Grandma Is Dying In Poverty | Financial Audit

I'm Jennifer 46 years old based out of. Dallas Texas and this is financial audit. thanks for coming down from Dallas what. do you do up there for a living I am a. commercial loan closer commercial loan. closer wonderful well we might be. talking soon if I ever get into that. world hopefully at some point I'm in the. residential for now but uh how much are. you making off of this position my base. salary is about a little over 9596 but. with overtime uh this year I'm getting. 130 so people closing on those.

commercial loans huh yes it's mainly. corporations like big corporations I. don't know if I can say them but like. Facebook you know all the big ones oh. sure so 130,000 mhm is that the income. for the household or is there a dual. income household as well just me okay. how do we feel I mean that's incredible. thank you that's incredible it confuses. me how we're in so much debt with that. but that is the American way. $130,000 um someone over the age of 25. and high income you've begged for it.

and I don't have a bachelor's degree oh. that's awesome so wow okay very cool y. so so how do you feel living in Dallas. 130,000 I mean that's pretty killer it. is it's from where I was I just moved. into a house I was in an apartment which. was like ,7 $1800 a month which was. great but I've moved into a house and. it's. the the rent is a little bit higher I. didn't want to go higher I wanted to go. lower but my kids needed a place to stay.

they just mve back two boys um 25 and 28. and they both live with you they both. live with me their families um they do. pay me rent so I get $700 a month from. them also combined 700 no$ 14400. combined oo okay well that's not. insignificant What's the total rent that. you have to pay uh. 2209 okay so I mean it's not bad but I. well I mean with their 1400 yeah I I. wanted to go down to a one-bedroom.

paying like 14 15 so I can really start. attacking my debt and everything but. life happens said 2200 2209 a month and. why didn't you move down specifically. for them to come back in well they were. we okay they moved into my apartment so. I had a two-bedroom apartment they moved. in and they were there for a couple of. months and I I asked them are you able. to move out cuz they're not I know one. son my oldest son he had lost his job. and his girlfriend was working my.

youngest son is getting in the process. of getting a divorce so they were like. no not really so I was like okay fine so. seven people in a two-bedroom is not. ideal so I ended up Renning the house. who do wait seven people who are the. others uh my oldest son his girlfriend. they're two kids my young sonid Grand I. have grandkids my youngest son has a uh. 2-year-old so it was quite crowded okay. that became completely different then I.

was just picturing two people living. there oh no no no no so the divorce. person the one who's going through. divorce is it just like the litigation. cost and everything like that or just. taking away from them being able to live. on their own or yeah cuz she his wife is. still still in the apartment that they. share together oh okay so that makes his. name was on the lease and he moved out. she moved someone in so he had to move. out how long has he been with you since. December of last year oh that's a long. time it is a very long time that I feel. like okay all I mean if you want him.

there that's a completely different. story so that's like I'm like okay sure. absolutely if you're like all right it's. time to get on your own a year later at. the age of either 25 or 28 whatever this. one is he's a 25 year old like he could. and should figure it out trying to shove. them all out cuz I I really want to I. don't want to live where I live I want. to I was living in the city which I. really like being single it was it was. nice I was around everything it was nice. now I'm in the suburbs and it takes me. longer to get to work now um I sacrific.

a lot for them yeah in their situations. yeah and you know I can't fully judge. their situation on here like I can't say. that you know they're being either. irresponsible or whatever without seeing. everything they're doing but you. certainly sacrificed a lot for them um. even still though your rent payment in. terms of what you ow. 2209 I mean $ 809 on $130,000 a year. there should be absolutely no reason why. any debt exists the possible why the.

why why does the debt exist honestly I. don't know oh on no no I'm I'm I'm. honestly I'm very I'm serious like I. have I don't have an excuse like I I I. have one credit card that I pay off on a. consistent basis and then I use it and. then I was in the process of really. really paying it off before I moved so I. had like four credit cards paid off and. when this happened it was just 800 bucks. though $130,000 a year 800 bucks doesn't.

make a difference here $130,000 a year I. can't I can't even I don't even know. where it goes like well we did have what. we consider necessary food purchases I.E. grocery stores to be. $2,898 is that a month within the most. recent month I've never seen anything. like that in my life really yeah like. what the possible I I'm even surprised I.

didn't even know I was going to the. grocery store that much and the D. $426 eating out extra. miscellaneous like Taquito and like that. 460. bucks are you shopping for them grocery. shopping for them I probably was groc. shopping for them they're big boys I. mean they have kids they've they've done. adult things again I'm good with you. helping out I'm good with you helping. out it sounds like you would rather them. not live with you not because you don't. like them or anything but because you. know you know just like fly Little.

Birdies. right I don't know if we're I'm trying. not to be an enabler I really I I did. want to talk about that we'll we'll talk. about that after the debt but go ahead. and give yourself a score 0 to 10 oh. probably about a two I'd like to thank. today's episode sponsor Factor the. ultimate solution for those of us that. are constantly on the go factor is a. prepared meal delivery service offering. a wide range of prepared meals catering. to various dietary preferences including.

ketogenic vegan and vegetarian with a. rotating menu of over 35 meals each week. you can customize your plan to fit your. needs as someone with a busy lifestyle. and also trying to lose weight I found. factor to be a lifesaver when it comes. to my lunch and dinner needs Factor's. meals are able to be heated and ready to. eat in Just 2 minutes by eliminating the. need for grocery shopping cooking and. meal planning I freed myself from the. stress that comes along with it allowing. me more time to focus on my passions and. well lots of work Factor meals arrive.

fresh never Frozen and are dietition. approved ensuring quality and. healthfulness the service provides. flexibility to adjust order sizes share. with loved ones or conveniently skip a. week if needed as we all kick off the. New Year I'm sure just like me you're. eager to start it off on the right note. head to factor75.com or click the link. in the description below and use code. Hammer 50 to get 50% off your first. Factor box again that's code Hammer 50. to get 50% off your first Factor box at. the Link in the description below thanks.

again to factor for sponsoring this. episode so let's start with the quicks. okay classic Quicks silver. $2,256 with a $75 minimum monthly. payment you made a minimum monthly. payment then $52 of Interest acred so we. only went from. 2,279 to 2256 so even though you paid. $76 we only went down like 20 bucks 30. bucks magic of Interest Y what is this. card why is this card up to 2,2 56 oh my.

gosh you don't have to give me excuses. that's what you said but I need to at. least know how long has this been. building up that card has been probably. at that balance for years for for years. for that that's one of my oldest credit. cards that I've had the Capital One. cards are the oldest cards that I have. why are the balances this high for so. long I have no excuse I really don't. have I don't have a single excuse and. the the thing about it is I'm I'm not. asking for I don't even know where that. card is some people confuse excuses with.

uh reasons if you're Excuse excuse is. you trying to excuse this because of the. reason I'm not you're you're not. necessarily trying to do that I'm just. trying to figure out the the the actual. uh sorry I am a swear word addict I. think that car stays High because it's. on the it's on the list of being paid. off and it's not at the front of the. list like there's cards be in front of. that oh then I'm going to have some. major problems with that as we go. through this yeah there are cards in. front of that that need to be paid off. before for sure but you're talking years.

years and you could be you could be. withdrawing from your tax advantage. retirement accounts in 15 years 15 years. that's why I love to have someone 45 I. mean that's incredible 46 sorry it's. incredible 14 14 and a half years you. could be with dra Roth IRA that kind of. stuff no. penalties we can't be headed into that. that decade before you're able to do.

that with this kind of debt we can't. that's scary my heart absolutely sinks I. think about it a lot like what my cuz. I'm closer to retirement than I am. anything else so I think about it like. constantly and I think constantly then. your actions should be showing that yeah. like I really want to get rid of this. debt like it's just my student loans are. gone so that's a good thing I love that. you want to get rid of the debt years. now though you said you've had this yeah. and I've tried and then it's it's I PID. it off and then I reuse use it pay it. off reuse it pay and then they thenk.

then they they increase the U credit. limit and so then I said okay I'm not. I'm not going to even touch it and then. I end up touching it and it goes up and. it's just like a like a seesaw up and. down up and down up and down well the. reality is um no offense uh close it. close all the accounts close them I. don't want you to have access to them. bad this equals bad yeah bad naughty. naughty we don't have these kind of. cards if we've gone through the cycle.

multiple times we literally have proven. to ourselves we are not a credit card. person you cannot use credit. cards close them pay them. off never again it is. okay you might want to buy a house at. some point well see that's okay so. that's another thing I'm I really am a. credit card person I when not you're not. I am I'm going tell you why I'm going to. tell you why I'm going to tell you why I. bought a house in 2020 was a condo and. and I was working my job plus a job at.

Target so I had two jobs and I was. really working to pay it off so this was. 2020 so I had paid off the majority of. the credit cards uh the only one left. was my Discover card I had $3,000 left. on that Discover card and so me you're. not a credit card person so then after. that uh I ended up moving in with. somebody selling my place they didn't. help me pay the bills like they were. supposed to so I ended up putting my. mortgage on a credit card everything. else on credit cards you said you sold.

your place I did sell it but I was only. there a year so I didn't have enough. equity in order to draw anything. out no you okay so let's say you bought. it for $400,000 you put 10% down. something like that uh did you sell it. for $400,000 again and then you know. like closing costs and seller fees and. stuff like that so you you you lost yeah. basically uh so fun fact spoil aler. you're not a credit card person but I I. I was at the point to where I was using. them and paying them. a ASAP before this said you had a.

balance of $4,000 if you have a balance. of $4,000 if you have a balance of. $4,000 we are not a credit card person. cuz you have a balance balance in. interest ACR. equals can't use credit card really. working to pay those off like really. working like my hardest if you're. working to pay them off the hardest we. are not a credit card person they they a. credit card person equals Zer of. Interest ever acred in a year never. holding a. balance fun fact. and it's really not so fun total.

interest charge on this year so far $598. not a credit card person lot I don't. even want to get into that Discover Card. well we're getting into the city of. which we owe uh now oh my gosh 3,000. these balances are too high man you're. not you're not late in life you're. middle in life but where you are I don't. want you to be headed into that period. with these deaths this is scary okay we. made 122 $120 minimum mon U monthly. payment which which was more than the. minimum so that's good but then you.

purchased. $710 and she you say you're a credit. card person not not recently no I'm not. a credit card person now all it takes is. one time not to be 42 interest is a this. is my least favorite thing that I ever. seen interest is just like if interest. is AC crewing on a card why are we. possibly purchasing on it if we cannot. pay it off and interest is acre and why. are we possibly purchasing I don't even. know what's on that I hate that car with. a passion I don't even know what Well. you certainly love to swipe it $. 3,56.

dude what's on that car I don't have my. glasses I can't see I want to give you a. hug and root for you but I got to rip. you a part first and just show you how. bad this is this is the part of Kitchen. Nightmares where I show you the old M. moldy food and vomit and this is going. to make me vomit we're paying our. afterpay twice on a credit card afterpay. Best Buy something or you got something. to Best Buy what is what Consulting what. kind of Consulting are you paying for. HomeGoods that's you oh I have a a side. business I'm a travel agent on the side. so my monthly fee for my travel agent.

comes out of how much comes how much you. earn from that about 5,000 a year is. that on top of the 130 so you make 135. year okay. well miss travel agent did you travel. with an Uber and then an Uber again no. no that's for my mother what she needed. a uber to the airport so I paid for her. Uber but you're paying on it you make. $130,000 a year you're paying on on a. card that you can't that you're not. paying off an interest is acre pay for a.

checking account. $466 of Interest this year so far and. fees of. $6 lost so we could do afterpay and. afterpay and best buying HomeGoods those. things whatever you're using after pay. is not more important than you being. able to retire right it is not you are. too damn important you're a human being. on this planet you deserve to actually. get get your together and live the life.

that would. be all right this is the card you didn't. want to talk about right yeah that's the. card. 8,858. and4 of. death you did it again I know what what. are we doing here $20 of purchases sure. you made the minimum wethy payment which. was more than that but we're purchasing. our card that we're losing $138 of.

interest on a monthly. basis then monthly payments $178 we went. and purchase 20 bucks what did we. possibly purchase what did we purchase. what did we purchase Amazon Amazon. Amazon. great if I purchased anything from. Amazon I had to have needed it cuz I. don't really I'm kind of an Amazon. person see your Amazon my like my thing. yeah pull up your app let's see these. necessities and while she's looking for. these Necessities make sure you hit.

subscribe because we're trying to get to. a million subscribers and I love you all. so much everyone who subscribed thank. you so much for supporting the idea of. living a good financial future thanks. for you for being on the show thank you. being in the hot seat dryer cord okay I. can see. that I what ultra light small. compact uh like table thing camping side. table oh no no no no I needed that for. when I travel for work um my laptop and. my um my all this stuff goes on top of.

that table toothbrush okay USBC okay. adjustable tablet stand yeah for the new. tablet that I have bought I would say. your casual dress I mean I don't I. haven't gone I haven't gone through your. clothes I don't I don't know what you. have and don't have and there's the. portable monitor we have it's like we're. justifying a lot of things another fall. women's winter thing a a big a nice. lunch bag nice lunch bag and that's it. it I okay I can see you justifying some.

of those obviously the toothbrush okay. yeah sure I can see you trying to. justify some of those with if they're. considered 100% Necessities I do not. know well the dress no but the stuff I. needed for work when I travel and stuff. and the other clothing thing the sweater. I'm sure you're hid in the town looking. great in that. dress but let's look great after death I. know I know I'm I'm I'm here with you so. everyone looks brighter and happier. after death I really do I've seen people. like my best friend is has no debt and.

she's just amazing amazing she her car. is paid off her house is paid off credit. cards paid off and it's it's incredible. I I want to get to that point should be. you it should be me should have been me. a long time. ago at least this one's not carrying. interest but you spent $957 on this is. this the card that you pay off all the. time yes yeah that's the TJ Maxx yeah. necessity um necessity some food wine. Capital One Lounge were spending in. there Hollywood Sweet Hollywood oh I.

used that card I went out of town in. October and I used that c to pay for the. hotel w your brothers and taco joint and. Amazon and Royal Caribbean cruise that. way you you weren't selling whatever. you're selling on no that's me Royal. Caribbean that's me mhm and some plane. tickets and some F I love me some f how. about get the F out of. that $68 you you pay this off every. month but we've had $54 of fees and $68. in 99 cents of Interest this year so.

far and fees I don't know what that fees. what quick silver card is it it might. just have an annual is it the quick is. oh yeah that card has an annual fee it. has a um it has like a some type of. weird annual fee well that's fine but. the interest yeah the interest yeah the. interest is worse than the fee so well. yeah you say you pay this off every. month $70 of Interest not a credit card. person. wow there are so many things to go.

through okay nfm card what the is that. I've never heard that in my life. Nebraska Furniture Mark um I mean I did. 0% on uh Ashley home yeah I get 0% on. that if you pay it off the first one I. did this is my second go around with. them I needed furniture since we just. moved uh I bought the kids a bunk bed uh. my son a bed kids a my grand kids yeah I. bought them a bunk bed. I don't know I I I don't know if I like.

this situation you're being an awesome. mom and grandma and I love that I love. that but. also care about you and you're the one. that's sitting here so I'm going to. focus on improving you damn I that has. to be so hard okay 1,524 what's the. minimum monthly payment on this in order. to pay it off by the time interest that. this one I just put that on there so it. doesn't have one yet I haven't gotten a. statement from there like I just put. that on when does intro start uring. for like 24 months I.

think okay we're paying in order to. avoid interest. $63.50 a month cool cool no I'm good. with 0% financing things I don't think. you fall in the category as someone who. can do that very well I did I did I did. it the first time when I first moved to. my apartment I needed a couch and some. other things and I paid it off like. within six months so I'm very confident. since that's like zero the credit card. scare me. but all right we back to.

the I can't even what is this that's gap. oh that's gap my it looks like it looks. bad yeah it's my Gap card okay. Gap we owe. 2,400 for Gap yeah Gap and that car was. paid off the cheapest place that ever. exists anyway just paid off it was paid. off when was it paid off it was paid I. paid that card off in. September and then I that was like a. month ago yeah I paid that card off in.

September and we're up to. $2,400 I put the wow that's a lot of Gap. no I didn't even go to Gap that's for. the house like for the moving like for. the um deposits the first month's rent. you make too much money to do that you. make too much money $29 of. purchases and we're losing $57.84 of. interest and of course we're only making. monthly. payment and yet we're still putting more.

money on it yeah Tom Thumb MCD yeah. McDonald's for a move Tom Thumb Seafood. that's a move Wing Stop that's a move oh. that must not be my new statement that. must be the old statement so yeah it's. that one was paid off $323 of Interest. stolen from our lives this year so far. and it's at 30%. [Music]. interest I owe I make too much money so. I owe them every single SLE year every. single year so we pay them I I'm I'm on.

the monthly payment plan with yeah you. are why don't we just pay them cuz I had. just paid off last year and then I had. to file for this year and here are we. talking about everyone's. favorite Department the. IRS of which we owe. $1,955 to. 56 oh man and I've been paying on this. loan well this since uh I think July. what's the.

interest you did not sign up for. something and not know the interest did. you no I can't remember how much. interest is with. them half% monthly penalty for not. paying the tax you owe by the due date. uh which is 60 bucks failure to pay but. that's your failure to pay the start it. started out it started out at 2,000 and. something and I pay them I pay 246. monthly so 2022 yeah that's for last. year okay are you ready for this year's. taxes no no I well you know what I have.

I I got smarter this year I'm taking um. a little bit more I'm having my job. withhold a little bit more out of my. check for the taxes so it won't be so. bad when I um you know you can withhold. from yourself though and put in like a. high yield savings account like sofa and. get 4.6% that's better that just. requires discipline and maturity yeah. $246 minute monthly payment okay Honda. what do we have what's our car it's a.

2018 Honda. CRV you love it I do 27,9. 3766 I do not see an interest rate what. is it. 5.5. okay not death not death with. depreciation and everything especially. after the time you probably bought this. still not thrilling but H $571 minim. monthly payment kind of hurts because. the payment 2028 it's going to take a. five more more years oh four basically.

this year's done yeah yep I don't like. the long terms 20% down no more than 8%. of your. income. and no payoff longer than three years is. the rule it's the money guy rule that I. have stolen for cars well that's my last. car once that car is paid off like I'm. done with cars I'm tired of you might. have to get another car at some point. I'll probably if I when I pay off my. debt and have savings I want to get a. cash car and just drive around in a cash.

so I don't I don't I'm done with car. notes after this car this more furniture. it's yeah Nebraska yeah you're making. Furniture in. Nebraska um that one is probably for my. mother I bought her a couch and she's. going to pay me back family DS yeah. never a good idea okay let's talk about. her for a second again this is not an. autate on her but let's just get a full. rounded situation uh a age and income. situation retirement she is I believe.

she's in her 60s. um she retired but she had to come back. she has like no savings nothing she's. selling the house and moving into a. retirement community she can afford that. Social Security Medicaid she's still. work she's still working and then I. think she's going to collect Social. Security at some point she hasn't. started I don't think so at least I. don't I don't know I try not get into. her finances well well I would say I.

would say good maybe a daughter. shouldn't get into her parents finances. for buying her furniture because she. can't afford it that's a different. conversation so she says this is what. she told me when she sells the house and. gets the proceeds from the house and. she's going to pay off this card and it. sounds like this house has so much. trustworthy Financial backing behind it. doesn't it historically I'm just I'm. just hoping things will change so listen. you're nice you have a wonderful heart I. love it it's incredible I just don't. want you to gift so that was just.

recently that I purchased is this also. interest free yes and for how many. months the same 24 months okay so she's. in the community now she just moved into. community and is in the process of. selling the house maybe she needs an. audit. $22 68 a month okay mhm yep how you. doing so far I know this is a lot I'm I. knew it would be I know it's a mess I. know I know it's a mess.

so Laro card yep my gas card my trusty. gas card it looks like you did gassy but. you paid it off mhm yes I pay that off. every single month I think that's it I. think that's the end of the cards it. should be a I have a couple of more. cards should be an American Express card. in there somewhere we're taking a look. seeing if we miss something I don't. think we did but American Express yes. well we look for that tell me about this. what is this Cruise Line B what going on. here what the this no this is actually. good this is my earnings from my travel.

business. Oh I thought this was just like you. spending so you sell Carnival Cruise. Line I sell everything everything and. then you go take a Carnival Cruise Line. I my passion is traveling I have so much. going on with my family and my life I. love to travel so most of my money goes. to traveling well the majority of my. money goes to traveling but I also sell. it we need to get on of De first I'm. sorry it's a temporary thing cuz we can. travel much more out of De I know well. well actually paying for it not going.

into debt we do not have those cards if. you want to pull up your apps that would. be. great there's always hidden debt and. trust me we thought we had all of it I. all so this. is my Amic no it's not that is my Amic. what are you doing it's my AMX budddy. we're at 1 2 3 4 five 6 seven eight nine. deaths. now we can't be going into our 50s with. nine debts four more years but yeah you.

know I hope to be out of this within a. year or two is my plan well how was your. plan to get there cuz you've had the. debts forever and you haven't done. anything about it I um I'm using two. apps and I have a. financial coach that I go to now really. yeah I'm using the app unde it so you. put all your um bills all your debts in. this app it tells you how much to pay on. each one every month and it tells you. how long it will take you to get debt.

free okay so I'm using that and. according to them I should be debt free. in like a year and a couple of months. minus my car cuz I didn't add my car. that requires a lot of discipline if you. follow it so in order to build the. budget what we're going to do is we're. putting you through our budgeting. program um it's like the best budgeting. program that exists online that we could. find uh go through that go through the. few hours of classes take the quizzes. make sure you're actually learning. things and then we also have a debt. payoff thing and we're um updating it. too to make it even better as it goes.

and goes and it will plug in like with. your budget and everything combined like. we can make sure you're actually getting. to the place you want to get to okay. you're. $139 from the limit of this card and I. what the did I I need to make a payment. on that card actually this month. interest. $594 there's no minimums left this month. it looks like but what I am trying to. figure out what the normal minimum is. it's $84 a.

month okay these are stacking up I would. like to. see your. purchases how do I get there oh sorry go. ahead let me. see Under Armour and paying for things. at the. airport and. electricity yeah but that's not bad oh I. wouldn't put it on a card that's maxed. out but yeah at least it's not a. purchase that needs to be like. you have other debt I have a Venture. Card let's get on to the 10th debt.

Venture you know the app you're using. and the program you're using relies on. you not spending the money that you're. spending I always have to go in and. update the amounts when I actually do. spend on the cards so which we're it's. defeating the purpose yeah I don't know. who this coach is. [Music]. but please don't be a big bounce please. don't.

big what the but that's all spent that's. what you just spend you spend more money. than the money we have you. spending an extra. two did you pay this off no no. no what the we possibly buy what we. possibly buy what did we what is. it Cafe and rent you put your rent on on. this yeah first of all you're you know. you're going to lose like fees and.

putting rent on a credit card well that. credit card has no it's 0% 0% what oh. okay great still fees can hit though me. try to find any fees not seeing any uh. sometimes like the charge of rent can be. more on credit cards though it is it is. was like. $50 dude you make too much money in your. rent is so minimal even if the rent was. the 2,000 whatever that's comfortably. fits in your income but it's really $800. cuz you're k then we had to get cinjun.

we had to get. cinjun okay any other d uh I have a a. payday loan you do not I do it's not. mine it's not mine but I'm paying for it. no no no no it's not mine but I'm it's. my brother's oh he we we went out of. town and when we came back he had. wrecked my niece's car and he didn't. have any money to get it fixed so I. helped him. get the money to pay the car insurance. under his name uh no cuz he lives in New.

York so he doesn't he doesn't have a car. or anything like that why are you paying. for it what does he do he lives in New. York what is he doing for a living he's. an aspiring actor so he's a waiter oh so. he's around and you're having to pay for. it well not really he just came off tour. and when I talked to him about it he. thought I was taking the money out of. his account cuz he's on one of my. accounts and to pay off the loan and I. told him no cuz you can barely pay the. your half the phone bill his for the. phone bill yeah we're on the same he's.

on my plan he's on my plan with me you. guys you're in your 40s we're not doing. that I have a problem I help people you. do I do and again I love that about you. you're just yourself what is this pay. what what what what is this payday loan. how much is it. [Music]. uh you shouldn't be paying for this to. be very clear hising responsibility he. he's going to pay you back he's going to.

pay you back yeah yeah yeah when I. talked to him about it he was like when. he gets a a better job then I can start. taking it out of his account it's a 35%. okay it's better than most most pay. loans yeah it's still death Insanity. crazy worse than credit cards oh no oh I. think I have the current balance on. there not on there that's just the. original document get the current. balance I don't want you okay the one. thing I don't want you to become as a. please don't become I'm trying not to be.

you're breaking like all the rules in. become please. don't that's the current balance on that. one okay actually saying it and seeing. them and like like this it looks pretty. bad oh looks really bad does it it looks. really really bad H it looks really bad. interesting it's almost like this. show Works its intended purpose 100 $128. minimum monthly payment and oh no that's.

every two weeks that's every two weeks. 2,85. balance okay 128. 92 *. 2. $257 184 checking account checking. account checking account nothing in. savings okay awesome. $44 and it's is the little Roundup stuff. that you do yeah oh let's see you asked.

for my heart rate I'll give you a heart. rate monitor cuz I feel like I'm dying. right now this de yeah let's see heart. rate current monitor sits. at 113 you got me to3 that's high Well. mine's probably higher than yours so we. started with $2,300 we ended with $928. that's not great oh look at this look at. this I make sure there's no personal. information okay there's not not pink. equals the other things equals.

necessity if we don't have money if we. can't even pay the minimum if we can't. even pay off our debts early should we. have this high of a percentage of. B no Marble Slab uh-uh fishing uh-uh. McDonald's Dart oh I rode the train to. the state fair Cho no to the train well. it was cheaper to ride the train it is. to park okay well never mind it works uh. but also don't go to the State Fair you. don't you can't afford to live I got a.

free ticket and then you spent money to. use it true true some something in a. plaza sending out money cash app more. Spirit Airlines Golden Chick Tai love me. some Tai I love Ty no you don't not. anymore you hate it Tom Thumb Tom Thumb. you go to Tom Thumb every second of your. life shop fund toito Tom Thumb biscuits. Panda Express Apple bill nnt Cindy. raisin.

canes no this I think this calendar. budget thing actually makes sense so we. can do that that that obviously makes. sense Tom that to keep track of my. budget do you use tomt to keep track of. your budget or ruin your. budget that's the grocery store like. that Tom Tom Thum yeah it's like Alber. feet it's like an Alber feet um yeah Tom. you right to my apartment that's why. 2900 Spotify we can listen to ads what. we're trying to get out of Serious XM no. one even uses that anyway don't know why. you have it afterpay what are we after.

paying we were already doing all the. other but spending on our credit card. Louisiana famous Fred Dallas and. Chick-fil-A and then roundups transfers. blah blah blah zels all the good stuff. lots of zels lots of zels zel in every. second of our life mer fund $262 so yeah. let's not go to the State Fair where we. spend more money if we don't even have. even close to a fraction of a percentage. of a small. part of an emergency fund vacation.

vacation debit vacation vacation no I I. don't I got not going to escape your. debt by flying away it's not how that. works okay now this you know if we were. not 46 I'd be happy about4 $14,000 in. retirement the shows you've relased you. know you you've done you know am I. trying to say I've lost my mind at this. point this shows that you. outstanding loans you borrowing against.

this I did it once I needed Furniture. when I first bought my place in 2020 so. I have lo you still owe 7 I still owe on. those loans yeah I didn't catch this. when we were going through it before I. forgot all about them they just come out. of my check and it's just $. 7,778. 37 I don't know what the interest rate. is cuz they did not catch it's like. 4.5 that's still money. I don't know what the minimum monthly. payment is there so the Bank of America.

401k. plan uh vessa balance. $107,000 which I like um this says. $122,000 that's my current balance okay. so good uh yeah the Market's had a big. just upswing recently headed into this. so that makes sense listen this is this. is not a bad balance as far as balances. go I think the average retire average. not median median is obviously worse but.

average being carried by wealthy. individuals mostly have an average of a. I had like $300,000 in these types. headed into retirement and you'd be. right around then you know if we. consider it doubling every seven eight. years or so it go my my. um the percentage that I invest every. year goes up 1% every year so I'm at. seven I'm at seven these market returns. are not beating the you know 35% of the. payday loan they're not beating the it.

doesn't make sense yeah mathematically. it's not making sense right now we. unless you're getting a match it would. be doing 0% they match 100% up to my job. up to five 5% well I would take that and. then I would negate the other two for. now then I'd Max it out eventually but. to be clear again this number I think. we're going along with average you're. still behind where I'd want you to be. for the retirement that I know you're. going to want to live especially you're. tra. enjy so that's still dramatically behind. where I'd want you to be but I am glad.

you got there cuz I could be talking to. someone 46 with Z retirement right I. should have looked at the minimum. monthly payment it's taken from your pay. though before yeah after taxes okay so. it's like two like $200 and we don't. have to put that in the budget anyway. but we'll put the. payoff okay either way I mean you have. like a what 120 in there but your debt. is closer to uh with the new debt that. we now know you.

have almost $60,000 of bad debt there's. nothing there working for your benefit. there's no like real estate or anything. so this is all just it's all. just it was higher than that with my. student loans but they were forgiven so. they were like 55,000 now I can just. focus on the credit card which are. pretty bad now that I see them written. out 4.5% of your spending went to paying. off debt. but again grocery it was like 2 I cannot.

believe I was spending that much money. on groceries welcome to reality 4.5 was. to debt but 4.2 went to eating out or. sorry 4.6 went to like unnecessary that. wasn't eating out just extra unnecessary. things like uh other large purchases. like Spirit Airlines Royal Caribbean. Crews and Best Buy came out to an. additional 4.4% so by now you could have. uh basically. 4X yeah 4X uh how much money you put. towards your your debt you could have. but you're choosing then we also had. let's see unknown shopping let's see.

where that went you that stuff like. Amazon yep Amazon Apple we don't know. where that is usually it's in Amazon. there's your Consulting thing that's. business we can hopefully write that off. afterpay oh the afterpay was the big. chunk in there Walmart and Target you. never know exactly what that is if. that's more grocery that's not. necessarily good cuz we already spent so. much so that's an. additional uh four 4.4% four oh no no no. 6% 6% so this is not includ not. including groceries with unknown.

shopping food that's 10 and then 15 with. miscellaneous uh round it to 20 with the. other large purchases 20% of our. spending 20% of spending that went to. nothing productive that could have gone. towards the debt when you only put 4.5%. of your spending towards debt that's. your future that's your future that you. chose to say. nope not taking take not taking care of. my. I'm just going to spend money on living. life around instead of actually taking.

care and doing now Transportation this. is expensive with the car insurance and. the car payment and tolls and then the. dart thing and then ubering and then gas. they came out to 11.2% or $1,130 total. well the I just talked to my insurance. and had my insurance lowered so that's. going that's going 246 to well I I paid. 1. 171 you piding for two people's. insurance no just one one my um we 246.

it's um oh either way what is it now. it's 150 okay all right you're going to. go through the program and you're going. to make an actual concrete budget that. applies to your situation and all that. education will help you but obviously we. only have limited time here we're going. to do a uh a Loosey Goosey budget to. give you a concept of where we could go. what direction we should go towards what. we should do in order to get us in the. place we're out of debt after how. long rent. $229 mhm yes. utilities um I budget $150 for.

electricity mhm about $100 a month for. water I think that's it what about. internet oh uh internet is 150 a month. what about gas no gas okay it's electric. heating yes o that can be. expensive I turn it off a lot I would. get some blankets uh looks like we go to. the gym 24962 2496 yes totally.

supportive that's I just lost like 50. lbs come on thank you so it's incredible. got to get that cruise body right. exactly and I'm going yeah going on a. cruise in December you are not no you're. not I am I just what is this a joke no. I'm serious I'm serious are you serious. about that so you're not serious about. your future I'm very serious okay say. here's the the. thing I have to go like I have to go.

like if I don't go what the I'm. disgusted right now that is just I just. I can't I I can't I have to go it's. already paid for it's already paid for. sorry pay refund can you no it's too. late we leave in a couple of weeks who's. we me and my it's okay I'm on a third. wheel type of thing my friends like to. travel with me but they like to travel. with their significant others and I. don't have one and they still want me to.

go so it's my two friends their husbands. and me and it's on a cruise and I've. never been on Royal Caribbean so it's. kind of like. research off off so talk to C see if you. can write it off but off so yeah what. did you spend on this I spent about I. spent 1,200 oh and I took I took it out. of my budget oh what budget there's no. budet no no no it it didn't come off of. credit cards it came off of no no no no.

it did you know why just no you know why. I did you know why I did go to your. credit cards cuz you didn't pay any. extra on your credit cards and your. credit cards weren't paid off and if. your credit cards weren't paid off and. you were doing this extra thing that. means the money that should have been. going to the credit cards was not put to. the credit cards so it went to the. credit cards that is true that is. true that is true I don't even want to. finish this we're putting a. cruise that's very dis appointing I. didn't put a cruise on my credit card. are you saying I'm putting a cruise. before your future okay.

okay but I use the money from my travel. agent to pay for it my travel agency to. pay for it when I got a commission check. doesn't make it better but where could. that commission check have some of it. does go to where could that entire. commission check have gone to credit. card to my debt don't try to justify. you're going to ruin me how are we doing. groceries for this house okay so now. that we have moved my oldest and his. girlfriend are doing groceries I don't.

pay for groceries anymore at all any. none okay none good I understand the. divorce one going through divorce why. the they still there they're still there. because my son got a job but she lost. her job and they have two kids so they. need like a two-bedroom or whatever they. don't have an emergency fund do that no. they don't have anything now I have an. emergency Fone as an emergency then you. move back in with your. parents yeah I'd get on. and be like yo let's save up an. emergency fund I had thought about the.

money that they give me not actually. using it towards anything but just. keeping it and then saving it up and. then giving it to them so they'll have. enough money to move I'm no they're. adults they're adults they're adults I. would say yes as a as a caring person. absolutely do it if we were not just. drowning in 35% at our Peak debt no. we're not doing that unfortunately we're. just not okay I'm sorry we're just not. okay I'm giving you like 100 bucks for. makeup. called 12er fund you're welcome thank.

you already paid for the cruise got to. look. pretty ongoing medical prescriptions. anything um they're all PID they're all. paid for my prescriptions or pay for. every now and then I go to the doctor. and I pay like a. co-pay um or I pay like when they take. lab test and then I have to pay whatever. my insurance doesn't pay so every now. and then maybe it's like $50 every 6. months or something when I go to the. doctor okay for the lab.

test okay gas we had about 112 that. sounds reasonable yes. yes no more no more I don't those are I. told those are for my stepmother I moved. away from the toll road so now I don't. take any toes cuz I used to live off the. tollway conance is now 150 phone bill. your portion 135. the other portion is paid the other. portion I take from my brother's account.

and pay his. portion never any issues with that it's. always good no I always I always take it. out so he he doesn't even know I take it. I just snatch. it can you SN uh can you snatch the 257. for the payday loan if he has enough. money in there he told me I could snatch. it so he I think he just got another job. he's just waiting to get paid so he says. once he has enough then I can start. snatching that too not going to put that. in. wait wait wait did you take it out is it. in your name yeah he my where I no no uh.

the the payday loan yes it's in my name. it's in my name cuz at the time he. didn't have a. job now having an emergency fun is an. emergency okay okay okay okay okay um. okay what else do we need to survive. what else where where are we at okay you. have rent utility gym toilet paper uh. gas car insurance phone rental insurance.

20 bucks uh no I paid $75 a year so I've. already paay that it's not even worth. putting in. okay anything else that is required for. you to survive. no no I don't really go out I don't do. too much so put in an extra 30 bucks for. car. maintenance cool go oil changes goes to. fixing getting a tire all that stuff. when it needs to happen let's figure out.

these debt Min a monthly payments cuz. I'm about to drown in. numbers death numbers of of kill. me you are a brave AR you very brave I. respect that very brave I think my. brother is the only person that knows. that I'm doing this I didn't tell. anybody you're a b no you're truly a bad. cuz I know I'm very tough I can take it. I'm I'm tough so so without the payday.

loan of which I I it's in your name so. we have to we have to do it we have to. put it in in your. name okay so debt and this is the. Insanity part 100 1,006. 68256 a. month. so necessary minimum in order to survive.

this is not calculating them paying you. rent but necessary for you to survive. $4,840. 52 a month yeah oh okay total income. that came in was $ 5,699 does that sound. up all right uh yeah it depends on. overtime so it can go up and down what. would you say as average that hits your. account on a monthly basis probably. about I I average about 50 56 so that's. about right okay yeah I get a raise in a. couple of months and a bonus good so all. goes towards yeah that's that this is.

insane you make too much money your. budget's overblown cuz you're trying to. help everyone you're trying to do. everything $756 is not what should be. left over on a monthly basis I mean just. to get a one- Monon emergency fund and. this is. crazy our usually our first step and. paying off the debt process get a one. month emergency fund that takes six and. a half months that's a step one wow. that's and you make way too much money. for that to be a thing obviously a bonus. will get us s quicker obviously AR raise. will get us there quicker more. commissions will get us there quicker. right I do have commissions coming in so.

good but if we're still averaging at. that number oh man we're already at an. hour so this I I I I'd go on and talk to. you forever but I'm just trying to. think okay the reality we. said about. $60,000 so include the one month. emergency fund and that actually let's. include let's include a six-month. emergency fund total that you would save. up after Words which 4844 minus the debt. payments which we wouldn't have anymore.

gives you a monthly necessity of. $3,162 times that by six is um you need. a $199,000 six-month emergency fund plus. that by the $60,000 of debt you have. okay so you need $779,000 is back to. just like Step Zero of financial like. being okay divide that by the $756 we. have a month extra takes 104 and a half. months oh gosh okay that's a couple.

months that's a couple months basically. N9 years now something that changes this. situation you collect 1,400 in rent yes. so what we can do now this we want to be. a temporary thing yes very much so but. you might not have the option for it to. be a temporary thing you actually might. need to house hack with them for a bit. really as long as you're not giving them. extra them helping you pay rent might be. like this adds 14 this brings you to an.

extra. $2,156 a month now I don't think you're. going to be able to keep that the entire. way but what did what did we say you. needed $80,000 is that what we said. 79,000 okay so divide that by. 2,156 36 months versus 100 whatever. months okay 36 is a whole lot better. right three years better three years. three years three years with them paying. you though I don't think they're going. to live there for 3 years no unless. they're just like lazy but I'm not going. to take any.

assumptions no probably not so that. becomes very hard for me now what that. doesn't include is if you pay off a debt. the minimum monthly payment is going to. go away for that and you put it towards. the other debt but it also is not. including any interest that's going to. occur so I'm essentially allowing that. to offset itself what cuz I am since. since the whole house situation is kind. of like clearing and everything is. getting settled so I have started back. paying off so the the Capital One will. be paid off I'm putting more towards the. IRS um yeah next month so I'm in the.

process of going back um and starting. back paying off my debts I couldn't. figure out what the IRS interest was. what I would. do since that's already been negotiated. you're already having more withholdings. from your account first of s sit down to. the CPA see if you can write off. anything from your extra. $5,000 you know but whatever what I. would do the like high priority things I. would take advantage of now is get to. that one month emergency fund which. you'll be able to get to in a couple. months with the rent they give you right.

uh because of that so as long as they. live with you we're throwing this 2,156. towards the debt we're not having any. paid for fund you're going on this. Cruise that's going to be the last time. you do that for a few years before you. do anything that's paid for you're going. to go to a park or your friends are. going to pay for things or you're going. to get some you know gorgeous person to. take you on dates in Downtown Dallas you. know take you to those expensive steak. nights so that's an option you're not. paying for it it's not an option oh I. guess okay never mind option well I wish.

it was but it's not the kids will take. you. then so I need you to get that one about. the emergency fund first and foremost. I'm doing smallest to largest snowball. on this because you just have so many. debts that you chipping away the minimum. monthly payments is going to help. technically the Avalanche still saves. more money over time but you're going to. see more progress and that's going to be. helpful with this many debts if you had. this within three debts the interest. rates were you know High mid low I would. do high interest then mid then low but. we're just going to snowball smallest to.

largest so I would attack you know the. nfm first and just go from there to the. small SAR just actually the Nebraska. would be first save yourself the minimum. month payments I know it's inch fore. well okay I mean I'll throw a little. loophole in there the interest free ones. the Nebraska and the uh other. one I would admit a monthly payment till. those are paid off and then I would do. smallest to large just all the other. ones okay paid loan this is another. thing we're having a conversation with. the brother yo I'm sorry I know you're. live in an expensive place I I just.

simply can't afford this right now love. you you you're paying for it being an. adult okay so I'm taking this from you. on a monthly basis no matter what it. just needs to be a thing and you got to. put your foot down on that is is not a. thing you're going to get your your mom. needs to pay you back immediately for. that other one so those are the high. priority items so you start minimum. monthly payment you you you minim. monthly payment on everything uh. smallest to largest on the debts except. for the ones that are interest free. you're doing what is necessary to pay. this off before interest is acing you're. getting a two-month emergency fund you.

are telling your brother that the payday. loan is being taken care of that he is. going to pay that 257 on a monthly basis. more than that if he wants to save on. interest but he's paying for it now um. but the risk is still in your book. that's what I hate and um your mom needs. to get a sell that house and it might. not be the best market right now I don't. know it's more of a buyer Market um even. though the interest. rates mean Texas is had ref go for. selling in general this year um but she. needs to pay whatever she owes you back.

whatever one that was was that the was. that the Nebraska one that was the. Nebraska one yeah that's one of the. Nebraska ones so however get that money. and I wouldn't even put that money. towards it I'd put it towards whatever. the smallest one still is at that time. and just still interest free that one. right until it's done that's what I. would do it's going it's going to take a. long time okay let me throw another. thing in when they inevitably move out. um. try to see if they can all move out. around the same time so there's not much. you know like one moves out and then.

we're sitting for six months like. waiting for the other person like you. got to go once they all move out we're. going to downgrade you we're going to. downgrade I'm I'm in a four bedroom. house it's it's too big if we can get. you like 1,500 bucks a month I mean that. still slows down your progress because. it takes you from like 850 or whatever. that you're actually putting towards. threat and almost doubling it so that's. still going to slow down the progress my. best guess is this going to take. about with all those things. included from now paying off all the.

debt to an emergency fund 6 months four. to five years okay is my. guess sucks sure no one likes to hear. that. but it doesn't matter because it's this. is already where it is it's already. where it is and I don't want you to go. through bankrupts or anything like that. I don't think that's necessarily a thing. you have to do right now um I know it's. another Interruption but you can get. $5,000 by listening to the end of this. right now if you transfer your portfolio.

to Mumu which I personally use for my. individual stock picks you can get up to. $5,000 it's literally free money and an. amazing investment platform and it's. what I personally use so check it out in. the description below I highly recommend. it I think you can buckle down take care. of this make more money by the way. through the raises and grind those. commissions work as much overtime as you. can drop it down to 3 to four years. that's awesome cool we're approaching. 5051 at that time you have a decade to. contribute like 35% a month maybe even. 40% if you can to retirement and we can.

still get you to a you know a solid. comfortable retirement you might be. working towards you know up to Upper 60s. maybe 70 but you're going to be pumping. it pumping it pumping it stacking up. that cash and trying to take advantage. of some kind of compound you're going to. talk to a financial advisor and figure. out your risk profile where you set if. this is going into a more conservative. balanced more aggressive folio you're. going to figure that out uh you and your. financial advisor will figure that out. but I need you to get this money going.

but in order to do that we need to beat. down the 35% interest first right so. that's what the next four to five or. three to four years look like however. you decide to do it okay what do you. think I just gave you a. huge thing you did you did I'm I'm good. with it I need it needs to be gone I. don't want to go into retirement with um. with debt so it's it's um it's like. um getting like heavy so cuz I'm I know. I'm getting close so yeah it needs to it.

needs to go Life Is Life is bright on. the other side the other side of the. tunnel is bright it is it requires. sacrifice to get there yeah so I really. see three options I see one correct. option but I see three options what we. just talked about getting out of it. setting yourself up for a comfortable. retirement two declaring bankruptcy. don't want that option. three probably just never retiring to be. completely honest though those are the. options that I see I choose option. number one sacrifice now work our no.

more cruises temporarily okay friends. can pay for that if they want to dude if. they want to gift it to you go for it. don't ask but if they want to gift it. let them know your situation let. everyone around you that you're really. close to know your situation really send. them this video they'll know your. situation. God. uh oh my God you can get out of this. just work hard please for the sake of. your life for the sake of of your future. it's so important and I would start. putting our foot down on just some of. the kids things as well uh educate them.

a little educate them a little I'm happy. to put them through the budgeting. program as well if you want to send us. their emails if they want to take. advantage of that they can figure that. out get a six-month emergency fund and. then they can move out and they. shouldn't never have to move back in. again because they'll have a six-month. emergency fund they'll be good MH. they'll never have to rely on you well I. think we need to start putting our foot. down on Mom on kids on brother you're. nice you have a big heart don't let. anyone take advantage of it. okay I think that's my problem so I just. hate telling people no especially family.

so it's it's hard it's really really. hard so it is no it's incredibly. difficult but you matter your future. matters thank you it's you need make. sure you're telling yourself that you. need to make sure taking care of. yourself isn't isn't not taking care of. others it's not putting yourself in. front of other people the being selfish. is like okay like what five french fries. in front of you you take it all like you. didn't need that to survive you need to. do this to survive it's not selfish. taking care of this you know so any.

final thoughts any final questions no. I'm good I I appreciate it I appreciate. you going through it writing it down. because I would never do it and I'm I'm. thinking I'm in a better place than what. I am and I'm not so it's a very eye. openening experience so that's why we do. what we do and now we show you there's a. way out of it and we're going to put you. through the program and make sure you. get there okay I appreciate it Hammer. Financial score well obviously that. budget was completely blown to smithin. so that was just disgusting and terrible.

and. like the debt same thing IRS debt come. on zero out of 10 IRS debt immediate. zero emergency fund it's a generous one. one out of 10 cuz we weren't even a. tenth of the way there we were. like a 40th of the way there retirement. average average doesn't mean great cuz. average retirement is pretty bad but. I'll give a 5 out of 10 real estate 0o. out of 10 was higher at one point. unfortunately sold it hopefully we'll. get back into it eventually 05 out of 10.

Hammer Financial score for now don't. forget to check out all the resources. links in the description below they are. what I use or would use in specific. situations including the best budgeting. program in the history of the. internet all right thanks to all of our. patreon producers for making this. episode possible if you want to. participate in an episode of financial. audit and you're able to make it to. Austin Texas please fill out an. application in the the survey Linked In. the description below you can also send. a link to your friends or family who you. think might be good to be on the show if.

you have any questions you can email. casting kop pam.com.