Make Hard Decisions Now So Future You Can Win

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The Ramsey Show 2h 7m 7 speakers 7 chapters transcribed 1 month ago
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What is the opening introduction and sponsor message about?

Dave Ramsey 0:04
Brought to you by the EveryDollar app. Start budgeting for free today.
Dave Ramsey 0:15
Normal is broke and common sense is weird, so we're here to help you transform your life. From the Ramsey Network and the Fairwinds Credit Union Studio, this is the Ramsey Show. I'm Dave Ramsey, Dr. John Deloney, Ph.D. in counseling, Ramsey personality, number one best-selling author, host of the Dr. John Deloney Show, and regular driver of cars, is my co-host today. Is there anything you don't do? I'm just saying, after that introduction.
Dr. John Deloney 0:40
If you ask my wife, there's a lot I don't do.
Dave Ramsey 0:42
Phone number here, 888-825-5225. Thanks for hanging out with us, America. We're glad you're here. Candace is in Spokane, Washington. Hi, Candace, how are you?
Caller (various callers) / Multiple callers 0:54
Good, how are you?
Dave Ramsey 0:55
Better than I deserve. What's up?
Caller (various callers) / Multiple callers 0:57
Hey, so we have roughly... $75,000 to $100,000 of debt. About $25,000 to $30,000 is credit card debt. And I believe the rest is in a car loan. And then we outright own our home. And we could sell on the market today for about $850,000 to $900,000. It was an inherited home. So I was just curious if that is a direction we should take.
Dave Ramsey 1:27
No.
Caller (various callers) / Multiple callers 1:28
My husband made... No, okay.
Dave Ramsey 1:30
No. You sell the car.
Caller (various callers) / Multiple callers 1:31
Okay.
Dave Ramsey 1:32
Or both of them.
Caller (various callers) / Multiple callers 1:33
Okay.
Dave Ramsey 1:34
You bought stupid cars you can't afford. You didn't buy a stupid house.
Caller (various callers) / Multiple callers 1:39
Yeah. So the car, I could sell the car.
Dave Ramsey 1:42
Good.
Caller (various callers) / Multiple callers 1:42
The blue book value on the car is about $30,000 privately sold, and then it's probably about $22,000 if you were to sell it just as, like, going to the dealer, and they would tell you how much to sell it for. What do you owe on it? The what?
Dave Ramsey 2:00
What do you owe?
Caller (various callers) / Multiple callers 2:01
We owe... Oh, I'm sorry. You could sell it for $30. We owe $44.
Dave Ramsey 2:08
Oh, okay. So you're $14 in the hole on the car. Oh, God. That is stupid. Right. Okay.
Caller (various callers) / Multiple callers 2:12
What kind of car is this? This is a Volkswagen. It's a 2025 Atlas. Wow.
Dave Ramsey 2:21
You just gave Dave an aneurysm.
Caller (various callers) / Multiple callers 2:22
And I have... I know, I know. It's ridiculous. I'm definitely not opposed to selling the car. My only thing, the only thing is my husband, he makes a certain amount yearly. And so we just have to be able to budget for that, for all of what, you know, the payments we have with his monthly income.
Dave Ramsey 2:47
I don't understand what you just said. It should be easier to do what you just said if you didn't have a car payment.
Caller (various callers) / Multiple callers 2:56
Yes, it would be, but we still have monthly payments coming out outside of the car payment that add up monthly, and that would take – go ahead.
Dave Ramsey 3:09
It doesn't – it would be easier to do that if you didn't have the car payment. Everything in your life is easier if you didn't have a car payment.
Caller (various callers) / Multiple callers 3:17
Okay.

How does the couple’s car loan and house‑sale dilemma get introduced?

Dave Ramsey 3:18
Is that not right?
Caller (various callers) / Multiple callers 3:19
I mean, mathematically? Yes, that's correct. But what if you take the car payment out and you still are living beyond your means? What's your household income? So it's about $4,000 a month that he brings home. And then we have... Our kids are in a school that we pay for. And... It's a private Christian school. I think that costs roughly between the two of them. That's over $1,000 a month. So I think that's about $1,200 a month. And then we have groceries.
Dr. John Deloney 4:02
My big concern for you guys is... you're sitting on this um big house with this evaluation that the internet gave you right and but you've got symptoms you've got illnesses underneath this and we've seen this time and time again you're going to sell this house and you're going to get a bunch of equity you're going to pay off these cars you're going to pay this off and then your your family is going to end up in another place And y'all still haven't practiced living beneath your means. And so the issue will still be there. What y'all aren't dealing with is the math problem in front of you.
Dave Ramsey 4:43
Yeah. The thing I hear you saying, and you're on the radio, so it's not fair to you because you're nervous and I don't want to pick on you, okay? But the way you're forming your sentences and talking about this, it's as if you guys buy things and make decisions about school tuition and these other things that as if the decision doesn't matter compared to your income. You have to make decisions within your income. Let's pretend the school tuition was $8,000 a month.

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