brought to you by the every dollar app start budgeting for free today i'm wondering if you would recommend cashing out principal in a rough ira to pay off that not unless you're bankrupt not a paper that that because it's going to cost millions and millions and millions of dollars in tax free growth later because you didn't address the real issue so much that if you got what's the problem uh... we have about uh... well we bought a new house last summer and use we have a key lock from that at the pk and we have a retirement loan about twenty eight k uh... to the four one k uh...
i'm trying to take out the four one k retirement loan first we've been paying that down probably like four k a month uh... i'd say that we have fifty thousand twenty four thousand of the data we got uh... we've got a car loan about uh... thirteen k got credit card data may be and i think they and then we've got to be we've got to be able to have a statement we have what we have for a reason that we have a better living can emergency that let me get it currently and then uh...
i i want principal though is uh... the question is really about the ruff principal to understand the question i'm still telling no completely but i did what's your household income we make about eighty three uh... or eighty three hundred about every two weeks okay y'all twenty seven now where before you or e okay miss that one all right uh... so mike in doing what we do here helping people walk out of debt and become wealthy was the shortest is between where you are now and well if it is to become that free not by destroying your next day that's gonna make you wealthy later and so that's why i keep coming back to know i'm not doing that uh...
so in listening to you you're fairly new to our information uh... so you know what we teach is a process is very detailed and uh... and very intense and dialed in like eyes wide open so if you start with a thousand dollars savings only not counting your retirement you temporarily stop all retirement and then you go to what we call a baby step to a list of that's smallest of largest of everything but the house in that order with great focused intensity anything you can do increase income and reduce that as fast as possible because the sooner you've got rid of this hundred ten thousand the sooner you now have flex called you now have your income to create the uh... which is your largest well-building tool and right now you've given it all away to all these two things you bought the chicken afford but one of the question i have you know i have you know pre-tax retirement that i would be put in nine hundred thousand at this point uh...
but that's why i'm feeling like a rock i mean i'd appreciate the tax-free growth for sure and mike and i think that it would have been like that the guy in your mirror is freaking lazy and disorganized with his money that you have to take care of your vehicle if you want to keep it on the road and the smartest move is regular maintenance i recommend christian brothers automotive the official auto repair partner of the ramsi show your local christian brothers shop provides high-quality maintenance and repair services you can trust visit cbac dot com slash ramsi to find a location near you and get an exclusive ramsi discount of ten percent off your visit ten percent of two two hundred fifty dollars value to store for details the guy in your mirror is freaking lazy and disorganized with his money that you that's not gonna be fixed when you take that money out of that rock and all of this freaking that's gonna grow back in five years because you've never addressed the fact that you all over spent you're looking for a quick picture looking for a shortcut and that is not a good plan i would stop adding to your retirement and you've got to address the misbehavior you don't even know your numbers also kind of maybe i think is all the language around your numbers you don't even know where you are you just wandering along buying crap and you know you have to stop that whether you crash out your 401k or not if you can afford to live off of what you told us two hundred thousand dollars in take-home pay i don't think we can help us eighty he said eighty three hundred every two weeks all i heard some going to do that make too much before all this debt again that's even worse and so those numbers are true you're right the behavior is not gonna change you're gonna keep robin at four one day every chance you get because you guys are living a lifestyle you can't afford so my hope is to offend you enough to make you look at this i love you know if i want you to get mad at me that's fine with that i'll piss you off just a little bit and make you grow up and sit down and go i'm running this thing this company called me incorporated very poorly if one of my vp sat down and use the language about their budget and that one of our profit centers the way you've discussed your home i would fires but for being incompetent okay you don't know i think i got sort of kind of bull crap you know exactly and you guys need to get focused you make too much money to be this broke which all have been intellectually lazy and how you've addressed your personal finances if you'll if you'll roll up your sleeves attack this and get get some muscle tone to what you're doing it's intensity what you're doing you can clean up this mess in about a year and a half and not have to mess up everything uh... but if you don't you're gonna make a bigger mess later because there's no in between in this discussion there's not a there's not a mediocre landscape uh... because you guys are consistently added to the problem and until you stop adding to the problem and being people that do that you're gonna create more messes that's what comes down to folks out there listening land this is why that consolidation of doesn't work and this is why when you get an inheritance from your grandmother and you clean up everything and four years later you're back to same mess because your habits haven't changed your household processes have a change you've got to address what is wrong with our systems and our hearts and our relationship that's caused us to get to that we can run up these debts with this kind of money but we feel better because we the junk drawer we cleaned it up i put it on one bucket and so it had a look at that it looks better and feels better except now you still got the same mountain to face and you can't get snowball it so that consolidation is scary because it makes you think you solve the problem yeah and you didn't change the habits and so eighty eight percent of times i'm going to get a consolidation line they're back in debt within five years nine and ten times because the debt is not the problem it's the symptom of intellectual laziness immaturity uh... no good systems uh...
bad discussions with or no discussions with my spouse or on the same page it's just that is the symptom it's not the problem and so when you just address the symptom expect the problem to stay there and the system will grow back that simple if you're going to get odd dandelions out of your yard you can't just cut them with a lawn mower if they take them out of the freaking route or they will grow back create your free every dollar budget a day the simplest way of budget for your life