How Do You Compare Financially to The Average American?

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We’ve done some research on the average debt in America, and guys, the results are wild! In this video, find out if you fall above or below the average American when it comes to money. Plus, learn how to start tackling debt today!
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[@austinbar]

It’s always advisable to Invest judiciously, keep a stop loss figure. Shuffle between debt and equity wherever the ratio goes too off your target. As for the target, I recommend a Ratio like this Debt % should be equal to your age in years. If you are 20, debt is 20%, reset in equity. If the market falls or rises drastically, your debt % will change, which you should rebalance to 20% and bring back equity to 80%. Thus you would have bought low or booked profit depending on if it was a crash or a bull run.

[@joshbarney114]

I think the safest strategy is to diversify investments. Like spreading investments across different asset classes, like bonds, real estate, and international stocks, they can reduce the impact of a market meltdown.

[@rogerwheelers4322]

A lot of folks downplay the role of advlsors until being burnt by their own emotions. I remember couple summers back, after my lengthy divorce, I needed a good boost to help my business stay afloat, hence I researched for licensed advisors and came across someone of utmost qualifications. She's helped grow my reserve notwithstanding inflation, from $275k to $850K.

[@FabioOdelega876]

I will like to ask, How did you achieve it? I been trying to stick with index funds. I feel this new interest rates hikes could crash this economy. I'm looking out for a better investing strategy, I have a lump sum that inflation is steady eating up.

[@rogerwheelers4322]

Certainly, there are a handful of experts in the field. I've experimented with a few over the past years, but I've stuck with ‘’Marisa Michelle Litwinsky’’ for about five years now, and her performance has been consistently impressive.She’s quite known in her field, look-her up.

[@FabioOdelega876]

Excellent share, just inputted Marisa Michelle Litwinsky on the internet, spotted her consulting page ranked top and was able to schedule a call session. I’ve seen commentaries about advisors but not one looks this phenomenal.

[@kurtKking]

These are very valuable rules for anybody who wants to get rich. Unfortunately, most people who will watch this video will not really be able to apply the principles. We may not want to admit, but as Warren Buffett once said, investing is like any other profession-- it requires a certain level of expertise. No surprise that some people are losing a lot of money in the bear market, while others are making hundreds of thousands in profit. I just don't know how they do it. I have about $89k now to put in the market.

[@rachelonigirl]

*Keeping some gold is usually a wise decision. You would be better off keeping away from equities for a bit or, even better, seeking advice from an expert given the current market conditions and everything that is at risk with the current economy.*

[@donovantobs]

You have a very valid point, I started investing on my own and for a long time, the market was really ripping me off. I decided to hire a CFA, even though I was skeptical at first, and I beat the market by more than 9%. I thought it was a fluke until it happened two years in a row, and so I’ve been sticking to investing via an analyst

[@Kaustavpatell]

Could you possibly recommend a CFA you've consulted with?

[@donovantobs]

Her name is. SUNITA CHACHY JOSEPH . Just research the name. You’d find necessary details to work with a correspondence to set up an appointment.

[@Kaustavpatell]

I just curiously searched her up, and I have sent her an email. I hope she gets back to me soon. Thank you

[@DonaldMark-ne7se]

Nobody can become financially successful overnight. They put in background work but we tend to see the finished part. Fear is a dangerous component, hindering us from taking bold steps we need in other to reach our goals. you have to contend with inflation, recession, decisions from the Feds and all. I was able to increase my portfolio by $289k in months. You have to seek for help in the right places.

[@Jamessmith-12]

I think it's not always about fear, Sometimes realistic factors discourage people from reaching their goals in life. For instance, I've tried investing in the stock market several times but always got discouraged by fluctuations of stock value

[@JacquelinePerrira]

The best course of action if you lack market knowledge is to ask a consultant or investing coach for guidance or assistance. Speaking with a consultant helped me stay afloat in the market and grow my portfolio to about 65% since January, even though I know it sounds obvious or generic. I believe that is the most effective way to enter the business at the moment.

[@kevinmarten]

please who is the consultant that assist you with your investment and if you don't mind, how do I get in touch with them?

[@JacquelinePerrira]

Carol Vivian Constable is the licensed fiduciary I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment..

[@kevinmarten]

She appears to be well-educated and well-read. I ran an online search on her name and came across her website; thank you for sharing.

[@user-bm6wu9zw9m]

I own an average house, drive an old car, but I’m debt free.

[@deirdrawilson3269]

Good on you!

[@fattrolls8094]

Sounds like a dream!

[@flounder135]

Me too, be smart! good for you! I think we are the 1%er's

[@Seraphina_Atley]

Then you are my role model. That is what I want in life!

[@katz20200]

Same here. Modest house. Old car. Debt free. Living within my means.

[@PatSax]

My wife and I are are 43 and 42 and have just become completely debt free. It feels amazing. We are still driving a couple beaters so the next goal is to upgrade our vehicles with cash. I started listening to Dave when I was 25. He gave me a completely different mindset on money. Thanks.

[@Seraphina_Atley]

I am so proud of you! I am paying off the rest of my debt next payday. I can't wait to join the debt free club.

[@katiejon17]

I’m 45 and have only listens to him for a decade. But my husband and I paid off $113k in student loans and credit cards (not including a previous mortgage) in 6.5 years, on his salary that incrementally increased from $42k/year gross to $52k. We mad the last payment in November of 2021, then bought our current home with a 15 year mortgage. We’ve just created $60k/year gross and only have about 3 years left until we pay it off early. My question to you is (and congratulations FIRST!): have you noticed Dave Ramsey getting a lot softer on his stances? I 100% have, and it’s been a real hit. I need the straight talk and tough love😭

[@pamelaesslemont9822]

Paid off my credit card today 🎉

[@floydestelle6242]

Congrats

[@coreyf1204]

Nice work!

[@Jaboomf]

Way to go!

[@Aisha_babii]

Me tooooo!!!! 🎉 yay us

[@Eisenstroup]

Now can you cut it up is the real question

[@carleywainwright1534]

I just paid off my car in July after getting a large year end bonus. All my coworkers spent their bonus on fun stuff and looked at me crazy. Jokes on them, paying off my car gave me a $1000 raise each month!!! My payment was $462 and I was making extra payments each month to pay it off. I initially took out an 8 year term (never again) but paid it off in 3 years. What a WEIGHT off my shoulders!

[@gary9080]

Congrats 👍 Keep it for at least 20 years. Once you get to where you are earning interest instead of paying it you’ll never go back.

[@jamesday7344]

That is truly awesome

[@larryronhartfield55]

I retired 2 years ago at age 55 paid off my mortgage.. Til date we have not touched a dime of our retirement money. I have 3.5M in my portfolio. It took me 10 years to get to this goal. I started with 70K through my CFA ‘Diane Sarah Olson ’ My dividends are supplementing my retirement at the moment. It takes time and I invest in good companies. I never sell the chicken that lays the egg (dividends). I just eat the egg

[@soveinaaraceli]

Truly It’s all about accumulating wealth through compound interest investments.

[@AurucciLou]

Consistently investing in quality dividend paying companies over the long term is a relatively easy strategy to create generational wealth

[@KirbyIneson]

Looks like she really knows her stuff. I also found her online page and read through her resume, educational background, qualifications and it was really impressive.

[@mmohanc]

Scam...nice convo though lol

[@loud9090]

Hello, I am due for retirement in two years, I'm a senior citizen but I'm curious to know best how people split their pay, how much of it goes into savings, spendings or investments, I earn around $50K per year but nothing to show for it yet.

[@martun-n1x]

Agreed, the role of advisors an only be overlooked but not denied. I was shocked that I made more money with investing than hard work, not even my CEO income. Earning ''return on investment'' fetched me millions within a space of 5 yrs.(But I still enjoy working)

[@makeamericagreatagain-d8g]

impressive gains! how can I get your advlsor please, if you dont mind me asking? I could really use a help as of now

[@user-567-ut]

She appears to be well-educated and well-read. I ran an online search on her name and came across her website; thank you for sharing.

[@Aisha_babii]

Paid off my credit card today! 12k gone! 🎉

[@RobertNoppers]

Had I been able to see through the massive amount of Bovine Scat I was fed earlier on, I might have retired in my 50's. I'm 68 now, I started investing late so focusing on benefiting from compounding interest from ETF's wasn't enough for me. After some research, I found a strategy that helped. I'm pleased to say I'm retiring with at least $4 million. Those of you in younger generations please don’t be like me: too soon old, too late smart.

[@MaxWell-pp9zs]

It’s worth noting that luck often plays the significant role in investing, sometimes even more than the resources involved. Without it, its challenging

[@RobertNoppers]

In my experience, luck plays a part, especially in the short term. But I’ve noticed that when results remain consistent, it usually indicates something more than just luck. For me, research was the challenge until It led to Emily Ava Milligan, a fund manager. I thought her strategy made sense, it contributed to growing 400k into this and counting

[@MaxWell-pp9zs]

I just searched for the name, and her page popped up as a top result. I’m curious to learn more, appreciate you pointing that out

[@laurijohnson7754]

These should be taken down!

[@theresaherman]

Old guy here. I learned a lot from my father-in-law. His rule was “never carry a balance on a credit card, it only enriches the CC people. Only charge what you can pay off every month.” Also his advice was to pay cash for that 1st car, so if you needed to upgrade you always have equity in that vehicle. We took it one step further. We always paid cash for our 2nd hand cars, usually 4 to 8 years old with 50-80k miles. He also advocated to pay extra on your principal on the mortgage. That would save much $$$ in interest, builds equity faster in your home, and of course accelerates the plan to pay off your house earlier. He was very adamant about owning your home DEBT free, especially before retiring. Thanks Vern, RIP buddy.

[@NewGuy2024]

Being raised poor, I always thought we were a solid two income middle class. I was actually shocked last year when we added everything up and realized we were upper class. Top 5% in terms of net worth according to a few websites. The snowball really grows fast once it gets going.

[@mrjuvy49]

Poor no more, enjoy your success

[@mayamartin7359]

Nice brother, good work!! 🎉

[@mrjuvy49]

Yes, keeping motivated and keeping score

[@katiejon17]

I’m convinced how we spend money is a significantly bigger factor than how much we earn, in general (you can’t really count 45 year olds working 16 hours a week at Walmart and then claiming “poverty”, when it’s a choice). Not including the mortgage we had, between mid 2015 - late 2021 we paid off $113k in student loans and some credit cards. Our household income climbed incrementally over those 6 years from a yearly gross of $42k to $52k. Then we bought our new home (modest), took out a 15 year mortgage, and are set to pay it off within 5 or 6 years of purchase, on an income that just created $60k/yr gross. We just stopped being hyper-consumers and we honestly feel like we have a whole lot of extra money. We have neighbors that make around $120k/year just for the husband’s job (and the wife works too) - most are decent enough, but a few have made comments about how “it must be NICE to GET to be a SAHM”. We just don’t spend money like they do.

[@mrjuvy49]

LOve it sounds kinda a like us.

[@gillm12]

Car payment- none $1000 honda cvic Credit card debt-none Student loans-none Mortgage-94k, $840mo 401k- 15% Investment-15k, 1800mo contribution Emergency fund-funded.

[@spcysos]

Millionaire before you know it! Good job! Maybe 10-15 years tops?

[@gillm12]

@@spcysos the 401k is already on its way. Feel like I got too late of a start in my mid 30's. Feel behind.

[@spcysos]

@@gillm12 you are doing great! Don’t forget that!

[@Aisha_babii]

Look at you! Good stuff!

[@Dee0426]

Great job friend! I’m PROUD OF YOU

[@bradhankins-x5j]

The avg. American is having a tough time, I know I am not alone. There are others in same position as me. By certain statistics: 22% of americans have no retirement savings. 64% are worried that they will not have money in latter years while 47% of adults who are not yet retired think they have to work part-time in retirement. How can I best grow the 100k I have saved seperately outside retirement access which of course had depleted over the years?

[@annephilli]

Think about actions you’re taking that might be harming you such as carrying over credit card debt each month.

[@jburch1544]

Heard same statement in 1982, except no one had 100k to invest

[@kingcastro-s1p]

get an expert advsor quick! they would help create a budget including income and expenses

[@kingcastro-s1p]

Plan with a pro advsor for a successful retirement.i work with an advsor and generated over 1 5 0 %

[@kingcastro-s1p]

In 11 mnths with guidance.

[@jeff_lail]

People should really be investing as much as they can in their 20s and 30s.

[@robertphan8751]

Problem is, at that age we aren’t that smart. If we were all that smart back then, there would be no need for social security. At that age we ‘want’ things, like a mustang or fancy Nike shoes. But I get your point.

[@BenBak-wt7qi]

In my 50s, I'm focused on investments for retirement. I've heard of people generating substantial passive income, like someone who earned $650K in under a year on a podcast. What's the strategy for such returns?

[@FranciszekPawal]

Find quality stocks that have long term potential, and ride with those stocks. I have found it takes someone who is very familiar with the market to make such good picks.

[@AadhilaEesha]

Opting for an inves-tment advsr is currently the optimal approach for navigating the stock market, particularly for those nearing retirement. I've been consulting with a coach for a while, and my portfolio has surged by 85% since 2023

[@Muller_Andr]

My wife and I live off of our 401K. We don't work. I recommend highly to everyone to build your 401K or Roth IRA's as an alternate revenue stream in retirement to your Social Security. An observation on 401K's is when it gets over 300K it starts to accelerate. When you get over 500K it can really accelerate as the stock market grows.

[@xavier_lucas]

I've been looking to get one, but have been kind of relaxed about it. Could you recommend your advis0r? I'll be happy to use some help

[@AadhilaEesha]

The decision on when to pick an Adviser is a very personal one. I take guidance from ‘Jennifer Mackimm Wesley‘ to meet my growth goals and avoid mistakes, she's well-qualified and her page can be easily found on the net.

[@DianaSchwannecke]

I love the grounded reality of this channel!!! Retirement took a toll on my finances, but with my involvement in the digital market, $27,000 weekly returns has been life changing. POSITIVE ENERGY !!!

[@KimDawson-xn1jo]

Wow that's huge, how do you make that much monthly?

[@KimDawson-xn1jo]

I'm 37 and have been looking for ways to be successful, please how??

[@DianaSchwannecke]

Thanks to my co-worker (Alex) who suggested Ms Sallie Herzog Behnke. She's a licensed broker in the states 🇺🇸

[@DianaSchwannecke]

After I raised up to 325k trading with her I bought a new House and a car here in the states 🇺🇸 🇺🇸 also paid for my son's surgery (Oscar). Glory to God.shalom.

[@CatherineTonyaCampbell]

Wow...I know her too she is a licensed broker and a FINRA agent she is popular in US and Canada she is really amazing woman with good skills and experience.

[@mrs.bdaycare5530]

This is crazy. I’m only $3,800 in debt. I hope to pay off by Jan 2025

[@matthewhudock8378]

You can do it! Keep it up.

[@aznsumthing]

Keep at it! A huge milestone is within sight

[@ramenandgyoza702]

Keep at it! 👊

[@skaterzrule4]

Literally same! Check back with you then!!!

[@watcher9997]

Hope has nothing to do with it. Make a plan and stick to it. You've got this!

[@joycewright5386]

I’m retired and debt free but starting to get nervous. Medicare supplement going up, electricity almost doubling, groceries becoming unaffordable,homeowners insurance rising. My budget used to work but there is not much wiggle room left.

[@recabitejehonadab2654]

Bidenomics.

[@joycewright5386]

@@recabitejehonadab2654 Trump 2024!

[@justinthomas4598]

Bend over for biden baby! Don't ya love it

[@jerrypedrick6206]

Trump2024!

[@Sandman60077]

Only buy used vehicles and put a large down payment. I bought a 3 year old (practically brand new) truck with 27,000 miles on it. I put a large down payment and my monthly payments were only $240 per month. I had the remainder paid off within 6 months. Save the extra money and invest it in mutual funds.

[@stevetimmons3114]

yeah, i think buying a used vehicle that maybe just came off a lease, etc 2-3 years old 30k miles - great decision. I have been fortunate to have worked remotely for probably 1/3 of my IT career - i have a 2004 jeep with only 152k miles still looks and runs great. Only bad thing about it is poor gas mileage - now I am working hybrid but still only put about 8k miles a year on. Wife's car is paid off, hoping we can have that SUV for 5-6 years before needing to do anything, you just never know. I will probably get a small used SUV next year or the year after, put some money down and have a small monthly payment for a bit then try to go another 10 years before buying anything else (hoping to retire before too long so won't drive much hardly at all after that). People waste so much money on cars , it's unreal.

[@Sandman60077]

@@stevetimmons3114 Exactly. At that point it's still practically brand new but it's been broken in, and if there were any issues from the factory they would've shown up already. As long as you keep up with the regular maintenance it will last a long time.

[@penelopeprimrose90]

We have only ever bought used cars for cash. Buy they right one, and it will last a very long time. We bought gently used Toyotas and are still driving them 18 and 16 years later. No car payment in all those years is an amazing thing.

[@MariaGarcia-gj5ie]

My son’s car was totaled because of an engine fire. He is currently training at the police academy in Knoxville. Isn’t making much and he is struggling to get there by renting a car and paying an Uber. No savings to buy another vehicle and he has 3 months left of training. I have no savings to help him with so we are praying for a miracle to get him through this. Prayers please 🙏

[@joycewright5386]

Can he ride share with anyone?

[@RepuBlicOfChaD]

Once he is off probation he can work extra jobs and make 6 figures a year. He'll work a lot but it'll be worth it!

[@motorcyclemichael2182]

We’re at step 7! Debt free with money in the bank 🏦 for the first time in 31 years! Next step is investing in some growth stock mutual funds 😊

[@indigostaraz]

Congratulations! 😅

[@geckster109]

49 years old 300k house paid off 2017 wrangler, 2024 CRV both paid off no credit card debt or any debt of any type 148k in cash in money market account (high yield savings) 412k in retirement accounts This balance sheet looked VERY, VERY different in 2020! Thats when I got sick of all the loans and the mortgage I had open. I did the snowball deal and just began tackling each loan until everything including the mortgage was paid off. That opened the flood gates to saving a nice pile of cash! You guys can do it too, just takes sacrifice. You should never buy another cup of coffee again until you are completely debt free. Eat all your meals in, brew your own coffee, limit vacations (I didnt take one for over 3 years). If you put in the work and sacrifice, it CAN be done!

[@katiejon17]

Wow - this is amazing! You must make a decent income? It can be done on a modest income too. For us: ~6.5 years to pay off $113k debt (not including mortgage) on a gross yearly that went from $42k-$52k. Made our last payment in late 2021, then bought our current home with a modest 15 year mortgage, and have been over-paying it to hopefully have it paid off within 5-6 years of purchase. My husband’s salary just created $60k gross. His job comes with retirement, and we are hoping to now max-out my IRA. I’ve heard that once your investments reach $100k, the compounding interest from there on is wild! Please tell me that’s true!

[@ivgondef4408]

There is no home where I live that costs $2006 per month. My home was $1650 per month in 2016…..luckily I paid it off in 2021 because if I bought my home now with no money down it would be over $5200 per month.

[@Dohair879]

I’m on step 6. While I don’t feel like I’m on top of the world, I am way beyond average. I will just keep trucking.

[@jasonrodgers9063]

I've NEVER had a car in my 50+ year driving LIFE that I didn't pay full cash for. Making car payments to impress some stranger next to you at a stoplight is INSANE!

[@nomaderic]

Most ppl can't afford to do that. We have to get a car payment.

[@spcysos]

Nope, plenty of cars for cheap that are reliable. Most people are uninformed though.

[@nomaderic]

@spcysos no there isn't. If you spend less than 5k on a car the odds are strong that you're gonna have problems with that car in like a month. That's why ppl call them cash cars because we know they aren't gonna last a year. Without my car I have nothing so I have to have something reliable. I've driven over 100k miles in less than 2 years in my corolla. You arent doing that with some cash car

[@spcysos]

@@nomaderic okay, great point, YOU drive 100k miles a year, what’s that in normal people miles, huh? Almost 9 years! You are putting the pressure of your situation on everyone else. Point still valid.

[@spcysos]

Point is that no one should need to go into debt for very long if at all if they want it bad enough, it just depends on how hard you want to try. We are being trained that debt is okay, but in reality it hinders us far more than you think. I’m glad you found a vehicle that works great for you, but I don’t think that’s the majority or really should be for a matter of fact - who needs to drive that many miles per year? Many people may need to adjust where they are living, the proximity to their job/get a new job, etc. There are choices we all have to make.

[@brentyancich]

The average mortgage debt was lower than what I would of guessed

[@johng5710]

Maybe it's counting the growing number of homeless people, whose monthly mortgage is $0

[@scoutandscooter]

Property taxes and insurance are still $3,000/month. That will never end.

[@user-ct1kh2if8j]

Selfinsurance? Or you could live a more inexpensive place?

[@user-ct1kh2if8j]

You have lived beyond your means, both private and as a nation. I live in Norway, and we have no national debt, the worlds largest wealth fund, owning about 2% of all the public stock in the world. We have moderate taxes, free healthcare, free education for everyone. Exelleny benefits, pensions(no need to save neither to childrens education or retirements). We have 5 weeks paid vacation and 100% paid sickdays, up to a year. You have really made som really bad choices in US.

[@chrisogburn6364]

You live in the wrong place unless you meant "per year"

[@BarbaOlof]

@@user-ct1kh2if8jEnvious swede here. 😊 Yes, you’ve managed the cards you were dealt in a smart way, but not every country gets the same cards.

[@user-ct1kh2if8j]

@@BarbaOlof You know that your government was offered to trade 50% of Volvo AB with 50% of the norwegian oil. You said no thanks🙃

[@machickman4041]

I just don’t understand how the 25% of your take home pay is still feasible. This housing market does not reflect what your take home pay is. Salaries are no where near what they should be to afford a decent house. I would love to see a video discussing this.

[@DericAnslum]

...there are literally dozens of videos discussing this...ad nauseum... ...right here on the internet where you already are...

[@rossallen738]

​@@DericAnslumHe wants to hear the opinion of the Dave Ramsey crew.

[@nicholasromero2776]

Depending on where you live, this is correct. In some cities it may make more sense to rent than buy a home.

[@justinthomas4598]

It's not they just keep talking around it. Another 4 years of this and the top 5% will be the ones owing homes. Anyone new coming into the market will be forced to rent unless u buy a box

[@kayciable]

bigger downpayment.

[@JimmyKnowlesChanel]

Who else thinks Rachael is as beautiful as she is smart?

[@michellejennings1115]

Feeling humbled but also more informed. Thank you!

[@thullraven1]

I enjoy your videos. Thank you. I'm not the average American. I may never be a millionaire, but I think like one. I never say, "how much down and how much a month". I always say, "how much". I'm debt free and want to stay that way. If I want something and don't have the money to get it, I get it the old fashioned way: I save up for it then get it. I'm a young retiree so my income is minimal, but I don't need to be making a fortune. I have healthcare for life from my government retirement and I used the snowball of debt relief and am totally debt free. I don't even have a mortgage as I sold my big home and used that money to buy a smaller townhome outright so I wouldn't have a mortgage. My daily driver is my hot rod slightly modded 2018 6 Speed Ford Mustang GT with 500 hp that was paid off in 2020. I bought it new because I got a really good deal and planned to pay it off quickly and I did. It's my retirement car and I'll keep it until it drops or I do. Whichever comes first. I went against what you and your dad said and kept ONE credit card for the flying perks when I travel, and that's the only time I use it. I have great mental discipline and HATE debt with a passion. I ALWAYS pay the balance in full when I return from my trips. The other credit cards were discontinued and turned into guitar picks. I may not be up to standard regarding incomes and where I should be, but I'm debt free and am living comfortably, so that's got to count for something. 🙂

[@mmartin7563]

Average vs. median. Huge difference

[@katiejon17]

Being a “hyper-consumer” is the norm now. And the people who live that way put so much effort into denying it, and rationalizing their non-stop consumerism that they have nothing left in them to put towards change. I was their myself, until the second the pregnancy test showed “+”. It took 6 months of tying, and a lot of failing, until I finally stayed within the budget I had made. Afterwards it took another 6 years to pay off my consumer/student debt. We still live modestly and are paying off our mortgage early. Life is better now than when I was a hyper-consumer.

[@user-qh2eq7df4t]

Paid off my 2 credit cards yesterday just like I do every month!

[@paulstandaert5709]

I am surprised that it is only 35% of households that have car loans. I thought it would be much higher than that.

[@franciscotoro827]

I found a Ramsey when I was in my mid-20s. I was just starting to take off of in my career and was on the verge of outspending my earnings so I used a lot of his techniques and methodologies that I use even to this day. But the one thing that I did deviate from was a car. It's the one thing I've splurged on for the last 20 years to me its something I use almost every day gives me enjoyment it's worth a little extra I just sacrifice a little somewhere else. Though both my vehicles are paid off now and I cannot justify buying a new one at these current prices so I have not gone completely wild with my vehicles.

[@emilyl6746]

I'm just about to start paying off my law school loans but I'm fortunate to have a six figure salary. Still living like a broke law student until it's all paid off. I love what I do and the degree was an investment. Some of my fellow graduates, however, seem destined for lifestyle creep because they'll be making more money than they've ever made.

[@Xtina2525]

Great video! It was nice to be able to compare my personal finance numbers against the averages. In some places I'm doing better and in a couple of others I'm doing below average but now at least I know! Thanks!

[@nomaderic]

Lets have a secondary contest. Who is the poorest person in these comments? Ill start. I live in my car because even though i work full time i cant afford a place. Last night i had a choice between 5 dollars in gas or sometning to eat. Life is great!!!

[@floydestelle6242]

I did all of Dave's steps but not in order since i never saw them. So much of it is common sense and living within your means with your eyes and investing for the future. Zero debt, home paid and money saved for a great retirement

[@Lucysil1970]

I know several people who just bought used cars and now they are in the shop every other week getting things fixed.

[@silverstar4289]

Not likely as bad as you are perceiving . 5000 buys a pretty good car with research.

[@laundrygoddess4]

​@@silverstar4289 it's a toss up as to whether or not it's good. You can't tell if all the services have been done and if it's been driven easy.

[@spcysos]

Probably did not buy reliable cars. Just guessing… can’t expect a used Kia or Nissan to be a good deal.

[@laundrygoddess4]

@@spcysos my son bought a car with a great reliability rating. And it was a lemon. They are just riskier.

[@spcysos]

@@laundrygoddess4 what car did they buy if you don’t mind sharing?

[@AlEx-hk1pf]

We drove 2004 Civic and saved to buy 2025 Civic sport at the end of July 2024. It feels so refreshing to drive a brand new car without monthly payments. The 2004 Civic is still running, so our high schooler is using it. The 04 Civic was bought 2010 cash for about 5.5k. Don't let anyone tell you that it's impossible to buy a brand new car cash in America (lesson we gave our children). Yes, it took us years (500 a month for 5 years), but we did it. You can do it, too. Drive a reliable used car and save for as long as it'll take.

[@charminlindholm7779]

Maxed out HSA this weekend! Auto-transferring $650 a month to savings to get a jump start for 2025, just like Rachel & Winston do. Front load the year to max out the compound interest.

[@lkbd12345]

My husband and I got our first credit card together 14 years ago and have paid it off in full every single month. I get it is it’s something you struggle with but if you don’t… it’s a debit card with bonuses….

[@tomlim1598]

There is no point in comparing with others. i'll be always better than some and not great when comparing with others.

[@joelcoyne1365]

Median is the mid point, not average.

[@tcgtpl]

Math was never a strongpoint of the Ramsey Team. 🙃

[@tannerdriscoll6699]

It's a better representation of the "average" American since the million/billionaires raise the average a ridiculous amount

[@alexc2265]

It’s the average in one sense. It’s what the average, 50th percentile person has.

[@toomanycatsfive]

⁠@@alexc2265except that’s not the definition of average. That’s why there’s different terminology… 50th percentile is the median

[@winxtra2892]

​@alexc2265 no,, go back to middle school.

[@ronmartinelli5772]

Listen y'all preach 20% down for a house only.... Now you're being a hypocrite by saying that it is fine to purchase a house with only 5% Hypocrisy

[@tatianastarcic]

Wealth/Success is dependent on the action or steps you take to achieve it. Show me a man who doesn't have an investment and I will tell you how soon he'll go broke. Investment is building a safe haven for the future: with the right choices of investment that has minimum risk and with an Expert guidance, profit and interest should be guaranteed.

[@TinaJames222]

Starting early is simply the best way of getting ahead to build wealth , investing remains a priority . I learnt from my last year's experience , I am able to build a suitable life because I invested early ahead this time .

[@Vincent-j8u]

Exactly ! That's my major concern and what kind of profitable business or investment can someone do with the current rise in economic downturn.

[@nicolasbenson009]

You have a very valid point, I started investing on my own and for a long time, the market was really ripping me off. I decided to hire a CFA, even though I was skeptical at first, and I beat the market by more than 9%. I thought it was a fluke until it happened two years in a row, and so I’ve been sticking to investing via an analyst

[@sharonwinson-m8g]

Could you possibly recommend a CFA you've consulted with?

[@nicolasbenson009]

Well, there are a few out there who know what they are doing. I tried a few in the past years, but I’ve been with Melissa Terri Swayne for the last five years or so, and her returns have been pretty much amazing.

[@spotless304]

Learn to build and fix things yourself instead of paying someone to do something you can just do yourself. Time is money so sometimes it isn't worthy but my mindset has been that I will do it myself. Plus, others take the easy way out and call it "fixed".

[@MexicoTraveller]

EXCELLENT advice

[@johng5710]

I got so so lucky 10 years ago. Guy was trying to just get rid of a condo his daughter was living in while attending college. 950 sqft unit (only one bedroom though), the building was only 12 years old at the time I bought it - $70,000. My monthly mortgage payment + HOA fee is only $600 😂. And the way the housing market is looking, I might never move out lol.

[@marklance033]

"Everybody loves Rachel"

[@sharlawenger3695]

I have always used credit cards and to this date have paid $0 in interest. I have followed none of the Ramsey steps but feel I am doing well. My savings is bigger than my debt, Could be debt free but I make more on my savings than my current interest rate on my loan. As a hospice nurse I can't do my job without a dependable car, so for me a new car made sense.

[@tressalewis7004]

Yay! I have always wanted to be above average❤❤❤

[@ForgeofSouls]

As much as I would love to have a new car, I wont ever spend more than $15,000. Currently, both vehicles are $6000 each. 😅

[@jilliansherrard2152]

I read the average American has over 11k in credit card debt….

[@indigostaraz]

1.2T divided by 200M adults is about $6k.

[@douglasthompson9482]

No debt and fully retired. House worth 1.4 million. Life is good.

[@margibaleztena81505]

Income is relative to age and geographic location. Example a person earning $65k in Boston verses a person earning $65k in Louisiana. A new 22 year old college graduate verses a seasoned 47 year old executive.

[@aznsumthing]

Yes, the cheap car gets you to the destination just the same as an expensive one. But I think that’s why those BMWs drives like a-holes, because they can’t come to terms with this fact. LOL

[@BA-pz3lo]

😂

[@NormanGhali]

So I'm curious. So do you think it's best for us who are not institutional investors to focus on index funds or individual stocks? I want to redistribute my 60k portfolio and I preferably want the asset class with the best return on investment. Thanks!

[@ryankeels4661]

really surprised 35% have a car loan, figured it would be 80%+

[@chadsmith1200]

I do not have any debt whatsoever but I also do not make as much as the average American. The flip side of this is if I did go to college, I would probably making close to the average American or more than the average American but then I would have a lot of debt. Debt. I also own my own car but cannot afford to buy a house here. My credit score is 805. So I don't make as much money. But I also do not have the crushing debt. A lot of people have and my credit score is better than most. Not sure if that's a better place to be in or if just having more money is the end-all be-all.

[@Redeemed081]

Sorry but the “Ramsey” recommendation on vehicles is not realistic. A dependable used car costs around $10,000 now. Also, some auto loan rates are low. I financed $30,000 with 1.9% interest. That means I’ll end up paying about $25/month for 5 years or around $1,500. I’ll pay that for the piece of mind to drive a new, reliable vehicle.

[@spcysos]

I dunno where you’re at, but I’m guessing that if you can widen your search area and drive a few more hours away, there’s a great cheap reliable car that will last years for only regular maintenance. More “work” now or pay for convenience? There are always choices my friend.

[@stevetimmons3114]

The depreciation is the biggest issue, not financing. After year one most vehicles lose 20% of their value. over years 2 and 3, it will have lost 30-35%. So while you are paying not much interest, the asset has lost 1/3 of it's value. Yes, buying used the loan rate is higher, but it's on the smaller amount/what the car is worth, not the inflated price. If you are driving the car for quite awhile, it's not as big of an issue but many people change cars every few years and get smeared by depreciation.

[@BigEsTruckstop]

My sister in law bought a used Corolla for $6k 16 years ago. She still drives it, it’s never left her stranded and I’ve done minimal maintenance for her. There are plenty of reliable, no frills vehicles out there. Plus with basic tools a lot of repairs are very easy.

[@RaceMentally]

37 Debt varies and paid off monthly 0-$15k 1,000,000 cash Businesses and assets worth 1-5 million So I’d say I’m worth 2-6 million respectively.

[@brucecranford0824]

Zero debt except mortgage. That'll be paid off in 3 years. Have $280k remaining on 15 year note. We max out Roth 401k every year. Current balance at $221k. Have 15 years or so until i retire. Once house is paid off, our goal is to buy 1 rental property per year in cash until we get 6 of them. This will leave 2 for each of our 3 children when we pass.

[@Teffy2105]

Average new car payment $750 dam 👀

[@mrjuvy49]

Buy you car at the 4 year mark, get all the goodies and mucho depreciation is gone.

[@zachjones2346]

For all the talk about student loans, the average owed is barely anything.

[@Chet_24]

I still disagree with paying for the kids college. I think they should have some skin in the game in the cost 50/50 is reasonable, imo.

[@camillepage208]

As someone who was privileged to have parents who were financially literate and worked hard to pay for my undergraduate education, it was the biggest blessing to me and the best thing they could have done. I thank them for it all the time. I got married at 19 and I can’t imagine how much more stressed I would have been if I had to worry about how I was going to pay for school on top of figuring out how to be an adult and working just to make ends meet. Them paying for it let me actually focus on my studies and I enjoyed school so much more because of it. They had my hubby and I take FPU when we were engaged, so it also allowed us to pour our finances towards his debt and start out knowing how to handle finances. We paid off his $57000 of debt super fast! Then we were able to save our emergency fund and save for a home! I totally get wanting kids to have skin in the game, but having experienced that gift, I know I want to pass that along to my kids. I think a kids attitude towards such a huge gift has a lot to do with how they are parented too and how much parents teach kids the value of money & the value of an education. I know it’s a hot topic, but that’s my take. I wanted to share as someone who got to experience that gift and I am sooooo much better off for it.

[@Jonnyicey]

This video is about 3 mins of useful content stretched over 12 mins 😬

[@blackbutterfly233ify]

🙄 stop complaining

[@Jonnyicey]

@@blackbutterfly233ify 🤫😇

[@DericAnslum]

...so maybe don't watch it...

[@Arienrhod]

I AM paying my credit card off every month. I get about $3,000 cash rewards back every year.

[@robertphan8751]

My only two cents here is don’t feel so bad if you only have a quarter of what average Americans have at your age; if it is viable, retire in a cheaper country. For me, 401k, pension, and social security will make me live like a king in Thailand. Again, only if it is a viable option to you.

[@HectorSnipes]

Planning to retire in 20 years? With rising inflation, the cost to maintain your current lifestyle could reach $2.6 million or more. The combination of high inflation, lower projected stock market returns, and stagnant wages makes securing an early retirement more challenging than ever

[@kartikprasad4359]

Nbd, I would just downgrade.

[@scottkolaya2110]

Excellent video, but to clarify, 3:36 Credit card debt. Correct, the average person has $6,501 in credit card debt, BUT the average person doesn't pay interest on $6,501 because this number is just the average balance regardless of whether it is paid off each month. The average that gets rolled from month to month and people pay interest on, is more like $3,500. Still too much, but If you think the average person is rolling $6,500 from month to month, you may think you're just average when in reality you're way worse off than average.

[@ThrowBackZone]

Interesting take on car loans! 🚗💰 Anyone else shocked that a new car payment can be almost $750 a month?

[@DirkChristian-w2e]

The economy is grappling with uncertainties, global fluctuations, and pandemic aftermath, causing instability. Rising inflation, sluggish growth, and trade disruptions need urgent attention from all sectors to restore stability and stimulate growth.

[@MaryLawson874]

Things are strange right now. The US dollar is becoming less valuable because of inflation, but it's getting stronger compared to other currencies and things like gold and property. People are turning to the dollar because they think it's safer. I'm worried about my retirement savings losing value because of high inflation. Where else can we keep our money?

[@michael7054]

You look beautiful in this video but also like you just got out of jail with what you're wearing.

[@AugieBenDougie-wk9pr]

Looks like a prison suite.

[@helomech1973]

Skipped step 6, no way I am taking money from investments to pay 2.6% interest loan. Heck savings account is giving me 4.7% and it is insured. I would literally loose 2% of guaranteed money.

[@auto_pilot]

Well, if you are disciplined you definitely can game the credit card system. I am completely debt free (including all real estate) but maintain credit cards that I pay off in full every month. On average, I realize approximately $15,000-worth of airline travel (at $0.015/mile) every year PLUS a significant amount of free hotel stays (don’t know how to quantify those numbers because hotel rates vary so much). Not only that, but I’m also able to have the highest airline status and hotel status on the “brands” I carry the cards with…all for free.

[@JV-wq6xb]

Thank you Rachel!!

[@MatthewFling]

Credit cards give you the illusion that you can and should buy more than you can afford. Even if you pay it off every month it still costs you more money over time compared to not having one.

[@tcgtpl]

When you use credit cards responsibly, as in conjunction with a budget, you are actually spending less money for the same goods, or getting more out of the dollars you are spending with a credit card compared to debit/cash, because of the perks you get from using the credit cards. I agree wholeheartedly with the Ramsey Team that if you can’t control yourself with a credit card then it is better that you spend more overall using cash/debit than falling into the trap that is credit card debt and wind up paying 20-30% more.

[@MatthewFling]

@@tcgtpl true, but my point still stands.

[@elizabethjrich4415]

So true!!!

[@mcrwatts]

I used my credit card and paid it off every month on a commission style income for years. Business went way down and I found myself not in big trouble (because of savings) but full month behind on everything. Got caught up and now almost exclusively use my debit card.

[@DavyDavePapi]

I use my credit cards as if it's my own money

[@starlightwaters1]

The average salary of an American does not give much information or mean much because the difference in averages based on location varies so much. Most people use median average American salary because this tells a more accurate information that based off of the population, 50% of people earn more than x amount in America and 50% earn less. To be more accurate though, you should really look at the median of a certain state or area you live in because comparing yourself to the cost of living conditions of someone in california is way different than someone of say West Virginia.

[@peace-a]

We are debt free except for the house and the mortgage average you show here is very similar to ours. We owe $140k.

[@Larry-d1c]

By far the majority of this type content assumes salaried employee. Many of us are gig workers, contractors, hourly or self employed. And the self employed have extra expenses, such as double FICA, health insurance, etc.

[@Danzilly]

Doing well ☺️ wish everybody else wasn't struggling

[@mrmikebrew]

Ramsey needs to get over credit cards, yeah if you can’t help but run up a bill then you should stop using them, but if you can stay within your means you need to have at least one that earns points, if not you’re losing money via opportunity cost

[@j.b.7504]

I've never carried a balance over nor paid any fees, interest etc. ever on my credit card. I factor my expenses into my bank recon and each year earn about $700 in cashback. Would I pay my house off early? Heck no, even though I could. My mortgage rate is much less than current CD rates. I make money by not paying off my mortgage.

[@Opinionteer]

No certain how people that make 61,000 a year can swing 2k a month on a house.

[@jeff_lail]

Should be using median not average

[@lilibethvilella]

Average mortgage in south Florida is 480k!!!!!! 😮

[@Skeer0]

I wish my mortgage debt was that low. Can't buy a house that isn't a POS in Oregon for under $400k.

[@Mrslewis611]

Love your jumpsuit! 😍

[@TR-xb4ih]

where does rachel cruze stand compared to the average american?🤔🤔

[@randolphbehm877]

If Dave developed the baby steps in the 1920’s, today they would say baby steps #1 is to save $100 for an emergency fund. I don’t understand why he refuses to adjust for inflation??? I think 1 mos. Of expenses would be a better target.

[@chaleej5571]

Same as the reason he pushes for a debt payoff that starts with the smallest balance rather than the largest interest rate... It's to get you started with an achievable goal. Get some positive vibes going after feeling a sense of accomplishment. Then take the next step.

[@connorkiley2470]

Average debt is only 66k? For everything? Thats bad? As debt goes up so do your assets and likely your net worth as well unless its high interest debt. I love my 2.7% mortgage debt at 300k because i am crushing that in the market.

[@AKBRONCOSFAN007]

I find it amusing that we all know comparison is the thief of all joy, yet there are countless videos of how “you” stack up the rest of society whether it be financially or any other criteria. It’s ridiculous, folks live and let live. The Good Lord has a path for all of us. Stop comparing yourself to others and be a good person and help others when you can.

[@AKBRONCOSFAN007]

I made the above comment before watching the video. Rachel does address the comparison issue I point out. It’s nice to see she’s on the same wavelength as me on this topic.

[@anthonyju6392]

I guess I am doing pretty good. I don't make a lot but I am growing my 401k and I do have some money saved up. I do have nearly 200K debt in a mortgage which if all goes well will be paid off in 12 years. No car payment now paid that off a couple years ago. Should have a pretty nest egg for retirement when the time comes. If the world lasts that long.

[@brianc7719]

Very happy that today I was able to pay for my laxative medication! Not pleasant to be backed up 💩🚽