The Ramsey Show - App - Remove This Financial Weight From Around Your Neck (Hour 3)

Episode Date: April 30, 2024

Live from the headquarters of Ramsey Solutions, it's The Ramsey Show, where we help people build wealth, do work that they love, and create actual amazing relationships. Ken Coleman, Ramsey personality, number one best-selling author of the book Paycheck to Purpose, is my co-host today. Thank you for joining us. Open phones at 888-825-5225. Thanks for jumping in. We're glad you're here. Michael is in New York City. Hey, Michael, welcome to the Ramsey Show. Hey, Dave, how are you? Better than I deserve. What's up? How's it going? So I don't know if I gave you the question I had asked yet, but I'm a big fan of your show, and I just wanted to see if I could take any wisdom for you

and help myself kind of dig out of the little hole that I'm in. Okay. What's up? So a long story short is it started with a house, a foreclosure. I was 23 years old. I made a stupid decision to co-borrow on my parents' mortgage. Didn't know any better at the time. And four years later, which was this summer, I got a call. The house was in foreclosure and over $200,000 in the negative. And in the blink of an eye, it was either got to have a foreclosure on my record or

assume that property and take something that was well above me and my soon-to-be wife's means. And we're just trying to figure it out and make all our payments and make the best of a bad situation. In addition to some credit card fraud, which I have most of that resolved. You have most of that resolved? Yeah, I submitted fraud claims. I had all the proof. They're not my cards. I'm battling on one, but the two larger ones are taken care of.

Okay, but the house you did actually sign, it's not fraud. Yeah, no, that part wasn't fraud. Now you have it. So what is the house worth? We inherited it for $750, and it's probably worth like $700. What's owed on it? $750. so you owe more on it than it's worth correct and the mortgage we had a nice one bedroom apartment living very comfortable i mean how in the world does a house have more owed on it than it's worth in our current world

well when the people who are living in it didn't pay it for four years that pen uh found that out the way, and it added up very quickly. Okay. And so you're four years behind. How are you catching that up? They did a loan modification to where they lumped anything that wasn't paid for, plus the original balance at signing. So that was how it worked.

Typically, from my understanding, the loan modifications are supposed to be a little bit cheaper for a monthly payment, but due to the fact that it was so far behind, it actually increased the mortgage. So what is your monthly payment? $6,400. And what's your household income a little over 160 okay how old are you now 29 and we had a nice apartment um doesn't matter it's gone yeah i mean did you own it nope but we had ourselves very comfortable so yeah but i mean i mean you get this is in your name and you you all that's in that all that's in the rearview mirror so yeah it is in your name you signed the mortgage right correct okay so i guess a question

i would have for you is we're making it work now we're breaking even i luckily was a hard worker in my younger time and we put away a nice emergency fund a little under a hundred thousand dollars so we have that to fall back on but my worry is if something were to go wrong, boiler, roof, you name it, and it could all go away very, very quickly. Yeah, what I'm going to do is talk to one of our Ramsey-trusted real estate agents in the area, have them come out and look at the property, and give you a fair appraisal on what they think they could put it on the market for. You might be surprised, pleas pleasantly that you could sell it and get out from under it. If you're not, let's say your numbers are correct and you owe $750 and it's worth $700 today.

In two years, you can sell it and get out of it because it will have gone up enough to cover this. Do you not been doing any renovations to try to increase the value or save that rainy day depends on it depends on what they're doing what it is do i want to spend a hundred thousand dollars on this no but if i could spend twenty thousand of my hundred and make this thing worth 800 absolutely and then sell it right yep no that makes sense because we wanted to buy so it kind of in a way we didn't have to put money down so there was pros and cons to all of this no you don't want this house

you don't want this house your wife doesn't want to live in this house this house represent every time you walk in the front door it represents stupid stuff you did when you were 23 and shouldn't have done and your parents misled you on and you that that comes up in my throat every time i walk in there if i'm you yeah it does i have my days where it's good and the other day i don't have any good days if it's me i'm out of there as soon as i can get out of there and start my life fresh with my wife somewhere clean and screw this put it in the rearview mirror man why not sell it now dave what would you can't get out of it he's got oh wait a minute you got 100 grand what am i thinking about he's got 100 grand cash oh crap put the thing on

the market and sell it what am i thinking about thank you ken i was waiting for what in the world golly yeah you got 100 grand you're 50 grand in the hole sell it yeah as fast as you can get a ramsey trusted real estate over there right now and get this thing gone everything about this thing that you have brought up in the entire time i have known you michael has been negative there was nothing positive in this story put this in your rearview mirror and move on and when you write a check for 50,000 anytime I do something stupid and it costs me money and I have done plenty of that in my life I always put stupid tax in the four column of the check down there at the bottom where you write the check it says four put stupid tax when I was 23 i was stupid

and my parents misled me and they screwed me over and i'm hurt and i'm angry and this is my stupid tax check and thank god i had a hundred thousand dollars saved to be ready for it and now it's in my rearview mirror and i'm moving on and that's me if i'm you i'm out of there god and in the world am i and he can stack that cash back. He's financially sound outside of that. Yeah, you're making $160. You're going to be fine. Just get this weight out, the emotional, relational, financial weight out from around your neck.

You're trying to go swimming with concrete block shoes, man. Get out of there. Be done with this. Yeah, that's good. That's good. God, I don't know why I can't have that. That's so aggravating. Well, you had a lot of information in your process.

No, I mean. I was sitting there going. Sixth grader could have done that. That $100,000 is a real nice oasis to get out of this deal. But the other thing is this. What normally happens to the human brain, and I'm going to accuse Michael's brain of this right now, is when you're in a negative situation,

you tend to undervalue things. So I do think when the real estate agent comes over from Ramsey Solutions.com, click on agent, click on real estate. When they come over, they're probably going to give him some good news on values because he's probably dealing with, well, I thought, you know, it's just, and I looked it up on zillow which is worthless and then i'm going to actually find out what the thing is worth and i'm going to go ding ding ding ding i'm really out of here now yeah yeah because i don't i don't have to write a check at all is maybe what he's going to find i hope so that's what we hope that'd be great i might be right and i might be wrong but i'm probably right this is The Ramsey Show. Ken Coleman, Ramsey personality, is my co-host today. Thank you for joining us, America. We're so glad you're here. If you didn't know, it's Financial Literacy Month, and one of the ways we're celebrating that is to take questions from students at high schools

that are teaching our Foundations in Personal Finance curriculum. Today's question comes from Chelsea in Florida. I'm 16 years old, and my dad has been following the baby steps for several years. I really look up to him for that, but it can be hard sometimes when my friends have brand-name clothes, live in beautiful houses, and go to extravagant vacations. How can I appreciate what my dad is doing? Will our sacrifice allow us to do those things someday i i got chuckled just reading that because i can just see a 16 year old watching all that and watching the comparison stuff fly and they're on instagram or the tiktok or whatever the snapchat

whatever the things are that these kids are on and uh you know i get it. It's hard because you don't appreciate the sacrifice that dad's making that is not only going to set him and your mother and the whole family up, but it's also modeling the way for you to be very, very wealthy. And so I'd lean in if I were you, Chelsea, and I'd sit down and have dad explain the why of what they're doing and how it's actually impacting the family and expenses and savings and what the short-term and the long-term advantages are. Sit down and be patient enough to let mom and dad explain the why and how it's impacting them and how it's going to impact you.

And I think if you do that, I think you're going to see some really awesome emotion. You're going to understand that it's not about sacrifice just for the sake of sacrifice. And I think you're going to learn some valuable lessons. And I would understand sacrifice through real facts and real figures. And then I would ask you to sit back and say, well, what's life going to be like on the other side of these baby steps? And how, if I don't get into the mess that my mom and dad got into, how much money could I actually have in the bank at 30, 35, 40, and 45? I think that's the advice I'd give you on this question. Yeah.

Will our sacrifice allow us to do those things someday? You'll be gone. You're 16. You're going to be gone. You'll be in college. You'll be out of college and married and start having kids. And then your dad and mom are going to be able to enjoy it. But, I mean, probably in the next two years before you're 18,

is your family suddenly going to become wealthy and take you on Mediterranean cruises? I doubt it. I doubt it. Unless your dad's making a million dollars a year and he's just being a tightwad, which that's different than the baby steps. But if he's just simply living like no one else so that later they can live like no one

else, they're cleaning up a mess, they're cleaning up the debt, they're walking out the process, it's going to be a little while. Let's say they were debt-free today. They did their debt-free scream today in year 16. Still, two years from now, they're not suddenly going to become multimillionaires. So I think the the best part of the whole equation is this godliness with contentment is great gain and so those people who have uh and chelsea you're asking a wise mature question for someone who's 36

but for someone who's 16 you're amazing you're absolutely amazing to ask this question very mature very wise question and i will tell you i think the most important financial principle you can possibly learn is contentment if you can learn to sit where you are and be comfortable you can stay out of debt because debt's trying to get you something that you think is going to make you happy and it's not that you think is going to make you happy and it's not going to we're going to make your life okay because your life's not okay now yeah contentment and with that's gratitude and you you know you you're an amazing young woman so i but do i think you're going to get a louis vuitton purse for your uh 17th birthday i doubt it

doubt it i doubt i doubt that's on the horizon so i think i'm going to start looking at the other people's lives and realizing that i used to look at nice cars at a stoplight and go well and that's must be nice and then i found out that the nice car at the stoplight probably has a 1400 car payment so i don't really want to trade places with that goober no thanks i'll pass open phones at 888-825-5225 james is in des moines hi james welcome to the ramsey show hello there how are you better than i deserve how can i help well i've found myself in a kind of interesting situation about three years ago i made a career change and i went into construction and mechanics. And I went from $25,000, $30,000 a year to $45,000.

Now I'm making over $100,000. Yay! The majority of my life, yeah, honestly, the majority of my life I've been so poor that I haven't really built up any debt or credit because nobody would give me any credit cards. Great! I'm at a point where I don't know, am I maxing out my 401k? Do I do an IRA? How much do I put into savings? It used to be, I would buy the $3 pork chop because that's what I could afford. Now I have the option of the $24 ribeye. But if I keep on doing that, then like, I just don't know what the next step is. Um, because I've never been been here i've never had financial literacy from my family um i'm not living penny to penny i do have a couple thousand saved up um yeah how old are you

it's just one of those uh 36 are you married single no kids oh good for you okay no mortgage um i travel 11 months out of the year and my work pays for my lodgings and they pay for my vehicle and you make 100 on top of that yes sir yeah you ought to go bank some money okay so here the one thing one thing will cause you to win one thing will cause you to win start telling your money what to do before you wonder where it went it's called a budget fair enough so download the every dollar app and i will give you a one-year subscription to the to the premium version where it hooks to your bank okay so download the every dollar app and start telling your money what to do

because you already know the a i don't need to spend it all right you just told us that and b b i do have a little margin now i don't have to eat dog food now i can eat good food yeah and honestly i've been listening since it was rice and beans and beans and rice yeah and that's what it's been so i'm like wait i don't know well now you've got you don't have any debt You don't have any personal overhead to amount to anything. So you ought to be able to save like a crazy guy, and you ought to be able to have some enjoyment in your budget, just intentionality.

I just want you to sit down and say, okay, I got $8,000. I got $6,000 coming home every month. I don't have a car payment. I don't have a house payment. I don't have any food issues. So how't have a house payment. I don't have any food issues. So what, what can I, you know, how am I going to spend this $6,000? And I want you to give every one of those $6,000 a name. And there's only three things you can do with money. You can invest and save it. You can give it and you can enjoy it and you should do all three.

And so how do I learn the ratio on those three? Because I was raised with 10% tithe, which I still do. The investing, I figured I could get that with my IRA and my 401k. I'm very nervous of stocks. I don't even want to play that game. And then it's the enjoyment part. Like I could afford a trip to New Zealand, but do I really need to go to New Zealand? Sounds like it would be fun, but eh. Sounds like you need to.

You just have to save up for it. So you walk the baby steps. So we want you to get three to six months expenses right away. Dave has led you to the budget. Once you figure out what you actually have to save every month with your minimal expenses, we want you putting three to six months expenses in the bank. That's baby step three.

Now you've got a really fat emergency fund. After that, you start investing 15% of your income and go to ramseysolutions.com and find a smart investor pro. I know you're traveling all over the place, but maybe Des Moines, that's your base and sit down and they know our strategy and start an investment strategy there. And you're going to make up ground really fast with your low overhead, James. And now, like Dave is saying, you're giving it and you're going to New Zealand all cash. I mean, you're really set up. So the budget is the first step and then baby steps three and four are right there in front of you. Yeah, I think you can eat a nice steak, go to New Zealand, invest in your 401k aggressively and be generous all three with your income and

your living situation like you're gonna be able to do all three things and not do harm to any one of them mathematically this is the ramsey show ken coleman ramsey personality is our co-host. So we were telling the last guy who's making more money he's ever made in his life, how do you take care of that? How do you make it behave? Well, you make it behave. A budget is telling your money what to do instead of wondering where it went. And the best way to do that is to use the EveryDollar app.

Now, the EveryDollar app is the world's best budgeting app, and tens of millions of people are signing up for it. It is crazy how this has exploded, and we thank you for that. You can download the EveryDollar app for free in the App Store or Google Play today. It's very easy to do, or just go to EveryDollar.com if you want to do it for your desktop. But until you start telling your money what to do, you not going to win with it it's simple i don't like being on a budget well then you don't like telling yourself what to do what in the world is that that's weird so tell yourself what to do tell yourself self this is what i need to do and if

self will behave then self can get what self wants it's not hard this is how the deal works all right in the lobby of ramsey solutions on the debt free stage is rachel from vancouver she has a question hi rachel how are you hi great thank you have you heard have you had canadians on your show before oh sure they're not that rare okay awesome yeah i wanted to ask this question today it's an honor to be on your show. So, all of my mom's relatives and my extended family live in poverty in the Philippines. We care and we have empathy about their circumstances. Some expect help and some don't. But it's hard to discern how much to be helping them. And I to ask uh what would what would that look like okay how how could i help them the principle that we use uh with the ramsey family foundation if we're going to help uh someone uh with money uh whether it's an individual or whether it's a situation, if you are not helping them take the steps to sustainability, then you're just throwing good money after bad.

In other words, if I sent one of your relatives $5,000 and it doesn't change their anything, it's just like that money runs out and they're right back where they were then we wasted the five thousand dollars and it wasn't really helpful exactly it felt warm and fuzzy at the moment but it wasn't really helpful and so um what can i do that would help them get the get get a rung or two up the ladder as they climb out of poverty what could we do with that now that i'd get really interested in helping someone i loved okay and so for instance um uh in a couple of cases we have bought a piece of real estate uh and it wasn't in the philippines

it was somewhere else it was in the uh in the far east but it was a a rice plantation and gave it to these people and now they are the owners of a farm and a piece of real estate and the and they're excellent at growing rice in that particular area and that's an example of okay so you put i don't know twenty thousand bucks fifty thousand dollars into that now they've got something that for the next decade they can use to double triple quadruple their income yeah uh and so we gave them a tool to lift themselves out uh that because it's sustainable but if i'd just given them fifty thousand dollars cash it would or ten thousand or twenty thousand dollars cash it would have just evaporated yeah that's right and so what can I do like that how can I help them start a business

how can I help them get an educational certification of some kind go to school how can I help someone that that causes their income to come up and their perception of themselves and their future to to come up and stay up that's then I get all excited about doing that that's my best obligation but just to throw money over the fence and feel good it generally doesn't work yeah of course and my sister and I grew up with our mom growing broke sometimes because she was raising us as a single mom but then also trying to help her family and so she was just surviving she was caught and she was raising us as a single mom but then also trying to help her family and so she was just surviving she was caught and she was caught in that cycle yeah and um and if you

look back now is what i'm saying true i mean do you look back at the money that she sent over there did it change anything no so so all of her all of her sacrifice yeah uh because it just she was just throwing money over the fence maybe i don't know but i mean that that's how i measure it is i don't mind being generous but i don't want to be uh randomly generous i want to be intentionally generous and helpful yeah um because otherwise i'm just contributing to the problem yeah definitely which is why i like wanted to raise the question I haven't seen a video on it yet but I would have loved to discuss it with you and yeah it's great what's the source of the problem uh just the economic situation that

they're in I mean the whole economy it's not a I mean the average household income in the Philippines is what do you know I don't know it's fairly low it's fairly low and yeah most of them haven't i mean she escaped for which was great she gave us a great life um but yeah just with what their day-to-day looks like we've compared and um i mean twenty dollars to me is like a long way for them so yeah it's just something that I wanted to do differently than how my mom did it. Yeah. So I want to be helpful. Yeah. Not just feel obligated. Yeah.

And so I don't, you know, and I think you can be both. Yeah. I mean, I think you can do the right thing and honor the family in that regard, but not do it in a way that- Enables them. I don't think we're in, your mom's case, I don't think it was enabling because they weren't misbehaving. They're just in poverty.

That's not a misbehavior. It's just a situation. And so – but it is still – the money still didn't move the needle. Yeah, that's right. It didn't fix it. So what I want to do is fix it i want to be a solution you know with these dollars there's not enough coming in right yeah so today's point when you give money like that it'll it may keep them afloat for a while but it's still it eventually

runs still there it burns back up if i were you and you know that culture and you know you've got people on the ground i'd be figuring out how people do get out. What are the pathways on the ground in the Philippines to get out? I would do research. Now, I know absolutely nothing, so it's kind of a fun scenario. I would say, okay, for people to escape poverty in the Philippines, what are the above board paths? What are they? And in today's point, based on what I could do, I would try to help fund a pathway, a ladder, if you will, to where it's self-sustaining. That's the idea. I do some research. You've got a good heart. Thank you for asking your question. It's a good question. Thanks for joining us. That's a tough one too, Dave. Absolutely. Zachary is with us. Zachary's in Fort Worth, Texas. Hi, Zachary. How are you?

I'm doing great, Dave. How are you? Better than I deserve. What's up? Yeah, so I have a question about 529 accounts for my daughter's college fund. My question is, what happens to that money if my daughter decides that college isn't right for her or something like she ends up getting a full ride? Are there penalties on that money if I want to pull it out and use it for something else? Are there other qualified expenses you know stuff like that okay if she gets scholarships you're allowed to pull out of the 529 the cash equivalent of the scholarship so if the school's forty thousand dollars a year and she gets a free ride because she's valedictorian or whatever or volleyball scholarship or whatever

it is i don't care um and she gets a full ride then you can pull forty thousand dollars out with no penalty at all whatever the equivalent of the scholarship is you can pull that out okay number two you can transfer the money to anyone in your family not just you could transfer it to if your wife wanted to go back to school do some graduate work you can use it for that if you want to take a class anybody you got an other if your child daughter has other siblings you got other children uh anywhere up and down like that you can do that number three if you leave it alone for a long time i don't recommend this she can actually roll it into a roth ira up to about thirty thousand

dollars worth um number and then the last answer is yes there'll be penalties on the growth and so if you have put in thirty thousand bucks and it's grown to a hundred thousand then you would have penalties only on the seventy thousand so you won't have penalties only on the 70,000 so you won't have penalties except on the growth and so you won't get to keep all of the growth you'll have taxes and some penalties on it if you just straight up cash it out but there but that you know so i wouldn't over fund a 529 but i wouldn't i wouldn't abandon the idea of a 529 just because of those issues i would certainly have a kid's college fund in today's world. This is the Ramsey Show. Our scripture of the day, Matthew 7, 13, and 14. Enter by the narrow gate, for the gate is wide,

and the way is easy that leads to destruction, and those who enter by it are many. For the gate is wide and the way is easy that leads to destruction. And those who enter by it are many. For the gate is narrow and the way is hard that leads to life. And those who find it are few. Theodore Roosevelt said, In any moment of decision, the best thing you can do is the right thing. The worst thing you can do is nothing. Whoa, there we go. When in doubt, do something with vigor right exactly yeah

yeah what was the uh patent uh quote i used to use it all the time a uh a mediocre plan executed with great enthusiasm is better than a plan never executed at all exactly right it's like we're talking directly to Congress right now. Consistently talking to Congress right now. Yes. Never does any good. April is in Charlotte, North Carolina. Hi, April. How are you?

Hey, Mr. Ramsey. How are you doing? Having trouble hearing you, darling. Can you speak directly into your phone? Hey, Mr. Ramsey. Can you hear me now? Nope. We'll put you on hold and see if we can get a good

connection that's usable open phones here at 888-825-5225 you guys jump in and we'll talk with you so can the um the thing i have learned you know back to that theodore roosevelt quote in any moment of decision the best thing you can do is the right thing. The worst thing you can do is nothing. The thing I figured out in decision making in the financial world is that people who get paralysis of the analysis never invest. And you're better off to just get started investing. So an example of that is as we studied the did the largest study of millionaires ever done in north america 10 167 of them we found that they weren't particularly they were not in the top one percent or even five percent

of high quality investors in other words they weren't super knowledgeable, super sophisticated. They weren't any of those things. Okay. Instead, the mutual funds that they had picked out were, they were above average, but they weren't like the best mutual funds on the planet or the highest performing. They hadn't studied every nuance of the mutual fund and picked out the top fund of every category. They just picked out good, above-average funds and put money in them all the time. Consistency.

All the time. The point is, do something is so much better than sitting around and having a freaking theory. That's absolutely right. There's also a leadership application too. When leaders have tough decisions that have to be made, weak leaders do nothing at all. They just sit there and they stew and they look for polls or what's the cranky people in the office going to say if I do this, as opposed to taking the best information you have at the time

and making the best decision that you can. Is it ultimately going to be the right decision? You don't know. That's leadership. And so this applies in so many areas. It's just you've got to do something. Just show up and lead. So, you know, do something.

Open phones at 888-825-5225. April is in Charlotte. Let's try it again, April, and see if you cleared up. How are you doing? Hey, Mr. Ramsey. Can you hear me now? Just barely. You cut out half the call.

How can we help? I recently had a house fire about a month ago. We're no longer able to live in the home. And since then, I kind of made the decision that me and my husband need to separate. And so my sister had said that she would help me to put a down payment on a house by borrowing escrow on my mom's house that she owns with the GoFundMe that was set up and money that I've had donated and what I've been putting back, I've managed to get about $8,000 in the past month put back. And so my worry is that if she borrows escrow on my mom's house and something was to happen to me, she'd be in a big financial burden, which I don't want to do to her.

And I don't want to get myself in over my head. So I have found two rental properties that I'm considering with me and my daughter. One is $900 a month for a two bedroom, two bath mobile home in a mobile home park on a well. The other one is $1,600 a month. And it and a three bedroom, two bath home with city water. The hiccup is the one that's 900 is 40 minutes away from her school and most of my employment. And the other one is two minutes away from her school and closer to my employment. What do you mean? I am a mobile, um, I make about $4,000 a month.

I am a mobile dog groomer. Um, I've had my own business for 11 years um okay so i'm kind of april you've had a lot of trauma yeah a lot a lot of things happen to you i mean if you've got a marriage that's going sideways and you had a house fire those are two very very traumatic things it's very difficult to make decisions in the middle of all that. Okay? So I'm sorry. So you're hustling around trying to find a place to land, and that all makes sense.

The great news is in Charlotte, North Carolina, there's more than two properties for rent. Well, we're not really in Charlotte. He asked the closest city. we're in a little town called rockwell um so there's not there's not a whole lot but there's more than two i have there's more than two there's more there's more than two and you need to find another one because neither one of these work one's too expensive and the other one's weird and outside of the realm of reasonableness and you've already talked yourself out of it okay so and you

definitely don't need to buy a house in the middle of all this trauma you're going to make a really bad decision there so please go find you something to rent that's close to work and that you can afford. That simple. And maybe it's a two-bedroom apartment instead of a three-bedroom house or a two-bedroom trailer 40 minutes away on well water. Nothing wrong with well water, by the way. I'm just thinking, like, I'm not going to have a water payment if I'm on a well. That would be nice, but that's not true. You've got problems a lot bigger than a water payment if I'm on a well. Well, that'd be nice. That'd be nice, but that's not true. That's not true. You've got problems a lot bigger than a water payment, kiddo.

Yes, sir. You know, you can handle a water payment if you get an $1,100 property to rent, which you can actually afford that's close enough to work, close enough to her school, okay? And you're going to be okay then. But any time, we were just talking about decisions before we picked up with you and anytime the only options i have and you've given me three of them and they're all bad options all that means is i don't have enough options yet i need more i need

more things to consider buying is a bad idea with all the stuff you've been through you've had a really hard time right now it's a horrible time to be buying for you please don't buy and living out of town you've already decided you already decided you weren't doing that and you were trying to justify doing the one that's too expensive and so you've already decided you weren't doing the trailer because you know like so another problem that i'm having is um my husband advised me not to claim my income because most of my work is cash um so when i'm going to rent no they're not wanting to really rent to me because i don't have employment history um it was recommended to me to get reference letters from people that i work for and people that i pay, make payments to show them that I can make the payments and that I,

that I work. Do you have a, do you have a business account for your business? I do not. Okay. So you're not even depositing this money. You're just walking around with cash in your pocket. Because he's advised me not to claim it.

And so I'm scared that the IRS is going to find out that I've got money that I, I can't prove where it come from. This guy's a real peach. Yeah. Okay. So, yeah, you need to start paying your taxes. And you need to set up a business checking account. And in the meantime, though, you can sit down with someone and go, look, I've got these 16 clients.

I do this on a cash basis. I'm a landlord. If someone sat down to me and said they were mobile dog groomer and they had 65 clients i can do the math and know you can pay the bill okay and so and and that's not scaring me as a landlord now if you got some little you know person that doesn't know that doesn't have any power in some apartment complex or something it might be harder but you can sit down and work your way through this. April, you got to find some more options.

Don't justify or rationalize in the middle of all this pain into bad decisions. It's a bad idea. Slow down. You can do this. You can do this. And I'm sorry we picked you up a minute ago and couldn't get through. This is the Ramsey Show. We'll be back with you before you know it.

In the meantime, remember, there's ultimately only one way to financial peace, and that's to walk daily with the Prince of Peace, Christ Jesus. We'll see you next time.