I patients where america hangs out have a conversation about life, money relationships, the mental health right. You were on george campbell joined today by doktor john bologna, those sour aaa pig to five five two to five triple eight eight to five five, two to five I have taken office hours in cleveland, ohio, ryan

welcome to the ramsay, show Berengaria great. How can we help So this is a pretty open, ended question, but I'm trying to figure out how I decide my next financial goal and I guess more specifically, how do I add things or ne pas mine does dusting to achieve whatever goal that might be wow? Okay? pretty familiar with the baby steps. I soon, yes, I like eyes, I read through the book and embedded lawyer them, but it has been a little while on a voyage. So what are your goals? Man? Would you trying to accomplish? So that's that the hard part, because I'm very very fortunate right now to have no debt. I have a pretty good income, for I mean I'm, I'm twenty three fresh out of college a and right now, I'm just focusing on investing for retirement. I maxed out my roth already this year and now I just have income to put towards something and I feel the wrong to not just invest all of it. But the thing

I got it might be considering getting an answer at some point, so yeah there's the damn him into a I'm, not ok. What's your income, like leaving these somewhere between about sixteen eighty, this next year, twenty times. You ok, three tax. Do you an emergency fund in place of three to six months of expenses Seventy five hundred saved us an emergency funds, great How much are you investing percentage wise right now? You said your max enough, so I am not quite fifteen percent. I've looked at last the continent's comes and more close about thirty three percent. There income is what you're investing yeah, I believe so wonderful animals around by the other research? Ok! Well, once you x out that rather put you out six thousand, he observed citizen

months? Moroccans worries about ten percent of your income, but it sounds like you're, you're kind of front loading you're, putting a lot of money from each paycheck right now, but once you, set out. What are your other retirement investment options? German The employer, I don't have any for one day options I work with a small business. So I don't really have many other retirement options. Unless I open up like a traditional rock or something like that. As far as I'm aware as well, there are no traditional rosty traditional I re or raw fiery, but that a why. I correct. Ok, well accept the raw, that's gonna, be it for the year on the ira side, but there are other options. Actual brokerage accounts things like that word. They won't be tax advantage, but you can invest and pay taxes on it. When you take it out as far as financial goes, you told me you want to get a house, and so my next gulf, I'm in your shoes, debt free with an emergency fund, is getting a big house down payment saved

yeah? Now how I guess I'm struggling with? How do I set up a down payment and adjustment lisbon strategy for that, because I guess I kind of you I I could always just throw a bunch of money into a brokerage fund, and, and ah you know, she was a safe investment and then, when I buy a house or buy a house with that money, barcelona risk with the merchants of marks down you now when it comes back on a risk. I, like a longer time, horizon you're saying they had only to house the next year too? I'm looking at three five years from now I'm ok with you putting some money into those types of accounts to invest, because you can you can ride that out and if patients and you're, not at your urine level of urgency than yogurt you're gonna be ok and your some will bro. You know who I was. Market, but you can grow eight nine, ten eleven percent the market gets back up to where it was right

So that's what I've been doing here. She's just start investing fifteen percent of every paycheck into whatever options you have right now. It sounds like the Raphael ray. Is your best option Beyond that, you're not gonna have a ton with, because you don't have an employer retirement plan, but you can invest in attacks brokerage account, maybe in some index funds and park the money there as you save up for the house, right? Can I one more low nuggets put your back faggot! You can do three things with money in save it, you can spend it or you can give it sure you're planning for the future tunic or eight years so far ahead of ninety five city. We talk to me included, your way down the road. It took me about nineteen or twenty years to get to the financial position. Urine, ok, but make sure or you enjoy your life. Your twenty three gay go: have fun google com

hang out with people go somewhere right? Unity of sand enjoys him that money and start a start, a habit. A an identity of generosity. and so once a week once a month, tipp somebody. Out of their mind, give to your local church. If you go to one get, find ways that you can invest and give back to your local community make that a part of who you are okay, that's one of those legacy. Shifting you'll give change or family tree with the the spear behind which you deal with your money. Ok, yeah. thank you so much, I appreciate the life you got. My brother yeah thanks for the translations. Great reminder there, John, in a lot of young people out there, they're very focused on investing, and I love that young people are even excited about us. It's so cool, but to your point, we can get so far down the rabbit hold. What the next big investment is, get rich, quick gaming crypto, none of these and we ve to just live our lives. What I love, but our planet we say, invest fifteen percent. And you'll be a millionaire. If you do

consistently over a long period of time. You're also not invest every single time you can not so the diamond and no don't do anything else. You got livery life, there's other things along the during that you ve gotta, be thinking about and when it comes to investing, I investing you. I love. I love talking about money alone, financial topics, but we all I need to enjoy ourselves, and my wife is like hey. We haven't been on vacation in a long time and I'm like oh yeah. We should. We should do that too. Well, and I I come. We're home, we did have a lot in money was a stress or for us, and so I have a continued a loop on the story that go away and is finite, and so I'm to work hard in a season like you know, we're in a season a blessing right now, a yes try to crush the the house more due to try to do this. Take your wife on it! it's anniversary, good god do what you do right by a car that runs right, and so I have to talk to myself and

let myself know hey we're, fallen principles. Roca. How do you balance that mentality causes one side that says yolo, you know like we're. Gonna live forever will figured out later religious. Do we want right now, and there is another side that is the This is all going to come crumbling down tomorrow. I think, there's tos, you have to be independent side of the coin you're on. If you Oh somebody else, money. that's an emergency. Its danger will robinson you. Not time for yolo. It is time to stop everything. Get that done when you get to zero You owe nobody anything. You have an emergency fund, so not if, but when the things go wrong. You you are able to deal it. That's when you have to she'll, say tell yourself you to practise this not endanger anymore. Now, it's above giving its about living it's about saving, it's about planning, it's about, look that beautiful life and said: hey: let's go funds while looking at that guy who doesn't

looks like he's rubbing two paints together eat that meal. I got this for my brother right. It's it's you're able to live a different kind of life because you're not running for your life anymore. Eu mic, drop on with their good stuff, for the ramsey show coming up. Give us a call triple eight eight, two, five five two.

Five invests ten minutes now before you by your next home or refinance folks, it's tough to buy a house in this market. I get it it's competitive. So when you do find the right out you gotta be ready to move, keep in mind a home is one of your largest investments shall be smart about who you work with the new home buyer edge programme. For my room, she trusted friends at churchill. Mortgage helps you do just that. It starts with becoming a churchill certified homebuyers and capping your interest rate, but here's the kicker you'll also get a five thousand dollars seller guaranteed and help you in a multi offer situation. This strategy option move fast and will give you the edge over others to get the home buyer edge. Go to church your mortgage dotcom today, again churchill mortgage dog com. This is a paid employment and unless idea, when I don't want no less consumer access, not work, you will hasn't Linda seventeen. Forty nine melody lean sweet one hundred brentwood tennessee, three, seven, zero percent programmes for qualifying borrowers and selecting thanks only not avail. In all other cases, on ramsay personality, george camel joints at eight by doktor John aloni. This is the ramsay, shall open phones, a sour, triple eight eight to five five, two to five.

are a john. Occasionally we get a question from social media and occasionally we take that question, and today we have one from a living in texas in she writes on youtube. I just then funding my six month emergency fund and I'm right. He d to start investing. What are the retirement plans to invest in of this olivia way to go first of all for getting that free building, emergency fund of six months and now Europe we step for you're ready to begin investing that fifteen percent. of your household income into retirement, I've, a feeling, I know you're gonna, say you may say open a judge going going account, no crypto we're not gonna set out. I meant get on the internet and find a bunch of artwork digital or work. no, I have to use either John ok we're, let's to the basics here here are my two favorite retirement plans to invest in number one. The four o one k that is going to

through your employer and it's just a type of account not an actual investment in and of itself. You want to actually put investments in sight, for one k like good, grow stock, mutual funds that we talk about all the time, the other. I prefer tyrant plan that I recommend is an they are a that stands for individual retirement arrangement. Did you know that John? I was going to say: individual retirement account there interchangeable, but the official terminology is arranged and this is basically another retirement- account accountants outside of your employer, Anyone with earned income can go open. An ira answer investing? So I can't go open violet at a great long business. I couldn't go open a forlorn k on my own. I did you start open irish, yes Now you there are employment options of your self employed. There's other options right, we'll get into it another time. Ok, but it sound. like she's she's got a normal employer yourselves. Let's talk about this traditional so a traditional foreign k, traditional ira, that doesn't mean old timey. It just means that the money

you put in there is pre tax means at its tax, deferred growth, meaning you will pay taxes on that when you pull the money out in retirement after fifty nine and a half, so I put up a hundred thousand dollars in growth to be a million dollars when I say pulling it out. I want to pay tax on the nine hundred thousand dollars at its grown right. You'll pay, taxes on all of what I would draw her yes and here's. The beautiful part about traditional is that there are Tax advantages, so you can deduct that amount from taxable income. When it comes to tat, when it comes to tax time, because that's a nice About traditional, but let me tell you about another friend named sorry their side is roth, and what I love about roth is that it grows. Tax, free, meaning if I've a million dollars in my raw fora. One k I have a million dollars, I can go, spend an uncle sam can't touch his hands on it when I put it in their after tax exactly so you're already

paying taxes on that money before it ever goes into the account so either way you're paying taxes. Let's make that clear. This isn't like a tax hack for getting around Prs. We're going to pay taxes on this money is just a question of. Am I going to do it now, or am I going to do it later remembered in and so I am a big fan, especially for younger people out there to open a roth for one k or Raphael right if you have an option here ramsay. However, our foreign one k its event. asked adoption in. Do my entire fifteen percent in our raw former one came in the eu full part as your rooms. In many employers they have a match, and so the match is free money. It's a hundred per cent return. On that investment, so ramsay Four percent in when I put four percent- and that is all right there. So we that match beats roth, be traditional, meaning wanna take the match. First, then we want to move into a rough option so few. Ever off option at work. Let's go to the Raphael re, let's fully fund that then, let's move

back to the four one kay the traditional side and finish out that fifteen percent vertical now have reform and k, and you get good investment options in there. That's great, but the eyes. I will give you weigh more options in the sky. The limit with an eye array, the forum K is limited in the investments you wanna make sure you ve got good, grow stock mutual funds in order to have a good, proven track record and people do combinations depending on their situation, but remain a roth for one for one k and IRA. These are not action. investments there just a bucket. It's a jar you can then put investments in and they are too. advantaged, which I love and remember we want to diversify your john. We don't want to put all of our eggs in one basket. I remember this yeah yeah one time as well. There was one time I had a basket of eggs and I said: hey John hold this one basket for me and then I slapped it out of his hand and went on it was it was wild. I know I've talked to my therapist about it. Oh, you have there is no. I shall to a yeah, let's frames. Well,

In that sums it up for for investment accounts it when it comes down to it's so simple people did ride over. It wants to know, and that's the thing: people over complicate investments and that's when things get out a hand, that's when they make bad financial decisions, because this thing my buddy told me about this investment over here. I should be doing The millionaires that we talk to the stats are incredible. Seventy nine percent became millionaires, they say due to their employers, retirement plan I for one kay If you want to become a millionaire, you dont need to get. quick, you don't need a hit, a big at the slots. You just now Do something simple and boring consistently over a long period time that is how the majority of millionaires got there and by the that same advice works for you, a better husband or wife, their government better boyfriend, too little things consistently overtime. You wanna get in shape

this system will work out to it on a rigorous casual. They ve no hack for me to get a six pack by tomorrow. John there's a few you'll pay for later years of same with, like changing your nutrition, I mean it's. Everything is be consistent to over and over over a period of time and the result. the care themselves, that's right! Well, thank you. Much for the question of the vehicle us back when you're a millionaire, our right, Let's go to the phones. Adam joins us in new york city, Adam welcome to the ramsay show. Are you with us Adam. We lost Adam was so close. We were so close to helping Adam and then ask them what we can. We can move on right kelly. You feel good about this he's back what's up and on. You are right what's up down, we help man. Now reports would always wants to go we almost lost you. You had been her first winds up. Man, though

twenty six thousand dollars in that twenty three of those in a car and three is a credit card, and the car it's way too much. The payments are just a big house one week a month, I'll just trying he wrote the merchant relinquish the car or maybe find someone to transfer payments to sit on to pay for it. what is it a lease or is it a traditional alone, it alone? Ok, what's the car worth were didn t passenger? The boy said ten five hundred? Ok, well, one option is you keep the car and you keep making payments, but a sound like that is not an option you can afford yeah? It's johnny now case you're going to be in the whole by about six thousand dollars right here, how much I need. You have saved right now I, how have like a you altogether, you have that we step one thousand dollars. Will you say these things were seventeen thousand bucks? Is that? Did you go

call somebody and have them appraise it or that you look at an kelly, bluebook yeah. I learned on a couple of websites and they all said about the game. Okay, that's right!. sale. Six thousand is is six thousand underwater here? Ok, Well, that's going to be your best bet. I mean you could get a personal loan from your credit union's the only time we would ever tell you to go. Get a loan. Is when you're underwater on a car, but I still love that option for you. What's your household income, it's about thirty thousand a year! Ok, Well, maybe I do like that, how we ve got it. We have got to get this income up. What are you doing for work, I delivered for amazon, I'm running a second job on the bartender during two peaks season summer darby making If you are, you can make like eight to nine hundred a week. There are a number of money. In new york city people drink you around. I found so I'm that had not been doing that every weekend.

I pass weekday if possible. I decided in Abuja yesterday for another place, so I start next week. How are you doing a monthly budget? Yeah, ok, the tight, not thing down. I'm gonna go ahead and gift you one year, Ramsay plus, if you'll wash all all the videos and financial peace university, you can get every dollar plus hang on. Kelly will get that for you, but man we ve got a creed

Arjun here and we have to get rid of this car, so if you can save up that six grand and be done with this car in the difference, that's what I'd be doing or you go get a quick loan get one thousand dollars on top of it by one thousand millimeter get rid of this thing, and now you owe eight thousand dollars. Instead of saying get the worst car you have ever seen in your life, the more you hate it, the more. I know it's the right car for you right now, you're broke dude, you're living in new york city, making thirty grand and you're twenty six in debt. This is a problem, we're rooting for you call us back when you're debt free call us back if we can help in any way. This is the ramsey show and the on the debt free stage. We've got danielle and samantha good to see you, so I'm assuming you're here to do your debt free scream where you're from

anything or soda minnesota fantastic, and how much have you paid off? Eighty five thousand now Eighty five thousand dollars: how long did it take two years to years that's a lot of money? What was your range of income during this time? We were. We started at eighty and then we went to twenty five and since we ve been out, there were one thirty would do for a living. I am a mental health therapists. Oh yeah also another account that yours- time. Conversations are a blast, it's great, Is it getting its wonderful so counts for this, Did there what what accounts for this big jumpin income, I recently had just gotta promotion at work for the clinical director position much malaysia, telephonic bulgaria and then, jobs. I gave us a little boast as well at us, Dana good, for you guys, sort of debt was this. Eighty five thousand

but the majority of it was student loan debt and then we had two car wants to carloads. Was it the graduate school yeah yeah man I so what happened next back twenty four months ago, two years ago that, spurred this journey so actually years ago I say when I went to a conference where Dave Ramsay and rachel crews and chris organ will serve as well and then I kind of got us interested in doing something about the debt we knew we were going to have when we got married and we got married yet some cash, Gifts. We have this income, that's great. So with we decide do some about it took financial peace and then just power drill. it's the most accounting I've ever heard. While we would,

the thing and then the next day gave us. I said: ok, let's do it. I think that he is skipping over some pieces. I assumes he's been talking to me about Dave ramsey, so we've been together for roughly nine years now married for about two and a half ago he's been taught me about Dave ramsay for the past, like five years joy and he like, when we get married, we're gonna do this this. Unless and I like- I really want to do that, but whatever If it makes you happy we can, we can do it and then we financial peace university from this conference? I we went to with day ramsay we gotta give to ourselves. It's like a pre wedding thing, and then we took financial peace university. I think our first class started those sunday. We got back from our honeymoon and then we can adjust went from their so How did you ultimately by an he tops? I'm a spent her missus. Throw that out. He had told me that it was a way for me to spend as much money as I wanted to and then also keep him happy

that may be the glorious line. It was one or sales pitch. It will worked because here we are- and I but as one for me in the budget. Now you there, everything is budgeted, gives you the freedom to spend without the guilt. One hundred percent It's incredible see I mean you got, would you consider yourselves, can opposites and a lot of ways? Absolutely he's not on airbus thoughts and feelings you go well but of everything in there. That's all some of the same plan, so he dismissed miss been in your heart, mind who introduce you to the plan, my parents, when financial with a family friend of theirs, and dave is just a name. I've heard through the years while I know, but I'm just wondering this. Eighty five thousand two years I mean you guys were bussed in it for for awhile. What were the sacrifices you made along the way, some of the hard things were like gosh. I don't want to do this. I don't want to sell this. I don't want to work extra. What were those things for you and deaf

lee was really looking at our budget. Where we were like spending extra money, I'm so I going out to eat was huge. I mean there was one month. I think that we had dropped over a thousand dollars on going out to eat, and so we had stop that completely, and we would you like a few date nights here and there where we would go to like our bees and we would get em like their trio of appetizers and just what that and I would just go home and I like popcorn, watch a movie or whatever, but it was kind of just like really coming through the budget and just making sure that we are actually spending our money on what we wanted to spend it. in accounting terms, you didn't audit of the budget start paying attention to what was going on. Yes, you up and that I pay up a few side jobs, a restaurant apples? actually eventually appetizers right right, officiated use, sword, still very cool here you set down in between shifts and had

The ties got back up and went circular tables already much. So what was take take back to your best fire show the best argument you to god. during this time for my journey I would say that it was. I had overspent. This is like in the beginning of like budgeting, and I had overspent in the category and we were like four months in, and this was the first time that I had gone over and Diana was just like I have to stick to a budget carefully, though we didn't suit budget. I like this is the first time in four months that I've gone over like you should be proud of me that I've made it this far and he was like holy. You're right, I am proud of this fire, but that was- like the biggest moment of well, actually works, and we can work together as a team when it comes to money and we can both have what we want. did you just for the record that was some mental health gymnastic we did oliver, you just didn't like, let's reframe this look, how great I've done and you were like yeah, you're, right, yeah and drink as that. Everyone's said,

Did you guys have any cheerleaders along the way. Definitely our parents, they rely finally voting. I rise parents couple friends, couple coworkers, so tell tell me what it felt like the realities or make it six figures, your wife's gotta a job you ve got a great job in your work in it. Server applebee's, there's gotta be some moment since it has been in your head up against dashboard as you pull into the pool into your third job right double. What's going to your mind, how do you feel way. You know this one. I right now the shift to be over two or three hours, but it's getting us that much closer to building or live together and where that free we just had a baby and saved, can take the full twelve weeks off and we need to worry about it payments wow! That's amazing,

I also see what you are willing to have the temporary sacrifice- and you said hey. This is for a short time so that we can have long term freedom. Yes, it's powerful. So if your target not so if you are you're talking to a couple you're talking to millions of couples right now who are thinking, I can't if you were to say here, is the key to getting out of debt for you, couples who are just emir just does what here's the key? What would it be? I think it's just getting up and doing it a lot of people. Think, while do I want to do this or do I want to do. as I don't want to cut out restaurants that marge dave ramsey's, not for me, but if you just get up and do it, that's the only way you'll ever get debt free, and I think that communication- honestly, the key here you know just saying, like you know this is. hard and Daniel being like yeah. It is hard and just having someone there too, like kind of suffer with Your eyes are going through and then like really looking at the goal,

like I'm going to be here. This is temporary. Eventual will be done and will be able to do whatever back. We want to do you mean a k in just get up and do it absolutely love that will Daniel and samantha yeller are officially weirdos air, we're so glad you're the gang? And you have changed your family tree? You got two little ones: sierra and penelope. Are they with you today, as they argue or bring them up on stage are like? Oh, they are little little and some things for them? John? What do we have that sure? What do we have, but we ve got a copy of. everyday millionaires cassettes your leg step on your journey. We all a copy of total money maker of the young, give to some friends and shall bouncy a beautiful little babies. We're gonna do that, every scream, Daniel in samantha paid off eighty

five thousand dollars making eighty two hundred and thirty thousand dollars in two years, changing their lives in minnesota, forever cut him down to hear a debt free, scream, three, two one.

We're dead, fred, the baby stop crying. They found out they're dead region, the every once in a while a baby hears that was the life directions forever changed. I love it that is incredible. Daniel Samantha, eighty five thousand dollars communicating just decided. Let's just do it, let's just don't overcomplicate it. Just put. How do you lose weight, diet and exercise? How do you get a debt on a budget paying off? Congratulations. The welcome back to the ramsey show on ramsey personality george Campbell joined today by my friend, Dr John baloney, and we are taking your calls triple. Eight eight two, five five two two by Raphael, joins us in tucson, arizona, Raphael. Welcome to the show hi

hey. How can we help today? Are you really good? Thank you. Thank you for your michael. Ah, I'm going through a divorce. I am Thank you. I ve heard turn it I saw gosh. So sorry, man, a clear sky, yeah man, that's that breaking. How far are you guys into the process? It is started. It Five months ago, so now pay her signed or anything like that. Yet nothing Actually, we are in good terms, but the figures we have a small child and we want to. I won't, be

it close to air and we were thinking to refineries our house in by land in order to build a house with a few down it and I was wondering if that's a good idea, so you want, by land and build property to where you both live on that property. But my wife, My daughter is going to know they're going to in the main house, and I'm going to do even small casita, so much and beach close to here yeah. So, what's the impetus for divorce. You sound like you're working offline. those together on the same page for two people who say after a core of a century. We need a separate, in europe the question: what is the nature of the divorce? While what do you feel it necessary to split up? I think

Communication is the main thing you do. We have a lot of problems for years, syn to stay together take together, and I think that's a it's it's not possible more language. everything. When you win make the decision to get a divorce. You are taking a romantic real, kinship a friendship, a coat parenting relationship in or choosing to intentionally turn it into a transactional relationship? This is now a business deal and I would tell you if you were unable to communicate in a way to If she's safe it keeps your relationship hole, you find it necessary to divorce after twenty five years. That

during property and living in a back house is a disastrous idea. what I think you're wrestling with right now. Is you can't imagine your life without seeing that baby girl every day that true, it's hard, I I have a little baby girl man. I can't even wrap my head around it. I was just telling this last segment. I was. I went and got my daughter up last night at eight o'clock, so I could spend five minutes with her right. I can't I can't wrap my head around that that is a consequence of you and your wife divorce. What you're, not thing he threw down the road is, if your soon the ex wife bring somebody else home? or when you meet somebody in start dating again, or when she has a big party and fill fill in the plank. It's just a rest, before disaster. Please don't do this guy get yourself in

parliament in the neighborhood, where you're close mixture, every agreement and disagreement is written down. This is a transaction now and you're gonna. Do tat yourself in writing so that you have legal standing to see your daughter it at the same in a regular intervals and all that stuff, the europe that will happen in the courts, but to make this hard decision to say we are done. We cannot be same place anymore, which worth of in his house up, then you have to go through If the house up- and I know that is I'm talking to you- forget the radio I'm talking to dead dead here. I can't think of a more got wrenching decision than what you ve made. Ok, so not making light of I've just been the other side of this thing with too many couples over the years. This is a two year and three year and fire your tenure decision here. Ok, so do not sell your house and buy a piece of land and live in the pool house? Don't do that? Okay? Okay,

he then just a bomb the urban environment and I'm nuts it and move on yeah I mean that's, really the choice or ya'll you couldn't as part of your divorce decree. I could sell the house and split the place split the what I love you decide to do that to break up your ear. Your stay and she can by a small house, you can buy a small house. I mean it could be whatever that. That's on the negotiable borneo figure that out with your lawyers, I figured out together than good, I'm the courthouse together inside a piece of paper, but you'll get your It choose to be civil and be grown ups about the separation which, before which would be wonderful if you could do that, for both for you and for your kid but yeah, that's, this recommendation, man don't don't live in the poorhouse, What john said ralph ale, you dont, want to be little property taxes and your names on the same stuff is her. I mean this is

a business transaction, and that means we gotta go our separate ways and that's hard or that her name is only on the dean she evicts. You have some point out of the pool holding his ass yeah so avoid that live as close as you can to your daughter, but you gotta cut ties. Thanks for the comments that breaks my heart brother, we're thinking about you, man, alison joins us next. Columbus, ohio alison welcome to the show high how can we have today a out call the question about a small business ownership. My husband has a small business and has a dull proprietorship. No, it doesn't have any employees at any time. We have set down and try to do budget together to work through the death, but we do have. He began to find a kind of a court because, with the business, you don't always have a certain amount of income. If you have a visa requirement down and emergency, so Who am I going to do that? We have always wondered specifically by further question. As do I separate the business dive the personal violence that is really all within our family, when we go to federal budget, an attitude of her part

I keep it in one part and also As far as emergency funds go, do we keep at one thousand dollar emergency phone or do we may be make it a little business bigger to account for his business? daddy guys, have. Well, we have different kinds: He owns two large piece of equipment and we have the on one of them, probably about the amount of sixteen or seventeen thousand. I was there we So have a personal car alone and that about thirteen five hundred thirteen thousand five hundred I was there and then we have can be more, that we have some on credit cards, both business and some personal ones, and that our between eighteen to twenty thousand all right, so If I'm you guys here's how this works. All that business dead he signed for therefore it's your personal debt, so in that regard, you're gonna put all of this in the dead snowball together an attack at smallest, two largest, regardless of the interest rate. Now bank account side. We need to have separate

an for. What's going on in the business sleaze, gazetteer separate accounts Now, let me say that I can now his income, that's good. Part of the budget but the business expenses transactions. We need to keep that separate, so doesn't get to muddy. He needs to pay himself a salary out of the business. Now, dump it all into the checking account your enemy bunker. Here long as he had this building. We movement he's, had it for maybe going on two and a half years now. He um has semi trucks. He got to move money back and forth yeah he gets. paid by. The company has the least agreement with this account. And then we move money each week according to our need to our personal gout. ass? See, that's it! That's a recipe for disaster, make sure you ve got a budget that says this is how much we're gonna take out. It's too easy to look at that as some kind of as a credit up,

I have a credit card. Basically is what that's going to look like you're, going to end up bankrupt in your business, doing that at once debt is paid off. I want him to run this business completely debt free, which means, if he's here, the piece of equipment we're going to cash flow are gonna, save up for it. Hang ottoman have and pick up he's gonna, send you copy of entre leadership. This is Dave's book

thirty years in the trenches of building a business from a card table in his living room to now multi hundreds of millions of dollars- and he did it all- that's right. Debt free with cash- and he can do this- puts this hour of the ramsey show in the books are thanks to James child, then hill austin, selby, the whole crew and they're keeping the show afloat and you america. We appreciate you tuning in we'll be back with you before you know it. This is the ramsey show the John doe loan he co hosted the ramsey show. Did you know over eighteen million people listen to the ramsey show every week a lot of those people listen on one of our six hundred plus radio stations across the country to find a station near you go to ranger solutions, dot com, slash the hey! If you're a fan of this podcast we've got more where that came from. As you know, at ramsey we're always looking to protect our listeners from scummy companies, slick marketing and money myths, I'm george camel host of the fine print where I do the research for you to help. You rise above the system, that's designed to keep you broke and in debt so that you can become confident in your money. Choices check out the fine print wherever you listen to podcasts, hey, it's james producer of the ramsey show. This episode is over but check the episode notes for links to products and services you heard about during this episode. Thanks for listening,