Taking Out 3 Stupid Car Loans With 25% Interest Rates While Having No Money

28:47Cash App and Out$5. Water Burger. And what is the... Oh, the Snap-On Credit was the thing you were paying off. Okay, gotcha. That's paid off. And The Bolton Services. and Raising Canes and Headhunters and Snap and Johnny Estes. That's the macro I'm paying off on. Oh, okay. And Chick-fil-A and Wendy's and McDonald's and McDonald's. And you got some more tools. And Apple Cash sent out$30. Who knows where that went? New Creation, Raising Cane's, Dutch Bros, Whataburger, South Plains Lanes, and Whataburger. So, yes, you do not go absolutely crazy, but you eat out twice a week. I stop doing that. And if I do, it's...

29:36I'm making sure I still have enough at the end of the month. Well, no, no, no. You have enough at the end of the month because you have$550, but why are we eating out at all when that money should be going to 25 % death debt, right? Yeah. So I want to know the logic from the mind of not knowing much about personal finances, which is totally okay, by the way. And good job being here. And, you know, your friend convinced you to come on. Like, you're taking the first step. Like, it's absolutely fantastic. You know, I definitely want to praise you for that. But what was your logic at the point of, okay, I have terrible debt.

30:11Let me go to Whataburger. The only way I could explain it is that I was hungry. Okay. And you don't know how to make a sandwich?

30:23I do, but it's just I don't think I had any groceries for that month, and I just decided to eat out. For that month? Have you ever thought about that crazy idea of going to the grocery store? Yes. If I do eat out, it's not a crazy amount that I'm spending on eating out. the fact that you went out to eat it all though the logic behind it well you have the 25 death debt that you could be paying off quicker if we prioritize where the money was going do you get that is this coming through oh yeah okay because you just try to justify it by saying you didn't eat out much and you didn't it's only a couple hundred bucks but imagine if that couple hundred bucks was going towards that's almost doubling doubling your minimum monthly payment on your 25 % interest car.

31:13You're paying it off twice as quick. And then you have subscriptions. Looks like some annual subscriptions that came through. We don't really want to have subscriptions unless they're benefiting us necessarily right now at this point. Going out to eat, that kind of stuff. So, yeah. Now, you do have a high-yield savings account with American Express. I am happy to see we have$866 in here. It's not much. I did add a little more Good what's it at? Right now it's at$1 ,066 Again Not much for a savings Certainly not an emergency fund But that is you making the step Towards at least trying to have something Which is great So definitely high five for that I will say This doesn't make the biggest difference in the end But I just got to give it a call out Because I personally use them And everyone always asks what I use You're getting 4 % You can get 4.3 % with SoFi.

32:12I use SoFi. Link in the description below. Get bonuses up to$250 when you sign up. So, I mean, that's pretty good. But 4%, I'm also happy to see that. So nothing to stress about with that. Is that it? Is there anything else? That's it. You said you also have an investment account. I'm guessing this is a 401k Roth IRA? It's all part of the Acorns. It's a Roth IRA. How much is there? Can you open up your acorns real quick? It's not that much. That's okay. We just want to get everything down on the paper and see where you're standing. And I'm glad that it was just like five bucks here, five bucks here.

32:53It wasn't crazy. You're starting to do something. So yes, in your IRA, basically$200. And then in your traditional investment account,$300. so we are going to stop doing that for now because you're not getting any kind of match through a company so even if you're getting like the S &P 500 historical returns with dividends reinvested of just over 10 % that's still getting absolutely obliterated by your 25 % interest rate debt so if we pay off that 25 interest rate debt we immediately get that 25 % return on the investment of the cash you're putting towards it which beats 10 % any and every day.

33:33So we're going to pause this. And there's really no point of you having that traditional one open. I would just put everything in your IRA, especially if it's a Roth IRA because that's at least growing to the point where you can pull from it without having to pay taxes on it when you retire. But we can't do that with the traditional. But of course the traditional you can pull from penalty free, but you will have to pay taxes on it at some point. Okay, going into this, man. How much do you care to get out of this situation? Like, where are you on the scale of just ready to get your shit together and live a better life?

34:10I'm ready. Yeah? This is a year where I'm trying to just step it up. It's going to be more than a year. Yeah. Fair warning. Well, I have a plan for next year. Let's hear your plan before I do my plan. Move back home. Really? Yeah. Very interesting. And I mean, obviously, there's automotive opportunities in the Dallas area. Yeah. So no issue there. Specifically just to save money or just want to be close to family as well? It's both. Good. When's your lease up? So listen to this. I'm actually under a contract at my job. So I'm technically not allowed to leave until that contract is over. Which is?

34:57which is in September February of next year that's not bad that's fine if it was for a couple years I was like okay what does it take to buy out of well yeah I completed a whole year there already and you know the first year I moved to Lubbock I was like oh my god I've got a big boy job let me go ahead and just start spending and that's what happened so I'm trying to get myself out of that hole well yeah we'll get you out of it so So you're going to be here until February then, or there until February. Yeah, pretty much. What's your rent right now? Let's build your budget. My rent right now is$6.50 a month, not including utilities.

35:36Then utilities, what do you pay? Roughly estimate a month, I'm paying$7.50 a month on utilities and rent altogether. Oh, okay. So an additional$100 for utilities. Wow, rent's cheap over there. That's nice. Oh, I got a roommate now. Even still. So, but that's good. Let's add up here minimum monthly debt payments. This one's about to hurt. The only good thing about the long-term links with these is the minimum monthly payments aren't going to stack up, and it will help us attack certain things quicker, but that's not what we want to do in general, typically.

36:19Yeah, this one's hard for your situation. Minimal monthly payments for dad, dude, is$1 ,072. Now, I know your mom gives you some money, so we're going to put that into your income situation. But this is included in your budget. Technically, she only gives me half of what the car monthly car is because I'm pretty much paying for insurance as well. And then my phone bill. So it's not she's not giving me the full amount on the car on the car payment. She's only cutting it in half, and then I pay the other half. Because she's pretty much paying for my insurance. So that's what she takes. She's paying the car insurance?

36:59Yeah. Okay. And my phone bill. So you do not pay for car insurance at all? No. No car insurance. Okay. Do you have health insurance? Is it through work? It's through work. Good. Which is taken out before you get your net pay. So that is good. Congratulations. No more Whataburger. I am putting, let me say this, I am putting$50 into a Christmas fund every week. No. Absolutely not. I'm sorry. Christmas is canceled. Well, I do get that money back at the end of the month, or I could request it whenever I want. What do you mean? Where's it going? It's going into the Christmas fund that my job has set up.

37:45Cancel that. That's stupid. We're using every single cent right now to get you out of 25 % interest rate death. Okay, so. Again, congratulations. No more Whataburger. No more endless fries. Doesn't exist. It's been canceled. You are spending$300 a month on groceries. Not a cent more. For toilet paper, toothpaste, all the good stuff needed to run your household and life. $100.

38:23Gas, you spent about$150. Does that seem normal for you? Yeah.

38:31Obviously, that changes with price, and you adjust your budget accordingly for where the price of gas is, but we're just trying to get an idea of where money is left over. Renters' insurance, probably$10. I don't pay that That's illegal Pay that Well I think it's included in I think it's included already No It's not Download Lemonade or something that's what I used Download the Lemonade app Get yourself some apartment insurance It's against the law My roommate takes care of that The apartment's under his name You need your own rentress insurance I think he did set me down for it you're not on the lease at all I'm not on the lease they didn't approve me right alright when I first moved they did approve me when I first moved to Lubbock I was living on my own they did approve me at that time but I guess this time they did not want to except because of the collections do you have any medical issues no any mental health issues no Okay.

39:42So we don't have to take those into account on a monthly basis. I encourage everyone to do therapy, but that's... Well, you know, I get depressed here and there, but that's why I hit the gym. Okay. Yeah. I'm definitely... I'm sure you want to swap financial places. I want to swap physical spaces over here. I would love to get rid of that dad-bought life. Okay. Any other minimum expenses that you can think of in your life? No. Subscriptions do not count. you are canceling them all. Okay. What subscriptions were you talking about? I don't know any subscriptions. Do you have Netflix or Hulu or anything like that?

40:19Okay. Okay. Yeah. Done. Done. Gym. You pay monthly for a gym. How much is that? $15 a month. Not bad. And obviously we're certainly keeping that up. That's something we would never cut. Cool. So I think this is your budget then. $650 for rent. $100 for utilities. Debt$1 ,072. Food,$300. Total paper spending and everything else needed to survive the household. $100. Gas,$150. Gym,$15. Anything else you can think of? Last call. Are you including everything I'm paying off as well? Nope. We're about to do that separately. Okay. That's just your minimum monthly debt payments that we had in there at 1 ,072.

41:04So minimum in order for you to survive, survive would be$2 ,387.

41:15I want to get a more accurate number on what came in. It's$3 ,060. $3 ,060. your needs which is two thousand three hundred eighty seven dollars is rounded up eighty percent of your income your needs so because you've probably never heard of these things um 50 30 20 rule it's a relatively easy basic rule you know if you want to start thinking about taking personal finances seriously of the money that comes in 50 is the cap of your needs. Everything that you need to survive, living, food, all that stuff, is cap. 50%. You should aim then for 20 % going to savings. Investing. Mostly investing, but you can also save for, you know, do that as an emergency fund, getting that towards your emergency fund, and getting that towards a house as well.

42:10Then wants when out of debt could be 30 % of your income. And that's your unlimited fries that you love and adore. You're not in that situation yet. But again, your needs, 80%. 68%. Bustwood, the boys is here to let you know that every college football Saturday, FanDuel is dropping profit boosts that can turn wins into bigger wins. Sounds like we should rename Saturday Booster Day. Nice. 21 plus and present in select states. Opt-in required. Bonus issued is non-withdrawable profit boost tokens. Restrictions apply, including any token expiration and max wager amount. See full terms at FanDuel.com slash sportsbook.

42:47Gambling problem? Call 1-800-GAMBLER.

42:52Your income. Okay, so of the$3 ,060 that comes in at the$2 ,387, you have$673 left on a monthly basis. That is what's left. With the$1 ,066 that's sitting in there for two months, we're saving as close as we can to$2 ,387 in your high-yield account. That's what you're doing, because you're following this budget and no money is spent outside of the budget. If you want to have fun, your friend can take you. If you want to have fun, go on dates. They can pay for it. there is no fun money that you are spending. You can go have fun for free, but you are not spending money. I'm not going to give you any wiggle room.

43:28I've started to give some people wiggle room. You get no wiggle room because there's not a lot of money left over as your needs are 80%. So you get to that$2 ,387 in your high-yield savings account, and then boom, you have a one-month emergency fund in case anything happens. So that is two months. After that, I think we're going to let the collection sit for a bit. what we should do. I think we attacked this in car. Okay. The car situation with your mom, you're not going to like this. You are not going to like this, but this is what you should do. And we'll do if you want to better your life. She takes out a car loan to buy it from you because your future matters.

44:13And she's a big girl. She can take care of herself. and if it this will not be what makes or break her getting a house it will not be well she's the only one working right now and then we have brothers and sisters well my sister you know she's 19 but then I have two younger brothers she's still paying for it through you so she can afford to do it and then take on your own car insurance it's time to be a big boy okay Time to do the hard things because your future matters. It matters. If I'm not able to convince you that your future matters in a way where you deal with this most basic thing, then there's no hope.

44:54There's no hope, flat out. Like, what's the point? There's always hope. Okay. All right. I mean, come on. Are you not willing to do this? The most basic thing necessary to improve your overall security and get that debt out of your name? 13.06 % that's the plan but she's trying to get a house like I said I think that comes first this should not make or break that what's her income it'll change her debt to income ratio but

45:31what's her income into the mic please about four grand a month and you said she's the only one making money is your father with her or does she have oh my dad is disabled okay does he get disability yeah but it's it's not that much no it's not that much but she's trying to get a house in the dallas area that's gonna be hard in general but in the outskirts of dallas and she yeah okay i'm trying to be a little flexible we just don't pay attention to that right now pretend And it's invisible other than making the minimum payments. And then the moment she gets that house, moment she gets that house, she takes a loan out and buys the car from you.

46:18And that is not an option. Okay? Yep. From your situation, okay. The credit card,$45 a month. Well, it's at 18%. Anyway, I'm trying to think if the avalanche method makes more sense for you or the snowball method. I think psychologically the snowball method will help you. Avalanche method is we're paying off the highest interest rate debt. And mathematically speaking, that lowers the amount you pay in the long term versus doing the snowball method. But snowball method does have psychological benefits of seeing that you're making progress. I think with the$675, the credit card starting in month three at this point, two and a half months, the credit card's paid off.

47:03Credit card's done. No more credit card. That's exciting. Yeah. Then cut it out because you're probably not a card person either. Nope. What do you, I don't think you added up the macro box on there of what I owe left. And I did send you a screenshot of it. Is there another one? There's another debt? I said, is there anything else? Yeah. You said no. Well, I thought you meant utility wise or basic needs. No, in our debts I said, is there anything? So there's more tools besides the 9 ,500. The tools is paid off. I did send you the Maco box. You said you owe$9 ,500 for something. Is that this one?

47:43Yeah, I believe so. Okay, so we do have that included then. Okay. Confirmed? Confirmed. Oh, sec. Okay, very good. I just wanted to show you. This is a different number and different minimum payment, man. Is this something different? It's the same thing. It's just on my credit report, it shows differently. but this is i don't know why but this is what this is what i owe right here okay so you owe seven thousand six hundred eighty three dollars on this minimum payment not 180 72 45 so your budget gets slightly adjusted for that well the monthly payment is like 40 bucks a week it says minimum due 72 45 that's that's that's because i'd missed a payment earlier you told me it's 150 no the thing is it doesn't show till the end of the month that i have to pay it off so yeah so roughly it's around 160 bucks a month that i have to pay off for the box the toolbox doesn't change the situation that we're talking about now but okay so 6 and 93 is left over the way the credit card is what you pay off after two months two months, you get yourself to a one-month emergency fund, then you pay off the credit card by putting $693 on a monthly basis for two and a half months, okay?

49:08So we're four and a half months in, yes? Are we on the same page? Yeah. Okay, cool. So from there, you get an extra$45 now in your budget because a$45 minimum payment on your credit card does not exist. So$693 plus$45, you now have, woo,$738 that you can put towards debt. And you're not using that to go get unlimited fries. So at four and a half months in, let's call it just for the sake of wiggle room, saving up that two-month emergency fund and just getting into the habit of things. We're five months in. On the sixth month, where do we go towards next? We're leaving the collections for now. Student loans with where they are.

49:48I think we go and we hit the tools. $7 ,683. It'll be a little less of the time, but just for simplicity. divide that by$738 I think we know where this is going it's going to be about 10 and a half months 10 and a half months of that does that make sense so far? so we're 15 months in 15 and a half months in we'll give us a mugger room, say 16 months in and you have the credit card done, a one month emergency fund, and you've paid off the death tools cool with that so far? it's probably taking longer than you expected, right? yeah, because you do not have money so what I also recommend through this process Work some side jobs, dude.

50:28Anytime you're not working, go work and make money. Bring it in because that cuts this process in half, if not more. What? What? What possibly? Go on. You know, I'm honestly, I already work 50-hour weeks, so I'm trying to get that. Congratulations. You're working 70 now. What matters more, your debt or that? No, I'm just trying to get that pay bump, and then I enjoy my weekends off, you know? Congratulations. Do you enjoy 25 % interest rate debt? The thing is, it's very hard to find side jobs on the weekends. Coffee shop, Uber Eats around campus. Man, I'm not going to put miles on my car. I've tried DoorDash.

51:15I don't like it. What don't you like about it? I don't like putting miles on my car. I don't. So you don't have. I'm not going to do that. coffee shop Jimmy John's Subway something McDonald's I don't give a shit bringing more money dude you simply double the$738 that you have left on a monthly basis and the situation gets cut in half you realize that? yeah that's chill dude work a couple shifts on the weekends it's simple okay 15 and a half months 16 months again just for the sake and you now have an extra$160 left on a monthly basis. And hopefully you will have gotten a raise during this time or anything.

52:00Well, 15 months. Okay, so this is where it gets complicated. Because in 15 months, you're maybe home now with a different job, with a different income. What's the job situation going to look like there? Are you going to do the same thing? Oh, yeah. Okay. So income will probably be pretty similar. No, it'll be higher. In that situation, hopefully we can really start moving things because the rent of 650 is gone. Utilities are down. You're living with mom and dad, right? Very cool. From there, anything and everything you have, man, just gets thrown at your car. Anything and everything gets thrown at your car.

52:44And you pay that off as soon as you can. If you have an extra$1 ,000 a month, maybe$1 ,500 a month at this point, you know maybe takes seven to ten months so we're you know we're like what two and a half years now bj's wholesale club makes holiday hosting so easy we called in the ultimate host to talk about it mrs claus here you think santa has it tough delivering all over the world try cooking for hundreds of elves good thing bj's offers low prices on all the menu must-haves plus free same-day delivery on your first order of 100 or more no more squeezing in trips to the store The only squeezing here is the big guy into a suit after dinner.

53:20For terms, visit bj's.com slash holiday and get the same great prices online as in club. Something like that. And that's going to be a big help without those extra expenses and potentially more income. So that's going to be good. It's going to be good. Yeah, it's hard. And I'm not very optimistic from this conversation, I'll be honest, but that's okay. hopefully you hopefully the way the reason I dig in and go so hard is because I want to make you understand the severity of the situation because so many people come in they're like yeah this is bad or yeah this isn't good but it's not that bad either no f*** you it's bad so that's why if you fully realize how bad it is that you're willing to actually go sacrifice and do turn your life around from there you probably have the$6 ,000 to your student loan debt is probably higher than 4%, I would pay that off as quick as possible.

54:13And then I would do minimum monthly payments on your 4 % or less interest rate debt until it's done. But if you want to keep the momentum going, you can just pay that off too. I think it's going to be about 3.5-4 years depending, this whole thing. And that's with you moving home and having slightly more income and not having the rent. So, let's try to get that to like what did I say? What did I just say? 4-5 years? You did say 4-5 years. Let's try to get that to like 40 years. Yeah. Three to four. Well, let's try to get that to like two to three then by going and working, making more money, man.

54:45Somewhere else. You don't need weekends right now. You don't. It's Lubbock. What are you going to do? Roll around in the sand? Get stung by a cactus? Come on. It doesn't matter. Go work. Good one. I know. I'm hilarious. Go just work your ass off, man. because if you can get this taken care of by the time you're 26, you still have the times on your side for investing 20 % and becoming a millionaire, multimillionaire by the time you retire. That's great. You stretch this. And remember, everything I just gave you is the sacrifice version. You don't sacrifice. You stretch this to 10, 15 years, man.

55:25Then your retirement's in serious doubt because you only have$1 ,000 in there at this time or whatever it was. No, it was less than that. It was like$500. So at that point, you're dying on the Walmart floor because you never had compound growth on your side. You never had time on your side. So that's why I say give up your weekends now so you can have a better life. It's as easy as, well, it's easier said than done every day. But the overall grand scope of it is as easy as that. Now it's just you and you determining whether or not you're actually going to do that. It's your future. It's your choice.

56:02No, that was my plan to get a weekend job. And I'm still kind of in the search, but I kind of laid it back. So I'm going to get back into it. Yeah, and just take anything. It doesn't matter. It doesn't have to be a dream job. Get the one at first, and then while you're in there, look for the one that's better, and then take it when you can. But you just need to get more income right now because just the extra few hundred bucks we have to put out, it's going to take too long to make progress. Yeah. And this is with you cutting back on everything. Now, on the optimistic side, if you do this three, four, five years, whatever it is, because your living situation is going to change.

56:37We don't know what things are looking like there. It would be much more concrete if I knew you were staying there or where things were going to be. Either way, at that point, then you fall to 50, 30, 20. When you go get your own place and everything at that point, all your needs combined, never more than 50 % of your income, you're always investing 20 % of your income. whether that be maxed out on a Roth IRA, someone a 401k or Roth IRA, and then into like a individual brokerage, depending what the workplace offers. How much would I put into savings? Well, savings for what? Oh, actually I will say that.

57:07Sorry. Hopefully this doesn't confuse you. You can watch this back and see it. I did forget after you pay off the debt, you need to figure out what it takes for you to live for six months and save that up. Remember we had a one month emergency fund. Yeah. You're bringing that to six after all the bad debts are paid off. or if it's below$10 ,000 because you're living at home, you're doing a bottom of$10 ,000 just in case anything medical or car-related happens because those tend to stack up. Does that make sense? And then savings for other things like houses and stuff. Just saving in general. Yeah, so just savings in general?

57:42Yeah. Well, what is it for? You already have a fully funded emergency in front of that point. What are you saving for? I just like to save. Okay, save, but in an account that's giving you returns, like the stock market. That's fine. 20 % putting it in there. You can save up on the side as well. You could take 5 % of that, start putting it towards a house fund. I don't want any less than 15 % going into the stock market. So on my American Express account, how much should I be saving into that account? How much should I be putting? When you're out of debt or now? Now. Now, remember, we're only getting to one month emergency fund, which is$2 ,387.

58:17Once you aggressively save for two months by having everything go to that, then you're done. You're paying off the high interest rate debt in the order that I talked about. And then once all the high interest rate debt is gone, then you save up a six-month emergency fund, and then you leave it there and you never touch it unless an emergency occurs. Okay. Okay. And then everything else, stock market, house fund, that kind of stuff. We definitely want to at least max out the Roth IRA on a yearly basis at a minimum. That should be just like basic requirement, which right now,$6 ,500 a year, which is easy, relatively easy on your income if you manage your expense as well.

58:59And we just paused because people are doing loud things outside. You said you have another car that you're considering selling. What do you think you can get for that car? Right now I got an offer. for what I was hoping to sell it for$2 ,500. Okay. Yeah, dude. If you get that, I mean, that immediately gets you to the one-month emergency fund plus an extra$1 ,000 that you can put towards the card and then you only have$600 left on the credit card. That's awesome. Do that immediately. I would just take that offer and just say, it's done. Honestly, just so you can start making progress, man. Because just with the other people who've been on the show who've been sending me updates via email and everything, The moment you start paying off some of this debt, man, you're going to get a fire.

59:43When you see that credit card is done, you're going to get a fire under you. And you're like, all right, now it's time to go kill that next one. Then you're making progress on that. And you're like, let's go, let's go, let's go. It's going to be like when you get hype at the gym and you're just making progress, man. Yeah. You're going to be seeing that towards your debt. And you're going to get hype about it. And you're just going to want to kill it. In a good way. So, yeah. Do it. Take the deal. Unless you think you can get substantially more for it. No, I definitely cannot. Okay. Then, yeah, take it.

1:00:09take that offer just take it so yeah I mean some of it's a little 3, 4, 5 depends on the moving situation where do things look like but at that point 50, 30, 20 once you have all the bad debts paid off and you have a fully funded emergency fund 50 % needs 30 % on wants 20 % on saving and investing do you think you could write that down just so I don't forget it yeah absolutely yeah we'll do some notes on your notepad or something and then of course you can always watch this video as well so I'm happy to answer any questions and then you can stay in touch and we can talk via email and text or anything like that as well no absolutely because I want to see you make progress man I want to do a follow up with you at some point maybe when you move to Lubbock or move from Lubbock to civilization again and you know that'll be exciting for you the only thing that's out there is Texas Tech yeah so So, and I actually think it's very fun when, because I didn't go to UT, but a lot of people around here love UT.

1:01:14And I think it's pretty fun when Texas Tech beats them and then they all freak out and get sad. And I'm like, he he he he. But either way, we'll do an update. That card should be gone. You should be making progress towards the toolbox, if not the car. You should have a one month emergency fund. And in October of this year, you're going to text me when your mom closes on her house. you'd be like alright she applied to take out to borrow to get the car and honestly to be completely honest if she's watching this you shouldn't be getting a mortgage anyway right now if you have a 13 % interest rate debt on a car even if it's through him you shouldn't that's stupid that makes no sense you're not going to beat that with the housing market and like averages across the board of decades so pay that off first and then get the house She should sell this and get a$10 ,000 car Is what she should do actually But that's a conversation with her Whatever Yeah that's something I don't really want to bring up Because that's her car Except guess what It's not legally it's yours You have the title I don't have the title yet Because it's not paid off Oh right it's different per state When I'm from Michigan you get the title Even though you have the debt But yeah here in Texas the bank holds it Either way whatever whatever whatever that's what she should do you should have the adult conversation with her i can't force that the relationship is what it is knowing yourself man knowing yourself be as honest to us the audience me as possible what are you actually going to do what is it going to look like going forward from here get a second job work my off that's the plan okay i'm really trying to pay off that credit card off first that's like my first step and then from there, you know.

1:03:01Yep. One month emergency fund. I'll say it again. One month emergency fund, credit card, toolbox, your car, the high interest rate, student loans, then the collections, then a fully funded emergency fund, then 50-30-20. Let's go. Okay. For Dan, it's going to be a hard situation to get out of and he really needs to sacrifice and it's going to take a lot. I'm not overly optimistic from the conversation, especially the first half of it. Now, he gave himself a 6 out of 10. I know he hasn't watched the video, so he probably doesn't know how my score works, but it's not going to be a 6 out of 10. For his spending within a budget, you know, his spending wasn't insane, but he shouldn't be going out to eat while he has that death, 25 % interest rate debt.

1:03:45So it can't be better than a 1 out of 10. The debt itself, it's almost as bad as it can get. You can have IRS debt, which is, you know, terrible as well, but I mean, this is absolutely death, death, death. So 0 out of 10 retirement. Glad he at least started within Acorns, which again, Link in the description below for a free$5. But it's, you know, obviously drastically behind. One out of 10. Emergence fund, he has started, but it is obviously not all the way where it needs to be. Two out of 10. Real estate, not even a part of the conversation. Probably not even part of the conversation in the next decade, but zero out of 10 for now.

1:04:16Hammer financial score for Mr. Dan, one out of 10. For the resources that I use or would use in specific situations, I've linked those at the top of the description below. So you can get things like free$5 for signing up for acorns or a really high yield savings account through SoFi and many others like educational resources as well. And don't forget to follow my Instagram and Twitter. Thanks. The world moves fast. Your work day, even faster. Pitching products, drafting reports, analyzing data. Microsoft 365 Copilot is your AI assistant for work. Built into Word, Excel, PowerPoint, and other Microsoft 365 apps you use.

1:04:53helping you quickly write, analyze, create, and summarize so you can cut through clutter and clear a path to your best work. Learn more at microsoft.com slash m365copilot.