The Ramsey Show - App - A Powerful Debt-Free Scream From a Single Mother (Hour 3)

Episode Date: December 31, 2021

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Starting point is 00:00:00 🎵 Live from the headquarters of Ramsey Solutions, broadcasting from the Dollar Car Rental Studios, it's the Ramsey Show, where debt is dumb, cash is king, and the paid-off home mortgage has taken the place of the BMW as the status symbol of choice. Ramsey Personality number one best-selling author Christy Wright is my co-host today. Open phones at 888-825-5225 as we take your calls about your life and your money. Emanuel is in Bend, Oregon. Hi, Emanuel. How are you? Great, Mr. Ramsey. How are you today? Better than I deserve. What's up?
Starting point is 00:01:09 So, I'm 22 years old. Born in the U.S. Married. Thankfully making about 80 grand a year in quitting bonuses. I am on Baby Steps 3B, by the way. That was re-officially
Starting point is 00:01:23 two weeks ago. Awesome. Well done. As well as my father. I was a co-signer for his truck once, and I got him to sell it after him watching me be debt-free. And that's what I'm calling about. My father's 44 years old. He owns a house along with my mother. He makes about $50,000 a year, debt-free now.
Starting point is 00:01:46 Has no retirement because he's undocumented and not sure what to do because, morally speaking, you know, I've been trying to get him legalized and do everything the right way, but he did sacrifice his life and his home to give me a better life here. So I kind of would like to return the favor and help him out, not give him any money, but at least put him in the right direction.
Starting point is 00:02:12 Okay. I don't know much about immigration law. Is there a path for him to go from undocumented to becoming a citizen? As far as we know, we'd have to petition and get people's signatures and do all that jazz and then get a court case, and then he would have to go back to Mexico for about 15 years if it doesn't go through. But if it does go through, then it's a done deal. But for right now, with all the COVID stuff going on, it's like I'm free.
Starting point is 00:02:48 Okay. He'd have to go back to Mexico for how long? 15 years, according to our lawyer, if it doesn't go through. 15 years. Yes. Okay. All right. And your mom is where?
Starting point is 00:03:10 Here. They've both been here for over 22 years. And she's undocumented as well? Yes, sir, unfortunately. Okay. All right. Well, I don't know exactly how to tell you what to do. It seems like once you get the other side of COVID, I mean, obviously, it's been 20 years. Nothing's on fire here. But if you can find a path that is reasonable for them to become citizens, I think that's going to give them the most stable life
Starting point is 00:03:49 because they're not having to, quote, unquote, look over their shoulder all the time. Is that a fair thing? Yeah, for sure. I was actually curious if, you know, maybe just throwing money into a mutual fund or, you know, something to keep the ball rolling and at least, you know, maybe just throwing money into a mutual fund or, you know, something to keep the ball rolling and at least, you know, put $800,000 a month in and maybe it multiplies over time. Yeah. Obviously, he's not filing U.S. taxes, right? Pretty sure he is.
Starting point is 00:04:20 I mean, when I was a little kid, I remember going to income taxes and several times they would pay several times. Not sure how that works out, but I have heard that. I have heard of a lot of I mean, not a lot, but I've heard of people doing that. They pay taxes, but they're not yet American citizens are not documented. What do your mom and dad think of this? Have you talked to him about it? I'm guessing because of the 15 year possibility, they're not real keen on the idea of attempting it, or what are they saying? So, I do have a younger brother. He's 11 years old.
Starting point is 00:04:51 Actually, he's 12, and they would hate to do that and leave him behind here. I mean, this is a great land of opportunity. They love this country. My father plans to stay here forever. My mother would like to retire back to Mexico. I haven't spoken to them about retirement necessarily. I would like to almost like surprise them and say, hey, Mom, Dad, I've done the research. I've spoken to even Dave Ramsey and Chrissy Wright here.
Starting point is 00:05:17 And, you know, how about this? You know, I got you debt-free, so how about the next step, Babysit 4? Yeah. Well, I guess there's two routes, it seems to me, or some variation of those two routes. Route number one is that they're able to build wealth in their name safely, utilizing systems in the U.S. like the Roth IRA or the 401K or those kinds of things because you've got a Social Security number because you became legalized, okay? That's Route 1, and that has obvious risks and expenses associated with it that you guys have got to consider.
Starting point is 00:05:52 I don't know how that stuff works, okay? I'm not knowledgeable to it. That seems like the cleanest, most stable way with the exception of the part where the thing could go sideways and you could have a real mess on your hands of 15 years or whatever and and i guess he could turn and come back illegally again i don't know why he would have to stay 15 years for real uh but um uh i guess i don't know i don't know how that works but um i'm just thinking on the tactical side then the other way to do it obviously it, is less positive for them, but that is they build wealth in your name.
Starting point is 00:06:29 And, you know, you guys pool some money in the sense that you open some mutual funds that they put the money into, but they're in your name, and that way they're safe. They're not going to be confiscated in some kind of an action against them for being here illegally or something like that. I don't want them to lose assets that they build, right? Right. And as long as they're undocumented, I'm afraid they could lose the assets that they build if they're in their name. So I think it would be wise to develop a strategy for you to double down on some of your wealth building, but a section of that
Starting point is 00:07:05 being money they funded and is in your name and i i guess i would go that way um but that's that's not optimum um if i can get the risk lowered on the process to become legalized that's going to be their best route well and emmanuel you referred to your attorney that's been advising on this. Make sure you have a great attorney to advise you and they should be able to tell you all the laws, all the requirements, all the boxes you have to check, all the things you have to do to minimize, now it still won't be non-existent,
Starting point is 00:07:38 but minimize that risk of it not going through and them having to go back for 15 years. So just having someone in your corner that knows what are they looking for, what are the instances in which they approve it and the instances in which they don't. And then you guys just follow everything to the letter if you decide to pursue that. And then you're going to go through it with more peace of mind knowing you've done your homework, you've done your due diligence to follow all the processes, etc. So having someone in your corner
Starting point is 00:08:06 that is more knowledgeable than Dave and I on that process is going to be huge. Which would be a low bar. Well, that's valid. I don't know squat about this. Oh, man. This is The Ramsey Show. You know, I heard a sad and touching story recently.
Starting point is 00:09:03 Zander Insurance has set up a scholarship for children whose parents died without life insurance. Last year they gave away over $165,000 to help kids avoid debt and go to college to pursue their dreams. It's touching, but also sad since it's a situation that occurs all over the country and can be avoided in so many cases. Transcription by CastingWords all the top term life plans, and stays with you the whole time to make sure your family is taken care of. That's why I've used and recommended them for over 20 years. Go to Zander.com or call 800-356-4282. So I don't have to keep talking about these sad stories. Christy Wright Ramsey personality is my co-host today here on the Ramsey show. Our question of the day comes from Blinds.com. They have a 100% satisfaction guarantee.
Starting point is 00:10:29 It means even if you mismeasure, you pick the wrong color, they'll 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 question comes from Cole in South Carolina. I'm 18 years old and have an opportunity to buy a business for $85,000. The owner wants $30,000 up front and will accept the other $55,000 in monthly payments with little to no interest until unless I fail to pay on time. I've saved $15,000, but I would have to get a loan
Starting point is 00:11:05 for the other $15,000 to make the down payment. Then I'd make monthly payments as I make money from the business itself. The business is seasonal, so it'd be during the summer while I'm not in college. The owner said that he makes between $20,000 and $35,000 a year with the business. Does this sound like a good opportunity?
Starting point is 00:11:23 I have so many follow-up questions. No to the loan, obviously. No, you're not going to get a loan for this down payment for this business. But I don't even know what this business is. I don't know what they're talking about. I don't know what the records show. What are you actually paying for?
Starting point is 00:11:39 Is this established client base and brand? Just no, Cole, no. I mean, based on what I know, know, because you'd have to get a loan. But also, I just, I don't know. When people come, and Dave, I'm curious how you vet this, because I hear people ask a similar question through the Business Boutique Academy.
Starting point is 00:11:57 Hey, I have an opportunity. I have a business opportunity. And a lot of times it's vague, and they're just going to have to pay a bunch of money up front, but there's not a lot of details. That always is a red flag to me. Yeah. Yeah.
Starting point is 00:12:09 Well, I got a bunch of red flags on this, too. I agree with you. The red flag number one is you're borrowing all of it, and you're going to get yourself in a pinch there. Red flag number two is the owner makes between $20,000 and $35,000 a year with the business. I don't think he does. I think that's the profit, and he pays himself that. So I don't think this business has any value.
Starting point is 00:12:37 Okay. What do you want to bet? Yeah. No, no, no. I'll bet you that's what the guy makes. Yeah, yeah. And he wants to sell. He doesn't own a business. He owns his job. Right. Yep, no. I'll bet you that's what the guy makes. Yeah, yeah. And he wants to sell. He doesn't own a business.
Starting point is 00:12:47 He owns his job. Right. Yep, yep. Because if he owned a business, there's a profit after the owner is paid an operator's salary. Yeah. Okay. And so if you pay, and this is summer. So what is this?
Starting point is 00:12:59 It's a lawn care business. Right. Yeah, yeah. Okay. Guy's got a lawn care business. He's making 30 grand on it. And he wants to sell this 18-year-old job and you're buying a job yeah which you could do on your own tomorrow for like five hundred dollars if you're gonna make thirty thousand dollars a
Starting point is 00:13:13 year you could buy your own job yes you know and you can do that for a lot less than eighty five thousand dollars yeah so no because i think that's what this is yeah no i wouldn't do it yeah no i wouldn't go in debt to do it. No, I wouldn't buy a business that does not make a profit after the owner has paid a reasonable operator's salary. Yeah. And I'm guessing that that's what this is. If it's lawn care, son, you could spend a whole lot less than the whole...
Starting point is 00:13:40 Take just the money you have in your pocket. Go get a mower. And you can be in business, and you'll make more than $ $35,000 and you won't have paid anything for it. You know what's so interesting? You got to go out there and hustle up clients is all you got to do. But that's the point. I think it's so interesting because so many people. Business in a box.
Starting point is 00:13:56 That's what it is. I want this to be easy. That's what it is. They're just, they feel like, oh, someone's going to hand me this thing and I don't have to do anything. No, you're still going to have to do stuff. But you could do that on your own and you could make a lot more money with little to no startup costs. You could start it tomorrow. You could go get this clients and start your own lawn care or whatever business call for virtually nothing. And you could build this business and be making more than this guy is
Starting point is 00:14:19 most likely. But I think the answer is do not do this deal yeah because i promise you some number of assumptions we're making in this are correct are accurate yeah some of them aren't maybe but some of them are correct and i'm even gonna go there yes i'm gonna go there ready yeah i'm ready you're 18 i was thank you thank you i was you're 18 okay there. 18-year-olds aren't stupid. 18-year-olds aren't a problem. But you have zero life and business experience. And walking out there and buying an $85,000 business with zero life and business experience means you're getting ready to get your head chopped off, boy.
Starting point is 00:15:02 That's what's coming. You're going to get your head smacked. And I'm sorry, that sounds like, oh, Dave doesn't like young people. Dave's an old fart. You know, well, part of that's all true. But, you know, here's the thing. Someone who has 20 years business experience sees business differently than someone who has zero business and life experience and that's not a slam on somebody because they're young that's not the point but the point is the
Starting point is 00:15:31 younger you are on this kind of thing by definition the dumber you are on average well you're me too by the way you're younger and you don't have the money so in summary cole you're 18 years old so you're young number two you don't have the money for this in summary, Cole, you're 18 years old, so you're young. Number two, you don't have the money for this. And number three, it sounds like it's a bad opportunity. So no, no, and no. Three times over, no. Go get a job, son. Go get a job.
Starting point is 00:15:53 Or start your own lawn business. Whatever you want to do. You're in college. It's a summer job. You're a hustler. You're a grinder. You're going to go do something good. You're going to be fine.
Starting point is 00:16:02 But don't go $85 85 000 in debt to buy this guy's job no no no no no no no no no no nathan there's nathan nathan's a hero nathan's in london ontario did you know you're a hero nathan i already called you hero once because i got the name wrong from the other guy but anyway what's up man how are you i'm doing great how are you great hero what's up um so i'm gonna be turning 22 this year and i have 21 000 saved in my savings way to go um i haven't invested it or done anything with it and i'm going to be graduating community college pretty soon good for you what's your degree in? In the wintertime, electrical engineering technology. Wow. What are you going to do after you graduate? Go on for further ed or are you
Starting point is 00:16:49 going to go into the workplace? Right away into the workplace. I'm pretty uncertain if I want to go further ahead in education or not. So I'm just going to work to make money to pay for um university if i decide to go to it i like you um um my question is when should i start investing my money or start to save for a down payment for a house um i'm just kind of pretty lost in what to do next in my life financially since i'm going to be graduating soon um that's mainly my question well you have done a great job so far sir you're way ahead of the typical guy out there your age you've done really smart way to go congratulations you are a hero see i was right there you go i was a prophet that's right but uh so really cool so here's what we're going to do as soon as you step out of school let's start
Starting point is 00:17:42 walking what we call our baby steps have you ever heard Christy and I talk about those? Yes. Okay. So tell me what the first thing you need to do is. Get an emergency fund. Yeah, or you have no debt, right? Yeah, and then have no debt, and then... Do you have any debt?
Starting point is 00:17:59 I have three to six. No, I do not have any debt. Okay, so you're already at baby step three. So three to six. You got it right you dialed it in so we're going to set some of your 20 000 aside as your emergency fund and then we're going to set some of it aside to start saving towards your house and then you can sit down with a smart investor pro or an investment advisor in your area we don't have them in canada
Starting point is 00:18:19 so you can find an investment advisor in your area that has the heart of a teacher, and you can start your investing, right? Maybe step four while you're saving for your house. All right. Any idea what kind of money you're going to be making? It's about $78,000 a year. I'm a pretty motivated person. I think I have the drive to make more than that by going to university afterwards but um i'm kind of um you know thinking about if i need a degree or not to
Starting point is 00:18:52 actually make the money i'd like to so i'm just going to work for a year and see what i feel and you know what during that year if you want to not do baby step forward not do retirement instead pile up cash because we not want the money for a university move, that would probably be a good idea because, honestly, you're a better investment than a retirement account is. And you're not sure right now. You're not sure what you're going to do because you're young and you're in transitional years of your life. So, yeah, you can pile up money, and then you can use it for college, use it for university, use it for a house. You'll have it for whatever you decide to do. So cool.
Starting point is 00:19:27 Well done, Sark. Very well done. This is the Ramsey Show. We'll be right back. In the lobby of Ramsey Solutions on the debt-free stage, Brittany is with us. Hi, Brittany. How are you? I'm great. How are you? Better than I deserve. Where do you live? Akron, Ohio. Wow. Welcome to Nashville.
Starting point is 00:20:25 And here to do a debt-free scream, how much have you paid off? I paid off $95,000 in 15 months. Wow. Good for you. And what kind of, how long did that, I'm sorry, one more time I'll ask. What was the range of your income during that time? $66,000 to $110,000. All right.
Starting point is 00:20:42 Good for you. $95,000 in 15 months. What kind of debt was the $95,000? So110,000. All right. Good for you. $95,000 in 15 months. What kind of debt was the $95,000? So the biggest chunk was student loans. I had over $72,000. I had about $10,000 in credit cards, $10,000 in a car note. I was making payments on my iPhone. I was making payments on her saxophone.
Starting point is 00:21:03 A little bit of everything. Yeah. Payments on the payments on the payments. Yeah. Kind of a great American nightmare. Yeah. So what in the world happened that started you on this intense journey 15 months ago? So it started, to be honest, in like November of 2019.
Starting point is 00:21:24 I got a letter saying that my student loans were about to go back into payment and my monthly payment was going to be more than my rent um almost nine hundred dollars a month um and i was intimidated by my five hundred dollar car note so there was no way i was going to be able to afford that. So I was very frightened. That Christmas, my mom bought me and my siblings the Total Money Makeover and your workbook. And it was probably January or February that I cracked it open and read it at work and went through the workbook. And it just, it was like it clicked. It all made sense.
Starting point is 00:22:06 I started listening to the podcast all the time. There was no radio in the car. The kids got very frustrated with that. It was the podcast all the time. And the debt-free screams, there was one show in particular that you did where you talked about, because I couldn't imagine how I was going to tackle this, making $66,000. It was like, there's no way.
Starting point is 00:22:29 And there was one show where you talked about you've got to get a bigger shovel. I was like, all right, game on. I got a part-time job. I started picking up all the overtime I could get. I lived at work. I was only home to sleep and eat and shower. Yeah, I went full. We drank the, what is it,ool-aid that's saying so you went for 15 months you just went crazy yeah my mom would
Starting point is 00:22:55 kind of look at me occasionally be like why don't you take a break there'd be times where i would work you took that book a little serious yeah i wouldn't have a day off for like two, three weeks at a time. I was working one or both jobs in one day. What is your main job? I'm a nurse. Okay. And what was your best
Starting point is 00:23:12 side hustle? Did you just do more overtime? So my part-time job, I did home care. I work. Yeah. My full-time job is inpatient hospital
Starting point is 00:23:22 and then I pulled up home care. Wow. Wow. Wow. That's a good side hustle. It makes good money, but it's also you're just working all the time. All the time. It's what we were just talking about at the short-term sacrifices, short-term pain for long-term results. And 95 in that income in 15 months is crazy town.
Starting point is 00:23:42 What are some of the things you cut out, some sacrifices you made to get it done, to get it finished so quickly? So I'm definitely more of a free spirit. Okay. I made great money, and I just never knew where it went. We'd go to the grocery store. We saw something we wanted. We bought it. Go shopping at the store.
Starting point is 00:24:00 We didn't need clothes, but we bought them. So it was just like more discipline for sure. We cut out everything. We started shopping at Goodwill. We didn't need clothes, but we bought them. It was more disciplined for sure. We cut out everything. We started shopping at Goodwill. The kids didn't get brand new clothes for school. We went to get new to us. Experienced clothing. There you go. Our kids wore some
Starting point is 00:24:17 experienced clothing from consignment shops. You know what? None of them are in counseling because of it. Not to my knowledge, anyway. They don't tell me what they say in counseling. So you brought the two kiddos with you. And what are their names and ages? So this is Marguerite. She's 13.
Starting point is 00:24:33 And my son Casey just turned nine last month. All right. Very cool. So how long have you been a single mom? Oh, goodness. Six, seven years. Okay. All right. Oh, wow. Wow wow you are a hero yes you are and you know who you know who really knows you're a hero the one standing to your right and to your left they watch mom do what it takes to go win in a really tough situation when she was scared
Starting point is 00:25:00 and she went to fight and she got it done you're amazing yep you're amazing they're a good why uh but you you don't you don't even know what you set in motion by them watching you do this i mean christy's mom's a single mom raised her and uh running a bakery and the stuff that she learned watching her mom by far better than anything I've ever taught. And that's what it comes down to. You're not teaching them work ethic and character and perseverance by sitting them down and talking about it. You're living it out in front of them. And they're picking up on that.
Starting point is 00:25:36 And they're going to have those character qualities that are forged in the fire of what they've watched you do, but what they've been in it with you. That's so key. See, I think as parents, we want to insulate our kids from any hardship. The fact that they were at Goodwill, shopping for clothes, experiencing some sacrifice short term. Oh, and by the way,
Starting point is 00:25:54 they're here when she wins the Super Bowl. That's right. On the stage. That's exactly right. Cheering her on. That's it. And they are awesome. We get to see the end of the story, too.
Starting point is 00:26:02 The cowboy boots. The next chapter in the story. That's right. It's absolutely incredible. So you're truly a hero, lady. The cowboy boots. The next chapter in the story. That's right. It's absolutely incredible. So you're truly a hero, lady. It's impressive. You're amazing. You are amazing.
Starting point is 00:26:09 This is a great story. All right. So single mom with a couple of kiddos is out there listening right now. And she's scared. How does she get out of debt? What's the secret to getting out? I think you need to decide to not be a victim anymore. My marriage was abusive, and I got a tattoo to remind me of it.
Starting point is 00:26:32 And Proverbs 31.25, you know, she's clothed with strength and dignity and laughs without fear of the future. And I decided not to be a victim in my marriage, so why be a victim anywhere else in my life? There you go. Yeah. That's powerful. You're neat.
Starting point is 00:26:48 You are so neat. I love this lady. That's awesome. Wow. Wow. And you have officially changed your family tree. Pretty impressive. How does it feel to be free?
Starting point is 00:27:00 It's incredible. Yeah. Was it worth all that work? Oh, 100%. Yeah. Because now you make $60,000 to $100,000, somewhere in there, depending on how much OT. It's incredible. Yeah. Was it worth all that work? Oh, 100%. Yeah. Because now you make 60 to 100, somewhere in there, depending on how much OT. Oh, I'm going to make like 130 this year at least. Okay.
Starting point is 00:27:12 Okay. Without all the OT? With OT. With some OT. Yeah. You don't have to work as hard. You're out. Well.
Starting point is 00:27:18 Slow down a little bit. Big step 3B. I want to buy a house next year. Yeah, I know. But just, it's, you're, man, she's a slow. You're an almost stopper. Hold her back. Yeah, I know. But just, it's your, man, she's a slow. You're an almost stopper. Hold her back. Hold her back.
Starting point is 00:27:28 Yeah, it's awesome. Yeah, wow. Get them. Get them. I love it. Well done. Well done. Well done.
Starting point is 00:27:33 Powerful, powerful story. Man. It really came down to, you just needed a path and something you believed in, and then you just went all in. I just needed instructions. Yeah. And you just needed a path and something you believed in, and then you just went all in. I just needed instructions. Yeah, and you just went crazy. You just poured on gas on the fire like crazy. That's impressive.
Starting point is 00:27:54 Such a heroic thing. Just very, very well done. Love it, love it, love it, love it, love it. Well done. We got a copy of the Legacy Journey for you because you have changed your family tree, and that is the next chapter in your story. You're going to be a Baby Steps millionaire one of these days,
Starting point is 00:28:08 and I'll be talking to you about that. It's not as far off as it might feel like in your emotions. Mathematically, you're closer than you think. And very, very impressive. And I'm going to give you a copy of the Total Money Makeover so you can give it away to somebody that you know. It might be a little scared. It might take them a month to read it.
Starting point is 00:28:24 Then when they pick it up, maybe they'll get some hope. And that's the idea of paying it forward. That's what we give it to you for. So very, very good stuff. All right. Brittany, Marguerite, and Casey from Akron, Ohio. Absolute heroes. $95,000 paid off in 15 months, making $60,000 to $110,000.
Starting point is 00:28:45 Count it down. Let's hear a debt-free scream. Ready? Three, two, one. We're debt-free! Yeah! Yeah! Woo!
Starting point is 00:29:04 And the tears running down her daughter's cheeks say that her daughter will never be a victim. That's right. Not a chance. And that was the takeaway. Not a chance. It wasn't financial. It was you're not a victim. That family tree has changed.
Starting point is 00:29:17 Not a chance there's a victim in that landing show. Not a chance. It's changed. Wow. This is The Ramsey Show. We'll be right back. our scripture of the day john 10 10 the thief comes only to steal and destroy i have come that they may have life and have it more abundantly albert einstein said weakness of attitude becomes weakness of character oh i have not heard that out of his mouth that's a good one weakness of attitude becomes weakness of character you know i i'm um
Starting point is 00:30:42 doing some writing and and one of the things I was just writing about was belief. And in that Everyday Millionaire study, we found that 97% of the 10,000 millionaires that we studied, that's all of them, okay? It's almost 100%, said that they believed that they largely control their own destiny in today's America. And we did the same survey with the general public, and only 61% said they believe they largely control their own destiny. Oh, wow. So, and it's a simple thing. It's not a matter of positive thinking solves everything.
Starting point is 00:31:20 Right. I do believe that if you think positively that's a good thing versus thinking negatively glass half better than i mean abundance is better than scarcity these are kinds of basic ideas but but you can't i can't positive think myself into being in the nfl i'm 61 and i'm not going to play in the nfl no matter how much positive thoughts I have. So that's ridiculous. Sure. But the concept of believing that I can do something, and the old motivator Earl Nightingale used to say, what I can conceive and believe, meaning I understand it and I can see how it's going to work, and therefore I believe it, then I can achieve it. I can achieve it. I can do it.
Starting point is 00:32:09 And so if you believe the lies in the political landscape that all rich people inherit their money, which is a lie, most don't, if you believe that, the little man can't get ahead. If you believe that because you're a race, a certain race, you can't overcome those obstacles of racism, racism is real. If you believe that because you're a woman, you race you uh can't overcome those obstacles of racism racism is real if you believe that because you're a woman you can't overcome sexism sexism is real if you believe that whatever your thing is your barrier is is greater than your ability to overcome it therefore the you do not have the opportunity to do it you You can't do it. Then you've established yourself as a victim of that ism, of that barrier. That lack of belief causes you to do zero towards going to win.
Starting point is 00:32:55 So 100% of the time, the lack of belief causes you to not win. Well, and it's interesting because when I've talked about this before, either in my content on building confidence or even like my fear talk at Business Boutique and that type of thing is, and I use the classic Henry Ford quote of if you think you can or you can't, you're right. But what we're really breaking this down to is if you don't believe it's possible, whatever it is, building wealth, getting ahead in your career, starting your business, if you don't believe that it's possible, then you won't try. And then you don't believe that it's possible, then you won't try. And then you don't. But it's not because it wasn't possible. It's because you didn't take action, which started in your beliefs. And so I always, you know, you and I both have told the story of the four minute mile. The fascinating part about the four minute mile is not that John Landy or not that Robert Bannister, Roger Bannister broke it. It was that six weeks later it was broken by John Landy.
Starting point is 00:33:46 It was broken two more times that year, and it's been broken 500 times since. High schoolers run four-minute models. What had never been done is now the standard because people saw that it was possible. And so it really does come down to believing something's possible, even if you haven't seen it, because you will begin to take action in the direction of making it happen. You'll find a way to make it work. You'll find ways around the obstacles. You'll come up with creative ideas
Starting point is 00:34:09 because you believe it's possible. If you don't, then why in the world would you put effort and energy into something that's impossible? It's insane to do that. It's insane to put effort and energy and sacrifice for something that's completely impossible.
Starting point is 00:34:24 That's going nowhere. That's completely impossible. And so that's what's evil and dangerous about these people peddling uh the idea that the little man can't get ahead the idea that it's impossible to prosper in america today with the current systems so the systems are all broken why do you think that's so popular and so prevalent why did why is that why does it gives me an excuse to lose yeah gives me an excuse to quit and i didn't really have the energy and the courage and the backbone and the intestinal fortitude to get up off my assumptions and go do something and uh and and so if you want to be a couch potato now you've got a now you've got a narrative couch potato, now you've got a narrative.
Starting point is 00:35:07 You've got an excuse. You've got a narrative that makes it okay. Because, well, I'm such and such, and people like me, you know, they don't win. And the problem with your theory when you've got that narrative is there's people like you that have one. Yeah, yeah. That have already proven your narrative wrong. Yeah. Or it becomes a self-fulfilling prophecy.
Starting point is 00:35:23 It does if you – that's my point is it's not the power of positive thinking it is the power of belief because belief says i don't know exactly how i can get there but i can see that if i save 15 percent of my income if in good growth stock mutual funds how that's going to turn into a million dollars that's a mathematical thing i can see how that's going to happen and so i'm going to do that i can see how if i pay extra on my house when i'm 32 i'm going to have a paid for house in amarillo texas as an electrician and substation and my wife's a pharmacist you know i mean i can see how i'm going to be able to do that and and when you can conceive it see it then you start taking the action then when all the naysayers start coming at you you're like you guys can't do math yeah i mean what's wrong with you
Starting point is 00:36:11 people yeah you can't do math because you you don't have some kind of false belief it's not some kind of puffed up dreamland skittles and rainbows thing right it's it's a based on a reality right and it's like you know the first time i ever ran five miles without stopping i knew i could do 13 yeah and when i did nine i knew i could do a full marathon yeah once i did a couple of 13 halves i really really knew I could do a full. Yes. And there's something powerful in that. When you do something hard, you do something new, you do something you've never done before, where the result is you surprise yourself. And at the end of that five miles, your natural thought is, what else can I do that I'm not aware of? And you start dreaming bigger dreams and going for bigger goals.
Starting point is 00:37:03 And you go, well, I can do a half marathon. Well, I can do a full marathon method there's something so powerful and pushing yourself outside your comfort zone where the result is you surprise yourself i didn't know i could do that what else can i do that i'm not aware of that that experience you just described is so powerful and moving people into into doing things they never thought they could do becoming a millionaire but running a marathon atomic habits and some of these other pieces of research that are out there um and deloney could probably chime in on this big time there's something about our spirits our psychology our emotions our spiritual walk um even our intellect that once it is stretched to a certain point it cannot return to the same shape that's good
Starting point is 00:37:42 because you know the second million they always say it's easier to make second million than first why i know i can do it i've already done it that's right i mean you know first i mean i i'd be highly disappointed if i went out to run a half marathon now if i didn't complete it right i mean and i'm not in training for one right now i'm not going to go do it but i mean i i've run i, I don't know, 20, 25 of those things. And if I set out and did the training exercise, if I didn't, I've never not completed one. Right. And it just doesn't occur to me.
Starting point is 00:38:13 But the first time, I thought I was going to die. And I knew I was crazy about the ninth mile. Yeah. And there's a whole bunch of crazy people around me doing the same thing running this race you know but but then when i finished i'm like it wasn't long before your brain starts going i think i'm gonna do this again that's right i'm gonna do this again because you've had the success the brain craves traction and you you know you never reach the point that you go i can't do it again right because you know because you've done it that's what that's what builds confidence.
Starting point is 00:38:45 People think that confidence is this feeling. It's a certain gene people are born with. I'm like, no. It really comes down to courage where you act courageous. You do it scared. You push yourself outside the comfort zone. You do that first half marathon. Once you survive it, because you will, well, then you have proof and go, well, I can do
Starting point is 00:39:02 that. So I know I can do it again. Your second one, you're confident approaching that second one because you have proof you've done it before but it started with just trying just putting yourself out there and being courageous and after a while you're like now when i first walked on my first stage as a public speaker i was scared out of my mind now i'm confident it's through the experience of doing it it doesn't occur to you that you won't be able to do a good message now. And so belief does matter.
Starting point is 00:39:28 Yeah. So you can be a Baby Steps millionaire. You can start from wherever you, whatever your dysfunctional, screwed up background, whatever obstacles you've got. I know they're there. I know they're real. I'm not saying they're not real. I'm saying you can do it anyway. So get after it.
Starting point is 00:39:44 That puts this hour of the Ramsey Show in the books. We'll be back with you before you know it. In the meantime, remember, there's ultimately only one way to financial peace, and that's to walk daily with the Prince of Peace, Christ Jesus. Have a friend or family member that needs a daily dose of Ramsey advice in their life? Let them know about the Ramsey Call of the Day podcast. It's a quick hit of advice about life and money in under 10 minutes. Check out the Ramsey Call of the Day podcast wherever you listen to podcasts.

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