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So, Dave Ramsey....on car buying....

You can take my heated seats from my cold dead hands! :x

I'll stand right next to you on that wall. Warm. With my heated seat ripped out of my car and strapped to me.

And your taking on more debt is fixing it how?

Because he knows the official word on government CPI is a lie and inflation is showing it's veiny muscles now. Once we spend more in stimulus packages, inflation will flex even more and make that debt an actual asset.

Debt is about paying today's dollars back with tomorrow's dollars. So long as that debt isn't spent on a depreciating asset, it's a....wait, hang on. Are cars depreciating assets?
 
I used to be minimalist when it came to cars, but now I cant live without dual zone climate control. Maybe if I was single again...How many miles?

Bluetooth phone conversations through the car’s speakers, couldn’t live without that feature.
 
I used to be minimalist when it came to cars, but now I cant live without dual zone climate control. Maybe if I was single again...How many miles?
I rarely have passengers anymore so the old system works fine for me. :)

225k, and the original clutch is still strong. The whole thing is simple, FI is the only real tech. No problems, just maintenance. I think it was worth the $7,200 OTD.

.
 
And your taking on more debt is fixing it how?

What?

I never even remotely implied that taking on debt would fix our economy. Getting into specifics of how to fix the economy (and also getting into specifics of why the situation is what it is now) would get us dumped in the political forum. I'm happy to discuss it there.

I was merely explaining why Dave Ramsey's advice at best only really can help a pretty narrow subsection of people. It's effectively impossible and potentially damaging to try for the majority of the US population, while shifting the blame to individuals for economic realities that they have no control over.



Since someone else mentioned SJSU, lets do a quick breakdown of costs to explain why Dave Ramsey's advice is just stupid. SJSU, all in, would cost a bit over 20k all in per year, assuming in state tuition, a pretty good financial aid package, but living on campus, which to be clear is easily the cheapest option for room and board unless your family happens to live close enough to commute. The minimum wage in San Jose is 15.41 an hour, so someone could just about afford that working 30 hours a week, 50 weeks a year, though that would leave less than 3k a year for all other expenses: transportation, any food not from the college, clothing, etc. Maybe that's doable, but it would be really tight. More realistically, they would probably have to work full time, while also being a full time student, that's difficult as fuck to do but it's the reality for a lot of students now.

For fun, lets compare that to Tennessee State University, in Nashville Tennessee, because Dave Ramsey lives there. The average in state tuition with the same assumptions as the SJSU numbers is about 17k all in. The minimum wage in TN is the national minimum wage, 7.25 an hour. A student would have to work 50 hours a week, 50 weeks a year to afford that, with less than $1k a year for expenses. More realistically, they would need to work 60 hours a week, 50 weeks a year, while being a full time student. I honestly don't think that is even remotely possible for anyone to do.
 
I'll stand right next to you on that wall. Warm. With my heated seat ripped out of my car and strapped to me.



Because he knows the official word on government CPI is a lie and inflation is showing it's veiny muscles now. Once we spend more in stimulus packages, inflation will flex even more and make that debt an actual asset.

Debt is about paying today's dollars back with tomorrow's dollars. So long as that debt isn't spent on a depreciating asset, it's a....wait, hang on. Are cars depreciating assets?
:applause


Yay. Glad we're on the same page.
 
Typical leftist crap that Dave actually gives advice on how to avoid. If you don't fucking listen to him then just shut the hell up because you sound financially illiterate. I'll comment on the college scenario because it fits perfectly with Dave's advice. You CAN go to an in state school without any debt. All it takes is planning.
SJSU tuition is still only 8k a year, with fees. You can afford that working a minimum wage job in CA. Add a few grand for books, and pick a major that actually has value in the real world and you're golden. Now if you want that fancy dorm and expensive food options, that's all on you. But you can graduate from a CSU for 40k. The only reason the costs are out of control are people just sign that FAFSA form that last semester of high school where nobody has ever taught them anything about personal finance. Government involvement is what caused the rapid rise in student loans in the first place. Make it easy to get but nobody ever tells you what happens when you pick underwater basket weaving for a major.

Oh hey I can play this game also.
Typical rightwing garbage with over simplifications, and blaming everything on federal government.
Tuition 8k for two semesters.
Renting a room in San Jose is around 1k a month. You might get lucky and get on to campus housing, but then you have to vacate during Spring, winter, and summer breaks. Can't move with back with your parents multiple times a year? Well, shit out of luck there. Also kind of hard to maintain a job when one has to quite or take weeks off multiple times a year. Maybe have to airbnb during shorter breaks, and try to find something for summer to maintain that minimum wage job. Well that's extra.

So assuming one leaves outside of campus renting a room. Thats 20k a year right there.
You said books few grand. I am going to be conservative and say 2k a year.
That's 22k a year already.
Let's assume minimum diet, fuck nutrition #riceandbenasforlife, for 3k a year.
Well that's 25k.
We still have transportation, medical, clothes, misc.
If you are lucky you can be on your parents health insurance. Otherwise that's either extra expense or hope you don't get sick for four years.

So now we are at 100k in four years with some costs still missing. Oh and hopefully the major is not impacted and you can get in to all the classes, and you planned your major and all the pre-requisites right your freshmen year. Otherwise might be another semester or two.
 
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If you're dirt poor drag your ass to community college. (Dave teaches this)

Work your ass off applying for scholarships and grants in HS. (Dave teaches this)

Almost everybody I knew lived at home while going to SJSU. Those that dint had 3-4 roommates. (Dave would support this)

Nobody I know has student debt other than a couple of MBA's. (Post grad degrees account for half of the total student loan debt)

Going to a state school and graduating without debt is completely do-able under most circumstances. But its easier to be a bitch and whine about high prices, probably from $1k your cell phone.
 
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JUST FUCKING BOOSTRAP




good lord. you're ridiculous.
 
What?

I never even remotely implied that taking on debt would fix our economy. Getting into specifics of how to fix the economy (and also getting into specifics of why the situation is what it is now) would get us dumped in the political forum. I'm happy to discuss it there.

I was merely explaining why Dave Ramsey's advice at best only really can help a pretty narrow subsection of people. It's effectively impossible and potentially damaging to try for the majority of the US population, while shifting the blame to individuals for economic realities that they have no control over.

In my opinion, continuing (amplifying?) the debt cycle, rather than curtailing it, will only continue to worsen the situation. You have continually stated your position that the only way anyone can get by and thrive is to take on debt for things other than a primary residence. You also imply that you think the only solution that gets at the root cause is political, so, that tells me a lot. I appreciate your willingness to discuss it in the political forum, but I intentionally do not sign myself up for that.

Back to the original point you and I were discussing, I continue to disagree that "knee jerk rejection of debt is just as harmful as overuse of debt." I think the latter results in worse outcomes far more frequently than the former, which can result in "failure to make the most of it" at worst.

As for fixing the economy, you can wish in one hand and shit in the other, see which one fills up first. I personally take Dave's advice with a grain of salt, tailor it a little, apply it to my situation, and do the best I can in the economy that I can't personally change. But sure, throw out the baby with the bathwater because you don't think every bit of his plan works for every person in the country.

You are right about one thing (ha, that's one you say, right before you pretend to affirm what I believe in, except you know you're saying the opposite), Dave's advice is stupid for some people. I hear the calls where the 69-year-old says she has 50k in retirement and she's about to be priced out of her rented apartment. Or the 54-year-old with no retirement, who's self-employed making $12k per year. Dave's like, "you got to get a real job" and doesn't elaborate too much after that. Just not that much advice you can give someone who's got too late of a start.
 
In my opinion, continuing (amplifying?) the debt cycle, rather than curtailing it, will only continue to worsen the situation. You have continually stated your position that the only way anyone can get by and thrive is to take on debt for things other than a primary residence. You also imply that you think the only solution that gets at the root cause is political, so, that tells me a lot. I appreciate your willingness to discuss it in the political forum, but I intentionally do not sign myself up for that.

One individual curtailing their debt doesn't do much of anything to the overall societal dependence on debt. To get to that, yes, we have to make big, societal level changes. Dave's advice at best can sometimes help with the individuals, but he packages it with a message that this is an issue of individual failings, not one that requires societal level change.

This is not an either or thing, people can advise an individual on how to make the best of their individual situation while also pointing out the systemic issues with our economy.

Back to the original point you and I were discussing, I continue to disagree that "knee jerk rejection of debt is just as harmful as overuse of debt." I think the latter results in worse outcomes far more frequently than the former, which can result in "failure to make the most of it" at worst.
Of course, in a society where many people are forced into taking on debt just to survive, we will see more bad outcomes from overuse of debt than we do kneejerk fear of debt. But both can be a problem. Not being willing to take on debt to get an education can easily be the difference between someone never making more than 40k a year their whole live vs that same person making 80k a year (or a whole lot more) by 30. Not being willing to take on debt to buy a reliable car can be the difference between keeping your job and losing it because the $2000 beater keeps breaking down on you. Both extremes are incorrect.
As for fixing the economy, you can wish in one hand and shit in the other, see which one fills up first. I personally take Dave's advice with a grain of salt, tailor it a little, apply it to my situation, and do the best I can in the economy that I can't personally change. But sure, throw out the baby with the bathwater because you don't think every bit of his plan works for every person in the country.
To be clear, I think most of his advice doesn't work for most people in the US, and it comes with a lot of additional baggage, which absolutely can lead to them either not getting involved in efforts to make positive changes to the economic system overall, or even being convinced to fight against them. You are demonstrating exactly this by describing even the idea that positive changes can be made as a 'wish in one hand and shit in the other.'

I also think he deserves to be sued into poverty for firing people just for having premarital sex. That honestly seems sociopathic to me.
 
I think the "positive changes" you speak of are not what I would vote for. However else you crusade, keep at it. Good luck.
 
...Dave's advice is stupid for some people. I hear the calls where the 69-year-old says she has 50k in retirement and she's about to be priced out of her rented apartment. Or the 54-year-old with no retirement, who's self-employed making $12k per year. Dave's like, "you got to get a real job" and doesn't elaborate too much after that. Just not that much advice you can give someone who's got too late of a start.
It would make for an awkward radio show if he simply told the cold hard truth. "You're fucked, I can't help you. You should have called 10+ years ago."
 
If you're dirt poor drag your ass to community college. (Dave teaches this)

Work your ass off applying for scholarships and grants in HS. (Dave teaches this)

Almost everybody I knew lived at home while going to SJSU. Those that dint had 3-4 roommates. (Dave would support this)

Nobody I know has student debt other than a couple of MBA's. (Post grad degrees account for half of the total student loan debt)

Going to a state school and graduating without debt is completely do-able under most circumstances. But its easier to be a bitch and whine about high prices, probably from $1k your cell phone.

Ah yes, the good old fashion "I know people." :laughing More simplistic point of view of "Well if I and small circle of people I know could do it, clearly everyone can do it".
How convenient that most could live at home, that sure saves that 12k a year. Not everyone can do it, so you throw in "others had 3-4 roomates".
The idea of having to live with 3-4 people in a room just to get an education is insane.
"Going to a state school and graduating without debt is completely do-able under most circumstances."
You keep saying this, but keep making some rosy assumptions. Sure if you can live at home, and either close enough to campus that you can walk/bicycle, or take public transportation, or if your parents pay for car and car insuranc, etc, etc, etc.
Then of course you throw the usual talking point of "$1k your cell phone". That sure plays nice when talking heads on tv/radio talk about bootstraps. :laughing

Then there is this gem:
"If you're dirt poor drag your ass to community college. (Dave teaches this)"

More of simplistic thinking that Dave teaches that might not apply to everyone and leaves out details.

In general can it save money? Sure. In practice things are a bit more complicated.
There are two paths in CC. One you get some AA, which is useless, or do some kind of certification course. For example Delta College offers Electron technician program. Problem with that those jobs don't really pay well, and/or have limited employment opportunities. There are only a few companies that need Electron Microscope technician, for example. So now we have someone who is "dirt poor" just by those circumstances funneled in to lower paying jobs.

Well what about transferring to four year?
Sure, great path. Can target one of those "right" career choices that people talk about.
Let's say you were able to navigate all the pre-requisites requirements and planned them all out freshmen year, and already know which four year you want to apply. Fun fact although IGETC is standard, various UC schools still have different requirements within it, and different requirements for the major.

Speaking of major. When you get in to UC school, you are getting in to school itself not the major. You have to apply in to it, once you get in. At least for one of the right ones like computer science. The major has its own requirements, and more than likely CC doesn't offer classes that satisfy them. So now you have to spend semester or two taking those requirements to get in to major, and as mentioned previously hope those classes are not impacted, offered in right semester and you can get in.

Realistically you will be spending 2 years in CC, minimum, where you will be saving on tuition, but unless you are lucky and can live from home, under your parents health insurance, you close enough to campus or parents pay for transportation, will be occurring all other expensses. Then another two and a half three years in four year school like one of the UCs with higher tuition and all the aforementioned expenses.
 
If you're dirt poor drag your ass to community college. (Dave teaches this)

Work your ass off applying for scholarships and grants in HS. (Dave teaches this)

Almost everybody I knew lived at home while going to SJSU. Those that dint had 3-4 roommates. (Dave would support this)

Nobody I know has student debt other than a couple of MBA's. (Post grad degrees account for half of the total student loan debt)

Going to a state school and graduating without debt is completely do-able under most circumstances. But its easier to be a bitch and whine about high prices, probably from $1k your cell phone.


Boomer musings. :laughing
 
..
Almost everybody I knew lived at home while going to SJSU. Those that dint had 3-4 roommates. (Dave would support this)

We found the real key to bootstrapping... parents, to .. strap yer boots!

It's true.
 
Solidly Gen X :twofinger
200w.webp
 
TRAIL OF TEARS

I did all this in the late 90s. I spent more than a few years in CC because I didn't know what my dumb ass wanted to do. Once I figured it out I transferred to State. Even then I changed majors and started half way over with the major core when my major got impacted. Been there, done that. Sure I got to live at home and commute, but that was the case with most of the people I knew. Pretty sure I could have rented something with a few roommates if I had to. But I still had money to spare to be dirtbiking, autoxing my 944, and eat out all the time. Your reality is seriously jaded if sharing an apartment is so abhorrent of an idea, so I guess Dave's advice just isn't for you.
 
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