He Can't Afford To Live, But At Least He Has Two STUPID Vehicles | Financial Audit

hi my name is Stone I'm 26 and from. anony Iowa and this is financial audit a. fellow born in the midwesterner now down. in Austin Texas of course you're just. traveling but thank you for coming down. what do you do up there for a living uh. I work for a clinic I am a technical an. analyst for the infrastructure team um I. I set up servers it controls all the. payments uh any software needed for like. medical instruments stuff like that I. love that great field so what are you. makinging right now uh salary at 645,000.

a year okay how do you feel 645,000 for. that position um I'm really close to. where I want to be where do you want to. be I want to be around like that $75,000. range mhm um with the way I live I feel. like that's going to be like the nice. area where I can have everything and not. have to be where you live you mean like. physically like G or well well. financially okay in that town a town. that I do not recognize I'm just curious. you know that you know the area more. than I do uh are we going to be able to.

get into that field relatively easily. does it seem like there's a good path. forward for you in that town for that. job I'm going to end up moving sorry I. guess I wasn't I was confused where. you're going with that but um I highly. intend on moving out of Iowa out of Iowa. what are you thinking either Carolina's. possibly or the one that really. interests me is like Southern. Colorado interesting okay okay so I'm. still going to get the snow in Colorado. but okay so you went to school and got a.

degree for this I assume cuz we have. student loans yeah yeah I do have. student loans um the answer is kind of. yes kind of no um so I did two and a. half years up in Mason City which is. north central Iowa um at a small. community college got an AA and an as. okay transferred down to Iowa State. University um and that's kind of where. some problems started happening I. couldn't focus in class uh later f later. dropped out and uh found out I was ADHD. in autistic so okay go Corn.

Huskers I think that's a stadium. football. team of Iowa State cor oh you're the. Iowa States the Cyclones Cyclones I try. my best I watch college football I don't. blame you cuz I I don't either so we had. some some mental health struggles when. it came to that and you just you didn't. uh you weren't able. to find the help you needed before you. dropped out I didn't it's not that I. didn't find it before I dropped out it's. that I had already dropped out and.

that's kind of what forced my hand to. look into it because it was like super. stressing me out I was I was a mess did. you end up getting like certifications. or yes I did end up so what happened was. is when I dropped out I was working at. Best Buy um for Geek Squad and I did. that for two three years through an an. app at McFarland Clinic and then next. thing I know I'm working there two years. there and I spent some time got my A+. certification next A+ what's called okay.

CompTIA A+ oh okay cool and then after. that um the infrastructure manager just. called me up to her office one day I. honestly thought I was in trouble um and. just hey you want to move to a new team. and I'm like is this an interview and. well here we are now that's why I like. certifications in like especially when. you're already in a job and you're. looking to move up within that company. like certifications going be really. helpful and I talk about you know I. partner with course careers they have.

like it certifications and stuff like. that so that's that's really cool I'm. glad you did that now you're obviously I. mean that's a probably a pretty pretty. good income for that area for a single. person yeah for the industry it's. technically below average but like for. but for the area yeah how many people. are in that town do you know what's the. population um a better one would be to. go off of Ames because that's the actual. town that I was States in um because. yeah as is 20 minutes this is like okay. okay this is like Central Iowa okay um.

am is like how long have you how long. have you had this uh salary because. we've accumulated a lot of debt I did. not start that position until it was. either March or may this year this is. new what were you making before it um. just before it was about. 50,000 it's not bad though again no I'm. just bad. with I'm bad with um I already know my. issue it's impulse spending really so. impulse spending aing motor ccle Yes.

actually yeah 100% I'm not that's was it. was one of those days where it's like I. love the I already had a motorcycle at. the time too mind you um this was when I. was still in my old position so this was. about two years ago um had a motorcycle. already but it's like it was doing the. job but I wanted something more. obviously and then I found the exact. motorcycle I wanted for the price that I. wanted next thing I know is a 10-hour. trip to witch and I had a new motorcycle. gross. dude what you had a car already yeah I.

assume you got there in a car U my. parents helped me with the whole. bringing the bike back from wit a so. yeah is a motorcycle and a motorcycle. debt what we need if we already have. credit card debt and student. loans well the this is part of the issue. is so like I was actually had a good. handle on my credit card debt up until. it was like June or July what happened. was of this year yeah this was like a. second ago June or July that was just. like I Look Backwards and I see it yes.

yeah I trust me I know I that's part of. the reason why I'm here because I saw. how quick I racked it up I'm like yeah. we need to Lifestyle inflation do do you. feel like with the new money part it's. part of it it's definitely part of it. yeah um cuz like well another issue is I. can't live with roommates I have tried. so many times what do you mean you can't. live with roommates um when they don't. clean up after themselves yeah it. stresses me the out because I'm not. going toan you have a conversation and. if and if you do and they are our piece.

of we get a new roommate yeah and well. it was just easier to just live on my. own that is easier and of course what I. just said and and I know from past. experience it's just easier to live on. my own so that's what I just opted for. course I think I think the vast majority. would rather do that well again you. could probably afford it. but maybe you can't cuz I don't know you. racked up Deb dude yeah so the the. biggest charge you I it should be on my. credit card statement for the rocket. money it was like $2600 I believe it was. it was for like all of my insurance.

because uh motorcycles get you in. trouble you didn't need a motorcycle you. don't need a. motorcycle what well no I W I'm trying. to think so like in in the summer my. motorcycle is my daily driver it's not. just a luxury like if I'm going anywhere. but it doesn't have to be it's hella. cheaper than my car yeah but guess what. it's not cheaper to have that extra debt. in addition to your car debt there's two. vehicle debts we'll get into plus a. personal loan plus a credit card plus.

another credit. card yeah so no is it cheaper no you not. saving money don't around don't. okay so it looks like you. brought in a net pay of $2,000 if we. Round Up by. a146 so I'm going to assume on average. it's about 2,000 bucks yeah it's like. right there cool today I've got. something exciting to share with you. it's a groundbreaking brokerage account.

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you achieve your financial goals cuz. it's salary right yeah it is salary. cool yeah so. immediately we see dude this is. ridiculous because this is of your net. pay just two and a half months two and a. half months is what the balance is at. $588 and 12 with a minimum monthly. payment of. $17645. okay now you know what did make me happy.

you made a payment of $1,000 then you. went and purchased. $3,118 while $100 43 is ACR. interest if we're losing interest on our. car you already know this I've said this. a million times you broke rules for not. being a up rules for not being a up you. broke. immediately immediately let's see rule. number three rule number three don't. hold a car credit card card balance. don't hold a credit card balance there.

you go take a look. you you're losing interest you put more. money on. it it doesn't make sense dude it doesn't. make sense and you're right this is new. because this is the first time entes a. crew this year on this C so you're. headed down the wrong path now thank you. came on the show now so then we're going. to reverse this but I need you to know. how bad this is before you actually. start getting deep into it yeah and. that's I mean that's the exact reason.

why I'm here because I I don't want to. go down that road I know I have some. behavioral issues that I'm trying to. nail down with my impulse spending okay. impulse spending um I know that's an. issue it's just the matter of getting it. under. control okay so I have some impulse. things as well it's not you I'm not the. go swipe swipe swipe impulse Mone like. that but I'm like a a gut decision like. if I feel like this this big life thing. I'm like yeah I'm going to go full steam.

go crazy it's actually never led me. wrong luckily like it's always worked. out see I know I'm a bit of column a bit. of column B I do some I do over swipe I. know that yeah you do I mean we got. Apple bills here uh Su and you there's. Taquito up the and Amazon Amazon and. Jimmy Johns I love me some jimmies you. don't need it Taquito McDonald's um. Power. Sports that was for motorcy maintenance. that's that was for oil something that.

is obviously so much cheaper than just. having a singular vehicle obviously. Kumo Kumo I think it's Taquito and. Taquito oh guess what Taquito surprise. surprise apple apple struther Bros. Ubisoft we got a game of some kind oh. yeah that's uh Rocksmith Plus. subscription that I I'll I need to get. that cancel I think I or I already did. this month hey does that fit in your. budget rule number one of don't be a up.

not be a. up but I have cancelled all other. subscriptions Hulu um I'm on my spot my. parents uh you're going to cancel single. subscription every one of them every one. of them has been canceled other than the. rocket money plus apple and apple 68. bucks who knows what I mean come. on Taquito McDonald's some hero and I. know 130 py hero see heroic maybe it's.

like missing a letter probably a game or. something. honestly Taquito Domino's Taquito. Taquito no actually some of those some I. was going to say some of those Taquito. is definitely motorcycle fuel yeah I was. going to say because they're cheaper. usually we we count like under 10 bucks. and around their Taquito cuz you're. going to go fill a tank it's usually. like 30 40 bucks but it makes sense for. a motorcycle my filling it up every. second of your life if they're allc I. yeah well I am cuz cuz I ride I probably. fill up the bike like two or three times.

a week so much cheaper so much cheaper. the way you're doing it good job so. there's probably bicycle there's. probably bicycle there's probably. taquitos and then that's probably. bicycle so you breaking rule number one. you're breaking rule number three also. you broke rule number four stop buying. cars you cannot. afford you didn't need another one I. don't even know if you can afford the. other card we'll get to it. but you want to get the rules for not.

being a go ahead follow the link to my. website below you sign up for our. newsletter and we'll send you the rules. to not be a. up tisk tisk Mr hey I mean somebody has. to be that's why I'm here to get out of. it does someone have to be I don't. know okay Best Buy. which is in line with some of your. spending because we are a tech spender. it looks like yes very very much so and.

we'll get into that too with the. personal loan oh is it for a PC no no. actually I don't think any of it was. okay we'll get there I mean it's still. pretty it's pretty just as bad but it's. not it's not a PC I like my tech stuff I. get it I get. it you don't need to you can't afford if. we're fin it yes yep yep just just rip. into me well I need you to know how bad. this is. wake up call and then we get you to the.

better place yeah now it looks like. we're interest free right now in the. Best Buy card yes but even still we. brought our balance down by 29 bucks. which is the minimum monthly payment and. you put an additional $460 on it bring. it up to. $1,119 when do when's the interest free. period end it's it's 12 months from the. date of the purchase so it's like the. date of any purchase or the initial the. so the and it it tracks it separately so. like so if like the one purch purchase. has the financing and then the second.

purchase will have its own set of. financing wait one second are you sure. you're 100% sure that's how it tracks on. the website Okay Okay cool so 12th month. financing purchases yeah yeah yeah cuz I. know when you get the Best Buy card yeah. you can choose different ways you can. get like 5% cash back or you can do. financing and no yeah granted mean Best. Buy made the financing options worse but. that's its own thing they used to do. like two-year financing if you got over. a certain amount but they they dropped.

it so it's only one year financing now. but that doesn't really change the. situation well it depends I mean you're. not making the minimum monthly payments. necessary to pay it off within a year so. they want to have less time in between. people being able to pay it off so and. well in the thing with two I don't mind. making I can make the payments I know I. can I have been or at least the minimum. yeah it's 29 bucks you well I just meant. I meant across everything my issue is is. I don't know how much I can make towards. the cards without screwing myself over. and shorting myself in my.

budget you know how much overdraft. protection there was in your checking. account so yeah you can make your. minimums are we sure we'll get there. what'd you get within the world of. appliances it sounds like 460 bucks um. that was one of those impulse spending. things it was smart lights and a haird. dryer how many Hue bulbs did you get too. many clearly I was going to say cuz yeah.

they are expensive the the issue is is I. mean it's not going to make it any. better the the candle light ones there's. candle light ones now they're they're. like yeah they're small like 30 or 40. Wall bulbs I think oh yeah yeah yeah. yeah okay um y y the issue is they don't. sell those in packs so each one is 60. bucks by. itself W I thought like the original. bulbs themselves are 60 bucks each so. even those smaller ones those small ones. are stupid expensive like why you need.

those um cuz I just moved into my new. place and I like the smart lighting it. just and why do you need those oh. they're the only ones that fit my light. fixture my ceiling fan you you know and. they it's not as connected and it's not. as lovely but you know there's ones that. are like 50% sometimes 75% cheaper that. connect I already had another tech. friend yell at me for it when did you. purchase this the lights were this was. this was a month ago that's past the the.

month ago would have been no that would. have been the haird dryer you got a $500. hair dryer. yeah I blow I I do blow dry my hair. every day uh but one those things second. well but I have shorter hair. so I don't know so I will look to my. female producer who has longer hair do. you need a $500 hair dryer for longer. hair the answer was no what the uh it's.

that's another part of my spending. problem is like if I'm going to go into. something I like to go all the way. rather than just kind of half what I. feel is halfing it that's interesting. cuz I actually have a pretty similar way. but I don't have an Impulse to go buy it. but when I choose I'm going to buy. something I'm going to get one that's. going to have longevity and performs. well but your issue with that is is you. have the impulse to buy the thing itself. and then when you have the impulse to. buy the thing itself you won't get that.

unless you're getting the best of the. best it sounds like so yeah that's rough. especially when we're financing it now. total interest charg this year so far. 722 I think what that is showing is what. is being ACR if you do not pay it off. okay that would make more sense in fees. of 29 bucks cuz I was going to say that. card was completely paid off until. sometime this. year yeah so let's definitely make sure. we're doing that when was the initial. purchase that is 12 months Finance was. March or no.

um it would have been June or. July okay cuz that was just after I. moved into the new. place lovely old student loans was most. of this borrowed at the fouryear. institution or even it it was it was. about. 5050 if I recall correctly it's been a. while since I've looked at it. but um it's currently in forbearance why. um cuz I applied for the income driven. repayments to lower my monthly pay on it. so there wait but your income.

isn't it actually did lower because. before they had me marked as like 250. bucks a month and it's and after going. through the the IDR plan it's supposed. to drop it down to 125 a month you don't. make bad income I'm surprised you could. easily do the 250 though yeah it was. just okay it was it was trying to drop. payments so that way I felt like either. way have you started making. $150 started this month it's it's in. forbearance this month until they're. done deciding if the plan's going to go. through or not what plan the cuz when I.

when I applied for the plan they haven't. like accepted it yet they haven't. accepted you into it correct I see. okay um yeah because I don't know you. don't. necessarily have a low income no so. that's what kind of confused me uh to. begin with so the income driven. repayment plan just for I mean people. consider it considering it and we're. releasing a video soon if we haven't. already that kind of goes into student. loans a little more. but on our new second.

Channel income driven repayment plans it. can actually be really good and actually. a lot of the rules have changed around. it so it could be really good the the. unfortunate thing is what we've seen in. the past is for a lot of people in the. income repayment plan is that depending. on the administration at the time. regardless of politics I mean that. doesn't matter but um depending on the. administration of the time not a lot of. people got their student loans forgiven. when they've meet the criteria right uh. we've had a lot recently that have been.

forgiven playing some catchup but it's. like if we're betting that on the future. all I'm feeling is just because this is. so bureautic and up you know everything. is just a mess that are you going to bet. your whole future on that in the future. that you're betting by the way is since. you're making less payments the interest. is actually uring more right right cuz. you're paying less into the like I don't. even know if you're covering the full. interest yeah I haven't looked at that. yet um in reality you just straight up. you in your situation you should have.

just. 10e average repayment. plan I mean it'd be an eighth of your. income a. month net okay like you could have done. this I can put this in your budget to. make it work if you could that'd be. great like I'm not going to be against. that by any well I don't first of all we. don't even know if you're going to be. accepted you might be forced to right. but yes so they'll bring it down to 150. if you're accepted and if not it's about. about 250 yeah what I do like is that.

your highest interest rate is. 4.2% yeah that's uh thanks to my parents. when they put me my dad put me on one of. his cards as like a a co-owner of the. card to like get me good credit before I. was even out of high school oh okay well. I I do like that they did that. successfully a lot of people do that and. then they their kids credit but yeah. thankfully my parents are very like. every month pay that card off they don't. they're not UPS how if I ever have kids. I'd like to do that as well for them but.

a lot of a lot of parents yeah it's. rough situation yeah it's something you. definitely got to be careful with so we. have a couple more deaths to go into. uh 2018 Chevy. Malibu okay. which let's call this. malib and we owe $16,679.24. what's your minimum monthy payment for.

this um. 287 I'd have to check my phone for that. to be sure but that sounds. right when I was going through the. statement I didn't oh actually never. mind I did I do I I found you found it. okay no. 172 uh no that's it might be because it. was partially paid off when I sent that. because I changed my uh how my loans get. paid out I changed it I did the you were. doing like 50 yeah I calculated it out. so I'm just making small payments every.

day on all three of my loans so I can't. even see what the normal month payment I. can certainly get it for you cycle. motorcycle we. owe a stupid ridiculous no point. absolutely stupid $. 6,45 69 with a minimum monthly payment. of it's probably around 250 off the top. of my head what's the repayment term on. the. bike two year three year it's probably. three. I know bikes can be a little shorter.

sometimes um the car oh shoot that was. like a five or six year I want to say. interest rate on the car it's like 4%. great interest rate on the bike same. thing okay personal on let he interest. on that that is death it's uh 12 and a. half. per. it's the second biggest at. 13522 Great uh you said this was stupid. and everything and it probably was tell.

us what it was that was a mix of I think. there was one computer part in it um. just a part yeah probably a GPU no no it. could no uh the reason I know I think it. was the CPU cuz that was probably around. the time I was getting into server work. and just doing self- learning or self. teing what else um the other big thing. on that would have been uh a photography. camera that's something I do as a hobby.

along with the motorcycle you know. Hobbies we don't really purchase into. until we can afford them yeah that was. the Trap of the Best Buy credit card cuz. that was when I was working at Best Buy. still um between the employee discount. in the Best Buy card it's yeah it's. snuck up on me I even think about. that what camera do you have Canon. R5 okay I got there's a look of my. photographer boy back there of of I'm.

not going to say it's going to make you. feel better I don't even see like Adobe. subscriptions and stuff in here I my. sister lends me hers okay she lets me. use her Lightroom in. [Music]. Photoshop I hate to say it but I would. probably try to sell that that's kind of. what I was unfortunately thinking of too. there's some other stuff that I've been. looking to get rid of that I just have. no need for let's get you to do it dude. let's get you to do it but rule number.

two you need an emergency fund you don't. have an emergency fund right so if we. don't have an emergency fund what's your. retirement account at at 26 177,000. between the two of them it's actually. okay um cuz I have 401k matching through. McFarland right now that's like well. that's fine but you don't have a full. you're not even close to a fully funded. emergency fund you have a really bad Deb. we don't get into the fun especially the. expensive hobby until we can put that in. our fund spending cuz that's all a hobby. is right you don't get to do that until.

you have a fully funded emergency fund. and then you and then before that pay. off all bad. debt what's what's the minimum monthly. payment on this personal loan um that. one's higher it's like three. something probably like 380 something I. want to. say I know between the three of them. like the full the full monthly payment. between the three of them is like. $857.

that's almost 50% of your take home I. know for a. camera and what's this bike worth what's. this bike worth I honestly don't know. because I have no I had no intention of. selling it uh reint ISE yourself unless. you want to drive the bike in the snow. and get rid of the car you're getting. one rid of one of them pick got. it right now I honestly couldn't tell. you what the bike worth is because the. bike market right now is just.

absolutely I think in the sellers favor. though yeah. okay in the way that's good for you. probably it's been search up the model. and worth oh it's a. 2020 kawaki. Cruisers Kawasaki yeah. Kawasaki says right now the listing. 73 on whoops un locked your phone but as.

used that's just um you'd have to unlock. your phone that was just the first thing. that came up on. KBB yeah trading value it's in good. condition I assume cuz you probably like. sleep with it okay. so the. obsession. with engines in this country and the. debt people find themselves in to get. there I'm actually okay with the. interest rate you just can't afford all. these minimum monthly payments together. plus I mean you actually get probably an. additional thousand bucks and that's.

just tradein that's not even private. sale that's trade in so like you go sell. that immediately get an extra 1,500 and. put that. towards you pay off the Best Buy card. today well I don't know if I'd go that. strategy but you do get an extra, 1500. we we we'll figure out where it goes. from there savings we went up from 600. to 2,000 yeah so I had an ack went down. from 1,300 yeah I keep I keep my. checking pretty empty to like hopefully. curve my spending but my bank still has.

yet to listen to me because I keep. telling them that like if my checking. account hits nothing I want them to um. not let my card make any transactions. that's to keep myself in control of my. spending problems the problem is I've. told them twice now to do that in both. times they've just keep letting it uh. overdraft and then fall and then have my. savings pull from it I think you might. be an envelope person do you know. envelope method I I have good idea of. what that would entail um you put your.

categories in how much you can spend in. each category in an envelope and you can. only when you go and spend in that. category you can only spend from what's. in that envelope itself I think that. that's like the most strict of the. strict and I think it's what you need I. just can't I think you just can't man. you just very clearly can't okay so this. is small little transfers back and forth. on whatever this account was and then. there's uh overdrift protection 118. bucks came in overdrift protection. $540 came in overdraft protection $120.

we're just not managing our. money acorns a lot of acorns through. here I love acorns Link in the. description below if you if it makes. sense in your situation guess what it. doesn't you have a 12 or 13% interest. rate on the personal loan your rocket. card's at what 15 to 30% somewhere in. that range probably uh I'm pretty sure. it's like twice that I think. i% not you said well you said um it's.

like at that 30 yeah you're not going to. beat that on acorns acorns is great no I. have completely sold out of my acorns. that's why there's actually money in my. account cancel your subscription yes. okay uh Taquito and Taquito and Taquito. and or motorcycle and McDonald's and EA. shop J uh so brokerage I don't think. we're putting money in there either. doesn't really make sense that was uh.

part of what I'm setting so what. happened or what's going on with that is. um after I left Best Buy I had obviously. some money built up in their 401k and I. transferred that over to them so that's. yeah but this is a 100 bucks right so. that's just building on top of that. still so like I what what are you saying. did you do so you did a transfer right I. did a transfer a roll over I did a roll. well it I sold out of the 401K and put. it into a Roth oh yeah so like I'm not. that's that's all money from Best Buy um.

I took the hit on the. taxes did you talk to someone before you. did this yes okay and this there's. somebody at Raymond James that I that my. family person I don't know Raymond James. um that my family personally knows they. took care of everything for. me but why is extra money going in right. now anyway just to keep building that. retirement yeah but you're not going to. beat the 30% interest r on your card no. I realized that now because when I last. when I when I when I talked to them last.

time they're like oh yeah just keep. throwing the money and and it'll it'll. and you just got to take care of your. your bills and it's like that's. obviously what I've been trying to do. but it's not it's not working clearly. they correct if you didn't have 30% debt. Subway Burger King Burger King Taquito. Taquito and or motorcycle myth Live 2 oh. that was a concert two two different. concerts we're not doing concerts when. we have bad debt and no fully front. emergency fund and ta kidos overdraft.

protection 118 bucks taquitos more. acorns acorns Burger King teido and or. motorcycle don't know it's hard to tell. Taquito Subway McDonald's first of all. Subway it's like the worst food that's. ever existed in this world so why go. there anyway if you're going to get food. at least get food that's. edible taquitos Panda Express tequito. Apple payment of some kind to Kito myth. live. we're back oh we're back with more myth.

live again Heroic Ink is that a tattoo. is that that tattoo it's the one on my. leg we don't need $180 leg tattoo while. we're in bad debt we can get the tattoo. eventually I respect you for not being. afraid of Le needles like me but we. still can't do it Taquito in Subway so. we're just like eating plastic. McDonald's taquitos overdrift protection. if we're getting overdraft protection. we're not going to McDonald's. live music something 14 bucks and. Boulder.

Tap. homes uh it's a. restaurant and then yes you pay the. really weird towards those other debts. very small payments like every day. instead of just it doesn't make sense. you are not managing your money well you. are very clearly not budgeting no not at. all and you just you have no idea what's. going on in here do you do you cuz. overdraft is just slapping you I I the. the overdraft is from yeah from the.

checking and it pulls from the savings. and I know that's that's part of my. issue. yeah do you have have we agreed that you. have I thought we did okay of the money. that's actually going to the is like. 2.5% of your. spending and then of your. spending yeah transportation's huge. obviously in here necessary food 3.3%. but going out to eat 4.6% so we're going. out to eat more than getting groceries. great and it's still expensive 461 bucks.

a month it's an extra 461 bucks a month. that could be going towards paying off. the debt unknown spending thousand bucks. let's see unknown spending uh lots of. Apple tons of Amazon 500 bucks of Amazon. Target you never know what that is. Walmart you never know what that is so I. know for the Target and the Walmart that. is actual groceries so you're spending. $750 a month in groceries total. cuz that would be your Walmart Amazon.

and your necessity food I can't do. Amazon groceries not in Iowa we didn't. say Amazon I thought you just said. Amazon oh wait wait wait sorry sorry. that's your target Walmart and uh. grocery stores that we saw would be. about 750 bucks so are you really only. going into Target and you never got you. don't get anything that's not groceries. look at this okay I what the oh well one. second you're right I did include the. Amazon you're not getting the Amazon. there so Target itself was like 300. Walmart it was only like 30 and then the. grocery stores that was an additional.

333 so you spend in like 500 bucks yeah. that's probably right 600 bucks and I. know I can bring that down it's just a. matter of I need to quit being lazy and. just actually make my own food and do. meal prep. kidos like 328. yeah other large purchases 2,220. remember on a monthly basis you net. 2,000 so what did we do access.com and.

there is some oh wait other large. purchases so some petmart and the power. sports and struther Bros born of. oseris uh some UPS stuff heroic Inc Best. Buy counterparts misery trust AutoZone. of virtue and vening up money so the. venmo is for my phone bill cool well. that's $40 of the 2,222 so 20 222 okay. so.

$2,182 and then a lot of that is. actually cloth too congratulations so. you uh your large purchases of which. include clothes and I assume you had. clothes cuz you're a human being that. exists in the United States of America. you know most people go and buy clothes. obviously that's a privileged stance. yeah but I assume you had clothes right. yeah cuz you haven't been not making. money okay so that's why I assume that. much so. so.

$2,182 went to large purchases purchases. yeah that makes that is more than you. bring in a month I bring in 4,000 a. month 4,000 yeah you're getting my my oh. you said per paycheck so that's per. paycheck yes thank goodness so even if. you paid your full student loans the. student loan payment would be. 116th of your income 11/16th of your net. thank goodness you made it sound like it. first it was 2000 which correlate I I'm.

sorry I guess I didn't make it clear. that that was just for a twoe period no. that that that's my bad that is not on. you okay so half half of which needs. should be only 50% half into those large. purchases calculate all the I mean. you're Let's see we get a total spending. including what. uh oh spending so not even including the. savings. we saw. $783 move around in different ways now.

that includes what you also spent on the. credit cards that were not also paid as. well so total spending compared to. $4,000 hours that came in yeah $ 7,838 a. money movement yeah that's too. much yeah. understatement too much it's almost. twice what you make than gu it's not. 2,000 it would be like four times what. you. made Okay so I'm just trying to think. of your mental health stuff what have.

you started doing. to uh help both um therapy and. Psychiatry and how long have you been. doing. that uh two or three years the issue was. the issue was with um the psychiat. obviously she prescribes all my meds uh. what happened it was at the end of. August um we upped my meds um but that. was not the right move and I was. basically almost accidentally overdosing. on. viance um and it wasn't her fault um I.

was still well below the the recommended. level for my weight it's just it was. when I took it for the two days that I. did for the new dosage it basically put. me in in a panic attack all day long oh. so it wasn't an overdose you were just. no it was it was basically like if I. took any more though for some reason. like I probably would have been there oh. mean I was just a absolute mental wreck. for like two weeks cuz and to a new. medication well there's that and like I. reacted so bad to it that I I was.

actually on stratera which is an SS or S. it's. SNR okay yes um and then obviously with. the viance with that when I had the B re. action I'm like I can't do this this was. on a Friday um I cold turkey quit both. of them and then. yeah yeah that was a while ago yeah that. was like a month ago now that was a. month ago yeah yeah well the question I. was going to ask is have you seen. positive benefits in these last couple.

years of doing this um so like like. where are you at so like for quite a. while I was seeing benefits but the. problem is the drugs would keep like I. would either grow tolerant to him super. quick or I just stop seeing benefits. after so long um which is why we up the. dosage again um but after getting off of. them it's it's helped in some areas and. then set me back in others okay well. obviously keep working with them and. keep working on that so I was just. trying to see where you feel you are. mentally at this time because as we go.

and create the budget I mean all that's. going to come down is we can make a. budget all day right can we follow a. budget and obviously in our spending we. saw not even close. so what I want you to do my money. prescription for you is I think envelope. method I want you to try envelope method. give it a give it a play I want you to. get out of the accounts out of the. digital accounts which is usually. actually what negatively affects me if I. see if I spend cash I feel nothing but. if I see money like TI down on my.

checking account I'm like I'm dying uh. but for you you don't even care what's. in there you don't even look so I want. you to know how much money you have for. a certain category based on what we. designate and that money can you can if. you want to go do something in that. category you can only spend from that. envelope that envelope is out of money. you're done for the month until next. month you don't pull from another. envelope then you break the whole system. and there's no point what's your you. said you have a you do not have a. roommate you live by yourself I live by.

myself what's your rent. 1,200 it's not bad I assume it's a. pretty expensive price for that area. though it's kind of a. wash um I've seen more expensive places. but I've also seen well there always. going to be more expensive yeah I mean. but for a two bed two bath town home. with an attached garage two bed two bath. town home touch garage for $1,200 a. month kill me I wish okay wow. enjoy that says everyone in the comments.

what's your Utilities in Internet uh I. don't pay internet utilities and I don't. have gas so it's I have electric heat. yep so right now it's like 150 and I'm. rounding yeah I'm not I'm not looking. forward to seeing that bill in a month. or two so I'm going to put in like 250. yeah whatever you think is best cuz I. don't know I have no idea what that's. going to look like I had electrocuting. in one place and it wasn't a huge place. it was a one-bedroom room wasn't even. like a dining area and do that. electrocuting was.

expens okay well it also depends on the. efficiency of the place I'm sure the. unit itself in is air getting in and out. you know yeah I mean I I work from home. so like there's not like a lot of coming. in going jeez okay so uh I think we get. we get we we we keep it a little nippy. for a while and we get ourselves nice. heated heated we I haven't even turned. on the heating yet this year. I I haven't even and he told us it was. 20° like before he came down here so.

like Brave man it got into the 50s here. and I was like. heat. um uh yeah like weighted heated blankets. slippers I got my slippies on with the. way the placement of the town home like. it doesn't drop below like I think the. lowest I saw the ther the thermostat go. was. 65 even with it being like 20 no no no. no no I you're not going to get to a. dangerous level I'm saying no no no I'm. just saying like even with the temps. like they have been recently like the.

temp in my house hasn't dropped below. like 65 oh gotcha I see okay so little. space heaters can be okay too like if. you're just in like one area the whole. day right and well since I I have to use. my computers for work if I just leave my. office store open that actually like. heats the entire D yeah when I go in my. office with like my larger PC if I shut. it it becomes like 100° in the aw a. second okay utility say like 250 cuz it. is going to be a little more expensive. coming soon so groceries congratulations.

is $300 a month we've proved that you. can do it $250 a month but we're going. to give you that extra wiggle room for. snacks and that gives you a full 2,500. calories a day breakfast lunch dinner. and snacks and desserts I don't need. desserts but well I'm saying that gives. me extrait in there and it well and yeah. that's on a healthy uh that's not an. unhealthy I'm just not a desserts guy ah. lucky man lucky man okay. and then toilet paper everything you. need to survive extra things you can you.

can put what you want in this category. usually I use it for toilet paper okay. uh tissues for all your things and uh. you know anything else you do if you. want to get a McDonald's out of it you. can it's the toilet paper fund I call it. it's just the it's your. $100 I'd use it for necessities and if. there's a little left over you can get a. MC. frry. car sh what's your two well I'm sorry. okay so fun fact you ready the motor the.

motorcycle's gone yeah but that's not. most of my insurance but I need you to. commit to that. now that's going to be really hard I. don't give a commit to it now you get a. nicer motorcycle in two. years get a nicer motorcycle in two. years all right fine fine I'll do it. it's a temporary sacrifice good so we're. eliminating the car the motorcycle. insurance what just your car insurance. yeah that's still the bulk of it it's. still going to come out to like 2,400 a.

year you pay yearly yeah that was that. was part of the problem how do you pay. yearly when you're overdrafting on a. monthly basis well that um cuz I put it. on a card like idiot I recommend next. time that comes up we're just doing it. cuz that was the issue was is for some. reason in my head I had oh credit card. for emergency and then that here we are. so obviously I'm not a card person I've. already chopped up both of them. you can use the Fizz card but that that. is pretty much it um okay.

all okay so usually yes you pay annual. you pay quarterly you pay be annual you. save money on car insurance you're. putting on a card at 30% interest you're. not you're losing more money so for you. until we're out of the situation until. we're managing our finances well you're. going to do monthly the next time it. comes around that's going to be I'm. going to do like 250 a month assuming it. goes up a little because it's monthly. yeah right it will go yeah. 12 it's 200 so I'm that math checks out. gas on your car alone not driving a.

motorcycle what are you going to spend. on a monthly. basis it couldn't be more than probably. a hundred cuz my parents live about two. and a half hours away and that's the. only thing that would drive it up do not. include your motorcycle cuz it's gone. you're selling it. tomorrow and I know that's actually. that's a very big thing you should be. proud of yourself for doing that that's. a big step towards actually making your. future better well and I know the the. issue is is growing up up I always raced. Motocross my parents were able to afford. that for me yeah um and I did end up.

having to sell those at some point and. that killed me inside well the exciting. part is you're actually not in a as bad. of a situation as many of the recent. people I've talked to so because of that. I'm going to get you out of the. situation relatively quick and then. you're going to just get a even nicer. motorcycle and cash you're going to do. that and it's going to be great this is. the temporary sacrifice to improve your. life you're 26 there's so many decades. left it doesn't matter because even. without your motorcycle your minimum. monthly debt payments is. $1,022 which is a fourth of your take. home that's disgusting that's kill me. that's ruin everything.

so uh uh what else phone bill phone bill. is like just say. 45 my phone's paid off good now you do. uh some medical things on a monthly. basis how much should we put towards. medical that's it it's all covered by. Insurance 100% so no copays with therapy. no copies congratulations nice nice. health. insurance one of the small benefits I gu. guess for working for a a clinic oh true. that that makes sense they better um.

anything else in your life we need to. calculate into this think hard I think. that covers everything because really. all I know I mean you've already said to. like all my money goes towards either. concerts or the motorcycle so or eating. out or Taquito or video. games so a lot gym you have a gym oh yes. oh God I'm glad it's like so there was. like $160 upfront charge and then it's.

192 right well it's so it was 120. upfront and then it's another $70. recurring charge on a month yes so. there's pretty nice gem it's a really. nice gem and I I do my damnest to go. there at least three times a week so I. feel like I'm getting my money out of it. yeah good lad absolutely get there I'm. putting it in your budget I'm happy to. put that in your budget anything. else no no that was actually the last. thing that I can think of. listen I'll yell at you about the debt. and the spending you can yell at me for. not going to the.

gym we can have a yell party see even. this so this is definitely why we're. getting rid of that $250 minimum monthly. payment for the for the motorcycle you. you have 6 60 bucks left on a monthly. basis let's get that exact number saving. that moneyy I love when my money is. making more money in the Sofi high yield. savings account I use has 4.6% interest. on that moneyy it's the savings account. I personally use for my tax money that I. set aside and other money that I just.

want to be building while it's just. sitting there and you can get bonuses by. signing up all the way up to $250 by. using my affiliate Link in the. description below and it's not just cuz. they're my affiliate I personally use. them they're great I've had a great. experience with them so far and I only. recommend those who I like working with. and who I like using so if you have. moneys sitting in savings have that. money make some more. money and use that high yield savings. account link in the description below. 4.6 % and bonuses all the way up to $250. so what you need to survive on a minimum. monthly basis and we need to get rid of.

this debt cuz we would decrease it by. $1,000 is. $3,337 40 so what you need minimum on. our tighter budget so divide that by the. $4,000 that comes or not divide it but. you know let's figure out what's left. 66260 is left on a monthly basis on. average okay that's your money to play. with you get an extra 1,500 from just. tradeing you might try private sale for. a couple week on the motorcycle see if. you can get like 2,000 extra for it but. trade it in if you can after a couple.

weeks that's fine so trade in good. condition that. extra what did what did we have in. savings what's in your savings right now. uh not what you have on sheet I can tell. you. that um savings right now it says uh. 1,800 but I have to pay rent so it'll be. down to 600 so it's not savings you. don't have a savings account I try to. keep everything in savings and only move. things to checking when I'm doesn't make. sense that's not that's not what a. savings account is your savings account.

is okay that's why we're doing an. envelope system you're over complicating. it do the envelope system these. categories are the ones I've given you. you put the cash in there okay the one. digital account you'll have you'll open. a high savings account I don't care. where I use Sofi personally open it that. thousand 500 you get from the bike put. it in there okay and then for the next. two and a half months for the first two. and a half to three months you're going. to save up the extra $662 you have on. the side that plus $1,500 is going to.

give you a one Monon of Mery fund before. we start the debt train okay okay so. that's three months we're going to round. up assuming some transition. period that sucks this is why it's. actually probably going to worth it like. just a couple times a week I don't even. care or maybe like pick a day on the. weekend you choose it make your week a. little worse make your weekend a little. worse go pick up an extra 10 15 hours. and and that's something I have been. looking into already I would either I. got a friend yeah if you want to go.

first well if you can uh just all all I. wanted to say is if you can bring the. 662 to. 1,662 extra a month you're accelerating. this drastically go ahead okay and I was. going to say I got a friend that has. worked for dominoes for delivery and he. said the hours are super flexible which. is what I need because with my job um. one week out of every month I have to do. on call and basically I have to drop. everything at a moment's notice if a. call comes through interesting so that's. that's been kind of the issue is finding.

a part-time job that will I'll be able. to have that will work around my main. schedule Jimmy John's uh of which you've. consumed from when I worked at Jimmy. Johns I worked for there for like four. five years okay they actually cater. pretty good to consistent schedules on a. or like a school school semester basis. usually and especially if you work in. the college town jimy Jones actually. makes decent money for delivery driving. but in the midwest specifically but. what they do is they put you on a set. weekly schedule okay now when that week.

comes up and you need to get people to. cover your shift it's on the person it's. on you to get some cover yeah that's how. it always is yeah but instead of it. being a random you get this many hours. this week you get this many hours this. week some weeks you don't get it. sometimes we don't need you it's set. every single while so might be something. worth considering yeah that's that's. another one because I was going to say I. was looking into door Dash um a friend. he's Works uh at a dominoes and he said. like they're uh scheding is super. flexible too so I thought about looking. there um thought about possibly since I.

know the manager is still at the best. buy used to work about at I thought. about talking with him to see if he'd. hired me just on like a weekend basis or. I mean they're open until like 9 10:00. so I can pick up hours during the week. prettyy if you did like a Tuesday. Thursday the only thing is I oh there's. one thing I forgot there's one thing I. forgot I do have a dog oh okay uh how. much should we cater a month um her food. is about 50 a month pet insurance uh. it's currently covered with my other. insurance oh that's really cool actually.

for now like if something were to happen. though then I would have to get pet. insurance because apparently pit bulls. are super aggressive dog breeds or. something um I don't want to say. anything about that get the everyone on. the internet on both sides to murder me. so you'll never know what my opinion is. actually really don't have a strong one. but. um this is one of those topics that. people kill yeah no I don't blame you.

for keeping that one under. WS uh okay so then it takes us so I I I. the Best Buy what I want you to do is. you need to get in there this is another. one of your just things that allow you. to do digitally figure out what minimum. Mony payments are necessary to pay them. off for interest or crew then adjust. them to that then just do minimum. monthly payments and make sure they're. paid off before the interest is. occurring that's going to adjust your. budget. a little bit you'll maybe have like $590. left on a monthly basis.

570 something like that but just for the. sake of things the Cycle's gone let's. just see how long it would take. you. without so this is not going to. include interest rates but it's also not. going to include you pay off a debt and. then the extra minimum monthly payments. pay off the next. debt student loans let's whether it's. the income base whether it's the. traditional um in your situation on go.

traditional you can do income if you. want if they accept you minimum monthly. payments so they're paid off okay just. makes mathematically sense and that. investing thing that you talked about. you're right you want to just throw. money at it 65 months without you. picking up an extra job that doesn't. even that that that's taking your. motorcycle out of it and that's not even. including your student loans okay which. will be going on top of this that's 5. Point that's 5 and a half years five and. a half years and that doesn't take in. account interest so I just wanted to.

show you what this looks like at this. point because even though you make a. strong income especially for the area. where your money is going and where. minimum the payments have stacked up to. where your rent is and just where your. bills are in general everything combined. you don't have enough extra left over. for the amount of debt you've built up. so yeah we got to get a second job even. if you just double that from like that. 570 to a th000 extra a month I mean that. a it's going to cut it to like 2 and a. half years that is so worth it and. that's where I say 2 and 1/ half years. call 3 years to get a fully funed. emergency fund then so 3 years total.

then you get your bike again and it's. awesome yeah okay okay and I was going. to say the one other thing I'm once my. lease is up I'm probably going to get. out of the place I'm at and get a at. like a I I need the two beds for what I. do because I I had my computer like my. work computer in my bedroom at my old. place and it just played hell with me. mentally what about living room I I've. done living room oh I couldn't because. of my roommate and personal health. information cuz I would occasionally. work with that yeah no no no I'm talking. your next place though if you got a one.

bedroom do a desk setup in the living. room I yeah I could do I don't like it. personally but can you do it for a year. yeah a year of your hopeful 8090 years. here right right I think we can again if. it actually FS with you mentally I'm not. going to put you in that dark spot. but just consider I understand the. bedroom thing separating work from. bedroom be pretty important at at a. certain point yeah because like it it. got to the point where I couldn't even.

fire up my personal computer to get on. Discord and talk with friends yeah like. I I was completely secluded from. everybody for like like six months to a. year well you better be able to fire up. Discord cuz we're going to put you in. the Discord of all past. guests so essentially what this this. this number shows you the five and a. half years though even without interest. occuring is that it's is it's going to. take forever in your current situation. to pay this off so we need to get. another job that's your answer okay so I. need you to envelope system that budget. I'll send you we'll you can take a. picture of it it's on.

screen you can email ask questions all. that good stuff you need an envelope. okay and you need to go get another job. immediately sounds good that's my. diagnosis what do you think no I'm I. mean. that's kind of the dire that was the. direction I was heading anyway as much. as I don't want to get a second job I. know it's necessary at this point too. make sure your therapist is aware of. aware of your goals aware of the. sacrifices you're going to be doing and. needing to redirect your different cope. spending and you know just your need to.

swipe and let's get some discipline in. life improve your life that's the plan. all right when it comes to his hammer. Financial score spending in a budget. definitely was not good but it also just. isn't the worst of the worst but it's on. the bad scale so 2 out of 10 same with. the debt it's on the bad scale but not. the worst out of worst two out of 10. mergency fun I wanted to give something. there but I couldn't cuz apparently that. money was just being spent on rent and. everything so we learned that towards.

the end 0 out of 10 retirement actually. very happy for his age 7 out of 10 there. real estate that's a zero out of 10 part. of a future conversation though so with. all of that together Hammer Financial. score 2.5 out of 10 make sure to check. out all the resources Linked In the. description below they are what I use or. would use in specific situations thanks. to all of our patreon producers for. making this episode possible if you want. to participate in an episode a financial. audit and you're able to make it to. Austin Texas please fill out an. application in 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 calop hammer.com.