The Ramsey Show - App - You Can Go to School Debt-Free but You Have to WORK! (Hour 1)

Episode Date: December 2, 2021

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Live from the headquarters of Ramsey Solutions, broadcasting from the Dollar Car Rental Studios, it's the Ramsey Show, where debt is dumb, cash is king, and the paid off home mortgage has taken the place of the BMW as the status symbol of choice. Number one best-selling author, Ramsey personality, and my daughter, Rachel Cruz, is my co-host today. As we answer your questions about your life and your money, open phones at 888-825-5225. That's 888-825-5225. Eduardo is with us in Los Angeles to start off this hour.

Hey, Eduardo, how are you? I'm doing great, how are you? I'm doing great. What about you? Better than I deserve, sir. How can we help? I knew you were going to say that. That's so iconic.

So, anyways, I don't know what to do. I'm kind of stuck in a pickle right now debating on whether I should continue school or if I should take the upcoming semester off just to dedicate my time to paying off my debt. So I'm currently going to school and I'm double majoring in business administration and transformational ministry. And I have about, currently I've racked up about $11,000 in student loan debt. And that's not even from the tuition. It's just from dorming and housing and stuff like that. Usually FAFSA just covers all my tuition. And I have a $200 car payment right now.

That doesn't even include insurance. On the insurance, I'm paying $200. And it's just getting overwhelming because I'm only making like $700 at most each two weeks. And all my money is basically going to my car. So I don't know if I should, you know, continue going to school and keep paying this off or just take out the next semester and dedicate that to just paying out my debt. And on top of that, I have $3,700 in credit card debt. Okay. And how old are you? I am going to be 21 on Saturday. When will you graduate? I am expecting to graduate in the spring of 2024. Okay, three more years then, or two and a half more years, okay. Two years from this spring.

Okay. So it sounds to me like you have an income problem. You don't make any money. Yeah, I'm an assistant manager. You break my fix at the moment. You don't make any money. You can make more than that in three nights delivering pizzas. I don't care if you're the assistant. I don't care if you're the manager.

They're titling and working, and you're not paying you anything. $700 every two weeks, you're starving to death. So you need to get some more jobs. Yeah, you know, the thing is that I was working full-time before I went back to school. This year I was working 40 hours a week up until September, which is when I went back to school. So now I'm only working about, I want to say like 25 hours a week. Yeah, you're going to have to get back to 40 and probably at a different job.

You're going to make more money. Yeah. Yeah, because the issue is if that income doesn't go up, what's going to happen is everything that I'm seeing from credit cards to taking out some student loans just for your housing, like you said, not even for tuition, the car, all of that just continues to be magnified if you just continued on this road. And so it's either pausing school right now, going full-time,

cleaning some of this up and then going back to school or getting your income up so high that you're able to at least cash flow your expenses on your basic budget through college which is difficult to just live and eat and pay your car payment with what you make forgot it forget college and so you're just not making enough money dude you have an income problem and so so you're just not making enough money, dude. You have an income problem. And so, yeah, you're either going to quit school and fix the income problem or you're going to fix the income problem and stay in school.

I'd just fix it and stay in school. I'd just like to take, I mean, Uber Eats and deliver pizzas and be an assistant manager and work all the time. You don't need to even turn on your television ever again until you graduate. And to find things on campus, like being an ra or something that your housing even is covered like finding different choices that you can make in the next two years even with that is helpful because i mean you've racked up eleven thousand dollars and you said it wasn't even the tuition so you need to look at your living expenses as well yeah if you can i mean eleven thousand dollars in debt already

i don't know i guess you're in L.A., Southern California. So, yeah, it's expensive down there. But I was like, that's a pretty nice. Well, we're paying a car payment out of it. And we're paying car insurance that's equal to the car payment out of it. Yeah. That's in there, too. And $3,700 in credit card debt.

So what's happening is that you are, you know, you're running around trying to touch all these different bases. And you don't have the money to touch all the bases. You know, to pay uh books and you got to pay dorm and you got to pay car you got to pay car insurance and all of a sudden the credit card comes out and you take a little break you go out to eat and you couldn't afford to and because you're stressed out and dude you just need to i'm telling you i work 40 to 60 hours a week and got out in four years. So I'm not asking you to do something that's impossible. But you're a boomer. Yeah, like we worked at our age.

I know. I'm kidding. You made that joke earlier today that you're a boomer. I was like, well, that's what people are probably thinking right now. Pretty well. Just a boomer. It's the current version of hitting on Dave Ramsey. But, okay, so here's my question. No, but for real though, what's, what is... Is it a mindset shift that you've seen from like...

No, it's just nobody ever told him that's what the problem was. I think he's not afraid of work. No, not him. But like what you're seeing, though, because I feel like his situation is so normal today. There's a whole bunch of people when I was doing it weren't doing it. I guess that's fair. I'm just thinking the whole idea of working 40 to 60 hours a week and going to school, that's like not even...

People don't even think that's an option. You know what I'm saying? But you... there's people in every generation that have done it but they're not they're not the bigger part and thus we have broke people in every generation so i mean it's not yeah it's not like work is something that's new to millennials or z's no but millennials and z's aren't afraid of hard work we get a bunch of them working here and they look like animals they're awesome yeah uh so it's you know it's not workaholism it's saying i've got a i've got a busted i'm in the middle of a dadgum thing here oh a thousand percent i gotta get with it and so yeah um you know but it was um uh uh it just didn't uh it it probably just depends a little

bit on how you're brought up it depends a little bit on what's going on. I mean, we've got Christina here on the personalities team sitting in here right now, as a matter of fact, in the other room. And, you know, she got $500,000 worth of scholarships, did a best-selling book off of that, and worked her tail end off. But her mom's a single mom, and her mom said, you know, this is how you're going to get through school. This is what you're going to do.

And, you know, Anthony wrote about it in the book, Debt Free Degree. Work is a big part of it, and college choice is a big part of it, and scholarships are a big part of it. Those are the three things you do to go through school free. But, I mean, the other thing is you can't, we have never told people, and you and I started telling people this before Anthony and before Christina, that you can go through school debt free, but we never told people it was on minimum wage. Right, right. You can't do it on minimum wage.

Yes. So you've got to do something different. I mean, you've got to walk dogs. You've got to cut grass. You've got to have a side hustle of some kind. But you can make money. Oh, yeah. And even today, the service stops.

Nannying is $25 an hour. Right, right. Absolutely. And so you can work. You can find something to do that pays good, especially right now. I was about to say, now it's crazy what people are paying. Freaking Target will pay you $15, $20 an hour to work over there. And you don't even have to be the assistant manager.

So, dude, that's your answer. Seriously. This is The Ramsey Show. in an uncertain world being a good steward of your money is more important than ever while some circumstances can't be controlled there are items within your budget you can take charge of, such as your health care costs. For nearly 40 years, Christian Health Care Ministries, or CHM, has provided a budget-friendly means of sharing for medical bills when our members need it. Learn more by visiting chministries.org slash budget. That's chministries.org slash budget. Christian Health Care Ministries is a Ramsey Tr, is our co-host today.

Number one best-selling author lately of the book, Know Yourself, Know Your Money, which is one of our $10 items on sale. So be sure and check that out at RamseySolutions.com. Lots of goodies on sale there. And the new book, Baby Steps Millionaires, that comes out January the 11th, is on pre-sale right now. This is the first book I've done in eight years. As a matter of fact, the last full trade book I did was with you. We did Smart Money, Smart Kids.

It's the last time I did a full trade book. It's like a whole other lifetime ago. Yeah. Sure was. And that was one of the first ones when we opened up Ramsey Press. Because the one before that was Entrez Leadership with Simon & Schuster. So good stuff. So obviously this is Ramsey Press as well. And I just came out of a meeting with Target and with updates on the sales

and Target and Barnes & Noble and Amazon Airport all placing large orders for Baby Step millionaires. Good to be back in the game after eight years and see what happens. So if you want to be a millionaire, I can show you exactly how. Tens of thousands of people are now millionaires because they followed the stuff we teach. It's not because of me. I didn't give them any money.

I'm not magic. I'm just a little hillbilly guy that showed you how to live common sense. But when you live common sense in any area of your life, it changes everything. And that includes walking through these proven baby steps that people have done over and over and over again, and it turns them into millionaires. So I can show you how to do it, regardless of who you are, regardless of where you come from, regardless of your background. And I'll prove it to you six different ways in this book. So when you order for $20, you get $100 worth of bonus items,

including the Baby Steps Millionaires audiobook, the Baby Steps Millionaires e-book, the Legacy Journey audiobook and e-book, the Baby Steps Millionaires livestream, which is going to be done here in our lobby, and the lobby seats are already sold out, and it'll be done in January, and you'll be able to watch it live stream if you're pre-purchased the book. Ramsey Smart Tax, you can file your taxes free, and a Ramsey Plus 30-day free trial. All of that at RamseySolutions.com.

So be sure you check it out, and we'll try to help you out any way we can with any of that. And, Rachel, your new wallet is there as well for Christmas, right? Yes, it is. The wallet is not new, but the color. This is a new color. Yes. What color would you say this is?

Brown. Brown. It's probably some fancy schmancy brown. I know. Because it's a fancy schmancy wallet. It's so great. I like to say it makes budgeting beautiful. You know, it's a fancy schmancy wallet great i like to say it makes budgeting beautiful you know it's just oh wow that's a good tagline no it is but the but the

wallet uh envelope system it's all built in together it's all there yes and it's um made with authentic leather it's really really nice great quality and there are three colors but the newest one brown is there so you can check it out, RamseySolutions.com. The folks that make it, it's just an incredible company. Oh, I know, Join, we partnered with them. They're a company out of India, and so they help employ people out of really just hard situations and give them trade and skill. And so I know that's kind of one of the things I love about it, too.

Basically, they're not on the street because they make stuff like this. Yes, and then every wallet, you'll have a card with the person that made it. Oh, wow. So it's awesome. So you buy something that's going to help you with your money, and you truly do help people across the world that you may never meet. But it's awesome. Yeah.

And it just smells so good, too. Gotta love leather. I love just going in a leather shop. When you open the Rachel Cruz box. I buy stuff that I don't even need just because of that leather stuff. It's just so good. But it's there.

Very cool. All right. All at RamseySolutions.com. Amy is in Dallas, Texas. Hi, Amy. How are you? I'm great, Mr. Ramsey. It's good to talk to you again. The last time I got to you was during the millionaire segment. Oh, wow. So I'm glad I got a chance to talk to you again.

Cool. So you're an everyday millionaire or a baby steps millionaire? Yes, sir. I actually have a question. I didn't get to ask a question then, but I'm still trying to continue to learn, and even though I'm a millionaire, but I still have a question for you. Okay. All right.

So I've paid about, I mean, listening to you has really got me to be more gazelle intense on just that last step to paying off the house step paid about 70,000 of it this year. And I'm kind of wondering what's next once I'm in baby steps. I've also front loaded my child children's five to nines. Uh, I'll, I'll do a little bit more next year, but it's not going to break the bank or anything. So kind of a what's next question. I know I made a big mistake when I started my career. I started contributing to my traditional 401K as opposed to my Roth.

That's not a big mistake. Kicking myself for it. I mean, you're just a little less rich than you would have been. Yeah, so I'm just kind of wondering, you know, what do I do now? I'm maxing out my Roth 401K, Roth IRA, both myself and my husband. And the house is paid off now? Yes, sir. Okay, good for you.

And you're a millionaire. Yes, sir. How old are you? 32, and my husband's 31. Good night, Amy. That's amazing. You're amazing. What do you guys do for

a living uh i said this in the millionaires i'm but surprise surprise or engineers yes both of both of your engineers i remember talking to you now okay it's pretty cool because a 32 year old millionaire following the baby steps is pretty cool that's what i was just talking about talking about that book coming out so you're're amazing. So here's the thing. I'm going to send you a copy. Have you got a copy of The Legacy Journey yet? I have not. Let me send you a copy of that, okay? Because that's really a Baby Step 7 thing.

So here's the thing. Number one, the first thing you do is exactly what you've done. You max out all returnments. Keep the government's hands off of anything you can, okay? And then you can use what you're doing there as a part of this second suggestion sharon and i and anytime we're meeting with high income high net worth individuals we teach them the same exact thing and oddly enough it's the same things we taught in smart money smart kids there's only three things you can do

with money right rachel let me answer it yeah pop quiz amy here we go give save and spend yeah yeah you need to have you need to take a percentage of your income for the coming year before the year starts and say i'm going to spend this percentage of my income on enjoyment lifestyle and you need to enjoy money you've worked really really hard difficult for me i know and if you don't do it with it here's a weird thing it's not as difficult once you've allocated it if you said this money is to be bought is to buy something stupid then when you buy something stupid it's like oh that's what i was supposed to do with it okay because you labeled it that right you're just going to go buy you a whatever a toy i don't care are you going on a

trip or you do whatever and because you can afford it shut up okay then the second thing you do is you say here's the percentage of my income that's going to generosity and here's the percentage of my income that's going to investments and those three percentages added together need to equal 100 and that's pretty easy and and so and the weird thing is that it'll keep you from feeling out of control with your spending even though you spend a good deal of money on something compared to any other time in your life, but it's a small percentage of your world.

Like I got a guy I was meeting with that making $10 million a year, and he spends 5% of his income on lifestyle. Well, that's freaking $500,000. That's a pretty, I mean, but it's only 5%, you know? And the rest of it is generosity and investing. And so, you know, when you do it, when you look at it that way it's like you gotta be kidding me but he can go buy whatever car he wants to buy travel wherever he wants to travel virtually live in it buy another house every couple of years if he wants to another another vacation home somewhere out of that and so you just have to allocate a percentage to fun yes

slash lifestyle i mean i'll say this my husband and i we've learned in our process of all of this and now we are on baby step seven is that we always need a goal though and i'm the spender so like me when you're like i have an issue spending like yeah that's never my problem i'm great with it i i can enjoy but mine is but winston and and I, we sit down together because I'm like, I don't want to flippantly, because you're on baby step seven, it can kind of feel like you can kind of just coast and go. So you still want a goal. So whether it's maybe you want to build a home one day and do it with all cash and keep your current one as a rental. Maybe you guys want to invest in some real estate, a commercial real estate building there in Dallas. Like, I don't

know what it is, but having something that you work towards within a five-year period is really helpful, at least for my husband and I, because we're close to your age. And Winston hadn't bought a truck in 12 years. It's time he buys a truck. He needs to get a truck. Well, tell Toyota that their Tundras are backwater.

Tell Winston. The point is you need to enjoy it. You need to enjoy it. You need to enjoy it. And that's part of the equation. It's not the only part. But allocate by percentages. Give your money names. And then you can do it guilt-free and responsibly.

Yes. We'll be right back. They're here. They're in the lobby of Ramsey Solutions on the debt-free stage. They did it. Christopher and Debra are with us. Welcome, guys. How are you? Great. Thank you.

Where do you guys live? Wilmington, Delaware. All right. And all the way to Tennessee to do a debt-free scream what a weird activity yes how much debt have you guys paid off so paid off two hundred and sixty thousand dollars was a hundred thousand hundred and ninety thousand dollars we cash flowed another um seventy thousand dollars for a total of 260 wow good for you for you. That's incredible. How long did this take? Took us 39 months. Good for you. And your range of income during that time? $149,000 to $258,000. Wow.

What do you guys do for a living? So I work in law enforcement as a police officer. And I manage a self-storage facility. Ah, very cool. Good for you guys. Okay. So you sold something that was $70,000? What was the $70,000? You cash flowed $190,000, and then there was $70,000. What's the other $70,000? You had that in the bank, and you just threw it at it, or what? No, we cash flowed our youngest son's college, and then we had to replace the HVAC, and then we also cash flowed our 25th Val Renewal. Your 25th what?

Val Renewal. Anniversary Val Renewal. Okay, but that's not $190,000. You said you cash flowed 190 000 no no we paid off 190 000 of debt oh and the 70 was all these other things yes i see okay so debt was 190 and another 70 on miscellaneous stuff went out the door while you were doing it i got you okay cool good for you 39 months it took what kind of debt was the 190 our house you paid off your house congratulations these are weirdos yes you are awesome so proud of you how old are you two i'm 48 and she's a

little younger there you go i like it good answer well played well played incredible well done this is awesome awesome awesome i love it i'm so proud of you guys thank you so uh here's the thing oh man absolutely amazing so uh uh what got you got you guys started on this 39 months ago so back in august of 2017 i went down to virginia for a police officer's funeral and as i sat there in the church reading the funeral card, at the bottom of the funeral card, it said, instead of flowers, please give money to the family emergency fund. Please consider donating money to the family instead of flowers. And I sat there in back of the church. I looked up and I see the wife and the sons at the front of the church. And it just

instantly became terrified. And I said, oh my my god i can't do this to my family i can't leave him like this and you know as i told my wife i called my wife on the drive home and i said you know for all i know maybe this guy just never liked flowers i said but as i'm sitting there in the church reading this and i look up and i see a wife and her son's up there i just became terrified saying oh my goodness i said you know they weren't prepared. And I said, I can't do this. And that just that started us down the rabbit hole. And I never came back out for it. Wow.

Debra, had you been thinking about anything financial wise up until that point? Did you feel kind of financially insecure, if you will? Did you want always, always? I was always robbing Peter to pay Paul and I was sick of living paycheck to paycheck. So when he called me and he was very intense about it, he was very focused, and I knew it was going to be game on from there. And I was either going to fall in line, or I was going to fall behind. And so we revamped everything from that point.

We redid our life insurance. We did our wills. We have a legacy book put together now for everything. And we wanted to get rid of everything. So how did you get plugged into us? So I've always known about it. I've always been kind of a, you know, a spreadsheet kind of person and wanted to look at my numbers. And we just never followed the program.

He's been a nerd since the beginning. And then I think it just kind of kicked in. We read the Total Money Makeover a couple years ago. We were Dave-ish. We weren't really following the plan. And then I think we just kicked it in. It was like you know we've had it this is what we're going to do it's very you know his job is very volatile at any point in time he could go and leave us so we needed to have everything all our ducks in a row so it was what was left was just

the mortgage was that 190 so you guys didn't have a ton of consumer debt obviously so when we started i went to the funeral in 2017 and then that that started it that day we were done that day and then by january 2018 we paid off all our consumer debt we got rid of all that we didn't have a lot of it was a couple car loans and one credit card we've never been real huge spenders but we've done a lot of stupid stuff yeah with it so once we get that done and then he like, you know, it's time to do the house. Do the house, and now here you are. So we did FBO at home,

and then we went, once we were even babysitting four, we went and did FBO again at the church with a group with everyone else also. It's awesome. Just to stay focused, yes. Good for y'all. Well done.

I'm so proud of you. So what's this house worth? About $275,000. Very cool. How much is in your retirement? So we're about halfway there to Beams at Millionaires. All right. We're a little over halfway there now.

Good for you. Well done. Thank you. Yeah, so three or four more years, you're going to be there. Yes, that's awesome. Well done. So proud of you guys. So what is that?

Go ahead. Sorry, we were talking to someone in the last segment about working together with your spouse on different goals. So paying off your house is a huge goal together. So what did that do for your marriage? How do you feel like, did that unify you guys? Oh,

it strengthened our marriage. Totally. I don't think we were on the same page. Um, when it started out, he would have always had all the funds. He dealt with everything. He paid everything and then he was deployed and then I had to take over

everything. And then when he came back, I still had everything and we still weren't on the same page and it wasn't until we sat down got together did our budget meetings wrote our budget out that it strengthened our marriage it did it did wonders it's awesome we've gone from a one opposite end of the spectrum to another from the point where our electric bill used to come different colored envelopes and that's that's how we knew how far behind we were on electric bill. You know, to our very first house I lost to foreclosure, car repossessed, to years later here we are now, completely focused, completely different.

And now everything's done. And we'll be able to go into retirement with absolutely no debts at all. My kids make fun of us all the time. Well, you're doing it. Okay. So that's what I was going to ask, though. If there's a couple listening right now and they're, you know, 25 years old and they were where you guys were with just kind of like, eh, some credit cards, car loans, I don't know, like just, ugh, that feeling. What do you wish you had said to the 25-year-old version of you?

It's amazing, and you never realize until you have that paycheck. And today's my payday, and my paycheck today stays with me. It doesn't have to go out the door. There's no one else trying to get money from us anymore. Our paycheck now pays for tomorrow instead of paying for yesterday. And that's our biggest thing for us. There's a tweetable line.

I think staying focused also, knowing what we're both doing, having that budget, knowing this is what's coming in, this is where it needs to go, sitting down and just talking. We have dream walks where we'll just go now and we'll walk and just dream about what do we want to do in the future?

What do we want our kids to look like? What are we going to do? How do we want our legacy to look? Yeah. Way to go, you guys. So proud of you. Outside the two of you, who are your biggest cheerleaders? Our children.

We have five children. So as much as they make fun of all of us, they've pretty much all fell in line too. Going to school debt free, paying off things, stuff like that. So they finish, they make fun of us all the time, especially the nerd here. They make fun of him all the time, but they have totally supported us and been behind us. Sounds like they make fun of you, but there's a lot of respect. Well, it's nice knowing that now all the kids have gone to school, college, and they've gone debt free. They've all got theiroth accounts set up they you know they're not worried

about a credit score they've got money in the bank now that's a family change that's a family tree change yes yes yeah way to go guys congratulations thank you well we've got an advanced copy for you for baby steps millionaires because you're that's your next chapter we were already discussing that uh the book actually comes out January 11th, but I know a guy, so we're going to get you a copy today and get you one of the advanced copies that we send out to the press is what we'll do. And good stuff, man. And also a copy of The Total Money Makeover, which you've read,

but you can give it away now. You can pay it forward. Find somebody that's that 25-year-old, 35-year-old version of you guys, and before they know it, they'll be you and uh 260 thousand dollars in debt and cash flow lighter well done very very very well done all right it's christopher and deborah from newark delaware oh man absolutely powerful 260 thousand dollars paid off in 39 months making 149 to 258 it down. Let's hear a debt-free scream. Ready?

Three, two, one. We're debt-free! Yeah! I love it! Well done, you guys. That's how it's done. This is The Ramsey Show. I love it. Well done, you guys. That's how it's done. This is The Ramsey Show. Thank you. Rachel Cruz, Ramsey personality, number one best-selling author lately of the book Know Yourself, Know Your Money, which is now on sale for $10 as part of our big, huge Christmas sale.

So apparently Black Friday now self-identifies as a week. So Black Friday is now a week long, and you can get that. We've had a Black Friday special running the entire week. And so, yeah, you can get all this stuff at SeriousBargains at RamseySolutions.com. So be sure you check that out. All right. Up next is going to be Brian in Gulfport, Mississippi. Hey, Brian, welcome to the Ramsey Show.

Hey, Dave. Hey, Rich. How are you all doing today? Great, man. What's up? Hey, so I have a question about turnover rates for you on mutual funds. So I know it can be advantageous to have a lower turnover rate if you're doing it outside of like a Roth vehicle. Correct. Inside of the Roth vehicle, does the turnover rate really matter all that much?

Nope. Would it be a little bit more tax, you know? It's completely tax-free, so it's irrelevant. Right. Okay. That's what i thought and so that's why that's why for instance uh like a uh a growth in income or an s&p 500 might have a turnover rate of five percent meaning they only sell five percent of their stocks in a given year and so only five percent

of the gains on the that fund would be taxable in that year uh versus say an aggressive growth stock mutual fund might have a 200% turnover rate, meaning they might roll the whole thing over twice, which means every 100% of those gains would be taxable in a year, whether you cashed it out or not. Now, when it's in a Roth IRA, none of it's taxable, so it doesn't matter. And that's why we use an aggressive growth stock mutual fund inside of a roth but i don't hold aggressive growth stock mutual funds outside of tax protected stuff right on right on because um yeah we have a few different selections within my 401k and

you know of course the index is low and then we have a couple that are like 80 and 90 percent yeah and their 10-year benchmarks you know are quite i say quite a bit higher than anywhere from five six seven percent higher than the index so but they're also more and they're also more volatile if you look at them they're they're wild or they're a wilder ride that's why you don't put it all in the wild ride and you don't put it all in the grandmother driving her 84 chevrolet down the road either okay so you put it in uh put you know you have the safe ride in the wild ride and you mix them together to get a good portfolio balance. Right, right.

Right on. Cool, man. Thanks for calling in. Open phones at 888-825-5225. Rachel, there is a new awareness of investing details in the last 24 months that I don't know if I've seen in 30 years of doing this. Really? I always wonder that about trends that you've seen because of that. That's a young guy right there who actually really knows his stuff.

Yeah. I mean, he's asking like detailed, nerdy, mutual fund nerd questions, right? Right. And he really knows his stuff. And, you know know that's the good side of this investment awareness stuff um and you and i were taping a show this morning and we're talking about the bad side is that there's a right now there's a fresh batch of people falling for get rich quick like i haven't seen in a long time yep there's a lot of get rich quick stuff going on. Nothing down real estate, Bitcoin, gold.

People are chasing quick returns, quick money, quick easy money, quick easy money. And they're going to get burned. They always do when you bet your whole life on a wild ride. But that has come in waves. I mean, when I was 22 in 1982, I went to a nothing down real estate seminar. Yeah. And that got me started doing nothing down real estate, which I later went broke because of. So I was part of that get rich quick movement.

The movement that followed that was the infomercial movement. Yes. Cable TV went bananas after that. Yeah. Late 80s. Right. And so everybody and his brother, dave del dado and all these guys had midnight tv every time you turn on midnight tv there was any channel there was a get rich quick

real estate thing on and um it may have been one more since then but uh from the late 80s to now this one they'll get rich real estate right now people are that because real estate real estate oh inflation inflation and they're just you know they just lost their minds out so how much of the because there has to be an element of what we've all been through you know from 2020 and 2021 of the pandemic and all that right that there's like this i think it's psychological i agree like there's something that has shifted whether it's hey i want to control more that I know more. You know, there's a level of like the detail, like you're saying, people are wanting to understand their money a little bit more because the fear of realizing, oh, my gosh, what if everything's good?

Like, you know, I feel like there's that. And then there's the, well, you live once. Like, oh, God, who knows? YOLO. Yeah. Who knows what's going to happen? Let's bet the farm on Bitcoin. YOLO.

But the traditional investing plan. Yeah. I mean, I've even talked to some of my friends about it and they'll like question me and they're like so you read you guys really you really only do like your retirement you just do 401k roth irs account we have a mutual fund and winston and i we do we'll do paid for real estate on the side we just have one rental right now but but i'm like and that's kind of our next goal but but that's it and and and it feels it feels boring and it doesn't feel like you could be doing so much more. There's an urgency to. Well, this whole idea that all of a sudden you had the entire population realize we're all going to die.

You know, and they hadn't thought about it. A bunch of them didn't think about it. And they all went, crap, I'm going to die. And COVID did that it scared the crap out of people right yeah and you go i mean we all had at least a moment of that somewhere in there like this thing could wipe us all out sure nothing left but the lizards and the dogs i don't know but you know i mean it's just but uh but but there's a little bit of that but then but then other people stayed in that psychosis longer sure but it made us aware of our mortality

and what it did was some people's it panicked them yes and that's what's driving the some of this get rich quick yeah the get rich quick things i got in were more greed based this one's more panicked i might not be here long so i've got to get it quick kind of it's kind of a it's a fear urgency driving it and it's really dangerous yeah because it's good because you're not going to die as soon as you think you're going to. As soon as that fear, that irrational fear that's driving this says you're going to die. And so what's going to happen is you're going to live long enough to find out how stupid

you've been. I lived long enough to find out how my greed stupidity was, and it took me down. I lost everything to start again. The only way to avoid that is die. But otherwise, you're going to live long enough to reap what you have sown. And, man, you have sown the whirlwind, and you're going to reap the freaking tornado. It's going to come through your house, and you're going to go, oh, my God. I was so scared, and I got in a hurry.

Because as soon as you get desperate, right after you get you get stupid it's in it's in the cars you know you do i mean we all do and there's a there's a little desperation there bible says we're just here for a vapor yeah just here for a second yeah and that's true but it's not to panic you it's to say i'm going to be diligent i'm going to be serious minded wise but i'm not going to brood over it uh i might make it two days i might make it two decades but i'm not going to brood over it that's what i've got left and that's my time in the time that i have here i'm going to be wise with it and i'm going to be functioning thinking long term not thinking yolo right absolutely and we were saying this morning even until something has a long track record and that's

the problem with a lot of this stuff even you put crypto in this that the tracker is just not long enough to go and bet everything of these people you know that are cashing out of the market completely and going into these these industries that don't have a proven track record and that's if you want to gamble and you want to set fire to a percentage of your net worth possibly uh because you think something's kind of cool you want to buy a single stock in tesla okay you want to buy it because that oh now you're well i mean well but i mean there's a difference between the car and the company okay this is a no it's just and but tesla is a much better track record today than say it did 36 48 months ago sure absolutely it's much less risk now because

it's lived longer that's right that's right it's stayed alive yes you know and so it might be the next iphone right it might be the next apple i don't know are you gonna get a tesla no i didn't say that i said do you have it do you have an iphone i do i have an iphone yeah but i'm just saying but the that it's not a point of consumer consuming it right i'm talking about investing in the freaking company messing with you i know so you're talking about investing all i see is me driving a computer and i really want to want to drive that tesla you want to drive a battery i'm sorry you say tes say Tesla and I... Hey, you don't have to deal with the oil.

If it doesn't make noise, it's not a real car, Rachel. Oh, it is. But it's faster than your car. If it has to have a loud muffler or a redneck is not allowed to drive it.

I will race you and see who's faster. It's redneck law. Redneck Constitution says it must have a loud muffler. So your rednecks are not allowed

to drive a battery. We're not allowed to do it. You are changing your family tree for the good of electric cars. I don't even know what we're saying. I failed as a father.

Just invest in mutual funds. I think that's what we're saying. Have a friend or family member that needs a daily dose of Ramsey advice in their life? Let them know about the Ramsey Call of the Day podcast. It's a quick hit of advice about life and money in under 10 minutes. Check out the Ramsey Call of the Day podcast wherever you listen to podcasts.