$769 In Minimum Debt Payments At 22 Is INSANE| Financial Audit

hi my name is Bilal from Dallas Texas. I'm 22 and this is financial audit. so what do you do for a living in uh. Dallas Texas. um and I'm a Starbucks assistant store. manager which is a Starbucks store. manager it's just like a temporary. position for training supposed to last. for like six months and this explains. all the Starbucks spending. um so yeah systems yeah. I tried to cut back we got like an. espresso machine when we first went on. leave and like we go you and your.

roommate you and your my girlfriend yeah. we go get coffee like maybe once maybe. twice a week on bad weeks but yeah we'll. come back. so is this an hourly or salary position. um once you accept ASM position it's. technically salary but you still get. paid overtime overtime oh 47 600 and. then once your store manager I think. from what I've been told it's like a 20. increase and that's what you're on track. to do that's what you want to do. um yeah I was.

once I go back now starting Monday it'll. be like three weeks to kind of like to. get my feedback into it and then I'll. apply for instant manager position oh. okay very cool and over time I mean what. do you think you're bringing home bring. it home after taxes and everything on a. monthly basis what are we looking at um. it was. 1400 bi-weekly after taxes yeah. okay. um so 2800 a month. yeah okay how do you feel living off of. that in Dallas. um not bad I mean I didn't live by the.

time I was living with my family so rent. was cheap and my expenses were still. like at a minimum I mean at the time. what about now so now I live with my. girlfriend so we both went on leave. um December 8th because so. she had a two-year-old. um and I was dating her for almost like. two years and he had passed December 8th. so yeah. so we both went on leave uh December 8th. so we both have been kind of on leave. since then until now she's been back at. work since last Monday and I go back. this Monday how's she doing that's.

horrible better now we tried going back. to work in like February 28th it was. still too soon went on leave again. um so at first the first month we used. like whatever vacation time we had and. then after that we were kind of using. like the FMLA where you get like 66 of. your pay so the pay wasn't the same so. like for the past six months I was. getting paid like a thousand seventy. seven dollars yeah. um. um and now how are you doing are you. going back. um yeah I go back to Monday. um and how are you doing better here and.

there um it's very weird. um I'm sure yeah uh for me like I've. dealt with grief before and losing a. loved one she hasn't so it was hard on. her. um yeah especially when it's like did. you guys have a good support system. around you during this whole time yeah. yeah her her parents were closed they. live in Austin so taking care of any. mental health therapy stuff like that. yeah we both. um she's still seen a therapist um I've. seen a therapist psychiatrist we've you. know done it all cool and everyone. should always still doing it yeah you'll.

see something on there sure. so how would you currently is on as open. as you can describe your financial. situation right now and then give. yourself a score zero out of ten. I've been thinking about this entire. Drive uh I'd say like maybe uh. four okay because of the current. situation but there's definitely. potential like the income well we're not. looking at potential necessarily then. yeah definitely a four where you are. okay and describe your situation. um she brings in I don't care what she.

brings in what about you so oh me okay. so I bring in 1400 now and then it'll be. a 20 increase so we combined our. expenses what's your situation right now. financially. um. I'm confused with the question I thought. it was like a four. um no no what is your situation like. overall um. okay floating by it's not great okay. yeah okay okay okay. well we should look at your checking. account then and start diving into this.

and see is it a 4 out of ten what your. financial situation is and everything. like that but first you should hit the. Subscribe button we're trying to get the. 500 000 subscribers we're getting uh. pretty darn close because all of you are. absolutely amazing so thank you to. everyone so far. so we start with a thousand four hundred. eighty dollars this is insane and. completely different than your 2800 but. 10 741 in were you getting support from. family. uh no okay because you were getting. zells in of like 1400 Zell in 1400 Zell.

in 45 and five you're just getting so. much zelle in yeah so that's kind of. what I was talking about when I said we. combined our finances so oh I think I'm. Miss ing I missed that yeah so she sends. me whenever she goes based just like. kind of sends it to me and all the bills. are like I don't necessarily like that. because he's a girl. um it's pretty serious um. congratulations but um yeah I got what. you're saying so like we're thinking. really talking about this like yesterday. of doing it a different way she has.

another checking account so we're just. gonna use that checking out for the. bills and then have our separate like. savings and separate checkings yeah I. would just because there's no legal. agreement yeah that's the risks yeah. that was literally the conversation. that's some social thing of yeah. not to be like morbid I was like what if. like something happens to me like all. the money's under my name and yeah or. you know fun fact people break up yeah I. know exactly what's the divorce rate in. the United States like 50 and something. crazy so um imagine what it's like. before yeah even get married so that.

this is bad for her yeah so yeah she. sent all the money but even still 11 666. dollars went out ending with 339 yeah 1. 500 to 339. uh yeah so we're we're just kind of. draining so the check is yeah I kind of. use it just like bring like kind of just. to get the deposits and then I use it to. send the money to the savings no but. over the past few months since December. when you guys took a leave though we've. just been kind of uh I want to take a.

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degree or previous experience and make. sure to use the code Hammer 50 to get 50. off on the full course and all of this. is linked in the description below thank. you again to course careers for. sponsoring this episode. um initially and then like March is when. we started pulling out of the hole okay. so there's some recovery let me guess. there was no emergency phone. um. no. that's the importance of emergency we. did start window. good in like February whenever I was.

like yeah well we'll talk about that. yeah but even still Starbucks okay the. vast majority of the time in here is. just paying off cards and paying bills. and stuff like that yeah that's the. majority of this is but we are doing a. hundred and nine dollars at Starbucks. come on this one so that's new money. that's the insurance 215 from Starbucks. is that the insurance as well. um yeah wait yeah yeah that's Insurance. that's when I when we went back to work. it takes it twice I went to leave. um.

before you get paid like out of your pay. so so when you go on leave you're. getting paid from like Cedric the. benefits oh company so you're still. paying for your benefits out of pocket. so that's uh Spain for so the benefits. 215 and 109. 109 was hers and 215 was. mine so why'd you send your girlfriend a. thousand five hundred if she's sending. in a lot of money. um. I've sent her a thousand I think she. sent it to me uh well I guess I don't. bleep the name yeah. oh that's that's her mom that's the rent.

that's the mortgage so 1500 is our. mortgage uh so is your mortgage wait. does she own the house the house is. owned it's under her parents name. um that's there's more it's a. complicated situation. um but the mortgages under her parents. demand so we pay the mortgage to her. parents. my Chase loan CR edit card three. thousand dollars came in yeah so that.

was for one of the credit cards that had. a high interest so what I did was I took. a loan on the other on one of the credit. cards that I have like the available. limit which was a nine percent to kind. of lower the interest rate versus you. know versus 23 yeah so yeah so I was. kind of like that do damage control when. we were like deep in the hole to kind of. get out of it in and out burger. 10 bucks uh talk. or socket tree that's the therapy okay. good Psychiatry sorry and I'm definitely. good with that.

I'm good with that but again everything. else is payments and zells so many zells. and so many card payments now I don't. have a statement for this emergency fund. what is the emergency fund have it's. with American Express it's like a high. yield savings account like. 3.9 or 3.8 what's that uh 2500 2600 now. so it's not a lot just your money it's. both of our money. uh mine so all the finances are under my.

name that was kind of like when it's. like in December she's putting herself. in a stupid position doing that um yeah. that was whenever like everything. happened I kind of took over the. finances because that was just too much. and now we're like slowly how much of. that is separating. um the 2500. um. a thousand of it was mine before we. joined finances in the 1500s we saved. together so how much of it is hers. um. like a thousand of the fifteen hundred. okay.

no yeah um it's a messy situation it's. been messy for the last six months but I. was kind of like trying to keep both of. us afloat until we get back to work and. now that we're back to work or yeah okay. we have a credit cards yeah a lot of. credit cards that's pretty much all I. have left here this is credit cards so. immediately so obviously you guys dug. yourself at home right yeah because 405. starting we made a 40 payment which was. probably the minimum monthly payment but. then we did a thousand eighty five. dollars of purchases on it. which card is that this is the Freedom.

Card now you lost six dollars and fifty. cents in interest. leaving you with a balance of a thousand. four hundred fifty Seven dollars. why if we are losing money to interest. are we possibly possibly taking it from. 405 to 1 500 why is that even in our. head if we're trying to get out of a. hole. um. trying to remember what happened that. month.

I couldn't tell you um I'll tell you. yeah we can like pull up the transaction. yeah it's basically all doordash. Michaels and in and out PlayStation. Apple bills McDonald's news East Sounder. mind sessions that's therapy as well. yeah oh that's therapy okay that sounded. like. well after you said it that sounds like. therapy I was thinking it was musica. first but that makes sense a k c store. quite smoke and vape yeah that's what we. need when we're digging out of a hole is. spending 45 dollars there it's a great.

habit by the way Starbucks giving them. six dollars Thirty Cents by the way this. will be giving you money. um is everything good well we're doing. that what I put it on a credit card when. trying to dig out of a home maybe not. yeah apple bills and Michael stores. we're going to Michael's a bunch and. we're spending a lot of BS now we do. have some groceries in here as well but. again would I be putting on a credit. card if we're losing 6.50 and it's gonna. be even more next month because this is. 29 APR. and we're putting more money on it. vastly more money on it than we're. paying towards it yeah.

um why why are we doing this why are we. putting money on it when we're trying to. get out of it I need to know the mindset. behind this so we can always combat it. come up with a plan it was again like. still because we weren't sure so for the. benefit for the leave every month we. have to get it extended so we had to. like kind of wait until it's approved to. know that we're getting paid or not um. so that was kind of like using the. credit card to stay afloat. um yeah it wasn't it wasn't a smart but. what did you cut back on things we're. doing why are we doing why are we. doordashing in Michael's in and all.

those other things that I already went. through and given Starbucks money why. are we doing that if we know we're. bringing in what 66 percent of the. income or whatever it was the doordash. doors we canceled both so the plants so. we don't use it anymore. um good uh the Medicals she started. uh crocheting just out of boredom of. being home so just go buy yarn that's. literally what that's for. um but yeah the Starbucks again yeah. which is again we're there were days. where we were yeah checked out and. spending money yes absolutely so that's.

definitely there um. we can't be doing that we're trying to. get out of debt yeah that's we that's we. can't be considering that acceptable yep. I agree now we have a freedom Flex. that's funny how I got those two cars. the freedom I had applied for the. freedom and then right after that they. canceled it and they just sent me the. freedom Flags. so I had ended up with both. well. you ended up with 3281 balance in here. with a 30 interest so three thousand. thirty dollars of Interest yeah three.

thousand of that is the loan which is at. nine percent you so you transferred onto. here or to somewhere else somewhere else. the loan was to pay off yeah another. card so the loan is somewhere else yeah. the loan was the the three thousand. dollars into the balance on here now. 2008. um so the loan came into your checking. then you paid off three thousand dollars. of this the loan came out of this into. the checkings and I used it to pay off. another credit card so it's kind of like. a balance transfer but not really okay. so the interest on this card is only. nine percent for that yeah for a certain.

percentage for three percent for the. three thousand of it for the three. thousand and then we still have 281 and. you did 222. says why are we doing that 301 dollars. of payments but then 222 dollars of. purchases if we're paying interest on. this with 30 interest being accrued. guess what you're giving 11 Starbucks. guess what you're giving ten dollars to. Starbucks some Auto charges it looks. like their toll roads don't take. freaking toll roads if we're trying to. get out of a bad situation yeah take the.

side roads take an extra 5-10 minutes I. don't care you're trying to get off a. poo situation this is places in Dallas. that you can't get to without taking it. all away BS because I live in a Tollway. City too you can always turn off tolls. on Google Maps and it will take you. longer but whatever you're losing gas is. not this forty dollars not this twenty. dollars. come on and again credit cards if we're. trying to get out of it why are we put. it on credit cards to begin with. and then yes you had transfer charges of.

19 as well plus interests. and you're losing nine percent on that. so it's still bad debt better better. yeah. um I'm glad you did that but don't think. just because you did that all of a. sudden we're good yeah we're not good. overall it was just damage control but. it wasn't enough damage control so yeah. this is why we have emergency funds this. is why you have emergency funds so when. something dramatic happens which I. totally understand and sympathize with. it doesn't put you in a situation where.

you put yourself into a bad hole that is. hard to climb out of when you're trying. to get out of it. and that's when you were making like 60. of the income still it's not like your. income completely went away and yet we. still went into a hole so this is why we. have an emergency funds so thank you for. being on here to uh you know demonstrate. a situation to the audience that's very. important now we have a Sapphire card. so with this one okay this is a little. better we had a thousand dollars we paid. it off but then we made a thousand. hundred sixty dollars in purchases.

leaving us with a balance of 836 which I. hope you pay off because there was no. interest charge on this but I hope you. pay it off is this in an interest-free. period or are you just always paying. this off uh it it doesn't have. interest-free but it is paid off good. good now why are we holding balances on. those other cards when we're going here. into Jack in the Box GameStop who even. goes there you're floating the mean stop. uh means stock for everyone else because. who goes into GameStop it looks like. it's from the 70s at this point early. bird early bird Taco Deli GameStop again.

Starbucks Michael store Starbucks. Starbucks again they're supposed to be. paying you top pot Chick-fil-A hippo. beverage Apple Store Apple Store Apple. bills Apple bills Michael stores Dutch. Bros good friend Ikea and smoking vape. we're going back to smoke and vape for. 50 terrible habit why do these green. lines exist if you're trying to pay off. other things you're smiling is this a. joke dude no no it's it's it's serious. it just.

looking at it I'm just like yeah smile. code Pam so all these green lines. all these Queens. why. why you had to transfer three thousand. dollars somewhere because you couldn't. pay it off. that we are going to all those things. why I need to know your mindset or we. can't overcome it. um. again A lot of it was just. we're both kind of staying home we're. just trying to find things to do um the.

GameStop yeah I had bought a PlayStation. and I was just like playing games that I. just thought of playing. um but overall there's no I mean again. there's no excuse for it I just we did. it and now again yeah but what can we do. to make sure we're not. um took the cars off of um Apple pay so. the cars are no longer in Apple pay so. we don't so it doesn't make it easier to. pay with. um have you chopped up the cards you. guys are not credit card people so it's. not an emergency fund definitely it's. not so prior to like all this I was in a.

good Financial State and then I wasn't. um you weren't in a good Financial State. you didn't have an emergency fund. instead you were probably spending money. on credit cards paying them off but. guess what you didn't cut back on. anything enough to save up for Merch. it's fun and then when something bad. happens which happens in life and I feel. absolutely terrible that that happens. but bad things will happen all. throughout life you didn't set yourself. up for a position to be able to combat. that because you kept spending both on. credit cards or anywhere yeah. so no you were not in a good financial. position having not having an emergency. fund is an emergency.

yeah so what do we do to combat that. going forward. um I got an emergency fund started. started yes your portion. is incredibly minimal. um. yeah it started months ago now. um yeah it was almost three. yeah. it's not where we want it to be for sure. um well of course not but so our what we.

plan on doing now is getting that. whatever is in that savings account to. like at least five thousand to have that. as like our emergency fund in case like. either of us so R do dude we are we are. splitting it we are we're starting our. individual savings account but we're. still going to keep that cushion in case. if something happens again. um why don't you just get married go to. the courthouse so there's a lot there's. more that goes into this um there's a. lot more that goes into it so part of. the reason like the finances are on my. side or my on my end because her credit.

got kind of screwed. um whenever so Christopher like uh the. son he was born with like a heart. disease or heart issue so he had that. shot so he was more like half a heart so. that put her like massive like medical. debt so that's what kind of screwed her. credit score. um. so we kind of relied on my credit and we. both are paying it off. um was the idea behind it. and part of like not getting married is. if we do it we don't want it to like get.

to me or get to my credit in any way. when your credit's still your credit the. if you guys got into. things together. that's where it could impact like if she. co-signed for something for you. obviously that would bring it down yeah. your credit's okay it's over 700 even. though you're stupid debts yeah uh I. think it tells the system is just yeah. it's just like our credit score the. credit limit hers.

um. I don't know the exact number but I know. it's not great I don't remember off top. of my head either way you guys cannot no. matter what you just said not be. combining these things just because it. puts her in a bad spot yeah and that's. just not fair to her yeah and if you get. married then we have legal protections. yeah we can do those kind of things and. it's it makes much more sense. yeah no um in the moment I'm just kind. of like trying to navigate it with. whatever.

we thought was best or will keep us. afloat the most and now part of the. reason I'm on the show is aside from. just like Financial transparency. um to kind of see how we can do it. differently as like aside from like the. combined bills or yeah giving Starbucks. all your money yeah yeah. um aside from combining things how we. can do it individually um and then how. I don't know how to navigate getting out. of this hole so she works at Starbucks. too it sounds like yeah she's also a. store manager store manager different. store uh yeah okay so similar incomes.

hers is more than mine because oh she's. the store manager your assistant yeah. and she has experience so sure her. income is. more than mine. then. you. have the separate accounts she doesn't. give you money anymore what you can do. on grocery shopping trips this is. totally fine one person pays the other. does half yeah and it's uh you know 10. most the half or something like that. yeah and same with rent one person can.

pay maybe put it on hers and then you. pay and then you know depending. some. it depends on the agency but I know. people are trying to push for pain for. rent to help credit can't promise that. today for anything she could use the. Fizz card right I mean either way she's. not here. um. but what you can do is you can split. things like utilities and wraps and. stuff like that but not in one account. someone pays for it the other person. venmos and stuff like that but we what.

she had suggested was if we use one of. she had the checking account that she. doesn't use and she was thought she'd. mentioned if we use that we both pay a. portion of our paycheck a percentage. because we don't make the same internet. checking that would be for the bills I. just no just one person pays for it and. just venmo's the other person stop. putting each other's money into each. other's accounts yeah. pay for it and pay back the portion. Discover it it's paid off now good it.

better be because 23.90 of Interest it. was only a 90 balance at the time of it. we got two thousand dollars or three. thousand dollars you paid it off with. the new 218 this is what screams at me. not a credit card person because even. still you fully pay it off in time to. not get hit by the interest twenty three. dollars ninety cents yeah that's just. going to continue if we do that once and. it's only within the last couple months. within the last month yeah within the. last month then guess what that's gonna. happen again most likely. yeah credit cards doesn't make sense for. you.

I just don't want you to lose money and. you're losing money 708 is your credit. score on here good I'm sure you're happy. about that but in the end what matters. most is you're not getting sucked dry. and you keep failing on this yeah and. again there's other balances to pay off. yet on here Amazon Apple subscriptions. Apple subscriptions Amazon Amazon Jimmy. John's smoking vape so we go there a ton. now across the different accounts. Starbucks.

give you money. a case that's a gas station okay yeah uh. you know it's not a gas station Uber. Eats ubereats and Michael's popping in. and out that's that's a lot of. crocheting across all these accounts and. In and Out Burgers so you go to a burger. that doesn't even taste like food you. know I used to like it until I just. didn't it just doesn't taste I can tell. you develop taste buds yeah that happens. sometimes. Burger.

that's an okay Burger it's just so many. better places it's just cheap and it's. there's one like literally across the. street from our house within walking. distance Gotta Give Them gotta give them. the cheap yeah. and blue cash again so yeah. um. this one has the highest balance. but also the lowest interest what do you. mean highest bounce the other one was. over three thousand what's the bounds on. this guy now. so. um again not having a emergency fund so. there was some dental work that we had.

to get done so much emergency dental. work yeah so that what cost the most uh. but I put it on the AmEx. um that happened after I think after the. statement it was amazing because he 100. needed in that moment dental work yeah. they broke it down in like three. different ones so there's you only see. one of the payments of door like three. payments what's the amounts. um. right now of DMX I think it's like 3 500. but it's on a three percent interest. until September till September yeah. September is going to come real quick. yeah.

um so right now we just they lost two. dollars 15 cents of Interest yeah it's. not crazy but September is going to come. real quick and then it's probably gonna. be what mid 30s and guess what we spent. money on Michael's as well yeah oh but. we got that reversed but then. we went to Inland now. the dental isn't stuff that I notated. because if it's a dental emergency. that's an emergency you pay for that's. not BS spending but what is is coffee. and taco shop and hippo beverage and. chilies chilies we're giving them money.

instead of paying off cards Island. Coffee Roasters and Jacob's ice and. crazy Vapor come on dude look at that. kick that addiction dude that's as bad. for you in general and uh because yeah. that's 43 bucks bad for the lungs. bad for your overall health bad for your. wallet we spent well over like 150 bucks. now on that in total for the month Five. Below. I on something Canyon Cree yeah coffee.

shop no yeah you guys love your coffees. my bubbles when you're working coffee. yeah yeah coin Ledger. JJ gifts and sportswear Jack's Thrift. Shop doordash great. and again taking the tolls another. hundred eight dollars in total so like. almost 300 bucks in tolls yeah because. you didn't want to go a little longer I. promise gas will not make up for that. so this is crap. all around. I mean you paid like 100 bucks in.

interest now over this whole thing and. it's gonna be well over that once. September Comes Around we're not and we. don't make progress because we're not. making progress not very much progress. because we continue to spend so much. money well beyond our means in combining. accounts making things very confusing. and it's just right now it's just a mess. that we need to you know solidify. 8. 328.61 cents a debt yeah bad does not. anything good in here do you have a car.

loan uh yes you didn't send me the. statement oh okay so I could it wouldn't. yeah it wouldn't load I sent it in the. initial email it's on the initial email. but the same one wouldn't send um I get. a billion emails I don't know that's. fair. um I can pull it up though and I can. tell you about it uh yeah we're gonna. have to take a look at this what what is. the what's the car it's uh it's 20 20. Mitsubishi Outlander. um okay continue. um and then what's the remaining balance.

one eight thousand. twenty thousand eight hundred uh on the. interest rate is uh it's like six point. seven. it's not great but it's not so basically. seven percent yeah. yeah minimum monthly payment uh 392. term length I think it was like I don't. remember things like 62. any other. hidden debt student loans anything. um no student loans no um no they're.

hidden debts I have a Corolla that has 2. 000 left on it why why. hi um that's it that should be all but. why. um I had a car accident. um you know a year ago. um I did. and it paid it off and then I had it. just covered it was like literally right. after I bought the car so it just wasn't. if I didn't buy the car and that's where. I lost the down payment money oh no but. then I had to buy the Corolla anyone. else they pay payment in interest.

um the monthly payment is like 250. matches. um I think it's like eight percent I. have to like do the maths work because. it was like probably approaching the end. of where that interest has been yeah. there's like 2 000 left on it yeah. your total minimum monthly payments uh. well now they're. worse. yeah damn. [Music]. because we this is going to be. relatively easy to clean up it just got. more yeah good yeah um that's kind of.

why I came on the show to know how like. where to start or cancel your. subscriptions that are 130 bucks a month. for things you don't need vape shops 150. all the different Apple charges 189. dollars tolls 169 dollars so stop those. yeah that Dental really added up. absolutely yeah we went out to eat 602. dollars. yeah it's a lot of money 2800 a month. Beyond with all those categories yeah so. what you're gonna have to do and you.

already know this because you've watched. the show but you can go to you can't get. coffee anymore temporarily yeah yeah. which is fine because we're back to. working in coffee. um it's fine no like cutting back on. coffee is like okay all the other. restaurants yeah. so easily. um the attempt has been there it wasn't. great that's for sure but now we've been. at work eight hours a day. um we just we have workers footage paper. at work you get like a meal every shift. and then we are getting groceries from.

Costco. it's like meal prep every week so. now your total that's like 30 338. dollars. only from 8 000 to that yeah that's not. fun. you know 31 000 actually with minimum. monthly payments of 769.50. which is. and you're just applying for the next. shot button so who knows if you're going.

to get it I hope you get it I hope you. get it oh no it's um so that's the. position the position I'm in right now. is just like the train position and they. would like to only keep you on it for. six months so the day he passed was the. day I was literally doing my second. interview for the job yeah so this is. just like the training position and then. like you get the job after that you're. interviewing at the job well right now. your minimum monthly payments on debts. 47 or I'm what uh 27 of your take-home. pay yeah so half of your more than half. of your needs categories is taken away.

for you paying off money that you. already spent mm-hmm. so that's bad so essentially what's your. portion of rent your portion of rent I. guess would be 750. not bad yeah. your portion of utilities internet gas. electric all those. your best guess. I have it all written down like how much. everything will cost and then you'll. have the budget more specifically after. that yeah because that's so yeah but. again for the six last six months we.

didn't do your portion my portion that's. why it got complicated and that's what. we're trying to do now yeah absolutely. no and we're both on board on it we're. both on the same page good um real quick. internet used to be 100 it's now 15. electric is about your portion oh my. portion I guess will be 25. okay and then electric 50 water 50 and. gas. varies like 40. it's again for my portion so 165 for.

utilities okay very good now your. portion of the groceries will be no more. than 150. you're portion of the. groceries yeah we'll do 200 because. you're going to be cooking a little more. because a lot was out to eat we broke it. to like 300 a month. we're just gonna say 200 for now okay. just. with where things are and you'll be. cutting back on other things so just. being a little more realistic toilet. paper stunning also known as things you. need to operate the household your.

portion 50. that's fine so this show all. that good stuff 15 months your portion. because it'll be split normally I'd do. 100 but you'd be fine with that. car insurance this is. um no car insurance mine. um about 125 I think okay and then. you're back at work so health insurance. will be taken out of your paycheck. paycheck um. any other ongoing monthly expenses that. you can think of do you have ongoing. therapy you should I should definitely.

go back um right now I only have. Psychiatry which is about 30 bucks uh. visit. how often. um once a month ish. about once a month so yeah. um we'll keep doing that at a minimum. yeah therapy I'll go back to it it's. covered through everyone should so yeah. not just a you thing. anything else minimum monthly expenses. that you have to pay for well uh gas. driving gas how much you spend on. average. um.

let me think about maybe I'd say 100 a. month. I drive a Corolla so your minimum. monthly payment center debts are more. than your rent. it's crazy. uh-oh this is looking dangerous. [Music]. seeing those numbers. not looking great bring in 2 800 a month. but your minimum in order to survive is. 2184.50.

minimum to survive minimum so that's not. you doing anything that's not having to. be paid for fun yeah that's not even you. go into therapy but you should that's. not you paying more on your debts that's. just uh good like good luck yeah survive. also known as 78 of your post tax income. yeah bad that's your needs category 70. it should cap out of 50 you shouldn't. even get it to 50 yeah should be like 35. 40 percent. total Max at 50. and you're at 80.

basically rounded yeah. so yeah. disgusting. but how many hours a week do you work. it's full time so 40. okay and you have. a nice New lovely car that you love. uh The Outlander yeah. um yeah this yeah it goes back to like. how we had everything joined. um. we kind of go back and forth on who. drives the Outlander.

um who doesn't have a car so it's mainly. her car but like I drove it here today. yeah it gets it gets complicated so. whenever hurts so hard making it. complicated that's what we're trying to. do we're trying to like on like we're. trying to kind of separate it. um because her car died. um and we were going back to work in. February so we needed so she can get to. get a car. um and she like sometimes tries my Coral. at work and I'll drive the Mitsubishi. animitsubishi was like the cheapest. option that we had found at the time. that's an SUV.

um yeah um. so that's so we're both paying into that. paying off that car that's what like a. lot of the minimum payments are kind of. shared and that's where it's complicated. no it shouldn't it should no yeah no no. more no more yeah that's where we're. getting that's what we're getting out of. okay what I need you to do when she's. not using the guy I'm okay with letting. her use the car yeah never pitching for. gas but no more pain like the paying the. monthly payment we I guess we would. split we're explaining that too no put. it down evenly but yeah yeah so you can. to chip in towards gas and maintenance.

and stuff like that because she's using. the car bus stop yeah. what I need you to do I'm glad the. income's going up relatively soon yeah. when I need you to do to get out of this. bad situation because this is rough. what's your retirement at right now I. mean you're 22 you're young so that's. great it's uh maybe like the I have a. Roth 401k and a Roth IRA I think the. Roth is that like two one e 500th. another Roth or one case out of seven. thousand okay yeah yeah it's like 9 000. yeah 21 I mean or 22 that's.

I started it's an encouraging start I. started it's early yeah what's bad is. the hole you're in at 31 000 of debt. none of which are student loans so none. of it was like a return on investment. from a degree or anything yeah all this. is just really bad depreciating car bad. credit cards blah blah a card that. doesn't even exist that bad. it's not a good place to be at your.

early 20s because what I wish you were. at was Zero death maybe some student. loans at low interest four percent or. less and then we're just. the best decade of our life of investing. for compound growth that's where I was. at but we have to clean this up and then. we can start going crazy towards return. but what I'm going to recommend now is. the part that's not fun you already know. no more people for fun which is fine. yeah but the part that's not fun 40. hours a week awesome it's 60 hours a. week now because you're working in a. second job. yeah I mean.

um to manage that free coffee dude get. yourself caffeinated and go to the next. one I guess yeah it is um it's kind of. weird but Venus is being in. systematically you're technically 40. hours but yeah but then you just said. you're about to be a full-time manager. once you're full-time. um it's like you're technically we're. supposed to work 40 hours but no sir. manager that I know ends up working 40. hours then it's always like you end up. working like 50 hours and do you get. paid more for that still that's a full. manager no would it be in salary no okay. well I still need you to do what your. income will go for that situation but.

what I need you to do because 615 a. month extra like. not even taking account any growth and. interest I mean that's going to take you. 50 months to pay all this off and so. that's four years two months four years. two months of not going out to eat once. not going out for coffee once not doing. any trip not doing anything like that. that's crap not the life I want you to. live at all in your younger years.

I don't think I can that we should find. this acceptable yeah so. we're going out anytime you're done with. work. let's say you finish around dinner time. what do you think the hours are well for. a traditional store manager what are. they uh usually like 7am to three or. like sometimes yeah beautiful three so. then you go from uh yeah. Dallas area large city yeah go into the. hot spot in the money spot and from four. to seven.

door Dash ubereats we deliver some. dinners we bring an extra even if you. just double this even if you bring an. extra 6 15 you take that from four years. to two years that's incredible yeah what. progress you you can go even more. because your income will go up for the. new position and you could doordash even. a little longer. there's also you know quarterly bonuses. that we got go around the college area. and go to the bonus let's go around the. college area do later in the day so just.

sacrifice for at that point what could. be a year and a half maybe even a year. if you go insane yeah. which is a good insane and at that point. you're in such a good place where you're. like 23-24 23 24 you save up a full. emergency fund. and then I think your emergency fund. honestly is like 12 000 bucks at this. point you don't yours yeah. you don't need more than that until your.

lifestyle increases now you talked about. saving up a bunch of money. I would save up 700 before I start. aggressively paying off this debt. because what that gets you to is about. the two thousand two hundred dollars you. need to survive for a month so if. something crazy happens and you can't. work for a whole month you have what's. there to survive for a month while you. do something else to get another job or. whatever it could be so that's what I do. I wouldn't go much higher than that. before you start aggressively paying off. these debts because the interest rates. on these cards and the interest rates. kicking in in September you know and.

depreciating assets like a car that and. interest rate that. it's not. the mo it's not like the insane ones. that we see but it's also not like four. percent five percent or less you're at. that seven percent basically. we need to start tackling this. immediately so really from right now. what. what. her future depends on is how you're. managing your money how you build your. budget do you cut back on all the other. fun things do you stick to the strict.

budget do you work extra and bring in. some more money if not if you cut back. on everything and you don't bring in. more money by working extra again four. and a half years it's gonna be like five. years after the fully funded emergency. fund which is an emergency if you don't. have it so I mean that's still a. continuation that's just over four years. to get out of debt and then you got to. get the emergency fund but let's say you. don't bring in more money and you still. go out to eat here and there you take a. trip here and there and stuff like that. then you extend the situation what like. six years seven years total I mean at. that point you have lost your Best.

decade of compound growth and you're in. the position that. no one like me and every uh anyone who's. above you know above your age can ever. go back to you are in the only time you. can be in this time yeah because time. just goes forward so take advantage of. it take advantage of it dude such an. incredible opportunity do not let it. just go by because you want to sacrifice. a little bit of time of not working your. butt off because you want to go out to a. restaurant and stuff like that.

just go crazy go crazy and if you guys. get married you can we you can do a nice. ceremony after this but you just get the. paperwork combine your income pay off. all the debts of the relationship that. dual income helps so yeah that's. so that all that I gave you all these. numbers that is the combined that it is. all under my name but that is the. company she doesn't have that yeah. that's that is everything that we both. occur I wouldn't say you get married. just to take advantage income you guys. obviously love each other and that's.

great and there sounds like there's a. future that we want to have together so. that's great but with that then we can. actually talk about the Wii aspect of it. what you guys have been trying to do. what you shouldn't be doing yet yeah but. if you just go to the courthouse you. know like 50 bucks get that certificate. signed whatever it is. you know nice little family dinner. something like that whatever ceremony a. few years you guys could tackle this so. freaking quick so freaking quick yeah so. that's what we talked about so we plan. on tackling it together how does she. feel about putting a lot of her money. towards the debt oh she's on board she.

because we both like we both like. consciously. like racked up all this debt and we're. both willing to pay off the debt again. because like we but both of like all of. that was things that happened to both of. us individually. um and the best way to get out of it is. to like tackle it together she that's. why she was like she would send me like. her paycheck and she was using one of. the credit cards whenever she needed. anything. um that's why she would send me all the. paycheck and I would pay off the credit. card so that was the plan so now with. the debt being 8 000 and what we bring. in together is when I go back to work.

it's like. 1500 like don't do it before you're. married though um you should not be. throwing away her money to something. that's not legally binding yeah so. that's why we're just both paying it off. and then we're like going like individ. having our finances individual. and then after the emergency fund you. guys should say able to get her like a. ten thousand dollar card squeezy gun. upgrade that a few years down the road. but because we live in the United States. and public transportation outside of a. few major cities is a joke we.

essentially have like the worst tax in. the United States is you are forced to. have a car in order to operate in. society yeah because this is how we've. built our zoning and our infrastructure. we do need to get our car so there's. just a little more Independence and. stuff like that unless you guys are. fully worked out on the one car then. perfect that's fine but we have two cars. you do have two cards yeah why is she. using your car so much. um I said we have two cars we have the I. have we have the Corolla and the outline. there why is she using your car so much. oh the Corolla exists yeah the Corolla. exists oh with the two thousand dollar.

loan for some reason I thought in my. mind that it was no yeah. sorry uh the wreck was what I ended up. using what I had as an emergency fund to. get the Corolla because I had totaled a. car yeah so the Corolla exists so we. have two cars. um okay and that's why we are both. paying off the Outlander because. um that's the second car and by the way. these that's with where they're at with. where the interest rate's at I would do. the snowball method over the Avalanche. method Avalanche Works in some cases. snowball tender Works tends to work.

better for the cases of people who are. on this show. uh because of where the interest rates. are on those heavy ones. uh yeah so yeah I would just just lost. the biggest yeah so it just depends what. you guys do what you're willing to come. back on what you're willing to do. actually getting married until that seal. all these different things it's all up. to you guys now in terms of what you're. gonna do yeah. I want to hear. how the next few years look for you guys. um.

so. we both kind of are thinking and. planning to leave in Dallas and leaving. Texas going. to Pacific Northwest or anywhere that's. not in Texas it's just being Dallas and. where we are is just too close to home. um and with the house so again. um with the house being a mortgage yes. it's under her parents like name. um they bought the mortgage but it's. taking click her house because she is. technically not yeah it's yeah sorry. it's like looking not her house. um but because of like her situation.

with. um the medical adapt the plan was for. her to file for bankruptcy eventually. and that's why we're not getting married. that's why the house is under their name. they're trying to get as little assets. under her name it's yeah that's a whole. mess um so don't get a little assets. under her name but our plan is to either. rent out the house or sell the house and. move outside of Texas and then so is it. gonna get her name eventually yeah we've. talked about like moving the title okay. amongst all that stuff it's questionable.

after the sale and stuff like that it's. yeah it's it's. um it's messy oh this is a big question. mark this whole thing's a big question. yeah it's yeah no I agree. um but for now we're tackling for this. year the plan is to pay off all the debt. payoff. we're aiming to also pay off the out the. 20 000 car loan by the end of the year. with how much we both bring in and how. minimum our rent is. yeah so that's the plan for Bilal it's a. troubling bad debt situation for his age. we need him to get out of it now save up.

that emergency fund now and start. investing now I'm very glad with where. his retirement is is right now so that's. what's going to contribute heavily to. his hammer Financial score uh for any. kind of points before that hammer. Financial score budget zero ten there. was no budget in happening spending. within a budget everything he was. overspending and losing interest on. credit cards debt one out of ten he's. only going to get a point because no IRS. debt no collection so a little bit there.

for him retirement 4 out of ten halfway. decent spot for his age that's awesome. I'm glad he has started uh emergency. fund there's a little bit of money there. two out of ten nothing crazy and real. estate I mean I can't count that last. thing they were talking about there's. there's no real estate especially under. his name or even close Thunder his name. zero out of ten accurate down Hammer. Financial score 1.5 5 out of 10. make. sure to check out all the resources in. the description below and don't forget. to like me on Instagram and Twitter.

thanks.