60K student loans 50K auto loans (Ford F150 and A Grand Cherokee) Got a healthy kid 160K a year income 27K in savings It baffles me how people sound every time it comes to paying off THEIR student loans, as if it was supposed to be free and paid for by the taxpayers, WTH is wrong with people nowadays? If YOU get a loan, it is YOUR responsibility to pay it off, no matter what kind of a loan it is.
Sell both cars get cheap Toyota and Hondas now we're not going to do that because the truck makes him feel like his penis is of a normal length use that cash to get out of the stupid vehicle madness then student loans will be paid off in less than 365 days and boom they would be what's known as adults
Their situation is very similar to my own. You cannot imagine the backlash I got from people when I told them I paid off my $46,500 of student loans with a combined income of 180k. "You can afford to wait for the government to just pay it off for you" bla bla bla. I just say but now I can sleep at night and I'm putting $3000 each month towards cars. 1 car will be paid off in January. I have health problems and we lost our first baby so we hold alot back in our HSAs. My HSA probably has more than most people's 3-month emergency plan.
@@thedude5040exactly. It’s incredible how people will pay on loans for 20+ years (exceeding the principal often), but absolutely refuse to do away with them. Buddy of mine and his wife make 300k plus per year, pay extra on their house, and have tens of thousands in savings. Yet they keep 60k around in student loans. At a higher interest rate mind you.
These are the people wanting US, the taxpayers, to pay for his student loan debt. But it's okay for him to spend 50k on vehicles? You see why we adults have a huge problem with that?
I would support student loan forgiveness if everyone was given $10k in forgiveness on any debt of our choice. While I can understand the argument for forgiveness, it does nothing to address the actual issue with colleges and tuition costs. A better solution would be allowing student debt to be discharged in bankruptcy like any other bad investment.
It's a culture thing. People NEED their trucks. Despite only about 10% of truck drivers actually using it for truck stuff. I know family getting into debt but still needed that truck or Harley to get around. They see it as an essential. NO! Driving is essential but not a truck. Coffee is essential but not Starbucks. It's also the "I don't want to look poor" mentality. Some of you are already married. Who else are you trying to impress.?!? This is why Dave has a show. People keep making the same mental failures.
@@barnabusdoyle4930schooling and making America educated is different for a consumption debt from Apple or PlayStation play credits! It’s not the same aspirations.
@@bellad1063 What I’m saying is that forgiveness doesn’t fix the issue, it’s a bandaid on a bullet wound and just encourages the colleges to raise tuition more expecting more forgiveness later. We need to revamp the system and hold colleges accountable for their own bad business practices. Right now colleges trade money for a piece of paper with no accountability to the college. Here’s what I would suggest. Have the colleges be the entity that funds student debt. Cap the interest rate on that debt (7%). Then the student makes the payment to the colleges after graduation. This way the colleges will get paid by successful students and won’t get paid by unsuccessful students. If the student doesn’t pay back the loan, the college would revoke their degree similar to how a mortgage would work. This will force colleges to take away the majors that they know dont produce, stop letting in students they know won’t graduate and prevent the colleges from hiking their tuition to the moon. Allow student debt to be discharged in bankruptcy. This is how I would fix the student debt issue. The forgiveness isn’t a solution, I hope that you having a college degree at least recognizes that.
“It hurts me to spend my savings” “But you borrowed money with interest greater than the amount you had in your savings?” “Yeah” Make this make sense to me 😂
A lot of people have never had it put to them that way. Others fall for the reverse ... aggressively paying off low-interest debt by sacrificing high-interest earnings in the market. It's a matter of balance.
This is where I had it easy. A few months after I started attacking my debt, I switched jobs. Income went up about 60%. But I didn't change my lifestyle. I just started putting all that extra cash towards debt and within three years, everything was paid off. Student loans, car, credit cards, everything. Didn't fall into the trap of lifestyle creep and it set me up for success.
Of course, and since they took a break in student loan payment during the pandemic, and were so sure Biden would get them _all_ their debts forgiven during that time, they went out and got their dream cars and then she decided she wanted to have a child!
Bless his young heart, he sounded so depressed when he was told to sell the truck 😆I think he was also trying to figure how he’s gonna get his wife onboard
If he’s see’s my comment i hope it’s inspiration! Im now 29 but started my 100k debt payoff when i was 25 with my wife. Fast forward to now and our lives are absolutely phenomenal. Please pay this crap off while you’re young. You won’t regret it! My wife is a nurse too by the way!
I was upside down on a trade two times in a row. That means my second vehicle had $5 grand added on and my third had about 10 grand added on. I had 8 years of nearly $700 a month car payments. I got the most out of my overpaid vehicle but 3 months later after I finally paid it off the transmission went and so did the radiator. Two mechanics even told me the car isn't worth fixing. Honest mechanics can be brutal too. With interest the vehicle ended up being $65000. I sold the car for $400 as a junk vehicle. The only benefit was I obviously cancelled my full cover insurance right away. To make up for the lost capital it was I had to go carless for 3 years. I'm talking bus passes, trolleys, and a decent specialized series hybrid bicycle. So February will be my 3 year anniversary of no car payments. I have huge calf muscles but I'm a man in his 40s who is carless. I earn decent money in a low cost of living city so I'm usually the highest earning person on the bus. Even the bus driver asked me if he could borrow $10. People probably assume I had too many DUIs or something. The truth is I just didn't manage my finances right 10 years ago and am paying for it now. This man's vehicle is probably going to go out before he pays it off. He definitely needs gap insurance but even that's risky because insurances can just lower the value of the vehicle. Some gap insurances only go $500 more than what the car is worth. It's a slippery slope.
@@Mavryck_Tha_Myghty No. Definitely no AI. 8 years of making a car payment will have you go somewhat crazy 🤣. I'm terrified of vehicles. I rode my bicycle by a street with about a mile of dealerships last week and had a panic attack. I accidentally missed a payment back in 2020 and tried to use COVID as an excuse. Everyone else got a break but nope, not me. I got hit with the whole shambang. Late fees, higher interest for that month. Mind you, I moved to a new state so I paid the vehicle through a co-op bank and had to physically walk in and make the payment. When COVID hit the Bank closed and then reopened for only existing members. I wasn't a member so I wasn't allowed in the bank. To make the payment. Dave Ramsey mentions to callers to buy a $6000 vehicle but you might get a Datsun b210 with 300,000 miles that can't go past 30 mph. Some of his methods are outdated. I just say wake up two hours earlier and use bus passes and Uber if you really need to be in a hurry. Dave is a fat F@#$ so he's never mentioned a bicycle. Aaron Clarey has.
Stop already! This guy's _NOT_ gonna give up his truck, nor is his wife gonna give up her perks - Not without defaulting on the student loans once and for all, just like so many others! They're not paying jack! They felt they didn't have to then, and now that student loan forgiveness is shut down, they're not about to now!
4:00 _"I like to have some savings, so it hurts me to spend it."_ _"Well, it didn't hurt you to go $50,000 dollars in car debt, did it?"_ _"Yeah... but back then it didn't FEEL like I was spending!"_
A Car loan and it's debt is a bit more subjective than just saying "im a full 50k" in debt... Car's are hella expensive,,, you pay for general repairs if you get a 7,000 car thatn can be equilvaent to have a 200-400 car payment. He is sort of living a more lavish lifestyle by driving a ford f150 with 60k in student loan debt, but i think driving a 20k-30k car is alot more realistic than driving and owning a 50k ford f150. Leasing is a better option in my opinion because at the end of the lease you can buy your car and own it and then re sell it to get some of that money back you invested. I just disagree and say that buying a 7k car is the solution if that car is going to cost you thousands to repair at any time. Again, all subjective, case in point.. make better financial decisions
Great call!!! All you guys who overpaid for all these nice trucks and didn't pay anything on those loans come down!!!lol I have been looking for a nice used truck and I am about to have a buffet of choices!!! Chickens definitely coming home to roost!!!
I need to find a new employer. All these young kids making $80k right out of college. I have 10 year work experience with Fortune 500 companies and am no where near that…
Typical student loan borrowers. They get neck deep into debt, then get auto loans up the eyeballs, then have babies and THEN they expect the government (tax payers) to pay for their student loans. These people are children trapped in adult bodies. My god!! 🤦🏽
1. They are taxpayers. And 2. most people benefit from the use of taxpayer money. If you went to vocational school in high school you benefitted from taxes. It’s not sustainable at all to have a whole generation 30-50k in the hole to get a sustainable job.
@@joshuaevans60651 they want other tax payers to pay more to pay off their debt. 2 everyone benefits from taxes but some pay more than others. That doesn’t make it ok to burden the system. 3 they were making likely well over 160k and had 3.5 years of no interest to pay off 60k and paid off 0$. Instead bought two cars which they also didn’t pay for they financed. They also had no kids at that point. This means they pissed away lots of money. 4 if you think these are not completely stupid decisions you are just trying to car Ortiz ex everyone as victims in an effort to take more people’s tax money.
There are a bunch of young people like this. They make great money and hate on capitalism because every college professor is a brainwashing communist. It's ludicrous.
@@fsmoura yep. 2005 Toyota Camry. Runs like a top. Cost $4,100. 2010 Dodge Grand Caravan. Been running well for nearly 3 years, needs some TLC now. Cost $5,600 3 years ago.
This couple is actually in an amazing position, have the exact savings to pay off the jeep and can sell the truck with enough equity to buy a reliable car to drive for the next 2 years. Huge household income. In 2 years they will be debt free and have double the savings they currently have and only be 27. That’s so great to hear for them I hope they take the right steps
Pre-Dave, I paid on my student loans for 15 years - I would have killed to have had a 3 year, interest free, moratorium on my loans😂 would have taken me a lot less time!
To better get through to them, I wish they would ask, "what would your monthly income be without the car/student debt each month? Imagine what you could do with that."
Nope. They would conjure up something else of which they can afford the monthly payments. Americans are raised with the idea that money will beat them if they don't spend it and if they spend more than they have, they are elevated to smart god status.
I have $30k back taxes, 6k in credit card debts, $23k car loans. I went out every weekend and on dates for over 4 months. Burned $13k total! Facccccccck!!!!!!! 😢
$180k a year X 70% take home divided by 12 months is just over $9000 a month. Telling them to put $8000 a month towards debt means they’re living on $1000 a month with a new baby. I understand they need to tighten their budget but that might not be realistic…
He didn't have to perform any miracles to get 50k out of nothing to buy a car just for pleasure... if there's an emergency and he needs 50k to take care of the baby he probably will be able to borrow the money. These broke people always act like credit is non-existent when told to use their money to actually pay their debts... all of a sudden they all really need a huge pile of cash as if it's SHTF and all banks collapsed.
I know about this all too well, unfortunately! I begged my husband to stop wanting a new flashy, shiny, big truck just because everyone else at work had one. I told him we couldn't afford it because we had four children, 2 of them with expensive health conditions (cerebral palsy and epilepsy) and I was still in school for my master's degree. He didn't care, he begged me to agree and even offered to work extra overtime, outside of his required overtime; basically telling me i'll be around less than I already am for you and the children. I got tired of this same old conversation every single night at the dinner table after work and school, so I broke down and agreed but told him I wouldn't be accompanying him to sign documents or initiate the loan. He traded in our fully paid-off Chrysler Pacifica for his big bad shiny truck with meaty tires, the truck lot gave him $400 for it, and we could of sold it privately to a local individual for $5-6k, even though it was newer, it was high mileage. Anyhow, the truck lot used this $400 as his down payment and he got financing for $38,999 with a 7.8% interest rate and a monthly payment of $483.70, plus he needed to secure full-coverage insurance with uninsured motorist coverage on it before he could leave the truck lot. That was another $610 to start the new policy. He brought home the paperwork and I immediately went and cried but wow was he sooooooo happy he finally got a "big boy" truck, he was gonna be super cool pulling up in his new ride, in front of all the other guys at work. Talk about low-self esteem and throwing your wife and four children under the bus and placing them on financially shaky ground. Well, at least he thought...he was all that and a bag of chips, right. Ugh! Fast-forward 8 months later, it was repossessed because he fell behind on his payments because these emergencies took place and in this specific order: septic tank went out, our refrigerator stopped working, the dryer belt broke and my son's seizure medication was no longer fully covered by insurance. This was in 2016 and he has grown a lot as a man, I pray for him daily that he will remain stable and responsible and see himself how God sees him and not worry about how other, imperfect humans will see him.
Because he doesn't understand how much he could have saved during the 0% interest years. Nobody alive pre-Covid had a 3 year loan interest-free yet these kids did and didn't appreciate it. They are soft.
5:20 _"You're gonna set aside . . . ehhhh . . . $8,000 a month for debt."_ _"But Dave! Do you know what kind of fun I could be having with 8k a month?? All kinds!"_ ( oДo)
No way they can save 8k a month for debt. I make 175k and my take home after taxes and such is 8k. They could probably save 5k to 6k Mac depending on rent and food and childcare.
@bt2598 there’s no reason why you should be paying 45% of your income to taxes at that rate. If it’s high state income tax because you’re in California or some place like that, I’d move out They’re in Ohio. If their gross pay is $160k, their take home pay should be $122k. That’s $10k per month, of which they should be able to set aside at least $7k for debt payment and, assuming an average interest rate of about 9.02% (average student loan rate is 7.05% and average auto loan interest rate for used cars is 11.38%), they should definitely have it paid off in 18 months, and that’s without dipping into their savings or selling the truck. Unless, of course, they remain irresponsible with their money
Think about it this way. If you do what there telling you you will not be doing any extra for a year+/-. But at the end of that time you are debt free and making close to 200k per year. At that point just think how fast you can save money and buy with cash. One year trade off for the rest of your life.
If one works day shift and the other works nights, the cost of daycare is a moot point. That’s exactly what my parents did to get out of the brink of poverty when I was a child
@@nicholasselke5214 My parents both worked normal hours and had my grandparents, from my mom's side, take care of me. When I was old enough, it was just normal public pre school and through the normal grade ranks.
I barely borrowed to get my degrees. Like $4,000 because scholarships paid for my education. But if I had been given THREE years of no payments I would have put what I would have spent in savings and paid it off when the payments started again.
New cars are such a foolish purchase. Buy a lease model or an older Toyota or Honda. You can get so much more car for your money, not only because they were better-built, but they had less stuff to break. Do your research to avoid recall projects that haven't been addressed, of course, but never, ever buy new if you can avoid it.
Very foolish to not take advantage of 3 years of interest free payments because my peers actually thought the government would make their student loans dissapear.
Dopes didn't pay interest on THEIR loans for 3 years, and also BORROWED money for their cars. My net worth is about $1 million and I make well over $200k/year plus my wife's >$100k/year job. I drive a 2020 Civic Si. That's all. I will be happy to drive this car for the next 10-15 years.\ These idiots will forever be tied to DEBT.
Unless he has a job that absolutely requires one, there is no economic reason to drive a pick up. They are obscenely expensive to buy and maintain. Which works In his favor as the resale value will be higher for him to get out of that loan. Sell the truck for 30k, pay off the remaining 23k, buy a car for les than 7k. That wipes that out and he still has a vehicle that he owns outright with a cheaper cost to own more than likely as well (insurance, gas, etc). Any money left over can be put towards the other car or student debt. Wifey, if she’s upside down or not, needs to decide how badly she wants to keep her Jeep (which I’ve heard stands for Just Empty Every Pocket). Keep a thousand or even 2k from the 27k savings (baby steps are more guidelines than hard rules in my eyes), put the rest towards her car and the remainder of that debt is gone in a month. Now they own their cars and “only” have 60k left to pay on a 160k income. Which after tax is probably ~105k or so. If they sell hers and she gets a cheaper car with cash, that leaves what is left of that 25k from the savings to reduce that 60k in student loans, depending on how much or if they lose money selling hers. If they can live off of 45k a year, which LOTS of people do very successfully, they are debt free in a year, own their cars (which reduces the cost of ownership tremendously), and still have 2k in the bank to start a bigger emergency fund. With a six figure income at the end. They really only need to shift to a mindset of being a single income house for a year, because one of their 80k incomes is going to be totally dedicated to debt. That child being 1 or 2 isn’t going to notice anything either. Better now than when they’re older and could perceive the lifestyle changes, which could impact them negatively. They have assets, they just need to leverage them. Best of luck to him and his wife and their family. They are in a really good spot to set themselves up financially for their lives. I’m 26 now, if I could be debt free already AND have a 160k income with a spouse with 2! cars, I’d be feeling pretty good. Lifestyle creep got them, but they’re not too deep into anything. They are 1 disciplined year away from 0 debt. If they maintain that discipline going forward they have a very prosperous future ahead.
Unless you have a ton of money I will never understand the premium vehicles, especially since most people don't keep them that long. He could have bought a basic truck for like $5k to $15k less and used that money for a house, pay off student loans, invest, or something else. My guess is he has that money in the bank because he was saving instead of paying student loans. There is nothing wrong with ONE car payment at time for a couple (if you have to finance). Finance it for 72 but pay it off in 3 or 4 years. Buy the first one (her's) make large payments until it is gone, then buy the next one (his) and do the same thing. That way if one person loses their job you can go back down to the small payment. Also you never get upside down on a car, and you always have at least one reliable vehicle.
You can hear in the way he talks about the student loans he does not fully comprehend they are HIS responsibility. He still thinks they aren't his fault and some government is going to eventually save him. These are college "educated" people and they have zero understanding or common sense.
Sell the F150, add the profit to the $27,000. Sell the Jeep too and use a couple thousand from the savings to cover the difference in the loan. Use $15,000 or so to buy two beat up Toyotas to drive around for a couple of years. You have now eliminated $50,000 of debt by utilizing only $15,000 in savings, gained nearly $1,000 a month in eliminated payments, AND greatly reduced the amount of wealth you have tied up in cars. You will now have plenty of money on a monthly basis to make whatever payments make sense on the student loans and any other priorities needed.
I make $155k a year gross and after taxes and union dues I only take home $100k. Dont know how dave was figuring they could put $8k a month towards debt
Somthings off here with Ramseys Math, I Make $80K Salary at my New Engineering Jobs of 3 months , $2247.93 Hits my Account every two weeks , That’s Without ANY type of 401k contributions or Heath insurance , so out of $4489.95 your suppose to live off of $489.95 x2 if your married a month? Btw I’m not a Idiot and went to Community college for my M.E and cash flowed it , I agree people acting like student loan debt isn’t a big deal is ridiculous We Really need to Count in Taxes in these numbers tho
He wouldn't be able to hit his debt at 8,000 a month, his take home pay is probably only 10K after taxes and 401k. They're not going to be able to live off of $2,000 with a baby.
This is one of my favorite channel. It always makes my week complete! 😊 Despite the economic downturn, I still manage to earn $25,000 weekly from my investment of $3,500 ..God bless Expert David Ramsey
I'm a British citizen. Since I started trading with Mr. David Ramsey a year ago, he has shown to be the best and most reliable broker. I heartily advise him.
Need to start asking these new parents about child care, because if they still want 2 incomes, are they paying for child care? Child care costs 1 persons income by itself.
Wait a second - how do you put aside $8000/month on a $160,000 income? The net income from that gross total would be something like $7000-$8000 a month. There'll be no money left for anything.
There is no way they can pay it off in 1 year. 0% chance! Both working , who gonna take care of baby? Put aside $8000/month, they need to make $300k a year.
@bellabobbybob3476 one can work day shift and the other can work night shift. Whoever is home at the particular time can take care of the baby and they wouldn’t need to pay for childcare
Depends, most people said to sell it. But if you don’t want to, increase your income. ie get a higher paying job, work over time (which you are already), get another job, rent out the rooms which will help you get more income.
i would sell both cars right away.... spend 16 grand of that savings on 2 cheap good cars and start grinding on the student loans and they will be in good shape soon
They can do this. Just need to get serious about controlling their money and putting aside the lifestyle they are trying to keep up with. Then sometime near the end of next year, they can start enjoying some things again.
Even better: people need to stop buying a bunch of stuff they don’t need. Even if they can afford it comfortably. My living expenses are about $1,500 per month, I take home three times that and I have a monthly budget of only $1,800. I would find it insane to choose to live on more when I don’t have to; I’ll never budget for more than 20% above what my necessities are no matter how much money I make And even with those numbers I mentioned, no, I don’t live with my parents. I live completely on my own without roommates. I just don’t see the need to get a three bedroom house without filling those rooms. And I’m not picky about where I live
Yes except that in a matter of week he and his wife will be paying roughly $1200-1500 a month in daycare expenses, he has a mortgage most likely, utilities, food for them and the baby and a ton of other things that are obligations. Dave NEVER addresses the fact that people have A LOT of non-negotiable expenses
When Dave had advised the caller to sell his vehicle, the money from the sale would allow him more money to be used for other necessary expenses such as: childcare and unexpected emergencies in addition to pay off the current debt, which is the first priority.
Facts. Also Dave thinks they can pay 8k a month on debt? Bro we make north of 200k and only take home a total of 9k after taxes, more taxes, other taxes, benefits and retirement.
Dave’s advice addresses all of that - Sell the vehicle. Live on rice and beans. Don’t go out to eat. Don’t go on vacation. Put every extra dollar toward debt payments. What part of that advice is not applicable here?
Thankfully she’s a nurse and can work the night shift he can keep working the day shift. That way they can put the $1000 a month daycare onto their debt, unless one of the grandparents have already step up to care for the baby.
60K student loans
50K auto loans (Ford F150 and A Grand Cherokee)
Got a healthy kid
160K a year income
27K in savings
It baffles me how people sound every time it comes to paying off THEIR student loans, as if it was supposed to be free and paid for by the taxpayers, WTH is wrong with people nowadays? If YOU get a loan, it is YOUR responsibility to pay it off, no matter what kind of a loan it is.
Sell both cars get cheap Toyota and Hondas now we're not going to do that because the truck makes him feel like his penis is of a normal length use that cash to get out of the stupid vehicle madness then student loans will be paid off in less than 365 days and boom they would be what's known as adults
>...and boom they would be what's known as adults
If what defines being a adult is being debt free than the US is a huge _Lord of the Flies_ situation
Somehow student loans are part of the “other people’s-responsibility”-loans category 🤦🏽
Their situation is very similar to my own. You cannot imagine the backlash I got from people when I told them I paid off my $46,500 of student loans with a combined income of 180k. "You can afford to wait for the government to just pay it off for you" bla bla bla. I just say but now I can sleep at night and I'm putting $3000 each month towards cars. 1 car will be paid off in January. I have health problems and we lost our first baby so we hold alot back in our HSAs. My HSA probably has more than most people's 3-month emergency plan.
@@thedude5040exactly. It’s incredible how people will pay on loans for 20+ years (exceeding the principal often), but absolutely refuse to do away with them. Buddy of mine and his wife make 300k plus per year, pay extra on their house, and have tens of thousands in savings. Yet they keep 60k around in student loans. At a higher interest rate mind you.
These are the people wanting US, the taxpayers, to pay for his student loan debt. But it's okay for him to spend 50k on vehicles? You see why we adults have a huge problem with that?
I would support student loan forgiveness if everyone was given $10k in forgiveness on any debt of our choice.
While I can understand the argument for forgiveness, it does nothing to address the actual issue with colleges and tuition costs. A better solution would be allowing student debt to be discharged in bankruptcy like any other bad investment.
It's a culture thing. People NEED their trucks. Despite only about 10% of truck drivers actually using it for truck stuff. I know family getting into debt but still needed that truck or Harley to get around. They see it as an essential. NO! Driving is essential but not a truck. Coffee is essential but not Starbucks. It's also the "I don't want to look poor" mentality. Some of you are already married. Who else are you trying to impress.?!?
This is why Dave has a show. People keep making the same mental failures.
You are the same ones saying all the Asians are taking our jobs, then we try to secure them… the car now is idiotic.
@@barnabusdoyle4930schooling and making America educated is different for a consumption debt from Apple or PlayStation play credits! It’s not the same aspirations.
@@bellad1063 What I’m saying is that forgiveness doesn’t fix the issue, it’s a bandaid on a bullet wound and just encourages the colleges to raise tuition more expecting more forgiveness later. We need to revamp the system and hold colleges accountable for their own bad business practices. Right now colleges trade money for a piece of paper with no accountability to the college. Here’s what I would suggest.
Have the colleges be the entity that funds student debt. Cap the interest rate on that debt (7%). Then the student makes the payment to the colleges after graduation. This way the colleges will get paid by successful students and won’t get paid by unsuccessful students. If the student doesn’t pay back the loan, the college would revoke their degree similar to how a mortgage would work. This will force colleges to take away the majors that they know dont produce, stop letting in students they know won’t graduate and prevent the colleges from hiking their tuition to the moon. Allow student debt to be discharged in bankruptcy.
This is how I would fix the student debt issue. The forgiveness isn’t a solution, I hope that you having a college degree at least recognizes that.
His defeated voice when being told to sell the truck is the funniest thing I've heard today.
“It hurts me to spend my savings”
“But you borrowed money with interest greater than the amount you had in your savings?”
“Yeah”
Make this make sense to me 😂
😅
Why I might use credit card but take money out of savings or not put into savings if I need to pay off or for something.
A lot of people have never had it put to them that way. Others fall for the reverse ... aggressively paying off low-interest debt by sacrificing high-interest earnings in the market. It's a matter of balance.
"but Daaaaave I don't like to feel like I'm spending!"
They don't believe they will actually have to pay it back.
The classic "she was making more money so we spent more". That gets people all the time.
Lifestyle inflation
This is where I had it easy. A few months after I started attacking my debt, I switched jobs. Income went up about 60%. But I didn't change my lifestyle. I just started putting all that extra cash towards debt and within three years, everything was paid off. Student loans, car, credit cards, everything. Didn't fall into the trap of lifestyle creep and it set me up for success.
And than got pregnant.
Of course, and since they took a break in student loan payment during the pandemic, and were so sure Biden would get them _all_ their debts forgiven during that time, they went out and got their dream cars and then she decided she wanted to have a child!
@@Astro95Media Yeah, yeah, but what about the Joneses?? ( o.o)
I enjoy watching these videos now because i paid off student loans this year. I threw extra money towards my loans during covid.
Way to go!
username checks out ✓
Good for you. I did the same thing.
I feel so bad for these poor people they only make 160,000 a year 😭
160k a year is not poor my guy
@@yuhboi8559 you’re not the greatest at picking up sarcasm are you ? Lol 😳my guy
@@mikeberardi3985lol 😂
He’s not going to sell his truck lol
He doesn't have to sell it. He makes $80k, owes less than $23k. He'll be done in 6 months. A used car will break down next week.
>A used car will break down next week.
twice
Dudes never want to part with their cars
@fsmoura I hope you're enjoying your car debt!
@@SRD1281 I may be up to my eyeballs in debt, but at least I can impress people I don't really like!
Bless his young heart, he sounded so depressed when he was told to sell the truck 😆I think he was also trying to figure how he’s gonna get his wife onboard
Oh stop it. Guy’s a weenie 🌭
He sounded like if he sold the truck his penis would shrink
Oh, she's gonna be on board immediately, you can bet on it... "as long as you don't sell *my* truck"
If he’s see’s my comment i hope it’s inspiration! Im now 29 but started my 100k debt payoff when i was 25 with my wife. Fast forward to now and our lives are absolutely phenomenal. Please pay this crap off while you’re young. You won’t regret it! My wife is a nurse too by the way!
That "okay" after the sell the truck was perfection 😂
$50k in car debt?! 😭 Brah I was sweating financing a $21k Mazda that's scary 😨
Multiply your Mazda by two for a married couple.
I was upside down on a trade two times in a row. That means my second vehicle had $5 grand added on and my third had about 10 grand added on. I had 8 years of nearly $700 a month car payments. I got the most out of my overpaid vehicle but 3 months later after I finally paid it off the transmission went and so did the radiator. Two mechanics even told me the car isn't worth fixing. Honest mechanics can be brutal too. With interest the vehicle ended up being $65000. I sold the car for $400 as a junk vehicle. The only benefit was I obviously cancelled my full cover insurance right away. To make up for the lost capital it was I had to go carless for 3 years. I'm talking bus passes, trolleys, and a decent specialized series hybrid bicycle. So February will be my 3 year anniversary of no car payments. I have huge calf muscles but I'm a man in his 40s who is carless. I earn decent money in a low cost of living city so I'm usually the highest earning person on the bus. Even the bus driver asked me if he could borrow $10. People probably assume I had too many DUIs or something. The truth is I just didn't manage my finances right 10 years ago and am paying for it now. This man's vehicle is probably going to go out before he pays it off. He definitely needs gap insurance but even that's risky because insurances can just lower the value of the vehicle. Some gap insurances only go $500 more than what the car is worth. It's a slippery slope.
Imagine taking out $50K in car debt then taking out that much in student loans, and being shocked at the idea of selling the car
I feel that you asked A.I. to write your comment, @Taylormademan900 😂
@@Mavryck_Tha_Myghty No. Definitely no AI. 8 years of making a car payment will have you go somewhat crazy 🤣. I'm terrified of vehicles. I rode my bicycle by a street with about a mile of dealerships last week and had a panic attack. I accidentally missed a payment back in 2020 and tried to use COVID as an excuse. Everyone else got a break but nope, not me. I got hit with the whole shambang. Late fees, higher interest for that month. Mind you, I moved to a new state so I paid the vehicle through a co-op bank and had to physically walk in and make the payment. When COVID hit the Bank closed and then reopened for only existing members. I wasn't a member so I wasn't allowed in the bank. To make the payment. Dave Ramsey mentions to callers to buy a $6000 vehicle but you might get a Datsun b210 with 300,000 miles that can't go past 30 mph. Some of his methods are outdated. I just say wake up two hours earlier and use bus passes and Uber if you really need to be in a hurry. Dave is a fat F@#$ so he's never mentioned a bicycle. Aaron Clarey has.
Stop already! This guy's _NOT_ gonna give up his truck, nor is his wife gonna give up her perks - Not without defaulting on the student loans once and for all, just like so many others! They're not paying jack! They felt they didn't have to then, and now that student loan forgiveness is shut down, they're not about to now!
4:00 _"I like to have some savings, so it hurts me to spend it."_
_"Well, it didn't hurt you to go $50,000 dollars in car debt, did it?"_
_"Yeah... but back then it didn't FEEL like I was spending!"_
A Car loan and it's debt is a bit more subjective than just saying "im a full 50k" in debt... Car's are hella expensive,,, you pay for general repairs if you get a 7,000 car thatn can be equilvaent to have a 200-400 car payment. He is sort of living a more lavish lifestyle by driving a ford f150 with 60k in student loan debt, but i think driving a 20k-30k car is alot more realistic than driving and owning a 50k ford f150. Leasing is a better option in my opinion because at the end of the lease you can buy your car and own it and then re sell it to get some of that money back you invested. I just disagree and say that buying a 7k car is the solution if that car is going to cost you thousands to repair at any time. Again, all subjective, case in point.. make better financial decisions
Its true though😊
Great call!!! All you guys who overpaid for all these nice trucks and didn't pay anything on those loans come down!!!lol I have been looking for a nice used truck and I am about to have a buffet of choices!!! Chickens definitely coming home to roost!!!
Makes 80k, bred, allegedly went to college but can't answer a question or listen. Why do I even breathe?
He answered everything fine clear and concise, listen to the video again
@@K4R3Nusually my line. Are you a hotdog lawyer? Defending a weenie & all.
Best part … he listened, he was honest. Life coming at him real hard. Good guy getting his life in order!
I need to find a new employer. All these young kids making $80k right out of college. I have 10 year work experience with Fortune 500 companies and am no where near that…
They are not kids the are adults with immature brains
How do you know they are straight out of college?
@@nealp885they're 25 years old.
Why is it so hard for people to just buy a nice used vehicle cash or at worse put down a big down payment and have $200 or less car payment.
People want to eat their cake and have it to. “What, I can’t pay off my debts and go on vacation and drive a brand new F150 lariat??”
Gotta keep up with the Joneses, have that fancy truck or SUV to drive to the office job.
@@kurt1522 keep up with the Joneses? More like need a penis extender to fix my small ego
The Joneses are brutal, bruh... you'll do your best and you'll barely keep up with them ( o.o)
I personally don't like used, but I prefer to save up and then buy. If I cannot afford it, I don't buy.
"We just taken in some student loans" 🙄 Sounds like most people with student loans right now when October hit.
dude ain't gonna do the right thing here. not a chance. poor wife and kid...
“We decided to have a kid” doesn’t sound that loving. They can definitely knock this out quickly
Typical student loan borrowers. They get neck deep into debt, then get auto loans up the eyeballs, then have babies and THEN they expect the government (tax payers) to pay for their student loans. These people are children trapped in adult bodies. My god!! 🤦🏽
Then they raise the next generation to have the same selfish entitlement
1. They are taxpayers. And 2. most people benefit from the use of taxpayer money. If you went to vocational school in high school you benefitted from taxes.
It’s not sustainable at all to have a whole generation 30-50k in the hole to get a sustainable job.
@@joshuaevans6065 then they shouldn't have then, like a home, save for it.
@@joshuaevans60651 they want other tax payers to pay more to pay off their debt. 2 everyone benefits from taxes but some pay more than others. That doesn’t make it ok to burden the system. 3 they were making likely well over 160k and had 3.5 years of no interest to pay off 60k and paid off 0$. Instead bought two cars which they also didn’t pay for they financed. They also had no kids at that point. This means they pissed away lots of money. 4 if you think these are not completely stupid decisions you are just trying to car Ortiz ex everyone as victims in an effort to take more people’s tax money.
Making $160,000 and still hoping the taxpayers pay off their stident loans...
There are a bunch of young people like this. They make great money and hate on capitalism because every college professor is a brainwashing communist. It's ludicrous.
Bro, bad mistake. I make more than both of you combined and our two vehicles cost a total of 11k.
Pretty cheap. What are they? Indestructible japboxes?
@@fsmoura yep. 2005 Toyota Camry. Runs like a top. Cost $4,100. 2010 Dodge Grand Caravan. Been running well for nearly 3 years, needs some TLC now. Cost $5,600 3 years ago.
This couple is actually in an amazing position, have the exact savings to pay off the jeep and can sell the truck with enough equity to buy a reliable car to drive for the next 2 years. Huge household income. In 2 years they will be debt free and have double the savings they currently have and only be 27. That’s so great to hear for them I hope they take the right steps
Pre-Dave, I paid on my student loans for 15 years - I would have killed to have had a 3 year, interest free, moratorium on my loans😂 would have taken me a lot less time!
I took full advantage of interest free for 3 years and paid off $14,000 in student loan debt 🙌
I recommend a Toyota Corolla for $7000.
Bought new cars in the last 2 years expecting not to have to pay the student loans.
Insanity.
Sadly, this is most modern day Americans. 😢
My net worth is infinitely more than his and I cringe when I look at new trucks.
Way the go Scrooge, I'm so proud of you!
Nothing wrong with nice things If you can afford them
@rory644 problem is that so many people that can’t afford them think they can
Based on their income is seems like at least their college education paid off. They are just not responsible financially
Seriously. What Is a $1000 emergency fund gonna accomplish? Might be time to update the baby steps.
...tell us you you're willfully ignorant about the psychology behind the baby steps without telling us...
$10000 emergency fund with Biden
A stupid idea. People will give up before paying a cent of debt if they have to save for more than a couple of months.
To better get through to them, I wish they would ask, "what would your monthly income be without the car/student debt each month? Imagine what you could do with that."
Nope. They would conjure up something else of which they can afford the monthly payments.
Americans are raised with the idea that money will beat them if they don't spend it and if they spend more than they have, they are elevated to smart god status.
Great jobs, went into huge debt, then decided to quit. Stupid planning. Stop spending and pay what you owe. You took the loan, you pay it.
Good advice! No problems here!
I have $30k back taxes, 6k in credit card debts, $23k car loans. I went out every weekend and on dates for over 4 months. Burned $13k total! Facccccccck!!!!!!! 😢
I live in an apartment, paid off cars. Dave cars.
One income $65k and WE pay for these “professionals” loans
Shoot I'm over $100000 in car debt but I have a small rental fleet on Turo and leverage that debt to make money.
Of course there's a truck. He isn't selling it. Pay your student loans.
$180k a year X 70% take home divided by 12 months is just over $9000 a month. Telling them to put $8000 a month towards debt means they’re living on $1000 a month with a new baby. I understand they need to tighten their budget but that might not be realistic…
Another reason I do not support student loan forgiveness.
AUTO loans are the bane of American’s budgeting process.
No that's. $600 raise (before taxes!) from selling the truck
The idea of emptying your savings account to $1k when you have a newborn is just plain stupid.
YEP
He didn't have to perform any miracles to get 50k out of nothing to buy a car just for pleasure... if there's an emergency and he needs 50k to take care of the baby he probably will be able to borrow the money. These broke people always act like credit is non-existent when told to use their money to actually pay their debts... all of a sudden they all really need a huge pile of cash as if it's SHTF and all banks collapsed.
The average American dude will sell his soul and his family's future
for a shiny new truck and a car note
I know about this all too well, unfortunately! I begged my husband to stop wanting a new flashy, shiny, big truck just because everyone else at work had one. I told him we couldn't afford it because we had four children, 2 of them with expensive health conditions (cerebral palsy and epilepsy) and I was still in school for my master's degree. He didn't care, he begged me to agree and even offered to work extra overtime, outside of his required overtime; basically telling me i'll be around less than I already am for you and the children. I got tired of this same old conversation every single night at the dinner table after work and school, so I broke down and agreed but told him I wouldn't be accompanying him to sign documents or initiate the loan. He traded in our fully paid-off Chrysler Pacifica for his big bad shiny truck with meaty tires, the truck lot gave him $400 for it, and we could of sold it privately to a local individual for $5-6k, even though it was newer, it was high mileage. Anyhow, the truck lot used this $400 as his down payment and he got financing for $38,999 with a 7.8% interest rate and a monthly payment of $483.70, plus he needed to secure full-coverage insurance with uninsured motorist coverage on it before he could leave the truck lot. That was another $610 to start the new policy. He brought home the paperwork and I immediately went and cried but wow was he sooooooo happy he finally got a "big boy" truck, he was gonna be super cool pulling up in his new ride, in front of all the other guys at work. Talk about low-self esteem and throwing your wife and four children under the bus and placing them on financially shaky ground. Well, at least he thought...he was all that and a bag of chips, right. Ugh! Fast-forward 8 months later, it was repossessed because he fell behind on his payments because these emergencies took place and in this specific order: septic tank went out, our refrigerator stopped working, the dryer belt broke and my son's seizure medication was no longer fully covered by insurance. This was in 2016 and he has grown a lot as a man, I pray for him daily that he will remain stable and responsible and see himself how God sees him and not worry about how other, imperfect humans will see him.
Why didn't he pay during the interest free three years?
Because he thought he could get out of paying it with student loan forgiveness.
Because he doesn't understand how much he could have saved during the 0% interest years. Nobody alive pre-Covid had a 3 year loan interest-free yet these kids did and didn't appreciate it. They are soft.
5:20 _"You're gonna set aside . . . ehhhh . . . $8,000 a month for debt."_
_"But Dave! Do you know what kind of fun I could be having with 8k a month?? All kinds!"_ ( oДo)
No way they can save 8k a month for debt. I make 175k and my take home after taxes and such is 8k. They could probably save 5k to 6k Mac depending on rent and food and childcare.
@bt2598 there’s no reason why you should be paying 45% of your income to taxes at that rate. If it’s high state income tax because you’re in California or some place like that, I’d move out
They’re in Ohio. If their gross pay is $160k, their take home pay should be $122k. That’s $10k per month, of which they should be able to set aside at least $7k for debt payment and, assuming an average interest rate of about 9.02% (average student loan rate is 7.05% and average auto loan interest rate for used cars is 11.38%), they should definitely have it paid off in 18 months, and that’s without dipping into their savings or selling the truck. Unless, of course, they remain irresponsible with their money
Think about it this way. If you do what there telling you you will not be doing any extra for a year+/-. But at the end of that time you are debt free and making close to 200k per year. At that point just think how fast you can save money and buy with cash. One year trade off for the rest of your life.
You could hear the deflation in his voice. Sheeesh, it's a stupid truck. Boo hoo.
Men have a tendency to get emotionally attached to their cars because, even though it's only a material thing, it's one of their toys.
What they should’ve accounted for was daycare cost. Is mom still working? That vastly changes how fast they can pay this off
The mom is almost never working and if she is, she is saving it (not a dime going to helping the expenses situation).
If one works day shift and the other works nights, the cost of daycare is a moot point. That’s exactly what my parents did to get out of the brink of poverty when I was a child
@@nicholasselke5214 My parents both worked normal hours and had my grandparents, from my mom's side, take care of me. When I was old enough, it was just normal public pre school and through the normal grade ranks.
I barely borrowed to get my degrees. Like $4,000 because scholarships paid for my education. But if I had been given THREE years of no payments I would have put what I would have spent in savings and paid it off when the payments started again.
Never buy a new Ford Pickup Truck. They will break the bank. I’m pretty sure they are the most expensive pickup trucks on the market right now.
Dave just took the pacifier away from the baby. Take away the F150 and the wambulance comes to town
New cars are such a foolish purchase. Buy a lease model or an older Toyota or Honda. You can get so much more car for your money, not only because they were better-built, but they had less stuff to break. Do your research to avoid recall projects that haven't been addressed, of course, but never, ever buy new if you can avoid it.
I want to live in Dave's world where there are no taxes 🤣
I am not convinced he is willing to do nothing and have it all payed off in 18 months.
Very foolish to not take advantage of 3 years of interest free payments because my peers actually thought the government would make their student loans dissapear.
Dave talks about income like taxes and health insurance don’t exist
So back in like 1930s? Haha
I’m NOT going to say it….😂
Dopes didn't pay interest on THEIR loans for 3 years, and also BORROWED money for their cars. My net worth is about $1 million and I make well over $200k/year plus my wife's >$100k/year job. I drive a 2020 Civic Si. That's all. I will be happy to drive this car for the next 10-15 years.\
These idiots will forever be tied to DEBT.
Dave, If you pay cash for everything, how much cash do you keep at home?
He uses a debit card.
Unless he has a job that absolutely requires one, there is no economic reason to drive a pick up. They are obscenely expensive to buy and maintain. Which works In his favor as the resale value will be higher for him to get out of that loan. Sell the truck for 30k, pay off the remaining 23k, buy a car for les than 7k. That wipes that out and he still has a vehicle that he owns outright with a cheaper cost to own more than likely as well (insurance, gas, etc). Any money left over can be put towards the other car or student debt.
Wifey, if she’s upside down or not, needs to decide how badly she wants to keep her Jeep (which I’ve heard stands for Just Empty Every Pocket). Keep a thousand or even 2k from the 27k savings (baby steps are more guidelines than hard rules in my eyes), put the rest towards her car and the remainder of that debt is gone in a month. Now they own their cars and “only” have 60k left to pay on a 160k income. Which after tax is probably ~105k or so. If they sell hers and she gets a cheaper car with cash, that leaves what is left of that 25k from the savings to reduce that 60k in student loans, depending on how much or if they lose money selling hers.
If they can live off of 45k a year, which LOTS of people do very successfully, they are debt free in a year, own their cars (which reduces the cost of ownership tremendously), and still have 2k in the bank to start a bigger emergency fund. With a six figure income at the end. They really only need to shift to a mindset of being a single income house for a year, because one of their 80k incomes is going to be totally dedicated to debt. That child being 1 or 2 isn’t going to notice anything either. Better now than when they’re older and could perceive the lifestyle changes, which could impact them negatively.
They have assets, they just need to leverage them. Best of luck to him and his wife and their family. They are in a really good spot to set themselves up financially for their lives. I’m 26 now, if I could be debt free already AND have a 160k income with a spouse with 2! cars, I’d be feeling pretty good. Lifestyle creep got them, but they’re not too deep into anything. They are 1 disciplined year away from 0 debt. If they maintain that discipline going forward they have a very prosperous future ahead.
Unless you have a ton of money I will never understand the premium vehicles, especially since most people don't keep them that long. He could have bought a basic truck for like $5k to $15k less and used that money for a house, pay off student loans, invest, or something else. My guess is he has that money in the bank because he was saving instead of paying student loans.
There is nothing wrong with ONE car payment at time for a couple (if you have to finance). Finance it for 72 but pay it off in 3 or 4 years. Buy the first one (her's) make large payments until it is gone, then buy the next one (his) and do the same thing. That way if one person loses their job you can go back down to the small payment. Also you never get upside down on a car, and you always have at least one reliable vehicle.
You can hear in the way he talks about the student loans he does not fully comprehend they are HIS responsibility. He still thinks they aren't his fault and some government is going to eventually save him. These are college "educated" people and they have zero understanding or common sense.
Sell the F150, add the profit to the $27,000. Sell the Jeep too and use a couple thousand from the savings to cover the difference in the loan. Use $15,000 or so to buy two beat up Toyotas to drive around for a couple of years. You have now eliminated $50,000 of debt by utilizing only $15,000 in savings, gained nearly $1,000 a month in eliminated payments, AND greatly reduced the amount of wealth you have tied up in cars. You will now have plenty of money on a monthly basis to make whatever payments make sense on the student loans and any other priorities needed.
How do they make that much money but have a fraction in savings? Where did it go?
$26,000 in savings is really good, well above average (assuming they have a retirement fund going as well)
60% of people in the US don't have $500 saved nowadays, these guys are veritable preppers in the current day
I make $155k a year gross and after taxes and union dues I only take home $100k. Dont know how dave was figuring they could put $8k a month towards debt
"vehicle(s)" 🚩🚩🚩 dealership language
He didn't like the idea of selling the truck for a 7k car idea
I am so grateful I faced paying off my loans head on. I can only imagine the stress of having this hang over your head with a newborn…
Dave: you already spent it, you just haven’t admitted it yet
4:20
Somthings off here with Ramseys Math, I Make $80K Salary at my New Engineering Jobs of 3 months , $2247.93 Hits my Account every two weeks , That’s Without ANY type of 401k contributions or Heath insurance , so out of $4489.95 your suppose to live off of $489.95 x2 if your married a month?
Btw I’m not a Idiot and went to Community college for my M.E and cash flowed it , I agree people acting like student loan debt isn’t a big deal is ridiculous
We Really need to Count in Taxes in these numbers tho
He wouldn't be able to hit his debt at 8,000 a month, his take home pay is probably only 10K after taxes and 401k. They're not going to be able to live off of $2,000 with a baby.
In his state, he can.
@@sblijheid Even in NowhereVille Ohio, NO.
During BS 2, you don't do 401K contributions.
Expenses happen when you accrue a debt ...not as you make payments
The ole I thought I was gonna get out of my student loans trick.
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Need to start asking these new parents about child care, because if they still want 2 incomes, are they paying for child care? Child care costs 1 persons income by itself.
Why do I hear stories about students who chose not to pay their student loans during the three years that there was no interest?
Wait a second - how do you put aside $8000/month on a $160,000 income? The net income from that gross total would be something like $7000-$8000 a month. There'll be no money left for anything.
Nope. More like 10-11k. 160, married filing jointly, with a bit of credit for the baby. Ohio is a low cost of living state.
There is no way they can pay it off in 1 year. 0% chance! Both working , who gonna take care of baby? Put aside $8000/month, they need to make $300k a year.
@bellabobbybob3476 one can work day shift and the other can work night shift. Whoever is home at the particular time can take care of the baby and they wouldn’t need to pay for childcare
I find it bizarre that many Americans like him are proud of the $27k in savings and their $160K annual income but have $110K+ in non-mortgage debt
Many of his fellow Americans find it bizarre too.
“Tell us about the car loans”
*proceeds to explain his wife’s job*
😆
Hearing high income people talk about wanting their student loans “forgiven” pisses me off
These are the jokers asking for student loan debt forgiveness, just cause they don't want to pay.....
Im house broke. Waht do? Is selling really my only option? I do 10hours over time every pay period
Sell the house and move to a studio apartment.. The end. Your welcome m
No. Sell the house, and buy a cheaper house.
Sell the house move in with in laws
Depends, most people said to sell it. But if you don’t want to, increase your income. ie get a higher paying job, work over time (which you are already), get another job, rent out the rooms which will help you get more income.
How are they supposed to pay $8,000 per debt every month?
His wife isn’t going to want to go back and work full time… just saying.
And she wouldn't have to if they had made good decisions. Travel nurses were making bank during the pandemic. They could have gotten so far ahead.
He does not want to sell that truck 🤣 not a chance it happens!
Why do people spend so much money on cars? All it does it take you from 'a' to 'b'.
i would sell both cars right away.... spend 16 grand of that savings on 2 cheap good cars and start grinding on the student loans and they will be in good shape soon
Pay those cars off in 2 years with that low interest. And pay off those student loan in 3 years. They make good income.
Sell both vehicles take 20k get 2 cars 7 k to emergency fund and start paying off the debt fast. Easy
They can do this. Just need to get serious about controlling their money and putting aside the lifestyle they are trying to keep up with. Then sometime near the end of next year, they can start enjoying some things again.
easy to say...doesnt figure in their house if they have one and their new kid expenses..along with her not making as much since home with the kid
All of this stuff is common sense. Basically don't spend money that you don't have. How is this hard?
Even better: people need to stop buying a bunch of stuff they don’t need. Even if they can afford it comfortably. My living expenses are about $1,500 per month, I take home three times that and I have a monthly budget of only $1,800. I would find it insane to choose to live on more when I don’t have to; I’ll never budget for more than 20% above what my necessities are no matter how much money I make
And even with those numbers I mentioned, no, I don’t live with my parents. I live completely on my own without roommates. I just don’t see the need to get a three bedroom house without filling those rooms. And I’m not picky about where I live
27k isnt yours honey. Good thing is nursing job isn’t going anywhere as well, just do the right things and you’ll get there fast.
If your febt is kote then your savings thrn you have no savings. Yiute broke. If yiur networth is negative you're broke.
They are making $160,000 a year!!!!! They have $27,000 in savings!!!!! What the heck!!!!
Yes except that in a matter of week he and his wife will be paying roughly $1200-1500 a month in daycare expenses, he has a mortgage most likely, utilities, food for them and the baby and a ton of other things that are obligations. Dave NEVER addresses the fact that people have A LOT of non-negotiable expenses
When Dave had advised the caller to sell his vehicle, the money from the sale would allow him more money to be used for other necessary expenses such as: childcare and unexpected emergencies in addition to pay off the current debt, which is the first priority.
Facts. Also Dave thinks they can pay 8k a month on debt? Bro we make north of 200k and only take home a total of 9k after taxes, more taxes, other taxes, benefits and retirement.
Dave’s advice addresses all of that - Sell the vehicle. Live on rice and beans. Don’t go out to eat. Don’t go on vacation. Put every extra dollar toward debt payments. What part of that advice is not applicable here?
Daycare is $260 a week for me for a 2 year old. That’s more then the mortgage. Babies are bankruptcy in diapers.
Thankfully she’s a nurse and can work the night shift he can keep working the day shift. That way they can put the $1000 a month daycare onto their debt, unless one of the grandparents have already step up to care for the baby.
Oh Jesus they make 160k, just keep the damn truck and pay it off