Zerodha co-founder and CEO Nithin Kamath has offered a piece of timeless financial advice: there are no quick routes to becoming wealthy. In a recent post on X (formerly Twitter), Kamath emphasized that building long-term wealth requires patience, discipline, and sound financial habits.

Addressing a common question he receives about stock tips or fast-track methods to riches, Kamath said, “Unfortunately, there are no shortcuts to getting rich. It takes good habits and patience.” He warned against impulsive spending and the dangers of taking on debt for unnecessary purchases.

Kamath also pointed to what he called the "middle-class trap"—a cycle where individuals struggle to break free from constant financial obligations, making it harder to accumulate meaningful wealth over time.

Kamath wrote on X, “I often get asked for a stock tip, something that will make people rich. Unfortunately, there are no shortcuts to getting rich. It takes good habits and patience. Things like buying stuff you don't need, or worse, borrowing to buy them. The other big one is not having health insurance. Things like these can really hold you back. Zero1byZerodha and Prateek Singh do a fantabulous job of explaining the middle-class trap.”

Kamath Shares Clip Critiquing The 'Work-Spend' Cycle

In addition to his own insights, Nithin Kamath also shared a video from Zero1 by Zerodha, featuring Prateek Singh, the founder and CEO of the platform. In the clip, Singh breaks down why many individuals feel trapped in a relentless cycle: “work hard, get a job, take a loan, buy a house, and dress to impress.” He describes this as “terrible advice,” arguing that such a mindset keeps people stuck in a financial loop with no real progress.

I often get asked for a stock tip, something that will make people rich. 😬

Unfortunately, there are no shortcuts to getting rich. It takes good habits and patience. Things like buying stuff you don't need, or worse, borrowing to buy them. The other big one is not having health… pic.twitter.com/qWYaDuhZKe

— Nithin Kamath (@Nithin0dha) April 10, 2025

Singh attributes the problem to a fundamental misunderstanding of income—where people view their salary as something to spend rather than an asset to save and grow. This spending-first mentality, he says, prevents long-term financial freedom and wealth creation.

Prateek Singh Shares Practical Steps 

To break free from the cycle of financial stress and short-term thinking, Singh urges individuals to create their financial playbook—starting with awareness and small, consistent actions.

Singh advises beginning with a clear understanding of monthly spending. List all expenses, identify areas of overspending, and aim to reduce them. Even cutting just 1 per cent of your monthly expenses and investing that amount in something like an index fund can set the foundation for long-term wealth, he explained.

He highlighted the importance of building an emergency fund as a financial safety net. Ideally, individuals should save an amount equivalent to six months' worth of expenses. For instance, someone spending Rs 30,000 a month should aim to accumulate at least Rs 1.8 lakh to stay afloat in case of job loss or unforeseen circumstances.

Singh also highlights the need for a separate health emergency fund and stresses the rising importance of having a robust health insurance plan amid soaring medical costs and hospital bills.

He concludes by reminding investors not to chase high returns. Discipline and consistency in fixed, regular investments matter far more than timing the market. Let your money grow quietly over time, he said.