The Ramsey Show - App - What Should You Do Next? (Hour 2)

Episode Date: November 16, 2023

🎵 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. I am Ramsey Personality, Rachel Cruz, hosting this hour with Ramsey Personality and best-selling author Dr. John Deloney. It's a free call anywhere in the country at 888-825-5225. All right, let's start off with Amanda in Fort Lauderdale, Florida. Hey, Amanda, are you guys getting like crazy rain down there?

Yeah, yeah, that's so crazy. Hi, guys. Good afternoon. Thank you so much for taking my call. Yeah, thanks for calling. I literally just saw that on the news. I. That's so crazy. Hi guys. Good afternoon. Thank you so much for taking my call. Yeah. Thanks for calling. I literally just saw that on the news. I think it was last night and it was like, you guys are like getting flooded and stuff. It's crazy. It's been wild. I live in Fort Lauderdale and it happens quite often up here. Actually, all the schools got canceled, but I work in Miami-Dade. So I actually had to travel to work today. Oh my gosh. Be

careful. Be safe. I'm so sorry. Yeah, I'm okay though. I got, I got through it all. The flooding wasn't too bad getting here. Okay, good. Good, good, good. How can we help? So, um, I am, I am ready to attack my student loans. I have $76,000 in student loans, unfortunately, but, um, I'm ready to attack them. I'm a new listener for you guys. And so I'm ready for that gazelle intensity, but I have a car lease sitting in my way, and I wanted your advice today as to kind of how to get out of it. So here's my numbers for you guys. I have the $76,000 in student loans.

I have $19,000 in savings. I have $30K in my 401K. I make about $3,700 a month, and I leased a Camry three years ago. It's a $28,000 car. And my lease is up in, I think about five days actually. Oh wow. It's almost done. Okay. Yeah. So I have a couple options here. I can, I can pay the car off with the money that I have in my savings account, but that would pretty much put me almost down to zero. Yeah.

And keep the car pretty much for the rest of its life, right? Which is going to be the rest of your life because Camrys go on for eternity. Right. That's what I've heard. So I was excited about that. But then my secondary option is to get out of that car and just buy, you know, what you guys call a little banger, just something under 10,000. And then the rest of my savings, I go ahead and put that towards my student loans and then keep paying those off. What's the payoff amount? Yeah, what's the payoff? It's $18,000. Okay, how much could you sell it for?

Do you know? Did you Kelly Blue Book it, see its value? Yeah, yeah. It looks to be worth from like $24,000 to $25,000. Okay. And I have $11,000 into it. Yeah, you have $11,000 into it. You could buy it at $18,000.

And you like it? I do. It's a great car. I think I would buy it. I know. There's a part of me that would just go ahead and just do it because it still has great value. I mean, like for what you could sell it for, you could buy it.

Yeah. I almost would buy it and then could you turn around could sell it for. You could buy, yeah. I almost would buy it and then could you turn around and sell it? I could, yeah, I could. I guess I'd make a little bit of money off of it and then I can use that to help buy a cheaper car. Yeah. You tell me, you drive from Fort Lauderdale to Miami-Dade.

How far does that drive every day? Yeah, it's about 35 miles. Actually, I'm an athletic trainer in high school. You shouted out an AP earlier. That was awesome. But I'm right. Hey, hold on. I'm right, aren't I? Yeah, yeah, yeah. So I drive kind of far. It's, you know, 40, 45 minute drive to work and home. Yeah. Okay. Yeah. I mean, there's a part yeah i mean i'm thinking turn around and sell it buy it out sell it you'll bank 6k put some of your 19 000 with that and go get a used toyota camry and or whatever it may be um because you could actually make some of that money back which is great um but i'm also not mad at you. If you go just pay cashless,

you've driven it, you love it, it works for you. You'll have this car for the next decade if you take care of it. And I wouldn't be mad at that either. Okay. And then just go after my student loans with, you know,

I'm looking into getting another job to really supplement my income to try to attack that 76 because I know it's a big amount for one person. One weird thing that I've heard people do when they have a commute like you have is to potentially do Lyft or Uber on the way to work and on the way home. Oh. And so you're already driving this 30 miles,

and you might get somebody to the airport and back, or you might be able to leave 30 minutes early and end up not adding a lot to your life time-wise, but you can knock out some drives that way. Yeah, because you're making probably, is it what, $36,000, $37,000 a year? Is that what you said? $3,500 a month? I make $3,700 a month. My pay is kind of weird because I do get stipends twice a year, but I don't really count that into my salary because I don't get it every two weeks. Right.

Okay, so that's your take on pay. So, yeah, you're probably at about $4,500 annually. So, yeah, I would up your income, though, Amanda, because you're going to have to attack this $7,600 pretty aggressively. So if there's things that you can do at night, whether it's something even creative, like what John was saying with Uber, cutting lifestyle.

Do Saturday and Sunday coaching. I mean, for these kids who love, like private lessons for these kids who are going to be NFL stars someday or ice skating stars someday. I actually am looking into an online professor job because I have my master's degree. Perfect.

Oh, cool. That'd be incredible. master's degree. Perfect. Oh, cool. Perfect. That'd be incredible. That's awesome. Yeah, that's great. So great. Oh, well, we're excited for you, Amanda. I think you have the right gumption in your voice.

I feel like we can hear people's tone even in their call, and you can tell the people that, like, okay, I'm ready. I'm ready. I'm ready. I'm ready. I'm ready. So, yep, that's awesome. Thanks.

Thanks for the call, Amanda. Up next, we have Lloyd in Boise. Hey, Lloyd, welcome to the show. Hi. So I'm calling in because I'm trying to figure out the best decision to make. Basically, my wife and I were about to pay off our house. We have like thirty eight thousand left on it and we have enough in the bank. We're just saving to, so our emergency fund doesn't, fund doesn't just tank out. So, uh, we'll have it paid off in like two or three months, something like that. Um, once I get the house paid off, um, I'm trying to look at some options. So my employer, they will do, they have a 401k and they have Roth and they both, I can do 15% into.

That's a lot. 30% is a lot to take out of my take home pay. What we're wanting to do is save for our next house because I don't want to have any more loans, basically. And so I'm thinking it'll take two or three years to come up with 150, basically. So I'm wanting to know, should we invest? I know I want to invest in the retirement account. I don't know if I should invest now, but I'm wondering if I should invest into just a mutual fund that we can then take out

two, three years from now. For the house specifically? Yeah, for the house specifically, or if we should just put it into savings. Yeah, if it's going to be that short term, if you're really going to use the money in two years, I think a good high yield savings is a great option just to put it for short term. I don't know if I would put it in the market for just two years. I just feel like it's kind of volatile.

The market, you really want to write it out. I mean, you could do like a Vanguard account. That'd be in the S&P, like an index fund. But I don't even know if I would do that, Lloyd. For two years, I probably would just let it sit in a high yield. I'm doing the exact thing and I'm putting high yield. Yeah, so that's what I mean. That's if I would do that, Lloyd. For two years, I probably would just let it sit in a high yield. I'm doing the exact thing and I'm putting high yield. Yeah. So that's what, I mean, that's what I would do just to give you some options. You're

not trying to time the market or something weird. If you need the money and it is a dip and you're having to kind of figure it out, it's just nice just to have the cash. If it was five years or something, four or five years, we could make, we could talk about something different. But for you guys, yeah, if it's one to two years, I would just do a high yield savings to put to save for the next house, which is is exciting thanks for the call welcome back to the ramsey show uh john this article on right well it wasn't an article it was a dad on reddit and i'm going to assume it was real. I'm assuming it's real.

Of course, of course. Let's just pretend. It's uppeople.com. Dad on Reddit. Oh, they did. Okay, so they actually probably confirmed that. That's good. On my show, we have a segment called, Am I the Problem? Right?

And so this is kind of a great, Am I the Problem? Is this me? Right? Am I the issue here? Am I what's wrong here? Go for it. So a dad and his daughter are no longer speaking after he refused to give her thousands of dollars for her wedding

according to the post on reddit the dad who remains anonymous shared that his daughter asked him for two hundred thousand dollars to plan her dream destination wedding in new zealand so that's not thousands of dollars hundreds of thousands of dollars not tens of thousands hundreds of thousands my daughter is getting married and wishes to have a destination wedding and i told her no my wife feels like i should do it because we can afford it but i find it to be pointless showing off wealth now my daughter's not speaking to me nor is my wife oh my gosh oh my gosh which got me thinking should i bite the bullet and essentially burn the money and alienate my family members to make my daughter's

dream wedding a reality it has over 4 000 comments there on the situation on reddit oh man what do you think man okay the only like two percent of me that would be like all right come on dad as if he was a billionaire and it was 0.001% of it, you know, and he's just like, I don't want to, I would not, not speak to him,

but I would be like, come on down. But that is, that is 0.001% of the population that that would even be him. So I'm assuming that's probably not him. I don't think, I don't know if a billionaire would be on Reddit talking about this. Well,

but even like, so I think about like my kids and i'm saying even if you're a billionaire your daughter should not not speak to you because of this either of course but i could see it being frustrating i'm like dad you have billions of dollars but but i could even see it the other way where he's saying i i don't want to if i have a billion dollars i don't want to flaunt my wealth in the face of my other family members that can't afford to come on this trip yes right can Can't afford to fly to New Zealand and spend a week. No, it's insane. It's insane.

Dude, I am team dad 1000%. Because that means $200,000. $200,000. And you know who the real villain here in this is? The mom. Mom.

Come on, mom. I think. And the bratty daughter. Could you imagine not speaking to your dad because he didn't give you $200,000? That's where I'm like, they have to be somewhat level of something, right? They have to have some level of money for this to even be a-

He said, I can afford it. To even be a- But it's a pointless showing of wealth. Yeah. This is just me waving a flag around the world that look how rich I am. Okay, here. I'm going to continue to play devil's advocate because we all know the common sense response to this is what everyone is thinking.

It's nonsense. That's insane. That's insane. Correct. Would it be at all understandable? Again, the whole not speaking thing I don't like. But would it be weird if he like, well, it's his money, so I guess he can do it. I'm just saying like if he flaunts and he does whatever he wants and he's like, nope,

not going to help, not going to, like, could there be frustration if he's like, I'm not going to flaunt my wealth? And she's like, dad, what are you kidding me? Look at you. You have a, you have a $200,000 watch on your wrist and you have a whatever, whatever, whatever. You know what I'm saying? Yeah, I get that. But it says down here further, I told her I would pay pay for the way i'm not saying this is her situation i

don't think but he said i told her i would pay for it i never agreed to pay for destination so it sounds like she came to him and said daddy are you gonna pay for my wedding and he goes i love you baby you got it and mom was like yay and they got together and they're like hey let's i know we could do let's go to new zealand and okay so do you think it's a different story if he says i'm going to give you a two hundred thousand dollar budget and she's like perfect i'm going to take that money and go to new zealand for my destination wedding at that point she can go wherever she wants and then he says no you're not you can't that's right yes i that's a different story if you ask me yeah yeah yeah and i'm trying to figure out all the scenarios

because it's on reddit and so they're like how many angles can we find out of this story you're you're i think you're being very, very generous. No, I'm just playing devil's advocate. But man, yeah. And he says, tomorrow I'm going to make phone calls and price a wedding in New York. It'd be for about 100 to 200 people.

Oh, yeah. Which is still going to be 50 to 75 or 100 grand. Oh, easy. Oh, yeah, yeah, yeah. Oh, yeah. Oh, yeah. For sure. For sure.

I just am like i guess there are people out there that would not speak to their dad or their parent and their wife and his wife because they didn't get what they wanted out of it right like i mean for me it just all works together it's like if you're gonna ask for a two hundred thousand dollar destination new zealand wedding that's gonna alienate your friends and family and just be a way to show the world. Look at my Instagram photos. Yes, that's probably also a family where if you don't get your

way, you don't talk to dad and your mom goes. Yeah, and she doesn't talk to husband either. Yeah, and a guy who's trying to do the right thing and be a good steward of his resources and also not alienate family and friends everyone's gonna have to buy plane tickets to go to new zealand that's what that's what he says here

yes so it's not like you're paying for everyone to go you're making them pay an insane amount of money to cut yeah lots of principles here y'all lots of principles here's principle number one don't be an idiot don't be principle number two to the daughter and the wife don't be like i'm taking my ball and going home come on dude well i should try that out on dave you should like hey dad i'm not gonna speak to you no i think it'd be cool if you got him to say like hey he's in on something hey dave me and winston are like struggling can would you help us out sure rachel anything okay cool here's what we're struggling on um we're gonna do christmas on the moon and uh it's four hundred thousand

dollars and you can for sure afford it and if you can't i'm never if you're not gonna do that i'm done i'm done i done. I'm done here. Just the way you say it. I'm done. Oh, my gosh. My father is ridiculous. I wanted to come in on a zebra in New Zealand. So sad. All right.

Austin, maybe you can save us and put us back into reality. He can't. Austin from Kansas City, you're up next. Thanks for calling. Hi. Thanks for taking my call. Absolutely. Would you not speak to your parents, Austin

If they refused to give you a $200,000 wedding? I think I probably would speak to them I think that's good We're on the right track How can we help, Austin? Yeah So my partner is struggling with some finances And we're trying our best to get her out of it

She's about $45,000 in student loan debt struggling with some finances and we're trying our best to get her out of it. She's about $45,000 in student loan debt and has about 6,000 in credit card debt. And while we've been chipping away at it, I guess, kind of, and we're, one, I guess, wondering the best way to do that. And two, she's in a career that it's kind of, you kind of need to go to a master's degree for. And we're wondering if she should just go into more debt to get the master's degree or if she should work a little bit first and get it paid down. Yeah.

What is she doing? What's her career? It's psychology. Okay. What does she want to do? Some sort of probably social work, something that you would need a master's degree most likely okay how old are you guys i don't think she totally knows yet either we're i'm 24 she's 23 okay cool i would recommend that she get a job as a residence hall director at a university

and move in to a residence hall and they will pay her housing and they will also pay her room and board or some degree they'll give her a salary and they'll get a significant discount on graduate school and she wants to be a social worker or a mental health professional she'll get to live with a room with a building full of people of all different places from all different walks of life with all different types of challenges and she will learn what caseloads are. She'll learn what going to the hospital is. She'll learn what suicidal ideation is. She'll learn it all.

And they'll pay for it. That's what I would recommend if she was my friend. That's what I'd tell her to do. Okay. Ta-da. Do not, do not, do not borrow money to go be... Because she's going to end up in six figures of debt, Austin, not knowing what she wants to do,

possibly working at a job, making 45 a year. I mean, the ROI doesn't make sense. And the fact that she doesn't know what she wants to do. I wouldn't go get a master's while I'm just buying time and waiting. I would go get real life experience. If she's really serious about it, I would do exactly what John is saying, which may make her very uncomfortable because it's not an ideal in that scenario, right? You're not just living the life you want and do whatever you're working you're living yeah and you're working um but austin too i would be i would be um not cautious maybe a strong don't pay her debt off if you're

not married to her don't but yeah no don't do that and also making sure that she's aware of why she's six thousand dollars in credit card debt and why debt is still an option for her to go in to as well so there's some of these and why debt is still an option for her to go into as well. So there's some of these things and you may want it more for her, Austin, than she wants for herself. So these are conversations you guys just need to have and be thinking about. But no, do not go deeper into debt for a master's degree on something we don't know what we want to do. And don't go into that period. So there's some sacrifices there on a situation you can do with John laid out. And that's what we would recommend. Thanks for the call.

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Oh, yeah. I love it. The Delonys like to focus on gratitude for a minute. Oh, that's nice. Unlike you guys. You don't want joy. Oh, here we go. And peace.

Wow. No, we like to just say thank you to the world before we just like, gimme, gimme, gimme. And jingle bells. Do you like Little drummer boy The worst song ever written In the history of humanity Love it Yep

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Can you hear what I hear? Oh, that's a good song. Do you hear what I hear? That's what I was thinking. Okay. Speaking of Christmas... But a song where the main instrument's a snare drum? It's never going to work. Never good.

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So, again again any meaningful gift to give this christmas some gift christmas gift ideas go to ramsay solutions.com store and check out our sale up next we have lucy oh over the pond in london england she's in the sky with diamonds what's up lucy lucy oh hi there Thank you so much for taking the time to talk to me. I am so glad. What time is it over there right now? It's about 20 to 9. Oh, okay.

So it's an evening listen right now for you, Lucy. So glad that you called in. How can we help? So I initially thought I needed guidance on money advice and going to a long and tricky divorce. But I think, and it has been a long time trying to get divorced and arguing and just, yeah, it's kind of unraveled me. But I think what, I'm sorry, my throat is like, my heart isn't like my throat. No, you're good. Youed me. But I think what I'm saying is like, my heart is in my throat. No, you're good.

You're good. You're good. But I think what I actually need guidance with is how to make, have more confidence with decisions to know that however the divorce works out, I'll be okay. Sure. Oh, man. I'm so sorry that you're going through this. What are the arguments about?

Oh, gosh. The divorce settlement. Well, everything, really. But he told me he wanted a divorce two years ago, and we have been back and forward for two years. Um, we did go through, and I don't know if you have the same thing,

mediation. Sure. Um, yeah, it's non legally binding. And we went through a process. We, we came to a decision at the start of the year.

We came to a compromise position and he's like upturned overturned that now he wants everything different um and he's become quite well i've seen a different side to him you know very controlling and he would bully it turns out so do you have you have an attorney or a barrister do you have somebody representing you right now i had a solicitor. I was struggling with the legal costs. It was more than my take-home pay. And we weren't making any progress. So I basically, the advice I had from my solicitor was, just like my lawyer, just, you know, go to court. Because what I think we're arguing about, the law is on my side more. Sure.

But I don't know. It's mostly his pensions we're having. He's really frustrated about it. He's been in the military for a long time. And he has a very good pension. I followed him around like an idiot. Yeah, you gave up your life and you made sure his bills were paid and his clothes were cleaned

and his house was done. And so you were a... His kids were away. That's right. You were a co-contributor to that house. 14 times in 15 years. Yes. So my career is in the draft.

Of course. And so whenever you ask the question, like I just need to think about the emotional part of, am I going to be okay? There's a math problem there. Like, am I going to be okay financially? Will I be able to pay my bills? Right?

And so it's easy for me to say here, all the way on the other side of the world, in a home right now that has a stable marriage but i tell my the the women that i talk to all the time please if you can don't let a loud mouth goofball on the other side let the court work for you as best as it can okay you're entitled to that that's the law of the land. And you get, like you said, you gave up everything to co-create this house with him. And so a lot of people will file for divorce thinking, oh, I can just pretend that didn't happen. And they imagine their life

financially, socially, they imagine their life is the exact same, just you're not in it. And that's just not how that works. So I would implore you to not walk away from it, but to go to court. I don't exactly know the divorce proceedings in your court system in England, but I would really hope you would do that and take care of yourself, not just the exhausted you right now, but the you five years and 10 years and 20 years from now. Okay. That's number one number two it is surreal to be sitting in a room with somebody or in a building especially if you're

in mediation and they're going back and forth back and forth you you created a home together y'all created kids together y'all held each other as you held your newborn and suddenly this person's going to war against you because exactly and so i want you to here's how i get through those moments i know my limitations and my limitations are this i can't i don't make rational choices when i do that by myself. When I get really emotional, I don't. So I always have people that walk alongside me. I even use this language. I outsource that in those moments. And I've got a couple of men that I trust that walk with me and I say, hey, is this a good deal? Because my wife really wants to buy this house. I don't feel good about it. And they'll say, John, buy the house. And so I trust them. Or they'll say, dude, I love your wife too, but don't buy that house.

And I trust them. And so I would tell you, you have people that you pay. You've got professionals that do this. You've got the court system. I would get one or two girlfriends that you can trust, that you can say everything to, all the scary things you're feeling, all that stuff. So your body knows you're not doing this alone. And it's not going to make the math problem any easier. It's not going to make the divorce any less surreal, but your body will have a little bit more peace because it knows you're going through this thing not by yourself. That makes sense.

Is that fair? Do you have that, Lucy? Yeah, definitely. Do you have some good friends in your life? I do have some friends they're not local um i do have like friendly people local but um do you have a couple of friendly locals that you could say hey um i want to take you to coffee or to tea if you're over if you're over the pond and let's go get some tea and and i yeah, yeah. A cup of tea, yeah. And I need someone to walk with me through a really heavy season.

Would you be willing to do that for me? I feel, I just feel such a burden. Because it's been going on for so long. To like be just this emotional wreck all the time. I do have a couple of really good friends. Give them, hey listen, listen. I'm going to say this as directly as I can, honey. You are not a burden. Let

them love you. Let them love you. And if they don't want to, let them have the opportunity to say, I really don't want to love you like that right now. One of the greatest gifts, one of the greatest honors I feel, and I know Rachel's the same way,

is when somebody that we care about and love reaches out and says, can you help me? Golly, dude, there are few honors more powerful than that. But reach out and talk to somebody. And yes, I think you've got to go to court. You've been messing around on the edges with this for two years. You've been trying to do the right thing, and he has proven that he is not interested in doing the right thing. He's interested in beating you, defeating you. We're done with that. We're

going to get the courts involved so we can get this thing settled and moved on. You're not a burden, my friend. Welcome back to The Ramsey Show I'm Rachel Cruz hosting this hour with Dr. John Deloney So it's a free call anywhere in the country at 888-825-5225 Up next we have Albert in San Antonio, Texas Hey Albert, welcome to the show Thank you, thank you for having me Absolutely, how can we help?

Yes, my wife retired this past year And I'm probably going to retire in about another year. And we have about $1.3 million, $1.4 million in investments. Nice. Hey, Albert, can you be here, Trevor? Can you speak right into your phone for me? Yes. Is that better? Much better. Yeah. Thank you. Okay. Yes. My name is Albert. My wife retired last year last year and i'm gonna retire in about a year we have about one 1.3 in investments we're debt free including the house amazing uh yeah so but uh

we've kind of been normal we had car payments up till about two years ago two car payments but we finally we did that gate and paid up but all our definitely will be able to the cars at the house so we got rid of that in the last two years. But we're talking to a financial advisor right now to see what's best. We have most of it in a 401k and some of it in a new lease and some of it in stock. But he's thinking about just taking all of it and just putting it in a Roth IRA and just giving him the full amount. I was wondering if that's a safe idea or is that a good idea

or should I be more to the first slide? Do you guys have a Roth already or just the 401k? Just 401k. We're thinking about putting it all to a Roth. Switching it all to the Roth. What would the tax implications be, did they tell you?

Because of its... They didn't tell us. Since we're going to put it all, what would the tax implications be? Did they tell you? Because if it's... No, they didn't tell us. Since we're going to put it on, we don't have to pay any taxes on it because we'll pull it out of 4K and just put it on back at your Roth. And roll it to the Roth, right. But when you withdraw, though,

and you move it to the Roth, usually if it's not a traditional IRA, there's going to be taxes that's paid. Well, they usually charge a fee. I know they charge a fee people but since we're here to move a million they're waiving the fee they didn't say that we have to pay the taxes okay uh this is a lot of money albert and so this is why i'm just cautious of just giving you a two minute radio answer because this is your this is y'all's retirement that you're that you're

talking about here uh how did you find your financial advisor? I'm just curious. It's the same person that a few other people at work use. As an HR, they've been using this one person. It's a large brand. Here's what I don't like about it. And I would tell you, when you're talking about diversification, I can't tell if there's one question that is, should I move all of this and begin to do it back to a Roth and roll it that way? That's one question. The other question was, you've got an annuity over here and

some stocks over here. I would do my best to get out of those. So that isn't the diversification I'm looking for. The diversification would come inside of your retirement funds, right? So those are two different questions. Here's my underlying problem with the person you've picked. They're treating you like you're dumb and they're saying, just give me all of your money. I'll take care of it. And the reason I don't like that is A, I'm not dumb. I just don't know about this particular thing and b i want someone with the heart of a teacher who if they're going to move something or do something they're going to explain why so my financial advisor will call me and say hey i want to recommend that we move this

particular fund over to this fund and here's why and here's the impact on you it's your money it's your call i'll support whatever you want to do. That's different than, ah, just give it to me. I'll handle it. Yeah, did they... They kind of explained it to me that they're going to invest and it's going to be so many,

you know, whatever they invest, they show me, this is where we're going to put your money at. We're going to put it in 50% here, 50% here, you know. Yeah, but did they tell you why? Different mutual funds?

Was it mutual funds? I don't think mutual funds was one of them okay so what we recommend when it comes to retirement specifically are four types of mutual funds so there's internet and a growth aggressive growth growth and income and international so what john's saying is right that with inside of that roth inside the 401k that you have, the way that your money's divided up is diversifying within different types of mutual funds. And so that's what we teach at Ramsey. So that's why I almost would just recommend, Albert, that you, if you hang on the line, Austin will pick up and help get you in contact with one

of our smart investor pros. Because I would just want a second opinion on all of this because I... Something doesn't smell right. Yeah. And you guys then at that point would have to do a yeah it would have to be a backdoor Roth because of the amount because you guys don't qualify for a traditional Roth IRA I don't know if they want to do traditional and then I mean like I yeah I honestly Albert I just feel comfortable you sitting down with somebody getting a second opinion because if they're asking for all of this money i just want to make sure that i have two to three to four options that then you and your wife can sit down and look versus just going to this one guy because two other friends you know went to him so these

are big decisions and again the tax implications and all of this is really big too what you pull out what you roll things over to now if you roll it over to a traditional ira at that point we do tell people to do that when they leave their jobs to move their 401k over i mean there's different things like that the tax yeah but again i would just double double check on all of that because i don't want you hit with a huge tax bill and not expecting it and by the way just so people listening know rachel uses smart investor pro i use smart investor pro day like this is just what we do with our our family's money and so it's not like it's uh we all drive hondas and we're telling you to drive a Toyota. This is what we do with our money too. Absolutely. Absolutely. Thanks for the call, Albert.

Up next, we have Antoinette in Sacramento, California. Welcome to the show. Hello. Thank you so much for calling. How can we help? I, me and my husband are at the end of paying off the remaining of our debt. And I just kind of want some advice on how to move forward because we have four homes and we're kind of friendly banter about which home should we pay off first, which way should we move. And so I just kind of wanted some advice on what you guys think. Are these like homes that you guys just live in? Are they rentals?

What are they? So we have one primary home and three rentals. And three rentals. Okay. Okay. How much is owed on the three rentals? Okay. So on the first rent, well, I mean, it doesn't matter.

So my husband came to the marriage. We got married two years ago. So we just combined it we just got together a year ago and we combined all of our stuff this is why we're going back and forth about the home awesome yeah so on my home on my home that i came into the marriage with um i have 296,000 left on it and that's here in california okay how much would that be worth now? Yes. So my home currently is worth $631,000. Whoa. Nice. Okay. Yeah. On his home in North Carolina, he has one that's worth a hundred, or sorry, that he owes a hundred and, or we owe $198,000 on.

And that home currently is worth $298,000. Okay. And then on the second, on the third home in North Carolina also, we owe $135,000 on that one. And that home is currently worth $282,000. $282,000. Okay. Where are y'all living? Are y'all in Sacramento? We're living in Cal, yes, yes.

And is that where your house is? The first one that you're talking about? That is where, yes. And then the home that we bought last year that we're living in right now is also here. Okay, perfect. Okay. I could probably tell you what I would do. I would sell both in North Carolina. I don't want to be alone.

Can I tell you the ties first? We have three children. I have one child. He has two children. And both of us, like I bought my home for my son for him later. And he bought his two homes, one for each of his daughters. So that's kind of where our emotional ties are. Like we really don't want to sell our home. I know, but you can't afford them.

We can't afford them? No. You didn't buy them. You took out mortgages on them. You wrote a note so the bank would give them. We have renters living in them. Do what? The renters are paying for it in its entirety.

None of our money goes into the home. I'm sorry, go ahead. You have a chance to start this new marriage completely free. No house payment. No payments to anybody in the world. No stress. Let me ask you this. Would y'all

just decide to buy a rental property in maryland and and manage it that way no and are your kids going to be moving to north carolina his two daughters are in north they do live in north carolina and my son lives in california with us are they staying in those homes when they get older probably okay here That's the word I'm thinking. Can I tell you, hey, oh shoot, we're out of time. Here's the thing. Your heart in it is so good, Antoinette. So good. But the way that it's being progressed, you're putting these expectations on your kids

that they're going to want this home versus saying, hey, we have $200,000 to help you with your down payment or whatever, whatever. Instead of a house, we actually have cash to help you. Maybe you look into something like that versus forcing these homes on them that you guys, to John's point, are continuing to be long distance landlords in. And it's not, I don't like it. So I would sell the two in North Carolina. I'd pay off the one in California. You guys ride off into the sunset with some great money and houses and figure out

how to help your kids after that. This is The Ramsey Show.