Controlling Wife Gatekeeps Immigrant Husband From Finances | Financial Audit

We have nothing saved, and we want to. move into a different country, and live. a completely different life. Just cuz I. feel like it at the moment, I guess. Well, that's like a child Right? Is that. an answer? That's what it is. That's. what it is. Are you guys even on the. same financial page? The one loan that. he took out without letting me know. Why? Why'd you take it out without her. knowing? She's your wife. I thought it. was money that he got from his side job. No. Oh. Hello, my name is Valerie. I'm 48 years. old. Hello, my name is John. 46. years. I live in Cypress, Houston,

Texas. And this is financial audit. Welcome over to Austin, guys. Thanks for. coming. So, couples audit. Haven't had one in a. while. I'm very excited to get into. this. Also, very excited about Listen to. this thump. This is some dense. paper. Well, this is a lot. So, this is. going to be interesting to go through. Uh let's just say our should baseline. What do we do for a living? I'm an apartment manager, and uh.

I also do the the accounting in my. company for 15 properties. Okay, very. cool. And what do you make? Uh year about around 60,000. Okay, very good. And bonuses, that's why. it's around 60,000. Cool. And we might. do some translation and stuff here. Uh. so, however you guys want to go about. that, you just like lead me down that. road. But, what do you do for a living? Technician AC.

Technician for air conditioning. Technician AC for more than 20 years. And how much do you make? Around 40,000. 40 Probably. Okay, cool. Yeah. So, we are a $100,000 a year household. Mhm. And uh I I don't know if you need. to know, but uh on the side, he does his. AC work because in the daytime, he's a. maintenance technician for apartments. Is that a different salary? Uh different. It's not a different salary. It's. There's no set salary on his side job.

because sometimes he'll make nothing, and then sometimes he'll make a couple. dollars. It's not included in that. And. there's no consistency in terms of. averages. Nope. Okay. Okay, well, we can. consider that uh towards the end when we. do the budget. So, what's going on? What's going on? We're living on. $100,000 a year. Houston, Texas area. What's going on? We. have a lot of debt, a lot of credit. cards, uh student loan, mine. Uh I I. have three degrees. student loan. Uh yes. I have I have. three degrees. I have a master's, a.

bachelor's, and associates. In what? Uh. and uh the associates is in uh computer. uh and electrical engineering. The. bachelor's is in. uh business technology and accounting, and the master's in. and the master's in a is in business. management and accounting. Okay. And is. this what you wanted to do? Yeah, and that's the part that I enjoy. doing in my job more than the apartment. manager part. Uh the accounting part for. the rest of the properties.

Uh that's why they gave me that chunk. Accounting's a great career path. I. mean, I gift uh uh. certifications through Course Careers. for accounting to guests all the time. They come in here. I The reason The only. reason I don't focus on it is because. I've noticed that when I tried to do it, uh it the starting wage is I can make. more doing other stuff. I mean, yeah. That's why. In our mid-40s, mid to upper 40s, heading into our 50s. soon. Why are we in so much debt if, you.

know, I mean, you're making above the. median household income in the Houston, Texas area? What are we doing? Why is this Why is it. so thick? Why is this so thick? The credit cards. and the things that we have to buy, and. uh Yeah, that you have to buy? That we. decided on buying, I guess would be a. better answer, but uh Over the course of. when? Uh. since the last maybe. 8 years since. since I. we got together. Oh, we got together 8.

years ago? About, yeah. Okay. Are there. any kids? Uh together, no, but he has. two that live in Chile. My country. And. then I have two, but only one My. 13-year-old lives with me, and my. daughter that's 29, she just Okay, so. one kid in the house. One kid in the house. Only one. No. The other one is coming. tomorrow. She's moving from California. to Houston tomorrow. The 29? Mhm. With. two children. Okay, why is she moving in? Uh financial.

issues in California and getting away. from a bad situation. Bad situation, definitely get the. financial issues is that going to help. because I don't think you guys are in a. good financial position. Uh no, she has. saved money, and she she can get a job. Like, she's not depending on me coming. here at all. At all. Then is she moving in? No, she's. she's going to be moving into an. apartment. Oh, so it's a temporary. She's like stopping by. Stopping by. until Yeah, until the moving truck gets. to her place, which will be a few days. Okay. So,

in general, let's see what hit the. account. We had total payroll in for you, I. think, 6,038, and then you had Zelle in, I think, with the part-time jobs and. everything, 5,581. So, that's across the board. The. payrolls and the Zelles are all the. Zelles through work, or are there. anything else? No, they're I want to make sure we're. establishing what is normal. The Zelles. are his side jobs. Okay, so that is. actual income. Yes. Are you setting.

money aside for taxes? Uh. No, we do not. Usually by the end of the year, after. all the deductions, uh. we don't normally owe. The only reason. we owed this last year is because of the. medical because we we did something we. weren't supposed to. We uh. we applied for the Texas medical stuff, and uh I gave them a. Yeah, yeah. I gave them a smaller income. because we were making a smaller income. in the beginning. Uh I just never went.

to go change it, and then I kept using. the service, and then when I filed, obviously, they saw our end income, and. then that's why we owe. But, normally, we do not owe. Okay. Is that the first. time? That's That's the only reason Like, if I. knew that we. safe to at least put a little bit aside. Well, that's why I want a savings. account, but that's why You don't have a. savings account? Do we have retirement? Do we have. anything by our. nothing, nothing. That's why I'm I'm. like frustrated. What's our. What's our plan for retirement? You guys.

aren't terribly far off. I know, and. that's why we want to start saving, but. our plan is to move to Chile cuz it's. way more like even You want to move to. Chile? Yeah, when we retire. Okay, how. much do you guys need in an. in your nest egg to move to Chile? Oh. Give me a yearly income that you guys. want to live on in Chile. Probably for. living Chile, you need 1,500 for months. It's really nice. Like median, 1,500, but I I'd be happier with more as a as a. monthly income over there. But, to like.

move over there, we would need to save. like 25,000 or 30 so that we can get a. property. So, like we can get a house. you need more than that. You need. supplemental income. Uh yeah, but we're. on working there? Uh they According to. what he says, that I can get a job very. easily cuz I'm bilingual, and. probably, but she's not going to make as. much. I mean, if you if you if the. median of what you need to survive is. 1,500, the median pay is going to be. associated with the median cost of. living. Uh we're also counting on social.

security, I guess. So, yeah, those eyes. Okay. Uh yeah, that's. what we're counting on. be counting on? And also, $174,000 in. debt. That's why we need help. Oh, okay. Okay. So, I mean, that seems to be everyone's. immediate statement when they get called. out or anything. And that's why I need. help. Like, I can't Yeah, no, well, I. mean, I know that the our problem is that we.

overshop, and we like top technology and. all that stuff. That's why our credit. cards You got to stop doing Well, that's. bad for you. Well, that's why I need. help. Okay. Like, I. Well, like, come on. Okay. $11,500. came in. A little less comes in on average. That's what came in through the side. jobs cuz it was an okay month for side. jobs, looks like. How much do you think. went out? What was spent across. everything on all debts, on everything? What was spent? What do What do we. think? This month. think was spent? Yeah, that's what I have all the statements.

Uh probably the whole amount because I. ended up having nothing in my account. Number. How much? The same. The same that came in? Yeah. So, we think 1,000 uh 11,000 came in, 11,000 out? Yeah, and then yeah. Okay, 13,000. We spent 13,000. Spent 13,000. Okay. That's Okay, that. makes sense. That's. We don't budget. No. I I don't budget. Are you guys even on the same financial. page? Uh no, well, what I do is.

to go to Chile, so we have that goal. together, but do we have Do we even know. what's happening in the house. financially? We've been together almost. a decade. No. I know he doesn't do. anything of the finances. He doesn't. look at it. He doesn't He just gives me. the money, and I I make sure that all. the bills are paid, and everything is. taken care of. The rent's paid. Yeah, but that's not enough. That's the basic. minimum requirements for life. We're not. getting anywhere. Okay. That's what I do. So, is you being. the person taking care of bills, is that. what's helping us?

Is that what's What do you mean? Is that. what's helping us? No, it's not help I. mean, right now, it's. it's because I. after I pay the bills and everything, if. there's a little bit left, uh uh we go. out to eat, or we go and buy something. So, that's that's what I know our faults. are. Why aren't you involved in the finances? And. we can translate if needed, but why are. you not? Why? The reason is a lot money and.

Oh, the reason is for the my money. Okay, don't sorry. My money Whatever. money in my account Vivian is awesome. I don't know. He doesn't know why he. allows it to happen. He's just trying to. explain to you that. you okay with it? Why don't you want him to be involved in. the finances? Oh, I I don't allow him to.

Well, not that I don't allow him, but. every time he gets his check that. there's the the Bank of America account. That's the one that we are combined and. that's where his direct deposit goes. And every time if he when he gets his. direct deposit from work if I do not. remove that money right away. it disappears within 2 days and when I. ask him what did you spend it on he. doesn't know. Like he doesn't know. He doesn't remember or he doesn't know. that's a lot of money. he's the.

You can't not remember 2 days. Yeah, I. mean I I can obviously see what's on the. account that's linked. where did it go? It sometimes goes to uh. either he sends it to his kids or he. gets gasoline or he buy or like buys. parts for his side jobs and then yeah, things like that. Chili, chili's the plan. How the do we. get to chili? How do we do any of this. if we're not on the same page. financially, understanding where our. goals are and what's required to hit to. our goals by a certain time period?

Okay, yeah, that's. We know that. plan. There is no plan. If you know that, why haven't you done. anything about it? This is my first step in doing something. about it. That's not an answer. Again, just like the I need help thing, that's. not an answer. Why have you not done. anything about it was the question, not. what are you doing right here at this. one second. Well, I told you that we enjoy doing. like going out and going places and like. the last month alone we went on two. trips. Well I went on two trips. We he. went with one. reason why is because you want to.

experience pleasure now instead of. deferred gratification in the future. That could be a Yeah, I guess so. That was kind of your answer, was it. not? Yeah, because we want to enjoy the. at the moment, yeah. Okay. And and then we also have the philosophy. that we don't want to wait till like. travel till we're old old like when we. can't even walk. We're right now we can. enjoy and walk and do things, so this is. when we want to do the travel. But I do. try to budget. I don't know I mean. No. when it comes to traveling.

Like cheaper than most people would go. and travel. Why can't Why are you allowed to travel. right now? You have $174,000 in debt and. we're only a decade away from being able. to take out of our tax advantaged. accounts for retirement penalty free and. we have nothing saved and we want to. move into a different country and live a. completely different life. Why are we allowed to travel? Yeah. Just cuz I feel like it at the moment, I. guess. Not a great answer, but that's. what it is. an answer. That's like a child answer. Okay, that's what it is. That's what it. is. That's what it is, yeah. We we want to.

be happy at the moment. Huh? What's different? Why is that going. to change in the future? A conversation's great, but why? Why is. it different in the future? Because we really want to. move to Chile and we really want to have. enough money to buy a property. That's. that's it. Do we want that more. than doing what we're doing now? Cuz. that's all that matters in the end. Yeah, well, I'm thinking if we can. I think we can handle it for a year or. two of.

or longer, I don't know. So $174,000. debt. Okay, well, that's the the big. chunk is the school. So I mean. that Which is money you owe. I know, but. Well, did that negate it? Did that. negate that you owe it because it's a. ton of money for school? have programs to help not pay. programs are you taking advantage of? The the the debt the debt to income. thing. I don't I forgot what they call. it. The. The income based repayment? Yeah, that. $100,000. I know that. Have you reported. the correct income? No, because you.

No, I I I have I I tell them what I I. make and everything and. file together? Yes. Gosh, but people like you're not the one. who needs help though. You're just spending wrong. That doesn't. make sense. I don't want to get. political. No, but the thing is I tried to what. what I need help with is paying down. these. credit cards because. because yeah, that that's what I. But we made choices to get into it. though. You still got into it actively. Okay, looking at these documents, if I'm.

not mistaken, there's a document I'm. missing, is there not? The the one loan. that he took out without letting me. know. Yeah, that one. It's. it's something Yeah, it's a loan that he. took out because. When? Oh, 2 years ago. a half year one and a half year Why? Why. did you take it out without her knowing? She's your wife. He tried to help. because that month. Yeah. Yeah. That month we were very like.

we were struggling and uh I was trying. to figure out ways to you know, pay and. he came and brought money and I thought. it was money that he got from his. And then This is my money and no regular. job. Yeah, he didn't have like a regular. job at the time. So a regular job is. every every 15 days. I got annoyed. because he doesn't even know the. interest on it and he. I heard you guys wanted to get dirty.

again. Dirty money is back and this time. you're going to be a lady in the streets. and a freak in the sheets. And you know. who you usually meet in those sheets? I'm personally into BBWs, budgeting, bonds, wealth. And this sexy merch is. only available through the end of this. month and then it's going away. So to. give you a little extra sweet treat, we're bringing back the classic dirty. money as well. BDSM for index. funds finance daddy If this isn't for.

you you can eat my assets because I am. myself an assets man. Go to. CalebHammer.com/dirty. to check it out before these designs go. away at the end of this month. And as an. extra special sweet treat, every order. over $100 gets your favorite asset. signed and framed, the hammer dump. truck. And the only way to uh. Yeah, he is is. It's automatic. automatic.

Yeah. Cuz my check goes to a a different. account, to the Chase account, so. know like what's owed on it? Yeah, he. gets a text every month. I think what's. left is 600 and something. Yeah, now. it's 600 600 650, but he only pays $54 a. month. 2,000. 2,000 dollars. So a year and a half ago we were. struggling to make bills. So we borrowed 2,000. But now you guys. make $100,000 a year, why the is it. not paid off?

Because after paying even just the. minimums on those things, I mean I I. usually pay a little tiny more, it there's nothing left. Should we prove. that? Is that going to be the case. mathematically in the end? Yeah, cuz after that cuz the thing that. I spend a lot of money on too is. groceries because I cook at home, but I. don't cook basic stuff, I guess. Cuz. usually when I every day that I go to. the grocery store, it's like $100, $98. just for it to make dinner.

And uh. We'll see at the end. I mean, what do. you spend a month on groceries again? A. lot. How much? I've never checked it out, but I know. budgeting? No, I don't mean I I told you. I'm not. I just I have a list of what I. need to pay like the the the the cards. and. I'm asking groceries. No, I have never. $1,000 on groceries for three people? Probably, yeah. Okay, you're doing it. wrong then. We If we're trying to get. out of debt, we meal prep, we meal prep. We sacrifice. We're not having luxurious. meals every night. Or we meal prep, we.

meal prep, we meal prep. Yeah, that. that I need to work on. Yeah, you guys. could do the $700 easy a month. Easy. For the three of you. Take our budgeting program, go through. it together. I'm sorry, we only have an. English option. I do apologize for that. No, no, I would be the one looking at it. anyway. Well, no, no, no, he needs to. learn too. If we cannot do this Guys. we're not going to get there if we don't. get there together. You guys are. married. We're almost splitting the. income down the middle.

If he has the money and you don't take. it from him, he sends it wherever and he. doesn't know when he takes out loans. We're not doing this together. If we. don't have the same objective, if we. don't know what they are and what's. required to get there, we're not. budgeting together this is just going to. be a mess. We're not going to get there. You take the budgeting program, there's. a meal prep thing in there, you can. tweak it to your needs, but. take it. I highly recommend it for anyone. Okay. So you get that for free for being. here and you also get our investing. program for free for being here. Okay.

You guys. get a free $100 from Moomoo as well with. that to invest. Which is really cool, so. Okay, let's let's let's dive into these. documents cuz this is going to be. it's going to be a journey. Okay. A. journey. An absolute journey. Where do you guys. think you are on your financial scale? Zero to 10, where do we think we are? Zero being the worst finances ever, 10. being the best finances ever. As a. household, where do we think we are? I think we're at the worst. Zero? Yeah.

What do you think? The same. Okay. Go to. your Hammer Financial Score, it's free. Link in the description below. If you have interesting an interesting. financial situation, interesting topics, anything at all or a opinion you want. challenged and you want to sit right. where they're sitting and you're brave. like these two awesome people, feel free. to come on the show, Caleb. Hammer.com/apply. All right. Amazon business Prime card. Is this your. business? Yeah, it's a our the business.

is Sol Klima, yes. Huh? This is the name. of the company. name of it. It just means that sun. climate, but in Spanish. But yeah, we are the American Express. card that is a business card. Mhm. I don't know you said the American. Express. We don't use it? We do use it. Not too much for me. Nothing. The Who's. using it? Yeah, we were. Our one of our other problems is we mix. are not united in this. No, no, no. Our other was that we use.

the the business and the personal. interchangeable. Like we I know we're. not supposed to. That's Are you an LLC? Yes. Okay, so it's more just a. pass-through. That's going to make it so. much harder in the end though. Mhm. So account and then know what we. actually have to pay in taxes. Okay. Yeah, cuz no, it's used. $162 is. all that was put towards it. $313 was purchased even though there's. $66.35.

of interest accruing. Why are we possibly purchasing on a card. that is accruing interest that we can't. possibly pay off? How is that benefiting us in any way. whatsoever? Why are we doing this? Uh why? I don't have an answer cuz I. don't even remember the last thing I. purchased on it. But why swipe this card? Regardless of. moment I don't have anything in my. account and then I. go for the card that does have. something. But guys, it was.

fireworks and two Amazon's purchases. Oh, the fireworks. That was the last. thing, yeah. If you don't have money in your account, we're not getting things to blow up. It's not a necessity for life. me. That was 100% me. I did it for my. son, so it it was. it's just too much money for nothing. It. is what it is. Yeah, I was just try to. make my son happy. That was me. Yeah, he didn't have anything to do with. it. So why on this card?

Uh because it was the one that had uh. some credit on it. That's all. So your goal is a lie. You don't care about your goal. You'd rather blow things up. I do I don't touch it, but yeah, no, I. don't like it's not a lie. I just. It's not a goal then. It's a pipe dream. No, we do want to go. Yeah, want. We. will go. It's a pipe dream. And instead you're. blowing up pipe bombs.

We will go. We will go. How? Uh when you help us. That's not how. this works. That's not how this works. I'm not. paying off your debt. I'm not flying you. there. No, I know. I'm going through this situation and. I'll give uh a preliminary budget and. I'll connect you with tools and I'll do. the wake-up call and I'll give my. thoughts and my what I would do. personally. That's how I answer this. I. don't fix your situation. Your situation. is through your actions. I am not a. magic pill. Mhm. I'm not. I know. I.

know. This changes nothing if you don't. change anything. And right now what you. do, what your life is. is going and blowing it up, blowing up. your finances instead. of actually doing what is required to. get to your goals. You're saying that this is more. important than your goals. Through your actions. Okay. This year so far. $439.95. in interest. On one card. One card and we have many. to go through. Mhm. Home Depot.

Yep, the Home Depot. The last thing we. bought was the generator for in May. after the hurricane. Mhm, $518. That's a valid purchase. I do get that. Hate that it's on a credit card. I do. understand an emergency situation when. we don't have an emergency fund. I do. get that, but then we do everything in. our power to pay it off as quick as we. can. Yes, and that card has no interest. when we purchase through. Home Depot. Uh it's going to be 18 months. Not the.

entire balance, just that purchase, right? That That purchase and then there. was. Or is that the Wait 1 second. Yeah, cuz. one ends. Okay. Okay, so this this one. this $625. balance. Oh, that was the transaction date. Okay, let me see when the promotion ends. Oh, 2025. Okay, you got lucky. Well, okay, here comes $518 that's owed.

by. February 12th of next year and then June. 12th is $626. Mhm. Okay, and honestly at this rate you guys. will be paying interest. Mhm. It's a deferred interest. Oh, and. then there are is interest being. There is interest charged. There's. interest charged because you have a. revolving balance. That's just a 161. So. it's not completely interest-free. It's. the big purchases that you get from Home.

Depot. I know. But you're going to be paying interest. anyway because you're not paying us off. before then. That's not what your actions indicate. You're adding more to your debts. And you spent $1,500 more than we. brought in on a good month. A good income month. Okay. So what's the plan with this then? What. it was the plan. I assume the plan was. to pay it off early, but Yeah, I mean uh. what I try to do is I see the total owed. and I don't go by their minimum payment. I try to always do a little bit more so.

that it I make sure that it gets paid. before the date. Did you do the math? Or are you just doing a little bit more? I haven't done it yet because I knew I. had time, but I will. Yeah, I normally. do the math. $29 minimum monthly. payment. Yeah, I definitely. $1,307 is owed. Yeah, I. interest on the smaller balance and then. there's two deferred ones ending in just. a few months. I usually make a payment with Home Depot. at minimum $100 if not 150. With what's. happening, I have to ask you. Yeah. Do.

you want. just one person. one person, your wife Mhm. to be managing the household finances. without your input based on what we're. talking about so far? Now I'm not. villainizing you, but in general I want. to know your stance and what you think. about that because she's controlling. your entire financial future right now. because you're not inputting yourself. It's not like she's aggressively doing. it or stealing it. You're just not. participating.

Yeah, now the big problem I see the problem. is that look. uh. She get it give me in Spanish No, no, no. No, no, it's fine. Every time is one box in my house the. Amazon. Mhm. It's for. for me. for. whatever. No need this. He's saying I uh. buy too much crap on Amazon and there's. always a box at the front of the door. And he feels like it's not needed, but.

he doesn't really argue with me or. anything. Why? Why? What? No, I'm try the the more gentleman person. for my wife. Yeah, he doesn't want to. fight with me. I know no need fight. I. get that, but. Well, there there there are differences. between doing nothing and being. complicit and fighting. There are. conversations that can be had. And if everything turns into a fight, then we need to go to counseling. No, we.

don't. We don't fight. See, so No, never fight. Well, there we. go, but we can have conversations. If. you don't stick up for If you don't. stick up for your financial. uh. security as a couple here when you see. that things are being mismanaged, you're. just as complicit. It's just as much. your fault if you do not stick up. Yeah, probably my fault. Cuz there is the. Yeah, probably is my fault. I need to. speak. more the exactly this situation.

Okay. And now is. no money, no save money. Mhm. No money in my account. It's terrible. Oh, yeah. And when we'll get to those accounts. Quicksilver card. $1,503.22. with a $56 minimum monthly payment. My. We're purchasing again. The What's. How much is due on there? $1,000.

$1,503. I think that's his cuz we have three. Capital One cards. Are you guys authorized users on your. different accounts? Yeah, my yes. um I am yeah, on both. But we don't use. uh we're authorized users, but he uses. his and then I have my two. I know, but. we're just Yeah. You guys are. essentially together. Yeah. $41 of interest, $68 of purchases. I. Okay, I doubt this was gas. $5.19.

That's usually like going in the store. and getting some crap. Water? Water? Yeah. Get a water from the store, guys. Get. bottles of water or a big old jug. Get a. nice. this is water. And use this. We do use them. Then you have water refills at home that. we can put in the trunk. This is just too expensive. Well, guys, we're adding it to our debt here. And. Buc-ee's, who knows? You never know. You're getting barbecue, you're getting.

beaver nuggets, or you're getting gas. I. don't know. Yeah, all the problem the. big problem in house. the kid in house I believe Wait, the. name Sorry. Uh the kid and use it the water the. water water Oh, he half the water. probably in the room. I see. Probably it's short. Yeah, he thinks my. son wastes bottle water and that his. room is like a graveyard of bottle. water. Then do not allow them to have bottle. water. You're the parents. And it's half. Sometimes it's half. And.

You're the parents. Tell them they can't. have bottle water anymore. It's Like what? They're not They don't. own you. I honestly speak the same. problem for. He's been complaining about the same. problem. Ban him from bottle water. Why? Why not? Why has nothing been done? What? I don't know. I guess cuz in my mind. it's like a whole case is only what? Three something or whatever. So. Okay, yeah. Every penny counts. I get it. Yeah. But that's not what was.

my thinking. while it was happening. Okay. That's a 30% interest. Oh my Okay, other cooks over. Yeah, there's three total. Right. are. mine. Okay, so the other two are yours? Yeah. This one's at $2,559. This is debt, guys. This is insane. The. minimum monthly payments are stacking. $78 minimum monthly payment. More. purchases. We're going to lose my.

mind. More purchases. This is. insane and it's more than you even paid. towards it. $152 of purchases and 91. cents. $50 of interest and 2 cents. What did we get? Oh, what is this? What. is it? Bistrology Miramar. Oh, that's when we. went on our little mini trip to Florida. this last month and that's. that's what we had for breakfast. trips? How can we justify trips in any. way whatsoever? You have no money. You're not surviving. You can't even pay. your bills.

Well, okay. The way we justified it is. because we the the hotel was free and we. drove over there. So all we paid was. food the whole weekend. Okay, so money you didn't have. Yes. Yes, but we paid food. That's a good way to justify spending. money you don't have. Any more trips coming up? No, not rece- not soon, no. No. Not. soon. Does that mean Well, we have a. pending one to Cancun, but. it's it's something that's being.

Yeah, it's When? We don't have it scheduled. We don't We. don't have it scheduled. So but we. Has anything been purchased for it? The. $390. has been reserved for it. So How? Uh. because. half spent? No, it's like one of those timeshare. thingies that you did. Okay, that. So we. got a free trip but plane paid, hotel. paid. Hotel paid. What do you mean? You're in. a timeshare. Your hotel wasn't paid. You're paying for your timeshare. No, no, no, no. We didn't get like for. listening to the timeshare, that was the.

reward. It's not. You haven't signed a timeshare. Not. there. You have a timeshare? Kind of. What What is kind of? How do we kind of. have a timeshare? Yeah, we we have a timeshare. So it's a. monthly thing. So but that wasn't part. of it. That was a total separate thing. Do you know your maintenance fees in. this timeshare? It's not that kind. It's. something that's just a 6-year thing and. it's like a. $178 a month. Total.

Oh, you'll see it. It's one of the card. Kill him. It's a card? It's a It's put on a card, yes. Oh. Okay. So we've just made every choice. possible, haven't we? Mhm. And Walmart. Is Walmart usually groceries or what? It's. Yeah, usually always groceries. Okay, that was also spent on there. Like I. would be No, no, no, no, it's H-E-B. H-E-B Yeah, but the groceries on there. it was. It was. Yeah.

Okay. Best Buy. Oh, because there is. interest charged. What the. Back interest. Had to have fun. Cuz no. way $432 of interest just hit. So we. didn't pay off the. card by the time we needed to, which. means now I have no faith that the Home. Depot card will be paid off. I don't. Okay. What? What? No, no. I No, I Oh, that's the. interest rates. Hundreds of percents.

There shouldn't be any Okay, well, I. have to look at it. I will let you look. at it right now. No, I mean I have to see the details of. the the things cuz I. interest charge. Yes. Cuz there was no interest. for 18 months. We did nothing. I always paid every month. Oh. You didn't pay it off. Which means your back interest that was.

accumulating while it did it, which. wouldn't have hit you if you paid it off. by the time it was owed, by the time. that ended, has now come back with a. whopping $429.27. taking your You didn't even know this. You're an accountant, just a reminder. We Sometimes we got to account our own. finances. At least once a month. Okay. It went from $1,886. to $2,244. without spending a penny.

Mhm. Yeah, we did spend like $700 we. shouldn't have. Oh. Oh, not in this statement? So great, more on top of that. That's one of the. most fun things to. that cuz we did it a while ago. But. I don't care about that. I do. Mhm. All. that matters to me is. you had back interest accruing. And this is the first time this has. happened on the show, I think. We've had people with these kind of. debts but we haven't seen it when it. hits. You had that back interest accruing that.

you would not had to pay if you were. mature enough to pay it off on time. You were able to look at like our. documents at all. We were able to do any kind of personal. accounting. But you didn't. Now you're facing the consequences, which is why I don't believe for a. single second that Home Depot card will. be paid off before it starts accruing. interest. Luckily, it doesn't look like. back interest accrues on that one. Not 100% sure, but that's what it looks. like. Okay.

We have no reaction to this. Well, I didn't know it was there so I. don't have a reaction to it. So I have. to. Okay, you're not credit card people. Never open up a credit card again. Close. all your credit cards. It doesn't. matter. It's not like you're taking. advantage of the American credit system. to buy. a house in Chile anyway. So you guys. don't need credit. You don't need. credit, do you? Do you need credit? For times when we don't have money. Okay, no. That's why I get you to an. emergency fund through a plan. We no longer take advantage We no We. don't take advantage. We don't take out. credit for emergencies anymore. Okay. I.

mean, your emergency was buying. fireworks. By the way. That wasn't an emergency. It. was just something I wanted to do for my. son. So it's even worse. Okay. Yes. And I get that but also there's free. firework shows everywhere. No, he wanted to blow them up himself. Okay. That's great. So you blew up your finances to satisfy. that goal. It's going to be really great when he's. going to be forced to take care of you. guys because you don't have any sense.

saved up ever for retirement and you're. still paying on debt in retirement. And. all the fun all the fun money that you. guys spent to, you know, spoil with. fireworks and stuff like that, it's. going to come back to bite him because. he's going to want to live his own life. and mom and dad are going to come back. and they're going to be like, "Uh-oh, we. stopped. Please help us cuz we're I don't want to. die under a bridge.". And they're going to feel obviously. morally responsible too because they're. you're their parents and and no one's. ever going to let their parents die.

under a bridge. I don't think that's going to happen, but okay. Why? I just don't think that's going to. happen. It's a good reason. I mean, I I wouldn't. let him take care of me. I mean, I don't. think it's going to happen. not about let. Like he will be obligated. to morally in his core. It's not about you asking. No one lets. their parents, unless their parents is a. piece of obviously. No one lets their. parents suffer in retirement. I think we. will fix this before we get to that. point.

How? By slowly realizing what I need to. do to fix it. That's not an action. What? That's What. what? That's No, no, no. How about you. So you don't even know yet what you need. to do? No, I do know. I'm not going to be. overspending. I'm not going to be. spending on things I don't need. Oh my gosh. Okay. What other answer is there? That is the. answer. That's what I need to do. Literally any plan that isn't just like. I mean, I don't know. That's a good. basic like starting point.

Uh-huh. But that just doesn't give me. hope. I'm sorry. I'm sorry. I'm sorry. Okay. Kia Forte. Who is the Forte? Kia. The. Forte. Okie dokes. We have Oh, these minimum. monthly payment, guys. Guys, these minimum monthly payments are. insane. I didn't write down the Best Buy. one. It was 50. Okay. Okay, minimum monthly payment or the. Forte is total owed.

total balance. Oh, whoa. Kill me. Okay. 19,000. $738.99. And this is We just keep going up. We just keep going up. $461 is owed. and 48 cents. Yay, yay. Joy, joy. 19% interest rate? 19% interest rate? That's what they Yeah, that's what they. gave him.

So you don't do it. I know that's so much easier said than. done, but like how much shopping around. did we do? Why did we have to get a car. this expensive? What were we doing in general? him when he got the car. So you just got. it without even talking to the wife? You got a whole car, tens of thousands. of dollars without a conversation with. the wife. I mean, I knew he wanted a. car, but he went and got that one. How. did you not have a conversation? Um, called on my wife.

Well, he so he called you. He said that that he found a car and all. that. Yeah, but I yeah, I was I just. wasn't there. But he talked to you about it. He. to be physically there to get. information in 2024. Yeah, I mean, I I. vaguely remember the conversation, but I. I honestly didn't think he was going to. sign and bring the car. That's all. But. he did. Okay. He felt he can do those payments. on a monthly basis without any issues.

That's what starts people. They see the. monthly payment and you likely extended. the term to as large as you could almost. in order to afford it. And you see this. one minimum monthly payment and you're. like, I can squeeze that in. Then you. see the next one, I can squeeze that in. The next one, I can squeeze that in. Right now we're we're we're. halfway through this pile and we have 1. 2 3 4 5 6 minimum monthly payments so. far. Plus plus we already know about a. timeshare minimum monthly payment as. well. Plus we already know about your. secret loan minimum monthly payment as.

well, which I have not put on here. So. they just keep stacking, they just keep. stacking, they seem like I can afford. this one, I can afford this one. They. stack they stack and stack until they. can't afford a single thing in life. Mhm. Kia Forte. Yep. You owe 19,738. What do you think it's. worth? What do you think you could sell it for. today? 22, probably. $11,000. Okay.

So he owes more on it than what it's. worth. Yeah. Okay. By a substantial amount. Mhm. Which one? Probably not off. The. math doesn't even work to trade it in. and get a personal loan to get a $10,000. car, pay the difference. That's just going to have to be a. we're paying it off with the until we. pay it off. That That interest rate's. insane. I haven't seen a bad car interest rate. loan in a second. You guys are just bringing it all. Mhm. You really brought me all the the. highlights.

I brought them all cuz I didn't want to. hide anything so that it could all be. there. I do appreciate that, but I just like. it's interesting cuz people come in and. they have this one really bad thing and. that's like what the episode focuses on. And then someone else has one really bad. thing. You guys uh like collected the. Infinity Stones of all the bad things. that the rest of the guests do and then. you sit right here. At least you guys. aren't blowing all money on like some of. them, right? No. No. No. Not for us. No no cheating and. having. kids. We don't buy alcohol. We don't do.

any of that. So you guys didn't do that. We do have the mystery loan. No. No. No. We like to just go out and eat and. travel if we can. That's That's our. vice. Mine too. Look at this. I can shake my. titties and I'm a man. You're not. supposed to do that. Uh CareCredit is uh a. That was for dentist, but it it's the. medical card. So no interest for 18. months, but that's. Well, we know how you guys do with no. interest. I That one that.

I always. I've had balances on that one before, but it's all medical stuff. Okay. Is this still ongoing? No. No. I I haven't used that card in a. while, but then I had to do a a dental. thing like a few weeks ago, so. And is that this? That's the $550. Okay. Well, you had fees $30 this year. so far. Promotional balance. This is the. third This is the third interest. Deferred interest is already starting to. accrue. So you must pay this off by.

by the end of the year. Not a problem. You have 5 months to pay. this off. Okay, $500 5 months Where's my. calculator? It's buried under a pile of. debt. $100 a month. Who would have thought 500. / 5 is 100? How much is? 100. Okay. Grande. Yeah. That's my second card. Quicksilver number three.

2,926. Mhm. $2,926.34. It's an $80 minimum monthly payment. No purchases. Thank you. After everything, we made it. We're not purchasing. Okay. Wonderful. Still accruing $46 of. interest, but no purchasing. The balance is high.

The minimum monthly payment is. continuing to stack on our never-ending. Mhm. path towards minimum monthly. payment supremacy. Oy. Okay. This is another car. Capital. One. Pathfinder. We have a Pathfinder. Okay. This one's yours. Here we have a. Okay, your principal balance is a fourth. of what his is. Have you had this for a. while? No, I just bought an older car. Thank you. See, we can do it. We can do.

it. You should have got an older car. It's too late. $5,758 is owed. $384 minimum monthly. payment. You guys are so lucky your. household income is $100,000 a year if. not more because of the extra side. business. 17% interest rate though. 17%. Did we shop around? Did we apply for. different ones? Did we go to a credit. union? Did we get anything? Uh it's just I know the higher interest. is because my credit isn't that good. What is your credit? 700 and something? No, not anymore. It's.

620. something, 640. I think you could have got closer to. like 12%. If we shopped around a bit, maybe maybe. not. That's what I ended up with. Well, yeah. Okay. And then yeah, and it was the the kind. of the car that I wanted and it's it Oh. yeah. What's it worth? Um I don't know. Probably not that much. It's a 2003 Pathfinder. What do you. think it's worth?

Uh maybe. 3 4,000? Pretty good. 3,000. Okay. So you are underwater on it somehow. after you know, all that, you know. At a 17% interest rate, underwater at a. 17% interest rate. Okay. I try to make. at least $400. The payment there that. you see, that's what I make every month. A little tiny bit over. I don't know if. it makes a difference. about that.

I'm curious about that. Why? What's the curious? Noah says we have. cookies. and asking if you want cookies. I'm confused, but I want cookies. He also says if you want a gold star. Parents, quick reality check. What's. more important than protecting your. family? Probably nothing, right? And. that's why I'm excited to share our. sponsor Fabric by Gerber Life. Fabric is. made by parents for parents and it's all.

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He He's trying to He's trying to be a. butt to you, but. you I I I try to make an extra $20. I. don't know if it really makes a big. difference. He wants a gold star for. that. You can fight him in the post show. He's. going to come out here and you can just. goo goo goo goo. Oh well, now he wants to cut it, so. never mind. Well, I was trying to. I was trying to tease the post show. Uh yeah, I don't know if it makes a. grand difference, but I try to make a. little extra $20 principal payment every.

8 months. Yeah, I mean okay, so you've brought. that up. You've brought that up for a. couple cards. Okay. So what is our strategy there? I'm. genuinely curious. I would love to know. what you think we're doing when we put. just an extra couple dollars towards all. our debts. Uh. it it lowers the amount of time or the. amount of interest you pay because it. lowers the amount of time that it's. stretched out. the principal balance. So less is. accruing interest. Yeah.

So typically in the debt payoff journey, we usually talk about. avalanche. or snowball. Have you heard of those? Not when it comes to finance, but what. does that mean? Okay, so snowball Mhm. So, you've watched the show, haven't. you? Yeah. Yeah, I just Okay. probably just didn't focus on that term. Okay. But I mean, I can get the general. idea of snowball and avalanche. Yeah, kind of Yeah, snowball you're paying off. your smallest balance at a time. Whatever's the smallest, that's the one. you're paying. Then your minimum monthly. payment is going towards everything.

else. The reason you're doing that is. cuz one, you get a quick reward in your. brain that you're making progress cuz. you pay yourself your $500,000 your $500. debt. And also, the minimum monthly. payment that would have gone towards. that is now rolled into your leftover. money that starts going to the next. debt. And all of a sudden, we have more. and more and more and more leftover. money that's going into the next debt. That's the snowball method. Avalanche. method, which technically pays off debt. quicker. uh with less money over time being put. towards it, is paying off your highest. interest rate. to the your lowest interest rate, no. matter what the balance is on the card, while doing your minimum monthly payment.

on everything else. And the reason we're. doing that is cuz obviously, if. something's accruing 40% interest or. something accruing 2% interest, you're. paying off the one that's accruing a. bunch of interest first. That one gets. you there quicker. Psychologically, people have more success, at least in. this environment, with the snowball. method cuz you see those wins a little. quicker, which allows you to which. encourages you to keep going. But if. you're really disciplined, which. then avalanche is typically the best. financially, mathematically speaking. But we don't even talk about money, so I. don't even want that to be considered in.

your guys's picture. Okay. So, it's typically not an advised debt. payoff strategy to put an extra $5. towards all our debt across the board. cuz we're just really not making. momentum anywhere. You're not paying off. a high interest rate card quicker. I would do like an extra 50 or more. Like on the credit cards, I don't know. if it It's just an example. We're not. We're not really We're not making. progress on a small debt to get rid of. extra minimum monthly payments to put. towards something else. We're also not. making progress substantial progress. towards the debt that has higher.

interest. So, this is we're not making. any substantial progress when you do it. that way. Okay. So, you're saying it's. better to take all those little extras. and just do it towards one for now. Yes. Absolutely. And we'll talk about. that at the end. Okay. But we have more. credit cards. That one I can I mean, it's Is this a timeshare? Oh, no, no, no. Th- This is a an a credit card from. Chase Bank that's connected to the. Marriott uh Yeah, cuz we love to travel. with money we don't have. And that's why. this has a balance of $4,882.72.

Houston from uh Oregon to Houston, we we. used that card 3 years ago. Uh so, we uh we used that card to do our. like our expenses moving expenses, and. since then I have had a really hard time. trying to lower the interest. And that's. lowering the interest. I mean, not the interest, the the the. balance. But the thing is, before I used. to have things automatically withdrawn. from there to pay stuff, so the balance. wouldn't go down. And and then I took it.

out. what makes it really hard to lower the. balance? Is to keep making purchases. know what makes it hard? Doing the auto payments for certain. things? Missing payments. How about that? Oh, I. No. How about missing payments? That. makes it hard to not pay it off. $100,000 a year plus. That's not a usual thing, but I did it. twice. a classic. You really are collecting all. the Infinity Stones. It's not a usual. month. I haven't heard that in a long. time. That's That's actually kind of.

funny. That's a throwback. Uh. Are you. usually don't forget, but I forgot that. month. So, yeah. Special unusual month, guys. Mhm. Uh well, I mean, it's the month that I'm. looking at. So, that's really all I care. about. You guys owe $166. Yes. Is this everything you hoped it would. be, or do you hate me right now? Uh no, it's okay. It's opening my eyes. to things I didn't see before, so it's. fine. I mean, I'll deal with it. That's the point. Yeah.

I know it's hard to get called out, guys. So, I do appreciate you being. here. I really do. And I know this is a hard first step, and I know I'm quipping a little. I see the number in my life is terrible. now. More terrible. Life isn't terrible. Life isn't terrible. numbers now. Now he feel like they're. But but this is the first time you're. knowing it. Meaning, now we can get. together, create a plan, and actually. figure it out. And you know what? If we. didn't know it, you might not know that. life is terrible. It might feel good in.

the moment, but we would end up in a. worse position. So, this is the first. step to make sure that you guys actually. live a good life in the future. We have. to get there. Okay. We have to get there. So, we got to get through the debts cuz. we missed a payment. Usually, it's $166, I think. And of course, late fees are. added cuz we're not paying on our bills. Tell me. Because that's the total fee. this year so far, about 100 $811 in. interest in this year so far for this. card. $107.78. in interest this past month.

$351 is owed right now because we're. late. We we paid it. Good. You You back paid. Good. Don't miss it again. Infinity Stones collected so far this. this uh episode. Okay. Not a typical. month. A secret payday loan from the. husband. Two underwater cars at 15% interest. A mother timeshare, I'm uh saying in the. words of. the late great Noah, late payments.

Motorcycle. My. His motorcycle. Can you get rid of that? He's planning to use that instead of his. car to get to work. going to sell the car? Mhm. No, we use the car. Sell one. No, we can't. We can't sell one cuz uh I. mean, he can't use his motorcycle when. it's raining outside or and and he and. he can't use the motorcycle when he. needs to do jobs, his side jobs.

the. And what other one? And when can he not use the other car. that he has to use the motorcycle for? No, he would use it just uh to go to. like his. Then we are uh selling the motorcycle. Guys, this Have Have we looked at this. number yet, guys? Remember when you just. said you feel terrible? Yeah, if we can. wipe out one of the debts. Like this isn't even a consideration. Are you going to sell it?

I. It's his motorcycle, but I mean, I think. it's such a small. loan. Isn't it like uh it only owed 1,000? You're right, it is a smaller loan. So, this actually doesn't make progress. I. just saw it, and I was like, let's just. get rid of it cuz we don't need three. transmission things. Yeah. $1,200, $89 minimum monthly payment. But again, it's it's the stack. This will just be one of the quickest. ones we pay off. What's it worth? What's. it worth? Do we know what it's worth? We don't.

But because if you If you could pay it. because if you could sell it and you got. like $5,000 for it, that's all it's. worth. he only paid 3,000 for it. Like that's. it from the dealer, new. It's not a It's like those little It's. not even. motorcycle. It's Yeah, it's not a big. thing. So, if it new cost 3,000, I wouldn't. think it cost. that much more to sell it. What's the. interest rate on this thing? Oh, 23%. What are we doing? What.

am I? Okay. Wow. That is all I can print out for the. student loans. gosh. Yeah, cuz you went to a lot of. school. There's more than the 52,000? There's like 150,000. more. That is the the Did you guys even know. that? I put it in the original list. Yeah. Of. insane. The in Yeah, and.

Total it should be like a hun. Yeah. Why did you need the infinite. amount of schooling with all this money. that needed to be borrowed? You didn't. need your master's degree to do what. you're doing now. I didn't know that at the moment. They. kept convincing me that I did. Uh I got. uh. I DeVry. DeVry University. Oh, your school, the one that wanted you. to keep giving them money. Isn't it a private institution? Yeah. So, abs- No, they were selling you.

Me. So, But. our uh the government loan like the. So, they're all federal? Except for. those. These are the ones that are not. These. are consolidated. Well, I mean, it's the. Some of them are 18.5% interest rate. The the Student loans at 18.5% interest. rate? I've never seen that in my life. I've never seen that in my life. You collected a stone I didn't even know. existed.

That's what they offered me at one of. the loans. And you took it? When did you take this? Uh years ago, many years ago. I don't. remember. It was many years ago. But I I. had to do the private I mean, because of. They had classes at nighttime, and I had. to do a full-time job. I saw the. unsubsidized and subsidized. I was like, "They're all federal." No, all of them. are under the the consolidation, and. they're signature collect loans. We have. $52,000 in private student loans. The. lowest interest rate is 5.3. I'm not.

going to throw up over that, but there's. so much at 18.5%. interest rate. The other one is. 100 something thousand. Yeah, in. federal? Yeah. Why haven't you tried to do any kind of. like. working for the government for any. public student loan forgiveness or. anything? Cuz that's the only. way out of this. They need accountants somewhere. They. have to. A nonprofit. A nonprofit. Okay, well, I have to find one that will.

pay me enough, I guess. it's at this point, I mean. But at the moment, I'm only paying on. those and the minimum payment per month. is $205. The The other ones are not in. payment right now. 205 Why? They I have it deferred at the moment. Oh. I can't Well, like you can see, I. can't pay all of that. I agree. I I. agree, but just always pushing the. deferment cuz you know what's happening.

in all these loans? Yeah, the interest. is collecting. Your interest is getting And this one. sitting at 18.5 with the lower rate and. then a lower minimum payment than you. would need to be paying at least $600 to. be making any kind of progress on the. $650 a month. That's that's why I. And we're just allowing it to die. So, this is why we're fleeing the country. Uh well, I mean, they do have that Well, someone told me or I saw in there that. that 25 after 25 years, you can be. forgiven if you're like all good. Listen, potentially. So, this is the.

thing about This is the thing. Everything student loan right now is is. such a hot topic after the after the the. Biden proposal a couple years ago. Mhm. Right now, like the SAVE program, for. example, in federal courts, it's getting. thrown around, it's getting slashed, it's getting it's getting upheld, it's. getting destroyed, and it's all that. going to go to the federals uh probably. to the Supreme Court at some point. And. the Supreme Court hates any kind of. student loan forgiveness, it seems like. And the student loan forgiveness in. terms of. even that much. For me for me, it's not. even it's like. Well, hold on. You borrowed the money. This is the taxpayer taking care of for.

you. So, don't pretend like it's. nothing. No, I know. It's. It's the money he's earning, it's the. money he's earning, it's the money he's. earning. Like so, it's not like it's. nothing. I'm not saying I'm. anti-forgiveness or anything, but. pretending like it's nothing, that's. gross. No, no, no. I'm just saying that. the even if they do approve it and. everything, which I would appreciate, it's still I have over 150,000, so. I thought maybe this would be a. bankruptcy conversation, but these are. student loans, so it doesn't even. matter. No. Yeah. Yeah, and then when it comes to the. 25-year thing, so what I was talking. about that is.

it really depends on the Department of. Education. A lot of the forgiveness. stuff is really dependent on the actions. they're doing and what they're the loans. that they're forgiving. It's just just. you know who's in charge there and you. know. I don't know what administration's going. to be in charge at that time. What if. they're just beyond anti-forgiving any. kind of student loans? Even like I don't. know, man. It's It's It's There's just a. big risk. Right time, right place, sure. But I that's is. I don't Well, I mean, I figured I Yeah,

if if it doesn't work out, I'll still. apply for those, you know, the. the income-based ones, so. Which means. you're just allowing it to accrue. interest forever. And also income-based. you guys make $100,000. At some point. like maybe the next Department of. Education is not going to find your. income acceptable for income-based. repayment. Mhm. How does this continue? Oh, is this a. mortgage? Yes, the the my condo in Or-. Portland, Oregon, I rent it out. I have a condo That's the loan for the.

condo. And uh. my payments with the mortgage and the. HOA together that I have to make is. approximately $900, and I get rent from. the person in there for 1,200. And do. you pay a rental property management. company? No. Okay. directly Are you setting 6%. aside. for any future repairs and vacancies? No. Well, do you collect from them? 1,200. and I approximately Well, you should be.

setting 72 aside at a minimum on a. monthly basis. Um but it sounds like you're at least. keeping up. I'm sure there's months that you don't. though. Things break. No, I mean, uh. Probably I I'm pretty sure, but my. tenant. doesn't call me. He just fixes it cuz he. That's what he does. Yeah. Uh. Now, at some point, obviously, they. might move out. Mark Rental Market might. take a turn. Um but what concerns me more cuz I also. own a condo for a rental unit. I It's.

the one thing It's the one I wish I. didn't get. It's okay now because. luckily the rental market picked up in. that area. Uh-huh. But condo. associations, unless you're on the. board, you pretty much don't have a say. Are you on the board? No. Yeah, they can. raise that crazy. They could also be. like, "Oh, guys, we need a new roof for. this building. Looks like everyone owes. a couple thousand bucks." Uh No, the the. every year they they raise it like Oh, yeah. like 20 bucks at least. Yeah, wait until they need to fix a pool. or something. It's right now at like. $310, and I when I first bought it, it.

was like 180. Exactly. Condos for. rentals. I know now. What is it worth? Have you. checked? Last time I checked, which was maybe. like 2 years ago, was 165,000. Sell it tomorrow. Uh I can't sell it for another couple. more years because I got a loan from the. the county in in Oregon, and I have to. have it for a certain amount of years. So, 2 more years. It's insane. That's so.

crazy. You're This situation is. ridiculous. for down payment, so. I get it, but do. you know how much progress we could. make? We could change your life with. this extra 100,000 or 80,000 after fees. and everything. $75,000, let's just say, to be conservative. $75,000 in cash in your hand getting rid. of this rental property that cash flows. at like 3%. That. You could change your life. You could change your life, and you.

literally cannot. What happens if you. do? Do you have to pay it back? Yeah, the 20,000. I think a couple more years, I think. it's okay. Like I have 2 more years. Mhm. I'm trying to think if it's worth the. I'm trying to figure out some math. All. right. So, you have like $100,000 in. interest rate accruing things that. aren't this condo, essentially. Let's. just say it averages out at at about 12%. interest rate. Okay. How much do you have to pay back? 20,000? Uh yeah, if I sell it now. We would want.

to do some critical math, but if this. debt all sits here without making any. progress at an average of like 12%, it's. going to accrue $24,000 in interest over. the next 2 years. So, technically, it. actually might make more sense to sell. it. That is not a guarantee. Let me be very. clear. We need to get some minutia math. on that, but just gut take, you actually. might make more selling it now and. paying off the debt than allowing the. debt to continue. and sell it in 2 years. We would need to figure out what the. actual based on all your debts, what's.

the real interest that's going to happen. over the next It might be higher, it. might be lower. It actually very much. could be higher cuz of those student. loans and those credit cards are like. 30%. Uh-huh. There's a good chance where if you sold. it today instead of 2 years ago and paid. back the in 2 years from now and paid. back the $20,000 that you'd actually. make more money. by putting a lot of it towards the debt. But then again, but then again, you'd. only be putting like $50,000 towards the. debt. In that case, it would still be accruing some. interest. Half of it would still be. accruing interest. So, the math in the.

end still might be closer to break even. I don't know. If you're willing to sit down and. actually do the math math math, you'll you might be able to determine. that you'll you'll make some money. Mhm. And also, will they know? Will they know? Oh, uh. Yeah, cuz there are something in the in. the loan for the bank like they have to. let them know. The the county. Why would they want you to keep it for. that? I guess so it's not it's. discouraging flippers. But what it's. doing is it's preventing inventory. Like.

that just overall hurts the housing. market for the average buyer. Like it's. an it's an interesting program. I get. the assistance part, but the that rule. is probably to discourage flippers. of things to get that condo at first cuz. I even had to take like a two uh two-day. class to lower my interest rate cuz they. wanted to give me a higher than the 3. whatever they gave me. Oh, I get that. Okay. And okay. That's the time share. does this keep going? How are we.

still going through debt in an hour and. 10 minutes? share one. What are we at? 1 2 3 4 5 6 7 8 9 10 11. 12 13 14. 15 with the student loans and now 16. Oh, I didn't even write down your other. student loans yet. Okay, how much do you. owe on the federal student loans? I believe it's like 100 You know what? I. did that uh that Credit Karma thing that. you said. It's It's on there, but it's. like 100 and. Okay, 100 What What's owed on the secret.

special loan? Oh, it's only like 600 and. 50, maybe. What's the minimum monthly? $54. Okay. You need more paper. Oh, Wyndham. Oh, Wyndham. We love Wyndham. Uh that they uh We love Wyndham. I. didn't even tell him about it that they. they lied to us again. They So, it's a. time share. Uh what do you expect? Yeah, but uh. I actually didn't realize cuz I went by.

what they told me, obviously, which was. a lie. They said we were going to be. charged 120 a month, which was fine, whatever. Uh I assume before like fees. and maintenance and all that. They don't. have fees and maintenance. It's just. 120. Uh because this is what their plan is. that they want us to use it for 6 years. at this special thing without. maintenance fees or anything. And on their credit card. Yeah, and then. after the 6 years that we're going to. love it so much that we're going to do. all the regular time share stuff. And. we're like, "Okay, I don't think so, but.

fine. We'll try it for 6 years." So, later on. a month later after I noticed that they. were charging 178 instead of the 120. they promised, it and then I wasn't making enough. considered trying to sell it? your time. know if I can. Uh because I don't know. It's not like a. regular time share where you like have. to call and schedule. It's It's a. different kind of time share. I know. You can stay at any Wyndham. across the country. Yeah. I'm I'm allowed Oh, I didn't know.

I I don't know. Oh, yeah. I I have to. investigate cuz I recently. you you've been so many times by them. Interest rate is $61.65. $178 purchases. That's your monthly. thing. And then 240 It's like it's. crazy. You're forced to make a purchase. on here almost. It's like insane that. you're even allowing this. 2,490. There used to be exit companies, but. there are also sketchy things. surrounding them. For sure. What I was. going to try and do, I don't know if. it's a good idea, but I was going to try. and call them to see if I can get that.

178 removed from my regular account so. this one won't keep on collecting. interest and then try to pay this off. I. mean, yeah. That's a start. I would try to. The thing about selling is you're going. to have to sell it as well. Um. but I'll I'll I'm going to look into the. contract and see if that's possible cuz. as far as I know, I thought we were. stuck with it for 6 years. You know what your I don't have your. contract. Do you know what your. timeshare is called?

It it has the the Wyndham name on it. But no, I don't like specific name, no. I don't have it with me, no. I mean, you. can also just ask them if they're able. to sell to someone else. Sure they don't. care as long as they get their money. You might be locked in for 6 years, but. it's kind of it's also just kind of. weird. Obviously, you've missed your. decision period timeshare cancellation. letter. Can write a cancellation letter. to the timeshare company if there's.

things in the contract that allows you. to do that. It needs to include all. necessary details and the agreement. number. Do I want They might offer a deed back. program where you can return the. timeshare. I highly doubt it. Obviously, selling it that's classic. I have. written in I don't know if it makes a. difference. I was going to call with the. my lawyers to ask them, but the person. that sold us the thing handwritten what. we were supposed to be charged and it. does not match what the contract has at. all. There's actually there are. attorneys that you can talk to that are.

experienced in this. There's that. Timeshare exit exit companies, I don't. know. There's been bad reputations with. them kind of. Interesting. This one. Just stop paying, this says. Someone needs to stop paying. And it could lead to foreclosure. and it damage your credit score, but. yeah, that's kind of like a last last. last last last last last resort. Okay. It's. Timeshares are incredibly difficult. This is really Out of all things to get. into, it's one of the last things I.

would get into. The interest that's. accrued this year so far is $338. Okay, 100 $59 in a Chase checking account. Is. this both of you guys? No, this is mine. Okay. First of all, that's basically no. money. That's scary, especially for. making 100,000. No money because. I paid everything I owed. No, no, no, no, no, no, no, no, no. With me, no, no, no, no, no, no, no, no, no, no, no, no. I see on this first page alone. two necessary transactions. Three. The. rest is just going out to eat and. shoving it all down your throat. Jack in.

the Box, Subway, Food Town, Bath & Body. Works, Sonic Drive-Thru, Dropbox. Let's. not pay for Dropbox when we can't pay. bills. DoorDash, Thai restaurant, La. Michoacana. I can't do. words that require knowing languages. I'm sorry. Paramount, I failed Spanish. Spanish too in high school. It's true. I'm so sorry. I told you that's one of our vices that. we eat out a lot. Okay. Yeah, we don't. give vices when we can't pay bills.

Half Baked. Goodness, Teriyaki something, Amazon. I. think we're running out of ink on this. paper. Amazon, Amazon, Amazon, Google. storage, Affirming. We're Affirming? So there's even more. Amazon, going inside getting some BS. Jack in the Box, Adobe. We're not paying. Adobe subscriptions when we can't pay. our minimum monthly payments. Terra. Nova, Amazon, Microsoft Ultimate. I don't. think we're using Google. Use Google spreadsheets. It's free.

eBay, eBay. Why are we doing eBay? Come. on, guys. Discovery Plus, there's. nothing on there anyway. I actually like. the new Star Trek show, but I haven't. even heard if it's good or bad. Affirm, great. More Affirms. Netflix is. definitely not anything on there. Affirm, Amazon, Jack in the Box, Best. Buy. Best Buy, we already have a Best. Buy card, but there's Best Buy. Wait, that's a Best Buy payment. I think that. was with Best Buy card. Amazon. Car. wash? Why are we car washing? We can't. afford to pay our car hardly, but we're. getting it washed. It's Texas. It's not.

snowing down here. We don't have salt. and stuff hitting the bottom of our car. We're not doing that. Motel 6, no more. traveling. Merlin's delivery, Surf. Style, Hulu. Guys, we have every. streaming service possible. Stop going. inside getting some BS from a gas. station. Amazon, Amazon, Wave Sushi. Texas Roadhouse, getting them rolls. Ross Stores, going in getting some BS. Amazon, Amazon, Amazon, Amazon, Amazon, Amazon, Sonic Drive-Thru, Amazon, McDonald's. That's insane. That is insane. I We.

complain "Wah, wah, wah, wah, can't pay. my bills. Wah, wah, wah, wah." Guess. what? You You're buying all this bullsh. No more excuses. Uh-uh, I don't care if. it's a vice. Uh-uh. Those are the two vi- Yeah, what I told. you. Amazon and going out. $400 in this. checking account. Oh, we're back at it. You better believe it. See you at the. buffet. Game time. Tickets $182. What. did we go? What game did we see? Let's. play the game of life where we pay off.

debt. Chile and Peru, but he got the. deposit for that money and then he went. and bought the tickets. Amazon, Spotify. I promise we can listen. to ads, guys. We can listen to ads. We. don't have money. Remitly.com Remitly Let's see that. comes. That's the That's the what he. uses to send the money to Chile. So everything is sent. What money? Right. now, if you guys use my Moomoo link in. the description below, you can literally. get 8% on your money that's sitting in. there for 3 months. It's absolutely.

incredible. Plus, you'll get 15 free. stocks just for signing up with my link. This is literally free money, so make. sure you're taking advantage of it now. There is no reason not to. Sign up now. Link in the description below. Remitly? That's his for sending the Child Support. is $400 a month. Oh, you have to. Yeah. And then whatever extra they have. Oh, we're going to Waffle House 3:30 a.m. fights. Lens buffet, Applebee's. There's. more money to the. child support and you have to do that. I. get that. Home Depot, Panera Bread, Food.

Town, Applebee's, Ross Stores, Applebee's, Amazon, Wendy's, going. inside gas station getting some BS. Spicy China Asian. We're getting more. car washes. Great. I'm glad the car is. clean. If only our finances were as. well. Paying for parking there, paying. for parking there. Sending more money. back to Chile. Legends concessions. We're getting concessions at the concert. we already can't afford. Duloxetine, Duloxetine, Amazon. Sending more money. back. Adidas, Domino's, Applebee's.

Going inside getting some BS. Applebee's, Wendy's, going inside. getting some BS. Oh my gosh, you just. can't stop. Amazon, Mambo Seafood. Sending some money to Chile. Getting. some BS. Seafood is really good. Great. I'm glad. I'm glad. You know what's. You know what's really really really. really really really really really good? Being able to fulfill your dreams and. moving back to where you want to. Going inside getting some.

Going inside getting some. Amazon, Amazon, Fruit Jungles, Amazon. Oh my What are we. doing with the Zelle? Zelling out 350, zelling out 100, zelling out 50, zelling. out 50, zelling out 200, zelling out. 100, zelling out 30. Where's that going? Zelling out 150 or zelling out 15, zelling out 700, zelling out 30, zelling. out 50. Okay, the the zelling out for him is. usually business based because he'll do. a job, he'll get someone to help him,

and then he'll pay the helper, and then. he gets the cash, and then. doesn't put it in the account. He'll. like spend it. All cash goes in the account now. But you're also including him in the. financial conversations. Yes. You guys. are doing this together. Of the money spent, which was $1,500. more than we brought in because of. course we're buying we're building up. our debt. Only 12% went to debt. Well, that's great. Only 5.5% went to getting. groceries, but guess what? 6.5% 6.5%. went to going out to eat or $843.

Unknown spending, typically Amazon. We. know you had a lot of Amazon. Do I even. need to look at your Amazon to see if. it's spending? I have a feeling. it's all spending. Either way, it was $1,828. Then, miscellaneous BS BS. Things that. do not contribute to your life at all. There's miscellaneous swiping, going to. the concert, getting whatever. $1,411. or 10.8% of your spending. Our large. purchases, $2,647.78. or 20.3% of your spending. Yeah, this is our life, guys.

This is what we've chosen. Wow. You bored? Not that. It's just that. I I was told we would we should have. been done by 3, but that's I have an. appoint- I have a meeting at 3. What? You have a lot of things. Oh, what's. your meeting? 3. It's I just need to. text him and tell him I might be a. little bit more late. Yeah. Okay. That's. fine. Especially cuz we're going to film a. post show after this as well, which you. guys can join. Link in the description. below. It's an extra 20 minutes of.

Usually we dive more into the tea side. of things cuz you know, this is the. finance part, then we get the drama in. the post show. Um we'll be done by 4. No, it says. Uh. And let me just call him and tell him. that it's Oh, cuz we have a member. stream at 4. You can also hang out for. that. Make sure you guys are hanging out. for the member streams. What. is your rent or mortgage? The rent that we we rent a house, it's. at 1,300. 1,300.

200? 1,300. Utilities? Gas, electric, internet? Okay. Internet is about 90. Water is about 45? 50. Like 50 55. Electric. ranges between 150 to. close to 3 like 390 or 290. Um I'll say. 225 for that. Okay. Uh what else? Renters insurance, do we. have it?

Uh. yes, but it's included in my car. insurance thingy. We'll talk about that. So, 370 for utilities. Good. Gas. for both? Oh, I pay For me is more. cheaper. 30? A month? 30? A week. No, for a week. Uh mine is like 60 a week. I work further and mine's a. six-cylinder. Okay, 360.

Car insurances? 225 for both our cars plus the renters. insurance. That's not bad. Phone bill? Yeah. Oh, uh. we pay. $16. Good. Because yeah, different reasons. 16 total? 16 total for my phone, his. phone, and my son's phone. Okay. But that's because I have a. My bill says $398,

but I I have I give people. Okay. Yeah, and then yeah. $700 for. groceries, follow the meal plan, tweak. it to your thing. $200 for the TP fund, $200 for the TP fund. That is anything. else you need to survive cuz this is. like a top-down version of your budget. You need to build it out for its true. nuances. It's anything else you need to. survive. It's makeup, it's you know, we're just doing some basic things that. aren't fully wants. Some could say. makeup's a want, but you know, I put it. in there. It is your toilet paper, it's. your towels, it's what when you need an.

extra clothes for this month, you know. That's that's your TP fund, $200. Anything medical, copays that are. ongoing prescriptions. Yeah, I'm paying. for months. Probably one 100. Okay. Anything on top of that? No. Gym? No. My a $20 a 20 yeah, $21. Look at me. No gym. Look at me. Okay, let me get your minimum monthly.

debt payments. Yeah, I need to remove the. car wash, my my car wash. Yeah, no more. car washes. No, no for me in the same. budget. Our minimum monthly payment is. $2,516.51. What comes in for rent? Oh, 1,200 and like out of that. uh. 300 is like profit, I guess, from the. the rental property. I'll I'll include. that in your monthly income. About. 10,000 bucks comes in a month. Well,

that was a good month though. So, I'm. going to say about. 9. Oh, cuz that didn't include the rent. So, 9,000 after the rent. You know, say. it's like an average. Anything else I need to put in your. budget or was that it? Um. probably I need to remove the. Spotify Premium. Yeah, no subscriptions. No. subscriptions. Not yet. We might have room, but I doubt. it. For now, no necessity. Guys, you have.

room. You I told you at the beginning I. was like, when we add up everything, is. it going to be true that after you pay. your minimums, you don't have anything? That was false. You just spend it all. You just around. I'm going to. double-check my math just to be safe. But as far as I can tell, you have room. This is irresponsibility, acting like a. child, putting our fun and instant. pleasure over our future. Yep, I was right. You need $5,807.51.

to exist on a monthly basis. 9,000 comes. in and you know, you had a better month. than that last time. So, in your better month, you have an. extra I mean, you have an extra. $3,192.49. Sometimes you have an extra $4,192. I'll. allow $192 to go to fun. Spotify, whatever. So, $3,000 is left over on a monthly. basis. For a month and a half, save up a. one-month emergency fund should be the.

easiest thing to do. in a high-yield savings account. Just. that extra 3,000, just set it aside. And. it allows you guys to survive for a. month if anything goes, you know, up and. down. Oh, you know the one thing that. you forgot. We owe the IRS $1,500. Oh, my Okay. And it's needs to be paid. by October with the little you know, little agreement thing. have good news. You're paying it next. month. Next month? have an extra $3,000 after I gave you. $200 for fun. What? How do you give me that face? You. have an extra $3,000 if you don't. around.

Okay. Okay, no. I I mean, I believe you. I. believe you. It's not about believing. me. Now, I just don't think you're going. to actually. No, I just I don't So, that was the last. hour and a half a waste of time? No, it wasn't. I'm just. I just I guess I just don't see the. 3,000 extra. But I guess we There it is. No, I see it on there, but I mean, I. just didn't think we spent that much on. the Amazon and the going out and all. that, but I guess we do. As your pie chart shows where all your.

spending's going. Mhm. You do. You know what? I have fireworks in my. car. Uh-huh. I'm going to launch them. What? Okay. at your son if he asks for. fireworks again. Oh. And you give it to. them. Oh, it's only every July. I I don't I don't ever buy it. And. December, damn right. Because New. Year's. No, that only in July. Thank you. I was. going to bring that up.

Guys, this is this is honestly kind of. simple. Yes, in general, like this like. legitimately you have $100,000. Okay. $100,000 in bad debt that's not. Well, that includes the. What debt but you don't have to pay off. that house early. So, $50,000 a condo. $3,000 a month. I mean, you can just go. smallest to largest and in a year and a. quarter all your bad debts gone except. for Well, that that secondary mortgage. isn't necessarily bad debt. I just don't. think you need it right now. Literally, you can pay off all cars. You can pay. off all things.

except for the student loans. That's. where things get difficult. So, what I. would do is grind for the next 5 years. to at least get. 5 years? No, that's a joke. With the private student loan, that's. another year and a quarter. 3 years. 3. years conservatively or 2 and 1/2 years, you're out of. all bad debt. Because your income is so. strong. Your spending is just so stupid. right now. That's why you feel like you. can't make progress. So, one, you likely live a healthier. life, so that's good. Two,

out of bad debt and have a one-month. emergency fund in 2 and 1/2 years. Call. it 3 years, you have a fully funded. emergency fund. So, at that point, you might not be out of. your timeshare yet, but uh. try to be. At that point, maybe pay off your. No, sell the condo, get out of it. And honestly, probably throw the rest of. the student loans or towards retirement. Or towards retirement. That's a that's a. We can talk about it then, but. minimum though. 3 years, you are out of.

all bad debt. And you have a fully funded emergency. fund. And you know what? It can be. quicker than 3 years because sometimes. you make more money. I'm doing the. months where you don't make as much. money. You make more money, boom. Call it 2 and 1/2 years, you're. out of all bad debt. Guys, you have the. most. There are so many people I talk to here. where it's 8 years to get out of it in. their current situation. There was. someone I filmed with yesterday. What. was it, Noah? What did it take her? 90. years to get out of debt with her. current budget? 90 years to get out of budget. Sorry, sitting over there cuz we're getting. ready for the post-show. 90 years to get.

out. You guys, while giving you money to. spend on fun in your conservative. months, get out of all bad debt and have a fully. funded emergency fund in 3 years. I'll. be embarrassed, embarrassed, and. ashamed, and disgusted if you guys don't. get out by then. Cuz you'll be giving up the golden. opportunity of a lifetime. So, don't around. Don't this up. You. have no idea the blessing your income is. and how your living expenses are. relatively low. Your largest living. expense is your. It's your debt minimum monthly payments.

by double. That's your highest by. double. And it's going to snowball as you get. into it. Just start So, you start. feeling the momentum and you start. getting excited about paying off the. debt. Pay off your smallest debt at a. time. You're going to knock out like. three individual debts in the next. couple months. The IRS next month, one-month emergency fund, then this $500. debt, this $650 debt, $1,307 debt. You're just going to kill it all. Then. you you should just. There The fact that this debt exists is.

an is a joke. And you have the opportunity to no. longer live like a joke. Okay. It's budget, it's sacrifices. No. Both. And in the budget, are we like. saving money or after we're out of debt? Well, remember I gave you a one-month. emergency fund. You're getting that. first after the IRS payment. Okay. And. then, you're not saving money till we're. fully out of the bad debt, which is. about 2 and 1/2 2 and 1/2 years. Then. you're getting fully funded emergency. fund, which is saving more money.

That's everything you need to live on. your minimums for 6 months. And then at. that point, you can either I want you to. sell the condo and where you're throwing. that at retirement to try to catch up or. we're throwing it at the student loans. because who knows what the situation. around that's going to be. We can talk about that then. You You I plan to be here in 3 years. So, we'll have a conversation. Okay. This is down the road. But yes, we do. want to certainly start catching up on. retirement, that's for sure. And then, you know, we're going to do some asset. transfer things. It might start getting. confusing when we're trying to get to.

Chile, but 3 years, guys. This is a. blessing of a lifetime. Right now, for. your Hammer Financial Score, spending. and a budget, I mean, you overspent on. your budget, so it's a zero out of 10. Debt, you have IRS debt, zero out of 10. Honestly, with all this debt, it would. be a one out of 10 at the top, but it's. zero out of 10. Emergency fund, nothing in savings, zero out of 10. Retirement, nothing, anything? No. That's crazy. That's crazy. 40 That's crazy. Okay, well, whatever, zero out of 10. Real estate, it is going to benefit your score, so. you're probably going to get rounded up. Uh it's a condo. Condo's not the kind of.

rental property I'd get cuz of the condo. association fees. It's a rental. property, so I'd rather have a primary. residence first. Okay, it's going to be. a three out of 10 for real estate. I. only round up unless I hate people, so. Hammer Financial Score, 0.5 out of 10. Make sure to join the membership below. to get access to the post show and our. member streams on Tuesdays and all the. other extra shows behind the scenes that. we do. Feel free to check out all the. resources linked in the description. below as they are what I use or would. use in specific situations, including. the best budgeting program and best. investing program in the history of the. internet. Today on the Financial Audit.

Post Show, Mr. Hammer, you're going on a. date tonight. Can we talk about that? Woo! I'm going on a date, guys. What she. calls cool? Does she call soda pop? Probably, like a true American. How did. you guys meet? I'm doing good this time. Hinge. How about them How did they meet? Oh. No, well. But yours is Hinge. Ours is uh Plenty of. Fish. Really? Yeah. To watch the. Financial Audit Post Show, click the. join button below.