My husband makes $20/hr and I stay at home with our daughter. We own a house and have around $100,000 equity in it. We do owe $3,500 on a car but are making very fast progress , and should have it paid off in two months! It’s definitely not easy. I cook from scratch every meal and buy our clothes secondhand. No eating out or coffee shops but we live a very fulfilling life on very little!!
Well yeah, $25/hour is reasonable if you were able to purchase your home for less than $250k 15 years ago at 3% interest. Too bad everything around me is $500k + and rates are around 7%.
The problem with this entire proposition is that it's NEVER a good time to panic. Even if you're in a terrible situation, being "terrified" is just going to distract you from what you need to do to dig yourself out.
My husband and I started off our marriage 5 years ago at much less than $50k a year (we now make about $60k combined) and we have been through baby steps 1, 2, 3, and now are on 4/5/6 with a net worth of $100k. We live in Oklahoma, and my husband will be graduating in 2 weeks with his PhD. I am proud of what we have been able to accomplish even on a very small grad student income!
Anyone who makes $25/hr, has no kids, and doesn’t live in a crazy city like NY or LA, has NO excuse for being unable to afford life on those wages. I make $29/hr and I’m THRIVING and saving like $2500 per month on bad months. Granted I’m only 22yr old and don’t have many significant expenses, but I do pay for all my own expenses without any support
@@fuzzypanda1684 luck was a part of it, but I also worked my butt off and work at a really difficult property. I work at a large apartment complex(potential of 926 residents) that has a history of neglect, so nobody wants to work there due to the high work load combined with a lot of messiness and a bad reputation. I went from being a part time leasing consultant($15/hr plus commission and rent discount) to demanding $17/hr 3 months later since I was keeping leasing going, then $18 when I went to full time last November, then opportunity for Assistant Community Manager(basically the #2 in charge) in January. I was initially at $24/hr due to my lack of experience, but after 60 days once I showed that I could do the job well, I got boosted to $29.05(plus I get commission, rental discount, and a maximum of about $6500 in bonuses per year, likely only gonna get about $3500 this year)
@@fuzzypanda1684 my luck was in the fact that the new incoming manager got a great impression of me since I was the most experienced worker and I did work well outside of my job role(I was literally doing maintenance and management work along with leasing…) and that the current assistant community manager was doing a bad job
@@morgenglende-michalski369 Ah, well honestly, it's really great to hear you acknowledge that luck played a major role in your success, as well as your hard work. Nothing irritates me more than when people claim that their success is due entirely to their hard work, but then you listen to their story and it's full of instances of meeting the right person at the right time, being in the right place at the right time, having a manager who likes them etc. It's like when Joe Rogan says 90% of success is just showing up. Yeah, for YOU Joe. For some of us, showing up won't have any affect at all or might even make things worse. Take your manager situation. Years ago I was in a similar situation with a friend of mine. We both worked at the same company and there were two owners. One really liked me and hated him, the other really liked him and hated me. The one who liked him and hated me ended up taking over and despite both of us being on the same project, both putting in lots of overtime, taking on additional work etc. He got promoted while I got fired. That's when I learned that hard work is the engine, but luck is the transmission. You can have a 1000 HP engine, but if your transmission is ****, you ain't going anywhere.
I make $25 an hour (net $2,976/mo) and keep my monthly expenses as minimal as I can. I’m currently spending $1,060 a month and am able to put aside $1895/mo by not living beyond my means. I’m 27 years old and only have student loan debt that will be paid off in-full this December. It’s doable for me but I know not everyone’s situation is same.
We are a family of three. My husband makes 25 an hour and I'm a stay at home mom. We are also tackling our debt. We are not scared in any way. I budget and shop for things on sale.
Electricity wouldn’t be in half because consumption rises with more people under the same roof, but the bulk if that is probably heating & cooling. So, i would estimate electricity to be reduced between 30-40% Same hold true for water which is metered.
Since the pandemic started, I’ve kept the same $150/week grocery budget for myself, my husband, and our teen daughter in a DC suburb. We’ve been just fine the whole time. I notice prices have gone up, of course, but i call it “playing the game”. I have to be be strategic with the sales & even side step occasionally to walmart for eggs (36 for $2.67 btw). Then, i target high point items to use the store’s gas savings on top of that. I’ve barely felt the inflation issues on food.
I made 9 dollars an hour in 2009. My wife didn't work and we also had a baby. We got by just fine. Rent was 400 a month then. Crazy how much more expensive things have gotten since then. I make 36 an hour now and it's still hard to save money.
I made 48k last year for a family of 4 and it’s was very tough. I graduated college and was able to triple my take home and I’m doing the reverse of lifestyle creep.
My side delivery is around $25 an hour. I live in San Jose (Silicon Valley). My rent is $700 (including my own parking space, wifi, electric, water, laundry), food $300, cell phone $50, gas $200, car insurance $40 (a month). No car payments or student loan and no debt. Yup, my budget usually under $1300 a month. So I am not scared at all. I grow up in San Bernardino (the hood, projects). Avg household income in San Bernardino is under $50K! You just know how to budget!
Yes, I realised that the average educated middle class American doesn't know how cheap living in America can be of you know what to do. However, how come your rent is only $700 : do you live in a 3 - 5 bedroom house with friends/family or what???
I live in central Texas with husband and 4 kids. We are a single income family, hubby (I know you love that word 😂) makes right at $40k a year and honestly we are living well and comfortably. We have a house we are working to pay off quickly, a 8month emergency fund set aside. Our kids have everything they need and a lot of things they don’t. We budget, save for expected expenses, (and unexpected) have fun/blow money. I think expectations are everything. No, we don’t go on big vacations every year, we often shop at thrift stores, we don’t pay for a bunch of streaming services, I couldn’t tell you the last time I went to Starbucks etc. Most might say we are living simply, but we are very content and our girls are all happy and living their best lives 😊
Same situation here for the last 10 years but in SLC, UT. My wife recently got a part-time gig (2 minute walk away) so I could spend more time with our kids. $40k/yr for us is enough, but things would be much different if we purchased a home just a few years later.
Could you break down your 2-3 biggest expenses. It’s hard for some of us to wrap our heads around. I’m in DFW, bought a house for 200k in 2019. Mortgage is $1600, childcare is about $1550, insurance was about $1300(down to $400 w/new job). What do you do for electricity. Last summer we had a few $400 months.
I’m 23 making $17/hr and I live in NY. My wife and I pinch the pennies enough so that she can stay home with our 7 month old. The sacrifices are real. We paid cash for a 400 sq ft trailer on a 1/3 of an acre in a small town. It’s tight. But we have no rent, barely any taxes and so we end up with around $800 in positive margin every month. It’s tough at times saying no to things. But you gotta man up and do the hard things in order to get to where you want to go
I make $20 an hour. My wife is going to college and is a stay at home Mom currently. Own three vehicles and will have the house paid off in ten years. Thank you West Virginia
Yeah, I am very seriously considering moving to West Virginia after saving up a little more money. I've never lived in the east, but between mountains, house prices, and wages, it seems like the perfect place to live.
It all depends on where you live. In some states, 25/hour is ALOT of money. In other areas, 25/hour is just enough to pay rent and have some left for discretionary spending. Its all relative to the standard cost of living in your preferred neighborhood. If you can't afford it, its probably time to move somewhere else cheaper if you can.
When I first started my career I made about $50k/yr in 2016. I saved $18k my first year & I didn’t live at home. I had my own apartment & everything. HOWEVER, now I can’t even fathom living on that same amount. I think it’s doable if you’re frugal & just want an “average” lifestyle but if I made that now I’d be living paycheck to paycheck. Thankful for how far I’ve come since then.
As someone who makes that amount, I have saved, had no consumer debt, and bought a house on less than that. I live in a pretty expensive area. It's difficult around here but can be doable for sure.
I literally lol’d at that comment. Some homemade sourdough with half an avocado, butter, salt and a poached egg costs what, $1.65? Depending on the cost of avocados near you? Maybe add some berries for another $1.00 and get really fancy😂.
All of your women hating comments make sense now. You're miserable and insecure. What skills are you learning to improve your income (and don't go blaming women for why you haven't learned these skills)?
I make 67k, single income family, stay at home wife with 3 kids under 5. We own a home, and are on baby steps 4,5, and 6. And we are doing just fine, one big key here is NO CONSUMER DEBT, but do have a mortgage. We also contribute 600 a month to Roth 403b and 3x 529 plans for all of our kiddos. Completely possible when you work the baby steps and live frugally, coupon shop, don't eat out all the time and actually cook your meals. So for just a single person to make 50k , absolutely....
Family of 4 homeschooling family that was living off under $25 an hour. We did it just fine and 1 of my kids is a competitive swimmer. It’s all about figuring it out and having priorities. Our biggest was we don’t rent vs mortgage. Oh yeah we also eat healthy but we cook our own food vs eating out a ton. It can be done and have savings and get to travel. Biggest tip. Write every transaction out and you maybe sick when you see how much you waste.
Regardless of how people make it work, 25/hr is NOT good money, especially for a "career". It needs supplemental income or MAJOR sacrifices, like... A roommate... No bueno of you're topped out in pay for that salary.. no bueno at all. Love you guys!
I agree. You can definitely budget and make it on 50k for a while. But you better be figuring out a career that will get you a better salary or you will struggle and find yourself 55 yrs old still living with a roommate and eating ramen.
My bills for everything, and I mean everything a year in TN, is 22k. I could make $12 an hour and have all my bills paid. And I have 3 kids, and my wife is a stay at home mom. When I get my mortgage paid off, I will only need to make $7.78 an hour to pay all my bills. So yes, it can be done.
I’m single and make $19.50/hr. I can afford to pay ALL of my expenses, including my own apartment rent (1 bed/1 bath), and save money! Did I mention I live in Orlando, FL? This is doable! I thank God for this.
I’ve done it for 3 years. One income. 27 an hour. Recently got a raise above 30 though Mortgage. Utilities. No payments other then that 2 kids and stay at home mom. Just gotta budget
I live in the Bahamas where the cost of living is MUCH MUCH higher than the USA. Average person makes less than $50k pa. including myself. How much you MAKE is irrelevant but rather how much you SPEND.
Keep it up George. You should do a segment on people’s daily expenses routines and their out of hand spending because of it. Most people are on Auto pilot.
I'm really loving this channel George. Starting a channel that puts out individual videos that focus on basic day to day personal finance topics was a really smart idea. Thanks for all that you and the Ramsey network do.
I make 30 an hour, nowhere near scared. Would I want to make more? Absolutely. Do I need to in order to survive? No. I live far below my means, and still more than enjoy each day.
3:15 Of course there are things he wants to experience that he can't do on $7.25 an hour. Most likely a McDonald's counter type job. Opinion: Those type of jobs shouldn't be used for primary income permanently - they are stepping stone jobs, second side jobs to pay off something or summer break type jobs.
George! Love your new content! It’s amazing! Ever since you became a co host of the Dave Ramsey show. I strongly believe you would be a superstar! Your such an inspiration for anyone to follow your footsteps when being a negative net worth, to a millionaire with a paid off house and two adorable frenchies and a happy wife by your side. Your new channel is beyond Amazing. It’s informative, humorous, and a spin craziness. Thank you for being a light in this world! And showing us that anything is possible thru the ups and downs! Much Love Bro! ❤️🙏🏻
Living decently on $25 per hour really depends where you live. I would struggle big time living on $25 per hour in a place like Manhattan while trying to avoid public NYCHA housing. However, I live in western NY where the cost of living is about average. I'm a household of one which would be comfortable on $25 per hour, but I think it would be tough if I had a wife and children to support on that income living in my area of the country where the cost of living is average.
A roommate can be a blessing or a nightmare. I would not want to risk a friendship or deal with the drama a roommate can bring. I would say the answer is don't go into debt. I would make the exception for a home loan but get a small house or a fixer-upper and do the work yourself as much as possible. If you have no money don't be sending money.
@@lbailey325 You two probably had the same interest. How is that a roommate anyway? I leach off someone makes me a leach there is no way they could be a roommate in that situation.
Werent peoples first roommate/s your best friends in high school all looking to get a cheap 2/3 bedroom in the rough neighborhood together in the years right after graduation. Otherwise you went to college or military or just stayed at moms house.
My problem with so many of these videos is that using an average isn't the best way to see what's affordable. Cost of living is the biggest factor in how much you need to make to live comfortably in your area. Roommates help. Having good financial sense also helps.
I agree with everything EXCEPT the water bill. It wouldn't be cut in half, because Joe Blow wouldn't be using half as much water as when he was living alone. He'd still be using the exact same amount. But that was only a $22/month saving, anyway. Rent is iffy, as well, unless Joe was already living in a 2 bedroom place by himself (1 bedroom places aren't half of 2 bedroom places. In my area, they're only a couple of hundred dollars less). Otherwise, I love the cost saving message. You're still my favorite, George!❤️
My water is a fixed amount so it could reduce by half. The electric one is still kinda iffy. I average 150 a month with 2 people (electric heat and AC and my husband is a big gamer.) But then again, my expenses aren't quite as high as in the video in general.
28m single making $20.90. I invest 15% towards retirement have 6 month’s emergency fund in place own my dream car a Jeep Wrangler and bought a house( mortgage has 51% remaining). You can do this! Wishing everyone an abnormal life 🤙.
Love the video. Well, we're a family of 4 live in L.A. where everything is super expensive. I make $22hr and wife $20hr. I do hit a lot of o.t. so doing 60-70hrs a week. Have my small ebay store and do door dash when I have time. Between both of us we make $110k yr. I used to be worried but since I started listening to Ramsey and his crew I'm more relaxed now doing the baby steps. I feel it's more of an excuse. If you're worried do something about it💯 plus my wife is a great cook so blessed with that😁
That TikTok guy is on point. You have to have 2 to 3 incomes to afford a house as the average price across the board is $300,000 or more. That is not affordable on $25 per hour for a single person. You would need to earn $75,000 a year & put down a large down payment & you can't forget those closing costs. The average rent for a one bedroom is $1,000 per month or higher.
My wife and I make combined $55k / year. We paid off our house during the pandemic. Currently saving for a newer vehicle. One note on the grocery category... If you go cheap on the food, plan for extra money in the doctor visit category. Eating healthy is much less expensive than the eat junk and going to the doctor - especially after 50. We currently spend about $750/mo on groceries for 3 meals/day for both of us.
The fact that we live in a "free country" and majority of people can not get by without living with a roomate is concerning. If this is where we are now and the relationship of wages to inflation is only getting worse imagine in a few decades...
Living alone has been an affluent luxury, even in the 20th Century. All the other working to middle-class generations I know, they were living with a friend or getting married or co-habitating, living in the barracks or college dorms, frat house or had a tiny studio or 1 bedroom for themselves. Living by yourself is not a thing unless you are making a great salary or otherwise living by yourself but paycheck to paycheck, or single parent or substance abuser.
First thing I disagree with is the rent goes to half. A 2BR is more expensive than a studio or 1BR. Going from 1660 to 830 isn't accurate it's probably more like 1660 to 1000 which is still a lot of margin but not the numbers run.
I guess it depends on where you live and your lifestyle! I live in Western mass making less than $25/hr. and I am not terrified! I still manage to save some money.
Living with a roommate is definitely not a "simple" sacrifice to make. I do think managing finances is more of a behavioral problem than a mathematical problem. Skip the $6 coffee cups and start making coffee on home or if time is an issue, grab gas station coffee. No need to have the trendiest clothing. Also, we shouldn't have to live with roommates to be able to get by. It's absurd that with making 50K a year someone isn't able to have their own place and live comfortably. In the early 2000s, a single family income of 50K was enough to support the family and live in a comfortable place without having roommates.
First, it's 50K a year. I'm sure you just made a typo there, but he stated it's seasonal. Do it for a limited time. It just so happened I had a friend that needed a place to stay for a short time so she moved in and that helped me get out of debt faster as well as get my emergency savings started (Baby Step 3). Not to mention, I cut back on many expenses as you suggested. No one needs coffee so don't even make it at home and you save 100% on that. Seasonal Sacrifices.
I feel like his first option shouldn't have been to get a roommate. There are plenty of sacrifices to be made in order to make it living on your own. The best piece of advice I've ever gotten is " you can have the things you want, you just can't have EVERYTHING you want"
No behavior can't make up for all the money one does not make. I know this because I used to live with people making $600 to $800 a month while I made at least $1,600 a month MINIMUM. So no math does matter it just is not the only factor in outcomes.
It’s a joke for most. Tell a married couple living in a trailer to put 2 new roommates in a tiny trailer park single wide tiny guest room with no heat or ac & also use same space for their 2 kids to live & use room for an air bnb. See George I fixed it. Now they can close their credit card permanently and pay cash for Dunkin’ Donuts once a year on their birthday for a $2 value menu upgrade versus the 25 cents bran o wheat cereal they use shelf stable pea milk for!
I make 30k and figured out how to live like I'm making 25k. People need to stop spending money on extras so much. I'd be saving even more money if I didn't pay for services I use as a content creator.
My first job I made about this amount and holy cow my expenses were far less than the avg $40,000 a year. Roommate makes a huge difference and just learning to be happy with good things, not the newest, most aesthetically pleasing, gut reaction want items and activities goes a long way both financially and in your overall wellness
It really depends on where you live. In our case, we both grew up with very little and I've never been good with money. When I was finally able to buy things that I could only watch other people have when I grew up I spent way too long making up for lost time. I'll be totally debt free by the end of the year and we have about a year's expenses saved up. We live below our means so that we can have a better life later on. We're not getting any younger, and for me, retirement age is only 20 years away. We're getting it under control while we can so that we don't have to die on the job. I don't know what money will be worth by then, but we hope to at least have half a million to retire with. It might not be enough, but with social security and a very, very modest pension from my job, we might make it through okay. If a major illness comes in, then that plan's probably shot.
Make 23 an hour, wife doesn’t work medical issues, we’re on baby step 3. Mortgage only, refinance last yr. Took 14 yrs left on mortgage to 10 yrs at 2.25% paying 1,000 per month on the principal
Making 25/hr is a dream for me lol. Most people I know who are single make less than that and are happy. That is plenty. The issue is most people don't know how to be frugal. I might never make $25 an hr and still will be a multimillionaire when I retire :). Be smart guys.
Come be frugal in Frisco, TX now. $750k starter house, 7.5% interest $23k property tax! You can live 90 minutes away in section 8 govt hood housing with crime & maybe save enough to adopt a guard dog or buy meat at Aldi once a year!
My wife and I have made about 50k total or less for 7 years. We're finally above 60k and are able to start paying things off and get ahead. Family of 3
I live on $21, but my mortgage is $711 a month. I clear 2500 a month. My monthly expenses including my mortgage is about $1300 to $1400 with $1000 left over. I spend about $70 a week on groceries. What single person pays $500 a month for groceries? The best way to save money is to cook at home.
Yes, it is very hard to live on anything less than $25 an hour. BUT!!! This is very subjective because it all depends on many factors, specifically where you reside. When you grow up poor, ingenuity kicks in, and you find a way.
Ok here’s where we’re at… $17.50 an hr, wife stays at home with our 1 yr old son. We’re 37, own our own house and have 2 yrs in on a 20 yr mortgage. To say it’s tight is an understatement 😆
Hi George, Great video but I have a challenge for you. Where can you find a car for $2,000 to $5,000 that Dave talks about that won’t leave you on the side of the road and not be a “money pit” for repairs?
My last car was a 2009 Honda Civic that I bought in 2017 for $6000. The price point for a reliable beater car has definitely shifted to $5-6K versus $1-2K.
@@GeorgeKamel I’m in the market for a new used car so I’ve been looking daily. On the east coast. Plenty of options for $2-3k. Even in today’s market. I don’t think I’ve ever spent more than 3k on a car in my life.
I know! I was wanting a beater but you cant find anything that runs for 4 or even 5 thousand dollars. They are literally selling broken cars for that much. And I live in Dave's area. I looked for so long. The only thing that ran in that budget wasn't street legal. The speedometer didn't work. Was literally about to break down as I test drove it.
My monthly expenses are 2500 with a roommate and paid off car in Dallas. Having a roommate also doesn't cut costs by exactly half since a 2 bedroom, more utility usage, etc. increases costs.
George is now my favorite personality at Ramsey. Just don't let him near your horses. Also i have lived off of less than 40k for 6 years and it has been plenty for me. I have been in nice houses and apartments. I've been maxing my retirment out and saving extra on top of that. I have also been going to school this whole time. No debt, but i am worn out from the work it takes. Granted I do not live in a major city.
I make $18/hr and live alone in a 2bedroom in New York. It’s not hard but it’s not easy.. like George said, if you have a plan you’re alright. I don’t even know how to get to $25/hr and I’m trying to figure out how people can make so much. Over $30/hr is just mind boggling… I get 2% raises and have to sell my soul to the company I work for to get that and hoping for $18.50/hr this next year.
Work at Costco. I'm a topped out Cashier after 6 years of work and I'm making $29.30 an hour. They start at $17.50 an hour with 1.5 pay on Sundays and guaranteed raises based on hours worked.
29 Lets Go: You must learn a skill that can get you a better paying job. There are low cost or free programs to learn tech skills. Also consider getting a government or city job because they tend to be more stable and pay is good in NYC.
The same organization that George works for has a career specialist with his own show. He helps people figure out what they want to do for work that’s meaningful and get paid well for it. His name is Ken Coleman, his show is on Apple Podcasts, and probably UA-cam. Just a suggestion if you’re looking for ways to get your income up
Staying with one company and looking at incremental increases won’t get you ahead I would look at another line of work or see it switching companies can get you more
I love this video! My only hang up that I never get over when it comes to the Ramsey plan is yes, you can payoff your car, but you still need to be setting aside money for a replacement car at some point. Cars don’t last forever. So in reality even if you don’t have a car payment you should still be setting aside the equivalent so that you aren’t caught off guard when you have an expensive repair or need to replace your car.
Yep! I can't tell you how many customers I've had in my collision center who bragged about having paid-off cars and being debt-free yet freaked out in the waiting room when the insurance company needed their deductible before I can begin repairs.
@@mariahcooke5157 I don’t think so because it’s something that you should expect to happen but it’s something that’s never included as a line item in a budget. You should expect that any aging car is going to need repairs, but we assume that paying off a car payment is automatically freed up money, when in reality it’s not.
You do, but you aren’t paying interest on that. You are saving the interest. You also are buying used, so saving a significant portion by not buying new. Paying cash for a car isn’t getting a free car, you aren’t saving the cost of the car you are saving the interest. And you are reducing your risk. The risk of having a huge car payment if you lose your job or have a health or family emergency is very real. So if you don’t have giant bills every month and have a life emergency you don’t have to worry about the financial aspect of things.
I'm curious if these people are single or live with a significant other. That really changes everything in that case. Let's be honest, no one wants a room mate. Yes it does help but making less than 50k a year is not enough to support yourself on your own in most areas if you're single.
My question would be, how long are we expected to have a roommate? Do they not think we have been doing this? Often roommates can be late with rent, noisy, destructive. How many years do we live with roommates? People are living with roommates in their mid-30s still. Simply getting a roommate isn’t enough. We need higher tax rates in the rich, corporations need to pay their share too. Redistribution of the wealth is the only way until wages come up to a reasonable level.
If it’s always someone else’s problem to fix, then you’ll always have the problem. Take control. You affect your life and success more than anyone and anything else.
26hr here, Own two vehicles, 2 motorcycles, buying a house thats halfway paid off valued at 130,000, have a 6 month emergency savings, I am diabetic so groceries cost me more than average "always chasing the sugar and carb free stuff". Pay my child support on time and in full and maintain all insurances on my child. I help others every chance I have. It hasn't always been easy and there was some Ramen noodle weeks here and there in the past, but I did this alone without a roomate, cosigner or money from anyone with the only exception being the mortgage on the house. Not trying to flex at all, just putting it out there that it can be done if you play your cards right.
$72,000/YR in Portland, Oregon is livable, but boy does the government like it’s taxes🙄 we need to be more intentional with where our money is spent but are privileged to not have to worry about making ends meet.
While it’s real, it’s not the deciding factor when it comes to getting control of money. Behavior, spending, and getting out/staying out of debt have a much higher correlation to rising above paycheck-to-paycheck life.
I am single and make $22.86 an hour as a production worker in a factory. Yes it's enough money. The money problems I have are from behavior and I am working on fixing it as quickly as possible.
Nice - long time Ramsey follower here - but I’d say having a roommate as an adult is a pretty major sacrifice/life change. It’s doable as you said, it’s just not optimal and I’d never have that as a goal.
After high school, you live in a college dorm or military barracks. Or still live with parents. Usually after that, maybe 22 and single, you get an apartment with your best friend from high school or college/work, since youre both probably still have the same party/friend circle. Or then move in with a girlfriend after that. Who out of high school gets their apartment of one? thats pretty entitled. At what point is it weird to have a roommate as an adult? Maybe approaching your 40s and still single, you have some well paying career at that point where youve saved up for a house.
Good job George . Your showing the haters why your so valuable to Ramsey solutions . You have great energy and a good sense of humor . Keep up the good work !!!
What this is telling me is that you need a roommate or a woking spouse if you make 50k. No denying that expenses have outgrown wages in the last 2 decades.
I survived comfortably last year on $26 an hour in southern california. No car payment, no student loan debt, and lived with a roommate. Cutting your housing expense is the easiest way to comfortably survive when you're making 60k or under
That's not actual true, that's just propaganda perpetuated by the left. Rich people don't have incomes the way most people do, so they don't have income tax. The left uses that to say that they don't pay tax. But they still pay all the other taxes, including capital gains taxes if they liquidate stocks or anything.
My husband makes $20/hr and I stay at home with our daughter. We own a house and have around $100,000 equity in it. We do owe $3,500 on a car but are making very fast progress , and should have it paid off in two months! It’s definitely not easy. I cook from scratch every meal and buy our clothes secondhand. No eating out or coffee shops but we live a very fulfilling life on very little!!
Hey , do you mind texting me what this budget looks like ?
This is what my hubby and I did as well. People over estimate what they actually spend. Good luck on your debt free journey
Those were the good ole days before inflation and cost of hike increase.
sounds like you paid much of the house off when $20/hr was worth way more than it is today though.
We are in the same Emma a family of 4 living with a budget, cooking all the meals, buy second hands clothes, if possible
Learning how to be content is the best thing we ever did for our finances lol
George has become my favorite personality along with Dave. Lots of personality turnover but I think they’ve hit the nail on the head with George!
He’s funny too😂
Both George and Jade are gold :)
My husband and I make less than 50k a year. We just paid off our home. Don't fear when you have a clear cut plan and the discipline to follow through❤
Your Minecraft home doesn't count.
Wow that's really good yall are blessed by the lord.
Well yeah, $25/hour is reasonable if you were able to purchase your home for less than $250k 15 years ago at 3% interest. Too bad everything around me is $500k + and rates are around 7%.
You could work too
@@15KHPCLUB ? We own a home outright. We make less than 50k. It can be done. Why so negative?
The problem with this entire proposition is that it's NEVER a good time to panic. Even if you're in a terrible situation, being "terrified" is just going to distract you from what you need to do to dig yourself out.
Actually, the problem is the stupidity that people Poston tick-tack
My husband and I started off our marriage 5 years ago at much less than $50k a year (we now make about $60k combined) and we have been through baby steps 1, 2, 3, and now are on 4/5/6 with a net worth of $100k. We live in Oklahoma, and my husband will be graduating in 2 weeks with his PhD. I am proud of what we have been able to accomplish even on a very small grad student income!
Your on your way. Good for you. Cheers👍
Anyone who makes $25/hr, has no kids, and doesn’t live in a crazy city like NY or LA, has NO excuse for being unable to afford life on those wages.
I make $29/hr and I’m THRIVING and saving like $2500 per month on bad months. Granted I’m only 22yr old and don’t have many significant expenses, but I do pay for all my own expenses without any support
How are you making $29/hr at 22? I mean, besides obviously having luck on your side.
@@fuzzypanda1684 luck was a part of it, but I also worked my butt off and work at a really difficult property.
I work at a large apartment complex(potential of 926 residents) that has a history of neglect, so nobody wants to work there due to the high work load combined with a lot of messiness and a bad reputation.
I went from being a part time leasing consultant($15/hr plus commission and rent discount) to demanding $17/hr 3 months later since I was keeping leasing going, then $18 when I went to full time last November, then opportunity for Assistant Community Manager(basically the #2 in charge) in January.
I was initially at $24/hr due to my lack of experience, but after 60 days once I showed that I could do the job well, I got boosted to $29.05(plus I get commission, rental discount, and a maximum of about $6500 in bonuses per year, likely only gonna get about $3500 this year)
@@fuzzypanda1684 my luck was in the fact that the new incoming manager got a great impression of me since I was the most experienced worker and I did work well outside of my job role(I was literally doing maintenance and management work along with leasing…) and that the current assistant community manager was doing a bad job
@@morgenglende-michalski369 Ah, well honestly, it's really great to hear you acknowledge that luck played a major role in your success, as well as your hard work.
Nothing irritates me more than when people claim that their success is due entirely to their hard work, but then you listen to their story and it's full of instances of meeting the right person at the right time, being in the right place at the right time, having a manager who likes them etc.
It's like when Joe Rogan says 90% of success is just showing up. Yeah, for YOU Joe. For some of us, showing up won't have any affect at all or might even make things worse.
Take your manager situation. Years ago I was in a similar situation with a friend of mine. We both worked at the same company and there were two owners. One really liked me and hated him, the other really liked him and hated me.
The one who liked him and hated me ended up taking over and despite both of us being on the same project, both putting in lots of overtime, taking on additional work etc. He got promoted while I got fired. That's when I learned that hard work is the engine, but luck is the transmission. You can have a 1000 HP engine, but if your transmission is ****, you ain't going anywhere.
Those jobs suck I got out for less pay as soon as I could. The residents are unpredictable and scary
I make $25 an hour (net $2,976/mo) and keep my monthly expenses as minimal as I can. I’m currently spending $1,060 a month and am able to put aside $1895/mo by not living beyond my means. I’m 27 years old and only have student loan debt that will be paid off in-full this December. It’s doable for me but I know not everyone’s situation is same.
We are a family of three. My husband makes 25 an hour and I'm a stay at home mom. We are also tackling our debt. We are not scared in any way. I budget and shop for things on sale.
Are you telling me 3 people can live off 50k in 2023. Are you in a metropolitan area?
Same over here as a family of 5. Priority shifts are crucial
Awesome. You two are smart 👍🏾
Keep it up
I make $18 an hour for a family of 3 No government assistance. Just extreme budgeting going on in my home.
Very cool!
Electricity wouldn’t be in half because consumption rises with more people under the same roof, but the bulk if that is probably heating & cooling. So, i would estimate electricity to be reduced between 30-40%
Same hold true for water which is metered.
Since the pandemic started, I’ve kept the same $150/week grocery budget for myself, my husband, and our teen daughter in a DC suburb. We’ve been just fine the whole time. I notice prices have gone up, of course, but i call it “playing the game”. I have to be be strategic with the sales & even side step occasionally to walmart for eggs (36 for $2.67 btw). Then, i target high point items to use the store’s gas savings on top of that. I’ve barely felt the inflation issues on food.
I made 9 dollars an hour in 2009. My wife didn't work and we also had a baby. We got by just fine. Rent was 400 a month then. Crazy how much more expensive things have gotten since then. I make 36 an hour now and it's still hard to save money.
Lifestyle inflation is rough.
If you can't save money at $36/hour then that's 100 percent on you.
That's 100% lifestyle inflation.
Doesn't affording a kid cost a lot and not count as lifestyle inflation?
I made 48k last year for a family of 4 and it’s was very tough. I graduated college and was able to triple my take home and I’m doing the reverse of lifestyle creep.
My side delivery is around $25 an hour. I live in San Jose (Silicon Valley). My rent is $700 (including my own parking space, wifi, electric, water, laundry), food $300, cell phone $50, gas $200, car insurance $40 (a month). No car payments or student loan and no debt. Yup, my budget usually under $1300 a month. So I am not scared at all. I grow up in San Bernardino (the hood, projects). Avg household income in San Bernardino is under $50K! You just know how to budget!
What helps you is your cheap rent (renting a room probably) If you had to pay for your own apartment you'd be screwed in silicon valley.
isn't the median income in San Jose the highest in the nation?
@eggheadegghead it is among one of the highest because of all these tech companies here pay their engineers well.
Yes, I realised that the average educated middle class American doesn't know how cheap living in America can be of you know what to do.
However, how come your rent is only $700 : do you live in a 3 - 5 bedroom house with friends/family or what???
What car insurance you have that it’s $40? Interested on this
I live in central Texas with husband and 4 kids. We are a single income family, hubby (I know you love that word 😂) makes right at $40k a year and honestly we are living well and comfortably. We have a house we are working to pay off quickly, a 8month emergency fund set aside. Our kids have everything they need and a lot of things they don’t. We budget, save for expected expenses, (and unexpected) have fun/blow money. I think expectations are everything. No, we don’t go on big vacations every year, we often shop at thrift stores, we don’t pay for a bunch of streaming services, I couldn’t tell you the last time I went to Starbucks etc. Most might say we are living simply, but we are very content and our girls are all happy and living their best lives 😊
Same situation here for the last 10 years but in SLC, UT. My wife recently got a part-time gig (2 minute walk away) so I could spend more time with our kids. $40k/yr for us is enough, but things would be much different if we purchased a home just a few years later.
Holy moly 40k to for a family of 6
Could you break down your 2-3 biggest expenses. It’s hard for some of us to wrap our heads around. I’m in DFW, bought a house for 200k in 2019. Mortgage is $1600, childcare is about $1550, insurance was about $1300(down to $400 w/new job).
What do you do for electricity. Last summer we had a few $400 months.
I’m 23 making $17/hr and I live in NY. My wife and I pinch the pennies enough so that she can stay home with our 7 month old. The sacrifices are real. We paid cash for a 400 sq ft trailer on a 1/3 of an acre in a small town. It’s tight. But we have no rent, barely any taxes and so we end up with around $800 in positive margin every month. It’s tough at times saying no to things. But you gotta man up and do the hard things in order to get to where you want to go
I make $20 an hour. My wife is going to college and is a stay at home Mom currently. Own three vehicles and will have the house paid off in ten years. Thank you West Virginia
Yeah, I am very seriously considering moving to West Virginia after saving up a little more money. I've never lived in the east, but between mountains, house prices, and wages, it seems like the perfect place to live.
It all depends on where you live. In some states, 25/hour is ALOT of money. In other areas, 25/hour is just enough to pay rent and have some left for discretionary spending. Its all relative to the standard cost of living in your preferred neighborhood. If you can't afford it, its probably time to move somewhere else cheaper if you can.
When I first started my career I made about $50k/yr in 2016. I saved $18k my first year & I didn’t live at home. I had my own apartment & everything. HOWEVER, now I can’t even fathom living on that same amount. I think it’s doable if you’re frugal & just want an “average” lifestyle but if I made that now I’d be living paycheck to paycheck. Thankful for how far I’ve come since then.
What's wrong with living and "average" lifestyle? That's why it's average, it's normal, typical, expected. That's nothing to be terrified of.
As someone who makes that amount, I have saved, had no consumer debt, and bought a house on less than that. I live in a pretty expensive area. It's difficult around here but can be doable for sure.
Try it now. Not a house you bought 15 years ago & 1/2 paid off!
"Theres no way you can afford to have a decent breakfast on 50k a year" 😂
I literally lol’d at that comment. Some homemade sourdough with half an avocado, butter, salt and a poached egg costs what, $1.65? Depending on the cost of avocados near you? Maybe add some berries for another $1.00 and get really fancy😂.
Well yeah, when you're paying 35 dollars a morning on eggs Benedict and mimosa.
Very Boomery avocado toast puke esque vibes there!
As someone who makes around $25/hr. It is tough. Housing cost are just brutal.
All of your women hating comments make sense now. You're miserable and insecure. What skills are you learning to improve your income (and don't go blaming women for why you haven't learned these skills)?
Agree, housing costs are brutal.
I remember making $15 an hour living in Los Angeles back in 2011. You just have to budget better.
The thing is most don’t want to sacrifice. They want to live above their means.
I make 67k, single income family, stay at home wife with 3 kids under 5. We own a home, and are on baby steps 4,5, and 6. And we are doing just fine, one big key here is NO CONSUMER DEBT, but do have a mortgage. We also contribute 600 a month to Roth 403b and 3x 529 plans for all of our kiddos. Completely possible when you work the baby steps and live frugally, coupon shop, don't eat out all the time and actually cook your meals. So for just a single person to make 50k , absolutely....
ALDI should really sponsor this Dave Ramsey set of shows, y’all advertise it for free so often
George is definitely my favorite Ramsey personality!
I second that! He is easy on the eyes too, which helps! 😍
Family of 4 homeschooling family that was living off under $25 an hour. We did it just fine and 1 of my kids is a competitive swimmer. It’s all about figuring it out and having priorities. Our biggest was we don’t rent vs mortgage. Oh yeah we also eat healthy but we cook our own food vs eating out a ton. It can be done and have savings and get to travel. Biggest tip. Write every transaction out and you maybe sick when you see how much you waste.
Regardless of how people make it work, 25/hr is NOT good money, especially for a "career". It needs supplemental income or MAJOR sacrifices, like... A roommate... No bueno of you're topped out in pay for that salary.. no bueno at all. Love you guys!
I agree. You can definitely budget and make it on 50k for a while. But you better be figuring out a career that will get you a better salary or you will struggle and find yourself 55 yrs old still living with a roommate and eating ramen.
My bills for everything, and I mean everything a year in TN, is 22k. I could make $12 an hour and have all my bills paid. And I have 3 kids, and my wife is a stay at home mom. When I get my mortgage paid off, I will only need to make $7.78 an hour to pay all my bills. So yes, it can be done.
I’m single and make $19.50/hr. I can afford to pay ALL of my expenses, including my own apartment rent (1 bed/1 bath), and save money! Did I mention I live in Orlando, FL? This is doable! I thank God for this.
I’ve done it for 3 years. One income. 27 an hour. Recently got a raise above 30 though
Mortgage. Utilities.
No payments other then that
2 kids and stay at home mom. Just gotta budget
I live in the Bahamas where the cost of living is MUCH MUCH higher than the USA. Average person makes less than $50k pa. including myself. How much you MAKE is irrelevant but rather how much you SPEND.
Thanks George for taking some fear out of modern finances! 🐪
George keep up great work
Very good work george.
Keep it up George. You should do a segment on people’s daily expenses routines and their out of hand spending because of it. Most people are on Auto pilot.
I'm really loving this channel George. Starting a channel that puts out individual videos that focus on basic day to day personal finance topics was a really smart idea. Thanks for all that you and the Ramsey network do.
Agreed! Thanks for adding your flare to things, George!
I make 30 an hour, nowhere near scared. Would I want to make more? Absolutely. Do I need to in order to survive? No. I live far below my means, and still more than enjoy each day.
3:15
Of course there are things he wants to experience that he can't do on $7.25 an hour. Most likely a McDonald's counter type job. Opinion: Those type of jobs shouldn't be used for primary income permanently - they are stepping stone jobs, second side jobs to pay off something or summer break type jobs.
Must be nice to still live at home rent-free.
@@stevenporter863lol who do you know is making $7 an hour this day in age?
George!
Love your new content!
It’s amazing!
Ever since you became a co host of the Dave Ramsey show.
I strongly believe you would be a superstar!
Your such an inspiration for anyone to follow your footsteps when being a negative net worth, to a millionaire with a paid off house and two adorable frenchies and a happy wife by your side.
Your new channel is beyond Amazing.
It’s informative, humorous, and a spin craziness.
Thank you for being a light in this world!
And showing us that anything is possible thru the ups and downs!
Much Love Bro! ❤️🙏🏻
Living decently on $25 per hour really depends where you live. I would struggle big time living on $25 per hour in a place like Manhattan while trying to avoid public NYCHA housing. However, I live in western NY where the cost of living is about average. I'm a household of one which would be comfortable on $25 per hour, but I think it would be tough if I had a wife and children to support on that income living in my area of the country where the cost of living is average.
When I lived in Buffalo, on mid-$20's an hour, I was living like a king. I even did well on low paying jobs before that, able to get by.
My grocery budget is $150, even in CA, it’s very doable.
This is the first year I’ll be making over $50k and I’m not terrified! Get rid of that car payment and you will have a lot more breathing room 😊
Yup, I live off 80K a year and I got rid of my car payment last year, it's amazing what another 500 a month does!!
I worked 46 years...blue collar...never made 25 bucks an hour. Own my home..bassboat..car ..4×4 truck..and motorhome...with half million in the bank.
A roommate can be a blessing or a nightmare. I would not want to risk a friendship or deal with the drama a roommate can bring. I would say the answer is don't go into debt. I would make the exception for a home loan but get a small house or a fixer-upper and do the work yourself as much as possible. If you have no money don't be sending money.
Only roommate I ever had was my wife!
@@lbailey325 You two probably had the same interest. How is that a roommate anyway? I leach off someone makes me a leach there is no way they could be a roommate in that situation.
Werent peoples first roommate/s your best friends in high school all looking to get a cheap 2/3 bedroom in the rough neighborhood together in the years right after graduation. Otherwise you went to college or military or just stayed at moms house.
My problem with so many of these videos is that using an average isn't the best way to see what's affordable. Cost of living is the biggest factor in how much you need to make to live comfortably in your area. Roommates help. Having good financial sense also helps.
Wrong zip code & wrong year to buy & no crash ever will attempt to ruin you’re life & put you in bankruptcy court if you allow it!😊
I agree with everything EXCEPT the water bill. It wouldn't be cut in half, because Joe Blow wouldn't be using half as much water as when he was living alone. He'd still be using the exact same amount. But that was only a $22/month saving, anyway. Rent is iffy, as well, unless Joe was already living in a 2 bedroom place by himself (1 bedroom places aren't half of 2 bedroom places. In my area, they're only a couple of hundred dollars less). Otherwise, I love the cost saving message. You're still my favorite, George!❤️
Thought I was the only one that caught that
Electricity too. Won't be cut in half. Definitely reduced, but not cut in half - more lights will be used, maybe two computers at once, etc.
My water is a fixed amount so it could reduce by half. The electric one is still kinda iffy. I average 150 a month with 2 people (electric heat and AC and my husband is a big gamer.) But then again, my expenses aren't quite as high as in the video in general.
28m single making $20.90. I invest 15% towards retirement have 6 month’s emergency fund in place own my dream car a Jeep Wrangler and bought a house( mortgage has 51% remaining). You can do this! Wishing everyone an abnormal life 🤙.
I only make $20/hr and I have a paid off car and own a house. It’s not hard to make it, it’s all about lifestyle.
You must live in the south or middle America. I make around the same as you and home ownership isn’t even a vision in the distant future 😅
Inflation and cost of living spike is not behavioral; it's math George.
Behavior has way more to do with financial success than inflation. And if you don’t believe that, you will never win with money.
No you can’t not in California , I don’t know about other states
In California you can't live at all. No matter how much you earn.
Love the video. Well, we're a family of 4 live in L.A. where everything is super expensive. I make $22hr and wife $20hr. I do hit a lot of o.t. so doing 60-70hrs a week. Have my small ebay store and do door dash when I have time. Between both of us we make $110k yr. I used to be worried but since I started listening to Ramsey and his crew I'm more relaxed now doing the baby steps. I feel it's more of an excuse. If you're worried do something about it💯 plus my wife is a great cook so blessed with that😁
That TikTok guy is on point. You have to have 2 to 3 incomes to afford a house as the average price across the board is $300,000 or more. That is not affordable on $25 per hour for a single person. You would need to earn $75,000 a year & put down a large down payment & you can't forget those closing costs. The average rent for a one bedroom is $1,000 per month or higher.
I was gonna say that as well, he literally had to add a roommate just to make this work.
Cost of living by location is the biggest factor
My wife and I make combined $55k / year. We paid off our house during the pandemic. Currently saving for a newer vehicle.
One note on the grocery category... If you go cheap on the food, plan for extra money in the doctor visit category. Eating healthy is much less expensive than the eat junk and going to the doctor - especially after 50. We currently spend about $750/mo on groceries for 3 meals/day for both of us.
The fact that we live in a "free country" and majority of people can not get by without living with a roomate is concerning. If this is where we are now and the relationship of wages to inflation is only getting worse imagine in a few decades...
Living alone has always been a luxury. Doesn’t matter what decade.
Living alone has been an affluent luxury, even in the 20th Century. All the other working to middle-class generations I know, they were living with a friend or getting married or co-habitating, living in the barracks or college dorms, frat house or had a tiny studio or 1 bedroom for themselves. Living by yourself is not a thing unless you are making a great salary or otherwise living by yourself but paycheck to paycheck, or single parent or substance abuser.
First thing I disagree with is the rent goes to half. A 2BR is more expensive than a studio or 1BR. Going from 1660 to 830 isn't accurate it's probably more like 1660 to 1000 which is still a lot of margin but not the numbers run.
These videos are 💯 lit 🔥 as the kids say. Great job George and the team 👏🏽
I guess it depends on where you live and your lifestyle! I live in Western mass making less than $25/hr. and I am not terrified! I still manage to save some money.
Living with a roommate is definitely not a "simple" sacrifice to make. I do think managing finances is more of a behavioral problem than a mathematical problem. Skip the $6 coffee cups and start making coffee on home or if time is an issue, grab gas station coffee. No need to have the trendiest clothing. Also, we shouldn't have to live with roommates to be able to get by. It's absurd that with making 50K a year someone isn't able to have their own place and live comfortably. In the early 2000s, a single family income of 50K was enough to support the family and live in a comfortable place without having roommates.
First, it's 50K a year. I'm sure you just made a typo there, but he stated it's seasonal. Do it for a limited time. It just so happened I had a friend that needed a place to stay for a short time so she moved in and that helped me get out of debt faster as well as get my emergency savings started (Baby Step 3). Not to mention, I cut back on many expenses as you suggested. No one needs coffee so don't even make it at home and you save 100% on that. Seasonal Sacrifices.
I feel like his first option shouldn't have been to get a roommate. There are plenty of sacrifices to be made in order to make it living on your own. The best piece of advice I've ever gotten is " you can have the things you want, you just can't have EVERYTHING you want"
No behavior can't make up for all the money one does not make. I know this because I used to live with people making $600 to $800 a month while I made at least $1,600 a month MINIMUM. So no math does matter it just is not the only factor in outcomes.
It’s a joke for most.
Tell a married couple living in a trailer to put 2 new roommates in a tiny trailer park single wide tiny guest room with no heat or ac & also use same space for their 2 kids to live & use room for an air bnb.
See George I fixed it.
Now they can close their credit card permanently and pay cash for Dunkin’ Donuts once a year on their birthday for a $2 value menu upgrade versus the 25 cents bran o wheat cereal they use shelf stable pea milk for!
"We shouldnt..." hahahahahaha get a grip.
I make 30k and figured out how to live like I'm making 25k. People need to stop spending money on extras so much. I'd be saving even more money if I didn't pay for services I use as a content creator.
I’m living off of $12/hr rn but I’m also doing doordash and have 2 roommates. Budgeting really is the key to getting where you need to go
That was me back in 2005.
Now try this same video with the federal minimum wage.... I'd like to see you try that one
I think if someone lives well within their means and doesn’t over pay for a car or home it can be done. Depends on a lot of factors
if you rent out a room for say 300-600 then ya doable to not be paycheck to paycheck
My first job I made about this amount and holy cow my expenses were far less than the avg $40,000 a year. Roommate makes a huge difference and just learning to be happy with good things, not the newest, most aesthetically pleasing, gut reaction want items and activities goes a long way both financially and in your overall wellness
It really depends on where you live. In our case, we both grew up with very little and I've never been good with money. When I was finally able to buy things that I could only watch other people have when I grew up I spent way too long making up for lost time. I'll be totally debt free by the end of the year and we have about a year's expenses saved up. We live below our means so that we can have a better life later on.
We're not getting any younger, and for me, retirement age is only 20 years away. We're getting it under control while we can so that we don't have to die on the job. I don't know what money will be worth by then, but we hope to at least have half a million to retire with. It might not be enough, but with social security and a very, very modest pension from my job, we might make it through okay. If a major illness comes in, then that plan's probably shot.
Make 23 an hour, wife doesn’t work medical issues, we’re on baby step 3. Mortgage only, refinance last yr. Took 14 yrs left on mortgage to 10 yrs at 2.25% paying 1,000 per month on the principal
Making 25/hr is a dream for me lol. Most people I know who are single make less than that and are happy. That is plenty. The issue is most people don't know how to be frugal. I might never make $25 an hr and still will be a multimillionaire when I retire :). Be smart guys.
Correction: You WILL make 25+ per hour and you will become a millionaire. Adjustment has been put out into the universe. Good luck bro.
Come be frugal in Frisco, TX now.
$750k starter house, 7.5% interest $23k property tax!
You can live 90 minutes away in section 8 govt hood housing with crime & maybe save enough to adopt a guard dog or buy meat at Aldi once a year!
Sacrifice is never easy or it is no true sacrifice.
My wife and I have made about 50k total or less for 7 years. We're finally above 60k and are able to start paying things off and get ahead. Family of 3
I live on $21, but my mortgage is $711 a month. I clear 2500 a month. My monthly expenses including my mortgage is about $1300 to $1400 with $1000 left over.
I spend about $70 a week on groceries. What single person pays $500 a month for groceries?
The best way to save money is to cook at home.
Here in Denver if you make less then 35$ in hour you live in poverty. Also, not everyone wants to put up with a roommate
Yes, it is very hard to live on anything less than $25 an hour. BUT!!! This is very subjective because it all depends on many factors, specifically where you reside. When you grow up poor, ingenuity kicks in, and you find a way.
Ok here’s where we’re at… $17.50 an hr, wife stays at home with our 1 yr old son. We’re 37, own our own house and have 2 yrs in on a 20 yr mortgage. To say it’s tight is an understatement 😆
Hi George,
Great video but I have a challenge for you. Where can you find a car for $2,000 to $5,000 that Dave talks about that won’t leave you on the side of the road and not be a “money pit” for repairs?
My last car was a 2009 Honda Civic that I bought in 2017 for $6000. The price point for a reliable beater car has definitely shifted to $5-6K versus $1-2K.
@@GeorgeKamel I’m in the market for a new used car so I’ve been looking daily. On the east coast. Plenty of options for $2-3k. Even in today’s market. I don’t think I’ve ever spent more than 3k on a car in my life.
I know! I was wanting a beater but you cant find anything that runs for 4 or even 5 thousand dollars. They are literally selling broken cars for that much. And I live in Dave's area. I looked for so long. The only thing that ran in that budget wasn't street legal. The speedometer didn't work. Was literally about to break down as I test drove it.
In Los Angeles 50k feels like 30k
My monthly expenses are 2500 with a roommate and paid off car in Dallas. Having a roommate also doesn't cut costs by exactly half since a 2 bedroom, more utility usage, etc. increases costs.
You can live on $25/hr. Youll have to grind to save enough for an emergency fund and a down-payment for a home, but its not impossible.
Love this. Keep the "no excuses" attitude George 💪
George is now my favorite personality at Ramsey. Just don't let him near your horses.
Also i have lived off of less than 40k for 6 years and it has been plenty for me. I have been in nice houses and apartments. I've been maxing my retirment out and saving extra on top of that. I have also been going to school this whole time. No debt, but i am worn out from the work it takes. Granted I do not live in a major city.
I make $18/hr and live alone in a 2bedroom in New York. It’s not hard but it’s not easy.. like George said, if you have a plan you’re alright.
I don’t even know how to get to $25/hr and I’m trying to figure out how people can make so much. Over $30/hr is just mind boggling… I get 2% raises and have to sell my soul to the company I work for to get that and hoping for $18.50/hr this next year.
Be a contractor! Do a job that can allow you to contract and you can make even 150$ an hour.
Work at Costco. I'm a topped out Cashier after 6 years of work and I'm making $29.30 an hour.
They start at $17.50 an hour with 1.5 pay on Sundays and guaranteed raises based on hours worked.
29 Lets Go: You must learn a skill that can get you a better paying job. There are low cost or free programs to learn tech skills. Also consider getting a government or city job because they tend to be more stable and pay is good in NYC.
The same organization that George works for has a career specialist with his own show. He helps people figure out what they want to do for work that’s meaningful and get paid well for it. His name is Ken Coleman, his show is on Apple Podcasts, and probably UA-cam. Just a suggestion if you’re looking for ways to get your income up
Staying with one company and looking at incremental increases won’t get you ahead I would look at another line of work or see it switching companies can get you more
I love this video! My only hang up that I never get over when it comes to the Ramsey plan is yes, you can payoff your car, but you still need to be setting aside money for a replacement car at some point. Cars don’t last forever. So in reality even if you don’t have a car payment you should still be setting aside the equivalent so that you aren’t caught off guard when you have an expensive repair or need to replace your car.
Yep!
I can't tell you how many customers I've had in my collision center who bragged about having paid-off cars and being debt-free yet freaked out in the waiting room when the insurance company needed their deductible before I can begin repairs.
Isn’t that what an emergency fund could be used for?
@@mariahcooke5157 I don’t think so because it’s something that you should expect to happen but it’s something that’s never included as a line item in a budget. You should expect that any aging car is going to need repairs, but we assume that paying off a car payment is automatically freed up money, when in reality it’s not.
I agree to save up for a car, but it in a sinking fund. But it can be a whole lot less than a car payment because you won't be paying interest.
You do, but you aren’t paying interest on that. You are saving the interest. You also are buying used, so saving a significant portion by not buying new. Paying cash for a car isn’t getting a free car, you aren’t saving the cost of the car you are saving the interest. And you are reducing your risk. The risk of having a huge car payment if you lose your job or have a health or family emergency is very real. So if you don’t have giant bills every month and have a life emergency you don’t have to worry about the financial aspect of things.
The hardest part of this conversations is what people believe they are entitled too. This greatly varies depending on who you talk to
I'm curious if these people are single or live with a significant other. That really changes everything in that case. Let's be honest, no one wants a room mate. Yes it does help but making less than 50k a year is not enough to support yourself on your own in most areas if you're single.
My question would be, how long are we expected to have a roommate? Do they not think we have been doing this? Often roommates can be late with rent, noisy, destructive. How many years do we live with roommates? People are living with roommates in their mid-30s still. Simply getting a roommate isn’t enough. We need higher tax rates in the rich, corporations need to pay their share too. Redistribution of the wealth is the only way until wages come up to a reasonable level.
If it’s always someone else’s problem to fix, then you’ll always have the problem. Take control. You affect your life and success more than anyone and anything else.
💯
26hr here, Own two vehicles, 2 motorcycles, buying a house thats halfway paid off valued at 130,000, have a 6 month emergency savings, I am diabetic so groceries cost me more than average "always chasing the sugar and carb free stuff". Pay my child support on time and in full and maintain all insurances on my child. I help others every chance I have. It hasn't always been easy and there was some Ramen noodle weeks here and there in the past, but I did this alone without a roomate, cosigner or money from anyone with the only exception being the mortgage on the house. Not trying to flex at all, just putting it out there that it can be done if you play your cards right.
Hilarious and informative! This is a rockstar show, I love it keep them coming
$72,000/YR in Portland, Oregon is livable, but boy does the government like it’s taxes🙄 we need to be more intentional with where our money is spent but are privileged to not have to worry about making ends meet.
Inflation & the increase of cost of living is squeezing the middle class out.
While it’s real, it’s not the deciding factor when it comes to getting control of money. Behavior, spending, and getting out/staying out of debt have a much higher correlation to rising above paycheck-to-paycheck life.
I am single and make $22.86 an hour as a production worker in a factory. Yes it's enough money. The money problems I have are from behavior and I am working on fixing it as quickly as possible.
Nice - long time Ramsey follower here - but I’d say having a roommate as an adult is a pretty major sacrifice/life change. It’s doable as you said, it’s just not optimal and I’d never have that as a goal.
After high school, you live in a college dorm or military barracks. Or still live with parents. Usually after that, maybe 22 and single, you get an apartment with your best friend from high school or college/work, since youre both probably still have the same party/friend circle. Or then move in with a girlfriend after that. Who out of high school gets their apartment of one? thats pretty entitled.
At what point is it weird to have a roommate as an adult? Maybe approaching your 40s and still single, you have some well paying career at that point where youve saved up for a house.
Bottom line: you have to adapt to society and your salary. Not the other way around.
Good job George . Your showing the haters why your so valuable to Ramsey solutions . You have great energy and a good sense of humor . Keep up the good work !!!
What this is telling me is that you need a roommate or a woking spouse if you make 50k. No denying that expenses have outgrown wages in the last 2 decades.
Love the humor in making the content😅
Who in the world is dropping 500 a month on groceries all by yourself? These average monthly expenses are ridiculous.
I know! I have budget of 150. A week for 6 of us! We could do 100 but I like some snacks every once in a while.🌞
Wish I would have seen this when I was in my early twenties, great video!
I make under 25 an hour and live quite comfotably. Cars are payed off only mortgage payment is about 650 a month. It all depends where you live
Roommates isn’t always an option. I rather struggle than live with a stranger.
I survived comfortably last year on $26 an hour in southern california. No car payment, no student loan debt, and lived with a roommate. Cutting your housing expense is the easiest way to comfortably survive when you're making 60k or under
“Go fund yourself”. 😂my new favorite line
Family of 5 here with a $23 dollar an hour income. We are homeowners and live a normal but not extravagant life.
What a crazy we pay more taxes than rich people
That's not actual true, that's just propaganda perpetuated by the left. Rich people don't have incomes the way most people do, so they don't have income tax. The left uses that to say that they don't pay tax. But they still pay all the other taxes, including capital gains taxes if they liquidate stocks or anything.