When Is Dipping into Your Savings Justified?
HTML-код
- Опубликовано: 3 апр 2024
- 💵 Create a free budget. Sign up for EveryDollar today! ⮕ ter.li/owvnye
Stash, stash, spend! In this episode, Rachel and George are breaking down America’s current attitude about saving money. Plus, they’ll decide which popular explanations for dipping into savings are justified-and their answers might surprise you.
Next Steps
• 🔎 Get help from a financial advisor to avoid those sneaky loopholes that will leave you broke. ⮕ www.ramseysolutions.com/retir...
• ➡️ Don't miss out on the tax deductions you qualify for-get help from a pro at: ter.li/r8fxgy
• 📱Submit a Guilty as Charged question for Rachel and George! Send a DM to @rachelcruze or @georgekamel on Instagram! Be sure to type “GUILTY?” at the top of your message so we don’t miss it.
Today’s Happy Hour Special
🍸 Blackberry Paloma Mocktail
Recipe: Moody Mixologist
www.moodymixologist.com/blog/...
Ingredients:
• 4 fresh blackberries
• 5 dashes smoked chili bitters
• 1/2 ounce lime juice
• 6 ounces grapefruit soda
• 1 ounce butterfly pea tea (room temperature)
• Ice
Instructions: Prepare butterfly pea tea according to package instructions and let cool. Muddle three blackberries in the bottom of a glass. Add bitters and lime juice. Muddle again. Top with ice and grapefruit soda. Add butterfly pea tea and garnish with the remaining blackberry.
Explore More Shows From Ramsey Network:
🎙️ The Ramsey Show ⮕ ter.li/dhaofd
💸 The Ramsey Show Highlights ⮕ ter.li/ls738t
🧠 The Dr. John Delony Show ⮕ ter.li/jy41yb
💰 George Kamel ⮕ ter.li/jxpkwe
💡 The Rachel Cruze Show ⮕ ter.li/zn5yjl
💼 The Ken Coleman Show - Highlights ⮕ ter.li/yhoefe
📈 EntreLeadership ⮕ ter.li/nmira1
Ramsey Solutions Privacy Policy
www.ramseysolutions.com/compa...
When the cat 🐈⬛ example came up …I thought George was gonna say something along : The cat won’t even remember your name” I was waiting for Rachel to bring the horse comment up 😂😂😂
That’s what I was thinking! The man that said to sell the horse is dipping into an emergency fund for kitty stones.
No judgement because my cat spent the weekend in an oxygen chamber at UF and that wasn’t a cheap hotel stay 😅
😂😂😂
lol!!!!
Yes! It's not a horse though lol. My cat (1 of 4, but my baaabyyyyy) had TWO penile surgeries to keep him alive. The first vet said put him to sleep. I said, how about we put YOU to sleep? So rude!!! Anyhow, a different vet did surgery #1 for $575.a drastic cut from the 3k the original guy wanted. It lasted almost 2 yrs. The second one was a super emergency on the spot surgery bc the pee tract scarred COMPLETELY shut. They were draining urine through the belly with a giant syringe! Surprisingly, that old school vet only charged me $675 for walk in (new to the state & area) on the spot surgery, 2 days hospital stay & all meds! 2 yrs now and my kitty is great! On my lap as I type this. It's worth it if it's your kids or your beloved pets. ❤😻😻😻😻😻
I’m in baby step 2. Got my $1,000 set aside. Next day, the garage door spring breaks and my wife hits a pothole that destroys my tire. That’s what I get for saving up $1,000. 😅 Back to baby step 1.
If you hadn't saved up the 1k you'd be in debt right now, so it helped you a lot. If anything it can be motivation to keep going :)
I think that pattern continues. I’m halfway through baby step 3, and our fridge died and killed all our food. We spent some emergency funds to replace everything. It feels like a constant two steps forward one step back. Well, back to saving.
But you had the money to fix it! That's amazing. Don't stop going forward. Murphys law lol
And hey. In the time that you saved 1k your car loan and your student loans and a few others had a reduction in balance from minimum payments.
You didn't need to add new debt over this issue! You made progress
Check your states Department of Transportation - I’ve had tire and rim fixes paid for by South Carolina DOT because of hitting pot holes.
I would never pay money to a designer that stamps their big, ugly logos on their merchandise. That’s like I’m paying them to advertise their brand!? Not a good deal to me.
their ROI, not mine...
I agree! ❤ I've been laughed at for this opinion, but to each their own. I refuse to be their free advertising or buy into the one-upmanship.
Crisis into inconvenience is on point. My father in law just recently passed away with no life insurance and we had to pay for the entire funeral arrangements by ourselves. Thousands of dollars later, it truly did let us handle the funeral and properly mourn instead of stressing how to ask others for help that clearly were fine with us shouldering it all financially. No one in that family even knows we had savings, everyone thought we put it all on credit and we're still more than happy to not offer a dime of assistance or even to offer to help with bringing refreshments to the viewing.
with my partner for 29 years. seperate accounts. i paid 1785 for her cremation, no urn. her credit card company paid a 9855 bill for end of life care for a cat that died 3 weeks before she did. we were both orphans. ''families rarely do not dissapoint''.
Condolences from us. Bless you for being able to provide.
I work for the government and I max out my 401k, 457, Roth IRA, and HSA every year. Its automatic so I dont even miss the money and at the end of the year I have a pile of cash.
I will admit, it is tough making the remaining $10 of my salary stretch the rest of the year, but its a sacrifice I am willing to make to become a multi millionaire by the time I turn 28.
LOL that last line absolutely tickled me. Praying for your sacrifice :)
Rachel is right! I don’t know what brands of sneakers are expensive but I do know about the red bottom heels!
The most expensive pair of shoes I’ve ever bought are my hiking boots. $180-ish because you don’t climb mountains in Walmart sneaks. I’ve had them for 7 years and they’re still going strong.
I hiked the Rocky Mountains in Walmart trail shoes lol
@@allisonmodaff5635 😆 I love it. Hopefully your feet did too 😂
@@stephaniesullivan8154Honestly with some $15 foam inserts, from Amazon. And his feet would be fine.
Hopefully dry if he got some water resistant shoes. lol.
The most expensive pair of shoes I have are on clouds for 160 dollars, very functional. I am on baby step #2 and I have worked myself from $16,000 to $11,000 just from January. Yall keep motivated
I agree my wife and I I finished our 6 month emergency and we feel so much pride
Wow good for you. Don't just keep it in cash though. Put it to work spread across cashable GICs, locked-in GICs, and a small amount in a good broad market ETF that pays dividends (SPY, SPLG, etc). That way the majority of it is safe and earning for you at the same time.
@@chad1755The emergency fund isn’t for making money. That’s what the rest of your portfolio is for.
@bryan_witha_whyy 6 months income is a lot of money sitting there inflating away. As long as the principle is safe, why WOULDN'T you want it making money?
@@chad1755 Because if the market takes a crap quickly and you lose your job you have yourself a mighty big problem. As you build your portfolio, the emergency fund will look smaller and smaller and the pain of not investing it will dwindle with time.
Having saved up an emergency fund totally changed my relationship with money. I felt my gut relax in ways I didn't realise were tense. Going through the process has trained me to enjoy being deliberate and intentional with money - and now I want to increase my fund from 3 months of burn-rate to 6 months. I hope I never need to use it, but just having it is life changing.
At Easter my Dad's girlfriend tried a dig at me for having a 6mo emergency fund! I was saying I'm done going to work ill and trying to make appointments outside work hours because our sick time has a max on hours and we can't cash out when we retire or quit. She was like what if you get sick and need that time but its used up?! I said there's short term and long term disability and... She cut me off and said not ALL of us have a 6 month emergency fund!! She's the one that pointed out 10 things she recently bought and a couple things in the mail from Amazon for her adult children (19 &22) that day! I think she's jealous of what I've accomplished on low income (just like her) house with 25% down payment, emergency fund, home improvement fund, well stocked pantry ...
Always fun to catch this live!🎉
Rachel the sneaker game is absolutely HUGE. Michael Jordan is not a billionaire from actually playing basketball. In 2023 alone the Jordan brand had 6.59 BILLION in revenue. Lol
Rachel, you're right
Binge watched in 1 weekend ---FPU UNIVERSITY -- during a snowstorm!
The most expensive pair shoes I got were a pair of Jordan Bordeaux. Brand new for $200. I talked the seller down and only paid $120. Came in the box and everything. 🔥
Rachel you’re right.
My most expensive shoes are $30 Converse I bought at the outlet store.
High-yield savings accounts are great, but the ones that have the bucket feature (so you can organize savings for different things within a single account rather than open a zillion separate accounts) are the cat's meow
Who offers such a thing if you don't mind my asking?
@@alleykeosheyan4779 I'm sure there are others, but I know it's a feature of savings accounts at Ally
@@alleykeosheyan4779 I know some of the Ramsey folks have said that Ally Bank and their high yield savings account is nice because they have the bucket feature. I went with them because that's what I wanted from a high yield savings account too. I don't know if Goldman Sachs has that feature, but they also recommended them as well.
@alleykeosheyan4779 I have Ally and they are known for their savings "buckets". Allows you to have 1 savings but distribute the money into various buckets for specific savings goals. It's a High Yield Savings as well so win-win!
@@alleykeosheyan4779 Ally, Sofi (I think), and Capital One (not exactly buckets like Ally has though)
I've never binged a tv series, but I used to read a book start to finish 8hrs non-stop. Neither are healthy lol
This show needs more subscribers, fantastic content.👌
Wait! Is there a Sephora sale right now? And why am I hearing about it from George Kamel?!
I'm debt free and used $1500 from my emergency fun to pay for diagnostic tests and treatment when my cat was diagnosed with pancreatic cancer last month. I wasn't willing to pay for any invasive surgery but was willing to try oral treatments to save my 21 year old cat. He was my baby. I ended up having to put him down which was an addition $500 but he was worth every penny. Thanks to my emergency fund I didn't have to worry about it.
❤❤
Rachel, you are right!
The "Lululemon here I come" took me all the way out 😂
Happy Hour should do a live stream!
Rachel, you’re right
Sneaker culture in the US is the largest by a big margin.
I bought Off-White Nike Blazers in 2018 for $600, they are now currently worth about $2,000 today. Not selling them though as I like them so much.
bad back so i have worn asic nimbus for 30 years. everything else has been,
''walmart george foreman''. no regrets.
If you had put it in a growth stock mutual fund like VGT, it would have grown ~700%....
coulda shoulda woulda, doesnt matter now. I'm happy with them and still in a very good spot financially debt free and everything.@@zonemaster23
Only get rich quick schemes can grow 700% in 6 years. And usually they don’t work. A growth stock more likely would grow around 20% a year at best and more likely somewhere around 15% per year. Even 25% growth per year would get you 381% growth over 6 years. Nowhere near 700%. Growth mutual funds and ETFs are great, but they aren’t 700% growth in 6 years great.
Great episode as usual! I think the shoes need to go into a hobby (for a shoe collection) category. If that is saved for, I guess it is ok, but of no interest to me.
I lived the "enjoy life, what I have extra I'll save" for a long time. But I never had extra because I had already given myself permission to spend my whole paycheck. I never had more than $500 at a time until I put saving first instead of last
Rachel, you’re right.
I have a pair of Louboutins from before I found Ramsey. They cost me $750.
Let's gooooo!!!!
I have my emergency savings for one year of monthly expenses and then I have other accounts savings for certain things such as vacation, home improvement, and a newer car. This may not work for all but works for me.
Rachel, you are right. I would never spend $25,000 on a pair of shoes even if I could wear them. My most expensive pair of shoes are a pair of sandals that I have worn for 7 years and they are still in great shape. I paid $100 for them and they were on sale.
I’m with Rachel on this one. I wouldn’t know the difference between a pair of $500 sneakers and a $25,000 pair. Most expensive shoes I own are Hokas and Birkenstocks.
You haven’t seen Dead to Me?! I must watch, Rachel. Also thanks for the Fool Me Once suggestion!
Yes, us Kentuckians live in a Commonwealth. So is Virginia, Massachusetts, and Pennsylvania :)
Also, I feel that workout clothes one. I did go cheap initially, but now I’ve found my favorite more quality exercise pieces but it’s hard not to get the FOMO when they are always sold out and they’re finally restocked
A lot of people don't even make it out of step 1, so keep going with the content and you'll change lives!
I bought that shelf a few weeks ago! My daughter with special needs is in the bathroom for an hour or so everyday so she uses the Alexa for her timer & music. I didn’t want my dot on the counter so I ordered that to have it on. I love it!😊
My most expensive shoes are my Hokas. First pair of shoes I haven't regretted buying after 3 months, they are so comfortable!
Car broke down yesterday...thank goodness for the emergency fund! It's incredibly annoying BUT it's not a crisis!
Rachel is so funny! Thailand 😂😂
I recently dipped into my savings to purchase parts for my project truck. I have no regrets. 🙂
Fool Me Once is so good!
Canada is part of the commonwealth. We do have a savings account that is only touched for substantial purchases as in a new vehicle, new appliances etc
My spending habit is hobby related. I kayak, so after the kayak, its the latest accessory (paddle clip, special paddle, spray skirt….). I’m also an orchid grower, so pots, potting mix, latest hybrid…
Rachel you are right! That is a crazy amount of money for shoes and I would NEVER know. I have spent $400 on Jordans for my 17 yr old son though. However, he takes really good care of them and it's all he wanted for his birthday. Justify I a little ...
I'M GOING TO Thailand!!!!! Yes Rachel ❤
Loved it, no one was judgy
The most I ever spent on shoes was £80. I've had them 6 years, wear them nearly every day and they would look almost as good as new with a good clean. They are also the most I've ever spent on a single item of clothing. I typically thrift clothes or buy good quality stuff on sale then wear it till it breaks or no longer fits. The idea of spending your life's savings on shoes you're not even gonna wear is beyond me.
Maybe it’s because I live in Montana, but the shoe thing is absolutely bonkers. It’s impossible to keep those things clean out here! One more thing to worry about. 🙄
Ditto for Wyoming, as I wipe mud and crap off my New Balances...
Farmer in Iowa, my daily shoes are $30. My insulated mudd boots are $80, my 3 pairs of dress shoes ive had for years, roughly $65 each. My hiking boots, $150. @alleykeosheyan4779
Rachel my son is 12 and is a sneaker head we live in small town, no mall, I think you would be surprised how many sneaker heads there are
You’re right Rachel. I have no idea about sneakers 🤷🏻♀️
George, I cannot believe that you have not watched Severance!! One of the best, most interesting and bingeable shows ever!
You two are hilarious! I love you two and Dr. John.
We are in 4,5,6 and just had a surprise $6k sewer pipe repair, after we'd JUST paid $5k for a long-awaited renovation this month...into the emergency fund we went 😅 I guess we're in baby step 3 now for a month or two!
100% NO CLUE!!! Rachel you are right 🤣🤣🤣
Most expensive pair of shoes I've ever owned was a pair of HiTechs Mountain boots that lasted me 15 years. They were $120 when I bought them. I wore them 5 days a week for those entire 15 years and they were WORTH IT.
Interesting that they said emergencies was only valid use and didn't include or explain paying off debt (which was last option on the stat they read). Since they tell callers dump all but 1000 dollar starter at the debt.
Love the show hooked for life
I might dipping into my Christmas account now to buy the boots George is wearing for my son! Gotta know what those are and where I can find him a pair! He'd love them!
I think it’s important to realize that Murphy is alive and well. The Ramsey personalities talk about planning on car repairs, home repairs, and including those in your monthly budget. Inspiration matters too. We paused and invested a few years ago because it felt right. Most of our debts were paid except the biggest one. Last month we had to replace an engine which that fund covered. We’re solidly paying off that last debt and have a paid for new engine
My most expensive shoes are $100, paid for by my employer.
Sneaker head here, but we r debt free, including mortgage. We also have 6 month emergency fund saved. Im past the point of having guilt when i buy a pair! We've been incredibly diligent, smart about debt and nows the time to start enjoying without going back into debt.
In 2008, I bought $69 shoes for a friend's wedding. They seemed so expensive back then. They are probably still the most I've spent on my shoes considering I buy my shoes on sale. I know I spend about $65-70 on my kids tennis shoes today.
What about tapping in to fund your IRA? Most expensive I have is Hoka about $100.
Rachel, share link for that oversized sweater! Sounds comfy!
Rachel you are right😂 Also Uggs probably the most expensive
Massachusets is a commomthwealth, Kentucky, Pennsylvania and Virginia aalso.
Rachel, you’re right 😂
8 years ago I spent $500aud on a pair of hand made leather dress shoes. They are still going strong 💪
Rachel mocking George 😂😂😂😂
Ally bank has high interest and buckets! Love it
Paying off debt ASAP. As long as the savings is >6 months emergency funds
My most expensive shoes are my birkenstocks. I binged The Trust & The Mole on netflix recently - fantastic.
When I spent $125 on shoes (athletic, for my walking) I wanted to be sick. But as I grow older, I need to protect my feet more and more.
Get mom a gun, report to the landlord, call the police, put up cameras. Then she can move when the lease is up.
I haven’t watched the whole episode yet, just started, but this threw me for a loop and I look forward to getting to the story 😂
Puerto Rico!! 🇵🇷
26:09 my record is during college break starting game of thrones season 1 at about 10pm on Sunday and finishing season 5 episode 6 on Thursday afternoon. I had summer classes on Tuesday and Thursday
My most expensive pair of shoes is a pair of Hoka tennis shoes. I would not know if someone spent $25,000 on shoes. I did not know that Louis Vuitton shoes were red on the bottom. Not in my budget. :)
Louis Vuitton doesn’t have red bottoms. Christian Louboutin has it. The way she pronounced it, it sounded like Vuitton 😅
My most expensive pair of shoes…are cowgirl boots. 🤠
The ultimate cancellation: George calling Selena forgettable :P
Rachel's right about the sneakers. But now I've got to go book my VRBO...lol
I just bought my most expensive, by far, pair of sneakers. They were $150 Hokas. I didn't know about the red bottoms of the shoes. I agree with going to Thailand too.
Great show yet again! The drink may only be $2.82 per glass, but a bottle of smoked chili bitters will set you back ~$20 if you don’t already have it…..
Most expensive shoe in my closet was $260 but I bought 2 pairs of the exact same shoe. One to wear and one to never wear
George, do you know what “go hard in the paint” means?
Not a Disneyland person either. I dislike it sooo much 👎. The cost to me is outrageous compared to other destinations in South America or even Europe.
Most expensive pair of shoes I own is probably a pair of Lucchese boots. Right around $1000, but they're damn good boots and I wear the hell out of them. They're on their 3rd resole, so this may be their last, but for a decade of wear I'm not too mad about it. Luxury purchase? Absolutely. Did I need them? Absolutely not. Did I want them? Yes. Could I afford them? Also yes.
I dont follow dave ramesy at all but just wanted to say that y'all's banter and chemistry is getting good.
My most expensive shoes are my professional tap shoes - $300 and totally worth it 😂 All my other shoes are generic and simple. LOL
When are you going to recommend a $2000 emergency fund? I had unexpected car repairs and pet illness last year and my emergency fund disappeared quickly.
I believe they say 1000 is not enough, but it’s a tangible goal for people who are just starting on baby step one, and covers most emergencies. I think it’s baby step 3 that has you build up a 3-6 month emergency fund.
Rachel, you’re right. I wouldn’t know a $150 sneaker from a $25,000 sneaker.
George - $500 for a pair of embroidered Old Gringo cowboy boots.
So, in the past the emergency fund was to be funded without worrying about interest rate and quick access. Now, it is suggested to place in high yield savings in a non local bank that may take a day or two for a transfer. Why the change, is it just to chase the interest?
I wouldn't recognize the shoes. My most expensive pair was around $70.
Would definitely not know designer shoes. What a waste of money! Highest I've paid was $65 for a pair of Asics that were on sale for work!
Me too Rachel, Fool me once
Ive had the same shoes for like 3 years now, and when they wear down ill get the same pair and keep wearing them
Shoes that are the cost of a car !? Shoes at 25k probably won’t hold their value; resale means there is a need of someone to buy it from you
Sorry Rachel, I will buy something that is really $$$ and will try to find it with no logo cause its for Me! and not for others...