Dave Ramsey Total Money Makeover,
Tuesday, September 8th, 2009
I subscribed to the Dave Ramsey Total Money Makeover program a few days ago and am anxious to track and report my journey to financial fitness. I have read both of Ramsey’s books and found them to be very helpful. Ramsey has a “7 Baby Step Program” to achieve financial freedom. He has quotable gems of wisdom that make one rethink how money should be spent. “Live like no one else, so you can LIVE like no one else!”; has been the mantra of fans of Dave Ramsey. He also refers to many of the items we buy as “stuffits”, stuff we don’t need that only clutters our lives and homes and empties our bank accounts.  After reading both of his best sellers, I tried my hand at Baby Step One, which is to save $1000.00 dollars and keep it liquid in a bank account or physically in your home. The reasoning behind this is that most expenses on our credit cards come form emergencies which are usually more than $300 but less than $1000. If you use cash, you avoid using your credit card which will cost you the added interest charge and let’s face it, who pays off their credit card balance every month? If there is an emergency that would require you to pull out your credit card, you use the cash instead. Then you restock your emergency fund to $1000 and go ahead or resume pursuing Baby Step 2.
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