I’m Bitter That I Can’t Afford A Home

brought to you by the every dollar app start budgeting for free today so i'm a younger millennial and i guess being a homeowner feels so unattainable for me in a reasonable amount of time due to my current debt expenses and cost of living um and those are mainly my student loans child care and rent so i'm happily married with one daughter and another on the way and we're slowly running out of money and room in our current renting facilities so just looking to see what options i have to meet my goal of being debt free and also you know a homeowner and like we're not 45 years old how old are you now i'm 28 okay 28 years old you're about to have two kids what's the child care cost yeah um monthly um right now just for one it's 1500 but in october it's gonna be three grand we're gonna stick i saw a comedian recently say that if he had just landed on planet earth and seen a video with no sound of them storing the capital um he would have thought surely that was about the child care cost it's like i got that would track it's so expensive well okay i hope you have a strong household income you got two working people here yes my husband and i are both engineers wonderful what's the household income um we take home a little over 12 grand woo that'll knock out some debt that'll save up a down payment real quick here's the thing i think you want to do it all at once uh yeah um unfortunately because we're both engineers we both got stuck with student loans me more mainly because i was 18 years old just went to college didn't think anything of it it was a private school and those loans were pretty hefty how much so um what's left well what's left is um 100 000 i just went under 100k okay i'm sitting next to a guy who happened to pay off 100 000 student loans can i tell you caitlin so here's what i hear in your in your voice i hear anger and bitterness like just frustration is that true yeah at who um honestly i don't even know who i'm angry at because i can't really blame myself for being 18 years old like i wanted that degree um but i just feel frustrated because like i've been told you know if you do everything in this order things will work out and here i am 10 years later and nowhere near being a homeowner and so i'm just like angry that i can't get what i want essentially there you go so once you once you take that level of ownership i think i get that i don't blame the 18 year old i just signed the paper i don't know um but also i don't have to take blame as much as not by my hand but in my lap like i gotta take ownership i signed my name here we are yeah and what i would tell you is any energy any energy you spend being angry at this amorphous of them the people who told me this that this it's just energy not going to your family and not going to work it doesn't solve anything it's just it's a decision to make your present miserable the best thing is to get a plan and roll out of it and what i would tell you is having been there i um i sold my truck and i sold my house and i moved my family to a residence hall and i know not everybody can do that i'm telling you i had a toddler and a we were trying to work on um a second kid and we sold everything just because we had to get i was sick of it you have to get radical in terms and let this and by the way i was an associate dean i was a professor my wife was a professor we had fancy jobs just like you and your husband everyone around us looked fancy all you have to decide i don't care what it looks like i don't care this quote unquote what i think i deserve what it's supposed to be i just in two years i want this gone what must be true in our life so this is all gone in two years is there a different um child care place is there a teenager who can come over here i don't know what the world looks like where you live but how radical and obnoxious borderline insane can we get so that this goes away yeah so um when we were looking for daycare we were kind of trying to be financially responsible and um in the pittsburgh area it can be as low as 1,200 but as high as 2,000 for child care so we went up at the cheaper facility and they forgot to feed my daughter so went into overdrive and like really did digging and we found like a median facility so like um we did we definitely did try that the first go around that's cool but here's what's important though can you exhale that you made a choice yeah i'm half your daughter it's too expensive it's so expensive so expensive and meanwhile hasn't made a choice and it's the right choice i'm telling you i'm applauding your choices as a parent george is just right here too we're both plotting your choice you did the right thing but we made a choice we want our daughter to eat every day so um the choice is we're gonna spend 1500 bucks a month yeah what's your rent um 1800 wow that's amazing for your income so what would it take let's say you rented a bigger place if you needed it what's that gonna cost a reasonable place nothing crazy what would that be rent too so in the pittsburgh area most places for rent that we're seeing that's bigger than what we're currently living in it's probably 2500 ish okay that's still very reasonable for your take-home pay are you guys doing any investing right now retirement plans elsewhere definitely 401ks um how much again um is it percentage i think i think i just do whatever my company matches um probably like five or six percent what if i told you you could be let's say debt-free in less than 18 months have an emergency fund a few months after that begin saving up for a house and probably have that down payment in less than a year at that point so we're talking three years total you were in the house of your dreams completely debt-free with an emergency fund yeah that would be great now the question is what are we willing to do to make that reality in that period of time and part of that is you guys are a young couple making amazing money and we can pause the investing right now because we're gonna get back to it with a vengeance and instead of four percent we're gonna be investing fifteen percent and that's just until your house paid off which is gonna happen pretty freaking quick when you're making 12 13 15 grand a month at that point with no debt except for the mortgage so you see how this the ramsey baby steps kind of unfurl as you get momentum but most people understandably go i want to pay off the debt i want to save up for the house i want to invest in 401k i want to have xyz lifestyle and it becomes very difficult to accomplish any of it yeah it's tough to do it all yeah can i take this too that was shocking to me how much combined income that you and your husband have uh 12 000 like a little over 12 000 okay on an annual basis oh like um you mean like yearly yeah what's your 50 to 60 okay yeah didn't we all hear a story that if you made a quarter million dollars a year that you never think about money you worry about it i know i i like whenever i got my new salary i was so proud of like how much we make as a couple and then once we look at everything we're like wow we are nowhere near where we thought we would be with this okay that's the feeling yeah and if you take that feeling and start spraying it all over your neighborhood and your city it does it doesn't accomplish anything i know people who cross that million dollar line they cross that first seven figures and they thought it was gonna feel a certain way and it doesn't and it's so frustrating i thought i would have to think about this and the school calls and the car break like i just thought i thought i thought let's just traffic in reality get this thing knocked out it just it just is what it is what it is i'm gonna choose optimism and a plan george gonna lay out for you other than just anger and bitterness and by the way i know that people pulling up next to you in the parking lot some of them know what you make or have some ballpark and they're like why are you driving that can you believe she put a kid in that daycare exactly exactly so okay hang on i'm gonna send you a copy of my book breaking free from broke two specific homework assignments number one read the first chapter it's pretty much what you said verbatim so it's gonna let you breathe and go oh my gosh someone gets me then read the margin is breathing room chapter there's like 20 things i've gotten there to make more and spend less that will lay it all out do that in the every dollar budget with your husband go oh my gosh we're sitting on five grand a month that we can throw towards the set we can do this in two years this is definitely possible and you're gonna leave with hope and practical plan to read that book so hang on we'll send you a copy of breaking free from broke we are wishing you the best thanks for the call create your free every dollar budget today the simplest way to budget for your life