Broadcasted LIVE – July 30, 2019
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sacrifice determination you can be intentional about your character work at the queue gotta be on the same page they we're calling to let you know we're debt-free how's that everything you have done really really good and you're not gonna quit then a huge witness for us to be able to share that it was time to get serious intentionality people this is your show America yes I know it 22 what I know now our lives would be better oh that's changing the world now you don't just listen to the show you live it that is dumb cash is king and the paid off home mortgage has taken the place of the BMW has the status symbol of choice open phones this hour at Triple Eight eight two five five two two five that's triple eight eight two five five two two five well front and center in the news cycle right now 100 million Capital One customers were hacked everything you need to know about data breaches but we're afraid acts can ask a Capital One finance corporate now it's late Monday the more than 100 million people had had their personal information act the hacker got information including credit score's balances zip codes email addresses dates of birth self-reported income payments histories fragments of transaction data and the social security numbers of about a hundred and forty thousand customers and about 80 thousand bank account numbers from credit card customers I in bank said will offer free credit monitoring services to those affected consumers and small businesses who applied for credit cards from 2005 through 2019 or most at risk the hack affected about 100 million people in the US the company couldn't say for sure whether the data leaked was used for fraud but said it was unlikely first heard about the hack on July 19 waited until July 29 to inform customers as a sock hop from law enforcement to catch the alleged perpetrator which has been done by the way Capital One's offered $125 to anyone whose data was hacked or free credit monitoring for 10 years our privacy experts say credit monitoring only looks for changes on the credit report indicating that someone is using your personal information to open new accounts in your name but it does not prevent someone from taking it alone in your name such security precautions are unlikely to help people protect against a hack like the one Capital One announced Monday exposure of data that can't be changed such as social security numbers are the hallmarks of a particularly severe data reach so we've got an inside source at the ad agency for Capital One and you know their slogan is what's in your wallet they're gonna change it too we want to let everyone know what's in your wallet or possibly we could be the side at bar another one they're experimenting with they're gonna focus group this what's in your wallet oh wait everyone already knows that's another possible slogan for them it could change it to that fun picking on Capital One they're an easy target to pick on so by the way let me hit let you know how much of my data they got none because I don't do business with people like Capital One to start with and I certainly wasn't applying for a small business loan or credit card people like Capital One to start with and if you've been listening to me you wouldn't either so you wouldn't been vulnerable to putting up with this crap oh wait we already know what's in your wallet so this article has a couple of good points so it says check your accounts check to see if your accounts have been affected if you are a capital and customer and know the difference between a credit freeze and a lock a freeze means a consumer cannot take out a new loan or a credit card without unfreezing the report first it also prevents a hacker from taking out a loan in your name false it only prevents a hacker from taking out a loan in your name if the lending institution checks your credit only to intend credit card applications actually have the credit checked they issue them to dead people and dogs eight out of ten times if you're breathing or not or if it's you or not or if it's a shredded application tape back together or not they will issue the card eight out of ten times without checking and freezing will not help you with that mine's frozen to my account has been frozen which has a big zero on it anyway but that's my credit score zero I don't have a credit score because I don't know FICO and I'll worship at the altar of the great FICO FICO you are our provider thank you great FICO no we don't do that stuff here so anyway the only that problem but everything's frozen but it still doesn't keep you from someone from opening a loan only if the credit institution making the loan is smart enough to actually do a credit check and they don't always do that kinda seems like common sense but they don't number three sign up for an additional fraud protection we we do recommend we've always recommended Zander insurances identity theft protection I carry it on me I carry it on all my family all my all my team here I have got it as a employee benefit and what the difference is and what they said is correct earlier in the article indicating you know credit monitoring doesn't help because they can take out a loan all credit monitoring does this go oh we're monitoring the fact that you just got your identity stolen and that's all it shows up at least tells you so you can go do something about it the better ID theft protection companies like Zander assign a caseworker to the problem to help you go fix it and get rid of all the crap out of your life which $125 won't even touch the hassle see you're not liable if someone opens an account in your name fraudulently because it's not you that did it but you have to go prove six ways from Sunday that it wasn't you and so there's police reports and affidavits and notarized documents and all this garbage you have to go through and it's a you know you lose 600 hours on an identity theft 600 hours getting hurt getting your life back if your identity gets stolen like this so I'm you know go ahead and get with Zander insurance and get this stuff in place so someone else does all that work because it's just a matter of time before someone has your numbers you don't have to do business with a company like Capital One to get your number stolen I mean it's there's been hundreds and hundreds and hundreds of millions of these things know the difference between a hack and a breach a breach is when a company doesn't really matter much on that I don't know why you need to know the difference but a breach is just when there's a vulnerability and the you know we left the door open but nobody stole anything you know a hack is where a you know a robber kicked in the door went in took all your stuff okay that's a hack and this girl I read a couple articles about this girl that was the hacker I don't know anything about it another one I read about this morning when I saw a page something she used to work for him is on web services which they're having a happy day now knowing that their former employee is a cyber a domestic cyber terrorist because let me just tell you when you do this it costs people regular people and companies this is at least a hundred million dollar theft and everybody's acting like oh she thinks she's an anarchist let me tell you what I think she is she's a freaking criminal that I'll be put under the jail and not be let out for food she's not an anarchist she's a cyber terrorist a domestic cyber terrorist it's not cute you're from Seattle it's not funny you're not vogue you're not cutting-edge progressive you're not resistance you're a criminal a world-class criminal the FBI came to your house criminal go to jail do not pass go do not collect $200 criminal this is not cute it's a hundred million dollar minimum expense that she has extracted on society because she's pissed off at the world and has some skills put her in jail so that we can let the rest these cutesy little hacker butts that think they can do this crap get away with it put her in jail she's a criminal was that unclear I sure hope not Capital One what's in your wallet oh wait everyone already knows this is the Dave Ramsey show are you ready to be the voice of change in a family's life you see it every day the people you care about are struggling financially living paycheck to paycheck driving cars and living in homes they can't afford you know there's hope for them you know you can make a difference with financial coach master training everything you need is at your fingertips I want you to have the spirit and the awareness to know that you can help anybody opportunity to have the impact on people's lives and on your own life that's unbelievable you're gonna come in and really be able to guide people and help them start moving in the right direction if they apply this information that does work you're gonna know this process better than anyone else out there what we want to do is help people to make better choices for their future and that's huge [Applause] you have that heart to be able to help you are needed join the mission one of the things that makes the Dave Ramsey show unique from other shows is that we genuinely care about our listeners that's why we're intentional about choosing advertisers that we know will serve our listeners well blinds.com is no exception for years I've been telling you how amazing these guys are blinds.com offers high quality window treatments at unbelievable prices and their customer service is unbeatable they make buying measuring and installing blinds find affordable and shockingly easy and if you accidentally miss measure or pick the wrong color they'll remake your blinds for free when you're looking for window blinds the only place you need to go is blinds comm with blinds comm you get free samples free shipping and when you use the promo code Ramsey you'll save even more take advantage of this week's special promotional offer when you go to blinds.com and use the promo code Ramsey hello America and welcome to the Dave Ramsey show I'm George Gamal thanks for joining us here on our video channel in our brand new headquarters it's the first day that we are broadcasting live and we are so so excited I know you're all excited in the YouTube chat there I've already seen all of your comments and here's the deal you've got to bear with us today this is all new for all of us so if something goes wrong you don't need to complain about on the YouTube chat our team is already freaking out about it trying to get it fixed for you but here's the deal we're gonna have a great time today and it feels so amazing over here the energy is electric all over this building our team has been in here for just over a week and we are just so overwhelmed and grateful for this place it is six stories over 200,000 square feet multiple radio studios right here on the glass for you all to watch and we are so excited to show you mourn I can I can only tease a little bit we're gonna be giving you a full tour very very soon for now here's what you need to do go engage us in the YouTube chat if you're watching on Facebook you can engage there as well we've got three hours of hope-filled practical wisdom coming your way America that's what this show is all about nothing has changed in that department we are still trying to make sure that you guys are living like no one else so good news for you more of the Dave Ramsey show is coming up is with us to start the segment off in Illinois hi Scott welcome to the Dave Ramsey show hi Dave thanks for taking my call sure what's up so my own baby sets – we've got roughly a hundred and ninety five thousand dollars in that total about twenty of that is car nine of that is IRS and the remaining of student loans we're fortunate enough to make around one hundred and forty thousand dollars a year a plan to pay that off in 25 months my question is whether or not I should sell my car which is about 19,000 of the car debt in order for a smaller car to make the process go a little quicker okay how big star locked in as your income do you see during the 25 months much change in your income it's only gonna go up from there I know but I'm just gonna go up a lot or gonna go up a little I don't I don't think it's gonna go up a vehicle fluctuate maybe another $25 okay which you don't have in your calculations no okay and so what do you guys do for a living we both work for the state government Social Services and my wife is an author as a side business okay so that decide you're not gonna get big pushes on state government raises are you got side hustles either one of the other than the author thing yeah I I detail colonies I do – and I am writing a book also that I'm hoping to make some money cool so that's the that's the extra push on money you were talking about okay good right on the income side of the equation so the rule of thumb we generally use is if your car is keeping you from getting out of debt in two years or if the total of your vehicles added up in value equals more than half your annual income which yours both of these the answer is no I mean you know they're not it's not keeping you from getting out of debt in two years you got a twenty five month schedule that's likely gonna be come a 20 month schedule as you hustle and grind and create income so you're inside the two-year mark it's less than half your annual income do you like the car oh yeah I love it okay what is it what kind of car than app it's an Audi s4 oh yeah nice vehicle very nice Oh kind of cool I'd keep it okay it doesn't solve your problem sue I'm saying yeah yeah if we could sell something and get a hundred ninety five thousand or get a hundred and twenty thousand dollars for it or something yeah we might be looking at that you know but you don't have that laying around oh so how old are you guys I am 13 my wife is 32 okay good you're good great shape I mean time you're 35 you're gonna be out of debt your emergency phone in place and you'll be on your way you're doing a good job congratulations very very proud of you good work samantha is in colorado welcome to the Dave Ramsey show Samantha thank you so much how can I help I am a new listener and I want your advice on retirement contributions and this is I've only been able to contribute starting in the last year now that I'm out of graduate school so intrinsically and how do i how do I do some catch-up on this and then how to balance employer contributions and personal contributions don't you okay and do you have any debt payment so no how old are you 32 good single nope just newlywed actually no fun okay so what's your household income household income is about 350 it varies Wow good for you what you guys do for a living I'm a research scientist and husband is in sales oh good okay you guys are killing it well what we recommend is that baby step one you save $1,000 you've done that too is your debt free other than the house you've done that three is you have an emergency fund of three to six months of expenses do you have that done yeah okay good then we may be step four we call it we put 15% of your household income into retirement savings and so that's 45 $52,000 roughly in your situation okay if I did that in my head quick enough anyway fifteen percent of three and fifty thousand okay now then how do we decide back to your question where to do that first and what order what's the mutt what's the best what's the next best is on we call it rock paper scissors except there's only one direction that wins okay so my employer our kind of working some I know that you do document that fifteen percent my employer actually puts in audit and automatic not a mastered automatic contribution of 4.2% God is not that's not in our equation though we're talking about you you would put into a clean out of your household yes you put in fifty the extra fourteen just gravy on the biscuit in your case a lot of gravy on the biscuit that's awesome you know a gravy filled biscuit but the so the so you have a 401 K you have a Roth um see it's 401 and 403 B and then yes and I are labeled in to doctor to doctor Ross yeah okay where are they age what are they advertised what you talked about a Roth is four oh four or three days and after tax I know a 401 is my employer is what my employer puts into and then the fourth one D is what I can contribute to okay all right but if you they're gonna put that in whether you contribute or not do they have an additional match to what you actually contribute yeah okay I think we're probably gonna end up doing all of it but here's the order okay take a match first which you get the match does your husband get the match in his place either way no his income doesn't have that option okay do they have a 401 K at all okay well you're gonna max yours out he's gonna max his out that's gonna get you to about 40 grand you can do a couple of backdoor Roth IRAs into some good mutual funds as well that's probably gonna get you up to about fifteen percent so matches first but it doesn't apply with you all because what match you get you get regardless it's not really a match you just get it then the second best thing in Rock Paper Scissors is Roth and so we want all of this to be in Roth that can be put as much of it in Roth as it can be whether if you if they offer Roth at your work or at his work take it okay and certainly then do some backdoor Ross now do you know what a backdoor Roth is yes not that we did we contributed up to the max last year and I are raised and then did the backdoor okay then you if you've maxed out your 401ks I'm maxed out your Ross I think you're at 15% of 350 okay yeah I didn't know if I should do more than that don't know no that's where we're gonna start and and then that's baby step four we're gonna shut down at fifteen percent of your household income and then baby step five is kids college if we got kids you need to save for um we don't but we did start a 529 already you can't start a 529 for someone that does exist it's in our name and then employment will change it once we have two children you can't transfer a 529 from an adult to the child and you can go sibling to sibling but you can't go adult to child double-check me I could be wrong but I don't think I am sometimes I mess up I do I've been known to when I do it's kind of embarrassing cuz there's like 15 million people pointing out that I did but check don't so double check me but I'm pretty sure unless this last law change did that and I don't think it did um but look at that so anyway 529 is baby step 5 when you have kids you don't have to worry by today baby step 6 is pay off the house so I'm taking any other found money and you should have some in this wonderful income household of yours and start throwing at my house get the house paid off when that's paid off then it's just max out everything and you know save what you can invest what you can wherever you want to you know it's going to be non retirement wealth building but there's certainly nothing wrong with that and what Sharon and I have done there because our incomes have done similar things over the years they became ridiculously wonderful you know we've maxed out everything and then we just save up money and you know we are investing in mutual funds or we're buying real estate that we pay cash for and I'm a love real estate so I've got way too much in the real not too much most of mine is in real estate other than my retirement investing and so I've got a lot in the stock market and mutual funds a lot but I've got more in real estate but that's just because that's my personal slant on it what I love so hey thanks we appreciate you joining us open phones at triple eight eight two five five two two five by the way backdoor Roth is for someone that makes more than $200,000 household income you're not allowed to do a Roth IRA so you open an after-tax IRA and roll it 20 seconds later into a Roth it's completely legal it's a loophole in the law but people do it every day I've done them for years on me and Sharron and so you can put the max in there six thousand bucks seven thousand if you're over fifty this is the Dave Ramsey show yo the today's question is asked a good question about me what is one thing that I will go back and change about myself and what is one thing I would never change I'm gonna keep it 100 with you keep it laughing so if I could rewind about let's say 10 15 years ago I will go back to that beginning stage time of really graduating high school going off to college gone off to this real world and I changed I changed who I was to please others to impress others to gain the credibility from young ladies and from young gods I wanted to be popular I wanted to be well-known and so I changed everything that my parents taught me you know the Bible says that were fearfully and wonderfully made and I honestly didn't feel as if I was fearfully and wonderfully made because I felt as if I wasn't popular so I did things that made me popular but didn't add to who I was and who God assigned me to be I became this guy that was well-known that was respected they say on that the ladies loved that the brothers liked but enemy in the back of my car and to be honest with you it kind of distant me away from my relationship with Jesus Christ if I can go back and speak to that 19 20 year-old self that's one thing I would say change how you view yourself for the sake of pleasing other people you're fearfully and wonderfully made young men that God has some great things in store for you don't change that now what is one thing I wouldn't change about Who I am right now me I honestly love Who I am and who I am becoming you know one thing that I feel as if there are a lot of people they do what I did ten years ago change I remember it I go into different environments and different coaches and people say hey you should dress like this you should look like this used to talk like that I've even been told I can't come into certain things because of how and Who I am and you know what I would never change who I am tebab says it God took his time and formed us in our mother's womb he knitted us he knew we were gonna be the skin in color he knew we was gonna have this grammar problem he knew that you're gonna be lazy in certain areas he knew you're gonna be flawed in a lot of areas but he also knew that you want to be strong in a lot of areas he also knows why you were made and what you're going to accomplish when you change that you're pretty much changing God's plan for your life and I ain't trying to be spiritual but y'all know me I'm a spiritual man I'm a preacher and I would never change who I am to please others now watch this will I respect their environment that I'm going in absolutely both the character of Anthony O'Neal would never change for your food got a question for you cuz I'm gonna be honest with yourself what is one thing you wouldn't change right now about yourself that you just love that you're passionate about you wouldn't change comment below I'm gonna know because we all should be confident and some things about us now let me end with this just because I saw it wouldn't change it doesn't mean that I wouldn't improve I'm always improving I'm always growing so be firm in what you are and who you are but always be willing to improve so you can go to where you want to go and accomplish the goals that you want to accomplish is your boy Anthony O'Neal thank you so much for rockin with me and you know what keep it real with you i'ma pray for you today all right peace out the student loan crisis in America is out of control so many of you are so overwhelmed with what you owe on your student loans that you can't even imagine ever getting out of debt even if you're in over your head I got some great news high interest rate student loans are the only debt I recommend you consolidate and refinance to lock in a lower fixed rate visit our friends at Splash financial.com slice Ramsay and see what rate they can get you the thing I like about splash financial is they're dedicated to helping you save money and they don't sell any other products to tempt you into going further in debt this is unheard of in this industry take the first step and help yourself get out of debt go to splash financial.com slash Ramsay to easily check your rate in minutes and see if you can save some money that's splash financial.com slash Ramsay hey guys welcome back I am here in front of Studio B now if you're wondering what studio a well that is Dave studio which is right there and this is one of the coolest features about our new headquarters that we have two studios right here and that means you can watch the Ken Coleman show live now we've got two shows going on at one time which is so incredible and very soon the Chris Hogan show will also be broadcast right here from Studio B and I love just coming up hanging out on the couch here and watching Ken show and I encourage you to do so as well now obviously I'm biased towards the Dave Ramsey show but we would love for you to check out Ken's show if you have questions about your career your purpose what you're doing with your life that is what Ken is all about so I encourage you go check it out Ken Coleman calm and very soon you'll be able to visit us and watch this live lisa is with us in Arizona hi Lisa welcome to the Dave Ramsey show well thanks it's great to talk to you YouTube what's up I'm an odd situation I've been a stay-at-home mom for 12 years and finalizing a divorce and in the divorce I'm not getting anything but I am getting the house so the net proceeds from the house will be all mine that's about $300,000 mm-hmm and I have some ideas on how to allocate that and I thought I'd cross it by you so I don't have any debt leaving this divorce good mm-hmm and is there any damn is there any debt in the marriage there is but that's part of our divorce settlement is that I mean it's so little we're good at we're good about not having debt so okay but your name your name is on it but he's being told to pay it in the divorce the debt my name is not on it no I mean it sort of but not sort I hit either is or it isn't did you sign for the debt no okay this is not a sorta I mean if you saw because the mortgage right but we're sewing now oh I got you okay yeah the other debts though you do not have your name owned at all correct good okay I'm back with you then so you're getting three and a 50,000 bucks in your house um almost 50 okay kids at home yes I have so I have two young kids and so in this set in the divorce I will be getting my monthly expenses will be short by $3,000 because his support will not beat what I spend now so I my idea was that I would use some of the money from the house to make this deficit some to put into emergency fund and some to put into retirement okay and how old are the kids I have a 12 year old and a six year old okay and and what is the amount of the our monthly support mm oh yeah okay and so you could figure your budgets for part five yeah okay and you're gonna rent a house I'm currently renting a house yet and that is included in your $5,000 budget yeah hmm I the only thing I don't like about your plan is that I don't like a deficit like this that doesn't have an end to it there's no school oh okay you know what I mean you're going back to school I'm gonna try to go back to school I mean I didn't sign up yet because I want to cross this Bayou but yeah but obviously have to get work so that would be part of it I don't make a whole lot of money to be able to work for so long I got you I got you so so you're thinking of going back to school to study what I don't know be a nurse I'm not sure yet I got you okay how fresh is all this divorce it's it's we just submitted though I mean it's now okay so you just come to agreement on these terms recently correct okay I'm sorry so very painful time all right so here's the thing I don't want you to have a $3,000 burn rate and burn through the only money you've got mm-hmm so we need an end to this and you don't have to decide today but you just need to give yourself a deadline that says I'm going back to school study something and start my career by X okay yeah two years whatever something like that right and if you got an undergrad already yeah okay so if you went back into a two-year nursing program or something as an example okay that would be you know then we've got 36,000 $72,000 that's gonna burn for two years at your $3,000 burn rate mm-hmm okay you can't keep going along on that with a three only three on fifty grand so no I wouldn't put any into retirement until you've made the transition into your new career mmm okay just let it sit there this is this money is to help you with your encore you know when the curtain goes down curtain comes back up and take a bow your encore oh this is it baby this is it this is your encore this is your the last act is the best act and this is so whatever it is you wanted to you get to do it now and the good news is you've got the money to take care of your family and fund your education if you don't get anything out of this but that with us three and fifty thousand I'll be okay because you're gonna be okay for the rest of your life if you get yourself in a position to produce an income but that's what that's what we've got to get to and I just don't want this money to burn up because in the process of emotionally healing from as much pain as you've been through you delay too much your encore I know yeah it's easy emergency money I think that's in critical because I think the whole thing is emergency money I mean that's really what I'm saying it's it's an emergency to temporarily feed the deficit the burn rate it's an emergency for you to get back into school and then you've got a portion of it that is truly for rainy days but I mean you can carve that up but if you said okay two years is my deal that I need a seventy two thousand dollar account over here that's my burn account I've got over here I've got to have a thirty thousand dollars from my emergency fund and you know that leaves me one hundred fifty thousand to get through school what you should be able to do and come out with some money I'd like for you to come out school and have a hundred grand left it sounds like you can yeah I think I counted it yeah and at that point at that point I would think about investing but you might as you go through I mean you're right now in the worst of the pain so it's them even though we're having a really good conversation and you're obviously very bright and very articulate your brain is working as poorly right now as it's going to I mean it's just been survival no no I know your your interest you're just hanging on it's everything's a raw nerve and so you know you'll be thinking clearer in four months is what I'm saying and but when I get this money and they put it in my do I you know park it in a market in a money market at a bank okay then don't touch it for the demo except for the deficit I mean you don't need to go buy something to feel better be careful guard yourself no I don't I don't have you got are you are you in a good church but you're handsome I'm not in the church okay have you got someone in your life that will get in your face if you start doing stupid stuff oh yeah be disciplined that's why we're not dead no I said have you got someone in your life that will get in your face do you have someone from an accountability standpoint that you can use right now just to make sure I don't think you're going to I don't hear any of this but if anybody's gonna screw up big time it's when they're right here you know yeah you're at a vulnerable time and I'm trying to put a wall around you to protect you and sometimes protect you from you a little bit and that's all I'm saying so if you got a really good girlfriend or a mom it's a little bossy or something like that this is a good time to have them know what's going on and just go aiya promise if it's over a $10,000 expense to talk to this person of wisdom first and that's your accountability person part person the person of wisdom the person of wisdom loves you with all their heart but will tell you the cold unvarnished truth because they love you they will not say oh yeah that's smart and then go home and go that's a dumbest thing I've heard no they will just tell you that's stupid don't do that you're hurting your brains are not working don't do that don't do that don't do that I have an idea too that you might start a business I don't know I'm gonna send you a copy of Christy Wright's book just in case it's called business boutique equipping women to make money doing what they love and you've got a little capital if you want to start a little small thing you've always had a dream of that that might be cheaper than nursing school and it might make you more money I don't know it's whatever you want to do with your life I'm not trying to tell you have to the four months from now you might be able to breathe a little bit more and that might make a lot more sense for you so hey thanks for the call open phones a triple eight eight two five five two two five you jump in we'll talk about your life and your money may I tell you going through a divorce is hard going through the illness of a loved one it's hard going through the loss of a loved one is hard and if you're not very careful we all have a tendency to buy things to make ourselves feel better be careful when you're in those painful times retail therapy is not a cute joke it's a stupid idea this is the Dave Ramsey show hey folks I'm Ken Coleman let me ask you a question do you dread going into work on Mondays you're not alone a recent Gallup poll found that nearly 70% of Americans hate their jobs life is way too short to walk through the week like a zombie we all want to live a life of meaning and I'm here to help you are dreaming you can see it you can taste you're frustrated what do you want to do ten years from now where do you want to be I get that's really a big fear the failure to get that job it's a simple dude because you're not where you want to be you're not who you want America's premier experts on the career on getting a job on finding your passion I intend to start my own business and I'm just looking for someone to tell me that I'm not crazy on the surface Donna that makes me excited not concerned you're living for the weekend right now yeah we got to fix that the response to the podcast the response to the Sirius XM show response when he does talks around America is absolutely over-the-top find out what you're good at find out what you'll have to do most because the world needs you to do it somebody out there needs you to be you I was not where I needed to be you became my coach and your colors became my coach getting very very close to my sweet spot it is a journey it's not a sprint it's a marathon I went in for the interview and they offered me the job there on the spot they sent it out they figured out what you didn't believe about yourself every one at time sure exit scene we've helped thousands of people get out of their timeshares forever when you go to a timeshare presentation they sell you on this promise that you're going to get the vacation of your dreams unfortunately that's not always the case the time shirt didn't deliver what they promise in the presentation whatsoever booking the vacations that I wanted was absolutely impossible but I can't rent it I can't sell it I can't do anything with it getting somebody out of timeshare contract is not easy it definitely takes some time in the meeting without your eggs at team they were very upfront it was low pressure you do not have to worry about it once it's in their hands you're done with it at I'm sure exit team we guarantee we will get you out of your timeshare contract or we'll give you your money back I felt like a weight had been lifted off my shoulders Todd sharings a team sent us a letter saying that we're free and clear of the timeshare so it was a time to celebrate if you're unhappy with your timeshare we would love to help you find a way out for a free consultation go to timeshare exit team comm today that's timeshare exit team calm alright folks welcome back I am so excited to debut our new debt-free scream wall this thing is incredible as you can see here if you remember we did that free screams for many years in the doorway of Martha's place and we made that work it was not meant to be a debt-free scream stage and so we thought we need to build one in our new headquarters and this thing is amazing below me here there's a nice sign that says live like no one else I'm debt free and this is only the beginning we have some amazing graphics that we're gonna be showing you we got so much more to come but I just wanted to give you a little tease for our debt free scream wall thank you for joining us America this is the Dave Ramsey show Roger is on the line in Colorado Roger welcome to the Dave Ramsey show Dave thank you for taking my call sure what's up I've got a two-part question regarding tithing the first part is I give help out a relative with a couple hundred bucks every month can that be considered tithing and then the second part is I'm not associated with a church so instead could I do two for example st. Jude you certainly can give to anyone and that's certainly a wonderful thing to do outrageous generosity is the hallmark of people who build wealth and enjoy wealth and have the best mental health around their wealth the wealth doesn't become a toxic thing and so outrageous generosity is always encouraged the word tithe typically is applying to a biblical situation and it's it the word in Hebrew when you look it up in the Hebrew and the Old Testament literally means tenth one tenth of your income and the primary people that discuss tithing from a religious standpoint from a biblical standpoint would be Orthodox Jewish and evangelical Christians not even all evangelical Christians but the vast majority of evangelical Christians teach to give a tenth of your income to your local church and because the local church represents the Old Testament storehouse which took care of the Levites that passed Oriole tribe of Israel took care of the pastors and took care of the widows and the orphans and the local church is supposed to do that and a lot of times does does a great job at that and so as an evangelical Christian I give a tenth of my net income not net of taxes but my net profits from our business and for many other sources of income to my local church now it sounds like you're not involved in a local church and so it may not have to do with your faith walk it just may have more to do with so it's just a matter of a technical definition of the term you know so if you say hey right because I'm not involved I'm still gonna give ten percent of my income that's fine you could give 11 percent of your income you could give eight percent of your income it's fine but the definition of a tithe is local church local synagogue if you're a Jewish and it's a tenth of your income now again it's okay whatever you do outrageous generosity is a wonderful thing and it is building your character and turning you into a better human every day that you do it which is why those of us that are people of faith have have it as a part of the rhythm of our life we want it to be spiritual experience to grow us and you know that's not gonna change with you it's just the the format is going to change does that make sense yes very much yeah so you can give whatever you want to give there's no limitation on it but again it's just a technical definition is that okay yep thank you for the call man we appreciate you joining us open phones at triple eight eight two five five two two five and four my brothers and sisters in Christ out there my fellow faith walkers out there you know you can get real caught up in the legalistic aspects of giving sometimes and sometimes you can get too caught up in not observing some of the principles of giving as a part of your faith wall Dallas Willard as book the spirit of the disciplines says the tithe is one of the spiritual disciplines of our lives for those of us that are there are people of faith and so regular church attending evangelical Christian you know that kind of a thing or as I said Orthodox Jewish Christian Orthodox Jewish same thing so if it's a part of the rhythm of your life it makes you into who you're supposed to be and that's the purpose for it it is not a thing where you're earning God's favor he doesn't love tithers more than non-tithers he's crazy about all of you even if you don't think he's there he's crazy about all of you that's not the point and so it's not that you know and I think you're gonna be hard-pressed to scripturally prove that you know tithing causes you it causes God to give you money that's not what happens but I tell you what does happen regardless of whether you're doing that you know when you give with the right heart you are a grateful person a generous person and grateful and generous people are highly attractive people they're fun to be around you want to be with them not because they're gonna give you stuff I don't mean that but they're just those that are the ones that are smiling they're happy and they have a tendency to have opportunities come to them for those reasons because they don't look like they were weaned on a pickle you know and this one you know scowl on their face all the time and so generosity changes who you are it makes you more attractive and when you're attractive you know what that means it means you attract things and so that's what ends up happening that's why givers have a tendency to prosper because givers have a tendency to be better people over time rather than selfish jerks right so this is true for all of us and and but that those of us that are people of faith that's it gets sometimes a toxic spirit over it and everybody's all twisted up like I had one coach one financial counselor told me one time he would not help someone with their money problems if they would not tithe I'm like yeah somehow I don't see God doing that wait I am NOT going to be your God unless you tithe it doesn't is just nowhere in scripture that says that none whatsoever so no I'm just gonna help you I don't care whether you agree with me I don't care and I don't put up with people they don't like me if you're gonna be mad at me all the time I just block you can't believe Dave Ramsey is so thin-skinned he blocks everybody on Twitter it's not thin-skinned it's just if you hate me what's your point you're too stupid to not follow me I can help you with that block you know that's what amounts to so you know if you don't want to do stuff it's okay you don't have to do it I'm not gonna make you do it but it's not it you know so you just kind of get in there and figure out all right what's a toxic view of this and what's a proper wise kind generous grateful view of this really good question thank you for joining us angie is next and she's in Connecticut hi Angie welcome today Ramsey show how you thank you so much for taking my call sure what's up hello I'm a brand-new listener and I've been listening to you for about yes I have a month and I've already downloaded the dollar app so I'm excited about that got that ready to go for tomorrow actually August right first so I'm just trying to wrap my head around your your program so for years baby Obama baby step one right so baby step number four says to at that point in time is when you want to be able to put into retirement but I've already had funding or distributions with my employer because I've already been here 13 years we have a 403b with a match and there are these tax deferred right right so what I'm trying to understand is if removing it well okay I guess right now to stop it at the process temporarily stop adding to it to get out of debt right so currently right now it's tax deferred so in doing so it is following your program and stopping it I will then in my head this is where I'm thinking it's like the the net is going to actually my net will be left I don't know there's no there's no key the covers no tax rate you know in excess of 100% so if you stopped putting $1,000 in a tax-deferred account here a 25% tax bracket it changes your equation by $250 not about $1,250 so you would net of taxes come home with not a thousand but with 750 if you're if you're in a 25% tax bracket so no there's no taxes no tax rate that isn't more than a hundred percent not yet anyway there may be some day but not yet I'm not sure how they're gonna figure out how tax you more than hundred percent but who knows something's left wingers might figure it out so but now you just temporarily stopped it it's just a matter of focus focus exceeds the power of tax deferral focus exceeds the power of compound interest on the short term and so on the short term we're gonna get out of debt because that's your most powerful wealth building – hey thanks for calling in thanks to James child's our producer Kelly Daniel our Associate Producer and phone screener I'm Dave Ramsey your host and this is the show [Applause] hey folks the fall is right around the corner and that means school will be starting back up how many of you watching this you know that you need some form of continuing education to make it to the future that you desire my friends at Liberty University have an online program that can help you get where you want to go and here's the exciting news they're giving away four five thousand dollar scholarships did you hear that five thousand dollar scholarship imagine how that could fund your future life is way too short to be stuck at a job you can't stand Liberty University's online programs can help you further your career and get prepared for the job you really love and we're called to do they've got over 600 degrees offered through 17 colleges and schools that will prepare you to thrive in any marketplace now let's talk about how you enter and win $5,000 to get you going to get all of the details on the rules and how to enter go to Liberty edu slash kit stop waiting start moving right now Liberty edu slash K Patrick eNOS and we're thrilled to have you with us here today in Durham 52 degrees our gametime temperature as the Bulls get ready for Game two of this four-game series against the Charlotte Knights the wet sucks deep right toward the wall goes bounced right up in the chat and the boos have a one nothing lead baseball's a game of failure guys who hit 300 failed 70% of the time and go to the Hall of Fame so they are considered a heroes and the best so ever played in the game I think a lot of people who have a lot of debt have a really difficult time a high fail rate trying to get through debt because it's a long-term commitment so here to do a debt-free screen I am I love it I love it how much have you paid off I paid off one hundred and seventy six thousand dollars in six and a half years Wow is it your house it is consumer debt and my house way to code I've never been as confident in myself as a person that I have been since I made that last payment dock and mortgage it just gives me a whole different outlook I'm not chasing life anymore and kind of leading my own life part of my responsibility here today to thank the others because the other debt-free screamer all the other debt priests because I've been in my car screaming with them that's right with them high-fiving them and that's what's helped to keep me motivated so that's one of the reasons I'm here because when you're looking at a board that says you owe 151 thousand dollars Wow and you only make 50 the math just doesn't work on how you're gonna get there but created a couple of new businesses started a website we started a camp for kids who want to follow in all of our footsteps on the sports broadcasting side it's not all about generating revenue but it's about generating I don't know good revenue a feel good revenue because I don't just want to make money with what I sell for the goals I want my partner's my clients to feel like they're being treated really well and they're not getting taking the cleaners so that type of feel good work it takes a special person to win and especially in baseball baseball is the ultimate team sport but on the other hand it's the ultimate individual sport and that's that's what it comes down to with your finances for Patrick it was like a huge weight just was lifted you have your team goals but you have your individual goals and you know the ones that make it to the top the ones that make it to the big leagues and you know have successful big league careers those are the ones putting in the effort the attention to detail and that's what it takes for finances kathan my fiancee she's just the best just the absolute best when did I first bring up Dave Ramsey and Dave Ramsey will even laugh at this first date first date and I remember I told her that one of my goals in the next year and a half was to pay off my home Patrick Raleigh North Carolina one hundred and seventy six thousand dollars paid off in six and a half years making 43 up to 105 count it down brother bottom of the ninth inning financial Series game 7 3 1 in favor of crushing debt leading financial freedom bases loaded two outs on the mound is chase the indomitable closer these the Mariano Rivera of debts but the bases are loaded for financial freedom and the freedom of third he like freedom at second mortgage freedom at first penis steps into the box here's the pitch a swing and a line drive down the left-field line this is fair coming in is Honda freedom to score he like freedom rounding third base he's gonna score to tie the game here comes the game when you run around for third base the throw home from Ocwen mortgage sits on the play that may get him the slide the tag he's safe he's safe he's dead free hey folks I am here with James and Kelly for the first time in their control room how does it feel Kelly it's different but it's it's good I got to stare you through the glass for a moment there in the show how is that going for you awkward not gonna lie a little awkward how about you James I love it there's a little growing pains here and there but it's great yeah oh you so far you've done how many shows now well last week so I guess this is show 5 and we're working out the kinks as we go yeah start to get it started to get it to did where it feels right yeah and I feel a renewed energy from our team from Dave I think we've just been waiting for this for such a long time that it feels so good to finally be here yeah he's kind of like a little kid like he's during the breaks he goes out and like looks at stuff in the lobby and like he's really excited and that makes us excited and you guys did so much planning just to get to this point of what the gear is gonna be and all that is that feel good to have that behind you oh it does it's just now getting it all figuring out how it all works that's part of it now these guys are the heroes pan over to the engineers these guys give it up for him they've been working 14-hour days for many days in a row to get all this up and running so that we can give you guys the hope that we give every day and good news more of it is coming up sacrifice determination you can be a about your character you gotta be on the same page they were calling to let you know we're debt-free house and everything you have done really really good and you're not gonna quit it's been a huge witness for us to be able to share that it was time to get serious intentionality people this is your show America at 22 what I know now our life would be better as the show that's changing the world just listen to the show you live it Ramsey solutions broadcasting from the dollar car rental studios it's the Dave Ramsey show or that 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 am Dave Ramsey your host thank you for joining us open phones a triple eight eight two five five two two five and the B and the paid off home mortgage has taken the place of the BMW as the status symbol of choice when we did the study of 10,000 millionaires we found that the typical millionaire pays off their home in ten point two years they get out of debt so this is why we tell you not to take out a mortgage of more than 15 year fixed where the payment is more than 1/4 of your take-home pay this is why we tell you this now I know it's summertime and I know some of your going to open houses and you get house fever and let me tell you what house fever is it's when your brain quits freakin working and you get these little you know your adrenaline starts going in you know your your endorphins are released your eyes are dilated you go crazy that's what happens and then you go buy something that indicates that you're crazy a house you can't afford because it's summertime and you got a house fever if you got house for you take a cold shower or six of them do whatever you've got to do to get rid of house fever house fever will kill you let me just tell you there are people out there who will spread the disease of house fever – you know who spreads the disease of house fever brokers who want to sell you a house because they want a commission they don't caring about you now that's not all brokers but there's types of brokers out there that way mortgage lenders who want you to get a loan and they'll tell you anything and they use fear tactics – houses are going up fast if you don't get a house here – I gotta get out god you're not gonna get Al's oh no and people get this thing like a beagle chasing a rabbit man that's good means you got house fever is what that means it's don't you're getting rain do something dumb you gonna pay too much for the house you're gonna put nothing down get you an adjustable rate mortgage being debt the rest of your life and then wonder why you're broke all because you were a beagle chasing a rabbit with house fever stop it stop it calm your butt down you need to get a house the house doesn't need to get you I don't mind you getting the house and I don't yell at people for mortgages it's one of the few things I don't yell at them for but I want you to get the stupid thing paid off because that's an indicator you're gonna be one of our everyday millionaires and how you gonna get paid off a bigger down payment and a shorter payment term and you focus on getting paid off you get to your baby step six and you kick this thing but that's what's going on so if you get one of those real estate agents it's trying to get you buy a house that you can't afford or you get one of those mortgage brokers is getting you to buy a house you can't afford at a time you can't afford it because you still got Sallie Mae hanging around you got to buy an extra bedroom for her you need to get out of debt have your emergency fund in place then have your down payment now first-time homebuyers you know we don't tell you you have to do anything on that you have to do 15-year fixed and you have to do more house payment no more than forth your take-home pay we got all that but first-time homebuyers we know most of you are not gonna put down 20% if you do it's great and why do we tell you to put down 20% 20% down this because it saves you on PMI PMI stands for private mortgage insurance if you don't put down 20% they make you buy insurance that gives them money in the event they have to foreclose on you and you didn't have enough down payment to cover them it's foreclosure insurance that pays the lender and you buy it and it's 75 bucks per hundred thousand per month so if you borrow you know two hundred thousand dollars one hundred and fifty dollars a month on your payment if you don't put down 20% just to buy insurance foreclosure insurance that pays the mortgage company in the event they have to foreclose on you that's private mortgage insurance that's what it is and you never do an FHA loan too expensive you never do a VA loan even more expensive bad loans you're gonna do a Fannie Mae conventional loan now then you save up and you save up and you save it but how do you save up well you're out of debt you don't have any payments because you're a baby step three be if you don't have any payments you don't have any debt payments at all in your own tight budget and your thing is save up for house payment you'll be amazed how fast you can save up calm your butt down slow down I don't want you to be a renter reading I'm wasting money I'm wasting money I'm Bert I just feel like I'm burning money you have house fever when you talk like that I don't want you to be a renter for 50 years but I do want you to be a renter for the next year while you get your freakin act together so that this house is a blessing and not a curse that's what we're doing so if you want to work with an agent to buy a house in a hot market that understands what I just did in the last 10 minutes you just go to Dave Ramsey comm slash agents or just the front page of this of Dave Ramsey calm look on our LPS endorsed local providers for real estate agents these are high octane high protein agents that have agreed as part of the vetting process to not only have the heart of a teacher but to also not tell you to buy a house when you're broke they follow the principles that we're teaching here they actually have your best interest not their wallets best interest in mind they know that if they take care of you and you buy a home in such a way that the home is a blessing you'll probably be a customer for life and that's how they've built their huge businesses these wonderful high-octane real estate agents that actually know what the flip they're doing but your Aunt Sally over at the church old George over at the church the friend of your mama all she wants is a commission that's why she got in the business she multiplied that Commission rate times those sale prices and her eyes got big she went past her real-estate test and now she's an agent and that's all the flip she knows about it too he knows about it too so you need to get somebody knows what they're doing has your best interests at heart and has built a large book of business by doing the right thing for the customer helping you making sure your own baby steps 3b you're putting a good down payment down I'd like for it to be 20% I just explained to you why it doesn't affect me I'm not getting any of the money I don't care what you do I don't own a PMI company I don't own an anti PMI company I'm a teacher I'm teaching you that this crap is expensive so it's better to put down a good strong down payment of 20% or more but sometimes on your first home you're 27 years old you're just getting going you know you may buy a home with 10% down you may have PMI for a few years till you get that thing paid down and get it draw get the PMI dropped that's okay I'm not gonna be mad at you about that but don't take out more than a 15 year that means you got house fever don't take out anything other than a fixed-rate that means you got house fever and don't work with some real stage and then the flip they're doing because you'll have enough backbone to look at your mother's bridge partner and say no no I instead once you get some I actually knows what the flip they're doing and has your best interest at heart we vet them they're called endorsed local providers check them out at Dave Ramsey comm so a big part of winning with money is actually having cash in the bank because you guys this helps you avoid debt last episode we talked about how terrible debt is and if debt is not gonna be part of our lives saving is our only option because if you think about it saving and debt are kind of opposites because with debt you pay interests with saving you earn interest with debt you owe with saving you own with debt you're taking on risk savings lowers your risk debt steals your future savings secures it so they're opposites you guys so what our goal is is to save for $1,000 emergency funds this is kind of your starter emergency fund then you're gonna work to get completely debt-free everything but your house using the debt snowball and then after you're debt-free then go and save three to six months of expenses so this is what we call your fully funded emergency fund can we just take a deep breath I mean really could you imagine having no payments and three to six months of expenses saved in the bank like if anything were to happen you're taking care of you don't owe anyone anything and you have a ton of savings like this puts you in an incredible place not just financially but emotionally as well and why this is so important is because actually a top financial fear for most women is the lack of security so you want to make sure you have that safety net and oh another way to have a great safety net is to make sure you have term life insurance so no matter what baby step that you're on you need to make sure that you have it and if you already have it then go and reevaluate your life insurance needs because you can save a lot of money by ditching your whole life policy for a more cost effective term life policy now I recommend getting 10 to 12 times your annual income with a 15 to 20 year term policy and if you've paid off a lot of debts you may not need as much coverage and if things have changed in your lifestyle that can lower the costs as well Winston I personally use and love xander insurance so make sure to go to Xandar com or click the link below to get a quote today or to see if you can get a better rate if you're looking for some ways to save some serious cash you can cut expenses by cutting the cord on long term contracts and big monthly bills when you switch your cell phone service to pure talk us a pure talk USA's voice and data services covers 99% of Americans with their 4G LTE network providing the fastest internet speeds like the more expensive carriers plus pure talk operates on the largest gsm network in the u.s. to ensure you receive reliable coverage virtually anytime anywhere at get this half the price of the other brands and you never have to worry about contracts activation fees or data overage fees you can't wrap your talk USA risk free today at pure talk us a.com and enter the promo code Dave to receive 50% off your first month hey folks we are heading into August which means it's time for the kids to go back to school and for you to get back to your money goals and out of that vacation mode we had a good summer but it's time to refocus and that's why we have our back to school sale to help you out we've got some of our best selling tools and books and resources for you and some great deals up to 69 percent off you can get the Total Money Makeover our best-selling book for $12.99 the adventure pack $45.99 and our best selling money bundle for $43.99 get it all Dave Ramsey comm / store thanks for joining us America we're glad you're here open phones a triple eight eight two five five two two five alex is on the line in California welcome to the Dave Ramsey show Alex hi Dave thanks for taking the call certainly how can I help so I've been pretty lucky I make a pretty good wage as an engineer and I got some inheritance within the last few years it's been coming in from different estate sales and I've been getting a serious with my girlfriend but my girlfriend is in a lot of debt so she's got about a hundred thousand in student loan debt from private university in a field that doesn't pay well which what's her feel and arts okay so she spent a hundred grand to get a degree in art from a private university yeah okay and and she's got some other debts and right now she's unemployed I think she's been paralyzed by the debt you know I've just been listening to stories from different callers and I just hear the echo from from that you know okay so you that you feel like her hope is gone and like there's no sense in walking because I can't climb Everest right yeah no you don't think she's lazy I mean I I hope not oh yeah she has worked since I've been dating everyone dating for like four years and and I'm 28 now we're kind of getting to that point where things are either gonna get more serious or you know blessed again I guess so I don't know I just kind of looking advice in that range okay all right well I think I would just have you know a loving conversation whether it sounds like we're all pretty serious and yeah hey I'm worried about you yeah I don't listen to your bright you you know you've got all this potential and you seem to have been paralyzed by this debt and doing nothing about it and it's not gonna fix itself if your career is not what you thought it was going to be then you you know I'll walk with you well coach I'll be your biggest cheerleader on getting a different career but doing nothing is probably not a plan yeah can you not have that conversation yet I have I have and it's you know it is a hard conversation and she's very upset about it and I think that's to me is what shows that she does care and it's such like a hard topic to talk about you know it's so emotional no well the thing is you just got to do something about it I mean she has to do something about it and so um you know that there's there's more anxiety more stress in feeling stuck and sitting than there is in being overwhelmed while you're running and so we find people that their anxiety goes down that it helps people that are struggling with depression when they go to work um even even if it's just an you know if there's not something emotionally you feel like doing but just as an act of will as an act of personal strength intestinal fortitude I get up and I drag my butt out to the car I start the car and I go to work and there's something about that that is helpful to the human psyche even if it's not making a big dent today you're at least in action you're in motion and you're heading in the right direction sitting and you know it's like you're paralyzed a deer in the headlights sitting in the road waiting to be run over by an 18-wheeler is not a good plan and so I yeah you know if I'm in your shoes my son is actually about your age okay okay if he and I were sitting on the back porch having this exact conversation my advice to him father to son would be you lovingly have to help her solve this because not solving it as a deal-breaker yeah for the relationship you told me that earlier you just didn't use those exact words didn't you yeah yeah yeah so I'm just making you say that out loud to yourself and you don't have to threaten her that's not what I'm that's not the spirit I want you have a spirit of help and you want to help her be kind but it's a it's a kind act to help her get off the couch yeah baby doll you've got to go do something you know you're not gonna make it sitting here brooding and fearful and sucking your thumb it's it's a it's a human nature thing to do we all have been terrified most of us have at some point in our lives to where you feel that way I remember that feeling where I was just completely like crap no matter what I do it's wrong my life looks like a country song you know I mean it's just like awful and so you you just it just takes the wind out of your sails and proverbs says Hope deferred makes the heart sick that's what we're talking about okay Hope deferred she doesn't have hope yeah she feels stuck it feels overwhelmed it can't it's a hopeless situation but here's the rest of that proverb when desire comes it is the tree of life and that's what I was talking about earlier when you can go okay in spite of this I'm gonna have I'm gonna manifest with intestinal fortitude down in my guts the desire to get up and go do something just to keep from getting run over because I'm sitting in the middle of the interstate something's got to change even if I just crawl over to the edge in aller there a minute but at least there's some motion right and so you don't expect her to go get a new career making $200,000 an hour in the next 20 minutes that is not what I expect normal should you but I do expect to see her deal with this otherwise what you're gonna have five years from now is you're gonna be married to a 35 year old depressed lady yeah and you're gonna deal with that for the next 20 years does this where this is heading is clinical depression if she doesn't deal with it for her sake because it's a human nature thing I mean I feel sorry for I'm so sorry she's there but the bad news is she's got heard thousands in debt the great news is she's young smart and pretty and she can go do a whole lot of things and she didn't have to do anything with art she couldn't or she couldn't do something with art I don't care I don't care what she does but doing nothing I do care about and that's what you're saying and so give yourself a couple of more tough conversations to see if you see any movement at all because it it's not things are either getting better or they're getting worse and nothing does status quo nothing stays the same relationships get better they get worse jobs get better they get worse your money gets better it gets worse your physical body is getting better getting worse everything no one nothing stays exactly where it was there's its impossibility and so it sounds like while you've been dating her that this has gone downhill and you've got to help return it for her sake and for the sake of the relationship going forward that's a dad talking okay and you can do this and if I can help some way I will I mean if you if you want to go through Financial Peace University or something I mean take her to that that anything but it's gonna involve her her getting over this paralysis and engaging again and it's just hard to do when you're hurting and scared and hopeless Hope deferred makes the heart sick hey thanks for the call open phones at triple eight eight two five five two two five that's a tough one I remember when we were at the very bottom in 1988 it was August and I was sitting in early one morning the kids were tiny Rachael was about four months old Denis was a toddler I was so scared I couldn't breathe and I open my Bible and it hit Romans and it said from Romans five and said rejoice in your suffering and I want sure thanks that's a big help because suffering produces perseverance and perseverance produces character which produces hope but hope is a gift of God perseverance have precedes the hope this is the Dave Ramsey show [Applause] hey guys George Campbell here and I am out of the office and downtown and here's why when rat the Rams the office is easy to be in a bubble and be around people who think just like I do when it comes to money so I thought let's get around some normal people and see what they think when it comes to finances we are taking it to the street let's do it what is the biggest mistake you've made with money week's mistake I've made with money is buying a car that I shouldn't report that's a tough one I think gambling in Vegas how much did you lose total in Vegas I think I lost about $700 so I lost $400 but stay away from Vegas people that's the lesson learned here right at the door yeah College no just kidding no n-no maybe I'm not you've got some student loan debt yes trying to pay it off right now how much are we talking Oh God I don't even know maybe buying things that I didn't need at a time like when I was at university I used to get Starbucks every day okay and that kind of adds up over time now I think that the probably the biggest mistake is it's probably investing sooner and just passing a lot of my early 20s but looking a bit further now trying to forecast a bit longer term if we've done that younger we've probably been a different situation all right I think we have a scooter guy here Missy if they want to talk to me nope they won't search what is the biggest mistake you've made with money spending it on alcohol not as honest he was what's the biggest mistake you've made with money definitely the credit cards and rolling things over there was one case many years ago where we we refinanced a mortgage and that was just a mistake definitely paying for food all the time I think I lose most of the money that I made with food raising your credit cards too high and then having to try and pay him back down how about you car I think car payments are things that I would not I would have bought a cheaper car what's the biggest mistake you made with money buying a vehicle too early I would say yeah but you soon as mine was paid off I bought a brand new one okay everyone we've all heard the phrase pre-tax and post tax what does it mean well I want you to think of your 401k the traditional one if you have a traditional 401k here's the deal the money is pulled out of your check and put into that account before your money ever gets deposited with post tax what it means is the money that you're investing is actually coming post tax it means that money is being counted towards your income whenever you start to file your taxes for the end of the year the goal is this though with pre-tax a 401 K you're gonna pay taxes on that money when you pull it out at age 59 and a half you're gonna have to pay taxes on a traditional 401k however with post tax options like a Roth IRA or Roth 401k you've already paid the taxes now this money is growing for you tax-free so I want you to understand that difference and above all make sure you're doing something I would love for you to grab every post tax opportunity that you have available to you whether that's a Roth 401k or regular Roth IRA whenever you hear Roth you're thinking tax-free and after post tax dollars so have your mind focused on that and understand it's imperative to have a game plan you have to understand what tools are available to you and how those tools work hey folks the fall is right around the corner and that means school will be starting back up how many of you watching this you know that you need some form of continuing education to make it to the future that you desire my friends at Liberty University have an online program that can help you get where you want to go and here's the exciting news they're giving away four five thousand dollar scholarships did you hear that five thousand dollar scholarship imagine how that could fund your future life is way too short to be stuck in a job you can't stand Liberty University's online programs can help you further your career and get prepared for the job you really love and we're called to do they've got over 600 degrees offered through 17 colleges and schools that will prepare you to thrive in any marketplace now let's talk about how you enter and win $5,000 to get you going to get all of the details on the rules and how to enter go to Liberty edu slash kit stop waiting start moving right now Liberty edu slash Kent at new man-on-the-street segment we had a lot of fun go into downtown Nashville and hearing from everyday people and you heard some of their financial mistakes we want you to avoid those that's for sure now upcoming we have a new segment from me and you're gonna see me in a different shirt because we filmed it the other day and what we did we went around the building and started giving you guys a little behind the scenes and some tour segments we also talked to some of our team members about what they think of the new headquarters how they're feeling and the excitement around it also I want to preface that so you don't go on the YouTube chat and say did George have an outfit change I did not but you're gonna get some behind the scenes coming up so enjoy that [Applause] Bianca is with us in Nevada hi Bianca welcome to the Dave Ramsey show better than I deserve how can I help my truck park plaster repair equal the price as the car you should probably replace it yes I do my own ranging so it never really gets to that point well there reaches a point though that all you're doing is wrenching I mean the thing is just at the end of its life so how many miles on the truck well hundred thousand okay and so do you have any money saved at all to the radiator and okay alright so what's your income ninety thousand why do you have no money saved at ninety thousand I'm on babysat – and I just spend my name is on to a truck I got you okay save your thousand dollar emergency fund it baby step one and then you're working your baby step two how much debt have you got okay alright so when will you be done with the debt why would it take two years to pay off twenty thousand if you make ninety building my house so you told me to just add that and then spread it to three two years of said of one gotcha okay I think I do remember your call now all right I think I remember let's working through that together all right well I mean your truck is probably worth less than a thousand dollars agreed um repaired new book says 4500 really okay could you get a better car for five thousand dollars than that car well I am off grid and I need a truck to haul water well I mean truck did you not get a better baby so it needs to have a back seat could you ever get a better truck than that one for $5,000 I've been able to find it I've been looking for the like a month and a half okay I'm good time well I mean you you have the option to continue drench it but you're just telling me that the thing is eating money and it's got 400,000 miles on it so if you can continue to have it be reliable and it's not eating your lunch then it's okay to move on through it and continue to mess with it if you want to all right Matthew is on the line Matthews in Colorado hi Matthew welcome the Dave Ramsey show hey Dave how you doing there better than I deserve how can I help ya so um my wife and I are just starting out I'm only 22 years old and we just paid off all of our debts credit cards things like that it wasn't too out of control I sold a lot of a lot of stuff to pay it off but now what board we're looking at right now is um she'd like to start cosmetology school and we're eligible for the Pell Grant but that would still leave about ten thousand dollars in student loans that we potentially need to take out as she pursues that and not my only concern is that um I currently have any other debt I have is a is a loan it's going to be about five to six hundred ollars a month it's going to be coming out here in the next month or two I think you're familiar with the military academy loans and so my concern is that were on some minimal income at the moment and as a way to meet you heart attack in the mill here I took some military loan yeah which is which is why like I said I've sold sold and down I'm ready to how much do you owe on that so when I took the loan I used it to buy a new car like a knucklehead and then I I put the rest in a Roth IRA so so it's 30 mm doesn't start coming out until the 10th of this next month will be the first payment then what's your household income so so at the moment we're both just kind of starting to get on our feet here at the moment I'm making about $1,700 a month with a pay increase in the next month or two is what it's looking like and she's pulling in about a thousand dollars a month okay well I would like for her to go to cosmetology cosmetology school when you all can afford to pay cash for it I would never in a thousand years tell somebody take a student loan out yeah ever yeah yeah I mean I just know me you know my only concern is you know it's just she doesn't know she doesn't have a college degree and because I didn't survive the Academy I am I'm in position where I don't have to go to school for about a semester but a college degree using you all to fail or not fail throughout the scope of your life if you choose as a part of your career path to get some additional education as you go along I think that's fine but you pay cash for it you know you do not rationalize your butt off and get yourself listen you've just been working to get out of debt you feel trapped right now by this stupid Academy loan and then you call up and say I want to do more of that because it's so much fun no it's not fun no I'm being sarcastic okay no we don't you know so no I mean you can't just decide to go do something and pay for it with a loan every time you do that it's you're gonna be broke your whole life and so what you do is you lay down and say okay what has to be true now we got a work extra we're gonna be tight on the budget we've got to take care of this stupid Academy loan and we got to come up with an additional ten thousand dollars which if we save eight hundred bucks a month for a year that's ten thousand dollars yeah as opposed to and someone else a honey mushroom yeah okay as opposed to borrowing the money which puts you right back in a mess and other thing you want to do with cosmetology school like any other school any other academic any other trade school thing is you shop you look at the different schools that are available and the different costs that are available and you know when you're through you're gonna be cutting hair if you're going to cosmetology and no one it's gonna come up to the booth to get their a haircut and go oh I can't I can't use you because that's I don't like that I don't like where you went to school you know yeah it's been a long time since Dave had a haircut okay Ellen here but back when I got haircuts I never asked a single person where they got their haircutting license so you go to the place that's the least expensive and that gets you the basic education to be able to function in that world and you don't overpay for it in other words that's part of the equation might be that you find something that you don't need an extra ten for you just need an extra for four or something I don't know but I'm always always shopping education is a funny thing people don't shop it somehow they feel like the one place that they found is the big deal and it's just not so hope that helps you man thanks for the call open phones at triple eight eight two five five two two five Nicole is next hi Nicole welcome to Dave Ramsey show hi there thank you so much for taking my call sure what's up so I have been just having trouble making a decision I would like to leave my current wrestle like super overwhelming job as a claims adjuster and maybe transition to real estate but just having trouble really making a decision due to some of the other life circumstances and kind of looking just for advice okay so what's super overwhelming about claims adjusting well it's not so much of that it's that February first I think you talked to my husband about it once but February 1st of 2017 we found out our son had passed away at daycare and I got that phone call sitting in the same cube I sit in today with the same work in front of me you know essentially the same thing and I can't imagine it just kind of it replays the date a little too much and as we get closer to August which is his birthday month yeah I just start falling apart I would too I'd be a basket case I understand oh my gosh I'm so sorry well make a plan that gives you an exit strategy when you're gonna leave and how are you going to leave that's wise but you can't be sitting there this time next year hey folks Ken Coleman here every day on my radio show I talked to hard-working people like you that are stuck in a job they hate and are searching for something new two of the most common questions I hear are how do I make my resume stand out and how can I do a great job in my interview so many people turn to the internet and end up using the same cookie cutter resume templates that simply don't work why don't they work because your resume will look like everybody else's resume and if there's no relationship attached to that resume it's worthless now let's talk about if you get your foot in the door and land an interview we're gonna teach you how to prepare before the interview so that you can perform during the interview the team and I have created two free resources to help you recreate your resume nail the interview and move one step closer to landing your dream job we call them the get hired guys in these downloadable PDFs I'll walk with you through what you need to know who you need to know and how you need to act in every step during the hiring process so what are you waiting for if you're sick of your boring nine-to-five job and are ready to make a change head over to Ken Coleman calm right now and download the free get hired guides just type in your email download the PDFs and start chasing down your dream job it's as easy as that at times you're exiting we've helped thousands of people get out of their time chairs forever when you go to a timeshare presentation they sell you on this promise that you're going to get the vacation of your dreams unfortunately that's not always the case the time shirt didn't deliver what they promise in the presentation whatsoever booking the vacations I wanted was absolutely impossible I can't print it I can't sell it I can't do anything with it getting somebody out of timeshare contract is not easy it definitely takes some time in the meeting what timeshare eggs a team they were very upfront it was low pressure you do not have to worry about it once it's in their hands you're done with it at times sure extra team we guarantee we will get you out of your timeshare contract or we'll give you your money back I felt like a weight had been lifted off my shoulders time sharings a team sent us a letter saying that we're free and clear of the timeshare there was a time to celebrate if you're unhappy with your timeshare we would love to help you find a way out for a free consultation go to timeshare exit team comm today that's timeshare exit team calm hey guys I came out here to get some fresh air and I realize we've been showing you the inside of the building for many segments but we never showed you the outside of the building so here I am out here in the parking lot and behind me is this amazing building paid for all in cash by Dave Ramsey and our team and we are so excited to show you more of it but if you're driving down Interstate i-65 here in Middle Tennessee you're gonna see this right off the interstate Dave wanted this to be a giant billboard of hope for all people that are driving by you can't miss this place we're about 20 miles south of Nashville and we will be open and ready for you guys starting August 15th we'd love for you to come visit us get some free baked goods some coffee and much much more we'll see you then our question today comes from blinds.com they have a 100% satisfaction guarantee that means even if you miss measure you pick the wrong color they will remake your blinds for free you get 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 deal today's questions from Laura in Tennessee why do I need a will if I'm still young and haven't acquired a ton of wealth yet you don't need a complicated will you need an inexpensive will and that's why we use mama bear legal forms calm they're not that expensive to get a basic will in place the more complicated and larger estate is the more you will spend on your estate planning and on your will in order to keep the government's hands off of everything if you are young single 25 years old and you die and you have a car in a bank account and that's it it's gonna be very easy to work through your estate but it's going to take your parents or whoever is left twice as long maybe five times as much trouble to get those few simple transactions taken care of if you don't have a will the other thing you'll want to have as a part of your will package always is you know your healthcare power of attorney and the event you're disabled who's going to make this if you're unable to make decisions for yourself medically who's going to make those decisions and also you know as a part of that process you want to fill out the paperwork on to unplug or to not unplug in the event of coma or something like that and so that takes a lot of the burden off of people that you love when you have a power of attorney in the event you're disabled you have your medical stuff filled out everything's laid out and you've got a will that your parents can file or whoever would be doing your estate if you're young and single and don't have a lot of assets if you have children obviously it becomes very important the state will decide what happens to your children if you don't that's not a good thing you need to decide and so he don't have spent a lot of money or a lot of time but it's also a good exercise and maturity to just to have your full plan done on what's gonna happen and share it with your family and so they know what's going on are you an organ donor you know all these kinds of things it's very very nice to have all of that laid out for the people that are left behind they're already gonna be very sad grieving distraught and in the middle of that you leave them with difficult decisions to make if you haven't made them ahead of time it's just maturity all right up next is Blake in South Carolina hey Blake welcome to the Dave Ramsey show hey Dave thank you I appreciate the opportunity how are you today better than I deserve what's up so I heard you talking about house fever and I have a very simple question did I get house fever or did I get a Dave a bruise deal and we can go with the details from there well I mean uh you know the guidelines that we lay out I could rattle off sir no okay are you debt were you debt-free before you bought the house I'm not debt-free okay you bought a house while you still had debt yes sir okay we don't teach people to do that okay all right there we go easy enough we want you to be debt-free because we don't want Sallie Mae to have to have our own bedroom we don't want the stress and add it on top of the house and so we tell folks to be debt-free have their emergency fund in place and have their down payment in place above that andrew is with us on line four hi Andrew in Massachusetts how are you hey Dave I'm good how are you better than I deserve what's up um this one say thanks for taking my call first of all should I appreciate that sure I don't know I have a I've got a single question hello hello okay I've got a school question for you okay so I did a two-year program at a community college cash flow cash flows my first year there and I got a loan for my second year and transferred I graduated in business and I transferred over to state school so I did I did one semester there and during this time like my dad took over a business that he's been working out for thirty years automobile business and I'm working there and I got my appraisers license in the state of Massachusetts so I'm working as the damage appraiser and I'm just wondering I'm thinking about staying with this company and eventually taking it over I've talked to my dad and he's probably gonna work for another 10 to 12 years and sell it over to me mm-hmm and I'm just wondering if I should continue going to school or not mm-hmm okay well the actual completion of the degree won't matter but what does matter is the knowledge base okay if you're going to run a business and you've had more classes on accounting more classes on marketing more classes on statistical analysis more classes the standard business classes on Finance and so on the better decisions you're going to make you're better tools and your belt to do your job running the business later today I would not worry about it today you're not in a panic I would take the income that you've got you've got a good career started there let's go make some money let's get these debts paid off that you do have and then if you want to save up and do some work in the evenings and try to complete your degree and in the process put some of those tools in your belt that you maybe don't have today it'll be helpful to you but there's plenty of people run very successful businesses with less education than you've currently got right you also but the other part of this is you want to commit if you're in in anything but particularly in business and it's true in medicine and law other things you want to commit to being a lifelong learner a reader you need to read business books really Dersch it bucks and you know our books on entrepreneurship and you need to constantly be reading and growing and college doesn't doesn't you know when you got school if you stop learning then in just a few years you're irrelevant so you have that you have to keep reading and growing and learning all the time you have to keep adding to your knowledge base as you go if you keep doing that you'll be fine and then if you wanted to go back and you know finish up your finish up your bachelor's you're probably not that far out from finishing it that's a fine thing to do and you know some of the classwork that you do to get that would be valuable to you and running the business I have a four year degrees all I have I got a master's and but I'm a lifelong learner in addition to that and so I probably got several PhDs in terms of the amount of information I have ingested in the 35 40 years I've been doing business and so that's what you're looking at you're trying to learn trying to grow and trying to add to it but the you know my basic four year degree is fair it was very helpful for that matter still very helpful a lot of those basic things basic accounting understanding and GAAP principles and you know finance principles or things I use on the air here every day my job is to not make them sound like gobbledygook instead put the cookies on a shelf where everybody can reach them but I'm using the concepts and the critical thinking skills that you know that we were taught in our academic education so education is valuable is it mandatory where you slap your fist on the table say you're not gonna be successful as you go back right now no no I think you're gonna make some money and get your you know get get a little nest egg put back get yourself out of debt get your emergency fund in place and if you want to save up and pay for classwork and do some evening work as you go you're gonna be fine and learn the business from your dad learn the business from other people in the business learn best practices get involved in stuff like on trade leadership some of the other things that people have out there where you're growing and learning as a leader and those things you'll be just fine you'll be just fine lots of people with high school education or even less have been very successful in business there's a lot more to it than simply getting a degree so good question man appreciate you joining us open phones a triple eight eight two five five two two five appreciate you guys hanging out with us thanks for being here this is your show it is a show all about you that puts this particular in the books are links to James child's our producer Kelly Daniels our associate producer and phone screener I'm Dave Ramsey your host we'll be back with you before you know it [Applause] [Applause] our high health care costs getting you down are you confused trying to navigate the health insurance world do you wish you could find an affordable biblical solution to your healthcare costs based on New Testament principles Christian health care ministries are CHM helps christian families churches and businesses join together as the body of Christ to share their major health care costs as a CHM member you can go to any doctor or hospital you prefer you aren't bound by an approved healthcare provider list and all treatment decisions are made between you and your doctors no treatment approvals are ever part of the CHM experience for tens of thousands of Christians CHM is a trustee affordable and biblical health care solution and it can be the solution for you as well visit us online or call today to learn more about how we can serve your family church or business Christian health care ministries one eight hundred seven nine one six two two five CH ministries dot org what is our motivation for the way we spend our money are we trying to impress others are we trying to impress ourselves are we trying to live up to some big you know dream or what other people think that we should have but what about starting to look and see what do you really want to do my name is Derek ham this is my wife Latrice ham we're currently in Tampa Florida so when we started this journey we had a hundred and twenty six thousand dollars in debt but it took us around 26 months to pay it off and it was it was hard sometimes we had to make a lot of sacrifices we had to get very resourceful we had to do a lot of self-reflection we had to learn how to say no this really helped us to grow into into what our family should be I am what we're both engineers for the government I worked in an RF engineering and she worked more networking for me growing up I was good with saving money but I was also good with spending all the money I saved it was definitely not a good way to live and a good way to plan for the future but it was a fun at the time I always worked hard and tried to save money but unfortunately my parents didn't really know how to manage their own money so I kind of had to learn on my own as soon as we got married we we bought two cars at the same time so we had credit card bills we had a car to card notes and we had student loans that was a majority of what we had to pay off how long marriage I can't maybe a year to into the marriage when we realize we we weren't doing it right once I started actually seeing the numbers that's when I was like oh we got to do better our turning point was when we got home from a Christmas vacation Derick needed new tires on this truck why are we stressing out about getting new tires this makes no sense and so that's what I knew like the buck stops here we have got to get our finances in order we have got to face the music she comes around wanting to do date the the course the class that was offered at our church I gotta say I was probably the best thing that was the best thing that ever happened to it yeah he did not want to go he was he was like well you could just take notes for me I grew up in a household where they operated separately it was a his-and-hers and I said no we're not gonna do that's gonna be our money we started putting putting the buzzer together and actually seeing what we had coming in and what was going out it really started expanding the way we thought as far as you know what we what was really important and what we needed to do versus what we what we wanted to do right now 78% of Americans are living paycheck to paycheck that means if you look around your own neighborhood eight out of ten families on your street cannot cover a basic emergency they might not be able to afford their mortgage payment they're not keeping their own money they're sending a fourth of their paycheck to car payments student loans and the credit card companies in the worst part most of these folks don't even know why they're stressed while they're fighting with their spouse while there's too much month left at the end of the money it's not okay they shouldn't have to live that way what if you could help them win with money you can as a Financial Peace University coordinator our coordinators have helped over five million people learn how to pay off debt spend and save wisely and ultimately change their lives if you have a heart for helping people then you're the perfect person to become a coordinator and you don't need a lot of time or any special training plus someone from my team will walk alongside you and guide you through the entire process join us in changing lives and take the first step to becoming a Financial Peace University coordinator today all right folks welcome to our three of the Dave Ramsey show it's our first show live here on the video channel and I'm walking in our amazing atrium here and it is expensive I will tell you that much to my left is Baker Street Cafe we're putting the finishing touches on that so I won't show you just yet but behind me is the studio and below these railings right here is the Ramsey cafe which is just for our team members and it has been amazing so far but like I said we're still putting the finishing touches on here you can see the paint is still drying that is how new this place is and I can't wait to show you more of course we've got some segments some behind the scenes talking with our team members showing you some of our office spaces that are incredible but you're here for the Dave Ramsey show so what do you say we get back to more of that it's coming up sacrifice determination you can be intentional about your character you got to be on the same page today we're calling let you know we're debt-free how's that everything you have done really really good and you're not gonna quit it's been a huge witness for us to be able to share that it was time to get serious intentionality people this is your show America I know at 22 what I know now our life would be better as the show that's changing the world now you don't just listen to the show you live it from the headquarters of Ramsey solutions broadcasting from the dollar car rental studios it's the Dave Ramsey show where dead is dumb cash is king in 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 open phones at triple eight eight two five five two two five that's triple eight eight two five five two two five Dan starts off this hour in Colorado hi Dan welcome to the Dave Ramsey show hey Dave thanks for taking my call sure what's up home I'm 58 almost 59 I've had a rollercoaster life financially on my own business 21 years did really well then really bad sugar duck finally closed in 2016 probably should have done it five years earlier took a year off and by some miracle got a job at 56 in 2017 and now I'm doing pretty decent make about 80 90 kg air my wife has makes about 54 we paid off a lot of our credit card debt that has simulated from the business and everything else probably about 40k in the last two and a half years good for you yeah well it was 92 K but now we're faced with with some decisions some of those credit card loans when they're given out cheap paper at $2.99 fixed you know 10 years ago we use those as sv loans so SBA instead of the SBA loans and what happened is we still have some of that 2.99 fixed left maybe about 5,000 then I was on a disabled vets I was able to lock in a 3 to 5 refi in 2012 and I still owe about 206 on that the problem is my retirement only 40,000 and now I'm faced with investing it making more than the 3.25 or the 299 that I have left over in debt or should I go ahead and pay that off because right now I'm looking at 82 before I pay off and women you met you make a hundred and forty five thousand dollars a year why would you be at eighty two paying off your house it's only two hundred thousand I was forced to refine and listen what do you you only owe $200,000 you make one hundred and forty five thousand right that's not eighty two now we actually know nineteen eighty two is when we pay it off I'm sorry by when I'm aged 82 no that's ridiculous you're not let your hear me two hundred thousand dollars and you make a hundred and forty five why would you wait why would you wait until age eighty two to pay that off well first I wanted to get my credit card debt thank you well know at the time was no now a day right today you do not have an eighty two-year-old projection on paying off your home from today you only have two hundred and eleven thousand dollars in debt to your name and you make a hundred and forty five fifty thousand dollars a year out of a hundred and forty five as you living on ninety and that puts you out of that in four years with everything by the time your cell D right would you do that no I'm just saying I'm just saying that don't don't don't throw out the dramatic eighty two-year-old because that's just dumb that's not even true so now let's go back and what what we teach is what's called we call the baby steps baby step one save a thousand dollars to is be out of debt everything but your house you've got five thousand dollars you knock that in the head right now get that done as soon as possible you have any money in savings at all that's not retirement yeah we started saving up at six months we have seven thousand and write a check today and pay off write a check today and pay off the credit card and cut it up even though it's two points you haven't not gonna borrow money on a credit card to build wealth today stop this stop playing with his dad gum debt it is not your in its not been your friend it's still not your friend the faster you get rid of the debt the faster you build wealth so next step is write cheque today pay off the credit card then the next step is to have an emergency fund of three to six months of expenses we call that baby step three baby step three is three to six months of expenses I want you to rebuild your savings as quickly as you can for a rainy day fund you guys have seen some rainy days you know there's a need for that have that in place in your all's house that's probably 20,000 bucks and ones just safe okay it's not gonna be very high-performing and but you're gonna do really really fast cuz you make really good money and you're gonna be on a budget now where you make every dollar behave because you're 56 and you have about a 14 year horizon to get everything done and in place well I'm 59 now almost okay then you've got an 11 year horizon till you're 70 okay so we've got to get to rockin on this stuff so you're gonna get these first two or three little things done very quickly then baby step 4 is I want you to start saving 15 percent of your income that's $20,000 a year into retirement plans until we get the house paid off above that I want you to attack this house and get it paid off but you need to be on beans and rice right now you don't be running around all over the world traveling you don't need to be eating out every night you too need to be on a written budget the two of you are in agreement we've got some catching up to do because here's what I want you to do if you will save twenty to thirty thousand dollars a year for ten years you're gonna have about six or eight hundred thousand dollars and your house will have been paid off years before that say 140 is your aunt 145 s your income minus twenty thousand going into retirement okay that leaves us a hundred and twenty-two thousand dollars to live and pay big chunks on the house let's take 50 and throw it at the house a year above putting your money into retirement fifty a year in four years you're not even 65 years old your house is paid for you'll have at that point about two hundred thousand dollars in retirement and you've got five more years till you're 70 to put another three or four hundred thousand side and it'll double again so that's where you're headed if you follow the baby steps that we teach but you're not going to build wealth in the short term by borrowing on your house to invest in others not paying off the house so that I can invest more that has not been a formula that's worked for anyone hold on the line I'll send you a copy the book the Total Money Makeover it will show you exactly what to do step by step it show you these baby steps I'm talking about pay off your credit card that they immediately build that emergency fund of 20,000 as fast as you can then start putting 15% into retirement and everything else on the house the house is gone when the house is gone you come back and you load retirement up and even more and use all of your income to build wealth and you guys have got to stop spending you don't have time to waste money you got to be on a budget and do this hold on I'll send you a copy the book the Total Money Makeover I talk a lot on this show about your offensive game with money how to build wealth by saving and investing but your defensive game is just as important I mean you have to protect your money in your family because when emergencies hit that way nobody's caught off guard there's ten kinds of coverage you might need based on where you are in your life stage and we built a tool that will show you what you need to add or drop in just five minutes it's the five minute coverage checkup to get it it's free text the word checkup 233 789 text of the word checkup 233 789 in every story there's a character that needs to overcome the odds that don't know if they've got what it takes in every story a person comes to that character and shows them how to win we were guiding these people real-life stories to becoming real life eruption they change jobs they move cities they sold stuff they delayed vacations all because they believed if they did that they could win it was never just a radio show we were really creating a movement around the country that nobody understood and we went hard at the industry not only were we fighting radio affiliates and program directors we were fighting the whole either financial industry we were scratching and calling for every radio station having producers say you never make it our mission was so clear it was changing lives but nobody wanted to take a risk on us this is what Moore called to you we're gonna get back up we're knocked down no matter what was going on the listener was in every way we are the only talk radio show where life change is even a factor actually affecting people's lives we just never knew how big it could be count it down let's hear a debt free scream if you're looking for some ways to save some serious cash you can cut expenses by cutting the cord on long term contracts and big monthly bills when you switch your cell phone service to prepare talk us a peer talk USA's voice and data services covers 99% of Americans with their 4G LTE network providing the fastest internet speeds like the more expensive carriers plus pure talk operates on the largest gsm network in the u.s. to ensure you receive reliable coverage virtually anytime anywhere at get this half the price of the other brands and you never have to worry about contracts activation fees or data overage fees you can drop your talk USA risk-free today at pure talk us a.com and enter the promo code Dave to receive 50% off your first month hey folks welcome back I'm here in our IT area and I'm trying to be of help but I don't think I'm helping at all which is where John comes in John how are you doing great George how are you I'm doing very well I got to say I love these Ramsey I t-shirts you got explain it for everyone watching out there what's going on with this well we've got all of our team members moving over to the new building and we just wanted to be really visible so that they can see us flag us down if they have a question so we all got these shirts to kind of help identify us and they say let me google that for you which feels a little bit passive-aggressive John what's going on there well I think the creative team was having some fun with us but basically they know that you know we do a lot of Google research to help find answers to questions and we can do that it's a nice way of putting in what's really saying is just Google it yourself it's probably a simple enough of a fix now you guys fix a lot of problems here how many would you say do you know do you have anything offhand you how many tickets you guys do a year oh gosh you'd have to ask somebody else Steven Moffat would have that answer for you but it's thousands thousands upon thousands of tickets and I got to say I probably take up a large percentage of those with all the issues that you fix for me over the years at least twenty percent well thanks John I can't wait to see this place come to life and see how you guys help our team out in so many ways it's delighted to serve thank you for joining us America Blake is with us in Indiana hi Blake welcome to the Dave Ramsey show hi Dave thanks for taking my call sure what's up well I started a business back in 2017 with a partner and I was the only one who personally guaranteed all the loans for the business and the business has since failed and I've actually retained a bankruptcy attorney but I discovered you about three weeks ago and after listening to you I'm wondering if I can dig myself out of this without bankruptcy okay how much your dad and what kind of dad have you got left over from the business so there's about a hundred I've got a hundred and thirty thousand dollars in debt total fifty-five thousand without his credit cards that I personally guaranteed for the business we were a car dealership so I've got sixteen thousand left over to my floorplan lender I've got ten thousand and an equipment lease and probably another five thousand left over to miscellaneous vendors and then I personally have an auto loan and wha-what do you own your car twenty-five thousand or do on your boat eighteen thousand and what's your income now seventy thousand okay are you married no okay single all right yep well in in a bankruptcy you're not going to keep the boat in the car unless you keep the debt right and so both of those are gone in either scenario right you sell them and you get rid of debt or you give them up in bankruptcy and you get rid of that whichever whichever whichever direction you go okay right the how long are you behind on the credit cards I quit paying on saying other than the truck in the boat in September so my floorplan lenders already secured a judgment against me American Express has just filed a lawsuit against me and so to discover perfect okay that's good all right um well you might make it out of this I mean you sell the boat and sell the car and your own beans and rice and let's just pretend that each one of those that you went to the floorplan lender and you said I don't have $16,000 I have saved up $4,000 and I'll give you that if you want to take that a settlement mm-hmm and let's just say you went through and you settled all of this for a quarter on the dollar well that'd be somewhere around thirty thousand bucks it'd take you and you could probably do that in making seventy thousand as a single guy you probably do that in a year if you got rid of the boat in the car sure um he you know could you come up with fifty thousand because some up wouldn't take a quarter on the dollar yeah but it's probably I think a little longer to here it may take longer than a year to negotiate with all these people right right and the emotional stress and the amount of emotional abuse that you take through the process is unbelievable yeah I've kind of dealt with a little of that already yeah they're just they just are ridiculous and so what I what I did I actually had a three million dollars worth of debt and I had worked it all the way down to three hundred and seventy eight thousand before I filed I almost may I also know then what I know now so it probably has more to do with whether or not you have enough emotional and spiritual gas left in your tank to fight like a maniac for one year really hard yeah if you could suck it up and do that for one year and you just argue with morons which is what you're going to be doing it's not negotiating it's arguing with morons and go and listen I have four thousand dollars well we'll take seven thousand dollars maybe you didn't understand what is English your second language I mean I said or thousand dollars that's all I have these are the conversations you're gonna have over and over and over again I mean you're thinking to yourself or your parents cousins I mean what can't you understand it sentence you know and you just have you just kind of have to have fun with it and you just beat the snot out of them because in a bankruptcy here's what they're gonna get this is zero right so anything you give them is a bonus sure and you're not lying to them you don't have a hundred thousand dollars sitting in an account or you would have not have called me you would have paid the bills exactly so you're saying I have five thousand dollars who wants it first okay you know and settle each one of these I would recommend that if I was going to work really hard on the first two I would get rid of the equipment lease and the floor plan people American Express is all bark and no bite they're so full of crap you can tell they're lying if their mouths moving there's a horrible company and their collections people break federal law on a daily basis they're just outrageous yeah and so you have to learn to just hang up the phone and have a conversation another day if you feel your blood pressure moving up just go they're getting to me this they're winning this argument I need to get off the phone this is a simple conversation I have this much money do you want it okay as settlement in full you have to get it in writing and never give them electronic access to your checking account because they lie they will clean you out right but if you can afford you know how many different credit cards are there in the 55 there's probably eight or nine okay and so let's say there's ten creditors with the floor plan and the lease right yep and so there's 10 people we have to get to come to terms with 10 battles I have to win and then I win the war right and if you've got any that are super small that are like a thousand dollars hey yeah yeah there's several of those just pay it and get it out of your life yeah but if it hadn't been paid since September you've still got to get in writing what the balance is or they'll come back and have tripled it with collections fees and stuff right right with the law of them they've quit adding fees on to them at this point these are all going to lawsuits I mean if you had but they're not gonna go if they're small ones they're not going to lawsuit the American Express bill must be large there's two American Express cards ones 13,000 ones 11,000 if they're north of 10 they will eventually go to a lawsuit but there's not a lot they can do with that most the time they take it – take it – same thing with your floodplain company they take it to you no judgment lien and it just sits there then if you're wrong by house or everyone sell a house or something like that it's hard some of them will go so far as to garnish wages but almost never okay now the equipment equipment lease in the floor plan are more likely to do that than credit cards credit cards are just you know they just yep yep yep yep yep they're just like a barking faced dog they drive you nuts and so and you're really not dealing with intelligent life there this is some of the dumbest humans on the planet when you're dealing the credit card collector sure and you've already discovered that an American Express I'm sure and several others yeah yeah and discover discovers just they're moronic yeah and so you just have to keep going listen number one we're not going to have an abusive conversation there you're gonna listen to a dial tone number two there's some basic tenets of the conversation here's what I've got I don't have anymore you using a technique is not gonna make me grow money I don't have money this is what I have do you want it bad if it is it listen one more time and then I'm gonna hang up do you want the money and then just hang up and call back you know I've days later and do it again you know and it's just you just if you can do all that I think you can get out of this I don't think you're bankrupt but it may drive you to the edge of insanity before you get it's just you have to turn into a game because it's such a ludicrous series of conversations I mean the way they treat us and we're not we don't even know the money we're negotiating on behalf of the customer we're calling it trying to settle something for some widow or something one of our coaches here you know and they're like trying to yell it does we're like listen you're an idiot I'm not talking to you if you're gonna yell always hang up the phone on them you know right and they call you at our receptionist and stuff I mean there's it's just crazy so it's a weird little world that they all live in you're trying to do the right thing give them some money I think you can work your way through this if you got enough gas left in your tank okay okay awesome you need some help you call me back I'll be happy to it's what I'm here for I'll be anyway I can't been there myself had those exact same conversations on my own behalf one reasons I hate American Express so bad unbelievable yeah they told my wife one time why would you stay with a man who won't pay his bills she called me crying because she was kind of thinking the same thing this is the Dave Ramsey show [Applause] [Applause] [Applause] now we actually had to put what we've been preaching the practice and we were making so many extra payments the interest wasn't racking up and so we were actually paying a lot quicker than we thought we would have it done which actually pushed our date from like I think was June June or May June to like February because because we making so we was so aggressive on it this class taught us that really you can live in this world without owing any man any debt it gave us the the opportunity to dream again this was huge and so for us to fight through this it just makes us feel like hey we could do anything we could do anything a lot of people go on diets or try to do quick fixes with that with their finances but then they're back into you know using credit cards and back in the day and this this kind of talk taught us how to have a life change that that has really freed us as far as what we want to do for our band also since we've been debt-free we were we've been able to be foster parents we were able to actually foster a young kid and and important to his life and we were also able to we we were trying to have another baby in order to have another baby we had to do IVF and and since since then we were able to do it and not go into debt doing it and and we were blessed to have another child now we can actually create a legacy for our children whereas before we didn't think in those kind of terms when you think about freedom right we thought we were free all right we really did but getting out of debt this whole journey of becoming debt-free has taught us what true financial freedom feels like I don't want I don't want to have to owe anybody money I want to make my own decisions I don't want to have to you know say I got to pay this bill I got to do this you know I owe this these guys just started getting a little upset that you bet you owe money I believe what the Bible says I believe that you know we are the head and not the tail we are above and not beneath we are Linder and not a borrower right so we say these things we pray these things all the time what was missing was us actually doing the work whether I have $50,000 if I have a hundred and fifty thousand dollars it is all in how you manage it because I believe what God said and his word was true and so I was going to stick to it my part and I saw that he did show up and bless us tremendously on one change my answer see Issa huskiness that I mean that was inspirational they're gonna be the glory yeah getting your money in order can feel a little overwhelming that's why Dave created the baby steps they break it down for you and show you exactly what to do next baby step two is where you get rid of all of your debts one at a time using the debt snowball in the debt snowball you list your debts smallest to largest by amount owed pay minimum payments on all of the debts except for the smallest one and attack it with a vengeance I mean go ninja crazy on it once it's gone take the money you were putting towards that debt plus any extra money you can find and attack the next stat on the list once it's gone take that combined payment and go on to the next step knock them out one by one the point of the debt snowball is behavior modification when you ditch the small debt first you see progress that will get you fired up soon the second debt will follow and then the next when you see that the plan is working you'll stick to it by sticking to it you'll eventually succeed in becoming debts one of the things that makes the Dave Ramsey show unique from other shows is that we genuinely care about our listeners that's why we're intentional about choosing advertisers that we know will serve our listeners wealth blinds.com is no exception for years I've been telling you how amazing these guys are blinds.com offers high quality window treatments at unbelievable prices and their customer service is unbeatable they make buying measuring and installing blinds fun affordable and shockingly easy and if you accidently miss measure or pick the wrong color they'll remake your blinds for free when you're looking for window blinds the only place you need to go is blinds.com with blinds calm you get free samples free shipping and when you use the promo code Ramsey you'll save even more take advantage of this week's special promotional offer when you go to blinds.com and use the promo code Ramsey as welcome back I'm here by the debt free screen wall and you'll notice we put a quote right here that Dave opens every show with debt is dumb cash is king and what's so cool about our new headquarters is that we paid for it all now right in front of me is the visitor entrance where you all will walk in and you're gonna walk in right here into our debt-free screen wall this is where all of the families all the people will do their debt-free scream and right across from me is Dave on the glass they'll have a direct line of sight it's going to be a lot of fun we'll see you in August well the kids are about that back to school it means it's time for you to get your vacation mode off and get back on your money goals you can save up to 69 percent on life changing books right now Dave Ramsey comm and some of the tools to help you get your money back on track you get our number one best-selling book the Total Money Makeover only $12.99 right now our number one best selling kids bundle The Adventure Pack for only forty five ninety-nine it's for teaching your kids how to handle money it's the whole thing you can also get our best-selling money bundle the starter special for just forty three ninety-nine back-to-school sale ends this week online at Dave Ramsey comm or call customer care at triple eight 22-piece the Ramsey concierto help you out there triple eight two two seven three two two three rachel is next in California hi Rachel welcome to the Dave Ramsey show hello Dave thanks so much for taking my call sure what's up I got married about a year ago my husband and I are both in our 50s we are we don't have any debt which is great we just paid off his car so that's all there and we're and I know we need to have an emergency fund so we're can putting money aside for that great Iowa 401k that I contribute 10% to and the company kicks in six so I think that's a good place to have money my husband has a pension through the state but we're just trying to figure out because we're those well he's under the company a long time so he's got the pension thing is a good thing I'm just behind on the savings and the retirement thing I've probably been doing it five years now so we're trying to figure out the best way to really argument our retirement because we do want to retire one day and we're fortunate we don't have debt at our age we also don't have a house so that that you know it's neither here nor there but I've heard you mention Roth IRAs and because I already have a 401 K I'm curious about the advantage of that and then how do we how do we keep building that wealth because we have a fast-track to 70 right very good good for you well you you're gonna be fine good news is you're paying attention and you're you're right on your way to doing this so I would follow the baby steps that we teach number you know you're on baby step three building your emergency fund when you finish that what is your household income our annual income is about four hundred and hundred and eighty thousand dollars okay great okay we recommend that you put in baby step for 15 percent of your income aside for retirement that would be close to thirty thousand dollars in your case okay okay and so close twenty five hundred bucks a month now where does it go we call it rock paper scissors in a sense the best place to put it is up to a match and you said you have a match thank you okay up to the match how much is your match percent okay so take six percent of your income and that's going to come off that thirty thousand we're trying to get to okay so that's the first thing we do does he have a 401k available at the state he probably does he doesn't actually he has this not put anything in the pension no they they do they take his money and they put it aside and then okay how much are they what percentage are they taking I don't know okay I think when I looked at his paycheck I think that he's contributing seven percent that's probably when I look that might be right but just look at it and find out read about it you can probably find some of the stuff in the state of California so he works for up if I easy enough to find it and find out what the deal is okay so we're going to set aside 15 percent of our income as our goal so we're going to take fifteen percent times 180 so it's gonna be close to thirty thousand bucks and we're going to working our way towards that so we're gonna take your match whatever portion he is taking out of his that's gonna be a portion of it add that together and we're still not to thirty thousand then what we're gonna do we're gonna do a couple of Roth IRAs here and you can do seven thousand dollars each that's fourteen thousand more towards our thirty that we're trying to get to but that's still not going to get you all the way up to what you need to be doing so then you're gonna put some more in above the match in your 401k to get there you see what doing yes your 401k do they have a Roth option on the 401k it's a good question I'm not sure I'm not gonna be staying with the company very much longer so this will be something for you to think about as I move to a new company but I will pay attention to that in the next company ok cool good well then yeah if you have a Roth available do Roth take the match first then do all the Roth you can do and then do traditional and traditional would be a regular 401k or 403b that does not have a Roth okay that is not have a match beyond the match so that's your order of rock-paper-scissors is match to Roth to traditional ok I'm going to keep going up that ladder until you get the thirty thousand bucks and you save thirty thousand bucks then above the thirty thousand out of your wonderful income that's you still get 150 left to live on and start saving to pay cash for a house because I want you to pay cash for a house as you move into retirement sometime yeah and that's that's one thing we talked about too was I want a house and when I heard your your show a little bit earlier about getting you know house excited and stuff I thought oh that's me these days and I need to cool my debts and do these other things first because well you don't have to say that you know I've saved over pay cash for a house but if you want to save up a downpayment and you know do the 15-year fixed and all that that I was talking about when you were hearing me do all that then that's okay too but we still you want to have a point that say okay sixty-five years old this house gotta be paid for I got fifteen years pay it off or less yeah okay so if you bought a house that's what you got to do and the faster you get that paid off the fat more you can build wealth but if you save thirty thousand dollars a year in good growth stock mutual funds for twenty years you'll have two million dollars okay figure that for twenty years that's why I say you're okay okay I I thought we were but like I just I wanted to check because I'm not using it as financial advisor I'm just using you know fine I've been reading a lot and obviously a lot of stuff that you have I haven't done your Total Money Makeover but I was thinking I'm just getting the book from me and my husband decision read it well I'll send you a copy you hold on I have Kelley pick up and I'll send you a copy of it as a gift we appreciate you being a listener check in with one of the smart investor pros they can help you organize this stuff we're not in the investment business but those are the people as you know from listening that we and that we endorse and so you know you just click smart Wester it drops down a list of them that we have approved and then you choose from among them and you know you'll be moving in the right direction so hey thanks for the call we appreciate you joining us Linda's on Instagram my sisters fighting in stage alcoholism I'm trusting God but realistically I know this can very well take her life and soon she's aware but there's so much damage they're saying she can't recover how can I help her prepare financially for the end of her life she doesn't want her kids inheriting all of her debt your children do not inherit your debt debt is not passed generationally if your children did not sign for the debt they're not liable for the debt now the estate is liable in your estate basically when you pass away is your net worth it's what you own – what if she is a typical person that has battled alcoholism for many years she probably doesn't have any assets she probably only has debt and so if you live in an apartment with 200 ollars where the furniture and you have $80,000 for the credit card debt and you die the credit card companies getting nothing because there's nothing for them to get and that's not passed to your children okay they have to collect it from the estate but now if mom owns a thirty thousand dollar CD that's gonna go to settle her debts if she owns a piece of ground that the value that ground has to be offset against those debts or you have to sell the ground and use it to offset the debts anything she owns at her death will stand good for any debts she has now personal items nobody messes with tiny stuff okay but she's got $100,000 for the antiques that's not gonna pass to her children if she's got $80,000 and credit card debt unless they pay the credit card debt okay so that's one way that the estate has to stand for itself so anything you own will stand good for what you owe and that's how that works this is the Dave Ramsey show [Laughter] [Laughter] leaders are not born it's a decision a great leader has integrity a great leader is a servant a great leader is visionary they're passionate they're loyal they're influential for discipline if you want to be a great leader that should be you you can't sit back and watch everything happen and call yourself a leader if you're walking and standing with the right people you can get through anything every single human being is wired for meaning in their work it's your job as the leader to cast a vision it's game on the jobs we hope to make aren't gonna stick unless they're jobs that people want real leadership is about solving problems not just talking what I want you to do is to have the courage to live for that dream because that dream is not just a dream it is an absolute reality you gotta own it inside I believe in you I know you can do this our high health care costs getting you down are you confused trying to navigate the health insurance world do you wish you could find an affordable biblical solution to your healthcare costs based on New Testament principles Christian health care ministries are CHM helps christian families churches and businesses join together as the body of Christ to share their major health care costs as a CHM member you can go to any doctor or hospital you prefer you aren't bound by an approved healthcare provider list and all treatment decisions are made between you and your doctor no treatment approvals are ever part of the CHM experience for tens of thousands of Christians CHM is a trustee affordable and biblical health care solution and it can be the solution for you as well visit us online or call today to learn more about how we can serve your family church or business Christian test test hey folks welcome back it's my last segment of the day here and you know in Martha's place back in our old building I had a little nook there in the corner and I just don't know where that's gonna be so I usually do my last something over there but we'll keep you posted maybe I'll have my own new nook in the Baker Street Cafe which I'm so excited to show you as they put the finishing touches on it but it's been a great first day here I want to thank you all for watching and hope you enjoyed our brand new headquarters we've got so much more in a brand new show tomorrow we'll see you then our scripture of the day first John 1:9 if we confess our sins he is faithful and just and will forgive our sins and purify us from all unrighteousness James Joyce said mistakes are the portals of discovery there you go love that open phones this hours we talk about your life and your money that's what this shows about the number here is triple eight eight two five five two two five Maureen is with us in Florida hi marine welcome to the Dave Ramsey show hi Dave thanks for taking my call sure what's up I I have super questions first question is last year my husband and I were of what should enough I nots to be debt free including our home as well so thanks to you and we had had a whole life policy unfortunately have we paid into no considering now the words totally debt-free we wanted to know if we should cash it in to use the money it's towards savings and toward investing or should we just leave it because I know you had said before if you couldn't get a other policy that we should hold on to it my husband is not qualified to get the other policy okay so you if you cash in you have no insurance right like no right no life insurance correct and what's the face value of the policy the face value I believe is one hundred and twenty five thousand okay and how old are you guys I'm forty eight my husband's going to be fifty okay 60 or 50 he's 50 I'm sorry zero okay and so why is he uninsurable um due to high blood pressure he's had submission to the VA I guess I guess I think when he tried to apply for the life insurance they must have looked into that he has a VA disability check that he gets as well so I think that might have contributed to it yes it would okay alright okay and so how much money do you all have in savings and in nest egg right now in savings as we have about twenty thousand okay you don't have a nest egg at all no no 401ks or retirement of gun no mm-hmm you keep the life insurance in place then okay yeah because you need the life insurance if something happened to him you're not okay financially right and if something happened to you if he's counting on your income you're not oh he's not okay financially now if we fast forward and you keep doing as wise as you've been doing you said you even got the house paid off as I right we did yes yeah and what's your household income varies my husband the truck driver I'm a teacher so it could be anywhere between 70 80 sometimes a bit more than that so okay all right well yeah I think if you keep doing what you've been doing and you say you know five years from now ten years from now and you look up and you're you know your 401ks are loaded up and you you know you've gotten some serious money in there cuz you got no house payment now I mean you'reyou're just game on on investing right yeah so sit down with a smart Wester Pro and make sure you're taking advantage of Roth IRAs and 401ks and that you've got all this investing going because your own baby step seven is where you are which you ought to be able to kick your wealth building into high gear at that point because with no payments it's easy to build wealth so I'm a lot easier anyway so I think you look up and you know if you got a half a million dollars set aside you're 55 and you have no house payment and he dies you're okay right for sure but if you you know so like keep it keep it you're gonna keep it another four or five years I think okay okay okay I have another really quick question if you have time okay okay I've worked at a job for over 20 years making about close to $18 an hour right now I just recently went on a job interview for a bigger position which would be closer to my house travel time would be cut in half also as far as tolls and gas and things like that a better position but unfortunately starting off it does start off at a little bit less money and I don't know I don't know I mean I kind of know what to do I don't want to take the less money but I think the opportunity would be great plus travel time is cut in half okay so what would you be making a year starting off well let me say right now I I'm about like I said almost $18 an hour 90 bucks I'd only be maybe about 1516 dollars an hour okay and how fast are you going to get back up to a year old oh if this is a great opportunity your income ought to be coming up how fast are you gonna be back up well they said in three months they could give me a review to see but I think it would take over a year in order to get back to where I'm at okay and what five years from today where are you making the most money probably where I'm at right now where I'm staying it really I think possibly so the upside potential is better where you are now I think possibly because the thing of it is my and my job where I'm at now they consistently do give raises the other place doesn't well it could be possibly three and three months and then you figure from three months from there the nope has been another year you know another another maybe like 50 cents and then another 50 cent so it's going to take me a some time to get back to where I feel where I'm at now okay is the environment that much better I mean obviously the commutes better the commute is better it'd be pretty much almost about the same kind of stress level if that makes any sense I say probably it'll be more stress for less money I guess in the beginning of that I think we look for I think we look for a third option and that is one that's close that pays more than you're making now and then it becomes a no-brainer right yeah so either these people come up to 18 with promises of raise in the future or you need to look for a third option okay what you're telling me is you don't mind the place you are but you do hate the commute and the cost of the tolls and if you didn't have the commuting cost the tolls you probably okay alright so if you can pick up that job and move it over closer to your house you'd probably just have been happy right it's like if this new job with since it's so close to my home if they would have been if they would have offered me what I'm even starting at where I'm at right now started me at that price yeah I would have taken the job yeah well just don't tell them that right because you're not gonna take it otherwise I mean you you know and you're looking for somebody that will match what you've got but is closer to home and you know you just got to work that through and decide so hold on I'll send you a copy of our best career book at the moment that we got here it's called the proximity principle by Ken Coleman and it's absolutely incredible and it'll help you get through some of these decisions that you're looking at good question all right Amelia is up or Amalia is up in Texas hi Amelia how are you good how are you doing better than I deserve what's up I have a question for you I'm sorry I'm so nervous right now and I but I got a letter in the mail from the IRS saying that I owe and I guess you could say from back taxes I had a couple trouble with the IRS and the previous years but I was wondering if I should use my emergency funds for whenever I get the letter of how much I should be paying I'm sure that the amount that they say you owe is correct I'm looking more into detail with that just because you know once you establish that it's correct you do whatever you need to do and put it at the top of your debts no bomb paid as fast as you can how much money is owed to the IRS approximately um I'm assuming it's gonna be around 1700 just because that's what I've always paid my previous year so you're consistently 1,700 off just around and so in Georgia I was paying the state and federal taxes and because I was making too much over there I was either paying 17 to 2000 okay but you need to adjust your withholding then to where you're not you're not having enough withheld is what you're telling me right no yeah we need to get your jet you're withholding adjusted so that you don't get in trouble there but yeah you put the IRS at the top of an eye of a debt snowball it's the first thing you do you want to get the KGB I mean the IRS out of your life as soon as possible you don't want to hang with those guys they got unlimited power or their interest rates are ridiculous and their penalties are worse it's just people you don't mess with so hey thank you for the call that puts this our that I 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 [Applause] student loan crisis in America it is out of control so many of you are so overwhelmed 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