This is the Ramsey show, where we help you win in life. We want to help you win with your money. We want to help you win in your work, and we want you to win in your relationships. The phone number for your questions is 888-825-5225 triple 8825. 5225. I'm Ken Coleman, and I'm joined by the illustrious, the incomparable, the fabulous Jade Warshaw, ladies and gentlemen. How about that? I gave you three adjectives.

Listen, my eyebrows couldn't keep up. I was trying to keep up with you.

I like that. So we are here for you. Jade will take the lead on those money questions, and then anything related to your work. Specifically, how do I make more income so we can get through these baby steps faster? I want to help you id eight on those questions, so give us a dial triple 8825-5225. We started off in the ATL, where April joins us. April, how can we help today?

Hi. So my question is, do I sell my home to get out of debt and a bad marriage?

Maybe.

Wow.

Tell us more.

So, I got married less than a year ago. I didn't know it was going to be emotional. I got married less than a year ago, and I came to the marriage with debt.

Okay.

I have about $91,000 of debt. That is not including the home. My home is worth about $180,000 positive. So I have 180 in equity.

Okay.

My marriage has gotten progressively more toxic, to the point of verbal threats, of. It's already been emotionally and verbally abusive, but now there are threats of harm. So my question is, would it be a good idea to sell my home, to start over from scratch financially and to get out of this marriage?

Well, let's start with the most important thing first, which is getting into a safe place and out of this marriage. That's thing number one. Do you have a plan in place that you're able to put into action immediately?

There's somewhere I could go. I could always go to my mom's house because we live together. I could always go to my mom's house. I don't have a plan. I'm just confused at this point.

I do think you need to go to your mom's house, because any man that would make a threat to physically harm you, you can't stay there tonight, right? Yeah. And I. Sorry. I'm so. I'm so, so sorry. This was not what you pictured when you said, I do. No one pictures that, right?

No.

Okay. Deep breath for both of us. All right. You're going to mom's house tonight and we're going to come up with a plan that you can move out, be on your own and feel like you have some confidence. Yes.

Yeah.

Okay. So let's talk about what you're earning. What, what are you bringing in every month?

Um, as little as 6000. I'm in commissions.

Okay.

I get paid commission. So as little as 6000? As much as ten.

Okay. Six to ten.

What do you do?

Car sales.

Mm hmm.

Okay. Good job. All right, so can you kind of go through this $91,000 of debt with me just so I can get a handle on what it is? Can you kind of itemize it for me?

Yeah.

So around 50,000 in student loans, about 10,000 in aup in their business. We're talking about what little bit they share. They will begin to share more over time. But how are you doing as a person? Okay. I heard your dog was sick, or word is that your mom's going through something.Whatever they're sharing, you've heard it. And you lean in as a person to say, how are you doing? To let them know that you care. The more you ask that question, the more they will know you care, and the more they will trust you. Which leads to the second question. And they will be willing to answer the second question. The more they give you answers on the first one. The second question is, how can I help you win? Okay. And that is, people want to know that their leaders know what they're dealing with. Do they have the resources? Do they have the time? Are you tuned in to what's going on in their job? If you ask those questions on a weekly basis, over time, you will develop unbelievable communication and trust through the transparency that's going on with those two questions. You got it?Yes.Now, that will make you a really effective leader. I promise you. Okay. Now let's just talk about the decision. The long term is what I was going to ask you about, and you already gave us that answer. So you said this job with more money also gives me more opportunity long term. For me, I'm going to go with the long term opportunity. As long as the new schedule change isn't some type of massive, massive disruption that would make my family life such a dumpster fire, Jade. That it wouldn't be worth the long term opportunity in the short term pay. What do you think?I agree with you wholeheartedly.So is that the case then, Amy? Will the new schedule be super negative or disruptive to your personal life?It would be somewhat of a disruption. This is if I could say it's for hospice and my availability would have to don't have much savings, especially after the fire. Now, um. And then.Whoa, whoa.What have you, what have you been doing?Yeah, um, we, we just started it, so we had the emergency fund, but now with the fire and stuff, we.The $1000 emergency fund or.Yeah, yeah, $1,000.Okay. So, um, here's what I think. So where are you staying right now?Right now we're at my parents.Okay, you're at your parents. You've blown through most of your thousand dollars. What do you have left?Right now? We've got, I want to say, well, she actually made an extra car payment, so we're waiting for that to come back. But we'll have about 13 in our account. But we have bills and everything. And I do a ton of driving for work, so I have to leave at least five to 600 in there for gas.Okay. So. Okay.Is insurance going to cover the total rebuild or is there going to be more cash? You're going to have to cover?They're going to cover it, but they are kind of dragging their feet, so.Right. Okay.I think you're a little new to the baby steps. And so I kind of want to reset and get everything on so that you and I are at least on the same footing kind of going forward. I hate that this happened to your house, and I hate that you guys had a plan and this just threw wrenches all up in that plan. However, in one way, like Ken said, you dodged several bullets here, and I'm going to add another bullet to the list that I believe that you dodged. Now, looking at your financial situation, fire aside, now is not the time for you guys to buy a house.Yeah, I agree. You know, I originally wanted to call will be the one you've been waiting for. Because the Ramsey Network app lets you have control. And with over 7000 hours of life changing content, the Ramsey Network app is the best place to find the answers you're listening for. To get access to personalized content for free, just search Ramsey network in the app store today.This is the Ramsey show. Thrilled to have you with us. Weor because you think it'll free up the other payments. And it will.It will because the Mastercard, we have two mastercards and a Visa. The two mastercards are both at about twelve five and the Visa is about 13 three. The Visa is negligible because it's the same interest rate pretty much as the line of credit.I hear how you're thinking. I hear how you're thinking. You're doing a lot math. And let me validate this because I understand what you're doing right now on a heart level. Like when you've been working the baby steps, you do get to this point where you're like, okay, what can I do to mother.Okay. I'm sorry, mother.Okay. Yeah.Okay. All right. That's what I thought, but I wasn't sure, so. So you don't feel like you can do that?No.Yeah. Well, listen, here's the deal. Um, with that being said, I. I don't know what you do, other than try to explain it to her, not try to talk her out of it as much as go. Do you realize this is essentially, you're borrowing money on the equity you have in your home? Would you like to get to a later date, mom, and have no equity in your home? Because that's what this is. And I can't believe she would go for that. Would she?It's, you know, one of those deals where she's talking to her finance friend or something like that, and they gave her this idea, and now it sounds real good.You got any siblings that have a better relationship with her?Not really.I mean, at the very least, you could play out the number. I mean, I don't. Some people respond well to math. Some people just fall asleep. Right. At the very least, maybe you run the numbers. I don't know. How much equity is shedden.Yeah.How much equity does she have? Because you don't have access to 100% of it, only a portion of it. So if you had to guess, what do you think?I would guess maybe she has 200 on a $300,000 home.Oh, my gosh. Oh, this is horrible.Yeah.Cuz. Cuz the people. Let me put it like this, because there's no real smart way to do this, but the people who think they're smart doing this think, okay, I've got a lot of equity. I'm 86 years old. Not to sound morbid, but I'll probably pass away before I run through all of this. Equity. That's what they're thinking. And so they're like, if I don't have anything left to leave, I'm fine with that. This is what I'm going to eat off of, right? But in this case, I'm like, fees. Fees alone are going to eat up so much of that. And I can't remember off the top of my head, you'll have to check it for yourself. What percentage of that is actually going to be available to her? I think it's only 60. I can't remember, but check to see what, what percentage of equity is actually available. But that's what she's got to realize. This is a. This is not even a solution. It's not even a band aid. This is like when you just kind of wipe, wipe your knee on your shirt, right, to stop the bleeding for a quick second.She's going to end up without a home. This is going to end in foreclosure. So we've got the solution here. I think I've painted. I didn't have to tell you how bad of an idea this is. But what we've got to get her to see is, okay, how do we solve this problem? What, Social Security? What's she living off of? What does she need? And is she on a budget? So, those are the kind of detective work that you're going to have to do. And I think that it's you sitting down with her and saying, listen, mom, this is your life, but I'm your son. And the truth is, if we. If you don't let me help you now, you're going to assume I'm going to help you later when it's too late.Right.So in that way, you do have a stake. You're a stakeholder in this. And she might not see it now, but that's kind of the picture you have to paint. Like, listen, I want to help you now. Where. When it's not so much of a burden to me, as opposed to you cutting me out. Because when you're 80, then I'm going to have no choice. And then I'm going to be a little bit pissed because I tried to help you when you were 60.How old is she?60.Okay. You know, you can't even qualify until a 62.Yeah, she, she's, she's thinking about it now, though, so.So you start running those numbers and you show her, okay, you're going to have this much cash.Mm hmm.That's what the most you can get, mom. And then let's play this outsomething, I'm seeing a person with a great income with three to six months of expenses, which is basically your 60k. That's around six months or more. What portion of that 60k can you put towards a down payment?So my expenses right now are actually really quite low. And so I only have ten k of that as my emergency fund. And then the other 50k is currently my house fund.Okay, so ten k, how does that work? You're saying that you can exist for six months on $10,000?No, that's three months.I'm not.Yeah. Are you saying, like, I feel comfortable with three months?Okay, you're sitting. Okay, here's. I'm just, I'm poking holes in this because since you're afraid, I want to make sure that everything is right on, so you don't have to be afraid of anything. Here's where I would poke holes in your and emergency fund a, because it's the only income you have going in, and it's just you. One stream of income makes me want six months of expenses, because if something happens, it's. It's all on Love that. And love just how focused she is, man.I wasn't like that at that age.She's gonna be fine one way or the other. And I thought that was really good advice. Now it'will have to give, and I really believe we. I can't even begin to get a crystal ball out for 18 years from now on. Higher education. But something has to give the student loan to the trillions of dollars. The american people, 46% of american parents said they wish their kids would go to trade school. If colleges and universities were running for president, they wouldn't probably get elected. You know, they're suffering a little bit.Yeah.And I think that only gets worse unless something happens with tuition.Something's gotta happen with tuition. Yes. In the meantime, all we can do is save up and do our best. And you can only afford what you can afford. And at the end of the day, that's the guiding light.Speaking of Guiding Light, she is Jade Warshaw, my co host. Happy birthday, James Childs. Thank you, my friend. And thank you, America, for listening. This is the Ramsay show.Sadeena.Hey, folks. Dave here. You want to hear even more life changing content from Ramsey, download the Ramsey Network app so you can catch all your favorite shows all in one place. Like the Ramsey show, smart money, happy Hour, and the doctor John Deloney show. You'll get real talk about life, relationships, money, and your career. Plus, the app lets you browse by topic, like debt, business, or selling your home. Get the content you want whenever and wherever you want to listen. Download the Ramsey Network app today.

up in their business. We're talking about what little bit they share. They will begin to share more over time. But how are you doing as a person? Okay. I heard your dog was sick, or word is that your mom's going through something.

Whatever they're sharing, you've heard it. And you lean in as a person to say, how are you doing? To let them know that you care. The more you ask that question, the more they will know you care, and the more they will trust you. Which leads to the second question. And they will be willing to answer the second question. The more they give you answers on the first one. The second question is, how can I help you win? Okay. And that is, people want to know that their leaders know what they're dealing with. Do they have the resources? Do they have the time? Are you tuned in to what's going on in their job? If you ask those questions on a weekly basis, over time, you will develop unbelievable communication and trust through the transparency that's going on with those two questions. You got it?

Yes.

Now, that will make you a really effective leader. I promise you. Okay. Now let's just talk about the decision. The long term is what I was going to ask you about, and you already gave us that answer. So you said this job with more money also gives me more opportunity long term. For me, I'm going to go with the long term opportunity. As long as the new schedule change isn't some type of massive, massive disruption that would make my family life such a dumpster fire, Jade. That it wouldn't be worth the long term opportunity in the short term pay. What do you think?

I agree with you wholeheartedly.

So is that the case then, Amy? Will the new schedule be super negative or disruptive to your personal life?

It would be somewhat of a disruption. This is if I could say it's for hospice and my availability would have to don't have much savings, especially after the fire. Now, um. And then.Whoa, whoa.What have you, what have you been doing?Yeah, um, we, we just started it, so we had the emergency fund, but now with the fire and stuff, we.The $1000 emergency fund or.Yeah, yeah, $1,000.Okay. So, um, here's what I think. So where are you staying right now?Right now we're at my parents.Okay, you're at your parents. You've blown through most of your thousand dollars. What do you have left?Right now? We've got, I want to say, well, she actually made an extra car payment, so we're waiting for that to come back. But we'll have about 13 in our account. But we have bills and everything. And I do a ton of driving for work, so I have to leave at least five to 600 in there for gas.Okay. So. Okay.Is insurance going to cover the total rebuild or is there going to be more cash? You're going to have to cover?They're going to cover it, but they are kind of dragging their feet, so.Right. Okay.I think you're a little new to the baby steps. And so I kind of want to reset and get everything on so that you and I are at least on the same footing kind of going forward. I hate that this happened to your house, and I hate that you guys had a plan and this just threw wrenches all up in that plan. However, in one way, like Ken said, you dodged several bullets here, and I'm going to add another bullet to the list that I believe that you dodged. Now, looking at your financial situation, fire aside, now is not the time for you guys to buy a house.Yeah, I agree. You know, I originally wanted to call will be the one you've been waiting for. Because the Ramsey Network app lets you have control. And with over 7000 hours of life changing content, the Ramsey Network app is the best place to find the answers you're listening for. To get access to personalized content for free, just search Ramsey network in the app store today.This is the Ramsey show. Thrilled to have you with us. Weor because you think it'll free up the other payments. And it will.It will because the Mastercard, we have two mastercards and a Visa. The two mastercards are both at about twelve five and the Visa is about 13 three. The Visa is negligible because it's the same interest rate pretty much as the line of credit.I hear how you're thinking. I hear how you're thinking. You're doing a lot math. And let me validate this because I understand what you're doing right now on a heart level. Like when you've been working the baby steps, you do get to this point where you're like, okay, what can I do to mother.Okay. I'm sorry, mother.Okay. Yeah.Okay. All right. That's what I thought, but I wasn't sure, so. So you don't feel like you can do that?No.Yeah. Well, listen, here's the deal. Um, with that being said, I. I don't know what you do, other than try to explain it to her, not try to talk her out of it as much as go. Do you realize this is essentially, you're borrowing money on the equity you have in your home? Would you like to get to a later date, mom, and have no equity in your home? Because that's what this is. And I can't believe she would go for that. Would she?It's, you know, one of those deals where she's talking to her finance friend or something like that, and they gave her this idea, and now it sounds real good.You got any siblings that have a better relationship with her?Not really.I mean, at the very least, you could play out the number. I mean, I don't. Some people respond well to math. Some people just fall asleep. Right. At the very least, maybe you run the numbers. I don't know. How much equity is shedden.Yeah.How much equity does she have? Because you don't have access to 100% of it, only a portion of it. So if you had to guess, what do you think?I would guess maybe she has 200 on a $300,000 home.Oh, my gosh. Oh, this is horrible.Yeah.Cuz. Cuz the people. Let me put it like this, because there's no real smart way to do this, but the people who think they're smart doing this think, okay, I've got a lot of equity. I'm 86 years old. Not to sound morbid, but I'll probably pass away before I run through all of this. Equity. That's what they're thinking. And so they're like, if I don't have anything left to leave, I'm fine with that. This is what I'm going to eat off of, right? But in this case, I'm like, fees. Fees alone are going to eat up so much of that. And I can't remember off the top of my head, you'll have to check it for yourself. What percentage of that is actually going to be available to her? I think it's only 60. I can't remember, but check to see what, what percentage of equity is actually available. But that's what she's got to realize. This is a. This is not even a solution. It's not even a band aid. This is like when you just kind of wipe, wipe your knee on your shirt, right, to stop the bleeding for a quick second.She's going to end up without a home. This is going to end in foreclosure. So we've got the solution here. I think I've painted. I didn't have to tell you how bad of an idea this is. But what we've got to get her to see is, okay, how do we solve this problem? What, Social Security? What's she living off of? What does she need? And is she on a budget? So, those are the kind of detective work that you're going to have to do. And I think that it's you sitting down with her and saying, listen, mom, this is your life, but I'm your son. And the truth is, if we. If you don't let me help you now, you're going to assume I'm going to help you later when it's too late.Right.So in that way, you do have a stake. You're a stakeholder in this. And she might not see it now, but that's kind of the picture you have to paint. Like, listen, I want to help you now. Where. When it's not so much of a burden to me, as opposed to you cutting me out. Because when you're 80, then I'm going to have no choice. And then I'm going to be a little bit pissed because I tried to help you when you were 60.How old is she?60.Okay. You know, you can't even qualify until a 62.Yeah, she, she's, she's thinking about it now, though, so.So you start running those numbers and you show her, okay, you're going to have this much cash.Mm hmm.That's what the most you can get, mom. And then let's play this outsomething, I'm seeing a person with a great income with three to six months of expenses, which is basically your 60k. That's around six months or more. What portion of that 60k can you put towards a down payment?So my expenses right now are actually really quite low. And so I only have ten k of that as my emergency fund. And then the other 50k is currently my house fund.Okay, so ten k, how does that work? You're saying that you can exist for six months on $10,000?No, that's three months.I'm not.Yeah. Are you saying, like, I feel comfortable with three months?Okay, you're sitting. Okay, here's. I'm just, I'm poking holes in this because since you're afraid, I want to make sure that everything is right on, so you don't have to be afraid of anything. Here's where I would poke holes in your and emergency fund a, because it's the only income you have going in, and it's just you. One stream of income makes me want six months of expenses, because if something happens, it's. It's all on Love that. And love just how focused she is, man.I wasn't like that at that age.She's gonna be fine one way or the other. And I thought that was really good advice. Now it'will have to give, and I really believe we. I can't even begin to get a crystal ball out for 18 years from now on. Higher education. But something has to give the student loan to the trillions of dollars. The american people, 46% of american parents said they wish their kids would go to trade school. If colleges and universities were running for president, they wouldn't probably get elected. You know, they're suffering a little bit.Yeah.And I think that only gets worse unless something happens with tuition.Something's gotta happen with tuition. Yes. In the meantime, all we can do is save up and do our best. And you can only afford what you can afford. And at the end of the day, that's the guiding light.Speaking of Guiding Light, she is Jade Warshaw, my co host. Happy birthday, James Childs. Thank you, my friend. And thank you, America, for listening. This is the Ramsay show.Sadeena.Hey, folks. Dave here. You want to hear even more life changing content from Ramsey, download the Ramsey Network app so you can catch all your favorite shows all in one place. Like the Ramsey show, smart money, happy Hour, and the doctor John Deloney show. You'll get real talk about life, relationships, money, and your career. Plus, the app lets you browse by topic, like debt, business, or selling your home. Get the content you want whenever and wherever you want to listen. Download the Ramsey Network app today.

don't have much savings, especially after the fire. Now, um. And then.

Whoa, whoa.

What have you, what have you been doing?

Yeah, um, we, we just started it, so we had the emergency fund, but now with the fire and stuff, we.

The $1000 emergency fund or.

Yeah, yeah, $1,000.

Okay. So, um, here's what I think. So where are you staying right now?

Right now we're at my parents.

Okay, you're at your parents. You've blown through most of your thousand dollars. What do you have left?

Right now? We've got, I want to say, well, she actually made an extra car payment, so we're waiting for that to come back. But we'll have about 13 in our account. But we have bills and everything. And I do a ton of driving for work, so I have to leave at least five to 600 in there for gas.

Okay. So. Okay.

Is insurance going to cover the total rebuild or is there going to be more cash? You're going to have to cover?

They're going to cover it, but they are kind of dragging their feet, so.

Right. Okay.

I think you're a little new to the baby steps. And so I kind of want to reset and get everything on so that you and I are at least on the same footing kind of going forward. I hate that this happened to your house, and I hate that you guys had a plan and this just threw wrenches all up in that plan. However, in one way, like Ken said, you dodged several bullets here, and I'm going to add another bullet to the list that I believe that you dodged. Now, looking at your financial situation, fire aside, now is not the time for you guys to buy a house.

Yeah, I agree. You know, I originally wanted to call will be the one you've been waiting for. Because the Ramsey Network app lets you have control. And with over 7000 hours of life changing content, the Ramsey Network app is the best place to find the answers you're listening for. To get access to personalized content for free, just search Ramsey network in the app store today.This is the Ramsey show. Thrilled to have you with us. Weor because you think it'll free up the other payments. And it will.It will because the Mastercard, we have two mastercards and a Visa. The two mastercards are both at about twelve five and the Visa is about 13 three. The Visa is negligible because it's the same interest rate pretty much as the line of credit.I hear how you're thinking. I hear how you're thinking. You're doing a lot math. And let me validate this because I understand what you're doing right now on a heart level. Like when you've been working the baby steps, you do get to this point where you're like, okay, what can I do to mother.Okay. I'm sorry, mother.Okay. Yeah.Okay. All right. That's what I thought, but I wasn't sure, so. So you don't feel like you can do that?No.Yeah. Well, listen, here's the deal. Um, with that being said, I. I don't know what you do, other than try to explain it to her, not try to talk her out of it as much as go. Do you realize this is essentially, you're borrowing money on the equity you have in your home? Would you like to get to a later date, mom, and have no equity in your home? Because that's what this is. And I can't believe she would go for that. Would she?It's, you know, one of those deals where she's talking to her finance friend or something like that, and they gave her this idea, and now it sounds real good.You got any siblings that have a better relationship with her?Not really.I mean, at the very least, you could play out the number. I mean, I don't. Some people respond well to math. Some people just fall asleep. Right. At the very least, maybe you run the numbers. I don't know. How much equity is shedden.Yeah.How much equity does she have? Because you don't have access to 100% of it, only a portion of it. So if you had to guess, what do you think?I would guess maybe she has 200 on a $300,000 home.Oh, my gosh. Oh, this is horrible.Yeah.Cuz. Cuz the people. Let me put it like this, because there's no real smart way to do this, but the people who think they're smart doing this think, okay, I've got a lot of equity. I'm 86 years old. Not to sound morbid, but I'll probably pass away before I run through all of this. Equity. That's what they're thinking. And so they're like, if I don't have anything left to leave, I'm fine with that. This is what I'm going to eat off of, right? But in this case, I'm like, fees. Fees alone are going to eat up so much of that. And I can't remember off the top of my head, you'll have to check it for yourself. What percentage of that is actually going to be available to her? I think it's only 60. I can't remember, but check to see what, what percentage of equity is actually available. But that's what she's got to realize. This is a. This is not even a solution. It's not even a band aid. This is like when you just kind of wipe, wipe your knee on your shirt, right, to stop the bleeding for a quick second.She's going to end up without a home. This is going to end in foreclosure. So we've got the solution here. I think I've painted. I didn't have to tell you how bad of an idea this is. But what we've got to get her to see is, okay, how do we solve this problem? What, Social Security? What's she living off of? What does she need? And is she on a budget? So, those are the kind of detective work that you're going to have to do. And I think that it's you sitting down with her and saying, listen, mom, this is your life, but I'm your son. And the truth is, if we. If you don't let me help you now, you're going to assume I'm going to help you later when it's too late.Right.So in that way, you do have a stake. You're a stakeholder in this. And she might not see it now, but that's kind of the picture you have to paint. Like, listen, I want to help you now. Where. When it's not so much of a burden to me, as opposed to you cutting me out. Because when you're 80, then I'm going to have no choice. And then I'm going to be a little bit pissed because I tried to help you when you were 60.How old is she?60.Okay. You know, you can't even qualify until a 62.Yeah, she, she's, she's thinking about it now, though, so.So you start running those numbers and you show her, okay, you're going to have this much cash.Mm hmm.That's what the most you can get, mom. And then let's play this outsomething, I'm seeing a person with a great income with three to six months of expenses, which is basically your 60k. That's around six months or more. What portion of that 60k can you put towards a down payment?So my expenses right now are actually really quite low. And so I only have ten k of that as my emergency fund. And then the other 50k is currently my house fund.Okay, so ten k, how does that work? You're saying that you can exist for six months on $10,000?No, that's three months.I'm not.Yeah. Are you saying, like, I feel comfortable with three months?Okay, you're sitting. Okay, here's. I'm just, I'm poking holes in this because since you're afraid, I want to make sure that everything is right on, so you don't have to be afraid of anything. Here's where I would poke holes in your and emergency fund a, because it's the only income you have going in, and it's just you. One stream of income makes me want six months of expenses, because if something happens, it's. It's all on Love that. And love just how focused she is, man.I wasn't like that at that age.She's gonna be fine one way or the other. And I thought that was really good advice. Now it'will have to give, and I really believe we. I can't even begin to get a crystal ball out for 18 years from now on. Higher education. But something has to give the student loan to the trillions of dollars. The american people, 46% of american parents said they wish their kids would go to trade school. If colleges and universities were running for president, they wouldn't probably get elected. You know, they're suffering a little bit.Yeah.And I think that only gets worse unless something happens with tuition.Something's gotta happen with tuition. Yes. In the meantime, all we can do is save up and do our best. And you can only afford what you can afford. And at the end of the day, that's the guiding light.Speaking of Guiding Light, she is Jade Warshaw, my co host. Happy birthday, James Childs. Thank you, my friend. And thank you, America, for listening. This is the Ramsay show.Sadeena.Hey, folks. Dave here. You want to hear even more life changing content from Ramsey, download the Ramsey Network app so you can catch all your favorite shows all in one place. Like the Ramsey show, smart money, happy Hour, and the doctor John Deloney show. You'll get real talk about life, relationships, money, and your career. Plus, the app lets you browse by topic, like debt, business, or selling your home. Get the content you want whenever and wherever you want to listen. Download the Ramsey Network app today.

call will be the one you've been waiting for. Because the Ramsey Network app lets you have control. And with over 7000 hours of life changing content, the Ramsey Network app is the best place to find the answers you're listening for. To get access to personalized content for free, just search Ramsey network in the app store today.

This is the Ramsey show. Thrilled to have you with us. Weor because you think it'll free up the other payments. And it will.It will because the Mastercard, we have two mastercards and a Visa. The two mastercards are both at about twelve five and the Visa is about 13 three. The Visa is negligible because it's the same interest rate pretty much as the line of credit.I hear how you're thinking. I hear how you're thinking. You're doing a lot math. And let me validate this because I understand what you're doing right now on a heart level. Like when you've been working the baby steps, you do get to this point where you're like, okay, what can I do to mother.Okay. I'm sorry, mother.Okay. Yeah.Okay. All right. That's what I thought, but I wasn't sure, so. So you don't feel like you can do that?No.Yeah. Well, listen, here's the deal. Um, with that being said, I. I don't know what you do, other than try to explain it to her, not try to talk her out of it as much as go. Do you realize this is essentially, you're borrowing money on the equity you have in your home? Would you like to get to a later date, mom, and have no equity in your home? Because that's what this is. And I can't believe she would go for that. Would she?It's, you know, one of those deals where she's talking to her finance friend or something like that, and they gave her this idea, and now it sounds real good.You got any siblings that have a better relationship with her?Not really.I mean, at the very least, you could play out the number. I mean, I don't. Some people respond well to math. Some people just fall asleep. Right. At the very least, maybe you run the numbers. I don't know. How much equity is shedden.Yeah.How much equity does she have? Because you don't have access to 100% of it, only a portion of it. So if you had to guess, what do you think?I would guess maybe she has 200 on a $300,000 home.Oh, my gosh. Oh, this is horrible.Yeah.Cuz. Cuz the people. Let me put it like this, because there's no real smart way to do this, but the people who think they're smart doing this think, okay, I've got a lot of equity. I'm 86 years old. Not to sound morbid, but I'll probably pass away before I run through all of this. Equity. That's what they're thinking. And so they're like, if I don't have anything left to leave, I'm fine with that. This is what I'm going to eat off of, right? But in this case, I'm like, fees. Fees alone are going to eat up so much of that. And I can't remember off the top of my head, you'll have to check it for yourself. What percentage of that is actually going to be available to her? I think it's only 60. I can't remember, but check to see what, what percentage of equity is actually available. But that's what she's got to realize. This is a. This is not even a solution. It's not even a band aid. This is like when you just kind of wipe, wipe your knee on your shirt, right, to stop the bleeding for a quick second.She's going to end up without a home. This is going to end in foreclosure. So we've got the solution here. I think I've painted. I didn't have to tell you how bad of an idea this is. But what we've got to get her to see is, okay, how do we solve this problem? What, Social Security? What's she living off of? What does she need? And is she on a budget? So, those are the kind of detective work that you're going to have to do. And I think that it's you sitting down with her and saying, listen, mom, this is your life, but I'm your son. And the truth is, if we. If you don't let me help you now, you're going to assume I'm going to help you later when it's too late.Right.So in that way, you do have a stake. You're a stakeholder in this. And she might not see it now, but that's kind of the picture you have to paint. Like, listen, I want to help you now. Where. When it's not so much of a burden to me, as opposed to you cutting me out. Because when you're 80, then I'm going to have no choice. And then I'm going to be a little bit pissed because I tried to help you when you were 60.How old is she?60.Okay. You know, you can't even qualify until a 62.Yeah, she, she's, she's thinking about it now, though, so.So you start running those numbers and you show her, okay, you're going to have this much cash.Mm hmm.That's what the most you can get, mom. And then let's play this outsomething, I'm seeing a person with a great income with three to six months of expenses, which is basically your 60k. That's around six months or more. What portion of that 60k can you put towards a down payment?So my expenses right now are actually really quite low. And so I only have ten k of that as my emergency fund. And then the other 50k is currently my house fund.Okay, so ten k, how does that work? You're saying that you can exist for six months on $10,000?No, that's three months.I'm not.Yeah. Are you saying, like, I feel comfortable with three months?Okay, you're sitting. Okay, here's. I'm just, I'm poking holes in this because since you're afraid, I want to make sure that everything is right on, so you don't have to be afraid of anything. Here's where I would poke holes in your and emergency fund a, because it's the only income you have going in, and it's just you. One stream of income makes me want six months of expenses, because if something happens, it's. It's all on Love that. And love just how focused she is, man.I wasn't like that at that age.She's gonna be fine one way or the other. And I thought that was really good advice. Now it'will have to give, and I really believe we. I can't even begin to get a crystal ball out for 18 years from now on. Higher education. But something has to give the student loan to the trillions of dollars. The american people, 46% of american parents said they wish their kids would go to trade school. If colleges and universities were running for president, they wouldn't probably get elected. You know, they're suffering a little bit.Yeah.And I think that only gets worse unless something happens with tuition.Something's gotta happen with tuition. Yes. In the meantime, all we can do is save up and do our best. And you can only afford what you can afford. And at the end of the day, that's the guiding light.Speaking of Guiding Light, she is Jade Warshaw, my co host. Happy birthday, James Childs. Thank you, my friend. And thank you, America, for listening. This is the Ramsay show.Sadeena.Hey, folks. Dave here. You want to hear even more life changing content from Ramsey, download the Ramsey Network app so you can catch all your favorite shows all in one place. Like the Ramsey show, smart money, happy Hour, and the doctor John Deloney show. You'll get real talk about life, relationships, money, and your career. Plus, the app lets you browse by topic, like debt, business, or selling your home. Get the content you want whenever and wherever you want to listen. Download the Ramsey Network app today.

or because you think it'll free up the other payments. And it will.

It will because the Mastercard, we have two mastercards and a Visa. The two mastercards are both at about twelve five and the Visa is about 13 three. The Visa is negligible because it's the same interest rate pretty much as the line of credit.

I hear how you're thinking. I hear how you're thinking. You're doing a lot math. And let me validate this because I understand what you're doing right now on a heart level. Like when you've been working the baby steps, you do get to this point where you're like, okay, what can I do to mother.Okay. I'm sorry, mother.Okay. Yeah.Okay. All right. That's what I thought, but I wasn't sure, so. So you don't feel like you can do that?No.Yeah. Well, listen, here's the deal. Um, with that being said, I. I don't know what you do, other than try to explain it to her, not try to talk her out of it as much as go. Do you realize this is essentially, you're borrowing money on the equity you have in your home? Would you like to get to a later date, mom, and have no equity in your home? Because that's what this is. And I can't believe she would go for that. Would she?It's, you know, one of those deals where she's talking to her finance friend or something like that, and they gave her this idea, and now it sounds real good.You got any siblings that have a better relationship with her?Not really.I mean, at the very least, you could play out the number. I mean, I don't. Some people respond well to math. Some people just fall asleep. Right. At the very least, maybe you run the numbers. I don't know. How much equity is shedden.Yeah.How much equity does she have? Because you don't have access to 100% of it, only a portion of it. So if you had to guess, what do you think?I would guess maybe she has 200 on a $300,000 home.Oh, my gosh. Oh, this is horrible.Yeah.Cuz. Cuz the people. Let me put it like this, because there's no real smart way to do this, but the people who think they're smart doing this think, okay, I've got a lot of equity. I'm 86 years old. Not to sound morbid, but I'll probably pass away before I run through all of this. Equity. That's what they're thinking. And so they're like, if I don't have anything left to leave, I'm fine with that. This is what I'm going to eat off of, right? But in this case, I'm like, fees. Fees alone are going to eat up so much of that. And I can't remember off the top of my head, you'll have to check it for yourself. What percentage of that is actually going to be available to her? I think it's only 60. I can't remember, but check to see what, what percentage of equity is actually available. But that's what she's got to realize. This is a. This is not even a solution. It's not even a band aid. This is like when you just kind of wipe, wipe your knee on your shirt, right, to stop the bleeding for a quick second.She's going to end up without a home. This is going to end in foreclosure. So we've got the solution here. I think I've painted. I didn't have to tell you how bad of an idea this is. But what we've got to get her to see is, okay, how do we solve this problem? What, Social Security? What's she living off of? What does she need? And is she on a budget? So, those are the kind of detective work that you're going to have to do. And I think that it's you sitting down with her and saying, listen, mom, this is your life, but I'm your son. And the truth is, if we. If you don't let me help you now, you're going to assume I'm going to help you later when it's too late.Right.So in that way, you do have a stake. You're a stakeholder in this. And she might not see it now, but that's kind of the picture you have to paint. Like, listen, I want to help you now. Where. When it's not so much of a burden to me, as opposed to you cutting me out. Because when you're 80, then I'm going to have no choice. And then I'm going to be a little bit pissed because I tried to help you when you were 60.How old is she?60.Okay. You know, you can't even qualify until a 62.Yeah, she, she's, she's thinking about it now, though, so.So you start running those numbers and you show her, okay, you're going to have this much cash.Mm hmm.That's what the most you can get, mom. And then let's play this outsomething, I'm seeing a person with a great income with three to six months of expenses, which is basically your 60k. That's around six months or more. What portion of that 60k can you put towards a down payment?So my expenses right now are actually really quite low. And so I only have ten k of that as my emergency fund. And then the other 50k is currently my house fund.Okay, so ten k, how does that work? You're saying that you can exist for six months on $10,000?No, that's three months.I'm not.Yeah. Are you saying, like, I feel comfortable with three months?Okay, you're sitting. Okay, here's. I'm just, I'm poking holes in this because since you're afraid, I want to make sure that everything is right on, so you don't have to be afraid of anything. Here's where I would poke holes in your and emergency fund a, because it's the only income you have going in, and it's just you. One stream of income makes me want six months of expenses, because if something happens, it's. It's all on Love that. And love just how focused she is, man.I wasn't like that at that age.She's gonna be fine one way or the other. And I thought that was really good advice. Now it'will have to give, and I really believe we. I can't even begin to get a crystal ball out for 18 years from now on. Higher education. But something has to give the student loan to the trillions of dollars. The american people, 46% of american parents said they wish their kids would go to trade school. If colleges and universities were running for president, they wouldn't probably get elected. You know, they're suffering a little bit.Yeah.And I think that only gets worse unless something happens with tuition.Something's gotta happen with tuition. Yes. In the meantime, all we can do is save up and do our best. And you can only afford what you can afford. And at the end of the day, that's the guiding light.Speaking of Guiding Light, she is Jade Warshaw, my co host. Happy birthday, James Childs. Thank you, my friend. And thank you, America, for listening. This is the Ramsay show.Sadeena.Hey, folks. Dave here. You want to hear even more life changing content from Ramsey, download the Ramsey Network app so you can catch all your favorite shows all in one place. Like the Ramsey show, smart money, happy Hour, and the doctor John Deloney show. You'll get real talk about life, relationships, money, and your career. Plus, the app lets you browse by topic, like debt, business, or selling your home. Get the content you want whenever and wherever you want to listen. Download the Ramsey Network app today.

mother.

Okay. I'm sorry, mother.

Okay. Yeah.

Okay. All right. That's what I thought, but I wasn't sure, so. So you don't feel like you can do that?

No.

Yeah. Well, listen, here's the deal. Um, with that being said, I. I don't know what you do, other than try to explain it to her, not try to talk her out of it as much as go. Do you realize this is essentially, you're borrowing money on the equity you have in your home? Would you like to get to a later date, mom, and have no equity in your home? Because that's what this is. And I can't believe she would go for that. Would she?

It's, you know, one of those deals where she's talking to her finance friend or something like that, and they gave her this idea, and now it sounds real good.

You got any siblings that have a better relationship with her?

Not really.

I mean, at the very least, you could play out the number. I mean, I don't. Some people respond well to math. Some people just fall asleep. Right. At the very least, maybe you run the numbers. I don't know. How much equity is shedden.

Yeah.

How much equity does she have? Because you don't have access to 100% of it, only a portion of it. So if you had to guess, what do you think?

I would guess maybe she has 200 on a $300,000 home.

Oh, my gosh. Oh, this is horrible.

Yeah.

Cuz. Cuz the people. Let me put it like this, because there's no real smart way to do this, but the people who think they're smart doing this think, okay, I've got a lot of equity. I'm 86 years old. Not to sound morbid, but I'll probably pass away before I run through all of this. Equity. That's what they're thinking. And so they're like, if I don't have anything left to leave, I'm fine with that. This is what I'm going to eat off of, right? But in this case, I'm like, fees. Fees alone are going to eat up so much of that. And I can't remember off the top of my head, you'll have to check it for yourself. What percentage of that is actually going to be available to her? I think it's only 60. I can't remember, but check to see what, what percentage of equity is actually available. But that's what she's got to realize. This is a. This is not even a solution. It's not even a band aid. This is like when you just kind of wipe, wipe your knee on your shirt, right, to stop the bleeding for a quick second.

She's going to end up without a home. This is going to end in foreclosure. So we've got the solution here. I think I've painted. I didn't have to tell you how bad of an idea this is. But what we've got to get her to see is, okay, how do we solve this problem? What, Social Security? What's she living off of? What does she need? And is she on a budget? So, those are the kind of detective work that you're going to have to do. And I think that it's you sitting down with her and saying, listen, mom, this is your life, but I'm your son. And the truth is, if we. If you don't let me help you now, you're going to assume I'm going to help you later when it's too late.

Right.

So in that way, you do have a stake. You're a stakeholder in this. And she might not see it now, but that's kind of the picture you have to paint. Like, listen, I want to help you now. Where. When it's not so much of a burden to me, as opposed to you cutting me out. Because when you're 80, then I'm going to have no choice. And then I'm going to be a little bit pissed because I tried to help you when you were 60.

How old is she?

60.

Okay. You know, you can't even qualify until a 62.

Yeah, she, she's, she's thinking about it now, though, so.So you start running those numbers and you show her, okay, you're going to have this much cash.Mm hmm.That's what the most you can get, mom. And then let's play this outsomething, I'm seeing a person with a great income with three to six months of expenses, which is basically your 60k. That's around six months or more. What portion of that 60k can you put towards a down payment?So my expenses right now are actually really quite low. And so I only have ten k of that as my emergency fund. And then the other 50k is currently my house fund.Okay, so ten k, how does that work? You're saying that you can exist for six months on $10,000?No, that's three months.I'm not.Yeah. Are you saying, like, I feel comfortable with three months?Okay, you're sitting. Okay, here's. I'm just, I'm poking holes in this because since you're afraid, I want to make sure that everything is right on, so you don't have to be afraid of anything. Here's where I would poke holes in your and emergency fund a, because it's the only income you have going in, and it's just you. One stream of income makes me want six months of expenses, because if something happens, it's. It's all on Love that. And love just how focused she is, man.I wasn't like that at that age.She's gonna be fine one way or the other. And I thought that was really good advice. Now it'will have to give, and I really believe we. I can't even begin to get a crystal ball out for 18 years from now on. Higher education. But something has to give the student loan to the trillions of dollars. The american people, 46% of american parents said they wish their kids would go to trade school. If colleges and universities were running for president, they wouldn't probably get elected. You know, they're suffering a little bit.Yeah.And I think that only gets worse unless something happens with tuition.Something's gotta happen with tuition. Yes. In the meantime, all we can do is save up and do our best. And you can only afford what you can afford. And at the end of the day, that's the guiding light.Speaking of Guiding Light, she is Jade Warshaw, my co host. Happy birthday, James Childs. Thank you, my friend. And thank you, America, for listening. This is the Ramsay show.Sadeena.Hey, folks. Dave here. You want to hear even more life changing content from Ramsey, download the Ramsey Network app so you can catch all your favorite shows all in one place. Like the Ramsey show, smart money, happy Hour, and the doctor John Deloney show. You'll get real talk about life, relationships, money, and your career. Plus, the app lets you browse by topic, like debt, business, or selling your home. Get the content you want whenever and wherever you want to listen. Download the Ramsey Network app today.

So you start running those numbers and you show her, okay, you're going to have this much cash.

Mm hmm.

That's what the most you can get, mom. And then let's play this outsomething, I'm seeing a person with a great income with three to six months of expenses, which is basically your 60k. That's around six months or more. What portion of that 60k can you put towards a down payment?So my expenses right now are actually really quite low. And so I only have ten k of that as my emergency fund. And then the other 50k is currently my house fund.Okay, so ten k, how does that work? You're saying that you can exist for six months on $10,000?No, that's three months.I'm not.Yeah. Are you saying, like, I feel comfortable with three months?Okay, you're sitting. Okay, here's. I'm just, I'm poking holes in this because since you're afraid, I want to make sure that everything is right on, so you don't have to be afraid of anything. Here's where I would poke holes in your and emergency fund a, because it's the only income you have going in, and it's just you. One stream of income makes me want six months of expenses, because if something happens, it's. It's all on Love that. And love just how focused she is, man.I wasn't like that at that age.She's gonna be fine one way or the other. And I thought that was really good advice. Now it'will have to give, and I really believe we. I can't even begin to get a crystal ball out for 18 years from now on. Higher education. But something has to give the student loan to the trillions of dollars. The american people, 46% of american parents said they wish their kids would go to trade school. If colleges and universities were running for president, they wouldn't probably get elected. You know, they're suffering a little bit.Yeah.And I think that only gets worse unless something happens with tuition.Something's gotta happen with tuition. Yes. In the meantime, all we can do is save up and do our best. And you can only afford what you can afford. And at the end of the day, that's the guiding light.Speaking of Guiding Light, she is Jade Warshaw, my co host. Happy birthday, James Childs. Thank you, my friend. And thank you, America, for listening. This is the Ramsay show.Sadeena.Hey, folks. Dave here. You want to hear even more life changing content from Ramsey, download the Ramsey Network app so you can catch all your favorite shows all in one place. Like the Ramsey show, smart money, happy Hour, and the doctor John Deloney show. You'll get real talk about life, relationships, money, and your career. Plus, the app lets you browse by topic, like debt, business, or selling your home. Get the content you want whenever and wherever you want to listen. Download the Ramsey Network app today.

something, I'm seeing a person with a great income with three to six months of expenses, which is basically your 60k. That's around six months or more. What portion of that 60k can you put towards a down payment?

So my expenses right now are actually really quite low. And so I only have ten k of that as my emergency fund. And then the other 50k is currently my house fund.

Okay, so ten k, how does that work? You're saying that you can exist for six months on $10,000?

No, that's three months.

I'm not.

Yeah. Are you saying, like, I feel comfortable with three months?

Okay, you're sitting. Okay, here's. I'm just, I'm poking holes in this because since you're afraid, I want to make sure that everything is right on, so you don't have to be afraid of anything. Here's where I would poke holes in your and emergency fund a, because it's the only income you have going in, and it's just you. One stream of income makes me want six months of expenses, because if something happens, it's. It's all on Love that. And love just how focused she is, man.I wasn't like that at that age.She's gonna be fine one way or the other. And I thought that was really good advice. Now it'will have to give, and I really believe we. I can't even begin to get a crystal ball out for 18 years from now on. Higher education. But something has to give the student loan to the trillions of dollars. The american people, 46% of american parents said they wish their kids would go to trade school. If colleges and universities were running for president, they wouldn't probably get elected. You know, they're suffering a little bit.Yeah.And I think that only gets worse unless something happens with tuition.Something's gotta happen with tuition. Yes. In the meantime, all we can do is save up and do our best. And you can only afford what you can afford. And at the end of the day, that's the guiding light.Speaking of Guiding Light, she is Jade Warshaw, my co host. Happy birthday, James Childs. Thank you, my friend. And thank you, America, for listening. This is the Ramsay show.Sadeena.Hey, folks. Dave here. You want to hear even more life changing content from Ramsey, download the Ramsey Network app so you can catch all your favorite shows all in one place. Like the Ramsey show, smart money, happy Hour, and the doctor John Deloney show. You'll get real talk about life, relationships, money, and your career. Plus, the app lets you browse by topic, like debt, business, or selling your home. Get the content you want whenever and wherever you want to listen. Download the Ramsey Network app today.

Love that. And love just how focused she is, man.

I wasn't like that at that age.

She's gonna be fine one way or the other. And I thought that was really good advice. Now it'will have to give, and I really believe we. I can't even begin to get a crystal ball out for 18 years from now on. Higher education. But something has to give the student loan to the trillions of dollars. The american people, 46% of american parents said they wish their kids would go to trade school. If colleges and universities were running for president, they wouldn't probably get elected. You know, they're suffering a little bit.Yeah.And I think that only gets worse unless something happens with tuition.Something's gotta happen with tuition. Yes. In the meantime, all we can do is save up and do our best. And you can only afford what you can afford. And at the end of the day, that's the guiding light.Speaking of Guiding Light, she is Jade Warshaw, my co host. Happy birthday, James Childs. Thank you, my friend. And thank you, America, for listening. This is the Ramsay show.Sadeena.Hey, folks. Dave here. You want to hear even more life changing content from Ramsey, download the Ramsey Network app so you can catch all your favorite shows all in one place. Like the Ramsey show, smart money, happy Hour, and the doctor John Deloney show. You'll get real talk about life, relationships, money, and your career. Plus, the app lets you browse by topic, like debt, business, or selling your home. Get the content you want whenever and wherever you want to listen. Download the Ramsey Network app today.

will have to give, and I really believe we. I can't even begin to get a crystal ball out for 18 years from now on. Higher education. But something has to give the student loan to the trillions of dollars. The american people, 46% of american parents said they wish their kids would go to trade school. If colleges and universities were running for president, they wouldn't probably get elected. You know, they're suffering a little bit.

Yeah.

And I think that only gets worse unless something happens with tuition.

Something's gotta happen with tuition. Yes. In the meantime, all we can do is save up and do our best. And you can only afford what you can afford. And at the end of the day, that's the guiding light.

Speaking of Guiding Light, she is Jade Warshaw, my co host. Happy birthday, James Childs. Thank you, my friend. And thank you, America, for listening. This is the Ramsay show.

Sadeena.

Hey, folks. Dave here. You want to hear even more life changing content from Ramsey, download the Ramsey Network app so you can catch all your favorite shows all in one place. Like the Ramsey show, smart money, happy Hour, and the doctor John Deloney show. You'll get real talk about life, relationships, money, and your career. Plus, the app lets you browse by topic, like debt, business, or selling your home. Get the content you want whenever and wherever you want to listen. Download the Ramsey Network app today.