My Mom Has No Retirement, Is There Anything I Can Do?

[@AnnaOllsson]

Since watching this video I have really put the pedal to the floor on retirement savings this past year......set my automatic withdrawals for 2023 to max my 401k and ROTH IRA accounts. I make under $150k a year.....paid off our vehicle and my wife is babysitting 1 child from church which has helped me pull the trigger to max everything out.

[@HildaBennet]

For retirees and those close to retirement, I believe it's particularly challenging. All those years of labor only to lose it all to a problem you weren't responsible for, my regrets to everyone retiring during this time.

[@PennyBergeron-os4ch]

It all depends on your personal preferences and comfort level. However, one option is to keep things simple and consult an asset manager. They can help you determine your risk appetite, avoid common mistakes, and provide a broader perspective on your investment landscape. I have about ($1.25m) in non-retirement assets. Compared to the whole value of my portfolio during the last three years, I have no debt and a very little in retirement accounts. To be completely honest, the information provided by managers can only be ignored but not neglected. Simply undertake research to choose a trustworthy one.

[@JosephineKenney]

Impressive can you share more info?

[@PennyBergeron-os4ch]

Her name is Sonya Lee Mitchell. Hope that helps

[@JosephineKenney]

Thanks for this, but I already have a 401(k). You think I'm still eligible to use a financial advisor?

[@xAmaya13x]

Well, she's a lot better off than MY parents that's for sure. No retirement, no savings, no home-- so they're living with me now. Thank goodness I learned about 401k and how to handle money from my friends and husband when we were all younger!

[@carojames6776]

It's nice to hear about someone helping their parents instead of "it's not my responsibility" etc, good to know there are people who would support their parents in their hour of need and not leave them destitute. God bless you and your family. So it is said, let it be done.

[@rockintherae]

Your parents are a burden. I'm sorry

[@teeduck]

Parents living with you? Pathetic. Tell them to get a job.

[@Vanessabobessa10]

Mine has her home. Bought late in life but almost paid off. 17k left THANK GOD. But thats it. SS. And her house. But she doesn't work and hasnt in years

[@jimroscovius]

My parents are 93 and 90, living on their own in a duplex, with a nice retirement to carry them through. But, they still ask me for advice, let me know what they're planning, etc.

[@wizardofahhhhhhz]

To everyone reading this…please don’t put your kids in this position. This can cause SO much individual stress on your kids, as well as a lot of stress within their marriages. Please plan for your future and lord willing get older with a spouse. So many children have to become primary caretakers and financial supporters because their parent got old single and without any savings 😢

[@tr3slech3s]

Spouse thing. Bad advice

[@ButtmanAtHeart]

my mom and dad retired with zero. i mean zerrroooo. dad never worked and mom worked min wage jobs when she did work. dad died she lives in a trailor and cant even keep a cell phone on and has to get handouts for food. my sisters refuse to work all because theyre on drugs and im expected to come out of pocket to help and im cant even afford housing in my state. sad

[@boxer6796]

Maybe some parents think their kids owe them?

[@sobeliever1638]

@@boxer6796 mayeb some have low incomes and give too much to their kids instead of giving to themselves

[@boxer6796]

@@sobeliever1638 Good Point - I know a few parents who do this.

[@ddellwo]

Well, she’s got $300k in home equity and an offer of a free lot, which is a lot more than many people can say…….😐

[@pep590]

Exactly....another bogus click-bait title. My Mom Has No Retirement??? That title is an insult to many people. ☹

[@onefreelife]

Many more of us are in much dire straights than that woman. She sounds rich to me

[@latsnojokelee6434]

I’ve seen this before. The older person doesn’t wanna leave their house because they like the neighborhood or they have a view of the ocean or something. And their Social Security doesn’t cover the basic living expenses anymore. So their answer to everything is that their kids need to give them money. so they do in fact, live in poverty, even though they have equity in their homes, It’s very frustrating.

[@ToOpen6seven]

Right and 60k in savings and 19k in retirement!

[@SalisburySnake]

My grandpa lived in a "tiny house" on a corner of my uncles property from some time in the 80's until his death in 2010. The investment value is irrelevant because my uncle still lives there and isn't selling the corner off of his property. And it was cheap enough he can tear it down if he gets tired of looking at it. Definitely got their money's worth out of it. Making dumb TV shows about them is a fad, the houses themselves have been around a long time. If that's all you need, that's all you need.

[@Excalibur2]

Yeah, I remember they used to call it like a "She shed" or mother in law suite.

[@cazpk6840]

The callers voice is so calm and soothing and he is so polite 🥰👌

[@williambeller7574]

Are you kidding me? She is in a great position! She just doesn’t want to downsize! 68 years old and worth possibly close to $400K! $22K a month from SS? I’m 61 and have to continue to work for the rest of my life to obtain this. Give me stories where people have had to start over at 53 years old because they were wiped out by divorce! Thanks!

[@suebotchie4167]

Gray divorce :(

[@scottlaux6934]

Exactly.

[@d_all_in]

2200 not 22k 😂

[@BumpityBump69]

@@d_all_in yeah idk how he thought 22k a month : /

[@stephenskayla2079]

From experience at fifty years old. When you realize you're not the golden child just the financial child. It is a heartache.

[@ZachFish-]

There should be no one “in trouble” making 70k a year..

[@holdencawffle626]

Foolish of you to say that

[@ZachFish-]

@@holdencawffle626 You could survive off of 20k or less if you tried (in some areas at least)

[@aroundthemiddle2112]

@@ZachFish- but who wants to live in those areas? 🤔

[@ZachFish-]

@@aroundthemiddle2112 I mean.. I live in Tennessee and could see me being able to live off of that much. I am single but even if you have a family, that’s still over triple 20k

[@barbieblue3336]

Exactly

[@zachhenson7844]

How does she not have any savings making 70k? I make 46k and I still save a good bit every month. At least 600 a month but I try to do 1k

[@markswan2582]

Easy - She didn’t follow one of Dave’s most basic rules “Act your wage”.

[@barbieblue3336]

She had to be making over $70k

[@zachhenson7844]

@@markswan2582 I act below my wage. Most of my costs goes towards my car payment and food and in excess after bills I have 1300 left over each month only working 14 days per month. If I was making 70k I'd be saving a ton

[@dyates6380]

She does have sixty grand in savings, but HOW can she have that LITTLE in a 401k is what I'd like to know making seventy???? Especially at THAT age?

[@hollyb6885]

@@markswan2582. I never heard “Act your wage”. I like that a lot. I’m gonna use that.

[@beckyshell4649]

I would sell the house and build a small house, not a "nice' house or a "tiny" house. The "tiny" house that is commercially built are so expensive for what you get. They are sold to people who are used to paying a million dollars for a home. A retirement home should have a lot of thought put into it. For example a first-floor bedroom, wide doorways for possible wheelchairs, handicap bathrooms, wheelchair ramps to outside, and an extra bedroom for a person who may be doing caretaking. If things are planned out before the building process begins they can be worked into the house without it looking like handicap-accessible things are just thrown in.

[@cherylspohr9821]

Great idea!!!

[@cherylspohr9821]

This comment should be pinned to the top for everyone to read.

[@PK-zb6wh]

agree. My mom lives in a 500 sq foot apt, plenty big enough for her. 600-800 sq foot would allow for another bedroom and more than enough room.

[@TheFirstRealChewy]

Move further away and buy a cheap, already built home, when she retires.

[@dyates6380]

Dave is right; the tiny house thing is a fad. They are laughably expensive for what they are too. Sure, down size and buy a small place by all means, but paying 60 or 75 thousand for a "cute looking" shoe box sized "home" is a joke. LOL. I've actually been to a place where several were on display and you could "tour" several models. Are they cool? YEP. Are they some place where you'd like to spend a weekend or maybe a week if it was in the country or the mountains or a nice piece of land? Sure. Would you want to live in one? Um, NO.

[@HappyLife-tg8yy]

She isn't broke. Get outta here with the nonsense

[@quartytypo]

Don't worry. You are mom's retirement plan.

[@wtk6069]

I know people who openly say that about their kids, but I want to ask them if it's a good idea to put their very survival in the hands of today's youth, especially kids raised by people who didn't save anything so they probably will have terrible habits too.

[@maxmx767]

It’s way better to dump the kid in front of a firefighter station and put all that money in a retirement plan.

[@BusArch42]

Yup and usually they then leave all their assets to the kid who didn’t support them

[@DisabilityExams]

Put some money aside for retirement, folks

[@maxmx767]

Don’t have kids folks

[@thedude5040]

@@maxmx767 all biology books state life begins with the single cell. For humans, that means conception

[@maxmx767]

@@thedude5040 And what’s your point?

[@thedude5040]

@@maxmx767 we need folks to have kids. One of the greatest threats to our society is population decline. We should be taxing people pretty heavily on dog and cat food.

[@maxmx767]

@@thedude5040 Hahahahaha then stop having pets as well Kids don’t want to take care of their parents then why do anyone need to take care of a kid? No kids Problem solved

[@coolaunt516]

I just checked online and you can easily buy a condo in that area for much less than 250K. And some have mentioned maintenance fees, but those fees pay for maintenance like fixing the roof, mowing the lawn, etc. That is physically more difficult to do when moving into your senior years.

[@randomyoutuber308]

Yeah I live in a condo and it makes me chuckle when I hear people who never have lived in a condo talk about condo fees like they're a big deal. I pay about 240 a month, but I get heat and water(we're tapped into city water) included. We also have to pay for dumpsters for trash removal, landscaping, plowing in the winter when it snows, and just general maintenance, lighting, and cleaning of common areas. Seems like I get quite a bit for a smaller amount of money than a lot of homeowners will pay to fill up their oil tanks once with current prices.

[@dyates6380]

@@randomyoutuber308 Wow, that is a really good deal you're getting. I'm not sure where you live, but most people I know who live in a condo or have an HOA would KILL to only pay $240 a month - and this is the Cleveland Ohio area where we get a decent taste of all four seasons, including, obviously, snow. I know people who spend three times that without anything included in them.

[@thud9797]

​@@dyates6380 That post was 2 years ago, wonder if their fees had gone up any. My friend's condo recently had and they are now paying $800 per month and in 20 years you have to wonder what it will be.

[@kara2162]

Pretty straightforward. If she has a paid off house she will be just fine.

[@bobmarker6812]

It's so sad to see so many people having a mortgage in their later years.

[@dcg590]

Keep refinancing because of bad spending habits. I don’t feel bad. Poor decisions eventually add up

[@mariorta5017]

Thats the consequences of poor decisions.

[@latsnojokelee6434]

I think that’s the new normal to be honest. If you end up moving jobs or whatever it might be, and the interest rates are high, which they are now, there’s no way you’re going to pay off a house. Your only hope is to eventually sell that house and downsize to much smaller place but even that’s not that easy because 55+ communities are now asking in my area for $450,000 for a two bedroom condo.

[@dyates6380]

Not really. I'm 66 and after a bad period in my life had to start over after a divorce. I bought my house when I was forty six, so I still have ten years left, but could pay it off tomorrow if I wanted to. The key is how much EQUITY one has in it. Life happens, and too many people have no house at all. I'll take a mortgage any day over paying rent.

[@lkj0822g]

HUGE question not asked: "When mom retires, will she receive a pension from the hospital?" If so, she may be in better shape than she thinks. But I'm with Dave on this one, sell the house and buy/build something more practical.

[@adamseidel9780]

Pretty unlikely, but possible. She needs to be taking advantage of those 401k catch-up payments though.

[@markg999]

If she was I doubt she be still working.

[@ultrainstinctgoku9321]

Yeah she probably didnt work in that hospital long enough to claim a pension. My mom always told me to stay put at a company for at least 30 years to get that benefit. If this mom has a pension plus social security she might be set but a 208000 dollar mortgage at 68 yeah sell it and buy a condo with the equity

[@AnnMitt]

Doubt the hospital has a pension plan

[@costco_pizza]

@@AnnMitt Yes but is the answer then for this caller to simply let his mother die???

[@flea4061]

Condo's come with fees. 100k Trailer/modular home on the brother's donated land is her future.

[@thud9797]

Yes agree, I like Dave but that buy a condo idea is nuts. 😀

[@d_all_in]

Fees are only a couple hundred and takes care of all the exterior maintenance, and they appreciate. A trailer depreciates and nobodys gonna cut the grass.

[@2k3SteedaGT]

Caller: “She doesn’t want to talk about it” Also caller: “She told me exactly how much money she has in her 401k and bank account, as well as how much money she owes on her house”

[@goldengalsclazy]

LOL

[@Excalibur2]

I'm amazed how many details so many of these callers have. My parents don't even know how much they each make, let alone tell me.

[@dyates6380]

Um, he was referring to how she didn't want to "talk" about how she was going to handle retirement expenses. I thought that was pretty clear.

[@2k3SteedaGT]

@@dyates6380 it was not.

[@random-nz7dy]

The other reason I wouldn't do a tiny house is because you want Mom to have a good standard of living not have her crammed in a studio apartment.

[@deva190]

To me, those tiny homes are too expensive for the space they have. I would rather purchase a mobile home.

[@michelejohnson6459]

If she didn't want to live in a cramped studio she should have made different choices.🤔

[@19671967tc]

Im going through the same thing rn, heartbreaking 💔

[@LauraSchendel-ko1qk]

People don’t plan to fail…but they do fail to plan.

[@lopezjose476]

Happy mothers day

[@therocinante3443]

Lol jeez

[@truckingmoney485]

Beta

[@martinrymarczuk471]

Yeha my mom is currently 18k in debt and just renting. Unfortunately Canadian rent is around 3000 a month for a 2 bedroom (800sq feet) apartment. I try to help her out as much as possible by giving her cash but it’s hard as I’m still in school. It brings lots of stress but I’m ready to take care of her

[@egr3071]

In a better position than my mom

[@lionheart93]

bro made it seem like the mom was homeless and poor SMH

[@tezh5897]

Exactly! If he's able to pay off $114k worth of debt in 2-3yrs then he has enough to help his mother out in her golden years smh! Efff building a house on a lot of land out in the middle of no where... Let her stay where she is and help her out financially. I don't understand why people- who have the financial means- don't want to assist their parents in their senior yrs.

[@nicholeknight1893]

Right!

[@mzstacystacks3168]

@@tezh5897 exactly! Smh people forget real quick like parents (good ones) sacrifice so much to care for us and it’s the least we can do when we get older and are financially stable to make sure they are comfortable in their retirement years

[@carojames6776]

@@tezh5897 I have always found it very strange why people don't help their parents when they are in financial difficulty or some kind of hardship. There is NOTHING I wouldn't do to support my parents if they needed it, they put the food on the table, shoes on my feet and the clothes on my back. I NEVER forget it.

[@wataki2]

I know!

[@edblaskowski81]

Have her sell the house and get a house for $200K in Kansas. It’s ridiculous to live in a $500K house when you retire.

[@markg999]

Just depends on how you are doing when you are retired...this lady for sure can't afford it.

[@sobeliever1638]

Nope tornadoes

[@jaygold4467]

She's worth $300k and makes $70? I wouldn't worry about retirement. Nothing for retirement means you're worth nothing. She's wealthy by most people's standards.

[@travisallen8158]

Exactly

[@janetstraw191]

That’s what I thought!!

[@المهديخاتلبالمجاري]

He offered her the land not donated it. So this could trigger future dispute after the house get built. Make sure the land transferred to her before building a new home.

[@TubeDeviant]

Why would someone just transfer her land..?

[@المهديخاتلبالمجاري]

@@TubeDeviant her son in low wants to give her a land. the deed needs to be transferred to her name.

[@michaeldalton8374]

Beggars don’t get to be choosers.

[@المهديخاتلبالمجاري]

@@michaeldalton8374 true the point is to be clear before spending your money on building a house. So if his offer is temporary they will know.

[@barbieblue3336]

I wouldn't take it

[@Ilovedachshunddogs]

My mother has been terrible with money my entire life. I’ve begged her to follow the baby steps. She has no savings, no retirement and no wiliness to change. She’s 74 years old. Should I support her financially

[@pep590]

Does she really have no savings? The title in this video here lies and says this woman doesn't when in realty, she is better off than many, if not most. You sound more truthful.

[@marquisstrongchild7535]

Well, she's your mother, so eventually you will have to support her. She may have been selfish, but in your heart you know you can't bring yourself to not support her. Guess what? She knows that too.

[@ludwigvonmiseswasright4380]

You should "honor your mother and father" ... You cannot give a spendthrift access to your finances, but you can make sure there is always a place in your home for mother. Can you afford a house with a mother-in-law suit? A duplex? A house with a studio over the garage? All of these options are excellent for caring for the elderly, because even if she is healthy now, she will at some point need daily care. If she is healthy now, then she can help babysit? light garden work? Simply be a listening ear to teens, and share wisdom and love? There are other virtues besides managing money. Celebrate her strengths, don't bemoan her weaknesses now at this age.

[@maxmx767]

Did she support you when you were a child?

[@PK-zb6wh]

Can you afford it? there are many things available to seniors. Low-income senior apartment. Medicaid. Snap. I don’t know what “support her financially” means. Pay off her debt? Nope. Give her $1000 a month? err How much is her income/SS?

[@lyra2112]

Bait and switch title. This isn't going to help someone's mom who has no property as an asset.

[@veyveye.2985]

Cheering for this debt-free guy and his nice voice

[@kathyann9643]

She doesn’t need resale value. She’s 68. She’s in very good shape if she’s willing to downsize. She can also go into a park model in a nice park. At her income level she should have more than enough money with s.s. to live on, plus her savings and the equity of her house. Why do people make everything so complicated?

[@kathyann9643]

And furthermore, if living in a cute and cozy tiny house near her son would make her happy she should go for it. Quit that job tomorrow.

[@mph5896]

Unfortunately somebody living in a $500K+ house is more than likely not going to downsize into a trailer park. Yes, she is on that budget, but prob not going to happen. Dave gave great advice here for the situation

[@autobotdiva9268]

she can live a nice senior park living or very small home, she 68. that $500k house would have been sold yesterday.

[@jimroscovius]

@@saulgoodman2018 Resale value is VERY important. The house she buys is going to have to be sold someday, and you need to make money on it.

[@steviegian8867]

@@saulgoodman2018 what do you mean? Why you say that? Explain more...

[@SonnyBubba]

This is the definition of “house poor”, and the reason Dave recommends saving for retirement while (not after) paying off the mortgage.

[@TheFirstRealChewy]

At the very least the goal is to have a nest egg in retirement that covers your living expenses, assuming your house is paid off. Plus the more time your investment has to grow, the better.

[@ahadumer418]

It’s been a year but she would be fine like if she gets a mortgage free condo than the social security check will cover the rest of the bills

[@MrBrewman95]

Investing a $100 a month starting in your 20s can prevent this situation. A $100!!!!! I can’t really feel sorry for millennials my age who will never do this and be so broke in their old age because they had to get the newest iPhone every year and go to the bar every weekend.

[@ernieellan5694]

No in esting at a 12% return will prevent this. No one reliably gets that return. At a 5%(which is doable) you still end up with around 500K if you invest 100 a month at 25 though.

[@Arrivedercimerda]

You can choose to buy and live in a tiny home. Not everything has to be about resale value especially in your older years. A small rural section with a tiny home and growing your own veges and just the company of your pets sounds wonderful!!!

[@katiejon17]

At what point do we just get real and admit: “it’s too late”? Serious question. Because other than his mother selling her home and buying something, somewhere in cash that is WAAAY less and having a couple hundred thousand remaining... she will have nothing more than what she has now. It just seems that “it’s too late” is the reality.

[@jimroscovius]

My parent downsized from owning a large home to selling it and renting a duplex. It can be done.

[@random-nz7dy]

Well she's probably going to have to work a retirement job potentially one from home for a lot longer than other people. She's going to be doing some type of work longer than she probably would like to.

[@maryrenaud6732]

Nonsense, people downsize to smaller more affordable properties or condos all the time to create that ‘affordable retirement.’ Here in So Florida, the people who sold bigger homes and then bought an older small condo with zero mortgage now have overhead way lower than rents. The older people in trouble are the ones saddled with a mortgage and car loan beyond age 75 when medical costs start growing. If your housing overhead is low, even with just social security for a couple, you can live pretty well.

[@katiejon17]

@@jimroscovius read my second sentence. I never said it couldn’t.

[@katiejon17]

@@maryrenaud6732 read my second sentence. I said as much. Do you folks read the first part, get triggered, and call it a day?

[@curiouscat3384]

geez Ramsey! $2200 a month is plenty if you own your house and car - unless you want to live a lavish lifestyle and travel the world and the guy made no indication that's her style. I'd say no to a tiny home - at this age (I'm 70 myself) she just needs to downsize to a condo with amenities. No lawn care, exterior maintenance and possibly a social life with neighbors. At our age we don't need a million$ nest egg assuming she's not the social butterfly, go on a cruise every year lifestyle.

[@Ria24Ria]

Exactly, depending on what state who live on $2200 with no debt can definitely be done.

[@jasonlovell3934]

Just keep working.

[@Europa1749]

If your parents didn't handle their finances and have nothing for retirement, that is not their children's responsibility to take care of them.

[@klarafogelova9085]

I agree, but what should the children do then?

[@xyz987123abc]

@@klarafogelova9085 Not their challenge.

[@AnalyticalMenace]

Say it louder for the folks in the back!

[@8356-4]

@@klarafogelova9085 The taxpayers take care of them. That's what happens. Welfare.

[@roolyfe]

Only 1/3 Americans have saved for retirement

[@xyz987123abc]

Most people spend more time planning a super bowl party than their retirement. Choices have consequences, good and bad. I love you mom but you are NOT staying in my home.

[@2023Red]

The issue is mom refusing to change. Hard topic!

[@s1234pro]

A half a million dollar house and earns $70 thousand a year. I'm confused.

[@RB-gt8bf]

she probably bought the house many years ago and the equity has built up over the years...and houses have appreciated greatly across the US especially in major cities. The son said she is located near Dallas in Waverly TX. She has tons of equity.

[@RoadieWingZZ]

That same “half million dollar house” was valued at $350K only a year ago. The insane/inane housing bubble in Texas caused the inflationary valuation. Likely the cooling off that’s happening now will push it back down in the next year.

[@whackadoodle1]

My mom moved in with me during Covid because she lost her job, so she retired. Now that Covid is over, she won’t move out, she says she can’t afford more than the $550 per month she pays me in rent, pays no utilities or household bills whatsoever. She has no income other than $1762/mo social security and about $300/mo from my brothers (because I told them they needed to help). She does get some food stamps that I made her apply for, and contributes eggs, milk, bread, the basics for the house with it. We live in Northern California and unfortunately have to rent. When she moved here, I had to move from my great little 2 bedroom apartment to a tiny, old 3 bedroom house to accommodate her and my office because I work remotely. So rent here is expensive at $2300/mo. She says she did her job and should be taken care of, and is basically refusing to go back to work or make a plan to move on (and out). I’m at my wits end because while I do love her to pieces, she’s going to drive me to insanity. I’m a 51 year old woman with 3 grown children, and she treats me like I’m the kid living here, not the person who pays the bills. About twice a year, I’m pulling money out of the retirement that I invested in for my own retirement just to afford to live and support her during hers. I don’t know what to do to help her or me. 😢 Letting her move in was literally the worst decision I have made in my entire life.

[@rudyardganuelas6254]

that is horrendous. you can either tread water for the both of you for the rest of her life, or you can cut the line and watch her financially and emotionally drown. my suggestion: find her a spouse. i wish i was kidding, but i am not

[@michelejohnson6459]

If you continue to do this you are passing this generational curse on to your children. 😢

[@damondiehl5637]

$1762 + $300 = $2062 per month. She can afford to pay more than $550 in rent. Write out a budget, make her split the utilities and other bills. Get your siblings together, have a Come to Jesus meeting with your mom.

[@RonniewbNC]

She has the “I deserve it” mentality. Dave would probably tell you to kick her out unless she made drastic behavior changes.

[@TheMechanicj]

Sell the house move to a cheaper area buy a 200k condo that’s bout her best bet

[@jenniferlee7167]

She will have HOA fees with a condo--I live in a co-op and the fees are not cheap.

[@kat-oe7gb]

@@jenniferlee7167 coop fees are a lot more expensive then a condo fee! Also the taxes are a lot less in Texas than NY

[@kzfingerprint]

What's crazy, is that his mom is in a much better place than the rest of our parents. Neither of my parents have retirement, and they're divorced so they don't even have each other.

[@cur244]

How does someone living in TX making 70k not have anything saved?? Americans absolutely LOVE shopping over prioritizing their future.

[@rudyardganuelas6254]

it's more important to show random strangers that you have money than having food in old age. you can always emotionally blackmail your children for support later anyway

[@cur244]

@@rudyardganuelas6254 HAHA true. People value such bizarre fantasy aka social media over financial future.

[@rudyardganuelas6254]

@@cur244 social media didn’t exist 25 years ago when this person was spending all of their money.

[@cur244]

@@rudyardganuelas6254 It existed 20 years ago when she could have been saving. It existed 10 years ago. People absolutely spend more to compete with their social media friends.

[@kyliefan7]

For me I’m betting my parents could run short but at least they have a paid off house but my have a garage mortgage! I would never tell them how much nest egg I have saved because they’d probably come after it….it’s very toxic for me…

[@dustinpitre2278]

No reason to think of the investment aspect of a “nice house” if you want a tiny house. Build one. Pocket the remaining cash. Your best egg will grow bigger. Faster. No reason for a 70 year old to think about selling a “new” to her home. I’m sure her plan would be to stay there. And enjoy her golden years.

[@E3742O]

You’re not your parents retirement plan. They had the same time you get to work on your future, and it’s not your fault they didn’t.

[@boxer6796]

I thought the title was a misleading, but when you factor in: 60K in cash, ( Why is that still in cash??) 18K in 401 (At 68 being a nurse several years, making 70K??) House is worth low 500K and owes 205, that doesn't leave her with much even if she sells her house. Just enough to by a house for over 200K.

[@dtom1145]

Non issue. Sell the house and rent or buy something smaller. I would bet she has a pension and probably a good group retirement health plan from the hospital and with SS and profits from the house sale she is in good shape.

[@PK-zb6wh]

how much would you bet? Hospitals I have worked, got rid of pensions 20 yrs ago. There is no group hospital health plan, it is called Medicare.

[@cycletime2238]

she has great kids

[@xfhnhhgjbvcfg]

Made great money for a long time and has nothing saved. There is nothing you can do

[@johnnyhoang4444]

Property taxes in that area are very high for a 500k house

[@LifeandLifeMoreAbundantly]

Great advice.

[@markg999]

If she is working why take SS now. Wouldn't she get more if she took it later? She will be able to downsize and be mortgage free not end of world but not great.

[@kebinyo]

She taking it now cuz she wants it now bro

[@markg999]

@@saulgoodman2018 For some reason thought if delayed past age to take you would get more. Ok makes sense then.

[@damondiehl5637]

@@markg999 Minimum age to start SS payments is 62. You get an increase of about 8% for each year you defer filing for SS. If you work and make more than a certain amount between filing and reaching full retirement age, they reduce your payment. If you wait until full retirement age to start payments, you can earn any amount and still get the full SS payment. She is 68 so she has reached full retirement age. My wife retired at 62 and filed for SS. Then she got a part-time job that turned into full-time hours, and she wound up taking a hit on her SS. The sad part is, SS doesn't figure this out until you file taxes, so there is a delay in the reduction of payments. So they recoup all of it as fast as they can, which means zero payments until the full excess payment amount is recouped.

[@damondiehl5637]

You gain about 8% each year you delay filing, until your full retirement age. I just went to the SSA site and downloaded my benefits. If I file at 62, I get about $1800/mo. If I wait until 65 I get $2300/mo. If I wait until 70, I get $3500/mo.

[@79bnice]

Why can't his mother stay with him and then rent the house out?

[@wewhoareabouttodiesaluteyo9303]

And she gets __aped and then what?

[@Ria24Ria]

I would have her move in with me

[@edhcb9359]

Pay cash for a less expensive home, keep the $18k in 401k for emergency, and live off social security.

[@kellyinfanger9192]

I'm not understanding why he doesn't recommend paying the mortgage down. She doesn't need much of an emergency fund with a guaranteed Social Security check. So, at 70k a year, she has a fighting chance to pay it off. Building a house on donated land is a good idea, if family is willing to take care of all the hassles. Building a home for an inexperienced, semi-retired lady is probably WAY too much stress, and he said she had to stop working at the hospital because of the stress.

[@nosterpierre7353]

The house is better than condo you can always make the car garage a studio rent it

[@maxmx767]

Yeah! Take care of her like she took care of you when you were just a baby

[@biellaspointofview2054]

Parents chose to have a baby, thus it's their obligation to raise the baby

[@maxmx767]

@@biellaspointofview2054 You right. Is not an “ obligation “. You can actually dump it in front of a fire station.

[@susancross5192]

Thank you! I don`t understand why so many people think parents do their kids a favor by raising them. If you don`t want to take care of a child.....Don`t have one!@@biellaspointofview2054

[@susancross5192]

Some kids would be better off if their parents did just that!@@maxmx767

[@ak8990]

It would be hard to build a house for $300k. Construction industry is sky high right now. I got quoted 40k just to put a half bath in my home. A half bath!!! I could only imagine how much a whole house would be.

[@scottlaux6934]

Honestly, if she has 300k in equity in her house she has savings. She can sell it and with social security rent an apartment and have a nice retirement.

[@steveo601]

I am a healthcare professional. Have been for 20 years. In Radiology. A 401k comes standard. How the effing hell was she not contributing to it every two weeks??????Time goes by really fast. She prob wanted the full income without the deductions then just woke up the next day at 65 and… oh shit🫤🫤.

[@TubeDeviant]

There's nothing wrong with a tiny home, if she's willing to live in it. It's for her retirement years, not for making a profit or resale.. And to GET OUT OF DENT AND A MORTGAGE SHE CAN'T AFFORD.

[@BigRed2]

Yah Dave was wrong and i was shocked, thinking about profits when this boy is trying to get his mom to retire and and have no debt

[@evegestl8764]

Plus a tiny home can be rented out later as an air b&b

[@marcusarelius]

To Dave's point, she has up to $300K that she could use to build a home, not a tiny home.

[@TubeDeviant]

@@marcusarelius Yeah, she has 300K equity in her current home, but if she spent that entire amount even downsizing, she would still be living month to month. And considering her current financial decision making, she may get into debt in other ways. What I don't understand is how much she will be getting from a pension as a nurse.. In combination with whatever else she will be getting. We haven't even talked about current inflation rates, interest rates.. Maintenance of the home.. etc.

[@marcusarelius]

@@TubeDeviant how do you know she would be living month to month on her current paycheck? Her expenses were not discussed other than her mortgage. If anything, she’s living month to month now and by removing the mortgage, she will have margin.

[@Noliving]

Basically she has to keep her job for the next 12 years basically eating beans and rice and no vacations and putting everything into investments.

[@BlowitAllUp]

People who make good income and didn’t save do not deserve sympathy.

[@adoe2305]

That's rough. Life is so hard. I would reither have a healthy, broke mom then a mom with lots of cash and has medical issues. I can't even. I'm about to cry..

[@paulinamiller8262]

Agreed

[@frankish5314]

I guess she gets to keep working.

[@aarondavid5866]

what is Dave talking about its a pretty good income

[@jdear97]

What does it mean that your not relying on Social Security? That is all that she has, that is her retirement. If she can put another 150k in the bank and have small home with no mortgage, she will end up with 24k income from social security and another 6k she can pull from savings and retirement if she gets it invested. She is already working from home and physically unable to work in the Hospital. It will be up to her family to help her make ends meet in retirement. There will be no extra, and the house has to go.

[@bobs182]

Most offspring expect their parents to be giving to them.

[@May-tj9uh]

$500k house. Property tax in Texas in high. She should downsize the house. I think she probably will have a good SS benefit income that she can live on alone.

[@9liveslisa]

A lot of condos have large HOA's

[@Bigpitbull509]

Sell everything & move to Mexico or Brazil

[@raallen1468]

Condos come with ever-escalating COA/HOA fees. $$$$$

[@JamesHollinger-lt8qx]

Keep working

[@Abby_Y_12]

Does she have a pension?

[@roolyfe]

Pension don’t exist anymore! 401k

[@mph5896]

Since he never mentioned one, prob not. All the hospitals in my area gutted the pension model long ago. 401k with a 5% match is better than nothing though where I am at.

[@MidlifeCredo]

I think Dave kind of missed the point on the tiny home. We don’t know how much land is available nor how big of a home could be built on the property. Having an home that appreciates in value, isn’t particularly important to the woman who needs a place to live *for the rest of her life.* If she can sell her current home and build a tiny home on a free piece of land, where she can live securely for the rest of her life, she can use the vast majority of the proceeds from her home sale as the beginning of a nest egg.

[@patty109109]

Plot size is really irrelevant to a typical house. She needs money because she may eventually have to move out of the house and use that money to fund a nursing home.

[@thedude5040]

Are you stupid? Tiny homes are not wise for elderly. Need bigger bathroom for wheel chair, walker. Also need room for a car giver. Old people should also not have to climb a ladder to sleep in a loft.

[@autistic-lutheran-carnivore]

I think Dave Ramsey's view on tiny houses is practical because a tiny house will not go up in value nearly as much as a traditional house would.

[@jeffleach2668]

@@saulgoodman2018 Next step will likely be a nursing home in another 10 years or so and the resale will be important to get into a nice facility. Pouring money down an empty hole is never a good idea because you just don’t know what’s coming next.

[@mph5896]

@@saulgoodman2018 It needs to be a solid investment. Dumping money on a tiny home and having it not worth as much as cost, or not go up in value isn't going to help her in the long run. A very modest house, maybe 1000-1200sq ft ranch would be reasonable for both living in and later selling on.

[@megalodon1726]

If she's retired and going to live in it for the rest of her life, resale value isn't of high importance to her. If she took the $300K equity for the house and bought a $50K tiny home, that's $250K left to put towards retirement.

[@autistic-lutheran-carnivore]

@@saulgoodman2018 Maybe if a pair of socks were tens of thousands of dollars.

[@ibislife]

If the family is not selling/giving the land to her, just a lease, a tiny house could definitely be the solution. If she gets one for around 100k, she could invest the rest for her future, to live debt and mortgage free, what a blessing. Futureproof the tiny house - have the bedroom on the ground floor! 😊 Personally, I would hate the condo idea - I need to have a garden, and space around me.

[@TheFirstRealChewy]

Basically build a guest house.

[@rodeleon2875]

she just needs to go back in time and start saving and investing in her 20's. why is this so hard for people to understand??

[@t206kid]

Needs to sell the house and move into a small condo and pay cash for it

[@rodeleon2875]

give me that lot and i could build a house that one person could live in comfortably for less than 100k. won't be a palace but it will be comfortable.

[@jumpiam8477]

Sell the house and buy a condo or townhome. She is 68 years old. She can work if she want to, not because she has to. Time for her to enjoy life while she can. How many people can live to 100?!

[@blackworldtraveler3711]

My mom will be 100 in September and still doing her thing. She retired at 52. My grandmother (her mom) passed one week before 100. Never worked. I retired at 49 but have been enjoying life since being on my own anyway. Life in retirement is just an extension of what I was already doing anyway but without a time clock. Since my dad lived to 86 and my aunt and uncles lived through the 80s I set myself up financially for 100 regardless.

[@mist1714]

Ur expected that here, I can't go on pension before 75. Rising half every year

[@patty109109]

Lol dave $200k ain’t building a nice house in 2022z

[@crusaderlatin732]

This advice is all and good and most financial services can give the same advice, but I want advice on raw survival skills regarding retirement and low income situations.

[@kathleenberg9168]

She should have waited to collect Social Security.

[@egresk1]

She has $300k in home equity, $60k in cash savings, $20k in a 401k and she has a job making $70k/year working from home. I really don't see a Huge problem here. She has more than most.

[@fhuber7507]

Not really a lot the caller can do except prepare to support their mom through her retirement.

[@barbieblue3336]

I wouldn't take property from a family member. Move into a place where there are other older folks why didn't she save $? She makes $70 k now, how much did she make before wow

[@loisavci3382]

A tiny house might well suit someone as they get older and struggle more to maintain a larger home.

[@nicholasmartinez6043]

Never heard Ramsey cough on the air before. That was a little weird for some reason

[@lemboisimsonni2272]

Clotshot

[@redbunnyclassic]

That's your proof he's human.

[@ItsAllAnillusion]

This guy just called to humbly brag. Next caller please. I want to hear from people with real problems.

[@J3llyBean423]

SRB sweet / I get y'all have to ..."keep the chargers going" / jus be careful /

[@jordangarrick703]

Build a "nice house" for $200k? Hello, 1998....

[@sobeliever1638]

The only people who won't or have to ask if they should help their parents are eithet really poor and can't or people who never had a good relationship with their parents.

[@kathleenberg9168]

Nothing with an HOA

[@rayb6852]

Invest soon as you can. Just to start easily put your tax returns in a roth ira. Don't spend it on a vacation or tv.

[@wewhoareabouttodiesaluteyo9303]

What about mattresses? MLM (Mattress lives matter)