Why You Should STOP Investing While Paying Off Debt!
ฝัง
- เผยแพร่เมื่อ 2 ส.ค. 2023
- 💵 Create Your Free Budget! Sign up for EveryDollar ⮕ ter.li/6h2c45
📱Download the Ramsey Network App ⮕ ter.li/ajeshj
🛒 Visit The Ramsey Store ⮕ ter.li/7vyom2
📞 Have a question for the show? Call 888-825-5225 weekdays from 2-5 pm ET or send us a message ter.li/n88ly5
Explore More Shows from Ramsey Network:
🎙️ The Ramsey Show ⮕ ter.li/ng9950
🍸 Smart Money Happy Hour ⮕ ter.li/9gcp3d
🧠 The Dr. John Delony Show ⮕ ter.li/2u3mc0
💰 George Kamel ⮕ ter.li/1elws8
💡 The Rachel Cruze Show ⮕ ter.li/n2u6jc
💼 The Ken Coleman Show - Highlights ⮕ ter.li/1rbjr2
📈 EntreLeadership ⮕ ter.li/ktxv2k
Ramsey Solutions Privacy Policy
www.ramseysolutions.com/compa...
![อยู่ได้แล้ว - LIPTA feat. Mirrr [OFFICIAL MV]](http://i.ytimg.com/vi/-9-hpntNym4/mqdefault.jpg)
25 bucks in my iRA every month ain’t killing my progress
Stop extra investing but ALWAYS, ALWAYS ALWAYSSSSS take company match
I, personally, cannot see many of these pensions being worth anything decades down the line. I hope I'm right, but I've been very sceptical of that model for some time now. I still pay in, but at a lower rate now, and I look to diversify money into other domains to help squirrel-away for the future.
This is where I went “Dave-ish”. I kept investing while paying off debt. Can’t replace missed time in the market and compounding interest.
Sure you can, you just double up later.
@@stevegolacks8731doubling up later will NEVER catch up to compound interest. That’s not how it works. I recommend getting educated on compound interest. Investing 4x the amount later, you will still never catch the amount of money as someone who invested much earlier on
You don’t understand how compound interest works.
@stevegolacks8731 that's not how that works at all 🤡
Never stop contributing to retirement. The employer match is a 100% return on your money for FREE
Dave (rightly) doesn’t want people taking out of their 401k because of the 10% penalty, but he teachers people to take a 50% penalty by not taking the match!
I have ignore this advice for years and hit seven digit net worth this year. ALWAYS hit your full 401k match no matter what.
Math doesn’t care about your feelings. Time is your biggest asset. 2 years is an amazing amount of time. Get the match before everything.
It warms my heart to see that most people in these comments disagree with Dave on this. There's hope after all.
What HOPE, stopping investments for one year is not going to kill you
Honestly I have paid debt off while investing and while not investing. I will say it easier to payoff debt when you don’t invest.
@@MrJimmy3459 Assuming it takes one year, sure.
I can't imagine turning away a guaranteed 100% return with a company match to pay off an 8% loan. Compounded over time that is huge waste of resources to not take the match.
Stopping investing for 1 year wont kill you, but it can be pretty damaging to your accounts growth. Like Dave said it is mathematically not a good idea, but psychologically it may be easier.
Remember. These people are content creators. They want you to be in debt for as long as possible so you become reliant on their content. For this reason, we see so many calls, with very poor financial advice.
A 401k is not the same thing as regular investing. It is part of your salary you're losing. You can catch up on regular investing, you can never catch up on employer matches and retirement yearly limits. Stop regular investing, max out all matches or you're giving up your benefits, period. This and using a broker with an old portfolio allocation in active funds are out of date. The baby steps are flawed here, as like every thing in life, it can depend.
Yeah, I would state that 401k would be the only investment that ONE NEEDS TO GET TO BEFORE DEBT!
That and the fact that we need some prerequisites to baby steps. How stable is your job or at you, for keeping a job? Then doing the rest.
That's a great way of looking at it, and so very true. Dave always says your greatest wealth building tool is your income, so why would you want to forego income? Dave also says wealth building is about behavior, and that is exactly what your employer is trying to do, instill the behavior of investing in yourself. Use what works for you, but drink the Ramsey Koolaid in moderation.
"Instead of half-assing 2 things, why not whole-ass one thing?"
- Homer Simpson
Unless you are absolutely struggling to pay the rent, utilities and food I completely disagree with foregoing the employer match. I'm with Brian Preston (TheMoneyGuy). Now if you are at the end of a rope, you have a low income and are completely stuck, then sure forego the match. Ramsey talks about the 4 walls, and if that's where you are at, spending your needed money to get an employer match isn't the top priority, but when you are out of crisis mode after you have a $1000 starter you should get the match.
I would never stop investing while paying off debt. I did both and now I’m debt free and have years also invested and still on track to become a millionaire because compound interest is boss and starting early is key. But it’s also important to stop adding to the debt and doing stuff like vacation, eating out and drinks every weekend etc. that’s a no no.
Bingo! Why they preach otherwise is nuts.
Well said. It’s Also a personal preference and unique to each individual’s situation
You're still not millionaire... So stop taking advice from a millionaire because you never gonna get there with that attitude!!!
So true I have been doing both also and God has been Gracious on to me 🙌 He is the one driving this ship to safe Harbour in Jesus name. GBU all!!!
You are the exception. You are FOCUSED. Sadly folks like you are a minority. Very small minority if the population. Debt is normal in our society. Regardless of income level. MasterCard and Visa data show the vast majority of people who go out to eat are carry a balance on their credit cards.
The value of focus cannot be overstated. I'm debt free now and building wealth is my sole focus. Focus has helped me make measured progress on my way to my goal.
I think Ramsey is right here.
Do not stop contributing to your 401k. That's bad advice.
you can always make more money, you can never make more time. Contribute up to the match that's 100% return on investment, significantly higher than your debt is costing you. Put everything else toward the debt, then go back and max. You'll never catch up on the compound interest, especially if it ends up taking you longer to pay off the debt. this is bad advice.
Not if you have "good debt", such as a mortgage. Fine to keep investing when you have a mortgage.
It’s moronic to stop making contributions 401k and miss the matching and the upside of the market.
Almost as moronic as having debt.
yea...would not do that!!! put the minimum to get the match then pour the rest to debt......
You can still invest in your 401K and pay off debt. The Money Guy Show is more practical in these situations.
I'd be whole-butt getting that 50% match plus the 24% tax savings on the deferred income that may get Roth-converted tax free later!
Many people are in debt simply due to previous bad decisions from ignorance (college tuition), not due to lack of discipline, the ability to understand finances or the ability to follow through with a better plan. Once the veil of consumerism has been lifted, many can 100% handle paying down debt aggressively while getting their 50% match.
And, an emergency fund of 1K...they refuse to change their mantra. Missing out on that tax free investing, with a free match with compounding is contradictory to what makes this a great program. It just doesn't make sense for conditioning, treat it like a self tax, and long term investing.
How do you convert to Roth tax free??
@@jamiebivins5156 Retire early on cash/Roth withdrawals and/or dividends and LTCG from a taxable brokerage account.
Do Roth/HSA conversions from 401K to Roth/HSA up to the standard deduction + HSA contribution limit.
Once it’s drawn down enough, just take standard withdrawals up to the standard deduction amount each year and use them to live on in conjunction with the other income streams mentioned above until the account is empty.
Obviously if your 401K is very big you may not quite get it ALL out tax free, but you’ll save a ton in taxes over the course of your life.
On yesterday's Caleb Hammer episode this same question came up. BUT That is one thing he doesn't agree with DR. I see it both ways!
Never stop investing
This is terrible advice. Of course you should invest in a 401K first as that is free money to compound. Also you should pay yourself first, that way you have some money set aside for yourself.
You can't beat 50% roi let alone 100%. But just do the minimum.
It's not about the math?
But "12%" is about the math?
Never miss out on matching funds.
This video just about sums up why I started watching the Money Guy Show instead.
Instead? You just proved yourself wrong.
Says the person who just watched and commented on THIS show….
@@insideoutsideupsidedown2218 We watch Dave for entertainment, Money Guy for practical advice
true dat. dave is still fun to listen to tho.
Bu-bye
I agree on half of this. I’m currently paying off my student loan debt while in school, and I’m also contributing 6% (with an employer match) into my 401K. I don’t think people should invest into other stuff like stocks and index funds while paying off debt, but come on… take full advantage of that 401K, especially if you know you’re going to be on that job for more than a year.
So why are you here? Why not create your own plan, sell millions of dollars worth of your plan and get rich?
@@todd2456 Because she is smart and sharing a wise approach that is most beneficial. And, who questions why someone is here? A dumb dolt only thinking one way robotic sheep.
@@todd2456round the Ramsey shill that will defend anything he says, whether it’s good or terrible advice like this.
Relax Todd 😂 she’s just sharing what she did
They just explained the “come on” That “come on” type of thinking gets you no where.
Most everyone in the comments are saying what I believe. Never stop 401K no matter what.
Stop your 401k if you can't put up the 4 walls or if you can't make the minimum payments on your debt, but if you can always at least get the match.
A 401K match would be very difficult to refuse if it's in your budget to payoff debt in a similar enough timeline AND contribute. Every company I've worked for that did a match would only do the match within the pay period. I'd have to opt for say 5% contribution for that week for them to provide another 3.5% in matching funds for that week. I couldn't get January's match in July. So it's a matter of behavior: if you can tighten your belt, payoff debt quickly, and do both, then do both! If the 5% or whatever I'd have to contribute doubles the amount of time I'd spend in debt, then I should be getting a 2nd job or a side hustle regardless since I have an income problem. If my timeline goes from 10 months without the match to 12 months with the match, then I'm picking the match.
This is bs. You need to get %100 return. Do not contribute more than that. It is like extra income, salary. Free money.
Did he say 6% match ?
I thought he said 50% match and it's dumb not to keep taking it.
Who puts the percentage symbol THERE? Stay in school.
@@amireallythatgrumpy6508 I am from other country, we put ahead.
@@JustinCase780I stopped contributing while paying off debt because if I kept contributing at the rate to keep my match they’d take out over 100$ weekly from my check. So that was money I then used to put towards my debt. Payed debt off even quicker than I I had projected that way.
This is the problem with Dave. He puts everyone in the same bucket, and say most people.
He should focus on the caller, not most people.
Lots of people can do multiple things at a time.
Hardly anyone can. That requires some intelligence. Less than 1% of Americans have that.
If he implemented what you are saying, it would be an absolute disaster from a business standpoint.
@@amireallythatgrumpy6508 Yeah right.
@@amireallythatgrumpy6508 It would still be doing one thing at a time since investing is done automatically before your check hits your account. Not too difficult to manage, nor does it take away from your habit of focus and intensity.
Saying GAME ON! GAME ON! doesn’t make you right Dave, you’re wrong on this one my guy!
I would also add, the huge amount of interest saved by focusing on paying off the 100k, makes the 401 match, not feel so bad.
Prioritize paying off debt first. But time in the market is the key to compounding interest
Disagree. You are forgoing a lot of money and 401k match as well as future growth. Ramsey admits this. Contributing delays paying off the debt by a few months. It's not that big a difference. Contribute to the 401k and pay off debt.
Dave has also said you can get the match, and use the rest to pay off debt. That's what we did.
Math answer is to get the match. This case was a 50% match. I wouldn't give up a guaranteed 50% instant rate of return to pay off a 25% apr credit card, in most cases.
At the end of this video Dave talks about " half butting" everything and lists things like paying off mortgage early, putting money in retirement and saving for kids college at the same time. But aren't those baby steps all simultaneously done? I would love some clarification because that's what I'm doing. Trying to do them all, while still putting money aside to live life and go on small family outings periodically and usually one annual family vacation.
I do agree with Dave on this, but I would consider the interest rates on your loans and the amount of match in your 401k. Yes, pay off that debt as fast as you can, but I am hesitant to completely stop contributions that get matched. You never know if you will be working there in the future. If you know you are going to leave and are not vested, then there is no match anyway. Pay off that debt.
I think the bigger question is “how and why did I get into debt in the first place?”. Without addressing the root of the issue you’re just medicating because you could pay off all your debt, start re-investing, and rack up another mound of debt. I think the best strategy after identifying and addressing root is “it depends”.
Math doesn't lie no matter how hard a famous guru would shout at it
Focussing on paying off the last of my debts and then the first 6 months of 2024 will be focussing on 6 months of an emergency fund accumulation. The future looks amazing
There are multiple ways to skin a cat. I am personally in the camp of saving and investing while you are paying debt. The way I see it is one, you can't get that time back for compound growth. Also, this is a time to look at your finances holistically and to build good habits. I am in the process of doing that now. I think it is better to have money in the bank, and money growing(hopefully) in a 401k at the end of your debt journey, even if it means you are in debt a bit longer. Doing it Dave's way, especially if you are at square zero-one with investing and saving, means that you are still in a poor financial state after paying off the debt.
Debt robs your future...today!
Imagine telling people to not take free money because you don't have a license to lose for giving bad financial advice
I think investing should be also considered while trying to chase debts and most especially bitcoin investment
Imagine about to be homeless because one just has to get that match! Debt robs your future....TODAY
What happens under Dave’s plan, for most, is they spend the money they no longer put in their 401k, on stupid stuff. Then they have both $100k in debt and no retirement.
What you're describing is not Dave's plan. You're describing someone stopping their investing, and choosing to not pay down debt.
@@jaysonprice2484 Dave’s plan to give up a 401k match to pay off debt works if they actually do it. But most won’t. That’s why the government forces paycheck withholding and mortgage companies demand tax and insurance payment be paid monthly into escrow.
Please read the baby steps
If you change it. Don’t call it Dave’s plan.
Listen to this call again. The caller was told multiple times to pay off $100k in 2 years. Do the math. That requires discipline, sacrifice and FOCUS.
Personally speaking wife and I paid off our home in 13 years & 3 months. Became net worth millionaires 24 years after “drinking the cool-aid”. Can’t wait for the retirement accounts to cross into 7 figures.
Find a plan you believe in. Then follow it purposefully and with resolve.
Stay Hungry
Exactly. This is why just keep investing as usual but try to pay off the debt as fast as possible. No one eats "rice and beans" for 2 years straight. That's ultimately not realistic. Life also happens so definitely don't forgo the investing. Don't overdo the investing. But at least get the employer match otherwise you're missing out of free money basically.
This absolutely does not work in the UK, especially once you're a higher rate taxpayer. Keep paying into that pension and getting your employer's contribution combined with massive tax relief.
Always pay yourself first. Continue to invest in 401k. Just because you make 125K a year doesn't mean you can pay off 100K debt in 2 years.
Taxes are a foreign concept
Dave doesn’t understand income taxes. Source: dozens are hundreds of videos where he ignores them.
Never half-butt two things. WHOLE butt one thing!
That's what Alexis Texas did.
@@front331 And became a legend at that
This os one of the situations where the advice is for the masses, not the individual.
There is a mathematical reality that every month, every penny you pay off, you are saving 5 to 30% of compounded interest...GUARANTEED!!! You are not guaranteed any income on a 401k, depending on the market performance.
Pay off that debt!
You must be doomsday prepper
Match is a guaranteed 100% return. Last I checked 100% > 30%
You can also put your money in less volatile funds if you're worried about market performance.
Never stop company matching and investing. If you are getting 15% return on investing and your mortgage interest is 4%, you are still making money by paying off mortgage slowly rather than stopping investing which by the way your company is also matching as well. I don't agree with Dave here.
aren't you also getting taxed less if you are contributing more (401k) pretax? if you are being matched with contributions and can still afford to pay the debt quickly? i'm torn with Mr. Ramsey's advice, but again, I'm not the "guru" with the radio show. i'm also not in the caller's debt predicament.
The dude said just 100,000 like it’s nothing haha
Hey, when will you talk about the real company Cannafarm Ltd that brings profit?
Do not stop doing the match. Take advantage of an employer perk, just as Dave took advantage of bankruptcy when he made poor financial decisions. Continue the match and monitor and change your discretionary income to decrease your debt.
Bankruptcy is awful, which is why most people try and avoid it.
@@TShirtAndReeboks if it’s so awful he shouldn’t have declared it. Pick yourself up by your bootstraps
always put shit in 401k they grow faster than loan. I think it is depending on what ind of loan too
It's just a math problem. You're very unlikely to earn more from investment gains than you're paying in interest on outstanding debts. Especially at the rate the cards charge these days.
Eh, I've decided to invest while paying off debt and so far so good. I'm almost 40 years old so I've already missed out on 20 years of investing and didn't want to miss out on 2-4 more years while paying off debt since I'm not getting any younger.
If you are making 100k and your company match is 6%… Dave is basically saying forego the match so you can payoff a car that maybe 300 - 500 dollars of interest per year. It’s important to payoff debt, but a dumb move to pass up free money. Compounding takes years to build up. Passing up the match is bad advice
Hmmm I would take the 50% match. Yes, it will take you longer to pay off debt but a 50% match doesn’t come along every time. Take advantage of it, it’s free money
I can't agree with Dave because of the 2 year payoff period. If it were 6 months, I would agree.
4% of his income is $5k/yr. The match adds 2500/year, and the contribs reduce taxes by about $1k.
Skipping this leaves almost $300 per month on the table. Jade is right: you need every dollar you can get your hands on, including those.
Why don’t y’all ever talk about matching has a catch and requires you to be with the employer for a certain timeline so if you leave they get back that contribution
Three companies I’ve worked for have not had this, it’s pretty rare now
For me, it would come down to running the numbers. Tax advantages/disadvantages, cost of interest paid out vs cost of leaving employer match on the table, etc. No plan fits all situations.
They just explained it. It is not a math problem. It is a emotional, behavioral problem.
Interesting
Wrong. If he max it out for the 2 years. In 30 years, that is 600k he leaving out on the table.
They are just totally wrong.
600K that he would be better off without.
@@amireallythatgrumpy6508 How who he be better off without that?
Stop investing while paying debt? Anyone who listened to Dave more than 60 seconds knows what he is going to say.
Caller gets 50% guaranteed return. I get 100% so it is hard to justify paying off debt yields those type of returns (except if a loan shark). 😂
The interest is stealing them blind! It is sound advice
@@justinacase2623See where Dave is coming from if they get 10% match while paying 18% interest, but I get a 100% match. That is a 100% return automatically before anything else. Unless the debt charges over 100% the math doesn't add up.
I see the "Never stop investing" Patrol is out in full force, as if you will never become a millionaire from not investing for one year
You're dumb. Jade said 2 years, and more importantly see my other comments. Her math is broken. 100k income vs 100k debt is a 5 year plan to get debt free. It's not 1 year. Unless you evade taxes.... additionally a millionaire is not enough. It was in 1990. Today you need 2.2m to be equivalent to a millionaire in 1990. You just can't live off the dividends from 1m unless you want to be an impoverished millionaire. Aim for 10m for luxury around 2050 to 2060. 4 to 5m would be comfortable assuming no debt or mortgage. 1 to 2m is just going to be weak. Unless you're retiring next week. And dying in the next decade.
Math doesn't lie...the opportunity cost is a HUGE consideration...you can't get time back...over a couple years, if you use Dave's numbers this advice for a 25 year old could cost you ONE MILLION DOLLARS let that sink in for a minute...
@@TheDjcarter1966 One million dollars, like how you throw out big numbers without any context.
He's losing several hundreds of thousands of dollars by pausing investing for those two years. You can cut back in other areas to pay off the debt in two years without pausing the 401K.
You can do anything but you can't do everything. Focus on killing debt should be number one, after debt is gone then invest like crazy.
I think it depends on how old you are and how much debt you have. And since retirement comes out of your check automatically it doesn’t really take away from the gazelle intensity to focus on debt.
Are cryptocurrency and business incompatible? I think youre not keeping up with the news. While you thought it was impossible, some enthusiasts from Cannafarm Ltd integrated cryptocurrency into the production of medical cannabis. What do you say now?
50% match is freakin' great.. i only get 6%.
You probably get 100% match on up to 6% of your salary. Meaning if you make 100k they will put 6k in if you put 6k or more in. His 50% means if he contributes 22k they will put in 11k (unless there is a limit). His plan may or may not be better than yours.
No you get 100% up to 6% of income. He is saying he gets 50% match up to some %... so when you put $100 your boss puts $100. In this callers case he puts $100, his boss puts $50.
@@alanlippincott2802 got it
6% 😂 is not your %... you really need to try learning if you will ever stand a chance at life with $.
If you don't agree with this, you are missing the point. An investor with debt is still a person with debt. The Ramsey plan is about being the boss of your life. Is you have debt, you are not in control, someone else is. Be a boss and pay off the debt. Whatever happens, YOU have the control. That is not the case when you are in debt.
If only there was a way to contribute up to the match and still pay off debt at the same time.
There is a way. It's not rocket science.
@@JustinCase780I’m pretty sure the above comment☝️was sarcasm 🤭
Dave gives this advise only to seperate himself from everyone else and it works. Horrible idea but he makes tonsnof money off of being wrong.
He's right in that having debt is the dumbest thing you can do.
The 4 million dollars in debt we have makes us 6,000 a month and has amassed 2 million in equity, and it pays itself off.
Are you referring to rentals?
Is that $6K after the mortgages, insurances, property taxes, HOAs (if you have those) are paid every month?
@@IrisP989 Yup and yup
@@19hundoc47 How much are you still under? You stated $2 million in equity, but you are still under right?
@@wewhoareabouttodiesaluteyo9303 we owe 4 million on our mortgages combined but the houses are worth 6 million. Debt isn’t always a bad thing. Debt has made us millionaires
Mathematically Dave is wrong but in reality people never pay off their debt. Ppl retire wirh house car and loans payments with nothing saved. Debt and divorce are the bigfest wealth killers. Dave deals with reality
Do you mean that mathematically Dave is right and realistically he is wrong?
This is one thing dave teaches that i can't get behind. ALWAYS take the employer match. The return is going to be 4x higher than your highest interest debt. I know finance isnt a math problem, but this math is too insane to pass up.
The only time not to is if you can't put up your four walls, or if you can't make the minimum debt payments. Caller is not in that situation, Dave and Jade missed the mark on this caller.
Where the hell did you get the 4x return?
@@0_1_2you put in 10 they give you 10 = 20 then it is invested and give you a return on 100% = 40
@@0_1_2he’s probably assuming your highest interest rate is 25% on a credit card. 100% employer match is about 4 times what you would have paid in interest on that debt.
@@0_1_2 He said 4x higher than your high interest debt. As in you get a guaranteed 25% return when paying off a CC, but a 100% return when taking advantage of a 401k match.
🎯
it is du mb to stop getting the FREE MONEY (the match)
This is completely stupid advice. Most likely they match 50% of 5%. When you contribute 5% you do not pay taxes on it and get a tax advantage plus you get a free 2.5%. You are maybe investing 3% of your take-home income. That has very little effect on his 2-year plan. They assume this guy does already live at his means which is probably not the case. The best advice would be for him to downgrade his living situation so that he can pay off debt.
Almost as stupid as having debt.
Pay $100k of debt in two years making $125k? WTF????
I took a job overseas, ALL expenses paid, NO TAX,
ALL the money you make in the bank.
Soul crushing
Psychologically Damaging
Considered an extreme hardship position,
This is such a bad advice. You should always max out that match with the employer. compound interest only works with TIME! I hope he didn't take Dave's advise. You can be aggressive towards paying off debt and also maxing out that employer match. Then after the debt has been fully paid, increase the contribution to 15%-20%.
What you don't see is people on the edge, about to be tossed into the street. They need every penny!
NEVER EVER (almost) EVER stop taking the employer match!
Lamp.
2:23 laser is NOT focused light REEEEEEEEEEEEEEEEEE ( oДo)
Dude isn’t going to stop investing and pay the debt. Waste of a phone call.
DAVE IS SO WRONG ON THIS 😂
Nothing more asinine than having debt.
How much interest is he paying on the debt? How much is he contributing? What are his bills? Important info needed before giving crap advice.
If you use Dave's interest on investment numbers and are say a 25 year old profession making $100k ish...this advice will cost you ONE MILLION DOLLARS at 70 years old...let that sink in!
Yep, so you can throw ~$12K/yr post tax at debt
If you're dumb enough to have debt you do not deserve that million dollars.
Of course you should keep putting money into the 401K especially with his 50% match. Treat it like a lifelong tax and forget about it. Why everyone on this show, smart and great as they are, won't ever consider otherwise is strange. It's tax free off his paycheck with an auto pay from his employer. Foolish to stop investing while paying your debt when in the long run it's worth a ton more as most people will spend the difference elsewhere.
You can only put so much per year in a 401K. The amount you miss putting in for 3-24 months will come back 3 fold when you start up your investment again after your get rid of debt.
@@insideoutsideupsidedown2218The loss of compound interest over years of investing by ignoring the match proves you wrong.
"Stepping over dollars to pick up pennies" (a phrase that Dave uses a lot) applies to your logic here.
Wait, do you think cryptocurrency will crash? I dont think so. More and more companies are integrating cryptocurrency into their operations: Amazon, Cannafarm Ltd, Burger King, even Starbucks, dude!
Tia is why I can’t take Ramsey seriously. Kudos to everyone he has helped but he is becoming a broken record. He says finance is 80% behavior but doesn’t have confidence that people can change their behavior to redirect their financial priorities. Same 30 years of advice means it time for an update. Even doctors or politicians aren’t this much of a broken record.
Americans are losing what ability they have to change their behaviour. Changing behaviour requires intelligence, something that is extremely rate in America.
This will ALWAYS be terrible advice. Take the free money that will exponentially grow. Insanely stupid.
Almost as stupid as having debt
Just had this conversation with someone else in the comment section to this channel. They said never stop, I said, Entirely up to you how much longer you want to stay in debt, while giving your money away to other people... paying off your debt is a better investment than the stock market.
I stay away from debt like it’s the plague, but if I was in debt I would get my employer match 100% of the time. It’s a 100% ROI compared to a let’s say 10% interest rate. Just makes mathematical sense. I see the other side of the coin, but where I have a problem with Dave’s plan in here is there’s no individualism. It’s a plan that worked for him so it should work for everyone. Very old way of thinking, and not right for everyone. For the general population, sure, but the general population is so far in debt and broke because they don’t care. Just my thoughts
not always. If you are getting a 15% return on investments but your house mortgage is 4% you are still making money but continuing to invest.
@@do_ob85 It depends on the company match. Back in the 90s I use to make ten bucks an hour at a company that matched six percent. If I was following the Ramsey plan, that would have been a whopping $3.60 a week. Really not worth it.
@@jenniferannfox2316 And how many people are actually doing that? Seriously. I can pull numbers out of my arse too, but I try to live in reality. 65% of the population live paycheck to paycheck. In other words, not smart enough to make intelligent financial decisions. I do know people who are living by your example, the majority of people never will. There are people who are so stupid, their argument for keeping a mortgage payment is because they don't want to lose the real estate tax deduction. Stepping over dollars to pick up quarters. Meanwhile, I'm over here with paid for rental property, with total yearly expenses that are under 45% of my net income. So far, my ROI on the house I'm sitting in is over 300%
It really doesn't matter. You're broke as long as you got debt so we're talking about a very minor difference. Either method you choose will have no bearing on your life situation in 30 years. Just don't do the third option.
No nearing? That's a little more then 600k in 30 years, if he maxes it out.
Does this guy pays rent or mortgage,,, does he have wife with kids,,,does he live at home with his parents,,,
What’s his lifestyle,,,,Dave,,,you should be asking him a lot more financial questions ,,before you give out advice,,,
That seems like personal prying. He should just be stating what is your income? And then what are your debts?
The fact that he goes into personal, marriage, etc. That is the caller's problem. We already know a wife and debt are financial killers.
✝️🙏
Disagree
Yeah. I have tried it and then I have had to sell at a profit and then pay off the debt. You cannot really do two things at once. Of course, this was after contributing to employer plans 401, 403b, and pension. This was me investing in a brokerage (also, aside from my ROTH IRA). It stinks, but eliminate debt first and then just get that 3-6 months set. Discipline!
So dumb always take the free money
The only time I like watching the show is when Jade and Dave are together.
My fav too
George and Ken deliver excellent content but not smokin' like Jade. 😂
4th.