You Can't Out-Earn Your Stupidity!

five four three [Music] this is the ramsay show you can be intentional about your character you can have money and a career you are the hero in your story [Music] live from the headquarters of ramsey solutions it's the ramsey show where debt is dumb cash is king and the paid off home mortgage has taken the place of the bmw as the status symbol of choice i'm dave ramsey your host george campbell ramsey personality host of the fine print and the entree leadership podcast is my co-host today as we talk about your relationships your boundaries your mental health your job your career your money your life it's all right here it's called the ramsay show we're going gonna talk about you right in front of you the phone number is triple eight eight two five five two two five the call is free and some say the advice is worth exactly what you pay for it kyle is with us to start off this hour in davenport iowa hi kyle welcome to the ramsey show hi dave how are you better than i deserve man what's up yeah i had a question we recently i'm a union member and i recently resigned a contract and they're giving us a one-time choice of we currently are offered a 401k and a pension and they're giving us a choice to freeze the pension for an increased match in the 401k and i was just wondering your thoughts on that interesting well i mean we would just try to figure out the math on it wouldn't we yeah so what is the increase in the 401k match um so it's based on their return on assets per year which eight out of the last 12 years it would be dollar for dollar match up to six percent which i currently get 60 cents per dollar okay so it's a 40 increase all right so two percent uh and what's your household what do you make what do you make with this job uh about about 90. okay so here's the deal 40 of 6 would be 2.4 follow me okay that's the increase that's the increase so 2.4 percent of 90 000 we're gonna round that up and call it 2500 bucks okay okay 2.5 percent of a hundred thousand would be that so we're just going to round it for easy math okay so the benefit is 2500 bucks that's what you're going to get on a good year eight out of 10 years eight out of 12 years or whatever so uh then what are you giving up for 2 500 bucks a year it's the pension increases 48 per year of service 48 per year of what of service so every two years it goes up by a hundred bucks uh just about yeah and that's the amount going in or the amount going in per month or the amount coming out per year going in correct to the pension yeah so they will either add 48 48 or you can or they will add 2500 correct well that's kind of easy yeah and then they would freeze it at my current i have 11 years in already so yeah you're just not you're not going to get the increases that's what you're giving up correct correct well there's a cumulative effect of the increases mathematically though because it'd be 48 and then it'd be 48 and then be 48 so every year it's it's it's 150 after three years yes and how old are you uh 34. okay so if you work 20 years um yeah it's still not going to be there still not going to be to 2 500 bucks correct per year and there's also there's also one small other piece to this is they put into a a retirement fund they put in currently if i kept the pension and 401k that i have they would put in three percent of what i make a year into a retirement account once a year and if i switched they would up that to five percent weekly man they want you out of this pension bad correct but i also their pension their their pension's in trouble um they're dude they're writing you check for what are we up to now uh 10x 20x to get out yeah yeah get out i mean i'll take you know read the tea leaves on that puppy yeah here's the other advantage the 401k over the pension is always an advantage stop before we even start doing the math and the reason is this you died pension dies with you you die with a million dollars your 401k it goes to your heirs yeah so you get to keep the asset when it's in a 401k they keep the asset when it's in a pension correct and so 401 k all things being equal always beats pension but this thing is it starts to be a slam dunk you got two and a half two point four percent plus three percent you know you're getting this thing they're they're just they're they're they're waving the flares aren't they george oh yeah and with how young he is that compound growth is going to do him way better than the 48 dollars a year in the pension so i'm taking that yeah when you leave you can roll your 401k whatever's in there the matches and everything else probably that retirement plan as well out if you ever left the union you could roll it out to uh just to an a rollover ira into some mutual funds so i i don't i mean unless i'm missing something with the numbers you're giving me it's it's way more than a no-brainer it's 2500 for 48 yeah and i mean it's a lifetime of that pension but beyond that like you're saying it's gone when he's gone yeah yeah and yeah it's just he can become his own pension at his age with how he's investing yeah he won't need it i'll pass yeah i'm gonna take their deal i think i think they're i think they're yelling at you with the math please get out quickly well i'm sure you've seen the pensions are going away year after year companies are moving away from that into the 401k well they're very difficult to manage and the reason they're very difficult to manage is the regulations on them are extreme they're not allowed to do anything that that we would normally do with our investing because it's called too risky they're not allowed to put the whole thing in mutual funds that's very concerning they have to they because pensions in the old days ago broke so the feds came in and over regulated them to keep them from going broke to protect the people so to speak but in the effort to protect them they've ruined the ability to operate a pension efficiently so a pension typically is going to pay six and a half to seven percent rate of return out of it that's basically what you're going to get out of it um and it dies when you die but then you've got the actuarial table built in because it dies when you die and so if you've got all the old guys are the major pension holders and they're all out there this thing could get upside down the young guys are supporting the old guys kind of like the young population yeah exactly it becomes a pyramid scheme because it's not earning enough to even cover the payout and that's where they get upside down because they're over regulated so i'm not predicting the end of the world but a lot of people are moving away from pensions and now even this union unions are one of the last holdouts on pensions but even this union is is dumping it and so i think they're yelling at you to run and i i believe i would if they're scared i'm scared take the hint oh my goodness wow there we go this is the ramsay show [Music] chaos that's what it can feel like when your business is growing so fast you've outgrown your financial and accounting software the faster you grow the more likely you are to lose control of the numbers and here's the reality if you don't know your numbers you don't know your business that's why we use netsuite by oracle the number one cloud financial system over 28 000 companies use netsuite by oracle including ramsey solutions because netsuite gives us a single view of everything we need to make daily decisions whether you're making a few million to hundreds of millions a year netsuite gives you the visibility and control of the things you need to grow like your financials inventory hr planning budgeting and more all in one dashboard go to netsuite.com ramsey right now to get their free white paper jump start your cfo career [Music] eight seven six five four three [Music] [Applause] [Music] george campbell ramsey personality is my co-host today open phones at triple eight eight two five five two two five if you've ever been to one of our live events you know they're all about the life change that you and your family can do and we're gonna show you how when you come to an event you spend a whole day digging into all areas of your life when it comes to our smart conference money personal growth leadership mental health your career you will leave informed and hyped up and ready to make real change this is the smart conference yep smart conference is back it's been three years gosh it feels like 20. yeah we're so pumped to get this event back on the road we're going to be in dallas on october the 22nd george campbell will be one of our speakers i will be there it is going to be a great event uh craig and amy groschell from lifechurch.tv are going to be teaching on marriage that will be a new segment and they are really incredible you don't want to miss this smart conference is our biggest event of the year don't miss it it's going to be a day-long jam-packed event you get advice from leading experts in every field tickets start at just 39 it's a great price for a full day event like this i promise you this is world class speakers communicators authors teachers on all of these different areas of your life you will leave smarter go to ramseysolutions.com events get your tickets now before they're gone they're selling very quickly if you haven't noticed stuff like live events people are blowing up on them i think everybody's ready to get back out there and do stuff with other human beings again you know like it's hard to get tickets to anything and these are selling very quickly ramsey solutions dot com slash events and check out the smart conference october the 22nd in dallas mary is in kalamazoo michigan hi mary welcome to the ramsay show hi hi dave oh my gosh what a privilege it is to speak with you you too um oh thank you um so i have something kind of laying heavy on my heart and i was hoping to seek your advice um so i'm 31 years old my husband is a couple years older than me and my daughter is sick i have a very close relationship with my parents and they're in their 70s they recently informed me that my daughter and i will be receiving um a little over a million dollars in inheritance when they pass away um which is is wonderful that's very generous um what i'm having a hard time with is i'm adopted they're not my biological parents and they also informed me that my brother who is my father's biological son will not even be receiving half of that and he and i don't have a good relationship anyways i mean it's civil we're not close by any means we're he's 20 years older than i am um why the discrepancy and i i think it's because they don't have a very close relationship with him he's from my father's first marriage and they didn't raise them together um okay so how can we help so my question is how can i get over this themselves and if and when they pass how do i maintain a good relationship with my brother when that happens it sounds like you don't have a great relationship right now with your brother it's civil we enjoy seeing each other but we we just have such a huge age gap and just completely different lives that we don't really communicate with each other that much yeah okay i think you need to free yourself of this because it's not a decision you made so there's nothing to feel guilty about there's relational equity that you have with the family and that turns into financial equity with the inheritance the um guilt would be if you did something you didn't do anything so and i think it's probably named wrong uh instead let's name it something else because i get that you have angst about it i i get that you feel kind of like ugh why you know this is gonna not gonna go well and i'm gonna get blamed you know that's kind of how it feels right so i don't i don't know what we call that but guilt would be if you did something wrong you didn't do anything so this is not on you um you know unless you manipulated your parents into a bigger inheritance but that's not what you said so i'm i'm going with you i'm going with your story so uh first let's just say out loud your parents are cowards to dump this on you they should call they should call him up and tell him what he's getting and what you're getting they did that with you they they have informed him that you're getting a million and he's getting a half he's getting about 300 000 okay have they told him what you're getting i believe so they thought that they would all right so i had to ask them to that's good that's what they should do i'll retract my statement that they're not cowards then if they did that because they're dumping the problem of the relational angst on you upon their death if they don't handle it while they're alive and so we tell people read the will while you're alive and tell everybody what they're getting and if somebody's gonna be pissed let's go and deal with it while i'm alive and so if they've done that then i guess brothers already got it figured out that you didn't do anything he already knows okay i would verify that they did that with her with them i mean you told him how much i'm getting and how much he's getting if not you should mom and dad because it's not fair to leave me looking like the bad dog the bad person at the end of this story because i didn't do anything here right okay and if they do that then maybe brother just looks at it and goes okay i don't really talk to him that much anyway and she hangs out over there all the time i get it like i have a relative who will leave 100 of their money to one child and will leave the other child nothing who they have no relationship with and that's completely understandable i have a relative that's doing that right now and i agree with it by the way and that's okay but but you shouldn't you shouldn't again you're not entitled to money just because of your dna you're entitled to the money if somebody wants to leave it to you it's their money they get to do with what they want and so he has no real gripe to start with and so he's three hundred thousand ahead of what he should be probably but um but yeah thing is not letting his resentment and anger towards her be a reflection of her character right this is has nothing to do with it you didn't write this narrative you just are in the story you didn't write the story and so um i get that it feels icky and i don't i really don't disagree with you about that the only way to remove that is shine when when stuff is awkward or weird the best way to clean it up is shine light on it call it out and all the roaches run to the corner as soon as you turn on the lights and so if you'll go ahead and just call it out if they've already called it out then he has the opportunity to interact with them and if he wants to be mad at you i guess he can be he may call you and say i'm pissed at you i don't know but at least he can get all that out of the way now before the money actually transfers and um and even then you just go i didn't do it you know yeah you have a conversation with them go hey i know this is weird i had nothing to do with this i still want to have this relationship with you i love you yeah you know and you move on from there and if he can't handle that that's on him if that relationship can't move on exactly this is not she's just a good person and with a big heart and she feels that sweet well you feel it it is an awkwardness crud thing but the way to get rid of the awkward is for mom and dad to tell him the same thing they told her and the why behind it if the why is if they can do it without being nasty you know and just go this is just our decision and you know you don't even have to you don't have to hurt his feelings too you know just tell him is what he's getting is what she's getting and leave it at that i yeah but this is why you do a will and this is why you read the will out loud before you die to all parties concerned so that everyone knows what's going on and you can go ahead and get all that weirdness out of the way and that's a good that's a good question and it's good you have a good heart for worrying about it but um i think it's on him and on them it's not on you she's got to release it [Music] uh still on baby step number one huh how'd you guess with health care costs rising learn how christian healthcare ministries can help you make the most out of your budget visit chministries.org budget don't worry it's worth it [Music] [Music] george campbell ramsey personality is my co-host today thank you for joining us america it's a free call triple eight eight two five five two two five in the lobby of ramsey solutions on the debt free stage scott and malicia are with us hi guys how are you doing well dave how are you welcome welcome where do you guys live fort worth texas all right welcome to nashville and all the way here to do a debt-free scream holding the big red thermometer all the way filled in i love it how much have you paid off 189 whoa i love it how long did this take that was uh five years and one month wow good for you and your range of income during that five years in one month um 185 000 to 210 nice income what do y'all do for a living i'm a nurse and i'm oh sorry and now i stay at home but i'm a fireman ah awesome to uh to service two people who serve sir thank you very much thank you pretty incredible 190 000 over five years am i going to guess right when i say that's your house yes you're half right half of it was a rental house and half of it was our house okay but you're a house and everything yeah looking at weird people yes i love it way to go you guys so what's this house worth uh in this market you're probably about 450. not bad i bet i love it wow on a rental property what's the rental property worth that rental property is probably worth about 200 right now all right very cool guys excellent job thank you how does it feel to be your age i mean you're youngsters what how old are you i'm i'm 38 uh-huh and i'm 44. ah just pups and you got the house paid for we have our house paid for yes sir thanks be to god i love it we got to tell you something though this is the second time we've paid off our mortgage okay so the first time we were debt free actually was in 2011 2011. so this took us five years in one month but if we go back to the very beginning we got married in 2005 uh i was introduced to you dave and to the baby steps by a guy that i worked at the fire department with we would listen to you in the ambulance on our way back from the hospital after transporting somebody it's a little scary okay well yeah but uh he was getting out of debt at the time and i'd never heard of you so he would listen to your show and you made a lot of sense to me and i i took your plan to malicia and we talked about it read your book and we decided that was the financial future for our family uh the plan to get there it was so simple but such a great road map and uh from 2006 to 2000 2011 we paid off two cars our previous house and a small rental property as well and so in 2011 we were totally debt free she was in her 20s i was in my 30s uh and over the next five years i don't really have an answer for you as to why but we decided to go dave ish i don't really can't really say why i wish it was a straight line from there to here but we took a little turn we bought the uh the second rental property not for cash and we decided to move up in house so the previous house that we had we sold and we moved up in house so that's where we found ourselves five years and one month ago i was with the 189.9 what activated you to get back on uh go ahead well we had we had already had such success with your program from early on in our marriage you know um like like he said i was only in my late 20s and we were looking at our finances and saw that we already had a paid for house paid for cars no debt and we knew this was the way we wanted to live forever except for that except for that part where you didn't except for that yes yes you joke with people you're like hey if you don't like not having a mortgage you can always go get another one it wasn't that we didn't like it but we did go get another one thankfully so over the five years that we didn't have a mortgage and it was like kind of a little slippery slope you know you start to forget a little bit and you start to get a little too cushy i guess at least what that's how we were it wasn't like oh we have everything paid off let's just go party and forget all about dave ramsey it was just like the five years just was kind of a slippery slope and then we ended up wanting to change communities and move and things like that and we wanted melissa to be able to stay home and so now you you busted it for five years and got out of debt are you going to do it again no never convince me why not i think well so i will say this the first time through uh michael was not yet born and jonah was very little our lives were very different uh and this is gonna sound like a first world problem but it was not that difficult for us to do the first time the second time it took a long time it took longer it was more arduous our kids were older so our lives had changed drastically we were doing more things more activities more expenses and so having to be patient for that five years and one month was was a it was a tough tough task so i never want to go back in so by the time you got done you were really sick of it yes sir oh we were mad at it yeah yeah it sounds like the more sacrifice you had to make the less likely you were to ever do that again yeah the first time you didn't feel the pain as much as exactly yeah it was just the two of us and so we could pick up all the overtime we wanted and we just threw everything we could just the two of us but we didn't have many outgoing expenses and things like that and so yeah so i think we just thought it would be just as easy but the second time around it wasn't we had to throw kids in the mix it changes everything we had kids and more expenses and it was harder but more rewarding because we did it with our family yeah yeah we got to teach them the lessons along the way too which was really they colored in this little thermometer for us every time we made a payment you can see the coding job now that you're done you don't have a payment in the world the rental property's paid for they got other rental properties still too we have two total and that's it what's the other one worth that one's probably worth about 150. okay wow all right and so you're with with retirement and everything you're easily baby steps millionaires right yes sir yes now way to go guys yes sir and thank you and 40 years old man that's amazing i mean that's that's very good okay so how's it feel fantastic amazing fantastic uh we just it's almost surreal to even be here on the stage to be quite honest with you we said all the way through the journey like one day we're going to be on that stage with dave so here we are i love it we are so grateful to you and what you um imparted upon our marriage early on that kept us from fighting about money and helped us always be on the same page about money and to make these goals family goals and um i i don't know um what we would have done without it so yeah wow way to go it's amazing thank you well thank you we're proud of you you guys are rock stars man and our kids kids know your voice as soon as it comes on the radio i love it in all your songs yeah i look forward to meeting them and their names and ages let's bring them into the shot jonah is 12. uh-huh and michael is six all right very cool and they know what's going on then yes sir they do they know their family tree has changed because of their mom and dad are awesome yeah so what do you tell people the key to getting out of debt is um wow i think it's get mad at your debt and make your money work for you and and the second time around it's been more family focused so about the values that you're teaching to your children about giving yourself no answers and being okay with saying no to yourself and self-discipline and delayed gratification and all the things that we try to teach our kids i hope that they learned through our example every time we said no and every time we tell them no and things like that life is about being able to accept those things and um and being able to um be rewarded in the future for for that man delayed gratification for sure they saw me um put super glue on my shoes and he zip tied his fender onto his car to make this happen and um and also being able to live like crazy people yeah like weirdos yeah well you are weird now you're officially weird i love it does he have a certificate in his hand is that fpu what is that about this is the foundations and personal finance that you went through we went through it for um for middle schoolers oh wow they have both done um financial peace junior yeah yeah so we made this a family affair for sure oh yeah they're they're indoctrinated now absolutely sure we want them to be free we want them to live free and be free i love it i'm proud of you guys well done we got a copy of baby steps millionaires because you should be in that book that's perfect that is your next chapter in your story and you've already living in that so very very well done a copy of total money makeover for you to give away and wake someone up so very very very good job pretty incredible story scott and malicia jonah and michael fort worth texas 190 000 paid off that's their house their rental properties everything baby steps millionaires at 40 years old five years and one month making 185 to 210 count it down let's hear a debt free screen three [Music] [Applause] this is the ramsay show [Music] [Applause] [Music] [Music] [Music] four three [Music] george campbell ramsey personality is joining me as my co-host today open phones at aaa 8255 225. meredith is in tampa florida hi meredith how are you hey i'm doing all right how are you better than i deserve what's up so found out last night that my rent is going to be increasing by 62 percent once my lease is up from lower 50 yeah to 1700 a month so i'm i'm currently working the baby steps on baby step two and i wouldn't be house poor per say i would still have a little bit but my shovel would be drastically dented that's pretty amazing yeah so you're paying a lot like 1100 now yeah 1100 now were you under you think you were under the market before or the market has just jumped that much i think maybe a little bit of both um honestly i feel like like i've looked around since then and it looks like everything in this area like people are just flooding to florida and so i think i think it's just driving up and most things are comparable to the 1700 amount that's coming around so uh so you either move down in quality of house or location or you accept the increase basically yeah and a lot of the apartment complexes around here are income restricted so it's too much to move there uh but also we'll be pretty strapped here so wanted to get your input would you sign the lease given the way the housing market is uh the only thing i would wonder as a caveat to that is if i don't sign the lease and i go month to month it's a 100 difference which i feel like is pretty low for not signing the lease so i don't know if it seems like maybe it would be best to hold off pay the extra hundred dollars a month and if it seems like the market's gonna go out what's your household income wow is it a one bedroom and are you living alone so it's a two-bedroom and i have been looking for a roommate because i'm trying to really go cheetah intense and all that stuff for baby step two um which would have been great before but now almost feels like it's more than breaking even but it kind of feels like it's a lot less pumps if i were to get a roommate how much longer do you have with that with this baby step two with this increased rent how much longer do you think it would take with the increased rent i haven't run the numbers uh i've again just found out last night so currently it stands i should be done by february um of 2024 and that's without a roommate without a side hustle what do you what do you do for a living i'm an executive assistant how far are you from work i am in my living room right now oh so i get to work remotely okay so it's remote yeah yeah you could do some extra virtual assisting on the side if that's something you want to do to get the income up right now i would probably also get a roommate if you're cool with that for a year to speed up the process because that's just a long time to remain in baby step 2 and not knowing what the market's going to do with rent yeah agreed so you would sign then and just continue to no no not yet i mean you've known about this for 24 hours so i'm going to um how long will they give you to make your decision so i have until the 31st because it needs to be a 60-day notice however if i don't um i have to do a 30-day notice from that point onward uh well from may 31st onward so you know hypothetically yeah i i would say between now and the 31st you have a new hobby and that's looking at rentals yeah i mean you've scanned the market enough to ascertain that this is not they're not gigging you that this is just the new price in the marketplace you know they're they're not being crooks or something like that there's nothing anything wrong uh and and you don't have a lot of options that are readily apparent but that's 24 hours worth of research so right you know i i really think i'm gonna go looking for that garage apartment out back of some rich old lady's house or something that uh you know that that's 10 or 15 miles further out of your center of normal behaviors that's a little bit less convenient but it's half the price i'm gonna look for that needle in a haystack for a little while i'm not gonna bet my life on it but i mean boy if you could land something back down around a thousand dollars that was tolerable and was safe and clean and that kind of stuff um if it was a little bit inconvenient i'd rather do that uh but but you're not going to find that in the first 24 hours you know you're going to spend some time and effort to to find that property if it even exists i'm not saying it does 100 of the time but one of the things one of my rules on decision making is when i have two possible options and both of them suck i don't yet have enough options that's a fair plan okay so i want to put more options on the table even if they're uncomfortable for other reasons sure you know other than just price uh the price is right but it's uncomfortable because of dot dot dot and i don't know what whether the dot dot dot is tolerable or not but after that i'm with george yeah i pick up extra work and uh take in a roommate and uh try to try to find another way to get at this housing angle and being remote i mean you could move further out to a cheaper area easy temporarily this is not forever but as while you're getting out of date and get that emergency fund in place i mean i i'm the world's worst i mean we just moved uh in october for the first time i don't move much i can't stand moving it's like having a root canal but uh we moved about 20 minutes further away from downtown nashville we were already about 25 minutes out of downtown nashville which i don't go down there that much except to eat good food scene in nashville uh but uh but now it feels like like we're out in the country we gotta get up we gotta get a list and go to town you know it feels like oh my god and it's not that much further no it's five ten minutes but it feels like fifteen minutes but it's just feels it's there's an emotional adjustment more than a factual yeah adjustment yeah that's what i want to deal with that too we moved to the suburbs with all these families and she's like i want to be near nashville where all the action is and i can tell well you know with a young lady like that i don't want to be right down there in a minute though i mean my point is it's it's more mental than it is actual yeah sometimes to be further out and it might change the price equation substantially 15 minutes might say 500 bucks to be 10 minutes further out depending on which direction you went and so on that that kind of thing there's a way to think about it i'm i'm not saying that's the answer but um here's a good thing to keep in mind all of you that are facing rent uh increases and real estate price increases and everything else the the you know one of the classes i took getting my degree in real estate was urban planning and generally speaking uh with no barriers which never exists but with no political or geographical uh or topographical barriers if you take the downtown area of a the central business district and you drop a pebble there the rings go out like in a pond and the further out those rings you go generally speaking it's cheaper now the exceptions are when one of those rings bumps into a piece of water the price might go way up or one of those rings bumps into a mountain the price might go way up and the other side of that mountain might be way down because it's very inconvenient to drive around it or the other side of the bay tampa hello you know that kind of a thing right so there's that that ring theory breaks down when it bumps into stuff yeah but generally the further you go out into rule from the central business district of a major metroplex the cheaper it gets generally now again an exception will be political things one of those is in nashville is the county that we live in is out several rings but it is the wealthiest county in tennessee the 11th wealthiest county in the nation and so house prices here are bonkers oh yeah because of that but it's it's the quote place to live so to speak that kind of crap there's a new neighborhood across from ours and the houses we're starting it's all dirt still they were starting at 700. i just checked back in they're now 1.3 million dollars and it's still dirt but they just up the price they just changed the sign housing beginning at yes price is beginning at mark through it mark through it mark through it and keep raising them yeah you can but that's but again the whole idea being that if you move out a little bit further i will admit because i'm experiencing it personally that you have a bit of an emotional hangover and that you feel like that you're further out than you really are it's not that big a deal because people that are laughing all around america right now they're hearing me talk about a 15-minute commute like it's a big deal uh because they're like try two hours and 15 minutes on a train playing automobile exactly bus but the uh uh again just to challenge you because you can always when you're renting especially you can always move out a little bit because it's a temporary move renting is always camping it's glorified camping while we wait to get out of debt and build up the money to buy a house so good discussion and boy it's a big thing out there right now this rent it is something else george camel ramsey personality good hour this is the ramsey show [Music] hey it's john delony co-host of the ramsay show did you know over 18 million people listen to the ramsay show every week a lot of those people listen on one of our 600 plus radio stations across the country to find a station near you go to ramseysolutions.com [Music] this is the ramsay show [Music] you can be intentional about your character you can have money and a career you are the hero in your story live from the headquarters of ramsey solutions it's the ramsey show where debt is dumb cash is king and the paid off home mortgage has taken the place of the bmw as the status symbol of choice i'm dave ramsey your host you jump in we'll talk about your life your money george campbell ramsey personality is my co-host as we talk about your money your relationships your career your job your mental health anything about your life you want to talk about we're here to work with you the phone number is triple eight eight two five five two two five matthew is in baton rouge hey matthew how are you doing well miss dave thank you we're blessed and highly favored uh thank you mr george's also taking my call today sure how can we help dave i'm uh well i'll just really quickly just a short background fpu graduate three years ago 18 months debt-free 10-18 months debt-free so three years here we we killed eighty-nine thousand dollars in debt um we've got i believe in three times your emergency fund i would like to be very careful i have my six months in place of expenses i'm investing my 15 uh self-employed and we are forced to sell a house that was given to us three years ago but because the family member passed away and in short now we're going to get hit with capital gains so we're doing a 1031 exchange and i feel that i'm where i should be to go ahead and start investing correctly if i'm wrong with it but i have no other choice unless i want to give my silent partner a lot of my money and i don't feel like giving uncle sam that money so pulling out the 1031 my question to you is i want something safe i've evaluated my risk factor my returns and my maintenance and i want low risk good return and low maintenance of course but i'm looking to start generating the revenue for my retirement that's what i'm looking at y'all all right so the house you inherited it and uh what was it worth at the time you inherited it what is worth no at the time you inherited it what was it worth uh well we just three years ago i i wouldn't know because well i mean give me a guess come in for example purposes give me a guess well i'm gonna tell you 250 days okay so that that's our example all right and yeah so anything you make above 250 you're going to have capital gains on so what will the house sell for uh we have it on the contract at 285 okay you don't have any taxes 15 on 35 000 it's not even 35 000 after expenses when you're you're selling expenses are also deductible so i mean you're talking about 3 000 in taxes you don't need to do a 1031. yeah okay so the house was an active donation not a true inheritance due to a will or death it was oh i thought you said it was an inheritance okay no that's okay that changes the math though that changes the math because now your basis is what they paid for it which is probably a little of nothing exactly 21 000 yeah okay so now you've got a big capital gain i'm back with you on a 10 31. okay sorry that's okay i'm just just making sure i'm touching my bases here and so um yes so why have you had it rented during the three years no sir he they were living in it with yusuf rupp so that was where the family members were staying but before they died and all that they took care of all their their property their their last their what they want to do you know where they want it all given to so they gave it all away and we said well y'all just stay there yo just stay there and we'll take care of you no problem but now they're going so can you are you sure have you checked with a tax person that you can claim this is a rental property because it has to be a rental property to do a 1031 to another rental property it doesn't sound like you collected any rent that's that would be correct i did that talk with the accountant she's just telling me that we have to you know do the 1031 we don't want to put capital gain on it but she's aware of your inflected rent on it sir she's aware you collected no rent on it yes sir i want you get another tax opinion because i i i'm not sure but i mean i i you know it's a like-kind exchange and has to be income property for income property and there's been no income on this property so i'm a little worried for you in the event of an audit uh but let's pretend let's go forward that the 1031 works uh and that my concerns have been delayed you'd get some good advice because i'm not sure uh and you're gonna so you have 285 thousand dollars you need to reinvest into another piece of real estate that produces income yes and so what are you you're asking what to buy in short what was just a couple ideas that you would say are safe conservative and to as a beginner i'm this is my first one okay that i have no clue that we love the tennessee we thought about cabbage we thought about commercial property here and ran out to tenants but the economy and the prices and real estate has got us so whacked out i just don't know what but i'm forced to do it within six months i believe is my price i gotta close right so you gotta find you gotta find a 285 000 property that you like that fits your guidelines of low maintenance low risk and no it's not a cabin in tennessee it's it's a it's a income producing property near you uh and um that's probably another house is probably what it is and but you're probably not buying an old house in a junky neighborhood you're buying uh something that's a little newer and is not going to require as the level of maintenance and uh will serve you going forward uh you've already got it under contract to sell it why was it you sold it again well it was sit out there vacant it's it's an uh keep running us away no sir in the area of the state we live in it would be torah full of drugs and lord knows what else i got your word okay before that town goes even worse yes sir i got you okay i understand it's not it's not something you wanted to keep it's what it amounts to okay so yeah you got what i'm looking for is i'm probably looking for a nice condominium that that's a you know that's five years old or something and it doesn't have a lot of maintenance issues that i can drop 300 grand into and are 250 grand into and um just keep it real simple don't over complicate this but you do need to check with someone other than your accountant uh in addition to your account and get another piece of tax advice and make sure that this 1031 will fly yeah i would jump onto ramsey solutions.com connect with a good elp tax pro and a real estate agent to help you start running comps and going hey where's where am i going to find some good stable rent in a good neighborhood for this price range if you can do that with cash i think you're going to be in good shape yeah so for those of you wondering what the flip we've been talking about for the last five minutes a 1031 tax deferred exchange is what you do instead of trading properties in the old days you used to have to trade properties if you wanted to move your gain from one property into another let's say he had a house to sell and he he wanted to not pay capital gains on that 285 000 in his case then he would have to go find another piece of property and the person that's buying his property would buy the other piece of property to trade with him and he could roll it over they simplified the laws 25 years ago probably and started calling it a 1031 tax deferred exchange where you sell the property into a special 1031 s that's the number in the irs regulations 10 31 into a 1031 escrow account and then you have six months to buy another property and it allows you to roll your equity into the other property as if you had done a trade without any tax without any tax implications today when you do sell that other property now you got the old basis in that rolled over so you're going to get get your butt taxed off then this is the ramsey show [Music] if you're looking for ways to update your home without blowing the budget i've got it for years i've been telling you about our friends at blinds.com blinds.com makes it simple to shop top quality blinds shades and interior shutters from home with easy online ordering and free shipping with blinds.com there's no need to renovate your entire home just change out what's on your windows with upscale choices like faux wood blinds cellular and roller shades or even outdoor shades plus blinds.com guarantees the perfect fit whether you do it yourself or you have them measure and install everything for you shop their latest looks and see how much you can save at blinds.com today the easy and affordable way to make your home more beautiful is blinds.com [Music] george campbell ramsey personality is my co-host today i'm dave ramsey your host this is the ramsay show we all know time is important it is more precious than money than shiny toys or winning certificates at work and like spending money from an account when you don't know how much is in it we never know how much time we've got left so if you could do one thing one thing that would make the time you have left even more worthwhile wouldn't you do it of course you would we all we all would we get that and we want to help you have everything you need to be well and that's why we're partnering with betterhelp to give you a month of free one-on-one weekly therapy when you pre-order a copy of dr john dolone's new book own your past change your future it comes out in april but guess what if you pre-order it you get a free month of one-on-one therapy that will give you the tools you need to change your future because you get matched up with a therapist based on your specific needs this is an incredible bargain for twenty dollars you buy a book and you get this thrown in wow off the chart i mean i this is i can't even imagine how much money this is it's crazy now when you read this life-changing book on your past change your future you'll feel like dr john's sitting right there with you he'll make you laugh he always does he'll make you cry he always does and he'll challenge you he always does and he'll make you think about your health the health of your mind and it didn't mean when i read the book i really i really personally enjoyed this it's transformative stuff and every one of us got one or two dials inside of us that we could click a couple notches on and get a little better right and that's true on anything but it's certainly true on this so your get your free therapy sessions by pre-ordering own your past change your future twenty dollars at ramseysolutions.com our question of the day comes from blinds.com they have a 100 percent satisfaction guarantee that means even if you mismeasure you pick the wrong color they'll remake your blinds for free free samples free shipping and with the new promos they run every month you'll save even more use the promo code ramsey to get the best possible deal today's question comes from kathy in arizona she says my daughter just got married and her husband loves your show and is budgeting according to your plan for new couples who are starting out and getting to know each other it's hard to be on a tight budget with no extra money for date nights or even a yearly vacation with both of them working full-time there needs to be something to look forward to besides just paying the bills shouldn't your plan be modified a bit to include adequate funds for these activities as they get to know each other both personally and financially that makes me laugh that's good kathy wow i don't know what plan she read your plan is to have no extra money right that's the plan i know and love [Laughter] honey you need to leave your grown kids alone and let them run their own lives you interfering mother-in-law uh what book did she read oh okay no we don't have money for date nights in there when you're trying to get out of debt no we don't have money for vacations in there when they're trying to get out of debt and this poor little couple newly married will survive that they'll make it a promised mom and they'll get to know each other just fine because they ain't got anything to do except sit and look at each other so it's gonna work out just fine i love that you said as they get to know each other financially yeah that's very interesting so here here is what you do need to guard against i'm making fun of you kathy because you need to be made fun of but um but the the thing you do need to guard against here that you are right about i will take your side on this is if he is being a control freak and clamping down and your daughter doesn't have a vote in this your daughter needs to speak up because what we do teach is that both of them have a vote but we do teach to sacrifice to win to live like no one else so that later you can live like no one else and if they both are committed to getting out of debt and they're going to sacrifice to win the way we teach it is not going to harm their little tender relationship as a matter of fact it will draw them closer together because unlike their other married friends who are so freaking snowflake that they're all they worry about is being nurtured instead they're actually sacrificing to hit a goal together and that draws people closer together than snowflaking in the same room that's uh that sums it up well here's what i'm saying their financial situation isn't clear here we don't know if they're in that's right the fact that she said they're on a tight budget makes me think they're probably in baby step two they're probably broke he wants to get them out of debt so they can go on vacation and not come home with the vacation on the credit card for the rest of their life and mommy is worried about her little princess they're newlyweds they're fine i know they don't need to go anywhere and and you know sh but seriously they it's okay if they have no our budget does not say you cannot enjoy your life it does say that you should tighten up everything and not have a bunch of fluff in your budget uh in order to accomplish your financial goals which is get out of debt and it is worth the sacrifice and no it will not damage their relationship beyond harm and you know what creates that margin for all that fun stuff getting out of debt it's amazing how that works the reason an old fart like me laughs at something like this is because i remember when i got broke i mean i got married i was so broke i couldn't pay attention and i can guarantee you neither one of our mothers gave a crap about our little relationship so dave should take sharon on vacation my little daughter is not gonna no her mother's like you you can people only get your butt and gear and work that would have been both of our mothers i mean they would have had none of this i mean but but it's a different thing now so it's a little bit of a helicopter parent kathy that's what we're hearing if kathy cares so much just send him on vacation no gift it to him no don't interfere she's already interrupted these grown people be grown people you quit helicoptering um that's what i read here now if kathy if i'm being mean to you and you get your little feelings hurt i understand she'll call in or email you yeah she'll send me an email but it's okay i'll still love you and i'm just gonna make fun of you for being a helicopter mom and you're sweet you love your daughter but you need to let her toughen up a little bit it's not gonna kill her she's not gonna lose her relationship her husband's not gonna hate her she's not gonna hate her husband because they can't go out on a date night sharon i didn't even know what a date night was after we got married prior to getting married we had date nights but after getting married and i mean we were married five years before this whole date night thing that's true yeah you're supposed to go out on a date on tuesday night back then you're going steady right that's what it was no we were just married it's like the whole thing was a date you know it wasn't like we had to go out somewhere into a restaurant to prove it so but it's just but that's old fart stuff so the times have changed get with it back before their ears ended what began with an art before ought 22 you know oh my gosh but yeah uh yeah such a boomer showing your age yes definitely yeah i i just but you know but there is something about new york i did i went to a podcast with mark mike rowe this morning dirty jobs and mike and i are like brothers from a different mother on this stuff and so we were we talked for an hour the podcast went on way too long just two bucks i think i messed up his podcast but um um i don't know when it airs but y'all be listening for it he and i were having a lot of fun and they happened to record it too so but we were just talking about entitlement and snowflakes and and i was bragging on the millennial generation because i always do you know that george i have a good reputation for bragging on them the ones you meet and hear at least but the uh well i meet them everywhere they work on our team there's a bunch of them and they work hard they're the portions of the millennial generation are amazing portions of mart but we love the portions that are and and they make great that you know i have great marriages we see them in here doing debt-free screams and all kinds of things but the ones that are entitled snowflakes the where they come from is this right here and that parenting is what leads to that this right here this is who has a 31 year old living in their basement that's really good at nintendo really good at call of duty and nothing else and uh because you know why we washing his own clothes it's just too much to ask you know so making up your own bed oh my gosh it's a lot of work yeah so i i'm making fun of you kathy but i tell you what if if it's not you it's somebody else out there like you that i'm making fun of you pointing to a bigger problem there you go thank you very much it's not about this it's a macro discussion and you opened up the can of worms so yeah that's the thing so no um no we shouldn't modify our plan i'd modified it in 30 years live like no one else so that later you can live like no one else it's in the bible no discipline seems pleasant at the time but it yields a harvest of righteousness rim shot this is the ramsey show [Music] [Applause] [Music] so [Music] if you're not using puretalk for your wireless you're paying too much puretalk gives you the same great 5g coverage on the same 5g network as one of the big guys for half the cost the average family saves over 800 a year go to puretalk.com and choose the affordable plan that's right for you with their 30-day risk-free guarantee you have nothing to lose go to puretalk.com and enter the promo code ramsey to save 50 off your first month [Music] [Music] george campbell ramsey personality is my co-host in the lobby of ramsey solutions on the debt free stage chris and jennifer are with us hey guys how are you all doing awesome welcome welcome where do you all live tucson arizona cool welcome to nashville how much debt have you paid off 330 thousand dollars how long did this take just about four years dave good for you and your range of income during that time uh at the start it was about sixty eight thousand uh for one year throughout this journey it jumped up to over three hundred thousand whoa and we're back down to about 110 now cool what do y'all do for a living i'm a pilot in the air national guard i'm a stay-at-home mom what happened to get it up to 300 for one year well i took a lucrative job opportunity deploying overseas and uh it was a big sacrifice uh five months out of that year was gone overseas but um that's what jumped us ahead so many years yeah you made a ton of money in a short period of time paid a price to do it yeah through the pandemic wow oh during the pandemic yes sir i was supposed to be gone for three months and that turned into five yeah because yeah man so you're uh a civilian contractor yes sir time in the international guard i'm back at my unit full time now yeah okay all right but at that time i mean that gig you took yes sir is in the sandbox civilian contractor yes sir okay cool all right so four years and 330 000 that looks a lot like a mortgage was it uh two cars and a mortgage yes sir wow house has paid off look at the weird people so i love it i love it i love it where do you guys what's this house worth uh today it's probably about 360. nice very nice and it's yours it's all mine it's all yours i'll tell you what the turf in the back feels so good on my bare feet i bet it does i bet it does i've heard the rumor that's amazing how old are you two 35 tomorrow i'm 34. wow happy birthday for the paid four house you guys are incredible paid for 360 000 house at 35 years old wow busted it so four years ago you guys had two cars live in normal you got the mortgage what made you go all right we're gonna go hard at this thing oh we were so normal i mean gosh growing up my mom always played dave's show in the in the car um i knew his voice and i knew the music but i had no idea what the teachings were about um but goodness gracious through pilot school we were blessed to meet uh jacob and cassie warren who turned us onto your show they were under 30 years old and had two paid for houses strategies so we're like we have forgot to get on that group you're willing to listen to them you're like whatever they're doing let's do that these people are going to be rich yeah they had two little girls too and we were like if they can do it and they're our friends and just normal people we can do it too absolutely they didn't look like they had a superman cape or anything they just just did it normal weird people so they coached you up and got you back involved now you're listening to the show and actually listening actually listening yeah i'm a pilot the first thing i did was got into your uh website and there was seven steps and as pilots we checked checklists yep all day every day i was like i can do this come home to her hey show her the amortization chart on our mortgage we could buy another house with all the interest that we were paying on our mortgage a big shout out to bob barker and casey woods who just steered us in the right direction to make us go gazelle intense with your program as well wow very cool so he comes home with he's all got his checklist you know he's doing his pilot thing jennifer what'd you say at first i said no no i remember the first time you told me we were going on a budget and um i was like what what is a budget and that's not enough no and then uh he took me to goodwill and then he said this is where you're going to shop now oh my goodness and i was like what this is not how you sell this there's dave there's nothing sexier in embarrassment an amateurization schedule and don't you know we're supposed to modify this and leave room for your vacations and for your relationship and i know that now dude i'm kidding i'm just staying the last thing oh my gosh but you know what it became like a game i would take 20 bucks to goodwill and i would see what i could get and wow you bought in huh oh yeah no i totally i furnished our house and our backyard with stuff from marketplace and goodwill i think everything is probably under a thousand dollars bedroom sets couches play yards all that yeah and it's not junk no it's not drunk no it's amazing what you can get it is it really is that was her full-time job for a long time yeah well and and paid for itself easy yeah absolutely yeah yeah instead of uh that'll be 50 000 and that'll be 150 000. and the playset is 450. the kids don't know the difference it's amazing how much you save like we were looking at a new sofa and it was like six thousand dollars yep i got mine for 50 bucks oh and it wasn't dirty nasty it's not horrible no somebody wanted rid of it somebody rid of it that's all it was yeah one part of the story we just feel need the need to mention as well um the reason why we finished in four years instead of six or seven uh just this past august my father passed away and thank goodness he was actually good with money he had savings for retirement but gosh at the age of 56 way too young um fortunately though he was thinking ahead and um and set us up for success in the last 75 of the houses was paid for by an inheritance oh wow from him wow that was a huge blessing in in his life well and it's something that uh that when you did that you know he's smiling absolutely this is what he would have done absolutely yeah yeah that's bittersweet bittersweet i'm sorry for your loss appreciate it yeah that's way too young oh man well way to go you two you're absolute freaking heroes all right now tell america how do you have a paid for house by the time you are 35 what are the things you need to do to get out of debt two things for me is really have a why you know have your goal and the second is not just having that goal but have that high definition vision on how you're going to achieve it that's exactly what we did we sat down at the dinner table and we dreamed in high definition on not exactly where we were going to be not exactly when but exactly how i would say don't worry about what people think about you you know because um the right friends are going to stick and the wrong ones are going to go and you just have to worry about what your family needs you know your goals and um don't worry about the judgment you know now we can give so lavishly did you have some haters i did at work so while there's a short period of time we weren't flying and every day where are we going for lunch i'm like i brought my lunch where are we going for lunch i brought my lunches and they're just hating on me like oh you can you can spare you're a pilot now it's okay you can go out for lunch every now and then i was sitting there with my uh orange lunchbox every day i love it i love it wow so jennifer some of your friends go go stink eye on you well they're not my friends anymore she cut them out just like that yeah don't mess with jennifer that's it jennifer i mean he's he's got lunch box she got there you go hey i'm just saying wow way to go you guys okay very cool very cool who were your biggest cheerleaders his mom absolutely yeah she's listening right now thank you angela yeah she used to make him listen when he was a kid in the car so he's a financial peace baby all the way yesterday yeah i love it very good all right well let's bring the kiddos up what are their names and ages natalie's eight emily's five oh perfect cute you gotta jump onto youtube just to see yeah you guys gotta you guys gotta look deeply into your radio and see this man this is pretty incredible with the stuffed animals that's a good why right there absolutely that's a good why well done mom and dad all right well here we go we got a copy of the baby steps millionaires book for you that's the next chapter in your story for sure and uh also a copy of the total money makeover book for you to give away and maybe one of those friends will be converted that used to be a friend or something you never know hardcore man i love it chris and jennifer natalie and emily 330 000 paid off in four years making 68 to 300.110 count it down house and everything let's hear a debt-free scream three two one we're dead free [Applause] i love it there's nothing better than those little voices doing that because that means that his mom their grandmother legacy has continued listen to the radio in the car and hear us now her granddaughters are sitting there in a paid-for house because of her man that's powerful makes me cry i love it this is the ramsay show [Music] [Music] [Applause] so [Applause] george campbell ramsey personality is my co-host today colleen is in cleveland ohio hi colleen how are you good how are you better than i deserve what's up well i'm calling a future planning question my mom passed away about a month ago and the legacy that was passed down to her was from my grandparents and there's not a whole lot left um just about when i divide it up between my siblings probably about 15 000 a piece and i'm trying to decide or figure out how do i create a legacy that represents the life of my mom it's my grandparents i'm so sorry what did she uh what did she pass from um she actually died because she had gangrene in her foot that um became infectious she had a lot of other issues but that's ultimately what what she passed away from how old was she 76. okay so she's obviously a great mom she was and your grandparents too huh yes they were good good well that is a legacy right there that the two of them those two generations have woven into who you are on and if there was no money left that legacy still lives just in you and and and what you do to pass it on um what do you have in mind what are you thinking about i don't know my mom always loved to create spaces and environments and opportunities for the family to gather and be together and my grandparents actually had a summer trailer just on a piece of property that was their summer home and that's where we spent all of our summers my mom was basically a single mom and the inheritance from my grandparents allowed her to live to the age that she was at so they saved very well and we were kind of thinking about is that something we should do we have six children they all live relatively close um but it would be something that we could all go to in the summers and hang out and have campfires and camp out and as the family grows we could put tents out and that kind of thing but we also want to be able to play for like piano lessons and soccer clubs and different things for our grandchildren we have six children between us and um two grandchildren right now but sounds like a lot of work for fifteen thousand dollars it does like you're asking that 15 000 to work awfully hard yeah so um it sounds i mean i don't know what a lot costs in your area that you're thinking of um i think what i would do is uh pick something that is doable um and i don't know i'll tell you what ran through my head and and i it there's no there it doesn't mean it's the right answer okay um i'm i'm kind of channeling my inner dr deloney here for a second um god help me i have i have a little inner doctor that's a really scary thought when you think about it but anyway the very little but the uh uh he's kinder than i am but i i uh the the tent thing on the lots is trying to recapture a time that is no more and i might try to do something that was the new thing that is the way the family does something rather than something that is trying to recapture an old thing that is not anymore uh uh and also it just runs through my head i don't know how you buy a lot for 15 grand that'll do that but i might be wrong um maybe you can maybe you've got maybe you've got one in mind i don't know but if you do that that's okay i'm not mad about it i i i wonder if there's the thing that and you every time you do the new thing you say brought to you by mom and grandmom you know and whatever that is and just and that's the way you honor them and it could just be that we all gather somewhere and we use this money to pay for the gathering you know uh you know it doesn't necessarily we have to own a piece of ground and it's always the same thing every time maybe it's uh we rent a place for a week and it's a couple of grand or something like that and everybody gathers there and uh you leave the money and let it let it generate uh interest in the meantime right i'm making this up i have no idea colleen but um i i think what is more important than actually selecting the perfect thing and if you mess that up you didn't honor their legacy is just going their legacy is already built in the fact that you even asked this question colleen what's your financial picture look like are you guys out of debt do you have savings yeah we're in baby steps four five and six we have our emergency fund is fully funded for six months and we're working on paying the house off we have about ninety eight thousand dollars left on the house i just go back to they were such good stewards of their money and that's all you need to do to honor them is be a good steward of that and that looks different for everyone but there's nothing wrong with throwing it on the house and getting the house paid for and later on you buy the land when that time comes you do it with cash you're gonna honor them with the way you live your life forever and the fifteen thousand dollars is just the starting point yeah it's it's it's not a million five that you can create a foundation with that's gonna always that the income off of it is gonna be endowed and the en what endowment means is you put enough money in there one time that the income off of it will do the thing forever that is the honoring thing the memory thing or whatever and it's not enough there to do all of that um and so i'm going to step back and do probably go george's route or just pick something that um we just say this is the new thing and each time we do it we say brought to you by your grandparents and this is the they they value the fact that we gather together and so we're gathering together which by the way is a huge gift families don't do that enough um it's very difficult to do chris is with us in cincinnati hi chris welcome to the ramsay show hey dave i'm glad to be here but i'm kind of um not real good on the radio it's okay just ask your question right quickly okay we're not gonna miss you ask your question what you got my question is i got this medical bill on my uh debt snowball it's about in the middle of the death snowball and the payment on it is the highest payment monthly payment i have it's larger than our refinance mortgage and i'm trying i'm wondering if instead of leaving it in the middle and just having it sit there if i should pay this off first ahead of some of the other loans that i have to get rid of that huge monthly payment and you know i'd be able to put that towards the other debt afterwards but freeing that almost 800 a month would give me a bit more flexibility if something happens down the line and we need to you know kind of scale back on on paying off the debts well what's the total balance of it it's twelve thousand dollars right now and how old is that medical debt it was from september it was a surgery i had in september okay pretty recent well i would i wouldn't mess with the debt snowball because it works every time you work it and you're going to get to that debt sooner than later with these smaller payments getting knocked out how much how how fast is all going to happen right now on your timeline if i left it where it was it would take around 13 months to pay off the other deaths that are ahead of it it'll almost be paid off then it'll be paid off then 800 bucks on 12 000 in 13 months it'll be gone yeah that's well i think it's about 16 months on its own yeah but i mean it's just about going to be done you will have eaten through it just paying the minimum payments yeah it's i'm just looking at like if i were to move the extra that i have i wouldn't it would be i would often nine i wouldn't i would stick right with the debt snowball i i think you're you're going to be done in the same time regardless of which way you do it if you follow through but i'm going to stick with what we have used for 30 years that has worked and and that is you get those little ones paid off you're going to get a sense of traction you're going to get a sense of destiny and i like the fact that you dread this bill that you hate this he's angry at it that you're angry at this bill it's gonna cause you to lean in and push right on through it so i'd leave it right there as just something to be pissed about so it keeps you moving you know i use a good righteous kind of anger here nah leave it alone dude leave it alone i appreciate that you're thinking about it but stick with the plan it works i'm with george that puts us out of the ramsey show in the books [Music] hey folks ken coleman here did you know the ramsay show is one of the most popular podcasts in the world it's your daily dose of advice on life and money check out all of our shows from the ramsay network wherever you listen to podcasts [Music] this is the ramsay show [Music] you can be intentional about your character you can have money and a career you are the hero in your story live from the headquarters of ramsey solutions it's the ramsey show where debt is dumb cash is king and the paid off home mortgage has taken the place of the bmw as the status symbol of choice i'm dave ramsey your host thank you for joining us america george campbell ramsey personality is my co-host he's also the host of the entree leadership podcast as well as the fine print the first season of that podcast is online and available now and oh anywhere you listen to great ramsey networks podcasts and it's pretty incredible check it out we're here to answer your questions about relationships mental health about your job your career about your money your life it's a free call at triple eight eight two five five two two five nick is with us in new haven connecticut hi nick welcome to the ramsay show hey how are you dave great how can we help hey um i've been um watching your youtube videos for a little while now then i have i don't think i came across this question that anybody asked i currently own a condo in new haven which obviously has the standard property tax hoac and all that stuff but because the complex needs some exterior maintenance done they've added a special assessment on to um our monthly payment so would you consider that part of the lump sum mortgage keep it on as your as like the mortgage equivalent and pay it out through the five years that the condo association has for the loan or would you consider that a type of consumer debt that i should pay that in that mix as well how much is it uh over the five years it's about seven thousand plus about 135 a month yeah i it doesn't matter you need to get it paid off either way you're either going to pay it off when you pay off the condo or you're going to pay it off as baby it's either baby step two or six but you're going to get around to it you follow me so um yeah it's there's not a and it's probably no interest it's probably just a straight assessment correct yeah the the interest on the loan that the condo association took out is already stacked into our monthly payment so i mean if you pay it off you don't get a break the the they will they will let us pay it off either on the month by month or you know if i get a bonus at work or something we can pay it off individually whenever but they're not charging you interest so it doesn't save you anything to pay it off early no yeah so as far as the interest you're being charged is zero it's a simple seven thousand dollars divided by five years yeah 60 months so 135 a month yeah so uh i like the cleanliness of just getting rid of what's your household income um i start actually start a new job on monday it'll be about 110. yeah i like the cleanliness of not having it there i don't try to like my my i learned to quit thinking like oh it's no interest so i'm going to use this money and i i in instead it's just a stupid bill for me um because you're not gonna get rich because of either thing you do here okay but getting rid of it there's a simplification of your life a cleanliness to your life you make enough money i'm probably putting in the debt snowball i don't know what are you feeling george yeah i mean if you're in babysit for and beyond and you've got the cash i'm gonna pay it off but if not i'm gonna just make it part of my my debt payoff it doesn't feel like consumer debt he didn't go into debt for this so you can look at it as a budgetary item that's on top of the mortgage but i'm with dave and that i'd rather not have it in my life and have the cash flow back every month if you have the cash to just get rid of it yeah it gets paid one way or another you sell the condo you refinance the condo someday you pay off the condo someday or you pay it off now you have to pay it regardless so it's gonna get paid it's not going away so it's they've got a you know special assessments a lien on the property so uh if you sell it it'll show up in a title search so um you know it's it's going to get paid but uh that's not the question so it's just a matter of when and it's only seven thousand dollars if it's seventy thousand i might let it lay over there baby step six but it's just not that much lee's in baton rouge hi lee how are you i'm doing good dave how you doing better than i deserve what's up um i'm well i'm 31 years old married and have two kids um self-employed lord's really blessed uh my business over the last few years i'm completely debt free we i've rented for 11 13 years now straight and have moved 11. 11 times in 13 years so needless to say me and my family were looking to either build or buy our first home and settle down of course with me being self-employed the job has has really ramped up over the last three to four years but it is varied because i am 100 commission so my two questions that i personally had um is i've got enough cash to i've cut i've got a couple hundred thousand dollars in my savings account um i have about ninety seven thousand dollars in a mutual funds and uh and about another hundred thousand in personal investments that i personally invest in take out etc with a 25 000 emergency fund with looking at purchasing a home and of course studying my amortization schedules over the last year of looking at homes i'm curious as to whether you would recommend you know the thought process of taking some of the money out of my personal investments or mutual funds and pay cash up front for the home yes or not touch those oh definitely do that definitely pay cash okay okay um pretty and so you would you definitely recommend taking out then you're saying out of the mutual funds account to put that down towards the home it's not in a retirement account it's just a mutual fund right correct yeah what are your personal investments in uh i personal stocks where i i you know invest day trade on the side um a little bit of cryptocurrency etc um what's your what's your household income what are you making a year well i'm a logistics broker um and it's it's really it's really increased over the last three years so two two years ago i brought in 125 000 last year was 3.25 and this year is on pace for between a half a million to 650. wow but as the supply chain crap calms down that's that income is going to calm back down agreed and that's yeah and that's what i wanted to press it all of course with that being the case it's really been blessed and you know i obviously believe in the lord to keep his hand on the business uh but yeah but i'm under an illusion you're gonna make six and a quarter the rest of your life correct i 100 i'm with you yeah and if you don't have a mortgage payment that changes the scenario as far as you being commissioned and worrying about what's going to happen this month i mean you've been working your tail off and you're good at what you do so you deserve every bit of this and i'm really happy that you're prospering this way way to go dude touchdown uh but i'm i'm not gonna be under any illusion that i win the super bowl every year yeah um you know i think you'll still be in the game you're a stud you're gonna do that but yeah i'm going to use this as a windfall as if you got an inheritance or as if you've got a one-time bonus or whatever a signing bonus whatever something like that i'm going to treat it like that and just pay cash for this house and now i've got that piece of my life that has settled forever that's very cool definitely paying cash dude definitely paying cash this is the ramsey show [Applause] [Music] [Applause] [Music] look i love real estate and i want you to have a house but i don't want a house to have you that's why you need to get in touch with churchill mortgage to make sure you do this right these guys are awesome they'll help you get on a smarter mortgage plan because they're committed to doing what's right for you that means they check in every year with free consultations to help you stay on the right plan they show you how to save money and interest so you can build wealth faster they walk you through the total cost of your loan so you can make the best choice basically they care that's why we call them ramsey trusted you can achieve debt-free home ownership and churchill is here to help go to their site churchillmortgage.com ramsey to start your approval or get more information [Music] so [Music] um [Music] guys if you're uh wondering whether to buy or sell a home this year we got some answers you can expect the market to be a lot like last year price is still kind of cray-cray interest rates are expected to go up and uh what can you make of all this well if you're buying a home you might be up against some heavy competition and hefty price tags and increasing interest rates and if you want to sell a home chances are it's going to sell quickly top dollar of course that all depends on where you are every real estate market's different but to win in any market what you really have to know what you're doing so you need to work with someone who knows what they're doing you've experienced real estate agents at your finger you have real estate experience real estate agents at your fingertips through our endorsed local provider program as ramsay trusted pros they care about your values and keeping more money in your pocket check out ramsey solutions dot com slash agent this is not amateur hour it is not a time to go it alone out there you need a pro and not a beginner somebody does a lot of transactions and knows their stuff in your corner ramsey trusted agents are just that ramsey solutions dot com slash agent kathy is on the line in buffalo new york hi kathy welcome to the ramsey show hi dave and george i'm so i feel so very blessed to be able to talk to you um how are you guys doing today great how are you i'm i'm good um so i'm gonna try to keep my question as brief as i can i'm a registered nurse i've been i've been one since 2007. um i'm a single mom with no support from my son's father i have um i i have been on track to get all my debt paid off and um i'm also a veteran i was in the army and had a injury that resulted in us increasing my disability from 10 to 70 the the amount that i got from the disability increase is um i'm holding on to that so that i could pay my student loans off in august of 2021 i was injured significantly i shattered my elbow and it required surgery which then has left me with um minimal use of my arm um i'm at the point now where i'm realizing that my recovery is not going as well as i thought um it had the injury not happened i would have paid my student loans off and only been left with the debt on my house and now i'm confronted with do i hold on to the money or do i go ahead and pay my student loans off keeping my thousand dollars in my emergency fund i'm sorry tough time it's a tough thing you've been through and all the pain to boot um so two different injuries one one when you were serving and one as a nurse yes okay on um uh unassociated with each other right yeah okay all right um what's the balance on the student loan uh approximately 13 000. what were you making before you got injured this time well this this year uh was the first year that i cleared over six figures my um my growth was 100 around 105. what type of nursing were you doing um i was working at a cancer hospital in buffalo and um doing clinic work okay so you're interfacing with patients directly correct okay and so they usually the use of your elbow becomes a really big deal in that setting um the problem that i'm having is i i could probably do administrative stuff but in order to be medically cleared to go back to the job that i have they won't allow me to come back light duty which means i have to be able to function in 100 capacity um including bedside nursing and that's not something i can do yeah so you may need to change jobs and but i i but i bet you there's some administrative type nursing that you can do with this limited mobility can't you um i believe so yes yeah yes and i'm looking at my options there's always case managers yeah care coordinators uh legal nurse consultants so i'm aware of those yeah um my question really lies in the fact that i'm i have an amount that i could pay my student loans off well here's the thing the the shakier your future income is the scarier the idea of plumping that down on the student loan is agreed absolutely yes so let's solve the future income issue and then plump it down you need to decide what you're going to be doing next because you're not going back to the old job okay because it does give me a bit more security mentally and emotionally but i'm not going to sit there and burn through the money i want you to go get a new job right right okay okay so you're only i kind of have the feeling this is the first time you've said all this out loud even to yourself well no to myself but um you're not going back there never said it out loud to somebody else i know but you're not going back there have you said that out loud to yourself um because i break that breaks your heart a little bit doesn't it yeah i'm i'm grieving yeah um i'm grieving that part of it yeah yeah not only the pain and the injury i don't want to believe i don't want to believe that that's this is it yeah oh yeah it's not it it's just time for a change because the the elbow's not gonna do the thing that you did before is what you told me now i i'm not a medical person i was going with what you said no i you're correct okay well you're correct is what we're saying so um yeah but it's still it's it's it's part of the i mean the injury you you got hurt and that you have the actual physical pain but there's also the emotional pain of all this change that this forces on you and after you've been struggling and fighting and scratching and clawing as a single mom it's just not fair you know it's just it makes me mad and it's not even me you know yeah i've gotten past that okay all right the hope is that you got you got done with the pity party already okay we agree i've moved on okay party over now this isn't forever but the hope is that you heal up and we get you back to doing exactly the thing you want to do but for now we've got to have a new picture of what this looks like in the season as you heal and that looks like finding that new job getting stable getting rid of the debt and then we're in a whole different place the absolute saving grace wonderful news of this whole conversation and you already know this but i'm going to say it out loud it is that you happen to have picked a career that gives you almost infinite options there's a thousand different things you can do as a nurse you know thank god you're not a doctor or that's a specialist and it can only do one thing you know there's a thousand a labor worker that that needed that elbow to be able to do my job yeah yeah but there's a bunch of different things you can do with that elbow messed up that are that may make you as much or close and once you land that then putting plunking the money down on the student loan is a no-brainer agreed i agree yeah but i i'm with you i'm okay to say we're in the middle of a storm so we're going to push pause not and not we're not going to be lazy about this we're going to address the issue i mean like you said no i i agree with that and i i'm just having a hard time uh mentally switching from i've been in um gazelle intense mode to get all my depth paid off and then all of a sudden i my gazelle hit a brick wall yeah gazelle broke his elbow perfect analogy yes so we get we give the gazelle a break and let him heal and let her heal and um then we restart and you know you're but you're you're done we've just got to stabilize the situation to write the check is all and and then you're gonna be able to do it i i cry with you i can't imagine what you're going through you're a warrior warrior princess i'm proud of you you keep fighting it girl don't let up don't let down so um i could tell by the way you addressed all this it's pretty incredible i i think i think at a year from now you're gonna look back and go well oh well this is the ramsey show [Music] if you're considering a career in technology i recommend bethel tech and i'm not alone here's what brendan said before bethel tech i was driving uber within four months of graduating i got a job paying 60 dollars about two years after that i got a remote job that pays me a hundred and thirty thousand dollars all thanks to what i learned at bethel tech you could be next get started today at betheltech.net and get one thousand to twenty five hundred dollars off of your tuition again it's betheltech.net ken coleman [Music] george campbell ramsey personality is my co-host today thank you for joining us america in the lobby of ramsey solutions on the debt-free stage dan and heidi are with us hey guys how are you we're fantastic cool so you're walking around our lobby with t-shirts and say weird people yes yes and we in our lobby we all understand what that means but if you walk through the mall with those shirts on you could get arrested right people keep their distance they do they're weird people they wear t-shirts they're proud of it i like it all right so how much debt have you guys paid off 194 834 dollars love it how long did this take 27 months good for you and your range of income during that time we started around 150 000 and ended about 200 000. cool what do y'all do for a living i'm in sales i do accounts payable and receivable for a local school district ah wonderful so what kind of debt was this 195 thousand dollars actually it was all real estate dave we had uh three homes we had been out of debt other than the real estate for a couple years and we went to we took financial peace at our church and that got heidi all fired up she's like we need to pay these mortgages off go heidi go hiding wow so that's what we did and uh there were three mortgages there was actually four mortgages we sold one of the houses that was kind of the hardest thing for me to do because i bought this house years ago and it was a retirement plan i'd you know listen to real estate and i wanted to do that kind of retirement and uh so when we decided in the class to sell that that was that's how you did that spring we sold it for about a hundred and i think we owed about 25 20 20 25 okay so 75 of the 195 chunk with that the rest of it your cash flow out yes okay you knocked him out and that's your house and everything house and everything so it's official you're weird people you're weird so what's your home worth uh probably about 250 000. cool and what are the what's the other real estate worth uh probably we would we decide about 250 000 between the other two homes yes somewhere in that range about a half million dollars and paid for real estate right very nice very nice so how much do you have in investments in your retirement that kind of stuff before or after we the new administration so i no we have about uh uh four hundred five hundred thousand five hundred dollars so your baby stops millionaires we are on this we did it we're very close yay way to go you guys thank you proud of you well done okay so the church is teaching financial peace university you guys go in there and heidi goes uh you're the salesman i'm the numbers person we're paying off these houses i'm all in you're coming with me that's why i told sharon we've been married 40 years i said if you leave i'm going with you absolutely oh man way to go you guys thank you excited now that busts into everything the culture tells you not to do you're perpendicular that's why we call it weird people and that's why weird people around here is a compliment because normal's broke and in debt and you're not either you're millionaires with paid for real estate paid for home um and so you you came you bucked right against the culture how did that feel when you first started doing it it was it was different go ahead well to me it was a little bit more on my normal side just because i'm the budgeter i'm the one that says we should spend this amount of money and dan was like no i've been single for a lot of years and i can spend whatever i want because it was only me but now i said now it's the both of us if you'll look beside you you will notice it's not only you yeah absolutely uh yeah how long y'all been married ten years in january all right good good so now that you did it now that you busted through it the tough 27 months got rid of that property made you cry a little bit when that one went away and uh uh but now you're free how's it feel awesome great such a weight lifted off so it's worth it absolutely yeah every bit of it every day nowhere to go but here from here but i mean your baby step seven you're just gonna pile up money now you guys gonna buy more property you think we're looking about a beach house maybe he's got a shell in his pocket a shell in his like a magic trick and that shell does not come from nashville i think he's been dreaming he has been dreaming this uh he's carrying that around this is a thing right here good good for you i think you should that's a good idea very well done well you got you need to have a goal you need to have things you're aiming at and you know your enjoyment of the money that you're outrageous generosity uh these are the things that that make all of this worthwhile and uh and and you're you're on track to do all of that so way to go all right now people are listening and uh they say all right how did you do this what do you say the key is to getting out of debt mine's pretty simple spend more money or spend less money than what you're making that's a big a big it's simple but it's that's the deal yeah mine is stick to the budget that we set up or that i set up and he would make one one or two changes and then i'd say you got to stick to it and you can change it but now you're locked in baby exactly yeah yeah that's the trick to get them locked in yeah that's good very good way to go you gosh now it's habitual we have the app and we just every time we spend two dollars on a soda it goes in it goes in the every dollar app and then we know where it's going heidi's watching yes she is nothing's slipping by her i like it i like it hey you gotta have a plan and this is it man so it's a system now and you know those of us that are salespeople uh we have a tremendous ability to earn money uh but almost all and i'm one almost all of us that have that that uh that zest to that ability to go make money selling uh also have that goes with that we have this mistaken idea that we can out earn our stupidity and so you need a heidi in in there going no here's the plan stay on the plan now you're locked on the plan we're staying on the plan and i had to do that to myself and and sharon with me of course years and years and years ago but i realized that that's what i was doing i was trying to out earn my stupidity yeah i did the same thing when i was we got married uh i was gonna run the checkbook pay the bills i'm the man of the house that's what he does and uh so but what i would do was if if it was 12.85 it was 13 in the checkbook i just round up then i wouldn't have to worry about balancing i always knew i had more money in there than what it said and she she really didn't go for that that's not how you do it that's not how so it works for us she pays the bills it does the checkbook well way to go you guys we're very very proud of you congratulations we got a copy of the baby steps millionaire book for you since you've hit that milestone you can enjoy that you should be in there and you're yet another person another couple that has pulled that off and uh also a copy total money makeover for you to give away to someone uh tell folks out there i mean you've been married 10 years you guys are how old 56.56 okay so it's not too late you can do this in the last 10 years you guys have completely revolutionized your lives and in the last 27 months you have for sure yes you can do it you can do it whenever right exactly because a lot of the folks come on the show or 30 years old or 27 years old or whatever but uh you know we had a lady on here the other day that was 70 something um that did our debt free scream and so it's you know it's just math right and it works when you're 70. and it works when you're 27. uh you know and so you you can just do this and you guys did it i'm so proud of y'all well done thank you very very very well done all right it's dan and heidi from ohio 195 000 paid off in 27 months making 150 to 200 100 debt free house rentals everything they are weird people and baby steps millionaires to boot count it down let's hear a debt-free scream three two one we're done [Applause] this is how it's done man nothing boosts the sound of freedom i'll tell you that well they are a true example of the two ends the nerd and the free spirit that love each other so much that they decide to work together to accomplish goals together and they gave up each of them gave up pieces of things to get to where they were going that's beautiful sacrifice well done very well done over 14 million dollars paid off in debt-free screams so far this year wow wow this is the ramsey show [Music] [Music] our scripture today proverbs 27 17 is iron sharpens iron so one person sharpens another luisa may alcott said it takes two flints to make a fire i'm dave ramsey your host george campbell ramsey personality is my co-host today as we answer your questions about your life and about your money carmen is with us in los angeles hi carmen welcome to the ramsey show hi thank you for taking my call sure what's up um i'll try to keep it short but i got married about a month ago i have no debt i've been following you for years no debt and i have a house and my husband um he's new to ramsey he's got a house and he's got some vets so i moved into his house i'm going to be selling my house so with that the proceeds from the house um do i put that towards his mortgage or do i pay off um his debts that's where i'm kind of wondering what to do yeah what kind of debt does he have outside of the mortgage um outside of the mortgage it's about 80 000 um he's got some credit cards he's got a trailer a utv and uh solar okay well that kind of debt would fall into baby step two in our plan and the house would fall into baby step six so we're gonna pay off that 80 000 first but my my bigger concern is is he on the same page financially does he want to stay out of debt once you guys are out of debt yeah we're trying to do the baby tips to get out of debt and stay out of debt okay i just want to make sure he's on the same page have you guys gone through something like financial peace university what's his knowledge of our plan um he doesn't really have much knowledge about the ramsey plants i've you know kind of been telling him about it and you know i watch you and i listen to you um but he's sort of new to this whole thing you know budgeting and stuff so i'm going to be you know doing the budget on every dollar i just don't want you doing this solo and he goes well i'll do whatever but you're going to be doing it this has to be a team effort so i'll give you it as a wedding gift if this all works real good lee wants a new truck i'm sorry i said this all works real good till he wants a new truck yeah well he's got um our cars are paid off he's got a mustang you missed my point you missed my point yeah yeah yeah i get it now yeah when he decides when when it's no longer convenient for him to go along with this idea it's not his idea anymore that's when this is all going to turn into a bad plan so um yeah i'm not trying to beat him up and george isn't either that's not the point he just is he just does not know what you what the three of us are talking about and but i i really want some emotional relational commitment and buy-in from him based on knowledge not based on he's just doing what his new wife wants him to do okay if i'm you i want that and that's your safety because here's the problem if you take the money from your life and you use it to pay off his mess and he wants to go back into a mess you're going to be like triple pissed off right that's always wondering if i should just use it to pay down the mortgage no it's his mortgage too same mess yeah same guy yeah so the deal is you guys what i what i want you to do is invest some time in the two of you uh let me just give you a wedding gift go through financial peace university i'll give you ramsey uh plus and and that's every dollar and everything built in and the two of you go through that and before you do anything with this money the two of you need to look at each other and be completely down to your soul aligned on this because you've got a real clear picture of what this is and we're all just kind of hoping he's going to come along and and all of our concern here is not really about your husband it's about all the other times we've heard this story five years later and it didn't turn out well yeah because we didn't get alignment so i think it's an opportunity relationally for you all to get alignment and that's what george was bouncing what happens is when you leapfrog the baby steps which is fantastic that you get to do this with your financial situation there's no sacrifice and when there's no sacrifice there's no true behavior change and i'm not saying that he's not willing to change i just need some proof before we go do this nice thing and then he's back in debt three months from now or forcing or aggravating you because he wants to and now you're the nagging new wife rather than because we weren't aligned on this is how we're going to live our lives yeah so hang on i'll have kelly pick up we'll get you signed up as a wedding gift you guys go through financial peace university before you start writing these checks in the meantime just put that money in an account and also by the way you need to get the the situation changed with his house that it becomes our house with your name on it and um there needs to be wills done on both sides that that house is yours upon his death and accounts you don't pay off his house and he leaves it to his kids from the first marriage or something like that no thank you or his mother or whatever i don't care because it was his house until you pay a bunch down on the mortgage and then all of a sudden it's not his house anymore it's our house so we need to get that lots of clarification there real clarity you do all that then this is a very safe and good thing to do with the money michael is with us in austin texas hey michael how are you hey dave i'm doing good how are you better than i deserve what's up hey i have a question for you i have a rental property that i'm looking at selling due to the current current market value increases and with that money from selling the rental property i'd be able to pay my house off yay but but i am a business owner and with the current supply chain dilemmas that we're having i'm thinking that i may need that cash to invest it back into the business here in the future why so do i pay the house no why what's wrong with your business well just supply chain needing needing it potentially for overhead or something like that nothing's wrong with the business it's just well something's wrong with it if you have to feed it that's true okay so what what i mean why would you run out of business why would why would the supply chain shut you down because uh so we're in we're in roofing and uh roofing materials are not readily available okay so you're having trouble getting you're having trouble getting shingles and so forth okay correct all right all right so this is not uh investing into your business this is causing your business just to stay open so yeah correct yeah you know are you making payroll are you staying open is everything okay so far yep yep yep but it's just the unknown right yeah petroleum is it i mean shingles are still petroleum-based aren't they correct correct which really screws this up okay yeah do you have any retained earnings or savings for the business uh yes yeah how much uh about five six months worth how much how much uh uh shortage are you anticipating uh we're anticipating this to continue into 2023. yeah but this being are you completely shut down you can't get it at all or you're getting limited amounts it's it's delays yeah it's just the delays so we're we're forecasting everything we're watching everything and we're monitoring it we're on top of it it's just again it's just the unknown well i need that i mean as a business investor will i need the cash to put it into the company at some point what's gross revs at the company now uh about nine million okay and what's the house selling for a house will sell for about 550 and still owe about 240 on it okay so we're discussing 250 000 keeping a 9 million operation open if you're if you're off by 250 000 you're screwed you're not gonna make it anywhere okay yeah it's 250 isn't going to take you out 2.5 3.5 may take you out yeah correct so this isn't going to save you anyway okay so i'm paying off my house for sure and then i'm going to just start making the radical adjustments in the business and so yeah you're being very wise to operate this the way you are but i'm piling up uh every dollar of income you get in the business right now once especially once your house is paid off we're going to just be in emergency mode and build retained earnings so that you build your own internal line of credit where you just have a huge freaking pile of cash to weather the storm because the problem with it is you've not just got normal supply chain stuff now you got a petroleum-based product in an oil crisis on top of it so ouch that's what i was afraid i was hearing okay good luck with it brother you can do it i think you're sharp enough to turn it you're gonna be all right but be careful that puts us hour of the ramsey show in the books we'll be back with you before you know it in the meantime remember there's ultimately only one way to financial peace and that's to walk daily with the prince of peace christ jesus hey it's rachel cruz co-host on the ramsay show if you want to do your debt-free stream live on the show visit ramsaysolutions.com debt free screen we'd love for you to come to nashville and tell dave your story that's [Music] debt free ramseysolutions.com you

Channel: The Ramsey Show

Views: 98,668

Keywords: dave ramsay live, dave ramsey, dave ramsey channel, dave ramsey live, dave ramsey live show, dave ramsey live stream, dave ramsey podcast, dave ramsey radio show, dave ramsey show, dave ramsey show full show, dave ramsey show live, ramsey, ramsey solutions, the dave ramsey show, the dave ramsey show live

Id: iBW7uMV961c

Length: 124min 20sec (7460 seconds)

Published: Wed Mar 16 2022