The Ramsey Show - App - We Have $400,000 in Student Loans Debt (Hour 3)

Episode Date: March 2, 2020

Craig Groeschel, Career, Budgeting, Home Selling, Savings Tools to get you started:  Debt Calculator: http://bit.ly/2QIoSPV Insurance Coverage Checkup: http://bit.ly/2BrqEuo Complete Guide to Budgeting: http://bit.ly/2QEyonc Interview Guide: http://bit.ly/2BuGnZE Check out other podcasts in the Ramsey Network: http://bit.ly/2JgzaQR 

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. I'm Dave Ramsey, your host. Thank you for joining us. Open phones at 888-825-5225. 888-825-5225. Starting off this hour is Chris in Minnesota.

Hi, Chris. Welcome to the Dave Ramsey Show. Thank you, sir. How are you doing? Better than I deserve. What's up in your world? Well, with luck, later this week, me and my wife will be going from baby step two to baby step three. Great.

I had a question about baby step three. Okay. We get paid weekly. I should say I get paid biweekly. She gets paid biweekly, but they line up up so one of us brings in a paycheck every week. So one of our, for what we're thinking of doing, is say for the month of February here, save up our paychecks, and then come March, that would be the money we spend.

Would that be, so we're always saving the money from the month before that we earn to use on the current month. Would that be okay for one month's worth of savings? Well, maybe step three is three to six months' worth of savings in a savings account, not in your checking account. If you want to get a little bit ahead in a savings account yeah not in your checking account if you want to get a little bit ahead in your checking account that's fine i wouldn't get an entire month ahead uh get a half a month ahead it'd be fine on your checking account but then in addition to that you need an emergency fund in cash sitting in a bank account that is three to

six months of household expenses. So whatever it takes for you guys to operate times three or six. And you would go towards the sixth side, the bigger account, if the less stable your jobs are. If you're self-employed or you've got straight commission, then you'd go towards the sixth side. Or if only one of you works and the other one doesn't, then you would go towards the sixth side because you're more at risk in that situation. But no, I would not keep one month's expenses in checking. I'd keep about a half a month, and that just moves you ahead a little bit.

You've been right on the wire is where you've been while you were getting out of debt, and that's fine. If you want to back up from the wire a little bit and get yourself a half a month ahead and maintain a little bit of a balance in checking that way, that's certainly okay. I would not count that towards your emergency fund, though, because the purpose of the emergency fund is something big happens. You need some money, and that money sitting in your checking account, you know, is going to come and go based

on the time of month it is and what's going on with your cash flow there so uh you need you need a big chunk of money sitting there if you get laid off or somebody gets hurt or there's a car wreck or you need a transmission put in the car something like that and so you need that money parked over there in a rainy day fund thanks for calling mcken Mackenzie is in Illinois. Hi, Mackenzie. Welcome to the Dave Ramsey Show. Hi, thank you. So I just have a question. I am 24. I'm currently debt-free, and I have my six months in an emergency fund. Good. And I have my 401k set up as well, and I'm just trying to figure out what I should be doing with my money now, if I should increase my 401k, if I should do short-term investments,

or save for a house that I eventually would like to buy. I probably would put 15% of your income into the 401k. You're not saving any extra money in the emergency fund. Once it's there, it's there. You don't need to add to it. Then I would start a separate account that I start saving towards the house. Okay. Sounds like you've done a really good job managing the money you've got coming in.

You're probably making good money, too, is what it sounds like. What do you make? $75,000. Yeah, you're doing great for $24,000. That's awesome. So, yeah, I would set up 15% of my income going into 401K. You don't need to add anything else to the emergency fund. And then any other savings I can do would be towards my down payment fund over in another account.

Okay. Would you recommend looking at, like, maybe getting a financial investor for, or looking into more, like, investments with my money, or just keeping it in a different account for savings? Depends on how quick you're going to buy the house how quick you think you're going to buy probably not for about five years i'm relocating quite a bit for work right now so okay well yeah you could sit down with one of our smart investor pros click smart investor at dave ramsey.com we're not in that business but it's those are the people we recommend and they do stuff the way we teach you

click you click on it it drops down a whole list of them in your area you decide who you want to sit down with but they've got the heart of a teacher and they can help you pick out what you would want to do something really ultra conservative if you're going to do an investment there because you don't want the stock market to dive on you right about the time you get ready to buy yeah and if it did go down you want to make sure you're, you know, that it's not going to go down as much as the market does. So you've got something that's super conservative as a fund, and that's what I would look towards if I were doing that.

So, yeah, sit down with Smart Investor Pro. They can help you set that additional up if you want to work a little harder. If you've got five years or more to invest, I'm fine with a mutual fund investment. Generally, you're going to make money. Statistically, in the history of the market, you'll make money during that time if you pick a decent fund. Hey, thanks for the call. Elena is with us, and Elena is in New York. Hi, Elena. How are you? I'm good. How are you doing? Better than I deserve. What's up?

So I am 16 years old, and I want to know what your advice is on me buying my first car. I had to buy my own first car, but my parents are paying for my insurance. I start my minimum wage job next week, and so after that, I'll be saving pretty much everything I make because I don't have any expenses right now. Mm-hmm. Okay. So my sister is a year older than me, and she saved for a year, and she was able to save around $6,000. And she put that towards a car, and now she's paying payments on it. But I know you're wondering because I take a personal finance class in school, and I've been watching your videos for forever.

And I know you don't like doing payments on a car and that you like paying for cash. I was wondering what would be your advice for me trying to buy my first car. Well, if I had $6,000, I would buy a $6,000 car. Okay. And that way you don't have payments. I know that sounds simplistic, but that's really what it is. And the other thing I would do is think about what you can do that makes you the most

money for the hours you spend. You might be able to do better than minimum wage babysitting. A lot of babysitters are making 15, 20 bucks an hour. You know, and so, you know, I don't know. It's's not it's not like these are your career choices what you're going to do the rest of your life you're just trying to get some money together to buy a car and so i'm looking for the job that as long as it's a moral job and it's safe for you i'm looking for the thing that pays me the most if i'm in your shoes and so i would consider doing that and uh work that out and you you know, decide from there. But, you know, you can do the minimum wage if you want, but I'm going to save up and pay cash for whatever I do.

And the other thing is this. Shop around and learn about the different cars, which ones have higher insurance rates. Some of them have a higher rate of theft, and so they have a very high insurance rate. Some of them have a higher rate of theft, and so they have a very high insurance rate. Some of them have a higher rate of getting wrecked, and so that particular car might cost twice as much as another car that's the same price range to insure at your age. So make sure you investigate the insurance rates on the car you're thinking about buying as well. This is the Dave Ramsey Show. If you do this one simple thing that we all do, you are literally at risk of being hacked and someone stealing what you've worked so hard for.

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Download it today from your app store and be secure in seconds. Pastor Craig Groeschel is the founding and senior pastor of LifeChurch.tv, which is a multi-site church based out of Edmond, Oklahoma, all over the nation, arguably the largest church in America today. That place is also the home of the YouVersion Bible app. Craig and I have been friends for many years. He's a world-class pastor and leader. He will be with us at our Entree Leadership Summit coming up in May, and I've got him on the line because he has

a new book out that is absolutely revolutionary. He's had a bunch of bestsellers over the years, and this one is special. Hey, Pastor Craig, how are you? Hey, Dave. I'm doing great, man. It's always good to talk to you. You too. Dangerous prayers, because following Jesus was never meant to be safe.

So praying is inherently dangerous. Praying can be dangerous. Yeah, for far too long my prayers were way too safe, and I think you might have a lot of listeners who could be people of faith and might feel a little bit frustrated with their prayer life, feel like it's stale, maybe dormant. And one of the things I realized is that one of the best ways to pray is not just bless me, keep me safe, help me have a good day, but to really look at Scripture and pray some

dangerous prayers that move us to a place of real faith and real dependence. And so that's what I'm trying to help people do, to build their faith, praying some dangerous prayers. So what's an example of a great dangerous prayer? Well, there's three prayers that we look at in the book, Dave. And the first one is the prayer that David prayed in the Old Testament when he actually asked God to search him. And he said, search me, God, and know my heart. See if there's any anxious or offensive ways in me. In other words, point out my sins. And that's kind of a dangerous prayer to pray. If you ever want to say, God, is there something in me that's wrong? Are my motives off? Am I not treating people well? Am I disobeying or

dishonoring you in some way? Show it to me. And that's a prayer that I've prayed, and unfortunately it gets answered. There's a lot I need to hear from and change that. It's not the prayer that's dangerous, it's the answer. Yeah, I think that's probably a pretty good point. Right. Yeah, it's easy to pray, hard to hear the response. Yeah. And the other two categories are what?

Yeah, the next one is probably the one that freaks people out the most, and we actually look at two different stories back-to-back in Scripture about a woman who broke open a jar to worship Jesus, and Jesus talking about his body being broken, and in that prayer, we actually ask God to break us, maybe break our heart by what breaks his, to get to a place where we're not dependent on our own power, our own strength, our own wisdom, but we're actually broken and dependent on God. And that's the one, Dave, I think of the three that people push back on the most. Like, I don't want to be broken because it sounds like a pretty bad place to be. And it's not a fun process to go through,

but if you get on the other side of complete, where you really are dependent on God and maybe you may or may not go through something difficult, but you could be broken of your own dependence, your own will, and really get to a place where you know him in an intimate way. A lot of people would say, yeah, I wouldn't really choose to go through something like that but on the other side uh things are they're pretty special right now on the other side of brokenness yeah i think

sometimes the uh that we always think and we think of the big cataclysmic events in our lives on brokenness like when we lost everything went, I went through a period of not only going broke but being broken spiritually, like you're talking about, and it reset my whole mind on what's important, who owns what, God owns it, I don't own it. That's seared into my brain, and so I don't live in fear of other people's opinions about that. That's set. But it doesn't have to be a cancer diagnosis. It doesn't have to be going broke. It doesn't have to be the world's worst divorce. It doesn't have to be a cancer diagnosis.

It doesn't have to be going broke. It doesn't have to be the world's worst divorce. It doesn't have to be that. My experience, and we've talked about this a lot with guys my age, older than you, old men, that I'm in a group of guys and we talk about the older we get, the more mature we get, that we get broken a little bit at a time instead of those big, dramatic ones. No, for sure. And you don't have to be, you're not much older than I am, but it's, you know, the longer you live, the more you realize that being broken is not a bad thing.

If I'm a little more sensitive to needs around me, if I'm more empathetic, if I'm more vulnerable, that's not a bad thing. And, you know, you got a hold of me, I think I was 28 years of age when I started listening to you, maybe 27, and even a little brokenness there of I don't want to be in debt. I don't want to be in bondage. But you didn't have to go broke and get foreclosed on to get it. Not at all. But it's just a sense of there's something, I want something to be different in my life. I don't want to go broke and get foreclosed on to get it. Not at all. But it's just a sense of there's something.

I want something to be different in my life. I don't want to be like this anymore. And it can be big. For example, as you know, my second daughters had really chronic health issues, and we're all broken over that. And then there's other small things daily where we might have said something that was unkind to someone, and I'm broken in repentance, don't want to do that anymore. And so it's just a good place to be.

It doesn't sound fun, but it's a growing place spiritually. Pastor Greg Groeschel, my good friend, is with us this segment. The book is Dangerous Prayers. He is a New York Times bestselling author and, again, pastor arguably the largest church in America these days. You can get the book at craiggroeschel.com or anywhere books are sold. It is selling like hotcakes. It's everywhere. I would have had him on here a few weeks ago, but I've not been here. And so I got him on here as soon as I got back to have this. I always

try to have him when he has a new book because his books are absolutely incredible. Thank you. This is a little bit of a departure for you. Not exactly line up in the line of books you've done. This was something that God put on your heart, apparently. You saw a need for this. Why is this needed now? I think, Dave, there's just a real spiritual hunger in the world today,

and I think a lot of people feel stuck. They don't know what to do. I know so many people around me that would say, you know, I am a person of faith, but I just really, I'm not going anywhere. I feel stuck, and so I hope to inspire people kind of out of a comfort zone, maybe out of a spiritual rut, say, if we want to get to a different place, we really have to take a different path. You teach it all the time. And so from a spiritual standpoint is let's not play it safe. You know, you would just say, let's not manage our money the way we used to. Let's get every dollar have a name. Let's put it on paper. Let's do baby steps. Let's attack it. Let's do the same thing spiritually. Let's recognize that being a disciple of Jesus doesn't always mean that life is easy. It doesn't always mean

it goes my way. What it means is I'm surrendered. I'm available. I'm willing to be broken. I'm willing to let God stretch me, to send me, to use me, to search me, to break me. I want more of him. I want to break out of this rut, and I want to be completely available to whatever he wants to do in me and through me. It changes your posture in your relationship to him when you do this, doesn't it? Because you're saying, search me, break me, and what was the third one? The third one is send me from the Old Testament Isaiah when he experiences the holiness, the presence of God, and he's like, anywhere, anytime, I'm yours, whatever, interrupt me, send me.

I don't need to know details. I just want to be used by you. Yeah, and the great fear is that means you have to go to Africa or something, right? I mean, it's like you're going to be exiled to the desert. Or you might have to walk across the office and actually reach out to someone that you you might not want to yeah that one could be a long it could be a long journey to the next desk yeah but i mean in my case in your case um i mean we're right here in our hometown physically but that doesn't mean we're not outside our comfort zone regularly when you say send me

no yeah i think a lot of people sometimes think that the big experiences are kind of the earth-shaking ones, and I think the longer you live, sometimes you recognize the small moments of faithfulness and the small moments with people that you care that are actually the big ones. And so sending me is, I want to be available in the moment. I think one of the big things I'm recognizing, Dave, is I used to think success was something in the future, but I realize success is being faithful today. I want to be faithful right now. Send me. Pastor Craig Groeschel, the book is Dangerous Prayers. Pick it up.

Love you, man. See you in May. Hey, I can't wait, Dave. Thank you. Love you. Bye-bye. Be good. way dave thank you love you be good so We talk about it daily. Character matters. When I'm looking for team members, I'm looking for men and women who have character. People with character care. They care about the work they're doing and they care about the people around them. That's why my team uses LinkedIn Jobs to find people who care about our mission. Over 600

million members visit LinkedIn to make connections, learn and grow as professionals, and discover new job opportunities. And their profiles give you a sense of the whole person, their skills, interests, volunteer experience. With LinkedIn, you can reach candidates you can't find anywhere else so that you can get the right people for the right jobs. It's no wonder a hire is made every eight seconds on LinkedIn. Get started today with LinkedIn Jobs and get $50 off your first job post. Visit linkedin.com slash Ramsey. Terms and conditions apply. Austin is with us in North Carolina. Welcome to the Dave Ramsey Show, Austin. Hey, how you doing? Better than I deserve.

What's up? Hey, I need your advice. I'm 21, and I'm looking to buy a house. I want to see if I'm taking the right steps towards getting there and which loan I need to take. Wow. Because I have a credit score right now. And I want to cancel my credit card account to get rid of my credit score. But I'm worried if I cancel it, it won't go down to zero in time

because I've heard you talk about doing the manual underwriting. Yeah, it'll take six months to a year for it to go away from that point. When are you thinking about buying a home? I'm wanting to buy a house first of next year, 2021. Okay, so you've got a year to go, roughly. Okay, you have any debt except the credit card? No, sir. Okay, you have any debt except the credit card? No, sir. I don't have no debt on the credit card.

Okay, and you don't owe any money anywhere? No, sir. Okay, are you renting an apartment or are you living at home? Living at home right now. Okay, and your plan is to save for a year and then buy? Yes, sir. First of the year, I should no problem have a down payment. Okay. Good deal. Yeah. Well, I mean, if you close the credit card, you should be fine by the first of the year

as long as everything else is in line, and everything else would be that you've been on the job two years. Will you have been on the job two years. Will you have been on your job two years? A year and a half for the company I'm working for now. But I mean, yeah, but I'm saying by that time next year, then it'd be two and a half, right? Right. Okay. So you're fine there. You have the strong down payment and you'll be ready to go at that point. What do you do for a living?

Field technician for heavy equipment. Okay. Cool. All right. And are you dating anyone? Yes, sir. Okay. How serious are you?

Not married. Pretty serious. I might wait until after i was married to buy if you think that's going to happen in the next year or two um you make that decision but uh just you know uh old uncle dave advice sometimes a guy a single guy picking out a house for himself uh ends up being a house that she doesn't want later, and you end up moving. And it might be easier if you just did one transaction.

So would you suggest renting until that? Yeah, it wouldn't be the end of the world if you rented for six months or something. And you've got plenty of time. I mean, you've got a really early start. You're wise beyond your years at 21 you're making great decisions here you're debt free you're thinking about a house you're calling me i mean you really got your head screwed on that's cool and so um you know if you wait um six months you know you're married a little while and then you decide to save up and buy a house together, you'll make a different decision probably together than you would have made on your own.

Okay. And just... If I decide to go ahead, that wouldn't be the end of the world, though? No, it's not the end of the world. You just need to be ready that she may not want to live in that house. Yeah, I can understand that. Yeah, you may end up moving again. As long as you got that in your head, you just need to be aware of that.

It's not unusual at all because she was not involved in the decision, and so she's probably not going to be as high on that as she would have been on a house that she spoke into the particular purchase. It's probably premature. It's probably early in your relationship to start talking about all that stuff but just something to think about the point is is you're not you don't have to be in some kind of big time hurry and it's okay to rent for a little while as patience to let things fall into the right order there's nothing wrong with that at all just rent something inexpensive you won't spend a lot of money on rent.

Rent is patience. But if you buy a house at $24 instead of $23, that does not keep you from becoming wealthy, especially if you bought the proper house that you don't end up having to run and sell. Good question. All right, up next is going to be Jennifer in Illinois. Hey, Jennifer, welcome to the Dave Ramsey Show. Hi, Dave. Thanks for taking my call. Sure. My husband and I bought our house knowing that the garage needs to be torn down. There's a lot of black mold inside, the roof is crumbling, and we had planned that we would take care of this after baby step three.

But now bigger pieces have started falling off into our neighbor's yard and ours and our dog has started eating all the pieces um my husband researched the cost and calculated it would cost half of what we normally put towards our dead snowball um if we do it ourselves so what is the cost to tear it down um if we do it ourselves. So what is the cost to tear it down? If we do it ourselves, it would be $750. And that is just for the haul-off? That's for the dumpster, the permits, the material we would need to fence up that area again.

And for any tools that he has to buy, he says probably a thousand dollars max just to be on the safe side yeah and what's your household income 102 um 102 000 sorry um and we've already paid off 36 000 of our of our $64,000 debt. So we have $27,000 left in student loans. And we've been putting every dollar towards our debt. Good for you. Well done.

Well, it sounds like the thing's going to fall over if you don't knock it over. We just didn't know if we should try holding off as long as possible. I'm not sure. I mean, he doesn't have any tools? He has some of the tools he needs. It's just also he was calculating that he'd have to get some friends to come out and do it, and, you know, people sometimes don't do things for free. Oh, I thought you were going to do it yourself.

Yeah, and we were going to invite some friends to come and help if they could you know if they want to come that's fine if they don't want if they want to get paid that's not friends that's hired help okay friends are free hired help is not yeah so no i'm not i'm not paying somebody tear this down get a sledgehammer knock it down throw it into a dumpster and haul it off if you you want to do that, that's fine. So don't use this as an excuse to pay for your friends, and don't use it as an excuse to buy a bunch of dadgum tools, because I'm a tool guy, too. I can buy tools.

I've got tools in my garage. I don't even know what they do. I love tools. So, you know, it doesn't require a lot here. A hammer and some sweat and a sledgehammer, some sweat, and probably a saw and a dumpster. It's not carried away. But, yeah, I definitely would take a pause here and do it,

but I kind of think your budget might be high, but it's not the end of the world. The thing I like to do in situations like this, and here's what I'm doing to you. Okay. So let me, let me just unpack and talk about this because it's important. I do this to myself and I did it to myself for years when I was trying to change. I can figure out a reason to do crap. I want to do and hide it under this scheming, scamming logic.

It's called rationalization, right? And you're not doing that, but I think your husband may have a little bit of that snuck into this. And I'm trying to break you guys of that. I don't give a rip about the $750 or the $1,000. You're killing it. You're doing great. You make a lot of money.

You've already knocked out a bunch of debt. You're going to knock out the rest of it you're going to win but i want your mind and the way you approach the critical thinking of these problems to be changed and that's why i'm pushing back on the details like do the you know come at me with doing it on a minimalist thing i'm going to do it in a minimum way we're going to do it ourselves you know that kind of thing but then all of a sudden we're paying friends and buying tools and so that triggers my brain to go i think he may be rationalizing this stuff a little bit so just beware of that in yourself everybody you too you too uh jennifer but but all of us because i i can do this to myself i can go well i got this

really you know i can do that and then all of a sudden I beefed it up and jacked it up and beefed it up and got a bunch of stuff I wanted to do done, snuck under this thing that was fairly logical when it started. It's called rationalization. Be real careful with it, folks. It's what sneaks into our decision-making on money. This is The Dave Ramsey Show. our scripture of the day first thessalonians 5 11 therefore encourage one another and build one another up just as you are doing.

Oren Woodward said, Hey, that's pretty good. I like that. Open phones at 888-825-5225. Courtney is with us in Canada. Hi, Courtney. How are you? I'm great, Mr. Ramsey. How are you?

Better than I deserve. What's up? All right. So my husband and I started your baby steps in 2018, September of 2018. And we got to baby steps three in September of 2019. Good we got to Baby Steps 3 in September of 2019. Good. Thanks. We've been trying to follow along as closely as we can,

but it was about this point that we got kind of muddled up, and we're not really sure how to lay this out at this point. So we started then trying to put 15% into our RRSPs. That's the retirement savings accounts in Canada. Sure. And also, simultaneously, we were trying to save for a house. Now, I've just kind of stumbled upon the idea of this idea of Baby Steps 3B, and we're just wondering if we should stop the contributions to retirement to do that,

or do we continue to contribute to retirement at this point? I'm not sure. People do both. If you're not going to do the 15% and therefore throw all your money into your Baby Step 3B, your down payment fund for your house, you're going to temporarily take a break between three and four, is what we're saying, to save up for a house.

That's what we always laughingly call baby step three. If you're going to do that, don't do it for a super long time because you don't want to retire broke. So that's not like a 10-year period or something. Right, right. A couple of three years, two, three years, something like that's about the most you want to do that. So how long would you be unplugged from retirement in order to save if you did that?

Well, we're hoping to aim for about, originally we were thinking five years, but I'm not sure I want to take that long. I wouldn't. I wouldn't take five years off. I would do it for no more than about three. Okay, okay. Here's the thing. You can save for a down payment while saving the 15%.

It just obviously slows down how much you can put into the down payment fund. That's all. And that's what we were running into. I thought this was going to take us forever and a day to get something down for a house if we continue this way. So I just started kind of doing my research here. Yeah, it's a little tricky in canada it'd be nice if we had your financial peace university up here but maybe that'll come someday yeah they uh the canadian government doesn't like us using the word

university so it's been a bit of a problem since it's our brand but um because it's like they don't understand we know we don't have a college you know so but anyway uh so yeah but obviously you can get the same information uh online and you can you know you can get access to everything without going to the actual class so um but either way the point is don't be out of retirement a super super long time zach is with us in maine hi zach welcome to the dave ramsey show hi dave how are you better than i deserve what's up so i'm graduating and getting married in may and i'm working on combining my finances with my fiancee so we don't have any credit card debt or anything but combined we have 382 000 in student loan debt good lord yeah and um i'm graduating with my degree in chemical engineering and i have

a job lined up what are you gonna make she has one more year for pharmacy school. And what are you going to be making? About $70. Really? The chemical engineering degree? Okay. Well, yes. In Maine, it's not super high. I'm also working in a manufacturing plant, not using the chemical engineering degree exactly.

Oh, okay. Well, the chemical engineering degree is probably worth more than that. That's something you need to consider if you spend all this money to get a chemical engineering degree. So you're going to make $70, and she's going to make 100 to 120 depending on where she works when she gets out something like that yeah so you can make 200 and you're used to living on nothing because you were both college students so live on nothing and take 200,000 a year and throw it at $400,000. Yeah. Like no life.

Nothing. That's tough. It's not tough. You're used to living on nothing. You're a college freaking student. You don't have a life. Just continue to have no life. I know you wanted to get out, but you went $400,000 in debt, dude. Yeah. Yeah. Yeah.

Yeah. Yeah, we just realized that we did something wrong, and, I mean, it's unfortunate that, you know, we made this decision. We want to get out. We want to do the right thing, and we're going to do it, and I'm just having a hard time seeing the light at the end of the tunnel. Well, the good news is, is you do have an analytical mind, or you would not have completed this degree.

And so you have just not applied it to this subject yet, the subject of personal finance. And when you apply it to this, it's a fairly primitive set of mathematics. It is how much can I pay on the debt divided into 400? Yeah. hundred yeah so a hundred is four years which is absurd that you would spend a hundred thousand dollars on lifestyle after you've been a broke college student so i wouldn't take four years i think you ought to be out of debt in between two and three years and have absolutely no life now that's from the time that she gets out passes her bars and becomes a pharmacist yes and the good news is by the way as a pharmac out, passes her bars, and becomes a pharmacist. Yes.

And the good news is, by the way, as a pharmacist, you get the regular job, and then you work the weekends at the ER. Mm-hmm. Because they'll pay her pharmacist rates to work weekends at the ER. And this is what you do when you are broke people. You work like crazy, and you are broke people, dude. That sounds great that we can get out, though. You can broke people. You work like crazy, and you are broke people, dude. That sounds great that we can get out, though. You can get out.

It's just going to be a painful first two years of marriage, and it's going to bind you together, and you're going to have fought the dragon together, and you're going to be locked in your relationship in a beautiful, wonderful way because of the strain that you are going to impose on yourselves. Otherwise, you're going to screw around with this huge Mount Everest of debt for a decade and mess up your life. Don't do that.

Yeah. Get after it, man. Get after it. You can do that. You'll get a car later. There'll be a car waiting on the other side of this rainbow. There'll be a house waiting on the other side of this rainbow. There'll be a vacation waiting on the other side of this rainbow there'll be a house waiting on the other side of this rainbow there'll be a vacation waiting on the other side of this rainbow

okay so you you guys got good degrees that's the good news you didn't get a degree in left-handed puppetry right no you got marketable degrees where you can both make six figures fairly quickly early in your career and so that's the only you know so the bad news is you've got a big hole. The good news is you're going to have a really nice shovel. Okay. And I'll help you. I'm going to give you a financial peace university, our nine-week class and a one-year membership.

I'm going to pay for the whole thing, give it to you as a wedding gift right now. The two of you start taking the class right now together, and let's start talking about this because I'll tell you what, you have a strain coming upon your marriage you're either going to have the strain of this debt or the strain of paying off this debt that you two join hands and choose to fight the dragon together choose well they choose choose the strain don't let it happen to you don't be a victim of the strain so you can do this, man. You hold on and we'll, Kelly will pick up, we'll get you signed up for Financial Peace University

and congratulations on your upcoming marriage. You can do this stuff. Dude, don't be one of these people you see on TV that have lost their brain and they act waiting on Bernie to clean up their mess, okay? You go clean up your mess. You have a wonderful career in front of you, both of you. Use it to build a wonderful life, and that's what I want for you. So, hey, hold on again. Kelly will pick up, and we'll get you guys signed up. Moms and dads, get Anthony O'Neill's book, Debt-Free Degree. Show your kids how to not do that.

You owe your kids that. You don't have to have any money. You just have to care about your kids. You can help your kids. Get debt-free degree and show them how to not do that. Wouldn't it be better if they came out with both of those degrees with no debt? They could have done it. I could have shown them how. But they're there now, and I can show them how to get out of debt, too. So we're going to help you wherever you are, boys and girls. That's who we are. Hey, thanks for joining us today. That puts us out of the day.

Ramsey's showing the books. 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. Hey, it's Blake Thompson, Senior Executive Producer for the show. You know, you can listen or watch anywhere with the Dave Ramsey Show app on your smartphone. Catch the full show or watch the highlights and check out Dave's upcoming guests.

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