Dave Ramsey // The Good, Bad & Ugly

[@mashort07]

Dave Ramsey is the ideal Personal Finance 101 teacher. You just have to understand at what point hanging onto his every word is holding you back.

[@schrodingerssquirrel6973]

Sooner or later the student outgrows the teacher. No shade on the teacher, It's just graduation time

[@blikewat3r]

Mr. Money Mustache and The Mad Fientist are better (and FREE)

[@GenK1991]

exactly

[@travishawks7702]

very accurate. Dave's work is mostly for people just starting in personal finance or those who are really bad with money. Keeping it simple at the start is the best option.

[@Tmckay9250]

Daves advice is for mass auidence, its great for almost everyone but i concur i dont agree with his investing statagies. The simple path to wealth is the end all be all, and thats why common sense is not that common.

[@jrizzo3579]

I think Dave is great to get out of debt ...however his housing and investment advice is for a very narrow segment of people

[@masteryourkitchen-areyouga7237]

but they still work and better when what most peopley are doing

[@supersonic3974]

I was big into Dave Ramsey as a teen and college age. I even used his "Endorsed Local Provider" to start my investing journey. During my first meeting with this advisor I brought up the asset allocation that Dave Ramsey recommended and the advisor was confused and knew nothing about it. He ended up setting me up with high expense ratio actively managed funds, which I didn't realize the damage of until later. Then I noticed that the advisor had bought and sold investments without asking me or informing me and he got a commission on trades. This was about the same time I learned about low cost broad market funds and Jack Bogle. I pulled my money out and started investing for myself and never looked back.

[@karlpark8575]

Same here. My investment was lagging in balanced funds. I woke up and started investing in ETF and never looked back.

[@Executor009]

Dave Ramsey always says that you should understand how and where your money is invested, its your money, you should have asked even if the provider was deplorable.

[@jamescares9003]

I've followed Dave for 20 plus years, now at age 52 I have a paid off house, zero debt, 60k in a high interest savings acct, 700k in retirement accounts and right under a million in net worth while making no more than 78k a year. I too was torn whether to pay off the house but now having done so it was so worth it if nothing else for the peace of mind it gave me.

[@RossLemon]

That's good for you and awesome to hear. However, I'm absolutely not impressed with people who are only single digit millionaires in net worth only and they're 65 plus years old. Congratulations, you have money tied up in assets and you're too old to use it. Dave acts like it's some grand secret to put away a little bit of money into a broad market index fund each month when it's not complicated.

[@stevennevins6643]

I listen to Ramsey’s show mostly because he is entertaining. I never followed the baby steps, but did eventually follow his advice to get out, and stay out of debt, including paying off my mortgage. It really is a great feeling to not owe anyone anything.

[@JonathanReichel]

Yeppers 👍

[@ismaeljrp1]

I mean, they are baby steps. Not adult steps. It’s good default foundation.

[@dolphin-studio]

But there is also good debt, just because you owe doesn't mean it's bad. Just depending which type of debt we are talking about.

[@jbrumundsmith]

Dave will never ever ever ever ever ever admit he's wrong about anything. It's really hard to learn anything from a person like that.

[@jonathangamble]

check out the money guys, their philosophy is almost perfect

[@facelessman5362]

In my opinion DAVE is perfect for people who know nothing and are in an emergency situation. Then you “graduate” for the sake of a better term to folks like the money guy show etc.

[@wealthbytes]

Their system is awesome

[@francislagace1743]

Yeah I like them too ! Two true professionals…

[@stocksxbondage]

Agreed. They show you how to use your own critical thinking to fine tune a strategy for your own situation.

[@stevekrueger8386]

They're my favorite and I definitely learn the most from them. Jazz Wealth is a great channel too

[@jordanmadden7388]

Quite frankly Dave is the reason all of these tangential channels trying to provide more optimal strategies exist. His plan is also called “Financial Peace”, not “get rich as fast as possible”. A person that pays off their house fast will have peace sooner than someone stocking as much money as they can into retirement accounts that they can’t touch until 55 or 59. Both scenarios will make you rich. Dave’s plan will have you breathing easier, sooner.

[@erikrohr4396]

The only real problem with Dave Ramsey is that he calls people who deviate from his plan broke and stupid.

[@reybeltran1209]

@@erikrohr4396 He absolutely does not. He has clearly stated several times that he does not care if you follow his plan or not

[@erikrohr4396]

@@reybeltran1209 Have you heard everything Dave Ramsey has ever said?

[@reybeltran1209]

@@erikrohr4396 No

[@erikrohr4396]

@@reybeltran1209 Dave Ramsey defines "broke" as carrying a balance on a loan. When people do debt free screams and describe their former selves as having a car loan, mortgage, and student loans, he says "y'all were normal. Normal sucks". He says using a HELOC for anything is stupid. He described a couple that bought a house that had since appreciated in value before paying off their loans as broke. When ladies call in whose husbands are not following the Ramsey plan, if they have loan balances, he says their plan isn't working, and they're broke. More recently he also sometimes says it's okay if people want to do their own plan, but I certainly detect a condescending or sarcastic tone the way he phrases it. I have listened to the Ramsey show pretty consistently for the last 5 years or so and he generally disrespectful to opposing ideas. I'm surprised you disagreed with what I said actually. That's like... what he does.

[@hickok45]

Dave Ramsey has helped lots of people, but yes, the funds he recommends and his network of financial advisors seems to be a major source of income for him. Otherwise, his simple, smart, common sense approach would include the advice to handle one's own investments in a total stock market or S&P index fund, which virtually nobody beats.

[@jauntily]

Yeah! Hi @hickok45. I subscribe to your gun shooting channel too.

[@GoldenAura32]

100% @hickok45

[@mikesim8480]

Great, balanced insight from a youtube legend!

[@jimskatr103]

Holy moly! Hickok45 is here!!! That’s awesome!!!!

[@vinhsanity]

Agreed! I watch your channel too!!

[@oluwakemisolaakeju]

Most beginners believe that investing in crypto and stock is all about bolding till it rises, with the recent activities in the market and recession. We should know that long term price predictions are very difficult to achieve. It's better to trade short term and make profit.

[@henrymorgan142]

​@Darren Roman Wow, I'm surprised you also trade with Alice Lucas. She's the best at what she does.

[@alexanderdonald9167]

Trading with an expert is the best strategy for newbies and busy investors who have little or no time to monitor trade.

[@rodgerselliott3955]

From what I've experienced. Newbies who are not aware of how crypto truly works and wish to make profits from it, I would advise to invest with a professional assigned by a Trading company, It helps secure and minimize the possibilities of losses.

[@OliverJohnston-yl5nl]

​@Wilson Paul My experience with Mrs Alice Lucas is the best and over six months trading with her has been so smooth. Trading with Mrs Alice makes me fulfilled because of the huge monthly profits am getting from my investment through Mrs Alice Lucas.

[@AntoinetteSimon]

Great content. This is the kind of information that we don't get from most KZbinrs. I'll certainly be imploring her services right away..

[@JamieKingCS]

Wow…our financial lives are so similar. Ramsey helped me get out of debt…but after that, he left me hanging.

[@whodey2112]

I'm guessing there's lots of us in that boat.

[@donjohnson1416]

Sad for you.

[@tiagoj8020]

Left you hanging with no debt? You poor baby!

[@jasond6602]

He seems like a sell out. You know Dave is getting a kickback on his financial advisors. I would be very surprised if he wasn't.

[@sarsattacks]

@@tiagoj8020 I think the message is Ramsay is good at getting people out of debt, but his investment advice isn't so good.

[@RobNorton]

Very well said. I think most folks need Dave to wake them up. Then there are better resources available in regards to investing. However his path won't leave you "broke" but it will be more expensive.

[@jmnthe3rd]

Agreed. In investing "more expensive" means Dave and his friends charge a SUBSTANTIAL lifetime fee for what has the outward appearance of friendly, free, Christian, fiduciary advice for the public good.

[@jonkrispeterson6678]

@@jmnthe3rd Dave Ramsey charges people a lifetime fee? No very likely.

[@willfishing5605]

I believe everyone should do steps 1 thru 3...

[@Sean17768]

I took a lot of advice from him from a paying off debt standpoint. But where it makes your life harder, thinking you can do everything without credit. Everything now is run with credit, from renting an apartment to getting a good home or auto loan. Now I paid cash for my latest car so that one less thing to worry about. But you really have a hard time without credit. Keep your balances small and pay them off every month. There’s nothing more deflating at least for me, than to tour a really nice apartment complex, you love what you see and you can more than afford. Then they run your credit and you get denied cause you have no credit. Even if you can make the rent payment hand over fist and still save and invest. After that experience I was never going to allow myself to be humiliated like that again.

[@seriousfaith]

FPU was one of the better things I've ever done. I got out of debt and finally connected with how my behaviors affected my finances and for the first time had financial stability. Fast forward a decade or so, and I have a similar relationship- some of his advice is just cringeworthy. That said, every time I counsel a young couple trying to get a handle on Finance 101 and pay down debt, I send them to Dave.

[@djpegajoso5164]

A homeowner with a 3.5% interest rate who pays off a 100,000 balance on a mortgage 10 years early saves just over 20,000 in interest. If instead of paying off your mortgage, you invest that 100,000 at a conservative 5% rate of return, you'll earn over 62,000 in the same 10 years. There's certain scenarios where it makes sense to pay down your mortgage to improve your equity position, but usually investing your money is a better option.

[@LoriLWorden]

This is my favorite of your videos so far! Simple message but GREAT reminders. For the "pay the house off early" -- for us it made sense to refinance to a 15 year mortgage when we were reaching age 50. That cut off a few years from our mortgage -- which felt good -- and also ensures we will have it paid off by the time we are likely to step completely out of the workforce.

[@PenniP]

I live in San Diego and we paid off my house in 2022. It is an amazing feeling! My husband and I have sooooo much more freedom of choice! P.S. Now that money can be used for investing, donations and FUN! 💖 your content!

[@az21bob666]

Small cap and mid cap over the long beat the s and p 500. That why

[@Frank020]

​@@az21bob666which one I have small cap already.

[@ebelen1]

Love your statement that you’ve graduated from Dave Ramsey. I feel the same but without him, I would not have paid off my house in SoCal before the age of 50.

[@Camie2030]

Congrats!

[@rockford717]

I love Tae's other video about 'simple path to wealth'.. one the advices given was to 'avoid financial advisor'... which I agree 100%... all we need to do is to find 1 low cost index fund or etf (I personally like S&P 500 fund from Vanguard) and make monthly contribution to it...

[@rssmith289]

I enjoy your videos immensely.We also live in Orange County, CA. The prices of homes are obscene. We plan on paying our home off within 10 years if all goes well. Ramsey's advice of investing 15% for retirement and trying to pay off the home are lofty goals. California is a super high tax and cost of living state. We have to watch our dollars carefully living in California to meet long term financial goals. I also do not agree in abolishing your credit cards. So much is based on credit now. It is almost as if he is out to get those companies because he was not careful with the credit cards in his youth. If a person is highly disciplined credit cards are available for the convenience factor. It is very unlikely to find an apartment in Orange County without a credit score because most apartments are owned, managed, and leased by The Irvine Company!

[@jacquesmassard9226]

Ramsey seems great for people who either know they have issues with following a budget or have no financial education. which is most people but there are huge issues.

[@damiansokratis6928]

I'm so happy I made productive decisions about my finances that changed my life forever,hoping to retire next year... Investment should always be on any creative man's heart for success in life.

[@wilsonrichard440]

I agree with you and believe that the secret to financial stability is having the right investment ideas to enable you earn more money, I don't know who agrees with me but either way I recommend real estate or crypto and stocks.

[@benjaminocampo3359]

Yeah!! It would be more beneficial and yield more profit if you actually trade on cryptocurrency, I've been trading since the dip, I've made so much profit trading.

[@arktom7335]

I am interested to know more and invest in Crypto please

[@robertgreg6009]

trading is easier with proper guidance, especially from a professional, Newbies who are not aware of how crypto truly works and wish to make profits from it, I would advise to invest with a professional like Fergus waylen, It helps secure and minimize the possibilities of losses.

[@dorathystephanie7702]

Well, you are saying the fact. I invested $4,000 with fergus Waylen. and earned $12,000 in 7 working days.

[@LadyA728]

I too have a complicated relationship with Dave but we did use his program as premarital counseling and my husband and I paid off my student loans

[@denbo74]

Great videos and excellent channel. My financial advise to you is to move out of CA 😅

[@ryanarctor21]

Dave would say leave Orange county if you cannot afford to pay your home off in a respectable amount of time. I'm a 34 y/o Dave Ramsey millionaire. Started when I was 18. Paid for $580,000 home. No debt. I am free.

[@oldtomplatz8862]

My dad followed Dave and is now a multi millionaire

[@PowerfulMoneyHabits]

If u want to get out of debt- Dave’s ur guy. I started doing a budget and followed the baby steps in 2020 and 18 months later, became debt-free, including my house. As far as investing goes, look towards the ChooseFi guys or Rich Dad Poor Dad. I buy assets that pay me monthly- real estate and oil. I should be financially free in 5 years.

[@financerox]

I'm a big fan of cash on hand! Most people don't have nearly enough

[@djlowtek]

Dave is great for people that are terrible with money. If you are already good with money and not loaded with debt there is better advice out there.

[@krama017]

My MIL used to be an endorsed real estate agent and she said he takes half of their commission. So the financial advisor portion I'm sure also gets a sizable kickback.

[@billmartin1663]

Great video! I agree with everything except the mortgage segment. Regardless of where you live, home values are pretty comparable to income levels. In other words, a $1 million California home is no more painful to someone making California money than a $440,000 Nashville home is to someone making Nashville money. Getting out from under the last debt -- the mortgage -- is THE KEY to supercharging your investing. Until the mortgage is done, there's still some debt-bondage holding you back. When you OWN your home, you gain a whole new level of financial freedom.

[@pgbollwerk]

I would never use an investment advisor that’s not a fee based fiduciary. But I also agree that if you just invest in low fee broad index funds, you don’t need an advisor. =)

[@geraldinesangil2806]

Hi Tae. Thank you for all you do and for being generous in sharing your knowledge. Like you, I am grateful to Dave Ramsey as well except the investing part and cc use.

[@jasond6602]

Yeah, Dave is a sellout, but he did play a part in my financial journey. Just glad I didnt take his financial advice. Total US market index my whole investment life. I contribute weekly no matter what is happening in the world and when big dips happen I buy more. Im sitting pretty good now. I invest about 25 percent of my gross income. I have about 30k in liquid cash and my house is almost paid off 3% mortgage rate. Long term investing works for all the young people out there reading this. Thanks for educating people. You're videos are really doing a great service for people trying to learn about money.

[@jacksonbilly9979]

I love dave and what he has to say. But this is when its up to you to listen to diffrent people, read diffrent books, learn everything you can from everyone you can and make up you own mind. Learn as much ad you can and take everything with a grain of salt. I love a lot of what dave says. I disagree with a lot too. I also love a lot of what robert kiyosaki says, two diffrent mindsets completely

[@Tank-vi2dv]

I think the best advice is to start now and not get caught in analysis paralysis - start today.

[@TarmacSkin]

He makes finances easy. Once you master his teachings its up to you how far you can go. But everyone has different financial goals…

[@michellewinkleman3999]

I think if a person follows Dave, they generally won't end up in a bad place. So that's good, but I think everyone needs to realize when Dave's advice doesn't work for you. Debt is probably the biggest area of disagreement I have with Dave - just because there exist people who abuse debt doesn't mean it's not a good tool: 1) My mortgage is a tool to get my kids into good schools (because I paid more to live in this neighborhood). If I followed Dave's advice my kids would not have had the educational opportunities they have had and it would have changed the course of their lives for the worse. 2) My student loans were a tool to get into my career (state school, in-state tuition, GI Bill. Fully paid off about a decade ago). If I followed Dave's advice I would still be on public assistance because I would never have been able to pay cash for college. 3) My car loan was a tool to ensure safe, reliable transportation for my whole family (new car 6 years ago, paid off 2 years ago). If I followed Dave's advice I would still be paying through the nose for car repairs on whatever car I could pay cash for. 4) My credit cards are tools to accrue miles and save on visiting family. If I followed Dave's advice I would have paid tens of thousands of dollars more over the years to visit family. So in my case if I were to have strictly followed Dave Ramsey's method, it would have cased concrete harm to me and my family. That's why I have disagreements with the idea that Dave and many of his fans have that Dave's way is the One True Way(TM) and anyone who deviates from it is wrong.

[@Richie3Jack]

I go to Dave when I want to hear the most conservative financial viewpoint on the spectrum. He's kinda like my 'safety net' that when I don't know what to do in a financial situation I try to look for his advice because while it may not make the most money or make money the quickest way, it's not going to cause catastrophic losses. My experience with Dave is that I got out of debt using his techniques without actually knowing they were his techniques (i.e. debt snowball). I just thought the debt snowball was a smart way to cut down debt without ever hearing Dave talk about it. Years later when I first heard Dave and him talk about the technique and labeling it the debt snowball, I could tell from experience that it really works. Problem was that I also got rid of all of my credit cards and my FICO was trash when I went to apply for a mortgage. However, I was able to turn that around in about 6 months by taking out 3 secured credit cards (something Dave is vehemently against) and used them to pay bills and kept the utilization rate about about 10%. Going Dave's way would have kept my FICO score low and I wouldn't be able to lend, but it would have also kept me out of any possible credit card debt. It's basically what you get out of Dave's advice.

[@rollakid]

I listen to Dave Ramsey daily, it's great for learning a few things but it's also important to use your own judgement to find the best method for you that matches your values. For example, I like all his steps except getting rid of the credit cards. 15 years and counting 0 interest paid, I'll continue to use the credit card.

[@donjohnson1416]

🤣🤣

[@kheldaryt]

try not using one for a year and see if you buy less and come out ahead.

[@rollakid]

@@kheldaryt I use a budgeting method where I have a set value that I can spend per month. It also show daily balance and I start the day telling myself how much money I can spend today (it was $47 today). I also have a system where if I'm buying something none essential, every $10 I need to wait 1 day. There's something cost $900 I actually waited 8 months to make sure it's not impulse purchase. If I don't use a card, I estimate I'd spend 500 extra per year due to lacking cashback from groceries and gas.

[@kheldaryt]

@@rollakid hey I don't care if you do or you don't... just figured you'd be a good case study to see if it makes a difference.

[@rollakid]

@@kheldaryt well yeah that's probably a good point, it would be interesting to see but I doubt it very much. If I am to relate to Ramsey's plan I would be at a stage where I'm being very intentional with where my money go. Payment method probably doesn't matter.

[@Papinka3900]

I completely agree. I started along the path via the total money makeover... but his efforts to constantly "expand his brand" and hand things off to his daughter along with just so many times he gave terrible advice on things outside his area of expertise turned me off.

[@notNaB2024]

I would have to agree, Dave Ramsey targets a specific audience which sadly happens to be a great majority of the population which has made him very successful. But, if it weren't for having gone broke on trying to be a real estate mogul via irresponsible borrowing, he would not think of debt the same way.

[@Runeblade484]

I think the interest rate of the mortgage matters a lot. If you got a rate around 3% then in no way would I suggest paying it off early. Nearly your entire interest rate will be negated by inflation lowering the value of your debt. You are better off putting those extra payments into a index fund.

[@carlosluis3360]

Thanks for you video Dave Ramsey has been really successful advising people is because most of the people in the world don’t have financial education and discipline.

[@GBU61]

Finance is personal. There are many ways to manage money. The issue I have with Dave is he applies the same philosophy despite recognizing each person has different needs. When he refuses to acknowledge that not everyone fits his beliefs, I can never take him seriously. A high income earner will approach his finances differently than someone who is just getting by. Dave is great for a 101 strategy for getting out of debt but once someone has an understanding of how to manage money, his strategies are not that effective.

[@tiagoj8020]

I think you're missing something. Paying off your house is one of the last things you do and the baby step program. He talks about 15% investments in good mutual funds I have returns of 10 to 12%. Paying off the house is one of the last things you do in the baby step program. Paying off your house sooner is the the final debt. But you're still investing while paying it off sooner if possible.

[@donjohnson1416]

Just let them pretend they know what they are talking about while bashing Daves proven plan lol

[@potterfanz6780]

He also says to do Baby Steps 1-3 (emergency fund and pay off debt) one after another, and don't skip ahead. That's how you get your financial freedom. Baby Steps 4-6 you do concurrently though, and how quickly someone wants to tick off those steps is up to them.

[@davidmercado2329]

Dave Ramsey is the best to be able to find the way out of debt . However , for investment is better to follow the Warren buffet and Charlie’s munger advices

[@mattlaeff724]

It's really not about the advice he gives --- it's how direct he is that gets the ratings.

[@RRags]

You paid off $100k in 3 years and you cringed.? Sounds awesome to me! Great job! Dave changed my life!

[@cuzz63]

I followed Daves advice and became a millionaire.

[@inertiaforce7846]

I am a huge fan of Dave Ramsey. However, I agree with you that I somewhat disagree with him on the use of credit cards. Although paying off the house as a good idea, it's not easy I agree with you there. Ramsey does make an exception for paying off the house if you don't have the cash to pay it off, he allows you to keep the house debt and still invest. That's why in his baby steps it says "pay off all debt (except the house)". I also agree that you're better off in an S&P 500 index fund than the funds Ramsey recommends.

[@brucestiles6477]

Guidelines for investing: 1. Broad diversification to eliminate unsystematic risk. (Unsystematic risk specific to one stock. Systematic risk is risk that you have to take if you are in the market. 2. Keep expenses low. (Expenses are a drag on a portfolio's return. "In investing, you get what you don't pay for." -- John C. Bogle 3. Pay attention to taxes. (Portfolio turnover generates capital gains, which generates capital gains, which is taxable.) A total market index fund, or even an S&P 500 index fund, gives you all of the these.

[@DallinBunnell]

I like the large, mid, small, and international allocation, but in different proportions. 50-60% large cap, 10-20 between each of the mid/smalls, and between 10-20% international depending on your preferences. For me, I think of 60% SP 500, 20% Mid cap, 10% small cap, 10% international.

[@andylgd]

Debt is definitely a big stressor in my life, so the dream of being completely debt free is really attractive when I hear Dave Ramsay. But it does sound a bit like a hammer trying to make a nail out of everything. Thank you for sharing how you think of his advice when you do have some money to invest.

[@DaGamerDad]

No one is against getting out of debt. If you ask the hammer and nail, they’ll tell you they don’t want to be controlled.

[@rexx9496]

Credit cards have earned me a ton of free travel. I have over 10 credit cards and put all spending on them. Just don't carry balances.

[@GroovyMisfit]

Thank you so much Tae for producing this video!!! I can sincerely relate to what you have described with my own experience and thinking.

[@DeRothschild]

Plus, mutual funds have unnecessarily high fees omg.

[@republicunited2183]

I love the Ramsey show.

[@john2906]

If a fund is actively managed it's automatically a bad investment option? Maybe there are some that don't do well, but there are active funds that have a history of outperforming the market, and with expense ratios less than 1%. TRBCX is one example.

[@michellemorford349]

The smart vester pros are vetted but they do pay a fee to get these leads. That’s how Dave makes money. Not sure if they actively monitor them.

[@mrheyz]

You are pretty good Tae Kim. I like your content and truthfullness.

[@pflume1]

I find it ironic that Dave finds that debt is completely bad. He hates it, but every one of the investments uses leverage to increase returns to the investors, including the bank you put the $1000 in.

[@IamAWESOME3980]

Problem with Dave's investment advice is that funds that perform well in the past is MORE likely to perform bad in the future. Why? Well, in investments, we have this thing call mean inversion, the tendency for returns to revert back to the historical average. If something performs well in the past is likely going to perform worse in the future and vice versa. Reason is that stocks are not independent probability. Higher the price you buy it now means lower returns in the future and vice versa.

[@me0101001000]

Every time I hear Dave Ramsey's name, I think about Joshua Fluke's coverage of him. I think it's a safe bet when I say that Josh REALLY doesn't like Dave.

[@maheshseth751]

I love listening to dave Ramsey and his audience calls. I learn a lot and inspired a lot too. However I have to keep things in context to me. Even in your case we’re you glad you graduated even with the student loan ? I think if that was good and successful that’s where Dave falls short. He wouldn’t have wanted you to go to school with debt.however his discipline will Guide to pay it off when uou make money. So apply dave Ramsey accordingly. Not always.

[@YourFinancialPlaybook]

Dave talks to the majority, but to your point once you’ve made the steps to separate yourself… there are for sure better methods to grow wealth, but Dave is great for “general direction” Also, home buying for most of middle America might feel good emotionally, but is unlikely to be a “good investment” & even more unlikely to help you maximize growth… especially if you live in an expensive city

[@jeremyorwhatever]

Love the channel. DR also says to spend no more than 1/4 of your take-home pay on a mortgage and the mortgage should be a 15-year fixed with 10-20% down. The problem is, houses sell for more than $150,000. Also, I have a 3% jumbo mortgage in a HCOL. I'd much rather pay the mortgage in 2030s and 2040s dollars than 2023 dollars.

[@shiftomnimega]

For etf guys I would think a close Dave allocation is 25% SCHD, 25% VOO, 25% QQQM, and 25% VXUS. Not for me, but that is what it looks like.

[@Quanic2000]

I read Dave Ramsey's the Total Money Makeover and I just found it full of anecdotes... I prefer the Psychology of Money. Not an advertisement lol

[@maxs6927]

You made good points, thanks

[@davidmilhouscarter8198]

3:25 The only debt I have is my mortgage. I set annual goals on principal balance reduction. This is how I achieve my wins. BTW, I’m almost done!

[@rajvo7406]

Don't forget property taxes. You will never pay those off

[@TheKaty739]

This was great! Can you do a review like this for Tony Robins? I always have contradicting feelings towards his advice too and would love to get your perspective.

[@levitaylor5725]

I agree you pay less fees when investing on your own, but…. I’ve been investing for 4 years, 2 years on my own and 2 years with an investment advisor. And I have to say I’ve invested a lot more when I have the accountability of someone I have to call and tell them not to take my auto draft this month, then when I’m doing it myself.

[@Brooklyn-rj3np]

Love your channel

[@JCpNK]

So you would rather pay double for you house then? Even with a low interest rate a 500,000 house will cost you about a million dollars. If you pay it off early you're not only saving yourself a ton of money you can now use the money that you were using to pay off your house and interest and invest it... But let me guess you're going to make millions on all those tax breaks

[@asarishepard8171]

His emergency find amt is ludicrous today. Rent is over a thousand easily mow so there goes his emergency fund. I get the sentiment but there needs to be more in there

[@EthnosSynergyEnergy]

Good fair anecdotal advice

[@matthewgarcia2119]

In my opinion. The issue of credit is a moral one. The rewards are nice until you consider some of that is probably coming from people who are behind, late or brankrupted by debt and i get that its not happening to you so why care but it hard for me to justify being a part of that and profiting from it. Our world however is getting more and more credit dependant and it gets harder and harder to rent or get utilities without credit without large deposits which sucks.

[@soniab.estacio3008]

Thank you ❤

[@oahuguy3918]

I love Dave Ramsey, but his hard headed stubborness on sticking with the baby steps, no matter what your situation, is where i draw the line with him. It is common for students loans to balloon to six figures and in my opnion, you get stuck in step 2 for too long and miss out on the early compounding years.

[@evalangley3985]

My problem with Dave Ramsey is his religious implications. He is a a strong Christian, and for me religion is never mixing well with money. However, his debt repaying strategy is sound. I used my mortgage early repayment to borrow at a lowest interest rate than what the bank was paying in a GIC. So his home repaying strategy is accurate. You can leverage good opportunities.

[@PassiveandMoon]

What are your thoughts on ROTH TSP? Keep it? Or Transfer to Roth IRA? Also gotta account for the matching which is traditional

[@jnordman86]

I'd agree with you. Dave is great for beginners but pretty questionable once your past the basics.

[@skwira000]

The thing I don't agree with is only have $1000 to your name in an emergency fund while paying off debt. That's taking on too much risk. I would be contributing to either a 401K or IRA lightly. But also paying off debt and then increase the retirement contribution once student loan and car debt is paid off.

[@Frank020]

Lol even the buffet says most will not beat s & p 500. International is risky most US companies sell international anyway. Good for diserfication. Though Gazelle intensity. 🦌 Though ☮️

[@billmartin1663]

Almost every good broad-based domestic index fund beats what the Harvard University Endowment Fund accomplishes by quite some measure. That's why, over the past five years, a lot of university endowments have shifted from managing their own money to plying it into index funds. Even the "experts" can't beat the S&P 500. (And there's no comparison in transaction and administration costs!)

[@Frank020]

@@billmartin1663 oh I didn't know that. There are some PHDs running those too.

[@mattcollins4550]

So I've been told Ramsey gets at least $700+ for each new referral to his ELPs. Also one has to wonder if he has a stake in Churchill Mortgage? If he does shouldn't he disclose that? And finally, you should look at how many taxpayer dollars he was given by the TN government to build his new facility. It's in the TN Pork Report.

[@donjohnson1416]

Wow, he gets paid for advertising? wow life altering news. Get over your drama and dont use these services lol

[@mattcollins4550]

@@donjohnson1416 I have no problem that he makes lots of money advertising. But I do think some transparency is appropriate.

[@Mysticbladegod]

I think Dave's advice is ideal save for his investment advice and fully combining finances with your spouse. He's totally right about debt and credit cards.

[@jallapavan]

can you make a video on money guys show

[@cc-dd8ip]

I so agree

[@videoicon]

Based in the UK, I understand perils of mutual funds, I don't follow Dave Ramsey but at the same time buy S&P 500 isn't also the advice that works for every decade. From 2001 to 2009 global equity funds outperformed S&P 500. Given the current valuation of US equities, the next decade may not be as great as the last one. Not all active funds are bad and not all index funds are good, one needs to understand portfolio concepts well and choose funds that fit the portfolio like jigsaw pieces. So your advice also has its weak arguments.

[@espi3324]

Excellent vid

[@Slopoke2785]

In 2023, for folks with consistent internet access, I feel most personal financial topics can be introduced via YT videos and summarized in a one-page reference by an AI-assisted tool...Sometimes these gurus promising the moon (not DR, necessarily) begin to sound like the king of snake oil salespeople, R. Kiyosaki.

[@libertarian4323]

1. Dave Ramsey is a master salesman. He's selling all the time. Recognize this, and it will explain some of his more questionable advice- using expensive advisors that pay him for an endorsement, using high cost managed funds that make money for his advisors, etc. 2. Dave Ramsey is stubborn and more than a bit arrogant, despite his "folksy" demeanor. He is a "spender" who got in financial trouble (bankruptcy) and was traumatized by banks (lenders) and credit card companies, so now he has a personal vendetta against them, and won't even consider any argument that goes against his personal beliefs.

[@amireallythatgrumpy6508]

He never filed bankruptcy. That's just a business origin story he made up.

[@peterl2767]

Great info 👍 👌 👏

[@robloxvids2233]

A lot of people hate the idea of paying off house debt. It just depends on several factors so I think it's up to the individual. I only owe 16k at 4.5% but am not paying it early. I'd rather get more in the market especially after it tanked 20%. My house will be paid off naturally in like 19 months. Dave's mutual fund advice is obviously outdated and stupid. At least Kamel mentions index funds. Dave also never mentions HYSAs, but Kamel and Jade do. Dave still thinks you walk into a musty bank to get a savings account paying 0.01%. Or, like other Boomers, loves locking money up in a CD. The biggest pitfall of Dave is he says or at least implies you can withdraw 10% of your nest egg per year without the principle depleting at all, which is reckless at best and insanity at worst. Most people use a 3.5-4% withdrawal rate for a safe 30 year retirement. He's great at what he does, which is motivates the masses to get out of debt. Beyond that he's not very informed at all. Ignore all his advice on investing or job opportunities. A guy called in and said he was getting laid off from his tech job and Dave, in all seriousness, said that was a good thing because he will easily find another job. Not only another job, but a better job that pays more. It was insulting.

[@billmartin1663]

You've never listened to much Dave, have you? Most (not all) of what you put into that paragraph is not factually accurate. Much the contrary.

[@vacax]

I definitely listen to Tae over Ramsey. Much better hair. No contest.

[@dylananderson7658]

Great content! I wish strategies would be more specific - 15% of income - pre or post tax? Should that be inclusive of any employer match?

[@donjohnson1416]

Well he says to put it in your 401k so that would be pre-tax and then he says use the Roth which would be POST TAX. #2 he says NOT to include match cause he wants you to put in 15% of YOUR income and the match is gravy. So just cause you cant gather than from what he says doesnt mean he didnt say it. Next.

[@dylananderson7658]

@@donjohnson1416 The list of steps shown in this video do not have that context. Good job attempting to be helpful though.

[@potterfanz6780]

@@donjohnson1416 Match beats Roth beats traditional is what he says. So max out your employer match (pre-tax, but doubled) , then put the rest of your 15% into the roth IRA account (post-tax). If you max out the roth limits, then put the rest in traditional IRA (pre-tax).

[@jessequentin4441]

I believe Dave Ramsey's advice is to invest 15% of your take-home pay into retirement. Employer match counts towards that 15% goal. For example if you're employer matches up to 3%, you invest 3% and your employer invests 3%, then you are up to 6%.

[@Executor009]

In the debt snowball we trust.

[@DaGamerDad]

2 things I disagree with this video: Your $1M mortgage in California will cost you about an extra MILLION DOLLARS in interest should you pay it off in 30 years. High cost of living areas don’t require you to buy a home. Here’s a revolutionary idea…you can rent. . JL Collins and the “I will teach you how to be Rich guy” advise that people rent because of the cost of owning a home is much more than the monthly payments when you consider repair/maintenance etc. So, Dave asking you to gear up to pay off your home is an option and personal preference which can provide financial security. If you want to own a home, I believe you should buy one that you can pay off in a short amount of time so you can increase your savings rate. Unless you just want to grant a bank $1M.