Based on the comments I can tell why a lot of people live average lives and why a lot of people are mediocre. Solid advice from Dave as if he buys the business outright now he’ll be broke with only a building and he’ll need more than 13k to purchase tools and equipment etc.
I'd have to agree, spending all his savings on just opening the business is crazy at his age. Open a business by all means if you want but spend a fraction. It's hard to get a new biz started. I know by experience.
yeah, there is a place like that in my neighborhood. its a 3 bay garage attached to the house and they do painting and every repair imaginable. every week they get 18 wheelers full of vehicles delivered to them.
@Sir We Are About to Die Good for him! He's getting it done! Where do you think Bezos started or Steve Jobs? In the garage and living rooms of middle class neighborhoods, that's where.
The host really went in on this caller. He asked him several times was someone trying to sell him a franchise. Then he asked did he just dig this business idea up from the internet. His advice to the caller seems solid though.
I respect Dave and all that he preaches but I bought 1.5 Million of real estate as rental properties I started 13 years ago and now i have 1.2 Million equity free and clear. I will be 45 in October..had I waited buying all in cash I think I would have been in my 60s
Kay yep, when it works you look like a genius, but if a couple things went a different way you could have been bankrupt . Leverage is all about risk vs reward. Some get the reward, some lose it all with leverage.
Listen to Dave on this one..... Oh trust me on this one. Listen to Dave. And I am all about the entrepreneurial spirit..... Very few pull off your investment strategy you are considering.... Now if you were turning wrenches in your garage and were somewhat established in the service point then maybe you could roll the dice. And you are speaking to someone who did something similar....
This guy seems pretty clueless on the capital it takes to start a business and own a commercial property. $13k margin for living expenses is gone in a week if the roof leaks.
Yeah I was pretty shocked that he wanted to spend so much on a building with only $13k to work with. Its suicide. He can even be a mobile mechanic and come to people since he's only doing the simple stuff. $13k sounds more like a small emergency fund
@@samrathbery7101 $1,084 a month is enough for food, utilities, basic clothing, basic entertainment, property taxes, vehicle maintenance, gas and HEALTH INSURANCE? Even if that's true what happens when he's still not making any money after 12 months?
Nowadays we can not speculate of how a business be successful. With the virus going on we can not be in a rush to go into a business. It takes a lot of careful planning.
Personally for me (not saying it’s right or wrong), but stocks & running a business are both gambling. I wouldn’t do it unless I know it’s money that I could afford to loose. I would not become a landlord unless I could buy that house with my “extra” cash. . I will NEVeR gamble my financial peace for a chance to become wealthy.
So many using 401k/IRA like a savings/checking account and taking out loans never made sense to me. Some of the very same people that say social security will run out in their lifetime. Going to be many broke people with puny retirement savings working until they die.
Technology has allowed for specialization. Some folks can sit in front of a computer all day, and make a profit on selling intangibles, or drop shipping goods from whatever country manufactures them, direct to the American consumer (as we no longer manufacture anything but debt-based, fiat currency). Some, like the caller, might prefer to start a business that actually makes or fixes things. These businesses typically require higher capital expenditures to buy equipment.
Right? I thought this video would address this strategy; maybe weigh the pros and cons and give some tips. Instead it jumped to several conclusions with little context. I'm considering using mine (a portion of mine) for the down payment of an SBA backed loan. Leverage. And it will need to be a C Corp.
To achieve a secure retirement, aiming to save at least 15% of your income in a 401(k) is advisable. Online tools can assist in calculating the best savings strategy for you, considering factors like age and income. Consistently saving this percentage can help build your retirement fund effectively, thanks to the benefits of compound interest.
For me, I believe retirees who struggle to meet their basic needs are the ones who could not accumulate enough money during their active years to meet their needs. Retirement choices determine a lot of things. My wife and I both spent same number of years in the civil service, she invested through a wealth manager and myself through the 401k. We both still earning after our retirement.
It's unfortunate most people don't have such information. I don't really blame people who panic. Lack of information can be a big hurdle. I've been making more than $875k by just investing through an advisor, and I don't have to do much work. Doesn't matter if the economy is misbehaving; great wealth managers will always make returns.
@@EricLamptey-v1p You're correct. I think the smartest way to go is to spread out your investments. By putting your money into different asset classes like bonds, real estate, and stocks from other countries, you can lower the risk if one part of the market goes bad.
That's quite remarkable! I'm genuinely interested in benefiting from the guidance of such experienced advisors, especially considering the current state of my struggling portfolio. May I know the name of the advisor who has been assisting you in navigating these financial challenges?
Thinks to himself i can do brakes and oil changes and tire repairs. These dumb college kids do not even know how to check their dip stick. I am going all in to the guy who is desperate to sell at a big discount. My lucky day!
If I owned the building and land. I would sale it but I would want to be a silent partner making 5% off of any profits. If the guy turns into million dollars a year profit business your getting $50,000 a year passive income.
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Should I use my 401k to buy a house, cash?
Can you explain what a 457b Roth retirement plan is, how it works, and what are benefits and draw backs?
My 6 month plan for my business has worked out exactly like I planned...... 8 years later.
Facts!
Preach
Living proof. 😂
Amen!
The look on daves face when he says "Over the years I saved 13 thousand dollars to live off of."
That was amusing, I don’t know how Dave can keep his face straight.
That was the same look on my face lol 😂😂😂
😂😂😂
Well, he also has a paid off house and no debt.
@@EastCoastReefer paid off house still generates expenses every year with 0 cash flow
I’m all in for risking it all but risk the extra money, not retirement.
He doesn’t exactly have much to risk at $13 k lol
He buying that building...I hear it in his voice
LOL Yea he is! Plus, my Mann lying talking bout there’s no option to rent. He’s claiming that building.
Wouldn’t be surprise if he hasn’t bought it already
Based on the comments I can tell why a lot of people live average lives and why a lot of people are mediocre. Solid advice from Dave as if he buys the business outright now he’ll be broke with only a building and he’ll need more than 13k to purchase tools and equipment etc.
considering 90% of businesses fail i would say this is a big/stupid gamble especially with how volatile everything is right now
You sound like a typical employee. Lol.
I'd have to agree, spending all his savings on just opening the business is crazy at his age. Open a business by all means if you want but spend a fraction. It's hard to get a new biz started. I know by experience.
John Betts
Would you gamble everything you had on a 10% chance of making it?
You actually would have better odds at a casino.
John Betts
He’s relying on employees of employers with his business in “uncertain times”
Why is it stupid?
Caller: I inherited 50 Million Dollars and 30 Million worth of real estate. What Should I do?
Dave: Sell the car
And go on beans and rice
You don't need to see the inside of a restaurant unless you're working there!
Dave: What is your net worth?
😂🤣😭😂
Deliver pizza!
Dave has great advice. Never bet on yourself.
Build a garage behind your house, build a website and buy your tools. Be a dagum neighborhood garage with zero overhead and get r dun!
Some communities will not allow this due to the traffic of clients coming and going.
Code violation.
yeah, there is a place like that in my neighborhood. its a 3 bay garage attached to the house and they do painting and every repair imaginable. every week they get 18 wheelers full of vehicles delivered to them.
@Sir We Are About to Die Good for him! He's getting it done! Where do you think Bezos started or Steve Jobs? In the garage and living rooms of middle class neighborhoods, that's where.
Bad idea.
You're essentially doubling down by betting you're current timr, effort and money, and betting your future retirement. Not a great plan
The host really went in on this caller. He asked him several times was someone trying to sell him a franchise. Then he asked did he just dig this business idea up from the internet. His advice to the caller seems solid though.
It's very daring to want to invest all your net worth on one venture.
I always find it funny when people call Dave and ask him if he’s heard of something. 🤔😂
Dave has heard it all
Well I'm glad they made the call. I never heard of a ROBS. Now I know a little bit more. Lol
I respect Dave and all that he preaches but I bought 1.5 Million of real estate as rental properties I started 13 years ago and now i have 1.2 Million equity free and clear.
I will be 45 in October..had I waited buying all in cash I think I would have been in my 60s
Bravo sir 👏🏾. That’s what I’m trying to get to. But Dave’s plan is for mostly financially irresponsible people
@@Billy-ip2vs beyond that, it's for when SHtF. And it does.. This guy was laid off after 16 years, case in point.
Yeah but had you bought at a bad time, like rn with the Corona deal... you could have ended up bankrupt, it is a risk.
Kay yep, when it works you look like a genius, but if a couple things went a different way you could have been bankrupt . Leverage is all about risk vs reward. Some get the reward, some lose it all with leverage.
You’re missing the point completely
Excellent feedback
Way too risky, I'd rather dump all that money into a single stock before doing that. And I don't do single stocks! :)
Day trade and then double it in Vegas. Then take 1/4th and put back in retirement. Fund three businesses with the rest.
Listen to Dave on this one..... Oh trust me on this one. Listen to Dave. And I am all about the entrepreneurial spirit..... Very few pull off your investment strategy you are considering.... Now if you were turning wrenches in your garage and were somewhat established in the service point then maybe you could roll the dice. And you are speaking to someone who did something similar....
Why does the cohost sound like Cal Naughton Jr praying at the dinner table!? Lol
This guy seems pretty clueless on the capital it takes to start a business and own a commercial property. $13k margin for living expenses is gone in a week if the roof leaks.
Yeah I was pretty shocked that he wanted to spend so much on a building with only $13k to work with. Its suicide. He can even be a mobile mechanic and come to people since he's only doing the simple stuff. $13k sounds more like a small emergency fund
Unexpected life lessons from Grandpa Dave. Needs to be making money before you put all your money in.
The building owner would be foolish to pass it up. Why would pass up 2 years of rent plus $120k for the building.
He probably needs the money to cover other investment so he doesn't lose everything.
@@unscripted483 he shouldn't be in business if he is having trouble with investments.
Bad idea!!!
What are your thoughts on using ROBS for a truck driver to become an owner operator?
$13k to live off until the business makes money? 😬
ransom182 man he has no debt all he probably needs is 2000 dollars a month as he does not need to care about rent , expensive dinners etc
@@samrathbery7101 $1,084 a month is enough for food, utilities, basic clothing, basic entertainment, property taxes, vehicle maintenance, gas and HEALTH INSURANCE? Even if that's true what happens when he's still not making any money after 12 months?
Nowadays we can not speculate of how a business be successful. With the virus going on we can not be in a rush to go into a business. It takes a lot of careful planning.
Agree Dr. D, I forgot that this is change the way we think of business because of the c bug.
Personally for me (not saying it’s right or wrong), but stocks & running a business are both gambling. I wouldn’t do it unless I know it’s money that I could afford to loose. I would not become a landlord unless I could buy that house with my “extra” cash. . I will NEVeR gamble my financial peace for a chance to become wealthy.
Than you live what they call a normal life! So some people they are willing to risk it all to achieve financial freedom or wealth.
Great video.
What is the 13K going to buy him exactly?
He is going to live off of it, couldn’t you hear.
If I have a 457 through my employer and also open a Roth IRA with both maxed out, can I also open a traditional IRA and max that out as well?
No both IRA total up to max 6000
Yup. Bad idea
No, no, NO. A 401K is for retirement, not risking it on a business
So many using 401k/IRA like a savings/checking account and taking out loans never made sense to me.
Some of the very same people that say social security will run out in their lifetime.
Going to be many broke people with puny retirement savings working until they die.
It’s not a franchise, it’s a network marketing opportunity
Here already
Find a business that requires less money. Thanks to technology, there are a lot of ways. That’s what I’m trying to do👍
Technology has allowed for specialization. Some folks can sit in front of a computer all day, and make a profit on selling intangibles, or drop shipping goods from whatever country manufactures them, direct to the American consumer (as we no longer manufacture anything but debt-based, fiat currency).
Some, like the caller, might prefer to start a business that actually makes or fixes things. These businesses typically require higher capital expenditures to buy equipment.
Self directed retirement cannot be invested in self or family interest, no?
Right? I thought this video would address this strategy; maybe weigh the pros and cons and give some tips. Instead it jumped to several conclusions with little context. I'm considering using mine (a portion of mine) for the down payment of an SBA backed loan. Leverage. And it will need to be a C Corp.
Dave Ramsey is the Dr. Laura Schlesinger of personal finance.
A lot of colleges won't open in the fall so he will feel that
Sometimes you have to take risk. Go for it.
One bad move and that decision could have you on the streets.
To achieve a secure retirement, aiming to save at least 15% of your income in a 401(k) is advisable. Online tools can assist in calculating the best savings strategy for you, considering factors like age and income. Consistently saving this percentage can help build your retirement fund effectively, thanks to the benefits of compound interest.
For me, I believe retirees who struggle to meet their basic needs are the ones who could not accumulate enough money during their active years to meet their needs. Retirement choices determine a lot of things. My wife and I both spent same number of years in the civil service, she invested through a wealth manager and myself through the 401k. We both still earning after our retirement.
It's unfortunate most people don't have such information. I don't really blame people who panic. Lack of information can be a big hurdle. I've been making more than $875k by just investing through an advisor, and I don't have to do much work. Doesn't matter if the economy is misbehaving; great wealth managers will always make returns.
@@EricLamptey-v1p You're correct. I think the smartest way to go is to spread out your investments. By putting your money into different asset classes like bonds, real estate, and stocks from other countries, you can lower the risk if one part of the market goes bad.
That's quite remarkable! I'm genuinely interested in benefiting from the guidance of such experienced advisors, especially considering the current state of my struggling portfolio. May I know the name of the advisor who has been assisting you in navigating these financial challenges?
@@Michelle_Sanders561 "Cynthia Alexandra Depken"
Even this. HOW DOES SOMEONE START A BUSINESS RAMSEY?? You never tell us because we have to pay you for accounting advice...
Wow $13k 🤦♂️
This is too risky. Please don’t do this.
He’s going to work until the day he dies if he does this.
No.
I can tell you that if you don't have the money to start the business, you don't have the money to run the business.
Why does Dave assume people are idiots all the time 🤣
Risk it for the biscuit... just do it man
Homie christ is returning in months
People have been saying this for over 2000 years lol
Kysen10 and has life ever been as it is now? Our country is with not exaggeration dismantling the churches.
Thinks to himself i can do brakes and oil changes and tire repairs. These dumb college kids do not even know how to check their dip stick. I am going all in to the guy who is desperate to sell at a big discount. My lucky day!
If I owned the building and land. I would sale it but I would want to be a silent partner making 5% off of any profits. If the guy turns into million dollars a year profit business your getting $50,000 a year passive income.
And in two years he’s going to sell you the shop for $300k
Sure if u wanna go broke
No way, lol
4 years ago... but terrible advice.
First👍
Sorry, this Needs to be said. This guy has the intellect of a coal miner. Why encourage this guy Dave?
The caller has a house that's paid for, no car notes, or any loans. The gentleman seems "country smart." I wouldn't bet against him.