Live from the headquarters of Ramsey Solutions, broadcasting from the Dollars Car Rental Studios, it's the Dave Ramsey Show where debt is dumb, cash is king. A paid off home mortgage has taken the place of the BMW as the status symbol of choice. Rachel Cruze Ramsey personality is my co-host today. Here on the air, open phones, a triple eight eight two five five two two five. Hey, we're coming up on the Christmas week. And as we come up on that, one of our favorite shows that we do and one of your favorite shows that we do is the giving show.

And always Week of Christmas. We dedicate an entire show to stories from you about someone giving you something. Are you giving someone something? And especially the whole idea is to just promote generosity, to cause people to be jazzed about generosity. So if you've got a great giving or receiving story, email it to Kelly Dave on air at Ramsey Solutions dot com, Dave on air at Ramsey Solutions, dot com. Kelly will get that. Look at the story, get back in touch with you and make you part of our annual giving show.

We want you to do that. So, Rachel, I was having lunch today with some of our team members. I just randomly walked through the cafe and sat down and it was two young ladies who have been with us for one. I'm less than a year and one, I'm less than six months.

And then a I'm sure they were like and then Chris Russell, our CEO, sitting here freaking out. They got indigestion.

And Chris Russell was sitting here talking to him. So, Chris, he broke it up. He's been with a 15 years. So Chris lost his house earlier in the year to the tornado. That's right. Completely destroyed. And their new homes being rebuilt. And, of course, we've helped him and been with him walking with him all this time. And we got to talking about giving in about generosity because it's a big deal around here right now.

The Ramsey Christmas party every year is outrageous. It is over the top epic in the budget on it is, too. By the way, last year at this time, we gave each of our 900 and some odd team members a thousand dollars to put them on a bus and took them to a shopping mall, to a really high end mall. And I mean, a nice shopping experience.

And we had a blast and we had Local Baptist Children's Home, which works with children that don't have homes. And we had those families and those support families. And we had some other people that some pastors that we selected in the area. And we gave them all a thousand dollars. They were all part of it. Our cafe team that's outsourced team, but they worked. They're part of our team. We certainly, you know, they make our food every day for most of us.

And so all them. And so all of us just had this huge party. We gave away a million dollars in one day.

It was a very, very cool day. It was a lot of fun. Not this year. This year, you can't have epic Christmas parties. This year, we're having, like barbecue blue jeans and boots because we figured we need to wear boots if you're going to kick 20-20 out.

Yeah, that's a nice way of saying it needs to go and needs to go away.

Gave each of our team members a Christmas ornament that is a little dumpster on fire with 20, 20 on the side of it. That was one of their gifts. And we gave each of our team members 250 dollars and told them to give it away. Find somebody that has had a horrible year because we've all had a horrible year, but most people are much more horrible than other people. Yeah, for some people, much more horrible.

So I was asking these young ladies and Chris, would you do what you're doing? Fifty dollars that I'm sitting at lunch crying like one of them is found a lady, the single mom who had, you know, lost, had gotten kicked out of their apartment and went and found her.

And she's written in another place and just had told the woman, come back.

She just handed the envelope and the woman got home, opened envelope and just called her screaming and crying. She said, you have no idea. This is like interpret that, you know, blow somebody's mind if you're really, really in a pinch. Oh, for sure. And it was just stories like that and the.

A man and there's 900 of us did that, not in 50 of us doing that stuff. And we just did a press release yesterday.

We kept it a big secret that we went and bought ten million dollars worth of bad medical debt, bad car repo debt and bad credit card debt, which you can buy to discount it and pay anywhere near 10 million dollars for it. But we took some of what we would normally have spent on this Christmas extravaganza, and we bought 10 million dollars worth of debt, 8000 accounts. And our team has spent the last month calling the 8000 accounts and telling people that their debt is forgiven because Jesus forgave us.

And so we forgave 10 million dollars worth of debt, medical debt and car repo debt. And I mean, last year we gave away a million.

This year, we forgave 10 million for the debt. They cost us a million dollars, you know, just to be just to be fair. But oh, my gosh, how fun. Oh, cool. Has just been now, I had 10 names to call. There were eight names. You got ten. Yeah. And I got none of them. I got voicemails and bad numbers. Did you get a hold. Anybody got a hold of two.

You got a hold of them. Yes. Yes. And one of the guys his name I don't I don't know his last name, Mark, because I remember OK.

And he answered because everyone you get oh, did you do this Verizon number husband, you know. Yeah. That's like what I kept getting. Yeah.

Because they're in collections. So I don't want to answer their phone because I think a collector is calling. Right. Or it's been about numbers I like but yeah.

But he said hello and I was like, Mark, who is this. And I was like, Mark, this is Rachel Cruise. I work with Ramsey Solutions.

And I kind of gave him like the whole thing. And I said, and it was a set as six thousand seven hundred dollar medical debt out of Texas. And he literally just didn't believe me. He thought you were a con. Oh, yeah. He was like, I don't I don't understand. And I was like, no, Marc, it's it's it's over. Like, we paid it. We paid your medical debt is. Excuse me.

Who I mean, it was just like so I finally tolan's I go to Dave Ramsey dot com backslash forgiven and you'll see that we're doing it as a company and you can read all about it. You'll get a certified, you know, letter in the mail, three to four weeks to to prove to it. But yeah it was yeah. I think it's shocking. I don't know, I don't know how many people he didn't know how to react. Well no it seems like why it's funny.

So we got a hold to though. What was your mark know was of. Well I said get a voice mail before it actually got through to the voicemail. I left several voicemail. My other two numbers had something at for your special. You got ten. But my other two numbers were like the duty to do this Verizon line has been disconnected. So there was no like no communication. But well, this is what collectors go through, trying to find people to collect on them.

Right. It's the same stuff.

And, you know, and again, I think we got voice mail because if I see a no, I'm not in collections, but if I see a number I don't recognize, I'm not totally.

I know. That's why I wish you could, like, be like, this is not a collector. Please answer your phone.

I got a call we have between but to to get your ship's credit. Who came up with the idea? Because I didn't even hear about it until our big staff meeting when we announced the last month. But brilliant idea. Brilliant idea because that's a team like we talk about all the time. But like we did the company, we worked as a generous company to our team members. And Christmas is a big deal to us. Like you said, like we gave away a thousand dollars to every member.

Our team didn't get much this year. No. And so but but they didn't. But they got the opportunity to help other people. And it was more high than if you have given them. That's to say people love it.

Like if you are able to help people, it is the most exciting, fun thing that I mean, it's it's amazing. Are you a little bit nervous calling? Oh, and Mark answered, I was like, not I mean.

Well, I mean, after getting to several times. But I mean, when you're dialing this, you're calling up somebody that you never talk to before. I actually had for just a second. I had a little bit of it was a little bit weird. Yeah. Yeah. But then nobody answered. So there's no problem. I didn't talk to any humans, but yeah, there were some great stories all through the company, people crying and saying thank you, Jesus.

And screaming and running around the room and all kinds of stuff. So fun. This is the Dave Ramsey Show. At Takeover's, we believe a great pair of cowboy boots should be comfortable right out of the box, and we believe that your hard earned dollars should go far. So we only sell direct to, you know, retail markups, just amazingly handsome Western boots for men and women. Find your Perret to Covas Dotcom slash Ramsay and for a limited time, use promo code Ramsey to receive a free campfire mug with any purchase over a hundred dollars.

That's a 25 dollar value offer, valid online only while supplies last. And it ends soon. Rachel Cruze Ramsey personality is my co-host today, open phones, a triple eight eight two five five two two five. That's triple eight eight two five five two two five. Caylee is with us. Caylee is in Colorado Springs. Hi, Caylee. How are you? Hi, Dave.

I'm great. How are you? Better than I deserve. How can I help?

Thank you for taking my call. So I'm calling because my husband and I just sold our home and we're about to finish baby stuff, too, with the profits from that. All right, and we will have seven thousand dollars left over after we pay our debt off, right? We wanted to instead of directly going into baby step three, his mom has helped us quite a bit when he was enlisted in the army and not making a lot of money yet.

So we wanted to give her five thousand dollars because she's out of work right now with covid and struggling a little bit. My question is, when we called her to let her know we were going to spend that instead of she had always given us money as a gift and said she didn't want to ever be paid back. And when we told her we were going to spend five thousand dollars, she kind of acted like, oh, that's all. So now we're kind of worried about straining that relationship with her and we're wondering if we should send her more and not all of our debt right now and kind of work on it the rest of this year or if we should have all of our debt still and maybe give her more money later down the road.

Kelly, did you is this an assumption that that's how she felt from her tone, or did she say with her words, did you guys ask questions and have a more in-depth conversation? So you know exactly what she's thinking? So we we tried to she kind of just said, well, I'm you know, I'm so happy for you guys, I want you to be out of debt. But, you know, she has a lot of debt herself and she's just she's having a really hard time.

We also know, though, she even though she's out of work, she is single. She lives for free with her sister, who's a retired nurse. So she's got a roof over her head. She has food to eat. She just makes a lot of poor decisions with the money that she does make. So we don't want to we want to be generous. We don't want to keep we don't want to enable that because we don't agree with the choices that she makes.

But, yeah, we're just we don't want to have relationships. We don't want to. Well, she said that's fine. Gimme 5000 and pay off debt. And you worry about me later. And that's what she said then. I've never. Yeah, we're worried that's going to be a never ending thing. Yeah. You don't want to be supporting her, her bad decisions here. Yeah.

Well, I think that there's levels of communication that have to be had and there's going to be boundaries that you guys are going to set. And so to be on as as Dave Ramsey sitting next to me would always say in life to be unclear is to be unkind. And so from the story you've told me, she has given you guys money in the past to help you. But she said, I never want repaid. Now, you guys are in a better situation financially.

You're getting your debt paid off. You have some extra cash and you think, OK, we're we're going to bless her and give her a gift to help her during this hard time, partly because, yes, she helped us in the past. But this is our gift to her, no strings attached. So what you have to realize is that if there is a gift that you guys feel like you want to give her, there has to be no strings attached.

You're going to know that she's probably going to mismanage this money. And if you give her more, that's the more she's going to mismanage that money. And so if there's a there's a amount that you guys want to give and say, hey, you know, again, because of the situation you're in, we're choosing to give you this. But, Mom, here's the plan. We as a couple are getting out of debt. We're going through the baby steps.

And once we get out and if you would like to come along this journey with us and you want to go through Ramsey Plus and you want to take some online classes and budget and you start doing these things, we'd love to walk beside you, but we want this money to be a blessing to you and not a curse.

Yeah, so here's the deal. If you give her 5000 dollars, are you give her 15000 dollars, it doesn't change a thing. So you can't give her enough money because you don't have enough money for her problems to go away. So give her five thousand dollars and tell her, let your husband handle this, this is his mom, you can't handle it. You are the daughter in law, which means when you talk, it doesn't go well.

So you need to be real quiet. He needs to handle this with his mom, very, very slow cadence of speech, deep octave. Which indicates that he's feeling very calm and very strong. Mom, I love you.

And we are so excited that we're getting out of debt, we're going to give you this 5000 dollars, when you gave us the other money, you said it was a gift with no strings. And we're giving you this money as a gift with no strings. We're not going to be able to do this very often or maybe never again. And we would like to help you in other ways and let you go along with us on this journey that we're going on.

You may or may not want to do that, but if you wanted to go through financial peace and Remzi plus mom will pay for it for you as a part of and we'll add that to the 5000 dollars. But, Mom, I'm not repaying everything you gave me because when you gave it to me, you told me it was a gift. And let yourself be free of her little guilt trip that she laid. Cut that the tie on that clean, otherwise she's going to keep coming back to the well and she's going to feel entitled to come back to the oil because you didn't cut he didn't cut the apron strings.

So he she is she the only reason she's misbehaving here is because she's scared and she's broke. If this woman had money, she actually is silly, generous. Because she gave you money probably she didn't have back then. Right, exactly, yeah, yeah, so she's not a bad person that breaks her promises, she's just a scared person. And I really am going to have to let her fear that is leading her to shame me lay over there in her house, not in my house.

That's the boundary that sounds very mean or very tough, but there's not enough money to stop this from happening and there is no end to this thread if you pull it on this sweater. Am I right?

Kayleigh? Yes, that's right, that's what we're worried about. He has to handle this, not you. You don't even need to be on the phone. OK, because you're going to end up being the wicked witch of the West in the story. If you are and I don't want you to get that reputation in this situation, I want you to be free of it. I matter of fact, if she's mad at somebody, I'd rather be mad at her son than her daughter in law, because that's harder for her to do.

This is not a bad person. She's scared and she's out of control. And if you can help her not be and if you can help her get in control, like Rachel said, and not be scared, that's going to be worth fifty thousand dollars to her, not 5000.

But you really can't you don't have any money. You don't have enough money to change this woman's life. Now, later on, if you've got a million dollars and you want to give her 100000 and straighten her life up, you can change your life doing that. She still go back and screw it up, but you can change your life. But right now, you don't have the difference in what you can do. That strange you versus the 5000 is not a difference maker in the story.

It doesn't change the story. So I'd stick with the five and I'd lay down a boundary, clipped the apron strings and offer to cheerlead and help and walk through Ramsey Financial Peace University together with her. That's what I would do if I were in your shoes. These are some of the most difficult conversations that people ever have around money.

I think this kind of conversation is even harder than a marital conversation because of the relationship between a parent and a child. And it's they're taking care of the parents like role reversal, feeling well and just the dynamic of it. I mean, I diapered you. You owe me. Yeah. Yeah. I bought you school clothes. I worked three extra jobs when you were twelve years old. And you owe me. No.

Those kind of your job. You know, that's not how this works.

You know, there is something a child is not enslaved to you forever based on your freaking misbehavior.

No, but it maybe the next break we'll talk about after the break. But but how to honor your parents. Yeah, you can't do that. But it's just the assumption of some of these guilt trip. It's great to leave. Totally. Totally. Open phones this hour on the day Ramsey show Rachel proves Ramsey personality number one, best selling author is my co-host today. This year has been hard for everyone. But I'm betting, you know, someone who's had a really hard year.

Maybe they got slammed with medical bills or the paycheck they relied on suddenly wasn't there, or they shouldn't have to struggle like that ever again. And they don't have to.

This Christmas, you can give them some peace of mind back and help them build a life that is a little more bulletproof.

You can help them feel some hope with Ramsey. Plus, it's our step by step money plan that helps people get out of debt fast so they can finally save money. Because once they're not spending all their money to the bank, they breathe easier when the next emergency hits.

It includes financial peace, university every dollar and includes the baby step tracker. It's everything you need to get everything turned around and you can give it as a gift. Ramsey plus, go to Dave Ramsey, dot com slash store, Dave Ramsey dotcom slash store, and we'll work it out. All right.

Going into that break, we're talking about moms or dads asking for money or asking for help.

Yeah, and I just think it's an interesting discussion because there's a level of unhealthiness that a parent can have to say, oh, yeah, I'm entitled to some of your money as a child and expect their adult children to help them. But there also is the beauty in in helping your parents. If you've worked this plan and you're out of debt, you have an emergency fund and you're building wealth. And so we're talking about like, what's the balance of not enabling bad behavior if they choose to to do poor things with money, but yet being able to bless and help your parents?

Well, and you can add to the conversation, those of us that are Christians we see clearly in the Bible, honor, honor your father and mother.

Yep. All of them as people that are listening listeners out there, you know, of how to direct them and doing that well, if that's something that they choose to do.

OK, so it's a little bit like.

Honoring the president. OK, if you do that, you may very well disagree with the person that's in office, their politics, their procedures, their theology, their beliefs, their values, whatever, but you still honor the office of president. And you pray for the president, even if you disagree with them dramatically. You know, we've lost a lot of that in our country and we lost something so you can honor the Office of Fatherhood or Motherhood without honoring misbehavior.

So an extreme example, your your dad is doing cocaine and he keeps asking you for money. Well, unless you're completely screwed in the head, you are you know, you're released from the obligation to give a cocaine addict money.

I mean. Right, right.

So now how do you how do you honor. Father psychokinetic, I mean, how do you do that? Well, you have to honor the fact that he's dad the father, but you don't honor the cocaine part.

And you don't participate. In that part by funding it, right, right, you know, and so a mine, much more minor example, someone who's just like that last lady is misbehaving with money. She makes bad money decisions, her daughter in law said, and she has throughout her whole life. And she lives in her sister's house because she didn't have a place to live, because she's not even taking care of her money enough to maintain the dignity of that.

And it's all because of choices, according to the story we heard. Right. Right. So we can honor mom. We can honor her generosity towards this couple early in their marriage when he's first in the military.

And that, as she said. But we don't have to honor her situation.

We have to honor her behavior. We must honor her and love her right where she is. And so you can it's a little bit of love the sinner, hate the sin kind of a thing. And so that allows you to be kind.

But it also allows you to separate the behavior and not become an enabler and giving someone money that is not helping if it's not helping.

Right, you're an enabler. That's what it comes down to, and you're falling for guilt trips and you've got a toxic environment and well, you know, I'm afraid I won't have a relationship with them if you have to pay for a relationship that's called prostitution, that's not it's not a real relationship.

It's not I mean, if you have to have paid for friends, you don't have real friends.

And so if you have a if, then one way your mom talks to you, you give her money. This relationship has gone a long time ago.

It's time to call it.

And so you are not morally, spiritually obligated to give anyone money. Anyone except minor children that are yours, you're morally obligated, spiritually obligated to take care of children of your own especially, but you're not obligated to take care of your sibling. You're not obligated to take care of your uncle, your grandmother, your mother, your grandchild who continually misbehaves, and 31 and living in your basement. You're not morally or spiritually obligated.

Now, we love them, even the stupid ones. And, you know, we do. And we can honor the fact that this is my brother, my sister, this is my mother. This is whatever. Right.

You can honor that, but you don't have to honor the stupidity and you don't have to fund it to prove that you love them or to give them honor. Giving honor is separate from giving them money. There are two different things, and it's very difficult to separate, especially when someone is a travel agent for guilt trips and they just call you up and go, I did this for you and now you leave me.

I feel terrible. You know, I'm afraid if I don't give my daughter money that that my grandbabies won't have any mind food aid, because that's what she tells me. You know, like the mother that calls up calls her mother and says, Mom, I need some money.

If you don't feed, if you don't give me some money, your grandbabies are really well, that's just you know, that's just low blow right there. So. Because they feel entitled, I've talked to people on the inheritance issue that they feel entitled to their parents money upon their death, it's not yours. Yeah, you don't have an entitlement to it. You don't have a right to it. Leaving an inheritance is a choice of the person who owns the money, not the person receiving it.

And so, you know, this concept that somehow that you hit the DNA lottery by being in someone's family is. Is false, and so but then the problem is, as you navigate it, it's always a very rough conversation. Because you can never give enough. And when you finally realize that, then you also find out that that this whole thing was rigged out anyway and it wasn't going to work. Yeah, and then the relationship goes sideways and so.

You can give somebody money for 10 years and then stop and they'll not speak to you. You know, because they've become entitled it's a short term Band-Aid. Yeah, exactly the issues which eventually eventually this runs out and eventually somebody runs out of money somewhere or patients or something. And so that that's what you know, you know, Dr. Henry Cloud book The Boundaries is. Is the Bible for this for this discussion and being able to set boundaries in place?

Now the truth is that our family, my family and Sharon's family have not been an issue.

They've been happy for us that we've become successful financially and they don't all line up the door want money. Matter of fact, none of our risk is freedom ever.

That's pretty weird, honestly, but it's a blessing. Yeah. So, you know, we're not discussing like I have a friend. It's really me. We're not doing that. You know, this is this and, you know, our kids are self-sufficient. You guys don't come to us for money and we certainly don't come to you for money and that kind of stuff. So it's but if somebody in if one of your cousins needed help on something their kid was at a medical thing or whatever, we would be there in a heartbeat, but there would not.

But they're not the type of people that would lay that out as an expectation that we would be there. It would be a it's not generosity if you're shamed into it. Mm. You talking about the spirit of it, yeah, oh, yeah, absolutely, because I think we're at least I've I have friends and we've talked about, OK, so how do we honor our parents if kids have become more successful than their parents financially? Does that look like and so having that discussion is just fascinating.

It's very interesting. So most of the parents don't care. Yeah, like, I know a situation like that that is a good friend of both of ours. And he paid his dad's house off the other day just to watch his dad cry. You wanted to see his dad cry. It was fabulous. It was just an act of generosity, though. I'm data it in no way inferred that he was do that. Yep. It's good. This is the Dave Ramsey Show.

Our scripture, the day Ecclesiastes seven eight better is the end of a thing than its beginning and the patient and spirit is better than the proud in spirit, T.S. Eliot said to make an end is to make a beginning. Rachel Cruze Ramsey personality as my co-host today here on the air, this is The Dave Ramsey Show. Our Question of the Day comes from Blind's Dotcom. They have a 100 percent satisfaction guarantee means even if you miss measure or you pick the wrong color, they'll remake your blinds for free.

They give you free samples, free shipping, new promos all the time to save even more money. Use the promo code. Ramsey.

Today's question comes from Todd in Indiana. He said, My wife and I are baby steps four or five and six. We continue to do our monthly budget meeting and each track are spending on a daily basis being the holiday season is upon us. I want to purchase a Christmas gift for her. That would be a complete surprise. This would be a purchase within our budget means and would easily catch our attention if she saw the track. This transaction show up in every dollar and to withdraw cash from the bank would certainly be eyebrow raising as well.

Well, Todd, this is a couple of things you can do. OK, number one, it's Christmas. So I don't think it's a huge shock that you guys are going to be getting gifts. So you could just say, hey, let's each get a gift and go buy a Visa gift card so she doesn't know where it was spent. And you buy the gift because it's Christmas and that's what's happening, right? Anniversaries, birthdays, Christmas kind of assume they're going to be a gift.

But if you want it to be extra stealth, this is what I did. I'll be curious if you get mad at me for this advice I did this for. Then I bought some concert tickets for a birthday once and I actually had my mom pay for them.

And then on the birthday after we went and went to the concert, I paid her back so he wouldn't see the transaction. So then this was all hidden from me.

Of course, it was technically borrowing money, but I had the money. I just didn't want it to go through the bank because I appreciate Todd's question, his dilemma so genuine, like the gift giving him.

So I would be OK if you had the money. That's OK. And you had family member friend that had interesting that they hid it from me.

It's a charge. That's what I want to know was their interest. Did Sharon charge me?

Charge Mr. Sharon? Probably would. Probably would. Let's be honest. No she didn't. But you could.

You can you can go get Sharon quick call and a debit card.

A credit card. So when she does say that my credit card I don't have a credit card, she will say that we get my credit card out of my purse like, mom, it's a debit card.

You can't say that. Sharon Ramsey Cheesman. It's the best. She's the best. Anyway, that's that's why. That's what I did. Oh, OK. So just an option. Yeah.

I think your first option, if it's if you don't have.

Mom, a Secret Santa to bail you out. Yes, yes, all right, Troy is where the search for Lexington, Kentucky. Hey, Troy, what's up? Thank you for taking my call. Sure. How can I watch this? My wife and I just sold our house on Monday. We are 100, 100 percent completely debt free. And we are we have 10 percent on our paychecks and we are wondering how to tie them this money that we have coming to.

OK, the first baseline I tell people is it doesn't matter, I believe in tithing, but I'm not a legalist about it because your Heavenly Father is crazy about you. He teaches us to tithe because he wants us to be generous and be givers, because he's a giver. He gave his only son. So once we get that kind of dialed in and release ourselves from the details, are the nuanced things like God's not going to like me if I mess this up or something.

He loves you anyway. OK, so you can't mess up his love based on screwing up the tithe. So you really got to put that out there because some people get all torched about this stuff.

So the way I have done it and now I'll get hate mail because the people there talked about it.

But is if you're going to buy another house with it, you didn't, quote, take the profit, you rolled it into another house. If you're going to consume it and spend it, then you might want to tithe on it because the tithing scripture says to tithe on your net increase, which would be the profit of selling an item. But with a home, it's not unusual for you to take 100 percent of that money and put it into the next home.

And so in that sense, you haven't profited personally, you have. I mean, it's a detail. It's a it's a nuanced way of looking at it. It's kind of like a capital gain used to in the old days. You could buy another house and roll all your capital gain into your other house. You don't have to do that now. Now you can take a capital gain of up to a half million dollars married, filing jointly with zero taxes.

And even if you do buy another house, you can't avoid it. So it doesn't help to to roll it into the next deal. But that's kind of where I got that idea from, was you rolling it in. But if you're going to actually consume the money, you may want to pray about it. It's probably in my case, I would tithe on it then if I was buying another house. In my case I wouldn't. Yeah.

Troy, I think to you guys are out of debt. You said so you're in a place where you can be generous. So 10 percent of that earning, I'm sure is is a is a good bet. But you could look at it as just like, yeah, we get to give this because we don't have any debt, we don't have bills and we're able to be generous.

So and again, if you're being technical, it's not on the proceeds of the House, it's on the net profit. So if you paid 300000 for it, you sold it for three 10, your proceeds would be three ten, but your profit would be 10. And so that's what you would tie on as your net increase, what did you profit if you're being very detailed and very careful and all that kind of stuff? That's the trick to look for.

So but again, I think it just kind of think through it that way. Another example, I'll tell you where that is. I don't tie the on profit from this business as long as it's still sitting in the business because it may be reinvested into the business the next year, even though I have to pay taxes on it this year and still sitting here. But if I take it home out of here to do something with, that's when I tithe on it.

That's how I break it down. But technically, I have increased. And you could you could if you wanted to be legalistic about it, you could say I was wrong. So, I mean, it's almost impossible to get 100 percent of those, right, unless you just over give on everything, which, by the way, it's not even a bad idea. Right. That's going to conflict over giving. Totally. Yeah. You really can't mess that up.

Giving is not something you can hardly mess up. Hannas in Colorado Springs. Hi, Hannah. How are you? Hi, good, how are you? Thanks for taking my call. Sure. What's up? So I have an eight year old daughter and she has a savings account of about six thousand dollars. So every year we put the child tax credit back in her account and her dad is in the military. And we don't have to worry about education since he has the post 9/11.

So my question is, since I don't want to do a 529, you recommend any other interest program. That way she can accumulate over time in her savings account. OK, post 9/11, the bill is wonderful, but you do need a 529 in addition to that, because there are some things that won't cover. So you're going to come up short if you count only on that, and so I would do some savings, you don't have to do as much as someone who doesn't have that wonderful benefit.

And tell your husband thanks for his service and I'm glad my tax dollars are going to that kind of thing. That's wonderful.

But then so I do some in a 529. As far as this account, I wouldn't use it for a 529. I would use this account for her future car. And what we did with our kids was there a little miscellaneous child savings account was they were always saving for their first car.

And so if you got fifty dollars birthday money, you want to spend a little bit of it. We want to save some of it. Then we would do some in there. And that way you had some money for your car, right?

Yeah. Six grand though at that young of an age. That's significant for sure. So you could I mean, yeah, I would say for sure to be thinking about the car, have enough in there for the car and then if it just keeps growing and growing and growing, growing and you want to take some and just put it in a mutual fund. Yeah. It's not let that grow. And then add to that too. If you think that this is enough for the car, but it's a and then again, college is taken care of there, but letting that mutual fund grow is an option too.

Well, and what we did beyond that, but it depends on the situation mom and dad are in. But what we did beyond that, she's taking the tax credit and that kind of stuff. So it kind of gives you the same feeling like once you guys got to have age, you start working.

I filed a tax return on your earnings every year and put that much into a Roth IRA in your name. Yeah, yeah, yeah. And so that's the other ways you can do this in a good mood. So you guys have a pretty good Roth IRA is going by the time you got out of college and you didn't put any of it in, but you had to have an income tax filing to do that. That puts us our the Dave Ramsey show in the books.

Thanks, Rachel. Thanks, Jamie. Thanks, Kelly in the booth. We'll be back with you before you know it. In the meantime, remember, there's ultimately only one way to financial peace, and that's to walk daily with the Prince of Peace writes. Hey, it's Kelly, associate producer and phone screener for The Dave Ramsey Show. This episode is over, but if you heard about an event, product or service, it didn't have a chance to write it down.

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