Take Money Out Of My Mutual Fund To Pay Off Debt?
Рет қаралды 33,824
2 жыл бұрын💵 Create Your Free Budget! Sign up for EveryDollar ⮕ ter.li/6h2c45
📱Download the Ramsey Network App ⮕ ter.li/ajeshj
🛒 Visit The Ramsey Store ⮕ ter.li/7vyom2
📞 Have a question for the show? Call 888-825-5225 weekdays from 2-5 pm ET or send us a message ter.li/n88ly5
Explore More Shows from Ramsey Network:
🎙️ The Ramsey Show ⮕ ter.li/ng9950
🍸 Smart Money Happy Hour ⮕ ter.li/9gcp3d
🧠 The Dr. John Delony Show ⮕ ter.li/2u3mc0
💰 George Kamel ⮕ ter.li/1elws8
💡 The Rachel Cruze Show ⮕ ter.li/n2u6jc
💼 The Ken Coleman Show - Highlights ⮕ ter.li/1rbjr2
📈 EntreLeadership ⮕ ter.li/ktxv2k
Ramsey Solutions Privacy Policy
www.ramseysolutions.com/compa...
@kimmarquis6595 2 жыл бұрын
Id love to see their dynamic more daughter and dad power house
@richthepup 2 жыл бұрын
I’ve always said Dave and Rachel makes the best co host. Such a well balanced dynamic and Dave seems to genuinely enjoy her being there
@Marcelino44 2 жыл бұрын
To never touch the mutual fund and act like it aint there.
@karimbennett5651 2 жыл бұрын
It’s a numbers game. Provided she’s not losing money by cashing it out, it’s best to do so and pay down the debt.
@amosbackstrom5366 2 жыл бұрын
Except she absolutely is losing money by pulling out. Dave's method is ideological, not mathematical. His "system" does work, but it's not the fastest way to get out of debt or build wealth. He ignores opportunity cost and has decided that debt can only be an indication of personal failure rather than a tool that people can use responsibly to invest in their future. That money was invested for her by her grandparents and will make her more money than she's losing on loan interest.
@adamseidel9780 2 жыл бұрын
It doesn’t matter if it’s losing money off the basis or not, it doesn’t make any difference into the decision to choose between money in a mutual fund and money on debt.
@wewhoareabouttodiesaluteyo9303 2 жыл бұрын
What I found effective was to really stick by the 15% rule. If you have a large sum of money. Some % off that HAS TO BE EF. Then whatever is left should be put into investing. If you do it this way, you can never go backward UNLESS the emergency is so huge that your EF gets eaten up.
@ColeBeasley 2 жыл бұрын
It's easy math.. 3x15 =45 then ad a zero... Nothing crazy
@yazeedgh3812 2 жыл бұрын
She calls her father Dave Ramsey 😂😂
@AD66Liberty 2 жыл бұрын
If your in a higher tax bracket, capital gains rate is 20%
@jcman240 2 жыл бұрын
And if your lower it's 0%
@robloxvids2233 2 жыл бұрын
Rachel thinks her dad is good at math? Lol.
@ryanweston9677 2 жыл бұрын
Haha exactly. She's just bad at math if she can't understand how easy it is to calculate 15% of anything.
@jcman240 2 жыл бұрын
Dave is wrong here, you pay no LT capital gains tax when your taxable income is
@alexlarsen372 2 жыл бұрын
You should be a host of a talk show for finances
@jsanjay5513 2 жыл бұрын
This isn’t great advice. The investment would compound over time, so it would have been better to never touch that money and maybe pick up a side hustle to pay your loan faster.
@666dynomax 2 жыл бұрын
He’s got his principles man
@jsanjay5513 2 жыл бұрын
@@666dynomax true
@jsanjay5513 2 жыл бұрын
@@saulgoodman2018 I’m sorry, what?
@stevee8318 2 жыл бұрын
It depends on what the interest rate is on the student loan. Paying off debt is guaranteed money saving, investing is always risky.
@jsanjay5513 2 жыл бұрын
@@stevee8318 sure but average student loan amongst all borrowers is 5-6% and a typical SP500 index fund average annual return is ~10%. You’re right that it isn’t promised but still.. going 100% into the debt doesn’t make numerical sense to me, maybe a 50/50.
@miriambertram2448 2 жыл бұрын
Wow he is so wrong. Long term Capital gains rate is based on your total income. based on single or married you pay no tax on long-term capital gains if your total income is below a specific value I do not know the number for 2022
@staceystrukel1917 2 жыл бұрын
$41,675
@alinatamashevich3354 2 жыл бұрын
Maybe so, but his CPA does. It pays to pay for expertise in fields one has little knowledge.
@Nick-gk6hj 2 жыл бұрын
Apparently she's never paid for a restaurant bill, or she's kissing serious ...
@throughmyshadow 2 жыл бұрын
I only just learned that Rachel is Dave's daughter. I feel dumb.
@ahmadsamadzai8255 2 жыл бұрын
The math was actually not hard at all. Like I expect my 12 year old to be able to do. 15% of 3000 is hard to do in your head?
@front331 2 жыл бұрын
we math students and educators get offended when they call arithmetic math. I can show you my math homework, and no we don't use calculators, we hardly use numbers too.
@ClaxtonBay123 2 жыл бұрын
Yes it is
@talyahr3302 2 жыл бұрын
Yes that is hard.
@jrwntctv8091 2 жыл бұрын
@@front331 Real maths students get offended by maths being called math.
@jrwntctv8091 2 жыл бұрын
@@talyahr3302 It's only hard because everyone is out of practice. That would be easy if we weren't too reliant on electronics.
@tymowens718 2 жыл бұрын
Mutual funds distribute capital gains every year. It’s likely her basis is higher.
@amauryfernandez3230 2 жыл бұрын
Nooooo
@EVATUBE1 2 жыл бұрын
How was Dave able to give his advice without asking a) total outstanding student loan owed and b) interest rate on the student loan? if o/s loan is significant or if the interest rate is low then i would not recommend to sell the funds
@ClaxtonBay123 2 жыл бұрын
You must be new here
@staceystrukel1917 2 жыл бұрын
@@ClaxtonBay123 🤣
@adamseidel9780 2 жыл бұрын
@@ClaxtonBay123 lol Dave’s methods don’t require math
@nicholasmartinez6043 2 жыл бұрын
Rachel low key calling out her dad on his “invest in a good growth stock mutual fund from age 25 to age 65” projections lol
@matthewelliottheinen 2 жыл бұрын
no tax on lt cap gains up to 40k
@harrychufan 2 жыл бұрын
Only if your income plus the capital gains is less than 40k. If your income is 40k and you have 5000 in capital gains you’re paying that 15% on the 5000. Assuming your single.
@matthewelliottheinen 2 жыл бұрын
@@harrychufan @Saul Goodman yea yall are right. I can see why Dave said 15 now.
@harrychufan 2 жыл бұрын
@@matthewelliottheinen yeah learning how all the pieces fit together is honestly difficult. It took me a while to figure it all out myself
@matthewelliottheinen 2 жыл бұрын
@@harrychufan worth it tho :)
@lkj0822g 2 жыл бұрын
Not a fan of this advice simply because of "muh baybee steps". This caller's grandparents could have given her cash, but instead, put the money in investments for a specific reason. Most likely, they wanted to jump start her on the path of a lifetime of saving and investing. Left intact, one day, this caller could look on her account statement (with a lot more zeros) and say "my grandfather and grandmother started me down this path and look at where I am today."
@ahmadsabban 2 жыл бұрын
i liked your point
@bobbysmith1170 2 жыл бұрын
If you owe 110k on a house and have 54k in a mutual fund but no other outstanding dept should you cash out then
@I_like_turtles_67 2 жыл бұрын
No
@Manofsteel519 2 жыл бұрын
The math wasn't that hard
@kevinquinn7645 2 жыл бұрын
If you can't work out 15% of figure, how do you calculate your tip when going out?
@ahmadsamadzai8255 2 жыл бұрын
Dave pays for her stuff so she doesn't have to figure it. Or she uses a fancy calculator. lol
@jrwntctv8091 2 жыл бұрын
Tips should be 40% if you're in a country that does tips.
@Jumpman67 2 жыл бұрын
@@jrwntctv8091 no
@dwarrior7546 2 жыл бұрын
@@jrwntctv8091 sounds like a guy who depends on a tips for a living
@jrwntctv8091 2 жыл бұрын
@@dwarrior7546 Never received a tip in my life but would tip 40% myself :)
@RusskiCommieBot 2 жыл бұрын
Should we take out money from our banks and 401K’s because of the bank runs in Canada?
@xfhnhhgjbvcfg 2 жыл бұрын
You should burn it
@webfreakz 2 жыл бұрын
No
@Shibacentric 2 жыл бұрын
Dave’s math skills are way overhyped
@front331 2 жыл бұрын
*arithmetic.
@jeffyeager1997 2 жыл бұрын
Who is the anorexic woman on the left side?
@johnmirbach2338 2 жыл бұрын
🤓🖖👍✌👌😎
@tioswift3676 2 жыл бұрын
Is she single? Ah, who cares. She won’t wanna pass this up right here
@webfreakz 2 жыл бұрын
No
@MrPhotographist 2 жыл бұрын
Americans amazed by simple math. Wow
@littlebob1261 2 жыл бұрын
Terrible advice
@Striker50_ 2 жыл бұрын
I'll side with the multi-millionaire
@littlebob1261 2 жыл бұрын
@@Striker50_ If you think taking money out of investments make you rich go for it
@littlebob1261 2 жыл бұрын
@@Striker50_ Dave is super good for people that can't budget and need a wake up call. When it comes to wealth accumulation he isn't even close
@Striker50_ 2 жыл бұрын
@@littlebob1261 No one mentioned getting rich off of that.But it is one step closer to getting out of debt sooner
@littlebob1261 2 жыл бұрын
@@Striker50_ I bet nobody mentioned getting rich when telling people to sell their retirement investments, I agree