The Ramsey Show - App - My Husband Wants to Finance a Car (Hour 3)

Episode Date: June 23, 2020

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Live from the headquarters of Ramsey Solutions, 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. Christy Wright, Ramsey personality, number one best-selling author of the book Business Boutique, joins me. Today is my co-host on The Dave Ramsey Show. We're answering your questions about life and money. Open phones at 888-825-5225. That's 888-825-5225. Andrea is with us in Kansas.

Hey, Andrea, how are you? Hi, I'm good. I have a question about my 15-year-old. She is working two jobs this summer and babysitting on the side with the hopes of buying a car soon. Love it. And, yeah, she's working really hard. I'm wondering if I should have her or encourage her to have a $1,000 emergency fund saved before she starts saving for a car. Right.

We have steps that we teach teens to go through in the Foundations for Personal Finance class that's now taught in about 48% of the high schools in America. And step one is a $500 emergency fund. Okay. Because when she has that car, the tire could go out, you know, an alternator, air conditioner could go out. She's going to run into different issues that come up. And the other thing is we just want the teen to build the muscles, like you're teaching her to build the muscles of hard work.

We also want them to build the muscles of generosity, of wise spending, and of saving. And those are the four muscles you want your kids to build. That way they don't end up in your basement. You're doing a great job. Thank you. So let her have a little baby. Don't you think, Christy? I mean, that's what Anthony and the team teaches in the high school curriculum, a little baby emergency.

It doesn't have to be a lot, but it's helping her realize the importance of it. And the practical fact is she's probably going to need a little bit of one. Yeah, and that's what I was going to say. If she's responsible for something that goes wrong with her car and things do go wrong with cars, then what's going to happen is she's going to get to experience what most of us experience when you have an emergency. When you have a savings, it turns that emergency into an inconvenience. It's not a panic moment. I can't drive my car.

I'm not going to have AC all summer. It's this, well, I'm going to take this out of savings and I'm going to take care of it. It's this freedom that you experience and realize the necessity of that. So that's a really great thing to practice before she experiences it on a large scale as an adult that's independent. Well, I mean, the 32-year-old version of her would never even assume that you would live life without an emergency fund. Right. After the 15-year-old version of her had one. That's right. Under her mom's instruction. So good. For these teenage years. That's the muscle that's being built. It's just like, this is the way it's supposed to be. It's always been this way. I didn't know there was another

way. And that sets them up completely. Paul is with us in Louisiana. Hey, Paul, this is the way it's supposed to be. It's always been this way. I didn't know there was another way. And that sets them up completely. Paul is with us in Louisiana. Hey, Paul, welcome to the Dave Ramsey Show. Hi, Dave. Thank you. Appreciate all your hard work out there. Thank you, sir. My wife and I are just reading your Total Money Makeover book.

I'm about halfway through. She's about halfway through. She's actually a bit further. Anyway, we're definitely going to be doing it. We've kind of already started. We're in a pretty good financial situation already. My question is, we have about four acres, and we have honey, honeybees, and goats, and chickens, and we spend probably around three thousand ish dollars worth

of just uh feed and we uh when we sell the honey local and to friends and stuff so we'll give away most of their friends we sell a little bit just try help make up i just wonder if we should do an llc or anything like that or my wife does our taxes and you know i'm trying to curb our spending as much as possible and get as much tax breaks as we can i'm just trying to curb our spending as much as possible and get as much tax breaks as we can. I'm just trying to structure this as best I can. Yeah, there's not really a tax break here, and no, I would not do an LLC. It's not worth fooling with in this case.

It creates a whole bunch of paperwork for you and extra expenses of taxes and everything else. If you file the income, it's called Schedule A, which is a little miniature profit and loss statement as an attachment to your 1040. You file your income as a sole proprietor from the honey, whatever income you have from the honey sales. Then you would list any expenses you had associated with the honey business, and it can't be your property.

That's your personal residence and you can get into writing that off but i would not do that but i just write off the actual expenses anything you buy associated with this thing and then if you make a profit of your income minus your expenses then that's additional taxable income if you lose money then it would reduce your taxable income on your other stuff now you can't continue to lose money year after year on something like this because the IRS will declare it what it is a hobby if you lose money five years in a row they're not going to let you continue to write this off as a hobby and so that they're going to you know, in the event of an audit, they'll come back and undo that.

But it's probably worth filing it. And, you know, it's one piece of paper additional with doing the taxes that your wife's already doing. It's interesting the way that he asked the question about the LLC, Dave, because I think for a lot of people that are getting into business, and maybe they get, you they get different information and advice, but a lot of them use the word business and LLC interchangeably. Like if I'm going to have a business, it must be an LLC. And I think there's this myth that like that's what legitimizes it.

That's a real business. That's the only way to have a business. And for many of them, that's a hurdle. And when I teach them what you have taught me of, you can run this thing as a sole proprietor. You don't need it unless you're in a high liability business or it's turning into a big business or you've got a target on your back. Some of those things that, you know, kind of parameters to look through. You're really fine to run this thing as a sole proprietor, run it through your personal taxes and that type of thing. And I think a lot of people just don't realize that. Yeah. A sole proprietorship is simply you own the business.

It's in your, you can do it under your Social Security number. If you want to get an IRS tax number, you can, but I wouldn't fool with it. And, again, you just file on your Schedule A like we were talking about there. And it's a pretty simplified primitive P&L is what Schedule A is. You just list your income at the top, and then you've got, like, advertising expenses or equipment expenses or those kinds of things that you put lists down through there and obviously the difference in the revenue and the expenses is the taxable income then if you want to get a little bit more sophisticated an LLC is a limited liability company and it's pretty much designed for small business it's what's designed for and

most states now have them 100% of the profits or losses from an LLC show up on your tax return. So when you file your LLC taxes, there are no taxes due because the profits, you don't pay taxes on the LLC. It all flows through to your personal return. And so if you make a profit on an LLC, it does that. Then one other level is you can do a sub S corp, which is a little bit more, I don't want to say sophisticated. It's complicated. It's not more sophisticated. And it's oftentimes it's a mistake. It depends on how your state is set up with taxes as to which one of those two you'll want to do. But probably the LLC is a good place. Once you get to the point that you've got some

volume to where you have a target. Is there a dollar amount you have for that? I would just say you're doing enough volume that you've got a target on you. Okay. You know, and so, I mean, if you're doing $8,000, no. Yeah. You know, if you're doing $80,000, probably no. But, I mean, if you're starting to do a half a million dollars and somebody looks up and

goes, hey, I could sue those people. Yeah. That's a target. Okay. That's what that means. But nobody's going to sue you for your honey when you're starting to do a half million dollars and somebody looks up and goes, hey, I could sue those people. Yeah. That's a target. That's what that means. But nobody's going to sue you for your honey when you're going out of your backyard and you're making three grand. You know, so you don't need to fool with that. They could sue you, but they're not likely to get anything because they don't see anything there to get.

This is the Dave Ramsey Show. most people's money problems come from not paying attention that's why before i spend a dime of my money on something i do the research and make sure it's going to live up to what it claims. Recently, I got a great pair of sunglasses from a company called Shady Rays. When you're looking for sunglasses, it feels like your options are limited. Name brand sunglasses cost too much and the cheap knockoffs are ugly and really don't protect your eyes. Discovering Shady Rays is a game changer. With Shady Rays, you can count on premium sunglasses that protect your eyes and are affordable. They give people the best overall value in sunglasses.

They also replace your shades with a brand new pair if you lose or break them from day one of your purchase. And they guarantee your sunglasses for life. Plus, they offer an exclusive for Ramsey Show listeners. Go to ShadyRays.com and use the code RAMSEY for 50% off two or more pairs. That's ShadyRays.com, code RAMSEY. Carol is with us in new jersey hey carol your question for christy and me hey um so my question is i'm currently working on baby step number two and me and my husband have about uh 30 000 left in debt um some of that is student loans. We have some IRS debt, and we have some credit cards. How much do you owe on your student loans? About $18,000.

How much on credit cards? I want to say maybe $7,000. And how much to the KGB? I mean the IRS. That should be, I think, $3,000. Okay. All right. And what's your household income?

Uh, so after taxes, we make about $80,000. $80,000 after taxes? Yes. Okay, cool. Yes. So my question is, we also have a lease for one car. That's the only car that we have in the house. And the lease is up in March.

So we have to start figuring out what the lease is up in March. So we have to start figuring out what we're going to do after that. I've been working from home because of the coronavirus. And he worked five minutes away, and he's been able to use the car at his job. But he wants to start looking into financing a car for each of us once our lease is up, because I'll be going back to work in January. So I was wondering what you think we should do. Okay and how did you find us? How did I find Dave Ramsey? Well my church does SPU and I've heard about you guys for years uh but i started doing financial peace myself in the beginning of may okay then you know what we would tell you

yeah that's i i mean i figured what you would tell me um it's just i'm having a hard time convincing my husband of that oh okay that's a different equation. All right. So you went to the financial peace class at your church and he didn't go? No, I've been doing it by myself at home. Yeah. Okay. And why is he not participating with you? He said that he's been very busy at work and he doesn't have much time to do it right now. He wants to do it it eventually but right now it's just me yeah but he watched every episode of tiger king didn't he not tiger king but he watches some other stuff yeah i don't have time ball okay so what we really got is that you've discovered some new information and you haven't been able to get him to look at that information with you why is that really um i'm not sure he i've i've been telling him everything that I've learned, and he just says, like, for example, with the car,

he likes the perks of having a new car with newer technology and not having to deal with any issues if it comes up. Yeah, which is all a bunch of crap. You got issues. They might not be car issues, but you're going to have issues in a different area. You know what I mean? Yeah. with the bills with the debt so it's it's sometimes we have this idea that i'm going to choose this path because it's easier it's better for me but we're creating problems in another area by making those decisions so i just want to look at this objectively to say

you know not not buy into that myth that that's relieving you of your issues it's just let me tell you how ridiculous this situation looks okay the guy with a three thousand dollar irs lien is making the financial decisions does that not sound stupid to you sounds stupid to me so i i really think that he first needs to recognize that the way you all have been handling money sucks you're deeply in debt and you owe the irs and so the last thing you need to do is to go further into debt now how to get him to do that well i think that comes down to for reason, he doesn't value your opinion. Because I can tell you, if my wife sits down in front of me and says, this is a big deal, we got to talk about this, I want us to address this, I've got a problem with this, whatever the this is, once she presents it like that, now she does a drive-by and just goes, and keeps walking, that's another thing. But when she sits down and we look at each other after 38 years of marriage,

and she looks at me and she says, this matters. When you sit down with Matt and say, Matt, this matters, then Matt goes, yeah, but I think I'm going to go buy some cars. That ain't happening. No. And what's interesting is I think it's really important, and this is a good call out for Carol, because maybe she has been doing a drive-by, an opportunity to sit down.

And I will do that. On certain things, I'll sit down and say, Matt, this is important to me. Whatever this is. Whatever we're talking about. A decision, a trip, something with the kids. Matt, this is really important to me. Stop everything. Turn off all the stupid jingers and dingers that are going on in the house. The kids are in bed.

Look into my eyes. Out of a 10, this is a 10. Yes. When you set that stage, everything that follows carries a different weight. Now, I don't use it all the time. I use it when it's really something big and important and we've got to be on the same page. And what's interesting, it changes the whole tone of the conversation. He literally, he leans in.

He looks at me. We make the decision differently together because we talk we stress how important it is and i think carol if you do that and he's still not paying attention that's a that's a bigger problem yeah the problem is that's a marriage problem and the the 10 here is not the cars the 10 is you guys have horribly handled your finances for an extended period of time you need to stop it whether it's the dave ramsey stuff or not yeah and so you need to lean in and go the stuff i've been learning in this online class this financial peace university is rocking my world and you have

got to look at this with me i'm not going to be okay with you being current on Netflix and not looking at this with me. This matters. Now, I will tell you this, Carol. Sharon and I have discovered this communication issue that guys, including this guy right here, do not hear you if you expect us to read your freaking mind. And we do not hear you if you just kind of just gently and keep walking i dropped hints but i dropped hints you didn't get it i don't get hints i don't need hints i need a two before between the eyes you have to hit me over the head with a large board and then i hear you yeah but i mean you cannot the subtlety of communication doesn't work with most guys.

No, it doesn't. You've got to get us, you've got to really get us. So that's why I say turn off all the ringy dingies, take his hands and yours and look at me. This is not going to go well if you don't hear me on this. Because I'm becoming increasingly terrified of how we suck at handling money. And you have got to look at this class with me and we've got to discuss it together it's rocking my world you've got to look at this with me and that's different than oh this is a good book i read you might want to try it that is a

whole different conversation yeah and sharon does that she's got you know she read the wove this waved this fiction book around under my nose for about six months. And finally, she got her feelings hurt that I didn't read the stupid thing. But she never did really go, really? Read the book. Now, and I get it. I get it. I'll ask Matt when.

Matt is not in a hurry for anything. He is steady and patient. I am just urgent. I'm like Rachel. We're just so urgent. And so I'll ask him something, and'll say yeah yeah yeah and i'll say okay when when just just so i have some expectations next week i just want to know it's cool i'm cool with whenever but it helps him think of like okay i really am going to do this he does that with me too like hey i need to do xyz when are you going to do oh like okay well i'll do it next thursday you know

if you actually put a time to it it's more likely to happen if you just say yes you can say yes for six years and you've never looked at it. So we'll put it on you that maybe you've been too subtle. But if he hears from his wife that this is an eight or a 10 on a scale of 10 of importance to you, and then he totally ignores your freaking opinion, you don't have a financial problem. You have a marriage problem. Yes.

And you need to sit down with your pastor and begin marriage counseling because in that that's true of husbands and wives that's right uh you need to be able to hear each other respect each other's opinion and then argue it out sometimes sharon has a real strong opinion she's wrong you know and not usually but but she does have that you know it comes up it could happen once in 38 years so um and she just and you know so but you at least got to get real clear communication on the level of importance because i think this is becoming an eight or a ten to you and it's a point five to him not even on his radar. Not even showing up. Not even going bleep, bleep, bleep. Nothing's showing.

So you're going to have to get it really in front of his face. And then if you can't get him, and the only issue is get him to look at the class with you while you got it. Look at the class with me. The rest of it will take care of itself. This is the Dave Ramsey Show. Folks, I love telling you about well-made, well-thought-out products. Today, I'm talking about Grip6 belts. I don't know about you, but I'm not a fan of traditional belts. They never fit right, and they're uncomfortable.

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That's GripIX.com. That's GRIPSIX.com. In the lobby of Ramsey Solutions on the debt-free stage, Sarah is with us. Hey, Sarah, how are you? I'm doing great. How are you? Better than I deserve. Where are you from? Springfield, Missouri area. Springfield. Welcome to Nashville. Happy to be here.

And all the way here to do a debt-free scream. Yes. Congratulations. How much have you paid off? $107,000. Good for you. That's awesome. And how long did this take you? About 26 months. Good for you. That's awesome. And how long did this take you? About 26 months.

Good for you. And your range of income during that time? Started out about $55,000 and ended right around $80,000. Good, good. Awesome. What do you do for a living? I'm a respiratory therapist. Okay, cool.

What kind of debt was the $107,000? I had $6,000 worth of credit card debt. I had about $24,000 worth of a vehicle loan and three degrees worth of student loan debt at $77,000. Wow. Good for you. Okay. Now, you're making $55,000 to $80,000 and you pay off $50,000 a year for two years. So that math, what happened? How'd you do that? Well, unfortunately but fortunately, it was a little bit of a blessing in disguise. A little ways through my journey, my position was cut at my job that I had where I was making around $50,000 to $55,000. And I was able to get a better paying job, and I started making quite a bit more money. And then I also sold a house that I had quite a bit of equity on

to help me pay off the remainder of that student loan. Gotcha. So what did the house bring? About $140,000. Okay. And how much of the equity came out of that? After all was said and done, I had about $30,000 to just lump sum to my students. Okay. That helps me get there. Good. Thanks. Good job. So what happened 26 months ago that put you on this journey to get out of debt? So my mom had talked about Dave Ramsey since I was probably a teenager,

and I'd always heard about your philosophies. And then I was at my church, and we were signing up for life groups, and I was walking around to sign up for my Bible study group, and I happened to see your face at one of our tables, and one of our groups was financial peace and so i signed up right then and i went to my mom and i said i want to do this will you do it with me and so we we did it together oh that's fun yeah very cool so she'd been talking about it when you're a kid yeah and now she goes through the class with you she did yep her and my dad both oh neat yeah very neat

fun that's a good support group then you Yeah, very good. You can encourage each other. So how's their journey? Did you beat them? They beat me just by a little bit. Oh, darn. But we're all debt free. That's good. Everybody wins.

Everybody wins. But I was hoping you got them. I know, right? That's good. Cool. Good for you. $107,000. So you had mom and dad cheering you on.

Who else was cheering you on? You know, all my friends and coworkers, they all lived through the great freezer clean out of like 2018 because I never bought lunch anywhere, brought my lunch every single day and I was eating maybe at times questionable salmon, you know, from my freezer. Oh, God, I didn't know that's what you called it. Sharon still feeds me questionable salmon. I didn't know it had a name. Now I know.

It's leftover grimy. Oh, gross. I hate that stuff. I had questionable tuna fish bad when we were going broke, when we were broke. Soggy bread by lunch. Oh, it was nasty. I smell tuna fish now my network goes down. You still won't eat it, will you?

No, I can't stand tuna fish. It's not health food. It's broke people food. I can't eat it. Oh, it kills me. I was so broke when I was eating it. I smell it. I remember being broke.

Oh, good way to go. Thank you. Congratulations. So what do you tell people the key is now that you've done it? You paid off $107,000, sold a house, and you rocked it in 26 months. What did you do? What's the key to doing this? I think we always called it gazelling. We

stayed gazelle intense the whole time and we were able to achieve those little milestones as we saw the debt snowball starting to move. And I think that, you know, even to this day, I still pack my lunch every day. And I traveled quite extensively for work for a little bit. And I would pack all my food and take it up there with me from home. And then I would literally pack bread to make myself a sandwich for the way back. Like I just was so passionate and, and on top of staying on budget and just spending every single penny that I had towards debt. And now that it's gone, um, all those thousands of dollars that I was paying to student loans, those are going to me now, and going to paying off the mortgage that I have now and everything. And so I think it's just staying intense and staying towards your goals. That's like the biggest thing that I can say.

What does it feel like on payday when you get to keep that money? Oh, it's awesome. Isn't that amazing when the money doesn't have to all go backwards to bills? Yeah. I was literally throwing thousands of dollars a month at my student loans and now I'm throwing thousands of dollars into savings. And I, at the beginning of financial peace, I had zero savings at all. And I went around my house for my baby step one. I went around my house and I thought, do I have an emotional attachment to anything that is worth money that I could sell? And I had my thousand dollars in about a week. Like I just sold stuff. And then as I got to my baby step three, I had my fully funded Baby Step 3 within a couple of months. So it's just amazing how fast it happens.

Yeah. Well, it happens so fast because you just, when you decided to do it, you went click and you started, you went wide open. I did. That's kind of my personality. Okay. So you kind of do that. You go all in or not at all. Yeah.

Yeah. All right. And so, but you also must have somehow believed that it was going to work. Oh, absolutely. I mean, I've always had goals as far as you always think that you're going to retire early and do all these things. But if you don't actually put in the legwork and actually make your money work for yourself. And I think that that's another thing that I'm so passionate about is that my money used to rule me. And I thought if I had an extra $20 that I'd go out to eat.

But that wasn't extra. That needed to be going to something. And I think now that I have 100% control over every single dollar that I make, that's how I maintain, I think. Yeah, 100% control. That's a big deal. And, well, I mean, because the weird thing is, is you are in control. You get to decide what you want to do with it. Yeah. It doesn't tell you what to do anymore. You're either going to tell money what to do, or it's going to tell you what to do. Right. You

don't have a choice. There's no middle ground. There's no sort of doing this. You're either under the thumb of the bankers and money, or it's under your thumb and you're making it behave. You just did this. That's fabulous. And how old are you? I'm 31. And debt free. Debt free. How's it feel? Amazing. Did you realize before you walked up to that table and signed up for that class, did you have a sense that you were in trouble, that you had a mess? Or was it just kind of a malaise? It was one of those things where in the back of your mind, if you don't think about it, it's not happening. So you didn't have anxiety about it?

No. You just thought, I need to learn about this. Yeah, well, I used to tell myself, you know, everybody lives in debt. You know, that's something, and they do. And I thought, this is real dumb, and I need to just get a hold of it. And now that I have a financial advisor, and she's like, you're going to do really well. Yeah, well yeah yeah so i'm really excited about that i mean 80 grand and no payments and you're 31 years old you're gonna be a millionaire in 20 minutes so well done so proud of you hero very very well

done i know your mom's proud of you so she came with you right yep she did all right good you gotta have the cheering section yeah of course that's how we roll yeah that's it so we got a copy of chris hogan's book for Everyday Millionaires, because that is the next chapter in your story. And we want to hear back from you when you're an EDM because you're on your way to being an everyday millionaire. We came up with these new initiatives. I like it. I like it. It's good stuff.

I'm learning as well. All right. Sarah from Springfield, Missouri. $107,000 paid off. Selling a house in 26 months, making $55,000 to $80,000. Count it down. Let's hear a debt-free scream. Three, two, one.

I'm debt-free! Yeah! Woo-hoo-hoo-hoo! Yeah! That's how it works. That's Yeah! That's how it works. That's how it works right there. Listen, if you're at the, you know, maybe you didn't even think about your debt. Maybe you're like her and you just walked up to the table.

Let me tell you what the table looks like. It's a 14-day free trial right now for Financial Peace University. Go to DaveRamsey.com slash never again and check it out. Never again will I be in debt. Never again am I going to be broke. Never again am I going to be out of control. She said it. The word is control.

So if you want the 14-day free trial to Financial Peace University, we're still doing it. We started doing it for the first time in 30 years during COVID. You can take the whole thing online. It's all there for you, including every dollar, including all the nine lessons of Financial Peace University and the new Baby Steps app to track your progress because you're new to track your progress. DaveRamsey.com slash never again. Check it out for the 14-day free trial.

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so that you may be careful to do according to all that is written in it. For then you will make your way prosperous. Then you will have good success. Our friend Simon Sinek says, Achievement happens when we pursue and attain what we want. Success comes when we are in clear pursuit of why we want it. Very, very important. Thursday night at 7 p.m., a free live stream called What Now? COVID-19 and Your Money.

After all this mess, what now for you? A lot of people have a what now moment, and we want to help you. Chris Hogan, Ramsey Personality No. 1 best-selling author. Rachel Cruz, Ramsey Personality No. 1 best-selling author. And me, we'll be doing a two-hour live stream event this coming Thursday night from the atrium here at Ramsey Solutions. There will be about 400 or 500 folks here. And they had free tickets. They're already gone. And then we're going to be broadcasting to hundreds of thousands of you for free all across America. So text the word CONTROL if you want to view that. This Thursday night, June 25th at 7 p.m. Central Time, text the word CONTROL to 33-789.

CONTROL to 33-789. Open phones at 888-825-5225. Corbin is with us in Ohio. Hi, Corbin. How are you? Hi, Dave. I'm doing well. How are you?

Better than I deserve. What's up? I've been looking forward to hearing that. This is awesome. My wife wants to start a small business selling homemade laundry detergent, bar soap, and different home goods. And what are some practical steps to move forward with this? Yeah, well, has she done anything yet or is it just an idea right now? It's just an idea.

She basically just knows what she wants to do. She's got an idea for the containers and packaging to use and also a logo as well, but that's about it so far. Does she know how to actually make them? Like the ingredients, the materials, what goes into that? Yeah. Yeah. Okay. She does. Well, cool. Well, here's the thing. And we tell this, we tell people this all the time. You could start really small. She can just make some right now. She can make some detergent. She can make some soaps, whatever the things are. I'd pick, you know, maybe two or three, maybe five different things. You can even test them, you know, have some friends, try them out, see what they think.

You know, you can put some stuff on Facebook and, and test the waters there. It can be a experimenting while also building the business. It doesn't have to be do research for a year and then have this big, giant, terrifying launch. It can be, hey, I'm going to throw some stuff out there, see what people like. I'm going to make a few more. Those initial stages can be really kind of organic and kind of experimental. And I think what's going to happen is she'll learn in that process what people like and what they don't. But Corbin, I would love to send you a copy of my book, Business Boutique, because what that's going to do is it's going to help her think through the basis she needs to cover,

help her think through what her foundation is, even how to price, how to market it, and get a little bit more formalized in her plan. But to start, she can literally just start making some stuff, some of her detergents and soaps, and start putting them out there. But we'll go ahead and we'll send you that book as well to help you think through pricing. Since he's calling and he's so supportive, why don't we give her a ticket to business oh yeah that's fun oh yeah let's do that yeah we got business boutique in the fall and uh we'd love to have her come as our guest to that it's here in nashville it's a great event october 22nd through the 24th is the business boutique conference and it's uh so it's three days long world-class speakers and teachers on business and a tremendous community around this yeah it's three days long, world-class speakers and teachers on business,

and a tremendous community around this. Yeah, yeah. It's pretty incredible. And so these ladies leave fired up and informed on practically what to do as well. So the Business Boutique Conference is October 22nd through the 24th. We'll give you a ticket for that at hers as well. Give her two. That way she can bring a friend with her if she wants to. And, you know, since you're being supportive and helping her get going, we'll do all of that for you guys. And let's get

it moving. So we'll send Madison, give her a book and two tickets and I will take care of her. Chris is with us in Washington. Hey, Chris, welcome to the Dave Ramsey Show. Hi, thank you so much. I have a financial slash living arrangement question. About nine months ago, my wife and I, and we have two kids now, one's three, one's only one month old. We moved in with my mom with the purpose of hopefully to save money, took a new job, and pay off my student loan. We have a combined student loan of $64,000, And as of right now, we have like $63,000 in our savings account. But my job is non-guaranteed and temporary to

maybe end in September. And so it's not sure if I should just go ahead and pull the trigger on that. And then the other question is, we're 30 years old, my wife and I, living with my mom. And right now, it seems to be working out this living arrangement but I've listened to your show before and I know you you don't advise people to live with their parents especially beyond I think you said 25 before but yeah do you have any advice or opinion on that I got I got a question Chris you said it's working out does your wife say it's working out she says it's working out for one or two more years. She has like a one or more two-year future limit on this. So it's like, I guess, you know, eating beans and rice isn't ideal, but if you can do it and you can save money, why not type the thing?

Yeah. Well, there's two questions. One is how long you stay with her, and then the second question is whether you pay off all this debt in one fell swoop. Right. I would pay off all the debt today i'd be debt free and then let's you know uh hold back a thousand dollars and so that means you're two thousand short and you need to knock that debt out really fast so you're a contract worker is that your contract that's up in september you have a contract that's up and it could be extended to full-time work,

but who knows? When will you know? So the reason why it's a contract is there is someone else that was in this position before me. If they're not happy with their job, like no questions asked, they can come back and just take pretty much my job.

So they have until September to kind of make up their mind. And so I really won't know, I guess, until then. What do you do? I'm in public health And so I really won't know, I guess, until then. What do you do? I'm in public health, so I'm helping actually with COVID right now. Okay. All right.

So how hard is it to land in another position? It wouldn't actually be too hard, I don't think. Yeah. I don't either. Is your wife working? No, she's not. We just had a baby a month ago. Oh, congratulations. I think I plan to stay home.

Okay. Yeah, that's great. Probably for six months to a year. Yeah, good. That's awesome. So I think you're going to be industrious enough that your income is going to continue in some form past September, and I want you to get out of debt while you can. Okay. you get out of debt while you can. And, you know, it sounds like that whether this lands exactly or

not into the, you know, whether it continues, becomes full-time, or you just land in another position, you're still going to be fine. You sound pretty laid back about it. So it's a pretty natural evolution of your process there. So I'm just going to get out of debt, dude. And now as far as when you move out, you need to set a deadline. And you can do whatever you want to do. The only way I know how to answer questions on this show is what would I do if I were in your shoes? I'd already be gone. And it's not because I don't like my mom, I don't like my in-laws or something like that. I just, there's just so much benefit to our family having their own, um, you know, situation, our own physical situation. And so, uh, from a relational and

emotional standpoint, and Christie's question is on point, dude, this is pretty easy for you to live with your mommy. It's not easy for your wife. Um, she's putting up with it is what she's saying and so i'm out of there as fast as i can be for her sake um and so you and your mom will always get along you'll always be her little boy it doesn't matter if you're 80 and she's 100 you'll always be her little boy but this is different for your wife it's just harder to do and so you guys need your own space as soon as you can but i don't care when that is set a date uh me probably i'm out of there by christmas but if you want to stay a year i don't care you can do whatever you want to do your life and if you get another job or the contract is extended in september you're debt free by then you've got your job the unknown about your job

figured out there's no reason to stay no financial reason other than just we can save more money. But, yeah, you can always save more money. I mean, that's not. You want to enjoy your life and have the dignity of your own space, your own world. You know, one thing I would say about your wife is she's living in your world right now. Your baby picture's on the wall. She's in your world. Go create your own family and your own world.

That's good. Good advice. Well, Christy, good job. Thanks. That puts this hour of the Dave Ramsey Show in the books. Thanks to James Childs, our producer, Madison, filling in for Kelly today. We'll be back with you before you know it. In the meantime, remember, there is ultimately only one way to financial peace, and that's to walk daily with the Prince of Peace, Christ Jesus. This is James Childs, producer of The Dave Ramsey Show.

You can listen to Dave, Rachel Cruz, Chris Hogan, or the rest of the Ramsey Network anywhere with the Ramsey Network app on your smartphone. Catch all of our full shows, browse by topic, or send clips to your friends. Head to the App Store and download the Ramsey Network app today.