The Ramsey Show - App - Dissecting the Mutual Funds in Your 401(k) (Hour 1)

Episode Date: January 15, 2019

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🎵 Live from the headquarters of Ramsey Solutions, 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 am Dave Ramsey, your host. Thanks for being with us. It's a free call at 888-825-5225. That's 888-825-5225. So some of my friends in the Christian world, I'm an evangelical Christian for those of you that don't know. Some of my friends are, as my friend Michael says, they are over-saved.

And it's a nice way of saying they're Pharisees, right? And, you know, they just get concerned about stuff. So I get hate mail and stuff all the time. And I get this one periodically. And for some reason, it was shot through my head as I was saying that just now. Where cash is king, 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. Now, just for clarification, I don't think cash is more important than the king, Jesus,

okay? And king, if you were to be able to see that written out, is not capitalized. And so that helps you with your grammar lesson and also helps you with your doctrinal lesson so you can make a comment about something being important and tongue-in-cheek say something is king like king of the world you know do you is that really i mean do you really mean like jesus is not king i mean really you lost your salvation over that so some of you really need something else to worry not king i mean really you lost your salvation over that so some of you really need something else to worry about but i thought i would address it because it comes

up occasionally and you know i i've said that exact intro for over 25 years by the way so can you imagine that people have said some stupid stuff about it i mean there's people complain about me bringing up bmws you know there's people that complain about, you know. And there's one woman said that she kept thinking when I said debt that I was saying death. Where debt is dumb, death is dumb. So, I mean, talk about dumb. So, I can promise you there's 14 million of you out there and a certain percentage of you are confused,

and there's another percentage that are just crazier and crud. So we're here to serve all of you, though. We love you. We'll help you. We're going to walk with you, and we will even clarify ridiculous things for you occasionally. 888-825-5225 is the number here. Mary starts off this hour in New York City.

Hi, Mary. How are you? Hi, Mr. Ramsey. Thank you so much for taking my call. Sure. What's up? Well, to make a very long story short, when I was 20 years old, I found myself dropping out of college, pregnant, and in a very abusive relationship.

And I decided that I didn't want to live this way, and I have to pull myself up, and I learned the hard way through the legal system that no one else is going to help me but myself. So I pulled myself together. I hired an attorney. I went back to school, and I ended up graduating with my bachelor's second in my class. Good for you. Way to go, lawyer.

I'm actually just taking my LSAT now. I plan to go to law school soon. I'm actually just taking my LSAT now. I plan to go to law school soon. Woo! Thank you. I suspect I want you as my lawyer where paternity issues are up. You might be on a dadgum crusade. That's my plan now.

I realize no one's going to help me but myself. So I recently, I'm not in a terrible amount of debt, but because of the way this relationship ended and hospital bills that I was left with and stuff from my pregnancy, I had to, you know, use my credit card. So I'm not too bad. I'm only about $8,000 in credit card debt, which doesn't scare me because I know I can handle that. Good.

But I also have about $38,000 in student loan debt, and I would really like to get that taken care of and start my baby steps. And I already have $1,000 in the bank, so really the next thing is baby steps. But my problem is budgeting because I'm a bartender, so my income varies, like, dramatically. I can make $80 one week or, you know, $1,100 the next week. So it's so dramatically different. And with my lawyer fees and court fees and random costs, my expenses are different from month to month. So I'm just struggling getting a handle on what to do and how to do it properly and not be cash poor just to pay my debts off.

How old are you? I'm sorry? How old are you? I'm 24, just turned 24. Man, you're getting after it. Proud of you. Well done. Thank you.

Yeah, nothing going to keep you down. You're going to be all right. You're a scrapper. So how are you paying for law school? I haven't gotten that far yet. Okay. I just took the LSAT again, so I'm applying to schools now, and I'm working on that. And the other thing is I live in New York, but I'm hoping to move to Virginia or D.C. to go to law school.

Good. Which is a whole other feat with the legal matter and being allowed to do that and everything but that would really be great but as you know as far as moving goes that's another expense i have to save for so all these random things i'm trying to save for and my car has almost 300,000 miles i need a new car all these random things i feel overwhelmed with how to separate them all exactly all right well we're going to do the same thing with both items, or with all items, rather. We're simply going to do a prioritized spending plan. You ever done a to-do list where you just made out a list of random things,

and then you rewrote it in order of most important to least important? Yes, sir. So you do the most important thing first early in the day, and then you work your way down to the least important thing if you get all the way through. That's what we're going to do with the money. Okay? Okay. And so we're going to say the very first thing every week that you buy is food.

Okay. If nothing else happens, you're going to buy food. Okay? The next thing you're going to do is keep your lights and water on. Okay? The next thing you're going to do is pay your rent. Food, shelter, clothing, transportation, utilities. Long before all these other things that are flying around that we're worrying about discussing

here. But you're going to put them on the list. They're just, you're going to eat and keep the lights on first. Okay. And by the way, you make enough money probably most weeks to do more than necessities. But we're going to put the necessities first. So we're going to make a list of everything that you want to do with money. Replace the car.

Go to law school. Pay off the $8,000. Pay off the $38,000. Move to Washington, D.C. Whatever we need to do with money. We're going to make a list of all of those things, monthly expenses and big items that we're trying to get ready for, right? Or knock the credit cards out or whatever we're going to do, medical bills or legal bills or whatever, right? And you're going to make a list, most important to least important, and nothing goes on the

list until you've knocked out food, shelter, clothing, transportation, and utilities. Necessities are first, okay? Okay. But then you just go down the list and go, okay, right now, paying this lawyer bill this week or this month is more important than saving for a car, which it probably is, or saving up some money to make this move now that I've got accepted to law school and I've got a full scholarship as a single mom, which you might, then that's going to be pretty high on the list when that happens. But probably this week it's not, you know?

And so you're going to do a new list every week, and your priorities will change from week to week, month to month. But you're going to do a new list every week, and you will change from week to week month to month but you're going to do a new list every week and you'll update the old one just keep it on a you know a simple word document is fine if you want to or you can use every dollar some people use every dollar to do it uh but but it's a prioritized spending plan from most important to least important here's what will happen once you lay all of that out you're not going to accept an $80 week anymore because you're going to be looking at it going, I've got to make more than that.

You guys aren't going to give me hours. I've got to get something else. Okay. And you're going to have $1,100 weeks, lots of them, because once you've got your needs and your wants and your dreams all prioritized out on paper, that becomes a goal by the very nature of it. And you get fired up and going, I'm scrapping my way through this, like all this other stuff you scrapped your way through.

You're a rock star, kiddo. Hold on, I'm going to send you a copy of the Total Money Makeover book to help you do all of this. It's got a form in the back called the Irregular Income Planning Sheet that will outline exactly what I just told you. This is the Dave Ramsey Show. I had a conversation with a friend recently, and he told me about a young man in his late 20s who died suddenly with no life insurance. Now, I don't want to sound unsympathetic, but this drives me crazy. What are people thinking?

I don't understand how taking care of your family isn't a top priority. Most of you probably just spent a bundle on Christmas on things you didn't really need, and now you're making New Year's resolutions that are focused on yourself. But have you taken the time to do something really important like protect your family? If you want to use the new year as a reason for doing something right, then do it. Term life insurance is something every family needs, and that's why I talk about it every day. It's not complicated, it's not expensive, and you need to do this right now. Zander Insurance is the only place I recommend.

Visit Zander.com or call them at 800-356-4282. Please learn from other people's mistakes and get this taken care of. Zander.com. Thanks for joining us, America. We're glad you're here. This is the Dave Ramsey Show. Paul is with us in Arizona. Hey, Paul, how are you? Good. How are you doing, Dave? Better than I Ramsey Show. Paul is with us in Arizona. Hi, Paul. How are you? Good. How are you doing, Dave?

Better than I deserve, sir. How can I help? Would you like a financial background before I ask my 401k question to my new employer? No, just go ahead and fire it, and we'll work into it. Okay. They give me an 8%. I put an 8%. They put in 6%.

100% of a 4%, and 50% of the next two. So it turns out to be about a 14% employee and company contribution. They sent me a packet of all these funds, and what I read on everything, it says U.S. bond, non-U.S. bond, cash. It doesn't say anything about mutual funds in here at all. And I was wondering if this is something I want to invest heavily in, or are we better off going into a Snorvest or Pro and setting up some Roth IRAs with my wife and I? Highly unusual, like almost never happens, that a 401k has no growth stock mutual funds in it okay you must be reading something wrong because they would they they would leave themselves exposed under erisa guidelines 404 rule and so they that you there's something wrong there. I mean, they have to offer, all 401ks need to offer a bond fund.

They need to offer a cash account, a money market type account, a guaranteed type account, and then offer a series of different kinds of mutual funds is the typical pattern. Now, if you've got only bond funds that you're seeing, I wonder if your packet is incomplete. Yeah, it's from Wealth Wells Fargo, who sponsors it. Which is even, I mean, I can't stand Wells Fargo, but they at least should know what I'm talking about here. I mean, so you're saying how many funds or how many options does your 401k have? It gives me a packet.

I've got three 12 what's about 20 different investments i could get into okay and you don't think any you don't think any i'm sorry on american balanced they just have different companies did you say american fund yeah american growth fund american funds american balance r4 says this investment seeks conservation of capital current income just a second don't read me the description okay the the thing is the american funds is a brand of funds okay within that brand there should be a huge, you're saying there's four or five different funds from American? I've got one here. You said balanced, that's one of them.

And that's not all bonds, that's partially bonds, but it's not all bonds. Yeah, they've got American funds, Euro-Pacific growth. Okay, Euro-Pacific growth is an international. Okay. All right. And what else? Let's see. That's the only one left on American.

There's more Dodge and Cox income. Wait a minute. You just said there was four, and then I've only heard two. Yeah, I thought there was four. My apology. Okay. All right. And Dodge and Cox.

And who else is in there? Metropolitan and West total. T. Rowe Price. Excellent. Good, good. There will be some of those are growth stock mutual funds probably. Okay. All right.

So I'm going to call them and actually find out what all these are and have them dissect them one by one. Yeah. We call them and actually find out what all these are and have them dissect them one by one. Yeah, if you read the name of it, of the type of fund, the title of the actual fund itself, not the overall. In other words, American Funds is a brand. American Balanced Fund is a particular fund. Instantly, I know what that is. American Euro Pacific, instantly, I know what that is, okay? And so once you look at that, because when it says Euro Pacific, what's that tell you?

You're investing in Europe and in the Pacific. Correct. That's what it means. And that's going to be an international stock mutual fund, which, by the way, that particular fund has done very, very well. So that's an excellent international to put in if you're picking the four I talk about. What are your TRO price? Let's just work on it in a second. Do you see the names of the funds in the TRO price? I do. It says TRO price retirement 2016, retirement 2040.

They just list by years. Okay, that sounds like those are groups of funds, not a single fund. Okay. Okay, look at the 2040, and does it have any breakdown in it? Yeah, it gives us the amount of stock, non-U.S. stock, the U.S. bond, and the cash. Okay, now that may be a particular fund, and I wasn't aware they had named any of them by that far out. But that one's probably going to be one of your growth stock funds because it's probably thinking long-term.

So here's what to do, okay? Just holler at a SmartVestor Pro. Tell them you're looking at opening an IRA, and you need them to look at your 401K stuff. They don't make anything on your 401K, but they'll help you with it. And they'll sit down with you and unpack that and or you can get with your personnel team and do it but i'd rather you do it with a smart investor pro and then you can you know you can reward them later by giving them your business if you want to do additional stuff in the ira or you

want to get your kids college fund started or something along those lines but um it sounds like this 401k with 20 different options i heard a couple of things there that i know are probably okay and i i'm gonna guess and say t rose a good family of funds i'm gonna guess and say you're in there not a fan of met life at all um anything they do for that matter but uh but look at the fund i mean maybe it's got a good track record i've just never bought it and it's because i can't stand that company but you know just look at the fund. I mean, maybe it's got a good track record. I've just never bought it, and it's because I can't stand that company. But, you know, just look at it and figure out, you know, what you're doing there and so forth.

And so, by the way, MetLife is a whole life, life insurance company, just in case you guys are not grasping what my deal is here, that decided to get in the mutual fund business. No thanks. It's not where I'm going. But anyway, so that's to get in the mutual fund business no thanks it's not where i'm going but uh anyway so that that's what i'm gonna do and um yeah get with your smart investor pro and have them help you unpack it line by line and you can get into it i don't i don't think it's going to work doing it on the radio it was a nice try but um i think the i think you've got what you

need there and you're getting a good match so i'm probably going to do that 401k before i would do roth iras with the smart investor pro liz is in tacoma washington hi liz how are you hi dave thank you for taking my call sure what's up so um we currently own a home um my husband and i we have a take-home pay about 5300,300 a month. And our mortgage is $1,960 a month, so it's about $36. It varies because I'm self-employed, so some days it's more, but it's about 36% to 40% of our take-home. And we are thinking of selling it. We got it as a good deal, and we have enough equity where we would sell it we would make um a good chunk of money and so we are wondering if this would be a good move for us or not if your incomes are not going to go up dramatically in the next two to three years yes no they probably won't okay and then you're self-employed why is your

income not going to go up well we have we have small children. We have three small children. And for me to keep working more, I have to put all three of them in daycare, and that's really expensive for us. Gotcha. Okay. Because, I mean, if you got your income from $5,400 to about $7,400, all of a sudden this house makes sense if you like the house. Do you have other debt? No, we don't. We only have this house house and we were thinking of if we sold it we stopped contributing to our kids

accounts because you know we had to feed them and i had to keep working so we had to pay for child care so we were thinking that if we sold it, we could catch them up, catch ourselves up with our savings account for emergency fund and then start saving. And we would really like to buy something and have it paid off, like buy something cash. Yeah, I love that idea. Okay, that goes to the other end of the spectrum. I don't have a problem with you selling it. It's just if you love the house and you see your income trajectory going up fast enough that it's not a permanent thing. But it sounds like it's stressing you on several levels and has been for a while.

And so it sounds like it would be a relief to be out of this thing, the way you're describing the situation. So I'm with you. Yeah, I'd sell it. Hey, thanks for the call. This is the Dave Ramsey Show. Are high health care costs getting you down? Are you confused trying to navigate your options? Do you wish you could find an affordable, biblical solution to your health care costs? Based on New Testament principles, Christian Health Care Ministries, or CHM,

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35 years, and our members have shared over $2.5 billion in medical bills. To learn more, visit chministries.org. That's chministries.org. Christian Healthcare Ministries is a proud sponsor of Dave Ramsey Live Events. chministries.org. Thank you for joining us, America. We're glad you're here. Open phones at 888-825-5225. Amber is with us in Dallas. Hey, Amber. Welcome to the Dave Ramsey Show.

Hi, Dave. Thanks for taking my Ramsey Show. Hi, Dave. Thanks for taking my call. Sure. What's up? So I'm a 31-year-old nurse practitioner going through a divorce. House has already been signed over to me. My question is, do I sell it and take a possible hit of negative equity? We purchased it just shy of two years ago.

Or do I rent the house out with it potentially costing me between $100 and $300 a month? What is your income? About $115 a year. Okay. Your personal income is $115? Yes, sir. Great.

What do you do for a living? I'm a nurse practitioner. Good for you. Okay. And how much upside down is this house? You know, it's hard to say depending on the market in the spring or summer. I'm thinking between $1,000 and $5,000 to $7,000 just depending on the market. Okay. Do you have any money?

Not a lot saved, no. Well, what do you have? I mean, I have $37,000 in retirement savings, and then, you know, I have between $3,000 and $4,000 saved. Okay, good. All right, and so any children involved? No, sir. Okay. So this is a house that you would not buy because it's not really, number one, what you would want personally today in this new situation after the divorce,

and it's probably more house than you need, right? Definitely more house than I need. I don't love the floor plan, but I absolutely love the location. Okay. Beautiful neighborhood. Okay. And how much is the payment um so including escrow and um as well as taxes it's 1865 a month what will you be paying where you move to probably around 1200 a month but it'll be a rental. Right. I got you. Okay. And out of the divorce, there's no money then?

No. No, sir. Okay. You're going to get your retirement, and he's not going to pick up the negative equity in the house? Yeah. Yeah. Non-contested, and I'm taking the heaviness of it. Correct. He doesn't make enough okay all right when's the divorce supposed to i guess this is it'll probably be official

within the next month or two but again it's non-contested yeah i got you i got you okay i'm just trying to think what our timeline is um i'm kind of tempted to live there for six months and save up the money to sell it. Okay. You love the location. You can pull it off with your income. It's not preferable. It's more than I want you to have. Sure.

But you could live there for a little while. One thing that complicates it is that there is a possibility I might be moving to Austin or Houston in the next two to four months. Oh. Not likely, but possible. Okay. If you could stay there enough to bank the negative equity and write a check and sell it, that's what I want you to do. Okay. But I'd rather you not move to a rental

and then rent it out it's going to be harder to sell okay and so um yeah i i think you you know you make and the other thing about your industry is your career field is just awesome if you just decide to you can work 80 hours a week and you'll have five thousand dollars in about 20 minutes you know what i'm saying sure i don't want you to have to do that but you have the ability to go make serious bank in your world on the short term if you're willing to pay a price to do that and then that gets this house cut loose and there's no trouble see if you're in austin you're trying to rent this thing then they move out and then you got to paint it then you got to do all this stuff it's just going to be a complete pain in the butt.

It's probably going to go up in value while you do that, so you probably get out of it. But you need to cut this loose so you don't have the emotional problem of messing with it. Start fresh. I would agree. Yeah. Good advice. I'm so thankful I got to hear your thoughts on it. Yeah.

Just hang on. If you can hang in there six months and save up your work, some OT or pick up some ER time or something like that and pile up that $5,000 to $7,000, let's get the thing on the market and get it sold first thing in the summer, then you're free to head off to another city if you want or just a different property that's less expensive and whether you rent or whatever you do at that point. But yeah, let's get clear of this thing. I don't think it's, it's kind of an emotional boat anchor and a, um, and just a, it's a problem child over there in the closet kind of, you know,

if you will. And, um, you know, it's like the monster in the closet is what I'm thinking of, you know, that kind of a thing. And I don. And I'd rather just go ahead and cut it loose. And I think you've got the ability to do that. You're within an eyelash of being able to do it, you know. So, yeah, let's go get that done. Ron is in Tallahassee. Hey, Ron, how are you? Good afternoon, sir.

How are you? Better than I deserve. What's up? Well, my wife and I have a quick question. We are currently on Baby Step 7. We've just purchased a town home. We paid cash for our two boys as they enter into college to live in while they're going through college. They'll have two roommates that will pay us rent, and we plan on keeping the town home for

about six years. We've got a net worth of about $800,000. Want to know if we should set up an LLC for this property or just get an umbrella policy. And then also, if we go LLC, what are the tax implications of the LLC? Tax implications on the LLC, it's 100% pass-through for federal, and most of the time in the state it's the same thing, meaning it's as if you didn't have an LLC for taxes. It all shows up on your personal, so it's not an issue there. Yeah, I'd probably pop it into an llc and pick up an umbrella policy as a okay um i i keep all of our rental property in llcs um i put

up to about five million dollars worth in one and then i open another one i don't do a single llc for every property but you know we'll throw houses in there until it gets up to about five million and then we'll do another one or if we buy one building that's five million or, you know, we'll throw houses in there until it gets up to about $5 million, and then we'll do another one. Or if we buy one building that's $5 million or above, you know, we'll put just that one building in an LLC, a commercial property. But something like this, yeah, just start your rental LLCs. And then if you buy another one cash, you can put it in the same one. It's not a problem.

And just you can run it all out of the same operating account. And it gives you one more layer of liability protection, which is what I'm after here, because I don't want one of those kids in college or one of their friends to fall off the deck one night at a keg party and decide they're going to sue millionaire dad. Exactly. Also, should I require the kids that will be living there outside of my kids

to have some sort of renter's insurance? Yes. Okay. Yes. Yeah, I would. And it's going to feel like overkill to them or their parents, but it's just there's too many things that can happen. If you do a few things like this you'll never have the moment where you regret buying this property but if you don't take some of these kind of nerdy

steps for risk management the three things you know umbrella policy llc and yeah make them have renter's insurance then then you know you've just got there's too many little dinky things that can happen that turn into big problems and so yeah i would do that it's what i do i you know i looked up the other day ron i i actually don't own anything i don't own a single thing i don't even own my dadgum cars they're in llc's you know from a risk management perspective i have zero money it's everything's in some kind of company somewhere. And it's paranoia a little bit, but it's risk management is what it is. And so you just shrink the size of the target that somebody could come after

any time that they decide they want to get all jacked up about something. And it has an interesting effect. It dissuades people from thinking they have hit the lottery just because they something happened on one of your properties and uh it also helps me to deal with them in a more direct and uh correct way yeah good question very well done so i again i do use llc's for all of our real estate. As a matter of fact, our company is now an LLC. We converted it from a service. So, there. This is The Dave Ramsey Show. Thank you. Thank you for joining us, America. If you're ready to take control of your money once and for all,

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Jordan's in Atlanta. Hi, Jordan. How are you? I'm fine. How are you doing, Dave? Better than I deserve. How can I help? I just got one quick question.

I've been watching you for about a week or so now, and I'm about to start Baby Step 1. And I'm a disabled veteran, by the way. I go to the VA twice a week, two hours there, two hours back drive. My car is leaking oil like crazy, and it just started. So they wanted me to pay a thousand dollars down to trade it in and get another car and that was the thousand i was going to save for baby step one so my question is uh can i try and drive the car for a little bit longer or should i just handle the situation yeah okay so um thank you for your service the country

what's your what's the nature of your disability that you're having to drive two hours for? Mental health and shoulder pain, neck pain, back pain. Okay. It's things that happen in the military. Gotcha. Okay. All right. Well, the first rule of getting out of debt is don't take on any more. Are you single? No.

I have a girlfriend. Okay. What's your income? You're not married. What's your income? Mine is $50,000 a year. Okay. And is that all military disability?

Yes. Okay. All right. And what debts do you have, sir? I have that car, which I just told you about. I have a bed, a washing dryer, a TV. I mean, and all these things I can't take back. Yeah.

So the next time we need something, we can't use debt to get it, or you're going to be in debt the rest of your life. This isn't working. Would you agree with that? I agree with that. All right. in debt the rest of your life this isn't working would you agree with that i agree with that all right so i guess if i'm in your shoes uh i'm gonna immediately see one two or three mechanics and figure out what it's going to take to fix this car i don't i'm not going to put a thousand dollars down and buy a car i'm gonna find out what it takes to fix this car it's leaking oil

you said right not burning oil right and i took it to uh the first mechanic and he said it was uh the remain seal which i don't know much about but i asked how much they were charged and it was like 3,500 okay go get go get two more bids gotcha rear main seal is a big deal um uh because they have to usually pull the transmission in order to fix it so it's not a small thing what they're quoting you there's not like blow your mind outrageous but it sounds a touch high um you know what's the car worth um the car's worth maybe 3,500 i got it from about here pay here um it has 125,000 miles is it paid off no i still owe 8 000 8 000 yes 8 000 oh jeez so the only way to get out of this is to you could just turn it back in and don't have a car

or give them a thousand dollars and get another car with probably 10 000 miles okay the buy here pay here people though the the problem is that they sold you a car that was not worth what you paid for it, and you've already rolled negative from the last deal into this deal, didn't you? Right, right. But they said they would wipe it clean and I would start over, which still ain't good. They would wipe it clean, meaning you're going to get an $8,000 car for $8,000? No, meaning I'm going to owe $8,000 for this car and I'll start over on another one. Yeah, but the fact that your $5,000 in the hole or $4,500 in the hole,

not to mention it's leaking, has got to go somewhere. And they're going to plump that onto the next deal. Okay? I can't say it. Yeah. So what you need to do is to, if you do that, you need to move down in car to about a $4,000 car. You're still going to owe $8,000 or $9,000, but you need to move down in car to about a $4,000 car, put the $1,000 down on that, and then let's get started again.

Let's get you on the written budget so that you guys can start to pay off all these other little debts, and then we've got to get that stupid car paid off because those people are eating your lunch. Right. And I guarantee you the interest rate's horrible. But yeah, for a temporary stopgap measure, if you move down in car, throw $1,000 into the deal, and they're going to roll the negative equity on you, yeah, if they'll do that, they're getting you again, and we're going to do it on purpose this time, but it's a short-term thing to keep you on the road

because you need the help that's two hours away, which keeps you functional, right? Yes, sir. Yeah, I want you to do that. I want you to get your help that you deserve and that we the taxpayers are proud to pay for for people like you. I'm glad you're getting that. I'm glad I'm paying for it. I'm proud, too.

Not many things my taxes go to I'm proud of, but that's one of them. So, but anyway, so, yeah, let's keep you on the road doing that and then let's get everything under control there and then uh this financial peace university this nine-week class that i was just talking about before i picked up with you i want to give that to you to say thank you for your service and i want you to go to that class and use every do everything I say to do in there, in a year you will be out of debt. In two years, you'll have $20,000 in the bank and be debt-free. In eight years, you're going to have $100,000 in your 401K or in your Roth IRAs. Oh, wow. Okay.

I'm going to show you how to never be here again if you'll do what I tell you to do, and it's not going to cost you a dime. I'm going to do it for you, okay? Okay. I'm going to show you how to never be here again if you'll do what I'll tell you to do. And it's not going to cost you a dime. I'm going to do it for you, okay? Okay. Thank you. But you've got to do the hard work, man. Yes, sir. And then when you've got some money in your pocket later,

you've got to find another vet somewhere that needs some help, and you pay for them to go through the class someday, okay? All right. You hold on, man. I'll have Kelly pick up. We'll get you signed up, get you in there. I can't think of a better use of a kit today than that one. Thank you for joining us.

Open phones at 888-825-5225. The human spirit amazes me. Our spirits are simultaneously resilient and fight through things and simultaneously can be scarred sometimes for life by experiences, trauma. In one sense, it seems like nothing can hold you down, and in another sense, you see the things that happen to people, and for instance, in a war setting like that, some kind of a trauma or the trauma of abuse

and how it takes decades to get out from under that. The human spirit is a dichotomy. It really is. It's amazing. So honored to help a man like that. Honored. That puts this particular hour of the Dave Ramsey Show in the books. Our thanks to James Childs, our producer, Blake Thompson, our senior executive producer, and, of course, Kelly Daniel, our associate producer and phone screener.

I am Dave Ramsey, your host, and we will be back. Hey, guys, this is James Childs, producer of The Dave Ramsey Show. I'm excited to announce that we're now carried on 600 radio stations across the country. To find one near you, head to DaveRamsey.com slash show.