Here is information for getting started with Dave Ramsey and links! Please feel free to post anything too!
This is Dave's homepage- http://www.daveramsey.com/home/
I (Breen31806) highly recommend attending Financial Peace University. To find a class near you go to http://www.daveramsey.com/fpu Click on Classes and find one near you. You can usually pay for the materials at the location of the class and can get a discounted rate of $100. The classes are 13 Weeks. Some of the topics are Credit Sharks in Suits, Buyer Beware, Clause and Effect (insurance), Mutual Funds, From Fruition to Tuition, Etc...
Articles Here on Pg.org:
The Truth About Debt
The Truth About Getting Debt Help
The Truth About Debt Consolidation
The Truth About Debt and Relationships
The Truth About Money and Relationships
The Truth About Budgeting
The Truth About Debt Management
The Truth About Cosigning Loans
The Truth About Teenagers and Credit cards
The Truth About Bankruptcy
Here are Dave Ramsey's Baby Steps:
Step 1: Emergency Fund $1,000
Step 2: Debt Snowball (includes cars but not house)
Step 3: 3 to 6 month Emergency Fund in Savings he highly recommends in a Money Market (basically 6 months living expenses if you were to become unemployed).
Coming Soon after we get to that point in the class:
Step 4: Invest 15% of your household income into Roth IRAs and pre-tax retirement plans:
Step 5: College funding
Step 6: Pay off your home early
Step 7: Build Wealth and Give!
You need to have $1,000 in the bank (savings or money market). If your income is under $20,000 then your emergency fun is $500.
You do this first so
1) you aren't putting emergencies on a credit card
2) Murphy comes when you least expect it.
You should also create your budget at this time as well. Make sure you include your oh crap stuff in the budget. Your oh crap expenses are the once a year expenses that you say oh crap to when they find you each year. Break the Oh Crap expenses into monthly payments and set the money aside.
You should also move to a cash system. Pay Cash for things like groceries, gas, blow money, clothes, entertainment etc. put cash in designated envelopes and once the money is gone it is gone until the next "pay day".
This step may take the longest. Write all your debt excluding the house down. Put in order of balance. If you have two balances that are close in dollar amount put the one with higher interest first.
Any extra money that you have you put towards the first debt on your list. Once that debt is paid off you apply the minimum payment from that debt to the next debt. Then any extra money goes to the next debt on the list.
JcPenney $200 min: $10
Visa $1,000 min: $25 new payment: $35
Mastercard $2500 min: $75 new payment: $110
Your budget for debt never changes until all debt is paid off then you can apply that money to Baby Step 3: Three to Six months expenses.
In this step you need to put into savings 3 to 6 months of living expenses. This is what you need to provide the four walls: housing, transportation, food, clothing. If you were to loose your job you would be covered for 6 months while you find another job.