Home Forums Hunting & Shooting Hunter's Campfire Dave Ramsey's First Baby Step - Save up $1000 Emergency Fund

nem Clancy’s down nar at th Aldi ain’t bad 😃

I think the campfire should pitch in a purchase the Ramsey course for Big Stick..... he is the poster boy for what not to do... hahahahhaha

Yes, they do, and most won't listen. Next time we have a serious recession or depression, watch what happens. It will be a disaster for the majority. They'll lose their jobs, the unemployment funds will go broke, and they'll have nothing left to buy food or pay bills.

I think that's Suze Orman.

One thing to remember: Half of the population is below median intelligence.

Some folks need the basics, repeated loudly and often, in order to learn and maybe put into practice. Add into that some moral or emotional accompaniment to make it stick better.

Of course, self-identified smart folk can get their financial jimmy in a twist, too.

What does the Great and Powerful Oz Ramsey have to say about Golden Corral and CiCi's lunch buffets? OK if you don't put them on the Visa card? Good only if you clean your plate? Best if you can find a roach and bring it to the attention of mgmt and get the proverbial free lunch?

Geno

Yes.

But how much does that matter when one is going to drive the car until the wheels fall off?

Geno

Everyone has a different relationship with money and a lot of that is passed down.

My folks didn't pass down much in the way of that relationship.

Our family is not on the membership rolls of the 1%.

Geno

I tried to make the sarcasm obvious.

Most of it is common sense. But most don’t run their finances with common sense. Most folks are broke even if they make a good income.

Some of it is less obvious, I’ve heard Dave say some things that didn’t initially make sense to me but if you think about it, it would improve most folks situation.

Like the concept that available credit results in folks spending more money. Pain association with cash spending. Finance a boat, sure 50k on payments are easy! Cut a check for a boat, dang it 25k is a lot of money, do I really want to spend 50k? Maybe but 25k is a damn nice boat..... most folks will spend less with cash. Buying a car with zero % interest when you aren’t in a position to pay cash (meaning you can’t afford it) results in the vast majority spending more money than they would if they bought what they could pay cash for. Or using credit cards instead of cash - you spend more money. Actually Dave says you shouldnt buy a new car at all unless your net worth is 1 mil+, but he also says new cars lose 60% of their value after 3 years. general rules of thumb - my tacoma retained 60ish% of its value after 11 years and I don’t thinks it’s a bad deal to buy new (but cash).

I don’t follow it all but the advice is good, most folks personal finance is a disaster.

Not much other than this is one hellava good deal for $8.93!!!!
LOL!!!

It's cool that Dave says new cars lose 60% of their value in 3 years. That's not an issue for us, as we plan on owning it until it basically has "no" value. I really don't give a hoot if the car lost 100% of its value when we drove it off the lot. At the 0% interest we bought it for, it made more sense for us than taking money out of savings, given what the return on investment has been the last 3+ years we've had the car. We're keeping the car anyway, so we have no interest in how much value it holds. It was purchased as likely our last "new" car in retirement.

We bought a Toyota Matrix at 2% interest, decent down payment, in 2003. It's sitting in the driveway as I type. My investment account then was pulling in nearly 10%. That car has depreciated substantially I'd say, except it still has value for us as a daily driver, good weather, low insurance cost, low maintenance/high MPG vehicle that keeps the miles down on the new car.

The new car was a necessity as my wife was relocating for work to an area that has seen snow in every month of the year, ,with freezing night time temps a regular occurrence from Sept until June. The Matrix is 2WD, so we wanted to get her an AWD with newer safety features. And we hadn't had a new car for 13 years +, and we needed a bigger vehicle for the dog crates as the Matrix types no longer fit them due to changes in body style.

Where did I go wrong in getting my wife (and myself) a new vehicle, at no interest, while our savings is still earning good money (7%+ this year I think), she was safer driving into work in bad weather, the oil changes/maintenance was tossed in with the deal for three years, and we have a car that's going to last well into our retirement.............maybe until we no longer can drive?

Dave, and other financial experts have a lot of good ideas, but sometimes their ideas don't fit everyone's needs and wants.

Geno

#1.
Ran into that many times as a army recruiter for 3 yrs
(people with useless degrees)

Join up as a e- 4 with your 120 credit hours on your transcript.
4yr enlistment.
Pick your job and options.
Unca suga pays off your student loans up to 50k graduated over those 4yrs.(probably more now)

Elect to get out.
Reenlist.
Stay enlisted move up that food chain
Change your enlisted job move up that food chain if ya aint locked as a e- 6 to your intial one by then.
Apply to go to Benning Boys school/OCS cause you already have a 4yr degree in place and get commissioned as a 2LT with prior service pay scale.

Lay it all out to em.



They would rather default on the loans, collect welfare, or live with mommy and daddy.



50% of civilians in this country are leeches on the taxpayers nickel....

We have an '04 Pontiac Montana 7 passenger minivan. I bought it from my mother when she gave up her license in '07 and have put 140k on it since then. It's got 210k and is still running fine, getting 22-24 mpg and using almost no oil. I had the tranny rebuilt at about 120k. We don't use it for long distance travel anymore as I don't trust it but it makes a great runabout to save miles on our newer car and pickup. I'll run it until it falls apart. It costs about 300-350/yr for tags and liability insurance.

Dave presses folks to get rid of debt. Consumer credit debt.
But there is such a thing as "good" debt. Solid mortgages for primary residences being one.
When assets are such that a consumer debt can be covered 100% at any time during the term, it is a different ballgame.
But carrying debt, even at 0% APY, is a stressor one can find ways to avoid.
Debt free is a big freedom. Big.

Lose debt, watch assets and cash grow!

I paid off the mortgage in '07. 13 years debt free. It enabled me to retire earlier than I'd planned.

he says if you weren’t a slave to car notes, you could have more money at the end of the month to save for Taylor Swift show in New Zealand Like Duh!!!

There's nothing that people enjoy more than talking about others spend money.

I could give a crap.

I'm just glad everyone is keeping this economy booming.

Was one gal on that show once, she had 100k in student loans for a music degree.

She was making $600 a month playing 2 operas in the symphony blowin a clarinet

I believe he told her get with it and start delivering pizzas in the evenings after she found a day job.

Kind of hard to argue, with the concept o being out of debt, being financially responssible, and living within your means. Those that nash their teeth at that are usually in the worst financial shape. The borrower is indeed slave to the lender,even in 0% car loans. Quit making those payments, and they will indeed come and take your car back. Own it,and nobody ever will.