From the headquarters of Ramsay solutions by gas dollar ripple studios, it's that day, Ramsay show that is down casual gang in the mortgage has taken the place of the Bmw status some day, Ramsay or Hose view job animals other by your life. Your money, it's a free gall, a triple eight, eight to five five, two to five, that's triple eight, eight to five five two to five Chris is whether in Wichita Kansas starting off, there's our high Chris, our you,

my day, thanks for taking my cup chirp. How can I help my question saving for a comfortable retirement and you have a certain formula you should use as to how much you can withdraw withdrawal out of your retirement savings and the percentage wise. Run out of money and what is your formula for or setting up a comfortable retirement? Well, you need to be able to live on less than eight percent of your nest, egg, if figure egg is making twelve ok I don't know, I don't know what your nurse data be invested in or what you're doing mine is invested in real estate and in It grows stock, mutual funds, so the vast majority of my net worth makes me in excess of well percent a year, show in my case I'm making two percent a year. Now

when I got to everybody and politically everything's and invested in ten indifferent. Each time I had heard the formula with three and a half percent, you could withdraw, bring it up. Here's the thing? Ok, if you're making twelve and you of eight you left for America. You right, ok, never going to touch the nest. Egg, gazed on average some years you might dip into it, you might have a negative year. Other years. You might have a positive ear, but on average, over twenty years, if you make twelve and pull of eight years, Stake is not only not going to get destroyed. It's gonna grow by four percent a year. A great If that's true, now what you got: those manager and zone and watch what you're doing so that dont consistently withdraw more van it, growing. As long as you withdraw more than it is growing

the three and a half percent is completely bogus unless you're so stupid that you ve got your money invested in the tube cds or something which would be ridiculous. How's your making more van you're taking out you're, ok and the former I came up with. This issue is very primitive. There's nothin rocket science to there's really because inflation has run for the last seventy five years about four point: two percent average. Ok and so if I let my money grow by four percent a year, I get a cost of living raise every year. Those are the sole that's Russia, whatever it's making up, pull off for less than that, and I'll it'll I'll always grow. You know, I don't have a rate of inflation is. If your nest egg is four percent bigger next year it will produce percent more money. Correct, you stay and with inflation and that's the holiday and you can play with the ottoman you can run that more conservative. You can run more gradually. We can do whatever

the truth is? It depends on the size of your nest egg as to how vital this becomes. Just as it has taken five hundred thousand dollars, you gotta be very careful. If this as a realistic is fifteen million dollars, you gotta lotta wiggle room in this year. It just depends on where you land and that to an end If you're. In our view, if you're trying to retire on five thousand dollars and that forty thousand dollars years eight percent, you gotta manage that puppy down the nub, you got away which arise Zactly there and not tear the big thing don't pull out more than its growing. What you, ve got it invested in and, and I like to pull off four percent less than its growing I kissed me breaking even with inflation, if you pulled out five percent leisure sent last autumn care live on four percent. You can't you live on three and a half of you want to make an dwell the things going to continue to grow pretty aggressively again you might not need all of that for you,

just let you ride like made mine, I'm workin. Now a man. So my network is continuing to grow but tire amount, but I'm not touching it. Earning an incomes to living off the investments that are so they're all just snowballing in the right direction, so that that this theirs much too where you are in particular as to how that works. But the big deal is: don't pull off bill Mr Big enough, that you do that you can live off of what it earns plus or minus four percent, less Generic is whether such Saint Petersburg Florida high Jeanette, our you. I'm getting you better than I deserve. What's up, I have I am. I will only not inventing two more years at the end of two thousand and twenty,

I believe- and I have been using my alimony or to pay my experiences. So I needed- and I found that I own I don't know anything uncharged cart anymore. I had made it all off one, how much? What's your income, not only alimony, My income as political future pointed out Can you not live on I'm twenty? and I bought a house- is the I had a mortgage of course, and I am a rented car and are not of any part of these car. And I don't wanna be upside down, so I am concerned about what to do so

The one. I ask you a question about whether you live on forty two thousand. What you answer me with was all your debts, Hence I am sounds like you need to clean up your dead right, yeah yeah. Now, how old are you up? I'm fifty three perfect and how much do what's this car worth The car is worth twenty a thousand, and I owe twenties was entirely the childish car. Well, it's me We need to show the car? Ok I'll, get you car you can't afford you can't afford it. Furthermore, car, when you make forty two thousand arguer them, found that doesnt work doesnt pass the fort. Read my smell test search on the insane column you got a car, the five or six seven thousand dollars. You pay cash for it. When you make forty two,

our year and that's the until you do got my begin? Afford graphic or the judgments have, even if it was paid for and how much is your mouse arraignment eleven hundred change sure take on pay from teaching. They do not every week, thirty, six hundred so one third of your campaigners. Is your house payment? it's a little wretch? It's not enough to force it to sell it, but I have to say, I need to do some things to get my income up.

Other than alimony. You been rottenness alimony is a crutch and at you looked up and saw it's gonna internet scared. You and it's gonna scare, you straight, which is good to top up the credit cards. Let's get the car. So let's get out of that because we in any payments but house payment, you can make it on your teacher salary and you can prosper, undertaker, salary and work towards getting their income on alone. I'm gonna send you a copy the book the total money make over. You desperately need to read every page of that and do exactly what it says. This is that I've Ramsay shout

over the years, I've seen so many family suffer by not having life insurance. It's not that I didn't care, it's just that they didn't know. So they did nothing. That's a huge mistake, listen husbands and wives moms and adds think about it. If you died, how is your family pay the bills, the mortgage food and plan for a better future? This is what life insurance is all about, and term life is the only way to go. It's not expensive and it's not complicated. I only recommend Zander Insurance and I have for over twenty years, call them at eight hundred three five. Six forty to eighty two or get instant quotes online at Zander dot com.

Johnny has Americans lead. You are here also involves the Tripoli eight to five five too few via bills. In Richmond Virginia, I build our you Can I were wherein baby number two? Ok, we ninety seven thousand dollars on a line of credit and waved it had one of those life where my car is now made of it, message by working out. Nowadays, it costs more than could a transmission open. It's worth it worked so right now, when it my question, is I've looked at the Kaiser. Why someone I like last night

two five hundred dollars it on a prize Should I borrow my line of credit to you I could then, when you need to go back and forth. One left my place So you have a thousand dollar saved. And what your household income? You have some now one sixty five one, ninety, while great income, and you have two cars or one who cars for months now translation problem right right. I got that ok, but you're real life as a car right, yeah. Ok, Does she work outside the home? Ok, and I'm coming, here's the thing Certainly the world is gonna come to any other, stop spinning and access. If you go bar five grand make an hundred sixty five thousand on your way out of that right, but there

something that happens in psychology in the emotions of what we're trying to do that that the that's kind of fallen off the wagon, and so I if I'm in your shoes, I'm gonna for worse some unbelievable, discomfort for a very Short period of time to make up wait to myself that I'm What's that So it's way what sharing and I've done many many times in our lives, in other words, what we see is we don't borrow money now? How do we solve this problem? thank you draw that line in the sand and you chisel that in stone, then how do we solve this problem? Will you make really really good money and so you can have. If you stop, everything you can,

of two thousand dollars three thousand dollars next Mart right and left. So I mean I don't know you you parapet. Car for a moment, you really, a car from below from dollar for a month, which would be, three in a box or somethin right, you got that. And but if you just said, I don't have the option borrowing money, because a borrowed money then how what I saw problem? How would I scan this care right and that's what what's been, so freeing the sharing and I for so many years, because we ve run into stuff. Like you re into over there's a lot of stuff. We wanted the doing, couldn't do right, Danner. It was really uncomfortable or whatever, especially in the early days of doing this stuff, which is what european. So you can see.

We do whatever you want, but I'm gonna advise you to take some kind of an uncomfortable. Convenient. Methodology that caught because I don't see anything convenient, are comfortable. That's gonna! Allow you to have a car tomorrow, and so on two things come to mind is a pair up in one car or rent a car for a month or if you gotta be eyes. Your grandmother, gotta cars, shit and our driveway. Ninety percent Tommy borrow it for for three weeks, I mean the kind of money you gotta make in one or two check you can have three or four thousand dollars. If you everything social, stop your debts ball, stop everything. And we're gonna, go solve this emergency problem. We ve got oh by the way, your car sales without a transmission in it for fun. Six honour badgering as some kind of money out of it salvage and that goes The territory is certainly an emergency. You can use a thousand this lying there

and then we start again a wee bit by bit up one thousand dollar saved, and then we start back on the debts Lobo that's what I got. I advise you to do because something's gonna happen inside of euros. Relationship inside of your behavior and cause you said, we don't do this anymore end That's what I'm more imaginative and that's my reasoning because, every by other loosely here's the thing We solved so many of our problems that we have with that that it, becomes normal. And everybody in that. Consequently, rushbrook so we somehow have to grasp something snaps down inside of you now, Germany never choice. We went broke you guys listening. You gotta choice I mean bills got choice. He can go either way and nobody's gonna call you. Better crazier whatever, but you know

you could go the way you could you go, get the fifty five hours and then deterrent payer. I beg of you, you you'll be ok to do that is not the end of the world, but there's something to be or something you acquire in your character, the you acquire in your spirit when you, I'll do anymore I'll do that anymore. And there's not a circumstance under which I do it. We figure it out and but that's what you're facing I've had lots of stuff. I didn't do over the last thirty years quit borrowing money, because at another money lots of stuff is always something that's my opinion. So is just one to think about, because its spiritual, philosophical discussion, more really, then it's a math discussion for your bill, good good comment and oppression. Your spirit on this Mary is Weathers marries in Dayton, Ohio, high Mary. How are you

I am new and how are you better than I deserve? What's up your woman about you, ass, if we take out a mortgage to invest in the market and that got me thinking and I kind of have the same situation, I'm wondering if I should pay off my mortgage and get out of my brokerage accounts, but that would only leave me fifty six thousand dollars left in the brokerage account and how much money do you have other than your brokerage Rico I have a few annuities inside the security that I'm letting off and how much is in nobody's seen what the Trans America is a hundred and forty two thousand and prudential is ninety four and broke budget as a whole Yes, a hundred and thirty six thousand hours due to the markets that one getting scared

They make it out. How old are you a sixty three and you're completely retired yet, Ok, I've never work. My life is I live life totally opposite from what you teach so now I'm trying to get together, and I hope You all know, after all, we know is learn something. So let me say that now I got this learning. Ok, this is my husband's passed away. Savvy annuities are his for awhile, k in his tension, and he says the security, the widows benefit, so the social Security and the money coming from the annuities. Do you. Can you live alma? we can buy if you deny Alzheimer, triggered, live on an easier yeah. That's where I pay on a pair of our house today.

Even our only leave me the statistics there and that it can have no early leave leisure with three hundred thousand. Counting all the annuity you know. Ok, I see you're, saying. Ok. Enjoy brokerage account as is down lower, but show what and that broke the council's, like its have lasted pretty aggressively, which you may want to down with someone an understandable but better, which are invested in there no John replanting stocks are now you shouldn't situation, and that sounds like that's what they're doing with this matter down one of our smart, MR prose, and talk about investing that money. A little more conservative late. Then wait is now

how gymnastic that you just have to look at it and think about that, but I pay off your house today and then make sure your own budget, kid I'll bet, you're living on the money that you got company, but without a house payment. I think that marginal start to work again, but you get you can't be spent more than you make you're, not in Congress, so you gotta behave. This is that I ran to show.

The lobby is called we in Wales, where those guys our view, while the community wielded Sherman taxes, Sherman taxes will welcome to Nashville and always to do your debt breach green. Yes, yes, sir! Well, congratulations are much of you guys paid off. We paid off seventy seven thousand in

for months, a rather good for you and I work on a range of income, or you know that we are about sixty five and then were we're coming up on a hundred. They interfere good for you. What do you do for a living firefighter paramedic in plain on taxes- and I am currently I stay home life love it good for you, stop what that was the seventy seven thousand. There is little bit of everything and we got really lucky. We don't have any credit card tat, a way student loans, both of our cars and quite a bit of medical bills on my part, but we were able to knock that out and as well as the seventy seven thousand, we cash flow. Thirteen Ryan for our wedding. During that time got married in the middle of their. There wasn't an option to stop paying off that. While we say that for the wedding it was, we didn't even any discussion. It was we're gonna keep paying on debt, we're gonna save for the wedding and then when we were done, we gotta hit it rural hard and Pierre S shallow you married to

figures show of the. Almost three years, two and a half hours restarted six months before the wedding boom get married and game on the other and even impose it was. It was that we need to do that. Let's take a few here, let's get married much like for you you're a real romantic. No, I said I would ask all my knee here's years. Probably do you gotta get out of my gosh so who have most you're probably meet with Lydia Cars is doing loans. Look I had somebody was paid off before before even mad actually saw chuckled. We want got you so far up about those that it's part of your whole story. Male might map data for you when I was maybe a freshman and I school in middle school, how you're you're financial police- maybe I am so. I saw a little whether that growing and just

I don't like paying a whole bunch of of my income towards interests? Going did nothing are naturally tight in recent years, you that was that was big in during our whole relationship are just noticed. There was we handled money differently, and so knowing that that money for problems is the number one cause of divorce hours like that's something that that we can. Take care of and not something that which is. We should start from beginning through the financial, regional, firstly, glass, premarital, remarriage counselling. Sooner good for you for you, so now what you ve done, it you're dead for well. The first thing you did in your marriage pay off seventy seven thousand over that. That's so impressive, you're out of your well done now that you ve done it tell me the key to getting out of areas I would say, not giving up. We I'm twenty six and twenty eight, and so for the past couple years. Paying off was more

people are aged. Think it's just this trudge of we can't ever see our friends and we have to give up literally everything and in some aspects that's true. You have to sacrifice, but if you want a good reward and then, of course, we cannot sacrifice and winning without paying how absolutely so we knew that going and it was difficult discussions he's a social butterfly and I'm not his friends were text him asking to go out for a party or birthday party or this or that we had to say no a lot. So that was That was a really good eye. Opener, that you know it's a short term, we give you this thirty four months. We did it, and now I mean we just got back a month ago from Mexico we spent a week there, for no problem. We was our first occasion, look you we got. Did you really fun stuff and we're not even thirty, so it's don't give up and I it's hard, especially when you're young and you wanted the often suddenly, all your friends are doing

but you haven't yet greater purpose is live like no one else. So later you can live and give like. No one else has the andalusian do that for for the nerds out there I was like you said. I am naturally tight budget, even if it were up to me, we wouldn't have bought anything that wasn't a necessity during the whole time in and if To do that, she would hate the plan and wouldn't want to do it, and we be where we are now so given So there is a lot. We sacrifice you now I would say: ok, yeah. We need socks. Let's get out of the room, and so we would. We would put more money in certain categories. Is she said, hey we. We need this stuff and by me doing that in agreeing with it that it allowed her to enjoy

this plan and well what s interesting is a brand new married couple: women you you'd now combined your value system gas instead of having to separate lives which a lot of people do most of their lives instead. Now you are what the preachers, and now you are one and because you you work through the given take, and I got ok, I get that. I get that and theirs is respect for you, this position, but also we both respect the goal that we went for the girl. Yes, learning communication was huge tail because I mean, of course everybody their little NIT, picking fights in marriage and biggest budget fight during the. For much I wouldn't say, was a fight but a big disagreement or something it took a while when we almost everything we had her car left and I had a nice if one fifty trot It was my first love. I had that if a month before we met, but I was looking at you- no cars that she

Dr, if we were to sell hers because we're upside down and I had a brand new cars while also looking at that, I was I was asking her to sell it. She's like no I don't want to sell at car. That's you know we're getting worse card repairs and other social flap, and I thought what how can I ask her to sell this car that she loves and I'm driving at? one fifty that I love and so like a case I sold. I saw that and I bought a two thousand ranger

actually named Ramsay Papa Day gives named after the no loan ranger. We got that and then she's like ok, if you're gonna do that also mine, and so we owe we, we bought two cars with with that's sale, my truck and then we ll have sworn your friends. Let you lost your mind? Yes, because he had this really awesome truck, and even with this, some milk, like my grandpa, would be driving, and so it was really hard because I thought my thinking, I think a lot of people to going through the plan. Is a really nice car. Why would you sell it? You can keep it! You can put miles on it. You can you know it's! It's good value to hold its value, to resell, good all that stuff, but does not about who am? I bought a two thousand thirteen Nissan that fifty thousand miles on. It is amazing. You gotta make a hundred thousand dollars a year,

home and you get you normally payment. You could save up about what everyone DR right. Now that's right so right now we I'm a big reason of why we wanted to do. All of this was obviously for stronger. Bear attending in the fire service is already a big anger if you will in in marriage and all of us that could go wrong, so I wanted to make, That was strong and stable, but also just to do my I have for settling so with my family was you know, parents worked really hard, but sometimes you know could have made more of that kind of thing. So for us it was night not having to worry about that at all. Do born whistling nor right and also saving up. So we a lot we'll talk about saving, are waiting until their done with all the steps to to have a kid if they dont have any yet in some people would do when they're going through its veto to you, that's between you and God, but for us with what we

experience in with family members and friends. We wanted to make sure we were in a good position for we did decide to have a kid that it wasn't o crap we're start saving? Now it was just pure joy of getting the saved we, actually are fifteen weeks so we did is we were done That we wanted to go and get this next part of our lives. So, while the big announcement look at that, now, though, brow reaction can stay at home and we won't have to worry about cars. Counted down. Let's hear your dead free scream. Three too,

I love you guys. I love it. I would love it is the day Ramsay

what size Abrahams LISA? I gave you a better than I deserve up three kids. When David approach they can get money for family members need to speak directly into your phone, we're having trouble hearing you I'll pay you this ban, Yes, MA am thank you. How can I have three kids? I seven one and it

They get their from family members. I just feel like I'm moving so many opportunities, because I dont know how to teach them about how to use that money properly. I just came to him to him, and then they wasted men. I realise that you know that was that of the government. That I think the word or even start with that age welders Three things really for things. You want to teach kids about money, Obviously, gifts meant narrows down to three, but the first thing: gonna teach kids about money. Is that money comes from work and they do chores I get paid under chores had occupied the Ark Israel, commission they weren't allowance. Applaud your question, but that's thing one than once they get money and will apply that to your question. There's three things you do with money: you can give it. You can save it and you can spend it. Now at our house we did not require our children give money away. That was, even though they are for Christian

over a birthday did not require that they save all of it or something like that. The truth is that a three year old and one year old have actually know cognitive. Ability to grasp. What's goin on anyway, so you just make the decision. What I did there was they needed a toy or somethin. Then we and other money, I what Obama toy out of that money, but otherwise I was put in their savings count. Dump it in their because somebody there don't want a car and I'm gonna start their low car fund with some Christmas money, because I don't need anything else. You know one, but if you want to get em something out of that, that's fine and spend it on them. That's one of the seven year old. You can start to help them, make some decisions to say only some of this money. You need to save from your gift, some of this money. You need to buy yourself something with and then you the opportunity, when their buying something at seven years, old, even five years old, sometimes up to twenty five

the opportunity to teach them how to buy things. Properly, in our bindings of quality that are gonna last by them throw on sale. Now save up and held by haven't made by a good one instead of a cheap and it's gonna break- and you know, when you just talk through, you know the value of a dollar so to speak and help them learn how to do wise purchases. And it can also If you create a few teachable moments, it's not quite ass powerful when it's a gift, but it, I feel like emotionally that they worked to get the money. Oh now that being given being saved orbit. Spent wisely that really reaches down into little hearts and you know it and touches them and changes them. So we have a box of Teaching AIDS called financial peace, Junior,

it's it's got the three on below senator give em a low per se bumble open to spend on Bio. It's gonna try board for the refrigerator. That's a little dry race board that commission work. She right. If you do your cup during your Georgia, you get paid commission and I give you one of those for Christmas. Ok, You might get that out and look at it and enjoy it and use that to teach the kids in a further goes: to what I'm talking about here, as well so high thanks for the call. Michael, is in Odessa, Texas, hey, Michael! How are you Yet there are no better than I deserve. What's up I was just calling to ask you what you thought about investing money through your personal bank, like whoever your personal bank. Is I bank with chase? I just want to know what you thought about that or if there was any other ways that you could suggest that I invest

about a hundred to four hundred dollars a month and in the long run them me I'll, make more money for itself absolutely where you would open a good Roth, I array and some growth stock sure funds that are gonna grow over time and would never do my investing through a bank ever I wouldn't get my muffler fixed at the transmission store, either. Regarding the same thing. So what I would tell you to do instead is just click on smart vaster. Dave Ramsay, dot com, I'm not in the investment business. So I can help you but I have to thousand where's around America that our team has vetted and has come through to get that have the heart of a teacher that will sit down with you and all they do, investing help, they don't trust, your credit card or make your car long? All they do is investing hill and that's

problem with using my like chase, I would never use broke out broke count. There's somebody like trace ever just sit down with someone that that is the whole business is broke region, helping people do investing and if you click on more misery, put your info in little drop down list of the smart, MR prose there in the Middle and Odessa area, and you can pick which one you want and so on. Shut down with them and they have the heart of a teacher and you'll, understand and learn and go through the whole thing that. That's that's what you're supposed to do Chris, is with us in Houston, Texas, ichorous. How are you we're taking my wife and I call church, so we I guess we're in a new situation here we're in our life forties. We have no mortgage, no car payment know tat. While we have our rainy day find funded. Way to go, but thank you.

I have to admit that it wasn't all them through ass. It became through the thirteen at one point and that they are really here. Just recently will off my life, father and- and he guessed at us, the arab inheritance. And a show We know we have no retirement to speak out and we have two kids and we only have anything put aside for their college in the the inherent around two fifty to seventy m If we want to respect the gas be responsible good. We don't know where to start what to do with it the other. We need to be a little aggressive about you now you don't do that either shall learn other you need to be aggressive, Valentinian conservative, I invest in good growth, start mutual funds inside my retirement accounts for long term, wealth building are spread across

four types of mutual funds: growth, growth in income, aggressive growth in international. What I would suggest you do now, certainly use some of this and put as much of it under Roth I raise and so forth is you can do and and not open a couple of five twenty pounds for the kids with the same exact mix- and you know you can dump Ten thousand dollars you can download next year and over twenty nine in most states sets out set up and maybe even more and how kids, my daughter's seventeen may or may not choose. The college roused by my son's. Thirteen most likely will occur will merely on me. I guess you know it in those yeah if she seventeen, as I point put, none of our twin antisocial- go which can be a year or so and is done and done serve any purpose to put it in there, because the only about about twenty. Nine is the growth from now on is tax free, so she's not know how much growth for she goes to school if she goes to school,

so the but shut down with a smart vesture. Pro like I was just on the lash young man and Here's the thing go, slow take your time. You and your wife do not? put money in anything. You don't understand put money in something, as I said, do it don't money in southern because I broke adviser said. Do it my adviser said: do it do it because you understand it, may you have to get a masters degree in finance. The good news is stuff, not that complicated and you can learn it, but take your time and have a sense of peace about who you working with and about you're. Doing do not put money in something just because you trusted your guy, but- but there are you understood it now. What you do with it as I would invested in mutual funds. It you're in

the case, and I would add your mark some other for the kids in some other for retirement, some of it just for wealth and smart. Mr Pro can help you do that click, smart, restaurant neighborhoods, you don't come again, it'll drop down list and you put which one you are surrounded the working document interview if you're, what if you get a bad feeling leader of money when you get up with people and you get a bad feeling, take your time and understand it. John D manage this money. This is the day. Ramses, hey it's how he says he producer and found the neighborhoods yourself. You, like your deputy screen, live on the shelf, make sure you visit Dame Ramsay dot com. Why so had registered library to come and ask today here story. Make more money doing what you love check out: Christie, rights, business, boutique, podcast crises.

Firing and equipping women to become successful, running their own business hand, Christie right and I help women all over the country, take their ideas and passions and Hobbes and turn them into profitable business. If you have an idea in your head or dreaming your heart and you ve ever wondered if you could make money doing it, I'm here to help join us on the business duty had cast where we are equipping women to make money doing what they love she described because european business booty podcast wherever you Lucian, Pugwash, page name's producer of the Dave Ramsay Show,