It happens all the time. It seems crazy because that income is top 5% income but most people struggle to live within their means whether they bring in $25k or a million a year.
@gwwelch it doesn't happen all the time, that's why its a minority of people. And if you take a global average its even smaller. Its just in the US people hav more money than sense.
Your daughter is the exception to the rule. Wish there were more like her. I know a girl that not only didn't pay but didn't want to go back to work when it opened because she found out she could still stay home and get paid. She was twenty!
@esterdrass4964 That's terrible. My son is a bartender, and didn't have work when the bars were ridiculously closed for three months. But he went back to work on Day 1 when they reopened. He did not sit around collecting extended unemployment benefits like the lazy people did.
A co worker had a big story about how not paying her school loans was building her credit. Free yourself, prepare for an emergency or job loss. Don’t have debt and your chances of riding out hard times are 1000x better.
Very misleading title. Both the caller and his wife are maxing out their 401(k)s (i.e. they're investing a total of at least $45k per year) and they have $25K in savings. That is NOT living paycheck to paycheck.
This guy won’t listen to them. It is what it is. But this is a great example why this guy and his family will be broke regardless of their 350k income.
😂😂 they are not broke though they literally put all lot of money in 401k. They are putting $50k plus a year. Honestly she didn’t ask enough question because they’re still a lot of money not accounted for.
@@trueprophets4704yeah, def not broke. Just not managing money as effectively as maybe they could. Big difference but people enjoy calling others broke on debt alone.
@@trueprophets4704I agree. We didn’t hear what the mortgage is nor where the money is going. I assume they are spendy in general. Their paycheck to paycheck isn’t on basics; it’s on keeping up with the joneses.
Me. 62y old high school drop out Laborer all my life. Retired. House paid off No debt at all Money in the bank. Don’t own a car. I’m a cyclist I make $49k pension Life is good.
We make a little more than that and our monthly expense is around 8k with two kids in daycare. It is not that hard to save at least $100k with their income.
It’s good to know there are sensible people out there who know how to put aside money for their future. people like this caller are exasperating to hear how financially stupid they are.🙄🙄if I mad that kind of money I’d put aside half of it for 10 years and retire in my early fifties.. people like this need to have someone slap some sense into them 😒😒
I have a Toyota and besides regular maintenance, the only thing I've needed to have done is replacing a turn signal--and that twice. Car is 10 years old.
If you're in mountainous country like WV, and have a job (like in medicine) where you cannot call out for a snow day.....a Camry ain't gonna do it. A used Subaru will.
Doctors have a tendency to be spendaholics. They studied so hard for so many years that they feel they "deserve" to live an expensive lifestyle immediately after med school, and end up carrying student loan debt into their 40s.
I don’t think they have to go crazy like Rachel is saying, but they definitely need to make some changes. I’m in the same income bracket and area … there’s no reason he shouldn’t be a millionaire within in the next 7-10 years.
All the experts said only 1% of people paid their students loans during pause..I had a hard time believing that people weren't taking advantage of this..obviously I was wrong UNBELIEVABLE!!!! We paid of 67000 and it felt like a boulder came off my shoulders...a lot of sacrifice but we are out of the student loan business!!! FEELS AMAZING
Dustin, I purchased a $6k car in 2018 that was 3 years old and under 30k miles. Today, it has over 130,000 miles and has only required normal maintenance since I’ve owned it. There are deals out there.
I know right. My Audi A4 is 10 years old. When I bought it I got a mechanic to look over it. Runs great & has no issues apart from everyday wear & tear. People want an excuse to buy a new car & show off. A decent 10 year old car will last another 5 years as long as you take care of it.
Not where we live 350 000 is what you need to live and afford life it's a good income but in Ontario we pay so much tax and houses start at a million .
You owe 100K total on two vehicles, but if he sold them he mentioned they were worth 20K total. You can’t be that much underwater. He lives in West Virginia, so I’m guessing he bought two pick up trucks that cost 70-80K new each.😵💫
No. He said if he sold both cars, he would get a total of $20,000 more than what he owes on them. He says he owes $100,000 on the cars and would receive around $120,000 if he sold them. Not sure I believe that, but even if he broke even, he could probably reduce his outgo for car payments by at least $1500 a month, which is close to $20,000 a year in his pocket, not the bank's. After becoming debt free, they could have enough banked on an income over $300,000 to buy nice cars for cash.
Yeah. But since they are in WV, trucks hold their value. I think he meant they could sell them for 20k more than what they owe. That's the only thing that makes sense.
I know me too. But, I think what happens is the more you make the more you feel the need to spend. I cannot imagine that kind of income and what I could do with it in one year...right now. But, maybe a few years ago or when I was younger?
West Virginia is one of the lowest cost states to live in our country. There's absolutely no reason whatsoever they should be living this way. In most areas of that state, even working a job that pays the U.S. median income is living extra comfortably.
Unfortunately this is not a surprise. Majority of people don't see where their money goes. too much car, real estate, student loans. surprising they have no credit card debt. thanks for sharing.
This year, all in 2023, I will have spent $17,613 to live. That's housing, insurance, utilities, food, and gas. A little under $1,500 a month. I'm 35, live alone, and have no debt. There is no excuse.
I'm 66, retired last December, and just started taking social security two months ago. I lived on my savings until then (I had planned on waiting to FRA to start collecting but then realized I'm leaving 2500 on the table to get an extra one fifty per month at 66.5 years of age). Similarly to you, I only spent about 20 thousand in those almost ten months. That old adage; it's not what you make, it's what you spend.
Gratitude for the little things is important. Deal with insecurity with a spiritual program or a counselor. No good reason to go into debt to impress people who don’t matter.
My father made well below $100k. Our 4 person family was always comfortable & he’s retiring next year at 70 with almost 2.5 million saved bc of smart investing. There’s no excuse for living paycheck to paycheck-they should be ROLLING in $
You know what makes a difference in financial planning? The real numbers for each and every spending, actual sitting down with the board and a marker, calculations, talking, planning, agreeing to new rules, etc, no TV on the background, no food on the plate, total focus and concentration of two ppl ready to attack their financial problems. Thinking it quietly in your head on a traffic light won’t help.
The amazing thing is tens of thousands of families are probably just like this guy. I think in our society this has become the accepted norm. This keeps the banks happy.
@@wewhoareabouttodiesaluteyo9303that's not what they're talking about.. if you are putting money towards saving for retirement then you're not living paycheck to paycheck
I can see her getting pregnant and deciding to be a stay at home mom or working part-time. They do not seem desperate enough to buckle down and get serious about this scary amount of debt.
This is the case sometimes when the woman earns multi 6 figures. “At some point I was hoping to have a our first kid and i DoNt wANt to work at least until they are in school.” Meanwhile theyve just built a brand new house and new car student loans and the husband only earns 80k.
i doubt these callers will be going backwards in lifestyle, having said that they could pause the 401k and crush the car debt and student loans. $350,000 is a lot to work with.
Love this channel, but do they not realise that people pay taxes? The annual salary is quoted, here are gross, not net. In the UK, we have to take 40% off that! I know the tax advantages in America are sometimes better, I hear, but seriously gross salary is not what you end up with
The highest tax rate in the US is 37%. We can safely say they are bringing home over 17,000 a month. To pay off 300k in two years would be $12k a month. That does make it tight, but I hear West Virginia is cheap, so it's probably doable
@@scroogemcduckismyspiritanimal that's only federal, don't forget state could be 2 or 3% local another 1 to 2% and ssn and Medicare 6.5% and 2.35% respectively
@thebeegood1731 yeah you are right, as married filing joint they wouldn't get to that high a rate. I guess I was thinking individual and high tax states could be 40%
They live in WV, though. I'm a nanny who used to work for 2 anesthesiologists. The husband was fulltime and made $297,000. His wife was part time and made $100,000.
Problem isn't the cars they just need to cut other expenses gifting, eating out all that other stuff. Unless people are millionares they always say sell the car like come on. Student loan is the largest debt deal with that last. Watching this show for so long they are so predictable always want people to sell the car . And remember that number is with intterest ove the length of the loan. If they pay earlier they will pay less. I'd rather sell the rental trailer than the car.
A lot of people don't think of student loans as debt. They think the government will eventually get around to forgiving them, so they put off paying them back in anticipation of that.
Telling people who make $350k to only have $1k in savings for two years is CRAZY. I understand that this is their formula but there should be tiered baby step #1 emergency funds based on income.
Uhh....if anything they need an emergency fund less because they will be able to cash flow an emergency next month. At any rate, the principle remains the same. Remove your security blanket and it lights a fire under your butt real fast
my thoughts exactly, liabilities are too much to only keep 1K, that's stupid. like telling a low income earner to keep 100 bucks. they have the income to work the debt snow ball and be free in less than 3 years. and probably mortgage free soon after that.
A 1k "emergency fund" means that if payroll makes a mistake and their mortgage hits before a paycheck they're getting hit with late fees. They should absolutely have 1 month of expenses in their checking account.
I'd like to see someone do the math for an 18 year old, working a minimum wage job and saving diligently, seeing if he could have more money than this anesthesiologists does now.
Who told you that? 18, working and getting job experience/work history and *key word* saving diligently, is how you get on your way to financial independence.
First, I don’t know anyone working minimum wage. If you are, you’re likely incompetent or worse. Wendy’s is almost twice the minimum wage. Second, jobs that are low paying are often filled by kids that are learning to work, and they certainly are not the means of financial stability. Jobs that pay little are jobs where the worker provides little. Jobs that pay much are jobs where the worker is more valuable. You add value as an employee when you build experience, hone the necessary job required skills, and develop leadership qualities. When you are honest, dependable, and respectable. How to start out for financial stability. Be someone your fellow workers and employer can respect. *Clean yourself up. *Wear clothes that communicate you expect to make yourself useful and profitable. *Clean up your mouth. *Be on time and dependable. *Be honest when you come up short. *Be true to yourself. God only made one of you. He doesn’t need two of someone else. *Pay your bills on time. *Get married before you have kids. *Stay within your means. *Grow in your job. Take on responsibilities that don’t fit your job description.
Your spending habits are what lead to prosperity not your income. Again, I'd like to see someone run the numbers of someone working a minimum wage job and saving/investing diligently to see how much they can stack up from age 18 to, say 70. Because, obviously, this family makes $350,000 a year and is super super broke.
Dave Ramsey's insights have been a game-changer for me! His practical approach to financial management has empowered me to take control of my money and work towards a debt-free life. The Total Money Makeover is my go-to guide, and I appreciate how he breaks down complex concepts into easy-to-follow steps.
Anesthesia is literally one of the best jobs you can study for and become (meaning you can't study to become an NFL star or Hollywood star). You can literally make 500k per year. These folks make more than SURGEONS.
Haha I have a reliable used car, we bought a new model and a reliable brand. If you keep the maintenance up and have a mechanic you trust check it out every few months you’ll be fine. I’ve had my car two years, it’s owned free and clear and the only issue I’ve run into is replacing some bolts. All he has to do is have a mechanic check the used car out thoroughly before buying.
The mind must become a millionaire first before the body can experience it. Best thing I did watching the Ramsey show was ignore the numbers. Focus on the message.
They should still probably max out their 401ks for tax reasons, but they do need to shift their spending profile down a lot. They are spending an additional $8k or so per year in cash just to have built that barn or for those cars. But it's probably the other stuff that they are buying that is just as bad.
If they are farming the land $1000 is definitely NOT enough of an emergency fund. I’d reserve more like $10k and replace cars as I found a suitable replacement.
$340,000 a year!! I work my butt off and make $21 an hour...health issues with stress prevent me from high powered jobs. I'm doing financially better than when I made over $100k. I drive a 2010 F150. It runs like a top. Don't need a $50k vehicle. Lol!
They are netting some $15,000 per month after taxes & 401K. Let's say $4000 for mortgage, utilities and food which is doable. Net's them $11,000 monthly for payments. Use $24,000 from savings to pay down/off one car loan leaving about $26,000 on the car loans. Then $4000 extra per month they could have them paid off in 6 months. Pay student loans with $7000 extra per month for 6 months, then add in car payment amount and they're up to $11,000 per month which is over $100,000 in the first year and loan payoff in second year. They would be debt free in 2 years and able to save some serious cash going forward.
I would keep the $25K for emergency ($1000 isn't enough) and since they are making so much money I would continue the 401 investing and such and take three years to pay off debt. They can still have a good life, living modestly, not as poor people, and crush this debt in three years easy. Then all the money they earn is their own, they have the investment that wasn't stalled and they can add to the $25K that is currently in cash.
I always feel like they’re trolling with these calls and it’s hilarious to hear the financial struggles of people making 350k a year. If folks netting 55k can make it work then you have what we call a spending problem.
I got a high school diploma and make arround 75k a year mi wife stays home to take care of the 2 kids that we have and i save arround 15 to 20k a year. These guys are rich broke people
I love the excuse concerning maintenance and used cars. People tell themselves that a used car is a clunker… don’t buy a piece of trash, buy something reliable and used. Those aren’t really that difficult to find.
Make in this range. Cars are all 10+ years old and paid off - I keep them reliable myself. Paid off house in 10 years. Have several $M saved up - they are correct about the mindset piece. New shiny stuff will make your banker rich, not you.
@@iwantmorenews557 I heard! I have friends that have sports cars mustangs Camero Challenger and Porsches that can’t put $20 in the gas ⛽️ tank. Hood rich 🤑 ! 💰 🚂 🏦
Irresponsible is an understatement for these folks. This is why we need papa Dave answering these calls. George is way too nonchalant about this call. Dave would have lit him up
Sometimes smart people are just ignorant. My wife works in finance and we make about that and yes, she had to go step by step through FPU before I would marry her. PS: we both now own 12K cars. It’s the first time she’s ever held a title in her hand.
Building a barn isn't being irresponsible, especially if you have animals that need that shelter. Buying a $100K car to show off to strangers at a stoplight is irresponsible. Gambling or drinking it away is irresponsible. What you did with the barn is at worst just a timing issue. (I live on an animal farm, so I understand needing a barn or other structure.)
$340k in west Virginia is like $2 million in normal world. Combined $340k so who makes what? She a anesthesiologist I assume if she working at a bare minimum $150k/yr so he makes $150k or less.
@@djpuplex yeah actually more rural states pay more than a lot of big cities and more desirable areas. They need to in order to get the doctors and nurses to stay. They all charge Medicare and Medicaid for most work, so the hospital makes as much as a large hospital in higher cost of living areas
@@buckibankerNO, most do not make anywhere close $300k.. especially in WV 😂 why do people always love to use the top 1% in the biggest well paid cities as some ‘standard pay’ 😂
My definition of paycheck to paycheck is zero money in the bank and zero money for investing. From personal experience I’ve lived on less than paycheck to paycheck by increasing my credit card debt every month and going deeper and deeper into debt
My husband makes the same amount of money, but we never changed our lifestyle. We save HALF of what he makes, live in the same cheap home we bought years ago and live a normal life. People make a little bit more money and just waste it all…
It’s so deeply frustrating to hear someone making that kind of money and still messing it up. With income like that, I would be financially independent within 10 years no problem.
We make way more than this and I am here. It isn’t what you make, it’s how you manage and spend it where I had the most when I made $13 an hour. I refuse to pause investments to pay debt, people being people and us being us, the next thing that would happen is we would be looking at each other asking where did it go. My wife and I aren’t on the same page which is root cause. I pay into investment, pretax and after tax religiously with the mindset of at least that want get spent.
I had forgotten that they live in WV until it was rementioned again at the end of the video. That just makes it more baffling that they're living paycheck to paycheck when they don't live in a high cost of living area. Just poor financial management/decisions- plain and simple.
It’s calls like this where I don’t think the baby steps apply to everyone. He already has $25k in an emergency fund, and he can probably cash flow enough to tackle the debt snowball without touching the emergency fund that they already have in place. He can probably keep the EF
So after taxes in wv, they on average would bring home right at 21k a month. Lets say their total expenses to live is 6k? Ill be generous with that. So if they sold their cars, bought two 10k cars from the sell of both, and paused investing, they could be done in 13 months. That's really quick for 200k in student loans and 100k worth of cars!
There is just something not about about this story. Because even after taxes and maxing out the 401k you’re talking about 15k. The big question is how much is the main house they say in if someone rented out the farm. They still have $10k plus not accounted for after car payment.
These people can have a million dollars in savings in less than 7 years, if they stopped overspending. Pay $350k debt in 2 years. Put $200k in savings, investments, etc. for 5 years. Boom, in 15 years they could probably retire with a few million dollars in the bank, paid off land, cars, and still live very comfortably in the meantime. I wish I had that problem!
We earn 140k less and do just fine as a millennial, 0 debt of any kind, paid off mortgage, 2 year worth of emergency fund saved, max out retirement accounts each year and even fund two kids 529s a month and still have extra cash left to invest into an extra taxable account! Also my wife works part time 2 days a week as we are in an amazing situation, if she went full time our income would be 70k less than the caller.
@@johannblack6027 Thanks, I'm a software engineer at a Fortune 500 company and wife is a PA in the psych doing telemedicine working 100% remotely from home 2 days a week. Feeling blessed but we did go through 8 years of living well below our means to get to where we are to pay off our mortgage early. So much sacrifice in those years eating out minimally and throwing all my bonus into the house, no new clothes, vacations, gadgets etc. Also we were earning a lot less than today. The biggest thing is that we did not let life style creep come into our lives. We have a nice home in the suburbs with excellent schools in a decent sized house for family of four (2223 sq ft) with 3 bed and 2 bath with an office so it's perfect for us. We plan to retire here when our kids go off to college in 15-16 years so that we don't have to downsize either. My wife wanted to move up a house in a few years but she started reading some finance books and it convinced her that living in the same house for 30 years can make you a multimillionaire. She also realized how less stressful life is by not upgrading either. But the biggest thing I would say is that we both had the same goal that we worked towards over the last decade and never strayed from it. But like Dave says you live like no one else so you can live like no one else, SO TRUE! Now with high inflation etc doesn't really phase us one bit, not trying to gloat but it is true.
Me and my wife make 150k a year 400k mortgage left but house is worth 1.1million. Few other small properties paid off and a baby on the way. We are both 28 years old. I did buy a brand new hybrid car fianced for 50k but I’m doing Lyft part time and make an extra 1200$ a month.
@@Ben.Dover69 Nice, if you keep at it then you will become a millionaire or you have already achieved it. Our house is only worth 430k but paid off. Our net worth did hit 1M+ last year and now we are aggressively investing yearly (we save about close to 40% of our income), we hope to be able to retire at age 55 as I'm 40 this year and wife 35. I think it's really achievable in the next 15 years. We also paid in cash our Tesla Model Y last year and entire house new windows done for remodeling and still maintain the 0 debt! Life is so stress free and carefree especially with recession or possibly depression looming with 2 year worth of emergency fund saved earning 4.5% interest in case we both lose our jobs that can fully sustain our expenses but its highly unlikely we both will be unemployed at the same time as our professions are diversified. We did however agreed that in 5-6 years from now if we have the cash saved up to move up a house without a mortgage we would do that if needed for more room. Budget would be something like 650k home most likely at the most but I would ONLY do it if we could sell our current house and put cash to move. The reason why we decided to live a simple life now is that we can live like we are 70 years old at our current age! Time is the most important part of our lives and I want to enjoy it at an earlier age of feeling semi retired than later in life! Also no one mentions this but paying off the mortgage early can really change your mentality in life. You can do a little more riskier things for example change career if you choose to do so or try different things that you never would have because you were too scared of the mortgage payments! Having a lot of time spending with my kids as this is a once in a life time chance to do so before they grow up and making memories is the best choice for us.
Good for u. The problem for many is low salaries... 44 years of teaching and probably averaged 45 ooo. No one should go into teaching.eventhough I know I made a difference....My kids deserved more ...
This is wild to me. My husband and I make 350k in the DC area. We save around 100k a year but we still live in a million dollar home, eat at Michelin star restaurants at least once a month, fly first class, etc. Even in a HCOL area. But we have no debt - for example, I drive a $2500 car every day (and yes, it’s reliable). This is the thing. Payments will eat you alive. I just can’t wrap my head around what these people are doing. It’s insanity. They should be living totally stress free amazing lives. Such a shame.
Making 340K a year living in WV having money problems….🤨
Proof just cuz someone has more, doesn’t mean they’re smarter than you.
I don't know if I would pay $340,000 for the entire city of Charlston, WV.
Somebody gotta be paying for another family.
I make 82k in WV. It's just enough to have a small house, pay all my bills, and save a little. If I made 340k a year I could live like a king.
@@Chopsuey087 $82,000 could do a lot if used right. But yeah, inflation ran up on us hard! You’re a real world example.
Man he's lucky Dave didn't get this call 🤣🤣🤣
I make $50k, go on vacations, go to concerts, drink alot and am debt free and have a heck of a life lol
Being debt free is so liberating! ❤️🙏
Continue to be free
@@jamminjacdoesn’t really matter and owning property is not for everyone. For this person, their no debt situation is great for them.
I make 40k and have all those things too and a house lol I’m going to Cancun next week.
Me too
I'll never understand how people can make $300K+ and be in this situation. This level of complacency is nearly criminal.
It's disgusting
It's disgusting
It happens all the time. It seems crazy because that income is top 5% income but most people struggle to live within their means whether they bring in $25k or a million a year.
@gwwelch it doesn't happen all the time, that's why its a minority of people. And if you take a global average its even smaller. Its just in the US people hav more money than sense.
Half of that probably goes toward taxes. Upper middle class has this wall where unless you can make a whole lot more it almost isnt worth it.
My daughter paid off her student loan during Covid. She kept paying - she didn't get lazy.
Your daughter is the exception to the rule. Wish there were more like her. I know a girl that not only didn't pay but didn't want to go back to work when it opened because she found out she could still stay home and get paid. She was twenty!
@esterdrass4964 That's terrible. My son is a bartender, and didn't have work when the bars were ridiculously closed for three months. But he went back to work on Day 1 when they reopened. He did not sit around collecting extended unemployment benefits like the lazy people did.
A co worker had a big story about how not paying her school loans was building her credit. Free yourself, prepare for an emergency or job loss. Don’t have debt and your chances of riding out hard times are 1000x better.
@@trishaspencer9956 Too many people have lots of excuses to be deadbeats and not pay what they owe. It's sickening.
@@trishaspencer9956 I don't know. In my world you pay it back. Too many people don't these days.
Very misleading title. Both the caller and his wife are maxing out their 401(k)s (i.e. they're investing a total of at least $45k per year) and they have $25K in savings. That is NOT living paycheck to paycheck.
This guy is proof positive , just because you have money does not mean your good with money
This has been beaten to death. People know it’s a thing
He's greedy
This guy won’t listen to them. It is what it is. But this is a great example why this guy and his family will be broke regardless of their 350k income.
Making a lot of money and easily making monthly payments can work against you in the big picture. Kind of backwards from reality.
😂😂 they are not broke though they literally put all lot of money in 401k. They are putting $50k plus a year. Honestly she didn’t ask enough question because they’re still a lot of money not accounted for.
Especially in WV!!
@@trueprophets4704yeah, def not broke. Just not managing money as effectively as maybe they could. Big difference but people enjoy calling others broke on debt alone.
@@trueprophets4704I agree. We didn’t hear what the mortgage is nor where the money is going. I assume they are spendy in general. Their paycheck to paycheck isn’t on basics; it’s on keeping up with the joneses.
350k a yr in WV??!!?! DAMN THEY BALLIN!! LIVING HIGH ON THE HOG!!!
Correct. They don't have money problems
@@georgeslupski5987They definitely have money problems, but it's more a self control problem.
Me. 62y old high school drop out
Laborer all my life.
Retired. House paid off
No debt at all
Money in the bank.
Don’t own a car. I’m a cyclist
I make $49k pension
Life is good.
Well I graduted high school, no debt, no car, no house, investing and hopefully be in a similer postion to you when I retired.
@@marktopping4576 nice. Slow and boring is the fastest way to get rich.
@@PInk77W1 When I worked overseas, ALL expenses paid, No tax.
The 20 yr old Lethal Entry Techs Cleared $200K/yr.
Good for you! Well done.
I’m sure at 62 these ppl would be better off than you
"It's not about how much you make, it's about how much you save" sums this up perfectly.
We make a little more than that and our monthly expense is around 8k with two kids in daycare. It is not that hard to save at least $100k with their income.
Buddy makes less than that and just purchased a retirement property with a large down and plans to pay off the $100,000 in around twelve months.
Living frugal expert mode
But in a low or a high cost of living area?
It’s good to know there are sensible people out there who know how to put aside money for their future. people like this caller are exasperating to hear how financially stupid they are.🙄🙄if I mad that kind of money I’d put aside half of it for 10 years and retire in my early fifties.. people like this need to have someone slap some sense into them 😒😒
Toyota Camrys are incredibly reliable. We drive them until they have 300,000 miles with minimal repairs needed if we do the routine maintenance.
This is true! But you don't look cool in front of your friends and neighbors driving a Camry. What's wrong with you!?
I have a Toyota and besides regular maintenance, the only thing I've needed to have done is replacing a turn signal--and that twice. Car is 10 years old.
With the personality of a toaster.
If you're in mountainous country like WV, and have a job (like in medicine) where you cannot call out for a snow day.....a Camry ain't gonna do it. A used Subaru will.
@@christinebutler7630 good point. I live in Kansas.
I can't imagine making 340k and having multiple car loans.
Rachel was too nice
HOW!? My wife and I make a combined 100k if we're lucky and we don't live paycheck to paycheck. 🤯
Good job
Lifestyle creep.
Us too, high five!!! When you live beneath your means, good things can happen, even if life isn't all that exciting.
Well your wife isn't a doc
That’s why doctors with high income not on the millionaires list of jobs per Dave’s survey.
Doctors have a tendency to be spendaholics. They studied so hard for so many years that they feel they "deserve" to live an expensive lifestyle immediately after med school, and end up carrying student loan debt into their 40s.
She’s not a doctor. She’s probably a nurse. An anesthesiologist would gross around $500k on their own.
They won't bite the bullet and tackle the debt. You could hear his reluctance in getting rid of the cars.
I don’t think they have to go crazy like Rachel is saying, but they definitely need to make some changes.
I’m in the same income bracket and area … there’s no reason he shouldn’t be a millionaire within in the next 7-10 years.
All the experts said only 1% of people paid their students loans during pause..I had a hard time believing that people weren't taking advantage of this..obviously I was wrong UNBELIEVABLE!!!! We paid of 67000 and it felt like a boulder came off my shoulders...a lot of sacrifice but we are out of the student loan business!!! FEELS AMAZING
It really does.
Your a grown-up. 😅
Dustin, I purchased a $6k car in 2018 that was 3 years old and under 30k miles. Today, it has over 130,000 miles and has only required normal maintenance since I’ve owned it. There are deals out there.
Dustins exist so we can get car deals like this.
I know right. My Audi A4 is 10 years old. When I bought it I got a mechanic to look over it. Runs great & has no issues apart from everyday wear & tear. People want an excuse to buy a new car & show off. A decent 10 year old car will last another 5 years as long as you take care of it.
Build a new barn when you have so much loan? LOL. Yeah. That’s crazy. I would pay down then. Debt free gives you peace of mind , a barn doesn’t 😂
Save on interest a ton by paying off a loan
These 1st world problems calls are my absolute favorite.
Not where we live 350 000 is what you need to live and afford life it's a good income but in Ontario we pay so much tax and houses start at a million .
Gifting FPU to someone who makes 340k leaves a bad taste in my mouth
Same. Lol.
You owe 100K total on two vehicles, but if he sold them he mentioned they were worth 20K total. You can’t be that much underwater.
He lives in West Virginia, so I’m guessing he bought two pick up trucks that cost 70-80K new each.😵💫
And imagine what their monthly gasoline bill for 2 gas guzzling trucks might be!
No. He said if he sold both cars, he would get a total of $20,000 more than what he owes on them. He says he owes $100,000 on the cars and would receive around $120,000 if he sold them. Not sure I believe that, but even if he broke even, he could probably reduce his outgo for car payments by at least $1500 a month, which is close to $20,000 a year in his pocket, not the bank's. After becoming debt free, they could have enough banked on an income over $300,000 to buy nice cars for cash.
Yeah. But since they are in WV, trucks hold their value. I think he meant they could sell them for 20k more than what they owe. That's the only thing that makes sense.
he definetly wouldnt get that now, insane used car prices are over
Didn't watch the video did you!!!!@@thebeegood1731
I could be all set forever with just 2 years of that income.
Right man if I made 350k a year give me 3 years and I’d be SET
it depends on where you live... come to NYC and see how that works. lol
@@happyhippo1710 The callers live in WV, so if we go by that, then this should be easy
so true!! @@KillstormSH
I know me too. But, I think what happens is the more you make the more you feel the need to spend. I cannot imagine that kind of income and what I could do with it in one year...right now. But, maybe a few years ago or when I was younger?
West Virginia is one of the lowest cost states to live in our country. There's absolutely no reason whatsoever they should be living this way. In most areas of that state, even working a job that pays the U.S. median income is living extra comfortably.
No kidding. WV is like like 3rd world country prices
@@mxerb5912
😆
It ain’t bad living here tho
Yeah mate. It’s a behaviour problem. But an income problem. That’s why ppl have consumer debt and why Ramsey has a business model
That's for sure. I don't even make 40k and I have a 3 bedroom home with a 69k mortgage. I even have a paid off car. Everything is cheap here.
Unfortunately this is not a surprise. Majority of people don't see where their money goes. too much car, real estate, student loans. surprising they have no credit card debt. thanks for sharing.
Money is not the problem, it’s the symptom.
I don’t think that saying really works in this case. Change it to “lack of money” and I’d agree with you. 👍🏼
This year, all in 2023, I will have spent $17,613 to live. That's housing, insurance, utilities, food, and gas. A little under $1,500 a month. I'm 35, live alone, and have no debt. There is no excuse.
I'm 66, retired last December, and just started taking social security two months ago. I lived on my savings until then (I had planned on waiting to FRA to start collecting but then realized I'm leaving 2500 on the table to get an extra one fifty per month at 66.5 years of age). Similarly to you, I only spent about 20 thousand in those almost ten months. That old adage; it's not what you make, it's what you spend.
That was me... before the wife and kid. Lol. People act like it's impossible. Keep it up!
That's pretty low when I was single I lived on was around $1900, but $400 of that was fuel for my old ranger that makes 14mpg
@@thedude5040 Pontiac Vibe with a 1.8L Toyota engine. I also drive a F-250 just not very much. Work on both vehicles myself.
Damn, dude, the mortgage payments on my broom closet are more than that!
$350k isn’t what you make. It’s what the Gov. wants you to think you make and you believed them. Always go by net income.
Gratitude for the little things is important. Deal with insecurity with a spiritual program or a counselor. No good reason to go into debt to impress people who don’t matter.
My father made well below $100k. Our 4 person family was always comfortable & he’s retiring next year at 70 with almost 2.5 million saved bc of smart investing. There’s no excuse for living paycheck to paycheck-they should be ROLLING in $
So chances are, the bulk of your childhood was in the 1990s-2010s, when below $100k was a lot.
That’s still a lot.
Most Americans don’t even make it to 70
@@Fabmille A 65 yr old has a 50/50 chance of
living to 84.
"Most" means more than half.
@@wewhoareabouttodiesaluteyo9303I had no idea $60k was a lot for 4 people
You know what makes a difference in financial planning? The real numbers for each and every spending, actual sitting down with the board and a marker, calculations, talking, planning, agreeing to new rules, etc, no TV on the background, no food on the plate, total focus and concentration of two ppl ready to attack their financial problems. Thinking it quietly in your head on a traffic light won’t help.
The amazing thing is tens of thousands of families are probably just like this guy. I think in our society this has become the accepted norm. This keeps the banks happy.
spot on. And people are conditioned to think that it's wrong to buck the trend and not live like this!
only in the west
It’s not really paycheck to paycheck when they maxed out both 401Ks…
You are not supposed to use retirement accounts.
@@wewhoareabouttodiesaluteyo9303that's not what they're talking about.. if you are putting money towards saving for retirement then you're not living paycheck to paycheck
@@wewhoareabouttodiesaluteyo9303 people arent supposed to listen to dumbass comments like yours as well.
@@wewhoareabouttodiesaluteyo9303it's not paycheck to paycheck
I can see her getting pregnant and deciding to be a stay at home mom or working part-time. They do not seem desperate enough to buckle down and get serious about this scary amount of debt.
This is the case sometimes when the woman earns multi 6 figures. “At some point I was hoping to have a our first kid and i DoNt wANt to work at least until they are in school.” Meanwhile theyve just built a brand new house and new car student loans and the husband only earns 80k.
i doubt these callers will be going backwards in lifestyle, having said that they could pause the 401k and crush the car debt and student loans. $350,000 is a lot to work with.
This is a problem I would LOVE to have
401k is free money 5% students loans 5% . Only the cars need to go. No tax benefits on vehicle unless they own a business
Love this channel, but do they not realise that people pay taxes? The annual salary is quoted, here are gross, not net. In the UK, we have to take 40% off that! I know the tax advantages in America are sometimes better, I hear, but seriously gross salary is not what you end up with
@thebeegood1731 they absolutely could be paying 40% in taxes with SSN/Medicare, state, local and federal taxes.
The highest tax rate in the US is 37%. We can safely say they are bringing home over 17,000 a month.
To pay off 300k in two years would be $12k a month. That does make it tight, but I hear West Virginia is cheap, so it's probably doable
NOPE. They always leave out taxes and insurance.
@@scroogemcduckismyspiritanimal that's only federal, don't forget state could be 2 or 3% local another 1 to 2% and ssn and Medicare 6.5% and 2.35% respectively
@thebeegood1731 yeah you are right, as married filing joint they wouldn't get to that high a rate. I guess I was thinking individual and high tax states could be 40%
They make enough money to continue to max out their retirement plans and pay off their debts in a reasonable timeframe.
100% Keep them maxed out.
Exactly, I would love to have their money problems
That’s not the baby steps.
@@briankowald6465: That's okay. The "Baby Steps" aren't the only steps to financial success.
If she's an anesthesiologist, wtf is his income? NEGATIVE 250k? Plenty of anesthesia makes north of 600k
They live in WV, though.
I'm a nanny who used to work for 2 anesthesiologists. The husband was fulltime and made $297,000. His wife was part time and made $100,000.
Probably nurse. They make significantly less than their MD counterpart.
Stop the cap 😂 ‘plenty make north of 600k’ .. not even 1% make that 😂
@@GrgAProduction oh buddy… you have no idea
If they make $3.5 million, they would still be in the same spot.
With Bentleys and Lambos in the driveway.
The cars are going nowhere !
and how do you sign a 50k car loan when you have 200k in student loans?😮
With a pen. LoL
"I can afford the monthly payment "
Problem isn't the cars they just need to cut other expenses gifting, eating out all that other stuff. Unless people are millionares they always say sell the car like come on. Student loan is the largest debt deal with that last. Watching this show for so long they are so predictable always want people to sell the car . And remember that number is with intterest ove the length of the loan. If they pay earlier they will pay less. I'd rather sell the rental trailer than the car.
A lot of people don't think of student loans as debt. They think the government will eventually get around to forgiving them, so they put off paying them back in anticipation of that.
@@diamante1ification
Eating out is the worst.
"We gross $340k" ... well, focusing on the gross is a problem in itself.
Telling people who make $350k to only have $1k in savings for two years is CRAZY.
I understand that this is their formula but there should be tiered baby step #1 emergency funds based on income.
Uhh....if anything they need an emergency fund less because they will be able to cash flow an emergency next month.
At any rate, the principle remains the same. Remove your security blanket and it lights a fire under your butt real fast
my thoughts exactly, liabilities are too much to only keep 1K, that's stupid. like telling a low income earner to keep 100 bucks. they have the income to work the debt snow ball and be free in less than 3 years. and probably mortgage free soon after that.
A 1k "emergency fund" means that if payroll makes a mistake and their mortgage hits before a paycheck they're getting hit with late fees. They should absolutely have 1 month of expenses in their checking account.
They pull in over $20k a month. They’ll be fine with $1,000 in savings
Dude. They take in 28k a month. They're FINE
It’s true; I have found that no matter how much money you make, you can spend it or save it-one of the two. The decision is yours.
I'd like to see someone do the math for an 18 year old, working a minimum wage job and saving diligently, seeing if he could have more money than this anesthesiologists does now.
An 18 year old working a minimum wage job is well on the way to poverty.
Who told you that? 18, working and getting job experience/work history and *key word* saving diligently, is how you get on your way to financial independence.
First, I don’t know anyone working minimum wage. If you are, you’re likely incompetent or worse. Wendy’s is almost twice the minimum wage. Second, jobs that are low paying are often filled by kids that are learning to work, and they certainly are not the means of financial stability. Jobs that pay little are jobs where the worker provides little. Jobs that pay much are jobs where the worker is more valuable. You add value as an employee when you build experience, hone the necessary job required skills, and develop leadership qualities. When you are honest, dependable, and respectable. How to start out for financial stability.
Be someone your fellow workers and employer can respect.
*Clean yourself up.
*Wear clothes that communicate you expect to make yourself useful and profitable.
*Clean up your mouth.
*Be on time and dependable.
*Be honest when you come up short.
*Be true to yourself. God only made one of you. He doesn’t need two of someone else.
*Pay your bills on time.
*Get married before you have kids.
*Stay within your means.
*Grow in your job. Take on responsibilities that don’t fit your job description.
Your spending habits are what lead to prosperity not your income. Again, I'd like to see someone run the numbers of someone working a minimum wage job and saving/investing diligently to see how much they can stack up from age 18 to, say 70. Because, obviously, this family makes $350,000 a year and is super super broke.
Dave Ramsey's insights have been a game-changer for me! His practical approach to financial management has empowered me to take control of my money and work towards a debt-free life. The Total Money Makeover is my go-to guide, and I appreciate how he breaks down complex concepts into easy-to-follow steps.
They aren’t doing any of this
Rachel actually said what I said minus a couple cuss words about the guy on this call.
What they make in a single month, I make in a year. Feels bad man.
Anesthesia is literally one of the best jobs you can study for and become (meaning you can't study to become an NFL star or Hollywood star). You can literally make 500k per year. These folks make more than SURGEONS.
You make 28k a year? Get a new job lmao
@@dickkrab6280 Your math is bad.
Haha I have a reliable used car, we bought a new model and a reliable brand. If you keep the maintenance up and have a mechanic you trust check it out every few months you’ll be fine. I’ve had my car two years, it’s owned free and clear and the only issue I’ve run into is replacing some bolts. All he has to do is have a mechanic check the used car out thoroughly before buying.
I see nothing funny. Grow up.
@@OopThereItIs77777 who pooped in your fruit loops
At this point just use that income and stop borrowing and pay your mistakes fast as you can.
Money went to their heads.
Spend, Spend & Spend.
Pay off the cars and save save save!! It’s crazy that’s such a good income
The mind must become a millionaire first before the body can experience it.
Best thing I did watching the Ramsey show was ignore the numbers. Focus on the message.
They should still probably max out their 401ks for tax reasons, but they do need to shift their spending profile down a lot. They are spending an additional $8k or so per year in cash just to have built that barn or for those cars. But it's probably the other stuff that they are buying that is just as bad.
This call is absolutely mind boggling! And were talking about West Virginia here Not San Francisco lol
If they are farming the land $1000 is definitely NOT enough of an emergency fund.
I’d reserve more like $10k and replace cars as I found a suitable replacement.
Great advice.
When you make a mistake you need to own it/feel the pain so you do not do it again.
Pathetic especially in WV. 100k in vehicle loans? Come on
no, he's not gonna do any of it. Dave might have conviced him though
I doubt he'll go scorched earth, but I bet he'll get to a better place. $340,000 gives so much room for error.
$340,000 a year!! I work my butt off and make $21 an hour...health issues with stress prevent me from high powered jobs. I'm doing financially better than when I made over $100k. I drive a 2010 F150. It runs like a top. Don't need a $50k vehicle. Lol!
They are netting some $15,000 per month after taxes & 401K. Let's say $4000 for mortgage, utilities and food which is doable. Net's them $11,000 monthly for payments. Use $24,000 from savings to pay down/off one car loan leaving about $26,000 on the car loans. Then $4000 extra per month they could have them paid off in 6 months. Pay student loans with $7000 extra per month for 6 months, then add in car payment amount and they're up to $11,000 per month which is over $100,000 in the first year and loan payoff in second year.
They would be debt free in 2 years and able to save some serious cash going forward.
With a house and farm and 2 cars having only 1k is savings is creating a set up for putting something on a card. Keep 10k in savings
I would keep the $25K for emergency ($1000 isn't enough) and since they are making so much money I would continue the 401 investing and such and take three years to pay off debt.
They can still have a good life, living modestly, not as poor people, and crush this debt in three years easy.
Then all the money they earn is their own, they have the investment that wasn't stalled and they can add to the $25K that is currently in cash.
I always feel like they’re trolling with these calls and it’s hilarious to hear the financial struggles of people making 350k a year. If folks netting 55k can make it work then you have what we call a spending problem.
They're NOT really good at math George! 🤦♂
George was referring to him and Rachel in that statement I am pretty sure, meaning he called in to get advice from the math geeks
I got a high school diploma and make arround 75k a year mi wife stays home to take care of the 2 kids that we have and i save arround 15 to 20k a year. These guys are rich broke people
I can’t imagine what it must feel like to make $340k a year and waist it on making all this debt. Damn😮
Well technically not what they make. That is pretax
These are the types of people I have no sympathy for.
I love the excuse concerning maintenance and used cars. People tell themselves that a used car is a clunker… don’t buy a piece of trash, buy something reliable and used. Those aren’t really that difficult to find.
Imagine making money that most people will only be able to dream of, and then still screwing it up.
Make 340,000 a year. Flat broke in massive debt. Living in a rented trailer. American economics.
NAh he said the rental on the trailer covers one of their expenses not that they live in it.
@@diamante1ification Yeah, as I understood it, the rent they get from the people living in the trailer covers the mortgage on the "farm."
Make in this range. Cars are all 10+ years old and paid off - I keep them reliable myself. Paid off house in 10 years. Have several $M saved up - they are correct about the mindset piece. New shiny stuff will make your banker rich, not you.
I know most people live paycheck to paycheck! The American 🇺🇸 dream 💭
The 2023 Suze Ormon survey found that more than half of Americans don't have enough cash to meet a $400 emergency
@@iwantmorenews557But they have enough money to get the new iPhone.
@@iwantmorenews557 I heard! I have friends that have sports cars mustangs Camero Challenger and Porsches that can’t put $20 in the gas ⛽️ tank. Hood rich 🤑 ! 💰 🚂 🏦
My blood pressure went up after hearing this case studies 😐
They'll be fine. They got a huge shovel.
Irresponsible is an understatement for these folks. This is why we need papa Dave answering these calls. George is way too nonchalant about this call. Dave would have lit him up
Sometimes smart people are just ignorant. My wife works in finance and we make about that and yes, she had to go step by step through FPU before I would marry her.
PS: we both now own 12K cars. It’s the first time she’s ever held a title in her hand.
Building a barn isn't being irresponsible, especially if you have animals that need that shelter. Buying a $100K car to show off to strangers at a stoplight is irresponsible. Gambling or drinking it away is irresponsible. What you did with the barn is at worst just a timing issue. (I live on an animal farm, so I understand needing a barn or other structure.)
$340k in west Virginia is like $2 million in normal world. Combined $340k so who makes what? She a anesthesiologist I assume if she working at a bare minimum $150k/yr so he makes $150k or less.
Lol try 300k as a nurse anesthesiologist, a doctor would make 500k to start
@@buckibanker This has to be the right answer. There's no way in heck she's an MD/DO.
@@buckibanker in west Virginia?
@@djpuplex yeah actually more rural states pay more than a lot of big cities and more desirable areas. They need to in order to get the doctors and nurses to stay. They all charge Medicare and Medicaid for most work, so the hospital makes as much as a large hospital in higher cost of living areas
@@buckibankerNO, most do not make anywhere close $300k.. especially in WV 😂 why do people always love to use the top 1% in the biggest well paid cities as some ‘standard pay’ 😂
People can be so smart in one context and utterly brain dead in others. Sad 😢
My definition of paycheck to paycheck is zero money in the bank and zero money for investing. From personal experience I’ve lived on less than paycheck to paycheck by increasing my credit card debt every month and going deeper and deeper into debt
Exactly. They are not in a paycheck to paycheck situation. It is simply a click bait title
He just called in to brag.
Zero sympathy.
My husband makes the same amount of money, but we never changed our lifestyle. We save HALF of what he makes, live in the same cheap home we bought years ago and live a normal life. People make a little bit more money and just waste it all…
It’s so deeply frustrating to hear someone making that kind of money and still messing it up. With income like that, I would be financially independent within 10 years no problem.
We make way more than this and I am here. It isn’t what you make, it’s how you manage and spend it where I had the most when I made $13 an hour. I refuse to pause investments to pay debt, people being people and us being us, the next thing that would happen is we would be looking at each other asking where did it go. My wife and I aren’t on the same page which is root cause. I pay into investment, pretax and after tax religiously with the mindset of at least that want get spent.
Lol go get a used Japanese car. Ideally a honda civic or toyota celica. Just have to change oil brakes at scheduled intervals a0nd you'll be fine
They stopped making the Celica a while back, may be harder to find.
It's easy to find a good Camry or Corolla though
I had forgotten that they live in WV until it was rementioned again at the end of the video. That just makes it more baffling that they're living paycheck to paycheck when they don't live in a high cost of living area. Just poor financial management/decisions- plain and simple.
It’s calls like this where I don’t think the baby steps apply to everyone. He already has $25k in an emergency fund, and he can probably cash flow enough to tackle the debt snowball without touching the emergency fund that they already have in place. He can probably keep the EF
So after taxes in wv, they on average would bring home right at 21k a month. Lets say their total expenses to live is 6k? Ill be generous with that. So if they sold their cars, bought two 10k cars from the sell of both, and paused investing, they could be done in 13 months. That's really quick for 200k in student loans and 100k worth of cars!
There is just something not about about this story. Because even after taxes and maxing out the 401k you’re talking about 15k. The big question is how much is the main house they say in if someone rented out the farm. They still have $10k plus not accounted for after car payment.
We're all on a leash. His leash is $350,000 long. Mine is $60,000 long. You live within your means. Don't be greedy. Live within your leash.
I hope he follows the advice.
He won't
Wow, I am speechless
These people can have a million dollars in savings in less than 7 years, if they stopped overspending. Pay $350k debt in 2 years. Put $200k in savings, investments, etc. for 5 years.
Boom, in 15 years they could probably retire with a few million dollars in the bank, paid off land, cars, and still live very comfortably in the meantime. I wish I had that problem!
We earn 140k less and do just fine as a millennial, 0 debt of any kind, paid off mortgage, 2 year worth of emergency fund saved, max out retirement accounts each year and even fund two kids 529s a month and still have extra cash left to invest into an extra taxable account! Also my wife works part time 2 days a week as we are in an amazing situation, if she went full time our income would be 70k less than the caller.
Fantastic. What do you guys do jeez...?! That sounds amazing...
@@johannblack6027 Thanks, I'm a software engineer at a Fortune 500 company and wife is a PA in the psych doing telemedicine working 100% remotely from home 2 days a week. Feeling blessed but we did go through 8 years of living well below our means to get to where we are to pay off our mortgage early. So much sacrifice in those years eating out minimally and throwing all my bonus into the house, no new clothes, vacations, gadgets etc. Also we were earning a lot less than today.
The biggest thing is that we did not let life style creep come into our lives. We have a nice home in the suburbs with excellent schools in a decent sized house for family of four (2223 sq ft) with 3 bed and 2 bath with an office so it's perfect for us. We plan to retire here when our kids go off to college in 15-16 years so that we don't have to downsize either. My wife wanted to move up a house in a few years but she started reading some finance books and it convinced her that living in the same house for 30 years can make you a multimillionaire. She also realized how less stressful life is by not upgrading either. But the biggest thing I would say is that we both had the same goal that we worked towards over the last decade and never strayed from it. But like Dave says you live like no one else so you can live like no one else, SO TRUE! Now with high inflation etc doesn't really phase us one bit, not trying to gloat but it is true.
Me and my wife make 150k a year 400k mortgage left but house is worth 1.1million. Few other small properties paid off and a baby on the way. We are both 28 years old. I did buy a brand new hybrid car fianced for 50k but I’m doing Lyft part time and make an extra 1200$ a month.
@@Ben.Dover69 Nice, if you keep at it then you will become a millionaire or you have already achieved it. Our house is only worth 430k but paid off. Our net worth did hit 1M+ last year and now we are aggressively investing yearly (we save about close to 40% of our income), we hope to be able to retire at age 55 as I'm 40 this year and wife 35. I think it's really achievable in the next 15 years. We also paid in cash our Tesla Model Y last year and entire house new windows done for remodeling and still maintain the 0 debt!
Life is so stress free and carefree especially with recession or possibly depression looming with 2 year worth of emergency fund saved earning 4.5% interest in case we both lose our jobs that can fully sustain our expenses but its highly unlikely we both will be unemployed at the same time as our professions are diversified. We did however agreed that in 5-6 years from now if we have the cash saved up to move up a house without a mortgage we would do that if needed for more room. Budget would be something like 650k home most likely at the most but I would ONLY do it if we could sell our current house and put cash to move.
The reason why we decided to live a simple life now is that we can live like we are 70 years old at our current age! Time is the most important part of our lives and I want to enjoy it at an earlier age of feeling semi retired than later in life! Also no one mentions this but paying off the mortgage early can really change your mentality in life. You can do a little more riskier things for example change career if you choose to do so or try different things that you never would have because you were too scared of the mortgage payments! Having a lot of time spending with my kids as this is a once in a life time chance to do so before they grow up and making memories is the best choice for us.
Good for u. The problem for many is low salaries... 44 years of teaching and probably averaged 45 ooo. No one should go into teaching.eventhough I know I made a difference....My kids deserved more ...
Rice and beans and prime rib
This is wild to me. My husband and I make 350k in the DC area. We save around 100k a year but we still live in a million dollar home, eat at Michelin star restaurants at least once a month, fly first class, etc. Even in a HCOL area.
But we have no debt - for example, I drive a $2500 car every day (and yes, it’s reliable). This is the thing. Payments will eat you alive. I just can’t wrap my head around what these people are doing. It’s insanity. They should be living totally stress free amazing lives. Such a shame.