The Problem With Laughing At Poor People

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I can’t believe I have to say it… you shouldn’t laugh at poor people…
But doing exactly that has become one of the most popular content genres in personal finance, and even if you are the one doing the laughing it’s still probably costing you money. Personal finance is not really that complicated, which is a problem for the people that have built entire media brands around the subject. Nobody is going to tune into a radio show, buy the latest book, watch a weekly upload or attend a two-day seminar that just says save money, avoid high interest debt and invest broadly on repeat.
Some of these people are making millions of dollars every year from their audience so they need to come up with new and exciting ways to say the same thing. One of the most popular ways to pad out personal finance content has become live reactions to people’s personal situations.
A guest will come on the show to discuss their personal financial situation and the host will give advice to the person to help them clear up their debt, earn additional income, reduce their expenses, or make investments. You might think this sounds like a harmless way for people in desperate situations to get some much-needed advice, and for the “finfluencers” audience to learn from other people’s mistakes.
Two years ago, when I first covered the problems with personal finance influencers, I said their reaction content was the least harmful thing they did when the alternative was making uneducated predictions about specific stocks or cryptos. But I was wrong, for three reasons… The first reason is that there is very little to learn from these shows and all you ARE going to get from them is financial stress. Did you know that having a hundred thousand dollars in credit card debt and choosing not to work full-time is bad for your personal finances? If so, you probably already know everything you could learn by watching people in extremely poor financial situations.
So why else do people watch it?
The Dave Ramsey show has over twenty-three MILLION listeners every week, Suze Orman had similar viewership when her show aired on CNBC and even on RU-vid the genre is insanely popular. Financial stress is at an all-time high. A 2022 survey conducted by CNBC found that 70% of Americans were stressed about their personal finances. Watching people that have made even worse personal financial decisions is a great coping mechanism to put personal worries into perspective, but it’s not a good long-term solution.
Watching this kind of personal finance content makes it easier to justify poor financial decisions because “at least it’s not as bad as that guy who financed a tesla while working part time at Arby’s.” These shows also bring on guests that are doing extremely well financially, which will only add to a listener’s financial stress. If the show can’t find an extremely wealthy guest to talk openly about their finances, the show host themselves will normally step up to tell everybody watching how rich they are.
Comparison is not only the thief of joy, but it can also motivate people to take unnecessary risks to catch up to people that are not representative of a normal financial situation. The producers behind these shows know that extreme financial situations sell well in today’s fight for attention and this leads to stories that are simply made up. Now I am not calling out anybody for directly lying to their audience, but these shows get millions of views and people are willing to do crazy things for their fifteen minutes of fame.
If the guest makes up a crazy story about being in terrible debt or making million dollars a month from drop shipping at the age of twelve, then that makes great content that will stand out even if it does come at the expense of the viewers financial understanding. Made up situations are not going to teach you anything about personal finance. You are probably not in the extreme financial situations of these guests, you don’t need to know how to most effectively cash out of your late stage startup and you already know that payday loans are bad. You are really watching this for entertainment, and that entertainment is not harmless.
So it’s time to learn How Money Works to find out the problems with laughing at poor people… yes really…

Опубликовано:

24 июл 2023

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Комментарии : 1,8 тыс.

@HowMoneyWorks 10 месяцев назад

@stevensanders6954 10 месяцев назад

Don't forget to add the newsletter link to your About! ✌️

@adamp6320 10 месяцев назад

You need to edit this video to remove the bit that says Dave Ramsey wants people to invest while getting out of debt. He doesn't. I hate the man myself, but let's use facts and not ignorance.

@andreiakopian 10 месяцев назад

RSS feed please

@That_One_Guy... 10 месяцев назад

@@adamp6320 it doesn't make him any better either way, he's still a scum.

@undercoverduck 10 месяцев назад

A little embarrassing to start your Patreon plug by saying your goal was to help people spot nefarious actors when you used to be sponsored by BetterHelp.

@TheSimba86 10 месяцев назад

and don't forget, most successful financial "gurus" make their money from selling courses to poor people

@samsonsoturian6013 10 месяцев назад

Or Ponzi schemes or their pretty looks getting them on camera

@Freakazoid12345 10 месяцев назад

That Ramsey guy is an idiot who makes money off of idiots.

@markoz673bajen8 10 месяцев назад

Lie Lopez

@Lonovavir 10 месяцев назад

As the old saying goes the best way to make money during a gold rush is by selling shovels to the miners.

@Freakazoid12345 10 месяцев назад

Yup, all these guys pretended to be rich and then actually got rich by selling B.S. to people. Tony Robbins, Tai Lopez, Gorden Ramsey, etc. etc.

@jonathanabgrall6075 10 месяцев назад

As someone who got basically tossed on the streets at 17 and had to crawl its way up to a comfortable middle-class lifestyle from the very bottom of society (my dad was a coke dealer and my mom is schizophrenic), ANYONE who laughs at poor people were most likely spoonfed their position. They're probably not even aware of it either because they never experienced less than the situation they were born in. Upwards mobility is a grueling process, most people can't do it. They rarely have the smarts, skills or education or fall prey to the endless amounts of traps society has set for them to keep them there. And it's not their fault, the system is built for it to be this way, so for the people who benefit the most from it to make fun of them is just incredibly cruel and uncalled for. Its despicable.

@picahudsoniaunflocked5426 10 месяцев назад

Disability happens too, which impoverishes you in many ways, + incidentally makes partners more likely to leave you, while making you extra vulnerable to abuse & control. Good times.

@piotrd.4850 10 месяцев назад

Upward mobility is simple to judge: had one had chance to be off reasonable start, or not.

@Promethalus 10 месяцев назад

tossed out at the same age, no father, chronically ill mother, today I have several degrees and a stable income, but man, is climbing hard

@thegr8malachite370 10 месяцев назад

@@Promethalusmay I ask how old you currently are now? I'm 23 and I still struggle to find earnings that will help me live more than just paycheck to paycheck...

@thewiirocks 10 месяцев назад

I wasn't tossed out on the streets, but I did grow up pretty poor and found myself trying to support a family at age 20. While I agree that most people won't have what it takes to be highly mobile, I also want to caveat that message a bit. Most people are able to improve their situations considerably thanks to time, experience, and learning to more carefully manage their finances. This works because many young people have to borrow against their future to get their start. Be it college, housing, a car, etc. This is where the debt becomes important. If young people can stay committed enough to pay down that debt (something which will get easier as they invariably command a higher salary over time), they will reach a point where they've paid off their existing debts and are able to live comfortably with a stable debt load mostly consisting of large purchases like cars and mortgage. They will likely even be able to put money away for retirement. So be careful with the doom and gloom. Most people can make it to comfortable middle-class. We don't want to discourage that.

@christophervelez1561 10 месяцев назад

I laugh at poor people all the time. Every morning when I get ready for work I see a poor person in the mirror haha.

@MikeBNumba6 10 месяцев назад

I laughed out at this comment and I don't know if I should feel bad or not

@braceyourselvesfortruth2492 10 месяцев назад

You must be poor, because you obviously have dragon thick skin. Well done, friend. Keep killing it.

@jesse_- 10 месяцев назад

Anyone that is born in the US and poor is not doing something right. I see immigrants come here with nothing and they make something of themselves, and so do their kids. I think many people born and raised here in the US take too much for granted and the poor life is too cushy compared to other nations. They have no motivations to do better in life, because they are content being poor. Being poor in the Inited States is like being upper middle class in many other countries. For instance, many people in India can’t even afford shoes, so they have to resort to going barefoot. Basically. If you are poor in the US, you are disabled and you cannot physically or mentally do what it takes to earn enough money. But, if you are anyone else and you are poor, that’s your fault.

@unmanned_mission 10 месяцев назад

I was worse than poor for a few years. I'd work for 700€/month and ending up with about 40€ after paying rent, transportation and such. Trying to keep up with the rest of the world was virtually impossible. I had a rough situation and a shitty job. I'd complain everyday about everything. It was all bad until I realized it was all my own fault for not valuing myself enough

@christophervelez1561 10 месяцев назад

@@unmanned_mission well I’m glad you got back up.

@dannyv2230 10 месяцев назад

My biggest problem with Dave is that he was millions in debt in his mid 20s. He was able to get out of it by filing for bankruptcy and getting help from his families connections. He has shit on people who got “government handouts” and people who go into debt. He is the definition of a hypocrite.

@rutchjohnson 10 месяцев назад

Wrong again

@hellfire0332 10 месяцев назад

I don't think that's a fair assessment of Dave Ramsey. He doesn't say, "Don't file for bankruptcy, ever", he just says bankruptcy should be a last resort. And his issue with government handouts is people who rely on them regularly or expect them to pull them out of debt without doing anything to help themselves. Just because he blew up his finances at a young age doesn't make him a hypocrite, either. That's like saying the guy who did drugs in his youth, but later got clean and is now telling kids, "Hey, don't be a dummy like me - don't do drugs".. is a hypocrite. He's not. He's learned the hard way through his own failures and is now sharing his wisdom so that others can avoid those traps.

@Watch-0w1 10 месяцев назад

@@hellfire0332 yeas but didn't they say he laught at people . Like laughing at the drug addict

@b1646717 10 месяцев назад

@rutchjohnson what are you Ramseys jock strap? Personal avenger?

@Profitglutton90 10 месяцев назад

So learning from past mistakes is actually a problem now? He repeatedly says he was dumb when when he made those decisions.

@SonNguyen-mk2wq 10 месяцев назад

The solution is always a moving goal post so scummy people can push the blame on poor people. "Oh you're poor? You should have gone to college. Oh you did? Well you should have studied science. Oh you're an engineer... Well, you wasted your money going to college. The real jobs are trades like plumbing. Oh...you're an ex plumber? Well, you should have studied harder and gone to college."

@KLondike5 10 месяцев назад

That's the fault of American culture just thinking that snap opinions are what's needed rather than some thinking and perhaps gathering of more information to make an informed opinion. I think part of the opinion issue is because we don't want to be caught not aware of anything. As if it's some sort of flaw to not be aware of all things.

@UnknownUser-nu8ny 10 месяцев назад

@@KLondike5 hate when people say it’s an American thing as if this isn’t prevalent is all cultures. Yes maybe to a higher degree in the states but not that much more then other societies. Reality is this is an issue of human nature.

@musthaf9 10 месяцев назад

@@KLondike5 not a fan of american culture, but that's hardly specifically american, my country has that way of thinking too

@SoulEraser000 10 месяцев назад

I'm sick of it. It's just American culture to shit on anyone who is doing better than you rather than pointing the finger at the elites who are actually screwing us over. It's mass scale cowardice, intellectually lazy, and borderline traitorous to your fellow working man because if we all banded together and fought as one, they would bend over to our will REALLY quickly. Instead, we have this culture of always shitting on the bottom of the totem pole, but people forget that shit piles up and eventually nobody will be safe if this keeps up.

@sn5301679 10 месяцев назад

@@KLondike5happen everywhere, even here in asia. But USA had debt culture.

@oonaofsauceland6354 10 месяцев назад

As a poor person I approve of this message.

@lazyken6468 10 месяцев назад

As a financial influencer, “Haha loser, don’t be poor”

@clusterstage 10 месяцев назад

As a poor AI, I'm doing the thing.

@betterthenespected 10 месяцев назад

As a human, I am doing poorly

@txdmsk 10 месяцев назад

Stop being poor. Seriously.

@thomasdarling2553 10 месяцев назад

Lol

@GiantRobotIdeon 10 месяцев назад

Being poor is simply lack of money - it does not mean a lack of work ethics, professionalism, intelligence, character, etc.

@energyturtle1267 10 месяцев назад

Trying to get Boomer relatives to understand this is literally impossible!

@austinduke8876 10 месяцев назад

I don't think I know a single financially disadvantaged person that has all four of those qualities.

@krzzzy19 10 месяцев назад

I'm sure Tyrone from the hood has all 4 of those qualities

@rendezvousonmemorylane 10 месяцев назад

@@austinduke8876 So what

@iironhide6209 10 месяцев назад

Well not inherently, but it can cause lack of money

@chrisjackson1215 10 месяцев назад

I remember when the housing market burst in the 2000s, I was a kid at the time. So many people here had to start going to the foodbank, and I remember there was one man who was angry he could only get one loaf of bread - he had a complete meltdown. Many of the poor people who used the foodbank started snickering at him and non-verbally mocking him. When he left I was so mad that I told people he was probably new to needing charity and they should think about what he's going through. Everyone looked so shocked like they hadn't even thought about how the man must be feeling. The world would be a *much* better place if everyone just had a little empathy.

@txdmsk 10 месяцев назад

You invested into a bubble? I have as much empathy for that as for the bankrupt cryptobros whom I repeatedly educated that the whole thing is a scam.

@iironhide6209 10 месяцев назад

@@txdmskthe crypto bubble is much more obvious than the housing one since it was literally taken for granted by banks, financial experts by and large, and professors. At least crypto is not endorsed by financial experts (not the YT ones, real ones) or the big banks or professors in finance

@dingfeldersmurfalot4560 10 месяцев назад

@@txdmsk He didn't say he invested; he said he was a kid, too, so him investing in much of anything is hardly likely. Anyway, he didn't say it. But if he did, he would have been among millions.

@txdmsk 10 месяцев назад

@@dingfeldersmurfalot4560 It was a "rhetorical you", or whatever it is called.

@joepiekl 10 месяцев назад

@@txdmsk Most people don't 'invest' into a bubble, they just try and buy a house to live in and after years of saving, don't really have the luxury of waiting for the perfect economic situation to make their purchase. If I'm 30 and I've got a new baby on the way, I have to buy the house now. Let's be honest, this is one of the realities of being poor. You're more susceptible to getting screwed over by problems that you had no part in causing. You get a mortgage, the economy crashes and your job disappears. Now you have a house nowhere near any jobs and you're in negative equity and can't sell it. The rich person (or increasingly company) who buys the house next door as an 'investment' can ride out the price drop and then 10 years later when the economy's recovered, they're raising rents 10% a year on some poor single parent family.

@dnyalslg 10 месяцев назад

I like how the common people are called “unsophisticated” investors while the “sophisticated” investors brought us the Great Recession 🙄

@terrytitus5291 10 месяцев назад

I'm a sophisticated investor who makes money in any economy!

@jordixboy 10 месяцев назад

Because they are greedy, nothing more. Has nothing to do with being sophisticated, smart or not .

@unmanned_mission 10 месяцев назад

Everyone likes calling themselves sophisticated Investor, when it's the simple things what makes you money

@verissimo_musica 10 месяцев назад

capitalism at its finest

@cw3le 10 месяцев назад

In the investment world, the term "sophisticated investor" refers to a person able to invest over a $100k at once. Those people have access to the investments that are far riskier than those available to us, the common people and it is considered that they possess a far greater financial education, which should make them be able to easily identify and handle the risks.

@veesalazar8605 10 месяцев назад

“Now I’m not calling anybody out for directly lying to their audience” *Next frame* : Multiple shots of Dave Ramsey’s show 😂

@terrytitus5291 10 месяцев назад

He showed everybody's picture,hypocritical

@Captain_Cinnamon 10 месяцев назад

We dont know who did it but we have a PRETTY GOOD IDEA WHO. HMMMMMM, MR DAVE?

@reprovedcandy 10 месяцев назад

Damn, you've really made me rethink my bad habit of laughing at the poor. Next time I step in front of the mirror, I'll try to do better.

@lisaahmari7199 9 месяцев назад

😅😂

@lephinor2458 4 месяца назад

Good on you.

@Lordofthedawgs 10 месяцев назад

These people built entire careers off of telling people “oh you have debt? Sell assets and pay it”. Well no shit anybody could’ve told you that.

@ronblack7870 10 месяцев назад

how about don't go into debt live within your means . don't go to college if you can't afford it.

@aig5429 10 месяцев назад

They helped me out i'm out of debt

@WhysafraidofCause 10 месяцев назад

as a man above said 'The solution is always a moving goal post so scummy people can push the blame on poor people. "Oh you're poor? You should have gone to college. Oh you did? Well you should have studied science. Oh you're an engineer... Well, you wasted your money going to college. The real jobs are trades like plumbing. Oh...you're an ex plumber? Well, you should have studied harder and gone to college."' @@ronblack7870

@nevermind824 10 месяцев назад

Seriously, how many engineering graduates are out of work? its a stupid example. The only time an engineer is out of work is if they're a bad worker, have a life crisis that temporarily interrupts their career or the industry moves and they need to relocate. Most people become poor by inflating their living standards whilst getting better paying jobs, which means they live paycheck to paycheck and get into debt.

@tiagodagostini 10 месяцев назад

Yes but people do not listen to anyone they want to listen to a BRAND. It is the exact reason why peopel buy purses from expensive companies and buy apple products.

@MultiKommandant 10 месяцев назад

Never look down on people you might end up joining later on, that's just hubris.

@Bioniking 2 месяца назад

Wise words from the upper house of government

@MasterFallenHero 10 месяцев назад

I agree with the bulk of what you're saying. But as a licensed financial advisor who worked with retail banking clients I can tell you the snowball method has a lot more validity than you'd expect. If a family is over leveraged with revolving debt, can't access a personal loan to consolidate and has limited liquidity it offers a good tool to pay down debt. Now I hear what you're saying. Personally, I think Ramsey's daughter is the bigger issue. When I was fresh from college, a firm I worked for hired her to speak. She seems to provide advice to young people that's in that same vein of destructive and misguided investment tactics.

@raspucin70 10 месяцев назад

What do you think about velocity financing?

@dingfeldersmurfalot4560 10 месяцев назад

And that daughter's name was Hunter Biden.

@Ryan-zv6xw 10 месяцев назад

I think the reason the snowball thing works with some Ramsey people is because they aren't in debt because of lack of income. His niche is not advising poor or working class people, his niche is advising rich people who have behavior problems. So if you are in debt because of the dopamine hit of buying, using things like the snowball method to substitute a different dopamine hit for that one can be helpful. He's basically trying to help gambling addicts trick themselves into staying out of the casinos.

@tiborsipos1174 10 месяцев назад

@@Ryan-zv6xw The snowball method is mathematically bad. But the general population is bad at mathematics too. And there is a true discipline issue too. Not a financial advisor, "only" someone who gives honest advice with the hobby of playing management games and watch finance channels. But recently evaluated my own loans and made a really simple excel sheet to compare the snowball method vs interest payout. Let me make a tiny, important detour. Most financial guru advice starts the following: "if you have spare money, what would be your best..." Avg Joe: "M8! Dafuq is spare money?" Most people live from paycheck to paycheck. Either because they credited their future to be where they are, or increased their lifestyle to match their income level instead increasing the gap between income and spending. Sadly no shame here, as you get older you play with better "what if..." scenarios. So whenever I do my debt spreadsheets I can not ignore the fact that our life more or less goes in cycles. 1 cycle = 1 paycheck or 1 month. Can you be disciplined enough to endure your plan for months/years? After a few weeks of overtime people do get burned out, because months pass, and your colossal debt barely shrank. Because most people asks for advice when they reach maxed out credit cards, a loan, a mortgage, personal loan, etc... I even checked a 3rd debt paying practice: monthly payout rate. Because paying out your highest monthly payment can be a big relief in your monthly budget too. Each day I grinded my gears over the credit card and the loan with twice as much monthly payment... Well... the big issue with credit card is the "minimum monthly debit" rule. Its harder to compare number. The scenario: you have a CC with 2000£, 29% interest (yeah... Bank of England put basic interest up a bit too high) and monthly payment of 60£ vs a loan with 1600£ left, 22% interest 130£ of monthly payment. What made it harder is the leftover time. Because the loan has 17 month left, but the CC is 5 years unless I increase the monthly pay. And safety perspective made the decision way harder. Payout the loan and you're in a 70£ better position compare to the other. or payout the CC because on the long term the interest bite you back more. But think about the safety cushion... The comparison spreadsheet helped in the end. CC was the decision once you see how many cycles (months) you win and the amount you lose on interests But it still lingers in my mind. Because I am still thinking increasing the monthly budget could be better. And for some people it CAN be. Because one missed payment can and will ruin their calculation. So for someone with maxed out budget their first decision could be the highest monthly payment so secure the rest... But with wisdom its easy to say "don't even get loans and credit unless you know you can pay it back earlier, because whatever you purchased increase your performance = aka your monthly gap between income and spending" :D

@fedyx1544 10 месяцев назад

@@tiborsipos1174why tf would you go in credit card debt in the first place unless you have emergency needs

@darkdudironaji 10 месяцев назад

I would like to point out an inaccuracy. Dave does NOT say to save a nest egg while paying off debt. He says to do all of the steps 1 at a time until the last few. First, get $1000 for emergencies, THEN pay off all of your debts using the debt snowball, THEN get a 3-6 month nest egg, THEN start investing.

@argentaegis 10 месяцев назад

To be fair, student loans are normally low interest, and included in Baby Step 2. Pure math wise, they're usually good pets. Don't get me wrong, recent payment halt says people would spend the difference on hookers and blow, not 401k, but the math works out.

@darkdudironaji 10 месяцев назад

@@argentaegis The thing about student loans is that the minimum payment is often less than the interest, and most people only pay the minimum. They should be paying it off for that reason alone.

@argentaegis 10 месяцев назад

@darkdudironaji I tend to agree, but the math says you're probably better in the market. Given the likelihood of student loan forgiveness in the next 10 years, probably a good mathematical bet.

@darkdudironaji 10 месяцев назад

@@argentaegis I would never bet on the government doing something to benefit me financially. Lol I see no problem in paying it off slowly, but I think you need a plan. Find out how much you have to pay in order to pay it off in say, 10 years. And just make that monthly payment.

@argentaegis 10 месяцев назад

@@darkdudironaji Personally, I'd lean more toward the do or don't (and I did). Still, "try to buy votes with taxpayer money" is a pretty reliable bet for public policy. Almost as reliable as "blame the other team for not being able to buy votes". I wouldn't rely on it, but if the math is already good enough, it's all gravy. Of course, 90+ percent would just spend the diff on consumption rather than investment.

@matthew1039 10 месяцев назад

Comparison is a thief of joy. I've never heard someone say that. It hit the right spot. Depressing spot, but the right spot

@tyler951 10 месяцев назад

Its super true. I am doing very well compared to the average and am generally happy but it doesn't take long scrolling through my Facebook feed looking at more OUTWARDLY successful friends in both family status and wealth and it's easy to start to get bummed out. Just being happy with what you have going on is a great place to be if you can get there.

@matthew1039 10 месяцев назад

@@tyler951 difficult when it's so in your face all the time I suppose.

@weird-guy 10 месяцев назад

Aren’t you jealous of the fake millionaire that is scamming his audience and one year later he became a real millionaire 😢

@Idlehands13 2 месяца назад

Roosevelt. I first heard it in my philosophy class. I heard it because I was constantly comparing myself to some people around me and how depressing that whole thing was…

@danielintheantipodes6741 10 месяцев назад

It is never okay to laugh at people, but it is especially revolting when the victim is poor. Usually not through their own fault either. The rich, including self-made rich, don't get how much help they have had along the way.

@88Nieznany88 10 месяцев назад

Or how lucky they were.

@energyturtle1267 10 месяцев назад

Seriously, the truest comment ever!

@NotLordAsshat 10 месяцев назад

One of the guys shown was a guy named Graham that acts like he made it on RU-vid completely based on the quality of his videos and "algorithm tricks" when in reality he made millions in real estate before even starting RU-vid and used that to make his channel successful

@markoz673bajen8 10 месяцев назад

People laugh at Americans. They're the originators of Comedy. Just like Joe Bye them. Can't yall just take a joke. Jeezzz

@cetriyasArtnComicsChannel 10 месяцев назад

Yep, you don't choose when, where to whom (type of family, lack of family or cultural values) or in what body (health, height, beauty, ect) you're born into. Yep all of that effects so much of your financial situation.

@MonkeyPooFlingers 10 месяцев назад

As a poor person, i laugh at whatever new kick to the balls life decides to throw at me!...

@aaronblaylock2092 10 месяцев назад

Your balls must be pretty resilient by now. Congratulations.

@MonkeyPooFlingers 10 месяцев назад

@@aaronblaylock2092 mostly just numb at this point

@yashitdonttouch 10 месяцев назад

Professional

@turtleanton6539 5 месяцев назад

😊

@tw8464 29 дней назад

Same. If we're not starving to death, it can be helpful to keep our sense of humor to deal with our situation. But I don't blame anyone who is really suffering and many are who has lost the sense of humor. Humor can only take one so far.

@WisdomWave25 10 месяцев назад

Some honourable mentions: NFT scams, crypto pumping, rug pulls.

@samsonsoturian6013 10 месяцев назад

Greedy bastards. That's the theme

@undefinednotfound 10 месяцев назад

meow

@ParticularlyBaptist 10 месяцев назад

How is Dave Ramsey even in the same sentence as these scams? Is promoting saving and paying off debt really that harmful?

@Lonovavir 10 месяцев назад

Drop shipping, becoming an Amazon affiliate, day trade courses and Forex classes.

@samsonsoturian6013 10 месяцев назад

@@ParticularlyBaptist He's talking about bad advise

@josephmassaro 10 месяцев назад

Most self help gurus of any stripe didn't become rich employing their own advice. They got rich selling their own advice. Nothing wrong with that, but context matters.

@probablythedm1669 9 месяцев назад

And the people actually getting government handouts and bailouts are rich people, not the poor people who actually need them. I swear the USA is like a cult worshiping the vampires that bleed them dry, because everyone is convinced they're just a few days from being one of the vampires and then it'll be their time to bleed everyone else. As an outsider looking in, it's horrifying!

@Wary_Of_Extremes 2 месяца назад

Definitely. Some of them, like some youtubers, are honest enough to say 'I'm showing you my small businesses and telling you my real estate/investing experience...but honestly thank you for watching because youtube is paying me more than that now.' 'Reyes the Entrepreneur' iirc...shows his vending machines, clothes printing business, etc...but admitted that youtube pay eclipsed that work itself at some point. Graham Stephan's real estate experience interested me. I didn't care as much for any 'jump on this bandwagon' advice or promoting, but he's far from the worst for that in his colleague/friend group. I guess he turned to the darkside too much for some with some crypto bandwagon stuff that went belly up. Ramsey is totally against people making the leveraged real estate mistakes he made. Orman, I remember reading had a lot of 'play it very safe' rules for her own finances, like AAA bonds being a huge part of her finances. At her wealth, why take big risks, I guess. I think it was Groucho Marx or Charlie Chapman...one of the old entertainers from a century ago, who had an appearance at Wall St for some function or another. When asked, he said he had just all bonds. Some stock broker or someone said 'Those don't pay much.' 'It does if you have a lot of them.' was Groucho's (iirc) response. I remember a PBS break, during one of her specials, and Orman would take the odd call. One was a young woman in her early 20's, had let's say $20,000 in today's money (was $15k years ago), who was asking if she should go ahead and buy a $3000 kayak and so on. Orman asked her if she was set for life for money (of course not) and if she had enough disability coverage, that would accept kayak accident, if she got hurt and couldn't earn an income. I thought it was a bit overkill, but then again she was giving financial advice, not how to enjoy thrills advice.

@luvbeinghiswife1148 10 месяцев назад

Anyone who laughs at a poor person needs to know that in a second, you can lose it all. Be humble in all ways, in all things. Peace and Love to all. 💝💐

@jordy3401 9 месяцев назад

Absolutely! We’re one disaster, one missed check, one sick day, one mishap and so on to being homeless than being rich.

@robertmariano 10 месяцев назад

This video captures what I always felt about this style of show. It reminds me of the 90s and 2000s talk shows that featured people with obvious social and psychological problems. I think people that really enjoy these shows have schadenfreude, the people enjoy seeing the misery in other people. Good video

@augustcanyon3438 10 месяцев назад

If people want sound financial advice they should watch PSA's from the 1940's and 1950's about money management, it's free, simple to understand and learn, is timeless, and respectful.

@dalton6108 10 месяцев назад

Where can I find it

@jerryvelasquez9080 10 месяцев назад

What is PSA? and where can I find it.

@rosieespinozaruiz6939 3 месяца назад

I think PSA’s might be public service announcement

@passenger175 10 месяцев назад

I made a cup of coffee AT HOME today. On my way to financial independence! /s

@duo317 10 месяцев назад

If I learned anything from hmw is that making my own coffee will make me a millionaire.

@stevechance150 10 месяцев назад

Are you still eating that avocado toast from the hipster coffee shop?! It's that avocado toast that's making all the difference!!!!

@libertarian4323 10 месяцев назад

@@stevechance150 Make your own avocado toast!

@byteme0000 3 месяца назад

I actually chuckled at that one.😂

@brianolsen396 10 месяцев назад

Personally, what these shows was like a consistent reminder that kept me in check. So i benefited from the constant reminder of the importance of savings and retirement planning in this world of keeping up with the jones

@donaldlyons17 10 месяцев назад

Why do you need constant reminders to keep yourself in check? You don't think some something is different about that?

@brianolsen396 10 месяцев назад

@@donaldlyons17 it’s not a need, just helpful to remind myself to keep an eye on it. I find the more I immerse myself into something (personal finance, gym/diet, learning) the more I watch videos covering it and stay learning/thinking on the topic

@The-Dirty-Straw 6 месяцев назад

@@donaldlyons17Youe having the exact same condescending manner this video is speaking about. Let the guy live lol.

@hatman4818 10 месяцев назад

I laugh at poor people... then slowly start crying in the middle of it like that scene from Interstellar where Mathew McConaughey gets years of old messages from his kids all at once, because I'm not that well off either, and there's nothing more depressing than the decay of western society and a growing wage gap that affects almost everyone fuelled by coorporate and politcal incompetence. There are ways out of this mess on an individual level, but it involves thinking outside the box and breaking a few social rules. I helped my friend out of a dark place, squeezed by sh@t rentals, sh@t landlords, sh@t bosses, sh@t roommates, etc, by convincing him to live in his car. I helped him convert it into a simple camper for cheap. It put his budget in the green for the first time in ages, allowed him to escape landlords taking half his income and ready to evict him at the drop of a hat, and gave him some financial stability through job hopping till he could find one he could actually stay at and enjoy for a while. It got him through 4 months until 3 of his friends split a mortgage on the house. They all have GFs too. So that's literally 8 people living in a normal house. That too is a broken rule, millenials and gen Z are having to treat houses as apartment buildings since zoning commissions refuse to approve affordable housing. And thats a more literal rule break too, zoning commissions have evicted people out of their mortgaged homes because they werent living in a "single family residential" plot as a single family. Multiple state supreme courts have had to uphold a homeowners right to actually own their own god damn home and live in it as they see fit. So... There are still ways to move up in the world, even from near rock bottom... But the fact that those ways bare little resemblance to the american dream of hard work paying off for real, and instead include things like DECIDING to be homeless because rent is ret@rded, and treating a regular house as an apartment building... These are signs of the decay of western society, and the last people I blame for that are people just entering the economy. And it does affect everyone. Richer people SHOULD care about people being able to live a normal life, because in some form or another, it will affect them too. There are multimillion dollar apartments in California that have a sea of homeless people living right in front of them. I groan everytime I hear upper middle and upper class people complain about the homelessness epedemic bringing down their hyperinflated property values and destroying their cities... No mother f@cker, this is the bed you made, now lay in it. When you make basic necessities like housing unaffordable to most americans, when you fail to update wages to be commensurate with inflation while making record breaking profits, you deserve to be reminded of the consequences of your actions every f@cking day. I'm sure the French royalty lived in harmonious peace right up until the moment the revolution kicked off. Literally, the upper class is playing with fire right now.

@sheldoniusRex 10 месяцев назад

All of the problems you just listed are caused by government. Mostly local government, but also Federal government. Perhaps you and your neighbors should do some research in to who you keep voting for.

@nategray4989 10 месяцев назад

@@sheldoniusRexthe voting part is interesting cause I assume some elections are rigged like crazy

@tomorrow4eva 10 месяцев назад

@@sheldoniusRex Yes and no. Governments fail in these areas because rich people, including politicians, try to stack the rules in their favour. Ultimately it is people that seek profit and aren't afraid to cause human misery to get it that got us here.

@ArlecchinoAKAFather 10 месяцев назад

Basically it's people taking advantage of desperate people. It's predatory and disgusting

@zachanikwano 10 месяцев назад

If you have a habit of laughing at other people, just in general, maybe you’re a toxic person. Always put yourself in someone else shoes, and think about how you want to be treated.

@donaldlyons17 10 месяцев назад

I don't know how 1/2 the finance RU-vidrs would exist if they put themselves in the shoes of others. More than one of them compare themselves to others...... And they like to make a ton of optimal but super simple assumptions.

@aerodynamicist4 10 месяцев назад

~ 6:00 I totally understand that paying off the largest debts first, obviously interest on it's own will significantly overshadow the lower balances. However, for some people, they need to get that ball rolling, and paying off the highest balances first can seem like a monumental task. Most people who find themselves in debts like that lack the financial responsibility to keep them paid down in the first place. So the psychology behind paying off the smallest balances first is rather sound- It shows the individual that the debt can be paid down, and paying off each debt on its own can help motivate the person to continue paying off their higher bills. I've seen this myself over and over, people celebrating paying off all their small balances, and using that motivation to take on the big balances. Yes, interest was most likely charged on the big balances, but the mental boost was bigger.

@jesse_- 10 месяцев назад

Ramsey just tried to give rile of thumb solutions, which work for most people. Some people have unique situations, and it may be better to pay off a smaller debt with a high rate, than a larger debt with a small rate.

@TNJVidz 9 месяцев назад

I think the only time the debt snowball makes sense is when you have many debts and need to clear out some of those minimum payments so you can pay extra on your bigger high interest debts. Other than that, there's no benefit. If you need a mental boost to pay off your debt, you're still not understanding how bad your situation is or what the math on the time it's going to take to get out of debt looks like.

@Michael-vf2mw 3 месяца назад

@@TNJVidz That may be true, but people who are stupid in the understanding department also need to get out of debt. There are probably people for whom the snowball psychic benefits are worth it in practice. The issue I have is with how Dave is so dogmatic about it. The default should be to do the most mathematically/financially logical thing - ie: pay off high interests first. But as this video points out, Dave usually sucks at giving personalized advice.

@willtyler 10 месяцев назад

Ramsey should just tell his audience to walk away from timeshares, especially if the note is held by the timeshare company. It's generally not even reported to credit agencies. They're toothless.

@eddenoy321 10 месяцев назад

He likely gets money from timeshare pirate companies.

@MikeThePike316 10 месяцев назад

He's literally dedicated 1/3 of an episode talking about the scummy timeshare companies. Where have you been, under a rock?

@eddenoy321 10 месяцев назад

@@MikeThePike316 He did that after he became a media king pandering to the lowest and most ignorant rungs of American fools.

@willtyler 10 месяцев назад

@@MikeThePike316 are you saying that if someone doesn't follow Dave Ramsey and hang on his every word that they're living under a rock? My comment stands. He shouldn't have suggested anyone pay to "exit" a timeshare. The best advice, IMO. Is to simply stop paying and walk away. Why feel obligated to pay a "debt" to a timeshare scam?

@anitagofradump5195 10 месяцев назад

As a poor person, the only thing that motivates me to wake up in the morning to work minimum wage is being laughed at by crypto bros. I am also very thankful for tiktok day traders who keep me driven enough to decide which of my bills I'm going to forgo paying this month so i can have a place to sleep. /s

@Sovnarkom 10 месяцев назад

sell the car 😂

@ClimateKiller 10 месяцев назад

Your problem was not joining the sigma grindset before becoming poor. You’re welcome.

@Lonovavir 10 месяцев назад

You can laugh at the crypto bros now, they've lost most of their (fake) money.

@weird-guy 10 месяцев назад

Like the advice sell what you have, meanwhile almost everything you have are broken, outadated or worthless😂

@donaldlyons17 10 месяцев назад

@@weird-guy Yeah and the few things that are not are things one needs like their car, house, educational stuff, work tools.....

@magnusagashi7377 10 месяцев назад

Building wealth involves developing good habits like regularly putting money away in intervals for solid investments. Financial management is a crucial topic that most tend to shy away from, and ends up haunting them in the near future. Putting our time and effort in activities and investments that will yield a profitable return in the future is what we should be aiming for. Success depends on the actions or steps you take to achieve it. "You're not going to remember those expensive shoes you bought ten years ago, but you will remember every single morning when you look at your bank account that extra 0 in there. I promise, that's going to be way more fun to look at everyday", I pray that anyone who reads this will be successful in life

@theresathomas3849 10 месяцев назад

You're absolutely right, to be a successful in life required not only hard work but awareness and sometime opportunity at the moment, investment remains the best way to start.

@chrisharrison-ir5wb 10 месяцев назад

@@theresathomas3849I agree with you. Investment is the key to sustaining your financial longevity. And not just any investment but an investment with guaranteed return.

@fatimagonimodu8434 10 месяцев назад

yeah investment is the key to sustaining your financial longevity but venturing into any legit investment or business without a proper guidance of an expert can lead to great loss too.

@ashtonakhtar5892 10 месяцев назад

@@fatimagonimodu8434Exactly and many of us don't know where to invest our money so we invest it on wrong place and to the wrong people

@stephenadiela-xi6nd 10 месяцев назад

@@ashtonakhtar5892 Obviously talking about been successful, I know I am blessed if not I wouldn't have met someone who is as spectacular as Debra Barton

@ianhall3945 10 месяцев назад

Never laugh at anyone wage or profession.

@Ileanapros 10 месяцев назад

Sometimes life throws us bad situations like sickness, death of a caretaker etc, getting sick alone in America will bankrupt you many times over. Financial advice is not a one sized fits all especially on a larger scale

@cgleason9976 10 месяцев назад

Ramsey is good for people who have no money management skills. For someone who has the basics covered, he's about as useful as a 3rd grade math class to Einstein

@2011blueman 10 месяцев назад

I don't think he's good for people with no money management skills either. His advice is often genuinely terrible and/or wrong.

@cgleason9976 10 месяцев назад

@2011blueman what are your examples? In general he advises people to stay out of debt, not buy expensive cars, build an emergency savings, and not over leverage yourself. All good principles for someone who has no experience managing money. Once the basics are in place, then people can experiment with other management strategies.

@theshaunsta 10 месяцев назад

Unfortunately there’s a ton of people who don’t have the basics down

@cgleason9976 10 месяцев назад

@theshaunsta which is why ramsey is good. Learn the dangers of over leveraging with no safety net then begin to utilize leverage strategies within your risk tolerance

@freeindeed8416 10 месяцев назад

@@2011bluemanHis advice got many people out of debt

@allegedwriter 10 месяцев назад

That's why I like Caleb Hammer. He brings people on and does a deep, deep dive into their finances and gives them a detailed plan for turning it around.

@saagisharon8595 10 месяцев назад

I liked watching him but it got to depressing for me

@weird-guy 10 месяцев назад

By yelling for entertainment

@The-Dirty-Straw 6 месяцев назад

Honestly many (not all) of the financial gurus mentioned in this video helped me to some extent. Just know to pick out the good info, from the mediocre. That's it

@margotk538 10 месяцев назад

I listened to many Dave Ramsey’s video and I can’t say he laughed at poor people. He’s actually quite empathetic to most people’s unfortunate situation, such as single parents or kids with irresponsible parents. He does get upset when people made stupid decisions and he’s blunt about it. I do think sometimes the callers who made the call do need to hear the tough love. Some of them made decisions so bad that they need a clear wake up call. But most of the time Dave do give them the financial course for free after and ask them to do a follow up call. I don’t think his criticism was that bad.

@MikeThePike316 10 месяцев назад

Anyone who listens to/watches the show would know. The people here have formed a caricature of someone based on a few RU-vid clips whilst ignoring the greater context and body of work. They probably have no clue of how Ramsey bought debt from creditors only to turn around and forgive the debtors. They have no clue how Ramsey has bought gas for dozens and dozens of people in one go, tallying up in commas. They have no clue of the number of free products and services he's given away. It's one thing if people wanna be critical after knowing all the facts, but it's just plain dumb when people form an opinion while clearly demonstrating they know nothing.

@gth804f 10 месяцев назад

That's not correct. "IF you need $600 to make it to next month during a pandemeconomy, your life is screwed up!" Doesn't sound like empathy to me.

@MikeThePike316 10 месяцев назад

@@gth804f You're ignoring the context. He was pointing out the obvious fact that $600 will not cure someone's poverty and, if it did, that person has even bigger problems. That is, problems that $600 will not, and cannot, solve. This is not a lack of empathy. It's pointing out the most obvious logical conclusion. You wanna talk about empathy, but have you actually listened to the show to hear him grieve with a caller who recently lost a loved one? Have you actually listened to the show when he's given freebies to people who are in desperate need? Probably not bc you, like many others here, only care about RU-vid clips and not the greater context.

@toddspangler6669 10 месяцев назад

Dave reminds me of when my Dad said, "You need to get a better job.". At the time I thought he was being an ass, but he was 100% right. I later got a better job and was much better off because of it. I think sometimes you need a shock to the system to get you to change. Having said that, I think going after small debt 1st regardless of interest rate is "Stupid!"...see what I did there. 😅

@tomlxyz 10 месяцев назад

Insulting people isn't very productive tho, that's more entertainment than anything

@sillyhead5 10 месяцев назад

One of my favorite things about this channel is how deeply-set into the video the "it's time to learn how money works" title card is. It's like having a cold open so long that you've forgotten that the substance hasn't even started yet, and you're in for a treat.

@TimErwin 10 месяцев назад

Most of the financial "gurus" got rich off things an average person will never have. A lot of finance RU-vidrs had rich parents help them out or started in six-figure jobs right out of college. Yet these are the people giving financial advice to someone making $10/hr. My favorites are when Finance RU-vidrs do videos on how to retire early....when most of their retirement money comes from being a famous youtuber. 🙄

@JakoWako 10 месяцев назад

While I do frown upon all of these “gurus” generalized advice, I have to admit the benefit of receiving ten pieces of basic good advice outweighs one or two pieces of bad advice. You’d be surprised how few Americans understand what interest is! The alternative for poor people is no guidance.

@TimErwin 10 месяцев назад

@@JakoWako It's nice to know about interest and financial concepts, but they mean nothing to someone who can't find 2 extra pennies to rub together. A "guru" should be teaching poorer people how to get to the point where they can have extra money. But because so many of these so-called experts had privileged backgrounds, they couldn't even tell poorer people how to do that.

@donaldlyons17 10 месяцев назад

Yeah but for the most part many of them made way more than the legal minimum AND they had cheap expenses compared to their incomes. So they had good conditions overall to avoid extreme poverty.... In the past I could live on $600 a month but I can't expect everyone to be able to afford to live on so little while many financial gurus do....

@The-Dirty-Straw 6 месяцев назад

@@TimErwinTheres plenty of those gurus you mentioned there too. So what? There's gurus for everything. You pick and choose. Or not at all. Or know how to synthesize the most useful info only, and zone out of that space. Do people find this difficult ?

@16randomcharacters 10 месяцев назад

So these people are really just Jerry Springer but more polished. That actually makes a huge amount of sense.

@tyreejones1074 10 месяцев назад

I like watching Caleb hammer. Personally he’s helped me put my own financial situation into perspective and start doing better

@xlerb2286 10 месяцев назад

Not a huge Dave Ramsey fan, but credit where credit is due. I agree he's not a professional financial consultant but it's amazing how many people simply need to hear "spend less than you make, pay off your debt, use credit sparingly". I've got friends, and relatives of friends that have started turning their lives around following his financial advice. Which is simple and actionable. It's not always optimal but there's something to be said for keeping it simple especially for people that are just starting to get a handle on their finances. As for the whole time share exit sponsorship, I have no opinion. He certainly could have been more cautious in his research about them before signing a sponsorship deal with them and he could have kept a closer eye on what they were doing. But I don't know that there was any intent to mislead. The courts will sort it out. Like I say, I'm not a huge Ramsey fan but I know people he's helped and I can't ignore that.

@jesse_- 10 месяцев назад

And people that make dumb decisions are going to be laughed at. We have all laughed at people that make dumb decisions.

@xlerb2286 10 месяцев назад

@@jesse_- Oh yes, and I laugh at myself too. I figure I can laugh or I can cry. So long as I learned something and don't make the same mistake again it's all good. So I'd rather laugh about it.

@tomlxyz 10 месяцев назад

@@jesse_-it's only dumb if you do it despite knowing better.

@donaldlyons17 10 месяцев назад

@@tomlxyz Yeah these people don't take into account what people know and what their options are at the time.

@Kona-iw4qu 10 месяцев назад

Agreed. I personally think Dave Ramsey is distastefully cocky and arrogant, especially in his interactions with some people who call in, but you can't deny that he has done an incredible job helping MANY people get out of debt, me included. I have never paid him or his company a cent through his FPU or books, yet I have learned an immeasurable amount about my personal finances and I've completely changed my mindset about money simply watching his videos and learning from the mistakes of others. I'll always be grateful to these kinds of financial advice content creators for their free content, despite my misgivings about their eclectic personalities.

@randomzoe 10 месяцев назад

I love the Dave Ramsey show. It reduces my stress, actually. It reminds me that there is no "magic pill", you just should do your job, and lower your expenses. It feels that I'm on the right way with this show. And it lowers my anxiety.

@gsogymrat 9 месяцев назад

Dave Ramsey is basically Judge Judy but with finance.

@Bigdog5400 10 месяцев назад

This video made me realize why I like Caleb Hammer so much. He gives advice based on the guest’s situation

@joshua_lee732 10 месяцев назад

Correction, Ramsey actually says not to invest while paying off debt, but does ask you to tithe

@TheGahta 10 месяцев назад

Isnt that worse advice?

@jesse_- 10 месяцев назад

Ramsey is great! He has taught and motivated millions of people get out of debt and built wealth.

@TheGahta 10 месяцев назад

@@jesse_- your source on this is what? 😆

@libertarian4323 10 месяцев назад

God told me to put my tithe in an index fund. My God is good with money.

@freeindeed8416 10 месяцев назад

@@TheGahtaMy source is myself

@genotriana3882 10 месяцев назад

I’ve watched many of those shows. They don’t just laugh at poor people. If financial planning was so easy, why are their certifications and professionals who do it for a living. Decisions are often made emotionally and we need reminders from people who are thinking logically.

@the_expidition427 9 месяцев назад

Rationally* People have faulty logic at times

@lithoplanemasters6522 4 месяца назад

A lot of those are for business, things like maximizing your tax returns and so on. When you get to the nitty gritty of any field you'll find just how complex it can get, but for an average person just listening to general strategies is enough. Those experts help with getting the most if you do a LOT of financing.

@matthewdancz9152 10 месяцев назад

Yeah, any individual has no control over whether they get or hold a job. The control is squarely in the hands of the employer to decide who they want to fill the position they have open. I am poor, because there is an extreme lack of knowledge about how the job market in a car centric country actually works.

@ampersignia 10 месяцев назад

I distinctly remember posting on the Dave Ramsey subreddit about which mortgage to get for my home - 15 yr or 30 yr. I understood the math for the 15 yr one but it just wasn’t affordable. The subreddit largely encouraged 15 yr of course but a couple people said it wasn’t realistic. I ended up taking the 30 yr. I’m glad about it because then I’m not housepoor for a decade and a half just for the eventual lack of a mortgage. Who knows what my life will look like then and if I’ll always want to be on the hook for huge monthly costs until then? It would be such a polarized life progression - housepoor and always feeling the need to pursue jobs with highest pay above all else until the moment I suddenly don’t need to. I would rather not be so stressed day to day.

@ParticularlyBaptist 10 месяцев назад

So if you can't afford the 15 year then you can't afford the house... Isn't that Ramsey's whole point? You should only buy things that you can afford. Now you have doubled your interest payment and will be a lot more broke than had you done a 15 year on a lower priced house, or you had saved more before pulling the trigger.

@Demopans5990 10 месяцев назад

@@ParticularlyBaptist Hence why parents are footing parts of a big down payment on a house (50% in some cases in expensive areas) for their kids, with the only requirement that they pass it forward and do the same for their kids

@kylesizemore2751 10 месяцев назад

@@ParticularlyBaptistthis is such a brain dead take. If debt is cheap (interest is lower than 5%) in a world where average stock returns are 8-11% and inflation exists a 30 year mortgage where the difference in monthly payments is invested has always out performed paying off a 15 year mortgage. In the high interest rate world we have now a 15 year almost makes sense but for the last several decades it's been a losing choice for people that can't do math.

@JakoWako 10 месяцев назад

⁠⁠@@ParticularlyBaptistOr he moves that extra cash flow into investments with a higher return than the interest rate on the mortgage. Could also put more money into a retirement account, able to afford a larger emergency fund, enjoy life more by having more expendable income, etc.

@ampersignia 10 месяцев назад

@@kylesizemore2751 That's what I was thinking. I got a 2.5% rate with low PMI and my upfront closing costs were negated by the brokerage company I used giving credit. I just pay an extra 10% over my monthly mortgage payment to principal so it'll be more like a 27 year mortgage in the end. And I invest about 10-15% of my income now. It's not a perfect strategy but I make more long term moves because I'm not constrained by the need to allocate half my income towards mortgage.

@shadowlibrarian400 10 месяцев назад

It’s like Dr. Phil all over again, laughing at troubled people.

@ericl452 Месяц назад

The debt snowball makes sense from a psychological sense. Most people need the "instant gratification" to continue with something. If people were logical with their money, they wouldn't be in the bad financial situation to start with.

@gregstone8424 5 месяцев назад

These shows and their hosts need people to continue to be in poor financial situations so they keep paying attention & buying courses and books

@carpelunam 10 месяцев назад

Dave Ramsey opposes index funds and truthfully that's all I need to hear.

@JohnSmith-gz5pm 10 месяцев назад

His reasoning behind that is if people (most investors are ruled by emotions and bad market headlines) are far more likely to sell and actively trade an index fund and be in and out of them since they trade just like stocks, thus not building as much if any wealth. People who invest in mutual funds are more likely to hold onto it since they can only trade once a day. There are a lot of 401K millionaires because they never sold and actively traded their mutual funds like index fund investors often do.

@wholeNwon 10 месяцев назад

@@JohnSmith-gz5pm I doubt whether there is a factual basis for that. Over a lifetime of investing, (compounding) fees are extremely important. That alone enhances the superiority of broad index etfs., if nothing else.

@austinduke8876 10 месяцев назад

He doesn't oppose them, he just doesn't favor them.

@wholeNwon 10 месяцев назад

@@austinduke8876 Then he's very foolish and defies the math.

@whasian2007 10 месяцев назад

@@JohnSmith-gz5pm I don't think you have any factual basis on that especially since from your comment you are not well informed. 1) index funds are mutual funds, they're just a subset based on the management style of the fund of being passively managed. 2) index funds cannot be traded throughout the day because they are mutual funds that are handled at the end of the day. What you meant to say but doubt you know the difference is an indexed etf that can be traded throughout the day. 3) a 401k is irrelevant because it can hold indexed funds as well as mutual funds and just because there are more mutual funds options based on the 401k isn't the reason they buy and hold in those accounts, most people don't even know what they're invested in in their 401k anyways.

@hunter99225 10 месяцев назад

Part of the point of many of these shows is to make you feel better about your own cruddy financial situation. Learning about Personal Finance, spending less, saving more, and budgeting does not make people who are already struggling feel good. However, hearing about others making ridiculous financial decisions allows for one to think "Well at least I am not that bad."

@luisfilipe2023 10 месяцев назад

The point of the snowball method is to keep people motivated in their journey. It’s worthless to have a method that is mathematically sound if it’s not practical

@Theguyoverthere603 10 месяцев назад

There’s a balance to be had. Doing something that mathematically makes debt worse isn’t gonna motivate people in the long run.

@SilentEire 10 месяцев назад

@@Theguyoverthere603 it’s at least a great way to get started. Then you knock a couple out, clear your head and start thinking a bit more strategically

@BTrain-is8ch 10 месяцев назад

@@Theguyoverthere603 It's not a balance. You do whatever you need to do to get it done. If that means a snowball and you pay a bit more interest so be it. If the math does the job for you and that's enough to keep you disciplined and motivated even when things go wrong that's great too. If the math worked for most people they wouldn't be in the situations they're in.

@benice2cats198 10 месяцев назад

My mother is Dave Ramsey sycophant. She never made much money but my father made a lot (rocket scientist) and passed away suddenly leaving her a millionaire after everything. She doesn’t understand why I can’t be more successful financially and thinks I’m just stupid with money. I earn 2x what she did as a nurse. She just doesn’t understand how different the climate is for my generation. Thank you for making this. I hate the boomer financial influencers so much as they come from a generation that had so much more in their favor.

@picahudsoniaunflocked5426 10 месяцев назад

I hate that when parents do this stuff. Like why have a kid if you'll let them be as scared & insecure & broke as you used to be, then demean them & refuse to listen to their personal experiences or the copious data that shows that a babyGenX-Mill-elderZoomer who has entered the labour markets (aka every generation under your Mom) has spent their entire working lives so far with flat or contracting wages. You can't do a lot of personal finance with society-level financial f*ckery designed to accelerate wealth inequality.

@HorrorFreak68 2 месяца назад

OMG give me a break. How the Hell did boomers have more in their favor??? Boomers, particularly female ones, had it awful. Today, anyone can be anything they want. It has never been easier for the average person to become wealthy.

@DomesticTourist001 9 месяцев назад

Caleb hammer is someone I watch that never laughs at the poor he is trying to help. Sure he gets mad and frustrated with them as he attempts to hold them accountable for their actions and excuses but he never acts better than them.

@matthewcaldwell8100 6 месяцев назад

He is no better. It's misfortune pornography either way.

@djpuplex 10 месяцев назад

Many of these people are real despicable and outright scammers.

@terrytitus5291 10 месяцев назад

How? I don't get scammed watching them,sure not buying anybody latest kit!

@MrShitthead 10 месяцев назад

@@terrytitus5291bro, what the fuck did you even say. You have the grammar of a bot from 10 years ago…

@jesse_- 10 месяцев назад

Millennials and Zoomers are crybabies. Entitled with a victim mentally. Thin skinned and wussified. Raised by the internet.

@PopeDope69-420 10 месяцев назад

Love that you don’t shy away from saying who the worst actors are

@i_stanisa_ 10 месяцев назад

I’ve been talking about this very problem for years now! Thank you for putting this up 😊

@rr-brown6445 10 месяцев назад

Reading Dave Ramsey’s book literally changed my life, and I’m not the only one. Also, listening to his radio show helped motivate me on my debt free journey. I guess I just don’t mind being told the truth. While my friends are still whining about their student loans, I’m paying down my mortgage and increasing my net worth because I paid mine off by working really hard and selling stuff I didn’t need.

@russellboley1994 10 месяцев назад

It is such a guilty pleasure to watch those kind of videos. They are entertaining, but you feel so dirty after watching them. Thanks for giving me another reason to stop ✋

@amberlyflorio-schiavulli4610 10 месяцев назад

That you so much for this! I remember getting couples counseling before getting married to my fist husband. We learned about the debt snowball. Great idea but it wasn’t meant for our situation. Needless to say we had a lot of people giving us money advice with well meaning intentions but not knowing our full situation. We ended in a pit of money problems that was overwhelming & ultimately contributed to one of the biggest reasons for our divorce.

@zestylem0n 10 месяцев назад

Rich people always forget what it's like to struggle (if they ever knew in the first place). They just come across condescending and rude without that empathy.

@libertarian4323 10 месяцев назад

We don't forget, but we generally don't enable bad financial behavior. It might seem to be "lacking in empathy" to tell broke people not to spend money on stupid sh#t they don't need with money they don't have, but it's actually sound advice.

@jayceewilliams5250 10 месяцев назад

I really wish financial literacy would become a high school mandatory class. Some of these people do some stuff that is beyond stupid though. Like it's scummy someone will give you a car loan for more than you make in a year with a fractional down-payment, but I'm always a bit baffled when someone making 30k will gladly go in debt 40k on a car. It's like they're ignoring taxes, food costs, fuel and insurance costs, and housing cost. I know why this is the case though, car dealerships love trying to get you to think solely of the monthly payment.

@kitcat8308 10 месяцев назад

In many places where there's little to no public transportation... Getting any employment beyond minimum wage at a local gas station etc... Often require employees to have a car... They'll phrase it as "reliable transportation" but don't consider anything other than owning a car as reliable.... So people are forced to do whatever they can to get a car in the hopes of landing better employment

@aaliyahkissick 10 месяцев назад

I’m advocating for the bill to pass in my state (Illinois)

@GamingSkeptic 10 месяцев назад

Tbh I never really liked any of these "financial advisors". I feel like a lot of their advice is generic if not outright useless. Your channel is one of 3 financial channels I watch cause you're pretty straight forward.

@nategray4989 10 месяцев назад

Same here bro

@goddessvibez5293 8 месяцев назад

Compounded Daily is such a great name for a newsletter, especially about money. Great job on coming up with that and great channel.

@lesterjohnson2691 10 месяцев назад

This was one of the best videos I’ve watched on RU-vid. Great job!

@Josyeliel 10 месяцев назад

I have a huuuge problem with saying that they give financial advice that is common sense. I have heard sooo many people talk about the need to go into debt and work for a good credit score which are things they go completely against and I've never even heard of manual underwritings as an option before looking at his team content. Since getting out of college I've had to learn so much about finances and everyone just talks about living with debt and working to get your credit score up but no one talks like him and his team about staying out of debt and living from what you actually make. The student loans issue is also another huge thing that he goes against the majority. There is a lot of people calling his teachings common sense when all I see is people saying the opposite and looking for the next great thing to beat the system. Dave and his team are very aware that what they teach is the mom and pops advice to life and that is nothing new but it doesn't mean its common sense, specially in this day and age.

@donalddarko5807 10 месяцев назад

I've been seeing people "joke" that those writers don't deserve better pay and work environments because some of those writers wrote Shehulk.

@saparapatepete 10 месяцев назад

Maybe the ones that wrote Shehulk don't deserve a raise XD, but there are skilled writers that definitively deserve way more.

@richyhu2042 2 месяца назад

People will always look at someone worse off and say "there is no way I could end up like them, I am so much more smart/talented/careful/moral/etc than them". The universe doesn't care for that. Things way outside of your control could screw you over, a drunk driver hitting you, your business getting bought and laying you off, getting a dieases from your genes, your neighbor burning the whole block down by accident. The illusion of superiority only holds when there is some level of stability. And not everyone is luck to start with or keep that stability.

@diazalex5314 10 месяцев назад

Debt snowball is a good strategy. It is not the best but it is efficient. It is for people who gets overwhelmed when they are paying multiple debts all at once. I see Dave as a reminder to be mindfull of my spending habits. I do not follow everything he says but he has a lot of valuable lessons to teach. Shaming him to harvest subscribers that hates him is also an efficient way to grow.

@adamprovencher2069 10 месяцев назад

Exactly, if these people calling for advice were so good at finance they wouldn’t be in their current financial situation.

@CreepahKillahRSA 10 месяцев назад

I actually do think that the debt snowball is generally a good idea for the type of person who is likely in debt. If you have the discipline to do the avalanche approach, you are most likely not deep in five different types of debt in the first place.

@tommykarrick9130 10 месяцев назад

My mom is a big Dave Ramsay fan and it’s crazy how dogmatic the whole anti-debt thing is in that world. I’m no financial expert, but even I know that there are good reasons to use loans that will improve your financial situation more than paying for everything up front no matter what. Even something as simple as using a credit card like a debit card to build up credit and get better rates on loans in the future, leveraging investments slightly to increase your returns in return for slightly higher risk, paying for high expenses with low interest rate loans to maintain good cashflow, especially for a business. I remember telling her about how some ultra rich people with their wealth in assets rather than cash will sometimes access that wealth by taking out loans at low interest rates and use some of those assets as collateral, because then they can spend the small interest rate of the loan instead of the much higher capital gains tax, and she was like “oh well Dave Ramsay would never do that, his whole image is being anti debt” Now keep in mind I might be wrong about how that system works, I’m no expert and might have been misinformed, but assuming it is a real strategy, it is the objectively correct decision financially, and it is crazy that he’s created people that genuinely think it is better to spend far more money even when it’s mathematically irrational, just to avoid the specter of debt.

@darkrulier Месяц назад

Well, I followed up the baby steps and got myself out of all my consumer debt and it feels great and I have not been in debt (other than mortgage) for about 5 years. Anyone who listens to his show knows that has empathy for his listeners and cares. Sometimes people need to be shocked toake them see in the kind of financial mess they are in. He may seem insulting to some people though.

@SilentEire 10 месяцев назад

I’m 99% sure that Ramsey has never once said that people should invest while also paying off debt. The whole crux of his system is to be completely debt free before anything else. I don’t even fully agree with his system, but I just think it’s important to be factual

@albruhtross5658 10 месяцев назад

Makes you wonder if he has even seen a full episode. The baby steps are very clear about paying off non-mortgage debt before investing.

@noahanderson8688 10 месяцев назад

It all depends on whether or not your investments are going to return at a higher interest rate than your debt. If your debt is growing faster than your investments than its stupid to not pay it off first.

@adamp6320 10 месяцев назад

I hate Dave Ramsey - but you are 100% correct here. He tells people to stop contributing to retirement while they go nuts, even to ignore basic emergency savings beyond 1000 bucks, just to attack debt with all they have. This video is just wrong. Baffling.

@Chris-ke7bn 10 месяцев назад

The crazy thing too is that when the government paid out for covid payments Ramsey belittled people that got that money instead of saying, "use this money (from the grace of God because he's religious af) for your savings" instead it had to be *his* way on how you save money. Also he's a dick in general (pointing at management practices)

@jochenschrey2909 10 месяцев назад

@@noahanderson8688 Also keep in mind: Most investments come with some kind of risk. Better invest money you don't need, than money you don't own.

@b.cdrisk2035 10 месяцев назад

Dave Ramsey doesn't advocate investing before paying off debt

@erickottke9673 7 месяцев назад

The only useful things I learned in the military: 1) If the place you sleep is warm and dry with a roof over it, that's a good night be happy 2) It's not OK to look like shit

@patriciaa4451 10 месяцев назад

This is probably my favourite financial channel on RU-vid

@matthewsouthall736 10 месяцев назад

6:09 "the reason that show hosts stand so confidently behind their suggestions is because they claim the psychological gratification you get from closing debt is worth approaching the problem in a mathematically inefficient way." I don't think this is a fair criticism of the snowball approach. No one suggests this method merely for "gratification". We suggest this method because it's often the only effective way to get someone to stick to their payment plan. It's useless being 5% faster at paying off debt if it comes at a 50% lower likelihood of sticking to your plan in the first place. Any payment plan will eventually get you out of debt, if you stick to it long enough. The avalanche method only beats the snowball method if you're someone who has extreme discipline and the ability to always act rationally regardless of stress levels - and if that was the case, you probably wouldn't be so deep into debt in the first place.

@picahudsoniaunflocked5426 10 месяцев назад

Who is "we" in your comment? I see other disturbing assumptions but let's start with you explaining who "we" happen to be in your thought experiment here.

@matthewsouthall736 10 месяцев назад

@@picahudsoniaunflocked5426 "we" = everyone who suggests the snowball method, as opposed to the avalanche method.

@Viviko 10 месяцев назад

I used to be that guy that laughed at poorer people than me. Then I humbled up after I realized my ambitions and my success was just that, they were mine. Someone else’s ambitions would be different. I want total control over my life… someone else just wants to have a steady job and start a family. The only thing I now look at is if said person is being honest with themselves. What I mean by this is: if you just want to live a simple middle class life… make sure YOU WANT THAT you aren’t just doing it because society says that’s what you should want.

@brendant2180 Месяц назад

i'm an avid dave ramsey listener, i've been listening to him almost daily for 3-4 years. i realize that he is being a bit extreme, such as telling people to spend less, do something to make more $, the same old thing, but overall i think it's more about positivity and optimism. he may laugh sometimes at the people who call it, but that's rare. for the most part, he does genuinely want to help people and they call in for non-biased advice. sometimes they call in because the wife says lets do this, and the husband says they want it that way instead. but either way, it's uplifting and has actually improved my life a lot, it taught me to value myself and my skills, and i now make more than double what i did when i started listening to him in 2020

@margaretjeannemoore 10 месяцев назад

Thank you. I work with disabled people and I’ve found some of these financial people laughing to be really disrespectful and disturbing.

@tomrutter1637 10 месяцев назад

I find those callers are like financial snuff films.

@lisabrightly 10 месяцев назад

I dont listen to any of of those financial gurus. My assumption is that they're all demon possessed sociopaths so I avoid them. I followed Susie Orman for a couple years, took her advice and had the worse financial outcome. I'm not surprised that they mock people.

@thepenultimateninja5797 10 месяцев назад

I don't think it's a good idea to have an emergency fund while you're paying off a credit card debt. An emergency fund is there to act as a safety net if you have an unexpected expense, but you can use a credit card for that. As a simple example, say you have $1,000 credit card debt, and also have an emergency fund of $1,000. You're paying interest to service the credit card debt while that $1,000 emergency fund is sitting in your bank earning an insignificant amount of interest. It makes more sense to use that $1,000 to pay off the credit card debt, thus eliminating the interest payments. The money you would have wasted on those interest payments can then go towards saving a new emergency fund. If you get unlucky and an emergency crops up in the meantime? Put it on the credit card. You're still better off than you were before.

@rustym.shackelford5546 9 дней назад

Disrespect like that deserves a special type of Sandwich. The type that has "knuckle" as a pretext.

@Nohandleentered 10 месяцев назад

I’m definitely guilty of indulging in that kind of content. And doing so without really appreciating how cruel of a spectacle it can be. I’ll be honest, I’ll probably watch when my finances dip again, but I definitely openly admit it’s cruelty-theatre

@stevechance150 10 месяцев назад

(sarcasm) It's the poor's own fault for not being born to wealthy parents.

@libertarian4323 10 месяцев назад

Most millionaires inherited little or no money.

@Avi-tq6fd 10 месяцев назад

@@libertarian4323inheritance is just a former of resource, and I don't even know if that statement is correct.

@libertarian4323 10 месяцев назад

@@Avi-tq6fd Numerous wealth studies over several decades, including some that have been turned into best selling financial books (eg "The Millionaire Next Door" series), have concluded that 80-85% of millionaires are self-made/first generation.

@Avi-tq6fd 10 месяцев назад

@@libertarian4323 point me one

@libertarian4323 10 месяцев назад

@@Avi-tq6fd Me. My wife. Her sister and brother (all immigrants, btw). Several members of our extendede family. All the members of our investment club. I personally know at least 2 dozen self made millionaires.

@matthewheath7839 5 месяцев назад

I love that the professionals you showed are my 3 favourite finance RU-vidrs, Patrick Boyle, Plain Bagel and Bsn Felix. Good friendships in this group

@ronigbzjr 9 месяцев назад

I think one important thing I have learned in life is just not to take very seriously super confident people. I'm not saying they are always wrong or lying, it's just I think it's really ridiculous to be confident about pretty much anything in this life, so whenever someone tells me something and they look really convinced, I take it with an extra grain of salt. All the people I have ever met who are actually good at what they do admit that they are never too confident about anything.

@Geneparmesan 10 месяцев назад

you have the best finance content on youtube. It's insightful without just being contrarian. Keep up the good work

@txdmsk 10 месяцев назад

No. He is often wrong and biased and ideological. Try Patrick Boyle. That guy is the best I know.

@rusticitas 10 месяцев назад

They may be laughing at someone who has a mental health issue (which covers a *wide* spectrum, not simply the stereotype of some badly acted version of schizophrenia). For example I got myself into ~$10k credit card debt in early 2000s *with* a full time salaried job. However it took -15 years to pay off completely and finally and *start* savings. Why? I had an undiagnosed issue. I’d buy something (some CDs/DVDs to feel better, a dopamine hit, then would get debilitatingly stressed seeing the bill) , and need a dopamine hit, repeat). Sometime later repeat. It crept up until I couldn’t get it to go down *until* my salary caught up just enough to tip the balance. But that was 15+ lost years of saving and growing. I didn’t own cars, property, take vacations, anything glamorous. Just small things and hobbies. So fuck rich people laughing. They don’t know how lucky they got.

@TheNapkuchen 10 месяцев назад

Just a guess but is it ADHD?

@txdmsk 10 месяцев назад

By that logic we should not be laughing at anyone, as everyone is a product of random circumstances. Which is a fair point to be made. Then again, is there a person out there who does not laugh at an awful lot of groups of people?

@rusticitas 10 месяцев назад

Maybe a better way to put it is it’s disappointing and sad that people with the gifts of money and power can lack empathy when personally profitable. ? Seems cruel. We have enough of those people.

@markprothero2666 10 месяцев назад

I’m sure there are plenty of authentically poor/underprivileged people. It so happens that the majority of ‘broke’ people I’ve known just had terrible priorities, lifestyles, and near 0 initiative to actually improve their habits. I had numerous arguments with some of them. How they rampantly self contradicted themselves whilst seeming proud of what was coming out of their mouths, made me give up on ever trying again. I could list loads of examples, but the best and shortest one I’ve got was when I said to this woman that I like to pay with cash because it helps me keep track of what I’m spending. To contrast that, she literally said that she prefers to use credit cards, because it helps her feel less anxious when she’s spending money because she can’t see how much she’s spending. That pretty much concluded our conversation. I have so little in common with these kinds of people, I don’t know how to talk to them, and don’t particularly want the liability of making and staying friends with people who compulsively destroy their own well-being and are a liability to everyone around them.

@HorrorFreak68 2 месяца назад

Ramsey gives more good advice than he does bad. He's fully explained many times why he recommends paying debt from smallest to largest balanced as opposed to interest rate and constantly admitted that it doesn't make sense mathematically. I listen to many financial experts and have learned a little from all of them. The trick is to never blindly follow anyone's advice.

@JazzJackrabbit 10 месяцев назад

What is it about people named 'Ramsey' being angry and insufferable pricks?

@Mimi-zd8ud 10 месяцев назад

Hmm I wonder what other Ramsey you could be talking about surely not one whose name starts with G🤣.

@SmartChannel01 10 месяцев назад

Gordon Ramsey is actually nice of camera

@Mimi-zd8ud 10 месяцев назад

@@SmartChannel01 hmm interesting, I always kinda wondered what his true personality was like.

@rightwingsafetysquad9872 10 месяцев назад

The thing about the debt snowball and more "optimal" methods is that they will be identical almost all the time. I can't think of a single situation where debts have penalties for early payment. In theory they exist, but in reality they're extremely rare. And higher interest rate debts are almost always lower balance than lower rates. Think about the kinds of loans that have high rates (credit cards, payday loans) and those with low rates (mortgage, student aid) and which one people generally have more of.

@lithoplanemasters6522 4 месяца назад

There is a difference depending on the kind of debt. My car loan had interest on it, until I paid it off super early, and i don't believe I had dealt with the same interest as if I paid it off at a normal pace. High interest debt stops doing interest if it's all paid off.

@rightwingsafetysquad9872 4 месяца назад

@@lithoplanemasters6522 Yes, that is how all debt works. Mortgages are screwy, but both are immaterial to my point.