I used to be a huge fan of Dave Ramsey
and I’m still a fan I’m just not as huge as before. I have to give him credit
where it’s due, so I came across his Financial Peace University course when I
was 18 years old, and I watched those DVDs and WOW.
His advice was so good because for the very first time in my life I learned how
to manage my money properly, and it was right when I got my first job, so
I could get it done right from the very beginning. And I learned the importance
of saving from my financial future because, listen, no adult and no course in
high school has ever taught me how to manage my money,
despite money being something just so pervasive and important in our lives.
It’s a very important resource that we have to learn how to handle, right? But
it’s just not taught for some reason but Dave Ramsey taught it in such a fun and
entertaining, informative manner–just something so easy with his 7-step baby
step system. And I loved this course so much. So when I was 20 years old I
already had a couple thousand dollars saved up, despite working jobs that paid
me close to minimum wage and I was so surprised to learn that my co-workers
who were making more money than me, like double what I was making,
they had close to nothing saved up despite being over 40 years old. So at
that point in my life I decided, you know what? There is a big problem in this
country and I’m gonna help be the solution and I’m going to teach Dave
Ramsey’s course. So I taught his Financial Peace University course two
times and it was just so much fun. So my Financial Peace University students and
I–we would celebrate and applaud each other every time one of us decided, “You
know what? That’s it. No more credit cards.” And we’d cut them up. “From now on, in the
future we’re only going to use cash because that is the way to limit our
spending, control our impulsiveness, and only spend money on things that we need
rather than the things that we want.” We would use his cash envelope system where
we labeled different envelopes with different categories. Put the amount of
cash we’ve decided to use in them for the month to make sure that we stay on
budget. And I loved his cash envelope system so much and I agreed with his
credit card philosophy–that you shouldn’t own a credit card and I even
wrote in my book 1,001 Ways To Save Money, you cut up your credit cards or
you put your credit card in a block of water and then you put that in the
freezer so then if you wanted to use it, you’d have to thaw it out first. So that
gave you some time to think about what you want to spend your money on before
you actually went ahead and bought something. It’s interesting to see just
how far I’ve come because the other day I came across an old video of his where
someone called in to his show and asked, “Well is it okay to use credit cards if I
pay my credit card bill in full every month?” and basically Dave Ramsey’s answer
was, “No it is not okay to use a credit card even if you pay your bill in full
every month. People who use credit cards are stupid. They’re impulsive. They can’t
control themselves.” Clearly this guy did not have a problem. He paid his bill in
full every month. So yeah it’s interesting to just see how far I’ve
come and diverged from Dave Ramsey’s thinking, even though he gave me a very
strong foundation in the beginning of my financial life. So I have to thank him
for that but yeah I use a credit card now. I use two of them and I’m doing
just fine. I pay my credit card in full every month
and in this video I just wanted to tell you why I don’t agree with him on credit
cards. So basically all these changes happened because I was no longer single. I
met this guy that I really liked and yeah, I got into a relationship with
him and I’m still with him today. And so what happened was immediately after
finishing community college in New York City, I moved down to Texas to live with
him. He was in Texas at the time to work on his master’s degree. It was a two-year
program. And we had a talk. We decided that we’re going to merge our
finances. Basically we’re going to share our income and share our expenses
because in order to set goals as a couple together, that’s the best way
for us to do it and we decided it’s also faster for us to achieve goals
together rather than trying to achieve goals separately, especially if we
wanted to save money. I was the one in charge of creating the budget for our
household and every month we would sit down together and make adjustments
together, and I was also the one in charge of tracking all the money that
was coming in and out in our relationship. And his job in our
relationship was to make sure the bills got paid. So he paid the rent. He paid the
utilities. I told him when it was time to pay and he would go pay. I
didn’t have to worry about that. Yeah this cash envelope system just wasn’t
working out, right? Because I had this certain way of doing things and he had
been single and independent and already had his own way of doing things, so it’s
hard to get him to go along with my way of doing things and adjusting his
lifestyle just for my sake. So what we ended up doing was we used a debit card.
We opened up a joint bank account together and I would keep track of our
expenses based on what I saw in the bank account. It was very hard for me to get
receipts out of this guy. I would remind him. If he’s gonna go to the
store I want a receipt and I would remind him like three times and to this
day, I still remind him. If he’s gonna go for a quick grocery run, I want a receipt.
He will forget. Like, it doesn’t matter how many times
you remind him, he’s gonna forget. That’s just the way it is, so the way we work
around it is by using the bank statement. Using a joint debit card at the time as
our system of managing our money was working just fine for us at that time,
but I knew that I was only gonna be in Texas temporarily. I knew we were
gonna move to another city once he finished his master’s degree. We didn’t
know where but we definitely knew it’d be at a place–a city–much more
expensive than where we were living because where we were living was a very
low cost of living area. So what I ended up doing was I worked multiple jobs at
that time in my life. This was only last year actually. So I worked four or
five jobs and on average I worked seven days a week.
Maybe in a given month I missed one day of work. On average I worked 50 hours
a week combined and these were not very good paying jobs. The lowest was $7.50 an
hour and the highest was $13 an hour. And it just got so hard for me to manage our
cash flow because I had so many paychecks and all these paychecks are
fluctuating because these jobs paid by the hour and I didn’t necessarily work
the same amount of hours every week at these jobs. Well this paycheck came
in on this day, but I had to pay stuff on that day and I had probably… I don’t know
how many paychecks I had. I think, so I worked at Domino’s and I got paid
every two weeks at that job. Then I got a job working as a substitute teacher for
the school district, and I got paid not every two weeks, but twice a month, so the
15th and the 30th. So that kind of like screwed up
cycle, right? It doesn’t really line up. And then I got another job working for
an amusement park startup and I got paid every other week for that. And then she
liked me so much. The boss liked me so much, she had me do bookkeeping for
her rental property and her landscaping company so I got paid every two weeks
for that one. And then I also worked a temp job where I would assist in
basketball games and baseball games and concerts, taking tickets, and checking
people’s bags. Those were like one-off events. If I got called in, I would
work. So you know, in a month I might get like one or two paychecks from them. So I
probably got more than 10 paychecks in a month and it was hard. We had a
budget right… and on that budget we would we decided we’re going to save 30% of our income. We decided what we’re gonna spend, and all of that
was just fine. But in terms of when we paid for something, that was a headache.
It could be that a bill fell on a certain date but paycheck didn’t
come in or because a previous paycheck I had to use to pay for
something else. And it was just like, you know, it was a headache managing all
these different paychecks! When they were coming in and what I had to pay out, even
though in my budget, we allocated 30% of our income towards saving for our moving
right? And then what happened was when we moved from Texas to Boston, we did a
10-day road trip. So we drove and we stayed at hotels along the way. Some
of those hotels wanted to place a hold on our card and we were using our debit
card. Basically when they put a hold on our debit card, they are using up the
available cash that I had–that I no longer have access to. I didn’t
really like that. It’s different on a credit card. It’s just a pending,
but when it’s on a debit card, it’s an actual hold and you don’t have access to
the available balance on your card. I had to keep moving money over
from our savings account to our checking account to make sure that we had enough
money to pay for things that we needed along the way, like gas and food for the
day. I can’t transfer money out of our savings account more than six
times a month without avoiding paying a $10 penalty. I really didn’t like that
and then what happened was when we were in Boston looking for an apartment, a lot
of these landlords they want you to put down three months or four months worth
of rent up front in order to secure an apartment. They want first month’s
rent last month’s rent, one month security
deposit, and maybe if you’re using a broker or depends on the broker, one month broker fee. We managed to avoid paying that one month broker fee so we
only have to put three months of rent down for an apartment. But our rent in
Boston is $1,750 so we had to put down more than $5,000 down for
our apartment. That was a huge surprise for us because that really wiped us out.
We spent our savings on the road trip to get to Boston and then we spent through almost all of our money just to get this apartment. I thought I’d have enough
money left over to buy furniture for the apartment but I didn’t… but I already had a job lined up and my
significant other–I knew he was getting a stipend from his PhD program so I
knew that money was gonna come in and I could budget for that during the first
three months, how much we could pay for furniture and stuff like that. But it was
hard because I’m having another cash flow issue.
My monthly budget is just fine. I know how much I’m gonna save and how much I’m
gonna allocate towards this and that and that, but in terms of money coming in
vs. WHEN money is gonna go out, that was hard. Like I needed a mattress NOW. I
need a dining table NOW. I need a dining chair NOW. I need a bath mat for my
bathroom NOW. I need a shower curtain NOW. Like all these things I need NOW–not
three weeks from now, but now. I decided you know what? I’m just gonna get
a credit card because I’m going to be able to pay this in full every month.
I have it in my budget to be able to pay in full.
As long as I budget things out and plan things ahead, but the credit card…
it’s just made my life so much easier just so much easier. I don’t have to
do this whole calendar thing, planning out WHEN. I just charge it
to my card and once a month I make a payment toward the card. You guys
have no idea just how much headache these two credit cards have saved me over
the past nine months of using them. And you know, in the end it turns out to
be a blessing because we decided the rent here is just so expensive, we might as well save up the money for a
down payment to buy a condo next year. I’ve been building my credit. I think my credit score–it’s not my actual credit score–it’s what I see from
Discover. It’s like 779 and my significant other also has an excellent
credit score just like me. Next year when we plan to buy and we need a
mortgage, I’m pretty sure that we can get one of the best interest rates for our
loan, compared to not building a credit history and having to use a manual
underwriter because of following Dave Ramsey’s advice of using cash only,
avoiding credit cards, and then doing manual underwriting if you wanted to get
a mortgage. Why make my life so much harder than it needs to be, when my life
is already hard? I don’t need to make things more complicated. Just use
the credit card, pay in full every month, and then secure a mortgage next year for
a condo. Like that’s it. That is the reason why I do not follow Dave Ramsey’s
philosophy on credit cards anymore. I realized his philosophy, his ideas, and
teachings are for a very general audience. There’s just so many
nuances and complications and different things about everyone’s situation,
everyone’s income, everyone’s expenses that makes giving financial advice over
the internet or the radio or anywhere… It makes it very difficult because finance
is not black and white. It’s more like different shades of grey! But
if you are someone who does not pay your credit card bill in full, you should
follow Dave Ramsey’s advice. You should probably cut up your credit
cards. Around 55% of Americans regularly do not pay their credit card
bills in full so if you’re in that group, you probably should not be having a
credit card or at least at this time in your life, while we’re trying to limit
your spending. The average credit card balance is $5,331 or somewhere around that ballpark–it could be more, it could
be less. These are statistics. Think of the amount of money that you’re
spending in interest just by having a credit card if you do not pay in full. That’s it guys. That’s my video. Why I use a credit
card now and don’t follow Dave Ramsey’s advice. Please give me a thumbs up if you
like this video and leave me a comment below because I wonder are those
statistics true? Do you pay your credit card bill in full every month? Do
subscribe to my channel. I plan on posting financial related topics at
least once a month. I’m aiming for twice a month but I do have a full-time job
which is very busy and taxes me out after I get home from work, and I do run
a side business so this YouTube thing is really just a side
project for me. But I see a lot of videos on YouTube where people are not giving
you great advice, accurate advice. They’re more like affiliate marketers or
financial services product pushers. I just don’t like that so I wanted
to be able to be the one to provide you good information that you can actually
use to help you on your way to financial freedom. So please do subscribe and I
will see you next time. Bye!


  • So true! I'm also a strong believer of taking whatever is applicable to your specific situation and not follow everything to a T!

  • Your smart! However…be wise with merging your resources with someone…ESPECIALLY if you are not married…ppl never see how bad things can get when things are good but trust me …it can get bad n to have someone with legal access tol your finances…u have gots to be careful…

  • I spend all the things I need with my credit card. No different than cash. Idk why he says not to use credit. I have the Amex gold. 4x on dining and groceries which is a norm spend for all Americans. With that I get free travel every year or two lol no brainer! only 24 y/o with 1 years salary saved. And about 20k in retirement. Saving for house in 2 years

  • Dave Ramsey… Oh man lmaooo. My spending is so low and I have two authorized users on one of my credit cards (I have 4 atm). I made a lot of profit on 3 of them due to learning about credit card churning .

  • I try to pay my cards off before the closing date. I dont like paying interest. I'll save for a big purchase use a card then pay it off as long as it isnt more than 8% of that cards max. I think one can use a bit of both concepts.

  • Good ideas! But I personally would never merge my bank account with anyone lol. My fiancé wants to but I don’t

  • As for me, paying all my credit cards in full every month is a YES! Cannot afford all those interests.

  • Dave Ramsey is good if you are in debt and need to develop some type of discipline with your finances. But, it is basic and really doesn't focus on investing too much. So, if you listen to him for a while, he repeats himself. Still, he has some good, basic advice that most Americans need.

  • Dave Ramsey gives great advice for "bootcamping" people into better financial situations.

    But once you get into a good flow and you're responsible, you can alter the course a bit I figure

  • I dare you to call into Dave Ramsey's show and say to him what you said in this video. I'd be surprised if you make it out of there alive.

  • Annie, credit card makes tracking expenses very easy and I pay down my credit card balance every day with the app on my IPhone plus it is vital to track your expenses every day on an excel spreadsheet I even have a column for money found EVERY PENNY is accounted for which makes it very easy to stay in our monthly budget…..great video I am a fan already

  • I also have 2 card's. I just use to finance a large item. I pay that off
    Before I use it again. I live on fixed income. So it helps me. Where else am I going to get a large amount of money?

  • Man, I couldn't move to Boston with the high cost of living/home prices, crowds unless there was high paying job possibilities.
    Try my simple plan.
    Open an online saving acc with Ally bank. Pays 2.20% on savings. You can transfer cash 6 times a
    month with no fee from your regular bank checking acc.
    Ally has a deal with TD Bank for a credit card that pays 2% on grocery and gas purchases. So your savings and credit card is linked and on the same website.
    So you can see all your credit card purchases and transfer funds every month to pay off the credit card all on the Ally bank website.
    Makes tracking your money very simple and pays you interest on your savings and your spending. Your welcome..:)

  • I'mma have to disagree with u about merging finances with a boyfriend. But I still enjoy the video

  • Do you pay your credit card bill in full every month?
    Side note: No one should ever merge their finances with someone they're not married to. Merging finances without being legally married is a BAD idea and I've never advocated for that. I've been saying "significant other" because he wanted to keep our complicated matters private, but I just got permission to say this: We've been legally married and due to our life circumstances (school, work, and moving), could not have a wedding yet. We are having the cultural wedding later this year. So yes, he's my husband but it just didn't feel right to say it without the official wedding happening first.

  • Yeah, travelling with nothing but cash and a debit card is a royal pain. Sure, Dave does, but he's also a multimillionaire and probably has staff who make all his travel arrangements in advance and can afford to lay down big deposits.

    Renting a car? Forget it. Or, you're just stuck with that one company who will do it, so you pay more and they put a hold on your cash balance. Showing up at a hotel with a debit card? Maybe, maybe not. When I'm thousands of miles away from home (often out of the country), I just don't want to BS around trying to find someone to take my stupid debit mastercard. I want to get off the plane, get my car, go to my hotel. I just hand them a card and it's done. I don't have secretaries to arrange for them to accept a debit card in advance for me.

    As for mortgages, you're just not going to get the best rate having to rely on manual underwriting. You know who does manual underwriting? Hardly anybody. So there's very little competition, and you will pay for that. Just a half-point in your mortgage rate makes a huuuuge difference in the life of the loan. And you want to get it right on the first mortgage. The terms and protections on refis aren't as good for the consumers as they are on first, purchase-money mortgages.

    And I love Dave by the way. I think he's great. I do all the stuff he says – budget, save, don't buy new cars, all that. For his audience, which is people who are swamped in debt and possibly have little self-control, his advice on credit cards is spot on. You can really screw yourself up getting into credit card debt. And there are guys on his show who are $60K in debt because they bought their "dream truck" lol which is now worth less than half that. But I live below my means, drive a paid-for Subaru, and use my credit cards just like he says to use debit cards – Pay In Full. The cash back is just a bonus!

  • Here is a better guideline. If you are on Baby Step 1-4, DO NOT USE CREDIT CARDS. Credit cards and contactless pay cause you to spend more (studies prove this). If you are on BS5-7, you’re an adult and can do what you want.

    If you are going to use credit cards, have a solid fully funded emergency fund and to keep your credit card limit low.. for example, if you have $25,000 emergency fund and your credit card limit is $5,000, you should be fine. Having $2,000 emergency fund and a $50,000 credit limit is a bad idea because life happens and that’s when people get in trouble.

  • I enjoy watching your videos as they are informative and well thought out. Beyond that, your sincerity is refreshing as it's exceedingly rare. I also do listen to Dave Ramsey, but I don't listen to him. My biggest beef with his show is that it is one big infomercial for stuff he sells. Listen to him and try the following. See how quickly he will sneak in a plug for a book, a product, a show or whatever else. It is literally every call and every segment.

    I think that your advice about credit cards was far more pragmatic. Like anything, they can be abused. But, if you pay them off every month, you are getting an interest free loan. Additionally, they give you convenience t hat other products just don't.

    Keep up the great work. I look forward to your next video.

  • I love you ambitious but don’t work so hard..simplify for life ..don’t work all those jobs can be more complicated ..sometimes less is better and know your worth. But i understand you were a student and your jobs paid low..😉

  • I don’t use credit cards and never had but Ive heard from many ppl that it’s the easiest way to build your credit ..but I’d rather pay cash…if I can’t afford it right away than I’ll wait lol

  • Just curious why didn't u investigate the state u wanted to live in and the rental properties and their policies why didn't u account for the road trip move and check out the hotels on yr route to Boston maybe take out a.special debit card earmarked road trip expenses so yr card is not tied up. It sound like u did much planning after u worked so hard to save for the move.

  • When you make a purchase the seller always adds the visa/mastercard + any rewards program costs they have to the goods you purchase on card. Unless you can get a lower price for cash for your item, you are paying the credit card fees when you pay cash. Period.

  • Dave Ramsey is a bit of a hard head. I also disagree with his advice on paying all of your debt first and as soon as possible, it does sound good to be debt free, but there can be better usage of your money at times while paying more interest on debt.

  • I love your content!!!! I appreciate how detailed your examples are and that they’re based on your own experiences! Much love from the Philippines! 🥰

  • Get a cash back rewards card and essentially get a small discount on all purchases. I get 2.5% on every purchase and all my bills. Also get 6% for groceries. Cashback reward is deposited right into my savings every month.

  • It's so true to pay with cash and cut your credit cards but you also need credit to buy a house a car or other things to get approved.

  • I travel with cash and the investor checking debit card from Charles Schwab Bank and I love it! I'm not ready for a credit card, but one day maybe, as for now I don't need it!

  • The other thing is for me security is a worry. Your wallet can be stolen and cash isn't recoverable, your debit card is tied to your actual money and while you can file a claim and MAYBE get the money back, tha could take time and you might have bills that need to be paid NOW. I've always had good luck with credit cards when it came to freezing my account, or disputing fraudulent charges, and I MUCH prefer to buy it on credit and pay it off at the end of the month. I do have a budget so that I know how much I've spent so far and how much I CAN still spend for the rest of the month on a certain category so that helps with impulsive spending for me. Plus i like having a good credit history so that later if I need to take out a loan for a mortgage or car, I'm more likely to be approved for a lower interest loan.

  • When your wants start to ‘exceed’ your needs you are heading towards bankruptcy if you don’t address why that is happening!

  • I was never taught how to manage money either. Kudos to you for taking your finances into your own hands. You have a great channel

  • Good vid – you have a good head for finances. It's likely that so many people get in over their head with CC debt, that Dave likely though it's better just to say no to CC's rather than qualify it, as likely most people would think they would be good with them.
    The reality of life is the world revolves around credit, and owning/using a CC is the best way to establish your credit history. When it comes to getting loans and getting qualified from a bank, they want to see you have a history of having credit lines open and paying off your balances in time. To them having zero history of having credit is a big negative. That surprised me when I first learned that early on. They look at it like hiring someone that has no prior work experience- in these cases no info means they assume the worst.

    Next when you rent, they look at your credit history, and if you're competing against another person who wants that apt, and they have a good history and you have none- it's easy to guess which one will be getting the apt. Getting a mortgage when the time comes to buy a home is the same way. A sterling credit rating will make a big difference in getting the lowest interest rate on the loan available.

    I like your work ethic and they you're willing to work multiple jobs. Your guy is fortunate to have someone as financially savvy and hard working as you. ❤ Just remember that it's better to work smarter, not harder- I'm sure in time you'll be able to find an entrepreneurial venture or job that will negate the need for several jobs.
    I was alarmed when I saw on the vid that you had pooled your finances together and was going to list the dangers, but I saw your edited comment that explained it- so no worries…haha! I would recommend that both of you still have separate accounts where a portion of your money goes. That way you have the main fund that takes care of bills and household expenses, and you can use the separate accounts for personal things. Suze Orman has some good advice in recommending both people put in "equal percentages" into the combined fund based on their income. Some couples do a 50/50 split which is a mistake and unfair if there is a dramatic difference in incomes between the two. But it's pretty simple math to figure out how to split the bill so that both are paying the same percentage with two different income levels….the one time algebra comes in handy. 😉

  • I gotta disagree with what you say about Dave Ramsey. It's great if you can control your credit card spending and can pay it off every month, but Dave recommends cash only because most people can't. Don't say he is wrong just because you disagree.

  • I love how detailed, honest and truthful your videos are. You explain things so well, so we don't make the same mistake. Yeah, everyone's situation is different regarding credit cards.
    I finally paid off my cc last year, and vowed to only use it for booking airline tickets from now on. Peace of mind is the best feeling in the world!
    P.S Your book was great! I loaned it to a friend to read next.

  • I like Dave Ramsey too but disagree about the credit cards 💳. If you get a couple of credit cards and spend $30 each month and pay them off every month your credit score will skyrocket. You should only get a mortgage or maybe a car if you can’t pay cash for one using your credit. Also having a good credit score helps with getting a good job and better insurance rates plus a lot of other things.

  • I listen to Dave's radio show and so many people call in drowning in credit card debt, I was one of them. It is SOOOOOO easy to get caught up in credit card debt HAVING A CREDIT CARD! lol. I, along with millions of other people, was STUPID with my money. Having a credit card made it so easy to purchase things on a whim and "pay later". I was irresponsible and dumb. Something these credit card companies thrive on. Taking Dave's advice, I paid all my credit card debt and cut 'em up. Having no credit cards, I now spend WAY less then half of what I normally would spent with a credit card. I highly advise anyone (ESPECIALLY students and financially irresponsible people) to stay away from the credit cards. I've paid so much more down on my debt without one then if I were to have one. I dont get the urge to use it 😉
    I understand there are some people here who are good and responsible with money, good for you. You know how to handle money and can limit yourself using the card. Do what you want. But know there are waaaaaay more people who impulse on spending. Heck, I would have a $2000 credit card debt at the end of the month and say "what did I buy to accumulate that?" Not even realizing how much I was spending because I felt no pain "departing from the cash" as Dave points out.
    Credit card companies HOUND the college and university campuses. There are horror stories of students committing suicide because they've accumulated so much credit card debt.
    You did mention towards the end that people who dont pay off their credit card should not have one, SPOT ON! But to have a phony title like "DAVE RAMSEY IS WRONG ABOUT CREDIT CARDS…" You have seriously got to be kidding yourself. Or using it as a click-bait-ish tactic 😛
    Talk about how to be responsible with credit cards or have a title related to that instead. Dave helped myself and millions of others get out of some dark times with his teachings. He is preventing young, financially uneducated students and teens from getting into debt and learning the hard way. Dave Ramsey is NOT wrong about credit cards. 😀

  • Perhaps he does not want anyone to be in debt at anytime. If purchases are made on a credit card and for an unforeseen reason he/she cannot pay, then the person could be in a dire situation. Also, I believe Dave's principles are biblically based meaning that we should not owe anyone.

  • I agree Annie with your points about the credit card and it’s convenience. But that is how they are designed for today’s society. I love your persistence in earning and saving money. It’s great when your partner shares your goals too it makes such a difference. Keep these videos coming as I really enjoy them and learn so much.

  • I think Dave is saying that it's too easy to hand over a card. Much harder to pay cash thus cutting down on purchases.

  • When I saw that I paid over $500 in interest for the year, I began paying off my card every month. I thought my cc debt was so low that interest wouldn’t be much. I was wrong. CC companies charge huge amounts in interest.

  • I find this video quite funny actually. The only reasons you posed for why say yes to a credit card is it’s easier and getting a good interest rate on a mortgage. You have to face the fact that you simply are just bad with money. You claimed to be working 4-5 jobs ranging from $7.50-$13 per hour with a rent of only $420 a month and you were living with another person (although I don’t remember you mentioning him having a specific income you did say you merged resources.) if you really worked an average of 50 hours that would put your salary between $1,500-$2,600 a month. It was likely closer to $2,000 a month. That doesn’t include overtime and it doesn’t include any contribution from your significant other. Your whole thing about paychecks and bills not lining up proves that you weren’t following Dave Ramsey’s plan and that you were living paycheck to paycheck or that you are very bad at math. If you did have a savings and rent was due but your paycheck wasn’t coming in for another day or two take it out of saving then use the paycheck to bring it back up. The problem with the trip isn’t that it’s harder to do with cash/debit it’s that the trip itself was impulsive or if not impulsive poorly planned at best without actually looking into the cost of expenses and preparing your bank accounts ahead of time. Also if the $5,000 or whatever that you had to pay ruined you then you didn’t have much in savings and probably shouldn’t have been buying that expensive of an apartment. It’s not Dave Ramsey’s fault that 1. You’re impulsive, 2. You don’t have self control, and 3. You didn’t actually follow his plan. And none of these three things are valid arguments for him being wrong. I’ve done just fine living off of $26,000 a year (just slightly above what you alone were making when you worked 50 hours a week). The difference between you and I is that I recognize that being 21 and making so little I don’t have the money to go on expensive unplanned road trips and live in super expensive apartments. In a few years my income will likely double and I’ll have much more money to do those things. I guess I just have self control and patience.

  • I tried using just cash for a month and ended up spending MORE money. Why? I started giving out larger tips, handing money to people on the street, and finding myself short of money when I happened on a sale bargain. Also forgot what's it's like to spill loose change under my car seat and the endless chore of constantly counting and resorting bills. It's easier to budget with debit and credit cards. Just set the alerts on the card banking webpage and never exceed your selected monthly spend amount.

  • Assuming you are able to pay your credit cards in full on time each month, credit cards do offer benefits such as establishing a credit history; some offer rewards or discounts for travel or dining…and it comes in very handy in case of emergency… .

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