Podcast Summary

Podcast: On Purpose with Jay Shetty
Host: Jay Shetty
Guest: Codie Sanchez
Episode: Codie Sanchez: This is How You Get Rich off Your Normal Salary! (Use THIS Easy Formula to Build REAL Wealth NOW)
Date: September 8, 2025

Main Theme

This episode dives deep into practical, actionable strategies for building real wealth with an ordinary salary. Codie Sanchez, entrepreneur, investor, and founder of Contrarian Thinking, returns to discuss how to thrive financially regardless of the current economy, why old financial advice may no longer apply, the importance of understanding the language of money, and how to navigate money in relationships and investing. The conversation is energetic, honest, and refreshingly tactical, covering topics from paycheck-to-investor mindsets, credit vs. debit cards, side hustles, negotiating your worth, money dynamics in relationships, and step-by-step investing advice.

Key Discussion Points & Insights

The Reality of Money Today (04:34 - 08:16)

• Inflation vs. Wages: Codie points out that while wages have doubled since earlier generations, housing prices have increased by 9x, making traditional "buy a house" advice obsolete for many today.
  • “Their construct might not work for our generation … houses today, you have an interest rate of 5–8%, a 3 million home shortage in the U.S.… so don’t let people make you feel bad if you’re not doing what the American dream adult thing used to be. The markets change.” — Codie (07:27)
• Mindset Shift: It's normal to feel it's hard to build wealth right now—but “real money is made when the market feels tough.” (06:44)
  • “Buy when there’s blood in the streets, even, and especially when the blood is your own.” — Codie quoting Baron Rothschild (06:34)

Financial Literacy & Money Myths (08:38 - 14:48)

• Understanding Money is a Language: Many people are capped at a high-school level of financial literacy.
  • “If you don’t understand money, you’re never gonna make more of it. Because understanding money is like speaking a language…” — Codie (08:38)
• Debit vs. Credit Cards: Debit cards do not build credit, lack rewards, and have weaker fraud protection compared to credit cards.
  • “Credit cards are bad if you don’t pay them off … but debit cards are actually worse. They don’t help you build credit … they don’t give you perks … you’re less protected if stolen.” — Codie (09:51)
• Starting Financial Freedom Early: Get kids a credit card early (with guidance) to help build credit, the first pillar of “resources.” (12:04)
• The Good/Bad Debt Debate: Even Warren Buffett uses leverage, but the rich use debt for assets rather than personal liabilities.

Side Hustles, Starting Businesses, and Earning More (14:49 - 22:45)

• You Don’t Need Money, You Need Knowledge:
  • “You never suffer from a lack of money, you suffer from a lack of knowledge on how to get money. The richest people in the world never use their own money.” — Codie (15:16)
• Resources for Entrepreneurs: SBA grants and loans, platforms for business funding (e.g., Percent), are accessible.
• Risk & Income: Keep your job while starting a side hustle; statistically, you’re 33% more likely to succeed if you have an income source.
  • “If you want to do a startup and have no risk … you keep your job … use your salary to fund your side hustle … don’t quit until that side hustle matches your cost of living.” — Codie (16:44)
• Negotiating as an Employee: Ask your boss “How do I make you money?” and find ways to increase your measurable value, which gives you leverage to negotiate salary.
  • “If you want to make more money as an employee … figure out, how could I make more money for the company?” — Codie (20:11)
• Grow Within Your Role: Jay’s “bricklayer, builder, architect, city planner” metaphor: growing from basic tasks to strategic, visionary roles is what justifies higher pay—not simply hours worked. (24:00)

Hard Work ≠ Wealth in a Changing Economy (27:12 - 29:23)

• “If hard work would equal wealth, then the person who runs my laundromat would make just as much as Jeff Bezos.” — Codie (27:12)
• In the era of AI, knowledge and creative, unique problem-solving matter more than pure effort.
  • “You want to be the lion … periods of sprint and rest, sprint and rest …” — Codie referencing Naval Ravikant (29:10)

Passive Income, Passion, and the Reality of Getting Rich (29:27 - 38:23)

• Myth of Passive Income: True “completely passive” income is a myth—even vending machines require work.
  • “Anybody who tells you this will be completely passive income, there’s a red flag. Let me tell you what’s not passive: a vending machine.” — Codie (29:27)
• Loving the Game, Not the Goal: The distinction between following your passion vs. acquiring valuable skills and loving the process (“the game”).
  • “Learn to love the game. Don’t try to obsess on your past passions … the more boring the industry, the higher the income.” — Codie (34:06)
  • “We confuse hobbies with skills—those aren’t the same.” — Jay (36:40)

Rules of Wealth & Problem Solving (41:47 - 45:53)

• Fixer vs. Freeloader Mindset: Fixers see profit in problems, while freeloaders avoid responsibility.
  • “Every time I find a problem in my business, that’s where the profit is… be a fixer, not a freeloader. It’s where the money is.” — Codie (43:07)
• Get on Rocket Ships: Codie advises to join ambitious, fast-growing teams early in your career, even if they’re chaotic—this is where you learn and earn the most.

Money & Relationships (54:03 - 89:03)

Dating, Marriage, and Wealth:

• Marriage is a Wealth Multiplier: Married couples, on average, have 3x the net worth of singles and make 30% more.
  • “If you want to make more money one of the best things you can do is find a partner… married couples make more and are wealthier.” — Codie (55:39)
• Dating & Money Myths:
  • Over-prioritizing income in dating (especially women requiring men to earn more) is not correlated with happiness.
  • Seek compatibility in purpose, respect, and complementary skills, not just financial parity.
  • “Find somebody who plays a different game—you can complement.” — Codie (63:30)
• Money Conversations in Relationships:
  • Having hard conversations (pre-nups, joint vs. separate accounts) is critical for clarity and mutual trust.
  • “A prenup is a perfect example… you could say: this is an opportunity for us to determine what our life will look like together.” — Codie (77:51)
• Who Pays on the First Date?:
  • Both agree: whoever asks should pay. Both partners should bring intentionality and partnership to money, especially early on. (68:34)

Step-by-Step Guide to Investing (95:47 – 102:55)

1. Stage 1: Invest in Yourself
   The best ROI is from learning new skills before investing in external assets.
   • “The highest performing asset class you could ever have is you… bet on you first.” — Codie (95:47)
2. Stage 2: Index Funds / S&P 500
   Use low-cost, diversified index funds, especially through platforms like Vanguard, to beat inflation.
   • “Avoid Robin Hood … go to vanguard.com … select a diversified portfolio they’ll help you based on your age and risk.” — Codie (96:47)
   • Automatic investing (direct deposit of at least 10% of income, after tax, into investments) is a powerful habit.
3. Stage 3: Private Investments / Real Estate
   For more advanced investors, look at private equity, real estate, commodities, etc., but only once you have a solid foundation.
4. Stage 4: Buy or Build a Business
   Ultimately, owning your own business offers the greatest upside.

• Diversification Explained:
  Never keep all your money in one place—spread between stocks, bonds, and different markets. (97:33)
• Inflation is a Tax:
  Keeping money in cash erodes value; investing is necessary just to hold steady.

Money and Lifestyle: Look Rich vs. Be Rich (103:06 - 106:58)

• Don't Buy Into Instagram:
  People waste wealth on the appearance of success (events, clothes, Instagram moments) rather than building true assets.
  • “[Coachella] … most influencers are paid to go, flown out for free, given free clothes… 64% of attendees couldn’t afford their ticket, used buy now pay later… massive credit debt for an Instagram post.” — Codie (104:00)
• True Wealth is Internal:
  Skills, relationships, and lessons are more lasting than material things. Millionaires care more about learning than money itself.

Notable Quotes & Memorable Moments

• Codie Sanchez:

  • “You never suffer from a lack of money, you suffer from a lack of knowledge on how to get money.” (15:16)
  • “Every time I find a problem in my business, that’s where the profit is.” (43:07)
  • “Don’t buy into what you see on the internet everybody else doing … not buy things to look rich instead of be rich.” (104:51)

• Jay Shetty:

  • “When you create something new from just stress, it can be quite debilitating … too little stress and you stay in the golden handcuffs.” (17:52)
  • “To love the game, you have to respect the rules. … If we hate the rules, you can’t love the game.” (40:19)
  • “We confuse hobbies with skills—those aren’t the same.” (36:40)

Timestamps for Important Segments

• Reality of Today’s Economy & Housing – 04:35–08:16
• Money as a Language & Financial Literacy – 08:38–14:48
• Side Hustles, Starting Businesses – 14:49–22:45
• Negotiating Value as an Employee – 20:11–22:45
• Metaphors for Growth – Jay’s Bricklayer Analogy – 24:00
• Passive Income Reality – 29:27–30:43
• Passion vs. Skills, Boring-Sexy Matrix – 34:06–38:23
• Fixer vs. Freeloader, Mindsets for Wealth – 41:47–45:53
• Money & Relationships: Data & Mindset – 54:03–89:03
• Step-by-Step Investing Advice – 95:47–102:55
• Look Rich vs. Be Rich, Instagram Wealth Myths – 103:06–106:58

Flow & Takeaways

The episode delivers actionable advice on building wealth and demystifies common misconceptions about money. Codie and Jay offer open, practical, sometimes contrarian perspectives on earning, investing, gender and money, and personal growth—always emphasizing that true wealth is built on mindset, learning, and intentional decisions, not luck or simple hard work.

If you haven't listened, expect practical frameworks, plenty of mythbusting, and both professional and personal stories that illuminate how to build real, lasting wealth—no matter your starting salary or circumstances.