We’re Broke

[Music] brought to you by the every dooll app start budgeting for free today so I just had a question um we are in baby step two right now I just came across your your website and and your YouTube channel and everything and so we are in baby step uh two however I had a huge question about my vehicle um I have my husband he owns his work car but we are paying on my vehicle and we're wondering just based off of everything that I've seen with your videos we're wondering if we should get rid of that car like if we should um yeah somehow get rid of the one that I have well welcome to the tribe hi yeah so it's it's been tied around there and it's not been fun lately huh no it has not been fun definitely not uh We've I feel like we've been married for five years now going to six um and we always struggled with money and so so actually uh we did download your every dollar app and through that app we have noticed that the big mistake that we're making is that we're spending more than what he makes and so we were actually able to see how much money he actually makes in a month and it's like well you know we're broke because we want to be broke so we're really tying everything down we're both on board and so um I feel like this is the best way that I can you're both on board I heard that right yes definitely yes we are you started out with I download the thing and then you went to later on in the conversation we did the app together so it does sound like you're both on board I'm good with that okay so I'm proud of you that's a big you are making some big I mean cuz what happened was is you went oh this sucks and then you started then when he put it all on the app the the numers started talking to you and you went oh that's wrong and that's wrong and we got to fix that and that's wrong and look at this car no wonder we can't breathe and so it's the number started talking to you and here's the great news you're listening so I predict amazing things for your all's next 12 months it's going to be very very hard but for the first time in your lives you're going to be on a path towards not only not being broke but being wealthy I'm real proud of you guys we want to help you guys any way we can so what do you owe on the car so right now we owe um 28355 have you looked up what it's worth it is worth no I have not actually okay go to Kelly Bluebook kbb.com it's probably the most accurate you can also look at Edmunds for car values those are two good places to get values they put out two types of values on there tradein which is wholesale what a dealer would give you for it which obviously they're going to make a profit on that number and then private sale which is if you put it in Traders or something like that and or Craigs list or whatever and you sold it yourself to an an individual to individual and that's more of a closer to a retail number the third number is retail which you can't get because you're not a dealer um but you're probably private sale num is what you're looking at what kind of car is it what is it it's a 2023 Volkswagen tigan small SCV okay all right nice car all right and uh what's your household income it is um well kind of depends right now he's making um right now he's making about I mean worst case a week it's 1,881 but it's looking more like 2,394 it depend his hours are different so so if he get if he gets OT he gets a couple Grand a week yes he does okay so talking about six figures at Le so he's making 70 $80,000 a year depending on overtime yes I mean up to 100 but probably not getting 2K every week okay okay that's take-home though but is it yes this is takehome okay that's good news what other debt do you have so we have let's see so we have the uh we have one credit card that has 867 on it uh we have a loan our AC busted we had to redo the unit and that right now the balance is 2015 we owe my dad uh 10,630 the car payment in the house okay that'll do it if I woke up in your shoes yes I would sell this car right you're right it's the one thing on the list that just screams at me in your numbers like it did at you when you wrote it down right yes sir that's one of the only things you can sort of undo in this mess yeah the rest of it you're going to have to claw through and live on beans and rice rice and beans you've heard that already on the website didn't take you long to get to that number and scorched Earth we don't eat out unless we're working in that restaurant we don't see the inside of it we're not going on vacation he's picking up all the OT he can you're selling so much stuff the kids think they're next and you're going to get this mess cleaned up yeah and here's the beautiful part with the numbers you just gave me if he can get more overtime rather than less and you sell this car you're debt free in a year yeah um actually I was going down the numbers and we went at it like a gazelle running from the hunter I mean uh we we put God above everything else as well and that really spoke to us and we've been you know studying the Proverbs uh scripture that you mentioned in the video with the baby steps and so um we're looking at paying two of these loans or two of these debts we're paying these off by the beginning of November yeah so yeah this is great and then my the loan that we have with my dad that's and you know everything is great there with the family but we do need to pay this back obviously yeah um he says to take our time but we need to get it out our I want it out of my life I want it's Weighing on you more than because you've already breathed in the air of what it's going to feel like to have no payments you can already get your head around those emotions right now and now you want it I can hear it you're doing great you're going to kill it this is awesome yeah sell the car yeah cuz the car listen you get your another car later whatever you want but if you'll drive like no one else and you'll live like no one else later you can live like no one else and you'll get the dri like no one else that's Stacy I'm going to send you a copy of my book Breaking Free from broke it comes with three months of every dollar premium so you can connect it to your bank you can track all of your expenses with smart tracking it'll make it real easy for you guys to do this journey and I hope the book's an encouragement to you uh but you guys are already there I mean the fact the way she's talking this debt might as well already be paid off it is so interesting George that over the 30 plus years of doing this that I talk to somebody making $200,000 a year and they got $40,000 worth of debt they don't think they can do it and I talked to somebody with $100,000 worth of debt that makes $60,000 a year and they think they can do it and they actually do and they're the ones that actually do it and so she's got her numbers are excellent but what's much better than her numbers are her is her language it's the it's revealing her heart and and where they are we are doing this she's been diving in she's studying the stuff already I mean she's brand new to Ramsey stuff and she's already spouting that like she knows it all so well there's two pieces that were encouraging number one she looked in that Financial mirror they actually did the budget and they went oh crap we're spending more than we make that makes sense that's how we got here we got to do something about that and the other one was the language of just belief that it wasn't someone else's fault it's not all their fault but it's their responsibility to pick up the pieces and clean up this mess and she had the willingness to go yeah this is on us you know that's a good point George what are you going to do when you have an O crap moment what is your first response is it to blame others to get angry to whine or do you go all right let's get the budget out let's see what we're working with here she finally got to that point most people never get there or it takes 20 years of marriage sometimes when you have a moment like that you freeze from just fear or being stuck or whatever and other people they go into Attack Mode she like I got to find this out I got to work this I got to get this got and this is what you said to do we you do this and all she want one little clarification on the car but she's already game on you know and she found that like little etel of Hope and just hung on to it and it's starting to grow and she's seeing this light at the end of the tunnel that's the best part yeah proverb says uh when desire comes it is the Tree of Life yeah wow it's powerful you now much stopping you there once you get that desire it's powerful it'll carry you what are you going to do when you have an old crap moment what's your next step well start gathering information fix the problem gather gather information fix the problem Welly I don't care what the moment what area of your life the moment is in could be money it could be something else what are you going to do got to gather information I got to fix the problem because the information I had before brought me to this o crap moment I got to stop using that same information this is the Ramsey Show create your free every dooll budget today the simplest way to budget for your life