Poverty From TikTok Brain Rot | Financial Audit
my name is Jordan I'm from Colleen Texas. I'm 21 years old and this is financial. audit thanks for coming down to Austin. so what do you do for a living up there. inen um I am a fraud case representative. fraud case representative in like the. banking industry yeah banking industry. very good what are we making right now. um I net $2,200 bi-weekly by weekly okay. how do we feel living in cleen off that. 2200. um.
poor. why I don't think that's enough money. everything is just going up sure. everything always goes up forever. that's $52,800 a year net I wouldn't. necessarily call that poor are their. decisions surrounding your life and. finances that are making you poor and. the feeling poor versus the actual money. that's coming in and literally being. poor which you're wouldn't be with that. income.
a little bit of both but you know that's. your opinion huh that's your opinion but. it's a little B I don't know I'm asking. you I'm asking your opin feel like I'm. just not making enough money you're not. making enough money yeah you don't think. it's anything to do with your spending. or the debts you've gotten yourself in. or any of the life choices that you've. made it's only about the money that's. coming in. no I wouldn't say that I wouldn't say. that about 50/50 about 5050 5050 okay is. this the industry that you want to be. making a career in no what do you want. to be doing accting accounting okay so I.
mean you're already in the finance space. accounting I can see a natural. transition uh what's your degree in do. you have a degree uh no I just literally. put a pause to my school in maybe about. two weeks ago okay uh where were you uh. A&M okay how far were we into it were we. going for accounting yeah this was um my. last two years this is okay so you're. halfway through college yeah so what. what made it.
drop out especially if that's the career. path we want to go down uh finances. basically yeah so I was on the program. to where if you made under $445,000 a. year you didn't have to pay to go to. school okay but now since last year this. last year I made well over that so now I. have to pay okay and what's the tuition. I don't have no clue I know I can't get. um enough Aid because my parents um make. their High earn.
so anything You' qualify for any type of. loan or anything like that would. probably be interest rates higher than. you'd like to see yeah okay. I mean school is certainly an investment. whether or not you're getting it for. free though accounting you can make a. very good career in accounting it is it. is but I think I think well if I'm going. to go to school for that and pay I have. to work out this first because right now. it's not going to work out wouldn't it. make more sense to put our money towards.
school instead of fast food and holding. balances on credit cards if that's what. we care about like where's our. priorities because they're I think it's. more of a priority being skewed and then. you're already kind of taking a little. bit of a victim complex on oh I make a. pretty strong income for my age but it's. not enough my name that's your opinion I. I don't make enough money I don't think. the enough money for what to live well. that's objectively incorrect that's your. opinion I don't no no that is. objectively incorrect mathematically.
that is objectively incorrect how what. do you mean mathematic what what do you. mean how how who's living off for. $52,000 a year dude the what is the the. median in first of all the median. household income in the United States is. like 65 and you're uh uh net what were. you again 52 net yeah exactly indan. household in the US I'm not saying. you're living in luxury unless that's. what you're plating uh median real.
household income was 74,000 in 2022. and median median salary in the United. States. 5938405. just asked who's living off of that.
uh the median is living off of less than. that does that answer your question yeah. so you're wrong. kind of. what the I'm kind of wrong but how okay. well maybe it's just my situation I feel. like I'm not making enough money okay I. think it's your situation based on your. decisions that could be it is I've seen. your finances could be it's not about. the income that's coming in it's about. your lack of discipline your lack of. budgeting you're around you've made bad.
choices bad choices are okay I've made. bad choices but we correct them you're. not correcting them. yeah if you say so [snorts] okay okay. I'm going to agree with you 5050 so. object [laughter] I'm gonna agree with. you 50/50 what the. do I make bad decisions yes but I don't. think that it plays you know a lot on my. finances I don't think it's just.
you know me I'm not the problem me I'm. not the problem is that what you just. said is that were those the words that. just came out of your mouth I'm not the. problem I think it's my income I need. more income 20% of your spending 20%. goes to going out to eat 20% you need to. eat buddy another 20 yeah you need to. eat but 1.7% goes to groceries I need to. eat 20% goes out to eat.
I need to eat. are you single are you only feeding. yourself um I'm single but sometimes. I'll go with my sister and I okay but. you're only you only need to feed. yourself yeah okay well you already. spent. $535 more on food a month than I know. you could if you followed like our meal. plan that we've created that is healthy. sustainable the amount of calories you. need on a daily basis you serious yeah.
oh I didn't know dem okay well maybe I. do have a problem yeah maybe it is your. fault maybe maybe there's a little bit. of responsibility that can be here if. that's what we get out of this. conversation I'm going to be very happy. uh you know it sounds like personal. responsibility is basically nonexist in. your life and I would love for that to. come into your life yeah okay so you're. going to go through the budgeting. program we gift it to every guest so you. get that it's going to be great you're. going to go through that you get access. to our meal plan and you're going to. follow all the education so make sure. you do that.
okay so your finances. from your perspective and I'm already. nervous to hear what you're about to say. on this but 0 to 10 what is your score. and then I'll give you my score at the. end 0 to 10 Z being the worst 10 being. the best I'm going to say a three. okay so three and if you want your. Hammer Financial score get for free in. the description below three out of 10. why do you think it's a three out of 10. what's going on with your finances today. um. well I'm I'm pretty much paycheck to.
paycheck but I do have 401k so that's a. good sign so that's the only reason why. I get myself a three okay cuz retirement. has starting okay. uh $549 in savings and this UI UFCU. this checking account 69 cents. I I don't use that that's just a. transfer account uhhuh. now we seem to have some kind of loan is.
this a personal loan 1,353 what is this. loan for uh that's a line of credit a. line of credit that you have up to. $1,353 currently yeah has 17.9% interest. what are you using it for random stuff. it it's never been paid off since I took. it out so it's probably been up to 13. it's my income that's the problem it is. you you're borrowing for. oh my gosh.
$1,353. 111 is what is owed at that 17.9%. interest rate and it's only it's a $40. $49 minimum monly payment Ian it's going. to take forever to pay off and then. interest is going to be crewing forever. at 21 man at 21. that's just so young to have something. so bad but. yeah give me Grace just a little bit huh. give me Grace you what why would I give. you Grace I'm 21 this loan's not giving. you you're 21 you're 3 years into. adulthood if you're still a child then.
you shouldn't be allowed to drive you. should be able to live on your own. you're right yeah you're right uh-huh. I'll take Grace Grace there's no Grace. plus you and your grace you say you have. a 401k but you have a 401k loan I do. that was for a good reason. please in oober. um I left my apartment now I think it. happened October 29th my lease was up. the last day of October I left my.
apartment to go to my mom's house when I. got back my whole ceiling was on the. floor. and insurance and all that did not want. to cover it due to um the the city um. code came out say the roof was never put. on and right in the first place okay why. so they didn't want to cover anything. rent's Insurance correct yeah rentals. insurance and my apartment complex it. was like the weekend so when I got back. my lease was over so I had to move into.
another they us have maintenance or. someone 24 hours no there was no this. incident maintenance couldn't handle. like my whole ceiling was on the ground. yeah yeah yeah but you would have been. able to get a hold of someone that could. have gotten a hold of someone else um it. took them hours okay sure hours so I had. to buy new stuff for this new apartment. and I'm being forced to a new lease well. hold on what do you have to buy. furniture what did you have to buy tell. me couches no you didn't. I had to yeah yes I think you could have.
live a couch yeah couldn't put a air. mattress on the ground I lived on an air. mattress for my first 9 months in Austin. I'm way bigger than you what a air. mattress going to do uh get a double. thick air mattress [laughter]. that's not going to work. mattress on the ground okay all I'm. saying is you did not need to you use. the word need do I need a couch to. survive no now do I want you to live. without this stuff no I'm not saying. that but taking loan against your own. retirement that has just started.
for something that is not a necessity to. live. so I disagree with your premise there it. was more than that okay I thought I was. going to have to get another apartment. or something like that because I was at. the end of my lease and I although I had. renewed they was like well we're not. going to um whatever that is they're not. going to accept it because my apartment. is down so I move they moved me into a. two- bedroom okay so I had to a whole. new lease for that two-bedroom I was.
paying $650 for rent. and when I signed a Le they was like. well we can't give you this two-bedroom. although that happened but we can't give. you this two bedroom for 650 so you. going to have to sign a whole new lease. and your new rent will be $1,060. okay so I was debating well should I. just move to another apartment complex. or why is this barning in 41k. because I didn't have no money I didn't. have no savings okay to pay the little. increase in r what was the rent going.
from to 650 oh that is jump that is a. big jump okay that's a bit on their part. yeah okay then what did you end up doing. instead uh signing the loues with with a. different place no with them for the 10. for the 10 uh 1,000 yeah I want to take. a moment to thank today's sponsor cook. Unity if you've ever watched this show. before then you know that I love food. not only do I love food but I love all. different kinds of food cook Unity is.
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Class taste all right and then we have a. couple credit cards here's with that. credit union a Visa. currently owe $1,634. with a $25 minimum monthly payment you. made a minimum monthly payment and then. you went and purchased so and there's. fees and there's interest we're. purchasing yeah again it's our income. that's the problem right you're. purchasing on a credit card that's acre. interest it better have been for. Necessities then if the income wasn't.
strong enough oh wait it's for a smoke. shop and vape so I'm going into a gas. station getting some McDonald's. and what's this insurance debt. protection um if I was to ever get hurt. or something like that or die it'll. cancel out that it'll pay it off or if I. was to lose my job it'll pay it off oh. if you were to lose your job pay what. off this yeah I was going to say if you. died it wouldn't matter unless someone. else was on it but hm [clears throat].
it's interesting it would actually pay. it off okay but the McDonald's and the. smoke shop and going in the gas station. getting some things yeah definitely. necessary right to put on a car that. we're getting fees but everything else. was McDonald's was necessary I had to. eat are you what are you is cheap you. know that was a $12.30 meal if you went. for a meal on what we do your meal would. have costed uh cost after averaging out. averaging out against 28 days three.
meals a day which is what we have in. there because your meal planning about. $3.57 per meal oh that sounds pretty. good that does sound pretty good it's uh. cheaper than that McDonald's one so no. that McDonald's one does not look pretty. cheap to me okay so did you need it. at that time I would say yes why have. you never heard of a grocery store yeah. I go to the grocery store sometimes yeah. 1% of your spending or whatever it was.
still wi have you ever heard of a. sandwich yeah it's a great new invention. I eat sandwiches yeah it's cheaper than. McDonald's. yeah is it as tasty no no trust me I. love me some MC nugs but you can't. afford it buddy you're putting this on a. cards you can't pay off and it's inuring. interest and fees. okay and you're having a debt protection. on this like you're like already worried. that like oh I can't pay this off if. something bad happens if you're if. you're having the worry.
okay do you cook uh no. okay I can but got you've upgraded your. apartment I assume it has a little bit. of a kitchen no yeah does it have the. ability to cook things in it oh okay. it's barely used and we don't cook. because. okay I got a good excuse. I want 58 hours a week okay even though. I work from home make 58 work 58 hours a. week and you can't pay fre card because. you spend it all go ahead you wouldn't.
have to work as much if you knew how to. budget go ahead to you um but. I I don't feel like going okay I. understand being naturally defensive. like when you're on camera for the first. time and I'm going through your it's. much more invasive than a lot of people. think when they're watching the audience. so I get it but to you that's the. dumbest thing I've ever heard when you. mean to you we already I already told. you how much you spent going out to eat. to you and this is you to you there is. no to you there is simple $300 is less.
than the $900 or whatever the you want. to eat so to you off to you okay that's. the stupidest ever heard in my life. right so I get you might be a little. nervous naturally defensive that is what. happens on this but also shut the up. okay okay okay. and I'm the one that's allowed to be. mean I'm the Caleb Springer I get to be. mean in the thumbnail and title that's. what we all agreed upon not you be nice. give him support he had the balls to.
come on you don't $288. 39 on this card $771 of interest is. acred paid a minimum monthly payment but. then we spent more than that on it so. again second credit card now we're. spending money though we're not paying. it off and interest is agre it's okay. okay let me explain I'm going to pay. that off today and I'm not going to use. it again. is that why it's okay yeah okay oh I was.
about to you have no idea I was about to. like reach across this table. going in and getting some some. Mart and what you you stop at like the. the gas station and you just get so many. purchases it's right by my house and. congratulations especially if it's on. everyone has a gas station near their. house I'm proud of you I'm thrilled for. you if it's on a Saturday or something. like that oh yes known for the gas. station days Saturdays yes I am getting. a monster or whatever to work on.
Saturday cuz I'm not required to work on. Saturday but I do so good get a M get go. to Costco and get monsters in like a big. pack you're losing so much more on these. individual purchases where you could get. a big pack I agree I agree I could I. just don't go in grocery stores I don't. know why that goes complet Brandon can. you play the clip from like 5 minutes. ago he was like I no grocery store so I. go there yeah I go to the grocery store. sometimes I don't grocery shop.
no more what is this DBA air up [snorts]. DBA air in your tires maybe I don't know. it's like two bucks oh yeah yeah that's. what it is. 32.4. uh 32.2 4% interest on this and you're. around with it that is an insane. interest rate for you to around with I. gu you agree but you still do it all. right sick great Capital One Wally World.
the card okay we made a Min a monthly. payment but what did we do shocker we. purchased more than we put towards it. that okay's a huh that one's okay too. what do you mean well I'm going to pay. it off today so why haven't you in the. past then no I have. but I always then there's no there. there's I I can't get excited about you. paying it off today yeah because if you. PID paid it off in the past and then. this is where we are and you're losing.
interest $636 and it's stacking across. all these then why would I possibly be. excited it doesn't matter if you pay it. off today if next month it's not paid. off again right I I and I I agree with. that but you know it's gonna be paid off. I'm not I'm GNA try not to use it I. won't say I won't but I'm GNA try not to. use it what am I talking to right now. you're you're like a wall a brick wall. of just like there's some okay it just I. feel like my words are making it through.
well I can't tell you that I'm not going. to spend on them no more but I don't. know what the future holds I'm going try. can I ask why you're here please cuz I. need help I need a plan or something CU. i h the natural defensiveness but this. is like this is like actually stupid. [snorts] your logic and the words you're. using are stupid. and why are you getting the money to. even pay these off anyway you have. $300 in the statements that we have both.
of these were both of these combined. were I mean the last one was 288 this. one's 268 where are you paying them off. from. um my uh chicken I got paid today oh so. it's one of those things yeah I got paay. today so I'm going to pay him off I yeah. I'm going to pay that's such a worrying. statement. where we wait until like you just so. unfinancial figured out like you have. you are structured in no way whatsoever.
your finances are just a mess that it's. like a the moment we get paid oh we're. going to do it then we're going to go. into debt again and then it's going to. ACW interest and we're going to go we're. going to do this for raising canes. that's what we're going to allow. interest to be AC Creed on and that's. what I have a problem with I don't I. don't know how to just stop stop what. like after I pay them off you know I'll. go with like a month or two no that's. great that is a great Omission I am so. happy you said that you know what that. means what you're not a credit card. person and chop them up close the. accounts you can never use credit cards.
again until you have financially proven. to yourself that you are responsible. you're able to budget you're able to. manage your spending which you cannot. now and you've self-confessed I'm so. glad you said that congratulations okay. this is the that's the that's the best. thing you've said all day. I may chop them up but I'm not closing. them why because then he can just add. him to a virtual wallet then he can just. go request a new card if you do not have. the discipline if you are not able to if. you don't give a sh enough to care about.
your future then what's the point what. is the point of chopping them up that. point I understand what you're saying. but I need that credit age for when I oh. you're just everyone these days I don't. care it's taking advantage of you you're. not taking advantage of it how many. times have I had to say this buddy in. what world is this helping you I agree. with you on that point but. in October you know when you apply for.
another apartment or whatever you going. to need a decent credit score so it. doesn't matter cuz in 2021 according to. your application you paid off a ton of. debt oh yeah a lot yeah few years later. we're in debt so you continue to keep. these open regardless if they're chopped. up and then reordered and put in a. virtual wallet or whatever it doesn't. matter if you pay them off through what. we talk about today given your history 3. years from now you'll be in bad Deb.
again you are not disciplined you cannot. utilize this credit cards are for the. rare few who are incredibly disciplined. with their finances and they can. actually utilize it you are not that. person it doesn't make any sense. okay I I agree with so you will close. them then because you agree with me I. will close. I will close most of them but I I got to. keep one you know I just I just got to. keep one why. you're going to blow it up again okay. okay so you say I shouldn't keep one yes.
you can't you can't you can't you can't. okay because you're just going to Max it. out and that's going to f your credit. anyway I will I'll close him I will. close him I understand what you're. saying what a lot of people try to say. where they want to take ad Advantage. ofed what are you trying to take. advantage of credit for you said you're. getting a house um I'm not getting the. house um but I have spoke with um. mortgage loan officers mhm uh I've been. speaking with them for the past couple.
months just to see where I was at you. know monthly check in see how much house. buying power I can get but you said you. can't afford to live how are you getting. a house that doesn't make any sense cuz. rent is just so expensive rent is right. now rent's cheaper than mortgages well. I'm not looking at no like you know. house no big old house or whatnot I'm. just looking at like $150,000 home what. does they get you in that area a nice. three bedroom two bath condo type thing. no house what if if that's if you can. get a nice three-bedroom two bath for.
$150,000 in there you have absolutely no. an excuse to say bringing home net. $50,000. is living poor. that is the most aggressively stupid. thing I've heard and yes if you close. your accounts it will temporarily ding. your credit but for you for someone who. Maxes their out over and over and over. again that's going to do more damage in. the long run that's going to hurt your. score by being over that 33% or 30%.
whatever it is utilization it's going to. hurt you and your finances by maxing. them out I would rather you have a. little ding now trust me we have more. debt that'll keep your credit score. alive okay $150,000 for a house that's. incredible plus do you want to go back. to school anyway does just settling down. in a house make sense. um no and yes I I'm confused on that too. like I don't know if you're confused on. it don't get a house you only get a. house when you 100% % sure know what. your plan is okay so no yeah no house oh.
a credit card that is actually not. terrible a credit card that you don't. hold a balance on. good job Navy Federal okay that's the. one I'm keeping well no cuz it's the. behavior around it you you failed three. of four you failed three of four so all. those bad behaviors will translate to. the one you have open then right but. that's a secure $200 card and that most. it's only like two bills that really go.
in there and that equals up to about. $200 so and it's paid off every month. well did you say there's only two bills. going on here yeah plus a little that's. interesting chili Starbucks. [clears throat] uh an apple subscription. thing an apple subscription thing. Netflix McDonald's Texas Roadhouse two. bills okay maybe not on that are you. talking about maybe not on that maybe. not on that statement. but I'm only going to go out the. statement I have but yeah so what are. you talking about okay well maybe not.
but it is it but it is only cut it up. you don't know how to use credit cards. Dude you going to ruin me. it's like you. oh my gosh just like you're incapable of. just recognizing reality I do but you. said there's only two bills on here and. then I had it literally right in front. of me okay well maybe not that statement.
because I think I did get paid three. times so I was like maybe I already paid. it off before and then spent some more. on it but yeah do you want scissors to. chop up the card. are you real about it I am so you'll do. it oh this is for Real it's not we're. not here to play around this is changing. your life man this isn't closing your. accounts unfortunately but it is taking. a step at least showing that you're to. do something and that this conversation.
isn't a complete waste of time. this is why my heart ladies and. gentlemen see how hard it's taking a. bust through this brick wall right now. trying to Kool-Aid man to this guy. okay this it this is I love wait that. those aren't all credit cards are they. yeah I want to make sure you're not. cutting up a debit card how how many you. got right there. four good okay.
now just to be clear this is this is. your choice doing this I don't want you. to do anything you're uncomfortable with. I think this is a great first step and I. highly encourage you to do this but I do. not want you to feel pressured yeah I'm. serious about this I'm cutting my okay. had a guy you might want to do like two. at a time. hey. yeah yeah.
this is the kind of stuff I watch to get. off at home yeah [snorts] that's it okay. and then the N is Navy Federal what you. use uh that's my main checkings okay. there $85 in there yeah that's it's not. much better that's how would then $200. in savings. $200 in savings yeah did you thought you. had more or less no we shouldn't be. nothing in there okay so there's nothing. anymore.
um that's just like a transfer account. well money goes in and money goes out. okay well no money went in no money went. out this statement at least I'll let you. look take a oh sorry oh yeah this is. money went in and money went out wait a. second I think I misordered something. cuz you also have a car right yeah do. you have a car debt this is just a. summary. where was that car I glossed over that. second de. another page cuz that was like your most.
that. wait a second what's going on here it's. Wednesday you need a free $20 usually. you get $5 for signing up for acorns but. using my link in the description below. you get a free $20 there's no strings. attached make your Wednesday better by. getting a free $20 for signing up for an. amazing platform in the link in the. description below got it Nissan Morano I. don't even know that car I've never. heard of that car I didn't even want to. talk about that why I I'm pissed off at.
myself about this buying this car why. okay so I think I bought the car in. October. and I wasn't supposed to buy a car I was. supposed to pay off my old car only had. $3,000 left because the following. November is when I received like. probably $10,000 to $111,000 for my job. okay I got my bonus and I got paid three. times wow so I was going to pay have my. car but I ended up trading it in and.
buying this new car. why did you go against your plan why did. you go against your plan though impulse. like that's the definition of your life. isn't it it's okay it's it's a lot of. people's problems it's where we live in. a consumer culture no it's not okay but. I at least understand it the 14.1%. interest rate of insanity is though it. is I'm thinking about getting Finance. right now well I mean getting it what.
score credit like 670. what is your what are you able to. refinance to to these days um I don't. know you said you're in the process. where are you in the process somebody. supposed to be calling me back when did. you apply this morning oh. the day that. the day that you came on the show also. what did you blow $111,000 on [laughter]. um pay off some like 3,000 went to. paying off did. death that we rra back up okay and this.
is why you can't have credit cards the. thing about it is Christmas came up. comes up every year it's not really a. surprise. yeah but I I did a lot of extra things. for Christmas that I normally don't yeah. $8,000 worth of things. no. it wasn't all that like I bought a you. do I bought a bedroom set and stuff like. that which was like $3,000 okay and I. don't know where that money went to be. honest with you okay it let's just put.
it towards this new car man I only had. it for a couple days the bedroom set no. the money yeah cuz you blew it all. okay not okay like okay but no I know. but is such a weird response [laughter]. okay so you're looking to refinance this. yeah how though you owe 26789. it's worth uh 18,300 [laughter]. okay well d i I don't know how much it. wors cuz I'm early in the process on it.
so I don't know well it's worth 18,300. so yeah that's not going to work yeah we. looked it up okay what is not going. right. yeah no no no no no you are in the hole. of this car. I H at almost 9,000 so that's kind of. uh no they the bank wanted me to. refinance my car like from the mortgage. side of things me got p in the mortgage. they wanted me to refinance my car to. get a lower payment either of that.
extending the term oh they're trying to. get your monthly minimum yeah but so. your your term is going to be long. basically so that's not good you don't. need a mortgage right now buddy you're. 21. what are you going in person to& M or. online okay do you want to stay in. Colleen no I know I know have you just. answered your own like entire. it [snorts] sounds bad I know yeah no. one wants to live in anyway so it's like. I'm kidding I'm sure clean's fine can't.
point to it on a map but. I don't know what I want to do it just. it wouldn't make sense you get in a. house right now your mortgage rate would. be high you say that you live in poverty. essentially you your debts High you'd be. extending your car loan length and I. don't think the interest rate is going. to be much better where rates are today. um based on your credit score it's I it. makes no sense and then you don't even. want to stay that way do you want to. live. um.
I don't know okay but not in clean yeah. not in C so why would you buy a house. usually you have to stay in a house for. like years for it to make sense you want. to you want make me you want to be. forced to stay in clean I don't know I. don't know cuz growing up um our well my. parents they always you know they feared. us from going certain places or just oh. they bearded you like you know they. installed that fear like oh don't go. this way go don't go there there you. know don't go where like places yeah.
like places like what or stuff like that. so I'm trying to distance myself like. what though I'm sorry I'm trying to get. a little more understanding of that. that's interesting you know how your. parents were like oh don't do that don't. go there like I was talking about moving. for college and all that they didn't. want me to move what yeah it's like wa. what was the reason was it a financial. thing no not Financial okay cuz that. would have maybe made sense what was. their reasoning um they just have. different ones like crime and you don't. know nobody in that City you don't know. how is if something was to happen how.
are we going to get to you that's really. bad that's really bad for life and. personal growth is being coddled and. held by parents and not escaping the. Cocoon and you going off and living on. your own I encourage everyone to go off. and live on their own at some point I'm. okay with also staying at home for a bit. but at some point I think it's great to. leave the hometown and experience. different culture different world parts. of the world it's good for careers it's. good for building connections it's good. for just diversifying your knowledge and. learning more about the world um.
no they um that that's kind of that's. that's kind of it's kind of weird and. gross it's it is it is so you're afraid. of living Cen. basically because I know well with my. job I can go anywhere but it's like that. fear well what if I move here then I. lose my job like I don't have. connections like I do doesn't make sense. uh down there also if you. get locked into a mortgage you can't.
really. trade up and down like you can for rent. and if you want to go back to school. you're about to get large semester bills. happening yeah. so you say no to the mortgage well no I. do want to make. I think everything in the there wasn't. one upside okay I was just making sure. no I know but like there literally. wasn't an upside in any of the points we. brought up well well I think I just want. to experience ownership you know or.
something you get what I'm saying. because my sure but you're 21 you have a. lot of Life to Live I understand that Al. you own a car you have you have. ownership I mean everybody own a car but. cool you've experienced ownership. congratulations. and then the checking account instead of. doing the things like the mortgage or. paying off the car loan that's at a. terrible interest rate or paying for. school because there's T expens we can't. afford it what are we doing what are we. doing what are we doing whatever what is. Snap Finance. that about my nephew U it's a financing.
company like you know what is like a buy. now pay later before I bought my nephew. a um something from the jewelry store a. chain to be example how much was it um I. don't remember I know it was like it. probably was like 1,200 15,500 how much. you owe on it no I paid it off that was. the last payment oh stop spending money. you don't have if you do you want to. complete school or not. yeah that could have easily gone towards.
tuition it could have but you know he. asked for it so oh it was in the moment. oh hey hey uh can I have $1,200 no I. ain't [clears throat] got it oh well I. just asked for it so by your logic I. should be able to get it I can Bor it. what is it uh and then stop an easy way. every second of your life okay Sonic. Drive In Taco Bell go into the Taquito. store Starbucks Bubbas Starbucks Donuts. McDonald's Starbucks Cabo Seafood Cash.
apping Out $98 McDonald's taquitos Pizza. I think yeah Pizza what is this. Acceptance Now Acceptance Now $128. Acceptance Now furn loan oh how much is. left on that. um 1,200 1244 to be EXA is there. interest. um no right now I'm doing a 100 day same. as cash huh I'm doing 100 day same as. cash right now so I don't know if the. interest occurs after yeah and it might.
catch up too it might acrew the interest. from before if you don't pay when does. that when does that end um. May 5th oh I'm going to pay it off. with what money I'm just going to pay. the money like what when I get paid I'm. I'm going to pay it off that's what I. did last time but it goes towards. everything else right now yeah oh. off. just.
Empower Advance Empower me. okay. oh my gosh it's hidden so many hidden. things yeah what what that's Advance huh. that's advance pay that. and you want to be aing accountant what. are you going to account you can't. account for your life. I'm going to pay I'm going to pay it off. when I get paid takes Payday advances. takes Payday advances I'm going to pay.
it off when I get paid now you going to. pay your payday advance when you get. paid pay it off when you get paid. there's no paying it off when you get. paid paying it off when you get paid. that's stupid that doesn't make any. sense you don't have money to pay it off. when you get paid you got to pay your. paid advanage the last time you got paid. yeah you're right I am right so stop. with me stop with me you can't I took. you at you wor that you could pay it off. when you got paid how. how because I don't have that no more. [snorts] you don't have to Payday. Advance anymore no it's closed they.
closed it and I what do you mean they. closed it well I closed it and I can't. open it up again in 12 months cuz I. don't oh thank thank that is the. blessing of a lifetime that is the. blessing of a lifetime. it's the best thing I've heard all day. it's the greatest news. what else is going to be uncovered in. this checking account that I didn't. Dairy Queen Tipsy Gator Starbucks. Raising Cane Starbucks Cash apping Out. Pizza CeCe pizza oh Cece's this what's.
up with people going on Cece's on the. show all of a sudden like and we had. that the other day what the happening. then Chuck E. [laughter] what are you going to a. Chuck-E-Cheese for my niece and neew. wanted to go to chick-- cheese so I took. him to chick-- cheese okay yeah you. can't afford it tell them to go with. their parents. okay. Subway McDonald's. listen what Jared did is obviously not. working so we don't have to go there.
okay then $100 went from we started with. $7 in this account then $100 oh my gosh. the spending it continues it's crazy I. forgot there was another document I went. through these and I forgot there was. another document I thought we got. through the spending but no oh no oh no. we didn't no we didn't because again. college is too spr we can't pay for it. so instead this just go out to eat $900. a month that makes sense stupid.
Starbucks Taquito Raising Canes. McDonald's you go out to eat every day. you go I do I'm glad you admitted that. and that's fued up it it is I I I agree. with you on it but it's I don't know how. to grocery shop I don't know what all I. need what all I'm going to need because. well thank goodness you're getting our. meal planed cuz me also. another great invention called a cook. book I don't know how to cook.
I just don't know how to shop. what do you mean like grocery shop be. there right yeah select it all in the. car and pick it up for free I understand. that but is this going to last me you. know it be like what like let's just say. if I go grocery shopping. I. I don't know I I just don't know how to. grocery shop buty I don't know how to. grocery shop coming from a grown man is. an insane statement I get that but I.
don't know how to grocery like you can't. blame me for something I don't really. know how to do what what is well I'm a. little confused cuz I mean I I was never. handheld walked into a grocery store. store with a teacher and been like this. is how you grocery shop like who learns. how to grocery shop you literally go and. get what you need for the next two weeks. okay for the next two weeks okay like. that like do I get stuff like once a. month do I do it for every two weeks I. don't dude it's up to the individual. some people go after like multiple days. a week to get what they need for the. next couple days so I shop I'm like an.
every twoe person some people get the. grocery pickups some people do once a. month with these big bulk items from. Costco and stuff this is but the. internet's free dude it is it is I'm. just looking forward to your plan to see. how you set it up or something because I. don't know how to do it. McDonald's Taco Bell taquitos. Taquito Starbucks Texas Roadhouse it's. also just none of this is good for you. tipsy Gator Raising Canes oh there's. Snap Finance Taco Bell.
the uh eeden out is it's going to slow. down I can't say it's going to. completely stop but there medical. reasons behind it medical what what. medical uh I'm pretty sure it's putting. you in medical yeah that's what I'm. saying that's why I say I got to like. tone it down because I'm actually. getting tested tomorrow for uh. pre-diabetic I think and how do you. think that's going to go um hoping for. the best preparing for worse okay do you. think you're diabetic.
yeah. probably. with my eating habit is yeah I didn't. want to say it but going through all. this I mean I mean it's worth I'm a. think so I get it I get it but this is. not good for you this is not not um just. reality basic reality not a shame thing. cuz people confuse reality a shame. what is going on right there is not. suggesting living past like 50. right and I don't want that for you.
because there's no point of us getting. our finances together if you're not. going to live a long life right and I. want you to live a long life so this the. sacrifices you are going to do now are. going to be for a greater Future. Okay. subway McDonald's. and then he has 2,424. and 401K but we're bwing against it. anyway so it's just like uh. I mean that was P out of Rage H I would. say well that was for a good cause I.
would say okay maybe not a couch. you didn't know I don't think you. understand I didn't know where I was. going to live at that point that doesn't. involve couches that statement does not. involve couches bed frames. okay I agree they don't. what do you spent [laughter]. $41 at HB 9 $0000 going out to eat $900.
just about round okay y'all this is the. time to switch to my favorite high yield. savings account with Sofi you can get. 4.6% on your money I hate when my money. is just losing value so make sure you're. keeping up with inflation at the very. least you can also get FDIC insurance on. that money up to $2 million with them. plus they'll give you money up to $300. when you set up an account with them. there's even extra perks like being able. to get paid a couple days early so Sofi. is what I use when I'm setting money. aside and it is the banking app of the.
future sign up link in the description. below I always want my money to be. making more money so don't lose money on. yours uh let's go through your spending. categories just so you've probably never. broken down you probably never budgeted. in your life let me guess okay good um. bad but let me tell you in terms of. going to debt payments net $522 71 or. 12.4% of your spending $1,138. 43 went to houseing or 27% of your. spending 6% went to your phone bill. what's your phone phone. what is it uh iPhone.
your bill your oh $95 okay do helium. it's 20 it's the easiest thing. 18 18.7% went to Transportation or $. 78944. necessary food go to the grocery store. $717. or 1.7% of your spending 19.8% of the. spending as we've went over before or. $835 64 went to Food unknown shopping. typically Amazon Walmart that kind of we.
know it's not groceries so it's bull 4%. $167 $77 cents went to that savings 1%. subscriptions. 4% $75 54 went to. miscellaneous bll going stopping at the. store getting all that crap. 1.8% the gas stations $ 5339. other large expenses which was $126. other large expenses equate to in your. situation. cash happing out money.
friends with benefits friends with. benefits FWB. that's where my brain goes well how much. was it 2511. cheap Friends with Benefits oh I have no. clue what what that is okay. something. h a receiver and the acceptance now. great yeah I didn't think it was that. much but now you get every meal going on. to E understand I'm surprised it's not. more.
well yeah you're right. I didn't know it was that much cuz I. never really looked at it and looking at. it. something need to change something need. to change so this back to the beginning. of the conversation Brandon would you be. kind enough to play where he says that. he just doesn't make enough and that's. all I feel like I'm just not making. enough money. it's obviously very beyond clear that is. your spending it's not your income it is. your spending and I hope you can.
acknowledge that now can you acknowledge. that can you acknowledge that now it is. my spending but at the same time I think. I'm not making enough money oh my gosh. oh my. I agreed no you didn't you just went. said you weren't making enough go $4,400. comes in on a monthly basis what is your. rent um 1060. what about utilities. uh 150 what about internet included.
internet your phone bill will you switch. to Healing do you owe on your iPhone. yeah how much is your phone bill how. much is your phone bill again 90 95 kill. me. car insurance 185 gas on a monthly basis. probably 50 bucks no no yeah I don't I. don't go nowhere but that eat buty why. well couldn't tell if it was gas or. going inside and getting a shot but. anything over $10 at a gas station.
equated to $132. okay I'm going to say $100 okay yeah you. can put that $100 what's your minimum. monthly payment on the furniture. uh $19 by weekly. your debt Min monthly payments. 1042. that's my Deb month minimum monthly yes. okay that explains oh it's my income.
that's the issue $300 for groceries. $100 for your to TP fund it's anything. else you need to exist okay medical. ongoing. um nothing right now. what's the co-pay going to cost at the. appointment tomorrow um I don't have no. co-pay I don't think so no never PID a. copay Jim no Jim I got one at my. apartment complex though do you use it. no no subscriptions.
hold on not even Netflix no there's. nothing on there anyway so calm down. okay you're going to be working but I I. watch in YouTube's free. okay. okay that's it anything else in your. life that I need to take in account um. yeah so that 4400. it should be like what it should be the. income yeah 4,400 is actually like 4,000. in because I put $200.
in a savings what savings I have a a USA. savings account no you don't it's not. going there anymore why not cuz it. doesn't make any sense you're losing 32%. interest what is that that $200 what. kind of interest is it gaining in that. USAA account even if it's at like the. soofi 4.6% it's losing to the 32%. interest you're losing on your credit. cards it doesn't mathematically make. sense okay but what if something happens. and then I don't have savings and then. I'm back to you already don't have so it. doesn't matter hey I got a little I got. a $400 no I'm going to let me walk you.
through the actual program okay that's. you're not doing that okay you're not. doing that. anything else that you have to pay for. on a monthly basis um and no you're not. going out to eat cuz it's stupid it's. killing you and your finances so no. going out to eat no going out to eat. okay I'm try. nothing else minimum. okay in order to survive and this is. great this is great you know what I am. going to put in a little going out to.
eat can we just do it in a healthy way. potentially um so what I will do is I'm. giving you $150. [laughter]. to go out to eat on a monthly basis. congratulations giving your budget to. 3,177 on a monthly basis congratulations. $150 going out to eat come on okay yeah. I'll take that I'll take that yes you. will cuz that's all I'm giving you and. do you have clothes yeah sick answer is.
that so no clothes no why are you. getting more clothes you got a good. point. 1,223 is what you have left over which. is so awesome you have no idea that's. awesome. yes it's awesome are you kidding me you. sir make okay money great money for your. age it is not an income problem okay. which is a rarity on this show sometimes. so be happy you're blessed beyond belief. you're best beyond belief and if you.
didn't get this car you could have an. extra $600 anyway but it doesn't matter. you got it so we're going to deal with. it. okay so first two months set that. completely aside and essentially by the. end of the first two months you have a. fully funded emergency fund so there you. go that's the savings okay like I said. just go with me on my process and I I. promised I'd get you there okay month. number three pay off Visa done and put. the $200 towards the furniture loan.
you said May and all the back interest. secures okay we're going to we're going. to finesse this a little first month you. actually pay off the furniture loan then. month number two and three you throw it. towards a one month emergency fund then. the furniture loan's gone and the one. month emergency fund is there by the end. of month number three month number four. pay off the Visa and the remaining money. goes towards paying off the capital one. card as well the Walmart Capital one.
that's sick well okay so end of month. number four one month emergency fund. Furniture is gone Walmart Capital One is. gone Visa is gone then month number. three kill the regular Capital One sorry. month number five kill the regular. Capital One throw the rest towards the. line of credit line of credit is killed. uh by Midway through 75% through month. number uh six but we'll just call it. that to be conservative give some room. for flexibility month number month. number six all credit cards gone the. furniture loan is gone.
all you have is the Nissan the Nissan's. a really bad debt but you're also really. underwater on it do you want to keep the. Nissan um it looks like I have no choice. not necessarily do you want to keep the. Nissan not really okay so you don't care. about it are you willing to drive a. $10,000 car yeah yeah I'm willing I'm. willing. okay so let's see let me make sure the. math works first you're about under. $99,000 $10,000 car you'd be $199,000. but with closing.
so what you could do so you could sell. the car for the $ 18,300. you can borrow $9,000 to make up the Gap. and you can in a personal loan but also. you're actually borrowing $199,000. you're using $99,000. and you're throwing it towards paying. off the car because you sold the car and. then you're also using that $9,000 you. paid off the car fantastic that loan's. gone the additional $10,000 in that loan. you're then using to go get a $10,000.
car that you get you send you send to a. couple mechanics get the write off that. it's going to last you a few years it's. safe and happy it's not luxurious okay. [snorts] okay cool now you have a. $199,000 loan you can or you cannot do. that it's up to you cuz that's saving. you $7,000 which is really good but uh. it's up to you whether or not you want. to pay this off aggressively or do that. finessing route but let's just say you. do and what are we in month number seven.
at this point. yeah. and at that point with where our Min. monthly payments are we have about an. extra 1, $300. left on a monthly basis it'll take you I. would do that actually because it's. going to take a while 14 months to pay. off so. it's about a year and seven months a. year and seven months a year and seven. months until you're fully debt free. really yeah okay see that that's what I.
wasn't understanding is that good or bad. that no that's way better than what I. was looking at that's cuz I'm making you. go aggressive I'm giving you $150 to go. out e out to eat okay I'm a nice guy. yeah nice thank you you're welcome are. you willing to do that I am willing to. do it I'm willing to do it and then at. that point what I would do is I'd save. up a fully six six-month emergency F so. let's call it two years total. no about 2 years and 3 months total. you're fully debt free and you have a. fully friend emergency fund at that.
point if you want you can also cash flow. the remainder of school okay as best as. you can might have to borrow the rest. okay and then you pay that off. aggressively when you're done okay. that's what I'd personally do I'd gift. you like a course career certification. but you're not going into Tech so. yeah that's in the exciting things start. oh you got to also pay off your 40K loan. so let's just add an extra month on. there for that so it's going to take two. years four months and then keep try to. max out your 401K max out your Roth IRA.
on a yearly basis um you won't be able. to do that during school you know I want. to be able to cash flow school but then. you can even start getting into exciting. things I love using like I I max out my. IRAs and solo 41 case all that good. stuff then I buy some individual stocks. through MooMoo that's where the exciting. fun things happen you're not there yet. you will be so do you think I should. stop contributing to your 401k yeah I'd. take your match okay but only up to the. match are you contributing more than.
your match um less than my match I would. take your full match okay it's literally. free money so to recap is going to take. you know two years four months. now if you want to there's also I mean. the issue with school you could do. school before it and it delays the stuff. it gets complicated but I'm willing to. help you through that process if that's. what you choose. but to confirm you are not going to get. a house right now correct cuz this whole. situation no I'm not going to get a. house you say don't get a house then I. believe you you know don't get a house.
well are you only going to spend $150 a. month going out to eat. yes I think it's very doable I got to be. smart about it you're going to go to gr. grocery store like an adult I'm going to. do to walmart.com you're going to go. through yes you're going to go through. our budgeting program you're going to do. [music] all this okay yes yes. good. Hammer Financial score. your budget was out of control it was. ridiculous it wasn't the worst you've. ever seen but it certainly wasn't good.
at all 2 out of 10 Deb again not the. worst of you SE definitely not good two. out of 10 emergency fund you had a start. one out of 10 retirement for your age. $4,000 I'm actually going to give you a. 4 out of 10 for that you're getting. started let's just pretend like you're. just out of College real estate 0 out of. 10 for now and I don't want you to. increase that score yet you shouldn't be. increasing that score yet in your situ. ation.
Hammer Financial score rounded up 2 out. of 10 make sure to stick around for the. Post show everyone and don't forget to. check out the links in the description. below as they are what I use or would. use in specific situations including the. best budgeting program in the history of. the internet today on the financial. audit post show how don't you treat your. own finances like a job cuz it is your. future it is but it don't work like that. all the time do you drink often every. weekend did you go hard when you drink. every other week I mean Noah is the.
office drinker so okay Noah is not the. office Drinker Noah occasionally has a. few beers and has a little bit of but no. one else drinks so no one's the office. Drinker to watch the financial audit. post show click the join button below.
