Thursday, 10 Kislev, 5784
  |  November 23, 2023

I Followed Dave Ramsey’s Rules

From the COLlive inbox: A Lubavitcher heavily in debt recently began following finance guru Dave Ramsey's 7 baby step program. Full Story

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It's a process
August 27, 2017 5:42 pm

Seven years ago I was let go from my job, have zero in savings and had a $400 car payment. By working the steps in Debtors Annonymous I have found a financial freedom. I never thought I would see the end of the tunnel in paying off debts. Along with DA I used a program called YNAB which helps tremendously.

Ramsey has a good point about what we eat for dinner
August 22, 2017 11:44 am

The chicken in every pot should be re-thought. Cheaper forms of nutrition exist and it is not child abuse to serve these.

Financial Peace University class
August 22, 2017 9:39 am

We are finalizing some details but it looks like Financial Peace University will be starting in crown heights for the second time on October 22, 2017, once finalized i will post a link to signup.

August 21, 2017 3:43 pm

Dave Ramsey talks a lot about morals and family values which complements our values. You don’t see so many people like that nowadays

Not too concerned about his christianity
August 21, 2017 11:31 am

There is a lot of merit to Daves plan even though I cant say I follow it completely myself. I’m sure the advice and inspiration that he provides can be very beneficial to our community. I understand that people have this freek out reaction to anything that sounds a little christian but lets not pretend like we are at risk of loosing our children to Christianity. Besides, he only teaches the values and morals of his religion which is basically the same values that we hold of.

Financial Peace University class
August 21, 2017 10:59 am

We coordinated a Financial Peace University class in September of 2015, It was a small group of 5 couples and the changes we managed to make are huge. In 9 weeks the Total non mortgage debt paid off between all the couples was $16,272 Total money saved between all the couples $4,400 Total credit cards closed or cut up between all the couples 15 It has been a successful road for us as we are on our way to be debt free, and have not had to borrow 1 penny since We will IY”H be starting another class sometime after… Read more »

To whom it may concern
August 21, 2017 3:42 am

To all those people who are saying that they think it doesn’t work for from people or in general or making jokes that the program assumed you own a home: I personally studied his program and adhere to the principles and it’s very practical, effective, helpful, smart, and wise. If you are a serious person, I would advise you to take his challenge and seriously learn and study his program so that you can make an educated decision. Do not rely on what you hear solely from me, this article, commenters or anyone else. You will thank yourself for investing… Read more »

Hi there
August 21, 2017 3:35 am

Ohel Chana High School Los Angeles taught his curriculum one year when I was there. (I don’t know if they still do) I gained a lot from it and I use the principles I learned from today.
It is a brilliant life plan and I think all high schools should be teaching his curriculum. It prepares you for life after school.

dave ramsey helped us become frum
August 21, 2017 2:47 am

While following Ramsey’s program 14 years ago (still do), we downsized our house into nice, cheaper area. We were not yet totally frum. A Chabad house opened in the new area 2 blocks away. We shortly became completely frum, are now debt free, can afford tuition, save and travel. It took years, but it IS so worth it. Hashem increased our income, B”H, as we lived with emuna in Him, and not in credit cards, cv’s. Best program for financial solvency.

To no 20
August 21, 2017 1:46 am

It does not assume you own a home.

August 20, 2017 11:55 pm

Does it help you come up with 45k in tuitions when income is 75k gross

August 20, 2017 6:53 pm

Lol! This program assumes you own a home. That cracks me up!

Step 3
Reply to  Home
December 26, 2021 12:12 pm

Not. Step 4 is to save up for a down payment. Why would you think the program assumes you own a house? Obviously if you do own, then skip that step but if your house is eating up too much of your income Dave would encourage you to sell it for a cheaper hose

OP to 17
August 20, 2017 4:19 pm

Was several tens of thousands. Without being too specific… Not to family. To Citi and AMEX. I did take on more roles to increase income. Strategy was to pay off within five years and we beat the goal by a bit, BH. None of my children attend public school and we eat only kosher and serve G-d with joy (try to) so religious expenses were high, of course. It’s very doable. Just takes discipline. Even if you don’t succeed totally, which I believe you will, better to have $20,000 debt than $150,000 debt. You could be debt free with low… Read more »

the problem with these approaches
August 20, 2017 3:43 pm

Many non-Jews like Dave Ramsey would not have a child who gets engaged at a young age and married a few weeks later. The child would have to be self-supporting and pay for whatever part of the wedding that the parents could not pay for comfortably. As a non-Jew, he has probably has a small family and can live in a cheap neighborhood, as long as the school is halfway decent. As a non-Jew, he has no religious expenses other than his tithes and his couple of holiday celebrations each year, which he can observe at his own discretion. As… Read more »

Att: op-Ed writer - Would love to know more details
August 20, 2017 2:04 pm

How much debt did you have? Was it only credit cards? Was there private debt? (Meaning friends or family) How much time did it take to pay of the debt? Did you take on another job? What was your strategy? It’s important to share and you did so within the lifestyle of a frum yid. If you can please share this info or provide an email address so people can contact you and ask questions (if you are interested in dealing with that) Lastly, there is no question and neither is it a contradiction to have absolute complete btochon in… Read more »

August 20, 2017 12:37 pm

I guess if people noticed that owing money (especially on interest) is a form of slavery to the lender, they’d think twice before accruing debt. If it’s at 0 APR it’s a form of slavery to retailer who’s selling you junk that you can’t afford and often don’t need because the [APR] price is right. If you’re not paying in full each month and you’re swiping, you’re playing a dangerous game. What you really need is to invigorate income and you need to feel the pain of a low acct balance to become motivated. Lines of credit just brings false… Read more »

Life changing
August 20, 2017 11:05 am

We are now debt free because of Ramseys method. I recommend it highly.

The nuts and bolts work
August 20, 2017 11:02 am

The main content of his overall philosophy works. You have to be willing to use your common sense where a mere detail doesn’t apply and modify accordingly, so that includes his lack of value for private school elementary education (which we DO value), his religious propaganda, his sales propaganda, etc. you don’t need his propaganda. Just buy his book (under $20) and listen to his FREE radio show. All upselling by his company, avoid (which includes patronage of his advertisers/endorsed local providers, Yelp and internet research helps finding reputable providers). Also, he’s wrong on certain minor things because he speak… Read more »

If only we had known how to do this 20 years ago!
August 20, 2017 8:21 am

We have also begun to change our approach to money, partly thanks to having heard about Ramsey’s baby steps, and also, lhavdil, through reading shaar habitachon of Chovos Halevavos, as per the Rebbe’s frequent, published suggestion. We now see living within our means as an expression of bitachon. Of course there are challenges, but overall, we are also much, much calmer, like the author of this article. Financial counseling should be part of choson -kallah classes. Had we known about how to manage our finances humbly and without relying on credit (if you can’t afford it now, how are you… Read more »

Main principle!!!
August 20, 2017 6:50 am

His main idea that you failed to mention is hat ppl need to live within their means and give up trying to keep up with the joneses. I wouldn’t be shocked if #5 has a bugaboo…
I believe in 98% of what he says. I know that there was a financial peace university class in crown heights last year. I think there needs to be one constantly and many ppl will benefit.

I've been telling everyone
August 20, 2017 3:36 am

About his 7 steps.

They do work but deff need to be edited for the frum family.

Also he is very Christian and there are a ton of Christian quptes etc so be careful.

We took his class in CH
August 20, 2017 3:09 am

We took the financial piece university class in Crown Heights with a few other couples, It was an amazing experience that changed our life and our marriage, we wend from digging a deeper hole every month to covering the hole in no time, although we are still not out off debt we do see the light at the end of the tunnel.

I know there is another class planned for Crown Heights i’m just not sure when.

August 19, 2017 11:37 pm

For those that say “He’s just another shaygetz”, in simple Yiddish words: “Az men hot nisht , koift men nisht!”…

To 3
August 19, 2017 11:04 pm

I believe he’s on YouTube as well. He’s also on the iHeartRadio app and iPhone app if you have those (not getting into smartphone benefits or lack thereof, but if you already have it, you may as well for kosher use…)

I think he is full of himself
August 19, 2017 10:57 pm

Also rabbi Heler says before you read a article even if it’s a good do you know what the person looks like in his beliefs if he is not a chasideshe yid you are letting in a bit of apikurses in your home etc……..

To 4
August 19, 2017 10:11 pm

You can’t compare to our grandparents, they were not buried
With insane bills for tuition for year long school + insane amount of summer camps costs, this is the most urgent issue in the frum world. It has remefications on families finances, shalom bayis and birth rate

my husband brings
August 19, 2017 9:42 pm

home 34k after taxes, we are not quality to receive any gov’t help, and yes food costs sometimes more than we have, l’m not talking about food, basicly healthy stuff, sure you can spend less with bread and noodles, but is that food, you need protein, good stuff to be wellwe both have health issues, so this doesn’t go to far, please tell me how to cut when we are already strapped to begin with

This DOES work for the Frum Lifestyle
August 19, 2017 8:57 pm

I do Dave Ramsey as well and it REALLY works (it helps if you have a build a network and support group – there are many of us out there…) an excuse I often hear is “it doesn’t work for the frum lifestyle” 1) it is an outright LIE there are many regular lubavitcher frum people who follow his program 2) somehow, all our grandparents managed to live a very frum lifestyle – in America, and raised nice Chassidishe children, and understood this basic idea, that you must spend less money then you earn – no matter what. 3) the… Read more »

Yossi A
August 19, 2017 8:54 pm

Thanks for the extra note at the end.
On his radio show he refers to Yoshke. Besides that, he gives great advise. Not all of us can use everything he says.
Please be very careful. His show can be heard nightly on 710 WOR from 9pm to midnight except when there is a ball game being broadcasted.

August 19, 2017 8:41 pm

I’ve also taken some tips from the clips of his shows, he seems like a good man with sound values, who also makes reference to a Rabbi who is his friend. As the writer says, there are some quotes at times that are from his religion (although some are from the Torah). If you can forward the clip when those quotes come on, then his financial methods and attitudes can bring awareness and change for the better to your finances – and thereby to your life- no matter how much or how little you earn. Another good mentor for putting… Read more »

Thanks for aharing
August 19, 2017 8:15 pm

Excellent advice. Too many are ill prepared for the financial needs of the real world. May Hashem give everyone parnassah b’harchava and the smarts to do right with it.