Any Dave Ramsey disciples? I haven't read any Dave Ramsey, but I have been reading about "all cash" budget system, and I think I'm about to implement it in our household. We have no debt other than our house and 1 car note, we are not hurting on finances, and we do put some into savings, but it seems like our CC bill every month is more than I expect it to be. I have no idea how we spend so much money. We pay it off every month, but still, it shouldn't be that much. I would like to be able to put more into savings. We currently put 20% into savings, but I would like to get that to 30% or more. Any success stories? Failures?
I don't pay with cash much anymore. We put all of our bills on credit cards each month and pay of the credit card each month that way we get miles for the bills we pay. It works out to a free ticket every year. As for the saving part I put 10% in a 401K and that's tax free money. Then I have 15% of my net check routed straight to my savings account, that way I never see the money to spend it. Then quarterly I take the extra that is in the checking account transfer it to savings.
Paid off over $40,000 off in 2 years No credit card debt or loans sans the mortgage on my house, rental property, cars and tractor...cars and tractor are 0% and one car almost paid off. We are going to Disney for 10 days in September and that was paid for out of Savings ...still have thousands for emergency fund... I LOVE Dave Ramsey :D
Love listening to him and love his ideas. Just having a hard time getting started bit hoping for huge changes in my life real soon thanks to Dave Sent from my BNTV600 using Tapatalk 2
My advice to all who want to be debt free is to go to one of his Financial Peace University 9 week courses WITH your spouse...you will both leave different...
I plan to start out slow at first to help ease my wife into this. We will still put groceries and gas on the CC, because we aren't really over spending in those areas. The areas we are overspending are our personal purchases and entertainment. So I'm going to go with an all cash system for our monthly personal "allowances", and all cash on our entertainment/misc monthly purchases. Anything left over goes to savings.
Im a all cash guy. Everything i bought has been paid for in cash. I have 1 credit card that i dont use. no bank card. no loans, no mortgage. 100% debt free. Its the only way to be.
I dream of a time when I will be 100% debt free. I want to pay this car not off early first, then start working on my mortgage. The plan is to be mortgage free by 40. That's 10 years away. When that happens, it will be hard to fight the urge to buy a weekend property though...
Just got my home paid off and own my 2002 suburban. Just CC which get paid off each month and yes, don't know how they get so high. Have a little nest egg but not enough to slow down.
I think a better way of living is to raise your earning potential through education and proper planning on large purchases that have a higher return potential, such as land. As an example, Hooker look into that lake property now, purchase two undeveloped properties at a reduced cost, then when you are ready to develop yours sell one or both at profit enough to purchase the place you've always wanted. Your return will far exceed the 2% interest that your bank will pay you to keep your cash safely.
Nope. Hardly carry cash whatsoever. We pay cash for things when it makes sense, charge and pay off when it doesn't. We have two credit cards that get paid off every month for mostly gas and few other odds and ends. I've been putting away in a TSA for 6 years (since I graduated), and my wife and I have built a solid 401k over the past three years with 5% dollar for dollar matching, which switched to $.50 on the dollar matching when she changed companies (levels out with bonuses and company share plan). I'm not saving as much right now in a direct savings account because we're dumping a lot of money into our house on improvement projects, which we predict will give us a better return in the short term than most investments. Not to mention paying WAY extra on her student loans which were/are massive. I don't see myself being debt free for a long while because of these things, but I'm ok with it. My house will be paid for before I'm 40, but I don't plan to be here by then. I will go into more debt for land and/or a bigger house. I'm fine with that. We still travel a lot, eat out when we want, etc, etc,. We try to balance living a fun life with being financially sound. So far, so good.
Same here, but I want to put away more for the future. Perhaps I'm freaking out a bit too because in the last 2 months I've 1) bought a new car (put half down) 2) paid off my truck 3) installed new HVAC system 4) had a baby 5) my wife stopped working for 3 months. That killed our savings pretty quick, and I'm the type that likes to have a large bit of cash in savings. So I'm desperately trying to figure out a way to build it back up quickly.
My wife likes to pay cash as much as possible. I like to charge as much as possible to get the rewards. We pay it off every month and it is what it is. The only thing we owe money on is our house.
The "all cash" thing is just a psychological thing, as most people will spend less money if they are using cash. They don't like seeing the cash leave their hand. We are disconnected from the money when we use cards. That is the only reason for the all cash thing. It makes sense to me. My brother, who makes 5x what I make, is an all cash person. He says that his monthly savings tripled once he started. I'm going to try it out and see if it works. If it's too much of a hassle and we aren't seeing a rise in our savings, I will just go back to charging everything and paying it off at the end of the month.
I'm the opposite on this issue. I DESPISE seeing my bank account going down... But I could care less when it comes to cash. My bank acct is "my" money while the cash is just extra for spending on whatever. I would fail miserably on a cash only plan.
Is the idea to taker a certain percentage of money out of your bank account each week or month, or to just visit the ATM each time you want to buy something?
