The Ramsey Show - App - You Can't Fix Your Parents! (Hour 1)

Episode Date: July 31, 2019

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Live from the headquarters of Ramsey Solutions, broadcasting from the Dollar Car Rental Studios, it's the Dave Ramsey Show, where debt is dumb, cash is king, and the paid-off home mortgage has taken the place of the BMW as the status symbol of choice. I'm Dave Ramsey, your host. Thank you for joining us, America. This is your show. The phone number is 888-825-5225. That's 888-825-5225. Julie is on the line in Louisiana to start off this hour. Hi, Julie. Welcome to The Dave Ramsey Show.

Hi, Dave. I have a question about taking out my whole life insurance policy cash value. So I have $2,000 in credit card debt. I'm behind on my house payment, $1,200. I'm also renting, which is $1,500, and I owe various other things like $3,000 to a friend, $1,000 to an electrician, and other odds and ends. The cash value of the policy is $2,500, and I almost pulled it out yesterday, but my only reluctancy is that I just have 10 years left to pay on it, and it would be, of course, $26,000 for a $150,000 policy. I am single with no kids. I don't plan on having kids. While I think I might have a little regret once I'm able to pick myself back up that I would have cashed it out. So I really don't know what to do here. I would have zero regret because it's a piece of crap.

Okay. So you should do your investing in investments that perform much better than it does. It's basically the payday lender of the middle class. Your $2,500, they're going to keep it when you die and pay the face value. And so you've paid extra for a savings account you'll never get the benefit of. It's growing at about 1% to 1.2%. So it's like a bad savings account at a bad bank. And so, no, I have no regrets at all cashing it out now if you need life insurance you should get life insurance in place before

you cash it out and in what you just described to me i'm a lot more concerned that we find out what the real problem is underlying all this stuff than the symptom because if we clean up all your debts and what you described to me is still going on, you're going to be right back in a mess, because you're out of control, kiddo. Why are you paying two house payments? I completely understand. It sounds very messy, and it is for the moment.

I have not been able to work, and that's just... Why? Mental, very mental. And I know that that sounds like oh i'll just get over it no i didn't i didn't say that i mean what's the nature of your of your emotional troubles um so i uh dance in new orleans and um so you're not i and i wish i had access to a lawyer to ask questions but you're not technically an employee. It's a tenant-landlord situation, and I don't understand, but either way you can't be fired. But I was because I'm overweight at 128 pounds,

five foot four inches tall, and it's very hard to get up and go. But I know that I can gain income back. Okay, I'm sorry, just a second, just a second. So, the nature of your emotional struggles are you were fired? Yes. And in your mind unjustly fired, obviously. Yes.

Okay. Yes, and I think anyone would believe it. Okay, that's all right. So, what do you make a year when you are working? It fluctuates. I can make, I don't know, a year. I don't do my own taxes, and I just pay my taxes at the end of the year, whatever I'm told. So I don't know.

But I know that I could. How old are you? I'll be 33. Okay. So what do you want to be doing when you're 53? That's a great question, and I don't have the answer to that. I know I'm an entrepreneur at heart. I thought I heard that. Okay. I think you get the answer to that. I know I'm an entrepreneur at heart. I thought I heard that. Okay.

I think you get a fresh start now. Okay. I think the thing you were putting off because you were comfortable where you were, I think you now got a chance to go do it. Okay. Am I wrong? So if you wait tables and deliver pizzas so you get your new business started to eat, you're not incapable of doing that if you had a plan.

Your problem is you don't have a plan right now, and it's paralyzed you. Okay. Am I wrong? Well, my plan is to... Am I wrong? Not in... No, fine, no. No, I mean, it's okay. It's okay if you think I am.

Tell me. It's an honest question. Do you think you have a good... Well, I would like the collateral cash in hand to be able to start a business, and I currently believe that this is my fastest route if I could just get over feeling a lack of confidence, a newfound lack of confidence in that. Yeah.

And I'm presenting the idea that it might be something different. It might be that that was the last time you'll ever do that for a living and you're about to change. And that might be the most awesome thing that ever do that for a living and you're about to change and that might be the most awesome thing that ever happened to you in your life right now it hurts like crap i hear that i get you i understand there's nothing like a good dose of rejection to just kind of kick you into the gutter doesn't it right yeah i got you i've been there i understand hey we have a a program that christy wright does Boutique, equipping women to make money doing what they love, how to start and run a business.

I'm going to send you a copy of the book because you need an income stream, and then you're going to have to get organized and apply that income stream to straighten this mess up because $2,500 doesn't fix your problems that much, I'm sure. It's $7,500. Oh, I misunderstood you. But either way, it just i i did a lot it's a temporary fix and you need to sell the house immediately and you need to get organized and address these issues head on um and you can't let one guy do you know one character define you by

um getting fired. Most of us have been fired. I got fired one time, and I still don't know why. I probably deserved it, but I just wish the guy had told me why, you know, because I'm still bitter. It's a long time ago. You're going to be okay. You need a plan, though, and I think this is a fresh start. I think you need to quit brooding over your past let's

just go forward that's just an opinion from an old man on the other side of the other side of the microphone hold on and i'll give you a copy of business boutique and we'll get you moving to the next step we appreciate your call open phones at 888-825-5225 it's life on the radio some people think this is a money show it's actually a show about your life. Did you hear much money discussion there? You didn't, did you? There's always a little money around this, but that's because we deal with money in all the areas that we celebrate,

all the areas that we have pain in, whether it's our careers, our marriages, our relationships, our kids, our education, our future, our past. All those things got money twisted up in them. But money's very seldom the problem. It's almost always the symptom, Larry Burkett used to say. And boy, I found that to be true. When I screwed up with stuff, it always caused me money problems.

Isn't that funny? Yeah, it's not funny at all, but it's real. This is the Daveave ramsey show Are high health care costs getting you down? Are you confused trying to navigate your options? Do you wish you could find an affordable, biblical solution to your health care costs? Based on New Testament principles, Christian Health Care Ministries, or CHM, helps Christian families, churches, and ministries join together as the body of Christ to share their major health care costs. Christian Health Care Ministries is the original health cost-sharing ministry. A Better Business Bureau-accredited organization, CHM members share to pay each other's medical bills. It's not insurance. It's Christians financially and spiritually

supporting each other. It's what Christian Healthcare Ministries has done for over 35 years. And our members have shared over $2.5 billion in medical bills. To learn more, visit chministries.org. That's chministries.org. Christian Healthcare Ministries is a proud sponsor of Dave Ramsey Live Events. chministries.org. Tyler is in Boise. Welcome to the Dave Ramsey Show, Tyler. Hi, Dave. Thanks for taking the call. Sure. What's up? So my wife and I are on baby step two.

We have $49,000 in debt with a gross household income of $100,000. My wife will be leaving her job in September. And my question is, she has a retirement account, which allows her to cash out her contribution with no penalty, which would equal about $11,000. I'm wondering if that is something we should cash out to pay off debt. No penalty? No penalty. Are you sure? Yes. Okay. Highly unusual for a retirement account to be able to be cashed out with no penalty. So unusual, I don't know if you're right.

It's not the full amount, just her contribution. Was it a Roth of some kind? It's under the state of Oregon, the PERS. Okay. Yeah, I mean, you won't even have taxes on it, because her contribution has probably already been taxed, right? Or was it pre-tax? Yeah, it has been taxed. Okay, so there's no taxes and no penalties. Correct.

Yes, I would take that, and I would use it towards wherever you are in your baby steps. Okay, that's what I need to know. Thank you very much. That was easy. Okay, it took me a second to catch up with you, but yeah, absolutely. For sure. For sure. For sure. Our question today comes from blinds.com. A 100% satisfaction guarantees what they have.

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Awesome. My fiancé and I are finishing up baby step one and starting to line our debt snowball. My fiancé has IRS debt. I know you're very clear about listing debt's smallest to largest, but you also state the IRS is the worst debt to have. Should we attack IRS prior to medical and credit cards? Thank you for helping in shape our future. You should not be paying each other's debts at all until you're married. So for the next seven months, there's not one debt snowball.

There's two. He has one. You have one. We're both talking about it and yes the irs goes at the top of your debt snowball because they have a virtually unlimited power they charge very high interest and very high penalties and um now if you have a huge irs debt sometimes you need to put it on an installment plan and start paying payments on it and you might have to push it further down in the debt snowball just to make sense because

you may have a bunch of little ones you need to clear up first. I mean, let's say you had two $3,000 accounts and one $30,000 IRS account. Well, we'd probably put it out there on an installment plan and knock out the two little $3,000s and then go ahead and do the IRS. But in many cases, the IRS is a medium-sized to small debt. And if that's the case, you would move it to the top of a medium-sized to small debt. And if that's the case, you would move it to the top of the debt snowball and knock it out. But do not pay each other's debts for seven more months.

You wait until you're married to combine your finances. You'll put a strain on your relationship, and you set yourself up for all kinds of problems. Do not do that. Don't pay debts for someone you are not married to under any circumstances. Don't buy a house with someone you are not married to under any circumstances. Don't buy a dog with anyone that you're not married to under any circumstances don't even buy a cat not even a cat well maybe a cat but you know and it's she because it doesn't matter but yeah not a friend who just went through this horrible breakup and the worst part of the breakup was she took the dog Yeah. I had a friend who just went through this horrible breakup.

And the worst part of the breakup was she took the dog. Just, golly. Okay. Quality relationship. Kenzie's with us in Washington. Hi, Kenzie. Welcome to the Dave Ramsey Show. I am so excited to finally get to talk to you.

Me too. How can I help? So, first, I want to say I listen to you every single day that I'm doing my side gig, so I remember why I'm doing it. So I appreciate you helping me get through it. You are hustling and grinding. What's the side gig? I actually go grocery shopping for Instacart, and I go shopping for them, them for each customer and then I deliver it to their house. Cool. Good for you. That's a good hustle. Yeah. I've made $30,000 last year. Whoa. Yeah.

$2,500 a month. Nice side gig. Yeah. It's huge. You just have to save for your taxes for sure. Wow. Wonderful. How can I help today? So my question is, I modified my mortgage a couple years ago when I was in financial distress. And now I have a balloon payment coming due in 18 years. I know it's a while away, but I figured I'd ask you versus a banker because I wanted the right answer. And so, um, so my question is, should I refine my mortgage now or soon after baby step three or wait closer to my, um, closer to the 18 years? My mortgage is at 2% and it's $191,000 and the balloon, the balloon is 196,000 and the balloon is $196,000 and my house value is $350,000. I'm sorry, you owe $191,000 now? Yes, for my mortgage.

And there'll be an additional $196,000? Yes. At the end? Yes. Okay. So you really owe almost $400,000? Yes. Okay. So you really owe almost $400? Yes. If you were to pay off the mortgage today, like $380?

Yes. Okay. And what's the house worth? It's worth anywhere from $350 to $380. Okay. So you're going to have trouble refinancing it because you owe as much or more on it than it's worth. Yeah, I haven't had it assessed or anything like that. Yeah, if it's not worth in excess of 400, you're going to struggle to refinance it. I think it's probably, you know, number one, you got a good interest rate. Number two, you got a long, you got a pretty long

fuse on this bomb, I mean balloon. And so I think you're probably okay for now let's ride this a few more years the average person moves in america every six years 6.2 to be exact and the average mortgage is refinanced every 5.6 years on and that's the average that doesn't mean you're going to move more or less i don't you your life. I'm not saying that. But there's a pretty strong likelihood that 18 years from now you will have already sold the house and moved. Okay. Just normal course of living, you know. You may not.

And, you know, if you get down there a little ways and you haven't refinanced it, you're going to want to do that. But you're going to need some equity to do that. There's no advantage to you doing that today. And there's certainly no panic with it being 18 years away. And all of that modification is in writing, isn't it? Yes, absolutely. And you have a good file on that in case the mortgage company has a memory lapse. Yes, absolutely.

Absolutely. I suspected you did after talking to you. You're a go-getter, kiddo. Proud of you. Well done. Very well done. Lisa is next. Lisa is in North Carolina.

Hi, Lisa. Welcome to the Dave Ramsey Show. Hi, Dave. How are you? Better than I deserve. What's up in your world? Thank you for taking my call. So I wanted to see if I could get some advice.

My mother passed away, and she left me some money, and I have no idea what to do with it. Wow. When did she pass? About a month ago. I'm sorry. How old are you? 30. How old was she? 60. Wow. She died young. Okay. When I was 30, I didn't think 60 was young. Now that I'm 60, I think it's young, but yeah you know. Okay. Oh, my gosh. So how much did she leave you? A total of $158,000. Wow. About $71,000 in life insurance. So the rest is a beneficiary IRA. The rest is a beneficiary IRA.

Okay. Yes. Okay. So about $70,000 of each. All right. And do you have debt? Yes. Okay.

I'm going to take this money and apply it to wherever you are on the baby steps if you're working the baby steps. Are you familiar with that? Yes. Okay. I'm going to take this money and apply it to wherever you are on the baby steps, if you're working the baby steps. Are you familiar with that? Yes. Okay. Do you have a copy of the Total Money Makeover? Yes, I do. Okay. If you use this money wisely, write up that list of baby steps that the Total Money Makeover outlines,

you're going to have used it in the best possible, wisest possible way. And I think your mom will be proud of you for doing that. This is the Dave Neumann. Julia's on Twitter. Dave, can you explain why you recommend opening up Roth IRAs to contribute some of the 15% rather than dropping all the 15% into the company-managed 401k? My company matches at 3%. Good question. Well, to start with, let's understand a company-managed 401k does not exist.

You have a company 401k. You manage it. The money choices inside the 401k are yours, not your company's. So they don't manage the account. You manage what your investments are going into. But what we have figured out mathematically, when we say at Baby Step 4, four put 15 of your household income add if you have two incomes or three incomes add them all together times 0.15 15 now that's the dollar amount that should be going into retirement the most efficient mathematical process is to invest in what we call

rock paper scissors the first one you want to do before you do anything is take the match. You have a 3% match, you want to take the match because there's nothing that beats doubling your money on day one. If you put in $1,000, they put in $1,000, you made 100% return on your money before any mutual fund performed. That is what's known as sweet. So we always take the free money up to the match. And then we say Roth.

Now, if you have a Roth 401k, you could stay with your 401k. If you don't, you would do individual Roths, or you may do both. But you want to do everything you can in Roth after match. And if you still haven't gotten to 15% after you maxed out all Roth options available to you, then you would do traditional. Now, why would I recommend doing Roth rather than traditional, which is kind of what you're asking? All right, let's take a basic example of a middle-class family making fifty thousand dollars household income fifteen percent of that is seven thousand five hundred dollars a year six hundred and twenty five dollars a month being invested without a match if that were invested in

a decent growth series of growth stock mutual funds like we recommend growth growth and income aggressive growth and international outperforming the S&P, which is possible. I buy mutual funds that outperform the S&P, and I also buy some in the S&P, do a little of both. But if that's what I'm going to do, and I did that from age 30 to age 60 for 30 years, I'd have $2.2 million in that account. Now, that would be true of putting $625 into a Roth or $625 into traditional. Either one. Okay?

It's going to grow to the exact same amount if it's the exact same investments and the exact same amount of dollars going in. Okay? So that's what we're doing. Now, once we've done all of that okay we look up and at age 60 you would have around 2.2 million dollars in this account whether it's a roth or whether it's a traditional now this is not counting match so 7,500 a year 625 dollars a month from age 30 to age 60 will be around 2.2 million dollars now if it is in a traditional you put in the money pre-tax and you've not paid taxes on your contribution

and the entire amount of growth is taxable and so your contribution and the growth is taxable it's a tax deferred, which is a wonderful investment. There's nothing wrong with that. But the entire $2.2 million will be taxable. If it is a Roth, you've got your money in after tax, so you've already paid taxes on the $625 a month. So you had to make more than $625 to get to that. So granted, the math is not really apples to apples,

but this is the reality of people's investment strategy so if we do that we've got 2.2 million dollars in there here's the thing a roth ira grows tax free now you've already paid taxes on your contribution, and the growth is all tax-free. So the $2.2 million is completely tax-free now, but you paid taxes on your contribution. Now, here's the contribution. $7,500 a year for 30 years is $225,000. So out of your $2.2 million, roughly $2 million of it is growth, which is all taxable in a traditional and zero taxes in a Roth. So if you paid it at a 25% tax rate, this is a $500,000 tax bill on a traditional over a Roth. Now, you would want to do that if you'd already doubled your money with a match. You don't want to do that just because you chose the wrong box, traditional versus Roth.

Choose the Roth. So matches first, Roth because of tax-free growth and most of your money is growth, and then if none of that is, if that doesn't get you to your 15% or you don't have those things available for some reason, then you would do traditional. And that's how you roll the thing out, and that's why we do it that way, Julia. All right, Nick is with us in Kansas. Hi, Nick. Welcome to the Dave Ramsey Show.

Hi, Dave. Thanks for taking my call. Sure. What's up? So I'm having a little bit of trouble dealing with my money with my parents. And I want to be a little more gazelle intent about saving up for my emergency fund and maybe step three. So currently I live with them. I'm only 23 years old.

So, I mean, you know, work and try to save up money. But I feel like it's fair for me to help them out. But, you know, it's just like I feel like the spending has gotten a little more over the top in the past couple months. And kind of like I've talked to them a couple times, and we don't really get anywhere. If we do, we don't really follow through, you know? Mm-hmm. So beyond the... So what is your income? I make $79,000.

Why do you still live at home? Well, because my parents aren't really making that much in the first place to support them and my little sibling. Mm-hmm. Mm-hmm. Okay. Well, I think the first thing that needs to happen is you need to move out. That's the first thing. It's very difficult to set boundaries with someone who's providing your housing. I see. It's a parent-child thing is now confused.

You're a 23-year-old young man, and they still view you as a 16-year-old with a really cool loan-cutting job. Hmm. Okay. Is that possible? You think I might be right? I mean, I'm not disregarding that, but in a way, it's like, I don't know. I mean, they're in their early 60s, and they're struggling to make ends meet by themselves. Why?

Well, my dad, he ran out of his emergency fund recently after losing his job. How did he lose his job? I'm sorry, say again? Why did he lose his job? Things weren't going well with his boss. And this has been a pattern in his life, maybe? Not particularly. Okay.

So what did he used to make? I personally don't know that. Okay. Does your mom work? She does part-time. Okay. All right. So you make $80,000 a year almost.

You're 23 years old. What do you do for a living? I'm a software engineer. Okay. I do not think you're going to be able to fix your parents. I see. I think you can love your parents well, and probably the best way to love them and even help them some financially would be from a little bit more of a distance.

I think this has become toxic, you living there, because it's so confusing to them and you. If you don't watch, you're going to be 33, and they're going to be in their 70s and still unemployed. Now you're supporting the whole kit and caboodle, which makes you what's known as an ineligible bachelor at that point. No girl wants to marry that guy. True, true.

All right, well. I mean, that's where this is heading, it sounds like, because it sounds like this is a lifelong pattern for mom and dad. And you can love them, and you can even give them some money, but I would do it from a distance. I think you're going to struggle to set healthy boundaries and have a quality adult-to-adult relationship with them until you move out. And you certainly can afford to move out.

And so you make $79,000. You can just move out tomorrow. And then if you want to support them for a little while and give them $500 a month or something or $1,000 a month or whatever you want to do until they get back to work, and you set some boundaries on that, so this is only going to be for four months, dad, you're going to have to get back to work, and you can do that kind of thing. It's a little difficult to do that when you live under his roof. It just confuses things. Anthony is in Arkansas.

Welcome to the Dave Ramsey Show, Anthony. Thank you, sir. I want to say thank you for being available to consult like this. Well, thank you. How can I help? Well, my wife and I bought a house about nine months ago. It was October. After we bought the house, the equity has kind of grown. My wife and I got into listening to you shortly thereafter. We're in the middle of baby step two now. And the question is, we bought the house on a 30-year loan. And the question is whether or not switching over to a 15-year loan at this point would be a

good idea. My wife thinks that the drop in percentage rate would be worth it, and I'm not sure if by the time that we really will have the option to refinance, we'll have already snowballed to the point that I think it might be worth it to just hang with the current 4.75% that we have. Well, what's your loan balance? Currently the principal is $166,000. Okay, so if you saved 1% and got a 375, which you should be able to do right now easily, that would be, you said $160,000? Yeah, $166,000. Okay, so $1,600 a year, and so if you're refinancing, regardless of the 15 versus 30 issue, just on a pure interest rate, the only way you decide on're refinance regardless of the 15 versus 30 issue just on a pure interest rate

the only way you decide on refinance is your interest rate savings okay okay now if it costs you 3200 to refinance which it likely would okay i'm just making that number up because it's nice and round and you save 1600 a year that means two years you would break even. The third year, you would make $1,600. That make sense? I see, yeah. That's your break-even analysis if your closing costs are $3,200. I think they were telling me it should be somewhere around $5,000. $5,000?

That's what I was understanding. That sounds a little rich. Okay. Okay. I would investigate that. That sounds like you're paying. That sounds a little rich. Okay. Okay. I would investigate that. That sounds like you're paying a bunch of points or something, and at 375 you wouldn't be paying any points for sure. It's probably cheaper than that, probably three and a quarter.

So anyway, you take what your interest rate saving, your savings on your interest rate times your balance, and then take that dollar amount and divide it into whatever closing costs you're looking at. And that tells you how long it's going to take you to break even. Does that make sense? Okay. It does, yes. Once you've done that, if you're going to keep the house longer than that period of time, or you intend to, then it makes sense.

Most of the time, a refinance that takes longer than two years to break even, two and a half years, doesn't make sense. If you've got a five-year break even, two and a half years doesn't make sense. If you've got a five-year break even on something, don't do it. I see. Okay, it's too long. It's not enough of a savings to justify it. Now, then, while you're at it, put it on a 15. But let's use another example.

Let's say your current rate was 375. Okay. You would not refinance to go from a 30 to a 15. If you'll just take your calculator, get a financial calculator online or on our site, and just put in your loan balance on a 15-year, it'll tell you what the payment would have been on a 15, and you pay that much extra in principle, the difference in the 15 and the 30, then you would pay your 30 extra in principle, the difference in the 15 and the 30, then you

would pay your 30 off in exactly 15. There's no benefit to refinancing just to move from a 30 to a 15. Now, if you're taking out a loan, I would always take out a 15 or less, okay? But if you're already sitting in a 30 and your interest rate is competitive or your break-even on a refinance is too long and you want to convert your 30 to a 15, simply pay it like a 15. Pay that much extra in additional principal every month and you'll be done in exactly 15 years. And that's how the math works out. So the point is the only reason to refinance on your house would be if the interest rate savings makes sense.

I appreciate that. That gives me the tools I need. Perfect, man. Thank you for calling in. I appreciate it. Open phones at 888-825-5225. 888-825-5225. Hey, have you changed jobs lately?

If you did, listen up. But a recent study shows that 51% of employees who change jobs, that's half of you, leave your old 401k with your previous employer. That's probably okay, but I think you can do better. That's good, but it's not best. Best is to roll your 401k when you leave. Every time you leave a company, take everything you can with you and roll it to an IRA. If you have a traditional 401k and you roll it to a traditional IRA, you have zero taxes. You do what's called a direct transfer rollover.

You meet with one of our SmartVestor pros, pick out the mutual funds, fill out the paperwork. They send the paperwork to your 401k. You never see the check or touch the money. It goes straight from your 401k into your newly formed IRA. And a direct transfer rollover is the way to do it. If you need some help doing that, click SmartVestor at DaveRamsey.com, and it'll drop down a list of the SmartVestor pros in your area that we have vetted that have the heart of a teacher and that think and teach like we do. So they're going to sit down with you.

I'm not in the investment business. These folks are. But they're the people I personally use on my personal investments, and they're going to approach this the way we teach you. So, hey, thanks a bunch. Open phones at 888-825-5225. Chris is in Washington. Hi, Chris. Welcome to the Dave Ramsey Show.

Hey, Dave. How are you doing? Better than I deserve. What's up? Hey, so I have a question about I'm getting married in like literally 10 days. Way to go. And, yeah, thanks. days way to go and yeah thanks and um we are looking at i'm looking at potentially the next you know a couple months after that we have about 38 000 in debt and about 10 of that is my fiance's

car um and uh should we but we have some equity in it it It's worth about $12,000. So I was thinking that selling her car would give us a jump start into our debt snowball. We work together, and so we commute together. And so her car is rarely used, but her hiccup is she's kind of worried about not having, you know, that transportation if emergencies happen. So I'm wondering if it's worth it to do it. Well, it's only a fourth of your debt. So what will your household income be? Going into next year. So she just actually went to full time.

So we're looking at probably about $80,000. Okay. So how quick do you project clearing up 38 making 80 six months wow you don't get with it i don't know how you're gonna do that you're gonna make 38 in six months well we have um uh we we have a little bit of an advantage my uh we have a roommate and then also another roommate that's coming. So our household payments are pretty low. And then we work for a company where during the holidays we get a lot of overtime. So I'm projecting quite a bit.

So more than $80,000 is what you're telling me. Potentially. It's not a guarantee. $80,000 would be what we would normally make. Okay. But you're thinking you're going to make more than that in the first six months of marriage and clear the debt very quickly. Yeah, you're going to clear it so quickly that selling the car really doesn't give you a huge advantage. Right.

Let's flip this on the head. Let's say you were going to be in debt three years because the car was $33,000. Well, I'd sell it in a heartbeat. Right. But this car doesn't really solve much of your problem you've already solved most of your problem with your planning and with your ability to work like animals you guys are you guys are go-getters man yeah uh we went to your financial piece last year and i've been i'm kind of a psycho about it i really want to get out of debt as quick as possible. Yeah. I think you're okay. Calm down one quarter of one degree and keep her car. You're

going to, you're going to be fine. You're going to be just fine. How old are you? I have a, uh, we're, I'm 27. She's 26. Oh man, you're on fire. You're going to do great. Do you, do you think, um, and this is completely sub subject subject, random, out of the ordinary, but so my brother is also going through some pretty difficult issues, and we're obviously in Baby Step 2. I wanted to see if it would be okay to put him through a financial peace university. I know that's technically not in Baby Step 2,

so that's why I wanted to know if you think that would be okay. Oh, I'll tell you what, I'll take care of it for you. That'll be my wedding gift to you guys. I'll pay for him to go through. You hold on and I'll have Kelly pick up and we'll get him signed up. And that takes care of the dichotomy. Thanks for the call, man.

Congratulations. Good stuff. You're on fire, dude. You're going to be just fine. I'm proud of you. This is The Dave Ramsey Show. Hey, it's Kelly, associate producer and phone screener for The Dave Ramsey Show. This episode is over, but if you heard about a product or service and didn't have a chance to write it down, don't worry. We list everything that is mentioned during this episode in the podcast show notes section. Thanks for listening.