0:29

Live in the headquarters of Ramsey Solutions.

0:31

This is the Rails A show

0:33

where we help you. Win in

0:35

your life. specifically with your

0:37

money, your relationships, and your

0:39

work for. Boy eighty Five

0:41

Five Two Five is pulled

0:43

over. That's probably a good

0:45

bye bye to do. Five. I'm

0:48

Kid Coleman, The Incomparable. The fantastic, fabulous

0:50

Jade Warshaw joints. Read this: our always

0:52

fun partner when we're hanging out together.

0:54

Now a little bit later in the

0:57

our i might reveal all just revealed.

0:59

Just a little bit. You have a

1:01

big milestone coming up, but I don't

1:04

know whether or not I won't see.

1:06

Okay, I'll just you can decide if

1:08

you want to tell. Okay, I think you've already decided.

1:10

I think I just got the message saw. Hold on

1:12

to. That, but. It's it's I will.

1:14

You get a dog. Or

1:18

we'll see. We'll see if I get it. it

1:20

say about does she's awesome! Love hanging out with

1:22

Jaden. She's going to take your money courses. I'll

1:24

chime in. I'll take any work related questions and

1:27

it's good that bigger to shovel. Go on. How

1:29

do I make more money? and Jade will chime

1:31

in on those as well. So let's go America!

1:33

Triple Eight. Eight to five. Five.

1:36

Two to five. Kimberly start us off

1:38

the shower in Charlotte, North Carolina. Kimberly:

1:40

how can we help. Hi

1:43

Thank you so much for taking

1:45

my my car Bad. I.

1:47

Am I moved down here about a year ago?

1:49

I'm a. Full time

1:52

student adults? didn't I mark her

1:54

full time server? And

1:57

I moved down here a year ago.

2:00

The jersey I'm too because my mom

2:02

had gotten sick and I couldn't take

2:04

care of our on my own and

2:06

my sister greater to help out. If

2:09

I move down here I'm. I

2:12

was originally planning on going to grad school

2:14

and continue on in order to get a

2:17

job with my degree arm, but that's no

2:19

longer an option because now I'm carrying my

2:21

mom. So. The only

2:23

experience I have is. Serving.

2:26

And restaurants throughout that I worked my

2:28

way through college and that's not paying

2:30

the bills. And that's not a paying

2:32

the bills enough for me to start

2:35

to support myself as well as my

2:37

mom. Armed and my sister said

2:39

that she can't handle it, so she says

2:41

she's leaving at the end of the lease.

2:44

And I'm going to be on. My own

2:46

and I graduate this spring and

2:48

I have no idea what job

2:50

I can get. And What? Would.

2:53

You graduate degree. Philosophy

2:56

and Religion in which direction where you going

2:58

to use said it. I was planning to

3:00

do this and know I can't so where

3:02

was are gonna play our was the goals.

3:05

While. I was interested in I

3:08

did really well at school

3:10

and I was approached by

3:12

the government or foreign service

3:14

officer and policy and and

3:16

peacemaking which really interested me.

3:18

I'm I was on see

3:20

the source or a philosopher

3:22

growing up some and and

3:24

about before that my plans

3:26

with to go into a

3:28

processor university professor. Of of which

3:30

requires a masters and a doctor. Now Okay, but

3:33

I'm but I think you've limited yourself and that's

3:35

what I want to do on a talker. A:

3:37

what are you can do so you're going to

3:39

finish Was just a dream maze or correct? Yes,

3:42

he got a bachelor's what are you making

3:45

as a waitress where he serving what how

3:47

much you making. Nothing's.

3:50

Not nothing. About where you

3:53

were and how much you make and we we gotta

3:55

walk through this. you gotta give me some numbers that get

3:57

somewhere. On probably

3:59

bringing home. around 700 a week. Okay

4:01

and where you just working at a

4:03

chain restaurant? What's going on? It's

4:06

a fine dining steakhouse. Oh good okay so you're

4:08

getting some good tips it's just you're limited in

4:10

what you can do there is what you're telling

4:12

us. Right. Alright so

4:14

here's the deal you've got a college

4:16

degree and I don't care if it's

4:19

in philosophy or biology doesn't matter with

4:21

that bachelor's degree you have the

4:23

option to teach now you may not be able to

4:25

teach on the higher ed level but you can teach

4:27

yes or no. Yes

4:29

and I looked at I'm sorry

4:32

I'm sorry I cut you off but here's what

4:34

I wanted to say you

4:36

can teach and

4:38

and you can teach a lot of different topics and it

4:41

it actually gets you on that path may

4:44

not be the destination that you are aiming at but

4:47

but teaching is at least that love

4:49

that idea that you had initially so

4:52

what's keeping you from pursuing that because

4:54

there are teachers that are dropping out

4:56

all the time school systems need teachers

4:58

you're gonna have a degree and you're

5:00

gonna make more money so what's

5:03

keeping you from doing that? Well

5:05

I was looking at that path I

5:08

was looking at that path and for

5:11

Catholic school teaching high school Catholic

5:13

school teaching I don't need to

5:15

be certified by the state to

5:18

do that so I started contacting the

5:21

diocese here in Charlotte and

5:23

got some information interviews about what

5:25

that would entail so that

5:27

is a possible path that I am

5:29

pursuing. What is the financial outlook

5:32

though? What is the pay range? Not

5:35

just limiting ourselves to the Catholic schools what's

5:38

that look like for you? Right well the Catholic schools

5:40

is actually a higher pay range in the public

5:42

school. So what would that range be? Between

5:45

60 and 80 to start. Great so

5:48

I want to bring Jayden really quick here. Jayden

5:50

I'd like to know Kimberly what the

5:52

shortfall is gonna be if sis is

5:54

backing out so she's not

5:56

helping with rent presumably what is the shortfall

5:59

that you have? to be able to take

6:01

care of your of your living

6:05

expenses. Can you walk Jade through that? Yeah, what

6:07

what tell me more about your financials? Obviously we

6:09

know you're making around 2800 a month. What's

6:13

the total rent or at least payment that

6:15

you have that you'll be taking on? So

6:19

I wouldn't be able to stay at the house. It would

6:22

be it's 2300

6:24

for the house. Okay, so

6:26

have you started actively looking for other

6:28

places? Yes, okay.

6:30

So when I moved down here it cost

6:32

me 5,000 to move down here. So

6:35

that put me into more debt obviously.

6:37

Okay, so okay and that's on a credit card?

6:41

Yes, keep

6:43

going keep running out the story. So

6:46

my total debt right now I have about

6:48

10,000 debt on credit card. Okay,

6:50

10,000 credit cards. My

6:52

student loans are gonna kick in and

6:54

I have well they probably

6:56

won't kick in for another eight

6:58

or nine months. That's right. It'll

7:01

be about 22,000 in total. Okay,

7:03

anything else? Cars? And then I

7:05

have 5,000 left on my car.

7:07

Okay, good. Okay, when

7:10

you're looking out there for apartments what do you think you

7:12

can get and can you get another roommate? Can you get

7:15

something cheaper with a roommate? That would be my thing one.

7:17

I'm not looking for the $2,300 apartment. I'm looking for the

7:19

$1,800 apartment if possible.

7:23

Something I can share with somebody that

7:25

is reliable and dependable because

7:28

what I'm hoping to get you to is an

7:30

apartment that you could afford on your own in

7:32

case the roommate moves out but you've got a roommate there

7:35

as a safety net so that you can save some money.

7:37

So that's what we're looking for and

7:42

listening to what you said to Ken, I just

7:44

kind of want to know what the timeline is on this Catholic

7:46

school thing because that's an

7:49

income problem. That's the true issue

7:51

here and you know I've said this

7:53

before and I'll say it again anything

7:56

that's making more than what you're making now

7:58

anything you can add to that is

8:00

a plus right now. Even if it's not, you know, it might

8:03

take several months for this Catholic school thing to shake out,

8:05

but if there's anything that you can add to what you're

8:07

doing now to solve this

8:09

income problem that's short term, then do it.

8:12

Kimberly, I want to add to that. You

8:15

can, and we're going to give you every dollar. Jade,

8:17

let's give her something here in about 10 seconds,

8:19

but Kimberly, listen. With that degree

8:21

and a 3.7 unemployment rate

8:24

in the United States, and Charlotte is

8:26

a very good market. You are

8:28

just using that degree to do whatever you need

8:30

to do to get a foot into

8:33

this debt, kick it out, and

8:35

then we make the progress. But I would be teaching,

8:37

I'd be going the direction you want to go, but

8:39

you've got to make more money. Jade, what can we

8:41

give her? Let's give her every dollar. Matter of

8:43

fact, let's set her up with Financial Peace University, that

8:46

whole Ramsey Plus bundle, so she can have everything she needs. Kimberly,

8:48

follow the steps. You've got this. You can do

8:51

this. This is The Ramsey Show. How

8:56

does an extra $1,200 in your bank account sound? Well, that's

9:00

exactly what the US Concealed Carry Association

9:02

is giving away. You can enter for

9:04

your chance to win $1,200 by

9:08

visiting uscca.com/Dave. Plus, get one

9:10

of their most popular resources,

9:12

the Concealed Carry and Family

9:14

Defense Guide, 100% free. The

9:16

guide helps you better protect

9:19

yourself and your family. Inside, you'll

9:22

learn ways to spot attackers before

9:24

they strike, equipment and training basics,

9:26

and a whole lot more. Claim yours

9:28

and enter to win $1,200 by

9:32

visiting uscca.com/Dave right

9:34

now. All

9:38

right, who needs some help out there? You're just going, I'm

9:41

not where I want to be. I'm not where I want

9:43

to be with my money. I'm not where I want to

9:45

be in my relationships. I'm not where I want to be

9:47

in my professional journey. If that's you,

9:49

no shame in your game, number

9:51

one. And number two, we'd love

9:54

to help. We've been Jade Warshaw,

9:56

my colleague, co-host and friend, and

9:58

I'm Ken Coleman or Ramsey. personalities and we're

10:00

here for you. This is

10:03

a listener of your show.

10:05

We are here for you. We take

10:07

your questions. Triple eight, eight, two, five.

10:09

Five, two, two, five. Triple eight, eight,

10:11

two, five. Five, two, two, five. Let's

10:13

go to Detroit now. Kendall is there.

10:15

Kendall, how can we help? Hi.

10:18

Nice to talk with you today. You too. What's going on?

10:22

So I just graduated medical school about

10:24

a half a year ago. Hey, cool. Congrats.

10:28

Thank you. So I'm about three and

10:30

a half years left. Obviously, residency salary is

10:32

about $60,000. I have about

10:34

220 in student debt, but

10:36

no other debt in my life. So

10:39

my plan is like, you

10:41

know, I can't pay off my debt while I'm a resident. I

10:43

don't make enough, but when I graduate, I was going

10:45

to live off of like $40,000 and pay

10:47

off my debt in two years. But my question

10:49

is, I don't have like any money saved for

10:52

retirement and I'll be 33 when

10:54

I start making six figures. So should I

10:56

prioritize paying off my debt or should I

10:58

start saving more for retirement? Well, Jade's going

11:00

to help you on that, but I'm just

11:03

real curious. What do you think that starting

11:05

salary is and what do you think

11:07

the range is maybe in the first couple of years? $270,000

11:11

to $300,000. Jade,

11:15

you could do something with that, can't you, coach? I'm

11:18

excited for you. Thank you. I'm

11:21

very excited too. You should

11:23

be. I'm excited for you. You know,

11:25

you've got this big milestone, you know, coming up, you've

11:27

got three and a half years left of med school.

11:29

So that's cool. So luckily you

11:32

came out of this with only $20,000 of

11:34

student loans. Can I just quickly ask you?

11:36

No, $220,000. Yeah,

11:38

$220,000. I caught that one. Whoo, listen, I'm glad I

11:41

asked because I was like, how in the world did

11:43

you do that? All right, so you've

11:45

got $220,000 of student loans, nothing else, right? Yes,

11:48

nothing else. Okay, and

11:50

we've got a couple more years of $60,000 salary. $60,000 to

11:53

$80,000 or just Yeah,

11:58

like $60,000 to $70,000 probably. Yeah,

12:01

I'm with you. They're not

12:03

going to become due until after you graduate,

12:05

right? And then you've got, well,

12:09

are they going to be? Does your residency count

12:11

for that or is it separate? So

12:14

they're on, I'm on an income based

12:17

repayment plan and also the safe plan. So like

12:19

typically they gain a thousand dollars

12:22

a month of interest, but those

12:24

two plans allow me

12:26

to pay two 33 and the government pays

12:30

the rest of the interest. So they're not going to grow in

12:32

residency and I only have to pay two 33 a month. When

12:35

I graduated, that'll change. Okay. Okay.

12:39

Got it. Um, you know, I would try to pay as much as

12:41

you can with the salary that you have. I mean, that's all that

12:44

you can do. But what I really want

12:46

to address is the

12:48

fact that you said that you're only 33 years old and

12:51

you'll be 33 when it's time to retire or when

12:53

it's time to start saving for retirement, you don't want

12:55

to be behind. And I, whenever I

12:58

hear that, I kind of just want to let

13:00

people know like I've been there. And you

13:02

know, when my husband and I were paying off our student

13:04

loan debt, which was about 280,000, you

13:07

know, we didn't finish that until we were around

13:09

your age, 33, uh, pregnant with my,

13:12

my son and we hadn't started investing

13:14

at all. And I

13:16

kind of want you to understand that you're going to

13:19

be okay. So let's just pretend I

13:22

love doing the investment calculator. So let's, let's just play

13:24

around here. How old are you? Can I ask?

13:27

Yeah, I'm 29 right now. Oh my goodness. You're

13:29

29. So let's just say I'm

13:31

going to plug this in. We have a really

13:33

cool investment calculator and I'm just going to say,

13:35

let's pretend you're 29 years old now. Let's pretend

13:37

that you plan to retire at age 62. Let's

13:40

just say that. Um, and you have your

13:43

own retirement now, right? And

13:45

let's just say because you're, let's

13:48

say because you're saving for a home, you're

13:50

not investing the whole 15% that we would

13:52

advise when the time comes. So let's say

13:54

you're investing 10%. So $2,700

13:56

a month. Fair? Yep.

14:01

Okay. So we're doing 2,700. I'm

14:03

plugging that in and let's

14:06

just be very conservative and saying 8% annualized

14:09

rate of return. Let's

14:12

calculate that and see what that'll be. So

14:14

when the time comes you'll

14:16

have over five million dollars.

14:20

Oh okay. Five million

14:22

dollars. Yeah that's a lot. Yeah

14:24

I think you're gonna be alright. So that's what I

14:26

want you to leave here with is alright

14:29

I've got time. I'm

14:35

working on doing the MD thing. I'm paying as

14:37

much as I can. Once I hit this salary

14:40

I'll be able to knock out whatever remains. I'll

14:42

save up three to six months of expenses in

14:44

baby step three and by then like I said

14:46

you might be wanting to save for a down

14:49

payment too and that's baby step 3b and that

14:51

comes before you start investing. So you've got time

14:53

and you might start to do baby step 3b

14:55

and baby step 4 which is investing 15% at

14:58

the same time. Whatever

15:00

you choose there you're gonna be fine. Five million

15:02

dollars that makes me sleep a lot better at

15:05

night. And by the way Kendall those numbers

15:07

are gonna be way bigger than that. She

15:09

was just going real conservative here. That's if

15:11

you never make any more money. You're gonna

15:14

pay off your starting salary. Two

15:16

years you pay off your debt then you got

15:18

your emergency fund after that you save for a

15:20

house. Let's just say you don't start investing until

15:22

36. Again not an

15:26

issue because of the amount of money that your 15%

15:28

represents. And the compound

15:31

interest is insane. Okay so you don't

15:33

have to worry about that. That's the

15:35

point. I know that's the whole thing

15:37

that you called about. You're

15:40

not too late. You aren't gonna

15:42

be destitute. You're gonna be very very

15:44

wealthy. Is it Kendall?

15:46

Right now it's just me. I'm still figuring

15:50

that out. Yeah so that's a great

15:52

point Jade. That doesn't take into account a double income.

15:54

Oh by the way you know what else it doesn't

15:56

take into account? All the money you're

15:58

gonna make on a house because you're You're going to put

16:00

a really big chunk down and you're going to pay

16:03

it off. Yeah, you're going to have a paper house

16:05

when you retire as well. I got to tell you,

16:07

Kendall, I'd be shocked if you

16:09

don't do what we tell you to do if you're not

16:11

in the 10 million range by

16:13

the time you're 65. Be

16:16

shocked. That's incredible. I'm not making that

16:18

up, am I? I never thought of the security, yes.

16:20

I don't think that's a stretch. No, I don't think

16:22

that's a stretch. So

16:24

you got this. You got it? Thank

16:26

you. Yeah, I really appreciate it. Follow

16:28

the plan. Hey, do you have any of our

16:30

products? You got any books

16:33

or anything that you kind of lean on? I

16:36

don't. My sister went through your program and

16:38

she normally just talks to me about all of this

16:40

kind of stuff. I want to

16:42

give you something, Jade. Let's give her something to kind

16:44

of cement this so that she can see the process

16:46

for sure. Total Money Makeover. Yeah, Total Money

16:49

Makeover and hey, I want you to head

16:51

to everydollar.com/jade and I want you to pick

16:53

up Every Dollar Premium and it'll

16:55

give you $15 off. And

16:57

what I love about Every Dollar Premium is you

17:00

can kind of, the same way that I plugged

17:02

in your numbers and gave you that snapshot of

17:04

what your investing future could look like, we've got

17:06

a financial roadmap planner on there that you can

17:08

plug in all sorts of numbers to

17:10

figure out where you want to be and where you're

17:12

going to meet certain milestones. So you can plug in

17:14

numbers to figure out how long it would take you

17:17

to save three to six months of expenses or how

17:19

long it would take you to save up for a home,

17:21

those sorts of things. So we'll make sure

17:23

you have that and I think she's all set. Kendall, you're a

17:25

rock star. Okay, Jade, we've got about

17:27

a minute here. We've got new people coming in all

17:29

the time so I think it's really good to revisit.

17:32

What is a really sensible question? Yes. And

17:35

that is, I've got all this debt and if it

17:37

takes me six years or five

17:39

years or four years to pay it off, I'm

17:42

so far behind the eight ball in investing

17:44

why do we teach that the way we

17:46

do, that we clear debt first before we

17:49

invest. Explain that to newcomers who might

17:51

still be going, ah, really? I

17:53

mean there's a lot of reasons, a lot of

17:55

good reasons. The first reason is your

17:57

income is your biggest wealth building tool.

18:00

That's a Dave Ramsey classic quote right

18:02

there. You need your income available in

18:04

order to be able to invest it. And for

18:06

most of us, we're living paycheck to paycheck. Like

18:08

we don't have any money left at the end

18:10

of the month, but after we've paid our bills,

18:12

our car note, we've got groceries, we paid the

18:15

kids daycare, most of us don't feel like we

18:17

have that breathing room because we have so many

18:19

debts and bills. So the first step is to

18:21

clear that out so you get your money back

18:23

in your budget and then you save up three

18:26

to six months because if you don't save first

18:28

and you start investing right away, if an emergency

18:30

comes, you start pulling from your retirement or you

18:32

start using credit cards and you go back into

18:34

debt. So you pay off the debt, you build

18:37

up the savings and then and only

18:39

then we start investing and that's the way it

18:41

works. If you start doing it out of order,

18:43

you start messing yourself up Ken. And you just

18:46

proved it. Once you start that

18:48

investing, compound interest becomes your best power.

18:50

And so it can work, you're not

18:52

too late. Trust the

18:54

process, it works. We're

18:57

so glad you've joined us. She's Jade

18:59

Warshaw. I'm Ken Coleman, this is the Ramsey

19:01

Show. Hey

19:05

guys, whether you're starting on a card

19:07

table like I did or well on

19:09

your way to becoming a multi-million dollar

19:12

company, NetSuite can help your team communicate

19:14

and plan ahead better like they do

19:16

for Ramsey. Let me tell you, NetSuite really helped

19:18

us get our systems also

19:24

use NetSuite to know their numbers and

19:26

their business better. So check out NetSuite

19:29

today and find out how they can

19:31

help you become the business you want

19:33

to be five or 30 years

19:35

from now. And right now

19:37

you can download NetSuite's free

19:39

KPI checklist designed to give

19:41

you consistently excellent performance at

19:44

netsuite.com/Ramsey.

19:48

Welcome back to the Ramsey Show. I'm Ken Coleman,

19:50

Jade Warshaw joins me. We're here for you America.

19:52

The phone number is 828-825-5225. Feeling

19:56

stuck? Get some fear, get

19:59

some doubt around. money or your

20:01

work or relationships. We're here for you. That's

20:04

what we love to do is coach you

20:06

up, help you see a clear path forward

20:08

so that you can move forward confidently. Triple-A

20:10

825-5225. Let's go to the Big Apple, New

20:12

York, New York.

20:16

I'm heading there tomorrow

20:18

night. Jack, how can we

20:20

help? Hey guys, how you doing?

20:22

Good. What's going on? Hey,

20:24

um, yeah, so I am actually pretty

20:26

happy with the kind of career that

20:29

I have, but I'm hitting an income

20:31

ceiling pretty seriously this past year and

20:33

I'm a little bit

20:35

lost on how to move forward and raise

20:37

that. You know, I kind of delved into

20:40

you guys's whole program. Like

20:42

last week, I kind of binged and

20:45

I actually paid off all

20:48

my credit card debt last week. Nice.

20:51

It wasn't that much. It was just $6K,

20:53

but I had some savings, so I just

20:55

went ahead and did it. Fantastic. How'd that

20:57

feel? It was great. It

20:59

was amazing and it's just like, yeah, now

21:02

I'm just kind of, you know, I put

21:04

that thousand dollars aside as well. Great. Good.

21:07

So I'm just, yeah, I'm just kind

21:09

of trying to figure out how to

21:11

get the income up because, you know,

21:13

the Big Apple ain't

21:15

cheap. No, it's not. I

21:17

like to visit. I would not live there and

21:20

I feel you on that. Okay, let's

21:22

dig into this. So what

21:24

profession are you in and what is

21:26

your income? I'm

21:29

in the interior decorating and design business and

21:31

then I'm also an oil painter as well,

21:33

so I get a little bit of my

21:36

income from selling paintings too. Okay, that's awesome.

21:39

What's your income? This year

21:41

I made 85K. Okay,

21:44

and what's your living situation in an

21:46

apartment? Yeah, I live

21:48

in an apartment alone. Where? You're not on

21:51

Manhattan. I was gonna say,

21:53

I am in Manhattan. I got very

21:55

lucky. I rent stabilized. Oh wow. Good

21:57

for you. Lucky, Lucky. What is your rent? That's

22:00

1900. Wow. That's pretty

22:02

good. I mean I'm actually shocked Jack.

22:05

I'm really shocked. I've been

22:07

here a while so that's because of the kind of

22:09

deals you get when you stick around. That's awesome. Good

22:11

for you. All right, so I'm not as

22:13

familiar with the field, but I don't have to be so I

22:15

need to dig in here. And when

22:17

you say you've hit that lid, I think that's a great

22:20

way of describing that. Is that

22:22

because of qualification or

22:24

is it because of association? And what I

22:26

mean by that is the company you're in

22:28

right now, there's just not a lot of

22:30

opportunity for growth, if any at all. Explain

22:32

to me what's the lid. Yeah,

22:35

so I actually – so

22:37

there are kind of two branches of where

22:40

I get my income in the

22:43

interior design business. I'm in the

22:45

union as a decorator, so that's

22:47

a 60-an-hour set wage – or

22:49

set hourly, I'm sorry. And

22:54

then I also garner freelance

22:56

work on my own, which I actually

22:59

charge much more for, but it's much

23:01

more inconsistent. And I have

23:03

like three or four, maybe five clients

23:05

a year that I do interiors for,

23:08

mostly like restaurants in the city. So

23:11

based on your time, do those gigs

23:13

pay a whole lot better? I know

23:16

you can charge more. Way better. Way

23:18

better. And we

23:20

know that you said at the start of the call that you

23:22

love the industry. So you want to be

23:24

there. I do. I love it. Yeah. Well, let me

23:26

tell you something. The union – and don't take this

23:28

as a political statement. I'm not making a political statement.

23:31

But in this case, the union

23:33

situation for you is the lid.

23:36

You're just not going to get a bump

23:38

in pay unless the union fights and then

23:40

that goes up. And so what you've got

23:42

to do here is – I hate to

23:44

oversimplify this, Jack, but this is about good

23:47

old-fashioned connections and hustle and get the word

23:49

out because you've proven you've done it on

23:51

some level, right? Right. Now

23:53

you've just got to say this is the play.

23:55

It's almost like getting a blank sheet of paper

23:57

and you get alone, you get quiet, and you go – What

24:00

do I have to do to double

24:04

and triple and list for heck of a Quadruple

24:07

the amount of what you're calling

24:09

freelance work That's

24:11

the exercise and I'm gonna tell you what's gonna come

24:13

down to you going back to

24:15

those restaurants that you did work for and say

24:17

Hey, would you be willing to make a referral

24:19

for me? Do you know anybody? Have you had

24:21

a conversation that I could do some work for

24:24

you are every square Second

24:27

of the day when you're not engaged in work

24:29

you're going who do I need to connect with

24:31

this week? Who do I need to connect with

24:33

next week? That's not what I'm doing right now

24:36

Yeah, I know you're focused on the wrong to

24:38

Ken's point I think you're thinking about you can't

24:40

control that my hourly wage, but you you're

24:42

part of this union But I'm looking at this

24:44

I'm going oh my gosh This is limitless like

24:46

as long as you know how to do the

24:48

thing and people have used you out there in

24:50

the in the wild On your own that's right

24:52

that is invaluable my goal would be I want

24:54

to get away from this Union job and I

24:57

want to be starting my own things and I

24:59

want my new problem to be I have so

25:01

many people coming to Me I only have 24

25:03

hours in the day. I need to start hiring

25:05

some folks Yeah,

25:07

I guess my mindset lately is just

25:09

what I'm trying to kind of save

25:12

my thought with you know More steady

25:14

Union pay like as a just

25:16

a steady income Well,

25:19

but yeah, oh, yeah, let me tell you what

25:21

I would do if I were you okay, we're

25:23

gonna get real real okay I would keep the

25:25

Union gig and you need to relax you got

25:27

your steady You know what are you you don't

25:29

need to worry about steady you've got the center

25:31

so now you have to say okay? So so

25:33

so you're in Manhattan Are

25:35

there a couple of restaurants or social places

25:37

coffee shops or whatever that you frequent? Give

25:40

me a little bit of latitude on

25:42

a tons gotcha and are there wealthy

25:44

people that also frequent these? Okay,

25:47

all right and Jack. Do you have a winning

25:49

personality? Yes,

25:52

yes you do So

25:55

Jack I'm starting to talk to people and and

25:57

and you know what the easiest way to

26:00

get someone to ask you about what you do. Has

26:02

anybody ever told you this, Jack? What do you think

26:04

the answer is? I have no

26:06

idea. It's just great. You know what you do? You start talking

26:08

to somebody and you go, what do you do? And

26:11

you'd be super interested in them. Jade, what

26:13

do you do? Right. And Jade starts talking

26:15

about me and I need to be so

26:18

passionately enthusiastic about what Jade's telling

26:20

me. That at some point, if

26:23

she's not a sick human being, and

26:25

she's not, and she's gonna say to me,

26:28

Ken, what do you do? And

26:31

then I go, I'm an interior decorator. I work for

26:33

the union, but I gotta tell ya, I've

26:35

just really enjoyed, I did this restaurant over

26:37

there on 47th and blah, blah, blah. Well,

26:39

you know, my friend is looking for somebody

26:41

to redo his restaurant. He just started. Yeah,

26:44

or some sweet old lady who's got eight

26:46

strands of pearls around her neck in Manhattan,

26:48

goes, I'd like to redo my bathroom, or

26:51

whatever. And all of a sudden, Jack, we

26:53

got deals. I know that's right. You understand

26:55

what I'm saying? So Jack. I

26:57

do. I'm talking about you connecting.

26:59

And the more you connect and you share

27:01

and you show your work, you ought to

27:04

create a Facebook page by the end of

27:06

tonight, because it's free. You

27:08

ought to get an Instagram account up tonight, because

27:10

it's free. Do you have all that, Jack? Yeah,

27:13

I do have a website and Instagram for

27:15

my decorating business. Guess what? It's one click

27:18

of a button to share with somebody. Hey,

27:20

listen, if you'd like to redo your townhome,

27:22

I'd like to come by sometime next week. Let's

27:25

take a look. I'll give you a couple quotes,

27:27

no cost, no pressure. And then the sweet old

27:29

lady goes, and then she does it. And then

27:31

she goes, Jack, I gotta tell you about Esso.

27:34

And next thing you know, you've got all these

27:36

big, blue blood, upper

27:38

echelon, New Yorkers paying you,

27:42

premium rate, Jack. Listen, Jack, slide

27:44

it in my DMs, because I want to see

27:46

what type of work you do, because you never know

27:48

somebody. Wow, that's the first time that's happened.

27:50

I've never heard her say that. Jack, she

27:52

may be getting something. She may have a project for

27:54

you. I know people that know people, is all I'm

27:57

saying. Just slide it on in there,

27:59

we'll see. Everybody needs a bath. Math room redone. Everybody needs

28:01

math. I promise you right now,

28:03

Jack. All right, now, we've had some fun with

28:05

this, but I'm actually as serious as a heart

28:07

attack. That

28:10

is the strategy for you. That

28:12

is the bridge from where you are today

28:15

to where you want to be financially. And

28:17

here's how this works, Jack. You do what

28:19

Jayden and I were just telling you to

28:21

do. There's going to come a

28:23

day where you replace all of that union

28:25

income with the side hustle income. You

28:27

say, bye bye union, and you start doing the

28:30

project that you want to do, and you now

28:32

go from 80 to 160 to 320. That's

28:36

right. I mean, dude, if

28:38

I'm an interior decorator, the place I want

28:41

to be is the Big Apple. That's right.

28:43

Not spreading the news. That's right. Jack

28:45

is designing today. That's right. Come on,

28:47

Jack. I want to. There it is.

28:49

You left me hanging, kids. Oh, sorry.

28:52

Well, I was getting nervous. It was starting to go up

28:54

a little bit. I hadn't warmed up. Jack,

28:58

you got it? Yeah, I got

29:00

it. Thanks, guys. Hang on

29:02

the line. I'm going to give you

29:04

my number one bestselling book called The

29:06

Proximity Principle, which says that if I'm

29:08

around the right people, Jay, and I'm

29:10

in the right places, Opportunity finds me.

29:13

It's that simple, Jack. And oh, by the way, hang on.

29:16

Jay wants a 20% discount on her new

29:19

sunroom. We'll see how that goes.

29:21

This is The Ramsey Show. This

29:26

is no secret that the real estate market

29:28

is weird right now. So go with a

29:31

mortgage company you can trust to have your

29:33

back. Churchill Mortgage. Churchill is Ramsey trusted because

29:35

they're stable, reliable, and focused on you. At

29:37

a time when a lot of companies are

29:39

being bought out or going out of business,

29:42

count on Churchill Mortgage to stick around. They've

29:44

been doing things the right way for over

29:46

30 years, and they'll keep doing them the

29:48

right way for 30 more. Get

29:51

started at churchillmortgage.com. This

29:53

is a paid advertisement, an MLS ID

29:55

1591 and MLS Consumer access.org

29:58

Equal Housing Lender 17. Forty

30:00

Nine Mallory Lane. Sweet. One hundred Brent Once in

30:02

a C. Three Seven, Zero, Two Seven. Three

30:06

and show continues on. Controlling Jade Warshaw

30:08

joins me. We're here for you America

30:11

Taking your money questions, your work related

30:13

questions. Aaa. eighty Five

30:15

Five, Two to five, Triple Eight, Eight

30:17

to Five Five Two to five. Let's

30:19

stay local. National Tennessee is where Young

30:22

joins us. Or can we help? Pay.

30:25

On cook question on some that

30:27

a four o one k currently.

30:30

Ah, minutes said to the grass says it's an

30:32

hour to the color. Fun! And

30:34

I was wondering if I should

30:36

just leave it alone Emotes know

30:38

candidates thing or if I should

30:40

just actively manage him sell. Sell.

30:44

The for one case through. Your job and it

30:46

kind of has. I'm guessing like

30:48

three three knobs you can choose for

30:50

it. Right and so

30:53

it as a consider that a half

30:55

or more moderate and an aggressive or

30:57

in the eye and one buys saw

30:59

or. You have the option. Is it within the same four

31:01

o one k that you. Can choose the

31:04

existence. Yes, so I

31:06

can. I should go in there and

31:08

a won't give me every single fondly

31:11

on the in the stock market. but

31:13

I hung and I'm actively trying to

31:15

manager of myself. Yeah, I mean there

31:17

was some of us were thinking I

31:19

would. Choose the find I would go and and I

31:22

would try to find one that's. You. Know

31:24

ah, growth. Growth in income

31:26

aggressive growth. An international and I

31:28

would split my contribution equally over

31:30

those four types. So that you

31:32

kind of has your money divided out and

31:34

then from there on I'd you know, said

31:36

it and forget it. From.

31:39

Her. And I I think that's

31:41

going to be a little better than to just

31:43

choose aggressive enough because you don't really know, you

31:45

can't really look and. See what the funds are

31:48

and how you know what's what's part of that

31:50

mix, right? Arm so that

31:52

you were with stout try or what's

31:54

in there so his how's on a

31:56

lot of the things that you've stated

31:58

or that itself. When an hour

32:01

later total stock market growth and then.

32:03

Ah stable and then and

32:05

has international songs by also

32:07

So I manage. I'm

32:10

about forty five thousand of.

32:12

The my own portfolio that I

32:15

made myself. So yeah, definitive. Still

32:17

a man, I have a little

32:19

over thirty thousand. I'm. In

32:21

the. The four

32:23

one K and then a house

32:26

about a t fired and changing

32:28

cache. Of

32:30

And yeah, it's it's it's it's I'm you.

32:33

I'm not going to turn that aggressive knob.

32:35

I'm gonna pick the funds myself across across

32:37

that mix of for on. And

32:39

my question to you is. What

32:43

percentage are you investing right now. So.

32:47

Right now per mile the budget a

32:49

matter that uneasy arm or have thirty

32:52

percent it. Invested I

32:54

have seven percent as that

32:56

going toward my A voluntary.

32:59

I killed my company matches up

33:01

to that match. Okay, And

33:04

then much of that is it. And then

33:06

you're not going over to Iraq, Iran after that because

33:08

that's when I would suggest. I'd I'd invest in a

33:10

Four o One K up to the mats and then

33:12

I'd go over and if I still had money I

33:14

would max out of Roth Ira and if I still

33:17

had money then I'd go back to the Four o

33:19

One K. And. I'd max that out

33:21

in if I still had money. If

33:24

I had Hs A, I'd probably go to that next.

33:26

And. If I still had money success then

33:28

I'd go in and probably go go into

33:30

a brokerage assuming you're single that is. So

33:34

I am married and a think.

33:37

I can't do that the way that

33:39

it's set up. A huge armed soldier

33:41

four, one K By this in it.

33:43

it takes out after taxes so it's

33:45

like a lot of yeah for one

33:47

true yeah. I can have a rough

33:50

four, One K. Okay,

33:52

Is they weren't explained very well and always says

33:54

oh boy. So in that case in that case

33:56

since you do have a Roth for a one

33:59

case I would. That out first. completely.

34:01

You got the match. It's Ross. That's.

34:03

Amazing. So max out that Roth

34:05

four O K first, Then. You

34:08

don't. You and your wife are both Matt. It

34:10

is her situation the same or as hers. Just

34:13

the traditional match traditional four, one K. That

34:16

so she's a teacher. Arms: Are you

34:18

okay? A boon? Need somebody? automatic? Yes,

34:21

Surgery Automatic. Okay, of

34:23

mine. So. Let me

34:25

say this in a way that's not confusing.

34:27

Do you know? Arm with your wife. Is.

34:30

It. How much are they pulling out of

34:32

her paycheck? Each. Time while

34:34

and it's blue the point. Five

34:36

per cent I believe if I

34:38

did the charge. Jewish perfectly. okay.

34:40

So you're investing far more

34:42

than we would say, I'm

34:44

assuming. I'm just going

34:47

assume that you haven't paid off your house yet or have

34:49

you. I have not okay.

34:51

Technically. Until you paid. Off your house.

34:53

We would suggest that you're only investing

34:56

sixteen percent. Of your combined

34:58

incomes. right? And

35:00

so we would say in your situation with you

35:02

and your wife we would see the five percent

35:04

that she has. You can kind of just treat

35:06

that as as gravy or you could you could

35:09

treated as half the amount to maybe two point

35:11

five percent. Like you. Know don't

35:13

treated as the whole him out because York

35:15

gets really choose what it's invested and and

35:17

so we want to invest as much of

35:19

our money as we can and things that

35:21

were choosing sell for that. I would say

35:23

the first, the first right you're going with

35:25

you guys his entire fifteen percent is you

35:27

rock max the out that Roth for one

35:29

case that's the best investment that you'd vehicle

35:31

that you guys have got. I would invest

35:33

anything above the five percent into her for

35:35

a three be or whatever it is. I

35:37

would then next go. To. Both of

35:39

you Max The Our Roth Ira. Both of you.

35:42

And. Then after that, if there's money,

35:45

I. Probably you know, or. Her

35:47

for a three be might be fine, but I

35:49

might so go to another investment vehicle depending. On

35:51

on what that's invested in what you seen the rate of

35:53

return as on that for three Be. A

35:56

jerk. and if you've seen that it's good or normal,

35:58

you know that you can max that out. But.

36:00

Yeah, that's what I would do in your situation. Is.

36:03

A perfect on to get a good

36:05

using the thirty Thirty twenty our method

36:08

and retired. Do it separately and I'm

36:10

really have the with our account you

36:12

set up. I'll just take. The

36:15

thirty percent from her after though

36:17

he on the traditional i'm falling

36:19

channel that and per side. Yeah.

36:22

And I'll use of items. Can a

36:24

breakdown my arm, my budget and for

36:26

both of us really? I. Mean, the

36:29

fact is, and I'm not mad at it.

36:31

We have different ideologies as far as maybe

36:33

how to budget, how to combine the finances,

36:35

but hopefully. You know your you have

36:37

a know you'll respect my view on the

36:39

the investing in made you'll consider it. I'm

36:42

not going to try to like sister whole

36:44

bedrock. Here in this conversation, come out. think that you're

36:46

here for that. Not

36:48

a lover of watch your show a

36:50

lot on by the sparked I'm and.

36:53

Love all your opinions! Okay

36:55

guys are formed what I've

36:57

been doing. Yeah, so. Much.

37:01

and I'm not. I'm not mad at

37:03

it. Absolutely. Urology Pain trying. To get he's

37:05

getting gathered information and doing what he thinks. Is. Best

37:07

for as his family and like it's a bit you

37:09

know I was He sells a good guy really understands

37:12

it but it it makes me nervous. And.

37:14

I want you to address this. And

37:16

I said nervous. Metaphorically:

37:18

That he's managing his own. Retirement.

37:21

Accounts for a one to add, some exiled

37:23

are not all nervous. Less about that you

37:26

know I I. I spotted a recently somewhat

37:28

recently about that. that's we did a a

37:30

rapid fire on baby steps for five and

37:32

six right for for is investing. Fifteen percent

37:34

Five is investing are setting aside for to

37:37

college and of course this is Pam up

37:39

the house and so I said to Dave

37:41

I said listen you know most people they

37:43

have their four O, one K and and

37:46

similar to well Ah Young said you can

37:48

either kind of choose.one of three knobs, legs

37:50

and serve It is mediocre and then aggressive

37:52

or you can go in and she's the

37:54

sons. And I said to devise a d

37:57

Really need. On. Or

37:59

processional to help you just pick out your four

38:01

o one k new but not necessarily. But.

38:03

If you're going beyond that it much which all

38:05

of us will and should you do want to

38:08

work with that professional because you don't want us

38:10

to just go out you know to just open

38:12

up Charles Schwab and to be out there on

38:14

your own am I would pick a fine What.

38:16

It was. You know you have them like.

38:18

Me: Be like you know what? I think I have a cavity.

38:20

Let me go and here see what I can do You. Run

38:23

out of major point your what we

38:25

what we teach folks is that you

38:27

need to understand it. So we talk

38:29

about a smart Mr Pro and we

38:31

mention them on our on the website

38:33

They are professionals again they're independent, their

38:35

own their own. But we recommend these

38:37

folks because they believe in the process

38:39

that we teach. Reason that matters is

38:42

as I sat down we have our

38:44

annual meeting season. I just a that

38:46

last women and this amount co hosting

38:48

the show done this for his years

38:50

yes. And. I still have good

38:52

questions that I need answers to and

38:54

and and they're simple sometimes and of

38:57

I need to understand every move or

38:59

make games but I need guidance. To.

39:03

figure out what moved to make and

39:05

then is really understand to the point

39:07

where I always make the decisions season

39:09

I both go arts. Hate. John explain

39:11

this to me or what about? this is

39:13

a good all exploits in when I understand

39:15

it Now I'm in total control making the

39:18

decision is that's why the experts a threat

39:20

a real pro comes into play here. Yeah

39:22

they know about stuff we all know about.

39:24

They have better strategies they have experienced and

39:26

that's why we like to do that. But

39:28

John mean listen, you're. If

39:30

you're not veggie but all thank you

39:33

for the covered lawful stuff. Great Our

39:35

Jade Warshaw his phone partner to hang

39:37

with you think James Child's and the

39:39

crew for even sommelier. And thank you

39:41

America for watches says. Reach.

39:47

Lot of the headquarters wages losing.

39:50

This is the real shows where

39:52

we'll be when specifically with your

39:54

money you worse and your relationships.

39:57

All those those two together. That

40:00

move home while and have her life.

40:02

Reason for point: Eight Five Five Two

40:04

to Five is the phone numbers and

40:06

can call Majeed Warshaw joins Reese and

40:09

we're here for you. The shower. Aaa

40:11

Eight to Five Five Two To Five.

40:13

Let's get it started. Right out of

40:15

the gate with Milwaukee. Wisconsin is where

40:17

Emily is Emily, how to. We'll. I

40:22

think for every I'm like I'm really awesome to

40:24

listen to it and very well thank you But

40:26

what's going on? Ah

40:28

Christ said I've my husband and

40:30

I ah we've been together for

40:33

twelve years or high school sweethearts

40:35

and married out to be two

40:37

years and each year on Okay

40:40

I just only question that I

40:42

have as ah we are I

40:44

guess like twenty twenty one that

40:46

I bought a house out. We.

40:49

Didn't have him on it has says. To.

40:51

Pull my mom Thera helped in the eyes said

40:53

l just have you on it because your credit.

40:56

Score higher that is the physical

40:58

hour a job, a lower loan

41:00

anywhere on earth. Know

41:02

we ring. Jays and now I see that

41:04

was. Dumb. Later my pillow know

41:06

is that work on the only reason though

41:09

we grew mine with mom on that. O

41:12

J over a. Vote!

41:14

So now we are Now I have. Now.

41:18

When I had like a i had to pay

41:20

property taxes and like oh it's like a my

41:22

old name it's just nice. Should.

41:24

I add on to the deed is that can

41:27

affect anything f. As. Simply like

41:29

happens where the go to him cause

41:31

i thought the may have property is.

41:33

Mans. Really that since are not programmatic

41:35

mortgage lady and she said that it's

41:37

a marriage or states. Though if they they have to

41:39

go to heaven. But. Would. It matter if

41:42

is on the deed or not. Since we're

41:44

married now I would definitely add him to

41:46

the deed on it. Makes him an owner

41:48

because right now he doesn't own it. It's.

41:51

He's. Not an owner of your house. Only you are. On.

41:54

And so for that reason enough to flip the script.

41:56

in my mind, I'm like if if I met ma'am

41:58

and he had a house. Then I was like

42:01

hey it. Can. Can you put me on

42:03

the deed and he said no, that would. Definitely. Affect

42:05

me a so affect him cause he

42:07

beyond the mood i would er let's

42:09

say eyeglasses us smack him right of

42:11

saw the her natural on it out.

42:13

Just I think for you guys to

42:15

really feel like one unit in one.

42:17

Ah, I would definitely adam to the

42:19

deed on and then didn't strike up

42:21

a bigger conversation of just. You.

42:23

Know. At you with what

42:25

did you say? You talk to a lawyer a real

42:28

estate about this. Ah

42:30

her mortgage optional moines for thousand mortgage or

42:32

said yeah yeah and he says that bioware

42:34

to do that I would have to go

42:36

to their trail, rewrite the deed and a

42:39

cost maybe some money to do that. Yeah

42:41

she's like he really don't need a do

42:43

the act of of marrow proffer he is

42:45

how he have half. North. Korea,

42:48

That. I just wasn't sure I you know I

42:51

would put his name on it. I'm I'm the

42:53

type of person that just stuff to be sealed

42:55

tight either I want both peoples names on the

42:57

deed. I'm as have a will and in the

42:59

will everything a specific Sophie don't have that now

43:02

that you're married for sure everybody needs a wills

43:04

but now that you're married for shirts the to

43:06

the need to get a will on. Separate.

43:09

That lists what each other once and you both

43:11

the to make sure you have life insurance. Those

43:13

are the three things that are really important. Ah

43:15

when you join life enjoying finances and are just

43:18

three things that really say listen I love you

43:20

and I want to love you well in the

43:22

in those way on. Emily

43:25

I May, etc term life insurance modular

43:27

and then a matter of average out

43:29

of Iowa. So I completely agree with

43:31

Jade I If you're looking for what

43:33

we think that's it and do is

43:35

just the right way to do it.

43:37

And in it's easy. Isn't that expensive

43:39

as Rail for it is? This is

43:41

not one of those conveniences you just

43:43

never know spears those x you never

43:46

know the state legislators gonna do you.

43:48

keep up with that. Ah, the will

43:50

and the deed will take care of

43:52

all this and get it isn't snapped

43:54

up. Nice entice. Ah, Brianne. i if

43:56

i got that right and superior wisconsin

43:58

how can we help Hi,

44:02

thank you for having me. You bet. Did

44:04

I say your name right? Yes, you did. Oh,

44:07

I'm hooked on phonics. It's very exciting. Thank you.

44:09

Thank you for letting me know that. How can

44:11

we help today? Um, so

44:13

I'm just trying. So I'm 20 years

44:15

old and I'm trying to find the

44:18

best way possible that I can pay

44:21

off my debt and

44:23

hopefully encourage my boyfriend to do

44:26

the same. I'll

44:29

start with you. That's two different goals. That is,

44:31

that is. But

44:33

look, I'm glad that you're looking out for your guy as

44:35

well. Yes. Tell

44:37

us a little bit about your situation. Um,

44:41

so like I said, I'm 20. I

44:44

ended up taking out a

44:46

credit card and a loan right after high

44:48

school. So probably a year after high school

44:50

if I was 19. Pretty

44:54

much my whole childhood, my parents have kind

44:57

of were like, you know, being an adult

44:59

you'd take out credit cards, you'd take out

45:01

loans, and I thought that that's what you

45:03

had to do to dumpstart your

45:05

life as an adult. You're not alone. Walk

45:08

us, give Jade your smallest to largest

45:10

debts. Can you walk us through all

45:12

those one at a time? Smallest

45:15

to largest. Um,

45:17

so I have two bank

45:19

credit cards. So the

45:22

first one that pay off is $500. That

45:25

was my first one that I took out. I

45:28

have a second credit card that is $300 to

45:30

pay off. And

45:33

then I have a store

45:37

credit card that is also $300 to pay off.

45:42

Okay. What about this other loan? So

45:46

I have a four-wheeler loan that

45:48

I ended up taking out when

45:51

I was 19. So a little over

45:53

a year ago, it was $3,500 I think

45:55

with... Maybe

46:00

a four six percent interest rate. I

46:02

haven't checked it Is

46:05

it still $3,500 or have you paid it down? It's

46:09

so my boyfriend actually ended up

46:12

taking out the loan himself But

46:14

I my parents were telling me if

46:17

you really want to help your credit out

46:19

You should probably move that four-wheeler loan on

46:21

to your name. Well, we did move it

46:23

over it ended up We

46:27

we ended up having to pay

46:30

the full amount and start from

46:32

scratch Oh wonderful advice waiting on mom

46:34

dad come on now. Okay, so now

46:36

you've got the $3,500 four-wheeler It's

46:38

back in your name where it started You've

46:41

got two credit cards for 300 and the credit card

46:44

for 500. Is there anything else student

46:46

loans cars? Hopefully,

46:48

I do not have any student loans or cars Leave

46:52

my parents bought me a nice

46:54

car when I was in high school. So I still

46:56

drive that is it paid off Were

46:59

they making payments for you? They're

47:02

the one that are they're the ones that are

47:04

making payments for me Okay,

47:06

I want to I'm gonna have more about that. Um, do

47:08

you know what the car is worth by the way? I'm

47:10

just curious Um,

47:13

it's a 2016 outback. So it's

47:15

probably I think I checked it's

47:17

probably around this six to eight

47:19

thousand dollar mark Okay on

47:21

Kelly blue book. Okay, especially

47:24

with the bios on it. Yeah Okay.

47:26

Yeah, here's the thing. Um, you've got a

47:28

lot of debt to pay off It's not a lot, you know,

47:31

you're 20 years old, but it's a lot for a 20 year

47:33

old. What are you earning real? Yeah Just

47:35

tell me what you make every month. Oh, I Take

47:39

home about 22 to twenty five

47:41

hundred dollars a month. Okay All

47:43

right Tell you what Brown and we're running up against

47:45

the break and I want Jade to be able to

47:47

walk you through how to knock This out. So we

47:49

got to do a quick commercial break when we come

47:51

back It's jade and Brianna

47:53

and we're gonna show her how she gets

47:55

out of this debt. You go pretty quickly

47:58

So don't move. This is the Ramsey Not

48:04

only do ID thieves commit crimes related

48:06

to financial fraud, but now we have

48:08

to deal with home title fraud. Thieves

48:10

are using your personal information to take

48:13

ownership of your home. So they can

48:15

take out loans and you end up

48:17

with a pile of debt and foreclosure

48:19

notices. That's why Zander Insurance is the

48:22

only program I have ever recommended. Their

48:24

plan covers all types of

48:27

ID theft, including home title fraud. They also cover

48:29

your children for free on their family plan. Visit

48:31

zander.com or call 800-356-4282. It's just the smarter way

48:33

to protect yourself. Welcome

48:42

back to The Ramsey Show. I'm Kent Coleman, and

48:44

Jade Warshaw joins me this hour. Thrilled to have

48:46

you with us. The phone number to jump in

48:49

is 888-825-5225. Our

48:53

question of the day is brought to you

48:55

by Neighborly. Your hub for home services.

48:57

Winter is rougher in some areas of the

48:59

country than others, but there are things that

49:01

make sense to do no matter where you

49:03

live. Oh, that's

49:06

right. Thank you, James. All

49:08

right. No, it's

49:10

okay, but this is live radio, and I'm okay

49:12

with it. James, our fearless leader, reminded

49:14

me we still have Brianna on the line. Where

49:16

would we be without you, James? Well, I'll tell

49:18

you. We're not reminded of me, so it wasn't even me. Probably

49:21

in the ditch. We would drive the truck right

49:23

into the ditch. Okay. So we'll skip the Neighborly

49:25

question of the day for right now. We'll get

49:27

back to it. I know you all love to

49:29

hear me read, but here's

49:32

where we were. Okay, so

49:34

let me set us up. James, thank

49:36

you for reminding me, or Austin, or

49:38

whoever. Okay, so Brianna called

49:40

in, and she doesn't have a

49:42

ton of debt. I think I heard a 500, a 500, and a 300, credit

49:44

cards, not a lot. Very

49:48

low. And then she's got a $3,500 four-wheeler loan, and I think that's

49:50

it. Yeah,

49:54

we started talking about her income. Right. So now,

49:56

Jay's going to walk her through how she's going

49:59

to get her loan. going to pay this

50:01

debt off. So, Breanna, are you still there?

50:04

Yep. Alright. Take it away, Jade. Okay,

50:07

so you had just told us that you're making $2,500 a month, correct? Yep.

50:12

Okay, good. And what's

50:14

your living situation? You're living with the

50:17

boyfriend? Or no. Yep. Okay.

50:21

Yep, I'm living with him. And you guys are splitting rent, or

50:23

does he like own a house or something? So

50:26

we live in

50:29

what they call luxury

50:31

flats. We're

50:34

actually paying pretty cheap rent

50:37

in our area. So separately,

50:40

we're paying $600 a month in total.

50:44

Okay, so that's pretty cheap. Yep.

50:46

So in total, it's almost $1,200 for

50:48

a studio. Okay,

50:52

great. Yep. But you're not

50:55

overly extended on your rent, per

50:57

se. I

51:01

would like if it was $600 in normal

51:03

life is great. When

51:08

you're making $2,500, it's a little more,

51:10

right? So the cure

51:12

here is you're not going to find anything

51:14

cheaper than $600, so you've got to get your income

51:16

up for more reasons than just the rent, also

51:18

so that you can start making

51:21

headway on paying off this debt. What's

51:24

the job? Because I want Ken to jump

51:26

in here because I can tell you right now, the

51:28

formula is find more

51:30

work so that you can increase your

51:33

income so that you can pay

51:35

off these debts quickly. Because at the end of

51:37

the month, after you've paid your bills, I

51:40

don't know why I want to say your name wrong. Brianna, after

51:43

you've paid your bills, after you've bought groceries, after you've done

51:46

the things that you need to do, how much money do

51:48

you have left over? So

51:52

for the week, I probably have around $250? $250

51:55

each week? Yep.

51:58

Okay. Right now, I mean,

52:01

actually that's not bad. You can take that,

52:03

you should be done with one

52:07

and a half, one and three quarters

52:09

of the credit cards, right? Because it's

52:12

$200, $300, $100, so you could have

52:14

the majority of both of those paid off this

52:16

month and then next month you'll pay off the other

52:18

credit card and then you just walk on down the line

52:20

and it's going to take you six, seven

52:23

months to pay off the loan that you

52:25

have. And then technically you're out of debt. But

52:28

then what I want you to start thinking about real

52:30

quickly is what it looks like because you

52:33

know, your parents can do what they want to do but

52:35

I hate that they're in debt on your account, on your,

52:37

at your expense. So you might want

52:39

to ask them about, listen, what are your plans to

52:41

paying off this car or I'd like to be in

52:44

a situation where I'm not causing you to be in debt

52:46

on my behalf and figure out what that looks like car wise.

52:48

Maybe you buy them out and you're just done with it and

52:50

now you own the car outright but

52:52

I would be looking into that since you've said,

52:55

you know, I'm here I am, I'm on my own and if

52:57

you're on your own then they don't need to be in debt for you.

52:59

That's just Jade's two cents. Ken, take it away.

53:02

I actually agree with that. I think it's time

53:04

for you to grow up and it's

53:06

a very nice gesture that they made but they're not

53:08

making good financial decisions. I mean they're the ones that

53:10

recommended you get a four wheeler or finance the four

53:13

wheeler or whatever that nonsense was. So I agree with

53:15

Jade on that. Let's talk about

53:17

the bigger shovel. This is the term that Dave has

53:19

kind of popularized to say we got to get more

53:21

income so that we get out of

53:23

debt faster, save and invest at a much

53:26

greater rate. Is that something you're interested in?

53:28

Yes or no? Yes.

53:30

All right. What do

53:32

you do now for work?

53:37

I am an automotive detailer. Oh,

53:40

okay. Automotive detailer. You're making

53:42

how much an hour? I currently make 17.50 plus six.

53:47

Okay. And what's

53:49

your long term ideas? I'll

53:51

bet you've got two or three or maybe four ideas

53:53

of what you would like to do because I know

53:55

you don't want to stay in auto detailing. Is that

53:58

true? Yeah,

54:01

I really like the job, but

54:04

it's kind of iffy. In

54:07

the summertime, in fall and

54:09

spring, people were pretty

54:11

booked up. I get it. So it's pretty

54:14

much a point to see. What would you like to do? Five

54:16

years? I mean, if you could try something totally new next week

54:19

and you didn't have to commit to it for the next 30 years

54:21

of your life and you knew you weren't going

54:23

to screw up, meaning you were going to do fine, you were

54:25

going to enjoy it, what would you try? Probably

54:30

something in the woodworking

54:32

or welding industry. Very

54:35

interesting. Very interesting. Yeah.

54:39

I love that. And you know what's interesting?

54:41

There's a tie-in to the fact that you

54:43

enjoy detailing cars. The

54:45

operating word here for you, Brianna, for

54:48

long-term for you is you're about details.

54:50

And when you're working with your hands and

54:53

your eyes to

54:55

get into details to make something look

54:58

aesthetically pleasing, so that could be the

55:00

woodworking or welding something

55:02

that's fixing something or designing something,

55:04

that's really appealing to you, yes?

55:08

Yeah. That's great. So here's the deal.

55:10

I want to see you making steps. I want

55:13

you doing exactly what Jay told you to do,

55:15

okay? But right now, we're looking

55:17

to pick up maybe a second or

55:19

a third job. I don't think you have

55:21

to have three jobs, but I would tell you a $20 to

55:23

$22 an hour job

55:26

is around Superior, Wisconsin, and it's not

55:28

going to require a college degree. And

55:31

that's going to change our situation really quick.

55:34

But that's short-term. Long-term, I want

55:36

you going, all right, what does

55:38

it look like for me to move into woodworking

55:40

or welding? So I'm going to give you

55:42

my book called The Proximity Principle, and here's what it says.

55:45

In order to do what Brianna wants to do, she's got

55:47

to be around people that are doing it and

55:49

in places where it's happening. So in the next

55:51

30 days, I'm going to challenge you. All

55:54

right? I'm going to give you the book, and it'll inspire you to do

55:56

it and tell you what to do. But

55:58

it's just as simple as you getting a job. around somebody that's in

56:01

woodworking, somebody that's in welding. Hey, how'd you

56:03

get into it? What are the qualifications? Do I need

56:05

to go to a trade school? The answer is yes

56:07

for welding. I'm not sure about

56:09

woodworking, but if you've got some natural talent,

56:11

you start doing some side projects, helping out

56:13

a woodworker, maybe being an assistant where you

56:15

get paid. Now I've got more

56:17

money to pay off my debt, get my

56:19

emergency fund fully funded, but I'm learning the

56:22

trade of woodworking or I'm gonna take a welding

56:24

school after I get out of debt and

56:26

after I get the emergency fund

56:28

fully funded and I'm gonna pay my way through welding

56:31

school and I'm gonna come out and I'm probably gonna

56:33

be starting in the 55 to 65 thousand dollar

56:36

range with a

56:38

path to six figures and maybe owning

56:40

your own welding business. Brianna, now I

56:42

just talked a lot. What are you

56:45

feeling? What are you thinking? I

56:48

mean it's 100% possible.

56:50

I just need someone to you know kind

56:52

of give me a little shove in the

56:54

right direction. I'm shoving you! I'm

56:56

shoving you! If I shove you

56:58

anymore, I'm not a gentleman! Yeah, I was about to

57:01

say we're gonna have to call the cops. That's right.

57:03

Well, I got my friend here. She's gonna keep me

57:05

in check. What I am saying is I absolutely believe

57:07

that that path is possible for you. I'm gonna give

57:09

you the book which will stay with you as some

57:11

accountability, okay? But what I'm saying is you

57:13

need to decide which one of those paths and the

57:15

way you decide is by hanging out with people they're

57:18

doing it. You find out the good, the bad, the

57:20

ugly and your head and heart get

57:22

together and you go ding-ding-ding or like

57:25

from Family Feud and once you figure out which direction

57:27

you want to go you go, alright, what does it

57:29

take to get qualified? I got an

57:31

answer. I got a target and I'm

57:33

gonna walk the baby steps right into

57:36

that next future for me. That future

57:39

where I could be a six-figure earner,

57:41

a multi-millionaire because you're gonna invest a

57:43

baby step for. That's good Ken. Doable.

57:45

Hang on the line. We'll give you

57:47

the book, The Proximity Principle. Close us

57:49

out with a little rah-rah there to

57:51

Brian. You know I just want to let

57:53

her know whenever I have a boyfriend girlfriend

57:55

living together I you know she's paying $600

57:57

but truly it's $1,200 to

58:00

make sure she gets to the point that she can

58:02

handle that rent on her own because I never want

58:04

somebody to feel like, oh, we were

58:06

sharing this place together and I can't go anywhere

58:08

because I can't afford it. So get that income

58:10

up, girl. And I'm old school. Come on

58:12

ladies, make that guy put a ring on. Okay.

58:15

This is the Ramsy Show.

58:21

Welcome back to the Ramsy Show. I'm Ken

58:24

Coleman. Jade Warshaw joins me. Triple eight, eight

58:26

two five. Five two two five

58:28

is the phone number. Triple eight, eight

58:30

two five, five two two five. Let's

58:32

go to Daytona, Florida. And Daniel is

58:35

there. Daniel, how could we help? How

58:38

are you doing? Good. How are you, sir? I'm all right. Great.

58:43

I have a question. I'm trying

58:45

to make a decision. I'm 45 years

58:47

old. My wife is 36. We recently got

58:51

married this past November. We've been together almost

58:54

five years. We are about $128,000

58:59

in debt between

59:01

like personal debt and then debt

59:03

from our businesses. She's a

59:07

nurse. She had

59:10

a nursing supply store that she had

59:13

made the business for. And

59:15

that failed. So we have debt

59:17

from that. I'm a driver and

59:20

I have a CDL. So I've been the

59:23

first two years I've been talking

59:25

in and out of barbering and talking, trying to

59:27

decide which field I want

59:30

to stay in. And I'm

59:32

in the same situation.

59:35

Like with the debt,

59:37

I'm scared. I'm a little nervous and

59:39

I'm about to jump back into talking and I

59:41

really don't want to, but that

59:44

is like steady income for me. How much more does

59:46

the trucking allow you to make than if you were

59:48

to stay in the barbering? Right

59:56

Now, I go off the numbers. Last year

59:58

in barbering. I. Made

1:00:01

maybe about twenty six

1:00:03

thousand. And

1:00:05

then it's i don't be talking and I'm

1:00:08

a stay in and four or so you

1:00:10

can. I can make anywhere from sixty five

1:00:12

to eighty depending on how thought I would.

1:00:16

Be deterred after the is that moment for

1:00:18

weeks at a tomboy see how? right? But

1:00:20

so I'm jumping in as we go. Okay

1:00:22

is recovering something? you know this is of

1:00:24

work closer but we get some debt when

1:00:27

you take care of soaks. I'm if I'm

1:00:29

you. I'm. Going to jump in

1:00:31

the truck because is the quickest route

1:00:33

for me to juice my intel know.

1:00:35

talking about maybe as much as almost

1:00:37

four times the incomes and you don't

1:00:39

have to be in that truck forever.

1:00:41

But it is. but is absolutely the

1:00:43

possibility another you have to leave of

1:00:45

Barberini for ever. Maybe Maybe you won't

1:00:47

have much time to do it on

1:00:49

the weekends when you're not the trucks.

1:00:51

If you do, I'd be cutting hair

1:00:53

as that second gig, but if you

1:00:55

don't, let's go all in on the

1:00:57

trucking to get that income up so

1:00:59

we could. Start to clean up this one

1:01:01

hundred twenty thousand dollar mess. Now you mentioned

1:01:03

your wife is in nursing. Or was

1:01:05

a deal with the nurses' school? Is she a nurse right

1:01:07

now? Listen. As what's

1:01:10

her income? Bomb.

1:01:12

Don't know after you up happening head

1:01:14

but I can claim suit. Five or

1:01:17

two weeks of a mess. Pizza for

1:01:19

two weeks was deposited were twenty five

1:01:21

hundred. Okay so around final out

1:01:23

in a month and com. Yes, end up.

1:01:25

You don't know this because I'm guessing you guys

1:01:27

on on a budget? or am I wrong? Man,

1:01:31

you are you from what

1:01:33

are it's so ah. Ah,

1:01:36

I'm and bring Jaden here and Lois walk through

1:01:39

these numbers because we we gotta pay the one

1:01:41

twenty eight off. But at all. do you understand

1:01:43

what I'm saying? Are you with me on the

1:01:45

trucking thing? That's not a long term play, but

1:01:47

that's your best short term boy. Guess

1:01:50

images from bothered to perform like most

1:01:52

women who are conflicted about it. but

1:01:54

he might be here when you say

1:01:56

that it. Young researchers and I get

1:01:58

it, you love me. Arbor Day.

1:02:01

He. Yes, But listen to this time

1:02:03

in the truck. Is gonna

1:02:05

allow you to figure out what is it

1:02:07

that I'm gonna have to do differently next

1:02:10

time around. The make more and twenty six

1:02:12

thousand dollars because you're worth way more than

1:02:14

twenty six thousand dollars he said. So we

1:02:16

gotta figure out how to do that better

1:02:18

next time around. And of it might be

1:02:20

after we get this debt paid off. it

1:02:22

might be staying in the truck a little

1:02:24

bit longer to figure out. How do I

1:02:27

turn that business in a more money potato

1:02:29

Know you want to years on. And. Says

1:02:31

here's what I'm thinking. I'm thinking we have an

1:02:33

opportunity to to test. Two. Concepts Rioter. I

1:02:35

agree number one the if you is

1:02:37

further for it, the year just started

1:02:39

right. we're still. Pretty fresh and new. And

1:02:41

this new year if you do the driver thing and

1:02:43

you hit somewhere in the middle, you make seventy thousand

1:02:46

dollars a year in your wife's and or she's making

1:02:48

sixty thousand. A year cigarette. One thirty. If.

1:02:51

You live. Like.

1:02:53

You're only making twenty. Six k on

1:02:55

that barber money being then. You use everything

1:02:57

else to start paying off this debt and you're

1:02:59

out of debt in the next. Two.

1:03:01

And a half years or I'm starting in the

1:03:04

next one and a half years you'll You'll know

1:03:06

then that when you're done paying off the said

1:03:08

okay, I can. If we wanted to take the

1:03:10

financial hit and miss, strike out. As a barber.

1:03:12

I know I have the space on a customer's

1:03:14

my can just build from there. At least you

1:03:16

know financially, you can do it because you've been

1:03:19

doing. It for the last year and have to pay off debt. So.

1:03:21

There's part of me that's like Pace that's really great.

1:03:23

Did the other part of me? I'm I'm just. Wondering?

1:03:26

I'm not passing judgment, but I feel

1:03:28

like sixty k is low for. A

1:03:30

nurse right now. Am. I wrong. Am

1:03:32

I right? As it's been on the area, Are

1:03:35

important do before the boom boom in

1:03:38

arena with not as we enter tomography

1:03:40

the with the spot suburb could be

1:03:42

a sort of closest major city more

1:03:45

vulnerable that type of nursing What is

1:03:47

she doing and where she doing see

1:03:49

is obscene includes forever most what she

1:03:51

goes to did she stop smoking but

1:03:54

she goes to the football pitch and

1:03:56

homes and much cel geriatrics he just

1:03:58

said for a minute. Okay, okay,

1:04:00

so that and then again, I'm not a

1:04:02

curry. I'm not an expert on this part,

1:04:04

but I think the Jury Utrecht Nursery, Nursing

1:04:06

and kind of that local thing is is

1:04:08

somewhat limiting. She has definite room to grow

1:04:11

in her income. But. The point

1:04:13

here is what I think and happen were

1:04:15

in, especially in your area. I think you

1:04:17

can live off of. Your. Income.

1:04:20

Seventy. And I think you

1:04:22

guys can put sixty thousand. On this

1:04:24

day every year and I think you're out of debt.

1:04:26

Into Year in a year and a half. Tyrese

1:04:28

Daniel how does as his you. Do

1:04:31

those moments of it to proposal

1:04:33

all eyes are white. Working extra

1:04:36

overtime hours. And. No,

1:04:38

no we mortgage promo

1:04:40

for art. Major.

1:04:42

We just found out that she is eight

1:04:45

weeks pregnant so expect them another child other

1:04:47

with him for your okay. Okay, are

1:04:49

so even more fuel into the fire

1:04:51

to do not? Here's here's here's where

1:04:53

this turns this in. A frustrating. Direction

1:04:56

possibly for you. I

1:04:58

want you for until your wife

1:05:00

has his baby. I want you

1:05:02

to pause these efforts. Better.

1:05:05

Than want to make sure you stack up as

1:05:07

much money as possible. Now here's the thing and

1:05:09

I feel like I have to be very. Very

1:05:11

clear on this. Your. Pausing.

1:05:14

You. Haven't even started a debt. Snowball yet?

1:05:17

But. We organise we if you hadn't told me about the

1:05:19

baby I would have said okay, you're doing your debt Snowball,

1:05:21

You're living on. you know the seventy thousand your drone?

1:05:23

Sixty thousand a year at this thing. Ah

1:05:26

him. Because. You, That's.

1:05:28

What? I want to clarify here and be

1:05:30

relieved to hear me so cleanly. So.

1:05:33

Many times people call in they've already started their debt.

1:05:35

Snowball They just want to know. Where to go next? But

1:05:37

they're having a baby so it's home. To pause the

1:05:39

debt snowball. And ordered Stack Up

1:05:41

Money. We call it stork modes. Stack Up

1:05:43

Money. Until. The baby comes to make

1:05:45

sure you can pay. You know for all the costs

1:05:47

associate with babies. Know when the baby's home and healthy

1:05:49

it's You guys. Take whatever money is left, throat on

1:05:52

the debt and keep the debts know boggling. Were.

1:05:54

In your situation, Daniel, you're gonna have to

1:05:56

be. Double we diligent

1:05:58

because you haven't. The really gotten started

1:06:01

yet? You. Haven't even really gotten on a

1:06:03

budget. Get in. It could be very easy for

1:06:05

you. Suggest kind a low back into your old

1:06:07

ways coming off of this call cause you're like,

1:06:10

well, I guess I can start the baby steps.

1:06:12

Yet I can't really do anything so instilled as

1:06:14

babies gone. So. I. Don't.

1:06:16

Do that. Okay, Don't

1:06:19

do it. I want. You to stack up money as though

1:06:21

you were going to put it on the debt. Home with

1:06:23

equal intensity or do you think the numbers weren't?

1:06:25

I think they live off of his income non

1:06:27

on or were how much does he saving for

1:06:29

stork my were all members I think he's not

1:06:31

He anything he says in his that noble. I.

1:06:35

Understand, but what's he saving per month

1:06:37

based on this? You're saying Everything outside

1:06:39

of their bills? Basically okay. Whatever. He

1:06:41

would have put on the debts not of whatever you want

1:06:43

to put on track of know ball you're saving. It's put

1:06:45

isn't it a high yield savings account. And.

1:06:48

The. You know everything goes well. You know we're

1:06:50

praying. Baby goes well. Mama goes well, everything's goods

1:06:53

and all your on the hook for is your

1:06:55

deductible which is prized Five Seven thousand dollars. whatever

1:06:57

it is. And then all that

1:06:59

extra money that you've been saving up over

1:07:01

the course of these month when everybody comes

1:07:04

home safely, you're throwing it at the debt.

1:07:06

And. It better be a lot. Of

1:07:09

us, a hundred thirty thousand if you get in

1:07:11

the truck. So. And she out of

1:07:13

work to and here's the thing. Aren't.

1:07:15

You have got to get in the

1:07:17

budget. You've got to college it and say

1:07:20

those are the two things as a

1:07:22

soldier budgets so that you can save

1:07:24

and xinyi take on the debt snowball. But

1:07:26

I'm gonna tell you one of the

1:07:28

thing brother, you've gotta commit no more debt

1:07:30

on businesses, no more borrow know guys.

1:07:32

He took him way too much debt and

1:07:34

you get out of this for you

1:07:36

to be gutted out for a couple

1:07:38

years of easier in the truck. Yeah, and

1:07:41

when you out your tracks your clifford

1:07:43

somewhere and in as is how it goes,

1:07:45

To get out of this new could do of

1:07:47

my friends for say to call this is the

1:07:49

race issue. Okay

1:07:54

guys, I'm just gonna say it. It seems like a

1:07:56

lot of tax software out there wants to keep you

1:07:58

in the dark about how simple to. Smiling can

1:08:00

be so they can pressure you into add

1:08:02

on that drive up your bill. The Ramseys

1:08:05

More Tax is the classic blue jeans of

1:08:07

tax software, not skinny. Not be dazzled. It

1:08:09

just makes them. Simple, easy, and exactly

1:08:11

what you need. And you can save

1:08:14

up to seventy percent fair to other

1:08:16

tax software. And if you register for

1:08:18

Ramsey's More tax the day you get

1:08:20

free resources to help you feel confident

1:08:23

about filing. Just gotta Ramsey solutions.com/smart Tax

1:08:25

and see just how simple tax filing

1:08:27

can be. That's Ramsey solutions.com Smart Tax.

1:08:32

Will go back to the radio show and

1:08:34

good call Madrid Warsaw joins me the phone

1:08:36

over. If you want us join us here

1:08:38

on the conversation is triple eight, Eight to

1:08:41

five, five, two to five aren't Now for

1:08:43

neighborly. Question of the Day is is nearly

1:08:45

your hub for home services. Winner is rougher

1:08:47

and summers of the country than others with.

1:08:49

There are things that make sense do no

1:08:52

matter where you live. that's why Neighborly as

1:08:54

a helpful winter checklist you can download for

1:08:56

free can check it out. At.

1:08:58

neighborly.com/ramsey All

1:09:01

righty! Today's question

1:09:03

comes from Jillian in Delaware. How

1:09:05

do I deal with incompetent workers?

1:09:07

Ten. They're. Always making excuses

1:09:09

are blaming someone else for not

1:09:12

doing their job. The. Work that

1:09:14

I do depends on them getting things to

1:09:16

turned in on time and I have to

1:09:18

chase them down every day. The boss doesn't

1:09:20

seem to see what's going on. What can

1:09:23

I do? Know boy. Okay, ah,

1:09:25

this is a tough one and

1:09:27

in that. Very

1:09:30

lack of. Diligence is

1:09:32

affecting your boys. Do your jobs. You have

1:09:34

one way to take this and that up

1:09:36

arm. He said the boss doesn't seem to

1:09:38

see what's going on as you're on the

1:09:40

phone. I could get a little bit more

1:09:42

details on fly in a bit blind but

1:09:44

I would go. The boss gone hates I

1:09:46

am not play and tattle tale. I'm not

1:09:48

gripen, I'm just telling you what I'm experiencing

1:09:50

and I need you to way in. And

1:09:53

so then you described So I'm supposed

1:09:55

to do this: A B C. But.

1:09:59

I. Kid. A, B, C, if this

1:10:01

over here isn't being done and I need your

1:10:03

help because it's affecting my ability to get the

1:10:05

job done, can you check into this or is

1:10:07

there something that what can I do? That's

1:10:10

the way you got to take this to them and you're

1:10:12

going to find out very quickly whether or not this leader

1:10:14

gives a crap. That's what I'm wondering. And

1:10:16

we're going to find out if in fact your

1:10:20

co-workers lack of diligence really does affect

1:10:22

you as much as you think. I

1:10:24

got a hunch and

1:10:26

Jade, this is why I love the

1:10:28

question of the day but it's so limiting because

1:10:30

I can't dig. But I just

1:10:32

wonder if this person

1:10:34

here, Jillian, who seems to be very diligent, I'd

1:10:37

hire Jillian just I would and just tell it

1:10:39

because Jillian is going to get her job done.

1:10:42

I think Jillian could be focused

1:10:45

a little too much on what everyone else is doing

1:10:47

because it's not up to her standard and

1:10:50

it's irritating more than it is limiting

1:10:52

her. I could be wrong. Well

1:10:54

if her job depends on if it's

1:10:56

kind of like a flow. Then it is

1:10:59

limiting. And they're on their deadline. It may not

1:11:01

be. It can cause her to be lay on

1:11:03

her deadline. That I'm acknowledging. Like if I don't

1:11:05

turn in my articles on time. I know, I

1:11:07

get it. I'm throwing everybody else off.

1:11:09

But what I'm saying is it might be a situation where

1:11:11

it's more irritating and limiting and in that case here's why

1:11:13

I'm bringing this up because I mean a lot of people

1:11:15

can identify with this. In that case you

1:11:17

got to do your job and you

1:11:19

do your job really really well and

1:11:21

it is going to then shine a

1:11:23

light on everything else. And

1:11:26

if that doesn't fix

1:11:28

the situation we're

1:11:30

moving on. So let's role play this out. Let's

1:11:33

role play this out. Alright. Because you

1:11:35

be the leader. I'm going to be Jillian.

1:11:39

You know I just wanted to bring this to you. I'm not

1:11:41

trying to be a tattletale. I'm not trying to you know tell

1:11:43

on anybody. But I found it difficult to

1:11:45

hit my deadlines and here's what I'm finding is

1:11:47

the challenge. I

1:11:51

love Michael. He's great on the team but he's

1:11:53

consistently late in turning in his projects and it's causing me

1:11:55

to be late or have to work

1:11:57

harder to hit my deadlines. And

1:11:59

I just I want to thank you. I wonder if there's something I can do to

1:12:01

kind of make things run smoother or if this is something

1:12:03

you've noticed. Have you talked to Michael about it? I

1:12:05

haven't. I wanted to bring it up

1:12:07

because I didn't want to, you know, I'm not his

1:12:09

leader. Do you feel like if you talk

1:12:11

to him about it, he might be defensive and it

1:12:14

might not go so well? Is there a little bit

1:12:16

of just kind of some emotional safety we want to

1:12:18

practice here? You know, I've emailed him sometimes and said,

1:12:20

hey, I just want to check in. I'm waiting for you

1:12:22

to get this so I can start. I need

1:12:24

you to detail for me what specifically

1:12:26

he isn't doing and how that's affecting

1:12:28

your ability. Can you lay that out

1:12:31

for me? Well yeah, because if

1:12:33

he doesn't turn in his articles in time,

1:12:35

I'm late. And if

1:12:37

I'm late, then I'm looking bad and unless

1:12:39

I point back to him, it all

1:12:41

falls on me. So I don't always want to

1:12:43

be saying, well, it was because of Michael. It was because of Michael. Got

1:12:45

it. And do you have, can you give me

1:12:48

three specific examples? Yes, Monday, Tuesday and Wednesday. Haha.

1:12:50

And so that's a good leader, by the way. I'm role playing

1:12:52

the good leader. That's a great leader. And then the leader's going

1:12:54

to go, all right, let me talk to Michael. Let me dig

1:12:56

into it and I'm going to get back to you and I'm

1:12:58

sorry that you're dealing with this frustration. That

1:13:01

process is on me, so I need to figure out

1:13:03

a solution. Stay tuned. That's what

1:13:05

I want to hear. That's the good leader, but again, we're role

1:13:08

playing. And so if that's the response,

1:13:10

great. Wait.

1:13:13

If it's not the response, start

1:13:15

looking, handle your business so that

1:13:17

you can hopefully be able

1:13:19

to control the perception of you if you leave. You

1:13:21

don't want to become a thorn in that leader's

1:13:23

side because that person, if it's an unhealthy leader,

1:13:26

they can end up hurting you as you go to

1:13:28

look for something else. So in that situation, you go,

1:13:30

I can't fix it. I tried. Let

1:13:32

me stay above the fray, protect my image,

1:13:34

my personal brand at all costs. That would

1:13:37

be the backside of it if it doesn't

1:13:39

help. And a lot of times, leaders aren't

1:13:41

going to fix it and that sucks. Let's go

1:13:43

to Belton in Richmond, Virginia. Belton, how

1:13:45

can we help? Yes.

1:13:49

So thank you for spending my

1:13:51

call. I'm from 32. I've been

1:13:53

going to no kids. I'm graduating this

1:13:55

year with my PhD and I need a new car.

1:13:59

So My question is... He should I be.

1:14:01

More I'm I'm I'm sorry. I get that

1:14:04

I have is my student loans. As

1:14:06

our sixty seven K Hedgehog came

1:14:08

out that I'm. Steve

1:14:13

Garvey and I'm. I'm

1:14:15

sandra of us to be more modest with the

1:14:18

car and. Bomb. Beast under under

1:14:20

twenty k, about a hundred thousand miles

1:14:22

or probably more money and beginning a

1:14:24

new a car that will last longer

1:14:26

on I do. You have a. About

1:14:29

Kincaid saved and I plan on models

1:14:32

as it ultimately kinda getting a B

1:14:34

C and make a detour to check.

1:14:37

Out came on. Let.

1:14:40

Me: give you a couple of i'm just

1:14:42

gonna give you a couple rules of thumb

1:14:44

and then I wanted to see how it

1:14:46

jibes with you. So that our rule of

1:14:48

thumb is. We. Don't buy

1:14:50

brand new cars until we've.

1:14:53

Had a millionaire net worth one million

1:14:55

network. In the reason for that

1:14:57

against because. New cars. Brand

1:14:59

new cars lose sixty to seventy percent

1:15:01

of their. Value in the first three to four

1:15:04

years really quickly. And most of us

1:15:06

about. Can't. Afford to take that hit

1:15:08

like we we need that money like we want that

1:15:10

money So that's that's the rule of thumb. Their thats

1:15:12

rule of thumb number one second rule of thumb is

1:15:14

we say okay if you sam than a by nice

1:15:16

used car. We. Would say that

1:15:18

it should it be worth more than

1:15:21

half. of your yearly income.

1:15:23

So in your case, it's just you.

1:15:25

Your single if you make eighty thousand, forty

1:15:27

thousand would be your maximum limit. So.

1:15:30

That's number one on a used car

1:15:32

Things Three. Is. We suggest

1:15:34

that you would pay off your debts,

1:15:36

especially be have a car that works

1:15:38

and run that you would pay off

1:15:40

your debts first before you even consider.

1:15:43

Wearing. A another car or

1:15:45

a new car or used car. And.

1:15:48

Then finally the ticker is this

1:15:50

is thing for. We would suggest that

1:15:52

you pay cash for whatever you do get.

1:15:55

Saved! up for guidelines their arm

1:15:57

i think the first one we

1:15:59

can off the box. I think we

1:16:02

can both agree that you buying a brand new car right now is

1:16:05

probably not a good idea. So

1:16:07

I can take that one off the list which

1:16:10

means we can agree and I think we can both agree

1:16:12

on the idea that 40% would be or 40,000 would be

1:16:14

the max, right? That's half

1:16:16

of your income. That's a

1:16:18

bit more than what I was

1:16:21

thinking. Exactly. So we're in agreement on that.

1:16:23

Next thing is can we agree that whatever you

1:16:25

get you pay cash for it? Okay.

1:16:30

Ha ha, it's the resistance. I

1:16:32

like it. I like it, Milton. Okay, so let's

1:16:35

start with that. Let's agree

1:16:37

that you pay cash because here's the thing. There's

1:16:39

two thoughts to this because you're

1:16:41

going to go off of here and do what you want to do. But

1:16:44

the last thing, you know what it feels

1:16:46

like to have $67,000 of debt. The

1:16:48

last thing you need to do is go

1:16:50

back into debt or add any debt to

1:16:52

that, correct? Right,

1:16:55

yeah. So let's solve the problem.

1:16:57

The problem in your financial life right now is

1:16:59

debt and I always say because you're making a

1:17:01

good income, you're getting a PhD, you're doing all

1:17:03

the things right but the glaring obvious problem here

1:17:05

is that $67,000 of student loan debt

1:17:07

that's standing out. I always tell people you can't

1:17:10

solve a problem while simultaneously creating it. So if

1:17:12

you want to solve this problem of debt, Milton,

1:17:15

you've got to decide I don't borrow money anymore and

1:17:17

I'm not going into debt anymore and that includes the

1:17:19

car. You said you've got $10,000 saved and you can

1:17:21

maybe save another 10 or 15 more, that's $25,000.

1:17:25

Where I come from,

1:17:27

that's a decent bag. That's a nice car. Yeah,

1:17:30

Beltan, I'm going to jump in real quick. What are you

1:17:32

hedging on? When she throws that at

1:17:35

you and you're going, I don't know, what's holding you

1:17:37

up from going, I'm all in? I

1:17:40

guess growing up, it's about

1:17:42

being that cash poor thing

1:17:45

or like having cash in the bank,

1:17:49

but it's not yours. You don't have any. You're already.

1:17:51

Oh, $67,000. You don't have

1:17:56

any money. You still owe $55,000, $57,000.

1:17:58

You see what I'm saying? That's

1:18:00

just basic math. So what I would

1:18:02

suggest you do, keep $1,000 saved, pay

1:18:05

off that $67,000 as quickly as possible,

1:18:07

save up cash and pay cash for a

1:18:09

car. This is The Ramsey Show. Line from the headquarters of

1:18:12

The Ramsey Solutions. This

1:18:15

is The Ramsey Show. This is The Ramsey Show. This

1:18:18

is where we help you win in your life.

1:18:21

Win with your money. Win in

1:18:23

your work. Win in your relationships. Triple

1:18:25

eight. Eight two five. Five. Two

1:18:28

two five. Triple eight. Five.

1:18:30

Two two five is your number with us. We have a question

1:18:32

today. We've been me. I'm Ken Coleman

1:18:34

and she, Jade Warshaw. We

1:18:36

are here for you this hour. Are

1:18:39

you ready to go, partner? I'm ready. We never

1:18:42

told them the special surprise, Ken. Well, I

1:18:44

kind of felt like you gave me the vibe. Like

1:18:46

you didn't want to reveal that because it's a very

1:18:48

personal kind of a thing. So I didn't know

1:18:50

if you were picking up what I was laying down. Turning 30 is

1:18:52

a big deal. Okay. Turned

1:18:54

in 30 years of age. If

1:18:57

you're a big fan of Jade. Especially for the second time. And

1:19:00

you should be. Tomorrow is

1:19:02

Jade's birthday. And so I'm

1:19:04

not going to be on with you tomorrow. So

1:19:06

I wanted to say happy birthday to you. We're

1:19:08

so glad you're here. She's

1:19:10

taken Ramsey Solutions by storm. And

1:19:14

Stacey and I love her and Sam and they're

1:19:17

two beautiful kiddos. And they've just become a part

1:19:19

of our community right away. And so we're celebrating

1:19:21

you tonight. Thanks, Ken. Some

1:19:24

of us. That's all I'm going to say. We're going to keep the details on

1:19:26

the download. On the DL. But

1:19:28

happy birthday. Early birthday. Thank you, Ken

1:19:30

Coleman. So all of you folks jump

1:19:32

on the Instagram and wish

1:19:34

her happy birthday. Would you? Show her

1:19:36

how much you love her. And I know

1:19:38

she'd appreciate that. So I'm not going to tell you

1:19:41

how old she is. Although I actually know. 30 Ken.

1:19:43

Okay. That's what we're going with. Plus 10.

1:19:46

Okay. Ellie is up in

1:19:48

Lexington, Kentucky. Ellie, how can we help? Hi.

1:19:53

This will probably be a pretty quick question. My husband

1:19:55

and I started back in November on the total money

1:19:57

makeover and we've been able to pay off. lot

1:20:00

of debt so thank you guys. Awesome.

1:20:03

So we will have all of

1:20:05

our debt paid off by October and

1:20:07

we'll be able to save up a

1:20:10

fully funded emergency fund by June for

1:20:12

six months. Nice. So after that we've

1:20:14

already paused investing so we could have

1:20:17

our home paid off in two and a

1:20:19

half to three years if we kept up

1:20:21

the gazelle intensity but

1:20:24

we wouldn't be investing the 15% at

1:20:26

that time. Would it be wise to

1:20:28

only invest up to our company's match

1:20:30

since it's going to be such a

1:20:32

short time frame or should we

1:20:34

jump in on the 15% right away? In

1:20:37

your case I'd walk it in anybody's

1:20:39

case I'd walk it through as

1:20:41

the steps say. I know and it's

1:20:44

hard because you can get excited it's like listen if

1:20:46

we just keep going with this intensity we can have

1:20:48

the house paid off but there's a reason you know

1:20:50

it there's

1:20:52

a fine line because obviously people call in

1:20:54

all the time who are further along age-wise

1:20:57

than you and you know we'll

1:20:59

tell them to pause investing to pay off

1:21:01

their debt but then when it comes over

1:21:03

to you I'm like no don't pause you

1:21:05

know you know don't pause investing do your

1:21:07

investing and then pay off your house later.

1:21:09

The reason for that

1:21:11

is if it makes sense

1:21:14

for you to take advantage of

1:21:16

time in the compound interest

1:21:18

equation we want you to take advantage

1:21:21

of time if it makes sense and

1:21:24

in your case it does make sense because you've

1:21:26

already paid off your debt you're like you said

1:21:28

you'll have your three to six months saved up

1:21:30

you've done everything right there's no

1:21:32

reason for you to continue to put this

1:21:34

off and lose out on any time gaining

1:21:36

compound interest because the fact is you are

1:21:38

still going to pay off your home and

1:21:41

you're still going to be gaining equity and

1:21:43

value in your home during that time. So

1:21:45

really nothing is lost for you there's a

1:21:47

higher gain and there's a higher percentage of you

1:21:49

earning more money if you go ahead and start

1:21:51

investing now take advantage of that compound

1:21:53

interest and like you said in a

1:21:55

few short years your home will still be paid

1:21:57

off here's the thing you might start making more

1:21:59

money. You might have some other things that work

1:22:02

in your favor that keep that timeline very similar

1:22:04

without you've been realizing it I agree

1:22:06

Ellie you're gonna look back and go

1:22:08

I'm so glad I listened to Jade

1:22:10

and got that three extra years or

1:22:12

the two extra years Of investing and

1:22:14

getting that started because you guys are

1:22:16

gonna crush this. There's a reason why

1:22:19

Years ago Dave put those steps in

1:22:21

order and it is about one word

1:22:23

Ellie and that's momentum and that That

1:22:26

leads to mo money. You hear me? Equals

1:22:31

mo money. Can you're a true jolly?

1:22:33

Are you with me? Yeah,

1:22:36

awesome. Thank you guys and happy birthday, Jade Happy

1:22:39

birthday, Jade. I don't want to miss the fact that

1:22:41

you just called me a did you call me a

1:22:43

real G You're a real G. I don't even know

1:22:45

what that means moment of mo money. It's come on.

1:22:47

Come on You've been next to me too long. I

1:22:50

grew up in the 90s. That's all The

1:22:52

only guy who wears a white turtleneck. It's

1:22:54

not okay. First of all, it's not a

1:22:56

turtleneck. It's a mock neck Thank

1:22:58

you. Thank you. It is it

1:23:01

is a and it's in it's actually a roll

1:23:03

neck is the traditional usage of this You go

1:23:05

to jcrew.com Is

1:23:07

a roll neck sweater not a mock

1:23:09

not a turtleneck. Come on get it

1:23:11

right. I gotta fix it All right,

1:23:13

we can keep going delise as in

1:23:16

release. Is that right? Detroit,

1:23:18

Michigan the motor city Yes,

1:23:21

sir. Happy birthday, Jay I

1:23:23

mean I'm making your day. I feel

1:23:26

like a new woman. This is great

1:23:28

All right, we help release me from all

1:23:30

this please help me out. What's your question?

1:23:34

Okay, my question is should

1:23:36

I fill my van or

1:23:38

move into it? Oh Wait

1:23:41

a second. What are you serious

1:23:43

about moving into this van? What

1:23:45

kind of it better be a great

1:23:47

van It's a class B

1:23:51

So I'm 60 and I'll be retiring in

1:23:53

five to seven years. I'm selling

1:23:55

my home and I'm paying

1:23:58

down off My car and

1:24:01

my credit cards and it'll either be

1:24:03

part of my van, but I'm upside

1:24:05

down and. Located. Let

1:24:07

all and on my unit. Okay,

1:24:09

now let's look at this because I want to get off. I

1:24:12

want to see if I can get on the same page as

1:24:14

you and and I might end up seeing it from a new

1:24:16

viewpoint, which I think I might. Ah, Okay

1:24:18

yeah, mind if we start with the house

1:24:20

how much you plan on making on the

1:24:22

house? Or

1:24:24

oh, one seventy and they say

1:24:27

I'm is selling for four hundred.

1:24:30

Okay, her. And after you sell, have you

1:24:32

done the math what you think you'll walk away with.

1:24:36

On one nine, the. Lady

1:24:39

maybe. Okay, so

1:24:42

the question? I wasn't ready for that

1:24:44

one hundred and that of Albania. How's

1:24:46

our hundred and seven hundred and fourteen

1:24:48

on the car? And eleven on

1:24:50

the card. Okay, and fourteen Kate,

1:24:52

you lemon cake and I'm sorry. Go back and tell me the

1:24:54

ban. A mouth when he letter one hundred

1:24:57

and of the a one on one or

1:24:59

a one of a sickly okay. So I.

1:25:02

Put. Me in put me in the know. I tell me what

1:25:04

a class. Be then is what does that mean. That.

1:25:09

Is the higher costs vans? the older

1:25:11

just stands with the that with the

1:25:13

camper An. Opening when

1:25:15

I go every day at and everything now.

1:25:18

Okay, And it's going down in value because you said

1:25:20

you're upside down. And upside

1:25:22

down it as how the lead to see if

1:25:24

it sells and ninety that be great. But

1:25:26

that means I tell. You. Know twenty

1:25:29

thousand on it. Okay, I'm in the

1:25:31

cells for ninety. That be great. Okay,

1:25:33

do you have any money seized. Know.

1:25:37

Minutes later and get together for the

1:25:39

for the retirement mad saving situation was

1:25:41

basically that the house of the one

1:25:44

hundred thousand. In one

1:25:46

and bought it. Okay, what's the car worth

1:25:48

that? You fourteen on. It's.

1:25:52

A twenty nineteen, it might be worth

1:25:54

twenty. august so many other under

1:25:56

like seventeen eighteen and sorry need to sell led

1:25:58

to the i'd sell the and I take

1:26:00

that money and buy yourself a cash beater.

1:26:04

We're gonna hold you over because I want to keep helping you with

1:26:06

this. Yeah, we got some work to do, but my goodness.

1:26:09

You can get out of this, but I don't think, I

1:26:11

don't know. Delise, I don't think you're gonna end up in

1:26:14

a van down by the river, okay?

1:26:16

That's our goal, but you gotta hang with

1:26:18

us here. Not down by the river. It's

1:26:20

luxury, it's luxury. I bet it is, but

1:26:22

still, it's a van. Oh

1:26:25

my goodness, that's all right. Jade is on it,

1:26:27

she's got her notes over there. She's warming up,

1:26:29

she's gonna stretch during the break. You take a

1:26:31

stretch as well. We're gonna be right back. We're

1:26:34

gonna help Delise out and release her from living

1:26:36

in the van. This is the Ramsey Show. Hey,

1:26:42

if you want to make real progress with

1:26:44

your money and get that extra push to

1:26:46

keep going, then you need to be at

1:26:48

our brand new event, the Total Money Makeover

1:26:50

Weekend. On May 10th and

1:26:52

11th, join me, the rest of

1:26:54

the personalities, and the community of

1:26:56

people like you at Ramsey

1:26:59

Headquarters for new talks, new

1:27:01

focus, and new motivation to

1:27:03

stay gazelle intense on your

1:27:05

money goals. Early bird tickets

1:27:07

start at just $99, so don't wait. Get

1:27:11

yours at ramsysolutions.com/weekend.

1:27:17

All right, welcome back to the Ramsey Show. I'm Ken

1:27:19

Coleman, Jade Worshaw. Jade Worshaw is

1:27:21

with me, and I've always said

1:27:23

that a little too quick. That's all right. We're

1:27:25

taking your calls, 888-825-5225. We

1:27:29

took a call right before the break. Delise is with

1:27:31

us in Detroit. I want to set the

1:27:33

call up if you're just kind of hanging in here or

1:27:35

jumping in with us. The question

1:27:37

she had was, should I sell my van?

1:27:39

She's got a really nice van. I'm talking,

1:27:41

it's like a camper, it's deluxe, but

1:27:44

she owes a lot of money on it. About $108,000. So

1:27:47

the question is, should she sell

1:27:50

her house and move into the van? And

1:27:52

she's got some equity in the house. So that's

1:27:54

where we left it. Jade, pick us back up.

1:27:56

We're walking through kind of her debt. gotten

1:28:00

into income yet so take it away and

1:28:02

I'll jump in as well. Okay, so Delise,

1:28:05

we figured out we should probably sell this

1:28:07

car. You owe $14,000 but you might

1:28:09

be able to get $20,000 for it. So

1:28:12

that gives you a spread. That's a

1:28:14

$6,000 spread, am I right? Yes.

1:28:17

Perfect. So that gives you some money that

1:28:19

you could buy a car in cash, no more

1:28:21

payments and you're good to go on that. Then

1:28:24

you've got this credit card. Are you working at all

1:28:27

still? Yes. Yes, I'd

1:28:29

make $160,000. Nice. Okay,

1:28:32

Delise, that's just what we're going

1:28:34

to need to release us

1:28:36

from this. Sorry, Ken, I had to take your...

1:28:38

I know, I'm sorry. It's the greatest name. It

1:28:40

is absolutely the best name of any caller I've

1:28:42

ever taken. I'm not even kidding. I love it.

1:28:45

It's fantastic. I'm obsessed. So

1:28:48

here's what I love. Are you single? It's

1:28:50

just you? Yes. Okay. You've

1:28:53

got a great income. You're going to pay off this $11,000 credit card

1:28:55

like... Fast. Fast. Fast.

1:28:59

In a month and a half. Like this

1:29:01

thing is gone, right? Because you make $160,000. What do

1:29:03

you take home every month? Uh,

1:29:07

$7,000 to $8,000. Okay.

1:29:11

And you're paying

1:29:13

your mortgage. You've got this class B van.

1:29:15

You should be able to pay off that credit

1:29:17

card in the next two months. Fair

1:29:19

enough? Okay. Now,

1:29:22

hold on a second. I'm detecting something here.

1:29:24

I could be wrong. I

1:29:26

hear you hear her. It's because she's not on a

1:29:28

budget. A hundred percent. And I don't think she knows

1:29:31

that she can do that. Am

1:29:33

I right, Delise? That's

1:29:35

right. That's right. So, listen, my colleague, she's

1:29:37

a force of nature. I sniff it out.

1:29:39

But I'm going to jump in here and

1:29:41

we've got to slow this down and help

1:29:43

you walk through what it's going to take.

1:29:45

And she's right. It's a budget. Yeah. Do

1:29:48

you have any idea month to month, are you just

1:29:50

seeing yourself make it a paycheck to paycheck right now?

1:29:54

Basically, yeah. Okay. Right

1:29:56

now, you don't see the margin,

1:29:58

so you can't believe. that

1:30:00

you can pay off that debt as quickly as Jade's

1:30:02

telling you. So I think we need to camp here

1:30:04

for a minute. Budgeting.

1:30:07

Like what are your biggest expenses? The

1:30:11

van is $783 a month. Yeah.

1:30:13

The house is $1600 a month. Okay.

1:30:18

So that gets us about what? Yes.

1:30:21

That's about $2400 there. Where's the rest of

1:30:23

the money going? What do you think the

1:30:25

big expenditures are? I know you've not done

1:30:27

a budget. The car is $300. I was

1:30:29

going to pay that off with the house

1:30:31

selling. But we're not

1:30:33

selling the house. Okay.

1:30:35

So you're at $2700. Listen, it's a budget.

1:30:38

Because we're adding up these numbers and you're

1:30:40

at half of your income. So

1:30:43

that money is going somewhere and it's going

1:30:45

to your lifestyle. It's going to the things that

1:30:47

you like to do with your friends and your family. I

1:30:49

mean it happens to the best of us. Listen

1:30:52

to you guys. It's going to eating

1:30:54

and so I'm starting to

1:30:56

cut out that whole dinner thing. Okay. When

1:30:59

you get off the phone today, you're going to

1:31:01

leave with every dollar. And I want you to have

1:31:03

the premium version. At least we'll give

1:31:05

you a trial version so you can see how

1:31:07

it works. That is the foundation

1:31:09

for all of this. If you

1:31:11

don't get this budget on and popping and you can

1:31:13

set it up in five minutes, it's super easy. If

1:31:15

you ever feel like you get hung up, there's every

1:31:18

dollar YouTube channel that you can check out and it

1:31:20

will answer all your questions or slide

1:31:22

into my DMs. I'll answer your questions. But

1:31:24

it's very easy, very intuitive. That is your

1:31:26

homework for tonight. You get off this call,

1:31:28

you download every dollar and you start setting

1:31:30

up your budget tonight. Every

1:31:32

dollar. Okay. Every dollar. And we do

1:31:35

delete what's called a zero based budget.

1:31:38

That means that when you open up every dollar,

1:31:41

you'll plug in what you get paid and how often you get

1:31:43

paid and it will show it at the top of the screen

1:31:45

in green. Like okay, at least

1:31:47

you got $7800 to spend. And

1:31:49

then you literally quote unquote spend

1:31:52

the money before the month

1:31:54

begins. So you go through on your budget and say okay,

1:31:56

I'm going to put $783 for the car and I'm going to put

1:31:58

$1600 for the mortgage. at 300 for

1:32:00

my car and you go through and it'll subtract

1:32:02

it from your income. So you'll start to

1:32:04

see what money you have

1:32:06

to spend on bills and what you have

1:32:09

left and what you have left is what

1:32:11

we call margin and that margin is what

1:32:13

you're going to use to pay off this

1:32:15

credit card. And here's what I know, Delise,

1:32:17

when you sit down and do that budget

1:32:19

tonight, you will be shocked and amazed how

1:32:22

much margin you had because there are

1:32:24

certain things that you're going to guess on, right? You're going to

1:32:26

say, okay, how to eat? I

1:32:28

don't know what I spent. Maybe I spent 400,

1:32:30

maybe I spent, and you're going to pull up

1:32:32

that old bank statement, whatever

1:32:35

your bank is, Chase, Bank of America, hopefully

1:32:37

not, you're going to pull up your bank statement and you're going to

1:32:39

look for the past month and you're going

1:32:41

to look at all the transactions that were out to eat and

1:32:43

you're going to add them up and you're going

1:32:45

to go, oh my goodness. So

1:32:47

I got to ask Delise, why the van?

1:32:49

Why did you buy the van?

1:32:52

And I'm not asking this for you to defend

1:32:54

it. No, no, that's a great question. My

1:32:56

mom died and we had

1:32:58

just gotten into COVID. My grandchildren and my

1:33:00

daughter were living with me and so I

1:33:02

had to get away. So

1:33:05

you just bought the van to say, I got to drive

1:33:07

and get out on the open road and heal? And

1:33:10

yeah, and I did 48 states. So I

1:33:12

mean, you know. Okay. Wow.

1:33:15

So Chase walked you the budget thing, but the reason I asked that question

1:33:17

is, is the way you presented

1:33:20

your question at the first

1:33:22

was, should I move into

1:33:24

my van? Did

1:33:26

I hear that right? Yeah. Yeah.

1:33:29

Wait a second. You've got this house. I

1:33:32

know, but you've got this amazing house which

1:33:34

becomes a tremendous investment and you've got a

1:33:36

good amount of equity in this home. And

1:33:39

to me, I'd be getting

1:33:41

rid of the van and hold on to

1:33:43

the house. Think about it, Delise. What we

1:33:45

just laid out in two months, because

1:33:48

I think that you have probably a margin of $4,500 every

1:33:50

month. In

1:33:52

two months, you're going to pay off the credit card. Two

1:33:56

and a half months. And in another two and a half months,

1:33:58

you're going to save up $10,000. And

1:34:00

you're gonna put that $10,000 with

1:34:03

the class B van and just set it aside and

1:34:05

then you're gonna save up another $10,000 and put it

1:34:07

with the class B van and then you're gonna sell

1:34:09

it because you won't be upside down anymore. And

1:34:13

then you're gonna have your entire income

1:34:15

to put towards paying off your house

1:34:18

when the time comes. So

1:34:22

you're gonna now like Ken said have an asset

1:34:24

that's yours, it's your house that already has equity.

1:34:26

Now you're debt free, you gotta pay for car

1:34:28

and cash and this is gonna happen in the

1:34:30

course of less than six months. And

1:34:33

then here's the other thing Delise, you were talking about retirement. You're

1:34:35

doing what Jade's talking about. Jade's got you on

1:34:38

a path to an emergency fund of three to

1:34:40

six months of your expenses within how long? What

1:34:42

are you mapping out here? I'm trying to keep up with you.

1:34:45

She's gonna be out of debt in five months and then you're

1:34:47

gonna save up six months of expenses. Yeah.

1:34:49

So and that's basic expenses which you will be

1:34:51

able to look at your budget and see okay

1:34:53

what do I need to just kind of keep

1:34:56

things running? Like what's my basic expenses? So you'll

1:34:58

save up six months of that, that's gonna take

1:35:00

you another six months. So by the time you're

1:35:02

61 you're gonna be completely debt free, cash car,

1:35:05

six months of expenses. Now you're 61 and you

1:35:07

get to decide am I gonna keep working

1:35:09

or not? If you decide hey

1:35:11

you know I've got some more years left in me, I'm gonna work

1:35:13

till I'm Social

1:35:16

Security starts at 62. I want you

1:35:18

to start taking those distributions from Social

1:35:20

Security and I want you to start

1:35:22

investing them. Do you have any retirement? 60%

1:35:24

of your income. Do you have any? Very

1:35:26

little retirement. Suppose at least 60,000. Okay. Alright

1:35:29

so the point is here is in

1:35:31

about a year with the kind of

1:35:33

income you're making you're gonna start pouring

1:35:35

on top of that 60,000. You'll

1:35:38

be surprised at how quickly that'll compound

1:35:41

and if you can delay retirement until

1:35:44

70 then you're gonna get a lot more of Social

1:35:46

Security and that gives

1:35:48

yourself almost nine years to

1:35:51

be piling up cash. At

1:35:53

this point you probably have the house paid off. Let's

1:35:56

say that House now grows to 450,000 in value, 500,000 in value.

1:36:00

Value. I think you can make the case

1:36:02

it. by the time you're seventy seventy five,

1:36:04

you're going to be and really really good

1:36:06

shape. And let me let ours now the

1:36:08

next six months, the next year. Yeah, Let

1:36:10

me roll that out further for you to discuss.

1:36:13

Can set it. Once you get that six months,

1:36:15

say that you're You're investing fifteen percent of your

1:36:17

income every single month. Every single month, you're making

1:36:19

extra payments on the mortgage every single month, cause

1:36:22

you got the margin to do that. When you

1:36:24

get sixty two, you're still working to take that

1:36:26

Social Security. for the next. Six or

1:36:28

seven years insisted. This is how you

1:36:30

doing. You're going to be just signed. Give

1:36:33

yourself another thing years the least. This thing

1:36:35

looks totally different. Thus,

1:36:37

And you're not living in a

1:36:39

van. They'll. Die the rip by the

1:36:41

river or by the campground. You.

1:36:44

Get rid of it as a depreciating asset.

1:36:46

Get rid of the van as quick as

1:36:48

possible. Think so called Lily's We Love uses

1:36:50

a fun character. This is the Rams issue.

1:36:56

Or. It let's cut to the chase.

1:36:58

It's easy to get discouraged about

1:37:00

crazy house prices and interest rates,

1:37:02

but when you have the right

1:37:04

real estate agent or help you

1:37:06

buy and sell the right way,

1:37:08

you'll have confidence to make smart

1:37:11

decisions. Ramsey Trusted Agents aren't just

1:37:13

experts who guides you through buying

1:37:15

or selling their someone you can

1:37:17

trust to have your back from

1:37:19

the first call for closing day,

1:37:21

Find a Ramsey Trusted Agent near

1:37:23

you at Ramsey solutions.com Slice Agent

1:37:25

Ramsey solutions.com/agents. Are

1:37:28

welcome back to the Ramsey So a gentleman

1:37:31

Jade Warshaw joins me this our Triple eighty

1:37:33

Two Five Five Two to Five is the

1:37:35

numbers in every once in awhile to easily

1:37:37

fun because we do have a live studio

1:37:39

audience and I should take the smallest to

1:37:41

save. You want to join us or go

1:37:44

to the website Raises loses or tom ah

1:37:46

they've got to show calendar on there and

1:37:48

our we'd love the know that your common

1:37:50

but we give people have near free coffee

1:37:52

and teasing. There's baked goods over there and

1:37:54

we just love for folks come watch the

1:37:57

show. Well Melissa. Ah, Joined us

1:37:59

today and. Lobby and she's from Indianapolis

1:38:01

I'm told and so whoever was so I

1:38:03

will take a question from the from the

1:38:05

audience in the lobby. And so Melissa's standing

1:38:07

over there on the debt free. States hello

1:38:10

Melissa cited hey I can, how

1:38:12

are ya? I'm good. Thank you.

1:38:14

All right so I'm told you have a question for

1:38:16

a so take it away what's going on? Or

1:38:18

I am. I need assistance and

1:38:20

and board set aside and Family

1:38:22

Medicine Okay that I'm about to

1:38:25

change s of the Or A.

1:38:27

It was accepted into a Fellowship

1:38:29

for Hospice and Palliative Medicine of

1:38:31

Her. Added the twelve months training

1:38:33

program at start to sell I

1:38:35

First or Us and and I'm

1:38:37

a single mom with five kids

1:38:39

and. Yeah, how

1:38:41

old are the kids at their

1:38:43

sixteen? Fourteen? Twelve Eleven, And Six?

1:38:45

Bless her heart of their lot of

1:38:48

the oh man yeah cause you're busy.

1:38:50

I am I am and but

1:38:52

I after the fellowship obviously would

1:38:54

it would be good to relatively

1:38:56

quickly I get another job of

1:38:58

them. so right arm and at.

1:39:01

So I need to figure out

1:39:03

what I wanted to nz so

1:39:05

sit program and the hospital system

1:39:07

that it's associated with they offer

1:39:09

and something called an early incentive

1:39:11

program for her. Basically they would

1:39:14

trade and extra stipend per month

1:39:16

during the seller ship for my

1:39:18

commitment to do whatever position. In

1:39:20

their company. Ah, beyond the training program.

1:39:22

And so if I were to take

1:39:24

this stipend for say, six months of

1:39:27

the fellowship program, I be committing to

1:39:29

six months in that position. Was minimal

1:39:31

opened good. Ah. It's like two

1:39:33

thousand, twenty five hundred a month extra. Can

1:39:36

you live off. Of. this so i get

1:39:38

paid also hand for the fellowship itself

1:39:40

it's sorta like a residency programme oh

1:39:42

great so that will be somewhere between

1:39:45

sixty and eighty thousand o l m

1:39:47

n further twelve months and then i

1:39:49

also i murdered health officer so i

1:39:52

i help and leader a great team

1:39:54

in a health department in a small

1:39:56

town and anti makes like twenty two

1:39:58

thousand for them as well. So

1:40:01