How It Feels To Have An Emergency Fund - Dave Ramsey Rant

Поділитися
Вставка
  • Опубліковано 22 гру 2024

КОМЕНТАРІ • 614

  • @michaelskocdopole4090
    @michaelskocdopole4090 6 років тому +646

    1 year into baby step 2. Payed off $14,000 of $27,000 so far. Making $37,000 a year. Plan to be finished by September.

    • @jmicm13
      @jmicm13 6 років тому +9

      Michael Skocdopole congratulations on the hard work! $37,000 gross or net?

    • @BonnieHalfElven
      @BonnieHalfElven 6 років тому +9

      Good job! That's tough on $37K!

    • @ibmtpx24
      @ibmtpx24 6 років тому +11

      Michael: Great work. Now get that part-time job you always think about and knock baby step 2 out before summer!

    • @norsefalconer
      @norsefalconer 6 років тому +3

      Fantastic! Stay the course.

    • @ShiaGirl18
      @ShiaGirl18 5 років тому +5

      Are you debt free now?! Congratulations on your progress

  • @vals.2721
    @vals.2721 6 років тому +844

    I am so happy I had the opportunity to find Dave before I financed a car. I was going to give 5k down payment. Instead, I bought a used small car for 5k. Right away I started a car fund. Every month I save 150 Euros. I needed to change 02 tires (162 Euros)... no problem! In a few years I will sell this car and use my savings from my car fund to buy a newer model. I learned this with Dave! In the meantime time, I know a lot of broke people driving beautiful and big cars!

    • @BonnieHalfElven
      @BonnieHalfElven 6 років тому +16

      A car fund is my 3B, as soon as the emergency fund is completed!

    • @isaih_1
      @isaih_1 6 років тому +10

      Val S. Great story. Inspiring.

    • @diego-lima
      @diego-lima 6 років тому +4

      Bonnie Half-Elven what’s a 3b? I’m lost on these steps. Is there a video where he teaches these? Thanks!

    • @diego-lima
      @diego-lima 6 років тому +3

      Val S. I haven’t bought a car yet but I though about doing just what you said. Down payment then installments every month. Im saving now for a ar then I’ll do exactly that, pay myself for a future car!

    • @L1dechuy09
      @L1dechuy09 6 років тому +11

      I wish I had found Dave before I got my new car.

  • @charliebrown6590
    @charliebrown6590 4 роки тому +180

    39 yrs old with a wife and two small children, I have 50k stashed away in my savings account as an emergency fund. It took me 12 years to get to this point from living carelessly to tracking every single dollar that goes out. Thank you Dave!

    • @waqcapital
      @waqcapital 3 роки тому +10

      Good job

    • @Kiara_Wrestler
      @Kiara_Wrestler 3 роки тому +6

      Great dad

    • @skeme1213
      @skeme1213 2 роки тому +6

      Well done brother

    • @RonJohn63
      @RonJohn63 2 роки тому +7

      Sadly, it took me a *LOT* longer than that, but I've had a year of savings for a few years.

    • @tonyfarias859
      @tonyfarias859 2 роки тому +4

      God bless you brother

  • @dr.bradshaw
    @dr.bradshaw 5 років тому +903

    27 yrs old, I’ve got 35k in an emergency fund and it feels amazing. No stress here and I sleep like a baby

    • @TheDersEffect8
      @TheDersEffect8 4 роки тому +123

      25 years old. No debt. 25k cash in the safe and 10k in mutual funds....sleep like a baby and never check the account if I go out with friends.

    • @unkemptcasanova1476
      @unkemptcasanova1476 4 роки тому +43

      That's probably too much tbh. Unless your expenses are astronomically high.

    • @braceyourselvesfortruth2492
      @braceyourselvesfortruth2492 4 роки тому +56

      I'm not going to hate. That is a great start, but you need to start making that money work for you. Even as low as inflation is, you're losing that money over time. Also, having so much cash lying around makes you less likely to price shop when emergencies do happen. You're smart, but I would say keep learning.

    • @Somuchcooleronline1
      @Somuchcooleronline1 4 роки тому +24

      That'd be like 2-3 years expenses for me.

    • @RM-sp6tc
      @RM-sp6tc 4 роки тому +9

      Well done

  • @jgood005
    @jgood005 5 років тому +425

    I had an unexpected job loss recently. Thankfully they let me go with a pretty generous severance, and I would've been able to claim unemployment eventually. I also have a solid 3 month emergency fund and I fund my budget 1 month in advance.
    The next day, after I had started to get over the shock, I re-did all my budgets to see how long I could hold out financially. With severance + unemployment + emergency fund + cutting spending to the bare minimum, it would've taken me 3 years to be broke and homeless!
    Thankfully I got a new job in less than a month! :D

    • @RonJohn63
      @RonJohn63 5 років тому +25

      A while ago, I made a copy of my budget spreadsheet, named it "unemployed budget", and started chopping nonessentials (while adding COBRA costs). It was eye-opening and helpful.

    • @ogj13
      @ogj13 4 роки тому +4

      Amazing ! Good for you! 😁👍🏽👍🏽👍🏽

    • @thomasarnoldcoe6527
      @thomasarnoldcoe6527 3 роки тому +3

      Good skills, mate

    • @bia_dev
      @bia_dev 2 роки тому

      @@RonJohn63 Amazing tool to see what's really essential. Sometimes comfort takes up too much space in our lives lol

  • @MrLoddyDoddy
    @MrLoddyDoddy 6 років тому +928

    Emergency fund turns a crisis into an inconvenience

    • @davidreynolds4942
      @davidreynolds4942 5 років тому +12

      Lydell Sumner thank you for the wise words Mr Sumner!

    • @Nate-gj7pb
      @Nate-gj7pb 5 років тому +6

      @@davidreynolds4942 a crisis is always an inconvenience, surely? When is a crisis convenient?

    • @ShiaGirl18
      @ShiaGirl18 5 років тому +6

      I'm working on my emergency fund. I really had enough when my cooking gas was finished and I had no cash to buy it.

    • @Fixin-To
      @Fixin-To 5 років тому +21

      Nathan G Please don’t breed. Negativity aimed at positivity is caustic and wasted energy.

    • @clarifyingquestions
      @clarifyingquestions 5 років тому +3

      love this - emergency fund turns a crisis into an inconvenience, but what is an actual emergency. for example - vacancy in a rental property? Dave uses car break down as an emergency but like the rental property rental vacancy should a person not have a car maintenance fund, vacancy fund, a house maintain fund because these are to be expected not a real emergency like unexpected illness, funeral travel expenses etc.

  • @NoypiTexan
    @NoypiTexan 6 років тому +227

    Dave, I’m only 21 and learned my lesson, I’ve been watching your videos for about a month now and you’re planting seeds in my mind. Saving money is really common sense!

    • @shebakali6
      @shebakali6 6 років тому +13

      Wish I had your smarts at 21

    • @kevinandersson2133
      @kevinandersson2133 6 років тому +3

      Same! I’m your age aswell and been watching for as long :)

    • @gaoki2594
      @gaoki2594 6 років тому +6

      Im 21 as well first time in my life that ive saved and stopped spening my whole check on pointless materialistic things. Got 1100 saved as my emergency fund and now paying my debts, every check that I get makes me less stressed about not doing and just drowning in my sorrows cause I was broke.

    • @nathanielaranda8407
      @nathanielaranda8407 5 років тому +3

      Mark Tanteo absolutely! I’m 20 and refuse to barrow money 😠 and emergency fund is always essential! 😄😄

  • @paulc3749
    @paulc3749 2 роки тому +25

    When he said when you’re broke everything that can go wrong will, that is so very true . Money makes life easier, anyone who says different has never lived it

  • @Cyps36
    @Cyps36 6 років тому +229

    Every thing Dave is saying is just pure wisdom, absorb it!

    • @Zania16ify
      @Zania16ify 6 років тому +2

      Cyps36 lol it's common sense... ;)

    • @ShiaGirl18
      @ShiaGirl18 5 років тому +2

      I cannot afford to go into debt again.

    • @cspy5073
      @cspy5073 4 роки тому

      Cyps36 we have the same initials! 🙌

  • @skibum6422
    @skibum6422 6 років тому +325

    I can tell you that a fully funded emergency fund is such a peaceful feeling!

  • @Tabaitha_Elle
    @Tabaitha_Elle 6 років тому +384

    You’re so right! I had to get my car fixed first thing into this New Year. The dealer called me and said I needed $1700 worth of work and asked did I want to get it done. I told him go ahead and do everything and he says “ you want everything done? “ I said “ Yes do it all. I’ll have the money “ 😂. My 07 Chevy (that’s paid off) is running like new now. It felt good to not have to stress and keep my old car on the road a little longer.

    • @yourentrepreneurjourney
      @yourentrepreneurjourney 6 років тому +12

      It's Tabaitha 👏😍💪💰

    • @kentblair
      @kentblair 6 років тому +73

      Next time get a second opinion.

    • @joshuacampbell198
      @joshuacampbell198 6 років тому

      YOU GO GIRL!

    • @Elena-er7zp
      @Elena-er7zp 6 років тому +39

      Bahahaha. Same! I had to have some suspension fixed on my 2004 car. The shop guys think I am crazy because it is a 2004 with 204,000 miles on it. Dude, I'd rather spend $1500 a year on my car's maintenance than spend $4800 a year on a car payment.

    • @Elena-er7zp
      @Elena-er7zp 6 років тому +14

      QuixoticQuaver well if she went to the dealer for repair then yeah, she got scammed. if she had found a reputable repair shop, they could have done the same work for one half or one third of the price.

  • @stephaniebrown1199
    @stephaniebrown1199 6 років тому +60

    We just started baby step 6 in January 2018! I have neverfelt so good in life. 10 years ago I had debt, major stress, and lack of financial knowlege. Thank you Dave for your wisdom! Stay blessed!

    • @claimthecrown
      @claimthecrown 6 років тому +2

      thats great. Im happy for you. God bless

    • @norsefalconer
      @norsefalconer 6 років тому +1

      Stephanie Brown that's Awesome!

    • @rubena7674
      @rubena7674 5 років тому

      Way to go!!

  • @BonnieHalfElven
    @BonnieHalfElven 6 років тому +196

    I have $10K, on the way to $12K. I live in an old house with old appliances and drive an old (but well-maintained) car. It feels so good to know that I could have a major problem and be able to cover it!

    • @switchbladeromance1466
      @switchbladeromance1466 6 років тому +8

      Bonnie Half-Elven Well done ..I'm in the exact same position but my house is well maintained...isn't saving fun..Dave rules 😁

    • @Ayyokc
      @Ayyokc 6 років тому +3

      Bonnie Half-Elven this might be a dumb question, but do you keep your emergency fund tucked away at home in case of anything or just trust the bank?

    • @BonnieHalfElven
      @BonnieHalfElven 6 років тому +13

      I have it in a credit union. They are insured, so if anything happened to the bank, I would be covered.
      My house was broken into last summer. They looked between the mattresses among other places, trying to find money, so I definitely trust the bank over my house as a safe place to keep my emergency fund.

    • @Ayyokc
      @Ayyokc 6 років тому +10

      Bonnie Half-Elven thank you and sorry your house got broken in to.

    • @switchbladeromance1466
      @switchbladeromance1466 6 років тому +2

      KC Velez hi..I have my money in the bank as an ISA..the interest isnt a lot but its safe as it gets :)

  • @12mobil1
    @12mobil1 6 років тому +286

    AMEN!! My washer and dryer went out!! I was able to buy a new one for $933.00, with cash!!!

    • @12mobil1
      @12mobil1 6 років тому +37

      They are a one piece stacked unit. No other option.

    • @yourentrepreneurjourney
      @yourentrepreneurjourney 6 років тому +2

      Kevin Schaefer 👏💰

    • @aerohk
      @aerohk 6 років тому +5

      Should have use a credit card, get cash back, pay it off in the same billing cycle.

    • @Elena-er7zp
      @Elena-er7zp 6 років тому +34

      Aerohk Nope. You use a credit card, you form the habit of using the card. It ain't worth $9.33 of cash back hahahaha

    • @GR-uc1gq
      @GR-uc1gq 6 років тому +14

      @@Elena-er7zp If you don't have self control sure

  • @norsefalconer
    @norsefalconer 6 років тому +206

    Here's some advice you almost never hear. Save money by keeping YOURSELF in good healthy condition. This applies especially to dental care. Dental work is expensive, rarely covered by insurance and nearly impossible to ignore. Brush and floss folks, and get regular check-ups if you can afford them. Prevention is cheap.

    • @myopinion8882
      @myopinion8882 6 років тому +5

      Well said & so true!

    • @rodriguezk96
      @rodriguezk96 5 років тому +1

      Oh yesss that is very true

    • @msmbjohnson
      @msmbjohnson 4 роки тому +1

      Yes!!!

    • @j_boogie_483
      @j_boogie_483 4 роки тому +4

      I'm nearly 40 and I'm finally getting long deferred dental work because now I actually have money and time. looking forward to finally getting braces and eventually having confidence with a smile I don't need to hide.

    • @Curiousnessify
      @Curiousnessify 4 роки тому +6

      An ounce of prevention is worth a pound of cure

  • @SkateboardK9
    @SkateboardK9 6 років тому +240

    "You're so broke your life looks like a country song" I love it 😂

  • @mammothorbust
    @mammothorbust 6 років тому +87

    We've had a 4 month emergency fund for almost 2 years. What Dave said is so true. It adds a level of emotional peace and stability. Our main water pipe just broke and it is going to cost about $3k to fix. It sucks, but it's so nice knowing we can just write a check and not worry about how we'll pay for it. Then we'll build the fund back up.

  • @sarahs.9292
    @sarahs.9292 6 років тому +92

    He is so right. I had completed Baby Step 1 last year and last month my heater needed
    a repair. So thankful that I had the emergency fund there. Already replenished the account too.

    • @shannonjohnson4314
      @shannonjohnson4314 6 років тому

      Sarah S. Awesome 👏🏾

    • @norsefalconer
      @norsefalconer 6 років тому

      Good for you! That's Great!

    • @nsant
      @nsant 6 років тому

      I'm an hvac technician so it's practically free when my heating or air goes out!

  • @DisabilityExams
    @DisabilityExams 6 років тому +97

    Lost my job in 2016 - thank God I had an emergency fund. Had only a little part-time work for almost a year. Fully employed now.

    • @RonJohn63
      @RonJohn63 5 років тому

      Thumbs up. Presumably you also had a budget?

  • @kfing1
    @kfing1 6 років тому +100

    It feels AMAZING! So much stress removed when you get that first $1,000. Now got the 6 months of expenses, so doesn't mess with your head if things go wrong.

    • @mr.boostang2064
      @mr.boostang2064 6 років тому +8

      I'm about to finish baby step 2 and let me tell you I have no idea how we went about without a $1000 EF and thousands of dollars in dept. I cant even imagine how relaxed I'll feel when I have 6 months of EF saved up and have zero dept 😱

  • @Cyps36
    @Cyps36 6 років тому +40

    On Step 3B and I have found life running so much more smoother since starting Step 1 two to three years ago. I couldn`t live any other way now.

  • @mimaesthetic2517
    @mimaesthetic2517 6 років тому +24

    I'm pretty financially savvy, but íve started watching Dave Ramsey for more knowledge. I've always found what he said in this video to be true. Same thing for me but with my phone, walking along the street one day and my phone falls out of my pocket screen first. I was annoyed because of phone drama but didn't bat an eyelid for financial drama. It's a good feeling, and something I strive towards because from a young age I saw people running around like headless chickens, mentally stressed because of unexpected financial situations.

  • @BXJNYC
    @BXJNYC 6 років тому +230

    Can't wait to get my Fully Funded emergency fund, almost done with Baby Step 2.

  • @joshuatree28
    @joshuatree28 4 роки тому +16

    The look on the face of the repairman when he told me what it would cost to fix the water heater when I told him we would pay in cash and not finance....

  • @gooney0
    @gooney0 6 років тому +130

    When you have money you can say "it's only money."

  • @Katie-ki5be
    @Katie-ki5be 4 роки тому +7

    Since I started doing this system my life is better. It's not just finances that improve. You start living in a different energy and everything begins to work in your favor.

  • @RhinoXpress
    @RhinoXpress 5 років тому +41

    I have 3 emergency funds for home, auto and health.

  • @genealotech
    @genealotech 6 років тому +54

    This is similar to what happened to me last July. I was on my final credit card (baby step 2), when my Mother unexpectedly passed away. Because I had an emergency fund, because I was no longer living paycheck to paycheck, I was able to bankroll the expenses without going into further debt between the savings and my paychecks from my job. The probate is officially over and a few details are getting wrapped up, but because of this, I was able to cope with her death, the drama from other family members, and blessed with peace to handle what happened as a result of her death. I would not have been able to do nearly any of this living paycheck to paycheck.

    • @BonnieHalfElven
      @BonnieHalfElven 6 років тому +5

      Sorry for your loss, but so good you didn't have money drama on top of it.

    • @ibmtpx24
      @ibmtpx24 6 років тому +4

      Dawn: my condolences for your loss. I am sure your mother would agree that you made her proud by being intentional and determined to get your finance in order.

    • @carlaries4240
      @carlaries4240 6 років тому +3

      Sorry for your loss. My mother passed away last July too. Emergency fund wiped out to pay for the funeral. But, glad we had an EF to give her a nice send off.

    • @genealotech
      @genealotech 6 років тому +2

      Carla, I’m so sorry to read of your loss. I am now making my own arrangements, much like my parents did, and prepaying for them. All of the decisions have already been made by me and it won’t be a burden on family or Church.

    • @carlaries4240
      @carlaries4240 6 років тому +1

      Yes. My husband and I have done the same. Have a lovely day. I'm in Australia. Just woke up :)

  • @PInk77W1
    @PInk77W1 6 років тому +85

    “When you’re broke, its hard to have good luck.”

  • @aaronfisher7159
    @aaronfisher7159 6 років тому +97

    $1,460 away from being out of debt, then I cant wait to start my fully funded emergency fund

    • @paigehodges
      @paigehodges 6 років тому +1

      Aaron Fisher - Go Aaron Go! Fantastic! Great for you and best from Atlanta. - Paige

    • @arleneaugustahair8393
      @arleneaugustahair8393 6 років тому +1

      💃🏾💃🏾💃🏾💃🏾💃🏾 CONGRATULATIONS 🎊🎈🎉 I love hearing news like this because it keeps me motivated.

    • @GR-uc1gq
      @GR-uc1gq 5 років тому +1

      How much emergency fund do you have now

  • @ImprovementisGrowth
    @ImprovementisGrowth 6 років тому +159

    I’m on my goal to saving $10,000 this year. An emergency fund is a God blessing.

    • @donwald3436
      @donwald3436 6 років тому +3

      Re3iRtH Then one month it won't come in and you're 20k in the hole lol.

    • @SiMPLYHaZZaRD
      @SiMPLYHaZZaRD 6 років тому +11

      @@donwald3436 You spend 30K in one month?

  • @robinrubendunst869
    @robinrubendunst869 5 років тому +10

    Life is easier with money. It doesn’t buy happiness, but it buys security. And feeling financially secure is a BIG factor in feeling/being happy.

  • @granitemoss1451
    @granitemoss1451 6 років тому +65

    I'm like Dave's wife, who he sometimes mentions insists the emergency fund has emergency funds. We have the general one, but then we also have accounts for things like home repairs/projects and medical/vet bills. They're not nearly the size of the EF, but if the fridge kicks it tomorrow, we can replace it easily from the home repairs fund. We could always use our EF is something exceeded these smaller accounts, but they usually cover it and I feel better not even touching the formal EF. When an unexpected car repair comes up, that comes out of our car savings account, where we sock away our money for our next vehicle and the odd repair that arrives without warning.
    He's right about having less 'emergencies' when you're no longer broke, and I think he nailed it when he mentioned part of it may be simply learning to plan ahead better. I live in New England, and the number of folks in my social circle panicking when it's time to fill the heating oil tank baffles me. Were they somehow unaware this would need doing during the winter, and that it can be expensive? The time to plan for it is NOT when your tank is on 1/8th and sub zero temperatures are predicted!

    • @KiaTheDMVBison
      @KiaTheDMVBison 6 років тому +6

      K H-C thank you. I was just thinking about creating a minor EF account today and how to keep track of it. An Excel spreadsheet with sub-categories like car repairs, new tires, funeral funds, etc. will do just fine. Sometimes you need to hear how others are doing it to know you are not crazy for thinking such things as well, how to make it happen, and it WILL give you a sense of peace just as it has for people like you!

    • @TheRisky9
      @TheRisky9 6 років тому +4

      I can tell exactly how that happens. They have a "soft budget". A soft budget is where you have an idea of how much money, even if you don't write it down. I had that for years when I was a teen when I had few expenses and no car. However, it pales in comparison to an actual written budget. Because with a soft budget, you have to pray your limited money will exceed your unlimited wants, and unless you're thrifty, that won't happen. Because before you know it, the gas needs to be filled and you never accounted for that.
      I've recently moved to a written budget once I found an online tool I liked. I tell you, it changes everything. You don't waste as much on useless things. I lost weight because I decided I wasn't going to buy sweets anymore other than a small jar of Nutella knock off. I've become a better cook. I've kept my car maintenance in order. I'm far less jealous of others. I have that one bedroom apartment I thought I couldn't afford in a safe area
      , but I can.

    • @RonJohn63
      @RonJohn63 5 років тому

      "We have the general one, but then we also have accounts for things like home repairs/projects and medical/vet bills. They're not nearly the size of the EF, but if the fridge kicks it tomorrow, we can replace it easily from the home repairs fund."
      This is exactly what I do: give every dollar a job. (I got that from YNAB before ever hearing of DR.)

  • @RexyFan
    @RexyFan 4 роки тому +9

    I wish we had a finance subject back in high school with Dave Ramsay as my teacher. I think I would be in a better financial position today.

    • @theayegerlehner7793
      @theayegerlehner7793 4 роки тому

      I graduated college in 1983 with a secondary education degree. I taught such a class but it was for high schoolers with learning disabilities. Basically those students who would not be going to college. I learned a lot by teaching this class! LoL Common sense is just that “common” and most uppity arrogant people don’t have any!!

  • @jeffkline9191
    @jeffkline9191 5 років тому +7

    Have always had large emergency fund and it is such a relief when something breaks to be able to get it fixed properly and quickly.

  • @3DPT
    @3DPT 6 років тому +13

    It is great having the emergency fund! When sudden expenses hit, or there is a change in my income I know I have a cushion between myself and Murphy. I hear all the time at my job how one bad day ruins a persons fiances for a year because they live paycheck to paycheck. Having a fund to take the hits of life feels great, and like Dave said "it makes emergencies into inconveniences.

  • @mrcarterfx885
    @mrcarterfx885 6 років тому +33

    My mentor told me one day work until what was one expensive to you becomes cheap

  • @aeromedical6750
    @aeromedical6750 6 років тому +7

    This is so true. Before we became debt free, any kind of unforeseen expense was a crises. Normally we ended up putting it on a credit card and then being more frustrated because we just couldn’t seem to make traction at paying them off. Now, by making better spending decisions and having an emergency fund, something like a recent $500 vet bill for our bulldog was just a nuisance. Knock on wood that we haven’t had to tap our emergency fund in many years. That fact that’s it’s there in case we do is very comforting.

  • @omargutierrez8840
    @omargutierrez8840 6 років тому +95

    Cant wait to have a 6 month emergency fund!!

  • @jowatson2607
    @jowatson2607 6 років тому +98

    Just had £1037 bill to fix my car ... so thankful for my £1000 emergency fund! Gutted it’s all gone & I have to start again but imagine what would have happened without it!

    • @lovethemflowers
      @lovethemflowers 6 років тому +4

      Reassuring that it’s there for me if I need it, but it STILL BUGS ME that I would have to stop the debt snowball to rebuild it! I wanna keep moving forward.

    • @jgood005
      @jgood005 5 років тому +1

      Without the emergency fund you would've had £1000 more in debt!

    • @alex2143
      @alex2143 5 років тому +1

      @@Thathat-o7w Dunno, but I think a straight up conversion table wouldn't really work. Example: if you were to convert $1000 into indian rupees, you'd get around 70k rupees, but you'd be able to get a whole lot more for that in India than you'd be able to get for 1000 USD in the US. For euros and pounds they're close enough where 1000 is still a good amount.
      The idea is to have a bit of cash that would be able to pay for moderate financial emergencies. For other countries, the amount may vary but the principle is still the same: make sure that you have a small buffer for when life happens.

  • @nheme87
    @nheme87 5 років тому +6

    We were both in the need of new rubber boots for where we live (it rains a lot) and we were in luck as the shoe store had some on sale that month (60% off). Problem was we were completely broke and had to wait until the month after and therefore had to buy them at full price instead. This is also the cost of not having any saved money, and spending everything you earn.

  • @rrrrrfffff
    @rrrrrfffff 2 роки тому +6

    I've been "backsliding" with my finances... Got too comfortable having a safety net, and now it's gone & I'm back in debt. I'm getting serious though, no more fooling around.
    I grew up in a broke family, always scared of money problems. No more, I'm taking back control.
    😠

  • @tinachanel3622
    @tinachanel3622 6 років тому +41

    This is the most common sense advice ever. So sad nowadays that common sense isn't common. Thanks Dave!

    • @JaredSneed23
      @JaredSneed23 6 років тому +1

      Common sense is only common because someone messed up and it hurt..

    • @RonJohn63
      @RonJohn63 5 років тому

      Common sense has *never* been common.

  • @eliyah6314
    @eliyah6314 5 років тому +15

    “I’m so broke I couldn’t pay attention” 😂 classic

  • @pedrogarces6876
    @pedrogarces6876 4 роки тому +6

    I started following your channel 2 years ago. We are now in baby step 6. I ended up saving 14 months for emergency fund. The safety net and peace of mind is great. Inflation does erode some but I do invest 15% of my income into retirement. Now paying off the house is my goal that is close in sight. Your method and though process has changed my life and financially given our family the freedom to dream about future goals. Thank you for everything you do

  • @kim-o-san
    @kim-o-san 3 роки тому +2

    I'm a Baby Step 7er. Living in Financial Peace in this pandemic. Thank you Dave Ramsey

  • @stephanieellison5668
    @stephanieellison5668 6 років тому +11

    The emergency fund is EVERYTHING. It makes life so much easier, especially when you are making closer to the median income rather than a small fraction of it. I have lived nearly all my adult life living at a fraction of that dang number. Costs of living goes up, but the salary never keeps up, or the disability income doesn't keep up with inflation, and neither does the part-time income limit go up much. When you are poor, several things are important. An emergency fund is one. Another one is minimalist living. If you have to ask how much is something, you can't afford it. LET IT GO! Fiscal discipline is another. Budgeting skills is very important, too.
    The danger in making really good money is forgetting the value of a dollar. One mustn't become complacent that you don't care how much something is. It is a mistake to raise your lifestyle substantially just because your income goes up. Get it to a modest, but comfortable level, and then when your salary goes up even higher, don't change it! Instead sock that money away because you're going to need it as long as Western civilization careens down the path to destruction. It becomes very easy to lose the discipline developed in the early years. Before you know it, you wonder how you got $.5m in debt!
    The difference between well to do and broke ought to be that when you see that bill for $300, you know exactly what it is, and you know exactly how it affects your budget for the money, yet there is NO stress over it.
    Never forget where you came from.

  • @BrianNC81
    @BrianNC81 6 років тому +39

    I fixed our AC unit by watching UA-cam videos. The fan motor on the outdoor AC unit died. I saved $600 doing the replacement myself compared to what HVAC company wanted.

    • @Elizabeth-yg2mg
      @Elizabeth-yg2mg 5 років тому +3

      Congratulations! How did we get by before UA-cam?

    • @multimeter2859
      @multimeter2859 5 років тому +6

      And who said you couldn't learn stuff online? Lol good job man.

  • @justinnunez7318
    @justinnunez7318 6 років тому +5

    22 turning 23. Job with almost completed Bachelors. On pace to paying off $22k in student loans this year with $3k pacing in savings. Thanks to Dave!
    Also, already paid off a Sallie Mae loan of $1918 🙂

  • @S4h4r4s
    @S4h4r4s 6 років тому +3

    I own a 2007 Honda Element. Been driving it since 2010. I haven't had car payments since 2015. When emergencies came up I had problem paying it from th e money I had aside. You're right it does hit you emotionally because of the price. But if you ca buy the parts for cheaper and pay for labor, you save so much more money instead of giving it away. Tha k you for the video

  • @tony4213
    @tony4213 2 роки тому +4

    Money buys you the freedom and with freedom will come happiness

  • @gersonadr2
    @gersonadr2 6 років тому +42

    I love my emergency fund!!!!

  • @renegarcia6204
    @renegarcia6204 5 років тому +2

    Love brother Dave. Such a powerful beautiful testimony. God is good.

  • @zachallen8653
    @zachallen8653 6 років тому +2

    In the middle of Baby Step 3 now and more than halfway to my goal! Aiming to have this completed by Summer 2018. Even with the amount in there now, I'm feeling so less stressed and more at peace with both my finances and in life too! Love this plan and will NEVER go back to my old way to mishandling money!

  • @multimeter2859
    @multimeter2859 5 років тому +3

    So here was my eureka moment with money.
    >be me
    >driving on fort campbell
    >hit pothole (it was on a slope and I couldn't see it.)
    >dented my engine cradle
    >got an estimate for $1700
    >made insurance claim since i had no ef
    >ruled a collision, so they raised my rate
    >I could've bankrolled the fix if I had an ef
    >I now have an ef

  • @marilynb4696
    @marilynb4696 4 роки тому +21

    Almost at 3k while still in college! emergency fund makes me feel safe 🤗

  • @AusyG
    @AusyG 5 років тому +15

    I've been trying to keep 1000 in my savings and I recently had to get a new car battery. $170 it was nice not being so stressed that I could do it.

  • @justownyounetwork1943
    @justownyounetwork1943 5 років тому +1

    Having that fund is great. It allows such real relief knowing that the majority the truly bad problems you will eventually incur can be dealt with properly.

  • @bvoy1455
    @bvoy1455 5 років тому +2

    Emergency fund- Vehicle broke down. had an out of nowhere 800 dollar expense on my hands. However, no big deal. Kinda sucks, but it was just an inconvenience. I looked at my family mechanic and just said "alrighty then, let's get it fixed!"
    A few years ago it would have felt overwhelming.
    An emergency fund is a must. The security it provides and peace of mind that you will be okay is incredible.

  • @aboutface102
    @aboutface102 4 роки тому +7

    It's so sad that we even have to talk about this. My wife is from China and saving money there is like breathing air. I asked her if she had student debt and she looked at me like I was from Mars. She nor her parents have credit cards, they own 3 apartments free and clear. Where did we go wrong?

  • @frankiealex11
    @frankiealex11 4 роки тому +5

    Excited to start my discipline on financial freedom. 27 years old, $3k in credit card debt, $36k in student loan, but luckily I did come out with a degree. Started with a few hundred now in my savings.

  • @Albert-777
    @Albert-777 2 роки тому +1

    You’ve been there,and done that.Appreciate your honesty & advice Dave.👍🏼💪🏼🙏🏼

  • @russsherwood5978
    @russsherwood5978 4 роки тому +1

    DAVE, i,m debt free just for my monthly utilities and now working on my emergency fund, and on disability check, so to my way of thinking if i can do this so can every one,, be blessed and safe

  • @TheBeccanae
    @TheBeccanae 4 роки тому +3

    I put $20 a week into a car maintenance fund while I also have an emergency fund... today I had a surprise car repair of $1k- while it was a bummer- I was able to easily pay for it by using a combo of both funds. Now to rebuild the emergency fund. It was an inconvenience but not a crisis.

  • @NANGSGARAGE
    @NANGSGARAGE 6 років тому +233

    So broke can’t pay attention lol 😂

  • @TheRisky9
    @TheRisky9 6 років тому +6

    I can attest to this. I had a car with a torn boot and the other being ready to go. The mechanic said I could save money replacing both boots, but he understood if I didn't have the money. I said, "Money isn't a problem. Replace them both." I later got a better car, of course, but it wasn't a problem for me at the time because I had the cash. I never had to go to mommy and daddy and ask for cash. A place to live once in awhile? Sure. But never money.

  • @PackerManForLife
    @PackerManForLife 4 роки тому +9

    I recently discovered this channel and this guy is so intelligent. His way of thinking is just like mine. I have 35k emergency fund and two paid off toyotas (2011 Rav and 2016 Highlander). Even though im in a healthy situation, I'm still a penny pincher. I never want my family to be tight with money and worrying about how we will pay for something. The key is to never splurge on unnecessary items and make sure ever month the bank account is going up

  • @jeanettemccay
    @jeanettemccay 2 роки тому +5

    I am low income yet having money in my bank account helps me not stress when i need to pay for something, food ext

  • @ladydamiana6841
    @ladydamiana6841 4 роки тому +2

    When Dave hears a story that involves someone's passing (as here) and says, "I'm so sorry," you know he means it. That's rare.

  • @ladyoun4936
    @ladyoun4936 6 років тому +161

    we have two years of emergency fund!

    • @pimaggot
      @pimaggot 5 років тому +3

      Why? That is too much.

    • @06kiely
      @06kiely 5 років тому +37

      There is never too much

    • @alex2143
      @alex2143 5 років тому +16

      @@Thathat-o7w Sure, but if you want to take bad medical situations into account you might as well have 50 years of emergency fund. And it's possible to have a 3 to 6 month emergency fund, and invest the rest in such a way that you can still get access to it if you need it.

    • @KPad87
      @KPad87 5 років тому

      how much ?

    • @RonJohn63
      @RonJohn63 5 років тому

      @J. Smart you don't know how volatile OP's job is, medical conditions, etc, etc. I to am surprised by "we have two years", but my first thought is "why?", not "you're stupid".

  • @drunclecookie216
    @drunclecookie216 5 років тому +9

    I currently have a 5 month emergency fund, but after I pay my car off early next week I'll only have 3 months emergency fund... but I'll be debt free other than the mortgage

  • @while-loop
    @while-loop 6 років тому +3

    Preach!! I got chills watching this.

  • @Rokka340
    @Rokka340 5 років тому +2

    Thank you so much Dave. This has encouraged me to save my emergency fund even more.

  • @blackonblack...9244
    @blackonblack...9244 6 років тому +21

    I find that comment funny that someday I'm gonna be a millionare and the muffler fell off the car, lol! I was on the way to work wish to myself to be a millionare too then my motor locked up and seized from excessive oil consumption on fair low mileage car. Luckily, the warranty cover it.

  • @ashleyashleym2969
    @ashleyashleym2969 6 років тому +2

    The chain on my motor bike broke while I was riding it. I wasn't broke but I hated maintaining vehicles, but it did teach me a good lesson: Maintain your vehicle, it's important.

    • @Elizabeth-yg2mg
      @Elizabeth-yg2mg 5 років тому

      Yep--years ago I neglected to get my tires rotated, which is free, and wore a hole in one front tire due to poor alignment. Had to buy two tires, not just one, so that the car would drive smoothly. Was terribly broke at the time and never forgot that stupid mistake.

  • @username9999
    @username9999 2 роки тому +1

    I went on a weekend getaway a couple of hours away from home. We left on Friday and planned to return on Sunday. On Saturday the car wouldn't start. We called our car insurances "roadside assistance" they said "it looks like all the shops are closed until Monday, call back in then."
    Luckily we knew someone who had a relative who lived in the rural town we were visiting who drove us home. That was one time that even with money, we had a hard timebsolving that problem.

    • @wewhoareabouttodiesaluteyo9303
      @wewhoareabouttodiesaluteyo9303 Рік тому

      No true. With money, were you able to get something to eat? If you did not have a friend, you would have had to call a tow truck and tow it to a hotel. Would you have had enough money to stay a night and pay off the tow truck? See? Even an EF WOULD HAVE helped you in that situation.

  • @stockae74
    @stockae74 5 років тому +4

    "Cross the railroad tracks and the dang gone muffler fell off"........Hilarious.

  • @lindseyandrewal
    @lindseyandrewal 6 років тому +2

    Thank You for everything Dave and people with messed up money problems 🤔😉

  • @TrayLittle
    @TrayLittle 5 років тому

    Let’s go! I’m fired up!

  • @tigerrx7
    @tigerrx7 5 років тому +1

    Boy let me tell yah, if anyone in Dave’s journey deserving of a lifetime achievement award it’s Sharon. I mean, she went THROUGH it!!! A LOOOOOOT of women would’ve been OUT! Thank you Sharon for keeping Dave sane through his mess so he can provide me with invaluable wisdom today. 🙏🏽

  • @lmv2.787
    @lmv2.787 4 роки тому

    I agree with his message. I remember a decades ago, I was definitely not living below my means and would stress about paying for anything "unexpected". Fast forward today, so many people are stressing because they are out of work and have no savings, while my wife and I built an emergency fund and don't have to worry financially.

  • @marknc9616
    @marknc9616 4 роки тому +3

    Another advantage that comes with having emergency savings is patience with aggressive sales pitches or civilly intimidating discourse.

  • @joethebar1
    @joethebar1 4 роки тому +2

    My wife and I live below our means. We always have between 10-20K in emergency fund and 1-2K in the safe at home. We don’t think it’s a lot of money; it’s 3-6 months expenses. We treat 10K as if it’s zero. It’s a helluva way to live- it means you have money for anything that comes up. I lack nothing.

  • @TheClimber13
    @TheClimber13 6 років тому +9

    Yeah, when you’re poor and you have a financial setback it BREAKS you. When you’re wealthy and have a financial setback, it just another check to write... that’s the difference.

  • @MadisonMainedetecting
    @MadisonMainedetecting 6 років тому +1

    So true Dave, my septic system failed a few years ago and I was inconvenienced with it being tore up one day. I didn't recall what it cost because I had an emergency fund. Now that I am selling my house and pulled up the slip on what work was done. I could not recall but I found the slip $1500.

  • @darylhopkins9796
    @darylhopkins9796 День тому

    Facts. I’m glad I found this channel.

  • @marbs8615
    @marbs8615 6 років тому +68

    I really want to hear Dave’s rant on the new Starbucks credit card.

    • @Ericaskye89
      @Ericaskye89 6 років тому +7

      What????

    • @thuggyduggy1525
      @thuggyduggy1525 6 років тому +30

      Stupid on steroids.

    • @theloganmonster
      @theloganmonster 6 років тому +2

      😲🤔😳😳😳 wow

    • @ImprovementisGrowth
      @ImprovementisGrowth 6 років тому +1

      Marbles P are you serious?

    • @lovethemflowers
      @lovethemflowers 6 років тому +3

      Marbles, Dave has responded to what he thought of the Starbucks card. It was during the 2nd hour of his show on Friday, Feb 2nd. I heard it live, but just had to go hear it again on TuneIn. There the “hours” are 40 minutes long. Someone emailed in with the question and Dave didn’t actually rant, but his response was priceless. I like to listen on TuneIn to go right to a certain spot in the show rather than listen on his channel and wait for that part to come up. If yiu miss it, you’d have to listen again until that part of the show comes back around. I WAS kind of surprised it’s not on UA-cam yet, but it WAS just Friday. Might show up soon.

  • @michelarosier1918
    @michelarosier1918 6 років тому +15

    Thanks, for sharing Dave. I have emergency fund in place, You, right. I'm single and I want my future to be stress free and be allergic to Dedt. And I want to joy life I am living in now.👍

  • @katrinabrie3514
    @katrinabrie3514 5 років тому +1

    I love these rants-they’re so true.

  • @kiranrao4375
    @kiranrao4375 2 роки тому +2

    Big thank you from India.
    The budget and car advice is amazing. I have about 40k$ in emergency fund, thanks to you.
    One v tiny suggestion, you can advice people to take public transport, if it exists in the city. A car has too much breakdowns potential.

    • @TShirtAndReeboks
      @TShirtAndReeboks 2 роки тому +1

      Unfortunately in America there are many cities that do not have good reliable public transportation.

  • @kittykat8505
    @kittykat8505 4 роки тому +1

    Thank you Dave Ramsey. 💯

  • @DeathMammoth91
    @DeathMammoth91 6 років тому +107

    I drive Toyota's, so I have never been stranded on the road either! Hehe

    • @drinkthekoolaidkids
      @drinkthekoolaidkids 6 років тому +10

      DeathMammoth Your exactly right , I'll never drive one of the American big three ever again , there's nothing like having to put a car in the shop especially when you still owe money on it , I could rant on American made junk cars , but I think we all know what's up

    • @QualityChildcare1
      @QualityChildcare1 6 років тому +8

      DeathMammoth I agree Toyota’s are great reliable cars 👍🏾

    • @Darrencardinal
      @Darrencardinal 6 років тому +12

      My 2003 Toyota Camry is super dependable. I love it!

    • @brent1041
      @brent1041 6 років тому +8

      That's a stupid comment. Yeah Toyota's are pretty reliable cars but everything can break and needs preventive maintenance.

    • @y2ksierra
      @y2ksierra 6 років тому +7

      DeathMammoth The way someone takes care of a car means a lot more than the name on the front of the car. Any car can be neglected to death.

  • @drunclecookie216
    @drunclecookie216 5 років тому +5

    I don't see how anyone can get by without an emergency fund. I was able to pay off $6k I owed on my car this past year, but then I also had my furnace repaired, my wife's car and my niece's car both had to be repaired, and my wife had expensive lab tests done on her at the doctor's. All this extra came out to $4600 on top of the $6k I paid on my car... despite that I still have $9k left in my savings

  • @ladyoun4936
    @ladyoun4936 6 років тому +22

    he is super right!!! we have two years of emergency fund !

    • @ladyoun4936
      @ladyoun4936 6 років тому +1

      You have to be smart with money people! work hard Live below your mean! buy thighs as need! not want! and of course don't forget to give too! 😊😊

    • @Eoin_D
      @Eoin_D 5 років тому +1

      2 years should be invested

    • @RonJohn63
      @RonJohn63 5 років тому

      Out of curiosity, why two years instead of one year, or nine or even six months? (I'm *not* bashing you for having such a large E-fund.)

    • @ErrorPagenotFound-ig1cy
      @ErrorPagenotFound-ig1cy 5 років тому

      6 months MAX, the rest should be invested into your retirement 🤦🏻‍♂️🤦🏻‍♂️🤦🏻‍♂️

    • @RonJohn63
      @RonJohn63 5 років тому +1

      @@ErrorPagenotFound-ig1cy blanket statements like this are wrong, because not only do you not know OP's circumstances (OP or her SO might do contract work, with pay coming in big clumps, and then having to find new clients), or there might be medical problems which mean they can't work regularly. *Not to mention* that there's more to life than E-Funds and retirement...

  • @ourfamilytrek
    @ourfamilytrek 6 років тому +14

    Buy quality, cry once.

  • @adam-rickman
    @adam-rickman 6 років тому +9

    a used compressor for $318? Dang, I changed my mom’s for $40. Granted I did watch how to do it on UA-cam. We are fortunate to be able to do that in these times. Don’t be afraid to look up something and fix it yourself. Definitely have your emergency fund! But learn to take care of some of the stuff yourself. I took the engine from my wife’s car apart once to fix something. Some mechanic quoted me 3k which is more than the car. I researched on UA-cam and took it apart following the steps. Turns out it was a $75 dollar fix. Nothing wrong with taking your car in if you are uncomfortable about doing it, but try to save some money by doing the easy things. Change your own brakes! It is so much easier than you would think! You get such a great sense of accomplishment too! Just don’t make things worse and use more of your fund to fix your mistake haha 😂

    • @TheRisky9
      @TheRisky9 6 років тому

      Adam Rickman I saved tons of money changing my own battery and filters in my car.

  • @renegaderogue6310
    @renegaderogue6310 4 роки тому

    I'm just getting started and this message is as real as real can get.

  • @pabloporrase
    @pabloporrase Рік тому

    Another great advice by Dave Ramsey. Thank you!

  • @robinrubendunst869
    @robinrubendunst869 5 років тому +408

    Life is easier with money. It doesn’t buy happiness, but it buys security. And feeling financially secure is a BIG factor in feeling/being happy.

    • @coryulrich6489
      @coryulrich6489 3 роки тому +15

      I disagree a little. Money totally buys happiness. Just not directly. I tell people who say that if your money doesn't make you happy, the you're spending and or giving wrong.

    • @soybean70
      @soybean70 3 роки тому +8

      Sometimes you have so much worth and responsibility you become very unhappy

    • @lawv804
      @lawv804 3 роки тому +17

      Money may not buy happiness, but money problems always cause unhappiness.

    • @wandahaines7143
      @wandahaines7143 2 роки тому

      @@soybean70 then you need to downsize.

    • @ryancalhoun2910
      @ryancalhoun2910 2 роки тому +2

      "Money doesn't buy happiness. It buys a more pleasant form of suffering."
      -Peter Sellers

  • @LOUDPACG
    @LOUDPACG 6 років тому +25

    I'm a baby to the 1st baby step😆I have $250 saved right now but I am fully committed and about to go twice as hard..

    • @mouwlylee5014
      @mouwlylee5014 5 років тому +1

      Good job loudpacg👍👍

    • @RonJohn63
      @RonJohn63 5 років тому +3

      We were all there, buddy. The longest journey starts with the first step.

    • @w04andia
      @w04andia 4 роки тому

      Yes!