The Ramsey Show - App - When Life Returns, It's Going to Be Better (Hour 3)

Episode Date: May 13, 2020

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Music 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.

You jump in, we'll talk about your life and your money. It's a free call at 888-825-5225. That's 888-825-5225. John is with us in Kentucky. Hey, John, welcome to the Dave Ramsey Show. Hey, Dave. Hey, Rachel. Thanks for taking my call. Sure. Sure. Rachel stepped out. It's just me, brother. How can I help? Okay. Well, I've inherited $60,000 from my father's estate. Sadly, he passed away last year.

But my question is, what is the best route I can take to get my money to start working for me? I'm 20 years old. I just turned 20. I'm about to finish my associates. I have a low monthly expense, and I have zero debt. Good for you. I'm sorry your dad passed so young. That's awful, man.

Yes, sir. Thank you. Wow. So what's your associates in? Right now it's associates in liberal arts. It's going to set me up to get a major in a business degree or a marketing degree if that's what I choose. Okay. So you're heading off to a four-year school is your plan? Right now, I'm not too sure if that's what I want to do actually since I don't have a college

of fund. I'm paying for my own education like many other people. So right now, I'm just trying to see what is the best way I can fit in my life. Gotcha. Okay. Well, a business degree, a marketing degree, for instance, from the University of Kentucky, what city are you in? I live about 30 minutes out of Louisville in the Grange. Okay. All right. And, of course, there's the University of Louisville as well. But, I mean, a marketing degree, a business degree from a major state university

in Kentucky would yield you some good results on your income. Okay? As a matter of fact, the difference in your income with that degree versus not having that degree, assuming you are a hardworking guy who has other attributes that make you employable other than just a degree. But the knowledge from the degree should make you make more money as a return on your investment, meaning you took some of this money, you could put it in an investment, or you could invest it into an education.

And the return on education is greater than mutual funds or real estate. And I'm a fan of real estate. I'm a fan of mutual funds, but I'm a bigger fan of usable education. And so if that's the track you wanted to go on, you said, I'm 20, I'm going to finish my associates, I'm going to transfer those credits into a state school, and therefore I've got two years left, and I'm going to use that $60,000 to complete those two years completely debt-free. A, I think that'd make your dad proud.

B, I think you're going to get a better return on the $60,000 doing that with a business degree, a marketing degree, than you will investing it in mutual funds and making, you know, 8% to 15%, whatever the rate is on those couple of years as far as the stock market rate of return goes. So in other words, that sets your life up better than some other uses of the money. If you were my son, I would encourage you to complete an education that's usable in an area that you have some interest in and some passion in. And so you brought up business degree, marketing degree, so I'm going to go with that. And I, you know, I would think that that would make your dad proud.

I would think that that would set you up for the best thing. Now, you've got to be careful. You've got to not spend more than that. We're not going into debt. We're not going to rent a super expensive place because sixty thousand is not a lot of money for two years um right and so you got to be very careful with that money and you know you may need a little ten thousand dollar car or something to get you through this time if you don't have a car some stuff like that but if um if you came out with

uh five or ten thousand dollars and a debt-free degree two years from now and that's what this money was used for that would not be a bad thing at all and I'm a proponent of degrees I'm a proponent of not for everyone but certainly for someone that has the the capacity to do this which you obviously do and certainly for someone that has the desire to do this, which you obviously do, and certainly for someone that has the desire to do this, which you obviously do. And so it's money well spent. Now, the problem we've got is that people overpay for degrees going to famous schools that do not give them a return on investment over where they went to a state school, or we have people going and getting degrees in ridiculous fields of study

that have absolutely no marketplace application. And so you've got people walking around with a degree in left-handed puppetry, as Rachel says, and that's of no use at all. And that's a waste of money in terms of a return on investment. Now, maybe your mind was expanded, your horizons were lifted, your attitude is better because of your left-handed puppetry degree, but you will not feed your children with that. You will not be a blessing to your spouse and your household income with that

and that kind of a thing. So that's what you're facing. And you do whatever you want to do, but, you know, you can put it in mutual funds and go to work if you want to. That's okay. Buy a house with a big down payment once you get a job and go ahead and get into the workforce if that's the direction you want to go. But your best rate of return is education. And I think that's, folks, by the way, that's the argument that's out there is people throw the baby out with the bathwater. Because the student loan debacle out there, because we the people are idiots

and we loan 18-year-olds $200,000 to get a degree in something that doesn't matter from a place they shouldn't be going to school because they're broke people, we the people, government-insured student loans, because we've been doing that, then we want to say, oh, well, college is not worth it. It's the college's fault. Colleges are too expensive. Well, they're too expensive because they've had this endless supply of money flowing at them. If you quit making student loans, America, the cost of education would go down. Yeah, but everybody couldn't go to school. Everybody doesn't need to go to school. And we've proven that by some of the people who did go.

And some of the stupid butt things they did when they did go. And so is it the only path to success? Absolutely not. Absolutely not. Lots of people are successful that don't have college degrees. But I'm a proponent of education. I find the more I know about something, the better I am at it. Well, duh. You know, if you want to learn, I mean, and you can learn from a lot of places, but a formal academic field of endeavor is a good thing. It stretches the mind and it makes you into a, you know, a more well-rounded person, all of that that and it does tend towards a higher income but the degree doesn't give you the higher income the knowledge gives you the higher income

if you're interested in the student loan crisis this debacle this epic failure that's called the student loan program that's out there either we have an eight episode series called borrowed future that millions of people have download as one of our podcast series. And so jump into Ramsey Network or just anywhere great podcasts are downloaded and click on Borrowed Future and get it going. You'll be glad you listened to it. It's very informative. You will go, what? Yeah, you will.

This is The Dave Ramsey Show. For most of us, health care costs seem to increase every year, and saving money on health insurance feels more and more out of reach. For example, take the Olcheski family from LaGrange, Texas. Jeff and Carice had just celebrated the birth of a new baby boy. Shortly after, they had a health scare involving one of their kids that was completely unexpected. With today's healthcare climate, this could have bankrupted them. But thanks to Christian Healthcare Ministries, the Olcheskis were spared from a ton of medical bills. As members of Christian Healthcare Ministries, they're part of a group of believers who financially and spiritually support each other.

CHM is the original health cost-sharing ministry and is a Better Business Bureau accredited charity. It's biblical, affordable, and it shared nearly $97,000 to help the Olcheskis. To be a part of Christian Healthcare Ministries, visit chministries.org. That's chministries.org. CHM is a proud sponsor of Dave Ramsey Live Events. Thank you. Thanks for joining us, America. We're glad you are here. We say it all the time, hope is greater than fear.

And right now, folks are looking for hope. You know what gives you hope? Perspective gives you hope. Faith gives you hope. Apective gives you hope. Faith gives you hope. A plan that's a believable plan gives you hope. And you can provide a lot of that by leading a virtual Financial Peace University class. FPU coordinators are everywhere. Normal folks who have helped 6 million people learn how to budget, dump debt, save for emergencies,

and give generously. Regardless of where you are in your financial journey, you can lead Financial Peace University. Maybe you can't help others by being generous with your money, but you can make a difference with your time by leading an FPU online group with a virtual class. And that means hope from home, baby. That's how this works. No better time to be a light for folks right now. We need some positive things going on out there. Lead a virtual Financial Peace University class.

Get started by texting LEADFPU to 33789. That's LEADFPU, one word, no spaces, to 33789. Our question of the day comes from Blinds.com. They're the number one online retailer of custom window coverings. You get free samples and free shipping, and with the new promos they run all the time you're going to save even more always use the magic word the promo code ramsey you get the best deal alex is in illinois i'm a single man with no kids moving from baby step two to three as i begin thinking about home ownership i wanted to know if i should consider the concept of rent to own propertiesown properties. What are your thoughts?

No, I would not. No reason to rent-to-own. Just save up a good down payment and buy a house. 15-year fixed where the payments are no more than a fourth of your take-home pay. Here's the numbers on rent-to-own. You pay more rent so that if you do buy, some of that extra rent goes to your down payment. 80 to 90 percent of the time, the person doing this does not ever buy. The net result is they just paid more rent. You're much better off just to rent as cheaply as you can, especially single guy, no kids, right?

I mean, you can just anything that's safe and reasonable, bugless, right? Let's just do all of that. And so, you know, you can save like crazy in your situation for good down payment, and then get you a good property on a 15-year fixed where the payment is no more than a fourth of your take-home pay. Open phones at 888-825-5225. Some of you are going through, at this exact moment, the toughest time of your life. You're the brokest you've ever been, the scaredest you've ever been,

the most hopeless you've ever been. It's hard. I was 24 years old. I started buying and selling real estate. By the time I was 26, starting from nothing, I had about $4 million worth of real estate, a little over a million-dollar net worth, and I made $250,000 cash taxable income that year. That's $20,000 a month. The neighborhood I grew up in in 1986, we called that rich.

But I had done a lot of stupid stuff in that I had borrowed money out my ears. The bank called our notes, and we spent the next two and a half years of our life losing everything we owned. I filed bankruptcy in September. Rachel was born in April, right before that. So I had a brand new baby, a toddler, and a marriage hanging on by a thread. August, before I filed in September, I was sitting in my recliner because I couldn't sleep at 3, 34 o'clock in the morning reading my Bible. And the words off the page came alive. Rejoice in your suffering. And I looked up at God and I said, no, I'm not going to rejoice in my suffering.

That's just weird. Rejoice in your suffering. Because suffering produces perseverance. And perseverance, character. Character, hope. And hope is a gift of the Holy Spirit. That may be right where some of you are right now. You know, it's almost impossible to rejoice in your suffering.

I mean, really, that is just weird. That's a weird request of God speaking in his word. And I'd like to tell you I did. I got up and did a little jig, and I rejoiced in my suffering, but I didn't. All I did was just say that's weird. But it produces perseverance, and it did do that. And that produced character, and it did do that. And it gave me hope, which I've never lost 30 years later. You see, my plan was to become worth a few million dollars

owning real estate. God says, I have plans for you, and they're not to bring you harm, but to give you hope. And I think what he was telling me that morning when I was sitting there, and he may be talking to you right this second, is your little dinky plans weren't much. My little dinky plans to have a couple million dollars in real estate, my Heavenly Father's crazy about me, and he had a much bigger plan for my life.

Obviously, we've got a lot more than a few million dollars worth of real estate now. That's not how we measure it, though. Think about the impact that this Ramsey organization and this message with this radio show on 600 stations and the fifth largest podcast in the world, the number of lives and the richness of soul and satisfaction that God has given us around this place as we help people everywhere all over the world, all because I was stupid and went bankrupt. My little dinky plan. My father had so much better plan for me than my little dinky plan. I know some of you are hurting and scared right now it could be that you're

getting ready to substitute your best plan your shiniest plan you're gonna look back later and like I am and well that was a dinky plan that wasn't much of a plan. It could be that God's saying, you ain't seen nothing yet. You hear all these people out there right now walking around going, well, there's a new normal. Things will never be the same. Like Eeyore is their spirit animal. Oh, it's bad. And so now there's a new normal.'s always gonna be rough we're always gonna have corona hanging around life is gonna be bad i don't know how we're gonna make it you're hearing

these whiners out there they're everywhere i don't think life is going to return to what it was i think it's going to be better. Because some of you are having a never again moment. Some of you, your dinky little plans have gotten set aside because God has a bigger plan for you. You ain't seen nothing yet. You may not like that message. That's okay. You can get your own show. This is the Dave Ramsey Show. Hey, folks, there's literally never been a better time to try online grocery.

My friends at eMeals make it incredibly easy for you. eMeals creates a shopping list based on the meals you want for the week and then directly sends it to Walmart, Kroger, Instacart, Shipt, or Amazon Fresh. Your choice. Head to eMeals.com slash grocery. Find what delivery and pickup providers are available in your area. Try eMeals free for two full weeks. That's eMeals.com slash grocery. real humans in the lobby of ramsey solutions i love it yes we're back open to the public we've been back in the office for a couple of weeks state of tennessee is open by the order of our

governor and we're taking advantage of this thing called freedom. And this week we opened up to the public again. So we've got human beings in here standing on the debt-free stage. Why? Because they're debt-free. Seth and Mary are with us. Hey, guys, welcome to the show. Thank you. Thank you for having us.

We're excited to be here. Good to have you. Where do you guys live? Trustful, near Birmingham, Alabama. Oh, yeah, just down the road. So a couple- hour drive up here, huh? That's right. All right, well welcome to Nashville and all the way up here to do a debt-free scream. That's right. How much have you paid off? $208,000. Awesomeness. And how long did this take you? 12 years. All right. And your range of income during that 12 years? When we started uh we were both working and it was

probably in the 110 range and then uh the last uh eight or nine years uh she's been home with the kids uh but we were right around that range now okay so your income came on up as as a second income went away it did very cool so i'm guessing this length of time indicates you paid off your house you're correct yes sir yes sir absolutely weird people that's right man how old are you two i'm 39 i'm 36 you did it before you're 40 yeah baby how much is this house worth i would say probably 200 probably wow how fun yeah and it's paid for it's paid for yeah i did detailed research 100 of the foreclosures occur on them home with a mortgage you're free that's right you're free man well

done man that is just awesomeness so proud of you guys how's it feel it feels great especially with the coronavirus yeah you think all of that, we did not have a mortgage. We had money in savings. The stimulus, we invested it. Sure. And we went to the lake. That's right. Well, why not?

It does put you, it's strangely insulated from things like this when you are debt-free and have a pile of money. Yes. It's very cool. So you already had your emergency fund obviously in place because you were walking the baby steps, right? That's right. And so that's there, and then the house is paid off just as you enter into this corona thing, and you're sitting there going, wow, what providence of God that the timing is that I'm sitting here with a paid-for house as this all happens.

Yes. God that the timing is that I'm sitting here with a paid four houses. This all happens. Right. And with my work and I'm a physical therapist and even with that, some of the hospitals slowed down a little bit, but it ended up working out. But even if it didn't, we were, we were okay. I wasn't stressed about it. I just spend more time with the family and to see it that way versus being stressed. I think that's a big thing. People forget sometimes money, you pay off things, but the hope you build and then the lack of stress and how that affects your health is just amazing. And I think a lot more people are paying attention with what's been going on. Yeah, sure. Sure.

Yeah, they're wishing they were where you are. Yeah. I mean, with no debt at all, no house payment or anything. Yeah! Yeah, yeah, yeah! This is how it's done. I love it. I'm so proud of you guys what started you on this journey 12 years ago well i started this before a little bit before i met

mary alice pt school i was in the hole about 68 000 and i didn't like that i thought i need to get out of this i just i was looking for a way and i saw something on your plan on a church i was going to at the time, did a small group, and then we went through together after we got married, or actually in an engagement. Best thing ever. Oh, really? I listened to you a lot better than I listened to him.

Oh! That's right, that's right. Oh, one of those. Okay. I admit it. And then we've also actually coordinated since then three classes. Well, thank you. Thank you.

Oh, yeah, we're happy because the hope that it gives people really is the payment i ever it just it just pays you back when you see people some people don't have hope and they just don't see a way out and then they and then they start to see a quick thing that happened me my first job i had 68 000 i owed at that hospital i was talking i heard about you told everybody and and then 10 years later i'm working some of the same people and i'm telling them we're paying off the house i hadn't seen him in 10 years because i didn't work that job and now they're like wait you're still doing this and it's working so they're paying a lot more attention to it so you know at first somebody might get a hold of a plan and they may think they're just going to do

it for a little while but really and it took us a while i will say part of the reason we did took 12 years is because it was August of 2014 when we actually stopped doing ish and started doing the full plan. And that was my fault of wanting to give up control of the budget. I think we both had some struggles. I didn't want a set number that I had to stick to, and he didn't want to give up control. And one day I said, I can't believe I'm the one suggesting this,

but I think we need a budget. Oh, wow. She was right. And ever since August of 2014, we've been, every time we do our budget and it's getting easier. There's times we argue occasionally, maybe just a little bit, but it's made it easier over time and our marriage has gotten better. Our communication is better. So it's just so much more than money. I hope, let's hope people see that yeah yeah well i mean as a medical professional you do see the amount of uh the toll that stress takes on the body it's very real it is very very real and uh certainly in the obvious things with hypertension those kinds of things but uh i think there's a lot of things we'll learn someday that we don't know now about the impact

that uh this frenetic culture this run run run run like you're a rat in a wheel, what it does to your physical body. I don't think people realize it. Absolutely. Well, well done, you guys. Very cool. So what do you tell people the key is? You did this for 12 years. You have a paid-for house.

Wow. I would say part of it for me is being intentional and being proactive. You don't just, like you said, you can wander into debt, but you can't wander out. I think with physical health, with whatever you're doing, you have to have a plan and then you have to go and implement it. You don't just show up one day and it happens. And I think proactivity intentional living and you know budgeting for me the biggest thing was learning how to say no and that just because it was on sale doesn't mean you have to buy it and shopping at sam's which makes sense when we have a large family that is a lesson in self-control because to get to the diapers, you have to walk past all the cute clothes that are on clearance.

And if you try to outsmart them, then they hand your kids the snacks. Of course they do. They even put them in your buggy sometimes. Oh, wow. They'll help you out. Yeah, so learning how to say no and to stick to what was on my list, that has been huge for me. And it's very satisfying, uh self-discipline this thing where i decide for me

that i'm going to live like no one else so later i can live like no one else and then you learn to say no so that i can say yes to more important things than a bag of snacks or cute clothes on clearance you know and you know there's something that you just you so grown up. I mean, it's satisfying. Self-discipline. Self-control. Not someone else doing it to you, but you choosing to do that makes you just kind of stand up a little straighter. Absolutely. Proud of you guys. Very well done.

Who are your biggest cheerleaders? Probably each other. Yeah, I think along the way, for me at my work, a lot of times if I was doing notes, I would listen to your show, and I'd have people pop in and out, and they'd occasionally ask me stuff. Either people were in our class or just people, my friends along the way, that we gave books to that come back around and really asked for advice, and then we were able to kind of talk into them.

That kind of motivated us, I think. And I will say one thing I didn't do well is I didn't establish the why very well early on with my wife. So I would say the nerds work on that because it's much better if they understand the free spirit, why they're doing it versus that. And you always talk about that. Well, and yeah, otherwise they're just complying and that's not grown up at all. Right. Yeah.

So way to go, you guys. And you brought the kiddos all with you. Yes, sir. And so how many kids and what are their names and ages? We got four, John Samuel, Caleb, Rachel, and Jacob. And the ages are what to what? Nine, six, five, and three. Oh, wow.

Wow. Okay. You guys are beautiful. Well done. How fun. And it's all paid for. That's right. I'm looking at a family tree that's been changed.

That's right. You did it. You guys are heroes. Very well done. We've got a copy of Chris Hogan's book for you, Everyday Millionaires. That needs to be the next chapter in your story, guys. Yes, sir.

Well done. Thank you. Very, very well done. All right, John Samuel, Caleb, Rachel, and Jacob, Mary Alice and Seth from Birmingham, Alabama, $208,000 paid off in 12 years. That's their house and everything. I'm looking at weird people.

Count it down. Let's hear a debt-free scream. Three, two, one. We're debt-free! This is how it's done right here, baby. I love it. Well right here, baby. I love it. Well, congratulations, guys. So, is it your turn?

There's a 14-day free trial on Financial Peace. Is it your turn? This is the Dave Ramsey Show. We're talking about only impacts federal, not private loans, and you need to take responsibility for what you owe and pay your debt down quicker. Right now, Splash Financial is offering their lowest rates ever. With lower rates and extra payments, you could just find yourself debt-free in the next five years. Visit splashfinancial.com slash Ramsey to see if you qualify. Our scripture of the day, Psalm 1914. Let the words of my mouth and the meditation of my heart be acceptable in your sight, O Lord, my rock and my redeemer. Henry Ford said, thinking is the hardest work there is, which is probably the reason so few engage in it.

Open phones at 888-825-5225. Thank you for joining us, America. This is the Dave Ramsey Show, where common sense is here for your dollars and cents. We teach you to live on less than you make, a concept Congress can't grasp. Stephanie is in North Carolina. Hi, Stephanie. Welcome to the Dave Ramsey Show. Hi, Dave.

Hey, what's up? Well, first I want to thank you because you've assisted not just myself and my kids, but my niece and nephew as well, and we are controlling our controllables, so we're real excited. Cool. Yeah. And so the reason I'm calling is I was married for 23 years and I'm newly single. And so I don't have anybody to blame anymore if my finances are askew.

I'm going to be debt free in May is the goal. And what I'm trying to find out is as I try to do my budget and save money each month, we did FPU quite a few years ago. And as a result of that, we signed up with Zander Insurance for some pretty good limits. And I also have high auto insurance with a 17-year-old who is driving a very old minivan. And so my limits, my bodily injury, property damage, the life insurance, they're all, I feel like they might be higher than what I need right now. And because I want to save money, I was trying to find out from you what you recommend as far as those limits. Okay. The limits on the liability? Well, yeah. So for the auto insurance,

I'm carrying $300,000, $500,000 in bodily injury and $100,000 in the property damage. Yeah, that's the minimum you ought to do. And that's not what's driving up your rates. Your rates are collision on a 17-year-old. That's what's driving up your rates. Well, so she drives a 15-year-old minivan, and I drive a 12-year-old Pilot. I do have the collision and comp on the pilot and i wondered too the the car's only worth about six thousand and we were joking i should trade it

in for a clunker but we said no that is a clunker um so should i continue carrying the full coverage on that pilot yes because you can't you don't have the money to replace it i assume do you no not yet yeah so i mean you couldn't you couldn't afford to lose that car yeah you need to carry full coverage on it um and so but what i would do is this you know if you haven't uh shopped the auto insurance package you should uh an insurance broker you can go to dave ramsey.com and click on ELP for insurance and property and casualty insurance PNC insurance it's called and you can find a endorsed local provider for that that's a broker now what a broker is means they work for you and they go to different insurance

companies and find you the best deal in your situation that's different than what we call a captive agent which would be like a state farm agent they can only sell state farm and state farms very seldom the cheapest it's most always more expensive and their service is horrible so as an example but you don't want a captive agent anyway so you want to shop among a bunch of different companies and get the best deal and that's what that broker will do for you how much life insurance do you have on you um well i don't know if i want the kids to hear but um well i have 750 000 um just because when my kids were young and what do you make um i only make 53 000 a year um and and how old are your kids uh 17 and then 21. And if anything were to happen to me, my ex-husband, he's a great dad, and he could easily take care of them.

Yeah, okay. Well, your need for that life insurance is dissipating really quickly. I feel that. You know, if you want to keep it, it's fine. But the bottom line is that if someone someone anyone out there listening you me anybody dies uh then you know someone that's counting on our income to eat is not going to have that income and so that 55 000 that you're bringing in disappears obviously when you die now how's your kids going to survive well the 21 year olds old enough to be on their own. They can figure it out.

The 17-year-old would go live with dad for a while until they figure it out. Now, are they heading to college? Are you participating in paying for that? Or what's the plan on all that? So they've got a little bit of money for that, and my son is paying his way. My daughter is going to do community college for two years. So if you died, would that keep them from going to college if you had no insurance no no okay so the main issue is can your kid would your kids be okay without their lives being majorly disrupted without your 55 000 income on the planet does that make sense

i don't i don't feel they'd miss it so i i was hoping you would say i could lower that amount because it is expensive each month yeah you could you could definitely cut it in half easy um and if uh you you may have to rewrite the policy how old is it um gosh it's about five years old so it's not too old yeah call xander i doubt i doubt you can just reach over and cut it in half. I think you'll have to have a new policy issued at your new age, and so you'll have to look at whether that's worth fooling with or whether you just hold on to this for about a year

and then just drop it altogether. A year from now, the kids are even in less danger, you know, of being without your income. Is there anything else that needs to be cleaned up financially or taken care of if you were to pass? No, I'm very lucky. Our divorce is very clean, and like I said, I just have a little bit of debt that I'll be taking care of next spring.

And then it's just, yeah, just paying our monthly bills and maybe someday pay off my mortgage. Yeah, but again, there's no one that needs that mortgage to be paid off with life insurance in the event of your death. Not now. Yeah, the kids would just sell the house. You need to do a will fresh after a divorce, a new will that leaves everything to your kids or whoever you're going to leave it to. And then the assets would be sold and the liabilities would be cleared and the balance is their inheritance. But life insurance is not good for an inheritance.

It's there for supporting people that are counting on your income. And what we're establishing here is you're in the last few months or years of someone counting on your income. And now there's another household that could take that on, your ex-husband. So you could look at dropping it. You could look at cutting it in half. But that's the way you analyze it is, am I doing the right thing? Is someone going to be harmed or left out in the cold, so to speak, financially if I were to pass? And that tells you what's going on.

So that's why young families with 2-year-old, 3-year-old know they need a 15 to 20 year level term policy that's a you know 12 10 to 12 times their income and you get that as under insurance uh gianna is with us in uh virginia hi gianna how are you i'm doing well how are you better than i deserve how can i help um all right so i just recently got a new job trying to decide what work benefits I should choose. It's my first time really choosing different options, and I also have about 9,500 Institute loans. What are your options? My options, they have some health benefits that include vision but my mom i'm under my mom's blue cross blue shield already so i don't really need to adjust my vision dental um no you don't

have no you don't you just pay that out of your pocket uh because unless they're paid are they furnishing it for free no okay no it would be for dental it's a separate thing it's like three dollars in change i think when you add up what you pay for it you could have paid for your own dental with what you paid for it but dental very seldom is a good policy to take uh vision is you very seldom a good policy to take your major health insurance you got through your mom still, that's fine. You're going to be fine there. And you just walk through and look at them that way. But what you look at is what you're paying versus what you're getting. And can you absorb the risk yourself on insurance and on dental and on vision?

You can absorb that risk yourself in your first job. Hey, thanks for calling in. That puts this hour of the Dave Ramsey show in the books. Our thanks to James Childs, our producer. Kelly Daniel is our associate producer and phone screener. I'm Dave Ramsey, your host. We'll be back with you before you know it. In the meantime, remember, there is ultimately only one way to financial peace, and that's to walk daily with the Prince of Peace, Christ Jesus. Hey, it's Kelly, associate producer and phone screener for The Dave Ramsey Show.

This episode is over, but if you heard about an event, product, or service and didn't have a chance to write it down, don't worry. We list everything you've heard about during this episode in the podcast show notes or head to DaveRamsey.com. Thanks for listening.