Dave Ramsey

[Designerenvy]

"The Total Money Makeover ".... has it worked for anyone ?
I'm reading it, I was very excited at the start but as I'm nearing the end, I'm starting to think this is impossible, without giving up ( the few) luxuries we have!
I've always believed, live for now, enjoy now but work a bit towards your future. However, Dave Ramsey is all about sacrifices now for a wealthier future, .what if you don't make retirement and all you have to show for it is a life of scrimping and saving ?
I like his idea of €1,000 emergency fund and snowballing debt, but I'm in not prepared to sell ( my few) worldly possessions to do that .
The longer term emergency fund €10,000....I'm not sure I could leave that money rest there, if we lived hand to mouth trying to fund it ????
You need a quality of life now too ?
Then the retirement fund ? What about now ?
I think I'd rather save a bit towards the kids college / car expenses when they're older than a retirement fund but he puts retirement first.
Anyway, I've decided to.take some bits from this ( small emergency fund and snowballing debt) but I will think a bit harder about the rest.
What do ye think, if ye have read his work ?

I agree the prospect of three years or more eating only beans and rice and cutting coupons out of papers sounds extremely grim. On the other hand I think sacrifices are worth it if it means financial freedom later. Debt is expensive and a horrible burden and worry. I think he is right really but not many people have the strength to see it through.
I particularly like his view of car loans and have changed how I think about them.

Charlie, unfortunately I'm reading this a month after I've financed a used car , but I've changed my mind now, a little late but good for the future !
Yeah, I'm not sure I'd have the strength to forfeit my car and the few day trips we do as a family, I think a balance is needed, cos I know I'd be miserable if I couldn't have the odd day out now and again and that would make the whole family miserable.
I think it would have been much more doable, if I was enlightened in my 20's.... no kids, no responsibilities ....then it may have become a way if life. But at 45 with 3 Dc's, it's tougher to change without impacting on everyone in the family .

But I'm definitely going to do steps 1 and 2 ( at my own pace ) and who knows , I might be hooked after that

I would struggle with no luxuries at all to get us through the monotomy of life!
I may give this a read though so that we can pick up a few tips!

We've been following DR to clear our debts, bar 1 small thing: we're tackling the debts by interest rate rather than size. I'm fully ascribed to the philosophy, and it's hard not to agree when you run the long term numbers.

In the past 10 months, we have cleared about £30,000 debt. The loans that we wouldn't have cleared until 2025, and were delaying our ability to have a child, will be gone this November. When I look at what I will achieve with my retirement savings, it's astounding.

I think it really boils down to your total debt and the interest rates. Really, you're chucking away money every month to service them and that's limiting what you can give to your kids and your future stability.

Have you run the numbers on where you'd be in 10 years with DR and without? That was the decider for me, we were up about £100k in total assets doing DR!

Nightgarden , that's my biggest hurdle too ! There are some very impressive real life stories in the book, from people who were in a lot more debt than I am, and earning less than we are, and they turned their life around. Very inspiring to read by do much more difficult to out into practice.
Spacecraft, tgat sounds amazing , clearing thatt debt in 10 months !! Hats off to you !
I will sit down and work out a 10 year projection with and without DR .... thanks A mill , you're story is very encouraging and inspiring!

Sorry for all the typos!