The Ramsey Show - App - How Much Cash Should I Keep On Hand for Emergencies? (Hour 3)

Episode Date: September 26, 2022

George Kamel & Dr. John Delony discuss: How much cash you should keep on hand for emergencies, When to buy a rental property, Paying off debt when it feels hopeless, Selling cars. Want a plan for your money? Find out where to start: https://bit.ly/3nInETX Listen to all The Ramsey Network podcasts: https://bit.ly/3GxiXm6 Learn more about your ad choices. https://www.megaphone.fm/adchoices Ramsey Solutions Privacy Policy

Девочка-пай Live from the headquarters of Ramsey Solutions, broadcasting from the pods, moving and storage studios, this is The Ramsey Show, where America hangs out to have a conversation about your life and your money. I'm Ramsey personality, George Campbell, joined today by my colleague and friend, Dr. John Deloney. And we are taking your calls this hour at 888-825-5225. Susan is kicking us off in Des Moines. Susan, welcome to The Ramsey Show. Hi, thanks for taking my call. Happy to take it. What's going on?

Hey, so I'm watching about the current hurricane that's heading towards Florida. And yeah, I live in Iowa, so we get lots of tornadoes here. And I was thinking if something wiped out the power in this area, a big natural disaster, and I didn't have access to my emergency fund, how much cash should I have on hand just in case? Interesting question. How much do you have in on hand just in case? Interesting question. How much do you have in your emergency fund right now? I have over $1,000 right now. Okay.

What baby step are you in? Have you been following the plan? I've been following the plan, yeah. So I want to say like two and a half to three. So you still have some debt? I do still have some debt, but I'm down to less than 15% of my overall available. Okay. How much debt do you have left? I have about $15,000.

Okay. And then $1,000 in the bank. Yeah. Cool. All right. I'm not counting my mortgage in that $15,000. Sure. Sure. That's your consumer debt. Yeah.

Okay. Well, you called the right show at the right time because I have the prepper himself, Dr. John Deloney. This man has enough deep freezers to last a century. Yeah, I'm more into food and things like that more than I am cash. Hey, this is actually, like I grew up in Houston, so very similar, tornadoes and hurricanes all the time, just kind of a part of life. So I'm going to tell you what I think

and I'm going to tell you what my reality is. Is that cool? Yeah. What I think is a small amount of cash that, which that number is going to be relative to people. What I consider a small amount of cash and what Dave Ramsey considers a small amount of cash, very different numbers. Right. Um, but what would I, what would I need to give me a couple of days if I needed to go stay in a hotel, if I need to leave town, um, and drive a couple hours away and put gas in the

car, like very basic. If I need to go get some food and groceries and I didn't have access to A, B, or C. It's balancing this, what could happen with, like what's probably going to happen, right? And as the son of a homicide detective, I was raised to believe it could all come down at any moment because that was my dad's world.

And so that's my natural bent and I've had to train myself over the years to it could but it probably won't right it probably won't so i have no problem if you have a thousand dollars in emergency fund that you keep 250 500 bucks at home um in cash just as a i can go get a hotel and i can drive somewhere and be somewhere for a couple hours or i could drive 24 hours and get out of here and go stay with a friend, right? That's what we're looking for. The idea that if the whole banking system goes down, the cash is worth the paper it's printed on, right? So we tend to pretend that the world, after some kind of crazy calamity, that the world would exist as it does.

And I have a friend who's a banker, and he's like, dude, if the whole world goes down, you're going to be shooting your neighbor for water and barbecuing dog. Like, the world as you know it is over, right? So it's not like my cash is going to help. Here's the other side. I am, I don't say I'm a prepper. I'm just someone who's prepared. How about that? Sure.

That's literally a different verb. Yeah. But I live in the woods and I have a year's worth of meat on hand right now. That's right. So some would call me a, George would call me a prepper. I live in a neighborhood in a society. It's a little different. It's fine.

But there is wisdom in what John says. But I don't have any cash at my house right now. I don't have $5,000 hidden at home. I've done that before. I don't have that right now. I'm not super concerned about it. Okay. There's a spectrum from like a tornado may be coming

versus like it's the apocalypse, which I've seen left behind. Very scary. Anytime I see a pile of clothes, I'm nervous. I'm like, did I get, is this it? Is this it happening? It's gone. But Susan, I think it's wise,

if you have a thousand bucks right now in the bank, if you want to take out 500 of that in cash and put it in a fireproof safe, I think there's some wisdom. If that's going to help you sleep, cool. Yeah. But I also wouldn't go over. Once you're out of debt and you have fully funded,

yeah, once you get like 10,000 in the bank, maybe you up it to a thousand in that safe to having cash, just in case. Even beyond a natural disaster, sometimes you just need to have cash on hand. Your bank accounts got locked up for some reason. There's wisdom in that. During the tornado that came through Nashville here, I don't know when the last time you were in like an event where power went out for a couple of days or something like that. But I was stunned at how fast technology

has shifted. People were able to buy things. I was able to buy something with my debit card on somebody's cell phone because they had one of those little plug-in things. It went very, very quickly is what I'm saying. So I grew up one time when Hurricane Alicia came through, we had nothing for like 10 days, like nothing. We cooked on a camp stove it was the whole deal in some parts of the world that still happens in some parts of our country that still happens it's very very rare do you feel better Susan I do I just you know like I've got my dry food and my water and blankets and whatever else and I was just thinking wow I don't have any money am I going to need to put some of that aside? So I wanted to know what your thoughts were on it.

In my life, the more cash I have at my house, the more money I spend on stuff that I really don't need. It's a self-control mechanism. That's why I like keeping it in the fireproof safe. I'm not just going to sit in the wallet, John. That's how it disappears. But this is a real, John, regardless of what the reason is reason is natural disaster or something else there's a lot of fear like i get messages probably at least once a week of someone going but i was watching the news and what if and what

if this digital money and currency goes digital and i i saw what if biden and the irs is going to start looking at our and it just spirals out of control and usually they don't say i'm looking at the news i just say, turn off the news. Turn it off. And they go, yeah, you're right. Turn it off. I've told it on this show, but a buddy of mine who's a banking commissioner

and he's just a brilliant mind when it comes to money. I was hammering him one time just, what about this and what about this? And I was in one of my anxiety spirals. It's all coming down. And he finally said the magic words that was like a light switch for me. And he looked at me and said, Hey, John, I don't have a meteorite plan. And I was like, what's that supposed to mean? He goes, I'm going to put money in retirement.

I'm going to put money in this, in this program. I'm going to pay my house off. I don't owe anybody on cars because they're depreciating assets. And it's dumb to borrow money. He just, he's just so straightforward as a banker. And then he goes, and then if I get hit by a meteorite, I'm going to deal with that on that day because I'm just not going to waste money. And I was like, oh yeah. So if all the monetary system implodes and crashes. We have bigger issues. There'll be much bigger issues going on.

Than not having cash on hand. That's exactly right. At that point, you know what's going to be your best bet? Your best apocalypse bet? What's that? Have close relationships with's going to be your best bet? Your best apocalypse bet? What's that? Have close relationships with your neighbors. Know your neighbors so that they don't look at you as an enemy. They look at you as somebody to do life with

and to get through the next hurdles that y'all are going to have to overcome together. Know your neighbors really, really well. That's your best apocalyptic move. That's good. Not having a bunch of cryptocurrency. They're not going to want that. The apocalypse is.

The zombies cannot be bought. My neighbors, Gary and Lon, they're not going to be doing much with Dogecoin. Nope. But they will bring over a cup of sugar. My neighbor gave me some tomatoes from his garden the other day. Hashtag apocalypse. Lovely moment. Now that we can do it.

This is The Ramsey show has been around for 30 years and to celebrate we recorded a video panel with all of the Ramsey Show co-hosts in one room to take a look back at some of the unbelievable experiences we've had over the years, especially Dave, who has been there for all 30 of them. So in my favorite episode, we talk about the best and worst calls we've taken, and there have been some doozies. So we laugh at some old audio of Dave's thick southern drawl in those early years. You got to hear that. And we remember some of the most gut-wrenching, inspiring, and even bizarre moments on the show. And producer James produced this panel, and you're going to love it. We brought in the actual calls and audio clips from all of those, and definitely my favorite episode. We also talk about where we

see the show going in the next 30 years. You can find all four of these special episodes on our YouTube channel, filled with stories from three decades of amazing people doing amazing things to change their lives and live like no one else. So go check out The Ramsey Show on YouTube and watch the 30th anniversary panel that dropped last week. Open phones this hour, 888-825-5225. I'm George Campbell, joined today by Dr. John Deloney, and Chad joins us up next in San Antonio. Chad, welcome to the show. Hey, guys. Thank you very much. I appreciate it. Sure. How can we help? My question today is, I'm not having a disagreement at all with my wife, but I'm just

thinking about this and wanted your thoughts on it. It's quite the disclaimer. I don't believe you. Go ahead. No, really. She's wanting to buy an investment property to use it as a rental on the coast. Why? I don't have a problem with that. Why? To invest money and get a little bit of it. Now, where did she hear about this? She saw it like an Instagram video or a TikTok or something. We actually have a place down there already, a vacation home of our own, and it's a new development that's coming about. Okay.

And it seems like a pretty good deal. My question to you or your thoughts, I'm guessing, is they're saying that we could finance with them, whatever, and they would lock us in, but if it won't go higher than 7%. So my question is, I'm not scared of an investment. I'm not scared of putting it in real estate, but do I put more money down? Do I walk away from it completely? I just kind of wanted to get your thoughts there. I'm not out of debt. I do owe money on my home, which I owe roughly $250,000 on my property, and it's worth north of a million. Other than that, I'm debt-free. So no consumer debt, just the mortgage on your

personal? That is correct. Okay. Well, we would tell you to pay off your primary residence first and then pay for any investment property in cash. And that is super conservative and super not cool in today's culture. Because you know what that means? You're like, that's like six, ten years from now. Boring. Correct. I want the money now.

The problem is you're going to be over a half million dollars in debt. How much is this new property? Roughly $400. Do you owe on your other beach house? No, it's paid for. Okay. And how often are you going to this beach house? Twice a month at least.

Oh, nice. Do you rent it out in between or is this just for you guys? Personal use only. Okay. Well, you got the paid for rental house. What's that worth? Or the vacation property? $150. It's worth $150. Okay. And you owe $250. What's your income? Combined, this year is going to be probably three and a quarter way to go fantastic income so the question is making three and a quarter how quickly could we pay off 250 and then save up another 400 yeah so that's 650 you guys make $325 a year. How much of that can go towards these exciting dreams you have? Well, I've got enough to pay off my home in the bank.

Oh. And it's one of those scary things. I was listening to the last caller. He talked about doomsday preppers. And my wife's like, well, I'd rather keep it in the bank where we know where it's at. How much money do you have in the bank? Roughly $370. Why, Chad?

Dude. Why? What are you doing, man? How should I invest it? You should pay your house off. Okay. You have a tax every month. We can just call it your prepper tax, which is the APR on your

home. You are paying, you are paying every month to not pay your house off. Like in a, in a major event, not owing anybody anything. And being out of, let's say COVID hits again and everybody can't go to work for 70 or 60 days or

120 days or whatever. And the country's broke. It is. and everybody can't go to work for 60 days or 120 days or whatever, and the country's broke, it is, and they can't just mail checks anymore. The person who doesn't owe anybody anything is going to be better off than the person who suddenly can't make any payments. Is that fair? Yes.

So having $370,000 in your bank while you're paying somebody else interest on money, it's just clinically insane. It doesn't make any sense. If you had $25,000 in cash on top of your emergency fund, just as an extra, like, oh man, just in case. I could go with you there. I'm enough of a prepper to get that. Or you had $25,000 under your mattress, gotcha. I'm with you on that. But dude, just pay your house off, man. Pay your house off, man. And the idea of having this rental house with a mortgage on it means your profits are going to be real slim, which means you're better off making your $325,000

than you are making $1,000 if you're lucky in profits on this rental house, making $12,000 a year, right? Yes. So walk out this scenario with me. You have 370 in the bank. We pay off the house today. That leaves you with 120. Let's call 20 of that your emergency fund. That leaves you with 100, right? Yes. The rental property you want is 400, which means you have a $300,000 gap. You make 325. Could you save $300,000 in less than two years making 325 with no payments in the world. Say yes. Yes. So now we're looking at this with a very different lens. You called in saying,

I'm concerned about interest rates. Now we're not concerned about anything. And by the way, if we have 6% to 7% interest rates, which is what buying a house is right now, and the house costs $400,000, if you show up to that scenario with $375,000 in cash and say, I'll buy it right now, they'll sell it to you. And wealthy people with cash don't care about interest rates because it doesn't apply to them. It applies to people who are having to work through a bank to make their day a little bit brighter. You see how you just opt out of the whole system this way?

Yes. And that's how the wealthy hang onto their money because they have cash. When other people are having to scramble to end, the market slows down because of interest rates. The wealthy can come in and buy stuff with cash at much cheaper prices. And that's how the wealthy get wealthier. All righty, guys. So it sounds like you're a year and a half away from getting a rental house chad did we just make you sad no it doesn't are you gonna pay off your house today please say yes that would be so cool for a guy that hasn't paid off his house yet do it for me man do it for john i'm not gonna do anything without talking to her i know better than that ah very that was a trap you passed the test. Well played. Pay your house off, man.

This is a different conversation now for Chad. He gets to go to his wife and say, honey, we're going to get that rental house, but it's going to take a little while. Yes.

Give us 18 months and that means we're paying off the house today. That frees us up completely. We have $100,000 in the bank still towards this house and we make $325,000. We can put away $150,000 to $200,000

every year, which means we're going to have this money within the next 18 months. A lot. And we're not going to owe anything, which means every single dime that comes in is now profits after our expenses. And that to me, man, there's such freedom in that. I remember, and again, I don't buy into all of the investment strategies, but I remember a conversation with Charlie Munger and Warren Buffett, and they said, what's the number one strategy for investing? What's the number one thing I could do for investing? And I think it was Charlie Munger that said, have $10 million in your checking account because you never know, and be able to be the first guy at the table with a check and say, I'll buy that right now.

And you will get an extraordinary deal from somebody who needs to sell something. You'll give them a gift of getting rid of the thing. You'll get an incredible deal, and you don't have to go to a bank or raise money or whatever. Have $10 million in your checking account. I'm a long way. I've got $10 in my checking account.

But this idea that, dude, interest rates don't apply to you if you're paying with cash. You don't have to worry about what the economy is doing. You just opt in and out. When you've got a giant pile of money in the bank. That's right. That's a good problem to have. But Chad's done a great job, man.

We are cheering you on. Excited for this rental house in the near future. This is The Ramsey Show. Thank you. welcome back to the ramsey show i'm george camel joined today by dr john deloney wanted to remind you guys that if you enjoy this show, please consider subscribing, leaving us five stars, leaving reviews, and sharing it with your friends. If this show has helped you in any way, we want it to help more people like you.

That would be fantastic. Open phones at 888-825-5225. Jenny joins us up next in NYC. Jenny, welcome to the show. Hi, guys. Thank you for taking the call. Absolutely. How can John and I help? Okay. So we owe $117,000 in debt, mostly consumer debt. $20,000 of those are to the IRS. We are already on payment terms with the IRS. That's the first thing we did

when we found out we owe them money. We've made every stupid financial decision possible. We've made them. And I am expecting a child in two months. I am currently working remotely. I have one child in school and one with me while I work remotely and we can choose money. I thought we were living within our means. We thought we were doing everything we had to do until I noticed that all of our credit cards were maxing out. And I'm like, how is this possible? No, we can't do that. I did a detailed budget and we had a $1,100 deficit on a monthly basis.

And we've been doing that for the past almost year. That's how you go into $117,000 in debt, for sure. Yes, and not only that, we purchased a home. We bought the least expensive home that we can purchase in the New York city area, New Jersey area. And, um, once you open one wall that you think, Oh, 5,000 numbers that I have to take that will help us do this one wall. Once you open that one wall, you realize that you just, um, it was a money pit and we've spent over a hundred thousand dollars fixing. So that's where most of our consumer debt comes from.

It's us putting stuff on the credit cards to fix the house because once one thing was fixed 20 other things were broken and then we have car ratios we don't have any car payments our cards really old and have been paid for but like i said everything else it's um a lot of consumer debt now when we saw that and i've been listening to you guys for the past three weeks since we started our budget i'm i'm angry i'm mad i don't know what else to do and i am every feeling in between to get me started and motivated to just do it my husband has been able to pick up 12 extra hours and overtime at work but just to commute to work it cost us around twelve hundred dollars a month between tolls and gas we are about two hours away from where we live and taking public transportation it's going to be a six hour commute three going in

three coming back what's he doing for work he works at an airport in another state. So he helps with the audit of the documents that are needed for the FAA. Hey, Jenny, I'm going to ask you a hard question, okay? And I normally make jokes about this, and I'm not playing, okay? I hear it in your voice, okay? You're a scared mother of young kids with another one on the way, okay? I hear it in your voice. Okay. You're a scared mother of young kids with another one on the way. Okay. I hear it in you.

There is something, and people can roll their eyes, and I get that, and it's worth rolling your eyes at. But if you're born and raised in Texas and you're born and raised in New York, there's an extra you can't leave. Right? Are you connected to New York? Yes. And, well, we have our employees who are very flexible with us. That's one of them. Taking one of it, we actually moved to the next state closer just because we couldn't afford living in New York anymore.

No, I'm talking about cut ties completely and go to another state where you can keep your income, your state income tax, where you can get some, um, some breath in your life. You've created a life for yourself that your bodies cannot exist in. You cannot commute six hours a day and be parents and be married and be connected to one another. You just can't. You can't run a deficit of $1,100. $1,200 of that is just in taxes and in tolls and in gas commuting. You've created a life that you can't exist in, and it may be that the Northeast isn't the place for you and your family right now.

Is that an option for you? Cut ties with this house. You've lost it. It's fine. Can we go somewhere and start over? Because this isn't working, man. You're drowning. It is.

We are. So we are drowning, and we've made it to the point where we are now at 700 per plus with the overtime that we're going to be doing. I know, hon, but that's temporary. Yeah. You're working overtime.

You're commuting all over the place. Your cars are falling apart, right? There's so much. These are Band-Aids. Am I right? If I'm wrong, tell me, but it sounds like I'm right. You're right. The extra $700,000 throwing at $117,000, it is a never-ending battle at that point.

And so we're trying to find any way you can drastically reduce expenses and increase or keep your income. And that might mean making some big sacrifices that you don't want to do right now. Yeah. What's your mortgage payment? income, and that might mean making some big sacrifices that you don't want to do right now. Yeah. What's your mortgage payment? $2,400. What's your take-home pay? Clean after everything. It's $6,200.

If you, are you, is the house in sellable condition? Could you sell it and not lose your backside on it right now? I won't be able to lose after everything we've invested in the house. We'll lose. Y'all would do okay? No, we would not. Oh, you would? We would lose. It would be a loss?

Yes. Could you sell it? Take out what you've invested in it versus what you owe? Could you get out clean? What's it worth and what's left on the mortgage? We gave a 20% down. The house is worth what we purchased it at right now, $465,000. And what's your mortgage loan?

We gave 20% down, so whatever that was, $90-something thousand dollars. That dollar has been paid on the house. We've was, $90-something thousand dollars. Okay. That's all that has been paid in the house. We've invested over $120,000 in payment. So you get your 20% back, but you're still in the hole because of all the six figures you invested into it. Yeah. But that's called sunk cost fallacy. That's right. You may never get that money back.

Yes. So that may be the biggest stupid tax you pay in your life. But the problem I'm seeing right now is that 40% of your take-home pay is going towards the mortgage. Yes. And that's before the tolls and the gas and the kids. And so right now you can't breathe. So this isn't a sustainable lifestyle to begin with, even with the extra $700 coming in. Okay. in okay so i i this is really hard because it's one of those things that we're like

severely we're afraid of the unknown i don't think we'll be able to make what we make now in another state and we'll still have 117 000 in debt in another state and we won't be able to bring home what we're bringing now. I wouldn't put that out into the world. You work remote, correct? Could you move out of New York? They're doing me a favor because I am a high-risk pregnancy, but now I'm required in the office. What do you make annually?

I make $70,000. Doing what? I'm an HR analyst. You absolutely can make $70,000 outside of New York. And if you make $60,000 in the state of Tennessee, you keep

a chunk of that money because there's no state income tax. And you can make $60,000 being a math teacher in the right school district. So here's what I'm saying. I don't want you to limit yourself on fantasy, on imagination, because y'all are in desperate need of data, of facts. And your husband, what does he do at the airport?

He is a coordinator that helps with aircraft records. records okay i travel all over the country so does george we've been to a lot of airports they need a lot of coordination across across the country okay and i bet he could coordinate all kinds of different things here's what i'm saying you'll have to get real about the fact that you've created a life for yourselves that is not sustainable you cannot live in the life you've created, whether that means move, whether that means different jobs, whether it means sell your house. And yes, you're going to eat the $100,000 you put into it that stinks, but you can get out, even Steven, rent for a couple of years, move to Kansas, move to Texas. I don't care what you do, but I want you to imagine a life where you've got peace

and you've got to build from there. Our scripture of the day comes from Deuteronomy 31.6. Be strong and courageous. Do not be afraid or terrified because of them. For the Lord your God goes with you. He will never leave you nor forsake you. Switching gears, Jackie Chan once said, wow, what a pivot that was. He said, don't wait for the change of circumstances. You change the circumstances. That's a good one. In other news.

That was, just didn't expect it, Austin. Well done. George is the king, the king of the transition. A lot of wisdom in both of those quotes. Timeless and modern. There we go. All right. Open phones at 888-825-5225.

Will's up next in Columbia, South Carolina. Will, welcome to the show. Thanks, man. That was a hard left turn. I agreed. It's hard to follow the wisdom of Jackie Chan. We will do our best. What's up with you? Yeah, I was calling. I've been a long-time listener.

I have kind of a unique thing. I had a great job. Bought a couple cars in cash, don't have any debt other than the house, change jobs, income's going down a little bit. We'll go up significantly over time. But I just have been really frustrated by the amount of money that we've spent on the two cars that are in our driveway.

I think just generally by the amount of money we were spending, even though we weren't going into debt or saving, just felt like we could have done a lot better job with the income that we've had the last several years. So, yeah, I'm trying to get some general advice on the cars specifically and, you know, thoughts there on what to do. Solemn. Just kind of in general.

How many do you have? We've got two. You only need one SUV for, uh, no, we, we need to sell them. So selling them,

you're going to have to go buy two more cars then, right? Right. So here's a problem. Like I want to know what's your gut reaction when I say sell them. Like, is your thought, uh, I. I want to know, what's your gut reaction when I say sell them? Is your thought? I know I need to sell one for sure, right? Like we've got, you know, probably $80,000 worth of car sitting in the driveway.

What kind of car is this? It's two cars, between the two cars. What are the two cars, between the two cars. What are the two cars? A Volvo SUV and an Audi that I made in a purchase several months ago after a car accident. I'm hoping to get rid of today. So they're worth $80,000 combined? Yeah. What's your household income this year? What do you think it's going to be?

Yeah, so we're dropping from about $400 to $200. Well, that's still a heck of an income. So parameter-wise, ratio-wise, you're still okay. You got two paid-for cars. Are you just wanting to pay off the house and you want to expedite this? What's giving you pause in the cars? You feel shame over this. How did you violate your own conscience here?

Yeah. What makes you think this was an unwise purchase based on your income and where you guys are at financially? I don't know, man. I just like, I look at it and just have the sense that we could have saved a lot more than we did or could be in a better position than we are. We're not in a bad spot at all.

So what's a better position in your mind? I mean, bigger number in the bank, probably. Do you have a fully funded emergency fund? Yeah. And you're investing 15% into retirement? Yeah. And you feel like you're on track? How old are you guys?

27. And how much do you have in retirement? Probably about $200,000. You're going to have like $5 or $10 million at retirement. So when you say I could be doing better, where is that coming from i don't know what how you define better hey let me see if i can get at this the other day my six-year-old daughter was outside and she was painting a picture uh we went to like michael's and got a bunch of these little miniature canvases and she was painting and she was listening to her music and being demonstrative. I don't know

where she gets that from, but she was waving her arms around and painting. And my wife said, Hey, you're going to knock over the cup. And she kept moving around and then she knocked it over, fell down. And I watched her for a minute and she just froze and sat there and the water ended up moving all over everything. And finally I said, hey, you've knocked over the water. You can't put it back in the cup. You can choose to get up and go get some towels so that it doesn't cause any more problems. And then she got up and ran to go get some towels.

It was almost like snapping your fingers to get somebody out of there. They got stuck. And you're wasting a lot of energy and time and you're just beating yourself up. And again, I don't know why. But the question isn't we could have, we should have. Cool. Maybe you could have. But right now it's happened.

And the only thing you can do is sell the cars or make peace with the cars in your driveway. As George said, financially, you're fine. If they're haunting you, then sell them, man. And then go about your day. But sitting in, we should have, we could have, you're just choosing to poison today with decisions you made yesterday. You see what I'm saying? Yeah, yeah. And so I want to see,

like, let me say this. This is not a situation that you can think your way out of. You're just going to have to go do. Is that fair? Yeah, man. So, Will, what's left on the mortgage? About $350,000. We've probably got $250,000 in equity in it. Awesome. So even making

$200,000, you said your income dropped. How quickly do you think you'll pay off this mortgage? Three years? Yeah. I mean, I think we've had a longer road. I think it's just trying to adjust up, wanting to just change and do things faster, man. I think he's just trying to adjust up and just change and do things faster. I think we've gotten caught up in lifestyle stuff. You're 27 and you sound 60. You're doing so great. Knock on any 27-year-old's door

and they'll be like, you don't have any debt? There's people who are 45 still paying off their student loans. We're going to call it, I don't like this is what Dave calls it it but it applies here it's your stupid tax congratulations you made a ton of money at 24 25 26 way to go you're changing you're changing gears at 27 awesome you've learned hey moving forward as we build up our business back up and our income

goes from 200 back to 400 and then on to $800, we're going to spend our money differently. We're just not Audi people. We're Toyota 400 people, and we're great with that. We're going to pay our house. You see what I'm saying? It's just about saying, yeah, we recognize that was dumb. We're going to do different next time.

Can you do that? Yeah, man. Nice. I appreciate the help. That's why we made the call. I've been listening to this stuff, the general principles on YouTube for a long time. It's probably a kick in the butt. I can get it in person great.

You're a guy who has very high standards for himself, I'm guessing. You are super driven to be doing what you're doing, making what you're making at your age. And I think it can be easy for guys like you to beat themselves up at every single corner instead of just being grateful and being free with the contentment of, man, we are so blessed. We got a pile of money in the bank. We don't owe anyone anything. We drive amazing, beautiful cars.

And remember that time we did something stupid. And we have done some stupid things along the way. And we're just not going to do them again. Hey, do me a favor Will. Stop talking so bad to Will. Would you commit to that? Yeah.

Because you talk to Will in a way that if you heard somebody talking that way to a waitress in a restaurant you'd get up and knock their teeth out of their head, wouldn't you? Some close to it, yeah. Yeah. You don't suck. You're not a loser. You're not an idiot.

You haven't bankrupt your family. You're not a terrible husband. You're not all these things that you say to yourself on a regular basis. I'm so stupid. This is so dumb. I can't believe I... Stop. Stop.

Stop. Treat Will with dignity and respect because Will deserves it Will's doing a good job cool? yeah man deal? appreciate it

thank you guys thank you for calling brother appreciate it good stuff from Will George I've been down that rabbit hole man I make a mistake do something dumb and I just get paralyzed

because I just beat myself up man could have done better John could have done better, John. Could have done better. This is classic John. Classic John. Way to go, Deloney. That's the one. Idiot.

Yeah. And at some point, you've got to make peace with yourself and then go. Well, if you look in the rearview mirror long enough, you get a crick in your neck. Right. Go. So let's look in the windshield. It's a lot bigger for a reason. Go.

Your future's bright, Will. We're proud of you, man. Way to go. That puts this hour of the Ramsey Show in the books. My thanks to Dr. John Deloney, all the folks in the booth, and you, America. Until next time, spend wisely, save intentionally, and give generously. Do you love a good day, Brandt? Want to see the latest Ramsey Show videos going viral? Check out your favorite moments from the Ramsey Show on YouTube. Go watch and subscribe to the Ramsey Show channel on YouTube.