McDonald's Is More Important Than Her Child | Financial Audit
I was not making ends me why those guys. spend money oh this is interesting we. don't have a rep payment we have a kid. we care for their future but going out. to eat's more. important you can't just sit and laugh I. am going to go get MC Fries over my. child's future are you going to feel. worse when he is putting his life on. hold to support you because you have. nothing for. retirement hi my name is Elena I'm 34. I'm from Edinburgh Texas and this is. financial audit.
thanks for coming up I know it's a long. drive what do you do for a living there. I work at a bank as a quality control. representative okay awesome and making. sure people not losing that money pretty. much what do you make in this job I. believe 33,000 you believe what what. does I believe well that's what they. told me when they gave me my. raise when did you get your raise um. probably like in May I. think in May so that's what they told.
you a raised to 34 is because now I know. that's uh you know it's kind of on the. border it is cheaper cost of living. there uh what What's the nearest major. town uh Mallen it's like main city okay. so I know it is cheaper but 34 raise 2. 34 how do you feel living on. 34,000 there oh I I feel like I need. more you need more a bigger raise yeah. so what do you think hits your account. on on a monthly basis then so it should.
be up to date then because your raise. has been a while ago now yes um okay so. every I get paid every two weeks and I. get I take something's weird here. a, 50,100 when I per Check Yes cuz I only. have one of those hitting. 1,77 are you hourly yes or salary oh so. they're expecting you with 40 hours a. week to hit the at 34 yes so did you.
take non-paid time off cuz. 1,77 that's what we had come in payroll. right there if you have two of them it. makes sense yeah like it's but we had. one we had one no it's every two weeks. okay is it bi-weekly or is it. semi-monthly. it's on the 1 on the 1550 oh so. semi-monthly so we wouldn't have missed. it it's just one okay yep but that's. okay you know maybe this is something a. little weird the statement maybe it was.
a timing thing but 2,000 bucks a month. yeah it's not enough okay how how are. you stretching that what's like what is. even your rent I'll just say that off. the gate you should be wait for that one. but well my parents I live with my. parents oh I was going to say you kind. of have to yeah they help me out a lot. um you have kids one he's going to be. nine next month oh wow okay cuz that's. also expensive yeah living with your. parents is there a significant other in.
the picture uh he's my boyfriend he. lives in Houston that's a that's a. commute well he drives to me sure that's. a commute does see the father of the. child no is the father of the child. providing child support uh Sometime Late. he does provide it but it's like well. what about legal obligation well that's. his legal obligation how much what's his. legal obligation I get 292 that's what. we had hit 292 you're saying sometimes.
he doesn't Okay so right now it's. September he's late on the August um how. often is he late and what do late look. like does he double this month because. of last month that's why I expected him. to no no no that's what you told him to. do I expected him will he no probably. not so he won't pay September he's just. in Deb he's yeah like in SE if he pays. September it's probably going to be the. one for August so I guess like he's like. a month well how yeah but okay yeah but. it's his August really August or is it a.
month delay push back from something. else as well was an April late and then. you know like is the one that's being. paid for August actually August or how. often is he late yeah cuz back in April. he was well that was just an example I. don't need April specifically okay yeah. so he got behind like three months so. April May June July and then he tried to. catch up so now the one that he's going. to pay if he pays in September it would. be the one for August so you make $2,000. a month how much did you.
spend yes a lot T yes and what is that. number um I don't know but I always end. up like no no NOP nope nope what is the. number how much did you. spend what do you think you spent I'll. clarify. ,200 1,200 maybe you bring in 2,000 you. spend 1,200 well I bring in a thousand. every paycheck not a month yeah so 2,000. a month okay but just spent 1,200 oh no.
in the month yes probably. 2,400 2,400 yeah why are you spending. $400 more than you make because I don't. know I have payments payments for what. why how where my daycare my son's. daycare um wait but you live with your. parents so they don't watch the kiddo no. I have to pay daycare cuz they both work. they're working how old are they uh 63. and 61 okay um are they going to.
continue to work for a while I hope not. daycare 9-year-old I mean he's getting. pretty close to where he can stay at. home yeah yeah he's already asking me to. stay by himself but I like no you can't. do that I know I know especially first. kid I I I know everyone's a little more. you know nervous with the first kid as. someone who has had so many kids I'm an. authority figure on this subject okay. yeah you spent. $3,000 in a. month yes I didn't know wow. sure yeah math is kind of math you know.
you add numbers together and you uh get. 3,000 oh wow oh wow. indeed okay okay I don't know why I try. to budget and but what what do try to. budget I feel like I've hear people say. tryd I make a list right of all the. payments that I have to make sure Santa. sure just like the payments that I make. that just goes my whole check goes to. that uhhuh I don't even have spending. money left.
girl you know what show you're on. yeah I don't even have any spending. money left no I don't I have like $7 in. my account uhhuh I don't have any money. spending money left. $267 going out to. eat is that funny no huh interesting. miscellaneous bll you know well it could. be a video game it could just be things. that don't matter.
$158 but I don't have any money left to. spend. well huh what I don't well it's cuz I. make my list then I added. congratulations then your list is wrong. you must not be writing things down I. write everything oh I guess not. interesting if you write everything down. you'd be able to tell me how much you. spent last month. yeah you're off by like 30%. yeah yeah oh I need help Caleb that's.
why well no that's why everyone's here. that's not a that's not a cop out that. that doesn't get your feet out of the. fire no it does you'll get the help. we'll get the help but this is that we. uncover your and your [ __ ] part of. the. conversation okay I'm sorry no it's okay. maybe maybe it's okay we'll see. obviously. so your method of budgeting is obviously. not correct to be clear so we need to.
get you on a proper PL path well by the. end of this we're going to create a. makeshift budget kind of see where we. stand and what you can do but go through. the budgeting program that you're going. to get for free okay go through the. investing program that you're going to. get for free go through all that take. the classes take the. quizzes um these people out there have. to spend money to get it so you better. take advantage of it okay I will some of. the best education you can take. advantage of Change Your Life.
all right self assess where do you think. you are Financial score 0 to 10 zero. being the worst 10 being the best where. do you think you are I took the test I. got a zero yeah I'm not surprised. especially when I'm looking down at the. statement I see red everywhere to watch. your Hammer Financial score it's free. Link in the description below also feel. free to come on the show if you have an. interesting situation interesting. finances Caleb hammer.com apply we would. love to have you in Austin Texas Capital. One so what is going on on with this.
card why is this card I okay so back in. 2023 I was making my payments um 2023 is. a while ago now last year yeah I know um. but um starting probably February. March uh for some reason I could not no. I no for some reason no how would you. give me the reason I spend money on. miscellaneous I make a.
list okay. so I was not able. to like I was like struggling right I. was like I was not making ends me and. then why this gu spend money on. miscellaneous stuff oh this is. interesting we don't have a rep payment. we have a kid we care for their future. but going out to eats more important no. it's not well it was but well it was you. did it you chose that that was the. action you chose whether it was a.
conscious full it was a conscious effort. whe whether it was a full frontal. conscious effort. of I am going to go get MC Fries over my. child's Future No but in there you still. made the choice to do it knowing that. you were going to stop paying on a debt. in order to get a MC. fry yeah I know um okay so I I know I. made that wrong choice but you didn't. just make that wrong choice this isn't.
you just made a wrong choice this has. been 6 months of daily wrong choices. this isn't we cannot excuse this as I. made a wrong choice this is behavior of. a half a year yeah showing that you. prefer a MC fry overpaying your damn. bills it's okay that you live with your. parents especially as we're trying to. figure things out but clearly again we. prefer a fry over any semblance of in.
Independence I know it's because my son. asked for. McDonald no no no you know what a parent. does says no no at home huh Cooks at. home we got McDonald's at home and it's. little Frozen nugs that's what we. do you I mean you can't do it does does. the little disappointment of saying I'll. tell him no I know he's out there I'll. go there. no I'll do that um yeah you can see I'm.
great with kids yeah you'll probably. scare him oh well good no more nugs for. you no nugs on the way back down to. Edinburg he already asked what he we're. going to. eat he ask me right now what. the as a f as a fat I don't go around. asking people how much I eat what what. is happening is that the only thing he. thinks about no well yeah most of the. time that actually might something we. need though cuz that's not going to lead.
to Healthy Life Choices I. know um especially if you're having like. this constant like spoiled throughout. expectation of always getting these. little sweet treats if that is the. expectation in life yeah I know he's. going to beg for it and it's actually. going to be hard to break that cuz this. is the expectation it's it's the what's. looking forward to I feel yeah I feel. since he was little he would always want. add something and then I would give it. to him and then now now I'm seeing it.
it's like he's seeing he's like I want. this and then I'll get it like no you. can't do that but you don't say no you. can't get that oh throw a tantrum okay. call me in I have fists he has a. face they will meet in. battle no I'm kidding obviously that's. not how you deal with it you hit him. with a belt okay no one wears belts. anymore we're all too fat we hold up our. pants with our own wait what is. happening what am I saying just.
uhoh. SLA no uh it's just you know especially. nine he's in middle school right uh no. he's in third grade well yeah middle. school that's not Middle School third. grade is not Middle School fifth grade. fifth grade elementary well hold on five. is first. second sixth grade is I guess I know. what middle school is I'm trying to. figure out what age sixth grade is.
Elementary no I'm trying to figure out. what age sixth grade is sixth. grade hold on 10 should be fifth right. mhm 10 and 11 should be fifth yes if. fifth grade is or first grade is one oh. my five first grade is five oh it. doesn't matter six or should be 12 okay. so he's probably not old enough for. um I'm just trying to think maybe we sit. down we have a little more mature. conversation might not be able to f. grasp it at that age still sit down and.
have conversations but the full. consequences uh and like we're doing. this for the family future conversation. is a little harder when it's younger but. um the conversation something does need. the happen we need to start talking and. to them. Yo mom can't afford this essentially. yeah I tried now legitimately guys I. believe that you everyone in your life. everyone around us can actually take. control of their financial future and.
make their lives better and we've spent. over a year here creating tools to help. make those goals a reality right now our. budgeting program and investing program. are bundled together at a 15% discount. and you get $100 in cash gifted to you. right into your Mumu account there's. honestly no time like the present to. actually take control of your future. don't wait don't let this opportunity. pass you so what do you mean you try no. like I tell him but say he's too small. to understand but I don't give a [ __ ].
it's like at a certain point what do you. do when a tantrum is thrown you just. give in no not all yes you do well not. all the time that's kind of what you. were saying though okay yeah not all the. time though well why do you sometimes. then cuz we legitimately can't afford it. I guess I feel bad I guess yeah and I. would too yeah I would too I get it. but are you going to feel worse when you. know the kid in high school has girls.
over and he's at his grandma's house. with his mom are you going to feel worse. when you can't provide a single scent to. college are you going to feel worse when. he is putting his life on hold to. support you because you have nothing for. retirement at that point yeah I'd feel. worse at that point than just saying no. on to mcf frry yeah really it just comes. down to that the child conversation is a. little harder for me to navigate I'll be. honest and candid but that is a. conversation and responsibility that.
just needs to happen on your behalf as a. mother because mathematically this is. not working out and there are longer. term real consequences actually coming. down in the future of his life if you do. not get your taken care of now yes I. agree with you on that well good maybe. put some action behind it then I will. why haven't. you well I started kind of well these. statements what this month okay yeah. that's nothing that's nothing that's.
like me going on Biggest Loser and. starting a diet two days. before that's not funny I know yeah well. I I try to start I started paying this. month this credit card down but it's. hard because um they take $80 they start. taking the $80 this month yeah you have. a balance of $635 which I mean in the. grand scheme of you know median salary.
median household income it's like we. should be able to take care of this uh. relatively quickly uh but with an 800. $185 minimum monthly payment because of. how you've been managing this card mix. that with you earning a really just you. know on the lower end of the salary. scale well it's not even salary it's. hourly but you know it's essentially. that guaranteed 40 but that makes that. hard especially the $185 so just this. just this when we're talking net 185. divided by the 2,000 that comes in this.
is already almost 10% almost 10% of my. paycheck of of your two paychecks yeah. of your two paychecks almost 20% of one. paycheck now there's fees $39 fees an. interest of. $15.46 again we have a $635. balance yes yeah what's the limit. $500 well it's all the fees that they. charge well you know how you get the. fees you you don't pay or you're above.
and I don't see a payment happening here. not even an attempt of a payment not. even a call to the credit card company. saying I can't make this payment can we. lower the minimum of the payment and the. interest so I can pay it off I did not. know that I will call them I didn't know. they well I don't even know if that's. the full solution but no attempt from. your and why started like I said no you. didn't I paid $80 in on the first listen. listen I say this to every guest and. I'll say it to you I don't care what you. did two days before the Show 2 days.
before the show is nothing that's a. scramble to look decent before you sit. at this table that's nothing it's the. actions that we've been doing for months. for a year for a decade those are what. we break you doing something for a. couple days is nothing cuz you leave. here and you go into the habits you've. been doing since forever not in a habit. that you did for two days it's not a. habit it's an action that you did a. quick little try to look good action. that's what always happens and so no I'm.
not going to sit here give you a high. five for that I'm not I'm sorry this is. that's not helpful to you it's really. not it's not that's why I'm here and. it's a pass do fee it's a pass do fee. the thing is you're right it is all the. fees that have gotten up there but the. minimum to payment was probably $2 to. $40 before 25 so why weren't you paying. a $25 fee cuz now you've gotten yourself. in a position the $20 fee the $20 fee.
the $20. fee $20 fee was 1% of your paycheck 1%. of your paycheck 1% and now we're up to. 10 because we decided we didn't want to. pay $2 but we wanted to spend $250. getting MCN I know it wasn't on the. credit card though huh not me it wasn't. on the credit card you know how' you. build all the credit cards down how'd. you build this. balance yeah it was just random so it. was then so it was yeah random crap well.
there you go so it was why did you just. already tell me it wasn't on the. card no why did you just try to tell me. that try to deflect maybe no why I don't. know maybe. no no I'm not trying to deflect Caleb. I'm trying. to get to a better position in my. situation what that's not an answer to. my question. what what you you can't just sit and. laugh just trying to answer a question.
so we're not going to get to the bottom. of this is it it isn't a why did you not. pay your. bills that's there it is I didn't when I. was like struggling and I couldn't make. it like some people told me well don't. pay it like they'll like eventually. they'll disappear and I know I know. disappear it'll go to collection I don't. go to to collections and I know I was. like well I don't want that like I don't. want it to go to collections because I I. want to move out I want to get my own.
place I credit yes I exactly and I had. good credit um and I want my son to have. his own place I like but I still. couldn't pay it I still couldn't make. the payments so what do I do I listen to. these people and stop paying for the. credit cards when when did you listen to. them uh probably like in the beginning. of the year uh how how successful are. they um not very I mean so that's who we. listen to well they have money but they. don't have cr cards Mone from what they.
tell me ah okay what's having money to. you I guess um they have like they don't. have to well because I don't know their. situation but they I know they've always. when I see them they always have money. with them they like they got the F on. them that I know of is they don't have. credit cards like no like I had a good. credit score back in. 2022 um and I kind of messed it up well. what is it today 2024 two years.
ago what's your credit score today oh it. went down to 5:30 oh 5:30 yes it was. like really we're going to the 400 soon. yeah um I was able to get my car back in. 2022 by myself with my credit no no no. like a new car which is another dumb. decision is that is that in today's. statements yeah should be uh always had. debt like this kind well no okay when I.
was younger I when I started building my. credit I messed it up back in when I was. 22 um pay it off build my credit how'. you pay it off I just paid the cards. okay but and then build my credit again. um I guess my car payment back then. would help me help me with my credit. score um so then I started getting more. credit cards once I paid it off they're. like oh here you qualify for this credit. card yeah so they gave me more credit.
cards and then I got them again and then. yeah and you paid those off well those. are this this. situation uh I believe you cashed out a. 401k to pay off thatt back in yeah you. were going to not tell me that I forgot. you forgot yes how do you mean you. forgot what do you mean I forgot about. that 401k but I cashed it. out and I paid it when. uh.
2021 so you didn't pay off debt you took. away from your retirement account yes. your forced savings cuz you set up a. percentage you took that took the. penalties and the. taxes which by the way might have. completely negated the interest anyway. depending on what it. was and then you paid it off but you. didn't pay it off through behavioral. change you didn't pay it off through. budgeting and then putting extra towards.
it you budget by taking away from your. retirement account so you didn't learn. anything you didn't learn anything. nothing was beneficial there no I think. it was how much did you take out of your. 401k it was like. 8,000 buddy how much do you have left in. a 401k yes in your retirement today yes. uh 14,000 okay at least there's. something still dramatically behind for. your age mytic instead of answering it I. just took it.
out what what the eight yes but but 14. remains well that's from my new for my. new job the one that I'm in right now. but okay you have 14 in retirement yes. oh don't get mad well this I don't know. you're just I'm sorry I'm sorry I I I. get the cope thing I get the cope thing. and I know it doesn't look as good on. camera but because no one's just sitting. here like I try to take these. conversations very seriously I TR try to. take the debt very seriously and when. someone's sting sitting across the table.
and giggling for me that's very hard. it's very hard it's like you just I I. know you care. about I know you care about your. situation I do or else we wouldn't have. you on the show we vet for that but. still it's just it's it's it's hard when. it feels like because of the. outward that they don't care as much as. I would like them to that is hard for me. but I know I know you do and I just need. to there's more overdue.
stuff yeah what even is this what am I. looking at is. this what is this it's dumb it's an um. an affirm P affirm you're not even pain. you're affirm well not even the worst. people on the show have not paid their. affirms uh wow I didn't think I was the. bad one one of the bad ones you didn't. think you're one of the bad ones buddy. we're looking at two thing you got of. score of zero on the site and we've only.
looked at two debts so far and they're. all not paid you didn't think you were. one of the bad ones no I didn't how in. what world I don't know no try to answer. I don't um yeah I didn't think it was. that bad I why okay yeah I want to know. why you actually think this is not that. bad if I I want to get some of your. psychology here I didn't think that bad. because the I guess the payment the. amounts are o the amounts owed are not.
that bad isn't that even worse that. you're not paying something that is so. payable yeah that's worse I was like why. can't I just pay this it's $40 yes in. fact that is my question why are you not. just paying that because I can't like I. cannot I don't have interesting you. spent $250 on going out to eat maybe. that's in the last month yeah maybe. that's maybe that's why well that's why. so I don't want to hear I can't you're. choosing not to I know okay when did you.
move in with your parents or have you. always lived there no uh last year what. happened I moved out I was I was in no. what happened why did you move back the. DI I couldn't pay it do they know yes do. you what's your education I graduated. high school and some college but I. college yeah. okay oh we're going to send you to cor's. website I want you to take uh their.
assessment there and see what kind of. certification is best for you to boost. your resume to get a better job and then. we'll pay for it so we can cuz I want I. really need you to make more than. $30,000 a year really need to that's. going to be a part of this it's going to. be an income and behavioral problem okay. so on the affirm. we oh. 16811 they were actually going to send. that to collections they send me a text. message yeah they're going to send. everything to collections dude and then.
you're really like good luck good luck. getting a place who's going to rent. something to you nobody I wouldn't I. know would you would you trust yourself. someone who's not paying things no yeah. wait do you at least have savings okay. yes and okay so you have $6 of savings. no $6. $6 you started with. 1,300 and you're checking oh sorry this. is this is checking oh well we'll get.
there my okay all right Security First. Credit 74% left to pay on the. loan this must be a car the screams car. yes what is your car it's a 2022 Toyota. C why do you need a 2022 car I don't. guys I want to learn more about what. your finances look like in this. community here so we have a survey in. the PIN comment and description below. it's only going to be open for a week.
and four people will win $250 so sign up. now okay so balance on this is basically. what you make the purchase price was. more than you make and that's actually. after your raise what were you making. before the raise. $15 15 okay what's your hourly now then. $649. okay you're going to be upset um I. actually had a Corolla before this one I. owed $4,000 on it oh that's all I had. left and they called me from Toyota and.
they're like hey so we wanted to see if. you want if you were interested to come. and get a new car I like well I can just. go and see and see what they say I don't. think I would trade it in our culture is. so car they come they actually convinced. me to get a a truck no no no it's a car. a oh this is a camera yeah okay well. it's worth about 21,000 so you're under. by about four yeah I know I saw saw that. when I was bring out my reports oh it.
says it on there okay so you owe. $2,769 minim monthly payment of $487. which is aggressive for your yes. aggressive what is the interest on this. 4.5 4.5 yes I'm surprised I'm genuinely. surprised so this is when you had a good. one yes it's an 84 Monon term though 84. you pack you pushed it to the extreme I. can I just I am thrilled for the day I.
know it's coming someday on the show. someone's going to walk in with a 90. something loan they're going to invent. those I can't believe you have an 84. when I started the show I don't even. think 84 existed this is crazy the. dealer guy he was like oh they gave me. the payment for 500 I was like oh no. that's too hot no the other guy what. what what are you talking about the guy. that sold me the car the dealership guy. oh what so when he was selling me the. car he was like oh they gave you a. uh payment for 550 I like I can't make.
that I like never mind oh no that mean. you can afford the car if you put 20%. down on a car and it's a threeyear loan. and you can't afford the minimum monthly. payment or it's more aggressive than 8%. of your income you can't afford it. stretching out the term does not mean. you can afford it in fact it makes it. worse because all of a sudden your car. gets so much more used but we're 5 years. into this thing and we still have aing. loan up on it yes it continues to. appreciate the intro stretch.
longer yes I learned that. no at least you've made all your. payments on this yeah it's my car I need. it well why is this different to you. than the other debt it's physical to get. to work cuz it's physical maybe yeah. well it's yeah it's tangible you need it. to get to work I I do understand that I. don't want you to think that this is. just because it is what gets you to work.
though that other debt is just. insignificant this a dangerous mental. precedent to set in your. life oh so this one is. collections is that Macy's uh. 2355 so that sound Macy's yes Macy's es. mhm okay okay so I saw a video if you're. on collections oh you saw a video Let's. see to pay it uh-huh and then they said. what is that is that true not to pay it. because that collect the people that.
bought the Deb just paid cents for. it that's the reason not to pay that's. what they said on the video but then I'm. like on the radio on the video that I. watch okay I want to hear the because. because what the only reason they're. saying not to pay it is because they. spent cents and then there's no and do. this instead or is that it it just stops. there they just said don't pay it. because they bought it for pennies on. the dollar that's it well and disappear. in 7 to 10 years I like well I don't.
want that I need it to yes that part. sucks um because you're probably going. to want to live in a place in s 10 years. you know seven years uh but not only. that technically I mean this balance is. small enough that not going to do. anything legally you could go to like uh. legally there could be a they could go. after you legally okay now yeah I been. there but it's well what happened uh. wild back I Target a Target credit card. and. I didn't pay it and then my balance went.
up to like $900,000 $900 $900 again. those are balances that they're probably. not they're not going to spend money on. they gave I got a legal paper from the. court yeah but did anything happen I had. to pay it oh. okay cuz I got scared cuz you got scared. but nothing it never got to the point. okay no I got you uh it's usually going. to be on something bigger if it's worth. them fighting more than anything I there. is something to be said okay maybe don't. pay cuz it's p on the dollar but it. doesn't stop there it's because they.
bought it for 10 Pennies on the dollar. they're willing to negotiate it and. that's where like okay this 20. 355 might be able to settle for like. 2,000 or. 1,500 oh okay it's a painful process we. can talk about that in a bit but that's. why I'm confused how it just ended there. sure if you want to wait for seven years. this likely won't get legally challenge. you probably won't have to show up. anywhere but well no I don't want to I. don't want that it's always always. possible though M and again it you from.
options from debt options yes people are. okay which they having collections on. them they usually people that have. collections don't really have any. savings and usually people who don't. have any savings need to take out debt. for a vehicle or some kind of loan for. an emergency and if you have collections. you have a bad credit score and if. you're that person taking out those. debts for whatever reason you're going. to be taken out a predatory debt. so you're not a debt person no you're. not a credit card person you need to use. a charge card like a fizzz card that's.
what a lot of our guests use and our. audience members. use where you put the money on and you. can only spend what you put on there it. still benefits your credit cuz I I can. I'm taking away that you care about that. yeah I do I need a house eventually this. is so silly this one it's. $99 one working on it um I set up a. payment plan and they're taking out 47. on the 17 and like in three months in.
three months it'll get paid off what do. you mean wait no no wait but what huh. wait huh it says the minimum is 99 but. you're paying less yes cuz I well but. you're getting hit with $40 fees yeah. that's what I'm trying to pay meaning. that for every $90 you put towards it. you're only putting 50 towards it and. then it's even less than that because. you have interest accur on that you're. putting more like. 4 S yeah just about yeah yeah so. supposedly I set up a payment plan and.
then said that in three months you set. up to them yes like on the target up. it's not reflected on here yet so there. won't be late payments anymore no cuz. cuz that's a late payment fee is that 40. bucks yeah no cuz they take it out um. the day of the payment it's supposed to. be do so they take out those $47 and in. three months it's going to get paid off. okay so they're not going to hit you. with fees anymore because of that okay. okay so 47 bucks $99 and and 12 wait. but no there's still something though.
cuz that's not just interest of. crewing because it wouldn't take three. months to pay off $99 with $47 I paid. one last month oh so 47 for two more. months okay yeah it's a. not even there's fees on everything I.
know dude literally the minimum monthly. payments that they were before they. started adding fees on all these you. could you could pay with what you spend. on food going out to eat not groceries. going out to eat cuz groceries you still. spent only 47 bucks actually on. groceries uhhuh that's what we got well. there's an unknown category where. there's 151 sometimes that could be. groceries it's hard to tell places like. Target Walmart Amazon are hard to know. what you purchased but if it's HB we.
pretty much know it's groceries okay. so available credit $ Z oh great credit. line 600 but you. owe oh no this is closed that's why. you're not over the credit limit but. this is closed they closed it well yeah. they don't want you to spend you don't. know how to spend you don't know how to. manage that how are you surprised in. what world are you surprised that they. closed it I was going to pay it off. after that well still pay it off it. hasn't been sent collections okay yeah. but it's closed sounds like it's in.
their internal collections for now okay. it's a 32.242262. [Applause]. [Music]. pay that being said with where your debt.
was and where the minim monthly payments. were we know you could have 100% paid. your minim monthly payments in your. living situation you totally could have. and now the situation we're in with. these balances uh that are closed with. above the credit limits with things that. are in collections and with the higher. minimum the payments which for example. is 132 on this because you're not paying. it you're recruiting food free fees are. all because of you and your actions and. your spending and your lack of. discipline and your inability to budget. or have any sense of maturity in your. life or care for your future or child's.
future financially yes specifically. financially yes can't speak for the rest. of your life yeah that was like I could. have paid it you said you're right I I. hold like $110 the purchase that I did. and it went up to that someone that. knows. everything well I finances I know I. listen to the people like don't pay them. the people are we still we're talking. about the. those people.
suck when did you learn that those. people were. wrong um soon after I sto pay well no no. no when did you learn that those people. were wrong and that was incorrect and. you needed to reverse when they told me. that I knew I I like no I can't I need. to pay those Debs but then but then you. listened and did it well because I. couldn't pay them but you no you could. have paid the original minimum Mony. payments yes you could. have yeah yes could have yes you could. have okay I know I know I should just.
then what the are you saying so why' you. do it then because my account was like. at $7 at the end and I know okay just. cuz you wanted to keep spending on your. bull Okay cool so when did you learn. that that is. wrong that spending on my bull Dr yes. instead of making your payments like an. adult who was in their 30s now this. conversation not this conversation when. a month ago then why the haven't you you. changed anything other than the past. couple days other than the past couple.
days okay a month ago is not only a. couple days or barely any days into this. month so. why last month by the way is what I'm. taking a look at M so I would see it. would be. reflected that is not an answer this is. a podcast you give an answer. okay I'm sorry no no no no what just why. why did you recognize I want to get your. psychology if we can't figure out where. you are where your brain has been where.
your lack of discipline is originating. from and what your mindset on this stuff. is we will get nowhere I need to know. why you fully recognized what you needed. to do what was wrong and what was. required to get out of this a month ago. and you've. done nothing until the couple days. before you knew you were coming on this. table why listen guys if you haven't. been making payments on your credit. cards I've just just partnered with a. new app called relief I always give you.
guys for falling behind on your cards. but if you're already there then the. amount they say you owe isn't exactly. what you have to pay in fact as you fall. behind on your debt most credit card. companies are willing to accept less. money to pay it off like a lot less so. before you start paying off anything. past du download relief to get the best. deal your creditors are willing to make. I've partnered with them because they've. saved people a ton on their debt like. more than 50% don't be an idiot and pay.
more than you have to relief only cost. you a few bucks to save hundreds or. thousands instead of wasting time. negotiating on your own focus on the. that matters the most like staying. current on the rest of your bills and to. help you get started I got the boys over. there at relief to give you all 15% off. your first order when you enter my promo. code Caleb during the month of September. so don't this up do it now because I. need to FES my situation I need.
to what no why did you do nothing well. because Caleb I don't have the money on. my account like I get pay it every two. weeks I know I know I have your spending. for the last month I I have your. spending for the last month I saw where. your money went so no you said you. learned a month ago but I saw your. spending during that month so why did it. not change why did you do nothing even. even though why not because they didn't.
have any money we saw where your money. went we saw where your money was spent. even though you knew your money. shouldn't be spent there because I spent. my money on. those. you you don't know. the how do you not understand this. question okay okay okay let me I want a. phrase I want a phrase I want to I don't. want to get angry at you for not. understanding my. question I want to just I want to uh how. do I ask it um. why haven't I done anything to change.
it because it's. been a month like I hav't I get paid. till like Friday and I don't have money. left. in it's not about being paid it's not. about being paid it's about. your spending during that exact time. when you already knew what was wrong so. if you already knew it why was your. spending. reflected in a way like not a single.
thing was changed not a single thing was. changed. beneficial. once I'm not talking about when your pay. gets hit I talking about your literal. actions did not change even though you. said you knew what you needed to do a. month ago which are the statements we. are looking at and we haven't even. gotten to your spending statement. yet so why did I don't know I don't.
know I'm. sorry I'm sorry I don't know like I. that's the easiest life ever I wish I. wish I could just go around everyone ask. me questions I can just say I don't know. no no no like for real like I don't. understand why and I told my friend I. was like I don't know where my money is. going like I really don't understand. okay like I know it's going to spending. on stupid so like a budget like a bud. budget yes lack of budget lack of.
understanding where your money is going. so lack of any discipline of looking at. our numbers looking at our accounts. looking at our spending so it's just. like a discipline I yeah cuz I honestly. okay so let me let me say if you are you. saying if you knew your numbers if you. knew your spending it would have changed. I would believe yes it would have. changed I would that changes the. conversation between you and your son. when he begs and throws a tantrum that. changes the conversation between you and. yourself in your stomach when you say I. want fast food I haven't even e now on. myself like I Would by you're you're.
telling me that all changes though when. you look at your numbers yes. okay and you're going to say I don't. know but why didn't you look at your. numbers because I did but I don't. understand like I I told you I write. down my numbers like you said maybe. earlier maybe I write them wrong maybe. they're wrong because I numbers aren't. translated language to language I know. that but. I don't like I honestly don't know I I.
get paid my bills get drawn like. automatically like please go through the. budgeting program I need you to go. through the budgeting program. oh if you just like don't even. understand the numbers being written. down you need to go through that cuz. it'll teach you how to write the numbers. down and how to track it cuz I mean we. built out a spreadsheet for you to. literally just plug it in okay oh. boy okay PayPal. credit everyone's favorite it's never.
went down. $1,563. 29 with a $37 minimum the payment you. made a payment yeah oh and there's no. interest or fees finally something that. isn't just the absolute thing in the. world drafted automatically oh than well. they all should they all should by the. way minimum payment the way you're doing. it takes four years to pay off so you're. going to be what is it. 388 yes and you're not over the credit. limit this is the first one where and I. can't believe I'm saying that.
$1,563 of a credit on a $30,000 a year. income is good but it almost looks good. compared to the rest you've done it's. still not good but they kind of closed. it okay so I had to PayPal credit I had. bought something and I never like I was. struggling to make the payments so so. that's just you sometimes did miss the. payments no no no I never missed them. but I I couldn't make the payment so I. told them I can't do it so they said. they could close that account and I. would have the balance left over no.
interest and then I could just pay it in. payments so I don't have PayPal credit. right now like that's just the balance. that I owed before so all the. compliments I just gave you were. [ __ ] because if it was open you'd be. spending on it no probably not and they. would probably what the are you talking. about everything else was over the limit. the only one that's not is the one that. stopped you from spending before it was. over the limit so what do you mean. probably not lit literally. everything every statement that exists.
indicates that. probably I would have spended you have. no evidence to suggest that probably not. all evidence is contradicting. that net credit credit to the people. lucky. us oh well this is actually I mean it's. down from 4,000 to 657 yeah that I'm. paying it I'm almost done with it I. always. it's a loan a personal loan yes that I.
had gotten online which what was it for. when did you get it huh what was it for. when did you get it you're going to get. mad to pay off one day okay so again. you've never actually paid off that you. just transferred that so so and I got it. I don't know does say the date 2023. what's the minimum monthly okay so they. charge me every two weeks. $119 but I moved the payment from the. 15th to the 1st so I pay. $238 a month total.
interest. 64 64% something yeah no no no no not. 64% a personal loan was 64% yeah it's. the ones credit to the people yeah it's. horrible like. I I got some money so I I paid it down. cuz I like this is never going to end oh. oh oh yeah that's borderline payday yeah. it's honestly it's in that a 64% I. honestly I can't even be like shocked. over right now I like it didn't even.
shock me but like I'm a little shocked. that this person alone has it but I'm. not shocked that you have it um just. based on your. existence. um Wow net credit credit to the people. you. yeah that's a disgusting product. horrible but it's a product you applied. for and took them you sought it out you. signed up for it online. yeah so it's a product but you bought.
the product yes and I regretted it but I. at that time wait a second hold on hold. hold the hold the for a second hold a. singular uh your credit card at that. time especially with where interest. rates were was likely like at Max 25%. interest okay Max 25% interest we took. out a 64% interest to pay it that was a. dumb decision that doesn't make sense. plus the minimum payment stank even. higher than it was likely on the credit. card so this didn't help you at all no.
it didn't it did not I'm but I will give. you credit to the people where credit to. the people who due. you have made significant progress on. this and I think it's because you. realize just how bad it was with that. interest rate so that is good it shows. that there is something inside of you. that can push it unless was it debt or. 401K that paid towards the significantly. to get it down quier no no no no no okay. it was actually money that you.
made that I saved so there's a group of. friends we pay every paycheck we give. like there's numbers and then I don't. know if that's legal or not huh I don't. know if that's legal or illegal what. numbers no what we're doing so well tell. me and I can tell you okay so it's like. let's say 30 people we each have one. number one through 30 and then every. paycheck we pay $50. right and then whoever has number one. they get the money first and then that.
doesn't make sense though it's like um I. don't know how it's like a savings Club. I guess no it's not because doesn't the. math work out. where like I guess it's forced Savings. in a way yes kind of but you could get. the same amount of money just by setting. $50 aside yeah for yourself I I don't. get it you're also relying on other. people to f up like other people could. up it it doesn't really make sense so. there's 50 people oh how many people or. 30 I don't know okay so 30 people you.
set $50 aside and once every 30 weeks or. 30 months no cuz it's every it's every. two weeks we get oh each once every 60. weeks you get the collection of what you. put in which by the way again if someone. up it just all of a sudden we have less. money to pay out and it's like uhoh. someone's not paying someone left. someone moved someone died it's like. well sh the money I put you know it gets. a little.
um in a way uh the word but I'm only. doing that till May and then I'm going. to get out of it cuz I'm how do you get. out of it well like at yeah whenever the. whole thing the last person gets the. money they ask who wants to redo it. again oh so something you have to commit. to yeah gosh it's like a ah if someone f. up and doesn't get you I've done it for. a year and we didn't have issues well I. one year isn't yeah either way it also. just doesn't make sense to put the $50.
aside cuz you could also put the $50. aside in a high yield savings account. and earn interest on the money where. interest isn't acre in this yeah. it's I opened the at least you get what. you put in it yeah cuz oh how am I not. forgetting the thing where you put money. in and the only money that gets paid out. at the end is money that new people are. putting in how am I Ponzi scheme kind of. except I mean kind of I mean if everyone. pulls out at the end if no one puts more.
money in and you're at the end of the 30. people you would get it is kind of a. Ponzi scheme and I'm the last number. kind of I'm sure what you guys are doing. uh if it's just friends I mean it's not. necessarily illegal as far as I would. think but I mean if it's set up as an. official investing type thing that's. where you know gets questionable and it. be kind of like a Pon game. so okay uh $558 is closed Texas energy. just didn't pay your energy bill it's. great uh yeah who needs energy well that.
was when in my apartment when I moved. out was it in collections nope is not in. collections I thought it was oh yep yeah. great it's last year wonderful why. didn't you pay your energy. Bell my AC broke down cuz I wanted to. have fast. food it was too much it was like $300. keeps as warm like some freshly fried MC. nugs he Security First credit oh do I. already have this is something different.
yes huh yes I do we've already talked. about this no what is this what it's. okay so I have my car payment with. security first and then I have to what. payment my car payment okay and then I. have two secure loans with them oh yeah. what that was another dumb okay so you. know how we like people get the child. tax credit yearly okay. so I have my income tax my point my goal. was okay I'm going to save this in oh.
you try to finesse everything I can. already tell go. ahead okay so I got in two years in a. row I got the money for the for the CH. for the iris for the income tax I put it. in a secure loan they gave me the same. amount and then cuz I was like I'm going. to save that money so whenever I pay it. off I can just get a house and then yeah. kind kind of like but then this Bank. how'd that work not good cuz this I had.
$111,000 in it now I have $6,000 you. could have just put theing money in. savings or paid off debt I usually do. that or retirement usually do that yeah. like well once I did that I was like so. yeah so now I'm paying interest on my. own money didn't the larger child tax. credit expire anyway well no I I still. get it I get like larg one, 5,000 okay a. year so yeah so I put those two loans.
those two years in a secure loans so. what did you use the money for okay so I. had it with my bank and then um they had. in a CD so I couldn't touch the money. right I was just paying the loan and. then when they switch the bank they. switch companies they sold yeah so the. loan of the bank the bank it switched to. PNC sure and then um PNC was like well. we don't do secur loans so they were. trying to take got the money from the. CDs to pay off those loans and I like.
well no there's a reason why I have the. money in the CDs and but they don't. offer the product so yeah so my friend. led me money to pay those loans almost. paid her I almost paid her so she L me. the money yeah almost I'm almost done. paying her so we have this debt plus. debt to her 1,500 to her and then I. moved it to Security First they gave me. the secure loans again and so I'm paying. interest on my money but Security First.
does savings instead of Cs so every time. I make a payment they release the money. the amount of the payment gosh if. just I almost wish I had no morals cuz I. can just loan you so much money and. you'd give me so much in interest it. would be incredible you'll accept stupid. money from anywhere oh I learn my lesson. now I'm like did you cuz your financial. situation does not show that do you pay. a monthly payment to your friend for. the, 1500 that you still owe no she let.
you know like the savings Club whenever. I get it which is in November I'm going. to get some I'm going to pay her I'm. going to pay her off with that you could. just do it with the $50 every she didn't. want the monthly payments she didn't. want monthly. payments she like I rather you didn't. you didn't answer what you spent the. money on what money oh no what the those. site whenever yeah it was just dumb I. don't know what I spend it on.
honestly here's the other one. yeah do you know. interest uh it's like three something. I'm not sure on that one I'm not sure on. those it's not that high maybe it's 4. point something there money could have. just been in a money could have just. been in a savings account making the. same. okay. $3,110 on this other one with $113 a.
month just I see how you yourself now I. mean now you've just well you yourself. through your own choices and actions and. just dumb choices and now you're. actually in the position where you can't. pay things but you weren't before in why. you said you didn't pay your bills which. are now allowing fees like that was not. the case but now it actually is this is. ridiculous I honestly did not think this. would be as crazy as it is before going.
into this I didn't think it was that bad. honestly do you know now now I. [Music]. know then the conversation. worked now the chicken account and this. is where you spend your. money what is that my son's karate. school oh I don't think he's doing that. anymore are you serious that's the only. thing I can provide for him you provide. a lot of. things you can go to Parks you can kick.
him and he can kick you. back if. you what what is he is this is this dude. kicking ass is this dude what does he. look like is he like skinny or is this a. fat no he's skinny okay he's about to be. a green build okay so he's already. burning off the calories like all the. McDonald's calories that you give them. just I don't know have him join cross. country school or something I think. there has to be there has to be. something somewhere there has to be free.
activities in the city there has to be. you just can't afford this there's no. way you can afford $186 66 yeah it's. hard like I yeah it's hard you're. choosing not to pay your payments that. are that. much I just it doesn't I don't like. taking away from kids that's the. something like this where is could. actually be beneficial you know being. around a community uh potentially. learning discipline skills uh this isn't. the thing I would want to take away the. McDonald's from him so he doesn't throw. a fit that's what I would want to take.
away posx $258 cents Starbucks we're. getting Starbucks you're saying I can't. pay bills but we're getting Starbucks go. inside of 7-Eleven get him a drink. probably for him go inside a 7-Eleven. probably got him some prime. McDonald's something. snack payment to a firm Tik Tock shop. Tick Tock shop the are you Tik Tock. shopping a present for my boyfriend your. boyfriend make that the present.
McDonald's McDonald's stoping again in. some BS Jack in the Box some stoping. inside get in some BS ATM withraw 40. bucks who knows where that went. Chick-fil-A ATM withraw $580 who knows. where that went huh that's my car. payment 580 draw okay cuz I take it out. and then I just go to win TI got some BS. squinkle snack we're back transfer to. sell $150 where' that go would you sell. $150 where that go the savings Club the. savings Club you're done with the.
savings Club next time then I'm yeah I'm. once I'm done with it don't other people. to something you committed even though. you shouldn't be a part of it but other. people could you Edie's Taco Subway. Dutch. Bros go inside get into BS McDonald's. McDonald's gordillas gorillas G. goras dual lingo what are you trying to. learn uh Italian but I okay no no no no. I canceled it I used a free I. accidentally you have a handsome uh.
pasta making Italian boyfriend no all. right yeah we don't need that anymore. when ins I got some BS from the gas. station some fee for something 47 cents. when inside got some BS probably from MV. Netflix. Chick-fil-A the snack what is this. xquinkles snack my son likes those um. raspas I okay your son's going to have. to like eating. peanuts and that's it or something I.
don't know just like little. scraps crawling out by the dump corn in. a cup that's why we go get just get cup. go buy. corn yeah but drive off to. Kansas just [ __ ] grab a pile take it. down when ins I got some BS Clara more. Tik Tok more Tik Tok H is it because. they do the CL not like every two weeks. no I'm that's a separate thing oh but.
Tik Tok another Tik Tok thing $66 Tik. Tok oh yeah it was the hly her curling. iron for my hair wait you're going to. Italy no oh my producer eventually. eventually I would love you to as well. let's get there but you're not doing it. today Sonic ATM draw $200 what that go. Sonic the thing I said last which was at. how much of. $200 uh probably another payment like. the bank payment oh this must be for the.
Kid Academy Sports outdoor $15 he didn't. have anything that he got that time. school shoes he didn't have shoes uh my. boyfriend bought them for him like he. sent me the money and then I pay them. with my car Subway super super. Chick-fil-A when is I got some BS when. is I got some BS when is I got some BS. when it's like uh McDonald's transfer to. sell $150 that's the savings Club. this the 150 every two weeks oh it's 150. every two weeks I heard 50 every no cuz.
I got three numbers 150 you can't afford. $300 I wouldn't have you be saving $300. right now when you have literally 60%. debt yeah 60% interest debt in this. money isn't gaining anything absolutely. not it's cool there's there is something. to be said that it's cool that a. community is coming together and saying. we can't save so we need to have some. almost like forced obligation to save. there is something to that could be said.
about the idea one you can obviously get. fed over people leave and you're in the. last in the line to get paid out two the. money is not acre any interest and you. can get interest even in the worst. savings account you can at least get. pennies so this is and it's also just. like can you trust a person who's. getting the money anyway it's like. there's so much wrong here there the. idea itself I'm not. like just I just wouldn't do it because. of the risks mcdal. McDonald's that's. it ho B this is going to be.
interesting this is going to be. interesting to figure. out ah preschool. 176 what preschool 176. preschool. or the the daycare oh yeah that's 176. yes yes yes can n your hold stay at home. I don't know can they do we. know I don't I hearing no uh cuz I I I. don't remember what age they start.
getting where they won't die um what age. is that when can they start staying at. home I think I started to in like fifth. grade fifth grade 15 you're waiting till. High School no probably. not 13 as long as they know your phone. number. 911 can even have cameras set up like. Nest cams it'll pay for itself with this. um. Google says 10 or 11 okay so and I only. pay 176 because I I'm in this program.
like the government program yeah where. they help me pay half of the daycare. daycare so that's after school yes so. they don't have free after school. programs in the community for people. that are lower income uh they do but on. the summer since we all work I needed. him to be in okay but that's done though. well yeah but Summer's done so is that. done then no no no I still pay for this. because so what about the pre after. school programs in the city that you're. saying.
exists oh no that's in the school but. they like there's a limit where they can. stay a limit of people that can stay. like I guess the capacity so they. already have enough students after in. the after school program did you apply. no cuz they told me it was full and on. like the weight list no because on. vacation I still need him to. Vacation what world are you taking a. vacation like on his Thanksgiving. vacations Christmas like he still needs. to go to daycare cuz he can't stay by.
himself that's why I know I know he's. too young for that we've established. that yeah um that's why I still cuz I. thought about the after school program. but I like wait no cuz I still need take. care for when he's out of school can we. just sell him he's too. expensive as a full-time Creator I can. tell you creating engaging videos takes. a lot of time and effort from scripting. to editing the whole proc process can be. a headache but that's where nid AI comes. in with nid AI you're in the director's.
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video AI plans start at just $20 a month. and you'll get access to millions of. royalty-free stock footage Clips voice. cloning and more scan the QR code on. screen or check out the link in the. description below and use my code Caleb. Hammer 50 to get two times the number of. video generation credits in your first. month. h i can man or at least let him get. picked up by an ice cream. truck no and then um so I pay 176 right.
now cuz they help me with that program. but I have see if we can fited in the. budget let me get the rest of your. budget it might be higher that'll huh. that might be higher cuz I have to how. much well I don't know cuz I have to. reapply for the program so to see if. they can help me but they go based on my. income all right let me. budget your uh I kind of asked this at. the beginning but doar any either of. your parents have any retirement desires. abilities I don't think so.
um my mom listen your minimum monthly. debt payments and this is without the. $47 payment that you have to make for. two more months so this is without it. 1,318 which is already over half your. take-home um what happened to your. parents get. home uh my dad at five like he's the one. that picks him up from daycare um cool. so your dad's chill with sitting with. him yeah and then my mom gets what time. do you get home six no you don't well I. get out at five but the no you don't. what do you mean no you get home at 10:
now because you really don't have any. choice but to work a second job I. applied and I okay cool apply to more. okay um. congratulations uh but if I mean. if if 65 to 70% of our income is going. to debt and we already have things in. collections and you don't want things to. go to collections cuz you want to have. your own. place there's only so much we can cut. back it with that much a wiggle room. it's like you need to bring in more. income that's the only.
option or bankruptcy which again that'll. you yeah I don't want that plus it's. expensive anyway uh you don't have to. pay anything for rent or utilities I. know okay no internet no okay what about. phone. bill I paid one well 200 10 because my. parents are in it but they gave me $60. for okay so I P 210 my bill's 210 cuz. they're lying oh I got the numbers but. what the make the numbers make sense.
yeah it's like no make the numbers make. sense was uh the. request okay so $150 what are you paying. $150 for I have no idea it's T-Mobile I. don't know like does your kid have a. line yes a. tablet he has a tablet with. internet with service yes do you own the. tablet yes okay there's no loan on it no. what about your phone I don't think so.
switch to helium now okay it's not an. option does it get good service uh does. T-Mobile cover your area quite well it's. the T-Mobile tower so yes that's 40. bucks covering you and him okay okay. will you do that yes okay sick I can. make that 40 and then your parents got. to figure themselves out gas vroom vroom. drive drive how much on a monthly basis. and I'm going to tack on 50 cuz you're. committing to a second job as well oh. monthly. basis uh probably.
like 80 I'm talking on 50 really 80 are. you sure I just go to karate I had. 113 oh yeah probably my car was is I'm. going to say 150 after you get the new. job car insurance 120 oh boy yeah there. is no wiggle room here okay my dad pays. for and then I pay my dad the 120 huh my. dad pays the insurance and then I pay.
him okay the 120. okay how do groceries work at the house. uh well when I buy some I well I don't. just explain to me how the groceries. work at the house for sake my mom buys. most of the groceries so it's a. collective yeah I mean does she ask for. any money no for them no it it would it. be okay. if you did not provide anything for. groceries yes okay at all M I don't I.
don't provide groceries right now gives. that might be the saving thing 0 for. food the fact that I can put it in your. budget might make this survivable $0 for. food $100 is the TP fund this is makeup. but more priority anything for him for. school $100 you can put whatever if if. karate fits in there okay it doesn't. Medical Healthcare. copays um I actually owe $91 on my.
doctor right now okay but you have. ongoing copay no put that in the DT $91. the. doctor which again fast food is more. important so great you have any pets I. have my dog but my dad buys him food do. you have pet insurance no and you can't. afford pet insurance he's a Savage he. doesn't get. sick yeah he's a living [ __ ] creature. that you're responsible for so that's. not. funny but I don't I don't know how to. put that in your budget do you is there.
anything else I have to put in your. budget I'm not putting any of those. wants what do you have like phone. insurance yeah your new phone your gas. your car insurance your T fund which is. anything else to survive and your debt. payments anything else. that's can we survive barely and it's. cuz we don't have groceries it's still. unacceptable you need 1,700 128 to. survive on a monthly basis I want you to. be able to provide the karate thing for.
him my boyfriend say he would help me. how much what do you mean help what's. help uh if I need the payment he'll help. me out what what is help well I don't. know like just help me he covers it he. splits it 75 give me 100 and then I'll. pay 86 but you can't afford that yeah. you cannot afford. that yeah like yeah let's say like um. I guess not yeah don't don't come that. in here's how I will allow you to afford.
that extra. $80 okay you are going to at minimum. bring in an extra $500 a. month okay. okay by working an extra at $15 an. hourish an extra 10 hours a week. somewhere okay you bring that in now. $500 a month I will allow you to pay. that 80 whatever for his karate other.
than that it's canceled and we have a. mature conversation with him as to why. if you do that which is no choice so I'm. putting it in your. budget you have $700 left over now only. if you go bring in that extra 500 and. then you can pay for his thing $700 is. left over $700 we can start making. progress for you it is smallest largeest. not including collections including. collection sits on the as side we start. freeing up some of these minimum monthly. payments by killing the debts Target.
wiped out month one and then we throw. everything else at well a firm is also. wiped out boom okay and then we throw. everything to the alter card that we can. then the alter card is taken care of in. month number two we'll call a. conservative and say that's the end of. month number two and then from there. Capital One everything's thrown there. and then that's wrapped up at the beish. of month number four the remainder of. month number four everything gets thrown. to the personal loan and then by the end.
of month number five personal loans is. paid off we're in month number. six I do I do get a bonus on December. how much last year I got like $800 cool. yeah just add that to this month number. six so that will have already happened. so we can wipe off $ 800 from the PayPal. credit which means from there you can. actually finish the PayPal credit uh now. we're in month number seven seven or. eight one of those lost track but. doesn't make too much of a difference.
Macy's now with the extra money we have. we have about $800 we can throw towards. it on a month no sorry $700 we can throw. towards it on a monthly basis we should. pay off the Macy oh sorry that's in. collections so we're. attacking the. $3,100 uh secured. loan we're paying that off in about 5. months we're paying P off the other one. in about 4 months after that cuz the. money we just get to roll into it so.
where are we we're at a year and a half. just. about from there comes the big old. car uh what I would do you're only bu on. $4,000 once you're able to qualify for. personal loan or some kind of loan I. would borrow. $144,000 okay what do you do with this. great question Caleb. you use the difference between what you. sell your car for and remainer on the.
loan about $4,000 and you pay it off. then you use $10,000 and you go get. yourself a used $10,000 car that's like. a 2017 car okay you get it take them to. a mechanic they approve that it'll be. safe and that it will last you for a few. years to come without you putting. substantial money into it you have to do. that that this is all you at this point. but then we only have 15 to pay off. which at that point we have about 800. left over and hopefully we're getting. pay raises let's called 850 left over at.
that time a year and a half from now. okay 15,000 uh 14,000 hours we're just. kind of simulating this uh so that's. going to take about a year and a quarter. so now we're two years and 3/4 in it's a. big catchup I know mhm you're still. living at home yeah or you're fully. making your rent while all this extra. money still exists by working a lot more. getting a better job again we're setting. you up with that education stuff feel. free to take advantage of that if you.
want and the and the other collections I. think you can negotiate it all down to. about 2,300 which I think you should be. able to pay off in about 3 months so. we'll call this what did I say where. where were we two years two years okay. three years it's done in three years. then you can get a fully Fred emergency. fund with whatever your new rent is. going to be or 10,000 hours whichever. one is bigger is the one you go with. and that might take about another 10. months okay or so but 3 years 10 months.
let's call it and you are literally at. Baseline zero but that is a good thing. because right now you're at Baseline. negative you know get so it's so this. works this is a long process a lot of it. because of your income. again go bring home an more than $500 in. N you bring this down from almost four. years you can cut it down to like three. years total you know the more money you. bring the of your discipline the less. likely you're to move out the more. you're able to say no without a fit.
being thrown to the kiddo the quicker. this all goes this is going to be a long. process and you need to find ways to get. yourself motivated if that means. extending this by an additional 3 months. by allowing yourself reward systems for. hitting goals I okay with that I'd. rather this go just a little bit longer. not significantly longer and still have. a higher chance of completing it than. going so aggressive for so long listen. if it was a year and a half I would say. don't be a just go aggressive go. hard four years that is hard to go super.
aggressive on so if it takes four years. and a quarter go through it and set. yourself little bonuses along the way. okay okay whether that's just a little. day trip somewhere going out to eat. taking the fam you know whatever it be. okay so that's what I would do and we'll. have you on the followup Channel as many. times as you want all along the process. to keep ourselves accountable and. situated but there's a lot of things we. can do um let's get your Hammer. Financial score then we'll go to the. Post show make sure to join the.
membership below come join us for the. Post show and extra 20 minutes for every. episode we dive into extra drama that we. didn't have a chance to go into and. something and stuff that I'm not even. aware of your Hammer Financial score. here we go spending in a budget you over. spent 0 out of 10 you have collection so. debt 0 out of 10 emergency fund there. nothing Z out of 10 retirement there is. something you're just behind very behind. about a two out of 10 and I round up the. computer probably rounds down but real. estate 0 out of 10 so I'm actually going. to round up as the generous person that. I am Hammer Financial score .5 out of 10.
make sure to join us for the Post show. and check out the investing and. budgeting program which are bundled. together at a 15% discount you can. change your life today make sure to. check that out today on the financial. audit post show why is your boyfriend in. Houston he was it I made him on Tik. Tok on Tik Tok yeah never even heard of. this can tell us bit what is this go. ahead do explain well one day I was on. Tik Tok and I started seeing all these.
notifications this random guy just looks. at my at my profile starts liking on my. post and I was like are you good with a. 6-hour longdistance relationship to. watch the financial audit post show. click the join button below.
