The Ramsey Show - App - This Is How You Start Building Wealth (Hour 3)

Episode Date: December 29, 2022

Dave Ramsey & Kristina Ellis discuss your questions on money, work, and relationships. Have a question for the show? Call 888-825-5225 Weekdays from 2-5pm ET 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 of Moving and Storage Studios, it's The 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 we help people build wealth do work that they love and create actual amazing relationships christina ellis number one best-selling author. Ramsey Personality is my co-host today. Our phone number is 888-825-5225. Aurora is with us in Portland, Oregon. Hi, Aurora. How are you? Hi. I'm good. Thank you.

Good. How can we help today? So the last couple of weeks, I've been kind of, you know, been watching all of your guys' stuff on YouTube. I actually found you guys on TikTok. And I've just been kind of, you know, the last couple of months I've been really trying to get settled and pay off debt. And it just seems like any way that I try, I can't. And I always refer back to living paycheck to paycheck. And I'm just, I'm kind of over it. I don't feel like

I'm content where, like where I am in life. And so I feel like part of that is just having so much debt and, you know, having kids to take care of and wanting to plan for them and I don't I don't know like where to start I don't know what to do anymore boy I like you you're in a really really good place thank you for calling and I like you just because you mentioned to Dave that you found us through TikTok Dave loves TikTok I'm not sure if that speaks poorly of you or of me, but one of the two. I love it, yeah. And it's actually my birthday today, so I'm like, you know what? Happy birthday.

Glad you got through. Thank you. If it's not today, then I don't know what day. Yeah, it's a great day to call. So walk us through the debt. How much debt do you have? Well, I paid off quite a bit now, but I have about $21,000, I would say, between my partner and I that we still need to pay off. And most of it is credit card debt. So you said you paid it off. Tell us about the debt you paid off. So back, you know, when they were giving the unemployment during COVID, it took months for me to get my, like, checks because everything was so behind.

And when I finally got, like, my claim, it wasn't that much. I paid off my car. I was like, this is one thing that I need to, you know, get rid of because, God forbid, I, you know, can't work anymore. I can't find another job. I need that, you know, I need that to get around. Yeah, I just want to stop and applaud you for that because the fact that you're already, you know, wheels in motion, you paid off your car. That's great.

Yeah. So what's your income? Between my partner and I, we make about $5,500. Okay, let me stop a second are you married no we're not we live together okay all right so legally you are too you have a roommate and from the handling from the handling of your money that's the way the law is going to look at it right yeah so um you pay off your partner's debt you get zero credit for that with the law okay so you're combining your money with your roommate is a bad idea

yeah because of where you stand legally so how much the 21 000 is that all in your name no okay what is in your name 10 000. What is that on? That is credit card. Okay. And good. And you paid off your car. Way to go. And what do you make? I make, a month is about $2,200. Okay. Good for you. And how old are you? I'm 28. And what about $2,200. Okay. Good for you. And how old are you? I'm 28. And what do you do for a living? I'm an elementary school secretary. Well, thank you for your service. Thanks for what you do for the kiddos.

Okay, so if you've been watching the videos, are you familiar with the term gazelle intense? No, I'm not yet. Dave, can you do your Daveave explanation you do it the best okay so here's the thing what we have figured out is is that personal finance is 80 behavior it's 20 head knowledge and so for your partner with their money we'll tell them to do exactly the same thing you're doing but not combined but not combined so we'll have the same result that you're looking for but when you combine them you leave yourself open to other problems that we don't want to get into okay like who

who bought the mustard or whatever all that garbage right so um now uh so the what we if Now, if personal finance is 80% behavior, that means when I get control of me, I have the best possible control of my outcome with my money. The more intense I get, the deeper I sacrifice, and the deeper I sacrifice, the more money goes towards cleaning up the mess, and the quicker I get stabilized and moving towards wealth. So, in other words, if you goof around with this stuff and sort of kind of do it, and you still go out to eat, and you still go on vacation, and you still buy a bunch of crap that hasn't got anything to do with the goal of getting rid of these credit cards,

it's going to take twice as long, and you're going to be half as likely to ever even do it right and if you get so intense that it's like if you get so intense that it's like you're going to die if you don't get rid of this credit card debt in five months then you're going to work six jobs and you're going to eat ramen noodles and you're not going to do nothing but work and get out of debt because that's intense and sacrifice and that's what we mean by gazelle intense like the gazelle running from the cheetah doesn't want to be eaten and doesn't want to be killed they're they're running for their freaking lives this is not an intellectual discussion this is very visceral it's bone marrow you are going for it right and that's that's there's

something that happens in 30 years of me doing this when people get that level of pissed off that they're willing to cut everything that their friends think they've lost their minds they think you've joined a cult then you're on track so you need to get out the credit cards when you get off the phone and chop them all up into little bitty pieces every one of them and you need to get on a written budget and you need to get out the credit cards when you get off the phone and chop them all up into little bitty pieces every one of them and you need to get on a written budget and you need to get another job or six and you're not going out to eat you're not going to see the inside of a restaurant unless you're working there and you're not going on vacation all you're doing is getting out of debt because how's it going to feel when you don't have any debt it's going to feel really good

how's it going to feel when you don't have any debt? It's going to feel really good. How's it going to feel when you don't have any debt and have $10,000 in the bank? It's going to feel really good. We call that financial peace. Yes. But you're going to pay a price to get there. You're going to have to live like no one else. So later you can live and give like no one else, okay? That's what Christina's talking about.

Yeah, and I'm super encouraged. When you split things out, you've got $10,000. You've got $2,200 a month. And you're 28 years old. You can work six jobs. You can make the sacrifices. You can do this quickly. You're working in elementary school. It's over 3.30.

You've got time to do three more jobs. I mean, you really do. I mean, you can go make some serious money. And there's people hiring out there like crazy right now. Big time. And you don't have to do this forever. You just do it for a short period of time. It's a sprint. You just bust it for a short period of time. It's a sprint.

You just bust it for a short period of time. Hang on, Aurora. We like you. We're going to put you through our class called Financial Peace University. We're going to pay for it. Watch those classes. Hold on. I'm going to pay for you to have a membership. Watch every one of them and do every single thing we said to do and you'll be wealthy. Up to you.

This is the ramsey show Christina Ellis, number one best-selling author, Ramsey Personality, is my co-host today. Thank you for joining us, America. Hey, parents, there's a lot you can't control. You can't control inflation. You can't control the economy. You sure as crap can't control Washington, D.C., but you can control how you'll teach your teens to face life and all of those things. And the sooner they learn, the better.

The best thing you can teach your teen this year is how to handle their money the right way, how to get on a budget, how to save, how to spend wisely. The Foundations in Personal Finance homeschool curriculum has helped millions of families teach their kids. It'll give your teens the tools they need to win with money, to pay cash for college and stay out of debt. It's not just another homeschool curriculum. It's completely changing how teens think about money permanently. And then they come on the air here and do a debt-free scream when they're 25 years old

and say, my mom and dad homeschooled me. And so when I married my spouse and they had debt, we knew how to get out of it immediately, and we knew we needed to get out of it immediately, and we knew how to do a budget. They're completely schooled up. That's what this is for. This is part of changing your family tree is the training. To learn more, go to RamseySolutions.com slash homeschool. RamseySolutions.com slash homeschool. RamseySolutions.com slash homeschool.

Jen is in Phoenix. Hi, Jen. Welcome to the Ramsey Show. Hi. Thank you so much for taking my call. I was in a position last year to purchase a home, but unfortunately, the line of work that I was in, I have a child who, you know, is on the spectrum, and the job that I was working with a child protective capacity, and they wanted evenings, holidays, and weekends. So I had to leave that job, and in the three months that it took me to get another job, it made better sense to sell my home than to rent it because I didn't have the cash flow.

And I was wondering, I got the money out of my home. I'm really sad that I had to sell it anyways. But I'm wondering, I'm just getting apprehensive about if I'll ever be able to enter the market again and exactly what I should do with the money that I have saved because I have it all sitting there waiting to get back in the market when things are a little bit more stable. What's unstable well it's stable in in the sense that i have a job now that that i can be a mother and be you know work so are they stay are they is your life stable now oh it is it just took me i knew that i would i'm employable i'm very employable but it just took a couple months you said you were going to wait until things were more stable, but it sounds like they are stable. Well, yes, they are.

They are. I'm sorry. I'm nervous. So what is keeping you from going and buying a house then? Well, I just came out. I just sold my home, and I just wanted to – I don't know what the interest rates up in everything. I don't know if I can actually afford – I just don't know what I can afford. I don't know what would be smart.

I know waiting probably isn't, but I just want to make sure that I can afford a home. So you're making a whole lot of assumptions about everything being horrible, and you don't even know the details. No, I need to sit down, and I do apologize. No, I'm not calling you out. I just hear a lot of anxiety in your voice i i i even wonder i my my home represented more than 40 percent of my take home and i thought about um renting the one that i had no you did the right thing you did the right thing you were

you were trying listen here's what you chose here's what i heard You chose taking care of your kid. Yeah. Which makes you, like, the best mom in the world. I think I'm the poorest mom in the world. The owning a home does not make you the best mom in the world. Sure. You can get into the house. There's a freaking house on every corner. You just got one kid, though. Yeah, that's true.

You made the right choice. Thank you. You were in the situation you were in with the information you had. You made the best decision you could make at the time, right? No, I did. Thank you. So quit beating yourself up. You're an awesome mom.

Thank you. Okay. Let's breathe in, and let's put all of that in the rearview mirror. Now let's look out the windshield. Okay. Okay. You now have a stable situation. Now let's look out the windshield. Okay. Okay. You now have a stable situation where you can take care of the kid. How much money you got in the bank from the sale of the house?

About $70,000. Okay. Nothing's on fire. You don't have to rush out and do anything. But let's just begin the process of learning about what it is you can afford at 25% of your take-home pay with $70,000 down on a 15-year fixed-rate mortgage. And begin to look at those types of houses and go, I don't really want to buy one of those. I think I'll save a little while before and add some to the 70 before I do that. That's okay.

But we're not going to sit around and watch the news. And by the way, interest rates went down this week. Oh, okay. I'm traumatizing myself by trying to figure out. You're catastrophizing. So that's okay. I mean, you've been through a lot. You had a lot of stress.

And what I want you to do is is gain some peace from where you're sitting today and and from the fact that you did make good decisions and now let's just ease back towards the right direction of home ownership again and uh but we don't have to thrash around and say oh we can't do it because interest rates are oh we better do it because we'll never get in if we don't rush over there and get something right now and just calm sure and let's just steady yeah facts are your friends i love that getting getting your plan together figuring out what you can actually afford laying everything out on paper on purpose so that you can see clearly not just feel that anxiety and just live there.

But I'm with Dave. You're a great mom. You made the right decision for your family. One question I have is, are you still in the same job, or do you still have a pretty unstable schedule with evenings and weekends and nights? No, I'm working for, I'm in the same capacity, but I'm in a job that doesn't require me. I can actually work from home in this job. The other job I had to be, like, out.

How much do you make? About 50. Okay. How old are you? I'm in my late 40s. Okay. How old's your baby? She's 12 this year. Okay. Good. Good. Well, I think that's even a breathing point. You're probably feeling some of the fear from just the last time you owned a home and you were in that situation where things fell out of control and, you know, you're working the weekends, it's difficult balancing a family and even breathing and letting that go and just kind of refocusing as you think about buying another house, you know, and just letting go of some of that stress and difficulty from the last time. This is a new situation. You're in a totally different position. Your baby's taken care of. you're in a good spot to move forward yeah just because the last guy you dated is a jerk doesn't mean the next one has to be i've been doing it in years no no i'm talking about

the last house didn't work because you bought too much house and it was an unstable job situation so the new house doesn't have to be a jerk it can be a be okay right definitely and i guess what i'm wondering is i don't mind saving i mean my job i can't whether i like it or not they're putting 12 percent away from me of my salary and i think they're matching it so i can't even touch that so i'm whether i want to save for retirement right now i'm saving all right well you're moving in the right direction you got everything going so what i would tell you to do is if you're debt free let's hold that 70 000 begin to add to it get in touch with uh one of the uh endorsed local providers one of the ramsey trusted real estate agents in your area sit down with them and say listen i'm a little

scared and freaked out because i bought too much house last time and it scared me and i had to get out of it i don't want to do that again and so i need to get start gathering information to help me make a calm wise decision teach me help me show me the market and let's begin to work our way through that and they will gently gradually slowly show you and you'll get your confidence based on the new knowledge you start gathering from this ELP with the heart of a teacher. Well, I think that's good for anyone sitting on the sidelines of the real estate market right now, because the reality is every day there's a new news article out that sounds scary and there's a million different opinions and there's a lot of fear.

You know, you have a very legitimate situation where, where you know you had some family things and too much house that caused fear now but there's a lot of people feeling fear for a lot of reasons so sit down figure out the facts talk to a professional who knows what they're doing and can bring peace yeah when you're feeling all hyped up folks uh deloney talks about this all the time facts are your friends no one makes good decisions when they're afraid, greedy, or drunk. This is the Ramsey Show. ស្រូវានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលានដែលា� Christina Ellis Ramsey personality is my co-host today number one best-selling author in the lobby of Ramsey Solutions on the debt-free stage. Brian and Valerie are here. Hey guys, how are you? Doing great. We're doing awesome. Welcome. Good to have you guys. How much, where you

guys live? Denver, Colorado. Cool. Welcome to Nashville. Thank you. How much have you paid off? Well, married, we paid off $160,000 in 22 months and single or all together we paid off 205 and 34 months okay before the 22 months started or is that total including everything uh that's before the 22 months started so the total is more like uh 365 000 or it's 205 total and 34 months oh okay that's the total that's what i was sorry all right so that's a good good good good good all right and so uh during the 22 months what was your range of income it was 213 to 273 all right very cool what do you guys do for a living i'm an engineer and i'm a manager for an engineering firm uh for a cad manager ah okay very cool kind of figured out how you two met okay and so um all right and uh so we had 205,000 total yes and started working on it before we're married finished it after we're

married tell us the story how did all this work yeah so i it started in august 2020 so right or yeah 2020 right before the pandemic and uh or august 2019 and i was in interning as an engineer before i got my first job and my good friend mark who is a marine reservist just want to point that out so you can imagine how intense he is but he came into my office and kept trying to get me to do this ramsey thing in this fpu class and i was was like, no, I'm fine, I'm fine. And finally, two weeks before the class started, he came in and he closed my door and was like, why won't you take this class?

And I was, I think I just broke down crying. Yeah. I just broke down. This is like illegal right here. This is how we do in the armed forces. So I kind of opened up to him. And my family, we'd lost four people in four years. And dealing with PTSD, I'd just gotten out of the military.

And I was broke. I was in six figures of debt and I just, I was scared and ashamed and I was making less than 40,000 with six figures of debt. So. And he could see your eyes. Yeah. And he convinced me to take it. And I was pretty resistant for six weeks. It wasn't until the seventh class that I was like, okay, fine. I know. You are a hard case. I mean, usually first or second class, I get them. I mean, seven classes. I was so angry, especially about the student loans.

I was convinced I couldn't go to college without student loans. I was just convinced. Yeah, okay. So. Wow. Yeah, it was. Okay, you that gets you started on the whole thing yes and then poor brian wanders into the story it was our first date i was talking about it and i was like yeah if you're not on board i'm just not sure about this you know so our fpu

classes became date night and it was the only way i kept got to keep seeing her so you went from i'm not going i'm going to cry about it to uh we're not even going on a second date if you're not in dude yeah wow this is a what seventh class was thorough i mean at least the conversion was thorough but then she was all in yeah and then some I think it was Chris who again it was three years ago I think he was in that one yeah and his deep voice just really got me yeah it's like oh I need to do this it's very commanding very cool good for you guys so you you finally get convinced and then you get started. What did the journey of paying off the debt look like?

It had its ups and downs. You know, we stuck together and we did our first budget meeting. That was fun. That was six hours. Yeah. Six hours. Yeah. It was a date, right? Yeah.

This is two engineers. So I'm a i'm a date right yeah this is pretty much this is two engineers so i'm a nerd with the spreadsheet he could not give up the spreadsheet no no not at all and then um it became easier once we kind of jumped into the full like we're all on board we're not doing a davish um we got the every dollar app and so that I had to release control of my spreadsheet. Oh that's devastating. I think it was. But it was it was totally worth it and you know us being a new married couple financials can be a real struggle and a real stress on the marriage but we went into it knowing we were on the same plan and it just, it just made, it's made our marriage so much more successful and wonderful. Who were your biggest cheerleaders in the process? Well, our best

friends, Lisa and JT came with us today. Um, and then our FPU coordinators, I think they're listening right now, Mary and Mark. Oh, Mark was the coordinator. Yes. Yes. Okay. He's recruiting for the class. I got it. I mean, he was all in. So way to go, Mark. Yeah, that's awesome. So, so you truly experienced that resistance and now you are here, you went all in, you paid it off. So if you were in Mark's position and you're, I mean, you're in his position right now, there are people listening who feel that same level of resistance. What would you tell them? Well, I would just tell them for someone like me, who I just, I was so, I just thought I was so strong and I could do this all on my own. And, um, I was too ashamed and embarrassed, um, to, and too prideful to think that I was doing

something wrong. And so I just, I think the biggest thing is to be humble enough to put your pride down. And, uh, if it's not working for you, try something new. So good. Yeah. So good. It's your identity. I mean, right. Yeah. But people treat it. So we hold onto it with such a tight fist. We do. And so that that that whole part of your journey is actually more beautiful than the paying off of the debt i've changed completely um i was so resistant and so hard-headed and now it just feels like i'm a different person you had so much loss yeah and and then you had some anger to go with it yes and you you had quite a

little chemistry thing going on here i had a lot going on chemistry set chemistry set going on here i was just mad all the time yeah yeah and and then you just aimed your mad at the right thing yes and knocked it out yeah and that there is something that sets you free when you do that that's very powerful yes very cool you guys are you guys are a neat couple and uh what you've been through and what you've been through together is very very very strong you're set up to win at an unbelievable level now uh because not only that but you probably heard us say that in the millionaire study that we did the number one uh career choice of millionaires is engineer and you're and we have two of them here. That makes me really excited.

So they have twice the shot at it. Yes. Yeah. That's fun. And you've been through FPU, and you're thoroughly, thoroughly, thoroughly converted by Lesson 7. Oh, my God. Yes. I still can't get over that, but yeah, it's good.

It's very good. Well, and what a way to start your marriage. Like, you can just tell by the way y'all look at each other that you're so connected. Yeah. Yeah. That's just powerful. I love it. Hey, we got a copy of the Total Money Makeover for you.

You'll be able to give that away as you continue to tell people what has happened in your life. We're so proud of you. You guys are an amazing, amazing couple. And of course, Baby Steps Millionaires, because that's the next chapter in your story you're right on your way to that and a uh one year membership to financial peace university that you can give away as you're talking about it so the live and give bundle is just for you guys we're so proud of you very very very well done all right if you got to tell people one thing or two things they got to do to get out of debt what do you tell them um everybody says it's a budget but i mean it's true you have

to stick to it um and don't everybody has a mountain to climb we we all have doesn't matter how small or how large it is um we all have to do it and so just stick with it uh stay on the path and you'll climb that it's it's uh one bite at a? The elephant. That's how you eat the elephant. Beautifully done. Well done. Brian and Valerie, Denver, Colorado. What a great story. $205,000 paid off, single and married, over 34 months, making $213,000 to $273,000.

Count it down. Let's hear a debt-free scream. Three, two, one. I'm debt-free! Yeah! That'll keep you coming back. I love it, baby. Woo!

Woo! This is The Ramsey Show. Thank you. our scripture of the day romans 15 13 may the god of hope fill you with all joy and peace as you trust in him so that you may overflow with hope by the power of the holy spirit martin luther king jr said out of the mountain of despair a stone of hope oh man good turn of phrase absolutely amazing christina ellis and number one best-selling author ramsey personality is my co-host today boca raton daniel's on's on the line. Hi, Daniel. How are you? I'm good, Dave. How are you doing? Better than I deserve. What's up?

So I wanted your feedback on a few things. I think it's going to be a kind of a three-part question. So I have not been great at managing money most of my life. And I have racked up a lot of debt, not in the hundreds of thousands, but with medical bills included, maybe $40,000 or $50,000. And I sat down with some friends. What I've decided to do is actually live out of my car because I own it. Why not? I'm still paying it off, but I have it. That's something I can use and put all that money I would put towards rent utilities towards savings. However, I'm working baby step one and three together before

I move on to two. I feel given inflation and where things are at, that might be the wisest thing. But I kind of wanted to tie into this question on, because I think a part of my problem has been income. And I think there's just more I could do in that area. And so I'm trying to see if where in the baby steps paying for college and cash might fit into that to increase my income, or if you even think it's worth it or not to go to college these days. What do you make a year? Well, I'm in multi-unit management. I'm a district manager. I'm making about $70,000. Multi-unit. What's that mean?

So you oversee multiple locations of the company you're working for. Oh, I see. Okay. And are you in different cities all the time, or you're just planning homelessness? I'm in a couple different cities.

It just depends. I structure my week differently every week. Do they give you some kind of travel per diem allowance for hotels? I don't travel that far. I don't pay any out of, like, they reimburse, I think, 66 cents a gallon of gas. But, no, there's no need for a hotel. Oh, I see.

Okay. All right. Um, okay. So you're asking our opinion on this whole situation. Am I, am I gathering that correctly? Yeah, I, I, you know, I, I, I made some of these choices like moving into my car to get rid of that, get rid of everything. And then I appreciate that.

That is so extreme. I would not recommend it okay i have never recommended someone live out of their car in 30 years of doing this you make seventy thousand dollars a year i don't want you to rent something for twenty five hundred dollars a month but i want you to get a roommate and get a cheap little apartment of some kind and have a place to unpack your stuff and take a freaking shower okay i mean i use the gym and all that i know what you're doing i know exactly what you're doing but i don't think it's romantic at all um i'm just telling you i think you're the quality of your life is gonna enter into your ability to sustain a long-term working a plan.

And you've gone so extreme that it's going to be very difficult emotionally. You're untethered from everything in this situation. And so it's one of the problems when we work with the homeless community. It's one of the problems they face emotionally is being untethered. There's no anchor to begin to build from a solid place and that's the emotion that they feel you're doing this intentionally so you're not quote in the homeless community but you've chosen the exact same lifestyle as a as a single mom who got thrown out of her apartment is living in her house and showering at the gym and it's the exact same thing as a homeless in a homeless scenario so i i would choose to have a

a very very very very modest place to live but a place to live number one um number two i'd look for any extra jobs i can do to get my income up and then number three you don't work the baby steps out of order yeah and i mean you can find even with the room situation, you can get a roommate, you can live in a room for $300 a month. It may not be glamorous, but it's definitely better, better than being untethered. Yeah. More, more glamorous than the backseat. Yeah. And with the college conversation, Dave, he mentioned paying for college, um, with 40 to $50,000 in debt debt would you even consider that right now not right now not right now i want to get i want to get up and running and what i would do is is making 70,000

plus some extra work i'm going to plow through this 40 or 50,000 in two years and i'm going to have an emergency fund and then i'm going to save and pay cash for college as i go and do we recommend college as a long-term play absolutely if, if it applies to your career field. Generally, just going, I want to go get a degree. No, I don't recommend that just as an opportunity to play beer pong for your 18-year-old. No, thank you. But we do say, you know, if you're going into a field where the academics,

the rigor of academia, and the actual knowledge base that you come out of it with will be helpful and cause you to go forward, not just the degree, but the actual knowledge, then yeah, I would go get that knowledge. It is a barrier to entry into some things. It's a barrier to progress and other things. So yeah, I would do that. But it's not a magic pill. Like suddenly everything's going to be okay because I got a college degree. Well, and that's, I think, part of the challenge is he's making good money. And I think sometimes when people feel overwhelmed, when they feel uneasy, they kind of look at college as that auto solution. Like if I get a master's degree, then I'm going to make more money and my problems will be solved. And I've met plenty of people who went into debt to get a master's degree and they didn't make that much more money or even any more money at all, really.

So, I mean, it is good to go back to college if it's going to you get a master's degree in social work and take a pay cut in his situation right exactly so so college it's a great conversation we're big advocates for education but make sure the education has a purpose and a point and it's not a silver financial it's not a silver bullet that makes your life all good all of a sudden. That's not how it works. But, yeah, so be intelligent about that. But what I would do is go get a roommate situation, a modest apartment, an extra job. I'd get on a tight budget, and I'd work the baby steps in order.

$1,000, and then I want you to tear into these debts and start plowing your way through them. You're going to be amazed when you don't do anything. If you're willing to go so extreme as to live in your car the extreme you can do with an apartment and still get out of debt making 70 you'll be able to knock out 40 or 50 000 i mean it's 25 000 a year out of 70 and you're debt free in two years you can do this um you know you'll be done in short order a lot faster than two years probably you could be done in one year depending on how much extra you work you know, you'll be done in short order, a lot faster than two years probably. You could be done in one year depending on how much extra you work. You know, you could make an extra $25,000 and be done in one year with your income plus $25,000.

That's very possible considering you do nothing else with your life because you were going to be living in the car. And, you know, I mean, you're willing to go extreme. That's for sure. So that willingness tells us your motivation is really high, and that's a wonderful thing. You'll be able to utilize that. So, Daniel, we'll help you with this.

I want you to go through Financial Peace University as our guest. We're going to show you detail by detail, step by step, how to do this stuff, why to do this stuff in order. Your situation is not different. You need to work the this stuff in order your situation's not different you need to work the baby steps in order there's a baby step two that follows one for a reason and you're not different it is baby step one then two then three and um you know don't talk to me about inflation you're the guy that was getting ready to live in his car don't talk to me about inflation. You're the guy that was getting ready to live in his car. Don't talk to me about you've got this thing figured out.

You're the guy that was going to live in his car. Follow the stinking program, dude, and we'll show you how to do it. We'll pay for it for you. It doesn't cost you a dime. We want to help you. And call us back and tell us how you're doing. Say, I was the guy that was almost homeless. You talk me out of it.

Tell us how you are. I'll remember the call. Tell us how you're doing. If you just tell me you're Daniel and Boca, I won't remember it. I promise you. But tell me the situation. It'll come right back to me. of it. Tell us how you're doing. I'll remember the call. Tell us how you're doing. If you just tell me you're Daniel and Boca, I won't remember it. I promise you. But tell me the situation. It'll come right back to me. I promise.

I'm proud of you. I'm proud of you for being willing to sacrifice. A lot of people in our culture aren't willing to sacrifice. We're too lazy. And if you're willing to hustle and grind and willing to sacrifice, you can pull off a lot of stuff in this culture today. There's a lot of wonderful things can happen in your life. So I'm proud of you.

Good work. Good work, Christina. Well done. Well culture today. There's a lot of wonderful things can happen in your life. So I'm proud of you. Good work. Good work, Christina. Well done. Well done today. Austin Shelby. Selby is our associate producer and phone screener. Ben, Zach, Andrew, and James,

the booth dudes, are running the show in there. I am Dave Ramsey, your host. 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.

Have you been inspired to make a change with your money? Want to know where to start? Take our three-minute money quiz to get a plan you can follow. Go to ramseysolutions.com and search for Get Started to get a plan for your money.