Money Rules You Can’t Afford to Miss with Lloyd Ross

If you've ever felt like your money is running the show (instead of the other way around), this episode is for you!

We're joined by author, entrepreneur, and all-round money pro Lloyd Ross, who shares his personal money rules—the simple (yet game-changing) boundaries he follows to build wealth and stay financially stress-free.

From paying yourself first, to the real reason he rents instead of buys, to the one golden rule Warren Buffett swears by—Lloyd breaks it all down in his super relatable, no-nonsense style.

We chat about:
✅ What money rules actually are (and why you need them)
✅ The exact rules Lloyd follows to grow his wealth
✅ Why having financial boundaries with your partner matters
✅ How to avoid “robbing” your own savings
✅ The beginner-friendly habits anyone can start today

So whether you're just getting started or looking to tighten up your financial game plan, this one’s packed with practical advice you can actually use.

🎧 Tune in now and get ready to set your own money rules!

This episode is brought to you by InvestorKit, Australia’s #1 Buyers Agency for 2023 and 2024. They specialise in helping investors find high-growth properties utilising industry leading AI and data driven research process across Australia. 70%+ of the properties they purchase are off-market and they have consistently outperformed national average capital growth rates by over 49%. Whether you’re looking to build your property portfolio or secure your first investment. Check them out here.

CHAPTERS

00:00 - Welcome!
00:21 - Meet Lloyd Ross
01:28 - What Are Money Rules?
03:00 - Money Rules for Couples
03:37 - Lloyd’s Top Money Rules
06:26 - To Buy or Not to Buy Property
07:27 - Lloyd’s Investing Rule
08:42 - Do Money Rules Ever Change?
10:00 - Where to Start with Money Rules
12:00 - Lloyd’s Golden Nugget
12:46 - Where to Find Lloyd 

CONNECT WITH LLOYD ROSS

Instagram: https://www.instagram.com/lloydjamesross/
Money Grows on Trees Spotify podcast: https://spoti.fi/3KLSsvg
For more insights into Lloyd’s world, explore his latest book: http://moneybuyshappinessbook.com    

CONNECT WITH LADIES FINANCE CLUB

Join our free Facebook group - Ladies Finance Club Money Chat
Website: https://www.ladiesfinanceclub.com/
Instagram: https://www.instagram.com/ladiesfinanceclub/
LinkedIn: https://www.linkedin.com/company/ladies-finance-club/

TAKEAWAYS

• Money rules help set boundaries in financial management.
  
• Communication with a partner about finances is crucial.
  
• Pay yourself first to build wealth over time.
  
• Always ensure more money is coming in than going out.
  
• Regularly audit your finances to stay informed.
  
• Investing in index funds can be a smart strategy.
  
• Be patient; good financial results take time.
  
• Avoid accumulating debt without having cash reserves.
  
• Establish clear financial rules and stick to them.
  
• Building a healthy relationship with money is essential.

SOUND BITES

"Date your money every month."

"Good things take time."

TRANSCRIPT

[00:00:00] Molly: Hey ladies. Now, do you have a set of money rules you live by? Maybe you always wait 24 hours before making a big purchase, or never spend more than you earn. Well, today's guest is all about setting solid money boundaries, because without them, your finances can quickly spiral out of control. So. I am joined by Lloyd Ross.

[00:00:21] He's a lawyer turned financial educator, author of Money Buys Happiness and the host of Money Grows On Trees. Podcast. Lloyd's helped thousands of people take control of their finances, and today he's breaking down the money rules you can't afford to ignore. Now, after you listen to this episode, if you wanna share some money rules, maybe you, yourself.

[00:00:42] Or maybe you and your partner are gonna create head over to our Facebook group, ladies Finance Club Money Chat. And we would love to hear them. Now remember, please hit that subscribe button. It's free to do and it helps us so much. Plus we never want you missing out on an episode 'cause they're always packed [00:01:00] full of money hacks, investing tips, and real talk on building financial freedom.

[00:01:05] So let's do this. Lloyd, thanks for joining us on the show.

[00:01:10] Lloyd: Hey, Molly, what's up? Thanks, Pam on Super excited to be here. Let's go.

[00:01:14] Molly: Awesome. So Lloyd, we've had quite a few of our guests on the podcast before. They've done masterclasses, but our audience is brand new to you. So do you wanna just give us a little bit of an overview about who Lloyd Ross is?

[00:01:28] Lloyd: Well, I would say in a nutshell, I'm an author, entrepreneur, and husband and loving father of a sausage dog named Elvis.

[00:01:36] Molly: Awesome. Okay. That gives us a good starting point. So I was listening to your podcast the other day and you did this great episode on money rolls. And if you haven't heard it, I'm gonna pop the link in the show notes where people can check it out.

[00:01:50] But I thought what would be great is if you could just tell us a little bit around. What are money roles and then we can maybe dig into a few of yours.

[00:01:58] Lloyd: The books I have written in my background is [00:02:00] financials, so I've been helping people financially for a long time. That's my whole background, basically.

[00:02:04] And what I noticed was that, you know, a lot of people do struggle with just even the most basic elements of financial management, as you know, right? Yeah. Which is why you have the show. And so what I noticed was that they had no boundaries in their money. You know, like you could imagine what it's like to raise a child with no boundaries or you know, like we took our dog to puppy school so we could have boundaries.

[00:02:27] Yeah. It's the same with money and, and people just don't have boundaries. And so of course what happens if you don't have boundaries? You dunno what you're crossing. You dunno what lines to play and what tracks to run on, in which case you are kind of like having a free for all, you know, it's like unlocking the L cabinet.

[00:02:41] For a 15-year-old at your house, it's like, well, let's just go do everything. So the money rules is something that we, that I really, I teach a lot of people and it's just about setting down even five to 10 very solid rules that you follow no matter what. When it comes to your money,

[00:02:58] Molly: how important is it that you do this [00:03:00] with a partner?

[00:03:00] If you have a partner, so you're on the same page.

[00:03:03] Lloyd: Yeah. Well look, money and life is a team game, and so if you have a, a spouse or a partner and you're not having conversations about money consistently, you've got some. Work to do in your relationship. 'cause it means you're not open and transparent and talking to each other.

[00:03:16] So that's a problem in itself. But of course, setting your rules together means that, you know, it's like if you have a child, if you don't talk about the child's boundaries together, then one will do one thing, the other will do the other thing. And of course, if the left hand doesn't know what the right hand's doing, the wheels come off the money journey.

[00:03:30] And that's where a lot of financial turmoil happens.

[00:03:33] Molly: Awesome. So let's dive in. What are some of your money rules you've set?

[00:03:37] Lloyd: A couple of brief ones and they, they're just brief and the objective of them is to not break them. And so, so you have to have trust with yourself to do that. And a couple of my ones, like off the bat, I have one, like, um, I'll always pay myself 10%.

[00:03:51] Of everything I earn and invest it. It's such a simple one. It comes from the richest man in Babel on the book. Yeah. And I've been doing that ever since I started earning [00:04:00] money in my job and it's how we build some, you know, a seven figure portfolio from scratch is just putting that money aside and paying ourselves first before we pay anyone else.

[00:04:08] Right. Yeah. Critically important,

[00:04:10] Molly: which sounds so simple, but so many people don't do. And I was guilty of this for about, oh gosh, 5, 6, 7 years. In my first job, I didn't pay myself a cent. I was just like, money is for spending. Woo.

[00:04:22] Lloyd: Yep, yep, yep. And eventually that catches up with you, right? Yeah. Time. Yep. Yeah.

[00:04:25] And it is a simple one, but um, and that's why it's probably at the top of the list. And then I have another one, which is basically, I always have more money coming in than going out. And I know that seems ridiculously simple too, but I dunno how many people I've spoken to where they're, oh, I'm in between jobs.

[00:04:39] I'm just living off my savings. I'm like, well, that bridge you're gonna have to cross will come pretty quickly. And then you go, oh, that was a mistake. Mm-hmm. So I've always looked for ways to earn more money and keep my costs down. So if my income falls, guess what's falling? My costs, my expenses, my lifestyle will fall at the same rate.

[00:04:57] So that's a, that's another one. The other one too I like [00:05:00] is I'll always have enough cash at hand to pay off any debts that I have.

[00:05:04] Molly: Yeah. Okay.

[00:05:05] Lloyd: And that's fascinating. So people say to me, Louis, what about mortgages? I'm like, well, that's why I don't own a house. Mm-hmm. Because I don't have 3 million, well, I could put my hands on 3 million cash to pay it so I could get into that much debt, but it's really served me because it stopped me getting big mortgages early in my life, and I felt like that's given me so much more freedom and choice to build businesses.

[00:05:26] But where it does come in handy, of course, is don't go and accumulate credit card debt or any personal debt unless you do have the cash there so you're not swamped by it or anchored to it, or stuck from it. And it has prevented me from making big moves. Like I recently had an opportunity to buy a $4 million shopping center and yeah, like a small one.

[00:05:44] It's like 13 retail centers anyway, and my business partner said, Hey, we should buy. And I'm thinking, well, it breaches my money rule. I really like right at this present time, putting my hands on 4 million liquid cash. It's just a little bit tricky. Yeah. So. I was like, it's actually breaching the rules, so it's a no [00:06:00] from me.

[00:06:00] And you think about that on a small scale, it helps manage debt for anybody. Yeah. But on a bigger scale also prevents you getting into trouble with bigger assets.

[00:06:09] Molly: Yes. Yeah, no big time. I, I love that. And that's really interesting as well. 'cause just the renting piece, because we speak to so many people who are preaching, preaching.

[00:06:20] Buy property, buy your home. But that's not necessarily something you agree with.

[00:06:26] Lloyd: I think under certain circumstances it makes a lot of sense. Like if you are someone who doesn't really have the skills to, or the desire, I would say to, to build a business or invest in stocks and you're interested through that, or whatever it is, you're not entrepreneurial and you do have a a reasonably large cash deposit.

[00:06:44] And you have children like, yeah, buy a house. Mm-hmm. But it also doesn't mean go and buy the house that the bank says you can buy.

[00:06:50] Molly: Yeah.

[00:06:51] Lloyd: It just means buy a house. That's actually not gonna start becoming a problem for you. In terms of the repayments. And right now with the value of property, or the [00:07:00] price of property, I should say, and the interest rates, that's almost impossible for most people.

[00:07:05] And I read the other day a statistic, but 48% of household income goes to mortgage repayments. So. Yeah, it's hard. Just be careful that, yeah, buy a house, but do it under your rules. Yeah.

[00:07:17] Molly: And so we have a lot of first time investors listening as well. What about when it comes to investing? Do you have any specific rules that you use when you invest?

[00:07:27] Lloyd: Yeah. Interesting. I haven't, myself personally, I think one of the most, I think I've just been trained and and so forth to think like this, but obviously buying investments that are worth more than you pay for is obviously an important concept. Yeah. But I, I'll tell you one really important rule that I would say 99% of people who listen to your show should listen to, and it doesn't come from me, it comes from Warren Buffet, who's the greatest investor of all time, as we both know.

[00:07:51] And in his will to his wife, Astrid, when he passes away, there's a clause in the will. That says, Hey, with the money that I beque to you, you'll be putting it into an [00:08:00] index fund. And so I think the rule would be, if you're gonna pay yourself 10% first, then the best thing you can do is to dollar cost average and put it into a broad based index fund and hold it for the majority of your life and you will.

[00:08:16] Build wealth.

[00:08:17] Molly: Absolutely. And if you are listening and you dunno what dollar cost averaging is, let's say you've got a thousand dollars. Instead of putting a thousand dollars in, you break that in into maybe, again, example purposes only a hundred each month, and you invest that a hundred each month. So that's dollar cost averaging.

[00:08:32] Awesome. Okay, fantastic. I mean, are you pretty strict with your rules or do you kind of, as life changes its circumstances, do you kind of adapt the rules as well?

[00:08:42] Lloyd: Yeah, it's interesting. My rules have been pretty solid, actually. Like I have around 10 in total and, and they have been solid. One of them I can think of specifically is whatever I put into my investment portfolio, it doesn't come back again.

[00:08:54] Molly: Yeah.

[00:08:55] Lloyd: That's really helped me prevent myself robbing my own account to go and do things. Mm-hmm. Yeah. [00:09:00] So I've been pretty sold with that. I think if I, yeah, I, I can't remember breaching any. Yeah. Although I probably have. To some degree, because it doesn't mean they can't change. Mm-hmm. It doesn't mean that, but it has to be thoughtful, rational, logical thinking that changes them together for a reason that's positive and effective, rather than, hey, you're just gonna trick yourself and deceive your own mindset and just bend your rules to get what you want, to satisfy your emotions, and that's no good thing.

[00:09:27] So I would. I would say under certain circumstances, create or amend the rules that work to your objectives. Yeah,

[00:09:33] Molly: yeah, absolutely. And I think it's such a behavior piece when it comes to money. So if you have these rules, you know, make that deal with yourself, that you're gonna stick to these, and you know, if that money goes into your spending account, your fun money account or whatever you call it, make sure that you know you're not.

[00:09:50] Stealing money from other pools, um, that you have or other accounts that you have. So I guess from someone starting right from scratch, what do you think [00:10:00] the most important money rule is? They should kind of start with, is there like a, obviously we've got the 10% and that's a great one to have and maybe it might be a little bit more, little bit less depending on, well hopefully not less, but at least 10% or more.

[00:10:13] Are there any other ones, I guess for people who are like, oh, I dunno where to start with my rules.

[00:10:17] Lloyd: Sure. Yeah, well look, I'm sure, Molly, you've experienced this talking to people about money and it would probably blow your mind as much as it blows my mind. But when I ask people, Hey, what were your savings last month?

[00:10:29] Or what's in your account? And they actually have no idea. And so one thing I've noticed is people are not looking. At their bank statements, they're not even looking at their money. Yeah. And I say to them, Hey, how often do you brush your teeth? They go, oh, daily. I'm like, oh, how often do you shower? And they go, oh, daily.

[00:10:45] I'm like, why? And they say, so I can stay clean. I'm like, why is that important? I said, so I don't stink. I said, that's right. So if you don't, you know, if you had a relationship. You didn't spend time with your spouse? Yeah. Would the relationship last? And they say no. I say, well, when was the last time you went on a date with your money?

[00:10:59] They're [00:11:00] like, what heck are you talking about? I was like, well, you've gotta sit down every month and you've gotta actually look at your bank statement and you have to do an audit of your accounts. What's coming in, what's going out? So I really teach often to do an audit. Right now today, sit for 15 to 20 to 30 minutes quietly by yourself and look at your bank statements and highlight your income.

[00:11:19] You're outgoing and the things you see outgoing, which will be like Uber Eats subscription, Amazon, whatever it is, summit. You gotta stop it and you've gotta pull the reins back. But I would say that the very first, for a beginner. It's to look at that, do that exercise, but do it every month and date your money every month if you wanna have a good election.

[00:11:40] Molly: Yes. I absolutely love that. We're big advocates of having money date nights with yourself, with your gal pals or with your partner, whoever. Um, for that extra, a little bit of accountability. Awesome. Okay, Lloyd, just to finish up with, what is one kind of money, little golden nugget [00:12:00] that you would like to share with the audience?

[00:12:02] Lloyd: I think the most important thing to remember with the money game is good things take time. So the most important thing is to implement the principles that we've discussed and spoken about here on your show. And once you've implemented them, give them some time to actually propagate the results. Like money's gonna be a byproduct of your behavior, like what you said, Molly, and so it's just a matter of putting the foundations in place, right?

[00:12:24] That I'm sure you talk about a lot on the show and giving it time to actually. Cultivate and foster and build. Yeah. You know, be patient. Yeah. Yeah.

[00:12:33] Molly: Absolutely. It doesn't, it's not gonna happen overnight, but it will happen if you, no, it'll happen. Keep follow the systems. Yeah. Awesome. And Lloyd, if people are loving this conversation and they want to hear and learn more about you, where can they go?

[00:12:46] Lloyd: Sure. I think the best place is my Instagram account, which is at Lloyd James Ross. And uh, as I said, you can check, oh, I think Molly's putting my show in here, which is just a fun podcast on money, money grows on trees. Yeah, that's probably the best place to find me.

[00:12:58] Molly: Fantastic. All right. Thanks so [00:13:00] much for joining us on the show today.

[00:13:01] Lloyd: Thanks for having me.

KEYWORDS

money rules, financial management, investment strategies, budgeting, personal finance, financial literacy, wealth building, money habits, financial communication, money mindset