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Live from the headquarters of Ramsey Solutions, broadcasting from the Dollars Car Rental Studios, it's the Dave Ramsey Show where that is Dom. Cash is King. The paid off, no mortgage has taken the place of the BMW as a status symbol of choice.

My co-host today here on the air, Ramsay personality Anthony O'Neal open phones, a triple eight eight two five five two two five. That's triple eight eight two five five two two five.

Alice is with us in Houston, Texas. Hi, Alice.

How are you? All right. How you doing? Better than I deserve. What's up? Well, I work and I drive for right here and right now I rented the vehicle to do it. I was telling me I need to buy my own right, but so I did. But I still was having the baby still, too. So do you think I should buy a ride or should I keep bringing in a. Well, here's the thing, Alex, with the Rishabh programs, I do know, for an example, formalising a name to companies, but you've got to have at least a car, 10 year old, no more than 10 years old.

So it sounds like you're not in a position to do that financially right now. OK, now, is this ride sharing program, is this the only source of income you have right now coming in or is this a side gate and you have another full time job? No time.

Mm. Yeah, so what are you making? Anywhere from a week, a hundred a week? Yeah, it was 112, 800 plus. Yeah. Yeah.

So what's the rental costing you? I think like maybe seven a month. So you're working for free. No, so 700 a month, 700 a month, not a week. Oh, I'm sure.

Yeah, yeah, 700 a month. And so you're renting from a rental car company. Yes. Yeah. Very interesting. Well, here's the thing, Alice, you can honestly and correct me if I'm wrong on this one, because I must say I don't have a problem with you renting if you're stacking up money to go buy cash. So, for example, we're in 2020, going to 2021.

That means you can get a 2011 car, OK, just 2011 or Newar, you can buy something that would be a 2015 source that was 15 it 2015 or higher.

So, yeah. So that's going to run you about in between seven and ten thousand dollars.

How old are you. 50S, what was your last job? My last job was the auction. Was what? Working for auction. Auction. OK, what were you making there? That was just very still just like a little hard time. All right, Mike. OK, what you're describing scares me because I'm afraid there's some cost involved here or some lack of insurance that's involved here that might be setting you up for all kinds of problems. I certainly wouldn't sign you up for seven hundred dollar car payment or a car payment at all in order to do ride share.

But if we're going to move away from this whole thing, then we have to have a replacement for it. You got to eat. Yes. And you've been using this to eat. I get that. I like your ingenuity. You came up with some cool ideas and some you scratched around, figured out a way to make a dadgum living. Good for you.

I'm a little bit afraid.

Whoever you're running the car from might not be OK under the contract you've signed with you using it for ride sharing.

And I'm a little bit afraid that the ride sharing people might not be OK with the with the type of insurance and the fact that you're driving a rental car to do.

I don't know. There's just there's a lot of stuff in here that's that's bothering me. Seven hundred dollars a month bothering me a lot, too. It's obviously bothering you. She she has to get a car. Yeah.

But I turned fifteen, twenty fifteen to drive for that company. Maybe you dropped for a different one.

Yeah. But I mean I don't know what the guidelines are with the different cars.

I know one of them. It has to be ten years or newer. OK, like Uber. Yes. I don't know anyone said well whatever.

I don't care. Yeah. Uber will allow you to be.

I don't know what Lyft if Lyft has a lesser or whatever, but a lot of drivers that I know drive for both. Yeah.

And it's usually a side gig too. Yeah. So I, I would start saving aggressively and buy a car very, very quickly. Yeah. Like and I'd be working like 24/7. I'd be working all the time to get out of this because I'm afraid you're in a trap. But would I go buy a car on payments. I've never told one in thirty years of doing told anyone in thirty years of doing the show to go borrow money and I'm not going to start today so I wouldn't.

But if I woke up in your shoes, I would work like a maniac and pile up enough cash in about a month to go do this. And you know you're coming into the holidays. You probably can get really busy. Yeah. In Houston, Texas, because.

Yeah, that's what I'm going to do. Yeah. Yeah. I saw this in 30 days. Yeah. Ah 45 days. And go buy a car and even if you bought a lesser car and you couldn't drive for that same company for a period of time, didn't you move up and do the same thing again, then move up in car later.

Yeah but do it with cash and stay out of the payment business.

I would not do what you're doing for a for a long term plan because I think there's holes in it and I'm afraid you're going to get get caught in a mess. I'm making this up.

I'm not sure it just make it just feels wrong. The possibility of the mess is there because I tried over, you know, just to test it out for myself, you have to provide a registration and proof of insurance. So I don't know how she's doing that because she doesn't have proof of insurance.

She won't even get insurance through the rental car company doesn't have registration except you don't own the car. And insurance is not her insurance. It's to rent a car insurance company. I know. So I don't I don't know how you got me. Yeah. It just it sounds like somebody. Yeah, it's tricky. It's true. So. All right. All right.

That's how we're going to do this second idea other than just pile up some cash really quick and then keep doing this is ask yourself, OK, I'm fifty years old, what I want to be doing when I'm 65.

Hmm, probably not ōba no, probably want a career field, you probably want to start setting some longer goals and saying, OK, what have I got to do to get out of this car?

What have I got to do to move into something else? That's why I was asking about your previous career.

What are you trained in, what can you do and say, OK, I'm going to start taking something once we get this solved, let's start taking some classes.

Let's do whatever we've got to do to move into the career field that you really want to do. And hang on, I'll give you a copy of Ken Colman's book and help you move that direction. It's called The Proximity Principle and.

Yeah, I think that's going to be your longer term, better answer. Yeah, that's the is the way this feels to me. So I know what you're doing is not going to be sustainable. And I know even if you get into your own car that you can use and you can make the same kind of money or more money and you won't have seven dollars payment, you'll be making pretty decent money at that point.

But you're working your butt off. And what is the long term aspects of that? Probably not your plan. Yeah, so we need a long term plan and a short term plan. And you're really, really hard working lady. Really smart. You coming up with ideas. You're scrappy to get out there and scratch around, find some money. I'm proud of you do that. But let's get this situation fixed and it's not a car payment to fix it.

This is the Dave Ramsey Show. Listen, there are some basic things that you should be doing to take care of your family, a roof over their head, food to eat, a car to get you from A to B and term life insurance, term life insurance is an immediate need no matter where you are in the baby steps, since your family is at no greater risk than when you're in debt. The only place I send you for this is to Zander Insurance.

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Today's question comes from Jennifer Dave in Alabama. She says, I'm a mom of a 12 year old boy. My ex and I agreed in a divorce settlement that we will each pay for 50 percent of our son's college. I've saved 8000 dollars in Coverdale savings and have sixty eight thousand dollars in a 529 with 75000 jobs saved for my half of expenses. Do you think I should stop putting money in a 529? Should I save extra in a regular money market account?

I've never heard you advise on how much is enough for saving for college. I don't want to be stuck with penalties from 529 withdrawals that don't qualify. Please help. Jennifer. My initial reaction right now is I would honestly say keep going into 529. Only reason being is because right now the average four year degree is going to run about one hundred thousand dollars if they stay in state. But your son is 12. You have like another six more years and four years of school if he goes off to school.

So I would say probably get that up to 100000 and then probably start from now. She's only paying for half of it. Yeah. So, yeah, technically.

And so here's here's an idea. First thing I'd want to do is I don't let's start talking about where Junior is going to go to school. Yeah. And let's deal with some real numbers. Yeah.

Not just a generality and say, all right, if we go say Junior is going to go to school, it's going to be 200 K, then, you know, you don't need more than a hundred in the 529 because you're only paying for half.

And so you run it up to there and then you are you build it to where it's going to grow to no more than that, which is probably there now if that was the case. So let's say that you did a little investigation, you felt like your budget for school is going to be 200. Yeah. Which, by the way, you can cover dorm everything. Yeah. You know, so what is the what's the budget for it? And then if the 75 is going to grow to that much or more, then I would stop and I would use the money market.

The other option is I'm curious if husband's done his job exhusband, I might have a little communication with him, too.

Has he is he also ready to pay for this? Has he done a 529 or has he got cash?

Because here's what you could arrange.

Let's pretend that their own really good speaking terms and husband's like, no, I'm just going to cash flow it.

I'm just going to I've got to get I got an investment over here. I'm just gonna pull some money out stock at the time and do that. You could run the 529 on up if you could get exhusband to agree to let you use the 529 and him pay you.

Oh, and that would allow the 529 to grow tax free for this.

Yes, but you got to really you got to have an agreement and you're dealing with an ex-husband. And so and everybody's got to be on good terms and he's got to want to do that and all that. Now, let's say that it's worse than that. And it's more let me give you a more normal scenario. That would be weird. Yes. For everybody to love each other that much still and be trusting each other that much still in writing, willing to write agreements that much.

Still, there's a reason the ex is usually the ex. Right.

And so but the other way you could do it. The other thing I'd be worried about, I want to have a conversation with X.

If he's not, let's pretend he saved nothing and he doesn't make any money. We have an issue. He's not going to cover his half, right? Mm hmm. Mm hmm.

Then you may want to go and find the 529, because you may even though you're not about the divorce decree liable, you may want to fund more than 50 percent because the other 50 percent is going to be left dangling in the wind. Might be student loan debt if you're not careful. Right. So I want to know what the other half's doing in this deal. And that's going to tell me what to do if the other half's ready to go and they've also saved the 529 or you just don't want to deal with them.

But you think they're going to have their half covered, then yes, you would stop when you get to the point that the 75 is going to grow to enough to be your half.

And I would want just really solid, good information, a good budget, because what we find, Anthony, is people don't know what college costs they think is.

I know they really don't, Dave.

And that's why I was just saying, looking at Alabama and looking at a full year fully, if they say in state and maybe went out of the city, away from the house, from school cost, dorm costs, food costs, it's going to be about 170 to about 190 for in-state school experience for four years by the time that twelve year old gets her.

Exactly. Right now, you're inflating it up. It's about 100 right now. Yes. So right now, that's that's 100000 right now without dorms. That's just for your tuition. No, it's not. That's what. Dorms. Yeah. I'm sending at my math is off, it's my eleven thousand dollars a year tuition for in-state tuition nationally, that's a national average, right. So you had dorm's to that you can get up to 20 pretty quick.

Yes. And so you're looking at 80 to 100 a day for in-state today. But he's 12. She got eight more years or five more years or I'm sorry, seven, six more years to get into college and informal years from now.

Yeah, and that's going to inflate. It's going to hypothetically, I don't know, maybe this maybe some of these people have slapped higher education around enough that the prices aren't going to go up as much as I used to. But I'm going to plan for them to go up. I know.

That's why I said I would just I would get the extra 25 in there and then slow down. Good, good, good discussion.

All right. Jake is with us in Kansas City. Hi, Jake. How are you?

I'm doing great. Guys, are you better than we deserve? How can we help? So I have a question for you. I'm thirty three. My wife is twenty eight. We currently have read about four hundred and fifty thousand in our 401k. Way to go. And thank you. So I was on Chris Hoggins retirement calculator. And according to it, if I don't put anything else in, I would still have plenty more than enough to retire on.

So I was wondering if it would be unwise or foolish to maybe would be OK to not contributions down to maybe more like 10 percent instead of 15.

What are you gonna do with the difference? Make the wife happy, I know, but let me ask you this question why do you not want to retire with more money? No, I mean, I do I was wanting to drop it off altogether or anything, I just didn't know if it would be OK to knock it down a little bit. We got a few some stuff we want to do and baby steps aside and said, you know, I would just keep going.

Yeah, I'll stay at 15 percent. And I think you run your budget on the stuff you want to do and that lowers the amount you put extra on your home because you're paying extra on your home.

Right. Yes. Yeah, you slow that down, yeah, to do some of the other stuff, and that's called, you know, obviously in baby steps four or five, six, we say you don't have to be Gizelle intense, but you do need to be intentional and be doing it on purpose. But no, I'm not I wouldn't stop doing that. I've just never met anyone who said, you know, I got too much money at retirement.

That's what I was thinking day. I'm just never getting by. That's going to you know, that when you get there, that it's that it's a different thing and you're going to be able to do what you've done. A great job to get to the point you're at. Yeah. And I think you're going to do anything you want to do. If you're careful, it may slow down paying off your home early. Yeah, but that. You know, that's not that's not a problem, right?

Open phones at eight eight two five five two two five.

You guys jump in. We'll talk about your life and your money.

Well, it's hard to believe, but we're finally the other side of the Halloween or the other side of Election Day who say we're the site of an election, but I'm not sure where those are that the other side of Election Day, which means it's officially Christmas.

It is. I mean, so we skip Thanksgiving.

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Anthony O'Neal Ramsey personality is my co-host today here on the air, open phones, a triple eight, eight to five five, two to five. Crystal is with us in Orlando, Florida. Hi, Crystal. Welcome to The Dave Ramsey Show.

Hi, Dave. Anthony, good afternoon. Thanks for taking my call. Sure. What's up? So very long story short, my myself and my husband are buying a new home, but we are selling our current home to all the equity into our new down payment, all under your guidelines. But my father came to us and he actually would like to purchase our current home as a rental property and he would just be paying cash for the property. So just calling for your guidance, is there any way to do things the right way, but also avoid paying any unnecessary fees, such as for the realtor or any associated costs just to transfer that over to him?

Sure.

It's fairly easy contact. Do you have a real estate agent friend? Everybody does. Yes. Yeah, yeah.

Ask them which title company they use and to give you a an introduction to a title company.

And you can either get the real estate agent friend to give you a contract or a blank contract and show you how to fill it out as a favor or the title company can do that.

And then because you do want to do a contract that way and not because we're scared about Dad or something, but because issues like the preparation of taxes or whatever, issues about repairs, all those kinds of things need to be have been covered on the contract so that everybody in the deal knows what the deal looks like. It's not a big deal. It's a fairly simple little residential real estate contract form. There's not it's not rocket science. And then that title company can do the closing for you.

Oh, great. And they'll prepare the deed and your dad's doing a cash transaction, so it's very easy. If I were him, I would purchase title insurance. I always buy title insurance when I buy real estate and then, you know, and he could buy from that title company. And they will probably charge you very, very little to actually do the closing. And doing the closing involves drafting the deeds, having him drop by and sign the deeds.

They'll do a closing statement that just shows that the proceeds coming in and the expenses going out, the preparations going out and the net proceeds to you. He'll give them a cashier's check, they'll give you a cashier's check or you can wire it either one. It's not unusual this day and time to do it wire and do it all by email. And nobody even goes to the title company in the old days where you should actually go over there and have a physical closing moment where we signed all the documents.

But that's not done that much anymore. Yeah. And so but they can do all of that for you.

It's a couple of hundred bucks, maybe a plus or minus in buying a title policy if he chooses to, or you furnishing him a title policy if you choose to do that.

But that's how I would handle it. I just have the title company do it for you. Perfect. Well, thank you so much and my husband and I went through a few we paid off one hundred and ten thousand dollars in 13 months. Wow. Before you do anything now, and we just can't thank you enough for putting us in such good.

What a great place you guys are in. The new baby's on the way. You're debt free. The house is sold to dad. Life is good. Way to go.

Thank you. Thanks to you. And thank you so much. Well, thank you. I appreciate you calling. Awesome. Very, very cool. Zach is in Youngstown. Hi, Zach.

How are you? I'm not too bad, how are you? Better than I deserve. How can we help? So basically, long story short, I got injured at work at the beginning of this year and one thing led to another. Now I'm about seven months behind on my mortgage payment and looking at foreclosure, kind of looking at all options. And it feels like bankruptcy is my only way out and seeing if there's any other way.

I'm sorry. Are you feeling better? Yeah, I'm getting much better. I had surgery a couple of months ago and I'm just now starting to slowly get back into work by paying you workers comp.

They are, but that has been a up and down rollercoaster from the get go, I went about four or five months without any pay before it all got settled.

Hmm. Are you married? Divorced. OK, so you're the only person in the house, correct? OK. Man, I'm sorry. Yeah, what a horrible thing to go through. OK, well, let's talk through it for a second. What's the house worth?

Well, right now, I was actually in the middle before I got heard of doing some remodeling.

So what could we sell it for quickly?

75. And what do you want it? Eighty five. OK, so you've torn it up enough that it's devalued even below what you owe. Yes, what kind of mortgage do you have, FHA, VA or conventional FHA, OK. All right.

And your purpose for filing bankruptcy is what?

I mean, basically, it's going to be the foreclosure on the house. I didn't want to go to the foreclosure. And now I also have a five month child support, five hundred dollars a month car payment and about two hundred dollars in a debt consolidation that I had done after the divorce. OK. All right.

Child support is not bankrupt. Only is alimony. OK, so that's not going away. The car payments not going away unless the car goes away.

So sell the car isn't. Let's and if the so here's the thing, bankruptcy's a ten out of ten, I'm dropping an atom bomb on your credit and your future, OK, a foreclosure on a home, except for purposes of buying another home is about a four out of ten. It doesn't really affect you that much. And FHA does not pursue deficits, meaning HUD doesn't come after you if the house doesn't bring enough. So you can stay there until the foreclosure, have a rental lined up and move out.

And in the meantime, pile up cash as high as you can. Polit, sell the car, get rid of the five hundred dollar payment. The child support is not going away anyway. And if you do all of that, bankruptcy's not going to do anything for you.

There's not I mean, you're going to go through the foreclosure, whether you file bankruptcy or not. Yeah, because bankruptcy doesn't stop a foreclosure and there's not a bankruptcy that wipes out a car payment unless you hand them the keys to the car.

So you don't get to keep the car without the car payment, right? And this car payments killing you, so the car needs to leave and this house is a mess. You're going to you know, you saw the car and you move into a rental and you start getting an income coming in again. That's your quickest way to rebuild your life. You don't need to file bankruptcy.

I agree with you, Dave. Zach, how long would it be before you can get an income coming back in?

So I'm starting basically on a sliding scale to go back to work. I'm going about half a day now. Hopefully within two or three months I will be back full time. Yeah. Same company.

Yes. And are they going to pay you your back worker's comp?

That's that's the main question. It's still it's been a fight since the beginning. There's some paperwork on their side that wasn't filed correctly. It's a federal job. So the Department of Labor took over and they haven't. Haven't been the easiest to work with either. Well, they're not working much with any excuse to not work with the covid stuff, so. Oh, my gosh, I'm sorry. Yeah. Yeah. Well, I mean, we get your income coming back in and, you know, here's the thing.

Have they given you an actual date on the foreclosure yet?

No, not yet. I had tried to apply for a mortgage assistance to lower the payment temporarily, and that got dragged on up until about a month ago. And they finally said that they were denying my. Yeah.

So it really might be five more months before they actually do the foreclosure. Yeah. And just live there and pile up cash and get rid of the stinking car and get you a cash car with no payments. And I'm going to put you into Ramsey. Plus, I've been right where you are. It's no fun, Ramsey. Plus, I'll teach you how to handle money and get you into Financial Peace University, and I'm going to pay for it for a year because I remember how it feels to be scared and be right where you are with a foreclosure breathing down your neck.

This is the Dave Ramsey Show. Our Scripture of the day, Second Corinthians 13, 11, finally, brothers, rejoice, aim for restoration, comfort one another, agree with one another to live in peace, and the god of love and peace will be with you.

Barbara Bush said, you must read to your children and you must hug your children and you must love your children, your successes. Our family. Our success as a society depends not on what happens in the White House.

But on what happens inside your house, which is what we see all the time around here all the time, I'd forgotten Barbara Bush quote, but there you go.

All right.

Our Stephanie is with us. Stephanie is in Washington, Yakima. Hi, Stephanie. How are you?

Good, thank you. Thanks for having me on. I'm a new listener and and I appreciate you taking my call.

We're honored. How can we help? Yes. So I'm going to be coming in to an inheritance at twenty five thousand dollars. And I wanted to know the best option to not one to not be taxed on it. And two, how should I invest it properly? My husband and I, we own a home. We don't have any credit card debt. So we paid off all of our credit card debt. Good. And we don't have a 401k, though, and we don't have much in savings.

So this is a large sum of money for us and I want to invest it in the best way possible. Good for you. Well done.

OK, and what was the inheritance money in? In what form is it?

Well, it's going to be as a check.

OK, so OK. There is no taxes on it. Inherited money is not taxable. So that's an easy equation.

And then, Anthony, we teach folks to, you know, as a as a new listener, our new arrival at Ramsey Steffanie.

We have a system we call the baby step. Yes. Yes. I just want to ask Stephanie, you said no credit card debt. Do you have any idea at all?

So do you have any idea the only other the only other other than our home mortgage payment, which is approximately almost fourteen hundred dollars a month, is a hospital payment when my husband and I lost our baby and I've been paying on that, so I owe a little less than 5000.

OK. Any Kano's?

No, I own my own vehicle and my husband has a company that he drives.

So as a new listener, Stephanie, right now, what I'm going to suggest you do is for the first three baby steps going ahead and pay off that 5000 dollars and jump straight into babysitting number three and go ahead and get a fully funded emergency fund of three to six months right now of expense of expenses set aside for emergencies.

OK, what we found is, is that being debt free, completely calculate later on house and everything is right, the shortest path to wealth and stability along the way. Yes. So baby step one is a thousand dollars saved. Obviously, we're shipping through that to wish to be debt free. But the House and that's what Anthony just outlined, knocks out the five thousand three is a fully funded emergency fund of three to six months of expenses. What's your household income?

My husband makes approximately four thousand dollars a month and I bring in approximately about twenty four hundred dollars a month. OK, so you guys are making about eighty nine thousand dollars a year, right? Yeah, roughly between 60 to 70000.

OK, OK. And. So if you were to set aside fifteen thousand dollars as an emergency fund that as representing three to six months of expenses and never touch it except for emergencies, it's all it's for, then that would be great. So that's using up 20. If we said 15 of the 5000 or that of the 25, that gives you another 5000 to do something with, you might start investigating that. That moves. You passed your baby.

Step three, baby. Step four or five and six. We do at the same time. Four is we put 15 percent of our income into retirement, five US kids college if that's appropriate, and six is begin to pay off the house. And so you would be it baby step for getting up, getting your budget arranged and start putting 15 percent of your income away. And we can use the last five thousand of this 25 to jumpstart that, maybe with some Roth IRAs and, you know, quick smart vestre at Dave Ramsey Dotcom, you can find some smart Mr.

Pros in your area to maybe help you get that started. Yeah, but it looks like you're going to be able to do a lot with it. Yeah. I mean, you fully fund the emergency fund, knock out any debt that you got there, get that thing out of your life. It's great to not have that payment again, because every time you make that payment, you have to relive the memory and the pain of that of that event.

And so it'd be great to have that out of your life and that and then begin your investing and time to get the 401k started. And that's the Roth IRA started in those kinds of things. And part of that will be getting on a budget, you know, jumping in Ramsey plus or something like that, getting your budget going with every dollar cap. And you're going to this is really going to take you a long way. It's pretty cool.

I was just thinking now I was like, wow, in the blink of an eye, she's already on Basso's four or five, six in the blink of an eye. Yep. Just like that. Got there. And so that's pretty cool. All right. Kasey is with us.

Kathleen in Springfield, Massachusetts. Hi, Cassie.

How are you? Cassie, are you with us? I don't maybe not. All right, let me see if I can get to Armondo in Miami. Hi, Armando, how are you? Very good. Thank you very much for listening to me. Sure. I have I have a question and I listen to you religiously. And you say that if you have any money, any savings account, once you have an emergency fund, which I do, it's better to pay off your house with that money.

Apart from the emergency fund, the situation I have is a little bit peculiar or different in that I mean, the wife of both retired. Our salary is one hundred thirty thousand dollars a year. We have no debt except for one hundred fifty thousand dollars on the house. And also I have five hundred thousand in it for one case. The problem is, if I take if I take the money out of the form, it becomes salary. And with the salary I'm making, I'm going to have to pay at least 20 percent on that hundred and fifty thousand dollars.

And this isn't going to cost me a lot more money to pay off the house. And I can the right now, the monthly payments on the house are only six hundred fifty dollars plus tax and insurance. So I can I can pay for that very easily. I'm still putting away over two thousand dollars a month in savings. So I'm hesitant and I'm wondering, how long are you thinking of them. I'm sixty one sixty one sixty one.

OK, if we stopped saving money you're making one hundred and thirty. How quickly can you ihss out of your cash flow. Well, the thing is, I want to let you know, because we're retired, I want to live halfway, you know what? I don't want to keep away. OK, OK, you do. You do whatever you want to do.

What I'm going to tell you is this.

The data that we have on millionaires is and you do not want to go up into your later years. It's still hanging on to this house payment like it's a freaking pet. So I want to get rid of it. You decide how you're going to get rid of it. If I'm in your shoes, the house payments gone. Absolutely. I'm either going to get rid of it by cash flow on it over the next three years.

And you don't want to do that because you don't want to trim down your lifestyle. You're enjoying your retirement. OK, then pull enough out of your 500 K to knock that puppy down and I'd be done with it. I would absolutely be done with it. And then the fact that you don't have a house payment, just pay yourself a house payment, rebuild some investments over time with that. But in the meantime, you're not paying a stinking bank interest.

And I got to tell you, man, when you don't have a house anymore, the grass feels different under your feet.

That's why I'm kind of tripping, Dave. Like, why would you not want to go ahead aggressively to do that? So when you are older, you don't have to worry about nothing. You can really enjoy your life.

Well, he's enjoying his retirement now. Don't want to spend any of the 130000 our income. That's cool. But you're going to pay the twenty 20 percent on the taxes. And as you pull it out, you are going to have taxes on 401k. No penalties. But I would pull out enough to pay off the house out of the 401k today.

And I think that free take the old house payment, you'll rebuild that amount lost within a short period of time just by investing a house payment for yourself into your own situation. Yeah, but Armondo, you can do whatever you want to your life. You know, it's your money.

Yeah. I thank you for the call. Yeah. Anthony, good job today. Hey Dave. Thank you. James Childs, Hayley Daniels. Great job in the booth. I am Dave Ramsey. Your host will be back with you before you know it. In the meantime, remember, there's ultimately only one way to financial piece, and that's to walk daily with the Prince of peace fries.

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