00:00 Download the Conscious Spending Plan so you can use your money GUILT-FREE: iwt.com/csp-youtube Please remember: These are real people who had the courage to come on my podcast and ask for help. Would you be willing to come on this podcast and share every detail of your financial life? Feel free to leave comments based on what you think, but remember that we are here to help in a supportive way, not to demean and criticize.
Respected Brother I fear GOD and speak the truth. I am in a lot of trouble. Can anyone help me you can? When I ask for help in public, a brother says that I am a scam. But GOD is watching over everything.I am asking you next to GOD. Please consider me as your household person and help me.
She’s at grocery store like “I’m not gonna buy that overpriced $10 family frozen meal, there’s no coupon!” Then ordering DoorDash for $80 bc they didn’t have easy food.
Yeah, I felt so proud of my low grocery budget until I made the decision to cut out delivery completely. Now I'm spending $500 a month on groceries, lol. I could go lower than that if I had to, but if I'm not eating anything remotely "fun", my willpower will tank and I'll be right back on grubhub.
Ramit: How many times do you eat out in a day? Guest: about once a day Ramit: What about other 2 times ? Guest: Ohh we get them in to our house. That counts as eating in. Ramit: That's the same thing. Guest: I would say not really, we save on Gas, parking, time, ordering sides. Ramit: I am dead
@@233kosta Yeah, well yea buddy I agree and tbh people like to stay in comfort zone and want to ignore the pile dust mounting under their carpets that they are sliding in. 1 day it will stink and bust. And boy the banks be happy.
I follow another guy who grew up poor and he explains the nuances that unless you grew up poor, you wouldn’t think about it. One issue is that poor people are in survival mode and trying to get by from day to day. As a result, they struggle with the capacity to think and plan long term.
@CambieSweets This is a good point and a profound insight that isn't discussed much at all. Having an abundance of money frees up mental bandwidth typically. Being in poverty for long does the opposite and creates a mental prison of chronic survival mode even after the person is long out of poverty. People that have been overweight and then later lost massive amounts of weight report a similar phenomenon whete the mind doesn't yet match current situation - mind is still "overweight" while body is now skinny. Very interesting indeed.
@CambieSweets i'm 37 and also grew up poor, i've been actively trying to combat survival mode for the last 3 years, it's SO HARD and exactly right about not being able to think things are possible, last year i finally paid off all my deb and this year for the first time in MY LIFE i feel like i'm not chasing money, and i can see possibility in savings slowly growing.
I want this couple to succeed, they seem to have genuine affection and respect for each other, but changing habits is hard. I agree with Ramit, don’t combine anything until they get their situation on the proper path. If they stay healthy and keep working they can have a really secure retirement.
LaKiesha should be encouraged to examine her concept of "conflict". "Firing my therapist involves conflict" is not an objective standard because not everyone leaving their therapist would agree. Anyway, firing/leaving a therapist can be done diplomatically. Rather than "You're Fired!", reframe and rephrase to fir example, "I've reached a place in life where I'm ready to continue on my own. But if something comes up or I sense I'm moving backwards, I'll contact you ". Parting ways doesn't have to include disagreement, insults, accusations, etc.
Ramit, I recently finished IWTYTBR and have started reading MFC. What a great book! I really appreciate your knowledge and I have applied many of your principles in my life already.
If they want to drink and smoke, that’s their choice. But it’s not in fixed costs!!!! That’s guilt free spending. I hope Ramit brings this up after 35:27 because so far I’m baffled as to how it’s in that section
As a former smoker who tried making a budget while still buying cigarettes, it gets so ingrained in your life that you see it as a MUST HAVE, absolutely nothing optional about it. "I smoke around 1 pack a day, so about 8 packs a week - non-negotiable, so that's a fixed cost." - is how I thought of it. It's stupid, especially from a non-smoker's perspective, but that's my insight into your query lol
Dietitian here. Ramit's clients need a forensic accountant to do a deep dive into these couples' finances. I do the same for my clients who want/need to lose weight. I equate eating that's not being tracked, to "blind-eating", the same as Ramit teaching people who overspend are actually "blind spending". If you want to change something about your life, it MUST be focused on. If you fail to plan....then plan to fail. I so wish Ramit would team up with Gail Vaz-Oxlade from Canada. Her show "Til Debt Do Us Part" was awesome and it really opened people's eyes when they see that they're spending way more than they think on stupid stuff. I do the same for my clients when I add up all the calories they're actually eating. People don't realize their whole day's worth of calories can be wasted on a fast food meal.
As someone who used to eat out A LOT (not as much as these guys, but for my income, it was a lot), you are absolutely right! Cutting down, like, 99% of their eating out a month in one go is akin to a drug addict going cold turkey on heroin! Lol! I do wish them the best of luck, though!
Thanks for the educative video I'm so glad to share my experience here. I first got into BTC back in 2019 and I was hodling/buying sats at different price points. but later in 2020 I ended up selling it because I was dumb and I didn't understand it. I studied and learned and now I know how it works. Got back into crypto early in 2023 with 170k and I’m up with 560k in a short period of time all thanks to Milton Harper.
It really helped trading with Milton Harper analysis and info, even with the market in a downward trend. Definitely riding the market wave is a good perspective..
His "Horrible" comment was in reference to his annual income of 60,000 - he thinks it's too low and he is right, if he can do better, why not? Horrible was a bit dramatic though.
Great couple. They listened and learned. It won't be easy but they will adjust to their new Conscious Spending Plan. They will teach and set an example for their children and live a more connected life as a couple. Thanks!
learning the context of the bankruptcy made my jaw drop. such bad advice given her situation at the time. not all financial experts are looking out for your best interests.
They’re spending 3k a month on guilt-free spending. Wow. That’s our budget for guilt-free spending per month but we bring in 15k a month and do not carry debt. That will solve their savings problem right there.
Never too late to start being more responsible financially. If you are a financial gambler, don’t take out loans, cut up your cards, setup automatic saving accounts and just invest in government bonds. It’s not the ideal way to be rich but you have got to plug the holes in your financial boat first!!
Let’s preface this that I don’t smoke or drink, but to expect people that do those things go cold turkey is unrealistic. Sure they don’t have the money for it, but going to half or a quarter of the original number is a much more realistic demand to set.
As someone with ADHD, let me tell you something- it's a bad idea to go from 9 times of eating out down to just 1 time. There's a good chance you'll fail. It's better to go down 1/4th each time. I.e., 7 times the next week, 5 times the week after that... And so on. That would make it more realistic and achievable. All the best!
I love this couple, they have learned and grown in front of our eyes. I hope they continue to grow in the future. It seems like it will be tough, but I'm cheering for them.
I hate to be a pessimist, but they’re unlikely to stick to the reduction in eating out. If they’re eating out 30+ times a month, they’re used to hyper-palatable food and may have an addiction. Wishing for the best, but thinking practically
Maybe. I have to say for myself, I’m better at making drastic changes than minor ones. I started my budget era with a no spend month and it was like it reset my habits.
@@tracyaf6084 Fast food is designed to be extremely addictive. This s couple spends impulsively, doesn’t plan for the future, prioritizes cigars and alcohol, and are in denial about what they spend and make a lot of excuses. They grew up poor and have a lot of terrible money psychology. I doubt they’ll be able to do what you did and go cold turkey on their old habits.
4:23 Income based repayment plans are terrible. They trick people into thinking after making monthly payments for X number of years their loan will be forgiven. But in reality, the payments you make usually only go towards interest and you end up paying way more than the original loan amount anyway.
@@janel8733 yes! Stop the insanity! Take balance due, divide by 60 months, and that’s your payment. Do that the day you graduate (and ideally before you graduate) and knock the darn thing out in five years max. Don’t let the bank decide your payment. They want your interest!
Such a great episode! They really grew throughout the conversation. The cigars and drinks are just like any other treat yourself culture that everyone deals with. Ramit did a great job guiding them here.
Tuesdays are Ramit days for me! lol Anyway, I loved this couple! Glad they are asking for help now before getting married! It’s such an important step! They genuinely are interested in the help and implementing them. Thank you and rooting for yall to be Ramit’s biggest success story-I’m with you James! 🎉
Eating out is more about the palatability and food addiction tied to restaurant food. It seems to help me to make eating out less part of health goals. Maybe they could do the same and reduce the alcohol and cigars too which are terrible for health. They may need to dip into investments in the near future if healthcare costs arise
Dude... I don't have an income of 150k, but I'm surely also not paying 150 bucks for pizza. Yesterday I went to a chinese place and raided the leftovers of the all you can eat buffet. Cost me 12 bucks for filling 3 travel boxes, full of duck, chicken and pork.
I’m 35 and the most I’ve ever made was 65k… I have 289k in savings/investments. James you can live off 60k…. By the time I’m James age I plan on retiring in Mexico for a house I bought and making payments for. I don’t plan on being a slave to debt. I want to enjoy as much of life I have left .
I just wana say regardless of what party you support it’s okay to take a joke. Democrats and republicans both have some clown behavior it’s okay to laugh. It is not that serious, our leaders don’t lose sleep at our issues don’t get mad at a joke.
Income driven repayment plans have forgiveness options after a set amount of years (10, 20, 25) depending upon the plan and it will be counted as income you will have to pay taxes on the year it is forgiven
“People generally fall into an economic class because of their psychology and their values. Each of the three classes has a characteristic psychological profile. For the lower class, it’s apathy. They have nothing, they’re ground down and they don’t really care. They’re not in the game, and they aren’t going to do anything; they’re resigned to their fate. For the upper class, it’s greed and arrogance. They have everything, and they think they deserve it - whether they do or not. The middle class - at least in today’s world - is run by fear. Fear that they’re only a paycheck away from falling into the lower class. Fear that they can’t pay their debts or borrow more. Fear that they don’t have a realistic prospect of improving themselves.” - Doug Casey
I think that explanation of the lower class is absolute ass. Material conditions at birth are the number one predictor of "success" in a society like the US where social mobility is difficult to achieve and often prohibitively expensive. A lot of the unexceptional (most of us) but driven people fail to launch or underachieve because they're fighting an uphill battle. Individual responsibility is extremely important, but it's not all.
I have started a bad habit in the past 6 months or so of eating out too much so I feel for them 😥 its hard bro. I like Katsu chicken! But I'm going to rein it in.
I know James's numbers, but I feel like he was trying to say his rich life was the cigars and bourbon. I thought this was the core of Ramit's plan. Give the man a cigar! 🙂
I think the idea was to get the alcohol and cigars out of fixed costs for both of them. To show them it's a luxury not a need. He has $300/month to spend how he wants- that was pretty much all going to cigars and bourbon before. He could still spend that on cigars and bourbon but would leave him with literally nothing else to spend for the month. He probably will still treat himself from time to time and that's ok, because the occasional cigar is his budget, but not $300/month.
I think this is why the guilt free spending needs rough line items. It’s not realistic if he’s addicted that he’ll immediately go to 0 when he already cut it by 50%
I was hoping they were going to say they had stopped all the guilt free spending, but I guess a little change is better than none. Mostly, I hope they change for their kids. I wish them well.
59:25 is the face of a man that just learned he needs to work until 70 just to get by in retirement, if and only if they are investing an unreasonable amount of their budget monthly for the rest of their working careers. These people are going to end up destitute unfortunately. It did not have to be this way.
And the husband was telling his wife that she was investing too much ($900). They weren’t lying when they said choosing a partner is one of the biggest decisions you’ll ever make that will impact the outcome of your life.
You’re right-it doesn’t apply to everyone, but it is a recurring theme among all the guests who have appeared on his show. And, if you asked your friends and other family members (I have) and it's very true, again not for everyone. 😃
@zora0109 oh definitely, but saying "do I feel like your dad, hovering over your shoulder and that's why you feel guilty?" No, he feels guilty cause he's an adult who eats out 9x a week and knows it's wrong lol
4:14 WTF was that comment? You mean you would like to borrow in example 300k, get a doctor/lawyer degree then file for bankruptcy (also get 100k in CC debt, why not), and go straight to 100k+ job? You're mad, and then you complain about Caleb Hammer.
I'm hopeful for them, so let me see how this episode turns out...I finished the episode, and I will simply say that this will definitely be tough life change for them both. I'm concerned that they did not give specifics on the savings and investing in the follow-up, but hopefully they will have better updates in 6 months. Good luck to them.
I dont get the grocery shock. Im a family of 3 and our grocery budget is $500 a month and we're usually under budget. I do track it. We shop at one store only and i save all the receipts, put them on the fridge, add them up and we are constantly under budget unless i have a rough month and im cooking less then we spend more on "quick food" stuff.
As someone who truly grew up poor, it's hard for me to understand folks like this couple who consider themselves from poor family but don't know how cut down their expenses. One thing I learned from my poor childhood is getting by with almost nothing. I used to go out with my dad and brother to catch grasshoppers, frogs, fish, and etc (I grew up in 3rd world country). Now I have good salary in the US and live comfortably but when I'm in survival mode, I can get by $500 (or less) + housing cost.
not buying enough groceries and then spending way more on eating out is not really a wise move when you are deeply in debt. for the three of them, that can easily be close to $1500 in food each month which doesnt fly.
Ish, I know of someone who’s bank account was relieved of around 285k$ here in Canada. I heard hackers got in through a weakness in the system. Either way, he posted on Facebook that after 6 months of waiting, it’s NOT covered, meaning he won’t be reimbursed. Such a sad situation. You’d think that at least it’s safe in a bank account.
Hello Ramit first of all I would like to say thank you for your financial literacy education it help me a lot now am somewhere form 0 but today I really need your help I was a victim of scam identity theft recently and always it make me worry what will be next because I give it all my detail kindly if it’s possible try to help me to get a peace of mind how am I going free from such issues.
Bruh if student loans were bankrupt everybody and their momma would try to go bankrupt you know Americans are lazy as hell when it comes to paying off debt. 77% of Americans are in debt. 50% of Americans are married. So even with two incomes people still are in debt. 78% of Americans are living paycheck to paycheck. Again millions of these people have two streams of income coming in and still living paycheck to paycheck. Bankruptcy itself should be illegal. Go to work and pay your darn debt off yourself unless you have an extreme disability and or medical issues preventing you from work you and only you are responsible for paying off your debt and if you're married it's both of your responsibilities. Accountability and responsibility are not curse words.
I think a lot of people underestimate how much they spend in groceries and eating out. I know I did until we started tracking five years ago. Just last month alone we had over 10 days with grocery expenses. Some was our weekly shopping trip, some was our mid-week shopping to restock on fresh fruit, once was protein powder delivered by Amazon and I always grab food from Target a few times a month when there.
I'm disgusted they make $ 150 thousand and won't pay their student loans. And Remit claps! I'm not republican but I resent the taxpayer getting the bill. Thumbs down
They’re getting forgiven, she’s not choosing to not pay them. She doesn’t specify but I’m assuming it’s public service loan forgiveness so she’s already contributing to the public and being compensated with loan forgiveness. Being on the side of big banks and student loan lenders instead of citizens is a very strange take to have.
@@rachels5245 It’s because they are being told people are getting something for free. They never come at big corporations that get bail outs from taxpayer money but let it be an average person then the crabs in a barrel mentality comes out full force.
It's very important for me to help people in ALL scenarios. I have tons of material for single people in my Money Coaching program (iwt.com/moneycoaching), my IWT book, newsletter, social media, and my Thursday RUclips videos. Thank you for watching
Come on Ramit. If you could discharge student loans in bankruptcy everyone would do it as soon as they graduate. Maybe if you can’t afford the student loan then don’t get it?? More financial literacy should be taught in highschool and colleges shouldn’t accept people if they are taking out certain debt amounts. Scholarships should be financial based not race based
Do research. Check your elitism and socioracial economic ignorance. Research racial inequality, poverty inequality, educational debt numbers, bankruptcy discharge numbers. You comment with such ignorance. Like seriously check your ignorance at the door.
@TJrules299 the only ignorance is that of the people who choose not to educate themselves about finances. There are plenty of community colleges for a reason
@@TJrules299It’s not ignorant to disagree with someone. It’s also not elitist to want people to be responsible for paying off the debt they sign up for. Last time I educated myself, Democrats made up more of the “elites” than Republicans.
@@TJrules299I grew up in another country with no knowledge of the financial system here. I’m not privileged in that sense. I often bristle at the notion that unless you’re rich and white you should have no accountability for your decisions because you’re too ignorant to know better. Low expectations shouldn’t be there for people with student loans who presumably used their student loans to get higher education. I think there should be limits to how much can be loaned or how much interest should be charged or which programs should qualify for loans even, but none of that changes that people can be responsible for their decisions.
If you are going to bag on republicans then you should also bag on democrats for the raising prices and rising costs of going to college. Thanks Democrats
Lol Biden’s admin handled inflation the best out of any major country in the world. There are plenty of things to rag on democrats for, yet republicans pick the one thing they did well because Fox News convinced you it was an issue.
![Noob To Max With DRAGON REWORK In Blox Fruits [FULL MOVIE]](http://i.ytimg.com/vi/LnBMOinoOvA/mqdefault.jpg)
00:00 Download the Conscious Spending Plan so you can use your money GUILT-FREE: iwt.com/csp-youtube
Please remember: These are real people who had the courage to come on my podcast and ask for help. Would you be willing to come on this podcast and share every detail of your financial life? Feel free to leave comments based on what you think, but remember that we are here to help in a supportive way, not to demean and criticize.
My husband and I want to participate in your podcast.
Respected Brother I fear GOD and speak the truth. I am in a lot of trouble. Can anyone help me you can?
When I ask for help in public, a brother says that I am a scam.
But GOD is watching over everything.I am asking you next to GOD. Please consider me as your household person and help me.
You had me at "I'm afraid of teenage girls because they're mean." 😂
Best way to start my day: a new Ramit Sethi video.
Of course they’re not spending on groceries if they’re eating out 30 times a month 😂
Yeah, sometimes a low grocery budget is a bad sign.
She’s at grocery store like “I’m not gonna buy that overpriced $10 family frozen meal, there’s no coupon!” Then ordering DoorDash for $80 bc they didn’t have easy food.
that long pause before she said that she cooks 3 to 4 times a week
😅
Well they're probably spending on groceries and throwing away 80%
Yeah, I felt so proud of my low grocery budget until I made the decision to cut out delivery completely. Now I'm spending $500 a month on groceries, lol. I could go lower than that if I had to, but if I'm not eating anything remotely "fun", my willpower will tank and I'll be right back on grubhub.
Ramit: How many times do you eat out in a day?
Guest: about once a day
Ramit: What about other 2 times ?
Guest: Ohh we get them in to our house. That counts as eating in.
Ramit: That's the same thing.
Guest: I would say not really, we save on Gas, parking, time, ordering sides.
Ramit: I am dead
Ironically unless you drive an H1 Hummer, it probably costs more to get it delivered
@233kosta hahaha. So true! People forget phantom costs.
@@themboys304 Sillier still - they're including a phantom cost, but grossly overestimating it, so preferring the delivery fee instead.
@@233kosta Yeah, well yea buddy I agree and tbh people like to stay in comfort zone and want to ignore the pile dust mounting under their carpets that they are sliding in. 1 day it will stink and bust. And boy the banks be happy.
I feel like this was the most "Indian Dad" Ramit we've seen the way he was going in on some of the points lol
500 plus a month on alcohol and tobacco - bro has literally been smoking and drinking his retirement.
Smoking it, drinking it and eating it. 😮
I follow another guy who grew up poor and he explains the nuances that unless you grew up poor, you wouldn’t think about it. One issue is that poor people are in survival mode and trying to get by from day to day. As a result, they struggle with the capacity to think and plan long term.
@CambieSweets This is a good point and a profound insight that isn't discussed much at all. Having an abundance of money frees up mental bandwidth typically. Being in poverty for long does the opposite and creates a mental prison of chronic survival mode even after the person is long out of poverty.
People that have been overweight and then later lost massive amounts of weight report a similar phenomenon whete the mind doesn't yet match current situation - mind is still "overweight" while body is now skinny. Very interesting indeed.
@CambieSweets i'm 37 and also grew up poor, i've been actively trying to combat survival mode for the last 3 years, it's SO HARD and exactly right about not being able to think things are possible, last year i finally paid off all my deb and this year for the first time in MY LIFE i feel like i'm not chasing money, and i can see possibility in savings slowly growing.
I want this couple to succeed, they seem to have genuine affection and respect for each other, but changing habits is hard.
I agree with Ramit, don’t combine anything until they get their situation on the proper path. If they stay healthy and keep working they can have a really secure retirement.
LaKiesha should be encouraged to examine her concept of "conflict".
"Firing my therapist involves conflict" is not an objective standard because not everyone leaving their therapist would agree.
Anyway, firing/leaving a therapist can be done diplomatically. Rather than "You're Fired!", reframe and rephrase to fir example, "I've reached a place in life where I'm ready to continue on my own. But if something comes up or I sense I'm moving backwards, I'll contact you ".
Parting ways doesn't have to include disagreement, insults, accusations, etc.
A rule that helps me save a lot of money: Do not leave the house hungry or thirsty. Bring a drink along with from home.
my mom always said growing up to me, "we have food at home" i still say that to myself now lol
Ramit, I recently finished IWTYTBR and have started reading MFC. What a great book! I really appreciate your knowledge and I have applied many of your principles in my life already.
If they want to drink and smoke, that’s their choice. But it’s not in fixed costs!!!! That’s guilt free spending. I hope Ramit brings this up after 35:27 because so far I’m baffled as to how it’s in that section
As a former smoker who tried making a budget while still buying cigarettes, it gets so ingrained in your life that you see it as a MUST HAVE, absolutely nothing optional about it. "I smoke around 1 pack a day, so about 8 packs a week - non-negotiable, so that's a fixed cost." - is how I thought of it. It's stupid, especially from a non-smoker's perspective, but that's my insight into your query lol
He basically said, "Give it up and delete" 😂
Dietitian here. Ramit's clients need a forensic accountant to do a deep dive into these couples' finances. I do the same for my clients who want/need to lose weight. I equate eating that's not being tracked, to "blind-eating", the same as Ramit teaching people who overspend are actually "blind spending".
If you want to change something about your life, it MUST be focused on. If you fail to plan....then plan to fail. I so wish Ramit would team up with Gail Vaz-Oxlade from Canada. Her show "Til Debt Do Us Part" was awesome and it really opened people's eyes when they see that they're spending way more than they think on stupid stuff. I do the same for my clients when I add up all the calories they're actually eating. People don't realize their whole day's worth of calories can be wasted on a fast food meal.
Ramit's Channel: keeping me sane while America is being steered off a cliff.
They are not going from eating out 36x a month to 1-2x a month lol
Yeah. I think a more realistic goal would be one nice dinner once a month and fast food once a week.
As someone who used to eat out A LOT (not as much as these guys, but for my income, it was a lot), you are absolutely right! Cutting down, like, 99% of their eating out a month in one go is akin to a drug addict going cold turkey on heroin! Lol! I do wish them the best of luck, though!
Thanks for the educative video I'm so glad to share my experience here. I first got into BTC back in 2019 and I was hodling/buying sats at different price points. but later in 2020 I ended up selling it because I was dumb and I didn't understand it. I studied and learned and now I know how it works. Got back into crypto early in 2023 with 170k and I’m up with 560k in a short period of time all thanks to Milton Harper.
He mostly interacts on Telegrams, using the user-name,
@MiltonHarper
It really helped trading with Milton Harper analysis and info, even with the market in a downward trend. Definitely riding the market wave is a good perspective..
Nice info, i appreciate your concern this will help a lot especially to the young investors who have no or lesser knowledge on how the market works.
Spot-on, I would always rate his signals as one of the best ever used 100% accurate.
Ramit, come to Wisconsin and I’ll buy you some Culver’s. I even have a coupon.
Same 🤚
I am very cold 🥶 😮😢🥶🥶😢😭
Me: "Hey Ramit actually has on someone who makes what I do!"
Guest: "That's HORRIBLE."
Ouch.
😢
Yeah I think a little gratitude is welcome here in this session.
His "Horrible" comment was in reference to his annual income of 60,000 - he thinks it's too low and he is right, if he can do better, why not? Horrible was a bit dramatic though.
44:07 this is so sweet that his podcast has an ad for his wife’s company
It’s a win-win!
Literally came here to say this!!
Great couple. They listened and learned. It won't be easy but they will adjust to their new Conscious Spending Plan. They will teach and set an example for their children and live a more connected life as a couple. Thanks!
Just need to share that Ramit not know Culver’s is the most Californian thing ever 😂. The kids meal with the free custard coupon is the way to go!
"Cigars & Alcohol" category in the CSP? These folks are my spirit animals...
😂
Ramit doesn't know about the culvers kids meal hack and I love it. it used to be like $5-6 for a burger, fries, drink and ice cream
learning the context of the bankruptcy made my jaw drop. such bad advice given her situation at the time. not all financial experts are looking out for your best interests.
Before the video ends? I'm rooting for her and her alone, lol. The rent and cigars conversation broke me.😅
50:07 that was cool, checking in when he was quiet 👍
53:54 Having that designated Guilt Free spending amount (“allowance”) will also take you out of the “can I get away with it mentality”. Now you know!
They’re spending 3k a month on guilt-free spending. Wow. That’s our budget for guilt-free spending per month but we bring in 15k a month and do not carry debt. That will solve their savings problem right there.
Never too late to start being more responsible financially. If you are a financial gambler, don’t take out loans, cut up your cards, setup automatic saving accounts and just invest in government bonds.
It’s not the ideal way to be rich but you have got to plug the holes in your financial boat first!!
Let’s preface this that I don’t smoke or drink, but to expect people that do those things go cold turkey is unrealistic. Sure they don’t have the money for it, but going to half or a quarter of the original number is a much more realistic demand to set.
I agree. The alcohol could be incorporated into the grocery spending and James can put cigars in his personal money.
As someone with ADHD, let me tell you something- it's a bad idea to go from 9 times of eating out down to just 1 time. There's a good chance you'll fail. It's better to go down 1/4th each time. I.e., 7 times the next week, 5 times the week after that... And so on. That would make it more realistic and achievable. All the best!
Why did he split rent 60/40, but then left all the other expenses 100% her responsibility? Did I miss him fixing that?
I love this couple, they have learned and grown in front of our eyes. I hope they continue to grow in the future. It seems like it will be tough, but I'm cheering for them.
I hate to be a pessimist, but they’re unlikely to stick to the reduction in eating out. If they’re eating out 30+ times a month, they’re used to hyper-palatable food and may have an addiction. Wishing for the best, but thinking practically
Maybe. I have to say for myself, I’m better at making drastic changes than minor ones. I started my budget era with a no spend month and it was like it reset my habits.
@@tracyaf6084 Fast food is designed to be extremely addictive. This s couple spends impulsively, doesn’t plan for the future, prioritizes cigars and alcohol, and are in denial about what they spend and make a lot of excuses. They grew up poor and have a lot of terrible money psychology. I doubt they’ll be able to do what you did and go cold turkey on their old habits.
4:23 Income based repayment plans are terrible. They trick people into thinking after making monthly payments for X number of years their loan will be forgiven. But in reality, the payments you make usually only go towards interest and you end up paying way more than the original loan amount anyway.
@@janel8733 yes! Stop the insanity! Take balance due, divide by 60 months, and that’s your payment. Do that the day you graduate (and ideally before you graduate) and knock the darn thing out in five years max. Don’t let the bank decide your payment. They want your interest!
Tobacco and alcohol, with that budget, indicates possible addiction. Stopping may not be as simple as crossing it off their budget.
I agree - same with the eating out addiction!
Does an engineering PhD that opens you up precisely ZERO job prospects count as a scam?
Asking for a friend 😅
Only if they deliberately lied and told you about job opportunities it would open up that turned out to be fake.
@TR-lh9yz So it's a scam if an individual promises me a job at the end, but not when entire institutions promise me many opportunities...
I also heard, not sure how true, you should let the university pay for your PhD. Or have your employer, if offered, pay for your continued education.
@CambieSweets Wouldn't that be nice... Nah, my friend did it as an international student, out of pocket. £20k a year! What a ripoff...
Such a great episode! They really grew throughout the conversation. The cigars and drinks are just like any other treat yourself culture that everyone deals with. Ramit did a great job guiding them here.
couldn't wait for this episode. i really liked this couple and identified with their situation.
Tuesdays are Ramit days for me! lol
Anyway, I loved this couple! Glad they are asking for help now before getting married! It’s such an important step! They genuinely are interested in the help and implementing them. Thank you and rooting for yall to be Ramit’s biggest success story-I’m with you James! 🎉
Eating out is more about the palatability and food addiction tied to restaurant food. It seems to help me to make eating out less part of health goals. Maybe they could do the same and reduce the alcohol and cigars too which are terrible for health. They may need to dip into investments in the near future if healthcare costs arise
I’m going to thumbs up before I’ve even watched it…. Just know it’s going to be worth the watch! 😊
Thanks Republicans...I felt that. About time we have a channel for people not in The Cult!
@@mrblue21974 There are liberals out here who are not in favor of student loan bankruptcy.
I feel bad for them. Eating out 9 times. Hell the most I do is 1 to 2 times.
I wished Ramit gave them a homework like the other couple.
6:48 HELLO!!!! That was crazy
14:25 Ramit, it’s fast food! You don’t tip at Harold’s lol
Dude... I don't have an income of 150k, but I'm surely also not paying 150 bucks for pizza.
Yesterday I went to a chinese place and raided the leftovers of the all you can eat buffet. Cost me 12 bucks for filling 3 travel boxes, full of duck, chicken and pork.
Great job Bob the Builder 😮😊😍
I’m 35 and the most I’ve ever made was 65k… I have 289k in savings/investments. James you can live off 60k…. By the time I’m James age I plan on retiring in Mexico for a house I bought and making payments for. I don’t plan on being a slave to debt. I want to enjoy as much of life I have left .
I just wana say regardless of what party you support it’s okay to take a joke. Democrats and republicans both have some clown behavior it’s okay to laugh. It is not that serious, our leaders don’t lose sleep at our issues don’t get mad at a joke.
So excited to see what you have to share with us today. Thank you
5:06 What did she mean by, “in 7 years it’ll all go away”?
@@okaygworlMaybe a Bankruptcy
there's a program for some public service fields that after working for certain number of years their loans can be forgiven.
@@CassRudolphThat’s true. From what I’ve seen the magic number for some Federal forgiveness programs require 10 years.
Income driven repayment plans have forgiveness options after a set amount of years (10, 20, 25) depending upon the plan and it will be counted as income you will have to pay taxes on the year it is forgiven
@ Ah okay, thanks for this.
“People generally fall into an economic class because of their psychology and their values. Each of the three classes has a characteristic psychological profile. For the lower class, it’s apathy. They have nothing, they’re ground down and they don’t really care. They’re not in the game, and they aren’t going to do anything; they’re resigned to their fate. For the upper class, it’s greed and arrogance. They have everything, and they think they deserve it - whether they do or not. The middle class - at least in today’s world - is run by fear. Fear that they’re only a paycheck away from falling into the lower class. Fear that they can’t pay their debts or borrow more. Fear that they don’t have a realistic prospect of improving themselves.” - Doug Casey
This is actually terrible and get inaccurate. This may be true for a teeny tiny subset of a specific area but this is not true for most people …
I think that explanation of the lower class is absolute ass. Material conditions at birth are the number one predictor of "success" in a society like the US where social mobility is difficult to achieve and often prohibitively expensive. A lot of the unexceptional (most of us) but driven people fail to launch or underachieve because they're fighting an uphill battle. Individual responsibility is extremely important, but it's not all.
My day starts with you.
I have started a bad habit in the past 6 months or so of eating out too much so I feel for them 😥 its hard bro. I like Katsu chicken! But I'm going to rein it in.
Love this couple. Hoping the best for them!!
I know James's numbers, but I feel like he was trying to say his rich life was the cigars and bourbon. I thought this was the core of Ramit's plan. Give the man a cigar! 🙂
Hmmm 😂😂
I think the idea was to get the alcohol and cigars out of fixed costs for both of them. To show them it's a luxury not a need. He has $300/month to spend how he wants- that was pretty much all going to cigars and bourbon before. He could still spend that on cigars and bourbon but would leave him with literally nothing else to spend for the month. He probably will still treat himself from time to time and that's ok, because the occasional cigar is his budget, but not $300/month.
I think this is why the guilt free spending needs rough line items. It’s not realistic if he’s addicted that he’ll immediately go to 0 when he already cut it by 50%
@@daniellefaith47 Right. Plus the health benefits of moderation.
I agree with it being eliminated. I don’t have a line for massages and pedicures. That is considered guilt free spending.
I was hoping they were going to say they had stopped all the guilt free spending, but I guess a little change is better than none. Mostly, I hope they change for their kids. I wish them well.
They said Harold's and Culver's sounds like Chicago area people :)
That is so much eating out 3 to 4 times a week $250 /week! If they only go out once a week they can invest $500 to $600 each month.
59:25 is the face of a man that just learned he needs to work until 70 just to get by in retirement, if and only if they are investing an unreasonable amount of their budget monthly for the rest of their working careers. These people are going to end up destitute unfortunately. It did not have to be this way.
And the husband was telling his wife that she was investing too much ($900). They weren’t lying when they said choosing a partner is one of the biggest decisions you’ll ever make that will impact the outcome of your life.
Someone who spends $500 per month on cigars and alcohol will not just quit it all because Ramit encouraged them too
No but they can lower the amount and move that spending into "guilt-free".
I related a lot to both. Thank you for sharing this. And for the tough love I needed to hear for myself!
Listen i hate to be that guy but i just dont think every financial behavioral issue has to do with someone's childhood lol
You’re right-it doesn’t apply to everyone, but it is a recurring theme among all the guests who have appeared on his show. And, if you asked your friends and other family members (I have) and it's very true, again not for everyone. 😃
@zora0109 oh definitely, but saying "do I feel like your dad, hovering over your shoulder and that's why you feel guilty?" No, he feels guilty cause he's an adult who eats out 9x a week and knows it's wrong lol
Whole Foods has $8 pizzas on Fridays ;)
4:14 WTF was that comment? You mean you would like to borrow in example 300k, get a doctor/lawyer degree then file for bankruptcy (also get 100k in CC debt, why not), and go straight to 100k+ job? You're mad, and then you complain about Caleb Hammer.
I'm not even from US and cancelling student loans don't make sense. Everyone would choose that route
@dorahmulinge3800 yep, as Caleb said recently, they will not take your degree when you fill for bankruptcy.
College should be mostly free anyway. It is a benefit to society to have an educated population.
Not to mention that our outgoing president was instrumental in getting the BAPCPA passed.
42:51 ❤
Whoo! Congrats for becoming a NYT bestseller!
I'm hopeful for them, so let me see how this episode turns out...I finished the episode, and I will simply say that this will definitely be tough life change for them both.
I'm concerned that they did not give specifics on the savings and investing in the follow-up, but hopefully they will have better updates in 6 months. Good luck to them.
26 mins in and upto the 4th advert... wow 😯 very add heavy don't you think?
Yea it's a lot
I dont get the grocery shock. Im a family of 3 and our grocery budget is $500 a month and we're usually under budget. I do track it. We shop at one store only and i save all the receipts, put them on the fridge, add them up and we are constantly under budget unless i have a rough month and im cooking less then we spend more on "quick food" stuff.
You all are in an emergency.
Great show!
Grats with the best seller, please turn down the mic.....its loud
Ramit, where do we get the shared couple CSP, i keep just finding the 1 household one, which doesnt always work please
As someone who truly grew up poor, it's hard for me to understand folks like this couple who consider themselves from poor family but don't know how cut down their expenses. One thing I learned from my poor childhood is getting by with almost nothing. I used to go out with my dad and brother to catch grasshoppers, frogs, fish, and etc (I grew up in 3rd world country). Now I have good salary in the US and live comfortably but when I'm in survival mode, I can get by $500 (or less) + housing cost.
not buying enough groceries and then spending way more on eating out is not really a wise move when you are deeply in debt. for the three of them, that can easily be close to $1500 in food each month which doesnt fly.
Ish, I know of someone who’s bank account was relieved of around 285k$ here in Canada. I heard hackers got in through a weakness in the system. Either way, he posted on Facebook that after 6 months of waiting, it’s NOT covered, meaning he won’t be reimbursed. Such a sad situation. You’d think that at least it’s safe in a bank account.
This is great.
I enjoyed this so much it's nice to see real people with average financial situations I hope they win!!
Hey Ramit, how do you feel about The Money Guy launching a new podcast that resembles your format? Compliment? Or copy cat?
I like the money guys but they’re not Ramit. He doesn’t have to worry 😊about
I think it's good to have multiple shows like this. Helps highlight different scenarios.
I dont see a resemblence. They are more focused on the happy ending and the process that got people there than helping people get there like Ramit
Hello Ramit first of all I would like to say thank you for your financial literacy education it help me a lot now am somewhere form 0 but today I really need your help I was a victim of scam identity theft recently and always it make me worry what will be next because I give it all my detail kindly if it’s possible try to help me to get a peace of mind how am I going free from such issues.
Bruh if student loans were bankrupt everybody and their momma would try to go bankrupt you know Americans are lazy as hell when it comes to paying off debt. 77% of Americans are in debt. 50% of Americans are married. So even with two incomes people still are in debt. 78% of Americans are living paycheck to paycheck. Again millions of these people have two streams of income coming in and still living paycheck to paycheck.
Bankruptcy itself should be illegal. Go to work and pay your darn debt off yourself unless you have an extreme disability and or medical issues preventing you from work you and only you are responsible for paying off your debt and if you're married it's both of your responsibilities. Accountability and responsibility are not curse words.
💯
Any updates on rescheduling the LA Book tour ? 😢
Don’t cry 😢 it will be okay sweetheart 😊😁😍
I think a lot of people underestimate how much they spend in groceries and eating out. I know I did until we started tracking five years ago. Just last month alone we had over 10 days with grocery expenses. Some was our weekly shopping trip, some was our mid-week shopping to restock on fresh fruit, once was protein powder delivered by Amazon and I always grab food from Target a few times a month when there.
Isn't HSA only for medical expenses to help with the deductible?
You can use the money in an HSA for medical expenses but after a certain age, you can use it as a retirement account.
I'm disgusted they make $ 150 thousand and won't pay their student loans. And Remit claps! I'm not republican but I resent the taxpayer getting the bill. Thumbs down
They’re getting forgiven, she’s not choosing to not pay them. She doesn’t specify but I’m assuming it’s public service loan forgiveness so she’s already contributing to the public and being compensated with loan forgiveness. Being on the side of big banks and student loan lenders instead of citizens is a very strange take to have.
@@rachels5245 It’s because they are being told people are getting something for free. They never come at big corporations that get bail outs from taxpayer money but let it be an average person then the crabs in a barrel mentality comes out full force.
Money for singles? No? Never gonna happen?
It's very important for me to help people in ALL scenarios. I have tons of material for single people in my Money Coaching program (iwt.com/moneycoaching), my IWT book, newsletter, social media, and my Thursday RUclips videos. Thank you for watching
@@ramitsethiis this show only for couples, would love to see some single people featured. Love the format.
Come on Ramit. If you could discharge student loans in bankruptcy everyone would do it as soon as they graduate. Maybe if you can’t afford the student loan then don’t get it?? More financial literacy should be taught in highschool and colleges shouldn’t accept people if they are taking out certain debt amounts. Scholarships should be financial based not race based
Do research. Check your elitism and socioracial economic ignorance. Research racial inequality, poverty inequality, educational debt numbers, bankruptcy discharge numbers. You comment with such ignorance. Like seriously check your ignorance at the door.
@ no you are ignorant. Continue being racist and judging people on race. There are poor white people as well you racist
@TJrules299 the only ignorance is that of the people who choose not to educate themselves about finances. There are plenty of community colleges for a reason
@@TJrules299It’s not ignorant to disagree with someone. It’s also not elitist to want people to be responsible for paying off the debt they sign up for. Last time I educated myself, Democrats made up more of the “elites” than Republicans.
@@TJrules299I grew up in another country with no knowledge of the financial system here. I’m not privileged in that sense. I often bristle at the notion that unless you’re rich and white you should have no accountability for your decisions because you’re too ignorant to know better. Low expectations shouldn’t be there for people with student loans who presumably used their student loans to get higher education. I think there should be limits to how much can be loaned or how much interest should be charged or which programs should qualify for loans even, but none of that changes that people can be responsible for their decisions.
Cancel cigars and alcohol invest that or use that for debt payments.
Please make video like this
👍
Too much swearing 😮😢😭😢😮🥶
How she thinks her student loans will really go away. Not according to general information. Good luck.
It’s most like public service loan forgiveness which is a long standing program. She’s not just making that up.
The answer is yes it’s too late. They have nothing saved for retirement and eat out 30 times a month and one of them is 45
Hey Ramit what’s your beef with Dominos? 🤨
Junk food is expensive and bad for your health?
Poor quality
@@aname5267 It’s not real pizza. I’m from Chicago. I know real pizza lol
If you are going to bag on republicans then you should also bag on democrats for the raising prices and rising costs of going to college. Thanks Democrats
💋
Lol Biden’s admin handled inflation the best out of any major country in the world. There are plenty of things to rag on democrats for, yet republicans pick the one thing they did well because Fox News convinced you it was an issue.
🎉🎉🎉
How are they this bad off when they make so much money?
Did you watch part 1? Bad habits on both ends then moved in together.
They explained exactly how?!
Jeet