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Last month, Ramit Sethi shared his “five financial red flags” for couples on LinkedIn.
He even put Robert Kiyosaki and Grant Cardone fans on blast, saying that if your partner follows either of the financial gurus, it’s a bad sign.
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Kiyosaki is the author of Rich Dad Poor Dad and a big advocate for investing in non-traditional assets, like gold and cryptocurrencies. Cardone, on the other hand, is all about property — claiming in a 2022 interview for Jetset magazine, “In real estate, it’s not if you make money; the question is when.”
Sethi has a different take. He often emphasizes simple, consistent, and disciplined financial habits rather than risky investments. And that’s the ethos behind Sethi’s list of warnings he says he’s identified through working with couples. He claims these habits could indicate money troubles ahead for those who don’t address the issues head on.
Red flag 1: They follow Robert Kiyosaki or Grant Cardone
Sethi believes in regular, boring, and disciplined action to make money. That’s not exactly Kiyosaki nor Cardone’s advice of choice.
However, not all of Kiyosaki and Cardone’s advice is based on ‘get rich quick’ schemes.
For instance, in March 2024, Kiyosaki raved on X, “I love gold and silver.” It underscores his preference for alternative assets during times of economic uncertainty.
American Hartford Gold (AHG) offers investment opportunities in gold, silver, platinum, and palladium coins and bars. When you open a gold IRA with help from AHG, you own the physical metals, and your assets are stored at a registered depository.
Their service is designed to provide a secure and stable investment option, enhancing portfolio diversification and safeguarding against economic uncertainties.
With the price of gold hitting all-time-highs in 2024, Goldman Sachs suggests the trend won’t falter in 2025. They predict the price of gold will rise another 11% by the end of the year.
In contrast, Kiyosaki also champions cryptocurrencies, like bitcoin, which is a significantly riskier asset. This dual strategy reflects Kiyosaki’s broader philosophy of diversifying investments across both conservative and speculative asset classes to navigate uncertain economic conditions.
If you’re interested in accepting that level of risk, Robinhood Crypto is a platform where you can buy, sell, and store digital currencies including bitcoin. On average, it also offers the lowest cost to trade crypto. You can also set up recurring buys to turn crypto investing into a routine by creating an automated investing schedule.
Red flag 2: They “have a money guy”
During a recent Diary of a CEO episode, Sethi clarified that having a financial advisor isn’t inherently bad. In fact, a 2022 Vanguard study showed that financial advisors can add up to 3% in annual returns.
But, Sethi flags that advisors who charge a percentage of assets under management (AUM) for fees might be an issue. A seemingly small 1% annual fee can compound into significant losses over time, draining your overall returns. To avoid those growing fees, Sethi suggests choosing advisors who charge a flat fee instead.
With Advisor.com, you can find the best advisor for your needs — both in terms of what they can offer your finances, and what they’ll charge to work for you.
Advisor.com is a free service that helps you find a financial advisor who can co-create a plan to reach your financial goals. By matching you with a curated list of the best options for you from their database of thousands, you get a pre-screened financial advisor you can trust.
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Read more: Cost-of-living in America is still out of control — use these 3 ‘real assets’ to protect your wealth today
Red flag 3: They’re cheap
Sethi also believes that excessive frugality is a red flag. On Diary of a CEO, he said it “sucks the life out of every room.” He believes that fixating on price, at all costs, means you’ll end up hoarding money instead of using it.
In a recent interview with Moneywise, Sethi said couples make the mistake of focusing on restrictions when it comes to money.
“No, you can’t buy coffee. No, you can’t buy jeans. No, you can’t go on vacation. Save your money until you’re 96 years old and then maybe you can take a trip in economy seats.”
“The point of money is to use it to live your rich life…everybody teaches you how to save, but very few people teach you how to spend money meaningfully,” he shared.
There are also tools out there to balance spending with saving, meaning you can avoid falling into a scarcity mindset.
Sethi is a proponent of automatic investing. “It’s easier to invest than it is to brush my teeth everyday because it’s totally automated,” he said.
With Acorns, you can save and invest while you spend on the things you need. Acorns automatically rounds up the price to the nearest dollar and places the excess into a smart investment portfolio. This way, even the smallest spending translates to money saved for the future.
Sign up now and you can get a $20 bonus investment.
Red flag 4: They think that renting is throwing money away
Many see it as a waste of money, but Sethi and Cardone would actually agree that it can be a wiser choice.
Sethi explained on his blog that renting is beneficial because you get the value and convenience of having a landlord manage the property and all of the associated maintenance.
Cardone agrees, posting on X that homeowners insurance and property taxes are “exploding” for homeowners, making renting a more attractive decision for some.
However, they both frame renting primarily as a lifestyle choice rather than an investment, because the home you want to live in might not be the best investment opportunity.
But that’s not to say there aren’t properties worth investing in.
And with Arrived, you can add rental properties into your investment portfolio without needing to do any of the heavy lifting or legwork. Arrived’s easy-to-use platform offers SEC-qualified investments such as rental homes and vacation rentals.
Its flexible investment amounts and simplified process allows investors to take advantage of this inflation-hedging asset class without any extra work, like paying for maintenance or securing tenants.
Start by browsing a curated selection of homes, vetted for their appreciation and income potential. Once you find a property you like, choose the number of shares you want to buy.
Similarly, First National Realty Partners (FNRP) allows accredited individual investors to access necessity-based commercial real estate investments — without having to manage tenants.
FNRP has relationships with some of America’s biggest names, from Walmart to Whole Foods. They provide insights into the best properties both on- and off-market, and you can engage with FNRP’s experts while exploring deals and making investments in their personalized portal.
Red flag 5: They refuse to talk about money
Lastly, Sethi believes that financial honesty is integral to a healthy relationship. He says couples need a clear understanding of their combined household income and shared goals to make smart financial decisions.
“The biggest red flag with money and couples is if one person is not willing to talk about money. We can work with somebody who has debt. We can work with somebody who has a spending problem,” Sethi told Moneywise in a recent interview.
“We can even work with somebody who sees money differently. But if one person will not talk about money, that’s a dead end.”
But just because your partner isn’t open to discussing finances doesn’t mean you need to close yourself off, too.
For instance, platforms like Moby provide actionable investment insights that help you improve your financial literacy.
With research from former hedge fund analysts and financial experts, Moby simplifies complex financial data into easy-to-understand recommendations.
Their strategies have historically outperformed the S&P 500 by nearly 12%, making it a valuable resource for novice and seasoned investors alike.
– with files from Victoria Vesovski
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This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
