lifestyle creep,
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meaning the more money that you make,
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you increase your living expenses.
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So if you're making $100,000, you get a $50,000 raise
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to $150,000, your lifestyle creeps up that way.
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So you end up getting a bigger house,
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you end up getting more cars,
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you end up spending more at the grocery store,
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you start buying more clothes,
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and you realize you're still living paycheck to paycheck
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because of this lifestyle creep.
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Now what Ocho Cinco did was that even though he was making
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millions and millions of dollars,
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his lifestyle never increased.
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Let's say that you have a million dollars,
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you want to live off of 17% of your income.
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That means you're living off of $170,000.
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Everything else is going to savings,
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everything else is going to retirement,
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everything else is going to the trust for your children,
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education, $170,000.
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People have an annual salary of $170,000.
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So if you live that life, nice house, nice cars,
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two or three children, you'll be fine.
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That's what he is saying.
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I don't need to prove my worth to you by spending.
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I am my worth.
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I don't need to have validation from other people
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and neither should you.
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Ocho Cinco still has a lot of money.
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He still gets to do the things that he wants to,
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and he has a sustainable lifestyle
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that he could be comfortable.
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That is true financial freedom.
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If you liked this video,
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you'll love how a Texas millionaire got rich.
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He tells a story about how he was at the right place
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at the right time,
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but there's one special element that took him to the top.
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And if you're a believer,
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I don't think that it will surprise you.
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Well, my name is AB Ridgeway
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and I'll see you on the other side of your blessing.