The Ramsey Show - App - Combining Assets as Young Newlyweds at Ages 81 and 84 (Hour 2)

Episode Date: June 10, 2019

Get Started on Your Debt-Free Journey We’ve made it even easier to get started taking control of your money.  Learn How! How Fast Can You Be Debt-Free? You don’t have to be in debt for the rest of your life! Answer 5 simple questions and our Debt Calculator will show you how quickly you could be out debt!   Get the Complete Guide to Budgeting. Budgeting is often misunderstood and overcomplicated. It doesn't have to be! We made it simple. After 90 days of budgeting with EveryDollar, 9 out of 10 users feel more confident in their financial future. Get the Complete Guide to Budgeting.   Get the Coverage You Need. How does your coverage stack up? This Coverage Checkup will show you what you need (and don’t need), which questions to ask, and where to get the best coverage.   Find the Right Financial Advisor. Finding the right financial advisor doesn't have to be complicated. Our free guide makes it easy to know what questions to ask so you can make a confident choice. Get the guide!    Listen and Watch Anytime, Anywhere.   The Dave Ramsey Show app lets you download episodes for offline playback, customize your content, and see what’s coming up!

🎵 Live from the headquarters of Ramsey Solutions Broad broadcasting from the Dollar Car Rental Studios, it's the Dave Ramsey Show, where debt is dumb, cash is king, and the paid-off home mortgage has taken the place of the BMW as the status symbol of choice. I'm Dave Ramsey, your host. Thanks for joining us. Open phones at 888-825-5225. That's 888-825-5225.

Joseph joins us to start this hour in Tacoma, Washington. Hi, Joseph. Welcome to the Dave Ramsey Show. Hey, Dave. Thanks for having me. Sure. What's up? So my wife and I are selling our house.

We're moving. I work in a warehouse, and it's moving. We're following the work. When we sell our house, is it easier to sell it if we're not here? Our plan is to rent an apartment and then put the house on the market. Why? That way we could clean it out, shampoo the carpets, make sure the kids aren't destroying stuff.

People could come view it whenever they want to with their realtor. We don't have to worry about scheduling any of that. Okay. Well, that's not a bad idea. It would be called somewhat like staging a home. Sometimes model homes have, builders will have a staging company put in and

come in and decorate and put furniture in the thing to make it look right and in a sense you're doing that by cleaning it out if you cannot do this if you cannot treat your home like it is a model home and it be prepared to show how many kids do you have i have two kids okay two two dollars five and two okay if if it is impossible in that situation for you all the way you run your house for the house to look like a model home on 20 or 30 minutes notice then you may want to do what you're talking about okay and so you can if your furniture is ratty and your kids are just not they're just your wife just is not going to keep a perfectly clean house and make it look like a you know because basically buyers have

no imagination they cannot look past the unmade bed they cannot look past the dirt in the kitchen because your wife is busy with two little curtain climbers right um so you know if that's the case now different different people are different ways okay um i mean i'm pretty much ocd on cleanliness stuff everything has to be in order so even when our kids were little it was a pretty tight ship around our place but other people it's just reckless abandon when their kids are little and i won't name any names but some of them are in our family okay so that their house is just not going to be a model home right but with me it was pretty easy because it was just like okay everybody get ready because inspections in five minutes you know. And so salute two-year-old, right?

And, you know, we're running a little military ship or something. But, I mean, if you can't do that, you're going to keep the home from selling by being in it. So you would be correct to move out. But if your wife is one of those that's kind of like me and she's a little drill sergeant and she's going to keep everything spick and span just because that's who she is and how she thinks, and then these people are going to come in and see and span just because that's who she is and how she thinks. And then these people are going to come in and see a cute little home with a cute little family, and the furniture's not ready and the kids have not destroyed everything, to quote you,

then, you know, it might be a plus for you to be in the home. A, you wouldn't have the apartment rent. So when are you moving to the other town? My warehouse, they keep changing the date. Somet sometime between September and the end of the year. We are hoping to be in the other town before September. That way my oldest daughter, she's five, she can start school in that school district. Okay. Well, I mean, that's not that long.

You could just clean it up where it is and put the finishing touches on it when you move out and go ahead and put it on the market, assuming, of course, what I'm saying. But if it looks like chaos in there when somebody walks in, you're going to do yourself harm by putting it on the market. Yeah, not chaos, but, I mean, my kids have a lot of stuff. Okay. How big is the house? How many square feet? 19,000.

1900. Yeah. Okay. Yeah, that's what I meant. Yeah, I know. I know. Okay. I just am trying to keep from moving twice.

Once to an apartment and then 30 or 45 days later moving again? No, we would stay in that apartment for a year to two years while we stacked up a down payment for another new house. Oh, so you'd go ahead and move to the other city now? Yes. It's about a half hour away. Oh, I see. Sorry, was I not clear? It's not hours and hours away.

The warehouse is moving about an hour from where it is now, and we will be moving about a halfway point, so I don't have to travel over an hour each way. It sounds like this is 100% going to happen. It's just a matter of when. Yes. Okay. So if it's that close,

why don't you just wait to put the house on the market until the warehouse moves, and then you move. Instead of moving before your house sells and commute back and forth. We wanted to be in the other school district. The school district. Okay. So we didn't have to worry about transferring. All right.

I would just, yeah, that's fine. I would move out of your house into the apartment at the last possible moment then for that to occur. Last possible moment? Yeah, down in August. Down in August. Let's go ahead and move into the apartment then and then spiff the house up and put it on the market. Okay. Yeah, so your plan works.

I just took me a little, I didn't know some of the pieces of the 30 minutes away thing. That's kind of a different kind of a transfer there. So, all right. Good question, man. Thank you for joining us. Open phones at 888-825-5225 stefan is with us on twitter i have three credit cards that are in collections all three are calling me and wanting to settle how do i decide which one to settle first a you have to have the money to do it so whatever the settlement offer is is irrelevant if you don't have the

actual cash to send it to them now uh b who can it be in who will give it to you in writing um see who's giving you the best deal percentage wise uh who's giving you the most off so i mean if one of them's 25 cents on the dollar one's 20 cents on the dollar one's 15 cents on the dollar one's 15 cent on the dollar you take the 15 cent deal then you take the 20 cent deal and you take the 25 cent deal and you work it that way but in all cases it must be in writing and no electronic draft from your checking account because you can tell a credit card collector is lying if their mouth is moving they're the scum of the earth so you just can't trust them and some of you people think i'm overreacting but we have the pleasure of working with that

industry every day he says with sarcasm font so there you go now you just stay you have to treat these people like they're snakes and keep yourself from getting burned. If you're attending a graduation party this summer, it's not too late to get them the perfect gift. The Graduate Survival Guide by Anthony O'Neill and Rachel Cruz. Best-selling book for high school graduates. It teaches them the five mistakes you cannot afford to make in college. It is on sale for $15.99 at DaveRamsey.com. And, of course, you can upgrade to our exclusive College 101 bundle for $25.99.

This two-book special includes, of course, number one best-selling book, The Proximity Principle. So check it out. Go to DaveRamsey.com. Or call us at 888-22-PIECE, 888-227-3223. This is big news, guys. You need to stop and listen. The Fed decided not to raise interest rates. That means you've got a small window of time before rates rise again. Here's the deal.

Most people are paying too much interest on their largest expense, their home. So you're freaking crazy if you don't take 10 minutes to call Churchill Mortgage right now and see if they can save you money before rates rise again. A mortgage through Churchill could save you thousands, or better yet, reduce the time until you're debt-free. Can you imagine how it would feel to no longer have that payment looming over your head every month? Just go to ChurchillMortgage.com or call 888-LOAN-200. Their team of experts will give you more clarity about your options

and more peace knowing you're saving significant money in the long run. Call 888-LOAN-200. That's 888-562-6200 or churchillmortgage.com. Ken Coleman, the author of the number one bestseller, The Proximity Principle, has a radio show on SiriusXM on a Ramsey network there. Also, it is a podcast. And today, we launched a radio show on real radio on mainstream radio and uh so approximately 20 stations are carrying it starting today you'll start to hear it all across america as we continue to get stations added to that network and so uh very cool stuff the ken colman show is officially our second nationally syndicated talk radio show in the Ramsey Network.

So good stuff. He does great radio, too. He helps a lot of people with their careers, and we get a lot of praise for what he's doing. He doesn't get as much hate as I get because I'm more hateful than he is. I might be more entertaining, though. I don't know. We'll see. we'll see how this works out in the long run uh audi is with us in peoria hi audi welcome to the dave ramsey show well thank you very much for having me on and god bless you for the work that you do thank you how can i help

well um i have a little different situation than you usually have. But when I heard that millionaire scream, I thought, well, even at 81, and my fiance is 84, he's been a widower about three years. I've been a widower for over 30. And we used to work together many years ago. And we have decided after a year of dating that we will get married. And so I was officially engaged Valentine's Day and wore an engagement ring. So there is my background situation. That's just fun. I love this.

Way to go, kiddo. So when's the big date? Well, now this is the situation. When I accepted the engagement ring, I had to accept it with conditions because we had a number of issues, of course, at our age with children and grandchildren and great-grandchildren. We needed to make sure, first of all, that everything was copacetic with our children. And that's the problem solved, not a problem at all. Both sides of the family have just generally said, I think, actually, they said, oh, good, Mom's got somebody to take care of her,

and his family said, oh, good, Dad's got somebody to take care of him. So the two of us are going to be taking care of him. This is great. We have health issues, and a lot of those things have to be taken care of. And then we also needed to know where do we live and how do we do our budget. We are very differently, we have a very different perspective. I had a family of seven, five children, and my husband and I, I was mostly a home mom until I went back to college and got my teaching degree.

And he has always been a teacher or a principal. And now that we're retired he still substitutes i have had a job up until 2015 i still work and we both are pretty hard workers but we have had some health issues so those have to be dealt with and so we have not set a wedding date yet okay everybody Okay. Which bugs everybody, really. How can I best help you today? Okay. These are the two questions, really, that we need to deal with. We have a fairly good income and some assets. We won't be hurting at all, but there are some questions about, one, how do we set up a means of deciding what our living expenses will be? And how much should we invest in a home to live in?

He has an older home that will require a good amount of money to renovate. So how much money do you have and how much money does he have? Well, he has about three times my retirement is about $28,000 a year. I mean my income. Yeah, not counting income. Do you have nest eggs? Pardon? Nest eggs or net worth?

Okay, well, I have about $80,000 as my net asset, but I have a $20,000 mortgage still on my house because I did some upgrades. I'm actually in the process. What is his worth? What's he worth? He has a small farm farm and it's worth about well it's worth probably values right now

over $400,000. Okay. What I would tell you to do and what I tell all young couples to do on the household budget is to do a budget and lay it out together and you guys figure out together what you're going to spend on your household budget. You've got your incomes in front of you, and you can spend all of that income if you want to.

There's no problem with that. I would love to see you sell off a couple of these odds and ends pieces of real estate and end up with a paid-for property that the two of you are living in so that you've got the piece of that. And I would like that to be left to the person that has survived. When one of you passes, the other one ends up with that house. You can do whatever you want, but that's what I would want for my wife or husband, were I exactly in your situation. The rest of the assets, then, you should be left probably to your kids or his kids,

his assets to his kids, your assets to your kids. This is one of the rare instances that I would say to a prenup. Yes, that's exactly. Both of us, just coincidentally, before we started dating, had decided our will. We both had new wills drawn up. And they fit perfectly. Our two lawyers,

his lawyer would like to meet me and present the prenup, which is really because he has many more assets than I do. And they all should go to his children. Well, I think that's great. And I think almost all of them should go to his children. But he's in love enough with you to marry you,

so he also is going to want to make sure you're okay. Well, my house was always, for the last two or four years, I've been doing things to my house to put it on the market because I was planning before I met him, and we started dating and decided to get married, that I would move to Texas where my children live. Yeah, I see. Most of my children.

Okay. Well, you can use that money out of the sale of that house to be your nest egg, and you've got a prenup to protect your money flowing to your kids, his money flowing to his kids and grandkids. And with the exception, maybe, of the personal residence, and with the exception maybe of the personal residence where maybe that is one of the things he gives you. Now, maybe if he were to pre-decease you, were to pass first, maybe you would sell that and move to Texas still.

But that's still one way that you would slightly benefit financially from the marriage. And he could do the same exact thing where you pass before him he would get that house and if you put a little bit of your money into that house that wouldn't be a bad thing so you can work that out you don't have to do that it's just an idea that i threw out but in uh marriages at this age i think a prenup where there's assets is always a good idea because it keeps everything real clean and there's no no weirdness in the family because families get weird about these things so normally i do not recommend a prenup except in extreme wealth situations but in this case this is the type

of thing where if i were in your shoes i would and if he if i were in his shoes i would so well it's an honor to talk to you, Aldi. I'm so excited for you guys. Congratulations. And I hope you guys get this lined out and get this date set up fast. That's what you need to do. I love it. Very fun stuff.

Hey, thank you for calling in. Open phones at 888-825-5225. Don't you hope when you're 81 and 84 that you're out there on the market like that? I like it. That's so fun. Sharon and I were laughing with some people. The things old people sit around and talk about around the table. I mean, we're getting old.

So she's like, yeah, something happened to me. You'd be married in about 20 minutes. You're no good without a wife. I said, and you would never remarry. These are the things you talk about as you get old. I love it. Way to go, Aldi. I love it. Very fun stuff.

Live life. Live it wide open. Put the pedal to the metal, baby. This is The Dave Ramsey Show. We'll be right back. In the lobby of Ramsey Solutions, Kurt and Lindsey are with us. Hey, guys, how are you? Good, how are you? Welcome, welcome. Where do you guys live?

We're from Kearney, Nebraska. Oh, welcome to Nashville. That's a bit of a haul over here. It was a little bit of a drive with four kids. You drove it with four kids. Yep, we did. That makes it twice as far yeah kind of so are we there yet yeah they did they did they did a great job though that's cool so all the way

here to do a debt-free scream how much have you paid off uh two hundred and fifty thousand dollars wow how long did that take uh right at uh six and a half years. Wow, very cool. And your range of income during that time? We started off probably $115,000, $120,000, and then ended at $200,000 plus. Wow, look at you. What do you guys do for a living? We're both in sales. That's good, and obviously good at it. She's probably better than I am.

I don't know about that. Well, we'll take it. Okay, so what kind of debt was the $250,000? Started off just with a boat and a SUV. We paid off real quick. And then the last about $200,000 was our house. You paid off your house? Yep. I'm looking at weird people.

Yep. Way to go, you two. I love it. What's the house worth? Probably $330,000, $335,000. How old are you guys? We're both 35. 35 years old and you have a paid four-house. Did you ever think that would happen? Times we wondered, but over the six and a half years, it was a struggle, but we made it. I bet you don't have that many friends that are 35 that

have paid four-houses. Not too many. Fairly rare. Fairly rare. Way to go, guys. Thank you. Good for you. Very fun. How long have you all been married? 12 years.

12 and a half. 12 and a half. So halfway through your marriage, six years ago, seven years ago, something happened. What lit the fuse on this? We were just kind of in a transition period. We were actually farming, and there was a lot of debt associated with that, and we kind of got that cleaned up. And then we both had kind of jobs where we got a paycheck every two weeks, and it was just like, you know, at the end of the month, there was no money left.

It was like, what are we doing wrong? And we were kind of in that ish phase. We weren't doing, you know, the Dave Ramsey. We were doing, you know, Curt and Lindsey-ish type of thing. And so then we just kind of started getting more and more intense and gaining more and more traction. How'd you hear about us? Just mostly on the radio, I think, and podcasts. We both drive a lot, and so podcasts were a big deal.

And then here about four or five years ago, we joined our church in Kearney, and they asked us to serve. And we had an FPU class, so I started coordinating FPU there at Carnegie Free and so then you kind of get that extra level of intensity because you're talking about it and kind of got to... Yeah, you have to model it. Exactly. Hard to be a hypocrite and run a class. You just game on then. I love it.

Well, congratulations. Thank you for coordinating classes, man. Yeah, it's been a good experience. Yeah, it is. It's fun watching these people's lives change right in front of you. It's fun and it's frustrating at the same time. Yeah, absolutely. I think the benefits outweigh the frustrations. Absolutely.

Well, congratulations, you guys. Okay, so now you're coordinating a class. You stand up there. I'm 35 years old. My house is paid for. People look at you like you're a rare zoo animal. And they say, how did you do that? How did you get out of debt by 35 years old?

What do you tell them the main things they need to do is, the secret? I think for me personally, it's just perseverance and then the teamwork aspect. I couldn't do it by myself, and she couldn't do it by herself, but together we could do it. What do you say, Lindsay? Well, initially I kind of was annoyed with him. It was interesting to see the transition as we went. When we started out, initially I felt like he was kind of the dad being the authoritator. And instead of really understanding what he was seeing for our future and for our

family's future, I think I felt more like, geez, I have to have a budget. I have to follow this. But as my heart changed and as I saw, you know, the progression that we were making and the money towards college and towards retirement, I saw the future that we could have together. And that's when I was like, okay, it it sounds cheesy but it made me fall in love even more with him because i think so many arguments initially in our marriage were financial and i think we're closer now than we've ever been walking through this journey together so not cheesy at all it's admirable well done good job job, you guys. And so do you help when they're leading the financial peace classes?

Are you in there? Nope. I'm home manning these four. The four kiddos? Yep. And you brought them with you, obviously. Have they been practicing their debt-free scheme all the way from Nebraska? They have. Maybe not all the way, but they've been practicing.

Thanks, Lord, for that. So what are their names and ages? We have Delaney. She's our oldest. She's 10. Easton is our son. He's eight. He's the only boy of the three girls.

And then we have Briley, who's six years old. And we have Myla, who just turned three on Friday. All right. There we go. Cute. Good-looking family. Thank you. Well done, you guys.

Very, very well done. I love it. Beautiful. All right. Thanks, Mark. Well done, you guys. Very, very well done. I love it. Beautiful. All right. Here they go. Kurt, Lindsey, Delaney, Easton, Briley, and Myla. $250,000 paid off. That's their house and everything.

You're looking at a family tree that's been changed. His dad and mom took control. They did this stuff. Proud of you guys. We got a copy of Chris Hogan's book for you, Everyday Millionaires. That's the next chapter in your story. Count it down. Let's hear a debt-free scream.

Three, two, one. We're debt-free. I love it. That is so fun. Very cool stuff. Wow. Do you understand if you're 35 years old and you make $200,000 a year and you don't have any payments at all how wealthy you're going to be?

Mathematically, that's not a million dollars. That's millions and millions and millions of dollars. The position that they are in, they have completely changed their family tree. Oh, it's a mic drop. I mean, they know how to handle money. They know how to work together. They trust each other. They have a good income.

They don't have a payment in the world if you just saved a house payment you'd be wealthy if you just invested in good mutual funds a house payment every month you'd become very very wealthy so getting rid of that house payment at their young age sitting there owning that property free and clear after being in farming where debt is everywhere they the freedom that they feel absolutely amazing what a great great place to be i love that that is awesome open phones this hour at 888-825-5225. Ken is on Facebook. Dave, we have a child with Down syndrome.

Should we extend our term life as long as possible, or should we limit to a certain age and make other provisions to care for her financial needs? You need term life insurance as long as you do not have enough wealth to replace the lost income in the event of your death so if you're debt-free a hundred percent and the only reason you would need to take care of the down's child is if both of you died right someday that will occur but i mean if both of you died early okay like if you died in your 40s or 50s something like that both of you and let's say in that case that you had a paid for house that was worth 300 000 and you had 700 000 in mutual funds in your retirement accounts and you died at 53 years old and you

didn't have any term life insurance and the other children were grown and gone. Well, there's a million dollars in assets there. Paid for house and 700,000 mutual funds that I just laid out. If that were left in trust to a trustee to manage, it would create plenty of income to take care of your child with downs. And if you wanted to even leave some to the other children you could but of course the first goal is to have enough money in the nest egg that the income off of it will in perpetuation care for the child with downs if you have that then you don't have a need for term insurance until you have that give a need for term insurance until you have that, you have a need for term life insurance.

There's very little different about that answer than the answer of a family without the same issues. You still have to take care of your family that's behind. That's what it amounts to. If you have enough money to do that, then you no longer need insurance. That's because you've become self-insured with good financial planning, debt reduction, and wealth building. That's what you're looking for. This is the Dave Ramsey Show. Thank you for joining us, America.

We're glad you're here. Open phones at 888-825-5225. Angelo is in New York City. Hi, Angelo. Welcome to The Dave Ramsey Show. Hello, Dave. Thank you so much for taking my call today. My pleasure, sir.

How can I help? Well, I just retired from 37 years of municipal employment, and I'm 57 years old. I have a couple of different options I could take on my pension, and I'd like you to point me in the right direction and make sure that my wife will be taken care of in the event something happens to me. Okay, so my pension is going to be estimated to be about $83,000 a year, which is $7,000 a month. Option A is for $6,000 a month option a is for sixty five hundred dollars a year bringing my pension down to seventy seven thousand She'll get half when I die. The only problem with that is if she dies first, I'm stuck at the seventy seven thousand rate option B is for

Another thousand on top of the sixty five hundred bringing the pension down to $76,000, she'll get half if I die. And if she dies first, it'll go back up to the $83,000 that it would have been had I taken no option. So if I'm living on $7,000 a month and when my wife retires in a couple of years, she's living on her pension of $3,000 a month, that's $10,000. If something was to happen to me, she'd go from living on $10,000 to living on $3,000. And I'm wondering if term life insurance might be the way to go. Probably.

Do you have any other money saved? Yes. And all the stuff I can't touch until I'm 59 1⁄2, I have about $910,000. In cash, liquid, I have about $89,000. And my home, if we continue to make the additional $700 a month mortgage payment that we're making, will be paid off in October of 2020. But living in New Jersey, the property taxes are the highest in the country, and they also tax your pension.

So if she gets half of my pension, that's subjected to taxes, whereas a life insurance policy wouldn't be. I followed your lead, and I went on Xander. And if I come in at the preferred rate for a 30-year term policy, the savings to me for a half-a-million-dollar policy would only be about $3,500 a year. So if I make it to 87 years old, what happens at 87 in a day? She gets nothing when I die. Well, way to go, man. You've not only done a great analysis, you've done a great job of building wealth. You're millionaires.

Way to go. Congratulations. Well, I'm a millionaire on paper. That's thanks to her, Dave. I spend money like a drunken sailor. Drunken congressman. Don't make fun of sailors. Love it.

That's great. Well, so there's a couple ways to look at this. Yeah, you could buy a term policy, and I probably wouldn't buy a 30-year. I'd probably buy about a 20-year if you did that. I assume since you've analyzed this so carefully that you do not have a lump sum option on your pension. That is correct. Okay. All right. So if you die 21 years from now, she's going to have $3 million in your mutual funds

because you're going to live off your pensions. You're not going to touch the nest egg. Is that $900,000 invested in good mutual funds? It's split up over a bunch of things. I mean, I have an IRA that's in global utilities. So what do you think your average rate of return on your $900,000 is? You know what? I couldn't tell you, Dave.

Some of it's done through the job. If it's 7%, the money will double every 10 years. At 10%, it'll double every 10 years? At 7%, the money will double every 10 years. Right. If you don't touch it. Okay? At 10%, it'll double every two years. At 7%, the money will double every 10 years. Right. If you don't touch it.

Okay? Right. At 10%, it'll double every seven years. So somewhere in there, the money's going to double. So in 20 years, it will have doubled at least twice, maybe more. So she's going to have $1 million, it goes to $2 million, then it goes to $4 million is what she's likely going to have if you die and there's no life insurance. So I think she could live off the income of that dude. I think so.

Yeah, so I'm not taking any lower options. I'm taking all this pension money as fast as I can get it. It dies when you do. And if you want to buy a little term policy so she doesn't have to touch the nest egg it's kind of a luxury it's not a necessity because she could actually live off the income of the 900 grand well i do have a death benefit with the pension it's very small it's about 25 000 that doesn't matter so uh you know cover funeral expenses but it is subject to tax yeah but let's just say that the million dollars that's sitting there created 8% a year.

That'd be $80,000 a year. Right. So she could just live off of that, breaking my heart here. So I'd have to go then with the smart investor route to find out what's going to get me the best return on that money, right? Yeah, you need that $900,000 invested well in good mutual funds and keep your stinking hands off of it and live off the pension. Right.

You, too, live off your pensions, which you've got good pensions, man. You're making good money. You've done a great job. Oh, thanks. And so as long as that pension money comes in and you just let that other money sit there and double and triple and quadruple and so forth, she's going to be more than fine in probably 15 years if you wanted to buy a cheaper one. Price of 15 and price of 20, I wouldn't do a 30.

Okay. I got you. All right. Because she's going to be okay, which is the whole purpose of this discussion. You're definitely okay because the bulk of the pension money coming in is yours right i mean you're gonna lose a little bit off if she were to pre-decease you you're gonna lose a little her little bit of income but it's a third of yours so you see the way i'm looking at it if if i give her half right well let's just say i went out and

i took a life insurance policy you know on myself and I gave her half. If she was to die first, the first thing I'd do is cancel that life insurance. That's the only reason I'm drawn towards that pop-up. Why should I continue to pay for something that I'm no longer going to use if she dies first? Yep. And if you look up and you had $4 million instead of a million, you'd do the same thing. Yeah, that's true. And that's what my point is.

Because if you leave that $900 alone, let it double a couple of times, you're going to be sitting on some serious bucks. Because the first time it doubles, it becomes $2 million. The next time it doubles, it becomes $4 million. Right. Okay. Hey, you're on to something. You did a good job, man.

You thought this through well. I'm proud of you. Honored to have you listening, sir. Thanks for calling in. Very cool. Great call, man. Everyday millionaire right there katie is in traverse city michigan hi katie how are you good how are you dave better than i deserve what's up so i was wondering i have a low income of about forty thousand dollars a year um i got engaged. He's in the military and he will be deploying for two years. In that two years, I want to save up for like a down payment on a house as well as a wedding.

I was just wondering on the down payment of a house with my income, do I save more than 20%? Because I don't know what he's going to do when he comes home. But I don't know if I should just base it off of my income and go over 20%. So you're going to wait until he comes home two years from now to get married? Yeah, we just got engaged. And he said that, you know, he would rather wait until he came back. I mean, it might change. I mean, he ships out may of next year so we still have like a year to think about getting married now

okay well it would be advantageous to your wealth building to be married mathematically okay um and it also um because what does he make do you know uh i don't i don't know the exact um i think it's around 60 000 a year i suspect by may you guys that between the two of you making 100 can save up enough to do a wedding and then start you know making sure that you're debt free have your emergency fund in place and then start saving towards the house while he's deployed if he's you know deployed in a uh a battle zone obviously he's going to get tax-free benefits and bonuses where's he going to be deployed to do you know afghanistan yeah so he likely will get that going to the sandbox so um you know y'all talk it through, but that would put you in a position to do that.

It's hard for me to tell you to both for you to save to buy a house together when you're not yet together. So I'm going to make you just save and save and save and save and save. And then you can decide what you're going to do when he gets home if you do it the other way. Good question. Thanks for his service. This is the Dave Ramsey Show. Hey, guys, it's Blake Thompson, senior executive producer for the Dave Ramsey Show. This hour is over, but you can find more great content on our YouTube channel.

Catch the most watched Dave Ramsey, deathly screams, and the very popular everyday millionaire segment. Go to the Dave Ramsey Show YouTube channel and Catch the most watched Dave Rantz, Deathly Screams, and the very popular Everyday Millionaire segment. Go to the Dave Rantz Show YouTube channel and click subscribe.