Hey guys, thanks for watching.

My name is Ben and welcome back to Smart MoneyMinds.

Today we're gonna be talking about four bankaccounts that you need for financial success.

So, bank accounts.

What I remember about my first bank accountwas I opened it around when I was 12 with my parents and what I was told was just toput my money in there and if you have a job, that's where all your money would go and that'sthe extent of my knowledge in bank accounts back then.

But if you need to become financially successful,you need at least these four bank accounts to allow you to build, to save, and to investfor a better future.

I'm gonna base these bank accounts on Canadianaccounts because I am Canadian and however all these bank accounts could be opened inpretty much anywhere around the world and with any major bank.

Number one, the most basic account is a checkingsaccount.

So you open a checkings account, this is myoperations account.

So anything that is to do with day to day,so paying your mortgage, paying your rent, paying your utilities, paying your phone bill,paying your groceries.

Everything in this account goes in, goes out,to cover your daily expenses.

Your income should go into this account aswell.

So if you work a day job, the money from yourjob should go into this account directly and you'll be able to use that money to pay offyour bills.

So a lot of this money is constantly fluctuatingand covering your expenses.

For your second account, it should be a savingsaccount.

And this is exactly what it sounds like.

A savings account.

What you do is you take the money from yourchecking account.

Every time there's money coming in as income,you take a portion of that money and you put it into your savings account.

And whatever is left becomes your checkingday to day expense account.

While as your savings you hold onto that moneyand that starts to become your nest egg.

When your income comes in you should put awaywhat I recommend at least 10 to 20 percent of your money into your savings account andthis becomes a staging area for your money.

The money in this account can become yourrainy day fund.

So for three months or six months, so thisis to cover for any emergency funding that you need so if you injure yourself, or yousuddenly lose the ability to make money, you're able to still pay for your bills, pay foryour rent, whatever it may be for X amount of months.

So you don't touch this money until you absolutelyneed it.

However you can also take this money and besideshaving an emergency fund, you can put that into an investment fund.

And we'll talk about that later on.

Just remember that your savings account isnot to be used as a day to day fund.

It is your protection fund.

Third account is your investment account.

And that in Canada would be our Tax Free SavingsAccount which is our TFSA, or in the United States, it's your ROTH IRA.

You can open this at any major financial broker,or at a bank, and this is where you put your money into the stock market, or the bondsmarket, or in mutual funds.

And this is where the concept of use moneyto make more money comes into because that's what you're doing.

This account you can either manage it independently,or have the bank manage it, or find somebody who's a fund manager to look after this accountfor you so that you can continue to make more money using the money that you currently have.

Last by not least, our fourth and final accountshould be our retirement account.

And this in Canada is called the RegisteredRetirement Savings Plan, so the RRSP, or in the United States, it's the 401K.

A lot of employers like to match your inputinto this account and so this is like free money for you.

If you put in money your employer will matchthat same amount of money and you're getting money for your retirement which is great.

This account is for your future.

It's for when you're 65 or 70 or wheneveryou choose to retire.

This acts very much similarly to your investmentaccount where you're still putting money in there and you're able to manage it and makemoney, make your own money, to provide you with more investment income.

This account's investments should be a lotsafer and a lot more long term as you have you know maybe 20 to 30 years to have thisaccount mature.

You also definitely want less risk for thisaccount.

Because this is your nest egg and you needto use this money to spend for the rest of your life.

So I would consider this a more passive investmentaccount.

In these four accounts, this is how I wouldnormally go and put money into each of these accounts.

What I do is I have my daily income and mydaily expenses being used out of my checkings account.

What I do is when income comes into my checkingsaccount, I take a portion of that, I put it into my savings account which is my stagingarea for my two other investment accounts which is where I make my money produce moremoney.

As for the investment accounts, for somethinglike my TFSA, I would put that into something more aggressive and invest that into stocks.

While as for my RRSP, you might look intosomething that's less aggressive and something that maybe a long term stock or bond.

And we'll definitely talk more about stocksand investing in later feature videos.

So if you already have these four accounts,why don't you let me know how you divide your money into each one of them.

It'd be great to learn and I'd love to knowif there's ways to improve my own way of dividing money.

But make sure you comment below and make sureyou hit and tap, tap, tap that like button as much as you can so we can continue to makemore wonderful videos for you guys.

It'll also be great if you guys write downthe percentage of how much you put in your savings account and into your investment accountsand just make sure you leave that in the comment below and until next time, we'll see you guys.