1 week Ago
Zerodha co-founder Nithin Kamath says he’s often asked for stock tips—shortcuts to wealth. But his response is blunt: “There are no shortcuts. It takes good habits and patience.
” In a post that’s striking for its honesty, Kamath warns against two traps that quietly wreck financial health—spending on things you don’t need, and worse, borrowing to do it. But the most dangerous? Not having health insurance. To drive the point home, Kamath shared a searing video that breaks down why India’s middle class keeps getting poorer—despite earning more.
It starts by tearing into the so-called formula for success: “Study hard. Get a job. Take a loan.
Buy a house. Dress to impress.” The video calls it what it is—a glorified debt trap, where salaries come and go without ever building real security.
The first step to escape? Write down every single expense. From a ₹10 mint to a ₹1,000 dinner—track it. Then cut just 1%.
“Skip one food order. That ₹500 can be invested. Not for the money, but for the habit,” says the narrator.
The second step flips all popular investing advice: before you think about growing money, make sure you can survive without it. “You don’t go broke because you earn less. You go broke because one bad event—like job loss or a health emergency—sets you back five years.
” The video lays out a survival number: six months of expenses in hard cash. That’s your real insurance against panic and poverty. And then, buy actual health insurance—because the cost of getting sick in India is soaring.
It also breaks down the psychology of debt. We signal social status with EMIs—phones, cars, clothes. But those easy loans come at a hidden cost: your time.
“You don’t own that thing. The bank owns it—and your weekdays too.” A simple debt-to-income calculator helps reveal just how deep the hole is.
Over 36%? You’re in the red. Over 20%? You’re still bleeding..
