The Rachel Cruze Show - When to Say “No” According to Dave Ramsey (Are These Legit?)

Starting point is 00:00:05 So I came across a list of things Dave Ramsey wants you to say no to. So I thought it would be fun to react to that list and give you my thoughts. And I'm going to guess what the context was for each of these, because they were probably from the Ramsey show. So we'll talk about that. And then at the end, I'm going to add three of my own, Dave knows, if you will, that were from over the years as his daughter. So prepare yourself for those. Now, make sure to leave anything in the comments that you're thinking about and make sure to subscribe and share this video with a friend. All right, number one is to say no to lifestyle creep.

Starting point is 00:00:38 Okay, so lifestyle creep, yes. It has a connotation that, of course, you are spending more because you're making more. So there's a balance in this, right? Because if you're spending more because you don't have debt, you have your emergency fund, you're doing the basics of saving for retirement, like all of those things, and you're making more money and you want to spend a little bit more because it's in context and it's great with your overall financial situation, perfect. But the problem is lifestyle creep usually refers to this idea that you're going to you

Starting point is 00:01:04 you don't realize it's happening and that you're not on a plan. And as you start to make more, you end up spending more and keep spending what you're making and you end up still living paycheck to paycheck regardless of what you're making. And we don't want that. So that's the bad lifestyle creep where the other is a little bit more intentional and we're not mad at because we say live like no one else. So later you get to live and give like no one else. So keep that in mind. Number two, say no to unnecessary purchases. Okay. So again, it's a little bit of that balance, right? Because if you are just spending and spending and spending and spending, and you're not on a budget, you know, spending with debt even and you're living paycheck to

Starting point is 00:01:42 paycheck and you're not happy with where you are, you have to cut everything and live on just your needs, like food, shelter, utility, transportation, you go scorched earth, you get out of debt, you get an emergency fund in place, like you do these things to set yourself up. And then once you're out of that and you have margin, and if there is something unnecessary that, like, you really don't need, but you kind of wants, it's not bad if you pay cash for it and you budget for it. So, remember that. Number three, buying things you can't afford. All right. Yes, yes and amen. There's no two sides of the coin of this one. Yep, I agree with it. If you don't have the money, don't buy it. Number four, enabling family members poor money decisions. So this is a tough one. This is,

Starting point is 00:02:23 whenever you talk about relationships and money, there's just humans involved. So we have to remember that, right? So it's not this like black and white thing, but enabling, is the key word here, because when you're enabling someone, you're not really helping them. You're just letting them continue in this bad cycle and you're the one funding it. So there is a responsibility that we have with our money. As you start to win with money, you want to use it for good. So can you use money to help a family member in a situation? Yes, absolutely.

Starting point is 00:02:49 We are all about that. But when it's an ongoing poor pattern that they are in, again, just throwing money at it, it's not going to help them or their situation. Number five, taking responsibility for other people's lack. of planning. So this usually comes up when it's a child, an adult child, and their parents are at the age where they are not planning and for retirement and they don't have money and all of it. And it's like, oh my gosh, what am I supposed to do? So again, I think this is a really sticky one because, of course, you don't want to see your parents on the streets, right? But again, if they're not

Starting point is 00:03:22 putting effort in towards a situation to help their situation, and they depend on you, and especially if you are not in a place financially to even help your own family, let alone your extended family, then it gets in a really, really tough spot. So that one's a really hard one. Number six, taking vacations when you have debt. All right, I agree with this one. Yep, when you are getting out of debt, it is, again, you're doing nothing else. Like you are throwing everything at this debt. And these vacations nowadays, you guys, I mean, they can, yeah, you can go like somewhere really cheap, but also you can easily spend a couple of thousand dollars, right, where that could have been going towards your debt. So,

Starting point is 00:03:57 So, again, if you have a ton of deadness, it's going to take you a really long time. Have some things that you can celebrate throughout the process and the journey that really is important. But if you're like, yep, if I go scorched earth and I can pay this off at nine months, 12 months, 18 months, do it. Like, do nothing. Throw all of your extra cash for a short period of time to get you ahead financially. Number seven, feeling like you have to let parents or kids move back in. So we hear this a lot too. And again, it's not a black or white thing.

Starting point is 00:04:26 Everyone's situation is different, and so you get to make that call. But over time, yes, you don't want to enable a situation. You want people out on their own because it's good for them, giving themselves the dignity to stand on their own two feet. So again, situation by situation for sure. Number eight, leasing a car. Yep, I agree with this one. It is the most expensive way to finance a vehicle. So even if you look at taking out a car loan versus leasing, a car loan is a cheaper way to do it.

Starting point is 00:04:50 But we're against both. So save up, pay cash for your car. even if that means it's like a $4,000 car and it's not great, it's not beautiful, but for the season, it'll work. Number nine, buying an expensive cell phone when you can't afford it. This is a funny one. I mean, sure, yeah, it goes back to this idea. If you don't have the money, don't buy it, right? Now, one thing you can always say yes to is online privacy, which is why I love and use Delete Me. If you don't remove your personal data from the internet, it's basically like a billboard with your name and your address, your email, even your kids' name. that are out there on sketchy data broker sites,

Starting point is 00:05:27 and then they go and collect your data, sell it, and then they put you at risk for scams and fraud. But the good news is that Delete Me goes in and removes all of your data, which helps protect you, which we love. Winston and I use Delete Me, and it saves us so much time and worry. You guys, your family safety and financial security

Starting point is 00:05:46 are way too important to leave exposed. So sign up for it, delete me, and take control. Go to join DeleteMe.com slash Rachel for 20% off, bringing your monthly cost to under $9.00. So, click the link below to check it out. Number 10, buying a boat when you're broke. There's another part of money. Yeah, I mean, for sure. I mean, again, it's buying anything if you don't have the money for it. And especially a big toy, like a boat, there's a lot of maintenance that's involved. You got to pay for all the gas. You got to pay somewhere to store it maybe. Like, there's a lot of things around that if you

Starting point is 00:06:20 don't have the money for all these things, it's not going to be a blessing. Number 11, keeping up with the Jones's fancy lifestyle. Yes and amen. The comparison game, you guys, it's exhausting because the truth is, the Joneses are broke. Like more than 70% of Americans are living paycheck to paycheck. So this idea that you're trying to keep up with everyone else, it's like keeping up with people living paycheck to paycheck, and we don't want that. So be excited for people, celebrate them. It's fine. We're happy for the Jones. It's good for you, good for you, good for you. But put the blinders on and just focus on you and your family. Number 12, eating out when you're in debt. Okay, this is a hard one because eating out is so convenient. It's so easy, but it's usually more expensive, especially if you have a family. Now, someone who's single that you're like, listen, maybe I can like, you know, get away with this because when I'm buying here versus if I'm making a whole meal and there's waste, like I've heard that argument. You know, do the math.

Starting point is 00:07:12 But usually, most of the time, eating out is more expensive. So that's a great way to get extra money back so that you can pay off debt. All right, now it's time for the real tea. Here are three nos that I received from Dave Ramsey growing up. Number one, going to dancing in the district. If you were in Nashville back in the early 2000s, there was something called dancing in the district. And I wanted to go as a freshman, and he wouldn't let me go, even though he let my older sister go when she was a freshman. That was a hard no.

Starting point is 00:07:40 Still remember it to this day. Number two, trick or treating alone in the third grade. Yep, I remember I went to go out so bad with all my friends and let us just go by ourselves. Dad said no. follow this behind with a flashlight. Remember that? And number three, you ready for this one, everyone? Rugrats. Yeah, we weren't allowed to watch Rugrats. We could watch Titanic and, like, Edward Scissorhands, but Rugrats, for some reason, a hard no. I don't get it. I don't get it. Now, listen, I agree with my dad on a lot of things, but there have been some exceptions.

Starting point is 00:08:13 So make sure to catch my episode, the two times I disagreed with Dave Ramsey to hear about those exceptions. So if you're watching, you can click here, or if you're listening on podcasts, I'll put a link below. All right, remember to take control of your money and create a life you love.

The Rachel Cruze Show - When to Say “No” According to Dave Ramsey (Are These Legit?)

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